Vaneck Digital Assets Director Gabor Gurbacs on Facebook's Libra and the scrutiny facing digital currencies.
Vaneck Digital Assets Director Gabor Gurbacs on Facebook's Libra and the scrutiny facing digital currencies.
Thyssenkrupp's steel unit must cut costs to reach a point where it no longer needs financial support from the group, Chief Executive Martina Merz said in an internal memo to staff seen by Reuters on Friday. Her remarks come after the group cancelled an extraordinary supervisory board meeting originally scheduled for March 12 to decide whether to sell the steel division to Britain's Liberty Steel. Thyssenkrupp last month terminated sale talks, saying the two sides were far apart on issues like value and funding.
(Bloomberg) -- Dip buyers drove a rebound in stocks after an earlier bout of selling pushed the Nasdaq 100 down 10% from a record.All major groups in the S&P 500 advanced, while the tech-heavy gauge climbed more than 1.5% as giants Amazon.com Inc. and Apple Inc. erased their losses. Robinhood Markets Inc., the trading platform behind the boom-and-bust swing in GameStop Corp.’s shares, has chosen the Nasdaq for its eventual initial public offering, according to a news report. Earlier Friday, equities retreated as U.S. jobs data topped estimates, fueling anxiety the economy could run too hot and kick up inflation. Benchmark 10-year yields stabilized after hitting 1.6%.Friday’s turnaround in financial markets wiped out the S&P 500’s drop for the week. The intense volatility of the past few days was a test to stock bulls who see the recent spike in Treasury yields as an indication of brighter prospects for the economy and corporate profits. While concern over equity valuations have emerged, several analysts say that as long as data continue to improve, any selloff would present dip-buying opportunities.“Many investors are going to be buying these dips here, capital continues to be pouring into equities,” said Tony Bedikian, head of global markets at Citizens Bank. Bond yields are still “incredibly low, so equity yields are still very attractive to investors,” he added.U.S. Treasury yields have been rising because of a much stronger economic outlook and are not a cause for worry -- or a call to policy action -- said Federal Reserve Bank of St. Louis President James Bullard. His remarks follow Chairman Jerome Powell’s Thursday caution that rising yields had caught his eye and he would be “concerned by disorderly conditions in markets or persistent tightening in financial conditions.”“As a central banker I am always concerned if there is disorderly trading or something that looks panicky,” Bullard said Friday in an interview with Wharton Business Radio. “That would catch my attention. But I think we are not at that point.”These are some of the main moves in markets:StocksThe S&P 500 rose 1.9% at 4 p.m. New York time.The Stoxx Europe 600 Index slid 0.8%.The MSCI Asia Pacific Index fell 0.6%.The MSCI Emerging Market Index decreased 0.6%.CurrenciesThe Bloomberg Dollar Spot Index increased 0.4%.The euro dipped 0.4% to $1.1917.The Japanese yen depreciated 0.4% to 108.36 per dollar.BondsThe yield on 10-year Treasuries rose less than one basis point to 1.57%.Germany’s 10-year yield climbed one basis point to -0.30%.Britain’s 10-year yield increased three basis points to 0.756%.CommoditiesWest Texas Intermediate crude climbed 3.9% to $66.29 a barrel.Gold rose 0.1% to $1,698.65 an ounce.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Alexander Höptner was leading the Börse Stuttgart when he jumped at the chance to take a top job with BitMEX, a pioneering cryptocurrency exchange known for its high-risk offerings.Just a few months later, the people who hired him found themselves fugitives wanted by the U.S. government. Federal prosecutors in New York charged outspoken co-founder Arthur Hayes and other senior officers at the company with failing to deploy an adequate anti-money laundering operation at the derivatives trading platform. Hayes, along with fellow owners and co-founders, resigned from his day-to-day leadership duty at the exchange’s holding company.Now Höptner is tasked with steering BitMEX out of its biggest-ever crisis and transforming a renegade crypto startup into something much more staid. His goal: amend relationships with global regulators while also expanding businesses ranging from spot trading to brokerage and custody services.“I was coming from the regulated and classical world. I have a lot of touch points with the regulators already,” the 50-year-old said in his first sit-down interview since starting the CEO role in January. “Now I’m working on the crypto side and bringing the crypto side to the regulated world,” said Höptner, currently in Hong Kong while he considers a permanent base in Asia.See the Bloomberg Television interview here.He declined to comment on the criminal charges against the BitMEX co-founders, or on a parallel civil action by the U.S. Commodity Futures Trading Commission alleging BitMEX illegally allowed Americans to trade on the platform. Hayes, who was in Singapore, discussed surrendering to U.S. authorities in April, according to a court filing unveiled this week.Read more: BitMEX Founders Charged With Failing to Prevent LaunderingBack in his native Germany, Höptner helmed the Börse Stuttgart when it became the country’s first regulated trading venue for digital tokens in 2019, and before that spent over a decade with the rival Frankfurt Stock Exchange. It didn’t take him long to accept the BitMEX job offer, he said, because he had been contemplating a move into crypto derivatives on the global stage.