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Showing posts from May, 2019

Market Insider | Stocks making the biggest moves premarket: Ford, GM, Uber, Gap, Costco, Ulta, Dell & more

Peter Schacknow 4 minutes Check out the companies making headlines before the bell: Big Lots – The discount retailer reported adjusted quarterly earnings of 92 cents per share, compared to a consensus estimate of 70 cents a share. Revenue was slightly above forecasts, although comparable-store sales were up a less-than-expected 1.5%. Big Lots also raised its full-year profit forecast. Genesco – The apparel and accessories retailer earned an adjusted 33 cents per share for its latest quarter, well above the consensus estimate of 4 cents a share. Revenue beat forecasts as well, and a comparable-store sales increase of 5% beat the 0.6% consensus of analysts polled by Refinitiv. Ford Motor , General Motors – These and other auto stocks are falling this morning following President Donald Trump's threat to impose tariffs on Mexican imports. GM is the largest automaker in Mexico with 14 plants, among the companies taking advantag

News | Market News | Boost Mobile Deal: Amazon Said Access to Spectrum Essential

By Deborah DSouza Updated May 31, 2019 4 minutes The latest news report about Amazon.com Inc. ( AMZN ) has left ordinary investors and industry experts equally puzzled. According to two unnamed sources speaking with Reuters , the e-commerce giant is interested in buying prepaid cellphone wireless service Boost Mobile from U.S. carriers T-Mobile US Inc. ( TMUS ) and Sprint Corp. ( S ). A source added that the main reasons Amazon is considering a deal is because it can then use the combined company's (T-Mobile and Sprint are seeking regulatory approval for a merger) wireless network for at least six years and buy any wireless spectrum divested. Boost is one of many mobile virtual network operators (MVNOs) reliant on Sprint, meaning it is a carrier that doesn't own any network infrastructure or spectrum licenses and resells minutes it buys wholesale from mobile network operators (MNOs). It has 7 million to 8 million custome

DealBook Briefing | Trump Makes a Huge Economic Gamble on Immigration

1 minute A Honda car plant in Celaya, Mexico. CreditEduardo Verdugo/Associated Press Image A Honda car plant in Celaya, Mexico. CreditCreditEduardo Verdugo/Associated Press Good Friday. (Want this by email? Sign up here .) Trump brings tariffs to his immigration fight President Trump plans to impose a 5 percent tariff on all imported goods from Mexico starting June 10, then “gradually increase” it until the flow of undocumented immigrants across the border into the U.S. stops , the NYT reports. • “Tariffs would be raised to 10 percent on July 1 ‘if the crisis persists,’ and then by an additional 5 percent each month for three months.” Source: NYT

BBC Newsnight Video | Helle Thorning-Schmidt: 'There is still a role for social democracy'

Economics | You Can Still Buy a House With Gold Bars in Vietnam

By John Boudreau and Nguyen Dieu Tu Uyen 7-9 minutes Vietnamese use gold bars to buy everything from homes to motorbikes - and save them for retirement. Photographer: Maika Elan/Bloomberg Vietnam may be one of the world’s fastest-growing economies, yet it’s still in the dark ages when it comes to joining the global trend toward cashless transactions. To understand why, look no further than to consumers like Tran Van Nhan, who recently bought his two-bedroom home in Hanoi with gold and a sack of cash. “We paid almost half in gold bars and the rest in cash,” Nhan, a 47-year-old shopkeeper, said of his new $138,000 condo. “We did that because we and the flat’s owner didn’t want to do a ba

World News | China says hopes Canada understands consequences of siding with U.S.

Reuters Editorial 3 minutes BEIJING (Reuters) - China hopes Canada understands the consequences of siding with the United States and doing its bidding, China’s foreign ministry said on Friday, after U.S. Vice President Mike Pence called for the release of two Canadians detained in China. FILE PHOTO: Picture of Canadian and Chinese flags taken prior to the meeting with Canada's Prime Minister Justin Trudeau and China's President Xi Jinping at the Diaoyutai State Guesthouse on December 5, 2017, in Beijing. Fred Dufour/Pool via REUTERS/File Photo Chinese authorities detained Canadian businessman Michael Spavor and former diplomat Michael Kovrig in December, shortly after Canada arrested China-based Huawei Technologies Co Ltd’s Chief Financial Officer, Meng Wanzhou, on a U.S. warrant. She faces extradition to the United States on charges she conspired to defraud global banks about Huawei’s relationship with a company operati

