Louth Online http://louthonline.com/ Tue, 03 Aug 2021 09:30:27 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 http://louthonline.com/wp-content/uploads/2021/03/louthonline-icon-70x70.png Louth Online http://louthonline.com/ 32 32 What Every Forex Trader Should Know – The Madison Leader Gazette http://louthonline.com/what-every-forex-trader-should-know-the-madison-leader-gazette/ http://louthonline.com/what-every-forex-trader-should-know-the-madison-leader-gazette/#respond Mon, 02 Aug 2021 23:57:59 +0000 http://louthonline.com/what-every-forex-trader-should-know-the-madison-leader-gazette/

Currency trading, or forex, is an increasingly popular option for speculators. The ads boast of “commission-free” trading, 24-hour market access and huge potential payouts, and it’s easy to set up simulated trading accounts to practice the trading techniques.

With such easy access comes risk. Forex trading is a huge market, but every trader competes with thousands of professional analysts and other savvy professionals, many of whom work for the big banks and funds. The forex market is a 24 hour open market and there is no trading – transactions take place between individual banks, brokers, fund managers and other market participants. Artificial intelligence has also changed the forex market in recent years with the introduction of predictive analytics models and machine learning capabilities, which help all forex traders gain a huge advantage.

Forex is not a market for the unprepared, and investors should do their homework before entering the market. In particular, future traders should understand the economics of the major currencies in the market and the special or unique drivers that influence their value.

The canadian dollar

Only eight currencies account for over 80% of the volume of the foreign exchange market, and the Canadian dollar (often referred to as the “loonie” due to the appearance of a loonie on the back of the C $ 1 coin) is one. of these main currencies,and is the sixth most widely held currency as a reserve.For more information on currency trading, see Answers to the top 7 questions about currency trading.)

The currency ranking of the Canadian dollar is somewhat of an anomaly, as Canada’s economy (in terms of US dollars of GDP) is actually 10th in the world.Canada is also relatively low on the list of major economies in terms of population, but it is the 12th largest export economy in the world, according to the Observatory of Economic Complexity hosted by MIT.After the establishment of the Bretton Woods system, Canada allowed its currency to float freely from 1950 to 1962 when a large depreciation overthrew a government,and Canada then adopted a fixed rate until 1970, when high inflation prompted the government to revert to a floating system.

All major currencies in the foreign exchange market are backed by central banks. For the Canadian dollar, it is the Bank of Canada. Like all central banks, the Bank of Canada tries to strike a balance between policies that will promote jobs and economic growth while controlling inflation. Despite the importance of foreign trade to the Canadian economy (and the influence that currency can have on trade), the Bank of Canada does not intervene in the currency – the last intervention dates back to 1998, when the government decided that the intervention was ineffective and unnecessary.(For more information, see Get to know the major central banks.)

The economy behind the Canadian dollar

Ranked tenth in terms of GDP (measured in US dollars) in 2017,Canada has experienced relatively strong growth over the past 20 years with two relatively brief periods of recession in the early 1990s and in 2009.Canada has experienced consistently high inflation rates, but better fiscal policy and an improving current account balance have resulted in lower budget deficits, lower inflation and lower inflation rates.

In analyzing the economic situation in Canada, it is also important to consider Canada’s exposure to commodities. Canada is a major producer of petroleum, minerals, wood products and grains,and the trade flows of these exports can influence investor sentiment towards the loonie. As is the case with virtually all developed economies, this data can be easily found on the Internet through sources such as the Agriculture and Agri-Food Canada website. (For related reading, see Economic factors that affect the Forex market.

)

Although the average age of the Canadian population is high by global standards, Canada is younger than most other developed economies.Canada has a liberal immigration policy, however, and its demographics are not particularly worrisome for the long-term economic outlook.

Due to the close trade relationship between Canada and the United States (they are both at or near the top of each other’s import / export markets), Canadian dollar traders monitor events in the United States. .Although Canada has pursued very different economic policies, the reality is that conditions in the United States inevitably affect Canada to some extent. (These conditions also influence other economic phenomena such as inflation. For more information, see How the US government formulates monetary policy.)

What is particularly interesting about the relationship between the United States and Canada is how the conditions can diverge. The structure of the Canadian financial market has helped the country avoid many of the delinquent mortgage problems that have plagued the United States. On the other hand, tech companies are less important to the Canadian economy, which led to a relative weakness in the Canadian dollar during the technology boom in the United States of the 1990s. 2000s (especially in oil) led to an outperforming loonie. (For more information, see 5 stages of a bubble.

)

Canadian dollar drivers

Economic models designed to calculate the “right” exchange rates are notoriously inaccurate with real market rates, in part because economic models are generally based on a small number of economic variables (sometimes a single variable such as exchange rates. ‘interest). Traders, however, incorporate a much wider range of economic data into their trading decisions, and their speculative outlook can move rates just as investor optimism or pessimism can move a stock above or below the market. value suggested by its fundamentals. (For more information, see 4 ways to predict currency changes.)

Key economic data includes the release of GDP, retail sales, industrial production, inflation and trade balances. This information is published on a regular basis, and many brokers as well as many financial information sources such as the Wall Street Journal and Bloomberg make this information available free of charge. Investors are also taking note of employment, interest rates (including scheduled central bank meetings) and daily news flow – natural disasters, elections and new government policies can all have impacts. significant on exchange rates.

As is often the case with countries that depend on commodities for a significant portion of their exports, the performance of the Canadian dollar is often tied to the movement of commodity prices. In the case of Canada, the price of oil is particularly important for currency movements, and investors tend to be long on loonies and short on oil importers (like Japan, for example) when oil prices go up. Likewise, there is some impact on the fiscal and trade policy of the loonie in countries like China – countries that are major importers of Canadian raw materials. (For more information, see Canada’s commodity currency: oil and the loonie.)

Capital inflows can also stimulate action in the loonie. During periods of rising commodity prices, there is often an increased interest in investing in Canadian assets, and this influx of capital can affect exchange rates. That said, the carry trade is not that important to the Canadian dollar.

