With Nvidia shedding over half a trillion dollars in market cap over the last three days, rotation remains the name of the game. As a result, the Russell 2000 small-cap index and Dow 30 led today as money sought a new home. Let’s see what you missed. 👀

Today's issue covers crypto’s Mt. Gox concerns, Beyond Air cracking below $1.00, and a recap of another M&A-filled Monday. 📰

Here's today's heat map:

8 of 11 sectors closed green. Energy (+1.70%) led, & technology (-2.62%) lagged. 💚

Dallas Fed manufacturing activity ticked up in June but remained in contraction territory for the 26th consecutive month. Perceptions of broader business conditions continued to worsen, with the data suggesting small employment declines and shorter workweeks. 🔻

Target shares popped 2% on the news it’s working with Shopify to add sellers to its third-party marketplace and better compete with Walmart and Amazon. 🛒

Trump Media & Technology rose 21% after revealing that it expects to receive about $70 million in proceeds for the cash exercise of warrants late last week. The company could collect as much as $247 million in total proceeds if all the warrants are exercised. 💰

Roth MKM upgraded American movie theatre chain Cinemark from neutral to buy on the back of “meaningful box office improvement.” Interestingly enough, as its shares hit 2.5-year highs, AMC shares continue to melt lower despite strong initial turnouts for Disney’s “Inside Out 2” blockbuster. 🍿

Buy-now-pay-later stock Affirm found its footing after Goldman Sachs initiated it with a buy rating, saying it’s a leader in the modern credit space and citing its strong underwriting business. 💳

ResMed and Inspire Medical Systems slumped on news that Eli Lilly’s weight loss drug helped reduce the severity of obstructive sleep apnea, a critical market for the medical device makers. 😴

Alnylam Pharmaceuticals rose 35% after positive phase three study results for its drug vutrisiran, which treats patients with ATTR amyloidosis with cardiomyopathy. 💉

Planet Fitness shares pumped after TD Cowen named it a top small/mid-cap name, citing its catalyst path and upside to valuation and upgraded it to buy. 🏋️

Other active symbols: $CVNA (+5.76%), $ALT (+11.39%), $NNE (+32.68%), $MNKD (+6.26%), $SEDG (-13.58%), and $MLGO (+288.60%). 🔥

Here are the closing prices: 

The big story besides Nvidia’s fall today was the continued drawdown in the crypto market, where Bitcoin tumbled because of new supply concerns.

The long story short is that the victims of 2014’s Mt. Gox exchange disaster are finally being paid back ten years later…with many holders likely looking to sell some of their highly-appreciated assets. 🤑

Here’s the chart we shared a few weeks back highlighting Bitcoin’s waning momentum as prices tested the uptrend line from their October lows. Since then, prices have broken to the downside and accelerated toward their next level of support (the 200-day moving average) around 56-57k.

With momentum firmly in a bearish range now, it’s clear the near-term and intermediate-term trends are no longer up. As a result, risk appetite in crypto and crypto-related assets is likely to remain under pressure as investors and traders await a catalyst to turn things around. 🤷

And if you want more info on the Mt. Gox situation (courtesy of our resident crypto expert, Jonathan Morgan), here’s how the story begins…

Once upon a time, in the land of crypto, there was Mt. Gox. Handling 70% of all $BTC transactions, it was the king of the land - until someone forgot to lock the damn gate. What happened? 💥

Spoiler: it ended with a (short-term) disaster.

If that cliffhanger piques your interest, you can find the full thing in today’s Litepaper after you’re done reading here. 👍

It was another busy day of market deals, so let’s quickly recap.

