2024-02-15 12:46

Copyrighted Image by: Reuters Coinbase (COIN) upgraded at JPMorgan following Bitcoin rally Coinbase (NASDAQ:COIN) was raised to neutral from Underweight at JPMorgan on Thursday, with the bank citing the surge in the Bitcoin price as its reason. Analysts at JPMorgan maintained an $80 price target on the stock. They told investors that the Bitcoin rise takes both the crypto market and Coinbase's earnings power higher. JPMorgan had been quite concerned that the enthusiasm in Bitcoin over the last three months was being driven by unrealistic optimism for new money going into the cryptocurrency market through the newly approved and recently launched U.S. spot Bitcoin ETFs. "However, what was initially a sell-the-news event with the launch of U.S. Bitcoin spot ETFs has now turned into meaningful Bitcoin price appreciation," acknowledged the analysts at JPMorgan. "In our opinion, we think this Bitcoin appreciation is contributing to better spot Bitcoin ETF flows, which is, in turn, driving Bitcoin prices higher and pulling other tokens higher as well," they added. After the acceleration in recent days of flows into Bitcoin ETFs and the significant price appreciation of Bitcoin and now Ethereum, the bank sees the higher cryptocurrency prices not only sustaining but improving activity levels and Coinbase's earnings power. https://www.investing.com/news/cryptocurrency-news/coinbase-upgraded-at-jpmorgan-following-bitcoin-rally-432SI-3304800

2024-02-15 05:23

Copyrighted Image by: Reuters Investing.com-- Gold prices moved little in Asian trade on Thursday, remaining below key support levels as the prospect of higher for longer U.S. interest rates continued to diminish the yellow metal’s appeal. Bullion prices took some relief from mild losses in the dollar, which consolidated in overnight trade after racing to three-month highs earlier this week. The greenback is now likely to see more near-term gains, as traders began further scaling back expectations for early rate cuts by the Federal Reserve. A slew of Fed officials also warned that the central bank will keep rates higher if inflation remains sticky- a scenario that bodes poorly for gold. Higher rates push up the opportunity cost of investing in bullion. Spot gold was flat at $1,992.27 an ounce, while gold futures expiring in April fell slightly to $2,003.70 an ounce. Both instruments remained pinned at two-month lows, and were close to testing support levels around $1,970 and $1,980 an ounce. Markets scale back May, June rate cut bets The CME Fedwatch tool showed that traders were steadily scaling back expectations for rate cuts in May and June, amid growing uncertainty over when the Fed will begin trimming interest rates. While the central bank has signaled that it will eventually cut interest rates this year, it has offered scant cues on the potential timing and scale of the cuts. So far, the Fed has signaled a largely data-driven approach to rates, and recent data has given little indication that rate cuts will come early. U.S. retail sales, jobless claims data due later in the day is now in focus for more cues on the world’s largest economy. Producer price index inflation data for January, due on Friday, is also expected to provide more cues on the path of inflation. Several more Fed officials, including Christopher Waller and Mary Daly, are set to speak in the coming days, offering up more cues on monetary policy. A sharp rise in U.S. interest rates had limited any major gains in gold over the past two years, even as deteriorating economic conditions across the rest of the globe spurred some demand for safe havens. This trend is expected to continue in the near-term. Copper prices flat, weak economic readings cloud outlook Among industrial metals, copper prices moved little on Thursday and were set for a subdued weekly performance, as a slew of weak economic readings from across the globe clouded the outlook for the red metal. Copper futures expiring in March rose 0.1% to $3.7067 a pound, seeing some relief as the dollar retreated from three-month peaks. But weak GDP readings from Japan and the euro zone kept concerns over slowing economic growth largely in play, as traders feared the prospect of weaker demand for copper this year. https://www.investing.com/news/commodities-news/gold-prices-pause-losses-but-remain-pinned-below-2000-by-rate-woes-3304245

2024-02-15 04:49

Copyrighted Image by: Reuters. Investing.com-- Most Asian currencies moved little on Thursday as mild consolidation in the dollar offered some relief, while the Japanese yen firmed as expectations of government intervention offset data indicating an economic recession. Regional currencies were still reeling from a hotter-than-expected U.S. inflation reading, which saw traders further scale back expectations of early interest rate cuts by the Federal Reserve. A slew of Fed officials also warned that sticky inflation will keep the bank from easing interest rates early. The dollar surged to three-month highs earlier this week, but fell slightly in overnight trade. The dollar index and dollar index futures both moved little in Asian trade, and remained within sight of their highest level since mid-November. Yen losses limited by intervention watch; economy enters recession The yen rose 0.2% on Thursday, but hovered around its weakest level since November. The currency also broke past the 150 level to the dollar earlier this week. But further losses in the yen were held back by a slew of Japanese officials warning that they were watching for any drastic moves in the yen, which could herald some currency market intervention. Levels above 150 yen have attracted government intervention in the past. Gross domestic product data showed Japan’s economy unexpectedly contracted in the fourth quarter, entering a technical recession as private spending weakened further. Weakness in the economy casts doubts over the Bank of Japan’s plans to begin raising interest rates in 2024. Analysts at ING said the trend was likely to delay the BOJ’s plans, and that they only expected a hike by June. Despite Thursday’s strength, the yen was still the worst-performing Asian currency this week amid growing concerns over higher-for-longer U.S. rates, which have been a key weight on the Japanese currency over the past two years. Broader Asian currencies moved in a flat-to-low range, but were nursing steep losses this week as U.S. rate concerns dented sentiment towards the region. The Australian dollar fell 0.1% and hovered near three-month lows as data showed that Australia’s labor market cooled further in January- a trend that gives the Reserve Bank lesser impetus to hike interest rates further. The Indian rupee and the Singapore dollar were flat, while the South Korean won fell 0.4%. The Chinese yuan fell 0.1% in offshore trade, as mainland markets remained closed for the week-long Lunar New Year holiday. The Indonesian rupiah fell 0.4%, ducking a rally in the stock market after Defence Minister Prabowo Subianto appeared poised to win the country’s presidency. https://www.investing.com/news/forex-news/asia-fx-stems-losses-as-dollar-consolidates-yen-digests-q4-recession-3304243

