Welcome to The Free Press Report’s Weekly Digest. This week a lot has happened – Biden visited the Middle East, the army thinks that printers cost a million dollars, and Italy faced a unique political dilemma. Read on for more of the stories you might have missed.
Become a Free Press Pro Subscriber and get exclusive deep dives into the hottest new political scoop once per week for only $5 dollars per month. See our latest report on Boris Johnson.
Market Recap
U.S. Politics
Biden secures only empty rhetoric at Arab summit. The U.S promised to remain active in the Middle East, including pledging $300 million in aid for Palestine. Saudi Arabia, the largest economy in the region, put a stop to U.S ambitions of a regional security alliance including Israel. Biden downplayed criticism of Saudi Arabia’s human rights record, reneging on his promise to make the country into a “pariah state” after the 2018 killing of journalist Jamal Khashoggi. It seems that Biden places too high a value Saudi Arabia’s oil production – it is therefore disappointing that he was unable to secure any pledge for the gulf nation to increase output in the face of skyrocketing prices. [Reuters]
Amazon gave customers’ videos to police without consent, despite promises that it would not share private information. The company handed over videos from Ring doorbells eleven times this year without consent from the users or a warrant from police. This is concerning to human rights groups – in 2020, Los Angeles police forces requested Ring footage of Black Lives Matter protests. Senator Edward Markey warned that “it has become increasingly difficult for the public to move, assemble and converse in public without being tracked and recorded.” [Guardian]
Army bases can’t account for over 23,000 items, a Department of Defense watchdog finds. An audit of two U.S camps in Kuwait revealed that tens of millions of dollars of Government-furnished equipment had not been properly registered. Botched records included twelve printers mistakenly valued at $1.1 million apiece and seventeen refrigerators valued at $650,000 each. The DoD promised “resolution” of these issues by no later than 2026. [Reason]
Ivana Trump dies after falling down stairs. The 73 year-old businesswoman was the first wife of former president Donald Trump, with whom she had three children. Her body was discovered at the bottom of her New York apartment's staircase next to a spilled cup of coffee. Her death was ruled as accidental. [BBG]
Bill Clinton endorses marijuana for first time. During his 1992 presidential campaign, Clinton infamously admitted to experimenting with marijuana, but insisted that he “did not inhale”. This week, Clinton celebrated the “very encouraging” evidence that CBD helped to relieve postoperative pain, stress and anxiety. [WFB]
Social and Business
JPMorgan shares suffer on disappointing results amidst warning of economic “hurricane”. The largest U.S bank suspended share buybacks after second quarter earnings fell short of expectations, driven by a 54% drop in investment banking fees. Trading revenue rose 15%, although this was still short of the predicted 17% increase. JPM shares fell 4.9% on open. [BBG]
Bank of America fined $225mm for “botching” unemployment benefits payments. Regulators found the bank’s “faulty” fraud detection system had mistakenly frozen customer accounts associated with prepaid debit cards, preventing them from accessing their mandated unemployment benefits during the pandemic. Bank of America responded by explaining that the government’s hasty benefits expansion “created unprecedented criminal activity where illegal applicants were able to get states to approve tens of billions of dollars in payments.” [CNBC]
East 53 Capital closing after failed Twitter bet. The trading team at hedge fund Millennium Management is being disbanded after failed arbitrage-focused trades on Twitter and Citrix, which are each in the process of acquisition talks. East 53’s portfolio had a $3 billion risk cap, which had reportedly been breached by recent trades. [BBG]
World View
Mario Draghi told he cannot resign in Italian political fiasco. Draghi, the former head of the ECB, has been Prime Minister of a unity government since February 2021. But with the coalition fracturing, Draghi offered his resignation on Friday. In an unusual move, President Sergio Mattarella rejected the resignation. Draghi is now expected to speak in parliament on Wednesday, and if he can win back the support of the populist Five Star party, may in fact remain in power. [WSJ]
British MP abandoned car crash in leather mini skirt and pearls. Jamie Wallis, 38, who was born a man, was arrested six hours after fleeing from an accident in which he drove his Mercedes E-Class into a telegraph pole. He has been found guilty of failing to report the accident and banned from driving. [Times]
Russia ramps up Ukraine invasion, as renewed bombardments kill 40 in three days. On Saturday, Russia vowed to step up military operations on all fronts in Ukraine. Although Russia insists that it has only been bombing military targets, Ukraine reports that most deaths have occurred in towns and cities. Russia appears to be regrouping its forces for an offensive against the culturally important city of Sloviansk. [Reuters]
Swiss Central Bank will raise rates by up to 75bps at next scheduled monetary meeting in September. Swiss inflation hit its highest level in 29 years after five months of exceeding the bank’s 0-2% target range. Insiders expect base rates to raise from -0.25% to at least 0.25%, and maybe even higher if inflation persists. [Reuters]
Crypto
Bitcoin mining costs drop to $13,000, JPMorgan strategists estimate. At the start of June, the cost of electronically minting one BTC was $24,000. Now it has almost halved, as miners roll out more power-efficient systems. This may act as a bottom to the market – if prices fall below $13,000, mining will dry up, reducing supply and supporting prices. This suggests prices could fall another 40% before finding their natural bottom. [Decrypt]
Circle attempts to win back trust in stablecoins after Terra collapse spooks market. Circle runs the proprietary stablecoin USDC, which tracks the dollar. In its first monthly report, Circle disclosed $13.58 billion in cash and $42.12 billion in three-month Treasury securities, representing a complete asset backing for USDC. [Block]
Disclaimer: The publisher does not guarantee the accuracy or completeness of the information provided in this page. All statements and expressions herein are the sole opinion of the author or paid advertiser.
