Archive for April, 2023

• Morning News: April 28, 2023
  Eddy Elfenbein, April 28th, 2023 at 7:04 am

  China Ratchets Up Pressure on Foreign Companies

  The Shining Promise and Dashed Dreams of China’s Live Shopping Craze

  Socialist Wave Sends Money Flying Out of Latin America

  Japan’s New Central Bank Governor Sticks to Negative Interest Rates in His First Meeting

  Russian Central Bank Holds Rate at 7.5%, Keeps Future Hikes on the Table

  Deutsche Bank’s Numis Deal to Reshape London Banking

  First Republic Shares Gain on Reports of Potential Rescue Plans

  The Eurozone Economy Shows Signs of Modest Growth

  U.S. Economy Continues to Grow, but More Slowly

  Higher Food Prices Bring Bigger Profits, but Consumers Start to Resist

  Households Are ‘Cash-Stuffing’ to Cope With Cost-of-Living Jump

  They Want to Change the World. They Would Also Like a Raise.

  JPMorgan Employees Gripe About Dimon’s Return-to-Office Edict

  Exxon Posts Record First-Quarter Profit as Oil Output Climbs

  Amazon Jolts Investors With Talk of Cloud Growth Slowdown

  Snap’s Sales Fall for First Time as a Public Company

  Bed Bath & Beyond Store Closures Will Kick Off a Land Grab for Fast-Growing Retailers

  DeSantis’s Miscalculation: ‘Disney Is Playing the Long Game’

  World’s Richest Man Likes the View Atop Refurbished Tiffany

  The Long Demise of the Stretch Limousine

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• Morning News: April 27, 2023
  Eddy Elfenbein, April 27th, 2023 at 7:05 am

  Germany in Talks to Limit Export of Chip Chemicals to China

  ASML, Europe’s Most Valuable Tech Firm, Is at the Heart of the US-China Chip War

  U.S. Consulting Firm Is the Latest Target of a Chinese Crackdown

  McCarthy Debt Plan Passes House, Escalating Standoff With Biden

  Powell Faces Pushback Inside Fed Over Need to Cool Wage Gains

  Still Going Fast, Inflation Changes Drivers

  Banking Problems May Be Tip of Debt Iceberg

  Deutsche Bank Plans More Job Cuts After Traders Trail Peers

  First Republic Shows How Not to Bolster Confidence

  At Charles Schwab, Being a Big Bank Has Become a Big Problem

  JPMorgan Creates AI Model to Analyze 25 Years of Fed Speeches

  Profit Margins Are Sliding for Americans Who Sell Their Homes

  When Megamergers Fall Apart

  As Regulators Block Tech Deals, They Increasingly Look to the Future

  Kaiser Permanente to Acquire Geisinger

  Elon Musk Ramps Up A.I. Efforts, Even as He Warns of Dangers

  Facebook Parent Meta Platforms Sees First Sales Increase in Nearly a Year

  Southwest Posts Wider-Than-Expected Loss as Toll of Holiday Crisis Stretches Into 2023

  Disney Sues Ron DeSantis After Oversight Board Voids Theme-Park Agreements

  Freddie Mercury Estate Sale to Auction Original Lyrics to “We Are the Champions” and More

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• Morning News: April 26, 2023
  Eddy Elfenbein, April 26th, 2023 at 7:05 am

  India’s Population Surpasses China, Shifting Global Order

  U.S. Treasury Looks to Curb ‘De-risking’ at Banks

  First Republic Bank to Weigh Up to $100 Billion in Asset Sales

  Quants Are ‘Out of Ammo’ for Buying Stocks, Goldman Warns

  Should Investors Move To Cash Right Now?