“Alex wants to move faster in the crypto economy. He knows it’s not possible for him to do that in Stuttgart,” said Thomas Munz, a former board member at the German exchange who retired in October.Already, there are some changes in the company’s tone and policies. In January BitMEX said it had verified the identities, locations, and credentials of all of its customers, a program it kicked off in August. Corporate customers now represent about 60% of volume -- totaling $1 trillion over the past year -- as the exchange expands beyond its core following of risk-loving retail traders. On average, users apply single-digit leverage to multiply their bets, it said. That’s far from the highest leverage of 100 times the platform allows, which also gives the name to its holding company, 100x Group.Höptner says he’s engaging with regulators globally to get to the point where BitMEX can provide services on a regulated basis, and also work to help shape government oversight.“We are approaching regulators where we are currently present, but we will also reach out to regulators where we are not,” he said.Just as rivals like Binance are chipping away at BitMEX’s market share in derivatives, Höptner is preparing to expand BitMEX’s offering into spot trading and adjacent areas like brokerage and custody, handling transactions and assets for clients.“We have to very fast make up our mind how we want to approach these aspects and then see whether we could find a partner or whether we build something or buy something,” he said.He also has to contend with the memory of Hayes, a poster boy for the early, more freewheeling days of cryptocurrencies. The 34-year-old trader-turned-entrepreneur recently broke a silence maintained since the indictment in a blog post championing crypto’s rally and meme stocks like GameStop Corp.On stepping into the shoes of the iconic founder, Höptner said: “I’m not trying to be somebody else. I am who I am.”(Updates with CEO exploring a permanent base in the fourth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Chinese Premier Li Keqiang pledged on Friday to promote business ties with the United States based on "mutual respect" that benefit both countries. The world's two largest economies have been at odds over trade and economic policy, especially when it comes to U.S. efforts to restrict tech exports to China and tariffs both have put on each others goods. This week, President Joe Biden singled out a "growing rivalry with China" as a key challenge facing the United States, with his top diplomat describing the Asian country as "the biggest geopolitical test" of this century.
Personal finance guru Suze Orman derided the GameStop trading spree as "stupid" and "crazy," saying that the effort to short squeeze the company turned investing into a game.
(Bloomberg) -- Suez SA is in advanced talks to sell its Australian business to Cleanaway Waste Management Ltd., according to people familiar with the matter.A deal could value the French firm’s waste-treatment assets in Australia at about 2 billion euros ($2.4 billion), said one of the people, who asked not to be identified as the information is private. Talks are ongoing and could still be delayed or fall apart, the people said.Cleanaway has expressed interest to Suez about the asset purchase, while there’s no certainty that talks will lead to a transaction, the Sydney-listed company said in an exchange filing on Thursday. A representative for Suez in Australia didn’t immediately respond to requests for comment.A deal would fulfill Suez’s pledge to use divestitures to trim debt, boost return to shareholders, and invest more in new technologies as it seeks to fend off a hostile takeover approach by French rival Veolia Environnement SA. The move would also fuel tensions between Suez and Veolia, which have sparred in the media, the boardroom, and the courts since the suitor unveiled its plans at the end of August.Veolia, which bought almost 30% of Suez in October and is planning to buy the rest as part of a plan to create a global leader in water and environmental services, has warned that it would seek to oppose the sale of a series Suez’s strategic assets -- including its waste activities in Australia -- by any legal means.It also said it might reduce its 18 euro-per-share offer for Suez shares it doesn’t already own if Suez were to sell key businesses or take actions that would destroy value. A spokesman for Veolia couldn’t immediately comment on the Suez’s talks with Cleanaway.Suez shares were trading 0.3% lower at 17.45 euros at 9:46 a.m. in Paris Thursday, while Veolia shares rose 0.6%. Cleanaway closed 4% higher in Sydney.An acquisition would make Melbourne-based Cleanaway among the largest waste treatment operators in Australia. It’s searching for a new chief executive as its longtime leader Vik Bansal announced plans to step down after an investigation into his workplace conduct.