Archive

October 2024

Browsing

The third quarter proved to be a turbulent period for the artificial intelligence (AI) sector.

It was marked by shifting investment strategies, heightened sensitivity to macroeconomic trends and significant funding injections as the US government aimed to bolster domestic chip production.

With hardware companies generally outperforming their cloud-focused counterparts, concerns are growing about over-concentration and the long-term profitability of AI investments.

Mixed performance from AI stocks in Q3

Amid a wave of quarterly reports from the tech sector, AI stocks experienced volatility, with investors reacting to both promising advancements and lingering uncertainties about the rapidly evolving industry.

This volatility was particularly pronounced in the case of NVIDIA (NASDAQ:NVDA), a bellwether for the entire AI sector. As a dominant player in the AI chip market, NVIDIA’s share price movements reverberated throughout the tech landscape. The company’s Q2 earnings report on August 28 led to a drop in its share price as investors became worried by signs of slowing growth; its quarterly revenue growth was 15 percent, compared to 18 percent in Q1.

After the release of NVIDIA’s report, Microsoft (NASDAQ:MSFT), Qualcomm (NASDAQ:QCOM) and Dell Technologies (NYSE:DELL) saw their share prices fall as well. NVIDIA shares were on the decline again on September 3 after reports surfaced that the US Department of Justice had sent subpoenas to the company and other firms — the government agency was looking for evidence that NVIDIA violated antitrust laws.

While stock market concentration can result in slower economic growth, Nicholas Mersch, associate portfolio manager at Purpose Investments, wrote in July that the attention toward semiconductor companies is justified.

“Value should be ascribed to those companies that are the most productive in the marketplace,” he said.

Quarterly earnings from chip companies like electronics manufacturer Foxconn Technology (TPE:2354), semiconductor manufacturer Micron Technology (NASDAQ:MU), and chip designers Advanced Micro Devices (NASDAQ:AMD) and NVIDIA beat analysts’ revenue expectations for the third quarter.

Demand for AI chips was cited as the main driver of growth, as was the case when Samsung Electronics (KRX:005930) reported its fastest sales and profit growth since 2021 for the June quarter.

However, results from companies like Arm Holdings (NASDAQ:ARM) and Qualcomm were less inspiring. While these companies reported impressive revenue growth, their earnings outlooks didn’t meet expectations and paled in comparison to giants like NVIDIA, which is forecasting revenue above US$30 billion for Q3.

This disparity in investor sentiment likely stems from several factors. For example, Arm Holdings, despite its crucial role in mobile chip architecture, hasn’t capitalized on the AI boom the way companies like NVIDIA and Broadcom (NASDAQ:AVGO), with large and diverse customer bases, have been able to. Meanwhile, Qualcomm’s growth prospects have been hindered by a slowdown in the smartphone market, where it faces significant challenges.

The contrast between chip stocks and cloud providers was also evident in the market’s reaction to quarterly reports from Alphabet (NASDAQ:GOOGL) and Microsoft. Alphabet surpassed estimates in Q2, but received a muted response from investors, while Microsoft’s share price dipped by 3 percent due to concerns about declining cloud growth.

AI powerhouses lay out future plans

As AI continues to gain traction, partnerships are emerging as a way for companies to keep moving.

Heading into Q3, NVIDIA CEO Jensen Huang laid out the company’s strategy to maintain its dominant position, saying it will focus on expanding partnerships with computer makers and cloud providers.

The importance of strategic partnerships has been further underscored by the success of other industry giants. Microsoft’s success in the AI boom — and certainly its performance in Q3 — can be partially attributed to its business relationships, particularly its early partnership with OpenAI.

Likewise, IBM’s (NYSE:IBM) strategic cultivation of affiliations and software offerings, evidenced by its growing AI book of business, fueled a 4.3 percent increase in its share price in July and a 2.2 percent increase in September.

Apple, which is known for its closed ecosystem, has pursued fewer partnerships than its peers, potentially limiting its future growth in the AI sector. However, the company’s recent partnership with OpenAI, geared at integrating ChatGPT into the newest iPhone, hints at a potential shift in its strategy.

While collaborations and other work fueled success for many AI players in Q3, Intel (NASDAQ:INTC) faced significant headwinds, despite its history as a leader in the tech industry. The company lowered its Q3 revenue forecast and announced a 15 percent labor cut alongside suspended dividend payments to fund its chip-making efforts.

Investors sent its share price down 31.74 percent between August 1 and August 5 in response. Intel lost even more ground a month later, when its advanced silicon wafer manufacturing process, Intel 18A, failed chip-making tests conducted by Broadcom. As of mid-October, the company was down about 50 percent year-to-date.

Intel CEO Pat Gelsinger presented investors with a plan to improve the company’s financial situation in September, including plans to establish its Foundry business as an independent subsidiary and a new partnership with Amazon Web Services to produce AI fabric chips using Intel 18A. The company has also reportedly been approached with acquisition offers from Qualcomm and Apollo Global Management, although no deal has been confirmed.

Will AI be profitable in the long term?

As mentioned, while some AI companies thrived during the third quarter, concerns persist among investors about the sector’s long-term profitability. A prime example of this dynamic emerged just one day after Taiwan Semiconductor Manufacturing Company (NYSE:TSM) posted its results for the second quarter on July 18.

A tech selloff ensued as investors, perhaps motivated by profit taking ahead of an anticipated interest rate cut, rotated out of mega-cap tech stocks and into small-caps and other sectors.

This selloff, while potentially driven by short-term strategies, demonstrated how sensitive the AI sector remains to external factors and broader market trends. “We’re concerned about the plunges of the Nasdaq and chip stocks. It’s not just a short-term thing, which we see could consolidate downwards for the next two to three months,” Allen Huang, vice president at Taipei’s Mega International Investment Services, told Reuters at the time.

An August 5 rout that wiped out about US$1 trillion in market capitalization from tech’s mega-cap companies also underscored the AI sector’s sensitivity to macroeconomic events.

However, as Fortune’s Geoff Colvin later pointed out, “most of the major names in the chip-manufacturing industry (not companies like NVIDIA that design chips but don’t make them) defied the panic and rose.”

