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Nearly 40% of patients left a Sage Therapeutics study of a treatment for tremors due to side effects.
(Bloomberg) -- The U.K.’s fraud prosecutor opened a probe into Sanjeev Gupta’s GFG Alliance over suspicions of fraud and money laundering, causing a potential lender to the group to withdraw from agreements to provide new financing.The Serious Fraud Office is investigating “suspected fraud, fraudulent trading and money laundering in relation to the financing and conduct of the business,” according to a statement. The probe includes the financing arrangements with Greensill Capital UK Ltd. The SFO has been looking at GFG since Greensill’s collapse in March and decided to open a formal probe, according to a person familiar with the investigation.As a result, White Oak Global Advisors LLC is pulling out of discussions to provide loans to Gupta’s businesses. “As with any regulated financial institution, we are not in a position to continue discussions with any company that is under investigation by the Serious Fraud Office for money laundering,” a spokesperson for the group in London said.The Financial Times first reported that White Oak was pulling out of financing talks. A representative for GFG declined to comment on White Oak’s decision. Last week, Bloomberg reported Gupta had agreed a 200 million pound ($282 million) facility with the San Francisco-based lender to provide working capital to his U.K. steel businesses. He had also secured the refinancing of one of his Australian units.It’s a massive setback for the tycoon, who appeared to be just on the cusp of securing a lifeline for his beleaguered metals empire. He now faces the extremely difficult task of negotiating new loans while being subject to a fraud probe.Prosecutors are starting to round in on both Gupta and Greensill, after months of scrutiny from lawmakers and the media over its financing practices. Earlier this week, the U.K. Financial Conduct Authority said it was also investigating Greensill and cooperating with counterparts in other U.K. enforcement and regulatory agencies.It’s also working with German, Australian and Swiss authorities. The FCA and SFO probes are completely separate although inevitably will involve cross-over and information sharing, according to the person familiar with the investigation.Read More: Lex Greensill Says His Investors Knew What They Were Buying“GFG Alliance will co-operate fully with the investigation,” a GFG spokesperson said. Grant Thornton, Greensill’s administrators, declined to comment.While the SFO has collected billions in fines in recent years from companies with deferred prosecution settlements, its track record in the criminal courts is patchy. Last month a trial into two Serco Group Plc directors collapsed and the agency lost a mammoth case against Barclays Plc bankers in 2020.GFG has come under the microscope after the collapse of Greensill Capital in March revealed it had been a recipient of financing based on expected future invoices, for sales that were merely predicted.What has also come to light is the activities of the tycoon’s trading business Liberty House Group. Four banks stopped working with the company, starting in 2016, after they became concerned about what they perceived to be problems in paperwork provided by Liberty, Bloomberg News reported.Read More: As Gupta Rose From Trader to Tycoon, Several Banks Backed AwayGreensill was Gupta’s largest source of financing before its collapse. The London-based lender supplied billions of dollars in loans to GFG, many of which were packaged and sold onto investors in funds run by Credit Suisse Group AG. Greensill fell into administration after a key insurance partner didn’t renew coverage on loans made to some of its customers, including GFG.Much of the financing extended to GFG by Greensill was from the finance firm’s German banking unit. Germany’s financial watchdog shuttered Bremen-based Greensill Bank AG and asked law enforcement officials to investigate accounting irregularities at the lender in March. The bank was closed after the lender identified problems in how Greensill Bank booked assets tied to Gupta’s companies.The announcement of the probe came a day after former Prime Minister David Cameron was grilled by lawmakers over his employment by Greensill. He defended his intensive lobbying on behalf of the firm as part of a parliamentary inquiry that’s raised questions over private dealings at the top of the British government.(Updates with detail of White Oak talks collapsing.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
On Wednesday, Ethereum (CCC:ETH-USD) co-founder Vitalik Buterin donated some $1 billion in Shiba Inu (CCC:SHIB-USD) crypto to help India fund its Covid-19 response. Source: shutterstock.com/JFunk The strange thing? Buterin never bought the Shiba coin himself. Instead, the Shiba community had gifted him the crypto as a joke. By sending him 50% of the outstanding coins, the gag went, the currency would become immune to a “rug pull” where controlling stakeholders hijack the coin for personal gain. Other joke cryptos — from Akita Inu (CCC:AKITA-USD) to Dogelon Mars (CCC:ELON-USD) — have since done the same.InvestorPlace - Stock Market News, Stock Advice & Trading Tips At the time, the 505 trillion Shiba coins were worth precisely $0, according to CoinMarketCap. Their first recorded price five months later — a princely sum of $0.0000000013 — would have valued Buterin’s coins at just $560,000. Fast forward to today and his SHIB coins alone are worth well over $9 billion. His other holdings add several billion more. 10 Dividend Aristocrat Stocks for Your Reliability Short List Already in 2021, cryptocurrencies have become one of the strangest financial manias in human history. Since January, digital currencies have added more than $1.3 trillion in market capitalization, growing far faster than the Nasdaq bubble of 1999. Traders have bought and sold trillions of dollars in cryptocurrency in the first five months of this year, even more than Americans spend on housing annually. As financial institutions start jumping into the fold, things will only get stranger. Much like the media giants of 1999, the U.S. banking sector of 2021 has begun rushing into an industry for fear of missing out. Whenever banks have run into an industry they don’t quite understand, the results have always been the same: historians look back and ask, “what on earth were those morons thinking?” The 2021 Crypto Bubble: Echoes of 1999 So far, the rise of cryptocurrencies has followed the same pattern of most asset bubbles: A grain of truth emerges (the idea that cryptocurrencies can help grease the wheels of finance). As the dominant players win (i.e., Bitcoin (CCC:BTC-USD) and Ethereum rise), the initial grain of truth gets stretched to extremes (the idea that all cryptocurrencies must win). The bubble bursts, leaving speculators with severe losses. The 1999 tech bubble followed this arc to a tee. For example, in 1999, one University of Pennsylvania study counted no fewer than 1,500 online marketplaces, as companies scrambled to join the internet revolution. Legacy firms like Mattel (NASDAQ:MAT) and Time Warner (now owned by AT&T (NYSE:T)) went on to splash out billions in buying these unprofitable tech moonshots. But the bonanza didn’t last. By 2004, only 31 had survived. Of those, only one public company — 1-800Contacts — ended with a price above its initial public offering. The remainder would spend years recouping lost share prices. (It would take Amazon (NASDAQ:AMZN) almost a decade to break out of its $90-range.) As for the legacy firms that bought in on fear? Time Warner would eventually write down 97% of AOL’s value, while Mattel would sell The Learning Company for a “catastrophic $27 million.” Fools Rush In Legacy banks have already started feeling the echoes of 1999. Much like the rise of digital media companies, today digital currencies pose an existential threat to existing players. Every dollar of deposits lost to Bitcoin or central-bank digital currencies means less available for lending. Many point to Facebook’s (NASDAQ:FB) Libra as the “Sputnik Moment” for banks. If a tech firm could issue a currency, why would customers need commercial banks? In response, bulge-bracket banks have rushed to develop in-house crypto platforms. Those without the means have started splashing out on acquisitions instead. According to PwC, a global consultancy, crypto deal-making already doubled in 2020 to $1.1 billion — a minor but rapidly growing figure. Now, 2021 has turned out even stranger. This week, the Andreessen Horowitz-backed Internet Computer Price (CCC:ICP-USD) quickly hit a $45 billion valuation. Today, it is the ninth largest cryptocurrency in the world by market cap. Few developers back the new currency, but its star-studded team was enough for investors to buy in. This Time It’s Worse: The Rise of ScamCoin It’s no surprise that the 2021 crypto bubble has inflated far faster than the 1999 tech one. Unlike dot-com companies, a skilled programmer can create a new cryptocurrency within minutes. Many tokens on the Ethereum or Binance (CCC:BNB-USD) blockchain don’t even bother with innovation — coins like SafeMoon (CCC:SAFEMOON-USD) copy their code directly from existing tokens. CoinMarketCap now counts over 5,000 different digital currencies. Adding in Ethereum and Binance’s token contracts puts that figure well over 700,000. In April, one TikTok creator made a coin called “SCAM” to highlight the absurdities of these copycats. “I just made the coin as a joke,” said Andre Lewis. The internet had the last laugh, sending the coin to a $70 million valuation within an hour. Within four days, the token would reach a peak value of almost $12 billion before Lewis shut the entire project down. How did this happen? In their rush to adopt digital currencies, institutional investors have created an aura of legitimacy around cryptocurrencies. Today, firms from JPMorgan to Citibank publish glowing reports on six-digit price targets for Bitcoin. That means legitimate cryptocurrencies like Ethereum now trade alongside jokes like Shiba Inu. As more cryptocurrencies join the fold, it will become increasingly difficult to tell them apart. Will Any Crypto Win? To a certain extent, all cryptocurrencies essentially serve the same purpose — to help investors record monetary and real-world transactions. Ethereum and its “Ethereum killer” competitors — like Cardano (CCC:ADA-USD) and Polkadot (CCC:DOT-USD) — track nonfungible items in the real world. Meanwhile, Bitcoin and competitors like Dogecoin (CCC:DOGE-USD) and Litecoin (CCC:LTC-USD) act as stores of digital value. That means the survival rate for cryptos will likely be lower than those seen by 1999 e-commerce companies. When coins like Litecoin and Dogecoin have practically zero technological differentiation, there’s no practical reason for both to exist. Like past bubbles, retail investors will be the