PreMarket Prep Recap: Trade War, Brexit Movers, Oracle Earnings

In addition to discussing the price action induced by the ongoing trade war with China, issues in the crosshairs of Brexit were discussed on Friday's PreMarket Prep Show.

Deal On, Deal Off, Deal On Again

As hard it is to ignore the often-conflicting trade war headlines, the fact of the matter is that a deal will eventually get done.

How much of that has already been baked into the market remains to be seen. 

Johnson Victory Finally Clears The Way For Brexit

After the close Thursday, it was announced that U.K. Prime Minister Boris Johnson had won the "Brexit election."

In other words, his decisive victory should allow him to complete the United Kingdom's withdrawal from the European Union, a process that has been ongoing since June 2016.

The major beneficiaries of the announcement were the banking stocks domiciled in Britain.

Since those issues — Barclays PLC BCS, Royal Bank of Scotland Group PLC RBS and HSBC Holdings plc HSBC — had already been trading on the London Stock Exchange for hours at the time of Friday's show, the major price discovery had already taken place. 

For investors looking to exit these issues on good news, the premarket highs were given as potential areas of resistance during the U.S. market session. Off the open, those highs were tested and held, and the aforementioned issues have drifted lower.

Oracle Being Oracle

After observing the price action for years before and after earnings reports, PreMarket Prep co-host Dennis Dick was unsurprised by the price action following Oracle's second-quarter print. 

In several instances over the years, the issue has had a nice rally into the report and then retreated no matter what the results were.

LifeSci Venture Partners Join The Show

Midway through the broadcast, Paul Yook and Mark Charest, Ph.D. of LifeSci Venture Partners joined the show. 

They provided insightful commentary on the complicated biotech sector.

At 8:35 a.m. Monday, US Global Investors CEO and Chief Investment Officer Frank Holmes will join PreMarket Prep. 

He will provide his outlook for gold and gold miners, the airlines sector and the price action of his ETF for the sector, US Global Jets ETF JETS.

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