Baltic
Dry Index. 2161 +22 Brent Crude 96.38
Spot Gold 4789 Spot Silver 76.10
US 2 Year Yield 3.78 -0.01
US Federal Debt. 39.098 trillion
US GDP 31.313 trillion.
There is no art which government sooner learns of another than that of draining money from the pockets of the people.
Adam Smith
No need for my input today. A bad global economy just gets worse.
A dubious ceasefire seems likely to collapse at the weekend.
EV troubles just keep getting worse.
Corporate failures are rising globally.
Asia-Pacific markets rise amid worries over Strait
of Hormuz staying largely closed; oil gains
Published Thu, Apr 9 2026 7:50 PM EDT
Asia-Pacific markets were mostly higher
Friday, though a fragile two-week
ceasefire between the U.S. and Iran keeps investors on tenterhooks
with oil prices remaining volatile.
The conflict in the Middle East, now in
its second month, led to the closure of the Strait
of Hormuz, and traffic continues to be largely restricted via the crucial
energy waterway despite the ceasefire.
Tehran had said it would reopen the strait
as long as all attacks on the country were halted, according to a statement from its foreign minister. Media reports
said that Israel had also agreed to the ceasefire. That followed U.S. President
Donald Trump pausing attacks on Iran on Tuesday.
Trump said Thursday that Iran “better
stop now” if it was charging fees to oil tankers
for allowing them passage through the strait, while Iran’s parliamentary
speaker, Mohammad Bagher Ghalibaf, charged the U.S. on Wednesday of violating
the ceasefire agreement.
The West Texas Intermediate reversed
early session gains to fall 0.22% at $97.65 per barrel as of 9:32 p.m.
ET. Brent crude rose
by 0.24% to $96.15 per barrel.
“Iran is doing a very poor job,
dishonorable some would say, of allowing Oil to go through the Strait of
Hormuz,” Trump said in a Truth Social post.
South Korea’s Kospi advanced 1.67%, while
the small-cap Kosdaq was 1.41% higher.
Japan’s Nikkei 225 gained 1.58%,
while the Topix was marginally lower. Japanese Prime Minister Sanae Takaichi
said Friday that the country plans to release of 20 days’ worth of oil reserves
from May onwards, Reuters reported. Japan has enough oil for 230 days in its reserves,
as of April 6.
Australia’s S&P/ASX 200 fell 0.39%.
India’s Nifty 50 gained 0.8%.
China’s CSI 300 extended early gains,
rising 1.18%. China’s factory-gate prices rose for the first time in more than
three years, while the consumer price index climbed 1% in March from a year
earlier. The Hang Seng Index rose 0.61%.
Overnight on Wall Street, oil prices
came off their highs of the day while the S&P 500 traded into the
green.
The S&P 500 ended
the session at 6,824.66, adding 0.62%, while the Nasdaq Composite gained
0.83% to 22,822.42. The Dow
Jones Industrial Average rose 275.88 points, or 0.58%, and settled at
48,185.80. The 30-stock index turned positive for the year, up 0.25%.
Asia-Pacific
markets: Iran, U.S., ceasefire, deal, oil
Saudi Arabia says attacks cut oil output and
East-West pipeline flow
9 April 2026
CAIRO, April 9 (Reuters) - Attacks on
Saudi energy facilities have cut the kingdom's oil production capacity by
around 600,000 barrels per day and throughput on its East-West Pipeline by
about 700,000 bpd, Saudi state news agency SPA reported on Thursday, citing an
official source at the Ministry of Energy.
The ministry source did not specify who
launched the attacks, but Saudi Arabia has intercepted many Iranian missiles
and drones in recent weeks. The latest attacks, including previous strikes on
some facilities, also disrupted operations at key oil, gas, refining,
petrochemical and electricity sites in Riyadh, the Eastern Province and Yanbu
Industrial City, SPA said.
Saudi Arabia had not previously provided
details about the impact to oilfield production, refineries and pipeline flow
from attacks occurring during the U.S.-Israeli war on Iran, which began in late
February.
