Q: What was this week’s news regarding the major Bitcoin Drama?
A: Monday Bitcoin spiked to near $48k per coin when a seemingly authentic tweet from the SEC’s X account announced approval of Spot Bitcoin Exchange Traded Funds (ETFs). A short time later, the SEC tweeted that their X account had been hacked & the previous message was unauthorized. At the end of the week the SEC did approve Bitcoin ETFs setting the stage for another speculative frenzy over what we like to call “Digital Beanie Babies”.
Q: Should investors trade the approval of the Spot Bitcoin ETFs?
A: McGowanGroup clients currently have great assets with impressive gain potential in their portfolios. After a very impressive two years of outperforming the indexes in our model portfolios, The McGowanGroup will not be adding Bitcoin ETFs to our managed portfolios at this time. The McGowanGroup is focused on real assets with more predictable outcomes, but we will work with clients interested in personalized customizations.
Q: What is the Artificial Intelligence (AI) Supercycle?
A: According to inGen Dynamics: “The AI Supercycle refers to the period of unprecedented growth and innovation in artificial intelligence technology that we are currently witnessing”.
Headline Round Up
*Sticky Inflation? Core inflation was 0.3% for December Followed by 0.1% in November & 0% in October. Annualized 1.7% for the last quarter of 2023 vs. 3.6% trailing 12 months.
*Artificial Intelligence (AI) Mania: Microsoft Tops Apple as World’s Most Valuable Company Briefly on Thursday.
*Japan Invents Ultrathin Solar Cell Film.
*Office Vacancies at 19.6% Highest Since 1979.
*Chinese Billionaire Chen Tianqiao Is the Second Largest Foreign Landowner in the U.S.
*Oil Market Just About in Balance with Legacy Shale Declines, Says Oilfield Services Sources at OilPrice.com.
*11 States Dominate U.S. Oil Production.
*U.S. Now Largest Liquified Natural Gas (LNG) Exporter in the World After Leading Exports in 2023!
*Texas Deep Freeze Set to Create Record Power Demand.
*U.S. Battery Storage Capacity Expected to Nearly Double in 2024.
*Activist Investors Drop ESG Campaigns on Lack of Profits Says Consultancy Alvarez & Marsal.
*Hertz to Sell 20,000 Electric Vehicle’s (EVs) in Shift Back to Gas Powered Cars. EVs made up about 11% of Hertz’s current fleet with 80% of those being Teslas.
*Senate Republicans Probe Biden Admin’s $3 Billion Loan to Solar Company Accused of Predatory Lending Practices.
*Department of Energy’s Loan Office Working to Fast Track 1.5 Billion Dollar Loan to Plug Power? DoE Loan Office Director, Jigar Shah, founded Investment Firm Generate Capital Which Loaned 100 Million to Plug Power. Shah sold his shares in Generate before joining Biden Administration in 2021.
*Department of Labor Issued a Final Rule That Will Force Companies to Treat Some Workers as Employees Rather Than Less Expensive Independent Contractors Riling Business Groups!
*New England Power Plant Closure Eliminates Biggest User of LNG in the Area Potentially Leaving the Rest of the Region in the Cold!
Mergers and Acquisitions
*Natural Gas Behemoth: Chesapeake Energy & Southwestern Energy to Merge in 7.4 Billion All Stock Deal.
Bitcoin Currency Spot Rate (01/13/2019 – 01/12/2024)
– Courtesy of Bloomberg LP
iShares Bitcoin Trust (01/11/2024 – 01/12/2024)
– Courtesy of Bloomberg LP
SPDR Gold Shares (01/01/2003 – 01/12/2024)
– Courtesy of Bloomberg LP
Dow Jones Industrial Average, Invesco QQQ Trust Series 1 & SPDR S&P 500 Exchange Traded Fund Trust (12/31/2021 – 01/12/2024)
– Courtesy of Bloomberg LP
Eli Lilly & Co. (01/12/2023 – 01/12/2024)
– Courtesy of Bloomberg LP
Novo Nordisk A/S (01/12/2023 – 01/12/2024)
– Courtesy of Bloomberg LP
U.S. Producer Price Index – Finished Goods Seasonally Adjusted, Month over Month (12/31/2021 – 12/31/2023)
– Courtesy of Bloomberg LP
U.S. Consumer Price Index – Urban Consumers Month over Month, Seasonally Adjusted (12/31/2021 – 12/31/2023)
– Courtesy of Bloomberg LP
Profit Report
The Story of The CEO of Hamas?
