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Nasdaq trails Dow for fourth straight week, longest streak since 2016

Chris Hondros | Newsmaker | Getty Images

After a decade of outperformance, investors are finally switching out of technology stocks.

For the fourth straight week, the tech-heavy Nasdaq Composite lagged the Dow Jones Industrial Average. It is the longest such streak since April to May 2016, which was also the only year since 2011 in which the Dow defeated the Nasdaq.

Market experts have been forecasting a technical downturn for years and have consistently been wrong due to the increasing dominance of mega-cap companies such as Apple and Amazon, the frenzy over Tesla and the massive shift in spending to cloud computing.

“It has been frustrating for years to fix this trade,” said Jack Ablin, who oversees $ 12.5 billion as chief investment officer at Cresset.

Ablin said it felt different this time. Beginning in the fourth quarter, his company introduced a new “quality dividend strategy” that moved technology customers to industrial, finance, materials and energy companies. He bet on a democratic course in November, followed by a major stimulus package that would pump money into the economy and lead to inflation and higher interest rates.

President Joe Biden speaks with Vice President Kamala Harris (R) in the Rose Garden of the White House in Washington, DC on March 12, 2021, about America’s bailout plan.

Olivier Douliery | AFP | Getty Images

The 10-year Treasury rose to its highest level in over a year on Friday, hitting 1.642%. Rising interest rates give investors an incentive to shift money towards fixed income securities, while inflation tends to have an overwhelming impact on growth companies as it dampens expectations for future earnings.

Meanwhile, the $ 1.9 trillion coronavirus aid package signed by President Joe Biden Thursday will send $ 1,400 in direct payments to most Americans, expanding child tax credits, and providing rental and utility services .

‘Backlog’

Add to this Biden’s declaration that all adults are eligible for a Covid-19 vaccine by May 1, and the economy is on the brink of a major recovery in 2021.

“There’s a pent-up demand for going out and doing things, going on vacation, going to bars and restaurants,” Ablin said. People will “take all the money on the sidelines and spend it,” he said.

Although Biden and the Democratic Congress are focused on expanding alternatives to green energy, the current prospects for travel and getting back to work benefit traditional oil and gas companies. Within the S&P 500, energy values ​​performed best as a group this year with a plus of 40%. The top performing groups this week were Consumer Discretionary, Real Estate, and Utilities.

The Dow Industrials rose 4.1% over the course of the week to close at a record high of 32,778.64. After three straight weeks of decline, the Nasdaq rose 3.1% to 13,319.87. For the year, the Dow is up 7.1% while the Nasdaq is up 3.4%.

Dow versus Nasdaq in 2021

CNBC

Ablin knows it’s too early for a winning lap. While technology by and large underperforms, there is still a lot of money flowing into even more speculative assets. Bitcoin’s value nearly doubled this year, and a non-fungible token (NFT) by artist Beeple sold for more than $ 69 million in auction through Christie’s on Wednesday.

Ablin said he was just asked about NFTs by a customer Thursday. While he admits he doesn’t have a strong stance on them, he said the market could look very different in the coming months if stimulus recipients choose risky investments instead of traveling and buying consumer goods.

“If it really isn’t spent but plowed into the market, that would pull the rug out of our thesis,” Ablin said. For example, he said, “If they don’t go on vacation, they buy Tesla stock.”

Tesla stock is up 16% this week. But that was after a 30% drop from the previous month.

SEE: NFTs see record prices as artists and Silicon Valley buy in

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A Village Erased – The New York Occasions

The earthquake and tsunami of March 11, 2011 wiped out the ancient Japanese village of Kesen. For the past decade, a small group of survivors have valiantly tried to rebuild the community, but a grim reality has crept in: this void will last forever.

KESEN, Japan – For centuries, this village has been shaped by the currents of time: war and plague, rice sowing and harvesting, planting and tree felling.

Then the wave hit. Time stood still. And the village became history.

When a catastrophic earthquake and tsunami hit the coast of Japan on March 11, 2011, more than 200 residents of Kesen village in Iwate Prefecture were killed. All but two of 550 houses were destroyed.

After the water receded, almost all of the survivors fled. They left behind their destroyed possessions, the graves of their ancestors, and the land their ancestors had farmed for generations.

But 15 residents refused to leave Kesen and vowed to rebuild. Since 2011, Hiroko Masuike, a photographer for the New York Times, has visited the village twice a year to document the survivors’ doomed mission to redesign their hometown.

“Our ancestors lived in this village 1,000 years ago,” said Naoshi Sato, 87, a lumberjack and farmer whose son was killed in the tsunami. “There were also disasters back then. Every time people stayed. They rebuilt and stayed. Rebuilt and stayed. I feel obliged to continue what my ancestors started. I don’t want to lose my hometown. “

Many of those who stayed, including Mr. Sato, lived without electricity or running water for months. For a year, Mr. Sato camped in the stinking ruins of his home. He has been dreaming of Kesen’s rebirth for a decade.

Every day for the first year after the tsunami, he hiked in the forest, cutting down the trees by himself that he had used to rebuild his two-bedroom house. When only two other families followed his example and rebuilt their homes, Mr. Sato’s wife and daughter-in-law realized the futility of his plan and left him behind.