Benchmark Brent crude futures rose in
post-settlement trade on Thursday after settling up $1.17 or 1.2%, at $95.92 a
barrel.
"The East-West pipe is diverting so
much of the Saudi crude not able to leave via the Strait of Hormuz," said
Kpler analyst Matt Smith. "Any pullback on volume is going to add to the
tight situation. It is not great news for markets."
The two-week ceasefire announced this week
appeared tenuous at best, with Israel continuing its attacks on Lebanon and
Iran showing few signs that it was lifting its near-total blockade of the
Strait of Hormuz, conduit for nearly a fifth of global energy supplies.
With the strait blocked, the East-West
Pipeline has been Saudi Arabia's only crude export route. Reuters reported
on Wednesday that Iran attacked the pipeline just hours after the ceasefire was
agreed upon.
SAUDI NATIONAL KILLED IN ATTACKS
One Saudi national from industrial
security staff of the Saudi energy company was killed and seven other Saudi
employees were wounded in the attacks, SPA said.
More
Saudi
Arabia says attacks cut oil output and East-West pipeline flow
World economy faces growth shock, IMF warns
9 April 2026
The International Monetary Fund is poised
to slash global growth forecasts as the Iran war wreaks long-lasting harm on
the world economy.
Kristalina Georgieva, the fund’s managing
director, said growth had been picking up pace before the war but that the
conflict had utterly derailed any economic optimism.
“Had it not been for this shock, we would
have been upgrading global growth. But now, even our most hopeful scenario
involves a growth downgrade. Why? Because of infrastructure damage, supply
disruptions, losses of confidence and other scarring effects,” she said.
“Even in a best case, there will be no
neat and clean return to the status quo ante.”
It could take five years to restore
Qatar’s Ras Laffan gas complex to full capacity after an Iranian missile
strike, she noted, while vessels may avoid the Strait of Hormuz for years to
come.
Ms Georgieva cited the fact that ship
crossings through the Red Sea’s Bab-el-Mandeb strait remain at around half
their level before Houthi attacks on vessels in 2023, adding: “We don’t truly
know what the future holds for transits through the Strait of Hormuz or, for
that matter, for the recovery of regional air traffic.”
Iran’s closure of the strait, which the
world relies on for a fifth of its oil and gas supplies, has unleashed a global
energy crisis. Oil prices are rising again as a ceasefire appears to be
fracturing just a day after being announced.
Ms Georgieva said that “countries directly
disrupted by the war – including oil and gas exporters who suffered the
blockade – and countries relying on imported oil and gas still bear the brunt
of the impact”.
Britain is a net importer of oil and gas,
which suggests it will be among those suffering painful downgrades to already
underwhelming growth forecasts when the IMF releases its latest forecasts next
week.
World economy faces growth shock, IMF warns
Tesla Built 50,000 Cars Nobody Bought Last
Quarter, and the EV Market Is Running Out of Excuses
Olivia Richman Wed, April 8, 2026 at 1:00 PM GMT+1
Tesla has always had a flair for the
dramatic, but its latest plot twist is one even the most devoted fan forum
couldn't have scripted. In the first quarter of 2026, the company produced
408,386 vehicles and
delivered just 358,023 of them, leaving more than 50,000 cars sitting in lots,
staging areas, and probably a few confused dealership-adjacent fields. That
gap, the largest between production and deliveries in Tesla's history, is the
kind of statistic that tends to make investors reach for antacids.
To be fair, Tesla technically grew. Sales
were up 6 percent compared to the same quarter last year, which sounds like
good news until you realize that analysts were expecting more and that the U.S.
EV market as a whole is pumping the brakes hard in early 2026. Growth that
misses expectations while simultaneously producing a massive vehicle surplus is
a little like running a personal best marathon time but still missing the
podium. Technically impressive, practically awkward.
