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3 More Penny Stocks To Watch Fueled By NFT Hype This Week

Are These Going To Be The Next NFT Penny Stocks To Watch For March?
The post 3 More Penny Stocks To Watch Fueled By NFT Hype This Week appeared first on Penny Stocks to Buy, Picks, News and Information | PennyStocks.com.

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Over the past year, trading penny stocks has fundamentally changed. With the pandemic still in play and more retail traders than ever before, finding top stocks to watch can be challenging, especially with all of the market volatility. This week, tech penny stocks have been one of the focal points of investors.

In the past few days, many tech penny stocks have been affected by the stock market’s volatility. But, with any correction comes the potential to find opportunity. Now, it’s best not to impulse buy just because a penny stock is down on the day. However, certain cases can make for interesting situations. 

Additionally, after months of mostly bullish sentiment as the stock market recovered, we now see several days with large corrections for specific industries. This is due to both high speculation and the sheer number of events going on in the world right now. Many believe that as vaccines are distributed, the U.S. economy could bounce to pre-covid levels. But, thanks to proposed lockdown measures overseas, fears of harsher restrictions are definitely something on the top of people’s minds. This has added another layer of uncertainty in the stock market this week, with growth stocks taking it on the chin.

While this it’s speculation at this point, it is worth considering. So with the tech industry correction we’ve witnessed this week, are there any tech penny stocks worth watching? Here are four that have gone against the grain so far. 

NFT Stocks Drive Momentum In Tech Niche

One of the main drivers of things like entertainment technology, digital currency, and blockchain-related names has been this trend in non-fungible tokens. This has become the new buzz among traders. The hard part is determining where the truth lies. Where some companies come out and say they are offering tokenization and a platform to exchange digital assets, others are purely hyped on speculation alone.

On Wednesday afternoon, shares of Antelope Enterprise Holdings (NASDAQ: AEHL) surged during post-market trade. There was a link that was trying to be made between Antelope Enterprise Holdings, a company called Antelope Technology, and involvement with OpenDefi, “a global initiative that seeks to develop the decentralized financial ecosystem.” Apparently, in a Medium post, OpenDefi spoke about Antelope Technology and its global member network

Speculation Could Become A Problem

The sticking point came when anyone looks up AEHL. Most of its PRs talk about its tile and flooring business. Though there are a few sentences on its site about a subsidiary involved with fintech, there’s no mention of “Antelope Technology,” specifically. But traders speculated on a possible connection, and then we saw AEHL stock explode from under $3.50 to over $5.70 post-market on Wednesday.

AEHL Antelope Enterprise 1 day 3 minute chart

It’s important to understand that blind speculation is a real factor right now. So far, none of the three companies mentioned have come out with an immediate statement on the matter. The ultimate risk is that there is no connection, and AEHL’s time as an NFT stock is short-lived.

My point is that this surge of interest in NFT stocks has traders speculating on anything and everything that “could be considered” exposure to NFTs. So make sure you get the full details and don’t blindly follow the hype train. Will AEHL end up officially becoming an NFT stock, or is this overly hyped right now? We’ll have to see what happens later this week to see if this connection is confirmed or not.

Penny Stocks to Watch Right Now 

This leads me to a few of the latest penny stocks getting caught up in the NFT hype. At this stage, volatility is very important to understand. Since speculation is a major driver right now, a change in it can trigger some serious swings. Keep this in mind if any of these are on your list. But at the very least, you’ll have a better understanding of the point of interest and a potential source of the speculation.

Borqs Technology Inc. 

An interesting tech penny stock right now is Borqs Technology Inc. Borqs produces software and products to help adopt IoT devices. This includes customized and scalable smart devices as well as service solutions for cloud software. Borqs provides end-to-end services for a wide variety of IoT solutions and has a large range of partners that it works with.

[Read More] Best Penny Stocks To Buy Right Now? 4 For Your March List

Only a few weeks ago, Borqs announced a $20 million private placement of convertible notes. The notes are not due for two years and will have an annual interest rate of 8%. The company states that these proceeds will be used to procure more orders and develop new 5G products. 

