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Walmart says it’s ‘not going to be completely immune’ from Trump’s tariffs

Business 3 Mins Read

Walmart would likely see some impact from tariffs President Donald Trump is seeking to impose, especially if ones threatened against Canada and Mexico are implemented, the retailer said Thursday.

The big-box giant reported quarterly earnings and also signaled slowing profit growth. Its shares fell about 6% amid a broader market decline Thursday morning.

In an interview with CNBC, Chief Financial Officer John David Rainey said that while some two-thirds of Walmart’s products are sourced from the U.S., the company was “not going to be completely immune” from trade duties.

“We’ve lived in a tariff environment for the last seven or eight years, and we’ll do what we know how to do,” he said. “We’ll work with suppliers. We’ll lean into our private brand. We’ll shift supply where necessary to try to take advantage of lower costs that we can then pass on to consumers.”

Since Walmart is not sure if the tariffs will take effect next month, the company did not factor them into its guidance, Rainey said.

While a given company must pay a tariff up front if it imports a good from an affected country, the firm is ultimately forced to decide how to mitigate on those costs — and they often get passed down to shoppers.

Rainey previously told CNBC that there would likely be cases where prices for consumers would increase as a result of tariffs, adding that they are ‘inflationary’ for customers.

U.S. companies are seeing mounting queries about how they would be impacted by the levies Trump has called for. So far, only a supplemental 10% duty on Chinese goods has gone into effect, though the president has threatened a vast new array of tariffs depending on a given country’s current trade posture with the U.S. Steel and aluminum tariffs are set to kick in next month, while Trump this week called for new tariffs on automobiles, drugs, semiconductors and lumber imported to the U.S.

CNBC has found the word ‘tariffs’ has come up on more than 190 calls held by S&P 500 companies in 2025, putting it on track to see the highest share in half a decade. However, many, like Walmart, stated they were not yet figuring the effect of them into their official forward guidance and outlooks.

“We’ve game-planned out several scenarios and steps we could take depending on what actually goes into effect,” R. Scott Herren, the chief financial officer at the tech group Cisco, said in recent comments.

This week, the Federal Reserve indicated that discussion of tariffs had come up during its policy meetings, and had gone into its calculation for keeping interest rates elevated.

‘Business contacts in a number of Districts had indicated that firms would attempt to pass on to consumers higher input costs arising from potential tariffs,’ the central bank reported — something that could threaten to accelerate inflation.

And in its “upside risks to the inflation outlook,’ it cited ‘the possible effects of potential changes in trade and immigration policy.“

This post appeared first on NBC NEWS

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JetBlue talking to ‘multiple airlines’ about a new partnership

Business 2 Mins Read

JetBlue Airways is talking with “multiple airlines” about a potential new partnership after federal judges struck down two previous deals, the carrier’s president said Wednesday.

“If we find a deal that’s accretive, we’ll absolutely do it,” JetBlue’s president, Marty St. George, said at a Barclays industry conference.

A federal judge in 2023 ruled the New York airline’s partnership in the Northeast with American Airlines was anticompetitive, while a different judge last year blocked JetBlue’s plan to acquire budget carrier Spirit Airlines, which filed for Chapter 11 bankruptcy protection last year.

JetBlue representatives didn’t immediately respond to a request for comment.

JetBlue, which marked its 25th year of flying this month, has been searching for partnerships and deals to grow, contending it must do so to better compete with larger carriers like Delta, American and United.

St. George said a potential tie-up would benefit the company’s loyalty program, noting that customers say the frequent flyer points on JetBlue are not as strong as those of the big three U.S. carriers.

“Given that we really don’t have full global earn and burn, I think to be able to add that to our network would be very, very helpful,” he said.

This post appeared first on NBC NEWS

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Walmart is getting a bump from a surprising cohort: Wealthier shoppers

Business 8 Mins Read

Walmart is known for its low prices and no frills approach.

So it may come as a surprise that wealthier shoppers are helping to fuel the retailer’s growth.

For more than two years, the discounter has noticed more customers with six-figure incomes shopping on its website and in its stores. Households earning more than $100,000 made up 75% of the company’s market share gains in the fiscal third quarter, Walmart CEO Doug McMillon said on the company’s earnings call in November.

Those newer and more frequent customers have helped support the company’s aspirations to sell more higher-margin items, such as clothing and home goods. They are driving Walmart’s e-commerce sales, which have grown by double digits for 10 consecutive quarters. And they can boost the retailer’s newer revenue streams, such as subscription-based membership program Walmart+ and its advertising business Walmart Connect.

As Walmart reports its latest earnings on Thursday, Wall Street will be watching whether those upper-income customers are sticking around, after market share gains helped the retailer’s shares soar about 83% in the last year. Yet some investors have questioned whether Walmart’s traction with affluent shoppers has staying power, especially if the sticker shock of inflation cools.

In an interview with CNBC, Walmart U.S. CEO John Furner acknowledged that the retailer has gained and then lost upper-income customers before, such as in 2008 and 2009 during the Great Recession. Affluent shoppers stretched their dollars at the big-box retailer, but then ultimately returned to competitors.

This time, Furner said the gains will last because Walmart can save shoppers both time and money with e-commerce options.

“It’s different because we deliver to you at the curb [of the store],” he said in the late January interview. “We deliver to your house. We deliver your refrigerator. That whole Supercenter, which is an amazing retail format, is available in an hour or two for a large part of the country and growing really quickly.