For a company that spent years with demand
so hot that customers were putting down deposits and waiting months for
delivery, this reversal is striking. Tesla's lean inventory model was once held
up as a masterclass in modern automotive logistics. Right now, that inventory
is not lean. It is very, very full.
What Killed the Momentum? The $7,500
Question
One of the biggest storylines in the EV
market right now is the removal of the federal $7,500 EV tax credit, and its
impact cannot be understated. That incentive was doing a lot of heavy lifting
for EV affordability, quietly bridging the gap between what EVs cost and what a
large portion of buyers were genuinely willing to pay without government
encouragement.
With that subsidy gone, consumers are now
staring at sticker prices with fresh, unsubsidized eyes. And the results,
according to sales figures across the industry, are mixed at best. Surveys show
that only a small slice of American car buyers are actively considering an EV
as their next vehicle. That is a demand ceiling, plain and simple. Tesla can
build cars faster than ever, but it cannot manufacture consumer interest to
match.
California, historically one of Tesla's
strongest markets, has also seen declining momentum in early 2026. When your
home turf starts to wobble, that is worth paying attention to.
Is This an EV Winter or a Tesla Problem
Specifically?
Here is where things get interesting:
Tesla is not suffering alone. Automakers across the board are scaling back EV
ambitions, delaying launches, and quietly shelving models that were announced
with great fanfare just a few years ago. The industry is entering what analysts
are cheerfully calling an "EV winter," a period where the initial
surge of early adopters has been satisfied, government incentives are
shrinking, and the mass market is proving far more hesitant than the optimistic
projections of 2021 suggested.
In that context, Tesla's 50,000-car
surplus looks less like an embarrassing operational fumble and more like a
symptom of an industry-wide recalibration. The EV hype cycle ran hot, and now
reality is doing what reality does.
More
Tesla Built 50,000
Cars Nobody Bought Last Quarter, and the EV Market Is Running Out of Excuses
In other news.
Global air chief warns it could take months to
replenish jet fuel supply
Wed, April 8, 2026 at 3:28 PM GMT+1
Worldwide aviation executives said that it
could still take months to recover the jet fuel supply even if Iran reopened
the Strait of Hormuz.
International Air Transport Association
(IATA) Director General Willie Walsh warned that the disruptions to the Middle
East refining capacity led to the worst crisis in years for the aviation
industry.
What we know
News of a ceasefire has sent airline
stocks soaring, according to a report from Reuters. Hours after the ceasefire
was announced, which would effectively open the strait, oil fell below $100 per
barrel. Despite this, there will not be much relief for jet fuel.
Even though global airline stocks have
grown since the announcement, executives and experts say airlines still face a
doubling of jet fuel prices. Carriers have already been raising fares, cutting
flights and carrying extra fuel from home airports.
What they're saying
Walsh said he expected jet fuel costs to
remain slightly higher than crude oil prices.
"If it were to reopen and remain
open, I think it will still take a period of months to get back to where
supply needs to be given the disruption to the refining capacity in the Middle
East," Walsh said.
Dig deeper
Delta said it expects to pay $4.30 a
gallon for jet fuel starting in June. They're likely going to cut capacity
across the board to make up for the extra fuel costs they expect to have.
Analysts at Panmure Liberum said the
ceasefire helps with a "buying opportunity" for quality airlines.
Jet fuel prices have more than doubled
since the war with Iran started. Accounting for 27%, fuel is the second-largest
expense for airlines, right behind labor.
Global air chief
warns it could take months to replenish jet fuel supply
Major airline cancels flights and hikes prices -
urgent message sent to customers
8 April 2026
Two airlines have said they will cut the
number of their flights and raise jet fuel prices as the war in the Middle East
continues. Air India and Air New Zealand made the announcement as they try to
fight the rising cost of fuel affected by the war and the Strait of Hormuz
blockade.
With a message on its website, Air India
said: "Following the Ministry of Petroleum & Natural Gas' and Ministry
of Civil Aviation's decision to cap domestic Aviation Turbine Fuel (ATF) price
hike at 25%, Air India group is reflecting this calibrated approach,
transitioning from a flat domestic surcharge to a distancebased grid as
follows, effective from April 8.
