Verizon Communications
The telecommunications company Verizon Communications refers to the enterprises of the main market of the States that pay regular dividends to their depositors. The average return on these payments is 4.8%. Now we should talk in more detail about this company and, in accordance with the results of the analysis, decide whether it is worth investing in it or not.
The total value of the telecommunications industry is estimated at $1.7 trillion. This is an impressive global market in terms of reserves, a third of which is concentrated in the United States. Verizon is one of the companies controlling this market in America. Competing organizations are AT&T and T-Mobile. The three of them occupy about 99% of the telecommunications market in America.
The only question that remains unclear is why, if the size of this market is so impressive, it is dominated by only three companies? The answer is simple – all three giants spend millions of dollars a year on upgrading and equipping their own networks. For example, Verizon spent about $18 billion in 2021 on investments in itself. The funds were allocated for 5G licensing, the construction of new communication towers, the laying of optical fiber, the modernization of satellites and the expansion of the company's fleet.
Today, the company has a truly colossal infrastructure, and anyone who decides to compete with it would have to spend billions of dollars just to match its size, and it is unlikely to achieve such impressive performance results. Having such a form of ownership, no cataclysms in the world of economics and finance have the slightest significance for Verizon.
About 5G and plans
It cannot be said that Verizon is growing like a mushroom after the rain. The company's revenue has increased by only 2% over the past decade. In the coming years, thanks to the introduction of the 5G network, the company will be able to increase this figure.
This is a format that provides better data transmission than 4G. Technology is the future. Autonomous vehicles, the Internet of things, AI – all these concepts are from the sphere of 5G, well, or somewhere nearby. All this cannot become a reality without this format.
In 2021, the demand for 5G has grown significantly. By the end of the 3rd quarter, more than a quarter of the enterprise's corporate clients used equipment with support for this format. The introduction of new technologies led to an increase in sales of special equipment by 34.8% compared to the 3rd quarter of 2020. More and more customers are switching to a new format, while the company's revenues are beginning to grow seriously.
Not only 5G-enabled equipment, but also wireless communications in a new format are attracting more and more customer attention. Innovations allowed Verizon to earn $17.1 billion from the wireless segment alone, and in Q3 2020 this figure was at the level of $16.5 billion. According to analysts' forecasts, 5G will continue its victorious march across the planet in the next fiscal year, and the percentage of revenue from this segment will grow to 3%, and by 2024 – to 4%.
Dividend benefits
Verizon is a stable and serious business that provides its depositors with reliable dividend payments on a regular basis. As a percentage, the dividend yield approached 4.93%. The company's management decided to pay dividends to its shareholders regardless of financial indicators for the past reporting period. If Ford reduced or canceled payments in 2020, Verizon also increased the amount of payments.
The issuer pays and raises dividends because they can freely generate cash flow. For example, with low revenue, such as in 2020, this figure amounted to $23.6 billion, which is 32.4% more than in 2019.
For the 3rd quarter of 2021, the company accumulated a cash flow of $17.3 billion.
Verizon's strong financial performance
Dividend payments and constant receipt of free cash flow are only a small part of a large number of strengths of this enterprise. Another predominant factor is powerful fundamental data. For example, in accordance with the results of 2021, the main financial indicators not only exceeded the previous ones, but also the reporting ones for 2019:
- For Q3 2021, Verizon's revenue was at the position of 99.5 billion dollars;
- For the same period in 2020 – 94 billion dollars;
- In the same time period of 2019 – 97.1 billion dollars.
Such outstanding figures were obtained due to the high attractiveness of the company's developments and services for customers. And all this, despite the pandemic raging in the world.
Another development factor is the transition of a huge number of enterprises around the world to remote work. This was an incentive for a serious expansion of the Verizon Fios Internet service. For the 3rd quarter of last year, the consumer revenue of this segment increased by 4%, which in monetary terms amounted to $29 billion. In the reporting period, 98 thousand consumers joined the segment on a permanent basis.