Unique factors for the Canadian dollar

Considering Canada’s relative economic strength, the country has a fairly high interest rate among developed economies. Canada also enjoys a newly acquired reputation for balanced fiscal management and finding a viable middle ground between a state-dominated economy and a more passive approach. This is relevant during times of global economic uncertainty – although it is not a reserve currency like the US dollar, the Canadian dollar is considered a global safe haven. (For more information, see The unofficial status of the US dollar as a global currency.)

While the Canadian dollar is not a reserve currency at the level of the US dollar, that is changing. Canada is now the sixth most commonly held reserve currency and these holdings are increasing.

The Canadian dollar is also uniquely linked to the strength of the US economy. While it would be a mistake for traders to assume a one-to-one relationship, the United States is a huge trading partner for Canada, and US policies can have a significant influence on the price of Canadian dollar trade.

The bottom line

Exchange rates are notoriously difficult to predict, and most models rarely work for more than brief periods of time. While economic models are seldom useful to short-term traders, economic conditions shape long-term trends.

Although Canada is not a particularly large country and is not among the largest exporters of manufactured goods, the country’s economic vitality is stable and the country has found a balance between taking advantage of its wealth of natural resources and risking the ” Dutch disease ‘due to over-reliance on these goods. As Canada becomes an increasingly viable alternative to the US dollar, traders should not be surprised to see the loonie become more important in the forex market. (For related reading, see 3 factors that drive the US dollar.)

Source link

]]>
http://louthonline.com/what-every-forex-trader-should-know-the-madison-leader-gazette/feed/ 0
Professionalize all trades, remove PMET categories: head of the MAS, Political News & Top Stories http://louthonline.com/professionalize-all-trades-remove-pmet-categories-head-of-the-mas-political-news-top-stories/ http://louthonline.com/professionalize-all-trades-remove-pmet-categories-head-of-the-mas-political-news-top-stories/#respond Fri, 23 Jul 2021 21:00:00 +0000 http://louthonline.com/professionalize-all-trades-remove-pmet-categories-head-of-the-mas-political-news-top-stories/

To professionalize all jobs, start by removing professional, managerial, executive and technical (PMET) categories, the Singapore central bank chief urged on Thursday.

“If we can’t abolish it, at least remove the ‘P’ from the category: it suggests other jobs are unprofessional. We should question the principle that all Singaporeans should aim for jobs. PMET jobs, ”Monetary Authority Singapore Managing Director (MAS) Ravi Menon said.

He was speaking on the theme of an inclusive society at the Institute of Policy Studies (IPS) at the Lee Kuan Yew School of Public Policy. This was the third of four lectures he is giving as the ninth IPS SR Nathan Fellow. The scholarship advances research on public policy and governance.

Addressing the lingering stigma and low wages faced by traditional blue-collar workers such as plumbers and cleaners, he said any population needs a variety of pathways that can lead to different types of excellence.

“To be an inclusive society, we need to value social and professional skills as much as academic intelligence,” he said, citing how skilled trades in European countries provide a middle class way of life for many. workers.

He estimated that one in three low-paying service jobs here are held by cheap foreign labor, a situation that “cannot be good” for local wages. One way to solve this problem, he said, is to gradually reduce the inflow of low-skilled foreign labor.

“The demand for many domestic services like cleaning, maintenance and cooking is inelastic, and wages will have to rise if the number of foreign workers is reduced.

“Rising wages, coupled with improved working conditions and rewarding career prospects, should gradually attract Singaporeans to these domestic services.

Acknowledging that the transition from a low-wage economy to a high-wage economy will be difficult, he said companies that are excessively dependent on low-cost labor will have to pull out and there may be local job losses in the initial phase.

Mr Menon had previously suggested increasing the minimum allowable wage for S Pass holders and Employment Pass holders over time, with the minimum allowable wage for S Pass holders approaching the median monthly income, around $ 4,500.

He said Thursday he was not suggesting that S Pass workers be drastically reduced.

On the contrary, when S Pass holders are available in large numbers and paid about 30 percent less than locals, there are two possible effects: First, local wages are likely to be depressed; and second, some graduates of the Technical Education Institute and Polytechnics may be eliminated from these jobs.

“Why not pay S Pass workers closer to the local median and let the market adjust the job profile? In some occupations we might see an increase in local employment at better wages; in other professions, which Singaporeans cannot or do not want to enter, we will continue to employ S Pass holders, ”he said.

Education and healthcare in particular, he added, have the potential to grab local jobs at good wages.

According to MAS estimates, the two sectors have an elasticity of substitution of 1.5, the highest among service industries. This means that if the wages of foreign workers in health care or education increase by 10 percent, the demand for local workers as substitutes will increase by 15 percent.

The key question for Singapore, he said, is whether it wants a dual economy with high inequalities, or a more inclusive society with higher wages but also higher costs.

During the question-and-answer session moderated by Chua Mui Hoong, deputy editor of the Straits Times, Mr. Menon debunked the misconception that salary increases will always drive up cost structures: “If we look at experience of advanced economies elsewhere, they pay their workers well and sell their products at higher prices, but are able to sell them because the quality is high. “

He warned, however, that the minimum wage should not be set too high as it could put some Singaporeans out of work.

“I’ll start with something lower. Look at how things go, see if we can handle the dislocations.

Advertise this well in advance so companies can adapt – tell them, ‘Look, we don’t want you to lay off your employees, but improve your processes. Consolidate your operations, so that you can pay this minimum wage in a few years’. “

Unemployment assistance is especially important for mature workers, he said, because they have fixed cash expenses that limit their professional mobility and flexibility.

The paradox, he added, is that government has to help people become self-reliant, and that is why the old left-right ideological divide in policymaking does not make sense.

“The right says people have to be self-reliant – if you take care of them they will become dependent. The left says” no, they can’t take care of themselves, you have to take care of them. ” an endless, simplistic debate … you can’t leave these things entirely to the market. “

The ideal, he said, is an inclusive, work-centered model in which people have to help themselves, but which also provides safety nets in the form of support from the workplace. State, community and employers.

“This is the kind of synthesis of the values ​​of trust and support (that we need). We cannot ignore the inequalities in our society. We cannot look the other way.”

