Every country has their own currency, and it has been part of being an independent country. That is the good thing, the bad thing is the currency now trades relative to other currencies. Whatever product and services the country trades most with, the currency will be linked to it. For example, many of Australia’s raw materials goes to China, which means if the Chinese currency is higher, Australia’s currency is enhanced. There are other countries that depend on money sent back from citizens abroad.

When a currency trades, there will always be some currency traders who believe the economy will do well and others who believe the economy is not doing so good. Similar to stock trades – there will be those that are long and those that are short. A government is always biased their economy is doing well and it takes drastic actions before the government changes it view. Currency traders pay attention to the economy, but governments have measures try to prop up the currency.

The classic example is when George Soros shorted the English Pound, the government of the UK poured billions to try to prop up the Pound, but the economy was weak and interest rates were raised and George Soros made billions. A few months later he lost money on an Asian trade gone wrong.

In an article by Rae Wee and Ankur Banerjee of Reuters, the Japanese economy is weaker in part because of the Iran war made oil and gas prices higher. Japan imports 90% plus of its oil and gas. The Japanese money is called a yen.

The thing that makes this particular situation a little different is the Bank of Japan has spent $70 billion to try to prop up the yen in late April and early May. The US Treasury Department under Secretary Bessent is helping prop up the yen. Secretary Bessent was a currency trader with George Soros fund, prior to coming to the White House.

Mr. Bessent has been explicit about concerns regarding yen weaknesses, lending greater creditability to the prospect of sustainable yen strength, noted Carol Lye, portfolio manager at BGIM, a unit of Franklin Templeton.

Mr. Bessent has said that the US would consider increasing the size of the Federal Reserve’s repurchase facility called FIMA. The Treasury Department’s most recent currency report said the yen was undervalued and excess volatility in the currency’s trading was undesirable.

Currency analysts said the US used its holdings of euros to buy yen, bolstering its value without shaking confidence in the dollar. Secretary Bessent said it is important to have a stable yen. It is important to note Japan is one of the largest holders of US debt.

The Japanese Central Bank is looking at raising interest rates in September.

Linking to dividend paying stocks, many times these companies are global which is great thing. However, being global means there is a currency risk of what sort or another. For your investments, how much is the currency risk?

There are more questions than answers, till the next time – to raising questions.

If you move to leadership positions, you have to determine how you lead and what your values and ethics are beside to have and keep power. There are many writers and one of the most famous is Machiavelli’s The Prince. It is very easy to read or buy a copy and How to seize power. How to build on to power are things you need to learn. You may not use all the lessons, but those in power are very often not eager to let go of the power, particularly when you control vast assets. If you are involved in organizations that have less than $15,000, seizing and holding onto power often means showing up. The responsibility is there because someone needs to do it.

In a book called Machiavelli for Women by Stacey Vanek Smith, published by Gallery Books, NY, 2021, the author outlines some areas where it is important to incorporate Machiavelli’s ideas.

It should be note Machiavelli was essentially in the foreign service of a city state Florence when Italy was a series of city states. Naturally with city states, there are always those that gain power and want to expand it, and Machiavelli was trying to use his wits to keep Florence independent. Machieavelli career had its highs and lows, and one of its lows was he was exciled from the city and that is when he was able to reflect and write a story of how to gain and keep power.

Ms. Smith agrees the workplace is not fair, never has been, and you should take the lay of the land, identify the obstacles and look for ways forward.

There are 2 types of Princes – the ones that inherit and the ones that take control of the kingdom by conquest. It is the same in the business world. The ones who inherit the company are generally known to the people in the company. For the princes that conquer, it is tricky position, the prince has the power but who supports him? how does he gain support to keep the power?

Some lessons:

1. every job tends to have a band range for the salary, in general women have tend to be at the bottom or below the midrange; men were paid above the midrange. After a few years, the difference in salary begins to add up. Women should ask to be paid at or near the top range during their performance reviews.
2. every job has responsibilities the employer is looking for. Women tend to want to be competent close to 100%, men in general believe that 60% is okay and they will grow into the job.
3. in every negotiation – confidence is key. Practice it and show confidence and you will be seen.
4. most of service work is about ideas and gaining resources to implement them. How do your present your ideas and gain funding for it? Are you a mentor; part of a support network? understand how the process works.
5. you may love your job and the company, but if they are underpaying and undervaluing you, build a nest egg or emergency fund, so you can have more options. Moving to a new company – start up or competitor.
6. the book has more information and is worth reading.

