Archive for August, 2023

• CWS Market Review – August 8, 2023
  Eddy Elfenbein, August 8th, 2023 at 7:06 pm

  (This is the free version of CWS Market Review. If you like what you see, then please sign up for the premium newsletter for $20 per month or $200 for the whole year. If you sign up today, you can see our two reports, “Your Handy Guide to Stock Orders” and “How Not to Get Screwed on Your Mortgage.”)

  The Age of Decoupling

  One of the important changes impacting the U.S. economy is that American companies are altering their businesses so they’re not as dependent on China.

  The buzzword is “decoupling,” and it’s been happening quickly. Through May, imports from China are down 24%. Some of it is politics, but a lot of it comes down to simple economics.

  Thanks to decoupling, America’s top trading partner is now Mexico. Adjusted for inflation, the value of imports from China are down 12% over the last five years. Meanwhile, imports from Mexico are up about $10 billion compared with the same period last year.

  Decoupling shows little sign of slowing down. On Tuesday, China said that exports fell by 14.5% in July from a year ago and imports dropped by 12.4%. That was much worse than expected. Exports to the U.S. fell by 23.1%. Exports from China have fallen for three months while imports are down for five months in a row.

  After growing quickly for several years, the Chinese economy is in a bad state. Domestic demand has slowed to a crawl. Even after Covid restrictions were lifting, the economy didn’t see a rebound.

  American companies have come to realize that it’s risky to have so much of their supply lines dependent on China. We’re also seeing that retailers like Target and Walmart are ordering fewer Chinese goods. For example, China’s share of personal computers fell from 61% in 2016 to 45% last year. For printers, China’s share fell from 48% to 23%.

  For many years, China was incredibly important to global manufacturing, but that position is being challenged. It’s still important but countries like Mexico, Vietnam and Thailand are gaining market share. The interesting part of this change is that it’s happening not from governments but from businesses.

  When Donald Trump was president, the U.S. government placed tariffs on several Chinese-made goods. Also, Chinese workers have been getting higher pay, and that cuts into the country’s former strength as being the low-cost producer.

  It’s not just the U.S., but it’s been happening in Japan as well. Companies are opening fewer manufacturing facilities in China.

  We’re also seeing Chinese firms trying to bypass the tariffs. For example, companies will build nearly everything in China and then send it to Mexico for final assembly. The products are really made in China but are stamped as being made somewhere else.

  This is important because in the U.S., the Federal Reserve has been fighting inflation by hitting demand. In response, consumers are shifting their spending from goods to services. That leaves Chinese-made goods on the outs. This change may last a long time. We’re now living in the Age of Decoupling.

  The July Jobs Report: OK But Not Great

  Despite many predictions of its imminent demise, the U.S. labor market continues to churn out more jobs, albeit at a slower rate. On Friday, the government released the jobs report for July. According to the Bureau of Labor Statistics, the U.S. economy created 187,000 net new jobs last month.

  To be frank, that’s an okay number but not a great one. Wall Street had been expecting a gain of 200,000. July was the slowest month for job gains since December 2020 when the economy shed 268,000 jobs.

  In this chart, you can really see the drop in job gains:

  

  The year-over-year percentage of jobs gained has declined 16 times in the last 17 months. In other words, the economy is still creating new jobs but at a progressively slower rate.

  Some of the details are encouraging. Private payrolls increased by 172,000. We’re also seeing better numbers for wages. Last month, average hourly earnings rose by 0.4%. That was 0.1% better than expected. Over the past year, average hourly earnings are up 4.4%. The problem is that inflation has taken a big bite out of workers’ paychecks.

  Here are some more details:

  Health care led job creation by industry, adding 63,000 jobs for the month. Other sectors contributing included social assistance (24,000), financial activities (19,000) and wholesale trade (18,000). The other services category contributed 20,000 to the total, which included 11,000 from personal and laundry services.

