Oil prices fall as key Russian port resumes loadings, easing supply risks
The stock market is rebounding from the AI apocalypse, where companies that announced better-than-expected results as well as good guidance, like Power Solutions (PSIX) and Ubiquiti (UI), were hit with mean reversion algorithms. We discussed these mean revision algorithms on Navellier Market Buzz. I want to remind all investors that fundamentally superior stocks bounce like “fresh tennis balls,” while bad stocks bounce like rocks.
I expect a nice rebound in fundamentally superior stocks. As we get closer to Thanksgiving, the stock market should naturally cheer up, since the holidays are a happy time of year. Furthermore, the negativity about the stock market is getting harder to defend in the wake of the strongest earnings in four years, plus 4% GDP growth.
One of the outcomes of the Trump tariffs is that Italian pasta manufacturers are increasingly deciding not to export to the U.S. The Wall Street Journal reported that Italy’s biggest pasta exporters say import and antidumping duties totaling 107% on their pasta brands will make doing business in America too costly. The Commerce Department has announced a 92% antidumping duty on pasta made in Italy by La Molisana and 12 other companies, which import the bulk of pasta from Italy to the U.S. There is also a 15% U.S. tariff on all Italian goods imported to the U.S.
It appears that eight Democratic Senators broke away from Senate Minority Leader Chuck Schumer to vote with Republicans to reach 60 votes and break the filibuster, which will then reopen the federal government after debate in the Senate and House of Representatives. The government shutdown was largely over cuts to healthcare subsidies. Ironically, healthcare reimbursement is NOT being changed, so in the end, Senate Schumer’s shutdown did not accomplish anything.