Latest news with #phenomenon
Yahoo
3 hours ago
- Business
- Yahoo
Mark Cuban says consumers may actually see lower prices due to tariff uncertainty as companies deal with the aftermath of stockpiling goods
As many economists warn of the inflationary consequences of tariffs, billionaire Mark Cuban believes uncertainty surrounding the tariffs may actually bring down prices in some instances. Companies may try to rid themselves of inventory they stockpiled as a result of tariff threats, slashing costs to 'get back to cash,' Cuban said in a recent social media post. Billionaire investor Mark Cuban said there's a reason why tariffs are not yet causing the sticker shock many consumers are expecting. The Shark Tank star said on social media on Sunday that inflation has not risen as economists predicted because companies who stocked up on imported products before tariffs went into place are now focused on getting rid of that inventory, even slashing prices to clear out goods in exchange for some quick cash flow. Cuban said he sees this phenomenon in all of his product-based companies. 'The variance in tariffs has made it impossible to know how to manage costs,' Cuban said in a social media post. 'So you do all you can to clear out inventory and get back to cash. And take your chances on tariffs not being as big as you feared.' Indeed, the Commerce Department's PCE report from last week indicated inflation slowed to a 2.1% annual rate in April from 2.3% in March. That's despite concerns of investors and economists that businesses will pass down the cost of tariffs to consumers, jacking up the prices of goods, which would lead to greater inflation. Companies managing supply chains impacted by tariffs pulled forward shipments of goods to get ahead of the taxes, Cuban said. Tracking data found increases in shipments prior to the implementation of the tariffs. These increases coincided with companies stockpiling goods before they would be tariffed. Since then, traffic at U.S. ports has been down. But there's a potential downside to businesses sitting on so many goods, Cuban argued. 'They see the on and off again tariffs in action, so they don't know how long their inventory will have the value they expected,' he said. In order to pull forward shipments—sometimes by three to six months, according to Cuban—companies may have taken out loans. But with so much uncertainty around tariffs, businesses may not want to be saddled with debt. 'So they don't raise prices,' Cuban said. 'In fact they may even discount some as a way to clear out inventory and replenish cash or pay down expensive loans.' Cuban did not respond to Fortune's request for comment. Just because inflation and prices are lower than expected doesn't mean it's good news for the companies weathering tariffs or the economy more broadly. 'None of the above is a positive,' Cuban said. In order to stock up on inventory, some companies may borrow cash on unfavorable loan terms or use existing cash on hand. While fortunate businesses may be able to make deals with manufacturers, who know the risks of tariffs and are able to offer better prices, other companies may not be so lucky. By taking out hefty loans to pull forward shipments, companies may have lost the ability to earn interest or invest in other parts of their business, Cuban said. On top of that, they may have to pay interest, sometimes between 10% and 20%, on the loans they took out. 'This isn't just small companies,' Cuban said. 'This is all companies facing this.' He added that this is the reason Walmart may increase prices in the future. Cuban has previously warned of the long-term consequences of President Donald Trump's tariffs in social media posts, even suggesting they could contribute to an economic crisis. 'If the new tariffs stay in place for multiple years and are enforced and inflationary, and [the Department of Government Efficiency] continues to cut and fire, we will be in a far worse situation than 2008,' Cuban said in April. This story was originally featured on Sign in to access your portfolio
Euronews
3 days ago
- Entertainment
- Euronews
These 5 villages have been crowned the most beautiful in Italy
Italy's countryside is peppered with villages rich in architectural marvels, gastronomic delights and arcane cultural traditions. Each year, these little-known treasures compete for national recognition through 'Borgo dei Borghi' (Village of Villages), a beloved television contest that has become a cultural phenomenon. Organised by RAI, Italy's national public broadcasting company, the annual competition is broadcast in weekly episodes that turn the spotlight on each of the 20 selected villages. The programme has become a form of travel inspiration as it recounts legends, curiosities and rituals that make each village one-of-a-kind. Here are this year's winners - chosen by viewers and an expert jury of historians and tourism professionals - and why you should add them to your next Italy trip itinerary. Lying on the northern slopes of the Iblei Mountains, winner Militello in Val di Catania is an exemplar of Sicilian baroque artistry and urban planning. The village of just under 7,000 inhabitants is included in UNESCO's designation of late Baroque towns of the Val di Noto. Following the devastating earthquake of 1693 that destroyed much of southeastern Sicily, Militello was rebuilt according to the baroque aesthetic principles of the era, resulting in an urban landscape that feels like an open-air museum of 18th-century design. The village is home to more than 20 churches with elaborate stone facades crowded with cherubs, saints, and intricate floral motifs. Militello is also home to numerous aristocratic villas and palaces that once housed the noble families who shaped the village's development. The village's cultural life is also abundant, with saints' day festivals involving processions, traditional music performances, and communal meals. Militello's victory marks Sicily's fifth triumph in the Borgo dei Borghi competition, following previous wins by Gangi, Montalbano Elicona, Sambuca di Sicilia, and Petralia Soprana. Heading up to the northern province of Turin, runner-up Agliè is characterised by both aristocratic grandeur and quotidian village life. The centrepiece is the Castello di