Cryptocurrency, Market Summary

2 min Market Summary: 28 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

USDJPY, +0.18%, $113.80.           
EURUSD, -0.27%, $1.1297.          
GBPUSD, -0.72%, $1.2742.
USDCAD, +0.35%, $1.3298.

S&P500, +0.33%, 2,682.17
Nasdaq, +0.01%, 7,082.70
Nikkei, +0.64%, 21,952.40 

CURRENCY MARKET WRAP  

  • Dollar was bid against the G7 after Fed Vice Chairman Richard Clarida said he backed gradual rate hikes with an eventual move towards neutral rates. U.S. CB Consumer Confidence at 135.7 vs expected 136.2. Consumer confidence remains at historically strong levels due in large part to positive views on the labor market. The 2-yr yield was unchanged at 2.83%, and the 10-yr yield decreased two basis points to 3.06%.
  • Euro continues to be offered over worries about German auto tariffs.
  • In Brexit, speculation that the deal won’t get approvals and comments from ex-defence secretary Sir Michael Fallon undermined Sterling. Sir Michael’s decision to come out against the deal is a blow to the prime minister who is struggling to muster support in Parliament for it. He cited, “My fear is that this deal gives us the worst of all worlds,” he said. No guarantee of smooth trade in the future and no ability to reduce the tariffs that we need to conclude trade deals with the rest of the world.”

STOCK MARKET WRAP  

  • The stock market was able to shrug off early angst caused by Trump reiterating his hard-nosed tariff stance. Trump’s comments struck concerns that his G-20 meeting with President Xi Jinping at the end of the week might not meaningfully ease trade tensions between the two countries. Trump said in a Wall Street Journal interview that it is “highly unlikely” he will refrain from raising a 10% tariff on $200 billion of Chinese goods to 25%, effective January 1. He added, too, that if China and the U.S. don’t make a deal he will move ahead with a plan to place a tariff of 10% or 25% on an additional $267 billion of imported Chinese goods, which would possibly include iPhones and laptop computers. White House economic advisor Larry Kudlow followed up with his disappointment in China talks thus far and stated that talks between Trump and President Xi will occur on Saturday evening. He added that Trump will make up his mind on the $267 billion tariff tranche at the end of the meeting.
  • Apple (AAPL 174.24, -0.38, -0.2%) never traded in positive territory after the Trump’s comments reminded investors that tariffs remain a headwind for the company. Microsoft (MSFT 107.14, +0.67, +0.6%) helped lift the heavily-weighted information technology sector (+0.2%), and chip stocks also rose, with the Philadelphia Semiconductor Index up 0.2%. General Motors (GM 36.69, -0.96) fell -2.6% after Trump tweeted he is disappointed in GM and is looking to cut all of its subsidies. Trump’s frustration stemmed from GM’s decision to close plants in Ohio, Michigan, and Maryland but not those in Mexico or China. The White House is hopeful that General Motors will make some adjustments and does not believe GM’s job layoffs will impact the overall economy.

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

Fake Developer Sneaks Malicious Code into BitPay’s Copay Wallet

Allegedly, the Copay wallet from U.S.-based bitcoin payments processor BitPay has been compromised by a hacker. The malware was deployed on versions 5.0.2 through 5.1.0 of its Copay and BitPay wallet apps, and could potentially be used to capture private keys to steal bitcoin and bitcoin cash. The firm is asking users to not run or open the Copay wallet if they are using versions from 5.0.2 to 5.1.0. It has now released an updated version (5.2.0) without the malicious code for all Copay and BitPay wallet users that will be available in app stores “momentarily.” Users should first update their affected wallets (5.0.2-5.1.0) and then send all funds from affected wallets to a brand new wallet on version 5.2.0, using the Send Max feature to initiate transactions of all funds. The attack was reportedly commited by a supposed developer called Right9ctrl who took over maintenance of the NodeJS library from its author who no longer had time for the work.

Ten Blockchain, Fintech Firms Launch Association to Make ‘Code of Conduct’ for Crypto

Ten financial and tech firms have established an Association for Digital Asset Markets (ADAM) to create a “code of conduct” for the cryptocurrency sector. Among ADAM’s founding members are Mike Novogratz’s crypto merchant bank Galaxy Digital, global financial services firm BTIG, fintech firm Paxos – of recently-launched stablecoin PAX – and crypto liquidity solutions provider GSR. ADAM will focus on working with regulators to seek “comprehensive standards” for digital asset market participants which will encompass trading, custody, clearing and settlement in the sector, and to provide a framework for “ethical conduct” and “professionalism.” ADAM’s code of conduct will be established to work as a “complement” to existing laws and regulations in order to “accelerate fair and orderly digital asset markets where innovators and capital can transact with confidence.”

Bahrain Finance Training Institute Launches ‘Blockchain Academy

The Bahrain Institute of Banking and Finance (BIBF) is launching the country’s first “Blockchain Academy,” by approval of the Specific Council for Vocational Training. The training program is designed to prepare participants to earn the international qualification of Certified Blockchain Professional C|BP and was developed by the BIBF and Dubai-based training firm MyLearning Key. The C|BP Certification is consisted of three competency areas in blockchain technology; development, implementation, and strategy. The new initiative aims to support businesses and organizations as they adopt new technologies like blockchain.

Cryptocurrency, Market Summary

2 min Market Summary: 27 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

USDJPY, +0.52%, $113.50.
EURUSD, -0.04%, $1.1333.
GBPUSD, -0.00%, $1.2813.
USDCAD, +0.20%, $1.3254.
NZDUSD, +0.04%, $0.6775.

S&P500, +1.55%, 2,673.45
Nasdaq, +2.06%, 7,081.85
Nikkei, +0.69%, 21,795.28

CURRENCY MARKET WRAP  

  • There were no U.S. prints on Monday. The 2-yr yield added one basis point to 2.83%, and the 10-yr yield added two basis points to 3.07%. Also, the U.S. Dollar Index rose 0.1% to 97.05.
  • German Ifo Business Climate at 102.0 vs expected 102.3. Italy’s MIB showed relative strength (+2.8%) amid reports that Italian officials indicated a willingness to lower next year’s deficit target of 2.4%. However, this report follows weekend remarks from Italy’s Deputy Prime Minister Matteo Salvini, who said he would bring down the government if the deficit target is changed.
  • EU leaders have approved the Brexit Withdrawal agreement, Sterling ended the day unchanged because investors know that the big challenge now is Parliament. Prime Minister May needs 320 votes to pass the Brexit deal and there are 650 seats in Parliament. She should have at least 316 conservative votes but there’s almost no chance that she’ll get any of the 10 DUP votes so her job will be to convince members of the opposition Labour party to support her deal.
  • N.Z. Retail Sales q/q at 0.0% vs expected 1.0%. Core Retail Sales q/q at 0.4% vs expected 1.5%.

