The World Financial Report

World Financial Report – November 29th, 2018

Radio Show Newsletter

WORLD FINANCIAL REPORT ON RADIO November 29th 2018
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CHARTS OF THE WEEK-QUOTES-QUICK HITS

-CHART OF THE WEEK: Venezuela Is Said to Tell IMF That Inflation Hit 860% Last Year. Venezuela’s central bank sent key economic data to the International Monetary Fund last week to avoid penalties in the most significant trove of statistics compiled for the lender in about two years, according to three people with direct knowledge of the matter. The official figures admit that inflation spiraled out of control to 860 percent in 2017 while the economy contracted 15.7 percent, the fourth straight year of recession, according to one of the people who isn’t authorized to speak publicly on the matter. After Venezuela suspended the publication of growth and inflation data in the midst of the unprecedented crisis, the IMF warned of possible sanctions for withholding statistics and the central bank complied by sharing the figures Nov. 20, the people said.

Venezuela has used the fund’s special drawing rights to bolster its international reserves in the past. The IMF’s press office declined to comment. A spokesperson from Venezuela’s central bank didn’t immediately return a request for comment. While Venezuela’s inflation admission trails the IMF’s 2017 forecast of 2,818 percent and Bloomberg’s Cafe con Leche Index estimate of 1,718 percent the data confirms the sizable collapse of the OPEC member’s economy now wracked by shortages, a crumbling oil industry and a breakdown in public services. In the absence of official statistics, investors and economists have relied on figures from multinationals, think tanks and even indicators that track the price of staple goods such as eggs and coffee. Bloomberg

-CHART OF THE WEEK: Canadian Crude Is Starting to Rebound from Historic Lows. The Canadian energy industry may not be popping champagne just yet, but a rebound in local crude prices may offer some reasons for hope. With producers like Cenovus Energy Inc. shipping more oil by rail and U.S. refineries starting back up after a heavy maintenance season, Canadian crude has recovered some of its historic losses. Since hitting a record low on Nov. 15, the spot price of heavy Western Canada Select has risen 35 percent, or $4.65 a barrel. “It’s not that our constraints have gone away, but they are pretty stable,” Joan Pinto, an energy specialist at Canadian Imperial Bank of Commerce, said in an interview. Bloomberg

-Alberta is working to buy rail cars to help ship more crude as pipeline bottlenecks have the oil-rich province grappling with historic low prices. The province has engaged a third party to negotiate the purchases and a deal may be struck “within weeks,” Premier Rachel Notley said Wednesday in a speech in Ottawa. The province’s costs will be fully recouped through royalties and the selling of shipping capacity, she said. “Don’t mistake me this is not the long-term answer,” Notley said. “It absolutely is not. New pipelines are the long-term answer.” Bloomberg

-CHART OF THE WEEK: Canada’s Oil Output Is Growing Despite Its Pipeline Problems. Canada’s lingering crude glut isn’t hindering the country’s growing oil output, according to the National Energy Board’s most recent forecast. The country’s oil production will average 4.59 million barrels a day, 22,000 more than previously forecast, data from the Canadian energy regulator show. The raised production outlook comes even as pipeline bottlenecks have driven Canadian crude prices to record lows and prompted some producers, including Canadian Natural Resources Ltd. and Athabasca Oil Corp., to reduce output by about 160,000 barrels a day, according to estimates by TD Securities Inc. Bloomberg

-CHART OF THE WEEK: Home Prices in 20 U.S. Cities Rise Least in Almost Two Years. Home-price gains in 20 U.S. cities grew in September at the slowest pace in almost two years, adding to signs that buyer interest is waning amid higher mortgage rates and elevated property values. The 20-city index of property values increased 5.1 percent from a year earlier, the least since November 2016, after rising 5.5 percent in the prior month, according to S&P CoreLogic Case-Shiller data released Tuesday. The median estimate in a Bloomberg survey of economists called for a gain of 5.2 percent. Nationally, home prices were up 5.5 percent from September 2017. Bloomberg

-CHART OF THE WEEK: A New U.S. Yield Curve Is Racing Toward Inversion. The prospect of an inverted U.S. Treasury yield curve is back on bond traders’ radars. It’s just not the part they expected. For most of this year, the yield spread between seven- and 10-year Treasuries was the smallest of all benchmark U.S. maturities, never closing above 10 basis points and dipping to as low as 2 basis points in mid-May. Some strategists predicted that the difference would eventually fall below zero and encourage other parts of the curve to invert. That never happened.

Since the U.S. stock market began its decline in early October, though, the shortest-dated Treasury notes are leading the way toward inversion. As of mid-November, the yield curve from two to five years is flatter than the one from seven to 10 years, a phenomenon that hasn’t happened since the 2013 taper tantrum. The yield difference between two- and five-year notes fell this week to 4.6 basis points, the smallest gap since September 2007. That month should ring a bell for any seasoned bond trader: It was when the Federal Reserve cut its benchmark lending rate by 50 basis points, its first of many reductions over the ensuing 15 months. Bloomberg

-CHART OF THE WEEK: Powell Sees Solid Economic Outlook as Rates ‘Just Below’ Neutral. Federal Reserve Chairman Jerome Powell said he and other policy makers continue to see a “solid” outlook for the U.S. economy, while noting that interest rates are “just below” the so-called neutral range. Treasury yields and the dollar fell, while stocks rose. “My FOMC colleagues and I, as well as many private-sector economists, are forecasting continued solid growth, low unemployment, and inflation near 2 percent,” Powell said Wednesday in the text of a speech to the Economic Club of New York, referring to the central bank’s Federal Open Market Committee, which sets interest rates. “We also know that the economic effects of our gradual rate increases are uncertain, and may take a year or more to be fully realized,” he said. “While FOMC participants’ projections are based on our best assessments of the outlook, there is no preset policy path.” Bloomberg

