What I Am Reading

Wednesday, April 19, 2023

Latest Morning Briefing

Construction, MegaCap-8 & Financials

Even as the rolling recession rolls through segments of the real estate market, areas of the construction industry have never been stronger. Residential construction isn’t one of them, but nonresidential and public construction each hit new record highs in February. Construction industry employment did the same in March. … Also: If industry analysts’ forecasts are on the mark, the eight MegaCap-8 companies that exert outsized influence over the S&P 500’s performance can look forward to a rebound of their collective y/y earnings comparisons starting in Q2-2023. … And: The S&P 500 Financials sector’s growth prospects improved overnight when the Transaction & Payment Processors industry was added. Joe takes a look. YRI Daily Markets Overview

Markets

Column: As funds bake in recession, junk bonds surf the stressReuters
Fidelity and State Street Push to Make 401(k)s More Like PensionsWall Street Journal

Global

Has Globalization Failed? Much of the World Economy Is Going in ReverseBloomberg

Commodities

US

Inflation, High Car Prices Hurt US Consumers and Boost Repo DemandBloomberg
Mortgage demand from homebuyers drops 10% as interest rates jumpCNBC
Despite stable jobs and decent wages, essential workers still can’t afford the rentThe Boston Globe
History of destructive capital gains taxes and inflationWashington Times

Europe

Industries & companies

Autos:Biden's push for electric vehicles hits deep in the heart of TexasReuters
Autos:Tesla Earnings Expected to Show Impact of Elon Musk’s Price CutsWall Street Journal
Banks:The $1.2 Trillion Question Hanging Over Banks in EuropeWall Street Journal
Banks:Banks Leaned on a Little-Known Lender in March as Customers FledWall Street Journal
Health Care:Nurse Shortage Pushes Hospitals Into the Gig EconomyWall Street Journal
Media:Fox resolves Dominion case, but $2.7 billion Smartmatic lawsuit loomsReuters
Tech:Meta layoffs: Latest cuts start, focused on technical employeesCNBC

CHIPS

Corporate finance

Kidney-Care Specialist Diaverum to Be Sold in $2 Billion DealWall Street Journal

Beyond markets

Single Dose of Omicron-Targeting Vaccines to Become Main Covid-19 Shot in U.S.Wall Street Journal