Agliè, a palatial complex that forms part of UNESCO's Savoy Residences designation. The magnificent structure of imposing facades, elaborate gardens, and richly decorated interiors served as one of the primary residences of the House of Savoy, the royal family that ruled the Kingdom of Sardinia and later the unified Kingdom of Italy. The castle forms the heart of the village, surrounded by historic piazzas that are still the setting for weekly markets, seasonal festivals, and daily social interactions. The village gained additional fame as the primary filming location for 'Elisa di Rivombrosa', a popular Italian historical drama series. Third spot went to Vignanello, which exemplifies the sophisticated architectural and agricultural traditions of northern Lazio. The village's claim to fame rests primarily on the Castello Ruspoli, a Renaissance masterpiece whose gardens represent some of the finest examples of Italian landscape design from the 16th and 17th centuries. Vignanello is also renowned for its time-honoured winemaking traditions. The volcanic soils of the region, enriched by centuries of natural mineral deposits, provide ideal conditions for viticulture. The annual grape harvest festival is a grand celebration for the village, featuring wine tastings and food pairings as well as historical reenactments. High in the mountains of Calabria, Aieta lies in the untamed wilderness of the Pollino National Park. At over 500 metres of elevation, the medieval village commands lofty views over the Tyrrhenian Sea - its name is appropriately derived from the Greek word for eagle. Aieta's medieval character remains remarkably intact, with narrow stone streets winding between houses built from local stone. The village's 16th-century Renaissance palace stands as a testament to the wealth and cultural sophistication that even small mountain communities could achieve during Italy's golden age of art and architecture. The location within Pollino National Park makes Aieta an ideal base for exploring its ancient forests, deep gorges carved by rushing streams, and mountain peaks that provide habitat for rare wildlife, including wolves, eagles, and endemic plants. While the Amalfi Coast attracts millions of visitors annually to its famous destinations like Positano and Amalfi, Maiori offers a more tranquil alternative. The village has an expansive beach, unusual along a coastline typically characterised by small coves and dramatic cliffs. Behind the sweep of sand rise the village's colourful buildings and lemon groves that climb the steep hillsides threaded through with hiking routes. Visit the Abbey of Santa Maria de Olearia, a remarkable religious complex carved directly into the coastal rock face. Inside are frescoed chapels and meditation spaces hewn directly from the cliff. Maiori's lemon groves represent not just agricultural activity but a cultural tradition that has shaped the landscape and economy of the Amalfi Coast for centuries. These terraced gardens, supported by stone walls built without mortar, are an extraordinary example of sustainable agriculture that maximises productivity while preserving the natural beauty of the steep coastal terrain.
Yahoo
4 days ago
- Business
- Yahoo
How Indexing Is Driving the Erosion of the Small-Cap Premium
The small-cap premium is 'very likely dead,' and the forces that once drove it are 'either gone or overwhelmed,' according to Joachim Klement, head of strategy at Panmure Liberum. Speaking at ETF Stream's 2025 ETF Ecosystem Unwrapped event, Klement argued that the rise of index investing 'has created a self-reinforcing loop where the largest stocks get ever larger, and the small-cap premium erodes—perhaps permanently.' The small-cap premium concerns the historical tendency for small-cap stocks to outperform large ones over time. But as ETF Stream explored last year, the phenomenon has been weak since the 1980s and particularly so in the last decade. For Klement, the timing of its disappearance is no coincidence: It went hand-in-hand with the rise of benchmarking and index investing. This change in approach from the investment community has created an environment whereby small-caps exhibit lower elasticity of demand than large-caps—an observation also made by Simplify Asset Management's Mike Green in his recent interview with ETF Stream. Essentially, benchmarked investors are forced to hold the largest stocks in size or risk too large a tracking error. 'Trust me, no risk team likes that,' joked Klement. Given their lower elasticity, every marginal dollar into the stock market forces the price of large-caps up by a relatively greater degree, creating that 'self-reinforcing' cycle of size begets size, something Green argued makes the market vulnerable to a steep market crash. As further evidence, Klement highlighted a study which showed that stocks with high "index inclusion ratios"—in other words, those which are members of many indices such, as the Magnificent Seven—substantially outperformed companies with low inclusion ratios, a phenomenon that 'exploded' in the 2010s, as the below chart shows. Chart 1: The Index Inclusion Effect, 2000-2021—Source: Behmaram (2023) Index inclusion 'creates more automatic buying—independent of valuation—pushing prices higher. It's artificial demand,' Klement explained. 'The study even modeled a counterfactual: What if there had been no flows into index funds and ETFs over the last 25 years? The outperformance of high-index-inclusion stocks disappears,' he added. Despite the evaporation of the small-cap premium, Klement believes they still serve an important role in a diversified portfolio. For one, they tend to outperform coming out of recessions because they are 'more agile and quicker to adapt to changing conditions ... this cyclical behaviour offers diversification benefits and, for active allocators, opportunities to adjust exposure over time.' Second, 'Structural changes have suppressed small-cap valuations—especially in markets like the U.K., where regulatory shifts such as MiFID II have reduced liquidity.' With many asset allocators rotating away from the U.S. towards Europe and the U.K., 'Even a modest reallocation into small-caps could significantly move prices,' he said. This article was originally published at sister publication ETF | © Copyright 2025 All rights reserved Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
