Wall Street traded mostly flat and mixed on low volume and held near the unchanged mark today as investors exercised caution ahead of Friday's U.S. payrolls report. US stocks relinquish modest gains to trade mostly flat as WTI crude jumps 2% extending rally from 3-month lows, amid some short covering. Short-term indicators show a bullish position, but the swing-traders are telling a different story.
WASHINGTON (Reuters) - The number of Americans filing for unemployment benefits unexpectedly rose last week, while renewed job cuts in the energy sector boosted layoffs announced by U.S.-based employers in July.
WASHINGTON (Reuters) - The U.S. agency charged with protecting consumers' finances approved rules on Thursday that will help prevent wrongful home foreclosures, as the regulator continues to press on with reforming the country's massive lending market.
HICKORY, North Carolina (Reuters) - As furniture makers left Hickory and headed to China at the start of the century, the local community college shuttered its courses in furniture production, abandoning an industry that had sustained this North Carolina community for generations.
NEW YORK (Reuters) - Billionaire investor Wilbur Ross stood behind Republican Donald Trump but urged him to stop engaging in exchanges that benefit the Democrats and make the real estate mogul's behavior the issue in the U.S. presidential campaign.
WASHINGTON (Reuters) - As the U.S. Treasury Department decides whether to license sales of Boeing Co and Airbus commercial aircraft to Iran, opponents of last year's nuclear pact with the Islamic republic have launched a lobbying campaign against the deals.
NEW YORK/WASHINGTON (Reuters) - Two business groups sued the Obama administration on Thursday over a crackdown on U.S. companies that try to reduce their U.S. taxes by rebasing abroad in a process known as inversion.
CHICAGO (Reuters) - Wal-Mart Stores Inc has implemented a new scheduling system for hourly employees at 650 U.S. stores, which lets the company focus on serving peak shopping times while allowing employees to exercise scheduling preferences, according to company sources and interviews with store workers.
WASHINGTON (Reuters) - The judge assigned to rule whether the U.S. government can block the mega-mergers of health insurers Aetna Inc and Humana Inc , and Anthem Inc and Cigna Corp said on Thursday it would be difficult for him to decide both cases by the end of the year.
Call it the perfect pyramid scheme for the "new normal."
In the latest example of the venture capital euphoria that has dominated the US in recent years, not to mention potential fraud, Bloomberg reports that vegan food startup Hampton Creek, had a novel idea of how to spend the venture funding it had raised: by buying up its own product. To wit:
In late 2014, fledgling entrepreneur Josh Tetrick persuaded investors to plow $90 million into his vegan food startup Hampton Creek Inc. Tetrick had impressed leading Silicon Valley venture capital firms by getting his eggless Just Mayo product into Walmart, Kroger, Safeway, and other top U.S. supermarkets within about three years of starting his company.
What Tetrick and his team neglected to mention is that the startup undertook a large-scale operation to buy back its own mayo, which made the product appear more popular than it really was. At least eight months before the funding round closed, Hampton Creek executives quietly launched a campaign to purchase mass quantities of Just Mayo from stores, according to five former workers and more than 250 receipts, expense reports, cash advances and e-mails reviewed by Bloomberg. In addition to buying up hundreds of jars of the product across the U.S., contractors were told to call store managers pretending they were customers and ask about Just Mayo. Strong demand for a product typically prompts retailers to order more and stock it in additional stores.
Wait is that legal? Well, technically it is not illegal, although it is extremely unethical (imagine if, gasp, Facebook was using click-farms to fabricate users - it's the same concept) however it undersco ...
The recent drop in crude oil prices has not reflected in the iShares iBoxx $ High Yield Corporate Bond ETF, as shown in the chart below. Various analysts believe that the close correlation between the junk bonds and crude oil - which have been together for quite some time - has now decoupled.
Is this relationship really over, or is this parting of ways only a temporary separation?
(Click to enlarge)
During the start of 2016, oil was falling into a seemingly bottomless pit—fears regarding the solvency of a number of companies pulled the prices of junk bonds down with it.
But between February and June, oil prices rallied to over $50 a barrel, and the high-yield bonds followed suit, refusing to be left behind.
The oil producers managed to survive the first-half of 2015 due to existing hedges, but during the second-half of the year, and in early 2016, expiring hedges and low crude oil prices took its toll and led to record bankruptcies.
However, the rally to $50 a barrel levels was a Godsend, and the oil producers have ramped up their hedges.
A Reuters analysis of disclosures reports that 17 of the 30 large U.S. shale producers have increased their hedges—the most since 2015.
"The producers have sold the hell out of this rally," said Stephen Schork, president of Schork Group Inc., a consulting firm ...
It has already been a bad year for "new media" clickbait properties like BuzzFeed (which, ironically, deny they engage in clibkbait) which are entirely reliant on Facebook's news algorithms to distribute the vast majority of their content. Back in April, the FT reported that BuzzFeed missed its revenue target for 2015 and slashed its internal projections for 2016 by about half. It had projected $250 million in revenues for 2015 but generated less than $170 million, the FT reported and what's worse, had halved its internal revenue target for 2016 from $500 million to $250 million.
One can almost see why.
It's about to get worse, and we are not referring to the comments CNN president Jeff Zucker made in a Variety interview, in which he said "I don't think Vice and BuzzFeed are legitimate news organizations", instead calling the rival media outlets "native advertising shops" and saying CNN "crushes" them.
While he wasn't exactly wrong, CNN mocking other clickbait websites, and accusing them of not being a legitimate news organization is certainly surely amusing.
What Zucker does not get is that BuzzFeed (and Vice) provide just the content that most of Americans wants to "read" (by which we mean kill a few minutes of what wou ...
In his first major move since taking over the top spot for FireEye Inc., Chief Executive Kevin Mandia plans to cut hundreds of jobs and chop spending in several areas in order to find profit at a security firm where growth seems to be slowing down.
Econintersect wants your comments,
data and opinion on the articles posted. As the internet is a
"war zone" of trolls, hackers and spammers - Econintersect must balance its
defences against ease of commenting. We have joined with Livefyre
to manage our comment streams.
To comment, using Livefyre just click the "Sign In" button at the top-left corner of
the comment box below. You can create a commenting account using your
favorite social network such as Twitter, Facebook, Google+, LinkedIn or
Open ID - or open a Livefyre account using your email address.
You can also comment using Facebook directly using he comment block below.
Econintersect Live Market
Print this page or create a PDF file of this page
The growing use of ad blocking software is creating a shortfall in covering our fixed expenses. Please consider a donation to Econintersect to allow continuing output of quality and balanced financial and economic news and analysis.
Take a look at what is going on inside of Econintersect.com