For life We're driving so You're gonna have to bear with her Y'all I need you to know that I don't direction well or drive the best so Worst with directions If yes That's probably true It's funny cuz we got Kujo in the car with us He always rides here. I can't even tell you guys He's perched up and this is what our downtown looks like You guys ever been to Dallas There's deep L. I'm down there It's under construction if you can see all the cranes We still have stuff on the roof. We still have our move. You can see it We have our walls on the roof of our car From the arts festival from the arts festival. I don't know if you guys saw the videos, so let's just go slow So the arts festival was Amazing it was completely bananas. We had a great time the first day. It was like 80 the second one day It was literally 30 and it snowed It wasn't she if you know her by now, you know that she exaggerates First day was like Maybe 65 and it rain lies. It was in the 70s for sure and it rained so What we had to do is we set up For what two or three hours Nobody thought it was gonna rain and then it just came down. So we had to break down Put our tin away basically like cover it up and then it lasted for maybe 25 minutes and then the Sun came out and it was decent cold and then the next day it snowed Oh my god, it was snowing the next day and if that is no exaggeration. It was like sleet like I Consider anything that looks like sleet snow anything falling from the sky. That's not rain in his world is Definitely snow. Yeah, I Would love to read these comments Glasses on they love your glasses Look at this guy. This is what I get to deal with when she's driving He's mr. Impatient He is your son Anyways, so let me just share with you guys what we learned from this year's D-Bellum arts festival 2018 Dallas, Texas Be prepared for any kind of weather because Especially in Texas. It's bipolar. So have an umbrella Eskimo gear shorts, maybe even a swimsuit space heater space heater a box fan Some incense Because if it gets hot and you're near any kind of trash can The incense just straight up that we were near the beer booth and then their trash can so it was extra funk Be your funk, but it was all right. It was all right. We had an amazing time We loved seeing you guys. Thank you so much to Megan for bringing us presents and To Greg who's bringing us presents today Today Greg is bringing us some art boards for us to review. He is bringing us homemade like cradle Y'all I'm out of red lights. I don't like have a problem with me like hands-offing E science term hands-offing hands-offing so Who else came out Bruce came out and saw us Bruce? He was he was very Straight to the point. He seemed like he was like, hey, what's up guys? It was really crowded And it was it was very it was really about it We went through a hundred coasters. I'm gonna set red Barbie. It said Bad connection That's fine. It'll be fine so we had we made a hundred coasters at least and sold Almost all of them. I think we have like 20 left right So the lesson from that is Wings Festival anything like that Something small where people can pick it up and take you can make something for five dollars that takes thing make it if you have a print that you sell them for dollars five dollars because what a box of paper is what a high quality high quality is what? $19 bucks You sell for prints and you're You already made your money. Ultimately. We made the cost of our booth back on coasters so oh If we sold nothing at all other than coasters, we still made a profit Just on having little things last year. We did it as well the fair Festival and we didn't have anything small by the end of the first day We had made our money back, but it was a hustle the coasters and sold themselves So moral story is have something small and tangible because people just want to leave with something I'm here. I want to kind of like if you go to an actual fair and you're like Can I just win a toy? It could be just a key chain. I just want something Same principle What else did we learn? If it seems like it might take a while or or this is what I came up with And I know this is gonna sound kind of like I'm going deep tomorrow's gonna come like tomorrow's gonna be there So if you're thinking oh my god, I don't want to do this It's it's gonna take forever if it takes you two hours. It takes you six hours. Just do it Just just do it get it done. You're talking about a painting anything Anything whether it be setting up at an art festival painting The gym the gym. Yeah Worrying about if it's gonna rain. Don't stress about it.  His moral is don't stress. Just get it done. Let's get it done. Basically ultimate Cliffnotes version. I don't know how to really speak it. I don't know how to e-science it We're gonna have to make sure to say e-science. Also, thank you to Deb who did not get to come out She's been sick, but She sends me every time I have like a question about any kind of science that's happening in my brain She'll send me like the actual real-world science of what I'm saying makes me happy. Are there people watching this? Yeah It just looks blurry Jeff needs to get lacy. I need lacy anybody out there do lacy, right? We are gonna do the live Q&A. It's coming up We're gonna probably do it a Friday at 6 p.m. I'll confirm confirm by tomorrow also, sorry We didn't post yesterday. We slept Literally all day all day Just we didn't sleep. We just Well, I slept till noon, which never happens All the things came up. Thanks y'all.  What is it a parrot a parrot pup? Unless we're at home these develop rope up It's true Unless we're outside and then he's like mouth my mom don't care what happens to me. I'm gone and just so you guys know We can see all the comments every now and again. They'll like fade in and fade out I think it's just because I'm on the road time a new comment pops up. That's when that goes up That's kind of cool it fades out So what else can we share? Oh, we're going today to get the silver mayron because you've had requests for it We have a store here in town called Norcosco. It's a body art It's a costume store Yeah, you're in the wrong way go slow don't stress right your new mantra. Yeah, no no stress about it. Just Make it so right now We're going to Michaels because we need more resin and for the people that wonder why we don't get gallons of resin at a time It's because you're gonna have to tell me where to turn just go straight. It's because At Michaels we have like 40% off 50% off coupons plus tax exemption because we're business So for 32 ounces of resin it costs us about 21 22 USD Dollars so it breaks down to way less than Sometimes it's 50% off I said 40 or 50% off Oh DC puppy. Oh I know it He's so brave in the car Not so much when he's out So, uh, what else? We'll save all the question and answers for later. Oh, yeah Friday 6 p.m We're gonna do it. We're gonna Friday at 6 p.m central standard Dallas regular time sorry for the road This is Henderson and it's notorious for being a shitty. Look at this I'm going and it's probably one of the busiest streets like on a Thursday through Sunday Because there's bars and restaurants and all that fun stuff down here I really want to know since we're doing q&a for you guys. I want to queue for your a I want to know We are not drinking. No, um We have orange juice. That's about it and one five-hour energy that we split because frugal um Do you guys like these live videos? Would you like to see us pour live or is this something that you're like? Oh my god, can you guys just get to the artwork? Can you just not? I want to know if we're like just clogging their feed of random videos Are you like come on? Can we just get to the cat videos? You have to stop. I'm stopping. She's going to run people over I was even paying attention. She doesn't pay attention. Is shell shack open? Shell shack. Look they have this time Wow Well, there's Susie axham and there's Henderson tap house. Yeah, there you go We don't got a tap house anymore since It doesn't work there So, I guess that's all the updates that we have for you guys. Rootner Thank you for watching. Thank you for coming out. Thank you for supporting us. All of the thanks Oh and another thing we we've said before um Just because you don't like Something that you've painted or that you've drawn or something that Normally that you would sell Just because you don't like it somebody else will it's a guarantee It don't matter if it if somebody wants to buy it for five dollars or two thousand dollars Somebody will buy it somebody will love it. It's it like goes to the uh We should have taken them by take it take it left. We're gonna show you a wall that I painted Actually her and I painted as well um Somebody's gonna love it.  