CAPIS Morning Note – 07/17/26: Chip Routs Deepens, Corporate Insiders Selling Stocks As Futures Lower

Overnight Summary and Early Morning Trading: The S&P 500 finished Thursday lower by -0.51% at 7533.77 from Wednesday higher by 0.38% at 7572.40 The S&P 500 sees support now at 7500 from 7400. Resistance is now at 7600 from 7500. In the last four months, support has moved from 6300 to 7500. S&P 500 hit […]

Overnight Summary and Early Morning Trading:

  • The S&P 500 finished Thursday lower by -0.51% at 7533.77 from Wednesday higher by 0.38% at 7572.40
  • The S&P 500 sees support now at 7500 from 7400. Resistance is now at 7600 from 7500. In the last four months, support has moved from 6300 to 7500.
  • S&P 500 hit its 25th All-Time Closing High of 2026 on Tuesday, 6/2/26.
  • Bond Market is higher today on price with the 10-Year Yield at 4.525% from 4.569%.

Executive Summary:

  • Stocks are now in a three-week winning streak, with the S&P 500 gaining 1.23% in the last week, ended 7/10.
  • U.S. moves into Week 21 of its attack on Iran, almost six months. Fighting has broken out on both sides and there is no deal.
  • 1 Day Losing Streak on the S&P 500 started Thursday.

Key Geopolitical Events of Note:

  • Economic news of note.
    • Weekly –
      • Baker Hughes Rig Count of note.
    • Monthly-
      • Housing Starts, Import/Export prices, Industrial Production and University of Michigan Consumer Sentiment are out in the morning.
  • Fed Speakers of Note today:  None

    • The next Federal Reserve (FOMC) blackout period begins on Saturday, July 18, 2026, and runs through Thursday, July 30, 2026.

  • President Trump’s schedule:
    • Participates in Executive Time at 8:00 a.m. EDT.
    • Heads to New York City and then Bedminster, NJ for the weekend.
    • Attends a FIFA Reception at 5:20 p.m. EDT.
    • Sunday, the President attends the final of the World Cup.

Capital Raises of Note/Pricings:

  • IPO Filings & News: None of note.
  • Secondaries Filed Or Priced:
    • CBIO closes public offering of 9.39 million shares, pre-funded warrants at $14.50 per share (closes public offering of 9.39 million shares, pre-funded warrants at $14.50 per share).
    • RGNX launches $100 million common stock offering.
    • BNY – Pricing of Public Offering of $500,000,000 of Depositary Shares Representing Interests in Preferred Stock.
  • Notes Filed Or Priced:
    • NMR: Form F-3ASR Senior Debt Securities.
  • Convertible Offerings Filed or Priced: None of note.
  • Private Placement: None of note.
  • Direct Offering: None of note.
  • Exchangeable Subordinate Voting Shares: None of note.
  • Selling Shareholders:
    • ASPI files for 23,160,682 share common stock offering by selling shareholders.
  • Mixed Shelf Offerings: None of note.

Notable Earnings Out After The Close:

  • Beats: ISRG +0.29, WAFD +0.03, NFLX +0.01 of note.
  • Misses: AA -0.13, SFNC -0.02 of note.
  • Flat: CNS FNB FFIN of note.

Winners From Thursday:, VNDA +5.3%, ROAD +4.5%, ASPI +3.7%,

Losers From Thursday:  STAA -12.5%, ISRG -11%, NFLX -8.2%, AA -2.9% EVC

After The Close:

  • Netflix (NFLX) beats but gives poor guidance. The company did not provide EPS or revenue guidance on the call.
  • LMT awarded a $101.8 million US Air Force contract.
  • Molina Healthcare (MOH) to join S&P MidCap 400; Construction Partners (ROAD) to join S&P SmallCap 600.
  • 10Q Delays – None of note.

Executive, Corporate Changes:

  • UPWK announces Chief Financial Officer and principal financial officer, Erica Gessert, will take a temporary medical leave, effective July 14, 2026.
  • EVC names Michael Christenson as Chair of the Board on July 16, 2026. Mr. Christenson will continue to serve as CEO.

Buybacks of Note:

  • Valero (VLO) increases its share repurchase authorization by $5 billion; total authorization now stands at $6.4 billion

Dividend Info:

  • EGO WSM UDR SNX RVTY AYI WDFC MGRC KWR DCOM KARO CYD CBRL go Ex-Div today.
  • ITUB FDX VST DTE FTV BRKR MAIN OTF DX LTC ARCO GIII UTZ Ex-Div Monday.
  • SND declares special cash dividend of $0.10 per share.

What Happening This Morning:

Futures S&P 500 -58.25, NASDAQ 100 -431, Dow Jones -326. Europe is lower while Asia is lower as well. Bond yield is at 4.525% from 4.573% on the 10-Year. Crude Oil and Brent Crude are higher with Natural Gas higher. Gold is higher with Silver and Copper lower. The U.S. Dollar is higher versus the Euro, higher against the Pound and lower against the Yen. Bitcoin is at $63,116 from $64,079.

