Connect with us

Markets

Timeline: How the Global Economy Played Out in 2015

Published

on

Timeline: How the Global Economy Played Out in 2015

Timeline: How the Global Economy Played Out in 2015

Many people start a new year with renewed optimism. However, the reality of each new year is not so detached from the previous.

That’s why on the first trading day of 2016, optimism in the markets was short-lived as news out of China was quick to spook investors.

Chinese manufacturing continued to contract for the 10th month in a row in December. The “blue chip” CSI 300 index fell until trading was halted, with losses capped at 7% – its biggest fall in nine years. China also lowered its guidance on the yuan, which dropped to its lowest levels since 2011.

These concerns, along with other disappointing numbers out of the US and UK, eventually spread to other markets. The Nikkei was down 3%, the FTSE 100 was down 2.4%, and the German DAX down 4.3% for its worst opening day to a new year in history.

U.S. markets were in the same boat, opening the day down 2%. Canada’s TSX and TSXV are down less than 1% with much of the damage to commodities already being done.

New Year, Same Problems

Most investors and central bankers find themselves between a rock and a hard place to start 2016.

The Federal Reserve finally raised rates in December, but mainly in the interest of preserving credibility.

While unemployment itself has looked good enough and there has been some wage growth, the labor force participation is at 62.5%, which is essentially its lowest mark since 1977. Meanwhile, the stock market has been volatile, junk bonds have been hammered, and manufacturing contracted in December at the fastest pace in the U.S. in more than six years.

Most major central banks still have rates close to zero, which gives little policy ammunition for any additional stimulus. The flipside of these record-low rates has been soaring (or extremely bubbly) asset prices that have failed to trickle down to Main Street.

A slowing China and general oversupply has led to slumping commodity prices.

Oil has been hammered down to its lowest price since 2003. Copper is trading at $2/lb, which is comparable to its price during the Financial Crisis. These low input prices, in theory, are great for consumers and manufacturers. In reality, however, they usually mean that economic growth is grinding to a halt.

It’s hard to say where markets will turn in 2016, but for now it will continue to be much of the same volatility until the picture becomes clearer.

Original graphic by: The Straits Times

Click for Comments

Markets

Ranked: Top 10 Single-Day Market Cap Gains

Nvidia broke the record for the largest single-day market cap gains after adding nearly $250B on Feb. 22, 2024.

Published

on

The 10 Biggest Single-Day Market Cap Gains

This was originally posted on our Voronoi app. Download the app for free on iOS or Android and discover incredible data-driven charts from a variety of trusted sources.

Since the COVID-19 pandemic, U.S. tech stocks have led in terms of market cap gains, sometimes boosting their valuations by hundreds of billions of dollars in a single day.

In this graphic, we’ve ranked the largest single-day gains ever recorded, using data from Bloomberg.

Top 10 List

The top 10 list includes just 5 companies, and all are based in the U.S.

RankDateCompanySingle-day
Market Cap Gain
(USD billions)
1Feb 22, 2024NVIDIA$247.0
2Feb 2, 2024Meta$196.8
3Nov 10, 2022Apple$190.9
4Feb 4, 2022Amazon$190.8
5May 25, 2023NVIDIA$184.1
6Jan 28, 2022Apple$178.9
7Jul 31, 2020Apple$169.0
8Oct 28, 2022Apple$150.5
9Mar 13, 2020Microsoft$150.4
10Apr 26, 2023Microsoft$148.3

To put these massive gains into context, consider this: As of May 2023, the average market cap of an S&P 500 company was $30.4 billion.

Meta’s $197B Record Didn’t Last Long

On Feb 2. 2024, Meta set a new record for the largest single-day gain after reporting strong quarterly earnings, as well as announcing $50B in share repurchases and its first ever dividend payment.

This record lasted only 20 days, however, as Nvidia’s massive Q4 2024 earnings beat sent it to all-time highs. The firm is now nearing a $2T valuation, firmly placing it among the world’s most valuable corporations.

More on Nvidia’s Earnings…

Nvidia reported $12.3B in net income during Q4 2024, which is 769% higher than the same quarter last year. Revenues are also up 265% from last year, largely driven by demand for its AI chips like the H100 Tensor Core GPU.

Nvidia’s earnings have seemingly shifted the AI craze into another gear, boosting other chip stocks like AMD and Super Micro Computer (SMCI) to double-digit % gains for the day (Feb 22).

Continue Reading

Subscribe

Popular