Investing & Day Trading Education: Day Trading Academy: Recent Episodes
Marcello Arrambide: Founder - Day Trading Academy Learn to Trade
In today’s Recap, we’re diving into some major stories shaking things up around the world. First off, we experienced the largest IT outage in history, which has thrown businesses and services into chaos across the globe. From banking systems to airports and transport, the outage has exposed vulnerabilities in our digital infrastructure. Meanwhile, Elon Musk is relocating SpaceX’s headquarters from California to Texas in response to new state regulations, marking a significant shift for the tech industry. And a recent study shows that over half of cancer deaths in the US could be avoided with lifestyle changes, highlighting the impact of our daily habits on our health.
Elon Musk has announced plans to move the headquarters of SpaceX and X (formerly Twitter) from California to Texas. This decision comes in response to a new law signed by California Governor Gavin Newsom that prohibits schools from requiring parents to be notified of a child’s gender identification change. The relocation to Texas, a state known for its more business-friendly regulations and policies, is seen as Musk’s stance against California’s legislative direction. This move could have significant implications for the tech and aerospace industries, highlighting the ongoing tension between state policies and corporate decisions.
Shares of CrowdStrike fell -11.10% on Friday at $304.96, after an update by the cybersecurity firm ended up causing a major IT outage, that impacted airlines, financial services, hospitals & many other businesses The outage also sent shares of CrowdStrike rivals SentinelOne & Palo Networks higher, with the stocks gaining 7.85% & 2.16%, respectively. CrowdStrike stock is down -19.19% this week, but up +19.44% in 2024 & +103.66% y/y, with a market cap of $74.22B.
A recent study has revealed that more than half of cancer deaths in the United States are a result of lifestyle choices. Smoking has been identified as the number one modifiable risk factor, contributing to nearly 20% of all cancer cases and close to 30% of cancer deaths. Other lifestyle factors, such as poor diet, lack of physical activity, and excessive alcohol consumption, also play significant roles in cancer risk. The findings underscore the critical importance of preventive measures and lifestyle modifications in reducing cancer incidence and mortality rates. Public health initiatives focused on education and intervention could potentially save countless lives by addressing these modifiable risk factors.
U.S. stock markets lower Thursday, as investors trimmed positions in technology stocks & took profits in other sectors. The health care sector of the S&P 500 slid -2.29%, for its worst session since September 2022
Germany plans to halve its military aid to Ukraine next year, despite concerns that U.S. support for Ukraine could potentially diminish if Republican candidate Trump becomes President again. German aid to Ukraine will be cut to 4B Euros ($4.35B) in 2025 from around 8B Euros in 2024. Germany hopes Ukraine will be able to meet the bulk of its military needs with the $50B in loans from the proceeds of frozen Russian assets approved by the Group of Seven & that funds earmarked for armaments will not be fully used.
Trump Media & Technology, the parent company of Truth Social, saw its stock skyrocket by 31.37% on Monday, closing at $40.58. This surge followed an attempted assassination of former President Donald Trump last Saturday. Many analysts argue that the attempt has boosted the odds of a Trump victory in the upcoming November presidential election, as it has galvanized his support base and heightened media attention. The incident has added a dramatic twist to an already intense political landscape, potentially reshaping the dynamics of the election race.
China’s economy grew at a much slower pace than expected in the second quarter of 2024, with a growth rate of 4.7%, missing analysts’ forecasts. The protracted property downturn and job insecurity have hit the struggling recovery hard, increasing expectations that China will need to implement even more stimulus measures. Retail sales growth has slowed to an 18-month low as deflationary pressures forced businesses to cut prices. The property crisis deepened in June, with new home prices falling at the fastest pace in nine years, severely damaging consumer confidence. Property investment in China fell by 10.1% in the first half of 2024 compared to the previous year, and home sales by floor area declined by 19.0%. Bank lending for June showed a faltering demand, with some key criteria hitting record lows, indicating a troubling economic outlook for the country.
In a groundbreaking archaeological find, scientists have discovered artwork on the ceiling of a limestone cave on the Indonesian island of Sulawesi, dated to be approximately 51,200 years old. This remarkable discovery is now considered the world’s oldest-known dated cave painting.
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This week, the main news is the shooting at Donald Trump’s rally in Butler, Pennsylvania, which is being investigated as an attempted assassination of the former president and presumptive Republican nominee. The Secret Service killed the suspected shooter, who attacked from an elevated position outside the rally venue. Trump called for unity and resilience as leaders across the political spectrum reacted to the shooting.
In U.S. Market News, Federal Reserve Chair Jerome Powell suggested that the central bank is paying greater attention to when it will cut interest rates as economic growth and the labor market continue to cool. The S&P 500 closed at +0.55%, marking its 25th record close for the year.
In Bitcoin & Other Cryptocurrency News, the German government has been selling hundreds of millions of dollars worth of Bitcoin for weeks.
In Commodities & Energy, India and Russia are likely to agree on a long-term uranium supply pact for nuclear power in the southern state of Tamil Nadu. Indian Prime Minister Narendra Modi will visit Russia on Monday and Tuesday for the first time in five years, and is expected to hold talks with President Putin and possibly deliver strategic deals, including a military agreement.
In Financial & Banking News, unemployment jumped to a four-year high, triggering the Federal Reserve’s dreaded Sahm Rule, indicating a recession. The monthly inflation rate dipped in June for the first time in over four years, decreasing by 0.1% from May and putting the 12-month rate at +3%, the lowest level in over three years. This makes it more likely that the Fed will start lowering interest rates later this year.
In Economic News, U.S. consumer sentiment fell to an eight-month low in July as high prices continued to weigh on Americans’ views of their finances and the economy. The U.S. Labor Department reported that the producer price index (PPI) rose by 0.2% in June, slightly more than expected, due to the rising cost of services. Investors still expect the Fed to start cutting rates in September.
In Corporate News, Tesla shares rose by 3.71% on Tuesday to $262.33. Morgan Stanley maintained its overweight rating on Tesla. In May, Tesla’s market share in the U.S. EV market was 15%, but it fell below 50% in Q2. The stock is now in its 10th straight positive day, having erased all year-to-date losses and surged about 75% since hitting 52-week lows in April. The stock is up 40.91% in the past three months but down 3.00% for 2024.
In Technology, Samsung launched the Galaxy Ring, its first foray into “smart rings.” The Galaxy Ring is a lightweight ring equipped with sensors designed for 24/7 health monitoring.
In International Events, mass tourism troubles in Barcelona reached a fever pitch as protesters threw items and sprayed travelers with water guns and canned drinks while shouting “tourists go home.” Protesters used thick police-style tape to block hotel entrances and sidewalk cafes in Barceloneta and marched with a large banner demanding that city officials “decrease tourists now.” The U.S. National Weather Service said a widespread heat wave is expected to deliver record temperatures along the U.S. West Coast, with 36 million people under excessive heat warnings. Temperatures are running over 20 degrees above normal in places like Redding, with Death Valley National Park projecting highs near 130F (54C) through next Friday. Las Vegas hit 120 degrees, setting a new all-time record.
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In today’s recap, Marcello talks about a massive blackout that has plunged much of Europe into darkness, with electricity networks in Albania, Croatia, Montenegro, and Bosnia & Herzegovina collapsing under the strain of soaring temperatures reaching 41°C (105.8°F). Meanwhile, Tesla continues to dominate the electric vehicle market, with its stock surging 25.47% over the past five days and an impressive 46.33% over the past three months. The company exceeded Q2 delivery expectations with 443,956 vehicles, further fueled by the anticipated success of the Cybertruck as the best-selling EV pickup in the US. On another front, SpaceX has made a significant leap forward with the launch of over 100 Direct to Cell satellites, paving the way for hundreds more this year and new service offerings from T-Mobile in the US.
Shares of Tesla surged +10.20% on Tuesday at $231.26, after rising +6.05% on Monday, after the electric vehicle company reported stronger than expected Q2 deliveries. The stock is at its highest level since January. The Elon Musk-led company delivered 443,956 vehicles, while analysts had expected deliveries of 439,000. The figure shows a -4.8% decline from a year ago, but was +14.8% above Q1 numbers. The stock has risen +23.44% over the past 5 days & +38.79% in the past 3 months. Shares are still down -6.93% in 2024 & -17.35% y/y, with a market cap of $737.53B.
Marine Le Pen’s far-right National Rally (RN) party scored historic gains to win the 1st round of France’s parliamentary election on Sunday, exit polls showed, but the final result will depend on the July 07th run-off. The RN was seen winning around 34% of the vote, in a huge setback for President Macron who had called the snap election, after his ticket was trounced by the RN in European Parliament elections earlier this month. The RN’s share of the vote was comfortably ahead of leftist & centrist rivals, including Macron’s Together alliance, whose bloc was seen winning 20.5%-23%. The New Popular Front (NFP), a hastily assembled left-wing coalition, was projected to win around 29% of the vote, the exit polls showed.
Hurricane Beryl barreled toward Jamaica as a powerful Category 4 storm on Tuesday after battering smaller islands in the eastern Caribbean. The unusually early hurricane felled power lines & unleashed flash floods. Beryl, the 2024 Atlantic season’s 1st hurricane & the earliest storm on record to reach the highest category on the Saffir-Simpson Scale, hit St. Vincent & the Grenadines especially hard. Late on Monday, Beryl was at Category 5 strength, but weakened slightly on Tuesday. The hurricane, packing maximum sustained winds of 155 miles per hour (249 kph), is currently located about 485 miles (781 km) east-southeast of the Jamaican capital of Kingston.
Brazil’s President Lula da Silva ordered his economic team to comply with the country’s fiscal framework & approved suggestions of spending cuts. Brazilian assets had suffered a sell-off in recent weeks, as markets feared fiscal deterioration amid a government reluctance to cut spending, which led to investors’ concerns about the government’s ability to comply with the fiscal framework approved last year. Lula approved to cut 25.9B reais ($4.7B) in government spending, which will allow Lula’s administration to comply with the fiscal framework next year. The Brazilian real has weakened around 13% vs. the U.S. dollar in 2024, 6% in June alone.
China has unveiled a list of rare earth regulations aimed at protecting supplies in the name of national security, laying out rules on the mining, smelting & trade in the critical materials used to make products from magnets in electric vehicles to consumer electronics. The regulations, issued by the State Council or cabinet over the weekend, say rare earth resources belong to the state & that the government will oversee the development of the industry around rare earths, a group of 17 minerals of which China has in recent years become the world’s dominant producer, accounting for nearly 90% of global refined output.
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In this week’s Recap, Marcello brings us the latest in finance, technology and market trends. In a significant development for the electric vehicle market, Tesla’s stock surged by 4.81% on Wednesday, driven by the announcement of the upcoming Model 2 and positive coverage from Stifel. Meanwhile, Warren Buffett has made headlines with his largest annual donation yet, giving away $5.3 billion worth of Berkshire Hathaway shares to charity, while still retaining a substantial stake in his company. On a different note, the culinary world is grappling with skyrocketing cilantro prices, up 400% due to a severe drought, pushing Mexican taquerias to innovate their traditional dishes.
The EV maker Tesla stock rose +4.81% on Wednesday at $196.37, after the U.S. financial services firm Stifel initiated coverage of the stock with a buy rating. The firm cited the revamping of Tesla’s Model 3 & Model Y as well as the start of production on its next-generation Model 2 vehicle as catalysts. Its price target of $265 implies 41.4% upside from Tuesday’s close. Tesla shares are up +11.71% in the past 3 months, but down -20.97% in 2024 & -23.74% y/y, with a market cap of $626.26B.
On Friday, Warren Buffett made his largest annual donation to date, giving away $5.3 billion worth of Berkshire Hathaway shares to five different charities. Despite this generous contribution, Buffett still holds a significant stake in his company, owning 207,963 Berkshire A shares and 2,586 B shares, which are collectively worth about $130 billion.
Cilantro prices have skyrocketed by 400% due to a severe drought, forcing Mexican taquerias to reimagine traditional dishes and markets to drop the herb from their offerings. In the capital’s largest wholesale market, a 5kg (11lbs) bundle of cilantro is now selling for 440 to 500 pesos ($24.26 to $27.57), up from 110 pesos in the first week of May.
U.S. athletic apparel giant Nike shares plummeted -19.98% on Friday at $75.37, in the worst session ever, wiping out $28B in valuation, after the firm posted fiscal Q4 revenue of $12.61B, which came below the $12.86B forecast by analysts. The company said quarterly revenue fell -2% from the year prior. Nike’s $0.99 earnings per share exceeded analysts’ expectations of $0.66. Nike’s direct-to-consumer sales declined -8% from the same quarter a year ago to $5.1B. Nike also reduced its full-year outlook. Nike had initially guided for overall sales growth in 2025. The stock is down -19.80% in the past 3 months, -30.58% in 2024 & -31.71% y/y, with a market cap of $113.77B.
French inflation slowed slightly in June, providing an economic boost for President Emmanuel Macron 2 days before the 1st stage of parliamentary elections on Sunday. The Insee statistics agency had consumer prices rising +2.5% from a year ago in June, versus + 2.6% in the previous month of May.
European stock markets gave up early gains to close lower on Friday, as investors considered key inflation data from both the U.S. & the Euro-zone, while the French benchmark index reported weekly, monthly & quarterly declines, due to French political uncertainties. Paris CAC 40 -0.68%, Frankfurt DAX +0.14%, Italian FTSE -0.10%, Spain’s Ibex -0.07% & London FTSE -0.19%. European STOXX 600 -0.23%, at 511.42, extending losses to the 4th straight session. The personal & household goods sector shed -1%, dragged down by a -3% fall in French beauty giant L’Oreal, after its CEO gave a lower market growth forecast.
U.S. denim maker’s Levi Strauss founded in 1853 stock fell -15.40% on Thursday at $19.56, after revenue came in at $1.44B for the fiscal quarter 2, which is slightly below the consensus forecast of $1.45B from analysts polled. The company’s reported net income for the 3-month period that ended May 26 was $18M, or $0.04 per share, compared with a loss of $1.6M, or $0.00 a share, a year earlier. Excluding 1-time items, Levi’s posted earnings of $66M, or $0.16 per share. Sales rose to $1.44B, up about 8% from $1.34B a year earlier. The stock is down -2.15% in the past 3 months, but is still up +18.26% in 2024 & +35.55% y/y, with a market cap of $7.75B.
Walgreens Boots Alliance stock fell -22.16% on Thursday at $12.19, after the U.S. retail firm reported fiscal Q3 earnings results that missed analyst expectations. It announced a cut to its full-year adjusted profit outlook & said it will close a significant number of stores that are underperforming as a way to cut costs, but didn’t specify how many of its more than 8,700 stores will be affected.
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In today’s Recap, Marcello talks about how Elon Musk, the maverick CEO of Tesla and SpaceX, finds himself embroiled in an insider trading lawsuit. Meanwhile, Dr. Anthony Fauci, the prominent face of America’s pandemic response, has made a striking statement dismissing the role of science during the pandemic, confessing he ‘made up’ certain COVID-19 rules, including six feet social distancing and masking kids. Adding to the economic buzz, corporate America is witnessing a record surge in stock buybacks, with 154 companies announcing a total of $201 billion in buybacks in May alone. This all-time high, including Apple’s record-breaking $110 billion buyback program, suggests strong corporate confidence in future earnings.
Ghana, world’s 2nd-largest cocoa producer after Ivory Coast cocoa regulator (COCOBOD) will borrow up to $1.5B by Sept, to finance 2024/25 cocoa purchases & compensate for low output. Ghana uses an annual syndicated loan to finance bean purchases from farmers. It is usually agreed at the start of the season in Sept. But this year’s $800M loan faced delays due to low cocoa output.COCOBOD has withdrawn $600M & cancelled the remainder as season’s 2023/24 cocoa output is seen near 40% below forecast & thus unable to guarantee the full loan. Cocoa production has been affected by adverse weather, disease & cocoa smuggling.
Former President Trump became the 1st former U.S. executive to be convicted of a crime on Thursday, when a New York jury found him guilty of falsifying documents to cover up a payment to silence a porn star ahead of the 2016 election. The verdict plunges the United States into unexplored territory ahead of the November vote, when Trump will try to win back the Presidency from Biden. Trump, 77, has denied wrongdoing & is expected to appeal. It is not clear whether the electorate will be influenced by the verdict, with Trump ahead in most of the swing states, which ultimately will determine the election.
German business sentiment was stagnant for the month of May, a survey by the country’s Ifo Institute found, after 3 consecutive months of improvements. The ifo Business Climate Index in May stayed at 89.3 points. Companies were less satisfied with their current business situation, but expectations brightened, the Institute’s report read. It fell short of the analyst forecast of 90.4 Manufacturing, trade & construction are seeing recovery, while services fell slightly, according to the report.
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In today’s Recap, Marcello reveals Warren Buffett’s secret investment as Berkshire Hathaway makes a major move, becoming the second-largest holder in Chubb with a confidential stock purchase. Marcello also dives into the alarming surge in inflation, now requiring a family of four at least $177,798 to live comfortably in the US. Additionally, Marcello will discuss the explosive rise in silver prices, soaring 11.86% from $28.23 to $31.58, reaching its highest level since 2013.
The New York Federal Reserve reported that U.S. credit card default rates hit their highest level in nearly 13 years at the beginning of 2024,The central bank’s Quarterly Report on Household Debt and Credit showed the share of seriously delinquent debt, or at least 90 days behind, rose to +6.86% of outstanding balances in Q1 2024, the highest since Q2 of 2011. At the same time, auto delinquencies moved to +2.78%, the highest since Q2 of 2010.Those increases came even though total credit card balances fell to $1.12T, a decline of $14B. However, total consumer debt rose to $17.69T, an increase of $184 B, or 1.1%.
The U.S. social media stock Reddit rose +10.04% on Friday at $62.04, after Reddit announced a partnership with OpenAI. Reddit will gain certain artificial intelligence features through the deal, while OpenAI will have access to Reddit’s Data application programming interface for use in training AI models. The stock is up +51.76% over the past month, with a market cap of $9.22B.
The U.S. Labor Department reported that initial claims for unemployment benefits drifted back lower last week, after showing a spike in the previous period. 1st-time filings totaled 222K for the week that ended May 11, just 1,000 above the estimate & a 10K decline from the previous week’s upwardly revised total, which was the highest since late August. Continuing claims rose to 1.794 M, up 13K from the previous week & a bit above the estimate.
Japan’s economy contracted at an annualized -2% in Q1 of 2024. The GDP reading showed a deeper-than-expected contraction in the Q1 compared with a -1.5% contraction expected. The latest data could also likely jeopardize the Bank of Japan’s plans to raise interest rates.
Shares of Walmart rallied +6.99% on Thursday at $64.01, after the company reported adjusted Q1 earnings of $0.60 per share, topping the $0.52 expected from analysts. Revenue was $161.5B, beating the $159.5B estimate. Walmart stated it made big gains in e-commerce (+22%) & won over more high-income shoppers.The U.S. big-box retailer said it now expects to hit the high end or slightly top its previous full-year guidance. Walmart had expected net sales growth of 3% to 4% & adjusted earnings per share (EPS) of between $2.23 & $2.37. The stock is up +21.81% in 2024 & +28.10% y/y, with a market cap of $515.91B.
Singapore Airlines named the world’s best airline in 2023 by Skytrax posted a record operating profit of 2.73B Singapore dollars ($2.03B) for its fiscal year 2023 ending March 31, exceeding the previous record of SG$2.69 billion set last year. Net profit also hit a fresh record of SG$2.67B, +24% higher than a year ago. Full-year revenue increased 7% y/y, to SG$19.01B, driven by higher passenger revenue.
Slovak Prime Minister Robert Fico is no longer in a life-threatening condition after he was shot in an assassination attempt when leaving a government meeting on Wednesday, a government minister reported. The gunman shot Fico, 59, 5 times, initially leaving the prime minister in critical condition & undergoing surgery hours later on Wednesday evening. Slovak media is reporting that the 71 year old shooter’s motive remains unclear.
Chileans are facing the most intense cold snap in nearly 70 years, bringing winter weather in the middle of autumn. It is the longest cold wave ever recorded in the capital of Santiago, at least since 1950 for fall. For Thursday, the meteorological office expected a minimum temperature of 1 degree Celsius (34 Fahrenheit) in the central Santiago area.The change was abrupt, within days of summer heat ending, mountains near the capital had snowy peaks.
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In today’s Recap, Marcello talks about Elon Musk’s Starlink, the satellite internet venture, that has stunned analysts with a projected revenue surge to $6.6 billion by 2024, showcasing its meteoric rise and disruptive force in the satellite communications industry. Meanwhile, a looming solar storm illuminated the skies with spectacular auroras, captivating observers with nature’s awe-inspiring display but also being a heads up on the risk this might pose to the electronic networks of the earth. On another front, the cost of robusta coffee beans has skyrocketed by over 60%, driven by a confluence of factors including adverse weather in Vietnam and rising competition from export crops like durian to China, foreshadowing potential changes in consumer habits and supermarket shelves worldwide.
Elon Musk’s Starlink, the satellite internet venture under SpaceX, is experiencing unprecedented growth, with analysts projecting a staggering revenue increase from $1.4 billion in 2022 to $6.6 billion in 2024. Since its inception in 2019, Starlink has rapidly expanded its constellation to nearly 6,000 satellites, with over 5,200 operational, and has deployed nearly 3 million terminals across 75 countries. This growth trajectory surpasses the combined revenue of the two largest geostationary satellite operators, SES and Intelsat, which recently announced a merger, highlighting Starlink’s disruptive impact on the satellite communications industry.
The cost of robusta coffee, the bean variety used in instant coffee & some espresso blends, has surged +60% over the past year, reaching its highest in nearly 50 yrs, which will be reflected in supermarket shelves. This is due to a combination of bad weather in Vietnam, world’s largest grower of robusta, plus competition with another fruit crop, namely the durian for export into China. Robusta beans had been in demand as roasters anticipated that the cost-of-living crisis, will prompt consumers to switch toward cheaper coffee blends. China is now developing a taste for coffee, ushering in an era, with coffee prices higher for longer.
A severe solar storm is supercharged the northern lights or aurora borealis on Friday, with forecasts indicating that auroras could be seen as far south in the United States as Alabama & northern California in North America. The National Oceanic & Atmospheric Administration’s Space Weather Prediction Center stated on Thursday that a series of solar flares & eruptions from the sun could trigger severe geomagnetic storms & spectacular displays of aurora on Earth from Friday evening through the weekend.
China’s economy is slowing & citizens are moving to buy more gold, as a safe-haven asset to hedge against economic uncertainties, sending prices of the precious metal to new record highs there. The country’s central bank has also joined the movement, adding 60K troy ounces of gold to its holdings in April, according to official data released. It marks the 18th straight month the People’s Bank of China was piling in on gold. The heightened interest in gold is also a pushback to the strong US dollar, which is making it too expensive for emerging nations like China to import goods.
