US stocks started the week off strongly, with bond yields declining from last week’s highs on Monday morning.
Two positive developments over the weekend also excited investors: the US House approved the $ 1.9 trillion pandemic relief package from the Biden government on Saturday, before the Food and Drug Administration granted emergency clearance to the JNJ of the United States. Johnson & Johnson,
COVID-19 vaccine – the first single dose available to Americans.
The price of bitcoin BTCUSD,
rose more than 5% to $ 47,691 on Monday as it rebounded after the worst cryptocurrency week of the year last week, rising to a record high of $ 58,332 the previous weekend.
In our call of the day, Citi analysts said bitcoin was at a “tipping point” between conventional acceptance or a “speculative implosion”. But recent developments, including the TSLA of electric car maker Tesla,
Investment of $ 1.5 billion and transactions through PayPal PYPL,
Visa V,
and Mastercard MA,
to accept payments, pointed to the first.
Analysts, led by Citi GPS managing editor Kathleen Boyle, noted that there were “a number of risks and obstacles” in the path of cryptocurrency progress.
“But weighing these potential obstacles against opportunities leads to the conclusion that bitcoin is at an inflection point and we could be at the beginning of a massive transformation of cryptocurrency into the mainstream,” they said.
The report added that bitcoin could eventually become “the currency of choice for international trade”, due to its global reach, neutrality and lack of currency exposure.
The biggest change in recent years has been the shift from a retail-focused effort to “something that looks attractive to institutional investors,” the authors noted.
If recent efforts led to a central bank-backed digital currency, individuals and businesses would have digital wallets with a variety of cryptocurrencies as they do today, with checking, savings and treasury accounts, they said. “In this scenario, bitcoin may be perfectly positioned to become the preferred currency for global trade,” they added.
However, obstacles ahead on this path include upgrades to the market and the potential for the cryptocurrency space to move closer to the supervision and rules of traditional financial regulators, noted Citi.
The markets
US stocks made significant initial gains with the Dow Jones Industrial Average DJIA,
2%, or 620 points, more right after opening. The S&P 500 SPX,
and Nasdaq Composite COMP,
they were also on their feet. European stocks rose and Asian markets rose overnight in hopes of Biden’s stimulus package in the U.S. and after last week’s liquidation.
The buzz
Dr. Anthony Fauci, director of the National Institute of Allergy and Infectious Diseases, said he would have “no hesitation” about taking Johnson & Johnson’s COVID-19 vaccine, and that all three vaccines available to Americans were “highly effective.” “.
Reddit Chief Executive Steve Huffman reiterated his praise for the WallStreetBets forum, which has left Wall Street “meme stocks” staggering in recent weeks. Huffman said the community has “exposed a gap” between those who have access to financial markets and those outside.
UK home builders increased on Monday, based on reports that the government will try to increase the property with a new mortgage guarantee.
Cruise operator Royal Caribbean Group said it had initiated a $ 1.5 billion public offering.
Entain ENT, owner of Ladbrokes,
said it has increased its offer to Swedish sports betting rival Enlabs.
At the Golden Globe Awards, “The Crown”, “Schitt’s Creek” and “Nomadland” were among the big winners.
Random readings
Actor Ben Stiller’s trophy and other Golden Globe highlights.
The doctor appears on a video call in the court during surgery.
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