Fox News Senior Strategic Analyst Gen. Jack Keane (Ret.) discusses the possibility of President Trump meeting with Iran.
Fox News Senior Strategic Analyst Gen. Jack Keane (Ret.) discusses the possibility of President Trump meeting with Iran.
LONDON (Reuters) -British Airways owner IAG is confident travel will recover from July onwards after forecasting only a minimal increase in its capacity to 25% for the April to June quarter. IAG, which also owns Iberia and Vueling in Spain and Aer Lingus in Ireland, declined to forecast how much it would fly from July but said the recovery would be properly underway by then after more than a year of pandemic restrictions. "We consider in the second half that we are going to be flying and we are prepared for that," IAG Chief Executive Luis Gallego told reporters on Friday after the company posted a loss of 1.14 billion euros ($1.4 billion) in the first quarter.
(Bloomberg) -- Science 37 Inc., a digital operating system that facilitates clinical trials, has agreed to go public through a reverse merger with a blank-check company.The Los Angeles-based firm will merge with special purpose acquisition company LifeSci Acquisition II Corp., according to an announcement Friday, which confirmed a Bloomberg News report. The deal values Science 37 at $1.05 billion, including debt.The transaction will include a $200 million private placement from investors including BlackRock Inc., Lux Capital, Mubadala Investment Co., PPD Inc. and the SPAC sponsor’s affiliate, LifeSci Venture Partners, the statement showed.Science 37, whose name references the normal human body temperature in Celsius, allows patients to participate in trials of new drugs and medical equipment from their homes.Researchers use its platform to conduct telehealth check-ins, as well as for administrative tasks such as securing patient consent agreements, according to its website. The company lists Amgen Inc. and Genentech Inc. among its investors and partners.Having to go to a specific site for these trials can often deter patients, Science 37 Chief Executive Officer David Coman said in an interview.“One of the other big issues for traditional site-based models is that they’re typically in neighborhoods that don’t get the under-served patient population,” he said. “An average trial will have a third less diversity in it than the standard population.”LifeSci Acquisition II, backed by boutique investment bank LifeSci Capital, raised $80.1 million in November in an initial public offering. It said in its listing documents that it was seeking targets in the biopharma, medical technology, digital health and health-care services sectors.The vehicle only offered shares and no warrants, which are a common feature in SPACs.Its stock rose 6.5% to $10.75 at 11:04 a.m. in New York on Friday.“The SPAC marketplace ebbs and flows, ups and downs,” said Andrew McDonald, chief executive officer of LifeSci Acquisition II. “We recognize that it was going to be a competitive environment for SPACs and that we would have to differentiate ourselves.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Gold rose for a third straight day, posting its biggest weekly increase since November after a report showed a surprise slowdown in U.S. job growth, supporting the case for continued economic stimulus and low interest rates.Non-farm payroll numbers show the U.S. added 266,000 jobs in April, compared with the 1 million median estimate of analysts. Treasury yields sank on the news as risk appetite faded and the dollar weakened, boosting demand for gold as an alternative asset.Gold has rebounded after a poor start to the year, when it came under pressure from gains in the dollar and bond yields. Both drivers have paused for now, while inflation expectations drive higher amid a commodities boom, lifting the metal’s appeal as a hedge. The jobs numbers reinforce views that monetary tightening remains distant, further helping non-interest-bearing bullion.The jobs data “is lagging, but suggest that, using last month’s data there was no urgency to change policy, which is price supportive for gold,” said Giovanni Staunovo, an analyst at UBS Group AG.Bullion surged on Thursday after several Federal Reserve officials played down concerns over inflation and pushed back on the idea of tapering bond purchases.Spot gold rose as much as 1.6% to $1,843.43 an ounce, the highest since mid February. Prices gained 3.5% this week, the most since early November. Futures for June delivery on the Comex rose 0.9% to settle at $1,831.30 an ounce. Spot silver and platinum also advanced. Palladium dropped as much as 4.1% as traders booked profit after a price rally that sent the emission-curbing metal to fresh record highs.The Bloomberg Dollar Spot Index retreated 0.7% after falling 0.5% on Thursday.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
A bruising bond market sell-off earlier this year appears to remain high on the minds of Federal Reserve officials, who in a report on Thursday singled out the event as illustrative of continuing liquidity issues in the $21 trillion U.S. Treasury market. The Feb. 25 drubbing followed a historically poor auction of 7-year Treasury notes and sent yields surging as market liquidity evaporated in minutes. The event, coming less than a year after the Fed had to inject $2 trillion into the bond market in the space of about five weeks to keep it from a complete melt down, "highlighted the importance of continued focus on Treasury market resilience," the Fed said in its semi-annual Financial Stability Report.
