FintechZoom Costco (COST) Stock: In-Depth Analysis

Economic

Summary:

Explore FintechZoom's comprehensive coverage of Costco (COST) stock, featuring real-time data, detailed financial analysis, advanced charting tools, and expert insights to help investors make informed decisions.

Investing in the stock market requires access to reliable and timely information, enabling investors to make informed decisions. FintechZoom, a prominent fintech platform, offers extensive coverage of various stocks, including Costco Wholesale Corporation (COST). This article delves into FintechZoom's comprehensive analysis of Costco stock, showcasing the platform's features, insights, and how it helps investors navigate the market's complexities.

Costco Wholesale Corporation (COST) Stock: An Overview

Costco Wholesale Corporation, commonly known as Costco, is one of the largest wholesale retailers in the world. Founded in 1983, Costco operates a chain of membership-only warehouse clubs, providing a wide range of merchandise, including groceries, electronics, clothing, and home goods, at competitive prices. Known for its bulk buying and low-price strategy, Costco has established a loyal customer base and a robust business model.

COST Stock Performance

Costco's stock (COST) has been a popular choice among investors, reflecting the company's strong market position and consistent financial performance. The stock's performance has been influenced by various factors, including market trends, economic conditions, regulatory changes, and company-specific developments. Despite the retail industry's challenges, Costco continues to be a key player, attracting investor interest with its solid business fundamentals and growth prospects.

Key Factors Influencing COST Stock

Financial Performance: Costco's quarterly earnings reports are critical for investors. Key metrics such as revenue, net income, same-store sales growth, and profit margins provide insights into the company's financial health and growth potential.

Membership Growth: Costco's membership model is a significant revenue driver. Growth in membership numbers and renewal rates positively impacts the company's revenue and profitability, influencing stock performance.

Economic and Market Conditions: Broader economic trends, including consumer spending, inflation rates, and employment levels, affect Costco's business and stock performance. Market conditions and consumer preferences also play a crucial role.

Competitive Landscape: Costco faces competition from other major retailers like Walmart, Amazon, and Target. Competitive dynamics and market share shifts can impact COST stock.

Expansion and Innovation: Costco's efforts to expand its footprint, both domestically and internationally, along with innovations in product offerings and services, significantly influence its stock performance.

FintechZoom's Comprehensive Coverage of COST Stock

FintechZoom has established itself as an invaluable platform for investors seeking detailed information and analysis on COST stock. The platform offers a range of features and tools designed to provide investors with a thorough understanding of Costco's performance and potential.

Key Features of FintechZoom's COST Stock Coverage

Real-Time Data and Updates: FintechZoom provides real-time stock quotes, price charts, and news updates for COST stock. Investors can stay informed about the latest developments and market movements.

In-Depth Analysis: The platform offers detailed analysis of Costco's financial performance, including earnings reports, revenue trends, same-store sales growth, and key financial metrics. Expert insights and commentary help investors interpret the data and make informed decisions.

Technical Indicators and Charting Tools: FintechZoom's advanced charting tools and technical indicators enable investors to analyze COST stock trends, identify patterns, and develop trading strategies. Customizable charts and indicators provide a visual representation of market data.

Historical Data and Performance Metrics: Investors can access historical data and performance metrics for COST stock, allowing them to track long-term trends and assess the stock's performance over time. This historical perspective is valuable for making strategic investment decisions.

Market Sentiment and News Analysis: FintechZoom aggregates news articles, analyst ratings, and social media sentiment related to COST stock. This comprehensive news analysis helps investors gauge market sentiment and understand the factors influencing Costco's stock price.

The Impact of FastBull on FintechZoom's COST Stock Analysis

FastBull, a fintech platform known for its real-time market signals and in-depth analysis, enhances FintechZoom's coverage of COST stock. By integrating FastBull's expertise and tools, FintechZoom provides investors with even more valuable insights and trading strategies.

FastBull's Contribution to FintechZoom's COST Stock Coverage

Real-Time Market Signals: FastBull offers timely market signals based on comprehensive analysis. These signals alert investors to potential trading opportunities and significant market movements related to COST stock.

