Recession forecast

Share to Twitter Share to Linkedin Topline Peloton Interactive laid off 800 employees Friday — the at-home stationary bike company’s second round of job cuts — making it the latest major U.S. company to undergo massive layoffs this summer, as CEOs fear soaring inflation could tip the economy into a recession. Timeline Aug. 12, 2022 Peloton , which gained popularity as gyms shut their doors during the pandemic, announced a sweeping round of layoffs in a memo to employees obtained by Bloomberg , six months after the New York-based company cut another 2,800 jobs. Aug. 12, 2022 Texas-based home health services company Signify Health laid off 489 employees, a cost-cutting move that comes days after health care giant CVS made a bid to purchase the company, multiple outlets reported (Signify did not respond immediately to an inquiry from Forbes ). Aug. 11, 2022 Meditation app Calm laid off 90 employees (20% of its workforce), … [Read more...] about Peloton Reportedly Lays Off 800 Employees — Here Are The Major U.S. Job Cuts As Recession Fears Grow

- A + A NEW YORK (Aug 12): Oil prices plunged around 2% on Friday (Aug 12), on expectations that supply disruptions in the US Gulf of Mexico would be short-term, while recession fears clouded the demand outlook. Futures, however, were still on track for a weekly gain. Brent crude futures fell US$1.45, or 1.5%, to settle at US$98.15 a barrel, while US West Texas Intermediate (WTI) crude fell US$2.25, or 2.4%, to settle at US$92.09 a barrel. Both contracts gained more than 2% on Thursday. "We are pulling back a little bit after the big run up yesterday," said Phil Flynn, an analyst at Price Futures group. Brent gained 3.4% this week after last week's 14% tumble on fears that rising inflation and interest rates will hit economic growth and demand for fuel. WTI rose 3.5%. Crews were expected to replace a damaged oil pipeline piece by the end of the day on Friday, a Louisiana port official said, allowing for the resumption of production at seven offshore US Gulf of … [Read more...] about Oil falls 2% on expectations that US Gulf supply disruption will ease

- A + A (Aug 12): Prada SpA is considering seeking at least US$1 billion from a second listing in Milan, people familiar with the matter said, as the Italian fashion house looks to diversify its investor base away from Hong Kong. The Milanese maker of luxury clothing, fragrances and accessories is working with Goldman Sachs Group Inc on preliminary preparations for a potential offering, according to the people, who asked not to be identified discussing confidential information. A listing would likely take place next year, they said. Prada raised US$2.1 billion in 2011 by listing a 20% stake in Hong Kong at a time when large luxury brands were flocking to the Asian market to cater to their largest customer base. The company, which has a market value of HK$115.7 billion (US$14.8 billion), is looking to raise funds by selling new shares in Milan, the people said. A vehicle backed by Co-Chief Executive Officer Miuccia Prada and her husband, Italian businessman Patrizio … [Read more...] about Prada is seeking at least US$1 bil in new Milan listing

- A + A SUBANG JAYA (Aug 12): Heineken Malaysia Bhd cautioned that cost escalation is not over and may hit the company hard in 2023. “We announced price increases in August, which were to recover some cost increases. As we move into the new year, the impact of cost escalation will hit us very much,” its managing director Roland Bala told a media briefing on the company's financial performance for the first half ended June 30, 2022 (1HFY22) on Friday (Aug 12). As to whether there will be further price hikes, Roland said: "No one can guarantee what the future is, (but for now) we have taken appropriate measures.” Heineken Malaysia’s net profit jumped 102% to RM199 million in 1H22 from RM99 million in 1HFY21, as revenue climbed 50% to RM1.3 billion from RM897 million. “I want to remind everyone that this is against the weak comparison last year, (when) the brewery was closed in the whole of June and the on-trade business was closed," he said. Having said that, … [Read more...] about Heineken Malaysia warns of impact from further cost escalation in 2023

- A + A KUALA LUMPUR (Aug 12): The GDP growth in second quarter of 2022 (2Q22), which came in at 8.9% year-on-year (y-o-y), has exceeded market consensus expectation of a 7% increase. Despite the "above expectation" economic growth, economists are warning that the pace of growth is likely to slow in the second half of 2022 (2H22) on possible weaker consumer spending and external uncertainties. RHB Bank said that it is anticipating a slower growth momentum into 2H22. "The momentum in consumer spending might be tapered towards the year end amidst weaker discretionary spending following the tightening of monetary conditions, higher costs of living due to intensifying inflationary pressures coupled with the expiry of some pandemic-related measures," said RHB Bank economist Chin Yee Sian and associate research analyst Wong Xian Yong. On top of that, Chin and Wong expect a slower momentum ahead for the gross fixed capital formation (GFCF) with downside risks from lower … [Read more...] about Economists see slower growth in 2H22 following stellar 2Q22 GDP data