  The New Finance Rich List

  Binance Faces Mounting Pressure as U.S. Crypto Crackdown Intensifies

  US Supreme Court Mulls Legality of a State’s Property Tax ‘Windfall’

  Home Prices Rose in February for First Time Since June

  Midwest Cities Led WSJ/Realtor.com Housing Index in First Quarter

  UK Blocks Microsoft’s $69 Billion Activision Deal

  Microsoft Revenue Growth Stays Low as Economic Concerns Hurt Demand

  Google Ad Revenue Drops for Second Straight Quarter

  Google Is All About Cost Control Now

  TikTok Ban in Montana Faces Speed Bump as Governor Seeks Changes

  PricewaterhouseCoopers to Pour $1 Billion Into Generative AI

  Musk Bets the House of Tesla on Low Prices and Razor-Thin Margins

  GM Killed the Chevy Bolt — and the Dream of a Small, Affordable EV

  Carvana Was Built for Low Interest Rates. Can It Survive Its $8 Billion Debt?

  British American Tobacco Is Fined $635 Million for Selling Cigarettes to North Korea

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• Morning News: April 25, 2023
  Eddy Elfenbein, April 25th, 2023 at 7:03 am

  Italy Stands Out to Moody’s as Only Country Risking Junk

  Here’s How Supply Chains Are Being Reshaped for a New Era of Global Trade

  Wall Street Is Finally Going to Make Money Off the Permian

  Sliding Diesel Prices Signal Warning for U.S. Economy

  Commerce Dept. Outlines Its Bid to Fund Cutting-Edge Chip Research

  Commercial Real-Estate Woes Run Deeper Than in Past Downturns

  UBS Drops as Cautious Wealth Clients Add to Takeover Challenges

  First Republic Bank Lost $102 Billion in Customer Deposits

  Amazon’s Satellite-Internet Ambitions Move Closer to Reality

  McDonald’s Tops Sales Estimates as Customers Shrug Off Price Rises

  Bud Light Suffers ‘Staggering’ 17% Sales Plunge Amid Dylan Mulvaney Controversy

  G.M.’s Profits Fell 18.5 Percent in the First Quarter

  Hyundai Motor Bolsters US Presence With $5 Billion EV Battery Venture

  Verizon Revenue Misses Estimates and Subscribers Decline. The Stock Slips.

  Bed Bath & Beyond’s Demise Creates Fresh Opportunities, Retail Landlords Say

  How IKEA Chopped, Hollowed Out and Flattened Its Furniture to Cut Costs

  Spotify Draws More Listeners, Including Paying Subscribers

  Prince, Stevie Nicks Music Investor Bets on Bollywood

  Tucker Carlson, a Source of Repeated Controversies, Is Out at Fox News

  Don Lemon Ousted From CNN in Move That Left Him ‘Stunned’

  Not Just a D.J., Goldman C.E.O. Also Dabbles in Luxury Real Estate

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• Carrier Global to Buy Viessmann
  Eddy Elfenbein, April 24th, 2023 at 1:05 pm

  The Wall Street Journal is reporting that Carrier Global (CARR), one of our Buy List stocks, is in talks to buy Viessmann, a German industrial manufacturer, for $10 billion. The deal will be in cash and stock.

  Viessmann is a family-owned company. Last year, it had sales of $4.4 billion.

  Carrier is mostly known as an HVAC company but it has been working to diversify its business. Earlier, the company said it’s also looking to sell off its Fire & Security business.

  From the WSJ:

  Buying closely held Viessmann would further diversify Carrier’s operations outside of the U.S. Last year, the Florida-based maker of air conditioners and other types of heating and cooling equipment reported net sales of $20.4 billion, of which 60% came from the Americas and 23% from Europe, the Middle East and Africa, according to the company’s annual report.

  We own Carrier and Otis (OTIS). Both were spun off from United Technologies.

  Carrier, with a market value of $38 billion, is focused on expanding its refrigeration as well as its heating, ventilation and air-conditioning businesses. Last year, it acquired substantially all of Toshiba Corp.’s stake in the companies’ Toshiba Carrier Corp. joint venture for $900 million. TCC provides residential and light-commercial HVAC products including heat pumps.

  Carrier’s Fire & Security division accounted for about 17% of the company’s sales in 2022. Demand for the division’s products, which are used across residential, commercial and industrial properties, was mixed in the most recent quarter, buffeted by slower new construction in some markets, management said on a conference call in February.

