Category: Wall Street


Back in the 1980s and into 1990s, Almost DailyBrett drove a sleek and sexy BMW 635csi.

She was beautiful. She was well-designed. She was high maintenance. It cost a fortune to take her out to dinner.

That was then, this is now.

Today Tesla (NASDAQ: TSLA) at $185 billion and counting has a higher market cap — stock price x number of shares — than the three legendary German auto designers/manufacturers combined (i.e., BMW. Daimler AG, Volkswagen) at $151 billion.

How can that be?

The time-tested names Bayerische Motoren Werke (1916),  Daimler (1926), and Volkswagen (1937) are legendary and enduring symbols of German engineering. Having acknowledged this undeniable fact and provided the totally justified praise, one still must ask: Do these companies and their respective stock prices point to the past or to the future?

After all a company’s stock price is a forward — rather than a — lagging indicator. Right?

Visiting the BMW Museum and BMW World in München in 2017, your author was impressed by the company’s century-long achievements when it came to the design of internal combustion engine automobiles and motorcycles. Having said that, the story fell off — literally the wheels came off — when it comes to electric vehicles (EV). The BMW offering is an ugly duckling.

Is this Bavarian econo-box with an electric charger, “The Ultimate Driving Machine?” Seriously?

Do you think that Elon Musk is quivering in his boots? The BMW i3 EV box looks like … a Chevy Volt or a Nissan Leaf. Are those auto also-rans now competitors to BMW?

Considering that BMW, Daimler, Volkswagen — let alone long-time American and Japanese competitors — have been making gas powered vehicles for decades, do they really want to cannibalize their existing businesses? Are their collective hearts really into no gasoline, no emission, clean and environmentally responsible EVs?

The answer may be found in their ugly EVs. Can you see the difference between the sleek lines of the 20th Century BMW 635 csi and the boxy contours of the 21st Century BMW i3 EV? Did the same company design these vehicles?

What happened? Why is BMW going backward?

Tesla Is A Pure Play

Before going further, Almost DailyBrett must provide a consumer warning after buying and selling Tesla stock five times before, making a nice profit four times. Your author owns a handful of TSLA shares now as he writes this submission.

Musk will never be hampered with the concern about competing against his own business. Tesla designs and manufactures EVs, ion lithium batteries and related software. Does the South Africa Wunderkind have a singleness of purpose? Of course not, he also guides privately held SpaceX in his spare time as the company propelled Americans into space for the first time since 1998.

As $400 million net worth Mr. Wonderful investor Kevin O’Leary recently said, Tesla is the way that investors can participate in the SpaceX story. Tesla is four figures expensive and has an astronomical 89 times forward earnings P/E ratio (stock price/forward annualized earnings per share). Shareholders need to watch this volatile stock carefully and take Maalox on the side.

For the time being, TSLA is a trading stock not a long-term buy and hold.

Now that the requisite investor warning has been issued, it’s perfectly acceptable to be dazzled by the beauty of Tesla’s sexy cars. In an absolute marketing coup, Musk showed off Tesla’s truck, semi and most of all its sexy lineup of cars — Model S sedan, MSRP $74,990, Model 3 sedan, $37,990 and Model X SUV, $79,990 — to car aficionado former Tonight Show host/comedian Jay Leno.

“Jay Leno’s Garage” is a prime-time show, following “Shark Tank,” on Wall Street on steroids network, CNBC. One can only imagine the average wealth of “Garage” and “Tank” viewers. Heck, Musk and Leno even showed off the Tesla roadster, which will only set you back about $200,000.

Is it time for Almost DailyBrett to trade in his Miata roadster? Don’t think so.

When it comes to Tesla, the company is pointed toward a no-combustion engine, no gas-guzzling and no emissions-into-the-atmosphere future.

While other companies are kicking and screaming as they are being dragged along to the electric vehicle horizon, Tesla is the pioneer, best in breed and No. 1 EV and ion lithium battery innovator all rolled into one.

Is TSLA a cult stock, based upon the Steve Jobs-type innovation of Elon Musk? Yes.

Is that a good enough reason, not to buy the stock? Does sex sell?

https://www.bloomberg.com/quote/DAX:IND/members

https://www.cnet.com/roadshow/news/every-electric-car-ev-range-audi-chevy-tesla/

https://www.investopedia.com/articles/wealth-management/112315/net-worth-shark-tank-cast.asp#2-kevin-oleary

 

“I would like to get my reputation restored, and I will engage in all lawful means from our legal system to ensure that occurs. It is the height of ludicrosity for anyone to suggest that a single bone in my body is racist.” — UCLA Accounting and Law Professor Gordon Klein

“There is no way in hell that black lives matter to you. You are one of, if not, THE most racist human that I have ever encountered in a professional setting.” — Former student Whitney Woods tweet about incoming ASU Walter Cronkite School of Journalism and Mass Communication dean Sonya Forte Duhe.

Not incoming anymore. Duhe was accused of racism and microagressions.

“Our nation’s campuses should be bastions of free speech. Cancel culture and viewpoint discrimination are antithetical of academia.” — First Daughter Ivanka Trump upon the cancellation of her Wichita State University commencement address.