Source link

]]>
http://louthonline.com/professionalize-all-trades-remove-pmet-categories-head-of-the-mas-political-news-top-stories/feed/ 0
Why Wix Stock has climbed more than 10% this week http://louthonline.com/why-wix-stock-has-climbed-more-than-10-this-week/ http://louthonline.com/why-wix-stock-has-climbed-more-than-10-this-week/#respond Fri, 23 Jul 2021 19:02:16 +0000 http://louthonline.com/why-wix-stock-has-climbed-more-than-10-this-week/

What happened

Actions of Wix.com (NASDAQ: WIX) rose more than 10% this week after a large rise in tech stocks and bullish sentiment from a Wall Street analyst. At 2:32 p.m. EDT, the stock was up 10.3% for the week on Friday.

So what

This week, Morgan Stanley analysts launched an overweight (which means buy) on Wix.com stock, with a price target of $ 339 per share. Wix is ​​currently trading at around $ 305 per share. With no significant news from the company, this improved price target was likely a major reason for the stock’s movement over the past few days.

Image source: Getty Images.

Another reason investors bought Wix shares was the bullish data that came out on Shopify (NYSE: SHOP), one of Wix’s e-commerce competitors. Third-party data from RBC Capital Markets revealed that Shopify merchants grew 39% year-over-year in the second quarter, an acceleration from growth in the first quarter. Given that Wix offers e-commerce products similar to Shopify, investors can assume that Wix will see strong growth this quarter as well.

Now what

With recent moves, Wix stock is now trading at a sliding price / sell ratio (P / S) ratio of 15.7 and has little history of profitability. Given this high valuation, investors should expect strong growth from Wix over the next several years if the stock is to generate positive returns for shareholders. If that doesn’t happen, the stock is likely to be a big loser for the wider market over the next decade.

10 stocks we like most at Wix.com
When our award-winning team of analysts have stock advice, it can pay off to listen. After all, the newsletter they’ve been running for over a decade, Motley Fool Equity Advisor, has tripled the market. *

They have just revealed what they believe to be the ten best stocks investors to buy now … and Wix.com was not one of them! That’s right – they think these 10 stocks are even better buys.

See the 10 actions

* The portfolio advisor returns on June 7, 2021

Brett schafer owns shares of Wix.com. The Motley Fool owns stock and recommends Shopify and Wix.com. The Motley Fool recommends the following options: $ 1,140 long calls in January 2023 on Shopify and $ 1,160 short calls in January 2023 on Shopify. The Motley Fool has a disclosure policy.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Source link

]]>
http://louthonline.com/why-wix-stock-has-climbed-more-than-10-this-week/feed/ 0
Diageo India signs agreement with NRAI to vaccinate F&B, Retail News, ET Retail business partners http://louthonline.com/diageo-india-signs-agreement-with-nrai-to-vaccinate-fb-retail-news-et-retail-business-partners/ http://louthonline.com/diageo-india-signs-agreement-with-nrai-to-vaccinate-fb-retail-news-et-retail-business-partners/#respond Fri, 23 Jul 2021 02:48:00 +0000 http://louthonline.com/diageo-india-signs-agreement-with-nrai-to-vaccinate-fb-retail-news-et-retail-business-partners/
(Representative image)

Mumbai: Beverage company Diageo India and the National Restaurant Association of India announced on Thursday that they have teamed up to provide COVID-19 vaccines to their food and beverage (F&B) business partners, which are registered under the Raising the Bar program. As part of this program, Diageo India and NRAI will now provide the necessary support to the F&B industry during the pandemic by covering the costs of vaccines for all restaurant workers, according to a joint statement.

Through this initiative, Diageo India aims to support 20,000 industry employees by providing them with the two doses of the vaccine.

The initiative, already underway since June 2021, gives employees of the 1,500 outlets registered in the program the possibility of obtaining their vaccines in certain hospitals, with which NRAI has partnered in Delhi, Haryana, Punjab, Rajasthan, Kolkata, Bangalore, Hyderabad, Bombay, Pune and Goa.

“We have been at the forefront, supporting the bar and hospitality community through programs such as Raising the Bar & World Class during the pandemic. As the F&B industry in India opens its doors, our goal is to provide enhanced security measures to restore the confidence of employees and consumers to return to the places they cherish, ”said Shweta Jain, (Vice President of Luxury Business, Key Accounts India & South Asia) , Diageo India.

Launched in June 2020, Raising the Bar is a Rs 75 crore stimulus program that supports pubs, bars and restaurants, as well as helping businesses welcome customers and recover from the pandemic. SM BAL BAL

Source link

]]>
http://louthonline.com/diageo-india-signs-agreement-with-nrai-to-vaccinate-fb-retail-news-et-retail-business-partners/feed/ 0
Professionalize all trades, remove the PMET classification: head of the MAS, Political News & Top Stories http://louthonline.com/professionalize-all-trades-remove-the-pmet-classification-head-of-the-mas-political-news-top-stories/ http://louthonline.com/professionalize-all-trades-remove-the-pmet-classification-head-of-the-mas-political-news-top-stories/#respond Thu, 22 Jul 2021 16:17:18 +0000 http://louthonline.com/professionalize-all-trades-remove-the-pmet-classification-head-of-the-mas-political-news-top-stories/

SINGAPORE – To professionalize all jobs, start by removing the professional, managerial, executive and technical (PMET) job categories, urged the head of Singapore’s central bank on Thursday (July 22).

“If we can’t abolish it, at least remove the ‘P’ from the category: it suggests other jobs are unprofessional. We should question the principle that all Singaporeans should aim for PMET jobs, ”Monetary Authority Singapore Managing Director Ravi Menon said.

Addressing the lingering stigma and low wages faced by traditional “blue collar workers” such as plumbers and cleaners, he said people should question the principle that all Singaporeans should aim to work in jobs. PMET jobs.

“Any population would house a distribution of skills, requiring a diversity of paths that can lead to different types of excellence. To be an inclusive society, we must value social and professional skills as much as academic intelligence,” he said. said, citing how skilled trades in European countries provide a middle class way of life for many workers.

