Netflix dived more than 35% at yesterday’s trading session, as the unexpected announcement that the company lost 200’000 subscribers in the first quarter and lose 2 million more didn’t please investors although the latest quarterly revenue hit a record of $7.9 billion, up by $2.4 billion compared to the pre-pandemic levels. Is Netflix a buy? Why, and why not? Tesla, on the other hand, rallied more than 5% post-market on the back of strong quarterly results, after the company reported better-than-expected results.

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Tesla Earnings And Higher Costs

Unlike Netflix, Tesla clients didn’t walk away due to higher car prices; Tesla could pass on the higher costs, due to rising raw material prices and the supply chain crisis, on to its customers. Zooming out, besides Netflix which weighed heavily on Nasdaq and pulled the index more than 1% lower yesterday, most US stocks rose. European indices rebound as US futures trade in the positive, yet the escalating tensions with Russia could hit the sentiment, as Russia test-fired a new intercontinental missile that could carry multiple nuclear warheads. In commodities, the positive pressure in oil prices is fading, but the buyers pile in approaching the $100pb level, as the supply side problems weigh heavier than the demand side easing. In the FX, the US dollar softens, as investors will be listening to Fed Chair Powell, ECB President Lagarde and the BoE Chief Bailey speaking today.

Watch the full episode to find out more!

• 0:00 Intro
• 0:27 Time to buy Netflix?
• 5:47 Tesla tops Wall Street estimates
• 8:05 Market update
• 9:06 Oil rally slows, commodities rise
• 9:34 USD softens, euro gains before final CPI report

Ipek Ozkardeskaya has begun her financial career in 2010 in the structured products desk of the Swiss Banque Cantonale Vaudoise. She worked at HSBC Private Bank in Geneva in relation to high and ultra-high net worth clients. In 2012, she started as FX Strategist at Swissquote Bank. She worked as a Senior Market Analyst in London Capital Group in London and in Shanghai. She returned to Swissquote Bank as Senior Analyst in 2020.