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c8cbb1ae26fafe90dad38b2ed8409f44 | https://www.cnbc.com/2018/06/13/uber-driver-loses-app-access-after-kicking-lesbian-couple-out-of-car.html | More trouble for NYC Uber driver who kicked lesbian couple out of car for kissing | More trouble for NYC Uber driver who kicked lesbian couple out of car for kissing
Emma Pichl (L) and her girlfriend Alex Iovine (R) kissed in the backseat of a New York City Uber, leading to an altercation with the driver, and charges of LGBTQ discrimination.Emma Pichl/Alex Iovine
Ride-hailing service Uber launched an investigation after a driver reportedly asked a lesbian couple to get out of his car when he saw them kiss in the backseat. Now the New York City Taxi and Limousine Commission has suspended the driver's taxi license, pending an investigation.
Alex Iovine, 26, and Emma Pichl, 24, were picked up in Brooklyn last weekend after celebrating a friend's birthday at a local beach.
The two were headed to Manhattan to meet another group of friends.
"We were sitting in the two window seats with the middle seat between us," Iovine told CNBC. "At one point we turned to each other and pecked on the lips."
Halfway to their destination, the driver, Ahmad El Boutari, pulled his car over and asked the women to get out of the car. Thinking it was a joke, the couple laughed, until the driver exited the vehicle, opened the passenger door and demanded the couple exit the car. Starting to feel threatened and unsafe, the couple took out their phones and began recording the exchange. (The video was shared widely in the press on Monday.)
In the video Iovine asks why they were being asked to leave.
VIDEO1:0301:03Lesbian couple kicked out of NYC Uber after kissing in carRetail
"It's illegal," the driver said. He added: "You can't do this in the car. It's disrespectful. You aren't allowed to do this."
The couple realized he was reacting to their kiss, and the couple continued to ask why they aren't allowed to kiss.
"It's not illegal to kiss in New York," Iovine told CNBC. "We leaned in for a peck."
The incident was reported by both the couple and the driver.
CNBC could not reach the driver for comment.
According to Uber Community Guidelines under a section titled, "Give riders and drivers some personal space," passengers agree to the following upon entering the vehicle:
"Don't touch or flirt with other people in the car. As a reminder, Uber has a no-sex rule. That's no sexual conduct between drivers and riders, no matter what."
Under reasons stated by Uber for riders losing access to Uber is, "Physical contact with the driver or fellow riders. As our community guidelines make clear, you shouldn't touch or flirt with other people in the car."
Iovine said the incident was a clear breach of Uber's Community Guidelines as it relates to discrimination on grounds of sexual orientation.
Under its guidelines for drivers, Uber says discrimination of any type may result in permanent deactivation of a driver's account. Drivers cannot "refuse to provide services based on characteristics like a person's race, color, religion, national origin, disability, sexual orientation, sex, marital status, gender identity, age or any other characteristic protected under relevant federal, state, or local law."
The guidelines also state that "asking overly personal questions, using verbal threats and making comments or gestures that are aggressive, sexual, discriminatory or disrespectful" are not allowed.
I would never want to violate the driver's rights, but protect the riders, too, and update the policy.Alex Iovinean Uber passenger kicked out of a car for kissing her girlfriend
Uber did not respond to a question from CNBC as to whether its Community Guidelines on "no contact" were within the driver's right to interpret as supporting his actions and whether the guidelines may need to be revised.
The passengers defended their contact.
"Anyone who knows me knows that I'm respectful and I would never engage in sexual conduct in public," Iovine said. "I think it would be disrespectful to engage in that in someone's Uber, but that is nothing close to what happened here."
The video shows the women saying they are going to call the police and report the driver to Uber. The driver then reached toward the girls and reportedly tried to grab the phone from Pichl. Iovine can be heard shouting, "Get off her phone."
New Uber CEO Dara Khosrowshahi slammed the driver in an interview with the New York Post on Monday, saying that drivers like the one who kicked the lesbian couple out of his car for kissing "don't belong on Uber."
"This is an open society, and Uber is a platform that is available to anybody regardless of your background, your orientation, and that is sacred to us. It's an unfortunate circumstance, and we will do everything we can for that not to repeat," the Uber CEO was quoted as saying.
Uber's business model is predicated on it not employing any of its drivers. It built its business into a multibillion-dollar giant by reiterating the view that it is a technology company, not a transportation company, and drivers are all independent contractors. California's Supreme Court recently issued a decision that narrowed the definition of independent contractor, but in April a U.S. District court in Philadelphia ruled that drivers are not Uber employees.
"Uber does not tolerate any form of discrimination, and we have reached out to the rider regarding her experience," Uber spokeswoman Susan Hendrick said in a statement shared with CNBC. "We are investigating and will take appropriate action."
Since the incident, Uber has apologized, refunded the couple for their ride and notified them that the driver's access to the app has been removed.
"It's a helpless position, and I hope this sets a precedent to Uber," Iovine said.
Iovine and Pichl suggested the company create some type of profile for drivers, allowing them to identify drivers as LGBT-friendly in order to make passengers feel more comfortable.
Khosrowshahi continues his efforts to clean up the ride-hailing company's image. Uber was No. 2 on the 2018 CNBC Disruptor List amid the new CEO's public-image rehabilitation effort. The company was recently valued at $62 billion. Last month Khosrowshahi committed to closely monitoring driver backgrounds, and allowing riders to get in touch with authorities more quickly and effectively in the event of an emergency.
This incident also comes after Uber changed their policy on claims of sexual misconduct. The company announced it would be rolling back the use of forced arbitration agreements for employees, riders and drivers — giving victims of sexual assault more options.
"My hope is Uber does something to change their policy or prevent this from happening," Iovine said. "I would never want to violate the driver's rights, but protect the riders too and update the policy."
The couple said they have deleted the app and will no longer be using the service.
— By Brandon Gomez, CNBC news associate
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0a6e3a2ab6decc3adeaa0836b559de72 | https://www.cnbc.com/2018/06/13/uk-leader-theresa-may-on-the-special-relationship-with-the-us.html | UK leader Theresa May says 'special relationship' with the US means there can also be disagreements | UK leader Theresa May says 'special relationship' with the US means there can also be disagreements
VIDEO2:5602:56UK Prime Minister Theresa May: We disagree with the US on tariffs and the Iran nuclear dealHalftime Report
The close relationship between the U.S. and the U.K. means the two countries can disagree on certain issues but still find solutions, British Prime Minister Theresa May told CNBC Wednesday.
Speaking in an exclusive interview at 10 Downing Street, May said there are "some" issues where she doesn't see eye-to-eye with President Donald Trump, but added that "the special relationship" would continue and "endure long into the future."
"We disagree on the steel and aluminum tariffs that have been imposed on the European Union, and the U.K. within that. And we disagree on the nuclear deal in Iran," she told CNBC's Steve Sedgwick.
"The point about the relationship is that we're able to have those disagreements and talk those through. But that special relationship between the U.S. and the U.K. continues and I think will endure long into the future."
The U.K. is against the U.S.'s decision to implement metal tariffs against the EU, with the Trump administration claiming that the imports are a national security threat. Trump's decision to pull out of a nuclear deal with Iran also upset the U.K., who said the deal had been working.
Britain's Prime Minister Theresa May holds a press conference at the end of the second day of the G7 Summit on June 9, 2018 in La Malbaie, Canada. Leon Neal | Getty Images
However, May outlined other issues where the relationship with the U.S. has shown healthier signs. The U.S. expelled some Russian diplomats in the wake of a nerve agent attack in the U.K., which British officials blamed on Russian authorities.
May also said the summit with North Korea this week had been an "important" moment worldwide.
"I welcomed what has taken place in Singapore," she said, "What Trump has done is important not just for that region but for the world as well."
Trump and North Korean leader Kim Jong Un met Tuesday in Singapore. The two leaders signed an agreement that vows to denuclearize the Korean Peninsula.
However, critics have complained that the deal is unclear about how international authorities will verify that the rogue state is taking the necessary steps to end its nuclear program, and that it also doesn't give a timeframe for the denuclearization.
Trump had started the week in Canada at a G-7 meeting. The meeting ended with an intense exchange of words between the host nation and the U.S.
Trump revoked his support for a joint statement after the meeting, following comments from Canadian Prime Minister Justin Trudeau. The latter said though he did not want to "punish American workers," but he would be pressing ahead with retaliatory tariffs against the U.S.
As a result, Trump called Trudeau "dishonest and weak" and warned the other G-7 leaders that retaliation against his tariffs on steel and aluminum imports, first announced in March, would be a mistake.
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318a4ee4f334cf85af5bd7e791064717 | https://www.cnbc.com/2018/06/13/us-groups-sue-trump-administration-over-water-protections.html | US groups sue Trump administration over water protections | US groups sue Trump administration over water protections
Protesters rally against Scott Pruitt outside the New York City office of the Environmental Protection Agency (EPA), June 6, 2018.Drew Angerer | Getty Images
Environmental groups sued the Trump administration on Wednesday challenging moves they say weaken protections for rivers, wetlands and other waterways.
The actions follow an executive order by President Donald Trump in February 2017 that directed the Environmental Protection Agency to work toward rescinding a clean water rule issued under President Barack Obama in 2015.
Nine conservation organizations, including the Center for Biological Diversity and regional groups in California and Idaho, filed the lawsuit with the U.S. District Court Northern District of California.
The 2015 rule known as Waters of the United States (WOTUS) gave the federal government power to limit pollution in major waterways and wetlands.
In late January, the EPA said that WOTUS will not be applied for two years while it works to repeal and replace the Obama-era clean water regulation.
"The delay further exacerbates water quality problems," Hannah Connor, senior attorney for the Center for Biological Diversity, said in an email.
The groups want the court to annul the delay.
Defendants include Environmental Protection Agency Administrator Scott Pruitt, the EPA, and the U.S. Army Corps of Engineers.
The EPA and the Army Corps of Engineers declined to comment on pending litigation.
The lawsuit also challenges parts of the 2015 rule because the groups claim it removed clean water safeguards for certain kinds of waterways.
Pruitt has been visiting agricultural states this week to discuss the WOTUS rule, which was widely panned by farmers during the Obama administration. He will hold a roundtable on the rule on Thursday in Nebraska.
"This is yet another gift by the Trump administration to big agribusiness operations, allowing more agricultural pollutants on our food and in our environment," Adam Keats, a senior attorney at the Center for Food Safety, said in a statement online.
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2942d7381c7d3f27e5139f0f11fa462f | https://www.cnbc.com/2018/06/13/us-stock-futures-dow-data-fed-decision-and-politics-on-the-agenda.html | Dow falls nearly 120 points after Fed hikes rates, points to more increases in 2018 | Dow falls nearly 120 points after Fed hikes rates, points to more increases in 2018
VIDEO3:2003:20Fed raises rates and inflation forecastsPower Lunch
Stocks fell after the Federal Reserve hiked interest rates and indicated that two more increases are likely this year.
The Dow Jones industrial average fell 119.53 points to finish at 25,201.20 as losses in Boeing and Caterpiller shares offset gains in shares of Walt Disney Company. The S&P 500 lost 0.4 percent to close at 2,775.63 with consumer discretionary the only positive sector.
The Nasdaq composite rose to a new intraday high early in the session as media stocks rallied following a federal judge's decision to permit AT&T's bid for Time Warner. The tech-heavy index later dropped 0.11 percent to finish at 7,695.70 following the Fed's decision.
The Federal Reserve hiked interest rates 25 basis points after its June meeting as widely expected, but suggested two more increases are likely this year. According to the Fed's so-called dot plot, which tracks participant expectations for interest rates, members now expect four hikes this year, up from the three previously expected.
The notion of a more aggressive Fed raised concerns about higher borrowing costs dragging on the economy and ultimately weighed on the market. Most of the mover lower came in the final 30 minutes of trading.
The Fed changed several phrases from its prior memos, citing more optimistic economic growth and higher inflation expectations.
"Information received since the Federal Open Market Committee met in May indicates that the labor market has continued to strengthen and that economic activity has been rising at a solid rate," the Fed statement read. "Job gains have been strong, on average, in recent months, and the unemployment rate has declined."
Wednesday's increase in rates moves the funds target rate to 1.75 percent to 2 percent.
"I think the market is quite rightly globing on to the view that this is a more hawkish tone," said Eric Lascelles, chief economist at RBC Global Asset Management. "On the economic side, notwithstanding a middling start to the year, second-quarter economic growth is tracking for 4 percent. While that's probably not sustainable ... all of the economic checkpoints are reading quite strong."
The yield on the benchmark 10-year Treasury note briefly rose above 3 percent following the central bank's statement before retreating back to 2.977 percent. The dollar index, which pits the greenback against a basket of other currencies, initially rose above 94 before backing off to 93.57.
Media and telecommunications stocks rose on Wednesday, stemming the market's loss, following a U.S. District Court's decision to allow AT&T's $85 billion bid for Time Warner.
The federal judge's ruling did not impose conditions on the merger's approval, clearing the way for other vertical deals. The approved deal gives the pay-TV provider ownership of cable companies such as HBO and CNN as well as film studio Warner Bros.
Shares of Twenty-First Century Fox rallied 7.7 percent Wednesday, ahead of a widely anticipated bidding war between Comcast and Disney for portions of Rupert Murdoch's business.
Disney, which offered Fox an all-stock, $52.4 billion deal for assets including cable networks and its entertainment businesses, will likely be forced to decide whether it's willing to top a significantly higher bid from Comcast. Disney shares finished 1.9 percent higher.
After the close, Comcast offered $65 billion in cash for the Fox assets, a 19 percent premium to Disney's bid.
Time Warner shares rallied 1.8 percent following the ruling, while online television and film company Netflix rallied 4.4 percent after Goldman Sachs reiterated its buy rating on shares and raised its price target to the highest on Wall Street.
AT&T shares declined 6.2 percent.
A trader on the floor of the New York Stock Exchange.Michael Nagle | Bloomberg | Getty Images
Media stocks are "moving on all of the possible M&A activity and I think it's the other potential M&A targets that are getting the attention now," said Art Hogan, chief market strategist at B. Riley FBR. "The other concern today would be if the signal coming out of the Fed is two more hikes this year and consensus moves up on that."
While U.S. markets have remained comparatively calm over the past two weeks, stricter monetary policy from the Fed, as well as more hawkish commentary from the European Central Bank, appeared to stress certain debt-heavy economies like those of Italy and Brazil.
The ECB will hold its policy meeting on Thursday. The institution's chief economist, Peter Praet, said last week that the central bank will discuss how it will wind down its bond-buying program at the meeting, a move that could affect rates worldwide.
Politics is however still likely to be on investors' minds, as markets evaluate the outcome of a meeting between President Donald Trump and North Korean leader Kim Jong Un, who both signed an agreement Tuesday that committed to "complete denuclearization" of the Korean peninsula.
— CNBC's Alex Sherman and Tae Kim contributed to this report.
Disclosure: Comcast is the owner of NBCUniversal, parent company of CNBC and CNBC.com.
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131d981f7d351443b14e7c10f89f07e2 | https://www.cnbc.com/2018/06/14/dropbox-dbx-stock-on-pace-for-its-best-day-since-ipo.html | Dropbox sees best day since going public on massive trading volume | Dropbox sees best day since going public on massive trading volume
Dropbox Inc. co-founders Drew Houston and Arash Ferdowsi celebrate while watching the initial trade of Dropbox (DBX) as it is listed for the company's initial public offering (IPO) at the Nasdaq Market Site in New York City, U.S., March 23, 2018.Lucas Jackson | Reuters
Dropbox saw its best day since going public Thursday, with massive trading volumes sending shares up roughly 20 percent at their peak.
The stock closed 14 percent up at $36.12, after hitting an all-time high of $38.09 earlier in the day. Shares traded at 10 times their normal trading volume.
Thursday's surge lifts Dropbox roughly 80 percent over its IPO price of $21.
Dropbox debuted on the public markets in March, soaring 35 percent on its first day. The company offers cloud storage for personal and enterprise use.
VIDEO5:1705:17RBC’s Mahaney on why he’s bullish on DropboxSquawk Alley
There's no obvious reason for the rally, but Dropbox has been pegged as an acquisition target in the past. In an April note Piper Jaffray analysts led by Alex Zukin flagged Apple, Salesforce, Cisco, Google and Microsoft as companies with the potential to buy Dropbox.
Before Thursday, the stock's largest single-day gain since its opening day topped out at 7 percent.
A company spokesperson declined to comment when contacted by CNBC.
--CNBC's Jordan Novet contributed to this report.
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91f597fa8e328d40af353e4eea726928 | https://www.cnbc.com/2018/06/14/fyre-festival-organizer-sold-fake-tickets-while-out-on-bail-us-says.html | Fyre Festival organizer sold fake tickets while out on bail, US says | Fyre Festival organizer sold fake tickets while out on bail, US says
Billy McFarland, the promoter of the failed Fyre Festival in the Bahamas, leaves federal court after pleading guilty to wire fraud charges, Tuesday, March 6, 2018, in New York.Mark Lennihan | AP
The disgraced organizer of the Fyre Festival, who was charged last year with wire fraud in connection to the failed event, ran a fraudulent ticket-selling scam for several months while he was out on bail and now faces new charges, federal prosecutors said on Tuesday.
The announcement came about two months after the organizer, Billy McFarland, pleaded guilty to defrauding investors and vendors of the festival, marketed as a music extravaganza in the Bahamas. He piled up losses of about $26 million and is scheduled to be sentenced next week.
In a statement on Tuesday, federal prosecutors in Manhattan said that from late 2017 to about March — months after Mr. McFarland had been charged — he ran a company that sold fraudulent tickets to exclusive events like the Met Gala, Burning Man and Coachella. In one case, the authorities said, two customers flew from Florida to New York for the Grammy Awards, only to be turned away at the door.
More from the New York Times: Organizer of failed Fyre festival pleads guilty to fraud In wreckage of the Fyre festival, fury, lawsuits and an inquiry Fyre festival, a luxury music weekend, crumbles in the Bahamas
Prosecutors also allege that Mr. McFarland used an email account in the name of another employee of the company he owned, NYC VIP Access, and sent sale proceeds to other people's financial accounts to try to hide his involvement.
In all, they say, Mr. McFarland, 26, defrauded about 15 customers out of about $100,000. Now, in addition to the two counts of wire fraud to which he has already pleaded guilty, prosecutors have charged him with a third count of wire fraud and one count of money laundering.
"William McFarland, already awaiting sentencing for a prior fraud scheme, allegedly continued to conduct criminal business as usual," United States Attorney Geoffrey Berman said in a statement.
He pleaded guilty to "defrauding investors and vendors of the Fyre Festival, but it is apparent that he did not stop there," added William F. Sweeney Jr., the assistant director in charge of the F.B.I.
Each of the three wire fraud charges carries a maximum sentence of 20 years in prison, as does the single count of money laundering.
Efforts to reach a lawyer for Mr. McFarland were unsuccessful on Tuesday night.
The Fyre Festival — which was billed as an extravagant, opulent experience in the Bahamas — failed in spectacular fashion in April 2017. Hundreds of concertgoers suffered through a disorganized mess filled with soggy tents and cheese sandwiches in foam containers; Blink-182, which was to headline the festival, never performed.
The event was such a disaster that several lawsuits were filed seeking millions and alleging fraud, breach of contract and more. The endeavor also became the focus of a criminal investigation.
In June 2017, Mr. McFarland was arrested by federal agents at his home in Manhattan and charged with wire fraud. The next day he made his first appearance before a magistrate judge and was released on $300,000 bail.
In March, he pleaded guilty to two counts of wire fraud related to the festival and to his company Fyre Media. He told the federal judge, Naomi Reice Buchwald, that he had begun organizing the festival with good intentions but had "greatly underestimated the resources" it would take.
"I lied to investors about various aspects of Fyre Media and my personal finances," Mr. McFarland said at the time. "I deeply regret my actions."
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31a9e99a306f9cdae445365c0b9f4132 | https://www.cnbc.com/2018/06/14/new-york-attorney-general-sues-trump-and-family-over-charity.html | New York attorney general sues Trump and family over charity, claiming 'illegal conduct' for 'more than a decade' | New York attorney general sues Trump and family over charity, claiming 'illegal conduct' for 'more than a decade'
VIDEO0:3800:38Trump tweets about New York AG lawsuitSquawk on the Street
New York Attorney General Barbara Underwood sued President Donald Trump, three of his adult children and their charitable foundation Thursday, claiming "a pattern of persistent illegal conduct" for more than a decade.
Underwood said the Donald J. Trump Foundation engaged in "extensive unlawful political coordination with the Trump presidential campaign."
She also alleged "repeated and willful self-dealing transactions to benefit Mr. Trump's personal and business interests." She said the foundation violated "basic legal obligations for non-profit foundations."
In addition to Trump and the foundation, Underwood is suing Donald Trump Jr., Eric Trump, and their sister Ivanka Trump, a senior adviser to the president.
The family members are all board members of the foundation, according to Underwood, who filed suit in state court in New York City. Underwood said the board of directors "existed in name only," since it never met after 1999 and did not approve of any grants.
Instead, Trump himself "made all the decisions related to the Foundation," according to the AG's office.
"As our investigation reveals, the Trump Foundation was little more than a checkbook for payments from Mr. Trump or his businesses to nonprofits, regardless of their purpose or legality," Underwood said in a statement.
"This is not how private foundations should function and my office intends to hold the Foundation and its directors accountable for its misuse of charitable assets."
The attorney general, a Democrat, said that the president used the foundation's name and funds it raised from the public to pay off his legal debts, promote Trump-branded hotels and other businesses "and to purchase personal items."
Those allegedly questionable payments included a $100,000 payment to settle legal claims against the president's Mar-a-Lago resort in Florida, a $158,000 payment to settle claims related to a hole-in-one tournament at the Trump National Golf Club in Westchester County and $10,000 at a charity auction to buy a painting of Trump that was later displayed at his Trump National Doral in Miami.
And, at Trump's behest, the foundation "illegally provided extensive support to his 2016 presidential campaign by using the Trump Foundation's name and funds it raised from the public to promote his campaign," Underwood's office said.
The AG said the foundation raised more than $2.8 million at a nationally televised event that Trump hosted after he declined to participate in a presidential debate in Iowa.
Trump's campaign director at the time, Corey Lewandowski, "in violation of state and federal law," then "dictated the timing, amounts, and recipients of grants by the Foundation to non-profits," the AG's office said.
The suit said at least five grants of $100,000 apiece were awarded by the foundation to groups in Iowa just days before the Feb. 1, 2016, presidential caucuses there.
Eric Trump, Donald Trump and Ivanka Trump speak during a charity event in New York City in 2012.Getty Images
Underwood is asking for restitution of $2.8 million, plus penalties. She is also seeking to dissolve the foundation and to bar Trump from serving as a director on a nonprofit group in New York for 10 years, and to bar each of his children named in the suit from such posts for one year each.
Underwood has sent referral letters about her allegations to the IRS and the Federal Election Commission for further investigation and possible legal action.
Trump quickly fired back at the suit on Twitter, referencing not Underwood, but her immediate predecessor Eric Schneiderman, who recently resigned after a report that he had been physically violent with four women with whom he had been romantically involved.
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In a statement, a Trump Foundation spokesman said Underwood's lawsuit is "politics at its very worst."
"The Foundation has donated over $19 million to worthy charitable causes — more than it even received," the spokesman said. "The President himself — or through his companies — has contributed more than $8 million. The reason the Foundation was able to donate more than it took in is because it had little to no expenses. This is unheard of for a charitable foundation."
"The Foundation currently has $1.7 million remaining which the [New York Attorney General] has been holding hostage for political gain. This is unconscionable — particularly because the Foundation previously announced its intention to dissolve more than a year and a half ago."
"The prior NYAG, who was recently forced to resign from office in disgrace, made it his stated mission to use this matter to not only advance his own political goals, but also for his own political fundraising. The acting NYAG's recent statement that battling the White House is 'the most important work [she] have ever done' shows that such political attacks will continue unabated."
VIDEO1:3701:37New York AG sues Donald Trump, his family and the foundationSquawk on the Street
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1f21e05c67fde747027ccf45df761ddc | https://www.cnbc.com/2018/06/14/paul-manafort-set-to-attend-arraignment-and-bail-hearing-on-friday.html | Paul Manafort's freedom at risk as he heads to court to face new witness-tampering claims | Paul Manafort's freedom at risk as he heads to court to face new witness-tampering claims
Former Trump campaign chairman Paul Manafort (L) arrives at a federal courthouse with his attorney Kevin Downing, November 2, 2017 in Washington, DC.Getty Images
Paul Manafort, President Donald Trump's former campaign manager, heads to federal court in Washington Friday morning, facing the very real risk of being sent to jail that same day.
Manafort faces arraignment on charges of witness tampering filed last week by special counsel Robert Mueller.
The judge in the case will also hear arguments by Mueller that Manafort's $10 million bail should be revoked or modified because of that alleged tampering.
Manafort, who was already facing serious criminal charges, is now also accused of trying to influence a potential trial witness while under house arrest.
That witness was connected to a lobbying group that worked on behalf of ex-Ukrainian President Viktor Yanukovych, the special counsel's court filing said.
Mueller claims Manafort recently sent the potential witness an encrypted message. Manafort allegedly was trying to get the witness to agree with his story that the lobbying group "worked in Europe."
In reality, both men knew the group also worked in the United States without having registered as representatives of a foreign government, as was legally required, according to Mueller.
Manafort's Russian associate Konstantin Kilimnik has also been charged with knowingly trying to influence or prevent witnesses' testimony.
Manafort's lawyers have denied he did anything improper.
Manafort has been charged in several indictments with acting as an unregistered foreign agent, lying to investigators and conspiracy to launder money, among others.
Those alleged crimes relate to Manafort's consulting work on behalf of a pro-Russia political party in Ukraine.
Manafort has pleaded not guilty to all charges.
Mueller's team has so far issued indictments against a total of 20 people and entities as part of its investigation of Russian interference in the 2016 election.
Manafort's status in the Trump campaign and connections to pro-Russian political parties in Ukraine have made him a central figure in the probe.
Manafort also attended a June 2016 Trump Tower meeting with Donald Trump Jr. and a Kremlin-linked Russian lawyer, in which the younger Trump was promised damaging information about Democratic presidential nominee Hillary Clinton.
That meeting reportedly has become a focus of Mueller's probe into whether the president, who drafted a misleading public statement about the meeting, obstructed justice.
Mueller's investigation to date has collected five guilty pleas — including one from Manafort's longtime associate Rick Gates.
Gates was also involved in Trump's campaign and had been accused of many of the same charges still facing Manafort.
Gates agreed to cooperate with the special counsel after pleading guilty to conspiracy against the United States and to lying to investigators.
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b8cc0b058d3c3c930bded3223307baa6 | https://www.cnbc.com/2018/06/14/roku-could-easily-rally-to-50-portfolio-manager.html | Roku shares are up nearly 28% within the last month but Macquarie Research thinks that rally still has room to run. The firm initiated Roku with an outperform rating and a $49 price target.
"Disintermediation of television content and services leaves Roku in a position to capitalize on its role as a new-age intermediary," analyst Paul Golding wrote in a note to clients Thursday. "Roku stands to benefit from more ads thanks to connected TV viewership."
Magna, a global marketing consultant firm, expects global digital ad spend to hit ~$100B by 2019 and keep growing – a source of potential upside highlighted in Golding's analysis.
On Thursday's "Halftime Report," HPM Partners' Jim Lebenthal argued that there is a lot to like in the stock despite its battle against other big name streaming platforms like Amazon and Apple.
VIDEO2:5502:55Macquarie: Buy RokuHalftime Report
"What they have here, they sell these players, these basically set-top boxes, they don't make a lot of money on that but what happens is they build their subscriber base. It gets cumulative, it's sticky, it's much higher margins...They're this close to becoming profitable," Lebenthal said.
Although he doesn't see the company getting crushed by competition anytime soon, Lebenthal is still cautious about the size of his position. "It's very volatile. You got to be comfortable with that volatility," Lebenthal said. "Don't take too much of it on but I do think this is going back to $50 easily."
It's been a wild ride for the stock. Within the last six months, Roku's share price has gone from roughly $56 in December down to $30 in April before rebounding back up to nearly $45 as of Thursday's close.
Roku finished up 3.6% on Thursday while the NASDAQ hit a new all-time intraday high at 7768.60.
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04e21aaaa52980f3e3bcc379336e5c6d | https://www.cnbc.com/2018/06/14/russian-government-plans-vat-hike-and-raising-the-retirement-age.html | Russian government plans VAT hike and raising the retirement age | Russian government plans VAT hike and raising the retirement age
Russian President Vladimir Putin (R) and Prime Minister Dmitry Medvedev (L) attend a meeting in Moscow in May 2015.Sasha Mordovets | Getty Images
Russia's government has proposed raising value-added tax (VAT) to 20 percent from 18 percent, starting from 2019, Prime Minister Dmitry Medvedev said Thursday.
Medvedev said the so-called "tax maneuver," which envisages a gradual increase in the mineral extraction tax (MET) and a cut in export duties on oil and refined products, was on track to be completed in 2024.
Meanwhile, the government also proposed to increase the retirement age to 65 years from 60 for men and to 63 years from 55 for women, Medvedev said.
The government proposes to change the retirement age gradually, starting from 2019, Medvedev said, adding that this would allow for an increase in pension payments.
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0bb628f7cb3722445aafeeec3b40334d | https://www.cnbc.com/2018/06/14/target-yanks-baby-daddy-fathers-day-card-from-shelves.html | American Greetings apologizes for 'Baby Daddy' card featuring black couple after outcry | American Greetings apologizes for 'Baby Daddy' card featuring black couple after outcry
American Greetings is apologizing for a Father's Day card after customers called it racially insensitive in an outcry that caused Target to proactively pull the item from its shelves.
The greeting card company said it would stop selling the card at all retailers, including Target.
The retailer had faced criticism on social media over the card, which depicts a black couple overlaid with the phrase "Baby Daddy."
Inside, the card says, "You're a wonderful husband and father — and I'm so grateful to have you as my partner, my friend, and my baby daddy! Happy Father's Day."
"This particular card was created for, and addressed to, a loving husband — which the inside copy makes clear," American Greetings said in a statement. "However, we now see that the front page, taken out of context, can communicate an unintentional meaning that we are strongly against perpetuating and is not consistent with our company purpose and values. We should do better in the future, and we will. We have notified our store merchandisers to remove the card from the shelves and apologize for any offense we've caused."
The phrase "Baby Daddy" is "not sweet or nice," wrote Dallas-based Facebook user Takeisha Saunders, one of the first customers to complain about the card. "It's a term used to describe a deadbeat or absent parent. Yeah it's sweet on the inside but whomever created this card doesn't know what it means."
Target pulled this Father's Day card that said "Baby Daddy" and featured a black couple on the front after a backlash online. American Greetings apologized for the card. (American Greetings image, courtesy of Takeisha Saunders) Target, which was selling the card at about half of its more than 1,800 stores, had already decided to remove the card after noticing complaints on social media.
"We want all guests to feel welcomed and respected when they shop at Target," Target spokesperson Joshua Thomas said in a statement. "We were made aware of some concerns about this card last week and are working with our vendor to have it removed from Target stores. We appreciate the feedback and apologize. It's never our intent to offend any of our guests with the products we sell."
More from USA Today:Supermodel Kate Upton vindicated as Guess sex harassment probe claims co-founderFree beer! Free meals! How dads can score for Father's Day SundayThe cheesiest Father's Day gift yet: A Kraft cheese sculpture of your dad
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0ffad244e486abdaf30727d25dded974 | https://www.cnbc.com/2018/06/14/theres-a-strange-divergence-brewing-in-the-financial-stocks.html | There's a strange divergence brewing in the financials, and it could spell trouble for stocks | There's a strange divergence brewing in the financials, and it could spell trouble for stocks
VIDEO4:3404:34A divergence between bank stocks could spell trouble for the marketTrading Nation
With interest rates on the rise, and the Federal Reserve announcing its latest rate hike this week, investors might expect financial stocks of all stripes to soar. That hasn't been the case this year.
The KRE, a regional bank-tracking ETF, has surged 9 percent this year. This stands in contrast to the XLF, a widely followed financial ETF which tracks the performance of the S&P 500 financial sector, down just more than 1 percent this year. The has risen just more than 4 percent year to date.
Market strategists say the divergence within this key group could bode poorly for the broader market.
Matt Maley, equity strategist at Miller Tabak, highlighted this trend in a recent note to clients. He said the trend became particularly prominent in May when losses by European banks accelerated.
"You start to worry about what kind of exposure they have there, and that's where the divergence really took place, where the KRE continued to rally nicely as we've moved into this month, but a stock like Citigroup has been making a series of lower highs and lower lows for some time now, and is now testing its trend line going back to 2016," Maley said Wednesday on CNBC's "Trading Nation.""Especially with the yield curve getting flatter and flatter, this problem in the big ones could roll over into all the bank stocks before it's over," he added.
One reason the smaller banks have rallied so impressively this year has been the rise in small business confidence, said Boris Schlossberg, managing director of foreign exchange strategy at BK Asset Management.
Earlier this week the small business optimism index from the National Federation of Independent Business rose to its second-highest level in the gauge's 45-year history. Small banks should continue to rise, he said.
"Going forward, it's really going to depend on the strength of the U.S. economy. If the regional U.S. economy continues to perform as well in the second half, perhaps even better in the second half [of 2018] than the first half, I think the fundamentals are going to carry it forward," Schlossberg said Wednesday on "Trading Nation."
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b05cdb3ef912512267f4733cef96f7dd | https://www.cnbc.com/2018/06/14/us-south-korea-and-japan-officials-speak-after-north-korea-summit.html | US, South Korea and Japan officials play down fears after Trump summit | US, South Korea and Japan officials play down fears after Trump summit
U.S. Secretary of State Mike Pompeo, South Korean Foreign Minister Kang Kyung-wha and Japanese Foreign Minister Taro Kono hold a joint press conference in 2018 in Seoul, South Korea.Chung Sung-Jun/Getty Images
American, South Korean and Japanese officials strove to present a unified stance Thursday in an effort to quell concerns about Washington's military commitment to Asia.
Earlier this week, President Donald Trump's said that he would suspend U.S.-South Korean military drills and that he hoped to eventually remove American soldiers from that Asian country. That sent shockwaves throughout the region, which depends on those two factors for peace and security. Trump's comments appeared to catch both Seoul and Tokyo by surprise, possibly indicating neither was consulted beforehand.
Responding to that narrative, U.S. Secretary of State Mike Pompeo, Japanese Foreign Minister Taro Kono and South Korean Foreign Minister Kang Kyung-wha highlighted the strength of their respective security ties at a Thursday news conference.
The U.S.-South Korean alliance remains as "robust as ever," Kang said. American forces in the country "play and will continue to play a crucial role in deterrence, peace and stability on the Korean Peninsula," she continued.
Kono, meanwhile, said Japan understands that the world's largest economy maintains its commitment to defend allies, adding that "the Japan-U.S. security commitment and U.S. forces in Japan posture remain unchanged."
VIDEO3:3103:31Trump-Kim summit came 'very short' on denuclearization: AcademicCapital Connection
Pompeo, for his part, described America's alliances with South Korea and Japan as "iron-clad."
All three said they will work closely together to ensure Pyongyang acts on its Tuesday promise of "complete denuclearization."
Regarding the paused war games, Washington and Seoul will discuss the matter, Kono noted, adding that such a halt "is contingent" on Pyongyang's actions.
It is Japan's understanding that the White House will discuss any provision of security guarantees to the North while monitoring the reclusive state's progress on denuclearization, Kono said, noting that no security guarantees have yet been given.
Kang also said more negotiations would follow Tuesday's historic summit.
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dd9b30f8b2e300b9d13ec643a15bbc24 | https://www.cnbc.com/2018/06/14/wall-street-wants-more-female-traders-but-old-perceptions-die-hard.html | Wall Street wants more female traders, but old perceptions die hard | Wall Street wants more female traders, but old perceptions die hard
Trader on the floor of the New York Stock ExchangeGetty Images
As a biomedical engineering student at Duke University, Priya Karani thought she did not have the right skills to break into the heavily male-dominated field of Wall Street trading.
"I was never interested in a career in trading at a bank because I didn't know it was an option," Karani said.
A decade later, Karani is a director at Barclays in New York where she trades health-care derivatives and helps the bank's effort to attract more women to trading by talking to female college students about her job.
Despite such efforts Karani still represents a small minority since few women apply for jobs in trading, deterred by its decades-old reputation as an "alpha-male territory" and misconceptions about skills it requires.
"Trading is a hard one to crack," said Jon Regan, a head of global markets for executive search firm Sheffield Haworth. "I don't think it has changed much, although firms are working hard to improve their gender ratios."
The firm, which works for many leading investment banks and conducts studies on behalf of its clients, found women generally account for 12 to 15 percent of trading roles, he said.
There are no industry-wide data but the Financial Industry Regulatory Authority, which oversees U.S. brokerages, said women accounted for about 28 percent of individuals registered with it at the end of 2017. Those numbers include not just traders, but also investment advisers.
Banks' efforts to change that have intensified over the past year with the emergence of the #MeToo movement and growing shareholder calls for disclosures on workforce diversity.
For example, Citigroup and Bank of America released information on diversity and gender pay gap for the first time this year in response to calls from an investment advisory firm.
Since last year, major employers have also been obliged to report gender pay gap data for their British operations, which for banks showed women underrepresented in higher earning roles.
Barclays' Sophomore Springboard program that Karani supports is one of several initiatives banks have introduced recently to make trading rooms more diverse.
Citigroup does college recruitment focused on informing young women about trading careers and offers them interview coaching, while JPMorgan Chase has been running an internal program for the past two years called Women Who Trade, which offers networking for female traders of all levels, including potential recruits.
"We are doing a better job at ensuring analyst classes have a better intake (of women)," said Claudia Jury, global co-head of currencies and emerging markets at JPMorgan and a senior sponsor for the program. The bank has hired around 30 women through the program since 2016, it said.