“These jobs confer dignity and social status. We need to do the same in Singapore.

He estimated that one in three low-paying service jobs are held by cheap foreign labor, a situation that “cannot be good” for local wages.

One way to solve this problem, he said, is to gradually reduce the inflow of low-skilled foreign labor over a few years. This will promote the adoption of technology, increase productivity and help maintain wage gains across a wider range of occupations.

“The demand for many domestic services like cleaning, maintenance and cooking is inelastic, and wages will have to rise if the number of foreign workers is reduced.

“Rising wages, coupled with improved working conditions and rewarding career prospects, should gradually attract Singaporeans to these domestic services.

Acknowledging that the transition from a low-wage economy to a high-wage economy will be difficult, he said that companies that are excessively dependent on low-cost labor will have to retire, there might be some consolidation in sectors such as retail and food and beverage. , and there could be local job losses in the initial phase.

Mr Menon had previously suggested increasing the minimum allowable wage for S Pass holders and Employment Pass (EP) holders over time, with the minimum allowable wage for S Pass holders being closer to monthly income. median, about $ 4,500.

S Pass holders currently earn at least $ 2,500 per month, with older and more experienced applicants needing higher salaries to qualify.

He said Thursday he was not suggesting that S Pass workers be drastically reduced.

On the contrary, when S Pass holders are available in large numbers and paid about 30 percent less than locals, there are two possible effects: First, local wages are likely to be depressed; and second, some graduates of FIE and polytechnics may be eliminated from these jobs.

“Why not pay S Pass workers closer to the local median and let the market adjust the job profile? In some occupations we might see an increase in local employment at better wages; we will continue to employ S Pass holders, ”he said.

Education and healthcare in particular, he added, have the potential to grab local jobs at good wages.

According to MAS estimates, the two sectors have an elasticity of substitution of 1.5, the highest among service industries. This means that if the wages of foreign workers in health care or education increase by 10 percent, the demand for local workers as substitutes will increase by 15 percent.

“The key question for Singapore is: do we want a dual economy with high inequalities or a more inclusive society with higher wages but also higher costs? The Nordic countries impose strict limits on low-paid foreign workers, which has facilitated a more equitable distribution of income. , low unemployment and a sustained commitment to productivity and innovation.

“If Singapore is to be a little more like the Nordic countries, it is not only government policies that should be adjusted, but also the mindsets of businesses, citizens and workers. Businesses need to reduce their dependence on cheap labor; citizens must be prepared to pay more for better quality services; and workers must be open to a wider variety of jobs. “

During the question-and-answer session moderated by Chua Mui Hoong, deputy editor of the Straits Times, Mr Menon said it was not always true that salary increases would push up cost structures, even if that is conventional wisdom. Singapore, for example, has already seen its costs rise but is still able to compete.

“If we look at the experience of advanced economies elsewhere, they pay their workers well and sell their products at higher prices, but are able to sell them because the quality is high.”

He warned, however, that the minimum wage should not be set too high as it could put some Singaporeans out of work.

“I’ll start with something lower. Look at how things go, see if we can handle the dislocations.

Advertise this well in advance so companies can adapt – tell them, ‘Look, we don’t want you to lay off your employees, but improve your processes. Consolidate your operations, so that you can pay this minimum wage in a few years’. “

To ensure that workers have good jobs instead of entering the odd-job economy as their first choice, unemployment assistance is important, especially for older workers, he said.

“Their financial resources are limited, so they are in a hurry to find another job … they have fixed expenses which limit their mobility and flexibility.”

He cited Denmark as an example where people are not afraid to move from job to job because they have the time and support to learn and prepare for change.

The paradox is that government has to help people become self-reliant, and that’s why the old left-right ideological divide in policymaking doesn’t make sense, he said.

“The right says people should be self-reliant – if you take care of them they will become dependent. The left says” no, they can’t take care of themselves, you have to take care of them. ” endless and simplistic debate. Over the years, I have come to the conclusion that you cannot leave these things entirely to the market. “

The ideal, he said, is an inclusive, work-centered model where people have to help themselves, but which also provides safety nets in the form of state support. , community and employers.

“You need mechanisms to help you bounce back because these things (like job losses) happen.

“This is the kind of synthesis of the values ​​of trust and support (that we need). We cannot ignore the inequalities in our society. We cannot look the other way.”

Source link

]]>
http://louthonline.com/professionalize-all-trades-remove-the-pmet-classification-head-of-the-mas-political-news-top-stories/feed/ 0
MetalMiner Forecasting Workshop to break down the coming year http://louthonline.com/metalminer-forecasting-workshop-to-break-down-the-coming-year/ http://louthonline.com/metalminer-forecasting-workshop-to-break-down-the-coming-year/#respond Thu, 22 Jul 2021 06:07:51 +0000 http://louthonline.com/metalminer-forecasting-workshop-to-break-down-the-coming-year/

The year since the last MetalMiner Forecasting Workshop has been an eventful one for the metals markets.

The onset of the COVID-19 pandemic, falling demand, idling factories, rapid recovery in demand in some sectors, spike effects, material shortages, rising prices, l increase in delivery bonuses – over and over again. For metal buyers, planning for metal spending – let alone obtaining any material – has proven to be a difficult proposition.

But now, well over a year after the start of the pandemic, economic conditions are generally improving in the United States.

It’s time to take a look at the year ahead.

As Lisa Reisman, CEO of MetalMiner and Don Hauser, Vice-President, Business Solutions, noted in a recent ROTH Capital Partners webinar that we remain in a bull market for metals, although some have recently shown signs of consolidation. Copper, for example, fell after hitting an all-time high in May. Steel prices continue to rise, but at a slower pace than before.

So what does all of this mean for metal buyers planning their spending for the year ahead?

MetalMiner 2022 forecasting workshop

Industrial purchasing organizations can get a head start on their budgeting and forecasting for the coming year in the coming year. MetalMiner 2022 forecasting workshop, scheduled for 10 a.m.-1 p.m. CST, August 25, 2021.