This is not to say that chip stocks are immune from external market risks. The potential for product delays and supply shortages introduces another layer of complexity for investors assessing the long-term viability of AI.

Reports of potential design flaws in NVIDIA’s Blackwell chip series surfaced in early August, raising concerns about the delays that could impact major companies like Google, Meta (NASDAQ:META) and Microsoft. All three of these companies have heavily invested in NVIDIA to help build out their AI infrastructure.

Tech companies are allocating a significant portion of their AI spending to data center construction. These buildouts, and indeed the sheer amount of energy AI consumes, have drawn criticism from environmental groups.

Even tech companies have been vocal about the need for an energy breakthrough to power the AI buildout, reigniting talks of using nuclear energy. To that end, in September Microsoft signed a 20 year power purchase agreement with Constellation Energy (NASDAQ:CEG) to revive Three Mile Island (TMI) Unit 1.

With that in mind, some analysts have suggested that overlooked utilites stocks might be a good alternative investment, offering a less volatile way for investors to gain exposure to the AI boom.

As Fortune’s Leo Schwartz said in August, ‘AI is the new gold, but you can’t mine it without energy. And that could offer an edge to retail investors eager to buy into the trend.”

Investor takeaway

Looking head to the fourth quarter, expectations for the AI sector remain high. In its mid-year outlook, BlackRock points to data center buildouts as one of five forces that will stimulate investment in Q4.

“We see two scenarios where equities can do well: one with a concentrated group of winners in AI, even with a tough macro backdrop, and another where AI-driven growth becomes more broad-based, leading to productivity gains and sharp rate cuts,” said the firm, before emphasizing the impact of macroeconomic factors.

“The two hard economic landing scenarios differ on whether central banks can come to the rescue with rate cuts,’ it continues. A fifth scenario involves subdued growth, sticky inflation and higher rates.

The persistent threat of inflation and recession has weighed on markets all year. Investors will be closely monitoring the US Federal Reserve’s signals on potential interest rate cuts as it gears up to meet in November.

Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

The launch of OpenAI’s ChatGPT created a major buzz around artificial intelligence (AI) stocks.

ChatGPT is an AI chatbot software application that uses machine learning techniques to emulate human-written conversations. A hitherto niche subsector in the AI industry, this technology is called generative AI, and it’s been making an impact on myriad industries, including marketing, security, healthcare, gaming, communication, customer service and software development.

While generative AI technology is in its early stages, Reid Menge, co-portfolio manager for the BlackRock Technology Opportunities Fund, sees immense potential.

“ChatGPT is nearly as smart as the human brain today,” he said, “and with the computational horsepower being used to train these AI models, imagine the capabilities of these generative AI services by 2025.”

According to Fortune Business Insights, the generative AI market is expected to grow at a compound annual growth rate of 39.6 percent between 2024 and 2032 to reach an impressive US$967.65 billion.

Although investors can’t directly take a position in privately owned OpenAI, several technology stocks offer exposure to the expected growth in generative AI technology.

All market cap and share price data were current as of October 23, 2024.

Biggest generative AI stocks to watch

These 12 tech giants offer investors exposure to generative AI by offering their own chatbots and generative AI products, developing the hardware and software necessary for AI and integrating AI into their product.

1. Apple (NASDAQ:AAPL)

Company Profile

Market cap: US$3.51 trillion
Current share price: US$230.76

Apple is increasingly incorporating AI into its products such as its virtual assistant Siri, and health and fitness tracking apps. The company’s approach to AI — Apple Intelligence — emphasizes privacy by building devices that can perform AI tasks directly on the device using their A17 and A18 silicon chips.

Its newest iPhone 16, which launched in September 2024, comes with AI features like writing assistance and intelligent photo features built into the hardware of the device. The new iPad mini, which was released on October 23, was also designed to support Apple Intelligence.

2. NVIDIA (NASDAQ:NVDA)

Company Profile

Market cap: US$3.42 trillion
Current share price: US$139.56

Nvidia is a pioneer and global leader in graphics processing unit (GPU) technology. Nvidia designs specialized chips used to train AI and machine learning models. The company also offers supercomputing processing capabilities to scientific researchers around the world.

While its been well known in computer and gaming spaces for a long time, its focus on the AI sector has been driving its growth in recent years. Nvidia’s market value has grown by 135 percent year-over-year and at one point the company even took the title of world’s most valuable company from rivals Microsoft and Apple.

Generative AI’s explosive growth is driving the market for chips designed by companies like Nvidia and Marvell (NASDAQ:MRVL), another chip-making giant, and Micron (NASDAQ:MU), a company that makes memory chips, which are another important component to training generative AI systems.

3. Microsoft (NASDAQ:MSFT)

Company Profile

Market cap: US$3.16 trillion
Current share price: US$424.60

After having initially invested at least US$3 billion in OpenAI a few years ago, the technology behemoth Microsoft reportedly committed to investing up to another US$10 billion in the chatbot creator in the years ahead. The company also participated in OpenAI’s latest funding round on October 2.

Microsoft built its own AI solutions, Bing AI and Copilot, based on OpenAI’s technology. Bing is integrated into Windows 11’s taskbar, allowing users to query the chatbot directly with Microsoft’s Edge browser, Chrome and Safari. The company also recently partnered with Palantir to provide AI tools to US defense and intelligence agencies.

4. Alphabet (NASDAQ:GOOGL)

Company Profile

Market cap: US$2.01 trillion
Current share price: US$164.48

Alphabet, Google’s parent company, has played an important role in advancing generative AI technology. Its latest AI model, Gemini, is available in three sizes — Nano, Pro and Ultra — to meet various levels of user needs. According to the company, Gemini is ‘able to efficiently run on everything from data centers to mobile devices.’

Alphabet is leveraging generative AI across its business segments. Its AI accelerator chip, TPU v5p, was developed for neural network machine learning and is designed to scale large clusters, reducing the time needed to train large language models. Alphabet’s subsidiary, DeepMind, focuses on AI research and development. Its AI system, AlphaFold, won the Nobel Prize in Chemistry on October 9 for its ability to predict the structure of proteins based on a protein’s unique amino acid sequence.

