Featured Article

Change One Thing and Government Performance will Improve Dramatically

Posted by Michael Campbell

on Saturday, 7 November 2020 12:50

Both the pundits and the pollsters got it wrong – and the reason gets to the root of why government implements so many failed policies.

The Fin-Tech IPO Of The Century Just Got Crushed

Posted by Michael Kern

on Thursday, 5 November 2020 9:43

Chinese regulators on Tuesday officially suspended the much-awaited IPO of giant Ant Group in a move that was not at all expected, and ended up shaving billions off the wealth of Chinese billionaire Jack Ma, the group’s head.

There’s a lot at stake here: Ant Group was valued at around $310 billion ahead of its IPO, which intended to raise another $34.4 billion in capital. That’s bigger even than the $29.4 billion Saudi Aramco IPO.

On Monday, Ma was summoned, and with CEO Simon Hu and executive chairman Jack Ying, to a meeting with regulators.

“On November 2, 2020, Ma as controlling shareholder of Ant Group and Ant’s management team met with Chinese financial regulators,” Ant stated at the time. “Views regarding the health and stability of the financial sector were exchanged. Ant Group is committed to implementing the meeting opinions in depth and continuing our course based on the principles of: stable innovation; embrace of regulation; service to the real economy; and win-win cooperation. We will continue to improve our capabilities to provide inclusive services and promote economic development to improve the lives of ordinary citizens.”

That was only three days before Ant was expected to start trading on the Hong Kong and Shanghai stock exchanges.

Now, the multi-billion-dollar question is: Why?

In late October, Ma was bold enough to criticize Chinese regulators for their methods of “outdated supervision”. It was perhaps too bold at a time when it was already becoming clear that Ant was getting too big for the Chinese authorities to control.

How big is it, exactly? Try $17 billion in digital transactions on for size. And that was just in a single 12-month period last year…CLICK for complete article

For Stocks, Any Election Outcome is Now the Best Outcome, Disputed Election, Long Legal Mess, Split Government Without Stimulus, Whatever…

Posted by Wolf Richter

on Wednesday, 4 November 2020 10:33

At first, long ago, the narrative was that a Trump victory would boost stocks. And then when this became more uncertain, the narrative was that a Biden victory would also boost stocks, and that a “Blue Wave” would boost stocks hugely because it would trigger the mother of all stimulus packages, which would spread trillions of dollars directly and indirectly to these companies, which would be good for stocks.

And so it was that a victory by either presidential candidate would boost stocks, and that only a disputed election outcome with a long drawn-out legal battle or a split government would derail stocks.

And now, that Trump is already disputing the still unknown election outcome and is threatening a long-drawn-out legal battle if he loses – with Biden leading in electoral votes but millions of mail-in ballots left to be counted – even the threat of a disputed election and a long-drawn-out mess is now boosting stocks.

And even funnier: The only remaining outcome that would not boost stocks, and by some measures would be the worst possible outcome during these times – namely a split government, with the Senate remaining under Republican control and Biden in the White House, and therefore no stimulus package – is suddenly a distinct possibility. But it now too is seen as boosting stocks because it would mean, according to the newly fashioned narrative, that the absence of a Blue Wave would be good for Big Tech because it would be less threatened by antitrust pressures…CLICK for complete article

Big Fat Idea – How to Pick the Best Small & Mid-Size Gold Producers

Posted by MoneyTalks Editor

on Monday, 2 November 2020 15:11

Watch the margins! Scott Eldridge, CEO of Canarc Resources (CCM:TSX-V) joins Mike to share how to pick the best gold producing companies – and it has almost nothing to do with the price of gold.

Quote of the Week, Shocking Stat & Goofy Award

Posted by MoneyTalks Editor

on Sunday, 1 November 2020 10:02


Quote of the Week
New York City public defender, Jenin Younes on the troubling reaction to the COVID recommendations by three top epidemiologists.

Shocking Stat
When things go sour the cost has never been bigger for bondholders who underestimated the risk.

Goofy Award
Has the media treated the accusations surrounding Joe Biden differently than the Trump/Russian collusion story?