U.S. consumer sentiment fell sharply in May to the lowest level in 6 months, as Americans cited stubbornly high inflation & interest rates, in addition on fears that unemployment will rise. The University of Michigan’s consumer sentiment index, released Friday, in a preliminary version, dropped to 67.4 this month from a final reading of 77.2 in April. May’s reading is still near +14% higher than a year ago. Consumers’ outlook has generally been grim since the pandemic & particularly after inflation first spiked in 2021. Consumers’ willingness to spend is a crucial driver of growth.
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In today’s Recap, Marcello tells us that Warren Buffett’s company, Berkshire Hathaway, is making headlines for stacking up record cash reserves. Meanwhile, Tesla is soaring high after securing approval to launch its full self-driving technology in China, sending its stock price up by a whopping 15.31%. And over at Apple, its fortunes are mixed as its stock surged by 7% in after-hours trading, driven by impressive Q2 earnings and a substantial stock buyback announcement, despite a notable drop in iPhone sales.
Bitcoin continued its month-long slide on Tuesday, to close out April, at one point trading down to below $57K. The leading cryptocurrency ended the month down -15% & post its 1st negative month in the past 8. It was be the worst month since November 2022, when FTX collapsed. It’s still up over +37% for 2024. On Wednesday, Bitcoin rose over +1.50% bringing it to near $58K, again. It remains up near 100% year on year.
Preliminary data from the federal statistics office showed that German inflation rose slightly in April, due to higher food prices & a smaller drop in energy prices than in previous months. German consumer prices, harmonised to compare with other European Union countries, rose +2.4% in April, compared with 2.3% y/y in March.
The global nickel market has been thrown into chaos after a flood of new supply from the world’s largest producer Indonesia, the result of huge Chinese investment & major technological breakthroughs. Mines across the world are at risk of closing, while others are asking for state bailouts or going broke. The scale of the collapse has left some in the industry questioning if there’s a future for most mines outside of Indonesia, while China’s dominance over the nation’s processing sector, has also raised concerns about the reliability of supply.
U.S. economy added 175K jobs & the jobless rate ticked higher to 3.9% in April. After several hotter-than-expected jobs reports, April’s employment gains fell short of economists’ expectations of 240K new jobs & a 3.8% unemployment rate. Average hourly earnings rose +0.2% from the previous month & 3.9% from a year ago, below consensus estimates. The jobless rate tied for the highest level since Jan 2022. The rate that includes discouraged workers & those holding part-time jobs for economic reasons also edged up, to +7.4%, highest level since November 2021. Labor force participation rate, was unchanged at 62.7%.
Tesla, which had 140,473 employees globally as of end-2023, but job cuts continue. Elon Musk has dismissed 2 Tesla senior executives & plans to lay off 100’s more employees, frustrated by falling sales & the pace of job cuts so far. Rebecca Tinucci, senior director of the electric vehicle maker’s Supercharger business & Daniel Ho, head of the new vehicles program, will leave on Tuesday morning, it is being reported. Musk also plans to dismiss everyone working for Tinucci & Ho, including the roughly 500 employees who work in the Supercharger group.
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In Today’s recap, Marcello talks about the collapse of Republic First Bank as it served as a stark reminder of the vulnerabilities within the financial sector. Tesla’s shares surged by a remarkable 12.06%, propelling Nasdaq to its third consecutive day of gains. However, concerns loomed over the US economy as growth slowed to a sluggish 1.6% in the first quarter, the weakest pace since 2022.
The median U.S. home sale price hit a record $383,725 in the 4 weeks ended April 21, up 5.2% from a year earlier. The median asking price increased 6.7% to $415,925. With 30-year mortgages now charging an average 7.1% interest rate & home prices continuing to climb, the median monthly housing cost has risen +13% to a record $2,843. With home listings still in short supply, nearly a third, 29.8% of homes, are selling above their listing price. Only 6% of sellers are dropping their asking price.
Oil prices settled higher on Friday, garnering support from tensions in the Middle East, but a strong dollar & U.S. inflation data quashed hopes that the Federal Reserve would cut interest rates soon, giving prices a ceiling. Supply concerns supported prices as tensions continue in the Middle East.
Shares of U.S. based Chipotle Mexican Grill rose +6.33% on Thursday at $3,111.97 after the fast-casual burrito chain topped analysts’s Q1 estimates & reported a +7% rise in same-store sales, beating the +5.2% expected by StreetAccount. The stock is up +36.07% in 2024 & +50.51% year on year, with a market cap of $85.48B.
Intel made waves with the recent launch of its third-generation AI accelerator, Gaudi 3. Boasting impressive advancements, the semiconductor giant claims that the latest chip is twice as power-efficient and offers a processing speed that outpaces NVIDIA’s H100 GPU, the current market leader in AI chip technology.
Devastating tornadoes are tearing across parts of eastern Nebraska & Iowa on Friday, as a multiday severe thunderstorm event ramped up in the central United States.Storms began in parts of the Plains & South early Friday afternoon. The National Weather Service had received at least 42 reports of tornadoes as of 6:30 p.m. ET, in at least 3 states, including Texas, Nebraska & Iowa.The storm event is supposed to continue for 3 more days.
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In today’s Recap, Marcello shares with us recent events that have seen a reduction in global tensions, offering some relief from heightened concerns regarding a possible World War 3. However, challenges persist in the business world, with companies like Tesla and Apple facing difficulties. Meanwhile, the commodities market experiences interesting fluctuations, notably with coffee, tea and cacao prices on the rise.
Shares of U.S. based tech firm NVIDIA fell -10.00% on Friday at $762.00, it was the worst day for the chip-maker since March 2020, when the company’s value was one-twelfth of its current valuation. The stock plunge wasn’t tied to any news out of NVIDIA. It came as investors scaled back their holdings of many semiconductor stocks ahead of earnings later this month.
The U.S. streaming giant Netflix shares fell -9.09% on Friday at $555.04, after saying it will stop reporting subscriber growth in its quarterly earnings starting in 2025. Shares as a result suffered their worst day since July.
The UAE continues to reel from floods caused by the heaviest rainfall ever recorded in the desert state, with airlines, banks & city transport facing major disruptions & service outages. Roughly a year’s worth of rain pummeled the normally arid Gulf country in a span of just 12 hours. And in many homes & businesses across Dubai & other emirates, running water & power are no longer functioning. 100’s of cars were left abandoned on Dubai’s Sheikh Zayed Highway as drivers’ engines died while water rose around them. The city’s metro became an overnight shelter, as people working in & around some stations couldn’t get home.
In a significant move, Tesla has announced plans to reduce its global workforce by 10%, affecting approximately 14,000 employees out of the total 140,473 globally as of December 2023. This decision comes amidst a challenging landscape for the electric vehicle (EV) manufacturer, with declining sales and increasing competition leading to an intensifying price war within the EV market. Adding to the shake-up, two top executives are set to depart from the company, signaling internal changes. In response to market dynamics, CEO Elon Musk has unveiled plans for the development of the Model 2, a more affordable vehicle option slated to begin production in late 2025. These developments come against the backdrop of Tesla’s stock performance, which has seen a notable decline of 35.01% over the course of 2024.
Apple has ceded its position as the world’s leading phone maker to Samsung. The tech giant experienced a decline in phone shipments, with a notable 9.6% decrease compared to the previous year. In the first quarter, Apple sold approximately 50.1 million iPhones, marking a decrease of 5 million units compared to the same period last year when it shipped 55.4 million iPhones. As a result, Apple’s global market share saw a modest increase of 17.3%, while Samsung surged ahead with a market share of 20.8%.
China has embarked on the construction of an underwater data center with performance capabilities equivalent to that of six million PCs. This groundbreaking project is driven by the goal of conserving energy, with estimates suggesting it could save a staggering 122 million kilowatt-hours of electricity. Spanning an area nearly the size of ten soccer fields, the underwater data center represents a bold leap in technological innovation. Remarkably, just one of these underwater computers has the processing power equivalent to that of 60,000 regular computers, showcasing the immense potential of this cutting-edge initiative.
Most Asian Pacific stock markets fell, amid escalating tensions in the Middle East.
In China new home prices have fallen for a 9th straight month, falling -2.2% year on year in March.
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In this recap, in U.S. market news, Monday saw NYSE volume sink, resulting in the slowest trading day of 2024, while U.S. stock markets were mixed on Tuesday. Wednesday witnessed a major sell-off driven by higher-than-expected inflation in March, raising concerns that the Federal Reserve won’t cut interest rates anytime soon.
In conspiracy/weather news, significant events included the breaking loose of 26 barges on the Ohio River, the detection of avian flu in the seventh state, and water rationing in Bogota, Colombia. Additionally, top economists, including Barack Obama’s Treasury Secretary, uncovered the real inflation number under Biden, reaching 18% and hovering at a 40-year high. The NJ National Guard conducted a hypothetical search for a nuclear bomb at a New Jersey basketball arena, and the CDC admitted to accidentally inflating children’s Covid death numbers due to a coding logic error. Japan released irrefutable evidence that all COVID variants are man-made.
Regarding commodities, military tensions between Israel and Iran triggered a surge in gas prices to a five-month high. Cocoa prices touched another all-time high, and coffee prices rose sharply due to concerns about crops in Brazil and Vietnam.
In financial and banking news, the U.S. Treasury Department announced that the U.S. budget deficit topped $1 trillion halfway through the current fiscal year, driven in part by rising interest payments on the national debt. US CPI in March rose by 0.4% for the month and 3.5% year-on-year, spiking inflation and making Federal Reserve interest rate cuts less likely. JPMorgan shares fell after disclosing that net interest income levels may fall short of analysts’ expectations in 2024.
Economically, India’s economy recently expanded at its fastest pace in six quarters, surpassing expectations with 8.4% growth from October to December, underscoring India’s growing importance as a growth region.
In corporate news, an OpenAI board member stated that almost all forms of human labor will be replaced by AI. Tesla announced a price increase for its fully autonomous driving service, and Alphabet (Google) reached an all-time high in trading its shares.
In trade news, U.S. Treasury Secretary Janet Yellen said she wouldn’t rule out any measures, including potential additional tariffs, in response to China’s green energy exports and subsidized clean energy products flooding international markets.
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In today’s Recap, Marcello talks about how both China and the US have issued stark warnings about potential dangers accompanying this coming eclipse. Meanwhile, concerns arise in the tech sphere as Google’s A.I. is found venturing into uncharted territories, prompting questions about its ethical boundaries. Amidst these developments, the financial markets witness a historic moment as gold prices soar to record highs, signaling potential shifts in global economic dynamics.
U.S. services industry growth slowed further in March, while a measure of prices paid by businesses for inputs dropped to a 4-year low, which bodes well for the inflation outlook. Services are the main driver of inflation, via higher wages.The Institute for Supply Management (ISM) said on Wednesday that its non-manufacturing PMI fell to 51.4 last month from 52.6 in February. It was the 2nd straight monthly decline in the index since rebounding in January. Data last week showed services inflation excluding energy & housing cooling considerably in February, after accelerating in January.
The gold market continues its unstoppable run to record highs, as it touches an all-time high of $2,350 an ounce ahead of the weekend. The latest rally comes after geopolitical tensions in the Middle East heat up because of Israel’s war with Hamas in Gaza.
A powerful earthquake rocked the entire island of Taiwan early Wednesday, collapsing buildings in a southern city & creating a tsunami that washed ashore on southern Japanese islands. Taiwan’s earthquake monitoring agency gave the magnitude as 7.2 while the U.S. Geological Survey put it at 7.5. The depth was about 35 kilometers (21 miles). The Japan Meteorological Agency forecast a tsunami of up to 3 meters (9.8 feet) for the southern Japanese island group of Okinawa.
A 4.8 magnitude earthquake recorded in New Jersey that shook residents in surrounding states & New York City on Friday morning was one of the strongest in state history. The temblor was reported about 5 miles north of Whitehouse Station, New Jersey, Friday, according to the U/S. Geological Survey. The epicenter was about 45 miles from NYC, where residents reported shaking furniture & floors. It is the strongest quake to hit NYC in 139 years. The last one was dated on August 10, 1884. It is the strongest in New Jersey in 240 years, last recorded in 1783. The earthquake and its aftershocks have been felt in multiple U.S. states.
Archaeologists are now investigating claims about a long-lost group of giant humans who supposedly stood up to 10 feet tall & lived in caves in the southwestern U.S. Supersized human skulls, 15-inch sandals & massive hand prints have been uncovered in excavations inside a cave in Lovelock, Nevada since 1912, that have continued to spark the curiosity of scientists & the public at large for more than a century.
The post April 7: China & US Warn of Dangers During Eclipse, Google A.I. doing things it shouldn’t, Gold Record Highs! (Recap ep272) appeared first on Investing & Day Trading Education: Day Trading Academy.
Stay up-to-date with Marcello’s weekly recap! This time, we’re exploring the latest developments surrounding Tesla’s challenges, eclipse conspiracies, and a controversial water related decision in California. Morgan Stanley’s adjusted forecast for Tesla’s vehicle deliveries is causing a stir, while Xiaomi’s bold entry into the electric car market sparks intense competition in China. As the April 8th eclipse draws near, travel restrictions and safety concerns mount, with NASA and CERN preparing for scientific investigations. Meanwhile, California’s approval of Bill Gates’ sewage-to-drinking-water plan is causing people to debate.
Cocoa futures surged above an unprecedented $10K a metric ton this week an all time high with prices of the key chocolate ingredient doubling this year. Cocoa has more than tripled in cost over the past year. The market is being hit by poor crops in key West African growers, putting the world on course for a 3rd straight annual supply deficit. The world is facing the largest cocoa supply deficit in +60 years & chocolate consumers will see the effects w/higher prices soon. The International Cocoa Organization forecasts a supply deficit of 374K tons for 2023-24 season, a 405% increase from a deficit of 74K tons in the previous season.
Investment banker Morgan Stanley’s head of global auto & shared mobility research Adam Jonas, cut his forecast for Tesla vehicle deliveries saying he expects the electric vehicle behemoth to raise prices to compensate. He now expects Q1 deliveries of 425,400, a 9% decrease from his previous forecast of 469,400. Jonas’ new forecast still implies +0.6% y/y delivery growth. He also lowered his full-year delivery estimate to 1.95M, down from 1.99M, or 8% year-over-year growth.
Chinese smartphone company Xiaomi stated on Thursday it will sell its 1st car for far less than Tesla’s Model 3, as price wars heat up in China’s hotly competitive electric car market. Xiaomi CEO Lei Jun said the standard version of the SU7 will sell for 215,900 yuan ($30,408) in the country, a price he acknowledges will mean the firm was selling each car at a loss. Tesla’s Model 3 starts at 245,900 yuan in China. Lei claimed the standard version of the SU7, beats the Model 3 on over 90% of its specifications, except on 2 aspects that he said it might take Xiaomi at least 3 to 5 years to catch up with Tesla on.
The disgraced cryptocurrency mogul Sam Bankman-Fried was convicted last fall in the Southern District of New York on federal fraud & conspiracy charges related to his role in the collapse of his crypto exchange firm FTX in November 2022. On Thursday he was sentenced to 25 years in prison, after A jury found Bankman-Fried illegally used FTX depositor funds to bankroll a lavish lifestyle, purchasing luxury properties & private planes as well as making huge political donations.
Krispy Kreme shares surged +39.36% on Tuesday at $17.35, its best day on record for the stock. McDonald’s plans to sell the company’s doughnuts at its restaurants nationwide by the end of 2026, with the initial roll-out beginning later this year. McDonald’s shares were little changed during the session. Krispy Kreme stock is higher by +14.98% in 2024 & 11.58% year on year, with a market cap of $2.1B.
A report from the U.S. Labor Department on Thursday showed initial claims for unemployment benefits fell 2,000 to a seasonally adjusted 210K for the week ended March 23. Initial filings for unemployment were slightly lower than the 211K that economists had predicted.
The post March 31: Tesla in Trouble? Eclipse Conspiracies, California Drinking Water From Sewage (Recap ep271) appeared first on Investing & Day Trading Education: Day Trading Academy.
This time around, Marcello’s diving into the some of the most important topics of the week. We’re talking about record-breaking stock markets, wild predictions for Bitcoin hitting $250,000, and Tesla’s sneaky move to bump up the price of the Model Y by $1,000.
NVIDIA made waves as they unveiled their next-generation chips, propelling shares up by 1.07% to $893.98 on Tuesday. The company also announced plans to introduce their first iteration of AI graphics processors, dubbed Blackwell, later this year. This move marks a significant step forward in the realm of artificial intelligence and graphics technology, showcasing NVIDIA’s ongoing commitment to innovation.
U.S. Fed released new economic projections, w/officials expecting the economy to grow +2.1% in 2024, above what’s considered the U.S. economy’s long-run potential & an upgrade from +1.4% growth seen in Dec. Unemployment rate only expected to hit +4% by the end of 2024, barely changed from current +3.9% level, while a key measure of inflation is projected to keep falling, but at a slower pace, to end the year at +2.6%. Updated economic projections have the personal consumption expenditures price index excluding food & energy rising at +2.6% rate by the end of 2024, vs +2.4% seen in the projections issued in Dec.
The number of Americans filing new claims for unemployment benefits unexpectedly fell last week, while sales of previously owned homes increased by the most in a year in February, signs the economy remained on solid footing in the first quarter. Initial claims for state unemployment benefits dropped 2K to a seasonally adjusted 210K for the week ended March 16, Analysts had forecast 215K claims in the latest week. Existing home sales rose +9.5% last month, to a seasonally adjusted annual rate of 4.38M units, the highest level since February 2023. The monthly increase in sales, was also the largest since February 2023.
Gold prices surged to a new record above $2,200 an ounce, after the U.S. Fed maintained its outlook for 3 rate cuts this year Wednesday, indicating it doesn’t seem to be alarmed by a recent uptick in inflation. Bullion rose as much as +1.6% to $2,220.89 an ounce in early trading, before paring some gains. The price has spiked around +11% since mid-February, underpinned by long-standing support including heightened geopolitical risks & increased buying by central banks, led by China. The rapid ascent has surprised many seasoned market observers & traders.
Darden, the parent company of Olive Garden and LongHorn Steakhouse, has issued a warning, noting a trend of lower-income customers reducing their visits to its brands. Conversely, the company reports an uptick in visits from higher-income diners. This shift in consumer behavior underscores the economic disparities impacting the restaurant industry, highlighting the challenges faced by businesses catering to diverse income demographics.
ISIS has claimed responsibility for the tragic attack at a concert hall in Moscow last Friday. The assault resulted in the loss of at least 40 lives, with over 100 civilians sustaining injuries.
The post March 24: Record Highs for stocks, Bitcoin to $250k?, Tesla raising Model Y price $1k (Recap ep270) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello informs us that the Tesla stock was downgraded due to converns volume by Wells Fargo; In a controversial moment at the unveiling of a ‘male’ humanoid robot in Saudi Arabia, dubbed Inapp, the machine apparently touched a female reporter inappropriately; Bitcoin’s meteoric rise continues as it surpasses gold in investor portfolio allocation, according to JPMorgan. Additionally, Bitcoin now ranks as the 8th largest asset in the world, overtaking silver, and has also surpassed the Swiss Franc to become the 13th largest currency globally.
Tesla stock fell 4.54% on Wednesday at $169.48, after Wells Fargo downgraded the electric vehicle maker to underweight from equal weight, noting risk to volume as price cuts are having a diminishing impact. Shares of Tesla are down -32.49% in the past 3 months, -31.79% in 2024 & -7.96% y/y, with a market cap of $565.43B.
Prices for 2 of the world’s most important mined commodities are diverging quickly, with copper now rallying above $9,000 a ton, as supply cuts hit the market & iron ore sinking as demand headwinds mount. Copper has surged 5% this week, ending a months-long spell of price inactivity, as investors focused in on risks to supply at mines & smelters. Tentatively, traders are also more open to the idea, that the worst of a global downturn is in the past, particularly for metals like copper, that are increasingly used in electric vehicles and energy renewables.
On Thursday, Cocoa’s May dated futures hit a new record of $7,489 per metric ton. Cocoa is now up more than +16% on the week, on pace for its 10th weekly gain in 11 weeks. The commodity is also on track for its best week since Feb. 23, when cocoa gained 17.13%. Adverse weather conditions and an onslaught of the cacao swollen shoot virus propelled cocoa prices to a new record high this morning. Rising cocoa prices have hurt chocolate confectioners such as Hershey, which is down nearly 20% in the past 12 months versus the S&P 500′s 31.5% gain.
U.S. Labor Department’s Bureau of Statistics reported that February’s producer price index (PPI), a measure of wholesale inflation, rose +0.6% last month, amid a surge in the cost of goods like gasoline & food, which could well fan investor fears, that inflation was picking up again. A +1.2% jump in the prices of goods accounted for nearly 2/3 of the increase in the PPI. Goods prices were driven by energy products, which surged +4.4% after declining -1.1% in January. Excluding food & energy prices, core PPI climbed +0.3% in February. Economists had expected a +0.3% gain for headline PPI & a +0.2% increase for the core reading.
JP Morgan & Chase, the largest bank in the United States & the world’s largest bank by market capitalization as of 2023, fell -1.78% on Thursday at $187.97, after the Federal Reserve announced the bank was fined almost $350M. The U.S. central bank explained that JPMorgan was hit with $348.2M in fines by a pair of U.S. bank regulators. The punishments are tied to a program to analyze firm & client trading for misconduct, that has been deemed insufficient. The stock is up +10.51% in 2024 & +49.41% y/y, with a market cap of $551.25B.
Shares of California based Fisker collapsed -51.94% to $0.15 on Thursday, following a report, citing people familiar with the company, who said the electric vehicle developer hired restructuring advisors for a potential bankruptcy filing. The stock is down -91.15% in 2024 & -97.41% y/y, with a market cap of $172.49M.
The Bank of Japan is expected to move toward ending its negative interest rate policy by April, contingent on annual wage negotiations. Japanese government bond yields rose Monday, while the yen strengthened. Japan’s 2-year government bond yields hit a 13-year high on Monday, amid speculation that the Bank of Japan will soon tighten monetary policy. The yield on the 2 year JGB rose to +0.2% on Tuesday, having last reached this level in January 2010. The yield on the benchmark 10 year JGB also climbed to 0.778%, its highest level since November 2023.
The post March 17: Tesla downgraded, Robot Touches women inappropriately, Bitcoin surpasses gold/silver (Recap ep269) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello tells us how Bitcoin reached a new record high during this week of trading, also gold reached also a new historic high on Tuesday; Elon Musk is now the second richest person in the world. Musk has suffered a lost in his net worth of about $31B over the past year. There is another regional bank in the US that is facing trouble as the New York Community Bancorp halted trading on the NYSE.
