Tuesday Watch

Today's Headlines

Bloomberg:

• China Keeps Weighing on World in View of Economists at Davos.
• US Merchant Vessel Struck as Shippers Told to Avoid Red Sea.
• Japan’s Input Inflation Flatlines for Weakest Result Since 2021.
• Australia’s Consumer Sentiment Extends Pessimism Into 2024.
• Ukraine Peace Plan Talks in Davos End With No Clear Path Forward.
• Asia Stocks Lower; Oil Steady After Monday Decline: Markets Wrap.
• Oil Edges Higher as Red Sea Tensions Elevate Crude Market Risks.
• Add Soaring Insurance Bills to Mounting Red Sea Trade Chaos.
• Republicans Battle for Runner-Up as Trump Leads Iowa Caucuses.
• Iowa Republicans Rank Immigration as Top Issue Ahead of Economy.
• Elon Musk Wants Greater Control of Tesla Before Building Its AI.
• A Pessimist’s Guide to Global Economic Risks in 2024.
• AI Can Convincingly Mimic A Person's Handwriting Style, Researchers Say. 
• Retirement Savers Are Putting More Money Into Stocks, Survey Shows.

Zero Hedge:

• "It's All Over": Powell's WSJ Mouthpiece And JPMorgan Confirm Imminent End Of QT.
• When DEI Becomes DIE: FAA Now Hiring People With "Severe Intellectual And Psychiatric Disability".
• Fani Opens Up: Fulton County DA Says 'You Cannot Expect Black Women To Be Perfect And Save The World'.
• Americans Divided On Progress Made Since 'I Have A Dream' Speech.
• Pro-Palestinian Rioters Nearly Breach White House Gate In Clash With Police.
• Iran Launches Ballistic Missiles Against Foreign 'Espionage Centers' In Iraq's Erbil.
• Defense Secretary Austin Finally Leaves Hospital After 2 Weeks, Refuses To Resign.
• Martin Luther King Jr Day News Round Up - Newsquawk Asia-Pac Market Open.
• FDA Launches Fresh Bid To Toss Out High-Profile Ivermectin Case.
• Lawfare Against Trump Is Running Out Of Gas: VDH.
• Houthi Militants Attack US Container Ship With Ballistic Missiles Days After Biden Attack On Yemen.
• Death, 'Disease X', & "Rebuilding Trust" With The Denizens Of Davos.
• UC Davis Brags About "Advancing MLK's Legacy" Through DEI Programs. Still Employs Prof After Homicidal, Anti-Semitic Rant.
• S&P Bulls 'Be Careful What You Wish For': Goldman Exposes The 'Casualty' Of The Fed's Pivot.
• Biden Angry With Republicans Trying To Stop Kids Seeing Gay Porn.
• Secret German MoD Document Lays Out Path To World War III.
• China Sidesteps Nvidia Chip Ban As Military, Government Acquire Powerful H100s.
• Goldman: We Are Priced For Perfect Disinflation, Which Is Not A Comfortable Place To Be.
• Price Wars Spark Rout In China's Consumer Sector.
• Qatar Pauses LNG Shipments In Red Sea After US Bombs Houthis.
• Massive Money-Printing Will Accelerate As Debt Soars.
• Illinois Governor Complains About Migrant Buses - Blames Republicans For Border Crisis.
• Eroding Europe Profit Forecasts Are Risk For Stocks. 
• NBC News Admits 'Deep State' Exists... To Save Us From Trump's Return.
• GS bankers see a strong pick up in M&A interest YTD.
• Which Jobs Have A Future?
• "It's The Economy, Stupid!" - The Real Reason So Many Young People Are Living With Their Parents. 
• Fed's Bostic believes rates need to stay on hold until at least the summer - Newsquawk Europe Market Open.

Wall Street Journal:

• Trump Seeks Big Win in Iowa Caucuses as Voting Begins.
• How Trump Became Unstoppable in Iowa.
• Medicare Patients on Pricey Drugs Are Saving Big This Year.
• Forget the Meme Stocks, Investors Hunt for Quality.
• Shoppers Prefer Staying Outdoors. That’s More Trouble for Malls.
• Boeing’s Pile of Problems Gets Bigger as a Crucial Buyer Hesitates.
• The Humiliation of Davos Man. He isn’t taking over the world. He’s pleading with the world to trust him.
• Crash Parties, Escape Dull Chitchat and Make Powerful Friends: What Davos Elites Know6 min read.
• Robots Are Looking Better to Detroit as Labor Costs Rise.

