Saturday, 2 September 2023

Special Update 02/09/2023 The Most Valuable Cargo Ever Brought To US Shores.

 Baltic Dry Index. 1065 -21        Brent Crude 88.55

Spot Gold 1940             U S 2 Year Yield 4.87 +0.02   

“Until a Bubble’s death it is all life”

With apologies to Miguel de Cervantes Saavedra, Don Quixote.

For coverage of that valuable cargo, scroll down to today’s last YouTube article.

In the central bankster fuelled stock casinos, another blow out week. What’s not to like?


Dow closes more than 100 points higher to kick off September, notches best week since July: Live updates

UPDATED FRI, SEP 1 20235:41 PM EDT

The Dow Jones Industrial Average rose on Friday as traders weighed the latest U.S. jobs report to conclude a winning week.

The 30-stock Dow ticked up 115.80 points, or 0.33%, to close at 34,837.71 The S&P 500 added roughly 0.18% to finish the session at 4,515.77, and the Nasdaq Composite inched down 0.02% to end the day at 14,031.81.

The major averages were up sharply earlier in the day. The Dow briefly traded more than 250 points higher, while the S&P 500 and Nasdaq climbed about 0.8% each before easing.

The Dow and the Nasdaq added 1.4% and about 3.3% for the week, respectively, notching their best performances since July. The S&P 500 gained 2.5% to register its best week since June.

Unemployment rate jumps

The latest U.S. nonfarm payrolls report showed the unemployment rate ticked higher to 3.8% in August, reaching its highest level in more than a year. Economists had expected it to remain at 3.5%.

In another sign of a slowing economy and easing pricing pressures, average hourly earnings increased 4.3% on a year-over-year basis, less than the 4.4% increase expected by economists polled by Dow Jones.

August payrolls grew at a faster-than-expected pace, with 187,000 being added. However, job numbers first reported for June and July were revised down by a combined 110,000.

“It would be a mistake to look at today’s employment report, along with recent data, and say the Fed is done,” said Steve Wyett, chief investment strategist at BOK Financial. “Even though trends in inflation are moving the right direction and a broader view of the employment market would indicate wage pressures should abate, overall economic growth is above trend and inflation remains well above the Fed’s recently confirmed 2% target.”

Following the release, the CME Group’s FedWatch tool showed traders have priced in a 93% chance of the central bank holding rates at current levels at its policy meeting later this month.

Investors also pored over fresh earnings reports. Database software maker MongoDB and Dell Technologies advanced 3% and 21%, respectively, on the back of stronger-than-expected earnings reports. Shares of athletic apparel retailer Lululemon Athletica added 6% after crushing Wall Street’s estimates.

Stock market today: Live updates (cnbc.com)

But back in the real world economy, far from the central bankster fuelled gambling casinos, a general recession is coming to join the already deepening manufacturing recession.

A commercial real estate collapse/US banking collapse then follows.

Abandon hope all ye who read on from here?


Asia's factory activity weakens, China's rebound offers some hope

By Leika Kihara 

TOKYO, Sept 1 (Reuters) - Asia's factory activity weakened in August as manufacturers felt the pinch from rising input costs and slowing global demand, but an unexpected rebound in China offered some hope for the region's export-reliant economies, private surveys showed.

China's private Caixin/S&P Global manufacturing purchasing managers' index (PMI) rose to 51.0 in August from 49.2 in July, a survey showed on Friday, beating analysts' forecasts and exceeding the 50.0 threshold that separates growth from contraction.

 

The reading came a day after an official survey showed manufacturing activity contracted for a fifth straight month, offering a mixed picture on business conditions in the world's second-largest economy.

While the rebound in China's factory conditions say be a sign official efforts to revive growth is starting to have some effect, manufacturing activity in most of Asia remained stagnant in August.

Japan's factory activity shrank for a third straight month in August, while that for South Korea extended its longest-ever slump on wage pressures and soft exports, the surveys showed.

"Stubborn food inflation is also hurting consumption in some Asian countries. The region's economy could be at a standstill."

Asia has been among the few bright spots in the global economy, though persistent weakness in China cloud the outlook.

In revised forecasts issued in July, the International Monetary Fund projects emerging Asia's economic growth will accelerate to 5.3% this year from 4.5% in 2022. It expects China's economy to expand 5.2% this year after a 3.0% increase in 2022.