  Shares of Carrier are down about 5% in today’s trading.

• Morning News: April 24, 2023
  Eddy Elfenbein, April 24th, 2023 at 7:05 am

  Brazil Woos Skeptical Foreign Investors with New Fiscal Plan

  Germany’s ‘Very Generous’ Pay Deal May Complicate ECB’s Inflation Fight

  Americans Escaping Pricey Cities Bring Higher Housing Costs, Inflation With Them

  Car Dealer Markups Helped Drive Inflation, Study Finds

  Hedge Funds Place Biggest Ever Short on Benchmark Treasuries

  Morgan Stanley Sees Risks to Stocks From Earnings, Fed

  Credit Suisse Saw $69 Billion of Outflows Before UBS Takeover

  Why the Banking Mess Isn’t Over

  Silicon Valley Startups Brace for a Summer of Pain

  The Crypto Detectives Are Cleaning Up

  The Future of AI Relies on a High School Teacher’s Free Database

  Are Text Messages the New Social Media? One Start-Up Thinks So.

  What Young Workers Miss Without the ‘Power of Proximity’

  Weapons Makers Can’t Hire Enough Workers as Ukraine War Drives Demand

  Toyota Pitches a New Prius as Plug-In Hybrids Battle EVs for Share

  How the World Is Spending $1.1 Trillion on Climate Technology

  Small Towns Chase America’s $3 Trillion Climate Gold Rush

  How to Spot Greenwashing: When Companies Aren’t as Green as They Claim

  Bed, Bath & Beyond Plans to Swiftly Liquidate, Shutter Stores

  There Was No Good Way for Bed Bath & Beyond to Die

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• Morning News: April 21, 2023
  Eddy Elfenbein, April 21st, 2023 at 7:03 am

  How a Brazen Plot to Rig Oil Auctions Cost Venezuela Billions

  Taiwan Quietly Urges US to Calm Rhetoric on China Chip Risk

  Yellen Says National Security Comes Before Economy in U.S.-China Relationship

  Fed Rethinks Loophole That Masked Losses on SVB’s Securities

  Credit Suisse Investors Challenge Switzerland’s $17 Billion Bond Write-Down

  America’s Inflation Antihero Gets a Makeover

  Billion-Dollar Hedge Fund Startups Rise to Pre-Pandemic Levels

  The Fabulous Yields, and Lurking Risks, of Money Market Funds

  Rates on C.D.s Are Soaring, but the High Rates May Not Last

  AI Is Coming for Wealth Management. Here’s What That Means

  Battle Over Labor Secretary Nominee Reflects a Larger Fight for Biden

  Franchisers, Facing Challenges to Business Model, Punch Back

  Home Prices in March Posted Biggest Annual Decline in 11 Years

  How Hard Lines in Fox-Dominion Deal Talks Suddenly Softened

  Tesla Increases Price of Model S, X in US After Shares Slump

  Apple Plans iPhone Journaling App in Expansion of Health Initiatives

  When Apple Comes Calling, ‘It’s the Kiss of Death’

  Google Launched Bard Chatbot Despite Ethics Concerns, Warnings It Was a ‘Pathological Liar’

  Luxury Fortunes Jump $93 Billion on Demand Boom for Hermes, Dior

  Americans Are Set to Spend More Than Brits at UK Hotels for Coronation

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• Morning News: April 20, 2023
  Eddy Elfenbein, April 20th, 2023 at 5:14 am