Ivanka was just the latest woman to follow in the university speaker cancellation footsteps of European Central Bank President Christine Lagarde and Stanford Provost Condoleezza Rice.

After 39 years of teaching at UCLA’s Anderson School of Business and School of Law, Professor Gordon Klein and his family are receiving threats of violence and are protected round-the-clock. His career at UCLA is over.

Instead of earning praise for a job well done, Klein is being ridiculed because he insisted that his students take their finals (the entire grade for his class) in Principles of Taxation on time.

If there is a day set aside for finals in the course syllabus, that is the prescribed day for each-and-every student. The purpose of a syllabus is to prescribe a level playing field and a reasonable set of expectations for all students.

As a USC graduate, Almost DailyBrett is not always predisposed to the other school in Los Angeles. One also suspects that Baby Boomer Klein was very close to retirement; he was an easy lamb to sacrifice by the junior campus of the University of California.

Who Runs Our Universities?

“In seeking truth, you have to get both sides of a story.” — Legendary CBS anchor Walter Cronkite (1916-2009)

“Academic politics are so vicious precisely because the stakes are so small.” — Former Secretary of State Henry Kissinger

Do you think Dr. Kissinger would be allowed to speak on a college campus? Forget about it.

Six years ago, your author was faced with an intriguing choice: Pursue a Ph.D with a fellowship at the aforementioned ASU Cronkite School or accept an offer as a tenure track Assistant Professor in Public Relations at Central Washington University. Big town/hot summers vs. small town/cold winters. Almost DailyBrett chose the latter.

The dream of teaching public relations, corporate communications and investor relations as a professor came true. The first inclination was to teach until the 70th birthday arrived. Whether tenure was achieved or not was secondary.

Three years ago, Almost DailyBrett decided the fourth academic year on campus would be the last. With F-U money invested and owning a nice comfortable house free and clear with wife Jeanne in Eugene, the decision to come home was made. Looking back, there are absolutely no regrets.

Your author left professional life at a time and place of his own choosing.

Would that have been the case, if your author was completing his tenure year — this past academic year — in his 65th year on the planet? Otherwise was there a rainy pasture in his future?

Even though CWU is located in relatively conservative Ellensburg, the seat of the State of Washington’s Kittitas County, Almost DailyBrett must personally question his own survival prospects on campus … any campus.

Before every COM 476 Corporate Communications and Investor Relations, students chanted: “Buy Low Sell High!”

Is “Buy Low Sell High” a microaggression comprised by the adjective “micro” and the noun it modifies, “aggression?” If a term of speech is micro, is it an aggression? Does it matter on today’s campuses? Does anything matter other than being affixed with the “racist” label?

Almost DailyBrett suspects his career as a Republican gubernatorial press secretary, corporate public relations director, international public relations agency senior VP and a director for a technology trade association … every position … each would serve as a potential strike against him.

Ivanka was denied an opportunity to speak.

Professor Sonya Duhe was denied an opportunity to serve.

Professor Gordon Klein was denied the opportunity to cap a great career and leave on his own terms.

Almost DailyBrett departed at a time and place of his own choosing. There is a satisfaction that comes from making the right choice.

https://www.washingtonpost.com/health/ucla-professor-no-racism-in-refusing-to-cancel-final/2020/06/10/f5e6410e-ab82-11ea-a43b-be9f6494a87d_story.html

https://www.foxnews.com/us/ucla-professor-suspended-under-police-protection-after-threats

https://www.anderson.ucla.edu/faculty-and-research/accounting/faculty/klein

https://www.azcentral.com/story/news/local/arizona-education/2020/06/06/cronkite-faculty-letter-incoming-dean-sonya-duhe-accused-racism-harm-schools-reputation/3166596001/

https://www.foxnews.com/us/asu-journalism-dean-out-microaggressions-police-good-tweet

https://almostdailybrett.wordpress.com/2017/11/24/coming-home/

https://almostdailybrett.wordpress.com/2017/06/28/the-other-american-dream-f-u-money/

https://almostdailybrett.wordpress.com/2019/07/24/is-the-word-racist-becoming-cliche/

https://www.kansas.com/news/politics-government/article243436826.html

 

Comparing one year to another in a different era is always an inexact science.

It’s easy to poke holes in any comparison and thus attempt to render the point meaningless, but this author will not go down easily.

The “perfect storm” of volatile factors in 2020 reminds Almost DailyBrett of a terrible year … 1968.

Certainly, there are no direct equivalents of the assassinations of Martin Luther King, Jr. and Robert F. Kennedy (and let’s keep it that way).

Neither is there a similarity to the eye-opening Tet Offensive nor directly related deaths of US soldiers, which exposed that America was systematically misled and deceived about the Vietnam War.

Consider that 2020 and 1968 will always be remembered as election years with flash-point incumbents.

Americans have been cooped up indoors for months, way too many losing their livelihoods in a provoked recession, and then the weather grew hotter and George Floyd was senselessly murdered by a Minneapolis criminal cop.

And similar to 1968 (e.g., Chicago riot), legitimate protesters had their voices and actions drowned out by organized anarchists (sounds like an oxymoron, but sadly it’s not) who want to hurt people, steal, burn and create havoc. If one Googles “Antifa Portland,” 619,000 results pour back in 0.33 of a second.

