Passport to Wall Street http://www.pws.io/ pl-PL Copyright 2018, Passport to Wall Street 60 As Tensions Rise, Erdogan Calls for Ban of US Electronics http://www.pws.io/as-tensions-rise-erdogan-calls-for-ban-of-us-electronics <p class='black-text'>Turkish President Recep Tayyip Erdogan has called for a boycott of American electronics in response to increased tariffs the Trump administration put into effect. In this announcement, President Erdogan specifically declared that a ban should be put on the billion-dollar brand Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, saying <a href="https://www.nytimes.com/2018/08/14/business/turkey-erdogan-apple-iphone.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=7&pgtype=sectionfront">that if the United States has iPhones</a>, "there is Samsung (KRX: 005930) on the other side, and we have our own Vestel here." After the nationalistic statement, Vestel (IST: VESTL), a Turkish electronics company, rose 5%.</p><p class='black-text'>Although Erdogan has voiced his desire for the Turks to abandon Apple, far more Turkish citizens own iPhones than Vestel. At the end of 2017, <a href="https://mashable.com/2018/08/14/turkey-iphone-ban-apple-hurt/#1T2ISqCEwmqS">approximately 2% of Turkish smartphone users had a Vestel, compared to the 17.41 percent of those who used Apple.</a> It is clear that if Turkey actually goes ahead with the ban, it have little to no effect on Apple's business as a whole, especially given that Apple's <a href="https://mashable.com/2018/08/14/turkey-iphone-ban-apple-hurt/#1T2ISqCEwmqS">largest markets are composed of the US and China. </a></p><p class='black-text'>Tensions are rising between the two nations since the Trump administration levied sanctions on Turkey. Last week, Trump increased tariffs <a href="https://www.cnet.com/news/turkeys-president-threatens-boycott-of-iphones-other-us-electronics/">on Turkish steel and aluminum imports by twofold.</a> As a result, the value of the lira decreased to an all-time low of 7.24 to the dollar. Turkey's economy has recently suffered from multiple losses. In 2018 alone, the value of the lira has decreased more than 40%. Many US and European investors are worried given the reliance of European banks maintaining investments in Turkey. Some analysts have noted that the <a href="https://www.nytimes.com/2018/08/14/business/turkey-erdogan-apple-iphone.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=7&pgtype=sectionfront">Turkish economic crisis may lead to traders abandoning new markets as well.</a></p><p class='black-text'>Turkey is also facing trade tensions with the US over the arrest of the American pastor Andrew Brunson, <a href="https://www.nytimes.com/2018/08/14/business/turkey-erdogan-apple-iphone.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=7&pgtype=sectionfront">who they have held on charges of terrorism. </a>The pastor has been held in Turkey for approximately a year and a half. The Trump administration has pressed Turkey for Brunson's release.</p><p class='black-text'>To support Turkey's slipping economy, Erdogan has appointed a financial minister to address inflation. Erdogan also called for the citizens to convert US dollars to lira. Multiple supporters of Erdogan visited the central bank to convert approximately $100,000 of US dollars, <a href="https://www.reuters.com/article/uk-turkey-currency/erdogan-says-turkey-will-boycott-us-electronics-lira-steadies-idUSKBN1KZ09Z">chanting "Damn America," and holding a banner that stated "We will win the economic war," </a>Erdogan <a href="https://www.nytimes.com/2018/08/14/business/turkey-erdogan-apple-iphone.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=7&pgtype=sectionfront">reinforced</a> his followers, stating, "Every product that we buy in foreign currency from outside, we will produce them here and sell abroad."</p><p class='black-text'>The central bank's action has not solved greater issues surrounding the decrease in lira value. Craig Botham, Emerging Markets Economist, <a href="https://www.reuters.com/article/uk-turkey-currency/erdogan-says-turkey-will-boycott-us-electronics-lira-steadies-idUSKBN1KZ09Z">states that, </a>"What you want to see is tight monetary policy, a tight fiscal policy and a recognition that there might be some short-term economic pain - but without it there's just no credibility of promises to restabilize things."</p> http://www.pws.io/as-tensions-rise-erdogan-calls-for-ban-of-us-electronics Fri, 17 Aug 2018 20:09:31 -0400 Arlene Lormestoire Markets Close the Week Higher http://www.pws.io/markets-close-the-week-higher <p class='black-text'>The markets were higher today on news that the leaders of both the US and China will hold direct trade talks in November. This sent the Dow 30 higher by 110 on the day. The S&P 500 and the Nasdaq 100 each added 9. There will be meetings in Washington next week with Chinese government officials to plan for these trade talks, which could produce market-moving news.</p><p class='black-text'>Crude Oil closed down again this week, marking the 7th straight week of losses. Higher supply and geopolitical headlines continue to weigh on the commodity. Though it closed slightly higher today, investors are still not interested in seriously buying it at these levels.</p><p class='black-text'>Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower by almost 10% on the day as CEO Elon Musk revealed the level of stress he has been under and the toll it's taking on his health. In an emotional interview with the New York Times, the CEO reported his extremely long work hours. This interview, along with more cryptic tweets from Musk, fueled tons of speculation about his future with the company and plans to take the company private.</p><p class='black-text'>Nordstrom <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JWN"><span style="color:#333">(</span><span style=";">JWN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JWN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JWN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JWN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares blasted to new highs today as the company reported glowing earnings results. Everything looked great across the board for the luxury retailer, including a strong uptick in store sales. They also raised their projections for the rest of the year, fueling the strong rally today.</p><p class='black-text'>Nvidia <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NVDA"><span style="color:#333">(</span><span style=";">NVDA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NVDA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NVDA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NVDA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares traded lower despite reporting earnings that beat expectations. Revenue came in slightly better than expected, but the company gave a weaker-than-expected insight into the rest of the year, citing slowing demand for cryptocurrency. Technical traders noted that shares stopped their selloff right at the uptrend line and continue to look to that for support.</p> http://www.pws.io/markets-close-the-week-higher Fri, 17 Aug 2018 19:44:22 -0400 Dustin Tibbitts Stock Market Soars on China Trade News http://www.pws.io/stock-market-soars-on-china-trade-news <p class='black-text'>The markets soared higher today at the news that the US and China have resumed trade talks. Investors completely forgot about yesterday's news that China's economy may be slowing. The Dow 30 added 396, the S&P 500 gained 22, and the Nasdaq 100 popped 32.</p><p class='black-text'>It wasn't all about the trade war, though. Walmart <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WMT"><span style="color:#333">(</span><span style=";">WMT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WMT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WMT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WMT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Cisco <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CSCO"><span style="color:#333">(</span><span style=";">CSCO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CSCO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CSCO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CSCO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> both reported earnings that came in much better than expected. Investors considered this the final stamp on a very strong earnings season.</p><p class='black-text'>Walmart reported earnings per share that came in 7 cents better than anticipated on strong revenue. Sales at stores were higher as well, which caused the company to raise their full year guidance. This in turn sent shares to their highest levels in almost 6 months.</p><p class='black-text'>Cisco shares popped to 3-month highs. The company reported earnings and revenue that were better than expected, but the main reason for investor excitement was that Cisco's subscription-based service has been steadily growing. Taking a look at Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Adobe's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ADBE"><span style="color:#333">(</span><span style=";">ADBE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ADBE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ADBE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ADBE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> move to subscription models and their success leads investors to assume similar or better results from the likes of a giant like Cisco.</p><p class='black-text'>It wasn't all good news for retail stocks. JC Penny <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JCP"><span style="color:#333">(</span><span style=";">JCP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JCP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JCP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JCP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares plummeted 25% to new lows after announcing a sizable miss on earnings. Earnings, revenue, and guidance all came in lower than expected as the company continues to shore up their inventory mishaps.</p> http://www.pws.io/stock-market-soars-on-china-trade-news Thu, 16 Aug 2018 15:17:08 -0400 Dustin Tibbitts ETF Update: Choppy Start to the Week http://www.pws.io/etf-update-choppy-start-to-the-week <p class='black-text'>The markets started the week with a push lower thanks to the problems in Turkey, which likely won't go away soon. With this news, the S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> sold off on Monday but mostly recovered by Tuesday. The SPY sits just under 1% from hitting all time highs, but with the summertime low volume, it could be hard to get there quickly unless there is some unexpected news.</p><p class='black-text'>The Nasdaq 100 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is a little closer to all-time highs but still has some work to do. The QQQ has been mostly immune to the Turkish news as the index is more tech-based. The QQQ remains one of the better performing indices of the year and seems as though it wants to try for all-time highs yet again.</p><p class='black-text'>Gold <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GLD"><span style="color:#333">(</span><span style=";">GLD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GLD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GLD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GLD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continues to be severely oversold. This week it dipped by 1.25%, hitting new lows in the process. The price of gold has been steadily sliding over the last few months and is starting to grab the attention of the bottom pickers on Wall Street. For now it remains at lows with every hint of a bounce being sold rather rapidly. Metals & Mining <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XME"><span style="color:#333">(</span><span style=";">XME</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XME" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XME" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XME" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> as well as the Gold Mining stocks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GDX"><span style="color:#333">(</span><span style=";">GDX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GDX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GDX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GDX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> all have participated in the push lower.</p><p class='black-text'>Healthcare <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLV"><span style="color:#333">(</span><span style=";">XLV</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLV" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLV" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLV" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continues to push slowly and steadily towards new highs with modest gains on the week already. This sector has been in an uptrend that really started to pick up in late July. Highs of $91.79 seem quite reachable at this point.</p><p class='black-text'>Lastly, Retail <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XRT"><span style="color:#333">(</span><span style=";">XRT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XRT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XRT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XRT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> broke to new highs on Tuesday as retail stocks reported earnings. News from some of the larger retailers sent the XRT to new highs, adding 2.27% on Tuesday alone. Technical traders will note the breakout of the recent range and highlight it as a reason for a bullish stance.</p> http://www.pws.io/etf-update-choppy-start-to-the-week Wed, 15 Aug 2018 16:16:25 -0400 Dustin Tibbitts Markets Close Off Lows, but Still Red on the Day http://www.pws.io/markets-close-off-lows-but-still-red-on-the-day <p class='black-text'>The markets sold off more aggressively today thanks pullbacks in the tech names as well as energy and global stocks. The Dow 30 closed off the lows of the day but still lost 136 and the S&P 500 sold off 21. The Nasdaq 100 was the worst performer with a loss of 96 points.</p><p class='black-text'>Semiconductors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SMH"><span style="color:#333">(</span><span style=";">SMH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SMH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SMH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SMH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> were all lower today as the Chinese government banned the sale of Tencent's video game "Monster Hunter: World." This hurt names like Micron Technology <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MU"><span style="color:#333">(</span><span style=";">MU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Activision Blizzard <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ATVI"><span style="color:#333">(</span><span style=";">ATVI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ATVI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ATVI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ATVI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Take Two Interactive <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TTWO"><span style="color:#333">(</span><span style=";">TTWO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TTWO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TTWO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TTWO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Chinese regulators have frozen approval of game licenses in what they are calling a "government shakeup."</p><p class='black-text'>Concerns about oil-sensitive emerging markets and investors nervous about a slowdown in China and the stronger dollar, Oil sold off once again today, pulling energy names lower. At its lows, oil was down over 3% today.</p><p class='black-text'>As for the Turkish problems, the Turkish market <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TUR"><span style="color:#333">(</span><span style=";">TUR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TUR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TUR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TUR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> saw a small bounce today as regulators limited currency swap transactions to slow the pace of short selling by traders on the Turkish lira. Turkey was higher by almost 3% on the day.</p><p class='black-text'>In terms of individual stocks, Macy's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/M"><span style="color:#333">(</span><span style=";">M</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="M" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="M" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="M" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares plummeted 14% despite the company announcing earnings that beat expectations. A continued slump in sales growth was one of the factors investors considered today.</p><p class='black-text'>Warren Buffett's Berkshire Hathaway <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BRK.B"><span style="color:#333">(</span><span style=";">BRK.B</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BRK.B" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BRK.B" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BRK.B" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> added 5% to its position in Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> as well as other names like Southwest Airlines <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LUV"><span style="color:#333">(</span><span style=";">LUV</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LUV" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LUV" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LUV" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> during the second quarter. Shares of Apple held near highs on the news.</p> http://www.pws.io/markets-close-off-lows-but-still-red-on-the-day Wed, 15 Aug 2018 16:10:35 -0400 Dustin Tibbitts Stock Market Recovers from Turkish Mess http://www.pws.io/stock-market-recovers-from-turkish-mess <p class='black-text'>The markets closed higher today as the furor over weakness in Turkey has calmed for the moment. Comments from the White House, along with actions taken by the Turkish Central Bank to ease pressure on the currency, have helped ease the concern for now. With this in mind, the Dow 30 was higher by 112, the S&P 500 added 18, and the Nasdaq 100 closed higher by 51.</p><p class='black-text'>Banks recovered a touch as well. The Financials <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLF"><span style="color:#333">(</span><span style=";">XLF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> saw a nice recovery today, adding over 1%. Names that investors were concerned, like JP Morgan <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JPM"><span style="color:#333">(</span><span style=";">JPM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JPM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JPM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JPM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, both saw recovery bounces today.</p><p class='black-text'>Tech stocks were higher today thanks to most of the FANG names along with Nvidia <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NVDA"><span style="color:#333">(</span><span style=";">NVDA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NVDA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NVDA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NVDA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which added 1.5% after rolling out its new generation of chip technology.</p><p class='black-text'>Home Depot <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/HD"><span style="color:#333">(</span><span style=";">HD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="HD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="HD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="HD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> started the day strong as the company reported a larger boost in quarterly sales than analysts expected. The company cited an uptick in demand for their seasonal products as the driving factor. Earnings came in much better than anticipated and guided higher. By the close, though, the stock had given back its gains, closing in the red.</p><p class='black-text'>Advance Auto Parts <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAP"><span style="color:#333">(</span><span style=";">AAP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shot to new highs today as the auto parts retailer announced earnings that came in better than expected. Profits beat estimates as well. To top it off, the company announced a share buyback program.</p><p class='black-text'>Earnings as a whole are mostly done and over with. 455 companies have reported out of the S&P 500. Almost 80% of them did better than expected showing the strength of the current economy.</p> http://www.pws.io/stock-market-recovers-from-turkish-mess Tue, 14 Aug 2018 15:17:26 -0400 Dustin Tibbitts New York City Caps Ride Hailing Companies http://www.pws.io/new-york-city-caps-ride-hailing-companies <p class='black-text'>Last week, the New York City Council <a href="https://www.nytimes.com/2018/08/08/nyregion/uber-vote-city-council-cap.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news">voted</a> 39-6 to approve a temporary cap on ride hailing companies, including Uber, Lyft, and Via, within city limits. The bill will limit growth on the number of for-hire vehicles for a year while it studies the impact of the booming industry. The bill also calls for the city to set minimum pay rates for drivers and waive the license fee for wheelchair-accessible vehicles.</p><p class='black-text'>While only temporary, the cap is still seen as a sign of trouble ahead of ride hailing companies, which are increasingly facing government regulation and suffering from public image issues. Experts believe that other cities may use New York as model to draft their own legislation.</p><p class='black-text'>It's the first major America city to enact such laws inhibiting the transportation services these companies provide, and a major setback for Uber in particular, since New York is its <a href="https://www.nytimes.com/2018/08/08/nyregion/uber-vote-city-council-cap.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news">largest market</a> in the US. The news comes as Uber prepares for an IPO in the coming year.</p><p class='black-text'>The past year has been difficult for the ride sharing business generally. Uber in particular has had to overcome a negative public image - partly the legacy of its founder and former CEO, Travis Kalanick, but compounded by scandals involving corporate employees, poor treatment and low wages for the drivers it contracts with, and stories about the <a href="https://www.nytimes.com/2018/05/27/nyregion/taxi-driver-suicide-nyc.html">human tolls</a> of ride sharing's industry disruption. More metropolitan areas are questioning ride sharing's environmental impact and affect on traffic patterns.</p><p class='black-text'><a href="https://www.nytimes.com/2018/08/08/nyregion/uber-vote-city-council-cap.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news">Mayor Bill De Blasio </a>commented that, "more than 100,000 workers and their families will see an immediate benefit from this legislation, and this action will stop the influx of cars contributing to the congestion grinding our streets to a halt."</p><p class='black-text'>Though the cap is limited, ride sharing companies view it as an attack on the company and public, warning that such a move "<a href="https://www.nytimes.com/2018/08/08/nyregion/uber-vote-city-council-cap.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news">could</a> produce higher prices and longer wait times for passengers if the company cannot keep up with the growing demand."</p><p class='black-text'>According to <a href="https://www.nytimes.com/2018/08/08/nyregion/uber-vote-city-council-cap.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news"><i>The New York Times</i></a>, Uber criticized the Council's decision to approve the cap, saying, "the City's 12-month pause on new vehicle licenses will threaten one of the few reliable transportation options while doing nothing to fix the subways or ease congestion."</p><p class='black-text'>Several New Yorkers have welcomed the company as an alternative to the oft-delayed subway system, costly taxis, and alternative transportation services. Uber argues that such a cap could make ride hailing difficult across all parts of the city, especially less dense areas.