Sports Friday everyone! Issue 258
The main stock market of our planet continued to decline at a ratehave already grown up, which of course cannot help butalarm. Bidders are looking ahead to today's jobs data, which is still expected to be moderate compared to last time's record. According to one Wall Street analyst, any confirmation that the past huge job numbers were not an anomaly will cause further concern in the market about the Fed's response, which could consequently push down the stock even further. Conversely, crappy employment data can support the stock market; according to the model that has often worked, bad news is good news. It is worth noting that now investors have at least switched to bonds, that is, they have decided to wait out the fall in stocks by shifting to bonds, because the yield on treasuries has started to decline. But that's where the positives end, as the VIX volatility index, or fear index, posted its strongest one-day rise in recent memory yesterday and is now back in the worrying zone above 22 points.
But the main fall and a serious fakap came yesterdayfrom the banking sector. According to our American special correspondent Seryoga, SIVB, which finances startups, began urgently attracting additional funding to support its extremely deplorable balance sheet. This happened because some startups plant money in considerable quantities (that's why they are startups), while others, against this background, decided to drastically withdraw their investments. So, the SIVB stock fell by 60% yesterday, but this seems to be only the beginning of the end, because in the postmarket the stock has lost another 20%, but there is still room for it to fall. The entire banking sector looked deplorable yesterday. For example, First Rebublic Bank FRC, despite the fact that 7 billion dollars was transferred to it, on the contrary, also sank by as much as 16%. Signature bank also lost a lot of weight by 12% after its partner, the infamous Silvergate crypto bank, announced a voluntary liquidation, which was also to be expected. SI in addition to the recent collapse yesterday collapsed another 42%. Against this background, let me remind you of a very important point, that what has fallen a lot can fall even lower, because it happened for a reason. It also works in reverse.
In fact, the banking sector filed yesterdayquite a wake-up call. Because First of all, not a single bank in the world will stand if everyone runs and takes their money from it. To do this, the Central Bank always carefully monitors the liquidity in the system and strictly regulates banks in the form of reserve ratios and so on. And secondly, this can lead to very dire consequences, because if one bank collapses, then others can begin to take shape along the chain, which will ultimately lead to a serious debt crisis, which many analysts have already warned about. But on the positive side, in such a case, the Fed can succumb to political pressure and save the system by flooding it with money again and lowering the rate, thereby postponing the problem for the future.
The dollar index corrected slightly, but it looks likestill ready to continue growing, especially in the current nervous environment, much will depend on today's data, but futures for US indices are now in the negative zone. And while everything goes to the fact that they will close this week in the red, and even under key levels, which of course is a negative signal. Chests of drawers win back the general negative and also fall down. Oil sank heavily, while maintaining the negative, today it may try to test $80. Well, gas is also gradually decreasing and may go towards a recent low.
The Chinese stock market also continued to decline,following the world's negativity. The Shanghai index and Hang Seng have fallen below their support levels, so the continuation of UPtrenda is now postponed and its next possible stop is around 19,000 points, or even 18,000. Even Bitcoin fell again below the psychological level of $20k, recalling that when there is anxiety in the world, almost everything, both gold and crypto, falls, and there are no protective assets.
The sun is increasingly visible on the street, although it is frostyIn some places he’s also kind, but the main thing is that the weekend starts today!!! I wish you to recharge yourself properly on them! Everyone relax, enjoy life, yourself and please your loved ones! Peace Yo everyone!