  Leisure and hospitality, which has been a leading sector for most of the recovery in the Covid pandemic era, added just 17,000 jobs, consistent with a slowing trend after averaging gains of 67,000 a month in the first three months of 2023.

  Previous months’ totals were revised lower — the June count dropped to185,000, a downward revision of 24,000, while May was cut to 281,000, down 25,000 from the previous estimate.

  Economists like to look at the broader U-6 rate which is often referred to as the underemployment rate. For July, that was 6.7%. That’s not far from the cyclical low of 6.5%.

  The unemployment rate ticked down to 3.5%. On Twitter (or X), I noted that “The unemployment rate is lower today than *at any point* in the 1970s, 80s, 90s, 00s and 10s.”

  This prompted several responses telling me to look at the labor force participation rate. Here’s a sample:

  

  Well, let’s go for it. The labor force participation rate (LFPR) measures the percentage of people who are employed or are actively looking for work.

  There seems to be a widespread belief that the only reason that the unemployment rate is low is because the government doesn’t count the people who have stopped looking for work.

  This is simply incorrect. For July, the LFPR rate held at 62.6% for the fourth month in a row. That’s the highest it’s been this cycle.

  In an interview with the New York Times, John C. Williams, the president of the New York Fed, said “we’ve seen the labor force participation, labor force growth improve quite significantly.”

  It’s true that during Covid, many folks left the work force, but they’ve come back. At its low, the labor force participation rate got to 60.1 in April 2020. The current LFPR is below its pre-Covid high, but it’s not that far from it. The fact is that the workforce has largely returned to normal.

  Here’s the catch. That LFPR can be influenced by demographic factors such as the growing number of retirees. It’s not that bummed out young people have stopped looking for work. Instead, it’s that grandma and grandpa have retired and moved to Florida.

  That’s why I prefer to watch the labor force participation rate for people from ages 25 to 54. That helps us skirt the age issue. For July, that was 83.4% which is close to its highest level of the last 20 years. June’s rate was 83.5% which is the highest since May 2002.

  

  There are plenty of criticisms for the economy. The pace of jobs growth is rapidly slowing, and wages lagged inflation for several months, but we absolutely have not seen a mass exodus from the jobs market.

  The next big econ report will be this Thursday when the CPI report for July is out. The inflation numbers have improved over the past year, but tackling the last bit may prove difficult.

  For the 12 months through June, consumer prices increased by 3%. The core rate, which excludes food and energy, increased by 4.8%. For Thursday, Wall Street expects the 12-month headline rate to rise to 3.3% and the core rate to drop to 4.7%.

  Currently, the futures market expects the Fed to pause again at its meeting on September 19-20. In fact, the futures don’t see the Fed making any changes until March 2024, and that first move is expected to be a rate cut. Until then, don’t let scary headlines make you flee the market.

  The FTC Finally Gives In

  One of our favorite Buy List stocks is Intercontinental Exchange (ICE). The company owns the New York Stock Exchange, plus a few other financial exchanges. Last week, the company released another solid earnings report ($1.43 vs $1.37 est.). What I like about the business is that ICE’s operating margin often runs around 60%. ICE has grown by using a series of aggressive but shrewd acquisitions.

  More recently, ICE started moving into mortgage technology. In 2020, ICE bought Ellie Mae, a mortgage technology business, for $11 billion. This strategy took a very big leap last year when ICE said it was buying Black Knight (BKI), a mortgage data vendor, for $11.7 billion.

  That got the attention of the U.S. Federal Trade Commission. They didn’t like the deal at all. The government felt that an ICE/Black Knight deal would put too much power in too few hands. The key to understanding the deal is that it’s all about data.

  

  The FTC contends that such a deal would stifle innovation and raise prices for consumers. Lina Khan, the head of the FTC, has gotten a lot of attention for her aggressive policies against corporate mergers. The problem for the FTC is that it hasn’t been doing well when its battles go to court. The FTC failed in its attempt to block Microsoft’s $70 billion acquisition of Activision. Leaving that aside, the FTC has been doing everything it can to scuttle the Black Knight deal.