Expert Analysis and Reports: FastBull provides detailed market reports and expert opinions on Costco's performance, competitive positioning, and future prospects. This analysis helps investors understand the broader context and make informed decisions.

Trading Strategies: FastBull offers various trading strategies tailored to different market conditions. These strategies, based on technical analysis and market trends, can be valuable for investors trading COST stock on FintechZoom.

Integration and Synergy

The integration of FastBull's real-time signals and expert analysis with FintechZoom's comprehensive data and tools creates a powerful ecosystem for COST stock investors. This synergy enables investors to leverage both platforms' strengths, enhancing their ability to make informed and strategic investment decisions.

Conclusion

Costco (COST) stock remains a compelling investment due to the company's strong market position, consistent financial performance, and growth potential. FintechZoom's detailed coverage of COST stock, combined with FastBull's real-time signals and analysis, provides investors with a comprehensive toolkit for navigating the complexities of the stock market.

By offering real-time data, in-depth analysis, advanced charting tools, and expert insights, FintechZoom empowers investors to stay informed and make data-driven decisions. The addition of FastBull's market signals and trading strategies further enhances this capability, creating a robust platform for COST stock investors.

As the financial markets continue to evolve, the collaboration between FintechZoom and FastBull exemplifies the potential of fintech platforms to revolutionize stock trading and investment. With these tools at their disposal, investors are better equipped to navigate market fluctuations, capitalize on opportunities, and achieve their financial goals.

To stay updated on all economic events of today, please check out our Economic calendar

Risk Warnings and Disclaimers

You understand and acknowledge that there is a high degree of risk involved in trading. Following any strategies or investment methods may lead to potential losses. The content on the site is provided by our contributors and analysts for information purposes only. You are solely responsible for determining whether any trading assets, securities, strategy, or any other product is suitable for investing based on your own investment objectives and financial situation.

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Winkelmann

Commodity

Economic

Supported by the Fed's rate cut expectations, geopolitical and economic uncertainties driving safe-haven demand, and continued buying by global central banks, international spot gold prices broke through the historic resistance level of $2,080 in March, officially marking the beginning of a new bull market. Since then, gold prices have surged, reaching another all-time high on July 17, with the market immersed in bullish sentiment.

Rising with Hesitation, Ending in Frenzy

Gold once reached a historic high of $2,483.6, but the rally was short-lived. Prices quickly fell back, dropping to the $2,400 mark within just two trading days, delivering a blow to optimistic bulls.

Similarly, gold experienced a sharp sell-off from July 24 to 25, plummeting from $2,430 to $2,353. Bulls hoping for a rebound to $2,500 were disappointed again. Fundamentally, there were no significant factors putting pressure on gold and silver, and even if there were, they shouldn't have had such a destructive impact. The main culprit was technical speculative behavior, with profit-taking at high levels triggering stop-loss orders to cause a panic-driven sell-off and short-covering.

Such dramatic sell-offs have been common recently, with gold's momentum and willingness to set new highs becoming less robust. The pattern resembles the later stages of a stock market bull run, characterized by accelerated sector rotation, the decline of blue-chip stocks, increased speculation, shorter upward cycles, poor sustainability, and more frequent sharp rises and falls, making it harder to predict and profit.

From a technical trading perspective, the end of almost every trend often resembles a "trap," typically accompanied by accelerated topping or bottoming, attracting both trend-followers and contrarians and then halting abruptly amid market confusion. At this moment, investors are raising questions about whether the gold bull market is nearing its end amid chaotic fluctuations as gold faces a critical clash between bulls and bears.

Optimism Mixed with Caution: Frenzy but Fragile

Despite the short-term pressure on gold prices, the long-term outlook remains positive. Factors such as central banks' continued gold accumulation, the approaching potential rate cuts by the Fed, global geopolitical tensions, and U.S. political uncertainty continue to support gold prices. Another reason for a positive outlook on gold comes from the supply side. Major mining companies are forced to dig deeper for gold, increasing production costs and tightening supply. Data shows that annual gold production is 130 million ounces, while demand has risen to over 169 million ounces, creating a supply-demand gap that could sustain upward trends. However, the gold market is not without risks—whether the current momentum will continue or has already lost steam remains uncertain.