Yes, it's true And so We we have paintings that we thought would be first to go at this festival And we still have them and we have pieces that we just took because why not first to go first to go And everything we sold of our artwork besides the coasters was 25 dollars and over Amazing. Um, I can't go through there It's not an alley. I missed the alley So, yeah, just Bring it. I keep thinking I'm looking over here Over here, but the camera's over Okay, how do I get there y'all just hang on for 17 seconds. We're gonna show you a At least to live over here right there now it's gone Way back um I painted with another individual Help me. I won't mention his name But uh It was one of the biggest walls I've painted and they just wanted bright colors There it is. Here it is Me and Erica painted the front of it the whippersnapper there and then the side one I didn't do that Jared did that and then this wall Just go up and let's do a parking lot We really need to touch it up That's about 60 feet and it's probably one of the most uh photograph walls In Dallas in Dallas right now people take their wedding pictures. It's Engagement photos party photos baby photos baby photos dog a lot of dog photos pretty cool, huh? Okay, I gotta drive and We're almost at Michael's we're gonna have a pour up today I have an idea about a pour that I want to do it's called negative Four tilt challenge One two three four Meaning four four way tilt and that's it. You got to leave it alone. I bet he doesn't leave it alone Do that, babe. I can't My son used to do it Or chuck a milk Anyways We'll see y'all later today So This hit end Such a dork Okay


Good morning, welcome to CMC Markets on Friday the 5th of November and this quick look at the week ahead beginning the 8th of November with me Michael Hueson. It's certainly been an interesting week, there's certainly been plenty of fireworks for want of a better word, albeit a day earlier than normal with the unexpected decision by the Bank of England to leave interest rates on hold. While the reasons for leaving rates on hold were probably justified on the merits, decision to do so actually came as a big surprise to Markets in general and I think that's I think that's important because I think as governor of the Bank of England Andrew Bailey had the opportunity this week to change the perception if you like and I suppose the competence of the Bank of England when it comes to forward guidance, I think forward guidance is an important concept when it comes to monetary policy decisions the Federal Reserve performs it fairly well, I mean it's not foolproof but nonetheless I think it gives Markets a decent insight into policy makers thought processes when it comes to setting out the tram lines or the guidelines for monetary policy and this week's decision by the Bank of England I think was a massive letdown in that regard. It was extremely surprising that the Bank of England decided to pretty much perform a screeching uter given the fact that Governor Bailey had briefed on more than one occasion in recent weeks that a hike was coming obviously he didn't say when due to rising inflation expectations but the sudden tilt or the change of tone obviously caused Markets to front run the possibility of an interest rate hike now whether it happens this month or whether it happens next month or potentially in February it's neither here nor there previous to that Markets weren't pricing in a hike at all in the next six months so the change of tone was important in terms of repricing the Markets and in that context I think you know what the Bank of England did yesterday was unforgivable now the view by Andrew Bailey was reinforced to a certain extent by new Chief Economist Hugh Pyl although he did soften the comments a little bit but they certainly didn't soften them enough to rain back market expectations that the Bank of England might well disappoint not only this week but potentially this year you know and what was more dumbfounding I think than anything else was that having set this hair racing a few weeks ago Bailey then voted to keep race unchanged as well with the statement only saying that a rate rise was likely in the coming months well you know when you know three months six months one year you know the events this week are a huge ungoal for the central bank it's already widely distrusted by the markets due to the unreliable boyfriend era of Mark Carney Bailey had the opportunity to reset the narrative when he took over and restore the central bank's credibility and discipline on messaging and on every conceivable measure he's failed he's botched it he's botched it in a fashion of more Bill Bailey than Andrew Bailey with all due respect to Bill Bailey who I think is a very talented musician and comedian but we don't want a musician and a comedian the central bank governor we want someone competent and I think you know in terms of future messaging from the Bank of England it's going to be very very difficult for markets to take them seriously when it comes to projecting their forward guidance the signal to noise ratio in terms of forward guidance is going to have to go up by a factor of five or ten never mind one ping only virtually you're going to need two or three to signal potentially further guidelines for interest rate expectations and forward guidance we've seen the pound fall we've seen yields fall aggressively and to my mind that is a failure of policy on the part of the Bank of England you know he's making you know Andrew Bailey says it's not his job to steer market expectations on interest rates poppycock that's exactly your job now we can see from this chart here that we've seen a sharp correction lower not only in the 10-year yield but the two-year yield on the plus side of that though the yield curve has steepened so that in the short term should be positive for banks we did see a big sell-off in the aftermath of the decision on Thursday but we have seen a little bit of a rebound in the prices of Lloyds and that was today and and amongst all of this when you contrast what happened with the Bank of England what happened with the Federal Reserve on Wednesday it's chalk and cheese you know the Federal Reserve started announced the starting of its tapering program $10 billion a month of US Treasury's $5 billion a month of mortgage backed securities starting this month and the markets didn't bat an eyelid because the ground had been prepared beforehand you can criticize the Federal Reserve for being behind the curve you can criticize them for any number of reasons but what you can't do is criticize them on the basis of their guidance the decision basically went through fairly seamlessly they did push back somewhat on expectations of future rate rises and the market took that pretty much in its stride but they didn't do a screeching handbrake turn on what markets had been expected the ground had been prepared quite nicely beforehand and ultimately it's down for the central banks to keep markets fairly stable now on the plus side and there is a plus side to all of this for the Bank of England FTSE 100 is actually gone higher since that decision was announced and that really does tie in with my bullish scenario on the FTSE 100 going