|Day's Range||0.5000 - 0.6300|
The huge surge in stocks like Tesla, Virgin Galactic and Stamps.com have brought back some trader memories of the heady days of the dot-com boom. But Robert Buckland, a global strategist at Citi, studied stock market distributions to show the market of now is not really that similar to that of the dot-com days.
Warren Buffett on Saturday called on corporate America to make their boards of directors more accountable to shareholders and less beholden to chief executive officers, perhaps by reducing their pay and requiring that they buy more stock. In his annual letter to Berkshire Hathaway Inc shareholders, Buffett said pay for outside directors has "soared" to levels that might threaten their independence, sometimes reaching $250,000 to $300,000 for two weeks work, while "generous" age limits ensure "fabulous" job security. Buffett said this can make even "independent" directors resist challenging bad decisions by CEOs, especially in takeovers.
The abandonment of a show as big as Mobile World Congress stings economically for the host city, mobile industry and entrepreneurs from across the globe who attend in hopes of doing deals. And it could just be the beginning.
(Bloomberg) -- Alphabet Inc.’s Google has reached a settlement with state attorneys general over the states’ use of consultants in their antitrust investigation of the internet search giant.Google in October went to court to restrict the Texas Attorney General’s office from disclosing sensitive information to consultants who have worked for competitors and other companies such as News Corp. and Microsoft Corp that have complained about Google to regulators.Both sides reached a settlement that places some restrictions on how the experts can access confidential business information, Google said on Friday.Google had raised concerns over Texas Attorney General Ken Paxton’s hiring of consultants including Cristina Caffarra, an economist with Charles River Associates. She has worked for Google adversaries News Corp. and Microsoft as well as Russia’s Yandex NV, according to court filings.“We remain concerned with the irregular way this investigation is proceeding, including unusual arrangements with advisers who work for our rivals and vocal critics,” Google said in a statement.Paxton later released a statement saying, “With this agreement, experts retained by the state will not be burdened with the unreasonable prohibitions sought by Google. They will be able to lend their important expertise to the state without fear of being frozen out of other employment within their field.”(Updates with Paxton statement, in final paragraph.)To contact the reporters on this story: David McLaughlin in Washington at firstname.lastname@example.org;Ben Brody in Washington, D.C. at email@example.comTo contact the editors responsible for this story: Sara Forden at firstname.lastname@example.org, John HarneyFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
(Bloomberg) -- Amazon.com Inc. has asked a court to force the government to hand over documents related to Defense Secretary Mark Esper’s decision to recuse himself from making decisions on a $10 billion cloud-services contract.In a court filing made public on Friday, Amazon seeks a trove of documents to bolster its challenge of the Pentagon’s Joint Enterprise Defense Infrastructure, or JEDI, cloud contract that was awarded to Microsoft Corp. in October.Amazon Web Services, Amazon’s cloud unit, is also asking the U.S Court of Federal Claims to require the government to turn over materials that shed light on the role that Stacy Cummings, a deputy assistant secretary of defense, played in the procurement.Cummings communicated with the team evaluating JEDI bids and worked on preparations for JEDI-related meetings involving Esper, the lawsuit said. She recused herself from working on the procurement in September 2019, according to the lawsuit.In a previous filing, government lawyers argued that Amazon is “not entitled” to all materials relating to the recusals of Cummings and Esper. They added that Cummings had a conflict with Microsoft, that “did not impact the procurement.”Other files Amazon seeks include “informal notes” between the bid selection team members, JEDI-related content on digital channels and procurement documents that were presented to Esper and Deputy Secretary David Norquist.Representatives for the Defense Department and Microsoft didn’t immediately respond to requests for comment.Amazon filed a lawsuit in November in the U.S. Court of Federal Claims alleging that the Defense Department failed to fairly judge its bid because President Donald Trump viewed Amazon Chief Executive Officer Jeff Bezos as his “political enemy.”Amazon asked the court earlier this month to allow it to question Trump, Esper, former Defense Secretary James Mattis, and Dana Deasy, the Pentagon’s chief information officer.In August 2019, the newly confirmed Esper ordered a review of the procurement after Trump endorsed criticism that the Pentagon had given Amazon an unfair advantage with the contract’s design.The Pentagon announced in October that Esper would recuse himself from any decisions involving the contract to avoid the appearance of a conflict of interest. Esper’s son worked as a consultant for International Business Machines Corp., which along with Oracle Corp., had earlier been eliminated from the competition.Three days after Esper’s recusal, the Pentagon announced it had chosen Microsoft, an upset victory for the company that many in the industry viewed as a distant second to Amazon.“A complete factual record on the bases for these recusals is especially critical in light of the well-grounded allegations AWS has made about the troubling circumstances surrounding the recusals of DoD personnel,” the lawsuit said.The Pentagon’s JEDI project is designed to consolidate the department’s cloud computing infrastructure and modernize its technology systems. Earlier this month, a judge agreed to block Microsoft from working on the contract while Amazon’s lawsuit is being litigated.To contact the reporter on this story: Naomi Nix in Washington at email@example.comTo contact the editors responsible for this story: Sara Forden at firstname.lastname@example.org, Paula DwyerFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Global equity markets slumped on Friday as the fast-spreading coronavirus drove investors into safe havens, with gold hitting a fresh seven-year high and the yield on the 30-year U.S. Treasury bond sliding to an all-time low. Cases of the disease have turned up in 26 countries and territories outside mainland China, killing 11 people, according to a Reuters tally. According to data, mainland China had 892 new confirmed cases and 118 deaths, with most of those in Hubei's provincial capital Wuhan, which remains under virtual lockdown.
