Warsh In, Powell Out. Hormuz Hoarding. Trump, Xi Day Two.

Baltic Dry Index. 3195 +06     Brent Crude 107.02

Spot Gold  4616                           Spot Silver 81.76

US 2 Year Yield 4.00 +02

US Federal Debt. 39.244 trillion

US GDP 32.120 trillion.

Good decisions come from experience. Experience comes from making bad decisions.

Mark Twain

Day two of the Great Pow Wow in Beijing, with almost nothing to show for it so far, except for team Trump’s claim that China will buy 200 Boeing planes, unconfirmed by China so far. Team Trump had earlier hinted that China would buy 500 Boeing planes.

So far, no word on any Chinese soybean purchases.

Not to worry though, while the global economy increasingly struggles from oil inflation, supply chain disruption, and a growing hit to tourism, the Great Stock Casino Bubble, bubbles on.

Trump insists US-China relations are in a good place as he wraps up trip

Fri, 15 May 2026 at 5:24 am BST

President Donald Trump is insistent that US-China relations are good and getting better despite deep differences on key issues.

The US president started his last day in Beijing by boasting on social media that Chinese leader Xi Jinping had “congratulated me on so many tremendous successes” and had been referring only to his predecessor, former president Joe Biden, when he “very elegantly referred to the United States as perhaps being a declining nation”.

But Mr Trump’s rosy outlook on the US-China relationship collides with some difficult truths about the thorniest issues between the two superpowers.

Beijing has shown little public interest in US entreaties to get more involved in solving the conflict in Iran, even though Mr Trump said in an interview with Fox News’ Sean Hannity that Mr Xi had, in their conversations, offered to help.

And the White House believes China can still do more to stem the flow of Chinese-made precursor chemicals into Mexico, used to make illicit fentanyl that has wreaked havoc on many US communities.

Mr Xi, meanwhile, warned Mr Trump during private talks that their differences on the self-ruled island of Taiwan, if handled poorly, could hurtle the world’s dominant powers toward “clashes and even conflicts,” according to Chinese government officials.

Mr Xi welcomed Mr Trump at his official residence, Zhongnanhai, on Friday for the final talks of the summit before the US leader makes the long journey back to Washington.

The compound is wrapped around two manmade lakes that had been built for the pleasure of emperors.

Zhongnanhai is often compared to the White House, the Kremlin or South Korea’s Blue House.

But unlike the other presidential residences, Zhongnanhai does not serve as the main venue for diplomatic visits.

The invitation appears to be an attempt by Mr Xi to extend a personal touch to a US leader who appreciates big gestures.

“I think he’s a warm person, actually. But he’s all business,” Mr Trump said of Mr Xi in the Fox News interview. “There’s no games.”

Mr Xi also welcomed former president Barack Obama to Zhongnanhai in 2014. The two leaders took an evening stroll and had dinner there.

Before the final talks got Friday underway, China’s foreign ministry issued a statement asserting that Mr Xi and Mr Trump’s meetings were injecting “stability” into the world.

Trump insists US-China relations are in a good place as he wraps up trip - Yahoo News UK

South Korea’s Kospi retreats from 8,000 milestone as Trump-Xi talks enter second day

Published Thu, May 14 2026 7:46 PM EDT

South Korea’s benchmark Kospi gave up earlier gains to fall more than 3% on Friday, retreating from a fresh record high above 8,000 as broader Asia-Pacific markets fell. Investors were tracking the second day of high-stakes talks between U.S. President Donald Trump and Chinese President Xi Jinping.

The small-cap Kosdaq was down 2.61%. Japan’s Nikkei 225 declined 1.1% and the Topix lost 0.13%. In Australia, the S&P/ASX 200 was little changed.

Hong Kong’s Hang Seng index slid 0.89% while the CSI 300 remained flat. India’s Nifty 50 was up 0.2%.

The Kospi topped 7,000 for the first time on May 5, after index heavyweight Samsung Electronics reached a record high, crossing $1 trillion in market capitalization.

The record-breaking streak comes amid concerns of concentration risks, particularly in artificial intelligence stocks. Samsung Electronics and SK Hynix together made up a record 42.2% of the Kospi in May, according to Manulife Investment Management.

The earlier gains in South Korea’s market reflected investor optimism that the Trump-Xi talks could ease tensions around trade and technology exports, particularly for chipmakers and AI-related stocks.

Shares of Samsung Electronics fell by more than 5% after its labor union said it would proceed with its planned 18-day strike from May 21 involving more than 45,00 workers, even though the company has proposed resuming wage talks without preconditions.

The union said it was willing to return to negotiations after June 7.

Trump arrived in Beijing on Wednesday for the closely watched summit, joined by a delegation of American business leaders, including Tesla CEO Elon Musk and Nvidia chief Jensen Huang.

Xi warned Trump on Thursday that Washington and Beijing could face “clashes and even conflicts” if the sensitive issue of Taiwan independence is mishandled.

Failure to handle the matter “properly” could place “the entire relationship in great jeopardy,” Xi was quoted as saying.

U.S. stock futures were little changed on Thursday night. Dow futures fell by 10 points, or 0.02%. S&P 500 futures dipped 0.02%, and Nasdaq 100 futures rose 0.06%.

Overnight in the U.S., the Dow Jones Industrial Average retook 50,000 after Cisco Systems reported strong earnings. The 30-stock index popped 370.26 points, or 0.75%, to end at 50,063.46.

The S&P 500 climbed 0.77% and closed at 7,501.24, while the Nasdaq Composite gained 0.88% to 26,635.22. Those two indexes scored fresh all-time intraday highs and record closes.

