EOD recap - 7 Jul 26

Bruising day for momentum with the selling climax in the middle of the day. All high beta sectors were hit regardless of whether they were connected to the semis theme or not.
In memory, $MU and $SNDK ended the day down 5% and 7%. Overall $SNDK defended the 1.5k level listed earlier. $MU traded a tad stronger taking a few looks below 900.
Neoclouds were down across the board by about 10% with $CRWV coming out ahead by being down only 3.5%. Again, this is the second day of a strong performance by $CRWV within the sector.
Towards the later half of the day, $META released its image generation model within the chatbot of instagram. In the BBG article, it was also quoted that "Meta is still hungry for even more computing power...and moving forward with plans for expensive new data centers"
$AMZN also launched a 25B bond sale, moving the older bonds wider by about 7bps across.
In terms of how far the momentum sell off has come - the GSPRHIMO index is down about 28% while UBS own measure of momentum saw a 20% drawdown from the June peak - "marking it as one of the largest and fastest drawdowns of the past decade"
At these points, we have tagged the 50d MA for many of the popular names. For the momentum indexes, we are also at the 200d MA. While these momentum sell offs can definitely continue, dip purchases on the 200d MA on the momentum indexes have always proved to be quite profitable on a lookback basis.
Earnings wise -
$PENG Q3'26 earnings were a massive beat across the board. With a 50% EPS beat this ticker will probably get some bids especially if the markets improve.
$TE is down 20% today on dilution.
Good night!