STOCK MARKET WRAP  

  • Amazon (AMZN 1581.33, +79.27, +5.3%) and retail stocks led the broad-based advance from what many considered to be short-term oversold conditions. Reports of record online Black Friday sales and encouraging forecasts for Cyber Monday sales contributed to the upbeat investor sentiment within the top-performing consumer discretionary sector (+2.6%). Adobe Analytics reported that online Black Friday sales surged 23.6% to a record $6.22 billion and expected a 17.6% year-over-year growth of $7.8 billion on Cyber Monday.
  • The S&P SPDR Retail ETF (XRT 45.75, +0.87) rose 2.0%. Facebook (FB 136.38, +4.65, +3.5%), Alphabet (GOOG 1048.62, +24.74, +2.4%), Netflix (NFLX 261.43, +2.61, +1.0%), and Apple (AAPL 174.62, +2.33, +1.4%) all sported healthy gains. Apple was able to shrug off midday losses to finish near its session high.
  • In other corporate news, General Motors (GM 37.65, +1.72, +4.8%) announced additional restructuring plans that will result in a 15% reduction of its salaried staff and possibly the closure of five of its North American plants. Trump said to reporters that he told GM executives he is unhappy with the job cuts and is hopeful that “something else will replace the GM plants in Ohio”.

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

Ohio Becomes First US State to Allow Taxes to Be Paid in Bitcoin

Companies in the U.S. state Ohio will be able to pay a variety of taxes, from tobacco sales tax to employee withholding tax to public utilities tax with the cryptocurrency, starting this week. The filing process involves three steps: First, businesses will have to register with the Office of the Ohio Treasurer through a dedicated portal called OhioCrypto.com. They then need to enter tax details such as payment amount and tax period, and, finally, the due amount is paid in bitcoin using a “compatible” crypto wallet. Compatible wallets include the Bitcoin Core client, Mycelium and breadwallet, and others that are compatible with the Bitcoin Payment Protocol. All tax payments will be processed by Atlanta-based bitcoin payments processor BitPay, which will convert bitcoins to dollars for the Treasurer’s office. The facility is available only for businesses but it is expected to be made available to individuals in the future.

A Blockchain Ranking Machine to Select Promising Science-Focused Venture Projects

A startup called ScientificCoin, based in California, has developed an algorithm for a bias-free, decentralized evaluation of projects so that investors can fund venture projects in science and other areas including initial coin offerings (ICOs) with more confidence. There’s the promise for investors, of peace of mind and more insurance against scams. For recipients, if they are able to defend their projects against the steel-cold logic of the machine, there is the promise of funding to implement their ideas. For ScientificCoin tokenholders, five percent of all funds raised using this platform is distributed between tokenholders of its respective coin, as a fee. The ranking machine takes into account more than 70 major characteristics divided into five sections. The rating is determined in accordance with the correlational regression model based on statistical analysis of the projects over a nine-month period.

Blockchain Capital Leads $12.75 Mln Funding Round for US-Based Securities Tokens Startup

An American securities tokens startup has closed a Series A funding round led by Blockchain Capital that raised $12.75 million. Securitize, a technology platform that enables the issuances of digital securities or security tokens of any asset, has closed the strategic funding round ahead of the company’s plans to launch a Digital Security Offering (DSO) in 2019. The round also included participation from Coinbase Ventures, Global Brain, NXTP, OK Blockchain Capital, and Xpring at Ripple. Brad Stephens, Blockchain Capital’s co-founder and managing partner, who led the $12.75 million strategic funding round for the digital securities startup, will join Securitize’s Board of Directors. He noted that Securitize’s real-time compliance solution solved a critical need for our BCAP security token, which a token based on the Ethereum (ETH) blockchain and launched in April 2017 through an Initial Coin Offering (ICO). Other “strategic investors” in Securitize include Donna Redel, the World Economic Forum’s former Managing Director and blockchain professor, and John Pfeffer, formerly a partner at global investment firm KKR.

 

Cryptocurrency, Market Summary

2 min Market Summary: 26 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

USDJPY, +0.01%, $112.95.
EURUSD, -0.59%, $1.1341.
GBPUSD, -0.50%, $1.2814.
USDCAD, +0.36%, $1.3237.

S&P500, -0.66%, 2,632.56
Nasdaq, -0.48%, 6,938.98
Nikkei (Bank Holiday)

CURRENCY MARKET WRAP  

  • There were no notable U.S. prints on Friday. The 2-yr yield added one basis point to 2.83%, while the 10-yr yield shed one basis point to 3.05%. Dollar remained bid on Friday amid European political woes and risk-aversion in capital markets.
  • Tensions between Italy and the EU Commission continued weighing on the Euro. Italian PM Di Maio reiterated that the country is not willing to make changes to key reforms within the budget. November Markit indexes indicated that the region’s growth continues shrinking. German Flash Services PMI at 53.3 vs expected 54.6.German Flash Manufacturing PMI at 51.6 vs expected 52.3. E.U. Flash Manufacturing PMI at 51.5 vs expected 52.0. Flash Services PMI at 53.1 vs expected 53.6.
  • Sterling was offered on Friday ahead of a busy Brexit weekend in Brussels. Over the weekend, EU leaders have approved an agreement on the UK’s withdrawal and future relations – insisting it is the “best and only deal possible”. The UK Parliament is expected to vote on the deal on 12 December, but its approval is far from guaranteed. Labour, the Lib Dems, the SNP, the DUP and many Conservatives MPs are set to vote against it. May has appealed to the public to get behind the agreement – saying that although it involved compromises, it was a “good deal that unlocks a bright future for the UK”.
  • Canadian inflation also ticked higher, but BoC seen keeping rates steady. Statistics Canada said the annual inflation rate edged up to 2.4% from 2.2% in September. Analysts in a Reuters poll had forecasted it would stay at 2.2%. Canadian CPI m/m at 0.3% vs expected 0.1%. Core Retail Sales m/m at 0.1% vs expected 0.3%.
  • WTI crude fell -6.1% to $51.28/bbl, extending its decline to -33.3% from its October 3 high. A Wall Street Journal report indicated that Saudi Arabia and OPEC are considering a disguised production cut to satisfy  Trump. Specifically, OPEC would retain current output targets, first set in 2016, which would imply a production pullback because Saudi Arabia is allegedly overproducing by nearly 1 million barrels a day.

STOCK MARKET WRAP  

  • The S&P 500 lost -0.66% on Friday in what was a shortened, low-volume trading day on Wall Street. Friday’s volatile session extended the benchmark index’s weekly losses to -3.8%. FAANG stocks also struggled on Friday with Facebook (FB 131.73, -3.09, -2.3%) and Apple (AAPL 172.29, -4.49, -2.5%) leading the retreat. Apple reportedly resumed production of its 2017 iPhone X amid shrinking demand for its 2018 iPhone X Max model, according to IBN; and has also reportedly lowered the price of its iPhone XR in Japan to increase sales, according to the WSJ. Facebook and Apple shares dropped over -5.0% and 10.0%, respectively, last week.

