Morning Download from Invincible Money

Personal finance + economics + markets

Finance in 5 minutes a day to help you make better money decisions.

Good morning investors! Stocks futures are up on tentative U.S. debt ceiling deal, Erdogan wins in Turkey, another AI tech company goes parabolic and San Francisco tech talent is leaving for London.

📊 Economy 

DOW 33,172 (+0.14%)
S&P 500 4,223.75 (+ 0.25%)
NASDAQ 14,390 (0.40%)

The Market

Investors liked hearing the U.S. has reached a tentative debt ceiling deal as all indexes were up yesterday and are up in after hours trading.

Quick market summary:

• The unemployment rate remained unchanged at 3.5% (rose from 3.4% last month).

• The Federal Reserve is expected to raise interest rates by 25 basis points at its next meeting on June 14th.

• The AI hype is in focus after a recent surge in stock prices of AI-related companies, like Nvidia [NVDA +2.54%].

• Some investors are concerned that the hype is overblown and that the AI boom is unsustainable.

• Others believe that the AI boom is just getting started and that AI has the potential to revolutionize many industries.

• The debt ceiling deal is expected to remove a major source of uncertainty from the markets.

• Jobs report coming this Friday expected to show 180,000 non-farm payroll jobs added.

📰 News

🇹🇷 Erdogan declares victory in presidential race in Turkey. The Lira sinks to a new low as he continues with his unconventional view that raising interest rates increases inflation.

🎓 High school graduations are coming up across the U.S., but due to the strong labor market college enrollment for graduates has dropped from 66.2% in 2019 to 62% in 2022. Demand for blue-collar workers is expected to remain high due to an aging workforce and the pandemic slowing down immigration.

❤️ Highly paid tech employees and their companies are leaving San Francisco for London due to concerns about rising crime, homelessness, and drug use. Americans now make up half of prime central London real estate deals.

🇨🇳 China announced that it plans to land astronauts on the moon by 2030.

• The United States is also planning to return astronauts to the moon by 2024, as part of its Artemis program. India and Russia are also working on their own lunar exploration programs.

• The United Arab Emirates announced plans to explore the asteroid belt.

• Meanwhile, the U.S. says it’s ready to fight in space, if needed.

🌁📈 Stocks

🚙 Both Tesla [TSLA +4.72%] and Ford [F +6.24%] were bit winners yesterday, closing up after announcing last Thursday that allows Ford’s EVs to charge at Tesla Supercharger stations in the U.S. and Canada.

🍪 Nvidia isn’t the only chip maker making gains. Marvell Technology, Inc [MRVL +32.42%] closed up big last Friday and is up another +2.79% in after hours trading.

Who? Located outside Philly, this $56 Billion company provides data infrastructure semiconductor solutions and develops System-on-a-Chip architectures and Ethernet (unrelated to Ethereum) solutions like controllers, network adapters, transceivers and switches.

Huh? In short, the behind the scenes infrastructure that makes the internet & other technology work.

🔐 Crypto

Can LIDO be dethroned?

👑 Despite the choppy markets, the amount of ETH staked has surged. Lido is the largest LSD issuer (Liquid Staking Derivatives), with a 31.8% share of all staked ETH.

Lido's growth has contributed to its governance token LDO being among the best performing in this market. However, Lido's decentralization could be a risk to the health, decentralization, and credible neutrality of Ethereum as a whole. (Read more at Bankless)

🇭🇰 The Hong Kong Police Force has launched a new metaverse platform called CyberDefender.

• The platform is designed to educate the public about the potential dangers of Web3 and the metaverse.

• The Hong Kong Police Force is also using the platform to raise awareness of technology crime and how to prevent it.

• Recently Hong Kong has shown to be friendly with crypto, encouraging exchanges to open there.

☠️ Bali not so crypto friendly

Bali Governor Wayan Koster warned tourists that if they used crypto to pay for goods and services they could face 1 year in prison and a fine up to $13,000.

• He emphasized that the rupiah (Indonesia’s fiat currency) is the only legal tender in the country and violators could face “deportation, administrative sanctions, criminal penalties, closure of business premises and other tough sanctions”

• However, crypto trading is allowed.

🌅 ETH wallet wakes up

An Ethereum wallet that has been dormant since 2015 has transferred 8,000 ether ($14.8 million) to another address.

• The wallet made a test transaction with 1 ether ($1,845) before sending the remaining 7,999 ether to the new address.

• The new wallet address also has a limited transaction history, with the only other movement being a 207 ether ($380,000) inbound transaction that was made only a few minutes earlier.

Why? It is unclear why the wallet was dormant for so long or why the funds were transferred. However, the transaction has sparked speculation that the wallet may have been hacked or that the owner may be planning to sell the ETH.

💵 Personal Finance

Retirement

A new Gallop Poll has found only 43% of non-retired respondents feel like they’ll have enough money to retire comfortably. That’s the lowest level since 2012. However, 77% of current retirees say they’re living comfortably.

• This data tends to suggest people are very pessimistic given the current state of the world economy, social security and the market.

• Data also shows that younger generations have a tougher time saving.

The best thing you can do feel comfortably retiring is to get as much financial education as possible, make a plan and follow it. Knowing what to do and doing it will reduce the anxiety about the future.

💰 Be a Better Investor

This quote captures the essence of retirement, which is a time to focus on things other than work. When you're retired, you have the freedom to do what you want, when you want. You can travel, spend time with family and friends, or pursue hobbies that you never had time for before.

🧠 Get Smarter

Here are some idea on how to save money quickly, whether it’s $1,000 or $10,000.

TDLR: Building good money habits will help you save any amount of money.

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

Tuesday