Comparing the Returns of Bitcoin and S&P 500 Index: Chart

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Crypto currency Bitcoin has soared this year especially since the results of the US election were announced. Bitcoin prices recently reached an all-time of $108, 268 and today traded at over $94,000. In terms of returns, bitcoin has crushed the S&P 500 and other assets. In this post, let us take a look at a few charts comparing the returns.

The following chart shows the returns of Bitcoin vs. S&P 500 YTD:

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Source: Statmuse

Bitcoin has returned 125% while the S&P 500 has returned 25% YTD.

The following table shows the returns of Bitcoin, Gold and S&P over different time periods:

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Source: Casebitcoin

Average Electricity Price for Household Consumers in EU 2024: Chart

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Electricity prices for households in the EU vary widely across countries. Germany has the highest prices while Turkey has the lowest price per kWH in the first half of this year according to a report in Deutsche Welle. Germans pay an average of 39.15 Euro center per kWH and Turks pay just 4.88 Euro center per kWH as the chart below shows. Germany’s Energiewende plan that was passed in 2010 and envisions a country heavily dependent renewable energy sources is part of the reason why electricity prices are so high in Europe’s largest economy. During winter the country’s renewable energy production becomes volatile due to reduced availability of sun and wind power.

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Source: Is Germany to blame for rising electricity prices in Europe?, Deutsche Welle

Below is a brief excerpt from the article:

Renewables can add to instability

Germans have a word for a period where little or no energy can be produced because there is limited wind or sunlight: “Dunkelflaute” or “dark doldrums.”

The technical name is “anticyclonic gloom,” which doesn’t sound nearly as menacing, though experts cannot agree what exactly needs to happen to get this designation. 

Even if it is a slippery term, the phenomenon is serious. With lower renewable output, other sources of electricity need to be tapped, which can lead to short-term price spikes. Sometimes this means importing it from other countries.

Right now, the dark-doldrums effect is highly relevant for prices, “but for yearly averages it does not matter much,” said Mathias Mier, an economist at the Munich-based ifo Center for Energy, Climate and Resources

“In future, it might have more impact, but it is the role of governments and markets to steer the system into directions that minimize that impacts of ‘Dunkelflaute’,” he told DW.

Germany’s transition to renewable energy sources is a cautionary tale for other countries that plan such major initiatives. While in theory renewable energy sounds good and even noble, practical issues come into play especially during winter when energy needs are the highest. It remains to be seen if high energy prices continue to hurt the German economy and the overall European economy in general.

S&P 500 Price Returns vs. Total Returns 1960-2023: Chart

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The bull market in US equities has continued this year with the S&P 500 up by over 24% YTD on price return basis. In the past 5 years the S&P 500’s returns has had an incredible run with an annualized return of 13%.

While the S&P 500’s return is 24% based on price returns so far this year, the total return which includes dividends reinvested is about 28%. As of November this year, the dividend yield of the index is 1.25%. The dividend yield is low by international standards and has remained under 2% for many decades. However even with a small yield, the total returns earned over many years will be boosted many times over price returns due to the effect of compounding. This is demonstrated by the following chart which shows the S&P 500 Price Return against Total Returns from 1960 to 2023:

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Source: The Power of Dividends: Past, Present, and Future, Hartford Funds

The difference in returns is indeed astonishing. So though some investors ignore dividends and focus only on growth it is important to pay attention to dividend yield too.

Related ETFs:

  1. SPDR S&P 500 ETF (SPY)
  2. iShares Core S&P 500 ETF (IVV)
  3. Vanguard S&P 500 ETF(VOO)
  4. SPDR Portfolio S&P 500 ETF  (SPLG)
  5. SPDR® Portfolio S&P 500® High Dividend ETF (SPYD)

Disclosure: No positions

Key Chip Suppliers for Apple Vision Pro: Chart

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Apple Vision Pro is a wearable headset made by Apple (AAPL) that costs nearly $4,000. In this chart post, let’s take a quick look at the some of the key suppliers for the chips that are in this device. Last year, when Apple’s iPhone 15 came out I wrote a post on the key suppliers for that phone and it was well received.

The Key Chip Suppliers for Apple Vision Pro:

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Source: The Suppliers Making the iPhone Possible, Quartr

Referenced Companies:

  • Texas Instruments (TXN)
  • Cirrus Logic (CRUS)
  • Lattice Semiconductor (LSCC)
  • ON Semiconductor (ON)
  • Analog Devices (ADI)
  • Diodes Incorporated (DIOD)

Disclosure: No positions

Germany’s Major Trade Partners and Trade Goods 2023

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Germany is the largest economy in Europe and is an export-oriented economy. The latest trade partners chart from DeStatis shows some interesting facts. The top 3 export destinations for Germany goods in 2023 were the US, France and the Netherlands. As the Chinese economy contracted last year exports of goods to the country suffered. As a result, China ranked fourth as shown in the chart below. However in terms of the source of imports, China was the top exporter to Germany followed by the Netherlands and the US. Among the East European countries, Poland is a major trade partner of Germany.

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Source: DeStatis

Germany’s top three export goods in 2023 were automobiles, machinery and chemicals. The main trading goods in 2023 are shown in the following chart:

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Source: DeStatis