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Is Global X SuperDividend U.S. ETF (DIV) a Strong ETF Right Now? The Global X SuperDividend U.S. ETF (DIV) made its debut on 03/11/2013, and is a smart beta exchange traded fund that provides broad exposure to the Total Market (U.S.) ETFs category of the market. What Are Smart Beta ETFs? The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment. Investors who believe in market efficiency should consider market cap indexes, as they replicate market returns in a low-cost, convenient, and transparent way. On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as smart beta. Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance. This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results. Fund Sponsor & Index Because the fund has amassed over $487.85 M, this makes it one of the largest ETFs in the Total Market (U.S.) ETFs. DIV is managed by Global X Management. Before fees and expenses, DIV seeks to match the performance of the INDXX SuperDividend U.S. Low Volatility Index. The INDXX SuperDividend US Low Volatility Index tracks the performance of 50 equally weighted common stocks, MLPs & REITs that rank among the highest dividend yielding equity securities in the US. Cost & Other Expenses Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same. Annual operating expenses for DIV are 0.45%, which makes it one of the cheaper products in the space. It has a 12-month trailing dividend yield of 7.46%. Sector Exposure and Top Holdings It is important to delve into an ETF's holdings before investing despite the many upsides to these kinds of funds like diversified exposure, which minimizes single stock risk. And, most ETFs are very transparent products that disclose their holdings on a daily basis. Taking into account individual holdings, Amerigas Partners-Lp accounts for about 2.53% of the fund's total assets, followed by Compass Diversif and Coty Inc-Cl A. DIV's top 10 holdings account for about 24% of its total assets under management. Performance and Risk So far this year, DIV has added about 3.32%, and is down about -3.59% in the last one year (as of 06/28/2019). During this past 52-week period, the fund has traded between $21.69 and $25.59. The ETF has a beta of 0.61 and standard deviation of 9.26% for the trailing three-year period, making it a medium risk choice in the space. With about 51 holdings, it effectively diversifies company-specific risk. Alternatives Global X SuperDividend U.S. ETF is a reasonable option for investors seeking to outperform the Total Market (U.S.) ETFs segment of the market. However, there are other ETFs in the space which investors could consider. WBI Power Factor High Dividend ETF (WBIY) tracks Solactive Power Factor High Dividend Index and the Global X SuperDividend ETF (SDIV) tracks Solactive Global SuperDividend Index. WBI Power Factor High Dividend ETF has $101.54 M in assets, Global X SuperDividend ETF has $927.05 M. WBIY has an expense ratio of 0.70% and SDIV charges 0.58%. Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Total Market (U.S.) ETFs. Bottom Line To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportGlobal X SuperDividend U.S. ETF (DIV): ETF Research ReportsGlobal X SuperDividend ETF (SDIV): ETF Research ReportsWBI Power Factor High Dividend ETF (WBIY): ETF Research ReportsTo read this article on Zacks.com click here.Zacks Investment Research
UPDATE 1-Iran says progress at nuclear deal talks not enough to change course (Adds quotes, details) (.) VIENNA, June 28 (Reuters) - Progress was made at talks on Friday aimed at saving the Iran nuclear deal but probably not enough to convince the Islamic Republic to change its decision to go over the deal's core atomic restrictions one by one, Iran's envoy to the talks said. Iran's Deputy Foreign Minister Abbas Araqchi was speaking after almost four hours of talks with senior diplomats from Britain, China, France, Germany and Russia. "It was a step forward, but it is still not enough and not meeting Iran’s expectations," Araqchi told reporters. "I don’t think the progress made today will be enough to stop our process but the decision will made in Tehran." He said the Europeans had told the meeting that the Instex trade mechanism had been made operational, with the first transactions already processed, but that this was still insufficient because European countries were not buying Iranian oil, the key demand for it to stay in the 2015 nuclear deal. "For Instex to be useful for Iran, Europeans need to buy oil or consider credit lines for this mechanism otherwise Instex is not like they or us expect," he said. Instex had now been widened to include more European countries beyond France, Britain and Germany, known as the E3, Araqchi said. A European diplomat confirmed that the mechanism was now operational but the E3 have yet to make an official announcement. In a joint statement earlier on Friday, Austria, Belgium, Finland, the Netherlands, Slovenia, Spain and Sweden, said they were working with the E3 to develop trade mechanisms. Araqchi said all the parties in Vienna had agreed to hold a ministerial meeting "very soon". (Reporting by John Irish and Francois Murphy Editing by Raissa Kasolowsky)
Binance may be interested in listing Facebook’s Libra, Binance’s strategy officer says Binance has been in touch with Facebook regarding Libra,Finance Magnates writes. According to Binance’s strategy officer Gin Chao, the exchange does not rule out the possibility of listing Libra in the future. However, the talks are still “very much at a preliminary stage” and have mostly concentrated on “dealing with infrastructure,” Chao explained. While Facebook is not seeking to list the cryptocurrency at the moment since it will be on a private chain, it might be looking for a secondary market after the launch, Chao said. “Currencies benefit from a secondary market, so it would be in their best interest to want to be listed,” Chao noted. He believes Binance is not the only exchange that would be interested in listing Libra. He believes the listings would be in the mutual interest of Facebook and cryptocurrency exchanges. “So if they decide to go on a public chain, and they get the sort of adoption that they could get, we would probably want to list them,” Chao said. Facebook shared its plans to launch low-volatility cryptocurrency Libra earlier this month. The announcement has so far been received coolly bymultiple European central banks,Singapore financial regulator, andthe Bank for International Settlements (BIS).
Canaccord Genuity Bullish On Zynerba Ahead Of CBD Gel Trial Data Investors continue to show interest in the medical possibilities of cannabis-derived cannabidiol, or CBD, eagerly watchingZynerba Pharmaceuticals Inc(NASDAQ:ZYNE) as it begins patient trials on a CBD-infused skin gel aimed at treating Fragile X syndrome. Canaccord Genuity reiterated a bullish stance on the stock Thursday after meeting with Zynerba CEO Armando Anido. The Analyst Sumant Kulkarnireiterated a Buy rating on Zynerba with an $18 price target. Need more cannabis news?Check out all of our coverage here. The Thesis “We believe the stock presents a significant opportunity for risk-tolerant investors,” Kulkarni said in the note. (See his track record here.) The 14-week trial for the Fragile X transdermal skin gel, Zygel, is on track for a data readout in the second half of 2019, the analyst said. If the results show some success, Zynerba hopes to gain approval in 2021. Canaccord Genuity is modeling a 50% probability of approval for the FXS treatment. The company is also expecting open-label data on the use of the drug for developmental and epileptic encephalopathies in the third quarter of 2019, but the trial for Fragile X treatment is the bigger inflection point, Kulkarni said. Price Action Zynerba shares were up 3.07% on Friday morning to $13.30. Related Links: Zynerba Advances Cannabidiol Treatment With New Patent Win FDA Public Hearing About CBDs Prescribes Caution, Bearishness, and Deliberation Photo courtesy of Zynerba. Latest Ratings for ZYNE [{"Apr 2019": "Apr 2019", "": "", "Initiates Coverage On": "Assumes", "Buy": "Buy"}, {"Apr 2019": "Sep 2018", "": "", "Initiates Coverage On": "Initiates Coverage On", "Buy": "Overweight"}] View More Analyst Ratings for ZYNEView the Latest Analyst Ratings See more from Benzinga • Twitter Won't Block Rule-Breaking Tweets From Public Figures, But Will Warn You • Analyst: Boeing 737 MAX Still On Path To Take Flight Again In 6-9 Months • SunTrust Is Bullish On Take-Two Thanks To Strong Video Game Pipeline © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Henry Kravis invests in crypto-oriented fund launched by former employee KKR & Co co-founder Henry Kravis has invested in a crypto fund ParaFi Capital,Bloomberg writes. The company was set up by KKR & Co’s former employee Ben Forman last year, following his departure from KKR. Besides the investment from Kravis, ParaFi received funding from Bain Capital Ventures and Dragonfly Capital Partners. At KKR, Forman worked in the credit business and was the head of in-house research on blockchain and cryptocurrency. While he considered “pursuing blockchain investing within KKR,” but ultimately decided to “build the KKR of crypto” of his own. “In the high-yield markets, I used to fight to outperform the index by tens of basis points,’’ Forman said. “Crypto, on the other hand, due to its nascency, offers a tremendous amount of alpha to active managers.’’ ParaFi manages $25 million, with plans to reach $100 million by the first quarter of 2020, Forman said.
5 Sector ETFs That Beat the Market in the First Half The U.S. stock market made a spectacular reversal this year from the meltdown seen late last year. This is primarily owing to hopes of a trade deal between the two largest economies (United States and China), a dovish Fed and a rebound in oil price. However, increased tit-for-tat tariff threats, rise in the Middle East tension, Brexit, geopolitical disturbance and global growth woes persistently made investors’ jittery.With just a trading session left to end the first half, the Dow Jones is up about 13.7% while the S&P 500 and Nasdaq have gained 16.7% and 20.1%, respectively (read: 5 High Beta ETFs, Stocks to Ride on Surging Market).While many corners of the equity world witnessed a solid run, a few sector ETFs performed incredibly, thereby comfortably crushing the broader markets. Below, we have highlighted four such funds that have been the first half’s star performers and could also be winners in the second half if the current trends continue.Invesco Solar ETF TAN — Up 51.7%This ETF, which offers global exposure to 22 solar stocks, has emerged as an undisputed leader this year so far, driven by a rebound in global solar demand, California’s push to make solar panels, competitive pricing and the potential Chinese subsidies. The strongest-ever solar installation and the exemption of tariff on one type of solar panels also added to this strength. American firms dominate the fund’s portfolio with nearly 47.6% share, followed by China (20.3%) and Spain (7.3%). The product has amassed $349.7 million in its asset base and trades in average daily volume of 158,000 shares. It charges investors 70 bps in fees per year and has a Zacks ETF Rank #3 (Hold) with a High risk outlook (read: 5 High-Flying Stocks of the Top ETF in 1H).ARK Genomic Revolution Multi-Sector ETF ARKG — Up 37.7%The biotech sector has been on the path of progress amid the ongoing industry consolidation and attractive valuations. Particularly, the surge in demand for artificial intelligence in the advancement of diagnoses and treatment across the health care spectrum has been perking up this ETF higher. This is an actively managed ETF, focusing on the companies, likely to benefit from the extension and enhancement of the quality of human and other life by incorporating technological and scientific developments plus improvements and advancements in genomics into their business. The fund holds 37 stocks in its basket and has 0.75% in expense ratio. It has accumulated $418 million in its asset base and trades in average daily volume of 149,000 shares.Invesco DWA Technology Momentum ETF PTF — Up 37.6%The technology sector has been the biggest beneficiary of the broad market rally, attributable to the anticipation of a trade deal and the Fed’s more dovish-than-expected view. In fact, PTF, which provides exposure to the companies with relative strength (momentum), has been leading the pack. It follows the Dorsey Wright Technology Technical Leaders Index and holds 39 securities in its basket. This ETF is illiquid and relatively unpopular with AUM of $198.6 million and an average daily volume of 23,000 shares. It charges 60 bps in annual fees and has a Zacks ETF Rank #2 (Buy) with a High risk outlook (read: S&P 500 Hits New High: 10 Top-Performing ETFs YTD).Invesco Aerospace & Defense ETF PPA — Up 30.6%Aerospace & defense sector stocks have been rising on better-than-expected solid earnings, a host of mergers and acquisitions as well as new contracts. PPA offers exposure to 47 companies involved in the development, manufacturing, operations as well as support U.S. defense, homeland security and aerospace operations. It tracks the SPADE Defense Index, charging 60 bps in annual fees from investors. The fund has so far managed assets of $1 billion while trading in lower average daily volume of about 67,000 shares. It has a Zacks ETF Rank of 2 with a Medium risk outlook (read: Raytheon, United Tech to Merge: Aerospace ETFs in Focus).Invesco DWA Financial Momentum ETF PFI — Up 29.9%Financials sector got a boost from the Fed’s patient approach so far this year and the prospect of cutting interest rates. Though the lower interest rates do not bode well for this sector, the Fed statement has led to the long-term bond yields contracting less than the short-term ones, thereby resulting in a steep yield curve. This steepening would bolster profits for banks, insurance companies, discount brokerage firms and asset managers. PFI offers exposure to 42 companies that are showing relative strength (momentum) by tracking the Dorsey Wright Financials Technical Leaders Index. It has gathered $58.4 million in its asset base and charges 60 bps in annual fees. The fund trades in volume of 11,000 shares a day on average (read: Is it Time to Buy Financial ETFs Now?).Want key ETF info delivered straight to your inbox?Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week.Get it free >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportInvesco Aerospace & Defense ETF (PPA): ETF Research ReportsInvesco DWA Technology Momentum ETF (PTF): ETF Research ReportsInvesco Solar ETF (TAN): ETF Research ReportsInvesco DWA Financial Momentum ETF (PFI): ETF Research ReportsARK Genomic Revolution ETF (ARKG): ETF Research ReportsTo read this article on Zacks.com click here.Zacks Investment ResearchWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
The Painfully Gorgeous Ferrari Modulo Concept Caught on Fire Photo credit: Glickenhaus - Twitter From Road & Track The Ferrari Modulo, a stunning concept car revealed at the 1970 Turin Motor Show and recently converted into a running, driving vehicle by James Glickenhaus, caught on fire earlier today while on the road in Europe. There wasn't any serious damage, but judging by this picture shared by Glickenhaus on Twitter, the car was far from unscathed. . Firm we are no longer involved with designed a muffler that caught fire. I followed procedure slowed to keep fire behind car and activated on board system which extinguished fire. No serious damage. I checked car and set off. We’ll drive her tomorrow thru Casino Square. pic.twitter.com/mhI2rlHmO4 — Scuderia Cameron Glickenhaus (@Glickenhaus) June 28, 2019 Glickenhaus says the custom exhaust muffler, the design of which he outsourced to an unnamed firm, was the cause of the fire. Thankfully when converting the car to a running vehicle, he had an onboard fire suppression system installed. It worked as intended, extinguishing the flames. The bodywork surrounding the muffler, as well as some sections of the right rear fender, suffered damage. Despite that, the car is still perfectly drivable, as evidenced by this picture shared by Glickenhaus just 30 minutes later: Continuing up the mountain after the fire pic.twitter.com/3EU4ky8hYa — Scuderia Cameron Glickenhaus (@Glickenhaus) June 28, 2019 The Modulo, which was penned by Italian design house Pininfarina, is a one-off concept that was sold to Glickenhaus in 2014. After four years of trying to source the car's original Ferrari 512 S chassis and V-12 engine, he and his team finally got it running . Currently, the car is on tour in Europe, and the above tweet is to be believed, it should make an appearance in Monaco sometime tomorrow, fire damage and all. Story continues Fixing the Modulo is an entirely different story—it's not like you can open up a parts catalog and order a new bumper, exhaust, and fender. This thing is a one-off, after all. But knowing Glickenhaus, we're sure we'll see it looking good as new in no time. ('You Might Also Like',) 16 of the Most Interesting Engine Swaps We've Ever Seen See 70 Years of the Greatest Ferraris Ever Built These Are the 14 Best New Cars for Less Than $45,000
3 Companies, 3 Problems, 0 Easy Answers Business leaders usually have a number of levers to pull when they are trying to improve their companies' performance. (Obviously, picking therightones can be a challenge.) But when it comes to fighting macroeconomic headwinds and broad trends, there's often not much they can do. Wednesday's news in business featured three companies in such situations.General Mills(NYSE: GIS)delivered disappointing quarterly revenue numbers, despite its best efforts to pivot into the healthier-eating trends.FedEx's(NYSE: FDX)quarter was mixed, but President Trump's trade wars will cause the shipping giant even more pain down the road. AndNetflix(NASDAQ: NFLX)may have reshaped the media landscape, but now the old guard is fighting back, and that could cost the streaming pioneer some of its most popular content. In thisMarket Foolerypodcast, host Mac Greer and senior analyst Ron Gross discuss the strengths and weaknesses of these companies, their latest challenges, their current investment theses, and more points that investors need to know. To catch full episodes of all The Motley Fool's free podcasts, check out ourpodcast center. A full transcript follows the video. More From The Motley Fool • 10 Best Stocks to Buy Today • The $16,728 Social Security Bonus You Cannot Afford to Miss • 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) • What Is an ETF? • 5 Recession-Proof Stocks • How to Beat the Market This video was recorded on June 26, 2019. Mac Greer:It's Wednesday, June 26th. Welcome toMarket Foolery! I'm Mac Greer, and joining me is Motley Fool analyst Ron Gross. Ron, it's just you and me. In a word, how would you describe how you're feeling right now? Ron Gross:So excited I can barely contain myself. Always happy to be here with you, Mac! Greer:Good! I'm excited, too! Later, we're going to talk some Netflix. They are losingThe Office. Have you heard ofThe Office? Gross:I've heard of it. Boy, my kids love them someOffice. Greer:As do mine. Effective 2021,The Officewill no longer be on Netflix. We'll talk about that. We're also going to talk about some FedEx. But let's begin with a rough day for General Mills. Shares down around 5% at the time of our taping on earnings. Ron, disappointing revenue. Weakness in their U.S. snacks business. Now, a lot of us, when we think General Mills, we think cereal. Cereal sales, in line with last year, hanging in there. But they're not just cereal. They've got a number of brands, everything from Haagen-Dazs to Yoplait to pet food. But they're running into this trend of consumers eating healthier. Tough go. Gross:You got it! It's interesting, actually, even with today's drop, the stock was up 26% on the year. I would not have guessed that if you'd asked me to predict how the stock has done this year. That was surprising to me. But you nailed it. It's everyone's growing preference for healthier breakfast and snacking options. It's hit all the companies.Kellogg,Mondelez,Kraft Heinz, it doesn't matter who you are. Certainly, General Mills is not immune to that. Organic net sales, that's important, in North America fell 2%. Greer:That sounds healthy, though. [laughs] Gross:[laughs] It's organic. But importantly, because of their attempt to diversify, specifically the Blue Buffalo pet food company they bought last year, total sales were actually up 7% and they saw a 30% increase in the Blue Buffalo pet business. Diversifying is working, but obviously, they want to grow some of their brands, continue with some of their healthier brands. A focus on Haagen-Dazs, interestingly. Not so healthy; Old El Paso Mexican; their portfolio of natural and organic foods, and their snack bars, they're trying to focus on growing those businesses. Greer:I think the question that everyone wants to know is, where does this leave Bugles? I love Bugles! Gross:My pantry, hopefully. Greer:You know Bugles? Gross:I love Bugles! Have you ever had caramel Bugles? Greer:I don't think so! But when I was a kid, it was one of the most satisfying things to buy the bag of Bugles, and then you pretend that they are, in fact, bugles. Gross:You had a lonely childhood. You needed a hobby, clearly! That was just salt in a bag, which is why they were so good. Crunchy salt in a bag. Greer:This is true. Shockingly, not doing as well today with the health-conscious consumer. Let's talk a bit more about the stock. As you mentioned, the stock's had a great last year, beaten the market, but it's lost to the market over the last five years. Shares now trading below where they were five years ago. Fun fact, still outperforming Kellogg. Gross:Woof. Greer:Woof, woof, woof. What's the bull case for General Mills? Gross:The bull case, I think, is that they're going to continue to diversify through acquisitions. But that's dicey. That bull case also has a bear case right around the corner. It's tough to do acquisitions correctly. You want to make sure you pay the right price, you want to make sure you go into the correct areas. Part of the strength of General Mills over the last bunch of months was the result of the diversification strategy, Blue Buffalo being one that investors seemed to be excited about. But it's tough. The stocks are trading around 16 times, not just General Mills, but a lot of these companies, and there's a reason for that. The reason is, there's a lot of uncertainty going forward, and we're going to probably still see weakness for some time until they get their product portfolio straightened out. Greer:OK, Ron, as we wrap up here, looking back on your cereals -- they don't have to be General Mills, they can be Kellogg or anything -- how about some favorite cereals? Gross:By far, Cap'n -- wait, not Cap'n Crunch. Cap'n Crunch is one of my favorites. Greer:With Crunch Berries? Gross:No. Without Crunch Berries, actually. But Fruity Pebbles are just unbelievable! Greer:Really? Gross:Yes. I love Fruity Pebbles! Greer:I always thought they were overrated. Was it theFlintstonesmarketing? Gross:No! It made the milk fruity. Fruity-ish. And if you let them get a little soggy... oh, my God, I might have to have them today! Greer:OK, let me hit you with some of my favorites, and tell me how you come down. Apple Jacks. Gross:Boring, but my wife loves them. Greer:Really? Gross:Yes. Greer:Froot Loops. Gross:It's like a Fruity Pebbles cousin. Greer:Count Chocula. Gross:Too chocolatey for me. Greer:Too chocolatey, are you kidding? OK, here's one of my favorites. This was a sleeper. Frosted Mini-Wheats. Gross:I have it written down right here on my paper so I wouldn't forget to mention it. Greer:Is that true? Gross:If you let them get a little bit soggy, fantastic! And you feel like you're eating wheat, so how bad could it be? Greer:Oh, my gosh! And, one of my truly favorites -- I had probably a seven-year relationship, a monogamous relationship with this cereal -- Gross:Here goes the thing about you needing a hobby. Greer:Are you ready? Gross:Yeah. Greer:Golden Grahams. Gross:Golden Grahams are good, for sure! Greer:They're magical! Gross:It's a shame that cereal has gone the way of the dodo bird, because it's delicious. Obviously, it's unhealthy, and that's why. But even granola is delicious in milk. Everything is good! Greer:I'll hit you with three overrated cereals, and you tell me if you agree. Ready? Gross:Yeah. Greer:Wheaties. Gross:God, yes! They're terrible! Greer:Rice Krispies. Gross:They do snap, crackle, and pop, but that's the only fun part of it. Greer:Yeah, after that, it's like, OK. Then, Cheerios. Gross:Oh, my God, like eating cardboard. Honey-Nut Cheerios are OK. Greer:One more name I wrote down -- Gross:You don't get this on the other shows. Greer:-- the phrase I have written by it is "I'm not dead yet." Grape-Nuts. When I was a kid, I always associated Grape-Nuts with being older. Now that I'm older, I still associate Grape-Nuts with being older. Gross:[laughs] You have to be like 80 to enjoy a bowl of Grape-Nuts. Greer:Exactly. I've got a few more years, but I'm looking forward to it! OK, let's move on. After that hard-hitting analysis, let's move on to FedEx. The stock not doing much on earnings. CEO Fred Smith said trade disputes and an economic slowdown have created quote "significant uncertainty" for FedEx Express. Ron, FedEx also facing stiff competition fromUPSandAmazonas well. What do you think of FedEx's earnings? Gross:The earnings are OK. It's the forward guidance about U.S.-China trade tensions. They forecast a mid-single-digit-percentage-point decline in adjusted earnings for fiscal 2020. Investors don't like to see that, that I can tell you. As far as this quarter, adjusted revenue up 2.8%. Operating income down 7%, though. Negatively affected by lower package and freight revenues at FedEx Express, higher costs at FedEx Ground. Costs associated with their U.S.-based voluntary employee buyout. They are voluntarily retiring lots of employees there to cut costs. There was some strength, though. U.S. volume growth was up. Increased revenue per shipment at FedEx Freight and FedEx Ground. Some favorable incentive compensation expense declines. There were some offsetting positives. But overall, you don't want to see a company like FedEx have an operating income decline. Greer:Let's talk about the competition. When you look at FedEx, when you look at the stock, shares have lost to the market over the last year, and they've lost in the market over the last five years. But they're still beating UPS. If you want to feel better, if you're FedEx, hang out with UPS. But it seems like, increasingly, you've got traditional competitors like UPS, but you also have the Amazons, theUbers. You have anyone with a car who may essentially contract their time and their services out to a bigger company to deliver. How does FedEx compete with that? Gross:Well, you're seeing that it's tough, and you're seeing that in the stock price. They're doing things like making it more convenient for folks to drop off and pick up packages. A perfect example would be, they just said they're going to create drop-off and pick up sites atDollar General, 8,000 stores. What that does, it puts 90% of the U.S. population close to a FedEx footprint of some kind. They're trying to make it as convenient as possible. They severed ties with Amazon for their Express delivery service. They're making strategic moves, and sometimes difficult moves, because, as you say, it's a very competitive landscape out there. Greer:Ron, our final story, Netflix. Let's talk some Netflix. At the time of our taping, shares are actually up slightly. That was a bit of a surprise because of news coming out that NBC is pulling its hit showThe Officefrom Netflix when that deal ends at the start of 2021. Now, interesting to see how this played out.The Officeis produced by Universal Television. They held an auction. NBC bid $100 million per year for five years, edging out Netflix. Now, maybe they had a bit of an inside track. We were talking about that. Regardless,The Office, leaving Netflix in 2021. What do you think? Gross:I think it's a big deal in and of itself, but the bigger deal is, is this going to continue to happen? IsFriendsnext, for example? I think the answer is probably yes. Lots of folks watch Netflix for the repeats of their favorite shows, not necessarily original content. You and I were discussing earlier before the show. If they're going to lose just a few key hit shows, I would imagine that's going to be a serious hit to their value proposition. Greer:Yeah, you mentioned that. It's a little tough to get at this because Netflix guards their data, but I've always had thisStranger Thingstheory of the case, that we would subscribe to Netflix ifStranger Thingswas the only show they had. Now, the question is, do most people fit into that? Or are most people using Netflix to watch archived shows likeThe Office? I guess we're going to find out. Gross:I guess. It may be based on demographics. I think younger folks like to watch the repeats of their favorite shows. Maybe old fogies like us enjoy the original content. I'm just making that up. But perhaps that's how it divides, based on demographics. But clearly, if you're going to charge a fee and continue to want to raise that monthly fee, like Netflix likes to do here and there, you have to have the content, you have to put the right content forth. It's going to be a combination of their own, as well as other people's favorite shows. Greer:Ron, as we wrap up here, I want to present you with my desert island question, where I ask you, if you're on a desert island, and you have one of these stocks, and you have to buy one of these stocks for the next five years, what are you going with: General Mills, FedEx, or Netflix? Let me first back up and say that last week on the show that you were on, I mentioned that there's been an internal debate here. One of our colleagues said, "When you say desert island, I don't think you mean that. I think you may mean deserted island." I got a lot of great emails. I don't want to relitigate this. I want to say I'm sticking with desert island. I feel good about the way I've been using it. Marjorie wrote, "Don't let other people's lack of finesse and painful pedantic literalness limit your perfectly appropriate use of desert island. Besides, if theGilligan's Islandtheme writers got it wrong, my faith would be destroyed." Gross:Wow! Strong words there, Marjorie! Greer:Thank you! And Tim from New Jersey wrote, "Desert island is an island which has never been inhabited, which is and has always been uninhabited. Deserted island is an island which once was inhabited, but whose inhabitants left for one reason or another, whose inhabitants deserted it." Gross:I just want to say, how great of our listeners, to take time out of their day -- Greer:So great! Gross:It's extremely Foolish! Obviously, we're kidding around here, but it's so kind and fun of them to take their time. It's great! Greer:I love it, just to indulge me! So, the desert island question. General Mills, FedEx, or Netflix over the next five years. What are you going with? Gross:This is a toughie, I don't like any of them. But if I have to choose, I'm going to choose FedEx. Greer:FedEx. Gross:Yes. Let's see how I do. Greer:How do you feel about Alpha-Bits? Gross:I like to make words with them, but the taste was nothing special. Greer:I agree. It's more the marketing, wasn't it? Gross:Right. Greer:Well, as always, people on the show may have interest in the stocks they talk about, and The Motley Fool may have formal recommendations for or against, so don't buy or sell stocks based solely on what you hear. Ron Gross, thanks for joining me! Gross:Thanks, Mac! Greer:That's it for this edition ofMarket Foolery! The show is mixed by Dan Boyd. I'm Mac Greer. Thanks for listening! And we will see you tomorrow! John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors.Mac Greerowns shares of Amazon and Netflix.Ron Grossowns shares of Amazon. The Motley Fool owns shares of and recommends Amazon, FedEx, and Netflix. The Motley Fool recommends Uber Technologies. The Motley Fool has adisclosure policy.
Maybe Warren Buffett and 3G Capital Should Have Tension Over Kraft Heinz WhenBerkshire Hathaway(NYSE: BRK-A)(NYSE: BRK-B)and private equity firm 3G Capital teamed up to orchestrate the acquisition ofKraftbyHeinz(NASDAQ: KHC), it was a big deal that has apparently been a big miss. Buffett now admits that he significantly overpaid for Kraft, and the market cap of the joint company is now less than half what it was a year ago. So the rumors that there was friction between the partners are at the very least understandable. In this segment fromMarketFoolery, host Chris Hill and senior analyst Jason Moser discuss those rumors, Buffett's denial, the issues at Kraft Heinz, and more. To catch full episodes of all The Motley Fool's free podcasts, check out ourpodcast center. A full transcript follows the video. More From The Motley Fool • 10 Best Stocks to Buy Today • The $16,728 Social Security Bonus You Cannot Afford to Miss • 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) • What Is an ETF? • 5 Recession-Proof Stocks • How to Beat the Market This video was recorded on June 25, 2019. Chris Hill:Speaking of slowing growth, let's talk about Kraft Heinz. Shares are down about 50% or so this year. There have been reports of trouble between Berkshire Hathaway and 3G capital. Bears remembering that those two teamed up a few years back to buy Kraft Heinz and got a lot of headlines at the time, and rightly so, in part because Warren Buffett had, up to that point, a track record of making acquisitions essentially on his own. So at the time, it was like, "Wow, here's this new deal." Also, Buffett has been critical in the past of private equity. It raised a couple of eyebrows that Berkshire Hathaway would team up with a private equity firm, even one with the reputation of 3G Capital, and then go out and buy Kraft Heinz. Apparently, these reports...you hear little rumblings here and there. It never struck me as something that was front-page news. Maybe I missed it. I don't know thatThe Wall Street Journalhad some splashy headline on the front page about some big rift. But apparently, Warren Buffett felt the need to reach out to CNBC and come out today and say that there's no tension between Berkshire Hathaway and 3G. He really downplayed these reports. I don't know your reaction, but my reaction was, first of all, given what's happened, given the way Kraft Heinz has performed, particularly over the last two years, the writedowns that have happened for Berkshire Hathaway, the fact that Buffett has had to come out and say, "Oh, yeah, we paid too much for this," I think any reasonable person would expect there to be some level of tension. That seems like a little bit of he doth protest too much. Jason Moser:YourSlackmessage made me laugh on my way to work. "Really? Shouldn't there be some tension?" Yeah, you're damn right there should be tension! The stock has gotten killed, and for a lot of not necessarily easy-to-fix reasons. Misreporting notwithstanding, restatements notwithstanding -- Hill:Just to add parenthetically, yes, Kraft Heinz, also some accounting problems. Moser:We've certainly we've seen other companies have that. You're talking about something that's very fixable. You can recover from it. The thing about this deal that always struck me, on the surface, it's right in his wheelhouse. Consumer brands, not tech-related. It's food. It's something you associate with our childhood. A lot of these brands, you and I associate with our childhoods. I think that's part of the problem. I know he said that the biggest problem facing Kraft Heinz is that Heinz overpaid when merging with Kraft in July, and then they made a mistake in overpaying for that investment. I think it goes far deeper than that. I think these are brands that are not resonating with younger generations of consumers today. I don't think that necessarily changes so quickly, particularly when you see the attitudes toward what people are eating, the brands that are coming up from that, the nature of being able to get out there and brand build that didn't exist when we were growing up, via social media and other channels. It's not to say that this is some trip to zero. I don't think that's the case. There's value in Kraft and Heinz and Philly cream cheese and whatnot. But I don't look at those as brands that are going to be leading the way going forward. For them to just think that overpaying was the problem misses the point entirely. Hill:I'm not rooting against Berkshire Hathaway. I'm not rooting against Warren Buffett. But to be completely honest, part of me is heartened by the fact that, yeah, Warren Buffett's human. He would probably like a mulligan on this one. From time to time, we talk about sunk costs, and how that's hard to fight against as an investor. Turns out, it's hard for Warren Buffett to fight against. At the time of this deal in 2013, one of the things Buffett said at the time was, "Oh, yeah, I've had my eye on Heinz going back to 1980." For more than 30 years, he had, on some level, been looking at the Heinz business and saying, "Boy, I sure would like to get some of that." Moser:And ironically, had he made that investment back then, I'm sure things would have worked out a lot better. You hit on something there that I would love to know. Given a mulligan, if you could have this deal for half of what you paid for it, would you do it again? I'd ask Buffett that question. Would you do it again if you could do it for half? Maybe he would, maybe he wouldn't. I think the value investor in him quite possibly would. I would still question that. Again, it goes back to, sometimes things are cheap for a reason. Chris Hillhas no position in any of the stocks mentioned.Jason Moserhas no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Berkshire Hathaway (B shares). The Motley Fool has adisclosure policy.
Jimmy Carter says a full investigation would show Trump lost in 2016 Former President Jimmy Carter questioned the legitimacy of Donald Trump's presidency on Thursday, saying he would likely not be in the White House if the Russians did not interfere in the 2016 presidential election. “I think a full investigation would show that Trump didn’t actually win the election in 2016. He lost the election, and he was put into office because the Russians interfered on his behalf,” the former president, who served between 1977 and 1981, said at a panel hosted by the Carter Center in Leesburg, Va. Pressed by moderator and historian Jon Meacham on whether he believes Trump is an “illegitimate president,” Carter stared, and then said smiling, “Basically, what I said, I can’t retract.” Carter’s remark drew laughs from the audience and Meacham. Carter has not been an especially vocal critic of the president, and has sometimes even praised Trump's policies, such as Trump’s decision not to take military action against Iran. The oldest living president and Trump also spoke over the phone in April after Carter wrote to the president about his trade negotiations with China. During the Thursday event, Carter called for Trump to condemn Russia for their meddling in the election, and said he should “admit that it happened," as the intelligence community has already stated. Carter’s comment will likely chafe Trump, who has been quick to roast anyone who attempts to undermine his presidency by insinuating that his surprise victory in 2016 was illegitimate. The president has repeatedly argued , without evidence, that there were millions of illegitimate votes, which helped tip the popular vote in rival Hillary Clinton’s favor during the 2016 election. He said directly after the election that voter fraud was to blame for his losing the popular vote, and maintains that position. In a recent interview with NBC’s Chuck Todd on “Meet the Press,” Trump said “there were a lot of votes cast [in 2016] that I don’t believe," adding, “There was much illegal voting," he added. Story continues The nearly two-year probe by former special counsel Robert Mueller did not find sufficient evidence that Trump’s campaign colluded with Russian officials to harm Clinton and boost the real estate tycoon's presidential bid. However, the report, which was released in mid-April, laid out in extensive detail how the Kremlin used hacking techniques and disinformation campaigns to try to sway the election Trump's way. Trump has held strong on his position that the Russians played no part in helping him land in the Oval Office. He has dismissed the idea that Russian interference affected the outcome of the 2016 election, calling it “a hoax,” among other names. But the president also said in a recent interview that he might not report any election help offered by foreign sources to the FBI in the 2020 election cycle, stoking fresh agitation among Democrats and his fellow Republicans. And just hours after Carter’s comment, Trump again made light of Russia's meddling attempts. While meeting with Vladimir Putin at the G-20 summit in Japan, Trump turned to the Russian president and said jokingly, "Don't meddle in the election, president. Don't meddle in the election." Putin, after appearing to hear the translation, laughed while Trump grinned.
Why CalAmp Stock Popped 13% Today CalAmp(NASDAQ: CAMP)stock leaped out of the gate Friday after the company announced estimate-beating earnings for itsfiscal first quarter 2020. Shares of the subscription-based cloud platform provider were trading more tha 13% higher as of 11:20 a.m. EDT. Analysts' consensus expectation was that the company would report $0.09 per share worth of pro forma profits for the quarter on sales of just over $87 million. Instead, CalAmp reported $0.12 per diluted share, which was on the high-end of its guidance range, on sales of $89.1 million. Image source: Getty Images. CalAmp's revenues actually slid 6% year over year, however, "due to a decline inTelematics Systemsproduct sales." Software and subscription service sales, on the other hand, climbed 38% year over year, which led to the higher per-share profits. That said, only CalAmp'spro formaprofits are currently positive today. When calculated according to generally accepted accounting principles (GAAP), CalAmp actually lost $0.26 per diluted share, "reflecting non-recurring legal expenses and purchase accounting adjustments related to the recent acquisitions." Heading into fiscal Q2 2020, CalAmp issued this new guidance: Based on "revenue momentum across our SaaS businesses combined with an increase in MRM Telematics sales due to customer LTE transitions," management expects fiscal Q2 revenues to range from $89.5 million to $94.5 million, with pro forma profits between $0.08 and $0.14 per share. GAAP losses, however, will continue, at around $0.24 per share. Taken at the midpoint, these numbers appear to be setting CalAmp up for a sales beat but an earnings miss in Q2. Wall Street is forecasting only $91.4 million in sales, but $0.15 per share inpro formaprofit for the quarter. More From The Motley Fool • 10 Best Stocks to Buy Today • The $16,728 Social Security Bonus You Cannot Afford to Miss • 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) • What Is an ETF? • 5 Recession-Proof Stocks • How to Beat the Market Rich Smithhas no position in any of the stocks mentioned. The Motley Fool recommends CalAmp. The Motley Fool has adisclosure policy.
Facebook’s Libra Could Castrate Central Banks, Says Ex-World Bank Chief Economist Central bankers and other makers of monetary policy have every reason to fear Facebook’s cryptocurrency Libra, according to a former chief economist of the World Bank. Per Kaushik Basu, who was the World Bank’s chief economist from 2012 to 2016, Libra will render the various monetary policy tools that are at the disposal of central banks ineffective: …monetary policymakers should be especially worried, because they may find it much harder to control unemployment and inflation in a Libra world. Writing forProject Syndicate, the former senior official of the Bretton Woods institution also observed that the odds of central banks becoming toothless would greatly increase if and when Libra becomes a ‘dominant global currency’. Specifically, Basu cautioned that users of Facebook’s cryptocurrency may opt to keep their money in Libra instead of their national currencies. Consequently, in the event of inflation rising, the effectiveness of central banks to take remedial measures such as mopping up the excess liquidity will be greatly diminished since money creation will be in the hands of Facebook. The ex-chief economist of the World Bank, however, cautioned that banning the cryptocurrency might not be the solution. This is because any country that bans Libra may become isolated if other jurisdictions take the opposite step and embrace it. Instead, Basu calls for legislation aimed at clipping the powers of aspiring private creators of money such as Facebook: Read the full story on CCN.com.
Should You Buy Bank of America After Dividend and Buyback Boost? Bank of America (NYSE:BAC), JPMorgan (NYSE:JPM) Goldman Sachs (NYSE:GS) and others are on the move Friday. The rally comes after many in the banking sector were given the green light to raise their dividend payouts and increase their buybacks. Among them was BAC stock.Source: Shutterstock On June 21st, all 18 banks passed the Fed's stress test. On the 27th, the Fed approved numerous capital return increases from various banks.For Bank of America stock specifically, the company can buyback up to $30.9 billion worth of stock. Management also plan to raise the quarterly dividend by 20% to 18 cents per share. At 72 cents per share annually, that will boost BAC stock's dividend yield to roughly 2.5%. That's up from the current 2.13% payout it sports now.InvestorPlace - Stock Market News, Stock Advice & Trading TipsOn the buyback front, $30.9 billion represents more than 11.5% of the bank's current market cap. It's also a huge increase from the $20.6 billion buyback that was approved last year. In fact, it's 50% larger this year, showing just how strong of a balance sheet CEO Brian Moynihan & Co. have built since the financial crisis. Who Else Is Boosting Returns?JPMorgan was already attractive before it boosted its results. But after the Fed's approval, it gets even better. JPM will raise its quarterly dividend 12.5% to 90 cents a share from 80 cents a share. Shares will yield 3.3% at current prices, while the bank can repurchase up to $29.4 billion worth of stock. That's up big from last year's $20.7 billion buyback approval. Although the dividend bump seems modest, keep in mind, JPM raised its dividend by 40% in 2018, while having the largest capital return plan in 2017 and 2018.Citigroup (NYSE:C) plans to bump its quarterly dividend to 51 cents per share from 45 cents per share, a 13% increase. The stock would yield about 3% based on Thursday's closing price, although shares will rally in response. Citigroup can also repurchase up to $17.1 billion in stock. That's a bit more than 10% of its $160 billion market cap.Goldman Sachs can buy up to $7 billion worth of stock and plans a big increase in its dividend. The bank is raising its quarterly payout from 85 cents per share to $1.25 per share. The 47% bump to the dividend brings Goldman's yield to a level that's more in line with some of its banking peers. Shares will now yield about 2.5%, up big from its prior yield of 1.7%.Most banks' capital return plan -- although not all, like Credit Suisse (NYSE:CS) -- were approved by the Fed. That suggests healthy balance sheets and strong financials. While it's not clear when a recession will hit, investors should feel more comfortable this time around than they did a decade ago. At least when it comes to the strength of the banking system. Trading BAC Stock Click to EnlargeSo where does all of this leave BAC stock?Bank of America stock lags both Citigroup and JPMorgan in dividend yield and is now in-line with Goldman Sachs. However, while GS trades at just 8.5 times this year's earnings, estimates call for a year-over-year decline in both revenue and earnings. BAC estimates call for growth in both categories and trades at roughly 10 times earnings.So BAC trumps GS in some views, but what about JPM and C? Earnings and revenue estimates for BAC stock lag JPMorgan and Citigroup in 2019. Only in 2020 does BAC edge either of them in either category (with growth expectations of 10.2% earnings growth to JPMorgan's 6.2% growth).According to the data -- growth, valuation and yield -- Citigroup seems like the best all around pick. But that does not make BAC stock a bad bank to own.On the stock charts, BAC has been mostly range-bound between $26.50 support and $30.50 resistance. Over the 20-day and 200-day moving averages is good, as Bank of America stock trends higher (purple line). I want to see if this news can break BAC stock out over $29 and over the 50-day. * 10 Small-Cap Stocks That Look Like Bargains If it can, a run to range resistance is possible. Below $27.75 and a retest of range support could be in the cards.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Top Small-Cap Stocks Of 2019 * Critical Levels to Watch in 7 Marijuana Stocks * 5 Smaller Cloud Stocks That Have Plenty of Potential Compare Brokers The post Should You Buy Bank of America After Dividend and Buyback Boost?Â appeared first on InvestorPlace.
