1. China Sovereign 5 Yr CDS Blowout.
I may have jumped gun yesterday on calmness of China money market chart…..CDS Blowing Out.
BY TYLER DURDEN-ZEROHEDGE
One glance at global markets this morning suggests, at a minimum, that risk is being de-grossed across everything from European utilities to cryptos to US materials stocks.
However, the biggest – and ultimate-est – contagion is that of China’s sovereign risk itself… and that is starting to blow out…
This sudden surge in default risk on China’s sovereign debt is very significant in the context of China’s constant reassurance to the rest of the world that it is solid-as-a-rock (just as Larry fink, but don’t ask George Soros). However, we do note that China CDS spiked to around 90bps in March 2020 (as the COVID crisis hit) and around 150bps in early 2016 (accelerating after China devalued the yuan in late 2015).
The question is, of course, where will this stop this time? How much ‘risk’ is China willing to take with its sovereign risk?
https://www.zerohedge.com/markets/ultimate-contagion-china-sovereign-risk-starting-blow-out
2.China Real Estate ETF -44% from Highs.
CHIR ETF trading at half of book value.
3.China Internet ETF Holding Previous Low
KWEB China Internet ETF held August low…..August low was above previous Covid low see March 2020 on chart
China Small Caps holding up relatively well…15% off highs…50day still well above 200day on chart
4.Money Market Funds 2021 vs. 2008 Great Financial Crisis.
5.Hedge Fund Bets on Higher Commodities Falls to 11 Month Low.
Speculators slashed wagers on further price gains for agricultural markets such as soybeans, corn and hogs, and turned actively bearish on wheat, amid an improved supply outlook. That more than offset an increase in bullish bets, particularly in energy markets, as disruptions in U.S. production following two hurricanes led to a surge in prices during the past few weeks, Bloomberg reports.
From Dave Lutz at Jones Trading
6.Producer Price Index +8.8% vs. Consumer Price Index +5.5%…Something has to give, either producers have to pass on price increases or commodities have to come down in price.
Producer Prices +8.8%
Producer Prices +8.8%
https://fred.stlouisfed.org/series/PPIACO
7.2021-Share of Oil Reserves by Country….93.5% from 14 Countries.
8.Cybersecurity Job Growth.
In the United States alone, jobs for Information Security Analysts are expected to grow by 15% by 2024.
https://www.franklin.edu/blog/is-a-masters-degree-in-cyber-security-worth-it
https://www.indeed.com/lead/cybersecurity-outlook-2019
9.College graduate starting salaries are at an all-time high—and these 10 majors earn the most
Abigail Johnson Hess@ABIGAILJHESS
Despite a global pandemic that caused massive unemployment and slashed earnings among working-class Americans, starting salaries for recent college graduates continue to rise.
According to a recent report from the National Association of Colleges and Employers, the average starting salary for the college Class of 2020 was $55,260 — 2.5% higher than that of the Class of 2019 ($53,889 ) and 8.5% higher than the Class of ’18 ($50,944).
Among graduates who majored in science, technology, engineering and mathematics fields, average earnings were even higher.
“In some cases, salary increases most likely reflect these unique times,” says Shawn VanDerziel, NACE executive director. “For example, the increased demand for nurses as front-line workers during the Covid-19 pandemic may have fueled the 2.1% increase in the average starting salary for registered nursing majors, from $57,416 for these graduates from the Class of 2019 to $58,626 for Class of 2020 registered nursing graduates.”
“Technical majors typically are the highest paid as they are usually the highest in-demand,” explains Andrea J. Koncz, NACE research manager. “Also, as a result of the Covid-19 pandemic and the greater need for technology in the new ‘virtual world’ that we live and work, the computer-related majors account for 4 of the top 10 paying bachelor’s degrees from the Class of 2020.”
This trend has also been observed by other researchers.
A recent analysis of Department of Education data of 2.2 million college students who graduated in 2015 and 2016 and their early career earnings by public policy group Third Way found that STEM degrees provide some of the highest return on investment for graduates.
STEM degrees “tend to have the strongest job prospects, so they can start earning a lot of money right after graduating,” Third Way senior fellow Michael Itzkowitz tells CNBC Make It.
Beyond highlighting the financial benefits of earning an advanced degree, the pandemic has also shed light on how educational opportunity impacts the physical health of Americans.
According to a March study published in the Proceedings of the National Academy of Sciences, life expectancy for the two-thirds of Americans without a college degree is declining — creating a growing gap in life expectancy between those with and without a secondary education.
“When you look at the data, you see life expectancy rising until 2012, and then it starts going down for people without a B.A.,” Sir Angus Deaton, professor of economics at USC and Princeton University and one of the study’s co-authors, previously told CNBC Make It. “The decrease in life expectancy is happening not to everybody, but to Americans who do not have a four-year college degree. There is a huge educational divide.”
10.10 Surprising Things Successful Leaders Do Differently
ContributorOver the last three years, I’ve interviewed over 200 highly successful CEO’s, military officers, entrepreneurs and leadership gurus including John C. Maxwell, Ken Blanchard, Stephen M.R. Covey, Liz Wiseman, Kim Scott, Patty McCord and others. I always get them to reveal their number one secret to leadership; what advice would they give to a younger version of themselves? After analyzing their answers 10 themes emerged.
