It’s Sunday … you know what that means: it’s Weekend Rip time!
For the second week in a row, there was little reprieve in both crypto and equities world. Indexes were all in the red this week… and large-cap cryptos fell over 10% as the week closed.
The Nasdaq Composite and Russell 2000 were a near tie-breaker for “the worst index of the week.” The Russell fell 3.98%, but the Nasdaq eeked out a slightly more-impressive 4.03% loss. I guess that means that the Russell gets a week off from being “the worst index.”
With that, the S&P 500 is squarely ahead of all the other major indexes. It’s up 20.8% YTD. We’re actually curious to know… are you beating America’s best index this year? Let us know in our Twitter poll (we won’t tell anyone, we swear.)
TBH, it probably was an even worse week if you’re in crypto. $BTC.X fell 13% this week, $ADA.X dipped 14.5%, and $DOT.X lost 21.1% this week. In fact, only two top cryptos rose by double-digits this week: $LUNA.X (+35.1%) and $MATIC.X (+21.7%).
Double-digit losses in the cryptoverse aren’t all that foreign to its maxis, though. Rest assured, some cryptos battened down the hatches and stayed strong in the face of adversity. $ETH.X fell just 3% and $SOL.X fell just 4%.
Here are the closing prices:
Bullets from the Week
Didi delists. Just as investors thought China’s wrath was behind them, rideshare service Didi announced its intention to delist from the New York Stock Exchange. It’s an event which will likely reverberate through U.S-listed Chinese equities. The stock fell 22.8% this trading week. The “Uber of China” is expected to re-list on the Hong Kong stock exchange. Read more in the 12/3 edition of The Daily Rip.
Jobs report puzzles investors. In November, private payrolls increased by 235,000 — way less than the 500,000 consensus from Briefing.com. However, the survey of households showed much greater job growth: 1.13 million new jobs. With that and the revision to past months’ payroll figures, the unemployment rate sank to 4.2% (below the 4.5% consensus.) Restaurants struggled to attract employees, as the majority of new hires came from the professional & business services and transportation & warehousing industries. Read more in Axios.
Crypto rises, dips, and rises once more. The crypto market fell on concerns of Omicron, before climbing to new heights. Going into the weekend, major coins fell as high as 20%. And then… it rose once more. However, that doesn’t mean that the FUD is gone. Bitcoin and Ethereum are still well below where they were during Friday’s edition of Stocktwits’ crypto newsletter. Read the 12/3 edition of The Litepaper.
Fintech leads fastest growing brands. The Morning Consult’s new “Fastest Growing Brands 2021” list has some surprising winners: Paramount+, YouTube Shorts, Pluto TV, Universal Orlando, and Telegram Messenger to name a few. However, one thing that is obvious in this list: fintech’s rapid expansion in 2021. Among the list’s winners are Coinbase, Cash App, Afterpay, Chime, and Bitcoin (that’s a brand?). Read Morning Consult’s fintech report.
OPEC+ on Omicron: business as usual. In spite of concerns about Covid-19’s latest sequel, Saudi Arabia decided to raise oil prices for buyers in the U.S. and Asia this week. It implies that Saudi Arabia, and its friends in OPEC, don’t see Omicron as any more than a passing fad. Oil leaders were especially hard-hit when the pandemic began, and they’re unlikely to sidestep opportunities to make up for over a year of weaker-than-expected demand (especially given that EVs pose a near-to-mid-term threat to their energy hegemony.) Read more in Bloomberg.
Biotech’s big haircut. Scrappy retail investors and big money managers alike can shake hands on one thing: losing money in biotech. It’s the worst-performing S&P sector of 2021. The SPDR Biotech ETF is down 22.3% YTD. The losses come after a meteoric few years for biotechs, but with its breakthrough into the mainstream, biotech has come down with a mean hangover. Historically, these big selloffs have preceded big gains, but some fund managers are down bad. Read more in The Wall Street Journal.
Turkey’s central bank intervenes amid freefall. The Turkish lira has been in rapid decline against the U.S. Dollar (USD) for the last few weeks. This week, Turkey’s central bank intervened two times to soften the rapid debasement of its currency by selling some of its U.S. dollar reserves. Hasn’t Turkey ever heard of “holding your winners?” Turkish President Recep Tayyip Erdogan insists that his administration’s monetary policy is a matter of “financial independence.” Unfortunately, that desire for independence has the lira down 45% against the USD this year. Read more in Al Jazeera.
Steve Cohen backs startup banking on 24-hour stock trading. Steve Cohen’s Point72 Ventures has invested in 24 Exchange, a Bermuda-based crypto & foreign exchange platform. Among 24 Exchange’s most ambitious goals: to bring 24/7 trading to the stock market. Read more in CNBC.
Want To Keep Your 2021 Gains? Do This Before December 31st.
Did you know that there are now very savvy ways to keep more of your cap gains (and put them to work) while turning the tax man away for years?
If you are facing a hefty tax bill on gains from the sale of a business, stock, BTC, real estate, or other investments, investing in a Qualified Opportunity Zone Fund (QOF) can unlock these benefits:
- Defer taxes on cap gains until the end of 2026.
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Learn how it works –> Grab “The Accredited Investor’s Guide To Opportunity Zone Investing”
Here’s a brief for the week of Monday, Dec. 6, 2021:
12/8 EIA Crude Oil Inventories (10:30 AM ET)
12/9 Initial & Continuing Claims (8:30 AM ET)
12/10 CPI (8:30 AM ET)
Peep the full Economic Calendar provided by Briefing for all the reports this week.
Here’s what to expect in earnings this week:
For more information on stocks that are reporting (and what our community is watching), check out the Stocktwits earnings calendar.
Links That Don’t Suck:
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