5 days ago
- Business
- Yahoo
Dollar Tree (DLTR) Sees a More Significant Dip Than Broader Market: Some Facts to Know
Dollar Tree (DLTR) closed the latest trading day at $89.34, indicating a -1.13% change from the previous session's end. The stock fell short of the S&P 500, which registered a loss of 0.56% for the day. Elsewhere, the Dow lost 0.58%, while the tech-heavy Nasdaq lost 0.51%. Shares of the discount retailer have appreciated by 11.71% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 5.88% and the S&P 500's gain of 7.37%. The investment community will be paying close attention to the earnings performance of Dollar Tree in its upcoming release. The company is slated to reveal its earnings on June 4, 2025. It is anticipated that the company will report an EPS of $1.18, marking a 17.48% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $4.54 billion, reflecting a 40.47% fall from the equivalent quarter last year. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.17 per share and revenue of $18.93 billion. These totals would mark changes of +1.37% and -38.58%, respectively, from last year. Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Dollar Tree. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability. Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model. The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.24% lower. Currently, Dollar Tree is carrying a Zacks Rank of #3 (Hold). Looking at its valuation, Dollar Tree is holding a Forward P/E ratio of 17.46. This denotes a discount relative to the industry's average Forward P/E of 22.14. We can also see that DLTR currently has a PEG ratio of 2.07. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Retail - Discount Stores was holding an average PEG ratio of 2.75 at yesterday's closing price. The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 144, finds itself in the bottom 42% echelons of all 250+ industries. The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. You can find more information on all of these metrics, and much more, on Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Dollar Tree, Inc. (DLTR) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
New York Post
26-05-2025
- Health
- New York Post
Forever chemicals found in American beer — the worst is brewed in this part of the country
Crack open a cold one this Memorial Day and you might be in for a hoppy hazard. A recent study published in the journal Environmental Science & Technology has found that 95% of 23 tested beers across the US contain per- and polyfluoroalkyl substances (PFAS) — commonly known as 'forever chemicals' due to their lingering presence in the environment and human body. And depending on where in the country it's brewed, the amount of forever chemicals can be worse. Advertisement 3 A recent study discovered 95% of beers across the US contain forever chemicals, which have been linked to cancer and other health issues. DN6 – These synthetic compounds, which have been linked to cancer and other health issues, are believed to enter beer primarily through contaminated tap water used in brewing. The study found a strong correlation between PFAS concentrations in municipal drinking water and levels in locally brewed beer — a phenomenon that has not previously been researched. While the study did not disclose specific beer brands, it identified that beers brewed near the Cape Fear River Basin in North Carolina exhibited the highest levels and most diverse mix of PFAS. Advertisement Beers from St. Louis County, Missouri also showed significant PFAS presence. The findings suggest that standard water filtration systems used in breweries may not effectively remove forever chemicals, highlighting the need for improved water treatment strategies at both brewing facilities and municipal treatment plants. As beer is composed of about 90% water — and nearly two gallons of water can be used to produce just one quart of beer — the quality of water used in brewing is crucial. Advertisement With PFAS contamination affecting an estimated 200 million people in the US, the presence of these chemicals in beer underscores the broader issue of environmental pollutants infiltrating everyday products. 3 Cape Fear Memorial Bridge crossing the Cape Fear River at sunset in Wilmington, North Carolina, United States. Zenstratus – 'As an occasional beer drinker myself, I wondered whether PFAS in water supplies was making its way into our pints,' lead author Jennifer Hoponick Redmon said in a press release. 'I hope these findings inspire water treatment strategies and policies that help reduce the likelihood of PFAS in future pours.' Advertisement Last year, the Environmental Protection Agency reported that after testing just one-third of public water supplies in the US, they determined that more than 70 million residents are being exposed to 'forever chemicals.' 3 The findings suggest that standard water filtration systems used in breweries may not effectively remove forever chemicals luchschenF – The most contaminated were found in densely populated regions like New York, New Jersey, and parts of California and Texas. However, their interactive map shows that Manhattan has zero reports of forever chemicals in the water. 'The full scale of PFAS contamination is likely much more widespread,' an EWG spokesperson said at the time, noting that the EPA's report only offered a snapshot of the problem. In fact, in November researchers at Florida International University in Miami even found forever chemicals in rainwater. They've also been found in everything from contact lenses to dental floss to toilet paper and even shampoo. When it comes to reducing the exposure through water, there is something consumers can do about it. While boiling the water doesn't remove PFAS, some water filters can. Advertisement A report from FoodPrint outlines how filters with activated carbon adsorption, ion exchange resins and high-pressure membranes can help. 'To remove a specific contaminant like PFAS from drinking water, consumers should choose a water filtration device that is independently certified to remove that contaminant by a recognized lab,' said Jim Nanni of Consumer Reports.