forward we're certainly moving higher and we could have the potential to meet my end-of-year target of 7400 over the course of the next few days we've only got less than two months to the end of the year my end-of-year target 7400 I'm increasingly optimistic that we could well head towards that target and potentially meet it in fairly short order at the moment when I look at stock markets generally the outlook looks fairly positive we've also seen new record highs this week from the German DAX as well back above 16,000 and holding above 16,000 so you know things look fairly positive we've gone above the previous highs and we could well continue to move higher it's also been a positive week for US markets as well the S&P 500 I mean obviously that rise is looking increasingly parabolic but ultimately for me you don't stand in front of a runaway train you basically jump on board and hopefully jump off before it comes to a screeching before it hits the wall but at the moment we look as if we're going to continue to head higher all the indicators at the moment are for very much buying the dips when it comes to stock markets and it's been the NASDAQ more than anything that's been leading this move higher tech stocks are pretty much outperformed this week and and look like they're going to continue to do so going forward if we look at Asia markets particularly the Nikkei 225 in a slight underperformance there that looks like it's going to continue to be the case but what I would say is they've still got potential to go back to the range highs the Nikkei 225 the range highs that we saw back in February and September so what does that mean for currencies going forward well certainly I think in terms of the pound this week's events have been an absolute hammer blow to my bullish case and obviously I've had to throw in the towel on that I no longer think that the pound the pound I think now has the potential for more downside risk than upside risk the Bank of England is going to have to do an awful lot of heavy lifting to claw back any of that credibility that they basically carelessly discarded into the trash can earlier this week more importantly if we look at the sterling index we've broken below these lows here and that but you know that bodes pretty poorly in terms of the potential for future gains there's obviously the big set off yesterday we've broken through the lows of the last last few weeks as well certainly in terms of cable and the downside now look we're looking for a retest of these previous lows at around about 130 410 if that fails to hold then we could well see further declines back to this level here which currently comes in around about 130 160 certainly 130 130 160 is the extent of any push lower or the bottom of this channel here if we break below 134 I would hope that that level would hold certainly I think the bullish case for sterling is looking incredibly shaky at the moment and I think the only saving grace that I would have for that is euro sterling and the ECB but even that now is starting to look increasingly shaky but having said that euro sterling has been in a range pretty much for most of the last six months and I would be surprised even if we do get further sterling weakness if we take out these peaks that we saw back in September of around about 86 50 86 70 I still think that is confined to the range simply because even if the Bank of England has lost a bit of credibility over the course of the past few days the ECB is not going anywhere either they're not going to be raising interest rates anytime soon and I'm probably not going to be raising them next year even if the markets are starting to price in the prospect that that might happen I can't see it myself okay so what are the key events that we've got to look out for over the course of the next few days well obviously there's been concerns about the Chinese economy in particular markets don't appear to be overly concerned about that all the concerns about ever grand appear to have disappeared into the mists of time I have a feeling that at some point over the course of the next few days they may come back with a vengeance but nonetheless we've got a whole host of economic data coming out of China over the course of the next couple of weeks starting with Chinese trade numbers and these have actually proven to be slightly more resilient in recent months despite the disruption that we've seen that Chinese ports and the various lockdown restrictions that have affected an awful lot of the country over the course of the third quarter we have seen recent weakness in retail sales numbers which suggests that demand in the Chinese economy as continuing you know has slowed considerably albeit it might start to pick up as we head into Q4 now as I said we've seen a bit of an improvement in the China trade numbers and I think are not other reasons for that have been as a direct consequence of the disruptions to global supply chains meaning that retailers have brought forward their pre-Christmas order spend in between in order to ensure delivery time delivery in time for the Thanksgiving Black Friday and Christmas periods over the course of the next few weeks in September Chinese exports rose to a three month high of 28.1 percent while imports are imports slowed almost halving from the September levels of 33.1 to 17.6 and I think that the reason imports fell was obviously largely to the various power cuts production shutdowns in China's heavy industries during that month in response to the sharp rises that we've been seeing in energy markets which made carrying on producing those energy intensive materials much more economically unviable essentially so in terms of exports we're expecting to see a rise around about 21.5 percent maybe potentially even more while import demand should rebound to around about 23-24 percent so those Chinese trade numbers should give us a decent bellweather into demand external demand as well as internal demand for the Chinese economy. Obviously we've also got US CPI probably not so much of a concern now that the Fed has started tapering and obviously we have this afternoon's US payrolls report which is which is I record this video I don't have sight of but I would be very surprised if we didn't see a significant improvement on the 194,000 jobs that we saw added in September I would expect to see an upward revision to that number and I would also expect to see a decent improvement in the October numbers as well given the fact that weekly jobless claims and continuing claims have come down week on week over the course of the past four weeks and actually continuing claims now are only 400,000 higher than they were pre-pandemic when they were trending at 1.7 million they're now only they're now trending at around about 2.1 million so you would expect to see a significant improvement in the US labor market as a consequence of that in terms of US CPI for October expected to see a further rise in the headline number from 5.4 percent to 5.8 now if US CPI for October comes in at 5.8 percent as is being forecast that will be the highest level since 1990 while core prices are also expected to come in at 4.3 percent up from 4 percent in September and a large reason for that will be once again energy prices food prices and what have you there is inflation coming through down the pipe as a result of rising energy costs and supply chain disruptions so a really hot number there could also start to see the market or increase the pressure shall we say on the federal reserve to potentially speed up the process of its tapering program and I think that will be where the next debate where the next discussion starts to unfold it won't be about a rate hike it'll be about well it will be about the timing of the next rate hike and whether it happens in 2022 it'll also be around the timing of whether or not the Fed speeds up the termination of its asset purchase program we've also got UK third quarter GDP the first