Exclusive: Venezuela reshuffles oil output to favor Asia exports amid sanctions - documents By Marianna Parraga and Luc Cohen MEXICO CITY/CARACAS (Reuters) - Venezuelan state oil firm PDVSA is revamping one of its major processing operations geared to supplying U.S. buyers to produce instead a crude grade favored by Asian refiners, according to internal documents seen by Reuters. Sweeping U.S. sanctions on the government of President Nicolas Maduro since January have effectively halted its oil sales to U.S. refiners, historically among the largest receivers of Venezuelan crude. The Trump administration imposed the sanctions to starve Maduro's government of oil revenue and force him from office. Its Petropiar joint venture, which once made up to 210,000 barrels per day of exportable "synthetic" crude out of tar-like oil from its Orinoco Belt, will be converted next month to blend heavy and light oils, according to internal PDVSA documents detailing the strategy. The joint venture, between PDVSA and U.S.-based Chevron Corp, plans to make a heavy crude grade called Merey by blending extra-heavy oil with lighter grades. The move comes after domestic inventories of Venezuela's synthetic crude jumped after U.S. refiners halted purchases. Asian refineries are better equipped to handle blended crudes compared to the synthetic type produced by the Venezuelan upgraders, said Rystad Energy analyst Paola Rodriguez-Masiu. "Asia has a low hydrocracking capacity compared with the United States," she said, referring to the processing of synthetic crudes. Neither PDVSA nor Venezuela's oil ministry responded to requests for comment. Chevron referred questions to PDVSA, which controls Petropiar. PDVSA's plan faces significant logistical challenges, most notably producing enough domestic light oil to blend - given that U.S. sanctions have sharply limited imports. Merey will account for 822,000 bpd of PDVSA's roughly 900,000 bpd of planned July crude exports, the documents show, compared with about 500,000 bpd earlier this year. The shift could take advantage of a heavy crude supply crunch. Declining exports of similar grades from other Latin American producers have boosted Asia's appetite for Venezuelan crudes including Merey, and helped lift their pricing, traders said. PDVSA's main customers in Asia are China National Petroleum Corp (CNPC) and its subsidiaries; India's Reliance Industries and Nayara Energy, and Thailand's Tipco Asphalt, according to long-term supply contracts. Venezuela in the late 1990s relied heavily on Western companies to develop upgrading technology that allowed it to tap what had previously been unusable oil in the vast Orinoco Belt - now considered the world's largest crude reserve. Exxon Mobil Corp, ConocoPhillips and Chevron made multi-billion-dollar investments in the facilities, and adapted their refineries to receive the resulting crude. Exxon and Conoco left the country amid a nationalization wave last decade by late President Hugo Chavez, while operations at the facility part-owned by Chevron have all but ground to a halt - in part due to extended blackouts in March. The strategy also involves scaling back exports of a grade known as diluted crude oil, or DCO, made by mixing heavy crude with naphtha. Sanctions cut imports of naphtha, and Venezuela's ailing refineries struggle to produce enough of its own supplies. The three other ventures with upgraders in the Orinoco, operated by PDVSA and Rosneft, Total SA and Equinor, will produce extraheavy oil temporarily mixed with naphtha for transportation and later blended to formulate Merey, the documents show. (Reporting by Marianna Parraga in Mexico City and Luc Cohen in Caracas; editing by Gary McWilliams and Marguerita Choy)
Crop planting slows in India on weak monsoon rains NEW DELHI (Reuters) - Indian farmers have planted 14.7 million hectares with summer-sown crops, down almost 10% from the previous year, the farm ministry's data showed on Friday, as weak monsoon rains delayed sowing in most parts of the country. The area planted with cotton was at 2.7 million hectares versus 3.2 million hectares the prior year. Planting of rice, the key summer crop, was little changed at 2.7 million hectares. Corn planting was 1.1 million hectares against 1.2 million hectares. Other crop plantings such as pulses, sugar cane and oilseeds like soybean were also down versus last year. Farmers start planting their summer-sown crops from June 1, when monsoon rains are expected to reach India, where nearly half of farmlands lack irrigation. The figures are provisional and subject to revision as updates arrive with the progress of the June-September monsoon season. Monsoon rains were below average for the fourth straight week, with rainfall scanty over central and western parts of the country, raising concerns about major crop production and the impact on the nation's economy. Water levels in India’s main reservoirs were at 16% of their storage capacity in the week to June 27 against 18% a year earlier, according to the latest government data. Latest reservoir levels are lower than the last 10 years’ average of 19%. (Reporting by Mayank Bhardwaj; editing by Emelia Sithole-Matarise)
UK airlines will not scrap controversial 'no-show' clauses A British Airways flight arriving at London's Heathrow airport. Photo: Steve Parsons/PA Wire/PA Images Airlines have been accused of “ripping off’ customers under the pretext of “no-show” policies, which automatically cancel a passenger’s return if they do not take the outbound flight. On Friday, consumer body Which? called for no-show clauses to be banned in the UK – just as they were in Austria in April – calling them a “rip off”. However, airlines including British Airways and KLM are refusing to scrap no-show policies. Which? wrote to nine airlines in December, warning that no-show clauses unduly penalises passengers and could be breaking consumer law. But seven airlines – British Airways, KLM, Emirates, Air France, Singapore, Qatar and Swiss – have told Which? they will not remove these clauses. READ MORE: Ryanair boss says 'wave' of European airline failures to continue This policy often costs passengers hundreds of pounds, as they are forced to shell out for replacement tickets – with no refund of the original fare. In many cases, the ticket is sold on by the airline – doubling the earnings made from the seat. One customer told Which? he was forced to pay £600 to British Airways after he and his wife were barred from their return journey from Pisa to London. READ MORE: The 10 best airlines in the world for 2019 They had to travel to Pisa via an alternative company when British Airways cancelled their original flight due to a strike, only offering them a replacement two days later, the customer explained. British Airways has defended the policy, calling it “common industry practice” designed to stop “abuse” of its fares. READ MORE: This is the no. 1 airline in the world, according to 21 million survey responses A spokesperson said: “We believe that being upfront with customers is essential, so we work hard to give them the information they need when travelling with us, and ensure that our terms and conditions are very clear on our website. They added: “Many of our tickets allow customers to make changes to their flights if they inform us before they travel.” Story continues In a report published last week, the Civil Aviation Authority (CAA) said the policy needed to be made “fairer and more proportionate”. READ MORE: Airline group advocates more training for Boeing 737 Max Following pressure from the CAA and feedback from customers, Virgin Atlantic, despite previously having told Which? it would not remove clause, has updated its policy. Customers are now encouraged to contact Virgin before they miss their flight to avoid the second leg of their journey being cancelled. A representative said: “If the customer can’t contact us before they miss their flight, they will need to contact us as soon as they can, and if there has been a legitimate change in circumstances, we will reinstate their inbound ticket.”
Why Shares of KAR Auction Services Are Moving on Friday What happened Investors in KAR Auction Services (NYSE: KAR) were in for a surprise on Friday morning, with some data services showing the shares down 61% in morning trading. There's a good explanation for the apparent fall, and fortunately it does not involve shareholders losing more than half of their investments. So what Before markets opened on Friday, KAR completed its long-planned spin of its IAA salvage auction business. The company distributed 100% ownership of IAA (NYSE: IAA) to its shareholders, each KAR shareholder receiving one share of IAA common stock for every share of KAR held. Hands raised at an auction. Image source: Getty Images. Shares of KAR closed at $62.08 apiece on Thursday, and after the split are trading at around $24 on Friday, an apparent 60% drop. However, shares of the newly christened IAA are trading at $40.89 at the time of writing, meaning that holders are actually up slightly on the day. Some financial sites, including Yahoo! Finance, were on top of the spin and adjusted KAR's historical prices accordingly. Others did not, causing the headline-grabbing decline. Now what That's not to say KAR hasn't experienced market turbulence in the recent past, with the shares plunging nearly 20% back in February after the company reported quarterly results that disappointed. KAR CEO Jim Hallett in a statement announcing the completion of the spin called it "the beginning of a new era for KAR and our investors." Post-spin KAR is focused on physical and online whole car auction marketplaces, generating about $2.4 billion in annual revenue on vehicle sales and ancillary services including dealer floor plan financing, logistics, inspections, and fleet management. IAA, meanwhile, is focused on auctions of total loss, damaged, and low-value vehicles in North America and the United Kingdom, generating annual revenue of about $1.3 billion. The hope is that the two streamlined entities will be able to generate better results than when they were together. Time will tell, but hopefully investors won't have to worry about down-60% days, either now or in the future. Story continues More From The Motley Fool 10 Best Stocks to Buy Today The $16,728 Social Security Bonus You Cannot Afford to Miss 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) What Is an ETF? 5 Recession-Proof Stocks How to Beat the Market Lou Whiteman has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy .
Luxury online reseller The RealReal closes up more than 40% in debut (Reuters) - Shares of U.S. online luxury reseller The RealReal Inc <REAL.O> closed up more 40% in their debut on Friday, giving it a market capitalization of around $2.4 billion and signaling investor appetite for listings of consumer companies. The shares opened at $28, above their initial public offering price of $20, and closed at $28.90. The offering of 15 million shares was priced at $20, above the expected range of $17 and $19 per share, helping the company raise $300 million in net proceeds. The personal luxury goods market is expected to grow to between $364 billion and $415 billion in 2025, with millennials expected to represent 40% of the market, according to research firm Bain & Co. The vast majority of The RealReal's business is in the United States and Chief Executive Julie Wainwright said the company would eventually expand abroad. "We have a huge opportunity in front of us. Two-thirds of it’s outside the U.S. so at some point we’ll go overseas but not in the near term," Wainwright said in a telephone interview. The RealReal is a marketplace for second-hand luxury items including clothing and accessories. People can list their unwanted luxury goods, some that are either used or still have tags on them, and the company then takes a cut when a sale is made. The RealReal, which started out as a business run from Wainwright's kitchen table, now processes nearly 2 million orders per year. It has expanded its physical presence by opening two brick-and-mortar stores in Manhattan and one in Los Angeles that collect as well as sell goods. The company has been thriving on the rising sales of second-hand, or vintage, luxury goods - from Chanel handbags and Gucci dresses to Rolex watches - banking on growing millennial interest in the price and environmental benefits of recycled clothing. Rival resellers are looking to cash in on the booming market, including thredUP, which branched into luxury last year, and established players like Vestiaire Collective. The top-selling luxury designers on The RealReal's online marketplace include Cartier, Chanel, Christian Louboutin, Gucci, Hermès, Louis Vuitton, Prada, Rolex, Tiffany and Valentino. The company posted a net loss of $75.8 million in 2018, compared with a loss of $52.3 million in 2017, on revenue of $207.4 million, up over 55%, its filing with the U.S. Securities and Exchange Commission showed. Investors in the San Francisco-based company include Perella Weinberg Partners and Great Hill Partners. (Reporting by Aparajita Saxena and Aishwarya Venugopal in Bengaluru, and Joshua Franklin in New York; Editing by Susan Thomas and Alistair Bell)
Here's Why Avid Bioservices Is Skyrocketing Today Investors inAvid Bioservices(NASDAQ: CDMO)are having a pleasant end to the trading week. The provider ofcontract development and manufacturing servicesfor biopharma companies is up 32% as of 11:15 a.m. EDT on Friday after the company reported a strong end to its fiscal year. Here are the headline numbers from the company's fiscal fourth quarter 2019: • Revenue jumped 146% to $17.1 million. Wall Street was only expecting $15.7 million in total revenue. • The company generated positive income from operations during the quarter. • Backlog rose $3 millionsequentiallyto $46 million. • Gross margin increased to 21%, up from a negative number last year. • Net loss was $1.1 million, or $0.02 per share. That was a penny better than expected. • Cash balance at quarter-end was $32.4 million. Image source: Getty Images. Zooming out to the full year, here's what happened in the fiscal year: • Revenue was flat at $53.6 million. • Gross margin improved to 13%. • Net loss was $8.9 million, or $0.16 per share. For fiscal year 2020, management is projecting that revenue will land between $64 million and $67 million. That's slightly behind the $68.8 million that analysts were expecting. Shares are soaring in response to the positive quarterly results. CEO Roger Lias was upbeat about the company's accomplishments in fiscal 2019: Fiscal 2019 was a fundamentally transformative year for Avid, as the team successfully achieved a number of critical goals. Most notably, we converted the losses and negative margins in fiscal 2018 into a sustainable position of financial strength. Based on our current backlog as well as forecasts from our customers, we believe the company will achieve sustainable growth going forward. Avid is stronger today than it has been at any point in the past. Lias also noted that the company continues to sign new clients and win more business from existing ones. Overall, it was a promising quarter all around. With management calling for strong top-line growth in fiscal 2020, shareholders appear to have every reason to be excited about where this company is heading. More From The Motley Fool • 10 Best Stocks to Buy Today • The $16,728 Social Security Bonus You Cannot Afford to Miss • 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) • What Is an ETF? • 5 Recession-Proof Stocks • How to Beat the Market Brian Feroldihas no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has adisclosure policy.
Top Ranked Income Stocks to Buy for June 28th Here are four stocks with buy rank and strong income characteristics for investors to consider today, June 28th: Arbor Realty Trust, Inc. (ABR): This investor in a diversified portfolio of structured finance assets has witnessed the Zacks Consensus Estimate for its current year earnings increasing 5.1% over the last 60 days. Arbor Realty Trust price-consensus-chart \| Arbor Realty Trust Quote This Zacks Rank #1 (Strong Buy) company has a dividend yield of 9.5%, compared with the industry average of 4.2%. Its five-year average dividend yield is 8.5%. Arbor Realty Trust dividend-yield-ttm \| Arbor Realty Trust Quote CorEnergy Infrastructure Trust, Inc.(CORR): This real estate investment trust has witnessed the Zacks Consensus Estimate for its current year earnings increasing 2.4% over the last 60 days. CorEnergy Infrastructure Trust, Inc. price-consensus-chart \| CorEnergy Infrastructure Trust, Inc. Quote This Zacks Rank #2 (Buy) company has a dividend yield of 7.6%, compared with the industry average of 4.2%. Its five-year average dividend yield is 9.4%. CorEnergy Infrastructure Trust, Inc. dividend-yield-ttm \| CorEnergy Infrastructure Trust, Inc. Quote City Office REIT, Inc.(CIO): This investor in high-quality office properties has witnessed the Zacks Consensus Estimate for its current year earnings increasing 1.7% over the last 60 days. City Office REIT, Inc. price-consensus-chart \| City Office REIT, Inc. Quote This Zacks Rank #2 company has a dividend yield of 7.9%, compared with the industry average of 4.2%. Its five-year average dividend yield is 7%. City Office REIT, Inc. dividend-yield-ttm \| City Office REIT, Inc. Quote CoreCivic, Inc.(CXW): This diversified government solutions company has witnessed the Zacks Consensus Estimate for its current year earnings increasing 2.5% over the last 60 days. Corrections Corp. of America price-consensus-chart \| Corrections Corp. of America Quote This Zacks Rank #2 company has a dividend yield of 8.5%, compared with the industry average of 4.2%. Its five-year average dividend yield is 5.2%. Corrections Corp. of America dividend-yield-ttm \| Corrections Corp. of America Quote See thefull list of top ranked stocks here. Find more top income stocks withsome of our great premium screens. Today's Best Stocks from Zacks Would you like to see the updated picks from our best market-beating strategies? From 2017 through 2018, while the S&P 500 gained +15.8%, five of our screens returned +38.0%, +61.3%, +61.6%, +68.1%, and +98.3%. This outperformance has not just been a recent phenomenon. From 2000 – 2018, while the S&P averaged +4.8% per year, our top strategies averaged up to +56.2% per year. See their latest picks free >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportCorrections Corp. of America (CXW) : Free Stock Analysis ReportCorEnergy Infrastructure Trust, Inc. (CORR) : Free Stock Analysis ReportCity Office REIT, Inc. (CIO) : Free Stock Analysis ReportArbor Realty Trust (ABR) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research
'Medicare for All' would be a ‘major disruption,’ says EventShares CIO Health care was a hot topic at this week’s Democratic presidential debates. And it’s on investors’ minds as well. “Medicare for All is something that we are watching with pretty heightened interest,” said CIO of EventShares and investment manager Ben Phillips told Yahoo Finance. Phillips said his concerns about the U.S. health care system have markedly increased in the lead-up to the 2020 election. “We have 18% of a PLCY in health care innovation, and it’s really a continuation of the things that ACA health care put in place,” Phillips said. “[Medicare for All is] something that would be a major disruption.” Senator Bernie Sanders’ Medicare for All plan has been backed by a number of Democrats, many of whom are his presidential rivals, including: Elizabeth Warren, Cory Booker, Kamala Harris, and Kirsten Gillibrand. But candidates in favor of a major policy overhaul are in the minority. The “lackluster” response from the majority of Democratic presidential candidates, isn’t necessarily a bad one, said Phillips. He regards their apprehension “as somewhat of a positive from a policy standpoint,” especially in contrast to the more extreme direction in which progressive Democratic candidates have turned since the 2016 election. Olivia Balsamo is a writer and producer at Yahoo Finance. Follow her on Twitter@BalsamoOlivia. Follow Yahoo Finance onTwitter,Facebook,Instagram,Flipboard,SmartNews,LinkedIn,YouTube, andreddit.
Why Nvidia Stock Can Stay in Rally Mode The stock market is having its best year since 1997, rising more than 17% so far in 2019, as global economic fundamentals have dramatically improved over the past six months. U.S. economic activity has stabilized. China has provided much-needed stimulus to its slowing economy. Trade tensions are finally starting to calm, and a trade deal looks likely to be reached in the foreseeable future. Finally, the Fed has turned extremely dovish.Source: Shutterstock All in all, the global economic backdrop has improved dramatically in 2019, and as it has, stocks have rallied to all-time highs. But chip giant Nvidia (NASDAQ:NVDA) didn't get invited to the party. While NVDA stock is up more than 20% in 2019, it currently trades about 15% off its 2019 highs, and 45% off its 52-week highs. * The 7 Top Small-Cap Stocks Of 2019 In other words, while the stock market has rushed to fresh all-time highs in 2019, NVDA stock remains nearly 50% off its all-time highs.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThere are multiple reasons for the discrepancy. Almost all of them are tied to the persistent weakness of the semiconductor market which has weighed on Nvidia's revenue and profit growth. More importantly, I don't think the discrepancy will last. History and fundamentals suggest that the conditions of the global semiconductor market will improve in the back half of 2019 and into 2020. That improvement will provide a nice positive catalyst for Nvidia's revenue and profit growth. As its top and bottom line growth accelerates, NVDA stock will rally.As a result, buying NVDA while it remains depressed seems like the right move. Its fundamentals will only get better over the next several quarters. As they do, Nvidia stock will rebound. Why Nvidia Stock Has TankedAt one point in time, Nvidia was hailed as an unstoppable force in the AI world.That was back in 2016, 2017, and into 2018. Nvidia reported huge revenue growth every quarter during those years, powered by demand for the company's next-gen AI chips. All that strong revenue growth came on top of powerful gross margin expansion, creating profit growth.Not surprisingly, from early 2016 to September 2018, NVDA stock soared from $30 to $300.Then, reality struck. In reality, Nvidia isn't a super powered AI company with a secret sauce that will help it grow forever. Instead, Nvidia is a formidable AI chip player that, despite having strong, non-cyclical growth drivers, isn't exempt from the notorious cyclicality of the semiconductor market.Thus, as the global economy cooled in late 2018 and demand throughout the semiconductor sector dried up, NVDA struggled. Demand for its products slowed, too, as inventory stockpiles increased. Consequently, over the past several months, Nvidia has been beset by weak demand and huge supply. Those dynamics don't bode well for its revenue, margins, or profits.As a result, the company's revenue has been meaningfully sliding. Its top line dropped more than 30% year-over-year last quarter. Similarly, its margins are falling significantly. Its gross margins dropped over six percentage points last quarter.As its revenues and margins have taken a step back, its profits have sunk, dragging NVDA stock down from $300 to $164 over the past few quarters. Why Nvidia Stock Will ReboundOver the next several quarters, the fundamentals of the semiconductor market will improve, Nvidia's profit will resume growing, and NVDA stock will roar higher.The decline of the semiconductor market this year is nothing abnormal. It's par for the course. The semiconductor market is notoriously cyclical. History shows that a few consecutive big up years are followed by a weak year or two. That's followed by years that feature gigantic rebounds.Thus, history says a bounce back is imminent, and the fundamentals also indicate that the sector is poised for a rebound.Trade tensions between the U.S. and China are cooling, and it increasingly appears that they will make a trade deal soon. Such a deal would boost semiconductor demand. At the same time, the Fed has turned dovish, and interest rate cuts appear to be on their way. A rate cut would also be positive for U.S. demand.Bitcoin is surging once again, and that will reinvigorate Nvidia's bitcoin-mining tailwind. Self-driving taxi and delivery services are starting to be beta tested all across the country, and such tests could lead to hockey stick-like growth for Nvidia's autonomous driving-related revenue. Cloud gaming services are set to launch later this year and in 2020. Those launches will meaningfully increase demand for Nvidia's GPUs.Given all of these upbeat trends, the fundamental backdrop of NVDA is improving, as history says it should after a sharp correction in the first half of 2019. As the fundamental backdrop improves over the next several quarters, Nvidia's growth will re-accelerate, and that re-acceleration will push NVDA stock higher, too. The Bottom Line on NVDA StockThe global semiconductor market took a very natural and normal step back in the first half of 2019. Both history and fundamentals suggest that this slowdown will moderate in the back half of 2019, while growth will return in 2020. As its market improves, Nvidia's growth will re-accelerate, and that will spark a rally by NVDA stock.As of this writing, Luke Lango did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Top Small-Cap Stocks Of 2019 * Critical Levels to Watch in 7 Marijuana Stocks * 5 Smaller Cloud Stocks That Have Plenty of Potential Compare Brokers The post Why Nvidia Stock Can Stay in Rally Mode appeared first on InvestorPlace.
Massachusetts police officer charged with repeatedly raping 16-year-old homeless girl while on duty A 49-year-old Massachusetts police officer wasarraignedThursday on two charges of rape after he allegedly sexually assaulted an underage homeless girl multiple times while on duty. Officer Kevin Garneau, a 19-year veteran of the Lowell Police Department and well-known bicycle patrol officer, was serving as a member of a community homeless outreach program in 2016 when he met the victim, who was 16 years old at the time. The girl, whose identity has not been released, was then living in a tent in an area of Lowell set up to offer shelter to the town's homeless population,accordingto Middlesex District Attorney Marian Ryan. Garneau, originally from Pelham, N.H., allegedly entered the teen's tent and falsely told her she had multiple warrants out for her arrest but promised not to arrest her in exchange for "sexual services." The officer raped the teen victim, who wasreportedlyaddicted to heroin, several more times in the months following the initial assault, the district attorney said. The Lowell Police Department said it learned of the disturbing allegations in January 2019 and immediately launched an internal investigation. The department notified the Middlesex District Attorney's Office of its findings in May 2019, according to astatement. Officer Garneau has been placed on unpaid administrative leave pending the outcome of the criminal proceeding. "I'm astonished and deeply disappointed," Superintendent of Police Raymond Kelly Richardson said of the case. "I acted as soon as we were made aware of these allegations." "This is not what the men and women of the Lowell PD represent," he added. "They police legally, respectfully and compassionately." Clerk Magistrate Daniel Flaherty released Garneau on personal recognizance and ordered him to be placed on a GPS monitoring device and to stay away from the victim. The officer is scheduled to reappear in court on July 23.
Cops Search for Mattress Possibly Linked to Missing Utah Student as Her Instagram Account Shows New Activity Salt Lake City police are looking for a mattress and box spring that they say may yield clues in the disappearance of 23-year-old University of Utah student MacKenzie Lueck. On June 17, Lueck took a Lyft from the Salt Lake City airport to a local park. She met someone else in a vehicle there, police say. She hasn’t been seen since. On Wednesday night, officers descended on a private residence on the northwest side of the city. According to the Deseret News , Salt Lake Assistant Police Chief Tim Doubt told reporters at the scene that the house and its occupants have been “a nexus to the case.” Authorities took several bags of potential evidence from the home, the Salt Lake Tribune reports. They also towed away a vehicle. But now, police are searching for items that were not found in the home. Salt Lake City Police Chief Mike Brown told reporters Thursday that they are looking for a mattress and box spring that were given away from the home last week. Brown asked that whoever took them contact the Salt Lake City Police Department. Salt Lake City Police Detective Greg Wilking also told CNN that cops are looking into the reports that the homeowner recently burned several items in his backyard. Police have not named the homeowner as a suspect or accused him of any wrongdoing. We are looking to find this mattress as well as a box spring in relation to this case. These items were possibly given away from 547 N. 1000 W. If you picked up these items please contact us at 801-799-3000 #MackenzieLueck #missingperson pic.twitter.com/Lqqby7iAxJ — SLC Police Dept. (@slcpd) June 27, 2019 Chief Brown told reporters that the investigators are examining the case’s “digital footprint” to retrace the woman’s steps. “This is a digital forensic investigation,” he told reporters. “This is covering computers, cellphones, IP addresses, URLs, texting apps.” Before her disappearance, Lueck was active on social media. Though she hasn’t posted anything since June 17, Fox News reports that on Wednesday, Lueck’s personal Instagram handle followed an account called Fatherless. Her friends noticed the new activity and reported it to authorities, Fox reports. Story continues The young woman’s family filed a missing persons report on June 20. During a Monday press conference, assistant police chief Tim Doubt told reporters that there was no evidence of foul play, and suggested that Lueck may have opted to “go off the grid.” But on Wednesday night, dozens of officers appeared to search the garage and driveway of the home. Doubt told reporters that more answers could emerge in upcoming days. RELATED: Missing Utah Student Got Into Mystery Vehicle After Lyft Ride — But There’s No Evidence of Foul Play Salt Lake City Police Department On the day before she vanished, Lueck had been in her native California to attend her grandmother’s funeral. According to Doubt, she landed back in Salt Lake City at 1:35 a.m. She texted her mother at 2:01 a.m. At 2:42 a.m., she caught a Lyft to Hatch Park. There she met the person in the vehicle. RELATED: University of Utah Student, 23, Disappears Shortly After Taking Lyft Ride from Airport The Lyft driver told police that Lueck did not appear to be in distress. After dropping Lueck off, the Lyft driver went on to pick up other passengers. He has cooperated with police, Doubt says. Anyone with information about the 5’ 6”, 120 lb. Lueck is encouraged to call (801) 799-3000.
What To Expect From The Trump-Xi Meeting U.S. PresidentDonald Trumpand his Chinese counterpart Xi Jinping will meet face to face Saturday at the G-20 summit in Osaka, Japan. The Main Event Heading into the G-20 summit, U.S. and Chinese negotiators failed to finalize a trade deal that would potentially put an end or pause to recent tariffs. The two leaders will meet Saturday morning to talk about multiple issues, although trade will be the main focus. One of the more likely outcomes would be the two leaders agreed to a temporary pause in escalating the ongoing trade war,CNBC reported. Trump made it clear the complete opposite outcome is on the table as new tariffs on $300 billion of new goods would be levied on China if he doesn't like what Xi has to say. Speaking to reporters on Friday, Trump said his meeting with Xi will be "productive at a minimum" and "we'll see what comes out of it." Morgan Stanley CEO: Trade War Could Be 'Devasting' The U.S. and China represent tens of trillions of dollars of GDP so any trade war would be "devastating" to the global economy, CNBC quoted Morgan Stanley chairman and CEO James Gorman as saying. The world simply "can't have a trade war." This doesn't imply changes to existing trade agreements can't be made, Gorman said. This is something "negotiators are figuring out." Related Links: Here's Who Trump Will Be Meeting With At G-20 Trump Has A 'Plan B' If Trade Talks With China Fail See more from Benzinga • Trump Has A 'Plan B' If Trade Talks With China Fail • Trump Talks China, Mexico And Big Tech In CNBC Interview • Powell's Comments Contributing To The Market's Rally © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Athletes Are Also Entrepreneurs: 3 Tax Lessons from the Women's World Cup One thing that is as uniquely American as income taxes, apple pie and reality TV is our country’s love of sports. Right now, our women's soccer team is battling it out (and so far winning -- go U.S.A.!) in the FIFA Women’s World Cup while the world watches. (See today'sU.S. match against Franceat 3 p.m. EST.) Related:Even World Cup Winners Are Not Immune to the Gender Pay Gap This has gotten me thinking about athletes and the fact that they are, essentially, entrepreneurs who face the same challenges the rest of us face, and have a lot in common with independent spirited businesswomen and men on many fronts. After 30 years in the tax business, I can’t help but see the things that our women’s team needs to keep in mind from a tax perspective as they make a run for the cup. Consider the following scenarios: Today, the U.S. women’s team is set to go up against France and hopefully win; and those wins bring bonuses.Thatbrings up the question ofinternational taxation. What income is taxable only in the United States, and what is taxed to other countries as well? Plus, throughout the year, the women’s team plays in different states across the United States. For example, the U.S. Women’s National Team (USWNT) did a tour of the States after it won the World Cup in 2015. Accordingly, each of the players had to file a tax return for the money she was paid in each state. So if a team member played in North Carolina, California, Washington and Alabama, and lived in Ohio, she would pay taxes in North Carolina, California and Alabama -- since Washington is a no-tax state. She would also include the income from all four states on her Ohio return and claim a tax credit for the taxes paid to North Carolina, California and Alabama. But that's not all she'd have to remember if she earned income indifferent statesor countries: Working in various states • You must file a nonresident return and pay taxes on the income you earned in all states where you don’t have a permanent residence. • You must file a resident return and include all of your income for the year -- then claim a credit for taxes paid to each nonresident state. • If you live in a no income tax state such as Florida, you will pay taxes only to the states you don’t live in on just the income earned in that state. Related:The Real Winner of the Women's World Cup: Nike Working abroad • The money you earn in a foreign country is taxable in the country where earnedandin the United States unless there is a tax treaty covering professional sports income. • You can claim a credit for taxes paid to the foreign country to help offset the taxes on your U.S. return. Like you, soccer players have business expenses. They have agents, and like you, home offices, technology expenses and travel costs. Under thenew tax law, there have been a lot of changes to tax deductions. Specifically, there are no longer miscellaneous itemized deductions, which used to allow a lot of tax benefits. Previously, most professional athletes who were employees, like the players on the USWNT, received large deductions for agent's fees, union dues, club fees, temporary housing and training expenses, to name just a few. Here are a few moredeductions that were lostfrom 2017’s tax reform: • You can no longer deduct home office or entertainment expenses if you are an employee. • Temporary lodging and meals while traveling, either in the United States or abroad, are not deductible. • Transportation costs, like traveling from place to place in France for matches, are not deductible. Before 2018, athletes could deductallstate and local taxes (SALT), including withholding, estimates and extension payments, along with real estate and personal property taxes, as an itemized deduction. For big income earners or even large property owners, that was a huge deduction. Today, thoseSALT deductions are cappedat $10,000. Players who live in states with a high tax rate, likeCalifornia or New York,or have expensive homes, or more than one residence, will be the most affected. For example, Alex Morgan, who is in the running for the Golden Foot award in the World Cup, has a net worth of $3 million and is married to another successful soccer player,Servando Carrasco. The world-famous couple lives in Southern California and will definitely feel the pain come tax time. Here are some other game plays for SALT: • The SALT limit is not based on where you live or are a resident; it is based on how much tax (state income, property tax, sales tax) you pay. • Foreign income taxes paid are not affected by the SALT limit -- this means you can claim a credit, or an itemized deduction, beyond the SALT limits • If you pay $8,000 income tax plus $5,000 in real estate taxes, the most you can claim as an itemized deduction is $10,000. There is no place to make up the lost deduction of $3,000 -- it is not a charitable contribution or a negative income amount on the “Other Income” line on Form 1040, Schedule 1. • Beware those scams that promise to allow state tax deduction for “donations” and other ways. The IRS has been clear that those deductions will not fly. Related:The 3 New Tax Law Deductions You Probably Missed This Tax Season Sports heroes can seem larger than life, but they are subject to the same tax laws as the rest of us. Like us, they rely on smart advisors to make the most of their income. Hopefully, the USWNT will go all the way and win the FIFA World Cup; and if they do, they need to remember to get a good tax pro. Go, U.S.A.!
Sophie Turner Already Looks Like a Stunning Bride at a Pre-Wedding Party Photo credit: BACKGRID From Harper's BAZAAR Sophie Turner, who is expected to have a second wedding ceremony to Joe Jonas this weekend, was spotted in a stunning white dress, giving fans a hint of what she'll wear to the nuptials. She and Jonas were seen holding hands in the south of France on their way to a pre-wedding party. Turner hasn't revealed details about her actual wedding dress, but she did wear a jumpsuit for her legal ceremony back in May. Sophie Turner just gave us a taste of her bridal style with a chic, figure-fitting white dress in the south of France today. The Game of Thrones star was made a stunning cameo with husband Joe Jonas as they arrived to a pre-wedding celebration (perhaps a rehearsal dinner). The 23-year-old actress proved the power of simplicity, keeping her ensemble free of big jewelry or accessories. She went for silver sandals and kept her hair in taut low bun with a middle part for an all-around effortless look à la Carolyn Bessette Kennedy . Photo credit: BACKGRID If Turner's sleeveless number is a hint at her actual wedding gown, we could expect to see something streamlined, elegant, class, yet steamy; but then again, Turner is a style chameleon who can pull almost anything off. The same goes for the groom. Jonas looked fly in a pinstripes and white shoes for the pre-wedding celebration, and he can rock an printed suit . Will he say "I do" in a fun, patterned look? Turner and Jonas already tied the knot in Las Vegas in May for legal purposes before jetting to France for a bigger second ceremony. At the time, the GoT star kept her bridal wardrobe low-key with a Bevza jumpsuit and Loeffler Randall mules. Photo credit: . ('You Might Also Like',) The Essential British Packing List 30 Facial Moisturizers for Every Budget We Cut Bangs on 16 Different Women With The Help of Celebrity Stylist Justine Marjan
Home Health Care: Finding the Right Help for Seniors When it comes to home-care workers--the aides who provide in-home personal assistance and health care support to seniors--Brenda Case has seen it all. Case, age 55, a real estate agent in Grand Junction, Colo., was for several years a full-time caregiver for her mother, who had severe rheumatoid arthritis. And in that time, a constantly rotating cast of home care workers came in and out of the home that Case shared with her mother. SEE ALSO: 7 Things Medicare Doesn't Cover There was a nurse who was wonderful. There was a bath aide who never came to work at all. And there was an occupational therapist who insisted that Case's mother should practice job skills such as moving coins from one bucket to another--even though the patient had no intention of returning to work. "My 70-year-old mother didn't need to go out and get a job--she needed to lift her arms to the microwave and get a cup of tea," Case says. "But that was never part of the regime." Turnover was high, Case says, and she sometimes switched agencies in order to retain the aides she liked--or avoid the ones she didn't. In the three years leading up to her mother's death in 2015, she says, she worked with seven different home care agencies. Seniors and their families are struggling to find in-home help as an aging population, combined with the low pay, physical demands and irregular hours of home care jobs, have led to a severe shortage of home care workers. Between 2016 and 2026, home care work is projected to be the fastest-growing occupation, with more than 1 million new jobs expected, according to PHI, a research and consulting organization focused on the direct-care workforce. Yet home care agencies are already having trouble hiring and retaining enough workers to meet the demand. "The impact on families is enormous," says Robert Espinoza, vice president of policy at PHI. Even if they surmount the initial challenge of finding a worker who can meet their specific needs, consumers face low odds of hanging on to that worker for any length of time, Espinoza says, because turnover in the industry tends to hover around 60%. All too often, family members have to cut back their work hours or quit their jobs completely to fill in the gaps. Case, for example, saw her income drop to about $10,000 annually, from $120,000 previously, as she stepped back from work to care for her mother. To navigate the home-care-worker shortage, you'll need to be clear and specific about your needs, use multiple resources to identify qualified candidates and adroitly manage communications with workers. Here are four steps to help you find and retain the right in-home help. Story continues Pin down your caregiving requirements. Before you start your search, "it's so important to take a step back and think about what you really need," says Leah Eskenazi, operations director at the Family Caregiver Alliance. If your mother would feel most comfortable with a female, Spanish-speaking caregiver who has a driver's license and experience in dealing with dementia patients, for example, it's best to be clear about that at the outset. For seniors who primarily need companionship and basic help around the house, a personal care worker--who may have minimal training--may be the right fit. If you need a worker who can perform some clinical tasks such as wound care, however, look for a home health aide who has more training. Training requirements can vary from state to state, but home health aides working for agencies that accept Medicare must have at least 75 hours of training. Weigh an agency versus direct hire. A home health agency can offer some key advantages. If the worker gets sick, an agency will send over a replacement, whereas if you hire someone directly you're on your own. If you need a variety of skills--perhaps a worker with nursing skills for a short period but a personal care aide thereafter--an agency will make it easier to coordinate that. An agency will also check the worker's background, verify his or her training and handle the employment paperwork--taking some administrative tasks off your hands. You'll need to work with a Medicare-certified home health agency if you want Medicare to cover your care. To qualify for that coverage, you must need skilled services such as nursing or physical therapy and be "homebound," meaning leaving home is difficult or not recommended because of your condition. For consumers paying out of pocket, however, the higher cost of an agency may be a deal-breaker. If you go through an agency, you may pay $20 to $40 an hour, depending on where you live, whereas if you hire someone directly you'll negotiate the wage, which in many cases is about $10 to $15 an hour, Espinoza says. Start your search engine. To find home health agencies, contact your Area Agency on Aging or use Medicare's Home Health Compare . Caregiver support groups and local chapters of organizations focused on specific conditions, such as the Alzheimer's Association and American Cancer Society , may offer referrals to home health agencies. Consumers hiring workers directly often rely on recommendations from friends and co-workers--but technology can make the search process a bit more sophisticated. Care.com and CareLinx , for example, connect consumers with home care workers in their areas. And in 19 states, "matching service registries" match consumers with home care workers based on needs and availability. Some registries require workers to have a background check and a certain level of training, while others have no such requirements. You can find details and links to the registries at phinational.org . No matter how you find your in-home help, check candidates' background and references, "preferably from past employment situations or people who have been under the individual's care," says William Dombi, president of the National Association for Home Care and Hospice. For tips on checking an aide's background, see the Family Caregiver Alliance's fact sheet . Monitor the situation. When you've found the right caregiver, check in frequently to make sure the relationship is working for both parties. Lynette Whiteman, executive director of Caregiver Volunteers of Central Jersey, has engaged multiple in-home workers for her mother, who has Alzheimer's. She had to let go of one aide who was caring for her mother overnight, after her mother said the worker had slapped her. Another aide repeatedly asked her mother for money, saying she needed cash for car repairs or to buy a new watch. "If we were not on top of this, I don't know how much money would have gone out the door," Whiteman says. SEE ALSO: 6 Secrets of Super Agers to Keep Brains Sharp Technology can help far-flung family members check in on their loved ones--and ease the burden on caregivers, Eskenazi says. "Smart home" technology, including smart speakers, can provide medication reminders and reassure families that a senior is getting proper care. Or you can go the low-tech route: "Have a neighbor or friend stop in unannounced," Whiteman says. "Make sure someone is checking in on the situation, if you can't be there." EDITOR'S PICKS 6 Secrets of Super Agers to Keep Brains Sharp 7 Things Medicare Doesn\'t Cover What\'s Your Retirement Housing Strategy? Copyright 2019 The Kiplinger Washington Editors View comments
Zacks.com featured highlights include: BioDelivery, Ciena, United States and Molina For Immediate Release Chicago, IL – June 28, 2019 - Stocks in this week’s article areBioDelivery Sciences International Inc.BDSI,Ciena Corp.CIEN, United States Cellular Corp.USM andMolina Healthcare, Inc.MOH. Focus on 4 Liquid Picks on the Top Rung for Robust Returns Liquidity is an important yardstick that indicates a company’s capability to meet debt obligations by converting its assets into cash. Liquid stocks have always been in demand owing to potential for providing maximum returns. However, one should be careful before investing in such stocks. While a high-liquidity level might mean that the company is fulfilling its obligations at a faster rate compared with others in its domain, it may also suggest that the company is failing to use its assets with efficiency. Hence, one may consider the efficiency level of a company in addition to its liquidity to identify potential winners as this combination is indicative of underlying financial strength. For the rest of this Screen of the Week article please visit Zacks.com at:https://www.zacks.com/stock/news/434918/focus-on-4-liquid-picks-on-the-top-rung-for-robust-returns Disclosure: Officers, directors and/or employees of Zacks Investment Research may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. An affiliated investment advisory firm may own or have sold short securities and/or hold long and/or short positions in options that are mentioned in this material. About Screen of the Week Zacks.com created the first and best screening system on the web earning the distinction as the "#1 site for screening stocks" by Money Magazine. But powerful screening tools is just the start. That is why Zacks created the Screen of the Week to highlight profitable stock picking strategies that investors can actively use. Strong Stocks that Should Be in the News Many are little publicized and fly under the Wall Street radar. They're virtually unknown to the general public. Yet today's 220 Zacks Rank #1 "Strong Buys" were generated by the stock-picking system that has more than doubled the market from 1988 through 2016. Its average gain has been a stellar +25% per year. See these high-potential stocks free >>. Follow us on Twitter: https://twitter.com/zacksresearch Join us on Facebook: https://www.facebook.com/ZacksInvestmentResearch Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates. Contact: Jim Giaquinto Company: Zacks.com Phone: 312-265-9268 Email: pr@zacks.com Visit: www.Zacks.com Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer. Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportCiena Corporation (CIEN) : Free Stock Analysis ReportBioDelivery Sciences International, Inc. (BDSI) : Free Stock Analysis ReportMolina Healthcare, Inc (MOH) : Free Stock Analysis ReportUnited States Cellular Corporation (USM) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research
Melania Trump is noticeably absent from G-20 summit photos Leaders from around the world have gathered in Osaka, Japan for the annual G-20 summit. But in a group photo of the leaders and their spouses, first lady Melania Trump is noticeably missing. The photo, which was taken at Osaka Castle on Friday, features everyone from Canadian Prime Minister Justin Trudeau and his wife Sophie Trudeau to South Korean President Moon Jae-in and first lady Kim Jung-sook. Now people are wondering where exactly President Donald Trump ’s wife is, seeing that she wasn’t able to attend. The absence of @flotus stands out as spouses join for dinner at Osaka castle. pic.twitter.com/w8CcouiN8g — Jennifer Jacobs (@JenniferJJacobs) June 28, 2019 she didnt go on the trip? or was she at the spa? — Jeff Lewis (@ChicagoPhotoSho) June 28, 2019 Is Melania at the G20 with Trump? Or stayed home due to his latest sex scandal. Asking for a friend. @FLOTUS @realDonaldTrump #G20Summit — Product of the ‘60’s (@LynnLiberal) June 27, 2019 FLOTUS also missed out on a spouse’s trip to Kyoto's Tofukuji temple, which incited more people to question her whereabouts. One person even suggested that maybe she was behind the camera taking the photo. Spouses of the #G20 leaders visited Kyoto's Tofukuji temple and fed koi carps as their partners joined the summit in the neighboring city of Osaka. The spouses arrived at the temple by rickshaws. Melania Trump not among them pic.twitter.com/MSddD31KpK — Sputnik Insight (@Sputnik_Insight) June 28, 2019 G20 Spouses. That’s Philip May in the corner, to be replaced next month by whoever Boris Johnson is dating. pic.twitter.com/WRI65VNDBc — ian bremmer (@ianbremmer) June 28, 2019 Where’s Melania? — Empress of the Multiverse (@being_nontheist) June 28, 2019 Is Melania taking the picture? — Virgil Caine (@Phillip82_2) June 28, 2019 and Melania nowhere...perhaps afraid were she to leave the US, she wouldn't be allowed back in?? — Patricia Shay (@MercedHome4U) June 28, 2019 Others raised concerns about the photo, which highlights the fact that a majority of the world leaders are men. Story continues Sad pic really. It means the opposite sex is in the big room making the decisions... — Nick Litsardopoulos (@Nlitsardopoulos) June 28, 2019 Still, some quickly pointed out that the United States had some female representation since Ivanka Trump went on the trip alongside her husband, Jared Kushner . Still, many people have questions about Ivanka’s role there. Today, we leave for Osaka, Japan for the 14th meeting of the G20. I am looking forward to joining the U.S. delegation for this important meeting on international economic cooperation. 🇺🇸 🇯🇵 #G20 — Ivanka Trump (@IvankaTrump) June 26, 2019 Today, @IvankaTrump believes she has better things to do, like leaving for Osaka, Japan for the G20. And @FLOTUS , well, she simply doesn't care. — Diane Jensen (@YrGrannySnoBrds) June 26, 2019 We’re really not sending our best, are we? — Devin Nunes' Alt-Mom (@NunesAlt) June 26, 2019 Remind me: who elected you to what exactly? — Benjamin Byron Davis (@Tooda) June 26, 2019 What is your job? — Eugenio Arpayoglou (@eugenio_ea2000) June 26, 2019 Read more from Yahoo Lifestyle: Melania Trump announces Stephanie Grisham as new White House press secretary: 'There goes her credibility' 'Morning Joe' Mika Brzezinski slams Ivanka, Melania Trump over conditions of migrant children's detention centers: 'This is not being best' Melania Trump channels Ivanka in polka dot dress at Congressional Picnic Follow us on Instagram , Facebook , and Twitter for nonstop inspiration delivered fresh to your feed, every day.
