Insider Buying Reaches a 10-Year High

A quick look at the activity of insiders in the last 30 days gives reason to believe that company executives are betting on the respective companies they represent like never before. This could be an indication of the equity market performance in the coming years. The subject of this analysis is to interpret the current trend of insider buying and selling using empirical evidence.

 

Read the source article at Value Investing

Cabot withdraws 2020 earnings guidance

Boston, Massachusetts – Cabot Corp. has withdrawn its financial guidance for fiscal year 2020 and is reducing planned capital expenditure in response to Covid-19 pandemic.

Despite a “solid” second quarter, ending 31 March, Cabot said it is withdrawing the outlook as future demand for the company’s products remain uncertain.

In addition, in order to maximise free cash flow, Cabot is looking to reduce previous plans for capital spending, said CEO and president Sean Keohane in a statement 30 March.

Read the source article at European Rubber Journal

Global NR demand set to fall in 2020

Kuala Lumpur – The Association of Natural Rubber Producing Countries (ANRPC) expects the world consumption of natural rubber to fall 1.5% this year, after a sharp decline in demand in the first quarter.

In its monthly trends update published 30 March, the ANRPC said it estimated the global consumption to drop to 13.53 million tonnes for the whole year, down from the an earlier estimate of 1.2% growth in February.

Read the source article at European Rubber Journal

Triangle tire plants in China back to near full production

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Franklin, Tennessee — Triangle Tyre Co. Ltd.’s tire plants in China are back to operating near full capacity after a lull created by the Chinese New Year and subsequent coronavirus shutdown.

“With much uncertainty about how the coronavirus pandemic will affect global tire production, we are grateful that the four Triangle plants are now operating at above 90% capacity,” Triangle Tire USA CEO Manny Cicero said.

Read the source article at European Rubber Journal

USMCA rush amid pandemic adds to concern

Reports that the Trump administration was considering a June 1 start date have stirred concern among auto makers, parts suppliers and trade groups that say the deadline, which they say is premature, could disrupt a smooth transition from NAFTA to the new trade deal, especially as the outbreak worsens.

 

Read the source article at Rubber and Plastics News

Bosch develops new virus test that shortens wait to 2.5 hours

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Auto supplier Robert Bosch GmbH said its healthcare affiiate developed a test that can diagnose COVID-19 in less than 2.5 hours and might help efforts to fight the coronavirus outbreak. “Infected patients can be identified and isolated faster,” Bosch CEO Volkmar Denner . Patients typically must wait one or two days for test results. The ability to test for COVID-19 is seen as a key variable in restricting its spread.

Read the source article at Front Page

Suspension of operational activities “will undoubtedly have severe, long-lasting reverberations for our industry”

Brussels – The European Tyre and Rubber Manufacturers Association has called for support measures to mitigate the increasingly severe impact of the Covid-19 pandemic on Europe’s tire industry.

Health concerns, supply shortages, low demand and government restrictions have led many ETRMA member companies to announce temporary closures of their European manufacturing facilities.

Read the source article at European Rubber Journal

Detroit’s near future based on crossovers, SUVs, not EVs, production plans show

DETROIT — General Motors Co. and Ford Motor Co. have widely touted their commitment to emission-free electric vehicles, but their production plans show a growing reliance on ever-larger gas-powered vehicles. The two biggest U.S. automakers will make more than 5 million SUVs and pickup trucks in 2026, but only about 320,000 electric vehicles, according to detailed production plans for North America seen by Reuters.

Read the source article at Front Page

Camfin raising stake in Pirelli

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Milan, Italy – Pirelli shareholder Camfin is looking to raise its stake in the Italian tire maker, which has seen its share-price fall by more than 30% over the last three months.

Camfin board of directors authorised, on 20 March, the acquisition of shares up to a maximum of 1.5% of Pirelli’s share capital, by the end of July.

Pirelli’s shares hit an all-time low of €3.50 on 9 March in Milan as global stock markets grappled with the outbreak of Covid-19.

Read the source article at European Rubber Journal

U.S. set to grant automakers a lifeline, but no bailout

WASHINGTON/DETROIT — The $2 trillion economic rescue package before the U.S. Senate would send the federal government to the auto industry’s rescue for the second time in a dozen years. Automakers are fearful of being tagged as seeking a new government bailout so soon after the 2009 government-funded auto restructurings. Detroit has not sought industry-specific assistance and instead made the case the entire economy needs urgent access to liquidity.

Read the source article at Automotive News Europe