Japan's final au Jibun Bank manufacturing PMI came in at 49.6 in August, unchanged from July and staying below the 50.0 threshold for a third straight month, as input costs rose, a private survey showed.

South Korea's PMI fell to 48.9 in August from 49.4 in July, marking the 14th straight month of contraction on weak export orders.

Factory activity also contracted in Taiwan, Malaysia and the Philippines last month. India, by contrast, saw factory growth accelerate at the fastest pace in three months in August, driven by strong growth in new orders and output.

Asia's factory activity weakens, China's rebound offers some hope | Reuters

Manufacturing downturn ‘deepens’ as production drop among fastest on record

FRIDAY 01 SEPTEMBER 2023 10:35 AM

UK manufacturing hit a steep slump this month, figures revealed, as production dropped by a rate “one of the fastest in survey history”.

According to the Chartered Institute of Procurement & Supply (CIPS) the UK manufacturing purchasing managers index (PMI) recorded 43.0 in August, down from 45.3 in July.

This marked its lowest level since May 2020, with experts citing “rising interest rates, the cost-of-living crisis, export losses and concerns about the market outlook” as underlying it.

It comes despite August also reporting purchasing costs fall for the fourth month in a row and drop at the steepest rate since January 2016, including on energy, fuel and metals.

And manufacturers reported an optimistic outlook, with 56 per cent of firms saying they expect to grow in the next year – linked to new products launching and plans for acquisitions.

Rob Dobson, from S&P Global Market Intelligence, said: “August saw a further deepening of the UK manufacturing downturn. 

“The PMI sank to a 39-month low as output and new orders contracted at rates rarely seen outside of major periods of economic stress such as the global financial crisis and the pandemic lockdowns.”

A weakening economic backdrop is emerging, as demand continues to suffer. While firms cited slower market conditions, declining new orders and efforts to reduce inventory as being behind the latest contraction, amid “deteriorating market conditions” at home and overseas.

Dr. John Glen, CIPS chief economist, said: “Another substantial fall in manufacturing activity, contracting for the sixth month in a row and the fastest rate since May 2020, showed that these are tough times for manufacturers.”

He added: “The constant pressures on business costs from inflation and the systemic weaknesses in the UK and global economies were also driving the fastest fall in new orders since the financial crisis, outside the pandemic years. 

More

Manufacturing downturn ‘deepens’ as production drop among fastest on record (cityam.com)

In other economic reality news, nothing good.


Hollywood sheds 17,000 jobs in August amid ongoing strikes

Hollywood’s labor pool is taking a hit as the dual strikes by actors and writers drag on.

The film, TV and music sectors shed a combined 17,000 jobs in August, “reflecting strike activity,” the U.S. Bureau of Labor Statistics said Friday morning.

In contrast, the U.S. economy added 187,000 jobs during the month, spurred by growth in the health care, leisure and construction industries. It topped the 170,000 jobs forecast, according to Dow Jones.

The job losses for the motion picture and sound recording industries underscore one effect of the Writers Guild of America and SAG-AFTRA strikes, which began in May and mid-July, respectively. In the months since, several notable films and shows halted or wrapped production early.

Hollywood’s massive work stoppage has also had a widespread effect on other sectors such as hospitality and real estate, costing California’s overall economy an estimated $3 billion so far. Hollywood’s striking writers and actors are negotiating with legacy studios for better pay as streaming and the threat of artificial intelligence affect their compensation.

Last month, writers’ union WGA said it received a new proposal from the Alliance of Motion Picture and Television Producers, the body representing major studios such as Netflix, Disney and Amazon, to resume talks.

It came after weeks of stalemate and slow progress.

Jobs report: Hollywood sheds 17,000 jobs in August amid strikes (cnbc.com)

US auto workers could strike after contract expires September 14

August 31, 2023

DETROIT, Michigan: The United Auto Workers (UAW) union said this week that its members voted to authorize a strike at the Detroit Three automakers if agreement is not reached before the current four-year contract expires on 14th September.

UAW President Shawn Fain, who leads the union that represents about 150,000 workers, said the authorization was approved by 97 percent of voting members at General Motors (GM), Ford and Stellantis.

The union did not plan to extend the deadline to negotiate a new labor contract, he added, stating, "The deadline is 14th September. We have a lot of options that we are looking at but extension on the contract is not one of them," as quoted by Reuters.