Goldman Sachs started its Trader Academy in London last year, offering eight months of mentoring, networking and job shadowing for 16 female college students. The bank plans to expand the program to the Americas this year and Asia soon after.
Goldman has said it wants women to eventually make up half of its overall workforce, but acknowledges trading is far from that goal.
"Having women in particular from a trading perspective has always been a challenge for us," said Janine Glasenberg, the bank's head of graduate recruiting in Europe, the Middle East and Africa.
Banks are so keen to improve their diversity ratios that one declined to make young female traders available for interviews out of fear they might get poached by competitors.
Shareholder pressure aside, managers and some studies say hiring more women simply makes business sense.
David Hesketh, chief executive of a London-based startup TradingHub said trading simulations the company ran in 2014 and 2015 for hundreds of interns as part of banks' recruitment programs showed women made fewer trades and took fewer risks. They would also break the rules less than half as often as men. In all, having more women on a team could translate into savings on brokerage fees, loss provisions, and fines.
"That is kind of nuts, if you think some firms are getting fines in the hundreds of millions of dollars," Hesketh said.
Yet former female traders interviewed by Reuters describe an industry, which has left behind discriminatory attitudes common only a decade ago, but where women remain heavily outnumbered and can sometimes feel like outsiders in a "boys' club."
Simmy Grover, who worked as an equity trader at Morgan Stanley in London between 2006 and 2009, recalled how just over a decade ago one investment bank was ready to offer her a job, but just could not imagine her on the trading floor.
"I remember walking into an interview and I was asked why I had applied for trading because I was a woman and I should be applying to sales."
Grover, now a researcher at the University College London, said she ended up working as a trader elsewhere anyway. While she said she never felt marginalized on the job, she would sometimes get overlooked by brokers hosting social events- typically involving watching a soccer game and a trip to the pub.
Divya Krishnan, who was a trader between 2009 and 2014 as part of Citi's program for quantitative analysts, said in her time the bank was already trying to help young recruits, offering networking opportunities and linking them up with experienced female traders.
They told them, she recalls, to be confident and avoid apologizing too much, something she said women tended to do.
But like Grover she found it was harder to fit in after hours. "I was never a sports person, but that was always a topic of conversation. I had to learn that," Krishnan, who now works for fintech startup Motif, said.
While workplace culture is slow to change, banks focus their outreach in colleges on broadening a pool of potential candidates by dispelling the myth that only math wizards or those with finance degrees can succeed in trading.
"We spend a lot of the time encouraging women who have liberal arts backgrounds to look at this business," said Amanda Magliaro, a managing director and head of global structured finance distribution at Citigroup.
Magliaro, who graduated as a Japanese language major and holds an MBA in finance, said the efforts, including interview coaching for women joining its internship program, were bearing fruit: "It has improved the numbers."
Headhunters say, however, it will take time before effects of such efforts show up in banks' gender ratios.
"Firms would like to have more women in trading and other areas, but there aren't that many women in the pipeline," said Ross Gregory, a director at recruitment firm Proco Commodities.
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c2bfd1a6bc5eed33e87cd8a97c718cd9 | https://www.cnbc.com/2018/06/15/bonds-and-fixed-income-trade-talk-and-economic-data-in-focus.html?__source=fincont&par=fincont | US Treasury yields fall as Trump says US will slap tariff on up to $50 billion in Chinese goods | US Treasury yields fall as Trump says US will slap tariff on up to $50 billion in Chinese goods
U.S. government debt prices rose on the final trading day of the week, as investors weighed an announcement by the Trump administration to possibly implement a 25 percent tariff on up to $50 billion in Chinese imports.
The yield on the benchmark 10-year Treasury note traded at 2.926 percent at 2:59 p.m. ET, while the yield on the 30-year Treasury bond slipped to 3.047 percent. Bond yields move inversely to prices.
Treasurys
In a statement Friday, President Donald Trump said the measures would affect Chinese goods "that contain industrially significant technologies," without specifying those products. He added that the action comes "in light of China's theft of intellectual property and technology and its other unfair trade practices."
Trump also said the U.S. would impose more tariffs on Chinese goods if China retaliates with duties of its own on American products.
China promptly responded to the Trump administration's announcement, with the Chinese Commerce Ministry saying it will implement tariffs on the same scale as the U.S.
Tensions between the U.S. and several of its key trading partners have been simmering recently as the Trump administration tries to fight trade practices or deals it thinks are unfair to the U.S.
"I understand the end goal with our tariff policy in shaking things up and trying to open up foreign markets but I'm not sure we are any closer to achieving our goals as we get hit back with taxes on us," said Peter Boockvar, chief investment officer at Bleakley Advisory Group.
—CNBC's Yen Nee Lee contributed to this report
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02b1bbe5e552e3d39531e6fe94a4a915 | https://www.cnbc.com/2018/06/15/cohen-is-open-to-the-idea-of-cooperating-with-prosecutors-report.html | President Trump's ex-lawyer Michael Cohen willing to cooperate with prosecutors: Report | President Trump's ex-lawyer Michael Cohen willing to cooperate with prosecutors: Report
Michael Cohen, center, leaves the US Courthouse in New York on April 26, 2018.Hector Retamal | AFP | Getty Images
President Donald Trump 's former longtime lawyer and fixer Michael Cohen had been letting family and friends know he is willing to cooperate with federal investigators in New York probing him, CNN reported Friday, citing a source. Cohen is angry with Trump and the president's current lawyer, Rudy Giuliani, the source told CNN.
Cohen, who has worked closely with Trump for decades, has not yet reached out to prosecutors to strike a deal, according to CNN's source.
He is currently seeking new attorneys, possibly to negotiate a plea deal with the government, multiple outlets reported this week.
Cohen's current lawyer did not immediately respond to a request for comment from CNBC.
VIDEO0:5800:58Trump lawyer Michael Cohen expected to lose defense teamNews Videos
In a free-wheeling interview Friday on the White House's north lawn, the president said he's not worried about the prospects that Cohen will cooperate. "I'm not worried because I did nothing wrong, nothing wrong," Trump said.
In response to a question about whether he and Cohen remained friends, the president said he had not spoken to Cohen in "a long time.""Michael Cohen, I think, would tell you he's got nothing incriminating with the president," Giuliani said Wednesday on Fox News Channel's "The Ingraham Angle."
In April, Cohen's hotel room and offices were raided by FBI agents after prosecutors in New York City were given information about him by special counsel Robert Mueller.Read the full report from CNN.
VIDEO0:5000:50Stormy Daniels' ex-lawyer sues Cohen for 'illegal' recording of phone callsNews Videos
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f3596b0ff8359c9e9c524ea7d44d253a | https://www.cnbc.com/2018/06/15/european-commission-clears-comcast-bid-for-sky.html | European Commission clears Comcast's $31 billion bid for Sky | European Commission clears Comcast's $31 billion bid for Sky
Brian Roberts, chairman and chief executive officer of Comcast Corp.Scott Eells | Bloomberg | Getty Images
Comcast said Friday that the European Commission has cleared its bid for Britain's Sky.
The commission approved the deal without any conditions and said it "would raise no competition concerns." The cable company submitted a $31 billion offer for Sky in April, prompting the European pay-TV group to drop its support for a lower offer from Rupert Murdoch's Twenty-First Century Fox.
Earlier this week, Comcast announced a $65 billion bid for Fox assets that are currently in an agreement to be acquired by Disney in a move that could set off a bidding war. That includes Fox's movie studios, stakes in Hulu, Sky and Endemol Shine Group, as well as networks FX, Star TV and National Geographic.
Comcast is also going after the 61 percent of Sky not already owned by Fox in an effort to boost its international footprint. The company, like other pay-TV distributors in the U.S., is facing more pressure in the video business as more consumers cut the cord, or drop big cable bundles in favor of cheaper streaming options like Netflix.
Comcast said it expects to complete the Sky deal before the end of the year. Disclosure: Comcast is the owner of NBCUniversal, parent company of CNBC and CNBC.com, and is a co-owner of Hulu.
VIDEO2:4202:42UK government clears Fox bid for SkySquawk Box
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61a9d44fb2e30b9d68b71c3dbe284ca9 | https://www.cnbc.com/2018/06/15/even-the-greatest-investors--including-buffett-druckenmiller--make-multi-billion-dollar-mistakes.html | Even the greatest investors — including Buffett, Druckenmiller — make multibillion-dollar mistakes | Even the greatest investors — including Buffett, Druckenmiller — make multibillion-dollar mistakes
Warren BuffettDavid A. Grogan | CNBC
A casual observer may assume the greatest money managers have charmed investing careers filled with success after success.
But that isn't the case, Michael Batnick, director of research at Ritholtz Wealth Management, explained in his new book "Big Mistakes: The Best Investors and Their Worst Investments," released on June 6.
Batnick shared key lessons and money-losing investment examples from several legendary managers such as Warren Buffett, Stanley Druckenmiller and Michael Steinhardt.
Buffett may be the most celebrated investor of them all. The investor's track record is unparalleled. From 1965 to 2017, Berkshire Hathaway's rising market value generated a 20.9 percent annual return compared with the S&P 500's 9.9 percent, resulting in a cumulative gain of 2,404,748 percent versus the market's 15,508 percent return.
And even the Oracle of Omaha has made poor investment decisions. Batnick wrote how the investor acquired a 12 percent stake in US Air for $358 million in 1990, which declined by 76 percent in value in a few years. But the mistaken airline position, which eventually recovered, paled in comparison to the loss related to his investment in Dexter Shoes, the writer said.
Buffett bought the shoe company for $433 million of Berkshire Hathaway stock in 1993, a total of about 25,200 shares. Dexter would eventually be worth zero, which cost the investor nearly $6 billion in economic value due to Berkshire Hathaway shares' appreciation, according to Batnick.
The author quoted Tren Griffin who wrote, "In doing their due-diligence for Dexter Shoes, Buffett and Munger made the mistake of not making sure the business had a moat and being too focused on what they thought was an attractive purchase price."
Batnick also covered legendary investor Druckenmiller's emotional multibillion-dollar trading mistake during the dot-com bubble.
The billionaire is chairman and chief executive officer of the Duquesne Family Office. His hedge fund track record is also stunning, generating annualized returns of 30 percent across three decades during his investment career.
In 2000 Druckenmiller tried the high-beta, tech high-flyer game and lost, which he talked about during a speech at the Lost Tree Club in January 2015.
"So like around March (of 2000) I could feel it coming. I just had to play. I couldn't help myself ... I think I missed the top by an hour. I bought $6 billion worth of tech stocks, and in six weeks I left Soros and I had lost $3 billion in that one play," Druckenmiller said.
Batnick showed the best, most successful fund managers all have made major analytical or impulsive errors. The key lesson is investors need to learn from their bad experiences, according to the author.
"The next time you take a big loss or sell too early or try to get back to even, remember, we've all been there," Batnick wrote at the end of his book. "The difference between normal people and the best investors is that the great ones learn and grow from their mistakes, while normal people are set back by them."
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2d236bd096fa7120f881f5e503d89ff7 | https://www.cnbc.com/2018/06/15/fortnite-westworld-twitch-youtube-gaming.html?utm_source=Memeberful&utm_campaign=2d6f1494aa-RSS_EMAIL_CAMPAIGN&utm_medium=email&utm_term=0_b36a1b0765-2d6f1494aa-327424425 | How 'Fortnite' is beating the biggest shows on cable | How 'Fortnite' is beating the biggest shows on cable
VIDEO3:2403:24How Fortnite is beating cable's biggest showsGaming
Live streaming of video games has become a popular trend in recent years, and "Fortnite" is taking it to the next level.
There are 3.2 million broadcasters on streaming site Twitch, which is close to 60 percent higher than 2017. Since Epic Games launched the battle royale version of "Fortnite," the game has taken over the site.
In September 2017, "Fortnite" made up less than 1 percent of the content produced by streaming channels. Fast forward to June 2018, and that number has jumped to 49 percent.
It's beating out games that once dominated the platform like "PlayerUnknown's Battlegrounds" and "League of Legends." In fact, from 2016 to 2018 no other game has controlled more than 40 percent of gaming channels on Twitch.
"Fortnite" is also blowing up on YouTube.
"The fact that 'Fortnite' now holds the record for the most video game-related uploads in a single month on YouTube is wild," said Ryan Wyatt, head of YouTube Gaming.
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Then there's Friday Fortnite, an event from Las Vegas hosted by streamers like Tyler "Ninja" Blevins and Keemstar.
Unlike esports competitions, which are tied to official leagues, Friday Fortnite is a group of enthusiastic gamers trying to out-survive each other to win prize money. In June, Keemstar said the competition pulled in 8.8 million unique viewers. To put that in perspective, the season finale of AMC's "The Walking Dead" brought in 7.9 million viewers, the first round of the NFL draft raked in 5.3 million and the season premier of "Westworld" reeled in 2.1 million.
VIDEO3:5803:58Women are helping make 'Fortnite' a billion-dollar game Gaming
For live streamers on YouTube and Twitch, business couldn't be better.
"Fortnite" is boosting streamers' channel views and driving up revenue. Twitch streamers can make money from subscribers, game sales, brand deals and even donations. Streamer "Ninja" has made an estimated $500,000 a month from streaming his "Fortnite" gameplay on Twitch.
"Fortnite" even has a partnership deal with Twitch for free merchandise. People who sign up for a Twitch Prime account get free accessories for their avatars. And YouTube has Super Chat that allows fans to pay to pin their comments on their favorite videos.
When the first "Fortnite" World Cup launches in 2019, you can expect huge viewership numbers from audiences watching their favorite streamers. According to Statista, the number of gaming viewers worldwide will reach an estimated 743 million people in 2019.
Epic Games announced in May that "Fortnite" is entering the esports arena. The gaming studio said it will dedicate $100 million in prize money, making it the largest prize pool for an esport ever.
VIDEO2:4702:47'Fortnite' is not hurting 'Call of Duty' - here's whyGaming
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6f9170c3da5fa94d1d9f9066e2d5d778 | https://www.cnbc.com/2018/06/15/manafort-pleads-not-guilty-to-witness-tampering-charge.html | Ex-Trump campaign boss Paul Manafort sent to jail as judge revokes bail after witness tampering charge by special counsel Mueller | Ex-Trump campaign boss Paul Manafort sent to jail as judge revokes bail after witness tampering charge by special counsel Mueller
VIDEO1:0201:02Paul Manafort sent to jail as judge revokes bailSquawk Alley
A federal judge revoked the $10 million bail of ex-Trump campaign chief Paul Manafort and ordered him to jail Friday because of witness tampering charges lodged by special counsel Robert Mueller.
Manafort's detention order at a U.S. District Court hearing in Washington came a week after he was charged in a new indictment filed by Mueller. The indictment accuses Manafort and a Russian associate, Konstantin Kilimnik, of conspiring to influence the possible testimony of two people.
Manafort had been under house arrest since October when he was first hit with what became a series of criminal indictments related to his consulting work for pro-Russian politicians in Ukraine.
"I cannot turn a blind eye" to the ways Manafort has "abused the trust" of the court, Judge Amy Berman Jackson said as she yanked his bail and ordered him locked up pending his upcoming two federal criminal trials.
"This is not middle school. I can't take his cellphone," Jackson said as she rejected a suggestion by Manafort lawyer Richard Westling that she only modify his bail by barring him from contacting potential witnesses.
Jackson said that although there is "no evidence of even a threat of harm to any person" by Manafort, the harm from new charges "is harm to the administration of justice" and "to the integrity of the system."
Paul Manafort, former campaign manager for Donald Trump, arrives at federal court in Washington, D.C., on Friday, June 15, 2018.Aaron P. Bernstein | Bloomberg | Getty Images
The judge said her "extraordinarily difficult decision" was "not about politics," but instead about Manafort's conduct.
Prosecutors told Jackson during the hearing that Manafort and Kilimnik had made many attempts to contact potential witnesses during a five-week period earlier this year.
Mueller's team in an earlier court filing said Manafort's "obstructive" conduct, which included reaching out to the potential witnesses by using encrypted message apps, "instills little confidence that restrictions short of detention will assure Manafort's compliance with the court's orders and prevent him from committing further crimes."
Manafort was stone-faced as he left the courtroom headed to a jail cell, without having been handcuffed. He gave a quick wave in the direction of his defense team and his wife, Kathleen.
Jackson denied a request by Westling to delay jailing Manafort so that he could appeal her decision.
Kilimnik was not at the hearing. He is believed to be in Russia.
President Donald Trump called Manafort's jailing "very unfair" in a tweet almost two hours after he was ordered detained.
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During the hearing, at which Manafort also pleaded not guilty to the witness tampering charges, Jackson pressed a prosecutor on whether Manafort currently represented a danger to the public.
The prosecutor said Manafort is a threat because of the likelihood that he will commit new crimes.
The prosecutor said Manafort, a day after being hit with a revised criminal indictment on Feb. 23, phoned a principal in a public relations firm who had worked on an effort to lobby for the nation of Ukraine. The effort involved a group of former European politicians known as the Hapsburg Group.
Manafort called the PR man, identified only as D1, while that man was a passenger in a car driven by his wife in Italy, the prosecutor said.
"This is Paul, Paul Manafort. I need to give you a heads up about the Hapsburg Group," Manafort said, according to the prosecutor.
D1 immediately hung up, the prosecutor said.
Mueller's team has said that two days later, Manafort sent D1 an encrypted message containing an article related to the Hapsburg Group, adding in the note: "We should talk. I have made it clear that they worked in Europe."
VIDEO1:5401:54Trump distances himself from Paul Manafort, who's headed to jailPower Lunch
D1 has told Mueller's investigators that he believed Manafort was trying to get him to falsely state that the Hapsburg Group had limited its lobbying efforts to Europe. In fact, the group had also sought to influence opinion in the United States, without registering as required.
However, Westling scoffed at the idea that his client was trying to tamper with a witness.
Westling said the charge of witness tampering was unfair because Manafort had not been warned in advance by prosecutors that the people he was contacting were witnesses.
Manafort, a long-time Republican lobbyist and political consultant, was originally indicted last fall.
His first trial is scheduled to start in late July in U.S. District Court in Alexandria, Virginia. The second, in Washington, is scheduled for September.
Kilimnik, who is suspected of connections to Russian intelligence services, was a longtime employee of Manafort's political consulting groups and did work for him in Ukraine. He had not been charged before the indictment released June 8 accusing him and Manafort of witness tampering.
Before the hearing, while speaking to reporters outside the White House on Friday morning, Trump was asked about Manafort.
"Manafort has nothing to do with our campaign," Trump said. "I feel a little badly about it."
"You know, Paul Manafort worked for me for a very short period of time. He worked for Ronald Reagan. He worked for Bob Dole. He worked for many other he worked for me, what, 49 days or something. Very short period of time."
In fact, Manafort served 144 days as Trump's presidential campaign chairman. He was hired in late March 2016 and resigned five months later, on Aug. 19.
The charges that Manafort already was facing in Washington include conspiracy to defraud the United States, money laundering, acting as an unregistered agent of a foreign principal and making false statements.
The charges in Virginia include bank fraud, conspiracy and filing false tax returns.
Manafort's co-defendant and former business associate, Rick Gates, pleaded guilty in February to conspiracy against the United States and to making a false statement. Gates also had worked on Trump's election campaign.
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109479cfc152cd87ef6dff043c1f1c5f | https://www.cnbc.com/2018/06/15/micron-is-doing-something-unusual-ahead-of-next-weeks-earnings.html | Micron is doing something unusual ahead of next week's earnings | Micron is doing something unusual ahead of next week's earnings
VIDEO2:0702:07Micron acting unusual ahead of earnings report next weekTrading Nation
Micron shares have surged 44 percent this year, outpacing the broader semiconductor space nearly four-fold.
As the chipmaker's stock sits nearly 10 percent off its May high, Stacey Gilbert, head of derivative strategy at Susquehanna, said the options market is doing something unusual ahead of Wednesday's earnings report. Here are what she told CNBC's "Trading Nation" to watch:
• The stock's implied move ahead of earnings is around 7 to 8 percent in either direction, more or less in line with its typical performance on earnings.
• However, recent trading has had more of a two-way sentiment, a notable departure from the usual upside call buying. In other words, sentiment is not as bullish as it's typically been.
• The company's analyst day in late May removed some of the volatility from the market, but there is still a decent amount of volatility being priced into the stock.
• Susquehanna covers Micron shares with a positive rating, and a price target of $80, implying about 35 percent upside from current levels.
Bottom line: Micron options are implying a less-bullish sentiment around the stock ahead of earnings, according to Gilbert.
Disclosure: Susquehanna Financial Group owns Micron shares.
Disclaimer
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67454a12642f3ba6244db2d775096032 | https://www.cnbc.com/2018/06/15/older-americans-planning-to-downsize-should-brace-for-sticker-shock.html | Older Americans planning to downsize should brace for sticker shock | Older Americans planning to downsize should brace for sticker shock
If your future retirement plans include relocating to a smaller home, don't assume the move will mean downsizing your costs, as well.
With housing inventory tight and competition fierce for smaller homes, retirees who hope to reduce their housing expenses could be in for a surprise.
"Downsizing in both cost and square feet … doesn't necessarily happen," said certified financial planner Michele Clark, founder and managing principal of Clark Hourly Financial Planning and Investment Management in Chesterfield, Missouri.
"Clients are very surprised when they find this out," Clark said.
fStop Images | Getty Images
Due largely to increasing demand and limited inventory, the median sale price for a home nationwide has reached $238,700, according to Zillow. Values have gone up 8.7 percent over the past year and are expected to rise another 6.5 percent within the next year.
Much of the competition is for lower-priced houses, which means retirees looking to downsize are pitted against first-time homebuyers.
"With smaller-sized homes, there's a lot of competition," said Jessica Lautz, managing director of survey research and communication for the National Association of Realtors. "All generations are purchasing similar types and sizes of homes."
On average, homeowners age 65 to 74 who downsize sell a $270,000 home and purchase one for $250,000, according to the realtors' group.
Since the housing market crashed a decade ago and millions of homeowners saw their home values plummet, prices generally have regained those losses. And fueled by a strong labor market and economic growth, demand for houses now has outpaced supply.
"In the past, we saw downsizing on a significant scale and we don't see it as much anymore," Lautz said. "It could be a personal preference or that homeowners are taking care of other adults in the home."
Additionally, many retirees are discovering that downsizing wouldn't bring the cost-cutting they anticipated. As such, they end up staying put.
Mortgage rates also have been ticking up, making a home purchase more expensive. (See chart.)
While moving to a smaller home can make sense for many people, it's important to plan for all the expenses that come with the purchase.
"People forget that there are additional costs to buying a house," said Peter Lazaroff, a CFP and chief investment officer at Plancorp in St. Louis. "There are closing costs, agent fees, moving expenses, repairs and furnishings."
Lazaroff also said he is seeing retirees more frequently take a lump sum from their retirement account to fund the purchase of their downsized home.
VIDEO4:5704:57Rising risks: hurricane season and the housing marketWorldwide Exchange
"They say it's not that big of a deal to make a one-time withdrawal," Lazaroff said. "But they have to take enough to cover the taxes due.
"And the distribution could push them into a higher tax bracket."
Beyond the costs associated with moving and buying a new home, it's important to think long-term.
"I think you should never downsize to somewhere you can't imagine living for the rest of your life," Lazaroff said.
More from Personal Finance:What Social Security's budget woes mean for your retirement benefitsHere's how the Fed rate hike will affect your financesFlood insurance program could lapse during hurricane season. What home buyers need to know
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385b3193dd2a7fa116b7d581f4823a93 | https://www.cnbc.com/2018/06/15/tesla-short-sellers-think-it-will-have-a-hard-time-raising-money.html | Tesla short-sellers have been getting creamed, but they're still betting against Elon Musk anyway | Tesla short-sellers have been getting creamed, but they're still betting against Elon Musk anyway
Elon Musk Lucy Nicholson | Reuters
It's been a rough few weeks for investors betting against Tesla, one of the most-shorted stocks in the United States.
Tesla stock has rallied almost 17 percent since the company's early June annual shareholder meeting at which Chairman and CEO Elon Musk promised profitability in the third quarter. Shares kept trending higher this week, rising slightly after Tesla announced plans to lay off 9 percent of its workforce. Musk added $25 million worth of shares to his personal holdings.
Those with a positive outlook on the electric vehicle maker see Tesla's restructuring as a push for profitability. But the bears see the layoffs as yet another sign Tesla is in the middle of a cash crunch and believe it won't be able to raise the capital it needs to pay debts and fund operations.
Here's why:
Musk has maintained that Tesla does not need to raise equity or new lines of credit this year. But Goldman Sachs predicted Tesla will need to raise $10 billion by 2020 to keep going.
Darius Brawn, a hedge fund veteran who previously worked as a portfolio manager for SAC and Citadel, told CNBC he thinks $10 billion is a conservative estimate. He cites Tesla's plans to ramp up its Model 3 production, build new factories, make a new Roadster, Semi trucks and a Model Y vehicle, and to embark on large-scale production of its glass solar roof tiles.
VIDEO1:4401:44Chanos on Musk: He's making cars at not enough gross margin to make moneyClosing Bell
Brawn, who has shorted Tesla personally, points out that it's highly unusual for a growth company to cut its planned investment spending, as Tesla did last quarter from $3.4 billion to under $3 billion.
Tesla's accounts payable stood at $2.6 billion as of March 31.
Without raising additional capital, Brawn said, the electric vehicle maker has enough cash to last for only a few quarters. He bases his estimates on its expected cash flow from operations, stated capital expenditure plans and credit agreements.
Kynikos Associates founder Jim Chanos, who predicted the fall of Enron, is warning investors of overly optimistic company leaders out of Silicon Valley in general. When it comes to Tesla, the billionaire short-seller told CNBC this week:
VIDEO2:0402:04Elon Musk is 'masterful' in how he fights back against short-sellers, Cramer saysSquawk on the Street
"The company is not profitable from operations. The company will ... do a lot of one-time items, we believe, to show a GAAP profit in the third quarter. But they are just that, one-time items. The basic problem is that [Musk] is making the cars at not enough of a gross margin to make money — and that's before the competition rolls out, which is late this year and early next year."
Accipiter Capital Management general partner Gabe Hoffman, who became a hedge fund manager at Welch Capital at age 22, is one of the loudest Tesla shorts on Twitter. He calls the company "the greatest cult stock of all time."
While he said Tesla appeals to mom-and-pop investors enchanted by the Musk myth, he doesn't expect the largest investment banks to buy the same story. That could become a problem if Tesla needs to offer more shares.
"Underwriting securities is a risk for any investment bank. For example, the investment banks lost gobs of money on underwriting the Facebook IPO, based on all the fines and legal settlements they were forced to pay out, just because the IPO went a little bit wrong, for a relatively short period of time," Hoffman told CNBC.
"I do not believe Wall Street investment banks are willing take the massive reputational, legal and financial risks associated with underwriting billions of dollars of new securities for [Tesla]."
He and other bears also believe Tesla may not even be able to conduct an equity offering because of the existence of an undisclosed, and ongoing, enforcement action by the SEC. This action was discovered through FOIA research conducted and published by business intelligence firm Probes Reporter.
On June 3, Musk told his nearly 22 million followers on Twitter that "leasing negatively affects Tesla cash flow," so the company won't offer that option any time soon for the Model 3.
tweet 1
But Brawn, Hoffman and other bears say leasing should be a no-brainer for the company and would help Tesla accomplish its mission of bringing EVs to the masses and generate near-term revenue.
If the company is so concerned about short-term cash flow dynamics, it should have already raised equity to create a cushion for normal business operations including a lease program, they say.
A Tesla Model 3 car is on display during the Auto China 2018 at China International Exhibition Center on April 25, 2018 in Beijing, China.VCG/VCG | Getty Images
The most bullish analyst on Tesla today, Romit Shah of Nomura Instinet, told CNBC:
"In the shareholder meeting, Tesla was so incredibly confident about reaching their targets — 5,000 Model 3 cars per week, GAAP profitability in Q3 and Q4. I think that people do not realize they have a very savvy CFO who is creating a lot of flexibility with operating expenses and capital expenditures."
Shah said even if Tesla executives said they needed to raise capital this year, it makes sense for them to wait until Tesla is in a position of strength. The company's stock is still down almost 10 percent from a year ago.
"If you raise at $250 a share, the dilution to shareholders is more significant than if you do it at $450 a share," Shah said. "We believe they will be in a position of strength as the year progresses. So it makes sense to wait to raise equity."
Even Brawn acknowledges, "If they raise meaningful debt or equity, I will be proven incorrect. But it matters a great deal whether they can and do, because without additional capital, Tesla could really be bankrupt before too long."
Tesla declined to comment.
VIDEO0:3600:36Elon Musk buys 72,500 shares of TeslaClosing Bell
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62014239be16e5ec801b1c8a7705d40b | https://www.cnbc.com/2018/06/15/trump-the-most-bullish-and-bearish-for-stocks-analyst-yardeni-says.html | Trump's contradictions are swinging the stock market this year | Trump's contradictions are swinging the stock market this year
VIDEO1:3801:38Morganlander: The market doesn't care "yet" about trade tensions with ChinaWorldwide Exchange
Looking for a reason why the market's been so bumpy this year? Blame Trump. Looking for a reason why the market has held up so well this year? Blame Trump.
There's been a overriding paradox this year for investors: President Donald Trump has been both a blessing and a curse, goosing stocks through tax cuts and vexing the market with a seemingly endless stream of gut-churning headlines.
"We don't recall a President who has been simultaneously so bullish and bearish for stocks," Ed Yardeni, head of Yardeni Research, told clients in a note earlier this week. "That might explain why the S&P 500 has been zigging and zagging since the start of this year."
Actually, the market's done pretty well for itself lately.
After a wickedly volatile first quarter that saw major averages foray into correction territory, stocks have bounced back nicely. The is now up 4 percent for the year, thanks to a nearly 8 percent jump since early April, and the Dow industrials have posted a 1.8 percent increase.
Tech stocks continue to lead the market, with the Nasdaq surging 12.4 percent.
Yardeni, an economist and market strategist, said actions and policies specific to Trump can be tied to the market's ups and downs. He cited a J.P. Morgan report that looked at market behavior and determined that tariff threats by the administration had held stocks back by 4.5 percent since March, resulting in a $1.25 trillion slice in market cap.
"I guess we can blame Trump for that loss thanks to his protectionist saber-rattling. On the other hand, he deserves credit for enacting a HUGE corporate tax cut at the end of last year," Yardeni wrote.
Bull and bear statues outside Frankfurt's stock exchange in Frankfurt, Germany.Ralph Orlowski | Reuters
Republicans pushed the largest tax cut in U.S. history through Congress in December, a $1.5 trillion reduction that Yardeni said lowered taxes by 36 percent for nonfinancial corporations in the first quarter.
"We think the market is telling us that the signal is earnings that have been supercharged by the tax cut, while the noise is protectionist saber-rattling," he added. "That's been great for cyclical and growth stocks."
In fact, Yardeni said the Federal Reserve and its interest rate hikes have rattled the market more than Trump.
The central bank enacted its second interest rate increase of 2018 on Wednesday and indicated that two more quarter-point increases are on the way before the end of the year. In addition, the Fed is tightening monetary policy further through the reduction in bond holdings on its balance sheet.
However, the market looked to be headed for a loss Friday after Trump announced tariffs on Chinese technology imports that would amount to about $50 billion.
Overall, though, Trump has fared better than most of his predecessors at this point in his term.
Earlier this month, he observed his 500th day in office with the best Dow performance of any president since George H.W. Bush in 1989-90, and sixth-best among the 20 presidents since the turn of the 20th century, according to LPL Research.
Investors remain skittish, though, and have pulled $60.3 billion out of funds that focus on U.S. stocks, according to Investment Company Institute data through April.
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6878861cd4ab2f650a1831afe8c50958 | https://www.cnbc.com/2018/06/15/us-stock-futures-dow-data-trade-and-politics-on-the-agenda.html | Stocks cut losses as Wall Street shrugs off trade-war fears | Stocks cut losses as Wall Street shrugs off trade-war fears
VIDEO4:1404:14Dow on pace for worst week in three monthsHalftime Report
Stocks slashed losses to close well off the lows of the day on Friday as investor worries about a U.S.-China trade war decreased.
The Dow Jones industrial average closed 84.83 points lower at 25,090.48, with Caterpillar as the worst-performing stock in the index. The fell 0.1 percent at 2,779.42 — after briefly turning positive — with energy lagging. The Nasdaq composite slipped 0.1 percent to 7,746.38.
"The market has done a good job of whistling past the graveyard when it comes to trade policy," said Art Hogan, chief market strategist at B. Riley FBR. "The market has come back to think we'll probably get some sort of negotiation done."
Earlier on Friday, the Dow fell as much as 280.93 points, while the S&P 500 and Nasdaq both dropped 0.7 percent after the Trump administration said it will impose a 25 percent charge on up to $50 billion in Chinese goods, raising fears of a trade war looming between the U.S. and China.
In a statement Friday, President Donald Trump said the measures would affect Chinese goods "that contain industrially significant technologies," without specifying those products. He added that the action comes "in light of China's theft of intellectual property and technology and its other unfair trade practices."
Trump also said the U.S. would impose more tariffs on Chinese goods if China retaliates with duties of its own on American products.
"This is an issue that still causes fear and uncertainty in the market, but ... the tone of the White House can change very quickly," said Craig Birk, executive vice president of portfolio management at Personal Capital. "This is a long game so it doesn't make sense to overreact one way or the other."
President Donald Trump speaks to reporters on the North Lawn of the White House, Friday, June 15, 2018, in Washington.Evan Vucci | AP
China promptly responded to the Trump administration's announcement, with the Chinese Commerce Ministry saying it will implement tariffs on the same scale as the U.S.
"This continues to be a key issue for the market but we don't want to overstate it," said Ed Campbell, managing director for QMA. "We expected China to retaliate, but if we only get one round of retaliation and this doesn't escalate, it won't be as bad."
Shares of Boeing and Caterpillar fell as much as 2.5 percent and 3.1 percent, respectively, before closing off their lows of the day. Both companies are sensitive to trade tensions given their large amounts of overseas business.
Treasury yields also fell, with the benchmark 10-year note yield trading at 2.93 percent. The short-term two-year note yield also slipped to 2.55 percent.
Tensions between the U.S. and several of its key trading partners have been simmering recently as the Trump administration tries to fight trade practices or deals it thinks are unfair to the U.S.
The moves Friday come after U.S. markets finished the previous day's trading on a mixed note. The Nasdaq hit an all-time high during Thursday's session, with the S&P 500 also closing in the black. The Dow however failed to hold onto gains.
"Beneath the surface, I think this is about a rally that has taken a lot of headline news this week and we're seeing momentum slow down" a bit, said Willie Delwiche, investment strategist at Baird. "This is a needed breather after a strong rally."
Over the past month, the Nasdaq and the S&P 500 have gained 5.4 percent and 2.5 percent, respectively. Meanwhile, the Dow has risen about 1.6 percent.
—CNBC's Yen Nee Lee contributed to this report
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2c08eb2da6d5d4b292f0a1772ac11ada | https://www.cnbc.com/2018/06/15/wendys-white-castles-most-dangerous-weapon-a-snarky-twitter-feed.html | Snarky Twitter feeds: Wendy's and White Castle's most dangerous weapon | Snarky Twitter feeds: Wendy's and White Castle's most dangerous weapon
Dean Belcher | Getty Images
Before White Castle hands over the password to its coveted social media accounts, members of its marketing team have to do one thing — flip some burgers.
A single shift at the iconic burger chain is just one prerequisite to getting the keys to The Castle's Twitter account, but it's an important tradition, Lynn Blashford, vice president of marketing for White Castle, told CNBC.
White Castle is just one of many fast-food chains using social media for more than just promoting new menu items and value offers. Brands such as Wendy's, Arby's, Denny's and Taco Bell are developing unique online personas to engage with customers and stay relevant.
"When you consider all the various touchpoints a business has with customers, social media is one of the biggest outward faces of your brand, maybe more so than the public-facing website," Sally-Anne Kaminski, manager of global social media strategy at Zebra Technologies, told CNBC. "Even when your business is closed, social media isn't."
But there's an art to setting the right tone, to being funny and not overstepping boundaries. If you do it right, the upside is huge, and it can level the playing field against bigger rivals.
For White Castle, a few hours on the front lines at its restaurants, particularly during the midnight shift on a weekend, is the best way for its marketing team to familiarize itself with the brand's customs and customers.
The burger chain has a distinct reputation for drawing in the after-party crowd. On social, the company amplifies this persona, adopting a "little bit more of an edgy tone ... just a little bit more clever, a little bit more witty," Blashford said. "But always still respectful, always wanting to be inclusive."
White Castle currently has about 92,700 followers.
White Castle Twitter: Tea and crumpets got nothing on sliders and chicken rings.
"A lot of brands see social media as a medium that is very fast-paced and a place to take those quick zingers," Kaminski said.
Wendy's was one of the first fast-food brands to embrace Twitter as a platform to magnify its unique voice. Kurt Kane, the restaurant's chief concept and marketing officer, told CNBC that Wendy's takes its food quality very seriously, but doesn't take itself seriously.
"We are tongue-in-cheek except when it comes to quality," he said.
Wendy's has more than 2.7 million followers on Twitter.
The burger chain has been at the forefront of guerrilla marketing tactics on social media, often using its competitors' promotions or gaffes to make a statement. Wendy's has taken a number of swipes at McDonald's, in particular, after the Golden Arches rolled out fresh beef for its Quarter Pounder burgers. Wendy's used this as a chance to tout that its burgers have always been fresh.
Wendy's Twitter: TFW yo beef's still frozen
In this tweet, Wendy's tapped into a popular meme based on a scene from "The Avengers: Infinity War." The post was well-received by social media users, gaining more than 236,000 likes and 78,000 retweets.
Of course, McDonald's isn't the only chain to feel Wendy's snarky social media wrath. Dine Brands' IHOP bore the brunt of several tweets this week after announcing that it was temporarily swapping out the "P" in its name for a "b" to promote its new line of burgers.
Wendy's Twitter: Remember when you were like 7 and thought changing your name to Thunder BearSword would be super cool? Like that, but our cheeseburgers are still better.