U.S. stocks sold off and the Nasdaq had its worst daily percentage decline in about three weeks on Friday as a spike in new coronavirus cases and data showing a stall in U.S. business activity in February fueled investors' fears about economic growth. Declines were led by the technology sector for a second straight session. Tech-related heavyweights Microsoft Corp , Amazon.com Inc and Apple Inc were the biggest drags on the S&P 500.
It was a miserable end to the week for equities as investors ditched riskier assets for safe-haven fare, such as the dollar and gold. Yes, that's correct. Despite the U.S. Dollar Index popping today, dollar-denominated gold closed at multi-year highs while stocks tumbled.Source: Provided by Finviz * The S&P 500 slid 1.05%. * The Dow Jones Industrial Average tumbled 0.78%. * The Nasdaq Composite plunged 1.79%. * Microsoft (NASDAQ:MSFT) was the worst-performing Dow name today, underscoring weakness across the large-cap tech space.Covid-19 concerns were again at the center of the broader market decline, but as was noted yesterday, markets are getting wise to the fact that this issue isn't confined to China -- or Asia for that matter -- and data are confirming as much.InvestorPlace - Stock Market News, Stock Advice & Trading TipsEarlier today, the IHS Markit purchasing managers' index for February checked in at 49.6, a decline of 3.7 points from January and good for the worst reading in more than six years.The weakness "was in part linked to the coronavirus outbreak, manifesting itself in weakened demand across sectors such as travel and tourism, as well as via falling exports and supply chain disruptions," according to IHS Markit. * 7 Delicious Restaurant Stocks to Buy In late trading, 21 of the Dow's 30 components were lower and more than half that group were down 1% or more. Conversely, none of the winners were up 1%. Coke And CoronavirusBefore jumping into Friday's tech wreck, let's have a look at Dow component Coca-Cola Company (NYSE:KO). The defensive stock was up about half a percent in late trading, but investors may do well to not be deceived here.The company became the latest to warn that the novel coronavirus will affect its earnings, warning of a modest impact to first-quarter results. Fortunately, the soft drink giant said it still expects to earn $2.25 a share this year.That's likely the reason why Coca-Cola traded higher today. That and its status as a defensive name. Including Coca-Cola, three of the Dow's four consumer staples residents were in the green today. Usual SuspectsAlthough company-specific news for many of the following names was light to non-existent today, China-sensitive names such as Microsoft, Apple (NASDAQ:AAPL) and Intel (NASDAQ:INTC) were among the Dow's worst offenders.In fact, all of the Dow's technology constituents traded lower today. The only Dow Jones stock with significant China exposure that was higher, and only modestly so, was Caterpillar (NYSE:CAT). That was more a sympathy play on Deere & Company's (NYSE:DE) strong earnings report than anything else. Visa VexedVisa (NYSE:V) couldn't escape the tech carnage today, though there was one encouraging news item out on the name. Brazilian state-controlled bank Caixa Economica Federa is working with Visa on credit and debit cards in that country. That bank issues 109.3 million of those cards and Brazil is Latin America's largest economy. Speaking of Credit CardsAmerican Express (NYSE:AXP) was another Dow offender and this is very much a coronavirus-to-blame situation. With global travel expected to slump due to the virus, AXP could be pinched.AXP is one of Warren Buffett's "big four" holdings and the Berkshire Hathaway (NYSE:BRK.A, NYSE:BRK.B) annual shareholder letter, always widely anticipated, is due out this weekend, so there could be some AXP commentary in there. Bottom Line on the Dow Jones TodayBeyond the coronavirus, there's another issue that could act as a headwind for stocks: they're getting expensive as John Butters of FactSet points out."The forward 12-month P/E ratio of 19.0 on February 19 was above the four most recent historical averages for the S&P 500: five-year (16.7), 10-year (14.9), 15-year (14.6), and 20-year (15.5)," said Butters in a note. "In fact, this marked the first time the forward 12- month P/E had been equal to (or above) 19.0 since May 23, 2002 (19.1)."Of course, equities can get pricey and continue climbing, but a more sanguine environment than one riddled by fatal illnesses is probably necessary for that to happen.As of this writing, Todd Shriber did not own any of the aforementioned securities. He has been an InvestorPlace contributor since 2014. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 S&P 500 Stocks to Buy Increasing Their Dividends in 2020 * 5 Tech Stocks Vying to Win the AR/VR Race * 7 U.S. Stocks to Buy on Coronavirus Weakness The post Dow Jones Today: Flight to Safety Dings Stocks appeared first on InvestorPlace.
