What we’re reading (8/23)
“Global Economies Flash Warning Of Sharp Slowdown” (The Wall Street Journal). “Business activity in the U.S., Europe and Japan fell in August, according to new surveys, pointing to a sharp slowdown in global economic growth as higher prices weaken consumer demand and the war in Ukraine scrambles supply chains.”
“We’re In A ‘Housing Recession,’ Experts Say. Here’s What That Means For Homeowners, Sellers And Buyers” (CNBC). “For example, sales of existing homes in July fell by 5.9% from June, marking the sixth straight month of a decline — and a drop of more than 20% from a year earlier. What’s more, there have been layoffs and slower job growth in the industry, homebuilder sentiment has turned negative and buyers are canceling contracts in the face of interest rates that have jumped to 5.72% from below 3.3% heading into 2022.”
“Endless Demand Spurs U.S. Natural-Gas Prices To Shale-Era Highs” (Wall Street Journal). “The 14-year highs reached this week by U.S. natural-gas futures show the unceasing demand for U.S. shale gas across the Atlantic—and likely point to rising prices and market volatility ahead.”
“US Business Activity Falls At Its Fastest Rate Since May 2020” (CNN Business). “The rate at which business activity slowed was the fastest recorded since May 2020 when the pandemic shutdowns first took hold, according to S&P Global. This marks five consecutive months that the activity index has fallen and the second consecutive month that it has been in contraction territory.”
“Legendary Investor Julian Robertson Has Passed Away — But Leaves Behind Many Powerful Mentees” (Tech Crunch). “Julian Robertson’s hedge fund investors didn’t want to listen to him when, in 1999, he questioned the sanity of the prices being paid for shares in nascent internet companies. So months after being berated for 15 minutes at an annual shareholders meeting at the Plaza Hotel in New York in October 1999, he began the process of closing up his shop. “There is no point in subjecting our investors to risk in a market which I frankly do not understand,” Robertson reportedly wrote to them in March of 2000. “After thorough consideration, I have decided to return all capital to our investors, effectively bringing down the curtain on the Tiger funds.” In April 2000, the tech market began to implode.”
