12 June 2019

1) For the sixth straight month of a gold buying spree, China continues to add to it’s gold reserves under the protracted trade war. China added 58 tons of gold to its reserves in the five months to April, then added 15.86 tons in May. At this rate China could buy as much as 150 tons of gold in 2019, as they diversify away from the U.S. dollar.

2) The retailer giant Amazon has opened a second cashier-free store in New York, which makes the thirteenth ‘Amazon Go’ store to open in America. The convenience robot store is about 1,700 square feet with Amazon announcing its fourteenth store will open in San Francisco. By 2021, Amazon may open as many as 3,000 of these robot retailing stores which threaten other retailers like 7-Eleven shops, CVS and Walgreens.

3) Ten state attorney generals plan to jointly file a lawsuit to stop the merger of Sprint and T-Mobile. The $26 billion dollar merger will reduce the number of nationwide wireless carriers to three. So far, the deal has won the backing of the majority of the FCC, which makes the Federal Government in favor of the move.

4) Stock market closings for 11 JUN 19:

Dow            26,048.51    down    14.17
Nasdaq         7,822.57    down      0.60
S&P 500        2,885.72    down      1.01

10 Year Yield:    down   at    2.14%

Oil:    down   at    $53.05

MIDDLE EAST’S CHEAPER OIL…. NOW HOW LIFE WILL BE…..

 

middle east biz pic

BY: ECONOMIC & FINANCE REPORT…

Cheaper oil is here to stay at least for the time being. It has affected all Opec countries and affected the world as a whole.  Now what will be reflected, is how the Middle East will deal with a  now way lower  and cheaper oil output. Adaptation to the new reality is sure certain to change the GDP outlook and as estimated.

The private sector will have to engage in Middle East productivity and seek other resources to tap into while the bottoming of oil prices continue to plunge. The mere question should be when exactly is the oil prices going to bottom out and then stabilize?

SB