Chapter 1: Weekly Market Summary

The S&P 500 faced a decline of 2.53% this week, closing at 4,117.37 points. This drop marked losses in four out of five trading days, pushing the index into correction territory, with over a 10% fall from its 52-week high of 4,588.96 points recorded on July 31. This decline closely followed a similar downturn for the Nasdaq Composite. The primary driver behind Wall Street's downturn was a decrease in major technology stocks, with ten of the eleven S&P sectors closing in the red. The only sector to gain was utilities, while Energy and Communication Services suffered considerable losses, dropping over 6% and 5%, respectively, and Technology fell by nearly 2%.

The US Dollar also saw slight declines this week as market participants awaited the Federal Reserve's decision. The DXY index dipped to a low of 106.35 after a recent increase of 1% over the past three trading sessions. However, it bounced back to around 106.60 during the American session, recovering some of its losses. Analyzing the daily chart, the technical outlook for the DXY Index appears neutral to bullish, as buyers have shown considerable momentum in recent sessions. To sustain this momentum, they must maintain the 20-day Simple Moving Average (SMA) at 106.35.

In the cryptocurrency space, Bitcoin's recent rise to $35,000 has sparked a period of consolidation, reflecting a minor correction after its surge. This phase is marked by relative price stability as traders evaluate their positions and consider future market movements. Bitcoin's market dominance remains robust, exceeding 50% at 51.2%, a crucial metric for analysts gauging its market share against other cryptocurrencies. While many altcoins are trading positively, their gains are modest, indicative of a broader consolidation trend, though some exceptions do exist.

The investment landscape has evolved over recent decades, with each decade showcasing a distinct investment theme. Each period has seen specific asset classes, sectors, or geographical areas capture investors' focus, leading to significant returns that outpaced the overall market. An insightful visual representation illustrates 70 years of these key investment trends, as analyzed by Ruchir Sharma from Morgan Stanley Investment Management, according to NS Capital.

Before delving into additional statistics, let's take a look at the weekly and year-to-date figures from various markets and assets.

Chapter 2: Company Highlights

Amazon recently announced its third-quarter earnings, exceeding analyst expectations with a nearly record-breaking net income of around $10 billion. This report also revealed the company's highest operating margin at 7.8%, just shy of the record 8.2% achieved in Q1 2021. Despite the challenges posed by the pandemic and losses incurred by EV manufacturer Rivian, Amazon's net income has remained strong for three consecutive quarters.

Worldwide, the unicorn club spans 52 countries and regions, with the United States hosting over half, accounting for 53% of all unicorns. In the US, two sectors stand out compared to the global average: enterprise technology (38% of US unicorns) and healthcare & life sciences (14% of US unicorns). China follows, representing 14% of global unicorns, with a focus on industrials and consumer & retail sectors, which account for 32% and 29% of its unicorns, respectively.

Dubai has notably experienced double-digit growth in property prices, driven by increasing household incomes linked to an economic rebound from higher oil prices and an influx of wealthy immigrants. Meanwhile, while property prices have stabilized or cooled in most examined real estate markets, rental markets in several cities, such as Vancouver (+10.7%) and Toronto (+6.0%), have surged in the opposite direction.

The total assets under management (AUM) for digital assets saw its first increase since July 2023, fueled by positive market developments in October. AUM for Bitcoin-based products rose by 11.1%, reaching $23.2 billion, securing a market share of 73.3%, an increase from 70.5% in September. Conversely, despite the launch of new ETFs, ETH-based products saw a 5.45% decline, with total products dropping to $6.35 billion, resulting in a market share of 20.1%, down from 22.6% in September.

Global digital health funding and deal activity fell to multi-year lows in Q3, with a significant slowdown in deal activity, down by one-third, marking the lowest count in almost a decade. Funding also decreased by 14% from the previous quarter to $3 billion, the lowest since 2016. However, the median early-stage deal size has shown relative stability throughout 2023, with an increase in mega-rounds exceeding $100 million, totaling six in Q3. In contrast, the broader venture market saw an 11% reduction in deal count during the same period.

Despite Bitcoin's current surge, it faces a more challenging landscape, impacted by rising US Treasury yields, a prevailing risk-averse market sentiment, and negative news surrounding the Bankman-Fried trial. Legal issues have even affected notable figures like the Winklevoss brothers. The difficulties are reflected in the declining number of tokens being withdrawn from exchanges.

As we approach the start of 2024, BRICS is expected to add six new member countries, raising questions about the group's growing economic influence. With these additions, BRICS will represent a GDP of over $30 trillion, constituting approximately 29% of the global GDP. A visual comparison illustrates BRICS nations' GDP against that of the G7, using projections for 2023 from the International Monetary Fund (IMF). While BRICS still lags behind the G7's 43% share of global GDP, this gap is likely to narrow as major BRICS countries like India maintain above-average growth rates and the group potentially welcomes more members in the future.

In a year when the US economy exceeded most expectations, the federal deficit nearly doubled, highlighting a troubling fiscal trajectory that may intensify partisan budget disputes in Washington. The government reported a deficit of $2.02 trillion for the fiscal year ending in September, following adjustments to eliminate the impacts of President Joe Biden's student-loan forgiveness program, which was overturned by the Supreme Court. This deficit is $1.02 trillion larger than the previous year's.

Every year, over 100 million individuals transition into the global middle class. According to the World Data Lab's definition, a member of the middle class is someone who spends at least $12 daily (adjusted for 2017 purchasing power parity). This trend is predominantly seen in developing regions like Asia and Africa. The following visual representation provides a treemap diagram illustrating the sources of new entrants into this consumer class in 2024.