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Investors are turning risk averse once again, as Donald Trump's strong victory in Iowa and hawkish comments from European policymakers raise fears of a resurgence in volatility. Trump won a firm victory, as expected, and investors are bracing themselves for a volatile campaign. European policymakers in Davos pushed back against the prospect of deep rate cuts. Asian markets fell back, with the Nikkei 225 finally shedding some ground after its recent surge, and the Hang Seng breaking below 16,000 once again to hit a 14-month low. The UK unemployment rate held at 4.2% in November, while wages grew at a slower-than-expected pace of 6.5%. US markets return from their holiday, joining in the cautious mood.

Microsoft has overtaken Apple to become the world’s biggest company by market capitalization. IGTV financial analyst Angeline Ong looks at what has driven Microsoft's market value up, helping it to eclipse the iPhone giant. Angeline Ong | Financial Analyst, Presenter and Content Editor, London | Publication date: Monday 15 January 2024 16:22 Microsoft overtakes Apple in market value Microsoft has taken over Apple as the most valuable company in the world by market value. This change can be mostly attributed to Microsoft focusing on generative artificial intelligence, which has caught the attention of investors. This increased interest in AI has given Microsoft's stock a boost, much like other tech stocks. On the flip side, Apple has been dealing with a decrease in demand for its famous iPhone, particularly in China. Microsoft's AI advancements Looking at the bigger picture, Apple's stock has actually performed well in 2023, benefiting from different factors. However, Microsoft has also experienced significant gains and now has a larger market value than Apple. This rise in Microsoft's worth highlights the growing importance and potential of generative artificial intelligence. This technology allows machines to learn and generate data, and investors are very excited about it. It is also transforming many industries. Microsoft's investment and focus on AI have undeniably played a major role in its rise to become the most valuable company. On the other hand, Apple's dependence on the iPhone for its profits has created challenges as the demand for this iconic device has decreased, especially in the saturated smartphone market of China. This struggle with declining iPhone sales has hurt Apple's stock performance and allowed Microsoft to surpass it in market value. Overall, this shift in the world's most valuable company shows just how important technological advancements like AI are and how they impact the market. It also reminds us that even giant companies like Apple need to constantly innovate and diversify their products to stay ahead in the ever-changing market landscape. This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Technical overview remains bullish though has stalled heavily on the daily time frame, and CoT speculators continue to raise their heavy buy bias. Source: Bloomberg Shares Revenue Consumer price index JPMorgan Chase Citigroup Market trend Monte Safieddine | Market Analyst, Dubai | Publication date: Monday 15 January 2024 07:01 Mixed pricing data and earnings from the financial heavyweights More pricing data was available last Friday, following Thursday’s CPI (Consumer Price Index) readings for December. These readings were hotter than anticipated. In contrast, the producer prices for the same period were lighter than forecast. The year-on-year (y/y) reading was 1% for the headline and -0.1% month-on-month (m/m). Excluding food and energy, the figure fell to 1.8% y/y, due to a lack of m/m growth in its core. On the earnings front, there was plenty to process. Financial heavyweights released their figures, which included one-off hits such as refilling the deposit insurance fund and setting aside more for loan loss provisions. Key outcomes were: Discover how to trade the markets Learn how indices work – and discover the wide range of markets you can trade on – with IG Academy's free ’introducing the financial markets’ course. Try IG Academy JPMorgan Chase, beating on revenue and reporting an annual profit of nearly $50bn, even as quarterly net income dropped Bank of America, beating on earnings but missing on revenue with net interest income (NII) dropping 5% Wells Fargo, an exception, enjoying a rise in profits and beating both earnings and revenue, though NII dropped as well Citigroup, suffering a $1.8bn loss with revenue missing estimates and sizable charges that were announced earlier. Key US stocks finished the week higher, with tech outperforming. Treasury yields were in retreat, though impacted less on the furthest end. Market pricing (CME's FedWatch) is heavily in favor of a rate cut in March and back at anticipating beneath 4% by the end of the year. Week ahead The upcoming week starts off light due to a US holiday, gradually picking up towards Wednesday’s retail sales for December. In the housing sector, there's plenty of data. This includes the weekly mortgage applications on Wednesday, followed by NAHB’s housing market index, which remains sub-50, signifying a negative outlook. On Thursday, both building permits and housing starts are due, where previously the former dropped m/m while the latter jumped. Existing home sales on Friday are struggling to rise to pandemic lows, with rates still high enough to discourage many homeowners locked in with lower rates from selling. Manufacturing indices from the Federal Reserve banks of New York and Philadelphia will likely remain negative as the sector continues to suffer contraction. On Friday, we’ll have preliminary readings from UoM (University of Michigan) where consumer sentiment has improved from mid-2022 lows, and inflation expectations are in notable retreat. Additionally, there are more earnings to consider, with (Dow 30 component) Goldman Sachs and Morgan Stanley reporting tomorrow and numerous regional banks throughout the week. A government shutdown looks less likely as we approach the first deadline, following reports that congressional leaders have agreed to a continuing resolution to keep it going until March. For the US primary elections, there’s the Republican Iowa caucus today. Dow technical analysis, overview, strategies, and levels The Dow saw a positive close, but it failed to undo the losses from the preceding week. There was a lack of play for both conformist and contrarian strategies on the longer-term weekly, with the intraweek highs and lows within its previous weekly 1st levels. However, the daily time frame was different. Thursday's lows got past its 1st Support and S/L, initially favoring contrarian sell-breakouts and stop-outs for conformist buy-after-significant reversals. Later, it offered the latter a chance at redemption with a move back up on that day and Friday. The overview remains bullish in both time frames but is stalling more noticeably on the daily. Source: IG IG client* and CoT** sentiment for the Dow IG Clients are still in extreme sell territory but have dropped from 83% to 80%, with a small portion trading these higher ranges. As for CoT speculators, they have increased their long bias, taking it to a heavy buy at 74% on an increase in longs and a simultaneous drop in shorts (longs +2,678 lots, shorts -1,859). With another percentage sentiment gain like that, it'll be in extreme long territory when the next report is released. Source: IG Dow chart with retail and institutional sentiment Source: IG *The percentage of IG client accounts with positions in this market that are currently long or short. Calculated to the nearest 1%, as of the start of this week for the outer circle. Inner circle is from the start of last week. **CoT sentiment taken from the CFTC’s Commitment of Traders report, outer circle is latest report released on Friday with the positions as of last Tuesday, inner circle from the report prior. This information has been prepared by IG, a trading name of IG Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.

