Financial Markets and Economy
Investors continue to pile into America's hottest investment product (Business Insider)
As the markets rallied, Bank of America Merrill Lynch saw its clients buy $155 million worth of US equities last week, according to a note circulated on Tuesday, December 20.
The U.S. stock market looks awfully expensive since the Trump rally (NY Times)
A new president won’t take office for another month, but the financial markets’ early verdict on the Donald Trump era is in, and it is straightforward.
FTSE hits two-month high, boosted by banks after Lloyds deal (Reuters)
Britain's top share index rose to a two-month high on Tuesday, helped by gains in Carnival (CCL.L) and strength in the bank sector after Lloyds (LLOY.L) rose after a deal to buy a credit card business.
Americans are now in more debt than they were before the financial crisis (Market Watch)
The average household with credit card debt owes $16,061, up 10% from $14,546 10 years ago and $15,762 last year, according to a new analysis of Federal Reserve Bank of New York and U.S. Census Bureau data by the personal finance company NerdWallet.
Chinese Companies Can't Simply Manufacture Global Brands (Forbes)
A brand is so fundamental yet so difficult to describe. Ask most people what their brand is and they will likely look puzzled or waffle. I think that’s why Simon Sinek’s TEDx Talk on the Golden Circles of first communicating your "why" before "what" was so simple and profound that it remains one of the most watched with nearly 30 million views.
Property Investors Need to Step Out of Their Comfort Zone (The Wall Street Journal)
The future of property could be niche. Specialist buildings—anything from doctor’s offices to cinemas, data centers to purpose-built student housing—typically offer higher returns than the old staples of commercial property investment, while in many cases looking more future-proof.
Have the Trump Tweets Ruined the Defense Sector? (Mauldin Economics)
Wall Street isn’t used to presidents publicly criticizing major US companies. The tweets caused shares to tumble a few points for both Boeing (BA) and Lockheed Martin (LMT), which makes the F-35 fighter planes. The stocks recovered quickly, but the sudden moves gave traders a few frantic minutes.
Bubble alert: In lieu of forfeiting equity to VC backers, start-ups are seeking risky loans (Salon)
In lieu of forfeiting equity to venture capital firms, start-ups are increasingly taking on debt, according to a new Bloomberg Technology report.
Mark Hanson Explains Why "A 1% Mortgage Rate Surge Changes Everything" (Zero Hedge)
Zillow is rapidly catching up with where the rest of the mortgage providers offer 30 Year Fixed Rates Mortgages, and as it reported moments ago, the 30 Year Fixed in the Zillow Mortgage Rate Monitor rose from 3.94% to 4.1% in the week ended today.
China Must Quickly Tackle its Corporate Debt Problems (EconMatters)
China urgently needs to tackle its corporate-debt problem before it becomes a major drag on growth in the world’s No. 2 economy. Corporate debt has reached very high levels and continues to grow.
Las Vegas Is Now Powered Entirely by Renewable Energy (Esquire)
Just last week, Las Vegas announced it has reached its goal of powering the city entirely with renewable energy, meeting a goal the city has been working toward for nearly a decade. The goal was reached with the launch of Boulder Solar 1, a 100-megawatt solar plant located just outside the city.
Remember The Hunt Brothers? The Silver Market Is Now Cornered Again (Simple Degressions, Seeking Alpha)
In my last article on gold I presented a thesis that during the ongoing correction in precious metals the American investors were selling gold while the Chinese investors were buying it.
The Trump Bump vs. Gold vs. Yellen’s Keynesian Analysis (Daily Reckoning)
For much of 2016, gold’s price action was whipsawed by market speculation about whether or not the Fed would raise interest rates in a final, grand gesture to ring out the month of December, as well as the soon-ending Obama administration. In essence, all year, the golden spotlight has been on Yellen.
Solar Now Produces a Better Energy Return on Investment Than Oil (Robert Scribbler)
Solar — it’s not just a clean power source producing zero emissions and almost no local water impact, it’s also now one of the best choices on the basis of how much energy you get back for your investment.
Publix- and Disney-Backed Coalition Sues to Stop Miami Beach From Raising Minimum Wage (Miami New Times)
In the Sunshine State, Publix can basically do no wrong. The Lakeland company runs cloying holiday ads about the importance of family and harps on the idea that shopping at its stores is "a pleasure."
Buying Panic Resumes As Dollar Surges To Fresh 14 Year Highs, Gold Dumped (Zero Hedge)
After a brief respite yesterday amid global terror attacks and weak data, The BoJ's lack of action overnight appears to have spurred more panic-buying in stock futures (near record highs, Dow testing towards 20k), VIX-slamming, and a surge back into the dollar (back at Dec 2002 highs). Gold (and silver) and getting monkeyhammered once again and bonds are being sold.
Companies
Letting My Seadrill Trade Roll On (Joe Albano, Seeking Alpha)
Since my last article on Seadrill (NYSE:SDRL) there have been several factors which alter – but continue to validate – my position on the stock. Initially, I anticipated a January completion of Seadrill's debt restructuring while at the same time not having a clear outlook on the price of oil.
The great retail comeback is beginning to look shaky just weeks after posting a huge post-election breakout. Some of the biggest names in the sector are now starting to roll over.
Nike Beats Street 2Q Forecasts (Associated Press)
Nike Inc. (NKE) on Tuesday reported fiscal second-quarter earnings of $842 million. On a per-share basis, the Beaverton, Oregon-based company said it had profit of 50 cents.
