25Jul2016 Pre-Market Commentary: US Futures Point To A Flat Opening, WTI Crude Prices Falling Sharply, US Dollar At High Levels, But Steady, Investors On Edge Prior To Fed Meeting

Here is the current market situation from CNN Money

European markets are higher today with shares in Germany leading the region. The DAX is up 0.81% while France’s CAC 40 is up 0.70% and London’s FTSE 100 is up 0.01%.

G20 growth promise keeps global shares near nine-month high

LONDON (Reuters) – World shares held near nine-month highs on Monday after G20 finance chiefs said over the weekend they would use “all policy tools” to lift global growth.

Verizon to buy Yahoo’s core business for $4.83 billion

(Reuters) – Verizon Communications Inc said Monday it would buy Yahoo Inc’s core internet properties for $4.83 billion in cash to expand its digital advertising and media business, in a deal that ends a lengthy sale process for the fading Web pioneer.

Nintendo shares dive as company plays down Pokemon GO’s earnings impact

TOKYO (Reuters) – Shares in Nintendo Co tumbled as much as 18 percent on Monday after the company said Pokemon GO would have a limited impact on its earnings – their biggest setback so far after a huge run-up on the smash-hit game.

EU working with consumer groups to pressure Volkswagen for compensation

BRUSSELS/BERLIN (Reuters) – Europe’s Commissioner for Justice is working with EU consumer groups to pressure Volkswagen to compensate clients in Europe as it has in the United States over the diesel emissions scandal.

Buyout funds eye alliances for SABMiller’s Pilsner, CEE brands: sources

LONDON (Reuters) – U.S. and European buyout funds are gearing up for SABMiller’s sale of its central and eastern European beer brands with some seeking to join forces to snap up assets worth up to 7 billion euros ($7.69 billion), sources familiar with the matter said.

G20 will use ‘all policy tools’ to lift growth as Brexit weighs

CHENGDU, China (Reuters) – The world’s biggest economies will work to support global growth and better share the benefits of trade, policymakers said on Sunday after a meeting dominated by the impact of Britain’s exit from Europe and fears of rising protectionism.

SunEdison unit TerraForm Power adopts poison pill

(Reuters) – SunEdison Inc’s unit TerraForm Power Inc said it had adopted a shareholders rights plan to prevent any sale of a significant number of Class A shares in the company.

China Vanke tussle is big test for new securities regulator

HONG KONG (Reuters) – A bitter shareholder row at China’s largest property developer is a first big test for the country’s new securities chief, appointed earlier this year to heal the wounds of last year’s stock market meltdown and restore investor confidence.

Philip Green responsible for BHS collapse: UK lawmakers

LONDON (Reuters) – Retail tycoon Philip Green’s greed and disregard for corporate governance led to the demise of BHS and cost 11,000 jobs, a report by British lawmakers said, calling the collapse of the stores group “the unacceptable face of capitalism”.

Gold In Bull Market – “Every Reason For It To Continue” – Frisby In Money Week

Gold is in a bull market for a number of reasons including political risk and there is “every reason for it to continue” according to Dominic Frisby writing in the UK’s best selling financial publication Money Week.

Stockcharts.com via Money Week as seen in article

He points out that “one of the reasons to own gold is as a hedge against government.” He warns that increasing political risk, as seen with Brexit, is on the horizon with the U.S. election and the rise of Trump and Clinton and indeed elections in the two largest economies in the EU:

“We’ve got the US election too, in which neither candidate has you exactly salivating, then France and Germany – whose leaders are unpopular – have their own elections in 2017. “

Frisby kindly mentions GoldCore as a company to buy gold from and concludes

Frontrunning: July 25

Democrats in disarray on eve of convention to nominate Clinton (Reuters); After Gloating, Democrats Face Unity Problem of Their Own (BBG)

Florida nightclub shooting leaves two dead, up to 16 wounded (Reuters)

Yellen Still Waiting for Overwhelming Evidence to Warrant Hike (BBG)

Oil Trades Near Two-Month Low as Drilling Increases Amid Surplus (BBG)

Fraud Investigation Ricochets Through Hedge Fund Known for Ties to Jewish Community (WSJ)

Scotland’s Sturgeon preparing for independence to keep post-Brexit options open (Reuters)

Calm markets raise big risks for complacent investors (FT)

Deutsche Bank Set for Investor Scrutiny as Short Sellers Circle (BBG)

EU working with consumer groups to pressure Volkswagen for compensation (Reuters)

IOC Stops Short of Banning Entire Russian Delegation From Rio Olympics (

It’s Official: Verizon To Acquire Yahoo Core Assets For $4.8 Billion

Almost a decade after Microsoft made an unsolicited bid to acquire Yahoo for $50 billion, moments ago Verizon confirmed recent rumors that it would acquire Yahoo operating business for approximately $4.83 billion in cash, far below initial estimates floated several months ago that the segment could sell for as much as $10 billion.

As the WSJ adds, the price tag, which includes Yahoo’s core internet business and some real estate, is a remarkable fall for the Silicon Valley web pioneer that once had a market capitalization of more than $125 billion at the height of the dot-com boom.

For New York-based Verizon, the deal simply adds another piece to the digital media and advertising business it is trying to build. The companies said the deal is subject to customary closing conditions, including approval by Yahoo’s shareholders, and is expected to close in early 2017.

The sale doesn’t include, among other things, Yahoo’s cash, its shares in Alibaba Group Holding Ltd. , its shares in Yahoo Japan, and Yahoo’s noncore patents, called the Excalibur portfolio. These assets will continue to be held by Yahoo, which will change its name at closing and become a registered, publicly traded investment company.

So how much does Marissa Meyer – who may soon be unemployed – collect for “creating value” at the company during her 5 year tenure? Somewhere around $300 million. In the press release the future role for Mayer was not outlined; however, she is unlikely to have a promin …

Tesla: Not a Moment to Lose

A changing world means Tesla Motors can no longer afford production delays.

Vedanta-Cairn: An Energy Deal With Just Enough Spark

Vedanta’s sweetened terms to buy out subsidiary Cairn India aren’t exactly rich—but may be good enough for minority investors to accept.

Watch the Dollar, Not Rates, as Fed Meets

A Federal Reserve rate increase could do more to strengthen the greenback than raise Treasury yields.

Historical Echoes: The Fed’s Cuban Connection

from Liberty Street Economics

— this post authored by Mary Tao

Did you know that the Federal Reserve once had not one, but two offices in Cuba?

The Wall Street Journal: AMC agrees to $1.2 billion acquisition of Carmike Cinemas

AMC Entertainment Holdings Inc. and Carmike Cinemas Inc. said Monday they had agreed to a sweetened takeover deal at more than $800 million, after a vote to approve the deal was twice postponed following concerns among some Carmike shareholders that the sale price was too low.

Need to Know: An ‘insane’ number of catalysts are poised to roil vulnerable markets this week

Apple takes center stage on the extremely crowded earnings schedule this week as the market continues to feast on a diet of new highs. We banged out another on Friday, and despite a rather tepid start in markets, more are likely on the way.

Market Snapshot: U.S. stock futures waver as investors gear up for ‘pivotal’ week

U.S. stock futures struggle for direction on Monday, as investors stay cautious ahead of a busy news week with earnings kicking into high hear and more than a dozen central banks holding policy meetings.