Frontrunning: November 8

Tyler Durden's picture
  • A year in: U.S. stock market under Trump's shadow (Reuters)
  • Democrats’ Wins in Virginia, New Jersey Fan Hopes for Anti-Trump Momentum (WSJ)
  • New York Gives De Blasio a Second Chance, Re-Electing Him as Mayor (BBG)
  • Democrat Wins New Jersey Governor’s Race as Voters Pan Christie, Trump (BBG)
  • Trump Starts China Visit Seeking Progress on Trade and North Korea (BBG)
  • China's Xi fetes Trump on first day of Beijing trip(Reuters)
  • China October exports, imports growth slow as economy cools (Reuters)
  • The House Tax Cut: Who Gets What  (BBG)
  • Here’s Where the GOP Tax Bill Stands Right Now (BBG)
  • IMF's Lagarde warns protectionism, while now just words, may come to hurt Asia (Reuters)
  • Streaming Dreams Drove Disney’s Interest in Fox Assets (WSJ)
  • China's Tencent buys 12 percent stake in Snapchat owner (Reuters)
  • Gun-Record Lapses Under Scrutiny After Texas Shooting (WSJ)
  • Carl Icahn’s $5 Billion Bet on the Future of Car (BBG)
  • Apple to Ramp Up Work on Augmented Reality Headset (BBG)
  • Catalan leader's farmhouse pact to make last stand in Brussels (Reuters)
  • These Companies Have Added $1.5 Trillion Since Last Election Day (BBG)
  • Wall Street Is Fighting a CFPB Deal Over Billions in Defaulted Student Loans (BBG)
  • UCLA basketball players arrested in China ahead of Trump's visit: reports (Reuters)

Overnight Media Digest


- Toyota Motor Corp on Tuesday raised its profit projections for the year ending March 31, saying it could boost sales and rein in costs, but the U.S. market continues to weigh on earnings.

- Investors in Outcome Health on Tuesday sued the Chicago advertising startup and its two founders, claiming fraud and breach of contract some eight months after investing nearly $500 million in the company.

- Private-equity firm Blackstone Group LP is planning to sell its majority stake in a Chinese maker of medical devices, according to people familiar with the situation, as it tries to exit an investment made just three years ago.

- The Saudi government is aiming to confiscate cash and other assets worth as much as $800 billion in its broadening crackdown on alleged corruption among the kingdom's elite, according to people familiar with the matter.

- U.S. President Donald Trump opened a door to negotiations with North Korea, shifting his tone while the U.S. Navy prepared for a rare display of strength nearby. Trump urged North Korean leader Kim Jong Un to talk.

- Chinese e-commerce company Inc plans to import $2 billion worth of U.S. beef and other food products, a person familiar with the matter said, in one of number of agreements tied to U.S. President Donald Trump's China summit.



* British broadcaster Sky Plc has said that it could shut down Sky News if its ownership of the channel proves to be an obstruction to the proposed 11.7-billion-pound ($15.41 billion) takeover of the European pay-television operator by Rupert Murdoch’s Twenty-First Century Fox.

* Alphabet Inc’s Waymo will launch a ride-hailing service with no human behind the steering wheel and has been testing the fully self-driving cars on public roads in Arizona, Chief Executive John Krafcik said on Tuesday.

* William Ackman lost the bid for three board seats on Automatic Data Processing Inc on Tuesday, the latest in a string of public defeats for Ackman, who raised $500 million from investors to take a stake in ADP.



- Syria announced during United Nations climate talks on Tuesday that it would sign the Paris agreement on climate change. The move, which comes on the heels of Nicaragua signing the accord last month, will leave the United States as the only country that has rejected the global pact.

- On Tuesday, Snap Inc reported revenue for the third quarter that missed Wall Street expectations and also posted a larger-than-expected loss, as well as high costs. In the aftermath, its stock plunged about 20 percent in after-hours trading but recovered slightly.

- Jarl Mohn, the chief executive of National Public Radio, said on Tuesday that he would take a leave of absence because of health problems. His decision came at a time when the public radio network is grappling with the aftershocks of a sexual harassment scandal.

- Sina Corp, the Chinese internet company, won a proxy fight against American hedge fund Aristeia Capital last week. On Tuesday, it doubled down to avoid further challenges from activist investors.

- Activist investor William Ackman suffered a stinging rebuke on Tuesday, failing in his campaign to shake up the board of Automatic Data Processing Inc, the $50 billion payroll-processing firm.




** Russia says it has blacklisted dozens of "Canadian political actors pursuing a toxic Russophobic agenda" in retaliation for Canada's decision to sanction 30 Russian officials, but refuses to say who is on that list.

** Ontario is opening up some of its regulations to give financial startups more opportunities to test new products and services by creating a "regulatory super sandbox", which is a set of rules that exempts firms from some requirements so they can experiment with new business models and products.

** Members of Vancouver's development industry were aghast on Tuesday at a rare decision by the city's top bureaucrats to reject the application for a controversial building in Chinatown that complied with zoning and had been green-lighted by three levels of city administration.


** Chevron Corp is ramping up spending in the Duvernay shale basin, after spending three years exploring its potential. "The Duvernay is one of the most prospective liquids-rich shale plays in North America," Chevron Canada President Jeff Gustavson said.