Those who decided to stay in Kesen were old in 2011. Now, in the 70s, 80s and 90s, they are even older. Slowly, over the past ten years, a gloomy reality has settled over this place: There is no turning back. Kesen will never be restored. This emptiness will last forever.

Mr. Sato resigned that his mission might have been in vain. Three houses have been built and he has kept his former neighbor’s farmland from deteriorating, but admits that the village will die with no new residents.

“I am very sad,” he said. “I regret that people won’t be back.”

He blames the government. It took nine years and $ 840 million for authorities to complete a project to convert the hill above the village into land for housing.

Until then, it’s too late. Almost everyone who left a decade ago has found a new home elsewhere. Unlike other nearby towns in the town of Rikuzentakata, which have also received government funding, the new raised area above the destroyed village lacks amenities such as shops and a supermarket.

“Given the coronavirus pandemic, I am fortunate to live here,” said Sato. To make sure his joke was understood, he added, “The air is clean and there aren’t too many people.”

A handful of newly built houses have been built on the hill around the Kongoji Temple. Like the mythical ship of Theseus, whose components have all been replaced over time, Kongoji is both the same temple that has been in the community for 1,200 years and an entirely new one, built in 2017.

The temple has served as a community calendar for centuries, marking the time with 33 events per year. These rites have practically come to a standstill, but on Thursday, Nobuo Kobayashi, Kongoji’s chief monk, will greet the scattered members of the congregation for a memorial service in Kesen.

Mr. Kobayashi has worked tirelessly to ensure that families have a place to mourn loved ones, but he is realistic that the temple will keep reverberating with noises other than wails of grief.

“Of course I want to rebuild the kind of temple we had before the tsunami,” said Kobayashi. “But people don’t want to go back to the place where they lost friends and family. And there is fear; People are afraid of another tsunami. “

An anniversary is a haphazard but useful reminder of how time goes by. Ten years is a satisfactory round number, but it’s just one of many numbers that tragedy can be measured against.

A decade feels like forever to those who lost a child in just seconds, but it is a brief moment in the history of Japan. It is an even shorter point in the billions of years of history of the tectonic plates, the dragging of which triggered the earthquake and tsunami.

It is this long run of history that gives the holdouts hope that Kesen will rise from the rubble again.

Mr. Sato, the lumberjack, will be 88 years old next week. He wakes up at 6 a.m. every morning and puts a cup of green tea on his house altar – an offering to the spirits of his son and ancestors. And then, like his ancestors, he takes care of his rice field and vegetable patch.

“I would like to see what this place will look like in 30 years,” he said. “But until then I have to see it from the sky. And I don’t think that will be possible. “

Hiroko Masuike reported from Kesen, Japan.

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U.S. attempting to contact Aung San Suu Kyi after civilians die in navy custody

Myanmar State Councilor Aung San Suu Kyi will watch her hearing on the Rohingya genocide case at the United Nations International Court of Justice on December 11, 2019 in the Peace Palace of The Hague on the second day of her hearing on the Rohingya genocide case.

Koen Van Weel | AFP | Getty Images

The US is still working to contact Aung San Suu Kyi and other civilian inmates in Myanmar, the State Department said Friday after two officials from its National League for Democracy party died in military custody last week.

Suu Kyi was Myanmar’s state advisor, the civilian head of government, before she was ousted from power and arrested by the military in a coup on February 1. Her NLD party won an all-out victory in the general election last year that led the military to accuse fraud and oust them from power.

“We have a pending request to contact the State Council, which is of course unjustly arrested by the military at the moment,” State Department spokesman Ned Price told reporters during a press conference on Friday.

“We have continuously inquired about their health and safety, as well as the health and safety of all detained leaders and civil society actors, and are working through appropriate channels to contact the detainees,” Price said.

The US has tried to contact Suu Kyi since the coup in February but has been turned away by the military, which has increasingly used violence against protesters in recent weeks.

There are growing concerns about the well-being of Suu Kyi and other detainees after two members of her party died last week after security forces arrested them. Suu Kyi was last seen at a court hearing on March 1st. It is unclear where she is being held. There were reports held at their home before they were taken to an undisclosed location.

More than 70 Burmese civilians have been killed and more than 2,000 people have been arrested, charged or convicted by the military regime since the coup. This is based on data compiled by the Assistance Association for Political Prisoners.

Last week the US Department of Commerce imposed export controls on the Myanmar Defense and Interior Departments and two military-affiliated companies. Washington has threatened further sanctions against the military regime if it does not stop operations.

The US has also urged China to use its leverage over Myanmar to bring the democratically elected government back to power. Beijing blocked a UN Security Council resolution in February condemning the coup. However, China backed a Security Council statement this week condemning the violence against demonstrators and expressing support for the democratic transition in Myanmar.

The president’s statement on Wednesday is a step under a resolution but still becomes part of the United Nations’ permanent record. The UN Security Council can impose sanctions, but such a measure would likely fail against the Chinese and Russian opposition.

US and Chinese officials meet in Anchorage, Alaska on March 18 to discuss a wide range of topics. US Secretary of State Antony Blinken told Congress this week that future meetings with Chinese officials would only take place if concrete progress was made on issues affecting Washington.

“There are currently no plans for a number of follow-up contracts. These commitments, if they are to follow, must really be based on the thesis that we are seeing tangible progress and tangible results with China on issues of concern for us,” said Blinken.

