"Huge Win": Corporate America Embraces DOGE

 Despite conspiracy networks across leftist corporate media and unhinged Democratic lawmakers ranting about the so-called evils of Elon Musk's Department of Government Efficiency, corporate America begs to differ.

🚨 Soros-funded group exposed for paying protestors to oppose DOGE! pic.twitter.com/wobZeUg7qq

— Natalie Winters (@nataliegwinters) March 13, 2025

Small and large business CEOs seem to be considerably more confident under Trump...

But, Jeff Sonnenfeld wants you to ignore that listen to his roundtable of naysayers....

Yale Professor @JeffSonnenfeld says CEOs are worried about uncertainty more than anything else: https://t.co/VqKlas9GmV

— Squawk Box (@SquawkCNBC) March 14, 2025

Sonnenfeld's negativity is further squelched by a new report from Bloomberg shows that 79 Russell 3000 companies mentioned "DOGE" 200 times on the latest round of earnings calls. They pointed out that DOGE's contract slashing could hurt profits in the near term. However, a modernized public sector will be a massive boon for their tools and services. 

🚨 TRUMP: "Our Economy will BOOM, like never before." pic.twitter.com/snNxlgnOWk

— DogeDesigner (@cb_doge) March 14, 2025

In an interview, Piper Sandler & Co. Chief Global Economist Nancy Lazar said that short-term pain in a transition period will lead to a "huge positive" for the private sector.

Lazar said DOGE will likely free up resources such as labor and grant companies greater influence over capital allocation, which tends to be more productive. He added that deregulation could boost medium-sized companies by reducing regulatory costs.

Bloomberg data shows that industrial and technology companies mentioned DOGE the most on earnings calls.

Infrastructure software providers like Okta told investors: "The agencies we've been successful in, it's because we've been able to consolidate and replace and really help modernize those applications."

Peer ServiceNow's CEO told investors it saves the federal government "millions and millions" in costs and hours by improving efficiency and automating "mind-numbing." 

Northrop Grumman CEO Kathy Warden noted that companies have been cutting costs in general: "It is a response to competition and staying cost competitive, and the government doesn't have that. So it is sensical that that might be where DOGE starts." 

Booz Allen Hamilton CEO Horacio Rozanski views a "much shorter period of adjustment followed by a real clear set of opportunities" in the era of DOGE. Do note Booz Allen Hamilton receives about 98% of its revenue from the government. 

According to Scotiabank senior analyst Patrick Colville, cybersecurity providers could significantly benefit from DOGE, adding that the federal government will seek to improve cyber defenses. 

"Over the last six weeks, almost all of the cybersecurity companies we spoke to called out DOGE as much more of an opportunity than a threat," Colville said, adding companies in generative artificial intelligence and cloud services could also benefit. 

Kratos Defense & Security CEO Eric DeMarco called DOGE a "huge win," adding, "We've already received some contracts in the past month directly related to what's going on here and the reallocation of resources." 

https://www.zerohedge.com/technology/huge-win-corporate-america-embraces-doge

Going for gold: JX Advanced Metals raises $2.6 billion in Japan’s largest IPO since 2018

 JX Advanced Metals (5016.JP) is set to debut in Tokyo on Wednesday, March 19, in Japan's largest IPO since SoftBank in 2018. The company priced at ¥820, the top of its downwardly revised range, to raise $2.6 billion at a $5.2 billion market cap. A carve-out of Japanese oil giant ENEOS, JX Advanced Metals mines, smelts, and refines a wide array of metals, such as copper, gold, silver, and platinum. The company’s materials are used for semiconductors, batteries, digital displays, cameras, and other industries.

In recent years, Japan’s IPO market has been marked by a handful of large listings, including spin-offs from large conglomerates similar to JX Advanced Metals. Most of Japan’s latest sizable IPOs have traded up, and the class of 2023 and 2024 average a return from offer of 66%. Top performers include Rakuten’s banking unit Rakuten Bank (5838.JP, +349% from offer) in April 2023, online banking joint venture SBI Sumishin Net Bank (7163.JP; +233%) in March 2023, and Toshiba’s memory chip unit Kioxia (285A.JP; +89%) in December 2024.

Source: Renaissance Capital, returns as of 3/13/25. Includes Japanese IPOs that have raised at least $100 million.

