Economic Impact - The euro area is withstanding Donald Trump's trade policies, according to Brussels officials [1]

Financial Data and Key Metrics Changes - West Fraser Timber Co. Ltd. reported an adjusted EBITDA of negative $144 million for Q3 2025, indicating continued operation within an extended cycle trough [3] - The lumber segment's adjusted EBITDA was negative $123 million, a significant decline from $15 million in Q2 2025, primarily due to lower pricing and a $67 million out-of-period duty expense [7] - Cash flow from operations was $58 million, with a net cash balance of $212 million, down from $310 million in the prior quarter [9] Business Line Data and Key Metrics Changes - The North America EWP segment posted negative $15 million in adjusted EBITDA for Q3 2025, down from $68 million in Q2, driven by lower OSB pricing [7] - The pulp and paper segment reported negative $6 million in adjusted EBITDA, compared to negative $1 million in the previous quarter, largely due to an annual maintenance shutdown [8] - The Europe business generated $1 million in adjusted EBITDA, similar to the $2 million reported in Q2 2025 [8] Market Data and Key Metrics Changes - U.S. housing starts averaged 1.31 million units annually through August, reflecting stable but uninspiring levels of new home construction [4] - The company noted subdued demand in repair and remodeling, continuing a trend observed in previous quarters [4] Company Strategy and Development Direction - The company is focused on maintaining a strong balance sheet and liquidity profile, allowing for countercyclical investments and opportunistic growth [5][11] - Actions taken include the permanent removal of 820 million board feet of capacity, representing approximately 12% of the company's lumber capacity, to create a more resilient business [11][12] - The company plans to continue managing its asset portfolio prudently while remaining flexible in its operating strategy to meet customer needs [12][14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the company's ability to navigate the challenging business environment, supported by a strong financial position [11] - The company is monitoring macroeconomic conditions and trade policies closely, indicating readiness to respond to changes in the market [15] - Despite a challenging year-to-year outlook, management remains optimistic about the longer-term prospects for the industry [16] Other Important Information - The U.S. Department of Commerce announced final CVD and ADD rates for AR6 at a combined rate of 26.5%, with West Fraser having the lowest duty rate in the Canadian industry [10] - A proclamation imposing Section 232 tariffs of 10% on imported softwood timber and lumber into the U.S. took effect on October 14, 2025 [10] Q&A Session Summary Question: Approach to managing production in lumber and North America OSB - Management highlighted actions taken early in the cycle, including mill closures and adjustments to shift configurations, to remain nimble in production management [18][19] Question: Implied Q4 operating rate for OSB - The implied operating rate for Q4 is expected to be around 80%, influenced by maintenance shutdowns during the weaker seasonal period [20][22] Question: M&A opportunities in the current down cycle - Management emphasized a quality-first approach to M&A, indicating that while there are opportunities, they remain selective and focused on enhancing the company's strength [23][24] Question: Federal support for the lumber industry - Management noted ongoing discussions with the government regarding support measures for the industry, although specific details were not provided [28][30] Question: Inventory levels in the U.S. channel - Management indicated that their inventory levels are intentionally lean, with customers purchasing as needed, but they do not have visibility into customer inventory levels [31][34] Question: Conditions in Canadian markets and competitor behavior - The Canadian market remains competitive, with no significant changes in demand or competitor behavior noted since the imposition of higher U.S. duties [46][47] Question: Capital expenditures outlook for 2026 - Management indicated that they will provide 2026 capital expenditure guidance in February, with a focus on operationalizing major projects completed in recent years [50] Question: State of the Caribou Pulp facility post-fire - The Caribou Pulp facility has been repaired and is back up and running, with positive signs of improvement in the European segment [51]

RT Bloomberg Live (@BloombergLive)The US retreat on climate and hard pivot to tariffs and trade policies is transforming risk and opportunity in the global climate economy. How must we navigate this new green economy?#BloombergGreen heads to Brazil for #COP30 November 4th.🌎https://t.co/5iD7g2J8hu https://t.co/jLLZIkoIYw ...

Core Viewpoint - The European Systemic Risk Board (ESRB) has raised concerns about the potential threats posed by stablecoins to financial stability, urging for immediate policy action to address vulnerabilities in multi-issuer stablecoin models [1][3][4] Group 1: Stablecoin Market Overview - The stablecoin market has grown significantly over the past five years, now valued at over $300 billion, with dollar-backed tokens dominating the sector, particularly Tether's USDT, which holds more than 58% market share [2] - Euro-backed stablecoins represent a minimal portion of the market, accounting for only 0.15% of the global total [2] Group 2: Regulatory Concerns and Recommendations - The ESRB highlighted vulnerabilities in "third country multi-issuer" stablecoin models, where EU-regulated issuers must maintain reserves locally while non-EU partners manage identical tokens backed abroad, creating potential risks during financial stress [3][4] - A recommendation to ban such multi-issuer models was endorsed by the ESRB, which, while non-binding, pressures EU authorities to consider restrictions or alternative protections [4] Group 3: Financial Stability Risks - Lagarde has drawn parallels between the risks associated with stablecoins and past banking crises, emphasizing the need for strong equivalence regimes and safeguards for cross-border transfers to prevent destabilization [5] - The ESRB has noted that elevated global financial risks, driven by investor optimism and high asset valuations, leave markets vulnerable to potential reversals [5][6] - Ongoing geopolitical tensions and changing trade policies are additional challenges impacting Europe's financial outlook, despite stress tests indicating resilience among European banks [6]