Despite the present political rhetoric in the U.S. concerning inflation over time, the actual evidence is quite shocking. In January 2021, the cost of a monthly fixed 30 mortgage on a $400K home was $1,349.00. In January 2024, just 3 years later the cost was $2,148.00 at 7.09% interest, a +59.2% increase.
Britain’s Conservative government in power for 14 years announced a 10B-pound ($13B) cut in labour taxes on Wednesday, paring emergency reserves to pay for it, in what may well be the last budget, ahead of an election where the Conservatives are down by 20% in polls. The budget fell short of the big give-away, which the right wing of the party had been hoping for. Opposition Labour Party leader Keir Starmer nonetheless said the budget was the “desperate act of a party that has failed. The rate of social security contributions is to be reduced by 2% for the 2nd time in just over 3 months, in a move worth several 100 pounds a year to some 27M workers.
The Smokehouse Creek Fire, the largest in Texas history, has ravaged over 1 million acres of the Texas Panhandle. With only 15% containment, it has claimed two lives and spread into Oklahoma, scorching 31,000 acres. Reports indicate that over 80% of Texas cattle feed lies in its path. The local utility company is suspected as the likely cause.
Another regional bank finds itself in dire straits as trading of New York Community Bancorp is halted on the NYSE. The bank has acknowledged “material weaknesses” in loan oversight, sending shockwaves through the financial community. Wednesday’s plummet of more than 42% underscores the severity of the situation, with shares now down 60% since the beginning of the year.
Tesla’s Euro Gigafactory near Berlin faced an unexpected halt in operations as CEO Elon Musk labeled an arson attack nearby as “extremely dumb,” resulting in a power outage. This outage incurred significant losses for Tesla, amounting to hundreds of millions of Euros and leaving around 1,000 vehicles unfinished on Tuesday alone. The situation prompted the evacuation of the Tesla site, which employs 12,500 people, with most employees sent home until further notice.
The post March 10: Bitcoin/Gold Record high, Elon Musk/Tesla Crash, Another Bank Failure (Recap ep268) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this recap, signs of consistent strength in consumer spending persisted, with the NASDAQ achieving its first record close in over two years. NVIDIA, for the first time, reached a market capitalization of $2 trillion, experiencing a 66% surge in its stock value in 2024 and a 244% increase year-over-year. Investors continue to favor mega-cap technology stocks as a hedge against slowing inflation.
Bitcoin and cryptocurrency news saw Bitcoin reaching a fresh high of $64,000 on Wednesday before retracing, marking its highest level since November 15, 2021. Additionally, it surged by 21.54% on Friday, hitting record highs in a dozen other currencies.
In commodities, the world’s largest chocolatier, “Barry Callebaut,” announced a significant workforce reduction of about 19%, affecting 2,500 jobs. Meanwhile, cocoa prices reached record highs for nine consecutive days, reflecting supply concerns. Financial and banking news revealed that despite reported growth of $334 billion in Q4, US GDP expansion came at the cost of adding $834 billion in debt. The US national debt reached $34.4 trillion on Wednesday, increasing by approximately $1 trillion every 100 days.
In economic news, India’s economy outpaced expectations in Q4, growing at its fastest pace in six quarters with a growth rate of 7.6%. Conversely, China’s manufacturing activity contracted for the fifth consecutive month in February. Corporate developments included Google’s parent company suffering a $70 billion loss in market value in a single trading day following an incident involving a controversial AI chatbot. The CEO of Kellogg’s suggested that low-income individuals should consider eating cereal for dinner to save money. On a positive note, Warren Buffet, at 93, continues to lead Berkshire Hathaway, which posted its second straight record annual profit. Berkshire’s annual operating profit climbed by 21% to $37.4 billion, surpassing analysts’ expectations.
In the realm of technology, Telegram announced plans to share 50% of ad revenue with channel owners. Apple canceled its plans to build an electric car and is focusing on generative AI. Elon Musk sued OpenAI for breach of contract. Investment news highlighted the Walton family’s sale of over $1.5 billion worth of Walmart stock, along with notable figures like Bezos, Zuckerberg, Dimon, and Gates also selling significant amounts of stocks as the market hits record highs. Internationally, agricultural ministers from the EU convened in Brussels to address the crisis as farmers blocked border crossings between Poland and Germany. Sanctuary cities in the US are facing financial pressure due to the recent surge of illegal migrants, with cities like Chicago and NYC imposing restrictions on busing migrants from the South. Many experts argue for more federal assistance to ensure these cities can cope with the influx of migrants. NYC, for example, received $145 million, less than 10% of what it spent on migrant services in fiscal 2023.
The post March 3: Billionaires sell Billions stocks, Apple cancels electric cars, Warren Buffett hits record (Recap Ep267) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello talks about the recent success NVidia is having thanks to its essential participation into the rising AI race; Elon Musk’s Neuralink has succesfully implanted a chip into a human patient; Trump announced the launch of his own sneakers line.
In Q4 of fiscal 2024, NVIDIA data center segment, where its high end AI chips are manufactured saw revenue rally $18.4B. In the same quarter, a year ago, the entire company’s revenue came in at $6.1B. Net income for Q4 2023 was $12.8B. Annual profits in fiscal 2024 have reached $32.3B. In fiscal 2024, NVIDIA revenue grew 126% from the prior year with the 4th Quarter revenue up +265% from the prior year period.
NVIDIA is replacing Tesla as Wall Street’s most traded stock, adding to its prominence after becoming the 3rd-most valuable U.S. company & providing more evidence of how central AI-related bets have become to investors. About $30B worth of NVIDIA shares changed hands daily on average over the past 30 sessions, pulling ahead of Elon Musk’s electric car maker, which averaged $22B per day over the same period. Tesla since 2020 had dominated daily U.S. stock trading, with turnover, a stock’s share price multiplied by the number of shares exchanged, peaking above $35B several times in recent years.
Central banks have been solid gold buyers for over a decade; however, their appetite has become insatiable in the last 2 years as global reserves have risen by over 1,000 tonnes in both 2022 & 2023. Commodity analysts note that in the last 2 years central bank gold purchases as its share in global demand has tripled, representing between 25% & 30%.
Mexico’s outgoing president has taken steps to promote a smooth hand-off for national oil firm Pemex, but the latest moves will likely postpone a day of reckoning for the world’s most heavily-indebted oil firm. Last week, President Lopez Obrador rolled out new support for Pemex, part of his goal to make Mexico self-sufficient in the production of motor fuels, unveiling a new tax break worth about $6.4B. It follows a huge $90B in gov’t support given to Pemex since Lopez Obrador took office in 2018, spanning tax cuts & capital injections, most of it to service a debt load of $106B. The firm’s distressed finances may fall to former Mexico City Mayor Claudia Sheinbaum, Lopez Obrador’s anointed successor & current front runner.
The European Union seems set to fine Apple about 500M Euros ($539M) over alleged breaches of EU competition law, it has been reported. The fine is expected to be announced early next month. Last year, the European Commission accused Apple of distorting competition in the music streaming market via App Store rules that prevent developers from informing users of other purchasing options.
The 1st human patient implanted with a brain-chip from Neuralink appears to have fully recovered & is able to control a computer mouse using their thoughts, the startup’s founder Elon Musk has stated. “Progress is good, & the patient seems to have made a full recovery, with no ill effects that we are aware of. Patient is able to move a mouse around the screen by just thinking,” Musk said in a Spaces event on social media platform X. Neuralink has said, that the initial goal is to enable people to control a computer cursor or keyboard using their thoughts. Neuralink, which was valued at about $5B last year, has faced repeated calls for scrutiny regarding its safety protocols.
Israel intensified its bombardment of Rafah in Gaza’s south ; Greek farmers were expected to drive into Athens with tractors to protest outside parliament over the impact of rising energy costs; NVIDIA last week’s market capitalization eclipsed Amazon’s & Alphabet’s to make it the 3rd-most valuable company, behind Microsoft & Apple.
The post February 25: Nvidia Crushes, Elon Musk Neuralink 1st Successful patient, Trump Gold Sneakers (Recap ep266) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about some massive explosions in the sun that have caused blackouts near Australia and Asia similar to what they called the Carrington event in 1859; Mutan wolves that roam in the Chernobyl exclusion zone have been found to have some cancer-resilient genomes that could help humans fight cancer; China’s central bank has injected the financial system with liquidity to stimulate production growth.
As China’s central bank unleashes liquidity into the financial system to prod growth, banks are now chasing factories with cheap loan offers. But squeezed out by bigger rivals, smaller firms are unwilling to take on loans to finance new business, in what economists see as a broken link in China’s increasingly inefficient monetary policy. Investment by private companies, which according to state officials provide 80% of urban jobs, fell -0.4% last year, while state investment rose +6.4%.
China’s consumer prices fell at their steepest pace in more than 14 years in January, while producer prices also dropped, ramping up pressure on policymakers to do more to revive an economy low on confidence & facing deflationary risks. The world’s 2nd-biggest economy has been grappling with slowing prices since early last year, forcing policymakers to cut interest rates to spur growth, even as many developed economies were focused on taming stubbornly high inflation. Data from the National Bureau of Statistics (NBS) showed on Thursday that the consumer price index (CPI) fell -0.8% in January from a year earlier, after a 0.3% drop in December.
The European Union’s climate change monitoring service said on Thursday that the world just experienced its warmest January on record, marking the first 12-month period in which temperatures averaged more than 1.5C (2.7F) above pre-industrial times. Already 2023 was the planet’s hottest year in global records going back to 1850, as human-caused climate change & El Nino, the weather pattern that warms the surface waters in the eastern Pacific Ocean, pushed temperatures higher. The previous warmest January was in 2020, according to the Copernicus Climate Change Service (C3S) records which go back to 1950.
Mutant wolves that roam the human-free Chernobyl Exclusion Zone have developed cancer-resilient genomes, that could well be key to helping humans fight the deadly disease. The wild animals have managed to adapt & survive the high levels of radiation that have plagued the area after a nuclear reactor at the Chernobyl power plant exploded in 1986, in the world’s worst nuclear accident. Humans left the area after the explosion leaked cancer-causing radiation into the environment & a 1,000-square-mile zone was abandoned to prevent further human exposure. In the nearly 38 years since the nuclear disaster, wildlife has returned to the area, including packs of wolves that seem to be unaffected by the chronic exposure to the radiation.
King Charles of the United Kingdom has been diagnosed with cancer it has been announced. The 75-year-old monarch has returned to London from Sandringham to begin treatment immediately. It is not connected with his recent surgery & is not prostate cancer, but medics spotted it when he underwent his medical procedure for an enlarged prostate. The King’s diagnosis will pose serious questions for the working of the monarchy, with fewer working members of the royal family & the Princess of Wales out of action, due to abdominal surgery until after Easter.
Spanish farmers blocked traffic on several major highways & burned tires on Tuesday, joining colleagues in other European countries protesting against high costs, bureaucracy & competition from non-EU nations. Spain’s Agriculture Ministry announced Tuesday it will distribute an extra 269M Euros ($289M) in aid to nearly 140K farmers to help alleviate the impact of the long-running drought & the war in Ukraine.Over the past few weeks, farmers in European countries including Germany, France & Belgium have held protests that sometimes turned violent.
The post February 11: Sun Explosion causes blackouts, Wolves Immune to Cancer, China in trouble (Recap ep265) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello talks about an attack suffered by Elon Musk because he allegedly ordered Starlink’s engineers to shut off its network over Crimea. Sugar shortages are on the horizon as India, one of the world’s biggest producers and consumers of sugar, has reportedly announced a shortage. India has officially set its first oil trade using rupees instead of US dollars. On Thursday a Ukrainian official is slamming Tesla & SpaceX CEO Elon Musk for ordering engineers to shut off [...]
The post September 10: Matrix attacks Elon Musk, Sugar shortages looming, India abandons dollar-Collapse? (Recap ep243) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about the possibility of the return of the mask mandate in the US; A picture of a mugshot of former president Trump has gone viral in the internet; India is restricting the exports of sugar due to the reduced local production, this adds up to its restriction on rice exports. Brazil’s President called on the BRICS nations to create a common currency for trade & investment between each other, as a means of reducing their vulnerability [...]
The post August 27: Masks are back! Trump Mug Shot, India Restricts Sugar Exports (Recap ep242) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about how the reknown investor, Michael Burry, best known for his massive profits achieved during the housing crash of 2008, has put a billionaire bet against the market; more banks are failing; and Tesla’s shares have had a recent negative strike of six consecutive days. Friday was the 6th straight session of losses for the electric vehicle maker Tesla stock fell another -1.70% at $215.49, at a length not seen this year. Tesla last saw a losing [...]
The post August 20: Michael Burry bets $1.6 Billion against market, Another Bank Failure, Tesla 6 days of losses (Recap ep241) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello talks about how the Richard Branson dream of space tourism has become a reality with its first “flight” with space tourists completed this week; Food prices keep rising amidst supply concerns; Berkshire Hathaway posted its highest ever quarterly operating profit, while gains from stock holdings helped the conglomerate led by billionaire Warren Buffett swing to a nearly $36 billion overall profit. Virgin Galactic, the space tourism company founded by British billionaire Richard Branson, finally launched its 1st [...]
The post August 13: Space Tourism Starts, Food Prices explode 250%, Warren Buffet Reports RECORD Profit (Recap ep240) appeared first on Investing & Day Trading Education: Day Trading Academy.
In the stock market, an impressive performance was witnessed with the best July performance in 26 years, dating back to 1997. However, analysts are anticipating a 7.1% earnings decline from a year ago, signaling a third consecutive quarter of falling profits. In the cryptocurrency realm, Kenya suspended the Worldcoin ‘eyeball scan’ crypto project due to safety concerns, reflecting the growing regulatory scrutiny surrounding digital currencies. Commodities experienced significant fluctuations, with world food prices seeing the most substantial increase in 1.5 years. Oil [...]
The post August 6: World Food Prices Spike, Best year stocks in 26 years, Chinese Bio Lab found in California (Recap Ep239) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello tells us to be prepared in case of possible blackouts due to the heat wave affecting the world and especially the eastern US states. Another bank has collapsed in Kansas, making it the 5th US Bank to fail this year. Worldcoin, a digital ID project co-founded by ChatGPT founder Sam Altman, is set to launch its own crypto token.PJM Interconnection LLC has declared a level one emergency for the 13-state eastern US grid and called on all power [...]
The post July 30: Prepare for Blackouts! Massive Heatwave, Another Bank Collapses, Cities Bankrupt Next? (Recap ep238) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello talks about a global digital currency that will be linked to a global digital ID meaning your transactions can always be tracked; a “mostly peaceful” tornado destroyed 50,000 pallets of medicine when it hit a Pfizer plant in North Carolina, this will lead to shortages of anesthesia and other sterile injectibles; and the USA joins Singapore as the only countries approving “cell-cultured” meat for human consumption. India, the world’s biggest rice exporter accounting for some 40% of [...]
The post July 23: Digital ID connected CBDS, “mostly peaceful” tornado destroys Pfizer, Lab grown meat approved USA (Recap ep237) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the global market ended generally positive. Binance, one of the largest cryptocurrency exchanges, announced layoffs of over 1,000 employees. On a positive note, Europe is set to launch its first spot Bitcoin exchange-traded fund (ETF) this month. Ripple’s XRP experienced a surge of 74%, reaching $0.81 per coin, after a US judge ruled that it may not necessarily be considered a security. The broader cryptocurrency market also saw positive movement, with altcoins like Polygon’s matic token, Solana, and [...]
The post July 16: Mark of the Beast is here, Crypto explodes, New A.I company Elon Musk (Recap Ep236) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about a new AI Robot called Nadine, which has been upgraded with the AI Model GPT-3, improving its interaction and conversation skills. Its creator says it could be far more effective than human caregivers in tending to the sick and elderly. Several Fed agencies (like DHS, FBI, and DOJ) were prohibited from working with big tech to censor posts on social media. Alef Aeronautics, backed by Elon Musk, presented a pre-sale of their most recent “flying car”. [...]
The post July 9: AI Robots for elderly, Govt gets censored, Flying cars coming soon (Recap ep235) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about how Australia’s largest bank has limited withdrawals to $667; the city of New York has ordered pizzerias to restrict the use of coal and wood-fired ovens to reduce carbon emissions by up to 75%; Strong protests in France have caused mayhem following the fatal police shooting of a teenager in Paris. Police have been trying to control the situation, but agitated crowds have been causing damage non-stop for the last couple of days. U.S. tech giant [...]
The post July 2: Australian banks restrict withdrawals, New York goes after Pizzas, Chaos in France (Recap ep234) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello talks about the recent events that is making Tesla, the automaker, at the top of the race in the electric vehicle contest; Operator of Texas’s power grid has wasked customers to preserve electricity to prevent blackouts facing the summer heatwave to come; US is the second country worldwide to give a green light on the production of Lad-grown meat. Shares of Tesla surged +5.34% on Tuesday at $274.45 with Rivian being the latest automaker to announce a [...]
The post June 25: Tesla finds fortune, blackouts in Texas, Lab grown meat approved US (Recap ep233) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about the droughts that are probably going to cause a reduced wheat and corn harvest. The production of electric vehicles generates more greenhouse gas emissions than that of a gas car. The actual banking crisis has already reached levels worse than those of 2008. Silver’s short-term performance has outperformed recent gains in gold. The percentage gain in silver has been almost 3X of that seen in gold since May 26. The U.S. Federal Reserve is taking a [...]
The post June 18: Wheat & Silver Shortages, Electric Vehicles pollute more than Gas, Banking Crisis Worse than 2008 (Recap ep232) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello talks about a new deadly bacteria that has arrived to the US. This Bacteria is likely to kill upt to 50% of the infected. The government has resumed its brawl against the cryptos by suing Coinbase alleging the company & its co-founder Changpeng Zhao commingled billions of dollars of investor funds with their own & violating securities laws. Harsh climate has reduced the production of several raw materials needed to produce certain foods (like Olive Oil). The [...]
The post June 11: Bacteria Kills 50% arrives to USA, Govt launches crypto war, Food shortages return (Recap ep231) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the most important news was related to the deal reached to suspend the debt limit for two years, allowing the US government to spend money without restrictions during this period. This decision could potentially lead to increased government spending and has implications for the country’s fiscal policies. On Friday, the US Bureau of Labor Statistics revealed that 339,000 new non-farm payroll jobs were added last month, surpassing analysts’ predictions of 190,000 new jobs. This stronger job growth suggests [...]
The post June 4: Artificial Intelligence kills man, Tesla best selling car worldwide, Debt limit Deal! (Recap Ep230) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello points out how the government has asigned “emergency phones” to the members of the US Senate; The Panama Canal is being affected by the droughts; Ford has managed to get an agreement with Tesla allowing Ford owners to use Tesla’s superchargers.
Members of the U.S. Senate were recently offered satellite phones that will allow them to communicate in the case of a “man-made” or natural disaster, according to a report.
Panama Canal imposes shipping restrictions to cope with worsening drought. A severe drought affecting the Panama Canal is forcing container vessels to lighten their loads and pay higher fees, with further increases in the cost of shipping cargo through the canal expected this summer
Olive Oil Prices Soar As Top Producer Plagued With Drought. Olive oil prices has reached its highest point in 10 years.
JPMorgan reports that U.S. metropolitan office vacancy rates rose to 19% in Q1 the highest level on record & significantly higher than vacancies seen during the financial crisis. The report attributed the trend to remote work & companies needing less space for workers. With empty offices weighing on office values, delinquency rates have pushed even higher. The big concern has been what happens with loans, that are maturing this year & 2024.
The top Israeli general has raised the prospect of military action against Iran, even as Prime Minister Benjamin Netanyahu’s national security adviser played down any immediate threat posed by a new underground nuclear facility being dug by the Iranians. The Western effort to negotiate new curbs to Iranian uranium enrichment & other projects with atomic bomb-making potential have been futile so far, fanning long held threats by Israel, to resort to force if it deems diplomacy a dead end.
A new agreement between Ford and Tesla would allow Ford owners to use more than 12,000 Tesla’s superchargers across the USA and Canada. Ford shares rose +6.24 on Friday.
JPMorgan Chase, the largest U.S. bank, cut 500 jobs this week; Orcas have sunk 3 boats in Europe and appear to be teaching others to do the same; Elon Musk’s Neuralink receives FDA approval to launch an in-human brain chip.
The post May 28: Senators get “emergency phones”, Drought affects Panama Canal, Tesla helps Ford (Recap ep229) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this recap, get ready to dive into the world of finance and politics as we discuss the ongoing debt ceiling negotiations. Find out why these negotiations have come to a halt, raising doubts about the possibility of reaching a deal in the near future. We also analyze the uncertain interest rate outlook provided by the Federal Reserve and examine its impact on the market sentiment.
Prepare to be shocked as we uncover a chilling phenomenon that has taken over the streets of Los Angeles. We delve into the rise of a flesh-eating zombie drug called ‘tranq’ and its alarming effects on its users. Despite the shocking scenes of individuals with rotting skin, officials are unable to ban the drug due to its legal status. We explore the complexities surrounding this terrifying trend and its implications for public health and safety.
Economic enthusiasts, listen up! We bring you the latest developments in the lumber market. Discover the staggering decline in US lumber prices, plummeting over 80% since their peak in May 2021. We examine the factors contributing to this sharp decrease, including the easing demand for home renovations after the pandemic-induced boom. Furthermore, we reveal the surprising news of Home Depot’s biggest revenue miss in over 20 years, shedding light on the impact of the changing market dynamics.
In the realm of technology, we explore the immense potential of artificial intelligence (AI). According to Goldman Sachs, AI could be the key to significantly boosting profit margins over the next decade. We share their insights, which suggest that AI has the capacity to increase net margins by nearly 400 basis points. Join us as we delve into the widespread implications of AI and its potential to transform various industries.
Get ready for a captivating journey through the week’s most impactful events. Join us as we deliver a concise, informative recap that will leave you well-informed about the critical happenings in finance, society, and technology.
The post May 21: Drug Turns People to Zombies, Elon Musk Returns to Tesla, Drought Returns (Recap Ep228) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about a report presented by the Federal Reserve that reveals that 722 banks in the U.S. are currently insolvent; the IMF says that a digital currency created in Zimbabwe and backed in gold poses a threat to financial stability; and Elon Musk is stepping down as the CEO of Twitter but will remain chairman and CTO. The new CEO will be former NBC Universal advertising chief, Linda Yaccarino.
U.S. prices of goods & services remained high in April, rising +4.9.% from a year ago. The annual rate of inflation has fallen sharply since hitting a 40-year high of +% last June. April’s rise nearly matched the +5% rise recorded in March. It was the 10th consecutive month the rate has declined, but prices are still rising at a rate that is more than twice the Fed’s target rate of +2% a year. The latest consumer price index (CPI) – a measure of the costs for goods & services have prices up +0.4% over the month, up from a +0.1% increase in March.