MetalMiner experts Reisman, Hauser, Editor-in-Chief Stuart Burns, Senior Forecast Analyst Maria Rosa Gobitz and Senior Data Analyst Marcos Briones Álvarez will lead the three-hour workshop.

Participants will get an overview, among others:

  • What steel procurement mechanisms to use this year (they might not match last year)
  • How to use the “should-cost” models
  • MetalMiner 2022 Metals Forecast, Including Short-Term Forecast Briefing for Base and Ferrous Metals

To reserve your spot for the event, visit the 2022 Forecasting Workshop homepage, where you can find more information about the event and registration details.

Look ahead

MetalMiner CEO Lisa Reisman has weighed in on some of the market dynamics at play.

“I think we have a few dynamics this year that look or seem markedly different,” she said. “First, we still have significant supply chain issues, disruptions, shortages and delays. These impact the purchasing and planning of materials as well as where businesses should look for materials.

“Second, the short-term post-pandemic inflation explosion now appears to be settling into a longer-term (at least medium-term) pattern and this factor alone plays a big role in how organizations purchasing should and should think in terms of their annual contracts. Additionally, oil prices and the entire energy equation have a number of conflicting stories. The relationship between petroleum, commodities and industrial metals is close. Where oil goes, so too are the prices of metals. “

Producers did not add capacity, she noted, choosing instead to carefully control supply.

“Product substitution, another strategy to mitigate high prices, does not appear as viable as in previous markets,” she added.

Trends in steel, aluminum

Reisman added that carbon steel buying strategies that might have made sense last year won’t work as well this year.

In terms of price “relief”, a price flattening associated with the availability of materials might be all that buyers can hope for, as opposed to an outright pullback.

“As we approach next year, uptime is going to be more important than cost, which very few people have ever negotiated or even thought about,” Hauser explained.

As for aluminum, buyers need to be creative. This is especially true given Russia’s plans to impose export taxes on a number of metals.

“Aluminum has recently added additional supply pressures, driving up the Midwestern premium,” she added. “This means purchasing organizations need to continue to think much more creatively about the full ‘total cost’ ie bullion + MW premium + conversion premium. Coverage is something businesses need to reconsider if they haven’t done so before.

Burns emphasized the use of technical analysis tools when studying the aluminum market.

“Contrary to expectations at the start of the year, some of the drivers of the long lead times and high prices have not abated as expected,” said Burns. “Global logistics delays and sky-high rates are as bad as in the first quarter after dropping briefly in the spring. Lead times from aluminum factories are in most cases until next year. factories are operating at 100% of their capacity, we find that plant failures add to the disruption.

“The fundamentals look bullish overall but conflict with a number of potential (if unlikely) downside risks, sometimes injecting a bit of pessimism to offset the supercycle stories.”

Workshop preview July 28

Those interested in learning a little more about the workshop can attend the MetalMiner monthly webinar scheduled for 11:30 a.m. CST Wednesday July 28.

Visit the event registration page for more information and free event registration details.

Source link

]]>
http://louthonline.com/metalminer-forecasting-workshop-to-break-down-the-coming-year/feed/ 0
PCI-PAL PLC boosted by announcement of better than expected performance http://louthonline.com/pci-pal-plc-boosted-by-announcement-of-better-than-expected-performance/ http://louthonline.com/pci-pal-plc-boosted-by-announcement-of-better-than-expected-performance/#respond Wed, 21 Jul 2021 10:00:00 +0000 http://louthonline.com/pci-pal-plc-boosted-by-announcement-of-better-than-expected-performance/

(), which specializes in secure payment services, is another company that says it will exceed market expectations.

Its shares are up 8.14% or 7p to 93p after announcing annual earnings would hit around £ 7.3million, up 66% from last year and ahead of the forecast of the £ 7million market.

He said his annual loss would be slightly more than the £ 3.6million forecast.

He has started the new fiscal year strong and has signed contracts worth £ 9.5million, on track for the market to forecast £ 10.4million in revenue for 2022.

Managing Director James Barham said: “We have had an excellent year despite the challenges of the pandemic, making continued positive progress against our stated strategic goals of being the global market leader in cloud technology in our space. ; to achieve large-scale sales through the best first-class reseller partners; and to deliver our services globally in the cloud without the need for on-premise hardware. “

“By pursuing these goals, we are well positioned to meet the growing demand from our customers and partners for cloud solutions, which further justifies the strategy we have chosen and allows us to capitalize on what has been a difficult time for many of our competitors. “

9:42 am: tube maker falls after warning about finances and goes on sale

Group PLC () collapses by a quarter after the sale of the manufacturer of tube and pipe assemblies for the energy and transport markets.

The company saw its six-month revenue drop from £ 8.45million to £ 8.3million, and although it reduced its pre-tax loss from £ 572,000 to £ 335,000, it says the impact of COVID-19, rising material costs and shipping delays will continue to put pressure on costs and margins in the near term.

Importantly, he added: “While the group is currently operating under its borrowing facilities, the short-term reduction in profitability and increased pressure on working capital means that these facilities alone will not provide. to the group the necessary liquidity to make the investment required to implement the recovery strategy and bring the group back to profitable cash generation. “

It has therefore initiated a strategic reflection that could lead to the sale of one or more of its activities or even of the entire company.

Its main shareholder, non-executive director Roger Allsop who owns 34.23%, supports the review.

President Andrew Moss said: “Since February 2020, due to the global pandemic, we have experienced a long period of difficult markets and turbulent transactions. We have made significant changes to our management team, which is focused on improving our operations and control environment and implementing new business strategies. Customer demand is improving steadily, which is a welcome sign that the company is returning to pre-pandemic production activity levels.

“However, the low availability of materials, compared to the increasing demand associated with the inflation of input prices, continued to have a negative impact on the group during the quarter until June 30, 2021. While the management is focused on recovering the impact on costs from customers, the delay in making margins and impact on cash flow in the short term …

“There are a number of financing options available to the group that are currently being reviewed by management and we… announced today the launch of a strategic review, including a formal sales process. “

The company’s shares did not fare well.

They are down 1.5p or 25% to 4.5p.

8:50 am: the future predicts better results than the market

() like the look of the present.

