First Solar Becomes Most Valuable Solar Company Amid Rivals’ Struggles, Up 13%
May22

First Solar Becomes Most Valuable Solar Company Amid Rivals’ Struggles, Up 13%

Image courtesy of First Solar (NASDAQ: ), a leading American solar panel manufacturer, has surpassed its competitors to become the . The company’s market capitalization reached an impressive $21.15 billion, overtaking China’s Sungrow Power Supply Co., which stood at $20.85 billion. This achievement comes amidst significant challenges Chinese solar firms face, including a price war and trade barriers imposed by the United States.Chinese Rivals’ Struggles and US Trade PoliciesChinese solar companies, such as Longi Green Energy Technology Co., have been grappling with the effects of a fierce price war and US trade restrictions. Longi reported a net loss of $325 million in the first quarter of 2024, starkly contrasting its $562 million profit the previous year.The Biden administration’s  and support for domestic manufacturers through the Inflation Reduction Act have played a pivotal role in bolstering First Solar’s market position. These tariffs have led to US solar panel prices being nearly three times higher than the global average.Despite First Solar’s growing market capitalization, its production capacity still lags behind its Chinese counterparts. In 2023, First Solar produced 12 gigawatts of panels, while Jinko Solar Co. produced 79 gigawatts. However, the company’s strong financial performance and favorable stock outlook have contributed to its rising value.First Solar Stock Gains Over 13%As of the latest update, First Solar’s stock price stands at $240.61, having experienced a remarkable 13.44% increase over the day so far. Over the past year, the stock has traded between $123.50 and $256.78. The company’s market cap is currently $22.70 billion, with a  of 22.23 […]

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FTSE Skids Lower On Sticky Inflation
May22

FTSE Skids Lower On Sticky Inflation

On Wednesday, Britain’s FTSE 100 stock index reached its lowest point(-0.79%) in two weeks due to slower-than-anticipated deceleration in Britain’s inflation, which dashed hopes of a June interest rate reduction by the Bank of England. However, Marks & Spencer’s saw an increase in annual profit, leading to gains. The blue-chip FTSE 100 index dropped by 0.3%, marking its largest decline in over a month. Additionally, the pound strengthened against the dollar and reached a two-month high. In April, consumer prices in Britain increased by 2.3%, which was a slowdown from the 3.2% rise in March. Economists surveyed by Reuters had anticipated a 2.1% increase. The two-year gilt yield, which is closely linked to interest rate expectations, reached its highest level in three weeks at 4.462%.UK homebuilders are experiencing a decline as inflation in Britain fell less than expected in April. This has led to a 1.2% drop in shares of UK housebuilders, with a key core measure barely decreasing. Investors are reacting by pulling back on bets for a rate cut next month. Consumer prices rose by an annual 2.3% last month, a significant decrease from the 3.2% increase in March. This is the lowest inflation rate since July 2021, compared to the forecasted drop to 2.1% by economists polled by Reuters. The Bank of England’s rate cuts have filtered down to lower mortgage rates, which has boosted demand for homes. As a result, FTSE 100 homebuilders Persimmon, Barratt, and Taylor Wimpey have all experienced falls between 1.2% and 1.8%.RS […]

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Market Divergence Prompts An Important Question
May22

Market Divergence Prompts An Important Question

“Recently, we have had confusing divergences in the major stock market indexes,” starts a reader’s question. He goes on to ask why there are days like Monday when one index is down by a decent amount and another posts moderate gains. On Monday, for instance, the Dow Jones Industrial Average fell by 0.50%, The Nasdaq 100 rose by 0.70%, and the S&P 500 split the difference, being up slightly.Appreciating the weighting and composition of market indexes when considering why such divergences occur is important. For example, Nvidia was up 2.50% yesterday. It has a 6.37% weight in the Nasdaq 100, a 5.10% weight in the S&P 500, and is not in the Dow. Here’s another: Goldman Sachs fell by 1% yesterday. It is the second largest holding of the Dow at 7.7%, but it only represents .34% of the S&P 500 and is not in the Nasdaq.As the examples highlight, the stocks in the index matter, as do their weightings. The Dow is weighted by price and is composed of stocks from a wide swath of the economy. The S&P 500 represents the largest 500 stocks by market cap traded in the U.S. Unlike the Dow, the stocks are weighted by their market caps. The Nasdaq is also market cap-weighted and comprised of large-cap companies, many with a technology orientation that is determined by a committee. The graph below shows how weightings can vary significantly between indexes. Given these significant weighting and composition differences, it’s unsurprising that stark market divergences […]

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Analytical Overview Of The Main Currency Pairs – Wednesday, May 22
May22

