Market 2017-11-6 (USO, DIS, S, and more)

The market just cannot drop anymore, although it looks tired to me. Three indexes are lifted by Energy and continuous run of Apple.

Winners

USO (+3%) crude price reaches two-year high to $57.3. During the weekend, a new wave of arrests of royals and ministers in a Saudi corruption probe caused the increasing tension in Middle East. When crude price was around $50 few weeks ago, I predicted $56 as price target. At this point, I have no idea which direction it will go from here. If the Middle East tension persists, it may test $60 before correction.

 DIS (+2%) is in discussion to buy most of FOX (FOXA +9.9%, FOX +9.1%). DIS will get the studio and TV shows. FOX will keep the News network and sports network. This will enforce Disney's strength in movie studio (more power to make rules for theaters) and enrich its contents for upcoming streaming service to compete with Netflix.
DIS also has good news from Box Office that the 3rd Thor movie made $121M in US, and $151M outside ($55.6M from China). As comparison, the 1st Thor movie (2011) made $65.7M; and the 2nd The Dark World (2013) made $85.7M in opening weekend. From the better and better box office performance we can conclude the fan base is building larger, which makes Disney more attractive.

 AMD (+7.4%) will work with Intel (+1.4%) to fight Nvidia (+0.45%).

ATUS (+5.8%) made deal with S (-11.5%) on wireless service.

KORS (+14.7%) jumped after ER beat and raising guidance. Retail is not "that dead".


Losers

S (-11.5%) and TMUS (-5.7%) suffer from the death of merger talk. The rumor last Friday that merger talk came back alive should be investigated! Softbank is still committed to invest in S. VZ and T are also in deep red today.

DATA (-4.2%) continues its down trend.

Earnings AH

WTW Q3 EPS of $0.62 beats by $0.11. Revenue of $323.7M (+15.3% Y/Y) +11.6% AH

 Priceline (PCLN) ER beat, lower guidance --- Q4 EPS of $13.40 to $14.00 vs. $15.56 consensus and Q4 EBITDA of $870M to $910M vs. $1.00B consensus. -8.6% AH

TRIP Q3 EPS of $0.36 beats by $0.01. Revenue of $439M (+4.3% Y/Y). Hotel sales drop, -10% AH

 AMC Q3 EPS of -$0.33 beats by $0.03. Revenue of $1.18B (+51.3% Y/Y) beats by $20M. -4.1% AH

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