Morning brief — Jul 24: Japan warns it will defend the crashing yen, dollar at 40-year high — short the USD/JPY spike
The US dollar just hit a 40-year high against the Japanese yen as government bond yields surge. Also in focus: Contrarian, Earnings, Energy.
Ideas in this brief (8)
- Japan warns it will defend the crashing yen, dollar at 40-year high — short the USD/JPY spikeSHORT · USDJPY
The US dollar just hit a 40-year high against the Japanese yen as government bond yields surge. At the same time, major US banks like Bank of America are hiking their dividend payouts, signaling strong financial health and luring foreign income investors into dollar-based bank stocks.
- Michael Burry's short bets on Caterpillar and Tesla are paying off — ride the momentum reversalSHORT · CAT, NVDA
Famous investor Michael Burry's bets against major industrial and tech stocks have paid off significantly as these shares have tumbled in July. He specifically targeted companies like Caterpillar and Nvidia after their prices surged to levels he deemed unsustainable.
- Goldman's monster quarter has analysts upgrading rivals — ride the spillover into European banksLONG · DB, UBS
Goldman Sachs and Morgan Stanley just reported massive quarterly profits, and Wall Street analysts are now upgrading European banks expecting the success to spread overseas. Analysts are specifically flagging UBS and Deutsche Bank as the next potential winners.
- Big Tech catches a bid after the selloff, IBM bounces on bad news — ride the relief rallyLONG · IBM
IBM warned on profits and its stock cratered, yet it's now bouncing back because the bad news was already baked in. At the same time, the broader stock market is finding its footing Friday morning after a rough selloff.
- Japan's bond market is flashing inflation alarms — long the yen for a central bank catch-up tradeLONG · FXY, JGBL
Investors are dumping Japan's longest-term government bonds because they fear the country's central bank is moving too slowly to fight inflation. This is creating turmoil in global currency markets as the Japanese yen weakens.
- Trump floats 'massive attack' on Iran, oil already at six-week highs — ride crude higherLONG · CL=F, USO, XLE
The president is openly weighing a major military escalation against Iran, and oil prices are already at six-week highs as a result. When the stock market is selling off specifically because of surging oil prices, betting on more upside in crude is the cleanest way to play the situation.
- Intel's fastest sales growth in 15 years powered by AI — ride the earnings momentumLONG · INTC
Intel just surprised Wall Street with its fastest revenue growth in almost 15 years, beating expectations on both sales and profit. They are specifically pointing to massive demand for artificial intelligence technology as the reason.
- Night movers — Jul 24: Energy and telecom lead as earnings season churns through semiconductorsNEUTRAL · SLB, VZ, TMUS, T, CRM, INTC
SLB's pivot into data centers and AI drove an 11% surge to lead the night's gainers, while Verizon's earnings beat and guidance lift powered a near-6% advance. On the downside, Intel faded after its strong earnings report as elevated spending plans weighed on sentiment, and Oracle slipped despite landing a major Pentagon software contract.
This brief is generated by CommonQuant.ai from the day’s highest-signal market news. Any idea can be turned into a strategy that is automatically backtested and stress-tested before it can go live, then monitored against the news hourly while it runs.