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Stock Futures Lower after S&P 500 futures ticked down 0.18%

Stock futures are trading slightly lower Monday morning as investors gear up for the final month of 2024. S&P 500 futures slipped 0.18%, alongside declines in Dow Jones Industrial Average futures and Nasdaq 100 futures, which dropped 0.13% and 0.17%, respectively. The market’s focus is shifting to upcoming economic data, particularly reports on manufacturing and construction spending, ahead of this week’s key labor data releases.

November was a standout month for equities, with the S&P 500 futures rallying to reflect the index’s best monthly performance of the year. Both the S&P 500 and Dow Jones Industrial Average achieved all-time highs during Friday’s shortened trading session, with the Dow briefly surpassing 45,000. Small-cap stocks also saw robust gains, with the Russell 2000 index surging over 10% in November, buoyed by optimism around potential tax cuts.

As trading kicks off in December, investors are keeping a close eye on geopolitical developments in Europe, where France’s CAC 40 index dropped 0.77% amid political concerns, while Germany’s DAX and the U.K.’s FTSE 100 showed smaller declines.

S&P 500 futures will likely continue to act as a key barometer for market sentiment, particularly as traders assess the impact of upcoming economic data and global market developments.

S&P 500 Index Chart Analysis

This 15-minute chart of the S&P 500 Index shows a recent trend where the index attempted to break above the resistance level near 6,044.17 but retraced slightly to close at 6,032.39, reflecting a minor decline of 0.03% in the session. The candlestick pattern indicates some indecisiveness after a steady upward momentum seen earlier in the day.

On the RSI (Relative Strength Index) indicator, the value sits at 62.07, having declined from the overbought zone above 70 earlier. This suggests that the bullish momentum might be cooling off, and traders could anticipate a short-term consolidation or slight pullback. However, with RSI above 50, the overall trend remains positive, favoring buyers.

The index’s recent low of 5,944.36 marks a key support level, while the high at 6,044.17 could act as resistance. If the price sustains above the 6,020 level and RSI stabilizes without breaking below 50, the index could attempt another rally. Conversely, a drop below 6,020 could indicate a bearish shift.

In conclusion, the index displays potential for continued gains, but traders should watch RSI levels and price action near the support and resistance zones for confirmation.

The post Stock Futures Lower after S&P 500 futures ticked down 0.18% appeared first on FinanceBrokerage.

S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7%

Stock futures climbed on Wednesday, driven by strong performances from Salesforce and Marvell Technology, following upbeat quarterly earnings. Futures tied to the Dow Jones Industrial Average rose by 215 points (0.5%), while S&P 500 futures gained 0.3%, and Nasdaq-100 futures advanced by 0.7%.

Salesforce surged 12% after reporting fiscal third-quarter revenue that exceeded expectations, showcasing robust demand in the enterprise software sector. Meanwhile, chipmaker Marvell jumped 14% after surpassing earnings estimates and providing optimistic fourth-quarter guidance, indicating resilience in the semiconductor industry.

This movement follows a mixed session on Wall Street, where the S&P 500 and Nasdaq closed with small gains, while the Dow dipped slightly. The broader market has experienced a modest start to December, contrasting with November’s robust rally, but analysts anticipate a resurgence in momentum. LPL Financial’s George Smith pointed out that December historically sees strong market performance, particularly in the latter half of the month.

However, economic data introduced some caution. ADP’s report revealed that private payrolls grew by just 146,000 in November, missing estimates of 163,000. This signals potential softness in the labor market, with investors now awaiting Friday’s November jobs report for further clarity.

S&P 500 Index Chart Analysis

Based on the provided stock chart, which appears to be a 15-minute candlestick chart for the S&P 500 Index, here’s a brief analysis:

The chart shows a clear upward trend, with higher highs and higher lows indicating bullish momentum over the analyzed period. The index has steadily climbed from a low of approximately 5,855 to a recent high of 6,053.58, suggesting strong buying interest.

Key resistance is observed near 6,050-6,053 levels, as the price has struggled to break above this zone in the most recent sessions. If the index breaches this level with strong volume, it could lead to further upward movement. Conversely, failure to break out may lead to a pullback, with potential support around the 6,000 psychological level and 5,980, where consolidation occurred previously.