-Cramer: ‘Powell blinked’ on rates ‘very big change in view’ from the Fed chief. Fed Chairman Jerome Powell “sees the global slowdown and knows that it could hurt us,” CNBC’s Jim Cramer says in a tweet storm. Powell made “rookie calls” in October and the “market plunged,” Cramer adds. “Now he’s done the homework and he had to change his mind.” CNBC

-Fed warns that a ‘particularly large’ plunge in market prices is possible if risks materialize. The Federal issues a cautionary note about risks to financial stability. It says trade tensions, geopolitical uncertainty and a buildup in corporate debt among firms with weak balance sheets pose strong threats. CNBC

-After Powell comments, traders see just one rate hike next year. Market pros expected to hear dovish comments from Fed Chairman Jerome Powell so when he said the neutral rate is close, many took it to mean the Fed will stop hiking rates sooner than previously indicated. BMO U.S. rates strategist Jon Hill says that after Powell’s comments, the futures market went from pricing in 1.6 hikes next year to just above one full rate hike and a 25 percent probability of a second one. “The market is taking this as maybe we’ve got two hikes left, and we’re close,” said one strategist. The Fed is expected to raise interest rates by a quarter point in December, so it would have a total of two hikes left if the market view is correct. CNBC

-CHART OF THE WEEK: U.S. Economy Grew at Unrevised 3.5% Pace in Third Quarter. The U.S. economy remained on a solid footing in the third quarter, matching previously reported results, as stronger business investment and a bigger boost from inventories cushioned a trade drag that matched the worst since 1984. Gross domestic product grew at an unrevised 3.5 percent annualized rate, Commerce Department data showed Wednesday, in line with the median forecast in a Bloomberg survey. Household spending, which accounts for about 70 percent of the economy, grew 3.6 percent, revised from 4 percent, on weaker durable goods purchases. Bloomberg

-CHART OF THE WEEK: Microsoft Becomes World’s Most Valuable Company After Apple Rout. Microsoft Corp. surpassed Apple Inc. to become the world’s most valuable publicly traded company. All it took was a $300 billion rout. After briefly claiming the top spot on Monday, Microsoft shares rose 0.6 percent Tuesday, pushing the company’s market value to $828.1 billion at the close. That exceeded by more than $1 billion the value of Apple, which has tumbled this month on concern about iPhone unit sales. The last time Microsoft’s market capitalization was bigger than Apple was in 2010, according to data compiled by Bloomberg. A recent stock market swoon has taken a toll on nearly all technology companies. But investors have punished consumer-focused companies like Apple and Amazon.com Inc. more than firms that mostly cater to businesses, like Microsoft. It’s down 6.3 percent since the start of October, while Apple has lost 23 percent. Bloomberg

-GM to halt production at several plants, cut more than 14,000 jobs. The automaker plans to cut production at several factories and reduce its salaried workforce by 15 percent, more than 14,000 employees. The reductions are part of a massive restructuring that will cost up to $3.8 billion. The UAW responds by vowing to use “every legal, contractual and collective bargaining avenue” to fight the changes. CNBC

-The president of the country’s largest private sector union said he fears General Motors could be headed for a “complete disinvestment” in Canada if it’s allowed to shutter its Oshawa assembly plant. But Jerry Dias, president of Unifor the successor to the now-defunct Canadian Auto Workers union said he is hopeful about the prospects for a solution after an hour-long meeting with Prime Minister Justin Trudeau and his staff this afternoon. “He’s certainly going to roll up his sleeves and speak to General Motors and do every thing he can to get their attention,” Dias said of Trudeau.

“The prime minister doesn’t view it as a fait accompli he’s going to roll up his sleeves and fight with us.” In a statement, a spokesperson for Trudeau said the two men had a “constructive meeting” in which they shared their “disappointment” over GM’s decision to lay off more than 2,500 auto workers. “Our focus is on the families and community impacted by this global announcement, and the PM made it clear that we will fight for our workers and are looking at all options to support them,” said the statement. “They also discussed their respective recent discussions with GM, as well as the PM’s call with President Trump earlier today about the auto industry and how best we can stand up for people affected on both sides of the border.” CBC

-Cyber Monday sales break a record, with $7.9 billion spent online, Adobe Analytics says. Cyber Monday sales surged to new highs, according to Adobe. Though foot traffic at some malls and stores was down over the holiday weekend, more and more shoppers have been turning to the internet to hunt for deals. Overall holiday sales are still expected to be up in 2018. CNBC

-Amazon says it had its biggest shopping day ever on Cyber Monday. Amazon had its biggest shopping day ever on Cyber Monday based on number of items sold. Customers ordered over 180 million items over the five days starting with Thanksgiving through Cyber Monday. The company did not disclose revenue from the shopping holidays. CNBC

-Total holiday shopping this year might be one for the record books, but you wouldn’t know it looking at this past weekend’s numbers. More than 165 million Americans shopped either in stores or online during the five-day period from Thanksgiving Day through Cyber Monday more than expected, but well below the 174 million shoppers during the same period last year, according to the National Retail Federation. The average U.S. shopper spent $313 over the period, down from last year’s $335.

