What You Need To Know This Week — April 6th, 2019
WHAT YOU NEED TO KNOW THIS WEEK
A weekly recap to keep you informed on the most important events this week impacting markets, business, tech and the global economy.
TRADEWEB GOES PUBLIC IN $6 BILLION IPO
Online bond-trading platform Tradeweb Markets went public this week and finished its first day of trading up 32.6%. The 21-year-old company made its public market debut amid substantial demand by investors, with the offering 17x oversubscribed . In contrast to many other firms going public this year, Tradeweb is profitable. It represented the second largest technology IPO of the year, after Lyft.
U.S. ECONOMY ADDS 196,000 JOBS LAST MONTH, BEATING EXPECTATIONS
After notching a lackluster increase of only 20,000 last month (revised up to 33,000), the U.S. job market bounced back in March with a 196,000 gain in non-farm payrolls. This topped the 177,000 average gain forecast by economists. The U.S unemployment rate remained at 3.8%. Despite these “Goldilocks” economic numbers, President Trump continues to push the Federal Reserve to lower interest rates, in addition to halt quantitative tightening and resume quantitative easing.
CANADA SHEDS 7,200 JOBS IN MARCH
Employment fell by 7,200 jobs in March, the first employment drop in seven months, and below expectations for a 6,000 job gain. This employment drop followed two months of better than expected job gains. Canada’s unemployment rate remained at 5.8%.
TESLA DELIVERIES DISAPPOINT IN Q1
Glamour stock Tesla fell after reporting its Q1 results, in which new-vehicle deliveries fell -31% to 63,000 from the fourth quarter, below analyst expectations of 73,500. The automaker reiterated its production guidance of 360,000–400,000 vehicles. This comes amidst Tesla CEO Elon Musk’s battle with the Securities Exchange Commission, who accused the entrepreneur of contempt given his misleading claims on Twitter.
SILICON VALLEY VENTURE CAPITAL FIRM ANDREESSEN HOROWITZ RENOUNCES ITS STATUS AS A VENTURE CAPITAL FIRM
In a bid to differentiate itself against competitors, Andreessen Horowitz dropped its VC status to register the firm as a financial advisor. This change will allow the investment firm to buy shares from founders and early stage investors, or to trade publicly-listed stocks.
RECOMMENDED ARTICLES, PODCASTS, BOOKS AND TWEETS
Listen to a criticism of Modern Monetary Theory (MMT), the fringe economic theory in which sovereign debt and deficit spending doesn’t matter, on Bloomberg’s Odd Lots podcast.
AQR earned $1.14 billion in revenue and $533.6 million in pretax income offering liquid alternative mutual funds in the U.S. last year, despite it being a “bad year” performance wise.
Profile of legendary and recently retired oil trader Andy Hall, once known as “God” in the commodity trading industry.
Famed activist investor Carl Icahn reportedly sold his stake in Lyft to George Soros prior to its IPO. The shares would have been worth $550 million at the IPO.
Jamie Dinan’s hedge fund York Capital Management earns double digit returns by providing cash advances to hip-hop artists.
-The Accelerate Team