first ones to lose. Currencies like Dogecoin, SafeMoon and Shiba Inu have already lost traders billions from peak to trough. Copycats like Dogelon Mars, SafeMars (CCC:SAFEMARS-USD), and Akita Inu will likely keep these miniature boom-bust cycles going. But institutional investors will eventually inflate the broader bubble to a breaking point. From the Savings and Loan (S&L) Crisis of the 1980s to the mortgage-backed bonanza of the mid-2000s, financial institutions have a long history of taking good ideas to terrible extremes. Just like one Citigroup (NYSE:C) executive said in 2007, “as long as the music is playing, you’ve got to get up and dance.” In the near term, that means Bitcoin and its blue-chip altcoin counterparts will continue to see their values inflate. Financial institutions seem intent on keeping up with central banks and tech firms in adopting digital currencies. In the longer term, however, most cryptocurrencies will implode. Like Amazon’s competitors that went bankrupt, most of the 700,000 tokens today will disappear. Just like the 1999 bubble, we’ll look back at 2021 — a year where billions in Dogecoin rested on a single SNL performance — and wonder “what were those morons thinking?” On the date of publication, Tom Yeung did not have (either directly or indirectly) any positions in the securities mentioned in this article. Tom Yeung, CFA, is a registered investment advisor on a mission to bring simplicity to the world of investing. More From InvestorPlace Why Everyone Is Investing in 5G All WRONG It doesn’t matter if you have $500 in savings or $5 million. Do this now. Top Stock Picker Reveals His Next Potential 500% Winner Stock Prodigy Who Found NIO at $2… Says Buy THIS Now The post SafeMoon, Shiba Inu, Dogecoin: The 2021 Crypto Bubble Is Unlike Anything We’ve Seen appeared first on InvestorPlace.
Now that the IRS knows more about your earnings, you may be eligible for more support.
(Bloomberg) -- U.S. stocks rose and Treasury yields declined for a second consecutive day as more-tempered commodity prices helped allay concerns about inflation risks.Energy and technology shares led the S&P 500, which tumbled Wednesday by the most since February. The tech-heavy Nasdaq 100 outperformed the broader index, suggesting a market recovery is gaining momentum, after a bruising week that saw gathering price pressures hit equities. Both indexes still finished the week in the red. An advance in European stocks was led by cyclical industries. MSCI Inc.’s Asia-Pacific share gauge advanced more than 1%.“People are very optimistic economically,” said Simon Maughan, head of trading alpha at Liquidnet. “Between now and the end of the year, the market is still on the upward trajectory. Clearly sentiment is extremely optimistic about pent-up demand.”Markets appear to be regaining their equilibrium at the end of their biggest retreat in 11 weeks, with the focus of the benefits of an economic rebound overriding worry about the negative side-effect of inflation, for now.The Federal Reserve’s policy is in a good place right now, said Cleveland Fed President Loretta Mester, while playing down signals from data that she warns will be volatile as the economy reopens.That may help to reinvigorate the reflation narrative of picking value shares tied to economic growth over pandemic stay-at-home favorites. Walt Disney Co. fell after results that showed a faltering in growth at streaming service Disney+.Treasuries gained after a report showed U.S. retail sales stalled in April following a sharp advance in the prior month. The dollar remained weaker against all of its Group of 10 peers.“The disappointing retail sales numbers shouldn’t really come as a huge surprise given that last month encompassed stimulus money hitting bank accounts,” said Mike Loewengart, managing director of investment strategy at E*Trade Financial. “It probably supports the point of view that the dip we experienced this week is a buying opportunity as all sectors march toward full recovery.”Iron ore continued its fall from a record amid efforts by China to clamp down on surging prices, with the metal set for the biggest two-day plunge since 2019. Oil erased an earlier decline, paring its weekly loss.Bitcoin traded above $50,000, reversing some of its slump on Tesla Inc.’s decision to suspend purchases using the digital currency.The MLIV Question of the Day is: When Can Crypto Reach Mainstream Investing?These are some of the main moves in markets: StocksThe S&P 500 rose 1.5%, more than any closing gain since March 26 as of 4 p.m. New York timeThe Nasdaq 100 rose 2.2%, more than any closing gain since March 11The Dow Jones Industrial Average rose 1.1%The MSCI World index rose 1.6%, more than any closing gain since March 1CurrenciesThe Bloomberg Dollar Spot Index fell 0.3%, more than any closing loss since May 7The euro rose 0.5% to $1.2143The British pound rose 0.3% to $1.4098The Japanese yen rose 0.1% to 109.35 per dollarBondsThe yield on 10-year Treasuries declined three basis points to 1.63%Germany’s 10-year yield declined one basis point, more than any closing loss since May 4Britain’s 10-year yield declined four basis points, more than any closing loss since May 4CommoditiesWest Texas Intermediate crude rose 2.4%, the most since May 4Gold futures rose 1% to $1,843 an ounceFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
The IRS detailed on how it will handle a mixup involving a tax break for jobless benefits that became law a month after many already filed returns.