China’s market regulator stated on Friday that Tesla will fix software in over 1M vehicles to reduce the chance of accidents. The action is described as a product recall under Chinese regulations, but it was not immediately clear if drivers might need, or would be eligible, to return vehicles to Tesla for refunds. From May 29, the U.S. automaker will issue over-the-air software updates to 1.1M units of its Model S, Model X, Model 3 & Model Y cars, both imported & China-made, according to the State Administration for Market Regulation.
U.S. based Airbnb shares providing an on-line platform for booking accommodations fell -10.92% on Wednesday at $113.19, in largest single session drop since 2020, w/co-founders losing $3B in a single day. The company expects bookings & average daily rates to decline in the current quarter when compared to last year. Revenue came in at $1.8B actual vs $1.79B estimated. Nights & Experiences Booked: 121.1M actual vs 122.4M estimated.The stock is +32.39% in 2023 & -2.37% y/y, w/ market cap at $80.3B.
Shares of entertainment & media giant Disney fell -8.73% on Thursday at $92.31 after it released its fiscal Q2 results.
The post May 15: 722 banks are bankrupt? Gold backed Crypto, Elon Musk announces CEO of Twitter (Recap ep227) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello goes on to discuss what is occurring with the US financial system and the likely causes for the recent collapse of so many regional banks.Fears of an ostensibly deteriorating economy have caused gold to achieve new record highs. Is AI going to pose a threat to humanity? Hinton, a pioneer of AI, warns the world about its possible dangers.
Shares of many U.S. regional banks were in virtual free fall this week through Thursday. As many as 16 mid-sized banks have shed more than $57B in market capitalization since last Friday on renewed fears around the sector’s stability. The KBW Regional Banking Index has plunged about 31% this year & is down -12.1% so far this month. Short-sellers reaped a combined $430.47M in paper profits betting against PacWest, Western Alliance, Zion & First Horizon through Thursday.
On Thursday gold futures were trading near $100 higher from Tuesday’s open of $1990 trading to a low of $2038.50 & a high of $2085.40, ending at $2051.30. Silver rose +1.70% to rise above $26.00 an ounce, once again. Prices remain elevated, even as even as the World Gold Council reported that global physical demand saw a sharp drop in Q1. In the first 3 months of 2023, global gold demand totaled 1,080.80 tonnes, a drop of -13% from Q1 of 2022.
AI pioneer Geoffrey Hinton stated in an interview on Friday that Artificial intelligence could pose a more urgent threat to humanity than climate change. Widely known as one of the godfathers of AI, recently announced he had quit Alphabet, after a decade at the firm, saying he wanted to speak out on the risks of the tech without it affecting his former employer. He is now among a growing number of tech leaders publicly espousing concern about the possible threat posed by AI if machines were to achieve greater intelligence than humans.
U. S. national Debt stands at $31.7T. The yearly interest due on this enormous amount is $562B. U.S. debt during World War II was +114% of GDP & now is +129% of GDP. This tremendous sum is not sustainable. The budget negotiations between the Republicans who wish to reduce federal spending & Democrats who wish to continue the profligate spending, have become increasingly financially destabilizing, as the Treasury Secretary now indicates the debt ceiling must be increased by June 01, to prevent the government from running out of money.
Shake Shack shares were up +16.57% on Thursday at $61.57, after posting revenues of $253.28M for the quarter ended March 2023, surpassing analysts estimates by +3.12%. This compares to year-ago revenues of $203.39M. The company has topped consensus revenue estimates 3 times over the last 4 quarters.The New York City based restaurant franchise stock is up +48.25% in 2023 & +12.56% y/y, with a market cap of $2.23B.
Shares of Apple rose +4.69% on Friday at $173.57, after beating quarterly earnings & revenue estimates, with particularly upbeat results for its flagship iPhone which topped $50B. The largest tech firm in the world will increase its share repurchase by $90B. The stock is up +33.59 in 2023 & +10.36% y/y, with a market cap of $2.75T.
Crowds from across the U.K & the world gathered on Saturday in London, where Charles III will be crowned king in Britain’s biggest ceremonial event in 7 decades, a gilded display of pageantry dating back 1,000 years. Charles succeeded his mother Queen Elizabeth II when she died last September at 96. At 74, he will become the oldest British monarch to have the 360-year-old St. Edward’s Crown placed on his head, as he sits upon a 14th century throne at London’s Westminster Abbey.
Strong U.S. jobs data brighten the economic outlook; According to Labor Department data released Friday, the U.S. economy added 253K jobs in April, far surpassing analyst forecasts of 180K new jobs; Russia claimed on Wednesday that Ukraine tried to assassinate President Putin in an overnight drone attack on the Kremlin in the Russian capital of Moscow.
The post May 7: US Banking Collapse, Gold Record Highs, AI danger to humanity (Recap ep226) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this weekend’s recap, Marcello talks about how Warren Buffet was correct when he predicted that more banks were going to fail. We have now witnessed the three biggest bank failures in history in the last couple of months. Scientists have found tens of thousands of new volcanoes in the ocean thanks to recent satellite imagery.
The yuan became the most-used currency in China’s cross-border payments in March, surpassing the U.S. dollar for the 1st time. This development aligns with China’s plans to increase the use of the yuan internationally.Yuan cross-border transactions & receipts were at a record of $549.9B last month, up from February’s $434.5B. The yuan-based transactions represented 48.4% of all cross-border payments. In comparison, the dollar-based transactions fell to 46.7% in March from 48.6% in February.
India’s population is expected to match China’s by the end of April & then to surpass it as the world’s most populous country. The UN’s Department of Economic & Social Affairs (DESA) comes days after the UN Population Fund said India would have 2.9M more people than China by the middle of 2023. India is expected to reach 1,425.77B by the end of April. China peaked at 1.426B in 2022 & has started to fall. China’s population is projected to go below 1B before 2100. India’s expected to continue growing for several decades.
U.S. President Biden announced on Tuesday that he will run for reelection, ending months of speculation over whether he will seek another term. Biden, who already turned 80 years old in Nov., announced his 2nd bid with questions lingering over whether his age & mental stamina will prevent him from holding office. Biden would be 82 at the start of a 2nd 4 year term. Oldest president ever to be sworn-in when he took office in 2021. Polls indicate that 70% of the Americans would prefer another candidate for the Democratic ticket for the 2024 race.
Turkey’s central bank, biggest buyer of gold in 2022, sold 15 tonnes in March marking the 1st monthly net sale since Nov 2021, lowering the country’s reserves to 572 tonnes. Turkey’s official gold reserves rose by 148 tonnes in 2022, the highest level on record. The National Bank of Kazakhstan lowered its reserves by 10.5 tonnes of gold in March. In 2023, the Bank reduced its gold holdings by 19.6 tonnes. The country’s total gold reserves are now at 332 tonnes, lowest since Aug 2018.
Meta Platforms (Facebook) shares rose +13.93% on Thursday at $238.56% ( the highest price in 15 months), after the company reported Q1 results late Wednesday that blew away expectations, while raising its forecast for the current quarter and lowering its expense outlook. Revenue came in at $28.65B actual versus $27.67B estimated. EPS was $2.20 actual vs. $2.01 estimated.The stock has risen +98.24% in 2023 & 19.00% year on year with a market cap of $542.92B, making CEO Zuckerberg more than $10B richer now worth $87B.
Energy Information Administration (EIA) data this week showed U.S. crude oil & gasoline inventories fell more than expected last week; While U.S. retail sales fell in March as inflation & higher borrowing costs hit consumers, household spending still rose 3.7% during Q1 from Q4 2022; U.S. economic growth slowed dramatically in Q1 2023.
The post April 30: Warren Buffet was right – More Banks Fail, 19,000 volcanoes found in Ocean (Recap ep225) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about how Elon Musk’s SpaceX has successfully launched its new Starship spacecraft and super heavy rocket. The spacecraft exploded mid-air a couple minutes after the blast-off, but the launching exercise was still considered successful. Asian nations are experiencing hot temperatures, which may have an impact on global rice supplies.
A new rule from the Biden administration will force U.S. home buyers with good credit scores to pay higher mortgage rates, in order to subsidize loans to those with riskier borrowing profiles. The fee, which will apply to those buying or refinancing houses after May 1, will affect home buyers with credit scores of 680 or higher, amounting to roughly $40 per month on a home loan of $400,000, or nearly $500 per year. Home buyers who make down payments of 15% – 20% will be hit with the largest fees.
Chile’s President Gabriel Boric announced on Thursday he will nationalize the country’s lithium industry, the world’s 2nd largest producer of the metal essential in electric vehicle batteries, to boost its economy & protect its environment. The move shocked investors in the country with the world’s largest lithium reserves. In time there will be a transfer control of Chile’s vast lithium operations from industry giants SQM & Albemarle to a separate state-owned company.
Scorching temperatures are hitting Asia this week, stretching the region’s power grids & raising health risks as the chances of even more extreme events later in the year increase.The worst drought in a decade is impacting a key Chinese aluminum hub, while soaring temperatures in India have increased the possibility of deadly heat waves & power blackouts. Thailand hit a national record of more than 45C (113F) last week, while countries such as Bangladesh are also seeing April temperatures well above 40C.
Insect farming startup Ynsect SAS secures more funding as it expands globally & looks to prioritize higher-value food for pets & human; The U.K. has western Europe’s highest rate of consumer price inflation; Fox News settles legal threat $787.5M defamation settlement with Dominion Voting Systems(CPI); Cost of insuring US sovereign debt has exploded to a record high; Research team off coast of Cartagena, Colombia discovered a wreck containing a treasure WITH gold, silver & jewels worth billions of dollars.
The post April 23: SpaceX Makes History, Rice Shortages, They Want You To Eat Bugs (Recap ep224) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello addresses a comment made by Warren Buffet about recent banking failures; Elon Musk recently developed a new IA to compete with ChatGPT; and Twitter is partnering with e-Toro to display real-time stock and cryptocurrency information.
The March U.S. consumer price index showed price gains cooled last month, in the slowest rise since May 2021. The consumer price index (CPI) rose +0.1% in March, a slower pace than the +0.4% gain in February. March’s headline inflation rose at an annual clip of +5.0%, below expectations of a +5.2% increase. Core CPI, which strips out food & energy, grew 5.6%, in line with expectations. Meanwhile, housing costs are still a key driver of inflation, even as the residential market stabilizes.
Investment bank JP Morgan w/$3.67T in assets, it is the largest bank in the U.S. & a bellwether for the U.S. economyshares rose +7.55% on Friday at $138.73 after reporting Q1 profit & revenue that roundly beat expectations. It posted a profit of $12.6B or $4.10 per share. That’s up from $8.3B, or $2.63 per share from the same period a year ago, or +52%. Analysts expected earnings of $3.41 per share. The bank also guided net interest income to be about $81B in 2023, up $7B from its previous estimate.
Argentina’s annual inflation rate soared to 104.3% in March, 1 of the highest rates in the world, straining people’s wallets & stoking a cost-of-living crisis that has pushed up poverty.The inflation reading for the month came in at 7.7%, marking the fastest monthly rise since 2002 & piling pressure on the gov’t which is contending w/voters ahead of elections in Oct. The soaring prices have pushed up poverty to near 40% & dented the popularity of the governing Peronist coalition,
The price of Ether climbed above $2,000 Thursday for the 1st time in 8 months, after investors put uncertainty surrounding the long-awaited Shanghai upgrade behind them. Ether advanced over +5% to $2,007.55 & is up 60% for the year. Bitcoin gained over +1% to well surpass $30,000 once again, after briefly falling below it on Wednesday.
The post April 16: Warren Buffet says more bank failures, Elon Musk launches new IA, Twitter to offer crypto (Recap ep223) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about how the weakening position of the dollar facebing the other world currencies might lead to an eventual collapse of it and an hyperinflation in the US; Binance is struggling to find a bank to manage its funds after the collapse of SVB; Tesla is again delivering a record amount of vehicles.
U.S. dollar will weaken vs most major currencies in 2023 as the interest rate gap w/its peers stops widening, putting the currency on the defensive after a multi-year run, say a number of currency experts. Despite starting 2023 on a weak footing, the dollar bounced back in Feb, gaining nearly 3% for the month, on expectations the Fed would take interest rates higher than previously thought. The failure of 2 regional U.S. banks in March, forced the Fed to temper those expectations, pushing the dollar to retreat.
A number of countries kept adding gold to their reserves in February, marking the strongest start to the year since at least 2010. Global gold reserves increased by 52 tonnes in Feb., rising for the 11th month in a row. In Jan., central banks bought 74 tonnes of gold. And that follows record levels of last year, with a total of 1,136 tonnes purchased. So far in 2023, central banks’ net purchases stand at 125 tonnes. the strongest start to a year back to at least 2010, when central banks became net buyers on an annual basis.
Finland becomes a member of NATO on Tuesday, completing a historic security policy shift brought about by Russia’s invasion of Ukraine, while neighboring Sweden’s application is kept waiting by both Hungary & Turkey. Turkey claims the Swedes harbor members of what the Turks consider terrorist groups & Hungary, cites grievances over Swedish criticism of Prime Minister Viktor Orban’s democratic record. Finland becomes the 31st member of the Western military alliance.
Live births in Italy dropped to a new low below 400K in 2022, as the population continued to shrink. Italy’s dearth of babies is considered a national emergency. Last year Italy recorded over 12 deaths for every 7 births & the resident population fell by 179K to 58.85M Italy’s overall population has been falling steadily since 2014, with a cumulative loss since then of more than 1.36M people. Italy could lose almost a 1/5 of its residents, with the population set to decline, under a baseline scenario, to 54.2M in 2050 & 47.7M in 2070.
Donald Trump, former president & front-runner for 2024 Republican nomination, pleaded not guilty to 34 felony counts of falsifying business records, after an investigation into hush money paid to a porn star. While falsifying business records in NY on its own is a misdemeanor punishable by no more than 1 yr in prison, it is elevated to a felony punishable by up to 4 yrs in prison, when done to conceal another crime. Many legal experts assert the case remains weak & will fail to lead to an actual trial next year.
1000’s of farmers protested across Romania on Friday over the impact of Ukrainian grain imports on prices, blocking traffic & border checkpoints with tractors & trucks urging the European Commission to intervene. Anger is rising among farmers in Central & Eastern Europe, over a flood of cheap Ukrainian grain imports, exempt from customs fees until June 2024, which have hurt prices & sales of local producers.
71 Chinese military aircraft crossed the median line of the Taiwan Strait on Saturday; U.S. employers maintained a strong pace of hiring in March, with nonfarm payrolls increasing 236K for the month; Finland’s outgoing Prime Minister Sanna Marin announced she is stepping down as leader of the Social Democratic party; U.S. manufacturing activity slumped in March to the lowest level in nearly 3 years
The post April 9: Dollar collapse incoming, Binance can’t find banks, Tesla record deliveries (Recap ep222) appeared first on Investing & Day Trading Education: Day Trading Academy.
Last week’s economic and financial news saw a mixed bag of updates. Global markets were mostly up, with the US facing a growing wave of global de-dollarization as BRICS push for a new common currency. Meanwhile, cryptocurrencies were in the spotlight with the US Fed judge temporarily stopping the $1.3B sale of Voyager Digital to Binance and CFTC suing Binance for alleged violations of federal laws governing commodities markets.
On the financial front, German consumer prices continued to rise, exceeding Euro-area average inflation rates in recent months. The failed Silicon Valley Bank was also in the news as First Citizens acquired its deposits and loans for up to $500M in stock. In France, 40% of the stocks for 65,000 tons of natural gas were owned by foreigners, as the country looks to buy more natgas from China in Yuan.
In corporate news, Alibaba announced its biggest restructuring in 24 years, splitting into six units and exploring fundraisings or listings for most of them. Meanwhile, Baidu launched an AI fold with “Ernie-bot,” and four artificial intelligence experts expressed concern after their work was cited in an open letter calling for an urgent pause in research. The letter was co-signed by Elon Musk and called for a six-month pause in developing systems more powerful than Microsoft-backed OpenAI’s new GPT-4.
Finally, in trade news, South Korea saw exports fall for the sixth month in a row in March, highlighting ongoing challenges for Asia’s fourth-largest economy. All in all, it was a busy week for the economic and financial world, with plenty of developments to keep an eye on in the coming weeks.
The post April 2: Countries Attack US Dollar, Attacks Food Cargo Begin, Binance Attacked (Recap Ep221) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about how the banking crisis is affecting Europe as well; Deutshce Bank’s shares had a rough week after the cost of insuring the bank’s debt against the risk of default; Coinbase is seing its shares plunge again due to recent government statements on enforcement action for violations of federal securities laws; California has lost billions of dollars of food due to recent floods; Spain is likely to halve its olive oil output.
Germany’s largest bank Deutsche Bank shares tumbled on Friday after the cost of insuring the bank’s debt against the risk of default surged to over 4-year highs, highlighting concerns among investors about the stability of Europe’s banks. Deutsche shares, which have lost more than a 20% of their value so far this month, fell by as much as -14.9% on Friday to their lowest in 5 months. The shares ended down -4.30% at $9.23. The bank has seen $3B wiped off its market value in the space of just 1 week.
Coinbase Global engaging in tech & financial products & services, offers crypto-powered technologies saw shares -8% on Wednesday & -14.05% Thursday at $66.30, after it said in a regulatory filing it received a Wells Notice from the U.S. SEC stating it had made a preliminary determination to recommend an enforcement action against the largest U.S. crypto exchange for violations of federal securities laws. The stock +87.34% in 2023, but is still down -64.49% y/y, with a market cap of $17.5B.
World’s largest olive oil producer, Spain, is likely to halve its output this year vs 2022 due to drought, pushing prices up. Spain usually supplies about 40% of the global output. Heatwaves & severe drought in Spain & in number 2 & 4 producers Italy & Portugal have reduced stocks. Only EU’s 3rd largest producer, Greece, not hit by the weather conditions, was expecting higher production, though not enough to offset the decline in Spain. Estimates at least 10% less olive oil available worldwide this year,
Deutsche WertpapierService Bank AG (dwpbank), a German securities processing giant that manages over 5.3M securities accounts, announced the launch of its new platform, wpNex, that enables over 1,200 affiliated banks to offer Bitcoin trading to its retail customers. Financial planning advisory corporation MLP Banking AG is taking advantage of the opportunity to become the 1st to offer crypto trading to its customers.
As California’s onslaught of rain, wind & mountain snow subsided, downed power lines from Tuesday’s storm leftover 92K homes & businesses without electricity Wed. while lingering floods kept 14K people under evacuation orders. Nearly 48K others statewide warned to be ready to flee to higher ground, if swollen streams overflow their banks or storm-weakened levees fail. California’s exceptionally wet winter is an abrupt change for a state preoccupied in the past few years by drought & wildfires.
India is set to eclipse China as the most important driver of global growth & therefore oil demand & potentially the last major economy driven by fossil fuels, as the world shifts to a greener future. A swelling population, which has already surpassed that of China, will help to underpin that growth along with consumption trends. India’s transition from traditional gasoline & diesel-fueled transport is expected to lag other regions, whereas China’s adoption of electric vehicles is already skyrocketing.
Fitch Ratings on Friday cut Argentina’s foreign currency rating to “C” from “CCC-” citing an “imminent” default after the country ordered public sector bodies to sell or exchange their holdings of some sovereign dollar bonds. A presidential decree said on Thursday that public sector bodies would have to sell or auction 5 local law dollar bonds maturing between 2029 & 2041, & to swap 7 foreign law dollar bonds for peso debt.
The visit by Chinese President Xi, his 1st to Russia since Putin invaded Ukraine just over a year ago, marked a political win for both leaders; Shares of GameStop surged +35.24% on Wednesday at $23.87, after the gaming retailer posted a quarterly profit for the 1st time in 2 years with net profits at $48.2M.
The post March 26: More Bank Failures now in Germany, War against Crypto, Food Shortages To Get Worse (Recap ep220) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, recent economic data have shown inflation in line with target and have eased investor concerns about bank contagion, although year-over-year inflation remains elevated at 6%. The inflation rate has declined for the eighth consecutive month, with a slowdown in food price increases offsetting higher gasoline prices and another rebound in rents. Food prices are up 9.5%, energy prices are up 5.2%, clothing prices are up 3.3% and new vehicle prices are up 5.8%. Housing costs are up 8.1%, accounting for more than 70% of the overall increase. In the banking sector, First Republic is the fourth bank to fail this year, but reports suggest that the nation’s largest banks are discussing a joint bailout of the lender. The Wall Street Journal has also reported that 186 banks have been found to have vulnerabilities similar to Silicon Valley Bank.
In the commodities market, oil has continued to suffer losses as the ripple effects of the biggest U.S. banking collapse since 2008 continue to be felt across financial markets. Oil prices fell to 15-month lows on Wednesday, with U.S. crude down 14.89% from $76.68 to $66.74 and Brent down 13.44% from $82.78 to $72.97. Meanwhile, UBS AG has reported that China is stepping up its efforts to mine lithium and is expected to account for nearly a third of global supply by mid-decade. The bank expects Chinese-controlled mines, including projects in Africa, to increase production to 705,000 tons by 2025, up from 194,000 tons in 2022. This would increase China’s share of this essential mineral for electric vehicle batteries to 32% of global supply, up from 24% last year. In other news, the London Metal Exchange has found bags full of stones instead of nickel in one of its warehouses, raising fears that the claims about #gold and #silver are also true. On a positive note, gold had its best week in three years and jumped back above $1,900 an ounce.
In corporate news, United Airlines’ shares fell by 5.37% on Tuesday, closing at $46.21, after the carrier forecast a Q1 loss due to weaker demand growth compared to other months and higher fuel costs. Tesla has announced that it is returning to using electric vehicle motors with no rare earth elements, but this move may be problematic as China is a major producer of these elements. On Tuesday, Meta Platforms announced that it will cut 10,000 jobs this year, becoming the first Big Tech firm to announce a second round of mass layoffs as the industry braces for a deep economic downturn. The cuts are part of a restructuring effort that will end hiring for 5,000 openings, stop lower-priority projects, and flatten layers of middle management. Meanwhile, Samsung expects to invest $230 billion over the next 20 years to develop the government-called world’s largest chip-making base, in line with efforts to boost the national chip industry. On Wednesday, T-Mobile US Inc announced that it will buy Ryan Reynolds’ Mint Mobile for $1.35 billion, allowing T-Mobile to tap into a larger share of the pay-as-you-go customer base. The numbers are expected to swell as credit-challenged people shy away from hefty monthly bills. In other news, Saudi Aramco has reported a record-breaking net income of $161.1 billion, a staggering 46.5% surge in its net income due to strong crude oil prices, resulting in a blowout annual profit.