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

The SEC’s Recent Rulings Are More About Exchanges Than ICOs

Last week the SEC reached settlements with AirFox and Paragon in its first cases brought purely for lack of registration, rather than for fraudulent activity. In characteristic overreaction, the market seemed to assume that ICOs were now “over.” As a result, an SEC director revealed that the agency plans to release “plain English” guidance for when a token is and is not a security. The SEC announced a settlement with the founder of EtherDelta, a “decentralized exchange” for ethereum-based tokens, who had been accused of knowingly breaking securities laws by neither registering the platform with the SEC nor operating under an exemption. This was the SEC’s first enforcement action against a token exchange for failing to register. In its statement, the SEC outlines what exactly is considered an “exchange,” and under what circumstances a token trading venue would be required to register.

Bitcoininfo.ru Wins Court Case Against Ban

The owner of Bitcoininfo.ru has won an appeal against a ruling to block the cryptocurrency website. A court in Saint Petersburg has decided that access should be restored and that Nikolay Tonkoshkurov should be compensated for the unlawful actions of the prosecutors and judges who presided over the case. Experts claim the decision may set a precedent in Russia, where hundreds of websites with similar content have been blocked over the past few years. In March 2018, the Saint Petersburg City Court struck down a ban on 40 other Bitcoin-related sites offering information and exchange services, but the Bitcoininfo.ru case was the first to reach the Supreme Court. This is also the first time a government institution has been ordered to pay compensation to a defendant for abusing its authority in the digital space. Bitcoininfo.ru currently redirects to the Cryptorussia.ru domain, which hosts the same content as the original website, including news about cryptocurrencies, information about the legal framework for the crypto sector and the applicable tax regime, as well as exchange rates for major digital coins in both U.S. dollars and Russian rubles.

US Dept. of Defense Research Arm to Host Permissionless Blockchain Workshop

The U.S. Defense Advanced Research Projects Agency (DARPA) will host a two-day blockchain workshop in February, according to an official request for information (RFI). DARPA, the research arm of the U.S. Department of Defense, is looking to to investigate technologies for distributed consensus. As stated in the five-page RFI released by the agency’s Information Innovation Office (I2O), “of particular interest to DARPA are so-called ‘permissionless’ distributed consensus protocols.” Permissionless systems are described in the paper as protocols “where any individual may join in the computation.” The RFI also recognizes the potential of blockchain technology for data security and storage “resilience” for the government department stating “Technologies for distributed consensus protocols have been revolutionized by their prominent role in cryptocurrency and blockchain technologies. These technologies have dramatic implications for the security and resilience of critical data storage and computation tasks, including for the Department of Defense.”

Cryptocurrency, Earnings, Market Summary

2 min Market Summary: 23 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

USDJPY, -0.06%, $112.99
EURUSD, +0.16%, $1.1403
GBPUSD, +0.78%, $1.2877
USDCAD, -0.30%, $1.3191

S&P500, (Markets closed for Thanksgiving)
Nasdaq, (Markets closed for Thanksgiving)
Nikkei, +0.65%, 21,646.55

CURRENCY MARKET WRAP  

  • There were no U.S. prints as markets were closed for Thanksgiving. Data was light as well for the G7 with no notable prints on Thursday.
  • In ECB Minutes, rate-setters acknowledged the disappointing economic data on Oct 24-25but took the view that the picture was still one of widespread economic growth and accelerating inflation. The central bank kept rates at record lows at the meeting and repeated its intention to stop adding to its 2.6 trillion euros ($2.97 trillion) of bonds at the end of the year in light of higher inflation.
  • In Brexit, PM May drafts EU’s declaration on the future bilateral relationship with the UK, in which the Union talks about “a free trade area with deep regulatory and customs cooperation.” Details on how this will done, or when were not in place. Sterling’s bid faded in the 1.2880 price zone. Scottish First Minister Nicola Sturgeon said that the Brexit deal is full of ‘unicorns’ rather than facts, and will damage the local fishing industry. Also, according to people familiar with the matter, Spain will likely vote against the current proposal amid the lack of clarity on Gibraltar. PM May spoke before the UK Parliament once again but failed to convince MPs. The next chapter on the Brexit drama will be written over the weekend.

STOCK MARKET WRAP  

  • US Markets closed for Thanksgiving.
  • Japan’s Nikkei finished up 0.65%, but banks were under pressure, with Mitsubishi UFJ 8306 down -1.43% and Sumitomo Mitsui 8316 down -0.22%. On the positive side, beer maker Sapporo Holdings 2501 popped 7.01%.
  • European stocks fell on Thursday, with oil, bank and drug stocks being offered, Euro Stoxx 50 index fell -0.86%.

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

Swiss Railway Tests Blockchain Identities for Workplace Safety Boost

Swiss Federal Railways (SBB) has completed a proof-of-concept (PoC) of a blockchain-based credentials management system for workers employed at the company’s construction sites. The solution was developed by a blockchain startup Linum Labs using the open-source technology of uPort, a project started under the patronage of New York-based ethereum design studio ConsenSys. In the proof-of-concept, workers created their digital identities in the uPort app on their mobile devices, and SBB issued them certificates confirming they went through appropriate training. To enter the site, a worker would scan a QR code from the app on his or her cellphone. The app can also connect to identity systems authorized by city administrations, like Zug ID, which also uses uPort’s tech.

Singapore’s State Investment Firm Backed R3 as Part of Blockchain and AI-Focused Strategy

Temasek is a Singapore government-owned investment company, which has reported its Asia-focused portfolio to be worth around S$308 billion ($235 billion) as of spring 2018. The firm has invested in enterprise blockchain software firm and global banking consortium R3. Temasek is responding to a shifting global investment landscape by focusing in on bleeding-edge technologies such as blockchain and artificial intelligence (AI). This strategy entails the creation of “experimental pods,” set up with the express purpose of focusing on investments in blockchain technologies and AI, two areas the company considers to be “long-term” trends set to impact multiple industries globally. Alongside its R3 investment, of which the exact sum is undisclosed, Temasek is further reported to have participated in in a $600 million series C funding round in April for Chinese AI startup SenseTime.

BBVA and Santander Join EU Joint Blockchain Platform Set to Launch in 2019

Banking groups BBVA and Banco Santander have joined the E.U. International Association for Trusted Blockchain Applications (IATBA). The IATBA will launch in the first financial quarter of 2019. The main aim of the association is to develop E.U. blockchain regulation, along with preparing the launch of E.U.-wide blockchain applications. BBVA and Santander are among the first five banks invited to join IATBA. The other members of the association have not yet been disclosed. IATBA is an initiative promoted by the European Blockchain Partnership — a collaboration of 27 E.U. countries, including UK, France, Germany, Sweden, the Netherlands and Ireland. The states cooperate to establish “a European Blockchain Services Infrastructure that will support the delivery of cross-border digital public services, with the highest standards of security and privacy.

