Disappointing inflation data is pushing back US indices and Bitcoin jumps to more than 69 thousand dollars

2021-11-11T17:36:35
bitcoin Oil US indices
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Disappointing inflation data is pushing back US indices and Bitcoin jumps to more than 69 thousand dollars

Disappointing inflation data is pushing back US indices and Bitcoin jumps to more than 69 thousand dollars :The economy of the United States of America seems to have not yet recovered from the consequences of the Covid-19 virus, with inflation accelerated at its highest pace in nearly thirty years, affecting almost all exchange-traded assets. 

Evest follows all this in the following report. 

Topics:

Oil recovers from yesterday’s losses after US inventories increase

US inflation data leads to a decline in the three indices

MasterCard announces its profit predictions for the next three years

Bitcoin’s price jumps sharply for a new record

 

 

 

Oil recovers from yesterday’s losses after US inventories increase

Oil prices rose today, Thursday, after a significant decline the day before.

The decline was recorded on Wednesday for the first time in four sessions in a row. 

This was due to the increase in US inventories and the strengthening of the dollar against the backdrop of reports of the country’s most rapid inflation in 30 years, according to MarketWatch.

Commerzbank analysts said the news that the United States had abandoned plans to sell oil from strategic reserves on Thursday had a positive impact on the market. 

However, experts expect the country’s production recovery to continue in the coming year.

This will have a limiting effect on price increases in the medium term.

Brent crude futures for January on the London Futures Exchange rose by $0.21 (0.25%), to $82.85 per barrel.

Brent crude fell $2.14 (2.5 percent) to $82.64 per barrel on Wednesday.

West Texas Intermediate crude futures’ prices for December electronic trading in the New York Mercantile Exchange (NYMEX) rose by $0.18 (0.22%), to $81.52 per barrel.

At the end of the previous session, the future fell by $2.81 (3.3%) to $81.34 per barrel.

The United States Department of Energy said that oil reserves in the United States increased last week by 1 million barrels – up to 435.1 million barrels.

The result was consistent with the average expectations of analysts surveyed by Standard & Poor’s Global Platts.

Meanwhile, gasoline reserves fell by 1.56 million barrels to 212.7 million barrels and distillates by 2.61 million barrels to 124.51 million barrels.

Experts expected a 1.6-million-barrel decline in gasoline inventories and did not expect changes in distillate reserves.

 

US inflation data leads to a decline in the three indices

The US stock market declined on Wednesday with statistics showing a major acceleration in inflation in the United States last month.

According to the Department of Labor, consumer prices in the United States rose by 6.2% in October compared to the same month last year,

the highest in almost 31 years (since November 1990). 

A month ago, inflation in the United States was 5.4%, and experts predicted that it would accelerate in October to 5.8%.

Last month’s jump in US energy prices was 30% on an annual basis, and the price of gasoline rose by 49.6%.

The food cost growth rate was 5.3%, the highest since January 2009.

The market follows U.S. inflation data closely as the basis for FRS decisions regarding the future direction of monetary policy.

According to experts, if inflation does not begin to decline,
the Fed may have to accelerate its buyback program and move to an interest rate hike that will negatively affect the stock market.

Another report released by the Department of Labor on Wednesday ,

showed that the number of new unemployment claims in the United States was 2670000 last week, the lowest since March 2020.

According to data at Wednesday’s market close, the Dow Jones Industrial Index fell by 240.04 points (0.66%) to 36.079.94.

The Standard & Poor’s 500 fell by 38.54 points (0.82%) to 4646.71. The Nasdaq Composite Index lost 263.84 points (1.66%) to 15622.71.

MasterCard announces its profit predictions for the next three years

US-based MasterCard, one of the largest payment systems in the world, predicts revenue growth to be within the top 10 percent of 2022 to 2024.

This was in the company’s documents filed with the US Securities and Exchange Commission (SEC).

The company also expects an annual operating profit margin (2022 to 2024) of at least 50%.

The dividend growth rate per share will be expressed as a number at the beginning of the third ten in percentage terms.

Mastercard estimates the potential of the payments market, which includes many untapped opportunities, at $255 trillion.

This led the company to plan to accelerate digital adoption to expand its role in the consumer payments sector.

MasterCard has a positive view of its potential in areas such as money transfer, business transactions and bill payments.

In addition, the company plans to develop its services business, which is expected to generate revenue of $6.5 billion by the end of the year.

During the investor presentation, MasterCard announced that it would collaborate with large US companies such as American Airlines Group and financial technology provider Fiserv Inc.

 on purchase payments now and later.

MasterCard stocks rose by 4% in early trading on Wednesday.

The company’s capitalization grew by 4.6% over the past month.

 

Bitcoin’s price jumps sharply for a new record

Bitcoin’s price hit a new peak and erased one-day losses within minutes and wiped out one day’s losses within minutes ,
of Wednesday morning after the Bureau of Labor Statistics reported the US consumer price growth at its fastest pace
in more than 30 years last month, fueling inflationary concerns that lifted the cryptocurrency to new highs during the pandemic.

The price of Bitcoin jumped 5% minutes after the latest monthly inflation report

According to CoinGecko, Bitcoin, the world’s largest cryptocurrency, hit a new record high of $69,044 shortly after 9:15 a.m

. Eastern time on Wednesday, surpassing the record set early Tuesday, at $68742 and $68991.

Prices jumped by about $2500, or 4%,
within about 45 minutes of the Labor Department’s monthly Consumer Price Index (CPI) report,
showing consumer prices rising by about 6.2% in October on an annual basis,
the largest rise since December 1990 and more than economists expected.

 

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