The post March 19: More bank failures, govt attacking crypto, stocks collapse (Recap Ep219) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about the recent events that might indicate the beginning of the crisis that has been knocking on the world economy’s door for the last couple of months; this week, the 2nd largest bank collapse in history just happened to Silicon Valley Bank, and also Silvergate Bank apparently collapsed as well; both of these situations dragged down the markets with them.
Shares of SVB Financial Group fell -60.41% on Thursday at $106.04, after the firm said it intends to offer $1.25B of its common stock & $500M of depositary shares, weighing on the entire banking sector on concern that more banks, will incur heavy losses on their bond portfolios. SVB Financial also cut its Q1 net income guidance. Shares were down another -61% in premarket trading Friday at $36.10. The stock is down -53.92% in 2023 & -80.01% y/y, with a market cap of $15.83B.
Crypto lender Silvergate Bank 1 of the biggest lenders to major crypto firms, facilitating transfers between exchanges & market makers stock sank -42.16% on Thursday at $2.84, after the firm announced it will wind down operations & liquidate. The bank has been struggling for months, including reporting a $1B net loss in Q4. The stock is down -83.68% in 2023 & -97.70% y/y, with a market cap of $155.44M. By Friday morning Bitcoin had plunged over -2% to below $20K.
For every dollar the U.S. federal government takes in, $1.29 is spent. Under the Congressional Budget Office’s new projection, that number will go up to an average $1.34 over the next ten years. According to conservatives, this has become a spending problem not a revenue problem. The federal U.S. debt at present is at $31.6T. That works out to be $94,466.00 per person & $246,867.00 per U.S. taxpayer.
Shares of crypto-focused companies fell on Thursday, after Silvergate Capital Corp disclosed plans to wind down operations & voluntarily liquidate, as the aftermath of FTX’s implosion last year reverberates through the industry. Analysts claim a complete closure of the crypto lender could take 1 or 2 years depending on how quickly outstanding loans are repaid & assets are disposed of. Bitcoin fell some -1% to below $21,500.00
Long-time regional foes Iran & Saudi Arabia agree to resume diplomatic relations & reopen embassies in each other’s countries following China-led negotiations in Beijing. Saudi Arabia cut ties w/Iran in 2016 after its embassy in Tehran was stormed during a dispute between the 2 countries over Riyadh’s execution of a Shi’ite Muslim cleric. In recent years Saudi Arabia has blamed Iran for missile & drone attacks on its oil facilities in 2019, as well as attacks on tankers in Gulf waters. Iran denies the charges.
A Peruvian judge Thursday, extended former president Pedro Castillo’s pre-trial detention to 3 yrs. Castillo, who was ousted & arrested in Dec, was already being held over charges of rebellion, to which prosecutors added criminal organization, collusion & influence trafficking. Castillo, has been imprisoned since 12/7, when he was arrested after attempting to dissolve parliament & rule by decree. The leftist leader had been trying to ward off a 3rd vote in Congress, to impeach him for alleged corruption
The post March 12: Beginning of the crisis? 2nd largest bank collapse in history, Crypto Bank collapses as well (Recap ep218) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello tells us that Elon Musk is again the world’s richest man after the stocks from Tesla spike 70%; Crypto Companies Behind Tether/Bitfinex Used Falsified Docs & Shell Companies to Get Bank Accounts; The largest supermarkets in UK are now strictly rationing many fruits and vegetables, 22% British households skipped meals or even fasted for a whole day in January.
Russia’s grain exports are booming as buyers load up on its attractive bumper supplies. The country’s shipments of wheat, its main crop, almost doubled in January & February from a year earlier.
Brazil’s President Luiz Inacio Lula da Silva promised to bring prosperity back in what his campaign called “barbecue & beer” for all. 2 months into his presidency, the economy he inherited is cutting his honeymoon short & has him rushing to stem the damage. Official data released Thursday showed Brazil’s GDP fell -0.2% in Q4 2022, snapping 5 straight quarters of growth. The economic downturn is widely expected to continue this year.
Colombia faces uncertainty after the 1st leftist president in its modern history Gustavo Petro embarked to end contracting for energy exploration. Industry tax hikes have already increased the level of fear & there are major concerns his plan will not only shock Colombia’s petroleum-dependent economy, but endanger its energy security & spark a crisis. The growing shortage of natural gas will likely trigger an energy crisis, w/declining domestic supply & rising demand already having forced Colombia to significantly increase liquified petroleum gas imports.
Last year, China approved the construction of another 106 gigawatts of coal-fired power capacity, the equivalent of 2 large coal power plants per week & its highest in 7 years. China had suffered a wave of blackouts in September 2021, as a result of coal supply shortages, cutting off 1000’s of homes & factories. Many of the newly approved projects are identified as supporting base load capacity designed to ensure the stability of the power grid and minimize blackout risks.
After 5 consecutive weeks of losses, the gold market posted its 1st weekly gain; Russia & the United States’ top diplomats spoke in person on Thursday, for the 1st time since the invasion of Ukraine, on the sidelines of a G20 meeting where ministers traded blame over the conflict; Elon Musk’s latest plan for Tesla Inc. fell flat as the electric-car maker shared few details about the next-generation models that will underpin its next phase of growth.
The post March 5: Elon Musk World’s Richest again, Tether USDT Bankrupt? Food rationing in UK (Recap ep217) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about the hacking that the Dole Food Company suffered, leaving ALL its North America Production in a halt, This firm is one of the world largest producers of fruits and vegetables; Poland has started Installing Anti-Tank barriers along its order with Belarus; Tuesday was the worst session of the year so far for all the US stock indexes.
U.S. inflation data for January was hotter than expected. The core price index y/y came in at +4.7% vs the estimate of +4.3%. January’s rate M/M was +0.6% vs +0.4% estimated. Price index inflation for the month y/y is at +5.4%. Personal spending was up +1.8% vs +1.3% estimated. January’s personal income up +0.6% vs. +1.0% expected. Inflation is now costing American consumers an extra $395.00 a month.
Labor Department data shows that the average cost for food consumed in U.S. homes climbed +11.3% in January from a year earlier. That was nearly 5% above the overall rate of inflation, among the widest gaps since the 1970s. Food cost increases have now outstripped broader inflation for nearly a year. Higher prices on food have led to fewer sales of electronics, toys, home & apparel.
Russia’s invasion of Ukraine, Europe’s biggest conflict since WWII has disrupted economies & markets globally, from energy & food prices to European banks, emerging market stocks & Russia’s currency. The U.S. dollar remains the ultimate safe haven in a time of uncertainty. The economic fallout of the war, which hit currencies such as the Euro hard, instead lifted the dollar. U.S. dollar is down from Sept’s 2-decade high, but it’s still up +8% vs. a basket of major currencies since the conflict began a year ago.
The Group of Seven nations consisting of Canada, France, Germany, Italy, Japan, U.K. & the U.S. are preparing new, further-reaching sanctions on Russia a year after its invasion of Ukraine, targeting key economic sectors & other countries or organizations who help Moscow’s war effort. Leaders of the bloc of developed nations will meet virtually on Friday with Ukrainian President Zelenskiy to mark the 1-year anniversary of Russia’s invasion & are expected to announce the sanctions package.
Archaeologists have discovered a 4,500-year-old remains of a lost palace from the ancient Sumerian city of Girsu in southern Iraq, by using tech & drone photography, to identify the subsurface remains of a previously unknown large complex.
South Africa is now experiencing an unprecedented level of power blackouts; The Labor Department Thursday said that the number of Americans filing new claims for unemployment benefits unexpectedly fell last week; House Depot misses its revenue expectations for 1st time since Nov 2019.
The post February 26: Cyber Attack At Food Companies, Poland preparing Russia Invasion, Stock Markets Puke (Recap ep216) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, we have a lot of “strange world” and “Marcello conspiracy” moments. The WSJ published an article advising to skip meals to save money, perhaps starvation is the solution to inflation. Microsoft’s IA chatbot said manufacturing a deadly virus, making people argue with other people until they kill each other, and stealing nuclear codes. Damage from chemical train derailment in Ohio continues to emerge. A theory is emerging that Nord Stream was blown up by the CIA.
Yep, we have “conspiracy Marcello” for a while.
Continue layoffs in US: Docusign – 700 employees = 10% of company, Yahoo – 1,600 = 20%, Twilio – 1,500 = 17%, Wix – 370 = 6%, irobot (roomba maker company) 85 = 7%. Amazon closed its slowest year of growth in the company’s history. Expectations US earnings-worst earnings season outside of a recession in 24 years.
Lawsuits rising against freight rail operator Norfolk Southern facing public backlash train derailments: First one led to a chemical disaster in East Palestine, Ohio;2nd one SE Michigan outside Detroit (same company); 3rd plant nursery fire in Kissimmee – no hazardous materials; 4th Truck Overturns In Arizona, Spills Nitric Acid, Shelter-In-Place Reinstated.
Russian Finance Ministry decides to sell gold to cover January budget deficit; PM Albin Kurti of Kosovo says accept EU proposal, for full normalization of relations between Kosovo & Serbia; International team astronomers confirms existence of K2-415b, an Earth-sized exoplanet circling just 72 light years away from Earth; 10’s of 1000’s of homes North New Zealand now without electricity due to powerful cyclone.
The post February 19: Microsoft AI threatens to kill humanity, Binance leaving USA? Natural Disasters Increase (Recap Ep215) appeared first on Investing & Day Trading Education: Day Trading Academy.
Marcello is bringing us some news about a moment of internet blackout in Italy this week, As well as a new direction from the US’s IRS that might cause heavy consequences on the middle and lower class; We have also reached a new record regarding crypto hacks.
Days after a huge earthquake brought death & destruction across southern Turkey & northwest Syria, the confirmed death toll from the deadliest quake in the region in 2 decades stood at 21K in both countries on Friday. 100’s of 1000’s more people have been left homeless & short of food in very bleak winter conditions, now desperate for a multi-national relief effort to alleviate their suffering.
On Thursday, Turkey’s stock exchange suspended trading for 5 days & canceled all trades executed on Wednesday, following a selloff that erased billions of dollars from the value of main equities after the 2 devastating earthquakes. It is the 1st market-wide suspension of trading in Istanbul since 1999.
North American companies struggling to hire workers in the tightest labor market in decades brought on more robots last year than ever before. Companies, overwhelmingly located in the U.S. ordered just over 44,100 robots in 2022, an 11% increase over the previous year & a new record. The value of those machines totaled $2.38B, an +18% increase over the prior year, according to data.
Yahoo plans to lay off more than 20% of its total 8,600 workforce as part of a major restructuring. The tech company is reorganizing its advertising unit, which will lose over 50% of the department by the end of the year. Apollo Global Management, a private equity firm, acquired Yahoo in 2021 for $5B from Verizon, which had bought the company in 2017.
Microsoft co-founder Bill Gates believes ChatGPT, a chatbot that gives strikingly human-like responses to user queries, is as significant as the invention of the internet, in an interview published on Friday. “Until now, artificial intelligence could read & write, but could not understand the content. The new programs like ChatGPT will make many office jobs more efficient by helping to write invoices or letters. This will change our world,” he said.
Following a round of new sanctions from the West, Russia is now facing more challenges in holding up its production of oil, a key source of revenue for the state budget, which posted a $25B deficit in January alone. Reduced export volumes also shrank Russia’s current account surplus by 58.2% to $8B in January, squeezing Russia’s capital buffers at a time when Russia needs to ramp up budget spending due to the war in Ukraine.
The U.S. is preparing to impose a 200% tariff on Russian-made aluminum as soon as this week, to keep pressure on the Russian government, as the 1-year anniversary of the invasion of Ukraine nears. There are still concerns in the Biden administration about collateral damage on U.S. industries, specifically aerospace & automobiles
On Friday, a U.S. F-22 fighter jet shot down an unidentified object flying high over Alaska; The global gas & oil industry had historic gains from the fallout of the war in Ukraine; Credit Suisse is dealing with a disaster. Shares fell -14.73 on Thursday to the bottom of the European STOXX 600 index; The U.K. economy indicated zero growth in Q4 2022 – enough for it to avoid entering a recession for now, but faces tough prospects in 2023.
The post February 12: Internet Blackout Italy, IRS targets waiters, Record Crypto Hacks (Recap ep214) appeared first on Investing & Day Trading Education: Day Trading Academy.
The United States World Order may be coming to an end, according to Marcello’s analysis in today’s Recap. More and more countries are analyzing the idea of trading directly among them, using their own currencies and leaving the dollar out of the negotiation. January’s rapid job creation dents concerns about a coming recession, reducing the likelihood that the Federal Reserve will be forced to cut interest rates soon. U.S. Traesury Department will make more Tesla vehicles elegible for tax credits.
On Friday the U.S. Treasury Department said it will make more Tesla, Ford Motor, General Motors & Volkswagen electric vehicles eligible for up to $7,500 tax credits, after it revised its vehicle classification definitions in a win for automakers which had pressed the Biden administration to change the vehicle definitions. Under the $430B climate bill approved in August, SUVs can be priced at up to $80K to qualify for EV tax credits, while cars, sedans & wagons can only be priced at up to $55K.
Indian tycoon Gautam Adani lost his title of Asia’s richest person on Wednesday, as the rout in his conglomerate’s 7 listed companies deepened to $84B in the wake of a short-seller report. Wednesday’s stock losses saw Gautam slip to 10th on Forbes rich list with an estimated net worth of $84.1B, just below rival Mukesh Ambani, the chairman of Reliance Industries Ltd who has an estimated $84.4B.
U.S. officials said on Thursday, that a Chinese spy balloon has been flying over the United States for a couple of days, just days ahead of a planned trip to Beijing by U.S. Secretary of State Antony Blinken. Fighter jets were mobilized, but military leaders have advised President Biden against shooting the balloon down for fear the debris could pose a safety threat, advice that Biden has accepted at this point.
The fastest growing social media firm is ChatGPT, a learning artificial intelligence tool chatbot, launched by OpenAI (a private company) in November 2022. It has acquired 100M users in the last 2 months. OpenAI, the company that created ChatGPT, will soon roll out a paid version of the service in a pilot project, where people willing to spend $20 a month will get a premium version.
South Korea’s export numbers in January fell -16.6% on an annualized basis. For the month exports fell -$46.3B & imports fell -$59B or -2.6%, resulting in a deficit of -$12.7B. South Korea saw a trade deficit of -$47.5B for the year of 2022. It marks the worst trade deficit since the customs agency started compiling data in 1956, far more than the -$20.6B trade deficit seen in 1996.
Layers upon layers of ice, sleet & freezing rain over the course of days made driving conditions life-threatening & snapped tree branches that eventually knocked down power lines for 100’s of 1000’s in the U.S. south. In the Northeast temperatures broke record lows with wind chill warnings in effect into Saturday, as readings dip as cold as -30 to -50 below zero in some spots.
U.S. based Ford Motors shares fell -7.61%; Shares of Amazon fell -8.43% on Friday at $103.39; The number of Americans filing new claims for unemployment benefits dropped to a 9-month low last week; U.S. job creation in the private sector plunged in January.
The post February 5: United States World Order Coming To End, Recession Coming in Hot, Tesla Beats! (Recap ep213) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello tries to explain how Chat GPT, which recently announced a paid version, has the potential to become the latest billion-dollar venture for Elon Musk; UAE and India are talking about using rupees instead of dollars to settle non-oil trades, which adds pressure on the dollar as a global reserve currency; and a new study suggests that the earth’s core may have stopped spinning or may even be spinning backwards.
U.S. orange juice prices are expected to rise to over $6.00 a gallon. Lowest crop in Florida in 90 years expected. First there was Hurricane Ian, followed by frosts, then Hurricane Nicole & then a greening disease working its way across the state. There will be 18 million boxes of 80 pounds each. 56% less than last season. Lowest since the 1936-37 season. There were 24 million boxes at the peak in the industry.
Shares of U.S. based credit card company American Express rose +10.54% on Friday at $172.31, despite weaker-than-expected results for Q4. It reported $2.07 in EPS on $14.18B of revenue, but guidance for 2023 was better than anticipated for earnings & revenue. Also says it will be increasing its dividend by 15%. The stock is up +16.62% in 2023, but still down -2.68%, with a market cap of $128.76B.
Shares of Tesla +10.97% Thursday at $160.27, after beating on the top & bottom lines, despite mixed analyst sentiment about the EV manufacturer’s outlook. It reported automotive revenue of $21.3B in Q4 & adjusted EPS of $1.19. January is seeing the strongest orders YTD than ever in history according to Elon Musk. He claims Tesla is currently seeing orders of almost twice the rate of production. The stock has risen +30.11% in 2023, but remains -43.19% y/y, with a present market capitalization of $456.07B.
Shares of India’s Adani Enterprises sank nearly -20% on Friday, as a report by a U.S. short seller triggered a rout in the conglomerate’s listed firms, casting doubts on how investors will respond to the firm’s record $2.45B secondary sale. 7 listed companies of the Adani conglomerate, controlled by 1 of the world’s richest men Gautam Adani, have lost a combined $48B in market capitalization since Wednesday.
On Wednesday U.S. tech giant IBM announced job cuts, saying they were related to the previously announced spinoff & sale of 2 business units. Some 3,900 positions, or 1.5% of its global workforce, are expected to be let go. The move will cost IBM about $300M this quarter, a spokesperson has confirmed.
President Biden announced on Wednesday, that the U.S. will send 31 M1 Abrams tanks to Ukraine, matching a German decision to immediately provide Leopard tanks that Ukrainian government says are essential in their fight against Russia. The Abrams tanks are not expected to reach the battlefield for months related to the time needed to procure the tanks & carry out the training necessary for Ukrainian forces.
Shares of U.S. based Sherwin Williams engaged in the manufacture & trade of paint & coatings fell -8.92% on Thursday; Despite high inflation, rising interest rates & an energy shock U.S. gross domestic product (GDP) grew +2.1% in 2022.
The post January 29: Elon Musk’s next Billion dollar Co, Dollar Collapse immenent? Earth is in trouble (Recap ep212) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello addresses the situation where tech firms are on their way to more massive layoffs and its possible effects on the market; WEF assistants are being questioned for using thousands of private jets to attend the forum while claiming for greener ways of living; and Brazil’s lower than expected coffee harvest might cause an unprecedented coffee shortage across the globe.
According to data compiled by the Layoffs.fyi website over 55,000 global tech-sector employees have already lost their jobs in 2023. The total of global tech layoffs in 2023 has doubled this week. It had recorded just over 25,000 as of Tuesday. The data suggest 2023 is on pace to surpass 2022 for global tech redundancies, with 154 tech firms laying off 55,324 employees in the 1st few weeks of 2023. Last year, 1,024 tech firms laid off 154,336 employees.
Alphabet, which is Google’s parent, saw shares rise +5.72% on Friday at $99.28, after CEO Sundar Pichai announced the company will lay off 12,000 employees noting in a memo that the company hired for a different economic reality than the one we face today. The stock is up +11.89, but down -23.68% year on year, with a market cap of $1.28T.
World market faces coffee shortages for an unprecedented 3rd consecutive year, due to lower-than-expected harvest from top grower Brazil, according to coffee trader Volcafe. Global supply will be behind demand by 3.8M bags in the next season, with robusta beans hitting a record shortfall amid surging demand for the variety used in instant coffee & as a blend in espressos. The shortfall comes after demand in the current season is seen as outstripping supply by 4.5M bags.
The U.S. government has hit its $31.4T borrowing limit, amid a standoff between the Republican-controlled House of Representatives & President Biden’s Democrats on lifting the ceiling, which could lead to a fiscal crisis in a few months. Treasury Secretary Janet Yellen informed congressional leaders that her department had begun using extraordinary cash management measures that will stave off default until June 5.
According to data released by the National Statistics Bureau, China’s population began shrinking in 2022, for the 1st time in 6 decades, compounding a worsening demographic crisis for the world’s 2nd largest economy. At 1.41 billion people at the end of last year, 850K fewer than the end of 2021, it marks the 1st drop since 1961, the final year of the Great Famine under former paramount leader Mao Zedong.
Police in Peru fired tear gas near congress Thursday, as protesters massed in downtown Lima to try to topple the weak government of President Dina Boluarte. As the nation’s political crisis enters its 7th week, demonstrators from rural areas traveled 100’s of miles in buses & trucks to voice discontent with the change in government.
The construction of Finland’s 1st industrial-scale green hydrogen production facility began on Friday, its future operator P2X Solutions said. Green hydrogen is produced using renewable energy to split water by electrolysis. It is seen as a major power source that will help Europe end its previous dependency on Russian energy & to reduce carbon emissions. A number of countries & companies have announced investments in green hydrogen production, but few of the plans are in advanced stages.
The number of transistors on a microchip has doubled every year since the 1960s. But will soon plateau because silicon, loses its electrical properties once devices made from this material dip below a certain size. 2D materials two-dimensional sheets of perfect crystals can be as thin as a single atom. At the scale of nanometers, 2D materials can conduct electrons far more efficiently than silicon. The search for next-generation transistor materials therefore has focused on 2D materials, as potential successors to silicon.
the U.S. Federal Reserve is investigating Goldman Sachs Group’s consumer business to determine whether the bank had appropriate safeguards in place; India is now set to export a record 50M eggs this month; Cryptocurrency firm Genesis filed for Chapter 11 bankruptcy; New Zealand Prime Minister Jacinda Ardern will not seek reelection & plans to step down no later than early Feb; The U.S. has now had 2-consecutive monthly declines in retail sales.
The post January 22: More Massive Layoffs, WEF Saves Planet 1,000 Private Jets, Coffee Shortages (Recap ep211) appeared first on Investing & Day Trading Education: Day Trading Academy.
The egg shortage in the US brought on by the avian flu is leaving retail locations like Costco without eggs on their shelves; The Fed is likely to keep on track to further slow the pace of interest rate hikes due to inflation data showing cooling price pressures; and Airplanes across the USA were grounded and flights were canceled due to an FAA outage. This is the first time since 9/11 that all flights within the USA have been grounded. Last week, the airspace of Canada and the Philippines was also closed. These and other topics are discussed by Marcello in this week’s recap.
SEC charged crypto firms Genesis & Gemini with allegedly selling unregistered securities in connection with a high-yield product offered to depositors. Gemini, a crypto exchange & Genesis, a crypto lender, partnered in Feb. 2021 on a Gemini product called Earn, which touted yields up to +8% for customers. SEC says, Genesis loaned Gemini users’ crypto & sent a portion of the profits back to Gemini, which deducted an agent fee, sometimes over +4% & returned the remaining profit to its users.
The cryptocurrency market suffered in 2022, as risk appetite diminished & various crypto firms collapsed. Investors were left with large losses & regulators have stepped up calls for more consumer protection. Data from blockchain analytics firm Chainalysis showed on Thursday, that illicit use of cryptocurrencies hit a record $20.1B in 2022, as transactions involving companies targeted by U.S. sanctions skyrocketed.