(Updates with Veolia-Suez spat, shares from fourth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Gabe Plotkin spent the first half of January defending his hedge fund’s portfolio from a Reddit mob, the second half trying to convince investors he can survive a 53% loss, and early February explaining to Congress what happened.Now with the public spectacle subsiding, the most concrete sign is emerging yet that his Melvin Capital Management might actually manage to thrive anew. After adjusting strategy, Plotkin pulled off an almost 22% gain in February, about eight times the return of the S&P 500.So starts the most arduous part of the 42-year-old hedge fund manager’s bid to climb out of the hole left by January’s clash, in which retail investors organized on social media to drive up stocks such as GameStop Corp. that Melvin and others had bet would fall. The episode cost his investors -- including billionaire Steve Cohen, Brown University and the Robin Hood Foundation -- more than $6 billion.But even with the rebound, Plotkin’s fund, which had $8 billion at the start of February, will need to produce an additional 75% gain for earlier clients before they break even and start paying fees again. Investors who have stuck by or piled into the firm are betting he’ll be able to do that given his track record, which ranked him as one of the best stock pickers until this year.Last month’s performance was especially welcome for investors who decided to pony up a collective $250 million at the beginning of February -- likely seeing it as an opportunity to increase their exposure to a hedge fund that had been closed to new capital. The firm now manages $10.9 billion, including February’s gain and money that came in on March 1.That vote of confidence followed a late-January investment by Ken Griffin, his partners and his Citadel hedge funds, and Cohen’s Point72 Asset Management, which together gave the firm $2.75 billion in exchange for a three-year minority piece of Melvin’s revenue. The deal came together in a matter of hours.Plotkin said in his testimony to the House Committee on Financial Services last month that Griffin had reached out to him, and that the cash injection was not an emergency bailout.People close to his backers say they doubled down because they have faith in his trading acumen and personally like Plotkin, who’s known as family-oriented and relatively nice in an industry that’s famously cutthroat.Modifying WagersHe’s also a confident risk-taker. Since his days at Cohen’s shop, Plotkin was known for taking big positions on the long and the short side. His recent performance suggests January’s rout hasn’t damaged his ability to make money.He did modify his wagers on stocks he expects to tumble, saying in his testimony that he would avoid crowded shorts. A person familiar with his strategy said he also will take smaller-sized positions to limit exposure to single companies. And Plotkin told his team of data scientists to scour social media and message boards to look for shares that retail investors are rallying around.He has stopped using exchange-traded puts that show up on his quarterly filings with the Securities and Exchange Commission -- clues that allowed his firm to be singled out by the Reddit crowd.Some hedge fund observers question whether Plotkin will still be able to produce blockbuster returns without chunky short positions. In Melvin’s first year of trading, 70% of the fund’s profits came from his bearish bets.Plotkin, who grew up in a middle-class family in Portland, Maine, didn’t have a flashy start to his money management career. Early on he landed at Griffin’s Citadel, hired to evaluate new businesses rather than taking a more coveted investment position. After a year, he jumped to Greenwich, Connecticut-based North Sound Capital, where he was a consumer stocks analyst for two years, with limited trading authority.Then, in 2006, he took a job at Cohen’s predecessor firm SAC Capital Advisors, and within five years was managing more than $1 billion in consumer-related stocks. Plotkin was among only a handful of managers at the firm with such a large portfolio, and was one of its highest paid professionals. He also would join Cohen on client visits to demonstrate SAC’s deep bench of talent.Cohen’s HelpInside SAC he was known for rigorous research of companies he invested in, former colleagues said. He used detailed models to analyze everything from cash flows to product demand, rather than relying on market information from brokers. He also was an early user of credit-card data.Plotkin announced he was leaving Cohen’s firm in early 2014 to start his own shop, just a few months after SAC pleaded guilty to securities fraud and paid a record fine to resolve charges in the U.S. government’s six-year crackdown on insider trading. Plotkin, who wasn’t accused of any wrongdoing, was among several senior portfolio managers to quit. As part of the settlement, Cohen would -- for a time -- only be managing his own money, thus reducing the amount of cash to be spread among portfolio managers.By that December, Plotkin was up and running at Melvin. He named the firm after his grandfather who ran a convenience store and had the work ethic and integrity he wanted do emulate in his own business. Plotkin raised close to $1 billion, including about $200 million from Cohen’s firm, now called Point72. His only down year was in 2018, when he lost 6%. The next two years his returns were around 50%.Overall, he posted annualized returns about 30% from his start in 2014 through last year.Plotkin declined to comment for this article, but during his House testimony, he signaled confidence that he will turn things around.“We’ll adapt,” he said. “The whole industry will have to adapt.”(Updates with inflow data in fifth paragraph and details of SAC role in fourteenth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Payments will be harder to get this time, but it might help to file your tax return soon.