Linking to dividend paying stocks, when you own these companies one of your responsibilities is to vote as a shareholder. Many times, the motions pass overwhelming but every once in a while, your vote counts because the vote is close.You are evaluating leadership and whether you want the person to hold onto power or vote him out. You use Machiavelli’s principles all the time, you just do not call them that.

There are more questions than answers, till the next time – to raising questions.

When President Trump imposed tariffs, one of his rationalizations was the other country was going to pay for it. It was also supposed to encourage companies to bring back manufacturing back into the US. If you believe him, maybe the next story will change your mind.

In an article by Tara Deschamps of the Canadian Press, there is a company in Montreal called Gildan Activewear. If you shop at Walmart or many other stores, you might have seen the brands Hanes, American Apparel and Playtex for undershirts and undergarments. The company specializes in these garments and has factories around the world, but remarkably few in the US.

President Trump imposed the tariffs by executive order on an emergency basis and was sued. The court heard the case and decided that all tariff money collected had to be sent back to whoever paid the bills.

As many people know, the company that imports the item pays the tariff. The company has the option to increase prices to cover the tariffs, absorb the tariff and there are multiple combinations of what they can do, but they pay the tariff.

Gildan estimated they will receive $220 million back from the US Government and it is unlikely to be passed along to customers because the company did not hike the price as high as it could have (it absorbed some of the costs), when tariffs were invoked at the same time as its costs were rising.

The price of cotton, energy has gone up, so there is lot of structural inflation still in the environment.

The CEO of Gildan, Glen Chamandy said a significant portion of tariff refund will be reinvested in the business to build the company’s brands, market them and accelerate product innovation and packaging enhancements.

Linking to dividend paying stocks, if an individual won money in the lottery they have some choices – pay down debt, buy new assets, save for the future or giveaway the money. Companies do the same thing, if you were a shareholder, you hope they beside invest in the business give shareholders a one-time bonus. However, ensuring the company long term future is very important.

There are more questions than answers, till the next time – to raising questions.

In the US almost every Tuesday until the midterms tends to mean somewhere there is a political vote – to who will run for each party and then finally in the November midterms. After that, depending on the results, the campaign for the Presidency will heat up as President Trump second term will end. In the meantime, the economy or pocketbook issues or affordability is one of the key issues.

In an article by Paul Wiseman of the Associated Press, key economic measures are reported quarterly by the Commerce Department and growth is running at 1.5%. Growth in the US GDP (gross domestic product) decelerated from 2.1% in the first 3 months of 2026 to 1.5%. Consumer spending which accounts for 70% of economic activity increased to 3.2%, up 0.5%.

Business investment excluding housing rose at 8.4% down from 10.6%, but still strong thanks to the AI investments.

Imports rose at 11.5%, once again thanks to computer chips and other AI investments.

Olu Sonola, head of US economics at Fitch Ratings noted AI investments remains a powerful growth story, but the import surge underpinning the buildout is a reminder that an AI boom does not automatically translate into an equally large boost to the US GDP.

The Commerce Department said its Personal Consumption Expenditures (PCE) rose 3.7%, down from 4.1%.

The American economy has been surprisingly resilient in the face of the Iran war and the spick in energy prices it caused. The job market bounced back this year from a lackluster 2025, giving consumers the wherewithal to spend.

Linking to dividend paying stocks, we all have a bias and bias tends to be country and regional based or we picked stocks what we are located. Since that is a bias, examining how the US economy and in particular what part where your stocks are concentrated allows you to determine how the companies should be doing. There is nothing wrong with a bias, just understand you have one and adjust your investments accordingly in terms of how much diversification you have or want to have.

There are more questions than answers, till the next time – to raising questions.

In every country around the world, the central bank plays an oversized role in the economy of the country. The Central Bank or in the US Federal Reserve sets monetary policy or interest rates. In the capitalist world, business runs on credit and lower the interest rate the better. It is the same for the individual, the lower the interest rate that you have to pay, the better it is for the consumer. The problem is inflation and the Federal Reserve must do things to ensure inflation does not get out of control. The Federal Reserve however does not run government policies; the administration does that. At times, what the administration does contributes to inflation, particularly at elections – a chicken in every pot. It is a good election slogan, but it contributes to rising inflation, because somebody has to supply all those chickens at a price every consumer can afford.

