Bank of America’s SWOT analysis: stock navigates rate pressures with growth
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Bank of America’s SWOT analysis: stock navigates rate pressures with growth
The power struggle in the world’s narrow seas
It has become much harder to forget since the effective closure of the Strait of Hormuz.
Hundreds rather than the usual thousands of vessels have passed through the strait since March 5.
“This really feels like a global crisis, a little similar to what happened with Covid-19,” says Rystad’s Abramov. Gasoline and diesel prices have surged, and jet fuel and fertiliser are already in short supply; food prices are expected to rise, while the next phase of the crisis is likely to lead to fuel rationing and industrial shutdowns, experts have said.
Policymakers are debating when recession may set in. “The word on everyone’s lips is stagflation,” a senior European industrialist says. “The longer this goes on, the more I worry about it.”
As the disruption has stretched on for months, companies have been forced to find radical workarounds. Some are trying to transport goods via land — either through existing oil pipelines or using trucks.
Danish logistics group DSV, market leader in the Middle East, is moving cargo through Saudi Arabia and Turkey. “When everything is flowing, you don’t consider your job vital. But if you can’t get cargo in, the people there can’t eat,” says Jens Lund, the company’s head.
Lorries, however, can replace only a small share of the capacity provided by large container and cargo ships, while border crossings and challenging terrain can further slow their transit.
Battle for control
Western countries have traditionally worried about routes in the Middle East, fearing that any regional conflict could limit access to the Red Sea, Suez or the Bosphorus.
But Trump has placed the Panama Canal at the heart of his vision of hemispheric defence – accusing China of trying to control the waterway, and threatening to take control of it himself. A Hong Kong-based conglomerate previously ran two ports on the canal, until Panama annulled its contracts earlier this year. China has called the US president’s claims groundless and said it wants to keep the canal neutral.
Nonetheless Trump’s moves may encourage Beijing to “rekindle building a Nicaragua Canal”, says Jensen, referring to a concession granted to a Chinese businessman in 2013 to develop a new rival waterway – though little came of it.
Following Trump’s threats and the cancellation of the port contracts, China has increased inspections of Panamanian-flagged vessels, leading to reports of ships reflagging, he adds. China’s foreign ministry said in March that its inspections were in accordance with laws and regulations.
A Chinese academic in Beijing, who asked not to be identified, says Panama’s move on the ports “would not be forgotten in Beijing, which would improve its projection of hard power to ensure that this did not happen again in other important strategic chokepoints”.
“Right now, the cost is very limited [for countries like Panama], but I think in the future, this is not going to be tolerated,” he says.
How Can Mortgage Rates Go Down From Here?
It’s no secret mortgage rates are in a bad place right now.
But instead of talking about that all day, let’s talk about how can they get better…
Ultimately, the quickest path lower is a peace deal in the Middle East. Note that I said quickest, not easiest. It’s hard to sit here and say that it’ll be easy.
And it’s also important to point out that they always rise faster than they fall, so it’ll take time even if there’s a resolution there.
The other main component is labor, but you don’t want weakness there because it hurts the housing market, not to mention the individual who loses their job.
Mortgage Rates Need a Peace Deal to Move Lower
Ultimately, mortgage rates need peace if they’re to move back to their recent lows.
That’s why mortgage rates rose to begin with, so it’s really the only way for them to erase this big move higher.
If you recall, the 30-year fixed had been at 3.5-year lows prior to the conflict at the end of February and early March.
Just as we finally got our long-awaited sub-6% mortgage rate, poof, it was gone in a flash.
It was the cruelest of scenarios, but kind of what you expect if you’ve been around the mortgage industry long enough…
When things finally start looking good, they seem to disappear just like that. And that’s exactly what happened.
While there was some hope in April after a bad March, May is when things finally got real for mortgage rates.
I had been warning folks that things were going to get worse, and that the $100+ barrel oil was going to find its way into inflation numbers and push mortgage rates higher.
But for a while, everyone was attempting to “look through” it all and bank on it being transitory.
We were also told repeatedly that the whole Iranian operation would be wrapped up in days, or a week, or just a few more days.
Now it’s feeling a lot like a quagmire with no end in sight. And the market finally decided to take it seriously.
