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But with flights remaining limited after China's border reopening in January, European luxury stores will need to wait longer for the return of masses of tourists they once depended on for growth. The average transaction value by Chinese travellers in Europe in March was 28% above 2019 levels, UBS said, citing data from VAT refund provider Planet. Cartier-owner Richemont (CFR.S), Hermes (HRMS.PA) and LVMH were best placed to benefit from wealthy Chinese shoppers, UBS added. As wealthy Chinese return to Europe and other foreign destinations, the appeal of China's Hainan Island, a duty free shopping hotspot, appears to be waning among top luxury spenders. China's "higher income, top luxury spenders (are) already travelling abroad again," she said, leading to an observable lower per-capita spend in Hainan.

☆ Emerson's quarterly earnings beat shows skeptical investors the industrial is back on track
▼ + stars: | 2023-05-03 | by ( Jeff Marks | ) www.cnbc.com time to read: +5 min

Emerson stock climbed roughly 4% in midday trading, to more than $85 a share. Quarterly commentary Amid mounting economic uncertainty, Emerson's end-markets remain healthy, with underlying sales expected to continue to grow about 7% for the remainder of the year. It's hybrid manufacturing business is seeing underlying sales grow at a high-single-digit percentage, driven by strong reshoring trends in life sciences and investment in lithium and battery metals. And in its discrete manufacturing business, Emerson continues to forecast mid-single-digit underlying sales growth thanks to battery manufacturing investments in the U.S. and Asia. Guidance For Emerson's fiscal third quarter, management expects net sales growth in the range of 10.5% to 12.5% and underlying sales growth in the range of 10% to 12%.

☆ This country is the darling of the markets, Bank of America says. How to play it
▼ + stars: | 2023-04-19 | by ( Sarah Min | ) www.cnbc.com time to read: +3 min

One country is coming up again and again as the clear investor favorite this year, and there are ways for traders to play it, according to Bank of America. The Wall Street firm said Mexico is "the market's darling," with the Indice de Precios y Cotizaciones (IPC) climbing 12% this year. "On top of that, Mexico is perceived as a country that will continue to benefit from nearshoring," he said. Regardless, for investors tapping into the surge in markets, there are several ways to play the rise. For example, the iShares MSCI Mexico ETF (EWW) is up by 20% this year, far outpacing the roughly 4% climb for the broader iShares MSCI Emerging Markets ETF (EEM) over the same time period.

MSCI's Europe index, for example, still trades more than a point below its average historic valuation - with the index priced at less than 13 times its 12-month forward earnings. The top sectoral weighting in the STOXX Europe 50, for example, is healthcare - at almost 23%. With British-based stocks the biggest country weighting in the STOXX Europe index at 26%, the other top four sectors in the index include the food, beverages and tobacco grouping, consumer products, industrial goods and energy. The dollar peaked late last year against most European currencies as the Federal Reserve raced to ratchet up interest rates. Some think the slide in the dollar index of some 12% since last September is barely half of the whole move.

☆ Uranium is having a 'renaissance.' What to know about it, and how to play it
▼ + stars: | 2023-04-07 | by ( Alex Harring | ) www.cnbc.com time to read: +6 min

But despite the strong outlook for the commodity price, stocks and funds related to the commodity have not risen in lock step. The Sprott Uranium Miners ETF (URNM) and Sprott Physical Uranium Trust (SRUFF) are down about 7% and 4% so far this year, underperforming the broad S & P 500 , which has gained 6.5% . He said the Sprott Physical Uranium Trust is a smart play because it has the best risk-to-reward ratio in his eyes and has the benefit of holding actual uranium as opposed to just mining stocks. The company also manages the Sprott Uranium Miners ETF, which Huhn said has a larger emphasis on the mining stocks than the commodity price. Zuri-Invest's option is unique because it has a shorter settlement time and can be redeemed for either money or physical uranium, Huhn said.

☆ This construction stock could gain more than 20% as inflation pressures recede, Goldman Sachs says
▼ + stars: | 2023-04-03 | by ( Alex Harring | ) www.cnbc.com time to read: +2 min

Vulcan Materials shares should see a better year as inflation cools, according to Goldman Sachs. Analyst Jerry Revich upgraded the construction stock to buy from neutral. And unit profitability, which he said is a key stock price driver, should accelerate as inflation stabilizes but prices remain elevated. While private construction spending is tied to the U.S. banking sector, he said aggregate volumes are down around 10% compared with the same period a year ago. And public construction spending should be strong, he said, as pent up demand from Covid years turn to contracts, he said.

