Month: November 2024

Posted on

Bitcoin and altcoins rocket to new highs hot on the heels of Trump win!

Bitcoin new high!

Bitcoin, which could benefit from relaxed regulation, soared to an all-time high and topped $76,000.

Bitcoin rallied Wednesday 6th November 2024, hitting all-time highs as former President Donald Trump defeated Vice President Kamala Harris to win the election an become the 47th U.S. president.

The price of Bitcoin touched a fresh record of $76,493.86.

Bitcoin one-month chart as of 6th November 2024 – New high!

Bitcoin hits new all-time high of $76,493.86 6th November 2024

Trump’s support for crypto

The ‘noises’ around the Trump trade for crypto are reportedly of deregulation, potential tax cuts for an asset that is both held long term but also day traded, less dependency on government financial institutions and the Fed and maybe seen as an alternative as a decentralised currency. Trump has previously indicated support of risk assets and the growth of crypto.

Ether surged 11%, while Solana, rocketed 13%. Payment system token XRP jumped more than 5%. Meanwhile, Meme coins soared, with Dogecoin up more than 15%.

Shares of Coinbase surged around 31%%, posting its best day on record since its first day of trading. MicroStrategy, which has a high correlation play on the price of Bitcoin, advanced 13%.

Posted on

Dow hits new all-time high as Trump wins 2024 U.S. election

U.S. stocks at all time high

The Dow, S&P 500 and Nasdaq all hit new highs!

Stocks rallied sharply on Wednesday 6th November 2024, with major indices hitting record highs, as Donald Trump won the 2024 presidential election.

It looks like the Trump rally has already begun.

The Dow Jones Industrial Average surged 1,508.05 points to a record close of 43,729.93. The last time the Dow jumped more than 1,000 points in a single day was in November 2022.

The S&P 500 also hit an all-time high, soaring to 5,929.04. The Nasdaq Composite climbed to a record of its own too of 18,983.47.

Dow Jones one-year chart as of 6th November 2024

Dow Jones one-year chart as of 6th November 2024

S&P 500 one-year chart as of 6th November 2024

S&P 500 one-year chart as of 6th November 2024

Nasdaq Composite one-year chart as of 6th November 2024

Nasdaq Composite one-year chart as of 6th November 2024
Posted on

Oops I did it again! Trump wins 2024 U.S. presidential election – emphatically defeating Harris

Trump wins 2024 U.S. election

After losing the re-election to President Joe Biden in 2020, Donald Trump, the 45th president, has now been elected as the 47th.

Trump’s victory sets several historic records. At the age of 78, he becomes the oldest individual to win a U.S. presidential election. He is the first president to serve two nonconsecutive terms since Grover Cleveland 132 years ago, and his win comes from what is likely the costliest presidential race in history.

Also, he is reportedly the first president, whether in office or former, to have been convicted of crimes. He is also the first president to be impeached twice and then reclaim the presidency. Additionally, he is the first to assume office while actively facing criminal charges in both federal and state courts.

This victory for Trump prevents Vice President Harris from achieving what would have been a historic feat: becoming the first female president of the United States.

As Trump secures win stock markets react positively as Dow and S&P 500 futures rise to touch new all-time highs!

Posted on

“The ballot is stronger than the bullet” – Abraham Lincoln

U.S. voter

Abraham Lincoln, 1809 -1865

Abraham Lincoln, the 16th President of the United States, led the nation through the Civil War and played a crucial role in the abolition of slavery. He is remembered for his leadership, eloquence, and dedication to preserving the Union.

Abraham Lincoln was assassinated on 14th April 1865. He was shot in the back of the head by John Wilkes Booth while attending a play at Ford’s Theatre in Washington, D.C. Lincoln succumbed to his injuries the following morning.

It was a tragic end to the life of a remarkable leader.

Wikipedia

Posted on

Don’t waste your money on expensive jeans – so says this study!

Jeans

A recent study by the University of Leeds, in collaboration with Primark, found that a pair of women’s jeans costing just £15 were more durable than a pair costing £150.

The research tested 65 clothing items, including jeans, hoodies, and T-shirts, to set standards on how long clothing should last. They used equipment that can simulate years of wear and tear in a matter of hours.

Interestingly, the study revealed no correlation between price and durability. This means that higher-priced items aren’t necessarily more durable than cheaper ones. Primark plans to use these findings to improve the durability of their products and provide better value for customers.

So, for durability… buy the cheaper option. I have no idea about the design and style though.