US equity markets surge on Fed rate cut expectations; Nasdaq up 3.23%. Mixed bank earnings reactions. Focus on December retail sales report and Fed speeches this week. Tony Sycamore | Market Analyst, Australia | Publication date: Monday 15 January 2024 05:25 US equity markets rediscovered their bull market mojo last week, supported by increasingly aggressive expectations of Fed rate cuts. The Nasdaq surged 3.23% for the week, while the S&P 500 added 1.84%, and the Dow Jones finished 0.34% higher. Following Friday night's softer-than-expected PPI data (-0.1% vs 0.1% exp), two-year yields dived to finish 23 basis points (bp) lower at 4.15%. There is now an 80% chance of a Fed rate cut priced for March, and a total of 167 bp of rate cuts priced for 2024. Friday night's bank earnings reports received a mixed reception. Wells Fargo (-3.34%), Bank of America (-1.06%) and JP Morgan (-0.73%). While Citigroup climbed 1.04% to $52.62 on the news, it will trim its workforce by 10% to boost returns. US Q4 earnings season continues this week, with reports scheduled from companies including Goldman Sachs, Morgan Stanley, Interactive Brokers, Charles Schwab, and Alcoa. Start trading forex today Trade the largest and most volatile financial market in the world. Spreads start at just 0.6 points on EUR/USD Analyse market movements with our essential selection of charts Speculate from a range of platforms, including on mobile Find out more Aside from earnings reports, there will be interest in the latest retail sales report for December, the Michigan consumer sentiment for January and speeches from Fed members, including Waller, Williams, Barr, Daly, and Bostic - who may attempt to push back on expectations of rate cuts in March. What is expected from the December retail sales report? (Thursday 12.30 am AEST) Following a gain of 0.3% MoM in November, the market is looking for retail sales to gain 0.3% in December. Retail sales, excluding volatile motor vehicles and parts are expected to increase by a subdued 0.2% MoM. S&P 500 technical analysis While the S&P 500 cash made a marginal new high last week, the view remains that the advance from the October low is in the terminal stages based on our Elliott Wave count and bearish RSI divergence. As such, we remain neutral/cautious at current levels, watching for a break of support at 4675 (just below last week's lows), which would warn that a deeper pullback towards support at 4600/4550 is underway. S&P 500 daily chart Source: TradingView Nasdaq technical analysis The Nasdaq followed the road map to perfection during the second half of 2023, bottoming as expected in the 14,200/14,000 support zone before a stunning rebound to new highs. The updated view is that the advance from the October low is in the terminal stages based on our Elliott Wave count, and as such, we remain neutral/cautious at current levels. A sustained break below support at 15,900/15,800 would warn that a deeper pullback initially towards the 200-day moving average at 15,000 is underway. Nasdaq daily chart Source: TradingView Source: TradingView. The figures stated are as of 15 January 2023. Past performance is not a reliable indicator of future performance. This report does not contain and is not to be taken as containing any financial product advice or financial product recommendation. This information has been prepared by IG, a trading name of IG Australia Pty Ltd. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

AUD/USD faces challenges with softer inflation and iron ore dip. Chinese GDP and Thursday's aussie jobs report key. Expectations of +15k employment and 3.9% unemployment crucial for RBA's 2024 rate outlook. Source: Bloomberg Forex AUD/USD Unemployment United States dollar Australian dollar Employment Tony Sycamore | Market Analyst, Australia | Publication date: Monday 15 January 2024 07:22 Last week saw a second consecutively weekly fall for the AUD/USD, as a softer-than-expected Australian inflation report and a 4.4% fall in the price of iron ore weighed on the local unit. Whether the AUD/USD can regain upside traction after its almost 10% rally into year-end will depend to a large degree on Chinese GDP and activity data due for release on Wednesday, which will provide fresh insights into the health of the Chinese economy at the beginning of 2024. Locally, the release of the latest Australian labour force report schedule for release on Thursday, previewed below, will also have a strong say in how the AUD/USD trades this week. Start trading forex today Trade the largest and most volatile financial market in the world. Spreads start at just 0.6 points on EUR/USD Analyse market movements with our essential selection of charts Speculate from a range of platforms, including on mobile Find out more Employment data (Thursday, January 18th at 11.30 am AEST) The Australian economy added 61.5k jobs in November vs. the 11.5k expected. The unemployment rate rose to 3.9% from 3.8%, as the participation rate surged to a record high of 67.2% from 67%. Bjorn Jarvis, ABS head of labour statistics, said: "With employment increasing by 61,000 people, and the number of unemployed people rising by 19,000, the unemployment rate rose to 3.9 per cent in November." This month, the market is looking for a +15k rise in employment and for the unemployment rate to remain unchanged at 3.9%. The participation rate is also expected to remain unchanged at 67.2%. Ahead of the jobs report, there are two RBA rate cuts priced into the Australian rates market, with a first-rate cut for June and a second by December, which would take the cash rate back to 3.60% by year-end. If the unemployment rate were to tick up to 4% or above, it might see the start of a third rate cut priced into the rates curve for 2024. Australia's unemployment rate chart Source: ABS AUD/USD technical analysis From the October .6270 low to the December .6871 high, the AUD/USD gained just under 10% in two months. The rally appears to have unfolded in five waves (Elliott Wave), which suggests the pullback from the .6871 high is part of a correction, rather than a reversal lower. The correction will likely be well supported initially at the early January .6640 low, reinforced by the 200-day moving average at .6580. A very good layer of horizontal support is not far below at .6520/00. If we were to see evidence of basing near one of the support levels mentioned above, it might be the setup for a long trade looking for a rebound towards the .6871 high. AUD/USD daily chart Source: TradingView Source: TradingView. The figures stated are as of 15 January 2023. Past performance is not a reliable indicator of future performance. This report does not contain and is not to be taken as containing any financial product advice or financial product recommendation. This information has been prepared by IG, a trading name of IG Australia Pty Ltd. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