White Castle also chimed in.
White Castle Twitter: We are excited to announce that we will be switching our name to Pancake Castle.
"Our social media voice is all about talking with our fans, not at our fans," a member of Wendy's social media team, who wished to remain anonymous, told CNBC. "We want to have conversations that friends would have. You want to talk about our opinion on the latest movie releases? Sure, we'll go there. The brand voice that brings that strategy to life is simply, sassy. Sassy is our voice across all consumer touchpoints, not just social media."
Last year, teenager Carter Wilkerson tweeted at the brand asking how many retweets he needed to get in order to receive a year of free chicken nuggets.
Wendy's answered: 18 million.
While Wilkerson was only able to get a paltry 3.6 million retweets, breaking the record set by comedian Ellen Degeneres for her Oscar selfie, he was still rewarded with his year of free nuggets as well as a donation of $100,000 to the Dave Thomas Foundation for Adoption in his honor.
Carter Wilkerson Tweet: #NuggsForCarter
Those that run these social media accounts must skirt the fine line between being on trend with the latest memes and pop culture references and appearing inauthentic and opportunistic.
Companies like PepsiCo have learned that the hard way. The soda company was accused of co-opting the Black Lives Matter movement in an advertisement and social media campaign that featured Kendall Jenner quelling tensions between police and protesters by offering a police officer a Pepsi.
Even Wendy's has found that you can go from top of the world to bottom of the barrel with just one tweet.
The burger chain briefly fell from grace in January 2017 after posting a Pepe the Frog meme in response to a customer. The image, which started out as a reaction meme, has been adopted as a white nationalist symbol and was deemed a hate symbol by the Anti-Defamation League. Wendy's deleted the post.
"There are some topics that just aren't fit for a cheeseburger brand to engage in and we stay far away from those," the Wendy's social team member told CNBC.
For both White Castle and Wendy's the magic age for social media mavens is late 20s to early 40s. The brands want someone who is young enough to use social media in their daily lives, but not so young that they are inexperienced and will be a liability for the company.
At White Castle, there is an in-house team and an outside firm that collaborate on planned promotions — national food days, new menu items, etc. — and can also handle spur-of-the-moment posts.
In-house there is one lead tweeter, a man in his 30s who is so entrenched in the company's tone and practices that he has leeway to engage with customers as he sees fit. Of course, there is a small team available for him to bounce ideas off or to discuss potentially sensitive posts. This team is made up of several employees ranging from 20 to 50 years old, Blashford said.
There is also one person at the outside agency who is constantly monitoring the feed and is allowed to post freely.
White Castle Twitter: LeBron Meme
At Wendy's, there are five people in their 20s and 30s who are responsible for posting and writing the messages seen on the company's social media page.
"We help each other craft the tweets," the Wendy's social team member said. "We understand that one person isn't an expert in everything — from Broadway quotes to knowing the ins and outs of professional wrestling. We love the collaborative atmosphere that the team has built. There are absolutely areas where we aren't experts, and we're happy to admit that to our followers, which helps provide a sense of humility behind the brand."
Wendy's Twitter: Ok, but don't get handsy and we have to be home by 10
Like the team at White Castle, Wendy's social media team has the autonomy to post as they see fit in real time. However, they will flag any sensitive posts and discuss them before putting them out on social media.
"We're not going to get involved in politics or things where there is a split feeling one way or another," Kane said. "That's not what [followers] want from us."
At the end of the day, the social media strategy for these fast-food brands is two-fold. There are the tweets and posts meant to be straight promotions of the restaurants' offerings and the ones that are meant to engage followers and bolster loyalty for the brand.
It is often difficult to determine if a viral marketing campaign is actually bumping sales. But, that's not really the point.
"Success comes in seeing the engagement and the conversation," White Castle's Blashford said. "There's a happiness element. Did we make someone smile or laugh?"
The brand is focused on generating content that gets its followers talking and sharing with each other.
"We are the forum," Blashford said.
White Castle Tweet:
Wendy's, too, relishes using social media to have fun. However, the brand also enjoys "leveling the playing field" with its "much larger competitors," Kane said.
"Social media is the great check and balance," Kane said.
The burger chain has just under 6,000 locations in the U.S. compared with the more than 14,000 that rival McDonald's operates. White Castle has nearly 400 restaurants. Although McDonald's has more than double the locations of Wendy's, its Twitter following is just 33 percent larger than Wendy's following.
"It's about humanizing our brands and not just being a marketing engine," Kaminski said. "You have to have a voice and have a personality. If you are just pushing marketing you are just a bulletin board."
VIDEO2:4902:49Burger mania hits the US after IHOP name stuntClosing Bell
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7d10f17120b7b78761b79c5eff370edc | https://www.cnbc.com/2018/06/15/wynn-resorts-and-other-us-companies-that-could-get-hit-in-a-us-china-trade-war.html | Wynn Resorts and other US companies could get hit in a US-China trade war | Wynn Resorts and other US companies could get hit in a US-China trade war
A man takes photographs outside the Wynn Macau casino resort, operated by Wynn Resorts Ltd.Jerome Favre | Bloomberg | Getty Images
Increased trade tensions with China will likely affect semiconductor stocks and two casino and hotel operators the most, according to Morgan Stanley analysis of companies most dependent on China for revenue.
Wynn Resorts draws 69 percent of its revenue from China, the greatest exposure among U.S. companies larger than $3 billion, according to analysis from Morgan Stanley Equity Strategist Michael Wilson and his team.
Las Vegas Sands ranks third, with 65 percent revenue exposure, according to the study, published Tuesday.
The U.S.-China trade dispute escalated Friday with the Trump administration announcing tariffs on $34 billion worth of Chinese goods that will take effect July 6. Beijing quickly responded with its own list of U.S. goods worth about the same amount that will also be subject to tariffs on July 6.
U.S. stocks fell Friday amid concerns about a trade war.
Other companies on Morgan Stanley's list with 30 percent or more revenue exposure to China include logistics company Expeditors International of Washington and automotive seating manufacturer Adient.
By industry, semiconductor and semiconductor equipment companies have the highest revenue exposure to China at 52 percent, the report said. Chipmaker Qualcomm ranked second on the list of individual companies most exposed to China, at 65 percent.
Energy and technology hardware and equipment have 14 percent revenue exposure to China, according to Morgan Stanley.
Source: Thomson Reuters, Morgan Stanley Research Estimates
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b504aa5a547b428de5f882fa4751174f | https://www.cnbc.com/2018/06/17/millercoors-and-pabst-blue-ribbons-bitter-legal-battle-is-headed-to-trial-in-november.html | MillerCoors and Pabst Brewing's bitter legal battle is headed to trial in November | MillerCoors and Pabst Brewing's bitter legal battle is headed to trial in November
Cans of Pabst Blue Ribbon beer are show at the Burton & Channel Islands store in Los Angeles, May 21, 2015.Rochelle Brodin Photography | Getty Images
MillerCoors and Pabst Brewing are headed to court over a half-a-billion dollar lawsuit Pabst lodged against the Keystone beer maker.
The center of the dispute is a decades-old agreement under which MillerCoors brews all of Pabst's legacy beers, including Pabst Blue Ribbon. The agreement is set to expire in 2020, but it has two options to renew. MillerCoors, facing declining volume in the U.S., has said it may not have the capacity to continue that relationship.
The stakes for Pabst are high. Without that contract renewal, many of Pabst's beer brands will be orphaned. It is expensive to build a brewery and there are not many breweries across the U.S. built for the capacity a company as large as Pabst requires.
VIDEO0:5900:59Michael Kors vs. Molson Coors: The better stockMad Money with Jim Cramer
Pabst is accusing MillerCoors of breach of contract, breach of anti-competition laws, fraud and misrepresentation. MillerCoors contests those claims, arguing it has the right to determine whether it has the capacity to extend the contract.
In April, a Milwaukee court judge denied MillerCoors' motion for summary judgment, which could have prevented the suit from going to trial. The two are set to go to trial in November of this year.
MillerCoors, owned by Molson Coors, makes beers under labels like Coors, Miller, Blue Moon and Keystone. It last quarter reported a drop in its earnings before interest tax depreciation and amortization (EBITDA) of 12.2 percent and a decline in its volume of 3.8 percent.
Pabst, which also makes brands like Old Milwaukee, is privately held and its finances could not be immediately obtained.
MillerCoors has argued its contract with Pabst is "an arms length agreement which allows the parties to look for their own best interest," according to the judge's April ruling. It has sole discretion to determine whether it has the capacity to brew Pabst beer. Meantime, it argues, offering Pabst a solution to those capacity challenges is optional, not mandatory.
In the judge's April ruling, he refers to accusations that Pabst lobbed against MillerCoors for considering the potential boost to its own business that would come by ending its contract with Pabst.
"There is also evidence that MillerCoors may have also used information relating to the business effects on Pabst of terminating the Brewing Agreement, information which would be improper as it doesn't relate to a sufficient capacity determination," the judge wrote.
MillerCoors has pointed to the rise in competition from everything from wine, spirits to cannabis for its troubles. As part of efforts to regain its footing, it is pushing deeper into cheaper beer to reconnect with the younger generation. That push pits it further against Pabst, whose "PBR" cans are a mainstay in college parties and dive bars.
"We've introduced Two Hats into the economy space, which is a light-bodied lager with a little bit of flavor, which is specifically crafted to attract the 21- to 27-year old and get them to reconsider beers," CEO Gavin D.K. Hattersley recently told analysts.
The judge further raised questions around the potential closing of a MillerCoors brewery in Irwindale, California, after closing one in Eden, North Carolina in 2016. Including Irwindale, MillerCoors operates seven breweries in the U.S.
According to the documents, MillerCoors argued there is a chance that industry pressures may force it to close that brewery. Doing so, in turn, may put it under capacity needed to brew Pabst beers. Knowing there exists that possibility, "they are required to not extend [the contract]," MillerCoors has argued.
The judge, though, noted that the potential brewery closure is at odds with MillerCoors' optimism about turning its business around.
"MillerCoors' current CEO says that the company will be flat by [20]18 and achieving growth by [20]19," the judge wrote. "This raises a question as to whether MillerCoors will have to close the second brewery. There is currently no official decision by the board to close second brewery."
Regarding the potential brewery closure, a MillerCoors spokesperson told CNBC, "We routinely evaluate our brewery footprint, our capacity and our efficiency as a matter of smart business. We are not planning to close Irwindale or any other brewery at this time."
Pabst declined to comment.
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41698a917f33ef39e151bb9522d9b358 | https://www.cnbc.com/2018/06/18/bitcoin-jumps-after-new-york-approves-squares-cash-app-for-crypto-trading.html | Bitcoin jumps after New York approves Square's Cash app for crypto trading | Bitcoin jumps after New York approves Square's Cash app for crypto trading
Bitcoin values on a smartphone.Nhac Nguyen | AFP | Getty Images
Bitcoin spiked suddenly Monday afternoon following news users of the "Cash" mobile payments app could trade the cryptocurrency in New York.
The largest cryptocurrency by market capitalization gained more than 4.5 percent to $6,793, its highest since Tuesday, according to CoinDesk's bitcoin price index. Bitcoin was trading near $6,694 as of 3:56 p.m. ET.
Cash is owned by Square and has 7 million monthly active users, the company said in its first quarter earnings call. On Monday, New York's Department of Financial Services granted Square a virtual currency license, allowing users of the Cash app in the state to trade bitcoin. Bitcoin trading launched for most Cash users in late January.
Bitcoin 12-hour performance
Source: CoinDesk
Bitcoin remains about 10 percent lower for the month, and down 51 percent for the year so far.
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77d470c705c4694850907fc39cd5eaff | https://www.cnbc.com/2018/06/18/elon-musk-email-tesla-factory-paint-shop-fire-sunday.html | Elon Musk sent an email to Tesla employees about another fire in its factory on Sunday | Elon Musk sent an email to Tesla employees about another fire in its factory on Sunday
VIDEO2:0702:07Musk emails employees about 'extensive and damaging sabotage'Fast Money
Tesla continues to struggle with fires at its electric vehicle plant in Fremont, California, according to correspondence reviewed by CNBC on Monday.
Tesla CEO and chairman Elon Musk sent an email to employees on Monday morning explaining that the factory had to stop their "body production line" for several hours on Sunday night due to a "small fire." On this part of the line, a car body's sheet metal has been welded together but the body has not yet been painted.
Musk expressed relief that nobody was near the point of ignition when it happened, and no equipment was significantly damaged during the fire. He also suggested that employees look out for negligence or sabotage, writing "Please be on the alert for anything that's not in the best interests of our company" and reminding employees of former Intel CEO Andy Grove's famous maxim: "only the paranoid survive."
The Tesla factory in Fremont, California.Getty Images
A Tesla spokesperson confirmed the email and said, "Last night, there was smoldering in an air filter in the welding area of the body line. The smoldering was extinguished in a matter of seconds. There were no injuries or significant equipment damage, and production is back online."
CNBC previously reported that the paint shop in Tesla's Fremont factory had experienced at least four fires since 2014, including one in April that shut down production.
Tesla stock has rallied more than 20 percent since the company's annual shareholder meeting on June 5. There, Musk promised investors that Tesla would become profitable and cash flow positive in the second half of 2018, and that Tesla would soon be able to produce 5,000 Model 3 electric cars per week.
Last week, Tesla announced a broad restructuring, slashing at least 9 percent of its workforce. Workers who are actively involved in Model 3 production would not be affected, the company said.
Here is the full e-mail about the most recent fire:
From: Elon MuskTo: EverybodySubject: Some concerning newsJune 18, 20189:38 a.m.Late last night we had another strange incident that was hard to explain. Small fire on the body-in-white production line. No one was in the area and there were no injuries or significant equipment damage, but it was enough to stop the body production line for several hours.Could just be a random event, but as Andy Grove said, "Only the paranoid survive." Please be on the alert for anything that's not in the best interests of our company. If you aren't getting a response from the emdesk email, please send me a note directly.Thanks,Elon
VIDEO2:0802:08Tesla must simplify and streamline the manufacturing process: ProClosing Bell
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297a14dd1be60854187ca4ce05370111 | https://www.cnbc.com/2018/06/18/people-are-deleting-social-media-accounts-due-to-privacy-worries.html | Four in 10 people have deleted a social media account in the past year due to privacy worries, study says | Four in 10 people have deleted a social media account in the past year due to privacy worries, study says
There is a serious lack of trust in social media such as Facebook and Twitter and consumers expect brands that advertise on such platforms to urgently find solutions, according to research published Monday.
Privacy concerns and the circulation of fake news are contributing to people's distrust of content on social platforms, said the study by public relations consultancy Edelman, with 70 percent of respondents expecting businesses and advertisers to put pressure on social media sites to address false information and remove offensive content.
VIDEO2:4102:41Edelman CEO: Fake followers, bots hurtful to the advertising industryMarketing Media Money
Context was also seen as important by people surveyed, with 48 percent saying it's a brand's fault if its advertising appears next to hate speech or violent content.
"We learned that there is a serious lack of confidence in social media in all regions of the world. This is a cry from the heart; people are scared. They are outraged about the violation of their privacy, and uncertain about the truth because of the plague of fake news," said the consultancy's president and CEO Richard Edelman in a statement emailed to CNBC.
The Cambridge Analytica data leak and Russian-produced fake news that undermined the 2016 U.S. Presidential Election have contributed to people's concerns. In April, Facebook said that it would remove 270 pages and accounts by the Internet Research Agency, the Russian organization that attempted to influence the U.S. Presidential Election. Last month, Facebook and Twitter both announced stricter political ad guidelines ahead of the U.S. midterm elections.
Forty percent of those surveyed had deleted at least one social media account in the past year because of privacy concerns and 62 percent wanted more regulation of such platforms.
VIDEO5:5905:59Edelman CEO: Fake news is 'cancer in the bloodstream'Marketing Media Money
Edelman surveyed 9,000 people in Brazil, Canada, China, France, Germany, India, the United Arab Emirates, U.K. and U.S. for the study that was published as part of the Cannes Lions International Festival of Creativity in France.
Richard Edelman urged companies to be honest about how they use social media, such as for advertising, saying that people want clear identification when something is sponsored, as well as when their data is being collected. Consumer goods conglomerate Unilever also announced Monday that it would no longer work with "influencers" on social media who have fake followers in an attempt to help rebuild trust in digital marketing.
People also expect businesses to take on big issues such as racism and sustainability. "Consumers believe brands can do more to solve them than government can," Richard Edelman said.
The social media study builds on Edelman's annual trust barometer revealed at the World Economic Forum in Davos in January, which suggested that 41 percent of people globally trust social media, with drops in most western countries on 2017.
VIDEO1:2001:20Edelman CEO: Great opportunity for brands to fill societal needsMarketing Media Money
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75f3e709fa19db15b2937fdc1926476c | https://www.cnbc.com/2018/06/18/sessions-and-nielsen-defend-trumps-zero-tolerance-immigration-policy.html | Jeff Sessions and Kirstjen Nielsen defend the Trump administration's 'zero tolerance' immigration policy | Jeff Sessions and Kirstjen Nielsen defend the Trump administration's 'zero tolerance' immigration policy
Secretary of Homeland Security Kirstjen Nielsen speaks at the National Sheriffs' Association convention in New Orleans, Monday, June 18, 2018.Gerald Herbert | AP
Amid the widespread outcry over the Trump administration's policy of separating children from families that illegally cross into the U.S., Attorney General Jeff Sessions and Homeland Security Secretary Kirstjen Nielsen are not backing down.
The two Cabinet members defended the policy, which has seen nearly 2,000 children separated from their families since Sessions issued his "zero tolerance" directive in April, in speeches to the National Sheriffs' Association Monday morning.
"We do not want to separate children from their parents. We do not want adults to bring children into this country unlawfully, placing them at risk," Sessions said, according to prepared remarks.
But, he added, "We cannot and will not encourage people to bring their children by giving them blanket immunity from our laws."
Nielsen, who spoke before Sessions, told the crowd, "We have to do our job. We will not apologize for doing our job. We have sworn to do this job."
Sessions authored an April 6 memorandum directing U.S. attorneys "to adopt a policy to prosecute all" such violations "to the extent practicable." In the six weeks following that order, 1,995 children had been separated from their parents, a Department of Homeland Security spokesman told news outlets on Friday.
Nielsen had tweeted over the weekend that her department does "not have a policy of separating families at the border. Period." The statement appeared to contradict not only the policy itself, but other Trump administration officials who had discussed it.
White House immigration policy advisory Stephen Miller, for example, recently told The New York Times: "It was a simple decision by the administration to have a zero tolerance policy for illegal entry, period. The message is that no one is exempt from immigration law."
And in remarks on Thursday, Sessions explained that "our policies that can result in short-term separation of families is not unusual or unjustified."
At the National Sheriffs' Association event on Monday, Nielsen touted the administration's hard-line approach to prosecute all immigrants who illegally enter the U.S.
"This administration has a simple message: If you cross the border illegally, we will prosecute you. If you make a false immigration claim, we will prosecute you. If you smuggle illegal aliens across an extraordinarily dangerous journey, we will prosecute you," she said.
President Donald Trump echoed that pugnacious tone in remarks at the White House later on Monday. After again blaming Democrats for the policy itself, Trump vowed that "the United States will not be a migrant camp ... not on my watch."
In her remarks, however, Nielsen encouraged immigrants to seek asylum through the proper channels. "If you are seeking asylum, go to a port of entry," she said.
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f6037c9322d8215cf24b07309556857e | https://www.cnbc.com/2018/06/18/trade-war-watch-china-pledges-it-will-fight-back-firmly-if-trump-publishes-list-of-new-tariffs.html | China says the US 'has initiated a trade war,' and Beijing isn't afraid to fight back | China says the US 'has initiated a trade war,' and Beijing isn't afraid to fight back
Chinese President Xi Jinping.Lintao Zhang | Pool | Getty Images
China's Commerce Ministry said on Tuesday morning that it will take counter measures if the U.S. publishes an additional tariffs list.
In a statement posted on its website, the ministry said China will protect its interests, taking both quantitative and qualitative measures against the move.
The fresh threats of additional tariffs violate prior negotiations and consensus reached between the two countries, the Chinese Commerce Ministry said. A trade war will hurt companies and people in both countries, it added in the Chinese statement.
"This practice of extreme pressure and blackmail deviates from the consensus reached by both parties on many occasions and is disappointing for the international community," the Commerce Ministry said.
"The United States has initiated a trade war that violates market laws and is not in accordance with current global development trends," it said.
Beijing will respond by safeguarding the interests of China and its people — and defending free trade, the statement added.
No matter how the external environment changes globally, China will push firmly ahead with reform and opening up, the Chinese ministry said.
VIDEO0:2700:27Trade war will have strong market impact, analyst saysStreet Signs Europe
China's Foreign Ministry, meanwhile, said the country does not want a trade war, but it's not afraid to engage in one.
Beijing was responding to news that U.S. President Donald Trump's administration is looking to impose fresh tariffs on products from China.
Trump has requested the United States Trade Representative to identify $200 billion worth of Chinese goods for additional tariffs at a rate of 10 percent.
The duties would take effect "if China refuses to change its practices, and also if it insists on going forward with the new tariffs that it has recently announced," Trump said.
That comes after the U.S. on Friday announced that it would impose a 25 percent tariff on up to $50 billion of Chinese products. Tariffs on an initial list of goods worth some $34 billion will kick in on July 6.
—Reuters and CNBC's Nyshka Chandran contributed to this story.
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da53eea341ec48f3ede3f6ef5915cc5f | https://www.cnbc.com/2018/06/19/danny-meyer-stands-by-union-square-hospitality-groups-cashless-push.html | Danny Meyer stands by restaurant group's cashless push: 'We're unaware of any federal law' that requires accepting cash | Danny Meyer stands by restaurant group's cashless push: 'We're unaware of any federal law' that requires accepting cash
Danny MeyerAdam Jeffery | CNBC
Shake Shack founder Danny Meyer is defending his restaurant group's push into cashless transactions, saying in a blog post, "we're unaware of any federal law that requires private businesses to accept [cash]."
Meyer owns Union Square Hospitality Group, which faced criticism after testing cashless operations at select restaurants. Shake Shack was founded by both Meyer and Union Square Hospitality.
"We know that some have raised concerns about the socioeconomic implications of operating a cashless business," Meyer said in the post. "By not accepting cash, a restaurant may be excluding prospective guests who do not have a bank account. And we might be inconveniencing guests who simply don't have their credit/debit on them at the time. That's certainly not our aim."
Meyer said the company is sticking with the shift for safety considerations and improved efficiency for customers. It's a notable stamp of approval for the digital technology that has been slowly gaining traction in the U.S.
Digital payments have proven popular in China and other Asian countries where payment-enabled mobile phones leapfrogged over traditional credit and debit cards. A large-scale rollout of cashless locations for Union Square Hospitality could expedite the adoption.
Meyer has a nearly 2 percent stake in Shake Shack, which has previously tested going cashless at one location. Union Square Hospitality declined to comment on the burger chain.
Read Meyer's full post on why Union Square is committed to cashless.
— CNBC's Sarah Whitten contributed to this report.
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11c114bf6fdf9a66e520f80e9e083b16 | https://www.cnbc.com/2018/06/19/joel-greenblatt-gotham-investment-strategy.html | This simple analogy will give you a new strategy for stock investing | This simple analogy will give you a new strategy for stock investing
VIDEO1:1601:16Joel Greenblatt breaks down the key to valuing a businessInvestor's Edge
If you can't figure out the value of a company, you have no business investing in it. That's the simple, strategic investment advice from Joel Greenblatt, managing principal and co-chief investment officer of Gotham Asset Management. "You'll just be speculating, because if you don't know what you're buying, it makes sense that you'll just be speculating," he says.
Greenblatt compares the process to investing in real estate. If you're considering making an investment into a $1 million house, you should figure out how much rent you can collect every year relative to the purchase price, how cheap it is compared with the house next door and the houses in the next town. The same applies to stocks. How does it compare with its peers and with stocks in the same sector?
"If you can value companies and buy them at a discount and you're disciplined about it, you can do quite well," Greenblatt says.
The most important thing individual investors should do, according to Greenblatt, is buy an index that makes sense but understand what you're buying.
Greenblatt is the author of "You Can Be A Stock Market Genius," "The Little Book that Beats the Market," "The Little Book that Still Beats the Market" and "The Big Secret for the Small Investor."
The Gotham Funds are a series of long/short equity hedge funds available in mutual fund form. Gotham has $5.3 billion in assets under management.
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f0700d0826b290bd8359daf25af7c321 | https://www.cnbc.com/2018/06/19/jp-morgans-jamie-dimon-on-us-immigration-policy-child-seperation.html | JP Morgan's Dimon speaks up against Trump policy of separating children from parents | JP Morgan's Dimon speaks up against Trump policy of separating children from parents
VIDEO0:3400:34Big business sounds off on Trump's border policySquawk Box
Jamie Dimon, the chief executive of J.P. Morgan, has become one the latest business leaders to speak up against President Donald Trump's policy of separating migrant children from their parents at the U.S. border with Mexico.
In an internal memo seen by CNBC, Dimon referred employees to a statement by Business Roundtable which called separating children from their parents a "cruel" practice that's "contrary to American values."
The Business Roundtable is an association of CEOs from major U.S. companies. Dimon currently heads the group.
"I strongly agree" with the statement, he wrote, adding that his "heart goes out to the impacted families."
Dimon also called for a comprehensive immigration reform.
"We need to fix our immigration problems — it's tearing apart our body politic and damaging our economy ... Fixing these issues will clearly boost the economy and help companies like ours hire great talent, but more importantly, it will reflect our American and core human values of fairness, decency and mutual respect," he said.
The Trump administration's policy has been met with widespread criticism from not only Democrats, but members of his own party and international organizations.
VIDEO6:0006:00Trump: Immigration loopholes created 'massive child smuggling trade'Halftime Report
For one, human rights group Amnesty International criticized the Trump administration's policy: "This is nothing short of torture. The severe mental suffering that officials have intentionally inflicted on these families for coercive purposes, means that these acts meet the definitions of torture under both US and international law," said Erika Guevara-Rosas, Amnesty International's Americas Director.
Lawmakers and activists have rightfully noted that Trump could end the policy of separation today, but the president has pushed for Congress to pass a bill that would end the practice while also enacting his strict border security proposals. Trump has shown no willingness to stop the practice himself.
—CNBC's Jacob Pramuk contributed to this report.
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bf948d38635138eeaabea69cec7882dc | https://www.cnbc.com/2018/06/19/opec-meeting-likely-to-end-without-oil-output-deal-iran-minister.html | OPEC meeting likely to end with no agreement on oil output, Iran minister says | OPEC meeting likely to end with no agreement on oil output, Iran minister says
Bijan Zanganeh, Iranian Oil MinisterPatti Domm | CNBC
OPEC members meeting in Vienna this week are likely to leave the Austrian capital without agreeing on a path forward for their 18-month-old policy of limiting oil output, Iran's energy minister told reporters on Tuesday.
The 14-member oil cartel is not scheduled to make a decision until Friday, but the gathering is already shaping up to be one of the most contentious in years. Influential producers such as Saudi Arabia and non-OPEC member Russia are pushing for output hikes, while countries with little ability to pump more — including Iran, Iraq and Venezuela — are lobbying against any change in current policy.
"Every decision in OPEC needs unanimity, and I don't believe in this meeting we can reach agreement," Iranian Oil Minister Bijan Zanganeh told reporters on Tuesday.
I think it's going to be a bad meeting. I don't see how they get an agreement. The probability is about zero.Ed MorseCitigroup global head of commodity research
The members' vastly different relationships with the U.S. government are also running through the meeting like a fault line. President Donald Trump has taken the rare step of publicly inserting himself into OPEC policymaking, complaining in a pair of tweets that OPEC is to blame for oil prices recently hitting 3½ year highs.
The Trump administration also reportedly asked top OPEC producer Saudi Arabia to offset potential disruptions to Iranian oil exports by pumping more. Washington made the request just before Trump pulled out of the Iran nuclear deal and restored sanctions on Tehran, the Saudis' chief regional rival, Reuters reported.
Zanganeh said it was Trump who had created difficulty for the oil market by imposing sanctions against Iran and Venezuela yet he now expects OPEC to deal with the consequences by pumping more.
"President Trump thinks that [he] can order to OPEC and instruct to OPEC to do something," he said. "It's not fair, I think, and OPEC is not a part of the Department of Energy of the United States."
OPEC reached a historic agreement with Russia and other nonmembers in 2016 to keep 1.8 million barrels per day off the market. That arrangement has cleared a global glut of crude oil that sent oil prices spiraling from more than $100 a barrel in 2014 to less than $30 a barrel in 2016. International benchmark has since rebounded to about $75 a barrel.
VIDEO2:0502:05Oil moves more about politics than prices, says analystSquawk Box
But renewed Iranian sanctions and the continued drop in Venezuela's output has convinced some OPEC members that producers must start easing production caps.
Earlier in the evening, OPEC Secretary General Mohammed Barkindo told CNBC he's "very hopeful" OPEC members will reach consensus by the time they meet formally at the end of the week.
But Citigroup's closely followed global head of commodity research, Ed Morse, said he thinks it will be very difficult for the oil producers to clinch an agreement in Vienna.
"I think it's going to be a bad meeting," he told CNBC on the sidelines of a press conference with Barkindo. "I don't see how they get an agreement. The probability is about zero."
Russian energy minister Alexander Novak is seeking an increase of 1.5 million bpd, but Saudi Arabia appears interested in a hike of only 500,000-600,000 bpd. Meanwhile, Iran and Venezuela do not want an increase at all.
To be sure, it is not unusual for oil producers to stake out maximalist positions ahead of a high-stakes meeting.
"I think at this point right now, you can think about what Novak and the Russians are doing as throwing out very large numbers as really more of a negotiating position to get more market share," Jeff Currie, head of commodities research at Goldman Sachs, told CNBC's "Power Lunch" on Tuesday.
A source familiar with the state of negotiations in Vienna told CNBC that OPEC members are in the process of horse trading ahead of the official decision.
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1ae7bb135b7cd4dce3e274c57def3ff3 | https://www.cnbc.com/2018/06/20/diabetes-defeated-by-diet-new-fresh-food-prescriptions-beat-drugs.html | Diabetes defeated by diet: How new fresh-food prescriptions are beating pricey drugs | Diabetes defeated by diet: How new fresh-food prescriptions are beating pricey drugs
VIDEO2:2202:22How food therapy helps control diabetesSquawk Box
At first glance Sami Inkinen, an elite triathlete and co-founder of the real estate company Trulia, and Rita Perkins, a grandmother of eight in central Pennsylvania, have little in common.
But they do share one thing: Both have grappled with diabetes.
"I thought, This is absolutely nuts," Inkinen recalled of his diagnosis with prediabetes. "It was really a personal experience and a shocking experience that a world-class triathlete can become type 2 diabetic or prediabetic."
For Perkins it was less of a surprise. Diabetes ran in her family, she said, and her weight had reached 300 pounds before she lost about 100 just through increased walking. But her diet was still bad, and she struggled to control her blood sugar.
Now things have turned around for both Perkins and Inkinen. And their paths were both through food.
In Shamokin, Pennsylvania, about 75 miles northwest of Allentown, Geisinger Health System is trying something new for some of its diabetes patients.
Instead of relying solely on drugs to manage the disease, doctors are writing prescriptions for certain patients to enter its Fresh Food Farmacy program: 15 hours of education about diabetes and healthier living, followed by 10 free nutritious meals a week for participants and their families.
Dietitian Anna Ziegler selects fresh produce for a Fresh Food Farmacy patient.Geisinger
"In health care we spend an awful lot on drugs and devices because it's business," said Dr. Andrea Feinberg, Geisinger's medical director of health and wellness. "But we spend a very small amount on preventive medicine. … It's sort of like we're upside down and backward."
The program targets people with diabetes and food insecurity, those for whom it's not always clear where the next meal will come from.
"We understand the relationship of food insecurity and the impact that poverty has on developing certain lifestyle conditions, like type 2 diabetes," Feinberg said. She added that the goal is "to diminish complications of diabetes and also close the meal gap to end hunger."
The program, started 18 months ago, is a partnership with the Pennsylvania Food Bank. So far, it's enrolled 150 patients, feeding a total of about 450 people a week.
Rita Perkins, her husband and three grandchildren who live with them are among those families. For Perkins the program has been transformative.
Each week, she visits the Farmacy and picks out food with guidance from a nutritionist. Perkins said the food, along with what she learned in the course about managing diabetes, has changed not just her approach to eating but also her family's.
"Before, I'd never buy this stuff; I would never buy fresh fruit," Perkins recalled. "Money was tight. And now since I get this stuff for free, I can put it on the table for the kids."
Since she started the program, Perkins said her weight has dropped to 134 from 179. She walks all over town and said her doctors are evaluating the doses of her diabetes medications. Her blood sugar, measured by an A1C test, has been a steady 5.8 percent for the last six months (normal A1C, according to the National Institutes of Health, is below 5.7 percent).
If a new diabetes drug became available that could double the effectiveness of glucose control, it would likely be priced considerably higher than $6 per week (and if it wasn't, the pharmaceutical firm's stockholders would be in revolt).Andrea Feinberg Geisinger's medical director of health and wellness
Those results aren't atypical. On average, patients in the program have seen their A1C levels drop from a pre-enrollment level of 9.6 percent to 7.5 percent, Feinberg and colleagues wrote in an April article in NEJM Catalyst that they called "Prescribing Food as a Specialty Drug."
"Clinically, we see great outcomes," Feinberg told CNBC. "The impact is that we really know long-term that we'll see a decrease in incidence of heart disease, the No. 1 killer here in the United States, because if you improve the diabetes, improve your cardiac risk factors, you have less heart disease as well."
The program also should save money. With operational costs of $2,400 per patient each year, early findings show costs for patients in Geisinger Health Plan dropped by 80 percent: from an average of $240,000 per member per year, to $48,000 per member per year.
"If a new diabetes drug became available that could double the effectiveness of glucose control, it would likely be priced considerably higher than $6 per week (and if it wasn't, the pharmaceutical firm's stockholders would be in revolt)," Feinberg and her colleagues wrote.
Indeed, spending on diabetes drugs in the United States reached $53.7 billion last year, more than double what it was in 2013. The number of prescriptions in that time rose 18 percent, to 227 million, according to data from industry researcher IQVIA.
Almost 3,000 miles away, in San Francisco, Inkinen got his startling diagnosis: He was pre-diabetic even as he set records in endurance sports (in 2014 he and his wife rowed across the Pacific Ocean, from California to Hawaii, he said on his blog: 2,750 miles in 45 days and 3 hours, setting a speed world record for two people.)
His solution? The ketogenic diet, a high-fat, low-carbohydrate way of eating that's enraptured many in Silicon Valley.
"There is a way to reduce insulin resistance without exercise, without dieting or without bariatric surgery, using the traditional ketosis," Inkinen told CNBC. "But to deliver this type of treatment, you would need technology and the ability to continuously monitor and deliver care."
Sami Inkinen, CEO of Virta Health, is tackling the diabetes epidemic in the U.S. with his start-up.Source: Virta Health
Inkinen's online real estate information company, Trulia, was sold in 2014 to Zillow for $3.5 billion. So naturally, the next step for Inkinen was to start a new company. He teamed with a doctor and a scientist, Stephen Phinney and Jeff Volek, and founded Virta Health.
Virta connects patients virtually with doctors and coaches who help tailor the ketogenic diet to their lifestyles and monitor certain biomarkers daily.
In a trial of about 260 patients, published last year in JMIR Diabetes, Virta's treatment led to reductions in blood glucose, weight and use of diabetes medication after 10 weeks. After a year A1C levels were down an average of 1.3 percent, diabetes medication usage was down 48 percent, and body weight was down 12 percent.
To cardiologist Ethan Weiss, who sits on Virta's scientific advisory board, the outcomes are strong enough to recommend the program to his patients.
"For people with type 2 diabetes headed toward bariatric surgery, to have this result, that they're coming off almost all insulin, coming down on almost all other diabetes medicines, losing weight, feeling like they control their diet, I think it's an awesome thing to recommend," said Weiss, an associate professor of medicine at the University of California San Francisco.
While most of the metrics move dramatically in the right direction — Inkinen says 60 percent of patients see their diabetes reversed in a span of between two and nine months — Weiss notes one data point that may not. Levels of LDL, or so-called bad cholesterol, appear to rise on the ketogenic diet. But he notes a distinction in the type of LDL that goes up, saying it may not be the type that leads to clogged arteries. And he says LDL levels can be controlled with drugs called statins, like Lipitor, if that's a concern (though he said to him it's not).
Virta's program, which costs $370 a month after a $500 initiation fee if patients pay out of pocket, also saves money, according to Inkinen, who estimates an average savings of $9,600 per patient in the first 24 months in drug and medical costs. After the first year the cost drops to $199 a month.
The company is working to expand to more coverage from insurers and employers, with the goal of reversing diabetes in 100 million people by 2025.
That's about the number of Americans with diabetes or prediabetes, according to the Centers for Disease Control and Prevention.
As usage — and costs — of diabetes medicines rise, both Geisinger and Virta are showing that food, along with a healthy dose of education and support, can go a long way in changing the course of this disease.
— Additional reporting by CNBC Producer Karen Stern
More from Modern Medicine:
The key to weight loss may be in the palm of your handOne-third of Americans headed for diabetes, and most don't know it
A scientific breakthrough may lead to an anti-obesity drug
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3fbe07025cd1ed3e7b228aeb881d20f5 | https://www.cnbc.com/2018/06/20/digitalocean-new-ceo-former-citrix-chief-mark-templeton.html | Former Citrix chief Mark Templeton takes over at cloud start-up DigitalOcean | Former Citrix chief Mark Templeton takes over at cloud start-up DigitalOcean
Incoming DigitalOcean CEO Mark Templeton, left, and DigitalOcean cofounder Ben Uretsky.Source: Zach Dilgard/DigitalOcean
Former Citrix CEO Mark Templeton has a new job. He's taking over as chief of DigitalOcean, a trendy start-up that prioritizes developers and teams as it offers cloud infrastructure for hosting applications.