In an article by Colby Smith of The New York Times News Service, the late July meeting of the US Federal Reserve kept interest rates the same at 3.5 to 3.75%, a level that has been in place since January.

The Federal examines what is happening in the economy such as oil prices increase and decrease due to the Straits of Hormuz opening and closing because of the war in Iran; President Trump adding another round of tariffs; ICE and sweeping immigration affect on the labor force; the AI boom for chips and people to build the data centers. and the normal cycles of the economy.

The Federal Reserve Chair is Kevin Warsh, his reputation when he was on the Federal Reserve in the past was an inflation fighter. He wants inflation to be near 0. The problem is overall consumer prices were 3.5% higher in June than a year earlier, down from a 4.2% annual rate in May.

The Federal Reserve has a target of 2%.

On the Bond markets, longer dated Treasury yields are up and closing on its peak from May of 5.2%. That was highest level since 2007.

Linking to dividend paying stocks, with low inflation, the stock market is the best alternative, when inflation rises its head and interest rates rise, parking your money in safe secure Treasuries at above 5% is a good alternative. If you can receive higher yields on very good corporate debt, that is even better. In every market there is an alternative, part of your homework is to know what alternatives are for you.

There are more questions than answers, till the next time – to raising questions.

After you have accumulated wealth, eventually you will spend some of it. Part of it is to carry on a lifestyle you enjoy, part of it is to consider giving to family members or your the charities that you support at a lower level. Now you can add zeros to those donations. Many people also buy what are considered luxury items, because they can and they know all things being reasonably equal they will have the same or similar income next year.

In an article by Dominique Patton of Reuters, the French based luxury giant LVMH had better sales in the second quarter as demand from affluent US shoppers helped offset weaker spending in Europe, where tourism has been hit by the Iran war.

Sales of brands such as Louis Vuitton, Dior and Moet & Chandon rose 3% to $31.3 billion broadly in line with what analysts were expecting according to Visible Alpha. (if you watch Formula One racing, the winners always open Moet & Chandon champagne when they win, just long enough for photographers to capture the moment).

In the US, sales were up 6%. The watches and jewelry division was the fastest growing division with sales up 11%.

Tiffany and Bulgari posted growth in the mid-teens as jewelry was favored more than soft luxury categories.

The fashion and leather goods division which generates the bulk of LVMH’s profit, was up 1% thanks to US consumers.A few years ago, the leaders in sales were the shops in China.

If you missed it, Taylor Swift’s wedding dress was designed by Dior.

European luxury brands have stepped up their focus on the US opening stores and staging fashion events.

The luxury brand business is a $400 billion sector and has emerged from a 2 year downturn.

Linking to dividend paying stocks, the idea is to accumulate wealth so you have many options. The option to retire and continue your lifestyle, the option to give money away and the option to buy the brands you want or always wanted to have. That is a good thing and dividend investing helps achieve that goal.

There are more questions than answers, till the next time – to raising questions.

When Russia invaded Ukraine, one of the many actions European Countries decided was not to use Russian oil and gas. This was not an easy thing to actually do, it was actually easier to say than do. The reason was Europe is beside Russia and over the years Europe was dependent on Russian oil and gas. Germany and Italy had up to 60% of their oil and gas coming from Russia and if the second pipeline which was in progress to be built went into operations the number likely would be higher. When the sanctions of Russia went agreed to, Germany and Italy were hoping for the war to end quickly. The war continues, which means Europe has moved to other sources.

In an article by Lisa Friedman of The New York Times News Service, in less than 6 months the European Union will end the last of its LNG (Liquefied natural gas) imports, a major step to keep Russia from using its resources dollars to fund the war efforts.

The alternative which has been shifted to is the US. The US producers now supply about 2/3’s of European LNG and that could rise to 80% by the end of decade.

Under normal circumstances the shift from Russia to the US is not a problem, however President Trump has isolated the US and thrown his periodic demands to control Greenland, imposing tariffs, lessening co-operation with Europe’s institutions, and becoming less of a partner and asset to Europe.

Once Russian cargoes stop flowing, much of the gap will be filled with by American LNG. The US currently supplies about 2/3’s of Europe LNG, compared with about a quarter of it in 2021. Nigeria and Qatar supply most of the rest. For natural gas delivered by pipeline, Europe relies on supplies Norway and Algeria.

