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Aug 19, 2015

U.S. Stocks Slump as Oil Plunges to New Lows: Wall Street at Close Report on August 19, 2015.

U.S. stocks slump as oil plunges to new lows

Mark DeCambre, Victor Reklaitis
U.S. stocks ended Wednesday’s session lower, as losses in the energy sector overshadowed the release of the minutes of the Federal Reserve’s policy-setting committee.
Shares of energy companies dropped sharply after oil futures plunged to a 6½-year low.
The benchmark S&P 500 SPX, -0.83%  closed 17.31 points, or 0.8%, lower at 2,079.61, with eight of its 10 main sectors finishing with losses. The benchmark index briefly fell below its 200-day moving average, a key technical level, which many analysts see as a bearish sign.

Alerta Señor Presidente Ollanta Humala Tasso.

 Alerta Señor Presidente Ollanta Humala Tasso
Para aquellos bancos abusivos  en Perú como Interbank Perú y su Socio en la Sombra Banco Ripley y otros, por sus fraudulentos estratagemas para engañar a vista y paciencia de los reguladores que hacen absolutamente nada para prevenir escandalosos fraudes, y con el propósito  de hacer decente la "Cosa Pública",  lo invito a leer tan sólo 1 artículo sobre las muchas alertas que la FTC produce diariamente demostrando decencia, honestidad y transparencia no sólo el  papel sino en la práctica
Fernando Guzmán Cavero
La versión en Español está disponible en el vínculo siguiente

Spotting Elder Financial Abuse: FTC Consumer Updates - August 19, 2015.

Federal Trade Commission Consumer Information
by Lisa Weintraub Schifferle

Attorney, Division of Consumer and Business Education, FTC

Financial abuse can be a devastating form of elder abuse. If you're concerned about an older friend or relative, here are some things to consider.

Read more >

Minutes of the Federal Open Market Committee, July 28-29, 2015: FRB Press Release - August 19, 2015.

Press Release

Release Date: August 19, 2015

The Federal Reserve Board and the Federal Open Market Committee on Wednesday released the attached minutes of the Committee meeting held on July 28-29, 2015.
The minutes for each regularly scheduled meeting of the Committee ordinarily are made available three weeks after the day of the policy decision and subsequently are published in the Board's Annual Report. The descriptions of economic and financial conditions contained in these minutes are based solely on the information that was available to the Committee at the time of the meeting.

FOMC minutes can be viewed on the Board's website at
For media inquiries, call 202-452-2955.
Minutes of the Federal Open Market Committee
July 28-29, 2015: HTML | PDF
Last update: August 19, 2015

Greenspan warns about bond-market bubble: MarketWatch - August 19, 2015.

Greenspan warns about bond-market bubble

Greg Robb
Senior economics reporter
Getty Images
Former Federal Reserve Chairman Alan Greenspan
Former Federal Reserve Chairman Alan Greenspan is sounding the alarm about a bubble that he believes is forming in the bond market.
In two television interviews in recent days, Greenspan said interest rates could shoot higher and derail the economy when the bubble bursts.
The former Fed chairman says the current situation in the bond market is comparable to what happens in the stock market during an equity bubble.
Noting that stock-market bubbles are typically characterized by extreme price-to-earnings ratios, Greenspan said extremely low yields are telling a similar tale for bonds.
“If you turn the bond market around and you look at the price of bonds relative to the interest received by those bonds, that looks very much like the usual spread which would concern us if it were equities, and we should be concerned,” Greenspan said in an interview with Fox Business Network.
In an earlier interview with Bloomberg Television, Greenspan said it was appropriate to be very afraid of the bubble. He said the bond market price-to-earnings ratio was at an “extraordinary unstable position.”
Greenspan said “normal” interest rates have always been in the 4% to 5% range.
Yields on the 10-year Treasury TMUBMUSD10Y, -1.73%   have been below 4% since the summer of 2008. The yield is up slightly to 2.217% in Wednesday morning’s trade.
TimeU.S. 10 Year Treasury Note20062008201020122014
“We have pressed the interest rates well below normal for a protracted period of time and the danger is they will come up to back up to where they have always been,” the former Fed chairman said.
“There are two possibilities. Either we move slowly back to normal, or we do it in a fairly aggressive manner. History tells us it’s the latter which tends to be more prevalent than the former,” Greenspan said.
The market impact will be “not good,” he said.
In an interview with MarketWatch last year, Greenspan said that when bubbles emerge, they take on a life of their own.
Read more: Greenspan says bubbles can’t be stopped without ‘crunch’

The Best of Guardian Opinion - August 19, 2015.

