Inflation print, Penn-ESPN deal, WeWork operations: 3 Things
The July CPI print is expected out Thursday, August 10. Penn Entertainment (PENN) strikes a $2 billion sports betting deal with Disney's (DIS) ESPN titled "ESPN Bet." WeWork (WE) has disclosed challenges in maintaining its operations after taking in debt amid growing demand for work-from-home benefits. Yahoo Finance Live's Brad Smith breaks down several of the top stories this morning.
Video Transcript
BRAD SMITH: This is Yahoo Finance's Live. I'm Brad Smith alongside Julie Hyman. And here are the three things that you need to start off your morning.
Deflation is now a reality in China. The nation's consumer prices posted their first yearly decline in over two years in July, dropping 3/10 of a percent. Factory gate prices also fell. And the two happening in concert certainly catches investor attention this morning.
Over in the US, all eyes are on tomorrow's CPI release, which should show price increases moderating. The core figure projected to rise 2/10 of a percent in July for a second month. Now that would mark the smallest back-to-back gain in well over two years.
ESPN making a big bet with Penn. The company is announcing a blockbuster deal that will see the Disney-owned sports conglomerate operate branded Sportsbook ESPN BET. Penn will pay ESPN $1.5 billion over the next 10 years for those licensing rights. The business falls in the 16 states where Penn currently operates mobile sports books. A key part of the deal, Penn sold digital media company Barstool Sports back to founder Dave Portnoy.
And WeWork still isn't working. The embattled co-working business saying that there's doubt about its ability to keep operating as a going concern. Now it's a staggering fall from grace for a business that was valued as high as $47 billion back in 2019. The company has been burdened with debt after the COVID pandemic as customers shunned its office spaces and work-from-home took hold. WeWork stock has been trading below $1 since mid-March.