The lower spending for Thanksgiving and the days immediately following isn’t a sign of poor retail demand instead, it highlights how more shoppers are starting their spending early as retailers pull promotions forward. Walmart Inc., Best Buy Co. and Target Corp. are among the big retailers that unveiled holiday deals in early November to grab bargain-seeking early shoppers. “Sales start earlier right after October, Halloween, and they continue right up to Christmas Day,” Bill Thorne, NRF’s senior vice president of communications and public affairs, said on a conference call announcing the weekend’s results. “I think at the end of the day what we’re seeing is that Black Friday remains a traditional, if not emotional, start to the holiday season.” Bloomberg

-Total holiday shopping this year might be one for the record books, but you wouldn’t know it looking at this past weekend’s numbers. More than 165 million Americans shopped either in stores or online during the five-day period from Thanksgiving Day through Cyber Monday more than expected, but well below the 174 million shoppers during the same period last year, according to the National Retail Federation. The average U.S. shopper spent $313 over the period, down from last year’s $335.

The lower spending for Thanksgiving and the days immediately following isn’t a sign of poor retail demand instead, it highlights how more shoppers are starting their spending early as retailers pull promotions forward. Walmart Inc., Best Buy Co. and Target Corp. are among the big retailers that unveiled holiday deals in early November to grab bargain-seeking early shoppers.”Sales start earlier right after October, Halloween, and they continue right up to Christmas Day,” Bill Thorne, NRF’s senior vice president of communications and public affairs, said on a conference call announcing the weekend’s results. “I think at the end of the day what we’re seeing is that Black Friday remains a traditional, if not emotional, start to the holiday season.” Bloomberg

-If you’re still dealing with holiday debt, there’s no need to be Scrooge. Almost 3 in 10 shoppers are going into the holiday season still carrying debt from last year’s festivities. Experts suggest crafting a strategy in two parts: Wrangle your debt and scale back your holiday budget. CNBC

Jack Ma, co-founder of China’s most valuable company, was officially confirmed as a member of the Communist Party in a state-backed newspaper recognizing business leaders for their contributions to the country’s development. Ma, co-founder and chairman of e-commerce giant Alibaba Group Holding Ltd., is one of 100 people the Communist Party of China’s Central Committee will honor as part of a celebration marking 40 years since the country’s economic reform and opening up. The honorees also include Tencent Holdings Ltd. Chief Executive Officer Pony Ma, Baidu Inc. CEO Robin Li, basketball star Yao Ming and volleyball coach Lang Ping. The lines between business and politics have become increasingly hazy in China as President Xi Jinping has led a campaign to ensure the Communist Party plays a leading role across all aspects of society. That has at time created tensions when the interests of private business people and the state have conflicted. Bloomberg

-Canadian Prime Minister Justin Trudeau’s government passed legislation to end more than a month of rotating postal strikes in a bid to protect sales for online retailers through the peak holiday season. The Senate passed government legislation on Monday night in Ottawa after holding extended voting hours on Saturday to debate the bill, and it received a final sign-off from the country’s Governor General. That means the order takes effect at noon Tuesday. Trudeau and Labor Minister Patty Hajdu had earlier encouraged Canada Post and unionized workers to reach a negotiated a settlement as the busy holiday season approached.

The Canadian Federation of Independent Business and online retailers such as EBay Canada had called on the government to force an end to rotating work stoppages that left depots clogged with unsorted packages. “Having exhausted all other options, it is necessary to protect the public interest and avoid further harm to the Canadian economy,” Hajdu said in a statement Monday night. The legislation called for fines of up to C$1,000 ($755) a day for employees who don’t resume regular duties, and would extend a labor contract that expired before the strikes began. Canadian Union of Postal Workers President Mike Palecek said in a statement that members are “dismayed and outraged,” and he would look at all options to fight the order. Canada Post didn’t immediately return a request for comment. Bloomberg

-The head of the Securities and Exchange Commission said Tuesday that concern over a lack of investor protections makes it unlikely that his agency will approve a Bitcoin exchange-traded fund anytime soon. Chairman Jay Clayton said at a conference in New York that he remains worried that cryptocurrency can be too easily stolen or manipulated on exchanges. Those issues need to be addressed before the SEC lets an ETF move forward, he said in some of his most pointed comments about why the agency has rejected recent applications for the products.

“What investors expect is that the trading in that commodity that’s underlying the ETF is trading that makes sense, is free from the risk or significant risk of manipulation,” said Clayton, who was being interviewed by Silver Lake co-founder Glenn Hutchins. “Those kinds of safeguards don’t exist in many of the markets where digital currencies trade.” The SEC has turned down a series of bids to list Bitcoin-based ETFs in recent months, dashing the hopes of the backers who see the issuance as a critical step to more widespread investment. Agency staff members have expressed concern about potential manipulation in the largely unregulated market. Bloomberg

-Bitcoin will fall 30% before bottoming at $3,000, crypto trader predicts. “You really won’t find [the floor] until you kind of hit the 3K-flat level,” Genesis Trading & Genesis Capital Trading chief Michael Moro says. Institutional investors don’t care where the price of bitcoin ends in 2018 because “they’re looking at things three to five years out,” he says. CNBC

-Bitcoin is down more than 80% from last year’s high, nearing its worst-ever bear market. Despite bitcoin’s relatively short 10-year existence, it’s already on its third bear market plunge of 80 percent or more. Bitcoin has seen downturns as deep as 92 percent in 2011, and about 84 percent leading up to 2015. In dollar terms though, 2018 has been by far the worst rout, with $700 billion in market cap knocked off the cryptocurrency market. CNBC

