Boeing

Trump Proves All Politicians Have A Price

Even the most forthright of politicians will prove a dastardly dealmaker if you scratch the surface hard enough. Trump’s laying bare the idea that not all politicians have a price. Don’t get me wrong: I also enjoy watching the Left lose its collective shit over Trump’s astounding election, but I still feel a great deal of glee watching congressional Republicans fumble all over one another, trying to stay in the good graces of the new president.

Iran Negotiated Boeing Plane Purchases At Half Price

"Boeing has announced that its IranAir contract is worth $16.6 billion. However, considering the nature of our order and its choice possibilities, the purchase contract for 80 Boeing aircraft is worth about 50 percent of that amount," said Deputy Transport Minister Asghar Fakhrieh-Kashan, quoted by Iran's IRNA state news agency.

Trump Wins Again - Lockheed CEO Gives "Personal Commitment" To Cut F-35 Costs "Aggressively"

It appears the so-called 'Twitter-spanking' approach of president-elect Trump is working. First Carrier, then Ford, and now, following his earlier jab at Lockheed's F-35 costs by asking Boeing to price-out a comparable F-18, Lockheed Martin CEO Marillyn Hewson has reportedly given Trump her "personal commitment" to "aggressively" drive down costs of the F-35 program. The question is what was the quid-pro-quo in this instance?

Dave Collum's 2016 Year In Review - "And Then Things Got Really Weird..."

"Markets don’t have a purpose any more - they just reflect whatever central planners want them to. Why wouldn’t it lead to the biggest collapse? My strategy doesn’t require that I’m right about the likelihood of that scenario. Logic dictates to me that it’s inevitable..."

Frontrunning: December 23

  • Berlin market attack suspect killed in Italy (Reuters)
  • Tunisian Suspect Had a History of Criminal Activity, Extremism (WSJ)
  • Hijacked Libyan plane lands in Malta with 118 on board (Reuters)
  • Deutsche Bank, Credit Suisse Settle U.S. Probes as Barclays Sued (BBG)
  • Italy Sets Up Fund to Help Troubled Banks (WSJ)

Futures Unchanged In Thin Pre-Holiday Tape; Italian Bank Bailout Lifts European Shares

European stocks halted two days of declines, with the Stoxx 600 fractionally in the green and Italy’s bonds climbing after Monte Paschi requested a bailout and Italy pledged to provide support for its other ailing lenders. S&P futures were little changed among extremely thin volumes while Chinese stocks dropped amid concerns on higher borrowing costs.

Despite Trump Hope, Durable Goods Tumbles Most Since Aug 2014 As Non-Defense Orders Crash

Despite exuberance in soft "survey" data post-Trump, as hope for change re-appears, "hard" data continues to disappoint with Industrial production weakness and now durable goods orders tumbling 4.6% MoM (slightly better than expected -4.8%) - the biggest drop since Aug 2014. Durable Goods New Orders decline YoY once again (-0.5%) as ex-defense orders crashed 6.6% MoM (-2% YoY).

Frontrunning: December 22

  • Fingerprints of Tunisian suspect in Berlin attack found on truck door (Reuters)
  • Germany Ill-Prepared for Terror Fight, Critics Say (WSJ)
  • Monte Paschi Will Need a Huge State Rescue (BBG)
  • Trump denounces attack, vows tough immigration plan (AP)
  • Trump’s New Appointments Shake Up Trade, Regulation (WSJ)

US Army Deploys Tanks To Europe Ratcheting Up Tensions With Russia

In January, the US Army in Europe is due to deploy a total of 4,000 American troops and around 2,000 military vehicles on a rotational basis to Poland, Romania, Bulgaria and the Baltic nations. NATO forces will move to the Baltic States in early spring. In an overtly provocative move, an American battalion will be stationed in Poland near the border with Kaliningrad, Russia’s Baltic enclave.

Frontrunning: December 19

  • Electoral college expected to officially select Trump (Reuters)
  • China says discussing return of undersea drone with U.S. military (Reuters)
  • Neutral PBOC Sets Up First U.S.-China Tightening Since 2006 (BBG)
  • Wall St sleepwalking into Trump volatility surge (FT)
  • Ukraine's largest bank rescued by state, prompts call for calm (Reuters)

Trump Picks Fiscal Conservative Hawk Mulvaney As Budget Director

Hinting at a substantial clampdown on government spending over the next four years, this morning President-elect Trump announced the selection of South Carolina Rep. Mick Mulvaney to be his first budget director Saturday morning, a nomination which would put a "fiscal conservative hawk" in charge of managing the federal budget and the logistics of government affairs.