The management methods of the enterprise also play an important role in obtaining regular profits. In 2020, with the outbreak of the pandemic, America went into lockdown. The corporation at this time began to actively accumulate cash. By the end of the pandemic year, the company had an impressive $22.2 billion airbag at its disposal. If we compare, in the same period of 2019, this figure was only 2.6 billion dollars.
Today, the fears that the pandemic has stirred up are gradually disappearing, and the company will use the accumulated funds to pay dividends and reduce the amount of debt that grew in 2021, when the company spent part of its funds in the amount of $53 billion on modernization for the development of 5G networks.
It is impossible without a drop of negativity
The only thing that confuses in all the victorious tirade that we have given above is the debt of the enterprise. For the period of the 3rd quarter of 2021, the cumulative figure was 151 billion dollars. And this indicator has grown significantly, since for the same period in 2020 it was equal to 129 billion dollars, and today it is 78 billion dollars higher than the total capital of the company. The main long-forming link in this plan is 5G communication.
If debt obligations are not taken into account, the company spent almost $3 billion on interest expenses in 2021. This is 13% less than for the same period in 2020.
According to the combined opinion of experts, it was this debt indicator that caused the decline in the value of the company's shares last year. However, with the end of investments in the development of 5G, the company will easily send funds from its own free cash flow to cover debts. According to forecasts, the main part of it will be closed until 2025.
What to do with assets?
The company is not the last link in the telecommunications business of the States. Despite a small lyrical digression about debts, it is worth saying that investors need to pay close attention to the company's assets. Free cash flow should significantly reduce debts against the background of the introduction of 5G technology, as well as significantly increase profits. Against the background of the P/E multiplier equal to 11, there is an opportunity to attract investors. Another advantage is the high dividends.
Today, the company's assets are returning to growth after a prolonged correction. Buyers managed to organize a defense in the area of $50, from which the asset decisively jumped back to increase, and reached $54.6. If the price remains above the $52 level, we should expect another jump to $57. The main goal is $67.
Intel
The start of the new year is a great time to look for assets that have sunk somewhat in price in the last reporting year, but have a serious potential for growth. Of such securities, Intel's assets attract special attention. Over the past few years, the company has lost a significant part of the chip market to its competitors, but, as before, controls a serious part of it. The general director of the enterprise is seriously concerned about restoring the former power of the enterprise. Let's talk further about the prospects for its development.
AMD is considered a significant competitor of the company today, having managed to oust the issuer from a whole range of world markets. According to expert opinion, over the last five years, the share of the competing Intel processor market has decreased by almost 20% – from 80% to 60%. The company has seriously lost its position, but it still has 60% of the market, estimated at $425 billion. Considering that semiconductors are a master key to high technologies, the enterprise today has enough resources to maintain its own positions further, as well as to regain those lost over the years.
According to Intel reports, the demand for manufactured products is still quite high, and in each of the divisions of the enterprise. The company's technologies are in demand not only in data centers, but also for autonomous transport, as well as the Internet of Things. In Q3, the issuer's revenue increased by 5% year-on-year, and the profit on the asset increased by 64%.
After the publication of the quarterly report of Intel CEO, it was reported that according to their expectations, the financial performance of the company will only improve from year to year. In December last year, the issuer announced plans for a public offering of the Israeli company Mobileye, which develops driver assistance systems to reduce the risk of a collision. According to the most conservative estimates, the value of this enterprise after entering the inter-market may approach $50 billion. After the listing, the company will retain a controlling stake in assets, and the manufacturer does not plan to change anything in the structure and management.
Bringing Mobileye to the interbank market is one of the steps that will bring the company closer to the leading positions. The company wants to restore leadership in the industry by 2025. To do this, another method of manufacturing chips is being introduced. The company is expanding much more slowly than the competing AMD, since all actions are carried out at the expense of its own resources, including development, production. To speed up the process, the company plans to buy a number of components from TSMC, which should stimulate active chip development.