JX Advanced Metals is coming public amid heightened volatility in global markets. Japanese equities have broadly sold off over the past month, and the Nikkei 225 is down -6% YTD. On the other hand, JX Advanced Metals has benefited from increasing chip production and rising copper prices, with copper futures up nearly 20% YTD.

JX Advanced Metals’ financials are complicated by divestments and restructuring, as it shifts focus from mining and smelting towards semiconductor materials. The company has completely or partially divested from numerous operations in recent years, including the Caserones Copper Mine in Chile, its electronics components subsidiary JX Metals Precision Technology, South Korean copper smelter LS-Nikko, and copper miner and refiner Pan Pacific Copper. As a result, revenue fell -54% y/y during the 9mo ended 12/31/2024, but its EBITDA and net income both grew over the same period.

https://www.renaissancecapital.com/IPO-Center/News/109883/Going-for-gold-JX-Advanced-Metals-raises-$2.6-billion-in-Japan%E2%80%99s-largest-IP

Starship, carrying Tesla's bot, set for Mars by end-2026: Elon Musk

 SpaceX founder Elon Musk said on Friday that Starship is set to depart for Mars at the end of next year, carrying Tesla humanoid bot Optimus.

Musk suggested in a post on X that human landings could begin as early as 2029, though 2031 was more likely if the initial landings go well.

Musk told investors on a conference call in April last year that he expected Optimus would be able to perform tasks in the factory by the end of 2024.

In November, Reuters cited sources saying that Musk's dream of transporting humans to Mars would become a bigger national priority under U.S. President Donald Trump, signalling big changes for NASA's moon programme and a boost for SpaceX.

Starship is crucial to SpaceX's future satellite launch business, a sector it currently dominates with its partially reusable Falcon 9, as well as Musk's aspirations to colonise Mars.

https://www.yahoo.com/news/starship-carrying-teslas-bot-set-073455718.html

Putin Wants to Sell More Russian Gas to Europe. Can He?

 

Russian President Vladimir Putin seems confident that pipeline flows of natural gas to Europe could be stepped up if a US-brokered deal to end the war in Ukraine is agreed — raising questions about whether the continent is willing to reverse course and revive that relationship.

“If, say, the US and Russia agree on cooperation in the energy sector, then a gas pipeline for Europe could be ensured,” Putin said at a briefing in Moscow on March 13. “And this will benefit Europe, as it will receive cheap Russian gas.”

https://www.bloomberg.com/news/articles/2025-03-15/putin-wants-to-sell-more-of-russia-s-gas-to-europe-can-he

Tough G7 statement drops 'one China' reference from Taiwan language

G7 foreign ministers took a tough stance on China on Friday, stepping up language on Taiwan and omitting some conciliatory references from past statements, including to "one China" policies.

A statement by ministers meeting in Canada mirrored a February Japan-U.S. statement in condemning "coercion" toward Taiwan, language that heartened Taipei in its increasingly tense standoffs with Beijing.

Compared to a G7 foreign ministers' statement in November, the statement added members' concerns over China's nuclear buildup, although it omitted references to their concerns about Beijing's human rights abuses in Xinjiang, Tibet and Hong Kong.

Also missing were references stressing the desire for "constructive and stable relations with China" and recognizing the "importance of direct and candid engagement to express concerns and manage differences."

The statement dropped past reassurances, recently stated in November, that there is "no change in the basic position of the G7 members on Taiwan, including stated One-China policies," as well as that the G7 is "not decoupling or turning inwards" and recognizing the importance of China in global trade.

The so-called one China policy, which recognizes Beijing as the official government of China and ensures that ties with Taipei remain unofficial, has been the bedrock of Western dealings with China and Taiwan for decades. The omission is sure to be a significant concern for Beijing.

Referring again to Taiwan, a self-governed island China claims as its own, the statement said the ministers "encouraged the peaceful resolution of cross-strait issues and reiterated their opposition to any unilateral attempts to change the status quo by force or coercion."

The G7 statements "ignore facts and China's solemn position, grossly interfere in China's internal affairs, and blatantly smear China," a spokesperson of the Chinese Embassy in Canada said in a statement.

