Reported 29 days ago
Nippon Steel's vice-chair, Takahiro Mori, is set to meet senior U.S. officials in Washington in a last-ditch effort to rescue the proposed $14.9 billion acquisition of U.S. Steel. The deal faces scrutiny from the Committee on Foreign Investment in the U.S. (CFIUS) due to national security concerns related to steel supply, with bipartisan opposition from lawmakers including Vice President Kamala Harris and former President Donald Trump.
Source: YAHOO
Reported 29 days ago
Nike shareholders voted against a proposal aimed at enhancing workers' rights in high-risk countries during the recent annual meeting. The proposal, supported by a group of investors including Domini Impact Equity Fund, sought binding agreements with supply chain workers to address human rights concerns. This follows a previous attempt that was similarly rejected last year, with Nike's board recommending against the measures, stating it has established sufficient controls for labor issues in its supply chain.
Source: YAHOO
Reported 29 days ago
Delta Air Lines reported that one of its planes collided with a regional jet's tail while taxiing at Atlanta airport, causing damage to both aircraft. The incident, involving a Delta Airbus A350 and an Endeavor Air CRJ-900, occurred around 10:10 a.m. ET, with no serious injuries reported among passengers. The FAA is investigating the incident as concerns about aviation safety and near-miss situations have intensified. Delta's actions come in light of recent calls for improved technology to avoid such collisions.
Source: YAHOO
Reported 29 days ago
Data from Societe Generale reveals that trend-following hedge funds suffered significant losses in August due to unsuccessful bets on the New Zealand dollar and Japanese assets amid extreme market volatility. While these funds typically employ strategies to capitalize on price movements, many ended August with negative performance, notably those at Eclipse Capital and Drury Capital, despite a return to record highs in global stocks later in the month.
Source: YAHOO
Reported 29 days ago
Lucid Motors CEO Peter Rawlinson, at the company's Technology & Manufacturing Day, emphasized Lucid's cost-effective electric vehicle technology and upcoming models, including the Gravity SUV, which is set for release in late 2024. He highlighted significant cost efficiencies in Lucid’s drive units and batteries compared to competitors, despite the company's recent losses. With record sales in 2024 already surpassing the previous year's total, Rawlinson is confident in a long-term strategy that positions Lucid alongside industry giants like Tesla and Amazon, especially with plans for a new midsize SUV aimed to go head-to-head with popular models.
Source: YAHOO
Reported 29 days ago
Commerzbank's CEO Manfred Knof has announced he will not extend his contract, prompting the bank to seek a replacement as the German government begins to reduce its stake from 16.5% to 12%. Knof, who led the bank to significant profits and stock growth, informed the board that he won't remain past next year. The transition for leadership comes during a critical financial restructuring for the bank, known for its focus on digitalization and serving large corporations.
Source: YAHOO
Reported 29 days ago
Tropical Storm Francine is expected to make landfall in Louisiana as a hurricane on Wednesday, prompting Gulf Coast ports to closely monitor the situation. With life-threatening storm surge and significant rainfall predicted, the Port of New Orleans remains operational while other ports, like Galveston, have suspended vessel traffic. Louisiana Governor Jeff Landry has declared a state of emergency in response to the storm's potential impact on various industries.
Source: YAHOO
Reported 29 days ago
The board of Petroperu, the state-owned oil company of Peru, has resigned due to a prolonged liquidity crisis and lack of government action on its financial future. They called for urgent decisions on either a bailout or bankruptcy, citing the company's unsustainable financial situation largely caused by overruns and delays in a major refinery project. Despite their resignation, the government has yet to indicate a clear direction for the troubled company.
Source: YAHOO
Reported 29 days ago
Morgan Stanley anticipates that mergers, acquisitions, and initial public offerings will continue to lag behind trends until the end of 2024. Co-president Dan Simkowitz indicated that the market may see increased activity next year as central banks lower interest rates, which could pressure private equity firms to resume deal-making. The bank also expects modest declines in net interest income for the third quarter, while emphasizing growth potential in private markets.
Source: YAHOO
Reported 29 days ago
Federal Reserve Vice Chair Michael Barr presented significant revisions to banking capital rules after notable pushback from the industry, which caused delays. While these changes aim to ease capital requirements, the response from major banks varied, with concerns over the potential impact on lending capacities and economic implications highlighted by various industry leaders.
Source: YAHOO
Reported 29 days ago
Blue Owl Capital Inc. has entered the high-grade bond market, issuing $1 billion in notes to repay its existing debts. The long five-year note offers a yield of 2.6 percentage points over Treasuries. This move comes amid a surge in new bond issuances as companies aim to capitalize on decreasing bond yields, with approximately $87 billion in fresh deals completed so far this month.
Source: YAHOO
Reported 29 days ago
Source: BARRONS
Reported 29 days ago
The Bank of France highlighted that the Olympic Games provided a positive impact on the service sector in August, contributing to an estimated underlying growth of 0.1-0.2% for the third quarter. While the Games are expected to add another quarter percentage point to growth, concerns remain due to a political crisis affecting other sectors, particularly manufacturing and construction. The forecast anticipates a reversal to a 0.1% contraction in the fourth quarter as the Olympics' influence diminishes.