  ICE and Black Knight struck back by selling off different units to appease the FTC. For example, Black Knight said it would sell its Optimal Blue business for $700 million. The company also said it would sell its Empower loan origination system business.

  The strategy finally worked, and the government threw in the towel. Yesterday, the FTC told a federal court that it will drop its lawsuit trying to stop the deal from going through. The trial had been set to start on Monday, August 14.

  Not that long ago, the merger deal was viewed as hopeless. The deal price was for $75 per each share of BKI. Less than a month ago, shares of BKI were trading for around $58. That’s changed. Yesterday, BKI rallied 4% to close at $74.36 per share. This is a big victory for Intercontinental Exchange.

  That’s all for now. I’ll have more for you in the next issue of CWS Market Review.

  – Eddy

  P.S. If you want more info on our ETF, you can check out the ETF’s website.

• Morning News: August 8, 2023
  Eddy Elfenbein, August 8th, 2023 at 7:06 am

  China’s Trade Plunges More Than Forecast in Blow to Recovery

  Don’t Be So Picky About a Job, China’s College Graduates Are Told

  Argentina’s Next President Is on a Collision Course With Hyperinflation

  Italy’s New Tax Wipes Out $10 Billion from Market Value of Banks

  Moody’s Cuts US Banks on Mounting Funding Costs, Office Risk

  The S.E.C.’s Chief Is Worried About A.I.

  SoftBank Plans Fresh AI Bets After First Investment Gains in 18 Months

  Stability AI’s Lead Threatened by Departures, CEO Concerns

  Nobody Beats Wiz: Meet The Aggressive, $10 Billion Startup Shaking Up Cloud Security

  How Yellow’s Downfall Is Rippling Through the Economy

  UPS Says Its Profit Will Fall After It Reaches a Teamsters Deal. Its Stock is Sinking Sharply

  Tesla’s New CFO Now Has Two Jobs and a Lot of Question Marks

  Elon Musk Calls Cybertruck Tesla’s ‘Best Product Ever.’ Here Comes the Test

  American Cars Are Developing a Serious Weight Problem

  Saudi Aramco Reports $30 Billion in Profit for Latest Quarter

  Rising Oil Prices Are Bad News for Drivers—and the Fed

  Paramount Agrees to Sell Simon & Schuster to KKR, a Private Equity Firm

  Eli Lilly Raises Full-Year Guidance as Drug Pipeline Drives Second-Quarter Profit Up 85%

  The U.S. Has a Beef With Europe—Over Cheese

  Bacardi’s Russia Business Grows as Other Booze Makers Leave Country

  Be sure to follow me on Twitter.

• Morning News: August 7, 2023
  Eddy Elfenbein, August 7th, 2023 at 7:50 am

  Rising Money Flows, Fueled by Record Migration, Prop Up Autocrats

  China or India? How to Invest in the Coming Asia Boom

  ‘Inflation’ Reality Can Be Found In Adam Smith, Not ‘Fiscal Theory’

  How Long Will Interest Rates Stay High?

  A Fed Official Wonders: ‘Do We Need to Do Another Rate Increase?’

  The New York Fed President Sees Interest Rates Coming Down With Inflation

  Government Shutdown Threat Builds After Downgrade, Imperiling Wall Street Bets

  Warren Buffett Is Trying to Tell Us Something About the Economy with Berkshire Hathaway’s Earnings and the $147 Billion of Cash on Hand

  Short Seller Hindenburg Nabs Tiny Gains Off $173 Billion Carnage

  Property Loans Are So Unappealing That Banks Want to Dump Them

  Big Oil’s Talent Crisis: High Salaries Are No Longer Enough

  Trucker Yellow Goes Bankrupt After Debt, Labor Woes Pile Up

  America’s Truckers, Cargo Pilots and Package Carriers Are Fed Up

  Siemens Energy CEO on $2.4 Billion Wind Turbine Hit: We Were ‘Going Too Fast’ with New Products