Although central banks will keep buying gold to diversify their reserves, the recent price surge has pressured cyclical demand for gold. The price-sensitive Chinese market is digesting the price rally, with official data showing that the People's Bank of China did not purchase gold to increase reserves for the second consecutive month in June. When China's central bank, the largest gold buyer, announced in May that it had not increased gold reserves, it caused a significant gold price drop. High prices will evidently dampen central bank gold-buying enthusiasm.

Meanwhile, gold prices have soared on Fed rate cut expectations, once breaking through $2,480. Lower rates indeed boost gold prices, but much of the Fed's rate cut expectations are already priced in. Even if a rate cut begins in September, the positive effect may be priced in, which could turn into a "buy the rumor, sell the news" scenario. If the number of rate cuts this year falls short of the expected three, the impact on gold will be significant.

Additionally, Trump's economic policies, especially his tariff-based trade protectionism, might disrupt global trade and supply chains, potentially reigniting price pressures. If inflation resurges, the Fed may have to maintain current high interest rates longer and potentially retract some rate cut expectations. This view contrasts with market expectations of inflation and Fed policy, which could leave gold vulnerable to shifts in sentiment.

The Second Half of the Gold Bull Market?

Standing at an unprecedented historical high with no historical references to guide us, the upward space is limitless, but every new high also brings concerns about being "too high."

From key macro drivers, gold seems somewhat overvalued at least for now. Further upward movement requires stronger catalysts. As bull markets never signal their tops, the current gold might be more like taking a mid-bull market break. The crucial question is when the bullish logic will return in full force. Perhaps $2,483.6 will be the peak for this year.

To stay updated on all economic events of today, please check out our Economic calendar

Risk Warnings and Disclaimers

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Warren Takunda

Cryptocurrency

Bitcoin may be seeing “impulsive” upside, analysis warns as markets brace for key news events.

In a July 26 X post, popular trader Crypto Ed joined those cautioning over the latest Bitcoin price spike above $67,000.

Bitcoin bears may still clear “impulsive” move

Bitcoin may be up by around 2% since the July 25 daily close, but not everyone believes in the short-term BTC price strength.

For Crypto Ed, the rebound from local lows of $63,430 the day prior, which matched price behavior from the end of last week, is a surprise.

“Bouncing stronger than I was expecting yesterday, looks impulsive,” he summarized.

“I expected a corrective bounce, followed by another leg lower towards 62k and maybe even lower.”

BTC/USD chart. Source: Crypto Ed

The post nonetheless acknowledged that the market could still fulfill bulls’ wishes and refuse to take downside liquidity.

“That scenario is still possible, but the strength in the current bounce is starting to look like we have already finished leg 2 and heading to new highs again. I’ll let PA develop a bit more to see if I was wrong on low TF,” Crypto Ed concluded alongside an explanatory Elliott Wave chart.

This contained a longer-timeframe BTC price target of around $80,000, followed by a potential consolidation of gains, which would take the market back down to near current levels.

Anticipation continues to build over an appearance by United States presidential candidate Donald Trump at the Bitcoin 2024 conference in Nashville. Trump has become associated with a bullish crypto market outlook after publicly declaring supportive policy plans for the industry.

Rumors have also swirled around Trump potentially creating a US strategic reserve in BTC if elected.

Room for a BTC price retest of $63,500

Continuing the conservative outlook, popular analyst Cole Garner noted order book depth remains skewed to the downside.

“Aggregate spot BTC order book is still bearish. Moar sideways,” he predicted on the day. Bitcoin Traders Warn BTC Price Can Still Dip to $62K or ‘Even Lower’_2

Bitcoin Traders Warn BTC Price Can Still Dip to $62K or ‘Even Lower’_2

BTC/USDT order book data. Source: Cole Garner

Trading resource Material Indicators meanwhile gave a downside BTC price target of $63,500 as the crucial line in the sand for bulls.

