In a week bustling with financial updates, major assets like Gold and EUR/USD are drawing attention with their price movements. Earnings reports from tech giants like Snap Inc., Alphabet, and Meta are making waves, while Bitcoin's flirtation with the $35,000 mark signals new all-time highs for the cryptocurrency.
Stay tuned for deeper dives into these stories and more ⬇️
Historical earnings moves cheat sheet for this week
This week is important for earnings reports. Snap Inc. ($SNAP) has seen its earnings go down for six quarters in a row. The biggest changes in its price after earnings in the past five years were a jump of 44% and a drop of 35%. On the other hand, some companies like McDonald's ($MCD) and Exxon ($XOM) don't see big changes around their earnings times. McDonald's has small changes around 1.9%, and Exxon's price changes are around 1.6%.
Two big tech companies, Alphabet and Meta, had really good earnings reports this week. They did better than what most people thought. But, the stock market, Nasdaq, still went down by about 3% in two days. This shows that the stock market can be hard to predict.
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Bitcoin hits triple all-time highs simultaneously as Bitcoin teases $35,000
Bitcoin, the digital currency that has sparked countless debates, discussions, and headlines over the past decade, recently witnessed another significant price surge, pushing its value past the $35,000 mark. This recent uptrend wasn’t just another inexplicable rise; it was notably linked to the anticipation and subsequent developments surrounding a specific Bitcoin ETF.
ETFs or exchange-traded funds are investment funds traded on stock exchanges, similar to stocks. A Bitcoin ETF would allow investors to gain exposure to Bitcoin without owning the underlying asset directly.
The sudden spike in Bitcoin’s price, which briefly touched $35.200 as soon as the DTCC listing of IBTC i.e. name of Blackrock’s Bitcoin ETF.
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Gold extends its upside near the $2,000 barrier
Gold is hovering just below $2,000, currently at $1,980 as of early Friday. The precious metal faced volatility, with global markets assessing potential Japanese FX interventions, robust US GDP figures, ongoing Middle East tensions, and positive Amazon earnings.
A sustained move beyond the $2,000 threshold on a weekly closing basis could signal further upside. Despite signs of a robust US economy supporting the Fed's stance on prolonged higher interest rates, both the US Dollar and Treasury bond yields remained unresponsive.
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EUR/USD remains on the defensive, holds above mid-1.0500s
The EUR/USD hasn't moved up much from its recent low point around 1.0520. For four days, it's been slightly down but still above the mid-1.0500s. The European Central Bank (ECB) seems to be cautious, while the US Dollar hasn't gained from good US growth numbers. The ECB has kept its rates the same, the first time it's done this since mid-2022. With slowing inflation and worries about the Eurozone's economy, experts believe rates might not go higher than 4.00% for now.
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This concludes our weekly recap. Have a great weekend and see you next week! 👋