Walmart’s expanding digital services have helped convince higher-income shoppers to give it a shot, said Brad Thomas, a retail analyst and managing director at KeyBanc Capital Markets. Some of those newer or more frequent customers have joined Walmart+, a subscription-based membership program that includes perks like free home deliveries. Walmart+, which launched about five years ago, is Walmart’s answer to Amazon Prime.

Walmart has not disclosed the program’s membership count, but it has reported double-digit membership income growth in each of the past four quarters..

Thomas said e-commerce options wipe out a potential hurdle for affluent shoppers: a potential stigma about shopping at the big-box stores themselves.

“There’s a customer in America that doesn’t think of itself as a Walmart shopper,” he said. “They think of themselves as a Target shopper or a Publix or a Whole Foods shopper and through the app and through the delivery capabilities, they can remain a non-Walmart core shopper, but get all the benefits of getting the branded items at Walmart prices.”

As inflation forced shoppers of all incomes to hunt for deals, some wealthier consumers realized they can get the same national brands like Tide detergent or Bounty paper towels from Walmart cheaper and often faster than at Amazon because of Walmart’s nearby stores, he said.

Walmart’s website and app have increased their selection, too, as the company has bulked up its third-party marketplace. Starting this summer, the company began offering premium beauty brands through its website, including hairdryers from T3 and perfumes from Victoria’s Secret.

Shoppers can now find handbags from Chanel and Louis Vuitton, too. Last month, Walmart announced a deal with resale platform Rebag, which sells the items through Walmart’s marketplace.

Yet as Walmart tries to keep those customers, it wants to encourage them to shop in person, as well. Walmart has stepped up investments in its stores to freshen its look and counter negative perceptions that higher-income shoppers might have.

Walmart has sped up the pace of remodels for its more than 4,600 stores across the U.S., with plans to revamp about 650 locations per year, an acceleration from a prior cadence of 450 to 500 per year, said Hunter Hart, senior vice president of Walmart Realty.

Remodeled stores have brighter lighting, wider aisles and mannequins, said Alvis Washington, Walmart’s vice president of retail brand experience. The stores also feature Walmart’s newer and more fashion-forward brands like Scoop and Free Assembly, and national brands that shoppers would recognize, such as Reebok.

The discounter launched a new grocery brand, BetterGoods, last year with colorful packaging and creative flavors that looks similar to merchandise that shoppers might find at Trader Joe’s or Target.

The Walmart U.S. CEO Furner said some of those changes have drawn upper-income customers to the company’s stores and app.

He said Walmart’s market share gains with affluent shoppers have come from online and in-store shopping, but added curbside pickup orders showed early signs of popularity with those customers. Even before the pandemic, Walmart saw that people who shopped with curbside pickup bought more higher-priced items, such as prime beef and seafood, Furner added.

He said that still rings true: Walmart sees more premium items in the shopping baskets of customers who buy online, get home deliveries or use curbside pickup.

Washington said Walmart treaded carefully with its store redesign, realizing it could risk its reputation for low prices and resonance with core customers, who typically have lower incomes. It promoted newer brands, but mixed in familiar staples, such as folded piles of inexpensive bath towels and denim.

“Having a great, elevated experience and great value aren’t mutually exclusive,” Walmart’s Washington said, recounting the company’s approach. “So when we looked at this, it’s like, how do we do both and make sure we can gain new customers and maintain the customers that we have?

When comparing remodeled stores to the rest of the fleet, Washington said higher comparable store sales reflect that customers like the different look. Walmart declined to provide specific numbers, saying it won’t release sales numbers until it reports fourth-quarter earnings.

Walmart’s customer mix for its U.S. e-commerce business hasn’t changed, even as it attracts higher-income shoppers, according to an analysis by market research firm Euromonitor. About 34% of Walmart’s online customers in the U.S. last year had incomes of $100,000 and above, which is roughly flat compared to two years prior.

Michelle Evans, global lead for retail and digital shopper insights at Euromonitor, said that indicates that Walmart is also gaining market share from lower- and middle-income customers.

Walmart still has a smaller share of higher-income shoppers than some key rivals: 49% and 48% of online U.S. shoppers at Target and Amazon, respectively, have incomes above $100,000.

Amazon remains a formidable competitor, especially when it comes to wealthier shoppers and general merchandise categories, Evans said. But Walmart’s biggest edge is its grocery department.

One of Walmart’s newer, higher-income shoppers is Francesca Frink. The 30-year-old lives in the Chicago suburb of Park Ridge, Ill. with her husband, Sam, 1-year-old son and their English setter. The Frink family’s combined annual household income is over $200,000.

Last fall, Francesca Frink signed up for Walmart+ after her mother-in-law ordered a stroller from Walmart’s website and got it dropped at her door three hours later.

Initially, she said she hesitated to order fresh foods from Walmart. She bought packaged items like pasta and flour. Yet over time, the couple began ordering a larger portion of groceries, dog treats and even clothes for their son from Walmart.

The Frinks have stopped going to their old grocery store, Kroger-owned supermarket Mariano’s. They estimate that their weekly grocery bill is about 20% cheaper.

Previously, the couple said they avoided Walmart because their nearest store is outdated. Yet Sam Frink said the game has changed with curbside pickup and home deliveries.

“You don’t have to go in,” he said. “That’s the biggest thing.”