</p><p class='black-text'>Still, ride sharing companies do have downsides, particularly for professional taxi drivers, who have seen their profits dwindle. And many professional drivers for Uber are supportive of the measure, embracing the opportunity to make more trips and <a href="https://www.nytimes.com/2018/08/08/nyregion/uber-vote-city-council-cap.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news">improve their earnings</a> with this piece of legislation.</p> http://www.pws.io/new-york-city-caps-ride-hailing-companies Mon, 13 Aug 2018 17:48:34 -0400 Rebecca Bruce US Imposes New Russia Tariffs http://www.pws.io/us-imposes-new-russia-tariffs <p class='black-text'>Last week, the Trump administration announced that it will <a href="https://www.nytimes.com/2018/08/09/world/europe/russia-sanctions-ruble.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=8&pgtype=sectionfront">impose</a> new tariffs on Russia starting around August 22. Russia's currency fell to its lowest dollar value in almost two years at the news. These sanctions are in response to a nerve-agent attack on a former Russian spy in the U.K. In March, British officials declared that Russia was to blame for the poisoning of Sergei V. Skripal, a former Russian intelligence officer once imprisoned for selling secrets to the British, and his daughter Yulia. They were both exposed to a rare nerve agent that belonged to a class of Soviet-developed chemical weapons known as Novichok. Both targets survived, but a woman inadvertently exposed to the chemical died.</p><p class='black-text'>In a statement, the White House said they were acting in compliance with the Chemical and Biological Weapons Control and Warfare Elimination Act of 1991, which mandates that once a government uses chemical or biological weapons in violation of international law, sanctions must be imposed. Before the sanctions, it cost 62.5 rubles to purchase a dollar; now it costs 66.5. Moscow officials expressed their dismay at these restrictions, particularly since only last month Trump and Putin had a friendly summit meeting. Dmitry S. Peskov, the Kremlin spokesman, <a href="https://www.dailysabah.com/diplomacy/2018/08/10/erdogan-putin-hold-phone-call-after-trump-doubles-tariffs-on-steel-and-aluminum">commented</a>, "Such decisions made by the American side are absolutely unfriendly, and you cannot associate them with the constructive, even if difficult, atmosphere we had during the last meeting of the two presidents."</p><p class='black-text'>The restrictions cover any exports to Russia that could have a potential national security purpose: gas turbine engines, electronics, and testing and calibration equipment. The US is also looking to contain the Russian energy sector, which the country heavily relies on. Some companies were hit harder than others. Shares in Aeroflot, Russia's national airline, fell 11.4 %. Washington officials stated that flights between the US and Russia could actually be banned. Russia also has few economic means to retaliate. Sergey Ryabukhin, a member of the Parliament, <a href="http://www.xinhuanet.com/english/2018-08/12/c_137383905.htm">suggested</a> banning sales of Russian rocket engines, but the US has other options.</p><p class='black-text'>On August 1, Russia started imposing extra import tariffs of 25-40% on a range of US goods, including road construction, oil and gas, and metal processing machinery. Russian Prime Minister Dmitry Medvedev stated, "All I can say is: if they ban banking operations or the use of any currency we will call it the declaration of an economic war. And we'll have to respond to it - economically, politically or in any other way, if need be. Our American friends should make no mistake about it."</p><p class='black-text'>Although Russia has $428 billion in gold and hard currency reserves to strengthen the ruble, the central bank has not used it yet, allowing the value to drop. This has helped domestic industry and agriculture. Peskov <a href="https://www.dailysabah.com/diplomacy/2018/08/10/erdogan-putin-hold-phone-call-after-trump-doubles-tariffs-on-steel-and-aluminum">said</a> that Russia's financial system is still fairly stable and strong despite some difficult times.</p> http://www.pws.io/us-imposes-new-russia-tariffs Mon, 13 Aug 2018 17:31:48 -0400 Karina Petrunova Facebook Looks to Acquire Users' Banking Data http://www.pws.io/facebook-looks-to-acquire-users-banking-data <p class='black-text'>According to a <a href="https://www.wsj.com/articles/facebook-to-banks-give-us-your-data-well-give-you-our-users-1533564049?mod=hp_lead_pos1">report</a> this week from the <i>Wall Street Journal</i>, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is asking major US banks to share financial information about their customers, including checking account balances, shopping habits, and recent credit card transactions.</p><p class='black-text'>The social media giant hopes to access this data to expand its user services to encompass finances. Facebook <a href="https://www.theverge.com/2018/8/6/17656212/facebook-us-banks-financial-services-card-transactions-shopping-habits-account-balance">denies</a> that it is "actively asking financial services companies for financial transaction data." Facebook instead said it only wants to form partnerships with credit card companies and banks to offer customer service through its Messenger app and let users manage their accounts through Facebook. Integrating with banks in this fashion will let users "keep track of their transaction data like account balances, receipts, and shipping updates," Facebook <a href="https://www.theverge.com/2018/8/6/17656212/facebook-us-banks-financial-services-card-transactions-shopping-habits-account-balance">says</a>. Facebook has also denied that any the data it acquires will be used for <a href="https://techcrunch.com/2018/08/06/facebook-banking/">personalized</a> ad targeting.</p><p class='black-text'>In fact, Facebook already has such partnerships with American Express <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AXP"><span style="color:#333">(</span><span style=";">AXP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AXP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AXP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AXP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Paypal <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PYPL"><span style="color:#333">(</span><span style=";">PYPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PYPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PYPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PYPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Mastercard <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MA"><span style="color:#333">(</span><span style=";">MA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> - the only news here is that Facebook is trying to expand to larger banks like Wells Fargo <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/WFC"><span style="color:#333">(</span><span style=";">WFC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="WFC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="WFC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="WFC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, JPMorgan Chase <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JPM"><span style="color:#333">(</span><span style=";">JPM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JPM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JPM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JPM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, US Bancorp <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USB"><span style="color:#333">(</span><span style=";">USB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Citigroup <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/C"><span style="color:#333">(</span><span style=";">C</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="C" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="C" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="C" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. And Facebook isn't the only company trying to form these partnerships: Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> are similarly reaching out to banks and credit card companies so they can offer financial services on their voice-operated devices.</p><p class='black-text'>But some banks are reluctant to partner with Facebook, particularly after the recent Cambridge Analytica data misuse scandal, which affected 87 million of Facebook's users. Banks worry that Facebook would not be secure place for sensitive financial information. Indeed, one potential partner, <a href="https://nypost.com/2018/08/06/facebook-quietly-lobbying-big-banks-to-share-customer-data/">Bank of America</a> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BAC"><span style="color:#333">(</span><span style=";">BAC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BAC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BAC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BAC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, already ended talks with Facebook over these concerns. But Facebook has also said that some banks have <a href="https://techcrunch.com/2018/08/06/facebook-banking/">approached</a> them to form partnerships, hoping to add Messenger as another avenue to generate user interactions.</p><p class='black-text'>With Facebook recently reporting the slowest growth in a quarter since 2011, these partnerships may prove important to staying relevant and ahead of the competition. Indeed, Facebook's stock price jumped 3.5% after <i>WSJ</i>'s report, though some experts think the importance of the move to Facebook's future has been <a href="https://techcrunch.com/2018/08/06/facebook-banking/">overrated</a> even if it ultimately yields successful partnerships. It's unclear if Facebook can overcome its current reputation for lax security.</p> http://www.pws.io/facebook-looks-to-acquire-users-banking-data Mon, 13 Aug 2018 17:23:42 -0400 Ariel Courage Cryptocurrency Week of August 11 in Review http://www.pws.io/cryptocurrency-week-of-august-11-in-review <p class='black-text'>The second week of August saw yet another massive selloff across the entire cryptocurrency market after the <a href="https://www.cnbc.com/2018/08/08/bitcoin-price-falls-after-sec-postpones-key-etf-decision.html">Securities and Exchange Commission</a> (SEC) announced that it would postpone the decision on whether to allow the listing of the Cboe VanEck/SolidX ETF backed by Bitcoin (BTC) to September 30. Since that time, Bitcoin briefly fell below $6,000 on Friday with altcoins faring far worse, as more than 10% of the total market capitalization was wiped out in a matter of days.</p><p class='black-text'>The bearish price action occurred despite a relatively positive week of news coming from the major banks. <a href="https://www.bloomberg.com/news/articles/2018-08-06/goldman-is-said-to-consider-custody-offering-for-crypto-funds">Goldman Sachs</a> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, one of the largest investment banks in the world, announced that it is currently exploring a plan to offer custody services to cryptocurrency funds and institutional clients. <a href="https://www.businessinsider.com/barclays-staff-asses-crypto-trading-desk-but-banks-stresses-no-plans-2018-8">Barclays</a> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BCS"><span style="color:#333">(</span><span style=";">BCS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BCS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BCS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BCS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, the British multinational investment bank and financial services company, is also reportedly following other major financial institutions in building a cryptocurrency trading desk, as revealed by two traders at the bank.</p><p class='black-text'>Here is the rest of the week in review:</p><p class='black-text'>Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> initially revealed last May that its experimental blockchain group would be led by David Marcus, the executive formerly in charge of Facebook's Messenger group. Marcus has been serving on Coinbase's board of directors since last December, but on Friday, <a href="https://www.coindesk.com/facebooks-david-marcus-steps-down-from-coinbases-board/">he announced </a>that he will be stepping down to focus on Facebook's new blockchain initiative.</p><p class='black-text'>Global equity markets struggled to close out the week after the Turkish lira dropped 17% against the U.S. dollar, sending the lira to its lowest point against the dollar in history. A recent <a href="https://www.coindesk.com/turkey-crypto-exchanges-bitcoin-lira/">Coindesk report</a> noted that Turkish cryptocurrency exchanges saw a spike in volume on Friday. While the overall size of these exchanges is relatively small, with only $11.6 million in daily trading volume, each has seen at least a 100% increase in activity.</p><p class='black-text'>Ethereum Classic (ETC) became the fifth digital currency added to Coinbase after trading began this week on the Coinbase Pro platform, the company's new professional interface built on top of the existing GDAX trading engine. Robinhood added ETC one day earlier, and its price briefly popped up with the news.</p><p class='black-text'><a href="https://www.nasdaq.com/press-release/gsr-capital-to-invest-in-tzero-at-15-billion-valuation-20180809-01056">Overstock </a><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/OSTK"><span style="color:#333">(</span><span style=";">OSTK</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="OSTK" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="OSTK" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="OSTK" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares surged more than 20% Thursday after the company revealed that its subsidiary tZero, a blockchain platform for capital markets, has secured a $270 million investment from GSR Capital, a private equity firm organized in Hong Kong.</p><p class='black-text'>A <a href="https://www.wsj.com/graphics/cryptocurrency-schemes-generate-big-coin/">recent analysis</a> conducted by the <i>Wall Street Journal</i> shows that dozens of pump-and-dump trading groups have routinely manipulated the prices of cryptocurrencies on large online exchanges to an amount of at least $825 million in the past six months. These activities have been directly responsible for the loss of hundreds of millions of dollars in counterparty trades.</p><p class='black-text'>Crypto prices plunged to test the critical $200 billion level before a slight bounce. The biggest losers are IOTA (IOTA), down 41 percent, Nebulas (NAS), down 39 percent, and Elastos (ELA), down 35 percent. The biggest winners are InflationCoin (IFLT), up 2,155 percent, Global Currency Reserve (GCR), up 106 percent, and Peercoin (PPC), up 69 percent.</p><p class='black-text'><i>The author owns a small amount of BTC and IOTA.</i></p> http://www.pws.io/cryptocurrency-week-of-august-11-in-review Mon, 13 Aug 2018 13:43:11 -0400 Eric Yao Markets start the week in the red. http://www.pws.io/markets-start-the-week-in-the-red <p class='black-text'>The markets started the week lower as the Turkish financial crisis that started last week spilled over into this week. The Dow 30 was lower by 125 thanks partially to JP Morgan <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JPM"><span style="color:#333">(</span><span style=";">JPM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JPM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JPM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JPM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which have exposure to the crisis. The S&P 500 sold off 11, and the Nasdaq 100 closed lower on the day by 19.</p><p class='black-text'>Energy was a weak point in the market thanks to the continued weakness in the price of Oil. Though oil did recover from it's low of the day, it still is trading at lows. Materials were also lower on the day as Mosaic <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MOS"><span style="color:#333">(</span><span style=";">MOS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MOS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MOS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MOS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> saw more selling pressure carry over from Friday.</p><p class='black-text'>Papa Johns <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PZZA"><span style="color:#333">(</span><span style=";">PZZA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PZZA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PZZA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PZZA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was back in the news as the company announced they would offer financial help to franchise holders due to the controversies over the last year. They announced they would reduce royalty payments, prices on food and other costs.</p><p class='black-text'>Blue Apron <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/APRN"><span style="color:#333">(</span><span style=";">APRN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="APRN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="APRN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="APRN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower on the day as it's closest competitor, HelloFresh announced that it would not hit the break even mark until "sometime in 2019." Previously the company said it would break even in the fourth quarter but now says it wants to support growth investments to propel the company.</p><p class='black-text'>Harley Davidson <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/HOG"><span style="color:#333">(</span><span style=";">HOG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="HOG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="HOG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="HOG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower by 4.5% today as the company continues to feel the wrath of President Trump. The stock sold off as Trump tweeted that many Harley owners would boycott the company if they do move their manufacturing overseas. The company didn't respond to the latest tweet.</p> http://www.pws.io/markets-start-the-week-in-the-red Mon, 13 Aug 2018 09:02:11 -0400 Dustin Tibbitts Trump Weekly: Special Counsel, Sanctions, and Space Force 2020 http://www.pws.io/trump-weekly-special-counsel-sanctions-and-space-force-2020 <p class='black-text'>Earlier this week, a team of White House attorneys <a href="https://www.cnn.com/2018/08/08/politics/donald-trump-robert-mueller-interview-rudy-giuliani/index.html">responded</a> to Special Counsel Mueller's request to interview President Trump. Rudy Giuliani, former Mayor of New York City and the current lead attorney, declined to reveal details of their counteroffer, except to say that it constituted a "good faith attempt to reach an agreement," and that there is one area where "we could agree, if they agree." Giuliani refused to indicate what this "area" might be. Giuliani has also <a href="https://www.marketwatch.com/story/trump-wont-sit-for-interview-with-mueller-after-sept-1-giuliani-says-2018-08-12">said</a> that Trump will not sit for an interview after September 1. While Trump has vocally denied that there was any collusion with Russia to meddle in the 2016 presidential election, and has publicly said he is willing to do an interview with Mueller, his legal team has tried to limit the scope of Mueller's questioning. As of the end of this week, Mueller had yet to respond to the counteroffer.</p><p class='black-text'>Meanwhile, the Mueller investigation has taken Paul Manafort, Trump's former campaign manager, to trial for bank fraud, tax evasion, and other crimes. While the charges against Manafort do not relate to collusion specifically, they important for the credibility of Mueller's investigation. As part of the trial, Mueller's team called Rick Gates, one of Manafort's former partners, to the stand. Gates pleaded guilty to conspiracy and lying to the FBI earlier this year, and as part of this plea agreed to cooperate with investigators to testify against Manafort. His testimony may prove <a href="https://www.cnn.com/2018/08/06/politics/paul-manafort-trial-rick-gates-donald-trump/index.html">damning</a>.</p><p class='black-text'>In international news, the Trump administration this week wielded sanctions against Turkey, Russia, and Iran. Secretary of State Mike Pompeo issued new sanctions against <a href="https://www.washingtonpost.com/world/national-security/russians-complain-of-new-us-sanctions-imposed-over-chemical-attack-in-britain/2018/08/10/7235aa50-9cb3-11e8-8d5e-c6c594024954_story.html?utm_term=.531b98feecf0">Russia</a> as punishment for its use of chemical weapons against a former spy in the UK. Trump approved economic <a href="https://www.nytimes.com/2018/08/10/business/turkey-erdogan-economy-lira.html">sanctions</a> against Turkey - doubling existing tariffs on Turkish steel and aluminum - for the continued detention of multiple American citizens by the Turkish government. And Trump reinstated sanctions against Iran that had been lifted since the 2015 nuclear accord. Despite <a href="https://www.nytimes.com/2018/08/06/us/politics/iran-sanctions-trump.html">evidence</a> that this accord has been effective, Trump does not trust that Iran has slowed its nuclear development; he imposed the sanctions again in hopes of curbing it. These varied sanctions have drawn mixed responses from the international community.</p><p class='black-text'>As international relations on planet Earth seem increasingly tense, the Trump administration has turned its attention to the skies. On Thursday, Vice President Mike Pence made a speech in which he called for the US to establish a military "<a href="https://www.nytimes.com/2018/08/09/us/politics/trump-pence-space-force.html">Space Force</a>" by 2020. To that end, the administration is calling on the Department of Defense to review their current approaches to military action in space. While Trump's <a href="https://www.defensenews.com/space/2018/08/09/no-answers-yet-on-cost-structure-of-space-force/">expensive</a> galactic plans still require <a href="https://www.nytimes.com/2018/08/09/us/politics/trump-pence-space-force.html">approval</a> from Congress, Trump is already banking on their success to the point that his reelection committee is creating "Space Force 2020" <a href="https://www.cnn.com/2018/08/09/politics/trump-campaign-space-force/index.html">merchandise</a>.</p> http://www.pws.io/trump-weekly-special-counsel-sanctions-and-space-force-2020 Sun, 12 Aug 2018 20:14:08 -0400 Ariel Courage US Finalizes $16 Billion Tariffs Against China http://www.pws.io/us-finalizes-16-billion-tariffs-against-china <p class='black-text'>Trump's administration announced that they will place an additional $16 million tariffs on China starting August 23, according to the US Trade Representative's office. The new tariff list targeted 279 import product lines. Only five were deleted from the initial list proposed on June 15. USTR removed those items because they deemed that taxing them would <a href="https://www.reuters.com/article/us-usa-trade-china/u-s-finalizes-next-china-tariff-list-targeting-16-billion-in-imports-idUSKBN1KS2CB">cause</a> "severe economic harm." China has <a href="https://www.bloomberg.com/news/articles/2018-08-07/u-s-finalizes-tariffs-on-16-billion-of-chinese-goods">stated</a> that they will counter Washington's move and impose tariffs of their own of an equivalent amount.</p><p class='black-text'>The products included intermodal shipping containers, floating docks, splitting and slicing machines used with wood, bone and hard plastics, microtomes, alginic acid, which is used in pharmaceuticals, textile printing, and dental impressions. This new list adds up to $50 billion total in taxed goods that now face a 25% tariff. The 25% trade tariffs will also apply to Chinese electronics, plastics, chemicals and railway equipment, which the US Trade Representative has said will benefit from China's "Made in China 2025" industrial plan.</p><p class='black-text'>President Trump has also threatened to impose tariffs on additional $200 billion worth of Chinese goods and maybe even another $300 billion worth. The Semiconductor Industry Association has expressed their disappointment at the administration's decision to keep semiconductors on the list, as they are crucial to technological development. In a statement, SIA President John Neuffer <a href="https://www.cnbc.com/2018/08/07/us-finalizes-next-china-tariff-list-targeting-16-billion-in-imports.html">said</a>, "We have made the case to the administration, in the strongest possible terms, that tariffs imposed on semiconductors imported from China will hurt America's chipmakers, not China's, and will do nothing to stop China's problematic and discriminatory trade practices." A trade war between US and China is estimated to reduce global output by .7% by 2020, with China's economy seeing a 1.3% drop and US GDP falling by 1%. China's trade surplus is currently at $28.1, close to record high. President Trump has stated on several occasions that although this move might hurt some industries in the short term, the US will reap long-term benefits as it forces China to negotiate. But how far will the administration have to go?