Two of the world's most prominent billionaires Tesla Inc.'s CEO Elon Musk and Jack Dorsey are facing off over the merits of bitcoin, with the future of the world's No. 1 crypto likely hanging in the balance.
Last week, we witnessed a classic “buy the rumor, sell the news” event with the cryptocurrency Dogecoin (CRYPTO:DOGE). Many Dogecoin enthusiasts were hoping that Tesla (NASDAQ: TSLA) CEO Elon Musk’s stint hosting the television show “Saturday Night Live” would lead to higher prices. After all, Musk has been known to pump the price of this cryptocurrency on Twitter and has been one of its biggest supporters. With so many Dogecoin holders anxious to see what the Dogefather had to say Saturday, the price of cryptocurrency rallied hard into the event to hit a record high of $0.74. Unfortunately, Doge investors learned that sometimes these types of events simply cannot live up to the hype. The price of Doge dropped more than 30% following the premiere of the show after Musk failed to deliver the praise for the cryptocurrency investors were hoping for. Traders can learn a lot from this story, particularly since this “buy the rumor, sell the news” scenario repeats itself time and time again in financial markets. It highlights just how difficult it can be to trade based on the news and should be viewed as a cautionary tale. With that said, perhaps the most important lesson here is that instead of gambling on Dogecoin, why not learn a trading strategy that can deliver real results? For example, Mindful Trader has created a data-driven swing-trading strategy that can potentially help you grow your account. Because he has analyzed and dissected historical stock market price data to test his trading strategy, you won’t have to worry about trying to guess right on binary events like the one mentioned above. Instead, you can use a statistical approach with proven results to take your trading to the next level. Signing up for the Mindful Trader service gives you access to tutorials and all the trading rules he uses for successfully generating returns with stocks and options trading. He also provides data-driven stock picks that he trades himself, which allows you to learn while following his suggestions. Whether you are a beginner trader or a seasoned veteran, Mindful Trader has something for everyone. Since Mindful Trader uses a swing-trading strategy that relies on price movement, not hope, you will always be confident in making a trade. That means you won’t have to trade the news and rely on hype to potentially generate returns like those unfortunate Dogecoin investors mentioned above. Check out this link to learn more about Mindful Trader’s trading strategy and why it’s such a smart alternative to gambling with Dogecoin. See more from BenzingaClick here for options trades from BenzingaThese OTC Securities Had the Most Trading Activity in April3 Advantages to Binary Options Trading with Nadex© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
An improving economy and rising inflation are likely to pull rates higher before long.
Here's how to tell if dogecoin's rebound is more bark than bite, according to technical analysts following the popular crypto.
The agency is plagued with setbacks that are causing a major backlog of returns.
(Bloomberg) -- AT&T Inc. is in talks to combine its media business with Discovery Inc. in a deal that would create a new entertainment giant, according to people with knowledge of the matter, a surprising move for a company that spent $85 billion to acquire the assets less than three years ago. A deal could be announced as soon as this week, said the people, who asked not to be identified because the information is private.The idea is to combine Discovery’s reality-TV empire with AT&T’s vast media holdings, building a business that would be a formidable competitor to Netflix Inc. and Walt Disney Co. Any deal would mark a major shift in AT&T’s strategy after years of work to assemble telecommunications and media assets under one roof. AT&T gained some of the biggest brands in entertainment through its acquisition of Time Warner Inc., which was completed in 2018.Through its WarnerMedia unit, AT&T owns CNN, HBO, Cartoon Network, TBS, TNT and the Warner Bros. studio. Discovery, backed by cable mogul John Malone, controls networks including HGTV, Food Network, TLC and Animal Planet.Chief Executive Officer David Zaslav has helped Discovery bulk up through acquisitions, including a purchase of HGTV owner Scripps Networks Interactive Inc. that closed in 2018. Discovery’s class A shares have risen more than 18% this year, valuing the company at almost $24 billion. AT&T has gained 12%, giving it a market capitalization of $230 billion in New York.The companies are still negotiating the structure of a transaction, and details could change, the people said. Representatives for AT&T and Discovery declined to comment.Selling AssetsAT&T CEO John Stankey has been cleaning house at the sprawling telecom titan, cutting staff and selling underperforming assets. The company has been funneling money into rolling out its 5G wireless network, which requires billions of dollars of investment, as well as expanding its fiber-optic footprint.The company has been boosting movie and television production to attract subscribers to its HBO Max streaming service. It also needs cash to pay down debt.Any move involving AT&T’s content assets would come just months after it reached a deal to spin off its DirecTV operations in a pact with buyout firm TPG. AT&T agreed in December to sell its anime video unit Crunchyroll to a unit of Sony Corp. for $1.2 billion.The company has also parted with its Puerto Rico phone operations, a stake in Hulu, a central European media group and almost all its offices at New York’s Hudson Yards.(Updates with timing of deal in second paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