-The bad year for traders at Mike Novogratz’s cryptocurrency merchant bank got even worse in the third quarter and that was before the market fell out of bed this month. Net realized and unrealized losses on digital assets at Galaxy Digital Holdings LP’s trading operation totaled about $41 million in the third quarter, bringing losses for the first nine months of the year to $136 million, according to company filings this week. The latest hit was caused in large part by losing bets on Ether, Bitcoin and XRP, Galaxy Digital said. Novogratz, a former Goldman Sachs Group Inc. partner and hedge fund manager, was among the most high-profile Wall Streeters to jump headfirst into the crypto craze as prices for digital assets soared in recent years. His firm, which is part-owned by Toronto-listed Galaxy Digital Holdings Ltd., has to report detailed financial statements, providing a rare window into how professional traders are coping with this year’s virtual currency crash. Bloomberg

-Bitcoin miners hit hard by the cryptocurrency’s crash may be throwing in the towel. The Bitcoin network’s hash rate, one way of gauging the computing power dedicated to mining the digital currency, dropped about 24 percent from an all-time high at the end of August through Nov. 24, according to Blockchain.com. While the decline may have partially resulted from miners switching to other cryptocurrencies, JPMorgan Chase & Co. says some in the industry are losing money after Bitcoin’s price tumbled. “This suggests that prices have declined to a point where mining is becoming uneconomical for some,” JPMorgan strategists led by Nikolaos Panigirtzoglou wrote in a Nov. 23 report, in reference to the falling hash rate. Bloomberg

-Cryptocurrency players including DRW’s Cumberland trading juggernaut and Mike Novogratz’s Galaxy Digital merchant bank have banded together to draft a set of best practices, the latest attempt to clean up an industry frequently marred by scandal. Through the newly formed Association for Digital Asset Markets, the 10 founding members intend to develop “rules for the efficient trading, custody, clearing and settlement of digital assets,” according to a statement Tuesday. They plan to write a code of conduct to “encourage professionalism and ethical conduct by all market participants, increase transparency by providing information to regulators and the public, and deter market manipulation.”

The group which also includes BTIG, Hudson River Trading and Symbiont is being advised by Duncan Niederauer, the former head of the New York Stock Exchange. Writing a list of ways to behave may appear to be an overly simplistic fix for the cryptocurrency industry’s woes, which include allegations of rampant manipulation and difficulties getting traditional members of the financial industry involved. But this is a response with precedent. After banks got fined billions of dollars for rigging the conventional currency market, the industry released a global code of conduct last year. Crypto exchanges led by Cameron and Tyler Winklevoss’s Gemini this year formed the Virtual Commodity Association, which also aims to raise standards in the business. Bloomberg

-Tariffs could cost American households $2,400 each in 2019, a new study warns. Tariffs stemming from President Trump’s trade conflicts could cost Americans $915 each, or $2,400 per household, in the form of higher prices, lower wages and lower investment returns in 2019, according to a new study. If the tariffs stay in place, the study says, the losses would add up to $17,300 per household by 2030. The study, commissioned by the lobbying shop for Koch Industries and conducted by consulting firm ImpactECON, looked at the potential cumulative impact of tariffs. The conservative Koch political network has argued against the Trump administration’s protectionist trade policies. CNBC

-US President Donald Trump on Wednesday ignored criticism that he gave Saudi Arabia a free pass on the murder of a dissident journalist, instead praising the Islamic kingdom for keeping oil prices low. Trump, on holiday at his Florida Mar-a-Lago Club, doubled down on an unusually worded statement from Tuesday that he was essentially ignoring the killing of Jamal Khashoggi because of what he said were more important US strategic and commercial interests. “Oil prices getting lower. Great! Like a big Tax Cut for America and the World. Enjoy! $54, was just $82,” he tweeted. “Thank you to Saudi Arabia, but let’s go lower!” The fulsome praise for Saudi Arabia’s help in maintaining cheap oil built on comments he made Tuesday at the White House, saying that “if we broke with them, I think your oil prices would go through the roof.” “They’ve helped me keep them down,” he said. AFP

-Goldman Sachs contradicts Trump: $50 oil is bad for the US, commodity chief warns. $50 oil is bad for the U.S. because it hurts American drillers and threatens to create problems in the credit market, Goldman Sachs’ Jeff Currie warns. President Donald Trump has been cheering oil’s plunge into a bear market and urging Saudi Arabia to drive the cost of crude even lower. Currie thinks Saudi Arabia and Russia will prevail in convincing Trump that price-boosting production cuts are necessary at this week’s G-20 meeting. CNBC

-U.S. stocks are in a “bear market” not a correction, CNBC’s Jim Cramer argued on Monday. Cramer said on “Squawk Box” he’s not using the traditional measures of a bear market and a correction to make his case. “Who cares about the S&P? It’s individual stocks that are down 40 or 50 percent.” A bear market is generally defined as an asset or index decline of 20 percent or more from recent highs. The threshold for a correction is measured as a drop of 10 percent or more from recent highs. “I have tremendous contempt for this market, because every time you try to make money with it, it cuts your heart out. That’s a bear market. People don’t want to call it a bear market. But what do they need?” Cramer asked, rhetorically.

“It’s a bear market rally,” he said. “You go down really hard last week. And then you come in on Monday and it’s up a lot. People come in. They buy it and lose money.” After tanking nearly 3.8 percent last week, the S&P 500 recovered nearly a third of that decline shortly after Monday’s open on Wall Street, lifting the index out of correction territory. The Dow Jones Industrial Average bounced more than 300 points, or nearly 1.5 percent, distancing blue-chips further away from a correction. The Nasdaq, despite similar gains, remained in a correction by a few percent. “People come in at 250 [points higher] and get their heads cut off. I just feel ashamed,” said Cramer. “It’s very hard to be very positive about the market unless you’re an idiot. Let it go up for three or four days and then sell some.”

