Lithium Universe (LU7:AU) has announced Supplementary Prospectus
Download the PDF here.
This post appeared first on investingnews.com
Stock futures are trading slightly lower Monday morning as investors gear up for the final month of 2024. S&P 500 futures slipped 0.18%, alongside declines in Dow Jones Industrial Average futures and Nasdaq 100 futures, which dropped 0.13% and 0.17%, respectively. The market’s focus is shifting to upcoming economic data, particularly reports on manufacturing and construction spending, ahead of this week’s key labor data releases.
November was a standout month for equities, with the S&P 500 futures rallying to reflect the index’s best monthly performance of the year. Both the S&P 500 and Dow Jones Industrial Average achieved all-time highs during Friday’s shortened trading session, with the Dow briefly surpassing 45,000. Small-cap stocks also saw robust gains, with the Russell 2000 index surging over 10% in November, buoyed by optimism around potential tax cuts.
As trading kicks off in December, investors are keeping a close eye on geopolitical developments in Europe, where France’s CAC 40 index dropped 0.77% amid political concerns, while Germany’s DAX and the U.K.’s FTSE 100 showed smaller declines.
S&P 500 futures will likely continue to act as a key barometer for market sentiment, particularly as traders assess the impact of upcoming economic data and global market developments.
S&P 500 Index Chart Analysis
This 15-minute chart of the S&P 500 Index shows a recent trend where the index attempted to break above the resistance level near 6,044.17 but retraced slightly to close at 6,032.39, reflecting a minor decline of 0.03% in the session. The candlestick pattern indicates some indecisiveness after a steady upward momentum seen earlier in the day.
On the RSI (Relative Strength Index) indicator, the value sits at 62.07, having declined from the overbought zone above 70 earlier. This suggests that the bullish momentum might be cooling off, and traders could anticipate a short-term consolidation or slight pullback. However, with RSI above 50, the overall trend remains positive, favoring buyers.
The index’s recent low of 5,944.36 marks a key support level, while the high at 6,044.17 could act as resistance. If the price sustains above the 6,020 level and RSI stabilizes without breaking below 50, the index could attempt another rally. Conversely, a drop below 6,020 could indicate a bearish shift.
In conclusion, the index displays potential for continued gains, but traders should watch RSI levels and price action near the support and resistance zones for confirmation.
The post Stock Futures Lower after S&P 500 futures ticked down 0.18% appeared first on FinanceBrokerage.
Stock futures climbed on Wednesday, driven by strong performances from Salesforce and Marvell Technology, following upbeat quarterly earnings. Futures tied to the Dow Jones Industrial Average rose by 215 points (0.5%), while S&P 500 futures gained 0.3%, and Nasdaq-100 futures advanced by 0.7%.
Salesforce surged 12% after reporting fiscal third-quarter revenue that exceeded expectations, showcasing robust demand in the enterprise software sector. Meanwhile, chipmaker Marvell jumped 14% after surpassing earnings estimates and providing optimistic fourth-quarter guidance, indicating resilience in the semiconductor industry.
This movement follows a mixed session on Wall Street, where the S&P 500 and Nasdaq closed with small gains, while the Dow dipped slightly. The broader market has experienced a modest start to December, contrasting with November’s robust rally, but analysts anticipate a resurgence in momentum. LPL Financial’s George Smith pointed out that December historically sees strong market performance, particularly in the latter half of the month.
However, economic data introduced some caution. ADP’s report revealed that private payrolls grew by just 146,000 in November, missing estimates of 163,000. This signals potential softness in the labor market, with investors now awaiting Friday’s November jobs report for further clarity.
S&P 500 Index Chart Analysis
Based on the provided stock chart, which appears to be a 15-minute candlestick chart for the S&P 500 Index, here’s a brief analysis:
The chart shows a clear upward trend, with higher highs and higher lows indicating bullish momentum over the analyzed period. The index has steadily climbed from a low of approximately 5,855 to a recent high of 6,053.58, suggesting strong buying interest.
Key resistance is observed near 6,050-6,053 levels, as the price has struggled to break above this zone in the most recent sessions. If the index breaches this level with strong volume, it could lead to further upward movement. Conversely, failure to break out may lead to a pullback, with potential support around the 6,000 psychological level and 5,980, where consolidation occurred previously.
The candlestick patterns show relatively small wicks, indicating limited volatility, which could imply steady market confidence. However, the bullish rally could be overextended, warranting caution for traders, especially if any negative catalysts emerge.