Asia markets, Trump-Xi: Nikkei 225, Kospi, Hang Seng Index

Oil prices jump after Trump says China agreed to buy U.S. crude following Xi talks

Published Thu, May 14 2026 10:43 PM EDT

Oil prices rose Friday after U.S. President Donald Trump said China has agreed to purchase oil from America, following talks with Chinese leader Xi Jinping.

International benchmark Brent crude futures for July gained 1.49% at $107.30 a barrel. U.S. West Texas Intermediate futures for June advanced 1.55% at $102.74 per barrel.

“They’ve agreed they want to buy oil from the United States, they’re going to go to Texas, we’re going to start sending Chinese ships to Texas and to Louisiana and to Alaska,” Trump said in a pre-recorded interview with Fox News, after his meeting with Xi.

China has not confirmed the energy purchases. CNBC reached out to Chinese authorities for comment but did not receive a response before publication.

The gains also came after both presidents agreed that the Strait of Hormuz must remain open.

“President Xi also made clear China’s opposition to the militarization of the Strait and any effort to charge a toll for its use, according to a statement by a White House official on Thursday.

Meanwhile, U.S. Treasury Secretary Scott Bessent told CNBC in an interview on Thursday that China will work behind the scenes to help reopen the Strait of Hormuz. “It’s very much in their interest to get the strait reopened,” Bessent said.

Oil prices jump after Trump says China agreed to buy U.S. crude following Xi talks

Bond market believes Fed behind the curve on inflation as Warsh takes over

Published Thu, May 14 2026 3:25 PM EDT

Bond market investors believe the Federal Reserve needs to play catch up on inflation as its new leader takes over, according to Ed Yardeni, president of Yardeni Research.

Wall Street expects the central bank’s Federal Open Market Committee to relinquish its bias toward easing rates at the policy meeting next month, Yardeni said. Bond traders are hoping that is replaced with a slant toward tighter monetary policy, the economist said.

Yardeni’s evidence: The 2-year U.S. Treasury yield is above the federal funds rate, or FFR. When this happens, investors are hinting that they do not believe the FFR is high enough to bat down inflation, he said.

“The market is signaling that the current FFR is too low to curb inflation and may have to be hiked,” Yardeni wrote in a Wednesday note to clients.

The Fed may have to show a willingness to hike interest rates after five years of inflation running above its annual target of 2%, Yardeni added.

“A simple removal of the easing bias may not be enough,” he said.

Yardeni’s comments follow a series of inflation readings this week showing a reacceleration in the wake of the Iran War. That can complicate the outlook for Kevin Warsh, President Donald Trump’s pick to succeed Fed Chair Jerome Powell.

April’s consumer price index showed an annual increase of 3.8%, the highest rate since 2023. Wholesale inflation jumped 6% over 12 months in April, its fastest clip since 2022.

Warsh, who was confirmed by the Senate this week, has promised a “regime change” at the central bank. Trump has long pressured the Fed to lower interest rates, arguing that decreased borrowing costs would benefit the economy.

But Fed funds futures traders are pricing in no rate cuts for the remainder of the year, according to CMEGroup’s FedWatch tool. The likelihood of a rate hike priced in by the market jumped over recent days.

Bond market: Fed behind the curve on inflation as Warsh takes over

Xi Jinping’s Secret Ability: Speaking Fluent English?

March 5, 2024 by byma

Xi Jinping’s Secret Ability: Speaking Fluent English?

In recent years, there has been much speculation surrounding Chinese President Xi Jinping’s ability to speak fluent English. While Xi Jinping is known to be well-versed in Mandarin, the official language of China, many have wondered if he also possesses the skill of speaking English fluently. In this article, we will delve into this intriguing topic and explore the evidence supporting Xi Jinping’s alleged proficiency in the English language.

Can Xi Jinping Speak English?

Historical Context

To understand Xi Jinping’s purported ability to speak English, it is essential to examine his background and education. Born in Beijing in 1953, Xi Jinping grew up during a tumultuous period in Chinese history, marked by political upheaval and social change. Despite his privileged upbringing as the son of a prominent party leader, Xi Jinping faced many challenges on his path to leadership.

Educational Experience

Xi Jinping received a comprehensive education in China, including a degree in Chemical Engineering from Tsinghua University. However, little information is available on his English language proficiency during his formative years. It is unclear whether Xi Jinping had the opportunity to learn English extensively during his early education.

----Evidence of Xi Jinping’s English Skills

Public Appearances

Despite the limited public instances of Xi Jinping speaking English, there have been a few notable occasions where he has demonstrated his language abilities. For example, in a 2015 speech at the United Nations, Xi Jinping delivered a brief opening statement in English, showcasing his willingness to engage with an international audience.

Diplomatic Interactions

In diplomatic settings, Xi Jinping has interacted with English-speaking leaders and officials, suggesting a basic understanding of the language. While interpreters are often present during these exchanges, Xi Jinping’s direct communication with foreign counterparts implies a level of English proficiency.

Personal Accounts

Some individuals who have interacted with Xi Jinping in private settings have reported that he is capable of conversing in English. These anecdotal accounts offer insights into Xi Jinping’s linguistic abilities beyond his public appearances.

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Xi Jinping’s Secret Ability: Speaking Fluent English? – Life Unleashed: Solutions for a Balanced and Happy Existence

In other news.

Air boss warns airlines cannot continue ‘absorbing cost’ of jet fuel shortages

Thu, 14 May 2026 at 10:13 am BST

Airlines are not able to continue “absorbing the cost” of disruption stemming from the closure of the Strait of Hormuz, according to the head of the International Air Transport Association (IATA).

Willie Walsh, IATA's director general, told the BBC that while there is no immediate cause for alarm over potential jet fuel shortages, an inevitable consequence of rising fuel prices will be an increase in air ticket costs.

“There’s just no way airlines can absorb the additional costs they’re experiencing,” he said.

