Central Bank Digital Currencies (or CBDCs) are a private ledger, central bank controlled, centralized system that permits a specific nation's central bank i.e., the Federal Reserve, to issue their own digital currency. This digital money is stored in citizens digital wallets and is directly connected to the central bank, thus allowing the central bank to eliminate the middleman (the traditional banking system) and have full control of your money. This setup will allow central banks to do a plethora of things with citizens' cash. For example, adding or subtracting money to your account at will, freezing your account, restricting your purchases, and more. The central bank will be able to track every payment/transaction on a private ledger (for reference cryptocurrency is traded on a public decentralized ledger, i.e., a blockchain, and thus isn’t controlled by any one entity, it is a peer to peer transaction system). 

Why do nations want to implement this financial tool you ask? It all boils down to one simple concept… control. Nations want increasingly higher amounts of control these days and CBDCs will allow this to happen. Whether it’s through subtracting or adding digital cash supply at will to influence rates, making every transaction fully visible on a private ledger only available to the central bank, or even by allowing programmable money that the central bank has full control over, it all boils down to the want for control. CBDCs create a tool to be utilized by central banks for social control, no well functioning free market/capitalist economy would willingly agree to engage in this activity (at least not to its fullest extent). Today we see central banks in nations such as China, Europe, and India starting to implement CBDCs while the U.S is still in its CBDC infancy/research and development stage. I urge people to think about what you may soon not have and don’t ever take it for granted. 

Equity Insights 

↑Nvidia (NVDA): After a strong quarter three earnings beat with revenue jumping 62% YoY and EPS surging to $1.30–both beating analysts expectations. Nvidia rose more than 5% in after hours trading Wednesday following the report. Nvidia is often seen as the poster boy of consumer sentiment towards AI, this strong beat will bolster tech related sentiment amidst fears of an upcoming AI bubble pop. 

?Walmart (WMT): Walmart releases Q3 earnings Thursday, 11/20, before the open. Investors will be eyeing this release closely for signs of slowing consumer purchases as this will hint at sticky inflation remaining in the economy. Maybe even leading the Fed to keep rates steady at their December policy meeting to hedge against rising inflation.

Theme of the Week

Public speaking, the bane of teenagers existence and the nucleus of business men's day to day. As this is a financial, economic, and political newsletter I wanted to touch on public speaking–a main tenant of business. Many teenagers today live so caved up on their electronic gadgets that they’ve forgotten how to speak in front of others, forgotten how to truly speak formally and elegantly in a persuasive way. I urge all teenagers and young adults to put yourselves out there and speak in front of an audience!! May it be your parents or your sister it does not matter. Make practice speeches about your hobbies, ideas, and interests that you present to your friends. Volunteer to read that paragraph in English class, speak up in your science lab and talk on behalf of your group, volunteer to step up first and present your senior thesis. 

If you are reading this as an aspiring businessman/woman of any kind, public speaking WILL be a major part of your life, I urge you all to get good and used to it now before your inadequacy causes you to lose out on a substantial opportunity.

About This Newsletter 

This newsletter shares insights into our complex current day economic/geopolitical situations and provides clear, actionable equities insights as well. Whether just getting into the game or a seasoned veteran, this newsletter is your edge.