iteration of that now recent recent data would suggest that the UK economy has slowed in the third quarter we did see a decent upward revision to the second quarter numbers to 5.5 percent which means that at the end of Q2 the UK economy was in a much better place than was originally thought now obviously Q3 we are going to see a little bit of a slowdown manufacturing particularly new car production was and is likely to remain a drag due to the various semiconductor chip shortages and maintenance shutdowns in the North Sea but in terms of Q3 including the summer holidays the school holidays that should be reflected in the decent improvement in the index of services numbers even though it hasn't been reflected in the retail sales numbers so you would expect to see a decent level of GDP growth in the third quarter but you're probably still going to see a slowdown from 5.5 percent to around about one and a half percent certainly the monthly GDP numbers over the period do suggest that that very slowdown and there is a risk that these numbers could disappoint to the downside on the 11th of November that could be remembrance Thursday but but overall if we if we look at if we look at the effect that a strong GDP number not strong a strong CPI number should have on the US dollar obviously the narrative this week has shifted from which central bank is expected to hike first probably won't be the Bank of England now it's more than likely it's going to be the Federal Reserve having said that we could be sitting here a month from now or just over a month from now six weeks from now talking about the fact that the Bank of England have decided to push interest rates up from 0.1 percent to 0.15 percent who knows that's the real shambles from this week's events no one really believes a word the Bank of England is now set to say and any message will need to be amplified by a factor of 10 if they want to get their message across because essentially they're going to get the reputation of the little boy who cried wolf and ultimately when there is when they do want to get a policy message across people just want to listen and that's the real damage I think from this week's events anyway let's bring me on to the company results and the numbers that I've got a particular eye on this week while we've seen the FTSE 100 make a fresh 20 month high we've also seen some fairly decent performances across the board from a host of host of companies this week who are currently being able to pass through pricing or pass on price increases to consumers with a very little effect on sales now whether or not that will continue to be the case as we head into the Christmas period and beyond that is open to debate but we've certainly got a couple of retailers this week that I've got my beady little eye on and I'm going to start off with Marks and Spencer's which is a staple has been a staple of the UK high street for for the last 100 years or so so looking at Marks and Spencer's we've we've seen a number of full storms over the past few years you know ever since I've been reporting on Mark it's Marks and Spencer's has been basically talking about turnaround plans with respect to its general merchandising business you know and I don't think today or this week is likely to be any different but one of its key crown jewels has been its food business its food business has done very well indeed I think what the pandemic did do was it forced management to make some very difficult decisions with respect to some of its stores and given the fact that company reported a decent set of numbers back in Q1 this is this this week is M&S's first half numbers given the fact they posted some fairly decent numbers back in August and you can see that here when this move higher expectations I think quite high that they'll continue to deliver as we head into Q2 and do the and basically do the first half so the food division saw a rise of 10.8% on last year and 9.6% on 2019 now obviously a large part of the reason for that has been the tie-up with Ocado that's really paid dividends for them general merchandise can continue to be the laggard but even here there are signs of optimism with sales only down 2.6% on 2019 levels in Q1 with a 92.2% improvement revenue-wise from 2020 so clothing and home clothing and home online sales were up 61.8% on pre-pandemic levels so it's clear that they're going in the right direction the outlook management expect to see profits before tax that come in at the upper end of guidance of 300 million to 350 million pounds so they will nearly they'll really need to deliver on that when they report later this week on the 10th of November and if we go back we can see that we're still below the highs of 2020 and the big level for me is that 200p area 210 if we can get back through there and by the looks of this chart it's a big ask but what I would say is that the lows are getting higher than the potential is for the recovery plan to continue but we need to take out 200p to I think reinforce any confidence this turnaround plan for Marks and Spencer's is starting to bear fruit now looking at associated British foods and Primark you'd be forgiven for thinking that they're in a lot of trouble but when I actually look at the numbers for associated British foods and this is their full year numbers and they're due out on the 9th had a really poor year share price wise I mean we started back in December here yes we're off the lows the pre the pandemic lows of March 2020 where we've got big big support but over the course of the past 11 months the share price after peaking in March and April has gone on a slow downward glide and it's been one of the worst performers this year on the FTSE 100 and these declines have come despite seeing a stronger than expected recovery in its Primark business need to remember that Primark doesn't have an online business so when the shops were shut there was no revenue coming in at all for Primark but it does have other businesses Primark sales for the second half of this year are expected to come in at 3.4 billion with operating margins expected to come in at over 10 percent however in the second half of the half or the second quarter or the last quarter of the half like for like sales were 17 percent lower than they were in 2019 as the pent up demand effect that we saw in the reopening July August and September rolled back obviously you also had the August various self-isolation restrictions during Q4 which also hampered footfall at stores as well so again the lack of an online operation there hampered its recovery and we have seen improvements in food, sugar and its agricultural business as well so you would expect to see a little bit of an improvement and a much more positive outlook and certainly the share price does appear to have found a bit of a base and perhaps this week's full year numbers along with more positive guidance for four year 22 next year should give the shares an additional uplift as we head towards Christmas okay moving on to AstraZeneca 12th of November seen steady gains in AstraZeneca shares it's been sort of the it's been a little bit I think it's been the ginger step child of the vaccine companies a little bit it's it's it's struggled relative to its peers Pfizer and what have you but it's going in the right direction the Alexion tie-up has has the potential to improve its finance its vaccine revenues are likely to increase we saw an increase in vaccine sales of $894 million in Q2 in Q3 that would be that will hopefully improve now that AstraZeneca is starting to charge slightly more money for its Oxford vaccine it was always provided at cost for the initial stages of the pandemic but as new contracts are drawn up they're sure to extract a slightly higher price for it even if they don't charge $21 a dose which is what Pfizer are charging for their own vaccine sales I mean if you look at Pfizer's vaccine revenue it's $36 billion or a projected to be $36 billion which is a huge amount