  Pfizer’s Covid Boost Crashes to Earth

  Boeing Aims to Get Starliner Spacecraft Ready to Fly Next March

  A Zoom Call, Fake Names and an A.I. Presentation Gone Awry

  Musk’s X to Pay Legal Bills of People ‘Unfairly Treated’ for Posting on Platform

  Where to Find a $4-an-Hour Math Tutor With a Ph.D.? Overseas

  The Era of Ultracheap Stuff Is Under Threat

  ‘Barbie’ Reaches $1 Billion at the Box Office, Studio Says

  Be sure to follow me on Twitter.

• Morning News: August 4, 2023
  Eddy Elfenbein, August 4th, 2023 at 7:05 am

  Inflation Is Cooling. Food Inflation Could Get Worse

  Hiring Has Stayed Strong. Here’s Where to Look for Signs of Cooling

  Slowing US Wage Growth to Set Stage for End of Fed Tightening

  Congress Ended a Tax Break. How That May Help Higher Earners

  BofA Clients Turn Cautious, Flee From Stocks on Recession Risks

  Credit Suisse Collapsed, And Switzerland Went Back to Making Money

  ‘Going Concern,’ Going Bust

  ‘You Have to Work Extra to Hire People’: What Companies Have Been Saying About Jobs

  The Chip Titan Whose Life’s Work Is at the Center of a Tech Cold War

  Superconductor Breakthrough Claims Traced to Seoul Basement Lab

  Apple Set to Relinquish Historic $3 Trillion Value

  Amazon Shines During Apple’s Off-Season

  Disney’s ESPN Plots Its Streaming Future, Seeking Tie-Ups With Leagues and Rivals

  The Women Behind Cadillac’s $300,000 EV Aimed at Rolls-Royce

  The Brand Stories of Our Lives

  Revolut to Stop Crypto Services for U.S. Customers

  Teen Gamers Swiped $24 Million in Crypto, Then Turned on Each Other

  ‘Bitcoin Bonnie and Clyde’ Plead Guilty to Money Laundering

  A Look Inside Sam Bankman-Fried’s Empire Before It Collapsed

  Israeli AI Startup Vesttoo Sparks a Global Insurance Scandal

  Be sure to follow me on Twitter.

• Morning News: August 3, 2023
  Eddy Elfenbein, August 3rd, 2023 at 7:06 am

  BOE Raises Rates to 5.25% With Warning Policy Will Remain Tight

  BOJ Makes Bold Shift as Yen Risks Grow Too Big to Ignore

  A Sudden Jump in Volatility Spells Trouble for Stocks

  Markets Still Weigh the Meaning of a U.S. Credit Rating Cut

  Is Good News Finally Good News Again?

  Bill Ackman Says He’s Short 30-Year Treasuries as Supply Ramps Up

  Larry Fink’s Bet on Saudi Oil Money Is Also His Latest E.S.G. Woe

  Apollo Posts Record $1 Billion Profit as Rate Hikes Fuel Athene

  Winners and Losers Likely as Switzerland Absorbs Credit Suisse Layoffs

  How an Ex-Goldman Banker Fought US Sanctions Over Russia — and Won

  U.S. Steelmakers Are Still Expanding as Demand Slows

  California Law Threatens to Help Drive Up Bacon Prices

  Workers to Employers: We’re Just Not That Into You

  Shrinking Minority of Americans Able to Cover $400 Surprise Bill

  Apple and Amazon Results Pose Tech Rally’s Toughest Hurdle Yet

  Meta’s Ray-Ban Smart Glasses Fail to Catch On

  Yellow’s Downfall Throws $700 Million US Covid Loan in Jeopardy

  Fall in Bud Light Sales Puts Dent in Beer Maker’s Earnings

  How Primark Built a Thriving Fashion Business Without Selling Online

  Hollywood Studios Signal New Strategy by Talking With Writers

  Murder, Money and the Battle for a Pharmaceutical Empire

  Be sure to follow me on Twitter.

