Monday, June 21, 2021

Daily Outlook for June 21st 2021

Notable Events

  • Dow up ~1.6%, S&P up ~1.2%, Nasdaq up ~0.6% to start the week after S&P 500’s drop below the 50MA (~4182) last Friday and on stabilized bond yields.
  • No notable companies to report earnings today after market close, $PLUG to report earnings tomorrow morning before market open.
  • Fed speakers will get a lot of attention in the week ahead. Powell speaks Tuesday before the House Select Subcommittee on the Coronavirus Crisis on the Fed’s policy response and the economy. His remarks could be a highlight of what looks to be a slow, but volatile first week of summer for markets. New York Fed President John Williams will speak this afternoon at 3pm EST, while San Francisco Fed President Mary Daly and Cleveland Fed President Loretta Mester, will speak Tuesday. Other Fed speakers include Atlanta Fed President Raphael Bostic and St. Louis Fed President James Bullard later this week.
  • Bitcoin dropped 7% on Monday, trading under $33,000 for the first time in nearly two weeks, on reports that China’s crackdown on cryptocurrency mining extended to the southwestern province of Sichuan. This follows similar developments in China’s Inner Mongolia and Yunnan regions, as well as calls from Beijing to stamp out crypto mining due to worries over its massive energy consumption. The Communist Party-backed Global Times estimates that more than 90% of China’s bitcoin mining capacity has been shut down.
  • Long-term Treasuries: 10yr at 1.47%, 20yr at 2.00% and 30yr at 2.06%.
  • Cryptocurrencies: $BTC ~$32,250, $ETH ~$1,900, $DOGE ~$0.22.

Tradable Opportunity Watchlist

  • RIOT, MARA, MSTR – down significantly after China’s crackdown on crypto-mining.

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