“Investing is a popularity contest, and the most dangerous thing is to buy something at the peak of its popularity. At that point, all favorable facts and opinions are already factored into its price, and no new buyers are left to emerge.” ― Howard Marks

1. Electoral College Confirms Biden Presidency — following several failed attempts by the Trump campaign’s legal team, and 17 Republican attorneys general, to challenge the election results in court, electors from states including Nevada, Georgia, Pennsylvania, Arizona, Michigan and Wisconsin confirmed Biden’s win, 306 electoral votes to Trump’s 232. Russian President Vladimir Putin congratulated President-elect Biden for the first time since the election after the Electoral College confirmed the result.
2. U.S. Begins Vaccine Rollout — the effort to roll out Covid-19 vaccines will be the largest immunization effort in the U.S. since the successful administration of millions of polio vaccine doses in the 1950s. Initial doses of the vaccine are reserved for health care workers and nursing home residents. Pfizer has a deal to provide 100 million doses to the U.S. government and is in talks to provide another 100 million doses—enough to vaccinate about a third of the U.S. population. More Americans could be vaccinated sooner if, as expected, Moderna’s vaccine is approved for emergency use by the Food and Drug Administration later this week. Twenty million doses of that vaccine will be available in the U.S. in December.
3. Apple Is Reportedly Boosting 5G iPhone Production — Nikkei Asia reported that Apple will produce as many as 96 million iPhones in the first half of 2021, up nearly 30% from the same period this year. Over the course of the next year, the company will make 230 million iPhones. One executive at an Apple supplier told Nikkei that demand has been stronger than anticipated for the iPhone 12 Pro and iPhone 12 Pro Max, but that demand for the smaller iPhone 12 Mini is a “bit sluggish.” Apple did not comment.
Wall Street currently expects Apple to produce 215 million iPhones in 2021, Wedbush analyst Dan Ives said. Ives has the equivalent of a Buy rating on the company and expects “an unprecedented upgrade cycle for Apple with a major holiday season on the horizon over the coming weeks.”
4. Lawmakers Reach Stimulus Deal — after months of deadlock, the House and Senate reached a deal on coronavirus stimulus Sunday evening, capping a weekend of furious negotiations aimed at striking a compromise. The bargain includes $600 direct payments to most Americans, $300 a week in supplemental federal unemployment checks, funding for vaccine distribution and additional small business aid. It also includes $15 billion in funding specifically for airline industry workers wages and a requirement that the industry bring back 30,000 furloughed workers. Senate Minority Leader Chuck Schumer said that while he supported the approximately $900 billion deal, more aid should be passed next year. “While this short term deal is necessary to meet the urgent and growing needs that so many people are facing immediately going into the winter, this bill is not sufficient.”
5. New Covid-19 Strain in the U.K. Brings Chaos To Europe— the British government that a new strain of Covid-19 that is 70% more infectious is driving up coronavirus cases in the U.K., setting off a chain reaction of new lockdowns and travel bans, a looming logistics crisis, and a slide in stocks. British Prime Minister Boris Johnson canceled plans for an easing of restrictions over Christmas, plunging around 18 million people in southeast England into a new lockdown on Saturday, and causing thousands of people to flee London in the hours before restrictions took effect. The U.K. recorded its highest-ever daily rise in infections with 35,928 new cases reported on Sunday.
More than 20 countries have instituted new bans or restrictions on travel from the U.K. The new mutation of the virus is believed to be linked with cases in Italy, the Netherlands, Denmark, and Australia.
The closure of France’s border with the U.K. has halted trade between key ports and through the Eurotunnel for 48 hours. British retailers are playing down fears of shortages in the busy run-up to Christmas, when around 10,000 trucks a day typically move between Dover and Calais, but are warning of disruptions if the closure continues.

