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Here’s what you need to know before markets open.
1. Fed Chair Jerome Powell: central bank digital currencies must coexist with cash and other forms of money. The pandemic has highlighted the limitations of the current payment system, but collaboration is required to improve it, he said.
2. US stock futures rose sharply and bond yields fell after sharp tech sell-off. Stock market weakness has spread to Asia.
3. Robinhood to extend its crypto trading operations. CEO Vlad Tenev plans to hire “a ton” of people and “make a huge investment”.
4. Penny-stock retail volume has blown up. The surge of retail investing caused a 2,000% increase over the past year.
5. The SEC crypto commissioner admitted the agency had dug itself in “a bit of a hole”. Its refusal to approve a bitcoin ETF is creating challenges.
6. Earnings expected. Watch out for CITIC Securities, HEICO and Sinopharm.
7. On the economic calendar. Canadian retail sales are out and the Bank of Japan has spoken to the press.
8. JPMorgan is seeking stocks that will be the biggest beneficiaries of the ongoing rotation out of tech and into value. The firm says buy these 50 beaten-down stocks as traders continue to flee high-flyers.
9. Vanda Research’s retail-investor tracker nailed the last Reddit-driven phenomenon. The firm breaks down 9 market segments that could soar as $US3 ($4) billion in ‘stimmy’ checks is unleashed.
10. A crypto VC who co-founded Tether and backed Coinbase details 4 reasons NFTs are attractive. William Quigley also breaks down 2 signals that point to bitcoin hitting $US150,000 ($193,823) by the end of 2021.