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Here's HSAPAY's weekly update for July 24th, 2023 that'll help you and your growing family navigate the complexities of utilizing and investing in your HSA.

Macro Minute & Commodities

• Biden administration calls on employers to help keep people insured as millions lose Medicaid
• UK inflation rate slides to 7.9% in June, below expectations
• Crude Prices Underpinned by Tightness in Global Supplies
• Nat-Gas Prices Weighed Down by Ample U.S. Supplies

3-6 Month HSA Investment Return Entries

• American Airlines raises 2023 profit forecast after strong second quarter
• Kenvue shares fall even as J&J spinoff beats estimates in first quarterly earnings since IPO
• Johnson & Johnson beats on earnings, hikes full-year guidance as medtech sales surge
• Netflix Stock Is Off 10% From Its High - Is It a Buy Now?
• Timing is Everything – Two New Weekly Crude Options
• A Strategic Move: Selling an AMD Put Option Before Their Earnings Announcement

Biden administration calls on employers to help keep people insured as millions lose Medicaid

💬 Hey there! The Biden administration is asking companies to lend a hand in keeping their employees insured, since millions of people in the US are losing their Medicaid coverage. Chiquita Brooks-LaSure, head of the Centers for Medicare and Medicaid Services, sent a letter to employers saying that workers who lost Medicaid should have a chance to join group health plans over the next year. But, there's a catch: workers only have 60 days to enroll in group health plans, which isn't long enough considering the number of people losing Medicaid coverage. According to KFF, over 3 million people have lost Medicaid since April when Covid-19 emergency protections expired. 😢 Medicaid is a health insurance program for lower-income people that is heavily financed by the federal government.

UK inflation rate slides to 7.9% in June, below expectations

OMG, UK inflation in June 😱 cooled down a lot and came in below what everyone expected at 7.9% annually 📉. Economists were thinking it would be 8.2%, but it's still higher than the Bank of England's target 🤔. On a monthly basis, it only went up by 0.1% 📈, which is way less than expected at 0.4%. The good news is that falling motor fuel prices helped bring it down 🚗. Food prices did go up, but not as much as last year 🍴. Overall, not too shabby! 💁‍♀️

Crude Prices Underpinned by Tightness in Global Supplies

Good news for oil today! September WTI crude oil (CLU23) is up by +0.89 (+1.18%) 📈 and Sep RBOB gasoline (RBU23) is up by +4.87 (+1.81%) 🚀 Gasoline prices are at a 3-month high, while crude prices are expected to tighten due to Russia's low crude shipments and China's economic growth. However, the dollar index is also high today, limiting the gains in energy prices. On a positive note, UK's Jun retail sales ex-auto fuel rose more than expected, easing the recession concerns and supporting energy demand. 🛍️📈

Nat-Gas Prices Weighed Down by Ample U.S. Supplies

💔 Aug Nymex natural gas (NGQ23) closed on Friday with a drop of -0.044 (-1.60%). Despite scorching temperatures in the western and southwestern U.S., nat-gas prices took a hit due to an excess of U.S. gas supplies. 😞 The weak heating demand during the mild winter caused high inventories in both Europe and the United States, with gas storage reaching 82% full in Europe and U.S. nat-gas inventories sitting at +13.8% above their 5-year seasonal average. 😭 Lower-48 state dry gas production on Friday saw a slight increase of 1.3% y/y, according to BNEF.

American Airlines raises 2023 profit forecast after strong second quarter

🇺🇸🛫 American Airlines is flying high! 😎 They just raised their earnings outlook for 2023 after a successful start to peak travel season. 🚀 But, they're expecting a bit of turbulence ahead with unit revenues possibly dropping up to 6.5% in Q3. 😕 Despite this, American still expects to earn around 85 cents to 95 cents per share, which is in line with what was predicted. For the full year, they're expecting to earn between $3 and $3.75 a share, up from their previous estimate. 😍 However, despite all this good news, American's shares dropped by 6% on Thursday. 😭

Kenvue shares fall even as J&J spinoff beats estimates in first quarterly earnings since IPO

💔 Despite beating revenue and earnings estimates in its first quarterly report since becoming independent from Johnson & Johnson, Kenvue's shares fell. 😞 CEO Thibaut Mongon acknowledged the uncertain consumer landscape but emphasized the importance of trusted health products, which Kenvue provides with its popular brands like Band-Aid and Tylenol. 🙌 Mongon called the quarter a "proof point" of the company's portfolio power. Kenvue's optimistic sales outlook for 2023 was also noted. 😎 However, J&J still holds a 90% stake in Kenvue, meaning they can largely steer the company for now.

