Federal Reserve's Bostic: Case for Rate Hikes Should Hinge on Evidence of Economic Overheating

On February 6th, according to WSJ, it is reported that multiple banks completed a $5.5 billion bond sale on Wednesday, which was backed by Elon Musk's social media company X. These banks initially planned to sell around $3 billion in bonds at a price of approximately 95 cents per dollar. Sources familiar with the situation stated that after observing investor demand, they expanded the size of the deal. Eventually, investors agreed to purchase the bonds at a price of 97 cents per dollar. The interest rate on these floating-rate bonds is around 11%, and the borrowing cost is even several percentage points higher than Wall Street's riskiest loans. The sale of X company bonds shows the strong investment enthusiasm that has swept Wall Street since November when Trump was elected. Given Musk's close relationship with President Trump and his increasing influence since the election, investors are also eager to place bets on Musk. (Jinse)

On February 6th, the seven giants in the US stock market have driven up the earnings growth and stock returns of the S&P 500 index, accounting for approximately one-third of the benchmark index. Over the past two years, more than half of the gains of this index have come from these companies. However, with the increase in expenses, their profit growth is decelerating. Looking at the forward price-to-earnings ratio, the seven giants are trading at a 40% premium to the overall S&P 500 index, presenting a threat to their high valuation. This premium level has been narrowing and has fallen below the peak of 70% in 2023. Industry research data indicates that the year-on-year profit growth of these giants peaked at the end of 2023 and is expected to slow down for the fifth consecutive quarter. Kristian Heugh, the manager of the Morgan Stanley Global Opportunity Fund, stated that the year-on-year profit growth of the seven giants is declining "significantly," while the other components of t

On February 6th, according to crypto KOL MartyParty, the Federal Deposit Insurance Corporation (FDIC) announced today that it is actively reexamining its regulatory approach to cryptocurrency-related activities. This involves replacing the Financial Institution Letter (FIL) 16-2022 and providing institutions with a way to engage in cryptocurrency and blockchain-related activities while adhering to safety and soundness principles. This information was emphasized in Acting Chair Travis Hill's statement, indicating a shift in the FDIC's regulation of banks involved in cryptocurrency activities. This means that banks can custody customers' cryptocurrency and it will be insured by the FDIC. The Biden administration's Choke Point FIL 16-2022 letter has been withdrawn and replaced. MartyParty commented that the original link of FIL-16-2022 has been removed and shows a 404 error. The FDIC is erasing all evidence of policies that conflict with its political motives against cryptocurrency. Bl

On February 6th, based on HTX market data, Bitcoin dropped below $97,000, experiencing a 24-hour decline of 2.05%.

On February 6th, according to market intelligence, the Federal Deposit Insurance Corporation (FDIC) is scheduled to revise its cryptocurrency guidelines. The FDIC intends to enable banks to participate in certain cryptocurrency operations. Bank officials are gathering to deliberate on cryptocurrency custody and tokenized deposits.

On February 6th, as reported by Bloomberg, MicroStrategy Incorporated (Nasdaq: $MSTR) declared today that the company is currently operating under the name Strategy™. Strategy is recognized as the world's first and largest Bitcoin treasury company, the largest independent publicly-traded business intelligence enterprise, and a constituent of the Nasdaq 100 Index. BlockBeats Notes: No official statement has been received from Michael Saylor yet. Until he makes a public announcement, this piece of news remains unconfirmed.