Jilly Cooper’s over-the-top TV industry romp returns, and Ian McKellen and Michaela Coel make a bracing artistic double act. Here’s the pick of the week’s culture, taken from the Guardian’s best-rated reviews Continue reading...
Jilly Cooper’s over-the-top TV industry romp returns, and Ian McKellen and Michaela Coel make a bracing artistic double act. Here’s the pick of the week’s culture, taken from the Guardian’s best-rated reviews Continue reading...
The equity story that powered European stocks has unraveled as investors seek shelter from a global energy shock and buy into the artificial intelligence frenzy. European stocks had been zooming higher prior to the Middle East war as investors diversified out of the US and piled into the region’s much cheaper stocks. But that narrative has given way to new realities: Europe’s economy is exposed to...
The equity story that powered European stocks has unraveled as investors seek shelter from a global energy shock and buy into the artificial intelligence frenzy. European stocks had been zooming higher prior to the Middle East war as investors diversified out of the US and piled into the region’s much cheaper stocks. But that narrative has given way to new realities: Europe’s economy is exposed to inflation and supply chain disruptions caused by the conflict, and it’s home to almost none of the companies at the heart of the AI boom. The Stoxx Europe 600 is now a laggard. The tailwinds that investors were betting on, such increased spending on infrastructure and defense, and advantageous monetary policy, have faded. Skepticism has returned. Inflows to European equity-focused funds have been completely erased as of this week, according to Bank of America Corp. strategists citing EPFR Global data. Europe is “a region without a theme, with no memes and with too little growth,” said Bobby Molavi , a partner and head of EMEA execution services at Goldman Sachs Group Inc. AI Void The US has hyperscalers, while Asia is home to leading chipmakers and other firms essential to the AI build out. Europe, by comparison, has little to offer investors who want in on the technology trade. The continent hosts heavyweight chip equipment maker ASML Holding NV , and a handful of other AI-related companies including Aixtron SE and STMicroelectronics NV . But their combined weight in the region’s benchmark is not significant enough to offset the massive industrial, consumer and defensive complex that investors have shunned this year. Technology stocks account for roughly 8% of the Stoxx Europe 600, compared with 42% for the S&P 500. Semiconductors in particular make only 3.5% of the European benchmark versus about 18% for both the S&P 500 and the MSCI Asia Pacific. At the index level, equity investment is about earnings growth. This year is shaping up to be solid for the Stoxx Europe 600,...
US president calls Abu-Bilal al-Minuki ‘most active terrorist in the world’ and says he was eliminated in ‘very complex mission’ Donald Trump has said US and Nigerian forces killed the “second in command” global leader of the Islamic State. “Tonight, at my direction, brave American forces and the Armed Forces of Nigeria flawlessly executed a meticulously planned and very complex mission to elimina...
US president calls Abu-Bilal al-Minuki ‘most active terrorist in the world’ and says he was eliminated in ‘very complex mission’ Donald Trump has said US and Nigerian forces killed the “second in command” global leader of the Islamic State. “Tonight, at my direction, brave American forces and the Armed Forces of Nigeria flawlessly executed a meticulously planned and very complex mission to eliminate the most active terrorist in the world from the battlefield,” the US president said on his Truth Social platform Friday. Continue reading...
Shares of streaming video giant Netflix (NASDAQ: NFLX) jumped 2.4% in the afternoon session after reports revealed the company's advertising business is scaling faster than Wall Street had expected, with confidence building ahead of presentation to advertisers on May 14.
Shares of streaming video giant Netflix (NASDAQ: NFLX) jumped 2.4% in the afternoon session after reports revealed the company's advertising business is scaling faster than Wall Street had expected, with confidence building ahead of presentation to advertisers on May 14.
imaginima/E+ via Getty Images By OpenMarkets Oil markets have been in focus since conflict began in the Middle East in late February, with prices at times surging past $100 per barrel. However, this time around, even as the effective closure of the Strait of Hormuz has removed a historically unprecedented share of global supply, prices have risen far less dramatically than past disruptions. What e...
