Yahoo Finance Sell in May and go away?;Tesla's new battery; Starbucks' mini shop
The old Wall Street adage, "Sell in May and go away," apparently being ignored by investors so far. Stocks (^GSPC) aiming higher after an end-of-April selloff that saw all three major indexes lose 1% or more.
Yahoo Finance's Aaron Task says it may be wise to avoid that well-worn strategy.
"The last couple of years if you sold in May, you missed out on some really big gains," he points out. "So I don't think we should make too much that it's May 1st."
Task adds the market may be driven by auto sales figures for April being released today.
"It's interesting because overall retail sales have been lackluster despite an improvement in the labor market and lower gas prices," he notes. "But auto sales were very robust last year and looks like they got off to a good start this year after the winter thaw took over."
Among the Big 3, Ford (F) is reporting it's best April since 2006, with sales rising 5%, while both Fiat Chrysler (FCAU) and General Motors (GM) had a 6% gain.
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LinkedIn gets socked
Here’s a look at some of the stocks the Yahoo Finance team will be watching for you today.
It has been a rough week for social media firms like Yelp (YELP) and Twitter (TWTR) and today isn't any better.
LinkedIn (LNKD) shares are getting hit hard in early trading. The professional networking website cut its sales forecast for the current quarter and the year. The company blaming the stronger dollar and costs related to its purchase of the education site Lynda.com. However, LinkedIn beat on both its top and bottom lines last quarter with sales rising about 35% from a year earlier.
Related: LinkedIn sinks;Tesla's power play; Visa gets swiped
Visa (V) shares a lower this morning after the world's largest credit and debit card company provided a weaker-than-expected outlook for its current quarter. The company expects the strong dollar and less spending by consumers on gas transactions to continue to put pressure on its bottom line. This comes as Visa reported a slight beat on earnings and revenue last quarter.
CVS (CVS) shares are higher in early trading. The drugstore chain reporting earnings and revenue that topped analysts' estimates in the first quarter. Sales rose 11% from a year earlier thanks to strength in its pharmacy management business. But the company narrowed its profit outlook for the year.
Tesla (TSLA) shares are on the move after the electric car maker announced an expansion into home and business battery systems. The batteries will sell for around $3,500 dollars and will incorporate a similar technology used in Tesla cars.
AmEx court case
American Express (AXP) is facing some more setbacks. A federal judge is now implementing a February ruling that the credit card company cannot punish merchants who steer customers away from using American Express. AmEx plans to appeal the decision. The company also has been hurt by the news earlier this year that it is ending of its exclusive card agreement with warehouse retailer Costco (COST).
Starbucks' new mini store
Starbucks (SBUX) is launching an expresso shot of a store. The coffee company is pilot testing mini store formats, with its first-ever express shop located on Wall Street. The store will integrate mobile order and payment features from its app.