Gold price rallies while oil & natural gas prices struggle While gold is moving higher to start the week, oil prices and natural gas prices have seen a more mixed morning of trading. Source: Bloomberg Commodities Market trend Gold Brent Crude Price of oil Natural gas Chris Beauchamp | Chief Market Analyst, London | Publication date: Monday 15 January 2024 11:50 Gold marches higher The price is making headway to the upside this morning, building on the strong finish to last week. Last week saw the price bounce off the 50-day simple moving average (SMA), forming a higher low and reviving the uptrend. Friday saw the price close above trendline resistance from the late-December high, bolstering the bullish short-term narrative. A close back below $2030 would negate this, while a drop back below the 50-day SMA points towards the possibility of additional short-term weakness. See your opportunity? Seize it now. Trade over 17,000+ markets on our award-winning platform, with low spreads on indices, shares, commodities and more. Find your market Source: ProRealTime Surge in Brent crude knocked back The volatility in crude oil prices continues. Friday witnessed a spike to $80 for Brent, in anticipation of the US/UK military action against the Houthis in Yemen. However, the spike was short-lived, and the close below the 50-day SMA sends a potentially bearish signal. Sellers now need to follow through on this with a break below $75 that will open the way to the lows of December. Buyers have been unable to hold on to gains over the past few months, and in the short-term a close above $80 and then the late December high at $81.40 would provide a short-term bullish view. Souce: ProRealTime Natural Gas gaps lower After the surge from the December lows, the price has hit a road block, slumping back to the 200-day SMA, though leaving the uptrend from the lows of December intact. A close below 2670 would be needed to break trendline support from mid-December, which would reinforce the view that a lower high has been created. This might then renew the downtrend from early-November and put the lows of late December in play. Renewed strength targets last week’s highs around 2975, and a close above 3000 marks a fresh bullish development. Source: ProRealTime This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Brace for GBP/USD volatility this week as the market awaits the latest unemployment and CPI print. Both readings could give investors further clues on what the Bank of England will do at its February meeting. Angeline Ong | Financial Analyst, Presenter and Content Editor, London | Publication date: Monday 15 January 2024 11:16 (Video summary) This week, traders are focusing on the British pound, also known as the sterling, as there are important economic indicators coming out that could give us more information about what the Bank of England (BoE) will do next. One of these indicators is the unemployment rate, which is expected to increase to 4.3% in November. This would be the first time it has gone up in five months. Currently, the rate is at 4.2%, which is the highest it has been since September of last year. CPI Another indicator to watch is the Consumer Price Index (CPI) growth, which measures inflation. It is expected to slow down to 3.8% in December compared to the previous month. This is good news because inflation has been high lately, but it has been gradually decreasing since reaching a peak of 11.1% in October of 2022. In addition, the core CPI growth, which excludes volatile items like food and energy, is forecasted to fall to 4.9% compared to the previous year. This would be the lowest level since January of 2022. Retail sales Lastly, on Friday we will get data on retail sales in December, which is estimated to decline by 0.5%. This means that people were spending less on goods during the holiday season. All of these indicators will be closely watched by Andrew Bailey and his team at the BoE, as they will decide on interest rates on February 1st. This decision will give us a good idea of how the UK economy is doing. Overall, the UK economy has been weak recently, with inflation coming down but still remaining high. The property market is uncertain, but there are signs that it is stabilizing after a slow period. The GBP/USD exchange rate, also known as "cable," has been quite volatile since October but has been gradually moving towards the 12,743 mark. If it breaks through that level, it could potentially go up to around 13,140. So, the upcoming economic indicators and the Bank of England's interest rate decision will help us understand how the UK economy is performing and what the sterling's movements are likely to be. This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

The retailer saw strong growth in its premium and value food lines Source: Bloomberg Shares Marks & Spencer Grocery store Christmas Clothing Inflation Piper Terrett | Financial writer, London | Publication date: Friday 12 January 2024 20:31 Marks & Spencer Group PLC reported bumper Christmas trading figures despite the cost of living crisis. The UK-based food and clothing retailer delivered an 8.1% increase in total UK like-for-like sales for the 13 weeks to 30 December 2023 to £3.6 billion. Like-for-like food revenues enjoyed a 9.9% increase to £3.3 billion, boosted by sales of premium Christmas food lines. Group sales rose by 7.2% to £3.9 billion with the figures beating analyst expectations. Marks and Spencer ‘top performing grocer’ Indeed, Marks and Spencer was the top performing grocer over the Christmas period and quarter in terms of volume growth. The company said this was driven by supply chain improvements and strong growth in its meat, poultry, grocery, produce and in-store bakery lines. Chief executive Stuart Machin said the company’s “strategy to reshape M&S for growth” had delivered “sustained sales momentum” across the retailer’s food, clothing and home divisions. “In Food, we led the market on volume growth every month with a c.7% increase across the quarter, and served more customers than ever before,” he told investors. “Core categories grew strongly and renewal stores, which cater to larger basket shops, performed particularly well, as more customers looked to us for more of their full shop. In clothing and home, we delivered a good performance with sales growing ahead of the market and less stock going into sale.” Sales of its ‘Remarksable’ value food line also grew around 18% over the period. Even the company’s enfant terrible, womenswear, was a “standout”, Machin said, leading the market in terms of volume and value growth. Marks and Spencer’s Machin: ‘Lots more to do’ While Machin said the company enters 2024 “with a spring in our step,” he said Marks and Spencer still has “lots more to do” to facilitate its turnaround and admitted it had a history of “overpromising and under-delivering”. The company was cautious in its outlook statement, noting that expectations for “economic growth remain uncertain” given continuing consumer and geopolitical-related risks. Marks and Spencer also says it is seeing increased wage and business rates-related cost inflation. International sales also fell by 6.4% due to issues in the Middle East and India. Management left full-year forecasts unchanged and said the company aims to produce 1% growth in market share in both clothing and food. Shares in Marks and Spencer are up 80% this year to 262p. Investors may wish to take some profits, given the shares are trading near their five-year highs. However, there could be further momentum in the stock. Analysts at broker Barclays think the shares could reach 300p. Past performance is not a guide to future performance This information has been prepared by IG, a trading name of IG Australia Pty Ltd. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