Reflecting back on 1968 — your author was 13-years-very-young — it literally took another decade-plus until America settled down again in the 1980s. Will it take that long after what is setting up to be a rotten, 2020?

There were more than a few, who detested the violence on university campuses and in the streets back in 1968. They became a political force of their own: “The Silent Majority.”

Is it deja vu all over again?

The Rebirth of the Silent Majority?

What about the overwhelming majority of Americans, who are sickened by what happened to defenseless George Floyd … begging for the right to breathe on Memorial Day? They want the officers responsible, particularly one in particular, to face severe music. Justice must be done.

Having said that, the preponderance of Americans are staying away from the streets. They are incredulous by what they’re seeing on television and social media.

Didn’t the overwhelming number of voters elect and re-elect the first-ever African-American president, Barack Obama, in 2008 and 2012? We were internationally celebrated for being open and fair-minded. Are Obama’s historic elections now irrelevant?

The George Floyd murder comes across as an exploited opportunity by many who just want to destroy communities. They are looters, stealing from expensive stores. There are trigger-happy Yahoos with assault weapons — allegedly protecting places of business — just looking for any excuse to open fire.

Cable television and the Internet in 2020 are delivering these horrific videos and placing them in our collective faces. Didn’t television in 1968 bring the carnage of Vietnam into our living rooms on a nightly basis? At the time, the U.S. military drafted literally thousands to fight in rice paddies in a war, which was never explained, much less declared.

Then-candidate Richard Milhous Nixon called for a restoration of “law and order” on the 1968 campaign trail. Do we want another officer putting his knee on the neck of an unarmed man? The answer is an easy, ‘no.’ This abominable practice must stop now and forever.

At the same time, a riot usurping a protest is still a riot.

Can we conclude that a 21st Century equivalent of the 1960s Silent Majority detests and loathes rioters breaking windows, looting stores, burning vehicles, assaulting police officers, fire fighters, security personnel, chasing and intimidating reporters, and destroying Starbucks … just because it’s corporate Starbucks?

The Silent Majority wants to turn down the sound, cancel out the noise and return to some sense of normalcy.

Almost DailyBrett will be the first to admit making the wrong call in the 2016 election. This year started with rising markets, the best economy in one-half century, a positive atmosphere for any disciplined incumbent … assuming the incumbent is capable of political discipline.

Oh what a strange trip it has been: The Covid-19 outbreak, the unprecedented lock down, the forced recession, masked people fighting unmasked people, and then and now … the George Floyd murder and out-of-control chaos.

What’s next? There will be more. It’s not Morning in America, more like Midnight on the Streets.

Just as a turn of events spiraled out of control in 1968, the same seems to be true in 2020.

Who benefits and who does not — we need to be honest — no one knows.

https://almostdailybrett.wordpress.com/2018/10/27/what-happened-to-the-exceptional-nation-that-twice-elected-barack-obama/

 

 

 

 

 

 

Look at thus chorus of entitled white men, justifying a serial rapist’s (e.g., US Supreme Court Associate Justice Brett Kavanaugh) arrogated entitlement. All of them deserve miserable deaths while feminists laugh as they take their last gasps. Bonus: we castrate their corpses and feed them to the swine? Yes.” — Georgetown University Professor Christine Fair

“Bias against women as political leaders has clearly diminished in modern times, and women have been elected to state governorships (e.g., Nikki Haley) and other executive offices with some frequency. But the presidency is the ultimate executive office, and there are still many men, and some women, who have hidden (or not so hidden) gender prejudices.” — Professor Larry Sabato, UVA Center For Politics

What is the male equivalent of the word, “misogyny?”

Are you ready for … “misandry?”

Haven’t heard the term, misandrists or women who hate men? The same was true for Almost DailyBrett until recently.

In our advanced 21st Century civilization there seems to be only public dialogue of the unfortunate practice of misogyny and evil misogynists, which is appropriate but is that the end of the discussion?

As former Vice President Joe Biden contemplates, which woman he will add to the ticket (too bad he closed the gender door to New York Governor Andrew Cuomo), the always excitable resistance journalists will hyperventilate about how his running mate choice will impact THE Gender Gap (Democrats vs. Republicans and the women’s vote).

Translated: Who will better assist Biden in firming up and expanding his base with women: Stacey Abrams? Kamala Harris? Amy Klobuchar? Catherine Cortez Masto? Elizabeth Warren?

Your author fully anticipates the predictable absence of pundit bloviation of what is another valid factor, if not an equally germane discussion: What will be the impact of the chosen woman running mate on the forgotten gender gap: Republicans vs. Democrats and the vote by men (assuming all American males don’t suffer miserable deaths, while feminists laugh in the meantime).

Looking back at 2016 exit polling, we find not surprisingly that Hillary Clinton carried THE gender gap by a 13 point margin (54 percent-41 percent).

Conversely, Donald Trump won the forgotten gender gap by 11 points (52 percent-41 percent).

This assessment of the women vs. men voting tendency divide is not the end of the story, just the end of the beginning.