Cryptocurrency, Earnings, Market Summary

2 min Market Summary: 22 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

USDJPY, +0.23%, $113.03
EURUSD, +0.16%, $1.1389
GBPUSD, -0.09%, $1.2776
USDCAD, -0.59%, $1.3228
AUDUSD, +0.67%, $0.7262

S&P500, +0.30%, 2,649.93
Nasdaq, +0.92%, 6,972.25
Nikkei, -0.35%, 21,507.54

CURRENCY MARKET WRAP  

  • U.S. Core Durable Goods Orders m/m at 0.1% vs expected 0.4%. Durable Goods Orders m/m -4.4% vs expected -2.2%. Revised UoM Consumer Sentiment at 97.5 vs expected 98.4. U.S. Treasuries edged lower, pushing yields higher across the curve. The 2-yr yield increased three basis points to 2.82%, and the 10-yr yield added one basis point to 3.06%. In trade, U.S. Trade Representative Robert Lighthizer released a report on China’s intellectual property practices, alleging that China has not altered its “unfair, unreasonable, and market-distorting practices” that led to the imposition of tariffs.
  • U.K. Public Sector Net Borrowing at 8.0B vs expected 5.6B. In Brexit, Sterling remained under pressure because there’s a risk that the EU will cancel their special Brexit summit at the end of the month if a deal isn’t reached. German Chancellor Angela Merkel wants a deal finalized in the next 24 to 48 hours. Her EU counterparts want to add additional terms to the agreement. Spain is one of the primary concerns because they said they won’t support a Brexit deal with future trade agreements that include Gibraltar. PM May feels that Gibraltar must be included, which could be another serious political challenge to Brexit negotiations.
  • No specific data was released but Aussie and Kiwi followed the Yuan higher on reports that the PBoC may be less accommodative next year unless there is a significant slowdown in growth. The Loonie recovered as oil prices stabilized. WTI Crude rebounded 1.8% to $54.38/bbl. Crude shrugged off ongoing supply concerns that have recently pressured oil prices; on Wednesday, the U.S. Energy Information Administration reported a ninth consecutive weekly build in crude with a higher-than-expected build of 4.9 million barrels last week. Crude cut its weekly losses to -3.7% but is still roughly 30.0% lower from last month’s four-year high.

STOCK MARKET WRAP  

  • The S&P 500 found some reprieve on Wednesday with a slim gain of 0.3%, with cyclical sectors mounting a rebound effort. The benchmark index was up as much as 1.1%, but gave up most of its gains in the last hour of trading. Wednesday’s session did feature some lower-than-usual volume with U.S. markets closed on Thursday for Thanksgiving Day.
  • The battered FAANG group traded on a mixed note on Wednesday in what has been a woeful quarter for the bunch. Facebook (FB 134.82, +2.39, +1.8%), Alphabet (GOOG 1037.61, +11.85, +1.2%), and Amazon (AMZN 1516.73, +21.27, +1.4%) finished with comfortable gains, while Apple (AAPL 176.78, -0.20, -0.1%) and Netflix (NFLX 262.13, -4.85, -1.8%) finished lower.
  • Earnings were mostly positive with retailers Foot Locker (FL 52.96, +6.87, +14.91) and Gap (GPS 25.81, +1.15, +4.7%) reporting above-consensus bottom lines. Conversely, Deere (DE 141.88, +3.36, +2.4%) missed both top and bottom line expectations, but still traded higher amid an upside outlook. Deere’s worldwide sales of agriculture and turf equipment are forecast to be up about 3.0% in 2019. In other corporate news, Dow component Johnson & Johnson (JNJ 141.99, -4.46) fell -3.1% after a U.S. appeals court refused to stop generic versions of its prostate-cancer drug Zytiga from entering the market, according to Bloomberg. Of note, the company did hit an all-time high in the previous session.

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

SWIFT India Partners With Fintech Firm for Blockchain Pilot

SWIFT India has partnered with fintech firm MonetaGo to pilot a distributed ledger (DLT) network designed to improve the efficiency and security of financial products. Per the announcement, the new program based on MonetaGo’s financial services network technology will be integrated through standardized SWIFT financial messages. The banks will deploy a shared distributed ledger network, that complies with industry-level governance, security and data privacy requirements in order to improve the efficiency and security of their financial products and procedures. SWIFT will digitize trade processes, while MonetaGo will provide “fraud mitigation solutions to avoid double-financing and check authenticity of e-way Bill – an electronically generated bill for the specific movement of goods with a value more than 50,000 rupees ($700).

Indian Government Expects to Finalize Crypto Bill Next Month

The Indian government has reportedly filed an affidavit with the country’s supreme court detailing its progress on cryptocurrency regulations. It is expected that the draft report will be placed before the IMC (inter-ministerial committee) by next month. Both the draft report and the bill will be circulated to IMC members and discussed at the next IMC meeting. The Indian supreme court scheduled to hear all the petitions against the ban which went into effect in July, on Sept. 11, but the hearing has been postponed to Oct. 25, when the court directed the government to submit the counter-affidavit before the next hearing is scheduled. Meanwhile, banks have closed accounts of crypto exchanges, forcing them to come up with their own solutions to provide fiat support to their customers such as through peer-to-peer systems.

Italian Securities Watchdog Orders Unauthorized Crypto Companies to Cease and Desist

The Commissione Nazionale per le Società e la Borsa (CONSOB) has ordered three crypto-related companies providing unauthorized investment services to cease and desist. The first company, a trading platform called Richmond Investing, has purportedly violated the Consolidated Law on Finance (TUF), a fundamental law governing Italian financial markets, by failing to register as a financial intermediary in the country. CryptoForce, a company specializing in Proof-of-Stake (PoS) mining, promoted a cryptocurrency dubbed “Crypton.” Brizzi was advertising CryptoForce on Facebook, while the third company, Eagle Bit Trade offered ostensibly unauthorized “trading packages” to Italian investors. In March, the Italian Ministry of Economics announced the creation of a decree that would classify the use of cryptocurrencies in the country and list service providers related to digital currencies.