Plus, the company will spend $20 million to build new microchip manufacturing plants in Arizona. The company also plans to form a foundry-type division for closer and more profitable cooperation with enterprises engaged in the development of semiconductors, but in need of a reliable chip manufacturer.
The company generates a stable cash flow. For example, in the last quarter it amounted to $17 billion. This allows the company to pay stable dividends, as well as constantly increase their size. Over the last five years, payments have increased by 32% of own cash flow. This allows you to further increase payments.
The problem is still there
Today, the story of the metaverse is coming to the fore for many enterprises of the same sector. Intel has not stayed away, and also plans to join this race. However, there may also be some difficulties here, since the main competitor – Nvidia is also planning to start development in this direction. The company dominates the GPU market, which is a significant advantage for it in the field of metaverse development.
Success in any case will depend on the data centers. Revenue from these segments increased by 10% last year, and the indicator was recorded only for Q3. At the same time, it was found that AMD has set a fresh record in terms of profitability in this segment. This is a direct statement that Intel may have some difficulties in this matter.
Even despite all the efforts of the company's management to improve its own products, product development cycles, in particular, chips, take from 3 to 5 years. That is, in the near future, it is simply impossible to return to the Intel market as a leader.
However, it is not desirable to completely exclude this situation. The company has been a leader in the industry for more than one or two years, and continues to bring impressive revenues even in this situation. Including, even more than the notorious AMD. However, investors are not sure that the issuer has gained enough power to return to service.
A little bit about financial indicators
This area of the company is also not very happy. Over the past 3 reporting quarters of 2021, the company in general has grown by almost 1% compared to the same previous period. The issuer's net profit amounted to about $15 billion. Due to the income from capital investments and reduced tax expenses, the company managed to reduce option costs by almost $4 billion.
In accordance with forecasts for the whole of 2021, lower incomes are positioned than in 2020. This indicates a weak growth in asset prices over the last reporting period. It was only 10%, while the S&P500 showed 31%. The issuer's price-to-profitability ratio is close to 10, which is seriously lower than AMD's profit multiplier = 46 and the P/E multiplier =92 for Nvidia.
In line with analysts' expectations, Intel is entering another weak year, and even regardless of the rather powerful potential. Experts' forecasts say that assets will fall in price by almost 30%, and revenue will remain in its positions.
It is premature to talk about the acquisition of assets at the moment. The company is currently fighting for the right to return to its former heights, and this process will take quite a lot of time. Today, the paper is effective only in the long term, because it will be in a drawdown for a long time. In a short time, it is better not to consider this asset as profitable.
About reporting for the past weeks
Citigroup
At the very beginning of 2021, analysts predicted quite serious growth for Citigroup. It's a pity, but the predictions were not destined to come true, because the paper went into decline. Net profit of assets for Q4 2021 decreased by 26.4% year-on-year and amounted to $3.17 billion or $1.46 per paper. Revenue in the quarter increased by 1.1% and reached $17.02. According to forecasts, this figure was at the position of $16.85 billion.
Summing up the results of 2021, it should be said that the profit increased by 2 times to $22 billion. Last year, the bank paid dividends to shareholders for 56% of its own profit. Today, the company's dividend yield exceeds 3% and is considered one of the most powerful in this sector.
Regardless of the positive indicator of the report, the market is again controlled by sellers. After the area of $68.5, the asset fell to the price of $64.5. New purchases can be made only after the paper rises again to the $66 mark, and then its target will be around $80.
Netflix
In accordance with the reporting for the 4th quarter of 2021, the company showed rather weak results, thereby greatly annoying investors. One of the world's largest streaming services announced the expectation of a decrease in the growth rate of paid subscriptions. After the release of the report, assets began to decline sharply.
