American Product Trade Growth

     Charts are all in favor of American product trade growth.

     "The total return indexes for the S&P 500 Index, U.S. investment-grade corporate bonds, high-yield debt, and sovereign and quasi-sovereign debt have risen to record levels in the wake of the Federal Reserve's signal. It stands ready to lower interest rates for the first time in over a decade (bloomberg.com)"

     The TOTAL RETURN INDEX  is an equity index. The total return index for the Standard & Poor's 500 Index, which is a market-capitalization-weighted index of the 500 largest U.S. publicly traded companies, tracks group stock capital gains.  There is an assumation that any cash distributions are reinvested back into the index.  It indicates the activity, or growth, of the index. Investopedia.com

     U.S. INVESTMENT GRADE CORPORATE BONDS have a low risk of default.  Standard & Poor's bond ratings use designations consisting of upper- and lower-case letters 'A' and 'B' to identify a bond's credible quality rating. 'AAA' and 'AA' (high credit quality) and 'A' and 'BBB' (medium credit quality) are considered investment grade.  Credit rating for bonds below these designations ('BB', 'B', 'CCC', etc.) are considered low credit quality, and are commonly referred to as junk bonds. 

     HIGH-YIELD DEBT has a high risk to default.  SOVEREIGN DEBT is a central government's debt. Sovereign debt is issued by the national government in a foreign currency.  This is in order to finance the issuing country's growth and development. The stability of the issuing government can be provided by the country's sovereign credit ratings which help investors weigh risks when assessing sovereign debt investments.  Sovereign debt is also called government debt, public debt, or national debt.  

     QUASI-SOVEREIGN DEBT is credit issued by corporates that are essentially government-backed or government owned.

     When the Federal Reserve Bank lowers interest rates Federal funds are reduced.  Reducing the federal funds rate makes money cheaper.  This allows an influx of credit into the economy through a wide variety of loans.

     All of these movements are pushing toward a better economic environment for the United States.  "President Donald Trump has pushed the issue to the forefront, proclaiming that his government will have two major economic goals http://www.businessinsider.com/what-does-made-in-usa-actually-mean-2017-2."

     Currently, a huge gap between import and export is a still an issue.  In 2018, total U.S. trade with foreign countries was $5.6 trillion. That was $2.5 trillion in exports and $3.1 trillion in imports of both goods and services. The United States was the world's third-largest exporter, after China and the European Union.https://www.thebalance.com/u-s-imports-and-exports-components-and-statistics-3306270

     The import and export margin will even out.  We need more brands and retailers that sell merchandise 100% made in the USA https://clark.com/shopping-retail/american-made-in-the-usa/.

     The American economic environment is favorable.

UBER I.P.O.

     Uber ride share is popular.  Soon, you will be able to invest and become popular, too.  Become part of an IPO.

     IPOs are the very first sales of stocks issued by a company to the public.

     Uber was founded, and has been private since 2009.  Uber has been funded via the founders, friends, and professional investors. Early investors, venture capitalists, and angel investors.  An IPO will provide an opportunity for the taxi service to expose itself to public stock trading.

     Uber- "What did you say?"

     Open up your app. Become a rider.  From a rider perspective, Uber is an inexpensive rideshare service.  Modern day convenience lends you to private driver services toward your destination of choice. A nearby driver arrives to pick you up within minutes. The entire transaction is convenient and online.

     Wash your car.  Go online.  From a driver perspective-

     Uber is the rideshare service which enables you to be your own boss.  It provides exceptional pay, and tips are a plus.  UBER.COM

     Uber would prefer to go public in a positive, stable market. CRUNCHBASE.COM

     Uber completely scheduled its IPO. Tech stocks have consistently climaxed toward their expectations.  Uber is in line and getting ready to ride the stock-roller-coaster. 

     The company is reportedly planning on going public in the second half of the year. What can we expect from an Uber IPO?  Details are exiguous.  The ridesharing company could go public on a $120 billion valuation.