Technology
AT&T service prevents scam calls from reaching your phone (Engadget)
Yes, you can block phone numbers used for robocalls and tech support scams, but that usually means having to take at least one call (or running the right software) before you realize something's fishy. And AT&T, at least, is trying to do better.
1 Way ARM Threatens Intel's Data Center Business (Fool.com)
For years, investors and analysts have wondered about the potential impact of ARM-based servers on Intel's (NASDAQ: INTC) dominance of the server microprocessor market. ARM itself recently predicted that, by 2020, its partners would be able to capture roughly 25% of the total server processor market — up from approximately 0% of the market in 2016.
China's Tiger Moms Are Spending Big on Tech Classes for Their Kids (Bloomberg)
It starts with the idea that kids must be trained early to prevail over robots in the workforce. Then it snowballs from there—$3,000 a year for tuition, $350 for a Lego robotics set, and $7,300 to test the newly acquired engineering skills in a competition in the U.S.
People Are Buying Fitbits and Forgetting About the Apple Watch. Here’s Why (Money Badger)
In the last few years, fitness trackers became the way to get your health on track. Using tiny sensors to track activity, inactivity, and sleep, users are now able to get relatively accurate feedback on their exercise and movements throughout the day. This feedback can then be used to make smart and healthy lifestyle choices, lose weight, and live a fitter, happier life.
Apple's tiny, totally wireless AirPods get meticulously torn down (Engadget)
After having been delayed for months — for reasons never publicly confirmed, no less — Apple's AirPods are finally here. And really, what better to way to celebrate one of the most curious delays in Apple history than by tearing those things apart?
Politics
Trump's Interests vs. America's, Kuwait Edition (The Atlantic)
According to an anonymous source and documents obtained by ThinkProgress, representatives from the Trump Organization pressured the ambassador of Kuwait to hold its embassy’s annual celebration of the country’s independence at the Trump International Hotel in Washington, D.C.
Obama permanently bans new gas, oil drilling off Alaska, part of Atlantic shore (Reuters)
U.S. President Barack Obama on Tuesday permanently banned new oil and gas drilling in federal waters in the Atlantic and Arctic Oceans, in one of his last environmental pushes before he leaves office next month.
Social Security Checks Are Being Reduced for Unpaid Student Debt (The Wall Street Journal)
The federal government is increasingly taking money out of Americans’ Social Security checks to recover millions in unpaid student debt, a trend set to accelerate as more baby boomers retire.
Donald Trump's sons behind nonprofit selling access to president-elect (The Center For Public Integrity)
A new Texas nonprofit led by Donald Trump’s grown sons is offering access to the freshly-minted president during inauguration weekend — all in exchange for million-dollar donations to unnamed “conservation” charities, according to interviews and documents reviewed by the Center for Public Integrity.
German media wakes up to a nationalist resurgence (Columbia Journalism Review)
ON NOVEMBER 14, Martin Shmid headed to work in Munich, still ecstatic about the previous week’s election of Donald Trump and what it would mean for the Alternative for Deutschland, or AfD, Germany’s populist, right-wing party.
Ray Dalio Praises Trump: Predicts "Huge" Changes; It Will Be "Glorious To Be Rich" (Zero Hedge)
In one of the most euphoric praises for Donald Trump and the president-elect's fledgling administration to date, overnight Bridgewater founder Ray Dalio said economic changes under the Trump administration may be more dramatic than shifts from “the socialists to the capitalists” in the U.K., U.S. and Germany from 1979 to 1982, and predicted that "we are about to experience a profound, president-led ideological shift that will have a big impact on both the US and the world."
Oil Jumps After Bigger Than Expected Inventory Draw (Zero Hedge)
Expectations were for more inventory draws in total crude levels (and another build in Cushing), but API reported a considerably larger than expected 4.15mm draw in overall crude inventories. Both Gasoline and Distillates saw notable draws and Cushing built for the 4th week in a row (but less than expected).
Clinton lawyer blasts FBI after email search warrant release (Reuters)
The FBI acted inappropriately when it announced the revival of its investigation into Hillary Clinton's private email setup days before the Nov. 8 presidential election, Clinton's lawyer said, citing search warrant documents made public on Tuesday.
Health and Biotech
Scientists have used 'pregnancy fluid' to strengthen ageing bones (Science Alert)
Researchers have collected stem cells from human amniotic fluid – the protective fluid that surrounds the baby in the uterus – and used them to treat mice with brittle bone disease.
Life on the Home Planet
People in Beijing are trapped in hell as smog restrictions shut down highways and airports (Quartz)
Beijingers who were hoping to flee the city’s worst pollution this year are finding their escape plans thwarted, as heavy smog led to cancelled flights and road restrictions.
Mexico fireworks market blast kills at least 29, hurts scores (Reuters)
A massive, multicolored explosion decimated a fireworks market outside the Mexican capital on Tuesday, leaving it a charred wasteland and killing at least 29 people with dozens more injured.
This Deep Sea Fisherman Posts His Discoveries on Twitter and OH MY GOD KILL IT WITH FIRE (Gizmodo)
Seriously, I just took a quick three-minute scroll through Fedortsov’s Twitter page, and he has photos of ocean creatures that look like they’re from the most twisted Jim Henson movie ever produced. (If Jim Henson did a ton of fucking acid.)
