Can Xi Fix China’s Economy as Trump Tariff Threat Looms?…
What Does It Mean – China’s recent stimulus measures, led by President Xi Jinping, aim to counteract the economic impacts of U.S. tariffs and domestic deflation. The measures include increased infrastructure spending and tax cuts to boost domestic demand. However, global finance leaders remain skeptical, citing unresolved issues like overcapacity and weak consumer spending. The IMF warns that without deeper reforms, China’s growth could fall below 4%. Additionally, local government debt defaults are rising, complicating the economic landscape. The People’s Bank of China has opted to maintain its policy rate, reflecting a cautious approach amid these challenges.
Gold Jumps as Goldman Reasserts $3,000 Target for 2025,,,
What Does It Mean – Gold prices have rebounded following their largest weekly loss in 15 months, driven by uncertainty in the interest rate outlook. The Federal Reserve’s mixed signals on future rate hikes have created volatility in the market. Investors are closely watching economic data and Fed statements for clues on monetary policy direction. Despite recent losses, gold remains attractive due to its safe-haven appeal amid economic uncertainty. Central banks continue to buy gold, supporting prices, while ETF investors remain cautious, selling into rallies.
Discount Airline Spirit Files for Bankruptcy…
What Does It Mean – Spirit Airlines has filed for Chapter 11 bankruptcy to restructure its $3.6 billion debt amid intense competition and rising costs. The restructuring plan includes a $350 million equity investment and converting $800 million of bondholder debt into equity. Bondholders will also provide a $300 million loan to finance the proceedings. Spirit expects to complete the process by Q1 2025, with its stock delisted and shares canceled. Despite the bankruptcy, operations will continue normally, and vendors will be paid. The airline had previously attempted mergers with Frontier and JetBlue, but both failed.
TSMC’s Chips Act Award Finalized by US, With Funds Coming This Year…
What Does It Mean – The U.S. has finalized a $11.6 billion award for TSMC under the CHIPS Act, including $6.6 billion in grants and $5 billion in loans. This funding will support TSMC’s expansion in Arizona, enhancing domestic semiconductor manufacturing capabilities. The initiative aims to reduce reliance on foreign supply chains and mitigate geopolitical risks. TSMC’s investment will also address labor shortages through partnerships with local educational institutions. The CHIPS Act funding underscores the strategic importance of semiconductor manufacturing for national security and economic stability.
Insurers say bear that damaged luxury cars was actually a person in a costume…
California has seen its share of bears breaking into cars. But bears caught on camera entering luxury cars tipped off insurers that something wasn’t quite right.
In what it has dubbed “Operation Bear Claw,” the California Insurance Department said four Los Angeles residents were arrested Wednesday, accused of defrauding three insurance companies out of nearly $142,000 by claiming a bear had caused damage to their vehicles.
The group is accused of providing video footage from the San Bernardino Mountains in January of a bear moving inside a Rolls-Royce and two Mercedes to the insurance companies as part of their damage claims, the department said. Photos provided by the insurance department show what appeared to be scratches on the seats and doors.
The department had a biologist from the California Department of Fish and Wildlife review the three videos, who concluded it was “clearly a human in a bear suit,” the insurance department said.
After executing a search warrant, detectives found the bear costume in the suspects’ home, the department said.
“When the facts change, I change my mind.
What do you do?” ~ John Maynard Keynes
Our plan is “the plan will change.”
What is your plan?
Relative strength measures the price performance of a stock against a market average, a selected universe of stocks or a single alternative holding. Relative strength improves if it rises faster in an uptrend, or falls less in a downtrend. It is easily applied to individual positions in your portfolio and to sectors and asset classes.
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