The Free Press Report is a publisher of financial information, not an investment advisor. We do not provide personalized or individualized investment advice or information that is tailored to the needs of any particular recipient.
THE INFORMATION CONTAINED ON THIS WEBSITE IS NOT AND SHOULD NOT BE CONSTRUED AS INVESTMENT ADVICE, AND DOES NOT PURPORT TO BE AND DOES NOT EXPRESS ANY OPINION AS TO THE PRICE AT WHICH THE SECURITIES OF ANY COMPANY MAY TRADE AT ANY TIME. THE INFORMATION AND OPINIONS PROVIDED HEREIN SHOULD NOT BE TAKEN AS SPECIFIC ADVICE ON THE MERITS OF ANY INVESTMENT DECISION. INVESTORS SHOULD MAKE THEIR OWN INVESTIGATION AND DECISIONS REGARDING THE PROSPECTS OF ANY COMPANY DISCUSSED HEREIN BASED ON SUCH INVESTORS’ OWN REVIEW OF PUBLICLY AVAILABLE INFORMATION AND SHOULD NOT RELY ON THE INFORMATION CONTAINED HEREIN.
No statement or expression of opinion, or any other matter herein, directly or indirectly, is an offer or the solicitation of an offer to buy or sell the securities or financial instruments mentioned.
Any projections, market outlooks or estimates herein are forward looking statements and are inherently unreliable. They are based upon certain assumptions and should not be construed to be indicative of the actual events that will occur. Other events that were not taken into account may occur and may significantly affect the returns or performance of the securities discussed herein. The information provided herein is based on matters as they exist as of the date of preparation and not as of any future date, and the publisher undertakes no obligation to correct, update or revise the information in this document or to otherwise provide any additional material.
The publisher, its affiliates, and clients of the a publisher or its affiliates may currently have long or short positions in the securities of the companies mentioned herein, or may have such a position in the future (and therefore may profit from fluctuations in the trading price of the securities). To the extent such persons do have such positions, there is no guarantee that such persons will maintain such positions.
Neither the publisher nor any of its affiliates accepts any liability whatsoever for any direct or consequential loss howsoever arising, directly or indirectly, from any use of the information contained herein.
By using the Site or any affiliated social media account, you are indicating your consent and agreement to this disclaimer and our terms of use. Unauthorized reproduction of this newsletter or its contents by photocopy, facsimile or any other means is illegal and punishable by law.
patriotone.substack.com (“The Free Press Report”) is a website owned and operated by Substack. The Free Press Report is paid fees by the companies that make investment offerings on this website. Be aware that payment of these fees may put The Free Press Report in a conflict of interest with the investor. By accessing this website or any page thereof, you agree to be bound by the Terms of Use and Privacy Policy, in effect at the time you access this website or any page thereof. The Terms of Use and Privacy Policy may be amended from time to time. Nothing on this website shall constitute an offer to sell, or a solicitation of an offer to buy or subscribe for, any securities to any person in any jurisdiction where such an offer or solicitation is against the law or to anyone to whom it is unlawful to make such offer or solicitation. The Free Press Report is not an underwriter, broker-dealer, Title III crowdfunding portal or a valuation service and does not engage in any activities requiring any such registration. The Free Press Report does not provide advice on investments or structure transactions. Offerings made under Regulation A under the U.S. Securities Act of 1933, as amended (the "Securities Act") are available to U.S. investors who are “accredited investors” as defined by Rule 501 of Regulation D under the Securities Act well as non-accredited investors, who are subject to certain investment limitations as set forth in Regulation A under the Securities Act. In order to invest in Regulation A offerings, investors may be asked to fill out a certification and provide necessary documentation as proof of your income and/or net worth to verify that you are qualified to invest in offerings posted on this website. All securities listed on this site are being offered by, and all information included on this site is the responsibility of, the applicable issuer of such securities. The Free Press Report does not verify the adequacy, accuracy or completeness of any information. Neither The Free Press Report nor any of its officers, directors, agents and employees makes any warranty, express or implied, of any kind whatsoever related to the adequacy, accuracy, valuations of securities or completeness of any information on this site or the use of information on this site. Neither The Free Press Report nor any of its directors, officers, employees, representatives, affiliates or agents shall have any liability whatsoever arising from any error or incompleteness of fact, or lack of care in the preparation of, any of the materials posted on this website. Investing in securities, especially those issued by start-up companies, involves substantial risk. investors should be able to bear the loss of their entire investment and should make their own determination of whether or not to make any investment based on their own independent evaluation and analysis.