The information in this message does not represent any financial or investment advice. They're just random thoughts in my head.
gm
MACRO - A strong day for equities yesterday which saw SPX and NDQ move almost 1.5% higher and thus taking SPX back above that psychological 4K level. Interest rates continue to be rangebound with the front-end of the curve selling off a little, putting us at 456/398/378/385bps across 2/5/10/30y while oil has seen a decent move lower back to $78. It's impressive to see sustained equity strength and I'd be curious to know if larger asset managers are changing their tune here with regard to risk and positioning into 2022.
CRYPTO - We saw some reasonable strength yesterday and that appears to have held with BTC back to 16.4K and ETH at 1150 while altcoins have seen a 5-10% bounceback in general. The thing to "watch out" for continues to be DCG. Barry Silbert yesterday wrote to investors and confirmed that the issues lie with Genesis lending and that it so far has no impact on its trading business. There is an intercompany loan from Genesis to DCG to the tune of $575m which matures in May 2023, proceeds of which were used to fund DCG stock buybacks among other investments. TLDR I think DCG/Genesis needs cash and they appear to have trouble raising it, and it is unclear to me still what the potential aftermath effects would be but I think there is generally a lot of counterparty risk. Until this is clearer/solved it's hard to see how crypto can truly break out of its recent dump.
NFTs - Valhalla is the recent new project with strong volumes, posting 2K ETH in the last 24H and achieving a floor of 0.74E having minted out at 0.5. It's interesting to see strong demand for what are marketed as higher quality projects with high mint prices and also see that price appreciation continue in the secondary market. Indeed, Cel Mates have continued their rally and are up almost 50% to a floor of 0.77E. Other than that volumes appear to be quiet but there does seem to be reasonably green price action, albeit in small amounts, across a few different projects.
GL today!
Comments
No posts