Tech Drags Down Nasdaq, S&P 500; Bitcoin Jumps Above $45K
ASML Falls After The Netherlands Curbs Exports of Some Tech to China
28 minutes ago
American depositary receipts (ADRs) of Netherlands-based ASML Holding N.V. (ASML) dropped over 3% in intraday trading Tuesday as Dutch officials blocked the semiconductor production equipment maker from exporting some of its products to China.
The company said a license for shipment of its NXT:2050i and NXT:2100i lithography systems in 2023 “has been partially revoked by the Dutch government, impacting a small number of customers in China.”
The move came as the U.S. has also ramped up restrictions on certain tech exports to China over concerns about national security.
ASML said it doesn’t believe that the decision by Amsterdam or the latest American export controls will impact its 2023 financial outlook.
Despite Tuesday’s decline, ASML Holding N.V. ADRs have gained more than 30% over the past year.
Tesla Spared Big Tech Sell-Off After Meeting 2023 Delivery Goals
1 hr 35 min ago
Shares of Tesla (TSLA) were little changed Tuesday morning, bucking the trend among its Magnificent Seven peers, after the electric vehicle leader said it had met its 2023 production and delivery goals.
The company produced 495,000 vehicles in the fourth quarter, bringing its 2023 total to nearly 1.85 million, a 35% increase over 2022. It delivered about 485,000 last quarter for a total of 1.81 million in 2023. Both figures were slightly ahead of Wall Street estimates and the guidance Tesla issued in October.
Still, America’s largest EV maker trails its main competitor on the global stage, China’s BYD Co. (BYDDY), which delivered more than 3 million fully electric and hybrid vehicles last year.
Bitcoin Surges to 21-Month High
2 hr 5 min ago
The price of Bitcoin skyrocketed Tuesday to its highest since April 2021 as anticipation of a spot exchange-traded fund built.
Investors are increasingly convinced that the Securities and Exchange Commission (SEC) this week will approve at least one of the many spot Bitcoin ETF applications it is currently considering. The regulator kicked the can down the road last year but it now faces a Jan. 10 deadline to either approve or deny Ark Invest’s ARK 21Shares Bitcoin ETF.
Many analysts expect that the SEC will decide on several ETFs simultaneously to avoid giving one provider a head start. Financial giants BlackRock, Fidelity, and Invesco are among the asset managers whose ETF applications could be approved.
Federal regulators have long bristled at the idea of an ETF backed by Bitcoin, citing its susceptibility to fraud and market manipulation. But the odds of approval increased significantly last year when a court ruled that the SEC needed more reason than it had provided for denying asset manager Grayscale’s application to convert its Bitcoin trust into an ETF.
One company that’s likely to win regardless of which applications are approved is Coinbase (COIN), which has been named the asset custodian in the majority of the ETF applications before the SEC.
Stocks Making the Biggest Moves Premarket
3 hr 16 min ago
- Coinbase Global (COIN): Shares of the cryptocurrency exchange gained about 3% as the price of Bitcoin shot up above $45,000 for the first time since April 2022.
- Frontline Plc (FRO): Shares of the oil shipper gained 2%, following oil prices higher after Iran sent a warship to the Red Sea, ratcheting up tensions in the key shipping corridor.
- ASML Holdings N.V. (ASML): Shares of the semiconductor manufacturing equipment maker fell 4% after the Dutch government ordered it to halt some shipments to China.
- Apple Inc. (AAPL): Shares of the tech giant fell 2% after Barclays downgraded the stock to “underweight,” citing weak demand for the iPhone 15.
- Baidu Inc. (BIDU): Shares of the Chinese tech firm fell about 2% after it called off its $3.6 billion acquisition of social media company JOYY’s live-streaming unit, YY Live. JOYY (YY) shares fell nearly 10% in early trading.
Futures Fall To Start 2024
4 hr 5 min ago
Futures contracts connected to the Dow Jones Industrial Average were down 0.6% in early trading Tuesday.
S&P 500 futures fell 0.8%.
Nasdaq 100 futures were 1.1% lower a little more than an hour before markets opened.