Market Signal Briefing

Aster Price Prediction has reviewed Aster's jump in daily and weekly volumes, a reported 72% share among perps DEXs, and a 205% weekly move in $ASTER, weighing support near $1.75 and upside scenarios against Hyperliquid's larger market capitalization.

The Shariyah Review Bureau of Bahrain has certified XRP as Shariah-compliant, a declaration that could open the digital asset to the $2 trillion Islamic finance market. Strategic Advantage for Ripple The Shariyah Review Bureau (SRB), which operates under the Central Bank of Bahrain, has reportedly declared that XRP meets Shariah compliance standards.

Crypto price prediction today has reviewed XRP, Dogecoin and Cardano following a 2% daily market decline to $3.849T, noting ETF applications, technicals near oversold levels, and scenarios for potential rebounds while also mentioning ongoing interest in presale tokens.

Agentverse MCP streamlines AI deployment across multiple platforms, offering instant marketplace discoverability.

Key Takeaways

Fetch.ai launched Agentverse MCP, enabling fast AI agent creation and deployment across various platforms, including Claude AI and OpenxAI Network.
A streamlined variant, Agentverse MCP-Lite, allows for quick agent setup and monitoring.

Fetch.ai today launched Agentverse MCP, a server enabling rapid AI agent creation and deployment for platforms like Claude AI and OpenxAI Network, a decentralized AI infrastructure provider. The new tool allows users to build and deploy AI agents in minutes across compatible MCP clients.

The launch includes Agentverse MCP-Lite, a streamlined server variant for quick agent setup and monitoring. Users can deploy agents on platforms including Cursor AI and OpenAI Playground, with agents becoming instantly discoverable through the Agentverse Marketplace.

Disclaimer

BlackRock raises Bitcoin exposure by 38% in its $17.1 billion Global Allocation Fund Gino Matos · 1 hour ago · 1 min read

The diversified fund held 1,000,808 IBIT shares valued at $66.4 million as of July 31, up from 723,332 shares on Apr. 30.

1 min read

Updated: Sep. 26, 2025 at 9:19 pm UTC

Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.

BlackRock’s Global Allocation Fund increased its holdings in the firm’s spot Bitcoin ETF (IBIT) by 38.4% during the second quarter, according to a Sept. 26 SEC filing.

As of July 31, the diversified fund held 1,000,808 IBIT shares valued at $66.4 million, up from 723,332 shares on Apr. 30.

The addition of 277,476 shares represents the fund’s return to Bitcoin allocation after reducing exposure earlier this year.

Year-over-year growth demonstrates accelerating Bitcoin adoption within BlackRock’s portfolio management. The fund held just 198,874 IBIT shares as of July 31, 2024, representing a 403% increase over the previous twelve months.

Targeting the 1%-2% rangeIBIT represents 0.4% of the Global Allocation Fund’s $17.1 billion assets under management, a 62.5% increase from the 0.25% allocation recorded in the first quarter.

The current weighting marks substantial growth from the 0.1% position held in October 2024.

BlackRock recommended 1% to 2% Bitcoin allocation as a “reasonable range” in its model portfolio on Feb. 28, positioning the Global Allocation Fund below its target range.

The recent increases indicate movement toward this recommended exposure level through gradual and cautious accumulation.

The Global Allocation Fund invests across US and international equities, debt securities, money market instruments, and other short-term assets. Portfolio composition varies periodically in response to market conditions and investment opportunities.

BlackRock launched IBIT in January 2024 as part of the first wave of spot Bitcoin ETFs approved by the Securities and Exchange Commission. As of Sept. 25, the fund has the largest Bitcoin ETF, with nearly $61 billion in cumulative net flows.

The Global Allocation Fund’s methodical approach to Bitcoin allocation demonstrates institutional investment strategies for crypto exposure.

BlackRock continues building its position toward recommended portfolio weightings while managing volatility through gradual accumulation.

Mentioned in this articleLatest US StoriesLatest Bitcoin StoriesLatest Alpha Market Report

Theta Capital has sought $200M for a blockchain vehicle backing 10–15 venture managers focused on digital assets. The firm has reported a 32.7% net IRR since 2018, while investors have shifted toward ETFs and treasury strategies as deal counts have fallen in 2025.

The industry’s largest stablecoin issuer, Tether (USDT), is reportedly in discussions with a series of leading firms including SoftBank Group and Ark Investment Management, for a significant funding round aimed at raising between $15 billion and $20 billion. 

This capital influx could potentially value the company at an astonishing $500 billion. Bloomberg News first reported these developments, indicating that Tether is exploring private placement opportunities to solidify its position in the market.

SoftBank And Ark Invest’s Potential Involvement
Per the report, the involvement of SoftBank and Ark could significantly enhance Tether’s credibility in the eyes of mainstream investors, particularly as the company seeks to overcome previous scrutiny regarding its role in the cryptocurrency ecosystem.

Amidst this search for funding, Tether is also expanding its investment horizons beyond digital assets, venturing into sectors such as artificial intelligence (AI), telecommunications, cloud computing, and real estate. 

Adding to the momentum, Tether recently appointed Bo Hines, a former advisor to President Trump on cryptocurrency matters, as CEO of its US division. 

This move aligns with Tether’s vision to establish a new operation in the US, adhering to the new regulatory environment, particularly following the introduction of a new dollar-pegged cryptocurrency aimed at businesses and institutions, dubbed “USAT.” 

Tether And US Regulatory Standards
As NewsBTC reported recently, the new token adheres to the regulatory framework established by the GENIUS Act, the first stablecoin legislation signed into law by President Trump, highlighting Tether’s focus on aligning with US regulatory standards.

Paolo Ardoino, Tether’s CEO, noted that the firm’s USDT stablecoin serves as a crucial financial tool for millions in emerging markets, showcasing how digital assets can foster trust, resilience, and financial freedom on a global scale.

The daily chart shows the market’s total capitalization at $3.7 trillion. Source: TOTAL on TradingView.com
Featured image from DALL-E, chart from TradingView.com

Avalanche’s native cryptocurrency, AVAX, has seen a sharp decline, dropping 8% in the past 24 hours to $27.72, extending a weeklong slide that erased nearly 18% of its value. The selloff mirrors the broader weakness in the crypto market, with major tokens including Ethereum (ETH), Solana (SOL), Dogecoin (DOGE), and Bitcoin (BTC) also facing significant losses. Over the past week, BTC fell 6%, while altcoins posted double-digit declines.

AVAX has repeatedly failed to break above its resistance at $30.28, finding only fragile support around $27.65. According to CoinDesk Analytics, trading volume dropped to just 121,896 tokens in early Friday trading, indicating that while institutional selling pressure may be slowing, buyers have yet to return in force.

The decline comes at a time when Avalanche’s ecosystem is drawing increased corporate interest. Earlier this week, agricultural tech firm AgriFORCE Growing Systems rebranded as AVAX One, unveiling plans to raise $550 million to acquire and hold AVAX tokens. If successful, this would make it the first Nasdaq-listed company dedicated solely to the Avalanche blockchain.

AVAX One is positioning itself as a key institutional player in the Avalanche network, supported by a prominent advisory team led by Anthony Scaramucci (SkyBridge Capital) and Brett Tejpaul (Coinbase Institutional). The company has set a goal of holding over $700 million in AVAX, aiming to become a cornerstone custodian for the token’s future adoption.

