US Stocks Face Longest Slump of 2025 as Decline Stretches On

Posted on August 21, 2025 by Olumide Adesina

US stocks are on track to record their longest decline in 2025, following Walmart’s sell-off, with a fifth consecutive day of losses. revealed a rare profit miss, unemployment claims increased slightly, and a Fed official downplayed the necessity of a short-term interest rate cut.

The S&P 500 Index had dropped 0.7 percent in New York on Thursday, with the consumer discretionary and staples sectors leading the way. The largest retailer in the world, Walmart, saw a 5% decline in its stock after its profits missed forecasts for the first time in three years.

There was a 0.8 percent decline in the Nasdaq 100 Index. There was a 0.6 percent decline in the blue-chip Dow Jones Industrial Index.

According to official data, the number of US unemployment benefit applications increased to its highest level since June. At the same time, existing home sales increased, and US manufacturing grew at its fastest rate in three years.

The maturity most susceptible to changes in Fed policy expectations, two-year Treasuries, saw an increase in yields. Megacap tech stocks have caused major indexes to plummet.

Markets Stumble: S&P 500 Down 4 Days, Nasdaq Hit by Tech Sell-Off

Posted on August 21, 2025 by Olumide Adesina

The Nasdaq Composite and S&P 500 declined amid the tech blood bath.. Mixed retail earnings and the latest Federal Reserve meeting minutes also influenced investor sentiment. The tech-heavy Nasdaq dropped 0.67 percent, closing at 21,172.86, while the broader market index fell 0.24 percent to end at 6,395.78. On Wednesday, the S&P 500 experienced its fourth consecutive loss, and the Nasdaq had its second straight decline.

The Dow Jones Industrial Average, however, rose 16.04 points, or 0.04 percent, ending at 44,938.31. Several well-known semiconductor and tech companies continued to generate profits for investors, fueling concerns over their high valuations and the long-term prospects of the artificial intelligence market.

The session concluded with Nvidia slightly down, while Broadcom and Advanced Micro Devices each lost about 1 percent. Intel’s stock dropped roughly 7 percent, and Palantir declined about 1 percent. Major tech giants—Apple, Amazon, Alphabet, and Meta dipped in the mid-week session.

Central bankers expressed concerns about inflation and the labor market, but mostly agreed that it was too early to lower interest rates, according to minutes from the Federal Reserve’s July meeting released on Wednesday. For the first time since 1993, two voting Fed officials dissented, with Fed Governors Christopher Waller and Michelle Bowman voicing disagreement. At that time, policymakers maintained steady interest rates.

“In general, participants identified risks to both sides of the Committee’s dual mandate, with a focus on upside risk to inflation and downside risk to employment,” the minutes stated.

Although “the majority of participants judged the upside risk to inflation as the greater of these two risks,” a few believed that the employment risk was more significant. Investors will be watching for clues about the future direction of interest rates in the upcoming minutes and Fed Chair Jerome Powell’s remarks on Friday.

PLTR: Palantir’s Market Crash, $73 Billion Erased in Six Days

Posted on August 21, 2025August 21, 2025 by Olumide Adesina

Palantir lost $73 billion in market value throughout its six-session losing streak, giving short sellers who bet against this year’s Wall Street powerhouse a rare victory after setting a record in August. 12, The data analysis and software company’s stock has dropped more than 17%.

This week is expected to be the worst for PLTR since the tariff saga in early April of this year, marking their longest losing run since April 2024.

According to data from S3 Partners LLC, short sellers have made over $1.6 billion in profits since the drop. S3 data indicates that traders have wagered $4.05 billion against Palantir this year, and that amount hardly scratches the surface.

After rising 106%, the stock remains the benchmark’s largest gainer for 2025, despite performing the worst in the S&P 500 Index over the last six sessions.

Short interest as a percentage of Palantir’s float, which indicates the number of shares available for borrowing and wagering, has decreased from almost 5% a year ago to roughly 2%. As the stock increased, this implies that short sellers covered their positions, according to Matthew Unterman, managing director of S3 Partners LLC.