The candlestick patterns show relatively small wicks, indicating limited volatility, which could imply steady market confidence. However, the bullish rally could be overextended, warranting caution for traders, especially if any negative catalysts emerge.

In summary, the short-term trend is bullish, but traders should monitor resistance levels and volume for signs of a breakout or reversal. It’s also essential to watch broader market factors, as indices are often influenced by macroeconomic data and sentiment.

The post S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7% appeared first on FinanceBrokerage.

Albertsons sues Kroger after judge rules against grocery merger

Albertsons on Wednesday formally terminated its proposed $25 billion merger with Kroger and filed a lawsuit against its supermarket competitor, saying Kroger violated its contract and didn’t follow through on commitments to help get the deal approved.

It comes a day after a judge blocked the planned tie-up.

In a news release, Albertsons said Kroger broke its merger agreement “by repeatedly refusing to divest assets necessary for antitrust approval, ignoring regulators’ feedback, rejecting stronger divestiture buyers and failing to cooperate with Albertsons.”

“Kroger’s self-serving conduct, taken at the expense of Albertsons and the agreed transaction, has harmed Albertsons’ shareholders, associates and consumers,” Albertsons’ General Counsel and Chief Policy Officer Tom Moriarty said in a statement. “We are disappointed that the opportunity to realize the significant benefits of the merger has been lost on account of Kroger’s willfully deficient approach to securing regulatory clearance.”

In a statement, Kroger called the allegations in the lawsuit “baseless and without merit.”

“This is clearly an attempt to deflect responsibility following Kroger’s written notification of Albertsons’ multiple breaches of the agreement, and to seek payment of the merger’s break fee, to which they are not entitled,” the company’s statement said.

About two years ago, Kroger announced plans to buy Albertsons and combine forces to fend off Walmart, Amazon and Costco. The deal would have put nearly 40 supermarket chains, including Kroger’s Fred Meyer and Albertsons’ Safeway under a single company.

The lawsuit Wednesday amounts to something of a corporate divorce battle.

The companies are at odds about who should pay for the legal fees associated with the merger and who, if anyone, is responsible for paying a breakup fee.

Albertsons said in its news release that it is owed both a $600 million termination fee and “relief reflecting the multiple years and hundreds of millions of dollars it devoted to obtaining approval for the merger, along with the extended period of unnecessary limbo Albertsons endured as a result of Kroger’s actions.”

Kroger, on the other hand, pushed back against payments to Albertsons in its statement and said it “looks forward to responding to these baseless claims in court.”

Shares of Albertsons and Kroger were up about 0.5% and 1%, respectively, in early trading Wednesday.

This post appeared first on NBC NEWS

Macy’s confirms rogue employee hid $151 million in expenses over three years

A rogue employee was responsible for hiding $151 million in delivery expenses over the course of nearly three years, Macy’s said Wednesday.

In a statement accompanying its quarterly earnings results, the department store chain said a single employee responsible for small package delivery expense accounting had intentionally created erroneous cost entries from the fourth quarter of 2021 through the third quarter of 2024. The employee also falsified underlying documents, according to a Macy’s regulatory filing Wednesday morning.

Macy’s Chairman and CEO Tony Spring said on the company’s earnings call that its investigation found the employee “acted alone and did not pursue these acts for personal gain.”

The employee told investigators that a mistake was initially made in accounting for small parcel delivery expenses, and then the person made intentional errors to hide the mistake, according to sources familiar with the investigation.

In an announcement last month that first revealed the situation, Macy’s estimated the erroneous entries totaled between $132 million and $154 million. The revelation led Macy’s to delay reporting its quarterly results for two weeks and caused its shares to tumble.

“We’ve concluded our investigation and are strengthening our existing controls and implementing additional changes designed to prevent this from happening again and demonstrate our strong commitment to corporate governance,” Spring said in a statement. “Our focus is on ensuring that ethical conduct and integrity are upheld across the entire organization.”

Macy’s did not disclose any additional information about how the employee’s actions were discovered and reiterated that the person is ‘no longer with the company.’

Macy’s said the investigation found that its internal accounting controls were vulnerable to employees sidestepping them. The company said it is revising those processes.

