Weekly Market Recap | Dec 09 – Dec 15

Key Takeaways

Nvidia Expands in China: Nvidia has increased its workforce in China by hiring around 200 researchers and developers to focus on autonomous AI-driven cars. This move is part of Nvidia’s ambition to become a leader in the automotive sector.
Google Invests in Renewable Energy: Google has invested in Intersect Power’s project to develop energy parks dedicated to powering data centers. This deal secures over $800 million in funding, aiming to supply multiple gigawatts of clean energy to Google’s data centers.
US Treasury Yields Surge: US Treasury yields have surged, with the 30-year bond posting its biggest weekly rise of the year, reaching 4.61%. Expectations of fewer Fed rate cuts and weak demand for 30-year debt contributed to the selloff.
Nippon Steel’s Bid for US Steel Blocked: Nippon Steel’s $14.1 billion bid for US Steel is expected to be blocked by President Biden. This has prompted the company to explore growth in India, Southeast Asia, and the US.
Sri Lanka’s Debt Restructuring Plan Approved: Sri Lanka’s bondholders have backed a $12.6 billion debt restructuring plan, crucial for the country to emerge from its 2022 default. New bonds may start trading later this month.

IPO’s in the week

Jackson Acquisition II has launched its Initial Public Offering (IPO) on the New York Stock Exchange (NYSE) under the ticker symbol JACS.UT. The company, focused on the healthcare industry, has offered 20,000,000 units at $10.00 per share, with an expected listing date of December 10, 2024. Each unit consists of one share of common stock and one warrant to purchase one share of common stock.
ServiceTitan, Inc. (TTAN) is a leading provider of field service management software, catering to the installation, maintenance, and servicing needs of residential and commercial infrastructure. Headquartered in Glendale, CA, the company was founded in 2008 by Ara Mahdessian and Vahe Kuzoyan. As of December 12, 2024, ServiceTitan has gone public on the Nasdaq exchange, offering 8,800,000 shares at $71.00 per share.
Roman DBDR Tech Acquisition Corp. II is a blank check company seeking to acquire one or more businesses and assets. The company’s shares are listed on the Nasdaq exchange under the ticker symbol DRDBU, with an initial public offering (IPO) price of $10.00 per share. The IPO consists of 20,000,000 shares and is scheduled to close on December 13, 2024.
NetClass Technology (NTCL) has announced its initial public offering (IPO) of 1,800,000 shares at $5.00 per share. The company, a leading B2B smart education IT solutions provider, is listed on the Nasdaq stock exchange under the ticker symbol NTCL, with an expected listing date of December 13, 2024.
Mountain Lake Acquisition Corp. operates as a blank check company, seeking to acquire one or more businesses and assets through a merger, capital stock exchange, asset acquisition, stock purchase, and reorganization. Offering details include: Anteris Technologies Global, listed on Nasdaq, with an initial public offering (IPO) price of $6.00, and 14,800,000 shares offered, as of December 13, 2024.
Mountain Lake Acquisition Corp. operates as a blank check company, aiming to acquire one or more businesses and assets through mergers, capital stock exchanges, asset acquisitions, stock purchases, and reorganizations. The company’s initial public offering (IPO) details are as follows: Mountain Lake Acquisition Corp. (MLACU) is listed on the Nasdaq stock exchange, with an offering price of $10.00 per share, a total of 20,000,000 shares, and an expected listing date of December 13, 2024.
Anteris Technologies Global, a structural heart company, is set to go public with an initial public offering (IPO) of 14,800,000 shares at $6.00 per share, listed on the Nasdaq under the ticker symbol AVR, as of December 13, 2024.

Markets this week

The S&P 500 lost 31.92 points or (-0.52%) during the week.
The Russell 1000 lost 23.39 points or (-0.70%) during the week.
The Russell 2000 lost 71.93 points, with a decline of 2.97%.
The CBOE Volatility Index gained 0.45 points, with an increase of 3.37%.
Bitcoin (BTC-USD) gained $222.20, with an increase of 0.22%.
Ethereum (ETH-USD) lost $94.89, with a decline of 2.37%.
Gold gained $33.80, with an increase of 1.28%, closing at $2,665.90.
Silver lost $0.88, with a decline of 2.80%.
WTI (West Texas Intermediate) gained 5.86%, closing at $71.09.
Brent Crude Oil gained 4.85% closing at $ $74.49.

