When I started writing this post of March 8, 2022, I was quite shaken. But by the time I had finished I was in a pretty good mood. The surging price of oil coupled with events in Ukraine had me very concerned.
The tipping point? I think the tipping point was the story of the day: international leaders no longer taking phone calls from Washington, DC.
At the time, I said that's pretty pessimistic.
What got me out of that funk? Anxiety or depression? It was this:
The good news? Right now I don't see any of the adults leading in Washington. If the likes of Biden, Kamala, Pelosi, Schumer, Elizabeth Warren are the varsity team by virtue of where they stand (or sit), the junior varsity team looks pretty darn good: the likes of Warren Buffett, Tim Cook, Elon Musk, Harold Hamm, Jeff Bezos, Mark Zuckerberg, Bill Gates ad infinitum. The junior varsity team won't let things collapse. And these guys are backed up by the best military and intelligence agencies in the world.
Not to worry. At some point, our junior varsity team, like the oligarchs in Russia, will say enough is enough. And then the adults in Washington, DC, will take over.
So, what made me think of that tonight?
A couple days ago, China (President Xi) shut down Shenzeng, akin to the US (Biden) shutting down (if he could) Silicon Valley, Detroit, and Houston.
Foxconn was shut down when Shenzeng was shut down. Of course AAPL slumped. I was not worried. I saw it as a great buying opportunity. Because I knew Tim Cook was on the junior varsity team.
Lo and behold, now being reported, by Reuters and others: "China lets Foxconn, some construction sites resume work in COVID bubbles."
Well, isn't that interesting? The junior varsity team came through. LOL.
I hope y'all bought a lot of AAPL two days ago.
Disclaimer: this is not an investment site. Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here.
Later, 7:43 p.m. CT: six hours ago, it's being reported that Tesla production is being shut down due to Covid. So, we'll see. Also, the buzz on the street is that TSLA could announce a split in its shares. TSLA was up nicely today. TSLA closed at $840.
Meanwhile, earlier today, Greg Wester: "I don't say this often, but Tesla permabulls are in full panic mode. Kia is lowering prices. One platform, two cars so far. Two more are coming.
perhaps adding to your pessimism and tea leaves and as predicted in Yergin's latest book - The New Map (sic world order) and also Ray Dalio's podcast on The New Order. Obviously everyone in the Eastern Hemi has just read it.
ReplyDeletehttps://www.wsj.com/articles/saudi-arabia-considers-accepting-yuan-instead-of-dollars-for-chinese-oil-sales-11647351541
I believe we've gone through this before, Saudi Arabia considering to accept yuan, so we'll see how it goes this time.
Deletesorry - and BTW, no one uses the China currency other than within - yet. so not a valid threat but predicted nonetheless and is the natural order of things as the US wanes and China waxes(?).
ReplyDeleteAgree completely --- looking at the trillions of dollars the US has printed in the past few years ... and looking to print more.
DeleteAnd, yes, that's correct, China waxes, and US wanes.