Cramer reiterated that he’s been bearish on stocks since Federal Reserve Chairman Jerome Powell said early last month that interest rates were a long way from neutral. Powell’s remarks touched off a market rout on concerns that central bankers will increase rates aggressively next year. Cramer has been calling on Powell to pause rate hikes, arguing the economy is weakening and inflation is not a problem. In fact, Cramer warned last week that investors should sell their stocks if they think the Fed, as expected, will raise rates in December. The Fed already increased rates three times this year. After its most recent hike, in September, the Fed projected three rate increases in 2019. Read more here-https://cnb.cx/2ShVufT

-Mike Wilson, the biggest equity bear on Wall Street whose prediction has proved prescient this year, has a similar outlook for 2019. The chief U.S. equity strategist at Morgan Stanley forecast that the S&P 500 will end next year at 2,750, the same level he forecast for 2018. That’s about 3 percent above the index’s current level. With five weeks to go for the year, Wilson’s is by far the closest of all estimates to coming true. Wilson has stood out this year in predicting a “rolling bear market,” where financial assets suffer a series of blows amid rising interest rates and a less-synchronized global economic expansion.

That’s just how things have unfolded, with turmoil in emerging markets followed by a tech-led rout in U.S. equities and then a sell-off in the credit market. Prospects for a “material” deceleration in corporate profits underpin Wilson’s persistent caution. As the benefit from tax cuts wears off and global growth weakens, the rate of earnings expansions for S&P 500 companies will slow to 4.3 percent in 2019 from 23 percent this year. And the odds of two consecutive quarters of negative growth is higher than 50 percent, he predicts. Bloomberg

-A Chinese researcher claims that he helped make the world’s first genetically edited babies twin girls born this month whose DNA he said he altered with a powerful new tool capable of rewriting the very blueprint of life. If true, it would be a profound leap of science and ethics. A U.S. scientist said he took part in the work in China, but this kind of gene editing is banned in the United States because the DNA changes can pass to future generations and it risks harming other genes. Many mainstream scientists think it’s too unsafe to try, and some denounced the Chinese report as human experimentation.

The researcher, He Jiankui of Shenzhen, said he altered embryos for seven couples during fertility treatments, with one pregnancy resulting thus far. He said his goal was not to cure or prevent an inherited disease, but to try to bestow a trait that few people naturally have an ability to resist possible future infection with HIV, the AIDS virus. He said the parents involved declined to be identified or interviewed, and he would not say where they live or where the work was done. Bloomberg

-A pay-per-view showdown between Tiger Woods and Phil Mickelson turned into a high-profile stumble for AT&T Inc.’s Turner division after glitches forced the company to offer the event for free. But the matchup was ultimately a breakthrough, Turner President David Levy said in an interview on Monday. That’s because it helped the WarnerMedia division, now part of AT&T’s sprawling media-and-telecom empire, build its brand and show that the concept could work. “This was a huge success,” he said. “This worked extremely well as a pay-per-view event.” Bloomberg

-Golf-Coach Tiger Woods coming to your living room next year. Tiger Woods next year will begin producing weekly golf instructional videos and give fans a glimpse into his life on the PGA Tour as part of a new partnership with Discovery’s GOLFTV, the network said on Tuesday. The live and on-demand video streaming service will collaborate with Woods on a wide range of programming to offer fans an authentic look into the life, mind and performance of one of the game’s all-time greats, the network said. The 42-year-old said sharing his knowledge of the game through training videos was his way of giving back to people who share his love for the game. CNBC

-Apple stock is on pace to have its worst month since 2008, dropping 21% and wiping out over $200 billion in value. In fact, Apple lost its crown as the most valuable US company to Microsoft this week. Here’s why investors have been so negative on Apple lately. Businessinsider

-Even with the Eskimos on the sidelines, one Edmonton fan still won big at the 2018 Grey Cup. An Eskimos season ticket holder is $302,907.50 richer after winning the 50-50 jackpot during the Calgary Stampeders win over the Ottawa Redblacks. The winner of the 50-50 jackpot was a local Edmonton fan, said Lucas Barrett, manager, of communications at the CFL. The prize was claimed during Sunday’s game at Commonwealth Stadium. The name of the lucky fan has not been made public. “It’s good news for someone in Edmonton,” Barrett said in an interview with CBC News on Monday. CBC

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RARECOLOREDDIAMONDS.COM

-Christie’s Magnificent Jewels Sale, Geneva, November 13 2018. Auction Results-http://bit.ly/2BqAePp

-Sotheby’s Magnificent Jewels and Noble Jewels Sale, Geneva November 15 2018. Auction Results-http://bit.ly/2FJP4oa

-Christie’s Hong Kong Magnificent Jewels Sale. Hong Kong China, November 27 2018. Auction Results Here-http://bit.ly/2RjIYw9

-Diamonds are a girl’s best friend: Moon of Baroda jewel worn by Marilyn Monroe while she performed iconic song sells for 1.3 million at auction. The auction estimate was $500,000 to $600,000. It was sold to a jeweller in Detroit Michigan in 1953, and more than 35 years later, in 1990, it was sold by Christie’s in New York for $297,000. The buyer at the auction has not been revealed. Read more here-https://dailym.ai/2FVOi82

-The holy grail of diamonds. Blue diamonds are the most elusive gemstones in the world. As a rare Bulgari Fancy Vivid Blue diamond ring is offered for sale at Christie’s in New York on December 5th 2018. So rare are Blue diamonds that when a blue diamond ring designed by Graff jewellers came up at auction at Christie’s in New York last year it realised $12.5 million. Why they attract such remarkable prices is because they remain one of the Earth’s deepest secrets.