The reporting period showed an increase in the number of customers by $8.28 million, in total to 221.8 million people. According to the forecasts of the company itself, the increase should be at the position of 8.5 million people. Netflix's revenue showed an increase of 16%, if we take into account last year's similar period. Net profit in Q4 increased by 12%, which in monetary terms amounted to $607 million.
As before, the company is on the waiting list, and no action will be taken in the near future.
Euro/DollarThe euro rose against the US dollar to the level of 1.1165. There was a positive trend in trading on Wednesday.After reaching the maximum values in March, the yield of ten-year US bonds fell slightly to 2.351%.The next round of negotiations between Russia and Ukraine gave hope that military operations should stop soon. This caused a wave of positivity in the financial markets.Meanwhile, in the Eurozone in March, the composite index of business and consumer confidence fell from 113.9 points to 108.5 points, which did not justify the forecasts of experts who expected a smoother decline to 109 points.Such a sharp deterioration in the indicator is primarily due to record inflation rates and the military conflict in Ukraine.On Thursday, traders expect the publication of data from the labor market of the United States and the Eurozone, information on the unemployment rate in Germany and the Eurozone, as well as a change in the number of applications for unemployment benefits.Pound/DollarThe currency pair is consolidating above the support border of the European session, around 1.3127. The course is strongly influenced by the news background. The key resistance level at the moment is 1.3202.Meanwhile, the yield of ten-year British bonds has approached the maximum values of March and is now at 1.668%.Today, the dollar is under pressure from other world currencies. According to the final data of the Ministry of Trade, in the last reporting quarter of 2021, the economy of the United States grew by 6.9% year-on-year, and not by 7%, as previously reported. Experts expected that the indicator would be revised upwards to 7.1%. As for consumer spending, in the fourth quarter it increased not by 3.1%, but by 2.5%. Imports soared by 17.9%, exports rose by 22.4%.Today, traders expect the release of British GDP, data from the labor market of the United States, information on the cost of residential real estate.GoldThe banking metal is still reacting to the movement of the US dollar. After a week of growth, gold gained a foothold near the $1,928 per ounce mark. Important information for the market is the US unemployment index for March. Strong data will help reduce the Fed's purchases of securities.The trading environment ended with a fall in the US stock market, due to negative dynamics from the financial, consumer services, and technology sectors. The Dow Jones fell by 0.19%, the S&P 500 index fell by 0.63%.Inflation continues to gain momentum. This month, consumer prices in Germany rose by 7.6% year-on-year, while analysts expected a rise of no more than 6.7%. In February, the indicator was 5.5%.In Japan, last month there was a decrease in retail sales by 0.8% compared to February 2021, which did not meet the forecasts of analysts who reported a decrease of 0.3%.CryptocurrenciesBTC is currently in the price range of $48051 – $46810 with a strong resistance level of $48051. Most likely, traders are waiting for information from the American labor market.According to the results of Wednesday, the capitalization of the crypto market amounted to 2.15 trillion US dollars, while on Tuesday there were figures of 1.90.The Opera browser now supports bitcoin and other digital currencies. Solana and BTC are currently only available in Opera for Android. Support in the crypto browser should appear within a few months.Cryptocurrencies may be affected by the publication of data from the US labor market, the release of the index of personal consumption expenditures, as well as the level of business activity in the manufacturing sector. 
Nutanix shares, a virtual server platform, are trading 40% below the maximum levels of 2021. Despite the growth of quotations in 2020 and 2021, the securities still look attractive from the point of view of long-term purchase. The value of the company (EV) is $6 billion, in 2022 revenue is expected to be $1.9 billion (+20% YoY), which means the forward EV/S ratio is 3. From current levels, securities may well rise to $40 in the coming months.The advantage of Nutanix is that the service allows you to configure a hybrid infrastructure. Not all companies can afford to switch completely to “cloud” storage, both due to regulations and security reasons, as a result of which intermediate options are in demand in the market, and Nutanix is ready to guarantee that customers will receive quality comparable to advanced “cloud" models. If the company used to sell equipment, now it offers users only software, which had an extremely positive effect on the margin: -0.2% against last year's -12.4%. Positive changes have also occurred in terms of FCF: $17.2 million versus $28.4 million.According to the results of the fourth quarter of 2021, revenue increased by 19% YoY, to $413.1 million. ARR increased by 55% YoY, to $1.04 billion, and ACV billings - by 37% YoY, to $218 million. This trend hints at a possible acceleration of growth rates in the coming months. 
