🎈 ETH ETF coming?

and more earnings

Author

Morning Download
May 22, 2024

Good morning investors! Today’s going to be a big day as Nvidia is set to announce earnings.

Today we cover:

  • AI can help you make money

  • Latest earnings

  • ETH ETF on the way?

📊 Learn about crypto

Be a part of our next FREE webinar on Thursday, May 23, 2024, at 8:00 PM.

Hosted by our CEO, Trajan King, the event is perfect for beginners who want to know about making money in crypto.

📊 Economy and News 

Learn AI to make more money, says new report

A new report showed that jobs that require artificial intelligence skills offer significantly higher wages than those that don’t.

PwC found that wages for AI-related roles were on average 25% higher in the United States than for comparable jobs in the same field that did not require those skills.

This means that you do not have to ‘work in AI’ to make more money, merely knowing AI could boost your income.

This applies not only to the US but other countries as well – 14% in the United Kingdom, and 11% in Canada.

The differences were particularly notable in certain professions. For example, lawyers in the United States with AI skills could earn a 49% wage premium, while financial analysts could earn a 33% premium compared to their counterparts in traditional roles.

Interestingly, from 2012 to 2023, the number of jobs requiring AI skills grew 3.5 times faster than the total number of jobs across the studied countries.

The report also highlighted that labor productivity in industries most exposed to AI, such as financial services, is growing 4.8 times faster than in other sectors.

Global hits:

Interesting: Apple looks to boost sales in China with hefty discounts as e-commerce festival gets underway .

📈 Stocks

S&P 500 5,321.41 (+0.25%)
DJIA 39,872.99 (+0.17%)
NASDAQ 18,713.80 (+0.21%)
BRENT CRUDE 82.41 (-0.57%)
* Prices as of May 22nd, 12:20 AM UTC

Some more earnings

Macy’s topped earnings estimates, and said it saw early signs of progress in its turnaround strategy.

The department store operator is moving to close about 150 namesake locations and open new Bloomingdale’s and Bluemercury stores.

CEO Tony Spring said 50 locations that Macy’s invested more in during the quarter performed better than its other namesake stores.

Similarly, Lowe’s beat first-quarter earnings and revenue expectations.

Sales fell year over year, and the home improvement retailer said do-it-yourself customers bought fewer pricey items.

Lowe’s results follow a revenue miss for its rival Home Depot.

Lastly, Chinese electric car company Xpeng saw its shares soar after reporting an improvement in profit margin and an upbeat outlook for second-quarter deliveries..

Xpeng reported that vehicle margin rose 5.5% in the first three months of the year, from a negative 2.5% in the prior quarter. Vehicle margin is a measure of profitability.

The company forecast deliveries of 29,000 to 32,000 cars in the second quarter, a year-on-year increase of at least 25%.

Worrisome: Pixar is laying off 14% of its workforce as Disney scales back content.

Also, new Covid FLiRT variants have sparked concerns of a summer spike.

The FLiRT variants have been on the rise in the U.S. and Europe as the coronavirus continues to mutate from earlier strains.

Also check: Nestle to launch Vital Pursuit frozen-food brand targeting GLP-1 users.

Bet on Apple: Investor Steve Eisman, known for his role in "The Big Short," anticipates significant gains for Apple from the artificial intelligence boom.

However, he advises investors to be patient, as AI-driven applications will require time to develop.

Additionally, he highlighted Nvidia, Advanced Micro Devices, and cloud companies with extensive databases as some of the most promising opportunities in the AI sector.

Sponsored by New Sapience

Artificial intelligence (AI) is poised for a groundbreaking transformation that promises to eclipse current models like ChatGPT. In fact, Bill Gates has said before that this level of breakthrough in AI could be worth 10 Microsofts. 

Unlike today’s Large Language Models that spit back an answer based on whatever huge collections of words they are fed, New Sapience is introducing an intelligence with a model of reality that gives machines common sense and the capacity to actually think and learn like humans do.

With OpenAI’s valuation rocketing past $80B in the last few months, it’s clear that people understand the transformative power of AI. This is an opportunity to be part of something even bigger.

🔐 Crypto

Bitcoin $70,131 (-0.02%)
Ethereum $3,733 (-1.49%)
Total market cap $1.7T (-0.56%)
* Prices as of May 22nd, 12:20 AM UTC

ETH ETFs are coming

Five potential spot Ether exchange-traded fund (ETF) issuers have submitted amended 19b-4 filings after receiving last-minute feedback from the United States Securities and Exchange Commission (SEC).

The updated filings include changes from asset managers Fidelity, VanEck, and Franklin Templeton, as well as joint applications from Galaxy and Invesco, and ARK Invest and 21Shares.

In their amendments, Fidelity, Franklin Templeton, and ARK 21Shares removed provisions for Ether staking.

All five CBOE filings were submitted within a 25-minute window between 9:35 pm and 10:00 pm UTC on May 21.

For the ETFs to launch, the approved 19b-4 filings must be accompanied by signed-off S-1 registration statements.

The SEC must decide on VanEck’s application by May 23. However, industry experts predict the regulator will make decisions on all or most applications simultaneously, similar to its approach with spot Bitcoin ETF applications in January.

Ether's price has surged over 20% to around $3,792, driven by these developments, with some predicting it will cross the $4,000 mark soon.

💵 Personal Finance

Top stocks during wars

The global situation isn’t good and stocks are falling, not only due to economical challenges but also due to the geopolitical tension.

During such times, it might be wise to invest in stocks that are likely to benefit from these conditions.

Here are some of our top picks:

  • Northrop Grumman, one of the most well known weapons and military technology producers. The company has chosen not to apply to be prime contractor for the U.S. Air Force's Next Generation Air Dominance program but it still has a lot going in its favor.

  • Rocket Lab, a fast-growing aerospace and defense company, is set to succeed. Specializing in launch services, spacecraft engineering, and spacecraft management solutions, it has been in the news for some bad reasons, including a failed rocket launch, but it can still be a good investment given future prospects.

  • This might come as a surprise but Boeing belongs here as it is not just a commercial aircraft supplier but also one of the largest U.S. defense contractors. The stock is waiting to take off and has taken a beating in the last few months due to quality-related issues.

  • Highly exposed to US government cybersecurity spending, Leidos is a horse worth betting on. It offers technology services and solutions to the defense and intelligence industries and is predicted to double in the next two years.

💰 Be a Better Investor

“While it might seem that anyone can be a value investor, the essential characteristics of this type of investor-patience, discipline, and risk aversion-may well be genetically determined.”

Seth Klarman

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

Disclosure: This is a paid advertisement for New Sapience’s Regulation CF Offering. Please read the offering circular at https://invest.newsapience.com/