Financial Markets and Economy
Is Economic Growth In Its Final Innings? (ValueWalk)
The start of baseball season is still several days away, but a recent survey conducted by Bank of America Merrill Lynch found that 59 percent of U.S. fund managers believe the current stretch of economic growth is in its “final innings.” This is the highest reading since the financial crisis in 2008.
More Hedge Funds Shuttered Than Opened During 2015 Turmoil (Bloomberg)
Hedge-fund shutdowns outnumbered startups last year for the first time since 2009, according to data firm Hedge Fund Research, as the global industry contracted amid market volatility.
World's Biggest Bribe Scandal (Huffington Post)
In the list of the world's great companies, Unaoil is nowhere to be seen. But for the best part of the past two decades, the family business from Monaco has systematically corrupted the global oil industry, distributing many millions of dollars worth of bribes on behalf of corporate behemoths including Samsung, Rolls-Royce, Halliburton and Australia's own Leighton Holdings.
Now a vast cache of leaked emails and documents has confirmed what many suspected about the oil industry, and has laid bare the activities of the world's super-bagman as it has bought off officials and rigged contracts around the world.
The Entire Online Gig Economy Might Be Mostly Uber (Wall Street Journal)
One of the most-hyped changes to the U.S. labor market has been “the rise of Uber and its ilk”—companies that use smartphone apps to connect workers to gig jobs. The most prominent example of this phenomenon is, of course, Uber, the ride-hailing service that allows people to summon drivers with an app and pay by the ride. Other startups are attempting to bring this business model to a wide range of industries.
This is what's causing the new housing crisis (Business Insider)
The new housing crisis isn't just about homes themselves, but about the land they stand on.
Are European Stocks Cheap or is the U.S. Expensive? (A Wealth of Common Sense)
One of the most counterintuitive aspects of investing is the fact that you almost need to have bad news for things to get cheap enough to create a good long-term value. Markets or securities don’t become undervalued all on their own. There’s usually a catalyst involved in the form of poor fundamentals, bad news, missed expectations or a combination of things.
Good Reason to Beware Chinese Buyers (Bloomberg View)
You have to give credit to China’s Anbang. Only days ago, the Chinese insurance group was shoved aside in its long quest to acquire U.S. hotel operator Starwood. A rival suitor, U.S. hotelier Marriott, had recaptured Starwood's affections with a sweetened bid. Undeterred, Anbang roared back on Mar. 26 with an even juicier offer. Obviously, the company is not easily denied.
Energy Stocks Energize The Markets, But Can It Last? (Forbes)
There is evidence that much of the rebound in the energy space has been fueled by a short covering rally and this rally has relieved some pressure on the overall market. Case in point: Chesapeake Energy. has surged over 140% since February 19. The problem is that Chesapeake Energy is doing so poorly that its earnings are expected to plunge this quarter.
Asia stocks rise after Wall Street gains, dollar sags (Business Insider)
Asian shares rose on Thursday, taking early cues from Wall Street gains overnight, as receding worries of near-term U.S. interest rate hikes continued to buoy risk sentiment.
The dollar hovered near seven-week lows versus the euro as cautious comments from Federal Reserve Chair Janet Yellen earlier in the week on monetary tightening continued to resonate.
General Motors Ignition Switch Is Cleared in Trial Over a Crash (NY Times)
General Motors won a second consecutive case in litigation over its defective ignition switches, when a New York jury on Wednesday found that a faulty switch was not responsible for a 2014 accident that injured two people.
Sonic Shares Climb After Drive-In Burger Chain Boosts Forecasts (Bloomberg)
Sonic Corp. shares rose the most in a month after the drive-in chain posted better-than-expected sales and increased its annual forecast, helped by limited-time offers and other promotions.
Why Banks Are Better Off Than You Think, And Real Estate Isn’t (Wall Street Journal)
In the U.S., the financial crisis still looms large. The banks are treated with distrust and the markets with anxiety, and few believe the economy will ever return to normal.
After running The Wall Street Journal’s Asia finance and markets coverage for the past 4½ years, it is eye-opening to return home and see how little has changed.
Central Banks – Do You Believe In Magic? (Value Walk)
Markets have rallied from their lows in February, but do the conditions justify the rally? Russ discusses how central banks have cast a spell yet again, but can the magic continue?