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Can France’s Far Proper Win Over the ‘Beavers’? One Mayor Reveals How

Mas Llaro had always voted for mainstream law.

But disaffected and tired of the status quo, the Talaus, like many others, voted for the far-right party for the first time last year, attracted by Mr Aliot’s emphasis on cleanliness and crime, and said their apartment had been broken into twice.

Despite being pleased with the mayor’s performance, Mr Talau said he will still join the far-right dam in next year’s presidential contest and hold his nose to vote for Mr Macron. But Ms. Talau was now considering casting a ballot for Ms. Le Pen.

“She put water in her wine,” said Ms. Talau, adding that Mr. Macron was not “hard enough”.

Mr Aliot’s opponent in 2014 and 2020, a center-right politician named Jean-Marc Pujol, had pushed his way to the right in an unsuccessful move to fend off the far right. He increased the number of police officers and, according to the government, gave Perpignan the highest number per capita in any major city in France.

Even so, many of his key far-right supporters appeared to have more faith in crime and were still defected, while many left-wing beavers complained that they had been ignored and refused to participate in dam construction again, said Agnès Langevine, who represented them Greens and the Socialists in the 2020 mayoral elections.

“And they told us, ‘In 2022, when it’s between Macron and Le Pen, I won’t do it again,'” she added.

Mr Lebourg, the political scientist, said Mr Aliot had also won over higher-income conservative voters by adopting a general economic message – the same strategy that Mrs Le Pen followed.

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Tesla is utilizing clients to check AV tech on public roads: NTSB

A Tesla Model S with autopilot

David Paul Morris | Bloomberg | Getty Images

A federal agency is calling for stricter requirements for testing autonomous driving, and the proposed changes could eventually force Tesla to change the way it introduces features for customers.

The National Transportation Safety Board is calling for stricter federal requirements for the design and use of automated driving systems on public roads. In an unreported letter to its sister agency, the National Highway Traffic Safety Administration, dated last month, NTSB chief Robert Sumwalt called Tesla 16 times to call for sweeping changes.

“Tesla recently released a beta version of its Level 2 autopilot system, which is described as fully self-driving. With the release of the system, Tesla is testing a highly automated AV technology on public roads, but with limited monitoring or reporting requirements.” wrote Sumwalt. “NHTSA’s hands-off approach to monitoring AV tests carries a potential risk for drivers and other road users.”

While both the NTSB and NHTSA are watchdogs of vehicle safety in the U.S. government, their roles are different.

The NTSB is investigating accidents to determine the underlying causes of harmful incidents, including fatal Tesla autopilot accidents in Mountain View, California in March 2018 and Del Ray Beach, Fla., March 2019. The board also makes safety recommendations to regulators and the auto industry.

It is up to their sister agency, the NHTSA, to initiate recalls of vehicles, systems, or parts that are deemed defective or unsafe for use. It is also the responsibility of the NHTSA to set standards and reporting requirements for the safety and design of vehicles, including standards for fuel economy.

Federal action could affect Tesla’s ability to test its full self-driving systems as they do today – using customers and public roads as test pilots and proving grounds.

In the past, NHTSA has been reluctant to regulate automated driving systems from Tesla, GM, Volvo, and a host of other automakers and tech companies such as Amazon’s Zoox, Alphabet’s Waymo, and a number of startups.

Agency assistant administrator James Owens said he did not want to “hamper” innovation through premature regulation. Instead, the agency left the task mostly to the states.

Tesla’s self-driving contradictions

Today Tesla sells a premium software package for $ 10,000 and markets it as “Full Self Driving” (or FSD). The company said it will soon make FSD available on a subscription basis to those who want it but don’t want to pay the upfront fee.

Tesla is also offering select customers early access to a beta version of FSD – Effectively turn customers into software testers. CEO Elon Musk recently encouraged customers with FSD to sign up for beta access.

In addition to FSD, Tesla vehicles have a standard set of automated driving functions, the so-called autopilot.

Despite those names – which for some drivers mean they can operate Tesla electric vehicles hands-free – the company warns in its owner’s manual that autopilot and FSD require active monitoring.

Musk repeatedly persuades Autopilot and FSD to gain massive following on Twitter and in media interviews, but in accordance with regulators and in the fine print of Tesla’s financial reports, the company’s legal team is referring to these systems in a muted and more precise tone.

On April 22, 2019, at the company’s Autonomy Day presentation, the CEO promised that Tesla’s self-driving technology would be so good that in two years’ time Tesla would be making cars without steering wheels or pedals. At this event, he talked about a customer-specific chip that is supposed to enable self-driving functions.

On May 2, 2019, Musk confidently announced to investors in a fundraiser that autonomous driving would transform its electric vehicle business into a company with a market cap of $ 500 billion. A few days later, Tesla completed an oversubscribed offering of stocks and convertible bonds valued at $ 2.7 billion. At the time, its market cap was under $ 50 billion. Now it’s more than $ 600 billion.

That year, on the Feb.11 episode of the Joe Rogan Experience podcast, Musk said, “I think autopilot gets good enough that you don’t have to drive most of the time unless you really want to.”