World News | North Korea executes envoy in a purge after failed U.S. summit: media

Hyonhee Shin 6-7 minutes SEOUL (Reuters) - North Korea executed its nuclear envoy to the United States as part of a purge of officials who steered negotiations for a failed summit between leader Kim Jong Un and U.S. President Donald Trump, a South Korean newspaper said on Friday. Kim Hyok Chol was executed in March at Mirim Airport in Pyongyang, along with four foreign ministry executives after they were all charged with spying for the United States, the Chosun Ilbo reported, citing an unidentified source with knowledge of the situation. “He was accused of spying for the United States for poorly reporting on the negotiations without properly grasping U.S. intentions,” the source was quoted as saying. The February summit in the Vietnamese capital of Hanoi, the second between Kim and Trump, failed to reach a deal because of conflicts over U.S. calls for complete denuclearization of the Korean peninsula and North Korean demands for

World News | North Korea executes envoy in a purge after failed U.S. summit: media Originally published on May 30, 2019

Hyonhee Shin SEOUL (Reuters) - North Korea executed its nuclear envoy to the United States as part of a purge of officials who steered negotiations for a failed summit between leader Kim Jong Un and U.S. President Donald Trump, a South Korean newspaper said on Friday. Kim Hyok Chol was executed in March at Mirim Airport in Pyongyang, along with four foreign ministry executives after they were all charged with spying for the United States, the Chosun Ilbo reported, citing an unidentified source with knowledge of the situation. “He was accused of spying for the United States for poorly reporting on the negotiations without properly grasping U.S. intentions,” the source was quoted as saying. The February summit in the Vietnamese capital of Hanoi, the second between Kim and Trump, failed to reach a deal because of conflicts over U.S. calls for complete denuclearization of the Korean peninsula and North Korean demands for sanctions relief. Reuters was unab

Hot Topics | | Bond yields are back at record lows – why are investors so scared?

By: John Stepek 6-8 minutes Donald Trump’s latest tariffs on Mexican goods have increased the risk of a protectionist spiral Every day, MoneyWeek's executive editor John Stepek and guest contributors explain how current economic and political developments are affecting the markets and your wealth, and give you pointers on how you can profit. Sign up free here . In July 2016, bond yields across the globe hit what I thought would prove to be their nadir. It seems that I was wrong. The yield on ten-year German bunds has, almost literally as I type this, slid below the depths it last plumbed in the wake of the Brexit vote. So what’s going on? Germany is particularly vulnerable to a global trade crash In July 2016, the ten-year German bund yield fell to negative 0.19%. In other words, investors were paying the German government for the privilege of lending to it (to be fair, investors in Swiss debt were paying

Immigration | Trump says U.S. to impose 5 percent tariff on all Mexican imports beginning June 10 in dramatic escalation of border clash

By Damian Paletta , Damian Paletta Reporter covering economic policy Email Bio Follow 10-12 minutes President Trump on Thursday said he would impose a 5 percent tariff on all goods entering from Mexico unless it stopped the flow of illegal immigration to the United States, a dramatic escalation of his border threats that could have sweeping implications for both economies. The White House plans to begin levying the import penalties on June 10 and ratchet the penalties higher if the migrant flow isn’t halted. Trump said he would remove the tariffs only if all illegal migration across the border ceased, though other White House officials said they would be looking only for Mexico to take major action. After the 5 percent tariffs are imposed on June 10, the White House said it would increase the penalties to 10 percent on July 1 and then an additional 5 percent on the first day of each month for three months. The tariff

Business | Markets slide as Trump reignites trade worries with surprise tariffs on Mexico

Telegraph Reporters 31 May 2019 • 9:05am 5-6 minutes US to impose 5pc tariff on all Mexican goods from June 10 FTSE 100 falls 0.8pc in early trade Pound sinks to five-month low Asian stock markets slide Brent crude falls more than 1pc to $65.97 London's main stock index fell almost 1pc on Friday after US President Donald Trump's threat of tariffs on Mexico and disappointing manufacturing data from China focused minds on the threat of a global downturn. The FTSE 100 shed 0.8pc and the mid-cap FTSE 250 fell 0.9pc in early trade. Both indices are on course for their first monthly falls this year, down 3.5pc and 4.5pc respectively since the start of May. Data on Friday showed China's factory activity shrank more than expected in May, another stark reminder of the economic ramifications of the Sino-US trade dispute. Combined with Mr Trump's Mexican standoff, that led London's indices of financial stocks