DigitalOcean offers low-cost competition to big cloud providers like Amazon, Microsoft and Google for the basic tasks that were the original appeal of cloud computing, like remotely running computing tasks and storing data. As companies become more comfortable relying on third-party providers to run their applications, the market is expanding, leaving some room for small players like DigitalOcean.
The company was founded in 2011, and its core market is developers who build things and don't want to futz around with the complexity that you can run into when you use the big guys. It also has a community of 3.5 million developers, including some customers and some more casual users who look at documentation and other content on its web site.
But along the way, it's racked up business customers, such as group video chat app Houseparty and managed hosting company Cloudways, and three-quarters of its revenue now comes from businesses, says cofounder and outgoing CEO Ben Uretsky. The company now has an annualized revenue run rate in excess of $200 million, Uretsky said.
Templeton, who left Citrix in 2015, grew it over his 14-year tenure into a business software figurehead with more than $3.2 billion in annual revenue.
But even though Templeton has experience with landing big enterprise customers, he's personally excited about helping DigitalOcean broaden its appeal for small customers, some of which turn into larger ones.
"We're a small size of the cloud computing infrastructure pie -- and our opportunity is actually to be one of the core growers of the pie, which is about primary demand," Templeton said in an interview with CNBC at the start-up's New York headquarters on Wednesday.
Templeton said he doesn't envision DigitalOcean becoming more competitive with Amazon and the other big cloud providers -- precisely because it's not looking to go searching for enterprise business.
"They don't have to lose for us to win, especially in a market where the pie is growing so fast overall," Templeton said.
Under Templeton, Citrix acquired several companies, including Bytemobile, NetScaler and XenSource. Now he's looking to build a corporate development team at DigitalOcean. The start-up could potentially build up its technology offerings by acquiring companies with tools for artificial intelligence, augmented reality and "serverless" computing, Templeton said.
"I can point to Mark's incredible success record at Citrix in doing M&A work with a variety of companies that have turned out to be hugely successful," said Peter Levine, a partner at investor Andreessen Horowitz, which led a $37.2 million investment round in 2014. "If Mark Templeton comes up with a strategy and articulates a reason to do an M&A transaction, the funds will be there for him to be able to go do that."
Uretsky won't be involved in day-to-day operations but will stay on as a member of the start-up's board.
"I think the business had scaled to tremendous heights, and we were starting to think about the future, and it looked like we were seriously considering what a path toward a public company would look like," Uretsky said. "I would have to make a key decision there -- if I am the person to really take the business in that direction and operate it as a potentially public company. I just felt that wasn't really [among] the personal goals that I had."
DigitalOcean has raised more than $123 million in funding, and two years ago it took out a $130 million credit line to help cover the cost of data center infrastructure. Alongside Andreessen Horowitz, other investors include Access Industries, CrunchFund and IA Ventures.
VIDEO2:3302:33Cloud wars heat up: DigitalOcean goes up against AmazonPower Lunch
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23ac33a23799df6208662e9e85543ed8 | https://www.cnbc.com/2018/06/20/germany-will-offer-to-scrap-the-eus-10-percent-tax-on-us-autos-report.html | Germany will offer to scrap the EU's 10% tax on US autos: Report | Germany will offer to scrap the EU's 10% tax on US autos: Report
VIDEO0:3800:38Germany will offer to scrap the EU's 10% tax on US autosNews Videos
German auto makers are proposing an end to the European Union's 10 percent import tax on U.S.-made cars, the Wall Street Journal reported Wednesday.
The newspaper reported that Richard Grenell, the U.S. ambassador to Germany, has been in talks recently with the chief executives of German car makers BMW, Volkswagen and Daimler, where they pitched the idea of ending car tariffs between the U.S. and the EU.
During these talks, the executives said they would be in favor of scrapping these levies as part of a broader deal encompassing industrial goods, the Journal said.
There is a catch, however. Europe also wants a 25 percent tax on imported pickup trucks, SUVs and big vans scrapped, according to the report. That tax has been in place since the Johnson administration and scrapping it could alienate U.S. auto workers, a key constituency for President Donald Trump.
VIDEO0:5800:58German automakers propose lifting EU auto import tariff, WSJ reportsSquawk Box
The report comes shortly after the European Commission said the EU will slap a 25 percent charge on $3.2 billion worth of U.S. goods, including bourbon and motorbikes, as retaliation for levies implemented on European steel and aluminum products by the U.S.
Trade tensions between the U.S. and some of its key partners has been escalating recently, increasing fears of a full-blown trade war. These tensions weighed on financial markets on Tuesday, with the Dow Jones industrial average posting on Tuesday its longest losing streak in more than a year.
Click here for the full Journal report.
This story is developing. Please check back for updates.
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8bfd7fd846f1523cc21790f96e8f06b9 | https://www.cnbc.com/2018/06/20/judge-doubts-california-wanted-to-harm-immigration-enforcement.html | US judge challenges federal government's claim California sought to stymie immigration enforcement | US judge challenges federal government's claim California sought to stymie immigration enforcement
More than 100 protestors demonstrated outside the federal courthouse where a federal judge will hear arguments over the U.S. Justice Department's request to block three California laws that extend protections to people in the country illegally, Wednesday, June 20, 2018, in Sacramento, Calif.Rich Pedroncelli | AP
A U.S. judge raised doubts Wednesday about the Trump administration's claim that California sought to intentionally obstruct against enforcement of federal immigration laws.
U.S. District Judge John Mendez made the comments during a hearing in Sacramento on the federal government's request to halt three of California's so-called sanctuary laws. The hearing lasted more than six hours and ended with no formal decision on the government's request for a preliminary injunction.
The judge said he planned to issue a written opinion on the preliminary injunction as soon as possible.
During the hearing, Mendez said he wasn't convinced California lawmakers had passed the sanctuary statutes to hinder federal immigration enforcement efforts. The federal government is seeking to block three of the state's sanctuary laws, including one that applies to federal detention facilities where immigrants are being held.
Hundreds of protesters were outside the federal courthouse in Sacramento on Wednesday as the judge heard arguments.
Chad Readler, a U.S. Department of Justice attorney, told Mendez it was clear that the state had passed the sanctuary laws last year to halt immigration enforcement. But the judge, a 2007 appointee of President George W. Bush, responded: "I'm not that clear and that convinced."
Mendez said he took the passage of the sanctuary laws as a sign the state didn't want to participate in the U.S. government's immigration policies. California is home to about 25 percent of the nation's undocumented population.
Angela Chan, the policy director at the Asian Law Caucus in San Francisco, said the judge during the hearing seemed to be leaning toward the view that "you can't mandate state cooperation. It was the heart of what was driving a lot of his questions."
The federal government claims the sanctuary laws in California "have interfered, and will continue to interfere, with federal law enforcement efforts," including activities involving U.S. Immigration and Customs Enforcement agents.
Even so, there have been more than 650 arrests since March in California of undocumented immigrants.
Attorneys for California have contended that the sanctuary policies help build trust, and they support relations between police agencies and immigrant communities.
Wednesday's hearing came as President Donald Trump faced widespread criticism from Democrats and some Republicans for the administration's "zero tolerance" immigration policy, including its recent practice of separating children from migrant families. On Wednesday, Trump reversed himself and signed an executive order allowing detained migrant parents to remain with their children.
Among the protesters outside the federal courthouse Wednesday were critics of the administration's policy of separating migrant families and Trump's border wall. Some held up signs that read "Keep Families Together" and "Family Separation is UnAmerican."
There were also pro-Trump supporters outside the courthouse.
In March, the DOJ filed a lawsuit against California's sanctuary laws, including challenging state Senate Bill 54, formally known as the California Values Act, that went into effect in January. That law bars local authorities from asking about the immigration status of people during routine interactions or participating in federal enforcement actions.
Wednesday's hearing also was for arguments in California's motion to dismiss the lawsuit.
"California's laws work in concert — not conflict — with federal laws and are fully constitutional," California Attorney General Xavier Becerra said in a statement last month in announcing the motion to dismiss the federal lawsuit.
Added Becerra, "The 10th Amendment of the Constitution gives the people of California, not the Trump administration, the power to decide how we will provide for the public safety and general welfare of our state. The federal government has no grounds to intrude on California's constitutional authority to enact laws designed to protect its people."
Critics of SB 54 contend it jeopardizes public safety because it made it tougher to get incarcerated immigrants once they are released from jails to the custody of federal immigration agents. They say it can result in violent criminals getting released back into communities.
The administration's motion for preliminary injunction involves SB 54 as well as two other state sanctuary laws, including Assembly Bill 450, or the Immigrant Worker Protection Act, that went into effect in January and limits the ability of employers to cooperate with federal immigration authorities.
Becerra has warned businesses they could face fines of $10,000 for violating the AB 450.
AB 450 requires employers to notify all employees of inspections of their employment records by U.S. immigration agencies within 72 hours of receiving notice of a federal audit. It also bars businesses from providing immigration agents access to a workplace without a warrant and requires a subpoena for federal agents to access employment records.
Critics contend AB 450 can be confusing for employers and also has scared away workers. The state's Chamber of Commerce last year came out opposing the legislation and said it "puts employers in a no-win situation between federal immigration enforcement and state enforcement."
"The statute really puts the employer between a rock and a hard place," the judge said Wednesday.
However, state attorneys pointed out there are places in the federal statute that allows businesses to cooperate without violating the state law.
The government's request for a preliminary injunction only applies to three of 25 provisions of SB 54 law. It applies to the sharing of release dates for incarcerated immigrants, sharing of home and work addresses, as well as allowing the transfer of inmates into the custody of U.S. immigration authorities.
There's also Assembly Bill 103, dubbed the Detention Review law, which took effect in June 2017. It imposes limits on local jurisdictions establishing, modifying or renewing contracts involving locked detention facilities used to house or detain noncitizens for purposes of civil immigration custody. It also applies to federal detention facilities where undocumented immigrants are being held.
During the hearing, Readler said states have no place being involved as inspector of federal facilities such as those housing immigrants.
In recent months, there's been a backlash over the sanctuary policies from local jurisdictions up and down the state. Some of the same local jurisdictions have filed briefs in support of the Trump administration's lawsuit against the state.
Several counties — including San Diego, Orange and Tuolumne — as well as more than two dozen cities have come out against sanctuary laws. Last month, Trump invited a group of local officials from California fighting the state's sanctuary policies to a White House roundtable on immigration.
Some of the same local jurisdictions in California also have filed friend of the court briefs in support of the Trump administration's lawsuit against the state. California also has at least two dozen cities and counties that have filed briefs supporting the state's side.
— The Associated Press contributed to this report.
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ff42eacb0a24ef0b177771768dd0359f | https://www.cnbc.com/2018/06/20/trump-says-hes-going-to-sign-a-preemptive-measure-to-keep-migrant-families-together.html | Trump signs order that he says will keep migrant families together | Trump signs order that he says will keep migrant families together
VIDEO4:4904:49Trump signs executive order to keep migrant families togetherClosing Bell
President Donald Trump signed an executive order Wednesday that he says will keep migrant families together during detention on the U.S.-Mexico border.
The president backed down from his administration's policy of splitting migrant families, which for days the White House insisted could only end through congressional action. Facing a nationwide uproar and bipartisan calls to at least temporarily end the practice, the president said he "didn't like the sight or feeling of families being separated."
Trump said he will not end the administration's "zero tolerance" policy of criminally prosecuting every adult who crosses U.S. borders illegally, including those seeking asylum. The White House also will keep pressure on Congress to pass legislation that meets Trump's goals of halting the separation practice, funding his proposed border wall and limiting legal immigration.
"We're keeping families together and this will solve that problem. At the same time we are keeping a very powerful border and there continues to be a zero tolerance," Trump told reporters before he signed the order.
It was not immediately clear Wednesday what would happen to the children already separated from their parents. The order did not appear to address how the government would go about reuniting families.
Reuters later reported that House Republicans briefed on the order by Homeland Security Secretary Kirstjen Nielsen worried the measure would not prevent family separations during detentions longer than 20 days.
Watched by Homeland Security Secretary Kirstjen Nielsen (L) and Vice President Mike Pence, US President Donald Trump holds an executive order on immigration which he just signed in the Oval Office of the White House on June 20, 2018 in Washington, DC.Mandel Ngan | AFP | Getty Images
Here's what the executive order would do, according to text circulated by the White House:
It orders Nielsen "to the extent permitted by law and subject to the availability of appropriations" to keep families together during criminal proceedings. The measure says the administration does not have to keep families together "when there is a concern" that detaining a child with a parent "would pose a risk to the child's welfare." It directs Attorney General Jeff Sessions to file a request with a federal district court in California to change a legal settlement that curbs the government's ability to keep children in detention. It orders Sessions to prioritize criminal proceedings for cases involving families.
Ahead of the signing, the House apparently still planned to vote Thursday on GOP-crafted immigration legislation that would enact stricter border security measures and offer a path to citizenship for young immigrants brought to the U.S. illegally as children. It is unclear whether Senate Republicans will still pursue more narrow legislation to address only family separation.
By signing the order, Trump may also have taken political pressure off Democrats. Senate Minority Leader Chuck Schumer signaled he would be reluctant to support legislation to end the policy because Trump had the ability to halt it himself. If Trump had not signed the order, Democrats would have faced a tougher decision about backing a bill.
In a tweeted statement Wednesday, Schumer said "it's a relief that [Trump] has reversed himself & recognized the cruelty of separating families." He added: "While the EO doesn't reference the families already ripped apart, I hope & expect that the admin will be able to quickly reunite these children w/their parents."
Schumer tweet
Speaking at the start of an earlier Wednesday meeting with members of Congress, Trump said he faced a dilemma as criticism of his administration's policy has grown louder in the past week.
"The dilemma is if you're weak ... the country is going to be overwhelmed with [undocumented immigrants]. ... If you're strong, then you don't have any heart. Perhaps I'd like to be strong," the president said, according to pool reporters in the room.
Earlier Wednesday, reports said Nielsen drafted a document in collaboration with White House lawyers. Nielsen has been the administration's most public face in defending the highly controversial policy, put in place this spring. On Tuesday night, she was confronted by protesters as she dined at a Mexican restaurant in Washington.
The order says the Defense Department will assist the Department of Homeland Security and the Health and Human Services Department, which are being stretched to the limit by the demands of housing the surging numbers of individuals who are being taken into custody.
At least 2,000 children have been separated from their parents under the Trump administration's zero tolerance policy, according to DHS.
VIDEO5:4705:47Trump: We need more people coming to our country, but based on meritHalftime Report
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a8cd03623d510fce426693b457b18078 | https://www.cnbc.com/2018/06/20/williams-sonoma-ceo-even-amazon-sees-the-benefits-of-physical-stores.html | VIDEO1:0501:05Amazon sees benefits of physical stores: Williams-Sonoma CEOMad Money with Jim Cramer
As Williams-Sonoma's business shifted from selling via catalogs to selling online, the furniture and kitchenware retailer remained consistently adamant about one thing: its stores.
"Even Amazon believes that they should have some real spaces," Laura Alber, the company's president and CEO, told CNBC on Wednesday. "When you go in a store and it's wonderful, it helps you make the purchase."
Scores of retailers are parsing how to enter the age of e-commerce, with many shuttering stores and building out their digital capabilities and others adopting pop-up shop formats to skirt the high real estate costs often associated with brick-and-mortar retail.
Many industry experts saw Amazon's acquisition of Whole Foods as a way for the e-commerce giant to preserve an on-the-ground retail presence, among other advantages.
But for Williams-Sonoma, which Alber said benefited from its time as a catalog-focused seller, a multichannel solution seems to be its secret sauce.
"We see our best customers cross-channel," Alber told "Mad Money" host Jim Cramer in an interview. "There's a lot of people just online, there's a lot of people just focused on big stores. We are focused on both because we know that's how you shop."
Headquartered in San Francisco, the Pottery Barn and West Elm parent has also reaped the benefits of its proximity to Silicon Valley, the CEO said.
Between Williams-Sonoma's big data projects — which help the company see what customers like and predict what they might buy next — its 3D room-planning technology and its online advertising initiatives, Silicon Valley provides valuable resources and insights for Alber's team.
"We are constantly down there, talking to Google, talking to Facebook, doing testing with them. And because we have seven brands, we can try something [at one of them] before we roll it across the brands. It's really, really interesting and fun," Alber told Cramer.
One key opportunity Alber sees is with online video advertising, especially on YouTube, which is owned by Alphabet's Google, but also on Facebook and Williams-Sonoma's own website.
"We're testing all sorts of things" including partnering with bloggers, emailing videos to customers and hopping aboard the wildly popular recipe-video trend using Williams-Sonoma appliances, Alber said.
"Customers love the movement. They love learning how to do things," she said. "And with our Williams-Sonoma brand, we have such an opportunity. Our recipes are one of our most clicked things on our site and they're out, of course, all over the internet. And it's such an example of bringing the brand to life and helping the customer with our products really celebrate."
VIDEO9:3309:33Williams-Sonoma CEO: Even Amazon sees the benefits of having physical storesMad Money with Jim Cramer
Disclosure: Cramer's charitable trust owns shares of Amazon, Facebook and Alphabet.
Questions for Cramer? Call Cramer: 1-800-743-CNBCWant to take a deep dive into Cramer's world? Hit him up! Mad Money Twitter - Jim Cramer Twitter - Facebook - Instagram - VineQuestions, comments, suggestions for the "Mad Money" website? madcap@cnbc.com
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9ac8915997fb001ba121851eb94d8d1f | https://www.cnbc.com/2018/06/21/after-hours-buzz-rht-cmc-more.html | Stocks making biggest moves after hours: Red Hat, Commercial Metals and more | Stocks making biggest moves after hours: Red Hat, Commercial Metals and more
Commuters exit the Wall Street subway station near the New York Stock Exchange.Michael Nagle | Bloomberg | Getty Images
Check out the companies making headlines after the bell:
Shares of Red Hat plummeted more than 11 percent in extended-hours trading, after the company reported better than expected first quarter earnings and revenue, but reported weak guidance. The software company earned 72 cents per share, beating analyst estimates of 69 cents per share. Red Hat also beat revenue estimates of $807 million, instead posting $814 million.
Commercial Metals stock rose 2.60 percent in after-hours trading. The Irving, Texas based company has seen a decline in the last five days, but managed to gain back some of its 5.91 percent loss from the regular session during extended-hours trading.
Shares of Laredo Petroleum increased by 1.14 percent in the extended-trading session. The petroleum and natural gas company recorded strong earnings in its first quarter. Shares of Laredo Petroleum are down 17.53 percent year-to-date.
Tandem Diabetes Care shot up more than 7 percent in after-hours trading. The San Diego-based company announced today that the FDA approved of its new insulin pump T:slim X2, that helps reduce the frequency and duration of low glucose events.
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4409ec645e0ca6c5e7968bdf1e8dd216 | https://www.cnbc.com/2018/06/21/commerce-secretary-ross-the-ultimate-objective-of-the-president-is-to-reduce-tariffs.html | Commerce Secretary Ross: 'The ultimate objective of the president is to reduce tariffs' | Commerce Secretary Ross: 'The ultimate objective of the president is to reduce tariffs'
Commerce Secretary Wilbur Ross, speaks at the Conferation of British Industry's annual conference in London, Britain, November 6, 2017.Mary Turner | Reuters
Commerce Secretary Wilbur Ross told CNBC on Thursday that rising tensions in trade negotiations between the U.S. and the rest of the world will help lower trade barriers for American companies.
"The ultimate objective of the president is to reduce tariffs, reduce trade barriers and make an open level playing field for U.S. companies all around the world, whether it's in China or anywhere else. That is the end game that we are seeking," he said on "Squawk Box." "In order to get there, we've had to do some other measures."
Trade tensions with China rose to new highs Monday when President Donald Trump instructed the U.S. trade representative to identify $200 billion worth of Chinese goods for additional tariffs at a rate of 10 percent.
"So what we have to do is create an environment where it's more painful for these parties that have these huge trade barriers ... got to make it more painful for them to keep those barriers than to get rid of them," Ross said.
The Trump administration also put tariffs of 25 percent on steel imports and 10 percent on aluminum imports from Canada, Mexico and the European Union earlier this month. The U.S. initially gave those allies a reprieve from those duties, but the exemptions expired.
In the interview, Ross also told CNBC he doesn't have any investments in Russia and never has.
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803dd3bdbb2b79a99bb58ebd1f25288f | https://www.cnbc.com/2018/06/21/intel-ceo-brian-krzanich-to-step-down-bob-swan-to-step-in-as-interim-ceo.html | Intel's Brian Krzanich is forced out as CEO after 'consensual relationship' with employee | Intel's Brian Krzanich is forced out as CEO after 'consensual relationship' with employee
VIDEO4:4404:44What CEO Brian Krzanich's departure means for IntelSquawk on the Street
Intel's Brian Krzanich was forced out as CEO following an investigation into a "consensual relationship with an Intel employee," the company announced Thursday.
Krzanich has also left the board, it said.
Chief financial officer Robert Swan will step in as interim CEO, effective immediately, and the board has already begun the search for a permanent replacement.
"An ongoing investigation by internal and external counsel has confirmed a violation of Intel's non-fraternization policy, which applies to all managers," the company said in a statement. "Given the expectation that all employees will respect Intel's values and adhere to the company's code of conduct, the Board has accepted Mr. Krzanich's resignation."
Krzanich violated a policy that said managers cannot have relationships with people who report to them either directly or indirectly. The relationship ended and took place "some time back," people familiar with the situation told CNBC. It's unclear with whom Krzanich, 58, had the relationship.
The company was only recently made aware of the relationship, at which point it began probing and Krzanich was asked to resign, the people said.
Krzanich's total compensation topped $21 million last year, and the company paid for his transportation and residential security, according to company filings.
VIDEO1:4301:43Intel CEO out after probe of consensual relationshipSquawk on the Street
Shares of Intel initially rose 2 percent in premarket trading after the announcement but was down 1.8 percent in morning trading.
Krzanich was named CEO and elected to the board in May 2013, according to a summary of his biography on Intel's website. Before that, he served as executive vice president and chief operating officer. He joined Intel in 1982.
He led Intel's transformation from a PC-centric to a data-focused company, delivering the technology foundations for the new data economy, according to the company's most recent 10K statement.
"The Board believes strongly in Intel's strategy and we are confident in Bob Swan's ability to lead the company as we conduct a robust search for our next CEO," Intel Chairman Andy Bryant said in a statement. "Bob has been instrumental to the development and execution of Intel's strategy, and we know the company will continue to smoothly execute. We appreciate Brian's many contributions to Intel."
Intel's stock has risen about 120 percent during Krzanich's tenure as CEO.
Also Thursday, Intel raised its guidance for the second quarter. The company said it now expects adjusted earnings of 99 cents per share on $16.9 billion in revenue. Intel previously forecast second-quarter earnings of 85 cents a share on $16.3 billion in revenue.
—CNBC's David Faber and Jordan Novet contributed to this report.
Correction: This story was revised to remove an incorrect title for Krzanich. He was a member of the board.
Here's Intel's full release:
Intel Corporation today announced the resignation of Brian Krzanich as CEO and a member of the Board of Directors. The Board has named Chief Financial Officer Robert Swan Interim Chief Executive Officer, effective immediately.Intel was recently informed that Mr. Krzanich had a past consensual relationship with an Intel employee. An ongoing investigation by internal and external counsel has confirmed a violation of Intel's non-fraternization policy, which applies to all managers. Given the expectation that all employees will respect Intel's values and adhere to the company's code of conduct, the Board has accepted Mr. Krzanich's resignation."The Board believes strongly in Intel's strategy and we are confident in Bob Swan's ability to lead the company as we conduct a robust search for our next CEO. Bob has been instrumental to the development and execution of Intel's strategy, and we know the company will continue to smoothly execute. We appreciate Brian's many contributions to Intel," said Intel Chairman Andy Bryant.Intel expects to deliver a record second quarter, with revenues of approximately $16.9 billion and non-GAAP EPS of approximately $0.99. With accelerating data-centric revenue, the company is off to an excellent start in the first half of the year and expects 2018 to be another record year. Intel will provide full second quarter results and an updated outlook for the full year on the second quarter earnings call on July 26.As Interim CEO, Swan will manage operations in close collaboration with Intel's senior leadership team. Swan has been Intel's CFO since October 2016 and leads the global finance, IT, and corporate strategy organizations. He previously spent nine years as CFO of eBay Inc. Earlier, he was CFO of Electronic Data Systems Corp and TRW Inc. He has also served as CEO of Webvan Group Inc.Swan added, "Intel's transformation to a data-centric company is well under way and our team is producing great products, excellent growth and outstanding financial results. I look forward to Intel continuing to win in the marketplace."The Board has a robust succession planning process in place and has begun a search for a permanent CEO, including both internal and external candidates. The Board will retain a leading executive search firm to assist in the process.
VIDEO8:2008:20Did Intel go too far in forcing out CEO Brian Krzanich?Power Lunch
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a1fb4467e267800303c71200ea53be4b | https://www.cnbc.com/2018/06/21/justin-tucks-advice-for-success-from-nfl-wharton-goldman-sachs.html | This NFL star turned Wharton MBA grad landed a big job at Goldman Sachs — here's his No. 1 key for success | This NFL star turned Wharton MBA grad landed a big job at Goldman Sachs — here's his No. 1 key for success
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9534319413395bdcafe76bd32dc5fde3 | https://www.cnbc.com/2018/06/21/red-hat-earnings-q1-2019.html | Red Hat slides on low guidance | Red Hat slides on low guidance
Jim Whitehurst, CEO of Red HatCNBC
Red Hat stock fell after the company reported better-than-expected earnings for the first quarter of its 2019 fiscal year but lower-than-expected guidance on Thursday.
The stock fell more than 14 percent in Friday trading, in its worst day since 2006.
Here's how the company performed:
Earnings: Excluding certain items, 72 cents per share, vs. 69 cents per share as expected by analysts, according to Thomson Reuters.Revenue: $813.5 million, vs. $807.5 million as expected by analysts, according to Thomson Reuters.
As a whole, the enterprise software company said in a statement that revenue rose 20 percent year over year in the quarter. Red Hat saw a 48 percent increase in the number of deals above $1 million that it closed during the quarter, CEO Jim Whitehurst said on a Thursday conference call with analysts.
Most of Red Hat's revenue comes from subscriptions, and they yield more gross profit than training and services at the company. Subscription revenue in the quarter grew 19.3 percent, coming in at $711.5 million. That's just below the $713 million Thomson Reuters consensus estimate.
In the first quarter of the 2019 fiscal year Red Hat announced an expanded partnership with Juniper, announced it was working with Microsoft to bring the Red Hat OpenShift software to Microsoft's Azure cloud and said Al Zollar of private equity firm Siris Capital Group joined its board.
In terms of guidance, Red Hat said in the fiscal second quarter it's expecting 81 cents in earnings per share, excluding certain items, on $822 million to $830 million in revenue. The consensus estimates among analysts polled by Thomson Reuters were 89 cents in earnings per share, excluding certain items, on $854.9 million in revenue for the period.
For the full fiscal year, Red Hat said it's expecting to post $3.44 to $3.48 in earnings per share, excluding certain items, on $3.38 billion to $3.41 billion in revenue. Analysts were looking for $3.42 in earnings per share, excluding certain items, on $3.45 billion in revenue, according to Thomson Reuters.
Chief financial officer Eric Shander said in the statement that the company changed its full-year revenue guidance by $50 million "solely" because of foreign exchange rates.
During the call, Shander said that the performance of emerging technology products, including OpenShift and Red Hat's OpenStack cloud software, is "somewhat offset by a moderated growth rate" in the traditional middleware for application development. That's happening as companies increasingly start to package up application code into containers, which are an alternative to virtual machines.
But the middleware results were not worse than expected -- executives have been indicating at recent events that that category could see a slowdown.
"It's more of a technology shift than anything," Whitehurst said.
Cloud infrastructure providers have been rolling out services for running programs inside containers. But at the moment, they don't present a challenge for Red Hat.
"I am sure there are people going on and using those services that we don't know about. But we have yet to be in competition with any of those services in a meaningful way," he said.
As of Thursday's close, Red Hat stock is up about 38 percent since the beginning of 2018.
Programming Note: For more on Red Hat, watch "Mad Money" host Jim Cramer's interview with CEO Jim Whitehurst Friday at 6 p.m. Eastern time.
VIDEO4:4904:49Red Hat CEO: Open source software defines usSquawk Box
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2ffe1940c7686d0301fcca8e16d10600 | https://www.cnbc.com/2018/06/21/us-stock-futures-data-trade-oil-and-politics-in-focus.html | Dow drops about 200 points on trade worries, extends losing streak to 8 days | Dow drops about 200 points on trade worries, extends losing streak to 8 days
VIDEO2:2402:24Stocks drift lower for eight straight daySquawk on the Street
Stocks fell on Thursday as fears of an impending trade war between the U.S. and China dragged investor sentiment lower.
The Dow Jones industrial average dropped 196.1 points to 24,461.70, with Intel and Caterpillar as the worst-performing stock in the index. The Dow also suffered an eight-day losing streak, its longest since March 2017. The declined 0.6 percent to 2,749.76 as energy shares fell 1.9 percent.
The Nasdaq composite pulled back 0.9 percent to 7,712.95, erasing earlier gains, led by declines in Amazon and Alphabet. Amazon shares fell 1.1 percent after the Supreme Court ruled that states can force online shoppers to pay sales tax.
Traders work on the floor of the New York Stock Exchange.Brendan McDermid | Reuters
"The focus has been back on tariffs," said Michael Hans, CIO at Clarfeld Financial Advisors. "After a pretty substantial move higher, the major averages have been pretty range bound."
"This is a bit of a consolidation period after a sharp move higher," Hans said.
The major indexes have been under pressure this week. The Nasdaq reached record highs earlier in the week, but is down 0.4 percent week to date. Meanwhile, the Dow and S&P 500 are down 2.5 percent and 1.1 percent, respectively, for the week.
Simmering tensions between the U.S. and China on trade have kept stocks under pressure this week, with the Trump administration threatening to slap tariffs on $200 billion worth in Chinese goods. China, meanwhile, said this thread violates previous negotiations and consensus reached between both countries.
"While I suppose no one wins a trade war, the U.S. is currently 'losing less' in its current dispute with China if one uses the respective stock markets as a guide. While the S&P 500 largely stands in place and resides well above its correction bottom from earlier in the year, the Shanghai Composite has tumbled to a twenty-three month low," said Jeremy Klein, chief market strategist at FBN Securities.
"This divergence should give Washington a bit more leverage in the negotiations and ultimately will lead to a workable solution for both sides," Klein said.
Automakers fell on Thursday, with General Motors, Ford Motor, and Fiat Chrysler all sliding at least 1.5 percent. The move lower followed a profit warning from German car manufacturer Daimler, which said its bottom line could be affected by the U.S.-China trade tensions.
"We view this in the context of a strong global economic backdrop," said Bill Northey, senior vice president at U.S. Bank Wealth Management. "The risks to that have fallen in the policy realm, whether they're inflection points in monetary policy, ... trade or fiscal policy."
"These [risks] have all had their turn in the spotlight and now it's trade's turn," Northey said. "It's hard to discern whether these are negotiation volleys or something that may come to fruition at this point."
Caterpillar and Boeing dropped 2.5 percent and 1.5 percent, respectively. Both companies are susceptible to trade tensions given their large exposure to overseas markets.
Intel shares fell 2.4 percent after CEO Brian Krzanich left the company following an internal investigation into a "consensual relationship with an Intel employee."
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06561baede12a973e72bee3ca0dff997 | https://www.cnbc.com/2018/06/21/what-young-people-expect-from-work.html | What young people expect from work | What young people expect from work
Hero Images | Getty Images
Young people today have weathered the Great Recession, the birth of the smartphone and the aftereffects of globalization.
And their attitudes toward work reflect those experiences, according to new research by the National Society of High School Scholars, an international academic honor association.
Some 16,000 high-achieving college and high school students were interviewed this spring.
There are more than 60 million members of Gen Z, those born between 1996 and 2004, and they will soon be flooding the workforce.
Expectations for their jobs are high, the research found.
More than 75 percent of them anticipate going to graduate school and want to be working in a related and meaningful field within six months of graduation.
They prioritize a healthy work-life balance and want to be fulfilled when they are on the job.
The study warns that employers might find it difficult to realize this generation's idealism in the office.
The 2008 financial crisis along with a crushing load of student debt for many has triggered a financial pragmatism: more than half of respondents plan to start saving for retirement in their 20s, according to the research.
These young people are increasingly preoccupied with social justice and activism, and commonly engaged in movements including #metoo, #blacklivesmatter and #climate change.
More than 80 percent say they plan to be somewhat or very involved in politics in the coming years, and nearly all respondents over the age of 18 say they plan to vote in the next presidential election. What's more, 10 percent say they want to work for the government, and they most desired positions are in the FBI, CIA and Centers for Disease Control.
Here are the top 10 choices of where they'd like to work:1. St. Jude Children's Research Hospital 2. Google3. A local hospital4. Amazon5. Walt Disney Co.6. Apple7. FBI8. Buzzfeed9. Children's Healthcare of Atlanta 10. Health Care Service Corp.
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d4cd59b3c0ea99b2e9bf7c4c5dc26667 | https://www.cnbc.com/2018/06/22/americas-best-states-to-live-in-2018.html | These 10 states are the best places to live in America | These 10 states are the best places to live in America
Everyone dreams of living and planting roots in a place that has it all: affordable housing, great schools, a low cost of living, quality health care, job opportunities and a clean environment. All these factors add up to ensure a top-rated quality of life. Companies seeking to attract the best possible workforce are increasingly realizing how key this is for their future growth plans. It is also why our Quality of Life category plays an important role in our exclusive America's Top States for Business study, worth 300 out of 2,500 possible points.
As we explain in our methodology, we use hard data to measure quality of life. That includes crime rates, tourist visits, health care and inclusiveness, as measured by legal protections written into state laws. By the numbers, some states do much better than others. These 10 states are the best places to live in America.
Provincetown, a small coastal resort, is located at the extreme tip of Cape Cod.Danita Delimont | Gallo Images | Getty Images
Never mind that historians say Plymouth was not the Pilgrims' first choice when they set out for the New World. The point is that they settled in Massachusetts in hopes of a better life. Nearly 400 years later the Bay State still offers great promise. Massachusetts is America's healthiest state. More than 98 percent of Massachusetts residents have health insurance — the highest percentage in the country, according to the U.S. Census Bureau. Boston offers a wealth of historic attractions; Cape Cod is a vacation paradise. And in keeping with the state's heritage of liberty, Massachusetts is an inclusive state, with robust protections against discrimination.
2018 Quality of Life score: 209 out of 300 points (Grade: B)
Strengths: Attractions, health, inclusiveness
Weaknesses: Air quality, crime
2017 Quality of Life rank: No. 10
A group of five cyclists ride past a lake at the crest of a Vail pass near Vail, Colorado.Jack Affleck | Aurora Open | Getty Images
The Centennial State is among America's most inclusive, with strong antidiscrimination protections written into state law. Enjoy the hipness of Denver and Boulder; then take in the majestic beauty of the Colorado Rockies. No wonder more than 70 percent of Coloradans tell Gallup they feel "active and productive." Perhaps surprisingly, air quality in the state leaves something to be desired, and no, it has nothing to do with the legal marijuana smoke.
2018 Quality of Life score: 213 out of 300 points (Grade: B)
Strengths: Inclusiveness, health
Weakness: Air quality
2017 Quality of Life rank: No. 14
Bowman Lake, Glacier National ParkHeath Korvola | DigitalVision | Getty Images
Here in Big Sky Country the air you breathe is pure. High-ozone days are practically nonexistent, according to the American Lung Association. All the better to experience the breathtaking scenery around you. If you are not an outdoors person, you might have some trouble finding things to do, but is that really Montana's fault? The state is also a welcoming place, with strong antidiscrimination provisions written into the law.2018 Quality of Life score: 214 out of 300 points (Grade: B+)
Strengths: Air quality, inclusiveness
Weaknesses: Attractions, crime
2017 Quality of Life rank: No. 8
Katrina Wittkamp | DigitalVision | Getty Images
What is the state bird in the Hawkeye State? Trick question — it is the Eastern Goldfinch. Whatever is flying around, it is enjoying some of the cleanest air in the country, and so can you. Iowa is a welcoming state. It was among the earliest states to embrace inclusiveness; its public-accommodation law banning discrimination dates back to the civil rights movement in the 1960s. It is true you might be lacking in things to do here in the middle of the heartland, but when it comes to your actual heart, you will find great health care here.
2018 Quality of Life score: 214 out of 300 points (Grade: B+)
Strengths: Air quality, inclusiveness
Weakness: Attractions
2017 Quality of Life rank: No. 9
Seattle, the largest city in the Pacific Northwest, has spectacular views of the Cascade mountains to the east and the Olympic mountains to the west.Bill Hinton | Getty Images
Even its nickname, the Evergreen State, conjures up images of strength and sturdiness. Sure enough, Washington is among America's 10 healthiest states, according to the United Health Foundation. Plus, Washington did not become the home of companies like Microsoft, Costco and Amazon by turning away skilled workers. Indeed, this is one of America's most inclusive states, with strong antidiscrimination provisions written into state law.
2018 Quality of Life score: 225 out of 300 points (Grade: B+)
Strengths: Health, air quality, inclusiveness
Weakness: Crime rate
2017 Quality of Life rank: No. 5
Fly-fishing in Swift River, White Mountains, Albany, New Hampshire,Danita Delimont | Gallo Images | Getty Images
This state's famous motto is "Live Free or Die," and the numbers show New Hampshire takes that to heart. Residents here are largely free of the fear of crime, with the third-lowest violent-crime rate in the nation. The future is bright, with America's lowest child-poverty rate. And strong antidiscrimination laws help ensure that everyone shares those freedoms. In this quiet corner of New England, you might sometimes lack things to do, and air quality in the counties closest to the Massachusetts border can be iffy. But all in all, quality of life in the Granite State is solid.