(Bloomberg) -- Elon Musk set records last year for one of the fastest streaks of wealth accumulation in history. The reversal is underway, and it’s steep.The Tesla Inc. chief executive officer lost $27 billion since Monday as shares of the automaker tumbled in the selloff of tech stocks. His $156.9 billion net worth still places him No. 2 on the Bloomberg Billionaires Index, but he’s now almost $20 billion behind Jeff Bezos, who he topped just last week as world’s richest person.Musk’s tumble only underscores the hard-to-fathom velocity of his ascent. Tesla shares soared 743% in 2020, boosting the value of his stake and unlocking billions of dollars in options through his historic “moonshot” compensation package.His gains accelerated into the new year. In January, he unseated Bezos as the world’s richest person. Musk’s fortune peaked later that month at $210 billion, according to the index, a ranking of the world’s 500 wealthiest people.Consistent quarterly profits, the election of President Joe Biden with his embrace of clean technologies and enthusiasm from retail investors fueled the company’s rise, but for some, its swelling valuation was emblematic of an unsustainable frothiness in tech. The Nasdaq 100 Index fell for the third straight week on Friday, its longest streak of declines since September.Bitcoin InvestmentMusk’s fortune hasn’t been solely subject to the forces buffeting the tech industry. His net worth has risen and slumped recently in tandem with the price of Bitcoin. Tesla disclosed last month it had added $1.5 billion of the cryptocurrency to its balance sheet. Musk’s fortune took a $15 billion hit two weeks later after he mused on twitter that the prices of Bitcoin and other cryptocurrencies “do seem high.”Extreme volatility has roiled many of the world’s biggest fortunes this year. Asia’s once-richest person, Chinese bottled-water tycoon Zhong Shanshan, relinquished the title to Indian billionaire Mukesh Ambani last month after losing more than $22 billion in a matter of days.Read more: Ambani Again Richest Asian as China’s Zhong Down $22 BillionQuicken Loans Inc. Chairman Dan Gilbert’s net worth surged by $25 billion on Monday after his mortgage lender Rocket Cos. was said to be the next target of Reddit day traders. His fortune has since fallen by almost $24 billion. Alphabet Inc. co-founders Sergey Brin and Larry Page are among the biggest gainers on the index this year. They’ve each added more than $13 billion to their fortunes since Jan. 1.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- A lawmaker is calling for an investigation of a $54.2 million, after-hours purchase of Oshkosh Corp. stock the day before the company won a blockbuster contract to build trucks for the U.S. Postal Service.The transaction of 524,400 shares is bigger than Oshkosh trading volume for some entire days. The block itself amounted to almost 1% of the company’s publicly available shares and 74% of the firm’s 20-day average volume, according to data compiled by Bloomberg.Oshkosh shares surged as much as 16% the next day, Feb. 23, and have risen further since. The holdings would be worth $59.6 million at Friday’s closing price of $113.65, or more than $5 million above the purchase price. The parties involved in the trade couldn’t be determined.“It definitely stinks and needs to be looked into at the highest levels,” Representative Tim Ryan, an Ohio Democrat who is fighting the award to Oshkosh, said in an interview. “If that is not suspicious, I don’t know what is. Somebody clearly knew something.”Ryan said he will ask the Securities and Exchange Commission to investigate. Representatives of the agency didn’t immediately respond to an emailed request for comment after normal business hours.The Postal Service awarded the Wisconsin-based maker of military trucks a 10-year contract for as many as 165,000 vehicles worth as much as $6 billion.Ryan is backing the losing bid of Workhorse Group Inc. which has a 10% stake in Lordstown Motors Corp., which makes electric vehicles at a facility in Ryan’s congressional district.An Oshkosh representative didn’t respond to a voicemail and and email seeking comment.The move to award Oshkosh the contract stunned Wall Street analysts who had predicted Workhorse’s proposal to make electric trucks would win at least some of the order. Workhorse is considering challenging the award.Trades outside of normal market hours can have a significant impact on share prices because market activity is thinner.Ryan, who said he is drafting a letter to the SEC, has joined with Ohio Democrats Marcy Kaptur and Senator Sherrod Brown in calling for the Biden administration to halt and review the Postal Service award to Oshkosh.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Within a few months, he made enough for a down payment on a second home, in sunny Tampa, Fla. “I looked her up, and it all sounded really good,” he tells Barron’s. “I started investing with ARK just three days later.” The “her” is Cathie Wood, who founded ARK Investment Management seven years ago, and joins our list of the 100 Most Influential Women in U.S. Finance this year. It isn’t just that ARK’s actively managed funds have done well, although they have—phenomenally so: Last year, five of its seven ETFs returned an average of 141%; three were the top performers among all U.S. funds.