The company also announced that it had entered into a deal to extinguish roughly $18 million worth of debt. The deal consists of LM Funding America LLC, which will purchase the $18 million worth of tranches to convert to common shares of BRQS. As far as NFT hype, there’ve been mentions here and there of a vague relationship to it on social media. But no real tie-ins confirmed from any company updates or the website. What I will say is that there have been headlines a few years ago discussing blockchain technology. As far as an NFT stock, it’s likely a bit of a stretch based on current public information.

However, the excitement stemming from NFT stocks may have reignited the interest in the company’s exposure to the blockchain space. It has also played a large role in the bullish momentum in other IoT penny stocks.

Penny_Stocks_to_Watch_Borqs_Technology_Inc_BRQS_Stock_Chart

GigaMedia Ltd. 

GigaMedia Ltd. is a penny stock that has been on our radar for the past few weeks. For some context, GigaMedia is a publisher of online entertainment, primarily working in the online gaming market. This includes targeting players in Europe, Asia, and other countries internationally. It produces a wide range of non-cash gambling and casino games. This includes games such as MahJong, AkaSeka, Yume 100, and others.

Online gaming has become much more popular over the last year, and the recent focus on NFT-related penny stocks has brought attention to companies like GIGM. While GigaMedia is not currently working on an NFT that we can see, it sits in an industry closely related to other NFT-focused companies. In many cases, entertainment companies have gotten folded into this niche simply based on speculation.

Aside from that, there has been a little bit of news recently. In its latest third quarter, GigaMedia reported $2.03 million in revenue with a gross profit of $1.2 million. CEO James Huang is bent on bringing in as much profitability as he can. Additionally, the company recently announced the execution of a $10 million promissory note for Aeolus Robotics Corp. This should give it access to the AI-powered robotics market.

While the pandemic is still in full swing, more people are searching for digital entertainment. Although not much news comes out of GigaMedia, it does present an interesting portfolio of entertainment assets. Whether this is enough to justify its bullish movements in the past few days remains to be seen. 

Penny_Stocks_to_Watch_GigaMedia Ltd. (GIGM Stock Chart)

Greenpro Capital Corp. 

Greenpro Capital Corp. is a business incubator working in many financial industries around the world. This includes finance, technology, CryptoSX (a licensed crypto exchange for STOs), banking, and more. Recently, many investors have considered GRNQ to be an NFT penny stock. While it has yet to make a straightforward entrance into the NFT market specifically, its recent moves show that this could occur soon.

Recently, it signed into an agreement with Innovest Energy Fund, which currently develops a wide range of products for use in the cryptocurrency industry. Also, its investments into CryptoSX have pushed its boundaries far into the crypto and NFT market. 

With this agreement, it is clear that Greenpro sees a large market opportunity in the crypto industry. This could include everything from cryptocurrency trading to NFT support. Earlier in March, Greenpro also announced a strategic collaboration agreement with iBizzCloud AI-Robotax. iBizzCloud currently serves more than 150,000 customers per year.

CEO of Greenpro, Dr. CK Lee, stated that “this collaboration will complement the services and products of both Greenpro and iBizzCloud. Each respective business will ‘cross sell’ to the others customers.”

[Read More] Top 3 Penny Stocks Under $0.01 With The Highest Volume Right Now

Because it has several layers to its business, many penny stock investors see GRNQ as a potentially diversified play. Also, the recent attention being paid to NFT penny stocks could be a benefit to Greenpro. Considering all of this, is GRNQ stock worth watching right now?

Penny_Stocks_to_Watch_Greenpro_Capital_Corp_GRNQ_Stock_Chart

The post 3 More Penny Stocks To Watch Fueled By NFT Hype This Week appeared first on Penny Stocks to Buy, Picks, News and Information | PennyStocks.com.

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Government

Supreme Court Rules Public Officials May Block Their Constituents On Social Media

Supreme Court Rules Public Officials May Block Their Constituents On Social Media

Authored by Matthew Vadum via The Epoch Times (emphasis…

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Supreme Court Rules Public Officials May Block Their Constituents On Social Media

Authored by Matthew Vadum via The Epoch Times (emphasis ours),

Public officials may block people on social media in certain situations, the Supreme Court ruled unanimously on March 15.