According to geologists, these wonders of the natural world were formed in the hot layer between the earth’s crust and its core, at depths reaching 400 miles, over 500 million years ago. Chances are, if you own a blue diamond, you are in possession of something that is one billion years old. Scientists have discovered that they develop their brilliant blue colour from the mineral boron, which is found in the ocean. On 5 December in New York, an 8.08 carat cushion-cut FancyVivid Blue diamond mounted as a ring by Bulgari will be offered in the Magnificent Jewels sale (estimate: $13,000,000-18,000,000). Described as a ‘miracle of nature’, it is a rare masterpiece by the luxury Italian jewellers, and may be counted among the finest blue diamonds ever to have come to market. Christie’s

A sensational coloured diamond Rrng, Bulgari. GIA, 2018, report no. 2191711258: 8.08 carats, Fancy Vivid Blue, natural colour, VS2 clarity, type IIB. Estimate: $13,000,000-18,000,000. Offered in Magnificent Jewels on 5 December 2018 at Christie’s in New York

The Rubik’s Cube is the most popular puzzle on the World. Learn how to solve the Cube with the easiest method.

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GOLD-SILVER

Gold to silver ratio at 80 to 1 with gold at $2,000 the silver price would be $25.00

Gold to silver ratio at 70 to 1 with gold at $2,000 the silver price would be $28.57

Gold to silver ratio at 60 to 1 with gold at $2,000 the silver price would be $33.33

Gold to silver ratio at 50 to 1 with gold at $2,000 the silver price would be $40.00

Gold to silver ratio at 40 to 1 with gold at $2,000 the silver price would be $50.00

Gold to silver ratio at 30 to 1 with gold at $2,000 the silver price would be $66.67

Gold to silver ratio at 20 to 1 with gold at $2,000 the silver price would be $100.00

Gold to silver ratio at 15 to 1 with gold at $2,000 the silver price would be $133.33

-“It has now been two weeks since the DoJ announced the criminal guilty plea of the ex-trader from JPMorgan for spoofing and manipulating the prices of silver, gold and other precious metals from 2009 to 2015. I continue to think of little else and still feel it is the most significant development in silver in my decades of closely studying the market. Until yesterday, little new has been said about the guilty plea announced on November 6, either in the press or by the commodities regulators, the CFTC or the CME Group, or by JPMorgan. Additionally, relatively little has been written about the guilty plea in Internet circles since the days immediately following the announcement.

Yesterday, however,it was reported by Bloomberg that the Justice Department asked a judge overseeing a civil antitrust case against JPMorgan to postpone the case for six months “to protect the integrity” of its ongoing criminal probe. To someone (me) already consumed with little else but thinking about the original announcement on November 6, the new development put my mind into overdrive. Nothing could indicate more that the Justice Department is deadly serious about pursuing the matter of a silver price manipulation and JPMorgan’s involvement, or so it would seem to me.

Admittedly, these developments have hit home with me to a degree not likely to resonate as strongly with others. After all, I have been alleging an ongoing COMEX silver price manipulation for more than 30 years, zeroing in on JPMorgan over the past 10 years. How would you feel if your main purpose in life (away from family), was always consistently denied or ignored by those directly involved or overseeing the matter, and suddenly showed strong signs of being picked up by the premier adjudicator of the rule of law?”Silver analyst Ted Butler Nov 21 2018 via Ed Steer edsteergoldandsilver.com subscribe here-http://bit.ly/1fdAByN

-Ted Butler: Silver Scandal. A few follow up comments about the still rather remarkable announcement by the Department of Justice concerning the guilty plea by the former JPMorgan trader for spoofing in precious metals. Contained in the announcement was the statement that the guilty plea was accepted and sealed on Oct 9, nearly a month before it was unsealed on Nov 6. With a rather short sentencing date approaching on Dec 19, and the time it took to unseal the plea, it may be assumed that the trader has already fully cooperated in the hopes of reducing his jail time, said to approach 30 years with no cooperation.

The thought of facing serious jail time for someone that never thought such an outcome was possible for everyday practices known to supervisors and other traders at the bank had to come as a shock. For years, the trader was riding high, a master of the trading universe in a highly respected position, now suddenly facing incarceration. Companion reporting suggested that JPMorgan itself was unaware of the guilty plea, according to a person with knowledge of the matter. It was not indicated if the CFTC was closely involved. Since the former trader left JPMorgan last year, it’s not hard to imagine how his cooperation with the DOJ could remain unknown to the bank.

No one in the silver market is as crooked as JPMorgan and the announcement by the Department of Justice of a guilty plea by one of its former traders is the first solid connection between my allegations of the past ten years about JPMorgan and a finding of wrongdoing by a trader for the bank in COMEX silver and gold. This goes a very long way towards vindicating my narrative of the past ten years. It’s been reported by Bloomberg that the Justice Department asked a judge overseeing a civil antitrust case against JPMorgan to postpone the case for six months “to protect the integrity” of its ongoing criminal probe. This indicates that the Justice Department is serious about pursing the matter of a silver price manipulation and JPMorgan’s involvement.