#1 Great Leaders Close Their Open Door Policy
Open door policies are passive ways to facilitate communication and do more harm than good. They make deep work and strategic thinking virtually impossible for the manager. Worse, research shows that half of all employees won’t go through the open door with problems or ideas because they fear repercussions. It’s time to close your door and open your calendar. Recurring, weekly one-on-one meetings are a far better way to proactively facilitate communication, and pre-scheduled “office hours”—perhaps an hour each day—is the best way to facilitate time-sensitive communication.
#2 Great Leaders Don’t Bring Smartphones Into Meetings
PROMOTED
If you use your smartphone in meetings, research from the University of Southern California’s Marshall School of Business suggests your colleagues probably think you’re being rude or unprofessional. Seventy-five percent of those surveyed thought it was inappropriate to read or write texts or emails in meetings, and 22% think it’s inappropriate to use the phone at all in any kind of meeting. And in a study titled “The Pen Is Mightier Than the Keyboard”, researchers discovered that when it comes to comprehension and memory, taking notes by hand was far superior to typing notes on a keyboard. To avoid distraction, to remain mindful and present, and to maximize recall, a leader should leave their smartphone in their desk and use good old fashioned pen and notebooks in meetings.
#3 Great Leaders Have No Rules
Every time we bump into a rule, it takes away a chance for us to make a choice or a decision. And it becomes “your” company, not mine. Rules crowd out conversation. Managers become rule enforcers instead of leaders. Instead of rules, have standards or guardrails that are rooted in company values. Use these standards as topics of discussion starting with recruiting and onboarding, and continuing throughout the employee life cycle. And when someone deviates from the values–the standards–well that’s a time for some feedback, that’s a coachable moment. Strive to model the Netflix culture of freedom with accountability.
#4 Great Leaders Are Likable, Not Liked
Are you a people pleaser? It’s normal to want to be liked, but it’s a problem if you have a need to be liked. A need to be liked causes managers to withhold direct, constructive feedback. It can lead to delayed decision making in the hopeless quest to get universal agreement. You don’t need to act like a jerk at work, but realize that your team members don’t need another friend, they need a leader who will coach them and advance their career, who will make the sometimes tough decisions to protect the team or advance the company. Replace your need to be liked, with a need to lead right. And replace your need to be liked by everyone, with the realization that if you are liked by your family and close friends, that’s enough.
#5 Great Leaders Lead With Love
Yes, I say leaders should love their team members. The Greeks called it agape; Professors Sigal Barsade and Olivia O’Neill call it companionate love. It’s the warmth, connection and caring we feel for humankind–absent the passionate kind of love. Leaders who care about their team members and show it achieve high employee engagement and business outcomes. Remember the words of the legendary basketball coach, John Wooden. He would tell his players, “I will not like you all the same, but I will love you all the same.”
#6 Great Leaders Crowd Their Calendar
Great leaders are obsessed with minutes. They know that every minute wasted or freely given away is another minute that can’t be spent coaching their team or on getting results. For best results, throw out your to-do list, and schedule everything. Identify your daily most important task and schedule it first thing in the morning (before interruptions and while you are cognitively at your best). Pre-schedule time to lead; schedule your recurring weekly one-on-one’s, your quarterly town-halls, your twice a year career path meetings. What about downtime? What about time to think? Yes, schedule that too. Great leaders, including LinkedIn CEO Jeff Weiner, actually schedule “nothing” time.
#7 Great Leaders Play Favorites
In a misguided attempt to be impartial and fair, too many managers treat all their team members the same. But it turns out that’s the most unfair thing we can do to people. And it’s the fastest way for you to lose top talent. Instead of treating everyone alike, you need to learn to individualize your leadership approach. You need to take the time to understand each of our team members when it comes to their: talent, experience, attitudes, strengths and goals. Then you play favorites, not based on who you like better, but based on who’s earned it.
#8 Great Leaders Reveal Everything
In traditional organizations information flowed “up” and the decisions came “down,” but to compete now, we have to replace “knowledge is power” to “sharing is power.” In his book Team of Teams, U.S. Army general Stanley McChrystal explained that radical transparency was a key to defeating Al Qaeda in Iraq because it enabled decision making to be pushed to the very lowest levels. In business, radical transparency means sharing everything, including all the financials needed to understand what makes the business work.
#9 Great Leaders Show Weakness
“Will you tell me about a time you failed?” It’s the first question I ask all my guests on the LEADx Leadership podcast. From Dan Pink and Captain Sully Sullenberger to Alan Alda and John Maxwell, I ask them to start with failure. Too many old school leaders believe “leadership is acting” or we must always wear a mask to project confidence and optimism. The best leaders today realize that authenticity and vulnerability are the fastest ways to earn trust. And as Stephen M.R. Covey told me, “Trust is the one thing that changes everything.” I’m not talking about striving to shed tears and share fears. That’s an inauthentic way of being authentic. Share your past failures as learning experiences. Share the bad news with the good. Drop your mask and be your unique self.
#10 Great Leaders Know: Leadership Is Not a Choice
The greats all agree that leadership in a word is: influence. And we know from behavioral psychology that we are always influencing those around us. You influence when you stand up to the bully, but also when you remain a bystander. You influence when you challenge the idea in the conference room, and also when you remain silent. Leadership isn’t a choice, because you are leading (i.e., influencing) all of the time. This means you are leading not just at work but also at the dinner table, and on the sidelines of the soccer field. But are you leading in a positive direction or a negative direction? Be mindful of your power as a leader. Remember, lead with intent.
Tying It All Together
Whether you are a front-line supervisor, middle manager, or senior executive, these 10 secrets will help you to become both the boss everyone wants to work for and the high achiever every CEO wants to hire–all without drama, stress, and endless hours in the office.