It’s the end of the week and we’re closing it out right here at InvestorPlace with coverage of the most talked-about penny stocks on Reddit for Friday. Source: Shutterstock But don’t just jump right in. First, I have to warn you about the dangers of penny stocks. If you’re reading an article like this, then you likely already know, but penny stocks can be incredibly volatile. That’s due to the cheap prices making them easy to manipulate. However, that low barrier to entry is also what attracts fearless traders. Now, let’s dive into the Reddit penny stocks seeing the most chatter today.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Reddit Penny Stocks: Senseonics Holdings (SENS) All about the company: Senseonics Holdings (NYSEAMERICAN:SENS) is a Taiwanese company that makes power supplies for PCs. What the stock is doing today: Shares are heading nearly 12% higher today. What Reddit has to say: Users of the r/pennystocks subreddit are talking about the positive earnings report from the company. Reddit Penny Stocks: Atossa Therapeutics (ATOS) All about the company: Atossa Therapeutics (NASDAQ:ATOS) is a clinical-stage biopharmaceutical company focusing on breast cancer treatments. What the stock is doing today: Shares are heading more than 16% higher. What Reddit has to say: Reddit traders are discussing the withdrawal of a share authorization vote today. 10 Dividend Aristocrat Stocks for Your Reliability Short List Reddit Penny Stocks: Citius Pharmaceuticals (CTXR) All about the company: Citius Pharmaceuticals (NASDAQ:CTXR) is a specialty pharmaceutical company focused on developing therapeutic products. What the stock is doing today: Shares are up 2.4%. What Reddit has to say: Redditors are debating the merits of holding the stock over using it for day trading. Reddit Penny Stocks: Clover Health Investments (CLOV) All about the company: Clover Health Investments (NASDAQ:CLOV) is a health insurance company founded in 2014 that operates out of Tennessee. What the stock is doing today: Shares are heading over 4% higher today. What Reddit has to say: Traders are chattering about picking up shares ahead of earnings on Monday. Reddit Penny Stocks: Applied Genetic Technologies (AGTC) All about the company: Applied Genetic Technologies (NASDAQ:AGTC) clinical-stage biotechnology company focusing on developing genetic therapies for patients. What the stock is doing today: Shares are rising 4.4% Friday. What Reddit has to say: Members of the penny stocks subreddit are talking about recent manufacturing expansion news from the company. On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that InvestorPlace.com’s writers disclose this fact and warn readers of the risks. Read More: Penny Stocks — How to Profit Without Getting Scammed More From InvestorPlace Why Everyone Is Investing in 5G All WRONG It doesn’t matter if you have $500 in savings or $5 million. Do this now. Top Stock Picker Reveals His Next Potential 500% Winner Stock Prodigy Who Found NIO at $2… Says Buy THIS Now The post 5 Reddit Penny Stocks Seeing the Most Chatter Friday appeared first on InvestorPlace.
When in February Glauber Contessoto decided to invest his life savings in Dogecoin (CRYPTO: DOGE), his friends questioned his mental soundness. Now that this decision has made him a millionaire (on paper), many may also be bewildered by his decision to not liquidate the investment. What Happened: Contessoto told The New York Times that his friends and family called him "crazy" when he made the decision that made him a millionaire. “It’s a joke coin. It’s a meme. It’s going to crash," he said his friends told him. Still, the markets are hardly following good sense these days, and Dogecoin has grown to become a network more valuable than blue chip companies Ford Motor (NYSE: F) and Kraft Heinz (NASDAQ: KHC). Like many others, Contessoto read about Dogecoin on Reddit. Then he made the unusual decision of going all-in on the coin: He maxed out his credit cards, borrowed money on Robinhood and spent everything he had. The value of Contessoto's investment is now about $2 million, making him a perfect example of what the article describes as "a new kind of hyper-online investor who is winning by applying the skills of the digital attention economy — sharing memes, cultivating buzz, producing endless streams of content for social media — to the financial markets." Such investors aren't interested in investing rationally. Instead of deciding what to invest in based on fundamentals, they invest according to what is funny or futuristic-looking or by how many celebrities are tweeting about it. “Memes are the language of the millennials," Contessoto said. "Now we’re going to have a meme matched with a currency.” Playing The Story: Contessoto explained that he believes that "Dogecoin has the best branding of all cryptocurrency" and that all the other coins appear "super high tech and futuristic," while Dogecoin "just looks like: 'Hey, guys, what’s up?'” While that may not be the most scientific of explanations, he believes that this is a big plus given that newbies investing in cryptocurrency for the first time might prefer investing in something more fun and recognizable. This Dogecoin millionaire believes that the coin's price will continue its ascent and does not want to miss out on future profits. He has already lost hundreds of thousands since the coin was at its all-time high, but he plans to continue holding and only liquidate 10% next year, once his earnings will be classified as long-term capital gains and taxed at a lower rate. See more from BenzingaClick here for options trades from BenzingaCardano And Polygon Skyrocket To New All-Time Highs As Investors Seek Elon Musk's Next Favorite CryptoHere's How You Can Get Shiba Inu For Free© 2021 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Dogecoin will likely transition from a proof-of-work protocol to proof-of-stake, speculated Alex Mashinsky, the chief executive and founder of The Celsius Network on Friday during a webcast hosted by his lending platform on YouTube.
