Wednesday, Apr 13th 2022

Three Things (4/13)


"It is not that we have a short time to live, but that we waste a lot of it." —Seneca

The below content and projections are the opinion of the authors. Any conclusions or takeaways are their own. This should not be considered as investment advice. Investing involves the risk of loss and returns are not guaranteed.

1) Inflation hits 41-year high as gas prices rise 18% while used cars show some signs of easing cost pressures

  • The consumer price index rose 8.5% in March compared to a year ago, the most since December 1981.
  • “Core” inflation – which excludes the cost of food and energy – rose less than expected in March.
  • The price of used cars, which has been significantly impacted by the pandemic, fell 3.8% in March, the most since 1969.

Titan’s Takeaway: The drop in used car prices may suggest the most acute inflation distortions are set to wane in the coming months. Persistently high headline inflation, however, will keep the Fed on track to act aggressively in the coming months, a view Tuesday’s steady decline in the stock market suggests is popular among investors.

2) CNN+ facing budget cuts as streaming platforms try to push into new content categories

  • Axios reports a ~$1 billion investment budget for the new service will be cut by “hundreds of millions” of dollars.
  • So far, $300 million has been spent to staff up and market the new service.
  • The company had expected the service to breakeven after four years, with U.S. subscribers topping 15 million; CNBC reported Tuesday CNN+ has so far drawn fewer than 10,000 daily users.

Titan’s Takeaway: The streaming business’ maturation was powered by bingeable, scripted content users could find or return to anytime, anywhere. Overlaying these audience habits on a brand best known for real-time news coverage appears a tall order.

3) Apple partner in China halts iPhone production as Covid lockdowns continue to stress global supply chains

  • Pegatron splits Apple’s iPhone manufacturing business in China with Foxconn and Luxshare Precision Industry.
  • Pegatron’s manufacturing plants in Shanghai and Kunshan had been operational, but were forced to close amid continued lockdowns in both cities.
  • Last month, Foxconn had paused some assembly operations in Shenzhen amid Covid restrictions.

Titan’s Takeaway: Apple’s scale and resources gives it a better chance than most companies at preventing these manufacturing disruptions from hitting its bottom line. But the persistence of recent Covid measures taken in China suggests supply chains may again become clogged in the third year of this pandemic.

Back to Research ↗

Learn with titan

Investment articles and resources

Become the smartest investor you've ever been through straightforward, easy-to-read investment articles.

How Much Do I Need to Retire at 65?

What Is a Decentralized Exchange (DEX)?

What Is Hedging in Finance and How Does It Work?

What Is the Rule of 72?

Let's Get Started

Ready to become a client?

Create an account with us in two minutes.

Or scan to get the app

We're building the best investment platform, ever

Titan Global Capital Management USA, Inc ("Titan") is an investment adviser registered with the Securities and Exchange Commission (“SEC”). By using this website, you accept our Terms of Use and Privacy Policy. Titan’s investment advisory services are available only to residents of the United States in jurisdictions where Titan is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities. Past performance is no guarantee of future results. Any historical returns, expected returns [or probability projections] are hypothetical in nature and may not reflect actual future performance. Account holdings are for illustrative purposes only and are not investment recommendations. The content on this website is for informational purposes only and does not constitute a comprehensive description of Titan’s investment advisory services.

Refer to Titan's Program Brochure for more information. Certain investments are not suitable for all investors. Before investing, consider your investment objectives and Titan’s fees. The rate of return on investments can vary widely over time, especially for long term investments. Investment losses are possible, including the potential loss of all amounts invested. The introducing Broker Dealer is Titan Global Technologies LLC, a registered broker-dealer and member FINRA/SIPC. Brokerage services are provided to Titan Clients by Apex Clearing, an SEC registered broker-dealer and member FINRA/SIPC. For more information, see our disclosures. Contact: 508 LaGuardia Place NY, NY 10012. Information provided by Titan Support is for informational and general educational purposes only and is not investment or financial advice.

© Copyright 2022 Titan Global Capital Management, Inc. All Rights Reserved.