Analytical Overview Of The Main Currency Pairs – Wednesday, May 22

Image Source:   The EUR/USD currency pairTechnical indicators of the currency pair: Prev Open: 1.0857 Prev Close: 1.0854 % chg. over the last day: -0.03 % The latest economic news on the Eurozone was mixed. Eurozone first quarter labor costs accelerated, which is hawkish for ECB policy, while the German Producer Price Index for April declined, which is dovish for ECB policy. The divergence of central banks’ views currently limits the euro’s upside potential: the ECB is expected to cut interest rates next month, while the Fed is postponing rate cuts.Trading recommendations Support levels: 1.0854, 1.0831, 1.0803, 1.0781, 1.0750, 1.0713, 1.0688, 1.0652 Resistance levels: 1.0861, 1.0885, 1.0903, 1.0923 The trend on the EUR/USD currency pair on the hourly time frame is bullish. Markets are entering the low-volatility summer period, volatility is decreasing. Now, the price is trading at the level of moving averages between the resistance level of 1.0861 and the support level of 1.0853. A price consolidation above 1.0861 will open up buying opportunities up to 1.0885. A price consolidation below 1.0853 will open the price to 1.0831.Alternative scenario: if the price breaks the support level at 1.0759 and consolidates below it, the downtrend will likely resume.(Click on image to enlarge)News feed for 2024.05.22: – US FOMC Member Collins Speaks at 02:00 (GMT+3); – US FOMC Member Mester Speaks at 02:00 (GMT+3); – US Existing Home Sales (m/m) at 17:00 (GMT+3); – US FOMC Meeting Minutes at 21:00 (GMT+3).   The GBP/USD currency pairTechnical indicators of the currency pair: Prev Open: 1.2706 Prev Close: 1.2708 % chg. over the last day: +0.02 % Inflation data for April will be released in the UK […]

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Solana And Cardano: Cardano Loses Ground Below 0.480 Level
May22

Solana And Cardano: Cardano Loses Ground Below 0.480 Level

Solana chart analysisOn Tuesday, the price of Solana retreated from $187.00 to $174.35. After receiving new  at that level, a positive consolidation was initiated this morning to the $182.85 level. There, we form a new daily high and pull back to the $179.00 level, where we will test support in the EMA50 moving average. If we hold above, we could initiate a new positive consolidation above today’s high.Potential higher targets are $184.00 and $186.00 levels. A new drop below $178.00 and the EMA50 moving average will confirm Solana’s price weakness, leading to a further pullback. We will return to yesterday’s support zone and try to hold there. The impossibility of holding on there will push us to a new daily low. Potential lower targets are $174.00 and $172.00 levels.(Click on image to enlarge) Cardano chart analysisYesterday, we saw Cardano’s price confirmation of a weekly high at 0.511 level. The price did not have the strength to start further growth, which led to the initiation of bearish consolidation. First, we dipped below the 0.500 level. This increased the pressure on the weakened Cardano, pushing it lower and lower. This morning, we saw a drop below the EMA50 moving average and the formation of a new low at the 0.482 level.After the support at this level, we recover to 0.495 and encounter a new resistance there. Cardano has again turned to the bearish side and could soon test this morning’s low. Potential lower targets are 0.480 and 0.475 levels. Additional support at 0.475 is […]

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Sensex Today Ends 26 Points Higher; IT Stocks Shine
May22

Sensex Today Ends 26 Points Higher; IT Stocks Shine

After opening the day flat, Indian shares turned positive as the session progressed and ended the day higher.Indian equities ended a range-bound session on a positive note.At the closing bell, the BSE Sensex stood higher by 268 points (up 0.4%).Meanwhile, the NSE Nifty closed higher by 69 points (up 0.3%).Cipla, Coal India, and Britannia are among the top gainers today.SBI, Hindalco, and Apollo Hospital, on the other hand, were among the top losers today.The GIFT Nifty was trading at 22,693, up by 75 points, at the time of writing.The BSE MidCap index and BSE SmallCap index ended flat.Sectoral indices are trading mixed with stocks in the realty sector, IT sector, and power sector witnessing the most buying. Meanwhile, stocks in the banking sector and the metal sector witnessed selling pressure.Shares of Linde India, TVS Holdings, and Dixon Technologies hit their respective 52-week highs today.The rupee is trading at 83.28 against the US$.Gold prices for the latest contract on MCX are trading 0.2% lower at Rs 73,900 per 10 grams.Meanwhile, silver prices were trading 0.4% lower at Rs 94,304 per 1 kg.  ICICI Bank Approves ESOPIn news from the banking sector, shares of ICICI Bank fell over 1% to Rs 1,108 per share on 22 May after the bank allotted 6.5 lakh equity shares of the face value of Rs 2 each under the employee stock option plan (ESOP).So far this year, the stock of this private sector lender has surged over 11%, outperforming a 3% rise in the benchmark Nifty 50 index.Earlier, ICICI Bank had alloted 1.67 lakh equity shares under ESOP on 11 January 2024.Apart from that, […]

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