Diamonds and Dogs
Beer is back. The Corona beer maker, Constellation Brands (STZ) is up 4% following better than expected earnings. Not only did Constellation beat expectations as revenue rose 10.1% year/year to $2.3 billion, but they also raised guidance for 2019. Demand was strong for the newly launched Corona Premier brand, a low-carb, low-calorie beer that resonated with millennial consumers. Constellation is also the company that invested $5 billion into cannabis company, Canopy Growth (CGC).
FANG stocks taking a hit. Apple (AAPL) and Amazon (AMZN) are lower by 2% as news Chinese operatives inserted microchips in motherboards sold to Apple and Amazon.com to spy on them. Facebook is down 2% to a five month low. Netflix and Google are down 3%. A majority of the share buybacks this year have been in the tech sector. With earnings on the horizon, the tech stocks may not be able to buy back their stocks until November. Could be a long month.