“There may be some instances where airlines will discount to stimulate some traffic flow… but over time it’s inevitable that the high price of oil will be reflected in higher ticket prices.”

While Mr Walsh did not think there would be widespread cancellations, he added: “I think the concern will be that if sufficient alternative supply isn’t sourced, there may be some shortages when we get into the peak summer period.”

Last week, British Airways’ parent company IAG warned its profits will be hit as it expects to spend about two billion euro (£1.72 billion) more than planned on fuel this year.

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Air boss warns airlines cannot continue ‘absorbing cost’ of jet fuel shortages - Yahoo News UK

Iran war fallout forces Singapore Airlines-backed Air India to cancel 27% of international flights

Published Thu, May 14 2026 4:51 AM EDT

Singapore Airlines-backed Air India will substantially cut international flights during the peak June to August travel period, as the Iran war-led airspace restrictions and record-high jet fuel prices weigh on the carrier’s operational viability.

The Airline is cutting nearly 140 flights per week, which roughly translates to 27% of its total international flights, according to aviation sector experts.

“These changes are aimed at improving network stability and reducing last-minute inconvenience to passengers,” Air India said in a statement on Wednesday. Air India, co-owned by Tata Group and Singapore Airlines, will fly fewer flights to North America, Europe, Australia, and Asia.

The company is India’ second-largest airline, with 3.6 million seats and a 14% share of the market, according to aviation industry data provider OAG.

Indian carriers have been among the worst affected by the conflict in the Middle East, experts said, as they face closure of airspace over Iran, Iraq, Israel, Kuwait, Qatar, and the UAE. The country was already facing airspace usage curbs in Pakistan, as well as China, highlighted Sanjay Lazar, aviation expert and chief executive at Avialaz Consultants.

“Increased flying hours and added crew costs plus extra fuel used for the trip,” have made the sector totally unviable now, Lazar said, adding that jet fuel in India is up to 40% more expensive than in global hubs, due to local taxes.

Last month, the Federation of Indian Airlines had warned that carriers in the country were “under extreme stress and on the verge of closing down or stopping operations,” as per local media reports.

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Iran war fallout forces Singapore Airlines-backed Air India to cancel 27% of international flights

Hoarding adds to economic damage triggered by Iran war

From Diet Coke to diesel, governments around world battle to contain wave of stockpiling

14 May 2026

With the stand-off in the Strait of Hormuz in its third month, governments around the world are struggling with a shared dilemma: how to prevent hoarders worsening shortages of products from petrol to syringes.

In scenes reminiscent of pandemic-era panic buying, South Koreans rushed to buy plastic rubbish bags after the Iran war led to the closure of the strait, disrupting global supply chains.

Australians cleared the shelves of jerry cans as drivers and farmers vied to stock up on fuel in rural areas. Social media posts on possible shortages of condoms went viral in China last month. 

Companies are hoarding too to secure vital supplies, exacerbating shortages and forcing governments to step in.

South Korean police, for example, have launched a crackdown on firms suspected of hoarding syringes, as a shortage of naphtha threatens medical supplies. Meanwhile, in India, online influencers are driving a craze for ticketed Diet Coke parties, as limited supplies of the canned drink give it a new cachet.

“We value things more highly when they are limited — and people’s perceptions of scarcity can be exacerbated by social media,” said Elizabeth Costa, chief of innovation and partnerships at the UK-based Behavioural Insights Team, a consultancy that has studied ways to “nudge” people to prepare for crises ahead of time.

Yet while toilet roll shortages at the start of the coronavirus pandemic were an avoidable product of panic buying, global shortages of oil and other essentials now look all too real, which is giving households, companies and governments compelling reasons to stockpile before supplies dry up.

The challenge for policymakers is how to minimise the economic pain caused by hoarding, while making sure that poorer households and countries can access essentials.

Economists understand the instinct for consumers to buy before prices rise. “I went to the petrol station to fill up my car — it’s perfectly natural,” said Mauro Pisu, a senior economist at the OECD, who has been tracking the measures governments are taking in response to the energy price shock driven by the Middle East conflict.

He and other economists argue that, as far as possible, governments should resist the urge to impose controls to prevent hoarding. They should instead allow market mechanisms, such as higher prices, to prompt people to change their behaviour and cut demand. 

“It will be important to let consumers behave as they think best and make sure that they face the right price,” Pisu said.

Many governments are doing the opposite. Among the more than 50 countries that the OECD is monitoring, the most common response has been to cut fuel duties or impose direct controls to keep prices down. That approach was storing up trouble, Pisu said. 

“If governments keep prices low to keep consumers happy in the short term . . . it’s clear this will make shortages more likely and acute,” he said. 

More

Hoarding adds to economic damage triggered by Iran war

Global Inflation/Stagflation/Recession Watch.

Given our Magic Money Tree central banksters and our spendthrift politicians.

UK grows 0.6% in the first quarter — before the Iran war really started to hit global economy

Published Thu, May 14 2026 2:05 AM EDT

The U.K. economy grew 0.6% in the first quarter, according to preliminary figures from the Office for National Statistics on Thursday.

It matches what economists polled by Reuters expected for the January-March period, and follows revised growth of 0.2% in the fourth quarter.

“Growth picked up in the first quarter of the year, led by broad-based increases across the services sector,” Liz McKeown, director of Economic Statistics at the ONS, commented on X on Thursday.

Production also grew slightly, she added, and while construction returned to growth, that was only partly reversing weakness at the end of last year.

There were indications that the Q1 data could be positive after a revised 0.4% expansion in February, but the Iran war is expected to weigh on macroeconomic data going forward. The economy grew 0.3% in March, the ONS said Thursday.