of money and when you consider that their total revenues for 2019 were $41 billion pre-vaccine it gives you an indication of a money spinner that the vaccine is given companies like Pfizer, Moderna and beyond tech when it comes to selling their vaccine worldwide so seen some fairly decent gains looking to potentially we're we're sort of the top end of the recent range over the course of the past over the past few weeks and certainly the AstraZeneca shares are looking to potentially retest the record highs that we saw all the way back in 2020 so certainly the direction of least resistance at the moment for AstraZeneca is very much towards the upside as Pascal Sorio continues to basically work his magic on the vaccine or on the on the AstraZeneca share price also got Coinbase quickly spin this out Coinbase has continued to do fairly well recover from its lows of early this year there is a concern an overriding concern about the company's revenues going forward because if if the recent numbers from Robinhood markets are any guide there is an expectation that these numbers could mistr the downside now why did I say that well despite the record highs that we've seen in Ethereum and Bitcoin a collapse in crypto trading revenue on in Robinhood suggests that while markets in crypto have been going up people probably aren't taking part as much in the move higher now Robinhood markets certainly may not well be a bellwether for the crypto market but the fact that crypto revenues fail so much suggests that that may have been a trickle through effect into Coinbase and Coinbase don't have the option of trading any other markets is very much a crypto company so when Coinbase reported back in Q2 management were circumspect quite rightly by the sounds of it about their Q3 guidance an awful lot of the improvement that we saw in Q2 was driven by Ethereum trading well obviously that has hit record highs so we could well see we could well see a significant boost there I think in terms of Q3 profits were expected to see then come in at $1.75 the share which would be slightly down on the expectations of Q2 Q2 profits were boosted quite significantly by one-offs and if we look at say for example revenues in Q2 or trading volumes they were around about $462 billion so trading volumes in Q3 could struggle in that context revenues in Q2 came in at just above $2 billion so I think if they do equally as well in Q3 they'll be doing very well indeed so Coinbase numbers are due out on Tuesday the 9th and we're going to wrap this up with Disney it shares our trading a very key support level down from their March record highs and testing support around about $165 billion now I think market expectations over Disney's third quarter numbers were high and that was for several reasons not only was the company adding new subscribers to its Disney Plus streaming platform on a fairly healthy clip but the start of summer also marked the reopening of its theme parks holiday resorts albeit operating with lower capacity constraints and higher costs nonetheless they were able to beat expectations in Q3 coming in at $17 billion parks division generated income of $356 million however and I think this is why the share price has weakened a little bit the company said it was still seeing disruption in its film and TV production and the extra costs involved in this were expected to reach a billion dollars you know and that's quite a healthy chunk of change the range of new content helped Disney Plus beat expectations on new subscribers $116 million above expectations of $113 Q3 profits were expected to come in at $0.48 a share so I think the big question here for me is whether or not they continue to add new subscribers obviously the Fox the additional the addition of star to the content library is probably going to help drive acquisitions there so I think the big question here is with the with the onset of winter and do we see a little bit of a slowdown in theme parks or holidays or with the reopening of US travel routes do we see a pickup of travelers to European travelers to the various Disney results in Los Angeles and Florida so it'd be interesting to see whether or not we get a bit of an upgrade on guidance due to an increase in vaccinated visitors from Europe and the UK for the winter months for the theme park operations okay so I think I pretty much covered everything that I wanted to in this week's weekly market update once again like thank you very much all for listening wish you all a happy bonfire night or bonfire weekend stay safe with fireworks stay safe with the trading and have a great weekend thanks very much for listening


Good morning. Good afternoon. Good evening. My name is Sudhir Murati. I was the former vice vice president of international water association. I've had a career in innovation both in the adoption. I was the innovation chief of a very large water utility serving Washington DC for 16 years and more recently I've been involved in the commercialization of new technologies. So I know this field from many different perspectives and it was really very rewarding for me to watch this movie The Brave Blue World and it's very inspirational and certainly would like to thank Paul Oklahan for an outstanding and thought-provoking the movie and documentary that he helped produced and led the production of. I want to introduce Paul as our leadoff panelist. Paul, I think of him as an inside out person and his qualifications kind of talk about it. He has a degree in biochemistry, a strong science fundamental but he finished it off with a PhD in innovation and so he takes a perspective of innovation from the inside understanding the core fundamentals and then explaining it and developing it out from into what it is and the movie The Brave Blue World speaks to that and it talks about innovation, it talks about some of the fundamentals of how we can inspire change in water. Paul, he started a company called Blue Tech Research which is now quite famous just about a decade ago. He noticed that the adoption rate in the water sector was very slow. It takes sometimes 10 years to adopt a new technology and that's quite frustrating for innovators and so his mission with Blue Tech Research is really to create that change in the water sector and how we can change the adoption rate of technologies and he's also a strong fan of entrepreneurship and you can see that in the movie this whole aspect of entrepreneurship in water. Paul is an optimist, he believes that you can inspire change and you can have and you can solve the global water crisis using innovation and technology and it's his mission to make that happen. Paul, I would like you to perhaps describe how you develop this movie and what was the inner workings in your mind when you came up with this concept. Thanks Sudhir. I was happy to be a conduit for the film. I do think that you know for those of us who work in the sector day in day out, everyone on this panel, everyone watching in, the members of the IWA, we're all committed to trying to make a difference to the work that we do and there's you know there's a motivation and a purpose to our work and we want to make a difference. What I began to see was that there were certain parts of the world that things really worked and it's not for lack of technology or finance that that we're not able to solve all these water challenges that we face it's really policy, finance, technology and people and people are really the key piece and if you look at where things really start to click with water that common denominator is when ordinary citizens get engaged with this topic and so I felt there was a narrative out there that was a very doom and gloom narrative that people are hearing if I mentioned what I was doing in certain parts of the world this oh water will be the next oil or people will fight wars over water there were other places where people would really connect with this and they would be excited to tell me oh well you