And yet, in sharp contrast to Musk’s promises, Tesla calls its autopilot and full self-driving options just “advanced driver assistance systems,” according to the company’s latest financial file. And in accordance with the California Department of Motor Vehicles last year, Tesla rated its fully self-driving option as just “Level 2”.

“Level 2” refers to vehicles with some automated functions, but which require the driver to remain alert and keep their hands on the steering wheel. The highest level, level 5, would be a fully autonomous vehicle that never requires driver intervention.

DMV correspondence was first obtained from the Think Computer Foundation and published by Plainsite, an online database of public records and court documents that are otherwise difficult to access.

CNBC approached Tesla and the company’s acting general counsel, Al Prescott, for comment, but they did not respond immediately.

Clear rules could help the industry

Sumwalt’s inquiries to the NHTSA seem straightforward: he asked the agency to ask the automakers to do so Integrate collision avoidance systems into all vehicles – the NTSB has investigated several Tesla autopilot incidents – to provide robust driver monitoring systems and add protective measures that ensure drivers do not use automated driving systems that go beyond the conditions and areas in which they are safe You this.

For Tesla specifically, he recommended that the NHTSA investigate Tesla autopilot vehicles to determine if the system’s operating limitations, the predictability of driver abuse, and the ability to operate the vehicles outside of the intended ODD [operational design domain] pose an unreasonable security risk. “He added,” To date, NHTSA has shown no indication that it is ready to respond effectively and in a timely manner to potential security flaws from AV. “

Sumwalt also wants the NHTSA to make the safety reports to the federal government more specific and binding. Autonomous vehicle developers can currently provide their data voluntarily, but do not have to report it.

Despite Sumwalt’s criticism of the current processes, he commended the NHTSA for working with his agency and state and local governments to strike the right balance between rules and regulations regarding emerging vehicle technologies.

Having clear rules from a central location could help the autonomous vehicle industry in the US at large, said Taylor Ogan, CEO of Snow Bull Capital. Federal rules, even if strict, could align states and local authorities and reduce the patchwork of separate autonomous vehicle regulations in each region, he said.

Ogan is a longtime Tesla owner and proponent of Tesla and electric vehicles. His company, Snow Bull, is a long-time Tesla hedge fund that doesn’t sell stocks short.

He personally drives a 2020 Model Y Performance Tesla, which is equipped with the full self-driving option. It is his fourth Tesla. The investor said, based on his personal use of the vehicle, that he believes Tesla is the best Level 2 system on the US market today.

However, Ogan said, “My car can’t autonomously navigate a parking lot so I don’t know why people think these are working as a robotic axis. We don’t think Tesla can achieve level 3 or 4 autonomy – which means that there is no robot axis. ” – anytime soon with your current hardware. “

In his view, competitors are already outperforming Tesla in self-driving in China, where the company faces competition from Nio, Xpeng, and a joint venture between Didi Chuxing and BYD that is developing a driving “robotaxi” called the D1.

Here is the full letter from NTSB to NHTSA:

Correction: An earlier version of this article incorrectly stated that the NTSB is part of the US Department of Transportation. It was made independent from the DOT in 1974.

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A Inexperienced Wave? Mexico’s Marijuana Market Could Be Middling

MEXICO CITY – Mexico, a country that has been shaped by cartels for decades, is about to take an important step in drug policy. This week the House of Commons approved a landmark law legalizing recreational marijuana that would make it the world’s largest legal drug market.

Given that legalization is far from certain to garner Senate and President approval, many in the business world are predicting a Mexican green boom: a newly legal industry, tens of thousands of jobs, millions of dollars in profits for savvy entrepreneurs and welcome tax revenue for the US government.

However, many business analysts and economists are cautious, warning that the cannabis industry here is more of a green slip than a boom. The opening of a legal market is more legal and symbolic than economic in nature, they argue, citing relatively low domestic demand and low export opportunities for the product as well as seemingly restrictive regulatory measures.

“It’s hard to see any obvious far-reaching implications for the Mexican economy,” said Jeffrey Miron, an economist at Harvard University. “You will see a small drag on measured GDP,” he added, “but the people who claim that legalization will make this a big boost to the economy make no sense at all.”

But industry sponsors are excited about the prospects.

The cannabis industry “is finally going to generate income in terms of employment, in terms of the local economy, in terms of taxes,” said Erick Ponce, a Mexican entrepreneur and president of the Cannabis Industry Promotion Group, a local research and advocacy group.

“We definitely see it as a major economic boom for the country, especially in the middle of a pandemic,” added Ponce.

The Mexican marijuana industry could be worth up to $ 3.2 billion annually, and big cannabis companies like Canada’s Canopy Growth are already watching the market, according to a January report by a cannabis data analytics firm, New Frontier Data.

But Canada can be a cautionary story. Ahead of its own legalization in 2018, investors and analysts predicted a surge in cannabis cash, but the deal was not a sweeping success.

In the final quarter of 2020, the country’s national statistics agency estimated that consumers were spending Canadian $ 918 million (about $ 736 million) on legal weed products, significantly less than predicted prior to legalization. The result was sluggish and most manufacturers are still reporting losses running into the millions. In December, Canopy Growth announced it was closing five facilities and laying off more than 200 employees to accelerate profitability.

“The green rush part didn’t happen,” said Michael Armstrong, associate professor at the Goodman School of Business at Brock University in Ontario. “It was a positive boost for Canada, but by no means a dramatic one.”