In summary, the short-term trend is bullish, but traders should monitor resistance levels and volume for signs of a breakout or reversal. It’s also essential to watch broader market factors, as indices are often influenced by macroeconomic data and sentiment.
The post S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7% appeared first on FinanceBrokerage.
Chartists looking for stock setups can start with strong industry groups. The Fintech (FINX) is in a strong uptrend and leading, but looking extended short-term. While there is no setup currently, we can learn from past setups and apply these lessons to stocks within the group.
FINX is both strong and extended. The chart shows FINX advancing 53.6% from November to March. It then moved into a long corrective period as the falling channel formed over the next five months. This correction ended with a breakout in late August and the ETF recorded its first new high in mid September. FINX extended further and led the market over the last four months.
Even though FINX shows no signs of weakness on the price chart, it is becoming quite extended because the 10-day EMA is over 20% above the 200-day EMA. The bottom window shows this difference using the PPO(10,200,0). I use this mostly as trend indicator. It turns bullish with a move above +3% and bearish with a move below -3%. These signal buffers reduce whipsaws and catch big trends.
With FINX looking extended, it is time to exercise some patience and wait for the next opportunity. The blue dashed lines show short-term bullish continuation patterns within the strong uptrend. These represent tradable pullbacks. We can use these examples as a guide in the future, and also look for tradable pullbacks individual fintech stocks.
The indicator window shows %B, which quantifies the relationship between the close and the 20-day SMA. The pullbacks were quite mild as %B dipped below .50 just twice. This means the close was below the 20-day SMA, which is the middle line on the Bollinger Bands. A decline to the 20-day SMA signals a pullback within the uptrend and this is an opportunity, not a threat.
Extended or not, FINX is still a leader and still in a strong uptrend. This means fintech stocks provide a good hunting ground for bullish setups. Pullbacks and oversold conditions provide opportunities. This report continues at TrendInvestorPro where I feature a fintech stock with one such setup. Click here to see the full report and learn more. This week we featured tradable setups in over a dozen ETFs and stocks.
Click here to take a trial and get two bonus reports!
//////////////////////////////////////////////
The markets closed with gains for the third week in a row as the key indices posted gains while extending their technical rebound. The Nifty had a trending week; it trended higher most of the week. The volatility was largely absent, but the Indices stayed quite choppy on most days except the last day, where it remained flat. The volatility stayed largely subdued; the India VIX retraced by 1.98% to 14.14 on a weekly note. The trading range stayed wider; the Nifty oscillated in an 849-point range over the past five sessions. The headline index finally closed with a net weekly gain of 546.70 points (+2.27%).
The markets have paused themselves at a crucial juncture. The Nifty has closed above the 50-DMA, which is presently at 24548. It is just a notch below the 100-DMA at 24707. This level also coincides with the 20-week MA placed at 24720 on the weekly timeframe. So, unless the Nifty closes well above 24720, we have to fairly take the zone of 24700-24750 as an immediate important resistance for the markets on a closing basis. For this technical rebound to extend, moving past and staying above 24750 would be necessary for the markets. On the other hand, the Nifty has rebounded off the 50-week MA; this level, placed at 23432, is the most crucial support for the Nifty if it has to keep the current primary trend intact.
Monday is likely to see a quiet start to the week; the levels of 24750 and 24900 are likely to act as resistance levels for the Nifty. The supports come in at 24450 and 24300 levels.
The weekly RSI is at 55.52; it is neutral and does not show any divergence against the price. The weekly MACD stays bearish and below its signal line. The PPO remains negative.
The pattern analysis of the weekly charts shows that the Nifty has completed a painful process of mean reversion. At one point, the Index was trading over 10% above the 50-week MA; the current retracement saw the Nifty testing this level a couple of weeks ago. The 50-week MA test at 23463 offered strong support, and the market rebounded from those levels. Presently, the Index has closed just below the 100-DMA and 20-week MA.
The up move after the Nifty took support at the 50-week MA has seen the Index rallying by over 1200 points. There is a possibility that Nifty may consolidate again for some time before it extends the current move. The banking and financial space is exhibiting strong relative strength. While this may continue, sectors like IT, Auto, Realty, etc., will likely show good momentum over the coming days. However, the Index is near its crucial resistance zone; this makes it necessary to guard profits at current levels. It is important that instead of chasing all up moves, the prudent thing to do would be to mindfully protect gains and stay invested in the stocks showing improvement in their relative strength. A cautious approach is advised for the coming week.