Inside the bank, this must come as a bombshell. Further indictments appear inevitable. If the media gets wind of the full story it could turn into a momentous scandal reaching to the top. A lot of people at JPMorgan must now be sweating bullets. What they have been doing for years is clearly illegal. Nobody can get by using tactics like spoofing to suppress the price of a commodity in the futures market while loading up on the physical asset itself. How could they be so myopic as to pull of this gross manipulation in silver for almost eight years without fear of consequences? They have 150 million ounces of their silver hoard in their COMEX warehouse which is more physical silver than the Hunt Brothers acquired in the 1980 silver scandal. Read more here-http://bit.ly/2zvoKst

-Gold: The market has priced in 10 out of 12 of the Federal Reserve’s hikes that the bank expects, and the strong dollar trend is seen reversing. “If U.S. growth slows down next year, as expected, gold would benefit from higher demand for defensive assets,” Goldman said, adding that there may be additional support from central bank buying. Bloomberg

-Lawrie Williams: Russian CB adds another 28 tonnes of gold in October. Russia is continuing to add strongly to its gold reserves with its central bank announcing it bought another 28 tonnes of gold for its reserves in October. That brings the year to date total to around 227 tonnes already substantially more than it has bought in previous calendar years with a couple of months to go! This gold accumulation has taken place while U.S.-imposed sanctions are in force and as a counter measure Russia has reduced the dollar-related part of its forex holdings to the bare minimum and is, no doubt, following a policy to replace this part of its reserves with other key currency-related holdings and with gold.

As the world’s third largest gold producer and it is vying with Australia for the No. 2 spot it has no problem in buying gold from its domestic gold mining companies. The latest purchases bring its total gold holding to around 2,065 tonnes the world’s fifth largest reported national gold holding after the USA, Germany, Italy and France, and is closing ground on the latter two fast. We say ‘reported’ holding as we have long expressed doubt on the official Chinese figure of 1,842.6 tonnes the figure which it has been reporting to the IMF for two full years now. Followers of the gold market will no doubt remember that China has a track record of reporting zero increases in its gold reserves for several years and then announcing a very big increase, doubtless accumulated over the non-reporting years, and there is even speculation that these then-reported totals substantially understate the nation’s true holdings. Read more here-http://bit.ly/2P4BZ8A

-Where to Invest $1 Million Right Now. Six experts reveal promising investment options for substantial sums. Darrin Woo Director of Woo Hon Fai Group. Because of my family background my grandfather founded Lee Cheong Gold Dealers in Hong Kong in 1950 I believe in the physicality of gold. I would buy a million dollars’ worth of bullion bars and stuff them under my mattress. Gold has underperformed the S&P 500 index for the past five years. SPX has delivered 46 percent in that time, and gold has lost 1 percent. In the next 10 years gold is one of the best contrarian plays. I say buy when no one else does.

I also like the idea of digital tokens backed by physical gold. If you talk to millennials, they aren’t interested in buying stocks and don’t even have brokerage accounts, and they can’t afford real estate. So they are looking for a store of value that’s also convenient. They are interested in new technology and blockchain and using a digital wallet. But unlike Bitcoin and Ether, whose prices trade wildly, gold-backed tokens have an intrinsic value and should be a lot less volatile. I’ve participated in an early round of funding in Santa Clara-based Emergent Technologies Holdings, a company which is creating the world’s first digital token called G-Coin backed by gold produced in accordance with World Gold Council and Responsible Jewellery Council standards. The resulting gold can be tracked from mine to vault using blockchain.

The other way to play: I’m also a classic car collector. For the past several years nearly, everything has appreciated but don’t be fooled by a rising tide lifting all boats. Like stocks, blue chips will fare best in a downturn. That means focusing on investment-grade cars that are rare but not too rare and will hold their value. For $1 million and change you can pick up a Mercedes Benz 300SL Gullwing. Only 1,400 were ever made between 1954 and 1957. But remember, unlike other asset classes, classic cars are expensive to maintain, so aren’t a good hedge against inflation. Neither is gold, but it’s much cheaper to park. Bloomberg

-Greg Hunter: Bill Holter Interview, We’ve Reached the Point of Debt Saturation. Financial writer and precious metals expert Bill Holter has been asking the same question many others have been asking. How long can the heavily indebted and manipulated global economy go before it blows or can it go on indefinitely? Holter says, “It can’t keep going because it’s already stopped. The inflection point has already been hit. If you look at credit growth, it’s not credit growth. It’s either credit stagnation or credit contraction. The global financial system is a Ponzi scheme.

In order to continue to reflate it, you have to have exponentially more debt. That’s where we’ve been, and now we are at the point of debt saturation. There is really no ability to add more debt. Look at the U.S. for example. The U.S. pays $300 billion to $400 billion a year going all the way back to the 1990’s. That number never went higher, even though the amount of debt doubled and then doubled again. The reason it didn’t go higher is they pushed interest rates from 7% down to basically zero percent. So, the debt service amount never grew, and now it’s growing, and it’s growing at a time when the U.S. has basically already crossed the banana republic threshold of 100% debt to GDP. In the past 12 months, we spent $550 billion in interest, and it’s on its way to the moon.” Watch more here-http://bit.ly/2E2ksNe

-Gold Investors Target Executives With Less Skin in the Game. A coalition of gold investors, including firms backed by billionaires John Paulson and Naguib Sawiris, is taking aim at mining executives who don’t have enough skin in the game. Businesses tend to perform better when top managers have a high ownership-to-pay ratio, according to the inaugural report of the newly launched Shareholders’ Gold Council, which tracked 17 gold companies. “You have a much bigger ownership in those stocks that have performed above the median and the gold price in the last five years,” Christian Godin, who heads the Shareholders’ Gold Council, said in a telephone interview. The report compared stock ownership by chairmen and women and chief executive officers with five-year compensation, and then compared that ratio to shareholder returns.

