2024-01-24 09:21

WASHINGTON - The U.S. Securities and Exchange Commission (SEC) has escalated its legal actions against Ripple Labs Inc., filing a reply in further support of its motion to compel the blockchain company to produce financial records and details of sales contracts. The SEC's latest move, filed today, seeks access to Ripple's audited financial statements for 2022 and 2023, along with specific information on post-Complaint Institutional Sales contracts following their December 2020 complaint. The regulator insists that the requested documents are crucial for determining appropriate penalties and ensuring Ripple's compliance with future regulations. This focus is especially on Ripple's On-Demand Liquidity (ODL) customers, which the SEC suspects could be subject to non-compliant sales practices. The SEC has invoked previous cases, such as "SEC v. Rajaratnam," and instances of court-approved "extended discovery periods" to counter Ripple's objections regarding the relevance and timing of the information requests. In a strategic move to prevent what it perceives as potentially non-compliant future institutional sales by Ripple, the SEC is seeking an injunction rather than debating the legality of past sales. This approach indicates that the SEC is more concerned with future compliance than past actions. Legal analyst Bill Morgan shed light on the implications of the SEC's actions for Ripple, suggesting that the company might have to rethink its sales strategy for XRP, the digital currency central to Ripple's ODL service. Any significant changes to Ripple's strategy could directly affect its ODL operations. Ripple has been arguing against the timeliness and relevance of these demands in relation to penalties for securities violations but is facing staunch opposition from the SEC who emphasizes their significance in shaping deterrent consequences. With the discovery phase concluding on February 12, 2024, legal experts are debating possible fines for Ripple’s alleged securities infractions through institutional XRP sales—estimates range widely from under $200 million up to $3 billion depending on Judge Torres' ruling on whether these sales constitute securities violations. The price of XRP, the cryptocurrency at the heart of the dispute, stands at $0.51231. Ripple's response to the SEC's demands and any adjustments to its operations could influence XRP's market performance in the future. https://www.investing.com/news/cryptocurrency-news/sec-seeks-financial-records-and-sales-details-from-ripple-labs-93CH-3281361

2024-01-24 09:11

Copyrighted Image by: Reuters. NEW YORK - JPMorgan, a leading global financial services firm, has adjusted its outlook for the oil market, projecting that oil prices will average $83 per barrel in 2024. This forecast comes amid expectations of a changing dynamic in the oil market, with a predicted decline to $75 per barrel in 2025. The bank has also revised its oil demand growth projections, indicating a significant slowdown. While initially, the growth in oil demand was expected to see an addition of 1.9 million barrels per day in 2024, JPMorgan now estimates that the increase will be just one million barrels daily by the following year. This tempered demand outlook coincides with an anticipated shift towards a supply-led market. JPMorgan points to increased production from several countries as the driving force behind this change. Notably, the U.S., Canada, Guyana, and Brazil are all expected to ramp up their oil output, contributing to the overall increase in global supply. https://www.investing.com/news/commodities-news/jpmorgan-forecasts-oil-prices-to-average-83-per-barrel-in-2024-93CH-3281358