The week ahead — Economic data from Econoday.com:

“when risk bearing doesn’t work, it really doesn’t work, and people are reminded what risk’s all about.”
― Howard Marks

1. U.S. Health Officials Push for Quick Vaccine Rollout — the Trump administration is planning for a rapid rollout of the first round of vaccinations, with as many as 24 million Americans immunized by mid-January. President Donald Trump is expected to sign an executive order Tuesday that would ensure Americans receive priority access to any vaccine procured by the U.S. government before people from other countries. Pfizer’s vaccine could be approved by the end of the week, with shots starting immediately thereafter for nursing home residents and health care workers. The Food and Drug Administration is expected to release analyses of the vaccine Tuesday that show how it works with different demographic groups.
2. Georgia Recertifies Biden Win After Third Recount — Georgia’s Republican Secretary of State, Brad Raffensperger, recertified the state’s election results Monday after a third recount showed President-elect Joe Biden defeating President Donald Trump.
“We’ve never found systemic fraud—not enough to overturn the election,” Raffensperger said at a news conference at the state’s Capitol. Biden won the state by more than 12,000 votes.
On Monday, a federal judge dismissed a lawsuit by former Trump campaign lawyer Sidney Powell seeking to overturn the election results in Georgia, calling the effort “perhaps the most extraordinary relief ever sought in any federal court in connection with an election.”
3. White House Gets Involved in Stimulus Talks — the Trump administration proposed a $916 billion stimulus package Tuesday night that included a liability shield for employers, another round of direct payments to Americans of at least $600 per person, and aid to state and local governments. The White House offer, announced in a statement by Treasury Secretary Steven Mnuchin, is a departure from Republican Senate Majority Leader Mitch McConnell’s package. Earlier Tuesday, Democrats rejected an offer by McConnell for a smaller measure that excluded the liability shield, stimulus checks, and state and local government funding. McConnell said a package this year should drop those items in favor of focusing on funding for vaccine distribution, health care providers, and small businesses. The majority leader said there would be another opportunity once President-elect Joe Biden takes office to tackle other issues.
4. Airbnb Valuation Tops $100 Billion IPO — Airbnb Inc. shares more than doubled in their trading debut, propelling the home-rental company to a $100 billion-plus valuation. The stock opened Thursday at $146 apiece, above the $68 initial public offering price. Airbnb’s market value, based on its outstanding shares, makes it the world’s biggest online travel company. Its $88 billion market cap exceeds Booking Holdings Inc.’s $86 billion market capitalization, and eclipses Expedia Group Inc. and TripAdvisor Inc.
5. Americans Will Start Getting the Pfizer Vaccine This Week — Pfizer has said it would deliver 25 million doses to the U.S. in 2020, including 2.9 million doses shipping this week. Some 636 health departments and hospitals across the U.S. will receive shipments between Monday and Wednesday. The nation’s 21 million health care workers and 3 million residents of long-term care facilities are expected to be inoculated between now and January, followed by other essential workers, adults with high-risk medical conditions, and those ages 65 and older.
The Moderna vaccine will be reviewed for emergency use authorization on Dec. 17, and the Federal Reserve is likely to weigh how the prospect of an end to the pandemic in 2021 should factor into monetary policy when it meets this week.
6. AAII Bullish Sentiment — latest notes from Bespoke Investment Group flagged elevated overbought condition ““Investor sentiment has unfortunately gotten quite bullish over the last month or so. This is something to continue to keep an eye on as we look for ‘frothiness’ in the market,” they said, highlighting the chart below overlaying the S&P 500 over the AAII bullish sentiment survey reading.

Arbeter Investments also show ““While price action of the major indices looks like we are in the grind higher phase, which is generally bullish unless the slope goes parabolic, the S&P 500 is very extended above its longer term moving averages (see chart below) and the index recently rose above the upper weekly Bollinger Band,” he wrote. Bollinger bands plot a standard deviation above and below a simple moving average. — Plenty of similar episodes in the past have been followed by significant pullbacks, Arbeter noted, but added that solid market breadth indicators are likely to make any significant dips a buying opportunity.