Digging deeper into the numbers, we find that inconceivably Hillary Clinton actually lost the white women’s vote to Donald Trump (52-43 percent). White men in numbers with high propensity, voted for Trump over Hillary by two-to-one landslide, 62 percent to 31 percent.

Three times in the past 48 years, Republican nominees have captured 50 percent or more of the total vote among women (Nixon, 61 percent in 1972, Reagan, 56 percent in 1984 and George H.W. Bush, 50 percent in 1988)

Only once in the last 48 years has a Democratic nominee won 50 percent of the total vote among men (Jimmy Carter with 50 percent in 1976).

‘Don’t Want This Particular Woman’

“Throughout the campaign, an observer could not miss an assertion made frequently by women young and old: ‘I want a woman president, and I’m sure we’ll have a woman president soon, but I don’t want this particular woman (e.g., Hillary Clinton).'” — Larry Sabato

Donald Trump’s two-for-one victory among men in 2016 should not be dismissed particularly as it applies to the fly-over swing-states including: Iowa, Michigan, Ohio, Pennsylvania, Wisconsin … White men and Midwest swing states still matter in 2020.

Should Joe Biden pay attention to the forgotten gender gap? How will his choice of running mate, a bleeding heartbeat away from the presidency impact the men’s vote?

Trust Almost DailyBrett on this point: The good folks at CNN, MSDNC, NBC and CBS will pay scant attention to the shave-their-faces in the morning demographic. They will focus on how a shrill Elizabeth Warren fires up progressive women base or how an angry Kamala Harris will perform in a debate against cool customer, Mike Pence.

Even as apoplectic Warren clearly unnerves Wall Street and America’s Investor Class (more than half of the country), how will she play with men in must-win-for-either-side, Florida?

Considering Biden’s rhetorical struggle against himself, could an oratorically gifted Governor Cuomo have been a wiser choice as a running mate?

Let’s also weigh Biden’s “… you ain’t black” gaffe with the African-American community. Will adding Georgia governorship loser Stacey Abrams or “I don’t believe you (Biden) are a racist” Kamala Harris solve the nominee’s problems with blacks in particular, and American men in general?

Maybe making the premature announcement that he would only consider a woman for the VP slot was political malpractice? Why close out one gender so early, when your party has historical major political problems with that very same gender, men?

Are progressive women going to vote for Trump, if an Andrew Cuomo or Cory Booker is selected? Forget about it.

Men are relevant. Men matter. They vote. They don’t appreciate being placed in a “basket of deplorables.” They will not be the forgotten gender gap.

Most of all, they will be there in November.

https://www.lexico.com/explore/what-is-the-female-equivalent-of-a-misogynist

https://almostdailybrett.wordpress.com/2018/10/02/when-boy-meets-girl/

“Yes, most likely.” — Boeing President and CEO David L. Calhoun asked if one of his airline customers will go out of business

Three little devastating words.

What is one of the Golden Rules of Public Relations? Don’t answer hypotheticals.

“What happens if the sun slams into the earth?

You can think we would all fry and die and the markets would close early, but you have the right to keep your thoughts to yourself and to deliver a boring response to a reporter, anchor or correspondent.

Today’s Savannah Guthrie asked Calhoun if an airline (e.g., one of Boeing’s customer) could go under, and he uttered those three little words starting with “Yes.”

Guess what? The entire airline sector took a dive (pardon the poor Almost DailyBrett pun) as well as one of their chief suppliers … that would be … Boeing. The company’s PR department reportedly tried to “walk back” Calhoun’s gaffe, but as they say … ‘You can’t put the toothpaste back in the tube.”

Almost DailyBrett must first ask: Why “Today”?  Why now?

Even before Covid-19 sell-off, the company was responsible for two Boeing 737 Max-8 failure airplane crashes. As a former shareholder, your author knows the airline passenger market is on its back. Boeing turned into a ‘sell.’ It’s still a ‘sell.’

What’s the “great” news to bestow to the aeronautics rocket scientists at Today. Considering that Boeing is the ultimate B2B (business-to-business) is Today’s audience, your audience? Wouldn’t CNBC, Fox Business, Wall Street Journal or even Aviation Week be more appropriate media for Boeing?

Your Mother Always Told You To Tell The Truth

So did Immanuel Kant.

A former Silicon Valley colleague made a valid point that Boeing boss Calhoun should be given credit for telling the truth, and nothing but the truth.

True, but Calhoun went too far. Questions about the financial health of each and everyone of Boeing’s airline customers should be left to the … carriers themselves.

What was the alternative (besides declining the Today interview request)? How about not responding to the question, simply acknowledge the interrogative, say you can’t speak for individual airlines and pivot the discussion back to Boeing. The technique is known as Acknowledge-Bridge-SOCO (Strategic Operating Communications Objective).

SOCO is the answer, which coincides with predetermined before the Today interview Boeing’s agenda, not the wishes of Mizz Guthrie.

As a former press secretary for former California Governor George Deukmejian, your author and our press office staff parried each and every hypothetical question. It was our rule. It was our political discipline.

Consider one of the many questions that we received about legislation pending in the state Legislature, and whether the governor would sign or veto a bill? Unless it was one of the rare cases in which the governor deliberately wanted to send a discouraging message in advance — the bill would be DOA — we implemented our sacrosanct rule about not responding to hypotheticals.