2024-01-24 08:57

Copyrighted Image by: Reuters. Investing.com - The U.S. dollar retreated from six-week highs in early European trade Wednesday amid rising risk appetite, while the euro struggled to push higher ahead of this week’s European Central Bank policy meeting. At 04:00 ET (09:00 GMT), the Dollar Index, which tracks the greenback against a basket of six other currencies, traded 0.3% lower at 103.107, not far below the highest level since early December at 103.82, reached in the previous session. Dollar retreats from highs Positive corporate earnings, from streaming giant Netflix (NASDAQ:NFLX) in particular, have resulted in a boost to risk appetite Wednesday, causing the dollar to edge lower. However, the greenback remained close to recent highs as strong inflation and labor market data saw traders largely scale back expectations for early interest rate cuts by the Fed. Focus now turns to fourth-quarter gross domestic product data, due on Thursday, and Friday’s PCE price index data - the Fed’s preferred inflation gauge. Any signs of resilience in economic growth and inflation give the Fed more impetus to keep rates higher for longer. “We don’t have a strong bearish view on the dollar in the short-term, but yesterday’s moves did appear overdone in an environment where Fed funds futures still price in 130/140bp of cuts this year,” said analysts at ING, in a note. The Fed is widely expected to maintain rates at 23-year highs next week, but traders are still looking for the central bank to eventually begin trimming rates this year. Euro struggles to gain after weak PMIs In Europe, EUR/USD traded 0.1% higher at 1.0865, with the euro struggling to benefit from the positive risk sentiment after the release of data showing that Germany's economic downturn worsened this month with both manufacturing and services activity contracting. Germany's Ifo institute downgraded its 2024 economic growth forecast on Wednesday, and now expects Europe's largest economy to grow by 0.7% this year instead of 0.9% previously forecast in mid-December. The European Central Bank meets on Thursday, and is virtually certain to keep rates steady at elevated levels. Investors will thus focus on the tone of the policy statement and President Christine Lagarde's press conference. That said, “a data-dependent ECB makes markets data-dependent, meaning upcoming releases on inflation and activity in the eurozone may well have a greater market impact than ECB members’ comments,” ING added. GBP/USD traded 0.2% higher at 1.2712, ahead of the release of U.K. PMI data for January, which is expected to show the U.K. economy remains in expansion territory as a whole. Yen appreciates as yields rise In Asia, USD/JPY fell 0.5% to 147.57, with the yen boosted by Japanese government bond yields rising to six-week highs after central bank chief Kazuo Ueda said on Tuesday that the prospects of achieving the BOJ's inflation target were gradually increasing. USD/CNY traded 0.1% lower to 7.1661, with the yuan seeing some strength this week after Bloomberg reported that the Chinese government was planning a hefty support package for local stock markets. Upgrade your investing with our groundbreaking, AI-powered InvestingPro+ stock picks. Use coupon INVESTPROPLUS24 to get a limited time discount on our Pro+ subscription plans. Click here to find out more, and don't forget to use the discount code when checking out! https://www.investing.com/news/forex-news/dollar-retreats-from-highs-as-risk-appetite-improves-euro-edges-up-after-pmis-3281355

2024-01-24 06:54

NEW YORK - Meme coins, a class of cryptocurrencies that have gained popularity for their engaging themes and potential for high returns, are continuing to capture the attention of investors. Notably, Shiba Inu (SHIB), one of the more prominent meme coins, has maintained a market capitalization above $5 billion, underscoring the significant interest in these digital assets. Meme coins, often inspired by internet jokes or pop culture references, have become a noteworthy segment within the broader cryptocurrency market. Their rise to fame was marked by the success of Dogecoin, which achieved a substantial market cap in 2021, demonstrating the appeal and speculative nature of these tokens. The crypto community is not only focused on trading but also participates in activities like airdrops. Airdrops are events where startups distribute free tokens to existing coin holders. This strategy is employed to foster adoption and build a user base within the decentralized finance (DeFi) protocol ecosystem. It reflects a growing trend in the cryptocurrency space where community engagement and network effects are leveraged to increase the value and utility of a token. While the enthusiasm for meme coins like Shiba Inu is evident, the market for these cryptocurrencies is known for its volatility. Potential investors are advised to approach with caution due to the unpredictable price swings that can characterize assets driven by social media trends and retail investor sentiment. https://www.investing.com/news/cryptocurrency-news/shiba-inu-maintains-market-cap-above-5-billion-as-meme-coins-attract-investors-93CH-3281251