Sector Analysis for the coming week
In our look at Relative Rotation Graphs®, we compared various sectors against CNX500 (NIFTY 500 Index), which represents over 95% of the free float market cap of all the stocks listed.
Relative Rotation Graphs (RRG shows that the Nifty Bank Index has rolled inside the leading quadrant. It is expected to relatively outperform the broader markets along with the IT, Services Sector, and Financial Services Indices that are also present in this quadrant.
The Nifty Midcap 100 index is improving relative momentum while being placed inside the weakening quadrant. The Nifty Pharma Index is also inside the weakened quadrant.
The Nifty FMCG, Auto, Energy, Commodities, and Infrastructure Indices are in the lagging quadrant. The Nifty PSE Index is also in the lagging quadrant; however, it is improving its relative momentum against the broader markets.
The Nifty Media Index has rolled back inside the improving quadrant. Besides this, the Metal, Realty, and PSU Bank Indices are also placed inside the improving quadrant.
Important Note: RRG charts show the relative strength and momentum of a group of stocks. In the above Chart, they show relative performance against NIFTY500 Index (Broader Markets) and should not be used directly as buy or sell signals.
Milan Vaishnav, CMT, MSTA
Consulting Technical Analyst
Stock futures are trading slightly lower Monday morning as investors gear up for the final month of 2024. S&P 500 futures slipped 0.18%, alongside declines in Dow Jones Industrial Average futures and Nasdaq 100 futures, which dropped 0.13% and 0.17%, respectively. The market’s focus is shifting to upcoming economic data, particularly reports on manufacturing and construction spending, ahead of this week’s key labor data releases.
November was a standout month for equities, with the S&P 500 futures rallying to reflect the index’s best monthly performance of the year. Both the S&P 500 and Dow Jones Industrial Average achieved all-time highs during Friday’s shortened trading session, with the Dow briefly surpassing 45,000. Small-cap stocks also saw robust gains, with the Russell 2000 index surging over 10% in November, buoyed by optimism around potential tax cuts.
As trading kicks off in December, investors are keeping a close eye on geopolitical developments in Europe, where France’s CAC 40 index dropped 0.77% amid political concerns, while Germany’s DAX and the U.K.’s FTSE 100 showed smaller declines.
S&P 500 futures will likely continue to act as a key barometer for market sentiment, particularly as traders assess the impact of upcoming economic data and global market developments.
S&P 500 Index Chart Analysis
This 15-minute chart of the S&P 500 Index shows a recent trend where the index attempted to break above the resistance level near 6,044.17 but retraced slightly to close at 6,032.39, reflecting a minor decline of 0.03% in the session. The candlestick pattern indicates some indecisiveness after a steady upward momentum seen earlier in the day.
On the RSI (Relative Strength Index) indicator, the value sits at 62.07, having declined from the overbought zone above 70 earlier. This suggests that the bullish momentum might be cooling off, and traders could anticipate a short-term consolidation or slight pullback. However, with RSI above 50, the overall trend remains positive, favoring buyers.
The index’s recent low of 5,944.36 marks a key support level, while the high at 6,044.17 could act as resistance. If the price sustains above the 6,020 level and RSI stabilizes without breaking below 50, the index could attempt another rally. Conversely, a drop below 6,020 could indicate a bearish shift.
In conclusion, the index displays potential for continued gains, but traders should watch RSI levels and price action near the support and resistance zones for confirmation.
The post Stock Futures Lower after S&P 500 futures ticked down 0.18% appeared first on FinanceBrokerage.
Stock futures climbed on Wednesday, driven by strong performances from Salesforce and Marvell Technology, following upbeat quarterly earnings. Futures tied to the Dow Jones Industrial Average rose by 215 points (0.5%), while S&P 500 futures gained 0.3%, and Nasdaq-100 futures advanced by 0.7%.
Salesforce surged 12% after reporting fiscal third-quarter revenue that exceeded expectations, showcasing robust demand in the enterprise software sector. Meanwhile, chipmaker Marvell jumped 14% after surpassing earnings estimates and providing optimistic fourth-quarter guidance, indicating resilience in the semiconductor industry.
