Wednesday, 6 August 2025

Hiroshima Plus 80. Nagasaki August 9th. Trump’s 2 Trillion Gamble.

Baltic Dry Index. 1921 -49            Brent Crude 68.09

Spot Gold 3374                US 2 Year Yield 3.72  +0.03

US Federal Debt. 37.196 trillion

US GDP 30.182 trillion.

If I had foreseen Hiroshima and Nagasaki, I would have torn up my formula in 1905.

Albert Einstein

August 6th, 1945 might not be “a date that will live in infamy”, but August 9th, 1945 certainly is.

Was it really not a war crime to drop a second atom bomb on Japan’s only “Christian” city just three days after bombing Hiroshima?

Germany had fallen, Russia had entered the war against Japan, and Japan was about to unconditionally surrender as per desperate diplomacy after August 6th.

Almost 50,000 people, mostly non-combatants, instantly wasted for revenge?

How to Understand E=mc2

Last Updated: February 24, 2025 

In one of Albert Einstein’s revolutionary scientific papers published in 1905, E=mc2 was introduced; where E is energy, m is mass, and c is the speed of light in a vacuum.[1] Since then, E=mc2 has become one of the most famous equations in the world. Even people with no background in physics have at least heard of the equation and are aware of its prodigious influence on the world we live in. However, most people do not exactly know what the equation means. In simple terms, the equation represents the correlation of energy to matter: essentially, energy and matter are but two different forms of the same thing.[2] This relatively simple equation has altered the way we think about energy and provided us with numerous technological advances.

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How to Understand E=mc2: 7 Steps (with Pictures) - wikiHow

In the global stock casinos, more fallout from President Trump’s Great Global Tariffs disruption.

With AI coming for American and global jobs, H2 25 and all of 2026, is starting to look dangerously ugly.

But enough of sugar coating the global economy from me.

Asia markets trade mixed as investors digest Trump's fresh tariff threats

Updated Wed, Aug 6 2025 11:54 PM EDT

Asia-Pacific markets traded mixed Wednesday after losses on Wall Street as investors weighed weaker-than-expected economic data as well as fresh tariff comments from U.S. President Donald Trump.

“We’re going to be announcing [tariffs] on semiconductors and chips, which is a separate category, because we want them made in the United States,” Trump said on Tuesday stateside, adding that he’ll announce the new plan “within the next week or so.”

Asia chip stocks fall after Trump says tariffs on semiconductors and chips will be announced soon

Asian chip stocks fell after U.S. President Donald Trump said he will unveil new tariffs on semiconductors and chips as soon as next week.

Japan’s Tokyo Electron and Lasertec fell 3.46% and 1.82% respectively. Renesas Electron lost 3.68%.

Shares of South Korean memory chipmakers also fell. SK Hynix lost 2.09%, while Samsung Electronics lost 1.43%. Taiwan’s TSMC stocks fell 2.17%.

“We’re going to be announcing on semiconductors and chips, which is a separate category, because we want them made in the United States,” Trump said during a lengthy interview on CNBC’s “Squawk Box.”

Trump said that the announcement will come “within the next week or so.” He did not provide other details about the plan.

— Lee Ying Shan

Asia markets live: RBI decision, Honda earnings

S&P 500 futures are little changed as investors parse earnings reports: Live updates

Updated Wed, Aug 6 2025 7:38 PM EDT

S&P 500 futures were near flat Tuesday night as investors analyzed the latest batch of corporate earnings.

Futures linked to the broad market index were down less than 0.1%, and Dow Jones Industrial Average futures traded close to the flatline. Nasdaq 100 futures ticked down about 0.2%, weighed down by a decline in Advanced Micro Devices.

In extended trading, Snap shares tumbled 15% after revenue came in slightly below expectations, while AMD fell about 5% after posting adjusted earnings per share that missed estimates. On the other hand, Arista Networks rallied nearly 14% on a stronger-than-expected report.

Those moves follow a losing day on Wall Street, marking the S&P 500′s fifth down day of the last six and the Dow’s sixth negative session of the past seven.

Tech stocks lagged in Tuesday’s session, with the Nasdaq Composite sliding nearly 0.7%. Small caps were able to buck the market downtrend, with the Russell 2000 climbing 0.6%.

“We just need some digestion,” said Keith Lerner, co-chief investment officer at Truist Wealth, on CNBC’s “Closing Bell.” “Markets don’t move in a straight line. … But, overall, I still think the underlying trend is positive.”

Investors on Wednesday will monitor earnings reports slated from DisneyUber and McDonald’s before the bell, followed by AirbnbDoorDash and Lyft after the market closes. While there’s no economic data of note expected Wednesday, traders will follow speeches by Federal Reserve officials including Boston Fed President Susan Collins and San Francisco Fed President Mary Daly during the day.