Reporters would often voice their displeasure, but our answer made sense … bills are often amended. They are shelved in committee. They fail on the floor of one or the other house. You can’t make a judgment on a bill if and until it reaches the governor in its final form.

In governance, it’s sound public policy to plan for the future — California 2010 project in 1987. The Golden State foresaw the equivalent of the population of the State of Illinois moving to California. That prediction turned out to be true.

Having said that, there is zero upside with thinking out loud in the on-the-record presence of a reporter. Unless you have the internal green light from your management to float a trial balloon, the practice of speculating about the future is inherently dangerous.

And if you do venture into the hypothetical minefield, mind your own knitting (one metaphor following another),

Calhoun’s greatest sin in the eyes of Almost DailyBrett was conjecturing out loud about the business future of one of Boeing’s customers. That’s the carrier’s prerogative and responsibility, not Boeing, the B2B supplier.

Boeing’s PR department deserves more than its fair share of blame for this gaffe. Today was a bad choice at the worst time possible.

Calhoun was not adequately media trained, particularly when it comes to never answering hypotheticals.

https://www.nbcnews.com/business/business-news/coronavirus-pandemic-could-force-major-u-s-airline-out-business-n1205036

http://www.boeing.com/company/bios/david-l-calhoun.page

 

 

Which Californian would you rather have running your business: Tim Cook or Gavin Newsom?

Taking into account that Covid-19 indiscriminately hit both Apple and the State of California at the same time in the same place, which entity performed better under nearly identical circumstances?

Under Governor Gavin Newsom’s watch, California with the nation’s highest income taxes (13.3 percent at the apex) and an average sales tax of 8.66 percent recently reported its record $21 billion surplus is now an unprecedented $54.3 billion deficit … that’s a staggering $75.3 billion switch if you are scoring at home. Nonetheless, the state found $75 million in the form of a pander payment to California illegal aliens.

Will they be eligible to vote … some day?

As the chief executive officer of $260 billion Apple with $44 billion in cash reserves, Tim Cook just announced the reopening some of Apple’s national stores this week with many more to follow. The company achieved a 37.8 percent gross margin and 14.3 percent to the bottom line in FY 2019, returning quarterly dividends of $0.82 per share for its shareholders.

As a member of the growing California Diaspora and a best-in-breed investor, who would Almost DailyBrett choose as a responsible fiscal steward?

Hint: Apple shares are up 7.25 percent this year, despite the Corona virus. As CNBC’s Jim Cramer repeatedly has proclaimed, he is only interested in a stock’s future. Share prices are a leading … not trailing … indicator of future performance.

Apple is a leader. California is a laggard.

The same is true with other best-in-breed publicly traded companies including Salesforce.com, Gilead Sciences, Lululemon Athletica, McDonald’s, Microsoft, Nike, NVIDIA and Starbucks. Is the present iteration of California anywhere close to … best in breed?

If California was publicly traded, would a responsible investor select the Golden State or no state income tax Texas and/or Florida?

As the former press secretary for the former Governor of California George Deukmejian (1928-2018), my love for the Golden State is true … your author loathes the present crew in Sacramento. Just ask Tesla boss Elon Musk.

Peddling A False Choice

The bull statue on Wall Street and the True Value hardware store on Main Street are not mutually exclusive.

The countless suggestions of a Berlin Wall type of divide between the two streets is a false choice. Even the stately The Economist fell into this trap.

The reason is simple, millions of investors who live on Main Street, the side streets and the suburbs. Gallup reported that 55 percent of Americans own stocks and/or stock based mutual funds … before Covid 19. America’s Investor Class certainly took a hit with the virus, but there are tangible results indicating without any doubt that investors are coming back, money is coming off the sidelines … heck the NASDAQ is up for the year.

Those who project the end of Capitalism may even be the same to predict the Republicans were the Whigs of the 21st Century, heading for extinction. Whatever happened to these rocket scientists?

Many in America’s investor class are fond of ETFs or Exchange Traded Funds and other versions of mutual funds. Your author is an investor in Fidelity’s Contrafund with $112 billion assets under management (AUM). The fund invests in large caps including Facebook, Amazon, Microsoft, Berkshire Hathaway (think Warren Buffett), Adobe, Google …

Cash needs to be a significant portion of any responsible portfolio, which should include a mutual fund or two.

Almost DailyBrett must pause and ask the investor class (anyone who would care to listen), how about being the manager of your own mutual fund (no fees or commissions)? Why not build a portfolio with your own selection of best-in-breed stocks (e.g., Apple)?

To some, this approach may be too risky. To others, do you really need a paid-by-you investment advisor to tell you that Nike is the number athletic apparel manufacturer in the world? Why not buy the stock when the next inevitable dip comes around?

Buy Low Sell High.

For the most part, America’s Investor Class radiates out from Main Street. To suggest that Wall Street needs to be reined in and economic freedom should be curtailed by those who determine the so-called Public Good is contrary to the best interests of millions investing for retirement, a child’s education, a dream house or a new business.

It takes a free market to raise a child.

Wall Street is Main Street.