Mid-cap freight company RXO jumped more than 20% today on news that it’s buying UPS’s Coyote Logistics business unit for $1.025 billion via a mix of equity and debt. The transaction allows UPS to refocus on its core business while diversifying RXO’s customer base and driving additional capacity. 🚚

Packaging manufacturer Sonoco Products Co. will buy European-based food can and closures maker Eviosys for $3.90 billion from private equity firm KPS Capital Partners. The deal will make it the “leading metal food-can and aerosol-packaging manufacturer globally.” Sonoco expects $100 million in cost savings and an adjusted earnings boost of 25% in 2025. 🥫

Jain Global's $5.30 billion in commitments for its new multi-strategy hedge fund marks the largest fundraising of its kind since 2018. Although it’s less than their initial goal of $10 billion, it’s no small feat given high rates and a focus on other products like private credit weighing on demand. 💵

One of Byju’s largest investors, Prosus, is the latest to mark down its stake in the Indian edtech startup to zero. Its 9.60% stake was once worth $2.10 billion but has floundered as the company unraveled. ❌

And Chinese fast shion maker Shein has reportedly filed confidential initial public offering (IPO) papers with the London Stock Exchange and its regulators. With that said, the Financial Conduct Authority (FCA) and the company have declined to comment, given the ample uncertainty about its ability to get over the finish line. 👚

Stocktoberfest is back with an intimate event for executives, influencers, and the most active investors in financial markets. 🤝

Network with industry thought leaders like Howard Lindzon, Michael Batnick, Brian Shannon, Michael Parekh, and many more during the 2-day palooza.

Space is going quickly so grab your seat now, and we'll see you in beautiful Coronado, CA! 😎

Medical device and biopharmaceutical company Beyond Air is hitting fresh all-time lows after the bell on lackluster earnings results. 🙃

The company’s revenue of $1.16 million topped estimates of $750,000, but its net loss per share of $1.82 was far worse than the $0.49 expected.

Management reduced its fiscal year 2025 revenue guidance from $12-16 million to “greater than $10 million.” However, despite the significant shortfall, it assured investors that its capital conservation strategy should extend its cash runway through at least July 2025. 😰

Whether or not that will be enough time for an FDA decision on the cardiac surgery indication for its LungFit PH device to come through remains to be seen. That’s essentially the bet investors are making right now as the company looks to prove the market for its core product.

Shares fell 25% and are nearly cracking the $1.00 mark. Despite that, Stocktwits sentiment remains in extremely bullish territory, so we’ll have to wait and see if their optimism pays off. 😬

🚗 U.S. auto dealers roiled by cyberattack on CDK’s software. The BlackSuit ransomware gang is allegedly behind ongoing outages at CDK Global, a software provider servicing about 15,000 car dealerships across the North American continent. Several major U.S. auto dealers have had to turn to pen and paper to conduct business while CDK attempts to get its systems back online. While the full extent of the attack remains to be seen, its impact is already being felt by large public companies like AutoNation, Penske, Lithia Motors, and more. Axios has more.

🫨 Apple’s app store has already breached the EU’s Digital Markets Act (DMA). Just months after opening a non-compliance case against the company, the European Commission shared its preliminary findings with Apple. It ruled that the App Store rules breach the DMA by limiting third-party developers’ ability to inform customers of alternative purchasing possibilities that circumvent Apple’s massive fees. More from TechCrunch.

😡 Elon Musk pressures X staff over costs amid ad slump. X’s CEO Linda Yaccarino is shaking up her inner circle as she feels the pressure from Musk to increase sales and cut costs. She reportedly fired her right-hand man and head of business operations and communications. The reshuffle comes as tensions between Musk and Yaccarino grow over the company’s inability to stabilize its financial health. Time will tell what happens here, but X executives remain in the hot seat for now. Reuters has more.

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😓 NYC’s ritzy Gotham Restaurant forced to close after falling victim to $45K cyberscam

🏘️ Yellen announces $100 million affordable housing fund as shelter costs weigh on Biden

🚫 China wants EU to scrap planned higher tariffs and ‘abide by WTO rules,’ state media reports

⏪ OpenAI walks back controversial stock sale policies, will treat current and former employees the same

🕵️ Trends With No Friends — find stocks with high relative strength and a low social following

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