Daily General Analysis
January 31, 2025
When diving into current news, some fascinating trends and significant movements in the international financial market catch the eye. Among them, the stellar performance of Apple, the significant increase in revenue for Kraken during the cryptocurrency boom in 2024, the threat of Donald Trump to tax BRICS at 100% if they abandon the dollar, Nvidia facing concerns about AI demand, and the growth of Apple's Services sector.
Apple once again surpasses expectations, recording its best quarter ever with $36.3 billion in profit and $124.3 billion in revenue, driven by both hardware innovations and the explosive growth of its services division, which now has over 1 billion subscriptions and nearly $100 billion in revenue. This reaffirms Apple's strength not only as a device manufacturer but also as a giant in the digital services sector.
Kraken, one of the leading cryptocurrency exchanges, saw its revenue more than double from $671 million to $1.5 billion during the cryptocurrency boom in 2024, demonstrating the increasing adoption of cryptocurrencies and the crucial role of exchanges in this ecosystem.
Trump's threat to BRICS to impose 100% tariffs if they abandon the dollar highlights geopolitical tensions that could have significant implications in the global market, especially regarding trade relations and the dollar's hegemony as the world's reserve currency.
Nvidia continues to play a crucial role in the AI industry, with demand for its AI hardware projected to exceed $274 billion. With the release of OpenAI's o3 model, the need for high computing power further emphasizes Nvidia's relevance to AI advancement.
### Insights and Investment Strategies:
1. Technology and Innovation: With Apple setting financial records and Nvidia positioning itself as an essential component in the AI production chain, it is evident that leading technology and innovation companies continue to offer substantial investment opportunities. Suggestion: Apple (AAPL) and Nvidia (NVDA) stocks.
2. Cryptocurrencies and Exchange Platforms: Kraken's success during the 2024 cryptocurrency boom indicates the potential for continued growth for crypto exchanges. Suggestion: Invest in well-established exchange platforms and explore opportunities in blockchain infrastructure and projects that provide innovative solutions in decentralized finance (DeFi).
3. Precious Metals as Safe Haven: Faced with geopolitical and economic uncertainties, as indicated by Trump's tariff threat and the ongoing appeal of gold as a safe haven, investing in gold or gold ETFs can offer effective protection against market volatility. Suggestion: Gold ETFs such as GLD or IAU.
4. Geopolitical Diversification: The tension between the US and BRICS underscores the importance of diversification across different geopolitical regions to mitigate risks. Suggestion: Explore emerging markets and invest in funds that offer diversified exposure to countries outside the US-China axis.
With these trends in mind, investors should remain agile, informed, and ready to adjust their portfolios as the global landscape evolves. While significant opportunities are present, geopolitical and market risks require a cautious and thoughtful approach.