(Bloomberg) -- As the pullback in Federal Reserve monetary support draws inexorably closer, investors are striving to taper-proof their portfolios with 2013’s volatility still fresh in their minds.Eight years ago this month, global yields jumped and risky assets fell on a hint from then-Fed Chairman Ben Bernanke that the central bank might start trimming its crisis-era bond program. Wary of a repeat volatility spike some fund managers are turning to lower-duration high-yield debt for shelter, while others see a tantrum-less taper and are betting on emerging market assets to prevail.With economists expecting the central bank to begin paring asset purchases by the end of this year, Fed officials are sticking to the script that it’s too early to discuss any shift in pandemic policy setting. But moves by counterparts in the U.K. and Canada to slow the pace of bond buying as their economies improve have reminded traders that the Fed cannot avoid the taper forever, especially as U.S. growth surges.“The biggest threat to the market is rates volatility jumping higher, like we saw at the end of February,” said Pilar Gomez-Bravo, investment officer and director of fixed income at MFS Investment Management in London. “The valuations of risky assets are high, so you don’t have a lot of room for complacency.”Gomez-Bravo favors junk bonds as an asset class less vulnerable to a reset in yields than their investment-grade peers, which have much higher duration or sensitivity to interest rates. Leveraged loans are an even better choice and some “stressed” debt securities should be less correlated to broader market repricings, according to Jefferies Financial Group Inc. credit strategist Sherif Hamid.Investment-grade bonds are already under pressure with the largest exchange-traded fund for high-grade credit experiencing its longest stretch of outflows since 2013, according to data compiled by Bloomberg.Taper TemplateBonds took the brunt of the 2013 turmoil, with Treasury yields jumping 50 basis points in the month after Bernanke spoke. Over the same period the MSCI Emerging Markets Index slumped 14% and the Nasdaq 100 fell 4%. However, the tech-heavy gauge now trades on 26 times forward earnings, compared to just 15 times then.This time around, BlackRock Inc. -- the world’s largest asset manager -- suggests that much of the move in the bond market may have already taken place, and emerging market assets should hold up much better.“We still think yields can move somewhat higher but tactically we think the big repricing of the activity restart is now mostly done,” said Ben Powell, chief Asia Pacific investment strategist for the BlackRock Investment Institute.The 10-year Treasury yield is up about 65 basis points this year and traded around 1.57% on Friday. The Bloomberg Barclays U.S. Treasury Total Return Index is down over 3% year-to-date.According to BlackRock, the combination of an economic recovery, heavy stimulus and a broadly stable dollar should be enough to spare risk assets -- including those from developing countries -- much of the impact of a gradual easing of central bank support.The firm is overweight both developed- and emerging-market equities, “and on the fixed-income side we actually upgraded EM local currency debt last week,” Powell said.Jackson HoleGauges of implied volatility in currencies, Treasuries and U.S. equities have retreated after a modest rise at the end of February suggesting investors don’t see an immediate risk of a Fed taper announcement. But trader activity in the options market points to Jackson Hole -- the annual gathering of central bankers in August -- as a likely candidate for taper talk to begin.Meanwhile, investors should parse minutes of Federal Open Market Committee meetings where past experience suggests discussions of tapering will appear first, according to Win Thin, Brown Brothers Harriman & Co.’s global head of currency strategy. Minutes for the April meeting will be released on May 19.“Suffice to say that Chair Powell will take great pains not to surprise the markets with a decision to taper,” Thin wrote Thursday. “Rather, it will be well-telegraphed and the minutes are the first place markets should look.”(Updates pricing in tenth paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Bank of England Governor Andrew Bailey issued a stark warning to those investing in cryptocurrencies: “Buy them only if you’re prepared to lose all your money.”‘In response to a question about financial stability, Bailey said the central bank was well positioned to respond to any threats that might arise. However, he objected to the use of the phrase cryptocurrency and took the opportunity to push back on their growing popularity.