Weekly Newsletter September 14 – 20 September

Market Highlights

• Fed raises rates: The Federal Reserve increased rates to 3.75%–4.00%, while the 10-year Treasury yield crossed 5% amid persistent inflation concerns.
• Markets diverge: The Nasdaq gained 1.28%, while the Dow fell 1.90% and Russell 2000 declined 1.50%, highlighting uneven equity performance.
• Crypto regulation advances: The SEC and CFTC moved forward with digital-asset rulemaking, opening new possibilities for tokenized securities and cryptocurrency markets.
• Energy prices retreat: Brent fell 6.05% to $99.29, while WTI declined 5.24% to $96.08 despite ongoing Middle East supply disruptions.
• AI infrastructure attracts capital: CleanSpark’s $2.28 billion Meta-linked bond sale drew approximately $10 billion in orders, demonstrating institutional demand for AI infrastructure financing.

Analyst Highlights

• Higher rates are reshaping market conditions: The Fed’s rate increase and 10-year Treasury yield above 5% raise financing costs and valuation pressure across equities and credit.
• Market performance reflects uneven risk appetite: Nasdaq gains contrasted with Dow and small-cap losses, suggesting investors remained selective amid tighter financial conditions.
• Energy remains central to the inflation outlook: Weekly declines in Brent and WTI eased immediate price pressures, but Middle East disruptions continue to create supply uncertainty.
• Digital assets are entering a new regulatory phase: SEC tokenization exemptions and CFTC rulemaking could expand market infrastructure, although comprehensive cryptocurrency legislation remains unresolved.
• AI infrastructure continues attracting substantial capital: CleanSpark’s oversubscribed financing demonstrates investor demand for data-center exposure, even as higher rates increase borrowing costs.
• IPO activity highlights greater valuation discipline: Orion180 priced below its proposed range and Holtec postponed its offering, while Nscale’s filing reflected continued interest in AI infrastructure.

IPO’s in the week

• Holtec Nuclear Corp. (NASDAQ: HNUC) — Postponed its proposed IPO September 17, having targeted up to $900 million through 50 million shares priced at $15–$18.
• Orion180 Insurance Group (NASDAQ: OIG) — Priced its IPO at $12 per share, below the proposed $15–$17 range, raising $240 million through 20 million shares.
• Electra Therapeutics (NASDAQ: ETRA) — Priced its IPO at $15 per share, raising approximately $350 million in its upsized offering, with shares declining 11.7% by Friday.
• American Savings Bank (NYSE: ASBH) — Priced its IPO at $16 per share, raising approximately $129 million, with shares gaining 9.8% by Friday.
• Nscale (NYSE: NSCL) — Filed for a proposed U.S. IPO September 18, reporting $140.6 million in first-half revenue; offering size and price range remain undetermined.

Markets Weekly

1. 1. S&P 500 closed at 7,650.50, falling 6.48 points, or 0.08%, for the week.
   2. Russell 1000 closed at 4,160.46, falling 6.80 points, or 0.16%, for the week.
   3. Russell 2000 closed at 2,860.40, falling 43.54 points, or 1.50%, for the week.
   4. Russell 3000 closed at 4,335.99, falling 6.11 points, or 0.14%, for the week.
   5. CBOE (VIX) closed at 14.81, falling 2.48 points, or 14.34%, for the week.
   6. Dow Jones closed at 51,682.64, falling 1,003.49 points, or 1.90%, for the week.
   7. NASDAQ Composite closed at 26,522.54, rising 336.13 points, or 1.28%, for the week.
   8. Bitcoin closed at $80,901.46, rising $2,738.08, or 3.50%, for the week.
   9. Ethereum closed at $2,611.35, rising $96.94, or 3.86%, for the week.
   10. Solana closed at $112.60, rising $10.10, or 9.85%, for the week.
   11. XRP closed at $1.3962, falling $0.0248, or 1.75%, for the week.
   12. Gold closed at $4,424.90, rising $73.00, or 1.68%, for the week.
   13. Silver closed at $67.149, rising $3.636, or 5.72%, for the week.
   14. WTI Crude closed at $96.08, falling $5.31, or 5.24%, for the week.
   15. Brent Crude closed at $99.29, falling $6.39, or 6.05%, for the week.

• The Federal Reserve raised rates 25 basis points to 3.75% – 4.00%, citing persistent inflation despite resilient economic activity and investment.
• The 10-year Treasury yield crossed 5% for the first time since 2007 as inflation concerns and tighter monetary policy pressured markets.
• Brent crude remained above $100 as Middle East supply disruptions sustained inflation concerns, despite prices easing toward the week’s end.
• U.S. equities finished mixed as semiconductor gains supported the Nasdaq, while elevated yields and energy costs weighed on broader indexes.
• The Bank of Japan raised interest rates to 1.25%, a 31-year high, as major central banks continued confronting inflation.
• The SEC granted five-year conditional exemptions for qualifying tokenized-stock venues, enabling limited blockchain-based trading of U.S.-listed shares.
• The CFTC submitted proposed cryptocurrency regulations for White House review, advancing digital-asset rulemaking despite stalled congressional legislation.

Politics Weekly

• Trump signed legislation expanding sanctions on Russia’s energy and defense sectors, targeting shadow-fleet tankers and major trading partners.
• U.S. and Chinese officials discussed reducing China’s 15% tariff on American LNG ahead of Xi Jinping’s planned Washington visit.
• The U.S. Senate failed to advance the CLARITY Act, leaving comprehensive cryptocurrency legislation unresolved as regulators pursued independent rulemaking.
• Proposed U.S. sanctions targeting Russian oil buyers raised trade concerns for India, which relies heavily on imported crude.
• U.S.-China trade discussions focused on energy, agriculture, sanctions and rare earths ahead of Xi Jinping’s planned Washington visit.
• China urged Iran to restrain Houthi attacks on Saudi Arabia as regional tensions threatened energy infrastructure and global oil supplies.
• Trump opposed the Federal Reserve’s September rate increase, maintaining pressure for lower borrowing costs despite persistent inflation.

Technology Advancements in the week

• CleanSpark’s $2.28 billion Meta-linked data-center bond sale attracted approximately $10 billion in orders, demonstrating strong demand for AI infrastructure credit.
• Anthropic and Accenture committed at least $2 billion over five years to independent frontier-AI evaluation, expanding investment in model safety infrastructure.
• Anthropic established a Bay Area biology lab, expanding AI-driven laboratory automation and life-sciences research beyond computational drug discovery.
• ASML advanced adoption of $400 million High-NA lithography systems, supporting next-generation semiconductor manufacturing and expanding AI computing capacity.
• China’s CXMT planned to enter NAND flash-memory production, challenging Samsung and YMTC amid growing AI-server demand and global supply shortages.

👉 Keep the conversation going! Subscribe to our weekly newsletter for more insights, delivered straight to your inbox.