The Dow Jones Industrial Average dropped again on Friday—and yields on long-term Treasury debt fell to record lows—but investors can’t simply blame the coronavirus outbreak in China this time. A key U.S. economic indicator registered its weakest reading since 2013. The Markit Services PMI, or purchasing manager index, came in under 50—the level that divides growth from contraction.
Microsoft and Apple took heat in the Dow Jones today, while more weakness in semiconductor stocks weighed on the Nasdaq composite.
U.S. stocks sold off on Friday as a spike in new coronavirus cases in China and other countries and as data showing U.S. business activity stalled in February fueled investors' fears about the economy. Declines on Friday were led by heavyweights Microsoft Corp , Amazon.com Inc and Apple Inc for a second straight day. Chipmakers, with strong ties to China for revenue, also fell sharply, with the Philadelphia Semiconductor index falling 3%.
(Bloomberg) -- The U.S. Justice Department has sought outside legal help to bolster its antitrust investigations of large technology platforms, according to two people familiar with the matter, in a sign that the government may be preparing a lawsuit against one or more of the companies.The department approached at least one law firm about working on the government’s behalf, said the people. That firm -- Kellogg Hansen Todd Figel & Frederick PLLC -- declined to take on the assignment because of a conflict, according to one of the people, who asked not to be named because the investigation is confidential.The agency has opened investigations into Alphabet Inc.’s Google and Facebook Inc., following a July announcement of a broad probe into whether tech platforms are stifling competition. It wasn’t clear which case the department was seeking help for, or whether it will ultimately go through with hiring an outside firm.The move, however, may be a sign the Justice Department is preparing for litigation against the tech companies. Attorney General William Barr said in December that the probe was moving “very quickly” and that he wanted to complete it some time this year.A nationwide coalition of states is also investigating the companies and is working with the Justice Department.The Justice Department declined to comment. Michael Kellogg, one of the founding partners of Kellogg Hansen, where Supreme Court Justice Neil Gorsuch once worked, didn’t respond to a request seeking comment.Earlier: DOJ Plans ‘Expeditious’ Antitrust Probe Into Big Tech PracticesWhile the hiring of outside lawyers is rare, it’s not unheard of. The department in the past has turned to private counsel to take on high-profile litigation, most notably when it hired David Boies to spearhead the landmark antitrust case against Microsoft Corp. two decades ago.In 2012, the Federal Trade Commission similarly hired a top Washington litigator, Beth Wilkinson, then a partner with Paul, Weiss, Rifkind, Wharton & Garrison LLP, to help with its antitrust investigation of Google. The agency ultimately closed that investigation without taking action.An outside firm would enhance the department’s resources if it decided to sue. Litigation against one of the tech giants could be a monumental, years-long undertaking. The Justice Department’s case against Microsoft started in 1998 and ended in 2002, when a court approved a settlement.To contact the reporter on this story: David McLaughlin in Washington at email@example.comTo contact the editors responsible for this story: Sara Forden at firstname.lastname@example.org, Paula DwyerFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
The IBD Live Team discussed stocks to buy and watch during Friday's IBD Live. Among stocks on the move, the Team analyzed a 3% pullback in Microsoft stock.
DOW UPDATE Shares of Microsoft and Nike are trading lower Friday afternoon, dragging the Dow Jones Industrial Average into negative territory. Shares of Microsoft (MSFT) and Nike (NKE) are contributing to the index's intraday decline, as the Dow (DJIA) was most recently trading 257 points lower (-0.
U.S. stock indexes fell on Friday after data showed U.S. business activity stalled in February, while a spike in new coronavirus cases in China and elsewhere sent investors scrambling for safer assets such as gold and government bonds. Declines on Friday were led by heavyweights Microsoft Corp , Amazon.com Inc and Apple Inc for a second straight day.
Stocks today showed weakness in Microsoft and other leaders in the all-important software sector. Small caps fell in lock step with large caps.
DOW UPDATE The Dow Jones Industrial Average is declining Friday morning with shares of Nike and Microsoft seeing the biggest declines for the blue-chip average. Shares of Nike (NKE) and Microsoft (MSFT) have contributed to the blue-chip gauge's intraday decline, as the Dow (DJIA) was most recently trading 185 points (0.
U.S. stock indexes fell on Friday after data showed U.S. business activity stalled in February, and a spike in new coronavirus cases in China and elsewhere sent investors scrambling for safer assets such as gold and government bonds. The manufacturing sector also clocked its lowest reading since August. Declines on Friday were led by heavyweights Microsoft Corp , Amazon.com Inc and Apple Inc for a second straight day.
The Zacks Analyst Blog Highlights: Microsoft, Netflix, Adobe, International Business Machines and Apple
Zacks.com featured highlights include: Microsoft, Ruth???s Hospitality, ResMed, Ross Stores and Maxim Integrated Products
This week, stocks sold off after Apple, Walmart and multiple other U.S. companies warned that revenue will be lower than expected for Q1 2020 due to the China coronavirus outbreak. Actionable stocks making moves on IBD Live included Nvidia, Netflix, Domino's Pizza, Microsoft and more.