That’s why you have the near-7% mortgage rates again. Reality set in.
So it’s pretty clear the best and fastest way to get lower mortgage rates is for the U.S. and Iran to come to some sort of deal. And quickly.
Good Chance Mortgage Rates Get Worse Before They Get Better
Now before things improve, they could get worse. It’s just one of those things where the trend is not your friend.
And it takes time for a reversal to take place. In the meantime, you get even higher rates.
So much higher can they go you ask?
Well, for a while I’ve been pointing to 6.875%, maybe a low 7-handle for the 30-year fixed. That looks fairly likely at this juncture.
After all, we’re around 6.75% now so it’s only an .125% to a .25% away. Yikes!
It seemed crazy a few weeks ago, when I first started bringing this up, but now it’s probably looking like a rather conservative estimate.
Funny how that works.
There Will Be Good Days and Bad Days for Rates
Just remember that mortgage rates don’t move in a straight line up or down.
There will always be ebbs and flows, good days, bad days, good weeks and bad weeks.
That means there will be opportunity at times to lock in a lower mortgage rate and you’ll need to stay vigilant if you’re shopping rates.
In addition, remember that when there’s a lot of volatility in mortgage rates, rate dispersion is higher.
This means there’s a wider range of rates being offered by banks, lenders, credit unions, etc. So be sure to gather multiple quotes and negotiate even more aggressively!
Latest posts by Colin Robertson (see all)
[CA] Exchange Bank $150 Checking Bonus
Offer at a glance
- Maximum bonus amount:
- Availability: Must be resident of CA. Maybe select counties?
- Direct deposit required: Yes or ACH credit of $500+ for three consecutive months
- Additional requirements: Enroll in eStatements, open with $100+
- Hard/soft pull: Unknown
- ChexSystems: Unknown
- Credit card funding: Unknown
- Monthly fees: None
- Early account termination fee: Unknown
- Household limit: None listed
- Expiration date: 06/01/2026
The Offer
Direct link to offer
- Exchange Bank is offering a bonus of $150 when you open a new everyday checking account with a $100 opening deposit and complete the following requirements:
- Have at least one monthly direct deposit or ACH transfer credit totaling $500 or more deposited into the account for 3 consecutive months
- Enroll in and select to receive eStatements
The Fine Print
- To receive $150 cash bonus: Open a new Everyday Checking account (subject to approval) by 06/01/2026.
- Fulfill the following three (3) requirements, beginning either in the month of account opening or the immediately following month: 1.) Open a new Everyday Checking account with a minimum opening deposit of $100. Current or former Everyday Checking account owners (including joint owners) within the last 60 days are not eligible. 2.) Have at least one (1) qualifying ACH credit totaling $500 or more per month, in aggregate, deposited into your Everyday Checking account for three consecutive months.
- Qualifying ACH credits include direct deposits or government benefit payments; and 3.) Enroll and receive electronic statements for your Everyday Checking account. Cash bonus will be paid to the open, eligible account within 150 days after account opening and after all promotional requirements have been met.
- The account must have an available balance greater than zero at the time of payout to receive the bonus.
- The bonus will be credited to the qualifying account and reported as interest for tax purposes. Any applicable taxes associated with the bonus are the responsibility of the account owner.
- To the extent required by law, Exchange Bank will report the total value of this bonus to the IRS on Form 1099-INT (or Form 1042-S, if applicable) for the tax year in which the bonus was paid.
- This is not an interest-bearing account. Exchange Bank employees and board members are ineligible. One bonus per account.
- Offer may change or be discontinued at any time without prior notice. Terms, conditions, restrictions, and fees may apply.
- All bank account bonuses are treated as income/interest and as such you have to pay taxes on them
Avoiding Fees
Monthly Fees
This account has no monthly fees.
Early Account Termination Fee
I wasn’t able to find a fee schedule so unsure if there is any EATF.
Our Verdict
Feel free to share your experiences with this bank in the comments below.
Hat tip to reader snailrock
Useful posts regarding bank bonuses:
- A Beginners Guide To Bank Account Bonuses
- Bank Account Quick Reference Table (Spreadsheet) (very useful for sorting bonuses by different parameters)
- PSA: Don’t Call The Bank
- Introduction To ChexSystems
- Banks & Credit Unions That Are ChexSystems Inquiry Sensitive
- What Banks & Credit Unions Do/Don’t Pull ChexSystems?