After consulting with its longtime independent accounting firm, KPMG, Macy’s also said that a report released in February on its internal controls ‘should no longer be relied upon’ — nor should KPMG’s previous endorsement of Macy’s internal controls.

In premarket trading Wednesday, Macy’s shares were down as much as 11% as it also reported earnings that missed analysts’ estimates.

Although $151 million is small relative to the $4.36 billion Macy’s said it had tallied in overall delivery expenses during the period in question, it is more than the entire company’s most recent fiscal year net profit of $105 million.

The discovery also comes as Macy’s attempts a turnaround amid broad shifts in consumer habits, with the chain having announced in February a plan to close 150 stores over several years. Earlier this week, an outside investor group said it had taken a significant stake in Macy’s seeking to shake up the retailer’s operations, including monetizing its real estate holdings.

This post appeared first on NBC NEWS

How to Spot Low-Volatility Stocks That are Ready to Explode

As the year winds down, investors are beginning to position their portfolios for the New Year. I’m considering it, and perhaps you are too.

Next year, in addition to the seasonal rotations among sectors, we have a plot twist: a new administration in D.C. likely to bring disruptive policy changes affecting the market.

The Financials sector is expected to perform well under the new administration. If that’s the case, it’s worth taking a closer look at this sector and identify which stocks to watch for potential buy opportunities. If you’re already considering financial stocks and looking to fine-tune an entry before year-end, then consider those that have pulled back or are trading in a tight, low-volatility consolidation range—prime candidates for a potential bounce.

How can you spot these opportunities? One way is to use MarketCarpets’ Bollinger Band Width setting.

On Monday, I used this tool with the Latest Value setting, which provides a score between 0 to 100. The closer to zero, the narrower the BandWidth. The narrower the BandWidth, the greater the likelihood of spotting a “squeeze” leading to a significant price move or a breakout.

FIGURE 1. MARKETCARPETS BOLLINGER BAND WIDTH SET TO LATEST VALUE. It won’t be surprising if most of the big stocks on the list with the lowest value exhibit similar patterns.Image source: StockCharts.com. For educational purposes.

If you look at the table on the right, you’ll see that the three biggest stocks with the lowest chart values are Visa (V), Mastercard (MA), and Berkshire Hathaway B shares (BRK/B). If you were to continue scrolling, the three big banks with the narrowest Bollinger Bandwidths are Bank of America (BAC), Morgan Stanley (MS), Goldman Sachs (GS), and JP Morgan Chase (JPM). For many investors, some of these shares are quite expensive. So, let’s consider that and focus on the stocks that are more relatively affordable to most readers: BAC, MS, and JPM.

Before diving into these stocks, let’s examine the sector’s breadth using a daily chart of the S&P FInancial Bullish Percent Index ($BPFINA). We’ll also compare the relative performance of the Invesco KBW Bank ETF (KBWB) as a proxy for the large U.S. banking industry against the Financial Select Sector SPDR (XLF), which represents the broader financials sector.

Sector Breadth and Relative Performance of Banks vs. Sector

The $BPFINA shows the percentage of stocks signaling Point & Figure “buy” signals. Right now, 91% of S&P financial stocks are flashing buy signals (see below).

FIGURE 1. FINANCIAL SECTOR BULLISH PERCENT INDEX. The Financial sector is bullish but potentially oversold.Chart source: StockCharts.com. For educational purposes.

While a BPI figure above 50% is bullish, above 70% signals that the sector is potentially overbought. On an industry level, the banking industry is outperforming broader financials by 11% and rising.

Bank of America

Let’s get to the stocks, starting with a daily chart of BAC.

FIGURE 2. DAILY CHART OF BANK OF AMERICA. Is the stock poised for a big move up or down?Chart source: StockCharts.com. For educational purposes.

There’s a lot here, so I’ll bullet the key points:

  • BAC’s technical strength, as measured by the StockChartsTechnical Rank (SCTR) is slightly declining, but at a level just below 70, it signals only slight weakness.
  • The Bollinger BandWidth has decreased significantly, and BAC’s price is above the lower band. This doesn’t signify a squeeze as much as a low volatility pullback. But what are the chances that BAC is likely to decline further?
  • On a relative performance scale, BAC is slightly underperforming its industry, down barely 2%.
  • In terms of momentum, there’s a divergence between indicators: On Balance Volume (OBV) suggests high buying pressure, possibly driven by retail investors, while Chaikin Money Flow (CMF) indicates strong selling pressure, likely reflecting institutional activity.