Cryptocurrency, Earnings, Market Summary

2 min Market Summary: 21 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

  • U.S. Building Permits inline at 1.26M. Housing Starts inline at 1.23M. U.S. Treasuries were quiet for most of the day, with the benchmark 10-yr yield decreasing one basis point to 3.05%. The U.S. Dollar Index rose 0.7% to 96.85, reversing a recent trend that knocked the index from its yearly high. USDJPY up 0.13%, $112.71.
  • There was a new bout of tension between the EU Commission and Italy over the 2019 budget. Italy refuses to reduce the planned deficit of 2.4% in its budget and Prime Minister Salvini threatened to veto the bloc’s next seven-year budget if the EU Commission insists on sanctions. The common currency was also affected by comments from ECB’s Weidmann, who said that policy normalization will take several years. Euro dropped -0.71%, $1.1372.
  • In Brexit, the no-confidence vote of PM May proved to be of little threat after Sir Graham Brady, chairman of the 1922 Committee of Tory indicated he still hasn’t received enough letters to trigger it. Subsequently, Spain’s government cited that it will oppose the draft deal if it doesn’t include clarity over Gibraltar and would like to treat it as a bilateral issue to be discussed directly with the UK. Sterling fell below the key 1.2800 figure during US trading, undermined by endless Brexit drama and a resurgent demand for Dollars. Sterling fell -0.49%, $1.2788.
  • WTI crude, which has been pressured by ongoing supply concerns, dropped -6.9% to $53.44/bbl and extended its decline to -30.5% from its October 3 high. Furthermore, oil prices were pressured on Tuesday after some speculation that Saudi Arabia might not force an oil production cut now after Trump defended the U.S.’s relationship with Saudi Arabia amid the killing of Jamal Khashoggi. Trump stated, in regards to Saudi Arabia, “They have worked closely with us and have been very responsive to my requests to keeping oil prices at reasonable levels.”
  • It’s also worth mentioning that major changes could be in store for the BoC according to Deputy Governor Wilkins who said they will be conducting a complete review of their inflation targeting mandate to see if its worth switching to another an alternative framework. USDCAD popped 1.02%, $1.3306. The commodity bloc trades weakly on Friday on the back of risk-aversion. According to the RBA minutes, the central bank believes that the next move in rates will be higher, but there’s no strong case for a near term adjustments. Aussie dropped -1.07%, $0.7217. Kiwi down -0.70%, $0.6790.
  • S&P 500 down -1.82%, 2,641.89. Nasdaq down -1.70%, 6,908.82. Nikkei down -1.09%, 21,583.12.
  • In the retail space, earnings reports from Lowe’s (LOW 86.15, -5.20, -5.7%), Kohl’s (KSS 64.45, -6.55, -9.2%), Target (TGT 69.03, -8.12, -10.5%), L Brands (LB 28.43, -6.12, -17.7%), and Ross Stores (ROST 82.64, -8.55, -9.4%) reflected ongoing concerns over gross margin pressures, elevated inventory levels, disappointing same-store sales, and included some cautious guidance. On the other hand, Best Buy (BBY 63.63, +1.33, +2.1%) and Urban Outfitters (URBN 36.58, +0.97, +2.7%) reported upbeat reports. Nevertheless, the SPDR S&P Retail ETF (XRT 44.00, -1.51) lost -3.3%. The widely-held FANG group finished off their session lows, with the exception of Apple (AAPL 176.98, -8.88), which tumbled -4.8% to enter bear market territory. Apple has now fallen -23.7% from its October 3 record close. Netflix (NFLX 266.98, -3.62, -1.3%) and Amazon (AMZN 1495.46, -16.83, -1.1%) also closed on a lower note. Conversely, Facebook(FB 132.43, +0.88, +0.7%) and Alphabet (GOOG 1025.76, +5.76, +0.6%) added modest gains to help pare the communication services sector’s (-1.3%) losses. Notable chipmaker NVIDIA (NVDA 149.08, +4.38) gained 3.0%% amid a positive tweet from Citron Research that said, “This is the first time in 2 years (NVIDIA) offers an appealing risk-reward to investors.”

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

Autodesk CEO: Blockchain Can Stem Corruption in Construction Industry

Founded in 1982, Autodesk manufactures software for the construction, architecture, media, and entertainment industries. In 2018, the company’s revenue was $2.06 billion. According to American software corporation Autodesk CEO Andrew Anagnost, blockchain technology could eliminate corruption in the construction industry, as well as deliver greater trust in the field. Anagnost asserted that the company has considered blockchain as part of their future developments, saying “we just don’t have a point of view we have stated publicly,” during the fact that Autodesk purportedly has not yet introduced blockchain-powered products. Per the Financial Review, Autodesk has been working on its own non-blockchain digital “escrow” system designed to improve trust in the construction industry.

Catalan Government Considers Blockchain for Public E-Voting System

The head of the Catalan government’s citizen participation council states that the authority is considering blockchain for the community’s voting system. Earlier in October, the Generalitat of Catalonia approved a preliminary bill to establish an e-voting system for residents abroad in major elections and other voting processes in the autonomous community. The use of blockchain in the state e-voting system is still being considered, although the Generalitat has still not decided on the matter. Earlier in July, the Government of Catalonia revealed a plan for blockchain tech deployment within its public administration processes in order to improve “digital services to the public.” According to Ismael Peña-López, director of Citizen Participation of the Government of Catalonia, regardless of what technology the government decides to use in the voting system, it must instill trust.

Singapore’s Central Bank Finalizes Regulatory Framework for Crypto Payment Services

The new Payment Services Bill (PSB), submitted by MAS board member and education minister Ong Ye Kung before parliament, is set to replace two existing pieces of legislation, the Payment Systems (Oversight) Act (PS(O)A) and the Money-Changing and Remittance Businesses Act (MCRBA) in order to bring certain cryptocurrencies under its jurisdiction. In the cryptocurrency space, it is expected to affect e-wallets and digital payment tokens such as GrabPay, Bitcoin (BTC), and Ethereum (ETH). Both PS(O)A and MCRBA will be repealed when the new, streamlined PSB comes into force at the end of 2019. PSB comprises two parallel frameworks, the first being a “designation regime” that enables the central bank to name and thereby bring payment systems it considers “crucial to financial stability” under its oversight. The second entails a mandatory licensing regime for payment service providers, who will be required to apply for one of three licenses based on the nature and scope of their activities.

 