P.S. Be careful about investing in The State of California.

https://www.economist.com/leaders/2020/05/07/the-market-v-the-real-economy?

https://www.cnbc.com/2020/05/07/california-faces-a-staggering-54-billion-budget-deficit-due-to-economic-devastation-from-coronavirus.html

https://www.apple.com/newsroom/2019/10/apple-reports-fourth-quarter-results/

State and Local Sales Tax Rates, 2020

https://www.cnbc.com/2020/04/15/california-to-give-cash-payments-to-immigrants-hurt-by-coronavirus.html

https://almostdailybrett.wordpress.com/2019/06/20/californias-growing-diaspora/

What Percent Of Americans Own Stocks?

State Individual Income Tax Rates and Brackets for 2020

“Play the radio, make sure the television — the, excuse me — make sure you have the record player on at night … make sure the kids hear words.” — Former ice President Joe Biden, Democratic Presidential Debate, Sept. 12, 2019

Record player?

Every day Wall Street is assessing, “The Cuomo Effect.”

New York Governor Andrew Cuomo’s daily Covid-19 briefings on the impact of the Corona virus on the most densely populated metropolitan area in the country are moving markets … mostly upwards.

Not only is New York the most impacted state as a result of the spread of the virus, it also serves as the venue for the NYSE and NASDAQ and not-so-coincidentally the major networks.

Almost DailyBrett is still mystified the White House’s Corona Virus task force never adopted the idea of holding its briefings during market hours (e.g., 9:30 am to 4 pm EDT), particularly earlier when remarks from President Trump, Vice President Pence, Drs. Fauci and Birx would have greatest impact.

In turn Governor Cuomo has been Mr. Carpe Diem. Each morning has been his turn to preach the gospel of Covid-19 response. Is there any wonder, where he acquired his oratorical skills? His father, the late Governor Mario Cuomo (1932-2015), electrified the 1984 Democratic Convention with his keynote address.

Your author fondly remembers reading Mario Cuomo’s 1982 diaries about his New York gubernatorial campaign. That was the same year my boss, George Deukmejian (another New York native), ran and won the governorship of California. The Duke also read Mario’s diaries. The same is true for former California governor Jerry Brown.

As a former public relations professor, your author is particularly impressed with Governor Andrew Cuomo’s presence, persona, pacing, command of the language and skillful use of PowerPoint. Almost DailyBrett has been waiting … literally for years … for politicians to skillfully employ PowerPoint, which has long been de rigueur for technology and academic presentations.

“You Know” Four Times In One Sentence?

“Um, you know, there’s a, uh, during World War II, uh, you know, where Roosevelt came up with a thing, uh, that, uh, you know, was totally different than a- than the- it’s called, he called it, the, you know, the World War II, he had the war- the the War Production Board.” — Joe Biden COVID-19 comments Friday, April 17 on CNN

During World War II, President Roosevelt established the War Production Board.

Eleven words. How tough was that?

The hyperventilating “WhatAboutism” crowd is already getting their collective knickers in a twist to identify comparable Bidenesque rhetorical wrestling matches with President Trump. The president is confident when he speaks … maybe too confident … while Biden struggles and struggle and struggles.

Your author would stop a student reaching for his … it was always a male … fourth “you know” crutch word in the same sentence. The Millennial was obviously nervous and maybe a little ashamed in front of fellow students. The job was to slow him down and help him concentrate on delivering a succinct understandable message.

That is the essence of communication.

The real question for today is could Joe Biden serve as Governor of New York, let alone President of the United States, and rally us in days of crisis? Yes Joe is from Del-a-where not New York, but we are putting this obvious point aside for the sake of discussion.

Joe … ‘I knew Mario Cuomo. Mario Cuomo was a friend of mine … and you are no Mario Cuomo’ … make that no Andrew Cuomo as well.

Could Joe Biden present Andrew Cuomo’s corona virus response briefings each day with anything close to the same presence and command? As mentioned Andrew is a skilled orator, but he will not be the Democratic nominee for the presidency.

The answer should be obvious. Joe Biden is not Andrew Cuomo … not even close.

Would the majority of Democrats opt to re-run the presidential primary season, if they could? You bet ya.

Some may point to Joe Biden’s adolescent stuttering. Some may remember Almost DailyBrett’s youthful stammering issue. These problems can be overcome with deliberation, preparation and confidence. The former is running for the presidency. Can he ever inspire or will he always struggle to find the next word.

You know?

https://www.businessinsider.com/joe-biden-record-player-democratic-debate-abc-houston-2019-9

https://almostdailybrett.wordpress.com/2018/05/06/what-about-whataboutism/

“One taboo after another has been broken. Not just the threat of fines or prison for ordinary people doing ordinary things, but also in the size and scope of the government’s role in the economy. — The Economist, The state in the time of covid-19, March 26, 2020

“Coming next is likely to be contact tracing, an effort track people exposed to the virus that could invade the privacy of all Americans.” — Dan Balz, Washington Post, Government is everywhere now. Where does it go next. April 20, 2020

“Government is not the solution to our problem; government is the problem.” — President Ronald Reagan’s first inaugural address, 1981

The California beach City of San Clemente filled its popular skate park with sand because it was being used by … (gasp!) … skateboarders.