The situation with the cryptocurrency market has markedly improved over the past week as Bitcoin saw its 4th straight day of gains on Thursday to over $19K, after the highly anticipated Consumer Price Index (CPI) report largely aligned with expectations & showed that U.S. inflation continues to moderate.
Swedish state-owned mining group LKAB announced on Thursday, that it has identified significant deposits of rare earth elements in the Kiruna area, with mineral resources exceeding 1 million tonnes of rare earth oxides, which is the largest known deposit of its kind in Europe. It could well become a significant building block for producing the critical raw materials that are absolutely crucial to enable a green transition in Europe.
Singer Lisa Marie Presley, the only daughter of the “King of Rock ‘n’ Roll,” Elvis Presley, died Thursday at the age of 54 after being rushed to a LA-area hospital, after suffering cardiac arrest in her home. She is survived by daughter Riley Keough, 33, an actress & 14-year-old twin daughters Harper & Finley Lockwood as well as her mother Priscilla. Her only son committed suicide in 2020, at the age of 27.
The post January 15: Egg Shortages, Inflation Down, Airplanes Grounded over “Software Glitch” (Recap ep210) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, US & global markets ended mostly higher. High inflation has been a feature of the economy for about the last year. But how has inflation actually impacted the prices of everyday goods? We show you in a list of selected goods how everything has been impacted by inflation.
The world is short of everything: corn, coffee, wheat, soybeans, plastic cardboard, semiconductor chips, appropriately skilled workers, and so on. Now, the time has come to add sand, the most extracted solid material in existence, to this ever-growing and eclectic list. The importance of sand cannot be overemphasized. Water is the world’s most consumed natural resource; sand is the second. China has sent sand pirates to secure the supply. Both desert and sea sand are totally useless for construction.
Sam Bankman-Fried, pleads not guilty to all criminal charges in federal court. The billionaire pleaded not guilty to 8 charges ranging from wire fraud to conspiracy to prosecute money laundering before federal judge Lewis Kaplan in NYC. A trial date has reportedly been set for October 2.
If you own your home, eat full meals and drink clean water, have a smartphone, can surf the Internet, and have gone to college, you are in the tiny privileged lot (in the less than 7% category). Under current conditions, out of every 100 people, only 8 can live to be 65 or older.
California snowpack highest in 40 years; last week of 2022 mortgage applications fell 42% year-on-year; Croatia, with almost 4 million inhabitants, is the 20th country to adopt the euro; Missouri bill would treat gold and silver as money; IMF Managing Director global economy faces a tough year, expects 1/3 world economy in recession; Salesforce plans to lay off 10% of the workforce, or near 8K employees; Chinese officials are discussing plans to resume some imports of Australian coal; Qualcomm Tech unveiled processor chip for a car called Snapdragon Ride Flex SoC; Mexican security forces captured drug cartel boss Ovidio Guzman.
The post January 8: World running out of Sand, NFT scams, Largest Crypto Bank Bank? (Recap Ep209) appeared first on Investing & Day Trading Education: Day Trading Academy.
On today’s recap, Marcello goes over the aftermath of the Fed’s interest rate increases that have occurred throughout the year in order to control inflation. Despite all the efforts made by the government, 2022 is looking to be the worst year for the economy since 1871.
The U.S. Federal Reserve is committed to a historic tightening monetary path, with interest rate hikes at the most rapid pace since the early 1980’s. But as the domestic economy grinds to a halt & inflation likely cools, as government spending increases slip, a growing number of economists expect the Fed to be forced to cut interest rates in 2023.
There is increasing evidence that China’s economy will be unable to overtake the GDP of the U.S. The Chinese rate of growth is slowing, the real estate sector in China is in serious trouble & the Chinese labor force is shrinking, due to a rapidly aging population & declining birthrate. Increasing trade barriers, lower foreign investment & increasing impediments to technology transfers are also factors, along with a growing government interference in the affairs of business & the economy.
U. S. retail sales rose +7.6% between Nov. 1 and Dec. 24, the majority of the holiday season, as steep discounts brought in consumers. The increase is higher than the +7.1% growth Mastercard had forecast in September, when it anticipated consumers would pull purchases to October, in the quest for early deals. This year’s holiday retail sales growth however, is less than the +8.5% increase in 2021, as decades-high inflation, rising interest rates & the threat of a recession have made consumers more cautious.
On Friday, Venezuela’s opposition national assembly voted to remove interim President Juan Guaido, dissolve his government & appoint a commission to govern the country’s foreign assets, as lawmakers seek a united front ahead of elections slated for 2024.
The surge in U.S. egg prices has stood out in 2022, as Americans saw their grocery bills skyrocket. Average egg prices jumped +49.1% in November vs. a year earlier, in the largest annual percentage increase among all grocery items in that period, according to the CPI.
Former German born Pope Benedict, who in 2013 became the 1st pontiff in 600 years to resign, died on Saturday aged 95, in a secluded monastery in the Vatican, where he has resided since stepping down as head of the Papacy.
The post January 1: The worst year since 1871 (recap ep208) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello discusses how Elon Musk has lost ground to Bernard Arnault as the richest person in the world as a result of a sharp decline in Tesla stock prices; rolling blackouts have affected many US states in recent days due to extreme weather; and one of the largest bitcoin miners, Core Scientific, has filed for bankruptcy.
Elon Musk once worth $340B, is no longer the world’s richest man after a sharp drop in the value of his shares in electric car company Tesla this year down -57.35% in 2022, losing the top spot to France’s Bernard Arnault, the chief executive of LVMH, the luxury group that owns brands like Louis Vuitton. Musk has seen his total wealth fall by over $100B since January, to $168.5B. That’s less than the $172.9B net worth of Arnault, whose wealth largely derives from his 48% ownership of LVMH.
It was reported on Monday that China’s business confidence fell to its lowest since January 2013 (since the survey began), released by World Economics, reflecting the impact of surging COVID-19 cases on economic activity, with the abrupt lifting of many pandemic control measures. The index fell to 48.1 in December from 51.8 in November, a survey of sales managers at over 2,300 companies conducted Dec. 1-16.
The U.S. economy grew much faster than previously thought in Q3, a sign that the Federal Reserve’s battle to cool the economy down to fight inflation is having a limited impact to date. The GDP grew at an annual pace of +3.2%, above the +2.9% estimate made a month ago. Economists had expected GDP to stay unchanged from its previous reading.
In 2023, Goldman Sachs is predicting that copper prices will reach record high prices of $11,000 per tonne. Stores of the industrial metal are dangerously low, according to commodity trader Trafigura. Just enough to cover 4.9 days of production earlier this year, & now predicts that stores will shrink to 2.7 days by the end of 2022. Copper is a key component in green energy technologies, notably electric vehicle (EV) production.
Billionaire Microsoft co-founder Bill Gates has amassed nearly 270K acres of farmland across the country, compared to 900M total farm acres, but a different billionaire privately owns 2.2M acres, making him by far the largest landowner in the U.S. John Malone, the former CEO of Tele-Communications Inc., which AT&T Inc. purchased for more than $50B in 1999, has a variety of ranching & real estate businesses, primarily in Maine, New Mexico, Colorado & Wyoming.
Over two-thirds of the U.S. population (240M) is under an extreme weather alert on Friday, as a deep freeze enveloped much of the country ahead of the holiday weekend, disrupting travel plans, knocking out power to businesses & at least 1.5 million homes as well as causing at least 3 deaths so far.
The U.K. economy contracted more than originally thought in Q3, putting it bottom among the Group of 7 top advanced industrial nations in terms of quarterly growth; China is planning to scrap quarantine requirements for overseas travelers next month; Taiwan Semiconductor is in talks with suppliers to build its 1st European chip plant in Dresden, Germany.
The post December 26: Elon Musk loses $100 billion, Blackouts In USA, more Crypto bankruptcies (Recap ep207) appeared first on Investing & Day Trading Education: Day Trading Academy.
Marcello explains us in today’s Recap that Binance lost its key auditor and saw $5 billion in withdrawals in only one day; Colorado has started to pour recycled sewer sludge back into people’s drinking water faucets; the Fed interest rates were raised as anticipated but also hinted additional future rises in an effort to contain inflation.
Canadian Securities Administrators (CSA), Canada’s financial regulator has provided new measures designed to strengthen its oversight of cryptocurrency exchanges, including a ban on margin/leverage trading. For the purposes of these securities regulations, “Platforms located outside of Canada that are accessible by Canadians, are regarded as operating in Canada,” the CSA has stated.
Shares of U.S. automaker Ford Motor Co, fell -7.06% on Friday to $12.12, as it announces another price increase for its highly anticipated electric truck. Ford is trying to balance covering rising raw materials costs, without pricing some customers out of affordability. The stock is down -41.65% in 2022, with a market cap of $48.73B.
This year will go down as the worst year for U.S. Initial Public Offering (IPO) since 1990. 74 firms have raised just $8B via U.S. IPOs thus far in 2022. Proceeds are down an astounding -95% from last year & at least 50% lower, then any of the past 31 years. The U.S. IPO number is down -88% from 2021 & the smallest since 2009.
An enormous aquarium in Berlin burst early Friday, spilling 1M liters (264,172 gallons) of water, around 1,500 exotic fish & debris onto a major road in the busy Mitte district. The site, a complex that houses a Radisson hotel & a museum as well as what Sea Life Berlin said was the world’s largest freestanding cylindrical aquarium at 14 meters (46ft) in height. If it hadn’t happened at 5.45 am, but even 1 hour later, there would have been human casualties.
On Tuesday, U.S. tech titan Apple announced that its safety service Emergency SOS via satellite, is now available to customers in France, Germany, Ireland & the UK. Available on all iPhone 14 models, the technology enables users to message with emergency services, while outside of cellular & Wi-Fi coverage.
U.S. software giant Adobe reported a great 4th quarter, with shares rising 2.99%; Argentina’s annual inflation accelerated less than expected; scientists made a breakthrough discovery at a U.S. federal facility creating more energy from nuclear fusion reactions.
The post December 18: Is Binance Bankrupt? Fed Raises Rates, Colorado Sewage Water for Drinking (Recap ep206) appeared first on Investing & Day Trading Education: Day Trading Academy.
Marcello addresses Tesla’s intentions to significantly reduce Model Y production at its Shanghai facility by over 20% (relative to November) in today’s recap. In a contentious effort to encourage the use of digital payments, Nigeria has outlawed ATM transactions up to $45 per day; in North Carolina, two nights without electricity resulted in frigid temperatures when vandals shot up two electrical substations.
U.S. producer prices (PPI) rose +0.3% last month, which was more than expected in November. Data for October was revised higher to show the PPI gaining +0.3% instead of +0.2%, as previously reported. In the 12 months through November, the PPI increased +7.4% after advancing +8.1% in October. The underlying trend in inflation is slightly moderating, which may allow the Federal Reserve to slow its pace of interest rate hikes next week.
China confirmed what many analysts have long suspected was happening for most of this year, it is buying up gold again. Early Wednesday, the People’s Bank of China reported that it bought 32 tonnes of gold in November alone. According to reports, the central bank bought gold when prices were around $1,650 an ounce. China’s official gold reserves now stand at 1,980 tonnes, but the government likely owns far more, through various entities.
Peru now has a female president for the 1st time ever on Wednesday, after former president Pedro Castillo was impeached just hours after he tried to dissolve parliament. Dina Boluarte, the previous vice-president, was sworn in soon after. Earlier in the day, Castillo had said he was replacing Congress with an exceptional emergency government. However, lawmakers ignored this & in an emergency meeting impeached him. He was then detained & accused of rebellion. Boluarte says she will serve until 2026.
Exxon Mobil Corp. is providing their U.S. employees above-inflation pay increases, weeks after the Texas based oil giant posted its highest quarterly profit, underscoring how strong 2022 has been for the fossil-fuel industry, while other sectors like tech & finance cut jobs. Workers will receive an average salary rise of +9%, & those who got promoted will see a further +5% increase. The current US consumer price index is +7.7%.
A team of chemical engineers at MIT have manufactured a new material that they now claim to be sturdier than steel, but still as light as plastic. The 2-dimensional polymers can put themselves in order into sheets. It potentially gives objects like car parts or cell phones extraordinarily resistant skin. The team is even going as far as to say that it can be easily mass generated.
2-million-year-old DNA has been identified for the 1st time opening a new chapter in the history of evolution. Microscopic fragments of environmental DNA were found in Ice Age sediment in northern Greenland. Using cutting-edge technology, researchers discovered the fragments are 1 million years older than the previous record for DNA sampled from a Siberian mammoth bone.
Crude oil has posted the biggest weekly loss since April; U.S. state of New Mexico is set to overtake Mexico’s crude oil production in the current month.
The post December 11: Tesla Production Collapses, Countries Limit ATM Withdrawals, Blackouts USA (Recap ep205) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello tells us about how the snowball of bankruptcies following the collapse of FTX is growing nonstop; A group of scientists has found and replicated some frozen viruses found in the Siberian permafrost; The dollar is still driving down a complicated road: Ghana wants to pay for oil products with gold rather than dollars.
U.S. cryptocurrency brokerage Genesis says it is seeking to avoid bankruptcy after a report on Tuesday that creditors to the firm are organizing with restructuring lawyers to prevent insolvency. The news comes as U.S. state securities regulators are investigating Genesis Global Capital as part of a wide-ranging inquiry into the interconnections of crypto firms, citing a comment from the Alabama Securities Commission director. The crypto lending arm of U.S. digital asset broker Genesis Trading suspended customer redemptions earlier this month.
Turmoil at Apple key manufacturing hub of Zhengzhou is likely to result in an output shortfall of close to 6M iPhone Pro units this year. Although the situation remains in flux at the plant & the estimate of lost production could change. Much will depend on how quickly Foxconn Technology Group, the Taiwanese company that operates the facility, can get people back full time to assembly lines after violent protests against Covid lockdown restrictions.
China’s coal production is set to rise for the 6th consecutive year to a record 4.4B tons, driven by faster capacity expansions at major mines, China Energy News reported this week, which will likely cause a further decline in coal prices.
At a 2-day summit in Bucharest, the Romanian capital, the North Atlantic Treaty Organization (NATO) vows to make Ukraine a member of the military alliance. It was 14 years ago (in the same city) that foreign ministers first pledged that Ukraine would eventually join & they remain firmly behind the commitment. Meanwhile, Russian missile & drone attacks keep hitting civilian infrastructure across the country, with strikes that have heavily damaged Ukraine’s power, water & energy infrastructure.
India posted a year-on-year GDP growth of +6.3% for Q3, fractionally beating forecast estimates of 6.2%. According to S&P Global & Morgan Stanley, India is projected to overtake Japan & Germany to become the world’s 3rd-largest economy by 2030. The prediction is premised upon the projection that India’s annual nominal GDP growth will average +6.3% through 2030. Morgan Stanley estimates that India’s GDP is likely to more than double from current levels by 2031.
China’s former leader Jiang Zemin, who came to power after the Tiananmen Square protests as a compromise between political hardliners & reformers, has died at 96. Zemin paved the way for the country’s emergence as a global superpower. His death comes as China sees some of its most serious protests since Tiananmen, with many demonstrating against Covid restrictions. During his tenure from 1989 to 2002, China joined the World Trade Organization (2001) which was probably the key catalyst to the great growth spurts of double-digit growth for the decade that followed.
German exports fell more than expected in October; Baidu plans to establish the world’s largest fully driver-less ride-hailing service area in 2023; An experimental Alzheimer’s drug from Eisai & Biogen slowed cognitive decline in a closely watched trial, but may carry a risk of serious side effects for certain patients; World’s largest active volcano by volume burst into life for 1st time in 40 years.
The post December 4: Crypto Bankruptcies Cont, New Virus Found, last Nail in collapse of dollar? (Recap ep204) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello warns us about the hike in prices that food has suffered. While governments claim that inflation is low, food prices for the Thanksgiving holiday have risen by 20%; Elon Musk has stated that he may build his own phone in response to suggestions that Twitter be removed from the Android and Apple app stores; and Europe will undoubtedly suffer from blackouts during the coming winter due to the ongoing energy crisis.
Chinese officials imposed more restrictions Wednesday to attempt to rein in a rapid rise in COVID-19 infections, adding to investors’ worries about the economy, just as new unrest at the world’s largest iPhone factory highlighted the financial & social cost of these curbs. Across China, cities including the capital Beijing & the financial capital Shanghai have closed malls & parks as well as imposing limits on the movement of people arriving from elsewhere, as infections near record highs last seen in April.
Diesel fuel powers trucks, buses, ships & trains. It drives machinery for construction, manufacturing & farming. It is also used for heating homes. And with the high price of natural gas, in some places it’s also being used to generate power. No fuel more essential to the global economy than diesel. Within the next few months, almost every region worldwide will face danger of a diesel shortage, at a time when supply crunches in nearly all the world’s energy markets have worsened inflation & stymied growth.
he European Union watered down its latest sanctions’ proposal for a price cap on Russia’s oil exports by delaying its full implementation, as well as softening some key shipping provisions. It proposed adding a 45-day transition to the introduction of the cap. The proposed grace period will apply to oil loaded before Dec. 5, the date oil sanctions are due to kick in & unloaded by Jan. 19, aligning the EU to a clause previously announced by the US & the UK.
It has been confirmed that thieves broke into the German Roman-Celtic Museum & stole 450 gold coins thought to be worth several million Euros. It has been suggested that the criminals were professionals who disrupted local phone & internet services. The coins are 2,000 years old & were uncovered in 1999, during an excavation of a large Celtic settlement in the modern-day region of Bavaria, Germany. It was the largest discovery of Celtic gold in the last century & a landmark find at 1 of the most important archaeological sites in central Europe.
In the Black Desert of Jordan, archaeologists have spent several years investigating a site called Shubayqa 1, since experts believed that the people who lived there 14,400 years ago, could well reveal more about one of humanity’s greatest innovations. So, searching the ruins of a fireplace, the researchers found the ashes of an ancient meal. And the meal’s contents may turn traditional ideas about the development of agriculture into radically rewriting human history.
New U.S. single home sales defied expectations & rose 7.5% to a seasonally adjusted annual rate of 632,000 in October; The Bank of Korea raised its benchmark interest rates by 25 basis points to 3.25% on Thursday, slowing the pace of rate hikes; Bitcoin reversed & moved higher on Tuesday, after briefly hitting a new 2-year low.
The post November 27: Thanksgiving cost explodes 20%, Elon Musk Building Phone, Blackouts Europe (Recap ep203) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the UK market lost its position as Europe’s most-valued, due to fears of a recession in the kingdom & surging sales at French luxury goods makers thought to be behind the shift. US markets ended slightly lower. In Cryptos news, here Come “Programmable Dollars”: New York Fed and 12 banking giants launch digital dollar test for a 12-week testing period. Monday morning Bitcoin fell to 2 year low. Users removed $3.7 billion in crypto from exchanges last week. [...]
The post November 20: Digital Dollar is here, Health Passports for Travel, Elon Musk Detecting “something MASSIVE” (Recap Ep202) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, despite the terrible cryptocurrency scenario brought on by the bankruptcy of the FTX exchange, we finally have some positive news on inflation as it came in under what was projected; Europe is still having trouble meeting its energy demands for the next winter. The cryptocurrency market plunged on Tuesday after the 2 biggest crypto exchanges in the world, Binance & FTX, came to a merger agreement to fix the latest reported “liquidity crunch”. Bitcoin plunged over -14% on Wednesday, [...]
The post November 13: Crypto Bloodshed, Marvelous Inflation News, Europe still screwed (Recap ep201) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the main news is the Fed raising interest rates again, pushing breaks more challenging economy in an effort to slow inflation. US markets ended negative for the week, and international markets ended mostly positively. Also, commodities and bitcoin finished positive this week. Labor Dept Fri US added +261K jobs in October & unemployment rate rose to +3.7%, with labor participation falling to 62.2%. The labor market shows other signs of slowing under the pressure of high prices, stubborn [...]
The post November 6: The Fed Is going to destroy everything (Recap Ep200) appeared first on Investing & Day Trading Education: Day Trading Academy.
The middle class will be most impacted by the interest rate increase and price increases, according to Marcello’s recap of th week. Elon Musk ultimately succeeded in acquiring Twitter, and Kanye West has been dropped by numerous firms due to some antisemitic comments. Elon Musk has finally taken ownership of Twitter with business efficiency, quickly firing top executives as he moves forward to achieve the agenda he has outlined for the influential social media platform. “The bird is freed,” he tweeted after [...]
The post October 30: Kanye West Canceled! Elon Musk buys Twitter, Middle Class being destroyed US (Recap ep199) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about how October is on track to be the worst month to date for digital assets that have been stolen through hacking; Another significant communication cable has been cut in France, affecting thousands of users around the world; According to the IMF, the use of CBDC would let governments control what people spend money on. Liz Truss has become the shortest-serving U.K. Prime Minister & the 1st since Winston Churchill to serve 2 monarchs when she resigned [...]
The post October 23: Record HACK in crypto, Internet Cable Cut, IMF Admits control with CBDC (Recap ep198) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello talks about how Germany and Poland are allowing citizens to burn trash for heat; inflation persists. Pepsico is a prime example. Its prices have risen by 17% year on year; the real estate market is suffering as a result of central banks’ conservative policies. Russia launched cruise missiles on Ukrainian cities on Monday in what the U.S. called horrific strikes, killing civilians & knocking out infrastructure & utilities, with its most widespread air attacks since the start [...]
The post October 16: Europe Burns Trash for Energy, Inflation persists, Real Estate Market collapses (Recap ep197) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about Elon Musk retaking his project of acquiring Twitter; the U.S. government has bought millions of dollars in antiradiation pills, Is it a coincidence?; and the bridge connecting Crimea and Russia has been blown up in an escalation of the conflict between Russia and Ukraine. U.S. President Biden’s stark warning Thursday evening that the world faces the highest prospect of nuclear war in 60 years was not based on any new intelligence about Russian President Putin’s intentions [...]
The post October 9: Elon Musk Buys Twitter Again! US Govt buys anti radiation pills, Ukraine blows up Russian Bridge (Recap ep196) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello tells us about how the IMF has some ideas about also pursuing a digital SDR mechanism; Forbes reports that Zuckerberg lost more than half his fortune and dropped from #3 on The Forbes 400 list of the U.S.’ wealthiest people to No. 11; and Hurricane Ian has caused significant damage to Florida, North and South Carolina’s infrastructure. Florida, North & South Carolina faced a massive clean-up on Saturday, from the destruction wrought by Cat 4 Hurricane Ian, [...]