Cryptocurrency, Market Summary

2 min Market Summary: 20 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

  • There were no notable prints on Monday. Treasuries advanced amid the market sell-off, extending the recent decline in yields. The 2-yr yield lost three basis points to 2.77%, and the 10-yr yield lost two basis points to 3.06% , 19 basis points lower from its November high. Overseas, the Asia-Pacific Communications Summit concluded on Sunday without the release of a joint communique due to the ongoing trade disagreement between United States and China. Elsewhere, Chairman of Renault-Nissan-Mitsubishi Carlos Ghosn was arrested in Japan for alleged financial violations. The U.S. Dollar Index declined -0.3% to 96.21. USDJPY down -0.24%, $112.45.
  • Euro up 0.35%, $1.1454. Sterling’s risk-off in early London trading was fuelled by headlines indicating that the amount of no-confidence letters submitted were up to 40, but there was no confirmation on those beyond the 26 public backers. UK PM May warned Tories that a no-confidence vote on her will equal a no-deal Brexit. May said that removing her from her post would lead to a delay in Brexit, making talks more difficult. Sterling recovered to finish up 0.16%, $1.2856.
  • S&P 500 down -1.66%, 2,690.73. Nasdaq down -3.26%, 6,642.92. Nikkei up 0.65%, 21,821.16.
  • The S&P information technology sector (-3.8%) was the main problem on Monday. It has been prone to liquidation efforts that have aimed to reduce exposure to a crowded sector running into concerns about a cyclical slowdown, valuations, and increased regulatory scrutiny. The tech group underperforms the 11 S&P sectors in November with a monthly loss of -5.5%.
  • Apple (AAPL 185.86, -7.67, -4.0%) shares took a hit after a Wall Street Journal report indicated the company cut its production orders for all three new iPhones it launched in September. Regarding the iPhone XR, Apple reportedly slashed its production plan by up to a third of the approximately 70 million units it had asked some suppliers to produce between September and February. Apple stock has been under pressure since providing a disappointing outlook for the holiday quarter on November 1. Negative sentiment surrounding Apple trickled down to its suppliers and chip stocks in general. Suppliers Qorvo (QRVO 63.15, -3.17, -4.8%), Lumentum (LITE 39.44, -3.08, -5.0%), and Skyworks Solutions (SWKS 70.76, -2.19, -3.0%), all of which that cut their guidance this month over presumed weakened demand for iPhones, greatly underperformed.
  • Similarly, the Philadelphia Semiconductor Index posted a loss of 3.9%, in which NVIDIA (NVDA 144.70, -19.73) extended its post-earnings decline with a steep loss of -12.0%. Facebook (FB 131.55, -7.98, -5.7%), Netflix (NFLX 270.60, -15.61, -5.5%), Alphabet (GOOG 1020.00, -41.49, -3.9%), and Amazon (AMZN 1512.29, -81.12, -5.1%) also suffered notable losses, helping pull the communication services (-2.6%) and consumer discretionary (-2.7%) sectors lower. Facebook shares continued to struggle amid on-going negative publicity surrounding the social network. Zuckerberg was reportedly not happy with COO Sheryl Sandberg for the reaction to the Cambridge Analytical scandal, according to a WSJ report. Also in the report, Zuckerberg’s newly-adopted, aggressive leadership style has not fared well with key executives, some of whom have resigned. In other news, CNBC reported that China regulators approved Dow component Walt Disney’s (DIS 115.42, -0.77, -0.7%) acquisition of 21st Century Fox (FOXA 48.91, +0.75, +1.6%) on Monday. China’s unconditional approval joins conditional agreements already made from the U.S. and EU, though the deal still needs regulatory consent from several more countries.

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

Korea’s largest power provider KEPCO will use blockchain and other innovative energy solutions to develop its next-generation micro grid (MG). KEPCO’s new “Open MG” will use blockchain and other technologies to improve energy infrastructure, particularly for the local hydrogen economy. It will focus on decentralization, decarbonization and digitalization. KEPCO’s Open MG will draw on an “additional fuel cell” as a power source in order to increase energy self-reliance and efficiency, and without the emission of greenhouse gases. Using international standard technology, the MG is expected to be more interoperable, thereby preventing “system bottleneck” and fragmentation in the industry. Allegedly, KEPCO intends to develop the Open MG at full-scale and create the “first” mega-wattage (MW)-scale micro grid in Korea.
Bitcoin dropped below $5,000, more precisely, fell to $4,981 for the first time in over 13 months on Monday. That’s the lowest figure since Oct. 12, 2017, and as of press time, the price has recovered somewhat to $5,048 – still signifying a decline of more than 9 percent. Many cryptocurrencies are faring worse than BTC, including the likes of ether (ETH), litecoin (LTC) and EOS, all of which are posting 24-hour losses above 10 percent. ETH fell to $155 earlier today, the lowest level since July 16, 2017, as per CoinMarketCap. Meanwhile, XRP, the second-largest cryptocurrency as per market capitalization, is reporting a 6.5 percent drop. According to data from OnChainFX, some of the biggest losses of the day include Aragon, LBRY Credits and ZClassic, all of which have seen price declines in excess of 20 percent in the past day. The bearish weekly close has likely set the tone for a drop below $5,000. In the short-run, however, BTC may defend that psychological support level, courtesy of the oversold conditions on the daily chart.
Major NGO, the Russian Authors’ Society (RAO) will launch a blockchain-based financial platform for intellectual property-secured loans. The project is at its final stages of development and is set to be launched in the first quarter of 2019. The platform intends to bring together potential intellectual property rightsholders and investors that are ready to provide loan funds. RAO’s general director Alexander Sukhotin noted that the upcoming blockchain-enabled platform will not be limited by type of intellectual property, but will include patents, musical works, and visual art. At the current stage, the company is looking for experts that to evaluate various forms of ownership.
Cryptocurrency, Market Summary

2 min Market Summary: 19 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

  • Dollar was broadly weaker against the G7 on Friday. In U.S., Fed’s Clarida thinks the central-bank is getting closer to a neutral rate, which is a contrasting view from Powell in October who said the Fed is still a “long way from neutral.” The Fed-sensitive 2-yr yield subsequently dropped six basis points to 2.80%, and the benchmark 10-yr yield lost four basis points to 3.07%. The Dollar lost -0.5% to 96.46. USDJPY down -0.71%, $112.83.
  • E.U. Final CPI y/y inline at 2.2%. Euro up 0.81%, 1.1420. In Brexit developments, the European Commission has proposed 31 December 2022 as the ultimate end date for any extension to the post-Brexit transition period. May told Sky News’s Ridge on Sunday it had been a “tough week” but that she would not be distracted. She added that the next seven days “are going to be critical” for the UK’s future. Sterling up 0.49%, $1.2839. Canadian Manufacturing Sales m/m at 0.2% vs expected 0.1%. USDCAD down -0.24%, 1.3146.
  • S&P 500 up 0.22%, 2,736.27. Nasdaq down -0.15%, 7,247.87. Nikkei down -0.57%, 21,680.34. The S&P 500 chipped in a 0.22% gain on Friday after Trump again signaled China’s desire to make a deal on trade. He said that China sent a “large” list of things they’re willing to do, but the list is not yet in-line with the President’s standards. Nevertheless, the market, desperate for a positive solution on trade, reacted positively to the comments. Disappointing guidance from chipmakers, however, kept gains in check. Facebook (FB 139.53, -4.32) weighed on the communication services sector (-0.4%) with a loss of -3.0%. On-going negative publicity surrounding the company has helped pull the stock back to its lowest level since April 2017. Also, Amazon (AMZN 159.41, -26.03, -1.6%) and retail companies dragged on the lagging consumer discretionary sector (-0.5%).