What we are currently seeing on risky assets looks rather unnatural. US technology stocks and cryptocurrencies are growing amid a whole heap of problems related to geopolitical tensions, rising inflation, the expected tightening of the Fed's monetary policy, a possible recession of the American and global economy, and so on. Yes, investors could well get tired of the constant negativity, but this is not a strong enough reason for such a powerful rebound. That is why it is hard to believe in the long-term nature of the current growth.At the moment, BTC is near the upper limit of the correction channel, which was formed as part of the global downtrend that started in November 2021. Further price behavior may shed light on the medium-term outlook of the market. With the greatest probability, we should expect a breakdown of the upper limit, the removal of sellers' stop orders, the collection of liquidity and a trip to the south with renewed vigor.Indirectly, this possibility is evidenced by the situation with other cryptocurrencies. For example, the native Solana token is currently executing a “bearish” Wolf wave pattern, according to which quotes should go to a fall and fall in price by 30-40% from current levels. Something similar is observed for the rest of the top coins. At the same time, there is simply no positive news that can support the current growth and is not expected in the near future. 
Euro/DollarThe euro rose against the US dollar to the level of 1.1132, while the US currency weakened despite strong consumer confidence data. During the day, there was a positive trend in euro/dollar trading. At the moment, the pair is consolidating in the price range of the beginning of March 1.1143 – 1.1058.The yield of ten-year US bonds shows a slight decline to the level of 2.402%.The results of the negotiations between Russia and Ukraine in Turkey had a positive impact on the single European currency. The market revived after hearing about positive developments in resolving the conflict, including the preparation of an agreement on the neutrality and nuclear-free status of Ukraine.Earlier, the dollar was supported by growing expectations about the tightening of the Fed's monetary policy. Today, the market has already included a rate increase of 2 percentage points.The current situation contributed to an increase in the yield of ten-year US Treasuries to 2.5% on the first day of the week. However, by the end of the auction, the indicator decreased slightly. On Tuesday, the yield of Treasury securities increased to 2.472%.Among the main news for today is the GDP of the United States for the fourth quarter and the index of employment in the non–agricultural sector from ADP.Pound/DollarDuring trading on Tuesday, the pound and the US dollar stuck to the 1.3090 mark. The currency pair has not been able to break through the support boundary of the European session. If the exchange rate still manages to go beyond the level of 1.3082, the prospect of reaching the area of 1.3006 will open.In the yield of ten-year British government bonds, there is a slight decrease to the level of 1.6560%.The publication of important economic statistics led to a new strengthening of the dollar, the pound followed the American currency.This month in the United States, the consumer confidence index increased to 107.2 points relative to the revised February figures of 105.7 points. The data was obtained from the Conference Board research organization. The indicator exceeded the expectations of experts who predicted a decline in the indicator to 107 points.It is worth recalling that last autumn the level of consumer confidence in the country fell sharply amid the spread of new strains of coronavirus infection. At the moment, Americans are under pressure from the disruption in global supply chains and the consequences of the military conflict in the East.On Wednesday, the currency pair will be sensitive to US economic statistics – GDP for the fourth quarter and the non-agricultural employment index from ADP.GoldThe banking metal has turned around from the minimum values and at the moment continues to adhere to positive dynamics. In the case of another wave of growth, a promising target is the resistance limit of 1925 dollars per ounce.Trading Tuesday ended with a rise in the US stock market, due to strong signals from the consumer services, goods and technology sectors. The Dow Jones increased by 0.97%, the S&P 500 index rose by 1.23%.The news background of recent days has a positive effect