Good morning. Happy Friday.
The Asian/Pacific markets leaned down. South Korea did well, but Japan, Hong Kong, Taiwan and Singapore were weak. Europe, Africa and the Middle East currently lean up. Poland, France, Finland and the Netherlands are up; South Africa is down. Futures in the States point towards a moderate gap down open for the cash market, thanks to the latest employment report.
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The dollar is up. Oil and copper are up. Gold and silver are down. Bonds are down.
Stories/News from Seeking Alpha…
Jobs Day
Expectations are high for the underlying pace of job growth to have continued decelerating in November with one caveat – workers returning after the auto and Hollywood strikes will boost the headline number. Economists see the U.S. economy adding 180K jobs last month, up from the 150K estimated for October, while the unemployment rate is expected to remain at 3.9%. “It looks like it’s going to be more of the same,” Olu Sonola, head of U.S. regional economics at Fitch Ratings, told Seeking Alpha, before the employment situation report is released by the Labor Department at 8:30 AM ET.
Snapshot: “More of the same” is exactly what the market wants right now, with softening inflation data and employment over the past month convincing investors that the Fed is done raising interest rates. In fact, rate-cut talk for 2024 is now all the rage within analyst circles, helping stocks record a bumper performance in November. Treasury yields, which previously touched highs of 5%, have also fallen sharply, with the 10-year benchmark sliding more than three-quarters of a percentage point in a little over a month.
As a result, today’s jobs report will help determine whether the recent rally has been justified or if traders have gotten farther ahead of the central bank. The non-farm payrolls number is important because it’s one of the Federal Reserve’s two main jobs in managing the economy: maintaining full employment and price stability. This morning’s numbers will also come during the Fed’s quiet period ahead of next week’s policy meeting, where the probability the central bank will hold its policy rate at 5.25%-5.50% currently stands at 97.7%, according to the CME’s FedWatch Tool.
What else to watch: Pay attention to the average hourly earnings figure today to assess the risk of an inflation rebound. Average hourly earnings are estimated to rise by 0.3% M/M in November, up from 0.2% in the previous month. On a Y/Y basis, though, AHE is seen rising 4.0%, easing from 4.1% in October. There will also be a fresh Consumer Price Index report to digest next week, which is set to influence the Fed’s summary of economic projections and upcoming path of interest rates.
Yen rally
Japanese markets continued to decline on Friday for the third session in a row, while the yen rose as much as 1.1%, after briefly jumping 4% on Thursday. Market participants continue to bet on the Bank of Japan exiting its negative interest rate policy this month, with the yen (JPY:USD) set for its biggest weekly gain against the dollar since July. “Dramatic moves in the yen were underpinned by hawkish bets on BOJ, with the closing window of opportunity creating urgency,” noted Charu Chanana, market strategist at Saxo. The yen still pared its advance after the latest GDP data showed Japan’s economy shrinking more than expected, which may complicate the BOJ’s outlook.
Patent seizures
A new framework by the Biden administration hopes to crack down on price gouging by Big Pharma via a proposal that would allow federal agencies to seize patents of drugs developed with taxpayer funds if they’re too costly. Note that the U.S. previously refused to use its march-in authority to force Pfizer (PFE) and Astellas Pharma (OTCPK:ALPMF) to make their prostate cancer drug cheaper. “We’d be prepared to use existing laws to allow competitors to make and sell these drugs for less,” President Biden declared. Others, like Senator Bill Cassidy (R-LA), countered that “this kind of short-sighted decision would kill American healthcare innovation.” (47 comments)
India expansion
As Apple (AAPL) continues to diversify its manufacturing dependence away from China, it is now targeting to produce 50M-60M iPhones in India annually over the next 2-3 years. At those levels, 25% of all iPhones worldwide would be made in India. Apple already picked India as its site for manufacturing lower-end iPhones to be sold in 2025, while its top supplier Foxconn (OTCPK:FXCOF) has multiple projects in the pipeline. The company is even aiming to increase production in the country to about $40B over the next 4-5 years, though SA analyst Christopher Robb previously said shifting production to India “will take years to be meaningful.” (7 comments)
Today’s Economic Calendar
8:30 Non-farm payrolls
10:00 Consumer Sentiment
1:00 PM Baker Hughes Rig Count
What else is happening…
Analysts weigh in on Google’s (GOOG) Gemini, AMD’s (AMD) AI event.
Canada to impose oil and gas emissions cap to reach net-zero goal.
Yellow (OTC:YELLQ) declines offer to revive bankrupt company.
