2023-12-19 23:02

Copyrighted Image by: Reuters. Investing.com -- U.S. crude stockpiles increased last week, the API reported Tuesday, just as concerns about global oversupply eased amid supply disruptions caused by a growing vessel attacks along a key Red Sea shipping route. Crude Oil WTI Futures, the U.S. benchmark, traded at $74.08 a barrel following the report after settling up 1.3% at $73.44 a barrel. U.S. crude inventories rose by 939,000 barrels for the week ended Dec. 15, compared with a draw 2.3 million barrels reported by the API for the previous week. Economists were expecting a decline of about 2.2M barrels. The rise in weekly U.S. stockpiles comes as concerns about growing non-OPEC supply remain a worry, though have eased somewhat amid a series of attacks on ships in the Red Sea by the Iran-aligned Yemeni Houthi militant group. The API data also showed that gasoline inventories increased by 669,000 barrels last week, while distillate stocks increased by 2.7M barrels. The official government inventory report due Wednesday is expected to show weekly U.S. crude supplies decreased by about 2.28M barrels last week. https://www.investing.com/news/commodities-news/oil-inventories-rise-by-939000-barrels-last-week-api-3260257

2023-12-19 20:37

Copyrighted Image by: Reuters Coinbase forecasts optimistic crypto market outlook for 2024 In a recent report, Coinbase (NASDAQ:COIN) provided an optimistic outlook for the crypto market in 2024. The report, titled "Coinbase 2024 Crypto Market Outlook," highlighted the resilience and potential growth of cryptocurrencies despite the challenges faced in the past year. According to the report, the total cryptocurrency market capitalization doubled in 2023, suggesting that it has already exited its “winter” and is now in the midst of a transition. “Still, we think it'd be premature to put labels on this or see the positive performance as vindication against the cynics who reveled in crypto’s greatly exaggerated demise. What’s clear, however, is that despite the hurdles directed towards the asset class, the developments we witnessed over the past year have defied expectations. They are evidence that crypto is here to stay. The challenge now is to seize the moment and build something better,” mentioned in the report. Key themes for 2024: Institutional investment in Bitcoin: Coinbase predicts that institutional flows into cryptocurrency will continue to focus primarily on Bitcoin at least through the first half of 2024. This trend is expected to be driven by traditional investors' growing interest in the crypto market. Favorable macro tailwinds and regulation: The report anticipates favorable macroeconomic conditions for risk assets in 2024. More importantly, it foresees ongoing efforts in establishing regulatory frameworks for cryptocurrencies, which will facilitate long-term adoption. Development of real-world use cases: Another significant trend highlighted is the continuous effort by developers to create real-world applications for cryptocurrencies, the foundations of which are already evident. Improving user experience: Finally, Coinbase underscores the importance of enhancing the user experience in the crypto space, the groundwork of which is being built. The report suggests that improvements in this area will be key to transitioning from early adopters to mainstream users. https://www.investing.com/news/cryptocurrency-news/coinbase-forecasts-optimistic-crypto-market-outlook-for-2024-432SI-3260150

2023-12-19 15:59

Copyrighted Image by: Reuters Investing.com -- FTX and its debtors have reached an agreement with joint liquidators representing the bankrupt cryptocurrency exchange's Bahamas entity, as part of a drive to maximize asset recoveries and reconcile claims for customers and creditors. According to a statement on Tuesday, the settlement will see both parties pool assets together and coordinate to establish reserves in order to "ensure that FTX.com customers [...] receive substantially identical relative distributions at substantially identical times." The agreement still needs to be approved by a U.S. bankruptcy court in Delaware and the Supreme Court of The Bahamas, the statement said. FTX Chief Executive John Ray, who replaced convicted founder Sam Bankman-Fried, called the development a "critical milestone" in the company's drive to pay back customers. https://www.investing.com/news/cryptocurrency-news/ftx-reaches-global-agreement-with-liquidators-for-crypto-exchanges-bahamas-unit-3260050

2023-12-19 14:54

Copyrighted Image by: Reuters Coinbase (COIN) in a 'great position' to grow top and bottom line next year - Compass Point The Coinbase (NASDAQ:COIN) price target was lifted to $200 from $145 at Compass Point on Tuesday, with the firm maintaining a Buy rating on the stock. Analysts noted the recent rise in crypto, which they believe will propel Coinbase to significant top and bottom-line growth in 2024. Since their last analysis, they have witnessed a dramatic climb in both crypto prices and trading volumes, surpassing their initial forecasts. Fueling the increase is the potential of lower interest rates in 2024 and the potential approval of spot Bitcoin ETFs, said the analysts. "COIN has participated in this upswing, with spot ADVs tracking nearly 50% above our prior estimate for 4Q23 (and even higher in December), which we believe has been driven not only by BTC trading but also trading in other tokens," the analysts wrote. " We also note that COIN's recently launched international derivatives exchange has seen a material uptick in trading volumes, albeit from a very low base." The price rally also benefits Coinbase's staking-as-a-service business, as they earn a cut of the staking yield on tokens like Ethereum and Solana. Analysts anticipate this momentum to continue into 2024, driven by factors like easing interest rates, which are expected to lure both retail and institutional investors back to riskier assets, and potential market share gains from competitor Binance's recent regulatory woes. "All-in, we believe the rise in crypto market activity, combined with COIN's cost-cutting initiatives, put the company in a great position to grow top and bottom line in 2024," the analysts concluded. https://www.investing.com/news/cryptocurrency-news/coinbase-in-a-great-position-to-grow-top-and-bottom-line-next-year--compass-point-432SI-3259995