Official figures show that Canada, with a much smaller population, has many more regular users than Mexico: Before legalization, around 15 percent of Canadians said they had smoked marijuana in the past three months, according to the national statistics bureau, a consumer base of more than 5 million potential users.

In contrast, a 2016 study by the Mexican government found that only about 1.2 percent of the population aged 12 to 65 said they had smoked a pot in the previous month, and 2.1 percent, about 1.8 Million, last year.

Legalization advocates argue that such numbers are misleading: in a country like Mexico, where the majority of the population is against weed legalization, many people do not admit to smoking it.

“Cannabis is a problem with stigma, with taboo,” said entrepreneur Ponce. “We don’t really know the impact of the local market because there are no real statistics.”

But even if surveys underestimate the number of potential consumers, most experts downplay the size of the market in Mexico.

“I don’t think there will be much demand,” said Jorge Javier Romero Vadillo, political scientist at the Autonomous Metropolitan University in Mexico. And “I don’t think this regulatory process will significantly increase demand.”

Romero said the new law’s stringent licensing requirements for the cultivation, packaging and sale of marijuana could keep smallholders and sellers out of the legal market.

“With the rules they want to apply, which are very restrictive, they are going to open a tiny market,” he said. “They are rules that are so strict, with a barrier to entry that is so high that few will choose to enter the legal market.”

California, which legalized recreational marijuana in 2018, had similar teething troubles: In the first year of legalization, legal vendors in the state sold $ 500 million less than the previous year when it was licensed for medical use only.

According to Daniel Sumner, director of the Center for Agricultural Issues at the University of California at Davis, strict regulations and high taxes kept the majority of California producers and sellers in the gray or black market. In many communities, marijuana-related businesses have faced severe local opposition.

Sales have increased significantly recently as the number of licensed growers and vendors has gradually increased and the state introduced cannabis taxes of $ 1 billion last year, according to Sumner.

“It’s a formidable business,” he said, but “it’s a drop in the ocean” in the context of California’s annual budget of more than $ 200 billion.

With a relatively small consumer base and complex regulatory measures, Mexico’s recreational market is unlikely to come close to that, analysts say.

Instead, some industry leaders say the real money in Mexico may be in medical cannabis, which has been legal in Mexico since 2017, as well as industrial hemp, which is also regulated in the new bill and could be used to make anything from plastics to paper.

“The marijuana market is a very small market,” said Guillermo Nieto, president of the National Cannabis Industries Association, a Mexico City-based trade group. “Agriculturally, liking industrial hemp legalization won’t help us.”

In the short term, some business people say Mexico’s biggest gains could be doing what Mexico is already best at: manufacturing – in this case, possibly cannabis products such as supplements and cosmetics.

Still, the biggest impact may be more symbolic than monetary: As the largest economy to legalize the drug to date, Mexico, home to around 128 million people, could encourage other countries, including its northern neighbor, to follow suit.

“Sometimes it’s nerve-wracking to be the first to step into a pond that could be infested with sharks,” said Miron, the Harvard professor. “But when four or five other people have done it and it’s okay, more people will try.”

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Treasury yields increased following stimulus, vaccine information

Traders on the floor of the New York Stock Exchange

Source: The New York Stock Exchange

The yield on 10-year government bonds reached its highest level in over a year on Friday. This is a sign of optimism on an economic comeback, but it also reflects heightened fears of inflation after the $ 1.9 trillion stimulus package came into effect.

The yield on the 10-year benchmark Treasury note rose 9 basis points to 1.619% at 9:40 am CET and briefly reached 1.642%, its highest level since February 2020. The yield on the 30-year treasury bond rose 10 basis points to 2.382%. The returns move inversely to the prices and 1 basis point equals 0.01%.

“The bearish of bonds was compounded by Biden’s return to normal time update. The president has outlined a path out of the pandemic that would bring the US back to some semblance of normality by July 4th,” said Ian Lyngen, rate strategist at BMO Capital Markets, wrote in an email on Friday.

“While last week the Friday afternoon bear pattern has been a significant challenge that has been felt for much of this year, when we think about the information on offer, there is little else we can do to prevent the higher variance in returns the remaining price movements in other markets. “

The yield curve between the 2-year rate of return and the 10-year rate of return reached 1.486%, the highest spread since September 2015.

The yield curve for government bonds is the interest rate difference between different maturities of bonds. When it gets steeper it is considered a positive sign for the economy. Meanwhile, a flattening curve is seen as a warning of economic weakness.

The volatility in returns weighed on US stocks, with the S&P 500 falling 0.3%. The tech-heavy Nasdaq Composite lost more than 1% on concerns about rising interest rates.

Government bond yields rose after Biden signed the $ 1.9 trillion coronavirus relief package Thursday afternoon.

The plan calls for direct payments of up to $ 1,400 to most Americans. Direct deposits will come into Americans’ bank accounts as early as this weekend, White House press secretary Jen Psaki said Thursday.

In addition to announcing his plan to make Covid vaccines available to all adults ages 18 and older, Biden said in his first prime-time address Thursday night that hopefully Americans should be able to gather in small groups around the to celebrate the fourth of July.