imaginima/E+ via Getty Images By OpenMarkets Oil markets have been in focus since conflict began in the Middle East in late February, with prices at times surging past $100 per barrel. However, this time around, even as the effective closure of the Strait of Hormuz has removed a historically unprecedented share of global supply, prices have risen far less dramatically than past disruptions. What explains this disconnect? And what does the move into backwardation – where prices for near-term delivery rise above prices for delivery further in the future – signal for investors navigating this volatile environment? Erik Norland, CME Group's Chief Economist, sat down with OpenMarkets to discuss what 40 years of market data reveals about oil futures dynamics during periods of backwardation. This conversation has been edited for brevity. Can you explain what the current backwardation in the WTI Crude Oil futures curve tells us about market expectations for supply and demand? It suggests that investors expect things to return to normal. In the near term, the market is disrupted with reduced supply coming out of the Middle East, pushing near-term prices to around $100 per barrel. However, the market seems to expect prices could return to around $75 by year-end if conditions normalize. Keep in mind, these are just market expectations, and they’re constantly changing. What historical trends or patterns have you observed in crude oil returns when the market structure is in contango compared to backwardation? Since around 1985, a consistent pattern has emerged. When holding a long position during periods of contango, crude oil positions often (but not always) lose capital. By contrast, a long position in crude oil during periods of backwardation typically shows positive returns over time – though again, not always. There are always exceptions to every rule. This pattern suggests that traders have historically underestimated the length of time markets remain oversupplied (in the ...
US President Donald Trump said on Friday that Abu-Bilal al-Minuki, second in command of Isis globally, had been eliminated in an operation conducted by US and Nigerian forces. “Tonight, at my direction, brave American forces and the Armed Forces of Nigeria flawlessly executed a meticulously planned and very complex mission to eliminate the most active terrorist in the world from the battlefield...
US President Donald Trump said on Friday that Abu-Bilal al-Minuki, second in command of Isis globally, had been eliminated in an operation conducted by US and Nigerian forces. “Tonight, at my direction, brave American forces and the Armed Forces of Nigeria flawlessly executed a meticulously planned and very complex mission to eliminate the most active terrorist in the world from the battlefield,” Trump said in a post on Truth Social. “Abu-Bilal al-Minuki, second in command of Isis...
bluebay2014/iStock via Getty Images A useful relationship has long been held between the SP500 and retail money funds. Near-term highs in retail money funds are always associated with the level of market pessimism and closely correlate with significant SP500 cycle lows. That pattern has been unmistakable since Jan 1990, for the last 36 years. Today, both series are at record highs, but the details...
bluebay2014/iStock via Getty Images A useful relationship has long been held between the SP500 and retail money funds. Near-term highs in retail money funds are always associated with the level of market pessimism and closely correlate with significant SP500 cycle lows. That pattern has been unmistakable since Jan 1990, for the last 36 years. Today, both series are at record highs, but the details that underscore the relationship remain. The drivers of the SP500 are the "recession proof" high tech issues believed to be so immune to economic downturn that 10 of these now represent over 40%+ of the total value of the SP500. What is different in this cycle is that the mega-sized, momentum-driven portfolios are chasing these select issues because they are economically pessimistic. The same is true for retail investors, which is why retail money funds are also at record levels. That is, pessimism has driven a wild imbalance in markets currently that has been with us pre-Covid. If one examines many individual companies, a pattern emerges in 2015 reflecting this. Well-operated companies gradually lost their prior premiums to the high-tech sector, thought to be impervious to economic collapse. The Covid lockdowns confirmed this invulnerability in investors' minds and remains today, now bolstered with a growing chorus for more lockdowns due to Hantavirus. By now, if you have been listening even a little, you'll recognize that a power struggle has been ongoing between the old guard and the current approach by the new administration. This struggle is between a top-down globalism vs. individual sovereignty of countries. The current administration has demanded reciprocal fair tariffs with trading partners, which is forcing a US reindustrialization. A rebuilding of US manufacturing capacity is beginning that was lost since 1970 when we began to ship US intellectual property to cheaper labor production venues. A long held political/economic policy is being reversed by the current ...
Earnings Call Insights: Beam Global (BEEM) Q1 2026 Management View "Our backlog grew 50% during the quarter from $6 million at December 31 of '25 to $9 million at March 31 of '26" (Chief Financial Officer Lisa Potok), and she said "our Q2 2026 revenue through today has already exceeded our first quarter results, a clear signal that the business is accelerating." "We made our first EV ARC sale in A...