Stock market today: Live updates

Stocks are sinking, and these 4 charts suggest a deeper drop might be just getting started

Valuations returned to nosebleed territory ahead of the seasonally weakest period for stock-market returns

Published: Aug. 5, 2025 at 4:49 p.m. ET

U.S. stocks have stumbled since the start of August, and a number of Wall Street strategists are warning that this might be just a taste of a deeper selloff ahead.

For example, Julian Emanuel, chief equity and quantitative strategist at Evercore ISI, said in a report shared with MarketWatch that he is expecting a pullback of between 7% to 15% by mid-October. Strategists at Deutsche Bank have also warned that stocks are likely due for some weakness here, although they expected a more modest retreat.

There are some silver linings. Emanuel said the longer-term bull market probably isn’t in jeopardy, and that a deeper pullback would ultimately invite dip buyers to do their thing.

The strategist has advised against dumping stocks. Some investors might want to consider purchasing hedges to guard their portfolios against any near-term weakness, he said.

But as major U.S. equity indexes again finished in the red on Tuesday, here are a few charts investors might want to keep in mind.

Valuations are back to nosebleed levels

The cyclically adjusted price-to-earnings ratio, developed by Yale economist Robert Shiller, topped 38 in late July.

At that level, the gauge — better known as the CAPE ratio — showed the S&P 500 had reached its priciest point since late 2021.

Soon after that previous peak, stocks and bonds alike were pummeled as the Federal Reserve embarked on its most aggressive campaign of interest-rate hikes in decades. The S&P 500 would go on to tally its worst calendar-year showing since 2008, FactSet data showed.

Emanuel isn’t expecting a repeat of 2022. But high valuations leave stocks vulnerable to disappointing news, he said.

Seasonal weakness likely lies ahead

The two-month stretch between early August and early October is typically the weakest of the entire calendar year for stocks, according to BTIG’s Jonathan Krinsky.

September tends to be particularly rough. The S&P 500 has, on average, fallen by 1.1% during the month going back to 1928, according to Dow Jones Market Data.

Recent economic reports, including Friday’s dismal jobs report for July, have underscored signs of weakness in the labor market. A disappointing reading on the ISM services index for July added to investors’ fears of an economic slowdown on Tuesday.

The S&P 500 enters overbought territory

One popular stock-market momentum gauge has come off the boil after catapulting into overbought territory last month.

The 14-day relative-strength index for the S&P 500 topped 76 on July 28, its highest reading since July 2024. Shortly afterward, a selloff began that sent the index skittering to the edge of a correction.

Any reading above 70 is generally considered overbought. A correction is typically defined as a drop of 10% or more.

Although the RSI has retreated from these highs, Mark Hackett, chief market strategist at Nationwide, said in emailed commentary that it remained just shy of overbought territory. That might mean the latest pullback is just getting started.

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Stocks are sinking, and these 4 charts suggest a deeper drop might be just getting started - MarketWatch

Trump Throws $2 Trillion Market Into Doubt With One Firing

August 5, 2025 at 11:09 PM GMT+1

A $2 trillion market for securities linked to US inflation data could be the first area of Treasuries that would crack if the US Bureau of Labor Statistics is politicized, according to bond investors.

Since President Donald Trump fired BLS chief Erika McEntarfer on Friday following a jobs report that showed unemployment rising on his watch, investors have fretted that the unprecedented move could erode trust in government data. Even before Trump’s outburst, questions were being raised about how long America’s “gold standard” system for economic data could withstand his effort to centralize power by collapsing firewalls meant to protect independent agencies.

The result of that happening to the BLS could be catastrophic when it comes to asset prices. Indeed, the very fact of McEntarfer’s dismissal, and the scrutiny that awaits her replacement and the agency’s subsequent actions, may have already done irreparable damage.

That link is perhaps most acute in Treasury inflation-protected securities, where the face value of a bond is adjusted based on the consumer price index, which is calculated by the BLS. Interest payments are based on that floating principal.

And US price growth is very much in the spotlight, with a July CPI report due next week and economists expecting both annual headline and core readings to remain above the Fed’s 2% target. While Trump has persistently called for the Federal Reserve to cut interest rates, there are signs his tariffs are reigniting inflation.

“The integrity of this data is at least as important as the employment data,” said Michael Feroli, chief US economist at JPMorgan. “Here, even seemingly innocuous technical changes can matter.”  Jordan Parker Erb

Trump Throws a $2 Trillion Market Into Doubt With One Firing: Evening Briefing - Bloomberg

In other news.

Top analyst says the next 5 years could see ‘no growth in workers at all’ and sends a warning about the fate of the U.S. economy

Mon, August 4, 2025 at 8:45 PM GMT+1

As the U.S. labor market shows clear signs of stalling, one of Wall Street’s leading strategists is sounding a sharp warning: With America’s workforce in a demographic crunch and historic changes in immigration policy underway, it is “quite possible that the next five years will see no growth in workers at all.”