The week ahead — Economic data from Econoday.com:

“Once in a while, however, the future turns out to be very different from the past. It’s at these times that accurate forecasts would be of great value. It’s also at these times that forecasts are least likely to be correct. Some forecasters may turn out to be correct at these pivotal moments, suggesting that it’s possible to correctly”
― Howard Marks

1. U.K. to Become First to Roll Out Covid-19 Vaccine; Moderna to Seek FDA Approval — the British government is preparing to distribute the coronavirus vaccine manufactured by Pfizer and BioNTech as soon as next week; Meanwhile, Moderna said it would submit a filing to regulators this week, requesting emergency authorizations to distribute its vaccine. The U.K. government also asked the regulator to review the vaccine developed by AstraZeneca in conjunction with Oxford University, even though its Phase three trials raised questions after a mistake that saw some subjects inoculated with only half a dose in their first injection.
Moderna released the final results from its Covid-19 vaccine trial and said Monday that its shots showed 94.1% efficacy, confirming that the vaccine is highly effective at preventing the disease. Furthermore, An advisory group to the Centers for Disease Control and Prevention has called an emergency meeting to decide on recommendations for who should be first in line for scarce Covid-19 vaccinations. The Advisory Committee for Immunization Practices is set to meet Tuesday to vote on guidance for how states should distribute vaccines after they are approved for emergency use by the Food and Drug Administration.
2. Bitcoin Tops 2017 Record — Cryptocurrency Bitcoin rose to as high as $19,850 on Monday, topping its previous intraday record of $19,783 that was set on Dec. 17, 2017, before dropping slightly but remaining well above $19,000. Bitcoin has seen its price rise in concert with a wide range of other assets, from equities to gold, as the Federal Reserve and other central banks around the world have injected trillions of dollars of liquidity into capital markets, keeping interest rates on government bonds low. Bitcoin investing has gotten easier too. PayPal now lets all its U.S. users buy and sell Bitcoin directly through its service. In July, U.S. regulators allowed banks to hold cryptocurrency assets for customers.
3. McConnell Calls for Congress to Focus on Narrow Stimulus — Democrats had pushed for more than $2 trillion in aid, while McConnell has consistently advocated for a package of about $500 billion. Negotiations have been deadlocked for months and fully broke down ahead of the November election. While the last few days have seen a flurry of activity signaling a potential restart of talks, McConnell threw some cold water on optimism by saying that the “underlying reality” of the two parties’ policy differences were always the main impediment to reaching a deal and that those are “still with us.”
4. U.K., EU Pause Brexit Talks — The two sides’ negotiators said in tweets on Friday they have paused talks because the “conditions for an agreement are not met” and will now brief their respective political leaders. The U.K. and EU haven’t yet reached agreement on three key issues: access to British fishing waters, the competitive level playing field for business, and how any overall agreement is enforced, according to the statement.
5. Boeing Wins First Big 737 MAX Order Since Grounding Ended — Europe’s largest airline had ordered 75 additional of the 737 MAX, the aircraft that was grounded last year following two fatal air crashes. The latest order increases Ryanair’s order book to 210 jets. Ryanair again selected the 737 8-200, a higher-capacity version of the 737-8, the companies said in a statement, citing the airplane’s additional seats and improved fuel efficiency and environmental performance.

The week ahead — Economic data from Econoday.com:

There will not be any re-cap for the week of Nov 27th 2020 due to Holiday shorten week.
Have a good week.

The week ahead — Economic data from Econoday.com:

“How? Try to travel into the future and look back. In 2023, do you think you’re more likely to say, “Back in 2018, I wish I’d been more aggressive” or “Back in 2018, I wish I’d been more defensive”? And is there anything today about which you’d be likely to say, “In 2018, I missed the chance of a lifetime to buy xyz”? What you think you might say a few years down the road can help you figure out what you should do today.”
― Howard Marks