Yields were also higher after the number of weekly new jobless claims fell lower than expected on Thursday, reaching 712,000 for the week ended March 6, down from the estimate of 725,000.

The 10-year yield has been rising rapidly lately, increasing from 1% since late January amid concerns about rising inflation. These concerns were compounded by fears that the US government’s tax relief package, in addition to reopening the economy, could stimulate it too quickly and cause prices to rise.

Investors will watch out for the Federal Reserve’s decision on interest rates over the next week and for comments on the central bank’s stance on rising bond yields.

“If the bond sell-off intensifies ahead of the March 17th FOMC decision, the Fed may have to finally take action against the movement in government bond yields,” Edward Moya, senior market analyst at OANDA, told clients. “The Fed has clearly been sticking to the script that tighter financial conditions or disorderly markets would warrant action. If yields stay at a rapid rate, they will get clamor.”

There are no auctions on Friday.

– with reports from Jesse Pound, Yun Li and Tom Franck of CNBC.

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In Nigeria, ‘Feminist’ Was a Frequent Insult. Then Got here the Feminist Coalition.

LAGOS, Nigeria – During the largest demonstrations in Nigeria’s recent history, 13 women came together to support their fellow citizens who risked their lives to march against police brutality.

The women were all in their 20s and 30s. All at the top of their fields. Many had never met in person. They found each other months earlier on social media and called their group the Feminist Coalition. They jokingly called themselves “The Avengers”.

“We decided that if we don’t step in, the people who suffer the most would be women,” said Odunayo Eweniyi, a 27-year-old technology entrepreneur and founding member of the Feminist Coalition.

They raised hundreds of thousands of dollars through crowdfunding websites last year to support protesters who took to the streets to denounce human rights abuses by a police unit called the Special Anti-Robbery Squad (SARS). The Feminist Coalition provided the demonstrators with basic services: legal aid, emergency food, masks, raincoats. But when peaceful protesters were shot by the military and the demonstrations ended, the Feminist Coalition did not.

Now their goals are set higher. They want equality for Nigerian women and focus on issues such as sexual violence, women’s education, financial equality and political representation.

The struggle for equality will not be easy. A gender equality law first introduced in 2010 has been repeatedly rejected by the male-dominated Nigerian Senate.

And then it comes down to being proud feminists in a country where the word feminist is often used as an insult.

For years it has been difficult to identify as a feminist in Nigeria. The coalition’s decision to use the word on behalf of the organization and the female symbol in its yellow logo was highlighted. Many of the protesters who benefited from their support were men – and not all had supported women’s rights.

“We only used the word because we wanted to let them know where the money was coming from,” said Ms. Eweniyi.

We spoke to some women behind the Feminist Coalition about why they joined and what they want to change in Nigeria.

Before Oluwaseun Ayodeji Osowobi founded her non-profit Stand To End Rape in 2014, it was common practice to open the newspaper in Nigeria and find a picture of a rape victim in crime coverage without thinking about what that public identification might be affecting her life. Women were raped and killed without consequences. Many health care providers had no idea how to gather evidence of rape.

Ms. Osowobi, 30, seeks to change attitudes by changing public order and practices. Her nonprofit runs seminars to help people prevent sexual violence and a rape survivor network where survivors can share experiences, care for one another, and feel less alone. She has worked on laws that prohibit sexual harassment and violence.

But usually men decide whether or not to pass such laws.

“We need more women to get into these rooms and make important guidelines and decisions that reinforce other people’s voices,” said Ms. Osowobi.

It was Tito Ovia’s National Youth Service who made it clear to her that she wanted to work for public health. At the Nigerian AIDS Control Agency, she found that a lack of data made it difficult to tell whether the money spent on HIV / AIDS prevention made a difference.

Ms. Ovia, 27, co-founded a company with friends in 2016 to ensure that health care across Africa is driven by data and technology. Helium Health has helped hospitals and clinics build electronic health records and hospital management systems.

She said she did not expect the Feminist Coalition’s work to be serious enough to support protesters as they risked their lives to try to change a police system that brutalized young people.

“I thought it would be a lot more fun, don’t let me lie,” she said with a laugh. “I thought we would meet, we would drink, we would complain about men. We would work a little. I didn’t know life was going to be threatened. “

Before joining the Feminist Coalition, 30-year-old Damilola Odufuwa founded Wine and Whine, a self-help group for Nigerian women.

She wanted to create a safe and fun place where young women could get together, have a drink, and complain about sexual harassment in the workplace, marriage pressures, the patriarchal system and its gatekeepers, and other frustrations – and then start finding solutions.

Ms. Odufuwa, the Africa public relations director for a major cryptocurrency exchange, had recently returned to Lagos from the UK to start Wine and Whine. She was impressed with the way women were treated in Nigeria.

She and her co-founder Odunayo Eweniyi – the same duo behind the Feminist Coalition – ensured that Wine and Whine also wore his feminism as a badge of honor.

“We’re a feminist organization,” Ms. Odufuwa told a male talk show host in a 2019 interview about Wine and Whine.

“Oh!” replied the hostess, sounding surprised when she used the word.

“We are very feminist,” she replied with a laugh. “Your reaction tells me that feminism is perceived as that bad thing.”

Odunayo Eweniyi, a 27-year-old tech entrepreneur, wasn’t sure how big it would be to put “feminist” in the group’s name.