☆ Morgan Stanley says these 30 stocks are best positioned for long-term gains as inflation, interest rates, and a banking crisis turn markets upside down
▼ + stars: | 2023-03-22 | by ( Lisa Kailai Han | ) www.businessinsider.com time to read: +4 min

But the chaos has also ushered in the beginning of the end of current bear market, said Mike Wilson. Morgan Stanley shared 30 stocks to buy for long-term outperformance in the next bull market. In fact, Wilson believes that a decline in credit availability may even point to the beginning of the end of the current bear market. In a note from March 21, Wilson and fellow equity strategist Michelle Weaver highlighted the top stocks identified by Morgan Stanley analysts to buy for outperformance and longevity. However, they cautioned that current market pricing or positioning played no role in determining their basket of top stocks.

☆ BlackRock's Larry Fink said the last few years have dramatically reshaped supply chains. Data — and experts — disagree.
▼ + stars: | 2023-03-17 | by ( Emma Cosgrove | ) www.businessinsider.com time to read: +5 min

From the headlines, it's easy to think that supply chains are making a major shift closer to the consumer. "The repeated shocks of the past few years have also dramatically reshaped supply chains," Fink wrote in his highly-anticipated annual letter to shareholders Wednesday. His statements echo those from other top execs and prognosticators, who looked at the last few years and saw inevitable evolution toward more localized supply chains. Before the pandemic, supply chains were largely built with cost as a guiding principle. Is a "dramatic" redesign of supply chains possible?

We're buying 50 shares of Emerson Electric (EMR) at roughly $80.54 and 130 shares of Halliburton (HAL) at roughly $30.20. In essence, the Oscillator measures the buying or selling pressure in the market at the current point in time. EMR YTD mountain Emerson Electric (EMR) YTD performance Emerson's stock decline has made its valuation favorable too. HAL YTD mountain Halliburton (HAL) YTD performance We understand the narrative, but the industry is still catching up from years of underinvestment and if producers want to be capital efficient, then they need to use Halliburton's technology. With HAL shares down about 28% since we sold 375 shares in mid-January, we are upgrading our rating back to a 1.

☆ ABB invests in US robot factory as reshoring trend hots up
▼ + stars: | 2023-03-16 | by ( John Revill | ) www.reuters.com time to read: +3 min

ZURICH, March 15 (Reuters) - ABB (ABBN.S) is expanding its main US robot factory as its customers there in the automotive, packaging and machinery industries confront a tight labour market as they bring production back home. The United States is the third largest in the global robotics market, which is worth around $50 billion per year according to estimates by ABB and the International Federation of Robotics (IFR). Rapid growth is expected as US companies bring production closer to home to avoid logistic log jams which have gummed up supply chains since the global pandemic. A survey by ABB last year showed 70% of North American businesses suffered supply chain disruptions in the last year. "The potential for growth in the industrial robots market is huge," Atiya said.

☆ Mexican stocks are on fire this year. Here's what's driving the gains
▼ + stars: | 2023-03-12 | by ( Alex Harring | ) www.cnbc.com time to read: +6 min

Closer supply chains to the U.S. are giving Mexican stocks a big boost to start the year. The iShares MSCI Mexico ETF (EWW) , which is made up of Mexican stocks, is performing even better — up 15.2%. EWW YTD mountain EWW in 2023 One key factor driving this early outperformance is "nearshoring," which refers to companies bringing supply chains closer to their home country. In this case, many U.S.-based companies are moving their supply chains to neighboring Mexico, which could lead to even more gains in Mexican stocks. Lippmann said the firm likes stocks directly helped by nearshoring trends, such as the real-estate firm Vesta and airport operator OMA .

☆ UBS says to sell Caterpillar, citing sluggish growth outlook
▼ + stars: | 2023-03-10 | by ( Hakyung Kim | ) www.cnbc.com time to read: +2 min

"We don't think there is enough cyclical momentum to justify the current valuation," Fisher wrote. "While we don't think the cycle is over, we don't expect substantial earnings growth (or upward estimate revisions) for 2024-25." "Backlog growth has been decelerating and appears set to roll over, and end market momentum is flattening in parts of construction and oil & gas," Fisher added. "After 27% EPS growth in 2022, we expect growth to slow to 16% in 2023E, and 4% in 2024, with 2025 roughly flat. Residential building, which accounts for roughly a quarter of the company's construction segment, has been stalling, Fisher added.