It will be a quiet start to the week, with US markets on holiday for Martin Luther King Day, stopping earnings season in its tracks. The latest reporting period began on a muted note with mixed figures from the big banks, resulting in a muted end to last week's trading. Over the weekend Taiwan's presidential election contest resulted in a win for the pro-sovereignty party, a move likely to increase tensions in the region. The US and UK began strikes on Houthi rebels in response to attacks on shipping in the Red Sea, with more action likely on both sides, potentially boosting oil prices further. Key events for the week include Chinese GDP and Japanese inflation, while UK inflation and employment data is also scheduled for release.

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Late on Wednesday, the US Securities and Exchange Commission (SEC) approved 11 applications, including those from BlackRock, Fidelity, Invesco and VanEck. Jeremy Naylor | Analyst, London | Publication date: Thursday 11 January 2024 11:30 Most of these products are expected to start trading today, but the big question is what could it mean for Bitcoin? ETFs offer investors exposure to bitcoin without directly holding it. Earlier this week, analysts at Standard Chartered estimated ETFs could draw $50 billion to $100 billion this year alone. As of Wednesday, bitcoin market capitalisation stood at $913 billion. And what next? Some regulatory experts believe other innovative crypto products could follow, as from now on it will be a lot harder for the SEC to say no. Bitcoin ETFs approved by SEC The US Securities and Exchange Commission (SEC) has given the green light to 11 applications for Bitcoin exchange-traded funds (ETFs) from companies like BlackRock, Fidelity, Invesco, and VanEck. These ETFs allow people to invest in Bitcoin without actually owning it. Experts think that these ETFs could bring in a whopping $50 billion to $100 billion this year alone. This approval is seen as a positive sign for Bitcoin trading. What next for Bitcoin? If we look at the chart for Bitcoin, we can see that it has been bouncing back since hitting a low point in November 2022, with a massive increase of 209%. However, things have been a bit quiet recently, so people are wondering what's next for Bitcoin. Some experts in regulations think that by approving these Bitcoin ETFs, the SEC will find it harder to say no to other new cryptocurrency products in the future. We don't have any immediate signs that Bitcoin's price will go up even more, but it's interesting to see how things will unfold and how much people will be interested in these newly approved ETFs. The approval by the SEC allows more mainstream adoption of Bitcoin, which could mean that its value goes even higher in the future. So, this is a big step forward for Bitcoin investors. Overall, it seems like a positive development for Bitcoin with the approval of these ETFs. It offers a new way for people to invest in Bitcoin without having to actually buy and hold the cryptocurrency themselves. This could potentially attract more investors and push Bitcoin's value even higher. It will be interesting to see how things progress from here and how successful these ETFs will be in bringing in billions of dollars. This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

The surge in the Nikkei goes on, with the Japanese index breaking 35,000 for the first time in over three decades. It was a solid session across most of Asia as investors threw caution to the wind ahead of today's widely-anticipated US CPI data. Today's report will provide further indications as to whether inflation is still dropping towards the Fed's 2% target. While the FOMC itself only expects to cut by 75bps this year, markets are merrily pricing in 140 basis points of cuts. Herein lies the potential for at least some volatility this year, even within the context of a broader equity market uptrend. Futures currently point to a solid start for European and US markets, though traders should be prepared for volatility around the US inflation announcement.

All sessions on the IG platform, the stock of Boeing is adding to the 8% drop on Monday, the biggest one day drop since October 2022. Jeremy Naylor | Analyst, London | Publication date: Tuesday 09 January 2024 12:27 (Partial Video Script) Boeing share price drops drastically as aircraft problems discovered This drop in stocks all comes after a section of the fuselage fell from an Alaska Airlines Boeing 737 Max 9 on Friday. Reports are also coming in from United Airlines of bolts in need of "additional tightening" during inspections of Boeing 737 Max 9s. United Airlines said "installation issues" relating to door plugs would be "remedied" before the aircraft type would return to service. Other reports have come in too from Alaska Airlines which says it too, has since found "some loose hardware" on some Max 9s. The Federal Aviation Administration (FAA), which regulates air travel in the US, has grounded 171 planes of the same type. Airbus stock hits record high Meanwhile, Airbus stock hits a record high with Reuters reporting the company is nearing an order from Delta Air Lines for dozens of wide-body jets including extra A350-1000 aircraft. It says that, depending on last-minute negotiations, a deal could be made public as early as Friday when Delta reports its fourth-quarter earnings. This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

