Tag: Sweden

June 29, 2018

Perspective

WSJ – Where Residents Pay Buckets of Money – for Water – Adam Bonislawski 6/27

Worthy Insights / Opinion Pieces / Advice

Bloomberg – Give China a Taste of Its Own Bad Trade Medicine – Michael Schuman 6/27

Economist – Most stockmarket returns come from a tiny fraction of shares – Buttonwood 6/23

Economist – How to stop the decline of public transport in rich countries – Leaders 6/23

WSJ – Facebook Investors May Be Too Quick to Forgive – Dan Gallagher 6/28

  • “Social network’s stock price has risen sharply since Cambridge Analytica scandal even though more questions have surfaced.”

WSJ – The Good Times Are Over for China’s Property Stocks – Jacky Wong 6/28

  • “A weaker Chinese yuan and a funding squeeze are taking their toll on developers.”

Markets / Economy

FT – Global dealmaking reaches $2.5tn as US megadeals lift volumes – James Fontanella-Khan and Arash Massoudi 6/27

WSJ – Daily Shot: PitchBook – Startup nation: The most valuable VC-backed company in each US state – Dana Olsen 2/27

Energy

WSJ – Daily Shot: Gross US Crude Oil Exports 6/27

WSJ – Daily Shot: Princeton Energy Advisors – Net Crude Oil Imports 6/28

China

Bloomberg – Xi Warns Mattis China Won’t Surrender ‘One Inch’ of Territory – Peter Martin 6/27

Economist – China has militarized the South China Sea and got away with it 6/21

Economist – China is trying to turn itself into a country of 19 super-regions 6/23

FT – China’s polluted skies – Steven Bernard and Lucy Hornby 6/28

Europe

Economist – Giddy property prices are a test for Swedish policymakers 6/21

 

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February 21, 2018

Perspective

WP – Have your representatives in Congress received donations from the NRA? – Aaron Williams 2/15

Worthy Insights / Opinion Pieces / Advice

WSJ – The Big Shift Driving Tech Profits – Dan Gallagher 2/19

  • “Big tech companies learning to look past the initial sale as subscriptions build an important base of recurring revenue.”

Real Estate

Bloomberg – Is America in a Retail Apocalypse? Ask Yelp – Patrick Clark 2/13

WSJ – Daily Shot: John Burns RE Consulting – US National Housing Permits 2/19

WSJ – Daily Shot: John Burns RE Consulting – Burns Affordability Index 2/19

Energy

Bloomberg – ‘Made in the U.S.A.’ Turbines Complicate U.S. Offshore Wind Plan – Jim Efstathiou Jr. 2/14

Fishing

FT – China seeks bigger catch from far-sea fishing fleet – Tom Hancock 2/19

  • “China plans to increase the catch from its far-sea fishing fleet as it clamps down on fishing in its own heavily depleted waters, in a move likely to heighten maritime tension with other coastal nations.”
  • “The state-subsidized long-distance fleet is targeting an increase in its annual catch from 2m tons in 2016 to 2.3m tons in 2020, according to the agriculture ministry. Some 90m tons of wild fish were caught globally in 2016, according to the UN.”
  • “China’s far-ocean fleet increased its catch by nearly 50% over the five years to 2016, according to China’s agriculture ministry. The haul — often sold to Chinese fish processors that then export to Europe and the US — has fueled international concerns over dwindling fish stocks and illegal fishing in territorial waters.”

Europe

Bloomberg – ‘No Cash’ Signs Everywhere Has Sweden Worried It’s Gone Too Far – Amanda Billner 2/18

South America

NYT – In Colombia Border Town, Desperate Venezuelans Sell Hair to Survive – Joe Parkins Daniels 2/17

January 16, 2018

Worthy Insights / Opinion Pieces / Advice

FT – Why are so many Americans crowdfunding their healthcare? – Barney Jopson 1/10

FT – A power shift in the Middle East – Nick Butler 1/14

  • “The opening of the Zohr gasfield is a big opportunity for Egypt’s energy ambitions.”

NYT – Is the Answer to Phone Addiction a Worse Phone? – Nellie Bowles 1/12

The New Yorker – The Psychology of Inequality – Elizabeth Kolbert 1/15

  • “Researchers find that much of the damage done by being poor comes from feeling poor.”

