🥗 Klarna’s on a crash diet

Klarna’s determined to put its losses behind it | Covid played havoc with Chinese business | [TOGETHER WITH]( Hi {NAME}, here's what you need to know for December 1st in 3:07 minutes. 🌳 Let’s not beat around the bush: the UK’s been through the wringer lately. All the more reason to join BlackRock’s experts for [Finding Opportunities In A Challenging Market]( this Friday and learn how some of the best minds in the business are gearing up for the year ahead. [Grab your free ticket]( *UK investors only Today's big stories - Klarna said it's hoping to become profitable again next year - Here’s how you can prepare for the global recession that abrdn's predicting – [Read Now]( - Data showed China’s economy has headed further into the doldrums Klarna’s Cutting Down [Klarna’s Cutting Down] What’s Going On Here? Buy-now-pay-later (BNPL) firm Klarna is still shedding cash, but it said on Wednesday that it’s getting closer to turning a profit. What Does This Mean? Klarna was the darling of Europe’s tech startup space not long ago, showered with praise and funding alike – but how the mighty have fallen. The global economy’s hit a rut now, and capricious investors have fixed their attention on companies that can actually turn a profit. And Klarna doesn’t, which could be why the firm’s valuation plunged from $46 billion to $7 billion in July. Since then, Klarna’s been proving skeptics right, racking up a $200 million loss last quarter, twice the sum at the same time last year. Now, though, Klarna’s determined to turn things around: the firm bid farewell to 10% of its staff back in May, and it's tightening up the conditions of the loans it offers. With a little luck, it’s hoping those moves will see it turning a profit again within a year. Why Should I Care? Zooming in: Grand ambitions. Cutting costs is just one way Klarna’s trying to make up ground. The other is by tapping into revenue streams beyond the BNPL space it sprang from. Case in point: the firm recently [rolled]( out a new price-comparison tool, built on its $1 billion purchase of PriceRunner last year. That’s one step in the firm’s plans to turn Klarna into a one-stop-shop for online bargains, rivaling similar services offered by Google and Amazon. Zooming out: Inflation steps off the gas. Inflation has doled out nothing but suffering to most firms, but it’s probably been kind enough to Klarna: after all, quick online loans can be handy for hard-up shoppers waiting on their next paycheck. But now there are signs that inflation’s easing in Europe, [falling]( to a lower-than-expected 10% in November versus the same time last year – the first time the metric’s decreased in a full 17 months. You might also like: [Three reasons not to forsake Europe just yet.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Klarna’s Cutting Down&utm_campaign=daily-global-01-12-2022&utm_source=email) Analyst Take abrdn Sees The World On The Brink Of Recession [abrdn Sees The World On The Brink Of Recession]( [Photo of Stéphane Renevier] Stéphane Renevier, Analyst Economists [at abrdn]( see the global economy teetering on [the precipice of a recession]( – and they say the investing world might not be ready for it. They reckon the market’s been underestimating the [potential depth and severity]( of the slowdown that’s coming. In their 2023 outlook, they outline their [base-case forecast]( and the outcomes they view as less likely. That’s today’s Insight: [what abrdn sees coming and how you can prepare for it.]( [Read or listen to the Insight here]( Finimize x Revolut Pretty good stuff, right? Our analysts write Insights like this every day, and you can read every single one of them with [Finimize Premium](. There’s no better time to get started: our new partnership means you can get [six free months of Finimize Premium]( and [three free months of Revolut Premium]( if you [sign up for Revolut today](. We’ll even send you £10 (or equivalent) to your Revolut account to get you started. SPONSORED BY KULR Lithium could be heading out of this world With the world aiming at a greener future, industries everywhere have been casting around for safe, efficient ways to power technology. At last, one firm may have landed on better lithium. [KULR]( (NYSE:KULR) is a sustainability tech company that’s just licensed a new technology, co-developed with NASA. And it could be [a game-changer for green tech](, making the lithium-ion batteries that power the industry [dependable, effective, and safe](. Investing in KULR means backing the firm in [sweeping aside old, flammable batteries]( – a problem that’s long kept EV manufacturers up at night. [Check out tech’s safer future.]