Despite these high-profile initiatives, the market has yet to respond positively. Analysts suggest that regulatory uncertainty and ongoing macro-driven selloffs continue to weigh on sentiment. While Avalanche’s roadmap includes enterprise partnerships and use cases, these fundamentals have not been enough to counteract the current bearish momentum.

For now, traders remain cautious, and Avalanche’s short-term outlook will depend on whether institutional demand materializes to stabilize prices.

<Copyright ⓒ TokenPost, unauthorized reproduction and redistribution prohibited>

Tether, the issuer of the world’s largest stablecoin USDT, is reportedly in early-stage discussions with major investment firms SoftBank and Ark Invest for a new funding round. According to Bloomberg, the company is seeking to raise up to $20 billion, a move that would value Tether at approximately $500 billion. If successful, this would place Tether among the most valuable private companies in the world and highlight the surging investor appetite for stablecoin projects.

The fundraising underscores the rapid rise of the stablecoin market, which has grown 40% year-to-date to $287 billion, based on data from RWA.xyz. Analysts at Citi project the market could expand to $4 trillion under a bull scenario. Stablecoins, digital tokens pegged to fiat currencies like the U.S. dollar, are increasingly viewed as transformative for cross-border payments by offering faster, cheaper transactions powered by blockchain.

USDT remains the dominant stablecoin with a $173 billion market capitalization. Tether’s reserves are largely backed by U.S. Treasuries, enabling the company to reap significant profits from bond yields. In Q2 2025, Tether reported profits of $4.9 billion. This performance has fueled further investor confidence in the sector.

Competition is also heating up. Circle, the issuer of USDC, went public in June 2025 and saw its stock price surge from $30 to $300, reflecting strong demand for exposure to stablecoin assets. Meanwhile, Tether is preparing to expand into the U.S. market with a new token called USAT, designed to comply with the recently passed GENIUS Act, the nation’s first federal stablecoin law. The company has also hired Bo Hines, former White House Crypto Council director under President Donald Trump, to lead its U.S. division.

With institutional interest from firms like SoftBank and Ark Invest, Tether’s latest fundraising push could accelerate mainstream adoption of stablecoins and reshape the global payments landscape.

<Copyright ⓒ TokenPost, unauthorized reproduction and redistribution prohibited>

Prominent tech investor Jason Calacanis, best known as an early backer of Uber, has once again warned investors against buying MicroStrategy (MSTR) stock as a proxy for Bitcoin exposure. Instead, he recommends that investors seeking to benefit from Bitcoin’s growth should purchase the cryptocurrency directly.

Calacanis has become one of the most outspoken critics of MicroStrategy and its co-founder Michael Saylor, asserting there is a 75% chance his bearish outlook on the company will prove accurate. His comments come amid heightened scrutiny of the software firm, which has transformed into the largest corporate holder of Bitcoin, with a treasury of 639,835 BTC.

Despite this massive accumulation, MicroStrategy shares have fallen sharply, dropping 35% from a local high of $457. Critics such as famed short seller James Chanos have long argued that MSTR trades at an unjustified premium compared to its net asset value (NAV). Calacanis and other skeptics point to the disconnect between the company’s share price and the actual value of its Bitcoin holdings.

Adding to concerns, MicroStrategy recently rolled out a new equity issuance policy, which many analysts believe could dilute shareholders and reduce the firm’s ability to buy additional Bitcoin in the future. The company also suffered a setback earlier this month when it was excluded from the S&P 500 index, a decision JPMorgan analysts warned could negatively impact MicroStrategy and other Bitcoin-focused firms.

While Saylor continues to promote his “Bitcoin maximalist” vision, advising long-term holding above all else, Calacanis insists that the safest and most effective way for investors to gain exposure is to hold Bitcoin itself, without relying on MicroStrategy’s leveraged corporate strategy.

As Bitcoin adoption grows and institutional interest increases, the debate between direct cryptocurrency ownership and corporate exposure through companies like MicroStrategy is likely to intensify. For now, Calacanis remains firm: avoid the stock, buy Bitcoin.

<Copyright ⓒ TokenPost, unauthorized reproduction and redistribution prohibited>

Cardano (ADA) has entered a bearish phase after forming a death cross on the four-hour chart, a technical pattern that occurs when a short-term moving average dips below a long-term moving average. This signal reflects growing selling pressure in the market. ADA experienced a steep decline at the start of the week, falling from $0.888 to $0.788 in Monday’s session. Since reaching a high of $0.937 on September 19, Cardano has been on a downward trend, dropping to a low of $0.754 on Thursday.

The crypto market selloff has been broad-based. According to CoinGlass data, more than $855 million in leveraged positions were liquidated over the past 24 hours. Long traders were hit the hardest, accounting for $721.54 million of the losses, while short positions saw $133.22 million liquidated. This highlights the extreme volatility gripping the market.

In the near term, technical traders are monitoring resistance at $0.86, followed by $0.94 if recovery attempts strengthen. On the downside, support is seen at $0.735, a key level that could determine ADA’s next move. Broader market sentiment remains cautious as macroeconomic conditions continue to weigh on risk assets. U.S. core inflation data showed a 0.3% monthly rise, with annual inflation holding at 2.7%, reinforcing expectations that the Federal Reserve may move toward interest rate cuts in the coming months.

Beyond price action, Cardano’s long-term outlook is tied to ongoing upgrades to its Ouroboros consensus mechanism. The upcoming Ouroboros Leios redesign, starting with Leios Lite, aims to boost throughput by 30–55 times, enhancing scalability. Future plans for Ouroboros Omega promise adaptive security, efficient storage, and improved governance. Founder Charles Hoskinson emphasized that while the path ahead is challenging, these developments could resolve Cardano’s scalability issues and strengthen interoperability through projects like Midnight and partnerchains.

Cardano faces short-term bearish pressure, but ongoing protocol innovations may provide long-term support for ADA’s growth trajectory.

<Copyright ⓒ TokenPost, unauthorized reproduction and redistribution prohibited>

TLDR

Bybit has officially listed Ripple’s RLUSD stablecoin on its trading platform.
RLUSD is available for trading against USDT, Bitcoin, Ethereum, XRP, and Mantle.
Bybit supports deposits and withdrawals for RLUSD on both the Ethereum blockchain and XRP Ledger.
The listing of RLUSD on Bybit expands options for traders and institutional investors.
Ripple’s RLUSD stablecoin ranks as the 94th largest cryptocurrency with a market value of $741 million.

Crypto exchange Bybit has officially listed Ripple’s RLUSD stablecoin on its platform. The stablecoin will be available for spot trading against USDT, Bitcoin (BTC), Ethereum (ETH), XRP, and Mantle (MNT). Bybit users can now deposit and withdraw RLUSD on both the Ethereum blockchain and the XRP Ledger.