Amazon (AMZN) to drop Venmo; tests unlimited grocery service.
Broadcom (AVGO) slips despite strong 2024 guidance, Q4 results.
Chevron faces new Venezuelan risk as Maduro threatens Guyana.
Boeing (BA) on verge of 80 Dreamliner order from Thai Airways.
Levi Strauss (LEVI) top boss to retire, Kohl’s ex-CEO to take over.
Lululemon (LULU) falls after investors digest holiday-quarter outlook.
$52B: Australian energy giants Woodside (WDS), Santos in merger talks.
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Good morning. Happy Thursday.
The Asian/Pacific markets were weak. Indonesia did well, but Japan, Hong Kong, Taiwan, Thailand and the Philippines were weak. Europe, Africa and the Middle East are currently mostly down. Finland is doing well, but Denmark, Poland, Turkey, Greece, Hungary, Spain, Italy, Portugal, Israel and Austria are down. Futures in the States point towards a positive open for the cash market.
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The dollar is down. Oil and copper are up. Gold and silver are up. Bonds are down.
Stories/News from Seeking Alpha…
Up, up and away
The most valuable startup in America might be getting even more valuable. Fresh reports suggest that SpaceX (SPACE) is in talks that would value Elon Musk’s space firm at $175B or more, following a tender offer that could range from $500M-$750M and price shares at about $95 apiece. That’s up from the $150B valuation SpaceX received in the summer and would trounce the $137B valuation it received when raising $750M from investors in January.
Higher and higher: Momentum kicked into high gear after SpaceX’s soaring revenue helped it turn a profit in the first quarter of this year following two straight annual losses. It’s on track to book revenues of about $9B in 2023, with sales projected to climb to $15B in 2024. Besides its Falcon rocket launches, much of SpaceX’s value comes from Starlink, which provides high-speed internet access beamed from a growing constellation of satellites. A separate Starlink (STRLK) IPO could come next year as the division grows in its consumer and military importance on the world stage.
On that note, Starlink just completed nine months of U.S. military tests in the Arctic, clearing the way for potential contracts from the Space Force. The satellite service has also taken a role in the Ukraine-Russia war, has been pitched to help past protests in Iran, and potentially provide service in Gaza subject to Israeli approval. On the commercial side of things, Starlink has also been hailed by those living in rural or remote areas, and is now available on all seven continents, including Antarctica.
Battle for the sky: With 5,100 satellites so far delivered to low-Earth orbit, SpaceX has rapidly expanded its Starlink constellation. Its closest U.S. rival, Amazon’s (AMZN) Project Kuiper, is far behind – with only two initial prototype satellites – and even recently inked a contract with SpaceX to get its satellites to orbit. Falcon rockets have sent out payloads for private-sector companies, as well as NASA and other government agencies. Topping the 61 launches set last year, SpaceX also just marked its 90th orbital mission of 2023, and company representatives have said they are shooting for 144 launches in 2024. Starship progresses further before being destroyed intentionally
CosMc
McDonald’s (MCD) will begin testing a new small store format called CosMc’s this week, earlier than it previously expected, with plans to open 10 locations by the end of 2024. CosMc’s will feature customizable specialty beverages that will rival popular chains like Starbucks (SBUX). CosMc’s, named after a space alien character featured in ads in the 1980s, is not the first attempt by McDonald’s to cash in on nostalgia following a highly successful Grimace Birthday Meal that went viral in June. The fast-food chain has also set ambitious new growth targets, including plans to expand at a record pace to 50,000 restaurants by the end of 2027.
Neuroscience expansion
Cerevel Therapeutics (CERE) soared 15.5% in AH trading on Wednesday as AbbVie (ABBV) agreed to an $8.7B acquisition of the drugmaker developing therapies for neurological conditions such as Parkinson’s and schizophrenia. AbbVie will pay $45 a share in cash for the acquisition, representing a 22% premium over Cerevel’s last close. The development marks AbbVie’s acquisition spree after last week’s $10B deal to buy cancer drugmaker ImmunoGen (IMGN), which SA analyst Bradley Guichard called “excellently” timed. Inside job? Before the latest deal announcement, Cerevel shares climbed 42% this week on no apparent news. (9 comments)
Osprey grounding
The U.S. military has grounded its entire V-22 Osprey aircraft fleet. A fatal crash during a routine training mission occurred last week off Yakushima Island in Japan, which killed eight Air Force Special Operations Command personnel. “Preliminary investigation information indicates a potential materiel failure caused the mishap, but the underlying cause is unknown at this time,” the AFSOC said, adding that a thorough investigation will be done on the helicopters made by Boeing (BA) and Textron’s (TXT) aerospace manufacturing unit Bell Textron. The crash has renewed concerns over the safety of Ospreys, which have been involved in multiple fatal accidents since the aircraft became operational in 2007. (1 comment)
Today’s Economic Calendar
7:30 Challenger Job-Cut Report
8:30 Initial Jobless Claims
10:00 Wholesale Inventories (Preliminary)
10:30 EIA Natural Gas Inventory
3:00 PM Consumer Credit
4:30 PM Fed Balance Sheet
What else is happening…
Tobacco jolt: BAT (BTI) writes down $32B from value of U.S. brands.