The conflict between Iran and the U.S. has since put global energy supply chains under severe strain because of the effective closure of the Strait of Hormuz maritime passage, through which around 20% of the world’s oil and gas was transited before the war.

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UK grows 0.6% in the first quarter of 2026

Water costs are rising faster than inflation — and sending bills soaring

The cost of water and related services is rising twice as fast as inflation while utilities scramble to cope with escalating droughts and more intense storms.

May 13, 2026

When the reservoirs that provide water to Corpus Christi, Texas, dropped to just a tenth of their full capacity, officials knew they needed to take drastic action. Forecasts projected the city, which had entered its fourth year of drought, could run out of water in a matter of months.

So the city council approved nearly half a billion dollars to seek out new water sources, including paying a contractor almost 40 percent more to speed up construction of a nearly $500 million groundwater project for which it didn’t yet have the necessary permits.

To fund this 11th-hour spending, residents will likely see their water rates double over the next few years, according to city manager Peter Zanoni — putting Corpus Christi among countless American communities whose water costs are on the rise as the planet warms.

As utilities cope with weather extremes by scrambling to repair their infrastructure and tapping new water sources, the cost is beginning to show up in residents’ bills. Between 1998 and 2020, the average cost of water, sewer and trash collection services increased more than twice as much as the overall U.S. consumer price index, according to data from the Bureau of Labor Statistics.

“This drought has been punishingly severe,” Zanoni said. “And it led us to this position where ... we have no choice.”

Across the country, damages driven by climate change have brought once-reliable utilities to their knees. Flooding from supercharged storms has ravaged the aging pipes that deliver water to cities from Seattle to Asheville, North Carolina. Longer and more intense droughts have triggered restrictions on water use from Florida to Colorado. Within 50 years, a 2019 Forest Service study found, the nation’s demand for water could periodically outstrip supply in nearly half of U.S. freshwater basins.

Water has long been one of the most affordable utility bills for American households, said Megan Bondar, a water utility analyst at the market research firm Bluefield Research. Most communities get their water from relatively close rivers, aquifers and reservoirs, so the cost is not subject to global forces, such as wars or supply chain issues, that can send gas and food prices soaring. Water use is also fairly predictable, making it easier for utilities to plan investments and implement rate increases accordingly.

But climate change is increasingly battering utilities with weather — and costs — they did not plan for.

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Water costs are rising faster than inflation — and sending bills soaring - The Washington Post

Technology Update.

With events happening fast in the development of solar power and graphene, among other things, I’ve added this section Updates as they get reported.

Gujarat builds 870 MW battery power backup network to stabilise renewable energy grid

May 11, 2026

Gujarat has initiated battery storage systems at five locations in the state, with a total capacity of 870 MW, to maintain the stability of the renewable power grid, officials said on Saturday.

Battery Energy Storage Systems (BESS) are essential for storing electricity generated from solar and other renewable sources. They help manage additional load and maintain grid stability.

"Gujarat has initiated battery storage systems at five locations with a total capacity of 870 MW," an official release stated.

The state has also registered 13 projects across Ahmedabad, Gandhinagar, Banaskantha, Patan and Kutch districts to set up additional battery storage systems, it said.

Modhera in Gujarat, India's first solar village, has launched the country's first BESS integrated with a solar power plant, it said.

"Under the leadership of Chief Minister Bhupendra Patel, the state has continued to advance in this direction and has strengthened its position among the leading states driving battery storage systems in India," the release said.

Recently, a battery storage system was commissioned at Charal in the Sanand taluka of Ahmedabad, it said.

Four systems are operational at Modhera in Mehsana and Lakhpat in Kutch. The state government has also included advanced energy storage systems as a key component in the Gujarat Integrated Renewable Energy Policy, 2025, the release said.

Accordingly, standalone battery storage projects, works linked with new renewable energy installations, and those integrated with existing renewable energy systems are being approved, it said.

Once the Standard Operating Procedure is approved, registrations for battery storage will open for commercial and industrial users, it said, adding that the move will allow them to set up battery storage alongside their solar or wind projects.

The state government is developing battery storage systems across Gujarat, with companies being invited in through a competitive bidding process.

GETCO (Gujarat Energy Transmission Corporation) and power distribution companies strategically identify locations for battery storage systems based on grid capacity and operational requirements, the release said.

Power generation from solar and other renewable sources fluctuates throughout the day. Excess energy generated during peak hours can be stored and supplied later during periods of high demand, especially in the evening when solar output declines. Battery storage systems help reduce stress on the grid and improve grid stability, it added.

Gujarat builds 870 MW battery power backup network to stabilise renewable energy grid

Next, the world global debt clock. Nations debts to GDP compared.

World Debt Clocks (usdebtclock.org) 

Another weekend and no end in sight to the closure of the Strait of Hormuz. Bad things will start happening fast in the global economy by month-end. Have a great weekend everyone.

In tomorrow’s YouTube section, all types of radar explained, doing the impossible in maths.

Facts are stubborn, but statistics are more pliable.

Mark Twain

Xi Hosts Trump. US PPI Soars Six Percent P.A.

Baltic Dry Index. 3189 +106   Brent Crude 106.02

Spot Gold  4715                           Spot Silver 87.78

US 2 Year Yield 3.98 -0.02

US Federal Debt. 39.240 trillion

US GDP 32.117 trillion.

I suppose that if you are on a cruise ship you’re never very distant from a rat. But I’m surprised that hantavirus didn’t first strike the House of Commons, where they are even nearer and more numerous.

Adam Smith Institute, 13 May 2026.

The big news of the day will come from the summit in Beijing between Presidents Xi and Trump.

Trump’s gushing opening praise of President Xi bordered on the obsequious. Xi responded by asking that the US and China avoid the Thucydides trap.

Prediction markets are betting on a giant order by China for Boeing planes in return for some form of US tariffs relief.