India's current account gap narrows in fiscal fourth quarter on improved trade balance By Swati Bhat MUMBAI (Reuters) - India's current account deficit narrowed to just 0.7 percent of gross domestic product in the fourth quarter of the fiscal year ended March 31, from 1.8 percent in the year-earlier period as the nation's merchandise trade deficit contracted and its services surplus rose. The Reserve Bank of India said on Friday that the current account deficit was $4.6 billion, against $13.0 billion in the quarter ended March 31, 2018. The trade deficit is offset by private transfer receipts, mainly remittances back home by Indians employed overseas. They fell by 0.9 percent to $17.9 billion from a year earlier. The central bank also said that foreign portfolio investment increased to a net inflow of $9.4 billion in the fiscal fourth quarter from just $2.3 billion in the year-earlier quarter. The fiscal fourth quarter numbers were helped by dollar inflows into the country on expectations of Prime Minister Narendra Modi winning a second term at the general elections, as he did in a landslide at the April-May polls. For all of the fiscal year ended March 31, the current account deficit widened to $57.2 billion, or 2.1 percent of GDP, against $48.7 billion, or 1.8 percent in 2017-18. Some economists expect a further slight deterioration this financial year. Yes Bank's Shubhada Rao sees it at 2.2 percent on the back of expectations of a wider trade deficit. Recent signs of weakness in consumption, continued uncertainty over the global trade picture, and concerns about the impact of late monsoon rains on the rural economy may keep foreign portfolio investors cautious. Separate and more recent data also issued on Friday showed India's trade deficit widened to $15.36 billion in May versus $14.6 billion in May 2018. The rupee has firmed by 1 percent so far this year, recovering some of its lost ground from last year. Yes Bank's Rao said that easy availability of liquidity because of dovish stances by major central banks together with India's attractiveness under a strong and stable government able to push growth-focused reforms "is expected to accelerate the dollar inflows into the economy." (Reporting by Swati Bhat; Editing by Martin Howell and Toby Chopra)
AP FACT CHECK: Dems on migrant kids, the rich and climate WASHINGTON (AP) A fired-up field of Democrats stumbled on some facts at the most visceral turns in their debate Thursday as they took on and sometimes sparred over race, the treatment of migrant children, the climate and the super-rich. Here's a review of the rhetoric in the second night of the opening round of 2020 campaign debates, as 10 more candidates took their turn on the stage in Miami: THE RICH BERNIE SANDERS: "Eighty-three percent of your tax benefits go to the top 1 percent." THE FACTS: That statistic is not close to true now. The Vermont senator is referring to 2027, not the present day. He didn't include that critical context in his statement. His figures come from an analysis by the Tax Policy Center . That analysis found that in 2027 the top 1% of earners would get 83% of the savings from the tax overhaul signed into law by President Donald Trump. Why is that? Simple: Most of the tax cuts for individuals are set to expire after 2025, so the benefits for everyone else simply go away. The 2017 tax overhaul does disproportionately favor the wealthy and corporations, but just 20.5% of the benefits went to the top 1% last year. ___ RACE KAMALA HARRIS, senator from California: "Vice President Biden, do you agree today that you were wrong to oppose busing in America, then?" JOE BIDEN: "I did not oppose busing in America. What I opposed is busing ordered by the Department of Education. That's what I opposed." THE FACTS: That's hairsplitting. The former vice president is claiming that he only opposed the U.S. Education Department's push for busing to desegregate schools because he didn't want federal mandates forced on local school boards. But in the early and mid-1970s, those were the fault lines in almost every U.S. community, from New Orleans to Boston, where there was stiff opposition to busing. If you were a politician opposing federally enforced busing, you were enabling any local school board or city government that was fighting against it. Story continues As a senator in the late 1970s, Biden supported several measures, including one signed by President Jimmy Carter, that restricted the federal government's role in forced busing. ___ CLIMATE BIDEN, on President Barack Obama's record: "He is the first man to bring together the entire world 196 nations to commit to deal with climate change." THE FACTS: Not really. Biden is minimizing a major climate deal from 22 years ago, a decade before Obama became president. In 1997, nations across the world met in Japan and hammered out the Kyoto Protocol to limit climate change in a treaty that involved more than 190 countries at different points in time. And that treaty itself stemmed from the 1992 United Nations Framework Convention on Climate Change. Biden is referring to an agreement that came out of a 2015 meeting in Paris that was the 21st climate change convention meeting. However, the Kyoto Protocol only required specific greenhouse gas emission cuts of developed nations, fewer than half the countries in the world. The Paris agreement, where several world leaders pushed hard, including France's president, has every country agreeing to do something. But each country proposed its own goals. ___ MIGRANT CHILDREN BIDEN, on Trump's treatment of migrant children at the border: "The idea that he's in court with his Justice Department saying, children in cages do not need a bed, do not need a blanket, do not need a toothbrush that is outrageous." HARRIS: "I will release children from cages." JOHN HICKENLOOPER, former Colorado governor: "If you would have ever told me any time in my life that this country would sanction federal agents to take children from the arms of their parents, put them in cages, actually put them up for adoption in Colorado we call that kidnapping I would have told you it was unbelievable." THE FACTS: They are tapping into a misleading and common insinuation by Democrats about Trump placing "children in cages." The cages are actually chain-link fences and the Obama-Biden administration used them, too. Children and adults are held behind them, inside holding Border Patrol facilities, under the Trump administration as well. Obama's administration detained large numbers of unaccompanied children inside chain link fences in 2014. Images that circulated online of children in cages during the height of Trump's family separations controversy were actually from 2014 when Obama was in office. Children are placed in such areas by age and sex for safety reasons and are supposed to be held for no longer than 72 hours by the Border Patrol. But as the number of migrants continues to grow under the Trump administration, the system is clogged at every end, so Health and Human Services, which manages the care of children in custody, can't come get the children in time. Officials say they are increasingly holding children for 5 days or longer. Health and Human Services facilities are better equipped to manage the care of children, but, facing budget concerns, officials cut activities like soccer, and English classes and legal aid for children in their care. As for Hickenlooper's claim about the government forcing those children into unwanted adoption, that is not federal policy. ___ HEALTH CARE SANDERS: Under Medicare for All, "the vast majority of the people in this country will be paying significantly less for health care than they are now." THE FACTS: Probably true, but that's only part of the equation for a family. Sanders' plan for a government-run health care system to replace private insurance calls for no premiums, and no copays and deductibles. But taxes would have to go up significantly as the government takes on trillions of dollars in health care costs now covered by employers and individuals. Independent studies estimate the government would be spending an additional $28 trillion to $36 trillion over 10 years, although Medicare for All supporters say that's overstating it. ___ Associated Press writers Hope Yen, Stephen Braun, Josh Boak, Ricardo Alonso-Zaldivar and Amanda Seitz contributed to this report. ___ Find AP Fact Check http://apne.ws/2kbx8bd Follow @APFactCheck on Twitter: https://twitter.com/APFactCheck
Vedanta says order on Zambia liquidator lifted pending July 4 hearing JOHANNESBURG (Reuters) - Vedanta said on Friday a Zambian court had withdrawn an order staying the powers of a provisional liquidator at its Konkola Copper Mines (KCM) unit pending another court hearing on July 4. "As part of the decision handed down today the stay on the exercise of the powers of the Provisional Liquidator has been lifted pending the inter parties hearing on July 4," Vedanta said in a statement. Vedanta has been locked in a dispute over KCM with the Zambian government since last month. It appealed on Friday to the Zambian government to discuss KCM face to face. (Reporting by Alexander Winning; editing by David Evans)
Get this Cuisinart ice cream maker on sale for 56% off at Amazon TL;DR: Grab your newest summer essential this Cuisinart ice cream maker for 56% off at Amazon. Nothing says summer quite like ice cream. Whether you call them sprinkles or jimmies, prefer vanilla or rum raisin (really?), I think we can all agree that ice cream is the perfect way to cool down on a hot day. Now you dont have to chase after a truck to satisfy your sweet tooth invest in a quality ice cream maker and have it any time you want. This Cuisinart electric ice cream maker is actually on sale for more than 50% off, giving you absolutely no excuse. SEE ALSO: Ben & Jerry's wants to hop on the CBD bandwagon With an LCD screen, multiple speeds, and a capacity of two quarts, this isn't your grandma's ice cream churn. Just in time for your Fourth of July barbecue, save $140 on this summer essential . Originally priced at $250, you can grab it today for $109. It's not limited to ice cream though, with this machine you can also make frozen yogurt, gelato, and sorbet. And with a recipe book included with your purchase, youll be making Instagram worthy creations in no time. Then break up with the ice cream truck man. Get this Cuisinart ice cream maker on sale for 56% off at Amazon Cuisinart ice cream maker $109 See Details
Grab the gray Nintendo Switch Joy-Con controllers for $12 off TL;DR:The grayNintendo Switch Joy-Con controllersmatch any case and are on sale for $66.99 at Walmart, saving you $12.01. The ability to play the Switch on the go with portable joy-cons is sweet, but those things are about as easy to lose asAirPods. If you're in need of a replacement pair, Walmart has the gray set (obviously the best-looking ones) on sale for $66.99. That's only $12.01 off the original price, but we'll take any discount we can find onSwitch accessories. Most everyone who has a Switch has the biggerPro controllers, but the convenience of the OG Joy-Cons is still so important. With the ability to play in handheld mode or detach them to play with a friend, you're guaranteed to never be bored.Read more... More aboutLegend Of Zelda,Mario,Nintendo Switch,Mashable Shopping, andShopping Solo
Brazil's GPA taps Microsoft to test 'Amazon Go'-like technologies By Gabriela Mello SAO PAULO, June 28 (Reuters) - Brazilian food retailer GPA SA plans to open its first store to test technologies such as facial recognition and "scan & go" shopping by year-end, following in the footsteps of parent company Casino, which opened a checkout-free store in Paris last November. The Sao Paulo-based store, which will use technology from Microsoft Corp, makes GPA the latest supermarket chain to experiment with formats similar to Amazon.com Inc's Amazon Go checkout-free convenience stores the Web-based retailer has rolled out in the United States. The GPA store will also follow a partnership struck in March by rival Carrefour Brasil to set up a fully automated 24-hour convenience store with local startup Zaitt. Britain's J Sainsbury Plc and Tesco Plc have also said they were experimenting with technologies allowing shoppers to skip the checkout line by scanning products from the shelves and paying with a smartphone app. "People already use their mobile phone when shopping in our stores to activate promotions in the apps or skip the lines ... Now we want to develop more robust solutions that can be rolled-out to other stores," GPA's director for digital transformation, Antonio Salvador, said in an interview. Conversations with Microsoft started three months ago and the tie-up aims to accelerate GPA's push into e-commerce. The store, to be opened by December, will also have lockers in which shoppers can retrieve goods previously scanned from the shelves, according to Salvador. Both companies declined to say how much the cashier-less store under the "Minuto Pão de Açúcar" brand will cost to open, but added it is the only one expected under the agreement. GPA has more than 1,000 stores across Brazil, including its fast-growing wholesale banner Assaí, which has been a major contributor to the company's strong sales performance in recent yeas. GPA shares have gained more than 17% in the Sao Paulo stock exchange so far in 2019, just a tad below Carrefour Brasil's 20% rise this year. (Reporting by Gabriela Mello in Sao Paulo Editing by Christian Plumb and Matthew Lewis)
A Look At Benzinga Pro's Most-Searched Tickers For June 28, 2019 This most-searched list is a feature included inBenzinga Pro'sNewsfeedtool. It highlights stocks frequently searched by Benzinga Pro users on the platform. 1. Cemtrex, Inc.(NASDAQ:CETX) shares were down 23% to $2.91. The stock rose more than 100% on Thursday after the company’s electronic manufacturing services unit won $6 million in new orders over the last quarter. 2. Atossa Genetics Inc.(NASDAQ:ATOS) shares were down 4.7% to $2.50. The company on Thursday reported its preliminary Phase 2 study achieved its primary endpoint for the topical endoxifen that rapidly reduce breast density. 3. Seelos Therapeutics, Inc.(NASDAQ:SEEL) shares were down 5.6% to $2.19 after the company on Thursday acquired the global exclusive license of a gene therapy program to address Parkinson's disease from Duke University. 4. Dova Pharmaceuticals, Inc.(NASDAQ:DOVA) shares were trading at $13.52. The stock was up 34.5% on Thursday after the company reported FDA approval of its supplemental New Drug Application for DOPTELET for the treatment of chronic immune thrombocytopenia. 5. Nike, Inc.(NYSE:NKE) shares were trading at $83.19. The company on Thursday reported worse-than-expected Q4 EPS results. 6. Rite Aid Corp.(NYSE:RAD) shares were down 7.5% to $7.89. Shares rose more than 25% Thursday after the company announced a partnership withAmazon,which plans to use the pharmaceutical retailer as a pickup store for its Amazon customers. 7. The Howard Hughes Corp.(NYSE:HHC) shares were down 5.8% to $123.54. The stock was up 25% on Thursday after CNBC reported the company hired Centerview Partners to explore alternatives, including a sale. 8. Micron Technology, Inc.(NASDAQ:MU) shares were up 0.89% to $38.38. On Thursday, Wedbush initiated coverage on the stock with a Neutral rating and announced a $30 price target. 9. Boeing Co.(NYSE:BA) shares were up 0.4% to $365.51. This week, the International Air Transport Association called for regulators to coordinate on the 737 MAX return to service by aligning MAX pilot training. FAA certification was also a concern. 10. ATA Inc.(NASDAQ:ATAI) shares were up 11.5% to $2.89 after the company announced the terms of its agreement to acquire ACG, a leading China-based service provider of overseas art education. See more from Benzinga • A Look At Benzinga Pro's Most-Searched Tickers For June 27, 2019 • A Look At Benzinga Pro's Most-Searched Tickers For June 26, 2019 • A Look At Benzinga Pro's Most-Overbought Stocks For June 25, 2019 © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Amid crisis, Haiti fights to save oil used in fine perfumes LES CAYES, Haiti (AP) — High up in the hills of rural Haiti, where some women sit topless on porches and bleating goats break the silence, a group of men gather roots to produce an essential oil used in fine perfumes ranging from Chanel to Guerlain. Then they load heavy bales of the beige, stringy roots culled from the vetiver plant on each other's backs as clouds of dirt envelop their bodies and a deep musty smell fills the air. In the poorest country of the Western Hemisphere, this is ground zero for a multimillion-dollar industry responsible for more than half the world's vetiver oil. "It's our biggest income right now," said Hilaire James, a Haitian agronomist with Catholic Relief Services. "I call it legal cocaine." Vetiver oil — which is also used for cosmetics, soaps and aromatherapy — is the one bright spot in a flailing agricultural industry in Haiti beset by widespread erosion, lack of funding and extreme weather conditions including droughts and floods. But the country's deepening economic crisis is now threatening a sector that generates an estimated $12 million a year and employs anywhere from 15,000 to 60,000 farmers, the majority of whom are based in the southwest region where good soil, mild temperatures and ocean winds allow fields to flourish. While it takes at least a year for vetiver roots to reach their ideal length to produce a top golden-brown oil, a number of farmers are unable to wait a full year to get paid. As a result, they are increasingly harvesting plants too early in the season, possibly affecting the oil's quality, said Hervil Cherubin, director of Heifer International charity in Haiti. "This is the hardest part," he said. "If we can't keep the quality of the product, the whole industry will collapse." Haiti produces more than 70 tons of vetiver oil a year, surpassing Indonesia, China, India, Brazil and the neighboring Dominican Republic. It is one of the country's top exports, with up to 10,000 hectares (24,700 acres) harvested annually. But more than 60% of the crop still comes from individual producers, many of whom are struggling financially, according to Gabriel Gelin, a spokesman for the United Nations Environment Program in Haiti. Story continues "Desperate producers, in order to seek out additional income, cannot wait for an annual cultivation and end up extracting the roots earlier," he said in a statement. The majority of vetiver farmers make less than $2 a day, with 90% overall saying the crop is their sole income, according to a 2018 study commissioned by Heifer International and New York-based International Flavors & Fragrance, Inc. Many of those farmers have been hit hard by Haiti's record inflation and face steep increases in the price of food, utilities and transportation. Among them is Richard Lelion, a 59-year-old who has been working in vetiver fields in the mountains that surround the coastal city of Les Cayes since the age of 10. He has seven children, including three sons who used to help him but have since migrated to the South American country of Chile in search of a better life. For now, they are able to send him enough money so he can keep buying roots and planting them. "Everything is expensive," Lelion said, adding that there are no other jobs in the area. "Death is the only thing that will separate us from vetiver." On a recent weekday, a rooster crowed as women carried buckets of water on their heads and workers hunched over hundreds of thousands of grass-like vetiver plants. The plant is in the same family as corn and sugarcane, and it grows up to 5 feet (1.5 meters) tall, with the roots pushing as far as 13 feet (4 meters) deep in the denuded brown hills. Some workers hacked the growth with a machete while others pulled up roots that were then beaten with a wooden club to clear the dirt. Before the oil can be bought by top perfumers, roots must also be distilled to their essence in a process that takes more than 24 hours. Thomas Absolue, 64, leaned against a bale of roots as he ate rice from a small, recycled plastic tub. He used to harvest sugarcane in the Dominican Republic before returning to Haiti in 1982, lured by the essential oil. "Vetiver gave me everything I have: house, school for kids, food for my family," he said. "As long as I'm alive, I'll work in vetiver fields. It's what saves us." But increasingly early harvests are also leading to erosion, yet another problem threatening the industry. While the vetiver plant is known for helping prevent soil from wearing away, culling it too soon worsens the issue, especially if entire plots are pulled up at one time, which happens often. That's partly because the soil around the plant is dug up to 16 inches (40 centimeters) deep and is even more vulnerable after the harvest if it's on a steep slope or starts raining, according to the U.N. Vetiver also thrives in harsh conditions and does not tolerate shade or plants of other varieties, meaning additional crops cannot be introduced to maintain the soil between rows. "The difficulty in fixing this issue is a mix of technical, social and economic reasons," Gelin said. The more often farmers ignore the recommendation of cultivating during the dry season that runs from December to August, however, the more likely they are to further erode the land — and their own future, he added. Some have formed cooperatives in recent months to educate farmers about best practices, but Cherubin and others say more must be done if Haiti wants to save its vetiver oil industry. "It's a competitive market," he said. "If we mess it up, we all lose."
Zacks Value Trader Highlights: China Distance Education, Baidu, YY, Ctrip.com and Alibaba For Immediate Release Chicago, IL – June 28, 2019 – Zacks Value Trader is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. To listen to the podcast, click here: (https://www.zacks.com/stock/news/435118/chinese-stocks-value-stocks-or-traps) Chinese Stocks: Value or Value Trap? Welcome to Episode #147 of the Value Investor Podcast. Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks. The Chinese stocks have mostly pulled back in the last few months on the trade tensions. Are they cheap enough for value investors to take a look? Could there be any deals among the BATS stocks? BATS is China’s equivalent of FANG. Or do these stocks have attractive valuations but are really value traps? Definition of a Value Trap Value trap stocks look like value stocks with low P/Es and other low fundamentals like P/B and P/S ratios. They may even have all the classic low valuations. But just because they are cheap doesn’t mean they aren’t a trap. Value stocks can be a trap if a company’s earnings growth is on the decline. Sometimes stocks are cheap for a reason and it can be because the company is struggling to grow earnings. Are Chinese Stocks Values or Traps? 1.China Distance EducationDL is one of the truly cheap Chinese stocks as it has a forward P/E of 8.7. This is a small cap stock with a market cap of just $176 million, however. Year-to-date, shares have sunk 19.5%. It’s clearly a value, but is it a trap? 2.BaiduBIDU shares are down 27% in 2019 and have been underperforming the last 2 years. It has a low price-to-book ratio of just 1.5. But with the online advertising industry getting hit due to macro conditions in China, is that hitting Baidu’s earnings too? 3.YYYY is another cheap Chinese stock with a forward P/E of 10.2 and a PEG ratio of 0.7. It has that rare feature of both growth and value. And while shares have rebounded in 2019, they are still down 36% over the last year. Is it on track to grow earnings this year? 4.Ctrip.comCTRP has a price-to-book ratio of just 1.4, putting it in value territory but year-to-date the shares have soared 36%. How is the travel industry holding up in China? 5.AlibabaBABA shares are up 23% in 2019 but are down nearly 12% over the last year. Are they cheap enough for a value investor to consider? It trades with a forward P/E of 25. And how are those earnings looking? Are any of the big, popular glamour Chinese stocks actually true value stocks right now? Find out on this week’s podcast. Looking for Stocks with Skyrocketing Upside? Zacks has just released a Special Report on the booming investment opportunities of legal marijuana. Ignited by new referendums and legislation, this industry is expected to blast from an already robust $6.7 billion to $20.2 billion in 2021. Early investors stand to make a killing, but you have to be ready to act and know just where to look. See the pot trades we're targeting>> Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com/performance Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportAlibaba Group Holding Limited (BABA) : Free Stock Analysis ReportChina Distance Education Holdings Limited (DL) : Free Stock Analysis ReportYY Inc. (YY) : Free Stock Analysis ReportBaidu, Inc. (BIDU) : Free Stock Analysis ReportCtrip.com International, Ltd. (CTRP) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research
Stock Market News: Jony Ive Leaves Apple; Savings Accounts See Rate Cuts The stock market didn't have any big moves on Friday morning, as investors were content to wait and see what news the weekend's G-20 meeting of global leaders in Osaka might bring. Market participants anticipate progress on the trade front, and optimism throughout the week has set a high bar for the world's most prominent politicians to surpass. As of just before 11:30 a.m. EDT, theDow Jones Industrial Average(DJINDICES: ^DJI)was up 33 points to 26,559. TheS&P 500(SNPINDEX: ^GSPC)gained 7 points to 2,932, and theNasdaq Composite(NASDAQINDEX: ^IXIC)was higher by 17 points to 7,985. In corporate news,Apple(NASDAQ: AAPL)faces the loss of one of the most important designers of the company's modern age, and some worry about what the departure might mean for the iPhone maker and its potential for future innovation. Meanwhile, savers who have had to deal with more than a decade of low rates on bank accounts and other savings vehicles got some bad news, and recent moves fromGoldman Sachs(NYSE: GS)andAlly Financial(NYSE: ALLY)could be just the beginning of a trend that will hurt ordinary Americans once again. Shares of Apple were down almost 1% after a surprise announcement from the mobile device pioneer late Thursday. Jony Ive, Apple's chief design officer, has decided to terminate his employment with the Cupertino-based tech giant later this year. Image source: Apple. Even though Steve Jobs stood squarely in the public spotlight during Apple's periods of success, shareholders shouldn't underestimate theimportant role Ive hadin producing blockbuster products. Ive's influence shows in everything from the earliest iMac desktop computers to the iPod, iPhone, and iPad product lines. The designer also worked on Apple's iOS operating system and even had a hand in designing layouts for Apple Store retail locations and the company's own corporate campus. As often happens in Silicon Valley, Ive is setting out to start his own venture, dubbed LoveFrom. Yet one reason why Apple investors aren't in an outright panic is that Ive intends to keep working with Apple as an outside contractor, potentially pushing projects forward in much the same way he did as an employee. Moreover, Ive put respected successor designers in place in which the tech giant has confidence. In the end, investors will have to wait and see how the relationship between Apple and LoveFrom evolves. For now, though, they seem hopeful that apart from a change in employment status, the relationship between Ive and his soon-to-be former employer will remain fruitful. Meanwhile, shares of many U.S. banks were higher Friday morning, with Goldman Sachs picking up more than 2%. The key news on the financial front came from the Federal Reserve, which said that nearly all of the institutions under its supervision had passed its latest round of stress tests. Shareholders were happy to see their banks looking healthy. Yet for bank customers, the news wasn't as good. Goldman'sMarcus retail banking unitsaid late yesterday that it would cut the interest rate on its high-yield savings account from 2.25% to 2.15%. Ally Financial had made a similar move, cutting rates on a comparable account from 2.2% to 2.1%. Even though the Fed hasn't yet officially cut rates, the bond market has already priced in likely reductions within the next few months. Goldman, Ally, and other companies usedonline savings accountsas a way to attract assets and were willing to pay premium interest rates to woo customers, but today's move shows that there's a limit to their benevolence. Before the Fed started to raise rates a couple years ago, savings account rates well below 1% were commonplace. Unfortunately, if the central bank takes aggressive action, savings rates could head significantly lower in the next several months. More From The Motley Fool • 10 Best Stocks to Buy Today • The $16,728 Social Security Bonus You Cannot Afford to Miss • 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) • What Is an ETF? • 5 Recession-Proof Stocks • How to Beat the Market Dan Caplingerowns shares of Apple. The Motley Fool owns shares of and recommends Apple. The Motley Fool has the following options: short January 2020 $155 calls on Apple and long January 2020 $150 calls on Apple. The Motley Fool has adisclosure policy.
Carter: Investigation would show Trump lost 2016 election Former President Jimmy Carter said Friday morning that Donald Trump is an illegitimate president due to Russian interference in the 2016 election. Carter, 94, was speaking at a Carter Center event on human rights in Leesburg, Va., when he was asked how he would deal with Russian meddling in the last presidential election. “The president himself should condemn it, admit that it happened, which I think 16 intelligence agencies have already agreed to say,” said Carter. “And there’s no doubt that the Russians did interfere in the election, and I think the interference although not yet quantified, if fully investigated would show that Trump didn’t actually win the election in 2016. He lost the election, and he was put into office because the Russians interfered on his behalf.” Moderator Jon Meacham then asked if Carter thought Trump was an illegitimate president. Carter paused before replying as the audience laughed. Former President Jimmy Carter (Photo: Paul Hennessy/NurPhoto via Getty Images) “Based on what I just said, which I can’t retract,” said Carter smiling, “I would say yes.” At the G-20 summit in Osaka, Japan, on Friday, Trump joked with Russian President Vladimir Putin , wagging his finger and saying, “Don’t meddle in the election, please,” to which Putin smirked. Although a number of U.S. intelligence agencies and special counsel Robert Mueller found that Russia had systemically interfered in the 2016 election, Putin called it “ mythical interference ” earlier this week. Though there has been no evidence that Russia interfered with vote tallies, it did reach out to the Trump campaign , hack Democratic email accounts and flood social media . The number of U.S. intelligence organizations that stated Russia interfered with the 2016 election include the CIA, FBI, Justice Department, Department of Homeland Security, Office of the Director of National Intelligence and both the House and Senate Intelligence Committees. Trump himself nevertheless repeatedly cast doubt on that conclusion. “They said they think it’s Russia,” Trump said in July 2018 . “I have President Putin, he just said it’s not Russia. I will say this: I don’t see any reason why it would be.” Story continues When pressed the following day, Trump attempted to clarify , saying, “I accept our intelligence community’s conclusion that Russia’s meddling in the 2016 election took place. It could be other people also. There’s a lot of people out there.” _____ Read more from Yahoo News: Former top U.S. diplomat deplores policy toward Iran 'untethered to any coherent strategy' Pentagon secretly struck back against Iranian cyberspies targeting U.S. ships Trump admits his Cabinet had 'some clinkers' For Dems, there's no chickening out at Clyburn's fish fry Chore wars: Are men doing enough housework? PHOTOS: Moon rock samples sealed since Apollo missions
'Tetris Royale' brings massive battles to phones worldwide Just a few weeks after its35th birthday,Tetrisis getting a new look. ATetrisbattle royale game is coming to mobile. N3TWORK and The Tetris Company Inc.announcedthat they've partnered to developTetrisgames built for mobile devices worldwide -- excluding China. The debut title,Tetris Royale,will include the hallmark 100-player battle mode. Players will compete for top spots on the leaderboards every season. It sounds pretty similar toTetris 99for Switch, but it could reach more players, as you won't need a dedicated console. The classic mode will include daily challenges in which players can earn rewards, like customization options and power-ups. The game will offer massive daily competitions with thousands of players, as well as solo Marathon mode, where you can spend hours preparing for battle. Tetris Royaleis currently in development for iPhone, iPad and Android, and beta testing should begin sometime this year. We may have to wait until 2020 until it's officially released, but the companies sayTetris Royaleis just the beginning.
General Electric, FedEx, Asbury, Vale and Ferrari highlighted as Zacks Bull and Bear of the Day For Immediate Release Chicago, IL – June 28, 2019 – Zacks Equity Research General Electric GE as the Bull of the Day, FedEx FDX as the Bear of the Day. In addition, Zacks Equity Research provides analysis on Asbury Automotive Group Inc. ABG, Vale S.A. VLEEY and Ferrari N.V. RACE. Here is a synopsis of all five stocks: Bull of the Day: General Electric, a once industrial behemoth turned sour, is making a comeback with new CEO Larry Culp at the helm. GE lost roughly 75% of its market value from the first day of 2017 to the last in 2018. So far in 2019, the stock has surged over 27% and analysts are becoming increasingly optimistic about the stock. Sell-side analysts have been raising estimates for GE over the past 60 days propelling this stock into a Zacks Rank #1 (Strong Buy). Systemic Issues GE has been experiencing systemic issues in their business since the financial crisis with GE Capital being the key catalyst. GE capital created an enormous amount of liability for the firm during the financial crisis, with its leveraged business model. GE stock fell over 75% in 2008 to the level we see today, though it quickly recovered. The firm started rolling off its GE Capital balance sheet in 2015 to focus on core industrial competencies, which they should have done five years earlier. This delay has weighed heavy on the firm’s financials and stock, as investors see GE Capital as a substantial liability. GE has been restructuring its business over the past few years and this has brought to light a lot of fundamental issues within the firm. General Electric made a few poorly timed acquisitions that have afflicted the stock over the past few years. GE wrote down over $22 billion in goodwill impairment in 2018 primarily due to its overpriced acquisition of the French energy company, Alstom, which was made in 2015. Alstom boosted GE’s revenue but significantly pulled down margins because of a lack of profitability. This was a result of poor management decisions. GE acquired a majority stake in the gas & oil company, Baker Hughes, in 2017. Unfortunately, the two firms were unable to find the proper synergies with each other and this has further shrunk margin for GE. Over the past year, GE has been slowly selling down its stake in Baker Hughes. All of these issues I mentioned above have been priced into the stock and more, exemplified in the massive price decline. I believe that the worst of GE’s pain is behind us and that if management is able to make sound strategic decisions moving forward, their reign as industrial champs is not over. The Comeback Story GE’s comeback story hinges on Larry Culp’s ability to turn operations around. Culp has not been slacking since he took the helm in October of 2018. Already he has engaged in over 10 deals. The most significant deal being with Culp’s previous firm, Danaher. GE made a deal to sell off its highly volatile BioPharma business to Danaher for over $21 billion. Culp is leaning up operations within GE so that it can focus on its core competencies. Not all of GE’s segments have been weighing on its profitability. Their aviation group, which focuses on manufacturing plane engines, has been this firms “knight in shining armor”, growing GE’s top and bottom line for years and now makes up 60% of the firms operational profits. This segment is expected to continue being the principal growth driver for the firm, with 12% year-over-year top-line growth just this past quarter. GE’s Healthcare division is the only other division in GE’s portfolio that is showing positive growth over the past 3 years. This segment was initially intended to be spun-off in the restructuring and they even filed for an IPO at the end of 2018. Larry Culp is now rethinking this decision to get rid of a profitable division. The least profitable segment under GE’s operations is power, which has seen substantial declines in revenue and earnings. I believe a lot of this decline is due to Alstom’s burden, which has now been written down. The Environmental Protection Agency just modified the Obama-era Affordable Clean Energy bill in an attempt to revive the coal-power industry. This new bill will allow older power plants to operate as they did before the Obama administration’s bill. This should boost profits from GE’s power segment that has a significant stake in coal-powered plants. Take Away The issues with GE have been more than priced into its stock and I believe with Larry Culp’s guidance, this firm can come out of the furnace blazing upward. The firm has the connections to maintain the proper level of investment to keep growth on the table. GE’s restructuring is not over, which could cause more stock price volatility in the short term but I am confident that after this restructuring is through this once industrial powerhouse will shine once again. Bear of the Day: FedEx has lost more than 30% of its value over past 52-weeks with international headwinds being the key catalyst for this decline. FedEx just released an earnings beat earlier this week but management’s guidance for its largest segment, FedEx Express, was softer than expected. Analysts have significantly reduced EPS estimates for 2020 and 2021, pushing FDX to a Zacks Rank #5 (Strong Sell). TNT Acquisition & FedEx Express The TNT Express acquisition in 2016 for $4.4 billion was meant to expand FedEx’s international presence to rival top competitor, UPS, who has already established global distribution. FedEx Express, which includes TNT, is now able to service 220 countries making up 99% of the world GDP. Weaker than expected international growth over the past year or so, along with some systemic cost concerns, have been dragging FedEx down with TNT. FedEx Express isn’t producing the same top-line growth that it anticipated with soft European and Chinese output. This segment saw a 7% year-over-year decline in operating income as revenues and margins are pinched. FedEx Express makes up over 50% of the firm’s top-line but its low profitability is shrinking the business’s overall margins. In FDX’s earnings release earlier this week, management voiced their uncertainty about this segment’s future performance, lowering their 2020 guidance, and pointing to global economic slowdown and trade disputes as the cause for concern. Amazon Effect & Broader E-Commerce FedEx announced earlier this month that it would not be renewing its US air delivery contract with Amazon and emphasized how little they rely on them for their top-line, quoting that Amazon only makes up about 1.3% of revenues and are not concerned about Amazon’s in-house delivery. For a company that is stressing the importance of growing their e-commerce exposure, this is a very precarious move, with Amazon controlling almost 50% of the US e-com market. FedEx continues to lose e-commerce market share to UPS. UPS deals with more than 20% of Amazon’s volume and makes up more than 50% of the US e-com market. FedEx needs to rethink its e-com strategy if it is going to make it a “focal point” of its business model moving forward. Other Risk Factors FedEx runs the largest fleet of cargo aircrafts in the world. It is extremely capital intensive to keep these planes in the air, not to mention the volatile jet fuel costs that are associated with it. FedEx’s fuel exposure poses some risks for the firm as fuel prices rise. The capital needed to maintain this excessive air fleet might not be available if the economy were to turn south, which is on all investor’s radars with the looming trade disputes and weak global growth figures. Take Away I wouldn’t be putting a short position on FedEx quite yet, but I would limit my exposure. FDX is being traded at very low multiples but for a good reason. The uncertainty in FedEx’s largest segment is cause for concern and could weigh heavily on the business’s future earnings. With slowing international business output, a decrease in FedEx Express’s volume is inevitable. Their net margins are shrinking fast, currently sitting below 1% and it will not take much for that to tilt negative. 3 Auto Industry Stocks to Buy Right Now The auto industry has bounced back well in June after many stocks fell in May due to tariff and trade war fears. With that being said, here are a few stocks that may outperform their peers and continue to add to their recent gains. All these auto industry stocks currently hold a Zacks Rank #2 (Buy) or better. Asbury Automotive Group Inc. Zacks Rank #2 (Buy) Atlanta-based Asbury Automotive Group is a Fortune 500 company that owns and operates over 90 automobile retailers across 10 states. Asbury currently boasts an overall “A” VGM (Value, Growth, and Momentum) grade in our Style Score system, along with its Zacks Rank #2 (Buy). Asbury’s PEG ratio of 0.64 is significantly below the industry average, which is currently 1.49. Over the past 5 years, ABG has traded with a PEG significantly closer to industry average than its current value. Asbury over the past 5 years had a median PEG of 0.78, compared to the industry median of 0.96. Over the past 8 months, the gap between ABG’s PEG and that of the industry has widened significantly. These numbers suggest that ABG is currently somewhat undervalued and is part of the reason it earns an “A” for Value. Additionally, Asbury is expected to have some solid growth. Zacks Consensus Estimates call for revenue growth of 3.85% in fiscal 2019, which will fuel 7% earnings growth. Looking further ahead, fiscal 2020 is projected to bring further revenue and earnings growth, 0.83% and 2.20%, respectively, on top of their fiscal 2019 numbers. This projected growth would bring 2020 EPS to $9.19 compared to just $8.41 in 2018. YTD, ABG is up 24.3%, significantly outperforming the S&P 500. Valeo S.A. Zacks Rank #1 (Strong Buy) Valeo is a French-based company that supplies products to automakers and the aftermarket. Valeo’s stock has had a very poor past 12 months, falling 40.6%. With that being said, the stock has gained 25% since the start of June and the company’s projected growth could help to continue this bounce back. Zacks Consensus Estimates call for fiscal 2019 earnings to fall 6%, while revenue are set to grow 6%. But, fiscal 2020 looks much better, with earnings expected to surge 30.94%, along with 5.68% revenue growth on top of their respective fiscal 2019 figures. In terms of P/E, VLEEY is currently trading at an 8% discount to its industry average. Ferrari N.V. Zacks Rank #2 (Buy) Headquartered in Maranello, Italy, Ferrari is a luxury sports car manufacturer. Ferrari’s stock has performed extremely well YTD, with a 60.7% gain. RACE has significantly outperformed its industry’s 21.5% average and done even better when compared to the S&P 500, which has gained 14.9% YTD. Ferrari is expected to have strong growth over the next two years. Our Zacks Consensus Estimates call for fiscal 2019 revenue growth of 4.94%, which is set to help boost bottom line growth by an estimated 2.49%. On top of these numbers, fiscal 2020 is expected to see earnings growth of 9.47%, on the back of 7.84% revenue expansion. Based on these estimates, fiscal 2020 EPS is expected to be $4.51 per share, $0.49, or 12%, higher than 2018’s EPS. Ferrari stock has been on a tear of late and the expected growth could help drive RACE stock higher. Breakout Biotech Stocks with Triple-Digit Profit Potential The biotech sector is projected to surge beyond $775 billion by 2024 as scientists develop treatments for thousands of diseases. They’re also finding ways to edit the human genome to literally erase our vulnerability to these diseases. Zacks has just released Century of Biology: 7 Biotech Stocks to Buy Right Now to help investors profit from 7 stocks poised for outperformance. Our recent biotech recommendations have produced gains of+98%,+119%and+164%in as little as 1 month. The stocks in this report could perform even better. See these 7 breakthrough stocks now>> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@zacks.com https://www.zacks.com Zacks.com provides investment resources and informs you of these resources, which you may choose to use in making your own investment decisions. Zacks is providing information on this resource to you subject to the Zacks "Terms and Conditions of Service" disclaimer. www.zacks.com/disclaimer. Past performance is no guarantee of future results. Inherent in any investment is the potential for loss.This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed in this press release. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free reportAsbury Automotive Group, Inc. (ABG) : Free Stock Analysis ReportValeo S.A. (VLEEY) : Free Stock Analysis ReportFerrari N.V. (RACE) : Free Stock Analysis ReportGeneral Electric Company (GE) : Free Stock Analysis ReportFedEx Corporation (FDX) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research