BAC is one of the largest US banks, so I’d add it to my ChartList as a possible prospect for a longer-term investment. However, given the mixed technical signals, I consider this a wait-and-see moment, observing how price reacts at current levels and whether the OBV and CMF can align if BAC continues its move to the upside.

How does BAC compare with Morgan Stanley?

Morgan Stanley

Let’s take a look at a daily chart.

FIGURE 3. DAILY CHART OF MS. The stock’s performance, as measured by SCTR, is performing slightly better than BAC.Chart source: StockCharts.com. For educational purposes.

  • MS’s SCTR score, at 83, is stronger than BAC’s and close to the 90 level, which might be considered exceedingly bullish.
  • As its Bollinger BandWidth narrows, the stock has also fallen below support, coming out of a rounding top, and looking to fill the wide gap made at the beginning of November.
  • MS is slightly outperforming its industry peers by slightly over 3%, better than BAC’s relative performance.
  • Selling pressure, however, is strong, and the OBV and CMF appear to align.

This appears to be a classic pullback scenario. I would add this to my ChartList, as MS is one of the biggest players in the industry, but I’d wait for a bounce and monitor a bullish reversal in both the OBV and CMF before considering a long position.

JP Morgan Chase

Finally, let’s look at the last big bank on my list: JP Morgan Chase. Below is a daily chart.

FIGURE 4. DAILY CHART OF JPM. The divergence in the OBV and CMF is something to watch carefully.Chart source: StockCharts.com. For educational purposes.

  • JPM’s SCTR score of 76 is declining, yet still relatively bullish.
  • Its Bollinger BandWidth indication is similar to the two we just viewed. In JPM’s case, traders seem hesitant to commit to any direction as price settles right below the middle band. It’s as if they’re waiting for some indication to trigger movement in one direction or another.
  • Regarding relative performance, JPM is barely outperforming its industry peers, by a little over 1%.
  • Similar to the BAC example, there appears to be a potential, yet prominent divergence between retail buying and institutional selling, as the OBV has been climbing while the CMF has been steadily declining.

JPM is sitting in a near-term holding pattern. It’s going to break eventually. But for now, the market appears unable to commit to a given direction, and the mixed momentum signals seem to support this view. It’s best to monitor this on my ChartList and wait for stronger bullish signals and a definitive reversal to the upside before jumping in. In short, patience.

At the Close

Planning the coming year, I focused on a given sector (Financials) and used MarketCarpets’ Bollinger BandWidth setting to identify stocks with tight, low-volatility setups that might signal a breakout opportunity. This led me to BAC, MS, and JPM. While these stocks remain on my ChartList as longer-term prospects, I’m opting for a wait-and-see approach. Fine-tuning an entry is important. And while there are many ways you can do this, I just showed you one approach that might just come in handy given the right circumstances.

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

Stock Market Sells Off Ahead of CPI: Charts You Should Be Watching

The Tuesday afternoon selloff brings the broader indexes close to key support levels. In the first half of the trading day, the S&P 500 ($SPX) and Dow Jones Industrial Average ($INDU) were trading slightly higher. The Nasdaq Composite ($COMPQ) was the leader in the morning hours. But towards the last couple hours of the trading day, all three indexes sold off.

The bigger question is how much damage two down days in a row caused. With the broader stock market indexes rising to new highs, seeing two down days in a row is a bit disappointing. But a selloff is healthy, especially as we approach the end of the year, as long as the bullish trend is still intact.

The chart of the S&P 500 and Nasdaq Composite below shows that both indexes have an upward trending 21-day exponential moving average (EMA). However, the S&P 500 is getting close to its November high, which is a valid support level. The Nasdaq has a ways to go before it reaches its November high. A closer support level is a low of the December 4 price move, a gap up.

