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Coffee With Greta: Volatile Day Ahead?


DJIA Futures: +56 (+0.1%)

SPX Futures: +3 (+0.1%)

NASDAQ Futures: -15 (-0.1%)

Good morning friends!

Futures are mixed as the market looks to end this down week on a high note.

Let’s get right to it!

Triple Witching

Today’s session could be more volatile than usual as the market experiences its first triple witching of the year. 

A triple witching is the quarterly expiration of stock options, stock index futures, and stock index options contracts all on the same day. 

It happens on the third Friday of the last month of each quarter. 

A total of more than $5 trillion options are set to expire during today’s session. 

$3.2 trillion index options expire at the open while $1.9 trillion in stock and ETFs options expire at the close. 

If the S&P 500 ends today’s session in the red, the index will log its second straight weekly loss for the first time since late October.

Bitcoin Pulls Back

Crypto-related stocks are falling ahead of the open as bitcoin retreats from record territory. 

The coin dropped from above $72,000 Thursday night to around $67,000 this morning, a roughly 7% decline. 

Currently bitcoin is trading around $67,800. 

Coinbase (COIN) shares are down 4.6%, MicroStrategy (MSTR) shares are 3.5% lower, and Marathon Digital (MARA) shares are down 2.7%.

Adobe Drops On Weak Guidance

Adobe (ADBE) shares are down 11.7% in premarket trade after beating fiscal Q1 expectations but issuing soft revenue guidance. 

Here’s how the design software maker’s results compared to analysts’ estimates:

  • Adjusted EPS: $4.48 vs $4.38 expected
  • Revenue: $5.18 billion vs $5.14 billion expected

Revenue rose 11% year over year. 

Adobe forecast fiscal Q2 adjusted EPS between $4.35 and $4.40 on $5.25 billion to $5.30 billion in revenue. 

The middle of that range implies 9% growth from last year. 

Analysts were anticipating $4.38 in adjusted EPS on $5.31 billion in revenue. 

Ulta Tumbles After Soft Forecast

Ulta Beauty (ULTA) shares are dropping 8.2% ahead of the open after beating Q4 expectations but issuing a soft forecast. 

Here’s how the beauty retailer’s results compared to analysts’ estimates:

  • EPS: $8.08 vs $7.53 expected
  • Revenue: $3.55 billion vs $3.53 billion expected

Comparable sales rose just 2.5% year over year.

For the full fiscal year, Ulta forecast EPS between $26.20 and $27 vs $27.01 expected. 

The company expects net sales of $11.7 billion to $11.8 billion, in line with analysts’ estimates. 

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