People leave the U.S. Supreme Court in Washington on Feb. 21, 2024. (Kevin Dietsch/Getty Images)

At the same time, the court held that public officials who post about topics pertaining to their work on their personal social media accounts are acting on behalf of the government. But such officials can be found liable for violating the First Amendment only when they have been properly authorized by the government to communicate on its behalf.

The case is important because nowadays public officials routinely reach out to voters through social media on the same pages where they discuss personal matters unrelated to government business.

When a government official posts about job-related topics on social media, it can be difficult to tell whether the speech is official or private,” Justice Amy Coney Barrett wrote for the nation’s highest court.

The case is separate from but brings to mind a lawsuit that several individuals previously filed against former President Donald Trump after he blocked them from accessing his social media account on Twitter, which was later renamed X. The Supreme Court dismissed that case, Biden v. Knight First Amendment Institute, in April 2021 as moot because President Trump had already left office.

At the time of the ruling, the then-Twitter had banned President Trump. When Elon Musk took over the company he reversed that policy.

The new decision in Lindke v. Freed was written by Justice Amy Coney Barrett.

Respondent James Freed, the city manager of Port Huron, Michigan, used a public Facebook account to communicate with his constituents. Petitioner Kevin Lindke, a resident of Port Huron, criticized the municipality’s response to the COVID-19 pandemic, including accusations of hypocrisy by local officials.

Mr. Freed blocked Mr. Lindke and others and removed their comments, according to Mr. Lindke’s petition.

The U.S. Court of Appeals for the 6th Circuit ruled for Mr. Freed, finding that he was acting only in a personal capacity and that his activities did not constitute governmental action.

Mr. Freed’s attorney, Victoria Ferres, said during oral arguments before the Supreme Court on Oct. 31, 2023, that her client didn’t give up his rights when using social media.

This country’s 21 million government employees should have the right to talk publicly about their jobs on personal social media accounts like their private-sector counterparts.”

The position advocated by the other side would unfairly punish government officials, and “will result in uncertainty and self-censorship for this country’s government employees despite this Court repeatedly finding that government employees do not lose their rights merely by virtue of public employment,” she said.

In Lindke v. Freed, the Supreme Court found that a public official who prevents a person from comments on the official’s social media pages engages in governmental action under Section 1983 only if the official had “actual authority” to speak on the government’s behalf on a specific matter and if the official claimed to exercise that authority when speaking in the relevant social media posts.

Section 1983 refers to Title 42, U.S. Code, Section 1983, which allows people to sue government actors for deprivation of civil rights.

Justice Barrett wrote that according to the so-called state action doctrine, the test for “actual authority” must be “rooted in written law or longstanding custom to speak for the State.”

“That authority must extend to speech of the sort that caused the alleged rights deprivation. If the plaintiff cannot make this threshold showing of authority, he cannot establish state action.”

“For social-media activity to constitute state action, an official must not only have state authority—he must also purport to use it,” the justice continued.

State officials have a choice about the capacity in which they choose to speak.

Citing previous precedent, Justice Barrett wrote that generally a public employee claiming to speak on behalf of the government acts with state authority when he speaks “in his official capacity or” when he uses his speech to carry out “his responsibilities pursuant to state law.”

“If the public employee does not use his speech in furtherance of his official responsibilities, he is speaking in his own voice.”

The Supreme Court remanded the case to the 6th Circuit with instructions to vacate its judgment and ordered it to conduct “further proceedings consistent with this opinion.”

Also on March 15, the Supreme Court ruled on O’Connor-Ratcliff v. Garnier, a related case. The court’s sparse, unanimous opinion was unsigned.

Petitioners Michelle O’Connor-Ratcliff and T.J. Zane were two elected members of the Poway Unified School District Board of Trustees in California who used their personal Facebook and Twitter accounts to communicate with the public.

Respondents Christopher Garnier and Kimberly Garnier, parents of local students, “spammed Petitioners’ posts and tweets with repetitive comments and replies” so the school board members blocked the respondents from the accounts, according to the petition filed by Ms. O’Connor-Ratcliff and Mr. Zane.

But the Garniers said they were acting in good faith.

“The Garniers left comments exposing financial mismanagement by the former superintendent as well as incidents of racism,” the couple said in a brief.

The U.S. Court of Appeals for the 9th Circuit found in favor of the Garniers, holding that elected officials using social media accounts were participating in a public forum.