Francesca Frink said home deliveries from Walmart, included in their Walmart+ membership, save the couple time while they juggle two careers, a toddler and a dog. Plus, she said she found that Walmart had the grocery items she wanted and even those she didn’t expect, including organic blueberries, natural peanut butter and specialty mushroom ravioli.

Still, Francesca Frink said she still faces some apprehension from friends and family about buying groceries from Walmart.

But she said they’ve been surprised when they’ve tried and liked food items from Walmart.

In her day job, Euromonitor’s Evans tracked Walmart’s digital gains with higher-income shoppers. Yet she also saw it firsthand in her household.

Her husband signed the family up for Walmart+. During the holiday season, he told her all of his Christmas purchases would be coming from the discounter.

“He made a comment that all the gifts were coming from Walmart, and obviously that comes with a certain impression,” she said.

So she was surprised when she opened his gift and discovered it was a Michael Kors tote.

This post appeared first on NBC NEWS

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Business

ESPN plans to add user-generated content to upcoming ‘flagship’ streaming service

Business 2 Mins Read

In an attempt to court younger audiences, Disney’s ESPN is planning to add some user-generated content to its yet-to-be-named flagship streaming service, which will debut later this year.

While the details are still unclear, ESPN will allow subscribers to post their own content at some point in the application’s evolution, according to people familiar with the matter. The technology likely won’t be available at launch, which the company hopes will occur before the National Football League season begins in September. An ESPN spokesperson declined to comment.

Disney executives have also considered adding user-generated content to Disney+ and discuss YouTube’s influence on streaming on a near daily basis, CNBC reported last year.

Alphabet’s YouTube, which leans heavily on creator-led content, is the most popular streaming service with an 11.1% share of total TV usage in the U.S., according to Nielsen.

ESPN executives are targeting a price of either $25 per month or $30 per month for the ESPN streaming service, which will include all of ESPN’s linear programming plus other digital add-ons, the people said.

The company plans to announce a name for the service, a price and a launch date in the coming months, the people said.

Media and professional sports league executives are focusing on how to capture the attention of younger viewers that are opting to watch YouTube or TikTok over live games. ESPN spends tens of billions of dollars each year on the media rights for live sports.

This post appeared first on NBC NEWS

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Airbus could prioritize deliveries to non-U.S. customers if Trump tariffs impede trade, CEO says

Business 3 Mins Read

Airbus could prioritize deliveries to its non-U.S. customers if tariffs disrupt the European plane maker’s imports stateside, CEO Guillaume Faury said Thursday.

“We have a large demand from the rest of the world, so [if] we face very significant difficulties to deliver to the U.S., we can also adapt by bringing forward deliveries to other customers which are very eager to get planes,” Faury told CNBC’s Charlotte Reed, in an interview discussing the company’s full-year results.

“Those tariffs are looming, and we don’t know what they will be, [and], if and when we would have tariffs come in, what they would impact. So we stand ready to adapt accordingly,” Faury said, referring to U.S. President Donald Trump’s wide-ranging tariff threats which have already been ramped up against China.

Faury nevertheless stressed that Airbus had made moves in recent years to not only buy more from the U.S. and sell a significant number of aircraft and helicopters in the U.S., but also to base part of its production locally.

That includes a large output site in Mobile, Alabama, with two final assembly lines for the company’s A220 and A320 family jets, with another U.S. line under construction to build A320 and A321s for the domestic market.

A host of large U.S. carriers are Airbus customers, including American Airlines, Delta, United and JetBlue.

“So we have a lot of potential flexibilities,” Faury said regarding the potential imposition of duties, whose details remain uncertain.

“Bottom lime, we believe in this industry — that is very much a North Atlantic ecosystem with a lot of interdependencies — tariffs would hurt both sides. So I hope, I believe, we will not be significantly impacted by tariffs,” Faury said.

The European plane maker’s target for around 820 aircraft deliveries in 2025 was issued “in spite of those uncertainties, to clarify what we think we can deliver this year absent tariffs,” Faury said.

Airbus, meanwhile, remains stymied by a host of supply chain issues which are limiting its ability to ramp up production and work through its order backlog of more than 8,000 jets, Faury told CNBC.

His comments come after the company earlier on Thursday reported a 6% rise in annual revenue, but an 8% fall in adjusted operating profit to 5.35 billion euros ($5.59 billion) across 2024.

Profit at the company’s defense and space unit swung to a loss of 656 million euros for the full year.

Faury told CNBC that space was the “area where we are suffering,” amid competition from players such as Elon Musk’s SpaceX and past investment in technologies that had proven difficult.

“We underestimated the risk compared to the reality,” Faury said, adding that the company was restructuring the unit and working to solve existing issues.

Despite challenges, Airbus’s annual results served to highlight its strength over its crisis-hit U.S. rival Boeing, which reported an annual loss of $11.83 billion for 2024.

This post appeared first on NBC NEWS

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Stock

From Crash to Comeback: Is SMCI Stock the Hottest AI Asset Right Now?

Stock 4 Mins Read

Super Micro Computer, Inc. (SMCI) stock surged over 50% after reporting earnings last week. The top and bottom line results weren’t stellar. The guidance, however, was enough to fuel a buying frenzy, driving the stock’s rally to a 110% gain this month. But is it sustainable?  Once SMCI pulls back, does it have the technical strength and fundamental conditions to make it a favorable trade?