</p> http://www.pws.io/us-finalizes-16-billion-tariffs-against-china Sun, 12 Aug 2018 19:32:09 -0400 Karina Petrunova Softbank May Invest in Robot Pizza http://www.pws.io/softbank-may-invest-in-robot-pizza <p class='black-text'>SoftBank (TYO: 9984), a Japanese multinational holding conglomerate, <a href="https://www.bloomberg.com/news/articles/2018-08-07/softbank-in-talks-to-invest-up-to-750-million-in-zume-the-startup-that-sells-robot-made-pizza">may</a> invest $500 million to $750 million in Zume, a robotic pizza startup based in Silicon Valley, through its massive Vision Fund investment division. It is reported that Zume has already started licensing its technology to various restaurants and owns a patent for delivery trucks equipped with robots capable of cooking food during the drive to the customer so that it arrives fresh. The ovens are operated through a remote cloud signal and can activate on demand. This technology allows Zume to operate legally despite laws that prevent food trucks from preparing / cooking food while the vehicle is in motion. Zume is also looking into various opportunities to partners with companies that wish to provide freshly cooked food to customers.</p><p class='black-text'>SoftBank is looking to capitalize on the recent influx of robotics-based food companies, of which Zume is just one part. It is <a href="https://www.forbes.com/sites/christinatroitino/2018/08/09/softbank-may-invest-750-million-in-robotics-pizza-pioneer-zume/#554bbbfc19fc%5C">reported</a> that the company also led a $535 million funding round for food delivery app DoorDash, and is currently in talks with Tesla. Softbank also has a 15% stake in UberEats, Uber's food delivery segment. Softbank is also the largest stakeholder in Uber overall. Zume could easily partner with UberEats and DoorDash. An additional round of funding from Softbank would significantly increase Zume's valuation. The company raised $48 million during Series B funding round in October 2017 and $23 million in Series A funding in December 2016.</p><p class='black-text'>SoftBank's investment in Zume indicates that robotics-based food companies, which carefully balance reduced labor costs and retaining some human capital, are trendy. Zume cofounder Alex Garden <a href="https://www.nasdaq.com/article/softbank-may-invest-up-to-750-million-in-robotic-pizza-startup-zume-cm1004338">cautions</a> that automation should be viewed as a means to help workers. This is directly visible in the company's new robot, dubbed Vincenzo, which takes hot pizzas from the oven and places them on delivery racks. This helps reduce the number of forearm burn incidents in the kitchen - crucial because one-third of occupation burns occur in restaurants. Garden also mentioned that robots will help workers be more social and productive by focusing their time and effort on more crucial and outward-facing aspects of the operation.</p> http://www.pws.io/softbank-may-invest-in-robot-pizza Sun, 12 Aug 2018 18:35:27 -0400 Karina Petrunova IPO markets have a slightly different focus this week. http://www.pws.io/ipo-markets-have-a-slightly-different-focus-this-week <p class='black-text'>Technically there is only one offering on the books this week as the summertime slow IPO season continues. For the next few weeks the IPO markets, much like the broad stock market, tends to slow as the US enjoy's the last of the summer vacation season. With this in mind, IPO investors tend to focus their attention on any new coverage of recent IPO's by market analysts. With this in mind, this week's IPO news could focus around that if any market analysts choose to initiate coverage and if so, what ratings they announce.</p><p class='black-text'>The one, new offering of the week is Aridis Pharmaceuticals <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ARDS"><span style="color:#333">(</span><span style=";">ARDS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ARDS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ARDS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ARDS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. This is a biotech company that is focused on antibiotics and other therapies for resistant infections. This offering is somewhat unique in that most of the deal is intended to be bought up by current shareholders and insiders. 89% of the $28 million offering will likely be bought up by Chinese investors but they still hope to offer 2 million shares at a range of $13 - $15 to raise the capital.</p><p class='black-text'>Also, we have Bionano Genomics <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNGO"><span style="color:#333">(</span><span style=";">BNGO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNGO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNGO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNGO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which delayed their offering from last week. This is the genome analysis company that has a proprietary system they want to bring to market. They hope to launch this week with their $30 million deal. Expect 5.5 million shares at a range of $5 -$6.</p> http://www.pws.io/ipo-markets-have-a-slightly-different-focus-this-week Sun, 12 Aug 2018 05:26:55 -0400 Dustin Tibbitts UBS and JPMorgan Chase Criticize Cryptocurrency http://www.pws.io/ubs-and-jpmorgan-chase-criticize-cryptocurrency <p class='black-text'>Banking giants UBS <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/UBS"><span style="color:#333">(</span><span style=";">UBS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="UBS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="UBS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="UBS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and JPMorgan Chase <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/JPM"><span style="color:#333">(</span><span style=";">JPM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="JPM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="JPM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="JPM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> recently issued statements critical of Bitcoin (BTC) and cryptocurrency. Each cited different reasons for their beliefs, but both reiterated pessimistic views on the idea of cryptocurrency itself.</p><p class='black-text'><a href="https://www.coindesk.com/ubs-bitcoin-is-too-unstable-and-limited-to-function-as-money/">The UBS report</a> argued that Bitcoin is neither money nor a legitimate asset class. UBS claimed that the fixed supply and inflation dynamics make price highly volatile, which precludes use as money or an asset class. UBS <a href="https://www.ccn.com/bitcoin-price-must-hit-213000-to-become-viable-usd-replacement-ubs/">added</a> that Bitcoin's price must reach $213,000 in order to have the chance to replace the $3.63 trillion M1 narrow money supply of US dollars, and was skeptical that the number of users will ever rise to enable such a high valuation. The view is in line with the bank's characterization of cryptocurrency as a speculative bubble last year.</p><p class='black-text'>The UBS report makes a few good points. Bitcoin prices remain highly volatile, which means it is both a poor medium of exchange and store of value. Also, when transaction fees rise as block sizes grow near the limit, merchants and sellers become hesitant to accept BTC for payment. Volatility and different prices on different exchanges signal that BTC is a risky store of value, as it can lose multiple percentage points in price after a few hours. However, Bitcoin's endgame is not necessarily to replace the fiat money supply. As it is marketed more as digital gold, it can be considered a legitimate asset class if it reaches a fraction of the market capitalization of gold, almost $8 trillion. In fact, it is arguable that Bitcoin, with a market cap of $112 billion, is already a new asset class. Its market cap dwarfs silver's $52 billion, even as Bitcoin has many more years of being mined than gold and silver.</p><p class='black-text'><a href="https://cointelegraph.com/news/jpmorgan-ceo-jamie-dimon-returns-to-bitcoin-bashing-calls-cryptocurrency-a-scam">Jamie Dimon</a>, CEO of JPMorgan Chase, also returned to bashing Bitcoin and cryptocurrency after nearly a year of silence. At the Aspen Institute's 25th annual gala, he called Bitcoin a scam and said he has no interest in it. He added that world governments might attempt to outlaw and destroy cryptocurrencies because they cannot easily control coins. Dimon remains an adherent of the "<a href="https://www.ccn.com/jamie-dimon-still-a-member-of-the-blockchain-not-bitcoin-brigade/">blockchain not Bitcoin</a>" school of thought, which believes that blockchain technology, not cryptocurrency, will be more likely to change the world.</p><p class='black-text'>It remains unclear why Dimon has abruptly broken his promise of silence, especially as big banks like Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and even JPMorgan Chase are considering opening BTC trading desks and addressing investment requests by clients. He does have a point that world governments might apply more scrutiny towards the sector, especially if privacy coins enable more crimes like money laundering and consumption of illicit goods and services. However, his comments that Bitcoin is a scam seem unsupported.</p><p class='black-text'>Big banks are currently in a tricky place. They are pressured by client demand and earnings competition to enter the cryptocurrency space. But they are also fundamentally opposed to the libertarian spirit and ethos of cryptocurrency. It will be intriguing to see how they try to reconcile the paradox.</p><p class='black-text'><i>The author owns a small amount of BTC.</i></p> http://www.pws.io/ubs-and-jpmorgan-chase-criticize-cryptocurrency Sat, 11 Aug 2018 18:19:07 -0400 Eric Yao Musk Hints at Taking Tesla Private http://www.pws.io/musk-hints-at-taking-tesla-private <p class='black-text'>On August 7, Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> CEO Elon Musk <a href="https://twitter.com/elonmusk/status/1026872652290379776?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1026872652290379776&ref_url=https%3A%2F%2Fwww.nytimes.com%2F2018%2F08%2F08%2Fbusiness%2Felon-musk-tesla-sec.html">tweeted</a> that he might take Tesla private. Musk noted that funding had been secured, and that shareholders could either sell at $420 or hold. Tesla's stock price rose 8% after this tweet.</p><p class='black-text'>It is unusual and controversial that such an <a href="https://www.wsj.com/articles/elon-musks-twitter-account-am-considering-taking-tesla-private-at-420-1533661152?mod=hp_lead_pos1">announcement</a> was made public through Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, though the SEC first began allowing companies to make such announcements via social media platforms. The SEC holds announcements made on Twitter or Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> to the same standard of factuality as any formal news release.</p><p class='black-text'>However, the SEC also advises that potentially market-moving information should be accompanied by a simultaneous release to the general public, not just to one's social media followers. The delay between Musk's tweet and Tesla's official announcement - which is still forthcoming, as Tesla's board is still considering the matter - could be of some interest to the SEC, according to Michael Liftik, a partner at the law firm Quinn Emanuel Urquhart & Sullivan. Indeed, multiple investors have already <a href="https://www.theguardian.com/technology/2018/aug/11/elon-musk-and-tesla-sued-over-funding-secured-tweet">sued</a> Musk, arguing that his tweet violated securities laws, and that Musk intended it mainly as retribution for short-sellers.</p><p class='black-text'>Going private would be enormously complicated for Tesla, which has <a href="https://www.nytimes.com/2018/08/07/business/tesla-stock-elon-musk-private.html">struggled</a> to turn an annual profit since it was founded in 2003. Tesla reported a $743 million loss for its second quarter, on revenue of $4 billion. Because of this, Tesla has attracted more short-sellers than any other publicly traded company, mostly because many investors doubt its ability to meet the high targets that Elon Musk has set. The company has lost $3 billion this year alone because of short-sellers.</p><p class='black-text'>This may be the primary reason to take Tesla private. In a <a href="https://www.cnbc.com/2018/08/07/why-elon-musk-wants-tesla-to-go-private.html">statement</a>, Musk stated that, "Being a public company and reporting earnings every three months puts enormous pressure on Tesla to make decisions that may be right for a given quarter, but not necessarily right for the long term." In a company memo published on Tesla's website containing a letter Musk sent to employees, Musk expressed his goal: "Basically, I'm trying to accomplish an outcome where Tesla can operate at its best, free from as much distraction and short-term thinking as possible, and where there is as little change for all of our investors, including all of our employees. This has nothing to do with accumulating control for myself. I own about 20 percent of the company now and don't envision that being substantially different after any deal is complete." Insiders own another 5%, and individual investors own about 12%. Institutions hold the remaining 62.2%.</p><p class='black-text'>Many investors are wondering where Elon Musk will get the funds for the buyout needed to go private. Musk's tweet followed a report that Saudi Arabia's Public Investment Fund recently completed the purchase of a nearly 5% stake in Tesla. Elon Musk would need to raise more than $50 billion in order to buy out other shareholders and an additional $10 billion in debt would make this the largest LBO in history, surpassing the $45 billion <a href="https://money.cnn.com/2007/02/26/news/companies/txu/index.htm?postversion=2007022609">acquisition</a> of Texas energy company TXU in 2007. Musk briefly described a plan in which Tesla would create a special-purpose fund allowing current investors to keep their shares and letting them buy or sell shares every 6 months. If shareholders are bought out at $420, this would represent a 20% premium over the stock price.</p> http://www.pws.io/musk-hints-at-taking-tesla-private Sat, 11 Aug 2018 18:09:08 -0400 Karina Petrunova In Another Loss for Social Media, Snap Loses Users http://www.pws.io/in-another-loss-for-social-media-snap-loses-users <p class='black-text'>In the first quarter earnings report released this past week, multimedia social app Snapchat <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SNAP"><span style="color:#333">(</span><span style=";">SNAP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SNAP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SNAP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SNAP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> revealed that it had lost users. Given the collective decline in users across technology platforms, like Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, many investors are worried that Snapchat is facing a bleak road ahead. The company lost 3 million users, bringing its total user base to 188 million, down from 191 million. This means that Snapchat's user base has shrunk by approximately 2%.</p><p class='black-text'><a href="https://www.pcmag.com/news/362991/snapchat-sees-its-first-ever-decline-in-users">Snapchat CEO Evan Spiegel admitted</a> that modifications in the Snapchat interface have contributed to the decrease in new users. Earlier this year, the company released a redesign <a href="https://marketrealist.com/2018/08/why-snapchats-user-base-is-shrinking">that separated personal user-to-user messages from media from celebrities and advertisers.</a> Additionally, Facebook's photo-sharing app and Snapchat competitor, Instagram, added a stories feature similar to Snapchat's, which<a href="https://marketrealist.com/2018/08/why-snapchats-user-base-is-shrinking"> slowed Snapchat's user growth. </a>Today, Instagram boasts more than a billion users across the world. For Snapchat, the user growth has exponentially decreased in North America, which is the most marketable continent for the company. As of August 2018,<a href="https://marketrealist.com/2018/08/a-silver-lining-in-snaps-gloomy-earnings"> North American users are three times numerous than European users.</a> Nevertheless, Snapchat has managed to maintain steady user group outside of North America and Europe, <a href="https://marketrealist.com/2018/08/a-silver-lining-in-snaps-gloomy-earnings">achieving a 65% increase of new users.</a></p><p class='black-text'>In order to extract more revenue from its existing users, Snapchat<a href="https://marketrealist.com/2018/08/a-silver-lining-in-snaps-gloomy-earnings"> has incorporated 6-second ads that cannot be skipped.</a> To grab the attention of potential Snapchat users, the company has released new <a href="https://www.wsj.com/articles/snapchat-parent-snap-posts-its-first-loss-in-daily-active-users-1533673045">products</a>, including Snap Kits that allow other apps to include features of Snapchat, and the second edition of Spectacles - glasses that give users the ability to snap photos or videos that are sent directly to Snapchat.</p><p class='black-text'>Although Snapchat has suffered from its rivalry with Instagram, second-quarter revenue reports show <a href="https://www.wsj.com/articles/snapchat-parent-snap-posts-its-first-loss-in-daily-active-users-1533673045">an increase of 44% to $262 million as compared to its revenue from a year ago.</a> Snap also announced a smaller loss of $443 million than a year ago ($353 million). After the report, <a href="https://www.wsj.com/articles/snapchat-parent-snap-posts-its-first-loss-in-daily-active-users-1533673045">Snapchat's shares rose by 10%</a> but sunk following Snapchat Chief Financial Officer Tim Stone's refusal to reveal a detailed strategy for growing user membership. It is likely that the slump in users will continue into the third quarter.</p><p class='black-text'>Perhaps the most promising advancement for Snapchat is the significant purchase of shares by Saudi Arabian businessmen Prince Alwaleed bin Talal. After the market closed, <a href="https://www.wsj.com/articles/snapchat-parent-snap-posts-its-first-loss-in-daily-active-users-1533673045">he announced that he had bought a stake in Snapchat valued at $250 million, approximately 2.3% of the company's shares.</a> Although the deal was created through his private business, Prince Alwaleed bin Talal is the chairman of Kingdom Holdings (TADAWUL: 4280), a firm that owns a significant amount of stock in Twitter and the Four Seasons hotel management company.</p> http://www.pws.io/in-another-loss-for-social-media-snap-loses-users Sat, 11 Aug 2018 17:47:10 -0400 Arlene Lormestoire Facebook Removes Political Influence Campaign http://www.pws.io/facebook-removes-political-influence-campaign <p class='black-text'>In late July, Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> <a href="https://www.wsj.com/articles/facebook-removes-fake-accounts-that-displayed-activity-consistent-with-russian-efforts-during-2016-election-1533055712">reportedly</a> uncovered a political influence campaign on its site designed to interfere in the US midterm elections, which will take place in November.</p><p class='black-text'>Facebook removed a total of 32 pages and accounts from its site and from its affiliated photo-sharing platform, Instagram. Facebook cited the accounts for "<a href="https://newsroom.fb.com/news/2018/07/removing-bad-actors-on-facebook/">coordinated, inauthentic behavior</a>" intended to mislead other users. The targeted accounts were all created between March 2017 and May of 2018. Between April 2017 and June 2018, the accounts paid $11,000 to run politically-oriented ads. At least one of the accounts had amassed over 290,000 followers; combined, the accounts and pages generated 9,500 organic posts. The posts were primarily about two potentially polarizing issues - a right-wing "Unite the Right" white supremacist rally and the #AbolishICE, a popular hashtag for members of the left hoping to shutter the US Immigration and Customs Enforcement agency.</p><p class='black-text'>Facebook did not identify a culprit behind the accounts. Nathaniel Gleicher, Facebook's head of cybersecurity policy, <a href="https://www.nytimes.com/2018/07/31/us/politics/facebook-political-campaign-midterms.html">said</a> that "at this point in our investigation, we do not have enough technical evidence to state definitively who is behind it." He noted, however, that the accounts used strategies akin to those used by the Internet Research Agency, the Russian group whose members were <a href="https://www.justice.gov/file/1035477/download">indicted</a> this year for interfering in the 2016 presidential election: "...We can say that these accounts engaged in some similar activity and have connected with known I.R.A. accounts." Unlike the I.R.A., however, which used Russian internet protocol addresses and paid for ads in rubles, and otherwise were easy to identify, these hackers were more careful to avoid detection. Facebook is working with the FBI and other intelligence agencies as they continue their investigation.</p><p class='black-text'>Facebook seems to be learning from its mistakes: the company was criticized roundly for its failure to prevent or even identify the interference in the 2016 election that took place on its platform. Facebook has also been plagued by other issues, including data privacy breaches, alleged political bias, and the general prevalence of misinformation or fake news on its sites. Earlier this year, founder and CEO Mark Zuckerberg had to defend Facebook to Congress, and Facebook's woes recently have taken a true financial toll: the company recently lost more than $120 <a href="https://www.nytimes.com/2018/07/25/technology/facebook-revenue-scandals.html">billion</a> in market value.</p><p class='black-text'>Other companies are taking the hint. Earlier in July, Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> said it would <a href="https://www.nytimes.com/2018/07/11/technology/twitter-fake-followers.html">purge</a> tens of millions of suspicious accounts from its platform.</p><p class='black-text'>This is not the only report of apparent midterm election meddling: two Democratic senators up for reelection have <a href="https://www.thedailybeast.com/russian-hackers-new-target-a-vulnerable-democratic-senator">apparently</a> been <a href="https://www.nytimes.com/2018/07/27/us/politics/russian-hackers-electric-grid-elections-.html">targeted</a> by Russian hackers. And even with Facebook's revamped efforts to limit meddling and misinformation campaigns, it has been difficult to stem the tide, and the company hasn't <a href="https://www.reuters.com/article/us-mexico-facebook/in-mexico-fake-news-creators-up-their-game-ahead-of-election-idUSKBN1JO2VG">always</a> been <a href="https://www.reuters.com/article/us-facebook-brazil-election-exclusive/facebook-removes-pages-of-brazil-activist-network-before-elections-idUSKBN1KF1MP">successful</a>.</p><p class='black-text'>Lawmakers commended Facebook for identifying and taking action against the problem, and the Congressional Intelligence Committee plans to meet with experts to address the problem.</p> http://www.pws.io/facebook-removes-political-influence-campaign Thu, 09 Aug 2018 20:11:38 -0400 Ariel Courage Stock Market Quiet Again with Low Trading Volume http://www.pws.io/stock-market-quiet-again-with-low-trading-volume <p class='black-text'>Stocks were quiet once again today as investors anxiously wait to see if the S&P 500 and/or the Nasdaq will hit new highs. The Dow 30 was lower by 74, the S&P 500 lost 4, and the Nasdaq 100 was higher by 3. Both the Nasdaq composite and the S&P 500 continue to be about a half of a percent from hitting new highs.</p><p class='black-text'>Volatility dropped again, showing that fear is at a low level for the year. Investors have been impressed with earnings, which are widely known for driving markets. Calming trade talks along with trade negotiations going smoothly with the EU leaves investors with little reason for worry for the moment.</p><p class='black-text'>Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares continued to retreat from highs set the other day when CEO Elon Musk tweeted that he would take the company private at $420 per share and that funding was secured. With no real news on that front, investors seemed to be losing faith that the CEO could deliver on those promises.