On the US inflation front, bad news yesterday from the US Producer Price Index. But with President Trump’s new central bank chairman about to take over at the Fed, few expect the Fed to respond by any interest rate rise any time soon. He was picked by Trump to lower US interest rates not raise them.

US bond vigilantes seem to have awoke from their slumber raising rates on the longer end of the yield curve

Xi asks Trump if U.S. and China can avoid ‘Thucydides Trap’ at high-stakes summit

Published Wed, May 13 2026 10:31 PM EDT

BEIJING — U.S. President Donald Trump met his Chinese counterpart Xi Jinping in Beijing on Thursday morning, kickstarting a high-stakes summit that is expected to cover trade, tariffs, Taiwan and Iran, and runs through Friday.

The relationship between the two countries is going to be “better than ever before,” Trump told Xi in his opening remarks, according to official broadcast footage. Trump, who also visited China in 2017 in his first term, said the two leaders have known each other personally for longer than any other U.S. or Chinese president.

Speaking just ahead of Trump, Xi noted the global attention on the meeting, and said a major question for the two countries was whether they could avoid the “Thucydides Trap,” according to an official English translation of his Chinese remarks broadcast by CCTV.

The Thucydides Trap refers to how tensions historically between a rising and ruling power have often resulted in a war. Graham Allison, the Harvard professor who popularized the concept, told CNBC’s “Squawk Box Asia” that he expects the trade truce Trump and Xi reached at their meeting in South Korea last fall will become a formal agreement.

“The big word will be stabilization,” Allison said Thursday.

The two presidents wrapped up their first meeting after about an hour, including a welcome ceremony, and are set to have multiple discussions through midday Friday.

Trump is expected to visit the Temple of Heaven, a historic landmark, in the afternoon, and attend a state banquet in the evening.

“China comes into this meeting far more confident than in 2017, when it feared even a small rise in U.S. tariffs. In the last year, Xi has been able to push back and neutralize much of Trump’s actions,” said Scott Kennedy, senior adviser and trustee chair in Chinese Business and Economics at the Center for Strategic and International Studies.

China was the first major economy to retaliate against Trump’s “Liberation Day” tariffs in April 2025.

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Xi asks Trump if U.S. and China can avoid 'Thucydides Trap' at high-stakes summit

Asia-Pacific stocks trade mixed as Trump lands in Beijing for high-stakes Xi meeting

Published Wed, May 13 2026 7:45 PM EDT

Asia-Pacific markets traded mixed Thursday as investors look to a high-stakes meeting between U.S. President Donald Trump and his Chinese counterpart Xi Jinping for clues on the future of U.S.-China ties and global trade.

Trump landed in Beijing Wednesday for the closely watched summit, accompanied by a group of U.S. executives, including Tesla CEO Elon Musk and Nvidia boss Jensen Huang.

Japan’s Nikkei 225 rose 0.27%, while the Topix slid 0.23%. South Korea’s Kospi added 0.38%, while the small-cap Kosdaq climbed 1.31%.

Samsung shares rose as much as 5.46%, notching a fresh record high. The tech giant suffered a brief wirepout of $66 billion in market value on Wednesday following a labor dispute that threatened one of the biggest strikes in the company’s history.

This comes as the labor union threatened an 18-day strike from May 21 if its demands were not met. More than 41,000 workers are expected to join the walkout, which was first announced at a rally on April 23.

South Korea’s finance minister Koo Yun-cheol warned Thursday that a potential strike by Samsung workers could pose a major threat to the country’s economic growth, exports and financial markets.

In Australia, the S&P/ASX 200 declined 0.16%.

Hong Kong Hang Seng index rose 1.32%, while the CSI 300 added 0.27%.

Analysts at Goldman Sachs said they expect the Trump-Xi meeting to focus narrowly on trade and export controls, including tariffs, restrictions on rare earths and semiconductors, rather than producing a sweeping reset in bilateral ties.

The investment bank said China could agree to step up purchases of U.S. farm goods, energy and aircraft in exchange for avoiding further tariff hikes.

“While unlikely to be a game changer for US-China relations, we think the meeting could act as a tactical catalyst for strength in the Chinese yuan and Chinese equities,” Goldman’s analysts wrote in a note late Wednesday.

The bank maintained a positive view on China assets, citing the country’s export competitiveness and what it described as an “undervalued” currency, while reiterating an overweight call on Chinese equities, particularly mainland A-shares over Hong Kong-listed H-shares.

In the U.S., futures were little changed. S&P futures and Nasdaq 100 futures climbed 0.1% and 0.4%, respectively. Futures tied to the Dow Jones Industrial Average rose by 111 points, or nearly 0.3%.

Overnight on Wall Street, the S&P 500 rose to a new all-time high as traders’ enthusiasm for the technology trade overshadowed yet another hotter-than-expected inflation report.

The broad market index rose 0.58% to 7,444.25, and the tech-heavy Nasdaq added 1.2% to end at 26,402.34. Both hit fresh intraday and closing records. The Dow Jones Industrial Average shed 67.36 points, or 0.14%, ending at 49,693.20.

Asia-Pacific markets: Donald Trump, Xi Jinping, U.S.-China meeting

Trump in China: Traders predict a tariff truce extension and Boeing aircraft purchases

Published Wed, May 13 2026 1:46 PM EDT Updated Wed, May 13 2026 2:13 PM EDT

Prediction market traders think President Donald Trump will make some major announcements in his trip to meet with Chinese President Xi Jinping in Beijing. 

Traders on Kalshi give an 86% chance that he will announce China will buy aircraft from domestic manufacturer Boeing. 

That belief is shared with Wall Street, as Boeing’s stock advanced nearly 2% on Wednesday ahead of the meeting. 