know we've got water reuse in Singapore and when I say I was a conduit for the film the stories were there to be told okay those positive stories are out there and when I began to explore this idea of using storytelling as a medium I found that there was incredible support from a broad range stakeholders the Water Environment Federation, DuPont, Zylem, L'Orealis who has all believed that this was something worthwhile for us to pursue and and then it became an incredible roller coaster and an incredible journey and there's the whole magic that goes with you know putting these stories together and people came on board in ways we couldn't have imagined Liam Neeson and others like Matt Damon and Jayden Smith but more importantly it was the characters in the stories like Beth Koegi in Kenya or Frank Rogala in Spain or Dixon with Sanivation that really struck a chord with people and people made that's what we were looking for it was that emotional connection so now that we've completed that film we're excited to be sharing that message and I think that's why this panel today is is great because everyone involved here is very futuristic and forward-looking in their own way whether that is looking at innovative tariff structures for water which Rose will speak about to deal with equity issues and affordability or equity in terms of people participating which I know that Yati will cover and T has been involved in a very interesting scenario planning project and France of course with Procter and Gamble and the 50 liter home initiative is looking at how on earth can we make 50 liters feel like 500 liters and that's all super exciting stuff to be focusing on. Thanks Paul that's really really inspiring. Storytelling is the way to go right it's how one can actually create change is through inspiration and telling stories. France, France Besnick is with Procter and Gamble he's the head of R&D and Sustainable Innovation at that company but France actually prefers to be called a climate activist and he works at a big multinational company but that's what he sees himself as that's his role serving just maybe just a few billion customers five billion customers around the world. France has over 20 years of experience in R&D. He's a passionate innovation leader and with a track record of really many different products in PNG in brands like Tide, Iriel, Swiffer, Mr. Clean. France in his past role was involved in the single rents and cold washing innovation at Procter and Gamble but also he was instrumental in this single dose concept the Tide Pods. I've used Tide Pods quite a bit myself so so France's latest initiative which I coined Podularization is this 50-liter home and so I'd like France to maybe describe this 50-liter home concept in the context of innovating in the water sector and innovating for our customers and the public. France? Thanks Andrea, thanks. As the global head of sustainable innovation for PNG I've been always obsessed with water in fact 70% of our products use water in the homes whether it's shampoo under the shower soap and the kitchen the bathroom sink or you know a handish product under the kitchen faucet or laundry or toilet and that really is how it conditioned my life of innovators. I started to create single rents and detergents as you say but you know really that took another dimension about two years ago when the famous day zero looming day zero was the threat in Cape Town and that really was the starter of the 50-liter home. In fact what happened is under that looming threat of the day zero the day where there's no water of the tap at all, Cape Tonians were asked to brutally constrain the consumption of water from 150 say to about 50 liters per day per person. What we did is we went onto the ground and lived the life of people in Cape Town to see what's life about at 50 liters per day per person when there's no innovation and life is not real. Life is of sacrifice and even frankly health hazards and when we came back and looked at the water usage around the world where it goes as high as 500 liters per day per person in fact my shower in the morning a 10 minute shower in the morning can go up to 100 liters just was first 10 minutes in the morning so that's that's what inspired the ambition what if what if we could make homes of tomorrow that run at 50 liters per day per person but feel like 500 liters and that opens a new hurry of innovation around water reuse and how we can bring water use inside the homes at every point of use in the in the homes and that's what PNG has a lot to do. Actually I talked about my showers but do you know that before we clean your hair we clean the water that cleans your hair before we clean the dishes we clean the water that cleans the dishes before we clean the laundry we clean the water that cleans the laundry so what about cleaning the water after what about creating you know circularity in the water reuse in the home so that's the that's the big ambitions and of course we have two partners with partners that create new appliances infrastructures inside and outside the home so we can ultimately decentralize and modularize water and water use and reuse in the homes as as burrow streams so to to deliver the 50th home vision we've in fact gathered a coalition called the 50th home coalition over the entire value chain of water and that comprises partners like quarter and an Electrolux for bathroom and laundry and dish appliances partners like NG and Suez on utilities as well as the World Economic Forum the World Business Council for Sustainable Development and Water Resource Groups 2030 it's really important we create that ecosystem of partnership to deliver the dream wow you know that I've worked at very very large water utilities right at a very different scale so your decentralization approach is inspiring because in many ways that's really the future is is addressing water at the source of use you know at the point of views by the customer and and and the 50 liter home really takes it there rose rose Kagawa she is an industrial chemist she has a PhD from UNESCO IHE in in environmental resources rose is is a director at at the water utility serving all of Uganda is the national water and sewerage corporation she's a scientist and and and she really has nearly 30 years of experience serving serving her customers in Uganda and and shaping the water sector in Uganda rose is an IWA board member and she has served as the second president of the scientific and technical council of the African Water Association rose has received many awards in in water especially leadership as a woman and rose has inspiring relatives her mother was a the first head teacher in Uganda she has an aunt who was a mayor so rose could you combine your thoughts and describe what you perceive of France's 50 liter vision coming from a large water utility and how a large water utility could help with that vision as well as your thoughts on the value system of water in Uganda and the role of women in water in Uganda some of all of that in in your vision associated with innovation thank you very much Sudeer and hello to everybody I like the idea of France trying to push the per capita consumption down to 50 liters of course coming from a developing country we could say that is the norm actually that is luxury and we have many areas where the per capita consumption is much less than that but coming from a utility the NWSC which is the utility that serves Uganda currently in 258 cities and towns is a government per estate or monopoly and therefore serving what would call more of the urban centers and this has been the situation for us with the challenge of trying to ensure that we serve our customers are based of about 10 million people which is growing which is about a quote of the population of the country and so the others receive through a different system we basically abstract surface water and groundwater usage is beginning to increase over the years especially in the smaller