SMCI set its revenue guidance to $40 billion by 2026, an ambitious target. Many analysts are skeptical, with several maintaining their “underweight” rating. Investors, on the other hand, are jumping in regardless, betting on increased AI infrastructure spending, particularly among giants like Meta (META), Amazon (AMZN), Alphabet (GOOGL), and Microsoft (MSFT).

With bulls and bears divided, what do the technicals say? What entry points and targets might the price action give us, if any? 

Let’s get started. Below is a weekly chart detailing SMCI’s two-year price action.

FIGURE 1. WEEKLY CHART OF SMCI STOCK.  The stock saw an impressive rise followed by an equally strong fall. Can it sustain its recovery? Chart source: StockCharts.com. For educational purposes.

From May 2023 to March 2024, SMCI saw a jaw-dropping rally of 1,167% from around $10 a share to $120. But then, it all came to a screeching halt as financial and regulatory concerns — specifically allegations of accounting and transaction irregularities — sent the stock into a prolonged tailspin. Over nearly a year of selling pressure, SMCI plummeted, finally hitting rock bottom at $23 in November.

Since then, SMCI has been attempting to recover, twice testing and finally breaking above resistance at the $50 range (see the highlighted yellow range). Interestingly, despite its year-long plunge, it still outperformed its broader industry, represented by the Dow Jones US Computer Hardware Index ($DJUSCR), by $297%.

So, what does the situation look like up close, and might there be an entry point? Let’s now shift over to a daily chart.

FIGURE 2. DAILY CHART OF SMCI STOCK. The trend is shifting, so it’s important to watch the key levels and momentum shift via the full stochastic oscillator. Chart source: StockCharts.com. For educational purposes.

First, note how the StockCharts Technical Rank (SCTR) score jumped well above the bullish 70-line. The shift from extreme technical weakness to technical strength potentially foreshadows a bullish shift in the trend. But it depends on how price responds to a few key levels.

The price looks a bit overextended. While runaway gaps tend not to get filled immediately within a week after the move, there’s still the likelihood that a pullback may occur in the next few sessions. The Stochastic Oscillator is well above 80, signaling a potentially overbought condition, although both lines (%K and %D) have been known to occasionally hover in either extreme (above 80 and below 20) for a prolonged period. 

About the stochastic oscillator, note how it signaled the (overbought) limit of each major swing high during the downtrend. If SMCI’s trend shifts upward, you will use the oscillator to anticipate potential swing lows throughout the uptrend. 

Concerning the trend, look at the ZigZag line highlighting the stock’s major swing points. For the bullish reversal to evolve into a full-fledged uptrend, it should remain above the most recent swing low point (see blue dotted line) near $25.  Before that, however, SMCI may rebound at the recently breached resistance level (yellow line). If it drops below this level, the next potential support is around $37.50 (blue line), which has acted as both support and resistance from last September to this February.

At the Close

If you’re considering a position in SMCI, here are your next steps:

  1. Add SMCI to your ChartLists.
  2. Monitor price action if SMCI pulls back, paying close attention to how it reacts to the key levels mentioned above.

A bounce off support could indicate a favorable entry point. However, if the price falls below $25, the bullish outlook becomes uncertain. A drop below $17.50 would invalidate the bullish thesis entirely.

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

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Stock

Three Signs of the Bear and What May Come Next!

Stock 5 Mins Read

I was taught that the most bullish thing the market can do is go up. And while the major equity averages are yet again at or near all-time highs, there are three macro technical signals that I’ve found to be very common at major market tops.

And while the prevalence of these signals does not guarantee a top will occur in February 2025, it tells me that until these conditions change, further upside could be limited from here.

The Magnificent 7 have transformed into the Meager 7. So which sectors or stocks might take the lead in 2025? Join me in our upcoming FREE webcast on Wednesday 2/26 at 1:00pm ET as we explore sector rotation trends, analyze growth vs. value dynamics, and spotlight stocks gaining momentum in Q1. Can’t make it live? No worries! Just register and I’ll send you the replay as soon as it’s ready. Sign up for Finding Value: The Great Rotation of 2025 today!

Let’s go through these signs of the bear, review recent examples, and discuss what we would need to see to reconfirm a new bull phase for stocks.

Bearish Momentum Divergences Suggest Bull Exhaustion

Our first common feature of bull market tops is a surplus of bearish momentum divergences. When prices move higher on stronger momentum, the uptrend is in good shape. But when prices push higher on weaker momentum readings, that suggests a dangerous situation where selling pressure is not yet being reflected in stock prices.

While I could share my chart of the S&P 500, or perhaps Alphabet (GOOGL) which featured a bearish momentum divergence going into its recent high, I’ll go with the daily chart of Synchrony Financial (SYF). Here we can see a clear pattern of higher highs in price from November 2024 through February 2025. But note how the RSI is sloping lower during this period.

When previous leadership names start to flash a pattern of weaker momentum, that illustrates how distribution is occurring which pushes an indicator like RSI lower even though the prices remain in an uptrend. And while this does not necessarily mean a top is in place, it tells me that the current uptrend phase should be brought into question.

Breadth Indicators Have Not Confirmed Recent Highs

Healthy bull markets are marked by improvement in market breadth indicators, as more and more stocks participate in the upside. In recent months, to the contrary, we have seen breadth indicators trending downward while the major averages are making new all-time highs.

Out of the breadth indicators I track on my Market Misbehavior LIVE ChartList, one of my favorites is the simple advance-decline line. And whether we’re looking at the S&P 500 members, the entire New York Stock Exchange, or even mid-caps or small caps, all of these advance-decline lines have been sloping down since November.

