1. Bitcoin Tops $42,000 Again;
2. Zuckerberg Sells Over $100M in Meta Stock;
3. Spotify Lays Off 1,500 Employees;
4. Amsterdam Lowers Urban Speed Limits;
5. Alaska Airlines Acquires Rival;
6. US Bank Sells $2.5B in Auto Loans;
7. GM Issues $3B in New Debt.
1. Bitcoin Tops $42,000 Again
Bitcoin surged 6.1% today, breaking above the $42,000 mark for the first time since the crypto crisis in April 2022.
Crypto speculators have returned to the market in force this year, and Bitcoin has risen 150% in total.
Investors increasingly believe the Federal Reserve has ended its rate-hiking cycle, and borrowing costs could decline in 2024. As a result, most asset classes around the world are seeing rallies.
Tony Sycamore, a market analyst at IG Australia Pty, said markets expect the SEC to approve BlackRock’s spot Bitcoin ETF in January.
If the SEC approves the ETF, even more investors are likely to enter the crypto market.
______
2. Zuckerberg Sells Over $100M in Meta Stock
Regulatory filings show that Meta co-founder Mark Zuckerberg’s trust, political, and charitable foundations sold a combined 682,000 shares—worth around $185 million. This marks Zuckerberg’s first sale since November 2021.
From January through November, Meta stock surged 172%, second only to Nvidia. Zuckerberg plans to use the proceeds to invest in venture capital, research, and other impact-driven projects.
In 2022, amid a rough year for Meta, Zuckerberg sold no shares. Now, with Meta back on track, the stock is nearing its all-time high from 2021.
Zuckerberg still holds a 13% stake in Meta, and his net worth stands at $117.7 billion.
______
3. Spotify Lays Off 1,500 Employees
Music streaming giant Spotify Technology announced today that it will lay off 17% of its workforce. Roughly 1,500 employees will receive termination notices today.
Last quarter, Spotify posted a rare profit and is expected to add another 100 million users this year.
However, CEO Daniel Ek said the company’s funding costs and other expenses are too high, and the team needs to become leaner.
Spotify expects to post a $101 million operating loss in Q4, including significant real estate-related charges.
______
4. Amsterdam Lowers Urban Speed Limits
Starting this Friday, Amsterdam will lower speed limits on city roads from 50 km/h to 30 km/h, aiming to improve traffic safety.
Famous for its extensive bike lanes and canals, Amsterdam continues to draw more tourists, requiring the government to balance population growth with street safety in limited urban space.
Officials say the city currently averages three serious accidents per day. With the new speed limits, that number could drop by 30%.
Amsterdam has already installed 4,500 new speed limit signs. Public transportation will continue operating at the 50 km/h limit.
______
5. Alaska Airlines Acquires Rival
On Sunday, Alaska Air Group announced it will acquire rival Hawaiian Holdings for $1.9 billion.
The deal price is significantly higher than Hawaiian’s Friday closing price of $4.86, and its stock soared 174% in early trading.
Year-to-date, Hawaiian’s shares had dropped 52% amid sluggish tourism in the state, making the acquisition a crucial lifeline.
Last year, U.S. antitrust regulators sued to block multiple airline mergers, including JetBlue and Spirit.
______
6. US Bank Sells $2.5B in Auto Loans
US Bank plans to issue $2.5 billion in auto credit-linked notes, allowing the bank to shift much of the associated risk to investors.
With the Basel III capital rules taking effect soon, banks are seeking ways to optimize their balance sheets. US Bank, a major auto lender, plans to sell 97,000 auto loans.
Smaller competitor Santander sold $115 million in auto loans back in June.
______
7. GM Issues $3B in New Debt
Today, GM’s finance arm announced it had issued $3 billion in high-grade debt ahead of year-end.
The issuance comes in two tranches: a 10-year bond with a yield 1.85% above Treasuries—lower than the expected 2.1%—and a 5-year floating rate note.
Seven major corporations, including Wells Fargo and Toronto-Dominion Bank, issued debt today as the bond market typically slows at month’s end.
Dealers expect $30 billion to $35 billion in new debt issuance over the first two weeks of this month.
______
This content is sourced from Financial Times, Bloomberg, and The Real Deal, among other financial news outlets.