"At the same time, in the absence of
any such mitigations on international ATF prices, the Air India group will be
implementing more significant changes to fuel surcharges," the company
added, saying "the global average jet fuel price rose to USD 195.19 per
barrel for the week ending 27 March 2026, up from USD 99.40 at the end of
February, recording a surge of close to 100%"
Air India also said its fuel surcharge on
its domestic flights will change from a flat fee to one based on the distance
of the flight, as they experience "one of the most challenging fuel cost
environments that airlines globally have faced in recent years".
As the BBC reported,
Air New Zealand's cancellations are expected to hit routes in and out of
Auckland, Wellington, and Christchurch, with flights to smaller airports
unchanged.
The airline already cut some flights last
month. On Tuesday the "vast majority" of customers affected by the
cancellations were being offered alternative flights on the same day.
"Like airlines globally, we're experiencing jet fuel prices that are more
than double what they would usually be" a spokesperson quoted by the BBC
said.
The BBC also reported British Airways
owner IAG and EasyJet have been able to hold off on either measure so far as
they are buying their fuel at a price fixed before the war began. However,
Ryanair Michael O'Leary told Sky News last week that jet fuel supplies could
start to be disrupted if the war goes on.
Average petrol prices have climbed to
nearly 155p a litre as
costs continue
to rise amid the Iran conflict - but experts suggest "we're likely close
to the peak if the ceasefire holds". Though one cautioned "it's still
not impossible for fuel to reach £2 per litre, even with the prospect of peace".
Petrol prices have reached 154.65p a litre
on average across
the UK -
almost 20p a litre higher than at the outbreak of the war. This represents the
highest level since October 2023 and marks a rise of more
than 17
percent since the conflict began six weeks ago.
Major airline
cancels flights and hikes prices - urgent message sent to customers
Global Inflation/Stagflation/Recession
Watch.
Given
our Magic Money Tree central banksters and our spendthrift politicians.
The
US government is spending $88 billion a month in interest on national
debt—equal to spending on defense and education combined
April
9, 2026
The
problem with an increasing debt burden is that it costs more to maintain it:
This is precisely the issue with which the U.S. Treasury is wrangling at
present. As total U.S. national debt ticks over $39 trillion, the interest
payments on that value are eye-watering: $529 billion for the first six months
of the current fiscal year.
A
new budget update from the Congressional Budget Office (CBO) released yesterday
highlights that the government—according to preliminary estimates—paid out the
near $530 billion between October 2025, when the fiscal year starts, and March
2026. This equates to more than $88 billion in interest payments a month, or
more than $22 billion a week.
That
means the service payments on public debt are roughly equal to spending for the
same period on both the Department of Defense’s military budget and the
Department of Education. These two outlays contribute costs of $461 billion and
$70 billion respectively.
The
net interest payments on public debt are also increasing at a pace. For the
same period last year, the Treasury paid $497 billion to service its debt. The
difference from last year to this is a $33 billion leap—or 7% more than before.
The
CBO report notes service payments increased “because the debt was larger
than it was in the first half of fiscal year 2025 and because of higher
long-term interest rates. Declines in short-term interest rates partially
mitigated the overall rise in interest payments.”
More
Core
inflation was 3% in February, as expected, key Fed gauge shows
Published
Thu, Apr 9 2026 8:35 AM EDT
Core
inflation eased slightly in February before the recent surge in energy prices,
according to a key gauge released Thursday that offers the Federal Reserve a
snapshot of conditions leading into the Iran war.
The
core personal consumption expenditures price index, which excludes food and
energy, rose a seasonally adjusted 3% in February, the Commerce Department
reported. The all-items headline inflation measure increased 2.8%.
Both
readings were in line with the Dow Jones consensus. The core annual inflation
rate was 0.1 percentage point lower than in January while headline was
unchanged.