“The speculation is that Trump wants this to be the largest order ever announced, which could mean a Boeing purchase commitment in the triple-digit billions,” wrote Tobin Marcus, head of U.S. politics and policy at Wolfe Research, in a note. “Investors will need to await clarification from the company about how ‘real’ those numbers are and what specific airframes are included.”

Traders are also placing more than 81% odds that Trump will announce an extension of the U.S.-China tariff truce. In their October deal, China agreed to pause export controls on rare earths while the U.S. cut tariffs on the country related to fentanyl to 10% from 20%. 

Barclays predicted that tariff might move a few percentage points lower if China purchases aircraft, as well as American oil and soybeans. While Kalshi traders see a 79% chance a soybean purchase is announced, oil purchases have a much lower probability at just 24%. 

Traders also think there’s a 69% chance a U.S.-China Board of Trade is announced. This is a key goal of U.S. Trade Representative Jamieson Greer, Wolfe’s Marcus noted. “We suspect that this will be done primarily through ongoing purchase commitments, with the Board of Trade eliciting a centralized answer from the CCP about what China will buy from the US to mitigate their bilateral trade surplus,” he wrote. 

Trump told reporters on Tuesday as he departed for the trip that while he expected to chat about the Iran war with Xi, he also said, “I don’t think we need any help with Iran.” Despite that, traders see a likelihood of 61% that he talks about Tehran during the bilateral meeting. They also give a 59% chance he talks about oil or gasoline. 

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Traders predict Trump will make major announcements during China trip

In other news.

Hormuz closure cuts OPEC oil production by 30% and threatens demand growth this year, cartel says

Published Wed, May 13 2026 9:34 AM EDT Updated Wed, May 13 2026 12:45 PM EDT

Oil production among OPEC members fell further in April and is down more than 30% since the start of the Iran war in late February, the cartel said in its latest monthly update on Wednesday.

OPEC also lowered its demand growth forecast for 2026 to around 1.2 million barrels per day, down from about 1.4 million bpd previously. Global demand is facing constraints because supply from the Persian Gulf has been effectively cut off by Iran’s blockade of the Strait of the Hormuz.

OPEC production fell by 1.7 million bpd in April after output plunged by 7.9 million bpd in March. In total, production among OPEC members has dropped more than 30%, or 9.7 million bpd, during the war.

The update Wednesday from OPEC will likely be the last one to include data from the United Arab Emirates, which left the cartel on May 1.

The total supply loss from the Gulf oil producers now exceeds a billion barrels with more than 14 million bpd shut down due to the Hormuz closure, according to the International Energy Agency’s latest update published Wednesday

In contrast to OPEC’s rosier outlook, the IEA sees oil demand falling by 420,000 bpd in 2026. The IEA is a Paris-headquartered group of mostly Western nations that coordinate to ensure energy security.

The actual gap between supply and demand is much smaller because the market had a surplus of oil heading into 2026, the IEA said. Producers and consumers are also taking action to mitigate the loss, the group said.

Saudi Arabia and the UAE have redirected some exports to ports that bypass Hormuz, the IEA said. Producers outside the Middle East, particularly the U.S., have surged exports to record levels in response to the crisis.

Government and commercial stockpiles also helped mitigate the losses, the IEA said. But oil inventories are depleting at a record pace due to the mounting supply loss from the closure of Hormuz. Inventories fell by 250 million barrels, or 4 million bpd, over March and April, according to the IEA.

The oil market will likely see more price volatility as the peak summer demand period nears, the IEA said.

OPEC lowers demand growth forecast, production falls more than 30%

Higher gas prices sent wholesale inflation soaring last month, likely signaling more pain ahead for consumers

May 13, 2026

The war with Iran is squeezing US businesses at a rate not seen in nearly four years, and it’s likely to cause them to raise prices for consumers even more.

The Producer Price Index, a measure of wholesale inflation, increased in April to 6% on an annual basis from 4% in March, well exceeding economists’ expectations. On a monthly basis, the index increased 1.4%, according to data released Wednesday by the Bureau of Labor Statistics. That’s twice the pace that economists expected.

A 15.6% increase in gas prices accounted for 40% of the increase in prices businesses paid last month.

Even when excluding the volatile categories of food and energy, core PPI rose 1% for the month, pushing the annual rate to 5.2%.

What this means for consumers

Wednesday’s report does not guarantee consumers will see prices rise at the same rates that businesses are experiencing. Companies can try to pass along their higher costs, but they also have to weigh whether consumers are willing — or able — to pay more.

In the current environment, where Americans are already seeing consumer price increases outpace wage growth — largely a result of the jump in gas prices — they have less power to absorb higher costs.

At the same time, businesses also have less room to absorb elevated costs, having already shouldered much of the burden of President Donald Trump’s heftier tariffs over the past year. That means at least some of their added expenses are likely to be passed on to consumers. The question is how much.

Higher gas prices sent wholesale inflation soaring last month, likely signaling more pain ahead for consumers | CNN Business

Copper Climbs Toward Record High as Global Supply Tightens

Copper extended gains above $14,000 a ton, inching toward a record high seen earlier this year, as supply risks mount on mine disruptions around the world.

13 May 2026, 09:14 AM IST

(Bloomberg) -- Copper extended gains above $14,000 a ton, inching toward a record high seen earlier this year, as supply risks mount on mine disruptions around the world.

The red metal rallied for an eighth session to touch $14,196.50 a ton on the London Metal Exchange, close to an all-time high of $14,527.50 in January. 

A squeeze on Middle Eastern supplies of sulfur has threatened the production outlook for some mines in Africa, compounding existing disruptions at other major sites across the world. 

However, copper demand is resilient mostly thanks to the world’s biggest user China, which has seen robust consumption from power grids, renewable energy and artificial intelligence sectors. 