The State of Michigan banned nurseries and garden shops because mandated shelter-in-place folks actually wanted to plant their home gardens … believe it or not … with seeds.

It’s spring. Pollen is in the air. The flowers are blooming. The birds are chirping.

In these growing cases of governmental overreach, are these punitive actions public relations victories … or failures?

“For believers in limited government and open markets, covid-19 poses a problem. The state must act decisively. But history suggests that after crises the state does not give up all the ground it has taken. — The neoliberal Economist

The Economist proclaimed today’s global state of affairs after more than one month combating the Corona virus as the “most dramatic expansion of state power since the second world war.”

Reminds one of the Red Army “liberating” Eastern Europe at the end of the same war.

Almost DailyBrett maintains a healthy libertarian streak preferring carrots (e.g., effective public outreach) than stones (thou shalt not … ). In the overwhelming number of cases, Americans accepted wise counsel from doctors and scientists, and closeted themselves at home for weeks on end.

At the same time, pay checks and investment portfolios vanished in the face of the unprecedented shutdown of the world’s largest ($21.44 trillion GDP) free-market economy.

Now the storm clouds are showing signs of receding, people are ready to go back to work, particular those who are unemployed. They do not want to wait … and will not sit at home … until 2021 or (gasp 2022 ), calmly waiting for final FDA approval and widespread distribution of a covid-19 vaccine.

The “Highest Priority” Of Government

“The highest priority of government is the protection and safety of its citizens.” — Former California Governor George Deukmejian

“Government also has changed personal behavior, recommending and in some cases ordering people to stay home, practice social distancing and wear masks outdoors, in some places under the threats of fines and penalties.” — Dan Balz, Washington Post

It will come as no surprise that your author, who earlier served as a Governor Deukmejian press secretary, concurs with controlling the size and scope of government.

Without getting inflamed by all the political finger pointing and retributions associated with the containment of the Corona virus, your author believes there is zero doubt we will ultimately beat this little bugger, the evidence is already there. We have prioritized protection and safety.

The Deukmejian administration contended that government was indeed necessary, but we questioned automatic expansions and costs of government which make little or no sense (e.g., today’s high speed train proposal from god-awful Bakersfield to no-where Merced).

But when is too much government, too much? Why can’t citizens … not subjects … be treated as adults rather than children?

Almost DailyBrett concurs with stay-at-home and social-distancing gospels as long as they are absolutely necessary … on a state-by-state basis. Where your author gets out of the government über alles boat is when the orders are arbitrary and capricious, and become an excuse for arrogant petty tyranny.

There is a major difference between the word, “encourage,” and “prohibit.” The latter means Verboten.

Your author remembers vividly University of Oregon graduate school classmates openly stressing about the prospect of the federal government keeping tabs of their … library book checkouts because of the Patriot Act to fight terrorism.

Why would government … care?

What would they think about digital virus contact tracing by Big Brother?

The Mother of All civil liberties battles?

https://www.economist.com/leaders/2020/03/26/the-state-in-the-time-of-covid-19

https://www.realclearpolitics.com/2020/04/20/government_is_bigger_than_ever_what_comes_next_508525.html

https://www.nationalreview.com/2020/04/coronavirus-authoritarianism-is-getting-out-of-hand/?

“They (NFL, NHL, NBA, MLB …) want to get back. They’ve got to get back. We want to get back soon, very soon. We have to re-open our country again.” — President Donald Trump after a Saturday conference call with the major sport commissioners

The “easy” part was declaring a State of Emergency, and shutting down America.

The decision was difficult, but once made it was relatively easy to implement

At some point — not now — comes the hard part: Re-opening the stadiums, arenas, music halls, stock exchanges, restaurants, stores, businesses, corporations …

What? When? Where? Who? Why? and most of all, How?

How are we going to re-open America?

Will we simply lift the State of Emergency, and pick up where we left off? Don’t think so.

Will we wait until everyone is tested for COVID-19 antibodies?

Will we hang on until everyone has been vaccinated? 2021? 2022? …

How will we demand proof of vaccine or antibody testing without violating federal health privacy guidelines (e.g., HIPAA), and personal liberties?

Will we continue to quarantine the high-risk population, Baby Boomers and older?

Will the ‘All-Clear’ signal be given to X-Gens, Millennials and younger?

How does that square with equal protection guidelines of the 14th Amendment?

What criteria will we use? Can we accept that unanimity is impossible; there will always be those who disagree (particularly those with political agendas in an election year)?

Will there ever be an absolute “coast is clear” signal? You can be absolutely sure that opinions will vary, count on it.

And there will be attorneys too, in particular for this Almost DailyBrett author: Plaintiff attorneys … tan, rested and ready to sue anyone and everyone with deep pockets (e.g., NFL franchises).

The Complex PR Puzzle Facing Re-Opening Decisions

No matter how many public officials are consulted. No matter how many health experts provide advice. No matter, no matter, no matter ... somebody has to be first to re-open the doors, the turn-styles, the restaurant tables for overpriced seared sea bass with risotto.

Let’s say we don’t re-open until 2021 (e.g., Tokyo Olympics, UEFA Euro 2021 … ), there still will be a line in the sand. People will no longer maintain six-foot buffer zones. Most likely they will no longer wear face masks, except for football players and hockey goalies.