on gold and liquid securities.Meanwhile, this month the level of consumer confidence in the United States rose to 107.2 points relative to the revised February figures of 105.7 points.In Japan, last month there was a decrease in unemployment to 2.7% from 2.8%, while experts predicted that the indicator would remain at January levels.CryptocurrenciesAt the moment, bitcoin is consolidating in the price range of $48051 – $46820, after an unsuccessful ride to break through the resistance limit of $48051. The recent increase in volatility in financial markets has forced investors to take a wait-and-see attitude. The publication of the GDP of the United States and data from the labor market can greatly affect financial assets, including cryptocurrencies.According to the results of Tuesday, the capitalization of the crypto market amounted to 2.11 trillion US dollars, while on Monday there were figures of 2.13.According to media reports, the MicroStrategy subsidiary received a loan from Silvergate Bank in the amount of US$205 million to purchase bitcoins.Meanwhile, the US Treasury proposed to approve a document for cryptocurrencies, according to which information on foreign accounts of citizens over 50 thousand dollars should be reported to the tax service. If approved, the requirements will take effect as early as 2023.The Hong Kong Stock Exchange will open a platform for trading security tokens called Diamond. 
Shares of eBay, an online marketplace, are trading 27% below the maximum marks of 2021. In the current conditions, investors want to deal with the most reliable companies that pay dividends and conduct programs to buy their own shares from the market. eBay not only fits these criteria, but also plans to significantly increase the amount of revenue, as a result of which it has a good chance of a tangible rebound from recent lows.Management adheres to the right strategy: instead of competing with Amazon on all fronts, eBay focuses on the most important, unique areas: collectibles, auto parts, electronics and others.At the moment, the platform earns only $1.1 billion through advertising (sponsored placements and promoted lots) - this is about 11% of total revenue. By 2023, it is planned to increase this figure to $2 billion. Another growth driver is the payment system. The platform launches its digital wallet in order to reduce dependence on the current payment service - PayPal.A few more important points: the amount of quarterly dividends was increased by 20% to $0.22 per share, and a $4 billion share repurchase program was introduced (about 12% of capitalization).However, not everything is as smooth as we would like. Compared to the previous quarter, the number of active buyers decreased by 5 million to 147 million in the fourth quarter. After the pandemic peaks, activity on the platform begins to decline, and with it the revenue indicator, which increased by 5% YoY to $2.61 billion over the period. At the current stage, it is necessary to observe how eBay will increase margins and EPS. 
Shares of electric car manufacturer Tesla have gained about 40% since mid-March and are now trading not so far from the maximum marks. There is a feeling that the rising cost of oil and raw materials is a positive driver for the company: most models were completely sold out in the United States by the end of 2022. In addition, Tesla had to start fighting with wholesale buyers in China, who bought cars in large batches and sold them at a markup. Now Chinese buyers are forced to sign an agreement that they will not resell the cars for 12 months after purchase.The February lows became a bear trap for the bulls, who believed that Tesla was waiting for the fate of other technology companies, whose shares sank by 50-70% from the highs. It should be understood that Tesla does not stand still and now it is a profitable company with decent FCF values. Moreover, the manufacturer does not indifferently observe the rise in the cost of raw materials for batteries, such as nickel and lithium, but increases the cost of products in order to maintain margin values.Compared to other major industry players like Volkswagen, General Motors and Ford, which have been suffering from supply chain disruptions for a long time, and now rising raw material prices have been added to the problems, Tesla looks pretty good. Moreover, the company has launched new plants in Texas and Berlin. In other words, there are all the prerequisites for further growth of stocks to the level of record highs and above. 
