Week 1 summary

Hi guys!

We start the year on the right foot, losing 5.42% compared to the Nasdaq which loses 4.56%, its worst week since February 2021.

Strong corrections therefore for the first week of the year for technology stocks while the Dow Jones loses less than the other 2 main indices.

Week influenced by 3 main factors:

1. The China Cyberspace Administration (CAC) said Tuesday that it will implement new rules to increase its oversight of Chinese platform companies' plans to go public on foreign securities markets, in the latest move to strengthen its control over its vast tech sector. Therefore, the agency said the new rules will go into effect on February 15 and require platform companies with data of more than one million users to undergo a security review before being listed overseas. The rules published on Tuesday do not specify whether the planned changes will be retroactive. News followed by a sharp decline in Chinese equities (new year, same story).

2. FED minutes of last month's meeting have been released, a more "worried" tone than Powell's words in December, which had allowed for a temporary rise in shares. This translates into uncertainty, and uncertainty is not a friend of the market.

3. Further uncertainty was generated by the press release that, in December 2021, jobs in the non-agricultural sectors increased by 199 thousand units, a figure far worse than the consensus expectations (+400 thousand new jobs), while the unemployment rate fell to 3.9% (against expectations at 4.1%). The labor force participation rate stood at 61.9%, while average wages rose 0.6% monthly and 4.7% over the past twelve months. Lower increase than expected with a lower unemployment rate: it could translate into lower demand for work by the population. Conflicting data that certainly press the FED on the acceleration or not of tapering and the increase in interest rates.

For the rest, let's see our TOP / FLOP 3 from the first week of the year:

TOP 3

1. BYND 5.16%

2. NIU 2.17%

3. DIS 1.90%

FLOP 3

1. HOOD -10.53%

2. PINS -10.81%

3. TQQQ -13.38%

Good news for BYND after KFC will start selling vegetable chicken on January 10th.

Beyond Fried Chicken will be offered for a limited time at KFC restaurants across the United States, the companies said in a statement Wednesday. The product will be available as a combination meal or a la carte in orders of six or 12. Prices start at $ 6.99 excluding tax and may vary by location.

The two companies first tested vegetable chicken in an Atlanta restaurant in August 2019 and sold out their limited supply in less than five hours.

NIU, on the other hand, has announced its Q4 2021 sales. You can read more here:

https://etoro.tw/3zDxSZS

Crypto has also corrected heavily this week with BTC falling below $ 42,000. He tested the $ 40,500 and they held up for the time being.

That's all for today, in the hope of recovering these heavy losses I wish you a good start to the week!