- How To Use Our Direct Deposit Page For Bank Bonuses Page
- Common Bank Bonus Misconceptions + Why You Should Give Them A Go
- How Many Bank Accounts Can I Safely Open Within A Year For Bank Bonus Purposes?
- Affiliate Links & Bank Bonuses – We Won’t Be Using Them
- Complete List Of Ways To Close Bank Accounts At Each Bank
- Banks That Allow/Don’t Allow Out Of State Checking Applications
- Bank Bonus Posting Times
Book Review: Principles of Bitcoin
Principles of Bitcoin: Technology, Economics, Politics, and Philosophy. 2025. Vijay Selvam. Columbia University Press.
Decentralized finance continues to evolve. The relative novelty of a digital asset and means of exchange — bitcoin is, after all, a mere sixteen years old — seems to be an unending source of fascination across all strata of society. The mystery and enamorment of the digital currency will likely increase given the heightened attention accorded it from the current American presidential administration, whose proclivity toward less regulation would warrant, demand even, a more nuanced understanding of its multifaceted nature. Bitcoin sits at the axis of technology, economics, politics, and philosophy. Governments, policymakers, economists, information technology professionals, and risk officers will all welcome the author’s rigorous analysis and lucid explication. CFA® charterholders and those aspiring to be will find the treatment of the subject matter a bit different from more conventional valuation processes accorded public and private markets. Then again, bitcoin is anything but conventional.
A skeptic by nature, a trait the author attributes to his métier of law, Vijay Selvam was educated in more traditional concepts of asset valuation to which bitcoin does not lend itself. Yet he brought a deep understanding of complexity to his work with real estate structured products and derivatives, whose performance was the proximate cause of the Great Recession. His involvement in 2008 with the creation of a bailout arrangement for a Wall Street bank in the midst of the debacle left him cynical. Bitcoin made its first appearance shortly thereafter as an alternative to the wreckage of centralized finance recently visited upon economies across the world.
The author’s self-awareness of a cognitive bias against bitcoin and toward conventional finance led him to the realization that a basic reference work on the subject was lacking. Principles of Bitcoin offers a multifaceted evaluation of bitcoin in an attempt to place its reputation and notoriety in a thoughtful context. To understand bitcoin is to understand the ascent of money through the interrelationships between economics, politics, technology, and philosophy. It is as much about unlearning traditional concepts of asset valuation as it is about modifying one’s approach to understanding this new thing.
Bitcoin’s inventor, Satoshi Nakamoto, anguished over how best to describe bitcoin. Cracking its recondite nature requires the use of first-principles thinking, a disassembly of the subject matter into its fundamental components, and a development and progression of one’s understanding of concepts. Indeed, this holistic approach is central to the book and helps shed light on bitcoin’s true purpose and mechanics.
The technical discussion spans five chapters and at times can appear complex, though the author endeavors to make it accessible through numerous references to philosophy, technology, and literature. One may view bitcoin as a scarce digital commodity in some ways akin to gold, whose path-dependent nature and inextricable link to the internet make it a robust asset. Bitcoin’s technology employs cryptography, distributed systems, and economic motivations to produce a digital asset that is robust to the risk of double-spending and transparent on a public ledger. Proof of Work (PoW) ensures a form of decentralized agreement. Bitcoin technology accords it distinct traits of scarcity, divisibility, portability, verifiability, durability, resistance to censorship, and unconfiscatability. Its first-mover status and recognizability, coming on the heels of the global financial crisis, afford it an advantage that would be tough to replicate, let alone beat.
Against the backdrop of monetary history, which has seen (hyper)inflation and currency debasement, and given that some governments weaponize money against their citizenry, bitcoin would appear to be a safe harbor. It is pseudonymous and knows no borders. It is able in many instances to escape confiscatory risk. It has the potential to serve the unbanked millions in far-flung corners of the world where conventional financial services don’t reach. Bitcoin’s decentralized architecture makes any attempt by governments to proscribe it difficult, if not impossible. Its transnational and apolitical features would also appear to address the issue that erstwhile French president Valéry Giscard d’Estaing termed the US dollar’s exorbitant privilege, or transactional hegemony, over other currencies. The author argues for bitcoin as a global reserve asset.
