Tomorrow non-farm data, a review of the market after the previous three announcements. Non-farm data are usually released on the Friday of the first week of the month. You might think the March numbers are coming out early because tomorrow happens to be Friday, the first week of April.According to Wednesday's small non-farm data, the US added 455,000 jobs in March, compared with the consensus forecast of 450,000. Hiring was evenly distributed across sectors, with leisure and hospitality leading the way at 161,000. So these days the hotel aviation plate up better. Through small non-agricultural data, the market believes that the wine travel industry began to recover further. But in turn, the non-farm data is better, but will support interest rate hike expectations. Many Wall Street banks ha
People who trade options do so for a number of reasons: to target downside protection, to potentially enhance income from stocks they own, or to seek capital-efficient directional exposure, to name a few. But one common element shared by all option traders is exposure to risk.Consider dividend risk. If you trade options on stocks that pay cash dividends, you need to understand how dividends affect options prices, options exercise and assignment, and other factors in the life cycle of an option.To make a long story short: Failure to understand dividend risk could derail your strategy and cost you money.How Do Cash Dividends Work?Dividends, stock splits, mergers, acquisitions, and spin-offs are examples of corporate actions—things done by a company that require adjustments to the number
Since we previously covered Alibaba Group Holding Limited $Alibaba(BABA)$ , its share price had collapsed since its peak by 67%. In our previous analysis on Alibaba, we examined its cloud segment as it became profitable for the first time and we expect its margins to continue rising to attain profitability levels of AWS and Azure in the next 2 to 3 years. Moreover, we looked into the regulatory risks of Ant Group regarding its lending business segment which represents over a third of its revenues. Furthermore, we examined the regulatory crackdown on its e-commerce but believe it not to solely target the company but expect it to lose out the most with its significant market power as the dominant market leader. Additionally, we did not account for proc
$Apple(AAPL)$SummaryBloomberg reported that Apple is considering a hardware subscription strategy for its devices.We discuss why it could help Apple penetrate more effectively into Android's traditional strongholds and take share.We also discuss why AAPL stock is a Buy.Investment ThesisApple Inc. (NASDAQ:AAPL) was reported to be considering a hardware subscription service for its suite of products. So naturally, the attention is on its flagship iPhone segment. Nevertheless, nothing has been confirmed, and plans could continue to be developed or even stalled.However, we believe it could mark a significant pivot in Apple's strategy to reach further into Android's (GOOGL) (GOOG) installed base. Apple's 5G launches starting with iPhone 12, have seen t
“Indeed, at Berkshire, I sometimes engage in large-scale derivatives transactions in order to facilitate certain investment strategies.” Warren Buffett That’s right, Warren Buffett is a big user of these weapons of mass destruction. Jest aside, options can be a great tool to complement investing when used appropriately. Buffett’s Thoughts on Options In Berkshire’s 2008 and 2010 annual letter, after highlighting the dangers of derivatives, Buffett explained in detail why he uses options to generate float for investing: “Both Charlie and I believe that Black-Scholes produces wildly inappropriate values when applied to long-dated options.We put our money where our mouth was by entering into our equity put contracts. By doing so, we implicitly asserted that the Black-Scholes calculations use
Take a screenshot of our special “Tiger” Machine (Slot Machine) to find your lucky charms in investing, and post it in the comment section. Join our game & win tons of Tiger coins! 👇👇 🎁[Prizes] For All the Tigers participating in this activity: All Tigers will be given 50 Tiger coins for posting each combination in the comment section! All Tigers will be given 200 Tiger coins for posting a screenshot with 3 Same Charms in the comment section! ( Up to 4 screenshots) (1500 coins for posting all the different combinations) 3. All Tigers will be given 10 Tiger coins for reposting and tagging your friends in the comment section! ( Up to 30 friends) Special Gift for one Tiger: One Tiger will be
“When all the dreams drain, same are loss and gain.” – The Romance of Three KingdomsKey Points- Hong Kong’s selloff and reversal last week were epic, but onshore less so.- Short sellers onshore are wrongfully blamed, as they have been cutting positions. Net long on margin peaked with the onshore market around mid 2021, and had since entered a deleveraging phase. It will still weigh on indices.- An onshore leverage cycle is typically ~3 years, consistent with the wavelength of 3 to 4 years in our theory of China’s economic cycle.- On October 20, 2018, there was a meeting at the Committee of Financial stability and Development. The onshore market eventually bottomed out in early January 2019. It will take more than a meeting and a phone call to end this bear. A second low is likely. But such