RLUSD Available for Trading on Bybit
Bybit’s integration of RLUSD into its trading platform marks a significant move in the growing stablecoin market. The stablecoin’s availability will depend on jurisdictional regulations. However, Bybit’s listing provides traders with more options to interact with the asset. Ripple’s RLUSD stablecoin is already listed on exchanges such as Uphold, Bitstamp, and Bitso.

https://x.com/Vet_X0/status/1971592710667882620

Bybit’s addition of RLUSD places it among the key exchanges adopting the token. As the 94th largest cryptocurrency with a market value of $741 million, RLUSD is positioning itself as a strong competitor. Bybit’s listing signals growing institutional interest in the asset as Ripple expands its ecosystem.

Ripple’s RLUSD and the Institutional Push
The listing of RLUSD comes just days after Ripple partnered with Securitize to offer tokenized real-world assets. Through this partnership, investors in BlackRock’s BUIDL fund and VanEck’s VBILL fund can redeem tokenized shares into RLUSD. This integration enables seamless transitions for institutional investors between regulated, yield-bearing tokenized funds and stable digital dollars.

Bybit’s listing of RLUSD offers its users a direct bridge to the ecosystem of tokenized assets. With Ripple pushing for wider adoption, RLUSD’s presence on Bybit highlights its growing role in institutional markets. Despite its absence from top exchanges like Binance or Coinbase, RLUSD’s rise in institutional-grade tokenized funds strengthens its future prospects.

Rebeca Moen
Sep 26, 2025 21:58

Gala Games offers a limited-time 40% discount on the Town Star Lumberjack House (Legendary) NFT, enhancing gameplay with unique features and benefits.

Gala Games has announced a special sale on its Town Star Lumberjack House (Legendary) NFT, offering a 40% discount to players looking to enhance their gaming experience. This limited-time offer is set to run from September 26 to October 3, 2025, according to Gala News.

Exclusive Features and Benefits
The Lumberjack House NFT is a unique addition to the Town Star game, featuring two lumberjacks who operate at half the usual wage and double the speed. The NFT occupies a 3x3 space and is designed not to cast shade or create dirt, making it an efficient asset for players. Additionally, placing this NFT in a player's town grants 20 Town Points, which can be used toward Daily Challenges.

Significant Price Reduction
The special sale reduces the price of the Lumberjack House from $350.99 to $210.59, making it an enticing offer for gamers aiming to optimize their in-game resources. The promotion emphasizes the opportunity to transform a town's aesthetic while unlocking exclusive in-game advantages.

Strategic Gameplay Enhancement
The sale presents an opportunity for players to harness the power of the forest within the game, encouraging strategic gameplay that focuses on efficiency rather than exhaustion. This aligns with Gala Games' ongoing efforts to enhance player engagement through unique and valuable gaming assets.

For more details, visit the official Gala News page.

Image source: Shutterstock

gala games
nft
town star
gaming

MYX Finance has faced intense selling pressure, plunging nearly 48% from its recent highs and slipping below $10. The altcoin is now trading around $9.03, just above its crucial support level of $8.90. While the broader crypto market remains bearish, technical indicators suggest that MYX may be preparing for a potential rebound.

The Relative Strength Index (RSI) continues to hold above the neutral 50 mark, signaling ongoing bullish momentum. This resilience indicates that despite volatility, investors remain confident in MYX’s medium-term outlook. Maintaining this strength could allow the token to decouple from negative market sentiment and emerge as one of the few altcoins capable of posting gains even in challenging conditions.

Another key factor is MYX’s shifting correlation with Bitcoin. The correlation has dropped to 0.46, reflecting reduced dependency on BTC’s price swings. Historically, when altcoins with strong fundamentals break away from Bitcoin’s trajectory, they often outperform during periods of consolidation or decline in BTC. If MYX’s correlation continues to weaken, the token may chart its own bullish course.

In terms of price action, MYX faces critical levels in the near term. Holding above $8.90 support is essential for sustaining recovery attempts. A successful rebound could push the token toward $10.54 resistance, and breaking this barrier may open the path to $14.04, helping it recover much of its recent losses. However, if MYX fails to defend support, it risks sliding further to $7.00 or lower, which would signal renewed bearish control.

Overall, while risks remain, MYX Finance’s technical setup and weakening Bitcoin correlation suggest a potential recovery phase. Investors are closely watching whether the token can maintain support and build momentum toward higher resistance levels.

<Copyright ⓒ TokenPost, unauthorized reproduction and redistribution prohibited>

News

Coin Information

Report News

EN

News

Business

Insights & Views

Technology

Investing

Regulation

People

Coin Information

Market

About us

About TokenPost

Customer Service

1:1 Inquiry

Report News

Press release

Advertise With Us

Copy link

Share

Print

Font size

URL copied.

Share

In brief
Predictors on Myriad now think Bitcoin will hit $105,000 before $125,000.
Odds have flipped more than 20% in the last two days, as BTC continues its weekly slide.
The asset now sits only about 4% above the $105,000 mark.
The recent weakness in Bitcoin’s price has predictors on Myriad feeling bearish about the asset’s next major price milestone—now predicting a dip to $105,000 before it makes a new all-time high at $125,000. 

Odds of the next stop being $105,000 have increased to 68% in the last week, a gain of more than 25% in that timeframe. The bulk of that move has taken place in the last two days, with odds swinging more than 20% in favor of $105,000 since Wednesday night. 

Myriad is a unit of Dastan, the parent company of an edtorially independent Decrypt.

The market’s volatility has been aided by Bitcoin’s gradual decline, now down 5% in the last week and changing hands below $110,000 for the first time since September 2. 

The top crypto asset is flat in the last 24 hours amid news that U.S. core inflation held at 2.9% in August. 

In addition to inflation data, markets are now also contending with new tariff headlines courtesy of President Donald Trump, leaving risk assets “under pressure” and “capital flows cautious,” according to Bitunix analyst Dean Chen. 

“The recently announced high tariffs remain an uncertain factor that could deliver one-off inflationary pressure while weighing on growth,” Chen told Decrypt on Friday. 

More than $162 billion in crypto valuations has been wiped out this week as Bitcoin just barely hangs on to a percentage point gain since September began. The month typically signifies a brutal stretch for Bitcoin, which has dropped 3.77% on average during the month in each year since 2013. 

It will need a major turnaround to climb back towards its all-time high of $124,118. At its current price, BTC sits just 4% above the $105,000 mark that will bring resolution to the Myriad market which has attracted more than $300,000 in trading volume. It would need to gain 14% to resolve the other way. 

Daily Debrief NewsletterStart every day with the top news stories right now, plus original features, a podcast, videos and more.

SINGAPORE, Sept. 26, 2025 (GLOBE NEWSWIRE) -- Multi Ways Holdings Limited (“Multi Ways,” the “Company” or the “Issuer”) (NYSE American: MWG), a leading supplier of a wide range of heavy construction equipment for sales and rental in Singapore and the surrounding region, today announced the closing of the second tranche of the registered direct offering of 9,000,000 ordinary shares, par value $0.00025 per share, and warrants to purchase up to 9,000,000 ordinary shares.

The offering was priced at $0.165 per ordinary share and accompanying warrant. The Company received aggregate gross proceeds of $1,485,000 from this second tranche. Each warrant will be exercisable at $0.198 per share for a period of five years following its issuance. The Company intends to use the net proceeds for working capital and general corporate purposes.

