Rurika Imahashi of Nikkei Asia reports that Australia is doubling its funding to produce a stronger supply chain in order to reduce its reliance for critical minerals on China. He writes: Australia will expand financing for the critical minerals sector by 2 billion Australian dollars ($1.26 billion), Prime Minister Anthony Albanese said Wednesday, doubling its funding as the country looks to reduce reliance on China. Canberra created the AU$2 billion Critical Minerals Facility in 2021 to finance mining and processing projects by businesses. The government will double the money for this … [Read more...]
Archives for October 2023
Storming the Magic Kingdom: Wall Street and the Raiders…
When you look at the long-term advance of stocks over the past four decades, an observation worth noting: It was good to be 24 in 84. Meaning if you were young and hungry and happened to work on Wall Street, the world was your oyster. Until it wasn’t. Risk was rewarded, and a fair amount of luck was involved, disguised as skill. Not that these weren’t wicked smart people like Mike Milken, for example, the father of junk bonds. Because it was Milken who showed corporate raider Saul Steinberg how to storm Walt Disney’s castle with high-yield debt. Steinberg, like Captain Hook, had a boatload … [Read more...]
Is the Electric Vehicle Market Cooling?
Mike Colias of The Wall Street Journal reports that the Detroit automaker posted strong profit but cites a slowing market for electric vehicles and says it is losing $200 million a week on the UAW strike. He writes: General Motors is abandoning a self-imposed target to build 400,000 electric vehicles by mid-2024, the latest sign that automakers are concerned about the viability of the market for battery-powered cars. The Detroit automaker walked back the goal while reporting a healthy third-quarter profit, despite the hit from the continuing United Auto Workers strike. The walkout, … [Read more...]
U.S. Economy Shows Some Life as Inflation Cools
Jeffrey Bartash of Market Watch reports that the U.S. economy has gotten off to a good start in the fourth quarter as inflation cools. He writes: The U.S. economy improved at the start of the fourth quarter due to slower inflation and fresh hopes that interest rates have peaked, a pair of S&P surveys showed. The S&P flash U.S. services-sector index rose to a three-month high of 50.9, from 50.1 in the prior month. Most Americans are employed on the service side of the economy. The S&P U.S. manufacturing-sector index, meanwhile, climbed to a six-month high of 50, from 49.8 … [Read more...]
“There’s No Way He Deserves It,” They Say
When you look at today’s yields, you can finally say, “Self, this is your grandfather’s treasury bill rate.” Because it’s been a long time since we had rates that you can sink your teeth into. Yet, that doesn’t stop the howls and jeers for lower rates from the talking heads. “Houses are too expensive,” they complain. But you remember a time when your first mortgage rate was in the teens. You got through it. You figured it out. And here you are. In a world of instant gratification, where every asset was going up, and everyone was a stock market trader, now we’re seeing a taste of reality. … [Read more...]
Major Oil Companies Doubling Down on Fossil Fuels
Collin Eaton and Peter Stiff of The Wall Street Journal report that major oil companies are doubling down on fossil fuels following a recent prediction by the International Energy Agency that fossil-fuel demand globally would reach its zenith this decade. They write: Chevron said it would buy Hess in an all-stock deal worth $53 billion in the second major oil tie-up this month, after Exxon Mobil’s deal to buy Pioneer Natural Resources. The U.S. energy company said buying Hess would upgrade and diversify its portfolio, marking Chevron’s entrance into an Exxon-led partnership overseeing a … [Read more...]
UAW Strike Pinches Automakers and Suppliers
Sean McLain and Ryan Felton of The Wall Street Journal report that United Auto Worker walkouts have resulted in thousands of layoffs at Detroit automakers and their suppliers; it has had less impact on car buyers. They write: Six weeks into United Auto Workers’ strike, the impacts of the work stoppages are rippling through the car business, causing pain for the automakers themselves, as well as parts makers and factory workers. One corner of the industry that has been largely spared: dealerships and consumers, due in part to an inventory buildup of both cars and parts before the … [Read more...]
Time to Revisit Your Bond Portfolio?
In The Wall Street Journal, John Greenwood and Steve H. Hanke, both economists at Johns Hopkins, discuss the similarities of today's markets to that of 1987, and October 19 of that year, which is known as "Black Monday." They write: This brings us to the stock-market crash of 1987. In that year the key 10-year bond yield rose steeply from January onward (from 7% in January to 10% by Black Monday in October) and the money supply slowed sharply. In 1987 growth of M2 declined by almost half, from 9.7% year-on-year in January to 4.9% in September, while M3—no longer published by the Fed—slowed … [Read more...]
Part II: When Others Resent You for Your Success
You appreciate what you have, where you’re at in life (maybe a little more money wouldn’t hurt), and where you’re going. You saved ‘til it hurt, and you know you definitely don’t want to have to do that again. You worked hard at your job, your business, and you put in the time. It went by fast, but a lot of those days were long. Now, you need to keep what you’ve made. A different skill set is needed. What are you going to do? First, I want you to avoid the mistakes that keep investors from realizing the success they deserve. Mr. Market has a way of wanting to change people’s lives, and not … [Read more...]
Used Commercial Aircraft Market Takes Off
Jon Sindreau of The Wall Street Journal reports that endless manufacturing defects affecting newer planes are increasing the value of older models. He writes: Anyone who has walked into a used-car dealership knows about the risks of being sold a lemon. When it comes to aircraft, however, it is the newer models that seem more likely to leave owners stranded. The value of 10-year-old planes has jumped in recent weeks, according to appraisal data from aviation-analytics firm Ishka. The price tag for the Airbus A320-200—the backbone of the world’s short-haul fleet—has risen 10% since August, … [Read more...]
- « Previous Page
- 1
- 2
- 3
- 4
- …
- 6
- Next Page »