• Morning News: August 2, 2023
  Eddy Elfenbein, August 2nd, 2023 at 7:05 am

  The West Attacked Russia’s Economy. The Result Is Another Stalemate

  A Former Banker Investigates What Could Be the Biggest Tax Heist in France’s History

  Wall Street Reaped Ruble Fortune on Clients Fleeing From Russia

  A Run of Strong Data Buoys Biden on the Economy

  Fitch’s US Credit Downgrade Sparks Criticism and Unease

  BofA Joins Fed in Reversing Recession Call Amid Growing Optimism

  Many Small US Banks Not Ready to Borrow from Fed in an Emergency

  AI Study Says Stocks Already Pricing a Job-Replacement Premium

  ‘How Do I Do That?’ The New Hires of 2023 Are Unprepared for Work

  Bulb Becomes a Flashpoint as the Sun Sets on Incandescent Lights

  Divvy Wants to Make Rent-to-Own Deals Easy. Many Customers Find Them Hard

  Miami Sees Its First Population Drop in Decades

  Health Insurers Don’t Want You to Know Where Your Money Is Going

  Amazon Unveils Biggest Grocery Overhaul Since Buying Whole Foods

  Why Trucking Giant Yellow’s Shutdown Could Cost Taxpayers Money

  How ESPN Went From Disney’s Financial Engine to Its Problem

  Taco Bell Owner Yum Brands Misses Revenue Estimates Despite Soaring KFC Sales

  Business Meals Are Back With a Vengeance, and Everyone Feels Awkward

  Toyota’s Land Cruiser to Return to U.S.

  Ferrari Hikes Targets Amid Strong Demand for Supercars

  Overstock.com Is Revamping Using Bed Bath & Beyond’s Name

  Be sure to follow me on Twitter.

• CWS Market Review – August 1, 2023
  Eddy Elfenbein, August 1st, 2023 at 6:19 pm

  (This is the free version of CWS Market Review. If you like what you see, then please sign up for the premium newsletter for $20 per month or $200 for the whole year. If you sign up today, you can see our two reports, “Your Handy Guide to Stock Orders” and “How Not to Get Screwed on Your Mortgage.”)

  On Monday, the S&P 500 closed out July with another nice gain. This was the index’s fifth monthly gain in a row which is the longest monthly winning streak in two years. This is also the S&P 500’s best YTD gain through July since 1997.

  

  It’s been a calmer stock market as well. On Friday, the Volatility Index closed at 13.33. That was its lowest level since January 2020.

  I’ve been pleased to see the rally becoming broader, meaning that more stocks are joining in on the fun. Until recently, the market had been very narrow. It was rightfully criticized for being overly focused on a few large-cap tech stocks.

  That’s not so true anymore. For the last two months, the S&P 500 Equal Weight ETF (RSP) has outpaced the rest of the market. Ryan Detrick, a great stat resource, points out that at one point last week, more than 89% of the stocks in the S&P 500 were trading above their 50-day moving averages. In other words, the minnows are joining the rally.

  The Resilient U.S. Economy

  The U.S. economy continues to hold up as well. I can’t think of a recession that’s been so widely expected yet so stubborn in refusing to make its appearance. Most of the recent economic signs have been fairly positive.

  Just look at the earnings reports this season. This will be the busiest week of earnings season with 160 stocks in the S&P 500 due to report. So far, 82% of companies that have reported have beaten expectations.

  Last Thursday, the government reported that the U.S. economy grew at a real annualized rate of 2.4% during the second quarter. Wall Street had been expecting growth of 1.5%.

  Some people thought this spring’s banking crisis would trip up the economy. Nope, that didn’t happen. Other folks thought all the tech layoffs would push us unto recession. Again, that didn’t happen.

  The economy’s performance is especially impressive because not that long ago, many economists assumed that the economy would be well on its way to a recession by now.