The S&P 500 concluded the first week of January with its first weekly decline since October 2023, but were quick to pare the losses into the new week as inflows into big tech resume. Source: Bloomberg Indices S&P 500 Inflation Federal Reserve Refinitiv Technical analysis Yeap Jun Rong | Market Strategist, Singapore | Publication date: Tuesday 09 January 2024 11:20 S&P 500 pare losses into the new week following first weekly decline since October 2023 The S&P 500 concluded the first week of January with its first weekly decline since October 2023, but were quick to pare the losses into the new week as inflows into big tech resume. There has not been much on the economic data front to start the week, apart from a broad-based fall in consumer inflation expectations from the New York Federal Reserve (Fed) survey driving the disinflation narrative. But given the outsized positive reaction in risk sentiments, it suggests that market participants are eager to take advantage of any near-term retracement to jump back into the markets. Focus shifts to US inflation data Ahead, attention will turn to the US consumer price index (CPI) this week to determine if the rally can have more legs to run. Thus far, markets continue to race ahead of the Fed in pricing for six rate cuts through 2024, with the first cut priced to be as early as March 2024, and significant disinflation progress is needed to justify such views. Current expectations are for an uptick in US December headline inflation to 3.3% from previous 3.1%, but the core aspect will likely carry more weight in swaying Fed officials’ views. Current consensus is for further easing in core pricing pressures to 3.8% year-on-year from previous 4.0%, where a match or below-consensus read may help to keep the market confidence going. Nasdaq technical analysis: Attempting to regain composure following recent retracement Following the retracement since end-December last year, the Nasdaq 100 index is attempting to find some support off the 16,300 level, where a 23.6% Fibonacci retracement stands from its October low to December 2023 peak. This comes as its relative strength index (RSI) on the daily chart heads back towards the key 50 level, which calls for some defending from the bulls to keep the near-term upward bias intact. Ahead, the 16,300 level will remain as a key support to hold, while the bulls may set their eyes on the key 17,000 level for a retest. Source: IG charts S&P 500 technical analysis: Buyers eager to take any retracement as dip-buying opportunity Following a brief dip below the 4,700 level for the S&P 500, buyers showed that they are not ready to cave in just yet as its daily RSI found some defending at the key 50 level. The formation of a bullish pin bar candle last Friday points to some dip-buying at the 4,670 level, while the index attempts to head back to retest its 2023 high at the 4,800 level. Any successful move above the 4,800 level may potentially leave the psychological 5,000 level on watch next, while on the downside, support confluence may be found at the 4,600-4,640 level. Source: IG charts Sector performance The first week of 2024 brought a defensive shift in the markets, as sector performance revealed a pull-ahead in healthcare (+2.9%) and utilities (+2.6%), compared to mixed performance in economically-sensitive sectors. The S&P 500 was lower by 1.5% for the week, with some unwinding in the heavyweight big tech following its recent rally. Notably, Tesla was down 3.2%, while Amazon was lower by 1.9%, leading to the consumer discretionary sector (-1.7%) being the underperformer. Apple was dragged 3.6% in the red as well, but losses in the technology sector (-1.4%) were mitigated by a 5.5% jump in Nvidia. As we look towards the major US banks’ earnings this week, the financial sector will be cast into the limelight. Thus far, the Financial Select Sector SPDR Fund has gained for the fourth straight week to register its highest level since March 2022, with all eyes set on its all-time high in January 2022 next. Source: Refinitiv Source: Refinitiv Source: Refinitiv *Note: The data is from 2nd – 8th January 2024. Source: Refinitiv *Note: The data is from 2nd – 8th January 2024. Source: Refinitiv *Note: The data is from 2nd – 8th January 2024. IGA, may distribute information/research produced by its respective foreign affiliates within the IG Group of companies pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. 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Coinbase Global all-sessions rise after at least five brokerages raised their price targets on the crypto exchange. IGTV financial analyst Angeline Ong takes a look at how this is linked to bitcoin ETF approval requests. Angeline Ong | Financial Analyst, Presenter and Content Editor, London | Publication date: Monday 08 January 2024 16:54 Coinbase's share price on the rise Coinbase, a leading platform for buying and selling cryptocurrencies, has recently seen a notable increase in its stock price. This means that the value of the company's shares has gone up, and it's good news for investors. In fact, one brokerage called Needham has even named Coinbase as its top pick for 2024 and added it to its list of stocks that it strongly believes will do well in the future. This rise in Coinbase's stock price is part of a larger trend in the cryptocurrency markets. Since June, these markets have been experiencing significant growth, attracting the attention of big financial companies like BlackRock. These companies are even seeking regulatory approval to set up a Bitcoin exchange-traded fund, showing that they are becoming more interested in cryptocurrencies. Coinbase's impressive performance But what makes Coinbase's performance so impressive is how much its stock price has gone up compared to other financial markets. In 2023 alone, it increased by a whopping 391%, which is a lot more than other major indices on Wall Street. This highlights the fact that investing in cryptocurrencies can be highly profitable. Overall, Coinbase's stock has risen because various brokerages have given positive price targets for the company, the cryptocurrency markets have been rallying since June, and traditional financial firms are becoming more interested. Coinbase's strong performance compared to other markets and indices shows just how appealing and potentially lucrative investing in cryptocurrencies can be. So, if you're curious about getting involved in trading cryptocurrencies like Bitcoin, it's worth taking a closer look at Coinbase. With its increasing stock price and the interest it's attracting from big financial players, it could be a promising investment opportunity. Just remember that investing in cryptocurrencies comes with its own risks, so it's essential to do your research and understand what you're getting into. This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Oil drops on Saudi price cuts, gold and silver prices also under pressure Outlook on Brent crude oil, gold and silver as Saudi Arabia reduces February official selling price for Asia. Source: Bloomberg Forex Commodities Petroleum Gold Brent Crude Saudi Arabia Axel Rudolph FSTA | Senior Financial Analyst, London | Publication date: Tuesday 09 January 2024 11:06 Brent crude oil takes hit on Saudi price cuts Oil - Brent Crude fell by over 3% on Monday as Saudi Arabia announced a reduction in the February official selling price (OSP) of its primary Arab Light crude oil for Asia by $2 to $1.50 a barrel above the benchmark, its lowest level in 27 months. It did so amid increasing global supply, especially from non-OPEC producers, and dwindling demand. The front month futures contract held above last week’s 74.81 low, though. Were it to give way, the 7 December low at 73.69 would likely represent the next downside target ahead of the 72.50 December low. Resistance can now be spotted around Friday’s 77.60 low ahead of the October-to-January downtrend line at 79.22 and last week’s 79.35 high. Source: ProRealTime Gold price continues to slide Spot Gold’s drop from its $2,088 per troy ounce late December high amid an appreciating US dollar has so far taken it to Monday’s $2,017 low from where it is trying to recover. Slightly further down support can be found along the 55-day simple moving average (SMA) at $2,014 and, more significantly, between the October and late November highs at $2,009 to $2,007. Resistance above the breached October-to-January uptrend line, now because of inverse polarity a resistance line, at $2,038 can be spotted at Friday’s $2,064 high. While remaining below it, downside pressure should retain the upper hand. Source: ProRealTime Silver price hovers above support Spot Silver (5000oz)’s descent from its late December per troy ounce high at $24.60 on the back of an appreciating US dollar took it to last week’s $22.84 low, above which it has been hovering since. Slightly below it remains the $22.51 December low which should act as support, were it to be retested. Further down sits the November low at $21.89. Minor resistance above Tuesday’s $23.37 intraday high can be seen between Friday’s high and the 55- and 200-day simple moving averages (SMA) at $23.51 to $23.66. While this resistance area caps, downside pressure should continue to dominate. Source: ProRealTime This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Dow and Nikkei 225 rally, but Hang Seng slips lower again Falling inflation expectations and Saudi Arabia’s move to cut export prices for oil meant that equities have finally found their footing after a difficult start to the year. However the Hang Seng falls once again. Source: Bloomberg Indices Commodities Hang Seng Index Petroleum Brent Crude Nikkei 225 Chris Beauchamp | Chief Market Analyst, London | Publication date: Tuesday 09 January 2024 11:33 Dow rallies once more Monday saw the index rebound from the lows of the session, clawing back losses from the final two sessions of last week. A push to new record highs may well now develop, and beyond this the 38,000 level comes into view. This cancels out a short-term negative view and revives the uptrend, albeit at a potentially overextended level. A reversal back below 37,250 would be needed to revive the short-term negative view. Source: ProRealTime Nikkei 225 testing recent highs Further gains on Monday helped to lift the index back to the November highs, and now a test of 34,000 seems to beckon. A move above 34,000 would put the index at its highest levels since 1989, and would mark the end of the extended consolidation period for the index that has been in place since the end of June. Since last week’s low the price has gained over 3%, and it would need a close back below 33,000 to put the sellers back in charge in the short-term. Source: ProRealTime Hang Seng back on a downward path This index has resumed its downward move, after the brief rebound in late December. Gains faltered at the 50-day simple moving average (SMA), resulting in a textbook reversal that has taken the index back towards the December lows, the lowest level since November 2022. Further declines head towards the November low at 14,640. A revival above the 50-day SMA and 17,170, the highs of last week, would be needed to suggest a short-term rebound has begun. Source: ProRealTime This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Bitcoin (BTC/USD) Pumping Higher as SEC ETF Deadline Nears Jan 8, 2024 5:03 PM | Nick Cawley, Senior Strategist BITCOIN (BTC) PRICES, CHARTS, AND ANALYSIS: Bitcoin pressing against $45k. Is an ETF approval a ‘buy the rumor, sell the fact’ event? Bitcoin ETF fever is pushing the price of the largest cryptocurrency by market capitalization back to highs last seen in April 2022. At least 10 companies have handed in amended and updated Bitcoin ETF applications and are waiting to hear from the SEC. The ARK 21Shares Bitcoin ETF will be the first exchange-traded fund ruled on by the Securities and Exchange Commission (SEC). The SEC has until January 10th to approve or reject this ETF and the thinking is that if this application is approved, then the other 10 or so applications will also be approved to prevent any first-mover advantage. The latest Bitcoin rally is being driven by reports that these applicants are all posting their ETF fee structures with two firms announcing 0% fees for the first six months. A number of these ETF applicants have also launched Bitcoin commercials over the last 10 days, adding fuel to the fire that the SEC will approve a physically-backed Bitcoin ETF this week. The near 10% sell-off candle on January 3rd was prompted by a story that these spot ETFs would not be approved this week, highlighting the current volatility in the cryptocurrency space. There is also a growing feeling in the market that an SEC approval would be a ‘buy the rumor/sell the fact’ event, especially after Bitcoin’s strong run-up over the past months. As always, the cryptocurrency space remains highly volatile and prone to wild swings on rumors as well as facts. Bitcoin (BTC) Slumps on ETF Rejection Rumor, All Eyes on the SEC From a technical outlook, the daily chart remains positive. BTC/USD remains above all three simple moving averages and higher highs and higher lows can be seen on the chart since mid-September. A break above the January 2nd high at $45.88k would leave $48.19k vulnerable before $52k comes into play. To the downside, $43k is initial support while $38k should hold if the market sells off sharply. BITCOIN DAILY PRICE CHART Charts via TradingView What is your view on Bitcoin – bullish or bearish?