President Joe Biden, who met with Fain last month, told reporters in Nevada he is concerned about a potential UAW strike.

"I think that there should be a circumstance where jobs that are being displaced are replaced with new jobs for UAW members and the salaries should be commensurate," he said.

National UAW agreements should also cover jobs at battery joint ventures that currently pay less, some US Senators have said.

Union officials said that workers made numerous concessions over the last two decades, including giving up wage hikes, defined benefit pensions and post-retirement health care benefits.

"We are fed up. We have sat back for decades while these companies continue to just take and take and take from us," Fain said.

Fain's demands include wage hikes of 46 percent and an end to the tiered wage system that pays new hires less than veterans.

More

US auto workers could strike after contract expires September 14 (msn.com)

From war bunker to penthouse to market flop: how Germany's property boom ended

MUNICH, Sept 1 (Reuters) - It has been a tumultuous year for one prominent German property developer: his efforts to sell his penthouse atop a Nazi-era air raid shelter have stalled, and just weeks ago his firm filed for insolvency.

The one-two punch for the developer, Stefan Hoeglmaier, and his company, Euroboden, mirror the travails of the broader property sector across Europe's largest economy as it suffers its worst slump in decades.

For years, low interest rates fuelled a global boom, igniting interest in German property, seen as safe and stable as the country.

A sharp rise in rates, and soaring energy and building costs, put an end to the run. That has tipped a string of developers into insolvency, frozen deals and pushed prices down, prompting the industry to appeal to Chancellor Olaf Scholz for help.

 

"We're heading for the wall at breakneck speed. The first developers have fallen and more will follow," said Tillmann Peeters, an insolvency lawyer with FalkenSteg.

Developers' fortunes, including Euroboden, changed in 2022 when the European Central Bank began to increase rates, making it harder for to borrow and to find buyers for projects.

A statement from Euroboden management said the market environment for the company had "deteriorated quite considerably".

The health of Germany's property sector - Europe's biggest property investment market outside of Britain - is critical, making up roughly a fifth of output and providing one in 10 jobs. New building during the first half of the year nearly halved from the past two years.

More

From war bunker to penthouse to market flop: how Germany's property boom ended | Reuters

UK house prices drop by 0.8 per cent as ‘softening’ of growth at weakest since 2009

FRIDAY 01 SEPTEMBER 2023 7:24 AM

The average UK house price fell by 0.8 per cent month-on-month in August, according to Nationwide Building Society.

It said house prices are now 5.3 per cent below their August 2022 peak, while the average property value is now £259,153.

Robert Gardner, Nationwide’s chief economist, said: “August saw a further softening in the annual rate of house price growth to minus 5.3 per cent, from minus 3.8 per cent in July, the weakest rate since July 2009.”

Gardner also warned that “in the first half of 2023, the number of completed housing transactions was nearly 20 per cent below pre-pandemic (2019) levels and c.40per cent lower than in the first half of 2021 – though the latter reflects the boost to activity from pandemic-related shifts in housing preferences, the stamp duty holiday and ultra-low borrowing costs.

“An examination of the composition of transactions reveals that cash purchases, though down from the 2021 highs, have been remarkably resilient, while purchases involving a mortgage have slowed much more sharply, as shown in the chart below.

More

UK house prices drop by 0.8 per cent as 'softening' of growth at weakest since 2009 (cityam.com)

“Thou hast seen nothing yet.”

Miguel de Cervantes Saavedra, Don Quixote.

Global Inflation/Stagflation/Recession Watch.   

Given our Magic Money Tree central banksters and our spendthrift politicians,  inflation now needs an entire section of its own.

This weekend, more on the growing crash of the Chinese economy. How long before China is exporting deflation out to the global economy? Approx. 19 minutes.

Zhongrong International Trust crash! The economic bombs set a chain reaction and No one escape

Zhongrong International Trust crash! The economic bombs set a chain reaction and No one escape - YouTube

Why is China's economy slowing down and could it get worse?

HONG KONG, Sept 1 (Reuters) - China's economic growth is slowing down as policymakers try to fix a property market downturn, with troubles at major developer Country Garden in focus. Concerns are mounting over whether the world's second-largest economy is coming closer to a crunch point:

WHAT IS CAUSING CHINA’S ECONOMIC SLOWDOWN?

