Core Viewpoint - The U.S. Supreme Court will hear cases involving ExxonMobil and cruise operators regarding compensation for property seized by Cuba under the Helms-Burton Act, amidst increasing pressure from the Trump administration on the Cuban government [1]. Group 1: Legal Context - The Helms-Burton Act, enacted in 1996, allows American companies to sue for compensation for property confiscated by Cuba's government after the 1959 revolution [1]. - ExxonMobil is seeking over $1 billion in compensation for its oil and gas assets seized in 1960, which were valued at $70 million at the time of confiscation [1]. - The Supreme Court's decision could clarify the extent of remedies available under the Helms-Burton Act and potentially eliminate barriers for claimants [1]. Group 2: Specific Cases - ExxonMobil's case involves accusations against Corporación CIMEX, Cuba's largest conglomerate, for profiting from the confiscated property [1]. - The cruise line case involves four operators—Carnival, Royal Caribbean, Norwegian Cruise Line, and MSC Cruises—accused of unlawfully using docks built by an American company that were also seized in 1960 [1]. - A federal judge previously ruled that the cruise lines engaged in trafficking, imposing judgments exceeding $100 million, but a lower court later dismissed these judgments [1]. Group 3: Political Implications - The Trump administration supports ExxonMobil's litigation, labeling Cuba as a significant threat to U.S. national security and threatening tariffs on countries supplying fuel to Cuba [1]. - The Helms-Burton Act's provision allowing lawsuits has been suspended by previous presidents to avoid diplomatic conflicts, but Trump lifted this suspension in 2019 [1].

Company Overview - Norwegian Cruise Line (NCLH) closed at $24.10, up 12.15% after Elliott Investment Management disclosed a stake of over 10% and initiated an activist campaign [1] - The stock's trading volume reached 59.6 million shares, approximately 219% above its three-month average of 18.7 million shares [1] Industry Performance - The cruise line industry has been rebounding over the last three years, with Norwegian's annualized total returns growing by only 6%, compared to Carnival's 40% and Royal Caribbean's 64% [3] - Other cruise lines, such as Royal Caribbean and Carnival, also saw gains, with Royal Caribbean closing at $323.73 (up 1.29%) and Carnival at $32.68 (up 2.86%) [2] Financial Insights - Elliott Investment Management highlighted that NCL's selling, general and administrative (SG&A) expenses have increased nearly three times faster than its peers since 2013, indicating a need for leadership and board changes to improve the company's cost structure [4] - NCL is currently trading at a significantly discounted valuation compared to its peers, suggesting potential for long-term shareholders if changes are implemented [4]

The cruise operator's shares have underperformed rivals Royal Caribbean and Carnival. ...

Core Viewpoint - Royal Caribbean is positioned favorably for long-term investment due to its strong performance and market dynamics, despite competition from newer entrants like Viking Holdings [1][10]. Company Performance - Royal Caribbean reported a remarkable 112% occupancy rate in Q3 2025, indicating robust demand for cruise vacations [2]. - The company achieved over $3.5 billion in net income during the first nine months of 2025, reflecting a 51% year-over-year increase [3]. - Royal Caribbean has effectively managed its $21 billion debt from the pandemic, using increased profits to service and reduce this debt [3]. - The cruise line has launched the Star of the Seas in 2025 and plans to introduce three additional ships over the next three years to meet strong demand [3]. Market Position - Royal Caribbean's market capitalization stands at $78 billion, which is twice that of its larger competitor, Carnival [6]. - The company has outperformed the S&P 500 over the last five years, showcasing its strong market position [4][10]. - Royal Caribbean's P/E ratio is 18, which, while higher than Carnival's 16 and Norwegian Cruise Line's 14, remains significantly lower than the S&P 500 average of 31 [6]. Competitive Landscape - Viking Holdings has emerged as a significant competitor, targeting high-end cruisers with smaller, experience-oriented ships, capturing over 4% of the industry's revenue with less than 1% of cruise passengers [7]. - Since its IPO in May 2024, Viking has outperformed all cruise line stocks, with a P/E ratio of 32, indicating a willingness among investors to pay a premium for its stock [8]. - Despite the competition from Viking, Royal Caribbean is expected to continue outperforming the S&P 500 [11].