Finding Efficiency, Income in Mid-Caps This article was originally published onETFTrends.com. Mid-cap stocks are often seen as the overlooked segment of the equity market. With that, the group’s dividend capabilities are also overlooked by some investors. TheWisdomTree U.S. MidCap Dividend Fund (DON)is one of the exchange traded funds that can change investors’ views of dividends and mid-caps for the better. DON tracks the WisdomTree U.S. MidCap Dividend Index. That benchmark is “dividend weighted annually to reflect the proportionate share of the aggregate cash dividends each component company is projected to pay in the coming year, based on the most recently declared dividend per share,”according to WisdomTree. While some market observers believe there are inefficiencies associated with smaller stocks, including mid-caps, DON's methodology can help quell some of those inefficiencies. “If prices reflect all available information, then riskier stocks must be discounted to compensate investors for taking that risk. The first quintile of stocks sorted by book-to-price (B/P)—the most inexpensive, riskiest stocks—underperformed the fifth quintile by 183 bps,”according to WisdomTree research. Depend on DON ETF Mid-cap companies are slightly more diversified than their small-cap peers, which allows many mid-sized companies to generate more consistent revenue and cash flow, along with providing more stable stock prices. Additionally, they are not so big that their size would slow down growth. Long-term data also support the notion that active mid-cap managers have a hard time consistently beating their benchmarks. DON “weights mid-cap dividend payers by their regular annual cash dividends, which always tethers weights back to a fundamental metric and away from price,” said WisdomTree. “DON added excess return relative to its market cap-weighted S&P MidCap 400 Index benchmark without adding excess risk—as measured by its lower standard deviation, smaller maximum drawdown, down capture of 79% and beta of 0.86.” Over a long-term horizon, though, mid-caps have outshined the competition. Since 1996, the S&P MidCap 400 generated an average annual return of 10.4%, compared to 7.3% for the S&P 500 and 9.7% for the SmallCap 600. “As of this writing, DON is currently trading at 15.2 times forward earnings, which is an 11% discount to the S&P MidCap 400 Index,” according to WisdomTree. “Before 2019, the last time investors saw valuations this inexpensive for DON was in the mini economic slowdown of 2011–2012. Since the end of 2012, the fund has returned just over 12% annualized, about 100 bps higher than the S&P MidCap 400 Index.” For more information on alternative index-based strategies, visitETFtrends.com. POPULAR ARTICLES AND RESOURCES FROM ETFTRENDS.COM • SPY ETF Quote • VOO ETF Quote • QQQ ETF Quote • VTI ETF Quote • JNUG ETF Quote • Top 34 Gold ETFs • Top 34 Oil ETFs • Top 57 Financials ETFs • As Bitcoin Surges Past $13K, Calls to Embrace Crypto Grow • GLDM Marks One Year Anniversary Today, Leads Gold-Backed ETF Flows • ROBO Global Healthcare Technology ETF Debuts on NYSE • Gold And Silver Rally On Unusual Options Activity • Save On Starbucks And Invest It In Starbucks READ MORE AT ETFTRENDS.COM >
A question of pride: Should LGBTQ cops march in uniform? Sacramento Police Officer Jeff Kuhlmann, left, marches with his boyfriend, Los Angeles Police Officer David Ayala, in the 2015 San Francisco gay pride parade. (Photo: Max Whittaker/Getty Images) When Jay Brome was a California Highway Patrol officer, he never marched in uniform at an LGBTQ pride parade. It wasn’t allowed. He would never be able to because, after 20 years on the job, he was forced to leave. From 1996 to 2016, Brome said, he faced discrimination and harassment for being a gay officer on the highway patrol. “My whole career I was told, ‘You're a problem,’” Brome told Yahoo News. “‘You're not a team player. You're not being harassed. It's a personality conflict.’ It's hard for 20 years to be told you don't matter. And it's not like I was dressed in drag or had a rainbow sticker on my car, which is nothing wrong with that, but when you're in such a hostile environment, you suppress who you are.” The alleged harassment started in the six-month live-in academy in West Sacramento, where an instructing officer tried to ridicule Brome in front of his class. “He told me I needed to take off my skirt and start acting like a man. And honestly, I don't know where that came from. Once [my classmates] saw that an officer in uniform could go after me, then I was free game.” Brome said he “tried to just ignore it like I've done most of my life,” but he instantly recalled a traumatizing moment of harassment in the academy: a gun-takeaway training session with another cadet whose unloaded weapon he had to wrestle away. Jay Brome at his graduation from the California Highway Patrol officer academy. (Photo: Courtesy of Jay Brome) “He's right next to me, holds the gun right at my head and says, ‘I know you're gay. Tell me you're gay and I’ll pull the trigger.’” Brome froze, a response he is still bothered by over 20 years later. That former classmate, Brome pointed out, has been promoted to sergeant. “Every officer that harassed me has been promoted,” he said. In his two decades in uniform, he knew of only two other openly gay men on the force. As Pride Month culminates in marches and demonstrations around the country, Brome’s experience points to how LGBTQ cops in uniform still have a divided identity: as members of a minority that has historically been oppressed and harassed by police, and as law enforcement officers proud of their service. At one of the biggest marches, in New York City, a vocal activist group is demanding that officers, LGBTQ or otherwise, not march in uniform or armed, to show solidarity with generations of LGBTQ people who were traumatized by police in years past. Story continues After he graduated from the acaedmy, Brome felt lucky to receive his first choice in placement, San Francisco, where he had grown up and expected a friendlier environment within the force. But it turned out to be horrible, he said. “It was so antigay because I think officers had to prove, ‘Oh, we're in San Francisco, but we're not gay.’ It was a weird dynamic.” Brome filed complaints through memos, emails and direct approaches to his superiors. The harassment he faced included being called names and having his locker defaced and his award plaques and car carved up. But worse, he said, “I wouldn't get backup, which wears on you when you're at scenes and you call for backup and people don't show up, because then it's your life. The message was perfectly clear, to shut up and do your job.” He transferred to different offices around the Bay Area, hoping his experience would change, but he said it didn’t get better. Jay Brome with former Vice President Al Gore. (Photo: Courtesy of Jay Brome) “It got to the point where I was on antidepressants, I was in counseling and I became suicidal,” he said. “I would drive around in my patrol car and I would just get these sudden urges to pull out my gun and shoot myself. And so my doctor said, no, you got to get out of this environment.” Brome, who said he naively became an officer because he thought it would be an honorable career and also provide financial stability given that he grew up on public assistance, took a stress leave in 2015 and officially retired in 2016, the year he filed a civil lawsuit against the California Highway Patrol and eight officers for harassment and discrimination. His case is currently on appeal after it was thrown out by a Solano County judge because the statute of limitations on reporting the incidents had run out. “I had to leave about 10 years early,” he said. “So I lost 10 years of retirement, 10 years of pay, 10 years of overtime.” Brome said he understands why some members of the LGBTQ community don’t want cops marching in pride parades around the country. “I think it's a valid argument,” he said. “It covers a lot of things. It covers Black Lives Matter [and] all the trans people who are being killed. “But as a gay officer,” he added, “I also see the need for departments to represent our communities.” His advice was for police to “march as an LGBTQ contingent.” “The fact that they’re police officers should be secondary,” Brome said, encouraging LGBTQ officers to participate in pride festivities to help change the perception of law enforcement as “all white-male-dominated, egocentric, racist, sexist, homophobic departments.” The Stonewall Inn in New York City. (Photo: Jerry Engel/New York Post Archives /(c) NYP Holdings, Inc. via Getty Images) The relationship between the LGBTQ community and police has long been frayed. Since the 1969 Stonewall riots, which were born from police raids and abuse in New York City's gay-friendly spaces, LGBTQ communities have resisted police. The gay liberation movement organized the first “gay pride” march a year after the uprising, in resistance against oppression by police. Earlier in June, which is recognized as Pride Month around the country and nationally by a presidential proclamation, New York City Police Commissioner James O’Neill issued an apology , admitting that officers’ actions during Stonewall “were wrong — plain and simple. ” “I vow to the LGBTQ community that this would never happen in the NYPD in 2019,” said O’Neill. The apology came just in time for the 50th anniversary of Stonewall and the celebration of World Pride in New York City, where millions of people are expected to gather Sunday. For some activist groups, however, the apology came 50 years too late and is undermined by police officers marching armed and in uniform in pride parades. “It's very easy for the police commissioner to apologize for something that happened 50 years ago, when they weren't there or a part of the police force, but [he] cannot apologize for what's still happening today when trans people are still being killed and trans people are still sexually assaulted quite regularly by police officers,” said Francesca Barjon, an organizer with Reclaim Pride Coalition. “I've had people tell me that they get stopped by police and are harassed, insulted and misgendered. So to act like the NYPD are a safe LGBTQIA+ space is ridiculous.” The Reclaim Pride Coalition formed after a contingent of resistance groups like ACT UP New York, Rise and Resist, and Democratic Socialists of America marched in the 2017 New York City pride parade, advocating against corporate sponsorship and police presence. Before they were set to march in the 2018 parade, they delivered a list of concerns and demands to Heritage of Pride, the organization that has run the NYC pride march for 35 years, as well as to the police commissioner and the mayor's office, calling for them to prioritize community groups, Natalie James, a co-founder of Reclaim Pride, told Yahoo News. A police officer applauds during the New York City pride parade in 2016. (Photo: Mel Evans/AP) The group took offense that “Heritage of Pride did not act as an advocate for the community against the NYPD, but instead saw themselves as partners with the NYPD.” “We felt that it was inappropriate that the contingent called the Gay Officers Action League [GOAL], representing the NYPD, was being honored with a place towards the front of the parade, being allowed to march in full uniforms, being armed and so forth,” said James. “First of all, given the history of where this event came from, which was an uprising against police oppression and barbarism, but also the ongoing brutality against especially the most vulnerable members of our community such as people of color, especially transgender women of color, we felt it was very inappropriate to honor the NYPD in an event like this.” Heritage of Pride responded in a statement, saying it has “worked hard to forge a strong working relationship with the NYPD, a relationship that enables one of the world’s largest LGBTQIA+ events to be as successful as it is.” “Aside from the free speech nature of the March,” the organization added, “it is also important to note that GOAL had to sue in federal court to secure their right to wear their uniforms, and receive all the honors bestowed on other Department fraternal organizations that participate in parades and marches. That is a touchpoint in the movement, and Heritage of Pride holds that in a place of respect.” Pride organizers acknowledged that debates around the issue of law enforcement groups marching in pride events are not unique to New York City. Four years ago a group of protesters disrupted the Chicago pride parade for 10 minutes, staging a “die-in” to draw attention to police brutality faced by African-Americans in the LGBTQ community. Four black LGBTQ activists, who became known as the “Black Pride 4,” were arrested in Columbus, Ohio, in 2017 after blocking the parade route in protest of violence against queer people of color and trans people. Members of the “radical LGBTQ+” group No Justice No Pride were arrested that same year near Stonewall, where they had broken through barricades in an attempt to stop law enforcement from proceeding through New York City's pride march. As a compromise, Minneapolis required officers to march out of uniform after Twin Cities Pride organizers faced a backlash for trying to restrict police at their annual event. Armed police officers outside the Stonewall Inn in New York City after the Orlando nightclub shooting in 2016. (AP Photo/Mary Altaffer) On-duty officers guard pride events for security, as with most public gatherings in major cities. And since the 2016 mass shooting at the gay nightclub Pulse in Orlando, LGBTQ advocates have called for heightened security at pride events, including more police. But for organizers like No Justice No Peace’s David Thurston, police presence doesn’t make him feel secure, “as a black person with a mental health condition and has almost been killed by cops twice.” “When I see a cop with a gun, I don't feel safer. I feel more at risk,” Thurston told Yahoo News while taking a bus from Washington, D.C. to New York to support Reclaim Pride. “This issue [around police at pride events] exposes a major fissure in thinking in U.S. society. For the majority of white folk, especially middle-class and wealthy white folk, they do feel that cops make them safer because cops respond to them and don't treat them like subhuman beings. But if you are Latinx, black, indigenous, gender-nonconforming, a trans sex worker, cops are a threat.” The 2015 U.S. Transgender Survey found that a large majority of its 28,000 anonymous respondents, nearly nine out of 10, reported being “harassed, attacked, sexually assaulted or mistreated in some other way by police” while doing sex work or while the police assumed they were doing sex work. More than half (57 percent) of survey respondents said they would feel uncomfortable asking the police for help if they needed it. Gay rights activist Jim Fouratt across the street from the Stonewall Inn on June 3. Fouratt witnessed an arrest at the bar on June 27, 1969, that foreshadowed the Stonewall riots. "I see this police car in front of the Stonewall," he said. "Suddenly the door opens and this one police officer comes out ... he's got a very stocky woman dressed as a man." (Photo: Bebeto Matthews/AP) “Oftentimes the people that say that they need police around them to feel safe tend not to be part of a persecuted minority group racially or in terms of immigration status. They tend to be white people,” said James, whose coalition will be hosting its own march, the Queer Liberation March, which will run concurrently with the World Pride march Sunday and retrace the route taken in the first gay pride march, in 1970. “In our march, we want to center marginalized people and we want to elevate the status of marginalized people. Many of them simply would prefer not to be around police officers because they have experienced brutality or they know people who have experienced brutality.” Police will be present at the “ people’s political march ,” but mostly for security, a given, James conceded. “We recognize that there's a reality that the police will be there,” James said, but added that “there are a lot of people that feel less secure with having police there. For instance, undocumented people and people of color who have had trauma with the racism of the NYPD.” For the officers marching in the main pride parade, James, like Brome, advised them to “put your queer identity forward, put your police identity or your work identity to the back, recognize there are people in this community, the LGBTQIA+ community, that have been victimized and even killed by the NYPD. And in consideration and respect to those victims and their families and friends, put your queer identity forward.” But NYPD Detective Brian Downey, who has marched in uniform in New York City, Boston and Philadelphia for the past 10 years, plans to follow through with the tradition on Sunday at World Pride. James O'Neill and Brian Downey at the 2018 New York City pride march. (Photo: Taylor Hill/Getty Images) Downey, who is the current president of New York’s Gay Officers Action League, said he’s grown tired of the debate over cops at pride events, and noted that contrary to media reports about protests, he feels more than welcome, especially in uniform. “The response is overwhelmingly — overwhelmingly — positive,” Downey told Yahoo News. “Because people realize that it takes a tremendous amount of courage to go into an institution and effect change from within. People realize that we're there to support our community, and we bring our struggles inside of these agencies and these institutions, and that's a very powerful, profound thing. “The first time that I ever participated in pride was marching in my uniform as part of GOAL,” continued Downey. “And for me it was the most liberating thing, because I thought that [for those] people who view the police as the protector of their power and their privilege, I felt like I was bucking the system. It was the ultimate slap in the face to the establishment.” About four out of five LGBTQ Americans, including people of color, welcome police participating in pride events, including marching in parades, a recent poll conducted by BuzzFeed News and Whitman Insight Strategies found. Downey considers GOAL a civil and human rights organization within the law enforcement community that not only provides refuge and support for LGBTQ officers who face discrimination from being out or depression from being closeted but also brings about structural change within their agencies and departments. The group, which was founded in 1982 by Charlie Cochrane, the first openly gay NYPD officer, has made breakthroughs in the criminal justice community in terms of visibility, sensitivity training and community relations, Downey pointed out. They just don't “come out and spike the football.” For example, when LGBTQ civilians wanted to hold a vigil for Pulse shooting victims outside the Stonewall in 2016 without a permit, Downey told Gay City News , “I quarterbacked that,” and noted that “the [police] department leaned on GOAL more than any other time in history.” It was a contrast to the 1998 vigil for Matthew Shepard, the victim of a homophobic murder, when vigil-goers were arrested for not having a permit. Downey said he doesn’t discount the experiences of LGBTQ people who’ve had negative experiences with law enforcement, whether as civilians or as members of the force. “The profession is not without sin. Nobody's perfect,” Downey said. “We work to effect change inside of the system ... we walk in when people are at their worst, and unfortunately sometimes we're not at our best, and there's a lot of work to be done. We accept that challenge, and we're working to change the system every single day.” The support for these officers is in sharp contrast to one of their first marches, when a group of officers on patrol and horseback turned their backs on GOAL members as they paraded past them. “We're marching to show the world that we're here and we're not going away, to [show] the people that are in our community that need to see us,” Downey said. “We march to remind the actual agencies that we work for that we're here and we're not going anywhere. You have to deal with us.” _____ Read more from Yahoo News: Former top U.S. diplomat deplores policy toward Iran 'untethered to any coherent strategy' Pentagon secretly struck back against Iranian cyberspies targeting U.S. ships Trump admits his Cabinet had 'some clinkers' For Dems, there's no chickening out at Clyburn's fish fry Chore wars: Are men doing enough housework? PHOTOS: Moon rock samples sealed since Apollo missions
This ETF Hasn't Ended July Lower in a Decade The U.S. stock market is set to wrap up a banner June, with the S&P 500 Index (SPX) fresh offall-time highs. What's more, several sectors could continue to shine in July, if recent history is any guide. In fact, theTechnology Select Sector SPDR Fund (XLK)emerged as one of the best exchange-traded funds (ETFs) to own next month, having ended July higher 100% of the time in the past 10 years. Below are the 20 best ETFs for July, looking at historical returns over the past decade. To make the list -- cultivated by Schaeffer's Senior Quantitative Analyst Rocky White -- the funds had to have at least eight years' worth of returns. As you can see, XLK is the only ETF with a 100% win rate, averaging a very healthy monthly gain of about 4%. Digging deeper, XLK hasn't ended July lower since dropping 2.4% in July 2008. Shares of the fund -- which sportsApple (AAPL)and Microsoft (MSFT) among its top holdings -- notched a record high of $79.70 on May 1, before suffering a steep pullback. However, following a bounce off the 160-day moving average, XLK has erased nearly all of those losses, and is once again within a chip-shot of new highs. In fact, from the ETF's current perch around $77.96, another 4% rally in July would place it above $81 -- in uncharted territory. Of course, the technology fund's short-term trajectory could be determined by what goes down at this week's G-20 summit. President Donald Trump and Chinese President Xi Jinping are set to talk trade, and headlines out of Japan (where the G-20 conference is being held) could certainly move stocks with heavy China exposure, which includes many chipmakers like XLK-heldIntel (INTC). In any event, traders looking to speculate on XLK's short-term trajectory should consider options. The fund's Schaeffer's Volatility Index (SVI) of 19% is in just the 17th percentile of its annual range, indicating near-term options are pricing in relatively modest volatility expectations for the shares. Or, for investors who would rather play individual equities, check out thebest stocksandworst stocks for July.
Mall operator Simon to invest $5 million in Allied Esports (Reuters) - Simon Property Group Inc, the largest mall operator in the United States, will invest $5 million in Allied Esports, the companies said in a statement. Simon Properties' unit Simon Equity Development LLC will make the equity investment through Black Ridge Acquisition Corp - a company formed to takeover Allied and its sister company, World Poker Tour. The investment announcement comes days after Mexican broadcaster TV Azteca agreed to form an alliance with Allied Esports and Black Ridge Acquisition Corp to create a digital channel broadcasting electronic sports. (Reporting by Vibhuti Sharma in Bengaluru and Hilary Russ in New York; Editing by James Emmanuel)
Why Chi-Med Stock Is Tanking Today Shares ofHutchison China Meditech Limited(NASDAQ: HCM), better known as Chi-Med, were down 23.9% as of 11:11 a.m. EDT on Friday. The big drop came after the Hong Kong-based alternative biopharmaceutical company announced the upsizing and pricing of asecondary public stock offeringearlier in the day. Hutchison Healthcare Holdings Limited (HHHL), a subsidiary ofCK Hutchison Holdings Limited, is currently the largest shareholder of Chi-Med. HHHL plans to sell 12 million American depositary shares at a price of $24 per share. Image source: Getty Images. The most important reason why Chi-Med stock is falling today is the price tag of its secondary stock offering. Chi-Med closed at more than $30 per share on Thursday. A stock offering at $24 per share is a sure-fire way to drag the share price down quickly. It makes sense, though, that Chi-Med would have to set the secondary offering price significantly lower than the previous trading levels. Another 12 million shares are about to flood the market. Anytime that volume of shares becomes available in a short period of time, share prices will naturally come down. It's the laws of supply and demand at work. In most secondary stock offerings, the company receives a financial benefit. The stock offering is typically made to raise more cash to fund operations or expansion. That's not the case here, though. HHHL will pocket all of the proceeds from the offering, while Chi-Med won't get a dime. On the other hand, most secondary stock offerings involve issuing new shares. This results in thedilutionin the value of existing shares. However, since HHHL is selling shares that already have been issued, dilution won't be a factor for Chi-Med. After the dust settles from this stock offering, investors can focus on what really matters for Chi-Med: Its core business in developing drugs. And there's at least one positive that could be on the way on this front. Chi-Med recently announced that its experimental drug surufatinib met the primary endpoint of progression-free survival in a late-stage clinical study targeting the treatment of advanced non-pancreatic neuroendocrine tumors. The company plans to meet soon with Chinese regulators about submitting the drug for approval. More From The Motley Fool • 10 Best Stocks to Buy Today • The $16,728 Social Security Bonus You Cannot Afford to Miss • 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) • What Is an ETF? • 5 Recession-Proof Stocks • How to Beat the Market Keith Speightshas no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has adisclosure policy.
Constellation Brands (STZ) Q1 Earnings & Sales Beat Estimates Constellation Brands Inc.STZ has delivered stellar first-quarter fiscal 2020 results, wherein the top and bottom lines surpassed the Zacks Consensus Estimate. With this, the company reported earnings beat in 17 of the last 18 quarters, with the sixth straight positive sales surprise.Q1 HighlightsConstellation Brands reported first-quarter earnings of $2.21 per share, which outpaced the Zacks Consensus Estimate of $2.07. The reported figure includes Canopy Growth CGC equity loss of 20 cents. Excluding the Canopy effect, it posted earnings of $2.40, which grew 9% from the year-ago quarter. Net sales improved 2% to $2,097.2 million and surpassed the Zacks Consensus Estimate of $2,065 million.At the company’s beer business, sales improved 7.4% to $1,477.4 million, driven by a 5.4% rise in shipment volume and 6.6% depletions growth. Solid portfolio depletions and market share gains mainly stemmed from continued strength in the Modelo and Corona brand families. Notably, the company’s beer business was the most significant contributor to the U.S. beer market, courtesy of gains at Modelo Especial, Corona Premier and Corona Refresca.However, sales at the wine and spirits segment declined 7.8% to $619.8 million in the fiscal first quarter. The downside can be attributed to an 8.1% fall in shipment volume and a 0.7% decline in depletions.MarginsAdjusted gross profit grew 5% year over year to $1,091.2 million. Moreover, adjusted gross profit margin expanded 120 basis points (bps) to 52%.Constellation Brands' comparable operating income grew 9% to $697.7 million while comparable operating margin expanded 220 bps to 33.3%. The upside was driven by improved operating margins at both segments.Operating margin at the beer segment increased 150 bps to 39.3% owing to gains from higher pricing and currency, which were partly offset by higher transportation and logistics costs.Moreover, the wine and spirits segment recorded operating margin expansion of 90 bps to 25.9% owing to SG&A leverage and favorable price, somewhat mitigated by adverse mix.Financial PositionConstellation Brands ended the fiscal first quarter with cash and cash equivalents of $98.7 million. As of May 31, 2019, it had $11,745.8 million in long-term debt (excluding current maturities) along with total shareholders’ equity of $12,488.2 million.At quarter-end, Constellation Brands generated operating cash flow of $593.1 million and free cash flow of $437 million. Moreover, the company paid dividends of $143 million in first-quarter fiscal 2020.On Jun 27, 2019, the company announced a quarterly dividend of 75 cents per share for Class A and 68 cents for Class B stock. This dividend is payable Aug 27 to its shareholders of record as of Aug 13.Fiscal 2020 OutlookManagement updated guidance for fiscal 2020. To account for the adjustments related to Canopy Growth deal-related losses and other activities, the company provided earnings per share projections on a GAAP basis and comparable (excluding Canopy) basis.In the reported quarter, Canopy Growth and Acreage Holdings’ shareholders has approved the proposed acquisition of Acreage. This transaction is expected to help Canopy Growth enter the U.S. cannabis market. As a result, Constellation Brands is likely to gain in the second quarter of fiscal 2020.For fiscal 2020, this Zacks Rank #3 (Hold) company now envisions comparable earnings per share (EPS) of $8.65-$8.95, up from prior projection of $8.50-$8.80. In fiscal 2019, the company comparable EPS of $9.28 and $9.34 (excluding Canopy). This guidance includes the impact of wine and spirits divestitures but excludes impacts of Canopy Growth equity earnings and gain or loss on the wine and spirits transaction. On a reported basis, EPS for the fiscal year is anticipated to be $4.95-$5.25 compared with $17.57 reported in fiscal 2019.Constellation Brands continues to anticipate net sales and operating income for the beer segment to increase 7-9% in fiscal 2020.Further, the company expects to close the wine and spirits transaction by the end of second-quarter fiscal 2010. Consequently, net sales for the wine and spirits business are estimated to decline 20-25%, with operating income likely to fall 25-30%.Certain other factors were also taken into consideration in providing the earnings guidance. These include an interest expense expectation of $425-$435 million, including incremental interest of $105 million related to the financing of the 2018 Canopy investment. Further, the company expects tax rate of 17% and weighted average diluted shares outstanding of approximately 195 million.Constellation Brands anticipates capital expenditure for fiscal 2020 to be $800-$900 million, with roughly $600 million estimated to be incurred for the expansion of Mexico beer operations.The company’s free cash flow expectation for fiscal 2020 lies around $1.2-$1.3 billion. Operating cash flow is projected to be $2.1 billion.2 Key Picks in the Same SpaceThe Estee Lauder Companies Inc. EL delivered positive earnings surprise in each of the trailing four quarters, the average being 14.2%. The company carries a Zacks Rank #2 (Buy). You can seethe complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Medifast, Inc. MED delivered average positive earnings surprise of 9.1% in the last four quarters. The company carries a Zacks Rank of 2.Will you retire a millionaire?One out of every six people retires a multimillionaire. Get smart tips you can do today to become one of them in a new Special Report, “7 Things You Can Do Now to Retire a Multimillionaire.”Click to get it free >> Click to get this free reportConstellation Brands Inc (STZ) : Free Stock Analysis ReportThe Estee Lauder Companies Inc. (EL) : Free Stock Analysis ReportMEDIFAST INC (MED) : Free Stock Analysis ReportCanopy Growth Corporation (CGC) : Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment Research
Lori Loughlin and Husband Claim Criminal Charges Are 'Baseless Accusations' Attorneys for Lori Loughlin and Mossimo Giannulli say the couple are "eager to clear their names" against "baseless accusations" in the ongoing college bribery case. According to court documents obtained by The Blast, the law firm of Latham & Watkins is fighting to remain on the case after the government filed a motion saying the firm had a conflict of interest because they represent the University of Southern California in other unrelated cases. The couple wants to keep the firm on the case, because they have represented Mossimo for two decades, want the same law firm to represent them. "Giannulli and Loughlin are innocent of the charges brought against them and eager to clear their names," the documents state. "And they believe their interests will be advanced most effectively by presenting a united front against the Government’s baseless accusations." The firm says they take their "ethical obligations seriously" and believes there is "no material risk of a potential conflict as a result of its joint representation of Giannulli and Loughlin." They argue, "USC is not a party to this case, and its status as an alleged victim does not automatically trigger a conflict of interest requiring Latham’s withdrawal. Latham will avoid any direct adversity with USC by relying on co-counsel to handle any cross-examination of USC witnesses and any restitution proceeding in which USC’s financial interests are directly at stake." The firm says they are still going over the 1.9 million documents the government turned over in discovery. Giannulli has been a client of Latham & Watkins for more than two decades, explaining, "So when Giannulli and his wife, Lori Loughlin, learned that they faced federal criminal charges, they naturally turned to Latham — counsel they knew and trusted — to help them clear their names." Both Loughlin and Giannulli filed declarations saying they are aware of Latham's ties to USC but it does not affect their decision to have the firm represent them in the case. Story continues A judge has yet to rule. Loughlin and Giannulli entered not guilty pleas in April in federal court in Boston. They face one count of conspiracy to commit mail and wire fraud and honest-services mail and wire fraud, as well as one count of conspiracy to commit money laundering. The couple allegedly paid $500,000 in bribes to college admissions consultant William "Rick" Singer to get their daughters — one of whom is YouTube star Olivia Jade ( above ) — admitted to USC as sham recruits for the crew team. Last month, Felicity Huffman , the other high-profile defendant in the case, entered a guilty plea to paying $15,000 to a fake charity that helped her daughter fake her SAT score for college. Huffman previously released a statement announcing her intention to plead guilty , saying, "I am in full acceptance of my guilt, and with deep regret and shame over what I have done, I accept full responsibility for my actions and will accept the consequences that stem from those actions."
Julian Edelman Brings Out Big Stars for Premiere of New Documentary It was a huge night for Super Bowl MVP Julian Edelman as he and many of his closest friends showed up for the premiere of his highly anticipated documentary, "100%: Julian Edelman." The New England Patriots wide receiver filled Gillete Stadium in Foxborough, Massachusetts for the Thursday night viewing of the Showtime documentary. 100%: Julian Edelman follows #11 from his devastating injury and NFL suspension to becoming the Super Bowl MVP. The film features Edelmans innermost circle which surprisingly includes Snoop Dogg . He reflects on meeting Edelman, Danny Amendola , and Chris Hogan at a Super Bowl celebration. Julian brought his mom, Angie, and his beautiful daughter, Lily Rose. Legendary rapper Snoop Dogg showed up to support his good friend taking time to chat and pose to Patriots owner Robert Kraft. Snoop got the privilege of borrowing one of Kraft's 6 Super Bowl ring for a quick moment to pose for a picture with the giant diamond-filled ring. Kraft was wearing all black while while Snoop sported an all grey sweatsuit. Former teammate Rob Gronkoswki was also in attendance to show his love for his former teammate. Rocking a super casual look, the funnyman former tight end sported some shorts and a casual white top while his hot model girlfriend, Camille Kostek wore a blue romper. Long time friend and former teammate Danny Amendola also made the trip from Detroit to show his support. Sporting a killer tan, black pants and a grey t-shirt, the Lions' star was seen cracking jokes on the red carpet. After watching the finished product, Edelman said he hopes people learn that tough times dont last, tough people do. So, what will people be talking about the next day? How the hell did they get this past the NFL? said executive producer and Edelmans business partner Assaf Swissa, adding Thats what theyre going to say. I dont know how the hell any of this was green-lit. If this was rated, it would be NC-17 or whatever is the highest one theyve got. X? Thats what what we have." "This is not a sports documentary. This is a rock-and-roll documentary. It just happens to be about sports. 100%: Julian Edelman premieres Friday night at 9 p.m. on Showtime.
Amazon called out for ‘tax evasion’ at Democratic presidential debate What do President Donald Trump and major Democratic candidates Joe Biden, Elizabeth Warren and Bernie Sanders have in common? Well, they are all outspoken critics of one company — Amazon (AMZN). During Thursday’s Democratic primary debate, Amazon was the only tech giant that was name-dropped by 2020 presidential candidates. Senator Cory Booker and entrepreneur Andrew Yang both called out Amazon’s “tax evasion scheme,” the same issue former U.S. Vice President Joe Biden criticized earlier this month. Senator Elizabeth Warren reiterated her plan to break up Big Tech. Other candidates have voiced their criticism early on in their campaigns. Senator Sanders and Congresswoman Alexandria Ocasio-Cortez have united inslamming Amazon’s treatment of workersand the company’s latest, high interest credit card offering designed to help people “build credit.” As one of the most valuable companies in the world and the second largest private employer in the U.S., Amazon has come under fire as Washington increasingly scrutinizes Big Tech and progressive Democrats try to address income inequality and engage grassroots workers. “Conservatives and liberals have found reasons to criticize the power of this company,” Julian Zelizer, a political historian at Princeton University, spoke of Amazon. ”The main reason it finds itself in this position is its sheer power across numerous sectors of the economy. It is not just a big player in the market, it is one of those companies continually remaking the markets and leaving competitors in the dust.” Being grilled by prominent political figures is nothing new for the e-commerce giant. The president has had a long feud with Amazon: Trump has attacked Amazon on state sales tax issues and USPS delivery subsidies. Amazon CEO Jeff Bezos’s ownership of the Washington Post has also been an added impetus for Trump, who regularly condemns the media. Being under the spotlight and attacked from all fronts reflects the sheer size and impact of the Seattle-based company, according to experts. The business empire from retail to cloud services places Amazon at a special crosspoint between big retailer and powerful tech hub. “They're unique in the attention that they've been receiving from members of Congress, but that is because of the size of the company and the way that Amazon has really changed the American economy and the impact it's had across the board on the way everybody does business,” said Jonathan McCollum, a lobbyist at a Washington-based law firm Davidoff Hutcher & Citron, noting how Washington is very aware of Amazon’s power. Amazon accounts for over one-third of the e-commerce market in the U.S., according to recently revised data from eMarketer. It has changed the way people shop for books and household products, and many believe it will have the power to disrupt other areas of life. In the stock market, an Amazon effect is felt by competitors, whose stock gets hammered when Amazon announces its entry into an industry. With the 2020 presidential election quickly approaching, Amazon becomes an easy target beyond its business impact. With the majority of its 600,000 global workforce working in warehouses and thousands of contractors, Amazon is building out a nationwide logistic system to power its Prime delivery promise. The company’s employment of blue-collar workers differentiates Amazon from other Silicon Valley giants like Google (GOOG,GOOGL) and Facebook (FB), and also opens a new front for politicians to speak up for grassroots employees and appeal to their voter base, according to Joe Trippi, a long-time Democratic political strategist. “There's a wing in the party that clearly believes and insists on taking on income inequality. Bigger examples of that, to them, are people like Bezos and companies making billions of dollars and they're not paying taxes, while the workers are making $15,” Trippi said. “If Bernie becomes the presidential nominee, that would signal that he's succeeded in convincing a lot more people out there that he's right about all this.” Sanders has been outspoken about Amazon’s worker conditions and asked employees to share their experiences working for Amazon with him. He gave out rare raises when Amazonraised the minimum wages of workers to $15 per hourlast November. Politicians trying to connect with workers at Amazon is similar to what they attempted to do with employees at Walmart, the largest private employer in the U.S., whose sales associates have never successfully unionized. Another flashpoint of controversy was Amazon’s year-long high-profile search for HQ2. While the search may have helped Amazon secure a good deal of valuable data about American cities, the tax incentives the company received from selected cities generated major backlash. The pushback was especially dramatic from Ocasio-Cortez and other local politicians in New York City. Amazon eventuallypulled its plans to build HQ2in New York after picking it and Crystal City, Virginia out of more than 20 contenders. “The ultimate outcome whether it's Q2 search and the way that New York kind of fell apart was a tremendous embarrassment to the company that opened the door for more critics of the government,” said Tom Forte, senior research analyst at D.A. Davidson. Among all the concerns posed by politicians, the most serious one, according to analysts, are antitrust investigations that could potentially change Amazon’s entire business. “If any antitrust case were based on influence, Amazon is ripe for one,” analysts at D.A. Davidson wrote in May. Amazon has a large and broad influence — thanks to the scale of its e-commerce space, advertising efforts, and tremendous data — on consumers' buying habits and personal habits. Amazon is not keen about the idea of spinning off its booming Amazon Web Services (AWS) unit. The Federal Trade Commission is looking into Amazon’s business practices, paving the way for a future antitrust investigation. Forte said the big risk for Amazon is on data, which is Amazon’s “secret sauce” in retail. “I think that investors in general are going to have to get to the new normal, which is regulatory scrutiny or regulatory risk, and then also Amazon essentially being a punching bag for political candidates from both parties,” said Forte. Krystal Hu covers technology and China for Yahoo Finance. Follow her onTwitter. Read more: • New bipartisan bills threaten Chinese IPOs and Chinese companies listed in the U.S. • Amazon just got FAA approval to fly drones for deliveries • Huawei is still winning 5G contracts around the world despite the U.S. ban Read the latest financial and business news from Yahoo Finance Follow Yahoo Finance onTwitter,Facebook,Instagram,Flipboard,SmartNews,LinkedIn,YouTube, andreddit.