On
a monthly basis, both core and headline prices rose 0.4%, also meeting
forecasts.
The
Fed uses the PCE price index as its primary yardstick and forecasting tool for
inflation. The Fed, which targets 2% inflation, sees core as a better indicator
of longer-term trends.
Core inflation was
3% in February, as expected, key Fed gauge shows
Up
next, the start of a global trend?
Disney to cut up to
1,000 jobs: WSJ report
Source:
Xinhua| 2026-04-09 13:02:00
LOS ANGELES, April 8
(Xinhua) -- U.S. entertainment and media giant Disney is planning to eliminate
as many as 1,000 positions in the coming weeks, The Wall Street Journal
reported Wednesday, citing relevant sources.
The company is preparing
to make the sizable layoffs in one of the first significant moves under its new
CEO Josh D'Amaro, said the report, adding that many of the cuts will be in the
company's recently consolidated marketing department.
Like many Hollywood
studios, Disney has been trying to adjust to the smaller profits it earns from
streaming compared with what it used to make in linear television, as well as
to diminished box office returns and intense competition from tech companies,
according to the report.
Disney is also trying to
free up money to invest in digital businesses where it sees growth potential,
the report said.
The company has laid off
more than 8,000 people since D'Amaro's predecessor, Bob Iger, returned as CEO
in 2022 and began a major restructuring. Plans for the coming layoffs began
before D'Amaro took over, people with knowledge of the cuts were quoted as saying
by the report.
More
Disney to cut up to 1,000 jobs: WSJ report-Xinhua
High street giant plunges into administration - full list of 40 stores
at risk of closure this month
8 April 2026
The future of all 40 Quiz
fashion outlets throughout Britain hangs in the balance, with administrator
Interpath scheduled to conduct a crucial assessment at the conclusion of April.
Should negotiations fail
to secure a buyer by month's end, the entire operation could face complete
shutdown, placing approximately 565 employees in jeopardy.
The womenswear chain
entered administration during February following disappointing festive season
performance and challenging market conditions.
Interpath has urged any
prospective purchasers interested in acquiring Quiz's stock, retail operations
and infrastructure to make contact immediately.
Seven concession
locations in Ireland also remain uncertain as the deadline approaches.
This marks the second
occasion Quiz has tumbled into administration, having previously collapsed in
February 2025 before being swiftly acquired by Orion, a subsidiary connected to
the founding Ramzan family.
That earlier rescue
package preserved the brand and 42 shops, though 23 stores were shuttered with
200 positions lost.
The latest failure has
already resulted in 109 redundancies across the company's Glasgow headquarters
and its Bellshill warehouse and distribution facility in Lanarkshire.
Interpath attributed the
retailer's difficulties to weaker than anticipated Christmas trading combined
with significant economic pressures, including shifting consumer behaviour,
elevated business rates and recent rises in employment costs.
Alistair McAlinden, head
of Interpath in Scotland and joint administrator, said: "With Quiz the
latest retailer to fall into administration, there's no doubt it's been a tough
start to 2026 for the UK high street.
More
High street giant plunges into administration - full list of 40 stores at
risk of closure this month
Major Australian construction company collapses with hundreds of jobs at
risk
·
Companies tied to Kwikform entered administration
·
More than 650 workers are affected
Published: 13:46, 8 April 2026 | Updated: 14:24, 8 April
2026
Several companies
connected to one of Australia's largest construction groups have entered
administration.
A total of ten companies
tied to Kwikform, the Australian arm of South African company Waco
International, went into voluntary administration on Monday and Tuesday.
The Sydney-based group
traded as Waco Kwikform, Star Scaffolds and United Scaffolding Group.
Its main business
was hiring, selling and manufacturing formwork, scaffolding and shoring in
23 locations across Australia and New
Zealand, the Daily Telegraph reported.
It's understood more than
650 staff were affected by the decision this week.
Waco Kwikform has been a
long-term partner of F1 in Melbourne and provided scaffolding for the John
Hunter Hospital in Newcastle.