Markets / Economy

FT – Bond markets: Is the bull run over? – Robin Wigglesworth 1/12

  • “This year will probably mark the first since the financial crisis where major central banks start shrinking their market footprint, reawakening concerns over the $50tn global bond market where governments, companies and banks raise vital funding.”
  • “The end of the bond bull market has been called before. Last year, many analysts predicted a gloomy outlook. Instead, global fixed income enjoyed its best year in a decade, returning 7.4% to investors in the Bloomberg Barclays Global Aggregate bond index. Few believe bonds will replicate those gains in 2018. But many investors say it is far too early to read the market’s last rites, given some of the long-term global forces — such as the inflation-subduing forces of demographics and technology — that keep yields suppressed.”
  • “But investors now face a shift in central bank policy.”
  • “The Fed started cautiously shrinking its balance sheet last year. This month the ECB’s bond-buying fell by half to €30bn a month, and analysts expect the program to end this year. For the first time in a decade, central banks will probably be withdrawing money from markets by the end of 2018.”
  • “The primary cause for this week’s bond ructions — which saw the 10-year Treasury yield rise to a nine-month high of nearly 2.6% — was data that showed the BoJ’s purchases of long-dated bonds had slowed, with the sell-off then exacerbated by reports, later denied, that China was considering reducing its Treasury purchases.”
  • “While the Japanese central bank will still buy as many bonds as needed to keep the 10-year government yield pinned at zero, the deceleration was enough to cause the global debt market to shiver. ‘The market reaction shows just how sensitive it is to any whiff of the central banks being less aggressive,’ Mr Peters (Gregory Peters, a senior portfolio manager at PGIM Fixed Income) says.”
  • “At the same time, supply of freshly-issued government debt is expected to rise. In 2017, the central banks of the US, Europe, Japan and the UK bought about $170bn more government bonds than were issued, meaning the net supply actually contracted. But BNP Paribas estimates that markets will have to absorb $600bn of debt in 2018.”
  • “Another potential risk for investors is whether 2018 is the year when inflation finally emerges from its slumber.”
  • “Ageing demographics is pushing a global savings glut into safer fixed income and helping keep inflationary forces at bay, aided by technology that is proving to be a deflationary force across a range of global industries. Jim Reid, a Deutsche Bank strategist, says that bond market squalls might become more frequent as central banks tighten their monetary spigot, but argues that it would take accelerating inflation ‘to really turbo charge any bond sell-off’.”
  • “Derivatives contracts indicate that investors believe the 10-year Treasury yield will be below the 3% mark in two, five and even 10 years’ time. Equivalent German and Japanese bond futures show that investors think their benchmark bond yields will stay below 2% and 1% respectively over the same timeframes.”
  • “Highlighting the ravenous demand for safe fixed income returns, droves of buyers were attracted this week to the auctions of 10 and 30-year US government debt, helping quell the turbulence.”

Real Estate

AZ Republic – Home buyers with popular millennial names buying more Arizona homes, analysis says – Catherine Reagor 1/14

FT – Chill winds in Swedish housing market – Katie Martin 1/15

Finance

NYT – What’s $27 Billion to Wall Street? An Alarming Drop in Revenue – Emily Flitter and Kate Kelly 1/11

  • “For more than a decade, the world’s top investment banks practically minted money from the buying and selling of bonds, currencies and other complex securities. For many banks, the business became their lifeblood.”
  • “Now, a combination of tough regulations, new technologies, calm markets and changing customer behavior has left that type of trading a shadow of its former self — and much of Wall Street trying to redefine itself.”
  • “Five years ago, fixed-income trading — so called because its keystone product, bonds, typically provides a fixed payout — generated nearly $103 billion in income for the top 12 investment banks, according to Coalition, a London research firm.”
  • “By 2016, that had fallen to less than $76 billion — down $27 billion from the peak.”

FT – Bitcoin investors struggle to cash out new fortunes – Kate Beioley and James Pickford 1/12

  • “UK mortgage lenders refuse to accept deposits because of money laundering fears.”