2018 Quality of Life score: 225 out of 300 points (Grade: B+)
Strengths: Health, low crime rate, inclusiveness
Weaknesses: Air quality, attractions
2017 Quality of Life rank: No. 6
Peter Beck | Getty Images
The Peace Garden State derives its official nickname from a real place — the International Peace Garden that straddles the border between North Dakota and the Canadian province of Manitoba. But this whole state is peaceful. Only about 30 percent of the residents surveyed told Gallup they worry about money. That is one of the lowest rates in the country. The state's economy has slowed considerably following the rapid, often uncomfortable growth during the shale oil boom. But North Dakota appears to have used its oil wealth wisely, now settling into a period of relative stability and, yes, peace.
2018 Quality of Life score: 233 out of 300 points (Grade: A-)
Strengths: Air quality, well-being, inclusiveness
Weakness: Attractions
2017 Quality of Life rank: No. 4
A man places his kayak in Lake Calhoun on a warm spring day in , Minneapolis, MinnesotaKirkikis | iStock Editorial | Getty Images
The term often used to describe residents of the North Star State is "Minnesota nice," and the numbers suggest there is something to that. The violent-crime rate is among the lowest of any state. Minnesotans are healthy, with the lowest cardiovascular death rate in the nation. Strong antidiscrimination laws attest to this state's welcoming nature. Yes, Minnesota winters can be brutal, but we don't consider weather in our Top States study, because it is just too subjective. Besides, Minnesotans are amazingly good at adapting to the cold.
2018 Quality of Life score: 252 out of 300 points (Grade: A+)
Strengths: Health, low crime rate, inclusiveness
Weakness: Attractions
2017 Quality of Life rank: No. 3
A woman in her fifties looking at the dramatic landscape at Kalalau Lookout on KauaiJoel Carillet | E+ | Getty Images
Mahalo (thanks), Hawaii, for being America's paradise and the home of a lifestyle we all can aspire to. While Hawaii is normally at the top of our Top States rankings for Quality of Life, the state slips to a rare second-place finish in 2018, and it has nothing to do with the recent volcanic eruptions on the Big Island — they affect only a relatively tiny part of the state. The small stumble is due to a slight uptick in crime, as well as a slightly less-healthy population, according to the Centers for Disease Control and Prevention, including a pronounced rise in the percentage of adults with diabetes. But make no mistake; the Aloha spirit is alive and well here, with clean air, a million things to do and a population that is loving every minute of it.
2018 Quality of Life score: 264 out of 300 points (Grade: A+)
Strengths: Air quality, health, well-being
Weakness: Crime rate
2017 Quality of Life rank: No. 1
Mike Brinson | The Image Bank | Getty Images
The Green Mountain State has America's second-lowest violent-crime rate, a healthy population, a pristine environment and strong antidiscrimination laws to make sure all can enjoy the place. No wonder nearly 77 percent of those surveyed tell Gallup they feel "active and productive" — the highest rate in the nation. Vermont is not exactly a magnet for tourists, suggesting there may sometimes be a shortage of things to do. But Vermonters will tell you that is just part of the idyllic charm of America's Top State to live in for 2018.
2018 Quality of Life score: 268 out of 300 points (Grade: A+)
Strengths: Well-being, low crime, health
Weakness: Attractions
2017 Quality of Life rank: No. 2
WATCH: Why a six-figure income is not enough for many in the U.S.
VIDEO1:1801:18Why a six-figure income is not enough for many in the U.S.Digital Original
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047a4c609aad1520cf23f910c0716733 | https://www.cnbc.com/2018/06/22/bonds-and-fixed-income-economic-data-opec-and-trade-tensions-in-focus.html?__source=fincont&par=fincont | US Treasury yields tick higher as investors try to shake off trade-war fears | US Treasury yields tick higher as investors try to shake off trade-war fears
U.S. government debt yields rose on Friday as investors tried to shake off concerns of a potentially impending trade war.
The yield on the benchmark 10-year Treasury note was higher at 2.906 percent at 2:43 p.m. ET, while the yield on the 30-year Treasury bond rose to 3.048 percent. Bond yields move inversely to prices.
Treasurys
Markets around the globe have been on a roller-coaster ride this week as tensions surrounding a tit-for-tat trade dispute between the U.S. and China continue to escalate.
On Monday, President Donald Trump requested the United States Trade Representative identify $200 billion worth of Chinese goods for additional tariffs at a rate of 10 percent. Those tariffs followed levies announced by both nations last week. Consequently, Beijing stated that it would deliver its own set of counter measures, if required.
Treasury yields are down slightly for the week as investors sought out safety from the increasing trade tensions. German 10-year bund yields, meanwhile, are down more than 5 basis points this week, while the benchmakr Japanese yield is also down slightly.
U.S. crude posted its best daily gain since November 2016 after OPEC members agreed to only a moderate supply increase. The cartel also declined to say exactly how much more its members would pump. Analysts said the deal will likely add between 600,000 and 800,000 barrels per day, which the market can easily absorb.
—CNBC's Tom DiChristopher contributed to this report.
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bdc2051f8ec09c90b23c4e219f570cad | https://www.cnbc.com/2018/06/22/hungry-rat-shreds-more-than-17500-of-cash-inside-atm-in-india.html | Hungry rat shreds more than $17,500 of cash inside ATM in India | Hungry rat shreds more than $17,500 of cash inside ATM in India
This picture taken on June 19, 2018, shows shredded Indian currency notes in 2000 and 500 rupee denominations after being eaten by rats in at ATM in Tinsukia in India's northeastern Assam state.AFP | Getty Images
At least one money-hungry rat broke into an ATM and chewed through nearly $18,000 in cash, authorities in India said.
Officials at the State Bank of India (SBI) thought the machine was merely malfunctioning when patrons told them it was no longer dispensing money.
It was "out of order" since May 20 — then technicians opened it.
Chandan Sharma, manager of the SBI branch in the town of Tinsukia in the northeastern state of Assam, told reporters "they were shocked to find shredded notes and a dead rat."
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Reports estimate the destroyed banknotes at between 1.2 and 1.3 million rupees ($17,662 to $19,000).
Police superintendent Mugdha Jyoti Mahanta said the rat entered the machine through a hole intended for cables.
SBI has more than 50,000 ATMs spread across the country, Reuters reports.
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8d8b61538deb28e1344eae69e2c277df | https://www.cnbc.com/2018/06/22/if-youre-in-your-50s-you-need-to-plan-for-long-term-care-right-now.html?__source=sharebar%7Ctwitter&par=sharebar | If you're in your 50s, you need to plan for long-term care right now | If you're in your 50s, you need to plan for long-term care right now
Peter Cade | Getty Images
More money doesn't always lead to more planning, especially when it comes to unpopular subjects like end-of-life care.
Less than a quarter of high net worth clients currently have plans for long-term care in place, according to a poll of financial advisors by Key Private Bank, the wealth management arm of KeyCorp.
The poll surveyed nearly 150 advisors about their experiences with high net worth clients, those with assets over $1 million.
Advisors said persuading clients to devise plans for long-term care is a challenge. They also said it is difficult to balance saving for long-term care with other financial goals such as saving for college or buying a house.
"Part of it has to be the typical head-in-the-sand approach," said Chad Stevens, senior financial planner at Key Private Bank. "'If I ignore it, it'll go away.'"
Having tough conversations is part of the job of an advisor, and it's important to talk about the financial risks of aging, said Stevens.
VIDEO1:2201:22This is how far $1 million in retirement lasts in U.S. citiesYour Money, Your Future
"Unless you plan now, you can't be sure that your goals will be accomplished," Stevens said.
It is important to make sure that your financial goals align with your lifestyle goals for retirement and end-of-life care.
Most clients said their top choice for long-term care is to stay in their own home and be fully independent, according to the survey. But this wish may be unrealistic; more than half of people over age 65 today will need long-term care at some point, according to AARP, a nonprofit advocacy group for in older Americans.
The second most popular choice is to move into an assisted living facility, followed by staying at home with the help of family members and personal aids.
The projected costs of long-term care are increasing, according to a report by Genworth Financial, an insurance company. In 2017, the median annual cost of a home health aide was $49,192, and the median cost of a private room in a nursing home was $97,455. By 2027, the median annual cost of a home health aide is expected to be $66,110, while the median cost of a private room in a nursing home will be $130,971 per year.
"Many underestimate the costs or think that Medicare or health insurance will cover it," said Jean Accius, vice president of long-term services and supports at the AARP Public Policy Institute, which does public policy research, analysis and development at AARP.
But, that is not always the case, Accius said.
Most people "think they've prepared but when something happens they don't have nearly enough," said Amy Fuchs, an aging life-care expert. She also said that when people sign up for long-term life insurance without thinking through what their needs will be later in life, they might think they are covered when they are not.
Part of it has to be the typical head-in-the-sand approach. 'If I ignore it, it'll go away.'Chad Stevensenior financial planner at Key Private Bank
If clients don't prepare for these costs, they may end up paying out of pocket. This can quickly eat into their savings and negatively affect other financial goals.
"If leaving a financial legacy for your family is important, you need to plan ahead for that," said Debra Drelich, who runs a private practice called New York Elder Care Consultants LLC.
Advisors recommend that clients start planning for long-term care years before they think they will need it. The most robust planning sessions should occur between ages 40 and 50.
"Don't avoid the conversation," said Stevens from Key Private Bank. "Find a trusted advisor that will give you an idea of what plans are out there so you can make an educated decision."
Starting early will give you more time to assess what the options are in your home city and state, because location can greatly limit what services are available.
"Where you live matters — it limits your choices and options," said Accius. He said many resources are available for families who want to begin planning, including the AARP scorecard, which ranks states based on the long-term services they provide.
An early start will also help if you decide to buy long-term care insurance; the younger and healthier you are when you purchase, the lower the cost will be.
Having a plan is the best way to ensure that the late years of your life are as smooth as possible, according to financial advisors and aging life care experts.
If leaving a financial legacy for your family is important, you need to plan ahead for thatDebra Drelichowner of New York Elder Care Consultants
"We plan for weddings and we plan for graduations, and we do it very thoughtfully," said Anne Sansevero, a geriatric nurse practitioner and founder and CEO of HealthSense LLC, an aging life care management consulting company. "But this is our life, our years ahead."
"Just like saving for retirement, you have to save for your health and well-being," she said.
Beyond having a plan, it is important to communicate your wishes for long-term care with your family, financial advisors and aging life care professionals say. Few advisors report that their clients are communicating with their families about their wishes for long-term care, according to the Key survey.
"Sometimes older adults don't let their kids in and provide them with that information, so the kids have no idea," said Debra Feldman, an aging life care professional and founder and president of her own firm, Debra D. Feldman and Associates.
She said that if older adults are not initiating the conversation, children should come to their parents. Waiting too long can lead to scrambling in a time of crisis, she said.
Having your family on the same page will alleviate stress and pressure and allow everyone to enjoy the golden years of your life more.
"Talking through long-term care desires early-on with family members will be crucial to setting expectations, delegating responsibilities and avoiding misunderstandings or surprises," said Stevens.
More from Personal Finance:Older Americans planning to downsize should brace for sticker shock Here's how the Fed rate hike will affect your finances What Social Security's budget woes mean for your retirement benefits
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57c9d1bc0521a7363f82c9b9d7d58349 | https://www.cnbc.com/2018/06/22/judge-denies-paul-manaforts-bid-to-drop-money-laundering-charge.html | Judge denies Trump's former campaign manager Paul Manafort's bid to drop money laundering charge | Judge denies Trump's former campaign manager Paul Manafort's bid to drop money laundering charge
President Trump's former campaign manager Paul Manafort departs U.S. District Court after a motions hearing in Alexandria, Virginia, May 4, 2018.Jonathan Ernst | Reuters
A federal judge on Friday denied former Trump campaign chairman Paul Manafort's bid to dismiss a money laundering charge brought against him by special counsel Robert Mueller in a pending criminal case in Washington, D.C.
U.S. District Court Judge Amy Berman Jackson also denied Manafort's request to dismiss a related allegation that would require him to forfeit properties if he was convicted on that money laundering charge.
In a court filing, Jackson disputed the argument put forward by Manafort's lawyers that Manafort did not violate a law requiring people who act as foreign agents to register as such.
The lawyers said the law does not ban the act of serving as a foreign agent, but merely bans the failure to register as a foreign agent.
Jackson said that argument was "inconsistent with the text of the statute."
This is more bad news for Manafort, who has been on the wrong end of multiple court decisions since being sent to jail last week over charges he tampered with potential trial witnesses.
The court on Thursday denied Manafort's request to keep prosecutors from using evidence seized in May from his Virginia storage unit. Manafort had argued the search was illegal, but the court rejected that reasoning on the grounds that agents were given consent for the search by Manafort's assistant, whose name was on the lease.
Manafort's lawyers did not immediately respond to CNBC's requests for comment.
Manafort has been indicted on a number of charges related to his overseas consulting business and his personal financial dealings. Following an initial indictment last fall, grand juries in Virginia and Washington, D.C., handed up two more, in February and June of this year. Manafort is now awaiting trial dates in both locations.
Manafort's business partner, Richard Gates, who faced many of the same charges Manafort is fighting, pleaded guilty in February to conspiracy against the U.S. and making false statements, and has since been cooperating with the investigation. Gates could face more than four years in prison, based on federal sentencing guidelines.
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130452ccadaa8997a759c779a7798423 | https://www.cnbc.com/2018/06/22/opening-a-new-bank-account-can-land-you-a-cash-bonus.html | Opening a new bank account can land you a cash bonus | Opening a new bank account can land you a cash bonus
Antara Foto | Hafidz Mubarak via Reuters
Looking for some generosity from banks? Forget interest rates, and open your mailbox.
Some banks are offering sweet bonuses for opening new checking and savings accounts these days.
Yes, there are strings attached. And you'll want to examine them. "The smaller the print, the more important the words," said Greg McBride, chief financial analyst at Bankrate.com.
Some of the handouts require hefty minimum deposits and if you don't maintain certain balances, you'll be dinged with fees. You'll get slapped with a $25 fee from HSBC, for example, if your account dips below a certain amount.
And all bonuses, of course, are taxable.
Still, it's worth shopping around to see if merely opening a new account and shifting some of your money around can bestow you with some extra cash. "To score a bonus of a few hundred bucks on a modest deposit is a pretty great return," McBride said.
As interest rates rise, more depositors are looking to keep their money in more profitable places than low-yield checking and saving accounts.
Larger banks are also facing pressure from online banks, which can offer higher returns because they don't have the expenses of maintaining a physical presence.
As a result, McBride said, "the competition for deposits is going to be picking up."
These bonus offers are a tool that can be used to bring in new accounts without having to pass along higher interest rates. Greg McBridechief financial analyst at Bankrate.com
Chase is offering $200 for new customers. You'll have to visit a branch to open the new checking account and deposit at least $25 — and then have a direct deposit made within 60 days.
And if you close the account before six months, they'll claw back your bonus.
If you deposit $1,500 into a new checking account with HSBC by June 29, you can score $200.
Have $100,000 lying around? HSBC will give you $750 for handing it over in a new checking account. You'll have to maintain that balance for at least 90 days, but part of it can go into a savings or investment account.
SunTrust, an Atlanta-headquartered bank, will give you $500 if you open an online checking account with it by July 31. Though to qualify you have to have an address in one of these locations: Alabama, Arkansas, Georgia, Florida, Maryland, Mississippi, North Carolina, South Carolina, Tennessee, Virginia, West Virginia and the District of Columbia.
And within 60 days, you'll need to have deposited $2,000 (and $100 within two weeks). You'll also have to put the account to use, making at least 10 debt purchases within 60 days.
More from Personal Finance:Here's what that Supreme Court sales tax decision means for youSocial Security benefits buy 34 percent less than in 2000, study revealsHere's why some retirees no longer have to file a tax return
Personal finance websites NerdWallet and Bankrate have come up with what they believe are the best deals on the table right now. You should also check out the offers at your local banks.
Don't let the temptation of a one-time bonus cause you to leave too much of your money tied up in a low-yielding account for long though, warned McBride.
"It's easier to dole out a couple of bucks to a new customer than it is to increase payouts across your entire existing portfolio," he said. "You might be better off moving your money to an online account."
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8e664ec09cd467e0c6eb5ecd111dbb7d | https://www.cnbc.com/2018/06/22/us-stock-futures-dow-data-oil-trade-and-politics-on-the-agenda.html | Dow jumps more than 100 points, snaps 8-day losing streak | Dow jumps more than 100 points, snaps 8-day losing streak
VIDEO3:3103:31Credit Suisse's Jonathan Golub: Market's overemphasizing trade war fearsSquawk on the Street
Stocks closed higher on Friday as investors tried to shake off jitters concerning trade tensions between the U.S. and China, with energy shares rising.
The Dow Jones Industrial Average rose 119.19 points to 24,580.89, with Chevron and Exxon Mobil among the best-performing stocks in the index. Friday's close marked the first gain for the 30-stock index in nine sessions, snapping its longest losing streak since March 2017.
The gained 0.2 percent to close at 2,754.88, with energy, materials and telecommunications outperforming. The Nasdaq composite, meanwhile, closed 0.3 percent lower at 7,692.82 as tech shares fell.
Markets around the globe had been on a roller-coaster ride this week as tensions surrounding a tit-for-tat trade dispute between the U.S. and China continued to escalate. The major indexes closed lower for the week, along with European stocks and Asian equity markets.
"As bad as it may seem to some people, this is more of a re-allocation of resources," said JJ Kinahan, chief market strategist at TD Ameritrade. "The Russell 2000 and Nasdaq both hit all-time highs this week."
"I think investors are wise to be cautious and re-evaluate these stocks and how they would be affected if these tariffs go through. ... That being said, market conditions are still pretty good," said Kinahan.
Dow Jones Industrials' Massive One Day Drop Of 4.6 Percent Rattles Markets OverseasSpencer Platt | Getty Images News | Getty Images
On Monday, President Donald Trump requested the United States Trade Representative identify $200 billion worth of Chinese goods for additional tariffs at a rate of 10 percent. Those tariffs followed levies announced by both nations last week. Consequently, Beijing stated that it would deliver its own set of counter measures, if required.
But Bloomberg News reported, citing people familiar with the matter, that some White House officials are trying to restart talks with China in order to avoid a full-blown trade war.
Tom Essaye, founder of The Sevens Report, said in a note the report is bullish, but was "light on specifics." Essaye added: "This pullback/consolidation probably isn't over yet—although medium term, fundamentals for the markets remain supportive."
Trump later threatened on Friday to slap a 20 percent tariff on European cars, saying in a tweet: "Based on the Tariffs and Trade Barriers long placed on the U.S. and it great companies and workers by the European Union, if these Tariffs and Barriers are not soon broken down and removed, we will be placing a 20% Tariff on all of their cars coming into the U.S. Build them here!"
TWEET
Shares of General Motors, Caterpillar and Boeing — all companies that do a lot of business outside of the U.S. — rose by at least 0.3 percent.
"A lot of the stuff that's being talked about on tariffs and trade has already been priced in," said Alex Chalekian, CEO of Lake Avenue Financial. But "depending on what the outcome of that is, it may not be good for the economy as a whole."
U.S. crude posted its best daily gain since November 2016 after OPEC members agreed to only a moderate supply increase. The cartel also declined to say exactly how much more its members would pump. Analysts said the deal will likely add between 600,000 and 800,000 barrels per day, which the market can easily absorb.
Energy stocks Chevron and Exxon Mobil both rose more than 2 percent, while the Energy Select Sector SPDR Fund (XLE) gained 2 percent.
—CNBC's Tom DiChristopher contributed to this report.
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f54544a7644c3240a2f756075a16260e | https://www.cnbc.com/2018/06/22/why-apple-should-hire-your-grandmother.html | Why Apple should hire your grandmother | Why Apple should hire your grandmother
Drazen | Getty Images
The U.S. population is getting older, richer and sicker.
Technology giants Amazon, Alphabet and Apple have created devices perfectly suited to help aging Americans, with voice-powered assistants that get smarter as they learn more about their users.
Yet, outside of a few niche efforts, the companies haven't invested ample resources to tailor their apps and services to an older demographic. Instead, the preference has been to design for a mass consumer market, which typically skews towards millennials.
Experts in the aging space told CNBC that this will begin to shift in the coming years. One way to speed that up would be for the tech industry to hire people who understand the needs of this population. In other words, they should hire older Americans.
"This is a total blind spot for technology companies," said Katy Fike, co-founder of Aging 2.0, a group that supports entrepreneurs in the aging space.
Fike said these companies should particularly consider hiring and interviewing more older women.
"Women tend to live longer and continue to make buying decisions for their families and aging parents," she said. "This is the polar opposite group to the young, male tech worker."
The median age of the American worker is 42, but Silicon Valley is younger. According to research group Payscale, the median age is 29 at Facebook, 40 at Google, 31 at Apple and 30 at Amazon.
The companies have all the tools necessary to accelerate the shift. Voice interfaces like Amazon's Alexa, Apple's Siri, Microsoft's Cortana and Google's Assistant are moving in the direction of letting people converse more naturally with technology to get the answers and information they need.
In order: The Echo, the Echo Plus and the original EchoTodd Haselton | CNBC
Michael Skaff, a veteran tech worker and now the chief operating officer for the Jewish Senior Living Group, said voice assistants have "a democratizing effect."
People who never got comfortable with smartphones may might find it easier to converse with a voice assistant, he said. It's also a promising technology for people with disabilities, especially those with visual impairments or motion disorders who struggle with visual interfaces.
But Skaff said the new products still have a long way to go.
For instance, he said seniors typically prefer that voice assistants greet them immediately after setup, rather than relying on user activation. Another common complaint is that the voice is typically too low for people who are hard of hearing and should be easily adjustable, Skaff said.
An Amazon spokesperson said in an email to CNBC that the Echo is currently used by older people for controlling thermostats, lights and other connected devices that would otherwise require them to go up and down stairs. For people who are hard of hearing, the company recently launched Alexa Captioning, which "gives customers who are deaf or hard of hearing the ability to see Alexa's responses in text on the screen," the company said.
Skaff said there are many more tweaks that tech companies could make with the help of older workers and focus groups.
A prevailing myth is that older people are less comfortable with technology than their younger counterparts.
In fact, the vast majority of people over 65 have a cellphone. And many opt to use laptops and tablets because of the bigger screens and touch-pads, studies show. In response to increasing demand, AARP and other groups that represent seniors are now offering classes to help older Americans get up to speed with the latest technology, including gadgets and apps to help them live independently for longer.
"The 60-year-old now is different than a decade ago," said Joe Angelelli, a Pittsburgh-based gerontologist who has dedicated his career to studying aging. A key shift is in their level of optimism about the potential of technology.
"There's a learning curve, but once it's addressed then seniors can use these products just fine," he said.
Angelelli said other types of devices that could help seniors include sensors in the home that help detect falls and voice assistants that provide check-ins to help people who feel isolated.
That may mean adding a little grey hair to the workforce.
"I like to think of it as diversifying their perspective by design," Angelelli said.
VIDEO2:3102:31This app is helping give sight to the blind, but it doesn't come cheapDigital Original
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629f0be934249f24f7b259a9ce73a979 | https://www.cnbc.com/2018/06/25/att-to-buy-online-ad-firm-appnexus.html | AT&T to buy online ad firm AppNexus | AT&T to buy online ad firm AppNexus
Randall Stephenson, chairman and chief executive officer of AT&T.David Becker | Bloomberg | Getty Images
AT&T said on Monday it would buy online advertisement exchange company AppNexus, less than a month after the No. 2 U.S. wireless carrier closed its $85 billion deal to acquire media company Time Warner.
AT&T did not disclose the AppNexus deal value. However, the Wall Street Journal, citing sources, reported last week that the company was in talks to buy AppNexus for about $1.6 billion.
AppNexus, which runs a digital platform for advertisers to purchase online ads, will become part of AT&T advertising & analytics, as the U.S. telecom company aims to expand its online advertising to better compete with Alphabet's Google and Facebook.
AppNexus extends the advertising and analytics’ footprint globally, expanding into Asia-Pacific, Australia, Europe, and Latin America, AT&T said.
The acquisition also adds to AT&T’s ad-supported premium video content portfolio including Turner Networks, Audience Network, and Otter Media, the company said.
The transaction is expected to close during the third quarter of 2018.
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7b7195a554eed65bbb620ca14c558b2b | https://www.cnbc.com/2018/06/25/jimmy-fallon-is-not-alone-rage-giving-fuels-record-fundraising.html | Jimmy Fallon is not alone: 'Rage giving' fuels record fundraising for immigrant children | Jimmy Fallon is not alone: 'Rage giving' fuels record fundraising for immigrant children
Donald Trump during an interview with host Jimmy Fallon on September 11, 2015 -- NBC | NBCUniversal | Getty Images
Dahlia Adler Fisch says she has donated hundreds of dollars in the past week to organizations all over the country helping children forcibly separated from their parents at the U.S.-Mexico border.
These small acts of armchair resistance are a release valve for pent-up feelings of helplessness, despair and fury with the Trump administration, Fisch says. Tapping a button to donate to a nonprofit on the front lines makes her feel, at least for a moment, more involved and more in control.
"I find sadness debilitating. It doesn't help anyone. But giving really does. It takes away that powerlessness," says Fisch, a 34-year-old author of young adult books from New York. “All I know is that every time I get mad, I do it again.”
This “rage giving” is fueling a viral Facebook campaign, which by Sunday had topped $20 million in donations for immigrant families swept up in the border crisis. "The Tonight Show" host Jimmy Fallon joined in late Sunday, responding to a critical tweet from President Trump by saying he'd make a donation in Trump's name to Texas-based immigration charity RAICES.
Read more from USA Today:
Facebook fundraiser to reunite immigrant families tops $10 million with donations from around the world
Trump to sign executive order to end immigrant family separations: What we know now
Immigration detention crisis: On social media, people ask #WhereAreTheGirls
This new form of political protest took off in the tense aftermath of Trump’s election. Progressives began throwing money at causes such as women’s rights, climate change and immigration advocacy to express their bottled-up frustration with the administration’s policies.
Trump’s zero-tolerance immigration policy that triggered an international outcry is the latest iteration of rage giving, says Elizabeth Dale, assistant professor of nonprofit leadership at Seattle University.
Individuals who feel like there is nothing else they can do research, donate and promote organizations to send a political message.
"Donating is more than just being outraged on social media, or among friends and family. It is tangible, it’s something that people can do, often without much personal cost to themselves," Dale said. "There is a psychological effect to charitable giving – the idea that I can do something, even if it’s contributing a $50 or $100 gift – that can alleviate feelings of guilt, or demonstrate a person’s morals and values. By giving on Facebook or sharing that you made a gift on social media, we demonstrate our values to others."
The surge in donations has contributed to record charitable giving, with a sharp rise in individual donors, particularly Democrats, expressing their frustration not at the polls, protest marches or by calling representatives, but by reaching for their wallets.
It helps that it never has been easier to “rage give.” Facebook and other online services make it simple to make a donation in a couple of minutes.
Rage giving has begun to transform the nonprofit landscape. Traditionally, most donors give in response to fundraising requests. Now they are pouring out their generosity to organizations outside their home cities and states.
"Ever since Trump's election, we've seen a wave of activism that consistently breaks records of activists engaged and money raised,” says Brian Young, executive director of Action Network, which provides digital tools to nonprofits. "But what has happened over the last few days has been more than anything we've seen so far."
In the largest single fundraiser ever on Facebook, a Silicon Valley couple has raised millions of dollars from tens of thousands of people to reunite immigrant parents with their children.
Last month, the Trump administration enacted its "zero tolerance” policy, which charges nearly everyone crossing the border without authorization with a federal misdemeanor.
Facing a growing backlash, President Donald Trump signed an executive order Wednesday to keep migrant families together at the border. By then, more than 220,000 people pushed the total over $12 million, surpassing all expectations for the Facebook fundraiser set up by Charlotte and Dave Willner.
Their efforts to aid families split up at the border struck a raw nerve with the American public, leading to a viral movement on Facebook to fund a nonprofit in Texas. In the span of 13 hours alone, people gave $4 million, with donations streaming in from all over the country and the world. And the fundraising pace shows no signs of slowing down as public outrage over the border crisis grows.
"My son is safe in my arms. I don't worry about him being taken from me," one donor wrote. "I donate with a hope and prayer that I never have to."
"Sending whatever resources I can and prayers from Japan," wrote another. "Our hearts go out to you, America, during this dark and confusing time."
Fisch traces her rage giving to election night in November 2016. She says she was a couple months pregnant at the time.
"Many of us who gave birth for the first time after the election went through months of guilt and disbelief at what we brought our children into," she said. "We thought we were bringing our children into the age of the first female president."
Frustration over the Trump administration's response to hurricane-ravaged Puerto Rico and United States Virgin Islands plunged her into rage giving. She and other children's authors banded together, raising $200,000 for Puerto Rico and $100,000 for the Virgin Islands. She also supports classroom projects through DonorsChoose.org.
The images, sounds and descriptions of traumatized children separated from their parents sparked her latest rage-giving binge.
"All of these stories are so rage-inducing," Fisch said. "Every time I click the 'give' button, it makes me feel like I'm doing something to help. There is also an element of selfishness. It's doing something for yourself before you explode."
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56eb1336f82898e2c73307b8e6b27ccd | https://www.cnbc.com/2018/06/25/ken-griffin-delivering-alpha.html | Ken Griffin | Ken Griffin
Ken Griffin
In 1987 Ken Griffin, a then-19-year-old sophomore at Harvard University, started trading from his dorm room with a fax machine, a personal computer and a telephone. From this modest but ambitious beginning, Griffin caught the attention of hedge fund pioneer and co-founder of Chicago-based Glenwood Partners, Frank Meyer, earning him the opportunity to establish what would one day become Citadel.
Griffin founded Citadel in 1990 and has since served as the firm’s chief executive officer. Today Citadel is recognized as one of the most respected and successful investment firms in the world, managing more than $30 billion in capital for its partners.
He is a passionate philanthropist, supporting educational and cultural causes that drive community engagement and improvement. He has given more than $600 million, personally and through the Citadel Foundation, to numerous organizations, including The University of Chicago, the Ann & Robert Lurie Children’s Hospital, The Field Museum of Natural History, the Art Institute of Chicago, the Museum of Modern Art and the American Museum of Natural History.
As a leader within the Chicago community, Griffin actively participates in civic and cultural institutions, serving on the board of directors of the Chicago Public Education Fund, and the board of trustees for the Art Institute of Chicago, the Museum of Contemporary Art Chicago, the Whitney Museum of American Art and The University of Chicago. He is also a member of numerous business organizations, including G100, the Civic Committee of the Commercial Club of Chicago and the Economic Club of Chicago.
Griffin earned his bachelor’s degree from Harvard University and is a proud supporter of his alma mater. In 2014 he donated $150 million to support need-based financial aid at Harvard, the largest gift in school history at the time.
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35ebd7e3299aedbaaed1d72f7e781fe3 | https://www.cnbc.com/2018/06/25/megamillions-jackpot-above-200-million-beware-going-in-on-tickets-wi.html | Mega Millions jackpot hits $212 million. Beware going in on tickets with co-workers | Mega Millions jackpot hits $212 million. Beware going in on tickets with co-workers
With the Mega Millions jackpot at more than $200 million for Tuesday night's drawing, it might be tempting to go in on tickets with co-workers.
Proceed with caution.
"If you go in on an office pool, make sure it's done right," said Jason Kurland, a partner at Rivkin Radler, a law firm in Uniondale, New York.
"People don't treat it like a transaction [potentially] worth hundreds of millions of dollars, but that's essentially what it is," said Kurland, who specializes in helping lottery winners.
Photo by Kevork Djansezian / Getty Images staff
With no winning tickets hitting all the Mega Millions numbers on Friday, the estimated jackpot now stands at $212 million, or $126 million if the winner chooses a lump-sum payment instead of spreading it out over 30 years.
While not among the top 10 biggest prizes in the game's history, it would nevertheless be a huge amount of money to handle.
For starters, it would be much harder to follow the expert advice to remain anonymous in states where winners are permitted to shield their identity from the public. If you win in a pool, there are already potential leakers from the get-go.
Largest Mega Millions jackpots
Rank Amount Date Number of winning tickets Where tickets were bought 1$656 million3/30/20123Kansas, Illinois, Maryland2$648 million12/17/20132California, Georgia3$536 million7/8/20161Indiana4$533 million3/30/20181New Jersey5$522 million 7/24/20181California6$451 million1/5/20181Florida7$414 million3/18/20142Forida, Maryland8$393 million8/11/20171Illinois9$390 million3/6/20072Georgia, New Jersey10$380 million1/4/20112Idaho, Washington
Past lottery winners have discovered the hard way that the more people who know they've won, the greater the chance they'll be approached for things like personal loans, handouts, investment opportunities and charitable donations.
Another challenge is figuring out exactly how to split the winnings. There are tax considerations, and some states have limits on how many checks they will cut. In that case, winners would end up turning to a more complex solution, such as forming a trust.
"Say there are 15 people who win a lot of money. Getting 15 people to agree on anything is difficult," Kurland said. "And then if they each get their own attorney, you've got 15 attorneys who are supposed to agree."
If you've already gone in on tickets or want to despite the potential pitfalls, at least make sure the pool's coordinator documents the whole affair.
VIDEO1:1801:18This is what you do if you win the lotteryMake It
"The person should give a copy of the tickets and a list of [participants] to everyone who's in the pool," Kurland said.
This protects the people in the pool and the organizer.
"That way, if the person who's in charge also bought a ticket on their own and it ends up winning, there's a way to prove it wasn't part of the pool," Kurland said.
More from Personal Finance:Are you cheap or just frugal? Here's how to tellWhat most people are getting wrong about their credit score is costing them big time
The simpler thing is to just buy tickets on your own.
The odds of nabbing the Mega Millions jackpot are about 1 in 259 million for a single ticket. Buying more than one — whether through an office pool or on your own — doesn't increase your chances by much.
"You're still talking about huge odds," Kurland said.
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8037966f66785ea66773c8756b160b8d | https://www.cnbc.com/2018/06/25/paul-manafort-appeals-judges-decision-to-revoke-his-bail.html?__source=sharebar%7Ctwitter&par=sharebar | Lawyers for Trump ex-campaign boss Paul Manafort appeal judge's order sending him to jail | Lawyers for Trump ex-campaign boss Paul Manafort appeal judge's order sending him to jail
Former Trump campaign manager Paul Manafort arrives for arraignment on a third superseding indictment against him by Special Counsel Robert Mueller on charges of witness tampering, at U.S. District Court in Washington, June 15, 2018.Jonathan Ernst | Reuters
Lawyers for former Trump campaign chairman Paul Manafort appealed on Monday a federal judge's order revoking his bail and sending him to jail pending trial after he was indicted on witness tampering charges.
Manafort's lawyers are also appealing U.S. District Judge Amy Berman Jackson's decision to deny their request to delay the June 15 order.
In addition, Manafort's lawyers filed an appeal in a separate case by Manafort against special counsel Robert Mueller, Deputy Attorney General Rod Rosenstein and the Department of Justice that was dismissed in late April.
The motions to appeal came 10 days after Manafort, 69, was ordered jailed pending his Sept. 17 trial in Washington. Manafort faces charges of lying to investigators, acting as an unregistered foreign agent and money laundering. He has pleaded not guilty to all charges.
Federal prosecutors filed another indictment against Manafort in early June accusing him of obstructing justice by making clandestine contacts to people who had worked with him in his efforts to lobby on behalf of a Ukrainian political party years before he became campaign chairman for then-candidate Donald Trump.
The prosecutors allege that one of those contacts told investigators he understood Manafort's outreach as an attempt to "suborn perjury."
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6caf091db239c65c4ba3937d44f19ba4 | https://www.cnbc.com/2018/06/25/trump-slams-virginia-restaurant-for-being-filthy-but-inspectors-fou.html | Trump slams Red Hen for being 'filthy.' Inspectors found no violations but Mar-a-Lago was cited 78 times in three years | Trump slams Red Hen for being 'filthy.' Inspectors found no violations but Mar-a-Lago was cited 78 times in three years
Passersby gather to take photos in front of the Red Hen Restaurant, Saturday, June 23, 2018, in Lexington, Va.Daniel Lin | AP
President Donald Trump lashed out Monday at a Virginia restaurant that refused to serve his press secretary, saying it is "filthy" and "badly needs a paint job."
But the president's claims about the Red Hen's cleanliness seem to be unfounded, according to a review of state health inspection records.
The owner of the Lexington restaurant asked White House Press Secretary Sarah Huckabee Sanders to leave on Friday night after employees said they were uncomfortable serving a spokesperson for the Trump administration.
"The Red Hen Restaurant should focus more on cleaning its filthy canopies, doors and windows (badly needs a paint job) rather than refusing to serve a fine person like Sarah Huckabee Sanders," Trump tweeted on Monday. "I always had a rule, if a restaurant is dirty on the outside, it is dirty on the inside!"
It was not immediately not clear how the president evaluated the restaurant's "canopies, doors and windows," and the White House did not respond CNBC's inquiry about the matter.
In February, the Virginia Department of Health found no violations at the property. Inspectors gave the restaurant, which claims to be Lexington's first farm-to-table eatery, its highest possible rating.
The Red Hen did not immediately respond to a request for comment.
Critics were quick to point out that some of the president's own establishments have performed poorly in inspections.
For instance, The Associated Press found the president's Mar-a-Lago resort in Florida was cited 78 times over three years for health code violations including cooking staff not washing their hands and the “accumulation of black/green mold-like substance” on an ice machine.
A spokesperson for The Trump Organization did not respond to a request for comment.
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e54707b92433fce7fc81606ce5692bfe | https://www.cnbc.com/2018/06/25/why-your-first-job-out-of-college-really-really-matters.html | Why your first job out of college really, really matters | Why your first job out of college really, really matters
Getty Images
Many college graduates are eager to find work — any work. But that first job, however arbitrary, can impact the rest of their career.
Recent grads who end up in jobs that didn't require a college degree are five times as likely to still be in such a position five years later, compared with those who put their diploma to use right away.
It can be hard to break out of that path, since employers may typecast applicants by their most recent experience.
