| | | | DOW 32,997.97 | -3.12% | | | | S&P 4,146.87 | -3.56% | | | | NASDAQ 12,317.69 | -4.99% | | | | *As of market close | | • | Stocks were crushed on Thursday, with the Nasdaq down nearly 5 percent. | | • | Oil rose 0.4 percent, closing at $108.28 per barrel. | | • | Gold increased 0.5 percent, ending at $1,879 per ounce. | | • | Cryptocurrencies plunged, with Bitcoin at $36,213 at the stock market close. | | | | | | | | | | This Unusual Commodity Is Set for a Great Few Years, No Matter What the Economy Does | | | | Commodities have been in a bull market for some time. But with oil prices well off their highs, and with precious metals failing to break higher even with high inflation rates, prices have moderated somewhat.
But some commodities have stronger fundamentals, especially in the years ahead. The metals space is one area, as a recovering global economy has greater demand for these commodities than the current supply. » FULL STORY | | | | | | Insider Trading Report: Intel (INTC) | | | | David Zinsner, CFO at Intel (INTC), recently picked up 5,550 shares. The buy increased his holdings by 166 percent, and came to a total price of just over $246,000. The buy comes one day after the company CEO, Patrick Gelsinger, also picked up 5,500 shares, a buy that increased his stake by nearly 4 percent. Insiders last bought shares following the company's earning in February. » FULL STORY | | | | | | Unusual Options Activity: The Walt Disney Company (DIS) | | | | Shares of entertainment giant The Walt Disney Company (DIS) have been sliding in recent months. One trader sees a further decline in the days ahead. That's based on the May 20th $108 puts. With 14 days until expiration, 5,340 contracts traded compared to a prior open interest 156, for a 34-fold increase in volume on the trade. The buyer of the puts paid $1.71 to bet on a further decline in shares.
» FULL STORY | | | | | | • | Bank of England Continues Hiking Rates
For the fourth meeting in a row, the Bank of England has raised interest rates. The bank started raising rates in December, as inflation has hit a multi-decade high in the UK. The BoE further signaled that it would likely move more cautiously in the coming months, as it seeks to avoid raising rates too far, too fast and causing a recession. | | | | • | Labor Output Sees Biggest Drop Since 1947
Worker output in the US dropped 7.5 percent in the first quarter of the year. That's the largest decline since 1947. The drop also comes as labor costs rose 11.6 percent relative to productivity. Overall, it's a sign that overall output in the economy is slowing, even as the job market continues to show signs of improvement. | | | | • | Musk Secures Additional Funding for Twitter Buy
Billionaire Elon Musk has disclosed that he's secured an additional $7.1 billion in funding for his buyout of social media platform Twitter (TWTR). The list includes some other billionaires, such as Larry Ellison of Oracle (ORCL), and Saudi Arabian Price Alwaleed, who will retain his stake after the buyout. | | | | • | Mortgage Rates Hit 2009 Levels
US mortgage rates for a 30-year, fixed loan continue to rise. This week, it closed at 5.27 percent, up from 5.1 percent the week before. This time last year, the average 30-year fixed mortgage was 2.96 percent. This rate marks the highest level since 2009, and may lead to a further slowdown in home sales as buyers get priced out of the market. | | | | • | Shopify Buys Deliverr For $2.1 Billion
Shopify (SHOP) is acquiring Deliverr, an ecommerce fulfillment startup, for $2.1 billion. The deal is in a mix of cash and stock. The deal was rumored last month, and represents the largest acquisition for the company to date. This will also move Shopify towards its goal of creating end-to-end logistics on its platform. | | | | | | TOP | | EPAM | 10.638% | | | ALB | 8.28% | | | TRIP | 4.807% | | | OGN | 4.685% | | | BKNG | 3.319% | | | BOTTOM | | ETSY | 17.726% | | | CTSH | 13.561% | | | EBAY | 12.183% | | | MELI | 11.596% | | | TRMB | 10.663% | | | | | | | | | Despite the tightening that we have seen in financial conditions over the last few months, it is clear that the Fed would like to see them tighten further. Higher equity valuations are incompatible with that desire, so unless supply chains heal rapidly or workers flood back into the labor force, any equity rallies are likely on borrowed time as Fed messaging becomes more hawkish once again. | | - Zachary Hill, head of portfolio strategy at Horizon Investments, on why the stock market will likely trade sideways at best, and may even decline further, as the Fed looks to further tighten monetary conditions. | | |
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