Evolving Times | Weekly Newsletter
Last week, equities continued their upward momentum as major indices inched closer to the all-time highs set in July. The market was buoyed by optimism in anticipation of the Federal Reserve's annual economic meeting in Jackson Hole, Wyoming. On Friday, Federal Reserve Chair Jerome Powell sent a straightforward message to markets in a key speech, saying "the time has come" for the US Fed to cut interest rates. This speech contrasted previous ones, where Powell repeated that more economic data was needed to justify cuts. In response, equities jumped and U.S. Treasury yields declined as the likelihood of a rate cut in September becomes more certain.
Gold also made headlines, breaking through record highs driven by robust demand from both ETFs and central banks. The combination of easing monetary policy expectations and strong asset performance suggests an exciting environment for investors.
We want you to stay in tune with the movements in the markets, so we have carefully selected these articles for you. As always, we hope you enjoy and welcome your feedback.
Evolve in the news! Weight loss drug war heats up.
Evolve Global Healthcare Enhanced Yield Fund?(Ticker: LIFE)
The field for weight loss drugs has become more crowded, but US-based Eli Lilly (NYSE: LLY) and Denmark’s Novo Nordisk (NYSE: NOVO) still have a big lead even as challengers loom on the horizon. Elliot Johnson, chief investment officer of Toronto’s Evolve ETFs, spoke to Adam Mayers to provide some insight. Mr. Johnson feels the big weight loss story is the development of pills which may still be some years away.
Fed Chair Powell indicates interest rate cuts ahead: ‘The time has come for policy to adjust’.?
Evolve S&P 500? Enhanced Yield Fund?(Ticker: ESPX)
With markets awaiting direction on where monetary policy is headed, Powell focused as much on a look back at what caused the inflation that led to an aggressive series of 11 rate hikes from March 2022 through July 2023. However, he did note the progress on inflation and said the Fed can now turn its focus equally to the other side of its dual mandate, namely to make sure the economy stays around full employment.?“The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook, and the balance of risks,” says Powell.
How Google makes custom chips used to train Apple AI models and its own chatbot, Gemini.?
Evolve Artificial Intelligence Fund?(Ticker: ARTI)
Inside a sprawling lab at Google headquarters in Mountain View, California, hundreds of server racks hum across several aisles, performing tasks far less ubiquitous than running the world’s dominant search engine or executing workloads for Google Cloud’s millions of customers. Instead, they’re running tests on Google’s own microchips, called Tensor Processing Units, or TPUs.
A gold bar is now worth $1 million.
Evolve Global Materials & Mining Enhanced Yield Index ETF?(Ticker: BASE)
The price of a bar of gold is worth a million dollars for the first time, thanks to soaring prices for the precious metal. The price of spot gold reached more than $2,500 per troy ounce Friday, hitting a record high. Spot gold prices have shot up more than 20% year to date. Higher gold prices can be a sign that investors expect the Federal Reserve to cut its benchmark interest rate soon.
Netflix stock secures record close as company touts ad sales ahead of NFL, WWE debuts.
Evolve FANGMA Index ETF?(Ticker: TECH)
Netflix's successful upfront negotiations, a time when networks and media companies pitch to secure ad commitments for upcoming series and events, comes as the platform leans into live sports and doubles down on its biggest shows.?In last month's earnings release, Netflix said it's making "steady progress scaling [its] ad business" with ad-tier memberships growing 34% quarter on quarter, boosted in part by the removal of the basic plan in certain markets.
Crypto industry accounts for almost half of corporate donations in 2024 election, report says?
Evolve Cryptocurrencies ETF?(Ticker: ETC)
As the 2024 U.S. elections reach their home stretch, crypto companies are opening their wallets to try and influence the results.?Nearly half of all the corporate money flowing into the election has come from the crypto industry, according to a report this week from the nonprofit watchdog group Public Citizen. The sum, approximately $119 million, was raised from a mix of contributors, with Coinbase and Ripple accounting for more than 80% of the donations.
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About Evolve ETFs
With $7 billion in assets under management, Evolve is one of Canada’s fastest growing ETF providers since launching its first ETF in September 2017. Evolve specializes in bringing innovative ETFs to Canadian investors. Evolve’s suite of ETFs provide investors with access to: (i) index-based income strategies; (ii) long term investment themes; and (iii) some of the world’s leading investment managers. Established by a team of industry veterans with a proven track record of success, Evolve creates investment products that make a difference. Learn more at?www.evolveetfs.com
Disclaimer
The contents of this newsletter are not to be used or construed as investment advice or as an endorsement or recommendation of any entity or security whatsoever. The opinions in these articles are those of the author and the publication and do not necessarily represent the opinions of Evolve Funds Group Inc., its partners, service providers, employees or associates.? ?
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