Should the market drop to that level, it said, it would invalidate the latest upside signal flashing on both its proprietary trading indicators. Bitcoin Traders Warn BTC Price Can Still Dip to $62K or ‘Even Lower’_3

Bitcoin Traders Warn BTC Price Can Still Dip to $62K or ‘Even Lower’_3

BTC/USD chart with trading indicator signals. Source: Material Indicators

Source: Cointelegraph

Risk Warnings and Disclaimers

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Alex

Economic

Thai exports experienced a decline for the first time in three months in June, primarily due to reduced sales in the agriculture and food sectors, as reported by the Commerce Ministry on Friday. Despite this dip, the ministry remains optimistic about overall export growth in 2024.

June exports decreased by 0.3% compared to the same month last year, falling short of analysts’ predictions of a 2.6% increase, according to a Reuters poll. This follows a significant rise of 7.2% in May from the previous year.

Exports are a fundamental component of Thailand’s economy, which is the second-largest in Southeast Asia. The Commerce Ministry noted that shipments of agro-industrial products declined by 4.8% annually in June. Conversely, exports of auto parts, computers and accessories, and jewellery saw an increase.

Imports in June rose by 0.3% from a year earlier, which was below the anticipated 3% rise from the poll.

Thailand reported a trade surplus of US$0.22 billion in June, in contrast to the forecast surplus of US$0.60 billion.

For the first half of 2024, exports increased by 2.0% compared to the same period in 2023, while imports rose by 3.0%. The trade deficit for this period stood at US$5.24 billion.

The ministry remains hopeful about export growth in July and has maintained its annual export growth target at 1% to 2%.

This could be a record year if we hit 10 trillion baht (US$277 billion) as stated by Poonpong Naiyanapakorn, head of the ministry’s Trade Policy and Strategy Office. He emphasised that the economic health of key trading partners, including China, the United States, Europe, and India, would be crucial.

Shipments to the United States rose by 5.4% in June from the previous year, while exports to China and Japan fell by 12.3%.

Rice export volumes in June surged by 78.7% year-on-year to 1.02 million metric tonnes, with a value increase of 96.6% to US$644 million.

The weak baht also helped exports, noted the chairman of the Thai National Shippers’ Council, Chaichan Chareonsuk, adding that lower freight rates contributed as well, reported Bangkok Post.

Source:TheThaiger

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Warren Takunda

Economic

The yen was poised for its strongest week in nearly three months on Friday as traders unwound long-held bets against the frail currency ahead of crucial U.S. inflation data that could cement rate cut expectations.

The yen has dominated the currency markets this month, surging to a near three-month high of 151.945 per dollar on Thursday after starting the month languishing at a 38-year low of 161.96 per dollar.

On Friday, the yen was last at 153.66, set for a 2.5% rise for the week, its biggest weekly gain since late April-early May, as a global stocks sell-off also drove investors towards safe assets, including the yen.

The large move follows suspected interventions by Tokyo in early July that wrong-footed traders and led to an unwinding of profitable carry trades, in which traders borrow the yen at low rates to invest in dollar-priced assets for higher returns.

"I think the speed of the yen rally means we are probably due some consolidation pretty soon," said James Athey, fixed income portfolio manager at Marlborough Investment Management.

"But ultimately with the shine coming off risk assets and data and Fedspeak suggesting cuts are coming I still feel the yen has further to appreciate."

Investor attention on Friday will focus on U.S. personal consumption expenditure data, the Federal Reserve's favoured measure of inflation. The PCE data is expected to come in at 0.1% on a monthly basis.

The Fed meets next week and is expected to stand pat on rates this time but markets are fully pricing in a rate cut in September. Traders also anticipate 66 basis points of easing this year.

The Bank of Japan on the other hand may raise rates next week, with markets pricing in a 64% chance of a 10 bps hike.

Data on Friday showed core inflation in Japan's capital accelerated for a third straight month in July, keeping alive expectations of a near-term interest rate hike.

The surge in the yen though may allow the central bank to take its time, analysts say.

"The pressure on the Bank of Japan to tighten policy has reduced," said Ben Bennett, Asia-Pacific investment strategist at Legal and General Investment Management.

"But they're still expected to announce details of their balance sheet reduction, which is some form of quantitative tightening of course."

Yen Set for Strongest Week in 3 Months as Carry Trades Unwind_1

The dollar index , which measures the U.S. unit versus six rivals, was little changed at 104.29. The euro was a tad stronger at $1.08575.