1. Amazon Expands Push Into Health Care With Online Pharmacy — the e-commerce giant on Tuesday unveiled Amazon Pharmacy, a section of its retail website and mobile application that lets people order medication. Shoppers can pay using their health insurance. Prime members who don’t use their insurance are eligible for discounts on generic and brand-name drugs on Amazon’s site or at about 50,000 participating pharmacies. Amazon’s new offering comes more than two years after its $753 million acquisition of PillPack, an online pharmacy known for organizing prescriptions into packets. This expansion puts the Seattle-based e-commerce company into more direct competition with pharmacy giants CVS Health Corp. and Walgreens Boots Alliance Inc., the two largest chains in the U.S.
2. Tesla Was Finally Added to the S&P 500 — S&P Dow Jones said the 17-year-old company would be added to the gauge in December. The committee is seeking feedback from investors on whether to add it in two separate pieces, an unprecedented step. At almost $390 billion in value and growing, Elon Musk’s company would be the biggest ever added to the benchmark. Given its heft, Tesla would likely be among the top 10 largest stocks in the S&P 500, falling somewhere between Johnson & Johnson and Procter & Gamble Co., with a weighting of more than 1%. That would equal the combined value of the 60 smallest stocks in the benchmark.
3. The Boeing 737 MAX Jet Is Back — the FAA rescinded its temporary grounding of the plane, an order that had been in place for 616 days, or almost 20 months, beginning on March 13, 2019. The FAA officially directed at aircraft safety inspectors, investigators, and flight standards personnel responsible for aircraft oversight. They need to make sure all the MAX jets have updated sensors and software and that pilots have received the appropriate training.
4. US Covid Death Toll Passes 250,000 — The US, which has now registered 250,029 fatalities, has by far the highest national death toll, ahead of Brazil with 166,699 deaths, India with 130,993 deaths and Mexico with 99,026. Two trial vaccines have recently performed well in tests, offering hope for the US and world. The novel coronavirus has killed more than 1,343,000 people since the outbreak emerged in China last December.

The week ahead — Economic data from Econoday.com:

“the three stages of a bull market”: the first stage, when only a few unusually perceptive people believe things will get better, the second stage, when most investors realize that improvement is actually taking place, and the third stage, when everyone concludes things will get better forever.” ― Howard Marks

1. Pfizer’s Announces Covid-19 Vaccine — Pfizer and partner BioNTech announced early and not yet complete data from their Phase three Covid-19 vaccine trial. It is “more than 90% effective in preventing Covid-19” in trial participants, according to the release. The companies are gathering additional safety and efficacy data and preparing to submit them to global regulatory authorities for approval. Regulatory filings are expected later this month. The Phase three trial enrolled more than 43,000 participants. Phase three trials are typically the final phase before the FDA considers a drug or vaccine for approval. Pfizer plans to produce 50 million doses in 2020 and 1.3 billion doses in 2021.
2. Supreme Court Hears Arguments Against Affordable Care Act –tThe Supreme Court heard arguments in a case some fear could end the Affordable Care Act. At least two justices seemed open to keeping the majority of the bill. The case centers on the Affordable Care Act’s individual mandate. Originally deemed constitutional because the penalty was ruled a tax by a majority of the Supreme Court, Republican attorneys general from 18 states argue the 2017 removal of the penalty makes it no longer a tax.
If the Supreme Court agrees, the bigger question would be whether or not the individual mandate could be severable from the rest of the bill. Republicans argue it can’t, while Democrats disagree and warn millions of Americans would lose health care and pre-existing condition protections amid a pandemic.
3. Covid Hot Spots Show Signs Europe’s New Wave May Be Cresting — With France, Spain, the U.K. and Italy — alongside Russia, all recording more than 1 million cases, the headlines remain grim. As the U.S. surpasses 10 million infections, Europe has been another epicenter of the pandemic’s autumn surge. Over the past week, however, the number of new cases has plateaued or begun to ease in the U.K., Germany and France. Harder-hit small countries such as Belgium, the Netherlands, and the Czech Republic have posted big declines in daily infection rates. Belgium’s seven-day average of about 5,200 new cases, for example, was down from peak levels of more than 20,000 a day less than two weeks ago.
4. Cases Surge While Stimulus Talks Stall and Targeted Lockdowns Continue — as the Midwest deals with a surge of Covid-19 infections cases, more states and cities are bringing back restrictions. Chicago Mayor Lori Lightfoot issued a 30-day stay-at-home advisory for the city, beginning on Monday. The Chicago mayor pointed to an “alarming and ongoing surge” in cases. Illinois saw 12,000 new cases Thursday, according to the Covid Tracking Project, the most of any state. Ohio’s Republican Gov. Mike DeWine on brought back a mask mandate for going out in public. This time, businesses must also have signs at the entrance stating masks are required. They must also make sure employees and customers wear masks. The state had 7,000 cases Thursday. In addition to Illinois and Ohio, California, Texas, Wisconsin, Minnesota, Michigan, Indiana, Pennsylvania, and Florida all saw more than 5,000 new cases late last week. Bloomberg reported that the White House is yielding stimulus negotiations to Senate Majority Leader Mitch McConnell. Though talks between House Speaker Nancy Pelosi and Treasury Secretary Steven Mnuchin sparked some optimism for investors in October, hopes for a deal before next year have stalled.
5. Moderna Vaccine Found Highly Effective at Preventing Covid — Moderna Inc. said its Covid-19 vaccine was 94.5% effective in a preliminary analysis of a large late-stage clinical trial. The highly positive readout comes just a week after a similar shot developed by Pfizer Inc. and BioNTech SE was found to be more than 90% effective in an interim analysis. Both shots rely on a technology called messenger RNA that has never been used to build an approved vaccine. Moderna said that new stability data showed its vaccine is stable at refrigerator temperatures for 30 days, much longer than a previously estimated seven days. For longer-term storage, it can be kept in freezers, though it doesn’t need the special facilities required for the Pfizer vaccine. Both the Moderna vaccine and Pfizer’s are based on mRNA technology designed to transform the body’s own cells into vaccine making factories. Once injected, the vaccines instruct cells to make copies of the coronavirus’s spike protein, stimulating the creation of protective antibodies.