FIGURE 1. S&P 500 AND NASDAQ COMPOSITE SELL OFF. Although the bullish trend is still in play, watch the support levels and moving average convergence/divergence (MACD) for signs of a downtrend.Chart source: StockChartsACP. For educational purposes.

The moving average convergence/divergence (MACD) in the lower panel shows that the S&P 500 is the weaker of the two indexes, technically speaking. Since October, the MACD has been relatively flat while the S&P 500 was rising. The MACD for the Nasdaq was in a slight incline while the index was rising.

The good news is that the seasonally strong part of the month is yet to come. December and January tend to do well with the Santa Claus rally, the January Effect, and the January Barometer, three seasonal patterns discussed in the Stock Trader’s Almanac. The Cboe Volatility Index ($VIX) remains low, which is another variable that supports the bullish move in equities. We should get more clarity on Wednesday after the November CPI data is released.

Precious Metals Rise

While equities were selling off, gold and silver prices started inching higher. The surge in gold prices can be attributed to China’s central bank deciding to buy gold, something it hasn’t done in several years.

Gold prices pulled back to the 100-day SMA after reaching an all-time high at the end of October. Since then, it has been trending higher and could make another attempt to reach its high (see chart of gold continuous contract below).

FIGURE 2. GOLD FUTURES TRYING TO BREAK OUT OF A RESISTANCE LEVEL. If gold prices break above the resistance level, price could make an attempt to reach its all-time high.Chart source: StockCharts.com. For educational purposes.

Tuesday’s low coincided with the 50-day SMA, and the high coincided with previous highs. You could say that $GOLD traded between a support and resistance level. A successful break above Tuesday’s high would confirm that gold prices could aim to reach an all-time high.

A few geopolitical events surfaced this week that may have contributed to the rise in crude oil prices, which saw Treasury yields rise slightly. But these could be short-lived news-driven reactions.

NVIDIA’s Slide

One stock I’ll be closely watching is NVIDIA Corp. (NVDA). The Chinese government is investigating the company for antitrust activities. NVDA closed below its 50-day SMA on Tuesday with a declining StockCharts Technical Rank (SCTR) score of 50.20. The MACD is also indicating slowing momentum (see chart below).

FIGURE 3. NVIDIA’S STOCK PRICE FALLS BELOW 50-DAY MOVING AVERAGE. In addition, the SCTR score is at 50, which indicates weak technical strength. The MACD shows momentum is declining.Chart source: StockCharts.com. For educational purposes.

A further decline in NVDA’s stock price, which makes up about 7% of the S&P 500, could lower the index’s value.

The bottom line: November CPI will be released on Wednesday morning, 8:30 AM ET. Economists estimate a 2.7% year-over-year increase while the core CPI is expected to rise 3.3%. This would dictate Wednesday’s price action.

Disclaimer: This blog is for educational purposes only and should not be construed as financial advice. The ideas and strategies should never be used without first assessing your own personal and financial situation, or without consulting a financial professional.

Lobo Tiggre: Copper is My Highest-Confidence Trade for 2025 — Here’s Why

However, he said his highest-confidence trade for next year is copper.

‘I think that it’s easier to see — and highly likely to see — copper moving higher next year,’ Tiggre explained.

That said, he’s not quite ready to pull the trigger on copper stock purchases.

‘I’m not rushing out to buy yet, because I think even in the little time we have left this year we’re going to see more bad economic news, and Dr. Copper with a PhD in economics always goes down with that sort of news. So I’m looking to that as a buying opportunity — I’m looking to maximize my upside by taking advantage of that.’

Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

Crypto Market Forecast: Top Trends That Will Affect Crypto in 2025

The cryptocurrency market is heading into 2025 on the heels of a bull run sparked largely by converted crypto advocate Donald Trump’s impending return to the White House.

The president-elect has vowed to make the US the “crypto capital of the world,” and is stocking his cabinet with crypto-friendly proponents, heralding a new era for an industry whose market cap has hit around US$2 trillion in less than 16 years.

Bitcoin and Ethereum performed strongly in H2 2024, joined by emerging contenders Solana, XRP and Cardano. Their surges accelerated after the election results on the back of growing crypto adoption and integration.

