2021-11-26
2021-11-22
Notes from https://www.cnbc.com/2021/11/22/biden-picks-jerome-powell-to-lead-the-fed-for-a-second-term-as-the-us-battles-covid-and-inflation.html
Fed is now holding $4 trillion of treasuries and MBS.
Current unemployment rate is 4.6%.
Donald Trump appointed Powell to the position in 2018.
Fed's mandates: [Maximize U.S. employment, keep inflation stable]
Fed's leaders are known as governors.
Fed's governors are nominated by the president.
Fed's governors
vote on how to adjust interest rates
regulate the nation’s largest banks
monitor the health of the economy
Mike Feroli - chief U.S. economist at JPMorgan
Janet Yellen
Current Treasury Secretary
first woman to serve as the Fed’s chair
first female Treasury secretary
2021-11-17
2021-11-12
2021-11-11
2021-11-03
2021-10-25
Notes from https://www.bloomberg.com/news/articles/2021-10-25/hertz-said-to-order-100-000-teslas-in-car-rental-market-shake-up?srnd=premium
Hertz Global Holdings Inc., placed an order for 100,000 Teslas.
This brings in $4.2 billion of revenue for Tesla
The cars will be delivered over the next 14 months
Hertz is building its own charging infrastructure
Mark Fields - Hertz's interim CEO
“Tesla is the only manufacturer that can produce EVs at scale.”
Hertz’s new owners - Knighthead Capital Management and Certares Management
Tesla is moving its headquarters from Palo Alto, California to Texas
Tom Brady - seven-time Super Bowl-winning quarterback
debt-to-equity ratio is a key measure of financial health
Knighthead Capital Management - a distressed-debt hedge fund
Certares Management - a private equity firm specializing in travel
2021-10-08
2021-10-05
2021-10-04
2021-09-29
2021-09-28
2021-09-27
2021-09-24
2021-09-23
2021-09-22
2021-09-21
2021-09-15
2021-09-14
Notes from https://www.wsj.com/articles/steven-cohen-to-invest-in-crypto-quant-trading-firm-11631611803?mod=hp_lead_pos10
Steven Cohen
owns New York Mets
his hedge-fund name is Point72 Asset Management LP
His old old hedge fund firm is SAC Capital Advisors LP
SEC banned him from managing outside money for two years
SAC Capital Advisors LP
Point 72
GTS
based in New York
a designated market maker, or DMM, on the New York Stock Exchange
a high-speed trading firm active in stocks and options
handles about 5% of daily U.S. equities trading volume
Chief Executive Ari Rubenstein
hedge-fund billionaires - Paul Tudor Jones and Stanley Druckenmiller
NFTs = nonfungible tokens
DeFi = decentralized finance
bilateral trades
Ryan Sheftel - a partner at GTS who was previously the global head of fixed-income electronic trading at Credit Suisse Group AG
DMMs = designated market makers
Notes from https://www.bloomberg.com/news/articles/2021-09-13/sec-chief-signals-he-wants-tougher-oversight-of-corporate-bonds?srnd=markets-vp
corporate debt, municipal bonds and mortgage securities
non-Treasury fixed income
the security-based swaps fueled Archegos’s meltdown
Financial Stability Oversight Council
The Senate Banking Committee
2021-09-09
2021-08-09
2021-08-03
Notes from https://www.bloomberg.com/news/articles/2021-07-31/florida-reports-record-daily-covid-cases-above-21-600-cdc-data
Notes from https://www.bloomberg.com/opinion/articles/2021-08-03/inflation-the-bond-market-s-very-misleading-message?srnd=premium
Written by Richard Cookson.
Based on this article, I think he writes good quality articles and analyzes the problem well.
So far this year, the Federal Reserve has purchased about \$490 billion of the \$2.7 trillion of the Treasury’s net issuance.
That still leaves the tidy sum of $2.2 trillion that needs to find a home.
Some $16 trillion of bonds globally have yields that are less than zero
Normally, any foreign investor buying U.S. assets would have to take currency risk. But because short-term rates in the U.S. are so low and the Fed has flooded the world with dollars, foreign investors can buy U.S. Treasuries hedged into their own currencies with a huge pick up in yield compared with local alternatives, thanks to something called a cross-currency basis swap.
South Korean export prices are the bellwether of global trade prices
Notes from https://news.ycombinator.com/item?id=27734996
FINRA itself was only established in 2007; the previous self-regulatory organization was the National Association of Securities Dealers, NASD - you may have heard of their Automated Quotation service, NASDAQ. FINRA was created after a long period of the SEC criticizing NASD for prioritizing the good of its business over effective self-regulation
2021-08-02
2021-07-30
2021-07-29
Notes from https://www.cnbc.com/2021/06/29/walmart-unveils-low-price-analog-insulin-amid-rising-diabetes-drug-costs.html
analog insulin
Walmart has sought to bring “everyday low price” to medical care by opening primary care clinics and acquiring a telehealth company.