The media group, whose magazines include FourFourTwo and Total Film and which earlier this year paid £ 594million for the owner of price comparison website GoCompare, jumped 7.85% or 252p to 3462p after an optimistic business statement.

He said full year results are expected to be significantly better than market expectations after a strong second half performance so far.

This follows an earlier update in May.

The Media division enjoyed strong digital advertising revenues, the magazine business is performing as expected and the integration of the is on track to produce the promised synergies of £ 15million.

Managing Director Zillah Byng-Thorne said, “We are delighted that the group’s strong performance continued throughout the period, which is a testament to the strength of our diverse revenue streams and global reach. “

William Ryder, equity analyst at Hargreaves Lansdown, said everything seemed to be going according to plan within the group.

He said: “Investors may wonder if a bigger dividend will be in sight after such a strong year. This should not be ruled out, especially with the group talking about cash generation and synergies through the acquisition. of GoCo. However, the acquisition of a Focused Growth Strategy will always require more investment, so any additional returns to shareholders are likely to be modest. ”

().

The heavily bypassed film group collapsed on Monday – despite being famous for Freedom Day – as concerns over the Delta variant took hold.

But after a revival on Tuesday, it’s up again, 7.16% higher to 62.56p in the hopes that people will come back to watch the soundtrack movies of crunchy popcorn and endless chatter.

And to add to the excitement, the long-awaited James Bond film No Time to Die is finally set to be released in September. Hope for cinema people still care after such a long delay.

Source link

]]>
http://louthonline.com/pci-pal-plc-boosted-by-announcement-of-better-than-expected-performance/feed/ 0
Multilateralism’s failure to tackle our biggest challenges makes them worse – European Council on Foreign Relations http://louthonline.com/multilateralisms-failure-to-tackle-our-biggest-challenges-makes-them-worse-european-council-on-foreign-relations/ http://louthonline.com/multilateralisms-failure-to-tackle-our-biggest-challenges-makes-them-worse-european-council-on-foreign-relations/#respond Tue, 20 Jul 2021 00:00:00 +0000 http://louthonline.com/multilateralisms-failure-to-tackle-our-biggest-challenges-makes-them-worse-european-council-on-foreign-relations/

At the World Health Summit in May 2021, G20 leaders said that the pandemic “will not be over until all countries are able to bring the disease under control and hence large-scale vaccination, global, secure, efficient and fair… remains our priority. priority.”

Activists could therefore be forgiven for being optimistic that meaningful action to tackle vaccine inequalities would be taken at the G7 leaders ‘meeting in Cornwall in June or the G20 finance ministers’ meeting. in Venice in July. Alas, they were very disappointed. G7 members have pledged to share just 870 million of their 3 billion excess doses by mid-2022, a paltry sum compared to the 11 billion doses that are urgently needed to achieve collective immunity global. And the G20 has produced only excruciatingly vague “support for collaborative efforts” on global vaccine distribution. Meanwhile, since that grand declaration in May, covid-19 has continued to wreak havoc around the world: 400,000 more people have died as the global death toll has passed four million. Africa is in the throes of a truly devastating third wave of infections, with just 1.4% of the continent’s population fully vaccinated.

There will be a price to pay for this inaction, even beyond the incalculable human cost. Our collective failure to end the pandemic now will create and exacerbate even deeper and more costly problems in the future. The immediate ripple effects, including for the West, will be severe. But this historic failure of multilateralism also undermines the confidence and incentives necessary for effective international cooperation on the other existential challenges of the day, including climate change.

In the short term, as long as the virus rages around the world, variants will continue to emerge that have the potential to send us all back to square one. The World Health Organization warned last week that there is a “high probability” that more dangerous variants will develop which could be even more difficult to control, stressing that “the pandemic is far from over” .

We are already seeing the damage such variants can cause, even in highly immune countries. Cases are increasing in Australia among fully vaccinated people due to the spread of the highly transmissible Delta variant. The UK, which has vaccinated 68% of its population, now faces a labor shortage, with up to 20% of the workforce in some companies isolating themselves. In June, a covid-19 outbreak in the Chinese port of Yantian threatened to block 5% of global cargo capacity. These disturbances in turn contribute to rising inflation due to rising commodity prices.

But the economic impact of the “great divergence” in the global response to the pandemic is only just beginning. Last year, the International Chamber of Commerce estimated that rich countries’ hoarding of vaccines could cost the global economy $ 9 trillion, half of which would be borne by rich countries facing chain disruptions. supply.

In the medium term, the unnecessarily prolonged pandemic is likely to undermine global security and stability. Social unrest caused by a pandemic is on the rise around the world, including in Africa. The International Monetary Fund (IMF) has warned that frustration with governments’ handling of the crisis, along with rising inequality and corruption, could lead to “a new wave of unrest” that could hamper post-recovery recovery. pandemic, especially in developing countries.

Again, we are already seeing this game unfold. Nigeria recently reported that the pandemic has worsened the security situation in the country, with 100 people killed in a nationwide lockdown. Nigerian Interior Minister Rauf Aregbesola attributed the killings to frustration over rising unemployment and restrictions on movement. In South Africa, more than 70 people have been killed and more than 1,300 arrested amid riots sparked by the imprisonment of former President Jacob Zuma. The health ministry has warned that the country’s rollout of immunization and other essential health services have been severely disrupted, and there are also reports of an impending food shortage. The European Asylum Support Office has warned that the risk of conflict-related displacement is likely to increase due to the pandemic – raising the specter of the 2015 refugee crisis, which has pushed multilateral institutions of the EU on the verge of collapse.

Of course, the biggest threat to global stability is climate change. There are depressing parallels between international responses to the covid-19 pandemic and climate change. Like the climate crisis, the pandemic reveals much about our inability to act in our own enlightened interest in the face of an urgent and obvious threat, and provides overwhelming evidence of the humanitarian and economic costs of inaction. As the Financial Times Martin Wolf, “even in the face of such an obvious global threat, where the costs are enormous and immediate, we seem incapable of acting with essential urgency”, and, therefore, with regard to the climate, “it is impossible to ‘imagine that we will do much more than play the violin while the planet is on fire.

