The technology heavy Nasdaq Composite crashed to its worst monthly performance in more than a decade Friday. April was historically the best month for stocks from a seasonality perspective, the ongoing market volatility and headwinds put paid to that. Trillions of dollars in market value have been wiped off. The Nasdaq fell 4.2% Friday, its losses for the month over 13%, its worst effort since October 2008. The index is down 21% in 2022, its worst start to a year … Continue reading “Nasdaq Crashes to Worse Month Since 2008 in Tech Wreck.”
Federal Reserve Governor Lael Brainard pulled the rug out from under the markets on Tuesday when she said, “Inflation is much too high and subject to upside risks and The Fed is prepared to take stronger action if inflation and inflation expectations suggest the need.” Nothing new but remember algorithms have no FOMO emotion while the bond market had a mini taper tantrum. Highlights from Brainard Speech Combined impact of rate hikes and balance sheet reduction will bring policy to a … Continue reading “Brainard Warns Fed Prepared to Take Stronger Action on Inflation if Needed”
Automation software company UiPath (PATH) shares plunged over 27% wiping out more than $4 billion in market cap after earnings. $PATH beat by $0.02 and beat on revenues BUT guided Q1 revs below consensus and guided FY23 revs below consensus. The stock is now down more than half off its April 2021 IPO price of $56 and 78% from its high at $90. At the time TC warned of the overvaluation and promptly added the stock to the TC dribbler basket. … Continue reading “What Can Happen with Overpriced IPOs, Down the Beaten Path, UiPath Earnings”
In what may appear as patently obvious to most Goldman Sachs CEO, David Solomon speaking at an event in Singapore said we are living in one of those “periods of time when greed has outpaced fear.” and the global economy is facing a ‘complicated time’. We are in times not too dissimilar to the 1980’s where the fictional Gordon Gekko ruled and the real Ivan Boesky would most likely be the norm in the moral hazard free 2021. Soloman says … Continue reading “Greed Outpacing Fear in Markets says Goldman’s Solomon”
With inflation popping up everywhere with the US Fed seeing it as transitory while others are not convinced. Commerzbank issued a note Monday raising it’s gold price target up to $2,000. Silver to $30 and Palladium to $2,800.
Chinese social-media service Weibo suspended some crypto-related accounts Sunday. Bitcoin and many other top cryptocurrencies declined on the move. $WB took similar action in 2019 when it suspended the accounts of exchange operator Binance Holdings and blockchain platform Tron.
Goldman Sachs issued a note Saturday after two CIO roundtable sessions earlier this week attended by 25 CIOs from various long-only and hedge funds. They said their most favorite long is Growth style but least favorite on Bitcoin. Suggesting institutional adoption ia a ways off.
Federal Reserve Governor Lael Brainard said on Monday “The Federal Reserve is stepping up its research and public engagement on a digital version of the U.S. dollar.” Fed Chair Jerome Powell said last week the Fed will release a paper looking at how CBDCs could affect payments.
Desperate times call for desperate measures. Hong Kong has announced handouts to its population to turn around sentiment. The country says that registration for cash handout to start in early July. The move is likely a blue print for greater China.
Chinese firm Canaan Inc., a maker of Bitcoin mining machines continues to face headwinds for it’s New York IPO. Already slashed from expectations of $400 million to $100 million it lost it’s lead underwriter Credit Suisse.