Category: Stock Market

Meta Under Fire: EU Set to Investigate WhatsApp’s AI Overhaul

Posted on by Olumide Adesina

The European Union intends to begin looking into how Meta Platforms Inc. added AI capabilities to WhatsApp this year, according to the Financial Times, in what may be the most recent investigation into Big Tech’s hegemony over the local internet landscape.

The European Commission is getting ready to launch an investigation into how the US company incorporated its “Meta AI” system into the well-known messaging service.

It also stated that the agency might announce the investigation in the next few days. What part of the rollout, which started in March, the agency might be focusing on is unknown. According to the FT, the commission’s upcoming investigation is grounded in conventional antitrust law rather than the Digital Markets Act. The Trump administration views that broad legislation as a set of guidelines for companies like Alphabet, Google, and Apple Inc. — as the area’s effort to limit the US technology’s impact in Europe.

The EU has in recent years ramped up pressure on Big Tech, seeking to curb potential market abuses as the US tech titans’ clout and digital footprint expanded. US President Donald Trump has long denounced EU antitrust and technology regulations that hinder US businesses

The American president threatened to impose fresh tariffs and export restrictions on advanced technology and semiconductors in retaliation to other nations’ digital services taxes that hit American technology companies.

JPMorgan: MSCI Exclusion Risk for Strategy Already Priced In

Posted on by Olumide Adesina

JPMorgan states that MicroStrategy’s stock has already factored in the risk of being excluded from major equity benchmarks.

 

The upcoming MSCI decision could serve as a potential upside catalyst, even though a removal would still trigger passive outflows.

MicroStrategy, the largest corporate holder of Bitcoin, was already facing challenges because of declining Bitcoin prices. With approximately $60 billion in cryptocurrency and limited cash reserves, concerns about selling off MicroStrategy’s digital asset holdings have increased, adding to the selling pressure in a fragile crypto market characterized by thin liquidity and muted demand.

JPMorgan previously estimated that up to $2.8 billion could leave the market if index-tracking funds are compelled to divest. However, the bank believes that most of the negative impact has already been reflected in the stock price. Following a sharp selloff, MicroStrategy shares dropped around 20% after the report and are currently trading near the value of the company’s Bitcoin holdings.

In a note, analysts led by Nikolaos Panigirtzoglou commented, “In our opinion, a decision to remove MicroStrategy from MSCI indices would have limited downside for both MicroStrategy and Bitcoin, as this potential index exclusion has already been more than priced in.” They also noted that if the MSCI’s decision on January 15 is favorable, both MicroStrategy and Bitcoin could see a significant rebound to their levels before October 10.

 

A proposed rule targeting companies with digital asset holdings exceeding 50 percent of total assets may result in MicroStrategy, formerly known as Strategy, being removed from indices such as MSCI USA. The decision is expected by January 15. MicroStrategy has raised tens of billions of dollars through both equity and fixed-income securities. Co-founder Michael Saylor began purchasing Bitcoin in 2020 as a hedge against inflation. However, with stock prices and cryptocurrency values plunging, liquidity concerns have intensified, making it increasingly difficult for MicroStrategy to raise additional capital.

Oracle’s AI-Fueled Plunge: From $300+ Peak to $200 Reality

Posted on by Olumide Adesina

Oracle Corporation (NYSE: ORCL) has faced downward pressure since reaching a peak of $327.76 on September 10. The stock has dropped by more than 20% from that peak, impacting its strong gains this year

Oracle’s Stock Surge Highlights Investor Confidence in Cloud Strategy

Oracle’s recent decline in stock value reflects broader market concerns regarding the high valuations of AI-related companies, as its forward price-to-earnings (P/E) ratio exceeds 33. The company projects revenues of $166 billion from cloud infrastructure and $20 billion. Investors adopted a “sell the news” mentality, raising questions about the sustainability of these forecasts.

Oracle’s fundamentals remain solid. The company experienced  52% growth in cloud infrastructure and has $455 billion in remaining performance obligations (RPO), largely due to its partnership with OpenAI. Currently, the stock is trading at 13.9 times projected earnings for the end of this decade, leading some investors to view the decline as a potential buying opportunity.

Analysts predict an average stock price of $253 for November 2025, with a possible low of $212 if enthusiasm for AI diminishes. The stock’s price-to-free cash flow (P/FCF) ratio of 15.44 suggests it may be undervalued compared to historical averages. Overall, the recent drop indicates that investors are reassessing the profit growth expectations to justify current valuations.

Oracle has significantly benefited from the surge in AI infrastructure. The company recently announced a five-year deal worth over $300 billion with OpenAI for access to AI chips. After reporting $455 billion in remaining performance obligations—a 359% increase from the previous year—Oracle’s stock enjoyed its best day since 1992 following its September earnings report. Additionally, Oracle confirmed a cloud agreement with Meta and disclosed a commitment of $65 billion in cloud infrastructure during the current quarter.

 

Furthermore, Oracle indicated that its adjusted gross margins on AI infrastructure would be between 30% and 40%, surpassing the projections of some analysts.

Ripple: XRP Hits Extreme Oversold – Is This Your Golden Entry Point?

Posted on by Olumide Adesina

XRP is now priced at $2.20 after losing over 3% this week. The market’s focus has shifted to whether this situation may signal a brief recovery. The asset is now near technical levels that have previously triggered rebounds, and trading volume remains high. According to the Stochastic RSI, recent charts indicate that XRP is entering oversold territory, with the current weekly reading at 2.73, which is within the lower range.

Historically, sharp upward movements—such as gains of 53%, 216%, and 591%—have often followed previous dips to this level. Traders are closely monitoring the price structure to see if it can change in favor of a rebound, even though current indicators suggest less downward momentum. A bullish divergence has appeared on the daily chart, with the Relative Strength Index (RSI) showing higher lows while the asset itself makes lower lows. This signal, noted by EGRAG CRYPTO, often emerges when downward pressure starts to ease. However, for confirmation, XRP would need to rise and regain its previous strength.

 

Data from CryptoQuant indicates that XRP experienced significant inflows to Binance over the past month. Exchange wallets saw substantial increases in deposits on October 25 and November 15, with the largest single deposit exceeding 70 million tokens. These events occurred during a period of steady price decline, raising concerns about potential additional selling pressure. Typically, increased inflows to exchanges can lead to heightened selling pressure. The timing of the largest inflow suggests that some holders may have sold their positions, contributing to the current correction.

 

Ripple’s CTO, David “JoelKatz” Schwartz, said the network’s next phase may require a reevaluation of how value flows across its infrastructure. This discussion has drawn renewed attention to the design of the XRP Ledger (XRPL). Developers and community members are examining the growing role of the XRPL, driven by new tokenization use cases and the ongoing expansion of decentralized finance applications.

Forex Signals December 4: EU Inflation, Then Kroger, TD, BMO, CIBC Bank Earnings Preview

Posted on by Skerdian Meta

A busy earnings day features key Canadian banks alongside U.S. retail giant Kroger, offering fresh insight into financial stability and consumer demand heading into year-end. Continue reading “Forex Signals December 4: EU Inflation, Then Kroger, TD, BMO, CIBC Bank Earnings Preview” →

Is It Time to Buy Microstrategy as the MTSR Stock and BTC Rebound 20% Off Support, Avoiding MSCI Delisting?

Posted on by Skerdian Meta

MicroStrategy’s quick comeback this week demonstrates how intimately the company is associated with the volatile Bitcoin market and the changing regulatory narratives.
Continue reading “Is It Time to Buy Microstrategy as the MTSR Stock and BTC Rebound 20% Off Support, Avoiding MSCI Delisting?” →