Portugal

Foxconn To Get $230,000 In Incentives For Every Wisconsin Job Created

The "incentive package" for the Foxconn deal will total $3 billion over 15 years, including $1.5 billion in state income tax credits for job creation; up to $1.35 billion in state income tax credits for capital investment and up to $150 million for the sales and use tax exemption. In other words, just over $230,000 for each new job that Foxconn may (or may not) create.

World Stocks Hit Record High For 10th Consecutive Day In "No-Vol Nirvana"

Traders, so mostly algos, are riding a global risk "high" in stocks as Asia's and then Europe's early 0.4 percent gains ensured MSCI's 47-country All World index was up for a 10th straight session. This is the longest winning streak in global stocks since February 2015 and shows little sign of fatigue even as bond yields edged modestly higher again.

Frontrunning: July 18

  • U.S. Republicans left scrambling after health bill sinks again (Reuters); Republicans Give Up on Health-Care Reform, Now Seek Straight Repeal (BBG)
  • Trump Blames Democrats and a ‘Few Republicans’ for Health-Bill Wreck (BBG)
  • House Republicans Set Out Plan to Rewrite Tax Code (WSJ)
  • House GOP Budget Ignores Trump’s Cuts to Domestic Agencies (BBG)
  • House Republicans unveil 2018 budget with tax reform instructions (Reuters)

The European Union Has A Currency Problem

Donald Trump, for all his rhetorical clumsiness and intellectual limitations, still sometimes makes a valid point. He does when he says that Germany is “very bad on trade.” However much Berlin claims innocence and good intentions, the fact remains that the euro heavily stacks the deck in favor of German exporters and against others, in Europe and further afield.

Global Stocks Rise Amid Strong Economic Data; Yen Drops To 2 Month Low As Oil Resumes Slide

In a quiet overnight session, S&P 500 futures are fractionally in the green (2,426, +0.2%) with European and Asian stocks as oil drops second day after an initial ramp higher amid speculation that LIbya and Nigeria may be asked to cap their production. Nasdaq 100 Index are again higher, following the biggest daily advance in more than a week, up 0.4% as of 6:20 a.m. in New York.

The Three Hidden Subplots Of The G20 Hamburg Summit

"The Group of Twenty, known as G20, is an unaccountable and powerful organization that is the closest thing on earth to a true world government... Financial risk, anti-globalism, immigration, and threats from terrorism will be on full display at this next G20 leaders’ summit. There will also be three key sub-plots happening off the main stage to watch closely."

Albert Edwards: "Something Smells Different This Time"

"Is it conceivable that the Fed is no longer so data dependent and doesn’t care how strong the economy is or whether wage inflation is going to pick up? Many commentators seem to think the Fed will simply back off tightening as soon as the going gets rough – as it has consistently done in the past. But something smells different."

Global Stocks Rebound From Korea Jitters; S&P Flat As Fed Minutes Await; Oil Slides

S&P futures were little changed at 2,425, ignoring the N.Korea tensions of the past two days which will likely be a major topic in the upcoming G-20 summit, as European stocks fluctuate and Asian markets advance. Crude oil fell, snapping the longest winning streak this year, as Russia said it opposed any proposal to deepen OPEC-led production cuts.

Mapping Europe's Temp Worker Epidemic

“The creation of temporary and precarious forms of employment is a normal phenomenon during the early stages of an economic recovery... Over time, however, they could drag down an economy by limiting the room for growth in domestic demand, for example. In addition, rising income inequality feeds growing social and political tensions.