It is unclear how much
the companies owe.
More
Major Australian construction company collapses with hundreds of jobs at
risk | Daily Mail Online
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.
Canada’s
smallest province, Prince Edward Island, issues REOI for up to 50MW of BESS
By April Bonner April
8, 2026
The Canadian Province of Prince Edward
Island’s PEI Energy Corporation (PEIEC) has issued a request for expressions of
interest (REOI) for a 10-50MW battery energy storage system (BESS).
PEIEC aims to install and operate a BESS
capable of integrating into the PEI electric grid. The goal is to deliver
capacity and additional services at the lowest possible net cost. Through this
REOI, PEIEC seeks to identify a solution for deploying 10 to 50MW, 4-hour
duration BESS, potentially across multiple locations, with an option to extend
the duration to 8-hour.
After this REOI process, PEIEC says it
plans to collaborate with the federal government to obtain funding for the
project’s procurement and implementation. The success of PEIEC in securing an
effective solution will then depend on the amount of federal funding received.
The REOI was issued on 23 March, the
deadline for questions is 14 April, the deadline for addenda is 17 April, and
the submission deadline is 23 April at 14:00 Atlantic Time.
According to the REOI, submissions must
include a detailed outline of project steps and timelines required to achieve
full operational status, providing a clear roadmap from initiation through
commissioning.
Second, respondents must clearly
demonstrate their capability to develop, design, and build the project as
submitted, showcasing relevant experience, technical expertise, and
organisational capacity. Third, proposals must clearly demonstrate a social and
economic benefit plan that includes an equity, diversity, and inclusion plan
or, alternatively, evidence of signing on to a public commitment for equity,
diversity, and inclusion.
Fourth, respondents must clearly
demonstrate all financial aspects of the project by providing detailed costing
of the activities included in the execution and implementation phases, to help
ensure transparency and feasibility of the proposed budget.
Fifth, submissions should indicate the
expected life of the equipment included in the project, along with related
warranty information, to establish long-term value and reliability.
Sixth, respondents must submit the
requested BESS information to PEIEC and attach any other relevant supporting
documentation that strengthens the proposal. Finally, all submissions must be
submitted via the designated platform to be considered for evaluation.
Prince Edward Island and Canada
Even a 10MW project would almost double
Prince Edward Island’s current installed BESS capacity. According to the Canada
Energy Regulator, PEI has around 11.8MW of BESS in service.
The maritime province, off New Brunswick
and Nova Scotia, in the Gulf of St Lawrence on the north-eastern seaboard, is
Canada’s smallest province, with a population of around 182,000 as of the
beginning of 2026, according to official statistics.
In 2023, the island’s distributed solar
PV generation capacity was 39.7MW. PEI ranks second in Canada for per-capita
biomass use for space heating, with a total biomass boiler capacity of 23MW
across community, light industrial, institutional, commercial, and agricultural
sectors.
The city of Summerside does have a
planned solar-plus-storage project under development. It pairs 21.6MW of solar
with a 10MW/20MWh BESS.
Ontario and Alberta, the main wholesale electricity market regions in
Canada, top the country in installed energy storage capacity. Ontario accounts for over two-thirds of the
grid-connected storage, while Alberta holds more than a quarter.
In March, Quebec-based IPP Boralex and Six Nations of the Grand River
Development Corporation (SNGRDC) have commissioned the 300MW/1,200MWh
Hagersville Battery Energy Storage Park in
Haldimand County, Ontario. Boralex claimed it as the largest operating BESS in
the country.
Next, the
world global debt clock. Nations debts to GDP compared.
World Debt Clocks
(usdebtclock.org)
Another weekend and hopefully, not another
unnecessary Gulf war weekend. In tomorrow’s weekend update a musical blast from
my wonderful time in Manhattan. You’ll be pleasantly surprised. Have a great
weekend everyone.
No complaint... is more common than that of a scarcity of money.
Adam Smith
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