Happy Monday Zingernation!
All major indices are in the green, but barely, heading into the new trading week. Investors are hoping for a strong start to the week after markets rallied last week, with the S&P 500 finishing up more than 6% throughout the last five trading days.
Coinbase's stock is trading down 4% premarket after Goldman downgrades the stock to a "sell" rating with a $45 price target. If crypto remains week, look for more layoffs and downgrades in the industry.
1. Why DWAC Is Falling Today
What Happened: A federal grand jury in New York has issued subpoenas to each board member of Digital World Acquisition Corp, the blank check company that has agreed to merge with Donald Trump's social media startup, Truth Social.
Why It Matters: Trump Media & Technology Group (TMTG) stated, "TMTG is focused on reclaiming the American people's right to free expression. Every day, our team works tirelessly to sustain Truth Social's rapid growth, onboard new users, and add new features. We encourage—and will cooperate with—oversight that supports the SEC's important mission of protecting retail investors."
Price Action: DWAC shares traded 9.60% lower at $25.15 during the premarket session on the last check Monday.
2. New Apple Watch May Not Be That Much Of An Upgrade
What’s Happening: Tech journalist Mark Gurman said in the latest version of his Bloomberg newsletter, “I’m told the S8 chip will have the same specifications as the S7, which was also the same as the S6.” The S6 chip was introduced with the Apple Watch Series 6, which debuted in 2020.
Why It Matters: Gurman’s revelation means the Apple Watch Series 8 will not be significantly faster than the Series 7 or for that matter, the Series 6, in terms of processing power.
3. Why Alibaba's Stock Is On The Rise Today
What Happened: Alibaba shares are trading higher Monday after the company was granted a license to perform road testing of its self-driving trucks. Following the widespread use of Alibaba's low-speed self-driving logistics vehicles, the company was approved to test its L4 self-driving trucks on the roads, according to a CnEVPost report.
Why It Matters: Shares of several Chinese names are also trading higher amid loosening COVID-19 restrictions in the country. According to reports, Beijing and Shanghai continue to ease restrictions as new infections remain under 100 per day, some provinces continue to report no new cases and lockdown measures remain lifted. China is reportedly recording the lowest number of new COVID-19 cases since the beginning of February.