The post October 2: New World Order crypto coin, Zuckerberg loses $76 Billion, Hurricane Ian causing Food Shortages? (Recap ep195) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about the negative results of the markets overall; Tesla is “recalling” some vehicles to fix a bug on them; and Russia is said to be ready to use nuclear weapons if necessary. Electric vehicle manufacturer Tesla is recalling nearly 1.1M U.S. vehicles because the window automatic reversal system may not react correctly, after detecting an obstruction, thus increasing the risk of injury. The National Highway Traffic Safety Administration was told that Tesla will perform an over-the-air software [...]
The post September 25: Stock Market Massacre, Tesla Recalls Vehicles, Russia Threatens Nuclear War (Recap ep194) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, US & international stock markets remained negative, as investors brace for interest rates to keep rising rapidly. FedEx warns about the overall health of the U.S. economy with its dropped guidance. FedEx shares were down -21.65% at $160.52. Goldman Sachs warning further -27% drop S&P could be coming if inflation hawks are right. Inflation continues damaging US economy: Total US debt reaches 31 trillion; US inflation rose more exp in August +8.3% over the past year; US Grocery [...]
The post September 18: UK Banks limiting withdraws? FedEx collapses everything, Consumer Debt Explodes (Recap Ep193) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, US markets ended higher, as US household net worth fell over $6 trillion in Q2. 69 million households are canceling vacations, driving less & cutting grocery bills, with inflation hitting homes. Internationally markets mixed this week. Europe and Latin America mostly higher. Bitcoin higher this week: Up +7.40% from $19,850.90. Energy crisis continues around the world: European gas prices up by +35% on Monday; Japan currently imports about 94% of its energy supply; gas futures surging over +280% [...]
The post September 11: US networth Craters $6 trillion, Housing Markets Collapses, Banned ads for meat products (Recap Ep192) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the global markets continued mostly lower, but Russia went up +8.92%. Russia also cut off the gas to Germany. 40% of the Chinese economy (real estate) started to collapse, as China’s housing volume sales went down 30%. Inflation continues to rise. Not a great week for the economic world. Europe is having an exorbitant rise in energy prices, forcing Europe’s steelmakers to close plants. A cafe was charged nearly USD 10k for two months of usage. The UK [...]
The post September 4: Another Food Processing Plant mysteriously burn down, Cost of Energy explodes, No gas for Germany (Recap Ep191) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, US stocks plunged after comments from Fed Chairman Powell, who warned of rising interest rates as long as inflation remains elevated. International markets ended mostly lower this week, as the world’s economic powers struggle with various social, natural, and inflationary problems. According to National Energy Assistance Directors Association (NEADA) over 20M US households, about 1 in 6 American homes are currently behind on utility bills. NEADA said households owe a combined $16B in unpaid utility bills. Surging electricity [...]
The post August 28: Everything Collapses, Fed says “pain is coming”, Tesla stock split (Recap Ep190) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello reminds us of the quote he usually uses: “Look at what they do, not what they say” when he talks about investing guru Michael Burry, who has liquidated almost all his entire portfolio; another food processing plant has “mysteriously” burned; and a trader just made USD 100 million USD trading Bed Bath and Beyond shares before its collapse. Shares of Bed Bath and Beyond fell. Activist investor Ryan Cohen who co-founded Chewy & is chairman of GameStop, has [...]
The post August 21: URGENT: Michael Burry LIQUIDATES Portfolio, Another Food Processing Plant Burns, Trader $110 million Bed Bath & Beyond (Recap ep189) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about how some stock markets are climbing; the UK is preparing to do planned blackouts to deal with the energy crisis that might come; New IRS special agents are being hired, and part of their job duties include “carry a firearm and use deadly force, if necessary”. A power outage in Toronto’s downtown core on Thursday, left the offices of Canada’s top businesses dark & forced the evacuation of 1 of the city’s biggest shopping malls & [...]
The post August 14: Stocks Rise, Planned Blackouts in UK, IRS to Use Deadly Force? (Recap ep188) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, all the US Major indexes finished the best month since 2020. International markets ended mostly higher. On Monday, the SEC said charged 11 people for their roles in creating & promoting fraudulent crypto pyramid/Ponzi scheme, that raised over +$300M from millions of retail investors globally, including the U.S. The crypto scheme was called Forsage and claimed to be a decentralized smart contract platform. Coinbase said on Thursday it’s partnering with BlackRock, the world’s largest financial asset manager, providing [...]
The post August 7: Rivers run dry in Europe, Solana Hacked $200 million, Tesla Stock Split (Recap Ep187) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talk to us about how the recession is “official” since Q1 and Q2 of 2022 were negative; Tesla said they have sold 75% of all their crypto assets; Hanover, a city in Germany, is shutting off hot water to save energy. They are also shutting off lighting in spotlights on public monuments and turning off fountains. The U.S. is officially in a recession since GDP fell at a yearly pace of -0.9% in Q2, according to the Commerce [...]
The post July 31: Recession! Tesla sells Bitcoin, Germany turns off hot water (Recap ep186) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, US markets and mostly all international markets ended the week higher. Value (IPO) in US/EU fell 90% this year due to postponing/canceling plans to go public. Globally, the value IPOs has fallen 71%, from $283B to $81B. The number of listings has fallen from 1,237 to 596. China’s homebuyer mortgage boycott: people stop paying their unfinished construction projects. Chinese property is likely the largest asset class in the world. Things like this, generated chaos in China’s economy, with [...]
The post July 24: World Famine start in 2022? Banks collapse China, Record Heatwave Melts cars & airports (Recap Ep185) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about a recent video from NYC Emergency Management that shares important steps for New Yorkers to follow in case a nuclear attack occurs; rent in New York skyrockets; and inflation keeps rising to new levels. Founders of bankrupt crypto hedge fund 3AC have gone missing, as investors try to recoup assets. Lawyers representing 3AC’s creditors say the location of Zhu Su& Kyle Davies are currently unknown. The court filing from Friday also alleges that the founders have [...]
The post July 17: New York Prepares Nuclear Bomb New York Rents Explodes, Inflation Erupts 9.1% (Recap ep184) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the most important news was the high US dollar price, Elon Musk walking away from the Twitter deal, and the inflation striking world economies. Us and international markets mainly ended positively for the week. The USD appears to be an ultimate safe haven for investors, with global recession risks incoming. The USD ended the week at a 20-year high. Euro is fast heading towards parity, even if it is holding above 20-year lows in Europe Thursday morning. Japanese [...]
The post July 10: Elon Musk pulls out on Twitter, Internet Blackout Canada, Dollar EXPLODES (Recap Ep183) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about how suspicious it is that hundreds of food processing plants are closed due to unlikely situations, such as plane crashes; Mark Zuckerberg has said in an employee Q&A session that “this might be one of the worst downturns that we’ve seen in recent history.” The Atlanta Federal Reserve Bank’s U.S. GDP measure, which tracks economic data in real time, but adjusts continuously, sees Quarter 2 output contracting by a full -1%. Coupled with Quarter 1’s decline [...]
The post July 3: 100 Food Processing Plants Closed, Mark Zuckerberg Recession, “Worst in Recent History” (Recap ep182) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the US markets and a big part of the international markets recovered gains, with strong news that will affect the next few weeks, specifically more aggressive Fed interest hikes. Also, the Fed says servers will be online by 2023 for the new “Government Coin,” a digital version of the dollar: “Rapid changes are taking place in the global monetary system that may affect the international role of the dollar.” A US central bank digital currency is being examined [...]
The post June 26: Digital dolar 2023? Russia World War, Markets Recover (Recap Ep181) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about the widespread collapse of the markets around the globe; Inflation is reaching a new high; we might be facing the start of a recession. World stock markets had the biggest weekly decline since a pandemic-induced meltdown in March 2020, hit by growing worries about an economic recession after interest rate increases in the United States & the U.K. which was followed by a surprise move at Switzerland’s central bank, to quell an inflation surge. Euro-zone [...]
The post June 18: Everything Colapses, Inflation Increases, Recession Starts? (Recap ep180) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about how the German supermarket chain Rewe has warned customers can take only 1 “critical” product – such as pasta and flour; Consumer spending in the U.S. is the “worst in history,” which shows a clear sign of how inflation has affected the economy; Ethereum fell and is headed toward its lowest levels since May 12. Inflation in the U.S. surged from a year ago. Groceries up +11.9%, chicken up +17.4%, restaurants up +9%, fuel up [...]
The post June 12: Food Rationing Begins, Consumer “Worst In History”, Ethereum Collapse? (Recap ep179) appeared first on Investing & Day Trading Education: Day Trading Academy.
In the week’s recap, the US and global markets were mostly lower, except for the Asian markets. It’s increasing the likelihood of stagflation because the latest reports indicate the US labor market added jobs at a slower pace in May, but the inflation stays elevated. Elon Musk To Slash 10% Tesla Jobs, Has “Super Bad Feeling” About Economy. Everyone at Tesla is required to spend a minimum of 40 hours in the office per week: “If you don’t show up, we will [...]
The post June 5: Elon Musk says economic collapse coming, 2/3rds US in blackouts, Solana crashes (Recap Ep178) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about the collapse of the housing market in the US due to the increase in prices of newly built homes; Swift has now allowed international payments using central bank-issued cryptocurrencies; and Malaysia and India are banning the export of chicken and sugar, respectively. A poll conducted by Vistage Worldwide Inc, had 57% of small businesses in the U.S. predict the domestic economy will get worse over next year, as the nation deals w/high inflation, supply-chain & [...]
The post May 29: Housing Market Collapses, Government Test Cryptos, Food Export Restrictions Begin (Recap ep177) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about some data that shows that we are facing a drop in stocks very similar to the one the market suffered in the Great Depression; an unprecedented outbreak of Monkey Pox is triggering alerts worldwide. China’s President Xi (since 2013) will attempt an unprecedented 3rd term this fall, as he plans to extend his rule as China’s most powerful leader since Mao Zedong. Xi’s bold domestic & foreign policies remain controversial. His strict zero-COVID-19 strategy, his [...]
The post May 22: Worst Drop in Stocks since Great Depression, Mew Monkey Pox Pandemic (Recap ep176) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about the aftermath of the collapse in prices of the Crypto Luna; There is a Baby formula shortage in the U.S.; Switzerland is preparing in case of nuclear attacks. U.S. consumer sentiment slumped to its lowest level in nearly 11 years in early May it was reported this week, as worries about inflation persisted, but household spending remains underpinned by a strong labor market & massive savings, which may well keep the economy expanding for the [...]
The post May 15: Crypto Luna Massacre, Baby Formula Shortage, Switzerland prepared Nuclear War (Recap ep175) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about how most markets around the globe fell; Gucci is accepting cryptocurrencies as payment method; Elon Musk gave a hint to the new world order at the MET gala. U.S. Federal Reserve raised interest rates by +0.50% in the biggest single-meeting increase in 20 years. Although the Fed Chair Powell said that additional half-point rate increases will be on the table at the next couple of meetings, he added that Fed officials aren’t actively considering a 75-basis-point [...]
The post May 8: Everything Collapses, Gucci Accept Crypto, Elon Musk mentions New World Order (Recap ep174) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about a way of payment using an implant placed inside your hand; Bitcoin is now legal tender in the Central African Republic; More analysts are predicting a food shortage in 2023. The Central African Republic adopted Bitcoin as its official currency, thus following El Salvador’s as the 2nd country to do so. Bitcoin was made legal tender after lawmakers voted unanimously to pass the bill legalizing the world’s largest cryptocurrency & other cryptos, according to the chief [...]
The post May 1: Mark of the Beast has Arrived, Bitcoin Legalized in 2nd Country, Food Shortages Affected Extreme Flooding (Recap ep173) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, US & world markets in general ended lower this week, with the Russian/Ukrainian conflict showing no signs of ending soon and the World Bank lowered its global growth forecast for 2022 by nearly 1%, from +4.1% to +3.2%. The IMF also cut its global growth projections for 2022 & 2023, now projecting a +3.6% GDP rate. This represents a -0.8% & -0.2% drop saying the economic impact from Russia’s invasion of Ukraine will propagate far & wide. Corn [...]
The post April 24: Food plants mysteriously burn down, SpaceX internet, Elon Musk murders Bill Gates meme (Recap Ep172) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about the faceoff between Tesla’s CEO, Elon Musk, and Twitter when he made a public offer to buy 100% of the social media firm; Warren Buffet was called a sociopathic grandpa from Omaha by Peter Thiel; Inflation and food prices are still going up. Elon Musk offers to buy 100% of Twitter for $54.20 a share (at a 54% premium), saying the social media company needs to be transformed privately, a little over a week after first [...]
The post April 17: Elon Musk War Against Twitter, Warren Buffet Sociopath #1 Bitcoin Enemy, Inflation & Food Prices Explode (recap ep171) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the global stock markets ended lower as the US inflation rate reaches 40 year high. EU building up strategic reserves for chemical, biological, and radio-nuclear emergencies. Union mobilized the medical reserve unit to procure potassium iodide tablets. Biden Food Shortages continues with Walgreens Rationing Baby Formula. Twitter shares soared +27.12% Monday to $49.97, with a market cap of $31.47B, after filings revealed that Tesla CEO Elon Musk had purchased a 9.2% stake in the social network. Musk’s 73,486,938 [...]
The post April 10: Elon Musk buys Twitter, Europe Prepares Nuclear War, New Cardano & Solana Futures (Recap Ep170) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about how the U.S. House of Representatives passed a bill to Federally Legalize Marijuana; Europe bans anonymous crypto wallets, like Trezor, or Metamask, to protect against money laundering by attempting to complete “Know Your Client” (KYC) checks; “world leaders” are talking about a coming new world order. Tesla announced it wants to split its stock so it can pay a stock dividend to shareholders, according to a Securities & Exchange Commission filing on Monday. The electric [...]
The post April 3: Marijuana Legalized! New World Order Confirmed, Cryptos Banned in Europe (Recap ep169) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about how President Biden confirmed that food shortages due to Ukraine’s conflict are going to be real; Warren Buffet invested in a Brazilian digital bank that invests in Crypto; Opensea daily volume dropped 72% to $70M from $250M. Business activity in Germany, Europe’s largest economy, dipped in March as output price inflation hit a new record high & the war in Ukraine impacted demand as well as supply chains. In France business activity accelerated unexpectedly to [...]
The post March 27: Biden Confirms Food Shortages, Warren Buffet Invests in Crypto, NFT Bubble Explodes (Recap ep168) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, Marcello talks about how the ongoing conflict between Russia and Ukraine is going to affect the surge of supplies to harvest and produce food; Saudi Arabia is now in talks with China to create yuan-priced oil contracts, which will discourage the use of US dollars, thus worsening inflation. The Labor Department stated Tuesday that wholesale inflation in the U.S. shot up +10% last month from a year earlier in another sign that inflationary pressures remain intense at all [...]
The post March 20: Food Shortages, China Encourages Collapse Of Dollar, Inflation To Get Worse (Recap ep167) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s recap, Marcello talks about what Robert Kiyosaki warned on Twitter about Bitcoin and Biden’s administration(Bitcoin to be Seized?); Gasoline has been hit by inflation, reaching and surpassing $8 USD per gallon in California; Russia’s military activity against Ukraine is increasing. Bitcoin & other cryptocurrencies were trading higher on Wednesday after U.S. President Biden announced his highly-anticipated executive order on digital assets, which somewhat appeared to take a supportive stance toward the industry. Bitcoin was trading over +9% higher at $42,291.10. [...]
The post March 13: Govt Seizing Bitcoin? $8 Gasoline, Russia War Escalates (Recap Ep166) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the US markets closed lower this week, with oil prices surging to multiyear highs, as Russia’s invasion of Ukraine continued to roil markets. Euro & Asian markets ended far lower due to the Russian-Ukraine crisis. Latin American markets ended mostly positive. The food crisis begins in Europe and Asian countries. The American Petroleum Institute (API) estimated there was a surprise draw this week for crude oil of 6.1M barrels after a prediction of a build of 2.79M barrels. [...]
The post March 6: Food Crisis has arrived, Energy war, Russian Wealth Collapses (Recap Ep165) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the most important news is the Russian invasion of Ukrainian territory, which affected global markets throughout the week. The high volatility caused the markets to collapse after the invasion and recover again at the end of the week. Russia’s main equities index, the MOEX, collapsed -by 45% and was temporarily suspended to stop the fall. Was the worst 1-day drop on record. Financial firms in Europe & the U.S. suffered heavy share price falls on Thursday, as they grappled with the impact of Russia’s invasion of Ukraine, digesting newly-imposed sanctions. Asian Pacific markets were largely higher on Friday, as investors recalculate the domestic Russian economy doesn’t matter much to the global economy & Russian oil keeps flowing.
Crude oil prices soared past $100 for the 1st time in over 7 years on Thursday, after Russian President Putin announced a military operation in Ukraine, confirming fears he would invade.
Russian missiles pounded Ukraine’s capital on Friday as their military forces pressed their advance & officials in Kyiv said they were preparing for an assault aimed at overthrowing the government. Air raid sirens continue to wail over Kyiv, a city of 3M people, as some residents sheltered in underground metro stations. Ukrainians to date are remaining defiant.
Commodity prices were volatile amid supply concerns over the Ukrainian crisis. The country, along with Russia, accounts for 1/3 of the world’s wheat exports, 20% of its corn trade & nearly 80% of sunflower oil production. Prolonged tensions could risk shipments from Black Sea ports, as well as production & transportation within the countries. Wheat prices have already risen by +20% in 2022, while corn costs up +15%. Prices skyrocketed Thursday, w/wheat futures at their highest levels in nearly 14 years. Russia is a key supplier of not just oil, but several strategic commodities, all of which should benefit in price from heightened geopolitical tensions in Eastern Europe. Russia globally is the number 1 producer of palladium & 2nd largest producer of platinum & the 3rd largest wheat producer. Russia remains a very strategic country when it comes to commodity production especially minerals, commodity exports & therefore the direction of the global economy.
As Russia began its invasion of Ukraine, the ruble fell to its lowest level ever versus the dollar, trading at 89.89, with USD up more than +10% against the Russian currency. Russia’s main equities index, the MOEX, collapsed as much as -45% after trading was temporarily suspended shortly after opening, its worst 1-day drop on record. It ended down -33.28% at 2,058.12, erasing more than $150B in value.
In response to Russian aggression, U.S. President Biden announced sanctions on Russian bank VEB & its military bank, Russia’s sovereign debt & a number of wealthy oligarchs & their families. The U.K. has also started targeted economic sanctions against 5 Russian banks & wealthy individuals. Germany took steps to halt certification of the Nord Stream 2 gas pipeline from Russia. Japan will ban the new issuance & distribution of Russian government bonds.
U.S. national debt has officially surpassed $30 trillion; increased use of non-renewable energy sources; U.K. consumer price index set to top +7% in April; Truth Social launches on Apple’s App Store this week; Singapore wants to introduce net wealth taxes; Nueva Pescanova plans to open the first commercial octopus farm; Opensea was hacked, 254 tokens stolen over the course of the attack.
The post February 27: War Ukraine/Russia, Food Shortages, Opensea NFT hack (Recap Ep164) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this recap, the world markets were mostly lower, with renewed anxiety over tensions between Russia & Ukraine, despite Russia’s claims to seek diplomatic lines to resolve the conflict. A German army convoy reached Lithuania on Thursday, bringing almost half of the planned reinforcements for the country’s German-led NATO battlegroup, amid fears of a Russian invasion of Ukraine. At the same time, German Air Force Eurofighters arrived at a military airbase in eastern Romania as part of a deployment to NATO’s eastern flanks in response to Russia’s military buildup in the region.
On Friday, Canadian police started arresting protesters as part of an operation to end a 3-week blockade of Ottawa by 100’s truck drivers that crippled movement in the capital & prompted Prime Minister Trudeau to take emergency powers. The drivers, joined by 1000’s demonstrators & some 400 vehicles, turned the streets around Parliament into a noisy party zone, since 1st arriving on Jan. 28, in what has become 1 of the worst crises to hit Trudeau since he assumed power in 2015. Canada authorized banks to freeze protesters’ accounts without a court order.
FBI Launches New Virtual Asset Unit Focuses on Blockchain/Seizure of Virtual Assets Including Cryptos, which means regulation.
The surge in energy prices hit the Eurozone’s trade balance hard moving it into a seasonally unadjusted trade deficit of 4.6B Euros ($5.22B) in Dec., from a surplus of 28.3B Euros ($32.14B) a year earlier as exports rose +14.1% while imports skyrocketed +36.7%. Adjusted for seasonal swings, the Eurozone trade deficit was even larger at 9.7B Euros in Dec, up from a 1.8B gap in Nov & surpluses throughout the rest of 2021. It boosted the EU’s energy trade deficit to 276.7B Euros ($314.25) in 2021, up from 157.2B ($178.53) in 2020.
Travelers from 59 countries will need to register to enter Europe in 2023; Laser-based system could reduce trips to Mars to just 45 days; new Google restrictions to reduce tracking of third-party applications; Blackstone consolidated as the largest residential & commercial landlord in the US; Musk still owns the largest stake in Tesla despite his stock sale; Virgin Galactic open ticket sales to the general public for the first time; Moderna shares have fallen 30% in one month; avocado prices have doubled in the U.S.
The post February 20: Seizure of Bitcoin in Canada/USA, metal protected meat, Bank blackouts (Recap Ep163) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, the main topics were the concerns over a swift tightening of financial conditions increased around the world with multi-decade high inflation, also the fresh geopolitical anxiety between Russia & Ukraine. The U.S. trade deficit surged to $859.1B in 2021, a record high, increasing by +27%, as imports increased sharply amid the restocking of shelves by businesses to meet robust domestic demand. The widening deficit was driven by a $576.5B increase in imports last year, as Americans purchased more products made abroad. The trade deficit with China grew +14.5% for the full year to $355.3B, reversing the decline that followed then President Trump’s policies aimed at reducing the deficit with tariffs & purchase targets.
The silver market started 2022 in volatility as prices swung in a $3 range in January; however, the precious metal is seeing strong physical demand, with the U.S. Mint’s sales numbers showing that it sold $5M ounces of silver last month, its best start to the year in 5. According to the data, silver coin sales are up +4.6%, from 4.78 million ounces sold in January 2021.
Mexico, 1 of the top 10 oil suppliers to India last year, has drastically cut its crude exports; as state oil firm Pemex works to launch a large refinery to process fuel domestically. India, the world’s 3rd-largest oil importer, is scheduled to receive just 1 cargo from Mexico for months of Jan. & Feb.; just 15K barrels per day (BPD) of Mexican crude vs. nearly 98K BPD it received in the same period last year. Mexico reportedly is looking to suspend crude oil exports in 2023, in a bid to focus on domestic self-sufficiency. With the OPEC cuts, Mexico’s decision will make the oil supply in the market much better, which will boost its price.