</p><p class='black-text'>Dropbox <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DBX"><span style="color:#333">(</span><span style=";">DBX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DBX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DBX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DBX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher by 9% as the company is due to report earnings after the close. Investors have pushed the stock higher by nearly 30% in just the last 9 trading sessions on hopes of a strong earnings beat.</p><p class='black-text'>Viacom <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/VIAB"><span style="color:#333">(</span><span style=";">VIAB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="VIAB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="VIAB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="VIAB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares moved higher by 6% today as the company reported earnings that beat expectations. Revenue was in line with expectations, encouraging investors buy shares in the stock, which seems to be coming out of a year long downtrend.</p> http://www.pws.io/stock-market-quiet-again-with-low-trading-volume Thu, 09 Aug 2018 19:12:07 -0400 Dustin Tibbitts Pepsi CEO Indira Nooyi Steps Down http://www.pws.io/pepsi-ceo-indira-nooyi-steps-down <p class='black-text'>On Monday, Pepsi <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PEP"><span style="color:#333">(</span><span style=";">PEP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PEP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PEP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PEP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> announced that Indira Nooyi will officially step down as Chief Executive Officer in October. Ramon Laguarta, a company veteran of 22 years, will replace her. Laguarta formerly <a href="https://www.theguardian.com/business/2018/aug/06/indra-nooyi-pepsico-chief-executive-ramon-laguarta">headed</a> PepsiCo's global operations, corporate strategy, public policy, and governmental affairs, and also played an integral role in PepsiCo's expansion in sub-Saharan Africa.</p><p class='black-text'>Nooyi's departure leaves the S&P 500 on track to have just 23 female CEOs, less than <a href="https://www.cnbc.com/2018/08/06/pepsico-indra-nooys-departure-could-pave-way-for-for-spin-of-snack-an.html">5% </a>of the total, according to data from non-profit research group Catalyst. Last year, there were 27 female CEOs in the index.</p><p class='black-text'>Pepsi's North American beverage business, which includes Gatorade and its namesake cola, is its largest unit. It has posted declining revenue as sales of carbonated drinks fall and upstart brands eat into the market share of its non-cola drinks. Its Pepsi's Frito-Lay snack business, however, is a $15.8 billion unit that has delivered <a href="https://www.theguardian.com/business/2018/aug/06/indra-nooyi-pepsico-chief-executive-ramon-laguarta">3% sales and 6%</a> profit growth in the three years before its last report in February.</p><p class='black-text'>A potential restructuring of the business as a whole may also on the cards, with a move to perhaps split the snack and beverage business. "The investment bankers have been knocking on our door forever," outgoing PepsiCo CEO Indra Nooyi told analysts <a href="https://www.theguardian.com/business/2018/aug/06/indra-nooyi-pepsico-chief-executive-ramon-laguarta">earlier</a> this year when questioned about the possible reorganization.</p><p class='black-text'>"This transition could open a wider door to Pepsi considering a variety of potential alternatives, including stepped up refranchising ... even potentially splitting up the company," <a href="https://www.cnbc.com/2018/08/06/pepsico-indra-nooys-departure-could-pave-way-for-for-spin-of-snack-an.html">wrote</a> Bonnie Herzog, an analyst at Wells Fargo.</p><p class='black-text'>The company is one of many consumer goods groups struggling to generate growth from their traditional products as younger shoppers look for healthier, local, and niche goods. The problem is particularly pressing for soft drink makers. Overall soda consumption has dropped to its lowest level in more than 30 years. The pressure is on to find alternatives to sugary drinks. Nooyi chose to <a href="https://www.cnbc.com/2018/08/06/pepsico-indra-nooys-departure-could-pave-way-for-for-spin-of-snack-an.html">avoid large transactions that could have explored alternative markets</a>, including WhiteWave Foods, a maker of dairy alternatives that sold to Danone SA for $10 billion two years ago.</p><p class='black-text'>Last year, analyst speculation resurfaced that Kraft Heinz <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KHC"><span style="color:#333">(</span><span style=";">KHC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KHC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KHC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KHC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shareholder 3G Capital would engineer a complex three-way transaction under which Pepsi's snack arm would go to Kraft Heinz and the soda brands to Anheuser-Busch InBev SA.</p><p class='black-text'>The 64-year-old Nooyi has been with PepsiCo for 24 years. Under Nooyi's watch, PepsiCo's revenue grew to <a href="https://www.cnbc.com/2018/08/06/pepsico-indra-nooys-departure-could-pave-way-for-for-spin-of-snack-an.html">$63.5bn, from $35bn in 2006.</a></p><p class='black-text'>"Growing up in India, I never imagined I'd have the opportunity to lead such an extraordinary company," Nooyi <a href="https://www.cnbc.com/2018/08/06/pepsico-indra-nooys-departure-could-pave-way-for-for-spin-of-snack-an.html">said</a> in a statement. "PepsiCo today is in a strong position for continued growth with its brightest days still ahead."</p><p class='black-text'>Snack sales in US grew <a href="https://www.theguardian.com/business/2018/aug/06/indra-nooyi-pepsico-chief-executive-ramon-laguarta">2.5% from 2016 to 2017, </a>while soft drinks grew 1.6%, according to Euoromonitor. Carbonated drinks declined 0.8% in the same time period.</p> http://www.pws.io/pepsi-ceo-indira-nooyi-steps-down Wed, 08 Aug 2018 15:46:21 -0400 Tamanna Chhibbar Markets Basically Flat on Trade News and End of Earnings Season http://www.pws.io/markets-basically-flat-on-trade-news-and-end-of-earnings-season <p class='black-text'>Stocks were mostly calm today despite news that China will place new tariffs on $16 billion worth of goods. The 25% retaliatory tariff that China hinted at last week became official today, holding back the Dow 30, which lost 45 points. Caterpillar <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CAT"><span style="color:#333">(</span><span style=";">CAT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CAT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CAT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CAT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was once again hurt by the trade war, falling 2%. The S&P 500 closed flat on the day and the Nasdaq 100 gained 4 on the day.</p><p class='black-text'>As earnings season comes to a close, investors are turning their eyes back to the trade war and other Washington news. Over 90% of the S&P 500 has reported earnings so far, with almost 78% of them beating expectations. Earnings growth is holding steady at the 24% mark, better than the 20% expected by Wall Street.</p><p class='black-text'>Crude Oil was slammed today thanks to China's retaliation, lower shipments from Chinese crude imports, and a larger-than-expected reduction in US stockpiles. The price of oil fell 3.2% on the day to $66.94 a barrel, almost a 2-month low.</p><p class='black-text'>Shares of Disney <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIS"><span style="color:#333">(</span><span style=";">DIS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> were lower today as yesterday they announced earnings that missed analyst expectations. Revenue also came in lower than expected, which the company blamed on a reduction in subscribers at their troubled ESPN division. The company also cited costs associated with their battle for Fox, which has become quite competitive now that Comcast <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CMCS"><span style="color:#333">(</span><span style=";">CMCS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CMCS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CMCS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CMCS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has joined the fight.</p><p class='black-text'>Michael Kors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/KORS"><span style="color:#333">(</span><span style=";">KORS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="KORS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="KORS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="KORS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was the leader in the S&P 500 today, breaking out from a technical range today. The move came as the company reported earnings that came in better than anticipated. Revenue also beat expectations, which investors used as fuel to push prices above a nearly year-long range. Shares are now higher by 4% on the year.</p> http://www.pws.io/markets-basically-flat-on-trade-news-and-end-of-earnings-season Wed, 08 Aug 2018 15:25:10 -0400 Dustin Tibbitts ETF's continue their win streak. http://www.pws.io/etfs-continue-their-win-streak <p class='black-text'>The markets have continued on their win streak from last week. The S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is now within 1% of all time highs yet again. The SPY has steadily been climbing through earnings season and is now higher for the 4th day in a row. For the week the SPY has added almost 1%.</p><p class='black-text'>The NAsdaq 100 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> finds itself less than a half of a percent from hitting new highs as it too shows great strength in the last 5 days. Thanks to biotech stocks as well as further strength in tech stocks the QQQ remains the strongest of all sectors in recent weeks.</p><p class='black-text'>Financials <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLF"><span style="color:#333">(</span><span style=";">XLF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> also has done well this week with gains of 1%. The most important part of this recent strength in the XLF is the fact that sellers have mostly disappeared. This is a complete difference from last earnings season where the financials sold off at every possible moment.</p><p class='black-text'>While retail stocks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XRT"><span style="color:#333">(</span><span style=";">XRT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XRT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XRT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XRT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> had looked like they were topping out recently, this week they have come rapidly back to highs. Sitting in a wide range at highs, technical traders are waiting for the potential breakout to start the next move. With earnings from many retailers still pending, that could be just what they are waiting for.</p><p class='black-text'>Transports <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IYT"><span style="color:#333">(</span><span style=";">IYT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IYT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IYT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IYT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> started this week right where they left off last week, pushing higher in a straight line up. The Transports have added just over 1% so far this week, adding to their gains of over 6% for July. Technical traders note the only resistance left at the highs of $206.73.</p><p class='black-text'>Finally we have consumer discretionary stocks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLY"><span style="color:#333">(</span><span style=";">XLY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which are just a touch off highs. After a few weeks of some volatility the sector seems to be hinting at highs yet again. $113.57 is just a few cents away which would put the sector higher by almost 15% on the year.</p> http://www.pws.io/etfs-continue-their-win-streak Wed, 08 Aug 2018 06:41:14 -0400 Dustin Tibbitts Tencent Falls 25% from 2018 Peak in Tech Stock Rout http://www.pws.io/tencent-falls-25-from-2018-peak-in-tech-stock-rout <p class='black-text'>During a slump in US technology stock prices and worsening trade tensions between the US and China, internet giant Tencent Holdings Inc. (HKG: 0700) has lost <a href="https://www.bloomberg.com/news/articles/2018-07-31/think-u-s-tech-is-bad-check-out-tencent-s-140-billion-selloff">approximately $150 billion in market value since 2018 began</a>. This is the biggest loss for a technology company globally. Many analysts are reducing revenue estimates and removing the stock from their top stock lists. Brokerages such as Credit Suisse Group AG <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CS"><span style="color:#333">(</span><span style=";">CS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have slashed their price targets, and firms like Morgan Stanley <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MS"><span style="color:#333">(</span><span style=";">MS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have <a href="https://www.bloomberg.com/news/articles/2018-08-03/as-tencent-sinks-analysts-cut-everything-but-their-buy-ratings">removed</a> the company from their stock highlights. Tencent remains to be a well-regarded and recommended option for investment.</p><p class='black-text'>Due to the popularity of its messaging service WeChat, Tencent boasts of a revenue return surpassing <a href="https://www.bloomberg.com/news/articles/2018-08-03/as-tencent-sinks-analysts-cut-everything-but-their-buy-ratings">49,000% since it went public in 2004.</a> The market value gained from the messaging service alone allowed the company to gain a return bigger than any other stock across the world. This led many investors to chase after shares, contributing to a total share purchase of 30% of the company. As of today, Tencent remains to be the second-largest technology company in Asia, only trailing behind the giant Alibaba Group Holding <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BABA"><span style="color:#333">(</span><span style=";">BABA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BABA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BABA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BABA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>Nevertheless, the recent sharp decrease in the technology market - a market that until now has boasted consistent nine-year increase globally - is only increasing investor anxiety regarding Tencent. Linus Yip, a strategist based in Hong Kong, <a href="https://www.bloomberg.com/news/articles/2018-07-31/think-u-s-tech-is-bad-check-out-tencent-s-140-billion-selloff">notes that</a> "investors are increasingly pricing in lower expectations for Tencent's interim results...overall, tech companies are facing a similar problem. They have been enjoying fast profit growth in the past few years, so it will be difficult for them to maintain similar growth in the future as the competition grows and some segments are saturated."</p><p class='black-text'>The technology sector does not seem to be bouncing back anytime soon. The social media and networking powerhouse Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has lost a heavy $136 from their total market value, the second-highest loss after Tencent. Services offered by technology companies, like Tencent's mobile gaming unit, are facing a stall in growth. Tencent's gaming services alone have contributed to the company's overall decrease in stock, <a href="https://www.bloomberg.com/news/articles/2018-07-31/think-u-s-tech-is-bad-check-out-tencent-s-140-billion-selloff%20">which fell approximately 9.8% in the month of July.</a> Likewise, the rising uncertainty regarding trade has been fueled by the Trump Administration's series of threats and sanctions over the past six months. Recently, President Trump approved an increase of 25% on $34 billion worth of Chinese goods. In response to China's rebuttal of high tariffs, Trump <a href="https://www.businessinsider.com/trump-china-trade-war-tariffs-no-end-2018-8">has reportedly threaten to add 10% tariff increase on $200 billion worth of Chinese goods.</a> For Tencent, an increase in tariffs may not bode well for a company already suffering from an extensive slump in revenue and growing investor concern.</p> http://www.pws.io/tencent-falls-25-from-2018-peak-in-tech-stock-rout Tue, 07 Aug 2018 20:14:55 -0400 Arlene Lormestoire Tesla dominates headlines with tweet from Musk http://www.pws.io/tesla-dominates-headlines-with-tweet-from-musk <p class='black-text'>The markets were higher today as the energy and financial sector were the outperformers. The Dow 30 gained 126 points thanks to Caterpillar <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CAT"><span style="color:#333">(</span><span style=";">CAT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CAT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CAT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CAT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The S&P 500 was one of the main focus indices as it has now come within 1% of all time highs. The Nasdaq 100 was also positive on the day with a gain of 23, just about a half a percent from all time highs.</p><p class='black-text'>Earnings season and a reduction in Washington drama continue to be the driving force behind investors' appetite for risk. Strong fundamental performance from over 80% of the S&P 500 has helped investors justify these higher prices.</p><p class='black-text'>Stock News:</p><p class='black-text'>By far the most focused on stock of the day was Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> as the stock was halted after a tweet from CEO Elon Musk showed that he wanted to take the company private. Initially, given the enormous cost of this transaction, many felt that he had been hacked. The company did reveal that he did in fact tweet this, and his follow up tweets confirmed this as well.</p><p class='black-text'>Short traders we're blasted on this news as the stock shot up almost 20 points immediately before the halt. Musk says he wants to take the company private at $420 a share which would normally mean he would need about $70 billion to buy out all the shares plus the $12 billion or so in debt that the company has. The interesting part about this is that he wants shareholders to remain shareholders on a secondary, private market which would mean he would only need to assume the $12 billion in debt along with any operating funds needed to proceed. The Saudi's recently took a $2-3 billion stake in Tesla which has many feeling that they will be the ones to help support the transaction.</p><p class='black-text'>Disney <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIS"><span style="color:#333">(</span><span style=";">DIS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was higher by almost 1% higher today as the company gets ready to report earnings. Shares have blasted off in recent weeks with almost a 12% gain since the start of July. Earnings are due out after the close today.</p> http://www.pws.io/tesla-dominates-headlines-with-tweet-from-musk Tue, 07 Aug 2018 08:34:53 -0400 Dustin Tibbitts Smart Speaker Company Sonos Slashes IPO Price http://www.pws.io/-1-2-3-4-5-6-7-8-9-10-11-12-13-14-15-16-17 <p class='black-text'>At the very last minute of its IPO, Sonos <a href="https://www.cnbc.com/2018/08/01/sonos-ipo-smart-speaker-company-prices-shares.html">cut</a> the starting price of its shares to $15 per after originally intending to price them in a range of $17-19. This indicates that demand for the stock was lower than expected. The company disclosed its plan to go public on July 6th, and afterwards also said that it planned to raise up to $263.9 million - not including an over-allotment to underwriters. After selling 13.9 million shares at $15 a piece, the company has raised $208.5 million. Sonos trades under the ticker symbol "SONO" and the lead underwriters are Morgan Stanley <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MS"><span style="color:#333">(</span><span style=";">MS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Goldman Sachs <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>Sonos one of the traditional speaker makers such as Bose and Samsung (KRX: 005930). Sonos markets its high-end, web-connected speakers to music fans as the industry is continually moving towards smart assistants made by Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Google <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The company has a reported net loss of $14.2 million on revenue of $992.5 million in its most recent fiscal year. This is an improvement from fiscal 2016, when the company experienced a loss of $38.2 million on sales of $901.3 million.</p><p class='black-text'>Regardless, Sonos is also one of the few recent IPOs to ho experience a rising one-day chart - shares continued to rise above $20 even in after-trading hours. At the offer price, Sonos is valued at just below $1.5 billion. In April, MarketWatch <a href="https://www.marketwatch.com/story/sonos-confidentially-files-for-ipo-that-could-come-this-summer-2018-04-25">said</a> that Sonos could be worth as much as $3 billion as a public company.</p><p class='black-text'>Is it the stock, or did the company just choose a <a href="https://seekingalpha.com/article/4194315-sonos-ipo-still-upside-left">bad time</a> to issue an IPO? This is especially pertinent question after considering that NASDAQ experienced some rocky times recently. Valuation in the tech sector was questionable following disappointing results from companies such as Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p> http://www.pws.io/-1-2-3-4-5-6-7-8-9-10-11-12-13-14-15-16-17 Mon, 06 Aug 2018 15:40:40 -0400 Karina Petrunova CBS Head Les Moonves Accused of Sexual Misconduct http://www.pws.io/cbs-head-les-moonves-accused-of-sexual-misconduct <p class='black-text'>Les Moonves, the chairman, president, and CEO of CBS Corporation <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CBS"><span style="color:#333">(</span><span style=";">CBS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CBS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CBS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CBS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has been <a href="https://www.newyorker.com/magazine/2018/08/06/les-moonves-and-cbs-face-allegations-of-sexual-misconduct">accused</a> of sexual misconduct by six women at the company. Moonves, 68, has held senior roles at CBS for more than three decades and has been CEO since 2006. He also led the transformation of CBS into the most-watched channel with hit shows such as "The Big Bang Theory" and "Survivor."</p><p class='black-text'>The alleged incidents began in the 1980s and continued into he late 2000s. The women did not come forward earlier because they were afraid of retaliation. Of the six accusers, four agreed to disclose their names in the record: Ileana Douglas, an Emmy Award-winning actress; screenwriter Janet Jones; producer Christine Peter, and screenwriter Dinah Kirgo. The other two anonymous accusers were described only as a popular actress on a long-running CBS program and a former child star.</p><p class='black-text'>They all shared stories of unwanted advances made by Moonves, including forced kissing, and threats after rebuffing his advances. Moonves acknowledges that he tried to kiss Douglas in 1996, but denied any sexual assault, intimidation, or retaliatory action. Regarding the other allegations, Moonves denied them outright or said that he had no recollection. Moonves defended himself in a <a href="https://www.nytimes.com/2018/07/29/business/cbs-les-moonves.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=8&pgtype=sectionfront">statement</a>: "Throughout my time at CBS, we have promoted a culture of respect and opportunity for all employees, and have consistently found success elevating women to top executive positions across our company. I recognize that there were times decades ago when I may have made some women uncomfortable by making advances. Those were mistakes, and I regret them immensely. But I always understood and respected-and abided by the principle - that 'no' means 'no,' and I have never misused my position to harm or hinder anyone's career. This is a time when we all are appropriately focused on how we help improve our society, and we at CBS are committed to being part of the solution."