The Supreme Court ruled in a three-page opinion that because the 9th Circuit deviated from the standard the high court articulated in Lindke v. Freed, the 9th Circuit’s decision must be vacated.

The case was remanded to the 9th Circuit “for further proceedings consistent with our opinion” in the Lindke case, the Supreme Court stated.

Tyler Durden Sun, 03/17/2024 - 22:10

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International

Home buyers must now navigate higher mortgage rates and prices

Rates under 4% came and went during the Covid pandemic, but home prices soared. Here’s what buyers and sellers face as the housing season ramps up.

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Springtime is spreading across the country. You can see it as daffodil, camellia, tulip and other blossoms start to emerge. 

You can also see it in the increasing number of for sale signs popping up in front of homes, along with the painting, gardening and general sprucing up as buyers get ready to sell. 

Which leads to two questions: 

  • How is the real estate market this spring? 
  • Where are mortgage rates? 

What buyers and sellers face

The housing market is bedeviled with supply shortages, high prices and slow sales.

Mortgage rates are still high and may limit what a buyer can offer and a seller can expect.  

Related: Analyst warns that a TikTok ban could lead to major trouble for Apple, Big Tech

And there's a factor not expected that may affect the sales process. Fixed commission rates on home sales are going away in July.

Reports this week and in a week will make the situation clearer for buyers and sellers. 

The reports are:

  • Housing starts from the U.S. Commerce Department due Tuesday. The consensus estimate is for a seasonally adjusted rate of about 1.4 million homes. These would include apartments, both rentals and condominiums. 
  • Existing home sales, due Thursday from the National Association of Realtors. The consensus estimate is for a seasonally adjusted sales rate of about 4 million homes. In 2023, some 4.1 million homes were sold, the worst sales rate since 1995. 
  • New-home sales and prices, due Monday from the Commerce Department. Analysts are expecting a sales rate of 661,000 homes (including condos), up 1.5% from a year ago.

Here is what buyers and sellers need to know about the situation. 

Mortgage rates will stay above 5% 

That's what most analysts believe. Right now, the rate on a 30-year mortgage is between 6.7% and 7%. 

Rates peaked at 8% in October after the Federal Reserve signaled it was done raising interest rates.

The Freddie Mac Primary Mortgage Market Survey of March 14 was at 6.74%. 

Freddie Mac buys mortgages from lenders and sells securities to investors. The effect is to replenish lenders' cash levels to make more loans. 

A hotter-than-expected Producer Price Index released that day has pushed quotes to 7% or higher, according to data from Mortgage News Daily, which tracks mortgage markets.

Home buyers must navigate higher mortgage rates and prices this spring.

TheStreet

On a median-priced home (price: $380,000) and a 20% down payment, that means a principal and interest rate payment of $2,022. The payment  does not include taxes and insurance.

Last fall when the 30-year rate hit 8%, the payment would have been $2,230. 

In 2021, the average rate was 2.96%, which translated into a payment of $1,275. 

Short of a depression, that's a rate that won't happen in most of our lifetimes. 

Most economists believe current rates will fall to around 6.3% by the end of the year, maybe lower, depending on how many times the Federal Reserve cuts rates this year. 

If 6%, the payment on our median-priced home is $1,823.

But under 5%, absent a nasty recession, fuhgettaboutit.

Supply will be tight, keeping prices up

Two factors are affecting the supply of homes for sale in just about every market.

First: Homeowners who had been able to land a mortgage at 2.96% are very reluctant to sell because they would then have to find a home they could afford with, probably, a higher-cost mortgage.

More economic news:

Second, the combination of high prices and high mortgage rates are freezing out thousands of potential buyers, especially those looking for homes in lower price ranges.

Indeed, The Wall Street Journal noted that online brokerage Redfin said only about 20% of homes for sale in February were affordable for the typical household.

And here mortgage rates can play one last nasty trick. If rates fall, that means a buyer can afford to pay more. Sellers and their real-estate agents know this too, and may ask for a higher price. 

Covid's last laugh: An inflation surge

Mortgage rates jumped to 8% or higher because since 2022 the Federal Reserve has been fighting to knock inflation down to 2% a year. Raising interest rates was the ammunition to battle rising prices.

