China

China

GM Shares Jump 5% After Forecasting Higher 2017 Profits, Strong China Sales, $5 Billion Buyback

GM stock is surging after CEO Mary Barra, who is presenting at Deutsche Bank conference, gave good news to shareholders when she revealed the company's 2017 adjusted EPS forecast, which at $6.00-$6.50 was well above the consensus estimate of $5.73, and also substantially above the 2016 year end guidance which forecast the carmaker would make "at the high end" of a $5.50-$6.00 range.

Valeant Sells Assets For $2.1 Billion To Reduce Massive Debt Load

Valeant is selling its Dendreon cancer business and three skincare brands for about $2.12 billion to L'Oreal and China's Sanpower Group, as the troubled Canadian drugmaker seeks to pay down some of its massive $30 billion debt. The stock bounced 15% in pre-market trading on the news.

Frontrunning: January 10

  • Immigration in focus as U.S. Senate confronts Trump nominees (Reuters)
  • Jeff Sessions to Be Grilled on Race in First of Hearings (WSJ)
  • Libya Ramps Up Oil Production, Threatening OPEC Plans (WSJ)
  • Valeant to sell assets for $2.12 billion to ease debt load (Reuters)
  • Industry Lobbyists Champ at the Bit, Awaiting Business-Friendly Policies (WSJ)
  • Yahoo to be named Altaba, Mayer to leave board after Verizon deal (Reuters)

Trump Is Set To Label China A "Currency Manipulator": What Happens Then?

The main point of naming China as a currency manipulator would be to bring China back to the negotiation table at the lowest cost. Trump has publicly stated that he supports bilateral vs. multilateral trade agreements. It is possible that the Trump administration will seek to engage China in trade agreement negotiations as soon as possible, even before a manipulation conclusion is drawn.

Obama "Gifts" Iran With Massive Uranium Shipment From Russia Sufficient "For More Than 10 Nuclear Bombs"

Iran is to receive a huge shipment of 130 tons uranium from Russia to compensate it for exporting tons of reactor coolant. The move was approved by the outgoing U.S. administration and other governments "seeking to keep Tehran committed to a landmark nuclear pact." According to outside experts, the shipment could be "enriched to enough weapons-grade uranium for more than 10 simple nuclear bombs."