But here’s the funny thing. The Fed doesn’t have a clue as to what the economy is really doing.
Day: December 19, 2016
Credit Suisse Nearing U.S. Mortgage Settlement, Reuters Reports
Credit Suisse Group AG may reach an agreement as soon as this week to settle a U.S. investigation into its handling of mortgage-linked securities before the 2008 financial crisis, Reuters reported. Switzerland’s second-largest bank is confident it can reach a resolution for less than the $5 billion to $7 billion that the Department of Justice has demanded, the publication quoted an unidentified person familiar with the talks as saying, without specifying when that request was made.
Obama Said to Use 1953 Law to Block Drilling in Arctic, Atlantic
President Barack Obama is preparing to block the sale of new offshore drilling rights in much of the U.S. Arctic and parts of the Atlantic, a move that could indefinitely restrict oil production there, according to two people familiar with the decision. Obama will invoke a provision in a 1953 law that gives him wide latitude to withdraw U.S. waters from future oil and gas leasing, said the people who spoke on condition of anonymity because the decision had not been announced.
Icahn to Sell Rail Lessor to Sumitomo in $2.8 Billion Deal
Icahn Enterprises, the investment firm controlled by billionaire Carl Icahn, agreed to sell American Railcar Leasing to Sumitomo Mitsui Banking Corp. in a deal that values the business at $2.78 billion including debt. The cash transaction involves 29,000 rail cars and is expected to close in the second quarter of 2017, Icahn Enterprises said in a statement Monday.
Uber Mideast Rival Valued at $1 Billion After Funding Round
Dubai-based ride-hailing app Careem Networks FZ raised $350 million from investors including Japanese e-commerce giant Rakuten Inc and Saudi Telecom Co., valuing it at about $1 billion. Government controlled STC, as the company is known, will invest $100 million for a 10 percent stake in Careem as part of a $500 million fundraising round, it said Sunday.
China’s Year of Cat-and-Mouse With Insurance Buyers in Hong Kong
It’s a game of cat-and-mouse that has gone on for most of this year, with Beijing showing no signs of winning yet. Each time China tightens up on money flowing out of the country for purchases of Hong Kong insurance, new routes seem to emerge.
Oil Settles Near $52 as Investors Eye Libyan Crude Output Return
Oil settled near $52 a barrel as investors eyed the potential return of crude supply from Libya and awaited signs of output cuts in January after the deal among OPEC and non-OPEC nations to reduce a global glut. Futures rose 0.4 percent in New York after fluctuating between gains and losses during the session amid light volume.
SoFi Pushes Back IPO Plans Amid Financial Tech Sector Struggles
The online lending company known as SoFi, which specializes in refinancing student loans, is pushing back plans for an initial public offering in order to focus on developing other business lines, said Chief Executive Officer Mike Cagney. Meanwhile, the company hasn’t yet closed a $500 million funding round, an effort that has SoFi courting international investors to purchase loans and potentially take an equity stake at the same time.
Obama Sets Up Water Clash With Mining Rule Trump Opposes
The Obama administration issued new regulations to protect streams and groundwater from coal mining, which congressional Republicans swiftly vowed to reverse. The industry says the U.S. Interior Department’s so-called stream protection rule will strand billions of dollars worth of coal in the ground.
Softbank invests $1bn in space satellite startup OneWeb
Softbank founder Masayoshi Son said it was the “first step” in a pledge made to US President-elect Donald Trump about US investment. Earlier this month Mr Son met Mr Trump and said he would put $50bn into US businesses and create 50,000 jobs over the next four years, Florida-based OneWeb, which is a direct rival to Elon Musk’s SpaceX, is now estimated to be worth around $2.5bn following its latest funding round.
Augusta County To Install EMS Tower Antennas
Augusta County is preparing to replace equipment on a telecommunications tower at Massanutten Resort as part of its effort to comply with a federal mandate for emergency communications systems. The county has received a building permit from Rockingham County to install three antennas on a tower at the resort that will process narrowband radio transmissions.
Ahead of Model 3, Tesla Motors, Inc. Continues to Revamp Its Supercharger Program
This robust network’s 120 kilowatt-powered charging stations makes long-distance travel feasible in the U.S., Western Europe, China, Japan, and part of Australia — and Tesla continues to add new markets. But the network is set to be tested when the electric-car maker brings to market its $35,000 Model 3 next year.
China Plans to Add Off-Book Wealth Products to Risk Assessment
The People’s Bank of China will include wealth management products held off bank balance sheets in its framework for gauging risk to the financial system starting in the first quarter, according to a newspaper controlled by the central bank. Rapid growth of the products can pose risks to the economy and stepping up monitoring is necessary to more comprehensively evaluate the potential threat, the Financial News reported Monday, citing an unidentified official at the monetary authority.