However, while it is easier for LNG to flow back and forth to Europe, the European Union imposed a methane regulation which Energy Secretary Wright believes the regulations need to be relaxed or supplies could go elsewhere.

Linking to dividend paying stocks, in all business there are alternatives, some alternatives need many government regulations to become viable but there are alternatives. When there are alternatives, eventually consumers will use them to some degree, particularly if the existing companies are not solving problems. Alternatives start when there is a problem. For your investments, always ask what are the alternatives and how are they doing?

There are more questions than answers, till the next time – to raising questions.

In the US, President Trump loves oil and gas and does not like solar and electric vehicles. In the US that means companies such as Ford and GM have to over emphasize their gasoline engines, However Ford and GM are both multinational corporations with operations around the globe.

In an article by Alexa St. John of the Associated Press, Ford Motor Corporation and Geely Auto announced to joint manufactured low and zero emission vehicles at Ford’s Valencia, Spain factory.

The Chinese companies are dominating auto sales across the globe, so Ford has to reignite Ford’s offerings for the European auto market.

In the US, policy all but locks Chinese firms out of the market – through American automakers still partner with companies in China for production and Chinese vehicles are making inroads in North America more broadly.

The joint venture with be 2/3’s by Ford and 1/3 by Geely. Among the brands Geely owns are Volvo, Polestar and more.

Under the partnership, Ford plans to continue production of the Ford Kuga plug-in hybrid vehicle and begin a new Bronco SUV in 2028. Geely plans to make 2 electric SUVs at the plant starting in 2028. In addition, a new multi-energy crossover model will be made in 2028.

Ford will sell about 500,000 vehicles this year, down from 1 million a decade ago.

Chinese companies have the momentum with them as they have been producing high quality and efficient hybrid and pure EVs – coined new energy vehicles with advanced technology at a low price point. Chinese companies have expanded in other countries in Asia, Latin America and parts of Europe.

Linking to dividend paying stocks, every large company balances the wishes of the government at their home country and the regulations in other countries, ideally trying to keep costs down and make a profit and for shareholders to pay a dividend. It is a tough balancing act, but one that needs to be done to meet consumer demands.

There are more questions than answers, till the next time – to raising questions.

Often companies take their tone from the President of the country, and in the US, President Trump as a citizen Trump has his law firm on overdrive with lawsuits anytime he feels he has not been put in the best possible light. When acting AG Blanche was in his confirmation hearing, the law firm which he worked for was paid $9 million before he came to work for President Trump in Washington. Mr. Blanche said it was the law firm, but every partner knows exactly how much money is coming to them, it would be a very rare partner or managing partner that would not know what his compensation is.

In an article by Magie Fick and Michael Erman of Reuters, in the past few years the rise of weight loss drugs has been the most significant aspect in the drug industry. Two companies led the way because of their work on diabetes, one of the side affects of the drug was it caused weight loss. For generations, weight loss has been a billion dollar industry and it has only gotten worse as the average weight of people in the developed world increased. For years there has been clubs such as Weight Watchers, Jenny Craig, many people belong and use gyms which includes weights. The reality is if it was possible to lose weight be taking a pill, there would be a huge demand, which company would led.

Novo Nordisk which is headquarters in Denmark has been the world leader, but Eli Lilly which is headquartered in the US was second. The first applications was injections, but Lilly came up with a pill first. The market for weight loss drugs is expected to reach $100 billion by 2030.

Novo Nordisk sued Eli Lilly accusing the drug maker of false advertising in claiming its weight loss medicines outperform Novo’s drugs.

Novo alleges Lilly compared the highest approved doses of its medicines with lower doses of Novo’s Wegovy and Ozempic which omitting newer, higher dose versions that Novo says delivered weight loss.

In the world of pharmaceutical companies, they regularly sued each other for patent infringements. There are some generic companies that have a large legal departments as a course of doing business. False advertising suits are less common, because they are harder to prove and every drug company has a history of stretching the line of truth, for sometimes placebos work because the patient believes they are taking something that will make them better.

Linking to dividend paying stocks, for drug companies the important aspect is what patents do they have? how long do they have to run? how well do they work before the generic brand comes out? Try not to pay attention to the advertising but the patents.

There are more questions than answers, till the next time – to raising questions.