Needless to say, real global cooperation is needed to effectively tackle the climate crisis, which is arguably an even more complex and deep problem than covid-19. But the confidence and goodwill required for such cooperation has been decimated by the West’s shortsighted nationalism in the face of the pandemic. It’s hard to overstate the anger that vaccine inequity has created in Africa, where a measly 4.3 vaccines were administered per 100 people (compared to 77 percent in North America and 75 percent in Europe).

We have the resources and the capacity to end the pandemic everywhere; it is simply a matter of political will.

Strive Masiyiwa, sent for vaccines to the African Union, explained last month the steps he had taken to purchase vaccines from pharmaceutical companies only to find that the supply for 2021 had been purchased by the G7 countries. : “The people who bought these vaccines and the people who sold them these vaccines knew that there would be nothing for us,” he told the Milken Institute. “Am I surprised? No, during the AIDS crisis, it took eight years between the treatments available in rich countries and those available in Africa. It’s still the old movie.

The African countries with the highest vaccination rates – Egypt, Morocco and the Seychelles – have relied heavily on Chinese vaccines. China is expected to produce as many doses this year as India, the United States and Europe combined. But, even then, Africa received only 26% of China’s global donations, and China only sold 5.6% of its vaccine supply to Africa. Some prominent African business leaders and philanthropists have already concluded that they can no longer count on others. They are now focusing on manufacturing vaccines on the continent. One of these leaders told me privately, “We never want to depend on the West again.”

One can only wonder, with growing pessimism, about the implications of all this for future international cooperation. What is the likelihood now that significant climate action will be taken at the COP26 summit in November? What chance for progress at the historic EU-African Union summit, which will undoubtedly be marred by vaccine inequity?

Despite the rather bleak outlook for world affairs, covid-19 is a solvable problem. We have the resources and the capacity to end the pandemic everywhere; it is simply a matter of political will. World leaders need to take a number of urgent steps to address the situation.

First, the United States and European countries should share their unused doses – starting today. Analysis of Airfinity data by my organization, the ONE Campaign, shows that as vaccine rollout slows, the United States will produce between 55 and 110 million more vaccines than it can deliver each month. ‘at the end of the year, when the country had stored up to 400 million excess doses. The EU, with a population of 450 million and a vaccination rate of 79 per 100 inhabitants, is expected to produce more than 1.4 billion doses by the end of the year.

Second, the G20 should fully support and fund a plan to achieve global herd immunity through increased vaccine supply and deployment, aiming to reach 40% of the world’s population this year and 60% by mid-year. 2022. The IMF, the World Bank, the World Trade Organization and the World Health Organization have approved a $ 50 billion plan to achieve this. But no country has stepped in to support it. Part of this plan should include more actions to reduce trade barriers to scaling up vaccine production by addressing restrictions on the export of vaccines and raw materials, as well as attacking constraints related to intellectual property.

Third, the deal to create $ 650 billion in special drawing rights currently flowing through the IMF bureaucracy should be accompanied by a plan for advanced economies to shift all their allocations to poor countries. Currently, rich countries will receive $ 400 billion under the deal, which they do not need. There is no credible economic, epidemiological or strategic reason not to take these steps now. The only explanation may be a lack of political forethought and courage.

The European Council on Foreign Relations does not take collective positions. ECFR publications represent the opinions of its individual authors only.

Source link

]]>
http://louthonline.com/multilateralisms-failure-to-tackle-our-biggest-challenges-makes-them-worse-european-council-on-foreign-relations/feed/ 0
Free return of “Alfresco at the Urban Farm”, thanks to Kings support for Grow It Green Morristown http://louthonline.com/free-return-of-alfresco-at-the-urban-farm-thanks-to-kings-support-for-grow-it-green-morristown/ http://louthonline.com/free-return-of-alfresco-at-the-urban-farm-thanks-to-kings-support-for-grow-it-green-morristown/#respond Mon, 19 Jul 2021 12:00:59 +0000 http://louthonline.com/free-return-of-alfresco-at-the-urban-farm-thanks-to-kings-support-for-grow-it-green-morristown/

Kings food markets continues to support the local neighborhoods where it operates by partnering again with non-profit associations Grow it green Morristown to make an impact where buyers and employees live, learn, work and play.

Kings announced the renewal of its commitment to Grow It Green Morristown in 2021 with a generous donation of $ 25,000 to the Morristown location.

In New Jersey, due to the pandemic, the number of people experiencing “food insecurity” has experienced unprecedented growth, defined as the lack of access to healthy and affordable food. Through Kings’ Nourishing Neighbors initiative, Kings are making a big impact in the communities they serve.

“Kings is proud to be the exclusive sponsor of Grow It Green Morristown for its commitments to alleviate hunger, sustainability, social justice and education in our community,” said: Jim perkins, President of Kings Food Markets.

Thanks to their generous support, Kings Food Market helped bring back a valuable in-person community event, Alfresco at the urban farm, this autumn!

Kings sponsorship means the event goes free to our local neighbors, including many students in the Morris School District, who enjoy the opportunity to relax in a fun farmhouse setting that transforms them from the urban environment and reconnects them to nature.

“We are incredibly grateful to Kings for making sustainable investments in the local communities they serve, especially when the needs are so great. Kings and Grow It Green are a natural partnership, working together to support people in ways that have long-term impacts beyond donating food for healthy food systems. The impacts of COVID-19 have amplified the appreciation of all that is local, especially when it comes to access to food and education, ”said Lisa Alexandre, executive director of Grow It Green Morristown.


Source link

]]>
http://louthonline.com/free-return-of-alfresco-at-the-urban-farm-thanks-to-kings-support-for-grow-it-green-morristown/feed/ 0
Oil prices and Indian fiscal federalism http://louthonline.com/oil-prices-and-indian-fiscal-federalism/ http://louthonline.com/oil-prices-and-indian-fiscal-federalism/#respond Sun, 18 Jul 2021 15:05:22 +0000 http://louthonline.com/oil-prices-and-indian-fiscal-federalism/

International oil prices stayed well below $ 50 a barrel in the 1980s and 1990s. The figure shows this for Brent. But they have become excessively volatile since the mid-2000s – Brent has ranged from $ 132 in mid-2008 to $ 30 in January 2016, with large swings between the two. A spike below $ 81 in October 2018, as well as an $ 18 crash with Covid-19 did not last long.