     IPO Valuation-

     An IPO valuation is based on income, book value of equity, sales, research/development, industry price-to-sales ratios, inside retention, investment banker prestige, and price-to-earnings ratios.  CORPORATEFINANCEINSTITUTION.COM

     These are steps a company must undertake to go public via an IPO process:

Select a bank

Due diligence and filings

Pricing

Stabilization

Transition

     Critics have have accepted Uber as is, but the net worth, founded through a variety of valuations from around the cyber world, has not been.  FORBES.COM

     Ridesharing company Uber is one of the world's most valuable startups.  It's driven by soaring revenue growth and expansion.  Untapped expansions into new markets.

     In one analysis,  Uber's value was estimated to be $120 billion.  $120 billion was gauged using key revenue tactics, including:

Monthly Active Riders (No. of riders who request a ride at least once a month)

Number of Rides Per User (Annual)

Gross Revenue Per Ride (Total fare per ride in driver, before Uber )

Net Revenues ( Revenues recognized by Uber after driver earnings, incentives, promos, refunds)

     Uber’s monthly active riders base grew from 50 million in 2016 to 75 million in 2017, with the number of rides called by each rider also trending higher. We expect monthly active rider growth to remain strong in 2018, as Uber doubles down on emerging markets, taking total rides delivered to around 5.25 billion for 2018 and over 6 billion in 2019. The bull case assumes that monthly active riders over 2019 will rise to 125 million, with the number of rides per rider growing to 60.

     We expect the company’s gross revenue per ride, which is the total value of the rides billed to customers before Uber takes its share, to remain at levels of around $9 over 2018 and 2019. We forecast its total gross revenue – which is total rides multiplied by gross revenue per ride – to rise to $47 billion and $56 billion, respectively, in 2018 and 2019. Our bull case assumes that gross revenue per rider rises to $10.

     Uber’s net revenue, which is the share that the company takes from gross revenues, declined in 2017. However, the company has been cutting back on driver incentives and the promotions it offers to customers, as it looks to improve its net revenues. We expect the company’s take rate to rise to 23.5% in 2018 and 25% in 2019, translating into net revenue of about $11 billion in 2018 and $14 billion in 2019. Our bull case assumes that the company’s share of revenue rises to 30% in 2019. 

     Investing in IPOs is a good idea.  To invest in every single IPO is not. After all, the course of every single IPO is different. Initial Public Offerings present a convenient platform. This is an opportunity to team up with Uber.  Make an entry into the market with rates at low level.

End of 2018 Low Gas Prices

     Oil prices continued to fall Friday, November 23, amid weaker global demand and increased output in the United States, to the lowest price in 2018.  The cost of a barrel of oil dropped below $60, a decrease of more than 20 percent from its peak last month.

2018 AVERAGE MONTHLY GAS PRICES-

October $2.39 - $2.68, $2.54

November $2.38 - $2.65, $2.52

December $2.35 - $2.62, $2.49

2018 U.S. Average $2.57

(Gasbuddy.com)

     President Trump has credited Saudi Arabia with the falling oil prices.  Saudi Arabia is furnishing the United States with shipments of Aramco/Total produced gasoline.

     The drop in prices has raised concerns about the international economy, as well as domestic growth in the United States. "The real economic growth rate measures economic growth in relation to gross domestic product (GDP).  From one period to another the growth rate adjusted for inflation. Alternatively, it is expressed in real terms as opposed to nominal terms (Investopedia.com)."

     Ingredients to decrease oil prices:

-High production output in Saudi Arabia.

-Record U.S. oil output.

-Exemptions from U.S. sanctions on Iranian oil.

-Slow global growth.

-Stock market decline.

-Trade tensions.

     Prices fell at the pumps, $2.80 to $2.60 on Friday. Drivers of midsize cars are saving about $3 each time they fill up their tanks.

     The U.S. became the largest global crude oil producer earlier this year via the fracking boom and other drilling innovations.