The implications, according to David Kelly, chief global strategist at JPMorgan Asset Management, are profound for the Federal Reserve and for investors—chief among them, the need for exceptional caution before lowering interest rates.

Kelly used his regular “Notes on the Week Ahead” research note to survey the implications—perhaps assess the damage—of Friday’s shocking jobs report, which revised downward job creation in May and June by 258,000 jobs. Furthermore, employers added just 73,000 jobs in July, well below the 110,000 consensus estimate. This left the average monthly increase for the past quarter at a paltry 35,000 jobs. The unemployment rate ticked up to 4.2% in July, as both employment numbers and labor force participation slipped further.

Kelly also highlighted signs of tightness in the labor market, namely the decline in the labor participation rate from 62.65% in July 2024 to 62.22% in July 2025. That translates to almost 1.2 million fewer people ages 16 and over who are working or actively looking for a job.

Kelly commented on these signs of labor tightness as pivotal context for the wider question of the labor supply in the economy, with long-running trends implying that the Federal Reserve and embattled Chair Jerome Powell will face major challenges fighting inflation going forward—meaning ever-slimmer chances of the all important rate cut the market wants so much.

The worker problem in the economy

The aging population and declining labor participation also speak to a deeper, structural challenge that will persist well into the future.

According to Census projections, he noted the working-age population will actually contract in coming years without immigration returning to previous levels.

Kelly highlights the Census prediction that the population ages 18 to 64 would actually fall by over 300,000 people in the year ending July 2026, and continue to fall at roughly that pace through 2030. He notes that the retirement wave and recent changes to major immigration programs are further sapping labor supply, reducing potential growth.

Fed’s dilemma: inflation, growth, and political pressure

This squeeze comes at a time when the Federal Reserve is under immense political pressure to lower interest rates, with President Trump and his allies calling for easier money to offset the effects of new tariffs and support flagging markets.

Yet Kelly argues the central bank must tread carefully, as cutting rates into a structurally tight labor market risks spurring wage and price inflation rather than accelerating economic growth.

He observed that U.S. economic growth has averaged 2.1% per year since the beginning of the 21st century, largely driven by a 0.8% annual increase in the workforce.

“Starting from a point of roughly full employment, given the continued retirement of the baby boom and considering the possibility that deportations and voluntary departures of immigrants entirely offset new immigration in the next few years, it is quite possible that the next five years will see no growth in workers at all,” he added.

If this happens, the economy will grow more slowly, Kelly predicted, “but will only be capable of growing more slowly without igniting higher inflation.”

For the Fed, the message is clear, he adds: Be extremely cautious about any rate cuts. For investors, it’s a warning to temper expectations for rapid economic gains or a sustained bull market driven by easy money. In other words, American “exceptionalism” isn’t a given, going forward.

Investors, Kelly said, “should no longer bet broadly on a strongly rising U.S. economic tide or lower interest rates.”

Top analyst says the next 5 years could see ‘no growth in workers at all’ and sends a warning about the fate of the U.S. economy

Nagasaki and Hiroshima remind us to put peace first every day; to work on conflict prevention and resolution, reconciliation, and dialogue; and to tackle the roots of conflict and violence.

Antonio Guterres

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.

Global uncertainty gives rise to new strategies in consumer and retail

5 August 2025

Amid escalating geopolitical tensions and fresh tariffs, consumer goods and retail leaders are examining their portfolios, marketing channels and supply chains

For the retail and consumer goods industries, the global market continues to shift by the month – or week, or day. Waves of economic uncertainty and geopolitical tension, as well as the Trump administration’s gamut of proposed, enacted and rolled-back tariffs, threaten to upend supply chains, increase costs and compromise businesses’ ability to deliver quality products in a timely fashion.

In response, retail and consumer goods companies are re-evaluating their strategies with regard to product portfolios, marketing efforts, supply chain and operations. As they consider ways to move forward, retail leaders must balance their actions against ever-present novel risks. “The global markets feel a bit like a snow globe,” says Alexia Williams, Managing Director and Head of Corporate Coverage, UK & Ireland, at Standard Chartered. “One that keeps getting shaken every day.”

A new era in consumer and retail

Retailers realise their operations are always subject to disruption, but lately the industry’s only constant has been change. In the wake of the Covid-19 pandemic, for instance, retailers hurried to reorient their marketing and buying experience towards a surge in consumer luxury spend – as the leading luxury goods companies grew bigger and more profitable than ever. But the post-Covid luxury boom has been subject to a slight contraction over the past two years, balanced with stronger growth in the resale market, offering retailers an opportunity to team up with third parties or build out an in-house pre-owned offering, says Williams.