Exxon CEO: Guyana dispute resolution likely a couple years away.
AMD (AMD) sinks as it unveils Nvidia rival, updates AI forecast.
Top bank CEOs indicate they can meet proposed capital requirements.
Google (GOOG, GOOGL) shows off new Gemini AI model, new chips.
Chevron (CVX) plans $16B capex in 2024, up 14% from current year.
Blackstone Mortgage Trust (BXMT) falls as Carson Block shorts stock.
Meta (META) rolls out default end-to-end encryption on Messenger.
Chewy (CHWY) slips as holiday quarter guidance disappoints.
This just in: GameStop (GME) can invest in other stocks.
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Good morning. Happy Wednesday.
The Asian/Pacific markets mostly did well. Japan, Hong Kong, Australia and New Zealand posted solid gains. Europe, Africa and the Middle East are currently mostly up. The UK, France, Germany, South Africa, Italy Portugal, Sweden and the Czech Republic are up; Turkey and Russia are down. Futures in the States point towards a moderate up open for the cash market.
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The dollar is down. Oil is down; copper is up. Gold and silver are up. Bonds are up.
Stories/News from Seeking Alpha…
Crude strategy
Energy prices keep on slipping, with benchmark West Texas Intermediate (CL1:COM) so far down 22% in the fourth quarter and the average price of stateside gasoline falling 16% to $3.21 a gallon. It comes as the U.S. continues to pump crude at a record rate, cranking out a record 13.2M barrels a day, which is more than oil-exporting heavyweights Russia and Saudi Arabia. The developments have been a boon to the American consumer, as well as the Federal Reserve, which continues to receive much applause from the market for keeping inflation at bay.
Bigger picture: OPEC members have been forced to respond to record U.S. production, with tensions most apparent in the reactions from kingpin Saudi Arabia. So far the Kingdom’s strategy has been to slash more output, but the deeper cuts have not resonated with oil bulls and have even formed some cracks within the OPEC+ group. Economic weakness in China, Russia’s shadow fleet and the removal of fear premiums from the Israel-Hamas war have also helped contribute to oil’s decline, and the Saudis are hesitant to go nuclear by opening the taps, which would dent U.S. shale but cause it to lose many OPEC friends in the interim.
Many have also been eyeing recent developments to see whether the U.S. will refill the Strategic Petroleum Reserve, which has fallen to its lowest level since the 1980s following the release of 180M barrels last year. At the time, the Biden administration said it would consider refills “at or below about $67 to $72 per barrel,” but there have been opportunities that have been passed up when oil retook that range. WTI crude is now trading at around $71, and while the administration has been adding to the SPR, the buybacks have been limited to about 3M barrels per month given physical constraints in “the way the caverns are set up.”
The technicals: “The price of crude oil is likely to continue falling from current levels before settling at $70 at the major support,” writes SA analyst Damir Tokic. “Even though I agree with the bearish outlook, I would not recommend shorting crude oil – the geopolitical situation could change in a moment. In this situation, a long-put option strategy seems appropriate.”