Have Benchmarks Made Us Bad Active Investors (Alpha Architect)
Obsession with short-term performance against market cap benchmarks preordains the dysfunctionality of asset markets. The problems start when trustees hire fund managers to outperform benchmark indexes subject to limits on annual divergence…
Oil production in the Gulf of Mexico is booming (CNN)
U.S. oil production in the deep waters of the Gulf of Mexico is on the rise and on track to reach a record high in 2017, according to the Energy Information Administration.
That's despite the enormous costs associated with drilling for oil at depths of nearly two miles and the dramatic decline in oil prices that has caused overall U.S. oil output to decline in recent months.
Politics
Why American Elections Ranked the Worst Among Western Democracies (Pippa Norris, Harvard University)
The world is currently transfixed by the spectacle of American elections.
From New York, London and Paris to Beijing, Moscow, and Sydney there is endless heated debate in the news media and across dinner tables about the factors fueling the remarkable success of Donald Trump, speculation about a brokered convention shattering the old GOP, and the most likely outcome of a polarizing Trump-Clinton battle in the fall.
GOP Establishment in Wisconsin Unites Against Trump (Business Insider)
Wisconsin’s presidential primary next Tuesday represents the biggest test yet of Donald Trump’s ability to triumph over Republican state leaders united against him.
A Way Out of Republicans' Dead End (Bloomberg View)
Big Business is having big doubts about its traditional political allies. Senator Ted Cruz, who not long ago was considered the most offensive presidential candidate imaginable, is now the best-case scenario. Meanwhile, Donald Trump continues his march toward collecting the most delegates for the Republican presidential nomination in July, by which time it's doubtful there will be an American woman or racial minority whom he hasn't alienated.
Technology
The Age of Autonomous Robots Is Upon Us (Fortune)
Visit a small business in 2016 and you might notice a fresh face in the room: a robot.
Hulking robotic devices have long been a fixture on factory floors and in other heavy industrial environments. And the dirt-sucking Roomba and its peers, rudimentary versions of the humanoid butler Rosie from The Jetsons, are certainly popular in homes across the country.
Whether it’s calling mom or ordering take-out, we rely on our phones to help reach the people and things that matter. And while mobile phones have pushed us toward the future, home phone service is still important to many families. Landlines can be familiar, reliable and provide high-quality service, but the technology hasn’t always kept up. That’s why today, we’re introducing Fiber Phone as a new option to help you stay connected wherever you are.
Health and Life Sciences
Scientists Can Now Watch the Brain Evaluate Risk (The Atlantic)
At Stanford University, a rat faces a choice. If it presses one lever, it gets a fixed amount of sugar liquid. If it presses a second lever, it usually gets less but occasionally wins a sweet bonanza. This choice between a safe bet and a risky gamble is one of life’s most recurring and most important. It affects whether an animal gets a meal or a teenager drunkenly climbs behind a wheel, whether an entrepreneur rakes in the cash or a global financial system collapses. And, if the Stanford rats are any indicator, it’s a choice whose outcome can be predicted and controlled.
The science of sweat, and how to keep cool (Market Watch)
A trip to the gym can leave some people’s shirts unusually soaked. For others, shaking hands with the boss can be a physically stressful moment.
The reasons some people sweat a lot while others stay dry aren’t completely understood. Still, one expert, Harmik J. Soukiasian, chief of thoracic surgery at Cedars-Sinai Medical Center in Los Angeles, has some wisdom on the matter. Soukiasian also heads Cedars-Sinai’s clinical team for hyperhidrosis, or excessive sweating.
Life on the Home Planet
The Great Barrier Reef is suffering from horrific coral bleaching (Quartz)
The health of the world’s largest coral reef is worse than ever, and you can tell just by looking at it from far away.
Recent aerial surveys show that approximately 95% of the once-pristine northern section of the Great Barrier Reef suffers from coral bleaching, a condition caused by too-warm water and other environmental stressors. Coral that should otherwise be covered in colorful algae is bare and white.
Germany tells refugees: Integrate or lose your right to live here permanently (Quartz)
Refugees wishing to stay in Germany must learn the language and integrate—or risk losing their permanent residency.
“For those who refuse to learn German, for those who refuse to allow their relatives to integrate—for instance women or girls—for those who reject job offers: for them, there cannot be an permanent residence permit after three years,” German interior minister Thomas de Maizierede told ARD television (link in German).