This movement follows a mixed session on Wall Street, where the S&P 500 and Nasdaq closed with small gains, while the Dow dipped slightly. The broader market has experienced a modest start to December, contrasting with November’s robust rally, but analysts anticipate a resurgence in momentum. LPL Financial’s George Smith pointed out that December historically sees strong market performance, particularly in the latter half of the month.
However, economic data introduced some caution. ADP’s report revealed that private payrolls grew by just 146,000 in November, missing estimates of 163,000. This signals potential softness in the labor market, with investors now awaiting Friday’s November jobs report for further clarity.
S&P 500 Index Chart Analysis
Based on the provided stock chart, which appears to be a 15-minute candlestick chart for the S&P 500 Index, here’s a brief analysis:
The chart shows a clear upward trend, with higher highs and higher lows indicating bullish momentum over the analyzed period. The index has steadily climbed from a low of approximately 5,855 to a recent high of 6,053.58, suggesting strong buying interest.
Key resistance is observed near 6,050-6,053 levels, as the price has struggled to break above this zone in the most recent sessions. If the index breaches this level with strong volume, it could lead to further upward movement. Conversely, failure to break out may lead to a pullback, with potential support around the 6,000 psychological level and 5,980, where consolidation occurred previously.
The candlestick patterns show relatively small wicks, indicating limited volatility, which could imply steady market confidence. However, the bullish rally could be overextended, warranting caution for traders, especially if any negative catalysts emerge.
In summary, the short-term trend is bullish, but traders should monitor resistance levels and volume for signs of a breakout or reversal. It’s also essential to watch broader market factors, as indices are often influenced by macroeconomic data and sentiment.
The post S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7% appeared first on FinanceBrokerage.
After a broad market review, Mary Ellen shares strategies for trading pull backs and breakouts in stocks. Highlights include a deep dive into ARK’s Innovation ETFs and their holdings, locating market strength in the process. Tune in for valuable insights and tips to help you make informed investment decisions!
This video originally premiered December 6, 2024. You can watch it on our dedicated page for Mary Ellen on StockCharts TV.
New videos from Mary Ellen premiere weekly on Fridays. You can view all previously recorded episodes at this link.
If you’re looking for stocks to invest in, be sure to check out the MEM Edge Report! This report gives you detailed information on the top sectors, industries and stocks so you can make informed investment decisions.
The first trading week in December started on a positive note, with the S&P 500 ($SPX) and Nasdaq Composite ($COMPQ) notching new all-time highs, while the Dow Jones Industrial Average ($INDU) pulled back slightly. Despite the small upmoves for most days, it wasn’t a quiet week.
Surprisingly, a flood of news from around the world didn’t impact equity performance much. The broader equity indexes continued their bullish trends despite South Korea briefly going under martial law, the collapse of the French government, Fed Chairman Jerome Powell’s speech, and the higher-than-expected jobs number.
The stock market’s tone is bullish, and volatility is low. The Cboe Volatility Index ($VIX) is now below 13.
This StockCharts MarketCarpets snapshot below shows the S&P 500’s weekly performance. The heavily weighted mega-cap stocks fared well, but the best weekly performer was American Airlines (AAL), with a 19.83% gain.
FIGURE 1. STOCKCHARTS MARKETCARPETS TOOL FOR DECEMBER 6. Mega-cap stocks performed well this week. American Airlines was the top performer for the week.Image source: StockCharts.com. For educational purposes.
One area to watch is the small caps. The S&P 600 Small Cap Index ($SML) broke above its trading range in early November. It then pulled back and bounced off its support level (see chart below).
FIGURE 2. DAILY CHART OF S&P 600 SMALL CAP INDEX ($SML). After breaking out of a trading range in early November, $SML pulled back and bounced off a support level. It then consolidated and broke below the consolidation range. Is it heading back to its support level?Chart source: StockCharts.com. For educational purposes.
Since November 25, the index consolidated and broke below the consolidation pattern. $SML could be on its way back to the support level between 1440 and 1450. Generally, small caps start rising mid-December and continue into the next year. This is known as the “January Effect,” so it’s likely that $SML will bounce off that support and move higher. The market breadth indicators for $SML—percentage of stocks trading above the 50-day moving average and the advances vs. decliners are also declining. I’ll be carefully watching the price action in the next few weeks.
Solid Week For Crypto
This week was a big one for cryptocurrencies. Bitcoin to US Dollar ($BTCUSD) closed above 100,000, a record close. The weekly chart below shows that $BTCUSD had a strong upward move after breaking out of its consolidation pattern from March to October.