Self-driving faith
The safety issues and regulatory scrutiny facing General Motors’ (GM) Cruise have pushed Alphabet’s (GOOG, GOOGL) self-driving vehicle unit Waymo to the top of the leaderboard. The two companies had been competing neck-and-neck in recent years, but the last few months have seen Cruise’s fortunes shift, as safety concerns forced it to halt operations. “We went from an all-time high to an all-time low,” Mo Elshenawy, Cruise’s new president and CTO, told staff. The company’s focus now is to rebuild trust with regulators, which will likely take time. On the other hand, Waymo hasn’t seen a change in tone from regulators, and its ridership has increased more than 10 times this year. (1 comment)
On the Hill
The heads of Wall Street’s eight biggest banks – including JPMorgan (JPM), Bank of America (BAC) and Citigroup (C) – will testify before the Senate Banking Committee today to warn lawmakers that the “Basel III endgame” proposal will hurt the economy. Regulators proposed raising capital requirements for large U.S. banks in the summer, which the industry has repeatedly opposed. “The proposed Basel III Endgame rule would unjustifiably increase capital requirements by 20%-25% for the largest banks,” JPMorgan’s Jamie Dimon wrote in his prepared testimony. Morgan Stanley’s (MS) James Gorman will also warn lawmakers that the plan would drive more activity to the less regulated parts of the financial services industry. (15 comments)
‘Eating their words’
Economists who forecast the need for high unemployment to rein in inflation are now “eating their words,” according to U.S. Treasury Secretary Janet Yellen. “We’re not seeing the usual signs of a weakening labor market that would make you fear a recession.” Her statement comes as the labor market steadily cooled in October while the unemployment rate ticked up to 3.9%, and the JOLTS report showed a larger-than-expected drop in job openings. Recall that Fed Chair Jerome Powell said the U.S. was on track to get inflation down to 2% without incurring large job losses. While markets await the ADP jobs data due today and Friday’s nonfarm payrolls report, SA analyst Calafia Beach Pundit explains six charts that look at the economy from a big-picture perspective. (2 comments)
Today’s Economic Calendar
7:00 MBA Mortgage Applications
8:15 ADP Jobs Report
8:30 International Trade in Goods and Services
8:30 Productivity and Costs
10:30 EIA Petroleum Inventories
What else is happening…
Apple (AAPL) climbs back above $3T amid smartphone optimism.
Activist investor Ancora pushing Disney to add Peltz to board.
Hydrogen industry alarmed over leaked draft of tax credit rules.
Job openings unexpectedly fall in October – JOLTS report.
Elon Musk’s xAI startup files to raise $1B in equity offering.
Bitcoin (BTC-USD) extends gains to surpass $43,000.
Closing arguments end in DOJ trial against Spirit-JetBlue deal.
CVS hurts GoodRx (GDRX) with new drug pricing model.
P&G (PG) sees up to $2.5B in charges from Gillette, restructuring.
Pioneer (PXD), Exxon get FTC request for more info on merger.
Goldman lists top 30 mutual fund underweight holdings.
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Good morning. Happy Tuesday.
The Asian/Pacific markets were mostly weak. India did well, but Japan, China, Hong Kong, South Korea, Taiwan and Australia did poorly. Europe, Africa and the Middle East are currently little mixed. Poland, Russia, Spain, Israel and Sweden are up; the UK, Turkey, Greece and South Africa are down. Futures in the States point towards a down open for the cash market.
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The dollar is unchanged. Oil and copper are down. Gold is up; silver is down. Bonds are up.
Stories/News from Seeking Alpha…
Out of cash
Funding for foreign policy priorities remains stuck on Capitol Hill as dire warnings abound over what it might mean for national security. Back in October, President Biden had requested $106B in supplemental funding, including $61.4B for Ukraine, $14.3B for Israel, $7.4B for Taiwan and the Indo-Pacific, and $13.6B for the U.S.-Mexico border, urging Congress to pass the measure as a comprehensive, bipartisan agreement. However, tensions continue to brew over aid for Kyiv, and immigration and asylum procedures, as well as what priorities should be tied to what bills to get things over the finish line.
Quote: “I want to be clear: without congressional action, by the end of the year we will run out of resources to procure more weapons and equipment for Ukraine and to provide equipment from U.S. military stocks,” White House Budget Director Shalanda Young wrote in a letter to Congressional leaders. “There is no magical pot of funding available to meet this moment. We are out of money and nearly out of time. If Ukraine’s economy collapses, they will not be able to keep fighting, full stop. Putin understands this well, which is why Russia has made destroying Ukraine’s economy central to its strategy – which you can see in its attacks against Ukraine’s grain exports and energy infrastructure.”
The U.S. came close to a government shutdown at the end of September, with some last-minute dealmaking that kicked the fight into the new year and left out key foreign aid initiatives. Young further said the new round of national security funding and contracts would bring benefits to the U.S. economy, “for example, air defense systems built in Alabama, Texas and Georgia and vital subcomponents sourced from nearly all 50 states.” On the other hand, a failure to pass the measure would “kneecap Ukraine on the battlefield, not only putting at risk the gains Ukraine has made, but increasing the likelihood of Russian military victories.”