Unlike consumers in the West, Chinese people were left largely to fend for themselves during the COVID-19 pandemic and the revenge spending spree that some economists expected after China re-opened never took place.

Moreover, demand for Chinese exports has been softening as key trading partners have been grappling with rising living costs.

And with 70% of Chinese household wealth tied up in real estate, a big slowdown in the sector is trickling through to other parts of the economy.

THERE HAVE BEEN MAJOR CONCERNS OVER CHINA'S ECONOMY BEFORE. IS THIS TIME DIFFERENT?

Alarm bells over the economy rang during the global financial crisis in 2008-09 and during a capital outflow scare in 2015. China revived confidence then with a shock boost to infrastructure investment and by encouraging property market speculation, among other measures.

But the infrastructure upgrades have created too much debt, and the property bubble has burst, posing risks to financial stability today.

Given China's debt-fuelled investment in infrastructure and property has peaked and exports are slowing in line with the global economy, China only has one other source of demand to tinker with: household consumption.

In that sense, this slowdown is different.

More

Why is China's economy slowing down and could it get worse? | Reuters

Chinese E-Bikes are Exploding like Crazy - Self Destructing Spectacularly

Chinese E-Bikes are Exploding like Crazy - Self Destructing Spectacularly - YouTube

Covid-19 Corner

This section will continue until it becomes unneeded.

Approx. 16 minutes.

Natural immunity wins

Natural immunity wins - YouTube

 

Technology Update.

With events happening fast in the development of solar power and graphene, I’ve added this section.

'Countercation engineering' for thermoresponsive graphene-oxide nanosheets

AUGUST 31, 2023

 

Graphene-based two-dimensional materials have recently emerged as a focus of scientific exploration due to their exceptional structural, mechanical, electrical, optical, and thermal properties. Among them, nanosheets based on graphene-oxide (GO), an oxidized derivative of graphene, with ultrathin and extra wide dimensions and oxygen-rich surfaces are quite promising.

 

Functional groups containing oxygen, such as carboxy and acidic hydroxy groups, generate dense negative charges, making GO nanosheets colloidally stable in water. As a result, they are valuable building blocks for next-generation functional soft materials.

In particular, thermoresponsive GO nanosheets have garnered much attention for their wide-ranging applications, from smart membranes and surfaces and recyclable systems to hydrogel actuators and biomedical platforms. However, the prevailing synthetic strategies for generating thermoresponsive behaviors entail modifying GO nanosheet surfaces with thermoresponsive polymers such as poly (N-isopropylacrylamide). This process is complex and has potential limitations in subsequent functionalization efforts.

To address this challenge, researchers led by Assistant Professor Koki Sano and Mr. Shoma Kondo from the Department of Chemistry and Materials at Shinshu University in Japan has recently presented an innovative approach called "countercation engineering" to impart the desired thermoresponsive ability to GO nanosheets themselves. Their work was published in ACS Applied Materials & Interfaces.

More

'Countercation engineering' for thermoresponsive graphene-oxide nanosheets (phys.org)

This weekend’s music diversion.  Four Grand Pianos play Bach’s violin concerto as skilfully adapted.  Great fun. Approx. 11 minutes.

Bach Concerto for 4 Pianos. Multipiano/Tel-Aviv Soloists/Barak Tal

Bach Concerto for 4 Pianos. Multipiano/Tel-Aviv Soloists/Barak Tal - YouTube

This weekend’s chess update. Approx. 12 minutes.

You Shall Not Pass! || Svidler vs Dubov || World Rapid Team Championship (2023)

You Shall Not Pass! || Svidler vs Dubov || World Rapid Team Championship (2023) - YouTube

This weekend the maths update. Approx. 15  minutes.

Finger multiplication on steroids

Finger multiplication on steroids - YouTube

Finally, as a bonus for the USA holiday weekend, the most valuable cargo ever brought to US shores.  Approx. 18 minutes.

The Device that Won WW2 - The Cavity Magnetron

The Device that Won WW2 - The Cavity Magnetron - YouTube

“When life itself seems lunatic, who knows where madness lies? Perhaps to be too practical is madness. To surrender dreams — this may be madness. Too much sanity may be madness — and maddest of all: to see life as it is, and not as it should be!”

Miguel de Cervantes Saavedra, Don Quixote.

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