CNBC:

• AI fever takes over Davos pushing crypto aside as the new cool kid on the block.
• Redesigned Apple Watches not subject to import ban, U.S. Customs says.
• NYSE vice-chair sees ‘robust’ pipeline of potential IPOs in 2024.

Reuters:

• 'Precarious' year ahead for world economy, Davos survey predicts.
• Microsoft offers $20 consumer AI subscription to boost business.
• Toy manufacturers' shift from China is no child's play.
• Bank valuations could rise by $7 trillion in five years, study finds.
• Apple offers iPhone 15 at rare discount in China as competition intensifies.

MarketWatch.com:

• Baidu denies Chinese military link after report sent stock tumbling.
• Goldman Sachs lists 10 reasons it’s more confident about the U.S. economy.

NewsMax:

• 'MAGA' Strong Among Likely Iowa GOP Caucus Voters.

Fox News:

• Fauci’s former boss who downplayed COVID lab leak theory now says it was credible.
• Former Biden aide shreds 'Bidenomics' message in blunt message to White House.
• Texas university mocked for woke science course with no final exam.
• Dr. Drew sounds alarm over ‘extremely worrisome’ findings on pot.

TheGatewayPundit.com:

• Woke Mark Cuban Gets O’Keefed, Goes on Nasty X Rant Calling James O’Keefe a “Mother***ing P*ssy” for Questioning His DEI Stances at the Gym, Asking Why he Won’t Let Short Asian Women on his Basketball Team.
• Explosions Rock US Consulate in Erbil, Iraq – Iran Claims Responsibility – Feeble Joe Biden Calls an Early Lid.
• Biden Hammered for His ‘Unconscionable War’ on Faith.
• Texas Attorney General Ken Paxton Addresses Blank Ballot Adjudication Concerns, Demands Release of Machine Audit Logs.
• REPORT: Iranian IRGC Commanders and Advisers ON THE GROUND in Yemen Directing the Attack on Ships.
• Fully Vaxxed and Boosted “All My Children” Actor Dies Suddenly at Age 50 – COVID Suspected as Cause of Death.
• WATCH: Junk Scientist and Serial Liar Al Gore Makes Absurd Global Warming Prediction “Once We Get to True Net Zero”.
• DEVELOPING: Texas Grid Operator Asks Residents to Conserve Energy, Unplug Appliances, Amid Bitter Cold Snap Due to Issues with Solar, Wind Generation.
• BREAKING: Houthi Missile Hits a US-Owned Cargo Ship in the Red Sea.
• Thousands of German Farmers and Truckers Paralyze Berlin, Calling for Radical Left Wing Government to Step Down.
• Nikki Haley Donor Reveals Where Her Money is Coming From During Interview with Never-Trump Fox News Host Neil Cavuto (VIDEO).
• Rand Paul Fires Off on What He Really Thinks Fauci Deserves: ‘Frankly, He Should Go to Prison’.

The Epoch Times:

• The Corruption of the CCP’s Satellite Launch Center Deserves Attention.
• Taiwan Loses Nauru as Ally Days After Elections Amid Tension With China.

OpenVAERS:

• VAERS US COVID Vaccine Adverse Event Reports. 997,917 Reports(+9,212 from prior week) Through November 3rd, 2023.

SKirsch.com:

• Using the MGH numbers with our own VAERS queries, we have 247 cases per million doses from the MGH study divided by 5.97 cases per million doses from VAERS. 247/5.97 = 41. This suggests that the VAERS under-reporting factor (URF) is 41X.

Night Trading

• Asian indices are -.75% to +.25% on average.
• Asia Ex-Japan Investment Grade CDS Index 98.0 +1.0 basis point.
  
• China Sovereign CDS 64.0 +2.75 basis points.
• China Iron Ore Spot 127.5 USD/Metric Tonne +.03%.
  
• Bloomberg Emerging Markets Currency Index 41.2 -.12%.
• Bloomberg Global Risk-On/Risk Off Index 57.4 -.9%.
• Bloomberg US Financial Conditions Index .96 unch. 
  
• Volatility Index(VIX) futures 14.9 +2.8%. 
• Euro Stoxx 50 futures -.31%.
• S&P 500 futures -.28%.
• NASDAQ 100 futures -.37%.

Morning Preview Links

BOTTOM LINE: Asian indices are mostly lower, weighed down by consumer and technology shares in the region. I expect US stocks to open modestly lower and to rally into the afternoon, finishing mixed.  The Portfolio is 75% net long heading into the week.