Of the 30 executives listed, Kirkland Lake Gold Ltd.’s Chairman Eric Sprott and Franco-Nevada Corp.’s Pierre Lassonde had by far the highest ownership-to-pay ratio, at 381 times and 160 times compensation, compared with single digits or lower for most of the pack, the report shows. Both companies have performed well in the five years through Nov. 15, with 256 percent and 61 percent total shareholder returns, the gold council’s analysis shows. If those two are stripped out, the top three chairmen in terms of ownership versus their pay are Bill Beament of Northern Star Resources Ltd., Doug Holtby of Wheaton Precious Metals Corp. and Evolution Mining Ltd.’s Jake Klein. The lowest ratios fall to Kinross Gold Corp.’s John Oliver, Yamana Gold Inc.’s Peter Marrone and Alamos Gold Inc.’s Paul Murphy, according to the report. Bloomberg

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Investing In Fancy Colored Diamonds

Investing in rare colored diamonds is a long-term investment. The economic cycles of the past 15 years have seen colored diamonds reach new heights in value as price records were broken.

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1 Carat Radiant Cut Fancy Vivid Pink

  • Year: 1980
  • Total Price: $50,000
  • Price per Carat: $50,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Vivid Pink

  • Year: 1990
  • Total Price: $150,000
  • Price per Carat: $150,000
  • Source: Auction

1 Carat Radiant Cut Fancy Vivid Pink

  • Year: 2000
  • Total Price: $500,000
  • Price per Carat: $500,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Vivid Pink

  • Year: 2008
  • Total Price: $1,000,000
  • Price per Carat: $1,000,000
  • Source: Auction

1 Carat Radiant Cut Fancy Vivid Pink

  • Year: 2009
  • Total Price: $1,090,500
  • Price per Carat: $1,090,500
  • Source: Private Sale

1 Carat Radiant Cut Fancy Vivid Pink

  • Year: 2020
  • Total Price: $2,828,187*
  • Price per Carat: $2,828,187*

*Estimated value based on current market trend

1 Carat Radiant Cut Fancy Vivid Pink

  • Year: 2025
  • Total Price: $4,361,506*
  • Price per Carat: $4,361,506*

*Estimated value based on current market trend

1 Carat Radiant Cut Fancy Intense Yellow

  • Year: 1980
  • Total Price: $1,000
  • Price per Carat: $1,000
  • Source: Auction

1 Carat Radiant Cut Fancy Intense Yellow

  • Year: 1990
  • Total Price: $3,000
  • Price per Carat: $3,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Intense Yellow

  • Year: 2000
  • Total Price: $9,000
  • Price per Carat: $9,000
  • Source: Auction

1 Carat Radiant Cut Fancy Intense Yellow

  • Year: 2008
  • Total Price: $23,500
  • Price per Carat: $23,500
  • Source: Private Sale

1 Carat Radiant Cut Fancy Intense Yellow

  • Year: 2009
  • Total Price: $26,300
  • Price per Carat: $26,300
  • Source: Auction

1 Carat Radiant Cut Fancy Intense Yellow

  • Year: 2012
  • Total Price: $32,000
  • Price per Carat: $32,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Intense Yellow

  • Year: 2020
  • Total Price: $53,993*
  • Price per Carat: $53,993*

*Estimated value based on current market trend

1 Carat Radiant Cut Fancy Intense Yellow

  • Year: 2025
  • Total Price: $74,873*
  • Price per Carat: $74,873*

*Estimated value based on current market trend

1 Carat Radiant Cut Fancy Vivid Blue

  • Year: 1980
  • Total Price: $60,000
  • Price per Carat: $60,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Vivid Blue

  • Year: 1990
  • Total Price: $200,000
  • Price per Carat: $200,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Vivid Blue

  • Year: 2000
  • Total Price: $600,000
  • Price per Carat: $600,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Vivid Blue

  • Year: 2008
  • Total Price: $1,350,000
  • Price per Carat: $1,350,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Vivid Blue

  • Year: 2009
  • Total Price: $1,494,000
  • Price per Carat: $1,494,000
  • Source: Auction

1 Carat Radiant Cut Fancy Vivid Blue

  • Year: 2020
  • Total Price: $4,555,497*
  • Price per Carat: $4,555,497*

*Estimated value based on current market trend

1 Carat Radiant Cut Fancy Vivid Blue

  • Year: 2025
  • Total Price: $7,561,708*
  • Price per Carat: $7,561,708*

*Estimated value based on current market trend

1 Carat Radiant Cut Fancy Red

  • Year: 1950
  • Total Price: $13,800
  • Price per Carat: $13,800
  • Source: Private Sale

1 Carat Radiant Cut Fancy Red

  • Year: 1987
  • Total Price: $927,000
  • Price per Carat: $927,000
  • Source: Auction

1 Carat Radiant Cut Fancy Red

  • Year: 2008
  • Total Price: $2,000,000
  • Price per Carat: $2,000,000
  • Source: Private Sale

1 Carat Radiant Cut Fancy Red

  • Year: 2009
  • Total Price: $2,074,600
  • Price per Carat: $2,074,600
  • Source: Private Sale

1 Carat Radiant Cut Fancy Red

  • Year: 2020
  • Total Price: $3,103,720*
  • Price per Carat: $3,103,720*

*Estimated value based on current market trend