 

November 16, 2017

If you were only to read one thing…

FT – S&P says Venezuela is in default on sovereign debt – Edward White and Hudson Lockett 11/13

  • “Standard & Poor’s has declared that Venezuela is in default after it missed two interest payments and following a meeting in Caracas that left investors with little notion of how a default on its $60bn debt pile can be avoided.”
  • “S&P, which is the first rating agency to say the country is in default, said on Tuesday that Caracas had failed to make $200m in coupon payments for global bonds due in 2019 and 2024 within the 30-calendar-day grace period.”
  • “The agency said it had downgraded the issue ratings on those bonds to D from CC and cut the country’s long-term foreign currency sovereign credit rating to selective default, or SD, from CC.”
  • “’Our CreditWatch negative reflects our opinion that there is a one-in-two chance that Venezuela could default again within the next three months,’ said S&P.”

Perspective

Bloomberg – Trump Is Shattering His Own Tweet Records – Brandon Kochkodin 11/13

FT – India’s Ambanis top Asia family rich list – Kiran Stacey 11/14

WSJ – Daily Shot: Credit Suisse – Global Wealth Report 11-14

Worthy Insights / Opinion Pieces / Advice

Bloomberg – Yale’s Swensen Sees Low Volatility as ‘Profoundly Troubling’ – Janet Lorin and Christine Harper 11/14

Bloomberg Businessweek – The Global Economy Looks Good for 2018 (Unless Somebody Does Something Dumb) – Peter Coy 11/2

Markets / Economy

WSJ – AB InBev Switches U.S. Boss as  It Struggles With Sales Slump – Jennifer Maloney 11/13

CNBC – Millennials lose taste for dining out, get blamed for puzzling restaurant trend – Patti Domm 11/14

WSJ – Small IPOs Are Dying. That’s Good – James Mackintosh 11/13

Real Estate

Investment News – Cole Capital, once part of a company coveted by Nicholas Schorsch, is being sold – Bruce Kelly 11/13

Energy

iea – World Energy Outlook 2017 – Global shifts in the energy system 11/14

Finance

WSJ – Daily Shot: Bitcoin 11/13

  • “Bitcoin has bounced off the lows but remains volatile.”

Europe

FT – Sweden’s big banks call an end to decades-long housing boom – Martin Arnold and Richard Milne 11/13

  • “Sweden’s decades-long housing market boom is over, two of the country’s bank bosses admit, while trying to reassure investors that their institutions will not suffer a painful hangover of defaults even if the cheap mortgage-fueled party is finished.”
  • “Swedish house prices have been red hot, rising almost 6% a year on average since 2007, while a surge in household indebtedness from 1.2 to 1.6 times disposable income has attracted intense scrutiny from regulators.”
  • “Swedish house prices fell 1.5% in September, the first decline for several years, reflecting the impact of measures introduced by regulators to constrain riskier mortgage lending as well as a recent increase in the supply of new homes.”

Japan

WSJ – Daily Shot: Bank of Japan Balance Sheet as % of GDP 11/14

South America

FT – Russia agrees to restructure $3.2bn of Venezuelan debt held by Moscow – Henry Foy 11/15

WSJ – The Class of 1994, Venezuela’s Golden Generation, Is Fleeing the Country – Ryan Dube 11/14

  • More than “…two million…Venezuelans…have left the country since 1999, the year Mr. Chavez gained power, according to Tomas Paez, a Venezuelan immigration expert. That exodus is roughly twice the number who fled Cuba in the two decades after the revolution there, and is set to worsen.”

WSJ – Default in Venezuela: What’s Next – Julie Wernau 11/14

  • “Venezuela has been falling behind on debt payments in its prolonged economic crisis. Some payments have come late. Others haven’t arrived at all. The South American country has said it wants to restructure its remaining debt, which analysts put as high as $150 billion. But observers say Venezuela’s debt crisis could be one of the most complicated in history.”
  • “Cash-strapped Venezuela and its state oil company, Petróleos de Venezuela SA, have been putting off making interest payments on their debt, taking advantage of 30-day grace periods to save money.”

FT – Venezuela: what happens now after official default – Robin Wigglesworth 11/14

  • “The most likely outcome, investors and analysts say, is a protracted period of financial limbo with a restructuring precluded by US sanctions and Venezuela facing a barrage of lawsuits that will tie it up for years to come.”