FIGURE 3. BITCOIN SURGES. The cryptocurrency successfully closed above its 100,000 level on Friday.Chart source: StockCharts.com. For educational purposes.
The moving average convergence/divergence (MACD) is very bullish. The rise in cryptocurrency prices shows investors’ risk appetite is pretty strong.
In Other News
The broader equity indexes may have been moving up in dribs and drab,s but some stocks saw significant gains, mainly due to earnings.
Shares of Docusign (DOCU) rose on much better-than-expected earnings. Docusign’s stock price closed up by 27.86% on Friday. Lululemon Athletica, Inc. (LULU) is another stock that saw a 15.90% rise in its stock price on stellar earnings. Other retail and software companies, such as Amazon.com, Inc. (AMZN), International Business Machines (IBM), American Express Co. (AXP), and Home Depot (HD), saw significant percentage gains in Friday’s trading.
Next week, we get earnings from Adobe Systems, Inc. (ADBE), Broadcom Inc. (AVGO), Oracle Corp. (ORCL), and Costco (COST). All these stocks saw healthy gains this week. Although a big chunk of earnings is behind us, there are some exciting ones on deck.
Bond Blues in Rear-View Mirror?
Treasury yields declined while bond prices rose a little. The weekly chart of the iShares 20+Year Treasury Bond ETF (TLT) below shows TLT approaching its first resistance line. This happened before, which caught me off guard—a lesson learned. But now that bonds are creeping back up, I may give it another go.
FIGURE 4. DAILY CHART OF TLT. Bond prices are rising slowly but it may be a while before there are significant moves, given the low bond volatility.Chart source: StockCharts.com. For educational purposes.
Bond volatility is low, as seen by the ICE MOVE Index in the lower panel. This suggests that bond price movement may be small, so this time, I might wait until the next resistance level, just above $102, before I go long.
Next week is light on economic data, but we will get the November CPI and PPI. There’s also the December 18 Fed meeting. I’d wait for these events before making investment decisions on TLT.
According to the CME FedWatch Tool, the probability of a 25 basis point rate cut at the Fed meeting is around 85%. It’s more important to hear what the Fed says about interest rate cuts for 2025. If it’s different from what the market has priced in, that will have more of an impact on the market.
End-of-Week Wrap-Up
- S&P 500 up 0.96% for the week, at 6090.27, Dow Jones Industrial Average DOWN 0.60% for the week at 44,642.52; Nasdaq Composite up 3.34% for the week at 19,859.77
- $VIX down 5.48% for the week, closing at 12.77
- Best performing sector for the week: Consumer Discretionary
- Worst performing sector for the week: Energy
- Top 5 Large Cap SCTR stocks: Applovin Corp. (APP); Palantir Technologies (PLTR); Reddit Inc. (RDDT); MicroStrategy Inc. (MSTR); Axon Enterprise, Inc. (AXON)
On the Radar Next Week
- November Consumer Price Index (CPI)
- November Producer Price Index (PPI)
- 30-Year Mortgage Rate
- Earnings from Oracle (ORCL), Broadcom (AVGO), Adobe (ADBE), Costco (COST)
Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.
Tech stocks surged this week as US and Canadian jobs data bolstered interest rate cut expectations.
Apple (NASDAQ:AAPL) hit a new all-time high on Wednesday (December 4), closing at nearly US$244, while Super Micro Computer (NASDAQ:SMCI) hit a weekly high of US$45.21 after a clean financial audit on Tuesday (December 3).
Super Micro Computer also got an extension from the Nasdaq for filing its annual report on Form 10-K. The news sent the company’s share price up 10 percent after hours on Friday (December 6).
Meanwhile, Bitcoin’s rally past US$100,000 is igniting conversations about corporate investment in the cryptocurrency.
In the political sphere, Donald Trump continued to stock his cabinet, choosing Gail Slater to lead the US Department of Justice’s antitrust division. Slater previously served as a tech policy advisor to the National Economic Council during Trump’s first term, after spending 10 years as an attorney for the Federal Trade Commission. In her new role, Slater will oversee antitrust cases against big tech companies, ensuring fair competition and addressing monopolistic practices.
“Big Tech has run wild for years, stifling competition in our most innovative sector and, as we all know, using its market power to crack down on the rights of so many Americans, as well as those of Little Tech!” Trump said in a statement.