US Market | Futures Indication | Dow is set to sink more than 250 points after Trump shocks markets with tariffs on Mexican imports

Sam Meredith, Eustance Huang 2 minutes U.S. stock index futures were sharply lower Friday morning, as investors feared President Donald Trump’s threat of tariffs on all Mexico imports exacerbated the risk of recession. Around 5:30 a.m. ET, Dow futures indicated a negative open of more than 250 points. Futures on the S&P and Nasdaq were both seen sharply lower. Market participants moved aggressively to price in deeper rate cuts by the Federal Reserve over the coming months, while the closely watched 10-year Treasury yield dropped to lows not seen since 2017. The U.S. benchmark was yielding 2.161% Friday morning. It was above 2.5% at the beginning of the month. On Thursday evening, Trump announced the U.S. would impose a 5% tariff on all Mexican imports from June 10 until illegal immigration across the southern border was stopped. The White House added in a statement that tariffs would be raised if the immigration issue persisted

Asia | Asia Markets Closing Report on Friday 31, May 2019 | Asia stocks mixed as Chinese economic data disappoints; automakers tumble

Eustance Huang 4-5 minutes Stocks in Asia were mixed on Friday as China’s manufacturing data fell below analysts’ expectations. Japan’s Nikkei 225 slipped 1.63% to close at 20,601.19, while the Topix index also dropped 1.29% to finish its trading day at 1,512.28. Mainland Chinese stocks were lower on the day, with the Shenzhen component slipping 0.23% to 8,922.69 and the Shanghai composite was declining 0.24% to 2,898.70. The Shenzhen composite was largely flat at 1,531.86. Over in Australia, the ASX 200 rose fractionally to close at 6,396.90, while South Korea’s Kospi rose 0.14% to end the trading week at 2,041.74. In Hong Kong, the Hang Seng index shed earlier gains to slip around 0.7%, as of its final hour of trading. The moves in the region came as China’s manufacturing activity declined more than expected in May . The official manufacturing Purchasing Managers’ Index (PMI) for May came in at 49.4, versus expectations of 49.9 by

US Market | Wall Street Closing Report on Tuesday 30, May, 2019 | Stocks rise slightly, but trade and economy worries persist

Fred Imbert 3-4 minutes Stocks gave back their earlier gains on Thursday as Treasury yields reversed course to trade lower on the day as fears of a global economic slowdown persisted. The Dow Jones Industrial Average traded 46 points lower while the S&P 500 dipped 0.2%. The Nasdaq Composite also dipped 0.2%. The three major averages traded higher earlier in the day. Stock benchmarks traded into the red around the same time the 10-year Treasury yield went negative. The yield fell to 2.227%, near 20-month lows. The 10-year yield entered May trading above 2.5%. Plunging yields this month, along with a yield curve inversion, have raised concerns about slowing economic growth. Investors typically see bonds as a safer alternative to riskier assets when economic worries arise. “It definitely points to slower growth. That’s the primary driver right now in this risk-off environment we’ve experienced in the month of May,” said Ry

FX | Currencies | Dollar flat, poised for fourth month of gains

3 minutes A trader shows U.S. dollar notes at a currency exchange booth. Akhtar Soomro | Reuters The dollar was flat on Thursday, on track to post a fourth straight month of gains, as the trade stand-off between China and the United States prompted traders to put money into perceived safe currencies including the greenback. Safe-haven demand lifted the dollar to a two-year high against a basket of currencies last week. Appetite for the greenback was somewhat curbed on Thursday as Wall Street stabilized following steep losses due to the trade worries. The euro and sterling holding above key support levels at $1.11 and $1.26, respectively, also restrained the greenback’s momentum, analysts said. “The dollar is getting tired at these levels,” said Dean Popplewell, chief currency strategist at Oanda. “Some people want to take off some of these positions before June.” At 1:00 p.m., an index that tracks the dollar against six major curre