The week ahead — Economic data from Econoday.com:

“Investing is a popularity contest, and the most dangerous thing is to buy something at the peak of its popularity. At that point, all favorable facts and opinions are already factored into its price, and no new buyers are left to emerge.”
― Howard Marks

1. Biden Wins U.S. Presidential Election — America has chosen Democrat Joe Biden as its 46th president with 290 electoral votes versus Trump at 214. However, Republicans escalated their efforts to overturn Joe Biden’s victory in the 2020 election, refusing to acknowledge Donald Trump’s defeat, as the president-elect moved more forcefully to make the transition to the White House.The most significant move came from Attorney General William Barr, who on Monday authorized Justice Department officials to open inquiries into potential irregularities in the presidential election, though he acknowledged there’s no conclusive evidence.
2. The Travel Industry Is Still in Serious Trouble — Norwegian Cruise Line Holdings extended its suspension of cruise voyages on Monday through Dec. 31 despite the Centers for Disease Control and Prevention saying on Friday that its no-sail order was being lifted as of Oct. 31. Meanwhile, Royal Caribbean Group said Friday that it too has “a lot of work to do between now and then,” referring to when its ships will return to service. It did not provide a date for when it might begin voyages again. The CDC move came with stringent requirements. Before sailing again, cruise lines would have to ensure testing for crew members, simulate voyages to test response and mitigation practices, and receive certification by the CDC that passengers are allowed to return. Airlines stocks have also been under pressure as Covid-19 cases continue to rise and prospects fade for another stimulus bill soon. New aid is unlikely to be approved at least until the next Congress begins in late January.
3. McConnell Says Senate Will Start Working on a New Stimulus Bill — Majority Leader Mitch McConnell said that the upper chamber will start work on another round of stimulus when it returns. McConnell added that “it’s a possibility we will do more for state and local governments,” a key stumbling block in pre-election talks.
Tossing out the possibility of additional state and local aid could be McConnell’s way of showing he’s open to a deal—if House Speaker Nancy Pelosi goes along with one of his asks, such as a liability shield for employers. Such liability shield language has been anathema to Democrats, but Pelosi might be willing to concede it given that the GOP currently appears on track to hold a slightly slimmed-down Senate majority.
4. Qualcomm Jumps on Outlook for Booming 5G Chip Demand — the company said it was going to sell millions of chips for 5G mobile devices as people upgrade their phones. The chip maker, known for its wireless communication chips for smartphones, reported fiscal fourth-quarter net income of $2.96 billion, which amounts to $2.58 a share, compared with a net profit of $506 million. CEO Mollenkopf was keen to highlight the progress he has made diversifying Qualcomm beyond the phone market. Revenue from chips sold to makers of vehicles and internet-connected gadgets totaled $3.67 billion in fiscal 2020, Qualcomm reported.
Last month, a U.S. appeals court said it won’t reconsider an earlier decision that threw out antitrust claims against Qualcomm in a case brought by U.S. Federal Trade Commission. That decision ends years of major legal fights and regulatory actions against the company.Apple Inc. and China’s Huawei Technologies Co. became the last major handset suppliers to sign new licensing agreements with Qualcomm. Apple has also returned to using Qualcomm silicon in the iPhone.
5. Control of Senate Hinges on Georgia Runoffs — two January runoff races in Georgia could determine which party controls the Senate if Biden wins the White House. Democrats have picked up just one Senate seat overall. With the chamber split 53 to 47 in favor of the GOP, they need two more seats to split the Senate 50-50. If Biden wins the White House, then-Vice President Kamala Harris would break the tie. As votes continue to be counted in Georgia, the state’s two Senate contests are headed to runoffs. Candidates there must get more than 50% to be declared the winner. If Biden wins, a GOP-controlled Senate would almost certainly take progressive policies like a Green New Deal, increased taxes on high-earners and corporations, or a public health insurance option off the table.