Joe vs. Everybody: Biden Pile-On Comes Fast During Democratic Debate It didn’t take long before Democratic presidential frontrunner Joe Biden faced the wrath from his challengers during the second night of the debate Thursday in Miami. Of course, there was thatstunning momentBiden had during a heated exchange with California Senator Kamala Harris over Biden’s recent comments on “finding common ground” with Senators James Eastland and Herman Talmadge, whom he called Democratic segregationists. Biden was rattled during the defining five-minute powerful exchange with Harris; he also withstood attacks by Vermont Senator Bernie Sanders and California Congressman Eric Swalwell. While Biden’s debate strategy apparently was to stay above ground, tout his own record, and criticize President Donald Trump—calling him “a liar” and “a phony”—Biden’s fellow debaters had other plans. While Harris said she didn’t believe Biden was a racist, his comments struck a nerve. “It was hurtful to hear you talk about the reputations of two U.S. senators who built their reputations and careers on the segregation of races in this country,” Harris said. She also went after Biden opposing busing in the 1970s, a policy that Eastland and Talmadge were similarly against. “There was a little girl in California who was part of the second class to integrate her public schools, and she was bused to school every day,” she said. “And that little girl was me.” Biden fired back during the tense confrontation. He said that he does not praise racists, and called Harris’ comments “a mischaracterization of my position across the board.” Biden also forcefully defended his work in the Senate and replied that he opposed busing and the federal implementation of that policy by the Department of Education. “If we want to have this campaign litigated on who supports civil rights and whether I did or not, I’m happy to do that,” he said. “I was a public defender, I didn’t become a prosecutor.” While the battle with Harris briefly made her the top trending topic onGooglein the U.S.,Biden also briefly clashed with Sanders. When Sanders wasn’t touting his agenda of Medicare for all, free college tuition, and forgiving student loan debt, he questioned Biden’s vote for the Iraq war nearly two decades ago. “One of the differences that Joe and I have in our record is Joe voted for that war. I helped lead the opposition to that war, which was a total disaster,” Sanders said. “I will do everything I can to prevent a war with Iran which would be far worse than the disastrous war with Iraq.” Even Trump, who is attending the G20 Summit in Japan, couldn’t resist taking a jab at both Biden and Sanders via Twitter. “I heard it was not a good day for Sleepy Joe or Crazy Bernie. One is exhausted, the other is nuts—so what’s the big deal?” Trumptweetedearly Friday. On Thursday, Colorado Senator Michael Bennet also took aim at Biden during the debate, attacking Biden’s claims that he drove hard bargains with Republican leaders, including Senate Majority Leader Mitch McConnell, to preserve some of former President George W. Bush’s tax cuts. “The deal that he talked about, with Mitch McConnell, was a complete victory for the Tea Party,” Bennet said. “That was a great deal for Mitch McConnell. It was a terrible deal for America.” Meanwhile, Swalwell was the first candidate to challenge Biden, urging the 76-year-old six-term senator and two-time vice president to repeatedly to “pass the torch” to the next generation of Democrats, echoing comments Biden said more than three decades ago. “If we’re going to solve the issues of automation, pass the torch. If we are going to solve the issues of climate chaos, pass the torch. If we are going to solve the issues of student loan debt, pass the torch. If we are going to end gun violence for families who are fearful of sending their kids to school, pass the torch,” the 38-year-old Swalwell said. Biden, smiling, snapped back. “I’m still holding onto that torch,” he said. “I want to make it clear to you.” —What the2020 Democratic candidates didn’t sayduring the second debate —Harris has a strong showing, stuns Biden on night 2 of Democratic debate —Democratic debate night 1: what we learned from each candidate —2019Democratic debate night 1: Highlights —2019Democratic debate night 2: Highlights —Fact-checkingclaims from night 1 of the Democratic debate —Fact-checkingclaims from night 2 of the Democratic debate
Hunt overtakes Johnson as the public's preferred Prime Minister Jeremy Hunt has edged in front of Boris Johnson in a public YouGov poll (PA) Tory leadership candidate Jeremy Hunt has overtaken favourite Boris Johnson as the public’s preferred choice to become Prime Minister. The race to replace Theresa May has come down to the final contenders, with Hunt and Johnson taking part in nationwide hustings before the party votes. In a YouGov poll of public opinion, Hunt now leads Boris as the public's preferred successor by 41 percent to 29 percent. Conservative party leadership contender Jeremy Hunt speaking in Exeter during a Tory leadership hustings. However, the vote will be decided by Tory party members alone. Among Conservatives, Johnson is ahead by 48 percent to 39 percent. The survey showed a quarter - 25 percent - of people think Boris Johnson would be a good Prime Minister. Read more: Tory leadership race: Where they stand on Brexit Boris Johnson's team forced to deny he only owns one pair of socks Boris Johnson called the French 'turds' over Brexit But 58 percent said the opposite of Mr Johnson leadership (a net figure of -33, compared to -18 a fortnight ago). Meanwhile, 28 percent believe Hunt would make a good Prime Minister. Britain's leadership contest is taking the two contenders on a month-long nationwide tour (GETTY) And it seems the public are more confident of Mr Johnson’s vision of Brexit, with 22 percent of people thinking Mr Johnson would lead Britain out of the EU, compared to Hunt with 12 percent. Another 43 percent think be bad (a net figure of -14, compared to -24 a fortnight ago). (YOUGOV) Meanwhile, the foreign secretary told a hustings in Exeter he would love Mr Johnson on board as he was an "enormous talent". But Johnson denied making the same off to Hunt if he became the next Prime Minister. Around 160,000 Conservative members will begin voting next week with the new leader named on July 22. Watch the latest videos from Yahoo UK
California Set to Become First-Ever State to Ban Discrimination of Natural Hairstyles California is leading the way for a more inclusive workplace. On Thursday, California’s state assembly unanimously voted to pass the Crown Act, a bill which would prohibit employers from discriminating against people with natural hair textures and hairstyles . The bill will now be passed along to the desk of Gov. Gavin Newsom, who will sign the legislation into law, marking the first-ever ban of natural hair discrimination on the state level. The Crown Act, which was introduced by Sen. Holly Mitchell, will update California’s anti-discrimination laws, making sure the definition of “race” includes “traits historically associated with race,” according to CNN . “Workplace dress code and grooming policies that prohibit natural hair, including afros, braids, twists, and locks, have a disparate impact on Black individuals,” the bill’s text says according to NBC News . Detailing the impact of this discrimination, the bill points out that “these policies are more likely to deter Black applicants and burden or punish Black employees than any other group.” RELATED: Referee Forces Black High School Wrestler to Cut His Dreads or Forfeit Match Sen. Mitchell hopes the bill will also encourage schools and businesses alike to help foster inclusivity and diversity — and put an end to misconceptions about what hairstyles can be considered professional. “There are still far too many cases of black employees and applicants denied employment or promotion — even terminated — because of the way they choose to wear their hair,” she told CNN. “I have heard far too many reports of black children humiliated and sent home from school because their natural hair was deemed unruly or a distraction to others.” RELATED VIDEO: 11 Stars Who Have Rocked Natural Hair on the Red Carpet Although this will be the first statewide fan on natural hair discrimination, New York City adopted similar protections earlier this year. In February, the New York City Commission on Human Rights Law updated its guidelines to protect “the rights of New Yorkers to maintain natural hair or hairstyles that are closely associated with their racial, ethnic, or cultural identities.” “For Black people, this includes the right to maintain natural hair, treated or untreated hairstyles such as locs, cornrows, twists, braids, Bantu knots, fades, Afros, and/or the right to keep hair in an uncut or untrimmed state,” the policy states, pointing out that bans on those types of hairstyles “perpetuate racist stereotypes that Black hairstyles are unprofessional” which “exacerbate anti-Black bias.” Story continues Months after a high school wrestler in New Jersey was told he must cut his dreadlocks in order to compete , the state has also moved to ban such behavior. This month, the New Jersey state legislature introduced a bill which would update the state’s discrimination law to include protection for “traits historically associated with race, including, but not limited to, hair texture, hair type, and protective hairstyles,” according to NJ.com . “This is a movement to protect black citizens from systematic discrimination because of a hairstyle,” State Assemblywoman Angela McKnight told the outlet. “We’re more than that. This is a civil rights issue.” View comments
Skittish Stocks Found New Momentum In June Charles Dickens might appreciate how the markets acted in June. In some ways, it was the best of months on Wall Street. However, things didn’t necessarily look so great if you consider all the caution under the surface. Stocks reversed their May malaise and marched rapidly to new all-time highs by mid-month. The fierce rally, however, lacked a fundamental bullish underpinning. Instead, it likely reflected hopes for rate cuts, which typically mean economic troubles brewing. What some people apparently forgot in June is that rate cuts aren’t necessarily good news. The Fed doesn’t cut rates when things are going well. It cuts them to help trigger growth in a slowing economy. In June, central banks around the world—including the Fed—indicated that they’re ready to provide more easing if needed, and that’s a message. With rate cut odds rising to 100% for the Fed’s July meeting, 10-year Treasury yields collapsed in June to nearly three-year lows back below 2%, something that probably indicates a lot of trepidation about the U.S. and global economy. The 10-year yield was above 3.2% just last fall. It was unusual to see stocks climb and yields slide together, and it might reflect how this whole rally seems to be built not on “animal spirits” that we saw back in 2017 and part of 2018, and more on caution. Many investors appear to hope that weakening economic data—including the soft May jobs report released in early June—could force the Fed’s hand and erase the most recent rate hike, or even two or three of them. Risk Flags Continued to Wave Amid the stock market’s rally, it was a month that saw gold prices climb above $1,400 for the first time since 2013 and market volatility remain elevated. The U.S. dollar, remained relatively solid as some investors continued to play defense. It’s an odd situation, but maybe not as odd as it looks on its face. Yes, stocks rose along with Treasuries in June, but a deeper dive shows that equity strength was focused on a few sectors that traditionally play a “defensive” role. The strongest sectors continued to be ones like Utilities, Health Care, and Staples, though Technology also got a good bid later in the month and Financials started to outdo the broader market. In a strong market environment, it’s often positive to see muscular sectors like Financials and Tech lead the way. That really wasn’t the case over the last month, though Materials are performing well. Instead, investors have continued seeking parts of the market that sometimes can offer less volatility and potential dividends in a low-rate environment. Staples and Utilities also got a bid last fall when the stock market dropped nearly 20%. Fed Remains Pat, But See Uncertainties If you want to get a sense of why investors gravitated toward “risk-off” parts of the spectrum in June, consider what the Fed said on June 19 when it wrapped up its Federal Open Market Committee (FOMC) meeting with no change in rates. Though Fed Chairman Jerome Powell said the outlook remains favorable, he also said uncertainties have increased since the early May meeting. These include the turbulent tariff situation between China and the U.S., slowing business investment, softer overseas economies, and weakness in inflation. He talked about how these various “cross currents” have re-emerged more strongly in the last few weeks and need to be watched carefully. Some FOMC members, he said, are concerned about the inflation shortfall and believe a cut in the Fed Funds rate “would be appropriate” if the economy continues in the scenario they see it most likely going. With the Fed sounding dovish, stocks initially resumed their climb. Things slowed a bit, however, toward the end of June when Powell said in a speech that the Fed is “grappling” with policy decisions, and another Fed official said lowering rates by 50 basis points in July—something many investors had expected judging from the futures market—would be “overdone.” We’re in a situation where at least a 25 basis-point cut is expected by many in July, and that’s currently seems to be fully priced into probabilities. Anything less could lead to a large potential sell off. Arguably, there’s little room for error with stocks trading this high. Though the rate debate occupied center stage most of the month, some of the caution also reflected geopolitical currents that frequently hogged the headlines in June. Tension between the U.S. and Iran helped lift crude prices back toward $60 a barrel by the end of the month despite rising U.S. supplies, and there weren’t any real granular developments around the trade battle with China. Spirits got a lift from news that Presidents Trump and Xi plan to meet at G-20 on the last weekend of June, and from Treasury Secretary Steven Mnuchin telling CNBC late in the month that he sees a “path” for an agreement. However, reaction was somewhat muted in the market. That could be due to the fact that we’ve had so many false positives. Maybe investors are starting to get to the point where they need to see proof. Jobs Report Creates a Bit of a Conundrum The May jobs report, which fell short of expectations, gave investors a reason to pause. Nonfarm payrolls increased 75,000 in May, versus the 180,000 expected, and the unemployment rate remained at 3.6%, a 50-year low. On the one hand, the numbers showed a softer-than-expected jobs scene, which can have a number of negative consequences for the market, such as softer consumer spending. On the other hand, the report could help make a case for a rate cut. Notable economic reports in June also included the U.S. housing starts for May. They beat analysts’ expectations, coming in at 1.269 million. That compared with the consensus of around 1.24 million. One data point isn’t a trend, but this did look like a bit of positive news for the U.S. economy. A Few Corporate Earnings Pave the Way for Next Season The next earnings season is around the corner, but several major companies reported last month. Among them, athletic apparel makerLululemon Athletic inc(NASDAQ:LULU), which had been on a run the past year with shares up 40%, got another boost after it reported earnings June 12 that showed growth across all of its business lines as it beat Street estimates. LULU was up 47% year to date as of June 26. The month’s positive earnings news also included home builderKB Homes(NYSE:KBH), which easily beat Wall Street earnings and revenue estimates, showing that the housing market may be an area of strength in the economy as borrowing conditions, with low interest rates, remain in favor of buyers. KBH was up 7% following its report, with year to date gains of about 30%. Keep in mind that while the housing market seems to be hitting a positive streak, it still faces some struggles, especially given that prices are generally on the rise, which may be pricing some consumers out of the market. New home sales were down 7.8% from April despite the low interest rate environment. Oracle Corporation(NYSE:ORCL) shares also got a lift on its earnings and revenue beats, and shares were up 25% by the month’s end. In less impressive earnings, chipmakerBroadcom Inc(NASDAQ:AVGO) shares took a beating after its earnings report, where revenue fell short of analyst expectations, and cut its revenue guidance for the 2019 fiscal year. In other corporate news in June, the newly announced merger betweenRaytheon Company(NYSE:RTN) andUnited Technologies Inc(NYSE:UTX) is creating the second-largest defense and aerospace contractor afterBoeing Co(NYSE:BA). Several IPOs Find a Hot Streak The market for initial public offerings (IPOS) IPOs seemed to take off in June, proving a popular investment so far this year. Many of the high-profile recent IPOs are up double or even triple digits so far. By the end of the month,Beyond Meat Inc(NASDAQ:BYND), which debuted in May, was trading at nearly six times its IPO price as it prepared to launch its meatless “ground beef” product, which it plans to sell in major grocery store chains like Whole Foods andKroger Co(NYSE:KR). Among the IPOs this year that were in the green near the end of June:Crowdstrike Holdings Inc(NASDAQ:CRWD),Zoom Video Communications Inc(NASDAQ:ZM), andPagerDuty Inc(NYSE:PD). Finally, the debut ofSlack Technologies Inc(NYSE:WORK) June 20, although technically a direct listing and not an IPO, still underscored an appetite for newly public companies. Information fromTDAis not intended to be investment advice or construed as a recommendation or endorsement of any particular investment or investment strategy, and is for illustrative purposes only. Be sure to understand all risks involved with each strategy, including commission costs, before attempting to place any trade. Image Sourced by Pixabay See more from Benzinga • Trump/Xi Meeting Tops The News, But Nike Earnings, Financial Stress Test Also In Focus • July's Market Faces Ongoing Geopolitical Issues On Several Fronts • Trade In Focus Ahead Of G20 As Market Digests Walgreens, Conagra Results; Nike Waiting In The Wings © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
GOP whip Scalise cites Trump accuser's 'bizarre' CNN interview in doubting her account House Minority Whip Steve Scalise questioned author E. Jean Carrolls allegations that she was sexually assaulted by Donald Trump more than 23 years ago, citing what he called her bizarre interview with CNN anchor Anderson Cooper as a reason to doubt her. First of all, the presidents been very emphatic that it didnt happen, Scalise said in an interview for the Yahoo News podcast Skullduggery when asked whether he had any reason not to believe Carrolls claims. He then brought up her CNN interview with Cooper, calling it one of the most bizarre interviews Ive ever seen. Anderson Cooper went to a commercial, because he didnt even want her on the air anymore. Scalise was referring to an interview Carroll did this week with Cooper in which she seemed to dispute that she was a victim. I was not thrown on the ground and ravished, said Carroll, adding that she didnt consider her encounter with Trump as rape because I think most people think of rape as being sexy. After she made the latter comment, Anderson cut to a commercial. But Carrolls allegations appeared to gain new credibility Thursday when the New York Times published interviews with two friends who speaking on the record for the first time confirmed that the advice columnist told them she had been assaulted by Trump at the time it is alleged to have occurred. I remember her being very overwrought, writer Lisa Birnbach, co-author of the 1980 bestseller The Official Preppy Handbook, said in an interview. I remember her repeatedly saying, He pulled down my tights, he pulled down my tights, Birnbach told the Times. When Carroll finished telling her what happened, Birnbach said she told Carroll, I think he raped you. Scalise twice refused to answer questions about whether he was concerned about any of President Trumps conduct detailed in special counsel Robert Muellers report, saying House Democrats in effect were wasting their time considering whether to impeach the president. Mueller, who is due to testify before the House judiciary and intelligence committees on July 17, cited 10 instances of potential obstruction of justice by Trump, including directing White House counsel Don McGahn to create a false document about the presidents efforts to fire Mueller and ordering a confidant, former campaign manager Corey Lewandowski, to tell Attorney General Jeff Sessions to curtail the investigation into the Trump campaign. Steve Scalise (Yahoo News photo Illustration; photos: Bill Clark/CQ Roll Call/Getty Images) Download or subscribe on iTunes: Skullduggery from Yahoo News Do you find any of that troubling? Scalise was asked. Story continues What troubles me if youd like to know what troubles me is there was no obstruction, said Scalise. In fact, Mueller reached no conclusion as to whether the president committed an act of obstruction. If we had confidence after a thorough investigation of the facts that the President clearly did not commit obstruction of justice, we would so state, Muellers report said. Based on the facts and the applicable legal standards, we are unable to reach that judgment. Scalise asserted that the Mueller investigation was begun by some real, real bad actors within the FBI who had a partisan agenda. When pressed, Scalise acknowledged he had not actually read the full Mueller report. I havent read the entire thing, he said. But he argued that the special counsel didnt bring one single charge against the president. At some point, the American people are going to ask, When are you going to move on to solving real problems? The committee of jurisdiction of the Mueller report, right now, where they're doing all this impeachment drumbeat thats the same committee that has jurisdiction over the border crisis, and they haven't done anything about the border crisis because they're focusing on the Mueller report they thought was gonna yield some kind of collusion. There was no collusion. Why don't they move on? _____ Read more from Yahoo News: Former top U.S. diplomat deplores policy toward Iran 'untethered to any coherent strategy' Pentagon secretly struck back against Iranian cyberspies targeting U.S. ships Trump admits his Cabinet had 'some clinkers' For Dems, there's no chickening out at Clyburn's fish fry Chore wars: Are men doing enough housework? PHOTOS: Moon rock samples sealed since Apollo missions View comments
The Making a Murderer lawyers respond to one big question raised in the series Photo credit: Netflix From Digital Spy Making a Murdere r 's Steven Avery was first represented by lawyers Dean Strang and Jerry Buting. The pair of defence attorney's worked with Avery during his original trial, which played out in the first 10 episodes of the true-crime Netflix series, but he was eventually convicted of the murder of Teresa Halbach. Photo credit: Netflix Related: Making a Murderer 's original lawyers discuss "right decision" in Steven Avery's appeal Now years into the post-conviction process, Avery has continued to state his innocence and, with new lawyer Kathleen Zellner fighting his corner , is trying to appeal this conviction. Taking up much of Making a Murderer 's second season, Zellner's work has so far included some pretty rigorous re-testing of the crime-scene evidence , as well as analysis from new experts. This has lead to a whole host of new information as well as new theories . Photo credit: Netflix Zellner is trying to win a new trial for Steven Avery . One avenue that's open to her, as part of the post-conviction process, is to look at whether the counsel that her client received during his court case was effective – something that Strang and Buting have previously made clear that they have no qualms about. "You don't have the luxury at this point, if you're picking up a case this late, of overlooking any possible reason for a new trial," Strang said in Making a Murderer 's second season. Photo credit: Netflix Related: Kathleen Zellner filmed ANOTHER documentary for a case more difficult than Making a Murderer They also believed the ruling that came right before Avery's 2007 trial, which prevented them from pointing the finger at other suspects, limited their options when defending Avery. "We had other suspects," Jerry said, before adding that this ruling "handicapped" them "from the beginning". For many Making a Murderer fans watching at home, this has always been a real sticking point. Why were Steven Avery's lawyers not allowed to point the finger or raise questions around other potential culprits? So… Why WERE Steven Avery's lawyers not allowed to point the finger at anyone else? During an exclusive interview with Digital Spy, Dean Strang and Jerry Buting discussed this odd regulation as well as the potential impact it could be having on the US justice system. Photo credit: Netflix "That rule of Wisconsin Law befuddles almost every person in the UK who has any understanding of the legal system at all," Strang told us. "And indeed in most of the world people simply are left scratching their heads at that rule." Story continues "[The rule] is one that puts a greater burden on the defence, in trying to establish innocence, than it puts on the prosecution trying to prove guilt." Buting revealed that it's not unique to Wisconsin, and is something that is present in other states in different forms. He added that "not every state has a strict rule or a strict test that must be met before this kind of evidence can be presented to a jury." "It stems from the general belief that you shouldn't be able to just blow smoke at the jury or confuse them and have them looking at other suspects who really couldn't have any connection to the crime," he explained. Giving a hypothetical example to illustrate this, he said: "If you wanted to argue that the real killer was, let's say, the business partner of the deceased but that guy was over in Hawaii at the time of the crime in Wisconsin then obviously he or she couldn't have done it. And so the jury shouldn't be allowed to be distracted by that kind of evidence." Photo credit: Netflix Related: What could we expect from Making a Murderer season 3? However Buting was keen to highlight the potential flaws in the rule. "The legal [and] technical hurdles that you have to overcome for the defence to be able to present that evidence are ridiculously high and there's a real double standard because it requires you as a defence attorney to prove the other suspect had a motive... even though the prosecution never has to prove the defendant had any motive to kill. So it's completely bizarre to most people when they hear about this rule of law." "It's just, I think, another example where with time the deck has gotten stacked against people who are accused of crimes in order to make it easier for the state to obtain convictions. "Which of course raises the potential of there being wrongful convictions as well." Making a Murderer Part 1 and Part 2 are now streaming on Netflix. Want up-to-the-minute entertainment news and features? Just hit 'Like' on our Digital Spy Facebook page and 'Follow' on our @digitalspy Instagram and Twitter account . 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Golem Execs Depart to Pursue ‘Riskier’ Research With New Non-Profit Executives from multimillion-dollar startup Golem Factory are launching a new non-profit initiative called the Golem Foundation to pursue more ambitious research and development opportunities. As statedin a June 28 blog postby Julian Zawistowski, CEO of the Golem Factory, the aim of the Foundation is to “strive for new – perhaps innovative and experimental, and at the same time riskier – approaches to the value proposition for Golem and for the Golem Network Token (GNT).” Both Zawistowski and his counterpart Andrzej Regulski, who was COO of the company, will be resigning from their positions and handing over the reins to company CTO Piotr Janiuk and lead software engineer Aleksandra Skrzypczak. Related:Metronome Now Lets Users Move Tokens Between Blockchains Speaking to CoinDesk, Skrzypczak explained: “After several years working together, we came to the realization that in order to keep the research and development of the Golem Network stable and focused, while not relegating the thirst that any technologist has for constant innovation, spinning off a new entity within Golem’s ecosystem is the best way to boost the efforts.” All four of these individuals were early founders of the Golem Factory, which was established in 2016. At the time, the startup raised 820,000 ETH – around $240 million, according to current metrics – to build a distributed computation network atop the ethereum blockchain. Often described as “Airbnb for computers,” the Golem project is essentially an alternative to current cloud computing networks where any user can buy or rent out unused computational resources. Related:Opera’s Browser With Built-In Crypto Wallet Launches for iPhones Golem went live on ethereum mainnet early last year with a product beta release dubbedBrass Golem. Now the team at Golem Factory is looking ahead to the next beta release,Clay Golem, in the fall. Additionally, developers are also building “Golem Unlimited” which will support the creation of subnetworks on Golem run by data-center-like setups in order to expand network reach. As the team at Golem Factory continues to pursue this technical roadmap for the Golem project, the Golem Foundation, headed by Zawistowski and Regulski, is expected to operate independently and pursue different team objectives. “In the beginning, we want to start with thorough research of alternative approaches that contribute to the long-term vision behind Golem and create novel and out-of-the-box solutions useful for Golem and GNT,”Zawistowski told CoinDesk. “Exploring these options requires a limited period of time working in a semi-stealth mode.” For now, there are no firm details about the areas of focus for research and development from the Golem Foundation team. However, Skrzypczak did affirm that “privacy-related tools are an important part of Foundation plans,” which will be shared with the broader community in due time. Additionally, it remains to be seen what other individuals either from the Golem Factory or outside of the company will join Zawistowski and Regulski in pursuing more ambitious research and development strategies at the Foundation. “The new structure of the Golem Factory will be announced shortly – we are taking our time on this, because our core focus now is delivering our next [Golem] version with two new use-cases … in the upcoming weeks,” said Golem Factory’s head of communications, María Paula Fernandez, in a message to CoinDesk. However, in terms of funding for the Foundation, Zawistowski makes clear in his blog post that “the Foundation has been endowed with a portion of the original capital raised in Golem’s crowdfunding.” To this, over $40 million in ETH and GNT were transferred Friday from the multi-signature account of the Golem Factory tothe Foundation. “From now on, our liabilities towards the community will be fulfilled in parallel by Golem Factory and Golem Foundation,” noted Zawistowski. Golem team photo courtesy of Golem Factory • Why Ethereum’s Privacy Matters and What’s Being Built to Support It • Above $300: Ether Price Clocks 10-Month High
Goldman Sachs CEO hints at following JP Morgan’s lead and launching a stablecoin Goldman Sachs CEO David Solomon has revealed that the banking giant is currently carrying out “extensive research” on asset tokenisation and stablecoins following the announcement of JP Morgan and Facebook’s native tokens. Speaking to French publication Les Echos, Solomon said Goldman Sachs could “absolutely” follow in the footsteps of banking rivals JP Morgan. “Assume that all major financial institutions around the world are looking at the potential of tokenisation, stablecoins, and frictionless payments,” he said in an interview on Friday . The emergence of Facebook’s native cryptocurrency, Libra , has piqued the interest of several institutions and companies in the past week, with Solomon admitting that he finds the “principle of tokenisation interesting”. Comment les Français perçoivent les crypto-monnaies et le bitcoin \| Les Echos https://t.co/4o9pxBmTG6 — Philippe Bonnin (@Philippe_Bonnin) June 28, 2019 “I think regulators around the world are watching what’s going on. They wonder how it will work and are very attentive to payment flows,” he added. “There will be an evolution in regulation, that’s certain.” Uncertainty surrounding the regulation of cryptocurrencies and digital assets has added to the volatility of the asset class. In recent weeks, Bitcoin surged to a yearly high of $14,000 before dramatically falling to as low as $10,300. The sharp decline in the price of Bitcoin led many to question its potential use cases as a store of value and a payment method for merchants. At the time of writing, Bitcoin remains in a bullish formation situated around $12,000 after having recovered from Wednesday night’s correction. For more news, guides, and cryptocurrency analysis, click here . The post Goldman Sachs CEO hints at following JP Morgan’s lead and launching a stablecoin appeared first on Coin Rivet .
Iranian Authorities Confiscate 1,000 Bitcoin Mining Machines Authorities inIranhave confiscated about 1,000 units of bitcoin (BTC)miningmachines from two now-defunct factories, BBCreportedon June 28 As reported, local authoritiesnoticeda surge in electricity consumption by 7% earlier in June and linked it to cryptocurrency mining activities. Officials subsequently discovered and removed the mining hardware from two former factories. Arash Navab, an electricity official, reportedly said that "two of these bitcoin farms have been identified, with a consumption of one megawatt." An Oxford researcher told the BBC that Iranians are increasingly turning to cryptocurrencies like bitcoin as a means of skirting sanctions. Cointelegraph recentlyreportedthat Iranian BTC miners were moving into mosques as thegovernmentlaunches anenergycrackdown. Iran, which offers free energy to mosques, now has around 100 miners occupying places of worship, generating around $260,000 a year. The Iranian government thuswill be cutting offpower to crypto mining until new energy prices are approved. Mostafa Rajabi Mashhadi, an official at Iran’s Ministry of Energy, reportedly stated that crypto miners “will be identified and their electricity will be cut,” adding that the ministry must enforce such actions as the current overconsumption of electricity is “causing problem for other users.” Unauthorized use of electricity for crypto mining has become widespread. Recently, police inChinareportedlygatheredevidence of people laying cables via fish ponds to steal oil well power to fuel their mining hardware. In theGermancity of Klingenthal police reportedlytracked downa system of 49 computers operating on the premises of a former electrical services company. Since 2017, the mining farm has reportedly consumed as much electricity as 30 households, with the damage for the affected electricity supplier estimated to around 220,000 euros ($250,053). • Iranian Government to Cut Off Power to Crypto Mining Until Approval of New Energy Prices • Iran Bitcoin Miners Set Up Shop in Mosques Amid Gov’t Crackdown • Abkhazia Develops Draft Law on Crypto Mining • Bitmain Shifting IPO Plans to the US on Growing Bitcoin Optimism
What Was Jack Dorsey Doing at Paris Fashion Week? A week of big surprises and radical twists in the wide world of wearing clothes. What Was Jack Dorsey Doing at Fashion Week? Of all the radical surprises that Paris Fashion Week brought us (Ballet flats! Male cleavage! Straight-up sexiness! ), perhaps the most radical was the sight of Twitter CEO Jack Dorsey sitting in the front row at Dior, Rick Owens, and Celine . As a self-proclaimed Rick Owens mega-stan , Dorsey is what we in the biz call a “100% certified jawnz enthusiast.” Still, attending fashion week is a bold declaration of fashion fandom, undertaken only by the most clothing-obsessed athletes and musicians of the world, along with the occasional actor—who are usually incentivized to attend by a sweet ka-ching from the brand. But corporate dudes, especially from the tech world, aren’t a common sight. Nor are artists, who prefer to stand in the back, unless they are an official collaborator on the collection, or Marina Abramovic. At Dior, Dorsey was seated in the corporate honcho row, between LVMH chairman and CEO Bernard Arnault and Daniel Arsham, the artist who had been asked by designer Kim Jones to design the set and make some of house’s celebrated cross-body saddle bags. So what was Dorsey doing there? Instagram has long been the platform associated with fashion, after all, but opinionated fashion fans— so-called “hf twitter” —are a vocal subculture. What’s more, Dior and Celine are both owned by LVMH. Could it be that Dorsey is planning some kind of partnership with LVMH or the fashion industry? Twitter offered no comment on the possibility. So is it...could it be...even possible...that Dorsey was just there to take in the fashion? Wouldn’t you, if you had the wardrobe and connections to do it? Fashion tourism—we love to see it! Jake Gyllenhaal’s Jewelry “Delights and Disgusts” In another moment of utter fashion bewilderment, Jake Gyllenhaal wore a gold chain, and it is dividing the world into emotionally-charged factions of good and bad taste. Gyllenhaal, attending the premiere of Spider-Man: Wow It’s Another Spider-Man Movie??? , wore a deep blue suit and an even deeper blue T-shirt with a slender gold chain that entranced Twitter—and thus, the barometer of our great age of social media panic, The New York Post , followed suit with a headline proclaiming that “Jake Gyllenhaal’s gold chain both delights and disgusts.” Is it sleazy? Is it weirdly sexy? The world is divided on this issue, and perhaps only a crystal cleansing session with Gwyneth Paltrow-certified “spiritual legend” and 2020 presidential candidate Marianne Williamson can bring us all back together. Story continues For our part, we love the chain. Long Lines Are So Out And finally, if all that weren’t confusing enough: WWD claims long lines are “a thing of the past .” They even have a pic of the past, which you know is the past because a long line is featured in it. No more Supreme stakeouts! Originally Appeared on GQ
Adult games storefront Nutaku launches $5 million investment fund for erotic LGBTQ games Ana Valens,Fri, 28 Jun 2019 16:02:00 Adult games distributor Nutaku is wrapping up Pride Month with a special announcement for its LGBTQ+ users. The company is launching a$5 million investment fundfor queer adult games in a bid to "support inclusive game development worldwide.” The initiative, which is planned for the next three years, intends to tap into a growing queer adult games market. “The new investment portfolio is born out of the flourishing number of adult gamers who identify with the LGBTQ+ community, empowering diversity within the adult gaming world,” Nutaku's communications manager Julie Hall said in a press release. “Resonating enthusiasm amongst gamers and game developers alike, Nutaku stimulates the creation of a space to build and support a diverse selection of high quality adult titles.” Initially, Nutaku introduced anLGBTQ+ categoryfor the site in December, featuring "Gay," "Lesbian," and "Transgender" subcategories for adult games. Nutaku's multi-million investment plan hints that the company is eager to expand the section’s library, if not become the definitive source for LGBTQ+ content in the adult games industry. When reached for comment, Nutaku PR and Marketing Lead Erica Z stressed that breaking down the gap between porn for straight men vs adult content for women and the queer community was at the center of Nutaku’s investment. “The gaming industry still widely excludes women and the LGBTQ+ community from conversations about gameplay and content preferences,” she told GameDaily.biz. “This fund is intended to help contribute to increasing the amount of inclusive adult content available to 18+ gamers.” Additionally, Nutaku is unveiling two separate fundraisers designed to support New York City'sThe Lesbian, Gay, Bisexual & Transgender Community Center, better known as "The Center." From now until July 2, Nutaku is running a"Pride Sale Event"where players can pick up special LGBTQ titles at a discount. The adult games distributor is also hostingNutaku Pride Collectionmerchandise, offering fanny packs, mugs, socks, shirts, and other clothing with the Nutaku logo dressed in a rainbow flag. In both cases, all proceeds will be donated to The Center to honor Pride Month and "give back to the LGBTQ+ community." While Nutaku’s investment fund is an exciting step forward for more LGBTQ+ adult content, it remains unclear if the LGBTQ+ games that Nutaku invests in will actually be created by LGBTQ+ developers for queer gamers. This is particularly concerning given that many games from Nutaku’s Lesbian and Transgender categories appear to be made for straight audiences, and not the identities represented within these games. When reached for comment, Erica Z stressed both LGBTQ+ and non-LGBTQ+ developers alike were included in the investment fund. “The investment is intended to encourage both LGBTQ+ game studios, along with other studios interested in creating inclusive titles,” she told GameDaily.biz. Then there’s Nutaku’s parent company,MindGeek, better known for owning such adult brands as Pornhub, YouPorn, and Brazzers. Slate’sDavid Auerbachrefers to the company as a "monopolistic owner" that consolidates adult content’s creation and distribution into one enormous company. Its hold on the industry is despised by many adult creators and sex workers, who fear MindGeek could further marginalize the do-it-yourself, independent side of the porn industry, among which many are queer. In an article for the Daily Dot, this reporter spoke to multiple transgender performers who harshly criticized MindGeek’s business structure and its laissez-faire approach to moderating pirated adult content on its “tube” sites, such as PornHub and RedTube. “I don’t think most consumers know or care too much about porno economics or monopolies though,” adult performer BoringKate told the Daily Dot. “I’ve somehow managed to build a following of people that do occasionally buy their porn, but people who watch porn (which is most people) aren’t just uninterested in paying for the corporate studio porn. They aren’t interested in paying for any kind of porn. The idea is laughable to a lot of people.” Nutaku’s investment is still important news for the queer community, and the company’s dedication to The Center is a positive step forward. But more outreach and dialogue with queer game developers must come from Nutaku before the company’s fund can truly be considered a net-positive for LGBTQ+ gamers. Doubly so for Nutaku’s parent company, which has a messy track record that the distributor may not be able to overcome. • Embark Studios becomes Nexon subsidiary, continues to focus on accessible development • Redhill Games raises $11.4M, will reveal debut title next year • Remedy gets massive royalty payout alongside publishing rights to Alan Wake • Watch: What the mobile industry has learned from World of Tanks
Bishop walks migrants across US border bridge to protest Trump policy A Texas bishop walked with Central American migrants across and US-Mexico border bridge in protest of conditions asylum seekers face under the Trump Administration . Mark J Seitz , a Roman Catholic bishop, walked across the Lerdo International Bridge in El Paso with migrants as part of his Faith Action protest. The bishop, who is originally from Wisconsin, prayed with and walked a Honduran family of five across the border bridge as they went to make an asylum claim with US Customs and Border Protection (CBP), reports the Dallas Morning News. Bishop Seitzs protest opposes the Trump Administrations immigration policy, specifically the Migrant Protection Protocols . The Migrant Protection Protocols require migrants who seek asylum by crossing the El Paso bridge to return to Mexico as they wait for border agents to process their claims. The waiting period for asylum seekers can last from weeks to months. The Dallas Morning News reports that over 15,000 migrants have been sent back to Mexico from the US as their asylum claims are reviewed. Anywhere from 100 to 200 migrants are sent back to Mexico daily. As a Catholic and Christian leader on the border, I am often called to be a doctor of the soul, said Bishop Seitz to reporters in both Spanish and English. He continued: Standing here at the U.S.-Mexico border, how do we begin to diagnose the soul of our country? A government and society which view fleeing children and families as threats. A government which treats children in U.S. custody worse than animals. A government and society who turn their backs on pregnant mothers, babies and families and make them wait in Ciudad Juarez without a thought to the crushing consequences on this challenged city. Decrying the Migrant Protection Protocols, the bishop claims that in Ciudad Juarez, the Mexican town which migrants are forced to return to from El Paso, there is a critical lack of access to shelter, food, legal aid and basic services. Story continues It is also reported that the Ciudad Juarez has a higher than average murder rate, with smugglers and drug dealers preying on newly arrived migrants. Bishop Seitz continued: This government and this society are not well.
2019 Democratic Debate Night 2: What We Learned From Each Candidate The first round of the Democratic presidential debates are now behind us. The remaining ten candidates took the stage on Thursday for night two of the debates. There may have been fewer technical difficulties—and only one phrase en español from Buttigieg—but the scene was no less combative than night one. In a series of show of hand questions, Sanders and Harris were the only two candidates to say they would abolish private health insurance in favor of a government plan, while every candidate said their health insurance plan would cover undocumented immigrants. Nearly every candidate also expressed support for making crossing the border illegally a civil, not a criminal offense—an issue that former HUD Secretary Julian Castro stressed on night one. And most of the candidates said they would prioritize restoring relations with our European allies or NATO if they were to be elected president. Here’s what we learned from the second group of candidates to make it to the debate stage. This is not Sen. Bernie Sanders’ first time on the presidential debate stage and his messages on Thursday were familiar. Sanders called for a “new vision for America,” made necessary by the fact that the richest three Americans have more than the bottom half. Sanders returned to two issues that have largely formed the backbone of his candidacy thus far: Medicare For All and free public higher education. On healthcare, Sanders claimed that the function of the insurance industry today is to “make billions in profits for insurance companies,” not provide quality, cost-effective healthcare to Americans. Sanders said that the government should not “infringe on a woman’s right to control her own body,” and said he would “rescind every damn thing that Trump has done on immigration.” On climate change, Sanders said that he “doesn’t deny the reality” that we are nearing the point of irreparable damage, but that the U.S. should focus its efforts on telling the rest of the world that instead of spending on weapons and destruction, “we should come together on the common enemy” of fossil fuels. The Vermont Senator did not shy away from attacking President Donald Trump, noting that the American people understand that he is a “phony,” a “pathological liar,” and a “racist,” and that he “lied to the American people during his campaign.” Sanders claimed that Trump has not stood up for the American people despite promising that he would, and said that we should “expose him for the fraud that he is.” Unlike Trump, Sanders repeatedly noted that he is the person who “has the guts to take on Wall Street, the fossil fuel industry, and big money interests,” and more generally “stand up to power.” “Nothing changes unless we have the guts” to take on these pillars of power, Sanders said. Former Vice President Joe Biden highlighted the concept of “returning dignity to the middle class” and all that he and the Obama administration accomplished between 2008 and 2016. “Ordinary middle class Americans built America—not Wall Street,” Biden argued in his first answer of the night. And it is these people to whom the government has a responsibility: to providing them affordable education and health insurance, and to ensuring that they have clean air and water. Trump, meanwhile, “has put us in a horrible situation,” Biden argued. On healthcare, Biden said the “quickest” way to provide everyone with affordable healthcare is to build on Obamacare, ensuring that everyone has an option “whether it’s private, employer, or none” to make sure they “have the option to buy in on an exchange.” But Biden diverged from the Obama administration on the question of coverage for undocumented immigrants, arguing that “we cannot let people who are sick, no matter where they’re from or what their status, not be covered.” Biden also diverged from Obama on the deportation of immigrants who have entered the U.S. illegally. After being pressed for an answer from the moderators, Biden said that if the only crime an individual has committed is that they entered illegally, “they shouldn’t be deported.” The former Vice President did not stand down when faced with direct criticism from Harris on his history of supporting bussing and for recent claims about partnering with segregationists while in the Senate, arguing that he “did not praise racists.” Making a pointed jab at Harris he added that “if we want to have this campaign litigated on whether I supported civil rights or not…I became a public defender not a prosecutor.” Ultimately, Biden called for “restoring the soul of this nation” and restoring the “backbone of America”—poor and working class people—by giving them “the dignity they once had.” Sen. Kamala Harris came down hard on a number of issues on Thursday night, but her biggest moment may have been playing the role of mother hen, trying to control the rest of the candidateswhen squabbling broke out. “America doesn’t want to witness a food fight, they wanna know how we’re going to put food on their tables,” she said to applause. Harris echoed numerous other candidates on the issue of the economy and working class Americans, noting that “this economy is not working for working people.” She criticized the asymmetric benefits of Trump’s tax bill and said she would repeal the bill in favor of changing the tax code to give a tax credit to the middle class. She argued that the strong economy Trump alludes to does not paint an accurate picture as many Americans are working multiple jobs “to have a roof over their head and food on their table.” On immigration, Harris enumerated a number of changes she would make, including reinstating DACA status and protection and extending the deferral of deportation for parents and veterans. She also spoke out against the deportation of undocumented immigrants who had not committed a crime, noting that the problem with a policy like this is that an undocumented immigrant who is a rape victim often feels that cannot report a crime against them for fear of being deported. As the only African American on the debate stage Thursday night, Harris took the opportunity to take a jab at Biden, highlighting her own experience being part of the second class of children to be bussed in California. She also attacked Trump’s position on climate change, noting that while she calls it “climate crisis,” Trump has “embraced science fiction over science fact.” On this same point, Harris also quietly stole one of Gov. Jay Inslee’s applause lines from night one, saying that Trump is the biggest threat to America. She accused Trump of denying the science of the existential threat of climate change, of “embracing Kim Jong-un for the sake of a photo opp,” and of taking the “word of the Russian President over the word of the American intelligence community.” Former Gov. John Hickenlooper took much more of the centrist, bipartisan route on Thursday night. He expressed ‘admiration’ for several of the more leftist policies coming out of the Party, such as the Green New Deal, but added that some of these things are not realistic. Nevertheless, Hickenlooper emphasized many of the “progressive” policies he had passed in Colorado, arguing that you “don’t need big government to do big things.” He went on to claim that he is the one person on the debate stage who’s “done the big progressive things the people up here are talking about.” On the separation of families at the border and subsequently putting the children up for adoption, Hickenlooper said, “in Colorado, we call that kidnapping.” He called for “recognizing the humanitarian crisis at the border for what it is,” advocating a need to reform ICE and provide better facilities at the border. On gun violence, Hickenlooper said that the “real question” should be why five years after Ferguson do we not see better accountability from the police. And on climate change, Hickenlooper said that the issue can only be addressed by “bringing people together.” He said that if we demonize business, then “we’ll be doomed to fail.” Sen. Kirsten Gillibrand may have been the biggest interrupter of night two. Over the course of the evening, she referenced her position on healthcare and the need for a transition period to reach single-payer healthcare multiple times, called for a need to implement comprehensive immigration reform with a pathway to citizenship, and claimed that “women’s reproductive rights are under assault” in 2019—a fact she finds “mind-boggling.” Gillibrand also spoke about her “comprehensive plan to take corruption out of politics,” which she said would enable any leader to tackle every other problem. Calling the corruption in Washington “real,” she challenged viewers to imagine a reality where the Parkland students “have as much power as the Koch brothers.” While Sen. Michael Bennet believes universal healthcare “is a right,” he came out strongly against Medicare for All, suggesting instead that we need to “finish the work we started with Obamacare” and create a public option. He argued that people who want to keep their insurance should be able to keep it, and believes his strategy is the quickest way to ensure the right to healthcare. Bennet pointed to the fact that there is “no economic growth” for most of the U.S. as we face the worst income inequality in 100 years, said he believes that Russia, not China is our biggest geopolitical threat, and referenced his own forebears’ separation during the Holocaust when discussing family separations at the border happening today. Highlighting a need for bipartisanship and building a “broad coalition,” Bennet argued that partisan gridlock “will not magically disappear” so long as Mitch McConnell remains in the Senate, which is why it’s important for the Democratic Party to win not just the presidency in 2020, but the Senate as well. Bennet also referenced a Thursday Supreme Court ruling by calling for an end to gerrymandering and called for the need to restore our democracy, as “the rest of the world is looking at us for leadership.” Mayor Pete Buttigieg noted toward the end of the evening that “nothing about politics is theoretical” and spoke concretely about a number of issues. On education, Buttigieg argued that he didn’t support free college for all because he doesn’t think the wealthiest families should be “subsidized” by those who are less well off. He also added that while college should be more affordable, it also needs to be more affordable to not go to college. On healthcare, Buttigieg said that everyone who supports Medicare For All “has a responsibility to explain how you’re going to get from here to there.” His version, he said, is ‘Medicare For All Who Want It,’ adding that “our country is healthier if everyone is healthier.” Buttigieg accused the Trump administration for driving a wedge amongst Americans on immigration, claiming that “Americans are in agreement about what to do.” He also made an opaque reference to the administration in a comment about China, noting that “their authoritarian model is being held up as an alternative to ours because ours looks so chaotic in comparison.” The Mayor of South Bend, Indiana had a moment of candor when asked about the current crisis facing the city he oversees, admitting that “it’s a mess.” He added that he “could walk you through” everything they’ve done, but the fact remains that it didn’t save Eric Logan’s life. “Until we move policing out of the shadow of systemic racism,” Buttigieg said, “whatever this particular event teaches us, we will be left with the bigger problem, with the fact that there’s a wall of mistrust.” Former tech executive Andrew Yang, whose platform is largely based on the idea of universal basic income, started the evening by discussing his plan to pay $1,000 a month to every American over 18. The candidate had few opportunities to speak throughout the rest of the evening, but emphasized that Russians has been “laughing their asses off for years” as they’ve successfully hacked our democracy. He also noted that pirating is a “massive problem” in China, but the bigger problem is the trade war, which is “punishing both sides” as the beneficiaries “haven’t been American workers,” but Southeast Asia. A long-shot candidate, Yang also noted that the fact that he made it to the debate stage is “proof that our democracy still works.” Rep. Eric Swalwell’s refrain of the night was a jab at Biden: quoting something Biden had said decades earlier, Swalwell argued that “if we’re going to solve the problems” we currently face, “it’s time to pass the torch to the new generation of Americans.” The California Congressman said that we “must always be a country where tech creates more jobs than it displaces,” called for a need to modernize schools and value teachers by “wiping the student debt for teachers that go into a community that needs it,” and said that we need to have a “healthcare guarantee” such that “if you’re sick, you’re seen, and you don’t go broke because of it.” Swalwell also highlighted his position on guns and gun safety, noting that he is the only candidate calling for a ban and buy-back of every assault weapon. Let’s “be a country where we love our children more than we love our guns,” he said. Author Marianne Williamson came out swinging against the other candidates on Thursday night, calling the plans they’ve touted “nice,” but arguing that they wouldn’t be sufficient to beat Trump. We “can’t have a superficial fix-it,” she said. The author called family separations at the border and child detention “collective child abuse” and “state-sponsored crimes.” Williamson said that the Democratic Party “should be on the side of reparations for slavery,” and in an even more off-color moment said that her first priority as president would be to call the Prime Minister of New Zealand to say “you are so on” because the U.S. “will be the best place for a child to grow up.” In her closing statement, Williamson directed her message at Trump, saying, “you have harnessed fear for political purposes and only love will get that out.” She, on the other hand, would “harness love for political purposes.” We have just over a month until we hear from these candidates on the debate stage again. —What the2020 Democratic candidates didn’t sayduring the second debate —Harris has a strong showing, stuns Biden on night 2 of Democratic debate —Democratic debate night 1: what we learned from each candidate —2019Democratic debate night 1: Highlights —2019Democratic debate night 2: Highlights —Fact-checkingclaims from night 1 of the Democratic debate —Fact-checkingclaims from night 2 of the Democratic debate