Fund managers say they are fielding more queries from clients about the odds of an invasion of Taiwan by China. Russia's invasion of Ukraine early last year has also made investors more wary of war risk, analysts said. Goldman Sachs' Cross-Strait Risk Index, which gauges the intensity of geopolitical risk between Taiwan and mainland China, hit a record high last August after then-U.S. House of Representatives Speaker Nancy Pelosi's trip to Taiwan. Jordan Stuart, client portfolio manager at Federated Hermes, says he cut China exposure last year while holding onto some small stocks that can "fly under the radar". The Taiwan Strait is a major route for ships transporting goods from East Asia to the United States and Europe.

☆ Reshoring is accelerating—These stocks should benefit as companies return to the U.S.
▼ + stars: | 2023-02-27 | by ( Michelle Fox | ) www.cnbc.com time to read: +5 min

Reshoring declarations are amping up, as more companies look to return operations to the United States from overseas. Corporate reshoring announcements jumped 17% in the fourth quarter compared with the prior quarter and are now tracking nearly 300% higher than the fourth quarter of 2021, according to UBS. In fact, reshoring and foreign direct investments jobs reached a record of at least 360,000 jobs last year, according to the Reshoring Initiative. The move back to the U.S . can also be seen in corporate earnings, said Ron Graziano, managing director of global accounting and tax for Credit Suisse. The company's equipment is needed for big semiconductor manufacturing plants as companies test chips as they are produced, Snyder said.

☆ The US, China spy balloon tensions are drifting into politics of the supply chain
▼ + stars: | 2023-02-14 | by ( Lori Ann Larocco | ) www.cnbc.com time to read: +2 min

The suspected Chinese spy balloon drifts to the ocean after being shot down off the coast in Surfside Beach, South Carolina, U.S. February 4, 2023. The tensions between the U.S. and China over alleged spy balloons shot down over North America have some of the top trade associations representing companies reliant on Chinese manufacturing to urge their members to diversify their supply chains. "The ongoing tensions with the U.S.-China trade relationship continue to highlight the need for supply chain diversification," said Jon Gold, vice president of supply chain and customs policy of the National Retail Federation. Mark Baxa, president and CEO of the Council of Supply Chain Management Professionals, told CNBC that the trade group's members have been pursuing redundancies in their supply chain since the start of tariffs as a way to offset the risk of ongoing trade policy tensions. "Supply chain leaders are seeking lower risk and a better means to serve the U.S. by looking and moving to Canada and Mexico.

☆ Here's how to invest in 3 'tectonic shifts' that will shape markets over the next few years, according to BofA
▼ + stars: | 2023-02-10 | by ( Marley Jay | ) www.businessinsider.com time to read: +5 min

The firm walked investors through patterns in interest rates and government spending. From 2008 to last year, ultra-low interest rates and central bank policy made for an era of easy money. They said that will favor value stocks over growth stocks, and will make dividend-paying stocks and alternative investments more appealing. It's also a potential economic challenge, as national debt levels have risen at the same time that interest rates have increased. "We have entered a bull market in state intervention and activism," Quinlan and Sanfilippo wrote.

☆ The 60/40 portfolio: Why one wealth manager thinks the strategy is coming back and her tips for using it
▼ + stars: | 2023-01-28 | by ( Alex Harring | ) www.cnbc.com time to read: +3 min

Gina Bolvin thinks the 60/40 portfolio will make a comeback in 2023. But the Bolvin Wealth Management Group president has some specific tips for investors considering the strategy after a down year. That will help the 60/40 portfolio once again perform an effective investing strategy, she said. "I'm fascinated that after one horrible year, I've seen advisors are saying the 60/40 portfolio is dead. "The 60/40 portfolio has a good long term track record, so one year isn't a trend."

☆ US-China Tech War: How Money for Semiconductor Factories Costs Americans
▼ + stars: | 2023-01-19 | by ( Taylor Dorrell | ) www.businessinsider.com time to read: +15 min

If the first Cold War was defined by the development of nuclear weapons, this Tech Cold War is defined by the computer chip. The massive Intel plant in Ohio is a key part of the race with China for the future of tech. Even before the Intel plant, the Columbus area was well acquainted with these sorts of trade-offs. But, the Ohio State study found, Columbus' residential tax-abatement programs did little to meaningfully address the housing problem, while draining the city's funds. Federal, state, and local subsidies add up to billions of dollars that Intel is saving on its new Ohio semiconductor factory.

