Happy Friday Folks,

In today’s newsletter, we cover:

👉 Apple’s Q4 earnings

👉 The SBF verdict

👉 Benefits of investing in Treasury Yields

So, let’s get into it.

Apple’s Revenue Declines Yet Again

Shares of Apple, the largest company in the world, are down over 3% in pre-market today, following its results for fiscal Q4 of 2023 (ended in September).

In Q4, Apple reported:

• Revenue of $89.5 billion vs. estimates of $89.28 billion

• Earnings of $1.46 per share vs. estimates of $1.39 per share

It means Apple’s sales have now fallen for four consecutive quarters, falling 3% year over year in fiscal 2023 to $383.29 billion.

The iPhone business was Apple’s only hardware segment, which experienced sales growth in Q4. Comparatively, the company’s Services business grew by a robust 16% to $22.3 billion in the September quarter.

It’s evident that Apple lacks a clear path to growth this holiday season after four quarters of revenue shrinkage.

Investors are wary about Apple as the tech giant expects revenue in the December quarter to remain similar to last year, while analysts forecast revenue to surge by 5%.

Should You Invest In the World’s Safest Asset

Life in Bondland hasn’t been this exciting in years. Longer-date U.S. Treasuries have seen their prices getting crushed, with some falling by 50% as higher inflation and interest rates take a heavy toll.

That kind of market sell-off tends to signal one thing: opportunity. Let’s see why.

👉 In recent weeks, investment moguls Bill Ackman (the CEO and founder of Pershing Square Capital) and “bond king” Bill Gross have both reversed their bearish view on bonds

👉 With yields at 5%, U.S. Treasuries look attractive for buyers to step in and offset supply worries

👉 Higher yields on the U.S. Treasuries mean you can 2x your investment return in 14.5 years

Sam Bankman-Fried Is Guilty On All Charges

After a month-long trial, the jury has found Sam Bankman-Fried guilty of all seven criminal counts filed against him. SBF may face up to 115 years in prison.

The criminal charges include wire fraud committed against FTX customers and Alameda Research lenders, conspiracy to commit securities fraud, and conspiracy to commit money laundering.

About $10 billion in customer funds sitting in their FTX accounts went missing once the fraud came to light.

SBF apparently used depositors’ money to pay for his personal real estate investments, corporate sponsorships, political donations and to cover losses at Alameda Research, its sister company.

Headlines You Can’t Miss!

The biggest threat to world order since 1930 is underway

Elon Musk expects AI to eliminate the need for jobs

Big banks invest $55 million in this insurance start-up

UAW-Stellantis deal includes $18.9 billion in new investments

What to expect from October’s big jobs report?

Chart of the Day

The U.S. Treasury said it would borrow less money than predicted in Q4 but also soured the deal with a jumbo forecast for the next one.

The government’s budget deficit- basically the difference it earns via taxes and its expenditures- is widening due to higher defense budgets, economic stimulus, and lower corporate taxes.

To plug the gap, the Treasury has been selling bonds, which increases the debt pile simultaneously, making it a vicious cycle.

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell assets or make financial decisions. Please be careful and do your own research.