Calm before inflation storm, air travel got grounded, is WWE the next meme stock? Crypto softens

US stocks are drifting higher as optimism remains intact that a pivotal inflation report will continue to show disinflation trends remain in place. ​ Right now might be the calm before the inflation storm as we are not seeing major positioning ahead of this CPI report. For some traders, they feel confident that either we get a soft landing or a not-too-bad recession. ​ It might not be smooth sailing with across-the-board pricing declines with the December inflation report as core prices from a month ago might edge higher.

Temporarily Grounded

US flights were grounded for a couple of hours after a key failure of the FAA’s pilot notification system. ​ The FAA issued a statement, “The FAA is experiencing an outage that is impacting the update of NOTAMS. All flights are unable to be released at this time.” This system is essential for safety as it provides pilots with real-time flight hazards and restrictions. ​ Air travel in the US was halted but has been returning. United Airlines announced they are temporarily delaying all domestic flights until they learn more from the FAA.

WWE

Is WWE becoming the next big meme stock? WWE stock is attracting a lot of attention as it seems to constantly be in the headlines. ​ The recent surge began last week with the return of Vince McMahon. For many, the personable, play-by-play commentator and eventual boss was the main reason for the company’s success. ​ Vince ran the WWE for 40 years before resigning over a scandal. ​ Vince is responsible for much of WWE’s success and diehard fans easily got back into the stock.

In the past 24 hours, Vince’s daughter resigned as co-CEO and rumors surfaced that WWE has been sold to Saudi Arabia’s private investment fund. Speculation over WWE stock is leading to excessive volatility. Some WWE fans say there is ‘no chance’ Vince would sell his company, which might explain why the news that the company got sold is being faded.

WWE options volume is surging, which could be a sign some meme stock traders have found their next favorite trade.

Crypto

The cryptoverse has been seeing layoffs across all crypto companies with the exception of one. ​ Binance looks like it might buck the layoff trend and expand its workforce by between 15-30% in 2023.

Cryptos are slightly softer as many institutional investors remain cautious. ​ Bitcoin has had a steady climb to kick off the year, but the rally ran out of steam ahead of a pivotal inflation report. ​ ​ ​ ​

If risk appetite remains intact post the inflation report, Bitcoin could make another run at the $18,500 level. ​ If core prices prove to be troubling, Bitcoin could decline back towards the December lows.

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