wiar 03-06-23 • Yardeni Research

March 06 (Monday)

Latest Morning Briefing Executive Summary: The ‘Roaring 2020s’ Revisited
Productivity was poor last year—declining more than it has since 1974—and growth in unit labor costs was high. But the final quarter of 2022 saw significant improvements in both, and we think the worst is over for both. If productivity continues to improve as companies increasingly solve their labor challenges with technological innovations, that should lead to lower inflation, higher real wages, and better profit margins. That’s the thesis of our “Roaring 2020s” outlook. … Also: The economy has been experiencing a rolling recession that started last year. Today, we examine rolling recessions, past and present. … And: Dr. Ed reviews “The Whale” (+ + +).
(subscribers’ link)

YRI
Daily Markets Overview
Replay of Dr. Ed’s webinar on February 27.

Markets
The U.S. Stock Market Is Undervalued, but It Looks Like a Rough Road Ahead | Morningstar
How to Invest: Holding Cash Will Be a Winning Strategy in 2023, Investors Say | B
China’s Markets Are Set for a Strong 2023 | BR
Japan Piled Back Into U.S. Treasurys This Year. Investors Worry It Won’t Last. | W
Junk-Rated Companies Are Borrowing Again | W

ESG & climate
On Wall St., ‘Socially Responsible’ Is Common Sense. In Congress, It’s Political. | N
The ESG attack on energy becomes personal | Washington Examiner
One zeal of a woke backlash to ESG investments | P
Uranium Is Back in Demand. Russia and Climate Change Are Why. | BR

Central banks
Fed’s Rate Moves Put Manufacturing Sector at Risk | W
The Paul Volcker Narrative Imagines an Economy That Doesn’t Exist, and That Never Has | FO

China
China Sets Conservative Growth Target as Challenges Loom | W
China takes a cautious approach to its economy in 2023 | C
China’s prime minister, Li Keqiang, is about to retire | E
China’s New Top Troubleshooters | W
Missing Banker Bao Fan Reignites Fears of China’s Xi in Tech | B
Analysis: China’s chip sector needs more than state money to dull impact of US restrictions | R

US
Housing Market Momentum Stalls as Critical Spring Season Approaches | W

Europe
Italy’s largest opposition party gets a young and radical new leader | E

India
Is India’s boom helping the poor? | E

Geopolitics & trade
Why aren’t China and America more afraid of a war? | E
How America plans to break China’s grip on African minerals | E
Pentagon Sees Giant Cargo Cranes as Possible Chinese Spying Tools | W
South Korea Says It Has Deal With Japan on Forced-Labor Dispute | W

Industries & companies
Agriculture: It’s Boom Time for Farmers. Deere and Other Stocks Are Reaping the Riches. | BR
Autos: Tesla cuts U.S. Model S and Model X prices between 4% and 9% | R
Autos: EV Startups Brace for Another Tough Year as Cash Dwindles | W
Autos: EVs Boost Chip Demand Despite Semiconductor Makers’ Woes | W
Biotech: How to Invest in Biotech Now. | BR
Consumer: Nestle, Tyson, food giants bet on air fryers | C
Tech: Silicon Valley Confronts the End of Growth. It’s a New Era for Tech Stocks. | BR
Tech: Chinese firms launch foldable smartphones as Apple rumors swirl | C