To be clear, a breakout in these cumulative advance-decline lines would display a very different picture, representing a broad advance and stronger breadth conditions. But until and unless the A-D lines can propel above their Q4 2024 highs, this remains a market with meager breadth readings.

Dow Theory Non-Confirmation Suggests Limited Upside

Finally, we have an updated version of Charles Dow’s original work comparing different market indexes, a strategy now known as “Dow Theory”. While Dow used the Dow Industrials and Dow Railroads, and though we could use the Dow Industrials and Dow Transports, I prefer to use an equal-weighted S&P 500 versus the equal-weighted Nasdaq 100.

The idea is that if both indexes are making new highs, then the bull market is confirmed. If one is breaking out while the other is now, this represents a “bearish non-confirmation” and suggests limited upside unless that divergence is negated.

The equal-weighted Nasdaq 100 did make a new high in February, pushing above its early December peak. The equal-weighted S&P 500, however, is still well below its own top from late November. Similar to the advance-decline analysis above, if both ETFs finally confirm new highs, then that would suggest further upside for the major equity averages. But for now, this non-confirmation has me questioning the sustainability of the current uptrend phase.

To be clear, my Market Trend Model is still bullish on all time frames, confirming that the primary trend remains positive for the S&P 500. The only way to anticipate a potential top is to look for similar conditions experienced in previous major tops. Based on the charts shared today, we may be nearing the exhaustion point of the current bull market phase.

RR#6,

Dave

PS- Ready to upgrade your investment process?  Check out my free behavioral investing course!

David Keller, CMT

President and Chief Strategist

Sierra Alpha Research LLC

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice.  The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.  

The author does not have a position in mentioned securities at the time of publication.    Any opinions expressed herein are solely those of the author and do not in any way represent the views or opinions of any other person or entity.

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Unleash the Power of BPI: The Key to Boosting Your Investment Returns

Stock 4 Mins Read

On Wednesday, the Federal Reserve released minutes from its January 28–29 meeting. There weren’t any surprises — the Fed wants to see inflation go lower before cutting interest rates again and would also like to see the impact of the new administration’s policies before making interest rate cut decisions. The takeaway: We won’t see rate cuts in the next Fed meeting.

The broader equity indexes rose after the Fed minutes were released, with the S&P 500 ($SPX) closing at a record high — that’s two consecutive record-high closes. The upside moves may not have been big spikes, but they were enough to show that investor sentiment is bullish and market breadth is improving. Bond prices also rose slightly. 

Sector Strength

The Bullish Percent Index, an amazing indicator that gives you an indication of the internal health of an index or sector, displayed significant gains for several indexes and sectors. The S&P Industrials Sector BPI ($BPINDY) and the S&P Technology Sector BPI ($BPINFO) gained over 5%, the S&P Healthcare Sector BPI ($BPHEAL) gained over 3.50%, and the Nasdaq 100 BPI ($BPNDX) gained almost 3%.

Let’s look at the charts of the Industrials BPI and Technology BPI. The chart of the Industrials BPI (see below) shows that it has just crossed over the 50 level, an indication the sector is gaining bullish strength. The daily chart of the Industrial Select Sector SPDR Fund (XLI), a proxy for the Industrial sector, is still trading sideways and its 50-day simple moving average (SMA) is still trending lower (see chart below). However, if the BPI of the sector rises higher, there could be an upside move in this sector. 

FIGURE 1. DAILY CHART OF THE S&P INDUSTRIALS SECTOR BPI AND INDUSTRIAL SELECT SECTOR SPDR ETF. The bullish move isn’t evident in the chart of XLI but if $BPINDY continues to rise, XLI could move toward its all-time high. Chart source: StockCharts.com. For educational purposes.

Shifting to the daily chart of $BPINFO, it’s clear that BPI is above 60, indicating bulls are in control in this sector. The Technology Select Sector SPDR ETF (XLK) is at its all-time high, which could be toppy. A break above this level would be bullish for the Tech sector. 

FIGURE 2. DAILY CHART OF $BPINFO. The Technology sector is more bullish than the Industrials, but it could be getting toppy. A break above prevailing levels could mean the Tech sector still has legs. Chart source: StockCharts.com. For educational purposes.

Market Participation

Overall, there looks to be broader participation in the stock market. The S&P 500 Equal Weighted Index ($SPXEW) is moving higher (see chart below) but is battling against a resistance level (green line). A break above its current level clears the path for the index to reach its 52-week high. 

FIGURE 3. DAILY CHART OF THE S&P 500 EQUAL WEIGHTED INDEX. The index is moving higher but has hit resistance. A break above this resistance level would confirm broader market participation. Chart source: StockCharts.com. For educational purposes.

Closing Position

Despite the uncertainty surrounding the stock market, the markets are leaning to the bullish side. We’re seeing upside movement in other asset classes besides the Mag 7 stocks. Monitor the BPI of various indexes and sectors. The simplest way is to follow these steps:

  • Download the Essentials ChartPack.
  • The US Sectors – Bullish Percent Indexes ChartList contains the BPI of all the sectors.
  • The Market & Index Bullish Percent Indexes ChartList contains BPIs of various indexes.
  • The US Industries – Bullish Percent Indexes ChartList contains charts of two indexes.
  • You can modify these ChartLists by adding/deleting symbols.
  • Monitor your ChartLists regularly.

