What we’re reading (7/26)
“SEC Tests Its Reach With Coinbase Insider Trading Case” (Law360). “The SEC lodged claims Thursday that the former manager, Ishan Wahi, tipped off his brother and a close friend when Coinbase was about to list certain digital assets on its exchange and that they used the information to make profitable trades. All three men face criminal charges of wire fraud for the alleged scheme, which prosecutors said spanned 25 different assets and pulled in $1.5 million. In its corresponding civil case, the SEC argued that nine of those assets are securities and that the defendants engaged in insider trading of securities.”
“What Smart Investors Do In Bear Markets” (Wall Street Journal). “Many investors believe bear markets end only after formerly overvalued stocks finally become bargains again. It just isn’t so. In March 2009, in the pit of the global financial crisis, stocks traded at more than 13 times their longer-term earnings, adjusted for inflation, according to data from Yale University finance professor Robert Shiller. That was only about 20% cheaper than the average all the way back to 1881. Although stocks didn’t seem like a statistical bargain at the time, they went on to gain roughly 15% annually over the next decade.”
“‘Edge Of A Global Recession’: IMF Slashes World Economic Forecast Again” (CNN Business). “In a report released Tuesday, the International Monetary Fund once again lowered its world economic forecast as it predicted major slowdowns in the three biggest economies: the United States, China and Europe…[t]he IMF now expects the world economy to grow just 3.2% this year, down from 6.1% in 2021.”
“Nearly Half Of All Americans Are Falling Deeper In Debt As Inflation Continues To Boost Costs” (CNBC). “Nearly 40% of consumers cannot put any money at all into savings, according to a recent analysis of household financial health and readiness by the American Consumer Credit Counseling, while about 19% said they had to reduce their savings rate.”
“He’s Baseball’s Only Mud Supplier. It’s A Job He May Soon Lose.” (New York Times). “Major League Baseball — a multi-billion-dollar enterprise applying science and analytics to nearly every aspect of the game — ultimately depends on some geographically specific muck collected by a retiree with a gray ponytail, blurry arm tattoos and a flat-edged shovel.”