BLOCKCHAIN & CRYPTOCURRENCY NEWS  

SEC Settles Securities Registration Charges Against 2 ICO Startups
Two cryptocurrency startups have agreed to register their initial coin offering (ICO) tokens as securities after settling charges with the U.S. Securities and Exchange Commission. The SEC’s Friday announcement centered on two firms: CarrierEQ Inc., also known as Airfox, and Paragon Coin Inc., both of which conducted token sales last year. Airfox raised $15 million through its sale, while Paragon raised $12 million, according to statements. The U.S. securities regulator contended that neither startup registered their ICOs as securities offerings, and neither qualified for registration exemptions. In addition to registering their tokens as securities, both companies will refund investors, file periodic reports to the SEC and pay $250,000 apiece in penalties. Friday’s announcement comes on the heels of the SEC revealing settled charges against Zachary Coburn, founder of the decentralized exchange EtherDelta, with running an unregistered securities exchange.

ECB Official Decries Bitcoin as ‘Evil Spawn’ of Financial Crisis, Ripple Consolidates Lawsuits
Benoit Coeure, an executive board member of the ECB, has issued a critical appraisal of bitcoin and cryptocurrency in general. He described them as “the evil spawn of the financial crisis” in a recent speech at the Bank for International Settlements in Basel. Coeure was also dismissive of the prospect of central bank-issued virtual currencies becoming a reality within the next 10 years. Ripple Labs has moved to consolidate three ongoing class-action lawsuits the company faces into a single federal suit. Various lawyers have described the move as “slick” and exhibiting “tactical brilliance.” The suits were filed by David Oconer, Vladi Zakinov and Avner Greenwald. The combined number of plaintiffs involved in all of the cases exceeds 100. Police in Tokyo have arrested eight men for their alleged involvement in a pyramid scheme that duped roughly 6,000 investors out of an estimated 7.8 billion yen ($68.4 million) worth of cryptocurrency. The individuals are suspected of violating Japan’s Financial Instruments and Exchange Act by failing to register their business operations with the relevant authorities.

International Charity Oxfam Formally Launches Blockchain Rice Tracker in Cambodia
International charity Oxfam officially launched its BlocRice blockchain supply chain solution for Cambodian rice. BlocRice, which aims to use smart contracts to provide transparency and security between rice growers and purchasers in the Netherlands, has been under development and should expand to 5,000 farms by 2022. The increased automation and visibility of individual farmers should in turn allow them to set higher prices and avoid economic disadvantages. BlocRice promotes the use of such digital contracts as tools for social and economic empowerment. The application of blockchain technology is expected to enhance the negotiation power of small-scale farmers in their rice value chains, who are usually poor primary producers.

Cryptocurrency, Earnings, Market Summary

2 min Market Summary: 16 Nov 2018

Posted on by TrackRecord Trading

NOTABLE MOVES  

  • U.S. Core Retail Sales m/m at 0.7% vs expected 0.5%. Retail Sales m/m at 0.8% vs expected 0.6%. Philly Fed Manufacturing Index at 12.9 vs expected 20.1. U.S. Treasuries gave up early gains, returning yields to their unchanged marks. The benchmark 10-yr yield finished flat at 3.12%. USDJPY down -0.04%, $113.57.
  • Press reports indicated that Italian League economic adviser Borghi is making waves about Italy possibly leaving the eurozone if the Italian League wins a majority in the next election. Euro up 0.12%, $1.1324.
  • Brexit secretary Dominic Raab, and several other ministers, resigned a day after UK Prime Minister Theresa May received cabinet approval for her draft withdrawal statement. The resignations put pressure on May’s leadership position and the fate of the Brexit plan in the British Parliament. U.K. Retail Sales m/m at -0.5% vs expected 0.2%.Sterling dropped -1.77%, $1.2766.
  • WTI crude rose for the second straight session, adding 0.5% to $56.44/bbl, though is still well-off its October 3 high of $76.90/bbl. Also, the EIA’s weekly crude oil inventory report showed that U.S. crude stockpiles rose by a higher-than-expected 10.3 million barrels last week. USDCAD down -0.50%, $1.3173.
  • Aussie Employment Change at 32.8K vs expected 19.9K. Unemployment Rate at 5.0% vs expected 5.1%. Aussie up 0.47%, $0.7271.
  • S&P 500 up 1.06%, 2,730.20. Nasdaq up 1.78%, 6,890.45. Nikkei down -0.20%, 21,803.62.
  • U.S.-China trade optimism and strength from tech stocks, particularly Apple (AAPL 191.41, +4.61, +2.5%), contributed to the broader market overcoming its morning struggles. More news surrounding U.S-China trade developments helped fuel an afternoon rally. A Financial Times report suggested that China and the U.S. are trying to reach a trade truce ahead of the G-20 meeting at the end of the month. This should not be seen as anything particularly new, though, since similar reports were out earlier in the week. Commerce Secretary Wilbur Ross chimed in, and believes the G-20 meeting will be a ‘big picture’ meeting and he does not expect a deal by the end of the year. Nevertheless, the positive response caught some participants off guard and probably prompted some short-covering action. The trade-sensitive industrials sector finished with gain of 1.3%. Apple showed some resiliency after entering the session with a monthly loss of 14.7%. Morgan Stanley defended the stock, saying that it is currently a buying opportunity; the company also sees a price target of $253/share and is ‘Overweight’ on the stock. Also within the tech space, chipmakers put on a good showing, as the Philadelphia Semiconductor Index gained 3.3%, extending its winning streak to three sessions.  Of note, Warren Buffet’s Berkshire Hathaway (BRK.B 217.38, +1.35, +0.6%) disclosed that it initiated new positions in some financial companies including JPMorgan and also increased its positions in Bank of America and other notable financial companies. In earnings, Dow components Wal-Mart (WMT 99.54, -1.99, -2.0%) and Cisco Systems (CSCO 46.77, +2.44, +5.5%) reported upbeat reports but finished mixed. Wal-Mart beat earnings estimates and raised its 2019 fiscal year guidance, and Cisco beat top and bottom lines estimates. Nvidia (NVDA 168.45, -33.94, -16.77%) plummeted as much as 16% during after-hours trading Thursday after the company missed on revenue due in large part to an inventory overhang for mid-range gaming GPUs.
 
 
 

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

 

The government of South Korea’s Gyeongbuk province has launched a “Blockchain Special Committee” with the goal of creating a blockchain hub in the region, inviting 40 domestic and foreign experts in the industry to consult on the project. Gyeongbuk province will work with the special committee, composed of domestic and international experts, to preemptively respond and establish strategies, in order to nurture the blockchain industry. The Committee’s establishment is not the region’s first venture into blockchain. This summer, the province’s government announced plans to issue its own local cryptocurrency, dubbed Gyeongbuk Coin, which will reportedly be accepted by merchants across the region.

Major Russian Art Gallery Tretyakov Launches Blockchain-Based Art Patronage Project

The prestigious State Tretyakov Gallery in Moscow, Russia, is launching a blockchain-based art patronage scheme. The project, dubbed “My Tretyakov,” allows individuals or enterprises to make a private donation to contribute to the digitization of an item from the gallery’s collection, thereby become the artwork’s patron. According to a press statement from the gallery – the donation amount is still under discussion. The system randomly selects which storage unit (electronic copy of an object of art) will be considered digitized using this cartridge, and links the name to the object. The connection of the name or company name to the digitized exhibit is fixed using blockchain technology. My Tretyakov initiative represents a new form of public involvement in art.

