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BEFORE THE OPEN

PRE-MARKET:

MARKETS:

• S&P 500 modestly higher, snapping nine-week winning streak.

• Nasdaq up, Dow ticks higher, beekly lout all post wsses.

• Stronger-than-expected jobs report prompts Fed rate cut uncertainty.

• U.S. economy added 216,000 jobs in December, unemployment rate steady at 3.7%.

• Treasury yields spike on strong data, impacting rate cut expectations.

• ISM services index below estimates but still above 50% threshold.

• 2023 ended with market surge; S&P 500 enjoyed longest weekly winning streak in years.

• Large-cap tech stocks like Apple under pressure, downgraded by two research firms.

EARNINGS

What we’re watching this week:

• Wednesday: 

  • KB Home (KBH) - expected: $1.70 per share (-31.2% YoY) on $1.6 billion revenue (-16.4% YoY)

• Friday: Bank of America (BAC), BlackRock (BLK), Citigroup (C), JPMorgan Chase (JPM)

  • Delta Air Lines (DAL) - expected: $1.16 per share (-21.6% YoY) on $13.6 billion revenue (+10.3% YoY)

  • Wells Fargo (WFC) - expected: $1.22 per share (+100.0% YoY) on $20.3 billion revenue (+3.5% YoY)

Full earnings calendar here

HEADLINES

Congress Reaches Spending Cap Deal to Avoid Government Shutdown

Largest U.S. Radio Company Audacy Files for Bankruptcy Protection as Ad Sales Tank

• Nation's top economists are short-term happy, long-term glum (more)

• Bond traders seize on 4% yields, confident Fed rate cuts coming (more)

• JPMorgan strategists see Treasuries’ rally resuming after ‘rest’ (more)

• Here’s where the jobs are for December 2023 — in one chart (more)

  • US payrolls increased by 216,000 in December, much better than expected (more)

• Short sellers see distress emerging in apartments as borrowing costs surge (more)

• FAA grounds more than 170 Boeing 737 Max 9s after section of Alaska Airlines plane blows out (more)

• Saudis cut crude prices to all regions amid oil-price weakness (more)

• Apple shares slip on report U.S. government preparing antitrust lawsuit (more)

• Carta customers say platform tried to trade their shares without consent (more)

• Alphabet’s Isomorphic Labs to collaborate with Novartis, Lilly (more)

• What to expect at CES 2024: AI, AI and more AI (more)

• Gen Zers who want the buzz but not the hangover are fueling a nonalcoholic spirits boom (more)

DEALFLOW

M & A | INVESTMENTS

• Southwestern, Chesapeake Energy close to $17B merger (more)

• Mainsail Financial Group acquires John L. Gunn & Associates (more)

• Brookfield purchases American Tower India Operations (more)

• HMP Global acquires Drug Channels Institute (more)

• Brookfield to buy ATC India for $2.5B, become country's top telecom tower firm (more)

• Synopsys in advanced talks to acquire software maker Ansys (more)

• Platinum Equity, an investment firm, acquired Horizon Organic, and Wallaby, from Danone (more)

• Mimecast, an email and collaboration security company, acquired Elevate Security, a provider of human risk management solutions (more)

• Elevance Health (NYSE: ELV), a healthcare company, acquired Paragon Healthcare, Inc., a company specializing in life-saving and life-giving infusible and injectable therapies (more)

• Vance Street-backed Micronics buys Solaft (more)

• Reimagine Care, a provider of virtual-first cancer care, received an investment from Oncology Ventures, a cancer-focused venture capital fund (more)

• Heart + Paw, veterinary and multi-service pet care company, received a strategic growth investment from Whistler Capital Partners (more)

• RoundTable invests in EHOB (more)

• Standard BioTools completes merger with SomaLogic (more)

VC

• CRISPR QC, a biotechnology startup, secured funding from Xcellerant Ventures in its ongoing Series A funding round (more)

• Ceretype Neuromedicine, a company specializing in the practical application and integration of functional MRI (fMRI), closed its second round of seed financing (more)

• Moonwalk Biosciences, a genomic medicine company, raised $57M in Seed and Series A funding (more)

• Clarametyx Biosciences, a clinical-stage company developing targeted, immune-enabling biologic therapies to counter persistent infections associated with biofilms, raised $33M in Series A funding (more)

• Nabla, a provider of an ambient AI assistant for practitioners, raised $24M in Series B funding (more)

• Medallion, a provider of a direct artist-to-fan platform, raised $13.7M in Series A funding (more)

• Credo Health, a company specializing in technology for value-based care, raised $5.25M in Seed funding (more)

• Hatz AI, a provider of a platform that allows MSPs to deliver AI to their customers, raised $2.5M in funding (more)

FUNDRAISING

• Banner Ridge Partners, a private equity investment firm, has completed fundraising for Banner Ridge Secondary Fund V (“BRP V”), at £2.15 Billion (more)

• TCG Crossover, a life sciences-focused investment firm with a flexible mandate to invest in both private and public companies, closed its second fund, TCGX Fund II, with $1B in capital (more)

• Exponent Founders Capital, an early stage venture capital firm, launched and disclosed it has raised $125M to date (more)

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CRYPTO

• US spot Bitcoin ETFs could win approval next week after last-minute application updates (more)

• If a Bitcoin ETF is approved, here’s what may happen (more)

BULLISH BITES

📚 What we’re reading: The Yellowbrick Road uses AI to find the best stock ideas from billion-dollar hedge funds, professional analysts, and millionaire traders. Get a free email with the top stock ideas every morning. Sign up for free

💲 Visualized: Check out the 2023 U.S. economy, in a dozen charts.

🍔 Going viral: Burger King employee buys first home using GoFundMe money—he received over 14,000 donations.

🌱 New funds: Early-stage fintech startups just got more funding sources.

🧋 Starbucks who? This expanding coffee chain continues rocketing toward profitability with a community all its own

DAILY SHARES

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