The information in this message does not represent any financial or investment advice. They're just random thoughts in my head.
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MACRO - Equities had a soft close yesterday ending 0.75% and 1% lower respectively as the market continues to digest comments made by Bullard this week. Futures are opening a small amount higher, +0.3% and 0.7% on both. Interest rates have stayed stubbornly stable in the last couple of days, was interesting to see we didn't move meaningfully higher on Bullard's comments and I suppose that's because he's not talking about raising rates further, he's talking about gapping it to the terminal rate faster than perhaps the Fed is planning. If you read headlines this morning there's talks of Google cutting a bunch of jobs, Microsoft doing the same, and indeed layoffs by tech companies in the last few weeks have dominated a lot of the headlines. I talk a lot about how we need the labour market to come lower for the Fed to pivot, I think we're probably seeing the beginning of that happening.
CRYPTO - Really solid price action yesterday which sees BTC once again rise above 21k and ETH hovering at 1561. We saw $APE underperform a couple of days ago, and it's rallied back to just short of $5 (about a 10% move) after the launch of Yuga's Dookey Dash game has so far yielded a positive reception. There are in-game power ups which give you a better probability of reaching a high score, it costs 2 $APE for every 10 mins so there's an argument to say this will create some demand for $APE but I am having a tough time quantifying what that could be. We seem to have a pattern of late of having bullish price action in crypto into and during the weekend, curious to see if that repeats.
NFTs - Sewer Passes continue their ascent, rising by an additional 34% overnight to a floor of 2.16ETH on Tier 1 passes; this comes after another whopping 5K ETH in volumes which is impressive. It does appear today that the value created from this airdrop has benefitted the rest of the NFT market as most things look like they're up 5-10% with listings relatively flat. I continue to think we will see further "stimulus-like" effects from Sewer Passes to the rest of NFTs. Yesterday it was announced that the $BLUR airdrop will happen on 14th February, later than expected. This means we'll have to go through about another month's worth of $BLUR airdrop farming; and this will be after we get another payrolls, CPI and FOMC so the world could be in a completely different place! So yeah...expect more shenanigans.
GL today and touch some grass this weekend.