🛩 Boeing deliveries drop

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Good morning investors! The market didn’t change much yesterday and all eyes will today be on the consumer price index that is expected to register increases of 0.3% both for the all-items measure as well as core.

Today we cover:

• Hedge funds are shorting

• Boeing deliveries and new problems

• No ETH ETFs?

📊 Economy and News 

Hedge funds are shorting

Hedge funds are rapidly offloading stocks, with recent actions suggesting a bearish outlook.

According to Goldman Sachs' prime brokerage data, professional investors sold global stocks on a net basis for the second consecutive week, primarily driven by short sales. This marks the most significant selling week for hedge funds since mid-January.

Similarly, Bank of America's client data confirms this trend, showing that its hedge fund clients have been selling stocks for the fifth straight week. These sales have been across the board, encompassing small, mid, and large-cap companies.

We also know that short interest on the New York Stock Exchange rose 0.3 percent in late March.

Global hits:

• Small business optimism hits 11-year low as inflation fears won’t go away.

• 37-year-old Simon Harris becomes youngest-ever Irish prime minister, pledges ‘reset’.

• Eight Indian states will cross the $1-trillion mark by FY47.

📈 Stocks

S&P 500 5,209.91 (+0.14%)
DJIA 38,883.67 (-0.023%)
NASDAQ 18,169.90 (+0.39%)
BRENT CRUDE 89.57 (-0.90%)
* Prices as of Apr 10th, 12:20 AM UTC

Drop in Boeing deliveries

Boeing airplane deliveries dipped in the first quarter as the company faces increased scrutiny.

In March, the manufacturer delivered 29 planes, predominantly 737s.

Boeing's major airline customers expressed dissatisfaction with delivery delays, prompting them to reconsider their growth strategies.

Although Boeing's commercial jet orders rebounded in March, this increase was primarily due to a substantial order from American Airlines for a plane that the Federal Aviation Administration has not yet approved for passenger flights.

American Airlines ordered 85 Boeing 737 Max 10s, the largest variant of the aircraft. They also converted their existing order for 30 Max 8s into additional Max 10 orders. Additionally, the airline has options to buy 75 more Max 10s in the future.

But, the company continues to deal with issues, including a whistleblower who claims that Boeing’s 787 Dreamliner is flawed. The FAA is investigating the issue.

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🔐 Crypto

Bitcoin $69,174 (-3.41%)
Ethereum $3,503 (-5.18%)
Total market cap $2.6T (-4.55%)
* Prices as of Apr 10th, 12:20 AM UTC

ETH ETF in danger?

Issuers of spot bitcoin exchange-traded funds on Tuesday say the SEC is unlikely to approve such a product for the cryptocurrency ether.

The regulator has a late-May deadline to conclude its review on an ether ETF. That comes after the SEC in March delayed its original deadline for a decision on the ether ETF application.

ETH ETFs have received interest from big names like BlackRock, Fidelity, and VanEck. However, some seem to be losing confidence.

“We were the first to file as well for Ethereum in the U.S., and we and [Ark Invest CEO] Cathy Wood, are kind of the first in line for May, I guess, to probably be rejected,” VanEck CEO Jan Van Eck said.

💵 Personal Finance

Are you 'behind' on retirement savings?

About 56% of adults in the US aren't happy with retirement savings and about 37% are 'significantly behind' retirement goals.

Is this number surprising? Not to us because we know how hard it is to save in today’s environment. You need about a million to retire happily (in the US). The amount, however, depends on a variety of factors.

Here’s how you can know if you’re also ‘behind’ on your plan:

Use online tools

There are several online tools that can help you determine how much you need to save in order to retire peacefully. Some of our favorites are found on sites like Fidelity and T. Rowe. The platforms provide benchmarks for different age milestones and a target for how much to save.

We used both these tools and found this:

• You should have twice your starting salary saved by the age of 35, according to Fidelity.

• You should have 10x your starting salary saved by the age of 67, according to Fidelity.

• You should have 1 to 1.5 times your current annual salary saved by age 35, according to T. Rowe.

• You should have 7 to 13.5 times your current annual salary saved by age 65, according to T. Rowe.

Based on these figures, you can see how close you are to your goal.

Or use our formula

We recommend another method to calculate how much you need to retire: 25x your expected living expenses in retirement, so you can withdraw 4% without running out of money (per the Trinity Study).

The keyword is ‘expected’. Just because you spend $2,000 a month today doesn’t mean you will need $2,000 a month tomorrow. Inflation exists. Plus, you may need more money in the future due to other reasons such as increasing healthcare costs.

So, calculate your required amount using this formula and see how close you are to your goal.

The sad situation

People today just don’t have enough money. Most between 25 and 34 years old have an average 401(k) balance of $30,017, or a median $11,357. The situation is better for the older generation but still not good enough. The average 55 to 64 year old has only $207,874 on average and $71,168 median.

To keep you a little motivated, watch this video about retiring on $100,000.

💰 Be a Better Investor

👩🏽‍⚖️ Legal Stuff
Nothing in this newsletter is financial advice. Always do your own research and think for yourself.

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