Bitcoin (BTC/USD) Pumping Higher as SEC ETF Deadline Nears Jan 8, 2024 5:03 PM | Nick Cawley, Senior Strategist BITCOIN (BTC) PRICES, CHARTS, AND ANALYSIS: Bitcoin pressing against $45k. Is an ETF approval a ‘buy the rumor, sell the fact’ event? Bitcoin ETF fever is pushing the price of the largest cryptocurrency by market capitalization back to highs last seen in April 2022. At least 10 companies have handed in amended and updated Bitcoin ETF applications and are waiting to hear from the SEC. The ARK 21Shares Bitcoin ETF will be the first exchange-traded fund ruled on by the Securities and Exchange Commission (SEC). The SEC has until January 10th to approve or reject this ETF and the thinking is that if this application is approved, then the other 10 or so applications will also be approved to prevent any first-mover advantage. The latest Bitcoin rally is being driven by reports that these applicants are all posting their ETF fee structures with two firms announcing 0% fees for the first six months. A number of these ETF applicants have also launched Bitcoin commercials over the last 10 days, adding fuel to the fire that the SEC will approve a physically-backed Bitcoin ETF this week. The near 10% sell-off candle on January 3rd was prompted by a story that these spot ETFs would not be approved this week, highlighting the current volatility in the cryptocurrency space. There is also a growing feeling in the market that an SEC approval would be a ‘buy the rumor/sell the fact’ event, especially after Bitcoin’s strong run-up over the past months. As always, the cryptocurrency space remains highly volatile and prone to wild swings on rumors as well as facts. Bitcoin (BTC) Slumps on ETF Rejection Rumor, All Eyes on the SEC From a technical outlook, the daily chart remains positive. BTC/USD remains above all three simple moving averages and higher highs and higher lows can be seen on the chart since mid-September. A break above the January 2nd high at $45.88k would leave $48.19k vulnerable before $52k comes into play. To the downside, $43k is initial support while $38k should hold if the market sells off sharply. BITCOIN DAILY PRICE CHART Charts via TradingView What is your view on Bitcoin – bullish or bearish?