Even so, Bitcoin has retained its dominant position. The number of active addresses has grown by over 12 percent since November 5, according to data gathered from Into the Block. Meanwhile, the anticipation of clearer regulations in 2025 is driving a price discovery phase for Bitcoin heading into 2025. Investors are optimistic, buoyed by the popular coin’s recent breakthrough to over US$100,000 on December 4. Estimates now range from around US$120,000 to US$150,000.

“The next months will have insane long opportunities,” said Capriole Fund founder Charles Edwards on December 1.

2025 is expected to be a year of transformation for the crypto market, where defined regulation, institutional adoption and emerging technologies converge to shape a new era of digital finance.

Read on for an overview of what experts see coming for the fast-developing industry next year.

Economic landscape promising for crypto

“The incoming pro-crypto Trump White House has given a lot of confidence to investors, both institutional and retail, and this should reduce the uncertainty that has held many investors back from the sector. Both Canadian and US crypto investors should see the benefits from this confidence in the asset class,’ he continued.

“Additionally, interest rate cuts in the US and Canada have sent a positive signal to investors in the back half of 2024. As we anticipate further cuts next year, many retail investors will feel the benefit from reduced borrowing costs, which should help increase the amount of money available for investment,’ Skurka added.

Also in play are Trump’s plans to increase deportations and implement widespread tariffs, circumstances that could worsen existing worries like rising consumer debt and job market stability.

Further compounding these concerns is August’s ‘un-inversion’ of the yield curve, a historical precursor to recessions, as highlighted in an October report from Picton Mahoney Asset Management.

The report also points to rising Chapter 11 bankruptcy filings and a decline in manufacturing as warning signs for a potential economic downturn and a possible decline in equity prices.

Given these potential headwinds for the manufacturing sector and the broader economy, investors are increasingly exploring alternative assets that might offer protection. As Dean explained, “Many investors also view crypto as a hedge against inflation, similar to gold. If inflation does creep up, investors may decide to increase the proportion of their portfolio in crypto, to mitigate the risk of their savings decreasing in value over time.’

In his view, institutional investors may particularly appreciate that crypto assets are more resistant to inflation.

Trump admin to improve regulatory environment

The regulatory landscape is expected to see major shifts after Trump’s inauguration on January 20.

Gary Gensler has already said he will step down from his post as chair of the US Securities and Exchange Commission (SEC) that day, potentially bringing an end to a years-long contentious relationship between the industry and regulators. Former commissioner Paul Atkins has been nominated as his replacement.

Crypto advocates are also optimistic about a united front between the SEC and the Commodity Futures Trading Commission (CFTC) when Trump takes the helm in the US.

‘I think that the SEC is more resourced than the CFTC from an investigation and enforcement perspective, but I think the underlying asset class does lend itself well to consideration by commodities regulators, particularly Bitcoin and Ether,’ he continued. He expects to see the CFTC receive more resources dedicated to crypto regulation.

Fox Business has reported that Trump’s team is considering shifting digital asset regulation to the CFTC.

Will the US create a strategic Bitcoin reserve?

As cryptocurrencies become more mainstream, large entities are seeking exposure.

Senator Cynthia Lummis’ (R-Wy) national Bitcoin reserve proposal could increase Bitcoin’s price and position it as a digital gold-like asset if Trump were to implement it, which he has indicated he would do.

At the New Orleans Investment Conference, James Lavish, managing partner at the Bitcoin Opportunity Fund, discussed Bitcoin’s shift from a speculative to a strategic asset. He emphasized its decentralized, secure nature and limited supply, highlighting its potential to outperform traditional assets like gold and bonds. Lavish also talked about the positive impact of Bitcoin exchange-traded funds (ETFs) and new accounting rules on institutional adoption.

“This is game theory at play. Other countries will see (the strategic Bitcoin reserve), and if we actually do this, it’ll force them to strongly consider to get a little bit of Bitcoin balance sheet too as a store of value,’ he said.

‘I’m not talking about replacing gold. But 5 percent of total Bitcoin supply would roughly mirror the size and scope of the US gold reserves right now,’ Lavish told the audience at the event.

For his part, Garetson said talk of a strategic Bitcoin reserve is indicative of a bigger trend.

