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Big week for inflation, earnings and crude – Today, China & Commodities

MONDAY MARKET UPDATE
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Big week for inflation, earnings and crude – Today, China & Commodities

MONDAY MARKET UPDATE

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Good Morning Everyone!

Remember bear markets are just a pit stop on the way to new highs.

MARKET UPDATE

Big week

  • Monday, Tuesday  Quiet 

  • Wednesday             CPI inflation data, the street is at 8.8% headline, peak inflation?

  • Thursday                  JP Morgan reports Q2 earnings

  • Wed/Thurs              Biden visits Saudi Arabia

US$      107.6   New High Highest Since 2003

C$        76

Crude  101      -3.5%

Commodity/Crude markets focused on China

  • Highly infectious BA.5 sub variant’s impact on China

  • Macau shut for a week, July 11-18), first closer since 2020, may last longer

  • Potential for Shanghai and some manufacturing provinces (Anhui/Jiangsu) to shut

  • Crude              -2%+

  • Steel Rebar     -3%

  • Iron Ore          -3%

Twitter

  • It’s official, this deal is heading to court

Auto loans are getting expensive

  • WSJ reported the average monthly payment for a new car loan hits an all-time high of $686/month in June

  • Auto stocks have been getting hammered

  • stock price has been cut in half since the beginning of the year

GRIT STOCK:

Amazon

  • Valuation is 100% AWS and 0% for retail

  • As of June 30, 2022, Amazon had 172 million Prime members

  • Amazon put through a $20 increase in February

  • Bloomberg reporting today that Prime membership growth has stalled

  • This is like Netflix membership growth stalling BUT the Market is not paying anything for retail

CRYPTO UPDATE

G20 Finance Stability Board (FSB)

  • FSB called for new global rules for crypto this morning

  • Will submit report in October on regulatory & supervisory approaches to stablecoins, other crypto assets

Ethereum sees 3rd consecutive week of inflows

  • ETH had previously experienced an 11-week outflows streak

  • Increasing probability of “The Merge”

    • “The Merge” moves Ethereum from Proof-of-Work → Proof-of-Stake

Bitcoin remains rangebound

  • Fear & Greed Index is starting to improve, off Extreme Fear bottoms and back up to May levels

  • But still below its 200-week average

  • What used to be a tight correlation with the Nasdaq has faded – will the gap be filled? Which way?

Bitcoin on sale?

MEME OF THE DAY

Which tickers are driving the conversation on Reddit?

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Disclaimer:The publisher does not guarantee the accuracy or completeness of the information provided in this page.  All statements and expressions herein are the sole opinion of the author or paid advertiser.

Grit Capital Corporation is a publisher of financial information, not an investment advisor.  We do not provide personalized or individualized investment advice or information that is tailored to the needs of any particular recipient.  

THE INFORMATION CONTAINED ON THIS WEBSITE IS NOT AND SHOULD NOT BE CONSTRUED AS INVESTMENT ADVICE, AND DOES NOT PURPORT TO BE AND DOES NOT EXPRESS ANY OPINION AS TO THE PRICE AT WHICH THE SECURITIES OF ANY COMPANY MAY TRADE AT ANY TIME.  THE INFORMATION AND OPINIONS PROVIDED HEREIN SHOULD NOT BE TAKEN AS SPECIFIC ADVICE ON THE MERITS OF ANY INVESTMENT DECISION.  INVESTORS SHOULD MAKE THEIR OWN INVESTIGATION AND DECISIONS REGARDING THE PROSPECTS OF ANY COMPANY DISCUSSED HEREIN BASED ON SUCH INVESTORS’ OWN REVIEW OF PUBLICLY AVAILABLE INFORMATION AND SHOULD NOT RELY ON THE INFORMATION CONTAINED HEREIN.

No statement or expression of opinion, or any other matter herein, directly or indirectly, is an offer or the solicitation of an offer to buy or sell the securities or financial instruments mentioned.  

Any projections, market outlooks or estimates herein are forward looking statements and are inherently unreliable.  They are based upon certain assumptions and should not be construed to be indicative of the actual events that will occur.  Other events that were not taken into account may occur and may significantly affect the returns or performance of the securities discussed herein.  The information provided herein is based on matters as they exist as of the date of preparation and not as of any future date, and the publisher undertakes no obligation to correct, update or revise the information in this document or to otherwise provide any additional material.

The publisher, its affiliates, and clients of the a publisher or its affiliates may currently have long or short positions in the securities of the companies mentioned herein, or may have such a position in the future (and therefore may profit from fluctuations in the trading price of the securities).  To the extent such persons do have such positions, there is no guarantee that such persons will maintain such positions.

Neither the publisher nor any of its affiliates accepts any liability whatsoever for any direct or consequential loss howsoever arising, directly or indirectly, from any use of the information contained herein.

By using the Site or any affiliated social media account, you are indicating your consent and agreement to this disclaimer and our terms of use. Unauthorized reproduction of this newsletter or its contents by photocopy, facsimile or any other means is illegal and punishable by law.

For Full Terms of Use Click HERE. For the Privacy Policy Click HERE.

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