1. Taxation Fears Stop U.S Market Rally
U.S Markets turned shaky near their all-time highs as fear of high taxation by foreign governments on U.S companies came in. The G7 countries have agreed to a common tax deal, which is aimed to reduce money laundering by huge corporations like Apple from the U.S to tax-haven countries like Ireland.
Stoxx Europe is up 0.21%
Dow Jones is down 0.21%
NASDAQ is down 0.56%
2. China’s May Trade Surplus With The US Jumps 13%
China’s trade surplus with the United States reached Rs 2,31,584 crores in May, a 13 percent rise from Rs 2,04,840 crores in April. After Biden started as the President of America, China engaged more in trades, and the surplus for the first 5 months of 2021 is at Rs 16,97,894 crores.
3. Tesla Cancels Production Of Longest-Range Model S Plaid+
Tesla CEO Elon Musk on Sunday announced the production cancellation of its longest-range model Model S Plaid+. The yet to be launched model was expected to be Tesla’s highest-end model with a range of 836 km. More details will be available from an event on June 10. Shares of Tesla are down 2.5%.
4. Dave App Getting Ready To Go Public
Dave is an app used by Americans to avoid billions of dollars in overdraft fees charged by traditional banks. On Monday, it announced plans to go public through a merger with a blank-check firm sponsored by investment firm Victory Park Capital, valuing the banking app at Rs 29,133 cores
5. Amazon’s Founder Ready For Space Trip Next Month
Amazon’s founder Jeff Bezos said on Monday, he and his brother Mark will fly on the first crewed space flight from his rocket company Blue Origin next month. The Blue Origin spacecraft has undergone 15 test flights, but none of them had any passengers onboard.
6. Brazilian Banks Faces Profitability Falls In 2020
As per a central bank report on the banking system on Monday, the Brazilian banks have seen a sharp fall in profitability in 2020. The major banks, Itau, Bradesco, Santander, Banco do Brasil and Caixa Economica Federal, accounted for 77.6% of total assets in December 2020, down from 81% a year before.
7. Flipkart Getting Ready to Raise Rs 22,000 crores
Walmart-owned Flipkart is planning to raise $3 Billion(~Rs 22,000 crore) from investors including SoftBank Group and several sovereign wealth funds according to sources. Flipkart plans to raise the additional capital ahead of an IPO for next year. This fundraise can come as a threat to competitors including Amazon India and Mukesh Ambani’s Reliance Retail.
8. Crude Oil Prices Weaken; Bearish Signs Showing
Crude oil cooled off from its high of $72/barrel mark after concerns of oversupply started emerging. According to Bloomberg, 5 oil tankers carrying about 6 million barrels of North Sea crude have been floating off European shores for 3 weeks. The increase in floating barrels is said to be a sign of weak demand, especially from Covid hit Asia.
Supply is also expected to rise, with a major pipeline completing maintenance by mid-June.
9. SEC Concerned on Tesla Accepting Cryptocurrencies
The U.S Securities and Exchange Commission is said to be ‘concerned’ on Tesla accepting cryptocurrencies for payments on its cars. Electric carmaker Tesla had said it will accept Bitcoin as payment in February. But on May 12th, CEO Elon Musk said that the company will no longer accept Bitcoin for car purchases, talking about emissions concerns due to use of fossil fuels to mine the cryptocurrency.
Yesterday, hacker group Anonymous had threatened Elon Musk for his tweets alleging manipulation of crypto markets.
The SEC acts like India’s Securities and Exchange Board(SEBI).
10. Janet Yellen says Higher Interest Rates Not a Problem
U.S Treasury Secretary Janet Yellen has said President Joe Biden should go ahead with his $4 trillion spending plans, even if it triggers higher inflation and higher interest rates.
“If we ended up with a slightly higher interest rate environment it would actually be a plus for society’s point of view and the Fed’s point of view,” Yellen said in an interview after the G7 summit.