With the right asset allocation and withdrawal strategy, investors may not worry so much about the large sum of money in their accounts.
Income stocks and retirement go hand in hand because they are both built for the long term. You don’t buy stocks for their dividends for the short term. They are steady investments that enhance your wealth the old-timey way, slowly over time. The challenge is to find stocks that can maintain and grow their dividends year after year. If their dividends are solid, their business is likely solid as well, and you’ll also see stock price growth, too. But there are stocks in special categories — limited partnerships (LPs), real estate investment trusts (REITs), business development corporations (BDCs) — that are structured in such a way that they cut the investor directly in on net profits and can offer tantalizing dividend yields.InvestorPlace - Stock Market News, Stock Advice & Trading Tips 10 Dividend Aristocrat Stocks for Your Reliability Short List However, they can be cyclical, and those dividends may be here one day, gone the next. The seven dividend stocks to avoid in your retirement portfolio are unreliable stocks right now, so keep them out of your long-term plans. Boston Properties (NYSE:BXP) PPL Corp (NYSE:PPL) Energy Transfer LP (NYSE:ET) AT&T (NYSE:T) VF Corp (NYSE:VFC) Equity Residential (NYSE:EQR) Lamar Advertising (NASDAQ:LAMR) Retirement Stocks to Avoid: Boston Properties (BXP) Source: Shutterstock Real estate is hot, so why is this REIT on the list? Because it’s the wrong kind of real estate in the wrong places. Certainly, in this low-interest-rate environment, REITs as a whole have done well. But you don’t judge a stock on how well it does in the good times. It’s how it gets through the bad times that matters most for long-term investors looking toward retirement. BXP is the largest publicly traded commercial real estate developer in the U.S. It has nearly 200 buildings in Boston, Los Angeles, San Francisco, New York City and Washington, DC. These major cities were also experiencing an exodus of corporate workforces even before the pandemic. And now it’s worse. Add to that the kryptonite of REITs — rising interest rates — and BXP becomes a REIT that’s looking like shopping mall REITs did a few years ago. Given that, its 3.7% dividend may look tempting now, but the stock is already pulling back. The stock gets a D rating in my Portfolio Grader. PPL Corp (PPL) Source: Shutterstock With a 5.72% dividend and utility businesses in the U.K., as well as boomtown Louisville and central Pennsylvania, this would seem like a great stock for buy-and-hold investors looking toward retirement cash. But the U.K. business is up for sale, and rising rates aren’t good for utilities because it’s a cash-intensive business, keeping everything running, reliable and safe. That means rising rates aren’t going to help PPL. And if it sells its U.K. business, that’s going to affect cash flow, which may have a negative effect on its generous dividend. If it has to cut its dividend, that is usually like blood in the water with investors. This isn’t the time to be blinded by PPL’s risks just for the sake of its alluring dividend. 7 Great Growth Stocks to Consider for Your Short List The stock gets a D rating in my Portfolio Grader. Energy Transfer LP (ET) Source: Casimiro PT / Shutterstock.com As a limited partnership, ET treats its shareholders (technically unitholders) as owners and by law pays them out of net profits using a stock dividend. Given the comeback in oil stocks recently, it’s not surprising that ET’s current dividend is 6.11%. That’s certainly tempting, but there’s plenty of risk and volatility that comes along with that. ET is a leading midstream oil company, which means it makes its money in pipelines, moving oil, natural gas and natural gas liquids from fields to refineries and distribution centers. Do you remember Standing Rock? That was an ET-owned pipeline trying to get across the Sioux Nation. It’s still an issue. And then there’s the current ransomware attack on the Colonial Pipeline on the East Coast. The point is, there are risks here. It’s a big company, moving about 30% of the energy patch bounty around the nation. But LPs and their dividends aren’t something you can count on, and the industry is cyclical, which isn’t exactly what you want in a retirement stock. The stock gets a D rating in my Portfolio Grader. AT&T (T) Source: Roman Tiraspolsky / Shutterstock.com It seems odd to see the old Ma Bell on this list given its long reputation as a blue-chip company. However, T isn’t the company of old. As a matter of fact, you could make the argument that its legacy is precisely what has put it in the predicament it’s in today. It thought its primacy was going to continue when the mobile market exploded, given its powerful position in the telecom world. But more aggressive competitors started going after AT&T’s dissatisfied base, and today it’s losing ground. What’s more, when it bought TimeWarner Media it wasn’t prepared for entering the new digital content and streaming sector. It has been an expensive lesson. It’s crazy to think this company with a $230 billion market capitalization and 6.5% dividend is a risky choice for retirement money, but that’s where we are. 7 Stocks to Start your Robinhood Portfolio With Just $2,000 The stock gets a D rating in my Portfolio Grader. VF Corp (VFC) Source: rblfmr / Shutterstock.com On any given day, you likely see a brand or two that belongs to