Garetson’s observation is reflected in companies like Micro Strategy (NASDAQ:MSTR). The analytics company has been steadily accumulating Bitcoin, scooping up US$1.5 billion worth of the currency between November 25 and December 2. CEO Michael Saylor presented a ‘Bitcoin strategy’ to Microsoft’s (NASDAQ:MSFT) board of directors on December 1, and members will vote on December 10 on whether to add Bitcoin to the company’s balance sheet.

Crypto investment options to diversify and grow

Looser regulations could pave the way for a broader range of investment vehicles within the crypto space, including a wider selection of ETFs offering investors exposure to a diversified mix of digital assets.

“With 14 altcoin ETFs currently waiting for approval — and more joining the list all the time — it appears the market will be very receptive to these products,” noted Dean. “As these funds launch, the overall market benefits from diversification options, improved liquidity, and easier access for a wider investor base will be apparent.’

He added that internal WonderFi data shows that usage and adoption of Solana has seen a ‘meteoric rise’ in the last 2024 months. At the time of this writing, there were four active applications for spot ETFs tracking Solana.

Heightened liquidity due to an increase in ETFs could spill over into the crypto derivatives market. Furthermore, a less restrictive regulatory environment could stimulate more growth.

“ETFs are a significant touch point between the traditional financial world and the emerging digital asset world,” said Garetson. “I think those touch points are going to continue to grow as the crypto environment matures and greater regulatory clarity comes for the industry, and I think derivatives are another domino in that line. I think we’ve seen futures products on crypto exist now for a while, so I think we’re going to see more traditional financial products that are based on or reference crypto emerging, and certainly the derivative vehicle is a place where there’s room to grow.”

DeFi set to attract increased attention

Looking at the technology side of crypto, Garetson said he’s watching staking, especially liquid staking.

“So I think this advancement is going to have a net positive implication, in particular for the ETF space as well, where assets such as Ether that are held in an ETF can still generate these staking passive returns.”

This rise of liquid staking has fueled increased activity in decentralized finance (DeFi), with several knock-on effects. As more users participate in liquid staking and DeFi protocols, demand for Ether rises — this has potentially contributed to its recent price surge. Additionally, liquid staking tokens can be used as collateral for borrowing, effectively increasing overall collateralization in DeFi and potentially leading to higher borrowing volumes.

Another key trend accompanying this growth is the rising prominence of stablecoins, particularly USDT (Tether) and USDC (Circle). These stablecoins play a crucial role in facilitating DeFi activity, enabling seamless transactions and providing stability within the volatile cryptocurrency market.

As CryptoQuant CEO Ki Young Ju observed recently in a post on X, former Twitter, ‘The surge in altcoin trading volume isn’t driven by $BTC pairs but by stablecoin and fiat pairs, reflecting real market growth rather than asset rotation. Stablecoin liquidity better explains the altcoin market.’

“In 2025 we’re certainly seeing a push from a global regulatory perspective to take a closer look at DeFi and DeFi arrangements. So I expect this will be an area of regulatory focus in 2025,” said Garetson.

Crypto challenges and opportunities in 2025

The crypto market presents a landscape of both challenges and opportunities in 2025.

“To be sure, I think that the greatest advances that will help the crypto and digital asset sector will be greater regulatory clarity, and with that, greater institutional and retail adoption,” said Garetson.

Trump’s recent proposal to eliminate capital gains taxes on cryptocurrencies issued by American companies, such as Cardano and XRP, will likely attract more investors to the space and promote innovation in the industry.

As the market expands and diversifies, Bitcoin’s position as the top cryptocurrency is likely to remain strong.

Investor behavior is set to influenced by macroeconomic and geopolitical factors, similar to trends observed in traditional markets. Dean remarked, ‘There’s no denying that macro conditions will contribute significantly to the supply and price of Bitcoin, so it will be worth watching as all these stories play out in 2025.”

Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

Stock Futures Lower after S&P 500 futures ticked down 0.18%

Stock futures are trading slightly lower Monday morning as investors gear up for the final month of 2024. S&P 500 futures slipped 0.18%, alongside declines in Dow Jones Industrial Average futures and Nasdaq 100 futures, which dropped 0.13% and 0.17%, respectively. The market’s focus is shifting to upcoming economic data, particularly reports on manufacturing and construction spending, ahead of this week’s key labor data releases.

