While many Americans find themselves without power this morning … markets are anything but powerless as indexes are once again approaching records.
But let’s focus on the recent cold snap for a moment. Prices of natural gas … you know … cheap, reliable natural gas … have skyrocketed for physical delivery in some areas. By how much? Articles are making many outrageous-sounding claims but one I just read on “Markets Insider” had wholesale prices jumping from … are you sitting down? … $50 per megawatt hour to $9,000. Yikes.
Though there is something I don’t understand … as the claim is that frozen wind turbines are a main problem … as I wonder why turbines off the coast of Denmark or even Cape Cod – which also have pretty cold temperatures at times – don’t seem to have the same issue (showing how little I understand about the mechanics).
Meanwhile, with millions having no power at all … many of those who have electric vehicles as their sole source of transportation might be waking up this morning to an important realization. It’s not easy being green.
Staying on the topic, over the next few days we will be hearing a great deal about Bill Gates’ new book: “How to Avoid a Climate Disaster” (my copy arrives today). One thing people will point out is the use of private jets by many of those who promote reducing our carbon footprint. Bill Gates claims he now offsets his use of fuel via “offsets” and he is now seeing the light of the importance of being more responsible. I am interested in finding out more about what actions he is taking … and wonder how many others do the same.
Sorry if my note is choppy today. With yesterday’s holiday, everyone seems to have piled Zoom calls on today’s calendar … even forcing me into an early shower and a change out of my business-casual pajamas.
I don’t even have time today to make a tiramisu cake that I was wanted to bake … but I did learn something about one of the ingredients.
What is the opposite of ladyfingers?
Have a great day (with apologies),
Joseph G. Witthohn, CFA
Emerald Asset Management PA, LLC
610 Freedom Business Center Drive
King of Prussia, PA 19406
Direct: (610) 285-9905
cell: (856) 625-7915
… As of 9:51 AM today …
Quick Look at the News
One of the biggest projects ever is going on in Denmark right now, as “energy islands” are being created to reduce carbon footprint … though a lot might be used in building it (BrusselTimes)https://www.brusselstimes.com/news/business/154819/denmark-preparing-the-biggest-building-project-in-its-history-creating-two-energy-islands/
Meanwhile, climate change is being cursed in Texas right now … as some cities are recording colder temperatures than they see in Alaska (Earther)https://earther.gizmodo.com/texas-is-colder-than-alaska-right-now-1846275170
… and this is creating power outages like mad. On top of that, windmills are no longer working and electric vehicles? Good luck getting affordable power (CNN)https://www.cnn.com/2021/02/15/us/power-outages-texas-monday/index.html
While employment problems continue to affect many … quite a few families are actually living in cars … far from the American Dream once envisioned (USAToday)https://www.usatoday.com/story/money/2021/02/12/covid-unemployment-layoffs-foreclosure-eviction-homeless-car-rv/6713901002/
Bill Gates thinks we should shift to synthetic beef … but it is interesting that his view here is that with plant-based meat you will “eventually” not be able to tell the difference (Ellinghuysen)https://www.ellinghuysen.com/article/20210215_bill_gates_shift_entirely_to_synthetic_beef/ellinghuysen/article.html
… but plants rejoice … for you might not have to end up on the table of the meat-lovers for long. Steaks are now being grown in labs … though there is no mention how they taste (NewAtlas)https://newatlas.com/science/world-first-lab-grown-rib-eye-steak-3d-bioprinting-aleph-farms/
… but machines are not only being used to replace workers and to create food … as some new VR tools will help pilots train for bad weather flights … without destroying an airplane (NPR)https://www.npr.org/2021/02/15/967697239/new-virtual-reality-tool-aims-to-reduce-aviation-crashes