4 Lower-Risk Healthcare Picks for Long-Term Investors Healthcare can be a scary space if you focus on the biotech and pharma side of it. Luckily, there's plenty more to the industry. In this week's episode of Industry Focus: Healthcare , host Shannon Jones talks with senior Fool analyst Jason Moser about his Healthcare and Wealthcare basket, a diversified clump of stocks with fantastic positioning in markets that are only getting bigger. Learn what makes the combo of UnitedHealth (NYSE: UNH) , Teladoc (NYSE: TDOC) , Masimo (NASDAQ: MASI) , and Idexx Laboratories (NASDAQ: IDXX) so exciting for long-term investors. And, of course, can't ignore the merger news. Shannon and Jason explain what the massive AbbVie (NYSE: ABBV) - Allergan (NYSE: AGN) tie-up does and does not means for both businesses, why growth investors shouldn't get too excited, and what shareholders of these companies should know. To catch full episodes of all The Motley Fool's free podcasts, check out our podcast center . A full transcript follows the video. More From The Motley Fool 10 Best Stocks to Buy Today The $16,728 Social Security Bonus You Cannot Afford to Miss 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) What Is an ETF? 5 Recession-Proof Stocks How to Beat the Market This video was recorded on June 26, 2019. Shannon Jones: Welcome to Industry Focus , the show that dives into a different sector of the stock market every single day. Today is Wednesday, June 26th. We're talking Healthcare . I'm your host, Shannon Jones. I have a very special guest joining me here today, none other than Jason Moser, live and in the flesh, fellow Industry Focus Healthcare -- sorry, not Healthcare , Financials host. Jason Moser: Sure, but one could argue the two are very interrelated. Jones: It's all the same! Moser: If you've got good financials, it'll keep you healthy. Bad healthcare will ruin your financials. Jones: That's a great segue! I've got Jason here today to talk about his Healthcare and Wealthcare basket. Yes, it's all interconnected, all related. Jason, always thrilled to chat with you. I'm really excited to get into the Healthcare and Wealthcare basket. But before we do, it's probably good to dive into the news. I think I've seen 20 to 30 different headlines just today about this one merger. Story continues Moser: The one deal. Jones: We've gotten many emails, on Twitter , people are hitting me up. What do you think about it? It's all about this AbbVie-Allergan deal. Let's run through quickly here what that deal is all about. Then we can dive into our thoughts and opinions. On Monday, AbbVie announced it would be acquiring Allergan, maker of Botox, in a cash-and-stock transaction worth about $63 billion. Each Allergan share would receive 0.866 AbbVie shares and $120 in cash. Roughly, that works out to about $180 a share, about a 45% premium on the prior day's closing. A pretty hefty premium. This is the second-largest deal of the year. A lot of the Industry Focus: Healthcare listeners will know we talked a lot about the Celgene - Bristol deal that kicked off this year at about $74 billion. AbbVie, though, trading down about 14% on the news. Allergan, up about 25%. Not uncommon to see the acquirer get beat up. But they're getting slammed. Moser: It does seem like the disparity is a little bit bigger than normal. Jones: Yeah. So, we'll dive into all of that and more. One thing, Jason, here at Fool HQ, there is not literally one person I've met so far that has said, "Wow, this is a great deal! I can't believe they waited so long to do this!" Moser: [laughs] It feels like we're all like, "Yeah, I get it." It's one solution to what seemed like a problem that wasn't going away. It sounded like there was a lot of noise being made for Allergan to split up in some capacity, to maybe realize some value for shareholders that way. This is the opposite of splitting up, joining forces with another company. It does seem like, at least, the two joining together, they're somewhat complementary. I don't know there's a heck of a lot of overlap there. In a space where scale obviously matters, particularly when you're facing problems like Allergan certainly is facing, a lot of key drugs coming off patent, some drugs that they were hoping for a bit more success and aren't panning out, and slowing growth across all lines. It's understandable. I'm not sure that I necessarily think it's the best thing in the world. But it's a big deal, like you said. Jones: It's a huge deal. $63 billion. You've got basically two mediocre companies that have been looking for growth literally anywhere, now joining forces to become one humdrum, mediocre company, still looking for growth. Moser: "Mediocre" is the perfect word. Jones: Let's talk a little bit about AbbVie. You mentioned this. They have been desperately in need of diversification. Their bread-and-butter drug is Humira. It made about $20 billion last year, about 60% of sales. A huge chunk of their revenue. But it's facing a huge patent cliff. Actually went off its core patent I believe in 2016. But it's that patent exclusivity, particularly here in the U.S., that is on tap for 2023. AbbVie and their legal team -- I have to commend them, they're probably one of the most creative legal teams out there, aside from Allergan -- they've been trying to stem the tide. They've done over 100 different add-on patents to push away a lot of the competition. Hasn't really worked. We've already seen biosimilars in Europe starting to drive down sales. Humira, during the first quarter of the year, global sales fell about 23% already, ahead of this 2023 time frame. AbbVie here is desperately trying to throw the kitchen sink at the problem, but there just hasn't been anything meaningfully accretive to their top line, particularly when it comes to their pipeline. They've got an approved drug, several in the pipeline. You're looking at maybe about $9.5 billion in annual sales just coming from expected drugs. That's not nearly enough to take care of that $20 billion Humira problem. Moser: No, and you look on the other side of the coin there with Allergan, they're facing a lot of the same problems there. I was digging into their 10-K yesterday to get a better idea of how reliant they are on Botox. I think that's the name probably most people associate with Allergan. Botox is interesting in that most people probably think of it as an injection to help cure wrinkles. It's somewhat... Jones: You can say it, Jason. You can say it. Moser: I don't want to say superficial, but I think it's kind of silly, personally. We all get older. Just accept it, embrace it. But some people don't, so Botox cosmetics helps that. There is a Botox therapeutics side of the business, which is something we always need to mention. There are migraine implications where Botox does help. It's not a drug that is purely cosmetic. But either way, when you combine the two together, you're talking about over $2.5 billion in sales that Botox is responsible for Allergan. That growth rate is slowing down a lot as well. Between Botox slowing down, the patent cliff that you were talking about there, it goes back to that thing you said. You've got two mediocre companies coming together. I don't know that necessarily makes for one great company. Maybe it makes for a big mediocre company. Is that something we want to invest in? Jones: Not necessarily, Jason. Not for me personally. We actually got a question about this, like, "What should I be doing with this as an AbbVie shareholder?" -- and even some from Allergan shareholders. I think, from an Allergan perspective, you talked about Botox. This is a drug, it's their bread and butter, as you mentioned, but they're already facing generic competition. The FDA approved a cheaper version of Botox. We actually did a show on it in February, about the wrinkle wars that are now starting with a company called Evolus . You've got your bread-and-butter drug under pressure, their No. 2 drug, Restasis, which is for eye disease, also facing generic competition coming in 2024. Of course, just like AbbVie, they've been trying to throw the kitchen sink at this problem. I don't know if you remember this, but Allergan was the company that, to try to protect their patents, they actually attempted to sell it to a Native American tribe for patent immunity. Moser: Huh. I don't remember that. [laughs] Oh, my God! Jones: One of the most bizarre legal cases I've ever heard. Even from a strategy perspective, really strange. So I think there was a lot of doubt cast on Brent Saunders with Allergan after that. This is a company very much under pressure. You've got two companies trying to hold things together. Also, Allergan has a massive amount of debt, to the tune of about $21 billion. If this deal goes through, it would make for a combined balance sheet net debt of $18.5 billion, plus another $40 billion added to get this deal closed. Moser: Yeah. This is a market where debt loads are usually pretty heavy because these companies have to invest so much money in developing these drugs, and typically, you need to develop a lot so you have a pipeline that can shore up any weakness or headwinds when you run into situations. So, they tend to feed on a lot of debt, which is fine, to a degree. Typically, they add the income statements that can help facilitate and cover that debt. But it's always something worth noting, particularly if you see two companies like this that are really running into some headwinds growth-wise. Jones: Yeah. I think with Allergan here, what AbbVie is trying to do with this acquisition, it's not about growth, it's very much more about, we need to fund R&D and we need to pay down some debt. You've got these cash cows like Botox that I think can help them do that, but this is definitely not a growth story. If you're a growth investor, don't expect to see any growth or innovation. Allergan is not one that invests heavily in R&D in and of itself. This is really about debt, and it's also about funding continual R&D. It still leaves the question, Jason, where is growth going to come from with this combined company? That's still the bigger question, and why you saw AbbVie take such a hard hit right after this news was announced. Moser: I feel like maybe this is a defensive acquisition. Do you think that's a good way to put it? On AbbVie's part. Jones: I think that's fair. It's a very expensive defensive acquisition at $63 billion. That's a four-times multiple on 2018 revenue right now -- which is not unheard of in the biopharma space, but those multiples tend to go with growth opportunities, not so much from a defensive play. I can see why they did it, but I would have loved to see AbbVie actually go after maybe smaller incremental deals that could actually drive growth long-term, rather than one huge, massive $63 billion deal. It didn't address the issues that a lot of the investors have been poking and prodding AbbVie for. You still have a lot of lingering question marks. If this deal closes -- it's expected to close in early 2020 -- we'll have to wait and see what that looks like. But ultimately, to your point, this is just a defensive play. If you're an investor shareholder in either of these companies, as long as you're comfortable with that, and recognize this is not necessarily about growth, I think you're OK. Moser: You raised a really good point there. I feel like, if I were going to be on that call and ask management one question, it would be along the lines of what you were talking about there. Instead of making this one mammoth acquisition, why wouldn't you go out there and try to find a bunch of smaller pipelines with some more attractive prospects? To your point, that is a ton of money they're spending on basically one business with some questionable prospects. I have to believe there are a lot of smaller little biotech opportunities out there with some pipelines. Kind of the way we talk about investing in this space anyway, right? Taking that basket approach, invest in a bunch of small biotechs, because some of them won't pan out, but some of them will. Why wouldn't they take that same approach? Clearly, they have the money to do it. I guess we'll never know. Jones: We'll never know. We'll never know. Moser: We'll have to get on their next quarterly call and ask them that very question, Shannon. Jones: I'll hold you to it, Jason. Moser: OK! Jones: We'll be sure to keep all of our listeners up to date on all the latest happenings with this deal as it pans out. Jason, before we dive into the stocks in your Healthcare and Wealthcare basket, let's set the stage a little bit for our listeners who may not be aware -- what led you to this basket approach, specifically this basket approach within the healthcare and wealthcare space? Moser: Probably some folks are familiar with the War on Cash basket that I did. That was something that came to be with Chris Hill and I just lobbing back the question every quarter on MarketFoolery as to why we hadn't bought stocks in some of those companies, because clearly, it was a huge market opportunity. What I'd thought was, it's a big market opportunity, and it's not like you have to pick one winner. That was the impetus behind this basket as well. When you look at healthcare, as you and our listeners know, it is a massive market opportunity, not only on a domestic level, but a global level. To put that into context, when you look at total national health expenditures as a percent of GDP here, just in the country, you're talking about a number that's closing in on 20%. It is a big part of our overall economy, and that number is only continuing to go up. I don't think it's reasonable to assume that our neighbors here across the river are going to crack the code of healthcare anytime soon. It's going to be an expensive market that'll keep on growing. So I thought, well, I like big and growing market opportunities, and there's not one company that's going to win this space, there are a lot of them. So I just took a stab at trying to find some of the companies in the space that I felt like could do well in the coming five, 10 years. Jones: Great! A basket approach. I think it makes a lot of sense, Jason. We recently put out, I believe it was an Instagram question, about, do you invest in healthcare stocks? I'd say the No. 1 theme for those that said they did not was because they felt it was too risky. For a lot of them, they were talking about biotech and pharma, which is exactly right. Very risky, very aggressive strategy. But I like the basket approach, in particular the stocks that you have in this basket, because each of these stocks -- we'll get to them in a second -- serves a very critical need within the healthcare system. They have opportunities, given all the reasons you just said, when it comes to pricing, when it comes to efficiency. This is just a simpler, less risky way to invest for those who are wanting some healthcare exposure but don't necessarily want to go the biotech/pharma route either. Moser: I do appreciate that. The biotech space is really risky. People probably associate that most with investing in healthcare, because those are probably the companies that get most of the headlines. A lot of that's just because of that sexy growth everybody's looking for. It's that growth. Everybody's looking for a way to get rich quick. This certainly is not meant to do that. It is something where I felt like I could put together four companies that gave us a nice risk profile that investors are looking to pursue. This is not a basket where these are all high-risk names. It is certainly not the only way to do this. This is one way to do it. It is a way I did it. You can tell me I'm wrong and I won't be offended. You can give me some other names that should be in the basket, and I will likely agree with you. [laughs] But you have to draw the line somewhere, so I drew it at four companies. Typically, I look for anywhere from four to six companies to go in one of these baskets. These are companies that I've covered for a long time. To your point, I think they all fire in on their own specific part of the healthcare system where they're going to continue, I think, to grow for the foreseeable future. Jones: Yeah. Let's start with the first one. This is insurance company UnitedHealth Group, ticker UNH. Jason, tell us about this one. Why did it come across your screen, your radar? What makes it so interesting to you? Moser: We all like having access to healthcare, right? Jones: For the most part. Moser: We want to have access to it. It's a bit nebulous at times as to how we exactly do have access to it. You have a job, you get health insurance, it's not clear exactly who that's with or what you get, or how much you're going to owe when you go to the doctor, because it doesn't seem like there's any real standard pricing model anywhere at this point. But the bottom line is that the healthcare system, for the foreseeable future, is not going to work without insurance. UnitedHealth is the largest insurance company in the space, domestically and globally speaking, it is certainly spreading its wings. You look at a company in a market where the service they provide is going to be essentially necessary for the foreseeable future; the size of the company matters, I think, in this case; and there are huge barriers to entry when it comes to health insurance. It's not like you and I could go start a health insurance company. I mean, we could, but we would probably fail, because there's a lot to do in just getting that business started. They've already done a lot of that hard work. The size of the company tells you they've been doing a pretty good job at it. With vast financial resources, they're very well-positioned to deal with any and all changes that come to the regulatory landscape in the coming years. It's a big company, it's a little bit lower on the risk profile. But that was the point, to give us a bedrock company. We know it's not going to be growing terribly quickly, but it probably shouldn't have the rug pulled out from under it, either. Jones: Yeah. I love this pick, Jason! It's really about the scale and the size of this company. You mentioned it's the largest insurer in the business. Also, single largest employer of physicians. More than 35,000 physicians. Largest in terms of the pharmacy benefit managers. They processed over $160 billion in payments. It's the size and the scale that I think is important when we talk about cost efficiency with healthcare. When you have that type of size -- also, this is a company that's really been focused on data and analytics, more so than many of the others -- that plus size and scale, if I had to put my pick on one company that I think could help drive down costs, it would be UnitedHealth. Moser: I'm glad you said that. I think a lot of people will immediately think UnitedHealth, the largest insurer, healthcare for profit, this is an evil company. I understand that perspective, but I would encourage you to look at it from the other angle. It's not like UnitedHealth is the company that set up our healthcare system in this country. That's something that's been in the works for many, many years. Essentially, our politicians have given us what we've got. There are all sorts of different philosophies and takes on healthcare. I would encourage you to go read a book called The Healing of America by T.R. Reid. It's a great book! He basically travels the globe and looks at healthcare systems in all different countries and compares them to ours to show where they're doing better, where we're doing better. The No. 1 takeaway from the book is, this is not an easy problem to solve anywhere. If you think that other countries have it all figured out, well, read that book, you'll see it's not quite so cut-and-dry. But yeah, I do agree with you. With a company this size, with its resources, they are going to be able to play a role in helping drive down the cost of healthcare. I think it's also reasonable to say this is a company that has to answer to shareholders, which means they need to maximize profitability. There is a bit of a delicate dance there, for sure. Jones: Oh, for sure! As we come up to the 2020 presidential election, we've heard a lot of rhetoric, Medicare for All. We'll have to see how that plays out. But this is a company that was able to navigate the Affordable Care Act waters very well. I have no doubt about them being able to navigate anything that comes down the road, should it happen. Moser: I tend to agree. Jones: Let's talk about this second one. The second company, a medical device company. This is Masimo Corporation, ticker MASI. Jason, tell us what exactly they do and why this one is compelling. Moser: This is one probably not as many are familiar with. Back in 2011, we had a thing that we did here on fool.com , some of us decided we wanted to try to run a real-money portfolio in a public-facing manner, and we were able do that. It was this initiative called Rising Stars. Masimo was a company that I found for that portfolio and bought in that portfolio back in 2011. It struck me in researching the company, what they do -- I'll translate this -- they're in the business ultimately of pulse oximetry. Whenever you go to the hospital, if you have to check in for surgery or anything like that, typically, you're going to have something in there, a device, some equipment, that measures the oxygen levels in your blood, among other things. It's essentially required. You have to have that. Doctors need that in order to assess how you're doing. Masimo is in the business of that. They make those devices. They make the equipment and the consumables that help all of that happen. It's an interesting company from the perspective that the founder, Joe Kiani, founded the company essentially in his garage. He figured out how to build this technology, then just ran off with it. Nobody has been able to develop something better. And now the company is celebrating its 30th anniversary. They've gone beyond pulse oximetry into other testing equipment and monitoring equipment. They have a beautiful razor-and-blade model. They get that big equipment in the hospital, and then the hospital has to keep buying those consumables. It gives the company this opportunity to continue to innovate. The numbers tell us that hospitals like the technology. I like the founder-led culture. It's a little bit of a higher-risk play than UnitedHealth, but still a fairly well-established company. I own shares in it personally, too. One that will continue to do well. Jones: They've actually got an augmented-reality play as well. Moser: They do! Jones: It's really interesting to me, especially as we talk about the delivery of healthcare, staying connected, being able to make decisions faster. Tell us about this AR. Moser: I think that's the cool thing about companies like these, small, founder-led companies where they're not beholden to all of this red tape and trying to figure out what they want to do. They're essentially going with one guy's vision and the things that he wants to do. He's assembled a team of innovators with them, and they try all these different things. When you talk about augmented reality and virtual reality, and how technology is going to help our healthcare system, eyewear, I think, is the big medium for augmented-reality technology in the coming years. You have Google [ Alphabet ] and Microsoft and other companies that are working on those types of things. Incorporating monitoring equipment or monitoring platforms for physicians, for example. When they're in the hospital, regardless of where they are in the hospital, they can see a patient's progress or vitals right then and there. That's a good example of what Masimo is doing to incorporate more technology into their business. This company in particular is still very early days in how they're incorporating that. But reading about the things that they're trying, it's a pretty cool business. Again, I think it all boils back down to the founder and CEO. The nice thing is, he's a young guy, too, so we should have a lot of years left to watch him do his thing. Jones: He's got a long runway! All right, I love the play there, especially with innovation. Of course, we can't talk about redefining healthcare without talking about the third stock in your basket. That is Teladoc, ticker TDOC. We've talked about Teladoc on the show. Jason, tell our listeners, what do they do, for those who may not be aware. Moser: Ultimately, it's virtual healthcare, seeing the doctor over the internet. This is a really neat business. I started following this business shortly before it went public. I had spoken with a friend of mine at the Dallas Business Journal at the time. We were talking about the company going public and what its chances were. And even back then, I thought, they're solving a problem that exists. It made me think back to, David Gardner talks about with Amazon , there was so much skepticism back then that people would ever even consider putting their credit card information on a website and buy something from a website. There's just no way! There's no security! Balderdash! Jones: Sorcery! Moser: Fast forward to today, we obviously know that result there. Anybody in the world pretty much knows that going to the doctor's office is not a pleasant experience. It's not always necessary, either. I think that's what this company was geared on from the beginning, is trying to become that new front door for the medical care experience. There are situations where you don't necessarily need to go to the doctor's office. Teladoc has built a nice virtual healthcare app that enables people to go ahead and use that app as essentially that first step in their healthcare pursuit. I can use a specific example that happened to me in my life, where I immediately thought, "I'm sold, this is for real." I'm sure some people have heard this story before. I was taking my daughter to a horseback riding lesson. I saw that my eye was turning red. You have kids, you know what pinkeye is. And I thought, "Oh, God, now I've got pinkeye." You know how you've got to go to the doctor, get a prescription for the drops, it's a waste of a day. So I parked in the parking lot. My daughter goes in, starts riding. I opened my phone, opened the Teladoc app. Twenty minutes later after having a video chat with a doctor in Texas of all places -- we're in Virginia -- she was able to diagnose the pinkeye, e-prescribed the eyedrops to the CVS by our house. I picked them up on the way home. Problem solved. $15 co-pay. Easy peasy, lemon squeezy, as they say. That's ultimately what they're doing. They're not trying to say, "If you have a heart attack, you can use Teladoc." That's not what you do. But there are cases where it does work. I think what we're seeing now is buy-in in the virtual-healthcare space. The regulatory barriers have all been cleared. The regulatory environment has been changed to accept virtual healthcare. UnitedHealth is another business that is helping shape that. Believe it or not, Teladoc is actually a partner of Optum with UnitedHealth. Big base there, as well. Jones: Yeah. A huge growth opportunity -- 85% of the U.S. will contact a health professional in any given year. That translates to about a billion office visits annually. Teladoc has the potential -- actually, right now, they're doing about two million of them. When you look at that runway over the long term, huge opportunity. Mental health is one huge area. I think with a lot of the stigma associated with mental health, and it's becoming much more OK to talk about, and people are wanting assistance with mental health, that's a huge opportunity, as well, for Teladoc. Moser: It is. You mentioned a good word there, the stigma that's associated with mental healthcare. Finally, now, we have a way where someone can pursue mental healthcare without necessarily having to even leave their home. I think that really opens people up to the possibilities of even asking for help in the first place. If you feel like you need that help, and then there's the option for you to actually have a visit without ever having to leave your home, that's the ultimate form of privacy right there. We're certainly seeing the company making big investments in that space as well. It does seem like mental health is becoming a more talked-about thing here, nationally speaking. That's my perception. Jones: Totally. Moser: That's a good thing. Jones: Totally agree. I think for a company like this, it's all about access. But that brings us to the fourth stock in your basket, Jason. Access is not for humans, it's also for our furry animal friends within our family. That brings us to Idexx Laboratories, ticker IDXX. Jason, we're literally covering the entire gamut of healthcare. We've got animals now! Moser: One of these things is not like the other. Listen, this is coming from the perspective of the owner of three dogs. I've got three dogs at home. I grew up with a house full of dogs and my mom's cat. We've had animals and pets all of my life. I have a very, very soft spot in my heart for them. I could never imagine a day without them. I've been following this company for years, and part of the reason why I discovered them was because of my veterinarian. We talked about Masimo being a razor-and-blade model. Idexx is a razor-and-blade model as well. They get that equipment into the labs of the veterinarians, and then the veterinarians use the consumables to run diagnostic tests. Typically with pets, it's fairly standard. You take them in for their annual checkup, they get their shots and whatnot. But what veterinarians are finding is, particularly as pets get older, there are simple little diagnostic tests they can run via either urine or fecal or blood to discover if there are issues that are coming up far earlier that you need to address. Between that, the fact that the pet care market is such an attractive one because we feel so strongly about our pets, and it's typically a cash business. I know there's pet insurance, but most people don't use it, and I'm still not convinced that it's actually a really credible market anyway. There's a lot of things to like about what Idexx is doing. It's a competitive space, for sure. One of their competitive advantages is that they continue to reinvest in their business and develop new tests and diagnostic equipment and things. That would be a concern of mine, if they started pulling on those purse strings a little bit. Then I'd be a little bit concerned. But as it stands, they continue to invest heavily, bring new products. They've got a great reputation with veterinarians, particularly the private practices. A lot to like there. It's really a play on what is, I think, a very attractive market in pets. Do you have any pets? Jones: I don't. My husband is allergic to anything with fur. We're working on him, though. I grew up with dogs. I have a huge heart for animals in general, so does my daughter. We'll get there. But, yeah, I could see a company like this, with such a massive focus on pet care in general. I think that's an area that doesn't get enough focus right now. Moser: Probably not. Jones: The medicinal market for pets is huge. CBD now for pets! Moser: Yeah. I was talking yesterday on MarketFoolery about Zoetis , which is the company that was spun out from Pfizer and they're the ones that developed those vaccines and medicines for animals. Whenever I go to the vet, I'm not lying to you, that bill, I see Idexx and Zoetis on there. You now understand why I own shares in both companies. I'm getting at least something back for that money I'm putting out there. Jones: At least something you're getting back there, Jason! To close this out, Jason, tell us a little bit about performance. How has this basket done for you? Moser: Well, the basket has done very well, I'm proud to say. The date of inception of this basket was February 9th, 2018. That's when I opened it up and introduced it to everybody. Thus far, an investment in this basket is up 55%, versus the market's performance of 11.4%. It's done very well. All four companies are absolute positive returners. Three of the four are beating the market. I will say, the one that is underperforming the market, which is UnitedHealth, is underperforming the market by 0.5%. It's pretty close. But any which way you look at it, they're all four contributing to the performance there. I think that's slated to continue. Jones: Yeah, pretty stellar performance. Jason, I'll have to have you back on the show, because we want updates on how this basket is performing. Think you'll rejoin me back on the show? Moser: You know I'll be here anytime you ask me! Jones: I appreciate that! I'm sure our viewers do as well. That will do it for this week's Industry Focus: Healthcare show! Thank you so much for tuning in! As always, people on the program may have interest in the stocks they talk about, and The Motley Fool may have formal recommendations for or against, so don't buy or sell stocks based solely on what you hear. This show is being mixed by Austin Morgan. For Jason Moser, I'm Shannon Jones. Thanks for listening and Fool on! John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Teresa Kersten, an employee of LinkedIn, a Microsoft subsidiary, is a member of The Motley Fool's board of directors. Jason Moser owns shares of Alphabet (C shares), Amazon, Idexx Laboratories, Masimo, Teladoc Health, Twitter, and Zoetis. Shannon Jones owns shares of Amazon. The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), Amazon, Celgene, Idexx Laboratories, Masimo, Microsoft, Teladoc Health, and Twitter. The Motley Fool recommends CVS Health and UnitedHealth Group. The Motley Fool has a disclosure policy .
Tech Front Runner CargoMetrics Opens Up On Its Game Plan This is a milestone year for CargoMetrics, the Boston-based technology company whose big data machine tracks and analyzes global seaborne trade in near-real time. It now receives and processes over a billion pieces of unique information every single day and has a full decade of historical ship-movement data under its belt. It's about to enter the next stage of its fleet-optimization partnership with Maersk Tankers and has just added two more partners on the dry bulk side – FedNav and Western Bulk. It's also planning to launch a revolutionary cargo-pricing transparency product called TruFreight. "The billion pieces of unique information a day – that's a huge milestone for us," CargoMetrics co-founder and chief executive officer (CEO) Scott Borgerson saidin an exclusive interview with FreightWaves. "Back in the beginning, we struggled to receive and process tens of millions of pieces of data a day. There's absolutely no way we could have done then what we're doing now. First, because all of that data wasn't previously being produced and captured, and second, because the type of big data infrastructure, cloud computing and automation required to process and make sense of that volume of data has only become possible in the last decade." Borgerson also highlighted the milestone of being able to draw on 10 years' worth of data compiled since the company's 2009 soft launch – a head start competitors will be hard-pressed to overcome. "That is really important for building models and looking for correlations and forecasting patterns and being quantitatively predictive," he stressed. "Over the decade, we've had multiple generations of algorithms and the system has gotten smarter and smarter and the fidelity of the cargo data has gotten better and better. The statistical confidence and probabilities of being right keep going up and up. "Amazon used to offer you not quite the right thing. Today, it knows exactly what day of the week you need toilet paper. It's freaky. It's the same way with shipping. We needed to get to that critical mass of data, and for the cargo types we've ‘solved,' we're really good at it. We're unique in that we're statistically calculating what the cargo is – the data tells us the answer. We benchmark that against customs, manifest and government data after the fact and there's a very powerful correlation." Some very big names have backed the company. One of CargoMetrics' investors is Eric Schmidt, former CEO and executive chairman of Google. Other marquee investors include Howard Morgan, co-founder of quant investing giant Renaissance Technologies; famed hedge fund manager Paul Tudor Jones; Israeli shipping magnate Idan Ofer; shipping services leader Clarksons PLC; and Maersk Tankers. Impressive as all that sounds, it could be just the beginning. "I think we'll get to 10 billion pieces of unique information a day in a few years," he predicted. "We're very early in the journey. If this was a baseball game, I think that maybe we're just now entering the second inning." What's the game plan for the bottom of the second, and the third inning and beyond? Borgerson provided perspective on the company's plans for the three basic pillars of its business – the hedge fund, the fleet-optimization platform and the freight price reporting agency – and on how it plans to handle its growing portfolio of patents. Pillar 1: Quant hedge fund In its early years, the company was focused on using vessel-tracking data to place bets in financial markets via its ‘quant' hedge fund. Its systems analyzed cargo flows and used a diversified, quantitative, algorithmic approach to statistically forecast prices and guide investment decisions. "That part of our business is certainly where we started and we're still excited about it," said Borgerson, who acknowledged that he's less comfortable speaking about this pillar than the other two. "I will say that we have better fundamental data about the huge volume of global trade that ships carry, and this gives us forecasting power on a number of different commodities and macro markets and allows us to build a systematic investing approach." He also emphasized that the experience with the hedge fund has informed the other two parts of the business, both of which are now major focuses for growth. "It has been very helpful in allowing us to better understand and think about the other two pillars," he said. Pillar 2: Fleet optimization The second pillar of the business model centers on fleet-optimization partnerships with shipping companies. This phase kicked off in July 2017 with its partnership with Maersk Tankers, a company that currently operates 165 product tankers. The concept is to work with a shipping partner, allow that partner to use CargoMetrics' algorithms to optimize fleet moves to earn more and to simultaneously learn from CargoMetrics' team of scientists, and in return, allow CargoMetrics to use the experience with the shipping partner to improve its own algorithms, and pocket a piece of the partners' upside. Such deals are win-win because CargoMetrics has zero interest in owning ships and ship owners have no interest in spending a decade of time and huge sums of money building up their own global shipping data analysis machines. CargoMetrics' goal is to allow its partners to obtain repeatable ‘alpha' (return above market performance). "This is not about machine replacing man, it's about man and machine. It's about professionals making more optimized commercial decisions aided by a better data system," said Borgerson. One of the systems developed with Maersk Tankers is called SimTanker. "SimTanker is basically a performance measurement and back-testing tool. If they [partners] have a question like: ‘What if I redistribute my fleet geographically more toward a Pacific bias?' or ‘What if I took this cargo and this ship to Australia?', it allows them to measure the results. It's like with sports teams. They ask: ‘How will this combination of players or this strategy work?' And they run thousands of simulation games." The partnership with Maersk Tankers is about to enter the phase where CargoMetrics delivers the alpha. Borgerson revealed that the system will be rolled out with Maersk's larger LR2 tankers (which have capacity of 119,000 to 123,000 deadweight tons or DWT) this summer, with the intention to incorporate the smaller MR tankers (52,000-54,000 DWT) and other ships this fall or shortly thereafter. Dry bulk is the next frontier. On June 17, the company signed a fleet-optimization partnership deal with Canada's FedNav, which operates a fleet of over 100 bulkers, including 63 owned vessels. On June 27, it inked a similar agreement with Norway-headquartered Western Bulk, which charters-in over 150 bulkers. "In some respects, bulkers are a harder problem to solve than product tankers, depending on the bulker type," said Borgerson. "The smaller bulkers carry a really broad diversity of cargoes. There's even more optionality in the decision tree for bulkers [than product tankers], in terms of geographies to sail to, cargoes to pick up, and seasonality components. "We talk about it in terms of a chess board and learning the statistics of how the game works. The dry bulk game has more squares than the tanker game, so it's harder to solve, but that means it should also have a higher alpha potential, because more squares means more complexity, which means there's a greater opportunity for our machine to optimize the system." Over its history, CargoMetrics has progressed from sector to sector along a trajectory of increasing complexity. It began a decade ago with liquefied natural gas shipping, the easiest system to model, then crude tankers eight years ago. FreightWaves asked Borgerson whether container ships were on the list after product tankers and dry bulk. He answered, "We view containers as fundamentally apples and oranges with bulk. "We measure the container fleet in terms of fuel consumption, speed and total volume of cargo as a proxy for trade, but we're not trying to figure out what's in the containers or optimize the supply chain for containers. We're going to let Flexport and Freightos do the boxes. We've got our hands full in the bulk domain." Pillar 3: Freight price reporting agency The first pillar of the company's strategy is about trading on its own account, the second about partnerships with industry players, the third about creating a product to be sold to others. This facet of the business stems from a curious fact about global shipping freight rates – almost no one really knows what the true price of shipping bulk commodities on most routes actually is. Read a broker's report or a financial analyst's report or trade journalist coverage of those reports and you'll find lines like, "Medium-range product tankers averaged $17,000 per day, up 23 percent week-on-week." But on which route? Does this refer to some sort of benchmark route, or a weighted mix of routes meant to approximate the global average? If it's a weighted average, how approximate is it? What's the price on a route not covered by the indices? For public shipping companies, this issue pops up frequently, when actual charter earnings for a quarter turn out to be much different than what had been implied by published indices. Scorpio Tankers president Robert Bugbee once said on a conference call with analysts, "We don't pay our chartering departments bonuses based off the spread over the indices because the indices don't actually fairly reflect what is actually going on – at all." According to Borgerson, "One of the biggest surprises is we found that ships are not going on benchmark routes. Business is being priced against a Baltic [Exchange] route that the ships have never sailed." He believes traditional pricing mechanisms "do not reflect the reality that we can see in our systems and can measure." The new TruFreight offering will be designed as a freight price reporting agency and will be introduced for the tanker sector initially. It will strive to provide transparency on specific routes, costs, risks and what CargoMetrics calculates is the actual price, under the monikers TruRoute, TruCost, TruRisk, and the number everyone is looking for – TruPrice. "Right now, there's not a lot of data-driven transparency on real-time cost and pricing on the routes vessels are actually going on, to put it mildly. What we're trying to do with TruFreight is completely rethink the way freight pricing works, and we couldn't have done it without the first two pillars. "If we provide real-time transparency into ship movements and help make the market more transparent in a real-time way, that could be a step change for freight markets. The more transparency there is, the better the derivatives products are, which will let you manage risks better and maybe dampen some of that price volatility," he said, adding, "We'll have more to say about TruFreight as the year goes on." Patents CargoMetrics currently has four patents posted on its website. "We have more in the works and the ones that we have are quite broad," said Borgerson. The 2016 U.S. patent is for an "invention" that "provides a global strategic picture of commodity movements generated by tracking ships from satellite and other sources and then combining ship location and movement information with at least one other data set, such as vessel, port, cargo, weather are market data," along with a time history of those data sets. Its 2018 U.S. patent protects the combination of one or more of Automated Identification System (AIS), image, and radar data; using data to infer whether ships are full or empty to create a view on cargo supply and available ship supply; using other data to imply how much cargo is available at various ports and what ships are within range; and using all of this to generate vessel routing suggestions. There are a significant number of established companies, as well as tech startups, using AIS data in a way that appears to infringe upon CargoMetrics' patents. Concern has been expressed to FreightWaves by more than one source about the implications of CargoMetrics enforcing its patents. When asked about this possibility, Borgerson replied, "We are interested in licensing our patents strategically and thoughtfully and we're actively considering what the right move is with our growing portfolio of intellectual capital. We have already licensed our patents [to one company] a few months ago and we are currently engaged in several active conversations to license our patents to others." He continued, "We don't want to quash innovation in this space. We want to encourage innovation. We love this industry. On the other hand, we are a private for-profit technology company in America. We are actively contemplating a strategy [on enforcement] and we are going to be thoughtful in the way we begin enforcing our patent portfolio." The CargoMetrics team With all of its expansion plans, CargoMetrics would seem to be a company that's heavily staffing up. Borgerson declined to disclose the company's current headcount and disputed this logic. "The thing about that question is that people assume headcount is tied to business success and that's actually not true. What we're best at is big data computations and automation, so the trick is to get servers on the cloud to do the work, not people. "There are companies out there trying to augment some of their AIS algorithmic work – which by the way, is probably in violation of our patent – with people doing FOIA [Freedom of Information Act] requests or literally getting on the telephone or trying to manually answer questions. "We don't think that scales. We think there's a limit to how big that kind of business can be, because you can't automate that work. I would take one PhD mathematician or physicist or big data software engineer over 100 analysts who are trying to read customs or brokerage information or gather data. "The reason Google gives you an excellent search result so quickly is that it has automated the machine. That's what we're doing at CargoMetrics. Headcount is not the right measure. The right measure is the volume of data consumed and the efficiency with which it's processed and the way we've optimized the algorithms and quantitative systems. That's what we do so well." He is effusive in his praise of the employees who comprise his undisclosed headcount. He credits them for how far CargoMetrics has come and for creating the algorithms that drive the automation machine. "These are some of the brightest data scientists and software engineers in the world. I could not be more humbled and excited and proud to have worked with such a brilliant group of people. They're awesome. They get all the credit. I'm just the CEO. "What really motivates our team is the challenge of solving very difficult technical problems and puzzles," he said. "And shipping has some really cool puzzles to solve. It could actually be one of the biggest puzzles out there right now." Image Sourced by Pixabay See more from Benzinga • Today's Pickup: A Tale Of Two Truck Stops • Volkswagen Truck IPO Dips Below Low-End Of Range • Weekly Market Update: Seasonal Peak Arrives On Schedule, But Still Disappoints © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Tipping Point: Bitcoin Google Searches Trump Kim Kardashian Despite the 2018 U.S. congressional elections serving as a referendum on President Trump, more people searched for “Bitcoin” than the election results. Or Kim Kardashian. That’s according toresearch conducted by YouGovon behalf of Coinbase, which paints a surprisingly bright picture of the current state of cryptocurrency awareness. According to the data, 2018 was the year when Bitcoin awareness approached the tipping point for the first time. As per the findings, 58% of Americans now say they’ve heard of Bitcoin. Meanwhile, more Google searches were found for “Bitcoin” than high-volume search terms like “election results” and “royal wedding.” What’s more, Bitcoin is now a substantially more queried search term than evenKim Kardashian. At the time of writing, according to Google Trends, Bitcoin has the benefit of a 3:1 search ratio over the celebrity who “broke the internet.” As noted by Coinbase, what better way to measure the strength of Bitcoin’s pulse than by comparing it to the vital social organ that is Kim Kardashian. “On average, Google users have searched for Bitcoin more often than they sought out info on Kim K., and that number is only trending upwards. In late June — as prices climbed — Google searches for Bitcoin surged to almostthree timeshigher than searches for Kardashian.”
Investors scramble to swerve Swiss share trading block after EU row By Josephine Mason, Helen Reid and Michael Shields LONDON/ZURICH (Reuters) - European stock investors and brokers are rushing to find workarounds before Swiss shares are blocked from trading on EU exchanges on Monday after a collapse in talks to resolve a dispute between Brussels and Switzerland. In a heated row over a stalled partnership treaty, Switzerland said on Thursday that it would trigger retaliatory measures against the European Union for forbidding access to its stock markets. That means as of Monday almost 300 shares in Swiss companies, including Nestle, Roche and Novartis, cannot be traded at EU stock exchanges which normally see around 30 percent of the volume in Zurich-listed shares. The Swiss stock market has a market capitalisation of 1.1 trillion euros ($1.25 trillion), more than 10% of the pan European STOXX 600 index's total. While few traders expect the ban to lead to a major market dislocation, some said it could deter them trading. It could also get "trickier and more costly" for investors who do not have direct access to the Swiss exchange, Edward Park, deputy chief investment officer at Brooks Macdonald in London, said. Many investors and brokers were caught by surprise by the ban, saying they were unsure how trading will work. "The only consensus at the moment is confusion," the head of electronic trading at one global brokerage said. "All brokers are coming up with different answers depending on where they're regulated, who your client is, it's a very confusing situation," he added. How the aftershocks of the dispute play out will be closely watched by British officials, as they try to assess how EU shares can continue to be traded in London after Brexit. "It will be interesting to see what happens and see if all the systematic fixes work and go smoothly because that will be the case for the UK going forward," one trader said. Some EU regulators and politicians want to end Britain's dominance of European financial markets, raising speculation that they have opted for a tough line with Switzerland in order to set a precedent. "This is a proxy of what Brussels could inflict on London," said Stephane Barbier de la Serre, a macro strategist at Makor Capital Markets in Geneva. RISING COSTS The proliferation of stock trading platforms in Europe since the 2007 EU MiFID regulation created competition between exchanges, often leading to investors getting better prices. But for Swiss stocks, the choice of venues is set to narrow. "About a third of the Swiss market is traded outside Switzerland; that volume moves back to Switzerland so I can still trade there ... but it's annoying as I can't use all my execution channels the way I did before," said Eric Boss, global head of trading at Allianz Global Investors. CBOE, Aquis and London Stock Exchange's Turquoise platform, which have been handling around 25-30% of trade in Swiss stocks, have said they will cease trading these from Monday, meaning most investors will have to use Swiss exchange SIX instead. One exchange executive said that most investors will find a way to trade, but the overall volume will likely be lower. Most major instititutional investors already have ready access to SIX so can move their business there or else opt to do trade over-the-counter or using some investment banks' own internal trading platforms called "systematic internalisers". Both Swiss and EU officials have indicated the situation is unlikely to be permanent, but it will add an operational headache to investors already grappling with rising costs. ($1 = 0.8783 euros) (Additional reporting by Thyagaraju Adinarayan Huw Jones and Simon Jessop; Writing by Rachel Armstrong; Editing by Alexander Smith)
Rihanna Is Officially the Richest Female Musician in the World Photo credit: Taylor Hill - Getty Images From Town & Country Rihanna did get her money after all. After building an empire with a music career, a beauty line, a lingerie brand, and a high-fashion label, the 31-year-old is officially the richest female musician in the world with a net worth of $600 million , according to Forbes . Here's what you need to know about BadGalRiri's wealth: She's worth more than Beyoncé. The 2019 rankings of America's self-made women puts Rihanna ahead of similar music superstars like Madonna ($570 million), Celine Dion ($450 million) and Beyoncé ($400 million), according to Forbes . She's the 37th richest self-made woman in America. Rihanna follows other power players in Forbes 's annual ranking like Oprah Winfrey (#10 with $2.6 billion), Kylie Jenner (#23 with $1 billion), Tory Burch (#29 with $850 million), and beauty mogul Huda Kattan (#36 with $610 million). Fenty Beauty made about $570 million in 2018. Rihanna's cosmetics company quickly grew after she first launched it in September 2017. According to Forbes , the brand made $100 million in just the first few weeks after launch, and garnered about $570 million in revenue last year. The company as a whole is worth over $3 billion, and Rih is estimated to own about 15 percent of it. In 2018, WWD reported that Fenty Beauty was poised to outsell fellow celebrity makeup lines Kylie Cosmetics, which helped turned Kylie Jenner into a billionaire, and KKW Beauty, owned by Kim Kardashian. Part of Fenty Beauty's success is due to its focus on inclusivity. It launched with an impressive 40-shade range, which was especially appealing for consumers with darker skin tones who didn't feel represented with typical limited cosmetic shades. "I didn’t care how long it took, I was going to make sure that we covered most skin tones," Rihanna told BAZAAR.com before launch. "Diversity and inclusivity are important to the brand." Most of her money comes from LVMH projects. Rihanna might've made her name as a singer, but she really makes bank off of her retail endeavors. She established her high-fashion label, Fenty , through the French luxury goods conglomerate, which also co-owns her Fenty Beauty brand. LVMH is "a machine," the singer and designer described to The New York Times . It also houses designers like Louis Vuitton, Dior, Givenchy, and Fendi. ('You Might Also Like',) 12 Weekend Getaway Spas For Every Type of Occasion What Your Favorite Champagne Brand Says About You Beauty Gurus Share Their Makeup Secrets for Older Women
Marianne Williamson gets her Twitter moment by standing up for love Marianne Williamson stood on the far edge on the debate stage Thursday night and spoke for less than five minutes, but she set social media abuzz. Williamson, a 66-year-old author and self-help guru, soared to the top of the night’s Google searches for candidates and became a trending topic on Twitter. She weighed in on the detention of migrant children, health care and climate change — yet stood out by making the case that outlining policies isn’t enough to defeat President Trump in 2020. “It’s really nice if we’ve got all these plans, but if you think we’re going to beat Donald Trump by just having all these plans, you’ve got another thing coming,” Williamson said. “He didn’t win by saying he had a plan. He won by simply saying, ‘Make America Great Again.’” Presidential candidate and author Marianne Williamson at the Democratic primary debate on Thursday night (Photo: Wilfredo Lee/AP) Williamson is best known for her speeches and books, including the bestselling spiritual guide “A Return to Love.” She previously served as a spiritual adviser to Oprah Winfrey, officiated Elizabeth Taylor’s seventh wedding and made an unsuccessful bid for Congress in 2014 with a campaign anthem written by Alanis Morissette. Top searched #DemDebate2 candidates during the debate. More data: https://t.co/I0WiP7r7bt pic.twitter.com/ghPH611lBW — GoogleTrends (@GoogleTrends) June 28, 2019 She didn’t win that race but attracted attention with celebrity supporters like Kim Kardashian, Katy Perry and Chaka Khan. Williamson is one of many long-shot candidates vying for the Democratic nomination. She beat out three elected officials, Montana Gov. Steve Bullock, Miramar, Fla., Mayor Wayne Messam and Rep. Seth Moulton of Massachusetts, for a spot at the debate. So how does she plan to defeat Trump? With love. “Mr. President, if you’re listening, I want you to hear me, please — you have harnessed fear for political purposes, and only love can cast that out,” Williamson said during the debate. “So, I, sir, I have a feeling you know what you’re doing. I’m going to harness love for political purposes. I will meet you on that field and, sir, love will win.” Story continues Williamson’s statements earned applause from the audience, spawned dozens of memes on social media and became the butt of many late-night hosts’ jokes. Her response to a question about candidates’ first priority if elected president generated perhaps the most attention on Twitter. “My first call is to the prime minister of New Zealand, who said that her role is to make New Zealand the place where it’s the best place in the world for a child to grow up,” Williamson said. “And I would tell her, girlfriend, you are so wrong because the United States of America is going to be the best place in the world for children to grow up.” MODERATOR: In one or two words, what would your first act as President be? BERNIE: Special interests KAMALA: Immigration MARIANNE WILLIAMSON: I was reading a wonderful article in GOOP about New Zealand, — The Daily Show (@TheDailyShow) June 28, 2019 At another point in the debate, Williamson stood out for touting her support of reparations for the descendants of slaves, an issue many candidates have avoided forcefully endorsing. Rep. Eric Swalwell of California was taking a swipe at South Bend, Ind., Mayor Pete Buttigieg for his handling of a recent officer-involved shooting in his city when Williamson cut in. “All of these issues are extremely important, but there are specifics, there are symptoms. And the underlying cause has to do with deep, deep, deep realms of racial injustice,” Williamson said. “Both in our criminal justice system and in our economic system. And the Democratic Party should be on the side of reparations for slavery for this very reason.” Her campaign website mentions, without further explanation, “a $200 billion-$500 billion plan of reparations for slavery, the money to be disbursed over a period of twenty years.” Candidates like Sens. Kamala Harris of California and Cory Booker of New Jersey have proposed policies that aren’t race-specific or considered reparations but could decrease the country’s racial wealth gap. Marianne Williamson enters the spin room, asks what to do (“do I just walk?”) She says it was her first time ever doing this, “it was tough to get anything in” in the debate pic.twitter.com/oDMNjLEx6t — Vera Bergengruen (@VeraMBergen) June 28, 2019 As Williamson entered the spin room after the debate to speak to reporters, she asked what was she supposed to do. “Do I just walk?” Williamson hopes to speak more at the next Democratic primary debate in July. She told ABC News, "I will certainly practice elbowing my way at the next one." Read more from Yahoo News: For several of the Democratic underdogs, the first debate gave a much-needed boost Dear debaters: You don't need a 'breakout moment' to break through Democrats unite at debate in endorsing health care to undocumented immigrants NBC hot mic mars a moment Health care question divides the field Sanders admits he would raise taxes on the middle class to pay for programs
Amazon In-Sourcing Nearly Half Of Its Transportation Needs More numbers have emerged on exactly how quicklyAmazon.com, Inc.'s (NASDAQ:AMZN) disruption of the transportation and logistics is proceeding. On Thursday, Rakuten Intelligence reported that in the months of March and April Amazon carried as much as 45 percent of its own shipments. Rakuten Intelligence is the big data and business intelligence subsidiary of Rakuten, the electronic payments and e-commerce giant of Japan. In January 2017, Amazon was handling just 15 percent of its own shipments. "During the 2016 holiday season, Amazon handled 8 percent of its final-mile shipments – that number increased to 20 percent in 2017 and to 30 percent in 2018," Rakutenreported."This year, in March and April – an off-peak time of the year – Amazon is carrying as much as 45 percent of its own shipments. In just a few years, the largest online retailer has methodically shifted its share of volume from carriers like USPS to its in-house delivery service." (Chart: Rakuten Intelligence) Amazon now employs more people thanFedEx Corporation(NYSE:FDX),UPS Inc.(NYSE:UPS), or the United States Postal Service, according to Rakuten. Amazon's headcount now tops 648,000, growing its work force by 5.5 times since 2013. Armstrong & Associates pointed out in its yearly 3PL report that if Amazon was considered a third-party logistics provider — and we think it should be — it would have the second-largest warehousing operation in the world after DHL Supply Chain and Global Forwarding. Amazon manages about 233 million square feet of warehouse space, more than XPO (190 million) and less than DHL (248 million). Amazon freight flows through that logistics infrastructure network — which now totals more than 390 structures, according to Rakuten — on 50 planes, 300 trucking power units, and 20,000 Sprinter vans. Thousands of Amazon trailers, now a common sight on U.S. interstate highways, are being hauled by Amazon's contracted carriers, many of them sourced throughAmazon's digital freight brokerage platform. Several American transportation companies have been caught off guard by the explosive growth of Amazon's logistics capabilities.XPO Logistics Inc(NYSE:XPO) guided revenue down when Amazon pulled hundreds of millions of dollars worth of postal injection business from the less-than-truckload carrier. FedEx, which had considered Amazon a valuable customer just a year ago, publicly broke up with the e-commerce retailer earlier this month, saying that its Express division — its largest business unit consisting of air cargo and next-day delivery — would no longer do business with Amazon. FreightWaves' proprietary research group, Freight Intel, has published an in-depth study of Amazon's impact on the transportation and logistics sector, research that is now live on the FreightWaves SONAR platform. One of the findings from that study suggested that trucking carriers perceived Amazon's entry into freight brokerage more negatively than they perhaps should, while shippers were not taking the threat seriously. The theory was that Amazon would have to pay carriers something close to market rates to ensure that capacity showed up, while any shipper using Amazon's logistics services would be foolish to give up control of its supply chain data and freight to one of its most ruthless competitors. However, recent reporting by Business Insider has confirmed that indeed,Amazon is paying trucking carriers below-market ratesand that drivers who are happy to order personal goods from the e-commerce company are unwilling to haul freight for it. Even as Amazon has gradually raised rates on its Prime subscriptions by 50%, from about $80 to $120, its operations have gotten sloppiers as it has scaled. According to Rakuten, in 2017, about 5% of items arrived late, while in 2019, that number had tripled to 15%. Amazon Prime's performance has been more or less efficient over the years as Amazon uses it as a high-pressure laboratory to understand and work through the bottlenecks in its network. According to one ex-Amazon executive who corresponded with FreightWaves, Amazon's in-sourcing of its logistics capabilities was initially driven by fear. Amazon did not want transportation capacity to constrain its growth, and feared its lack of control over a fragmented, volatile industry. Amazon entered transportation to survive, is now disrupting the industry by disintermediating its previous transportation providers, and has already begun monetizing the network built up, leveraging a stealth-mode digital brokerage platform to generate revenue by filling backhauls and repositioning its trailers. "That's the true Amazon flywheel: disintermediate to survive; monetize to fund innovation; innovate to grow; disintermediate to survive," the executive wrote to FreightWaves. Image Sourced From Pixabay See more from Benzinga • Tech Front Runner CargoMetrics Opens Up On Its Game Plan • Today's Pickup: A Tale Of Two Truck Stops • Volkswagen Truck IPO Dips Below Low-End Of Range © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Istanbul's new mayor 'prepared' for government restrictions ISTANBUL (AP) The new mayor of Istanbul said Friday he is ready to work with Turkish President Recep Tayyip Erdogan but that he was also preparing to deal with any attempts by the government to restrict his powers. Speaking to international media in Istanbul, Ekrem Imamoglu said the government had already put into practice new regulations to bypass the mayor in appointments to municipal companies and to give authority to municipal assemblies where Erdogan's party has a majority. The mayor said such measures were against the current laws governing local government. "We are prepared even for the most risky situations," said Imamoglu, who won last weekend's rerun definitively. "Right now I am the Metropolitan Mayor of Istanbul and Mr. Erdogan is President. I think we can contribute great things to this country and the city by coming to an agreement." Imamoglu was elected mayor for a second time Sunday after Turkey's electoral board annulled the results of the March 31 polls in Turkey's largest city. He beat his opponent, the government candidate Binali Yildirim, with more than 806,000 votes. Days before the election's re-run, Erdogan hinted that the judiciary could investigate Imamoglu, who represents the opposition Republican People's Party, for allegedly insulting a public official. Since his stunning victory, which represented a major setback for Erdogan, the president quickly congratulated the mayor. And in a speech Thursday in Japan where he is attending the Group of 20 leaders' summit, Erdogan struck a somewhat conciliatory tone in, saying his party would support "realistic projects to the benefit of Istanbul." "But we will never support unacceptable projects for the benefit of Istanbul." Earlier Friday, the leader of Imamoglu's party in Istanbul went on trial on numerous charges, including insulting the country's president and allegations of terror propaganda, with sentences up to 17 years in prison. Story continues Canan Kaftancioglu has called the trial, which was adjourned until July 18, "politically motivated." Imamoglu echoed her position and said he stands with Kaftancioglu "until the very end." The mayor has been busy since his victory, outlining plans to combat Istanbul's paralyzing traffic and citywide poverty. He is also looking to address the issues of refugees living in Istanbul. Over half a millions Syrian refugees live in the city. ___ Associated Press television news editor Ayse Wieting in Istanbul contributed to this report.