Congress is nearing passage of the third economic stimulus check it will send out to you and other taxpayers as part of its Covid-19 relief bill.
Some households are collecting a big pile of federal money in 2021.
Virgin Galactic Holdings Inc. Chairman Chamath Palihapitiya sold off a chunk of his shares this week, and played a part of the plunge in prices.
(Bloomberg) -- Trouble may be brewing in China for Bitcoin’s raucous and divisive rally as the nation pushes ahead with a world-leading effort to create a digital version of its currency.That’s because the eventual rollout of the virtual yuan could roil cryptocurrency markets if Chinese officials tighten regulations at the same time, according to Phillip Gillespie, chief executive of crypto market maker and liquidity provider B2C2 Japan, which mainly works with institutional investors.“Once a digital yuan is introduced, that’s going to be one of the biggest risks in crypto,” Gillespie, who previously worked in currency markets for Goldman Sachs Group Inc., said in an interview. “Panic selling” is possible if the new rules end up sucking liquidity from trading platforms for digital coins, he said.Central banks’ power to issue virtual money and proscribe rivals is one of the key risks for the crypto sector. Chinese citizens are already banned from converting yuan to tokens but the practice continues under the table using Tether, a digital coin that claims a stable value pegged to the dollar. The money parked in Tether then gets routed to Bitcoin and other tokens.Tokyo-based Gillespie sees potential for an outright ban on Tether, which could raise the stakes for anyone minded to continue using it.A draft People’s Bank of China law setting the stage for a virtual yuan includes a provision prohibiting individuals and entities from making and selling tokens. In recent days, China’s Inner Mongolia banned the power-hungry practice of cryptocurrency mining.Representatives of the People’s Bank of China didn’t reply to a fax seeking comment on the prospect of regulatory changes. While there’s no launch date yet, the PBOC is likely to be the first major central bank to issue a virtual currency after years of work on the project.Tether officials have downplayed the concern, saying that central bank digital currencies won’t mean the end of stablecoins.“Tether’s success has provided a blueprint for how a CBDC could work,” said Paolo Ardoino, chief technology officer for Tether and Bitfinex, an affiliated exchange. “Furthermore, CBDC’s are unlikely to be available on public blockchains such as Ethereum or Bitcoin. This last mile may be left to privately-issued stablecoins.”Still, Gillespie points out that Tether is “this massive amount of fuel for Bitcoin purchases” and few people realize the potential for disruption. A “tremendous amount of liquidity” is coming from exchanges tapping Chinese demand, he added.Tether QuestionsBitcoin surged fivefold in the past year and hit a record above $58,000 last month before dropping back about $10,000. The rally has split opinion, with some arguing a new asset class is emerging and others seeing pure gambling by retail investors and speculative pros in the Wild West of finance.Tether is an equally controversial token deep in the plumbing of the nascent cryptocurrency market. Traders use it to park money as they shift from virtual to fiat cash.More than $18 billion of Tether moved overseas from East Asian addresses over a one-year period, including spikes suggesting Chinese origin, according to an August report from Chainalysis, which analyzes the blockchain network technology underlying tokens. The report indicated citizens may be using Tether to dodge rules that limit capital transfers abroad.Questions about Tether continue to swirl. The companies behind it were banned from doing business in New York last month as part of a settlement with state officials who found that they hid losses and lied about reserves.‘Liquidity Shock’A recent report from JPMorgan Chase & Co. said there’d likely be “a severe liquidity shock to the broader cryptocurrency market” if issues arose that affected the “willingness or ability of both domestic and foreign investors to use Tether.”“All the volume goes through Tether,” said Todd Morakis, co-founder of digital-finance product and service provider JST Capital. “As regulators become more and more restrictive on stablecoins, that could be very negative for the market because that could mean less liquidity.”B2C2 Japan’s Gillespie said Tether is “such a risky asset” and a “massive liquidity shock” is possible if China does ban it. “What would happen is there’s going to be massive panic selling,” he said.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Despite the recent selloff in electric-vehicle stocks like Tesla and Nio, there is still intense investor interest in the sector, with demand for electric-vehicles expected to climb dramatically over the next decades.