towns that are linked to some of the rural growth centers in terms of service coverage and the access in the last five years we've bumped that up from about water means extension of 80 kilometers per year to now 2500 kilometers per year so the growth to the 258 towns has happened in the last five years so you can see a rapid jump to try and improve access within the country in doing that we've had to more or less aggressively reach out to customers so it's not just about supply and also look at the demand so try to balance between supply and demand and bring the customers on board through a very rigorous way of service delivery we have a range so we are looking from the more elite to the actually poorer customers and we've tried to do this through engaging constant engagement and getting to the customer at the level that they are at and this brings about quite a bit of innovation because we have involved the customers in terms of spreading our gospel for expansion we reach out to them and have one on one we try to adopt all the current measures of you know social media the the phones which are very trendy and common practice in Africa you may be surprised almost every home has a phone or people have two or three phones so try to set up these WhatsApp groups in terms of where we are making the extensions where people need to come to involve the women in service delivery through our public stand posts and get them managing these facilities themselves because we know that the women are the most needed in terms of of water and try to have constant interaction go out right out into their mosques into the schools into the churches into the markets and be able to advocate for you know safe portable water that is piped and get that message out to them together with the COVID pandemic we've had to also pump up the issues of sanitation and be able to take water points out to people so that they can have access you know to water that is available in terms of the costs which is always you know like a hindrance we've looked at our costs for water and our tariff is not a full cost recovery because of the spread around the country we are able to have the economies of scale through cross subsidies the bigger cities subsidizing the smaller towns and you are able to offer a service that is the same irrespective of where you are in terms of the costs when we look at the proper tariff we brought that down to about 30 cents of a dollar per cubic meter and then the domestic one is about one dollar and I hasten to mention that we have tax on top of that the VAT is added on top of that we have however have brought out the message to our consumers that this water is not because of the value people tend to think maybe it's expensive but it's not so we've tried to to compare to the basic things that people need I mean if you go out in Uganda it means 20 liters which is a jerican the common yellow thing you find in most African cities countries villages is at 25 Uganda shillings which cannot even buy you a sweet or a toffee and we try to compare this with other things that people are consuming the mineral water bottle that is people think yeah that's the safest water to drink um that that would cost you about you know 50 jericans of water and then the beer if you go to buy a beer at the end of that day you will only for one cubic meter of water you only drink a third of a bottle so we've tried to bring these costs down to the level that everybody can understand and know that water has is valuable it has a value you cannot replace it and it is actually affordable so as we go on our extensive drive for trying to enhance and meet the STGs and work towards that we're able to show people that actually they can afford this water and with that we've seen the customer base grow and more and more people want to connect and then serve the greater population which is the poorer people through the expansive public standposts and also having centers where people can actually get water in less than 200 meters it's still there's still a lot to be done but we feel yes we are making progress and this is something that can be replicated in other developing countries thank you wow thanks rose that was outstanding work being done at the national water corporation Uganda it's inspiring the economy and the scale that you've achieved at your water utility and really convincing your customers on the value of water just just outstanding you know anti i want to describe your achievements a little bit and perhaps you could take a little crack at that value aspect given you work for a large chemical company a chimera that that serves such large water utilities like the national water and sewerage corporation anti you you have a phd in industrial engineering you're worked as a research scientist a consultant but in the last 10 years you've been with chimera and and chimera you know even myself growing up in both india and north america and the united states we all know chimera as as as a chemical company that serves the water sector very well really crucial aspect of the water cycle in the treatment process chimera has continued to provide innovative chemical solutions but but you are passionate about chemistry i i almost read your resume and i thought you describe yourself as better living through chemistry can you can you describe a little bit about the value of water and and chemistry that chemistry vision that you have as as we move forward with the change yes sure uh yeah i mean actually i'm more passionate about water than chemistry chemistry is just one very practical way to to provide clean drinking water and and sanitization and an important piece in the puzzle you know the but but kind of really regarding the the water kind of that's for the business i'm running that's that's the key use segment or customer segment and all the water intensive industries in other kind of applications and and and we for instance recently published a uh a scenario report which which we kind of did not buy kind of interviewing our chimera people but really going out there and interviewing people different people from the industry different segments of industry academia so forth try to really understand kind of as we've been talking so long about the kind of water afternoon oil or kind of a potential water conflicts and so forth so so what are the kind of potential scenarios of of what the water management in the world could look like in uh 2040 so really long-term vision regarding how the water management and how we as industry as humanity actually how we will be solving the uh water related problems and issues we have in in the in the big picture and that report basically then kind of boiled down to four different uh scenarios none of them will happen as such of course they're just scenarios looking forward trying to imagine what's possible what the possible future could look like and they're all kind of a little bit black and white in a sense that the whole idea is to have a difference between these scenarios so they're kind of uh exaggerated but but kind of those four scenarios first of them is is kind of labeled water conflicts and and resource games and and that's kind of scenario where we if that would happen the world would kind of uh the kind of nationalism protectionism that we've seen lately in the in the world around us would be intensifying and it it really would kind of boil down to different kinds of national and global conflicts of water that's quite pessimistic scenario then there's another scenario which really relates back to what we saw in the uh brave blue word film by Paul so that's labeled cities and corporations lead water so that's really this decentralized model where basically it's not so much the big national governments that will be kind of showing us the way but it's the small entrepreneurs uh medium and large corporations and the cities and municipalities where basically via this uh local innovation and new innovative ideas