Can college and NFL football players block and tackle each other? Otherwise, what is the point?

Can fans, patrons return to packed-in-as-sardine stadiums? What if they are scared (Will their tickets be refunded)? What if they actually go to the game, concert, restaurant, store, shop … and get sick? Will they sue? How many? And for how much will they litigate?

An NFL team has the legal muscle and deep pockets to defend itself, but what about a mid-range college athletic department?

Your author is not an attorney, but is there an assumed liability that comes with handing over your ticket with the QR code face up?

Almost DailyBrett contends strongly that public relations practitioners should urge not only communication, but over-communicating.

There will be an acute need for earned media (e.g., digital and conventional media interviews) employing team owners, university presidents, chief executive officers and of course, health experts.

Ditto for paid media (e.g., advertising) with strong messages about getting back to work, and going to the game … safely.

And most of all every organization will be required to launch owned media campaigns (e.g., websites, blog posts, social media, signage, PowerPoint presentations, brochures and takeaways).

The more people are informed about the calculated risks they may take in waiting for the first guitar riff or standing up for the kickoff … the better for them and for the resumption of our economy and our way of life.

Bill Gates was amazingly prescient about the threat of microbial pandemics in his now famous 2015 TED Talk, which served as the forerunner for the crisis of the ten-thousandth of a millimeter in diameter Corona Virus.

Considering the wonderful work of Bill and Melinda Gates, donating a record $50 billion to their namesake foundation for health and education and to combat third world poverty, maybe he could serve as a major thought leader in negotiating the hard part, getting us back to work, into the stadiums, and back on campus.

Didn’t someone piously state that billionaires should not exist?

Ahh … the subject of another Almost DailyBrett post.

https://www.espn.com/nfl/story/_/id/28995399/sources-trump-says-nfl-start

https://www.gatesfoundation.org/who-we-are/general-information/foundation-factsheet

New York, N.Y. – The New York Stock Exchange (NYSE) today announced the formation of a sister exchange/wholly owned subsidiary, the Toilet Paper Stock Exchange (TPSE).

The “Tipsie”  began trading today with its first full flush of excitement at 9:30 am (EDT), 6:30 am (PDT).

The commodity units utilized for Tipsie trading are known as Resources Of Limited Life (ROLLS). Digital Trading Platforms (TP) have been established by the TPSE to facilitate the buying and selling of increasingly valuable toilet paper.

“We have never in our lifetimes witnessed the unbelievable demand for the ultimate recession proof product: toilet paper,” said Stacey Cunningham, NYSE Group president. “One way or the other, we all will use this strategic commodity each day, sometimes multiple times a day.

“If we must use ROLLS, and some even resort to evil hoarding of this product (see Costco), why can’t investors trade these ROLLS, employing our TPs under the regulatory oversight of the newly created federal Toilet Paper Exchange Commission or TPEC?”

The “Tipsie” immediately reported brisk initial trading with each ROLL fetching an average price of $69.95, representing a total market capitalization (number of rolls issued x sales price) exceeding $1 trillion.

Only Microsoft ($1.20 trillion) and Apple ($1.11 trillion)at the close of trading on the final day of Q1 2020 rival toilet paper in attainment of 13-digit institutional (i.e., buy and sell side) and retail investor inflows (not to be confused with outflows).

Cunningham cautioned investors to fully expect the trading of ROLLS to remain volatile and fluid for the duration of the Corona Virus (COVID-19) global pandemic. The unprecedented and inexplicable demand of toilet is expected to continue for weeks, if not months.

“Just like any other market — from tulips to Internet start-ups to toilet paper — we must guard against commodification,” said Cunningham. “Most of all we need to cover our … derrieres … if the demand for toilet paper falls and the supply of ROLLS run out. Otherwise, we may feel a little … Tipsie.”

Safe Harbor Cautionary Statement — Institutional and retails investors are summarily cautioned that trading on the increasingly volatile and fluid  TPSE or “Tipsie” requires a certain degree of risk in which the value of ROLLS may actually fluctuate regardless of whether the TPSE or TPs (Trading Platforms) are utliized. The TPSE expressly follows the dictates of the Toilet Paper Exchange Commission (TPEC), the federal Department of Justice, the Federal Trade Commission, the Security Exchange Commission and other regulatory bodies.

About the Toilet Paper Stock Exchange (“Tipsie”)

The Toilet Paper Stock Exchange or “Tipsie” is a sister trading platform to the New York Stock Exchange (NYSE) and a wholly owned subsidiary. The express purpose of the Tipsie is to facilitate the orderly buying and selling of Resource of Limited Life or (ROLLS), using the exchanges digital trading platforms or (TPs).

Almost DailyBrett Editor’s Note: 

Serious consideration was given to taking a pass on this blog’s annual “April Fool’s” post for obvious reasons. However, the strange global obsession with all things toilet paper is a strange global obsession. Buy reasonable amounts of toilet paper, if you can. More importantly, stay healthy. Stay very safe.

— TPSE —

https://ir.theice.com/governance/executive-management-team/default.aspx

 

 

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