This volatility was one of the reasons for the slowdown in global growth in the 2010s. Spillovers from losers to winners reduce net gains.

For example, while commodity-exporting countries were in dire straits after the 2014 oil crash, India’s gains fell short of expectations as slower global export growth moderated gains.

As a commodity produced, the price of oil depends on the supply-demand balance, inventories, oil production capacity and costs. If stocks are low, supply or demand shocks can cause large price fluctuations in the short term. Over time, rising prices reduce demand and increase supply.

As administrative price mechanisms have been abandoned in the physical market, deep and liquid futures markets, which bring together diverse viewpoints, have been developed to facilitate price discovery. These were to make the oil market more prospective. As a financial asset, the price of oil depends on the structure of the markets, expectations of oil fundamentals and the news impacting them. In the 1990s, investors began to take positions in commodity futures as part of a diversified portfolio.

As the figure shows, average price levels, as well as their volatility, increased sharply after 2000, indicating sustained deviations from fundamentals. This follows the US Commodity Futures Modernization Act, passed in 2000, which eased position limits, among other deregulations. Swap dealers, who facilitate over-the-counter investments in exchange-traded funds that track commodity indices, have been granted position limit exemptions. Subsequently, open interest in petroleum derivatives more than tripled and the number of traders doubled during the period 2004-08. Large-scale index investments took place as pension funds diversified their portfolios after the dotcom crash.

Deregulation has compounded the pro-cyclical waves of optimism or pessimism. Even oil producers consider oil futures to be too volatile. They prefer a price range around $ 60, which keeps production stable. The G20 should adopt uniform prudential regulation of the futures markets. Position limits could be reimposed.

The size of cycles decreased after 2015, as the entry of shale oil made supply response easier and faster. As OPEC’s market share declined, its pricing power also declined. But the cycles are still larger than they were before 2000.

The sharp drop due to the unprecedented shock of Covid-19, however, bankrupted many over-indebted shale oil producers. This made it easier for OPEC to regroup and regain market power with an agreement on production cuts.

However, as oil prices rise above $ 70, shale oil is once again very profitable. The restructuring had reduced the costs and lessons learned from a more disciplined expansion. It is dangerous for OPEC to allow oil prices to rise. Countries are tempted to break the cartel. Green substitutes are also getting a boost. Their recent meeting again shows the difficulty of reaching an agreement. Consuming countries, like China, will use up large stocks of oil built up when prices collapsed, reducing demand. If an agreement is reached on sanctions, large stocks of Iranian oil could be released into the market. When prices peaked in October 2018 at $ 81, the following month, they had fallen to $ 64. History could repeat itself this year.

It is unclear whether, in general, the recovery will fuel excessive demand and inflation, or whether supply chains will recover and secular stagnation will reappear. The markets seem to be approaching the idea that inflation will be temporary. US bond yields eased.

The domestic entanglement

Indian fuel taxes were sharply increased when oil prices fell in 2020, to recoup the blow to tax revenues from the foreclosure. But they have not been reversed although tax revenues and international oil prices have recovered.

Unfortunately, the Center and the States are competing for space, each fearing that one setback will allow the other to prevail. State taxes are imposed on value added and automatically increase with prices. The inclusion of energy in the GST offers a solution to this impasse.

Central State shares could be settled according to GST principles, to those set by the 15th Finance Commission (CF) on the basis of relative expenditure responsibilities. Even taxation at a luxury cap of 28 percent of the GST would result in a double-digit reduction in the price of fuel per liter. It would also reduce cascading cost-driven inflation and improve the competitiveness of exports and household consumption demand.

The graph shows that international fuel prices rise and fall. Indian prices continued to rise when administered. Even after being determined by the market, taxes tend to increase more when international prices fall, but less when prices rise. As a result, Indian fuel prices are increasing more than internationally.

The resulting persistence of domestic oil prices undermines flexible inflation targeting. Monetary policy can look through volatile commodity price shocks, as well-anchored inflation expectations limit transmission.

But if the policy makes the price increase permanent, inflation expectations cannot be anchored after a shock. The bullish click is supporting inflation. A second hike in wages and long-term bond rates will follow. If policy rates are forced to rise, so too will borrowing costs for central and state governments.

Back in the days when oil prices were administered, loud political battles made it difficult for domestic prices to rise when international prices rose. Now the oil marketing companies are smoothly changing prices with the international. The political protest, however, has shifted to imposed taxes.

This discretion allows arbitrary distortion of prices and resources to continue and imposes enormous indirect economic costs. Deleting it will allow you to focus on more interesting questions. But will governments be willing? The relentless scramble from the public for more hides the fact that states did not lose with the GST; The 14 percent compensation was generous and was decided on the then prevailing nominal income growth rates, but continued even when growth plunged. Now, in part as the loopholes are closed and the economy recovers, there is an increase in revenue to be shared.

Incentive reforms with the 15th Finance Committee are opening up new sources of revenue for the States. An increase in user fees and property taxes may be linked to better services.

Relations between the Center and the states were strained in part because the Constitution gave the Center more powers to keep the nation together. Co-operative federalism works if functions are distributed according to what is best performed at different levels.

It is clear that there is an advantage in centralizing certain functions – purchasing vaccines, borrowing, certain types of taxation, ensuring the homogeneity of public services, when the services must be provided locally.

States want the GST compensation to continue beyond the agreed date – it could be more modest and tied to the energy input into the GST. Revenue neutrality will come from the increased efficiency and resulting growth, complemented by an additional carbon tax, which would also encourage green alternatives and lower India’s oil bill. Domestic additions would then not worsen international oil shocks.

The author is Professor Emeritus, IGIDR. Views are personal


Source link

]]>
http://louthonline.com/oil-prices-and-indian-fiscal-federalism/feed/ 0