5. Amazon (NASDAQ:AMZN)

Company Profile

Market cap: US$1.94 trillion
Current share price: US$184.71

Amazon subsidiary and cloud-computing platform Amazon Web Services (AWS) evolved out of Amazon’s transition from an online retailer to one of the world’s largest technology companies. AWS’s wide range of services includes computing, storage, databases, networking, analytics, machine learning and AI.

AWS has many AI business tools on offer across four verticals: AI services, AI platforms, AI frameworks and AI infrastructure. Generative AI is nothing new to Amazon, as the technology forms the basis of conversational experiences with Amazon’s all-too-familiar Alexa.

Last year, AWS introduced Bedrock, a service that enhances software with generative AI capabilities such as turning text into images or creating text for blog posts, emails and documents. The company has since added more features to the service, including a custom model import feature that allows customers to bring their own models to the Bedrock platform.

6. Meta Platforms (NASDAQ:META)

Company Profile

Market cap: US$1.43 trillion
Current share price: US$563.69

Meta has expressed its commitment to continued research within the generative AI sphere with an open-source approach to its software developments. The giant behind Facebook, Instagram and WhatsApp is one of the most influential companies in tech, sharing ranks with the likes of Microsoft and Alphabet.

In April 2024, Meta introduced its Meta AI, which is built with Meta Llama 3. The AI is integrated into Meta’s apps and also exists as a standalone website.

Meta’s products use machine learning to streamline Facebook ad campaign generation and help businesses reach the right consumers. Its Q2 2024 quarterly report showed a 21.7 percent increase in ad revenue compared to last year.

Meta CEO Mark Zuckerberg has maintained that increased spending on AI infrastructure is necessary to maintain its competitive position. The company has been implementing cost-saving measures to offset these investments and balance the financial impacts of its AI initiatives.

7. Tesla (NASDAQ:TSLA)

Press ReleasesCompany Profile

Market cap: US$682.55 billion
Current share price: US$213.65

The automotive company that brought self-driving cars out of sci-fi and into reality is now on a mission to develop advanced, generative autonomous vehicles using the massive amounts of data collected from its cars. One of Tesla’s goals is to develop a fully self-driving vehicle, but the company is also working on other AI initiatives like a bi-pedal autonomous Tesla Bot.

While the roll-out of Tesla’s self-driving technology has run into issues in the US, it was given the green light to begin testing the software in a pilot program in Shanghai on June 14. In July 2023, the company said it was spending ‘north of a billion dollars’ from mid-2023 until the end of 2024 on Dojo, a supercomputer that collects the data and uses it to train generative AI models that Tesla vehicles use to operate.

Tesla CEO Elon Musk created a separate AI company called xAI, formed with the intent of using generative AI to ‘understand the meaning of the universe.’ It is currently working on a large language model called Grok that can ‘answer almost anything’ and even prompt users to ask specific questions. Musk suggested Tesla could invest in xAI and use Grok, but this would need to be approved by Tesla’s board and could be a conflict of interest.

8. Oracle (NYSE:ORCL)

Press ReleasesCompany Profile

Market cap: US$479.67 billion
Current share price: US$173.10

Oracle is a tech company that’s been around since the 1970s. In the early 2000s, it began buying up other software companies, and today it is one of the leading providers of cloud-based database management software. Its Oracle Cloud Infrastructure (OCI) Generative AI service was released on January 23.

The software uses Cohere’s platform to allow businesses to incorporate large language models into software they’re already using. Oracle has been involved in a long-term partnership agreement with Nvidia to provide generative AI solutions to complex issues. At the Oracle CloudWorld conference on September 11, Oracle announced the first supercomputer to reach ‘zettascale’ performance, capable of 1 billion trillion calculations per second. The buildout will use as many as 131,072 Nvidia Blackwell GPUs.

9. SAP (NYSE:SAP)

Company Profile

Market cap: US$271.27 billion
Current share price: US$234.59

SAP is a software company out of Walldorf, Germany, with a line of generative AI products that aid companies in resource planning. In September 2023, the company released Joule, a natural language generative AI assistant designed to streamline tasks and improve workflow. Joule is available in SAP’s complete cloud portfolio and can be seamlessly integrated into the company’s entire line of business AI offerings.

To further research how cloud technology can support AI applications, SAP has been collaborating with UC Berkley’s Sky Computing Lab. The company was also recently recognized as one of the world’s most sustainable companies in 2024 by TIME Magazine and data firm Statista.

On September 12, SAP acquired WalkMe, a software company that provides a digital adoption platform that provides step-by-step instructions for an application.

10. Cisco Systems (NASDAQ:CSCO)

Company Profile

Market cap: US$224.33 billion
Current share price: US$56.28

Multinational digital communications firm Cisco Systems is a leader in IT and communications networks. The company has a large portfolio of multi-cloud products and applications, alongside strong relationships with Azure, AWS, Nvidia and Google Cloud.

Cisco’s AI and machine learning offerings encompass a wide range of computing solutions for enterprises, including a focus on cybersecurity. Cisco has also brought to market new generative AI tools for IT professionals, including its own AI Assistant.

11. Adobe (NASDAQ:ADBE)

Company Profile

Market cap: US$213.51 billion
Current share price: US$485.03

Adobe has a suite of design software that makes up its Creative Cloud platform and began rolling out AI-powered software with machine-learning capabilities in 2022. In March 2023, the company launched its generative AI iteration, Adobe Sensei GenAI, which features a list of services designed to improve marketing and content creation workflows. The AI tool is now part of its Adobe Experience Cloud.

In March 2024, Adobe and Microsoft joined forces to merge Adobe’s Experience Manager Sites capabilities with Microsoft Copilot, enabling users to harness the power of Adobe Firefly generative AI directly within Microsoft Word. In June, Adobe and TikTok signed an agreement to add TikTok’s music to Adobe Express and give TikTok users access to Adobe’s Symphony Assistant which uses AI to aid the creative process.

12. IBM (NYSE:IBM)

Company Profile

Market cap: US$214.4 billion
Current share price: US$232.75

IBM reportedly has one of the world’s largest AI research programs. The multinational tech company offers various AI solutions for cloud computing, IT operations, customer service, business automation, natural language processing and more. The MIT-IBM Watson AI Lab, a collaborative effort between the two establishments, works to advance research in healthcare, security and finance.