Ten years later, three-quarters of graduates who took jobs early on that didn't demand a degree will be in the same spot. And these graduates earn around $10,000 a year less than their counterparts who started early in jobs that required a college degree.
"You have to be strategic about your first job," said Michelle Weise, chief innovation officer at the Strada Institute for the Future of Work, a nonprofit that focuses on the relationship between education and work.
These findings come out of a new report by the Strada Institute for the Future of Work and Burning Glass Technologies, a career market analytics company. The researchers analyzed more than 4 million resumes.
"Young adults underemployed after graduation can't consider it just a phase," the report reads. "A few months can easily turn into a few years and eventually an entire career."
More than 40 percent of college graduates take positions out of school that don't require a degree, the study found.
And more than 1 in 5 college grads still aren't working a degree-demanding job a decade after leaving school.
These figures threaten to undermine what has long been college's main mission: to help people get ahead in their lives, said Matt Sigelman, CEO of Burning Glass Technologies. "Does college continue to live up to the promise it had in past generations?" he said.
Employers' expectations have also gone up, he said, making it harder for young people to quickly find a job that aligns with their studies. Even for entry level positions, demands can be tough to meet.
"Employers are surprisingly specific of the work-ready skills you’re supposed to bring in," he said. "That makes it challenging for students who haven’t designed their path through college to include picking up those kind of skills.”
Many college students, for their part, don't start preparing for work soon enough, said Weise at the Strada Institute for the Future of Work.
She said 40 percent of undergraduate students never visit their college's career services department. (Students should make regular visits to this office, she said.)
People need to start thinking about their first job well before they graduate, Burning Glass Technologies' Sigelman said.
He said students should enroll in courses, and seek out internships and jobs while they're in college that will show employers they're prepared for the job. "That can make a world of a difference," he said.
But don't assume you need to major in a more "practical" field.
"Majors matter but they aren't destiny," Sigelman said.
For example, his research showed that English majors are actually less likely to take a job that doesn't require a degree out of college than are business majors.
More important than what you study, he said, is that you're keeping in mind the skills you need to land a job in that field one day.
And don't assume while you, say, wait tables that your career will just naturally "get figured out," said Sigelman. "Once you’re underemployed, it’s increasingly difficult to escape," he said.
More from Personal Finance:
CORRECTION: This story has been updated to correct the spelling of Michelle Weise's name.
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ebc0ed8dc77be6889d965219bdaad22a | https://www.cnbc.com/2018/06/26/canada-braces-for-diverted-steel-imports.html | Canada plans to impose steel tariffs and quotas on China, others in response to Trump trade actions: Report | Canada plans to impose steel tariffs and quotas on China, others in response to Trump trade actions: Report
A Chinese worker cutting steel in Qingdao in China's eastern Shandong province.AFP | Getty Images
The Canadian government is taking measures to thwart a potential flood of steel imports as a result of global exporters trying to avoid U.S. tariffs, according to a Bloomberg News story.
Citing "people familiar with the plan," the story says those proposed measures include quotas and tariffs aimed at certain countries, including China. The potential move follows in the footsteps of the European Union's decision to ward off dumping of steel that would have been sent to the U.S. Although not finalized, the announcement could come as early as next week, Bloomberg said.
This is just part of the fallout from U.S. President Donald Trump's trade war. The U.S. has levied tariffs of 25 percent on steel and 10 percent on aluminum on Canada, the EU and other nations. As a result, some of the U.S.' biggest trading partners have retaliated with counter-tariffs.
Canadian counter-tariffs on U.S. steel, aluminum and other products will go into effect on July 1.
The U.S. accounted for 55 percent of Canada's steel imports in 2017, with the remainder coming from China, South Korea, Brazil and Turkey.
U.S. tariffs could open the door to cheaper steel imports from abroad, said Sean Donnelly, chief executive officer of ArcelorMittal Dofasco, the Canadian unit of ArcelorMittal of Luxembourg. With steel being diverted to Canada, Canadian steel groups have been pressing for safeguard measures.
“We must be able to operate in an un-distorted, market-based competitive environment,” Donnelly said. “Canada’s response to past and future threats from unfairly traded and diverted offshore imports is critical.”
Additional tariffs could negatively affect the Canadian housing market. Only a handful of companies produce steel in the country, making construction companies and steel fabricators heavily reliant on imports.
Canada's Office of the Minister of Finance had no comment.
The weakened and shares in Stelco Holdings, a prominent steel company based in Ontario, rose on the news.
Read the full Bloomberg story here
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55f71d53f32579eaed1761dfcb4c337b | https://www.cnbc.com/2018/06/26/how-remote-control-centers-are-changing-the-way-mining-operations-are-.html | How remote control centers are changing the way mining operations are carried out | How remote control centers are changing the way mining operations are carried out
VIDEO4:3804:38Remote control centers are changing the way mining operations are carried outIOT: Powering the digital economy
Australian mining giant BHP is using innovative technology to operate mines remotely.
Its Perth-based Integrated Remote Operations Centre, or IROC, gives the business a real-time picture of its iron ore network in Western Australia, and makes use of a range of tech. Marie Bourgoin is general manager for Integrated Production and Remote Operations (IPRO) at BHP. She told CNBC’s Didi Akinyelure that the IROC was “at the frontier of digital operations and innovation.” Looking at the bigger picture, did Bourgoin think that the industry as a whole had been slow to adapt to innovation? “I’m not sure — I think there is a lot happening and a lot that we aren’t seeing because a lot is happening in remote locations.” She described the Perth facility as state of the art, enabling the business to control equipment from “pit to port.” This included everything from drill control to the dispatch of trucks in a pit, train control and port control. “How it all comes together is really through the technology that supports this asset, and this is the whole point, I guess, of the digital operations,” Bourgoin added. “Our critical assets are actually systems — production systems, downtime management systems, telecommunication systems, networks, CCTV cameras, so that we can keep eyes on the ground at any point in time.” These systems were integrated and highly reliable, she said, allowing BHP to keep its operations going 24/7, some 1,500 to 2,000 kilometers away from where physical assets were located. Joined-up thinking is crucial to the smooth running of things. “Despite being a digital operation, working in very close collaboration with our site stakeholders and the relationship with sites is at the forefront of everything we do,” Bourgoin said, adding that relevant parties had to stay connected when they made decisions.
“We have to make sure that our controllers here understand the impact of the decisions they make here on the ground over there, and conversely, we need to be aware of anything happening over there.”
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7b2a1add85a2badaa87ed0b26a2a071c | https://www.cnbc.com/2018/06/26/thisamazon-job-post-reveals-the-e-commerce-giants-ambitions-in-china.html | This Amazon job post may reveal the e-commerce giant's next move in China | This Amazon job post may reveal the e-commerce giant's next move in China
Jeff BezosGetty Images
Amazon could finally be getting around to launching its small business lending program in China, putting it on a collision course with home-grown juggernaut Alibaba. The company is seeking a manager “with end-to-end responsibility for scaling operations and partner programs in a new strategic initiative in China” for its lending arm, according to a June 19 job listing. China is by far the biggest e-commerce market in the world, making it a battleground for companies racing to establish global empires. Chinese consumers spent $1.1 trillion on online retail channels last year, 32 percent more than 2016 and more than double the U.S. figure. Seattle-based Amazon has found the Chinese market hard to crack, mostly because of competition from online retailers Alibaba and JD.com. Despite more than a decade there, Amazon has less than 2 percent of the market, according to iResearch. So the lending program could be a way for Amazon to turn the tide by encouraging merchants to use its platform. Amazon began extending credit to small business owners in 2011, using sales data to trigger invitations for financing that could fuel growth. The company’s race to lock up sellers in China gained urgency last week after Google said it plans to invest $550 million in JD.com as part of a strategic partnership. While Amazon announced plans to expand the lending program to China and seven other countries back in 2015, a press release two years later said it had only issued loans in the U.S., Japan and the U.K. By then, Amazon had made more than $3 billion in short-term loans ranging in size from $1,000 to $750,000. Amazon has a voracious appetite for talent in China. It has 476 listings for jobs there, from sales to software and hardware development. Applicants for the new lending position should be fluent in English and Mandarin and have a background in consumer credit or small business finance.
An Amazon spokesman didn’t immediately respond to a request for comment.
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83e3cc8ceb009f7127c52556f4b981eb | https://www.cnbc.com/2018/06/26/turkish-president-erdogan-isnt-untouchable-despite-turkish-election-w.html | Turkey’s Erdogan might not be as untouchable as we all think | Turkey’s Erdogan might not be as untouchable as we all think
A banner of Turkish President Tayyip Erdogan.Chris McGrath | Getty Images
Recep Tayyip Erdogan won another term in office and gained far-reaching powers, but analysts believe the election has left the Turkish president looking more vulnerable than before.
Erdogan won 52.5 percent of the vote in the snap election that took place on Sunday, with the main opposition candidate Muharrem Ince getting 30.6 percent, state news agency Anadolu said.
Turnout was a high 88.1 percent and the result shows that Erdogan’s “brand” of populism, nationalism and conservative religious values remain robust. Yet the election showed a strengthening of the opposition, particularly for Ince. While Erdogan’s popularity endured, he failed to gain an outright majority and analysts said he faces challenges on the economic and societal front.
“I guess we all forgot the number one rule of Turkish politics — never bet against Erdogan. And despite a campaign which was heavily weighted in favor of the ruling party (with the state media giving him 90 percent plus of media coverage), he took a chance calling the election early, campaigned with vigor and won,” Timothy Ash, senior emerging markets sovereign strategist at BlueBay Asset Management, said in a note Monday.
“I guess the fact that he won, despite the best campaign fought by the opposition in 16 years, just underlines the dominance of the AKP (The Justice and Development Party) and Erdogan's personal brand,” he added.
Despite improvements to Turkey’s economy and living standards, Erdogan has been seen by his critics as increasingly authoritarian, having increased his power and influence in Turkey since he became prime minister in 2003, and president from 2014. Notably, he has challenged Turkey’s secular roots, cracked down on political opponents and the free media. An unsuccessful coup in 2016 saw hundreds of thousands of officials, academics and opponents imprisoned and a state of emergency declared.
Last year, Turkish citizens narrowly approved the changing of the country’s constitution, granting extensive powers to the president that he said would prevent instability.
The changes, ushered in with Sunday’s vote, mean there will no longer be a prime minister and Erdogan will become the “executive president,” both head of state and head of the government. He can now appoint ministers, officials and judges at will, can dissolve parliament, intervene in the country’s judicial system and impose a state of emergency. His opponents say the changes will create “one-man rule” in Turkey but Erdogan’s opponents, Ince especially, will take comfort that voter support for them was robust.
VIDEO4:2504:25Strategist: Erdogan victory caught most people by surpriseStreet Signs Europe
A parliamentary election held at the same time as the presidential election Sunday could actually herald less power for Erdogan, however, as his AKP party lost its majority. Gaining 295 seats in the 600-seat parliament, it will now be reliant on the support of its junior coalition partner, the Nationalist Movement Party, which gained 49 seats and gave the alliance an overall majority in Turkey’s Grand National Assembly.
“The AKP lacks a majority — and is now dependent on the largely secular/nationalist MHP. Its leader Devlet Bahceli will exert disproportionate influence, and Erdogan will have to tread carefully,” Ash noted.
The main opposition Republican People’s Party (CHP), allied with Ince, won 146 seats. Although it won far less seats than the AKP, analysts are noting that many voters have rallied around Ince, giving the opposition a boost. The pro-Kurdish HDP party also took 11.6 percent of the vote, passing the 10 percent threshold to enter Parliament. The result has been seen as impressive given the party’s presidential candidate Selahattin Demirtas had to campaign from prison.
Erdogan’s entrenched opposition toward the Kurdish community (the largest ethnic minority in Turkey), who want greater political and cultural rights, shows no signs of changing.
Similarly, analysts say that economic problems faced by the country — the lira’s depreciation, the budget deficit, inflation at 12 percent and fears that Erdogan (who wants the central bank to lower interest rates to promote growth) could threaten the bank’s independence – could be put on the back burner as a less-confident Erdogan remains in office.
George Dyson, a Turkey analyst at consultancy Control Risks, said Monday that the outlook for Erdogan was not as rosy as it seemed from the election result.
"Further political instability is expected in Turkey despite a convincing victory for the incumbent Erdogan amid growing economic problems and widening societal tensions,” Dyson said in a note Monday.
VIDEO4:5904:59Turkey's Erdogan claims victory in presidential electionCapital Connection
“Erdogan was rattled by the opposition campaign and will work hard ahead of local elections in March 2019 to maintain support,” he added, a sentiment echoed by Ian Bremmer, the head of political analysis firm Eurasia Group.
Bremmer said the result was bad news for any resolution to the Kurdish problem and was also a challenge for any constructive turn in relations with the West.
“Erdogan also won’t feel confident enough to push through necessary structural reforms or go through fiscal consolidation ahead of March 2019 local elections, particularly at a time when the country will be experiencing an economic slow-down. Not much upside for this one, I'm afraid,” Bremmer said in a note Monday.
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78437d7a8dc21215fc9a96a524fba13b | https://www.cnbc.com/2018/06/27/automakers-to-trump-tariffs-will-drive-up-auto-prices-and-cost-jobs.html | Automakers to Trump: Tariffs will drive up auto prices and cost thousands of jobs | Automakers to Trump: Tariffs will drive up auto prices and cost thousands of jobs
President Donald Trump talks with auto industry leaders, including General Motors CEO Mary Barra (L) and United Auto Workers (UAW) President Dennis Williams (R) at the American Center for Mobility in Ypsilanti Township, Michigan, U.S. March 15, 2017.Jonathan Ernst | Reuters
With President Donald Trump threatening hefty tariffs on cars and SUVs imported into the U.S., automakers are warning him it would cost consumers thousands of dollars and ultimately lead to job cuts.
The Alliance of Automobile Manufacturers, a trade group representing domestic and foreign automakers with plants in the U.S., predicts the average price of a new vehicle will increase $5,800 if the president imposes a 25 percent tariff on imported models. That would amount to a $45 billion tax on the auto industry, according to the trade group.
“Tariffs will lead to increased producer costs, increased producer costs will lead to increased vehicle costs, increased vehicle costs will lead to fewer sales and less tax receipts, fewer sales will lead to fewer jobs, and those fewer jobs will significantly impact many communities and families across the country,” the alliance warned in a letter Wednesday to the Commerce Department.
The department is conducting an investigation into whether auto-related imports are a threat to national security. If they are deemed a threat, it would give Trump the justification he needs to impose tariffs on imported autos.
Last week, the president threatened to tax European-made autos if the European Union does not drop tariffs it has imposed on certain U.S.-made products, including bourbon and motorcycles, in retaliation for Trump's levies.
Trump tweeted, “Based on the Tariffs and Trade Barriers long placed on the U.S. and it great companies and workers by the European Union, if these Tariffs and Barriers are not soon broken down and removed, we will be placing a 20 percent tariff on all of their cars coming into the U.S. Build them here!”
Donald Trump tweet
Auto executives have been lobbying the Trump administration for months to avoid starting a trade war. Despite meetings at the White House with Trump and his top advisors, leaders in the industry are struggling to move the Trump administration away from imposing duties.
In their letter to the Commerce Department, automakers warn, “A 25-percent tariff on imported vehicles and vehicle components would result in a 1.5 percent decline in production and cause 195,000 U.S. workers to lose jobs over a 1- to 3-year period or possibly longer, according to the Peterson Institute for International Economics. Their analysis estimates that if other countries retaliate with tariffs, then American job losses would likely increase to 624,000.”
In addition to job cuts and lower sales, automakers believe a trade war will ultimately weigh on profits and hurt the industry’s ability to develop autonomous and electric vehicles.
The Commerce Department's Investigation into auto imports, which began in late May, is expected to take several months.
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89101818608ca92a3a53a893cb25fdfb | https://www.cnbc.com/2018/06/27/elon-musk-says-model-3-delivery-skeptics-are-in-for-a-rude-awakening.html | Elon Musk: Doubters of Model 3 delivery number are in for a 'rude awakening' | Elon Musk: Doubters of Model 3 delivery number are in for a 'rude awakening'
Elon Musk, CEO of TeslaJustin Chin | Bloomberg | Getty Images
says Tesla will surprise skeptics who think the company's Model 3 second-quarter delivery numbers will disappoint, according to an email the Tesla CEO sent to employees.
In the email, Musk linked to a CNBC report of a note from Goldman Sachs analyst David Tamberrino. Tamberrino said he thinks the company will report that it delivered 22,000 Model 3 midsize electric sedans in the second quarter. That is higher than Tamberrino's previous estimate of 19,000 but still below the 28,000 expected by a consensus estimate.
"“They are in for a rude awakening :)” Musk wrote in Tuesday's email, a copy of which was obtained by CNBC. The only other text in the email is a link to the CNBC story.
Tesla declined to comment.
In its first quarter letter to shareholders, Tesla said more than 450,000 people had reserved the Model 3, but the company has long struggled to meet production targets many industry watchers have said are unrealistic. At the company's annual shareholder meeting in early June, Musk said it was "quite likely" Tesla would hit its goal of making 5,000 Model 3 sedans in a single week.
Tesla had originally aimed to make 5,000 Model 3 cars per week at the end of 2017.
In his note, Tamberrino also questioned how sustainable such a production rate would be, given Tesla's history of Model 3 manufacturing volatility. To meet its goal, Tesla has added production lines at its factory in Fremont, California, including placing some equipment under a temporary tent structure. Musk also recently sent out emails to employees saying "radical improvements" are needed to meet factory targets.
However, some investors won't be that disappointed if Tesla does miss the target, for various reasons.
Baron Opportunity Fund portfolio manager Michael Lippert said Wednesday on CNBC's "Squawk Box" that his firm's outlook depends more on Tesla reaching the 5,000 per week production rate by the end of the year. He said the firm is paying more attention to the margins Tesla achieves on cars it sells rather than how many it makes.
Lippert recently toured Tesla's Fremont plant and its Gigafactory outside Sparks, Nevada, where the company makes batteries and Model 3 powertrain components. He said Tesla told him where the bottlenecks in production were in joining the vehicle's chassis with the bottom of its body.
Since touring the factory, Baron Opportunity Fund has bought more shares in Tesla, Lippert said.
Loup Ventures' Gene Munster expects the company to produce 4,300 to 4,900 Model 3s in the final week of the quarter. That would still constitute a miss on Tesla's target, but Munster does not think that's enough to change his thesis.
"I don’t think that changes the story here, which is a massive improvement, basically a doubling of production quarter-on-quarter," Munster said on CNBC's "Squawk Alley."
Tesla shares were recently flat in trading Wednesday just under $345. While shares are down about 4 percent over the past year, the stock is up about 11 percent since January. During the past year, the stock has traded as high as $389.61 in September, and as low as $244.59 in April.
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3a9b268758e74f4d415f3ff40982ac06 | https://www.cnbc.com/2018/06/27/final-reading-on-first-quarter-2018-gdp.html | US first-quarter growth slowed more than estimated, weighed down by the weakest consumer spending in nearly 5 years | US first-quarter growth slowed more than estimated, weighed down by the weakest consumer spending in nearly 5 years
VIDEO2:4502:45We're expecting 1.5% GDP in 2019, says economist. Here's whySquawk Box
The U.S. economy slowed more than previously estimated in the first quarter amid the weakest performance in consumer spending in nearly five years, but growth appears to have since regained momentum on the back of a robust labor market and tax cuts.
Gross domestic product was increased at a 2.0 percent annual rate in the January-March period, the Commerce Department said on Thursday in its third estimate of first-quarter GDP, instead of the 2.2 percent pace it reported last month.
The economy grew at a 2.9 percent rate in the fourth quarter. The downgrade to first-quarter growth reflected weaker consumer spending and a smaller inventory accumulation than the government had estimated last month.
A $1.5 trillion income tax cut package, which came into effect in January, is seen spurring faster economic growth in the second quarter, putting annual GDP growth on track to achieve the Trump administration's 3 percent target.
Economists, however, caution that the administration's "America First" policies, which have heightened fears of trade wars, are casting a pall over the economy's prospects.
People walk through a nearly empty shopping mall in Waterbury, Connecticut.Getty Images
The United States is engaged in tit-for-tat trade tariffs with its major trade partners, including China, Canada, Mexico and the European Union, which analysts fear could disrupt supply chains and undercut business investment and potentially wipe out the fiscal stimulus.
Growth estimates for the second quarter are as high as a 5.3 percent rate. Economists had expected first-quarter GDP growth would be unrevised at a 2.2 percent pace. An alternative measure of economic growth, gross domestic income (GDI), increased at a brisk 3.6 percent rate in the January-March quarter. That was revised up from the 2.8 percent pace reported last month.
The average of GDP and GDI, also referred to as gross domestic output and considered a better measure of economic activity, increased at a 2.8 percent rate in the first quarter, instead of the 2.5 percent pace estimated in May.
The income side of the growth ledger was boosted by after-tax corporate profits, which surged at an 8.7 percent rate last quarter rather than the 5.9 percent pace reported in May. The government slashed the corporate tax rate to 21 percent from 35 percent effective in January. After-tax profits rose at a 1.7 percent pace in the fourth quarter.
Growth in consumer spending, which accounts for more than two-thirds of U.S. economic activity, braked to a 0.9 percent rate in the first quarter instead of the previously reported 1.0 percent pace. It was the slowest pace since the second quarter of 2013 and reflected downward revisions to healthcare spending by nonprofits and outlays on finance and insurance services. Consumer spending grew at a 4.0 percent rate in the fourth quarter.
Businesses accumulated inventories at a rate of $13.9 billion, instead of the $20.2 billion pace estimated last month. As a result, inventory investment was neutral to GDP growth instead of adding 0.13 percentage point as reported last month.
Data so far suggest that inventories could be a small drag on second-quarter GDP growth.
The trade deficit in the first three months of the year was a bit bigger than initially thought, but had little impact on growth. Trade is expected to contribute to GDP growth in the second quarter after data on Wednesday showed a sharp drop in the goods trade deficit in May.
Growth in business spending on equipment was revised up to a 5.8 percent rate in the first quarter from the 5.5 percent pace estimated last month. Spending on equipment has slowed following double-digit growth in the second half of 2017.
Investment in home building fell at a 1.1 percent rate in the first quarter instead of declining at a 2.0 percent pace as reported last month.
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709e03d338e918f29b4847182b2f1a4e | https://www.cnbc.com/2018/06/27/former-fox-news-co-pres-bill-shine-is-in-final-talks-with-trump-about-.html | Former Fox News co-president Bill Shine is in advanced discussions about becoming White House communications director: Sources | Former Fox News co-president Bill Shine is in advanced discussions about becoming White House communications director: Sources
Fox News President Bill Shine departs after meeting with then-President-elect Donald Trump at Trump Tower in New York, November 21, 2016.Lucas Jackson | Reuters
Former co-president of Fox News Bill Shine is in final discussions with President Donald Trump's administration to become White House communications director, according to two people familiar with the matter.
These conversations have been ongoing in recent weeks, those people say. A final decision has not been made but could come as soon as Wednesday.
The White House declined to comment.
Shine was forced to resign from the Fox News Channel in May 2017 for his handling of the sexual harassment scandal that took down the network's chairman, Roger Ailes.
Shine also has close ties to Fox News host Sean Hannity. Before Shine was promoted to the executive ranks of the network, he was Hannity's producer.
Hannity has been a staunch supporter of Trump. Beyond boosting the administration through his radio and TV show, Hannity reportedly has regular conversations with Trump and has become an external White House advisor.
If Shine were to take the job, he would become the fourth communications director, succeeding Hope Hicks, who departed the post in March.
Prior to Hicks' reign, hedge-fund impresario Anthony Scaramucci was in the job, lasting only 10 days. He was fired after using explicit language in an interview with The New Yorker.
Officials at Fox News did not immediately respond to a CNBC request for comment, although the network initially reported that Shine is in final talks with the White House.
Correction: This story was revised to correct the circumstances surrounding Shine's departure from Fox News. He was forced to resign.
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555839213115c9bb3dde100d5266b5b7 | https://www.cnbc.com/2018/06/27/saudi-arabia-and-qatar-clash-over-world-cup-piracy.html | Saudi Arabia and Qatar's clash over World Cup piracy just got worse | Saudi Arabia and Qatar's clash over World Cup piracy just got worse
A row between Saudi Arabia and Qatar over the broadcasting of the World Cup soccer tournament shows no signs of dying down, with soccer’s European and international governing bodies now heavily involved in the dispute.
Qatari-owned sports and entertainment broadcaster beIN Sports, which has the exclusive rights to show World Cup games in the Middle East and North Africa region, has accused TV channel BeoutQ — which it claims is based in Saudi Arabia — of stealing and illegally broadcasting its coverage of the sports tournament taking place in Russia.
Russia World Cup stadiumPool/Getty Images
Saudi Arabia has denied the claims and the spat is seen as another front in a diplomatic dispute between the neighbors amid a Saudi-led blockade of Qatar.
International soccer governing bodies, which garner millions of dollars for selling the broadcasting rights to games, have also become involved.
FIFA, the international football association, published a statement in mid-June saying that it was “aware that a pirate channel named BeoutQ has illegally distributed the opening matches of 2018 FIFA World Cup in the MENA region.”
“FIFA takes infringements of its intellectual property very seriously and is exploring all options to stop the infringement of its rights, including in relation to action against legitimate organizations that are seen to support such illegal activities. We refute that BeoutQ has received any rights from FIFA to broadcast any FIFA event,” it said.
FIFA confirmed it was considering legal action against the TV station, which has reportedly shown no signs of stopping the broadcasting of World Cup games. The Gulf Times reported that when beIN Sports put a ticker-tape feed across the bottom of the screen informing BeoutQ viewers that they were watching stolen footage, the Saudi station “simply superimposed its own message over that.”
UEFA, the European football confederation, last week accused the pirate channel of illegally distributing European games as well.
“UEFA strongly condemns all unauthorized broadcasting and illegal streaming activity. We are aware that a pirate channel, named BeoutQ based in Saudi Arabia, has illegally distributed the UEFA Champions League and the UEFA Europa League throughout the 2017/18 season, including the UEFA Champions League final in Kiev on May 26," the body said in a widely-reported statement released last week.
"UEFA considers that illegal piracy of live football, particularly on the scale of that being carried out by BeoutQ, poses a significant threat to European football," the statement said. "For the avoidance of doubt, BeoutQ has received no rights whatsoever from UEFA to broadcast any UEFA event.”
NBCUniversal, the parent company of CNBC, has also reportedly complained that it's Telemundo unit (which holds the Spanish language rights to the World Cup in the U.S.) has seen its broadcast of the tournament illegally distributed by BeoutQ.
Saudi Arabia is not taking the accusations lying down, with Qatar, FIFA and UEFA receiving a sharp rebuke from the kingdom. The country’s sports minister, Turki al-Sheikh, took to Twitter last Thursday to deliver a series of stinging comments criticizing UEFA and FIFA and their decision to allow beIN Sports — which he insinuated was a propaganda instrument of Qatar — to show the games.
Saudi’s Ministry of Information also rejected the accusation that BeoutQ is based in the kingdom, stating last Friday that UEFA’s claim is “completely incorrect.”
“The Ministry of Information has become aware of irresponsible accusations made in a UEFA press release regarding an entity known as BeoutQ. UEFA baselessly claims that BeoutQ ‘is based in Saudi Arabia.’ The Ministry of Media unequivocally rejects this claim.”
Calling UEFA’s statement “irresponsible,” it added that Saudi Arabia had in fact “relentlessly combatted BeoutQ’s activities within the country.”
“For instance, the Ministry of Commerce has seized thousands of set-top boxes that would otherwise be used to violate intellectual property (IP) in the kingdom of Saudi Arabia (KSA). The government of Saudi Arabia is, and will remain, devoted to protecting IP rights within the country,” it said.
There’s no love lost between Saudi Arabia and Qatar at the moment after Saudi, along with Bahrain, the United Arab Emirates and Egypt, imposed an economic blockade on the small Arab state last year, accusing it of supporting terrorism — charges that Qatar denies. A consequence of the impasse has been that Saudi Arabia, and a number of its Arab allies, have banned the Qatari broadcaster Al Jazeera from operating or broadcasting in their countries.
The Saudi Ministry of Information noted this in its statement, saying that Qatar’s beIN Sports “is the source of UEFA’s reckless allegation (and it is) a subsidiary of the Al Jazeera Media Network.”
It repeated its claims that Al Jazeera “is Qatar’s principal media arm for supporting terrorism and promoting instability in the region. Al Jazeera provides a media platform for terrorists to propagate their violent message. KSA has also banned broadcasts by beIN Sports in Saudi Arabia for the same reason.”
Correction: This article has been updated to reflect that Egypt is part of the four-country blockade on Qatar.
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a0206039560ce9b40d1601b685b5a150 | https://www.cnbc.com/2018/06/27/supreme-courts-conservatives-mark-return-to-power.html | Supreme Court's conservatives mark return to power with major rulings, minor punts | Supreme Court's conservatives mark return to power with major rulings, minor punts
A man bearing an upside down American flag watches as protesters gather outside the U.S. Supreme Court as the court issued an immigration ruling June 26, 2018 in Washington, DC.Win McNamee | Getty Images
The Supreme Court's conservative majority — stymied in recent years by one justice's sudden death and another's fickle behavior — has come storming back.
From President Trump's immigration travel ban to workers' rights, voting rights and religious rights, the high court handed conservatives a nearly unbroken string of victories in a divisive term that came to a screeching halt Wednesday.
Time after time in the term's waning days, the court's conservative majority thumped its liberal minority in 5-4 decisions, noteworthy in some cases for their breadth and in others for their narrow, almost tortured reasoning. The mood was so divisive that on the 2017 term's penultimate day, two decisions on immigration and abortion prompted liberal justices to read three dissents from the bench.
That was in contrast to several recent terms in which the court delighted liberals with decisions on same-sex marriage, affirmative action, abortion and Obamacare. The best liberals could muster this term were a couple of punts in which the justices sent cases on partisan election maps and same-sex wedding services back to lower courts on procedural grounds.
To be sure, Justice Elena Kagan penned concurring opinions in those cases mapping out potential return trips to the high court. But this week, the justices turned down the most promising new challenges on both issues, delaying any final resolution.
VIDEO2:2802:28Supreme Court rules in favor of government non-union workersClosing Bell
“The court is moving in a somewhat conservative direction," said Neal Devins, who directs the Institute of Bill of Rights Law at William & Mary Law School. "At the same time, they’re making compromises and ruling narrowly."
Several factors have contributed to the rightward trend, none more important than Justice Neil Gorsuch's first full term as successor to the late Justice Antonin Scalia. It was Scalia's death in February 2016 that left the court with only eight members for more than a year, resulting in several deadlocked votes.
Gorsuch, at 50 the court's youngest member, was in the majority more often than anyone but Chief Justice John Roberts and Justice Anthony Kennedy, the perennial swing vote. He wrote several 5-4 decisions, including a major one upholding corporations' use of individual arbitration rather than class-action lawsuits to resolve workplace disputes.
Had Scalia's seat been filled instead by federal appeals court Judge Merrick Garland — President Obama's choice, who was denied consideration in 2016 by Senate Republicans — that case and the entire term likely would have looked very different.
“The conservatives have had such a bad run the last couple years that by comparison, this is such a demonstrable change," said Josh Blackman, a South Texas College of Law associate professor and creator of the FantasySCOTUS blog.
Thirteen times this term, the court ruled 5-4 along the same ideological lines. That included several decisions beneficial to Republicans and harmful to Democrats: denying public employee unions the right to collect fees from non-members, approving a strict method of purging voters from registration rolls in Ohio (a swing state), and upholding most GOP-drawn election districts in Texas (a future swing state).
By contrast, the court's four most conservative justices have not been on the losing end of any 5-4 rulings — a frequent occurrence in prior years, when Kennedy would join the liberals.
Further pointing to the term's divisiveness: Less than one-third of the court's cases were decided unanimously, a low yield not seen in nearly a decade. Instead, the justices wrote lengthy opinions and dissents almost by rote, turning what had appeared to be routine cases into major disputes.
Read more from USA Today:
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Kennedy back in the fold?
Kennedy, most often the deciding vote in close cases, represents another key factor. As he considers retirement at age 81, he has returned to the conservative fold. Over the course of the term, he sided with each of his conservative colleagues more often than any of the liberals — a 180-degree reversal from three years ago.
"The 5-4 decisions broke for the conservatives because Justice Kennedy was on their side," Michael McConnell, a former federal appeals court judge who directs the Constitutional Law Center at Stanford Law School, said. "These things depend heavily on the happenstance of what cases occur in particular terms. I do not think any of the cases this term, taken separately, were surprising votes for Kennedy."
Kennedy's metamorphosis was most apparent this month. Despite a long history of support for gay rights, he authored the court's 7-2 opinion on narrow grounds that absolved a Colorado baker of discrimination for refusing to create a wedding cake for a same-sex couple. And two cases on political manipulation of election districts that hinged on his vote were punted on procedural grounds without a word from him.
That followed several terms in which Kennedy had delivered unlikely victories for the court's liberal wing, led by Justice Ruth Bader Ginsburg. Two years ago, his votes upheld the use of affirmative action in college admissions and struck down burdensome restrictions on abortion rights. The year before, he wrote the court's landmark decision in favor of same-sex marriage and helped to uphold federal subsidies under Obamacare.
VIDEO0:5600:56Supreme Court overturns 40-year-old precedent, affecting unions News Videos
Leah Litman, assistant professor of law at the University of California-Irvine School of Law, says many of those victories were "by and large holding down the fort" by blocking conservatives' efforts on issues such as abortion and health care. By contrast, conservatives' wins — such as the 2010 decision that let corporations spend unlimited amounts on elections and the 2013 ruling striking down a key section of the Voting Rights Act — represented changes in the law.
Another step in that direction was taken Wednesday when the court overruled a 41-year-old precedent that allowed public employee unions to collect fees from non-members. The court's conservatives had been on the brink of such a ruling since 2012; two years ago, without Scalia, they could muster only a 4-4 tie.
"The majority's road runs long, and at every stop are black-robed rulers overriding citizens' choices," Kagan said from the bench — marking the liberal justices' fifth public dissent of the week. "The First Amendment was meant for better things."
Travel ban caps off term
Perhaps the biggest test for conservatives was the uphill battle to win approval of Trump's travel ban. Federal appeals courts dominated by liberal judges had declared it unlawful and unconstitutional, but on Tuesday the five conservative justices gave it their unblemished blessing.
That was particularly significant, Blackman said, because Trump "has been getting his butt kicked in the lower courts" over his efforts to block travelers from majority-Muslim nations, end protections for undocumented immigrants brought to the U.S. as children, and deny funds to so-called "sanctuary cities."
Whether the trend will continue next term and into the future likely depends, once again, on Kennedy. Is he preparing to retire by returning to his conservative roots? Or does he want another shot at issues such as extreme partisan gerrymandering and discrimination against gays and lesbians — cases that could return next spring?
As the court adjourned for the summer Wednesday with no retirement announcement, it seemed Kennedy might stay. The day before, in a short, two-page concurring opinion in the travel ban case, he sounded like a man who wants to help the federal government regain a degree of decorum.
"An anxious world must know that our government remains committed always to the liberties the Constitution seeks to preserve and protect, so that freedom extends outward, and lasts," he said.
That has given liberals some hope that the court's conservative tilt this term will not turn into a tide in the years to come, with a second Trump nominee succeeding Kennedy.
“There seems to be some evidence," said Kristen Clarke, president of the Lawyers' Committee for Civil Rights Under Law, "that he’s concerned about his legacy."
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ba43ef54fbb2dbef02231e8051e4b7ff | https://www.cnbc.com/2018/06/27/the-best-summer-internships-will-teach-you-these-skills.html | The best summer internships will teach you these important career skills | The best summer internships will teach you these important career skills
Peter Dazeley | Getty Images
When Ryan Coon was a freshman at the University of Illinois at Urbana-Champaign and studying accounting and finance, it would have made sense for him to intern in an accounting firm or at a big bank.
Instead, Coon took an internship with College Works Painting, a company that offers interns the chance to run their own painting businesses in locations across the United States. College Works Painting insures the student-led businesses and provides them with management training and paint materials.
The student intern is responsible for the logistics, hiring and managing each paint job as well as their finances. The prices charged are competitive with other contractors and backed by a quality guarantee; if anything goes wrong, College Works Painting will fix it. The minimum pay for the summer is $4,000 for interns ($2,500 for those in California) who meet the program requirements, but interns can make more than that if they manage their business well.
That sounded enticing back in 2004 to Coon, who knew he wanted to start his own company someday. He spent the summer running a house painting operation in the suburbs of Chicago.
“I got exposure and experience in all aspects of running a business,” Coon said. “It taught me a lot about what it means to go through the highs and lows of being an entrepreneur.”
The experience proved worthwhile. Immediately after graduating, Coon landed a full-time job in an investment bank. Later, it paid off again; In 2011, Coon left banking to start his own company, Avail, an online platform that helps independent landlords manage their properties. He said his time at College Works gave him a foundation in business principles he still uses today.
I got exposure and experience in all aspects of running a business. It taught me a lot about what it means to go through the highs and lows of being an entrepreneur.Ryan Coonco-founder and CEO of Avail
Over half of students graduating in 2017 have internship experience, according to the National Association of Colleges and Employers. The conversion rate, however, from internship to full-time job is down 1.3 percent for the graduating class of 2018.
Graduates of the College Works Painting internship, however, fare well in the job market. More than 90 percent of former interns have a college-graduate job three months after getting their degree. To find an internship that will help you build the skills for a full-time career, Coon and Matt Stewart, the co-CEO of College Works Painting, shared the following advice.
Find an internship that will let you get your hands dirty instead of observing or shadowing others in an office environment.
“Take an educated guess on where you want to be in three years, five years and 10 years,” Coon said. “And try to gain experiences that will help you down the road.”
An internship outside of the industry where you want to end up may serve you well, as Coon found from his College Works Painting experience.
