☕️ Budget 2021 finally approved
3 key highlights about Budget 2021. Will NS make a comeback? Latin America's Alibaba - MercadoLibre.
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1. MARKET SUMMARY
*No changes in the US markets as they are observing the Thanksgiving holiday.
2. NUMBERS AT A GLANCE
32,000 people would be laid off by Walt Disney Company in the first half of 2021, mostly staff from its Parks division. Earlier in September, Disney cut 28,000 jobs. This came after its Parks business reported USD2 billion in losses as its theme parks across the world remain closed.
425 million people travelled in China during the Golden Week, which marks the start of the National Day holiday on October 1st every year.
$495.3 billion is the amount corporates in the US earned in the Q3 of 2020.
3. COVID-19 SUMMARY
4. IN MALAYSIA
Budget 2021 approved by Dewan Rakyat! 3 key highlights:-
Automatic approval for extended moratorium on loan repayment for B40 and micro enterprises.
i-Sinar will be opened to all contributors who have seen their income affected by the pandemic. Contributors can advance up to RM10,000 from Account 1.
RM85.5 million allocation for Jabatan Hal Ehwal Khash (JASA) will be reduced, quantum unsure.
However, the budget has only been passed at the policy stage and might still be rejected at the committee stage, where there will be more debates and votes.
The government will bring Jho Low back, provided they can locate him. Sorry, this shouldn’t have been news but thought you should know.
We are seeing yet again another plantation company reporting healthy results. TH Plantations Bhd returned to the black with net profit of RM15.77 million (3QFY20) compared to a net loss of RM31.61 million a year ago. When will the oil palm counters start the rally?
Top Glove Bhd’s chairman, Tan Sri Dr Lim Wee Chai said the glove maker’s dividend yield is estimated to be more than 6% for FY21. Based on the 25th Nov 2020’s closing price of RM6.65, 6% dividend yield translates to 40 cents dividend per annum. Not too bad considering the average FD rate is hovering at 1.8% p.a.
The government is planning to re-introduce National Service (NS) after it was abolished in 2018 by Pakatan Harapan as it was deemed wasteful and failed to meet its objectives of instilling patriotism and civic-mindedness amongst the youths. RM600 million was spent each year for running NS.
The ‘reason’ to re-establish it is to boost the patriotic spirit after leaving school. Patriotism is instilled when they are young, through a non-divisive education system and syllabus - not when they leave school and expect a single programme to boost or sustain patriotism amongst Malaysian youths. Who are the true beneficiaries of NS? Malaysians or the service providers to NS?
5. AROUND THE WORLD
Meet the USD63 billion e-commerce giant, MercadoLibre - Latin America’s version of Alibaba, which has PayPal listed amongst its investors investing USD750 million in 2019. With 100 million users out of a population of 650 million people in the region, MercadoLibre operates across 18 countries, generating USD1.1 billion in revenue in its latest quarter and processing USD14.5 billion in total payment volume. They have a market size of 28%, 7x of Amazon’s 4%.
Salesforce is reportedly in advanced talks to acquire Slack, the workplace messaging app for USD17 billion, making it Salesforce’s largest acquisition. Being part of the Salesforce family will give Slack more firepower, given the aggressiveness of Microsoft in pushing its Teams service, a Slack competitor.
Bitcoin fell almost USD3,000 today, the sharpest sell-off since Black Thursday in March. It is currently hovering around USD16,900 at the time of writing. End of the run or is this a healthy pullback before the bull resumes? HODL on Bitcoiners.
There’s V, U, W-shaped recoveries. Now, there’s K-shaped recovery. This happens as the upper layer of the society experienced an improvement in their economic well-being but the bottom parts of the societies continue to suffer economic losses caused by the pandemic. The pandemic essentially exposes the growing disparity of wealth and inequality in our society.
Thanksgiving is coming up this weekend. This festive gathering plus the winter season makes it a perfect environment for infectious disease to spread. A poll of 1,110 on Americans found that slightly more than one third are not taking any precaution during this Thanksgiving. Bad enough cases in America are the highest in the world. Expect cases to worsen in the coming weeks. Centers for Disease Control & Prevention (CDC) is expecting deaths to hit 300,000 before Christmas.
A tribute to the late Diego Maradona.
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