Johnson & Johnson beats on earnings, hikes full-year guidance as medtech sales surge

👀 Health insurers like UnitedHealth Group and Elevance Health have noticed an increase in demand! 📈 OMG, J&J's financial results are in and they're killing it! 💰💸 Earnings per share were $2.80 (better than the expected $2.62) and revenue was $25.53 billion (better than the expected $24.63 billion)! 😲🙌 The stock closed 6% higher on Thursday, even though it dropped over 5% for the year. J&J is basically a health sector trendsetter, and they reported a 6.3% sales growth for the quarter compared to last year. 📈💊 Their net income was $5.14 billion (or $1.96 per share), up from $4.8 billion (or $1.80 per share) last year. 💰📈 I'm impressed, J&J! Keep up the good

Netflix Stock Is Off 10% From Its High - Is It a Buy Now?

Oh no! 🙀 Netflix (NFLX) has dropped over 10% from its high of $477 per share since its Q2 results. But wait, is it actually a good time to buy now? 🤔 The company's financials suggest that investors may have overreacted 😬. Currently, NFLX stock is at $428.37, down 2.0% from Friday, July 21. But hold up, on July 19, Netflix announced in its Q2 shareholder letter that it gained over 5.89 million memberships for the quarter, which is a huge improvement from the 1.75 million increase in Q1. 📈 Last year, NFLX experienced a dip in memberships to 220.67 million, causing the stock to take a massive hit. But since then, the company has gained 17.72 million members and reached $238.67 in Q2 2023. 💰

3 Unusually Active Put Options to Sell for Some Weekend Spending Money

This year in the markets has been 🔥, with a few stocks bringing in most of the returns 💰. According to Associated Press's Stan Choe, the "Magnificent Seven" , including Apple (AAPL) and Microsoft (MSFT), have a high multiple of 44x earnings 🤯.

Meanwhile, the other 496 stocks have a more reasonable multiple of 17x earnings 😅.

But hold up, let's talk about Sirius XM Holdings (SIRI) 📻. As of now, SIRI has some unusually active puts 📉. The July 28 $8 put has a volume of 3,092, 21.77x open interest, while the Aug. 18 $6 put has a Vol/OI ratio of 16.8x 😬.

Have you heard of Upstart (UPST)? Their share price is up 318% in 2023 – a fintech stock on the rise! But don't forget, it's down 85% from its all-time high.

My final put option is the June 21/2024 $77.50 put for NextEra Energy (NEE) with a $6.10 bid price. This utility packs

Timing is Everything – Two New Weekly Crude Options

📆📉 Weekly options are 🔜⏰ and 💰💸 cheaper. You can use CME WTI Crude Oil Weekly options to protect your crude oil 💼 from weekend risks or market-moving events such as the 📊📈 weekly Wednesday EIA Petroleum Status Report. 👇 Here are two examples of how traders could have used the new Monday and Wednesday options to manage their portfolios effectively around market-moving events. ⛽️ Crude oil markets react quickly to weekend 🌎🌍🌏 news events. Monday WTI Crude Oil Weekly options are a 💸 cost-effective and precise tool that traders can use to manage their 💼 when markets are closed. 👀 Past weekend events have influenced crude oil prices at the 📈📈 weekly opening due to market-making occurrences. Whether it is supply impacts such as the drone attack on Saudi Aramco in 2019 or the release

A Strategic Move: Selling an AMD Put Option Before Their Earnings Announcement

💰 Got a hot tip for you traders out there! 📈 Consider selling an Advanced Micro Devices (AMD) put option before the earnings announcement, especially with the inflated implied volatility. 💸 You could potentially capitalize on the increased option premiums, and if you think the stock will stay above the strike price by the option's expiration date, it's a win-win! 😎 For example, if you sell the $100-strike put on AMD for August 18th, you could receive around $100 into your account. 🤑 If the stock falls below $100 by then, you'd be required to buy 100 shares at $100, but the option premium would bring the effective net cost down to $99. 😮 That's a 16.60% discount from yesterday's closing price! 📉 But if the stock stays above $100 at expiry, the put expires worthless and you get to keep all the cash. 💰 Happy trading! 🤑

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.

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Enjoy,

frank