MARKETS
COVID-19
The Vaccine Race
On Tuesday, Vladimir Putin approved the first coronavirus vaccine and will be ready for distribution in January. They named it Sputnik-V, sounds familiar right. However, the announcement has created skepticism since it is still in Phase III trials, which is the last test to see if a vaccine is safe and effective. Putin is confident in this vaccine that he even gave it to his daughter and researchers. Developing the vaccine is Russia's Gamaleya Research Institute of Epidemiology and Microbiology, and they have received applications for over 1 billion doses of the vaccine from other countries. Russia has been hit hard with the virus as it’s ranked 4th with the highest number of cases in the world with more than 15,000 covid-19 deaths. Reactions even from Russia are ranging from cautious to skeptical as the high-level haste has to do more with politics than science.
GAMING
Cloud Gaming Loading…
The cross-platform cloud gaming Hype Train™ is coming to a device near you soon in light of a new gaming era. Today, gaming platforms are getting ready for offloading on-device processing to servers, so that gamers can enjoy console-like gameplay on their TVs or smartphones. Currently, the available services range from $5-$10/mo as Google Stadia Pro, Nvidia GeForce NOW, and PlayStation Now are already providing subscriptions for playing online games including multiple titles. On September 15th, Microsoft’s xCloud will arrive as a gaming streaming platform loaded with 100+ games at launch bundled with the Xbox Game Pass Ultimate for $15/mo. Other companies such as Facebook, Amazon, and Apple are looking to develop their own cloud gaming service, but currently the adoption rates are low as cloud gaming relatively caters to a niche audience.
Source: Microsoft
RETAIL
Earnings Drop as Mall Trips Decline
On Monday, Simon Property Group reported earnings showing a 24% drop in revenues to $1.1 billion. This was the effect of covid-19, as Simon collected only 51% of rent due in April and May. Rebounding in June and July, they collected ~70%. Simon is getting creative by turning to Amazon, potentially using declining stores such as JC Penny and Sears for distribution centers. In Q2, Amazon had their best quarter yet despite an economic shutdown as the ecommerce giant generated $88.9 billion in sales, which account for more than a third of online U.S sales. This collaboration with Simon Properties and Amazon would benefit both parties as Simon would have reliable tenants, and Amazon would get more distribution centers. Hopefully with more Amazon distribution centers, we’ll have our random Amazon buys within 30 minutes.
REAL ESTATE
From High Rise to Cul-de-Sacs
A new Zillow report shows an increasing amount of people moving from big cities to the suburbs due to expensive rent. Currently, the urban and suburban markets are hot sellers with suburban areas demonstrating strong improvements. Rentals in urban ZIP codes fell more than suburban areas at a disproportionate rate and this goes to show that the rental side of real estate has been the most affected by the pandemic. New York City and San Francisco were the most expensive housing markets before the pandemic, and many Americans are considering moving back to their hometowns with more affordable rent. The Manhattan real estate market observed a record high with 2,714 new listings, but as sellers return to the market, July data shows many of them are not meeting the price points that buyers had in mind.
Source: Zillow
Written By: Sarah Lee
Works Cited
CNN, Zahra Ullah and Zamira Rahim. “Putin Says Russia Has Approved ‘world First’ Covid-19 Vaccine. But Questions over Its Safety Remain.” CNN, https://www.cnn.com/2020/08/11/europe/russia-coronavirus-vaccine-putin-intl/index.html. Accessed 14 Aug. 2020.
Herrera, Esther Fung and Sebastian. “WSJ News Exclusive | Amazon and Mall Operator Look at Turning Sears, J.C. Penney Stores Into Fulfillment Centers.” Wall Street Journal, 9 Aug. 2020. www.wsj.com, https://www.wsj.com/articles/amazon-and-giant-mall-operator-look-at-turning-sears-j-c-penney-stores-into-fulfillment-centers-11596992863.
Morning Brew
Sherman, Sebastian Herrera and Merrill. “Coronavirus Hobbled Amazon. How the Tech Giant Rebounded for Its Best Earnings Ever.” Wall Street Journal, 6 Aug. 2020. www.wsj.com, https://www.wsj.com/articles/coronavirus-hobbled-amazon-then-the-tech-giant-bounced-back-1159670800
“Skepticism Greets Putin’s Announcement Of Russian Coronavirus Vaccine.” NPR.Org, https://www.npr.org/sections/coronavirus-live-updates/2020/08/11/901270401/skepticism-greets-putins-announcement-of-russian-coronavirus-vaccine. Accessed 14 Aug. 2020.
Spencer, Phil, and Head of Xbox. “Xbox Game Pass Ultimate Delivers 100+ Games Directly to Your Mobile Device Beginning September 15.” Xbox Wire, 4 Aug. 2020, https://news.xbox.com/en-us/2020/08/04/xbox-game-pass-ultimate-cloud-gaming-on-september-15/.
“Zillow 2020 Urban-Suburban Market Report.” Zillow Research, 13 Aug. 2020, https://www.zillow.com/research/2020-urb-suburb-market-report-27712/.