Argentina is importing beef as President Javier Milei’s currency and trade policies make it more affordable to source supplies abroad while local prices remain high https://t.co/LKfqHJS0qq ...

Core Viewpoint - Domino's Pizza is positioned to thrive despite the current trade policy environment, with no significant impact from tariffs noted in recent earnings calls [4][6]. Company Overview - Domino's Pizza operates over 21,300 locations in more than 90 global markets, making it the largest pizza company in the world [8]. - The company has a robust supply chain, with its own dough manufacturing facilities in the U.S. and Canada, and relies on a limited number of suppliers for key ingredients like cheese and meat [5]. Financial Performance - Over the past decade, Domino's stock has more than quadrupled, outperforming the S&P 500 with an approximate gain of 11% in 2025 [8]. - In Q2, the company added 178 stores globally, with 148 of those in international markets, indicating strong growth and expansion [9]. - Operating income increased by 14.8%, showcasing the company's financial resilience and growth potential [9]. Market Position - The company benefits from a significant advertising budget and a competitive advantage in its supply chain, which positions it well for sustained growth [7]. - Budget-conscious consumers may turn to Domino's for affordable dining options, potentially increasing sales as they cut back on more expensive restaurants [6]. Investment Interest - Warren Buffett's Berkshire Hathaway initiated a position in Domino's Pizza in Q3 2024 and increased its stake to 7.7% by the end of Q1 2025, highlighting investor confidence in the company [10][11].

Core Viewpoint - JPMorgan CEO Jamie Dimon expressed concerns that President Trump's trade policies, particularly tariffs, pose significant risks to the US economy, despite the bank's strong second quarter profits driven by its trading desk [1][5]. Economic Outlook - The US economy showed resilience in the quarter, with positive impacts from tax reform and potential deregulation, according to Dimon [2]. - However, significant risks remain, including tariffs, trade uncertainty, worsening geopolitical conditions, high fiscal deficits, and elevated asset prices [3]. Financial Performance - JPMorgan reported a net income of $15 billion for the quarter, a decrease of 17% compared to the same period last year, primarily due to a one-off $8 billion gain from its stake in Visa [3]. - The bank's second quarter profits amounted to $5.24 per share, surpassing analysts' forecasts of $4.48 per share [4].

Trade Tensions and Tariffs - President Trump's threat of a 35% tariff on some Canadian goods and a baseline of 15-20% on other countries is causing market volatility [1][2] - China criticizes the U S over its trade policies, accusing Washington of abusing tariffs [1] - Markets appear relatively relaxed despite tariff headlines, with the S&P 500 pointing lower by two-tenths of 1% [2][3] - A 35% tariff on Canada may not be as impactful as it seems, as much of the trade is covered by the USMCA [5][10] - The market may be becoming desensitized or complacent to the massive number of tariff headlines [6] - A baseline tariff of 20% would effectively double the economic damage expected by markets and economists [14] Market Sentiment and Risk Assessment - Jamie Dimon warns that markets are complacent on Trump's tariff agenda [1][18] - Implied volatility is low, suggesting the market is not pricing in risk from extreme volatility [7] - The market's ability to "buy the dip" after sell-offs is a conundrum for investors [8][9] - Equity markets may be trading off of earnings outlook and inflation data rather than tariff threats [20][21] Federal Reserve and Inflation - The Federal Reserve (FED) officials are divided on how the tariff impact shows up and how long it will persist [27] - Jamie Dimon anticipates firmer inflation due to tariffs, giving the FED a 40-50% chance of hiking [22][23] - The FED minutes solidify that most FED members are worried about persistent inflation from tariffs [27] Geopolitical Implications - China opposes unilateral tariffs and believes ASEAN countries will resist unilateralism [32][33] - China is willing to work with Vietnam to safeguard the legitimate interests of all countries [34] - The U S and China are vying for influence in Southeast Asia [36]

European vehicle makers are feeling the pain of President Donald Trump’s trade policies: Here's your Evening Briefing https://t.co/g8RNPHbhO5 ...

Market Outlook - Daimler Truck expects US orders to remain at "extremely" low levels due to uncertainty over President Trump's trade policies [1] - Freight volumes need to recover for US orders to improve [1]