Core Insights - Murphy, Middleton, Hinkle & Parker, Inc. (MMHP) established a new position in Invesco Water Resources ETF (NASDAQ:PHO), purchasing 9,484 shares valued at approximately $6.47 million [2][5] - This new position represents 3.13% of MMHP's total reportable assets under management (AUM) as of December 31, 2025 [3][5] - As of January 12, 2026, PHO shares were priced at $73.00, reflecting a 13.2% increase over the past twelve months, although underperforming the S&P 500 by 6 percentage points [3] Fund Overview - The Invesco Water Resources ETF has an AUM of $2.09 billion and a dividend yield of 0.59% [4] - The fund's 1-year total return stands at 13.7% [4] - MMHP's total reportable U.S. equity assets were $209 million across 39 positions after the filing [3] Investment Strategy - The Invesco Water Resources ETF targets companies involved in water infrastructure, purification, and conservation solutions, utilizing a rules-based index methodology [7] - The ETF aims to track an index of companies developing products and technologies for water conservation and purification across various applications [8] - The fund maintains a diversified portfolio with at least 90% of assets invested in index constituents focused on water resources [8]

Core Insights - Royal Caribbean Cruises has distinguished itself as the second-largest cruise line by passenger volume, boasting a market cap of $80 billion, which is more than double that of its competitor Carnival [1] - The company has outperformed the S&P 500 over the past year, although it trades at the second-highest valuation in the industry, only surpassed by Viking Holdings [2] Company Performance - Royal Caribbean has largely recovered from the pandemic-related shutdowns of 2020 and 2021, achieving record load factors with a reported occupancy of 112% in Q3 2025 [3] - Bookings for 2026 are currently higher than those for 2025 at the same time last year, allowing the company to reduce discounts and positively impacting revenue, which reached nearly $14 billion for the first nine months of 2025, a 7% increase from 2024 [4] - The company has effectively managed cost and expense growth, resulting in a net income of $3.5 billion for the first three quarters of 2025, reflecting a 51% year-over-year increase [5] Financial Challenges - Royal Caribbean's reduced interest expenses are crucial as the company incurred significant debt during the COVID-19 pandemic, with current debt standing at nearly $20.8 billion, only slightly down from $21.4 billion a year ago [6] - The debt burden is substantial compared to the company's $10.3 billion in book value, but decreased interest payments due to debt repayments and refinancing efforts are favorable for its financial health [7] - Despite the ongoing debt concerns, the company has launched two new ships to meet high demand, and strong bookings continue to support its growth trajectory [8]

And right now we are 2 minutes away from the end of the trading day. Romaine Bostick alongside Katie Greifeld here to take you through to the closing bell with a global simulcast. We're joined now by Carol Massar and Tim Stenovec in the radio room.Welcome to our audiences across all of our Bloomberg platforms as we pass the most crucial moments going on in the world of finance. But we do want to start off the simulcast here with a note here about the world of politics. We're now learning based on a headline ...

Market Overview - The S&P 500 is up approximately 58-59 points, reflecting a gain of about 0.9% for the day, effectively erasing losses from earlier in the week and providing a weekly gain of about 0.1% [6][7] - The Dow Jones Industrial Average increased by about 182 points or 0.4%, but is still expected to finish the week in the red [8] - The Nasdaq gained over 320 points, translating to a 1.3% increase for the day, with similar performance noted for the Nasdaq 100 and Russell 2000 [5][8] Sector Performance - The technology sector outperformed, rising by more than 2%, contributing to the overall market rally [10] - Financials, industrials, and healthcare sectors also showed positive performance, while consumer discretionary, utilities, and real estate sectors experienced declines [10][11] Company Highlights - Carnival Corporation was the top gainer in the S&P 500, with a rise of about 9.8% after providing a better-than-expected profit outlook for the next year and reinstating dividend payments [12] - Oracle's shares increased by 6.9% following news of a joint venture with TikTok, which will involve a new independent entity focused on data protection and content moderation [14] - White Fiber, a small market cap company, announced a significant 10-year, 40-megawatt co-location agreement, although its stock is down about 5% since its IPO [15][17] - Nike's shares fell by 10.54% due to a warning of declining sales, particularly in Greater China and for its Converse brand [18][19] - KB Home shares dropped by 8.5% after reporting fiscal fourth-quarter profits that missed analyst expectations [22] Economic Context - The U.S. market has seen a resurgence in investor interest, with discussions around U.S. exceptionalism and performance compared to global markets [24][25] - The Bloomberg dollar spot index has decreased by about 8% this year, marking the worst performance since 2017, which may influence future market dynamics [28]

Group 1 - The article does not contain any relevant content regarding companies or industries [1][2][3][4][5][6]

Consumer Spending & Travel Industry Trends - The consumer is perceived as strong and expected to drive economic activity [1] - Discretionary spending is evident in travel bookings with companies like American Express booking United, Delta, and Marriott [1] - Carnival's performance is positive, with guidance for the next year at 248 streets versus 242 [2] - Southwest Airlines, Marriott, and Airbnb are experiencing upgrades month-to-date [3] - Viking Holdings' stock is up 59% this year, indicating strong performance in the cruise sector [5] Company Performance & Valuation - Carnival cruises are considered a value option [3] - Viking cruises cater to a wealthier demographic with no children allowed [4]