economy
We're updating our rating on recently spun FedEx Freight after a strong run-up
Every weekday, the Investing Club releases the Homestretch; an actionable afternoon update just in time for the last hour of trading.
TL;DR
- Investors are selling technology and AI infrastructure stocks to realize profits.
- The upcoming SpaceX IPO may be a factor in the current market selling.
- FedEx adjusted its annual dividend after spinning off its Freight business, with the new quarterly payment reflecting the separated entity.
- The adjusted dividend for FedEx results in a yield similar to when the position was initiated.
- The May consumer price index report is the most significant economic data release this week.
- A strong jobs report has raised concerns about potential Federal Reserve rate hikes.
- Quality companies like Johnson & Johnson and Cardinal Health are mentioned as potentially good investments despite not being AI-related.