Zhongan Online Said to Scrap H.K. IPO, Consider China Listing
Zhongan Online P&C Insurance Co. scrapped plans for an initial public offering in Hong Kong or the U.S. and is instead focusing on a listing in mainland China, people familiar with the matter said.
OPEC Deal Makes Oil Investors Most Bullish Since Slump Began
Money managers boosted bets on rising West Texas Intermediate crude prices to the highest level since July 2014 after the Organization of Petroleum Exporting Countries and producers outside the group agreed to coordinate crude production cuts. Prices advanced to a 17-month high on Dec. 12 on speculation that the curbs will reduce the global inventory glut next year.
Futures Point North; Asia Mixed, Despite European Attacks
Futures for U.S. markets pointed toward a higher opening Tuesday despite a series of unrelated terror attacks across Europe Monday evening. The S&P 500 added 0.05%, the Dow Jones Industrials 0.04% and Nasdaq 0.09% at 8:56 p.m. EST.
A year in deals: bring your M&A-game
The telco industry’s dealmakers were out in force in 2016, as players sought greater scale or eyed opportunities in adjacent markets. With the year rapidly drawing to a close, it is time to look back at some of the industry’s biggest transactions, and what happened after pen was put to paper.
Air Force Cautions Trump Team on Defense Costs
The U.S. Air Force general in charge of the F-35 fighter jet program disputed President Elect Donald Trump’s contention that costs have run out of control, saying the days of price and schedule overruns in development of the new fighter jet largely ended in 2011. Air Force Lt.
Trump Passes 270 Electoral College Vote Count For Presidency
Donald Trump cleared the bar of 270 cast electoral college votes late Monday, putting him on track to become the nation’s 45th president. With 306 electoral college votes pledged in the Nov. 8 election, Trump surpassed the needed 270 votes to secure the presidency following votes cast in Texas, according to a tally by the Associated Press .
Time to Take a Second Look at Emerging Market Bond ETFs
Following Donald Trumps election day win, investors sold off emerging market assets and related exchange traded funds in a knee-jerk reaction to the President-elect’s protectionist rhetoric and strengthening U.S. dollar. With the dust settling, some investors are taking a second look at potentially oversold emerging market bonds.
This Bank Stock Is Getting Way Too Expensive
But the downside to such a sterling and well-deserved reputation is that shares of the Minneapolis-based bank have gotten to be expensive. U.S. Bancorp’s stock has gained nearly 17% since the beginning of November, with the presidential election serving as the catalyst.
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Claims examiner Penny Erney, who is undergoing chemotherapy, packs up her cubical at Office of Unemployment Compensation in Harrisburg, Pa., Monday, Dec. 19, 2016. Erney is one of about 500 workers at the state Department of Labor and Industry were … spending their last day on the job Monday, before being laid off because of a funding dispute between the Wolf Administration and Senate Republicans.
NASCAR to be Monster Energy Cup Series starting next season
The change of name from the Sprint Cup Series comes with Monster Energy’s new deal to be the title sponsor of NASCAR’s top division. The new name was released Monday along with a new official brand identity that replaces the bar mark used by the sanctioning body since 1976.
Mayor hails rejection of suit against Philadelphia soda tax
The mayor of Philadelphia is hailing a judge’s dismissal of a lawsuit aimed at blocking the soda tax set to take effect the city next month. Mayor Jim Kenney called Monday’s ruling a “victory for Philadelphians who have waited far too long for investment in their education system and in their neighborhoods.”
Interest rates on short-term Treasury bills mixed
Interest rates on short-term Treasury bills were mixed in Monday’s auction, with rates on three-month bills falling and rates on six-month bills ending unchanged. The Treasury Department auctioned $34 billion in three-month bills at a discount rate of 0.515 percent, down from 0.530 percent last week.
IMF Executive Board Backs Lagarde Despite Verdict Against Her
The executive board of the International Monetary Fund said Monday it had “full confidence” in IMF Managing Director Christine Lagarde despite a French court convicting her of negligence. “The executive board reaffirms its full confidence in the managing director’s ability to continue to effectively carry out her duties,” the IMF board said in a statement.
Delta and Alaska Air Terminate Their “Frenemy” Relationship
While the two carriers have a codeshare and frequent flier partnership, they have aggressively entered each other’s markets and tried to steal customers from one another. This week, Delta and Alaska Air abandoned the pretense of being partners.
Conatus Shares Skyrocket After Novartis License Deal
Shares of Conatus Pharmaceuticals Inc. skyrocketed in the extended session Monday after the microcap biotech announced a licensing and collaboration agreement with Novartis AG for a liver disease treatment. Conatus shares surged 150% to $4.90 after hours on heavy volume.