“It shouldn’t be a hunt for the entire movement,” she said. “To be honest, I am now very proud that we used the word feminist because people are dealing with it in a way that the word feminist does not equate with the word terrorist.”

Although Nigeria has a history of feminist movements, identifying as a feminist is seen as radical.

Ms. Eweniyi recently got tattoos of her favorite equations: Schroëdinger’s equation, the golden ratio and the uncertainty principle.

She works to reduce the insecurity in the lives of Nigerian women.

The savings app startup Piggyvest, launched by Ms. Eweniyi in 2016, addresses one of the main problems identified by the Feminist Coalition – financial equality for women. The idea is that people should be able to save and invest even small amounts of money. It has more than 2 million customers – men and women.

As the anchor of one of the biggest Nigerian television news shows, Laila Johnson-Salami vividly remembers her male co-host who told a producer to say his name first.

But she was fearless. Via Newsday, the program on the television channel Arise, she kept Nigerians informed of the protests, which adopted the hashtag #EndSARS.

At 24, she is the youngest member of the coalition. Their main goal is to attract a younger audience. And recently she started a podcast that can help with this.

She uses her platform to hold politicians accountable but said, “If there’s one thing I know for sure in this life, it’s that Laila will never get into politics.”

The interviews that Ms. Johnson-Salami conducts on the Broken Record Podcast are very different from her television interviews. They talk extensively about everything from the importance of vulnerability to adoption and investment.

“Time is up, it’s over,” tweeted Fakhrriyyah Hashim in February 2019. “You are done getting away with monstrosities against women.”

Her tweet started the #MeToo movement in northern Nigeria. In it, Ms. Hashim coined the hashtag #ArewaMeToo – Arewa means “north” in Hausa, a West African language spoken by most northern Nigerians.

In a very conservative region where Ms. Hashim, 28, called a “culture of silence,” #ArewaMeToo has sparked a flood of testimonies about sexual violence. The Sultan of Sokoto, the highest Islamic authority in Nigeria, banned it when it spilled into street protests from social media.

Another campaign launched by Ms. Hashim, #NorthNormal, urged Nigerian states to implement laws that criminalize violence and broaden the definition of sexual violence.

Her women’s rights activism has brought her death threats and abuse. Now she has put some distance between herself and the people behind these threats after accepting a scholarship at the African Leadership Center in London.

The Feminist Coalition members all worked from home because of the pandemic. She was also able to raise awareness and resources online during the #EndSARS protests in London.

“I knew we would achieve all of the goals and targets we set,” said Ms. Hashim.

An estimated two-thirds of Nigerian girls and women do not have access to sanitary towels. You can’t afford it.

Karo Omu, 29, has been fighting for four years to bring sanitary towels and other hygiene items to Nigerian girls. It focuses on girls in public schools who come from low-income families and girls who have had to flee their homes and live in camps.

There are 2.7 million internally displaced people in northeastern Nigeria as a result of the violent and uncontrolled uprising by the Islamist group Boko Haram and its offshoots. And for many women and girls who live in the camps, it is a struggle to get enough food and clothing, let alone expensive sanitary towels.

Her organization, Sanitation Aid for Nigerian Girls, is handing out reusable pads bought with money crowdfunded by Ms. Omu and her colleagues to help girls worry less. Some of the girls they helped had never had a block before.

“Women’s problems are fought by women,” she said.

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World News

GDP development goal over 6% is straightforward to succeed in, analysts say

China’s target of more than 6% growth for 2021 isn’t very telling as it’s easy to achieve – but that’s not necessarily a bad thing, analysts told CNBC this week.

“It’s almost the same as having no growth target there because it’s so easy to get to,” said Michael Hirson, head of the Eurasia Group for China and Northeast Asia.

Simon Baptist, chief economist at the Economist Intelligence Unit (EIU), echoed the same sentiment.

“It will be easy to get to,” he told CNBC’s Street Signs Asia on Thursday. “It’s kind of a goal that you have when you don’t really want a goal.”

Chinese Premier Li Keqiang announced last week that the country is targeting economic expansion of more than 6% this year. He spoke at the opening ceremony of the National People’s Congress in China.

Speaking to reporters on Thursday evening, at the end of the annual parliamentary session, Li said China’s target is not low. The 2021 target should be the same as 2022 to avoid large swings, he said.

“By setting the GDP growth target above 6%, we have left options open, which means that there may be even faster growth in actual delivery,” said the Prime Minister.

The EIU predicts China’s growth will be 8.5% this year, more than 2 percentage points higher than the official target, Baptist said.

Focus on quality

To be clear, having an easy-to-achieve goal isn’t pointless, analysts said.

Eurasia’s Hirson said this was in line with China’s desire to put quality over quantity.

“It brings a message home to local authorities and the rest of the system: don’t strive for growth goals, focus on the quality of growth, and I think that’s spot on,” he told CNBC’s Street on Thursday Signs Asia “.

Additionally, he noted that the country’s five-year plan does not have an average growth target, showing “persistent de-emphasis on reaching rigid” numbers.

Baptist from the EIU said previous growth targets have historically created “dangerous imbalances in the Chinese economy”, including debt accumulation, as the country pushed certain sectors to meet these “very ambitious goals”.

However, with the number low for 2021, these issues are unlikely to be fueled any further, he added.