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The best of Guardian opinion
Wednesday 19 Aug 2015
Today's opinion articles More »

Europe Ends Sharply Lower Ahead of Fed Minutes: European Markets at Close Report on August 19, 2015.

Europe ends sharply lower ahead of Fed minutes

Arjun Kharpal, Alexandra Gibbs, Catherine Boyle
European markets ended sharply lower on Wednesday as investors awaited the minutes of the U.S. Federal Reserve's meeting last month and oil prices tumbled after U.S. EIA reported an unexpected rise in crude stockpiles.
The pan-European STOXX 600 closed down around 1.7 percent during the afternoon, with all major bourses down in excess of 1.5 percent.


FTSE FTSE 100 Index 6408.72
-117.57 -1.80% 545245327
DAX DAX Index 10682.73
-233.19 -2.14% 63731528
CAC 40 CAC 40 Index 4889.70
-81.55 -1.64% 70908640
IBEX 35 IBEX 35 Idx 10788.30
-109.60 -1.01% 169413551
London's FTSE 100 index and France's CAC were both down around 1.8 and 1.6 percent respectively, while Germany's DAX sank over 2 percent.

SEC Charges Citigroup Global Markets for Compliance and Surveillance Failures: SEC | Enforcement Action - August 19, 2015.

 SEC Seal
08/19/2015 10:55 AM EDT

The Securities and Exchange Commission today announced that Citigroup Global Markets has agreed to settle charges that it failed to enforce policies and procedures to prevent and detect securities transactions that could involve the misuse of material, nonpublic information.  The firm also failed to adopt and implement policies and procedures to prevent and detect principal transactions conducted by an affiliate.
Citigroup agreed to pay a $15 million penalty.

In Silicon Valley, Start-Up Recruiting Battles Heat Up: Bits | The Business of Technology on August 19, 2015:

 Wednesday, August 19, 2015
Daily Report
In Silicon Valley, Start-Up Recruiting Battles Heat Up | Recruiting top talent in Silicon Valley is always tough. But you know there's a boom under way when the hiring gets even tougher.
That's the situation these days as many Silicon Valley start-ups go on hiring sprees, often poaching from established tech companies to fill their ranks. Several top executives at larger tech companies have been lured to roles at up-and-coming start-ups in recent months, including

CPI for all items rises 0.1% in July as shelter index increases: BUreau of Labor Statistics (BLS) Press Release - August 19, 2015.

Bureau of Labor Statistics
The latest Consumer Price Index news release has been posted on the BLS website at and also archived at Highlights are below.

CPI for all items rises 0.1% in July as shelter index increases

On a seasonally adjusted basis, the Consumer Price Index for All Urban Consumers rose 0.1 percent in July after increasing 0.3 percent in June. The index for all items less food and energy rose 0.1 percent in July after rising 0.2 percent in June.

Vietnam devalues dong to protect exports, offset China's yuan action: GATA | THE GATA DSPATCH - 19, 2015.

Vietnam devalues dong to protect exports, offset China's yuan action

Submitted by cpowell on  Wednesday, August 19, 2015. By Ho Binh Minh
Wednesday, August 19, 2015

HANOI, Vietnam -- Vietnam devalued the dong for the third time this year on Wednesday as authorities sought to support a languid export sector facing fresh challenges from a surprise devaluation of the Chinese yuan.
The State Bank of Vietnam, the nation's central bank, also widened the dollar/dong trading band for the second time in a week, underscoring concerns a weaker yuan could further inflame a bloated trade deficit.
China, Vietnam's top trading partner, rattled global financial markets when it devalued its currency by nearly 2 percent on Aug. 11, heightening worries of a global currency war. ...

... For the remainder of the report:

Cash-strapped Venezuela may sell gold, Citigroup says: GATA | THE GATA DISPATCH - August 19, 2015.