</p><p class='black-text'>CBS issued a statement that it is currently investigating these claims: "All allegations of personal misconduct are to be taken seriously. The Independent Directors of CBS have committed to investigating claims that violate the Company's clear policies in that regard." At least two of fourteen board members have questioned whether Moonves should continue to run the company while the investigation is occurring.</p><p class='black-text'>This investigation is not the only reason that Mr. Moonves' role is in jeopardy. He is also currently in a <a href="https://consequenceofsound.net/2018/07/les-moonves-sexual-misconduct-allegations/">separate</a> legal battle with Shari Redstone, the leader of CBS's parent company, National Amusements - a private company based in Massachusetts. Mr. Moonves and the CBS Board sued Redstone because she attempted to merge the network with Viacom, also a subsidiary of the parent company. The issue will go on trial in October; if Moonves loses, he may well end up leaving the company. In a statement, the independent directors of the CBS Board allege that the allegations were made public published in an attempt to further hinder Moonves' chances of winning the case. Redstone, however, denied that she has any connection to the published article.</p> http://www.pws.io/cbs-head-les-moonves-accused-of-sexual-misconduct Mon, 06 Aug 2018 15:32:22 -0400 Karina Petrunova So-Called "Lifestyle Brands" Try New Marketing Approaches http://www.pws.io/so-called-lifestyle-brands-try-new-marketing-approaches <p class='black-text'>Lifestyle brands are all around us nowadays. From Nike <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NKE"><span style="color:#333">(</span><span style=";">NKE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NKE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NKE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NKE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> to Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, these companies promise to profoundly change consumer's lives for the better by purchasing from them. Lifestyle brands convince their customers that they can enjoy better standards of living, can achieve an "ideal version" of themselves, and can create a sense of community and belonging through the company. When a company defines itself a "lifestyle brand," it really tries to show that it doesn't just sell clothes or makeup, it provides an experience.</p><p class='black-text'>Some lifestyle brands are of course more successful than others. They choose a specific kind of person and consistently appeal to only them, like Nike. Once upon a time, Nike was strictly focused on producing running shoes. Now, however, Nike has become associated with an athletic subculture, allowing it to branch out into new areas like sports apparel and equipment. Nike's marketing strategy does not just target professional athletes; it targets anyone looking to lead a healthy and active lifestyle. To this end, through its marketing campaigns, Nike strives to show that anyone can be an athlete. The company hopes that when people buy Nike products, they believe they are investing in more than that purchase: they are investing in the values, or lifestyle, associated with Nike. Nike believes this allows them to build a deeper connection with its consumer base and cultivate loyalty. To this end, Nike launched an app called Nike+, which allows people to share their workout goals and achievements with their friends. This also creates an opportunity for word-of-mouth marketing, while also ensuring that customers are continually integrated into the brand and identify themselves with the lifestyle that Nike provides.</p><p class='black-text'>Food companies are also doing this as well. <a href="https://www.nytimes.com/2018/07/29/business/media/lifestyle-brands-marketing.html?rref=collection%2Fsectioncollection%2Fbusiness">According</a> to Chipotle executive Christopher Brandt, "Our ultimate marketing mission is to make Chipotle not just a food brand but a purpose-driven lifestyle brand. Chipotle will become a brand that people want to know about, want to be a part of and want to wear as a badge." Brands have always tried to persuade people that they represent something much larger than simply the goods that they sell; the social media, apps, and customized experiences that constitute the "lifestyle brand" platform gives them the opportunity to do just that.</p><p class='black-text'>Other famous "lifestyle brands" include yoga outfitter Lululemon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/LULU"><span style="color:#333">(</span><span style=";">LULU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="LULU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="LULU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="LULU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which <a href="https://fashionista.com/2017/03/lululemon-campaign">targets</a> affluent, sophisticated, and educated women who want an active, mindful lifestyle, and Amazon's <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> Whole Foods, which goes for upper-middle-class <a href="http://www.ijlemr.com/papers/volume3-issue2/15-IJLEMR-33078.pdf">families</a>.</p><p class='black-text'>Companies are now using emotion and "shared values" as a prime strategy to build stronger relationships with clients and in this way sell them more products. However, not all people see the lifestyle brand platform as a sure winner. <a href="https://www.nytimes.com/2018/07/29/business/media/lifestyle-brands-marketing.html?rref=collection%2Fsectioncollection%2Fbusiness">According</a> to David B. Srere, chief strategy officer at Siegel+Gale, a brand consultancy, "Any good brand should do all of those things," referring to "lifestyle brands," "societal brands," "purpose-driven brands," or any other spin on the current marketing trend. And it's true that "lifestyle brands" are not exactly <a href="https://www.tandfonline.com/doi/abs/10.1080/02642069900000018">new</a> - clothing company Abercrombie & Fitch <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ANF"><span style="color:#333">(</span><span style=";">ANF</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ANF" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ANF" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ANF" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, for example, used "lifestyle" <a href="https://www.salon.com/2006/01/24/jeffries/">tactics</a> in the 90s, and other companies like hiking outfitter Patagonia have long promoted environmentalism, a value that is not directly translatable into one single product. But Srere also says that if this new title or focus forces the company to think differently about their brand and their positioning to the public, then it actually serves a purpose and has a meaningful role, and isn't just marketing jargon.</p> http://www.pws.io/so-called-lifestyle-brands-try-new-marketing-approaches Mon, 06 Aug 2018 15:19:23 -0400 Karina Petrunova Markets Start the Week in the Green http://www.pws.io/markets-start-the-week-in-the-green <p class='black-text'>Though the outlook for today didn't initially look good, markets ended higher today. The Dow 30 was higher by 40 thanks to Disney <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/DIS"><span style="color:#333">(</span><span style=";">DIS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="DIS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="DIS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="DIS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> breaking to new highs, adding nearly 2%. The S&P 500 gained 10 thanks to strong moves in Advanced Micro Devices <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMD"><span style="color:#333">(</span><span style=";">AMD</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMD" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMD" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMD" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> as well as Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The Nasdaq 100 climbed 47 with the help of T-Mobile <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TMUS"><span style="color:#333">(</span><span style=";">TMUS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TMUS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TMUS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TMUS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Facebook.</p><p class='black-text'>Earnings continues to support the markets, stopping investors from responding to trade news and other negative headlines. Over 80% of companies have reported earnings that beat expectations, nearly breaking a 10-year record. Earnings growth is currently sitting at 24%, with Wall Street expecting 20%.</p><p class='black-text'>Stock News:</p><p class='black-text'>Cardinal Health <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CAH"><span style="color:#333">(</span><span style=";">CAH</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CAH" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CAH" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CAH" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> reported earnings today which were better than anticipated. Revenue was also better, which gave shares a little boost. The only negative which may have hurt today's performance was profits in pharmaceutical sales, which declined a bit thanks to generic sales. Shares are still lower on the year by about 20%.</p><p class='black-text'>Tyson Foods <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSN"><span style="color:#333">(</span><span style=";">TSN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> got a much needed boost today, gaining 3% as the company reported earnings that came in better than expected. Overall profits were higher thanks to a decline in their cattle costs. Technical traders looked to participate in the falling knife trade as share prices have been rapidly falling.</p><p class='black-text'>Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher by 4% today as the company reported that they are working with banks to gain access to user's financial information for their Messenger app, with the goal of allowing financial transactions to take place in the app.</p> http://www.pws.io/markets-start-the-week-in-the-green Mon, 06 Aug 2018 14:44:37 -0400 Dustin Tibbitts Treasury Department Considers Another Tax Cut for the Wealthy http://www.pws.io/treasury-department-considers-another-tax-cut-for-the-wealthy <p class='black-text'>The White House is reportedly considering bypassing Congress to create a tax cut that would mainly benefit the wealthiest Americans.</p><p class='black-text'>The potential tax cut - worth an estimated $100 billion - would be aimed at indexing capital gains to inflation. Steven Mnuchin, the Treasury secretary, is determining whether his department has the potential to use its regulatory powers to grant Americans the ability to account for inflation in determining capital gains tax liabilities, according to a report from <a href="https://www.nytimes.com/2018/07/30/us/politics/trump-tax-cuts-rich.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news"><i>The New York Times</i></a>. To Mnuchin's thinking, the Treasury Department should alter the criteria of "cost" for calculating capital gains. This would allow taxpayers to recalibrate the initial value of an asset, like property or stocks, to account for inflation at the time of sale. Currently, capital gains taxes are determined by subtracting the original price of an asset from the price at which it was sold and taxing the difference, usually at 20%. This bill could substantially reduce associated the taxable gain.</p><p class='black-text'>Mnuchin is still calculating what the impact of such a change would be, both in terms of raw economic costs and its effect on future growth. Mnuchin is also apparently evaluating whether his department actually has the authority to implement his plan without input or approval from Congress.</p><p class='black-text'>The proposed tax cut has already attracted several opponents. Critics say it would only add to the federal deficit, which is already approaching <a href="https://www.npr.org/2018/07/31/634396871/trump-administration-eyes-capital-gains-tax-cut">$1 trillion a year</a>. New York State Senator <a href="https://www.nytimes.com/2018/07/30/us/politics/trump-tax-cuts-rich.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news">Chuck Schumer</a> stated that it was outrageous to propose a bill that would primarily benefit the top 1% richest Americans at a time when wages are stagnant and the wealthy are doing just fine.</p><p class='black-text'>Capital gains taxes are overwhelmingly paid by high earners. The taxes were not affected by the $1.5 trillion tax law that Mr. Trump signed last year. A separate study concluded that more then 97% of the benefits of indexing capital gains to inflation would go to the top 10% of income earners in America, not to government revenue or decreasing the federal deficit, as Mnuchin claims.</p><p class='black-text'>Of course, conservatives suggest that such a plan, even if challenged by the courts, could benefit the economy by releasing a substantial <a href="https://www.nytimes.com/2018/07/30/us/politics/trump-tax-cuts-rich.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news">rush of asset sales</a> once the treasury announces this. Trump and his Republican colleagues argue that it will raise revenue for the government by way of creating economic efficiencies and faster growth.</p><p class='black-text'>Yet Republicans have been wrong before. A separate analysis of the success of Trump's tax cut showed little no to effects on creating revenue or spurring growth to date. In fact, corporate tax receipts have plunged and the deficit has soared since their last major tax cut, according to <i><a href="https://www.nytimes.com/2018/07/30/us/politics/trump-tax-cuts-rich.html?hp&action=click&pgtype=Homepage&clickSource=story-heading&module=first-column-region&region=top-news&WT.nav=top-news">The New York Times</a> - </i>though it is not without certain benefits, like boosting job <a href="https://www.forbes.com/sites/chuckdevore/2018/06/15/trump-tax-cut-leads-to-doubling-of-job-growth-in-low-tax-states-vs-high-tax/#6fd90c077b90">growth</a> in low-tax states.</p><p class='black-text'>With a slim Republican majority in the Senate right now and midterm elections coming up, the likelihood of Congress passing another tax bill this year is improbable. A unilateral action by the Treasury Department such as Mnuchin is proposing is without precedent and may prove impractical and even legally questionable. Several Democratic senators are currently urging Mnuchin to reconsider this proposal completely.</p> http://www.pws.io/treasury-department-considers-another-tax-cut-for-the-wealthy Sun, 05 Aug 2018 15:09:13 -0400 Rebecca Bruce 5 names ready to go this week. http://www.pws.io/5-names-ready-to-go-this-week <p class='black-text'>There are only 5 names up for grabs this week, raising a total of only $400 million but this is fairly normal for this time of year as the summer time break comes to an end. There are still a good mix of offerings available though, including an airline, a few financials, as well as some biotech.</p><p class='black-text'>First up is the largest offering. Mesa Air Group <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MESA"><span style="color:#333">(</span><span style=";">MESA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MESA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MESA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MESA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is a regional airline that contracts with the bigger carriers to satisfy their short haul trips to smaller airports. Currently MESA has 145 aircraft and hopes to raise $161 million to expand further. They will offer 10 million shares at a range of $14 - $16.</p><p class='black-text'>The second largest name of the week is Amalgamated Bank <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMAL"><span style="color:#333">(</span><span style=";">AMAL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMAL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMAL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMAL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which is a New York based bank. Founded in 1923 this Union owned bank has $153 million in revenue over the last 12 months. They hope to raise $107 million by offering million shares at a range of $15 - $17.</p><p class='black-text'>There are two biotech names up for grabs this week. The first is Bionano Genomics <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNGO"><span style="color:#333">(</span><span style=";">BNGO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNGO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNGO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNGO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which has a proprietary system that they offer for genome analysis. This is a carry over from last week but the deal is still the same. 5.5 million shares at a range of $5 - $6. The other name is Vaccinex <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/VCNX"><span style="color:#333">(</span><span style=";">VCNX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="VCNX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="VCNX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="VCNX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> which is building medications for neurological diseases and cancer as well. The company hopes to raise $45 million by offering 3.3 million shares at a range of $12 -$15.</p><p class='black-text'>Finally we have Pacific City Financial <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PCB"><span style="color:#333">(</span><span style=";">PCB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PCB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PCB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PCB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. This is a smaller bank based on California which specifically targets the Korean-American communities. They will be offering 2.3 million shares at a range of $20 - $22 in hopes of raising $50 million. Their filings show that they have $72 million in revenue over the last 12 months.</p> http://www.pws.io/5-names-ready-to-go-this-week Sun, 05 Aug 2018 06:17:30 -0400 Dustin Tibbitts Cryptocurrency Week in Review http://www.pws.io/cryptocurrency-week-in-review-1-2-3-4-5-6-7-8-9 <p class='black-text'>The first week of August has been exciting for the cryptocurrency markets. Arguably the biggest news is that the Intercontinental Exchange (ICE), the owner of the New York Stock Exchange, will launch a startup called <a href="http://fortune.com/longform/nyse-owner-bitcoin-exchange-startup/">Bakkt</a>, partnering with Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Starbucks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SBUX"><span style="color:#333">(</span><span style=";">SBUX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SBUX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SBUX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SBUX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, and Boston Consulting Group. Bakkt will serve as a federally regulated Bitcoin (BTC) marketplace. With bold ambitions, ICE wants Bakkt to eventually enable investors to buy BTC in 401(k)s and individual retirement accounts, as well as foster peace of mind with regulated and secure cold storage of coins. Bakkt also aims to disrupt the credit card industry by allowing consumers to pay for groceries directly from their Bitcoin wallets. The momentous news could mean that cryptocurrency is closer to institutional and widespread adoption than ever.</p><p class='black-text'>Here is the rest of the week in review:</p><p class='black-text'>The <a href="https://cointelegraph.com/news/philippines-securities-regulator-issues-draft-of-ico-rules-requests-feedback-from-public">Philippines' </a>securities regulator released a set of rules for initial coin offerings (ICOs). The draft states that any company must request the Securities and Exchange Commission (SEC) to determine if their ICO is a security token. The Commission will then review the application and respond within 40 days. The Philippine government has invited banks, funds, and the public to review and comment on the drafted rules. With that move, the Philippines is attempting to create a safe and regulated environment for cryptocurrency and ICOs.</p><p class='black-text'><i><a href="https://www.bloomberg.com/news/articles/2018-08-02/brokers-cryptocurrency-deals-are-said-to-be-focus-of-sec-review">Bloomberg </a></i>reports that the US SEC is investigating cryptocurrency exchanges for misconduct. The regulatory agency is researching the exchanges' business practices with clients. In particular focus is trading commissions, investment firms' relationships with ICOs, and the method hedge funds use to price their cryptocurrency investments. The SEC has also subpoenaed <a href="https://www.bloomberg.com/news/articles/2018-08-01/long-blockchain-gets-hit-with-sec-subpoena-after-nasdaq-ouster">Long Blockchain</a>, the ice tea company that infamously changed its name in December to enable a pump and dump of its stock price.</p><p class='black-text'><a href="https://www.goldmansachs.com/what-we-do/investment-management/private-wealth-management/intellectual-capital/isg-midyear-outlook-2018.pdf">Goldman Sachs </a><nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GS"><span style="color:#333">(</span><span style=";">GS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> reiterated its gloomy view on the cryptocurrency sector in the midyear issue of its Investment Management Division's 2018 outlook report. The investment bank remains committed to the view that cryptocurrencies are overvalued, citing Ethereum's price drop of over 70% from its all-time high. The report states that the bank expects prices to decline further, and argues that cryptocurrencies do not fulfill any of the roles of money. Although Goldman will open a Bitcoin trading desk and is warming to the idea of trading derivatives, it seems at least its private wealth management division remains skeptical of the sector.</p><p class='black-text'>Cryptocurrency prices plunged this week from $300 billion to around $260 billion, as the majors were clobbered by strong resistance at the 100 and 200-day exponential moving averages. The biggest losers are BitcoinDark (BTCD), down 46%, Peercoin (PPC), down 45%, and Wanchain (WAN), down 36%. The biggest winners are ZClassic, (ZCL), up 50%, Metaverse ETP (ETP), up 28%, and Ravencoin (RVN), up 27%. The majors' moving average convergence divergence recently crossed over into the negative, suggesting more pain ahead.</p><p class='black-text'><i>The author owns a small amount of BTC.</i></p> http://www.pws.io/cryptocurrency-week-in-review-1-2-3-4-5-6-7-8-9 Sat, 04 Aug 2018 09:06:08 -0400 Eric Yao Stock market closes out week higher. http://www.pws.io/stock-market-closes-out-week-higher <p class='black-text'>The markets were mostly higher to wrap up the week as Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continued to add to its new $1 trillion valuation. The Dow 30 closed higher today by 136 thanks mostly to Apple and IBM <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/IBM"><span style="color:#333">(</span><span style=";">IBM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="IBM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="IBM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="IBM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The S&P 500 added 13, and the Nasdaq 100 closed higher by 9</p><p class='black-text'>Comments from China about retaliatory tariffs on $60 billion worth of goods along with jobs numbers were the main economic considerations for investors today. Earlier in the week, Trump said he would consider raising the 10% tariff on $200 billion in goods to 25%.</p><p class='black-text'>Stock News:</p><p class='black-text'>CBS <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CBS"><span style="color:#333">(</span><span style=";">CBS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CBS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CBS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CBS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was once again the focus today as the company reported earnings that beat expectations. CEO Leslie Moonves made positive comments about the future of the companies and the earnings beat, but did not address allegations of sexual misconduct levied against him, which many investors had hoped to hear more about.