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Investing

Lode Gold Sets Date for Shareholder Meeting to Approve Plan of Arrangement for Spinout Monday, March 10, 2025 at 10AM MST

Investing 8 Mins Read

Lode Gold Resources Inc. (TSXV: LOD) (OTCQB: LODFF) (‘Lode Gold’ or the ‘Company’) is pleased to announce that a shareholder meeting has been scheduled to approve the plan of arrangement for the tax-efficient spinout of Gold Orogen. The meeting will take place on Monday, March 10, 2025, at 10:00 AM MST. Details regarding Lode Gold’s Annual General Meeting (AGM) are available on our website: https:lode-gold.cominvestors2024-agm.

The two companies will trade as separate entities upon court filing with the court, 5 to 10 days after shareholder and TSX-V approval.

Before the Record Date, all Lode Gold shareholders will receive Gold Orogen spinout shares. The Company plans to close its private placement by March 10, 2025. Each $0.18 unit includes one common share and a warrant, allowing the holder to buy a share at $0.35 for three years after closing.

Upon completion of the spin-off, the Companies will be structured as follows:

Gold Orogen (Spin Co.)

Gold Orogen is an exploration pure play with two choice assets. Both assets are located in highly prospective areas and each can potentially be a company maker and a standalone asset.

Asset 1:

  • 27 km strike, 99.5 km2 in Yukon, prolific Tombstone Belt (Snowline, 3 Aces, Rackla)
  • Total of 4 Reduced Intrusive Targets (RIRGS similar to Snowline)

Confirmed on WIN:

  • Signature host rocks, hornfels and reduced intrusives
  • High bismuth to gold ratio, gold-bearing sheeted quartz veins

Asset 2:

  • New Brunswick: created one of the largest land packages at 445 km2
  • Geological analogue to New Found Gold, Galway, Calibre Mining
  • Confirmed gold endowment – mineralized rhyolites (same geology as Puma-Kinross)

Lode Gold (Parent): Underground Mine Potential (previously mined at 10.7 g/t Au)

The Fremont Gold project is located on the Mother Lode Belt Lode Gold on patented private land in Mariposa County. Lode Gold is the first owner since mining suspension in 1942, to evaluate the project as an underground opportunity.

  • Fremont: 4km strike on the Mother Lode Belt
  • Private patented land: 3,351 acres, 100% owned in Mariposa County (Need County Approval; 5 Supervisors oversee County*) *County: 17,000 and Town: 2,000 people
  • Mariposa is designated as one of Trump Administration’s Opportunity Zones, designated for expedited investments and tax incentives
  • California: 700 permitted mines; 14 gold mines
  • Target: 2 Moz underground 4 g/t Au (Previously mined in the 1930’s at 10.7 g/t)
  • Typical Orogenic Deposit with Structure & Controls
  • 3 Step-Out Holes hit structure and were mineralized (up to 1300m)
  • 2 nearby mines were up to 1,800m deep at 13 g/t
  • Brownfield with 23 km of underground workings and over 43,000 m drilled (cores preserved)
  • Only 8% of the MRE exploited; mostly in the first 250 m; much has been left unmined
  • 2023 MRE: 1 Moz (M&I) + 2 Moz (Inf)
  • 2023 PEA at USD $2,000/oz Au: After-tax NPV (5%) USD $370M, 31% IRR, 11 years LOM
  • Close to road, rail, power, water
  • Mine suspended in 1942 for the war effort

About Lode Gold

Lode Gold (TSXV: LOD) is an exploration and development company with projects in highly prospective and safe mining jurisdictions in Canada and the United States.

In Canada, its Golden Culvert and WIN Projects in Yukon, covering 99.5 km2 across a 27-km strike length, are situated in a district-scale, high grade gold mineralized trend within the southern portion of the Tombstone Gold Belt. A total of four RIRGS targets have been confirmed on the property. A NI 43-101 technical report has been completed in May 2024.

In New Brunswick, Lode Gold has created one of the largest land packages with its Acadian Gold JV Co; consisting of an area that spans 445 km2 and a 44 km strike. McIntyre Brook covers 111 km2 and a 17-km strike in the emerging Appalachian/Iapetus Gold Belt; it is hosted by orogenic rocks of similar age and structure as New Found Gold’s Queensway Project. Riley Brook is a 335 km2 package covering a 26 km strike of Wapske formation with its numerous felsic units. A NI 43-101 technical report has been completed in August 2024.

In the United States, the Company is advancing its Fremont Gold project. This is a brownfield project with over 43,000 m drilled and 23 km of underground workings. It was previously mined at 10.7 g/t Au in the 1930’s.

Mining was halted in 1942 due the gold mining prohibition in World War Two (WWII) just as it was ramping up production. Unlike typical brownfield projects that are mined out, only 8% of the veins have been exploited. The Company is the first owner to investigate an underground high grade mine potential at Fremont.

The project is located on 3,351 acres of private and patented land in Mariposa County. The asset is a 4 km strike on the prolific 190 km Mother Lode Gold Belt, California that produced over 50,000,000 oz of gold and is instrumental in the creation of the towns, the businesses and infrastructure in the 1800s gold rush. It is 1.5 hours from Fresno, California. The property has year-round road access and is close to airports and rail.

