📈 Bitcoin Blazes Toward $90K

Good morning.

⚡ The Fast Five → Southwest offer workers buyout, 1.4M Honda engines fail, 23andMe slashes 40% of workforce, IAC to spinoff Angi, Bitcoin's bull run

🔎 Market Trends → Trump-linked stocks help push indexes to record highs; US Futures Flat After Positive Session

And now…

⏱️ Your 5-minute briefing for Tuesday, November 12, 2024:

MARKET BRIEF
Before the Open

Pre-Market

Fear & Greed

Markets in Review

Dow Tops 44,000; S&P 500 Hits 6,000 as Tesla Powers Up

The Dow closed above 44,000 for the first time, climbing 0.7% to 44,293.1, while the S&P 500 edged up 0.1% to 6,001.4. The Nasdaq also saw a modest 0.1% rise to 19,298.8. Markets are rallying as investors digest Donald Trump’s election victory and await critical inflation data and earnings reports later this week.

The Big Picture:

With Trump’s return to the White House, investors are bullish, particularly in consumer discretionary stocks, which led gains today. As earnings season continues, key sectors—like technology and consumer goods—are setting the tone for market sentiment. Meanwhile, energy prices remain volatile: West Texas Intermediate crude slid 3.1% to $68.17/barrel as storm threats diminished, and gold dropped 2.4% to $2,629.80/ounce.

Key inflation data expected this week could shift the mood. Analysts anticipate October's consumer inflation rose 0.2% monthly and 2.4% year-over-year. Core inflation, which omits food and energy, is projected at 0.3%—reflecting temporary upticks in auto prices from recent hurricanes and a rebound in housing costs.

Market Movers:

• Tesla (TSLA) surged 9%, benefiting from expectations that Trump's policies could accelerate AI development in the EV space, per a note from Wedbush Securities.

• Cigna (CI) rose 7.3% after clarifying it won’t pursue a merger with Humana (HUM), focusing on its earnings targets instead. Humana shares dipped 2%.

• Salesforce (CRM) led the Dow with a 6.1% jump as Jefferies upped its target price to $400 on a continued buy rating.

• AbbVie (ABBV) slumped 13% after its phase 2 trials for emraclidine in schizophrenia patients missed key outcomes, marking the day’s second-biggest S&P 500 decline.

What They’re Saying:

“Short-term inflation data may reflect ‘noise’ from unusual factors, like recent hurricanes impacting auto prices,” Morgan Stanley noted, hinting that core inflation spikes could be temporary.

WHAT WE’RE WATCHING
Events

• Wed. Nov. 13: Bureau of Labor Statistics - Consumer Price Index - 8:30am

• Why You Should Care: Consumer prices account for a majority of overall inflation. Inflation is important to currency valuation because rising prices lead the central bank to raise interest rates out of respect for their inflation containment mandate.

Earnings Reports

• Today: Home Depot, Astrazeneca, Shopify, Spotify, Tyson Foods

• Tomorrow: Cisco, Nu Holdings, Tetra Tech

MARKET BRIEF
Leading News

Bitcoin Blazes Toward $90K: Is Six Figures Next?

Why it matters:

With Bitcoin ($BTC) eyeing $90,000 for the first time, the cryptocurrency market is electrified by bullish momentum, driven by renewed regulatory optimism and strong institutional buy-in.

Zoom Out:

Bitcoin’s meteoric rise past $80,000 has investors and analysts buzzing about a possible sprint to $100,000. This growth spurt follows President-elect Donald Trump’s pro-crypto stance, which has created a fresh sense of regulatory security. The once murky crypto landscape now has a clear path forward, attracting more institutional investors and enhancing Bitcoin’s “digital gold” status in uncertain times.

The U.S. crypto sector has long struggled under inconsistent regulations, with assets like Bitcoin typically in a gray area. Trump's regulatory clarity promise is removing barriers, sparking an upswing across digital assets.

This market optimism isn't just about Bitcoin. Altcoins like Ethereum ($ETH), XRP, and Polygon are riding the wave, up 5-38%, as enthusiasm trickles down.

Deep Dive:

• Price Discovery Mode: Bitcoin has broken past all previous highs, now operating in uncharted territory, with analysts like Mike Colonnese expecting a six-figure target in the short term.

• Institutional Inflows: Large-scale buyers are reinforcing Bitcoin’s position as a safe haven asset, a factor that could stabilize prices even if minor pullbacks occur.

• Altcoin Rally: Alongside Bitcoin, Coinbase ($COIN) and MicroStrategy ($MSTR) have seen share gains in extended trading, reflecting investor confidence in crypto-exposed stocks.

Market Pulse:

“We’re now in a positive regulatory environment,” says Matt Hougan, CIO at Bitwise. “That’s going to push us higher…we’re right to be bullish, and the bias is still on the upside.”

Bull’s Take:

Expect continued momentum as Bitcoin edges closer to $90K. With fresh regulatory support and institutional backing, the path to $100,000 seems more plausible. Crypto investors looking to ride this wave should brace for volatility but can remain optimistic about long-term gains.

Headlines

• Southwest is offering buyouts to airport workers and blaming Boeing for the job cuts (link)

• Mattel says it 'deeply' regrets misprint on 'Wicked' dolls packaging that links to porn site (link)

• Resolute Mining CEO Detained In Mali, Shares Crater (link)

• Engines on 1.4 million Honda vehicles might fail, so US regulators open investigation (link)

• 23andMe to slash 40% of its workforce, end therapeutics program to cut costs (link)

• IAC exploring spinoff of home improvement marketplace Angi (link)

CRYPTO
Fear & Greed

Headlines

• FTX sues crypto exchange Binance and its former CEO Zhao for $1.8 billion (link)

• What the crypto industry wants from the next government (link)

• Microstrategy stock hits new all-time high of over $340 following historic bitcoin rally (link)

DAILY SHARE
On the Socials