China Sues US For Sanctions on the Semiconductor Industry China Sues US , For Sanctions on , the Semiconductor Industry. On December 12, China launched a World Trade Organization (WTO) case against the United States over export controls imposed by the Biden administration. On December 12, China launched a World Trade Organization (WTO) case against the United States over export controls imposed by the Biden administration. ‘Newsweek’ reports that it was the first response to far-reaching sanctions put in place by the White House on national security grounds. According to industry experts, U.S. intervention was aimed at retaining American primacy in emerging technologies. . China’s lawsuit in the WTO is a necessary way to address our concerns through legal means and to defend our legitimate rights and interests, China’s Commerce ministry, via ‘Newsweek’. China reportedly accused the U.S. of vague national security definitions and abusing export measures. According to China’s trade ministry, the “protectionist trade practice” threatened the stability of global supply chains. ‘Newsweek’ reports that China is the world’s number one producer of commercial electronic devices. . The U.S. and allied companies control crucial checkpoints in semiconductor technology. . According to the Biden administration, China’s advanced chips are powering the country’s military modernization and endangering U.S. national security. According to the Biden administration, China’s advanced chips are powering the country’s military modernization and endangering U.S. national security. As we have already communicated to the [People’s Republic of China], these targeted actions relate to national security, and the WTO is not the appropriate forum to discuss issues related to national security, Adam Hodge, Spokesperson for the Office of the U.S. Trade Representative, via ‘Newsweek’ Money Talks News
Recession Looms As the Inequality Between Rich and Poor Grows Recession Looms , As the Inequality Between , Rich and Poor Grows . People all around the world are experiencing record-high inflation as prices for essentials like food, housing, heating and transport continue to rise. People all around the world are experiencing record-high inflation as prices for essentials like food, housing, heating and transport continue to rise. People with low incomes have been hit the hardest as double-digit inflation has exacerbated inequality all around the world. People with low incomes have been hit the hardest as double-digit inflation has exacerbated inequality all around the world. While high-income consumers can fall back on savings, many others have struggled to make ends meet with a growing number of households dependent on food banks. While high-income consumers can fall back on savings, many others have struggled to make ends meet with a growing number of households dependent on food banks. Despite strikes in sectors from healthcare to aviation, most workers have been forced to settle for wages that continue to fall well below the rising cost of living. Despite strikes in sectors from healthcare to aviation, most workers have been forced to settle for wages that continue to fall well below the rising cost of living. Global inflation has increased poverty and suffering in poorer nations like Haiti, Sudan and Lebanon. Global inflation has increased poverty and suffering in poorer nations like Haiti, Sudan and Lebanon. According to the World Food Program, 70 million people have been driven closer to starvation globally since the beginning of the Ukraine war. . The International Monetary Fund (IMF) predicts that global inflation will have fallen to 4.7% by the end of 2023. However, in October, the IMF’s 2023 outlook was one of , the bleakest in years. . In short, the worst is yet to come and for many people, 2023 will feel like a recession, International Monetary Fund October Outlook, via Reuters Money Talks News
CVS and Walgreens Agree to Pay a Combined $10.7 Billion Opioid Crisis Settlement CVS and Walgreens , Agree to Pay a Combined , $10.7 Billion Opioid Crisis Settlement . NBC reports that CVS and Walgreens will pay $10.7 billion to settle allegations that the pharmacies failed to adequately oversee prescriptions for opioids. NBC reports that CVS and Walgreens will pay $10.7 billion to settle allegations that the pharmacies failed to adequately oversee prescriptions for opioids. The funds will go towards opioid crisis abatement and remediation programs. Funds will reportedly be distributed among various state and local governments and federally recognized tribes. . NBC reports that CVS will pay $4.9 billion to states and political subdivisions, in addition to $130 million to tribes. Meanwhile, Walgreens will pay out $4.95 billion, on top of over $750 million in fees for attorneys and costs. In addition to fines, both pharmacies will also implement controlled substance compliance programs to review opioid prescriptions and provide mandatory training. The opioid epidemic has tragically affected too many Illinois families that have experienced addiction or even the death of a loved one, Kwame Raoul, Illinois Attorney General, via NBC. This $10.7 billion settlement with Walgreens and CVS builds upon the important progress we’ve already achieved with previous settlements, but more importantly, it holds both companies accountable, Kwame Raoul, Illinois Attorney General, via NBC. NBC reports that the overdose death rate from opioids tripled between 2011 and 2020. In 2011, the nonprofit State Health Access Data Assistance Center found 7.3 deaths per 100,000 people were opioid related. By 2020, that number had climbed to 21.4 deaths per 100,000 people Money Talks News
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Oil stocks skyrocketed in 2022, so it’s no surprise funds that track the energy sector were Wall Street winners this year. But the top fund of the year is a surprising one: It invests in a variety of companies based in Turkey.