Posted on

Is Switzerland about to experience deflation?

Deflated tyre

Switzerland may be at risk of entering deflationary territory in 2025 due to the strengthening of the Swiss franc, which is challenging policymakers’ control over price growth.

The Swiss National Bank has lowered interest rates three times this year as of September, attributing the country’s declining inflation rate to the robustness of the safe-haven currency, as well as to falling oil and electricity prices.

Analysts increasingly believe that the Swiss National Bank may need to engage in foreign currency intervention to avert a deflationary scenario.

Furthermore, the central bank has adjusted its forecasts downward, setting the average annual inflation rate for 2024 at 1.2%, down from 1.3%, and anticipating a price growth of 0.6% in 2025, a decrease from the previously forecasted 1.1%.

Posted on

Nvidia promoted to Dow Jones Industrial Average at the expense of Intel

AI power

Nvidia is set to replace its rival chipmaker Intel in the Dow Jones Industrial Average, signifying a significant change in the blue-chip index that highlights the surge in artificial intelligence and a substantial shift within the semiconductor industry.

Intel’s shares fell by 1% in extended trading on Friday 1st November 2024, while Nvidia’s shares increased by 1%. Intel has now lost over half its value.

The update will take place on 8th November 2024. Also, Sherwin Williams will replace Dow Inc. in the index, the S&P and Dow Jones said in a statement.

Nvidia‘s shares have surged over 170% in 2024, following a roughly 240% increase last year, as investors flock to the AI chipmaker. Nvidia’s market capitalisation has expanded to $3.3 trillion, ranking it second only to Apple among publicly traded companies.

Nvidia one-year share price chart

Nvidia one-year share price chart

Major companies such as Microsoft, Meta, Google, and Amazon are acquiring Nvidia’s graphics processing units (GPUs), like the H100, in large quantities to create computer clusters for AI projects. Nvidia’s revenue has more than doubled for five consecutive quarters, with at least a threefold increase in three of those quarters. The company has indicated that the demand for its forthcoming AI GPU, Blackwell, is ‘insane’.

With Nvidia‘s inclusion, four of the six tech companies valued at over a trillion dollars are now part of the index, leaving Alphabet and Meta as the two not listed in the Dow.

Posted on

U.S. economy added just 12,000 jobs in October 2024

U.S. workers

In October 2024, non-farm payrolls saw an increase of 12,000, a significant drop from September’s figures and falling short of the 100,000 predicted

The unemployment rate remained steady at 4.1%, meeting expectations.

The rate of job growth in October 2024 was the slowest since the end of 2020, hindered by the effects of storms in the and a considerable labour standoff (strike action), which impacted the overall employment picture.

According to the Bureau of Labor Statistics‘ Friday report, the modest increase in nonfarm payrolls for October, which was already anticipated to be subdued, marked the smallest rise since December 2020.

U.S. monthly job creation

U.S. monthly job creation
Posted on

China’s manufacturing output expands in October 2024 according to survey

Exports China

China’s factory activity jumped back into expansion among smaller manufacturers in October 2024, according to a private survey report released on Friday 1st November 2024.

In October 2024, the Caixin/S&P Global manufacturing purchasing managers’ index reached 50.3, surpassing the prediction of 49.7.

The index stood at 49.3 in September 2024, 50.4 in August, and 49.8 in July. A PMI figure above 50 signifies an expansion in activity, whereas one below 50 suggests a contraction.

Following the release of the official PMI data on Thursday 31st October 2024, which showed the first expansion in the country’s manufacturing activity since April 2024, the Caixin measure, which typically reflects the performance of exporters and private sector firms, contrasts with the official PMI that includes larger and state-owned enterprises.

Posted on

Apple, Amazon and Intel all post positive results 31st October 2024

Apple

Apple’s fourth-quarter results surpassed Wall Street forecasts for revenue and earnings per share. However, net income declined due to a one-time charge related to a tax settlement in Europe.

iPhone sales and overall sales both rose by 6%.

Apple one year stock chart

Amazon

Amazon’s shares soared in after-hours trading following the announcement of earnings and revenue that exceeded expectations. The firm’s cloud services and advertising divisions demonstrated significant expansion.

Amazon one year stock chart

Intel

Intel has reported earnings that surpassed expectations and provided improved guidance. The company is currently undergoing a significant restructuring initiative.

Intel one year stock chart

However, Intel has now lost over half its market value.

