Verizon sets out stall as home to charity cases 14 Mar 2017 CEO Lowell McAdam failed after two massive security breaches came to light to convince Yahoo to slash by a fifth the $4.8 bln price tag he’d offered for its core assets. Instead he accepted a far lower $350 mln concession. Other duds in need of a buyer now know where to look.
Xi has weak pitch selling status quo to Trump 14 Mar 2017 The U.S. president will reportedly host China's Xi in April, but neither has much to bring to the table. Xi wants Trump to stick with the status quo on trade, investment and climate change. In exchange China will make friendly noises about investment and reform, but little more.
Obamacare reform rests on GOP sleight of hand 13 Mar 2017 The Republican plan to replace the Affordable Care Act cuts the deficit by $337 bln over 10 years, the CBO estimates. It does so by removing 24 mln people from the program and ending Medicaid expansion. That’s a ruse anyway: taxpayers bear a lot of the cost of the uninsured sick.
White House friends not much help to gun industry 13 Mar 2017 Trump's victory vanquished the prospect of new firearms rules. In the upside-down world of ironmongery, that's bad for business. Gander Mountain just filed for bankruptcy, Cabela's merger with Bass Pro is imperiled and gun shares have been crushed. The bust will continue.
Chipmaker’s chairman short-circuits shareholders 10 Mar 2017 The man leading Cypress Semiconductor's board also helps run a Beijing-backed private equity firm that's buying a tech outfit Cypress eyed in the past. Cypress' recently departed founder now wants the chairman ousted. The governance and conflicts could fry the corporate wiring.
Intel puts self-driving pedal to financial metal 13 Mar 2017 Buying Mobileye for $15 bln values the autonomous-car parts supplier at 30 times estimated revenue. It’s possible to see how Intel’s gamble could pay off in this rapidly growing market. But its M&A record is patchy and the price assumes near-perfect success in a far-flung future.
Bitcoin is maimed, long live the blockchain 13 Mar 2017 U.S. regulators vetoed an ETF proposed by the Winklevoss twins, slamming the door on taking the crypto-currency to the masses. At the same time, the ledger technology behind it is gaining traction on Wall Street. Bitcoin-related speculation and long-term investing will coexist.
U.S. swamp drainage clogged by prosecutor firing 13 Mar 2017 Trump ousted 46 DoJ attorneys on Friday, including Manhattan's Preet Bharara, who prosecuted insider trading and other financial crimes. Combined with a bevy of Goldmanites in the White House, it's a further sign the financial industry can expect a chill four years.
White House disrupts Silicon Valley pecking order 10 Mar 2017 Trump's arrival has rearranged how tech firms stack up in Washington. Some have criticized the U.S. president's policies while others see opportunities to sway the new regime. The shift has legal battles between Oracle and Google, and Apple and Qualcomm spilling over into D.C.
Payroll bump a fair wind for Trump economic agenda 10 Mar 2017 Employers added a healthy 235,000 jobs in February. Wages and participation also improved. Combined with buoyant investor confidence, the first payroll report of the Trump era gives the president momentum to push his ambitious fiscal plans - if he can focus on essentials.
Healthcare-plan foes may find safety in numbers 9 Mar 2017 The White House is attacking the CBO as it tots up the cost of repealing Obamacare. Republicans once touted estimates from the nonpartisan group, which has a decent track record. Early healthcare appraisals elsewhere are damning, but the legislative one will remain one to watch.
Viewsroom: Trump’s bad prescription for Obamacare 9 Mar 2017 The U.S. president and congressional Republicans’ rush to ditch the Affordable Care Act is spawning pox-plagued legislation. Meanwhile, Deutsche Bank tries to get its financial house in order. And State Street’s fund managers are pushing to get more women on corporate boards.
Guest view: SEC pick’s banking ties are an asset 9 Mar 2017 Jay Clayton's nomination to run the agency has invited criticism because of links to Wall Street by his law firm Sullivan & Cromwell. William McLucas, a former SEC enforcement chief, says history offers many examples of toughness and independence that should satisfy naysayers.
Bitcoin’s ETF drive may spark volatile backfire 9 Mar 2017 The Winklevoss twins of Facebook fame are among those who want to open up the crypto-currency to a wider audience via an exchange-traded fund. Watchdog approval could unleash big inflows, but also fuel bitcoin’s scariest white-knuckle ride yet – and impede mainstream acceptance.
CEO ouster takes AIG from frying pan to fire 9 Mar 2017 Peter Hancock is leaving the insurer a month after a surprise $5.6 bln charge. His replacement needs a better handle on risk and communication than predecessors and the nous to fend off a probable revived push for a breakup from Carl Icahn and John Paulson. It’s a tough call.
Protectionism skews emerging market risk compass 9 Mar 2017 Anti-trade rhetoric is a threat to export-dependent countries. But commodity producers such as Saudi Arabia are less vulnerable than nations that play a big role in global manufacturing, like China or Thailand. The latter look more prone to market volatility than in the past.
Cox: Kalanick gives future Uber investors a lift 9 Mar 2017 The longer the impulsive founder remains at the wheel, the more apparent the flaws become at the $68 bln ride-hailing app. The jig is up on violating livery laws, as it may be on avoiding capex now that drivers understand depreciation. It's best all this happens before an IPO.
Akzo’s coating against $22 bln bid looks thin 9 Mar 2017 The Dutch maker of Dulux paint has rejected a cash and shares offer by U.S. rival PPG, and may detach its specialty chemicals unit instead. It’s good that Akzo Nobel has presented a swift alternative plan. It’s just unlikely to be as valuable as the one the company just rebuffed.
China gives Trump cheap trade trinkets 9 Mar 2017 China looks to have fast-tracked the U.S. president's trademark applications, and its economy is going his way too. U.S. imports shot up 38 pct last month, and the yuan has firmed. There's less to the data than meets the eye, and the trademarks are trouble.
Hedge fund creative destruction has further to go 8 Mar 2017 Investors are trimming the number of funds they put money in, according to a bank survey. Weak performance has made investors choosier, and writing bigger tickets helps them force down fees. Yet they are still probably spread too thin. The cull in the $3 trln industry isn’t over.