</p><p class='black-text'>Activision Blizzard <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ATVI"><span style="color:#333">(</span><span style=";">ATVI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ATVI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ATVI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ATVI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were lower today despite a beat on earnings and revenue. The company guided lower than expected for full year revenue, sending shares down 4%. Shares still show a 16% gain on the year overall.</p><p class='black-text'>GoPro <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GPRO"><span style="color:#333">(</span><span style=";">GPRO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GPRO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GPRO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GPRO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher by 20% today as the company announced a loss of 15 cents per share and revenue that came in better than expected. The loss was smaller than Wall Street anticipated, which helped support prices today.</p> http://www.pws.io/stock-market-closes-out-week-higher Fri, 03 Aug 2018 20:26:59 -0400 Dustin Tibbitts What Paul Krugman and Skeptics Overlook about Cryptocurrency http://www.pws.io/what-paul-krugman-and-skeptics-overlook-about-cryptocurrency <p class='black-text'>On July 31, Paul Krugman wrote an <a href="https://www.nytimes.com/2018/07/31/opinion/transaction-costs-and-tethers-why-im-a-crypto-skeptic.html">opinion piece</a> in the <i>New York Times</i> in which he criticized the very idea and future of cryptocurrency. The Nobel laureate economist has long vocally objected to Bitcoin (BTC) and cryptocurrency in general, beginning with two 2013 opinion pieces titled "<a href="https://www.nytimes.com/2013/04/15/opinion/krugman-the-antisocial-network.html">The Antisocial Network</a>" and "<a href="https://krugman.blogs.nytimes.com/2013/12/28/bitcoin-is-evil/">Bitcoin is Evil</a>." In the new article, Krugman focuses his attack on transaction costs and the absence of tethering in the cryptocurrency space.</p><p class='black-text'>His argument is as follows: skepticism of cryptocurrencies is deserved because they contain more transaction costs than modern fiat money and have nothing real backing their value. On the first point, the long history of money shows that it progressively reduced the costs of doing business and related frictions. But cryptocurrency sets monetary technology back 300 years because it introduces transaction fees and mining costs. On the second point, the prices of cryptocurrency depend on animal spirits and emotions. While value may exist due to demand from black market activities, hype and irrational exuberance drives most of the lofty valuation. His final question asks what problem cryptocurrency solves.</p><p class='black-text'>I believe Krugman's analysis of transaction costs is important, but shortsighted. While he compares Bitcoin to ancient gold bullion and coins, cryptocurrency should actually be viewed as its own world. From first-generation Bitcoin and Litecoin (LTC) to second-generation Ethereum (ETH), cryptocurrency's transaction costs have decreased. Newer cryptocurrencies like <a href="https://www.iota.org/">IOTA </a>(IOTA) and <a href="https://nano.org/en">Nanocurrency </a>(NANO) strive to eliminate transaction fees for good. More cryptocurrencies are abandoning proof-of-work mining to switch to a more efficient and environmentally-friendly consensus mechanism. Finally, though Krugman unfairly compares Bitcoin to credit and debit cards, often times BTC and ETH are faster and cheaper to transact than wire transfers and payment apps like Zelle and Venmo.</p><p class='black-text'>Krugman's view on what he calls tethering is also misguided. Although he is correct that the value of the dollar is backed by the US government's taxing power, that observation does not mean that cryptocurrency is not backed by anything. Cryptocurrency is backed by the demand for its utility. The illegality of cryptocurrency black market trades does not detract from its usefulness. Cryptocurrency has many legitimate purposes, including as a medium of exchange and inflation hedge in Venezuela and a tool for remittances across the globe. In an ironic twist, the transaction costs that Krugman decries serve as the tethering substance behind cryptocurrency. While it is true that nobody<i> needs</i> to use crypto, millions of people<i> want </i>to use it. Users must pay with crypto in order to use crypto.</p><p class='black-text'>Krugman has expressed pessimism about cryptocurrency for five years and refused to change his mind after learning new information. He obviously dislikes the idea due to the libertarian bent of the community. Of course, crypto can also be used for progressive causes. Cryptocurrency can help the unbanked poor access funds, let peaceful citizens transact privately, aids companies in cutting costs, diversifies investor and institutional holdings, and could potentially secure electronic systems like storage and voting. Here's to hoping Krugman realizes what he is missing.</p><p class='black-text'><i>The author owns a small amount of BTC, LTC, and IOTA.</i></p> http://www.pws.io/what-paul-krugman-and-skeptics-overlook-about-cryptocurrency Fri, 03 Aug 2018 20:23:19 -0400 Eric Yao Popular MoviePass App May Fold Due to Unsustainable Business Model http://www.pws.io/popular-moviepass-app-may-fold-due-to-unsustainable-business-model <p class='black-text'>MoviePass, a popular app that let users see a movie per day for a low monthly subscription fee, is currently falling short of its promise.</p><p class='black-text'>The company's executives announced that their subscribers will not be able to view the anticipated upcoming releases "Christopher Robin" and "The Meg." Customers had also recently been unable to see the recently released box office hit "Mission Impossible: Fallout." In an open letter to subscribers, MoviePass CEO Mitch Lowe <a href="https://www.businessinsider.com/moviepass-ceo-says-tickets-to-major-releases-will-not-be-available-on-app-2018-7">said</a> "As we continue to evolve the service, certain movies may not always be available in every theater on our platform."</p><p class='black-text'>The company has cut off customers from big releases in order to keep costs down. MoviePass must pay the full price per ticket for its subscribers - which ultimately means that costs have exceeded total revenue received from subscriber costs. According to analysts, <a href="https://www.businessinsider.com/moviepass-ceo-says-tickets-to-major-releases-will-not-be-available-on-app-2018-7">MoviePass paid for approximately 1.15 million tickets as of mid-July on the movie "Avengers: Infinity War."</a> Increasing ticket prices have also contributed to MoviePass' inability to sustain itself.</p><p class='black-text'>In fact, MoviePass recently completely ran out of funds, leading to a day-long service outage. Near the end of July, the company filed for <a href="https://www.nytimes.com/2018/07/29/business/moviepass-service-outage-finances.html">a loan of $5 million to follow through on "required payments" to its merchants,</a> leaving its 3 million subscribers unable to watch movies for a day. Research analysts have since concluded that the service outage was a harbinger for the company's end. Box office analyst Jeff Bock <a href="https://money.cnn.com/2018/08/02/media/moviepass-defends-business/index.html">notes </a>that despite receiving the loan, MoviePass' future is cloudy since they still do "everything backwards." Bock further <a href="https://money.cnn.com/2018/08/02/media/moviepass-defends-business/index.html">stated that</a> "if they survive...it will be a valuable learning tool on how 'not' to do business." Analysts also note that MoviePass' lack of clarity concerning service changes, disruptions, and long delays for the arrival of its membership cards has further contributed to its financial woes.</p><p class='black-text'>Although MoviePass' parent company, Helios and Matheson Analytics (HMNY), <a href="https://www.businessinsider.com/moviepass-ceo-says-tickets-to-major-releases-will-not-be-available-on-app-2018-7">completed a reverse stock split that temporarily rose its shares to $14 from $0.09 in July, the service outage caused its stock to close at $2.</a> Recently, the stock has fallen down again to $0.10 at a loss of approximately 99%. In response to the stock's fall and rising public doubt, MoviePass has <a href="https://money.cnn.com/2018/08/02/media/moviepass-defends-business/index.html">commented </a>that the "talk of our demise is greatly exaggerated" - a response that is short on details and not exactly confidence-inspiring. In order to offset costs, the price of a MoviePass subscription is reportedly due to rise from its monthly price of $9.99 to $15.</p><p class='black-text'>Whether or not MoviePass survives, its impact on the movie world has not gone unnoticed. Past partner <a href="https://www.nytimes.com/2018/07/31/movies/moviepass-timeline.html">and current competitor AMC <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMC"><span style="color:#333">(</span><span style=";">AMC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has recently announced its own movie subscription service at a monthly rate of $20. </a>Cinemark <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CNK"><span style="color:#333">(</span><span style=";">CNK</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CNK" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CNK" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CNK" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, <a href="https://money.cnn.com/2018/08/02/media/moviepass-defends-business/index.html">another movie theater, has also released a subscription service as well. </a></p> http://www.pws.io/popular-moviepass-app-may-fold-due-to-unsustainable-business-model Fri, 03 Aug 2018 20:15:40 -0400 Arlene Lormestoire BP adds more shale assets to its portfolio http://www.pws.io/bp-adds-more-shale-assets-to-its-portfolio <p class='black-text'>BP <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BP"><span style="color:#333">(</span><span style=";">BP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> <a href="https://www.bloomberg.com/news/articles/2018-07-26/bp-to-pay-10-5-billion-for-most-of-bhp-s-u-s-shale-assets%20">announced</a> the purchase of shale assets from a struggling mining giant BHP Billiton <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BHP"><span style="color:#333">(</span><span style=";">BHP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BHP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BHP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BHP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> for a record sum of $10.5 billion. Through this purchase, BP will regain access to Permian Basin reserves, which they disposed of after the Deepwater Horizon disaster in 2010. This is the biggest acquisition BP has finalized since 1999.</p><p class='black-text'>With this purchase, BP will <a href="http://www.naturalgasintel.com/permian-shale-acreage-positions">increase</a> its US onshore oil and gas resources by 57%, acquiring 470,000 acres of land. The company will intensify operations in the Permian Basin, a sedimentary basin located in West Texas and New Mexico. BP will work together with Exxon Mobile <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XOM"><span style="color:#333">(</span><span style=";">XOM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XOM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XOM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XOM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Chevron <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CVX"><span style="color:#333">(</span><span style=";">CVX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CVX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CVX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CVX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, among others. Additionally, the purchase gives BP access to Eagle Fort and Haynesville oilfields, rendering BP the owner of the most productive acreage in the onshore US.</p><p class='black-text'>"This is a transformational acquisition for our (onshore US) business, a major step in delivering our upstream strategy and a world-class addition to BP's distinctive portfolio," according to the <a href="https://www.bp.com/en/global/corporate/media/press-releases/bp-acquires-unconventional-assets-from-bhp.html">statement</a> released by the BP CEO Bob Dudley. It is a pivotal moment for a company, which has struggled with charges and penalties totaling $65 billion related to Deepwater Horizon. To showcase its latest performance, BP also announced a share buyback to be financed mainly by the disposition of some upstream assets.</p><p class='black-text'>It seems the oil giant has finally <a href="https://www.forbes.com/sites/greatspeculations/2012/02/07/bp-goes-for-public-relations-makeover-to-get-beyond-gulf-spill/#2df42c4013fa">overcome</a> the consequences of the Deepwater Horizon disaster, which spilled 4.9 billion barrels of oil into the Gulf of Mexico and holds the title for the largest marine oil spill in the petroleum industry's history. Now, BP wants to send the message of safer producer with a "fit for the future" attitude. In its strategy proposition for 2018, Bob Dudley <a href="https://www.bp.com/content/dam/bp/en/corporate/pdf/investors/bp-fourth-quarter-2017-results-presentation-slides-and-script.pdf">praised</a> the company for its turn towards solar energy through a partnership with one of Europe's largest solar development companies, Lightsource. In the course of 3 years, the company plans to invest $200 million and acquire a 43% stake in the solar leader.</p><p class='black-text'>BP's acquisition of shale reserves is not unique. Due to rising oil prices and a positive outlook for the industry, the smaller players are tending to get rid of their natural gas reserves and intensify oil extraction. It is happening with Chesapeake natural gas fields in Ohio, which Chesapeake Energy Corporation <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CHK"><span style="color:#333">(</span><span style=";">CHK</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CHK" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CHK" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CHK" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is <a href="https://www.reuters.com/article/us-chesapeake-enrgy-divestiture/chesapeake-energy-plans-to-sell-utica-shale-stake-for-2-billion-idUSKBN1KG2YS">selling</a> to Houston-based Encino Acquisition Partners for $2 billion. Chesapeake wants to improve its balance sheet with this move and invest in oilfields in Wyoming. The case is not exactly parallel to struggling mining giant BHP, however, which needed to sell its shale assets in response to constant pressure from activist investors like Elliott Assets Management. The Anglo-Australian BHP <a href="https://www.businessinsider.com/macquarie-bhps-sale-of-its-shale-oil-assets-overshadowed-yesterdays-profit-result-2017-8">described</a> its onshore US assets as a "costly and mistimed investment." The possession of this assets led to $4.9 billion impairment charge write-down in 2016 due to low oil prices. In total, BHP lost around 19 billion USD in this investment.</p> http://www.pws.io/bp-adds-more-shale-assets-to-its-portfolio Thu, 02 Aug 2018 05:47:49 -0400 ​Dominika Rzechorzek Markets Remain Choppy at Highs http://www.pws.io/markets-remain-choppy-at-highs <p class='black-text'>The markets have started the week a little mixed with the S&P 500 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPY"><span style="color:#333">(</span><span style=";">SPY</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPY" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPY" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPY" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> trading back and forth. Sitting at six-month highs, earnings season continues to hold the S&P higher. With over 60% of companies now having reported earnings, the good results have the bulls happy for now. Rumors of behind-the-scenes trade discussions between the US and China have also made bulls happy.</p><p class='black-text'>Tech stocks and the Nasdaq 100 <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QQQ"><span style="color:#333">(</span><span style=";">QQQ</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QQQ" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QQQ" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QQQ" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> tell a slightly different story. The media has turned their attention to the FANG stocks and their recent sell off. Questions still remain about how these stocks will perform going forward, and with that in mind, the QQQ finds itself about 3% off highs.</p><p class='black-text'>Consumer staples <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLP"><span style="color:#333">(</span><span style=";">XLP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> continues to sneakily push higher. Though it has yet to convincingly break above the 200-day moving average, the XLP is steadily moving higher, suggesting some sector rotation in play. Steady volume confirms the money moving into this sector.</p><p class='black-text'>Healthcare stocks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLV"><span style="color:#333">(</span><span style=";">XLV</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLV" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLV" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLV" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> are also having a good week thanks to positive earnings from some of the big healthcare companies in the space. The XLV is sitting at 6-month highs, steadily adding to this already strong uptrend. For the week the XLV is higher by about 1.5%.</p><p class='black-text'>Oil <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/USO"><span style="color:#333">(</span><span style=";">USO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="USO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="USO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="USO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> started the week by losing almost 2% on Tuesday alone. With many investors starting to recognize the supply available around the world, many are questioning if $70 per barrel is too high. Technical traders are not too concerned just yet as any drop from here offers ample support areas.</p><p class='black-text'>Lastly, metals and mining stocks <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XME"><span style="color:#333">(</span><span style=";">XME</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XME" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XME" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XME" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> have continued their selloff this week. Last week the XME moved towards the 200 day moving average and this week nearly hit it on Tuesday. Gold hovering at lows doesn't leave much of a bullish argument for the miners.</p> http://www.pws.io/markets-remain-choppy-at-highs Thu, 02 Aug 2018 05:31:37 -0400 Dustin Tibbitts Stock Market Starts August Mostly Lower http://www.pws.io/stock-market-starts-august-mostly-lower <p class='black-text'>August 1 ended with markets in the red as Federal Reserve news and more trade tensions held stocks back. The Dow 30 was lower by 81, the S&P 500 closed down 2, and the Nasdaq 100 added 35 thanks to Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>The news of possible 25% tariffs on China sent big Dow names like Caterpillar <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CAT"><span style="color:#333">(</span><span style=";">CAT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CAT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CAT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CAT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and 3M <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MMM"><span style="color:#333">(</span><span style=";">MMM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MMM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MMM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MMM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> lower on the day along with a small loss in Boeing <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BA"><span style="color:#333">(</span><span style=";">BA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr></p><p class='black-text'>The Federal Reserve finished their two-day meeting today with not much new in the way of interest rates, but did comment that the economy was strong, further confirming the probability of more rate hikes.</p><p class='black-text'>Stock News:</p><p class='black-text'>Apple was the talk of the street today as the company reported earnings that came in better than expected. Revenue also came in better than anticipated thanks to a strong quarter for iPhone X sales. The stock hit new highs on the day, gaining 5%. Apple is now higher by over 12% on the year.</p><p class='black-text'>Cheesecake Factory <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CAKE"><span style="color:#333">(</span><span style=";">CAKE</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CAKE" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CAKE" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CAKE" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares plummeted 12% today following their earnings release, which showed earnings lower than expected. The company also cited rising medical insurance costs as a hit to the bottom line. The drop today erased over 3 months of gains.</p><p class='black-text'>Pandora <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/P"><span style="color:#333">(</span><span style=";">P</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="P" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="P" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="P" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher today despite showing a loss. The loss was smaller than expected, which Wall Street considered a win. Shares were higher by 6% as the company said they have 6 million subscribers now with revenue higher than expected. Competitor Spotify <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SPOT"><span style="color:#333">(</span><span style=";">SPOT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SPOT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SPOT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SPOT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> was lower on this news.</p><p class='black-text'>Garmin <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GRMN"><span style="color:#333">(</span><span style=";">GRMN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GRMN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GRMN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GRMN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher by 3.5% today as the company reported earnings that beat expectations. They cited strong sales in their wearable fitness division and outdoor electronics as the reason for the beat. The stock is higher by about 5% on the year.</p> http://www.pws.io/stock-market-starts-august-mostly-lower Thu, 02 Aug 2018 05:26:30 -0400 Dustin Tibbitts T-Mobile US Names Nokia for $3.5 Billion 5G Deal http://www.pws.io/t-mobile-us-names-nokia-for-35-billion-5g-deal <p class='black-text'>T-Mobile US <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TMUS"><span style="color:#333">(</span><span style=";">TMUS</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TMUS" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TMUS" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TMUS" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has crowned Nokia <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NOK"><span style="color:#333">(</span><span style=";">NOK</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NOK" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NOK" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NOK" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> as its official supplier of <a href="https://www.reuters.com/article/us-telecoms-5g-nokia-t-mobile-us/nokia-t-mobile-us-agree-3-5-billion-deal-worlds-first-big-5g-award-idUSKBN1KK1IK">$3.5 billion in next-generation 5G network gear</a>, the firms said on Monday, marking the world's largest 5G deal so far and solid evidence of a new wireless upgrade cycle that will anchor itself in the telecommunications industry.