Market movement: While Lockheed Martin (LMT), Raytheon (RTX) and Northrop Grumman (NOC) all saw outsized gains in 2022 following Russia’s invasion of Ukraine, the three biggest defense giants deflated this year, recording share losses ranging from 6% to 18% – despite an influx of new orders. Existing backlogs and difficulties in ramping up production capacity will likely result in new order revenue only being reflected in company accounts in two to three years time, while overall U.S. arms sales even saw a decline last year. “Despite the global surge in military conflicts, [Lockheed Martin] hasn’t quite expanded its top and bottom lines as much as I would have anticipated,” added SA analyst Millennial Dividends in Not Worth Your Money At Today’s Price. (21 comments)
Future network
Dealing a blow to Nokia (NOK), AT&T (T) is buying up to $14B of cell tower equipment in a five-year deal with Swedish supplier Ericsson (ERIC) to deploy its commercial-scale open radio access network. Open RAN would allow interoperation between telecom network gear from different vendors, thereby cutting costs drastically. AT&T is aiming for 70% of its wireless traffic to flow through open cloud-based platforms by late 2026. Nokia dropped 11% aftermarket on Monday, adding to intraday losses amid speculation that it may no longer be a 5G gear vendor for AT&T. Meanwhile, Ericsson jumped 8% AH, building upon the gains seen during the regular session. (4 comments)
Export controls
The U.S. may soon add more curbs on tech exports to China. “Technology changes, China changes and we have to keep up with it,” Commerce Secretary Gina Raimondo declared, calling the restrictions on the sale of advanced semiconductors and related gear a “bold move” and “necessary” because these “semiconductors are unbelievably powerful.” Nvidia (NVDA) had even previously delayed the launch of a new AI chip it designed to comply with U.S. export curbs, in a heavily discussed development in the sector. Meanwhile, SA analyst Bluesea Research sees lower chip demand in 2024, saying Chinese tech firms already hoarded them prior to the restrictions. (4 comments)
AI Alliance
As the debate over open vs. closed artificial intelligence development rages, Meta Platforms (META) and IBM (IBM) have launched a coalition of over 50 AI firms and research institutes, advocating for an open-source model. The group’s stance differs from the closed approach of rivals Google (GOOG, GOOGL) and ChatGPT-maker OpenAI, backed by Microsoft (MSFT), amid growing safety concerns over AI’s power. Members of the new alliance include AMD (AMD), Intel (INTC), Fast.ai, CERN, and more. “We believe it’s better when AI is developed openly – more people can access the benefits and work on safety,” said Nick Clegg, president of global affairs at Meta. Last month, over 15 countries inked the first detailed pact on AI safety. (3 comments)
Today’s Economic Calendar
9:45 PMI Composite Final
10:00 ISM Service Index
10:00 Job Openings and Labor Turnover Survey
10:00 Fed’s Gibson: “Fostering Financial Innovation”
What else is happening…
WSB survey results: College not a given, depends on the degree.
Twenty-two nations commit to triple nuclear power capacity.
Intel (INTC) wins appeal of $2.2B patent infringement ruling.
Apple (AAPL) iPhone production halted in India amid heavy rains.
CME Group (CME) reports highest November ADV on record.
Saudi oil production cuts could ‘absolutely’ continue past March.
23andMe (ME) data breach: Only 0.1% of user accounts affected.
TASE exec slams claims Hamas used short selling ahead of Oct. 7.
Supreme Court wrestles with Purdue Pharma’s bankruptcy deal.
Bears Refuse To Acknowledge New All-Time Highs In 2024.
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Good morning. Happy Monday. Hope you had a good weekend.
The Asian/Pacific markets were mixed. South Korea, India, Australia and the Philippines posted gains; Japan, China and Hong Kong posted losses. Europe, Africa and the Middle East are currently little changed. Turkey, Hungary and Portugal are up; Russia, Finland and Norway are down. Futures in the States point towards a moderate down open for the cash market.
————— VIDEO: Current Recent and Future Trades —————
The dollar is up. Oil and copper are down. Gold and silver are down. Bonds are down.
Stories/News from Seeking Alpha…
Education vs. experience
2023 has been a year of big changes, especially with regards to the economy and job market. Labor has remained tight despite the Fed’s tightening cycle, prompting some profound changes in hiring practices and gatekeeping in HR circles. Under discussion is the value of a diploma, as well as the time and costs that come with it, and if more can be done to open up industries to the nearly 80M workers in the U.S. labor force that do not hold a college degree.
