Monday Market Open

Dear Reader,

Today I wanna give you some important advice, take it or leave it.

I want you to start embracing uncertainty, both in the markets and in life.

Life (and the markets) rarely follow a straight path.

So instead of fearing the unknown, see it as an opportunity to learn more.

The same goes for investors. We’ve all had shares in companies which went to shit. Don’t see it as a loss, learn from it. Could you have prevented it? Could you have done something different?

Learning from these experiences will make you better at life, and at investing.

And just remember, sometimes the most unexpected paths lead to the most rewarding destinations. (Look at Tesla in the last couple of years, for example.)

Have a good week and enjoy the Alpha,

Market Indices & Commodities

(As of Sunday Eve)

What happened?
The Recap of the Week

• US futures fall after poor earnings from Meta 📉

• Weinstein conviction overturned after appeal ⚖️

• Strong week of earnings caused some tech stocks to recover 💵

• TikTok could be banned unless its Chinese owner sells most of it 🤳

Graph of the Day
Who Wants The TikTok Ban?

News
What on the Horizon?

• Monday - Domino’s Pizza Inc, Paramount Global and Logitech International corporate earnings.

• Tuesday - PayPal Holdings, McDonalds Corp, Coca-Cola Co, Starbucks Corp, Amazon.com Inc, AMD Inc, Super Micro Computer and Pinterest Inc corporate earnings.

• Wednesday - Pfizer Inc, Mastercard Inc, Wingstop Inc and Etsy Inc corporate earnings.

• Thursday - Peloton Interactive Inc, Moderna Inc, Apple Inc, Coinbase Global Inc and Cloudfare Inc corporate earnings.

• Friday - Cheniere Energy Inc corporate earnings and fuck all else.

🧑‍💻It’s another big week of earnings for tech companies. Lots of restaurant stocks also make a feature this week.

The Secret Sauce
What Is Going On With The Japanese Yen?

What’s happened?

The yen reached a 34-year low against the US dollar last week and hit a low of ¥160.17 per dollar.

The yen has been sliding since as early as 2021, as the Bank of Japan (BOJ) has maintained extremely low interest rates. Meanwhile, the US Fed and other central banks have raised interest rates.

This downward spiral has continued in the last few weeks despite the BOJ raising interest rates last month for the first time in 17 years, as expectations of interest rate cuts in the US are fading due to above-target inflation.

Why is this a problem?

Although the weak yen has meant that Japanese exporters have seen a boost in profits, and it is cheaper for tourists to visit Japan, it is not all sunshine and rainbows.

The weaker yen means that the prices of imported goods are higher for producers and consumers. So, household budgets for the average Japanese households have taken a massive hit in the last few years.

So what’s that little spike on the right hand side of the graph for?

Well, it shows that the price of the yen has rebounded, quite frankly, remarkably. The yen reached a price of 155.01 to the dollar on Monday. This prompted speculation that the Japanese authorities had bought up the currency to prevent the currency from sliding more.

Masato Kanda, Japan’s top currency diplomat declined to comment when he was asked if authorities had intervened.

Thank you  
That’s all Folks

Hey, thank you for checking out Monday Market Open. Remember, embrace uncertainty. You either lose and learn from it, or win a fuck ton of money. What’s not to love?

Cheers,