Source: YAHOO
Reported 29 days ago
As inflation has decreased from its peak in June 2022, experts Robert Powell and Charles Chaffin discuss its effects on retirement savings and provide strategies for managing financial risk. They emphasize the importance of budgeting for essential and discretionary spending, recognizing behavioral biases that can affect investment decisions, and creating an investment policy statement to guide long-term planning. Additionally, they address common questions about choosing between a Roth 401(k) and a traditional 401(k) as well as effective investment strategies for new employees.
Source: YAHOO
Reported 29 days ago
Amazon Web Services (AWS) has announced a groundbreaking partnership with Oracle, allowing customers to access Oracle's Autonomous Database and Exadata Database services on AWS. This deal marks a significant turnaround in the long-standing rivalry between the two tech giants, who have been competitive for over 15 years. The partnership aims to enhance customer access to integrated data management while signaling Oracle's resilience in the cloud market, as evidenced by a notable increase in Oracle's stock following the announcement.
Source: YAHOO
Reported 29 days ago
In a significant shift, the Federal Reserve has scaled back its initial proposal to raise capital requirements for banks, reducing the increase for major institutions like JPMorgan Chase and Bank of America from around 19% to 9%. The revised plan comes in response to concerns from politicians and the banking industry that stricter capital rules could hinder lending and negatively impact economic growth. The new rules will be opened for public comment before being finalized.
Source: YAHOO
Reported 29 days ago
Brent crude oil prices have fallen below $70 a barrel for the first time in over two years, driven down by high supply levels, concerns over demand, and aggressive speculative selling. Both Brent and West Texas Intermediate crude saw significant declines, attributed to sobering economic data from the US and China, along with rising oil output from outside OPEC. The market anticipates a possible surplus in the future despite OPEC's adjustments to production plans.
Source: YAHOO
Reported 29 days ago
Wall Street has reduced its earnings expectations for the third quarter by 2.8%, but analysts suggest this is not alarming. Historically, earnings estimates are often lowered as the quarter progresses, with an average revision of 3% over the past 20 years. This trend may actually set a lower bar for companies, potentially leading to positive surprises during the earnings reporting season. As earnings growth slows from 11.3% to a projected 4.9%, analysts believe the market is shifting towards 'earnings resilience,' indicating a healthy outlook for stocks going into 2025.
Source: YAHOO
Reported 29 days ago
Bank of Canada Governor Tiff Macklem stated that ongoing shifts in global trade may lead to increased supply shocks, driving up prices and causing inflation volatility. He emphasized the need for Canada to adapt as trade dynamics evolve, particularly as traditional supply chains face disruptions from geopolitical tensions and shifting production locales. Macklem also signaled that interest rates are unlikely to return to pre-pandemic lows, highlighting a concerning labor market adjustment despite job gains.
Source: YAHOO
Reported 29 days ago
Brookfield Asset Management is planning to introduce a private equity product aimed at wealthy individuals as part of its expansion into retail wealth management. CEO David Levi announced this at the firm's investor day in New York, highlighting previous successes in credit, real estate, and infrastructure. The specific launch date for the new product has not been disclosed.
Source: YAHOO
Reported 29 days ago
OpenAI is set to introduce 'Strawberry', a reasoning-focused AI model for ChatGPT, in the next two weeks. This new feature aims to enhance the interaction by allowing the AI to think before responding to queries. The upcoming model, while part of ChatGPT, will function as a standalone product and will only support text inputs and outputs initially.
Source: YAHOO
Reported 29 days ago
JPMorgan Chase's stock price dropped more than 5% after CEO Daniel Pinto warned that projections for the bank's net interest income (NII) had become overly optimistic, citing anticipated easing of interest rates. The comment raised concerns about potential earnings pressure in the coming year as the Federal Reserve is expected to reduce its policy rate, leading to smaller increases in interest income. This market reaction reflected broader worries about the economy and political climate, marking JPMorgan's worst one-day decline since June 2020.
Source: YAHOO
Reported 29 days ago
Citigroup's head of US equity strategy, Scott Chronert, discusses the mixed macroeconomic indicators affecting the US economy, highlighting concerns about the labor market and its implications for the Federal Reserve. He notes that despite some signals of a downturn, there are aspects showing resilience, particularly in earnings growth, especially from major tech companies.
Source: YAHOO
Reported 29 days ago
Taiwan Semiconductor Manufacturing Company (TSMC) experienced a remarkable 33% increase in revenue year-over-year in August, reaching $7.8 billion. This growth is attributed to surging demand for AI chips and early signs of recovery in the smartphone market.
Source: YAHOO
Reported 29 days ago
In a significant legal setback, Apple faces a ruling from the European Union's top court mandating nearly €13 billion in back taxes for tax practices in Ireland, coinciding with the launch of its iPhone 16. Meanwhile, Google incurred a €2.4 billion fine for antitrust violations favoring its price comparison services. Analysts suggest these actions are part of the EU's strategy to generate revenue for local economies.
Source: YAHOO