In today’s Recap, Marcello talks about how most markets around the globe fell; Gucci is accepting cryptocurrencies as payment method; Elon Musk gave a hint to the new world order at the MET gala.
U.S. Federal Reserve raised interest rates by +0.50% in the biggest single-meeting increase in 20 years. Although the Fed Chair Powell said that additional half-point rate increases will be on the table at the next couple of meetings, he added that Fed officials aren’t actively considering a 75-basis-point increase. As a result, short-dated U.S. Treasuries rallied, sending the 2-yr Treasury yield sharply lower. It fell 15 basis points to 2.61% in the biggest 1 day drop since late Feb. The 10-yr yield fell, down 4 basis points to 2.9%.
The U.S. economy continued to add jobs at a rapid pace last month, even as employers struggled with a shortage of workers & demands for higher wages, giving the Federal Reserve further ammunition to increase interest rates to fight soaring inflation. Non-farm payrolls grew by 428,000 in April, matching the revised 428,000 increase in March & exceeding economists’ forecasts for 391K. It kept the jobless rate steady at 3.6%, near the level it stood at in February 2020, right before the pandemic.
According to an April report from the Stockholm International Peace Research Institute; total military spending reached more than $2 trillion globally, for the first time in 2021. The top 5 spenders are the United States, China, India, Russia & the U.K. Collectively, these 5 countries, in a world of 195 nations, accounted for 62% of total arms expenditure.
MIT researchers have developed a portable suitcase-sized device desalination unit, weighing less than 10 kilograms, that can remove particles & salts to generate drinking water, with the push of 1 button. It requires less power to operate than a cell phone charger. The unit can also be driven by a small, portable solar panel, purchased online for around $50.
The world’s largest blue diamond, the 15.10-carat diamond, called The De Beers Cullinan Blue, sold for $57.5M in an auction at Sotheby’s in Hong Kong. The diamond comes from South Africa’s Cullinan mine & was obtained in 2021. The 1-of-a-kind diamond had been expected to sell for about $48M, but an anonymous buyer secured the gem via phone after an 8-minute bidding war among 4 potential buyers.
Shares of Netflix jumped +4.78%; 1-way superconductivity without magnetic fields was discovered; Spain’s Prime Minister was the target of a spyware attack