Become a Better Investor Newsletter – 7 March 2026
Noteworthy this week
- Thailand and Korea hit by rising oil prices
- Some Asian markets have very low oil reserves
- Hormuz isn’t just about oil
- Oil prices above US$100/bbl correct themselves
- BYD sees massive sales drop
Thailand and Korea hit by rising oil prices: In Asia, Thailand and South Korea have the highest GDP exposure to imported oil, so the volatility in their markets reflects fears about how that will play out.
In Asia, Thailand and South Korea have the highest GDP exposure to imported oil & so the violence today in Korea and Thai markets reflects fear how that will play out.
Note that this is negative for Asia in general but some more than others. The first shock is energy, next comes…
— Trinh (@Trinhnomics) March 4, 2026
Some Asian markets have very low oil reserves: Across Asia, reserves range from more than 250 days in some countries to just a few weeks in others.
How many days of oil does Asia have in reserve?
Across Asia, reserves range from more than 250 days in some countries to just a few weeks in others. In times of geopolitical tension, energy security is firmly back in focus. #KhaosodEnglish pic.twitter.com/SI9LlIfV1i
— Khaosod English (@KhaosodEnglish) March 4, 2026
Hormuz isn’t just about oil: It’s a chokepoint for fertilizer inputs. Energy shock → fertilizer shock → food shock.
Hormuz isn’t just about oil.
It’s a chokepoint for fertilizer inputs, notes @kadmitriev
~44% of global sulfur
~31% of urea
~18% of ammonia
~15% of phosphates
Disrupt those flows and agriculture feels it next.
Energy shock → fertilizer shock → food shock.#Hormuz #Fertilizer… https://t.co/Ob23toE1ve— Art Berman (@aeberman12) March 3, 2026
Oil prices above US$100/bbl correct themselves: The relationship between oil prices and production costs is endogenous, in that higher prices incentivize drilling higher-cost wells. Oil prices above US$100/bbl would incentivize so much new production that prices would eventually fall back.
The US has become the marginal price setter for oil. The chart below shows that 5-year WTI futures prices have basically tracked shale producers’ breakeven costs.
The relationship between oil prices and production costs is endogenous in the sense that higher prices incentivize… pic.twitter.com/akVR4VigTw
— Peter Berezin (@PeterBerezinBCA) March 4, 2026
BYD sees massive sales drop: BYD is currently running at below 50% capacity, and sales dropped 36% on a apples-to-apples basis.
I’ve never seen a more rapid sales collapse outside a severe ecnomic recession. BYD is currently running at below 50% capacity and sales dropped 36% on a apples-to-apples basis.
The trailing 2-months sales rate, which removes the effects of Lunar New Year, is down 36%!
Chart… pic.twitter.com/jA8bWOTOGJ
— AJ Investment Research (@alojoh) March 2, 2026
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Podcasts we listened to this week
The Psychology of Power | Michael Ovitz – The Knowledge Project
“You’ll learn how to build momentum, tell the truth without hesitation, read for context instead of noise, hire people who raise the standard, and package ideas into outcomes.”
Readings this week
The Concentration Game: Understanding Portfolio Effects of U.S. Equity Market Concentration
“In recent years, breakthroughs in tech and artificial intelligence have helped drive notably strong performance in a handful of mega cap stocks. This increase in equity market concentration has coincided with a decline in the risk‑adjusted performance of many actively managed portfolios.
To understand this dynamic, we consider the impact of concentration on overall equity portfolio risk and the potential to generate positive active returns. While concentration can challenge common approaches to managing risk and producing alpha, understanding concentration’s underlying drivers may allow investors to adjust their processes to better account for its effects.”
Book recommendation
The Decadent Society: How We Became the Victims of Our Own Success by Ross Gregory Douthat
“The Decadent Society explains what happens when a powerful society ceases advancing—how the combination of wealth and technological proficiency with economic stagnation, political stalemate, and demographic decline creates a unique civilizational crisis.”
Get the book on Audible or Kindle.
Audible is great; have you tried it? If not, click here to get 2 books for free.
Memes of the week
Don’t hate me for losing your money.
Thank me for generating capital losses for you. pic.twitter.com/Ull50TWQRY
— Austin Rief ☕️ (@austin_rief) March 4, 2026
— Not Jerome Powell (@alifarhat79) March 4, 2026
Published on Become a Better Investor this week
Tonghua Golden-Horse Pharmaceutical Industry Company Limited (000766 SZ): Profitable Growth rank of 7 was up compared to the prior period’s 8th rank. This is below average performance compared to 340 medium Health Care companies worldwide.
Read Tonghua Golden-Horse Pharmaceutical Industry – World Class Benchmarking
Nutrition SC Public Company Limited (NTSC TB): Profitable Growth rank of 2 was up compared to the prior period’s 4th rank. This is World Class performance compared to 300 small Cons. Staples companies worldwide.
Read Nutrition SC – World Class Benchmarking
Sikarin Public Company Limited (SKR TB): Profitable Growth rank of 5 was same compared to the prior period’s 5th rank. This is average performance compared to 350 medium Health Care companies worldwide.
Read Sikarin – World Class Benchmarking
Advanced Information Technology Public Company Limited (AIT TB): Profitable Growth rank of 3 was same compared to the prior period’s 3rd rank. This is above average performance compared to 750 medium Info Tech companies worldwide.
Read Advanced Information Technology – World Class Benchmarking
In February 2026, we published 1 new episode of the My Worst Investment Ever podcast. Listen to all of them here.
Listen to My Worst Investment Ever February 2026
DISCLAIMER: This content is for information purposes only. It is not intended to be investment advice. Readers should not consider statements made by the author(s) as formal recommendations and should consult their financial advisor before making any investment decisions. While the information provided is believed to be accurate, it may include errors or inaccuracies. The author(s) cannot be held liable for any actions taken as a result of reading this article.