The stock market finished lower on Tuesday, as investors looked ahead to Wednesday’s key inflation data.
Meanwhile, Apple (APPL) emerged its highly-anticipated fall event, where it revealed its new iPhone model.
Overall, S&P 500 dropped 1.0% to 13,774, while NASDAQ slid 0.6% to 4,462.
Tweet of the Day
"I don't think interest rates are too high. The stock market has been going up," says Leon Cooperman.
"Ultimately we'll end up with a recession. It will be caused by either QT, the Fed or the price of oil or the dollar. Right now everything is well behaved." pic.twitter.com/5EsEJmk9Cf
— unusual_whales (@unusual_whales) September 10, 2023
Chart of the Day
Here is the one-year chart of EPAM Systems (EPAM) as of August 31, 2023, when the stock was at $259.
EPAM Systems engineers technologically advanced websites and digital platforms for enterprise organizations. The company is an end-to-end software services business that consults with firms on their needs, designs solutions, engineers technology, and operates the system before finally optimizing it. Basically, if you want to do something special with your website, you can consult with EPAM Systems. They will help you plan it, then their programmers will build it.
EPAM Systems is really taking a hit from the challenging economy. Last quarter’s profits did grow 11%, but revenue fell 2%. Looking ahead to next quarter, profits are expected to decline 18% with revenue falling 7%. Concerns over the economy have led to a shift in demand, particularly in the technology vertical which is severely impacted by the tech pullback. The company has also seen some of its larger clients hold back from spending as they do business with caution.
In terms of Artificial Intelligence (AI), management stated it picks investments that are pragmatic for its clients and it has to be responsible and cost-effective. That cost effective scares me as competitors may be doing what it takes to be ahead in the AI race.