2024-02-15 02:21

Copyrighted Image by: Reuters. Investing.com -- Oil prices settled higher Thursday, to remain on track to notch a weekly gain as a weaker dollar helped boost sentiment following the International Energy Agency's monthly outlook forecasting weaker global demand for crude this year. At 14:30 ET the {{8849|West Texas Intermediate crude roe fell by 1.8% to $78.03 per barrel and Brent oil futures expiring in April climbed by 1.5% to $82.86 a barrel, while Dollar takes dive as weaker U.S. retail sales puts economic growth in spotlight The dollar slumped following data showing retail sales slipped by 0.8% last month, a steeper decline than the 0.2% fall economists had expected, pointing to signs of weakness in the U.S. consumer, which makes up the bulk of economic growth. A weaker dollar makes oil cheaper for the foreign buyers, potentially boosting demand just as the demand outlook took a knock. Goldman Sachs said in now expects first-quarter U.S. economic growth, or gross domestic product, at 2.5%, down from a a prior estimate 2.9%. In its latest monthly report, the International Energy Agency said that global oil demand was showing signs of losing momentum, leading the group to lower its 2024 growth forecast to 1.22 million barrels per day. On the supply side, meanwhile, concern about non-OPEC oil production remained front and center after U.S. oil inventories grew by a staggering 12 million barrels in the week to Feb. 9, the Energy Information Administration reported Wednesday, following record-high U.S. production. Middle East geopolitical tensions continue to escalate Middle East tensions continued to escalate as Israel stepped up its assault in Rafa, southern city of Gaza, while Hezbollah fired rockets at a northern Israeli town in response to an attack earlier this week. The step-up in military action in Rafa comes as international pressure continues to mount on Israel, with the Canada, New Zealand and Australia calling for an immediate humanitarian ceasefire in Gaza. https://www.investing.com/news/commodities-news/oil-prices-extend-losses-on-us-inventory-shock-demand-concerns-3304210

2024-02-14 16:00

Copyrighted Image by: Reuters. Crypto stocks rally as Bitcoin price continues to climb Cryptocurrency stocks are rising Wednesday on the back of the continued climb in the price of Bitcoin, which has climbed a further 4%. Bitcoin is currently trading around $51,770, its highest level since December 2021. The rise has taken its market cap to $1 trillion. Ethereum, the second-largest cryptocurrency, is up close to 4% at the time of writing, trading at around $2,746. The rise in cryptocurrencies has seen exchange Coinbase (NASDAQ:COIN) shares rally more than 10% on Wednesday, trading at $155.61. The stock initially hit a high of over $160 per share. Meanwhile, Bitcoin mining companies Riot Platforms (NASDAQ:RIOT) and Marathon Digital Holdings (NASDAQ:MARA) have jumped, up 9% and 12%, respectively. https://www.investing.com/news/cryptocurrency-news/crypto-stocks-rally-as-bitcoin-price-continues-to-climb-432SI-3303699

2024-02-14 11:33

Copyrighted Image by: Reuters. GRIID Infrastructure (GRDI) to Double Capacity of Lenoir City, Tenn. Bitcoin Mining Operations GRIID Infrastructure Inc. (Nasdaq: GRDI) (“GRIID” or the “company”), a vertically integrated bitcoin mining operator, announced plans to double the capacity of its bitcoin mining operations in Lenoir City, Tenn. from 20 MW to 40 MW in mid-2024 by adding a new site expected to power approximately 6,500 machines. “We’re focused on building our growth and expanding our capacity by moving sites like this from our power pipeline to production,” said Trey Kelly, CEO of GRIID. “We’re especially pleased to be expanding our footprint in the Tennessee Valley, where the Tennessee Valley Authority’s (TVA) mix of affordable, reliable and low-carbon electricity has made this area an excellent long-term location to mine bitcoin.” “GRIID has been a good neighbor, and we’re excited to see them expand their operations in Lenoir City,” said the city’s mayor, Tony Aikens. “Bitcoin has been a net benefit for the city and for our state, generating tax receipts and good jobs. We look forward to GRIID being our neighbors for many years to come.” That sentiment was echoed by Shannon Littleton, CEO of the Lenoir City Utility Board. “Having a reliable customer like GRIID helps keep public power plants in business that might otherwise be struggling,” Littleton said. “They also pay for infrastructure improvements, a burden that will normally fall exclusively on local ratepayers. In a period of high inflation, I would have few options: raise prices, issue debt, reduce services, or find more customers like GRIID to bridge the gap.” GRIID operates two other mining facilities in East Tennessee, one in Maynardville and the other in Limestone, as well as a development, deployment and equipment repair center in Rutledge. GRIID also operates a facility co-located at the Glen Park Dam in Watertown, New York. In the aggregate, GRIID operates 68 MW of mining capacity (55MW in Tennessee). On February 6, the company announced plans to build a new 60 MW mining facility in Jackson, TN. When the new facilities in Jackson and Lenoir City become fully operational, GRIID would have nearly 150 MW of mining capacity, which would more than double its current capacity and represents the ongoing commitment to growth in the Tennessee Valley. https://www.investing.com/news/cryptocurrency-news/griid-infrastructure-to-double-capacity-of-lenoir-city-tenn-bitcoin-mining-operations-432SI-3303171