2023-12-19 10:00

Investing.com - The U.S. dollar stabilized in early European trade Tuesday, while the yen slumped after the Bank of Japan maintained its dovish course at its latest policy-setting meeting. At 05:00 ET (10:00 GMT), the Dollar Index, which tracks the greenback against a basket of six other currencies, traded largely unchanged at 102.190, having experienced a strong rebound from four-month lows in the past two sessions. Dollar steadies after sharp losses The dollar has steadied of late after sharp recent losses as a number of Fed policymakers attempt to rein in expectations of a number of rate cuts next year in the wake of the U.S. central bank’s latest policy meeting. BofA Global Research said on Monday that it expects the U.S. Federal Reserve to deliver four 25-basis point rate cuts next year, starting in March - an increase from its previous stance of a total 75 bps. However, some Fed officials are now attempting to push back on this aggressive dovish repricing. Chicago Fed President Austan Goolsbee said on Monday that the central bank is not precommiting to cutting interest rates soon and swiftly "I was confused a bit ... was the market just imputing 'Here's what we want them to be saying.' I thought there seemed to be some confusion about how the FOMC (Federal Open Market Committee) even works. We don't debate specific policies speculatively about the future," he said. Goolsbee is scheduled to speak once more later Tuesday, while Atlanta Fed President Raphael Bostic is also due to talk about the U.S. economy at a separate event. Yen slumps after BOJ stays dovish Elsewhere, USD/JPY traded 1.3% higher at 144.59 after the Bank of Japan held interest rates at negative levels and offered no cues on when it planned to begin tightening policy. Governor Kazuo Ueda has previously offered some signals on potential policy tightening in 2024, but he again reiterated the need for ultra-loose policy in the near-term, citing increased economic risks to Japan. Still, the yen remained close to recent five-month highs against the dollar, having recovered sharply following dovish signals from the Fed last week. “The Bank kept its dovish guidance unchanged (“take additional monetary easing steps without hesitation if needed") which forced markets to abandon speculation of a rate hike in January,” said analysts at ING, in a note. Euro gains despite falling CPI EUR/USD rose 0.2% to 1.0942, following the release of a final reading of eurozone inflation in November. This showed that consumer prices are retreating, with the November figure falling 0.6% on a monthly basis, an annual increase of 2.4%, down from 2.9% the prior month. That said, ECB policymaker Yannis Stournaras, usually known as a dove, on Monday joined a growing chorus of central bank officials pushing back against market expectations for a spring rate cut, helping the single currency post gains against the dollar. “EUR/USD can trade above 1.10 during the holiday period as the dollar enters a seasonally soft period, but rate differentials are still too depressed to argue for a sustainable rally above 1.10 just yet,” ING added. GBP/USD rose 0.4% to 1.2691, with U.K. inflation, due for release on Wednesday, still seen way above the Bank of England’s 2% medium-term target, making rate cuts a more distant prospect. Elsewhere, USD/CNY traded 0.1% higher at 7.1424, before a People’s Bank of China decision on loan prime rates later this week. The central bank is widely expected to keep the rate at record lows, as it struggles to foster economic growth while supporting the yuan. https://www.investing.com/news/forex-news/dollar-steadies-japanese-yen-slumps-after-boj-stays-dovish-3259607

2023-12-19 06:02

Copyrighted Image by: Reuters. Investing.com-- Gold prices fell slightly on Tuesday after several Federal Reserve officials downplayed expectations that a dovish pivot by the central bank was imminent, which helped stem recent losses in the dollar. The yellow metal still held above the coveted $2,000 an ounce level, but edged towards the low-$2,000s following less dovish signals on U.S. monetary policy. Resilience in the dollar- which rebounded sharply from four-month lows this week- also weighed on gold prices. Spot gold fell 0.1% to $2,024.67 an ounce, while gold futures expiring February fell 0.1% to $2,038.20 an ounce by 00:35 ET (05:35 GMT). Fed officials attempt to temper rate cut bets A slew of Fed officials said on Monday that market enthusiasm over immediate interest rate cuts was somewhat unfounded, and that sticky inflation may keep monetary conditions tighter for longer. Chicago Fed President Austan Goolsbee said he was “confused” with how markets reacted to the Fed’s meeting last week, while Cleveland Fed President Loretta Mester said that the Fed wasn’t looking at rate cuts, but rather at how long policy needed to remain tight to put inflation back at its 2% target. Their comments somewhat clashed with a dovish outlook from the Fed during its final policy meeting for the year, where the central bank said it was done raising interest rates and will consider cuts in 2024. Comments from the Fed saw markets pricing in rate cuts by as soon as March 2024- bets which also triggered flows into rate-sensitive assets such as gold. The yellow metal soared past the $2,000 an ounce level after the Fed meeting, and has since retained the level. Markets also retained their bets on early rate cuts, with Fed Fund futures prices showing a nearly 63% chance for a 25 basis point rate cut in March 2024. Gold is expected to benefit from a lower rate environment, given that higher rates push up the opportunity cost of investing in the yellow metal. This trade had limited any major upside in gold over the past year. Copper creeps higher on China stimulus hopes Among industrial metals, copper prices rose on Tuesday, buoyed by expectations of more monetary stimulus in China after a bumper liquidity injection by the People’s Bank last week. Copper futures expiring March rose 0.3% to $3.8595 a pound. The red metal saw strong gains in recent sessions, tracking weakness in the dollar, and as the People’s Bank of China injected over $100 billion worth of yuan liquidity into the economy to shore up growth. The PBOC is now set to keep its benchmark loan prime rate at record lows later this week. Upgrade your investing with our groundbreaking, AI-powered InvestingPro+ stock picks. Use coupon INVSPRO2024 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-creep-lower-as-fed-officials-downplay-rate-cut-bets-3259472