Activist Artists Management promotes Anna Kolander to Partner
Activist Artists Management has promoted Anna Kolander to Partner.
Kolander, who is based in Nashville, has spent 13 years at the company, having joined as an assistant in 2013.
She previously served as Senior Manager / Head of A&R at Activist, and is the day-to-day manager for The Lumineers.
In that role, she supports all aspects of the band’s global touring and recording activity, according to the company.
The promotion was announced on Thursday (May 21).
“Anna is a thoughtful and strategic leader,” said Activist founding partner Bernie Cahill.
“We’re proud to welcome her into the Activist partnership.”
Bernie Cahill
Added Cahill: “She brings a rare combination of creative instinct, operational rigor, and deep care for the people she works with.
“We’re proud to welcome her into the Activist partnership.”
Kolander said: “To step into this role after beginning my career alongside the leadership of Activist is incredibly meaningful.
“I’m grateful for the opportunity to have learned from such an incredible team and proud of all we’ve accomplished together.
“I look forward to continuing to support our artists and partners in impactful and innovative ways in the years ahead.”
“To step into this role after beginning my career alongside the leadership of Activist is incredibly meaningful.”
Anna Kolander
Kolander will continue to operate out of Activist‘s Nashville office while taking on an expanded leadership role across the broader business.
She was named Senior Director of A&R/Creative at Activist in 2020, having started at the company as an assistant in the Nashville office.
Activist’s clients include The Lumineers, Bobby Weir, Dwight Yoakam, the Grateful Dead, Dead & Company (co-managed with Azoff/Moir), Leif Vollebekk, The Pretty Reckless, Young the Giant, and Orville Peck, as well as actors Ken Watanabe and David Alan Grier, screenwriter Terry Rossio (co-managed with Lumify Entertainment), known for Pirates of the Caribbean, Godzilla vs. Kong, and Oscar-winning media company Lion Forge Entertainment.
Elsewhere at Activist, Caitlin Stone was promoted to Partner in 2021, and Kristina ‘Red’ Tanner was promoted to Partner in 2022.
The firm, which describes itself as “a full-service management firm founded on the belief that artists, actors, and brands can create positive change in the world,” has offices in Los Angeles, New York, Nashville, and Atlanta.Music Business Worldwide
The 1 AI Stock I’m Buying Every Single Time It Dips Below $10
Most promising artificial intelligence (AI) stocks are already priced at a premium. So while growth rates are high, so are the valuations.
There’s one AI stock, however, that remains a bargain. That’s because most investors don’t yet classify the company as an artificial intelligence business. That’s the case even though the company’s closest competitor is arguably one of the biggest AI stocks on the planet.
If this emerging AI stock falls below $10, I’m going all in for the long haul.
Image source: Rivian.
This Tesla competitor is my favorite AI stock in 2026
Most analysts have come to appreciate the AI potential of Tesla (TSLA +1.95%). Autonomous driving technologies increasingly rely on AI, leading to rapid advancements that could make self-driving cars a reality within the next few years.
Tesla has made direct AI investments, including its $2 billion investment in xAI, Elon Musk’s AI start-up. But it’s really the robotaxi market that is driving Tesla’s $1.3 trillion valuation. Major Tesla investor Cathie Wood, CEO of Ark Invest, believes robotaxis could be Tesla’s biggest growth opportunity in its history.
“We think US$8 [trillion] to US$10 trillion for the entire autonomous taxi opportunity throughout the world, from almost nothing,” Wood told investors last year. “That’s how quickly AI is going to cause these things to happen.” Five years from now, Wood thinks that robotaxis will account for 90% of Tesla’s valuation.
Today’s Change
(0.49%) $0.07
Current Price
$14.22
Key Data Points
Market Cap
$18B
Day’s Range
$14.07 – $14.40
52wk Range
$11.57 – $22.69
Volume
27.1M
Avg Vol
27.8M
Gross Margin
-441.39%
But Tesla isn’t the only EV stock betting big on AI and autonomous driving. Rivian (RIVN +0.49%) is also going all in on AI and autonomy, so much so that it recently pushed out its profit timeline to invest more aggressively. And here’s the thing: Rivian’s market cap is just $17 billion — 98.7% smaller than Tesla’s market cap.