The securities of Pegasystems, a leading developer of enterprise software, fell 45% below last year's peaks. We can say that at the moment the company's shares should be considered as a long-term investment and there are reasons for this. Today, the company's value is 6.5 billion US dollars. In the current year, management expects a profit of $ 1.5 billion, therefore, EV/S is equal to 4.5. It is worth noting that these are quite small figures for a growing organization. Management predicts that by 2025 the total targeted market will be equal to $110 billion, which indicates good prospects for revenue growth. At the moment, PEGA is transitioning to a subscription model, which will also have a positive impact on the company's revenue. The results of the last reporting quarter of 2021 show a profit growth of only 6%, to $316.2 million. This situation has developed due to the fact that in the process of switching to a subscription, key customers began to pay in portions. Despite a loss of $26 million in 2020, in the last three months in 2021, the firm received revenue of $18.8 million. At the end of this year, revenue is projected to grow to $65-86 million. 
Euro/DollarDuring the versatile dynamics of trading, the euro turned against the dollar to the level of 1.0992.The yield of ten-year US bonds on Monday showed a slight decline to the level of 2.440%.Meanwhile, the chairman of the Federal Reserve Bank of New York, John Williams, suggested that the Fed could raise the rate by 0.5 percentage points in the near future. He also noted that central banks, before making decisions on monetary policy, should think about how certain actions may affect other countries.The consumer confidence index is expected to be released on Tuesday. The US currency may react this week to the publication of changes in the number of initial applications for unemployment benefits, the level of employment in the non-agricultural sector and GDP.Pound/DollarThe pound/dollar currency pair continues to adhere to a downward trend. Having reached the minimum level of 1.3081, there was an attempt to make a reversal and form a new price range amid the expectation of important news. In case of growth, the first target is the resistance area of 1.3146.The yield of ten-year British bonds has turned around from the maximum values and is currently fixed at 1.6210%.Trading Monday showed the strengthening of the US dollar against the British pound, the Japanese yen and the single European currency. This is facilitated by the stable growth of treasury securities, due to increased expectations of another Fed rate hike. At the moment, the market provides for an increase in the rate by 2 percentage points.The income of 2-year-old US Treasuries increased by 13 bps, 10-year-old - by 5 bps. The increase in rates contributes to an increase in purchasing activity around the US currency.Today, the pound will be sensitive to the volume of mortgage lending. Among the important economic indicators on Tuesday are the PMI in the manufacturing sector, GDP, the BRC retail price index, the change in the value of residential real estate Nationwide.GoldAt the moment, the banking metal has dropped to the trading framework of last week, continuing to adhere to the downward trend. A further decline may lead to reaching the mid-March levels of $1,906 per ounce.Trading Monday ended with the growth of the US stock market on the background of positive dynamics from the sectors of technology, consumer goods and services. The Dow Jones approached a one-month high, rising by 0.27%, the S&P 500 index rose by 0.71%. Gold held up negatively.The dynamics of trading is still affected by the news background. The weakening of the yen was influenced by the growing divergence in the monetary policy of the Bank of Japan with other Central Banks.Meanwhile, on Monday, there was an increase in the yield of 10-year Japanese bonds to 0.25%.The downside risks of the global economy are still very high. According to S&P Global Ratings, due to record inflation rates in the UK, economic growth will slow down to 3.5% this year.CryptocurrenciesBTC continues to adhere to positive dynamics. In the case of another wave of growth, the prospect of reaching the resistance area – 49511 and 50611 will open.According to the results of Monday, the capitalization of the crypto market amounted to 2.13 trillion US dollars, while on Sunday there were figures of 2.10.According to media materials, the association “Virtual Assets of Ukraine” with the support of deputies proposed to make the country a full member of the European Blockchain Partnership. The request was made in the form of a letter, among the addressees are the head of the Administration of the President of the European Commission, Bjorn Siebert, as well as the President of the European Commission, Ursula von der Leyen. The document says that blockchain technologies can greatly help in the restoration of Ukraine after the end of hostilities.Meanwhile, Fed Governor Chris Waller believes that blockchain is overvalued, and some CBDC studies are very similar to commercials.