Previously, in March 2023 the company completed an NI 43 101 Preliminary Economic Assessment (‘PEA’). A sensitivity to the March 31, 2023 PEA at USD $2,000/oz gold gives an after-tax NPV of USD $370M and a 31% IRR over an 11-year LOM. At $1,750 /oz gold, NPV (5%) is $217M. The project hosts an NI 43-101 resource of 1.16 Moz at 1.90 g/t Au within 19.0 MT Indicated and 2.02 Moz at 2.22 g/t Au within 28.3 MT Inferred. The MRE evaluates only 1.4 km of the 4 km strike of Fremont property. Three step-out holes at depth (up to 1200 m) hit structure and were mineralized.

All NI 43-101 technical reports are available on the Company’s profile on SEDAR+ (www.sedarplus.ca) and the Company’s website (www.lode-gold.com)

ON BEHALF OF THE COMPANY

Wendy T. Chan, CEO & Director

Information Contact

Winfield Ding
CFO
info@lode-gold.com
+1-604-977-4653

Kevin Shum
Investor Relations
kevin@lode-gold.com
+1 (647) 725-3888 ext. 702

Cautionary Note Related to this News Release and Figures

This news release contains information about adjacent properties on which the Company has no right to explore or mine. Readers are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on the Company’s properties.

Cautionary Statement Regarding Forward-Looking Information

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

This news release includes ‘forward-looking statements’ and ‘forward-looking information’ within the meaning of Canadian securities legislation. All statements included in this news release, other than statements of historical fact, are forward-looking statements including, without limitation, statements with respect to the use of proceeds, advancement and completion of resource calculation, feasibility studies, and exploration plans and targets. Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as ‘anticipate’, ‘believe’, ‘plan’, ‘estimate’, ‘expect’, ‘potential’, ‘target’, ‘budget’ and ‘intend’ and statements that an event or result ‘may’, ‘will’, ‘should’, ‘could’ or ‘might’ occur or be achieved and other similar expressions and includes the negatives thereof.

Forward-looking statements are based on a number of assumptions and estimates that, while considered reasonable by management based on the business and markets in which the Company operates, are inherently subject to significant operational, economic, and competitive uncertainties, risks and contingencies. These include assumptions regarding, among other things: the status of community relations and the security situation on site; general business and economic conditions; the availability of additional exploration and mineral project financing; the supply and demand for, inventories of, and the level and volatility of the prices of metals; relationships with strategic partners; the timing and receipt of governmental permits and approvals; the timing and receipt of community and landowner approvals; changes in regulations; political factors; the accuracy of the Company’s interpretation of drill results; the geology, grade and continuity of the Company’s mineral deposits; the availability of equipment, skilled labour and services needed for the exploration and development of mineral properties; currency fluctuations; and impact of the COVID-19 pandemic.

There can be no assurance that forward-looking statements will prove to be accurate and actual results, and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include a deterioration of security on site or actions by the local community that inhibits access and/or the ability to productively work on site, actual exploration results, interpretation of metallurgical characteristics of the mineralization, changes in project parameters as plans continue to be refined, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, delays or inability to receive required approvals, unknown impact related to potential business disruptions stemming from the COVID-19 outbreak, or another infectious illness, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators, including those described under the heading ‘Risks and Uncertainties’ in the Company’s most recently filed MD&A. The Company does not undertake to update or revise any forward-looking statements, except in accordance with applicable law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/241602

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StrategX Discovers High-Grade Copper at East Arm, Great Slave Lake, Northwest Territories, Canada

Investing 7 Mins Read

StrategX Elements Corp. (CSE: STGX) (‘StrategX’ or the ‘Company’) is pleased to announce the discovery of high-grade copper mineralization at its East Arm Copper Project (‘East Arm’). Recent surface sampling has returned copper values ranging from 1% to 10%, underscoring significant exploration potential within a 2-km corridor of sedimentary-hosted mineralization accessible from the Great Slave Lake. Encouraged by these results, the Company has expanded its property position by staking an additional 6,425 hectares in the area.

StrategX’s copper targets at East Arm are situated along a major continental-scale craton margin, hosted in Paleoproterozoic sediments, and occur on trend with the Pine Point Zinc mine, currently being developed by Osisko Metals. For further details, refer to Figures 1-4.

Key Highlights:

  • High-Grade Copper Mineralization: Surface rock chip samples have returned copper values of up to 10.1% Cu, with mineralization hosted in Paleoproterozoic sediments along the Murky Channel Fault. The results align with a sedimentary-hosted copper deposit model.
  • Significant Copper & Silver Values: Copper mineralization includes chalcocite and covellite-both key high-grade copper minerals-accompanied by elevated silver values up to 54.5 g/t.
  • Advancing Exploration: StrategX is compiling historical exploration data to refine targets and design a modern drill-focused exploration program. Historical surface sampling has reported copper values ranging from 2% to 35% Cu over a 2-km trend (see Figures 2 & 3).

A summary of the recent high-grade copper assay results from the Company’s sampling program is presented in Table 1.

Table 1 – StrategX Assay Results (2024)
Northing Easting Silver
(Ag) ppm		 Copper
(Cu) ppm		 Copper (Cu) %
488362 6903463 24.9 >10000 1.28
488374 6903459 54.5 >10000 5.11
488415 6903479 7.0 >10000 6.05
488440 6903303 0.7 336 0.03
488395 6903282 1.9 267 0.03
488384 6903272 1.4 661 0.06
488376 6903258 2.8 1320 0.13
488432 6903261 1.1 52.5 0.01
488444 6903278 0.6 249 0.03
488483 6903343 10.0 >10000 2.65
488559 6903391 42.6 >10000 10.10
488585 6903403 33.2 >10000 2.91

 

East Arm Copper Project Overview

The East Arm Copper Project is easily accessible, located 315 km northeast of Hay River Harbour, a major transportation hub connecting to Alberta via highway. StrategX’s mineral claims can be reached by boat, with the nearest community, Łutselk’e, accessible via a 45-minute scheduled flight from Yellowknife (see Figure 1).

