πŸ“ˆ Bitcoin Plunges and Stocks Open Sharply Lower - Third Terrible Day In a Row?

Overnight, the futures markets dropped sharply and point to a much lower open. Will we see a third negative day in the markets? - Here's what is happening in the markets today, Wednesday, May 19th.
Overnight, the futures markets dropped sharply and point to a much lower open. Will we see a third negative day in the markets?

Here's what is happening in the markets today, Wednesday, May 19th.

Bitcoin (BTC)  fell below $40,000 for the first time in 14 weeks It traded 20% lower in the last 24 hours and more than 30% in one week. What’s causing this? Yesterday, China warned financial institutions not to conduct crypto-related business, possibly sparking the sell-off.

And the SEC chimed in, too: "Investors should understand that Bitcoin, including gaining exposure through the Bitcoin futures market, is a highly speculative investment," the regulator wrote in a recent notice, adding it will "closely monitor" whether mutual funds that invest in Bitcoin futures comply with federal securities laws. 

Shares of Tesla (TSLA), which invested company cash in bitcoin, fell about 3% in premarket trading.

Inflation fears: The Fed publishes the minutes from its April meeting later today, which could add to fear about inflation. The Fed kept its easy policies that meeting, but acknowledged that inflation could rise in coming months. The central bank maintains that these price pressures will be transitory.

10-year Treasury yield is rising again.

Earnings: 
Target (TGT) reported was better-than-expected results. Shares popped by 4% in premarket trading after TGT said sales surged 23% last quarter.

Lowe’s (LOW) is trading 2% lower premarket. despite stronger than expected earnings and a  nearly 24% jump in revenue.

Ford (F) will unveil the all-electric F-150 Lightning, which is the second mass-market EV from Ford (following the Mustang Mach-E).

Biden test drove it yesterday and said: β€œThe future of the auto industry is electric.” He added:  "We're also going to boost our manufacturing capacity, as well as grants and tax credits to boost manufacturing of these clean vehicles

Single-family housing starts dropped more than 13% in April compared with March, Lumber futures, homebuilder stocks like DR Horton (DHI) dip.

This wraps up today's stock market news.

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