( [Find Out More]( Disclaimer This content is for US investors only, if you are not a US investor please ignore this content. This content is a paid advertisement for KULR (NYSE: KULR) from Sideways Frequency and Finimize. This is not Finimize editorial content. Finimize received a fixed fee for producing, hosting and promoting this content on behalf of KULR, totalling $5,000. Other than the compensation received for this service, Finimize and its principals are not affiliated with either Sideways Frequency or KULR. Finimize and its principals have no ownership in KULR. The content on this page should not be taken as advice, an endorsement, or a recommendation from Finimize and its principals to buy or sell any security. Finimize and its principals have not evaluated the accuracy of any claims made on this page. Finimize and its principals recommend that investors do their own independent research and consult with a qualified investment professional before buying or selling any security. Investing is inherently risky and capital is at risk. Past performance is not indicative of future results. Unpopular And Ailing [Unpopular And Ailing] What’s Going On Here? Data out on Wednesday [showed]( that China’s economic activity slowed even further last month, as Covid infections and restrictions played havoc with industry. What Does This Mean? Irate citizens are just one result of China’s ongoing restrictions: business has also taken quite a bruising. Over half of Chinese firms reported Covid cases in the workforce last month, as November’s infections [hit]( an all-time high. And with the country’s uber-strict Covid rules still in force, it’s no surprise that’s sapping manufacturing: gauges measuring raw material stock, new orders, and employment all shrank in November, taking the overall activity reading for the sector to the lowest since April. And the results in other areas, like services and construction, didn’t make for pleasant reading either, notching up shiver-inducing contractions of their own. Why Should I Care? Zooming in: Lower your expectations. This data will be another blow to the Chinese government, which was once counting on economic growth of 5.5% this year. Economists at Bloomberg now reckon the figure will be more like 3% – and this week the International Monetary Fund warned that it may have to cut its 3.2% prediction even further. But experts are hopeful the government will beef up economic stimulus in response, including cutting interest rates, to offset some damage and help spur a recovery. The bigger picture: Or just relax. The Chinese government could always just ease up on its zero-Covid stance, of course – a path it already seems to be taking in manufacturing-heavy Guangzhou. On Wednesday authorities relaxed restrictions in about half of the region’s districts, despite Covid cases numbering in the thousands. And the uncharacteristic move has caught the eye of investors: it seems they’re hoping this signals a tactical pivot, which might be why a key index tracking Chinese stocks in Hong Kong jumped 2%, to close out November with its biggest monthly rise in 19 years. You might also like: [China’s economy isn’t growing like it used to, but it could still be time to buy the country’s stocks.]( Copy to share story: [( 🙋 [Ask a question](mailto:questions@finimize.com?body=Ask us a question: Where are you writing from? Let us know and we'll mention it when we reply.&noapp=true&subject=Unpopular And Ailing&utm_campaign=daily-global-01-12-2022&utm_source=email) 💬 Quote of the day “Life is pain, anyone who says differently is selling something.” – William Goldman (an American writer) [Tweet this]( SPONSORED BY KULR KULR’s leading the EV vanguard The NASA-backed sustainable tech company KULR seems to be making strides. It looks like the firm could be [leading the charge]( for secure safety testing in the EV industry, which has been dogged by faulty, old-hat lithium-ion batteries for far too long. And now, in an electrifying development, it’s now set to [provide safety tech]( to the biggest auto manufacturer in the US. You can still get in early on [KULR’s new partnership](: its shares are listed on the NYSE (ticker: KULR), so grabbing a slice of the pie couldn’t be simpler. [Discover the EV industry’s new driving force.]( [Learn More]( Disclaimer This content is for US investors only, if you are not a US investor please ignore this content. This content is a paid advertisement for KULR (NYSE: KULR) from Sideways Frequency and Finimize. This is not Finimize editorial content. Finimize received a fixed fee for producing, hosting and promoting this content on behalf of KULR, totalling $5,000. Other than the compensation received for this service, Finimize and its principals are not affiliated with either Sideways Frequency or KULR. Finimize and its principals have no ownership in KULR. The content on this page should not be taken as advice, an endorsement, or a recommendation from Finimize and its principals to buy or sell any security. Finimize and its principals have not evaluated the accuracy of any claims made on this page. Finimize and its principals recommend that investors do their own independent research and consult with a qualified investment professional before buying or selling any security. Investing is inherently risky and capital is at risk. Past performance is not indicative of future results. When you support our sponsors, you support us. Thanks for that. 🌍 Finimize Live 🥳 Coming Up Soon… All events in UK time. 🌍 [Finding Opportunities In A Challenging Market With BlackRock](: 1pm, December 2nd 🇦🇪 [The Modern Investor Opening Party In Dubai](: 6pm, December 6th 🎉 [Modern Investor Summit](: 12pm, December 6th and 7th 🌱 [The Best Vegan Stocks To Buy In 2023](: 3pm, December 9th ♻️ [Green Energy Could Be A Better Investment Than Oil](: 5.30pm, December 12th ✍️ [How To Protect Your Crypto In 2023](: 11am, December 14th 🥂 [The Best Luxury Stocks To Buy In 2023](: 5pm, December 15th 🎯 On Our Radar - You’ve been exposed. 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