November 16, 2018 / Hamza Ahsan
After a five-day losing streak, S&P 500 closes 1.06% higher after the longest losing streak for almost three weeks. The streak broke as technology stocks led the way, with the sector up 1.8 percent today. The Dow Jones Industrial Average was up 0.83 percent, while the Nasdaq Composite added 1.2 percent. Hang Seng also closed at 1.75 percent higher. However, following UK’s parliamentary resignations, FTSE 250 fell as much as 2 percent.
UK: Stocks exposed to the UK economy tumbled following parliamentary resignations over Theresa May’s draft EU withdrawal agreement threw the Brexit process into chaos. The Royal Bank of Scotland lost nearly 10 percent over fears of slower economic growth. By the close, Bovis was down 7.2 percent, Countryside and OneSavings had dropped more than 9 percent and Thomas Cook was 4.3 percent lower. EasyJet and Ryanair fell by 7 percent.
Currency: The Pound hits session lows against the US dollar and Euro following imminent resignations in UK’s parliament. Against the dollar, the pound was down as much as 2.1 percent at $1.2724, while against the euro, it fell as much as 2.1 percent at €1.1251. Bitcoin fell to as low as $5,324, ending the day down 10.6 percent down. Ethereum, the second-largest cryptocurrency by market-capitalization, was down 14 percent over the 24 hours.
Nvidia, which boosted its sales through cryptocurrency’s golden era, faced a stock plunge due to a ‘crypto hangover’ for mounting stockpiles of unsold inventory, following a fresh slump in the price of bitcoin, Ether, Ripple and other cryptocurrencies this week. Analysts said the outlook pointed to a revenue drop of as much as 30 percent in Nvidia’s PC gaming business, its largest division, which also supplies chips for cryptocurrencies.
Following Netflix, Apple, through a partnership with A24, the New York-based studio best known for producing 2017’s Oscar winner Moonlight, has geared up to launch a new video streaming service next year. The multiyear agreement will see A24 produce several original films for Apple.