VF Corp. It has been making apparel since 1899, and today owns brands like Dickies, Supreme, The North Face, Jansport, Vans, Timberland and others. That seems like a pretty solid portfolio of brands covering work, outdoors and upscale leisurewear, and it is. But it’s also competing in a very competitive, low-margin market for the most part. And it’s at the will of consumer spending. Year to date, the stock is slightly underwater. And its 2.3% dividend is solid, for now. But any disruption with suppliers in China or a weakening dollar could hurt margins. There are plenty of other stocks without these risks, with better payouts. The stock gets a D rating in my Portfolio Grader. Equity Residential (EQR) Source: IgorGolovniov / Shutterstock.com As its name implies, EQR is a residential REIT focused on apartment buildings in major cities around the country — Washington, DC; New York; Denver; Seattle; southern California — to name a few. The trouble is, the pandemic has moved the country online, and work-from-home solutions may well become part of the new work reality for some. Hybrid work schedules will make it less important to be working in a dense, loud, expensive city. That means current rents and building fees may take a hit to keep units full. And given current unemployment rates, there may be tenants that just don’t have the means to live downtown. The stock is up 25% year to date, and it has a 3.3% dividend. There are much better REITs out there at this point. 10 Ideal Dividend Stocks for Your Retirement The stock gets an F rating in my Portfolio Grader. Lamar Advertising (LAMR) Source: Andriy Blokhin / Shutterstock.com Forget about digital advertising, LAMR has been in the advertising business since 1902. But its business is about 200 billboards around the U.S. and Canada, as well as about 325,000 logos, signs and transit displays. About seven years ago, it transitioned the company into a REIT. It’s certainly a unique business, and there are none of the risks that go along with many REITs trying to make money in a rising interest rate environment. But LAMR is expensive, trading at a current price-to-earnings (P/E) ratio of 42. There’s just not enough growth in its model for that kind of valuation. Its current dividend is around 3%, but it’s hard to see how LAMR continues at this pace long term. The stock gets a D rating in my Portfolio Grader. On the date of publication, Louis Navellier has no positions in any stocks in this article. Louis Navellier did not have (either directly or indirectly) any other positions in the securities mentioned in this article. The InvestorPlace Research Staff member primarily responsible for this article did not hold (either directly or indirectly) any positions in the securities mentioned in this article. Louis Navellier, who has been called “one of the most important money managers of our time,” has broken the silence in this shocking “tell all” video… exposing one of the most shocking events in our country’s history… and the one move every American needs to make today. More From InvestorPlace Why Everyone Is Investing in 5G All WRONG It doesn’t matter if you have $500 in savings or $5 million. Do this now. Top Stock Picker Reveals His Next Potential 500% Winner Stock Prodigy Who Found NIO at $2… Says Buy THIS Now The post 7 Dividend Stocks to Avoid in Your Retirement Portfolio appeared first on InvestorPlace.
Institutional investors do not take kindly to inflation and they sold. 1. If indexes fall below their moving averages, take action: Traders and investors alike should watch moving averages, especially the 50-, 100-, and 200-day. When the indexes were sliding a few days ago, the S&P 500 (SPX) for example, did not break its 50-day moving average at 4050.
(Bloomberg) -- Billionaire George Soros’s investment firm snapped up shares of ViacomCBS, Discovery and Baidu as they were being sold off in massive blocks during the collapse of Bill Hwang’s Archegos Capital Management.Soros Fund Management bought $194 million of ViacomCBS Inc., Baidu Inc. stock valued at $77 million, as well $46 million of Vipshop Holdings Ltd. and $34 million of Tencent Music Entertainment Group during the first quarter, according to a regulatory filing released Friday. A person familiar with the fund’s trading said the company didn’t hold the shares prior to Archegos’s implosion.Archegos, the family office of former hedge fund manager Hwang, fell apart during the last week of March after amassing large leveraged positions in a concentrated portfolio of U.S. and Chinese companies. At its peak, the family office had more than $20 billion of capital and total bets exceeding $100 billion.Hwang was wiped out in just days after investments including ViacomCBS and Discovery tumbled, triggering margin calls from global banks, who then sold the stocks in the big block trades. The fiasco is expected to cost the finance industry about $10 billion, has prompted an investigation by the U.S. Securities and Exchange Commission and caused heads to roll at Credit Suisse Group AG, where the hit exceeds $5 billion.The 13F filing provides one of the first examples of how a hedge fund attempted to capitalize on the distressed remains of Archegos. It also offers an insight into Soros’s investment firm, which is run by Chief Investment Officer Dawn Fitzpatrick.She told Bloomberg in March that she was willing to jump on dislocations in the market, investing $4 billion during the pandemic-induced swoon a year ago, including buying residential mortgages on the cheap. Soros returned almost 30% in the 12 months through February and manages $27 billion across a range of strategies.