Spanish Telecoms Operator Partners With IBM to Manage International Calls With Blockchain

IBM and major Spanish telecommunications firm Telefónica have partnered to apply blockchain technology to managing international mobile phone call traffic. The collaboration aims to streamline certain Telefónica business processes and address various challenges in the field, including the reliability and transparency of information registered from different networks when routing international calls. The project will also help Telefónica identify fraudulent activity as well as address issues like dispute resolution, commercial loss due to uncollected revenues, or discrepancies in information. Telefónica plans to use the IBM Blockchain Platform for tracking the certainty and traceability of each international call and related data, such as origin, destination, and duration. The platform will be applied in building a network of peers consisting of operators, service providers, vendors, and other parties. IBM subsequently confirmed the partnership with Telefónica.

Cryptocurrency, Earnings, Market Summary

2 min Market Summary: 15 Nov 2018

Posted on by TrackRecord Trading

  NOTABLE MOVES  

  • U.S. CPI m/m inline at 0.3%. Core CPI m/m inline at 0.2%. Japanese Prelim GDP q/q inline at -0.3%. USDJPY down -0.22%, $113.56. The 2-yr yield lost two basis points to 2.86%, and the 10-yr yield lost three basis points to 3.12%.
  • Italy stuck to its 2019 budget with a 2.4% deficit target and a growth forecast of 1.5%. The EU Commission is expected to give an update on Italy next Wednesday, Nov 21st. German Prelim GDP q/q at -0.2% vs expected -0.1%. Euro up 0.19%, $1.1312.
  • In Brexit news, UK Prime Minister Theresa May announced that her cabinet has approved the draft withdrawal agreement, but that draft is still subject to British Parliament and EU approval. The 585-page draft withdrawal agreement has now been published, alongside a shorter statement setting out what the UK and EU’s future relations will look like. U.K. CPI y/y at 2.4% vs expected 2.5%. PPI Input m/m at 0.8% vs expected 0.6%. Sterling up 0.08%, $1.2984.
  • Chinese Fixed Asset Investment ytd/y at 5.7% vs expected 5.5%. Industrial Production y/y at 5.9% vs expected 5.8%. Aussie Wage Price Index q/q inline at 0.6%. Aussie up 0.21%, $0.7233.
  • Aussie Wage Price Index q/q inline at 0.6%. Aussie popped in early Asian session on the back of strong numbers. Employment Change at 32.8K vs expected 19.9K. Unemployment Rate at 5.0% vs expected 5.1%. Aussie up 0.21%, $0.7233.
  • S&P 500 down -0.76%, 2,701.58. Nasdaq down -0.89%, 6,769.87. Nikkei up 0.16%, 21,846.48.
  • Stocks rallied at the open after the October CPI reading showed consumer prices rose 0.3% as expected last month, but soon fell back amid continued Apple (AAPL 186.80, -5.43) weakness and following a regulatory reminder from Congresswoman Maxine Waters. Waters, who is set to take over the House Financial Services Committee this January, vowed that the days of weakening regulations will be coming to an end. Waters’ comments should not be seen as a surprise though, as it was understood this would likely be the case following the midterm election results. Apple dropped -2.8%, extending its monthly losses to -14.7%, after being downgraded to ‘Neutral’ from ‘Buy’ at Guggenheim on Thursday.
  • Chip stocks, however, extended Tuesday’s rebound, pushing the Philadelphia Semiconductor Index higher by 0.4%. In earnings, Macy’s (M 33.22, -2.57) fell -7.2% despite beating profit estimates and raising its earnings guidance for its fiscal 2019 year. Cannabis stocks Canopy Growth (CGC 34.30, -4.18, -10.9%) and Tilray (TLRY 102.34, -9.21, -8.3%) also dropped after reporting. Canopy missed revenue estimates, while Tilray beat earnings estimates but its revenue was at the low end of its upside pre-announcement.

BLOCKCHAIN & CRYPTOCURRENCY NEWS  

New York Regulators Have Granted Their 14th Crypto License
The New York State Department of Financial Services (DFS) has just issued a new BitLicense to the New York Digital Investment Group (NYDIG), allowing it to offer crypto-related services in the Empire State. Allegedly, DFS has granted its virtual currency license to the company, allowing NYDIG to offer liquidity and asset management services to New York residents. DFS has also granted the NYDIG Trust Company, a subsidiary to the main entity, permission to operate as a limited purpose trust company. As such, NYDIG is now able to offer custody and trade execution services, including services for bitcoin, bitcoin cash, ether, XRP and litecoin. These services include self-custody, contracting with a third party to offer custodial services or contracting with NYDIG Trust or NYDIG Execution directly for custody services. NYDIG becomes the 14th institution to receive the virtual currency license, which has now been awarded to payments startups, crypto exchanges and a bitcoin ATM firm, among others.
$5 Trln FX Settlement Giant CLS to Launch Blockchain-Based Netting Service ‘Within Days’
Forex exchange (FX) settlement giant CLS will launch soon its IBM blockchain-powered netting service according to Chief Strategy Officer (CSO) Alan Manquard. CLS Group, which reportedly settles on average $5 trillion in payment instructions daily, is a U.S. FX settlement service supplier with high-profile members that include Goldman Sachs, JPMorgan, Barclays, and Citigroup. The netting service involves offsetting and the determination of the value of multiple positions or payments due to be exchanged between the parties accounting for factors such as the currency volatility caused by differences in time zones. In such cases, the service is used to fix the remuneration a given party is owed. The tech giant’s Hyperledger-based blockchain can tackle the 2.9 million daily transactions that are estimated to result in an average of 25,000 disputes per year, locking up around $100 million. It is also expected to reduce the time taken for dispute resolution from forty days to under ten.
Japan: Tokyo Police Arrest 8 Men Allegedly Involved in $68 Million Crypto Pyramid Scheme
Tokyo police have arrested eight men that are suspected of collecting a total amount of $68.4 million in cash and cryptocurrency using a pyramid scheme. The suspects claimed to run a U.S. investment company dubbed “Sener,” conducting seminars with foreign speakers. Allegedly, the suspects received cash and Bitcoin (BTC) from about 6,000 people in 44 prefectures, including Tokyo. A group lawsuit was filed at the Tokyo District Court by 73 victims of the fraud, seeking approximately $3.2 million in damages. Six persons have already admitted to the allegations, while two others deny them. The investigators believe the suspects tried to avoid prosecution by using cryptocurrencies, as they are in a “gray zone.” However, although digital currencies are not considered as securities that are under the jurisdiction of current law, they can be regulated depending on the structure of the investment.