On September 4, the company sold its IBM QRadar SaaS assets to cybersecurity firm Palo Alto Networks (NASDAQ:PANW). IBM has also been working with the Defense Advanced Research Projects Agency to build tools capable of defending AI models from cyberattacks.

Other generative AI stocks to watch

The following companies have not yet reached the market capitalization of our top 12, but are each worth billions of dollars and have made some amazing achievements in generative AI technology in their own right, making them interesting prospects for investors.

In alphabetical order, they are:

FAQs for generative AI

What is generative AI?

Generative AI is an emerging AI technology based on deep learning models and algorithms that can generate text, images or sounds in response to prompts given by users.

What are generative AI examples?

Some of the most notable examples of generative AI are ChatGPT, DALL-E 2, Midjourney, Stable Diffusion, Gemini and Copilot.

OpenAI’s DALL-E 2 is an AI system that can create realistic images and art from a description in natural language. Similar to DALL-E 2, Midjourney generates images from prompts. Stable Diffusion is a latent text-to-image diffusion model capable of generating photo-realistic images given any text input. Microsoft’s Copilot is a feature of the Bing search engine that leverages the same technology as ChatGPT.

What are the hottest generative AI startups?

According to technology and business magazine e-Week, in addition to ChatGPT creator OpenAI, some of the other leading generative AI startups include Hugging Face, Synthesis AI, Jasper and Cohere.

Securities Disclosure: I, Meagen Seatter, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

Description

The securities of Brightstar Resources Limited (‘BTR’) will be placed in trading halt at the request of BTR, pending it releasing an announcement. Unless ASX decides otherwise, the securities will remain in trading halt until the earlier of the commencement of normal trading on Monday, 28 October 2024 or when the announcement is released to the market.

Issued by

ASX Compliance

Click here for the full ASX Release

This post appeared first on investingnews.com

Investors interested in nickel stocks are often curious about which countries produce significant amounts of the metal. After all, major producers are often home to many miners and explorers.

But investors should also be aware of which countries hold significant nickel reserves. Why? Many countries that produce large amounts of nickel have big nickel reserves, which shows they have the potential to continue being players in the space long term. On the other hand, some countries produce little nickel, but have high reserves of the metal.

Much of global demand for nickel comes from the steel making industry, particularly in China. The Asian nation is the largest consumer of nickel in the world, accounting for around 65 percent of total consumption, with the majority of it making its way into steel products. The electric vehicle (EV) battery market is emerging as another key market for nickel.

It’s possible that in the future countries with vast nickel reserves could become major players in the space, so exploration companies that already have boots on the ground could be worth watching.

With that in mind, here’s an overview of the nine countries with the largest nickel reserves. Total world nickel reserves are greater than 130 million metric tons (MT), with nickel reserves in countries outside these top nine nations making up just 9.1 million metric tons. All nickel reserves by country data is based on the US Geological Survey’s most recent report, and mine data is sourced from mining database MDO.

1. Indonesia

Nickel reserves: 55 million metric tons

Indonesia has the highest nickel reserves in the world, coming in at 55 million metric tons, and it also takes the top spot for nickel production, with 1.8 million MT of the metal produced last year.

Indonesia’s nickel production has grown exponentially from 2017’s output of 345,000 MT. In fact, it only broke the 1 million MT mark in 2021, meaning it increased by 800,000 MT in just two years. The massive increase is part of the country’s work to build out its EV battery industry in the hopes of being a major supplier to China.

While the electrification push is meant to help save the planet from the catastrophic environmental damage of climate change, in an ironic twist, the massive push for increased EV battery-grade nickel mining in Indonesia is threatening the existence of one of the world’s last uncontacted hunter gatherer tribes, as per the BBC.

Two of the countries biggest nickel producing mines are the Hengjaya nickel-iron-cobalt mine and the Weda Bay nickel mine. Nickel Industries (ASX:NIC) owns an 80 percent stake in the Hengjaya nine, which is comprised of a large tonnage, high grade nickel laterite deposit with a mine life expected to extend to 2035. The Weda Bay mine, considered the largest nickel in the world, is operated by PT Weda Bay Nickel, a joint venture (43/57) between Eramet Group (EPA:ERA) and Chinese private company Tsingshan Holding Group.

2. Australia

Nickel reserves: 24 million metric tons

Australia has the second highest nickel reserves in the world, at 24 million metric tons. However, it should be noted that Australia’s JORC-compliant proven and probable reserves stand at 865 million MT. In terms of nickel output, Australia only ranks sixth among the world’s largest nickel producers, with 160,000 MT produced in 2023.

Australia might see its production levels drop next year as some of the top-producing nickel mines in Australia are mothballed due to oversupply from Indonesia.

BHP’s (NYSE:BHP,ASX:BHP,LSE:BHP) Nickel West assets saw 85 percent of its nickel production sold to global battery materials suppliers. However, market conditions have led to the company to make a decision to place Nickel West on care and maintenance by the end of 2024. This follows First Quantum Minerals’ (TSX:FM,LSE:FQM) decision to shutter the Ravensthorpe mine, in which South Korean steelmaker POSCO (NYSE:PKX,KRX:005490) has a 30 percent equity stake.

3. Brazil

Nickel reserves: 16 million metric tons

The third largest nickel reserves belong to Brazil, which has a total of 16 million metric tons. The country has seen a rise in nickel production the past few years, with output expanding from 76,100 MT in 2021 to 89,000 MT in 2023. Even so, it still came in as the eighth largest nickel producer in the world.

Brazilian mining company Vale (NYSE:VALE) is a major nickel producer in the country. It owns a 90 percent stake in the the Onca Puma mine, one of the world’s largest global producers of the metal.

Other companies mining and exploring for the base metal in the country include Anglo American (LSE:AAL,OTCQX:AAUKF), which owns the world-class Barro Alto ferronickel mine and processing complex, and Centaurus Metals (ASX:CTM,OTCQX:CTTZF), which is developing the Jaguar nickel sulfide project. Jaguar has a defined global mineral resource estimate totaling 138.2 million MT at 0.87 percent nickel for 1.2 million MT of contained nickel. Centaurus is aiming to make a final investment decision by the second quarter of 2025.