“I’m afraid crypto and currency are two words that don’t go together for me,” he said at a press conference Thursday. “They have no intrinsic value.”Bailey has long been dismissive of the assets, and his comments follow yet another period of speculative excesses for a market Nouriel Roubini once described as the “mother of all bubbles.”While in the past, trillions of dollars in stimulus by governments and central banks might have triggered a rush into gold for the inflation-wary and risky stocks for the intrepid, a deluge of cash this time round is flooding into the crypto market. It’s even pushed up the price of digital tokens previously considered a joke, like Dogecoin.The BOE last month said it would join forces with the U.K. Treasury to weigh the potential creation of its own central bank digital currency, joining authorities from China to Sweden exploring the next big step in the future of money. If approved, the U.K.’s digital currency would exist alongside cash and bank deposits, rather than replacing them, they said.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Stocks are in a frenzy. Cryptocurrencies now equal the value of U.S. dollars in circulation. Real estate is booming. And the Federal Reserve is still pumping stimulus into the economy.
The mixed inventories reports may have given buyers a reason to pause. Traders will start shifting their focus to the gasoline numbers.
Bill Gates transferred stakes in several companies to Melinda Gates on the day the power couple announced their divorce
Everyone has a different idea of what wealth is. You could ask 20-somethings what they think wealth is, and they might describe extravagant houses or a private jet. Someone older might mention lucrative investments. Everyone seems to have a different … Continue reading → The post What Is the Financial Definition of Wealth? appeared first on SmartAsset Blog.
As the US economy continues to open up, the April jobs report from the US Bureau of Labor Statistics shows the boom in delivery jobs has taken a tumble. The industry covers workers who deliver and pick up packaged good, employed by companies like Amazon, Fedex, and DHL. When the Covid-19 pandemic halted the world and people stayed home, the demand for online retailers, online grocers, delivery firms shifted into high-gear.
You could be entitled to additional money, based on your 2020 income tax return.
(Bloomberg) -- Citigroup Inc. has been sounding out investors for a new coal-mining vehicle that it says could help limit the unintended consequences from large producers moving to exit the business.The world’s biggest mining companies are under pressure from investors to stop producing thermal coal, the most polluting fuel, but face a conundrum over what to do with their assets. The mines will still keep producing under new owners, limiting any real benefit to the environment, and there’s a risk that whoever buys them may face less environmental and social scrutiny than the large, listed resource companies.Citi has been meeting large institutional investors in London to pitch the idea, called “Coal to Zero,” according to people familiar with the situation and documents seen by Bloomberg News. Trafigura Group, one of the world’s biggest commodity traders, and Resource Capital Funds, are backing the venture. The concept is still in the early stages, the people said.According to the documents seen by Bloomberg, Coal to Zero plans to buy up the best mines in safe mining jurisdictions. It will run them for profit, but commit to closing the operations before 2045. The pitch document says the vehicle will not look to grow or extend production from the mines. In return, investors will get annual dividends representing almost all the company’s profit. A percentage will be allocated to a fund to benefit local communities.For climate scientists, operating coal on this time line is still far too long as the fuel should be taken out of the energy mix much sooner to reach climate targets.Citi has has been vocal about its efforts to mitigate the effects of climate change and recently touted its withdrawal from financing coal mining. The bank said last year that it would stop providing financial services to thermal coal-mining companies over the next 10 years and plans to eliminate its credit exposure entirely by 2030.