Bitcoin Lower After Snapping ETF Inflow Streak — Market Talk

1159 ET - A streak of investor capital coming back into bitcoin ETFs was snapped on Friday, according to data from CoinGlass. An outflow of $201.9 million was recorded for bitcoin ETFs on Aug. 28, breaking a two-week streak of inflows into those ETFs. ETF activity has been an indicator of institutional investor interest in cryptocurrencies, which has been low through the first-half of the year as money flowed into more lucrative assets like AI and semiconductor stocks. Investor risk appetite has since changed, making assets like bitcoin and gold more attractive to institutional money - although bitcoin appears to have found resistance around the $80,000 mark. It's down 0.1% to $78,530. ([email protected])1123 ET - Algonquin Power & Utilities' sale of its stake in Chilean water utility Suralis to Toesca for $126.5 million is a positive step toward streamlining its geographic footprint. Scotiabank's Robert Hope says the sale of its 64% stake supports "management's ongoing focus on its core U.S.-regulated utility operations." While the business represented about 4% of Algonquin's revenue, the analyst estimates the effects on EPS to be "neutral." It does, however, improve Algonquin's credit metrics, he adds. Hope thinks this might be the first of a number of other noncore divestitures, including "Bermuda utility (BELCO - $525m rate base) and smaller water utilities." ([email protected])1110 ET - Ethereum has posted big gains in the latter-half of the summer, but it appears that the cryptocurrency has found stiff resistance at the $2,500-mark. It's being viewed as a key test for if the rallying seen in ethereum - which has gained nearly 30% in the past week-and-a-half alone - has any more room to run. "A successful move could fuel further upside, otherwise Ethereum may need to consolidate its recent gains," says Bret Kenwell of eToro in a note. Traders appear to be embracing consolidation today. Ethereum is down 1% to $2,467, while bitcoin falls 0.2% to $78,457, XRP is down 1.5% to $1.38, and solana falls 1.2% to $103.47. ([email protected])1059 ET - Christopher Nolan's "The Odyssey" has been a game changer for IMAX, Benchmark analyst Mike Hickey says in a research note. The film's IMAX cumulative total box office gross has reached nearly $450 million, an unprecedented figure that will likely continue to climb after the movie is released in Japan next month, he continues. "'The Odyssey' should support what we expect to be an exceptionally strong 3Q26 for IMAX," Hickey says. "More importantly, we believe the film's success could rewire filmmaker and studio behavior by demonstrating the commercial value of designing and shooting major event films for IMAX." The movie's IMAX performance could be transformative to the company's long-term positioning and growth potential, especially after WSJ reported in May that IMAX was exploring a sale. IMAX is up 77% over the past 12 months. ([email protected])1051 ET - Dubai leads most major Gulf stock markets lower as renewed fighting between the U.S. and Iran adds to geopolitical uncertainty in the region. U.S. forces attacked two Iranian rocket launchers on Larak Island in the Strait of Hormuz on Sunday, marking the first American strike on Iran in weeks. The Dubai Financial Market General Index falls 0.8%, Qatar's QE Index drops 0.6%, Abu Dhabi's benchmark index declines 0.4% and Saudi Arabia's Tadawul All Share Index falls 0.3%. ([email protected])0859 ET - Treasury yields rise alongside crude prices following a U.S. military attack against Iran over the weekend. Brent is up 3%, at $91 a barrel. Markets price 64% odds of a Fed hike in September, according to CME, reacting to Chairman Warsh's hawkish statements on Friday. Economists surveyed by WSJ expect August payrolls to increase by 50,000, following July's 23,000 decrease, with unemployment steady at 4.1%. The data are due Friday. The 10-year yield reaches 4.754%, up from 4.710% overnight. The two-year rises to 4.344% from 4.232%. ([email protected]; @ptrevisani)0838 ET - Odds for a September rate hike rose to nearly 60% Friday after Fed Chairman Kevin Warsh's speech, but the future of Fed tightening could depend on upcoming August data, according to a BofA Securities in a note. "We aren't declaring victory yet, since very soft Aug data could still change the picture. But absent a material downside surprise, the onus is now on Warsh to deliver a Sep hike," analysts say. The August jobs report will be released this Friday. The July report was much weaker than analysts were expecting, having some economists question the underlying strength of the economy. ([email protected])0815 ET - Oil futures rise after the U.S. attacked Iranian rocket launchers, renewing military action in the Persian Gulf for the first time in weeks. "The longer geopolitical uncertainty and supply disruptions continue, the tighter the market gets, keeping upward pressure on crude," Nikos Tzabouras of Tradu says in a note. But the U.S. may have limited appetite for broader military action with its shift in focus to economic measures against Tehran and its enablers, he adds. Although below prewar levels, crude is finding its way out of the Middle East and with lower consumption the market could return to balance, he adds. WTI is up 3.4% at $86.21 a barrel, and Brent is 3.1% higher at $90.85. ([email protected])0654 ET - Royal Bank of Canada's solid quarter, including a wealth management-driven beat on net interest income, prompts Keefe, Bruyette & Woods to lift its target on the shares to C$324 from C$316. Yet it views the strength of the bank's franchise to be largely reflected in the valuation, with the stock trading at 15.8 times expected fiscal 2027 earnings. It therefore reiterates a market perform call. KBW raises its forecast for fiscal 2026 earnings per share by C$0.40 to C$16.38 and for fiscal 2027 by C$0.45 to C$17.95. ([email protected])0340 ET - Apple and Samsung are expected to help sustain demand for smartphone displays through 2026, cushioning the market from a broader slowdown, according to TrendForce. The research firm says rising memory prices and supply shortages are increasing costs across the smartphone supply chain, prompting brands to take a more cautious approach to shipment planning. TrendForce forecasts global smartphone panel shipments to decline 2.5% to 2.25 billion units in 2026. Steady demand from Apple and Samsung devices, along with continued orders from repair and secondary markets, is helping support shipments. In 2Q, Chinese display giant BOE remained the top supplier with a 26.1% market share, ahead of Samsung Display and TCL CSOT. ([email protected])0235 ET - Nordic markets are seen opening slightly lower, with IG calling the OMXS30 down 0.4% to 3318. "The week begins with a suppressed risk appetite in Asia due to the fact that the U.S. and Iran have once again directed military attacks against each other," SEB's Dana Malas writes. Fed Chairman Kevin Warsh's speech in Jackson Hole on Friday also signaled disappointment that inflation remains above the 2.0% target and a risk that interest rates could rise, she says. The market now prices a roughly 60% probability of a rate increase on September 16. September could be an important month, with the European Central Bank and Bank of Japan expected to raise rates, Malas adds. OMXS30 closed at 3331.27, OMXN40 at 2733.09 and OBX at 2024.48. ([email protected])0106 ET - Fed Chair Kevin Warsh's comments complicate the AI trade, Tiger Brokers market strategist James Ooi says in a note. Warsh said at the Jackson Hole symposium that the Fed policy remains unrestrictive given rapid business capex growth, much of it AI-related. Investors now have to weigh whether capex growth could increase the odds of tighter monetary policy, Ooi says. Higher interest rates raise discount rates, weighing on AI hardware valuations, he adds. Asian tech hardware stocks fall after U.S. semiconductor shares declined following Warsh's hawkish speech on Friday. SK Hynix falls 2.5%, Samsung Electronics drops 1.95% and TSMC loses 1.45%. ([email protected])