Chinese regulators vowed to stabilize housing and equity markets with stronger fiscal policies, focusing on boosting property demand and managing land supply.
Investors focus on chipmakers, bank stocks, and gold, with Indonesia, China, and India as key markets amid strong dollar and trade policy risks.
Blue Whale Growth Fund reduced its stakes in Microsoft and Meta due to rising AI costs. Microsoft’s holding fell from 8% to 2%, while Meta’s dropped to 3%. Nvidia remains a top holding.
Smaller US banks are increasing CRE loan modifications as office property values drop, with banks under $100 billion modifying 0.32% of loans in 2024.
Stonepeak will acquire Forgital Group, an Italian aerospace manufacturer, from Carlyle for over €1.5 billion, outbidding rivals like Cinven.
Nippon Steel’s $14.1 billion bid for US Steel is expected to be blocked by President Biden, prompting the company to explore growth in India, Southeast Asia, and the US.
Brazilian businessman Nelson Tanure is set to acquire Dia and is consulting with the antitrust regulator on merging it with rival Pao de Açucar, creating a combined network of over 900 stores.
Hedge funds raised net-long positions on gasoline futures to 73,037 contracts, betting on price increases due to upcoming refinery closures and supply tightening. Gasoline futures are currently at $1.99 per gallon.
Sri Lanka’s bondholders have backed a $12.6 billion debt restructuring plan, crucial for the country to emerge from its 2022 default. New bonds may start trading later this month.
US Treasury yields surged, with the 30-year bond posting its biggest weekly rise of the year, reaching 4.61%. Expectations of fewer Fed rate cuts and weak demand for 30-year debt contributed to the selloff.
Circle, issuer of the USDC stablecoin, has teamed up with Binance to expand the token’s use on the platform, aiming to drive growth amid increasing challenges in the stablecoin market.
The yuan’s decline triggered losses across emerging market currencies, with Eastern European and Asian currencies taking the hardest hit.

Politics Weekly

Treasurer Jim Chalmers said that China’s slowdown will slash Australia’s export earnings by A$100 billion and company tax receipts by A$8.5 billion over four years.
Developing nations are grappling with $850 billion in annual interest on $29 trillion debt, with 54 countries spending over 10% of revenue on servicing; Pakistan and Nigeria exceed 30%.
Slovakia will negotiate next week to secure gas supplies and transit via Ukraine, as the current deal expires. Talks are focused on a potential swap deal between Azerbaijan and Russia to ensure continued flow from January 1.
Hungary and Bulgaria are discussing a “legal-financial” solution to ensure continued Russian gas transit, following US sanctions on Gazprombank, which previously handled payments and fees for the commodity.
In his final weeks, President Biden plans measures on AI, clemency, and land protections to cement his legacy before Trump’s potential inauguration.
The UK Labour government has deported 13,500 illegal migrants since taking office, the highest number since 2018.
Prime Minister Justin Trudeau stated Canada will respond if President-elect Donald Trump enacts new tariffs on Canadian imports.
The collapse of Syria’s Assad regime disrupts Iran’s “Axis of Resistance,” leaving its leadership increasingly vulnerable as Donald Trump readies to return to the White House.
President Luiz Inacio Lula da Silva left the hospital after emergency brain surgery. He will remain in Sao Paulo under medical monitoring until Thursday before returning to Brasilia.
Congo stated peace talks with Rwanda to resolve the M23 rebellion have failed, citing Rwanda’s demand for direct rebel negotiations.
The EU plans to sanction over a dozen individuals and three entities in its first measures against Russia’s disinformation and hybrid operations.

Technology Advancements this week

Trump’s crypto project, World Liberty Financial, has purchased around $14 million worth of Ether, Aave, and Chainlink tokens.
Apple is developing its own Wi-Fi and Bluetooth chip, code-named Proxima, to replace Broadcom’s components in its devices. The new chip will be used in Apple’s smart home devices, iPhones, iPads, and Macs, starting in 2025.
Intel considers breaking up the company, citing the need to focus on improving its product lineup. Executives acknowledge the tough comeback trail ahead for the chipmaker.
In a significant push to advance autonomous car technology, Nvidia has ramped up hiring in China, adding approximately 200 researchers and developers to its Beijing team. As a leader in AI chips, Nvidia has long been committed to developing innovative autonomous driving solutions.
In a major push to decarbonize its operations, Google has invested in Intersect Power’s ambitious project to develop energy parks dedicated to powering data centers. This landmark deal secures over $800 million in funding, aiming to supply multiple gigawatts of clean energy to Google’s data centers.