Elon Musk’s SpaceX said it lost up to 40 of the 49 Starlink satellites that it launched last Thursday. A geomagnetic storm Friday prevented the satellites from reaching their orbital position. The satellites are expected to burn up in Earth’s atmosphere & won’t produce more orbital debris. The loss, which may have cost Musk up to $20M, is a setback for Musk’s revolutionary internet infrastructure plan & a blemish on SpaceX’s otherwise stellar record.
Ancient DNA suggests woolly mammoths roamed Earth more recently than originally thought; Queen Elizabeth II the UK & N Ireland reached a full 70 years on the throne; Biden administration detail how to award nearly $5B over 5yrs build 1000’s EV charging stations; NASA plans to retire & crash ISS into the Pacific Ocean by 2031; Disney shares return to strength thanks to its parks and Disney+; Chipotle shares up 10.16% due to good Q4 2021 results; alleged culprits of 2016 Bitfinex hacking arrested; State of emergency” declared in Ottawa after 15 days of trucker protests.
The post Recap February 13: SpaceX satellites destroyed by Sun, Tesla Superchargers Robbed, Food Prices EXPLODE (Recap Ep162) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about into a hack of the wormhole system that affects deeply the crypto community; A shortage of steaks at a restaurant ended in a brawl; the record amount of U.S. national debt are weighing the investment in US Dollars.
U.S. national debt tops $30T for the 1st time. The record amount of debt is adding to concerns over the long-term financial & economic health of the country, which is grappling w/surging inflation & a higher interest rate environment, which will make servicing the debt even more challenging. Other factors like an aging population, elevated healthcare costs & a tax system that doesn’t bring in enough revenue to cover massive spending are also worrying, as the federal government unwisely continues to kick the can down the road.
Euro-zone inflation rose to a new record high in January, defying analyst expectations for a large drop & adding to doubts that price pressures are as benign & temporary as the European Central Bank still expects with their +2% goal. Inflation in the 19-country Euro- zone accelerated to +5.1% in January from +5% in Dec., well ahead of expectations for a drop to +4.4%. Soaring energy prices continued to drive inflation, but food prices also surged, while services & industrial goods inflation remained uncomfortably high.
The anxiety in the U.S. over soaring meat prices & supply chain issues has reached a new high, if the recent brawl at all-you-can-eat buffet restaurant Golden Corral is any indicator. A fistfight broke out at the chain’s Bansalem, Pennsylvania location, & according to initial reports, it all started because of a shortage of steaks at the restaurant. In a sign of the times, a viral 3-minute video showed dozens of customers yelling & even throwing chairs as others rushed for cover.
The ruling Socialist Party in Portugal won an unexpected outright majority in Sunday’s snap general election, for only the 2nd time in its history. Polls suggested that Prime Minister António Costa & his party had lost most of its advantage in the run up to the vote. The election was called when Prime Minister António Costa failed to pass a budget after losing the support of 2 smaller parties. However, the far-right party Chega also increased its support & will now be the 3rd largest party in parliament.
U.K. energy bills are to rise dramatically after the country’s energy regulator Ofgem announced on Thursday, that its cap on prices would rise by over +50% in April. Price caps are reviewed by the government every 6 months. The average household’s annual energy bill is currently between £1,277 ($1,730) & £1,370 ($1857) will be raised by 54%, a record-breaking increase. It means households could see their energy bills rise by more than £700 ($949) a year.
Sony to acquire video game developer Bungie for US$3.6 billion; NATO states that Europe needs to diversify its energy supplies soon; US sends jets to UAE after Houthi movement attack; OPEC and its allies are putting an end to crude oil cuts.
The post Recap February 6: Huge Crypto Hack, Fights Over Food In USA, Collapse Of Dollar & USA From Debt (Recap ep161) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, there are two main topics: The prospect of a Russian attack on Ukraine rose & the more aggressive monetary policy by the US Fed. NATO said it was putting more forces on standby & reinforcing Eastern Europe with additional ships & fighter jets, in what Russia has denounced as Western hysteria, in response to its 100,000 buildups of troops on the Ukraine border to the north, east & south of the country. About 8,500 U.S. troops were put on heightened alert & were awaiting orders to deploy to the region, should Russia invade Ukraine. World markets ended the week mostly negative, however, the US market recovered a bit.
Bitcoin fell -7.8% to $33,070 early Monday morning later falling as much as -10%, some -20% over the past week, wiping out $1T in cryptocurrency market valuation since November. Later in the day came a rebound for Bitcoin, that exceeded over +10%, bringing the leading cryptocurrency back above +$36,500.00.
On Tuesday, the IMF lowered its economic forecasts for China, the United States & the global economy. Stated the uncertainty over the inflation, the pandemic, supply disruptions & U.S. monetary tightening posed even further risks. Global growth projected for 2022 is now +4.4%, -0.5% lower than previously forecast, mainly due to downgrades for China & the U.S. Global growth is expected to slow to +3.8% in 2023, which is a +0.2% uptick, from the previous forecast in October.
Oil prices pulling at 7-year highs this week; Breyer may retire from his position on the Supreme Court in June; seventh consecutive decline in U.S. lumber futures; precious metals rise in price as investors seek safe havens; Coup d’état and border closure in Burkina Faso on Monday; world’s ten richest men saw fortune double during a pandemic; Malaysian palm oil futures fell from a record high on Monday; DC Asks People To Limit Supermarket Purchases As Empty Shelves Persist.
The post Recap January 30: Sounds of war, Blackouts in Turkey, Food export restrictions (Recap Ep160) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this recap, U.S. stock markets were lower this week as all 3 major U.S. indexes fell for a 3rd consecutive week, with investors anxious about the prospect of higher interest rates & their effect on valuations. The S&P 500 & Nasdaq wrap up their worst weeks since March 2020. China’s central bank cut interest rates again this week, with the 1-year loan prime rate by 10 basis points from 3.8% to 3.7%. The 5-year loan prime rate was reduced by 5 basis points from 4.65% to 4.6% the 1st cut since April 2020, at the height of the coronavirus pandemic in the country. Russian & Ukraine bonds fell further on rising fears that Russia could attack its neighbor. Russian stocks took their biggest tumble since March 2020, dropping -6½%. Stocks on Russia’s major exchange have dropped a total of -13%, in the last 4 trading sessions.
Bitcoin begins a free fall in price over the last 24 hours falling by -7.59% by early Friday morning to $38,984.90 from $41944.00, during a broader Asian market sell-off. Ether is also down by nearly 10%, hitting $2,841. There have been nearly $600M in liquidations during the last 12 hours. Bitcoin led the liquidation pack at $250M, followed by Ether at $163M.
U.K. Prime Minister Johnson announced the end of COVID-19 measures including mandatory face masks in England on Wednesday, as he looks to live with the virus after a peak in cases caused by the rapid spread of the Omicron variant. Johnson’s pledge to avoid lockdowns & live with the virus sharply contrasts with a zero-tolerance approach to COVID-19 in China & Hong Kong, & tougher restrictions in many other European countries.
The steep rise in U.S. unemployment claims raises investor concerns about the economic impact of the omicron variant, which has weighed on the economy in Q4 2021 & into Q1 2022. Economists say persistent staffing troubles, declines in face-to-face consumer activity & ongoing school closures could well wipe out much of the previous quarter’s growth & job gains.
Increased theft from delivery drivers is the new challenge to maintaining the supply chain; fears at major U.S. airlines over 5G deployment this Wednesday; S&P 500 companies continue to outperform expectations in their Q4; precious metals keep rising higher; crude prices, up over 10% this year, could rise even further, due to tight supplies; shares Netflix crashed -21.79%.
The post Recap January 23: Everything colapses, Government Coin, New bacteria resistant to antibiotics (Recap Ep159) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s Recap, Marcello talks about the economic drawbacks that the USA has been dealing with; A conflict about water between two states of US might be the first sign of a water war; Buenos Aires and Berlin were left without electricity amid high temperatures and a rising winter.
About 90K households in eastern part of Berlin, Germany for hours on Sunday evening were without heating & warm water; with outside temperatures of about 3 degrees Celsius (37.4F). A brief power outage at the state’s own electricity network operator Stromnetz Berlin had paralyzed the Klingenberg thermal power station in the Rummelsburg district in the afternoon. The power plant owned by the company had to therefore shut down.
Argentina’s capital Buenos Aires was hit by a major power outage this week, that left 1000’s of homes without electricity amid a heat wave that has seen temperatures soar above 40 degrees Celsius (104 Fahrenheit), some of the highest in the world. The power cut affected 700K in the Buenos Aires area. High temperatures are expected to continue throughout the week, with peaks close to 40°C.
The explosion in coronavirus cases globally also threatens to dampen consumer spending & growth just as the U.S. Fed is considering turning off the liquidity by ending bond buying & pushing through higher interest rates. It will be a difficult time for markets, addicted to endless cheap money. Tech & growth stocks are likely to tumble, as investors switch to banks & energy firms.
On Monday, Bitcoin dropped below $40,000, its lowest level since early August. Although the digital asset then later regained a bit, it is still seeing some heavy losses in 2022, dropping some -9.89%. Bitcoin was last trading between $41K & $42K per token. Bitcoin prices are down over 40%, since reaching an all-time high in early November.
A report from blockchain analysis company Chainalysis states that North Korean hackers stole almost $400m worth of digital assets in at least 7 attacks on cryptocurrency platforms in 2021. The attacks mainly targeted investment firms & centralized exchanges. From 2020 to 2021, the number of North Korean-linked hacks jumped from 4 to 7, & the value extracted from these hacks grew by +40%. North Korea has routinely denied being involved in hack attacks attributed to them.
Australia has equaled its hottest day on record after a remote coastal town reported temperatures of 50.7°C (123.26°F). The temperature in Onslow, Western Australia, on Thursday matched a record set in 1962 in South Australia. Onslow & the surrounding areas could see records broken again, with temperatures set to rise slightly on Friday. It comes following Western Australia reporting large bushfires in December. One fire near Margaret River, scorched through over 6,000 hectares (14826 acres) of land, forcing evacuations.
Japan and Australia sign reciprocal access agreement; Erdogan says he will adjust to Turkey’s high inflation; The omicron is the dominant variant in the world; Growth forecasts for 2022 foresee an overall slowdown.
The post Recap January 16: Most Catastrophic Year USA, Water War begins, Blackouts Start Worldwide (Recap ep158) appeared first on Investing & Day Trading Education: Day Trading Academy.
In today’s Recap, Marcello talks about the fall of Bitcoin (and other cryptos) prices during the week; Tesla is crushing its delivery expectations; Food prices keep rising due to increasing input prices, covid related worker shortages and transportation costs.
Bitcoin plunged -7.3% thursday overnight to $42,686.00 with losses exceeding -9% at one point. The price was slightly higher Thursday evening at $42,750.20. Ethereum, cardano, binance coin, solana & other cryptocurrencies were also deeply in the red, after minutes revealed that the U.S. Federal Reserve could soon start rapidly cutting back its support for the economy, spelling trouble for risky assets.
The U.S. S&P 500 rose +27% in 2021, hitting 70 all-time highs. That’s the most new records for the benchmark index since the 77, set in 1954. For the1st time in history, all the sectors of the S&P 500 also posted double-digit gains last year, but investors now wonder if the strong returns can continue, especially with the index now trading at 26x earnings.
2021 was a historic year for merger & acquisition (M&A) activity that was largely fueled by easy availability of cheap financing & booming stock markets. Global M&A volumes topped $5T for the 1st time ever, eclipsing the previous record of $4.55T set in 2007. The overall value of M&A stood at $5.8T in 2021, up +64% from a year earlier.
The Israel Defense Forces carried out retaliatory airstrikes in Gaza late Saturday night after 2 rockets fired from Gaza landed off the Tel Aviv coast on Saturday morning. Fighter jets & helicopters attacked a series of targets in a rocket production facility belonging to the Hamas terror group. Israeli tanks also shelled Hamas military posts near Gaza’s border with Israel.
1000’s of people in the Netherlands capital of Amsterdam gathered on Sunday to demonstrate against the Dutch government’s COVID-19 lockdown measures, before police cracked down & even employed dogs to disperse the crowd. Amsterdam mayor Femke Halsema issued an emergency ordinance giving the order to clear the central Museum Square, after the protesters violated the city’s ban on public gatherings amid an increase in COVID-19 cases.
Alaska close to “Icemageddon”; U.S. stocks fell on Thursday.
The post Recap January 9: Bitcoin Carnage, Tesla Crushes Deliveries, Food Prices Exploding (Recap ep157) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this recap, US markets ended the year higher, in the last trading week of 2021, finishing a year of repeated records for the major indexes, helped by low-interest rates & the rollout of Covid-19 vaccines. Dow +18.73% in 2021; S&P 500 +26.89% in 2021; NASDAQ +21.39% in 2021. Global markets ended the week and the year was mostly higher too. The omicron variant still causes fears.
China’s National Bureau of Statistics reported that the country’s industrial profits in November rose +9% from last year at $126.54B, a much slower pace than expected, well off the +24.6% gain reported in October, pressured by falling prices of some raw materials, a faltering property market & weaker consumer demand.
The Great Plains in the US, the most important lands to farm and produce grains and beef in the US (40%), are drying up.
The energy crisis continues: Indonesia banned coal exports due to concerns about low supplies of its domestic power plants; Europe still regulates the energy spend; Germany pulled plug 3 of its last 6 nuclear power stations; prices skyrocket. 1000’s are without power on Sunday, after a winter storm slammed the U.S. Pacific Northwest, dumping nearly 30 inches of snow in the Sierra region & leading to road closures in Northern California. As of Sunday afternoon, there were over 20K without power in the state of Washington, over 14K without power in California & more than 10K without power in Oregon.
Legendary actress Betty White dies at 99 years old; Mexico Prepares to Launch Its Own CBDC by 2024; Family gets keys to Habitat for Humanity’s first 3D-printed home in the US; Biden admin committed to extending (ISS) operations through 2030; Musk sold another 934,090 Tesla shares, about $1.02B nearing his 10% target; WHO warned new Covid variants could well emerge during the pandemic.
The post Recap January 2: Food crisis, Energy crisis, 5G dangerous to health? (Recap Ep156) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, US markets ended higher as strong economic data was released, helping ease investors’ concerns about the risks posed by Covid-19 & inflation. Consumer confidence jumped more than expected in December. Global stocks lost $1.8T in market capitalization last week, but world stocks are still worth $118T, which is 140% of global GDP.
U.S. Senator Joe Manchin, a more conservative Democrat who is key to President Biden’s hopes of passing an additional $1.75T domestic bill, due to the 50 Republican & 50 Democratic divided Senate, stated on Sunday, he will not support the package, drawing a sharp rebuke from the executive branch. The bill, which is Biden’s signature domestic policy bill, known as Build Back Better, aims to expand the social safety net & spend money on controversial climate change projects.
Taiwan’s export orders grew faster than expected in November rising +13.4% to a historic high from a year earlier to $65.5B, due to sustained technology demand, ahead of the year-end holiday shopping season. It was the 21st month of expansion, with a much faster pace than the median forecast for a rise of just +5.8%, but the government is warning of many uncertainties next year that could well affect the outlook.
The World Health Organization (WHO) is warning that the number of Omicron Covid-19 variant cases is doubling in 1.5 to 3 days in areas with community spread. In Europe, the Netherlands went into lockdown from Sunday till at least Jan. 14, amid fears that its healthcare system will become overburdened in January. Meanwhile, the U.K. is witnessing a dramatic surge in Covid infections & Austria imposes stricter travel rules, even as it ends its general lockdown.
Europe is bracing for energy shortages as colder weather sets in, boosting demand & sending prices surging, at a time when supplies are tight. Temperatures are forecast to fall below zero degrees Celsius in a number of European countries this week, straining electricity grids already coping with low wind speeds & severe nuclear outages in France. In a further development, Russia intends to keep natural gas flows through a major transit route to Germany limited on Monday, after already capping supplies over the weekend.
Russia intends to keep gas flows through major transit route to Germany; Serbia was forced to cut electricity to cust this week, as Britain’s network operator issued a power supply warning; China has formed a rare-earths giant by merging some key producers; IMF, World Bank, & 10 countries simulate alarming global financial system collapse lead by Israel; Chile selected a new president; China placed tight restrictions on borders/ports to block COVID-19 entering the country after several small towns suffered outbreaks; the U.S. recorded the highest number of illegal border crossings in more than 60 years.
The post Recap December 26: Blackouts starting Europe, IMF simulates global financial collapse, signal for next financial crisis? (Recap Ep155) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, global markets are mostly lower for the week, with a sharp fall in shares of tech companies, pushing major indexes lower, continuing a turbulent stretch for some of the biggest firms in the market. Asian markets were mixed.
The European Central Bank further cut its bond purchases Thursday but vowed to continue its unprecedented monetary policy support for the Euro-zone economy into 2022. It left the benchmark refinancing rate unchanged at 0%, while the rate on its marginal lending facility remained at +0.25%. It follows the U.S. Federal Reserve decision that will accelerate the reduction of its monthly bond purchases, after which, the central bank then expects to start raising interest rates.
The London Interbank Offered Rate, or Libor, is being switched off at the year’s end, ceasing its pricing role in derivatives & loans ranging from mortgages & student loans to business funding & credit cards, which totaled $265 trillion globally as of the start of 2021. The rate is being scrapped a decade after banks were caught trying to rig it, in what will be the biggest shake-up to markets since the 1999 introduction of the Euro.
Sprott Physical Uranium Trust didn’t exist 6 months ago. It now holds near 1/3 of the world’s annual supply & it’s getting larger. The fund’s arrival & enormous growth, is sending waves through the market for nuclear fuels & have helped produce a 50% rally in uranium this year. Sprott reports that its assets have swelled to $1.9B, forcing it to almost double its financing limit 2 weeks ago to $3.5B, the 2nd time it’s had to raise it in 2 months.
Oil prices fell on growing expectations that supply growth will outpace demand growth next year; the U.K. raised its pandemic threat level; Turkish lira falls -7% due to Erdogan’s risky economic policies; Bank of England raises interest rates for the first time in almost two years; economists predict China will start adding fiscal stimulus in early 2022; Pfizer buys Arena Pharmaceuticals valued at $6.7B; Putin says his country is the global leader in hypersonic missiles.
The post Recap December 19: Omicron Lockdowns begin, Elon Musk sells record Tesla stock, Record Inflation (Recap Ep154) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, global markets rebound after 4 weeks in hopes that inflation data means the peak has been reached and that the omicron variant is less dangerous than expected. IMF and 10 countries simulate cyberattacks on global financial system. 330 SPAR stores shut down, switch to cash after the cyberattack.
U.S. Labor Department on Friday: U.S. consumer prices surged +6.8% in the year leading into November & +0.8% last month alone, the highest rate since 1982, as the economy overwhelmed struggling supply chains. Growing shortages in commodities & goods as well as enormous unsustainable deficit spending by the federal government, is further fueling inflation.
Shares of Tesla plunged under the key $1000 level this week after a report that the company was being probed by the U.S. SEC, over claims about defects on its solar panels. Shares rebounded slightly later in the week, but fell -6% on Thursday & were headed lower Friday, as it seems Musk sold 934,091 more Tesla shares, according to the SEC posted Thursday, worth $963.2M. He sold a total of $9.85B in Tesla stock last month, alone. He tweeted he’s thinking of quitting his CEO job, to become an influencer.
The Quebec Maple Syrup Producers (QMSP), “the so-called OPEC of maple syrup”, has released about 22M kg of “reserve” syrup from its emergency supplies. It amounts to about 50% it holds in reserve. It is the 1st time in 3 years that the reserve has been tapped, due to weather. 83M kg of maple syrup was produced globally & 60M kg came from Quebec in 2021. Quebec produces about 33% of the world’s maple syrup.
Nicaragua’s government has broken off diplomatic relations with Taiwan; Italy’s antitrust authority fined Amazon 1.3 billion dollars; price of vegetables in China has risen 30% in one year; Russia plans to deliver another round of missile systems to Turkey; Japanese economy contraction in Q3 was worse than estimated; Olaf Scholz is officially Germany’s new Chancellor; Oil prices rise as Saudi Arabia raises crude prices; Ford expects triple output all-electric Mustang Mach-E SUV.
The post Recap December 12: Govt’s practice cyberattack (blackout?), cryptos hacked again, Rich sell everything (Recap Ep153) appeared first on Investing & Day Trading Education: Day Trading Academy.
In this week’s recap, U.S. stocks were lower again this week with an ominous note, after a broad technology-sector selloff, sending the major U.S. stock indexes sharply lower & Treasury yields logging declines, not seen since some of the worst days of the pandemic last year. European shares fell on Friday, heading lower after a downturn in U.S. stocks on a tech slide & fears around the Omicron coronavirus variant hitting economic recovery. Chinese tech stocks in Hong Kong plunged after ride-hailing giant Didi announced Friday, that it will begin taking steps to delist from the U.S. NYSE.
The era of big Chinese companies heading to the U.S. to raise money may be coming to an end. Ride-hailing firm DiDi Global, the “Uber of China,” said it plans to delist its shares from the New York Stock Exchange in preference for Hong Kong, likely at the behest of China’s government in Beijing. Shares in New York are already -44% down the IPO price from late June. The stock fell over -17% on Friday, on the news to $6.45. The stock is down -28.88% in the last 3 months, on a market cap of $37.62B.
Bitcoin prices fell sharply early Saturday by almost 20%. In the past 24 hours, 410,000 cryptocurrency accounts have been liquidated for a total of $2.6 billion (the largest liquidation was $27 million). Ether lost more than -14% in the last 24 hours, to a low near $3,500. The drop is related to turbulent trading since the omicron variant Covid appeared.
South Korea’s Hyundai putting more money into electric vehicles & robotics. Another important part is to transform the company from a conventional carmaker to embracing hydrogen-based technology, but the lack of hydrogen refueling stations & maintenance costs for parts are huge. Hyundai is the only global car firm besides Japan’s Toyota Motor Corp. to have made a large investment in hydrogen, pledging to have all of its new commercial vehicles run on either batteries or hydrogen fuel cells by 2028.
The U.S. Congress passed a bill on Thursday to keep the federal government funded until Feb. 18; the U.S. economy added 210K jobs in November, far below economists’ expectations; the CBOE Volatility Index or “VIX,” surged to 31.12 on Wednesday; Australia’s October trade surplus was 11.22B Australian dollars ($7.97B U.S.); global Food prices high all-time high; Singapore increased its gold reserves by about +20% earlier this year; consumer prices across 19 countries in the Eurozone are rising at a record rate; Musk warns SpaceX employees risk of bankruptcy if Starship engine crisis isn’t fixed; Barbados woke up Tuesday as a republic.
The post Recap December 5: Food costs explodes, crypto & stock collapse, SpaceX bankrupt? (Recap Ep152) appeared first on Investing & Day Trading Education: Day Trading Academy.