4. Russia

Nickel reserves: 8.3 million metric tons

Russia, the world’s fourth largest nickel producer in 2023, holds a vast amount of nickel reserves at 8.3 million metric tons. The country experienced a production slump last year, putting out 200,000 MT compared to 222,000 MT in 2022.

Norilsk Nickel (MCX:GMKN), one of the world’s largest nickel and palladium producers, operates in Russia.

Analysts are concerned about the impact of the Russia-Ukraine war on global nickel supply. For the most part, the country’s nickel production feeds into the steelmaking sector rather than the battery market. “Russia plays an outsize role in nickel markets,’ the New York Times notes in an article. “Norilsk is among a limited number of companies authorized to sell a specialized form of nickel on the London Metal Exchange, which handles all nickel trading.”

5. New Caledonia

Nickel reserves:7.1 million metric tons

New Caledonia hosts the world’s fifth largest nickel reserves at 7.1 million metric tons, and the South Pacific French Territory is also the third largest nickel producer, with output of 230,000 MT in 2023. Its nickel industry is the centerpiece of New Caledonia’s economy.

Historically, New Caledonia had resisted selling nickel ore directly to large nickel-consuming countries such as China in order to preserve its domestic smelting and refining industry, which is one of its key sources of revenue. However, in recent years, New Caledonia has begun exporting to China, with 39.2 percent of its nickel exports in 2022 going to the Asian country.

Goro and the Societe Le Nickel are two of the major nickel mines in New Caledonia. Operated by Prony Resources New Caledonia, in which Trafigura has a 19 percent stake, Goro produces a chemical form of nickel and cobalt known as mixed hydroxide precipitate that can be used in EV batteries. The Societe Le Nickel mine is a joint venture between Eramet Group (56 percent), the New Caledonia provincial government (34 percent) and Nisshin Steel (10 percent).

New Caledonia became a hot bed of political unrest with pro-independence rioting in May 2024. This has further damaged its beleaguered economy, and halted nickel mining operations.

6. Philippines

Nickel reserves: 4.8 million metric tons

Next on this nickel reserves list is the Philippines, coming in at 4.8 million MT. The country’s nickel production grew significantly last year, rising from 345,000 MT in 2021 to 400,000 MT in 2023.

Nickel Asia is one of the country’s leading nickel producers. It’s wholly owned nickel operations include the Cagdianao and Hinatuan mines. The company also has a significant stake in the Rio Tuba (60 percent) and Taganito (65 percent) nickel mines.

Nickel Asia supplies limonite ore from its Rio Tuba mine to the Philippines’ first hydrometallurgical nickel processing plant. The Coral Bay plant is owned by Coral Bay Nickel, in which Nickel Asia has a 10 percent equity interest.

7. China

Nickel reserves: 4.2 million metric tons

China hosts the seventh largest nickel reserves in the world, coming in at 4.2 million metric tons. The country’s nickel production in 2023 was nearly on par with the previous year, totaling 110,000 MT compared to 114,000 MT in 2022.

Although China is seventh in terms of both nickel reserves and production, the Asian nation plays a significant role in nickel pricing due to the commodity’s role in stainless steel production. China is both the largest steel-producing country and the largest consumer of the alloy metal.

8. Canada

Nickel reserves: 2.2 million metric tons

Next up on this list of largest nickel reserves is Canada with 2.2 million metric tons of nickel. The country also ranks as the fifth largest nickel producer, increasing its output from 143,000 MT in 2022 to 180,000 MT in 2023.

Canada’s key nickel mines include Vale’s Sudbury, Thompson and Voisey’s Bay operations, as well as Glencore’s (LSE:GLEN,OTC Pink:GLCNF) Raglan mine in Quebec and Sudbury Integrated Nickel Operations in Ontario. Also in the Sudbury, Ontario region. Global miner KGHM Polska Miedz (WSE:KGH) is constructing the Victoria underground copper-nickel mine.

9. United States

Nickel reserves: 340,000 metric tons

Last on this largest nickel reserves list is the US, which hosts nickel reserves of 340,000 metric tons. With much less nickel in its back pocket than the other nations here, the US is also at the bottom when it comes to the world’s largest nickel producers. In 2023, the country’s nickel output came in at 17,000 MT, a slight decrease of 500 MT from the year before.

The US has only one primary nickel operation: Lundin Mining’s (TSX:LUN,OTC Pink:LUNMF) Eagle mine, located on the Yellow Dog Plains in the Upper Peninsula of Michigan.

Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

Gisele Pelicot, the 72-year-old victim of mass rape whose ordeal has shocked the world, told a trial in southern France on Wednesday that she was determined that making her case public should help other women and change society.

Dominique Pelicot, her husband, has admitted to inviting dozens of strangers over nearly 10 years to their house to rape her after he had drugged her. Fifty other men also stand trial, accused of raping her.

Gisele Pelicot, her voice often shaking with emotion, told the court she was destroyed by what happened to her. She said how “unbelievably violent” it was for her that many of the accused in the trial, which started on September 2, said they thought she agreed to the rapes or was faking sleeping.

“I’ve decided not to be ashamed, I’ve done nothing wrong,” Gisele Pelicot, who has become a symbol of the fight against sexual violence, told the court in Avignon.

She said she had insisted the trial be held publicly, and not behind closed doors, as is often the case to protect rape victims, in the hope it would help other rape victims.

“They (rapists) are the ones who must be ashamed,” she said, adding that having videos, filmed by her husband, of some of her rapes, shown during the trial, was “very difficult but necessary.”

“I’m not expressing hatred or hate, but I am determined that things change in this society,” said Gisele Pelicot.

Protests have been organized across France to show support for Gisele Pelicot, with many women expressing admiration for her courage.

“It’s not courage. It’s determination to change things,” she said. “This is not just my battle, but that of all rape victims.”

Most of the accused told the court they have been manipulated by Dominique Pelicot, rejecting the blame on him. Only a few have admitted to raping Gisele Pelicot.

Some have apologized.

“I hear those apologies, but they are inaudible,” she told the court. “By apologizing, they are trying to excuse themselves.”

