When Microsoft (MSFT) co-founder Bill Gates spoke about concerns about the state of healthcare funding, it raised awareness about the cut in healthcare spending. This may help drug stocks that help bring prices down. Generic drug companies like Teva Pharma (TEVA) and Viatris (VTRS).
Watch EVs
Newcomer VinFast (VFS), a Vietnamese-based EB maker, is the stock to watch today. The company, formed from an SPAC merger between Black Space Acquisition, once traded with a market capitalization higher than that of General Motors (GM) and Ford (F). At CES 2024, the firm introduced an inexpensive $20,000 EV. The vehicle offers around 125 miles on a full charge. At 125 inches in length, the VF3 would own the smallest vehicle in the U.S. market title.
EV makers have long promised inexpensive options only to delay and miss delivery deadlines. VFS stock is a “show me” stock and a top trade for today.
Housing
A bidding war in the housing market may heat up to the start of 2024. The Mortgage Bankers Association reported a 9.9% weekly increase in mortgage applications. Purchase applications lifted volumes. However, the mortgage rate decline and a small increase in inventory levels are the two positive catalysts. Watch Toll Brothers (TOL), whose stock price may have peaked at nearly $105. D.R. Horton (DHI) and Lennar (LEN) both have similar bearish patterns.
The Fed’s rate hike did not solve the insufficient inventory. This would increase the prospects of TOL, DHI, and LEN stock.