  Forget Macron, Europe and the U.S. See Eye-to-Eye on China’s Threat

  China Central Bank Pledges ‘Appropriate’ Interest Rates in 2023

  India Races to Get Rich Before It Gets Old as Population Passes China

  Australia Plots Biggest Shake-Up of Central Bank in Decades

  Credit Suisse Bondholder Wipeout Challenged in Swiss Court

  Banks Leaned on a Little-Known Lender in March as Customers Fled

  In Prosecution of Turkish Bank, the Supreme Court Issues a Mixed Ruling

  As Fears of Banking Crisis Surged, Members of Congress Sold Bank Shares

  US Treasury’s Cash Pile Jumps $108 Billion on Tax Day

  TSMC’s Outlook Disappoints as Global Tech Slump Persists

  Tesla Earnings Dented by Price Cuts

  Tesla’s Not Done Cutting Prices as It Protects Lead in EVs

  Understanding How AI Impacts Business

  The Future of Social Media Is a Lot Less Social

  Facebook Users Can Apply for Their Portion of a $725 Million Lawsuit Settlement

  After Fox Settlement, Assault on Media Protections Is Likely to Continue

  DeSantis-Allied Board Plans to Nullify Disney’s Prior Development Deal

  Bed Bath & Beyond Preparing for Bankruptcy Filing Within Days

  The World’s Richest Person Auditions His Five Children to Run LVMH, the Luxury Empire

  When Will I Retire? How About Never

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• CWS Market Review – April 19, 2023
  Eddy Elfenbein, April 19th, 2023 at 6:13 pm

  Earlier today I had one of the most thrilling experiences of my professional life. I got to ring the opening bell at the New York Stock Exchange.

  Here’s the video.

  This was an amazing experience. I want to thank the folks at the NYSE for their hospitality. I was joined on the balcony by my business partners at AdvisorShares. They’re the ones who make sure that our ETF (CWS) runs smoothly.

  Here are a few pictures from today’s festivities.

  This is the famous facade of the NYSE:

  

  Here’s a look at the balcony from the trading floor”

  

  This is Peter Tuchman, one of the legendary traders on the floor. He’s often photographed in news stories about the market. He stayed with us and chatted markets.

  

  Me looking professional.

  

  71 seconds to go. This is the view from the balcony. You can barely make out Jim Cramer in the middle. I cut off his head (sorry, Jim!). Above that you can see me on the screen taking this picture.

  

  Me with gavel.

  

  “The Dukes are buying. Let’s get in on this.”

  

  CWS!

  

  No stock stuff today. I just wanted to share a fun day with you.

  The regular premium issue will go out on Friday. By the way, we had a very Buy List good earnings report today from Abbott Labs (ABT). The stock beat earnings by four cents per share and closed the day higher by 7.8%. Stryker (SYK) also got to a new all-time high today. I’ll have full details in the upcoming issue.

  – Eddy

  P.S. I’m available for any of your bell-ringing needs (weddings, graduations, Notre Dame, etc.)

• Morning News: April 19, 2023
  Eddy Elfenbein, April 19th, 2023 at 7:10 am

  Russia Is Importing Western Weapons Technology, Bypassing Sanctions

  U.K. Inflation Stays Above 10%, Raising Prospect of Further Interest Rate Increases

  Banks Betting on Paris Say There Really Is Life After London

  $1 Billion Sale Marks First Major Bank’s AT1 Bond Offer Since Credit Suisse Wipeout

  As Possible Debt Limit Crisis Nears, Wall Street Shrugs

  Deciphering the Fed Is a Test Even High School Kids Can Pass Now

  Kim Kardashian Hires Wall Street Talent to Bulk Up Buyout Firm

  TikTok Could Get a Lifeline from Big Tech as a U.S. Ban Looms

  Fox to Pay $787.5 Million to Settle Dominion’s Defamation Lawsuit

  Fox’s Dominion Payout Gives Private Equity Firm 1,500% Return

  Bitcoin Falls on Interest-Rate Worries. But Bullish Signs Are Still Flashing Gains Ahead.

  Goldman Sachs Moves to Keep Shrinking Its Consumer-Lending Business

  Netflix Gains 1.75 Million Subscribers, Axes DVD-Rental Business

  San Jose Plans Robocar Network Instead of Airport Shuttle

  In China, a Big Auto Show Returns to a Country That Has Gone Electric

  Johnson & Johnson Posts Higher Quarterly Sales, Raises 2023 Outlook

  Insurer Travelers Profit Falls on U.S. Storm Costs

  The Companies That Give Everyone the Day Off When Life Gets Stressful

  ‘Leave Pity City,’ MillerKnoll CEO Tells Staff Who Asked Whether They’d Lose Bonuses

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