</p><p class='black-text'>The deal is one of Nokia's largest contracts to date and a sign that network equipment vendors are starting to gain business from the new cellular technology. Nokia will help build a nationwide <a href="https://www.zdnet.com/article/t-mobile-nokia-seal-3-5-billion-deal-to-build-out-5g-network/">5G grid</a> for the No. 3 wireless carrier, which has said its customers in New York, Los Angeles, Dallas, and Las Vegas will be first to run the technology early next year.</p><p class='black-text'>The T-Mobile award is critical to Finland's Nokia, whose results have been battered by years of slowing demand for existing 4G networks and mounting investor doubts over whether 5G contracts can begin to boost profitability later this year. The T-Mobile win helps it to compete with rival Ericsson in the 5G telecom equipment market. Specifically, T-Mobile will use Nokia's <a href="https://www.zdnet.com/article/t-mobile-nokia-seal-3-5-billion-deal-to-build-out-5g-network/">AirScale radio platform and cloud, AirFrame hardware, CloudBand software and SON and 5G Acceleration Services.</a></p><p class='black-text'>"It's our largest 5G deal to date, and in fact, one of the largest deals Nokia's ever signed," Phil Twist, vice president for marketing at Nokia's Mobile Networks unit, <a href="https://www.reuters.com/article/us-telecoms-5g-nokia-t-mobile-us/nokia-t-mobile-us-agree-3-5-billion-deal-worlds-first-big-5g-award-idUSKBN1KK1IK">said</a> by phone. "This underlines and makes concrete that 5G is coming to the market."</p><p class='black-text'>Nokia shares rose as much as <a href="https://www.reuters.com/article/us-telecoms-5g-nokia-t-mobile-us/nokia-t-mobile-us-agree-3-5-billion-deal-worlds-first-big-5g-award-idUSKBN1KK1IK">2.5% after the announcement and were trading 1.1% higher at 4.75 euros as of 4:37 p.m. in Helsinki. In a separate statement, Nokia said that its outlook included the impact of the T-Mobile agreement.</a></p><p class='black-text'>Terms of the deal include the fact that Nokia needs to supply a range of 5G hardware, software and services that will allow T-Mobile to capitalize on licensed airwave to deliver, broad coverage on <a href="https://www.zdnet.com/article/t-mobile-nokia-seal-3-5-billion-deal-to-build-out-5g-network/">600 megahertz spectrum</a> and ultra high-speed capacity on 28 megahertz airwaves in densely trafficked urban areas, the companies said.</p><p class='black-text'>The US and China have been at the forefront of next-generation mobile technology. All major American operators have announced plans to deploy 5G, which boasts download speeds and capacity that will enable everything from autonomous vehicles to remote surgery and traffic control. Nokia and its Swedish rival Ericsson AB are in prime positions to benefit from investments in the new infrastructure as their main competitor,<a href="https://www.zdnet.com/article/t-mobile-nokia-seal-3-5-billion-deal-to-build-out-5g-network/"> China's Huawei Technologies Co</a>., is blocked from supplying equipment to US carriers.</p> http://www.pws.io/t-mobile-us-names-nokia-for-35-billion-5g-deal Tue, 31 Jul 2018 16:27:04 -0400 Tamanna Chhibbar India to Propose New Legislation over Social Media Privacy Concerns http://www.pws.io/india-to-propose-new-legislation-over-social-media-privacy-concerns <p class='black-text'>In a move that could affect global giants like Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, India is considering legislation that would compel e-commerce and social media firms to exclusively store customer data locally. A draft of a sweeping data privacy bill has been submitted to India's government that, if enacted, will restrict the transfer and storage of information on more than <a href="http://whbl.com/news/articles/2018/jul/30/india-mulls-single-regulator-for-e-commerce-sector-document/">1 billion people by global technology corporations like Google</a> <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>.</p><p class='black-text'>Google generates $1 billion in ad revenues in India and Facebook, including its popular WhatsApp video messaging app, is accessed by <a href="http://whbl.com/news/articles/2018/jul/30/india-mulls-single-regulator-for-e-commerce-sector-document/">217 million people every month.</a></p><p class='black-text'>"The Act shall apply to the processing of personal data by data fiduciaries or data processors not present within the territory of India, only if such processing is - (a) in connection with any business carried on in India, or any systematic activity of offering goods or services to data principals within the territory of India; or (b) in connection with any activity which involves profiling of data principals within the territory of India," <a href="https://www.hindustantimes.com/india-news/data-protection-bill-will-hold-tech-companies-such-as-facebook-google-accountable-for-users-information/story-b4M09oWObb8L2HWDvszJuJ.html">stated</a> the draft Personal Data Protection Bill, 2018.</p><p class='black-text'>The rising popularity of smartphones in India has triggered an explosion of sensitive information despite a lack of regulation, sparking concern among privacy activists and citizen groups about potential abuse. Advocates of the bill argue for more comprehensive regulation to protect the rights of users -- an issue that has been widely discussed since revelations about the leak of data on millions of Facebook users and a series of high-profile cyber-attacks.</p><p class='black-text'>"In a nutshell, these companies will be accountable for the data they collect in India. There will be consequences for this, and one hopes they engage to fix and strengthen this bill and recognize that a strong privacy law is a requirement for everyone," <a href="xhttp://whbl.com/news/articles/2018/jul/30/india-mulls-single-regulator-for-e-commerce-sector-document/">said</a> lawyer and founder of the Internet Freedom Foundation, Raman Jit Singh Chima.</p><p class='black-text'>Google and Facebook declined to comment.</p><p class='black-text'>The measures come at a time when India is seeing investments flood in from deep-pocketed foreign players eager to tap into the country's e-commerce market, forecast to be worth <a href="https://www.hindustantimes.com/india-news/data-protection-bill-will-hold-tech-companies-such-as-facebook-google-accountable-for-users-information/story-b4M09oWObb8L2HWDvszJuJ.html">$200 billion in a decade.</a></p><p class='black-text'>"If this becomes law, seamless data transfer between hubs will become a challenge for companies such as Facebook, Google, and Twitter, leading to a disjointed experience for their users," <a href="http://whbl.com/news/articles/2018/jul/30/india-mulls-single-regulator-for-e-commerce-sector-document/">said</a> Suneeth Katarki, founder-partner of Bangalore-headquartered IndusLaw, which consults for clients on the matter. "On the other hand, companies like Google and Amazon will be offered a massive business opportunity for expanding their cloud business in India."</p><p class='black-text'>The proposed legislation will hinder the operations of the internet giants and startups that are ushering in a digital economy. Companies such as Alphabet Inc.'s Google and Twitter Inc. <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> say they rely on a global information network to most efficiently run their apps. And it's one more headache for Facebook in their largest user market.</p> http://www.pws.io/india-to-propose-new-legislation-over-social-media-privacy-concerns Tue, 31 Jul 2018 16:21:38 -0400 Tamanna Chhibbar Chipotle Outlook Brightens with Climbing Revenue http://www.pws.io/chipotle-outlook-brightens-with-climbing-revenue <p class='black-text'>Chipotle Mexican Grill Inc. <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CMG"><span style="color:#333">(</span><span style=";">CMG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CMG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CMG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CMG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> saw its <a href="https://www.fool.com/investing/2018/07/31/the-chipotle-turnaround-stayed-on-track-last-quart.aspx">revenue</a> rise 8% in its latest quarter, backed by location growth and higher menu prices (though shares are currently down in what is expected to be a temporary blip due to a <a href="https://money.usnews.com/investing/stock-market-news/articles/2018-07-31/chipotle-mexican-grill-inc-cmg-stock">food safety scare</a> today). Shares have increased by 55% this year. Excluding nonrecurring expenses and other items, Chipotle earned $2.87 per share, which surpassed analyst expectations of $2.80 per share. This also beat the <a href="https://www.zacks.com/stock/news/313778/chipotle-mexican-grill-cmg-tops-q2-earnings-and-revenue-estimates">Zacks Consensus Estimate</a> of $2.78 per share.</p><p class='black-text'>Chipotle not only raised its full-year sales <a href="https://www.wsj.com/articles/chipotle-lifts-outlook-as-revenue-climbs-1532639969?mod=hp_lista_pos3">outlook</a> but also generated $1.27 billion in second-quarter revenue. This was helped by a 3.3% increase in comparable sales and the opening of 34 new restaurants during last quarter. Chipotle now totals to 2,467 locations. Only a quarter ago it was expected that Chipotle would post earnings of $1.54 per share, however the food chain actually produced earnings of $2.13 which represents a 38.31% increase.</p><p class='black-text'>Chipotle has surpassed consensus EPS estimates three times over the past four quarters. Total revenue year over year increased by 8.3% for Chipotle while comparable restaurants saw a 3/3% increase. Chipotle attributed this to an updated menu, price increases and queso additions. CEO Brian Niccol <a href="https://www.wsj.com/articles/chipotle-lifts-outlook-as-revenue-climbs-1532639969?mod=hp_lista_pos3">commented</a>, "I'm pleased to report a solid second quarter with sales and restaurant margins ahead of expectations.While we made progress during the quarter with particular strength in digital sales, I firmly believe we can accelerate that progress by executing our reorganization and our strategy to win today and cultivate tomorrow."</p><p class='black-text'>Chipotle is still in the early stages of improving and really solidifying its digital ordering experience and also promoting it to customers. However, the company has seen promising results after its new delivery partnerships. These efforts will take some time to kick-in and big payoffs won't really appear until 2019 and beyond. Chipotle is currently only in the test stage this year of its new initiatives surrounding menu updates and loyalty program. Additionally, although delivery is available in more than two-thirds of all Chipotle locations, less than half of their customers are even aware of this fact.</p><p class='black-text'>Many investors are now wondering what awaits the stock. Investors should keep in mind that industry outlook can actually have great impact on the performance of a stock. Currently, Chipotle's status translates into a <a href="https://www.zacks.com/stock/news/313778/chipotle-mexican-grill-cmg-tops-q2-earnings-and-revenue-estimates">Zacks Rank</a> #2 (Buy). Zacks Industry Rank helps individuals find the best stocks in various industries.</p> http://www.pws.io/chipotle-outlook-brightens-with-climbing-revenue Tue, 31 Jul 2018 16:06:35 -0400 Karina Petrunova Tech Falters on Earnings http://www.pws.io/tech-falters-on-earnings <p class='black-text'>Tech stocks tumbled yet again on Friday, as Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> followed Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> in delivering disappointing earnings. Intel <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/INTC"><span style="color:#333">(</span><span style=";">INTC</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="INTC" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="INTC" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="INTC" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> said a key new chip technology wouldn't be out until late next year, further placing a damper on the outlook for the tech industry which has increasingly lost its momentum. Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Facebook were down again <a href="https://www.investors.com/market-trend/stock-market-today/fang-stocks-netflix-facebook-slump-apple-earnings/">yesterday</a>, too.</p><p class='black-text'>Shares of the social media behemoth Facebook fell <a href="https://www.nytimes.com/2018/07/26/business/facebook-stock-earnings-call.html">19% on Friday, clearing out roughly $120 billion</a> of shareholder wealth, among the largest one-day destruction of market value that a company has ever suffered. In the earnings release, the company warned of a sharp slowdown in sales growth in coming quarters along with rising spending on security and privacy enhancements.</p><p class='black-text'>The Nasdaq 100 Index hit a two-week low thanks to the underwhelming news. The S&P 500 Index and Dow Jones Industrial Average also slumped - even after the government said the US GDP scored its biggest gain since 2014 -- as traders remained focused on corporate performance.</p><p class='black-text'>The S&P 500 fell just <a href="https://www.businessinsider.com/facebook-stock-price-earnings-report-market-value-on-pace-for-record-drop-2018-7">0.3% Thursday, to 2,837.44, while the Dow Jones industrial average rose 0.4 percent to 25,527.07. The tech-heavy Nasdaq Composite index was the hardest hit by Facebook's tumble, dropping 1 percent to 7,852.18.</a></p><p class='black-text'>The S&P 500 is up more than <a href="https://www.swissinfo.ch/eng/bloomberg/tech-stocks-take-beating-on-intel--twitter-news--markets-wrap/44284144">6% </a>this year despite trade tensions surrounding the United States and the Federal Reserve's increases in interest rates. The index ended Thursday only about 1 percent below its high hit on January 26.</p><p class='black-text'>"It's a continued reaction to earnings," <a href="https://www.nytimes.com/2018/07/26/business/facebook-stock-earnings-call.html">said</a> Brad McMillan, chief investment officer for Commonwealth Financial Network. "The big thing with Facebook is not what happened to the stock itself but what that means for the market. For the second time in a row, we saw two of the big tech stocks falter and investors are thinking, maybe the future isn't quite as bright as we could've assumed."</p><p class='black-text'>Still, Facebook's sharp drop seems to have had a limited effect on the broader market, which has shown signs of gaining traction in recent weeks as companies largely reported strong second-quarter earnings.</p><p class='black-text'>It must also be noted that for a loss of this magnitude to be possible in the first place, a company must be gigantic. Facebook achieved its <a href="https://www.businessinsider.com/facebook-stock-price-earnings-report-market-value-on-pace-for-record-drop-2018-7">$630 billion valuation (now $510 billion) through an astounding 472% run-up in its stock price since going public. </a>That Facebook is seeing such a big chunk erased shows just how fickle investors can be about companies that already possess such stretched valuations.</p><p class='black-text'>Some other market-leading tech stocks that serve as Facebook's mega-cap counterparts Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Amazon <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AMZN"><span style="color:#333">(</span><span style=";">AMZN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AMZN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AMZN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AMZN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Alphabet (NASAQ: GOOGL) all lost more than 1.5% at their overnight lows, and the Nasdaq 100 index dropped<a href="https://www.swissinfo.ch/eng/bloomberg/tech-stocks-take-beating-on-intel--twitter-news--markets-wrap/44284144"> 1.4% in regular trading hours.</a></p> http://www.pws.io/tech-falters-on-earnings Tue, 31 Jul 2018 16:00:52 -0400 Tamanna Chhibbar Markets close out best month since January on trade news. http://www.pws.io/markets-close-out-best-month-since-january-on-trade-news <p class='black-text'>The markets closed out a positive month higher on news that China and the US are having conversations about the trade war and how to make progress. News is that the conversations are productive, which helped investors jump back into stocks. The Dow 30 was higher by 108, the S&P 500 added 13, and the Nasdaq 100 gained 41.</p><p class='black-text'>The trade news helped stocks that have been sensitive to the trade tug-of-war, like Caterpillar <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CAT"><span style="color:#333">(</span><span style=";">CAT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CAT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CAT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CAT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which reversed course today with a 3% gain. Boeing <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BA"><span style="color:#333">(</span><span style=";">BA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> added 1.5% on the day as well.</p><p class='black-text'>Earnings helped stocks this month as over 80% of companies have reported better-than-expected results. It's still early, as only 58% of the S&P 500 has reported. Analysts are expecting 20% earnings growth for the quarter and so far stocks have not disappointed.</p><p class='black-text'>Stock News:</p><p class='black-text'>Chipotle <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CMG"><span style="color:#333">(</span><span style=";">CMG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CMG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CMG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CMG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares suffered a sharp loss today as it was announced that the company had to close a store in Ohio after nearly 100 people fell ill from food borne illness. This is just another story of quality issues that still have to be worked out. Jefferies actually upgraded the stock today saying that the company is positioned for strong earnings growth.</p><p class='black-text'>Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher by 2% today as Nomura upgraded the stock. The analyst said that expectations have been appropriately reset and pricing is where it should be, now making it an attractive buy.</p><p class='black-text'>Procter & Gamble <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/PG"><span style="color:#333">(</span><span style=";">PG</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="PG" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="PG" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="PG" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares were higher by today as the company reported stronger earnings than anticipated. The company reported organic sales growth that was weaker than expected, which capped performance, and negatively impacted the performance of the consumer staples sector as a whole <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/XLP"><span style="color:#333">(</span><span style=";">XLP</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="XLP" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="XLP" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="XLP" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, since PG comprises 12% of that market.</p> http://www.pws.io/markets-close-out-best-month-since-january-on-trade-news Tue, 31 Jul 2018 15:53:36 -0400 Dustin Tibbitts Slightly slower week for IPO's. http://www.pws.io/slightly-slower-week-for-ipos <p class='black-text'>The IPO markets will seem like they are taking a break this week due to that fact that there are only 5 offerings up for grabs. While this is a perfectly fine week for IPO's is just seems light thanks to the last few weeks of double digit offerings.</p><p class='black-text'>The biggest, and likely most focused on offering of the week is the commercial real estate brokerage, Cushman & Wakefield <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/CWK"><span style="color:#333">(</span><span style=";">CWK</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="CWK" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="CWK" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="CWK" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. The global real estate firm is by far the largest with their $765 million offering. 45 million shares will be offered at a range of $16 - $18.</p><p class='black-text'>Popular bluetooth speaker maker, Sonos <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/SONO"><span style="color:#333">(</span><span style=";">SONO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="SONO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="SONO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="SONO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> will be the second biggest offering of the week with a $250 million offering. The tech company will offer 13.8 million shares at a range of $17 - $19. If successful that would give them a value of just over $2 billion. They have shown sales in the last 12 months of $1.1 billion.</p><p class='black-text'>Arlo Technologies <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/ARLO"><span style="color:#333">(</span><span style=";">ARLO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="ARLO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="ARLO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="ARLO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is a Netgear company that they are spinning off. The company makes smart security cameras and is looking for $194 million. Look for 10 million shares at a range of $18 - $20.</p><p class='black-text'>Forum Merger <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FMCIU"><span style="color:#333">(</span><span style=";">FMCIU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FMCIU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FMCIU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FMCIU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> is the only blank check company on the books this week with hopes of raising $200 million. Look for 20 million shares at a price point of $10.</p><p class='black-text'>Finally, Bionano Genomics <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/BNGO"><span style="color:#333">(</span><span style=";">BNGO</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="BNGO" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="BNGO" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="BNGO" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> will be looking for $34 million this week with shares offered in the $8 - $10 range. The biotech company offers a proprietary system for genome analysis that it hopes to further expand on. They are offering 3.4 million shares.</p> http://www.pws.io/slightly-slower-week-for-ipos Tue, 31 Jul 2018 07:34:17 -0400 Dustin Tibbitts Could Waymo Be the Most Valuable Car Company? http://www.pws.io/could-waymo-be-the-most-valuable-car-company <p class='black-text'>Waymo, owned by Google's parent company Alphabet <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, has risen to the top of the autonomous vehicle arena. According to UBS analyst Eric <a href="https://markets.businessinsider.com/news/stocks/alphabet-google-waymo-crushing-competition-may-be-worth-135-billion-2018-5-1024142429">Sheridan</a>, after conducting interviews with 22 industry expert and evaluating landscape forecasts, he concluded that Waymo is "the early leader (by a solid margin) in the emerging field of autonomous driving." Estimates show that the vehicle subsidiary could be worth between $25 billion to $135 billion. With a base case valuation of approximately $75 billion, that places Waymo at 11% of Alphabet's overall enterprise value. This represents a considerable chunk! Alphabet's valuation has risen in the past year as a result to 25x P/E and 20x EV/EBIT.</p><p class='black-text'>So how did Waymo become such a success, beating Tesla and Uber who specialize in vehicle autonomy?</p><p class='black-text'>Data from the California DMV <a href="https://seekingalpha.com/article/4183756-waymo-worth">showed</a> that Waymo has the lowest rate of human intervention among all of the firms testing in the state in the past year. More importantly, Waymo has not experienced any major crashes or accidents, unlike their rival Uber. One of Uber's self-driving vehicles struck and killed a crossing pedestrian in Arizona this past March. As a result, Uber temporarily terminated its self-driving cars and has been banned from testing on any Arizona roads. In addition to this, Waymo <a href="https://www.motorauthority.com/news/1117846_waymos-self-driving-cars-are-driving-25000-miles-a-day">revealed</a> that its self-driving cars have reached 8 million miles on public roads and 5 billion miles in simulated miles. The vehicle technology is able to run through various scenarios that that the cars might encounter in real life and practice how to respond to them in the best way possible. The company has said that the simulated 5.0 billion miles is equivalent to 25,000 self-driving cars operating each day.