☆ Covid broke supply chains. Now on the mend, can they withstand another shock?
▼ + stars: | 2023-01-16 | by ( Alicia Wallace | ) edition.cnn.com time to read: +8 min

“Because of that, supply chains are not as brittle as they were three years ago,” he said. “There could be another huge black swan event in a month that throws everything upside down; but for right now, it seems like respondents are predicting steadiness in the supply chain.”If anything, the pandemic’s shock to the supply chain should be a wake-up call, said Jack Buffington, director of supply chain and sustainability at First Key Consulting and assistant professor of supply chain management at the University of Denver. “I would categorize it as ‘efficiently broken,’” said Buffington, whose own book about supply chains, “Reinventing the Supply Chain: A 21st Century Covenant with America,” had its release delayed due to supply chain issues. “All supply chains really are is supply and demand, and there’s been so much disruption in materials and consumer demand related to labor and inflation and geopolitics,” he said. The complexities related to a globalized supply chain, human systems aren’t capable of handling it.”He added: “Covid wasn’t the cause of the problems with the supply chain, it was a trigger to show how bad it was,” he said.

☆ GXO shares pop as customers move away from China
▼ + stars: | 2023-01-12 | by ( ) www.cnbc.com time to read: 1 min

In this videoShare Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailGXO shares pop as customers move away from ChinaCNBC's Frank Holland joins 'The Exchange' to report on reshoring and the impact it's having on transport stocks.

While Budapest and Warsaw are haggling with the bloc over rule-of-law strings attached to billions worth of pandemic recovery funds, Romania has already drawn down over 6 billion euros in grants and cheap loans. Prime Minister Nicolae Ciuca has said the government aims to tap more than 10 billion euros a year, equivalent to about 4% of GDP, of about 90 billion euros of EU funding available to Bucharest through to 2027. RESHORINGCompanies reshoring from Russia and Ukraine to nearby low-cost manufacturing hubs partially helped push foreign direct investment to 9.39 billion euros in January-October, the largest 10-month figure since Romania joined the EU. "We are optimistic that investment will rise in coming years, also encouraged by EU funds," said Alex Milcev, head of Tax and Legal at E&Y Romania. And relations with the EU are not always smooth: in December, Austrian opposition over unauthorised immigration kept Romania out of Europe's borderless Schengen area.

☆ Citi's Chronert says a recession is near; shares his 'top conviction calls' to tough it out
▼ + stars: | 2023-01-06 | by ( Weizhen Tan | ) www.cnbc.com time to read: +3 min

Citi's Scott Chronert expects a mild recession in the first half of this year and revealed three strategy calls that could help investors trade the downturn. Earnings Earnings will likely come in better than expected, according to Chronert in his outlook for this year, published in December. Strength in some sectors Chronert likes both industrials and energy looking ahead. In the December note, Citi listed a number of "preferred" U.S. energy stocks including APA and EOG Resources . As such, he told CNBC Thursday that he's "steering somewhat clear of" mega-cap companies.

☆ The year of the restaurant robot: Why chains are investing in automation and what it means for workers
▼ + stars: | 2022-12-27 | by ( Amelia Lucas | ) www.cnbc.com time to read: +7 min

This year brought a flurry of automation announcements in the restaurant industry as operators scrambled to find solutions to a shrinking workforce and climbing wages. Three-quarters of restaurant operators are facing staffing shortages that keep them from operating at full capacity, according to the National Restaurant Association. Many restaurant operators hiked wages to attract workers, but that pressured profits at a time when food costs were also climbing. "Automation is one word, and a lot of people go right to robotics and a robot flipping burgers or making fries. The labor questionAutomation often faces pushback from workers and labor advocates, who see it as a way for employers to eliminate jobs.

☆ ‘The reshoring craze is real’ — These companies should benefit, experts say
▼ + stars: | 2022-12-23 | by ( Michelle Fox | ) www.cnbc.com time to read: +6 min

A lot has been said about reshoring, as companies look to bring manufacturing back to their home countries, particularly the U.S. Reshoring is essentially companies returning operations to their original country from overseas. "The reshoring craze is real, especially as you continue to hear more and more about this general theme of deglobalization," he said. "They sell into the construction of the factory, they sell into the equipment of the factory, the automation of the factory." The company's equipment is needed for big semiconductor manufacturing plants as companies test chips as they are produced, Snyder said.

☆ The renewed 'Made in America' wave is going to make stuff like clothing and electronics more expensive
▼ + stars: | 2022-12-22 | by ( Jacob Zinkula | ) www.businessinsider.com time to read: +6 min

It's in response to the supply chains disruptions companies have faced in recent years. The headaches US corporations have faced are leading more of them to bring their supply chains closer to home and more under their control. Just under half (46%) said they were adjusting supply chains, and around a third (32%) said they were onshoring their workforce. But if more companies shift their supply chains closer to home, this could slowly begin to change. If reshoring companies have to raise wages to attract workers, they may decide to raise prices even further to protect their margins.

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