The iShares MSCI Turkey exchange-traded fund had more than doubled as of December 19, according to data from Morningstar Direct. The fund has big stakes in Turkish financial giant Akbank, Istanbul-based retailer Bim and the parent company of Turkish Airlines.
Turkey has been hit hard by inflation, like the rest of the world, and its currency, the lira, has plummeted against the US dollar and other leading global currencies.
So why the big gains?
Turkey’s stock market thrived because the country is doing something most others aren’t: Its central bank has been slashing interest rates to prop up consumer spending. Turkish President Recep Tayyip Erdogan wants to keep rates super low. He has even fired several central bankers in the past few years who refused to lower rates.
The Turkish economy has slowed recently as unemployment has risen, but the instability has not hurt Turkish stocks. The iShares Turkey ETF has also had a lift from higher energy prices, as refinery Tüpraş is a top holding.
Other US and international oil funds and ETFs were also at the top of Morningstar Direct’s list. (Morningstar Direct provided CNN Business with a ranking of the best and worst mutual funds and ETFs for 2022, excluding so-called leveraged funds that make outsized bets on stock market indexes.)
The United States 12 Month Natural Gas (UNL), Energy Select Sector SPDR (XLE) and several oil/energy funds run by top investing firms like Fidelity, Vanguard and BlackRock’s (BLK) iShares are all up between 50% and 80% for the year.
A look at the losers
In this rocky year for stocks, there were significantly more losers than winners in the mutual fund and ETF world in 2022. The SPDR S&P 500 ETF (SPY) and Invesco QQQ (QQQ), which track the S&P 500 and Nasdaq 100, were down 19% and 31% respectively.
But no funds were hit harder than ETFs with exposure to Russia.
Most funds with investments in top Russian companies either liquidated or halted trading following Vladimir Putin’s decision to invade Ukraine in late February, an act that essentially forced the United States, Europe and rest of the Western world to cut ties with Moscow and Russian businesses.
Investments in Russia ETFs from iShares, VanEck and Voya were pretty much wiped out.
The carnage in cryptocurrencies also hit several funds hard. Bitcoin prices were plunging even before the collapse of former crypto unicorn FTX. But the stunning demise of Sam Bankman-Fried’s company sent further shock waves throughout the industry.
Funds from Osprey, Grayscale, VanEck (again), Global X, Bitwise, First Trust, Invesco and many other institutional investment firms all tumbled more than 70% in 2022.
© Provided by CNN The plunge in bitcoin prices and bankruptcy of FTX have decimated crypto ETFs in 2022. – Anthony Kwan/Getty Images
Other once-trendy funds were also hit hard this year.
Several of the Ark ETFs run by Cathie Wood, which had significant exposure to Tesla (TSLA), Coinbase, Zoom (ZM), Roku (ROKU) and other momentum tech stocks that have dropped precipitously in 2022, were among the biggest fund losers.
Numerous funds focusing on cannabis stocks also, ahem, went to pot this year. Cannabis ETFs from AdvisorShares, Global X and Amplify all plunged more than 60%. Even though more states are legalizing recreational and medicinal weed, intense competition in the business is making it difficult for cannabis companies to generate profits.
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