VIDEO1:1101:11These are the highest paying internships in the US this yearYour Money's Worth
“It’s an incredibly difficult challenge, managing your own business — and that’s what our interns are doing,” Stewart said. “Doing is proving you have a work ethic, proving you have the skills.”
Stewart said the best internships are the ones that give opportunities to develop leadership skills, because students might not have them yet. Developing responsibility and focus are important, no matter what your career goals are.
College Works Painting interns have to face the real consequences of their business decisions.
“The stakes are real,” said Stewart. “There are real people depending on real income.” In addition, interns' bonuses are based on their profitability, an added incentive to work hard.
It’s an incredibly difficult challenge, managing your own business — and that’s what our interns are doing.Matt Stewartco-CEO, College Works Painting
Coon found that running his own painting business helped him learn about focus, persistence and how crucial a good team is to success.
“Building anything of any significance takes a lot of time and hard work,” Coon said. “It can be tempting at times to give up but you have to stick with it and stay focused and keep working hard.”
One of the missions of College Works Painting is to show students the career options that are available to them, said Stewart.
“What we find is students today know what their parents do, what their best friend’s parents do and what’s on television,” Stewart said. “We try to expose them to new careers and help them find a career path while they are with us.”
Keeping an open mind and trying a lot of different things will serve you well in the long run, Stewart said. Sometimes, students will think they know exactly what they want to do – until they try it.
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17e619618cf1e8758999ef142832e3b7 | https://www.cnbc.com/2018/06/27/us-oil-exports-boom-to-record-level-surpassing-most-opec-nations.html | US oil exports boom to record level, surpassing most OPEC nations | US oil exports boom to record level, surpassing most OPEC nations
The Eagle Ford crude oil tanker sails out of the the NuStar Energy dock at the Port of Corpus Christi in Corpus Christi, Texas, U.S., on Thursday, Jan. 7, 2016.Eddie Seal | Bloomberg | Getty Images
U.S. oil exports reached a record 3 million barrels a day last week— a greater amount than is pumped each day by all but three OPEC countries.
When combined with fuel products, like diesel and gasoline, U.S. oil and related products exports totaled 8.5 million barrels a day last week, the most ever, according to U.S. Energy Information Administration weekly data.
U.S. oil production also continued at a record pace of 10.9 million barrels a day, a level first reached this month. That is more oil than produced by every other country in the world, except for Russia, which does not belong to OPEC and pumps just over 11 million barrels a day. U.S. refineries also took in a record 18 million barrels of oil.
To put U.S. exports in context, the U.S. was able to export more oil per day last week than most OPEC countries drilled.
But of the largest producing OPEC countries, only Saudi Arabia and Iraq are exporting more oil than the U.S. did last week, according to John Kilduff, partner with Again Capital. In June, he said Saudi Arabia exported about 7.5 million barrels a day and southern Iraq exported 3.6 million. Iran exports about 2.4 million barrels a day, and the U.S. is seeking to remove those barrels from the market through sanctions.
"The fact is we're loading crude oil for export across the Texas Gulf Coast. The biggest issue that exporters are facing is getting oil from the Permian basin to the Gulf Coast because of the lack of pipeline capacity," said Andrew Lipow, president of Lipow Oil Associates.
The U.S. weekly exports fluctuate dramatically, but if they stay at this level, the U.S. would be just behind Canada, which sends about 3.5 million barrels to the U.S. each day, the bulk of of its exports. As U.S. production has grown, U.S. imports have decreased. The U.S. imported a relatively high 8.4 million barrels per day last week.
The 3 million barrel level may not be sustainable just yet. Analysts said some of the oil appears to have been pulled from inventories, which fell an unusually large amount last week.
“We’ve gone from zero to 3 million barrels a day in terms of crude oil exports in just over a year. It’s been a steady climb. This puts tremendous pressure on U.S. crude oil supplies despite the shale boom if this is going to persist,” said Kilduff. “The exports and the record refinery run combined created a massive draw down of nearly 10 million barrels.”
Note: Exports includes oil and refined products
The previous record for oil exports was 2.56 million barrels a day, a level reached in May.
Oil prices rose on the report because of the large drop in inventories. West Texas Intermediate crude futures were up 3.2 percent, at $72.76. That follows Tuesday's jump of more than 3 percent on concerns U.S. efforts to sanction Iran will leave the market undersupplied.
"The concern is the 2 million barrels of Iranian oil cannot be made up by the rest of the world. Those types of thoughts are filtering into the market," said Lipow.
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c1e30d0a24c6561fa42ae8df9e3602d8 | https://www.cnbc.com/2018/06/28/3-ways-younger-wealth-is-diverging-from-an-older-approach-to-market.html | America's wealthy are moving to cash as market enthusiasm hits a wall | America's wealthy are moving to cash as market enthusiasm hits a wall
In 2017 nearly every stock market around the world was up, and the term "synchronized global growth" was trending among investors. Now with markets around the world teetering on correction levels — from Argentina and Brazil to Germany, India and China — and White House officials saying President Donald Trump will proceed with his trade war regardless of stock market impact, many wealthy investors see the stock market hitting a short-term wall and they are increasing their focus on short-term investments.
Miguel Riopa | AFP | Getty Images
The latest CNBC Millionaire Survey, conducted in April by the Spectrem Group, found more millionaires saying their short-term investments are going up, as well as more wealthy investors unwilling to commit more to the stock market in the next year.
The survey studied 750 Americans nationwide with $1 million or more of investable assets. Respondents were both male and female, with political affiliations to the Republican, Democratic and Independent parties. It is the first CNBC survey to gauge the investing sentiment among America's wealthy since market volatility picked up in 2018.
The results reinforce recent signals in the market rather than serving as a surprise. Global equity funds experienced their biggest outflows since October 2008 in June, and equity fund investors across the board have been pulling money out of the U.S stock market at a rapid rate. But the gap between wealthy investors who plan to add to stock exposure in the next year and those who do not is overwhelmingly wide: Across all millionaires surveyed, only 17 percent said they will add to stock exposure in the next year, while 25 percent said they plan to increase short-term holdings.
VIDEO1:5301:53Tiger 21's Michael Sonnenfeldt on how the ultra-weathy investPower Lunch
In a related survey finding, less than half of the wealthy expect the U.S. economy to end the year stronger, and confidence in the S&P 500 dropped by 20 points since the last survey, in fall 2017.
The move out of stocks and into safer investments is most pronounced among younger millionaires and high-net-worth investors. Thirty-eight percent of millionaires age 55 and under said they will increase short-term investments — cash, money market accounts, CDs, treasury bills, checking/savings accounts. Meanwhile, 34 percent of investors with $5 million or more in investable assets said they will increase short-term holdings.
These two segments of wealthy America said they are more likely to increase fixed-income holdings: 35 percent of millionaires age 55 and under and 37 percent of investors with $5 million or more to invest.
Across all millionaires, investments to short-term holdings and fixed income, rather than equities, are more likely to increase, according to the CNBC survey. The view from millionaire investors does not portend a sustained pulling out of equities, and the data does not show a drastic reevaluation of portfolio allocations or long-term investment goals. Financial and investment advisors suggested that the increased short-term investments reflect, among other things, wealthy individuals waiting for a better opportunity to buy into the market rather than uber-bearishness.
Doug Boneparth, president of New York City-based Bone Fide Wealth, said investors age 55 and under do need more short-term money, because their lives include more variable expenses, such as children and college, than older investors. However, he thinks having learned the lessons of 2008, these investors do have some dry powder. He also noted that in the rising interest-rate environment, money market accounts now look much more attractive with yields pushing above 2 percent and, in the least, chip away at money that would otherwise go into bonds that are yielding only slightly higher.
Boneparth advises investors to distinguish between cash holdings and investment holdings. "A cash reserve is exclusive of an investment portfolio," he said. "If $150,000 of a $1 million individual retirement account is in cash, that's too high, that will drag down returns over time. But I do wonder if it is dry powder. People are waiting," Boneparth said.
"My sense is that younger investors are more likely to raise cash to compensate for tying up funds in long-term, illiquid investments and to do their own version of market-timing, waiting for stocks to correct and then buying opportunistically," said Mitch Goldberg, investment advisor and president of Melville, New York-based ClientFirst Strategy.
Younger millionaire investors and the high-net-worth segments are more likely to maintain exposure and plan to increase investments in international stocks and alternative investments.
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0f763f0364538479bd3141010b541192 | https://www.cnbc.com/2018/06/28/amazon-swooped-in-to-buy-pillpack-for-1-billion-after-walmart.html | Amazon swooped in to buy PillPack for around $1 billion after Walmart dragged its feet | Amazon swooped in to buy PillPack for around $1 billion after Walmart dragged its feet
VIDEO2:5302:53Amazon to be big in health care after PillPack dealClosing Bell
Walmart was poised to buy online pharmacy start-up PillPack before Amazon swooped in with a higher offer.
Sources say that PillPack and Walmart were in talks for months about an acquisition for less than $1 billion, but Walmart was dragging its feet on making a final offer. When CNBC reported the deal in early April, Amazon, which had previously been pitched to a lukewarm reception, moved to step up with an offer for around $1 billion in cash, says a source familiar with the discussions.
Two people say PillPack was also fundraising earlier in the year to help it move into the next phase of growth, while kicking off its search for a buyer. From the beginning, PillPack was clear to potential buyers that it would continue operating its business that delivers to tens of thousands of customers with complex medical conditions.
PillPack declined to comment.
What Amazon stands to gain from the deal is pharmaceutical licenses in 49 U.S. states, excluding Hawaii. PillPack, which neatly packages and delivers medicines across the country, also has a mail-order contract with Express Scripts, which manages prescription drug benefits on behalf of insurers and is the largest U.S. pharmacy benefits manager.
That agreement expires at the end of July, said Express Scripts spokesman Brian Henry, and would need to be renegotiated.
The deal for PillPack is a potential threat to drug stores and retailers ranging from CVS to Walmart. Walgreens executives told analysts on Thursday that the company is "not particularly worried" about this move.
Amazon for months has been gearing up for a move into the pharmacy space, through conversations with drug supply chain experts and key hires. But the move to buy PillPack puts Amazon more concretely into the space, in addition to its partnership to disrupt health care with J.P. Morgan and Berkshire Hathaway. That group's CEO, Atul Gawande, has already made clear that the venture will take aim at health-care "middlemen" with a focus on innovative new technology.
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57f9fcfe67017ad6279621a4a0aac865 | https://www.cnbc.com/2018/06/28/benchmarks-bill-gurley-entrepreneurs-should-read-these-books.html | Top VC says every entrepreneur should read these 5 books | Top VC says every entrepreneur should read these 5 books
As a general partner at Benchmark, Bill Gurley is a top Silicon Valley venture capitalist, and he's an investor in impressive companies such as GrubHub, Zillow, Uber, Stitch Fix and Glassdoor. He’s also ranked second on Forbes’ 2018 Midas List for the Top Tech Investors.
On Thursday, Gurley tweeted five books that he believes every entrepreneur should read. Here's his list:
1. "Bad Blood: Secrets and Lies in a Silicon Valley Startup" by John Carreyrou
“Bad Blood” tells the story of disgraced blood-testing start-up Theranos and its founder and CEO Elizabeth Holmes, who was once widely celebrated as the “female Steve Jobs.” The book tells the “riveting story of the biggest corporate fraud since Enron, a tale of ambition and hubris set amid bold promises of Silicon Valley,” according to its Amazon description.
Tweeted Gurley: “There is a lesson in the book for every constituent — employees, executives, investors, board members, and even corporate partners. Interestingly the employees had the most to say, but had the least amount of power — which kept them squelched."
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2. “Competitive Strategy: Techniques for Analyzing Industries and Competitors” by Michael E. Porter
Penned by well-known economist and researcher Michael E. Porter, "Competitive Strategy" is close to its 60th printing in English, and has been translated into 19 languages, according to Amazon. The book covers forces behind industry competition and strategic positioning.
"This book is the most efficient short-from MBA that we can give," Gurley said at Launch Festival in San Francisco in 2017, according to Silicon Valley Business Journal.
3. “Crossing the Chasm” by Geoffrey A. Moore
“Crossing the Chasm” has been described as the “bible for bringing cutting-edge products to larger markets.” The book’s latest edition, published in 2014, covers new strategies for marketing in a digital world, according to Amazon.
The book is especially useful for those doing enterprise work, according to Gurley.
4. “The Innovator’s Dilemma: When New Technologies Cause Great Firms to Fail (Management of Innovation and Change)” by Clayton Christensen
The Harvard Business School professor's book talks about why certain businesses succeed and why others ones fail. And Gurley's not the only bigwig who's a fan.
“This is an important read, even if you’re at the very early stages of growing a startup,” said Drew Houston, CEO of Dropbox, which has a market cap of more than $13 billion.
5. “Startup: A Silicon Valley Adventure” by Jerry Kaplan
In the book, Kaplan re-hashes his experience building computer company Go Corporation in 1987.
According to Gurley, Go Corp. was "a massive failure that had all the best investors, all the best executives."
"It's a spectacular book because [Kaplan] had a tape recorder and on the way home from work every day, he dictated himself notes," Gurley said at the Launch Festival, according to Silicon Valley Business Journal. "It's remarkably detailed. We spend so much time analyzing success. Sometimes it's good to read how hard it can be."
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VIDEO3:1103:11Marcus Lemonis: A ‘selfish’ attitude is a recipe for failure at workThe Definitive Guide to Business with Marcus Lemonis
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4195f1bfdd395103ee55ebbb17b4c327 | https://www.cnbc.com/2018/06/28/former-aide-to-roger-stone-subpoenaed-in-russia-investigation.html | Former aide to Roger Stone subpoenaed in Russia investigation | Former aide to Roger Stone subpoenaed in Russia investigation
Roger StoneGetty Images
A former aide to Trump adviser Roger J. Stone Jr. was subpoenaed to appear in federal court to provide evidence and hand over documents related to the Russia investigation.
The client, Andrew Miller, is set to appear in court on Thursday, The New York Times reports. Miller worked for Stone arranging interviews and other tasks leading up to the Republican convention in 2016, the Times reported.
This is the first time Miller has been mentioned in relation to Special Counsel Robert Mueller's investigation into possible Russian collusion in the 2016 election.
VIDEO7:5607:56The Trump-Russia ties hiding in plain sightDigital Original
A lawyer, Paul Kamenar, plans to file a motion on Thursday on behalf of a client who was subpoenaed to be questioned in front of the grand jury, though he did not identify Mr. Miller.
Kamenar's motion will argue that the appointment of Mueller to lead the investigation was unconstitutional.
“The founders feared exactly what we see in Mueller: a runaway federal official. We hope to see Mueller’s operation disbanded, once and for all," said Peter Flaherty, chairman of the National Legal and Policy Center, a conservative nonprofit paying Kamenar for his legal services.
Stone became a player in the Mueller investigation due to his public comments foreshadowing the 2016 WikiLeaks release of Hillary Clinton's email archives. Stone has denied allegations of Russian collusion but admitted to having been informed about the leak prior to its publication.
Read the full New York Times report here.
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309261700d76a5f6756420366faa3623 | https://www.cnbc.com/2018/06/28/from-sleep-aids-to-beverages-the-future-of-cannabis-is-in-products-c.html | From sleep aids to beverages, the future of cannabis is in products, Canopy CEO says | From sleep aids to beverages, the future of cannabis is in products, Canopy CEO says
VIDEO5:2305:23Canopy Growth CEO on legal marijuana businessSquawk on the Street
Canada's largest medical marijuana producer, Canopy Growth, took a hit after its first earnings report as a public company in the U.S. stoked fears Canadian marijuana is overvalued, but CEO Bruce Linton shrugged off investor concerns on Thursday. He said the company focused more on cannabis as a product, than cannabis as a commodity.
In Canada, "by 2020 or 2021, there will be too much cannabis produced. If I'm still selling primarily an ingredient, I have completely dropped the ball. You want to transform it," Linton said on CNBC's "Squawk Alley."
As Canada marches toward recreational legalization in October, two of the marijuana-based products Linton is most optimistic about marketing to a broader audience are beverages and sleep aids.
Marijuana in beverage form has attracted a lot of attention and some major investment lately. California-based Lagunitas Brewing, which is owned by Heineken, announced on Tuesday the launch of an infused sparkling water to be sold in select locations around California. The announcement came shortly after reports that Molson Coors was in talks with several major Canadian cannabis companies, including Aphria and Aurora Cannabis.
Months earlier, Corona beer owner Constellation Brands announced in October it had taken a 10 percent stake in Canopy.
Linton hinted Canopy's future products could look a lot like Lagunitas' latest drink.
"It goes back a long time. We've been thinking about beverages as a way to mood modify and socialize," he said.
"I find that people would like to have a beverage that makes them more positive, uplifted and has a feeling of having a beer or glass of wine. And the kicker is — how would you like to have zero calories?" Linton added.
Canopy is also working on a sleep aid Linton touts as a potential "disruptor to Ambien." It isn't too far-fetched an idea, considering the Food and Drug Administration just approved pharmaceutical company GW Pharmaceuticals' cannabidiol-based Epidiolex to treat epilepsy.
As for a customer base for these products, Linton is casting his net wide. As medical marijuana consumers make up about 90 percent of Canopy's customer-base, Linton said, Canopy will continue to target "middle-aged" people with "a chronic something going on."
Canopy's goals may be lofty, but Linton feels confident the marijuana giant is well positioned to continue being a leader in the industry, so long as the company focuses on products first.
"Did you buy cannabis or an outcome? You have to transform the ingredients, that's the business we are in right now," Linton said.
A day after its stock drop, Canopy Growth shares pared Wednesday's losses, gaining more than 9 percent.
VIDEO2:0702:07Constellation to buy stake in cannabis-producer CanopyClosing Bell
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5e08ed754988fa7e66c25b93a5529807 | https://www.cnbc.com/2018/06/28/iran-sanctions-could-soon-push-oil-prices-above-90-a-barrel-boaml-sa.html | Iran sanctions could soon push oil prices above $90 a barrel, Bank of America Merrill Lynch says | Iran sanctions could soon push oil prices above $90 a barrel, Bank of America Merrill Lynch says
A support vessel maneuvers near the crude oil tanker 'Devon' as it sails through the Persian Gulf towards Kharq Island oil terminal to transport crude oil to export markets in Bandar Abbas, Iran, on Mar. 23, 2018.Ali Mohammadi | Bloomberg | Getty Images
President Donald Trump’s sustained bid to disrupt Iran’s petroleum exports could soon help to push oil prices above $90 a barrel, analysts told CNBC on Thursday.
Crude futures were seen hovering close to multi-year highs during early afternoon deals, after a bigger-than-expected drop in U.S. stockpiles added to a rally fueled by a major Canadian supply outage, concerns about Libya’s exports and efforts by the Trump administration to cut off funds from Iran.
“We are in a very attractive oil price environment and our house view is that oil will hit $90 by the end of the second quarter of next year,” Hootan Yazhari, head of frontier markets equity research at Bank of America Merrill Lynch, said.
“We are moving into an environment where supply disruptions are visible all over the world… and of course President Trump has been pretty active in trying to isolate Iran and getting U.S. allies not to purchase oil from Iran,” he added.
International benchmark Brent crude traded at around $78.18 on Thursday, up around 0.7 percent while U.S. West Texas Intermediate (WTI) stood unchanged at $72.72.
On Tuesday, the U.S. demanded that all countries halt imports of Iranian crude from early November. The Trump administration’s hardline position comes as part of a broader push to try to further isolate Tehran both politically and economically.
Nonetheless, most major importers of Iranian crude have balked at Washington’s almost unilateral policy towards Iran.
VIDEO4:2804:28Oil can hit $90 per barrel by the end of Q2 2019, analyst saysCapital Connection
The move followed OPEC’s decision to ramp up crude production last week. The Middle East-dominated cartel is looking to moderate oil prices after a rally of more than 40 percent over the last 12 months.
The 14-member producer group took action as Venezuela's dwindling output, the looming disruptions to Iran's supplies, and production declines elsewhere raised concerns about crude futures rising enough to dent global demand.
“Saudi Arabia is genuinely worried, perhaps even panicked, about supply losses from Iran — something it simply cannot be seen to say publicly — and the likely price spike that will result,” analysts at Energy Aspects said in a research note published Thursday.
— CNBC’s Tom DiChristopher contributed to this report.
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2e59cd4c9bbc19f3ae90c82a6d1db236 | https://www.cnbc.com/2018/06/28/nike-sales-top-estimates-as-retailer-sees-return-to-growth-in-us.html | Nike shares surge 12% to record high after sales top estimates and retailer sees 'return to growth' in US | Nike shares surge 12% to record high after sales top estimates and retailer sees 'return to growth' in US
People walk past a Nike store in New York City.Getty Images
Nike on Thursday reported earnings and sales that topped analysts' expectations for the fiscal fourth quarter and announced a new, four-year $15 billion share repurchase program.
The company said it saw a "return to growth in North America," which has lately been a sluggish spot for sales following a handful of retail bankruptcies. Revenues, meanwhile, were up double digits in international markets during the latest period, as Nike reaped the benefits of a handful of new product launches.
Nike shares jumped nearly 12 percent to an all-time high on Friday following the news.
The Oregon-based retailer reported net income of $1.1 billion, or 69 cents per share, for the quarter ended May 31, compared with $1 billion, or 60 cents a share, a year ago. Excluding one-time items, Nike earned 69 cents a share, 5 cents ahead of analysts' expectations, based on a Thomson Reuters survey.
Total sales climbed 13 percent to $9.8 billion, again ahead of a forecast by the Street for $9.4 billion. Nike said its digital business alone was up 41 percent during the quarter.
"Fueled by a complete digital transformation of our company end-to-end, this year set the foundation for NIKE's next wave of long-term, sustainable growth and profitability," CEO Mark Parker said in a statement.
Part of Nike's latest strategy to win back sales in the U.S. includes selling more directly to consumers (thereby improving gross margins), making bigger investments in women's footwear and apparel, piloting a test with to rid the marketplace of counterfeit goods, and partnering with styling service .
Nike has also been focused on adding experiences to stores and scaling new merchandise. A new React cushioning technology in its sneakers has been one big hit, for example.
Nike's business — much like that of its peers in the athletic footwear and apparel industry — has been particularly stronger outside of North America of late. In areas such as Greater China, for example, there's still more room to grow. Retail bankruptcies in the U.S. (i.e., Sports Authority and Golfsmith) have been disruptive for companies such as Nike, Under Armour and Adidas.
During the latest quarter, Nike said sales excluding currency changes climbed 3 percent in North America, 10 percent in Europe, the Middle East and Africa, 25 percent in Greater China, and 13 percent in Asia Pacific and Latin America. Footwear sales were up 8 percent overall, apparel sales climbed 15 percent, while equipment sales dipped 3 percent.
"Our new innovation is winning with consumers, driving significant momentum in our international geographies," Parker said.
Nike has been embroiled in a #MeToo moment, with several senior male employees leaving abruptly or set to leave Nike later this year, including brand President Trevor Edwards. Edwards was expected to be the next CEO in line after Parker finished his term, but he will now retire officially in August amid complaints about his poor workplace conduct.
Parker has since apologized to Nike employees in an internal memo for allowing a corporate culture at Nike that excluded some workers and for failing to take complaints about workplace issues more seriously, sources familiar told The Wall Street Journal in May.
Nike's chief of human resources, Monique Matheson, has also since said that Nike will make changes to ensure women and minorities are better represented in top jobs at the company.
Wall Street hasn't been as rattled by the #MeToo developments at Nike. Some industry analysts have applauded Nike's efforts to conduct a sweeping internal review of personnel before the situation worsened.
"We are encouraged that the Company is embracing change; both culturally and with progressive go to market strategies," Stifel analyst Jim Duffy said. "Against this backdrop, we expect the Company shows strong evidence of firming fundamentals that make more tangible capacity for the long-term objective high-single digit revenue growth and mid-teens EPS growth."
Looking to the future, Nike is more upbeat about fiscal 2019, building on the latest momentum within the U.S. It hiked its sales outlook Thursday and now expects revenues to increase a high-single-digit percentage rate, up from a mid-to-high range.
As of Thursday's market close, shares of Nike are up more than 34 percent so far this year, trading around $72 apiece. The company has a market capitalization of roughly $115.6 billion.
VIDEO3:4303:43The business of being Cristiano RonaldoSports
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ad54d77b9184a33a4be5d4d0cffe881e | https://www.cnbc.com/2018/06/28/oil-markets-well-supplied-despite-strong-demand-outages.html | US oil hits $74 per barrel on concern over Iran sanctions | US oil hits $74 per barrel on concern over Iran sanctions
Pumpjacks operating near Ruehlermoor, Germany.Getty Images
U.S. oil prices rose to a three-and-a-half year high on Thursday, bolstered by supply concerns due to U.S. sanctions that could cause a large drop in crude exports from Iran.
U.S. West Texas Intermediate (WTI) crude futures settled at $73.45 a barrel, up 69 cents, or 0.95 percent. It reached $74.03 earlier in the session, highest since Nov. 26, 2014.
The United States this week demanded all countries halt imports of Iranian oil from November, a hardline position the Trump administration hopes will cut off funding to Tehran.
On Thursday, officials said they would work with countries on a case-by-case basis. China, the biggest importer of Iran's oil, has not committed to the U.S. position.
"The sanctions are trying to isolate Iran a bit more, and that potentially cuts more oil off from the overall global arena as a whole," said Mark Watkins, a regional investment strategist at U.S. Bank Wealth Management.
"If you're having Iran's oil taken off the market, then you have a decrease in supply and by all means, that's going to put more pressure on the price of oil to move up."
The U.S. demands follow a decision by the Organization of the Petroleum Exporting Countries last week to increase production to try to moderate oil prices that have rallied more than 40 percent over the last year.
Oil prices have rallied for much of 2018 on tightening market conditions due to record demand and voluntary supply cuts led by OPEC and other producers including Russia.
Unplanned supply disruptions from Canada to Libya and Venezuela also have supported prices.
U.S crude futures also extended gains after data showed inventories at the Cushing, Oklahoma, delivery hub fell by 3.1 million barrels in the week through June 26, traders said, citing data from market intelligence firm Genscape.
Front-month WTI's premium to the second month surged to a session high of $1.73 a barrel after the data, while U.S. crude's discount to Brent also narrowed to the smallest in three months at $4.32 a barrel.
Not all indicators point toward an ever-tightening market. U.S. crude production is approaching 11 million barrels per day (bpd), and Saudi Arabia expects to match that in coming months as well.
But analysts say the market has little spare capacity to deal with further disruptions.
"With inventories still declining and spare capacity uncomfortably low, there is very little cushion for any supply disruption caused by rising geopolitical risks," ANZ bank said.
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79948a544fa0fa31fb5e13b7aca7ba10 | https://www.cnbc.com/2018/06/28/these-10-states-are-beating-americas-infrastructure-crisis.html | Top 10 states with the best infrastructure in America | Top 10 states with the best infrastructure in America
How bad are America’s roads, bridges, ports and utilities? Pretty bad. That's why the American Society of Civil Engineers has given the United States a D + grade for its infrastructure in its most recent report on the state of American infrastructure. The U.S. Department of Transportation estimates it could cost as much as $1 trillion just to bring the current interstate and highways system in the United States up to date.
President Donald Trump has made fixing America's aging infrastructure a top priority. His goal: to ante up $200 billion in federal funding meant to encourage $1.5 trillion in overall investment from states, municipalities and private entities. It's expected he will push his agenda after the midterm elections.
“Frankly, it affects our quality of life and economic prosperity,” said American Society of Civil Engineers past president, Greg DiLoreto.
But we found some states bucking the trend. Infrastructure is one of the most important categories in CNBC’s exclusive America’s Top States for Business study, worth 400 out of 2,500 total points. We use government data to measure every state’s roads, bridges, airports, rail networks, ports, water utilities — even the time it takes to commute to work. These 10 states are following the right route to success.
A freight train outside Salt Lake City Getty Images
Never mind that the nearest ocean is more than 800 miles away. Landlocked Utah is trying to establish itself as a port. The Utah Inland Port, approved in 2018 after years of debate, is billed as the largest public-works project in state history. Spanning 22,000 acres outside of Salt Lake City, the facility will include rail links to the Pacific Coast and freight hubs for trucks bound for the rest of the United States, Canada and Mexico, all aimed at substantially increasing exports from the Beehive State. But that is in the future. Today Utah's roads and bridges are among the best in the country, letting workers buzz through their daily commute.
2018 Infrastructure score: 246 out of 400 points (Top States Grade: B+)
Deficient bridges: 2.9 percent
Average commute to work: 21.6 minutes (U.S. average: 25.7 minutes)
Major airport: Salt Lake City International
20-year water-system needs: $4.4 billion
Traffic moves along Interstate 15 before sunrise in Las Vegas.George Rose | Getty Images
After more than two years of detours and road closures, Nevadans are within months of enjoying the benefits of the largest public-works project in the Silver State’s history. Project Neon, slated for completion in 2019, is a $1 billion widening of Interstate 15 in Las Vegas. Officials are betting it will vastly improve traffic in the tourism and convention mecca. But Nevada is already on the move, with some of the best-maintained bridges in the country. A fast-growing state in the middle of the desert is not without issues, however — specifically, an aging and overburdened water system.
2018 Infrastructure score: 247 out of 400 points (Top States Grade: B+)
Deficient bridges: 1.6 percent
Average commute to work: 24.1 minutes
Major airport: McCarran International (Las Vegas)
20-year water-system needs: $5.3 billion
Cargo containers are stacked on the Black Sea ship at Tampa Port Authority's Hookers Point in Tampa.Ryan K. Morris | Bloomberg | Getty Images
Florida is a major gateway to Latin and South America, and it is well equipped for the role. Port Tampa Bay, the state’s largest, handles 37 million tons of cargo per year, as well as nearly 1 million cruise passengers. Home to no fewer than 16 international airports, you will never have trouble finding a flight here. Roads and bridges are well maintained, though commutes can sometimes be painful. That is a function of the state’s dizzying growth, which is also putting severe strain on Florida’s water utilities.
2018 Infrastructure score: 247 out of 400 points (Top States Grade: B+)
Deficient bridges: 2.1 percent
Average commute to work: 27.4 minutes
Major airports: Orlando International, Miami International
20-year water-system needs: $21.9 billion
Barges navigate the McAlpine Locks on the Ohio River in Louisville.Luke Sharett | Bloomberg | Getty Images
The Bluegrass State may conjure up images of horses and tobacco fields, but Kentucky is an infrastructure powerhouse. The state has 1,590 miles of inland waterways — ranking 4th in the nation — with critical ports along the Ohio River. Cincinnati/Northern Kentucky International Airport, located in Boone County, is the eighth-largest cargo airport in the world. It experienced record growth last year. But the centerpiece of this state’s infrastructure is its road system, among the best maintained in the country.
2018 Infrastructure score: 251 out of 300 points (Top States Grade: A-)
Deficient bridges: 7.8 percent
Average commute to work: 23.3 minutes
Major airport: Cincinnati/Northern Kentucky International
20-year water-system needs: $8.2 billion
The Minneapolis skyline from interstate highway I-35W.Walter Bibikow | The Image Bank | Getty Images
Retiring Democratic Gov. Mark Dayton and the Republican-controlled Minnesota state legislature fought hard over infrastructure in 2018, with Dayton reluctantly signing a $1.5 billion transportation bill that he called “woefully inadequate.” But the bill does include some big-ticket items, like around $400 million toward the state’s Corridors of Commerce program, begun in 2013 to improve and expand the state’s highway network. Minnesota reexamined its approach to infrastructure following the deadly Interstate 35W bridge collapse more than a decade ago. Today the state’s bridges are among the best in the nation.
2018 Infrastructure score: 255 out of 300 points (Top States Grade: A-)
Deficient bridges: 5.3 percent
Average commute to work: 23.5 minutes
Major airport: Minneapolis-St. Paul International
20-year water-system needs: $7.5 billion
Nashville skyline at duskJohn Greim | LightRocket | Getty Images
The Volunteer State overhauled its tax system in 2017 with an eye toward infrastructure, and the plan is already bearing fruit. The Tennessee IMPROVE Act, signed into law by Gov. Bill Haslam, is replacing hundreds of millions of dollars in individual and business taxes with user fees to fund nearly 1,000 road and bridge projects statewide. The state says 30 percent of those projects are already under way, with dozens more bids awarded earlier this year. The state’s roads and bridges were already among the best maintained in the country. The improvements should ease traffic bottlenecks that threaten economic growth.
2018 Infrastructure score: 259 out of 400 points (Top States Grade: A-)
Deficient bridges: 4.7 percent
Average commute to work: 25.1 minutes
Major airport: Nashville International
20-year water-system needs: $8.8 billion
Freight cargo trains in Columbus Buckeye Yard railroad crossing.Artem Vorobiev | Moment | Getty Images
The Buckeye State’s economic development arm, Jobs Ohio, likes to point out that this state is within 600 miles of half the U.S. and Canadian populations. In other words, it seems all roads lead to Ohio. That includes railroads. According to the U.S. Surface Transportation Board’s most recent figures, Ohio’s extensive rail network carries some 280 million tons of freight per year, putting the state in the top 10 nationally and cementing the state’s role as an essential cog in America’s transportation system.
2018 Infrastructure score: 261 out of 400 points (Top States Grade: A-)
Deficient bridges: 6 percent
Average commute to work: 23.4 minutes
Major airport: Cleveland-Hopkins International
20-year water-system needs: $13.4 billion
Georgia’s roads are among the best maintained in the country. Here, the Atlanta skyline.Ryan Murphy | Getty Images
Atlanta’s Hartsfield-Jackson International Airport is the world’s busiest based on passenger traffic. And that is just the start of the Peach State’s extensive transportation network. Georgia’s ports, on track for a record year, according to the Georgia Ports Authority, contribute more than $100 billion a year in revenue to the state’s economy and support more than 400,000 jobs. Of course, getting to the ports, the airport or just about anyplace else here can be a challenge with all the traffic, but Georgia’s roads are among the best maintained in the country.
2018 Infrastructure score: 263 out of 400 points (Top States Grade: A)
Deficient bridges: 4.7 percent
Average commute to work: 28.5 minutes
Major airport: Hartsfield-Jackson International (Atlanta)
20-year water-system needs: $12.5 billion
Drivers pay a toll as they enter the Indiana Toll Road near Angola.Joe Raymond | AP
Indiana proudly calls itself the Crossroads of America, which tells you all you need to know about how this state thinks of infrastructure. The state’s road system — including its crown jewel, the Indiana Toll Road — is among the best maintained in the nation. The state has leased the Toll Road, which runs along the northern part of the state from Illinois to Ohio, to private operators since 2006. And while the wisdom of that arrangement still sparks debate, it allowed the state to pay off debts and unleash funds for other projects. Now officials are studying whether to add toll roads elsewhere in the state.
2018 Infrastructure score: 279 out of 400 points (Top States Grade: A+)
Deficient bridges: 7.4 percent
Average commute to work: 23.6 minutes
Major airport: Indianapolis International
20-year water-system needs: $7.5 billion
Houston Ship ChannelDavid J. Phillip | AP
No state handles more of America’s cargo than Texas. In fact, no state comes close. According to the latest figures from the U.S. Census Bureau, the Lone Star State handles around $2 trillion worth of commodities per year. And Texas has the infrastructure to handle it. Port Houston, the nation’s second biggest, has surpassed Rotterdam as the world’s largest petrochemical complex, officials say. Hurricane Harvey in 2017 put the state’s infrastructure to the test, and while some parts are still recovering, Texas mostly passed with flying colors.
2018 Infrastructure score: 288 out of 400 points (Top States Grade: A+)
Deficient bridges: 1.6 percent
Average commute to work: 26.5 minutes
Major airport: Dallas-Fort Worth International
20-year water-system needs: $45.2 billion
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b68a4cd3863d113e688a976b23f9fe9d | https://www.cnbc.com/2018/06/28/trump-heads-to-wisconsin-to-tout-a-new-foxconn-plant-while-harley-dav.html | Trump heads to Wisconsin to tout a new Foxconn plant, while Harley-Davidson talks tariffs just up the road | Trump heads to Wisconsin to tout a new Foxconn plant, while Harley-Davidson talks tariffs just up the road
VIDEO5:2405:24Trump: We're seeing the results of the pro-America agendaPower Lunch
The ceremonial groundbreaking for a massive $10 billion Foxconn factory complex in Wisconsin was supposed to be evidence that the manufacturing revival fueled by President Donald Trump's "America First" policy is well underway.
But an announcement this week by Harley-Davidson that it is moving some production of motorcycles overseas to avoid tariffs is fueling unease in Wisconsin — a state Trump barely won and where fellow Republican Gov. Scott Walker is on the ballot in just over four months.
The contrasting news — Harley is based just 30 miles (48.28 kilometers) north up the interstate in Milwaukee — provides the backdrop for Trump's visit Thursday where he'll speak at the Foxconn site and hold a closed-door fundraiser just a couple miles away from Harley's headquarters.
Walker is counting on a strong economy as part of his case for re-election. Wisconsin's unemployment is at record-low levels and Walker argues that the Foxconn project, the largest economic development deal in state history, shows that Wisconsin is on the right track.
Billionaire Terry Gou, chairman of Foxconn Technology Group, right, listens as Scott Walker, governor of Wisconsin, speaks during an event in the East Room of the White House in Washington, D.C., U.S., on Wednesday, July 26, 2017.Andrew Harrer | Bloomberg | Getty Images
When the deal, reached with the assistance of the Trump White House, was signed last year, Walker said critics could "suck lemons" and "all of us in the state should be smiling, Republican and Democrat, doesn't matter."
A year later, opinion polls show Wisconsin voters are split on the project and the state of the economy.
"I read conflicting reports," said Katherine Wikoff, 58, a professor at the Milwaukee School of Engineering who doesn't align with either political party. "I read many positive things. And, here and there I'll see things that don't look so good."
Wikoff said she has concerns about increasing traffic and environmental impacts of the Foxconn project, including water usage, but also said it could spur more economic development.
"Foxconn could be sort of a catalyst for a lot of really exciting things happening," she said.
Tom Deisinger, a 60-year-old banker who said he's not affiliated with either political party, said he was "fairly bullish" on the economy overall and the Foxconn project.