  In April, the Conference Board said the odds of a recession starting in the next 12 months were “near 99%.” Now, the Federal Reserve’s own staff no longer expects a recession to begin this year. In fact, consumers are pretty optimistic. The sentiment survey put out by the University of Michigan recently hit its highest level in nearly two years. That’s some recession!

  If anything, economic growth appears to be accelerating. Growth for Q1 was 2.0%. In the Fed’s last policy statement, it described the economy’s growth as “moderate.” In June, the Fed said growth was “modest.” I realize this may sound weirdly technical, but such wording changes are a big deal on Planet Fed.

  

  So what’s powering the economy? The answer is consumer spending. Last quarter, the economy was also helped by increases in nonresidential fixed investment, government spending and inventory growth.

  During Q2, personal consumption expenditures rose by 1.6%. While that was lower than the rate from Q1, during Q2, the economy was running against higher interest rates. Since March 2022, the Federal Reserve has raised interest rates 11 times. Interest rates are now at a 22-year high.

  Another good sign is that inflation has been cooling off. The personal consumption expenditure price increase rose by 2.6% during Q2. That’s down from 4.1% in Q1.

  Investors got nervous last year when the economy had negative growth for two quarters in a row. Since then, the economy has rattled off four straight quarters of positive growth. We’ll learn more about the economy this Friday when the July jobs report will be out. The estimate is that the economy created 200,000 nonfarm jobs and that the unemployment rate will be unchanged at 3.6%.

  More positive economic news came on Thursday when we got the durable goods report for June. That came in at 4.7% which was well above Wall Street’s forecast of 1.5%. On Friday, the Bureau of Economic Analysis said that personal income increased by 0.3% in June while personal spending increased by 0.5%.

  Earlier today, the ISM Manufacturing Index for July was reported at 46.4. That was a little below expectations. Any number below 50 means that the factory sector of the economy is contracting.

  What’s the Fed’s next move? Probably nothing. In the last three recessions prior to the Covid-led recession in 2020, the Fed had started cutting rates before the time the recessions had arrived. This underscores an important problem: the Fed’s major policy tool, adjusting interest rates, is highly imperfect.

  For one, it takes a long time after the Fed makes any changes in rates to witness the intended results. This is one of the reasons why the Fed so often seems to mistime events. Just recently, the Fed was well behind the curve regarding inflation.

  Fed Chairman Jerome Powell continues to sound stern. He recently said, “We think we need to stay on task. We think we’re going to need to hold policy at restrictive levels for some time. And we need to be prepared to raise further.” The market, however, isn’t so sure.

  The Fed doesn’t meet again until September 19-20. For now, traders expect another pause from the Fed. In fact, the Fed might pause for a few meetings. Futures prices don’t see the Fed making a move until March, and that initial move is expected to be a rate cut.

  The early evidence suggests that inflation continues to moderate. The issue is how quickly will the Fed finally recognize that inflation is under control. My view is that the rally is telling us the truth and that there are lots of reasons to be bullish.

  Trex Rallies on Strong Earnings

  Trex (TREX) is a valued member of our Buy List. The deck stock, like some people, has a habit of either running very hot or very cold. There’s not much in between.

  Trex was our #1 performing stock in 2020 (+86%) and 2021 (+61%). Last year, it was our worst performer by far (-68%). This year, Trex is again our top performer (+79%).

  If you’re not familiar with the company, Trex is a major maker of wood-alternative decking and railing. In my opinion, what they make looks a lot like wood, but it’s cheaper and involves a lot less maintenance.

  Trex is also better for the environment. Pressure-treated wood still dominates which means there’s plenty of room for Trex to grow. It’s also nice to know that with Trex, you don’t have to take another tree out of the Amazon rainforest to make your backyard deck.

  Trex is made from 95% recycled material. Every year, the company effectively takes 500 pounds of plastic out of landfills and uses it for alternative wood. It’s not just good for the planet, but it’s smart business.