Posted on

Super Micro Computer drops 33% after disclosing ‘auditor’ resignation – 30th October 2024

Stock chart down

Super Micro Computer’s shares dropped 33% in premarket trading 30th October 2024, following the announcement in a regulatory filing that Ernst & Young had stepped down as its accounting firm.

The filing revealed that EY had expressed doubts about the AI server company’s “commitment to integrity and ethical values” during accounting reviews.

Super Micro had been included in the S&P 500 index in March 2004.

Super Micro one month chart snapshot 30th October 2024

Further update – 1st November 2024

Super Micro’s sell-off persisted on Friday, November 1, 2024, with the stock falling an additional 10%, culminating in a 44% loss for the week.

The most significant drop occurred on Wednesday 30th October 2024, following the company’s announcement of losing its second auditor in under two years.

Super Micro, currently behind schedule in submitting its latest annual report, has announced it will deliver a ‘business update’ for the most recent quarter on Tuesday 5th November 2024, coinciding with Election Day in the U.S.

Posted on

Volkswagen profit plunges 42% in third quarter

Car manufacture

Volkswagen’s operating profit fell to 2.86 billion euros ($3.1 billion), with third-quarter sales revenue experiencing a 0.5% year-on-year decrease to roughly 78.5 billion euros.

These figures come after Volkswagen lowered its annual outlook for 2024 last month, which was the second adjustment within a few months.

The company has recently encountered several challenges, including potential plant closures in Germany and the cancellation of many labour contracts with local workers in September 2024.

According to Volkswagen, vehicle sales reportedly dropped by 8.3% in the third quarter of 2024, compared to the same period the previous year.

Reports indicate that the Volkswagen Group’s net liquidity was negative 160.6 billion euros at the end of September 2024. At the end of 2023, the company’s net liquidity was negative 147.4 billion euros.

Posted on

Microsoft and Meta both indicate future AI spending will cut into next quarter profits

Microsoft and AI

Microsoft’s significant investment in OpenAI is impacting its earnings – 30th October 2024

The company reportedly indicated, following the quarterly earnings report, that Microsoft anticipates a $1.5 billion reduction in income for the current period, primarily due to projected losses from OpenAI.

Microsoft’s nearly $14 billion investment in OpenAI, the creator of the widely popular ChatGPT assistant, has catalysed the emergence of the generative artificial intelligence industry, leading to billions in new revenue for Microsoft.

Despite this, OpenAI is experiencing substantial financial losses. It is projected to incur $5 billion in losses this year, excluding stock-based compensation, against $4 billion in revenue, according to reports from earlier this month.

Microsoft’s stock declined following weaker-than-expected revenue guidance, despite exceeding earnings expectations.

The company’s revenue reportedly increased by 16% in the fiscal first quarter, outpacing analyst predictions.

Earnings from Azure and other cloud services reportedly rose by 33%, exceeding forecasts.

Nevertheless, the projected revenue growth did not meet analyst expectations.

Meta

Meta’s third-quarter earnings report, released on Wednesday 30th October 2024, disclosed user numbers that fell short of expectations.

The company reported $3.29 billion daily active users for the quarter, marking a 5% increase from the previous year but still below the anticipated $3.31 billion by analysts.

Meta also projected a substantial increase in capital expenditures for 2025.

Additionally, Meta indicated a significant rise in AI spending for 2025.

Posted on

U.S. inflation rate hits 2.1% in September 2024

Inflation saw a modest rise in September 2024, edging closer to the Federal Reserve’s target, as reported by the Commerce Department on Thursday 31st October 2024.

The personal consumption expenditures (PCE) price index recorded a seasonally adjusted increase of 0.2% for the month, and the year-over-year inflation rate stood at 2.1%, aligning with predictions. The PCE index is the Fed’s preferred inflation measure, although officials monitor various other indicators as well.

The Fed aims for a 2% yearly inflation rate, a benchmark not met since February 2021.

Despite the main figure indicating that the central bank is approaching its objective, the inflation rate, excluding food and energy, was at 2.7%. This core inflation metric rose by 0.3% monthly, with the annual rate exceeding expectations by 0.1 percentage points.

This report arrives as markets strongly anticipate the Fed will reduce its benchmark short-term interest rate at the upcoming meeting. In September 2024, the Fed made a significant half-percentage-point rate cut, a rare action during an economic upturn.

Officials remain optimistic that inflation will realign with their target, yet they are wary about the labour market’s condition, even as most data suggests steady hiring and low layoff rates.