Spartan Capital Securities, LLC, acted as the exclusive placement agent for this registered direct offering. Ortoli Rosenstadt LLP acted as counsel to the Company. Sichenzia Ross Ference LLP acted as counsel to Spartan Capital Securities, LLC.

The registered direct offering was made pursuant to an effective registration statement on Form F-1 (File No. 333-286220) initially filed with the Securities and Exchange Commission on March 28, 2025, as amended and declared effective by the Securities and Exchange Commission on September 10, 2025.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to the registration or qualification under the securities laws of any such jurisdiction.

About Multi Ways Holdings Limited

Multi Ways Holdings supplies a wide range of heavy construction equipment for sales and rental in Singapore and the surrounding region. With more than two decades of experience in the sales and rental of heavy construction equipment business, the Company is widely established as a reliable supplier of new and used heavy construction equipment to customers from Singapore, Australia, UAE, Maldives, Indonesia, and the Philippines. With our wide variety of heavy construction equipment in our inventory and complementary equipment refurbishment and cleaning services, Multi Ways is well-positioned to serve customers as a one-stop shop. For more information, visit www.multiwaysholdings.com.

Safe Harbor Statement
This press release contains forward-looking statements. In addition, from time to time, we or our representatives may make forward-looking statements orally or in writing. We base these forward-looking statements on our expectations and projections about future events, which we derive from the information currently available to us. Such forward-looking statements relate to future events or our future performance, including: our financial performance and projections; our growth in revenue and earnings; and our business prospects and opportunities. You can identify forward-looking statements by those that are not historical in nature, particularly those that use terminology such as “may,” “should,” “expects,” “anticipates,” “contemplates,” “estimates,” “believes,” “plans,” “projected,” “predicts,” “potential,” or “hopes” or the negative of these or similar terms. In evaluating these forward-looking statements, you should consider various factors, including: our ability to change the direction of the Company; our ability to keep pace with new technology and changing market needs; and the competitive environment of our business. These and other factors may cause our actual results to differ materially from any forward-looking statement. Forward-looking statements are only predictions. The forward-looking events discussed in this press release and other statements made from time to time by us or our representatives, may not occur, and actual events and results may differ materially and are subject to risks, uncertainties, and assumptions about us. We are not obligated to publicly update or revise any forward-looking statement, whether as a result of uncertainties and assumptions, the forward-looking events discussed in this press release and other statements made from time to time by us or our representatives might not occur.

Investor Relations Contact:        
Matthew Abenante, IRC
President                                        
Strategic Investor Relations, LLC                                         
Tel: 347-947-2093
Email: [email protected]

SummaryMarvell Technology is a high-growth semiconductor company poised to benefit from strong AI-driven demand and robust revenue expansion.MRVL stock is down 30% YTD, now trading at a justified premium due to its 37% revenue growth rate versus peers' 7%.Recent FQ2 2026 results showed 57% revenue growth and 120% EPS growth, with data center revenue up 69% year-over-year.I rate MRVL a Strong Buy with a $98 price target by FY2027, offering 18% upside and compelling long-term value for AI-focused investors. nattul/iStock Editorial via Getty Images

Marvell Technology, Inc. (NASDAQ:MRVL) is a high-growth semiconductor company that designs and supplies high-performance technology for data-intensive applications, such as artificial intelligence. The company also offers semiconductor solutions for carrier infrastructure, enterprise networks, industrials, automotive, and others.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of MRVL either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

Lantana, Fla., Sept. 26, 2025 (GLOBE NEWSWIRE) -- JFB Construction Holdings (Nasdaq: JFB) (the “Company”), a real estate development and construction company focused on hospitality, commercial, industrial, and residential property development, today announced that it has entered into a securities purchase agreement with American Ventures LLC, Series XIV JFB as the sole investor for a private investment in public equity (“PIPE”) financing that is expected to result in gross proceeds to the Company of approximately $ 43,895,000 , before deducting placement agent fees and offering expenses.

The Company intends to use $12 million of the net proceeds from the offering to retire the Company’s Class B Common Stock, par value $0.0001, owned by Joseph F. Basile III, the Company’s Chief Executive Officer, pursuant to a Share Redemption Agreement, and the remainder of the proceeds shall be used for general corporate operating expenses.

Pursuant to the terms of the securities purchase agreement, the Company is selling an aggregate of 4,389,500 shares of its Series C Convertible Preferred Stock, par value $0.0001 per share, stated value $10 per share (the “Series C Convertible Preferred Stock”), convertible into 8,068,933 shares of common stock par value $0.0001 (the “Common Stock”), at a conversion price $5.44 per share of Series C Convertible Preferred Stock, (collectively for all purchasers, the “Shares”), (ii) 8,068,933 warrants (the “Common Warrants A”) exercisable for 8,068,933 shares of the Company’s Common Stock, and (iii) 8,068,933 warrants (the “Common Warrants B” and, together with the Common Warrants A, the “Warrants”) exercisable for 8,068,933 shares of Common Stock. The purchase price for one unit consisting of the Series C Convertible Preferred Stock, Common Warrants A and Common Warrants B is $5.44 per share.

The Common Warrants A issued in the offering are exercisable immediately at an exercise price of $5.75 per share and will expire three years from the date of issuance. The Common Warrants B issued in the offering are exercisable immediately at an exercise price of $6.25 per share and will expire three years from the date of issuance.

Dominari Securities LLC acted as the exclusive placement agent for the PIPE financing.

The securities being offered and sold by the Company in the private placement have not been registered under the Securities Act of 1933, as amended (the "Securities Act"), or state securities laws and may not be offered or sold in the United States absent registration with the Securities and Exchange Commission (the "SEC") or an applicable exemption from such registration requirements. The securities were offered only to accredited investors. The Company has agreed to file one or more registration statements with the SEC covering the resale of the unregistered shares issuable upon the conversion of the Series C Convertible Preferred Stock and the shares issuable upon exercise of the unregistered warrants.

This press release shall not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About JFB Construction Holdings

JFB Construction Holdings (“JFB”) offers generations of combined experience in residential and commercial construction and development. Having the experience of building Multifamily communities, Shopping Centers, National Franchises, exclusive estate & equestrian homes, and over 2 million square feet of commercial and retail. JFB provides hands-on, professional expertise, which has led to the quality and production we are known for.

JFB’s reputation has been built on its clients' trust and the value it brings to each project.

JFB is proud that most of its projects are obtained through 100% referrals and repeat customers, and that to-date it has provided general contracting and construction management services in 36 U.S. states.

Caution Regarding Forward-Looking Statements

Certain statements in this announcement are forward-looking statements. Investors can identify these forward-looking statements by words or phrases such as “may,” “will,” “expect,” “anticipate,” “aim,” “estimate,” “intend,” “plan,” “believe,” “is/are likely to,” “potential,” “continue” or other similar expressions. These statements are subject to uncertainties and risks including, but not limited to, the risk factors discussed in the Risk Factors and in Management’s Discussion and Analysis of Financial Condition and Results of Operations sections of our Forms 10-K, 10-Q and other reports filed with the SEC and available at www.sec.gov. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results and encourages investors to review other factors that may affect its future results in the Company’s registration statement and other filings with the SEC. Additional factors are discussed in the Company’s filings with the SEC, which are available for review at www.sec.gov. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations that arise after the date hereof, except as may be required by law.