1. Bitcoin smashes through US$100,000 barrier
On the heels of its biggest one month gain in history, Bitcoin has gone on to attain a new milestone, surpassing the US$100,000 landmark and notching a new all-time high of US$103,670 on Thursday (December 5).
The cryptocurrency hit record highs against both gold and silver as well. CryptoQuant data also shows a drop in Bitcoin exchange reserves as investors shifted to self-custody.
Spot Bitcoin exchange-traded funds (ETFs) recorded US$3.3 billion in net inflows over four days, with BlackRock’s IBIT crossing US$50 billion in assets for the first time on Tuesday.
Bitcoin’s market capitalization is now just short of US$2 trillion, less than 16 years after its inception.
The moment happened at 02:30 UTC, hours after Trump nominated Paul Atkins as chair of the US Securities and Exchange Commission (SEC). He will replace Gary Gensler after he steps down on January 20.
Atkins has also previously advised the Reserve Rights Foundation, the entity behind the RSR token, and is recognized for his balanced regulatory approach and deep understanding of securities law. A research report by CitiBank cites a combination of political and economic components as reasons for the rapid ascent.
Bitcoin performance, November 30 to December 6, 2024.
Chart via CoinDesk.
Leading up to the announcement, reports emerged that Trump is considering crypto-friendly Perianne Boring and Caroline Pham to chair the Commodity Futures Trading Commission.
Last week, Fox Business reported that the Trump administration was planning to extend crypto jurisdiction to the US indicating that digital assets will be regulated as commodities.
Some analysts also partly attributed the surge to comments from Federal Reserve Chair Jerome Powell. He said on Wednesday that the cryptocurrency is more like gold than the US dollar.
Signs of a pullback also emerged for Bitcoin soon after its rise, and it plunged to below US$92,000 on Thursday afternoon with no obvious explanation. Ether, Solana, DOGE and XRP also saw losses.
Bitcoin’s recovered almost immediately, and it broached US$102,000 on Friday afternoon following jobs data that points to a higher likelihood of an interest rate cut after the next Fed meeting. However, crypto analysts like CoinDesk’s Omar Godbole have cautioned against impulsive decisions based solely on short-term price movements. Highly volatile price movements have brought the crypto Fear & Greed Index down to 72 from a high of 84 on Thursday.
Adding to market confusion, Fox Business’ Eleanor Terrett reported that the SEC will not approve any new crypto ETFs under the Biden administration, effectively rejecting two spot Solana ETF hopefuls. Meanwhile, Trump announced the appointment of David Sacks to the new role of White House AI and Crypto Czar via Truth Social post as prominent bankers dismissed Trump’s plan to establish a Bitcoin reserve as a “bad deal” and “crazy.’
2. Bitcoin rush spurs altcoin interest
While Bitcoin grabbed the headlines, altcoins have also experienced a rush of interest. Ethereum showed a particularly strong performance this week, with reports highlighting increased activity and investor confidence.
Its value surpassed US$4,000 just after the markets opened on Friday morning and reached an intraday high of US$4,089 in the final 30 minutes of trading. Research from Steno and Bernstein indicates a rise in transactional revenue on the Ethereum blockchain, driven by a surge in Ether activity and growing inflows to spot Ether ETFs.
Experts suggest this points to a potential end to Ether’s period of underperformance, particularly with the expectation of regulatory changes under the new administration that could further incentivize staking.
The Bernstein report notes that Ether’s supply has remained steady at 120 million tokens since its transition to a proof-of-stake consensus mechanism. Notably, around 40 percent of Ether’s supply is either staked or locked in DeFi protocols, and almost 60 percent hasn’t been traded in the last 12 months, indicating ‘HODLing’ behavior among investors and contributing to a degree of scarcity, further bolstering Ethereum’s long-term value proposition.
Ether price, November 30 to December 6, 2024.
Chart via CoinDesk
CoinDesk has also highlighted a pattern in Ether’s price chart that mirrors a pattern observed before Bitcoin’s significant rally last month. XRP’s price also saw a temporary increase driven by memecoin activity and trading on decentralized exchanges. Speculation about the SEC dropping its lawsuit against Ripple Labs and the potential approval of Ripple’s stablecoin, RLUSD, helped extend the rally on Tuesday.
3. MicroStrategy urges corporate investment in Bitcoin
MicroStrategy (NASDAQ:MSTR) shares received a nearly 12 percent boost mid-week, and the company’s Bitcoin holdings appear to be contributing to its positive momentum. The company is up 0.27 percent for the week.