being spread our spread or spread around we can solve the water water problems then the third scenario is called data and platform driven water so that's really taking a stance of this digitalization that we see around us and and kind of the different kind of digital platforms playing a bigger and bigger role in terms of solving also the water related problems and and then we have the last one which is about circularity and regulated water where basically then the governments would have a bigger role there and it would be kind of highly regulated usage and reuse it of water which would be solving this global water issue now as I say none of these will be the actual future it will be some kind of a combination probably of these factors but it's inspiring to think kind of you know what may be happening in the world and of course we have the business interest to try to understand you know what would these scenarios if they realize mean to our business but I think it's more important from the global kind of the whole humanity's perspective to understand what will happen and how will we be because I believe I truly believe that we will be able to solve these issues and problems but but basically there are several different paths and that's what's interesting to try to understand and kind of when I think about this I think there's there's a lot of issues and problems in different corners of the world with water but but I think for me personally my personal opinion is that it's basically on our way to 24 there's there's two major challenges that the world has and one is what Rose just talked about so how can we provide clean water and sanitation in the developing world as the economies keep growing and the population even keeps growing and then the other one is the aging water infrastructure in the developed world and what will happen to that and how it will be replaced and kind of all that and and for both of these the common nominator as you mentioned in the intro and it's really kind of what's interesting to hear here Rose talking about how they have tackled the value of water question because I think this has been one of the biggest obstacles for the fast dissemination of innovation into water related industries it's been the kind of disconnection between the true value of water and the cost and and basically as consumers in the western and in developed world like how many of us really even know what the cupid leader of water costs us when we get it piped and and basically uh and and and then we think about the how how essentially it is for life and how really our lifestyle depends on on having and access to pipe clean water we just don't understand it and that I think that's one of the major inhibiting factors uh as if there is no real money in the game then uh also the business it's not about inventing something new but really innovating so that it can become a commercial success that's also dampened and and inhibited so so that's that's the issue there and of course then if you look at the developing world then then basically uh how can these developing countries afford to build uh that infrastructure in the first place and then people as rose was very very kind of uh clearly highlighting this concept that that basically uh even if the cost of water for a consumer would be low it is still a big portion of the daily income and that's also kind of part of this uh cost value dilemma uh there so for me the the value of water is is the key crucial point that we somehow need to solve and uh you know our stars in it is that that that we know that chemistry will is playing and will play a key role as it is one of the easiest cheapest safest ways to uh clean wastewater and clean drinking waters but of course it works together with other technologies there but but really again once again the value of water and connection to cost and kind of the true value not the monetary value but the value to our society is it's that's that's the key question that I think we need to solve thank thanks auntie that that's very thought-provoking um I want to switch to Yati uh I've known Yati for many years she was on the board of IWA in those days she was a young water professional I believe she was one of the first group of young water professional uh almost a decade ago uh at IWA um Yati has been a a Fulbright scholar as well as a guest scholar at Kyoto University in uh in Japan um very accomplished uh Yati uh uh uh you're right now a professor at uh in in Malaysia at the uh university technology Malaysia in Kuala Lumpur uh what is your perspective uh as an educator and as as as a woman on on on the role of water to to its end right uh what was the means to uh health prosperity equity uh what is your thoughts on how innovation can play a role in all of that in the context of of water thank you so they're very happy to be on this panel and uh based on the film um Liam Neeson said that it's a great film that everybody must see it um every school and every college must see it so I totally you know this statement totally echoes with uh the brave rural and then water education I find is very important simply because everything that we have said by the panels uh truly supported by capacity building and uh higher education is the institution that helps in supporting this notion uh water education must go beyond teaching of hydrological sciences water cycle or circular economy the work include community education whereby people are more engaged in terms of uh knowledge transfer between universities and the industries so all the things and the points that have been said by camera and then by proctor and gamble for example and then relating that to the education and development of capacity building for future water leaders in developing countries for example we take uh exemplary um uh cases and studies by the developed countries as to how might we improve and how might we develop in terms of transforming the water sector uh and I think in terms of uh equity agenda and health uh water is actually uh the the key of uh economic currency for the future as Paul mentioned earlier on that people may fight um for water rather than money uh and this is absolutely true for the future because that is the current the currency for health and wealth uh I think I stopped there uh for the moment so there wow well said uh uh you know water being the currency that's uh uh that's that's where things really lie um for the future Paul could you perhaps summarize uh uh and and close out for us uh your your thoughts on how we can inspire change for the future um uh I know there's there's a lot said already in the film but uh but uh could you just give us a minute or two on what what your what your what your future thoughts are and how we should proceed I like I think just realizing that it's it's complex and it it does involve multiple people coming together from a technology chemistry perspective even rethinking fundamentally how the home may work in the future to looking at the equity equity issues around water and I think that's where coming up with tire structures that are sensitive to the fact that there are portions of society that are unable to repay the cost despite the value but but I believe we can that's the thing and I think that you see examples like that in Uganda um you see examples education this outreach and bridging people if people learn in academia and I think that's one of the lessons that we took from the film was you got to start early in terms of engaging with people but it's never too late at the same time we're excited to continue the that storytelling process and and really look at kind of full circle encompassing all those different elements and I think they were well represented today and thanks to IWA and and so dear for moderating the discussion thanks paul and and thanks to to the panel it's really been very insightful as as insightful as the movie I hope for the audience thank you and and hope you have a great day