Earnings Call Insights: Beam Global (BEEM) Q1 2026 Management View "Our backlog grew 50% during the quarter from $6 million at December 31 of '25 to $9 million at March 31 of '26" (Chief Financial Officer Lisa Potok), and she said "our Q2 2026 revenue through today has already exceeded our first quarter results, a clear signal that the business is accelerating." "We made our first EV ARC sale in Abu Dhabi for public EV charging" (Chief Financial Officer Potok), alongside product and market updates that included: "We launched a patented autonomous wireless charging system for autonomous vehicles" and "we were selected to supply patented battery systems for drones." "Our first quarter revenue was $3.1 million, a decrease of 51% compared to $6.3 million in Q1 of '25" (Chief Financial Officer Potok). She attributed the change to timing and demand factors, including "2 large orders moving out of the quarter," "a seasonally slow period for our European operations" and "the ongoing reduction in federal government EV spending." "Our gross results included $0.7 million of noncash depreciation and intangible amortization and cost of revenues" (Chief Financial Officer Potok), and she added: "Excluding these items, the adjusted non-GAAP gross margin was 9.4%, compared to 20.6% in the prior year period." "Our operating expenses were $6.3 million compared to $16 million in Q1 of '25" (Chief Financial Officer Potok), highlighting that the prior year included "a noncash goodwill impairment charge of $10.8 million" and that the current quarter included "a $1.8 million noncash provision for credit losses related to a single customer balance." "Our net loss was $6.9 million compared to $15.5 million in Q1 of '25" (Chief Financial Officer Potok), and she specified: "Excluding these items, the non-GAAP net loss was $3.7 million compared to $3 million in Q1 of '25." "Our international customers comprised 51% of revenues in Q1 of '26 versus 25% in Q1 of '25" (Chief Financial Officer Potok...
Malaysian police will investigate claims that fugitive financier Jho Low returned to the country for secret meetings. Inspector-General of Police Mohd Khalid Ismail said the claims that Low, whose full name is Low Taek Jho, had come to Malaysia for meetings had not been verified. “We have not verified whether the claims are true or otherwise,” he told reporters on Saturday. “We will take appropria...
Malaysian police will investigate claims that fugitive financier Jho Low returned to the country for secret meetings. Inspector-General of Police Mohd Khalid Ismail said the claims that Low, whose full name is Low Taek Jho, had come to Malaysia for meetings had not been verified. “We have not verified whether the claims are true or otherwise,” he told reporters on Saturday. “We will take appropriate action to investigate the matter further.” He was commenting on an article by Sarawak Report...
bgwalker/iStock Unreleased via Getty Images Introduction I have written two reports on Duolingo ( DUOL ), giving both a Strong Buy rating, and since then the stock has decreased 46% after the first report and 6% after my second report . Duolingo has been struck with multiple bearish theses since it traded near $500. The first threat was that CEO and founder Luis von Ahn made controversial comments...
bgwalker/iStock Unreleased via Getty Images Introduction I have written two reports on Duolingo ( DUOL ), giving both a Strong Buy rating, and since then the stock has decreased 46% after the first report and 6% after my second report . Duolingo has been struck with multiple bearish theses since it traded near $500. The first threat was that CEO and founder Luis von Ahn made controversial comments about the company’s intention to become an AI-focused company and encouraged its employees to use AI in their everyday work. With other controversies like Luis intending to replace teachers and other education workers, users of Duolingo boycotted it and the stock declined roughly 50%. This decrease was further exacerbated by the idea that AI and translation apps will replace Duolingo, and then a slowdown in DAU and MAU metrics supported the bear case. The final nail in the coffin was the so-called SaaSpocalypse, with the worry that AI will change the seat pricing model of SaaS as it will absorb the UI interaction and therefore commoditize it. I will not explain why I think the market is wrong; you can check my other articles for that. The reality is that Duolingo was priced for perfection, and despite putting up great numbers, any evidence of declining growth is detrimental to its price. Q1 FY26 Earnings In its Q1 FY26 earnings , Duolingo reported a general decline in user metrics growth rates, with paid subs growth declining from 28% in Q4 to 21%. The most worrying metrics are its DAU and MAU growth rates declining from 30% to 21% and from 14% to 6%. One thing that I think is very important and analysts are not talking about is that management made it extremely hard to find its Q1 MAU metric. It is the first quarter where its MAU metrics were not in the first page of its shareholder letter and on the first pages of its 10-Q. In fact, its MAU metrics are only mentioned in a footnote of one of the tables and in a random sentence in the 10Q. This is a red flag to me, as hist...