The week ahead — Economic data from Econoday.com:

“Every once in a while, an up-or-down-leg goes on for a long time and/or to a great extreme and people start to say “this time it’s different.” They cite the changes in geopolitics, institutions, technology or behaviour that have rendered the “old rules” obsolete. They make investment decisions that extrapolate the recent trend. And then it turns out that the old rules still apply and the cycle resumes. In the end, trees don’t grow to the sky, and few things go to zero.”
― Howard Marks

1. Barrett Confirmed to Supreme Court — Amy Coney Barrett’s confirmation by the Senate was a touchstone accomplishment for President Donald Trump and congressional Republicans that solidifies a 6-3 conservative majority on the Supreme Court just eight days before the U.S. election. The Senate confirmed Barrett on a partisan 52-48 vote, and Justice Clarence Thomas administered the first of two required oaths to Barrett on the South Lawn of the White House a short time later with Trump looking on. Chief Justice John Roberts will administer the second oath in a private ceremony at the Supreme Court. Barrett may be asked to weigh in on cases that would determine the outcome of a close election, and is expected to vote on whether the Affordable Care Act is constitutional soon after she joins the court.
2. U.S. Infections Continue to Climb — Covid-19 cases in the U.S. have hit new highs, with the seven-day average of additional daily infections hitting 68,767 , according to data compiled by Johns Hopkins University. This surge has hit Midwest and Rocky Mountain states the worst and comes at a particularly worrying time for public health officials as temperatures fall and people are more likely to congregate indoors, where Covid-19 is spread more easily. During the summer surge in the U.S., which hit Sun Belt states the hardest, the seven-day average peaked at just under 67,000 in late July. One potential vector for infections has, so far, not materialized. Outbreaks related to primary schools appear to be extremely limited, and the partial reopening of the biggest school district in the country in New York City has resulted in just 28 positive tests for Covid-19 out of 16,298 randomized tests.
3. Germany, France Impose Strict Month-Long Curbs to Rein in Virus — Germany and France will clamp down on movement for at least a month, coming close to the stringent lockdowns in the spring as Europe seeks to regain control of the rapid spread of the coronavirus. The European Union’s two biggest economies will shutter bars, restaurants and non-essential services, while allowing schools and most businesses to operate. The approach by French President Emmanuel Macron and German Chancellor Angela Merkel seeks to strike a balance between protecting public health and avoiding another debilitating blow to the economy.
4. Covid-19 Vaccine Won’t Be Available Until January — Anthony Fauci, the nation’s top infectious-disease doctor, said a vaccine to help control the coronavirus outbreak isn’t likely to be available in the U.S. until January. The trials are designed to run until a predetermined number of people who are enrolled get sick. The studies currently underway are unlikely to hit those benchmarks until sometime in December. Once the data are available, the companies must analyze the findings, file with the U.S. Food and Drug Administration for emergency use and participate in an advisory committee hearing. There are five companies in the final stages of study for a coronavirus vaccine, with Pfizer Inc. and Moderna Inc. having fully enrolled their trials, Fauci said. At least one and maybe two of the companies will have enough safety data and perhaps even sufficient prolonged efficacy findings to apply for emergency use of their vaccines by December.