These five FTSE 100 dividend stocks could be some of the best to watch next month. These shares have been selected for their highly defensive natures. Source: Bloomberg Indices Shares Dividend yield Revenue Debt FTSE Group Charles Archer | Financial Writer, London What's on this page? FTSE 100 2023 Performance Defensive FTSE 100 Stocks Best FTSE 100 Dividend Stocks to Watch FTSE 100 2023 performance 2023 was a volatile year for the FTSE 100, but the UK’s premier index nevertheless ended the year up by 3.8%. This compares with a global average growth of 20% when using the MSCI All Country World Index, the 25% growth experienced by the S&P 500 and the 45% NASDAQ Composite leap driven by the artificial intelligence boom. However, the FTSE is widely regarded as a defensive index, and compares more favourably when dividend payouts are factored in. And for context, 2022 saw the NASDAQ Composite lose more than a third of its value while the FTSE rose by around 1%. Defensive FTSE 100 stocks Further, within the FTSE 100 there are some specific dividend stocks with a highly defensive nature. These companies enjoy an underlying business model whereby revenue and profits will continue to be generated regardless of the wider economic environment. Typically, this is because they provide essential products or services, or enjoy a wide economic moat. In other words, a hallmark of FTSE 100 defensive stocks is that they benefit from inelasticity of demand — such that they can increase prices to match inflation if necessary. This makes them attractive in downturns, but on the other hand, these types of stocks rarely deliver large capital gains. There are several sectors considered as defensive: for example, consumer staples, utilities, healthcare, and tobacco companies. When considering the best dividend stocks, key factors to consider include the dividend yield, the dividend coverage ratio (how many times a company could pay the dividend with current net income), the payout ratio, whether there’s a proven history of payouts, and whether the dividend has grown over time. In particular during this high rate environment, debt is a key factor to watch; previously manageable debt piles are becoming more expensive to maintain and could eat into dividends. These five FTSE 100 dividend stocks are popular defensive choices. But remember, past performance is not an indicator of future returns, and popularity does not mean an investment is better. In addition, while these are defensive companies, there are higher returns to be found in cyclical industries. Best FTSE 100 dividend stocks to watch 1. Unilever2. Phoenix Group3. National Grid4. Vodafone5. British American Tobacco Unilever (LON: ULVR) Unilever is a multinational consumer goods company which produces a wide range of products including food, drinks, cleaning agents, beauty and personal care products. Some of its well-known brands include Dove, Ben & Jerry’s, and Hellmann's. Operating in the consumer staples sector, Unilever’s Q3 results saw underlying sales grow by 5.2% year-over-year, while its €billion premium brand portfolio saw underlying sales growth of 7.2%. Regardless of price rises, brand loyalty towards certain food staples appears robust. However, Unilever shares have fallen by nearly 10% over the past year — and the company has responded with an action plan to improve value creation through 2024. The dividend yield may appear underwhelming, but this is often the trade-off for defensive qualities. Dividend Yield: 4% Phoenix Group (LON: PHNX) Phoenix Group has made a strong recovery since mid-October, but nevertheless remains almost 14% down compared to a year ago. This may appear an opportunity, as H1 results saw the FTSE 100 insurer deliver cash generation of £898 million, allowing the company to boost its interim dividend by 5% to 26p per share. Given that Phoenix is now on track to generate £1.3 billion to £1.4 billion of cash generation for the full year, the dividend appears safe — especially with its solvency II ratio of 180% at the top of the 140-180% management target. Insurance is often seen as one of the safest defensive dividend sectors. However, the company’s bonds have likely fallen in value with elevated interest rates, and Phoenix also has a large debt pile to manage. JP Morgan analysts have cut their price target from 655p to just 430p, and downgraded Phoenix to underweight, arguing that ‘the stock has too much debt leverage relative to peers, which creates numerous capital and growth risks in the long term.’ Dividend Yield: 9.8% National Grid (LON: NG) National Grid works within the utilities sector, operating electricity and natural gas transmission across the UK and parts of northeastern United States. It’s hard to think of a more defensive company than the one delivering the country’s energy network. Indeed, the FTSE 100 company has risen by 35% over the past five years and still boasts an index-beating dividend yield. National Grid has invested £7.7 billion in build smart, clean energy infrastructure to boost network reliability — and found £236 million of operating cost efficiencies during 2023 to mitigate the impact of high energy prices. And the company recently updated its five-year financial framework to 2025/26 to increase total cumulative capital investment to £42 billion — balancing dividends with future proofing. Dividend Yield: 5.4% Vodafone (LON: VOD) Vodafone shares have fallen by 56% over the past five years. This may be a cautionary tale — telecoms are widely regarded as defensive and yet the stock has failed to retain its value. On the other hand, new investors might be tempted by the double-digit dividend yield alongside a price-to-earnings ratio of just 2. But it’s worth noting this figure is based on asset sales in its last financial year which included the €8.61 billion generated from the sale of Vantage Towers. And in recent half-year results, net debt increased by €2.9 billion to €36.2 billion, raising questions over the dividend’s sustainability. However, recent German growth could be encouraging for investors because Vodafone relies on the country for a significant chunk of its revenue. For context, 2021 legislation saw housing associations banned from bundling TV services with rental contracts, hurting Vodafone’s prospects. CEO Margherita Della Valle enthused that ‘during the first half of the year, we have delivered improved revenue growth in nearly all of our markets and have returned to growth in Germany in the second quarter.’ Dividend Yield: 11.2% British American Tobacco (LON: BATS) British American Tobacco is one of the world’s largest tobacco companies, boasting a brand portfolio including Lucky Strike, Dunhill, and Pall Mall. It’s also highly defensive given the addictive nature of nicotine — and yet, shares have fallen by almost a third over the past year. The company continues to face regulatory problems; the UK is considering a ban on single use vapes and both the government and the opposition have confirmed support for a phased ban of traditional tobacco products. BATS is also contending with the wider fall in smoking worldwide; recently writing off £25 billion in value due to falling outlook for its brands as cigarette sales struggle in the US. And like Vodafone and Phoenix, the FTSE 100 business also has a large debt pile. Nevertheless, the business is investing heavily in alternative products including vapes, though most profits are still derived from traditional products. In half-year results, overall revenue rose by 4.4% driven by these ‘new categories,’ whose revenue rose by 26.6%. Dividend Yield: 9.9% Trade and invest in over 17,000 UK, US and global shares from zero commission with us, the UK’s No.1 trading provider.* Learn more about trading or investing in shares with us, or open an account to get started today. *Based on revenue excluding FX (published financial statements, October 2021). This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.