The slew of supply issues combined with solid demand is leading industrial metals to recover notably as worries over the Iran war ease, according to Li Xuezhi, head of research at Chaos Ternary Futures Co.

Copper futures on New York’s Comex jumped to a record of $6.69 a pound, widening their premium to LME copper above $500 a ton in anticipation of the US imposing tariffs on refined metal imports. The potential duties have the effect of luring refined copper into the US and draining supplies elsewhere.

The US Commerce Secretary is due to deliver an updated report on the domestic copper market by June 30, part of a broader push to bolster supplies of a metal critical to growing electrification around the world. 

Meanwhile in China, worsening raw material shortages at mines have started to affect refined metal output. 

Refined copper output stood at 1.05 million tons in April, down 3% from March, after concentrate treatment charges plunged further and invoicing restrictions tightened supply of scrap as feedstock, according to Beijing Antaike Information Co. Production may drop further in May due to maintenance at smelters, it added.

Copper rose 0.5% to $14,099 a ton as of 11:06 a.m. in Shanghai. Other base metals were also higher, with aluminum up 0.3% to $3,574 a ton and tin climbing 0.5% to $55,070. 

Copper Climbs Toward Record High as Global Supply Tightens | Stock Market News

US winter wheat ratings fall to four-year low despite planting gains

May 13, 2026

Winter wheat ratings plunge as planting accelerates

The USDA's latest report shows winter wheat conditions deteriorating to 28% good-to-excellent, the weakest rating for mid-May since 2022 and well below analyst expectations of 32%. Kansas, the top producer, saw its rating drop to 17%, with similar declines in Nebraska, Oklahoma, and Texas. Despite poor wheat conditions, planting of corn, soybeans, and spring wheat is outpacing both trade estimates and five-year averages, signaling strong farmer response to seasonal windows.

Drought threatens yields and market stability

Severe drought grips roughly 70% of the U.S. winter wheat area, a sharp increase from 22% a year ago, particularly affecting the Plains. Such weather stress is likely to pressure yields and could influence domestic and global wheat markets given the U.S.'s export role. The combination of reduced crop ratings and persistent dryness raises the risk of tighter supplies and price volatility through the growing season.

----What’s next for farmers and policymakers

If drought persists, wheat yields could fall further, potentially spurring higher prices and prompting policy discussions on disaster relief or trade adjustments. Meanwhile, agrivoltaics may gain policy traction as a land-use solution, especially as energy security concerns rise due to global conflicts. Without stronger federal renewable support, innovation in agrivoltaics will likely continue at a slower, market-driven pace, relying on farmer-developer partnerships to expand. 

US winter wheat ratings fall to four-year low despite planting gains

Global Inflation/Stagflation/Recession Watch.

Given our Magic Money Tree central banksters and our spendthrift politicians.

Wholesale inflation jumps 6% in April on annual basis, biggest increase in four years

Published Wed, May 13 2026 8:31 AM EDT

Wholesale prices in April rose the most in three years, signaling more nettlesome inflation as pipeline costs intensify.

The producer price index rose a seasonally adjusted 1.4% for the month, much higher than the 0.5% Dow Jones consensus forecast and the upwardly revised 0.7% March increase, the Bureau of Labor Statistics reported Wednesday.

On an annual basis, the index was up 6%, the biggest gain since December 2022.

PPI inflation report April 2026:

US Power Prices Climb 61% Faster Than Inflation as Demand Surges

May 12, 2026 at 6:21 PM UTC

Consumer prices climbed last month by the most in three years, but prices for electricity surged even more, highlighting an intensifying battle between utilities, consumers and power grids.

Electricity prices jumped 6.1% last month compared to a year earlier, according to Bureau of Labor Statistics data published on Tuesday. That’s well above the overall consumer price index, which rose 3.8%, the most since May 2023.

Mounting electricity demand from data centers has strained US energy grids, and customers are feeling the impact from soaring wholesale power costs. Lawmakers have attacked utilities and grid operators over higher electricity bills, while utilities and regulators are calling into question the design of the US grid. Concerns over energy affordability are emerging as a critical issue in this year’s midterm elections.

To answer voters’ complaints, politicians are working to reform the utility model and tamp down rates. The New Jersey Board of Public Utilities, for example, announced last week plans to evaluate different ways to reward utilities based on performance, including affordability and reliability, instead of the current model that ties their profit to investments in infrastructure.

US Electricity Prices Climb 61% Faster Than Inflation as Demand Surges - Bloomberg

Trump brushes off Iran war’s cost at home: ‘I don’t think about American financial situation’

President’s stunning admission comes as American struggle with surging inflation and record gas prices as a result of the continued blockade of the Strait of Hormuz

Andrew Feinberg  Tuesday 12 May 2026 19:47 BST

President Donald Trump on Tuesday said the plight of Americans finding it harder and harder to make ends meet and rising gas and consumer prices simply aren’t on his mind as the months-long Iran war and impasse over the Strait of Hormuz continue to fuel surging inflation in the United States.

Trump made the stunning brush-off statement as he departed the White House for Beijing, where he will be feted by Chinese leader Xi Jinping at a state visit, including a lavish Thursday night banquet at the Great Hall of the People.

Asked about the continuing pocketbook pressures faced by everyday consumers as a result of the war he started more than two months ago, Trump told reporters: "I don't think about American financial situation — I don't think about anybody. I think about one thing: We cannot let Iran have a nuclear weapon."

The president’s blunt comments came just hours after the Labor Department released inflation data showing the Consumer Price Index spiking 3.8 percent from the same point last year, including a .06 percent jump last month in the CPI. Gasoline prices, meanwhile, surged by a whopping 5.4 percent last month alone as the ongoing standoff between the U.S. and Iran has blocked the waterway through which a fifth of the world’s oil supply transits each year.