Saying her husband’s betrayal of her trust was beyond measure, Gisele Pelicot told the court: “I’m a woman who’s totally destroyed.”

She had thought he was the perfect husband, she told the court, before adding: “My life has tumbled into nothingness.”

This post appeared first on cnn.com

Every year, thousands of South Koreans – mostly middle-aged men – die quietly and alone, cut off from their family and friends. It sometimes takes days or even weeks before their bodies are found.

These are the country’s “lonely deaths,” known as godoksa in Korean. It’s part of a larger problem of loneliness and isolation across the country, an issue so pressing the government is pulling out all the stops to fight it.

In the bustling capital Seoul, city authorities announced this week they would spend 451.3 billion won (nearly $327 million) over the next five years to “create a city where no-one is lonely.”

Their new initiatives include loneliness counselors available on a 24/7 hotline, an online platform for similar counseling, as well as follow-up measures including in-person visits and consultations, according to the metropolitan government.

“Loneliness and isolation are not just individual problems, but tasks that society must solve together,” Seoul mayor Oh Se-hoon said in a news release. The city will “mobilize all of our municipal capacity” to help lonely people heal and “return to society,” he added.

The city also plans to introduce expanded psychological services and green spaces; nutritional meal plans for middle-aged and elderly residents; a dedicated “search system” to identify isolated residents who need help; and activities to encourage people to venture outside and connect with others, such as gardening, sports, book clubs and more.

Experts have welcomed the measures but say more needs to be done – partly because loneliness in Korea is tied to certain unique parts of Korean culture that are difficult to change.

“Loneliness is a significant social issue right now, so efforts or policies to address it are absolutely necessary,” said An Soo-jung, a psychology professor at Myongji University – cautioning, however, that “there needs to be careful consideration about how effectively these measures will be implemented.”

Thousands of lonely deaths

The problem of loneliness has gained national attention over the past decade as the number of related issues increased – such as young people who withdraw from the world and spend their days isolated at home, often for months at a time. The phenomenon, known by the Japanese term “hikikomori,” has become increasingly common; South Korea had up to 244,000 such recluses in 2022 by one estimate.

The number of lonely deaths has also been rising – reaching 3,661 last year, up from 3,559 in 2022 and 3,378 in 2021, according to the Ministry of Health and Welfare’s latest figures released last week.

Part of that increase could be the ministry’s new, broader definition for “lonely death.” While in previous years the body had to be found only after “a certain amount of time” to qualify as a “lonely death,” the term now applies to anyone who lives in social isolation, cut off from family or relatives, and dies due to suicide or illness.

Another factor behind the uptick could be the country’s demographic crisis. An aging population and declining birthrate mean there have been consistently more deaths than births in recent years. South Korea’s overall death rate is rising – and that includes lonely deaths.

But the figures still speak to a larger problem that seems to impact middle aged and elderly men the most.

More than 84% of the lonely deaths recorded last year were male, more than five times the number of female deaths, according to the ministry. Men in their 50s and 60s made up more than half the total group, making them “particularly vulnerable to the risk of dying alone.”

What makes Koreans so lonely?

Loneliness isn’t unique to South Korea, and “it’s difficult to say that Koreans are particularly lonelier than others,” said An, the psychology professor. However, when asked about what makes them feel lonely, “there are some differences compared to other countries,” she said.

In some cultures, loneliness is seen as a feeling that happens “when relationships are not fulfilling,” An said. “In Korea, people say they feel very lonely when they feel they’re not worthy enough or lack purpose.”

A study from June this year found that the epidemic of loneliness reflects nuances in Korean culture, which “emphasizes relational orientation” – or people defining themselves in relation to others around them. As a result, South Koreans may feel deep loneliness or a sense of failure if they feel they’re not “making a significant impact on others or society,” the study said.

This is a major difference from other countries, according to An. Koreans may have a thriving social life and close connections to others, but they may still feel lonely “when they compare themselves to others and question whether they are useful, contributing enough to society, or falling behind.”

The study also identified other factors such as the rise in single-person households, decline in social interactions outside work and family, the dominance of social media and how it fosters feelings of inadequacy, and South Korea’s competitive, “achievement-oriented” culture, which drives feelings of loneliness among those falling short of their own goals.

“When we all pursue the same values excessively, we end up losing ourselves,” An said. “Our society demands highly collective social living but often fails to respect the individual” – meaning people struggle to deal with solitude or the feeling of failure.

Government efforts

South Korean authorities have launched various initiatives over the years to combat the problem, including the Lonely Death Prevention and Management Act which ordered the government to compile a comprehensive preventative plan and a five-yearly situation report.

And in 2023, the government passed an amendment making some reclusive youth eligible for financial support, including up to 650,000 won ($475) per month for living expenses, to help them “re-enter society.”

South Korea isn’t alone in fighting this battle.

Japan, where the hikikomori trend was first recognized and studied in depth, appointed a Minister of Loneliness and Isolation in 2021. The following year, the government released an intensive plan of countermeasures including a 24/7 consultation service and the expansion of counseling and social work programs.

Other countries, including the United Kingdom, have similarly appointed ministers of loneliness. The United States Surgeon General warned of an “epidemic of loneliness and isolation” in a 2023 advisory, urging measures such as building stronger social infrastructure and regulating online platforms.

Even the World Health Organization launched a commission to fight loneliness in 2023, calling it a “pressing health threat.”

But An said she had “doubts about whether simply expanding physical connections will fundamentally solve the problem of loneliness … It’s not something that can be easily changed by a single policy.”

Because there are complex, culturally-specific factors at play, a larger shift may be needed so individuals can “develop the strength to be alone and face themselves,” she said.

“We need to cultivate the ability to care for both ourselves and others. But our life in society is so tough, so it feels like we lack the time to even care for ourselves.”

This post appeared first on cnn.com

Dinosaur fossils have been discovered for the first time in Hong Kong, on a remote island in the financial capital’s countryside.

The fossils were found on Port Island, an uninhabitable expanse of rocks in the northeastern waters of the city, by Hong Kong’s Agriculture, Fisheries and Conservation Department in March, the government said in a statement Wednesday.