China "resolutely opposes the G7's misdeeds of harming China's sovereignty," the spokesperson said, adding that "the key to upholding peace and stability across the Taiwan Strait lies in abiding by the one-China principle."

U.S. President Donald Trump and Japanese Prime Minister Shigeru Ishiba introduced the reference to "coercion" in the context of stepped-up Chinese military pressure against Taiwan at a summit last month.

Trump has installed China hawks in key positions in his administration although his exact approach toward Beijing remains unclear and his administration has been discussing a possible summit soon with Chinese leader Xi Jinping.

Still focusing on China, the G7 foreign ministers, who have been meeting in the remote tourist town of La Malbaie, Canada, this week, said they were seriously concerned by the situations in the East China Sea and the South China Sea.

Addressing China's actions against the Philippines and Vietnam, they expressed concern over the increasing use of "dangerous maneuvers and water cannons" and efforts to restrict freedom of navigation in the South China Sea.

The members also expressed concern about China's non-market policies and practices, saying these were leading to harmful over-capacity and market distortions. They called on Beijing to refrain from adopting export control measures that could lead to significant supply chain disruptions

In response, the Chinese Embassy in Canada said the Asia-Pacific region is "not a chessboard for geopolitical rivalries", and urged the G7 to "abandon the Cold War mentality and stop creating bloc confrontation and fueling tensions in the region."

The embassy also rejects the G7's "groundless" accusations of China's over-capacity and market distortions, saying "it is precisely the G7 members that have politicized and weaponized economic and trade issues."

https://www.yahoo.com/news/tough-g7-statement-drops-one-152712004.html

What Germany's planned spending spree could mean for the economy

 Germany is in for a massive ramp-up in spending under an agreement by the parties hoping to form its next government, with a 500 billion euro special fund sought for infrastructure and plans to unshackle defence investment from its debt rules.

Here is what the plans might mean for growth and debt in Europe's largest economy:

CAN THE SPENDING BOOST GERMANY'S AILING ECONOMY?

According to economists, yes.

The IMK economic institute currently expects the German economy to eke out barely 0.1% of growth this year, after two consecutive years of contraction in 2023 and 2024, but said the new proposals could make a big difference.

"If the financial package is implemented quickly, a significant acceleration in growth can already be expected in the second half of the year, and growth for the year as a whole could already move noticeably away from stagnation," said IMK's economic director Sebastian Dullien.

Germany could even reach growth rates of 2% in the coming years provided there are no new shocks, Dullien said.

WHICH SECTORS ARE SET TO PROFIT MOST?

The construction sector can look forward to a boost from the fund to overhaul Germany's creaking infrastructure.

Shares in Heidelberg Materials rose by some 14% on Wednesday. Bilfinger saw a 20% spike and Hochtief shares were up 12%.

The defence industry also stands to gain. Under the prospective coalition's plans, Germany's strict cap on borrowing known as the 'debt brake' would be amended in the constitution to exempt defence expenditure above 1% of economic output.

This in effect would mean no upper limit on larger defence spending plans.

German defence companies Rheinmetall, Hensoldt, Thyssenkrupp and Renk have notched up gains so far this week of between 16% and 35% on the proposals.

HOW MUCH MORE DEBT WILL GERMANY TAKE ON?

A lot.

Last year, Germany's debt ratio stood at around 64% of gross domestic product, far lower than that of other major industrialised countries such as the United States and France.

Commerzbank chief economist Joerg Kraemer expects that level to climb noticeably in the coming years - by around 10 percentage points due to the new special fund alone.

Increasing defence spending would push up the debt ratio even further, by an extra 2.5 points annually if, for example, it was ramped up to 3.5% of gross domestic product.

"In 10 years, the overall government debt ratio could rise to 90%, although this also depends on inflation and is therefore not easy to predict," Kraemer said.

"This would mean that Germany would quickly join the ranks of the EU's highly indebted states," ZEW economist Friedrich Heinemann said. He predicts Germany's indebtedness could even surpass the 100% mark in 2034.

WOULD THIS COST GERMANY ITS TOP CREDIT SCORE OF AAA?

Not necessarily. The spending plans could increase Germany's debt level to around 72% of gross domestic product by 2029, Scope analyst Eiko Sievert told Reuters - below the previous high of 80% seen in 2010 following the global financial crisis, when Germany was able to maintain its AAA rating.