The president has agreed to a compromise making millions ineligible for the third checks.
Powell and his policymakers have until March 17 to regain control of monetary policy or they could face a creditability issue.
(Bloomberg) -- Major oil sands producers in Western Canada will idle almost half a million barrels a day of production next month, helping tighten global supplies as oil prices surge.Canadian Natural Resources Ltd.’s plans to conduct 30 days of maintenance at its Horizon oil sands upgrader in April will curtail roughly 250,000 barrels a day of light synthetic crude output, company President Tim McKay said in an interview Thursday. Work on the Horizon upgrader coincides with maintenance at other cites.Suncor Energy Inc. plans a major overhaul of its U2 crude upgrader, cutting output by 130,000 barrels a day over the entire second quarter. Syncrude Canada Ltd. will curb 70,000 barrels a day during the quarter because of maintenance in a unit.The supply cuts out of Northern Alberta, following a surprise OPEC+ decision to not increase output next month, could add more support to the recent rally in crude prices. OPEC+ had been debating whether to restore as much as 1.5 million barrels a day of output in April but decided to wait.The Saudi-led alliance closely monitors other major oil producers as it seeks to manage the entire global market, and surging production in North America was its biggest headache in recent years -- especially from U.S. shale but also from Canada.“The U.S., Saudi Arabia, Russia, Canada, Brazil and other well endowed countries with hydrocarbon reserves -- we need to work with each other, collaboratively,” Saudi Energy Minister Prince Abdulaziz bin Salman said after the group’s meeting on Thursday.Read More: Saudis Bet ‘Drill, Baby, Drill’ Is Over in Push for Pricier OilCanada’s contribution to balancing the market with less production, much like slowing output in the U.S., is not a deliberate market-management strategy but significant nonetheless.Even though the output cuts are short-term, the battered oil-sands industry shouldn’t be a concern for the Saudis in the long run either, judging from McKay’s outlook for the industry.“I can’t see much growth in the oil sands happening because there is going to be less demand in the future,” he said. “The first step is we have to get our carbon footprint down.”After years of rising output turned Canada into the world’s fourth-largest crude producer, expansion projects have nearly halted on the heels of two market crashes since 2014.Adding to its struggles, Canada’s oil industry is being shunned by some investors such as Norway’s $1.3 trillion wealth fund amid concern that the higher carbon emissions associated with oil sands extraction will worsen climate change. These forces help make future growth in the oil sands unlikely, said McKay, whose company is among the largest producers in the country.Oil sands upgraders turn the heavy bitumen produced in oil sands mines into light synthetic crude that’s similar to benchmarks West Texas Intermediate and Brent. Syncrude Sweet Premium for April gained 60 cents on Thursday to $1.50 a barrel premium to WTI, the strongest price since May, NE2 Group data show.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
As the April 15 deadline to file and pay taxes closes in, some of the accountants preparing those returns are telling the Internal Revenue Service they need more time. “In the current environment, it is simply not possible for many taxpayers and their tax advisers to meet their filing and payment obligations that are due on April 15,” according to a Thursday letter from the American Institute of Certified Public Accountants. The professional organization with more than 431,000 members wants the IRS to move the tax deadline to June 15.