Gold Muted as Jackson Hole in Spotlight

Posted on August 21, 2025August 21, 2025 by Olumide Adesina

Gold remained stable on Thursday as the metal awaited clues regarding the Federal Reserve’s policy outlook ahead of the annual economic symposium at Jackson Hole in Wyoming.

The precious metal traded at $3,380 per ounce at the spot market. The bullion asset eased following Tuesday’s sharp drop as demand for immediate safe havens decreased due to improving risk sentiment.

There are now increased expectations for a diplomatic solution to the Russia-Ukraine conflict after US President Donald Trump, Ukrainian President Volodymyr Zelenskyy, and leading European leaders met in Washington.

Trump suggested that a trilateral summit between him, Russian President Vladimir Putin, and Zelenskyy could be in the works, and the market is now focused on that possibility. Moscow has not yet committed to these discussions. According to Russian Foreign Minister Sergey Lavrov, any potential meeting must be “prepared gradually,” starting with experts and progressing through official diplomatic channels.

Although no specific timeframe has been established, the renewed involvement has improved the overall perception of risk. Still, with some safe-haven positioning remaining, ongoing geopolitical uncertainty continues to give Gold a slight buffer

Traders are also awaiting the release of the minutes from the FOMC’s July meeting, which could shed light on internal policy debates. Christopher Waller and Michelle Bowman, who preferred a 25-basis point (bps) rate cut over keeping rates steady, made the meeting notable as the first since 1993 with two dissenting votes from the Board of Governors. The minutes may reveal whether internal divisions at the Fed and a shift toward easing are gaining momentum.

XRP needs a Jailbreak or might fall to $2.5 if Support fails

Posted on August 21, 2025August 21, 2025 by Olumide Adesina

XRP is trading below $3 and testing the $ 2.90 support; market pressure may increase, leading to a decline toward $2.50 or even $2. For trend confirmation, monitor the $2.90 support.

The altcoin has tested support at $2.90 as it falls below $3. As market pressure grows, a drop to $2.60 or $2 could happen if $3.30 remains unreclaimed.

The market’s confidence was shaken when XRP recently dropped below $3. Bulls need to quickly recover $3.30 or risk losing momentum to sellers in upcoming sessions, as bears aim for $2.60 and even $2. The current price of XRP is $2.95, down approximately 5.5% for the day, still trapped between the $3.30 resistance and the $2.90 support.

Until bulls convincingly retake $3.30 with strong volume, the short-term trend remains bearish. Since mid-August, $2.90 has acted as a temporary floor. A clear break below $2.90 could accelerate selling toward $ 2.60. Earlier this year, $2.00 was a key zone for accumulation.

Breakdowns could confirm higher downside risk with volume spikes. Reduced buyer participation and liquidity result from market cap contraction and lower risk appetite. The slowing momentum and sideways movement in XRP’s technical indicators suggest macro sell pressure might push the price toward lower support levels.

Dollar-cost averaging into the $2.55–$2.00 zones is a strategy for long-term holders who practice disciplined position sizing and seek confirmation through stronger market breadth or reduced volatility. XRP’s price implications below $3.

Highlight a vulnerability, with key support around $2 to $90. Traders should watch the $2.60–$2.00 and $3.30 levels for bullish signals. If market conditions change, COINOTAG will track these levels and provide updates.

U.S. Government Plans Equity Stakes in Micron, TSMC to Bolster Chip Industry

Posted on August 20, 2025 by Olumide Adesina

U.S Commerce Secretary Howard Lutnick is promoting a plan that would allow the government to acquire equity stakes in Intel and possibly other chipmakers like Micron and TMC in exchange for grants under the $52 billion CHIPS and Science Act.

The Trump administration is reshaping the program, which was first started under President Joe Biden to promote domestic semiconductor manufacturing, into a model that links taxpayer funding to direct ownership.