JFB Construction Holdings Contact:
Joseph F. Basile, III
561-582-9840.
[email protected] 

Investor Relations Contact:
CORE IR
Mike Mason
516 222 2560
[email protected] 

-

NEW YORK--(BUSINESS WIRE)--Commencement of Arbitration

On September 26, 2025, Mesabi Trust initiated arbitration against Northshore Mining Company (“Northshore”) and its parent, Cleveland Cliffs Inc. (“Cliffs”) and (Northshore and Cliffs, jointly, the “Operator”), the lessee/operator of the leased lands. Mesabi Trust commenced the arbitration proceeding through the American Arbitration Association. Mesabi Trust seeks damages and declaratory relief relating to the Operator’s idling of Northshore’s operations from May 2022 to April 2023 and underpayment of royalties on intercompany shipments from 2023 through the present.

Forward-Looking Statements

This press release contains certain forward-looking statements which statements are intended to be made under the safe harbor protections of the Private Securities Litigation Reform Act of 1995, as amended. The length of the idling of Northshore operations could differ materially from current expectations due to inherent risks and uncertainties such as general adverse business and industry economic trends, uncertainties arising from war, terrorist events, recession, potential future impacts of tariffs and other global events, higher or lower customer demand for steel and iron ore, decisions by mine operators regarding curtailments or idling of production lines or entire plants, announcements and implementation of trade tariffs, environmental compliance uncertainties, difficulties in obtaining and renewing necessary operating permits, higher imports of steel and iron ore substitutes, processing difficulties, consolidation and restructuring in the domestic steel market, and other factors. Although the Mesabi Trustees believe that any such forward-looking statements are based on reasonable assumptions, such statements are subject to risks and uncertainties, which could cause actual results to differ materially. Additional information concerning these and other risks and uncertainties is contained in the Trust’s filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the fiscal year ended January 31, 2025. Mesabi Trust undertakes no obligation to publicly update or revise any of the forward-looking statements made herein to reflect events or circumstances after the date hereof.

More News From Mesabi Trust

Back to Newsroom

September 26, 2025 4:30 PM EDT | Source: Searchlight Resources Inc.
Vancouver, British Columbia--(Newsfile Corp. - September 26, 2025) - Searchlight Resources Inc. (TSXV: SCLT) (OTC Pink: SCLTF) ("Searchlight" or the "Company") announces that it has consolidated its issued and outstanding common shares at a ratio of five (5) pre-consolidated common shares to one (1) post-consolidation common share (the "Consolidation"). The purpose of the Consolidation was to facilitate the Company's ability to attract future financings, generate greater investor interest and improve trading liquidity.

The effective date of the Consolidation will be October 2, 2025.

As a result of the Consolidation, the Company's 146,546,134 pre-Consolidation common shares were consolidated to 29,309,227 post-Consolidation common shares issued and outstanding.

Registered shareholders of the Company will receive new share certificates under the new CUSIP number, which is 81222L204.

On behalf of the Board of Directors,

"Stephen Wallace"

SEARCHLIGHT RESOURCES INC.
Stephen Wallace, President, CEO and Director

Forward-Looking Statements

Information set forth in this news release contains forward-looking statements that are based on assumptions as of the date of this news release. These statements reflect management's current estimates, beliefs, intentions and expectations. They are not guarantees of future performance. The Company cautions that all forward-looking statements are inherently uncertain, and that actual performance may be affected by a number of material factors, many of which are beyond the Company's control. Such factors include, among other things: risks and uncertainties relating to the Company's limited operating history and the need to comply with environmental and governmental regulations. Accordingly, actual and future events, conditions and results may differ materially from the estimates, beliefs, intentions and expectations expressed or implied in the forward-looking information. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/268131

Vancouver, BC – TheNewswire - September 26, 2025 – Vanguard Mining Corp. ("Vanguard" or the "Company") (CSE: UUU | OTC: UUUFF | Frankfurt: SL51) announces that it has commenced mobilization for the 2025 diamond drill program (the “Drill Program”) at its 100% Owned, 2746.46 Hectare Redonda Copper-Molybdenum Project (the “Project”), located within the Vancouver Mining Division of British Columbia near Campbell River.

The Drill Program will be guided by targets and structural corridors interpreted from the previously announced Precision GeoSurveys (“Precision”) airborne geophysical program, integrated with results from recent drilling and surface sampling. Recent drilling at Redonda returned intervals up to 142.6 metres (467.8 feet) grading 0.279% Cu and 0.0281% Mo, while surface sampling delivered near-surface intervals ranging from 3.1 metres (10.17 feet) to 48 metres (157.4 feet) grading 0.529% CuEq (See News Release dated January 25, 2024). 

To execute the program, Vanguard has engaged Paradigm Drilling Ltd. (“Paradigm Drilling”), which will deploy a Boyles B-15 hydraulic, track-mounted diamond drill equipped with NQ tooling and capable of testing targets to greater than 600 metres depth. Initial pads are permitted and being prepared, with step-outs planned to evaluate continuity of porphyry-style copper-molybdenum mineralization along prioritized trends.

Vanguard will work in close collaboration with the Klahoose First Nation for labour and logistics support throughout the campaign and will continue to advance engagement as activities progress.

David Greenway, CEO of Vanguard Mining Corp., commented:

“Mobilization is now underway for our 2025 program at Redonda, marking an important milestone for Vanguard. With permits secured and budgets in place, we are advancing a deep drilling campaign designed to test the most compelling targets identified through recent surveys and drilling. Previous work delivered highly encouraging results, including a 174-metre mineralized zone beginning at surface and strong surface sampling averaging approximately 0.5% copper-equivalent—both of which provide clear vectors for expansion at depth.

British Columbia continues to support responsible resource development, and the Government of Canada’s new Major Projects Office demonstrates a strong commitment to advancing critical projects efficiently. With these favorable conditions, our objective this season is to build on the 2023–2024 discovery and begin outlining the true scale of the Redonda system, added Greenway”

The Project is fully permitted to commence drilling, and the Company is fully funded for the proposed exploration program. The 2025 program is designed to follow up on a near-surface Copper/Moly discovery announced in 2023 and 2024.

2025 Program Scope and Targeting

The Company is currently permitted for up to 10 drill sites and is evaluating an aggressive 2025 program that includes detailed geological mapping of brecciation trends and deeper drilling below 500 metres within the known potassic core. Mineralized zones remain open to the north and south, with potential extensions along an old road system ~1 kilometre to the northwest. To the south, mineralization is interpreted to plunge beneath the Coast Plutonic Complex, where follow-up airborne geophysics and subsequent drilling are warranted. In addition, extensive iron skarns identified on the east side of Redonda Island may represent part of a larger magmatic-hydrothermal system at depth, reinforcing the Project’s district-scale potential.

Program Highlights

Mobilization underway for 2025 diamond drilling at Redonda (2,746.46 ha), near Campbell River, BC. 

Up to 10 permitted drill sites; program contemplates deeper holes (500 m) into potassic core and detailed mapping of brecciation trends. 

Prior work indicates mineralization open north–south, with a possible NW extension (~1 km) along an old road system. 

Southern plunge beneath the Coast Plutonic Complex to be assessed with additional geophysics and drilling. 