The dollar found its footing after data on Thursday showed the U.S. economy expanded faster than expected and inflation slowed in the second quarter.

The latest data underscored that the world's largest economy remained resilient even as inflation eased, spurring investor expectations that the U.S. central bank could engineer a soft landing for the economy.

"The U.S. economy has not run out of steam just yet, despite having restrictive interest rates for quite some time," said Kristina Clifton, a senior economist at Commonwealth Bank of Australia.

Clifton anticipates that the first rate cut will come in November. "We expect that the FOMC will require a long string of lower inflation readings before easing interest rates."

Sterling was 0.12% higher at $1.2865 but well below the one-year high of $1.3044 hit last week, with traders pricing a 50% chance of the Bank of England cutting rates next week. Markets are anticipating 51 bps of cuts this year.

The souring risk sentiment this week has weighed heavily on the Australian dollar and the New Zealand dollar , with both currencies - seen as risk proxies - down nearly 2% for the week.

On Friday, both were slightly higher, with the Aussie up 0.23% at $0.6552, lifting away from the near three-month low it touched on Thursday. The kiwi was last up 0.13% at $0.5891.

Source: Reuters

To stay updated on all economic events of today, please check out our Economic calendar

Risk Warnings and Disclaimers

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ING

Forex

USD: Oversupply of FX drivers

The US GDP report for the second quarter came in stronger than expected yesterday. Growth was a solid 2.8% and core PCE slowed from 3.7% to 2.9%, above the 2.7% consensus. As noted by our US economist, that implies that the June PCE deflator will be 0.28% MoM today, which seems unlikely based off the inputs from CPI and PPI. So we suspect it will also involve upward revisions to the previous couple of months. The consensus is for 0.2% MoM.

A stronger GDP/PCE would have sent shockwaves across the FX markets and boosted the dollar in other market conditions. But yesterday's reaction consisted only of a short-lived and modest dollar rally. We think there are two reasons for that.

First, US macro is not currently the main FX driver, or at least there is an unusual abundance of drivers. The fallout of the tech sell-off, frontloaded US election positioning, and the unwinding of carry trades have generated moves large enough in magnitude to out shadow US data.

Second, markets have made a conviction call on Fed easing, and yesterday’s figures did not cast serious doubts on the disinflationary path. Even if that path may turn out shallower than expected, it’s understandably deemed consistent with monetary easing should the jobs market also continue to loosen.

The most watched pair in FX – USD/JPY – caught a breather yesterday, now stabilising slightly below 154.0. However, the size of JPY short positions and the risk-off mood in the market mean there is probably more room for a rebound in the yen before this adjustment can be complete. In our view, markets are also underestimating the chances of a 15bp Bank of Japan hike next week. Tokyo consumer price data showed that headline inflation edged down to 2.2% YoY in July (vs 2.3% in June, market consensus), but the BoJ’s preferred measure, core inflation excluding fresh food, rose to 2.2% in July (vs 2.1% in June, 2.2% market consensus). We believe that inflationary pressure in services continues to build. It is a close call, but we maintain our view that the BoJ will hike rates by 15bp and reduce its bond-buying programme at the same time.

The DXY dollar index is benefitting from the low volatility of the euro and remains an inaccurate benchmark of current dollar conditions. Today, a core PCE at 0.2% MoM could anyway help it trade again on the soft side and re-test 104.0.

One theme to follow ahead of the US election is Donald Trump’s “complicated” relationship with the dollar. Chris Turner discusses here whether the US does indeed have a strong dollar issue, as Trump suggests.

EUR: Grim surveys can be overlooked, for now

In just three months, activity surveys in Germany went from showing slower momentum to effectively arguing against any optimism on the economic outlook. This was the case for the July IFO, published yesterday, which fell markedly. The theme of Germany being the sick man of Europe is understandably re-gaining traction, but what does it mean for the euro?

In the medium run, it probably suggests the steadily declining fair value of EUR/USD will remain depressed, hindering the kind of multi-quarter appreciation that would be consistent with other valuation metrics, like PPP. In the near term, it may not matter that much. Markets made their call on two ECB cuts some time ago, and a worsening growth picture is not enough to drive bets on three cuts as long as wages and inflation prove sticky.