Cranbrook, Kent: The swarm has gathered in a plum tree, looking for a new home. And I have just the place There comes this moment in May when I’m still anticipating the fresh green of spring, but looking up at the oak see it in a lustreless summer hue. A little rain would renew its sheen, but it’s been dry for weeks and there is no reprieve from this fleeting sense of loss. Abruptly, there comes a...
Cranbrook, Kent: The swarm has gathered in a plum tree, looking for a new home. And I have just the place There comes this moment in May when I’m still anticipating the fresh green of spring, but looking up at the oak see it in a lustreless summer hue. A little rain would renew its sheen, but it’s been dry for weeks and there is no reprieve from this fleeting sense of loss. Abruptly, there comes a noise, a rising hum almost mechanical in tone, but as I look for the contraption responsible, I see instead a mass of insects flowing over the line of hawthorns. The honeybee swarm swirls in a cloud before the queen, imperceptibly landing, triggering a leisurely implosion. Guided by pheromones, thousands of worker bees join her to form a solid ball, hanging precariously from the twig of a plum tree. Continue reading...
bluebay2014/iStock via Getty Images Although the index is lower to round out the week, the S&P 500 repeatedly reached more record highs recently. With the rally largely unabated, the index has been in overbought territory (> one standard deviation above its 50-DMA) every single session since April 14th. Not only has the S&P been overbought, but firmly so. Of the 24 consecutive sessions in overboug...
bluebay2014/iStock via Getty Images Although the index is lower to round out the week, the S&P 500 repeatedly reached more record highs recently. With the rally largely unabated, the index has been in overbought territory (> one standard deviation above its 50-DMA) every single session since April 14th. Not only has the S&P been overbought, but firmly so. Of the 24 consecutive sessions in overbought territory, the past 23 have seen the index close at least 1.5 standard deviations above its 50-DMA. As shown below, this is now the longest streak of firmly overbought readings (consecutive trading days with the index at least 1.5 standard deviations above its 50-DMA) since September 2020. Looking back to the start of the 5-day trading week in 1953, there have been a total of 22 other streaks of at least 23 days. The longest of these extended to 33 straight sessions in March 1983 and May 1967. Original Post Editor's Note: The summary bullets for this article were chosen by Seeking Alpha editors.
Torsten Asmus/iStock via Getty Images By Jennifer Nash The U.S. Energy Information Administration (EIA) has released its latest Short-Term Energy Outlook (STEO), providing forecasts for energy markets. This article presents the annual production outlooks for crude oil, natural gas, and natural gas liquids (NGLs), comparing the May 2026 projections against the previous month's estimates. These fore...
Torsten Asmus/iStock via Getty Images By Jennifer Nash The U.S. Energy Information Administration (EIA) has released its latest Short-Term Energy Outlook (STEO), providing forecasts for energy markets. This article presents the annual production outlooks for crude oil, natural gas, and natural gas liquids (NGLs), comparing the May 2026 projections against the previous month's estimates. These forecasts are particularly relevant for energy infrastructure companies operating in the U.S. The Role of Energy Infrastructure in the Economy Energy infrastructure forms the bridge between energy production (supply) and consumption (demand). It includes the transportation, storage, and processing of crude oil, natural gas, and NGLs through a network of pipelines, terminals, and other infrastructure. "The global economy requires vast amounts of energy. As the world’s largest producer of oil, natural gas, and NGLs, energy infrastructure plays a critical role in connecting US energy production with domestic and global demand," adds Stacy Morris, Head of Index Product Research at TMX VettaFi. U.S. Crude Oil Production Outlook The May 2026 STEO shows an increase in both the near-term and long-term forecasts for U.S. crude oil production compared to the April 2026 estimates. The forecast for 2026 was raised by 1.03% to 13.65 million barrels per day (MMBpd). Most notably, the estimate for 2027 shows a forecast of 14.10 MMBpd, which represents a 1.10% increase from the April estimate of 13.94 MMBpd. Based on the latest figures, this results in a projected yearly growth of 0.5% from 2025 to 2026 and a robust growth of 3.3% from 2026 to 2027. U.S. Natural Gas Production Outlook The forecast for U.S. marketed natural gas production showed an increase to forecasts in the May 2026 STEO. The 2026 forecast saw an upward revision of 1.0% to 121.82 billion cubic feet per day (Bcf/d), and the long-term estimate for 2027 was raised by 2.1% to 126.791 Bcf/d. These updates represent a projected ye...