Dow slumps 800 points to start the week, S&P 500 falls back into bear market territory [CNBC]
The S&P 500 hit a new intraday low for the year and its lowest level since March 2021. The benchmark is off nearly 22% from its record, back in bear market territory after trading there briefly on an intraday basis about three weeks ago…. “The odds of a ‘June Swoon’ straight to 3,400 have gone up significantly, in our view,” wrote Jonathan Krinsky, technical analyst for BTIG. The S&P 500 closed Friday at 3,900.86.
Coinbase and ARK Tumble as Crypto Crash Spills Over Into Stock Market [Barron’s]
Shares in Coinbase Global (ticker: COIN), a major cryptocurrency exchange, tumbled 16% in early trading, immediately shedding $1.5 billion in market capitalization to open at $46.17, down from $58.71 on Friday…. Fintech group Block fell 8% while Silvergate Capital, which is positioning itself as a crypto bank, lost 15%. MicroStrategy, a software group with major holdings of Bitcoin on its balance sheet, plunged 25%. Bitcoin miners Riot Blockchain and Marathon Digital both dropped about 12%.
Bitcoin slides after crypto lender Celsius Network freezes withdrawals [Reuters via Yahoo!]
Celsius said on its website on Monday that customers who transfer their crypto to its platform can earn an annual return of up to 18.6%.... In a blog post, the company said it had frozen withdrawals, as well as transfers between accounts, "to stabilise liquidity and operations while we take steps to preserve and protect assets."
"We are taking this action today to put Celsius in a better position to honour, over time, its withdrawal obligations," the New Jersey-based company said.
Bond Yields, Dollar Surge With Fed Bets as Recession Risk Grows [Bloomberg]
Traders see 175 basis points of tightening by the Fed’s September decision, implying two half-point and one 75 basis-point hike, according to interest rate swaps tied to FOMC policy outcome dates…. “The combination of collapsing consumer sentiment, unexpectedly intense price pressures and expectations of Fed activism are conspiring to create a particularly toxic cocktail for risky assets,” said Rabobank strategists including Richard McGuire. The yield curve inversion “resonates with the notion that the need to tackle elevated price pressures will see the Fed tip the economy into recession.”
IPOs in Mainland China Jump as Global Issuance Plummets [WSJ]
IPOs in China raised more than $33.8 billion so far this year, up from more than $30.4 billion a year earlier, according to Dealogic. This year’s tally is the highest figure since at least 2009…. In contrast, the global dollar value of IPOs fell 71% to more than $90.2 billion over the same period. In Hong Kong, IPO volumes have tumbled 92% from a year ago to nearly $2.2 billion, the lowest point since 2009.
Some M.B.A.s Are Getting Job Offers Before They Step Onto Campus [WSJ]
Major consulting firms including Bain & Co. and McKinsey & Co. say they are offering some 2023 internships to students who don’t start business school until this fall. Some offers come with the promise of a full-time job after graduation in 2024…. Some students say mixing with companies before school allows them to focus on coursework and build relationships once the academic year starts. Yet pursuing a job before they explore other opportunities could be limiting, schools say, and some worry that early accepters might later renege when other offers come in, potentially denting campuses’ relationships with recruiters.