** The U.S. Congress has been mulling changes in the way American individuals abroad are taxed by shifting from a citizen-based income-tax system to a residence-based system that would only tax people on the income they earn in the United States. Americans abroad would no longer be taxed on worldwide income simply because they are U.S. citizens; they would only have to pay tax to the country where they live.



The Times

British utility SSE Plc and German company Innogy SE's British retail subsidiary Npower are in talks to spin off their energy supply businesses and combine them into a new independent utility giant, in a radical shake-up of the UK market.

Professionals provided for free by City firms to Royal Bank of Scotland Group Plc's restructuring unit abused their position by passing confidential information back to their parent companies, The Times reported.

The Guardian

The Institute for Fiscal Studies, a tax and spending watchdog, said plans for a reduction in tax credits which boost the incomes of low paid workers will take a particularly large toll on households where one or more adults face cuts in hours or lower wages.

Treasury select committee will examine the debt levels of UK households as well as whether consumers are saving adequately as Britain leaves the European Union. Problem debt and the treatment of low income families by banks will also form part of the inquiry.

The Telegraph

Sky Plc has warned it could close down Sky News if it proves a sticking point with regulators in its 11.7 billion pounds ($15.41 billion) takeover by Murdoch-owned 21st Century Fox.

Tata Steel Ltd is investing 30 million pounds ($39.51 million)in its Port Talbot steelworks in a move the company says shows its "commitment" to the industry in the UK.

Sky News

The boards of 250 of Britain's largest companies will this week be challenged to promote more women to senior leadership roles amid a cacophony of criticism about gender diversity and sexual discrimination in the public and private sectors.

Former Welsh government minister Carl Sargeant, who was suspended last week amid allegations about incidents with women, has died.

The Independent

The EU's competition chief has asked Apple Inc to provide details of its latest tax structure as regulators try to recover 13 billion euros ($15.07 billion)in back taxes to Ireland.


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unrulian's picture

** Russia says it has blacklisted dozens of "Canadian political actors pursuing a toxic Russophobic agenda"

yea as a Canadian in a country of 37 million you'd best blacklist 36,999,999 Canadians because the ALL of them have drank the Russiaphobic coolaid.

CheapBastard's picture

This Couple Scammed Amazon Out of $1.2 Million. Now They Have to Pay It Back

A couple from Muncie, Ind. swindled Amazon out of more than $1.2 million in electronics.

Erin Finan, 38, and Leah Finan, 37, used a classic scam—buying items and then reporting them missing or damaged. That’s how they scored the GoPro digital cameras, Microsoft Xboxes, Samsung smartwatches, and Microsoft Surface tablets that they sold to accomplice Danijel Glumac, 28, who then sold the merchandise to an unnamed “New York entity,” according to authorities.

For Amazon, it’s often cheaper to replace items when these claims are filed than to investigate. But after using hundreds of fake online identities to grift the online retail giant, the husband and wife team face up to 20 years behind bars for fraud and money laundering.

Per their plea agreement, the couple waived their right to appeal the decision if they’re sentenced to fewer than seven years and three months in prison, and they must repay Amazon $1,218,504.

Dilluminati's picture

On the elections, I think that making more of the turnout in perecent of eligible voters is iffy in respect to jumping to conclusions.  This is a media narrative and I think by and large anti-incumbant.  The turnout in my area or borrough was 21% in PA.  (wingnuts stuck on their convictions) most would not vote for an educated ballot.  I work with educated people in a white collar industry and wasn't surprised that as many of them that did voted.  I get over once a week to VA and "anyone" who runs on traffic congestion there is going to garner some traction as it is a real issue and not a fake news fabricated issue.  In PA we did a new tax assesment referendum which isn't surprising as I saw no millenials standing around the election polls.  But property tax reform was the big takeaway.   That said we're carefully watching our effective tax rate, and unless career absolutely anchors us, will move as the taxes not pulled from one pocket must be taken from another and it is ridiculous and non-sustainabe.

I drive over to Reston once a week and know the area, I remember the area when it was cornfields.  It is now a metropolitan sprawl and still growing, there is economic growth however the quality of life, commute time, crime, and other factors not what we want as we are getting older.  We are watching the AARP cost of living index and currently at 50% ibn our current area, and simply not interested in moving to sprawl.

My hunch?  The vote in elections that could matter were anti-incumbant, following the Bernie/Trump trend, no Bush, no Clinton trend.. and people want change even if they cannot articulate that succinctly.. the cocksuckers!


A. Boaty's picture

China's Xi fetes Trump on first day of Beijing trip (Reuters)

From the article:

"The ceremony on Trump’s arrival at Beijing’s airport on Wednesday was also more elaborate than usual, with the Trumps met by a marching band and soldiers standing at attention. Smartly dressed children waving miniature Chinese and American flags jumped up and down as Trump’s motorcade passed.

In another rare, if not unprecedented step, Trump’s official ceremonial welcome at the Great Hall of the People on Thursday will be broadcast live on national television, state broadcaster CCTV said."

Children do not wave miniature flags. They clutch tiny flags. Back to reporterspeak 101, Reuters.

yellowsub's picture

NJ new motto is Goldman Strong!   How quickly they forgot about Corzine...