4-Day Work Week? & WHM💁♀️
Read Time: 6 Minutes
GM Friends & Investors,
Happy first post of March.
Did you know that it's the start of Women's History Month?
During this month, we celebrate the achievements of women throughout American history and recognize the important contributions they make in our society today.
Highlights:
💰The 4-Day Work Week?
💁♀️ Women’s History Month
📉Demand Drop Incoming
S&P 500
As we begin the new month of March, the stock market started on a steady note. The Nasdaq and S&P 500 saw some minor declines while the Dow managed to make some small gains. It appears that traders are currently attempting to bounce back from a less successful February.
This week, a number of major retailers including Target (TGT), Best Buy (BBY), and Macy's (M) reported their earnings and shed some light on current consumer trends. The reports indicated that shoppers are holding back on their purchases, particularly for non-essential items like clothing, electronics, and home improvement products.
The reason for this shift is due to inflation, which has caused prices to rise and dig deeper into everyone's pockets. Instead, consumers are now opting to spend their money on essential items like groceries and household basics.
As a result of this change in spending behavior, several retailers are predicting a decrease in sales for the current year and the near future.
Economy
Despite inflation, the percentage of Americans who are living paycheck to paycheck has decreased to 60% as of January, according to a recent report.
This change is due to consumers cutting down on unnecessary spending and giving themselves more financial flexibility.
According to Anuj Nayar, an executive at LendingClub, consumers have come to accept that inflation is now a part of their daily lives.
The 4-Day Work Week?
In other news, Rep. Mark Takano is reintroducing a bill that proposes reducing the standard work week in the U.S. to just four days.
This idea has been gaining traction in Washington, as other countries around the world have experienced improved productivity with a shortened work schedule.
Womens History Month
Let's take a moment to celebrate a true trailblazer in the finance world for Women's History Month. This week, we're shining a spotlight on Maggie Lena Walker!
Back in 1903, Maggie broke down barriers and shattered glass ceilings as the first woman and first African-American woman to found and lead a chartered bank in the United States. Her bank, St. Luke's Penny Savings Bank, encouraged women and African-Americans in the segregated south to save and expand their economic power.
Thanks to Maggie's inspiring leadership, St. Luke's thrived and boasted over 50,000 members by 1924. Even during the challenging times of the Stock Market Crash of 1929, St. Luke's remained one of the few banks to survive.
Today, St. Luke's Penny Savings Bank still operates in Richmond, Virginia, a testament to the legacy of Maggie Lena Walker and her groundbreaking achievements.
Crypto
Crypto Bank's Future in Jeopardy
Silvergate Capital (SI), a major player in the cryptocurrency industry, is in trouble.
The bank, which lends money to crypto firms, recently informed the Securities and Exchange Commission that it won't be able to file its annual report on time.
The revelation has sparked fears that the bank may not be able to stay in business, causing its shares to plummet by over 55%. This year alone, the stock has tumbled by 67%. Will the bank be able to recover or is it headed towards a collapse?
Senators Demand Answers from Binance
Binance, the world's largest cryptocurrency exchange, is under fire.
A group of senators are demanding answers from the company after allegations of money laundering and sanctions evasion surfaced. The senators have given Binance until mid-March to respond to their list of demands, which includes information on the exchange's finances and compliance standards.
Will Binance be able to prove its innocence or will the allegations lead to its downfall?
Real Estate
Mortgage Demand Drops
Mortgage applications to buy or refinance homes have dropped for three consecutive weeks, hitting a 28-year low, according to the Mortgage Bankers Association’s index.
Compared to the previous week, applications to buy a home dropped 6%, while applications to refinance a home loan fell 6%.
The decline is attributed to rising inflation and rates, along with employment and economic activity data suggesting that inflation may not be cooling as quickly as anticipated.
“Data on inflation, employment, and economic activity have signaled that inflation may not be cooling as quickly as anticipated, which continues to put upward pressure on rates,” said Joel Kan, an MBA economist.
Thank you for reading! I’ll see you next Saturday!
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