Sector Action:

  • Daily Energy, Healthcare, Consumer Defensive, Real Estate and Utilities were higher.
  • Daily Technology, Communication Services, Industrial Services and Materials were lower.
  • One Month Winners: Technology, Communication Services, Consumer Defensive, Healthcare and Real Estate of note.
  • Three-Month Winners: Energy, Materials, Utilities, Consumer Defensive and Industrials of note.
  • Six-Month Winners: Energy, Materials, Utilities, Industrials, Healthcare and Consumer Defensive of note.
  • Twelve-Month Winners: Materials, Energy, Industrials, Utilities, Communication Services and Technology of note.
  • Year to Date Winners: Energy, Materials, Consumer Defensive, Utilities and Industrials of note.

Bolded means the Sector is new to the period in which it falls.

Upcoming Earnings Of Note: (Erlanger Chartroom Software – sorted by market cap, highest to lowest with most visible names)

  • Today After the Close: None of note.
  • Monday Before The Open:

Notable Earnings of Note This Morning:

  • Beat: TRV +4.68, FITB +0.18, TFC +0.10, RF +0.05of note.
  • Missed: ALV -0.03 of note.
  • Flat: None of note.
  • Still to Report:  None of note.

Company Earnings Guidance:

  • Positive Guidance: After The Close & This Morning – None of note.
  • Mixed – None of none.
  • Negative or Mixed Guidance: After The Close & This Morning – NFLX of note.

Advance/Decline Daily Update: Market Breadth remains in good shape.

Gap Ups & Down In Early Pre-Market: (+2% or down more than -2%):

  • Gap Up: SND +2.6%, ROAD +2.5%, USO +2.1% of note
  • Gap Down: RGNX -16.6%, ISRG -11.3%, NFLX -9.2%, STAA -5.6%, WSE -5.6%, ALV -5.4%, WRD -5%, INDB -4.7%, ARHS -3.6%, SPCX -3.4%, GDYN -3.3%, GSK -3.1%, SMH -2.6%, JBSS -2%of note.

Insider Action: None sees Insider Buying with dumb short selling. None see Insider Buying with smart short sellers. Above $100,000 in purchases with high shorts but no history: None of note.

Other Trading Action: None of note.

Rags & Mags: Repeated stories from prior days never listed, i.e. “rehashed news”. Sorted by Global, U.S. and stock specific. Bolded source means paywall.

  • The Inside Story of IBM’s Shocking Profit Warning. (WSJ)
  • Takeaways from Trump’s Address Last Night. (NYT)
  • Fossil is Closing This Many Stores in 2026. (USA Today)
  • US Corporate Insiders are Selling Stocks At A Record Pace. (Bloomberg)
  • Market Wrap: Chip Rout deepens. (Bloomberg)

Economic & Geopolitical:

  • Federal Reserve Speakers of note today: None
    • The next Federal Reserve (FOMC) blackout period begins on Saturday, July 18, 2026, and runs through Thursday, July 30, 2026.
  • President Trump’s schedule for today:
    • Participates in Executive Time at 1:00 a.m. EDT.
    • Heads to New York City and then Bedminster, NJ, for the weekend.
    • Attends a FIFA Reception at 5:20 p.m. EDT.
    • On Sunday, the President attends the World Cup final.
  • Economic Data Out –
    • Weekly
      • Baker Hughes Rig Count out at 1:00 p.m. EDT.
    • Monthly
      • June Housing Starts are due out at 8:30 a.m. EDT and are expected to rise to 1,328,000 from 1,117,000.
      • June Import /Export Prices are due out at 8:30 a.m. EDT and came in last month at 1.90% and 1.30%.
      • June Industrial Production is due out at 9:15 a.m. EDT and expected to rise to 0.30% from 0.10%.
      • University of Michigan Consumer Sentiment (prelim) is due out at 10;00 a.m. EDT and expected to rise to 50.70 from 49.50.

M&A Activity & Daily: None of note.

Moving Average Table: 66% from 73% of Equities are Positive, and 40% from 36% Bonds are Positive.

Meeting & Conferences of Note:

  • Sellside Conferences: None of note.
  • Top Analyst, Investor: CELC SCHW of note.
  • Shareholder Meetings: FISN PMI VNRX of note.
  • Fireside Chat: None of note.
  • FDA Presentation: None of note.
  • R&D Day: None of note.
  • Meetings:
    • ASRS

Upgrades & Downgrades:

The recommendations listed below in this “Upgrade/Downgrade” section are compiled from what we believe are Tier I, II and III firms. Recommendations posted are taken from a variety of sources each day and we only post upgrades or significant initiations as well as downgrades to underweight or sell. The purpose of this posting is to make the reader aware of market-moving recommendations.  None of these recommendations should be interpreted as actual recommendations from CAPIS or its employees.

Upgrades: AAPL PPG  ASTS EROC FRVO of note.

Downgrades: KREF of note.

Initiations:   Buys: ETON JAZZ MCO MSCO OMDA of note.  Sells: None of note.