Roland Bala (Photo by Patrick Goh/The Edge) - A + A SUBANG JAYA (Aug 12): Heineken Malaysia Bhd has planned a capital expenditure of about RM140 million in 2022, according to its managing director Roland Bala. "We continue to expand our brewery based on future demand that we forecast. This year, we are spending something to the tune of RM140 million on expansion and upgrade of our brewery," Roland told a media briefing after the release of the group's financial results for the first half ended June 30, 2022. He said the ongoing expansion of its brewery, which started last year, will continue into 2023 but probably "take a breather in 2024". "As part of our expansion project, we are going to instal solar PV (photovoltaic) panels on all our roofs and that will help to generate renewable energy. "We have subscribed to the Malaysian Renewable Energy Certificate by Tenaga Nasional Bhd since March 2022," Roland said, adding that the company's carbon emissions in … [Read more...] about Heineken Malaysia plans RM140 mil capital spending in 2022

It might have a silly name, but pickleball is a serious sport. advertisement advertisement The paddleball game—similar to badminton but played with a perforated plastic ball—saw a surge in popularity during the COVID-19 pandemic, creating a lingering demand for court access and sporting recognition. The Sports and Fitness Industry Association reported some 4.8 million people are now playing pickleball globally, and it’s the fastest-growing sport in America. Regional pickleball headlines are almost as delightful as the sport’s name: “81-year-old duo wins pickleball national championship” and “Greenwich pickleball fans ‘crying’ for more space: ‘We don’t have enough courts.'” But the spike in interest is more than just a passing fad or a headline-writer’s dream. Washington State Governor Jay Inslee declared pickleball the official state sport this week. (While making the announcement, he expanded the “certain unalienable rights” of the … [Read more...] about How pickleball became America’s new favorite pastime

Share to Twitter Share to Linkedin Topline Buying a home is the least affordable it’s been in over three decades, according to a metric released Friday, as home prices explode and Americans face record high prices elsewhere. Key Facts The National Association of Realtors’ housing affordability index, calculated using median single-family home prices, mortgage rates and median family incomes, hit 98.5 in June, a 3.6% decrease from May and 32.2% decrease since June 2021. This is the worst monthly score on the index since 1989, according to the Wall Street Journal . The median sale price of a single-family home rose to $423,300 in June, according to the association, an all-time high and a $7,900 increase from May. Houses are the least affordable in the West, with a 69.6 score on the index, followed by the South (99.3), Northeast (102.3) and Midwest (132.3). Contra Declining mortgage rates may soon help improve … [Read more...] about It Was Less Affordable To Buy A Home In June Than It’s Been In 33 Years

Share to Twitter Share to Linkedin For all those who’ve been frustrated by the continuing need to rent because of the lack of affordable housing, the near-term future is looking overall at least as bad as the immediate past. There’s a three-part problem: a vicious demand circle, the economics of building, and investors. Vicious demand circle No one need tell you the personal impact of a freakishly disruptive housing market. However, some details about the current dynamics, although it doesn’t immediately solve problems, might help in planning and knowing when to shift back to searching for a house (because, if you can afford the fixed rate payment, you’ll eventually be ahead of rents that keep rising, even if at a slower pace than recently). The demand and supply issues go back to the Great Recession in 2008. Millions of homes entered foreclosure, credit seized up like a 25-year-old car with a two-year-old oil leak, and the housing market tanked … [Read more...] about Buying A House Is About To Get Even Harder

Share to Twitter Share to Linkedin How Credit Cards Changed During the Pandemic and What to Expect in 2023 The last few years have been a roller coaster for both the travel industry and the market for rewards credit cards. In looking back over the last few years, some notable trends jump out as card issuers tried to react to customer sentiment and stay relevant in a highly dynamic environment. From shifting bonus categories to hefty welcome offers and an array of new product launches, here’s a look back at where we’ve been, and a possible glimpse at where the market is heading in 2023. [ The Points Guy ] Buy Now, Pay Later Sounds Too Good to Be True Because It Is Buy Now Pay Later companies often don’t do in-depth checks of consumers’ credit, meaning people wind up getting into debt they can’t pay. If someone screws up, they can be hit with late fees and see their credit scores dinged. And screwing up is easy to do if people are taking out … [Read more...] about This Week In Credit Card News: How The Pandemic Changed Credit Cards; The Dangers Of Buy Now, Pay Later