1 Dakota Access pipeline suit on hold during related dispute
A lawsuit from two Sioux tribes seeking suing to stop the Dakota Access oil pipeline was put on hold while a separate but related court battle over the project plays out. Dallas-based pipeline developer Energy Transfer Partners is asking U.S. District Judge James Boasberg in Washington, D.C., to rule that the company received proper permission from the Army in July to lay pipe under a Missouri River reservoir in North Dakota – the last remaining chunk of construction for the $3.8 billion project.
P&Ga s Downy Facing Stiff Reality: Millennials Dona t Use Fabric Softener
Procter & Gamble’s once popular ultra-soft Downy brand is facing a stiff reality: millennials don’t use fabric softener. As a result, sales of Downy’s liquid softener have fallen 26% between 2007 and 2015, pushing the entire U.S. liquid softener category down 15%, according to Euromonitor.
Net Neutrality Rule to Get Scrutiny From FCC Republicans – Soon’
Republicans poised to control the Federal Communications Commission next month said they’d revisit the net neutrality regulation “as soon as possible,” laying out plans to address a rule they’ve opposed and that Democrats support. The statement Monday from Commissioners Ajit Pai and Michael O’Rielly indicates that opponents of the rule such as top broadband providers AT&T Inc. and Comcast Corp. may not need to wait for Congress to grapple with the regulation that requires equal treatment of web traffic.
Disney and HCP climb; Mosaic and Marathon Petroleum dip
President-elect Donald Trump says he plans to nominate the company’s founder and chairman, Vincent Viola , for the position of secretary of the Army. Click below for the top news from around the Bay Area and beyond.
Italy Paves Way for a $21 Billion Rescue Plan for Ailing Banks
The Italian government cleared the way for the potential rescue of lenders, including Banca Monte dei Paschi di Siena SpA, by seeking permission from parliament to increase the nation’s public debt by as much as 20 billion euros . Monte dei Paschi Chief Executive Officer Marco Morelli is scampering to find investors to back a private 5 billion-euro capital increase, which also includes a share sale and a debt-for-equity swap.
GM, Fiat Chrysler Idling 7 Plants Next Month as Sales Slow
General Motors Co. will idle some production at five U.S. passenger-car plants in January while Fiat Chrysler Automobiles NV halts output for New Year’s week at two Canadian vehicle factories.
Icahn to Sell Rail Lessor to Sumitomo in $2.8 Billion Deal
Icahn Enterprises, the investment firm controlled by billionaire Carl Icahn, agreed to sell American Railcar Leasing to Sumitomo Mitsui Banking Corp. in a deal that values the business at $2.78 billion including debt. The cash transaction involves 29,000 rail cars and is expected to close in the second quarter of 2017, Icahn Enterprises said in a statement Monday.
FCC Adopts Real-Time Text (RTT) Services for Americans with Disabilities
CLEARWATER, Fla. – Dec. 19, 2016 – PRLog — FCC Adopts Real-Time Text Services for Americans with Disabilities The Federal Communications Commission on Dec 15th, 2016 ruled that phone companies replace the currently used text telephone communications to now support real-time text to provide better technology and more reliable telephone communications for Americans who are deaf, hard of hearing, Deaf-blind or those with a speech disability.
Women really are better doctors, study suggests
If male doctors were able to do as well as their female counterparts when treating elderly patients in the hospital, they could save 32,000 lives a year, according to a study of 1.5 million hospital visits. A month after patients were hospitalized, there was a small, but significant difference in the likelihood that they were still alive or had to be readmitted to the hospital depending on the gender of the doctor who cared for them, according to the study published in JAMA Internal Medicine .
U.S. Residents Continue to Struggle With Slow Internet Speeds
A new Federal Communications Commission report shows that roughly half of the U.S. population have below-average broadband data connections. Despite the significant popularity of social media sharing, Netflix , and YouTube, Internet speeds are actually much slower than many people thought.
Why Shares of Globalstar Inc. Rocketed Higher Today
The FCC is reportedly set to consider a new proposal from the company after a previous plan was shot down earlier this year. surged on Monday following news that the Federal Communications Commission has drafted a new proposed order in response to a revised proposal that Globalstar filed on Nov. 9. The stock was up 47% at 10:45 a.m. EST.
Disney Should Be ‘Heralded’: More Squawk From Jim Cramer
It is ‘very important’ that the story on Disney not be so attached to the success of ESPN, TheStreet’s Jim Cramer said. Shares of Walt Disney were climbing in early morning trading on Monday, after Bank of America/Merrill Lynch added the stock to its U.S.1 list, saying the company is primed to outperform in 2017.