Recent fieldwork on the westernmost area of East Arm has confirmed high-grade copper hosted in brecciated sediments, expanding the known footprint of copper showings (Figures 2 & 3). The area has not been explored since the 1970s, when isolated historical blasted trenches revealed highly anomalous copper values. Historical reports also describe extensive chalcopyrite, bornite, and chalcocite mineralization, though no assay data was recorded. Figure 4 provides photos of high-grade copper mineralization observed in recent surface rock samples collected by the Company.

 Figure 1: Location of the East Arm Copper Project and recent staking completed in the Murky Channel high-grade copper target area

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/8512/241584_8cbca75574e36baa_005full.jpg

Figure 2: Location of high-grade copper showings at Murky Channel area.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/8512/241584_figure2.jpg

Figure 3: A view to the northeast of the East Arm Copper showings along the Murky Channel Fault.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/8512/241584_figure3.jpg

Figure 4: Photos 1, 2, 3a-b are referenced in Figure 2 as to their location in the field.

To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/8512/241584_figure4.jpg

Next Steps

  • Detailed petrographic analysis of copper mineralization and sedimentary host rock.
  • Ongoing compilation of historical data to refine drill targets.
  • Comparative studies of world-class sedimentary-hosted copper deposits to assess potential.
  • Complete surface geochemical and geophysical surveys.
  • Geological mapping and prospecting to further delineate high-priority targets.

StrategX is excited to advance field exploration at East Arm in the coming months, with the goal of defining drill targets and potentially discovering a significant high-grade copper deposit in the Northwest Territories.

Importance of Copper

  • Key to the Green Energy Transition – Copper is essential for electric vehicles, renewable energy systems, and global electrification, playing a crucial role in building a sustainable future.

  • Rising Demand vs. Limited Supply – Global demand for copper is projected to significantly exceed supply, driven by infrastructure expansion, electrification, and technological advancements.

  • Aging Mines & the Need for New Discoveries – Many of the world’s largest copper mines are reaching depletion, increasing the urgency for new high-grade deposits.

  • Scarcity of High-Grade Copper – Industry experts highlight that high-grade copper deposits are becoming increasingly rare, making new discoveries highly valuable.

  • Market Growth & Investment Potential – Copper prices have trended upward again, above US$4 per lb (the record all-time high was $5.20 per lb in May of 2024), fueled by supply shortages, growing industrial demand, and its critical role in the global economy.

Qualified Person

The geological and technical data contained in this press release were reviewed and approved by the Vice President – Exploration for StrategX, Gary Wong, P.Eng., a qualified person as defined by National Instrument 43-101 Standards of Disclosure for Mineral Projects.

Analytical Methods & QA/QC Protocols

Grab samples, by their nature, are selected samples and may not be indicative of underlying mineralization.

The analytical work reported herein was performed by ALS Global (‘ALS’), Vancouver, Canada. ALS is an ISO-IEC 17025:2017 and ISO 9001:2015 accredited geochemistry laboratory and is independent of the Company and the QP.

Samples were crushed entirely to 70% passing – 2mm, 250g split off and pulverized to better than 85% passing 75 microns. Multi-Element Ultra Trace uses a four-acid digestion performed on 0.25g sample to quantitatively dissolve most geological materials, culminating in analytical analysis performed with a combination of ICP-AES and ICP-MS (method ME-MS61). Overlimit samples (> 10,000 ppm Cu) were then subjected to Cu-OG62 method, which uses a four-acid digestion and an ICP finish on a 0.4g sample.

No external QA/QC samples were inserted because of the relatively small program size and the fact that these were field grab samples.

About StrategX

StrategX is an exploration company focused on discovering critical metals in northern Canada. With projects located on the East Arm of the Great Slave Lake (Northwest Territories) and the Melville Peninsula (Nunavut), the Company is pioneering new discoveries in these underexplored regions. By integrating historical data with modern exploration techniques, StrategX provides investors with a unique opportunity to participate in new critical metal district discoveries. These essential metals play a key role in global electrification, the green energy transition, and national supply chain security. For the latest updates and insights, visit our Investor Portal.

On Behalf of the Board of Directors

Darren G. Bahrey
CEO, President & Director

For further information, please contact:

StrategX Elements Corp.
info@strategXcorp.com
Phone: 604.379.5515

For further information about the Company, please visit our website at www.strategXcorp.com

Neither the Canadian Securities Exchange nor its regulation services accept responsibility for the adequacy or accuracy of this release.

Disclaimer for Forward-Looking Information

All statements included in this press release that address activities, events, or developments that the Company expects, believes, or anticipates will or may occur in the future are forward-looking statements. These forward-looking statements involve numerous assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition, these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections, and other forward-looking statements will prove inaccurate, certain of which are beyond the Company’s control. Readers should not place undue reliance on forward-looking statements. Except as required by law, the Company does not intend to revise or update these forward-looking statements after the date hereof or revise them to reflect the occurrence of future unanticipated events.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/241584

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