Researchers have determined that the bone fossils likely originated from a “large aged dinosaur” from the Cretaceous period –– an era more than 145 million to 66 million years ago that followed the Jurassic period.

Hong Kong’s Secretary of Development Bernadette Linn said that “the discovery is of great significance and provides new evidence for research on palaeoecology in Hong Kong,” the statement read.

Since 1979, Port Island has been designated as a site of special scientific interest and is also part of Hong Kong’s UNESCO Global Geopark –– a cluster of islands protected by an international framework and primarily used for education and sustainable development.

“Further studies will have to be conducted to confirm the species of the dinosaur,” officials said, adding that Port Island and the wider country park will be closed for further excavations and research. The dinosaur fossils will also be on public display at Hong Kong’s Heritage Discovery Centre from Friday onwards.

Experts in paleontology say the landmark discovery is a big deal for Hong Kong, a city with a complex geological history and ever-changing weather patterns.

The only “dinosaur-era things” Hong Kong has found so far are plants and fish, he said.

Pittman also noted that the discovery of body fossils is rare regionally, as skeletal remains are not typically found in southern China, known instead for its dinosaur eggs.

Since 2020, however, researchers from the Chinese Academy of Sciences have found dinosaur remains buried shallowly across nine localities in the southwestern province of Yunnan and have carried out excavations.

Earlier this year, paleontologists in China discovered the fossils of a Gandititan cavocaudatus at a construction site in Jiangxi province. The fossils, estimated to date back 90 million years, were part of a new dinosaur species previously unknown in East Asia.

It’s unclear how long Port Island will remain closed to visitors.

“If they end up finding a whole skeleton of a big dinosaur or two dinosaurs, they might have to go back next summer, and the summer after that,” Pittman said.

This post appeared first on cnn.com

Widespread flooding and landslides set off by a tropical storm in the northeastern Philippines on Thursday left at least 24 people dead, swept away cars and prompted authorities to scramble for motorboats to rescue trapped villagers, some on roofs.

The government shut down schools and offices – except those urgently needed for disaster response – for the second day on the entire main island of Luzon to protect millions of people after Tropical Storm Trami slammed into the country’s northeastern province of Isabela after midnight.

The storm – known as Kristine in the Philippines – was blowing over Aguinaldo town in the mountain province of Ifugao after dawn with sustained winds up to 95 kph (59 mph) and gusts up to 160 kph (99 mph). It was blowing westward and was forecast to enter the South China Sea later on Thursday, according to state forecasters.

At least 24 people died, mostly due to drowning in the hard-hit Bicol region and nearby Quezon province, but the toll was expected to rise as towns and villages isolated by flooding and roads blocked by landslides and toppled trees manage to send out reports, police and provincial officials said.

Most of the storm deaths were reported in the six-province Bicol region, southeast of Manila, where at least 20 people died, including 7 residents in Naga city, which was inundated by flash floods as Trami was approaching Tuesday, dumping more than two months’ worth of rainfall in just 24 hours at high tide, regional police chief Brig. Gen. Andre Dizon and other officials said.

While thousands of villagers, who were trapped in floodwaters, have been rescued by government forces, many more needed to be saved Thursday in the Bicol region, including some on roofs. About 1,500 police officers have been deployed for disaster-mitigation work, Dizon said.

“We can’t rescue them all at once because there are so many and we need additional motorboats,” Dizon told The Associated Press by telephone. “We’re looking for ways to deliver food and water to those who were trapped but could not be evacuated right away.”

Flash floods swept away and submerged cars in some parts of Naga city while mudflows from Mayon, one of the country’s 24 active volcanoes, in nearby Albay province, engulfed several vehicles, Dizon said.

Stormy weather remained in the region, hampering relief efforts, officials said.

The government’s disaster-mitigation agency said more than 2 million people were affected by the storm, including 75,400 villagers who were displaced from their homes and are sheltering on safer ground.

About 20 storms and typhoons batter the Philippines each year. In 2013, Typhoon Haiyan, one of the strongest recorded tropical cyclones in the world, left more than 7,300 people dead or missing and flattened entire villages.

This post appeared first on cnn.com

The Israeli military has forced Palestinians to enter potentially booby-trapped houses and tunnels in Gaza to avoid putting its troops in harm’s way, according to an Israel Defense Forces (IDF) soldier and five former detainees who said they were victims of the practice.

The soldier, who said his unit held two Palestinian prisoners for the explicit purpose of using them as human shields to probe dangerous places, said the practice was prevalent among Israeli units in Gaza.

“We told them to enter the building before us,” he explained. “If there are any booby traps, they will explode and not us.”

It was so common in the Israeli military that it had a name: “mosquito protocol.”

The exact scale and scope of the practice by the Israeli military is not known. But the testimony of both the soldier and five civilians shows that it was widespread across the territory: in northern Gaza, Gaza City, Khan Younis, and Rafah.

The soldier explained that, at first, his unit, which at the time was in northern Gaza, used standardized procedures before entering a suspect building: sending in a dog or punching a hole through its side with a tank shell or an armored bulldozer.

But one day this spring, the soldier said an intelligence officer showed up with two Palestinian detainees – a 16-year-old boy and 20-year-old man – and told the troops to use them as human shields before entering buildings. The intelligence officer claimed they were connected to Hamas.

When he questioned the practice, the soldier said one of his commanders told him, “‘It’s better that the Palestinian will explode and not our soldiers.’”

“It’s quite shocking, but after a few months in Gaza you [tend not to] think clearly,” the soldier said. “You’re just tired. Obviously, I prefer that my soldiers live. But, you know, that’s not how the world works.”

The soldier said that he and his comrades refused to carry on with the practice after two days and confronted their senior commander about it. Their commander, who first told them not to “think about international law,” saying that their own lives were “more important,” ultimately relented, releasing the two Palestinians, the soldier said.

The fact that they were released, he said, made it clear to him that they had no affiliation with Hamas, “that they are not terrorists.”

International law forbids the use of civilians to shield military activity, or to forcibly involve civilians in military operations. The Israeli Supreme Court explicitly banned the practice in 2005, after rights groups filed a complaint about the military’s use of Palestinian civilians to knock on the doors of suspected militants in the West Bank. Justice Aharon Barak at the time called the practice “cruel and barbaric.”