Rivian does have some structural disadvantages versus the likes of Tesla. The company’s smaller size limits its ability to fund large-scale research and development in AI and autonomy.
It’s also taking a different approach to robotaxis. While Tesla is both building its own vehicles and operating its own robotaxi service, Rivian seems content to be an industry supplier. In March, the company announced a deal with Uber Technologies to supply 50,000 Rivian vehicles to power that company’s robotaxi arm.
It will take years until the robotaxi market begins to mature. But investors are clearly bought into Tesla’s vision. Rivian has a similar vision, yet its stock garners a much smaller valuation both in terms of market cap and key valuation metrics like price-to-sales ratio.
Rivian stock doesn’t break below the $10 mark often. But if a market correction brings shares sharply lower, I’m prepared to load up on Rivian stock for the long haul.
Discover it Credit Card Review (No Credit History Required) (2026.5 Update: $200 Offer!)
2026.5 Update: There’s a link with $200 offer, and the double cash back on the first year feature is also there. This is the best ever offer on this card! HT: DoC.
2022.3 Update: It seems the good grade reward is no longer available.
2021.9 Update: Some users are targeted to generate referral links with $100 welcome offer. The link we use on our site has $100 welcome offer.
Application Link
- Discover it
- Through this link, you might see the application page for either Discover it or Discover it for Students. Actually these two are equivalent: no matter which application page you use, if you choose “College Student” as employment status, you will get Discover it for Students; if you choose other employment status, you will get regular version Discover it.
Benefits
- $200 offer: earn $200 statement credit after spending $500 within 3 months. This is the best ever offer on this card.
- Earn 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter, 1% cash back on all other purchases. You need to activate the 5% cash back beforehand each quarter. New categories every quarter. The 5% bonus categories for 2021 are:
- Double Cash Back: Double all cash back you’ve earned at the end of your first year, including the 5% bonus category, and Discover Deals. The double part will be credited to you after the first year. Starting from 2018, the sign-up bonus and referral bonus will be granted as statement credit instead of cash back, so they will not be doubled.
Good Grade Reward: Earn $20 each year when you get at least a 3.0 GPA, up to 5 years. Screenshot.[2022.3 update] It seems the good grade reward is no longer available.- No credit history needed.
- Refer a friend: You can earn $50 for every approved account you refer, up to a maximum of 10 approved referrals ($500) per calendar year. The sign-up bonus from these referral links is $50.
- No foreign transaction fee.
- No annual fee.
Disadvantages
- Only first $1,500 purchases per quarter on bonus categories can earn 5% cash back, after that you can only earn 1% cash back.
- This is a Discover card, which is not as widely accepted as Visa or MasterCard.
- Credit limit for Discover it for Students may be VERY low, and it’s hard to get the limit increased.
- 5% bonus categories may not be correctly identified abroad when using some partner networks like UnionPay.
Recommended Application Time
- You can get approved even with no credit history at all! (SSN required)
- You may get rejected if you have some credit history, we recommend you apply when you have a credit history of 6 months.
- You must wait for a year before applying for a second Discover card.
- You can only have at most 2 Discover credit cards.
Summary
This card is a no-brainer choice. Everyone should get it for its 5% cash back in rotating categories and no annual fee. Besides, Discover Deals sometimes have pretty good discounts.
Historical Offers Chart
Note: Between 2015.6 and 2018.1, the $50 sign-up bonus is counted as cash back, thus is doubled to become $100 after one year. However, since 2018.1, the sign-up bonus is counted as statement credit, so it won’t be doubled any more.
Application Link
- Discover it
- Through this link, you might see the application page for either Discover it or Discover it for Students. Actually these two are equivalent: no matter which application page you use, if you choose “College Student” as employment status, you will get Discover it for Students; if you choose other employment status, you will get regular version Discover it.
If you like this post, don’t forget to give it a 5 star rating!
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Banks poised for ‘solid growth’ in Q2 despite uncertain economic backdrop: analysts
As Canadian banks get set to report second-quarter results next week, analysts expect year-over-year gains despite a “challenging” operating environment and slowing loan growth.