November was a standout month for equities, with the S&P 500 futures rallying to reflect the index’s best monthly performance of the year. Both the S&P 500 and Dow Jones Industrial Average achieved all-time highs during Friday’s shortened trading session, with the Dow briefly surpassing 45,000. Small-cap stocks also saw robust gains, with the Russell 2000 index surging over 10% in November, buoyed by optimism around potential tax cuts.

As trading kicks off in December, investors are keeping a close eye on geopolitical developments in Europe, where France’s CAC 40 index dropped 0.77% amid political concerns, while Germany’s DAX and the U.K.’s FTSE 100 showed smaller declines.

S&P 500 futures will likely continue to act as a key barometer for market sentiment, particularly as traders assess the impact of upcoming economic data and global market developments.

S&P 500 Index Chart Analysis

This 15-minute chart of the S&P 500 Index shows a recent trend where the index attempted to break above the resistance level near 6,044.17 but retraced slightly to close at 6,032.39, reflecting a minor decline of 0.03% in the session. The candlestick pattern indicates some indecisiveness after a steady upward momentum seen earlier in the day.

On the RSI (Relative Strength Index) indicator, the value sits at 62.07, having declined from the overbought zone above 70 earlier. This suggests that the bullish momentum might be cooling off, and traders could anticipate a short-term consolidation or slight pullback. However, with RSI above 50, the overall trend remains positive, favoring buyers.

The index’s recent low of 5,944.36 marks a key support level, while the high at 6,044.17 could act as resistance. If the price sustains above the 6,020 level and RSI stabilizes without breaking below 50, the index could attempt another rally. Conversely, a drop below 6,020 could indicate a bearish shift.

In conclusion, the index displays potential for continued gains, but traders should watch RSI levels and price action near the support and resistance zones for confirmation.

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S&P 500 climbed 0.3%, and Nasdaq-100 futures jumped 0.7%

Stock futures climbed on Wednesday, driven by strong performances from Salesforce and Marvell Technology, following upbeat quarterly earnings. Futures tied to the Dow Jones Industrial Average rose by 215 points (0.5%), while S&P 500 futures gained 0.3%, and Nasdaq-100 futures advanced by 0.7%.

Salesforce surged 12% after reporting fiscal third-quarter revenue that exceeded expectations, showcasing robust demand in the enterprise software sector. Meanwhile, chipmaker Marvell jumped 14% after surpassing earnings estimates and providing optimistic fourth-quarter guidance, indicating resilience in the semiconductor industry.

This movement follows a mixed session on Wall Street, where the S&P 500 and Nasdaq closed with small gains, while the Dow dipped slightly. The broader market has experienced a modest start to December, contrasting with November’s robust rally, but analysts anticipate a resurgence in momentum. LPL Financial’s George Smith pointed out that December historically sees strong market performance, particularly in the latter half of the month.

However, economic data introduced some caution. ADP’s report revealed that private payrolls grew by just 146,000 in November, missing estimates of 163,000. This signals potential softness in the labor market, with investors now awaiting Friday’s November jobs report for further clarity.

S&P 500 Index Chart Analysis

Based on the provided stock chart, which appears to be a 15-minute candlestick chart for the S&P 500 Index, here’s a brief analysis:

The chart shows a clear upward trend, with higher highs and higher lows indicating bullish momentum over the analyzed period. The index has steadily climbed from a low of approximately 5,855 to a recent high of 6,053.58, suggesting strong buying interest.

Key resistance is observed near 6,050-6,053 levels, as the price has struggled to break above this zone in the most recent sessions. If the index breaches this level with strong volume, it could lead to further upward movement. Conversely, failure to break out may lead to a pullback, with potential support around the 6,000 psychological level and 5,980, where consolidation occurred previously.

The candlestick patterns show relatively small wicks, indicating limited volatility, which could imply steady market confidence. However, the bullish rally could be overextended, warranting caution for traders, especially if any negative catalysts emerge.

In summary, the short-term trend is bullish, but traders should monitor resistance levels and volume for signs of a breakout or reversal. It’s also essential to watch broader market factors, as indices are often influenced by macroeconomic data and sentiment.

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