"Whether this remains possible in the coming years depends also on the implementation of necessary political reforms to strengthen competitiveness and economic growth," Sievert said.

Germany's top credit rating makes it a sought-after borrower.

However, higher interest rates would probably be needed to make German government bonds attractive to investors.

"Investors are likely to demand higher risk premiums for German government debt," says Commerzbank's Kraemer. 

The yield on the 10-year German government bond rose from around 2.5% to 2.7% as investors digested news of the debt and spending plans, indicating that interest costs for the state would likely rise.

COULD GERMANY'S SPENDING SPREE INFLUENCE ECB POLICY?

This could well be the case because pumping hundreds of billions of euros into the economy harbours inflation risks.

"The ECB will have to take into account that inflationary pressure will rise again as a result of the planned expansionary fiscal policy in Germany," said Cyrus de la Rubia, chief economist at Hamburg Commercial Bank.

https://www.msn.com/en-gb/money/other/what-germanys-planned-spending-spree-could-mean-for-the-economy/ar-AA1AiPtW

G7 allies avoid divisions with Rubio playing 'good guy' role

 It could have been disastrous. Just a day before the end of a three-day meeting of G7 foreign ministers in a remote snowy Canadian resort, some of the United States' closest allies wondered whether their divisions could explode into public.

Wranglings over wording on Ukraine issues ranging from territorial integrity to security guarantees and possible new sanctions on Russia were arduous. Language on the Israel-Palestinian conflict and notions of a two-state solution needed diplomatic finesse to satisfy all sides.

President Donald Trump's tariffs as well as his friendlier approach to Russia have shocked allies and initially soured the normally friendly G7 gathering. Diplomats worked late into the night, rare for a meeting of allies traditionally aligned on most subjects.

But by Friday morning, like the choosing of a new Pope, the white smoke appeared and ministers from Britain, Canada, France, Germany, Italy, Japan and the United States, along with the European Union, overcame differences, surprising even themselves to stand united in a joint communique.

Ahead of the meeting, G7 diplomats had questioned whether U.S. Secretary of State Marco Rubio, joining the gathering following a high-stakes meeting with Ukrainian officials in Jeddah, would adopt the combative approach of his boss or be willing to work closely with allies.

Afterwards, G7 diplomats credited the top U.S. diplomat, saying he was instrumental in finalizing a deal on a joint communique, with one calling him a "good guy."

Rubio did not hold back in the negotiations, according to four diplomats aware of the talks. He was candid, firm on the administration's key positions on China and the Middle East, but also flexible on other issues, and listened to how allies perceived the situation, notably on Ukraine.

"I think what's important, and something I said at the outset, which everybody agreed with, is that we're not going to allow the things we disagree on - and we'll disagree on things - to keep us from working closely on the things we agree on," Rubio told reporters.

"There are a lot of those. And hopefully the statement reflects that, and our actions will reflect that."

One issue, for example, was the Middle East peace process. Diplomats said Rubio was steadfast in his position that mention of a two-state solution between Israel and Palestinians was a red line.

The State Department did not immediately respond to a request for comment asking about Rubio's role in the discussions.

BECOMING FRIENDS

Relations between the United States and Canada are at a modern-day low, thanks to Trump's threats to impose tariffs on all imports from Canada and his frequent musing about annexing the country to make it the 51st U.S. state.

Still, there were lighter moments behind the scenes and room for personal relationships to develop.

Promising to be on the offensive about tariffs, Canadian Foreign Minister Melanie Joly jokingly thanked Rubio in one session when he referred to Canada as a nation, according to two diplomats.

"She's become a friend in the last few weeks as we work together," Rubio said, adding that he had gotten to know her in his role as secretary of state. The two held bilateral talks on Thursday morning.

While the top U.S. diplomat was absent from some of the colorful social events on the sidelines, such as a marshmallow sandwich reception hosted by Joly, diplomats said he emerged as a reliable counterpart, providing a respite from the often unpredictable messages of the Trump administration.

"Rubio is quite a good guy in the administration, so we'd like to support him so that he can play an important or influential role within the Trump administration," said a G7 diplomat.

https://www.aol.com/g7-allies-avoid-divisions-rubio-210536925.html