According to a previous Bloomberg report, Lutnick has already begun talks with Intel for a possible ten percent government stake. Such a holding would be worth approximately $11 billion at Intel’s current market value, which is about equal to the $101 billion in CHIPS Act grants the company has received. These grants include $3 billion to strengthen national security-related semiconductor capacity and $7.9 billion to support its domestic investment plans.

SoftBank’s most recent investment in Intel matched the US government’s ownership stake in the company.

The Japanese corporation stated it will become the fifth-largest shareholder in Intel with a $2 billion investment in the chipmaker. According to SoftBank CEO Masayoshi Son, “this strategic investment reflects our belief that advanced semiconductor manufacturing and supply will further expand in the United States, with Intel playing a critical role.”. Supported by the US government and SoftBank, Intel’s stock increased 7% on Tuesday.

TGT: Target Stock Dips as Board Picks Company Veteran for Top Role

Posted on August 20, 2025 by Olumide Adesina

Target’s stock (TGT) fell 7% and was among the largest decliners in the S&P 500 on Wednesday after the struggling retailer, despite showing signs of improvement in the second quarter, replaced its CEO with a veteran of the company. Michael Fiddelke, a longtime employee, will replace Brian Cornell at Target in February, the company announced.

Cornell will take on the role of executive chair of the board after serving in that capacity for eleven years.

Fiddelke recently launched and took charge of the Enterprise Acceleration Office, which Target stated was intended to change the way the company functions by “removing complexity, expanding technology, and enabling more flexibility so the team can move faster to improve performance and drive long-term growth.”

“Michael is the right leader to return Target to growth, refocus and accelerate the company’s strategy, and reestablish Target’s position as a leader in the highly dynamic and fast-moving retail environment,” said Christine Leahy, an independent board member, who stated that the board has been deliberating over a succession plan for several years

Sales decreased 0.9 percent year over year to $25.21 billion, but that was higher than what Visible Alpha’s survey of analysts predicted.

The $2.05 adjusted earnings per share (EPS) were consistent with forecasts. According to Cornell, the results “showed encouraging signs of recovery, including disciplined cost management in a challenging retail environment and improved traffic and sales trends, particularly in our stores.”

MicroStrategy’s Q2 2025 Stumble: Risks Exposed, Redemption in Sight?

Posted on August 20, 2025 by Olumide Adesina

MicroStrategy (MSTR), now referred to as “Strategy,” has sparked considerable discussion in the investment community.

The company’s Bitcoin-focused treasury strategy has historically yielded impressive profits, but the most recent quarter revealed a significant earnings miss. The earnings per share (EPS) were reported at -$16.49, which was 575% lower than the anticipated -$2.44.

This outcome, combined with the stock price remaining stagnant despite Bitcoin reaching all-time highs, raises questions about the viability of the company’s business model and the legitimacy of its turnaround strategy.

MicroStrategy’s results illustrated a growing disconnect between its traditional operational performance and its Bitcoin-driven financial metrics In the second quarter of 2025. The unrealized gains from the company’s 628,791 Bitcoin holdings accounted for all of the $14.03 billion in operating income and $10.02 billion in net income, while software revenue contributed a mere $114.5 million.

Earnings are closely tied to fluctuations in Bitcoin’s price due to fair value accounting under ASU 2023-08. Overnight gains of $6.3 billion could be wiped out by a $10,000 decline in Bitcoin’s price. Furthermore, MicroStrategy’s aggressive capital-raising approach, which included $102.5 billion in Q2 through IPOs and ATMs, has expanded its equity base but slowed the growth of Bitcoin Per Share (BPS). The company’s ability to maintain a sustainable accumulation of Bitcoin is under pressure, as BPS has only increased by 25% year-to-date.

MicroStrategy updated its FY2025 guidance in response to the earnings miss, estimating $34 billion in operating income and $80 in diluted EPS, if Bitcoin closes the year at $150,000.

These goals, however, are predicated on three speculative hypotheses: Bitcoin’s Price Trajectory: The year-end price of $150,000 represents a 38% increase from the Q2 close of $107,752. This is attainable but by no means assured, according to historical volatility.