Cash-strapped Venezuela may sell gold, Citigroup says

Submitted by cpowell on  Wednesday, August 19, 2015By Ranjeetha Pakiam
Bloomberg News
Wednesday, August 19, 2015

Countries facing cash shortages may be tempted to sell part of their gold reserves to raise funds, according to Citigroup Inc., which cited Venezuela as a potential example amid concern it may default.
The South American nation is one country that may be at risk of selling part of its holdings after oil fell and commodity prices weakened, analysts including David B. Wilson and Aakash Doshi, wrote in a report. Calls by Bloomberg to Venezuelas central bank and the media office at the finance ministry outside normal office hours werent answered. ...

... For the remainder of the report:

DealBook Today's Top Heeadlines - August 19, 2015:: China Keeps Investors Guessing | BNY Mellon Settles Intern Bribery Case | Promontory Financial Settles With Regulator | The WeChat of the West

Wednesday, August 19, 2015
CHINA KEEPS INVESTORS GUESSING China continues to enchant Wall Street, despite its tumultuous and uncertain nature, Alexandra Stevenson writes in DealBook. "You could be dead right in the thesis and you won't make money," said Troy Gayeski, a senior portfolio manager at SkyBridge Capital, an investment firm that has $9.4 billion invested in hedge funds.

Some of Wall Street's best-known investors were singing China's praises at the beginning of the year. As the market soared, many hedge funds rode the bull run, raking in profits and posting double-digit returns.

Upstarts Raid Giants for Talent in Silicon Valley : NYT Today's Headlines - August 19, 2015.

The New York Times

Wednesday, August 19, 2015

Top News
Samuel Harrell, who died while imprisoned at Fishkill Correctional Facility in Beacon, N.Y., with a niece. He died in April.
Prison Guard 'Beat Up Squad' Is Blamed in New York Inmate's Death


Samuel Harrell, an inmate at the Fishkill Correctional Facility in Beacon, N.Y., died in April after a fight with officers, records show. Other prisoners say the beating was not an isolated incident.
Mike Curtis, vice president for engineering at Airbnb, said new hires were drawn to the youth of the company, which was founded in 2008.
Upstarts Raid Giants for Talent in Silicon Valley


Unicorns, start-ups like Uber and Airbnb valued at $1 billion or more, are hiring people from the likes of Google, especially in fields like mapping.
Supporters held a photo of Mohammad Allan, the Palestinian hunger striker,  during a rally on Tuesday in southern Israel.
One Palestinian's Refusal to Eat Puts Israel in a Bind


The case has received extraordinary attention because it unfolded as Israel passed a law concerning the force-feeding of hunger strikers. 

The Guardian Media Briefing - August 19, 2015.

Media briefing
Wednesday 19 Aug 2015
Top stories on MediaGuardian More »

Corporation also said it would have to shut local radio stations if Treasury did not provide funds to offset the cost of free TV licences for over-75s, claims new book

U.S. stocks: Futures slip with Fed release on the horizon: U.S. Stock Market Future Indications - August 19, 2015.

U.S. stocks: Futures slip with Fed release on the horizon

Victor Reklaitis
U.S. stock futures pointed to a dip at the market’s open Wednesday, with buying subdued as traders wait for a key Federal Reserve release.
Investors also will digest a fresh reading on inflation, as well as quarterly results from big retailers like Target Corp. TGT, +1.67% Lowe’s Cos. Inc. LOW, +0.75%  and Staples Inc. SPLS, -0.56%  
S&P 500 futures ESU5, -0.28%  fell by 7.40 points, or almost 0.4%, to 2,086.50, while those for the Dow Jones Industrial Average YMU5, -0.38% shed 70 points, or 0.4%, to 17,412.
Nasdaq 100 futures NQU5, -0.28%  lost 17.50 points, or 0.4%, to 4,526.50.
On Tuesday, U.S. stocks closed with modest losses, as the Dow DJIA, -0.19% snapped a three-day winning streak.

Chinese stocks flip to gains after sharp losses earlier: Asian Markets at Close Report on August 19, 2015.

Chinese stocks flip to gains after sharp losses earlier

Chao Deng
A swift, steep drop in China shares flipped to gains Wednesday, the latest signal that Beijing won’t let the market fall too sharply before engineering a rescue.
The Shanghai Composite Index SHCOMP, +1.23% which fell as much as 5% earlier, ended up 1.2% at 3,794.11, and the smaller Shenzhen Composite 399106, +2.19%  gained 2.2% to 2,222.05. The startup-dominated ChiNext board gained 2.7% to 2,570.69.