Iron-skarn occurrences on east Redonda Island support a district-scale magmatic-hydrothermal model. 

Paradigm Drilling engaged; Boyles B-15 rig with NQ tooling to test 600 m depth. 

Ongoing collaboration with the Klahoose First Nation for labour and logistics. 

The Company will provide updates on drill start, meterage, and subsequent assay results as they become available.

Click Image To View Full Size

Figure 1: 2024 Airborne Magnetics (RTP) with lineaments – See release

Target Generation from 2024 Airborne Geophysics

Drill hole locations have been selected using a combination of historical datasets and results from the Company’s late-2024 airborne geophysical survey, which integrated total magnetic intensity, gradient magnetics, and radiometrics. The survey delineates strong correlations with mapped geological domains, including a northeast–southwest–trending fault system exhibiting right-lateral offset and several circular magnetic lows interpreted as potential intrusive centres. Radiometric potassium anomalies define arcuate potassic-alteration zones—key vectors in porphyry copper-molybdenum systems—focusing priority targets both adjacent to historical drilling and along newly defined structural corridors. The full airborne data package, including GeoTIFF magnetic and radiometric maps, will be made available on the Company’s website to illustrate the scale and quality of the Redonda exploration opportunity.

QA/QC and Data Verification

Core samples are shipped to an ISO/IEC 17025–accredited laboratory. Samples are analyzed using industry-standard multi-element packages (e.g., ICP-AES/ICP-MS) with appropriate over-limit assays. Vanguard inserts blanks, certified reference materials, and duplicates at regular intervals. The Qualified Person has reviewed the QA/QC program results and verifies that the sampling, analytical, and QA/QC protocols are appropriate for an early-stage exploration program. Historical information has been reviewed against available assessment reports; it cannot be independently verified to modern standards and is used for exploration guidance only.

Copper-Equivalent (CuEq) Note

CuEq is calculated as: Cu% + (Mo% × [Mo price/Cu price] × [Mo recovery/Cu recovery]). For comparative purposes only, CuEq herein assumes US$4.70/lb copper and US$25.00/lb molybdenum (molybdic oxide, ~57% Mo, in-warehouse Rotterdam basis), and 100% metallurgical recoveries for both metals where recoveries are unknown, which may not be representative of actual recoveries. CuEq is an exploration-stage comparative metric and does not imply economic viability.

Nearby Properties

References to mineralization on nearby properties (e.g., OKover, Gambier Copper) are provided for geological context only. Mineralization hosted on nearby or adjacent properties is not necessarily indicative of mineralization on the Redonda property.

About Redonda

The Redonda Project comprises nine mineral claims totaling 2,746.46 ha, located approximately 40 km northeast of Campbell River, British Columbia. The property is accessible year-round via scheduled barge service from Campbell River (e.g., MarineLink or other contract barges), with on-site access provided by 5 km of recently upgraded logging road from Redonda Bay. Active forestry maintains an extensive network of forest service roads across the claims. Field work in 2021 was conducted under a Letter of Support from the Klahoose First Nation within their Traditional Territory, together with a Free Use Permit, Drill Permit, and IP Exemption issued by the Ministry of Energy, Mines and Low Carbon Innovation (EMLI). Consultation with the Homalko First Nation has concluded, and a permit for additional drill sites is being issued.

Redonda lies within the Coast Suture Zone between the Wrangellia Terrane and the Coast Plutonic Complex. Early Cretaceous dioritic intrusions of the Coast Plutonic Complex are cut by at least three later intrusive phases: (i) a quartz plug; (ii) a wide, hornblende-rich dike locally brecciated over ~600 metres of exposed length; and (iii) several smaller feldspar dikes near the southwestern margin of the hornblende body. Copper-molybdenum mineralization is most concentrated along the hornblende dike, particularly within brecciated zones. The geological setting shares several characteristics with nearby porphyry systems, including the OKover copper-molybdenum deposit located ~34 km to the southeast (north of Powell River) and the Gambier Copper deposit in Howe Sound.

Qualified Person

The scientific and technical information contained in this news release has been reviewed and approved by J. T. Shearer, M.Sc., D.I.C., P.Geo. (BC & Ontario), a consulting geologist who is a “Qualified Person” as such term is defined under National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43- 101”). Mr. Shearer is not arms length for Vanguard.

About Vanguard Mining Corp.

Vanguard Mining Corp. is a mineral exploration and development company dedicated to the discovery and advancement of high-value strategic mineral assets. The Company is focused on creating long-term value through the responsible acquisition and development of highly prospective projects located in stable, mining-friendly jurisdictions worldwide.

All Stakeholders are encouraged to follow the Company on its social media profiles on LinkedIn, X.com, Facebook and Instagram and sign up for updates at Vanguardminingcorp.com

On Behalf of the Board of Directors

“David Greenway”

David Greenway, CEO

For further information, please contact:

Vanguard Mining Corp.

Brent Rusin

Phone: +1 672-533-0348

E-Mail: [email protected]

Website: vanguardminingcorp.com

Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release.

Disclaimer for Forward-Looking Information

Certain statements in this release are forward-looking statements, which reflect the expectations of management regarding Vanguard’s intention to continue to identify potential transactions and make certain corporate changes and applications. Forward looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations, or intentions regarding the future. Such statements are subject to risks and uncertainties that may cause actual results, performance, or developments to differ materially from those contained in the statements. No assurance can be given that any of the events anticipated by the forward-looking statements will occur or, if they do occur, what benefits Vanguard will obtain from them. These forward-looking statements reflect managements’ current views and are based on certain expectations, estimates and assumptions which may prove to be incorrect. A number of risks and uncertainties could cause actual results to differ materially from those expressed or implied by the forward-looking statements, including Vanguard’s results of exploration or review of properties that Vanguard does acquire. These forward-looking statements are made as of the date of this news release and Vanguard assumes no obligation to update these forward-looking statements, or to update the reasons why actual results differed from those projected in the forward-looking statements, except in accordance with applicable securities laws.

###

 

Pfizer Today

$23.75 +0.15 (+0.64%)

As of 03:59 PM Eastern

52-Week Range$20.92▼

$30.43Dividend Yield7.24%

P/E Ratio12.63

Price Target$28.12

In the United States' healthcare sector, a new growth theme is emerging that nearly all companies want to capitalize on. Like artificial intelligence for technology stocks, weight loss drug manufacturing and distribution businesses are all the hype for this new growth wave taking over the industry.

That said, there are two ways for businesses to capitalize on this opportunity and deliver value for shareholders.

The first is to develop proprietary weight loss drugs, but by the time they are set for regulatory trials, it might be too late, as other companies in the industry could have already achieved a breakthrough.

The second is by acquisition, though only the biggest and most powerful companies can go through this process. They can "flex" their financial muscle by combining their businesses with smaller ones and hyperscaling them to their full potential.

This is where a $136.9 billion company like Pfizer Inc. NYSE: PFE has made headlines, opting for option number two this time. A recent press release surprised investors when they learned that Pfizer is looking to close a transaction worth between $4.9 billion and $7.3 billion, acquiring Metsera Inc. NASDAQ: MTSR.

This acquisition sent Metsera stock higher by 57.6% in a single week. However, the real upside is likely to be realized when it merges with Pfizer next time around.

