2022 05 29 YOLO Markets Weekly Recap

The Nerdz

Published in

Coinmonks

3 min readMay 29, 2022

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nerdzvest Insight

Expect relief rally to continue briefly heading towards NFPR on Friday

The past week saw relief rally from the broader markets and The Nerdz believes that this trend could continue briefly for the week especially after weeks of declines. Eyes will be on Non Farm Payroll announcement on Friday to determine whether the labour market still remains strong.

The Nerdz maintains the mid term bearish view of the markets as it is still too early to gauge whether inflation has peaked with global supply chain issues. The cost push inflation is likely to linger for a while, negatively affecting people’s living costs and businesses’ operating costs. Thus, this could lead to a slowdown in economic growth (potentially recession) in medium term horizon.

Key Happenings

Nokia CEO sees 6G commercialisation by 2030

Nokia CEO Pekka Lundmark expects 6G mobile networks to hit commercial market around 2030 with the world moving away from using smartphones to smart glasses or other devices worn on face. He also believes that there will be a “digital twin of everything” that will require “massive computational resources.”

https://www.cnbc.com/2022/05/24/nokia-ceo-says-6g-will-arrive-by-2030.html

Walmart expands its drone delivery services

Walmart is expanding its drone delivery across six states this year, making it possible for many more customers to get a box of diapers or dinner ingredients delivered in 30 minutes or less. The deliveries by air will be fulfilled from a total of 37 stores — with 34 of those run by DroneUp. The new kind of delivery is an extension of Walmart’s strategy to use its huge physical footprint as a competitive edge.

https://www.cnbc.com/2022/05/24/walmart-expands-drone-delivery-service-to-reach-4-million-households.html

Electronics set to be more expensive due to chip shortages

Products that rely on semiconductors are set to get even more expensive as chip foundries such as Taiwan Semiconductor Manufacturing Company, Samsung and Intel prepare to increase their prices. Over the last two years, the coronavirus pandemic has helped to fuel a global chip shortage. Ukraine war further exacerbated the supply issues while demand remains high.

https://www.cnbc.com/2022/05/24/electronics-set-to-rise-as-chip-giants-like-tsmc-samsung-hike-prices.html

Siam Commercial Bank chases DeFi yield via Compound Treasury

Siam Commercial Bank (SBC) has entered the decentralized finance (DeFi) realm via Compound Treasury. Its digital venture arm, SCB 10X, will deposit funds into Compound Treasury, a kind of institutional wrapper that leverages custody firm Fireblocks. The service converts U.S. dollars into fiat-backed USDC on Compound, which allows institutions to earn fixed annual yields of 4%.

https://www.coindesk.com/business/2022/05/27/siam-commercial-bank-is-chasing-defi-yield-through-compound/

Market Updates

US and European markets rebounded

The week saw the market rebounding from its decline with clarity from Fed minutes and seeminly positive news from economic data. The Fed minutes highlight officials’ commitment to bring down inflation by moving past the neutral into restrictive territory when hiking rates. Moreover, core PCE and headline PCE reported shows signs of inflation peaks which brings positivity to the markets.