Pumpkins and Beta-carotene

     Pumpkin is a tasty fruit.  It's a fruit because it has seeds.  Pumpkins are orange.  When made to be an ingredient, the food will be tinted orange.  There are numerous ways to partake of the delicious gourd. Choose one, and enjoy it for all of the benefits it gives.

     Pumpkins and pumpkins' seeds simultaneously supplement healthy diets.  Pumpkin pulp is a superb source of Beta-carotene. 

     Beta-Carotene Molecular Formula: C40H56

     Carotenoids are red, orange, and yellow pigments.  Beta-carotene is a carotenoid.  Incidentally, Beta-carotene is a precursor of vitamin A. Beta-carotene is derived from fruits, vegetables, and whole grains.

     Biosynthesis of carotenoids-

     The pathway begins with three molecules of acetyl CoA.  Those three acetyl CoA molecules plus mevalonic acid, synthesize isopentanyl pyrophosphate(IPP).  In the succeeding step of the pathway, geranylgeranyl pyrophosphate(GGPP) is produced by the condensation of dimethyl allyl pyrophosphate(DMAPP) with a molecule of isopentanyl pyrophosphate(IPP).  It is followed by the addition of two IPP units using GGPP synthase.  A two molecule reaction between  GGPP yields phytoene. The phytoene enzyme is faithful in the biosynthesis of the carotenoid biosynthetic pathway. The first C40 hydrocarbon, an important intermediate of phytoene, undergoes a series of desaturation reactions resulting in the formation of zeta-carotene(2-carotene) and lycopene.  Four desaturase reactions are catalysed by two related enzymes: phytoene desaturase(PDS) and 2-zeta-carotene desaturases (ZDS). The enzyme introduces double bonds in the phytoene. Lycopene has a pink color. The products yield carotene with two types of rings, B and E rings.  B rings yield beta- carotene, and E rings yield alpha-carotene.  The pathway branches at this point. The enzyme lycopene-beta-cyclases are responsible for cyclization of lycopene.  Two beta-rings are introduced at the ends of the linear lycopene molecule. 

     Beta-carotene uses:

     Decreases (exercise-induced) asthma.  It also prevents certain cancers, age related macular degeneration(AMD), treats AIDS,  alcoholism, Alzheimer's, alcoholism, disease, depression, epilepsy,  headache, heartburn, high blood pressure, infertility, Parkinson’s disease, rheumatoid arthritis, schizophrenia, and skin disorders(psoriasis and vitiligo).

     Beta-carotene is used to treat malnourished women by reducing the chance of death and night blindness during pregnancy. The treatment is also aimed toward stopping diarrhea and fever after giving birth.

     Some people who sunburn easily, including those with an inherited disease called erthyropoietic protoporphyria(EPP), use beta-carotene to reduce the risk of sunburn.

     There are many authorities – including the American Heart Association, the American Cancer Society, the World Cancer Research Institute in association with the American Institute for Cancer Research, and the World Health Organization’s International Agency for Research on Cancer – that recommend getting beta-carotene and other antioxidants from food instead of supplements. Eating 5 servings of fruits and vegetables daily provides 6-8 mg of beta-carotene.

     Pumpkin can be prepared in a wide array of scrumptious ways. For example: Protein Pumpkin Pie with Whey Protein Recipe (https://www.gnc.com/health-articles-tips/recipes/protein-pumpkin-pie.html):

2 (9-inch) deep-dish, unbaked pie crusts

5 eggs

2 ½ cups canned pumpkin

6 scoops- GNC performance Whey

1 2/3 cups sugar

1 teaspoon salt

2 teaspoons cinnamon

½ teaspoon ground cloves

2 cans fat-free evaporated milk

     Light whipped cream (optional)

     The pie should be placed on bake, and allowed to cool. Serve it with a dollop of whipped cream.

     Pumpkin is a healthy source of vitamins and nutrients.  It is packed with Beta-carotene.