Welcome to 10 Things Before the Opening Bell.
Let’s get into it.
1. Bitcoin is back in focus, slipping back below $US38,000 ($AU51,474). Amazon has quashed chatter about it potentially adding crypto to its payment options. The company gave us the low-down on what it’s looking at right now.
2. Cathie Wood’s Ark Invest is shedding Chinese stocks fast amid regulatory crackdowns. The firm has sold its entire position of Tencent, and continues selling shares of other Chinese companies. The move comes in light of escalating regulatory crackdowns from Beijing.
3. Investors pay thousands to see the stocks Jim Osman’s puts on his buy list. Osman’s firm provides investing recommendations for over 200 money managers. He says these three stocks are set to soar ‘at least 50%.’
4. Earnings on deck: Apple, Microsoft, Alphabet, Visa, and Starbucks all reporting.
5. Stick to stocks, Oppenheimer says. Low interest rates, strong earnings, and improving market fundamentals should compel investors to keep buying stocks. On top of all that, there’s little competition given that the 10-year US Treasury yield is at 1.2%.
6. The SEC says US-listed Chinese companies must disclose risks – or else. The SEC Commissioner said that companies that fail to share potential risks or Chinese government involvement could be breaking the law. Chinese IPOs like Didi have plummeted.
7. Bitcoin could surge at least 30% higher according to one analyst. Its 50-day moving average represents a key technical resistance level – and it just cleared it this weekend. Bitcoin is primed to make more gains ahead.
8. Tesla’s got new competition: Lucid Motors spikes 20% in public debut as the latest EV company to enter the market. The CEO believes the upstart brand is well positioned to compete with Tesla.
9. Stocks are still being shorted heavily – and some are especially primed for a squeeze. Data provider Fintel identified five heavily shorted stocks, including Exela Technologies, which recently achieved meme stock status. See the full list of five shorted stocks here.
10. Watch out for risky tech: Baird’s top tech strategist says the strong earnings season makes the tech space remind him of the dot-com era. Despite bullish sentiment for tech analysts, the strategist warned against risky bets – and he gave three strategies to protect against catastrophe.
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