“Citi is discussing an investment vehicle with a group of sponsors that will facilitate an orderly transition in the coal mining sector,” the bank said in a statement. Coal to Zero “aims to deploy private capital to support an orderly exit from coal in a way that is fair to the people and communities impacted. In doing so, it intends to generate a positive, measurable environmental and social impact alongside a financial return for investors.”A Trafigura spokesperson in Geneva declined to comment. Resource Capital Funds, a mining-focused private equity fund, didn’t immediately respond to an emailed request for comment.In the pitch document, Coal to Zero says it will be an “energy transition vehicle focused on global decarbonization by acquiring, responsibly operating and retiring coal assets significantly before the end of their mineable life.” The company says it will have a measurable environmental and social impact and is seeking interest from “ESG thought leaders.”At least some of the investors pitched to by Citi are skeptical about the idea, according to people familiar with the matter. While the pitch is based on a more ESG-friendly approach to coal mining, backers would continue to profit from the assets in a similar way to the miners being forced to sell them in the first place, they said.Thermal coal has become a major headache for the world’s biggest mining companies as investor pressure grows. For years, companies such as Anglo American Plc and BHP Group have argued they are the best placed to manage the industry’s decline.But after growing push-back from investors, Anglo and BHP are in the process of selling or spinning off their remaining thermal coal mines, meaning some of the best mines in Australia and Colombia are for sale, with few willing buyers available.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Tech investor Cathie Wood tells CNBC she isn't unsettled by the popular ARK Innovation ETF's rough start to May.
The cryptocurrency lacks the mainstream appeal of Bitcoin, but it still has a substantial online community behind it. And that community may be the basis of new financial markets.
The residential construction sector is pumping the brakes, judging by April's jobs numbers, despite the strong demand for homes.
Vlad Tenev, CEO of Robinhood Markets, speaking at a “fireside chat” on Thursday, attempts to dispel any lingering speculation that the brokerage may be a so-called dogecoin whale, maintaining a massive stockpile of the crypto for its own benefit.
(Bloomberg) -- Coinbase Global Inc. sank to a record low as investors fled high-flying market newcomers.The operator of the largest U.S. cryptocurrency exchange slumped 6% to $256.76 on Thursday, dropping for a fourth straight day. That left the shares just above the $250 reference price for its April direct listing. An exchange-traded fund that tracks shares of companies that recently went public plunged for an eighth day, the longest slide since 2015. Virgin Galactic Holdings Inc. and Opendoor Technologies Inc., companies that came to market through blank-check offerings, each sank at least 3.8%.“We saw a mini-bubble in SPACs, IPOs, crypto, clean-tech and hyper-growth in late 2020 and early 2021 and many of these asset classes are nursing bad hangovers,” said Mike Bailey, director of research at FBB Capital Partners.Coinbase’s slide comes as investors pour into extremely speculative cryptocurrencies such as Dogecoin and Binance Coin -- tokens that the exchange doesn’t offer. Most of its traffic had come from Bitcoin trades, but the price of the largest crypto coin has been mired in a narrow band for weeks. Coinbase started trading at $381 on April 14 before briefly topping $400. It’s now down 22% from the close on its first day.Nasdaq had set a reference price of $250 a share on April 13 for Coinbase’s direct listing, a number that’s a requirement for the stock to begin trading, but not a direct indicator of the company’s potential market capitalization.“What has really hurt Coinbase, now that their direct listing has taken off, you’re seeing expectations that other exchanges are coming on board,” said Edward Moya, senior market analyst at Oanda. “There’s this belief this could be as good as it gets for Coinbase in the short-term.”The Renaissance IPO ETF dropped 4.2% on Thursday, bringing its year-to-date loss to about 14%.(Updates prices.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
The crypto run this time has two features the 2017 version didn’t—institutional adoption and actual applications.
HELP ME RETIRE Dear MarketWatch, My wife and I recently sold our home. After paying capital gain taxes, we look to net about $1 million. We are both in our late 60s. My wife is retired, and I work part time in my profession, currently grossing approximately $50,000 a year.