“When there’s a dislocation, we’re prepared to not just double down but triple down when the facts and circumstances support that,” Fitzpatrick, 51, said in a “Front Row” interview on Bloomberg TV.Soros also increased its bet on Amazon.com Inc. and homebuilder DR Horton Inc., which is now its second-largest public equity position.The 13F, which money managers overseeing more than $100 million in U.S. equities must file quarterly, revealed that Soros held $4.5 billion of U.S. equities, down $77 million from the prior quarter.The biggest exit in the quarter was Palantir Technologies Inc. Soros sold 18.5 million shares valued at about $435 million. The firm originally revealed it owned a stake in the controversial data-mining company controlled by Peter Thiel in November, but rapidly issued a statement saying the original investment was made in 2012 and it regretted the decision.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Mortgage rates fall again to hold at sub-3% levels for a 4th consecutive week. Inventories continue to push house prices higher, however…
The liquidation in growth stocks reached a fever pitch this week. On the index level, the Nasdaq is the poster child for the pain. From peak-to-trough, its retreat measures -8%. But even that masks the wholesale destruction beneath the surface. For the epicenter of the fallout, cast your eyes on the ARK Innovation ETF (NYSEARCA:ARKK), which has fallen nearly 40%. ARKK houses the bubbliest of all growth stocks. The lot of them were uniquely positioned to profit from many of the themes that arose from the novel coronavirus pandemic. Shareholders bid their prices to the moon, creating sky-high multiples in the process. Unfortunately, this year they’re all witnessing the downside of momentum. 10 Dividend Aristocrat Stocks for Your Reliability Short List With so many support levels broken and overhead supply looming large, rallies for ARKK and its constituents are suspect. Here are three of the most vulnerable to further downside:InvestorPlace - Stock Market News, Stock Advice & Trading Tips Tesla (NASDAQ:TSLA) Square (NYSE:SQ) Twilio (NYSE:TWLO) Let’s take a closer look at each chart and map out a trade to profit if the weakness continues. ARKK Stocks to Throw Off Your Ship: Tesla (TSLA) Source: The thinkorswim® platform from TD Ameritrade Tesla is the largest holding in the ARKK fund and thus accounts for more of its performance than any other stock. Its price trend turned lower in February, and short of one failed recovery attempt in April, it’s been bearish ever since. With this week’s whack, TSLA is now testing its rising 200-day moving average for the first time since last March. Horizontal support is also coming into play at $570, adding further significance to the test. If we break here, a swift drop to $500 could be in the cards. We are seeing oversold readings flashing, so ideally, Tesla will pause for a few days before the floor gives way. Options on the EV giant are expensive, so I like spreads over buying puts outright. The Trade: Buy the July $550/$520 bear put for $10.50. Square (SQ) Source: The thinkorswim® platform from TD Ameritrade Square has developed a choppy range in 2021, making it a difficult stock to trade directionally. Its current position provides an easy spot to build trade ideas, though. Like Tesla, SQ stock is testing its rising 200-day moving average. This is a logical spot for buyers to make a stand if they are going to help the stock maintain its neutral intermediate trend. The 200-day also sits at a key price threshold at $200. We’ve seen multiple prior selloffs terminate in this area. Friday’s 5% jump is confirming bulls are once again running to defend their turf. As long as the level holds, I’m not interested in bear plays. But if it breaks V then it’s game on. The higher price tag makes put spreads better than long puts. I would wait for a break of Thursday’s low ($192.29) before entering. 10 Dividend Aristocrat Stocks for Your Reliability Short List The Trade: Buy the July $190/$175 bear put for $3 to $4. ARKK Stocks to Throw Off Your Ship: Twilio (TWLO) Source: The thinkorswim® platform from TD Ameritrade The final ARKK stock to stalk for bear trades is Twilio. Its trend reversal is more developed than Tesla and Square. It’s also still way above last year’s low, so there’s plenty of room for prices to unwind if sellers want to press their bets. The 200-day moving average already gave way, and TWLO is consolidating beneath it near $300. A few more sideways candles would be ideal to allow oversold conditions to ease. This would also allow the current low base pattern to fully form and make a support break trade easier to play. For now, try using a break of $280 as the trigger/signal that the next downswing is beginning. The Trade: Buy the July $280/$260 bear put for around $7. On the date of publication, Tyler Craig did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines. For a free trial to the best trading community on the planet and Tyler’s current home, click here! More From InvestorPlace Why Everyone Is Investing in 5G All WRONG It doesn’t matter if you have $500 in savings or $5 million. Do this now. Top Stock Picker Reveals His Next Potential 500% Winner Stock Prodigy Who Found NIO at $2… Says Buy THIS Now The post 3 ARKK Stocks to Throw Off Your Ship appeared first on InvestorPlace.