Gold’s Uptrend Pauses as Markets Anticipate Fed Guidance

Posted on August 20, 2025 by Olumide Adesina

XAU/USD remains in a bid tone; however, the fundamental environment calls for bulls to exercise caution before setting up for further gains. Despite the increasing consensus that the Federal Reserve (Fed) will resume its rate-cutting cycle in September, the US Dollar (USD) is unable to capitalize on the day’s gains.

The safe-haven precious metal benefits from this, as well as a minor decline in the global risk sentiment.

Bulls looking to position themselves for potential short-term appreciation should exercise caution, especially if the 4-hour or daily charts show slightly negative technical indicators. An upward movement is likely to encounter strong resistance near the 200-period Simple Moving Average (SMA) on the 4-hour chart, currently situated in the $3,347 to $3,348 range. The next level of interest is the overnight swing high, which is approximately $3,358. If the XAU/USD pair surpasses this level, it may rise to the $3,372 to $3,374 region. Should momentum continue, the gold price could recover to the $3,400 mark before attempting to test the monthly peak, located in the $3,408 to $3,410 range.

The US dollar reached its highest level in over a week, while gold dropped to a 3-week low.

This movement occurred as traders continued to dismiss the likelihood of a significant interest rate cut by the Federal Reserve in September. This shift followed the release of the US Producer Price Index last Thursday, which indicated a rise in price pressures, showing the fastest monthly increase since 2022

This week, diplomatic efforts to resolve the long-running conflict between Russia and Ukraine have intensified, seemingly weakening the demand for safe-haven currencies. Preparations are underway for a bilateral meeting between Ukrainian President Volodymyr Zelensky and Russian President Vladimir Putin, as reported by White House press secretary Karoline Leavitt on Tuesday. Additionally, Zelensky, along with EU and UK leaders, was previously invited to speak with US President Donald Trump.

Later today, the Federal Reserve will release the minutes from its July policy meeting. The speech by Fed Chair Jerome Powell at the Jackson Hole Symposium may offer further insights into the central bank’s policy position.

The FedWatch Tool from the CME Group indicates that traders are pricing in a higher likelihood that the Fed will begin its rate-cutting cycle in September and reduce borrowing costs by 25 basis points twice by the end of the year. Trump, meanwhile, called on the Fed to immediately cut borrowing costs and again chastised Powell on Tuesday for being too late in reducing rates. Trump asserted that the housing market was now at risk due to Powell’s reluctance to lower rates.

Ripple: XRP Tanks as Whales Unload Holdings

Posted on August 20, 2025August 20, 2025 by Olumide Adesina

Investors withdrew from the altcoin market, leading XRP to fall another 6% ahead of Powell’s speech at Jackson Hole on Friday.

XRP declined by 13% over the past six days. Over the last day, XRP dropped below several key support levels. The token moved below the 50-day Simple Moving Average (SMA), the $2.95 level, and the lower boundary of a symmetrical triangle pattern. If the 50-day SMA doesn’t recover, XRP could drop to the $2.78 support level

Further losses might be limited by the $2.6 level below if the decline continues. Large investors holding between 10 and 100 million XRP tokens reduced their holdings by approximately 460 million XRP over the past week. Meanwhile, smaller whale wallets holding 1–10 million XRP added 130 million tokens to their total holdings. This shows that major XRP holders have differing outlooks. Meanwhile, since mid-January, over 93% of the circulating XRP supply has been in profit.

The average profit for holders of remittance tokens has consistently remained above 80 percent since the strong uptrend last November following President Trump’s election victory.

The token has benefited from favorable regulatory developments during Trump’s administration and the resolution of Ripple’s more than four-year legal dispute with the Securities and Exchange Commission (SEC).

However, if a bearish market shock occurs, such high profit levels could trigger significant profit-taking, especially now that the SEC’s case against Ripple is resolved and positive crypto regulations are priced in.

Powell’s speech may significantly influence how investors respond to these large profits on Friday, as market participants focus on Jackson Hole.