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Russia’s War Continues

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Written by:

Matt Allen
A passion for helping the average person led Matt to start his newsletter, The Common Capitalist, which is a newsletter that focuses on helping the average investor better understand finance.
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Russia's War Continues

Good Morning Everyone!

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Here’s five things you need to know this week in <5 minutes:

  1. Russia’s war continues

  2. Jimmy Carter falls ill

  3. Toxic train derailment in Ohio

  4. Another Tesla crash

  5. Youtube head steps down

  1. Is Putin rebuilding the Russian Empire?

Russia’s invasion of Europe is likely to continue beyond Ukraine, Fiona Hill warned Congress on Wednesday. Hill, who was a member of president Trump's National Security Council, cautioned the government against proposed spending cuts that could put its allies at risk.

Putin is "interested in reacquiring territory in what was the space of the former Russian Empire," Hill told the Senate Armed Services Committee. That means Western-friendly democracies like Moldova, Kazakhstan and Georgia (the birthplace of Putin’s idol, Josef Stalin) could be the next targets of the world’s largest military.

Already this year, despite stiff political opposition, the U.S and Germany have sent 31 M1 Abrams and 14 Leopard 2A6 tanks to Ukraine to aid President Zelensky’s efforts to repel the invading Russian forces. Zelensky praised the decision as “extremely good news”, but the Ukrainian military said that the tank order was “only the beginning” of the arms they needed, and called for “hundreds” of tanks in addition to fighter jets.

Without the support of U.S weapons including tanks and missile systems, Ukraine would almost certainly have fallen to Putin in a matter of months. Having committed nearly $50 billion in assistance to Ukraine, it would be insane for Washington to cut back on support so late in the day. America’s support for European democracy may be the only thing deterring Putin from continuing his attempted invasion of the whole continent.

OUR TAKE: Putin’s deadlock in Ukraine may force him to look for military glory and conquest elsewhere. If the U.S wants to remain a world power, Biden needs to take the Russian threat seriously.

  1. Jimmy Carter needs hospice care

Former president Jimmy Carter will receive hospice care at home in his two-bedroom ranch in Georgia. The 98 year old has needed “a series of short hospital stays” to treat his ill health. In 2019, he underwent successful brain surgery and treatment for a urinary tract infection.

Although generally considered by historians to have been a weak president, Carter has been praised for his post-presidency work, including undertaking diplomatic efforts with Israel and Egypt, organizing hurricane relief, and working with the WHO to eliminate Guinea worm disease.

OUR TAKE: We wish Jimmy Carter the best of health

  1. Toxic train derailment in Ohio

This week, officials have reminded us why we all hate bureaucrats. After the derailment of a train carrying hazardous chemicals potentially poisoned thousands of people in Ohio, politicians and rail company leaders have stumbled over their PR messages.

On a visit to the site of the catastrophe, Environmental Protection Agency chief Michael Regan patronizingly told residents: “All families need to know that they are safe.” As Ohioans report chest pains and violent coughs, and class action lawsuits line up, Regan’s message is unlikely to provide much relief.

Meanwhile rail firm Norfolk Southern – which potentially faces up to $100 million in damages related to the derailment – has released just two paragraphs worth of information about the crash to the public, promising that updates would come at some point in the future.

And after establishing a 1 mile evacuation zone, the sheriff of Columbiana County thought it would be a good idea to threaten scared residents with arrest if they didn’t immediately vacate their homes.

OUR TAKE: Biden’s infrastructure bill has been woefully inadequate to solve America’s infrastructure crisis.

  1. Another Tesla crash

As Elon Musk looks set to regain the title of world’s richest man, 2023 has been a good year for TSLA stock. But it hasn’t been so kind to Tesla car owners.

This week, a driver in California died after his Tesla collided with a fire truck on an interstate highway. This comes after a string of crashes where investigators suspect that Tesla’s autopilot feature caused the cars to collide with parked emergency vehicles.

OUR TAKE: Self driving tech still has a long way to go

  1. Youtube head steps down

Susan Wojcicki has stepped down as CEO of YouTube after nine years in the role.

Wojcicki said she had "decided to start a new chapter focused on my family, health and personal projects.” She will be replaced by YouTube's chief product officer, Neal Mohan, who was responsible for Youtube’s transition to a TikTok competitor, rolling out short-form content and attempting to integrate NFTs into the platform. He was also the mastermind behind the maligned “Youtube premium” plan.

At the invitation of Alphabet CEO Sundar Pichai – who has himself faced calls to step down after the bungled launch of Google’s Chat-GPT competitor, Bard AI – Wojcicki will retain an advisory role at Alphabet.

OUR TAKE: Even with tech stocks rallying, Alphabet is still down 37% from all time high. With slowing ad spending and competition from China, Mohan might have his work cut out for him.

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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.

Grit Capital Corporation 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.

For Full Terms of Use Click HERE. For the Privacy Policy Click HERE.

Gritcapital.substack.com (“Grit”) is a website owned and operated by Substack. Grit is paid fees by the companies that make investment offerings on this website. Be aware that payment of these fees may put Grit 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. Grit 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. Grit 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. Grit does not verify the adequacy, accuracy or completeness of any information. Neither Grit 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 Grit 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.