The analytics company has been accumulating Bitcoin, scooping up US$1.5 billion worth of the currency between November 25 and December 2. Its most recent purchase brings the company’s total holdings to 402,100 coins.
CEO Michael Saylor has been a vocal advocate for Bitcoin since at least 2020, when the company made its first purchase. This week, Saylor said he gave a short presentation to Microsoft’s (NASDAQ:MSFT) board, suggesting the company add Bitcoin to its portfolio instead of conducting stock buybacks or issuing dividends.
Saylor was speaking on behalf of the Free Enterprise Project, the shareholder activism arm of the National Center for Public Policy Research (NCPPR). The NCPPR argues that Microsoft is risking shareholder value in the face of sticky inflation by “ignoring” Bitcoin’s potential as a strategic investment.
“Bitcoin is an excellent, if not the best, hedge against inflation,” the NCPPR claims in a statement, suggesting that mega-cap companies evaluate the benefits of allotting 1 percent of their total assets to the cryptocurrency.
Microsoft has urged its board members to vote against the proposal, dubbed Proposal 5 in a proxy statement released ahead of the board’s upcoming meeting on December 10. It remains to be seen how the board will vote, but MicroStrategy’s recent success and Saylor’s ongoing advocacy for Bitcoin could signal a shift in how major corporations view the cryptocurrency. While Microsoft’s stance is currently cautious, the pressure from the NCPPR and the example set by MicroStrategy may encourage other companies to reconsider their position on Bitcoin as a potential investment.
4. Intel CEO Geslinger forced to retire
Intel (NASDAQ:INTC) CEO Pat Geslinger announced his retirement on Monday (December 2) morning, providing a brief boost to the company’s share price at the opening bell.
Reports indicate that the company’s board gave him an ultimatum: retire or be removed. The decision perhaps comes as no surprise; Intel’s share price has plummeted over 50 percent year-to-date, and the firm is lagging behind its peers in terms of advanced chip manufacturing technology and market share in key areas like artificial intelligence (AI) and data centers, despite being the largest recipient of funds allocated to the Chips and Science Act.
The initial optimism surrounding Gelsinger’s departure was short-lived, and the company’s share price was down over 15 percent for the week at Friday’s closing bell. Intel’s CFO David Zinsner and executive vice president Michelle Johnston Holthaus are serving as interim co-CEOs while the board searches for Gelsinger’s replacement.
5. GenAI central to Amazon’s re:Invent conference
The Amazon re:Invent 2024 conference, held this week in Las Vegas, Nevada, showcased Amazon’s (NASDAQ:AMZN) cloud innovations with a major focus on generative AI.
The company revealed added tools for building and deploying AI to Amazon Bedrock, including a marketplace for foundation models like those in the new Amazon Nova family, and features to improve accuracy and safety. Amazon also highlighted advancements to SageMaker, simplifying data management and analysis.
Further announcements included new energy-efficient data center technologies, such as enhanced cooling systems, the use of renewable diesel for backup power and a redesigned server rack layout to minimize unused power. Some of these components are already in use, while others will be implemented in future data centers. Additionally, AWS is adopting liquid cooling systems to effectively manage the heat generated by high-performance chips, particularly those from Nvidia, which cannot be adequately cooled using traditional fan-based methods.
The company also disclosed new and expanded partnership agreements, including a major deal with Oracle that will see the company run its databases on AWS, integrations with companies SAP and Adobe to improve their services using AWS’s cloud, a deeper collaboration with GitLab to infuse AI into the software development process and a partnership to launch digital twin-powered integrated airport operations command center on AWS.
Finally, AWS also introduced Project Rainier, a massive supercomputer powered by hundreds of thousands of its custom-designed Trainium2 chips. Designed to train advanced AI models, the “ultracluster” is purpose-built for training the next generation of AI models in collaboration with Anthropic. AWS also announced the general availability of Trainium2, making this powerful technology accessible to all its customers, a move that has the potential to significantly shift the landscape of AI chip development, currently dominated by NVIDIA (NASDAQ:NVDA).
Seeking Alpha also reported this week that Amazon is in talks with news publishers about licensing their content to develop a smarter version of Alexa that leverages generative AI to deliver customized responses to real-time news queries from users. The launch of this enhanced Alexa is planned for next year.
Amazon stock closed up over 8 percent for the week.
Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.
This post appeared first on investingnews.com