Lori Loughlin Is Second Guessing Decision to Plead Not Guilty, Feels 'Very Much Alone,' Source Says Lori Loughlin "feels very much alone" amid the college admissions scandal, a source tells ET. The 54-year-old Fuller House star and her husband, Mossimo Giannulli, are accused of paying $500,000 in bribes to get their daughters , 19-year-old Olivia and 20-year-old Bella, admitted to the University of Southern California as recruits for the crew team, even though neither of them participated in the sport. They have pleaded not guilty on all charges. "While a few friends have stuck by her side, many others have cut her off," the source claims. "She still feels it’s a huge misunderstanding, but seeing others be sentenced has scared her." "She is watching the reduced sentences of those who have taken plea deals, and wondering each day if she’s made the wrong decision," the source adds of Loughlin, who, along with Giannulli, reportedly rejected an initial plea deal. The source also notes that "Lori has no choice but to hang in there and do the best she can." "She is trying to live a normal everyday life and to take this time to stay strong but it isn’t easy. Lori doesn’t have the support she once had. She is feeling a 'fall from grace' having had a persona as a wholesome mom and now being seen as a pariah," the source says. "People keep giving Lori a hard time for being out and about and looking carefree, but she realizes that she might end up in prison and this might just be her last months of freedom for some time." "This has been such a tough time for her, she has had good days and bad but right now the reality that she is facing jail becomes more real," the source adds of Loughlin who, a source previously told ET , believes she "doesn't deserve" jail time for her alleged involvement in the scandal. Meanwhile, the source says, Olivia has gotten back together with Jackson Guthy, her boyfriend who, ET previously reported , she split with last month. Story continues "Olivia is seeking support from her friends," the source says of the YouTube star. "She and her boyfriend have reconciled for the time and spending time with him helps to separate her from the situation." A previous source told ET that Olivia's friends were "shocked" by her split with her beau, whom she was linked to before the scandal. "Olivia’s friends were shocked when her relationship ended with her boyfriend because he was actually great for her and was a real support," the source said. "He's pretty low-key and wanted to help her stay out of the limelight and move on." As for Olivia's relationship with her mom, a source told ET last month that things are still on shaky ground. “Olivia is having a very hard time dealing with this, and for the most part, she's cut herself off from her mother and is going out and partying a lot," the source said. "She feels she hasn't been a part of any wrongdoing and feels tricked by her parents into going to a school that wasn't even her top choice. Right now she wants to prove she can do it on her own, and she thinks going back to school will help renew her image.” “[But] Lori and Bella have remained incredibly close throughout and have been a wonderful support to one another," the source added of Loughlin's older daughter. "Their closest friends feel it's been devastating to watch the effects this situation has had on their family and their relationships. They fear if their plan doesn't work in court, it will break them up even more." Watch the video below for more on the scandal. RELATED CONTENT: John Stamos Talks 'Difficult' Lori Loughlin Situation and the Future of 'Fuller House' (Exclusive) Candace Cameron Bure on Plans to Address Lori Loughlin's Absence on 'Fuller House' Lori Loughlin's Daughters Spotted Together at Nightclub for First Time Since College Admissions Scandal Related Articles: Hollywood Bikini Bods Over 40 Biggest Celebrity Breakups of 2019 -- So Far! Celebrities in Their Underwear
Massive 13-foot shark spotted alarmingly close to Florida beach We're gonna need a bigger boat. A massive hammerhead shark was spotted near a popular Florida beach one Tuesday, sparking fear and awe among visitors. Photos of the shark shared by the Navarre Beach Fire Department show the approximately 13-foot creature swimming just a few feet away from the shore as beachgoers peer at its fin looming just above the surface. Christina Reinholt, who lives in Navarre, shared footage of the encounter on her Facebook page, showing the large hammerhead swimming through a pool of blood, just after it reportedly attacked and killed a tarpon, a large species of fish known to inhabit the Atlantic Ocean. "Lifeguards evacuated the water and some beach goers [sic] got the experience of a freaking lifetime," Reinholt wrote. According to the International Shark Attack File , humans have been subject to just 17 documented attacks by hammerhead sharks in recent history, with no human fatalities attributed to the species. National Geographic reports that about 50 to 70 confirmed shark attacks occur around the world each year, with about 5 to 15 proving fatal. Although the numbers have steadily risen over the past several decades, researchers attribute the growing trend to the increasing number of humans flocking to coastal waters rather than to escalating shark aggression. However, while sharks on average kill fewer than 15 people annually, it is estimated that between 20 and 100 million sharks die each year due to human fishing activity.
Coming Off Paris Air Show High, Here's What Boeing Must Do to Get the 737 MAX (and Its Business) Back in the Air Talk about turbulence. Boeingsaw astunning moment of redemptionat last week’s Paris Air Show; then returned home to FAA reports of yet another potential flaw in the 737 MAX’s software. But beyond fixes to the plane itself, the company’s larger issue may be much more basic: Nick Hennen. This media relations advisor from Richland, Washington travels frequently—twice a month over the last year. The big question is whether he’d ever again climb into a MAX. “I’m beyond convincing,” he said. “It’s too hard to put trust in something that failed twice in fatal accidents. I don’t see myself ever feeling comfortable flying in a MAX.” It’s a trust thing, and if enough passengers don’t have it, nothing else ultimately matters. Investors have felt the hit. After the Lion Air crash in late October 2018, shares dropped from $369.44 on Nov. 5 to $304.55 by Dec. 17. Confidence did return and the stock climbed to reach a closing high of $440.62 on March 1, 2019. The second crash, of an Ethiopian Airlines flight a few days later, sent things into a nose dive to $341.61 on May 27. Again, the stock began to rise and reached $371.84 when the company announced alarge sale of the 737 MAXat the Paris Air Show last week, asFortunepreviously reported. Then came the FAA finding of the new software problem and Boeing’s stock is back to $365.65 by noon on Friday: enough ups and downs for an acrobatic air show. Fortunespoke with experts from different fields to see what Boeing must do to navigate the turbulence. A potential source of trouble in developing the 737 MAX was arush to beat competitive pressurefrom Airbus, as theNew York Timeshas reported. Now there’s pressure to fix whatever is wrong. To rectify all issues, Boeing should take the time to regain control over it’s processes, thinks Sridhar Tayur, a professor of operations management at Carnegie Mellon University’s Tepper School of Business. “Beoing needs to go back and make sure its processes, quality controls, and feedback from people are working, that it’s not another management slipup,” Tayur said. “If you’re in a rush to get things done, they’re not thinking about how things will go wrong.” Aerospace makes heavy use of technology, but it’s seen as a useful tool when it’s become something more. “We don’t typically think of Boeing as a technology company, but they need to take their dependence on technology a lot more seriously now than ever before,” said Josh Swartz, a principal at global management consulting firm A.T. Kearney. “This means that they very likely need to invest a lot more heavily in their technology—tools and people—than they historically have. They typically view technology as a cost center rather than a profit & loss (P&L), which is sort of like how we treat accounting or legal, not strategic to the business.” Automated systems have been common in planes for decades. But many observers think that balance has swung too far towards automation and being a technology company doesn’t eliminate the human factor. If anything, attention to how people use equipment and software becomes even more important. “Aircraft manufacturers need to stop treating humans as nothing more than sources of error,” said Cecilia Aragon, director of the Human-Centered Data Science Lab at the University of Washington and holder of a commercial pilot license for 30 years. “Years of research have demonstrated that the cockpit is safest and most efficient when considered as a socio-technical system with both pilots and automation contributing, each according to their individual strengths, to the safe operation of the airplane. Whenever automated systems have attempted to remove the human from the loop, accidents eventually occur.” Aragon suggests that Boeing and others in “safety-critical environments” hire user more experience specialists who understand the interactions between humans and machines. The story consumers are hearing is a combination of “Boing reporting to us and rumors and speculation,” said Thomas Cooke, distinguished teaching professor of business law at Georgetown University’s McDonough School of Business. For example, there were “rumors” about wing problems. “That’s a problem with the lack of transparency,” Cooke said. “We have become over the years very dependent on the airlines policing themselves. It’s incumbent on Boeing, the FAA, and the airline to assemble a team with a broad group of pilots. I think the American consumers have more confidence in what the pilots say than Boeing.” The usual advice about crisis communications has run out of steam. “They’ve gone through all the usual suspects public relations and credibility building tools,” said Scott Sobel, senior vice president in the crisis and litigation communications group of PR firm kglobal. They also face “legal and liability issues … so they can’t shoot from the hip.” Sobol says Boeing executives need to get other people out front. “And people who are more credible if you will because they are not top executives in the organization,” Sobel said. “There’s a perception that someone turning wrenches is going to speak more honestly than someone sitting in a corner office.” He suggests a “multi-level media campaign” that could include commercials, pages taken out in large influential newspapers, and “social media interviews with these folks to talk about their commitment to integrity, safety and trust.” It’s a bumpy path, but perhaps the only way to get the company back to smoother skies. —Slack went publicwithout an IPO. Here’s how a direct offering works —4 reasons to beskeptical about Facebook’s Libracryptocurrency —Bank of America CEO: “We want acashless society” —Fintech startupTally has raised $50 millionto automate people’s finances —Listen to our new audio briefing,Fortune500 Daily FollowFortuneon Flipboardto stay up-to-date on the latest news and analysis.
FreightWaves Forecast: Ongoing Wildfires, Severe Storm Threats Fire weather continues:Wildfires have been burning in several western states for several weeks. More fires could spark, and existing fires could spread rapidly. Because of windy and very dry conditions, the National Weather Service (NWS) has issuedRed Flag Warningsfor the Las Vegas metro area, as well as northern Arizona (including Grand Canyon National Park) and spots along the Utah-Colorado border. The risk of wildfires is particularly high for these areas today, and smoke may get thick enough to reduce visibility at times. More stormy weather:Another round of strong/severe storms could give drivers a hard time early today and again tonight from Montana into North Dakota. Storms will be scattered along and east of I-15, as well as along and north of I-94, producing large hail, powerful wind gusts and torrential rain in places such as Great Falls, Glasgow, Glendive, Minot, Bismark and spots in between. Isolated strong/severe storms will also cause minor/moderate delays this morning and tonight from Iowa to lower Michigan. This includes Cedar Rapids, Des Moines, Milwaukee, Chicago and Detroit. Finally, a few strong/severe thunderstorms could pop up tonight across Louisiana, southern Arkansas and western Mississippi, slowing down drivers on portions of I-20, I-30 and I-55. Tropical update:Tropical Storm Alvin is still spinning several hundred miles off the Central American coast. Winds have increased to 70 mph, but are forecast to weaken as the storm moves westward over the weekend, farther away from land. Image Sourced by Pixabay See more from Benzinga • Port Report: Los Angeles Taken To Court Over Failed Port Project • US Supreme Court Decision Could Save Vessel Owners Millions • Flooding And Transport Issues Behind Month-Long Grains Rally © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Setting Up a Fake Restaurant on Uber Eats Is Disconcertingly Easy, According to the BBC Back in 2017, a writer for Vice made international headlines by launching what was essentially a fake restaurant out of his shed in London and then gaming the system to land the city’s #1 spot on TripAdvisor . Though both revealing and shocking, the stunt was ultimately harmless: TripAdvisor is a review site , so worst case scenario, a few duped diners were left upset by the prank. But yesterday, the BBC revealed it had created a similar but more disturbing scenario on another major restaurant industry player: The British news organization opened a fake restaurant on Uber Eats and delivered a meal without any real oversight whatsoever . In a brief but impactful two and a half minute video, the BBC opens a “restaurant” by making burgers on a charcoal grill in their small London front yard. They dub the business the “Best Burger Corporation” (or BBC, get it?). “We wanted to see how easy it was to trade on the Uber Eats platform ,” the video states. “So we made up a [restaurant] name, created a menu and applied online. Uber Eats asked if we had a council hygiene rating. We said we would get one soon. A few days later we were sent equipment to start trading. There had been no identity checks.” Mark McGlinn, a food safety expert who was in on the experiment, placed an order from the Best Burger Corp, and indeed, not long after, the video shows an Uber driver picking up a burger from the front yard grill and delivering it to its destination. “I am astonished by what I saw, but also, very, very alarmed,” McGlinn says. “We're in desperate times, it seems to me, if very, very large food delivery platforms can be operating in this way.” “I am almost speechless with horror about that,” Heather Hancock, chair of the Food Standards Agency, later tells the BBC. For their part, Uber Eats sent a statement to the BBC, writing, “We are deeply concerned by this breach of our food safety policy and have taken immediate action to update our sign-up requirements. It is unacceptable that a restaurant that did not meet our requirements was able to use the platform. We are working hard to ensure this does not happen again.” Story continues SOPA Images/Getty Images Meanwhile, businesses operate differently in different countries, so the question becomes could a similar thing happen here in the U.S.? And if so, what is Uber Eats doing to rectify the situation on this side of the pond? We’ve reached out to Uber Eats and will update if and when we hear back. UPDATE 7/2/19: Specifically asked whether what happened in the United Kingdom could also happen here in the United States, Uber Eats replied with the following statement: "As outlined in our Community Guidelines, restaurants are required to meet all relevant licensing requirements and to follow all food regulations—including food safety regulations. Restaurants must maintain valid restaurant licenses and/or permits. Any restaurant found to be without license or following local laws would be deactivated."
AOC says Republicans weaponizing socialist label to dampen Dems' working-class agenda New YorkDemocratic Rep.Alexandria Ocasio-Cortez on Friday accused Republicans of weaponizing the “socialist” label against her party as a means to dampen its reform efforts targeting working-class Americans. In a series of tweets posted on Friday, Ocacio-Cortez said branding Democrats as socialists is a strategy that dates back decades, adding that Republicans have “no idea” what economic democracy is. Economic democracy is founded in the idea that workers within organizations should have a stronger voice – keeping the current market system in place. It would also ideally give workers a bigger stake in company profits. Independent Vermont Sen. Bernie Sanders, for example, recently attended retail giant Walmart’s annual shareholder meeting to propose allowing hourly workers to have representation on the company board. He has made other, similar proposals aimed at giving workers a more prominent role within large corporations. Ocasio-Cortez added this Republican line of attack got Democrats to kill the public option “years ago,” saying she wished her party was as “bold” as Republicans make them out to be. Ocasio-Cortez is among a number of progressive politicians who have embraced the label of “Democratic socialist,” in addition to Sanders – a 2020 Democratic hopeful. Sanders was recently forced to defend his definition of Democratic socialism, where he said during a speech in Washington, D.C. that President Trump and his allies don’t oppose all forms of socialism – just Democratic socialism, because it consists of reforms to help working-class people. He referenced President Franklin Delano Roosevelt’s “New Deal” for creating a “government that made transformative progress in protecting the needs of working families.” Sanders’ goal, he said, was to carry on FDR’s “unfinished business.” “We must recognize that in the 21st century, in the wealthiest country in the history of the world, economic rights are human rights,” he said. “That is what I mean by Democratic socialism.” Sanders’ embrace of socialism has set up a key discussion heading into the 2020 election, as politicians and Americans try to weigh its merits against capitalism. It was therefore no surprise that it was featured as a prominent topic during the second round of Democratic debates in Miami on Thursday, where some candidates – including former Colorado Gov. John Hickenlooper – said branding the party as socialists could lead to Trump's re-election. CLICK HERE TO GET THE FOX BUSINESS APP Some of Sanders’ more progressive policies include transitioning to a single-payer health care system, eliminating student debt for millions of Americans and scrapping tuition at public colleges and universities. The Vermont senator admitted on Thursday that the middle class would have to pay more in taxes in order to implement some of his top policies. Related Articles • Fmr. Notre Dame Coach Lou Holtz Predictions for Trump vs. Media • Trump May Have Dropped Another Clinton Bombshell • Carson: Trump Could Destroy Obama's Legacy
Best 4K TV deals for the weekend of June 28 Guys, July is in a few days. Don't mind us, just having an internal panic. There is one upside, though: All of the beststreamingreleases come out mid-summer. We never thought we'd get to say this, butStranger Things 3is just a few days away — followed by the final season ofOrange is the New Blackon July 26. SEE ALSO:What's coming to Hulu in July 2019 If you're going to be using every waking moment to binge-watch the new releases, you might at well do it on a4K TV. (How else are you going to see the dark scenes inStranger Things?) There are some seriously good deals sprinkled acrossAmazon,Dell, andWalmartthis weekend, including $600 off a65-inch Samsung QLED TVand $1,000 off an82-inch Sony Bravia TV.Read more... More aboutHome,Sony,Streaming,4k Tv, andMashable Shopping
Border bill exposes Dems' rift over limits of fighting Trump WASHINGTON (AP) Congressional Democrats have convulsed into their deepest and most bitter rifts since taking House control in January, and it took a motherhood and apple pie issue like improving horrific conditions for children and other migrants seized crossing the southwest border to do it. Lawmakers overwhelmingly sent President Donald Trump a $4.6 billion package on Thursday that bolsters care for the tens of thousands of arrivals taken into custody monthly and imposes guidelines on how the Trump administration must handle them. But the measure dealt a blow to House Speaker Nancy Pelosi , D-Calif., who was forced to accept weaker legislation than she and many liberals wanted, and it generated shockwaves across her party. It pitted House and Senate Democrats against each other and highlighted discord between the House's sizable progressive and centrist factions. It showed that Pelosi faces a challenging balancing act that goes well beyond coping with a handful of vocal, liberal freshmen like Rep. Alexandria Ocasio-Cortez, D-N.Y. The fight suggested that similar power plays between the liberal and moderate blocs could arise, complicating Democrats' efforts to address marquee issues like health care and climate change . And it echoed problems faced by recent Republican speakers when they controlled the House and saw priorities derailed by members of the GOP's hard-right, often unyielding House Freedom Caucus. "It is not good for our unity," said Rep. Pramila Jayapal, D-Wash., a liberal leader, adding, "This is a very rough patch." While both chambers of Congress approved the package by lopsided margins, Senate Democrats led by Minority Leader Chuck Schumer backed it overwhelmingly, with just six Democrats voting "no." They argued they'd cut the best deal they could in the Republican-controlled chamber, where the rules virtually force the two parties to compromise if legislation is to pass. Story continues "You've got a 30-1 vote," said Sen. Patrick Leahy, D-Vt., Senate Democrats' chief negotiator on the measure, citing the Appropriations Committee's overwhelming approval, which presaged the Senate's 84-8 final passage. "Around here these days you couldn't get 30-1 that the sun rises in the East." Yet when the House voted 305-102 to send the measure to Trump, Pelosi's Democrats split 129-95 for the measure. Even many who backed it did so grudgingly, reflecting the pull between helping children who have been stockaded in overcrowded, squalid facilities and a deep distrust of how Trump will actually use the funds. House Democrats accused their Senate counterparts of killing their leverage to strengthen the measure by backing the legislation so strongly, and even the usually measured Pelosi couldn't resist a dig. "We will not engage in the same disrespectful behavior that the Senate did in ignoring the House priorities," she said. "In order to get resources to the children fastest, we will reluctantly put the Senate bill on the floor." House Democrats were riven internally, with moderates saying liberals were living in a dream world if they thought they could force Republicans to alter the bill. Veteran Rep. John Yarmuth, D-Ky., said the outcome had long been obvious, comparing it to Western movies with a predictable outcome. "But there were some in our caucus who didn't like the ending that was inevitable," he said. Countered Rep. Raul Grijalva, D-Ariz., a top liberal, "Our efforts to try to make this bill much more humane than it is now were basically thrown under the bus" by moderates. Progressives wanted to buttress the measure with provisions preventing Trump from transferring money to toughening border security or buying more beds so authorities could detain more migrants. They also sought language strengthening requirements for how migrants are cared for and making it easier for members of Congress to make snap visits to holding facilities. But swing district moderates, worried they'd be accused of weakening immigration law enforcement and needlessly delaying the aid, warned early Thursday that they would oppose adding such provisions to the bill. It was already clear that any House changes would die in the Senate, where overpowering bipartisan support for the Senate bill made it what Senate Majority Leader Mitch McConnell, R-Ky., called "the only game in town." Holding almost no cards, Pelosi abruptly brought the Senate-approved bill to the House floor, without the revisions, infuriating progressives. "I honestly think they do not understand, or they are callous to, the needs of holding the administration accountable," said Jayapal, expressing her rage at Senate Democrats. Spotlighting Democrats' internal turmoil, 24 members of the Congressional Hispanic Caucus voted against the measure and only eight supported it. The group, for whom immigration and improving the treatment of migrants are top priorities, called the bill "a betrayal of our American values" in a statement. "We have a president who is very untrustworthy, and giving him a blank check is very frightening for me," said Rep. Veronica Escobar, D-Texas, who opposed the measure. In an indication that the fight could have personal repercussions among Democrats, Escobar said of moderates, "I wish even one of them had spoken to me." When it was over, moderates reveled in the clout they'd wielded over the more highly publicized progressive wing of the party and said the day had delivered a message to leaders about issues lying ahead. Rep. Jeff Van Drew, D-N.J., said of his fellow centrists, "their votes are needed and their thoughts are needed." ___ Associated Press writers Andrew Taylor and Matthew Daly contributed to this report.
Apple's last major device made in U.S. will now be made in China Apple's new Mac Pro is notable for a number of reasons. The $6,000 beast famously resembles acheese graterand probably will never be used by most people. It might also be the end ofApplemanufacturing products in the United States. The Wall Street Journalreported on Friday that Apple would move production of the newMac Proto China. Back in 2012, Apple CEO Tim Cookmade a big to-doabout building the Mac Pro in the U.S. According to theJournal's sources, contractor Quanta Computer Inc. will handle manufacturing near Shanghai. While consumers are unlikely to tell the difference, it could land Apple in trouble with the Trump administration.Read more... More aboutApple,China,Donald Trump,Tim Cook, andMac Pro
Visa To Acquire Verifi Visa Inc(NYSE:V)will acquireVerifi for an undisclosed amount. Verifi is a payment protection and management firm founded in 2005. The combination of Verifi’s dispute resolution tools with Visa’s risk and fraud management tools will give buyers and sellers data-driven tools. "Facilitating trust and transparency across the buying experience is core to Visa's brand promise and Verifi's technology and expertise will extend these capabilities to more partners across the payments ecosystem," said Mary Kay Bowman, global head of seller solutions, Visa. Visa shares traded up 0.5% at $171.94 on Friday afternoon. The stock has a 52-week range between $174.94 and $121.60 per share. Related Links: Visa Will Acquire Payments Portfolio From Rambus Report: Facebook's Planned Cryptocurrency Has Visa, PayPal, Others On Board See more from Benzinga • Visa Will Acquire Payments Portfolio From Rambus • Cramer: Facebook's Expected Crypto A Pivotal Catalyst • Report: Facebook's Planned Cryptocurrency Has Visa, PayPal, Others On Board © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
How To Measure A Hyper-Casual Game's Trajectory to Success [Industry Contributor] Sven Lubek,Fri, 28 Jun 2019 16:29:00 As you're building your next hyper-casual game, it's important to start thinking early on about the metrics that will help you understand how your game is performing against your objectives—in other words, establishing your Key Performance Indicators (KPIs). Determining your game's value and assessing its performance starts with knowing which KPIs are the right ones that you should care about and track. There are two key areas to consider grouping these KPIs into: In-App Performance (IAP) and User Acquisition (UA). In-App Performance metrics offer you the day-to-day snapshot of where users are dropping out of the game, so that you can focus on extending the life cycle of players and their Life Time Value (LTV). There are several fundamental KPIs in UA that you should be monitoring every day, as they give you an accurate reflection on the overall success of your game and what areas may need modifying. Below are the top KPIs we recommend monitoring in your hyper-casual game, in order to drive ongoing success. We map out the user funnel and guide you through the user journey through the game and into monetization: For your game to get discovered and for your app to stand out stronger, boost your ASO (App Store Optimization). It enables your app to become more relevant for the keywords that represent your game within the algorithms of the App Store and Google Play. As a result, should start getting more organic installs from users that are looking for a game like yours (high-value users). After making the ASO updates, you will also start seeing lower CPI's, as you are still relevant for what your game is offering. As they are organic installs, the users are more targeted users: so you can get better retention from them, and therefore, more revenue. Conversion rates of the App Store for hyper-casual games are: • CR: From the store page visitors to installs, the CR benchmark is from 20 to 30% • CTR: from an impression to the click, the CTR benchmark goes from 2.5 to 4% for games in general • CPI: from 0.02 (tier 3 countries) to 0.5 (tier 1 countries) Now that your ASO is in place, we can look at CPI. CPI is the amount you spend for a paid install (e.g. on Facebook Ads campaigns) and is extremely important to monitor and measure. You pay once the app is installed, rather than the advert being viewed. A low CPI leads to more budget that can be spent on UA to drive more traffic to your game. It can also act as a flag for indicating the overall appeal of your ASO (landing page). A high CPI could be the result of many factors within your campaign set-up. For a successful CPI campaign set-up, ensure that you have developed the right creatives and messaging for the right target group and country. All the creatives you have in place and ASO should be tailored to that target group and reflect their needs, from the text (e.g. call-to-actions) down to the design. For example, the style should reflect the target user and remain consistent across the different channels. Organic uplift is a way to measure the relationship between paid and unpaid (organic) app installs, calculated as the number of organic users acquired per each non-organic user. The higher the organic uplift, the more organic installs and, so, the lower effective CPI. Essentially, it tells you if the market you are targeting actually like the game and whether you will have success with the game in the mid/long term. For hyper-casual games, this KPI is really important because if you don’t track your organic installs, once you decrease your UA investment, the keywords you rank for will decrease as well. Your app store ranking will then decrease as a result, organic downloads will decrease and your CPI will be higher. Note that if you are ranked for the main keywords your market is interested in, Google and iOS algorithms will give you a lower CPI, resulting in better conditions to keep acquiring users. The retention rate of your game is one of the most important KPIs because it shows the overall stickiness of your game and the retention of every user who downloads your game. For hyper-casual games, you’ll want to play close attention to retention rates on Day 1 and Day 7. For all other games, it’s critical to monitor retention rate on Day 14 and Day 30 as well. This metric can act as a red flag to indicate whether there are areas of your game requiring change. For example, a low rate on Day 1 may mean that your game is not challenging enough for the user and thus the user doesn’t return after the first session. A promising Day 1 retention rate, but low rate on Day 7 may indicate that while your game is engaging at first, it lacks incentive for the user to return after time has passed. As a result, you may want to increase the difficulty of some levels or implement a daily reward in order to encourage players to return. Benchmarks of good retention for hyper-casual games would be: Day 1 Retention: 40% of the users acquired on Day 0; Day 7 Retention: 15% of the users acquired on Day 0. Also referenced alongside ARPDAU (average revenue per daily active user), ARPU is one of the most popular and most important monetization indicators in gaming. It's the amount of revenue driven from one player on average. It's calculated by dividing the revenue for a selected time period by the active users from that time period. Normally, you would build cohorts of the user, that for example start on the same day and look at their ARPU. It does not make sense to look at overall users because in the early stages of your game, you want to focus on how your game concept is performing, rather than revenue. You’ll want to focus on other metrics such as retention, session length, stickiness and number of sessions, because this indicates that your game is fun and engaging for players - which is critical in building up your player base. Once you see that your game performs well and it matures in the market, you will have more of a player base, so you can start thinking in the revenue you are getting from your users. Then it’s even more critical to look at ARPU regularly as an indicator of LTV. Keep track of the ARPDAU, as it will help determine the limits for your CPIs. It will also give you a better understanding of the daily behaviour of your users and make it easier to know your LTV. The LTV gives you the limits of how much you should pay for each user you get into the game (paid installs). Now that you find yourself at a more advanced stage of the game user acquisition journey, you can consider the LTV. Ensure that you have the ad monetisation networks, conversion rate and retention already optimised. So, to have a game that makes revenue, your CPI should be lower than the LTV. Last but not least, you’ll want to consider ROAS. Similarly to the LTV and CPI explained above, this KPI will gather together the sum of both, acting as a final conclusion and parameter for success: whether the game is generating revenue or not. eCPM is the cost that ad networks pay per thousand ad impressions in an ad space within your game. It’s an important metric to measure, as it represents the overall effectiveness of your game and the quality of users that you’re attracting to it. The higher the quality of users are as a result of UA, the better your overall eCPM will be from ad networks, and the higher your overall revenues will be. While it’s important to keep in mind differences in gameplay style and type that would result in different benchmarks for these metrics, overall these are the right metrics to monitor across all genres of gaming. Setting benchmarks for your hyper-casual game across acquisition, user behaviour and monetization performance will give you a guiding baseline for understanding your game’s chances of success, where and when adjustments need to be made, so that you can extend the lifetime value of your players and drive sustainable long term growth. • Redhill Games raises $11.4M, will reveal debut title next year • Remedy gets massive royalty payout alongside publishing rights to Alan Wake • Watch: What the mobile industry has learned from World of Tanks • My Friend Pedro already 'more than profitable' with 250,000 units sold in first week
Google's next undersea internet cable will link Africa and Europe Google has announced its third private undersea internet cable will run between Europe and Africa. One end will make landfall in Portgual. While you might expect the cable would connect to Morocco, it'll run all the way down the African coast to South Africa, with pit stops in other nations. The Portugal-South Africa portion of the Equiano cable should be up and running in 2021. It's named after writer and abolitionist Olaudah Equiano, who was born in Nigeria -- a likely port of call for an extension of the cable. Google says it has invested $47 billion over the last three years to bolster its tech infrastructure. Equiano is the 14th cable it has a stake in overall, and Google's third private international cable project. The first, Curie, was completed in April and runs between Chile and Los Angeles. The other cable, Dunant, will link France and the US and should be online next year. Such cables are vital for connectivity, as they shuttle around 99 percent of the planet's data traffic. The Equiano cable, which will be installed by Alcatel Submarine Networks, is a little different from the others, according to Google. "Equiano will be the first subsea cable to incorporate optical switching at the fiber-pair level, rather than the traditional approach of wavelength-level switching," it wrote in a blog post . Google also claimed it'll have around "20 times more network capacity than the last cable built to serve this region."
