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On January 10th, a research report from Founder Securities stated that the December non-farm payroll data was mixed, with the US job market generally showing a mild downward trend, but the unemployment rate showed marginal improvement, giving the Federal Reserve more reason to wait and see in January. Combined with the Supreme Courts potential declaration that the IEEPA tariffs are unconstitutional, this may be a short-term positive for US stocks and the US dollar, but a negative for US Treasuries. Data on new jobs, job openings, and hourly wage growth indicate that the US job market remained relatively weak in December, but the marginal decline in the unemployment rate was one of the few bright spots. Looking at interest rate futures and US Treasuries, the market priced in a no-rate-cut by the Fed in January, with a possible rate cut as early as June. Meanwhile, the Supreme Courts potential declaration that the IEEPA tariffs are unconstitutional means that economic expectations may improve marginally, inflationary pressures may weaken, but the fiscal deficit may worsen. With the Fed in no hurry to cut rates and tariffs easing, US Treasuries face many unfavorable factors in the short term and are likely to remain at high levels. US stocks will benefit from the AI boom and reduced tariff disruptions, especially in sectors affected by tariffs such as consumer staples and industry, which are more resilient.January 10 - According to the UN Security Council schedule, the Security Council will hold an emergency meeting on the situation in Ukraine on January 12.On January 10th, Xiaomi Auto released a statement in response to netizens questions, stating that the new generation SU7 will be equipped with the Xiaomi Super Motor V6s Plus across the entire series. In addition to the motor being jointly supplied by United Electric and Inovance Technology, Xiaomi will also introduce its own self-developed and self-produced V6s Plus Super Motor in the future to further improve production efficiency and shorten delivery cycles.On January 10th, Chen Jianye, Secretary of the Party Leadership Group and Director of the Fujian Provincial Department of Industry and Information Technology, stated that the next step will be to accelerate the digital transformation of the manufacturing industry, enhance its green foundation, and promote the transformation of industries towards "new" and "green." This includes: Deepening the implementation of the "Nine Major Actions" for comprehensive digital empowerment of industrial manufacturing; adhering to the principle of enterprise-led development, strengthening government guidance, and leveraging the role of service providers to create more transformation benchmarks, promote chain-based transformation and overall transformation, and accelerate the large-scale application of digital technologies in the manufacturing industry; Deepening and expanding "Artificial Intelligence +"; making good use of the new round of incremental policies for artificial intelligence, supporting the cultivation of industry-specific models and intelligent agents, accelerating industry adaptation and scenario expansion, and promoting the empowerment of various industries by artificial intelligence; guiding the differentiated and characteristic development of the Fuzhou-Xiamen-Quanzhou provincial-level artificial intelligence industrial parks; and carrying out in-depth energy conservation and carbon reduction special actions; closely monitoring national carbon assessment requirements, and implementing energy conservation reviews and carbon emission assessments for "high energy consumption and high pollution" projects in the industrial sector; building Fujians green advantages in manufacturing, cultivating more national and provincial-level green parks and enterprises, and promoting the construction of a number of zero-carbon parks and factories.The Consumer Bankers Association: We look forward to working with the government to ensure that Americans have access to the credit they need.

Block shares slip after crypto winter dampens quarterly results

Skylar Shaw

Aug 08, 2022 14:39

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In premarket trading on Friday, shares of Jack Dorsey-led Block Inc, a digital payments startup that has made a significant bet on bitcoin, fell by roughly 7% after the business revealed a loss in quarterly profits due to dwindling interest in cryptocurrencies.


By 6:20 a.m. ET, the corporation, which is situated in San Francisco, California, had lost approximately $3.5 billion in market value. This year, the stock has decreased by more than 44%.


Block announced Thursday that it has halted recruiting and would lower its 2022 investment objective by $250 million. Block recorded a loss of 36 cents per share in the second quarter, compared to a profit of 40 cents last year.


The JPMorgan analysts said in a report that "the move of lowering expenditure shows SQ is prepping for possibly slower growth."


The brokerage, noting underlying profits potential from its purchase now, pay later business, which generated $150 million in gross profit in the quarter, maintained its "overweight" rating and $107 price objective for the company, however.


Investor interest in bitcoin and other digital currencies has waned this year as riskier assets have been sold off as a result of sizzling inflation and the Federal Reserve's tightening of monetary policy.


Companies like Block, who profited last year from the bitcoin mania by riding its wave, have been harmed by this.


Block's gross profit from bitcoin fell by 24 percent to $41 million in the quarter from $55 million a year earlier, or what the business makes from the margin on buying and selling the cryptocurrency.


In the eight trading sessions before to the publication, shares had increased by approximately 35%. According to analysts at BTIG, "the business probably would have needed to provide a fairly faultless report in order for that increase to continue.


However, Jefferies and RBC Capital Markets increased their price targets, stating that Block's choice to reduce expenses would provide it a great advantage in navigating a challenging economic climate.