  Trex takes all those used bags and bottles, then combines them with recycled sawdust from cabinet and furniture manufacturers, and that’s what Trex is made of. By the way, this also saves a lot of water.

  Some other key advantages are that Trex weighs less than wood and that it’s also more resistant to mold and insects. You don’t need expensive staining or sanding, and repairs are much less frequent. You’ll often hear people say that Trex looks fake. I think that used to be true, but it’s much less the case today.

  

  The recent problem for Trex is that the Fed’s desire to crush inflation also crushed its business. That’s because higher interest rates squeezed the housing market. Last year, shares of Trex plunged by two-thirds.

  The good news is that Trex is improving nicely. After the closing bell yesterday, Trex reported Q2 earnings of 71 cents per share. That topped Wall Street’s consensus of 53 cents per share.

  Trex had quarterly net sales of $357 million. Although that’s down 5% from last year’s Q2, it was well above Trex’s own guidance range of $310 million to $320 million.

  I’m also pleased to see that Trex isn’t reaching for sales by slashing prices. As investors, this is something we have to look out for. When some companies run into trouble, they’ll slash prices to goose sales at the expense of profit margins. Not so with Trex. The company’s Q2 gross margin increased by 220 basis points to 43.9%. Trex had an EBITDA margin of 32.8%.

  Now let’s look at guidance. The company expects full-year sales to range between $1.04 and $1.06 billion. For Q3, Trex sees sales of $280 million to $290 million. Wall Street had been expecting $264.22 million.

  Most impressively, Trex raised it guidance for full-year EBITDA margin to a range of 28% to 29%. That’s up from the previous guidance of 26% to 27%.

  During Q2, Trex bought back 264,896 shares for $16 million. Trex’s board recently approved a massive buyback program of up to 10.8 million shares. That’s 10% of all the outstanding shares.

  Shares of Trex jumped 10% today and reached a new 52-week high. We now have a 79% YTD gain with Trex. Thanks to our buy-and-hold philosophy, we have a three-and-a-half-year profit in Trex even after last year’s implosion, and we’ve beaten the overall market as well. Focus on good stocks and be patient.

  That’s all for now. I’ll have more for you in the next issue of CWS Market Review.

  – Eddy

  P.S. If you want more info on our ETF, you can check out the ETF’s website.

• Morning News: August 1, 2023
  Eddy Elfenbein, August 1st, 2023 at 7:05 am

  War, AI and Climate Change Shake Up $32 Trillion in Global Trade

  Global Demand for Coal Is Bringing Mayhem to South African Towns

  Solar Supply Chain Grows More Opaque Amid Human Rights Concerns

  The U.S. Clean-Energy Company That Hit the Subsidies Jackpot

  BP Says $6.8 Billion German Offshore Wind Bet Will Make Money

  Occidental, Adnoc Agree to Team up on Carbon Capture Investments

  Ratings Firms Struggle With Climate Risk in $133 Trillion Market

  A New Worry for Mexicans in the U.S.: The Strong Peso

  China Asks Some Banks to Reduce or Delay Dollar Buying

  Goldilocks and the Bidenomics Bears

  Wall Street Economists Are Looking at a September Rate Pause

  In Marc Rowan Era, Apollo Is Working to Shed Its Ruthless Image

  HSBC Rides Rising Rates to Double Its Income, Launches $2 Billion Share Buyback

  BP Boosts Dividend Even as Profit Slumps 70% to $2.6 Billion

  Merck Earnings Top Expectations. More M&A Could Be Next.

  New Factories Are Coming to the US, Even as Existing Ones Struggle

  Local Malls, Stuck in ‘Death Spiral,’ Plunge in Value

  Disney Goes Back to the Future

  Uber Delivers First-Ever Operating Profit in Drive to Curb Losses

  Elon Musk Is Finally Cracking Tesla’s Invincibility Shield

  Be sure to follow me on Twitter.