Today, we’ll be looking at the ECB inflation expectations surveys. With even hawks like Joachim Nagel implicitly endorsing market pricing by saying the ECB should be able to cut if data stays on course, major swings in ECB pricing appear unlikely.

EUR/USD remains stable amid wide moves in G10 FX. We suspect this is down to the euro’s liquidity attractiveness, and we doubt we’ll see a break from the ranges today, with 1.0850 still working as a near-term anchor.

GBP: EUR/GBP rally can accelerate next week

Earlier this week, we stressed how GBP/USD looked expensive at 1.29 and EUR/GBP looked cheap at 0.84. We are, therefore, welcoming the downside and upside moves (respectively) of the past two days as a re-alignment with short-term rate differentials.

We think both those moves can have long legs as we expect a broad-based GBP weakening next week when the Bank of England will – in our view – cut rates. Our reasoning is detailed in this article by our UK economist, but in short, we think the BoE will judge the stickiness in services inflation as down primarily to one-off factors and may look at more “core” measures that instead point to a less worrying picture. Market pricing (-13bp) suggests there is room for a GBP correction.

CEE: Global rally improves FX picture in region

The end of the week in the region is similar to the previous days with little of note in the calendar but a busy FX market. Thanks to yesterday's rally in the core markets, the CEE picture has improved materially on a relative basis, which has halted the sell-off in HUF for now, but we saw gains across the region yesterday as well. So EUR/HUF could take a breather and stabilize for a while if HUF rates don't follow the core market today. However, we remain on the bearish side with more fair levels at 394 and higher.

EUR/CZK, on the other hand, with yesterday's continued paying flow and higher EUR/USD opens the door to 25.200 ahead of next week's CNB meeting.

EUR/PLN has little to direct it. Within the 4.270-300 range, it has bounced off the top and is back to 4.285. We expect more volatility here next week with July inflation. A Bloomberg survey already suggests a wide range from 4.0% to 4.8%. Our economists are going for 4.5% YoY.

Risk Warnings and Disclaimers

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Warren Takunda

Economic

Markets are raising expectations for a 25bp rate cut in August, now seeing around a 70% chance, compared to 47% at the start of the week.

"NZD remains heavy and was the worst performer amidst G-10 currencies. NZD is trading around 0.5890 and is sitting near a 2-month low. Increased expectations for near-term rate cuts by the RBNZ continue to weigh on NZD," says Kim Mundy, an analyst at ASB.

The New Zealand economy is straining under the weight of higher interest rates, while at the same time Chinese demand for New Zealand exports continues to disappoint.

"We're sticking with our non-consensus view that the RBNZ will start cutting rates at its next meeting in August," says Abhijit Surya, Australia and New Zealand Economist at Capital Economics.

The latest New Zealand Retail Radar report shows a continued deterioration in the Kiwi consumer. It reports slow retail sales and uncertainty "are continuing to dog the retail sector, with low consumer confidence and rising costs impacting customers’ willingness to open their wallets." New Zealand Dollar: August Rate Cut Odds Increase_1

New Zealand Dollar: August Rate Cut Odds Increase_1

"Things are going from bad to worse for the domestic retail industry," says Surya. "That pessimism is a matter of significant concern because nearly one in every ten workers in New Zealand is employed in retail trade."

43% of respondents to the survey said they are unsure whether they will survive the next 12 months, a substantial jump from 32% in the previous quarter.

The RBNZ might judge that continuing to hold the base rate at 5.5% for too long risks tipping the economy into a damaging recession that triggers significant job losses.

The New Zealand Dollar has come under pressure as the odds for earlier rate rises increase, but as we have reported, a significant degree of weakness has the surge in the Yen to thank.

The Japanese Yen has risen, forcing global investors to reverse the 'carry trade', which saw investors borrow money in Japan and invest it in places like New Zealand, where interest rates are significantly higher.

The yen stabilised on Friday, and selling of New Zealand exchange rates eased, confirming that this is a powerful force in global FX right now.

If the Yen gives back some of its recent gains in the coming days, the New Zealand Dollar can also recover.

However, strength will be limited if markets think the RBNZ will cut rates at its upcoming meeting.