Frontrunning: February 27

  • Epic Oscars Mistake: Faye Dunaway, Warren Beatty Announce Wrong Best Picture Winner (Variety)
  • Oscar host Jimmy Kimmel turns Trump into recurrent punch line (Reuters)
  • After Mix-Up, Hollywood Searches for an Explanation (WSJ)
  • Trillions at Risk When Trump Speaks to Congress (BBG)
  • Bond Market Is Flashing Warning Signal on Trump Reflation Trade (WSJ)
  • Mexico Warns U.S. It'll Cut Off Nafta Talks If Tariffs Proposed (BBG)

Trump Seeks Sharp Increases In Military Spending, "Drastic Cuts" To State Department, EPA

As part of his proposed budget, President Trump will instruct federal agencies on Monday to assemble a spending plan for the coming fiscal year that includes sharp increases in Defense Department spending and "drastic cuts" to domestic agencies such as the State Department, the EPA and other non-defense programs, so that he can keep his promise to leave Social Security and Medicare alone.

Buffett Boosts Apple Holdings To 133 Million Shares In 2017, Becomes Top 5 Holder

Berkshire Chairman and CEO Warren Buffett told Becky Quick this morning that he more than doubled his already massive holdings in Apple between the start of 2017 and the tech company's most recent earnings report, and now owns 133 million shares, 2.5% of the outstanding stock, and is now a Top 5 holder of the company's public stock.

Goldman Downgrades Tesla To "Sell" On Cash And Execution Risk

The recent avalanche of bad news for Tesla has refused to stop this morning, when former Tesla cheerleader, Goldman Sachs analyst David Tamberrino, announced he was cutting the company's stock rating to "Sell", slashing his price target to $185, and predicting 28% downside from current prices. TSLA stock was down -2.3% in premarket trading on the Goldman report.

Global Stocks Drop, Futures Flat; French Yields Slide As Political Jitters Subside

In a quiet night for markets, in which the top highlight was the Oscar's historic peddling of best picture "fake news" and where "millions" of Academy members seemingly voted illegally, European stocks were little changed after a selloff that pushed them to a two-week low, while the MSCI Asia index fells as Japan’s Topix dropped for third day. S&P futures were unchanged.

Stockman: "After March 15 Everything Will Grind To A Halt"

"I think what people are missing is this date, March 15th 2017.  That’s the day that this debt ceiling holiday expires. We are burning cash at a $75 billion a month rate.  By summer, they will be out of cash.  Then we will be in the mother of all debt ceiling crises.  Everything will grind to a halt."

Of Bread And Circuses

"A twentieth-century repetition of the mistakes of ancient Rome would be inexcusable... no society is ever murdered - it commits suicide... I am no prophet of inevitable doom. On the contrary, I am sounding an alarm that disaster lies ahead unless present danger signals are heeded."

America's Border Patrol Budget: Spot The Obama Difference

President Trump's crackdown in illegal immigration means more wall-building, more ICE agents, and a notably bigger budget for the border patrol program. As the following chart shows, that would be an extreme departure from the stagnant spending on our nation's borders by President Obama.

Intellectual Intolerance - Stunning Speech From Stanford University Provost Exposes "The Threat From Within"

"Over the years, I have watched a growing intellectual intolerance, a political one-sidedness - that is the antithesis of what universities should stand for. It manifests itself in many ways: in the intellectual monocultures that have taken over certain disciplines...We decry certain news outlets as echo chambers, while we fail to notice the echo chamber we’ve built around ourselves."