Corrected: Boxing with giants - Italy's packing robots are not just cardboard cutouts (In June 28 story, Corrects Romaco's nationality to German, not Italian, in paragraph 17) By Silvia Aloisi CITTÀ DI CASTELLO, Italy (Reuters) - Amazon's new recruit comes from a medieval walled town in central Italy and can box and seal at least 600 items of different shapes and sizes every hour. Twenty-four hours a day, seven days a week. That recruit is the CartonWrap, brainchild of CMC, a small firm that is just one of 630 Italian companies making automated packaging machines - one of Italy's fastest growing industries, raking in nearly 8 billion euros in 2018, or about a quarter of the world market. Machinery is Italy's top export, worth almost 50 billion euros ($57 billion) last year and a rare bright spot for a stagnant economy plagued by low productivity and high unemployment. And leading the pack is - automated packaging - growing nine times faster than the economy as a whole, according to the trade association UCIMA. "We doubled our turnover in the last three years and I think we will double it again in the next three years," said CMC Chief Executive Francesco Ponti. His father, Giuseppe, a technician with a local packaging company, founded CMC in 1980 in a domestic garage not far from the frescoed 16th century palazzi of Città di Castello. It now employs 300 people and has revenues of 50 million euros - thanks mainly to CartonWrap, which measures goods coming down a conveyor belt through a scanner and wraps each in a custom-made box. Both Amazon and Walmart are customers, though Ponti said client relationships were confidential. Others include the Italian fashion group Gucci, the French retailer Leclerc and the Dutch online shop Bol.com. FASTER AND CLEANER At up to 1,000 boxes per hour, CartonWrap machines not only pack much faster than humans; they also save money by reducing packaging waste, CMC says. "We were doing it manually but the problem was handling the volumes," Tim Fronzek, co-founder of the German online retailer reBuy.com, which dispatches up to 25,000 items a day, told a CMC customer presentation. "The machines have allowed us to manage the packaging process more efficiently, and process all outbound shipments in just a few hours with the help of two or three employees." The machines may not eat lunch but they do need breaks, for on-site technicians to fix problems and clean away the excess hot glue that can clog the machine. Production capacity is also limited - CMC can only make five or six machines a month, though it plans to double that soon. "Scale is a problem for our industry and consolidation is already under way," said Maurizio Marchesini, chairman of Marchesini Group, which specialises in packaging for pharmaceutical products. While Italian and German companies dominate the automated packaging market, Chinese competition is growing. The robotics firm Kuka and the Romaco group, both German, have been bought by Chinese firms in the last three years - and across industrialised countries, humans will soon become redundant on many packaging lines. Back at CMC, Francesco Ponti is relaxed. "There are no more people who want to do this job by hand," he said. "If automation grows, the (number of) people who work in automation grow, and the quality of their work will be much better than it is today." ($1 = 0.8785 euros) (Reporting by Silvia Aloisi; Editing by Kevin Liffey)
FTI Consulting Will Acquire German-Based Andersch AG FTI Consulting, Inc.(NYSE:FCN)will acquirethe German restructuring advisory firm Andersch AG. The terms of the transaction were not disclosed. FTI Consulting is a business advisory firm headquartered in Washington, D.C. Andersch AG has offices in Frankfurt, Hamburg and Dϋsseldorf. The acquisition is expected to close during the third quarter of 2019, subject to German regulatory approval. "We have been actively pursuing the opportunity to attract a high-quality restructuring team in Germany, which is one of the largest markets for consulting services in the world,” said Steven Gunby CEO of FTI Consulting. “Moreover, the addition of our new colleagues in Germany will further enhance our leading restructuring positions globally, supporting our commitment to investing behind our core positions of strength." FTI Consulting shares traded around $83.87 at time of publication. Related Links: Puts Purchased on FTI Consulting (FCN) 5 Stocks To Watch For June 28, 2019 See more from Benzinga • Visa To Acquire Verifi • ATA Rallies After Announcing Terms For Acquisition Of Chinese Art Education Company • Cummins To Buy Hydrogenics For Total Value Of 0M © 2019 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Can't wait for that delivery? Amazon, Rite Aid team up to make it easier to get packages Amazon, on a quest to dominate delivery by getting packages to customers as quickly and conveniently as possible, is rolling out yet another option. Starting Thursday, Amazon shoppers can pick up their packages at designated counters inside more than 100 Rite Aid stores, a service that will be available at over 1,500 of the chain's locations by the end of the year. It's the latest salvo in the battle for shoppers. Amazon transformed the retail landscape when it enabled customers to buy everything from books to mattresses online, but now that e-commerce has become commonplace, speedy, convenient delivery and pick up has become a key way Amazon and its rivals are competing. With the new Rite Aid partnership, Amazon shoppers can go online and select a nearby counter location to pick up their purchase. They'll be emailed a bar code when their package arrives. Then, after they arrive at the store, they'll show the code to an employee, who'll scan it before handing over the item. Packages will be held for up to 14 days. And the service is free. "Ultimately our goal is to provide a significantly larger and ultra-convenient range of choices for our customers to get their package,'' says Patrick Supanc, worldwide director of Amazon Hub. "Customers have told us that sometimes delivery to their home or work isn't always the best or most convenient option, They may live in a high-rise city apartment where it’s less convenient. ... may want to pick something up while you're traveling. So we want to give options to our customers for all of these scenarios.’’ Kim Kardashian puts the squeeze on Spanx:Kardashian is launching her own shapewear line Back to school already?Target kicks off back-to-school season with new clothes, college departments and more At a time when many Americans prefer to make their purchases by clicking on a keyboard, the Amazon pick-up counters are a potential boon to Rite Aid, enticing shoppers to head to an actual store. "Adding counter will help us ... attract new customers and also obviously increase foot traffic into our stores,'' says Jocelyn Konrad, Rite Aid's executive vice president, pharmacy and retail operations. Amazon's pick up options already include lockers where customers can retrieve items at locations ranging from hotels to local banks in more than 900 communities. Amazon Prime customers can also have items ferried into their foyer or garage. And in the next several months, some may be able to get their packages dropped off by drone. The counter pick-up option will potentially expand to thousands more locations as Amazon says it is interested in partnering with additional businesses. This article originally appeared on USA TODAY:Can't wait for that delivery? Amazon, Rite Aid team up to make it easier to get packages
Air France and KLM to swap Boeing and Airbus orders in efficiency drive PARIS (Reuters) - Air France-KLM said its separate Air France and KLM airline units would be swapping over some remaining orders from Boeing and Airbus, in a move which Air France KLM said would help its fleet run more efficiently. The swap means that in the 2021-2023 timeframe, the six remaining Boeing 787 ordered for Air France will be transferred to KLM, and the current 7 Airbus A350-900s on order for KLM will be transferred to Air France. "This is the first step towards harmonizing and simplifying the Air France-KLM Group fleet at its two major airlines," said Air France KLM CEO Benjamin Smith. (Reporting by Sudip Kar-Gupta; editing by Michel Rose)
Sluggish demand to squeeze oil price gains as OPEC+ seen stemming supply By Eileen Soreng and K. Sathya Narayanan (Reuters) - Oil prices could stall as a slowing global economy squeezes demand and U.S. crude floods the market, despite an expected extension by OPEC and its allies of their output-cutting pact next week, a Reuters monthly poll showed on Friday. The survey of 42 economists and analysts forecast Brent crude would average $67.59 a barrel in 2019, a downward revision from the $68.84 estimate in May, and just above the $66.17 average for the global benchmark so far this year. "Currently, the oil market is more focused on the demand side of the story amid rising trade tensions," ANZ analyst Daniel Hynes said. A decision by the Organization of the Petroleum Exporting Countries and other producers on whether to extend their production curbs would "set the supply story" for the second half of 2019 and into 2020, Hynes added. Analysts forecast global demand to grow by 0.9–1.3 million barrels per day (bpd) in 2019, versus the 1.2–1.4 million bpd forecast in May. OPEC and the International Energy Agency have also downwardly revised their forecasts for demand growth, putting it at 1.14 million and 1.2 million bpd respectively. All eyes will now be on a meeting of OPEC and allies including Russia on Monday and Tuesday to discuss an extension in order to support prices. Most analysts expect the so-called OPEC+ to extend the agreement, although some uncertainty remains over Moscow's continued cooperation. "Oil prices could see some upside if Russia agrees to comply, or if OPEC agrees to cut its quotas further," said Oliver Allen, economist at Capital Economics. "A decision by OPEC ... to roll over its production cuts would probably put a floor under oil prices.” (Graphic: U.S., Russian, Saudi crude oil production https://tmsnrt.rs/2QYZ6Ed) Increasing production from the United States could also keep prices under pressure, analysts said. "In the medium to long term, we believe that U.S. supply growth will put a cap on oil prices and make it less probable to see prices over $70 per barrel in the absence of supply shocks," said Adria Morron Salmeron, an economist at CaixaBank Research. However, analysts still expect prices to be broadly supported by supply issues, such as U.S. sanctions on Iran and Venezuela, and geopolitical risk around tensions between the United States and Iran. After attacks on oil tankers in the Gulf of Oman widely blamed on but denied by Tehran and the downing of a U.S. drone by Iran, the standoff could escalate to disrupt shipments through the Strait of Hormuz, the world's busiest oil supply route. "While Saudi Arabia will likely seek to replace Iranian and Venezuelan barrels and amend the production schedule at the OPEC meeting, recent comments suggest it will only do so retroactively, once supply losses are apparent," said Michael Haigh, head of commodity research at Societe Generale. U.S. light crude is seen averaging $59.30 per barrel this year, compared with May's $60.62 forecast, and the $57.45 average so far this year. (Reporting by Eileen Soreng and K. Sathya Narayanan in Bengaluru; Editing by Arpan Varghese, Noah Browning and Dale Hudson)
CalAmp Turns the Corner CalAmp(NASDAQ: CAMP)announced fiscal first-quarter 2020 results on Thursday after the market closed. Though revenue did decline year over year as the company continued toface headwindsfor its core telematics systems segment, a combination of software and subscription services growth and supply chain improvements helped its top line arrive near the high end of investors' expectations. With shares of the machine-to-machine communications leader up more than 13% Friday morning as of this writing, let's take a closer look at what CalAmp had to say. Image source: Getty Images. [{"Metric": "Revenue", "Fiscal Q1 2020": "$89.1 million", "Fiscal Q1 2019": "$94.9 million", "Year-Over-Year Growth": "(6.1%)"}, {"Metric": "GAAP net income (loss)", "Fiscal Q1 2020": "($8.7 million)", "Fiscal Q1 2019": "$8.5 million", "Year-Over-Year Growth": "N/A"}, {"Metric": "GAAP earnings (loss) per diluted share", "Fiscal Q1 2020": "($0.26)", "Fiscal Q1 2019": "$0.23", "Year-Over-Year Growth": "N/A"}] Data source: CalAmp. For the quarter ended May 31, 2019. GAAP = generally accepted accounting principles. • On an adjusted (non-GAAP) basis, which excludes items like stock-based compensation and acquisition expenses, CalAmp generated net income of $4.2 million, or $0.12 per share, down from $0.29 per share in the same year-ago period. • AdjustedEBITDAdeclined 38% to $7.6 million. • These results compare favorably to the guidance CalAmpprovided in early May, which called for revenue ranging from $84.5 million to $89.5 million, adjusted EBITDA of $6.5 million to $9.5 million, and adjusted earnings per share of $0.06 to $0.12. • Telematics Systems revenue declined 17% year over year -- in line with expectations -- to $63.6 million, driven by lower MRM telematics and legacy LoJack Stolen Vehicle Recovery product sales. • Software and subscription services revenue grew 38% to $25.5 million (or 29% of total sales), driven by both acquisitions and sales of CalAmp iOn fleet management and LoJack subscription services. • Worldwide subscribers exceeded 1.2 million, helped by this year'sacquisitionsof Tracker, Car Track (LoJack Mexico), and Synovia Solutions. CalAmp CEO Michael Burdiek stated: We made significant progress on our strategic initiatives in the quarter with the achievement of record software and subscription services revenue and markedly improved supply chain performance, thereby contributing to consolidated revenue at the high end of our guidance. The integration of our recent acquisitions is progressing well with identified incremental revenue synergies that we believe will further bolster our software-as-a-service (SaaS) business expansion toward our targeted quarterly run rate of more than $30 million exiting the year. Looking forward, we believe the first fiscal quarter represents an inflection point in our business, with a positive outlook of revenue and EBITDA growth as we move into the second half of the fiscal year. Burdiek added that CalAmp's fiscal second-quarter 2020 guidance assumes "revenue momentum across SaaS businesses combined with an increase in MRM Telematics sales due to customer LTE transactions." More specifically, CalAmp sees fiscal Q2 revenue in the range of $89.5 million to $94.5 million, down from $96 million a year earlier. Trending toward the bottom line, that should translate to adjusted EBITDA of $7.5 million to $11.5 million, and adjusted earnings per share of $0.08 to $0.14. Though we don't typically pay close attention to Wall Street's demands, most analysts were modeling adjusted earnings of $0.15 per share on revenue closer to $91.4 million. Still, it seems the market is more than willing to accept this technically mixed near-term outlook in favor of focusing on both CalAmp's "inflection point" to start the year and its impending return to revenue and EBITDA growth in the second half. More From The Motley Fool • 10 Best Stocks to Buy Today • The $16,728 Social Security Bonus You Cannot Afford to Miss • 20 of the Top Stocks to Buy (Including the Two Every Investor Should Own) • What Is an ETF? • 5 Recession-Proof Stocks • How to Beat the Market Steve Symingtonhas no position in any of the stocks mentioned. The Motley Fool recommends CalAmp. The Motley Fool has adisclosure policy.
UPDATE 2-European shares notch best first-half gain in two decades * German stocks outperform European peers * Deutsche Bank gains after passing Fed stress test * Merlin Entertainments soars after buyout offer (Updates to close) By Sruthi Shankar and Amy Caren Daniel June 28 (Reuters) - A surge in German shares helped European equities mark their best first-half performance in over two decades on Friday, with investors awaiting the outcome of U.S-China trade talks to see if the rally can continue. The pan-European STOXX 600 closed up 0.7%, with Frankfurt's trade-sensitive DAX outperforming other major indexes with a 1% rise, aided by top lender Deutsche Bank AG. The bank's shares rose 3.3% after it passed an annual health check by the U.S. Federal Reserve. Gains on the main STOXX index were broad-based, with sectors exposed to trade tensions, such as technology and automakers, climbing. Investors are looking ahead to talks between U.S. President Donald Trump and Chinese President Xi Jinping over their long-drawn trade dispute at the sidelines of the G20 summit on Saturday. Trump said he hoped for productive talks with China, but said he had not made any promises about a reprieve from escalating tariffs. While most investors do not see both sides striking a trade deal, Trump is expected to hold off from imposing new tariffs on Chinese goods. "The market is still hoping that there might be a positive communication after the meet," said Rabobank strategist Bas Van Geffen. The STOXX index enjoyed its best first half yearly gains since 1998 on Friday, rising 14.5%, on expectations that major central banks would be more accommodative to counter the impact of the tariff dispute. "What we see with this positive first half of the year is when the Fed started turning around. And if you actually see the Fed follow through this, you might see the momentum more or less intact," said Geffen. Also on investors' radar is a standoff between Switzerland and the European Commission over a stalled partnership treaty, with the Swiss government triggering measures to counter Brussels' refusal to extend recognition to Swiss stock markets. Starting on July 1, the Swiss will forbid European Union trading venues from offering or facilitating trading in certain shares of companies with a registered office in Switzerland. Swiss stock index shrugged off the news to rise 0.4%. Bourses in Paris, Madrid and posted gains between 0.6% and 0.9%, while London-listed stocks lagged with a 0.3% rise as energy stocks fell. Travel and leisure stocks led gains on the main STOXX index, with a 1.6% rise after shares of Madame Tussauds owner Merlin Entertainments jumped 14%. Merlin said it would be acquired by Lego's founding family and private equity firm Blackstone Group in a deal valuing the company and its debt at nearly 6 billion pounds ($7.6 billion). (Reporting by Sruthi Shankar and Amy Caren Daniel in Bengaluru; Editing by Bernard Orr, William Maclean)
Expect More Dips, Less Rips in Canopy Growth Stock Canopy Growth stock (NYSE:CGC) is experiencing growing pains. The Canadian-based cannabis giant, which reported tepid earnings last week, is balancing long-term strategy against short-term performance.Source: Shutterstock Last week's earnings report dropped like a rotten egg. Gross recreational revenue fell from 71.6m CAD to 68.9m CAD quarter-over-quarter.Gross margins have also fallen, as the company continues to invest heavily in their production operations.InvestorPlace - Stock Market News, Stock Advice & Trading TipsWith short-term sales declines, an astronomical valuation, and the primary catalyst having an uncertain timeline (U.S. Federal legalization of marijuana), is Canopy stock a buy today? * 7 F-Rated Stocks to Sell for Summer Read on to see if CGC stock has additional runway! Weak Earnings Created a Dip in Canopy's Stock PriceAfter the company's earnings announcement on June 20, Canopy Growth stock saw an 8% decline (from $43.71 to $40.16). Since last week's report, shares have traded sideways, with CGC stock finding support at ~$40/share.Compare this with last fall, when Canada legalized recreational marijuana usage. The excitement from this announcement pushed CGC stock to its 52-week high of $59.25 per share on Oct. 16, 18.Since then, the Canadian cannabis gold rush has failed to meet investor expectations. But the story with Canopy Growth stock and its peers is not Canada, but opportunities when the U.S. marijuana market fully opens up to legal operators. America, Not Canada Is the Play In CGC StockBank of America Merrill Lynch estimates the global cannabis market to be worth $166 billion, with the USA making up one-third (~$55 billion) of that amount.While many states have taken the plunge and legalized recreational use, federal regulations make it difficult to build a scalable business. If and/or when Federal Laws against marijuana are repealed, whomever has first-mover advantage stands to become the American pot industry's dominant player.With their proposed deal to acquire Acreage Holdings (OTCQX:ACRGF) when the federal government repeals marijuana restrictions, Canopy has the strongest shot.Add in a $5 billion strategic investment by Constellation Brands (NYSE:STZ), and it is clear that Canopy Growth stock is the "smart money" play.But at the current valuation, is Canopy stock "smart" for your portfolio? CGC Stock Trades At a Sky-High ValuationInvestors who bought into CGC stock years ago have seen tremendous appreciation. While they sacrificed value for growth, as a path to legalization became clearer shares rapidly went up in value.But how about for investors entering the stock today? Is there any compelling thesis to justify the current valuation?Trading at 87 times sales, Canopy Growth stock is richly valued compared to many of its peers:* Aphria Inc. (NYSE:APHA): 32.88* Aurora Cannabis (NYSE:ACB): 55.11* Hexo Corp. (NYSEAMERICA:HEXO): 80.47* Tilray, Inc. (NASDAQ:TLRY): 207.88* Cronos Group (NASDAQ:CRON): 241.42While Canopy has many advantages over its smaller peers, I believe this "scale premium" is highly inflated. If and when marijuana is fully legalized in America, Canopy Growth will have a size advantage. But in that scenario, incumbent consumer products companies (the tobacco and alcohol industries) could easily put money to work and gain material market share.With all of this uncertainty, is it worthwhile to pay a sky-high valuation for Canopy Growth? Bottom Line: Is CGC Stock a Buy Today?As a business, Canopy Growth has strong potential to become a major U.S. Cannabis producer. As a stock, CGC remains overvalued, with investor expectations pushing its valuation to sky-high levels.Initial "smart money" may place their bets on Canopy Growth stock, but it could be years before large institutional investors pounce into the cannabis space.With the stock continuing to trade a high valuation, they may be waiting for a better entry point. Continued weakness in the cannabis space (delays in relaxed US restrictions, weak Canadian sales) could push all of the major cannabis names back to more reasonable valuations.Why pay more today when you can join the "smart money " when the time is right?Given the choice of buying Canopy Growth stock or waiting things out, I choose the latter. Much of the upside in CGC stock is already factored into the stock price. Add in a lack of immediate catalysts, and it is difficult to create a logical investing thesis that is bullish on CGC stock.It is tough to predict the unpredictable. It could be only a few years until federal legalization occurs, or it could be another decade. In the short-term, Canopy stock will likely see more dips and less rips.As of this writing, Thomas Niel did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * The 7 Top Small-Cap Stocks Of 2019 * Critical Levels to Watch in 7 Marijuana Stocks * 5 Smaller Cloud Stocks That Have Plenty of Potential Compare Brokers The post Expect More Dips, Less Rips in Canopy Growth Stock appeared first on InvestorPlace.
Global funds favour bonds on lower-for-longer rates view By Rahul Karunakar BENGALURU (Reuters) - Fund managers increased their recommendations for bond holdings for the sixth straight month in June, to the highest since at least the start of 2013, and cut equities for a fourth consecutive month, a Reuters poll found. Their recommendations came even though the S&P 500 reached a record high last week on possible Federal Reserve rate cuts and hopes for progress in the long-running U.S.-China trade dispute, which has whipsawed markets for months. Bets on Fed interest rate cuts have also pushed the dollar index down 1.7% this month, and the U.S. dollar is set for its worst monthly performance since the start of 2018. The Reuters asset allocation poll surveyed nearly 40 fund managers and chief investment officers in Europe, the United States, Britain and Japan on June 19-27. The poll showed their global bond allocations averaged 41.3%, up from 40.8% the previous month and the highest since February 2013. Stock allocations were cut to 46.3% from 46.7% in May, despite expectations major central banks are ready to ease policy, a U-turn in expectations from early in the year. Evidence pointing to a slowdown in several global economies and the U.S.-China trade war have also pushed funds to suggest an increase in cash holdings to 6.1%, the highest since February. "We see great risks from an escalation in the U.S.-China trade war - while we expect economic and political feedback to eventually force a deal, the uncertainty caused by the rivalry remains an important market driver," said Craig Hoyda, senior quantitative analyst for multi-asset strategy at Aberdeen Standard Investments. Doubts inflation will rise to central banks' mandated targets have also boosted preferences for bonds, with fund managers increasing allocations to bonds steadily since the beginning of this year. Several respondents also said this year's cautious composition has performed almost as well as an all-stock portfolio, with less risk, as major sovereign bonds rallied. Over three-quarters of fund managers who answered an additional question said the current environment of low interest rates and low yields will extend for at least another two years. That agrees with the findings in a separate Reuters poll of bond strategists published earlier on Friday. [US/INT] A majority of fund managers said the likely change to their portfolio will be into the safety of liquid and low-risk government debt. However, some expect the current rally by equities to grind higher as major central banks loosen policy to fight an economic slowdown. "We would prefer to wait for a dip in equities or a more convincing improvement in economic data before adding significantly to risk assets," said Trevor Greetham, head of multi-asset at Royal London Asset Management. A regional breakdown based on a smaller sub-set of respondents showed recommendations for allocations to North American stocks were increased to the highest since February 2013, at the expense of euro zone shares. "The recent slowing in domestic economic growth combined with unresolved trade disputes and a sluggish Federal Reserve policy response argue for a measure of caution as we move through the summer doldrums," said Alan Gayle, president of Via Nova Investment Management. "But the persistent weakness overseas argues for a continued overweight to the U.S. markets." (Polling by Sarmista Sen and Indradip Ghosh, editing by Larry King)
A Fear at the G20 Summit: That the U.S.-China Trade War Turns Into a Currency Conflict U.S. vacation-goers may want to buy their foreign currency early, because this weekend’s meeting of G20 leaders could be the moment where trade war morphs into currency war. Everything hinges on the meeting between President Donald Trump and his Chinese counterpart Xi Jinping on Saturday morning in Osaka, Japan. In a positive scenario, the two sides could agree to a sort of truce, putting off further tariff increases, lifting the pressure on companies like Huawei that embody the broader struggle for primacy in the world economy, and resuming serious negotiations on a more comprehensive settlement of their differences. In a negative one, the next round of U.S. tariffs on $300 billion of so far unaffected Chinese imports will kick in next week, the recriminations continue, and the urge to conduct beggar-thy-neighbor policies spirals out of control. Should the latter occur, one likely result is that China lets the yuan, its tightly-managed currency, slide. That would allow its companies to stay competitive in the U.S. market by reducing the cost of their Chinese manufacturing base in dollar terms. China Central Bank Governor Yi Gang has already dropped hints that he’s prepared to let that happen,telling Bloombergearlier this month that, “I don’t think, along this mathematical scale, any number is more important than other numbers.” This week, the yuan has traded between 6.86 and 6.88 to the dollar, barely 2% above the psychologically important level of 7, which it hasn’t fallen below since the Great Financial Crisis. “If the threat of fresh tariffs on Chinese goods is kept alive, there remains every possibility that Beijing could consider a weaker (yuan) a suitable response,” BNY senior currency strategist Neil Mellor said in a note to clients this week. That, in turn, Mellor notes, would cause currencies of all of the U.S.’s other trading partners in Asia to follow the yuan lower—such is the gravitational pull of China in the Asian economy these days. Mellor says that since the start of the year, the daily movements of the dollar against the currencies of Taiwan, South Korea, Malaysia, Thailand, Indonesia and the Philippines have almost exactly mirrored the dollar-yuan movement, showing a correlation of 0.96-0.98, on a scale where 1 indicates a perfect match. Another likely consequence of a lower yuan would be further monetary policy easing from the European Central Bank, since cheaper Chinese products on world markets put further downward pressure on eurozone inflation, and also make it harder for eurozone companies to compete with Chinese ones in other markets such as the Middle East and Africa. ECB President Mario Draghi has already warned in a speech last week that “further stimulus will be needed” if inflation, which is already well below the ECB’s target, fails to pick up. Figures out today showed it stuck at a pallid 1.2% in June. Trump on Thursday repeated in characteristically heated terms that he would see any such action as an act of currency war. “These people are devaluing their currency because they’re not doing well against us,” Trump told Fox Business News. “So they devalue and we can’t. We are no longer on a level playing field.” Draghi insisted last week, as he usually does, that “we don’t target the inflation rate”—although that’s a somewhat disingenuous comment. Over the years, he has repeatedly promised measures to stop any “unwarranted tightening of financial conditions,” a piece of economist jargon that covers, not least, the adverse effects of a currency appreciation. Trump, with one eye on re-election next year, feels exactly the same way about “unwarranted tightenings of financial conditions.” He’s been pressuring the Federal Reserve to cut interest rates and restart its bond purchases for months, repeating his attacks on Thursday. “We should have Draghi instead of our Fed person, you know,” Trump told Fox. For some, it’s just a question of sequencing. Marc Chandler, managing director of Bannockburn Global Forex, makes the distinction that the ECB has said it will ease policy unless things get better, whereas the Fed—as Chairman Jerome Powell indicated in a speech this week—is still waiting for downside risks to materialize before it acts. Absent any further blow-up in U.S.-China trade talks, the dollar may already have peaked, given the abrupt shift in the Fed’s rhetoric in recent weeks that appears to signal the end of a 10-year policy cycle. Fed officials have abandoned any talk of further rate hikes and invited speculation on what would be a first interest rate cut since 2008. The dollar index, which tracks the buck against a basket of developed market currencies, has fallen some 1.6% in the last two weeks alone. The question is: can the two sides avoid that blow-up once the need for a friendly photo-shoot in Osaka has passed? —Indian workers on H-1B visascould be casualties of a U.S. trade spat —China iscreating an “entity list”to avenge Huawei and punish foreign firms —4 reasons to beskeptical about Facebook’s Libracryptocurrency —Bernie Sanders wantsemployee ownership—already a trend in the U.K. —Listen to our new audio briefing,Fortune500 Daily Catch up withData Sheet,Fortune‘s daily digest on the business of tech.
Some lucky people will own artifacts from Apollo 11 thanks to a special auction It's not often that people have the chance to purchase a piece of history . This week, though, members of the public were able to bid on artifacts marking " one small step for man, one giant leap for mankind " – items from the Apollo 11 mission. FILE - In this image provided by NASA, astronaut Buzz Aldrin poses for a photograph beside the U.S. flag deployed on the moon during the Apollo 11 mission on July 20, 1969. A new poll shows most Americans prefer focusing on potential asteroid impacts over a return to the moon. The survey by The Associated Press and the NORC Center for Public Affairs Research was released Thursday, June 20, one month before the 50th anniversary of Neil Armstrong and Aldrinâ€™s momentous lunar landing. (Neil A. Armstrong/NASA via AP) The auction, which closed at 10 p.m. ET on Thursday, included 407 items such as original NASA photographs, 70 mm film, a press packet, medals, assorted plans and manuals, orbit charts, a launch pass, Buzz Aldrin's signed photograph, a flag carried into orbit and signed by astronaut Michael Collins and more. It was run by RR Auction. "It was fantastic. Obviously there is a lot of nostalgia and energy right now focused on the history of Apollo 11," said Bobby Livingston, executive vice president of RR Auction in Boston. Livingston said the auction house received very strong prices for the Apollo 11 goods. The merchandise wasn't limited to Apollo 11 pieces, though there were around 150 items that came from that mission specifically. The auction was open for a week, and each item received a varying number of bids. Some were bid on dozens of times, while other items remained unopened by auction goers. USA TODAY NETWORK: To Celebrate 50th Anniversary of Apollo 11 Moon Landing with New AR Interactives Artemis Generation: NASA emphasizes role of women as it prepares for a return to the moon The highest bid went to a glossy signed 8-by-10 photo of Neil Armstrong just before he stepped onto the moon from NASA's original video transmission. The final bid on the photo was $52,247.50, including the buyer's premium. The pre-auction estimate was $12,000. "The photo we had of Neil Armstrong is very rare because it was taken by a television camera that was mounted on lunar module lens on the moon," Livingston said. The image was broadcast to the world, according to Livingston. When Armstrong returned to Earth, he went to the lab and developed the photo. He signed five copies for the people in the lab. Livingston said that as far as he knows, there are only five copies in the world. Items that were not bid on were not included in the final sale list released by the auction house. While the auction had a wide selection, there are other places to purchase gifts or artifacts for one's personal collection. EBay has a wide selection of Apollo 11 paraphernalia, including a shard of "Genuine Gold Kapton Foil Flown to the Moon - NASA -with COA" foil for a much lesser list price than the auction items at $14.99. For the space fan: 20 out-of-this-world gift ideas Story continues Ahead of the 50th anniversary, major brands are celebrating with Apollo 11-themed merchandise, too. Krispy Kreme has launched a promotion, "One small bite for man... one giant leap for doughnut-kind," with the opportunity for customers to try one free at select locations Saturday. Big names in beer, such as Budweiser, also have announced plans for limited-edition products to celebrate the 50th anniversary of the moon landing. Follow Morgan Hines on Twitter: @MorganEmHines This article originally appeared on USA TODAY: Some lucky people will own artifacts from Apollo 11 thanks to a special auction View comments
Heatwave seen trimming, not slashing EU grain harvest By Gus Trompiz and Michael Hogan PARIS/HAMBURG (Reuters) - A record-breaking heatwave in western Europe may trim grain harvest production but the searing heat is not expected to last long enough to cause the kind of severe crop losses seen during a drought last year. The unusually early summer heatwave has gripped parts of continental Europe this week, bringing the highest temperatures on record in France on Friday. But reaction on grain markets has been tempered by expectations that the heatwave will be shortlived, good field conditions following recent rainfall, and the fact many winter crops have already neared the end of their growth. "We expect yields to be decreased due to the current heat wave. However, impact at this stage of development will likely be moderate at worst," said Jose Clavijo, crop analyst with Refinitiv Agriculture Research. Some forecasters have been reducing estimates for European Union production of soft wheat, the bloc's main field crop, but projections generally remain above 140 million tonnes and well up from last year's drought-diminished harvest of 129 million tonnes. In France, the EU's biggest grain producer, most analysts and traders were expecting limited yield losses. "We could lose 3, 4, 5 quintals (0.3-0.5 tonnes) per hectare for wheat that was in early grain-fillng stages. At the same time it could give a boost to protein levels," a French grain broker said. Protein is a measure of wheat quality and important in export markets. The hot spell could allow French wheat harvesting to get going in the coming days, traders said. It has helped accelerate France's winter barley harvest and early results were confirming the crop had not seen negative heat effects because it was already mature, traders added. The torrid temperatures could stress later-developing crops like spring barley, maize and sugar beet, although an easing in heat from this weekend should bring relief. In Germany, particularly affected by last year's drought, traders expected only marginal cuts to harvest forecasts. "The heat is not a big deal," one trader said. "The market is still confident of a good crop and we are not expecting a repeat of last year’s terrible harvest." In Poland, heatwave losses were also seen as moderate. "We have reduced our previous wheat output projection by 200,000 tonnes to 10.7 million tonnes," said Wojtek Sabaranski of analysts Sparks Polska. "Nevertheless, such a crop would still be up 9% from last year’s production." In Britain, which escaped extreme heat this week, wheat was in good condition and more in need of warm, sunny weather to maintain decent yields. "Overall, conditions remain mostly favourable and an above average wheat crop is more than likely," said Benjamin Bodart, director at CRM AgriCommodities. Harvest prospects for rapeseed, the EU's main oilseed crop, remained poor, however, after weather setbacks in the past year, according to analysts who expect the smallest production in a decade. While this week's heatwave may have come too late to cause major damage, it could prevent a late recovery in yields, they said. (Reporting by Gus Trompiz and Sybille de La Hamaide in Paris, Michael Hogan in Hamburg and Nigel Hunt in London; editing by Emelia Sithole-Matarise)
Trump-Xi countdown With help from Anita Kumar, Kristin Huang and Catherine Wong This newsletter is a joint production of POLITICO and the South China Morning Post. QUICK FIX A long-awaited meeting on Saturday between President Donald Trump and Chinese President Xi Jinping could renew a drive to reach a negotiated end to the trade war. The Europeans are waging an increasingly lonely campaign to keep the battle against climate change at the heart of the G-20 agenda as Washington pressures other countries to backtrack on environmental commitments. Japanese Prime Minister Shinzo Abe expressed grave concern about the world trade situation and called for renewed efforts to reform the WTO. WERE HALFWAY DONE IN OSAKA, JAPAN! Welcome back to your daily G-20 briefing, with your joint team from POLITICO Europe, POLITICO and the South China Morning Post. Faultlines clear: The big picture emerging in Osaka is severe fragmentation. A decade ago, tight coordination in the G-20 stopped the world economy cracking up in the financial crisis, but this summit is now fast becoming the stage on which geopolitical and commercial tensions boil over, and nobody seems able to pick up the pieces. Trump is pushing back against the idea that a tariff ceasefire with China is in the bag, Japan is expressing grave concern over global trade spats, and Russias President Vladimir Putin even used a Financial Times interview to sound the death knell for liberalism. Different approaches: While the Europeans fumed over Putins comments, Trump has been exchanging laughs with the Russian leader. After a reporter asked Trump whether he would talk to Putin about election interference, Trump responded: Yes, of course I will.'' Then he turned to Putin, smiling and pointing his finger in the Russian president's direction, saying: "Don't meddle in the election, president Don't meddle in the election." Putin, after hearing the translation, laughed. Our colleague David Herszenhorn has more. DRIVING THE DAY DECISION DAY FOR XI AND TRUMP: The most highly-anticipated meeting of the G-20 summit feels like a summer rerun. Almost seven months after they last met in Buenos Aires, the world is again waiting to see whether Trump and Xi will agree to a temporary truce in their trade war. Trump told reporters on Friday that he had not already promised China to hold off on more tariffs for six months. But he appeared optimistic about the meeting. Itll be a very exciting day Im sure, Trump said. Its going to come out hopefully well for both countries. U.S. Trade Representative Robert Lighthizer and Chinese Vice Premier Liu He met Friday evening to set the stage for the Xi-Trump meeting. Story continues Mixed signals: At the family photo shoot on Friday, Xi walked directly to Trump and shook his hand before going to his own place. He didnt talk to anyone else. The two leaders spoke on the phone on June 18 for the first time since December 29. That may sound encouraging, but China has also been carefully managing public expectations on the outcome of the Trump-Xi meeting since a deal to end the trade war was not reached at their last meeting in December. The vague phrasing of Chinese government and official press statements about the meeting is intended to deliver the message that China pins low hope on Saturdays meeting to protect the images of Xi and the ruling Communist Party if the meeting is deemed a failure. XI SEEKS SUPPORT FROM PUTIN, MODI AGAINST U.S.: Following a meeting with Putin and Indias Narendra Modi, Xi said China, Russia and India should work together to fight protectionism and protect the fundamental and long-term interests they share. Whoever could he be referring to there? Xi also called for Putins and Modis support in the growing tech war with the U.S., urging co-operation in emerging market 5G deployment but he dodged criticism in India that China is protecting Pakistan, saying the three nations should combat terrorism together. RED LINE ON CLIMATE: The EU is facing an uphill battle to maintain a united front at the G-20 on climate change. Under pressure from Washington, several countries including Saudi Arabia, Brazil, Australia and Turkey have signaled they want to backtrack on commitments made in the years before, three senior officials told POLITICO. Such a backtrack would be unacceptable to the EU, one said. The Commission plus France, Germany, Spain, Italy as the countries represented in Osaka, met Friday morning to form a joint position and decided to endorse French President Emmanuel Macrons stance that any weakening of the language would be a red line, the three officials said. Magic words: The communiqué must read that the Paris agreement is irreversible and that the G-20 countries fully commit to implementing it, officials explained. U.S. attack: At the G-20s in Hamburg and Buenos Aires, Washington secured a carve-out from those magic words. But as a result of U.S. pressure, there is now a risk that other countries could join the U.S. camp. Deadlock: The EU is trying to counter the U.S. pressure. Macron suggested the EU would not ratify the trade deal with Brazil if President Jair Bolsonaro abandoned the Paris agreement.But as of Friday afternoon, there was a deadlock. The final communiqué was at risk, two officials from different EU countries told us. As officials headed into their nightly round of negotiations one said that the chapter on climate change would have to be left for the heads of state to decide. ABE EXPRESSES GRAVE CONCERN OVER GLOBAL TRADE SITUATION: Abe, as chair of the G-20 summit, urged leaders to redouble efforts to reform the World Trade Organization, which has been under increased strain from Trumps combative approach to trade policy. I harbor grave concern regarding the current situation on global trade, Abe said, speaking through a translator. Tit-for-tat of trade restrictive measures are to benefit no one. Whatever the trade measures be, they must be consistent with WTO agreement. That seemed to be a dig at Trump, who has dusted off rarely-used U.S. trade remedy laws to impose tariffs on steel and aluminum imports from around the world and to slap a 25 percent duty on $250 billion worth of Chinese goods. TRUMPS LONELY QUEST ON IRAN: Trump spent Friday in Osaka looking to build support an Iran nuclear deal 2.0. But he once again found himself alone. (Its not an unfamiliar place for him.) Not only do other countries still support a 2015 nuclear pact, theyre skeptical Trump can strike a better agreement within the time constraints of his fast-approaching reelection campaign, especially after Iran recently proclaimed the end of diplomacy with the U.S. Macron accused Trump of lacking "coherence" by cozying up to North Korea while talking tough on Iran. THE OLD EMPIRE STRIKES BACK: The Europeans, who are thoroughly fed up with being upstaged by the Trump-Xi show, might just have a trick up their sleeve. The messaging from Brussels is that the EU, the worlds biggest trade bloc, could well strike a political agreement with the Mercosur grouping of Brazil, Argentina, Uruguay and Paraguay on Friday. Or at least it will be clear whether they are able to or not. If all goes according to plan, there could then be a big party in Osaka. In terms of tariff reductions, this would be the EUs biggest deal, and you can be confident that the EU will not waste any time parading their liberal, free-trading agenda before Trump. XI OFFERS OLIVE BRANCHES YET AGAIN: No big international meeting is complete without vague Chinese pledges to open its market. These are usually taken with a pinch of salt, and big EU investors are currently eyeing the countrys massive tenders for 5G equipment as the real litmus test of whether the country is serious about opening up. When meeting German Chancellor Angela Merkel, Xi also said China's pledges to reform and opening up are not "empty promises." NO XI-ABE BROMANCE YET: At the ceremony Friday morning where Abe welcomed each of the leaders, Xi and Abe made it look like they were each meeting the friend they least wanted to see. The body language was tense, and Abe sighed when Xi left the stage. In contrast, the waving, smiling Trump looked like he was having the time of his life. Chalk and cheese: At the working lunch, Xi sat next to Canadian Prime Minister Justin Trudeau and didnt acknowledge his presence while the cameras were rolling, underscoring the growing troubles over detained citizens. WHAT WE'RE READING India presents U.S. with a choice between geopolitics and trade, The Economist reports. Trump sees very big trade deals with Japan, India, the Wall Street Journal reports. China boosts studies of U.S. on criticism misreading of Trump triggered trade war. Putin tells the Financial Times that liberalism has become obsolete. Trump praises Japanese auto investment in U.S. as tariff threat looms, POLITICO reports. ON THE CALENDAR SATURDAY 8:15 a.m. Trump has working breakfast with Saudi Crown Prince Mohammed bin Salman. 11:30 a.m. Trump meets with Xi. 1 p.m. Trump meets with Turkish President Recep TayyipErdogan. THAT'S ALL FOR THE G-20 REPORT! See you again soon! In the meantime, drop the team a line: dpalmer@politico.com ; akumar@politico.com ; jhanke@politico.eu ; dherszenhorn@politico.eu ; wendy.wu@scmp.com ; kristin.huang@scmp.com ; catherine.wong@scmp.com . Follow us @POLITICOPro and @Morning_Trade . View comments
Your Social Security Income Goes Further in These States For many retired Americans, their Social Security benefit isn't just another monthly check. It's a financial lifeline that's crucial to helping make ends meet. According to the Social Security Administration (SSA),more than three out of five retired workersrely on their monthly benefit check to account for at least half of their income, with roughly a third leaning on Social Security for 90% or more of their income. This payout is also keeping more than 15 million retired workers out of poverty each month. Suffice it to say, deciding when to begin taking benefits is a really important decision. But what can be equally important is deciding where to live once you begin receiving a monthly stipend from Social Security. As a reminder, the SSA suggests that your benefit will replace only about 40% of the average workers' wages or salary. Therefore, the state where you live, and the various costs of living associated with that state, can have a bearing on how much of that income you're liable to keep. Each quarter, theMissouri Economic Research and Information Center(MERIC) utilizes voluntary survey data from the Council for Community & Economic Research in cities throughout the U.S. to gather price information to determine which states have the lowest and highest costs of living. The categories examined by MERIC include groceries, housing, healthcare, utilities, transportation, and a miscellaneous category, all of which lead to an overall cost-of-living rating. With a national average cost-of-living rating of 100 in each category, any figure below 100 signifies a lower cost of living than the national average as a whole, or within a specific category. Likewise, a rating above 100 denotes a category or state where it's more expensive to live than the national average. Given that the average retired worker is only bringing home $1,469.52 a month as of May, or $17,634.24 a year, choosing the right state to call home can help your Social Security income go further. One way to choose would be to pick states with the lowestoverallcost of living (i.e., taking into account all six of the aforementioned categories). According to data from MERIC, the average cost of living in the following 11 states is more than 10% below the national average: • Mississippi:86.1 • Arkansas:86.9 • Oklahoma:87 • Missouri:87.1 • New Mexico:87.5 • Tennessee:88.7 • Michigan:88.9 • Kansas:89 • Georgia:89.2 • Wyoming:89.3 • Alabama:89.3 For example, Mississippi residents can expect their average cost of living to be 13.9% (100 minus 86.1) lower than the national average, while residents in Kansas come in about 11% lower than the national average. But there are anomalies mixed into this bunch. For instance, New Mexico's healthcare costs are 0.1% higher than the national average, while Kansas and Alabama have utility costs that are at least 3% above the national average. Perhaps an even better means of picking out low-cost states would be by focusing on the costs that matter most to senior citizens, who rely most on Social Security. Namely,housing and medical expenses. In terms of housing costs, the following 15 states offer the lowest costs, relative to the national average: • Mississippi:70.1 • Missouri:70.6 • Alabama:71.5 • Oklahoma:71.9 • Wyoming:72.3 • Ohio:73.6 • Georgia:73.8 • Kansas:73.8 • Arkansas:73.9 • Michigan:75.2 • Indiana:77.3 • Kentucky:77.4 • New Mexico:77.7 • Iowa:79.6 • West Virginia:79.6 As you'll note from the figures above, these 15 states offer housing costs that are, on average, 20% to 30% lower than the national average. With the exception of Tennessee, each of the previously mentioned lowest-cost-of-living states also have low housing costs. According to the experimentalConsumer Price Index for the Elderly(CPI-E) -- a measure of expenditures for households with persons 62 or older -- in December 2011, housing accounted for roughly 44.5% of seniors' budgets, compared with just 39.2% for predominantly working-age urban and clerical workers via the CPI-W. You could also take healthcare expenses into account. Average seniors spent 11.3% of their monthly budget on medical care in December 2011, based on CPI-E readings, versus 5.6% for urban and clerical workers. The following 10 states offer the lowest healthcare costs, according to MERIC: • Arkansas:85.6 • Tennessee:88.5 • West Virginia:89.1 • Kentucky:89.2 • Maryland:89.2 • Alabama:90.8 • Mississippi:91.4 • Pennsylvania:91.9 • Michigan:93 • Oklahoma:93.2 You'll see a number of new states make their first appearance, such as Pennsylvania and Maryland, both of which offer modestly lower healthcare costs than the national average. Unfortunately, Pennsylvania's housing costs are nearly 1% higher than the national average, while Maryland's housing costs are a whopping 84.5% higher. As you can see, there area number of statesthat could be quite cost-friendly to retiring seniors who expect to lean on their Social Security income during retirement. But understand that a brief cost-of-living analysis doesn't tell the full story. For example, MERIC's analysis doesn't factor in how taxes might affect residents in each state. As a quick reminder, the federal government imposes normal income tax on a portion of Social Security benefits when modified adjusted gross income plus one-half of benefits exceed $25,000 for individuals or $32,000 for couples filing jointly. There are also13 states that tax Social Security benefits, to some degree -- a few of which mirror the federal tax schedule. One of those states is West Virginia, which has one of the lowest healthcare and housing costs in the country. What you save on these expenses may go right back out the door due to double taxation if you earn too much in West Virginia. There are other intangibles that can't be accounted for by this data, either, including weather, crime rates, and proximity to friends and family. Obviously, there are lot of factors that go into determining where a retiree calls home. But take this first-quarter cost-of-living data from MERIC as a starting point to getting the most out of your Social Security income. More From The Motley Fool • Here's How to Get the Maximum Social Security Benefit • The $16,728 Social Security Bonus You Can’t Afford to Miss • 5 Top Dividend Kings to Buy and Hold Forever • Is Social Security Taxable? The Motley Fool has adisclosure policy.
John Stamos Has a 'Fuller House' Spin-Off Idea & It Totally Snubs Lori Loughlin Click here to read the full article. Its been a few months since weve heard anything about Lori Loughlin , and her college admissions scandal. But the show must go on, and John Stamos has a Fuller House spin-off idea that snubs Lori Loughlin. Stamos has been the most vocal about Loughlins current legal situation and openly discusses how Fuller House will handle Louglins current situation. Theres been no word about how the actress who was fired from her Hallmark series When Calls the Heart after her scandals news broke will be written out of Fuller House . But Stamos is ready to save the day with a possible spin-off idea. I think theres a play that we go backward. Like, what happened before? he told E! News. In case you need a fresher, Full House followed a widower (played by Bob Saget), who enlists the help of his brother-in-law (Stamos) and a friend (Dave Coulier) to help raise his three daughters. The series eventually explained that Stamoss Jesse was raised in a Greek household with his sister, Pam. Id like to explore that the brother, sister, maybe go back, Stamos said. Its unclear whether hes thinking of this in How I Met Your Mother terms wherein an older Jesse is the launchpad for a prequel series with younger actors. Stamos certainly looks perpetually youthful, maybe he would just play his younger self? Either way, Aunt Becky wouldnt be a factor because the spinoff would take place years before Jesse and Becky meet. Related stories Here's How John Stamos Really Feels About That Lori Loughlin Situation Candace Cameron Bure Weighed in on How Fuller House Will Deal with Lori Loughlin's Exit Lori Loughlin Now Thinks "Smiling So Much" On The Way To Court Was a Mistake The series sequel show, Fuller House , is set to enter its final season, and there has been no word on what Loughlins role will be . The actress is currently headed for trial on allegations of fraud and money laundering for paying $500,000 to bribe her daughters into the University of Southern California. Loughlin maintains her innocence . Sign up for SheKnows' Newsletter . For the latest news, follow us on Facebook , Twitter , and Instagram .

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