The week ahead — Economic data from Econoday.com:

The road to long-term investment success runs through risk control more than through aggressiveness. — Howard Marks

1. Apple Seeing Strong iPhone 12 Pro Orders in All Markets — prominent analyst reported that wait times are longer for the iPhone 12 Pro than the flagship iPhone 12 in all markets, “fitting the pattern of higher-end users more likely to buy early in the launch cycle,” Cabral says. IPhone 12 Pro demand appears highest in Asia, he notes, where wait times exceed three weeks on most models in both Japan and Hong Kong, with waits of two to three weeks in China, one to three weeks in Europe, and less than two weeks in the U.S.
2. Intel’s (INTC) Sells Nand Memory-Chip Unit to South Korea’s SK Hynix — SK Hynix will pay $9 billion for Intel’s Nand memory and storage business. The purchase includes Intel’s Nand solid-state drive business, Nand component and wafer business, and memory-chip manufacturing facility in Dalian, China. Intel will retain its Optane business and invest proceeds from the transaction to grow that business. The Optane division develops next-generation, nonvolatile memory chips with data speeds faster than Nand.The combination of SK Hynix and the Intel Nand unit will create the second largest Nand memory-chip producer behind industry leader Samsung. After the transaction, SK Hynix will have nearly 20% market share in Nand chips, vs. 35% for Samsung.
3. Hospitals Across the U.S. Are Crammed With Covid-19 Patients — U.S. hospitalizations for Covid-19 hit the highest point since Aug. 22, with New York doubling its count from early September and at least 10 other states reporting records. The U.S. on Tuesday had 39,230 people in hospitals, according to the Covid Tracking Project. Of those, 8,178 were in intensive-care units; it’s been two months since the U.S. had more under such care. The number on ventilators, 1,889, reached its highest since Sept. 10. Across the country, 37 states are reporting increased hospitalizations, including 21 states that have recently reported new records or are approaching previous highs, according to Johns Hopkins University data. While the trend is national, the hardest-hit region is the Midwest, according to the university.
4. Judge Amy Coney Barrett One Step Closer to Supreme Court — the Senate Judiciary Committee voted 12-0 Thursday to recommend Judge Amy Coney Barrett for a full Senate vote on her nomination. The vote paves the way for Barrett to be confirmed in the Senate where Republicans hold a 53-47 majority.
If confirmed, Barrett would shift the balance of the Supreme Court to a solid conservative majority. As the fifth woman ever to join the high court, she would also become the sixth Catholic currently on the bench.
5. Remdesivir Gets FDA Approval — the antiviral drug remdesivir received marketing approval from the U.S. Food and Drug Administration as a Covid-19 treatment. The FDA gave Veklury a broad approval, allowing its use in patients over the age of 12 who are hospitalized with Covid-19. A study published in October in The New England Journal of Medicine found that the drug reduced recovery times for hospitalized patients from an average of 15 days to 10.

The week ahead — Economic data from Econoday.com:

There will not be any re-cap for the week of October 16 2020 for some needed R&R.
Have a good week.

The week ahead — Economic data from Econoday.com: