MARKET MOVERS
- Insiders are dumping commodities. A possible sign that prices are due to cool off. Insiders at several U.S. companies that focus on commodities products dumped millions in stock last week, according to InsiderScore/Verity and filings with the Securities and Exchange Commission. The companies include Alpha Metallurgical Resources, Devon Energy, CF Industries, and Helmerich & Payne.
- Binance signs MOU to buy Sim;paul Investimentos, a Brazilian securities brokerage firm. Sim;paul is authorized by the Central Bank of Brazil and the Securities and Exchange Commission, Binance said in a statement. Any deal will require the approval of regulatory authorities, including the central bank. Binance is looking to buy businesses that operate in traditional markets to make the crypto industry bigger.
- Electric bills are soaring. U.S. electricity customers are facing some of the largest bills in years because of volatile natural-gas prices, which are being driven higher by winter demand, and a global supply shortage being made worse by Russia’s war against Ukraine. Already, the natural-gas supply crunch has made it substantially more expensive for utilities to purchase or produce electricity. Read more here.
- Money flows to green-energy funds amid vows to cut Russian fuels. Investors added over $886 million to some of the biggest exchange-traded funds that invest in clean energy last week as the U.S. and Europe took steps to cut dependence on Russian fossil fuels. An American plan to ban oil imports from Russia sent solar-power stocks surging. Investors also added about $500 million to funds that track the S&P Global Clean Energy Index. Read more here.
- The Larva Labs acquisition is positive for all high-end NFTs. The silver lining here is that the IP change will prevent Punks from going into free fall. In short, BAYC is now above Punks and will likely stay there. That means the goal is to keep the BAYC floor above the Punk floor. Also. Some downside to Punks has been removed due to the IP change. Read more here.
- The world is splitting. De-globalization is rapidly happening. Every country will not have to turn to local supply chains. This means that the US, Canada, Mexico will become more interdependent, says Raoul Pal. The US needs another footing too over at the east like Iran. Countries are now realizing the importance of local supply chains and the hazards of too much dependence on another country. Source(9:45)
WHAT TO WATCH
- The Fed rate hike is the biggest thing to watch this week, says VTM. Jerome Powell and his team over at the Federal Reserve may start hiking by .25 basis points this week. Traders have already priced in 7 hikes for the full year. VTM says if Powell stays put, the markets will sink so low that it’ll be disastrous. The country needs a rate hike asap. Source(5:45)
- Goldman Sachs cuts its S&P 500 outlook for the second time in a month. This is because of slower-than-expected economic growth amid surging commodity prices due to the Russia-Ukraine war. The firm cut its S&P 500 target to 4,700 from 4,900 previously. On Friday, Goldman also cut its outlook for U.S. economic growth in 2022 to 2.9%, down from 3.1%, and raised concern over a recession.
- Ford to ramp up EV offering in Europe. The EV production planned for Cologne is now slated to hit 1.2 million vehicles across a period of six years. Ford has laid out plans to roll out three new passenger electric vehicles and four new commercial EVs in Europe by 2024, with the company saying it expected to sell over 600,000 EVs per year in the region by 2026.
- Rent-control measures are back as home rents reach new highs. Lawmakers across the U.S. are looking to enact rent control, reviving measures largely shunned in recent years. These proposals, which would generally allow landlords to boost monthly rents by no more than 2% to 10%, are on the legislative agenda in more than a dozen states. Rental prices are up about 18% on average over the past two years hitting record levels.
- Europe's plan to ban proof-of-work crypto won't stop the adoption. The MiCa regulation, Europe's attempt to clamp down on BTC/ETH and proof of work type cryptocurrencies, will not stop people from buying. BowTied Bull says this is just going to create another Streisand effect. Even if they attempt to ban it, the product will still work and people will simply go back to using VPNs. Read more here.