His remarks also came just hours after the release of a new survey showing Americans overwhelmingly blame the president for the record-high gas prices and rising mortgage rates and food costs that have followed.

According to a CNN/SSRS poll, some 77 percent of respondents said Trump’s policies have driven the cost of living up, with most people blaming his decision to go to war with Iran and the implementation of tariffs as the driving factors.

Trump became irate when pressed by reporters on whether his policies have done anything to fulfill his campaign promise to lower prices that consumers had blamed on the Biden administration when they voted to return him to the presidency for a second, non-consecutive term in 2024.

He claimed his administration’s efforts are “working incredibly” because inflation had cooled to roughly 1.7 percent before he elected to start a war against Iran and ignore longstanding concerns that Tehran would react by closing down the Strait of Hormuz and thereby crippling the global economy.

At the same time, he suggested that anyone who is concerned about Americans’ economic conditions wants Iran to acquire nuclear weapons while also claiming that the economy is in good shape because stocks are high.

“Anybody that wants them to have a nuclear weapon is a stupid person. So we said we're going to take the greatest stock market in history and we're going to go down a little bit. And actually that turned out to be incorrect, because our stock market is now at the highest point in history, which frankly, surprised a lot of people,” he said.

Continuing, Trump said the end of the war would “not be long” and claimed that oil prices would go bottom out once the impasse over the Strat of Hormuz is resolved as a result.

More

Trump brushes off Iran war’s cost at home: ‘I don’t think about American financial situation’ | The Independent

Technology Update.

With events happening fast in the development of solar power and graphene, among other things, I’ve added this section Updates as they get reported.

Global auto giants plug into China's battery power

By MAY ZHOU in Houston, Texas | chinadaily.com.cn | Updated: 2026-05-12 11:15

Tesla has recently added Sunwoda Electronic Co. as its fifth global power battery supplier, according to a report by 36kr, a Chinese technology and new economy platform.

Sunwoda is manufacturing third-generation lithium iron phosphate (LFP) cells known for fast charging speed, and has begun shipping them to Tesla's Shanghai Gigafactory, according to the report. Those cells are going into Tesla cars built in Shanghai for export.

Tesla has a long-running relationship with China's CATL (Contemporary Amperex Technology Company), a global leader in renewable energy technology and the world's largest manufacturer of LFP and energy storage. It also sources LFP cells from BYD —including roughly 20 percent of the cells for its Shanghai Megafactory.

In September, Tesla signed a deal with China's EVE Energy to supply energy-storage cells for its European subsidiary from 2026 to 2030.

Industrial analyst Fred Lambert from Electrek said that by adding Sunwoda, "Tesla is prioritizing cost leverage over vertical integration" — the opposite of what CEO Elon Musk envisioned in 2020.

But Lambert considered Tesla's move "the right call" because Chinese LFP suppliers have been so efficient that it makes it "unnecessary" for Tesla to engineer its own.

Tesla is widely recognized as the largest single non-Chinese customer of the Chinese battery industry.

From multibillion-dollar joint ventures in Spain, Germany and Hungary to technology-licensing deals reshaping production in Michigan, the world's largest legacy automakers are increasingly dependent on Chinese cell chemistry, manufacturing scale and engineering talent.

They are racing to license, co-develop and source from Chinese battery champions — a realignment of the EV supply chain that puts Chinese chemistry, manufacturing know-how and capital at the center of the global EV transition.

European automakers have enjoyed the densest concentration of Chinese battery partnership outside Asia.

Global automotive group Stellantis formed a 50-50 joint venture with CATL to build a 4.1 billion euro ($4.8 billion) LFP gigafactory in Zaragoza, Spain. It is set to come online in late 2026 with capacity scaling toward 50 gigawatt-hours.

Stellantis makes American brands including Jeep, Ram, Dodge and Chrysler; European brands including Peugeot, Fiat, Citroën, Opel and Vauxhall; and luxury brands such as Maserati, Alfa Romeo, DS Automobiles, Lancia and Abarth.

Volkswagen has gone further by becoming the largest shareholder of Gotion High-Tech, a major Chinese battery manufacturer. It recently expanded its holding to more than 26 percent with a roughly $1 billion investment to fund a 2 GWh solid-state battery line targeted at next-generation VW and Audi vehicles.

In November, Gotion began mass production of the "unified cell" that VW selected as the standard format across most of its EV lineup. It is the cornerstone of Volkswagen's strategy to reduce battery costs by up to 50 percent across its entire vehicle lineup.

More

Global auto giants plug into China's battery power - World - Chinadaily.com.cn

Electric bus bursts into flames in Kirkintilloch

28th April  Scottish Fire and Rescue Service

A bus has burst into flames in Kirkintilloch.

The First Glasgow service caught fire at a bus stop in the town's Merkland Drive on Tuesday morning.

Footage on social media shows the double decker bus engulfed in flames. [video in link.]

The Scottish Fire and Rescue Service (SFRS) said it was called to the scene at 7:55am this morning.

Two fire appliances are currently at the scene tackling the blaze.

There are no reports of casualties.

A spokesperson for First Bus told The Herald: “We are aware of an incident that took place on one of our out-of-service vehicles earlier this morning on Merkland Drive in Kirkintilloch.

"The driver contacted emergency services who are on the scene, and we can confirm there were no passengers on board and no injuries sustained. We will be investigating the root cause of the incident.” 

Electric bus bursts into flames in Kirkintilloch | The Herald

Next, the world global debt clock. Nations debts to GDP compared.

World Debt Clocks (usdebtclock.org) 

By a continuing process of inflation, government can confiscate, secretly and unobserved, an important part of the wealth of their citizens.

John Maynard Keynes