In June 2022, the consumer price index was 9.1% higher than a year earlier. 

The causes of the worst inflation since the 1970s were: 

  • Covid-19 pandemic, which caused the global economy to shut down in 2020. When Covid ebbed and people got back to living their lives, getting global supply chains back to normal operation proved difficult. 
  • Oil prices jumped to record levels because of the recovery from the pandemic recovery and Russia's invasion of Ukraine.

What the changes in commissions means

The long-standing practice of paying real-estate agents will be retired this summer, after the National Association of Realtors settled a long and bitter legal fight.

No longer will the seller necessarily pay 6% of the sale price to split between buyer and seller agents.

Both sellers and buyers will have to negotiate separately the services agents have charged for 100 years or more. These include pre-screening properties, writing sales contracts, and the like. The change will continue a trend of adding costs and complications to the process of buying or selling a home.

Already, interest rates are a complication. In addition, homeowners insurance has become very pricey, especially in communities vulnerable to hurricanes, tornadoes, and forest fires. Florida homeowners have seen premiums jump more than 102% in the last three years. A policy now costs three times more than the national average.

Related: Veteran fund manager picks favorite stocks for 2024

 

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Default: San Francisco Four Seasons Hotel Investors $3 Million Late On Loan As Foreclosure Looms

Default: San Francisco Four Seasons Hotel Investors $3 Million Late On Loan As Foreclosure Looms

Westbrook Partners, which acquired the San…

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Default: San Francisco Four Seasons Hotel Investors $3 Million Late On Loan As Foreclosure Looms

Westbrook Partners, which acquired the San Francisco Four Seasons luxury hotel building, has been served a notice of default, as the developer has failed to make its monthly loan payment since December, and is currently behind by more than $3 million, the San Francisco Business Times reports.

Westbrook, which acquired the property at 345 California Center in 2019, has 90 days to bring their account current with its lender or face foreclosure.

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As SF Gate notes, downtown San Francisco hotel investors have had a terrible few years - with interest rates higher than their pre-pandemic levels, and local tourism continuing to suffer thanks to the city's legendary mismanagement that has resulted in overlapping drug, crime, and homelessness crises (which SF Gate characterizes as "a negative media narrative).

Last summer, the owner of San Francisco’s Hilton Union Square and Parc 55 hotels abandoned its loan in the first major default. Industry insiders speculate that loan defaults like this may become more common given the difficult period for investors.

At a visitor impact summit in August, a senior director of hospitality analytics for the CoStar Group reported that there are 22 active commercial mortgage-backed securities loans for hotels in San Francisco maturing in the next two years. Of these hotel loans, 17 are on CoStar’s “watchlist,” as they are at a higher risk of default, the analyst said. -SF Gate

The 155-room Four Seasons San Francisco at Embarcadero currenly occupies the top 11 floors of the iconic skyscrper. After slow renovations, the hotel officially reopened in the summer of 2021.

"Regarding the landscape of the hotel community in San Francisco, the short term is a challenging situation due to high interest rates, fewer guests compared to pre-pandemic and the relatively high costs attached with doing business here," Alex Bastian, President and CEO of the Hotel Council of San Francisco, told SFGATE.

Heightened Risks

In January, the owner of the Hilton Financial District at 750 Kearny St. - Portsmouth Square's affiliate Justice Operating Company - defaulted on the property, which had a $97 million loan on the 544-room hotel taken out in 2013. The company says it proposed a loan modification agreement which was under review by the servicer, LNR Partners.

Meanwhile last year Park Hotels & Resorts gave up ownership of two properties, Parc 55 and Hilton Union Square - which were transferred to a receiver that assumed management.

In the third quarter of 2023, the most recent data available, the Hilton Financial District reported $11.1 million in revenue, down from $12.3 million from the third quarter of 2022. The hotel had a net operating loss of $1.56 million in the most recent third quarter.

Occupancy fell to 88% with an average daily rate of $218 in the third quarter compared with 94% and $230 in the same period of 2022. -SF Chronicle

According to the Chronicle, San Francisco's 2024 convention calendar is lighter than it was last year - in part due to key events leaving the city for cheaper, less crime-ridden places like Las Vegas

Tyler Durden Sun, 03/17/2024 - 18:05

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