How Pfizer Stock Will Be Affected
First and foremost, Pfizer will now be exposed to the high-growth weight loss products market. Injecting Metsera with Pfizer's expertise and financial prowess increases the odds of a successful product launch, which would expand Pfizer's business beyond vaccines and traditional pharma products, decreasing financial volatility.

More than just adding a new product line, the addition is essentially a "shoe-in" for Pfizer, as it already has a manufacturing and commercial infrastructure operating at average capacity. Therefore, the added task of weight loss drug manufacturing would be a small move in the needle in terms of additional costs.

In other words, this new department would carry a higher-than-average margin level for Pfizer's entire business, which would trickle down into earnings per share (EPS) expansion and stock valuations.

However bullish this may seem, Pfizer still trades at only 80% of its 52-week high, where investors can start stepping in ahead of time.

Locking in the stock at this price enables new shareholders to be exposed to the positive effects this new business can have on Pfizer before it becomes obvious to the rest of the market. In this realization theme, there is one major catalyst that investors can now look forward to, one that will come directly from Wall Street.

Where Pfizer Could Be Headed Next
Even without factoring in the potential benefits of the Metsera acquisition, the current Wall Street consensus price target is set at $28.12 per share, accompanied by a Hold rating. This view still implies a net upside potential of 16.8% from today's prices, so that's a starting point investors can work off from.

However, in the acquisition announcement, Pfizer management mentioned that they will update their financial guidance and outlook during the fourth-quarter 2025 earnings release. To retail investors, Wall Street analysts are now racing to be the first to release their new price targets on Pfizer ahead of the announcement.

Given the bullish future prospects of combining these two businesses, these new ratings are expected to be significantly above the consensus. While this future catalyst remains speculative (though highly likely), investors also have a few more current indicators that could connect the dots for this current development within the company.

Over the past month, Pfizer's short interest declined by 9.1% despite a lack of bullish price action. Perhaps the view was that, as the weight loss market begins to heat up, Pfizer only needed a small push toward a decision to make such an acquisition, enough of an idea to scare off some short sellers despite no reason to do so in the chart itself.

More than just short sellers bailing, some institutional buyers had also been conveniently buying Pfizer ahead of the announcement.

One is Canada Life Assurance Co., which recently increased its Pfizer stock holdings by 19.6% as of August 2025. While the timing was a month off from the announcement, the buildup to a new $207.7 million position cannot be ignored.

Whether the dozens of capable analysts working for a firm like Canada Life Assurance thought of this scenario or not is up for debate, but what isn't is that there is enough institutional interest now, even before the financial benefits from this acquisition become clear. Then there's the analyst boost catalyst still in play, waiting for investors to take advantage of it.

Should You Invest $1,000 in Pfizer Right Now?Before you consider Pfizer, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Pfizer wasn't on the list.

While Pfizer currently has a Hold rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

Nuclear energy stocks are roaring. It's the hottest energy sector of the year. Cameco Corp, Paladin Energy, and BWX Technologies were all up more than 40% in 2024. The biggest market moves could still be ahead of us, and there are seven nuclear energy stocks that could rise much higher in the next several months. To unlock these tickers, enter your email address below.

Get This Free Report

September 26, 2025 4:38 PM EDT | Source: 37 Capital Inc.
Vancouver, British Columbia--(Newsfile Corp. - September 26, 2025) - 37 Capital Inc. (CSE: JJJ) ("37 Capital" or the "Company") proposes to conduct a non-brokered private placement to raise up to $375,000 by the issuance of up to 3,000,000 units of the Company at a price of $0.125 per unit. Each unit will consist of one common share of the Company and one share purchase warrant to acquire one common share of the Company at a price of $0.15 per share for a period of three (3) years. If, anytime after six months from the issuance date, in the event that the Company's shares trade on the CSE at $0.35 per share or above for a period of 10 consecutive trading days a, a forced exercise provision will come into effect for the warrants issued in connection with this financing.

Finder's fees may be payable in respect to the above proposed financing and certain insiders may participate in the financing.

The funds raised from the financing will be used towards general working capital as the Company is actively exploring opportunities.

All securities that may be issued in connection with the above transactions will be subject to a four-month and a day hold period and other applicable restrictions under securities laws.

The Company also announces the granting of a total of 2,065,000 incentive stock options ("Options") to directors and officers exercisable at the price of $0.12 per common share for a period of three years. These Options have been reserved for issuance pursuant to the Company's 20% Rolling Stock Option Plan, which has received shareholder approval, subject to certain vesting period. Any shares issued pursuant to the exercise of the Options will be subject to a hold period expiring on January 27, 2026.

On Behalf of the Board of 37 Capital Inc.,

"Jake H. Kalpakian"

____________________

Jake H. Kalpakian,
President and CEO

The CSE has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Trading in the securities of the Company should be considered speculative.

Certain statements contained herein are "forward-looking". Forward-looking statements may include, among others, statements regarding future plans, projected or proposed financings, costs, objectives, economic or technical performance, or the assumptions underlying any of the foregoing. In this News Release, words such as "may", "would", "could", "will", "likely", "enable", "feel", "seek", "project", "predict", "potential", "should", "might", "objective", "believe", "expect", "propose", "anticipate", "intend", "plan", "plans" "estimate", and similar words are used to identify forward-looking statements. Forward-looking statements are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those expressed or implied. Although management believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, projections and estimations, there can be no assurance that these assumptions, projections or estimations are accurate. Readers, shareholders and investors are therefore cautioned not to place reliance on any forward-looking statements as the plans, assumptions, intentions or expectations upon which they are based might not occur.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/268201

MicroStockHub/iStock via Getty Images

In a recent analysis, we discussed that Stephen Miran and follow-up appointees are likely to take the Fed Funds rate lower. This of course, has implications on much of the investment universe, but this article will be focused on the individual securities that stand to benefit the most. There are 3 main topics we want to cover:

Will cuts to the short end of the interest rate curve impact the long end? Investment dollars pushed out the risk curve Interest expense savings of capital-intensive companies Curve dynamics

The yield curve is typically considered to be upward sloping with a “normal” curve looking approximately like a graphed square root function. Longer duration bonds generally provide higher yields as compensation for greater duration risk.

In recent years however, we have had some atypical yield curve shapes. It was inverted for a while, where the long end was lower yield than the short end. Presently, it has a normal upward sloping shape from the 2-year to 30-year, but still has a bit of oddity where very short-term rates pay higher yields than the 2-year Treasury.

S&P Global Market Intelligence

The short end of the curve is essentially forced to be above 4% because of the Fed Funds rate.

S&P Global Market Intelligence

In September, the Fed lowered the Fed Funds rate to a range of 400 to 425 basis points.

When the Fed cuts like this, it almost immediately reduces the short end of the yield curve in parallel with the cut.

The impact of a Fed cut on the longer end of the yield curve is less clear and there is a good bit of debate on what will happen.

Some believe the long end will be unaffected because it is already somewhat steep relative to the 2-year. Thus, the short end would simply come down however many basis points were cut and the long end would remain.

I see this to be among the plausible scenarios. However, I think it is more likely that the long end will come down, just to a lesser degree.