Inflation has dulled the results of such investments: the US Consumer Price Index saw increases of over 9 per cent in the middle of 2022. Inflation began to stabilise during the second half of 2023 and reached levels of around 3 per cent or lower by mid-2024, but relief was short-lived. President Trump’s return to office in 2025 brought new uncertainties in the form of rapidly changing tariff policies, threatening to send costs soaring. Accordingly, the consumer market turned tepid. “Spending is very much on a short leash,” says Williams.

Three core themes have bubbled to the surface in 2025. A subsection of consumer called the “prosumer” has emerged, more price-sensitive and strategic in their buying behaviour, seeking out affordable options. With the cost of living on the rise, citizens are also cutting back on non-essential purchases, including big-ticket items such as furniture and home appliances, but also smaller items like clothing and accessories. More than half of US adults – 54 per cent – expect to spend less on travel, dining out or entertainment in 2025 than they did in 2024, Bankrate found. “The squeeze is obviously worse on lower incomes,” says Williams. Finally, there has been a continued rise in multifunctional, sustainable products, with Gen Z and millennials showing particular interest.

As these trends take shape, retailers are navigating an erosion of consumer confidence tied to the uncertain nature of tariffs – and the pricing fluctuations they could bring if companies pass on the cost. With news headlines changing by the day, Williams says, customers have at times engaged in short-term panic buying. “Then they sit on their hands, reining in.”

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Global uncertainty gives rise to new strategies in consumer and retail - Financial Times - Partner Content by Standard Chartered

Covid-19 Corner

This section will continue only occasionally when something of interest occurs.

 

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.

Graphene Oxide in Concrete: How the Nano-Scale is Revolutionizing the Macro-scale

August 4, 2025

Researchers have boosted concrete strength by nearly 60 % using a mix of graphene oxide and steel fibers. This could be a non-destructive way to improve durability in modern construction.

A recent study published in Nano Express investigated the effect of combining graphene oxide with micro-steel fibers (SF) on concrete's mechanical performance. The study also examined how non-destructive ultrasonic pulse velocity (UPV) testing could reliably predict the strength and internal quality of the concrete.

The approach treats graphene oxide not just as a passive filler, but as an active additive with the potential to improve concrete's structural health and long-term durability.

Graphene Oxide and Micro-Steel Fibers

Graphene oxide stands out in material development due to its large surface area and strong chemical reactivity. This makes it a useful nucleation site for hydration products during cement setting, and helps to refine the microstructure of concrete, sealing pores and increasing strength.

Graphene oxide has been shown to enhance tensile and compressive strength of concrete even in small amounts, by accelerating hydration and reducing porosity. Steel fibers, meanwhile, are already widely used to improve fracture resistance, toughness, and crack control in concrete.

Related Stories

Graphene oxide improves hydration and matrix density, and SF provides mechanical reinforcement. This study shows how their dual integration dramatically improves concrete strength.

The Experimental Setup

To test their effects, the team prepared multiple concrete and mortar mixes with different proportions of graphene oxide (0.02 % to 0.08 %) and micro-steel fibers (0.3 % to 0.8 %). Graphene oxide was synthesized in-house using the Modified Hummers Method, producing a highly oxidized and water-dispersible form of graphene ideal for cement integration.

Graphene oxide dispersions were mixed with cement and superplasticizers to ensure even distribution. Standardised procedures (IS 10262:2019) guided the mix design and specimen preparation. Concrete samples included 100 mm cubes and 100 × 200 mm cylinders, all cured under controlled conditions.

The resulting mechanical strength was assessed through compressive and split tensile tests. Non-destructive UPV tests were conducted to evaluate internal homogeneity and quality, while microstructural analysis was carried out using Field Emission Scanning Electron Microscopy (FE-SEM) and Micro-Computed Tomography (Micro-CT).

What the Results Showed

The standout formulation, 0.06 % graphene oxide (GO) combined with 0.5 % SF, showed almost a 60 % increase in compressive strength over the control samples. Researchers attribute this improvement to two main effects: GO's ability to densify the cement matrix by promoting hydration and sealing pores, and SF’s capacity to bridge cracks and enhance toughness.

The graphene oxide also seemed to delay crack initiation and growth, enabling a more ductile failure mode with finer, distributed cracking, ideal for structural applications that demand load resilience.

UPV tests backed up the mechanical findings. Pulse velocity strongly correlated with compressive strength (R≈ 0.97), especially in GO-SF hybrid mixes, highlighting UPV’s reliability as a non-invasive quality indicator.

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Graphene Oxide in Concrete: How the Nano-Scale is Revolutionizing the Macro-scale

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

World Debt Clocks (usdebtclock.org)

Of thousands of others, nearer the centre of the explosion, there was no trace. They vanished. The theory in Hiroshima is that the atomic heat was so great that they burned instantly to ashes - except that there were no ashes.

Wilfred Burchett

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