2024-01-24 05:31

Copyrighted Image by: Reuters. Investing.com-- Gold prices edged lower in Asian trade on Wednesday, sticking to a trading range established over the past week as markets grew more uncertain over U.S. interest rate cuts this year. Among industrial metals, copper prices inched lower after increased optimism over China drove stellar gains earlier this week. Gold was reeling from a weak start to 2024, having fallen as low as $2,000 an ounce earlier this month as traders began steadily pricing out bets that the Federal Reserve will cut interest rates as soon as March 2024. But the yellow metal rebounded on some safe-haven demand, especially as geopolitical conditions in the Middle East worsened. This rebound also saw gold establish a trading range of between $2,000 to about $2,050 an ounce over the past week. Spot gold fell 0.3% to $2,023.92 an ounce, while gold futures expiring in February fell 0.1% to $2,024.65 an ounce by 00:17 ET (05:17 GMT). Strength in the dollar- which traded near six-week highs on Wednesday- also weighed on gold prices. US economic data, Fed meeting awaited Metal markets were now seeking more cues on when the Fed could potentially begin trimming interest rates this year. Fourth-quarter gross domestic product data due on Thursday is expected to show some cooling in U.S. economic growth, while PCE price index data- the Fed’s preferred inflation gauge- is due on Friday and is expected to reiterate that inflation remained sticky in December. The data comes just days before the Fed’s first meeting for 2024, where the central bank is widely expected to keep rates on hold. But any cues on planned rate cuts will be in close focus. While gold prices are expected to eventually benefit from lower interest rates this year, they will likely see a muted performance in the near-term, especially if the Fed keeps rates higher for longer. High interest rates push up the opportunity cost of investing in gold, which dampens the yellow metal’s appeal. But gold still managed to eke out an about 10% gain in 2023, having benefited from safe-haven demand after the breakout of the Israel-Hamas war. A continued escalation in the conflict- which appeared to have spilled over into the Red Sea, between U.S.-led forces and the Iran-aligned Houthi group, still fed some demand for traditional safe haven assets. Copper prices edge lower after China-driven gains Copper futures expiring in March fell 0.2% to $3.7983 a pound, but were trading up 0.3% this week. Reports of more planned stimulus measures in China helped copper prices rebound sharply from a near two-month low this week, amid growing hopes for an economic recovery in the world’s largest copper importer. Still, copper was also nursing a weak start to 2024, as a swathe of economic readings for December showed little improvement in Chinese economic growth. Fears of slowing Chinese demand were a key weight on copper prices over the past two years. Upgrade your investing with our groundbreaking, AI-powered InvestingPro+ stock picks. Use coupon INVPRO2024 to avail a limited time discount on our Pro and Pro+ subscription plans. Click here to know more, and don't forget to use the discount code when checking out! https://www.investing.com/news/commodities-news/gold-prices-steady-amid-ratecut-uncertainty-copper-cools-from-china-gains-3281221

2024-01-24 04:57

Copyrighted Image by: Reuters. Investing.com-- Most Asian currencies kept to a tight range on Wednesday, while the dollar steadied near six-week highs as markets awaited more cues on when the Federal Reserve could begin trimming interest rates. The Japanese yen was an outlier for the day, rising 0.3% after Bank of Japan Governor Kazuo Ueda offered more signals on a potential end to the bank’s ultra-dovish policies. But Ueda gave no clear cues on when the BOJ will pivot away from negative rates, and said that easy monetary policy will remain for the near-term. The yen was also aided by stronger-than-expected trade data for December, with Japanese exports to China rising for the first time in 13 months. But purchasing managers index (PMI) data for January showed a sustained decline in Japanese manufacturing activity, while services activity grew further in December. Broader Asian currencies kept to a tight range amid persistent concerns over higher-for-longer U.S. rates. Most regional units had clocked steep losses over the past week as traders began pricing out bets on a March 2024 rate cut. China’s yuan traded sideways, but saw some strength this week after Bloomberg reported that the Chinese government was planning a massive 2 trillion yuan ($278 billion) support package for local stock markets. The report fueled optimism that the government will roll out more support for the economy. But broader sentiment towards China remained muted amid persistent concerns over a sluggish post-COVID economic recovery. Concerns over China kept most Asian currencies under pressure, particularly those with trade exposure to the country. The Australian dollar fell 0.1%, even as PMI data for January showing some improvement in manufacturing and services activity. The Aussie, which is usually seen as an indicator of broader risk appetite towards Asian markets, was also trading close to seven-week lows. The Singapore dollar was flat, while the South Korean won lost 0.1%. Dollar steadies near 6-week high with econ. data, Fed meeting on tap The dollar index and dollar index futures both fell 0.1% in Asian trade after surging to their highest levels since early-December in the prior session. The greenback marked a strong start to 2024 as strong inflation and labor market data saw traders largely scale back expectations for early interest rate cuts by the Fed. This notion was exacerbated by a series of hawkish comments from Fed officials over the past week. Focus now turns to fourth-quarter gross domestic product data, due on Thursday, and PCE price index data- the Fed’s preferred inflation gauge- due on Friday. Any signs of resilience in economic growth and inflation give the Fed more impetus to keep rates higher for longer. The readings also come just days before the Fed’s first meeting for 2024, where the bank is widely expected to maintain rates at 23-year highs. But the Fed is still expected to eventually begin trimming rates this year, which will keep traders watching for any such cues from the meeting. Upgrade your investing with our groundbreaking, AI-powered InvestingPro+ stock picks. Use coupon INVPRO2024 to avail a limited time discount on our Pro and Pro+ subscription plans. Click here to know more, and don't forget to use the discount code when checking out! https://www.investing.com/news/forex-news/asia-fx-muted-dollar-steady-amid-ratecut-uncertainty-yen-up-on-boj-3281216