</p><p class='black-text'>Waymo recently announced a partnership with Jaguar Land Rover to provide 20,000 electric, self-driving SUVs. Waymo has also ordered more than 80,000 vehicles, specifically Chrysler Pacificas <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FCAU"><span style="color:#333">(</span><span style=";">FCAU</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FCAU" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FCAU" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FCAU" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> and Jaguar I-Paces, to deploy in various cities across the U.S. and eventually in Europe as well. However Uber and Tesla <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSLA"><span style="color:#333">(</span><span style=";">TSLA</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSLA" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSLA" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSLA" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> are not the only competitors. Others include General Motors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GM"><span style="color:#333">(</span><span style=";">GM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, which released a self-driving Chevrolet Bolt EV this past January. The vehicle is truly autonomous as it lacks a steering wheel and pedals. Ford <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/F"><span style="color:#333">(</span><span style=";">F</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="F" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="F" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="F" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> has been using Fusion sedans equipped with self-driving technology to deliver pizzas across Miami, while Nissan (TYO: 7201) has developed a few "ferry" cars that drive between the company's headquarters in Tokyo and a nearby shopping center.</p><p class='black-text'>There are really three main criteria that a driverless service such as Waymo must meet in order to launch successfully: have an operating system, customer relationship system that connects available cars to passengers, and speed to build cars quickly and efficiently. With all of the success that Waymo has been boasting recently, they are well on their way.</p> http://www.pws.io/could-waymo-be-the-most-valuable-car-company Mon, 30 Jul 2018 17:32:59 -0400 Karina Petrunova Trump May Ease Tariff Fears with $12 Billion in Aid to Farmers http://www.pws.io/trump-may-ease-tariff-fears-with-12-billion-in-aid-to-farmers <p class='black-text'>The Trump administration has issued a statement that it might extend $12 billion in emergency aid to help farmers amid the President's escalating trade disputes, which have hit the agricultural sector quite hard. Agriculture Secretary Sonny Perdue <a href="https://www.nytimes.com/2018/07/24/us/politics/farmers-aid-trade-war.html">stated</a> that the US government will provide incremental payments to support prices of commodities that have been hit the most which include soybeans, sorghum, cotton, corn, wheat, and pork. The program will be funded by the Commodity Credit Corporation which was created after the Great Depression and helps farmers with decreasing prices by buying up their crops.</p><p class='black-text'>Some criticize the aid program as sheer political opportunism, as it was unveiled two days before the president was scheduled to visit Iowa, a politically important state and a pillar of American agriculture as the nation's top soybean producer. The subsidies will prove to farmers that President Trump supports them and is working to insulate them from the consequences of his trade war. Polls show that farming communities still remain supportive of Trump. Right after the aid was announced, President Trump <a href="https://twitter.com/realdonaldtrump/status/1021719098265362432">tweeted</a>, "Tariffs are the greatest! Either a country which has treated the United States unfairly on Trade negotiates a fair deal, or it gets hit with Tariffs. It's as simple as that - and everybody's talking! Remember, we are the 'piggy bank' that's being robbed. All will be Great!" Trump also <a href="https://www.wsj.com/articles/trump-says-tariffs-are-the-greatest-1532437480?mod=hp_lead_pos1">said</a> that Americans should "just be a little patient" with the pain that they may currently be experiencing but that his actions are ultimately forcing other countries to negotiate: "They don't want to have those tariffs put on them - they're all coming to see us - and the farmers will be the biggest beneficiary. We're opening up markets. You watch what's going to happen."</p><p class='black-text'>The fact that the Department of Agriculture is willing to set aside relief money is an indication that Trump plans to extend his tariff wars. Perdue told reporters that the subsidies are "a short-term solution that will give President Trump and his administration time to work on long-term trade deals." He also said that this is a response to US trading partners' "illegal retaliation" to Mr. Trump's policies. Allies such as Canada, Mexico and the EU are retaliating. China, in particular, has applied tariffs on $34 billion worth of U.S. goods. China is a huge market for US agricultural exports.</p><p class='black-text'>Is there an end to this tariff war? Study estimates show that corn, wheat, and soybean farmers in the US have already lost $13 billion, which is considerably more than what the administration is proposing to provide in terms of relief. These tariffs could possibly cost valuable foreign contracts that took many years to win. Senator Bob Corker, Republican of Tennessee, has <a href="https://www.cbsnews.com/news/soybean-farmers-anxious-even-with-12-billion-in-aid-and-eu-promises/">criticized</a> the policy stating that, "You have a terrible policy that sends farmers to the poorhouse, and then you put them on welfare, and we borrow the money from other countries. It's hard to believe there isn't an outright revolt right now in Congress."</p><p class='black-text'>Earlier this year, the Trump administration imposed 10% tariffs on aluminum imports and 25% on steel imports from Canada, Mexico, and the EU. They also levied tariffs on $34 billion in imports of electronic goods and other products from China. Mr. Trump has also asked his team to study applying tariffs on all vehicles which enter the US to possibly set tariffs on those as well, which could be worth another $200 billion. The administration has acknowledged the financial hardship that farmers will face as a result, but have stated that they will share in the benefits of new trade policies that will serve US interests more.</p> http://www.pws.io/trump-may-ease-tariff-fears-with-12-billion-in-aid-to-farmers Mon, 30 Jul 2018 17:27:41 -0400 Karina Petrunova China Continues to Slow Its US Real Estate Investment http://www.pws.io/china-continues-to-slow-its-us-real-estate-investment <p class='black-text'>Chinese real-estate investors have been experiencing greater pressure from Beijing to curb back on their US real estate investment. The Chinese government is cracking down on certain types of outbound investment, which includes real estate, in order to stabilize the currency. Analysts say that the increasing tensions over the trade war and national security issues between China and the US have also contributed to this. David Blumenfeld, a Hong Kong-based partner at Paul Hastings <a href="https://www.wsj.com/articles/chinese-real-estate-investors-retreat-from-u-s-as-political-pressure-mounts-1532437934?mod=hp_lead_pos4">commented</a> that, "The China-US outbound cross-border real estate climate has been negatively impacted by the geopolitical climate."</p><p class='black-text'>Although Chinese buyers were never big players in terms of the buying power in the US real estate market, their companies often made headlines for the steep prices that they were willing to pay for the properties and this helped push the value up in certain areas of the market. This trend started when Beijing officials loosened restrictions on foreign investors, and Chinese investors quickly scooped up high-profile properties in cities like Los Angeles, San Francisco, and Chicago, including the $1.95 billion purchase of the Waldorf Astoria, the highest price ever paid for a US hotel.</p><p class='black-text'>Why were Chinese investors willing to pay such exorbitant amounts for US properties? Many of the executives of these acquiring firms felt that controlling trophy properties conferred prestige and built their brand recognition for any future expansion of their company. Many of these investors also planned to hold these properties for a few decades and so they were not worries about short-term price fluctuations even in major markets such as New York.</p><p class='black-text'>Chinese investors have sold $1.29 billion worth of US real estate in the second quarter while only purchasing $126.2 million worth of property. This is the first time that they were net sellers for any single quarter since 2008. Likely sellers include Anbag Insurance Group, which was taken over by Chinese regulators and whose chairman was recently convicted of fraud and abuse of power. It was Anbag that purchased the Waldorf in New York, but the company has yet to make any definitive deals. Dalian Wanda Group is looking to sell One Beverly Hills, a condo and hotel development, and Greenland, a Shanghai-based property development, also put their condo and hotel,<a href="https://www.hotelmanagement.net/transactions/china-s-greenland-puts-downtown-la-indigo-market"> One Beverly Hills</a>, on the market. Greenland purchased it for $171 million in August 2016 and reports show that the construction was at around $600,000 per room or more. They have already sold Oyster Point to Kilroy Realty Corp. for $308 million and said they will invest $1 billion to build a biotech complex. Dalian Wanda Group is looking to sell its Chicago Vista Tower and the Beverly Hills hotel for a reported $2.1 billion.</p><p class='black-text'>This retreat of Chinese investors from the US real-estate market could further slow American growth. Especially after China formally <a href="https://therealdeal.com/2018/07/26/chinese-buyers-retreat-could-hurt-us-property-values/">implemented</a> its measures in August against "extensive overseas investments," there has been a lot of uncertainty for Chinese investors. The government has also pressured companies to reduce debt levels and credit risk in the banking sector. However, not every Chinese investor is under pressure to sell. Small property developers who own warehouses and senior living centers are sticking around, and even for those who do face the pressure, some have actually been able to sell for profit. The government has allowed them to see properties that have increased in value first.</p> http://www.pws.io/china-continues-to-slow-its-us-real-estate-investment Mon, 30 Jul 2018 17:17:17 -0400 Karina Petrunova Stock Market Sells Off Thanks to Technology Sector http://www.pws.io/stock-market-sells-off-thanks-to-technology-sector <p class='black-text'>The markets sold off today, with the Nasdaq 100 leading the pack. Continued profit taking in the FANG names as well as other recent market supporters like Microsoft <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/MSFT"><span style="color:#333">(</span><span style=";">MSFT</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="MSFT" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="MSFT" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="MSFT" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> held back the major indices today. The Dow 30 was lower by 144, the S&P 500 closed down 16, and the Nasdaq 100 was the biggest loser, losing 1.39% or 107 points.</p><p class='black-text'>Stock News:</p><p class='black-text'>Twitter <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TWTR"><span style="color:#333">(</span><span style=";">TWTR</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TWTR" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TWTR" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TWTR" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares moved lower today by 8% as the street starts to warn investors about Twitter's future performance. Friday the company reported a small drop in Monthly Active Users and guided that users would likely continue to drop going forward, sending shares lower by 20%. This sent many Wall Street firms to downgrade or reiterate their ratings on the stock, expecting further disappointment. $21 - $25 is the new range of targets expected by Wall Street Analysts.</p><p class='black-text'>Facebook <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/FB"><span style="color:#333">(</span><span style=";">FB</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="FB" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="FB" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="FB" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares continued their post earnings slide today, losing another 2.19% as investors sold off shares of the stock as well as the other FANG names. Following the earnings disappointment shares plummeted to their lowest levels in two months. All of the other FANG stocks were lower on the day.</p><p class='black-text'>Netflix <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NFLX"><span style="color:#333">(</span><span style=";">NFLX</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NFLX" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NFLX" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NFLX" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares sold off 5.70% as the stock broke through the critical trendline support that many had been watching. The stock has been moving lower since reporting earnings that showed a miss in subscribers.</p><p class='black-text'>Tyson Foods <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/TSN"><span style="color:#333">(</span><span style=";">TSN</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="TSN" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="TSN" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="TSN" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> shares moved to new lows today following earnings results. The company also cited in their full year guidance that trade uncertainties would likely continue to weigh on their performance going forward. Shares are now down over 20% for the year.</p> http://www.pws.io/stock-market-sells-off-thanks-to-technology-sector Mon, 30 Jul 2018 17:05:58 -0400 Dustin Tibbitts Trump Week in Review: Cohen Tapes, GDP Growth, Iran Threats, and More http://www.pws.io/trump-week-in-review-cohen-tapes-gdp-growth-iran-threats-and-more <p class='black-text'>Trump's week began with a low note: Michael Cohen, Trump's former lawyer, released to the public an audio tape of the two of them discussing hush money to be paid to Playboy model Karen McDougal, who allegedly had an affair with Trump in the mid-2000s. While some might find the contents of the tape embarrassing, it is no smoking gun, as current Trump attorney Rudy Giuliani was <a href="https://www.cnn.com/2018/07/24/politics/michael-cohen-donald-trump-tape/index.html">quick</a> to point out. Trump blasted Cohen via <a href="https://twitter.com/realDonaldTrump/status/1022097879253635072">Twitter</a>: "What kind of a lawyer would tape a client? So sad! Is this a first, never heard of it before? Why was the tape so abruptly terminated (cut) while I was presumably saying positive things? I hear there are other clients and many reporters that are taped - can this be so? Too bad!" Sources are also reporting that Cohen can confirm that Trump knew in advance about the June 2016 meeting at Trump Tower in which Russians offer his campaign dirt on Hillary Clinton, and is willing to testify on the matter to Mueller's investigation. Giuliani <a href="http://fortune.com/2018/07/29/rudy-giuliani-michael-cohen-trump-russia/">disputed</a> Cohen's claim.</p><p class='black-text'>Trump also caused a stir with a Tweet on Monday evening in which he threatened Iran. The <a href="https://twitter.com/realDonaldTrump/status/1021234525626609666?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1021234525626609666&ref_url=https%3A%2F%2Fwww.cnn.com%2F2018%2F07%2F23%2Fpolitics%2Ftrump-iran-intl%2Findex.html">Tweet</a> - which Trump wrote all in capitals for emphasis - read: "To Iranian President Rouhani: NEVER, EVER THREATEN THE UNITED STATES AGAIN OR YOU WILL SUFFER CONSEQUENCES THE LIKES OF WHICH FEW THROUGHOUT HISTORY HAVE EVER SUFFERED BEFORE. WE ARE NO LONGER A COUNTRY THAT WILL STAND FOR YOUR DEMENTED WORDS OF VIOLENCE & DEATH. BE CAUTIOUS!" Some speculate that Trump fired off the Tweet in an attempt <a href="https://www.nytimes.com/2018/07/23/us/politics/iran-donald-trump-policy.html">distract</a> from the negative press surrounding his meeting with Putin last week. Some also worry that if this is a serious <a href="http://time.com/5351156/trump-iran-clash/">strategy</a> - Trump's communications with North Korea were sometimes similarly vitriolic - it will prove problematic with Iran.</p><p class='black-text'>Good economic news at the end of the week smoothed over these bumps, however. Trump rode a wave of positivity, <a href="https://www.cbsnews.com/news/us-gdp-growth-touted-as-historic-by-trump-is-totally-standard/">claiming</a> that the 4.1% GDP growth in Q2 was of "historic" proportions, and taking full credit for what he called an "economic turnaround." While very good, 4.1% growth isn't exactly historic or unprecedented; indeed, it exceeded that rate four times during the Obama years alone. Trump's characterization of this as a "turnaround" is also not entirely accurate since this is the 10th straight year of growth for the US economy.</p><p class='black-text'>Trump also <a href="http://thehill.com/opinion/finance/399231-farm-aid-foolish-tariffs-beget-foolish-subsidies">catered</a> to the American heartland - his voter base - by saying that he would introduce $12 billion in aid to farmers to combat the negative effects of his tariff program.</p> http://www.pws.io/trump-week-in-review-cohen-tapes-gdp-growth-iran-threats-and-more Sun, 29 Jul 2018 20:18:41 -0400 Ariel Courage Qualcomm and NXP Semiconductors Deal Falls Apart http://www.pws.io/qualcomm-and-nxp-semiconductors-deal-falls-apart <p class='black-text'>Qualcomm <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/QCOM"><span style="color:#333">(</span><span style=";">QCOM</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="QCOM" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="QCOM" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="QCOM" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>, a telecommunications equipment producer, recently cancelled plans to acquire its rival NXP Semiconductors <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/NXPI"><span style="color:#333">(</span><span style=";">NXPI</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="NXPI" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="NXPI" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="NXPI" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Plans to buy NXP first occurred in October 2016 at a value of $38 billion, but increased to $44 billion this past February. Qualcomm is well-known <a href="https://www.cnbc.com/2018/07/25/qualcomm-is-preparing-to-give-up-on-nxp.html">producer</a> of microchips used by smartphone companies that produce Android <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/GOOGL"><span style="color:#333">(</span><span style=";">GOOGL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="GOOGL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="GOOGL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="GOOGL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr> phones and Apple <nobr><span style="white-space: nowrap; display:inline-block"><a href="http://www.pws.io/stock/AAPL"><span style="color:#333">(</span><span style=";">AAPL</span>&nbsp;<span class="updatable-ticker text alert" data-symbol="AAPL" data-type="direction_class" data-up="success" data-down="alert"><i data-symbol="AAPL" data-type="direction_class" data-up="fa-arrow-up" data-down="fa-arrow-down" class="updatable-ticker fa"></i>&nbsp;<span class="updatable-ticker" data-symbol="AAPL" data-type="changePercent"></span></span><span style="color:#333">)</span></a></span></nobr>. Likewise, NXP Semiconductors are known for <a href="https://www.pcmag.com/news/349096/qualcomm-buys-nxp-semiconductors-for-47-billion?source=google-editors-picks">supplying</a> the automotive industry, and currently boasts 14 of the 15 top products that make up the automotive infotainment systems.</p><p class='black-text'>Although Qualcomm is headquartered in America, and NXP in the Netherlands, both companies rely on China for a majority of their production and business. As such, both require approval from local Chinese regulators, who must decide whether the deal can be completed. <a href="https://www.pcmag.com/news/349096/qualcomm-buys-nxp-semiconductors-for-47-billion?source=google-editors-picks">Despite predictions that both companies will have a revenue of approximately $30 billion together</a>, the manufacturers split due to antitrust approval delays in China. A representative for the Chinese Commerce Ministry recently <a href="https://www.nytimes.com/2018/07/26/technology/qualcomm-china-trade-war.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=12&pgtype=sectionfront">reported</a> that the severance of the deal was not related to new trade regulations on China imposed by the US.</p><p class='black-text'>In the past year,<a href="https://www.nytimes.com/2018/07/26/technology/qualcomm-china-trade-war.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=12&pgtype=sectionfront"> the Trump administration has established tariffs on Chinese goods that are worth $34 billion.</a> In response, <a href="https://www.theguardian.com/world/2018/apr/04/china-retaliates-to-trump-tariffs-with-new-levies-on-us-products">China imposed levies upon approximately $12 billion worth of US products. </a>The imposition of tariffs during China's long regulatory approval of the Qualcomm-NXP deal for 20 months, compared to the quicker approval of eight other governments including the United States, has caused many to believe that trade tensions contributed towards the termination of deal between the two companies.</p><p class='black-text'>The Trump Administration's support of Qualcomm is not surprising, as President Trump recently blocked rival Broadcom's bid on <a href="https://www.nytimes.com/2018/07/26/technology/qualcomm-china-trade-war.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=12&pgtype=sectionfront">Qualcomm earlier this year to maintain America's technological advancement and wireless research, according to D.C spokesmen.</a> There is a strong desire of America, as well as China, to fortify national technology companies. In 2015, China demanded <a href="https://www.nytimes.com/2018/07/26/technology/qualcomm-china-trade-war.html?rref=collection%2Fsectioncollection%2Fbusiness&action=click&contentCollection=business&region=rank&module=package&version=highlights&contentPlacement=12&pgtype=sectionfront">Qualcomm to pay a fine of $975 million after Chinese regulators deemed that the company had taken advantage of the market. </a></p><p class='black-text'>The deal between Qualcomm and NXP was proposed to be beneficial for the former, <a href="https://www.cnbc.com/2018/07/25/qualcomm-is-preparing-to-give-up-on-nxp.html">as they could have strengthened their presence into the newer market of automotive chips</a>. Regarding the split, Qualcomm CEO Steve Mollenkopf <a href="https://www.prnewswire.com/news-releases/qualcomm-announces-termination-of-nxp-acquisition-and-board-authorization-for-30-billion-stock-repurchase-program-300686981.html%20">noted</a> that their "core strategy of driving Qualcomm technologies into higher growth industries remains unchanged [...] We believe our technology leadership and disciplined execution will drive significant value creation for our stockholders."</p><p class='black-text'>As a result of the terminated deal, Qualcomm has reportedly agreed to pay $2 billion to NXP Semiconductors. In order to maintain growth, <a href="https://www.pcmag.com/news/349096/qualcomm-buys-nxp-semiconductors-for-47-billion?source=google-editors-picks">some say that the telecommunications producer may have to find ways to optimize revenue from the growth of 5G networks and the rising smartphone purchases across the globe. </a></p> http://www.pws.io/qualcomm-and-nxp-semiconductors-deal-falls-apart Sun, 29 Jul 2018 19:26:43 -0400 Arlene Lormestoire