Stock Trading Pit

Asian markets have finished 2020 strong, leaving behind European and U.S. counterparts in the COVID-19 pandemic. Asian countries were more successful as a whole to reign in the spread of infections and to avoid prolonged shutdowns, but the fact that markets did not budge when the virus returned for second and third waves in South Korea and Japan did raise some eyebrows.

In November, the election of Democrat Joe Biden as U.S. president gave stock markets in Asian countries another boost. Only the threat of another lockdown in Tokyo as infection numbers continue to rise put a damper on stock market performance on the first day of trading in the new year. Hong Kong index the Hang Seng has been embattled since China’s announcement and subsequent enactment of national security law in early 2020, which drew massive protests. Due to a working COVID-19 containment strategy in Hong Kong, the index still finished the year on a higher note than France’s CAC 40 or the UK’s FTSE 100.

Source: Statista

The electric car market is booming across the world. Tesla’s meteoric rise in value and traditional manufacturers like GM and Ford quickly producing several variants of electric vehicles highlights how the industry is rapidly evolving toward a greener future. Lithium-ion battery technology has often held up many from mass-producing electric vehicles, with the research and cost for the precious metal batteries being too costly. Ongoing data over the last decade shows just how dramatically lithium-ion batteries have fallen in price. According to data collected by Bloomberg, the volume-weighted average price of a typical lithium-ion battery plunged by over $1,000 since 2010. As of 2020, the average price is roughly $137, down from an astounding $1,191 just 10 years ago. Overall, the price fell rapidly between 2010 and 2015 before falling in smaller increments the following five years. The article from Bloomberg notes how the new age of cleaner energy will be led by advanced battery technologies becoming available for much cheaper prices. Phones, cars, laptops, drones and everything in-between are all powered by lithium-ion batteries, and the continued drop in production costs will inevitably lead to wider adoption by industries that have traditionally used fossil fuels.
Source: Statista

The rapid rise of video streaming services over the past few years is affecting TV networks, pay-tv providers and other industry players in more ways than one. Not only do Netflix, Amazon and other online companies lure viewers away from traditional TV, they also shake up the status quo in the content market. Between 2014 and 2017, prices for distribution rights of independent films shown at the Sundance Film Festival increased sharply, a development widely attributed to Netflix and Amazon joining the bidding with big pockets. And it’s not just distribution rights that streaming companies are gobbling up: they also sign deals with acclaimed showrunners, screenwriters, actors and directors left and right in an effort to build up their original content libraries. According to a presentation given by renowned media analyst Michael Nathanson of MoffettNathanson Research, Disney was the biggest content spender last year, with programming expenses amounting to $18.7 billion. The iconic media giant recently launched its own streaming service Disney+, which will eventually become the exclusive streaming home to the company’s vast content library. Comcast (owner of NBCUniversal) and AT&T (Warner Media) also spent $10+ billion on content in 2019, while Netflix’s content budget was estimated at $9.2 billion.
Source: Statista

This year's holiday season will mark the beginning of the next battle in the decade-spanning console wars. With Xbox Series X and PlayStation 5 both priced at $499, the two systems will start on equal footing this time around, after Sony had undercut Microsoft's starting price for the Xbox One by $100 with the PlayStation 4 in 2013. As the next generation of video game consoles has arrived, the best-selling console of all time celebrated its 20th birthday this year. On March 4, 2000, Sony released the PlayStation 2 in Japan, before bringing it to eagerly waiting gamers around the world in the fall of the same year. Upon its arrival, the PS2 was an instant hit and it remained popular for a very long time. Even though its successor, surprisingly named PlayStation 3, arrived in 2006, the PlayStation 2 remained in production until 2013 as an affordable entry-level system. According to official figures from Sony, the company sold more than 155 million PS2 units since its launch, making it the most successful video game console for the living room by a wide margin. As the following chart shows, Sony has been dominating the gaming landscape for the past two and a half decades, claiming four of the top five spots in the gaming hall of fame.
Source: Statista

Sun, Jan 17th at 6 PM (EST) join us for another episode of Stock Trading Pit! Here we will be going over chart requests and the broad market. Also, don't miss out on the interview with Nick Giannotti, CEO of BullTradeFinder, and watchlist review with NebraskanGooner. See you there!
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When Apple surprisingly announced its first pair of wireless over-ear headphones last week, the initial reaction was almost exactly the same wherever you looked: wow, these things are expensive. At $549, the AirPods Max seemed outlandishly pricey, even for Apple’s admittedly high standards. And while the price remains very high for what are still consumer headphones, as opposed to studio headphones used by professionals that can easily set you back $1,000+, the initial outrage quickly made way for another reaction: what if these things are so good that the price is justified? Early hands-on reviews have been overwhelmingly positive, lauding the AirPods’ build quality, noise cancelling and overall sound. In line with those reactions, delivery times for the headphones quickly went up on Apple’s website, with those willing to spend $549 on a pair of headphones now having to wait up to three months to do so.
Source: Statista