US stocks retreated today (SPY -0.3%) in a broad decline as investors took a dim view of the latest turbulence surrounding the Trump administration along with geopolitical tensions emanating from Asia.
BOSTON (Reuters) - A group representing large institutional investors has approached stock index providers S&P Dow Jones Indices and MSCI Inc, looking to bar Snap Inc and any other company that sells investors non-voting shares from their stock benchmarks.
NEW YORK (Reuters) - U.S. stocks retreated on Monday in a broad decline as investors took a dim view of the latest turbulence surrounding the Trump administration along with geopolitical tensions emanating from Asia.
PARIS/FRANKFURT (Reuters) - France's PSA Group plans to buy Opel from General Motors in a deal valuing the business at 2.2 billion euros ($2.3 billion), creating a new European car company to challenge market leader Volkswagen .
(Reuters) - Wells Fargo & Co named Allen Parker general counsel on Monday, at a time when the third-largest U.S. lender looks to restore its battered reputation following a scandal over phony accounts.
HOUSTON (Reuters) - Exxon Mobil Corp , the world's largest publicly traded oil producer, said on Monday it would invest $20 billion through 2022 to expand chemical and refining plants on the U.S. Gulf Coast.
NEW YORK (Reuters) - Publicity over the recent Academy Awards and Wall Street hung over a Manhattan courtroom on Monday as lawyers struggled to find jurors to decide whether PricewaterhouseCoopers helped cause the collapse of MF Global Holdings Ltd, a commodity brokerage once headed by former New Jersey Governor Jon Corzine.
FRANKFURT (Reuters) - Deutsche Bank's chief executive pledged on Monday to see through a strategic turnaround as he sought to persuade weary shareholders to sign an 8 billion euro ($8.5 billion) cheque to back his plans.
WASHINGTON (Reuters) - Trump administration trade adviser Peter Navarro said on Monday the $65 billion U.S. trade deficit with Germany was "one of the most difficult" trade issues, and bilateral discussions were needed to reduce it outside of European Union restrictions.
Valuation won't ever tell you if a stock is heading higher or lower. Valuation is math, and math is not an investment edge; it is only helpful because it tells you what the market believes. Figure out why that's wrong (and it generally is), and now you have something useful. Take the companies of the Dow Jones Industrial Average. On average, they trade for 18.6x 2017 consensus earnings, and 16.6x next year's estimates. Built into those numbers is expected earnings growth of 11% from 2017 to 2018.
Since corporate earnings have been relatively stagnant for the last 3 years, that's the first hurdle to jump. Beyond that, you need a point of view on how much better/worse things will be. The best case scenario (every Dow stock earns what the most optimistic Street analyst thinks they can earn) leaves us with US equities trading at 14.8x next year. That is clearly cheap. And if every Dow stock earns only what the most pessimistic analyst has in their model? Then US stocks trade for 18.6x next year. With US rates as low as they are, that is expensive but not horribly so.
Bottom line: if you believe that some parts of the "Trump agenda" will pass at any point this year, the upside earnings case is correct (if not low). And if you don't, sell. Now.
Over the weekend, CNN released 'spy cam' footage of a "fiery" meeting in the oval office and used it to report that an angry President Trump lashed out at his senior staff in an "expletive-laced" tirade over their "fumbling" of the Sessions recusal which he thought was premature and overshadowed his speech to Congress.
Of course, while the mainstream media was all too eager to spread the word of more dysfunction in the Trump White House, no one seemed to care to ask the obvious question of why it is suddenly ok for CNN to be filming private, and potentially classified, meetings in the Oval Office. Moreover, if it is somehow permissible to film potentially classified meetings, which we can't imagine it is, we do wonder where all of CNN's footage is of Obama's oval office meetings? We're sure they "do not recall."
Meanwhile, it's painfully obvious that CNN completely fabricated the narrative around the meeting as their own 'news' anchor even admits that their "anonymous" sources were not aware of what the meeting was even about. Moreover, since the meeting was 'closed door', it's difficult to understand how CNN's source could have possibly known Trump's demeanor and/or whether he used "a lot of expletives", as the story states, unless that source was actually in the meeting.
That said, here is the narrative that CNN linked to the meeting:
President Donald Trump is extremely frustrated with his senior staff and communicat ...
Halloween's coming super-early this year and it will be a shocking surprise to those currently busy looking for Russians behind every potted plant in Washington DC. First, accept the premise that your country has lost its mind.
This is what happens when societies (and individuals) can't face the true quandaries of a particular moment in their history. All of their attention gets channeled into fantasy: spooks, sexual freakery, conspiracies, persecution narratives, savior fairy tales. It's been quite a cavalcade of unreality for the past six months, with great entertainment value for connoisseurs of the bizarre — until you're reminded that the fate of the nation is at stake.
The questions Americans might more profitably ask ourselves: can we continue living the way we do? And by what means? These matters of home economics have been sequestered in some forgotten storage unit of the collective mind for at least a year while a clock ticks in the time-bomb that sits on the national welcome mat. That bomb is made of financial plutonium and it's getting ready to blow. When it does, all the distracting spookery and freakery will vaporize and the shell-shocked citizens will have a clear view of the bleak, toxic, devastated landscape they actually inhabit.
March 15 is when the temporary suspension of the national debt ceiling — engineered in a 2015 deal between Barack Obama and then House Speaker John Boehner — finally expires, meaning the government loses its authority to continue borrowing money. The chance that congress can pass a bill raising the debt ceiling to enable further borrowing is about the same as the chance that Xi Jinping will send every American household a dim sum bre ...
It's not just the Obamas that are moving into swanky mansions across Washington D.C.. This last weekend saw two $12-million-plus homes sold in the D.C. area with realtors noting "Trump's bringing people from outside a local market...and they're coming from a much more expensive market."
Treasury Secretary Steven Mnuchin is the buyer who shelled out $12.6 million for a nine-bedroom home overlooking Rock Creek Park.
As The Washington Business Journal's Sara Gilmore reports, this is just the latest in the string of multimillion dollar home sales fueled by Trump administration officials.
Mnuchin, a former Goldman Sachs official, bought the house Feb. 14, according to real estate sources. Public records list the buyer as Rock Creek Drive Revocable Trust. Washingtonian reported in January that Mnuchin had a home under contract but the exact location wasn't known.
Shares of Nvidia Corp. drops briefly into bear-market territory Monday for the first time in over a year. The company's stock managed to rebound from that nadir but still was on course to book a three-month low.
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