“Indeed, the fact that it is so far below what China is likely to achieve only at a gallop shows that China’s economic policy will be a little tight and that fiscal and monetary support will decline,” he said.

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World News

Tanzanian President’s Absence Fuels Hypothesis About His Well being

NAIROBI, Kenya – When an unrecorded number of Tanzanians succumbed to the coronavirus, the country’s president consistently downplayed the pandemic, opposed protective measures, scoffed at vaccines and said God helped eradicate the virus.

Well, President John Magufuli’s unusually long absence from the public is fueling speculation that he himself is seriously ill with Covid-19 and is being treated outside of the country.

Rumors started buzzing this week after Tanzania’s leading opposition, Tundu Lissu, said Mr Magufuli was infected with the virus and was being treated at a hospital in neighboring Kenya. In a text message, Mr Lissu said he learned from “fairly authoritative sources” that the president was flown to the Kenyan capital, Nairobi, on Monday evening and checked into Nairobi Hospital, one of the largest private facilities in the country.

On Tuesday, Mr Lissu asked the authorities to reveal the whereabouts of the president, who has not appeared publicly for almost two weeks. On Wednesday, he said that Mr. Magufuli was rushed to a hospital in India to “avoid being embarrassed on social media” if “the worst happens in Kenya”.

Mr. Magufuli did not attend a virtual summit for leaders of the East African regional bloc on February 27 and was represented by Vice President Samia Suluhu Hassan.

“The most powerful man in Tanzania is now sneaking around like an outlaw,” said Lissu in a Twitter post on Wednesday.

“His COVID denialism in ruins, his folly about prayer over science has turned into a deadly boomerang,” he said in another post on Thursday.

Comments from Mr. Lissu came after the Tanzanian human rights organization Fichua Tanzania said Mr Magufuli had left the country to seek treatment in Kenya.

With speculation on social media about his whereabouts and illness remaining widespread, the Kenyan newspaper Daily Nation also reported that an “African leader” had been admitted to the Nairobi hospital, citing diplomatic sources saying the The leader is “on a ventilator”.

While these and similar rumors about the president’s health were circulating, government officials defended President Magufuli and threatened to punish these circulating presumptions about his health.

Updated

March 11, 2021, 4:04 p.m. ET

“The head of state is not a TV presenter who had a show but didn’t show up,” said Mwigulu Nchemba, Minister for Legal and Constitutional Affairs, in a Twitter post. “The head of state is not the leader of jogging clubs that should be in the neighborhood every day.”

Information Minister Innocent Bashungwa warned the public and the media that using “rumors” as official information was against the country’s media laws.

From At the start of the pandemic a year ago, the 61-year-old Magufuli railed against masks and social distancing measures, advocated unproven cures as cures, and said the country “absolutely ended” the virus through prayer. Popularly known as “The Bulldozer”, Magufuli also questioned the effectiveness of vaccines, arguing that if the vaccines made by “The White Man” had been effective, AIDS, tuberculosis and malaria would have been eradicated.

Under the leadership of Mr Magufuli, which began with his election in 2015, Tanzania, once a model of stability in the region, has slid towards autocracy and authorities cracked down on the press, opposition and right-wing groups. Mr Magufuli won a second five-year term last October in an election marked by allegations of widespread fraud and irregularities.

Mr Lissu, who was the main opposition candidate against Mr Magufuli, left the country to go into exile in Belgium, where he is staying.

As of last April, Tanzania has not disclosed any data on the coronavirus to the World Health Organization, reporting only 509 cases and 21 deaths from Covid 19. This lack of transparency has been widely condemned, including by WHO Director General Dr. Tedros Adhanom Ghebreyesus.

Last May, the head of the national laboratory in Tanzania was suspended after Mr Magufuli questioned the effectiveness of the test kits supplied by the Africa Centers for Disease Control and Prevention. Mr Magufuli said the kits had shown positive results on samples secretly taken from a goat and a papaya fruit – allegations that have been rejected by the CDC in Africa and WHO

When lawmakers sounded the alarm over a spate of pneumonia deaths, health experts and foreign diplomats urged the government to take the pandemic seriously.

In January, the US embassy in Dar es Salaam, the former capital and largest city of Tanzania, warned of a “significant increase” in Covid-19 cases. The Roman Catholic Church has also urged the government to admit the truth of the virus and urged its parishioners to avoid large gatherings.

Tanzanian leaders like Seif Sharif Hamad, the first vice president of the semi-autonomous Tanzanian island of Zanzibar, have died after contracting the coronavirus. Shortly after it became known that Mr Hamad had succumbed to the virus last month, Treasury Secretary Philip Mpango appeared at a press conference in the Tanzanian capital, Dodoma, to deny rumors that he too had died. However, Mr. Mpango was not particularly comforting when, flanked by exposed doctors, he began to gasp violently and cough restlessly.

Finally, under pressure, in late February, Mr Magufuli changed course and asked people to wear masks and take advice from experts.

But it was not too late for Mr Lissu.

“It is a sad comment on his administration of our country that this has happened,” said Mr Lissu in a post on Twitter about the infection of Mr Magufuli, which is evidence that “prayers, steam inhalations and other unproven herbal mixtures are being used are.” Advocates are no protection against coronavirus! “