Perhaps for each 50 basis points of cuts, the 10-year and 30-year would drop something like 20 basis points. I think it will be a consequence of capital forced out on the duration curve.

Presently there is a glut of capital in money market funds. $7.3 trillion is an unprecedented level for capital in money market funds.

FRED

I believe much of this capital is here to take advantage of unusually high short-term rates.

After years of getting almost no return on cash held in money market funds, the 4%+ available today feels excessively lucrative.

Crane

A 4% return that is close to risk free and almost fully liquid is a great deal. Market participants recognize this and have crowded in.

In a free market, crowding into a tranche would naturally lower the yield, but it is being artificially held up by the Fed Funds rate. The Fed Funds rate more or less dictates the minimum yield for the short end of the curve.

As evidence that there is a disproportionate amount of capital in short-term funds, observe the overall money supply below.

FRED

M2 has indeed expanded from about $15 trillion pre-pandemic to just over $22 trillion today.

That is an increase in money supply of about 47%.

In contrast, capital in Money market funds went from about $3 trillion pre-pandemic to about $7.3 trillion.

That is an increase of 143%.

If our previous analysis is correct and the Fed continues cutting, these money market investments will no longer be atypically lucrative. As such, the volume of capital in them would likely drop back down to a normal amount.

If we assume the pre-pandemic percentage of M2 in money market funds, that would be about 20% of capital or about $4.4 trillion.

This implies that the extra $2.9 trillion that is sitting in money market funds today would need to find a new home. Those who want to maintain the high yield they are currently enjoying would be forced in 1 of 2 directions:

Further out the duration curve. Further out the risk curve. To the extent capital moves from money markets into long duration Treasuries, it would pull long end yields down. A trillion dollars is enough capital to make a significant difference. For this reason, I believe Fed cuts will be reflected in the long end of the yield curve, just probably not in a full 1 to 1 parallel ratio.

The capital that instead chooses to move out on the risk curve could go into some combination of high yield corporate bonds, high dividend equities and preferred stocks.

We believe all 3 categories will benefit as the influx of perhaps a trillion dollars or more would be a boon to market prices. This is an event that has happened many times in the past. In the previous cycle, it was dubbed TINA or There Is No Alternative. With fewer risk-free options to attain a high yield, the remaining high yield securities become more attractive.

3 macroeconomic factors to watch for:

Significantly reduced short-term interest rates Moderately reduced long-term interest rates Capital flows into high yield securities. Each of these points to certain equities and preferreds that stand to disproportionately benefit.

Gladstone Commercial (GOOD) savings on interest expense

Gladstone Commercial has significant borrowings on their credit facility that is pegged to SOFR.

GOOD 10-Q

SOFR tracks with the Fed Funds rate, so as cuts come in, GOOD’s interest expense declines.

GOOD has $462 million of variable rate debt, so each 25 basis point cut, including the September cut reduces run-rate of annual interest expense by $1.156 million.

That is about 2.5 cents of FFO per share accretion per 25 basis point Fed cut.

The market is anticipating 2 more cuts in 2025.

CME Group

Based on our previous analysis, I agree with the market that October and December cuts are likely.

If there are indeed 3 cuts (including the September cut) that represents 7.5 cents of FFO and AFFO accretion for GOOD on a per share basis. That is significant savings that secures their outsized 9.5% dividend yield.

High debt will be less punished

REITs with high debt loads have suffered in the high interest rate environment. The higher the debt relative to equity the more their interest expense took a bite out of earnings as interest rates rose.

Most REITs had well termed out debt so the rise to interest expense was not immediate, but the high interest rate environment lasted many years such that most debt eventually had to roll to the now higher rates.

That is already starting to reverse as long-term interest rates have dropped significantly due to spread compression. To the extent that longer term rates come down in tandem with cuts long term rates could decline even further.

We have already observed many REITs able to issue 8+ year debt at 5% or less. That is a rate which allows for a healthy spread on investing the proceeds in properties.

Most capital-intensive businesses stand to benefit from cheaper financing, but it disproportionately benefits those with higher debt loads relative to total capital. It may be tempting to run a screen for high debt to EBITDA companies to find those with the most benefit. However, one has to be careful that the figure is not the result of simply having low EBITDA. Most of the companies that populate the top of this screen are up here for wonky reasons.

S&P Global Market Intelligence

Apartment Investment and Management (AIV) for example, just has really high debt to EBITDA because a large portion of their portfolio is in development and thus not flowing with EBITDA.

Instead, what we are looking to pinpoint here are companies with ample EBITDA that simply operate toward the higher end of leverage. Specifically we are looking for strong, growing companies with high debt loads.

NexPoint Residential (NXRT) fits the bill with a long history of organic growth in its Sunbelt apartments. They simply like to operate at high leverage with a debt to EBITDA of 9.39X.

A significant portion of NXRT’s debt is hedged to be functionally fixed rate so they would not get the immediate interest expense savings like Gladstone Commercial, but over a few years, as debt rolls, NXRT is positioned to enjoy significant AFFO accretion from lower interest rates.

Capital flows into fixed income investments The extra roughly $3 trillion currently sitting in money market funds above the normal amount may have to find a new home. As discussed earlier, some of it will flow to longer duration treasuries, but those looking to maintain a higher yield may seek out preferreds.

The REIT preferred market is relatively small so it would not take all that much capital to really move market prices. Indeed we observed in the previous cycle when the influx of capital sent most fixed rate preferreds with yields in excess of 6% to above par.

This cycle is different as interest rates are unlikely to go as low as they were in 2021. As such, I think the threshold to be bid up to over par is closer to 7% yield.

At Portfolio Income Solutions we track the live pricing of equity and mortgage REIT preferreds to monitor them for discount to par, current yield and fundamental dividend security factors.

There are dozens of REIT preferreds with yields in excess of 8%, many of which will potentially be bid up to or above par. The key to maximizing returns in this potentially tailwind environment is to pay close attention to discount to par.

2 different preferreds may be trading at 8% current yields, but if one of those has an 8% coupon it is already at $25 par and has minimal room to appreciate as threat of redemption prevents it from going much over $25.

However, if there is a 6% coupon preferred trading at an 8% current yield it has a large upside. As interest rates decline, this preferred might be bid up to a 7% current yield at which point it would still be discounted to par so there would be no threat of redemption capping its upside.

There are over 10 opportunities of this nature presently and as an example we can look at Pebblebrook Preferred H. (PEB) (PEB.PR.H)

Portfolio Income Solutions

PEB is a highly respected and long-tenured hotel REIT which is how they were able to issue preferreds at coupons in the low 6s and high 5s.

As environmental interest rates increased these low coupon preferreds started to trade at very large discounts to par. PEB-H is trading at $18.41 against a par value of $25 because the market has decided a fair current yield in the current environment is 7.74%.

In an environment resembling the TINA of the past returns, where there is a scarcity of high quality high yield securities, we believe that equilibrant market yield will be closer to 6.5%. To get there, PEB-H would have to trade at $21.92.

That would be 19% capital appreciation on top of the 7.74% yield we are paid to wait.

Wrapping it up

As interest rates move, each security is impacted differently. Some benefit; others are harmed. The examples of opportunity presented in this article are just the tip of the iceberg. They can serve as a template of the concepts that signal disproportionate benefit.