"What I hear from talking to other business owners, they feel pretty good about the economy, too," he said. "Employment is strong. It's actually become an issue for us. You know, finding qualified candidates for not just entry-level jobs, but really any level jobs. It's getting harder and harder."
Trump's visit comes as he is trying to keep Wisconsin and other upper Midwest states in his column. Trump visited Minnesota last week and North Dakota on Wednesday.
Trump carried Wisconsin by less than 1 point — just under 23,000 votes. He's underwater in popularity, with only 44 percent of respondents in last week's Marquette University Law School poll approving of the job he's doing, while 50 percent disapproved.
VIDEO3:3403:34Trump: Made in the USA is happening very quicklyPower Lunch
Republicans were mostly unified in support of Foxconn, saying it is a once-a-generation opportunity to transform the state's economy. But most Democrats — including all eight of those running against Walker — are against it, arguing the potential $4.5 billion in taxpayer subsidies was too rich. If paid out — they're tied to jobs and investment benchmarks — the incentives would be the most paid to a foreign company in U.S. history.
"Scott Walker is part of the Trump-Walker axis that is hurting Wisconsin, hurting America," said Democratic gubernatorial candidate Matt Flynn, who says if elected he will sue to stop the Foxconn project. "He is simply obedient to Trump."
The Marquette poll released last week showed 46 percent think the state is paying more for the plant than it's worth, while 40 percent think it will provide at least as much value as the state is investing.
Deisinger thinks it's worth it.
"I just think in general the employment opportunities and the other offshoot businesses, there's just a lot of opportunity that will come of that," Deisinger said. "It's a big price for the state to pay (incentives), but to make an omelet you've got to break some eggs, right?"
Should Foxconn employ 13,000 workers as envisioned, it would be the largest private-sector employer in Wisconsin.
"Foxconn's state-of-the-art products will be made in the U.S.A. — proudly in the state of Wisconsin!" Walker tweeted Tuesday, as he tried to shift the focus away from Harley-Davidson.
Foxconn is the world's largest electronics contract manufacturer and assembles Apple iPhones and other products for tech companies. Based in Taiwan, Foxconn chose Wisconsin after being prodded by Trump and others, including House Speaker Paul Ryan, whose district will include the plant.
The decision to build its first plant outside of Asia in the United States was viewed by many as a hedge against a possible trade war. Flat-screen liquid crystal display panels will be built on the 20-million-square-foot campus. Those LCD panels will be used for a variety of industries including medicine, security and self-driving vehicles as well as television sets, notebooks and monitors.
VIDEO3:0203:02Wisconsin governor on Foxconn facility in home stateFast Money
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339b9283b129b24dd1ffc5563792b594 | https://www.cnbc.com/2018/06/28/walgreens-boots-alliance-q3-earnings.html | Walgreens shares pull back after initial post-earnings gains | Walgreens shares pull back after initial post-earnings gains
VIDEO2:4402:44Walgreens drags more than 40 points off DowSquawk on the Street
Walgreens Boots Alliance shares sank to a 52-week low Thursday as investors dug into the company's third-quarter earnings results and Amazon announced a potentially disruptive deal.
Shares cratered more than 10 percent in morning trading, at one point hitting a 52-week low of $59.33. Walgreens shares are now down more than 22 percent over the past year. Last September, the stock traded as high as $83.89.
In the latest quarter, the drugstore chain posted revenue of $34.33 billion, topping Thomson Reuters' estimates of $34.05 billion. Net income rose to $1.34 billion, or $1.35 per share, up from $1.16 billion, or $1.08 per share in the period a year ago. After stripping out items, Walgreens earned $1.53 per share beating expectations of $1.48 per share.
The earnings beat, combined with the announcement of a $10 billion share buyback, initially helped boost the new Dow Jones Industrial Average component's stock more than 1 percent in premarket trading. But the stock turned negative as investors dove deeper into the results. Then, after Amazon's plans to acquire online pharmacy PillPack were announced, the stock cratered.
Even without the Amazon announcement, investors were concerned about Walgreens' soft same-store sales numbers, particularly at the front of the store, where the drugstore sells greeting cards, household items and personal care products. But earnings per share were also boosted by stock repurchases the company made, which were larger than analysts expected. Buying back the stock helped lift Walgreens earnings on a per-share basis.
"Man, if you look at the same-store numbers both in the U.S. and the U.K., pharmacy was flat, retail on the front end in the U.S. was down 5 [percent], and the international retail numbers were negative," Raymond James analyst John Ransom told CNBC's "Squawk Box." "Their small wholesale division was the only division that posted positive same-store constant currency."
In the quarter, Walgreens' comparable pharmacy sales in the U.S. were flat compared with the year-earlier quarter. The company said prescription brand inflation was offset by reimbursement pressure and generic drugs.
Comparable retail sales in the U.S. slid 4 percent in the quarter. Drugstores have struggled to keep up as Amazon and other retailers steal away consumers who can find the same items, often at less expensive prices.
Walgreens' gross margin decreased to 22.9 percent in the quarter from 24.2 percent a year earlier, fless than the 23.5 percent expected by analysts polled by FactSet. Its adjusted operating margin dipped to 5.3 percent from 6 percent, shy of the consensus estimate of 5.7 percent.
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3c211323312b573044ddc0a718ad0e3f | https://www.cnbc.com/2018/06/29/a-major-threat-to-stocks-iscropping-up-for-the-second-half-of-2018.html | A major threat to stocks is cropping up for the second half of 2018 | A major threat to stocks is cropping up for the second half of 2018
VIDEO1:0101:01A major threat to stocks is cropping up heading into the second half of 2018Trading Nation
Call it the incredible flattening yield curve.
The narrowing between the 10- and 2-year Treasury bond yields has intensified this year, leading investors to fear a yield-curve inversion — a development that’s traditionally presaged economic recessions.
That’s precisely why the yield curve — and what it implies for the stock market — will be a key measure to watch as the market heads into the second half of the year, said Craig Johnson, chief market technician at Piper Jaffray. He explained on CNBC’s “Trading Nation.”
• The 10-year/2-year Treasury yield curve has flattened to around 32 basis points, its narrowest spread since 2007. This comes as the Federal Reserve’s hawkish stance has sent short-term yields rising, while longer-term rates have not kept pace.
• A flattening curve has historically suggested slowing economic growth, and any inversion that may develop (in which a shorter-term note yields more than its longer-term counterparts) has been a hit to equities.
• This flattening will negatively impact the financials sector, already under pressure this year, and will pose a threat to the broader market heading into the second half of the year.
Bottom line: The yield curve will pose a threat to stocks in the second half of the year, according to Johnson.
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6cb92b394bb42d8d795fa18a6aad2180 | https://www.cnbc.com/2018/06/29/creators-new-autonomous-robot-makes-a-burger-in-5-minutes.html | A robot cooks and assembles burgers in 5 minutes at this new San Francisco restaurant | A robot cooks and assembles burgers in 5 minutes at this new San Francisco restaurant
Creator, a culinary robotics company, designed an autonomous robot that cooks and builds burgers to order.
The machine consists of 20 computers, 350 sensors and 50 actuators that form a robotic assembly line. After you place your order, the machine grinds and cooks the meat. The burger is pushed along a unique conveyor belt, where it gets additional toppings that are all sliced to order. It even cuts and toasts the buns.
Creator's burger robotCreator
The entire process takes 5 minutes and costs only $6. Humans are still required to take orders, refill the machine and deliver your burger.
Creator's storefront is located in San Francisco's SOMA neighborhood. It opens to the public in September 2018.
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f639bb9e372fe15b40bce55e5dea0eb1 | https://www.cnbc.com/2018/06/29/el-erian-bitcoin-is-a-buy-below-5000-is-not-a-good-idea-for-all-.html | Why El-Erian's views on bitcoin may not work for you | Why El-Erian's views on bitcoin may not work for you
A visual representation of the digital Cryptocurrency, Bitcoin, displayed on December 23, 2017 in Paris, France.Chesnot | Getty Images
Bitcoin might be winning back favor in the public eye. , chief economic advisor at Allianz,
The highly volatile cryptocurrency made waves recently after falling 70 percent from its peak, when the price was near $20,000. But today it’s reaching a point where it might be worth considering again. It was trading around $5,870 as El-Erian made his statement on CNBC's “Squawk Box.”
VIDEO2:1202:12Bitcoin will remain but not as a currency, predicts Mohamed El-ErianSquawk Box
Some financial advisors are skeptical, however. Traditionally, bitcoin is not an advisable investment for someone who wants to grow their portfolio, advisors said.
“Regardless of where the price is, any investor should be cautious before investing,” said certified financial planner Douglas Boneparth, president of Bone Fide Wealth and a “By and large cryptocurrencies are speculative and should be treated as such.”
Bitcoin is alluring to many because of the classic risk versus reward scenario it offers, Boneparth said.
“It’s cool, it’s in the news, it’s fresh,” Boneparth said. “But it does not change the rules of the game.”
Priya Malani, founding partner of Stash Wealth, agrees. She said bitcoin is a gamble, not an investment.
“If you want to gamble with your money you might as well go to Vegas, it’s much more fun,” she said.
For those who still want to buy in, she said clients could take out a tiny portion of their investments to purchase bitcoin. She said it should be 3 percent or less.
If you want to gamble with your money you might as well go to Vegas, it’s much more fun.Priya Malanifounding partner, Stash Wealth
Not all financial advisors are against investing in bitcoin.
“I believe that certain crypto assets, bitcoin and ethereum, are poised for a strong future,” said Ric Edelman, founder and executive chairman of Edelman Financial Services. But, investors “have to stay very long-term focused and recognize that it’s still the Wild West.”
He said that cryptocurrencies are a legitimate asset class to diversify your portfolio, but for any investor it should make up less than 5 percent.
“You have to treat it as lottery tickets, be prepared to lose what you invest,” Edelman said. In addition, he said investors should also look at investing strategies like dollar-cost averaging, investing a specific amount of money at a consistent interval, to help reduce risk.
You have to treat it as lottery tickets, be prepared to lose what you invest.Ric Edelmanfounder and executive chairman, Edelman Financial Services
Other advisors might not recommend investing in bitcoin specifically, but see value in the cryptocurrency industry.
“It is an emerging industry, and we are in the early innings,” said Joe Elsasser, president of Covisum, a financial planning software company. He said to look across the industry to invest.
“It’s dangerous to try to pick one company or one currency and expect that if we fast forward 10 years that one will be the winner,” he said.
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3c2e93b7686658023269525ad4316a4f | https://www.cnbc.com/2018/06/29/guinness-is-to-open-its-first-us-brewery-in-more-than-60-years.html | Guinness is to open its first US brewery in more than 60 years | Guinness is to open its first US brewery in more than 60 years
Leon Neal | AFP | Getty Images
Guinness is to open a brewery in the U.S. for the first time in more than 60 years, following an $80 million investment.
The brand’s owner Diageo said in a statement Thursday that the brewery near Baltimore will include a visitor centre, a 270-seat restaurant and a tap room. It added that around 200 jobs will be created.
Guinness was established in Ireland in 1759 and its dark stout has grown into a world famous brand. The beer-maker said none of the company’s stouts will be brewed in Maryland, however, with the site initially focused on producing lager.
According to the Beer Institute’s 2016 report, the U.S. drinks industry contributes more than $250 billion to the economy each year. But the sector is undergoing rapid change as younger consumers turn away from big U.S. brands in favor of European labels or domestically-produced craft beer.
"The USA is probably the most dynamic and exciting beer market in the world right now, and, put simply, we'd like to be closer to the action," Diageo said in a statement.
"Having a brewery in the USA will help us understand and respond to trends more quickly, as well as brew smaller batches and get them to market faster," it added.
Guinness currently brews in 49 countries, but until now has had a limited footprint in the United States. The firm briefly owned a brewery in New York from 1949 to 1954.
The Baltimore site will officially open on August 3.
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bdc8cd92172a4643515ffa7a34817032 | https://www.cnbc.com/2018/06/29/koch-network-joins-coalition-of-scotus-nominee-supporters.html | White House asks billionaire Koch network and others to join activist coalition to lobby for SCOTUS nominee | White House asks billionaire Koch network and others to join activist coalition to lobby for SCOTUS nominee
Charles KochPatrick T. Fallon | The Washington Post | Getty Images
Americans for Prosperity, a group backed by billionaire industrialist Charles Koch, is getting ready for a fight that if won could help enshrine its policy priorities for decades to come.
It has been asked by White House officials to join a coalition of political advocacy groups that will provide key public support and promote President Donald Trump’s Supreme Court nominee, who will replace longtime senior associate Justice Anthony Kennedy, two people with direct knowledge of the matter said.
Americans for Prosperity has already publicly committed to spending up to seven figures in support of a Supreme Court nominee, provided the choice is of the same mold as Justice Neil Gorsuch.
However, the coalition expects to receive regular briefings and updates by Trump’s administration as officials go through the nomination process, those same people say.
VIDEO0:4700:47Conservative donor David Koch to retire from Koch IndustriesNews Videos
It’s unclear which other groups have been called upon to work with Trump’s team, but those that supported Gorsuch’s nomination in 2017 include The Judicial Crisis Network and the Federalist Society. The JCN already has initiated a seven-figure ad campaign on cable TV and digital platforms calling those Trump is considering to replace Kennedy “the best of the best.”
So far, AFP has reaffirmed to the White House that it will back any of the nominees that are on the list the administration publicized in November 2017, but conversations are likely to intensify as the administration comes closer to making its final decision, a person familiar with the plan says.
When asked about the coalition, a White House official said, "All supportive organizations and individuals are receiving the message from the White House that the president is going to choose a quality nominee with the right experience, intellect and temperament.”
The official stressed that there has been no effort to make direct requests of outside organizations yet.
A spokesman for AFP declined to comment.
The Koch network’s activism in the Supreme Court decision is just the latest in a string of issues on its hit list.
Prior to Kennedy’s sudden announcement to step down from the bench, AFP had been privately and publicly lobbying the Trump administration to stick to its original list for any potential Supreme Court nominees.
Its extensive work to push for Gorsuch to become part of the Supreme Court in 2017 included its grassroots organizations launching three waves of direct mail campaigns and a series of targeted digital ads in 12 key states in support of him.
Sarah Field, AFP’s vice president of judicial strategy, explained in an interview that their standards for Kennedy's replacement are the same as those for Gorsuch. She would not say who they believe is the best replacement for him beyond the 24 names on the widely distributed list.
“We’ve been consistent in looking at judicial philosophy. We want someone who respects the constitution and who is not going to legislate from the bench,” Field said. “Those were the same standards for the Gorsuch confirmation, and we have the same standards now. We are excited by the list and excited by those on the list.”
She declined to comment about participating in the Trump administration's coalition to back its nominee.
The network has also been involved with advocating for tax reform, repealing parts of the Dodd-Frank Act and cutting back on government spending, among other issues.
VIDEO0:4800:48Billionaire Koch brothers will spend millions to oppose Trump's tariffsNews Videos
Outside groups like the Koch network never play a role in the administration’s choice, according to Leonard Leo, Trump’s judicial advisor, who recently took a leave of absence from the Federalist Society to help the White House with the confirmation process.
“This administration has already been through this process once with the nomination of Gorsuch. They are very familiar with a whole range of different candidates, and this is a process that is run internally by the White House counsel,” Leo said. "They don’t need any outside assistance on that and they wouldn’t ask for it," he added.
He also explained that last time the White House interviewed candidates, the brain trust included Trump’s advisors including former White House chief strategist Steve Bannon, who later resigned from his post.
“There was a committee of people including Vice President Mike Pence, then chief of staff Reince Priebus, White House Counsel Don McGahn and Steve Bannon. They did an interview of all the prospective candidates. They recommended three, and then they picked Gorsuch from that group,” Leo said.
Kennedy, who announced his retirement on Wednesday, was appointed by President Ronald Reagan. While conservative, he is considered a centrist and has been the swing vote on the Supreme Court.
With his July departure looming, conservatives now have the chance to install a jurist who will give them a solid five-vote majority on the high court.
That addition could lead to the repeal of abortion rights, expand protections for gun owners and result in stricter immigration policies.
The leading candidates to replace Kennedy all come from the same conservative cloth as Gorsuch.
The top contenders are reportedly Judge Amy Coney Barrett of Indiana of the U.S. 7th Circuit Court of Appeals, and Judge Brett Kavanaugh, a former law clerk for Kennedy who serves on the U.S. Court of Appeals for the D.C. Circuit.
Others under consideration include Judge Thomas Hardiman of Pennsylvania, who sits on the 3rd Circuit and was the runner-up last year for the opening left by the death of Justice Antonin Scalia that Gorsuch filled.
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64c25d8578ec6657f64dc63f37130cb0 | https://www.cnbc.com/2018/06/29/spacex-launches-an-ai-robot-mousetronauts-and-strong-coffee-for-.html | SpaceX launches an A.I. robot, 'mousetronauts,' and strong coffee for the International Space Station crew | SpaceX launches an A.I. robot, 'mousetronauts,' and strong coffee for the International Space Station crew
A SpaceX rocket that flew just two months ago with a NASA satellite roared back into action Friday, launching fresh space supplies for the International Space Station.
The used Falcon rocket blasted off before dawn, hauling nearly 6,000 pounds (2,700 kilograms) of cargo, including the first robot with artificial intelligence bound for space, genetically identical mice, or mousetronauts, and super-caffeinated coffee for the crew of the International Space Station.
The shipment — packed into a Dragon capsule that’s also recycled — should reach the station Monday.
It was an especially gorgeous launch, delighting spectators as the rocket plume expanded in the clear night sky like a giant halo.
This marked SpaceX’s fastest reflight of a booster. The same first-stage booster launched the planet-hunting Tess satellite in April. The capsule, meanwhile, flew in 2016.
Aiming to lower launch costs by reusing rockets, SpaceX did not retrieve the booster for another flight and, instead, ditched it in the Atlantic. The company is switching to a new and improved line of boosters.
The space station and its six inhabitants were sailing 250 miles above the South Pacific when the Falcon 9 took off.
The Dragon will deliver 20 brown female mice, half of them genetically identical from one strain or family, and the other half identical from another family. Northwestern University researchers want to study the bacteria in the animals’ guts and compare them to their identical sisters on the ground. They did the same with Scott and Mark Kelly, NASA’s former identical twin astronauts, during Scott’s yearlong space station mission a few years ago.
Sixty packets of Death Wish Coffee from New York state also are going up. A former astronaut helped arrange the java delivery for the space station’s Serena Aunon-Chancellor, a coffee lover.
And then there’s the A.I. robot Cimon, pronounced Simon, intended for German astronaut Alexander Gerst. Slightly bigger than a basketball, the round, 3D-printed German Space Agency robot will assist Gerst with science experiments. IBM provided the A.I. brain. Cimon will remain indefinitely on the orbiting lab, continually getting updated via IBM’s Cloud.
Cimon stands for Crew Interactive Mobile Companion. The name also refers to the genius doctor in the science fiction tale “Captain Future.”
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b6bb94fa9bc26e2800e7569f72cf8255 | https://www.cnbc.com/2018/06/29/the-irs-new-tax-forms-are-out-heres-what-you-should-know.html?__source=Facebook%7Cmain | The new IRS tax forms are out: Here’s what you should know | The new IRS tax forms are out: Here’s what you should know
Getty Images
Your postcard-sized income tax return is here, but that doesn’t mean you should tune out on midyear tax planning.
On Friday, the U.S. Treasury Department and the IRS announced new updates to Form 1040, the individual income tax return filers use.
Though the form is now “postcard-sized,” filers will still need to pick through additional paperwork — known as schedules — in order to calculate their tax breaks, including the deductions for educator expenses and your health savings account contributions.
“It’s going to take another envelope full of worksheets to get the form down to the size of a postcard,” said Tim Steffen, director of advanced planning at Robert W. Baird & Co.
“But the software is so good these days, most people can handle their taxes themselves,” he said. Indeed, of the 141.5 million returns the IRS had received as of May 11, about 126 million came in via e-file.
Shrunken 1040 aside, it’s time to get cracking on your midyear tax planning and make sure you’re on track to head off a tax bill from Uncle Sam next spring.
Here’s what you should review with your accountant in light of the changes stemming from the Tax Cuts and Jobs Act.
Handed a paycheck, money, paydayAndrey Popov | Getty Images
Under the new law, the IRS overhauled the , which employers use — along with Form W-4 — to determine how much income tax ought to be withheld from your paycheck based on the number of allowances you claim and how much you earn.
If you haven’t had a chance to review your withholding since the new tables came out in February, be sure to do it now.
If you withhold too much, you get a refund next April. But if you’re short, you’ll owe the IRS.
In previous years, it may have made sense for wage earners to withhold less under certain circumstances; for instance, if they itemized deductions.
That may no longer be the case, especially now that the standard deduction has roughly doubled to $12,000 for singles and $24,000 for married filing jointly.
“It’s the worst surprise if you’re under-withheld,” said certified financial planner Debbie J. Freeman, CPA and director of financial planning at Peak Financial Advisors. “I’ve been encouraging a withholding review, especially if you’re an employee in a dual-income household.”
Start here with the IRS’ withholding calculator.
Cultura RM Exclusive/Hugh Whitaker | Getty Images
The new tax code increased the standard deduction but curbed many itemized deductions.
Those changes include a $10,000 cap on the amount of state and local taxes you can claim and the outright elimination of miscellaneous itemized deductions, such as unreimbursed employee expenses and investment fees.
Review your Schedule A, which lists itemized deductions, and strategize with your accountant.
For instance, now might be the time to fight back on high property taxes.
“We are encouraging people to examine their property assessments,” Freeman said. “Don’t be afraid to challenge it and try to get it reduced as much as you can.”
Further, since fewer people will be itemizing, look for tax-efficient ways to pay for things. One way would be to use your health savings account to pay for long-term-care insurance premiums if your balance is large enough to handle the expense, Freeman explained.
Man reviewing financial affairs using investment statementRafe Swan | Getty Images
Here’s another idea: Revisit your investment fees now that you can’t deduct them.
Prior to the Tax Cuts and Jobs Act, you were allowed to deduct investment and custodial fees, trust administration fees and other expenses for managing investments that produce taxable income. Under the old law, you could claim this and other miscellaneous itemized deductions to the extent they exceeded 2 percent of your adjusted gross income.
Though you couldn't take a deduction for traditional IRA fees that you paid directly from the account, under the old law you were able to use other assets to pay those expenses and then take the deduction.
Now, you should think twice: If your IRA is growing rapidly and you have a long time horizon, consider using outside money to pay the fees, said Jeffrey Levine, a CFP/CPA and CEO and director of financial planning at BluePrint Wealth Alliance.
This way, more of your IRA cash continues growing on a tax-deferred basis.
If your time horizon is shorter and you're in conservative investments, it may make sense to deduct the fee directly from the IRA instead.
You can use taxable account dollars to pay your Roth IRA’s costs. This way, you leave your Roth IRA — a pot of tax-free retirement savings — to continue growing.
Camille Tokerud | Getty Images
If you’re charitably inclined but just short of surpassing the standard deduction, consider making two years’ worth of donations in 2018 to get over the hurdle so that you can itemize.
This is known as .
“My suggestion is to do zero or close to zero giving in one year and take the standard deduction,” said Jeff Fosselman, CPA and senior wealth advisor at Relative Value Partners in Northbrook, Illinois.
“The following year, load all of your charitable giving for two years into one,” he said.
If you’re over 70½ and taking required minimum distributions from a traditional IRA, consider transferring that money directly to a qualifying charity.
This move, known as the qualified charitable distribution, allows you to meet your RMDs and your charitable goals at the same time — and you won’t incur income taxes on the distribution.
“If you don’t get a tax deduction for the gift, you may as well do the qualified charitable distribution and not have to report it as income,” said Steffen.
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f3492edbe91db3c88c07a09187f36f9d | https://www.cnbc.com/2018/06/29/why-telemedicine-is-a-bust.html | Why telemedicine has been such a bust so far | Why telemedicine has been such a bust so far
John Lamb | Photodisc | Getty Images
The next big thing in health care? For more than a decade, it was supposed to be telemedicine.
Billions of investment dollars have been poured into apps and websites that offer this virtual consultations with physicians, ranging from Doctor on Demand to American Well. The theory behind them is that millennials would opt for a digital alternative to an in-person physician's visit, if the option were available. And patients in remote, rural areas who are miles away from the nearest doctor would have few alternatives.
But telemedicine is still far from mainstream. Even a study sponsored by a telemedicine provider from late 2017 still found that 82 percent of U.S. consumers do not use it.
Several factors are to blame.
The biggest, and most important, is that many U.S. consumers are still not aware they have the option to chat with their doctor over the phone or via video.
"The awareness piece is a big problem," admits Ian Tong, a physician and the chief medical officer at Doctor On Demand, an app that offers smartphone consultations for $75. Tong believes that part of the problem is the branding of the term "telemedicine," which isn't particularly descriptive, so he's opting to use the term "video visits" instead when he talks to patients about it.
Another setback: Patients heard of telemedicine apps often fear the expense, especially if it's unclear whether they can use their health insurance. And in some cases, the apps are offering cash prices that are out of reach. $75 might be a stretch for some.
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Another common theme is that the doctors who are willing to work with app makers are inexperienced, or low-quality. Companies like Doctor on Demand will say they go out of their way to vet — and pay for — the best clinicians. But there is some merit to this concern, especially with the lower-quality services.
In 2016, researchers posing as patients turned to 16 different telemedicine apps to diagnose skin issues. The results? Some of the online doctors misdiagnosed conditions like syphilis, others prescribed unnecessary meds, and two of the sites used doctors who aren't licensed to practice in the state the patient was located. The authors concluded that these apps repeatedly missed diagnoses by failing to ask simple, relevant questions.
Finally, even in the digital age, a lot of people simply want to see their doctor in person. They're not Luddites. But sick, vulnerable people often need in-person reassurance from another human being in the room. A smartphone app simply won't cut it.
Roy Schoenberg, the CEO of American Well, believes that doctors, insurers and employers will increasingly inform their patients about the option to use telemedicine, which will help consumers get over many of their fears. If they've already got a relationship with that doctor, a virtual consult might seem like an easier alternative to getting across town to a doctor's office and sitting in a waiting room.
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But getting doctors to jump on board is easier said than done, and takes time. Many are afraid of liability, as it's possible to miss something during a remote visit. And for years, it wasn't clear whether they would get paid as much as an in-person visit. Reimbursement questions are still getting resolved across different states, but most of the commercial and government plans are on board with the idea of telemedicine -- at least in specific circumstances.
Another marketing boost for telemedicine could come from the big tech companies. American Well got its a plug from Apple, which announced it would work with the company for its heart-health study, so that participants could get easy access to a doctor's office if they needed it.
Finally, many consumers who use high-quality telemedicine apps are spreading the word. "Consumers are realizing that it can all be done via an app, whether it's getting a prescription, an exam or ordering labs," said Doctor On Demand's Tong. "There's no need to sit in that waiting room anymore."
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afe816c53dd15da2123e4c9f0fab8c10 | https://www.cnbc.com/2018/07/02/about-55-million-americans-have-no-emergency-savings.html | The first thing you should know about saving money | The first thing you should know about saving money
VIDEO1:2801:28Here’s the 411 on how to kick-start your emergency fundPersonal Finance
A single unplanned expense could send millions of Americans into a financial tailspin.
Across nearly all ages and generations, from millennials to baby boomers, one-quarter of Americans, or roughly 55 million people, said they had nothing saved in an emergency fund, according to a Bankrate.com survey of 1,000 adults conducted last month. (The Silent Generation — over age 73 — were much more likely to have something set aside.)
Overall, however, Americans are doing a better job at saving.
Americans with enough savings to cover three to five months of expenses edged higher to 18 percent, from 17 percent last year. Those with some savings, but not enough to cover three months' expenses, rose to 22 percent from 20 percent — which is an improvement but still not great.
“Many Americans are kidding themselves if they have less than three months’ worth of expenses in emergency savings and claim to have any level of comfort with that,” Bankrate's Greg McBride said in a statement.
McBride recommends stashing at least a six-month cushion to cover anything from a dental bill to a car repair — but more if you are the sole breadwinner in your family or in business for yourself.
Generally, the likelihood of having saved at least six months of expenses increases steadily with age, Bankrate said. More than a third, or 36 percent, of boomers and 42 percent of those in the silent generation had achieved that saving milestone.
To get there, McBride suggests paying yourself first.
"Set up a direct deposit from your paycheck into a dedicated savings account. If you wait until the end of the month, nothing will be left over," he said.
If there is, in fact, a surplus once all expenses have been paid out, "that gives you a second bite."
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51009114820c46cb23ba1f2f6b8ec29f | https://www.cnbc.com/2018/07/02/best-and-worst-ways-to-borrow-money.html | The best and worst ways to borrow money | The best and worst ways to borrow money
"2 Broke Girls" on CBS.CBS Photo Archive | Getty Images
If you’re like most people, chances are you’ll need a loan at some point to make ends meet.
Over the past few decades, Americans have taken on increasing amounts of debt to get by. About 80 percent of American households now hold some form of debt, according to the Pew Charitable Trusts' survey of American family finances. And less than half, or 46 percent, reported making more than they spend.
But when you are short on cash, not all types of borrowing are created equal. Here are some of the best and worst loans out there.
Credit cards are one of the most common — and also one of the most expensive — ways to borrow money. Because card issuers charge much higher interest rates than other types of lenders, carrying a credit card balance can quickly escalate out of control.
Currently, credit card rates are at a record high, at an average of about 17 percent, according to Bankrate, and the average American has a credit card balance of $6,375, up nearly 3 percent from last year, according to Experian's annual study on the state of credit and debt in America.
Good credit card management boils down to making payments on time and relying on revolving credit only in limited situations, according to Greg McBride, Bankrate.com's chief financial analyst.
If you are planning a big purchase, like a large appliance for example, a zero-introductory credit card offer could be a worthwhile way to secure a short-term loan with no interest, as long as the purchase is paid off by the time the introductory period ends, he said.
Otherwise, only buy things with plastic that you can afford to pay off at the end of the month.
Before the Great Recession and the historic housing crash, homeowners used their homes to access as much cash as the bank would allow. But borrowers who were burned by falling housing prices, not to mention today's tighter lending standards, are considerably more wary now when it comes to home equity loans and lines of credit — despite the more favorable terms.
Still, the amount of equity today's homeowners are able to tap is at the highest level on record.
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One of the most common ways to tap that equity is through a cash-out refinance (which is when you refinance your current mortgage and take out a bigger mortgage) or a home equity loan.
A home equity loan can be withdrawn as a lump sum with a fixed rate and a repayment period generally of five to 15 years or as a home equity line of credit with a variable rate.
The average interest rate on a home equity loan is 5 percent to 6 percent, but under the new tax law the money must be used to improve your home, otherwise the interest is not tax deductible.
Personal loans, or unsecured loans, do not require borrowing against something of value, like a house, which makes them particularly attractive for those without that kind of equity. However, that generally means the loans are available at a higher interest rate than a home equity loan.
Personal loans are also locked in over shorter terms, like one to five years, and payments are generally automatically deducted from a checking account, which decreases the odds of missing a payment or defaulting.
Personal loans are well suited for smaller loan amounts than a typical home equity loan, but more than one would want to run up on credit cards — generally, anything up to $35,000.
A number of online lenders, like Lending Club and Prosper, have popped up in recent years to offer these types of loans as another way to borrow money, particularly for millennials who may want to consolidate their debt but don't have the home equity for a secured loan to do it.
The average interest rate on an unsecured loan is currently about 11 percent, according to Bankrate, although those with very good credit can get a rate as low as 5.5 percent. That's notably less than the APR on a credit card.
Although many financial advisors say 401(k) loans should be off-limits entirely, federal law allows workers to borrow up to 50 percent of their account balance, with a maximum of $50,000.
Borrowers then have up to five years to pay back their loan, which comes with an interest rate that typically is lower than other with other borrowed money, such as credit cards.
A 401(k) loan sounds innocent enough, but it is a permanent setback to your retirement planning.Greg McBrideBankrate's chief financial analyst
There is a significant downside to borrowing from your own retirement account. “A 401(k) loan sounds innocent enough, but it is a permanent setback to your retirement planning,” McBride said.
“You spend resources replacing money you borrowed instead of making new contributions, and you miss out on potential capital gains, dividends and interest income during the time the loan in outstanding.”
On top of that, if you leave your employer, by choice or otherwise, the loan balance will be due within 90 days.
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c4cd0173748738ae46828f1b75b33909 | https://www.cnbc.com/2018/07/02/more-millennials-sign-prenups-before-marriage.html | How millennials are getting smarter about marriage | How millennials are getting smarter about marriage
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They're not as popular as avocado toast, yet prenups are trending among the millennial generation.
Just more than half of the attorneys in a recent survey cited a boost in the number of millennials requesting prenuptial agreements, according to the American Academy of Matrimonial Lawyers. Only 2 percent saw a decrease among 18-to-34-year-olds.
Across the board, 62 percent of the lawyers polled have seen an increase in the total number of clients who are seeking prenups during the past three years, the AAML said. That follows a fivefold increase in prenuptial agreements over the past 20 years, according to Arlene Dubin, chair of the matrimonial and family law practice of Moses & Singer in New York.
Millennials, in particular, are entering into marriages later, which may mean they have more to protect in the event of a divorce.
In part because of their financial obligations, nearly one-third of millennials said they were putting off getting married and 38 percent said they postponed having children, according to a TD Ameritrade survey of 1,000 adults age 18 and older.
Millennials are predisposed to protect their interests.John Slowiaczekpresident of the American Academy of Matrimonial Lawyers
Millennials are also proactively choosing to make such significant sacrifices for career advancement, according to a separate survey by Wakefield Research for Graebel, a corporate relocation service. About 71 percent would be willing to postpone marriage and 72 percent would be willing to delay having children to relocate for a job in a desired location, Wakefield Research said.
"They've been on their own, accumulated some wealth, either from a 401(k) or a stock program provided by their employer or some real estate, and they want to make sure that's theirs if there are problems down the road," according to John Slowiaczek, president of the AAML.
In fact, the top three areas most commonly covered by the marriage contracts were "protection of the increase of value in separate property" followed by "inheritance rights" and "community property division," the AAML said.
Couples aren't just bringing assets to a marriage these days. They are also saddled with outstanding student loan debt, which now stands at a record $1.5 trillion.
Prenups, which safeguard individual assets such as retirement accounts, real estate and investments, can also cover one partner's student loan or credit card debt.
Aside from the bottom line, their own experience may also play a role, Slowiaczek said. "Many millennials are children of divorce," he said. "They are predisposed to protect their interests."
In that case, a prenup also offers the chance to hash out how a divorce handles issues, such as how a partner might be compensated for leaving the workforce to care for their children.
PeopleImages | Getty Images
And then there's Tinder. "The social dynamic has changed," Slowiaczek said. A large number of millennials have group dated, or relied on dating apps like Tinder, "rather than having a single date where they could establish a relationship," he said. "I wonder whether they have the romantic commitment to marriage that older generations have had."
Only 42 percent of millennials believe marriage is a life goal, according to a separate study by Avvo, an online legal marketplace.
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a5d1682af5cf7d27c6a2830d5ae8cf1a | https://www.cnbc.com/2018/07/02/officials-identify-a-source-in-the-romaine-lettuce-e-coli-outbreak.html | Officials identify a source in the romaine lettuce E. Coli outbreak | Officials identify a source in the romaine lettuce E. Coli outbreak
A man shops for vegetables beside Romaine lettuce stocked and for sale at a supermarket in Los Angeles.Frederic J. Brown | AFP | Getty Images
The strain of E. coli bacteria that contaminated romaine lettuce and was tied to the deaths of five people was found in a tainted irrigation canal in Arizona, federal officials said on Thursday.
The outbreak appeared to be over, more than three months after the first illnesses were recorded, the Centers for Disease Control and Prevention said.
Samples of canal water in the Yuma area of Arizona were found to contain the same genetic strain of E. coli that caused the outbreak, Dr. Scott Gottlieb, commissioner of the federal Food and Drug Administration, said in a statement.
More from the New York Times:
E.Coli deaths linked to romaine lettuce, officials say
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When eight inmates at an Alaska prison got sick, F.D.A. investigators traced the illness back to whole-head romaine lettuce that was harvested from Harrison Farms in the Yuma area. Health officials said the lettuce that caused the national outbreak was linked to many farms in the region. Representatives of Harrison Farms could not be reached for comment on Saturday.
Questions remain about how the bacteria ended up in the canal.
“More work needs to be done to determine just how and why this strain of E. coli O157:H7 could have gotten into this body of water and how that led to contamination of romaine lettuce from multiple farms,” Dr. Gottlieb said.
Health officials collected water, soil and manure samples from the Yuma region to try to determine the precise source of the bacteria.
Of the five people who died, two lived in Minnesota, and the others were from Arkansas, California and New York, according to the C.D.C. Those sickened were from 36 states.
It was the largest E. coli flare-up in more than a decade. More than 200 people got sick and about half of them had to be hospitalized.
In 2006, nearly 200 people were sickened by tainted spinach in 26 states; a single California produce company was at the center of that outbreak. The most recent contamination was more widespread.
“This is a broader contamination event that impacted a lot of farms and ranches, and then went into the supply chain and amplified out,” said Bill Marler, a lawyer in Seattle who represents more than 100 people who were sickened.
Mr. Marler said many of his clients were still experiencing health problems, such as the effects of kidney failure, after eating contaminated lettuce. Many of those hospitalized developed a type of kidney failure called hemolytic uremic syndrome, according to the C.D.C.
Industry representatives in Arizona are seeking to ensure contaminated water does not affect next year’s crops, which will be planted in August, said Teressa Lopez, a spokeswoman for the Arizona Leafy Greens Food Safety Committee, an organization for producers and shippers of leafy greens.
The organization is waiting for more information from the F.D.A., including how the bacteria got there in the first place and the specific farms that were affected.
Ms. Lopez said potential solutions include finding a different water source for the crops or treating the water with chemicals to ensure it is bacteria-free.
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