Walmart will sell an exclusive private-label version of analog insulin, ReliOn NovoLog, to adults and children who have a prescription.
It will cost about \$73 for a vial or about \$86 for a package of prefilled insulin pens
More than 34 million people in the U.S. — or nearly 11% of the population — have diabetes, and about 1.5 million Americans are diagnosed every year, according to the American Diabetes Association.
Manufacturers of insulin - Sanofi and Eli Lilly
Walmart worked directly with manufacturer Novo Nordisk to reduce costs.
2021-07-27
2021-07-26
Notes from https://www.bloomberg.com/news/articles/2021-07-24/china-bans-school-curriculum-tutoring-firms-from-going-public
Weekend tutoring related to the school syllabus is now off-limits.
Companies that teach school subjects can no longer accept overseas investment, which could include capital from the offshore registered entities of Chinese firms
The new regulations are focused on compulsory subjects, meaning critical material like math, science and history. Classes for art or music mostly would not fall under the new restrictions.
They also banned the teaching of foreign curriculums, tighten scrutiny over the import of textbooks and forbid the hiring of foreign teachers outside of China.
State Council - the country’s most powerful administrative authority
TAL Education Group, New Oriental Education & Technology Group and Gaotu Techedu Inc
Education technology had emerged as one of the hottest investment plays in China in recent years, attracting billions from the likes of Tiger Global Management, Temasek Holdings Pte and SoftBank Group Corp.
tutorial industry
Weibo
Didi Global Inc., Alibaba Group Holding Ltd.
after-school tutoring
one of Xi Jinping’s top priorities: boosting a declining birth rate
Yuanfudao and Zuoyebang
startups like VIPKid specialized in overseas tutors
Online tutoring agencies will also be forbidden from accepting pupils under the age of six.
China will improve the quality of state-run online education services and make them free of charge
Notes from https://www.bloomberg.com/news/articles/2021-07-26/down-650-billion-chinese-stocks-in-u-s-set-for-even-more-pain?srnd=premium
Nasdaq Golden Dragon China Index
U.S.-listed Chinese stocks
Regulators in China banned firms that teach school subjects from making profits, raising capital or going public.
Cathie Wood’s flagship Ark Innovation ETF
tech-giant Baidu Inc.
Tencent Holdings Ltd.
Chinese property site KE Holdings Inc.
TAL Education Group, New Oriental Education & Technology Group Inc. and Gaotu Techedu Inc., some of China’s largest education companies
more than $100 billion in market capitalization has been erased from Chinese education stocks traded in the U.S., China and Hong Kong this year
food-delivery giant Meituan
2021-07-22
Notes from https://www.bloomberg.com/news/articles/2021-07-22/eisler-gets-1-billion-for-hedge-fund-to-make-big-leveraged-bets?srnd=markets-vp
This article was written by Nishant Kumar
It smells like a PR piece. In the future, you can safely ignore any articles written by him.
Eisler Capital - one of Europe’s most secretive hedge funds
Millennium Management and Citadel - industry giants in the multi-strategy sector
Multi-strategy funds funds are run by dozens of traders making bets across asset classes, instead of an investment chief making the calls.
billionaire Michael Platt’s BlueCrest Capital Management
Bill Hwang’s Archegos Capital Management
Goldman Sachs Group Inc.’s global securities unit
2021-06-30
2021-06-29
2021-06-04
https://finviz.com/calendar.ashx shows
Fri Jun 04 Release For Actual Expected Prior
8:30 AM Nonfarm Payrolls May 559K 720K 278K
8:30 AM Nonfarm Private Payrolls May 492K 650K 219K
8:30 AM Avg. Hourly Earnings May 0.5% 0.2% 0.7%
8:30 AM Unemployment Rate May 5.8% 5.9% 6.1%
8:30 AM Average Workweek May 34.9 34.9 34.9
10:00 AM Factory Orders Apr -0.6% 0.5% 1.4%
Notes from https://www.bloomberg.com/news/articles/2021-06-04/u-s-job-growth-picked-up-steam-in-may-after-disappointing-april?srnd=premium
Payrolls gain of 559,000
U.S. Adds 559,000 Jobs in May
Payrolls increased by 559,000 last month after a revised 278,000 gain in April, according to a Labor Department report Friday.
The jobless rate dropped to 5.8%, while the labor participation rate was little changed.
Restaurants and bars reported the largest payrolls increase, with a gain of 186,000 jobs, the Labor Department’s report showed.
The number of long-term unemployed, those out of work for 27 weeks or longer, declined by 431,000 in May.
The labor force participation rate, a measure of those working or looking for work and closely watched by the Fed, was 61.6% in May after 61.7%. It remains well below the 63.3% before the pandemic. The employment-population ratio ticked up to 58%.
Average hourly earnings rose 0.5% in May from a month earlier, to $30.33, the jobs report showed.
2021-05-28
2021-05-24
2021-05-11
2021-05-10