Skills-first hiring: IBM (IBM) was one of the first pioneers that moved away from bachelor’s degree requirements to broaden its talent pool. Back in 2016, CEO Ginni Rometty coined the term “new-collar worker,” with the aim of hiring cloud technicians, database managers, cybersecurity personnel, user interface designers, and other types of IT positions. The decision helped pave the way for people to be eligible for higher-paying corporate jobs through skills mastered outside the traditional four-year college framework, which could be combined with on-the-job training, apprenticeships, and a path towards new skills as employees settled into their roles.
By 2021, IBM had “stripped bachelor’s degree requirements for more than half of its U.S. job openings,” and said it would “continuously reevaluate our roles to prioritize skills over specific degrees.” Other companies have followed suit, including Accenture (ACN), Bank of America (BAC), General Motors (GM), Kellogg’s (K) and Okta (OKTA), as well as major airlines like American (AAL), Delta (DAL), Southwest (LUV) and United (UAL). Things have continued in 2023, with Walmart (WMT) expanding its “new-collar workforce” in September by eliminating the need for a college degree to climb its corporate ladder.
War for talent: Current labor market dynamics are very different than those that emerged in the aftermath of the financial crisis. A four-year degree requirement was then seen as a great resume filter for companies that could afford to pick and choose candidates, but since the COVID pandemic, the environment has gotten a whole lot tighter. The ongoing labor shortage might continue to see a relaxing of prior standards, particularly in growing industries such as technology, where the demand for workers with specialized skills far exceeds the supply. For others, a college education provides a right of passage, a comfortable employment hedge, or opportunities that might not have otherwise been attainable. Take the WSB survey.
Fresh highs
Spot gold prices climbed to a fresh record of $2,100 on Monday, while bitcoin (BTC-USD) breached the $40,000 level, marking the highest level since April 2022. “Continued military conflagrations in the Middle East and Eastern Europe, economic recession fears and the increasing likelihood of lower rates have converged to make gold a high-probability candidate for higher prices in the next few months,” said SA analyst Clif Droke. Bitcoin’s rally was also spurred by the imminent approval of applications for ETFs tracking the top crypto’s price, with some betting on the SEC’s nod as soon as next month. Crypto-related stocks also traded higher, including Coinbase (COIN), Marathon Digital (MARA) and Riot Platforms (RIOT). (12 comments)
Arctic leis
The airline sector is set for more consolidation, with Alaska Air (ALK) agreeing to acquire Hawaiian Airlines (HA) for $18/share in cash, or about $1.9B including debt. The combination is expected to bolster the airlines’ competitive position, and expand choice for consumers on the West Coast and Hawaii. Investing Group Leader Dhierin Bechai said while the deal appears fair, it is “somewhat odd” in terms of fleet compatibility. Alaska Air fell 9% before the bell on Monday, while Hawaiian Airlines’ shares more than doubled. The proposed deal comes days ahead of the closing arguments in the DOJ’s antitrust lawsuit against JetBlue’s (JBLU) $3.8B purchase of Spirit Airlines (SAVE). (77 comments)
Pending invasion?
Raising concerns of a potential military conflict between the two countries, Venezuelan electoral authorities have claimed that 95% of voters have supported the Maduro government’s effort to claim the oil-rich Essequibo region controlled by neighboring Guyana. A referendum on the issue was held on Sunday, despite the UN’s top court ordering Venezuela not to take any action to change Guyana’s control over the area. With Caracas reportedly preparing for a possible invasion, Guyanese President Mohamed Irfaan Ali emphasized “the rule of law to determine the outcome of this controversy.” To note, Exxon Mobil (XOM), Hess (HES), and Chevron (CVX) have interests in the region, which has over 11B barrels of recoverable oil and gas. (8 comments)
Today’s Economic Calendar
10:00 Factory Orders
12:30 PM Investor Movement Index
What else is happening…
U.S. makes COP28 splash with methane rule, $3B climate aid pledge.
Walmart (WMT) joins growing list of companies not advertising on X.
Boeing (BA) eliminated from Air Force contest for ‘doomsday plane.’
Third round: Spotify (SPOT) to lay off 17% of workforce to curb costs.
Wall Street sees GTA 6 as a ‘major catalyst’ for Take-Two (TTWO).
Three commercial ships attacked by Yemeni Houthis in Red Sea.
Biotechs post record gains in November amid improving outlook.
Virgin Galactic (SPCE) drops as Branson plans no further investments.
Legalized Texas sports betting may not be such a long shot after all.
Piper sees GLP-1s increasing near-term demand for knee/hip surgeries.
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