Israel has long accused Hamas of using civilians in Gaza as human shields, embedding military infrastructure in civilian areas – allegations Hamas has denied. There is ample evidence for it: weapons located inside homes, tunnels dug beneath residential neighborhoods and rockets fired from those same neighborhoods in the densely packed territory.

The Israeli military frequently cites those practices in blaming Hamas for the extraordinary civilian death toll in Gaza, where Israel has dropped bombs on those same residential areas. Israeli attacks have killed more than 42,000 Palestinians in Gaza since October last year, according to the Palestinian Ministry of Health. The United Nations says that most of the dead are civilians.

“We saw Hamas using Palestinians as human shields,” the soldier said. “But for me it’s more painful with my own army. Hamas is a terrorist organization. The IDF shouldn’t use terrorist organization practices.”

‘Mosquito protocol’

Interviews with five Palestinian former detainees in Gaza tally with the soldier’s account. All describe being captured by Israeli troops and forced to enter potentially dangerous places ahead of the military.

Israeli airstrikes earlier this year forced Mohammad Saad, 20, from his home in Jabalya, in northern Gaza. From his makeshift home near Khan Younis, between blankets strung from rafters, Saad explained that he was picked up by the Israeli military near Rafah, while attempting to get food aid for him and his younger brothers.

“The army took us in a jeep, and we found ourselves inside Rafah in a military camp,” he said, adding that he was held there for 47 days, and during that time was used for reconnaissance missions to avoid putting Israeli soldiers at risk.

“They dressed us in military uniforms, put a camera on us, and gave us a metal cutter,” he said. “They would ask us to do things like, ‘move this carpet,’ saying they were looking for tunnels. ‘Film under the stairs,’ they would say. If they found something, they would tell us to bring it outside. For example, they would ask us to remove belongings from the house, clean here, move the sofa, open the fridge, and open the cupboard.”

The soldiers were terrified, he explained, of hidden explosives.

“I usually wore the military uniform, but for the final mission, they took me in civilian clothing,” Saad said. “We went to a location, and they told me I had to film a tank left behind by the Israeli army. I was terrified and scared to film it, so they hit me on the back with the butt of a rifle.”

Not all the Palestinians used were adults. Mohammad Shbeir, 17, said that he was taken captive by Israeli soldiers after they killed his father and sister during a raid on their home in Khan Younis.

“I was handcuffed and wearing nothing but my boxers,” he recalled. “They used me as a human shield, taking me into demolished houses, places that could be dangerous or contain landmines.”

Dr. Yahya Khalil Al-Kayali, 59, was like so many others displaced over and over after being forced from his home in Gaza City. He eventually found himself living near Al Shifa Hospital, once Gaza’s largest medical complex, joining thousands of internally displaced civilians who took up shelter there.

In March, the Israeli military laid siege to that medical complex for a third time, alleging that Hamas was using it as a command center – something that Hamas denied. Huge numbers of men were swept up in the two-week-long raid, which left the hospital destroyed and inoperable. Al-Kayali was among them.

“The leader of this group, the soldier, asked me to come,” Al-Kayali recalled from the Mawasi area of Khan Younis, by a beach tent encampment. “He was talking to me in English. And he asked me to go out of the building to find any open holes or tunnels under the ground.”

Along a row of apartment buildings, again and again, the soldiers told Al-Kayali to enter every room of every apartment and check for militants and booby traps. The canons of Israeli tanks stood ready to fire, he said, should Hamas fighters be uncovered.

“I was thinking that I would be killed or die within minutes,” he recalled. “I was thinking about my family. Because there is no time to think about many things. But I was worried also about my kids, because my kids and my family were in the building.”

To his relief, the buildings were empty, and he was released. In the end, he said, he was forced to check as many as 80 apartments.

But after the soldier left Gaza, he said he heard from his comrades that the so-called “mosquito protocol” had resumed in his unit.

“My own soldiers who refused it in the beginning were back to using this practice,” he said. “They have no strength like they had in the beginning.”

Tareq Al Hilou and Mohammad Al Sawalhi in Gaza contributed to this report.

This post appeared first on cnn.com

Dogecoin and Shiba Inu: Dogecoin is in a mild bearish trend

  • On Wednesday, October 24, the price of Dogecoin retreated to a new weekly low at the 0.13112 level
  • The Shiba Inu price returned to a new weekly low of 0.00001704 on Wednesday, October 24

Dogecoin chart analysis

On Wednesday, October 24, the price of Dogecoin retreated to a new weekly low at the 0.13112 level. In that zone, the price encounters the EMA 200 moving average, which stops further retreat. Very quickly, a bullish consolidation to the 0.14300 level was initiated from there. Dogecoin met new resistance here this morning, forming a new daily high. We lose bullish momentum again and turn to the bearish side.

The price is now at 0.13860 and on the way to the previous low. Potential lower targets are 0.13600 and 0.13400 levels. We expect Dogecoin to try to test the 200 EMA in the 0.13600 zone. For a bullish option, we need a price return above the 0.140000 level. With that, we move above the daily open level to the positive side. The price would have the initial momentum to initiate a bullish consolidation. Potential higher targets are 0.14200 and 0.14400 levels.

 

Shiba Inu chart analysis

The Shiba Inu price returned to a new weekly low of 0.00001704 on Wednesday, October 24. After a short stay at that level, the price started a recovery this morning to the 0.00001795 level. There, we met the EMA 50 moving average, which did not allow us to continue on the bullish side. Shiba Inu is now forced to retreat to the daily open level of 0.00001760.

If the current price pressure continues, we will see a break below and the formation of a new daily low. This confirms that the Shiba Inu is weak and that we will see it at a new low. Potential lower targets are the 0.00001740 and 0.00001720 levels. For the bullish option, we hope that the daily open level will hold and the price will remain above. After that, we need an impulse to reach the 0.00001800 level. With that step, we move above the EMA 50 and get its support to continue the bullish scenario. Potential higher targets are the 0.00001820 and 0.00001840 levels.

 

The post Dogecoin and Shiba Inu: Dogecoin is in a mild bearish trend appeared first on FinanceBrokerage.