Asian markets made gains overnight, following on from the rally on Wall Street on Monday that marked a strong start to the week after the lacklustre beginning of the year. Tech stocks led the way, supported by falling yields, after a survey of inflation expectations by the New York Fed showed that fears of rising prices were continuing to abate. In addition, Fed governor Bowman said that she would support eventual rate cuts, shifting away from her more hawkish stance. Oil prices dropped sharply yesterday after Saudi Arabia cut its official selling price for February. All eyes are on the US inflation readings later in the week, which is closely followed by the start of earnings season.

Bitcoin (BTC) Slumps on ETF Rejection Rumor, All Eyes on the SEC Jan 3, 2024 | Nick Cawley, Senior Strategist Bitcoin slumps as report suggests SEC will reject all ETF proposals in January. A bearish report by crypto financial services company Martixport is said to be behind the sharp sell-off in Bitcoin. The report suggested that despite all the recent meetings between ETF applicants and SEC staff, and subsequent amendments, all applications will fall short of SEC requirements and will be denied in January. The report added that these requirements may be fulfilled by Q2 2024.

Boeing share price trades around 8% lower in pre-open on the IG platform. Source: Bloomberg Shares Boeing Alaska Airlines Price Share price Stock Chris Beauchamp | Chief Market Analyst, London | Publication date: Monday 08 January 2024 12:09 Boeing stock drops sharply after Alaska Airlines incident Boeing Co (All Sessions)’s attempts to put its best foot forward in 2024 have been dealt a blow by the incident in Alaska, sending the shares lower on the IG platform this morning. Boeing's recent stock drop and setbacks are undoubtedly concerning for the company. The blowout incident with an Alaska Airlines plane has once again raised regulatory scrutiny on Boeing, just as it was seeking approval for new models of its Max jet. This has resulted in a 7.7% drop in Boeing's stock on the IG platform. The timing of these setbacks is critical for Boeing, as it is trying to catch up with its competitor Airbus, which has gained market share following the issues with the Max airliners in previous years. The delays in aircraft production will not only impact Boeing's financial position but also undermine its new strategy. Moreover, the Alaska incident will likely hinder Boeing's efforts to enter the Chinese market, which has already been strained due to trade tensions. This setback will further delay Boeing's return to profitability, with net income expected to remain negative despite a rebound from the poor performance in 2022. Although Boeing's Q3 revenue of $18.1 billion showed a 13% year-on-year increase, driven by growth in commercial airplanes and global services segments, there were challenges in commercial airplane deliveries, which declined by 6% compared to the previous year. The company also lowered its 2023 delivery outlook due to fuselage-related production issues. Boeing's core operating margin improved in Q3, standing at -6.6% compared to -19.2% in the prior-year quarter. However, the adjusted loss per share narrowed from the previous year, indicating some progress in mitigating losses. Boeing share price technical analysis Even before the Alaska Airlines incident, the Boeing share price had dropped by around 7% from its 2 ¾ year December $267.54 high to last week’s $243.0 low. Boeing Weekly Candlestick Chart Source: Tradingview The steep October-to-January uptrend line had already been breached before the incident happened with the 50% retracement of the advance seen since then and the 55-day simple moving average (SMA) at $221.90 to $221.84 representing possible downside targets. More significant potential support can be found along the 200-day simple moving average (SMA) at $213.77 and 61.8% Fibonacci retracement at $211.11. Boeing Daily Candlestick Chart Source: Tradingview Potential resistance can be found at last week’s low at $243.00 which represents the top of this week’s price gap. This information has been prepared by IG, a trading name of IG Markets Limited. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. See full non-independent research disclaimer and quarterly summary.