Dr. Ed's Blog

Feb 16 (Friday)

Markets
Stocks Are Moving in Tandem. That Can Be Scary (W)
Worries over exotic exchange traded funds deepen (FT)
The Rise of Private Assets Is Built on a Mountain of New Debt (W)
Stock Picking Is a Lost Art in Japan (B)
No need for yen intervention, says Japan finance chief (FT)
Higher Rates Suddenly Fit Bull Case on Stocks (B)

US
U.S. Producer Prices Returned to Upward Path in January (W)
U.S. Factory Output Flat Again in January (W)
Bad News for Buyers: U.S. Mortgage Rates Hit Highest Since 2014 (B)

Europe
France’s Unemployment Rate Drops Sharply (W)

Emerging
China Holdings of U.S. Debt Rose in 2017 by Most in Seven Years (B)
SEC Kills Chinese-Linked Takeover of Chicago Stock Exchange (B)
EM inflation threatens local currency debt investors (FT)

US politics
White House Adviser Cohn Downplays Concerns Over Rising Inflation, Bond Yields (W)
Trump Signs Bill Revoking Obama-Era Gun Checks for People With Mental Illnesses (NBC)

Geopolitics
White House Blames Russia For Massive 2017 Cyberattack (W)

Industries & companies
Consumer: Nestlé Sales Growth Weakens to Slowest in Decades (W)
FAANGs: Critics Call Google Ad Blocker Biased (W)
Financials: Standard Life Aberdeen loses its biggest client (FT)
Industrials: There’s a Boom in Airline Travel, and Jet Makers Are Making the Most of It (W)
Media: Amazon, YouTube, Twitter Are Exploring Bids for NFL Rights (B)

Offbeat
Bitcoin Surges Back Above $10,000 (W)

Feb 15 (Thursday)

Markets
Increase in US inflation sparks bond sell-off (FT)
Dollar Under Siege With U.S. Deficits Back on Wall Street’s Radar (B)
China’s Currency Policy May Be Facing a New Chapter (B)

Central banks
Will the Fed Soon Signal Four Hikes in 2018? Don’t Bet on It (B)

US
Inflation Starts to Make a Comeback (W)
That Obsession With Inflation Didn’t Last Long (B)
Fears of Overheating May Be Overdone (N)
U.S. Retail Sales Started 2018 on Weak Footing (W)
Consumer Comfort in U.S. Jumps Despite Stock-Market Turbulence (B)
Americans Can’t Get Enough Consumer Debt (W)
To Fill Jobs in a Tight Labor Market, Employers May Need to Get Creative (W)
Want Better Pay Than the Bosses? Get a Job in Elevator Repair (W)

Japan
Japan’s Economy Grows for Longest Stretch in 28 Years (W)

US politics
Trump Infrastructure Plan Faces Hurdles Funding Airport Overhaul (W)
IRS to Ban Hedge-Fund Tax Dodge on Carried Interest (B)

Geopolitics
Here’s How You Can Profit From Major Cyberattacks (W)
Trump Will Be the Big Loser If Netanyahu Falls (B)

Industries & companies
FAANGs: Google Must Shine More Light on its Cloud (W)
FAANGs: Google Will Block Spammy Ads (Just Not Many of Its Own) (W)
Health Care: What Stands Between Bezos, Buffett, and Dimon and a Health-Care Fix (B)
Media: Netflix Is Getting Huge. But Can It Get Great? (N)

Technology & cryptocurrencies
The Autonomous Selfie Drone Is Here. Is Society Ready for It? (N)
Should Congress Create a Crypto-Cop? (N)
Next-Generation Crypto-Ledgers Take the Block Out of Blockchain (B)
Munger calls bitcoin ‘totally asinine’ (FT)

Offbeat
Flu Fears Spread in China Ahead of Lunar New Year Holiday (W)

Feb 14 (Wednesday)

Markets
Any Hint of Faster Inflation in Data Could Knock Markets All Over Again (B)
The ‘Goldilocks Market’ Is Over: Lessons From the Stock Selloff (B)
Goldman Strategist Abby Joseph Cohen Changes Bullish Tone (B)

Asset management
Active Funds Shone in Selloff, Just Like They Said They Would (B)
High-frequency traders are gift for stock pickers (FT)
Does Private Equity Really Beat the Stock Market? (W)

Currencies & commodities
Dollar weakens as equities adopt calmer tone (FT)
Shale Output Hasn’t Grown This Fast Since Oil Was at $100 (W)

Central banks
Powell Says Fed Alert to Any Developing Financial Risks (B)
Mester Says Fed Should Raise Rates in 2018 at Pace Similar to 2017 (W)
White House Considering Mester for Fed’s No. 2 Job (W)

US
Record Number of U.S. Small-Business Owners Say It’s a Good Time to Expand (B)
Consumers Maintain Optimistic Financial Outlook in 2018 (FRB-NY)
U.S. Household Debt up $193 Billion (W)
The Disappointing Recovery in U.S. Output after 2009 (FRB-SF)

Europe
German conservatives plan for life after Merkel (FT)

Emerging
What Happened to China’s Baby Bump? (B)
Dawn of the Eurasian century (CapX)

US politics
Blackstone, Private-Equity Firms May Sit Out Infrastructure Push (W)

Geopolitics
Trump Mulls Tariffs, Quotas on Foreign Steel (W)
US trade move against China snared in legal concerns (FT)
China Isn’t America’s Enemy, at Least Not Yet (B)
Britain to test China by sailing ship in disputed sea (FT)
In Shift, U.S. Signals Readiness to Talk With North Korea (W)

Industries & companies
FAANGs: Amazon’s Latest Ambition: To Be a Major Hospital Supplier (W)
FAANGs: Apple pours cold water on special dividends (FT)
Pharma: Drugmakers Funded Groups Promoting Opioid Use, Senator’s Report Says (W)
Restaurants: McDonald’s Bets That ‘Better Chicken’ Can Keep Growth Run Going (B)
Retail: Walmart to Trim Store Management Ranks (W)
Retail: Barnes & Noble Cuts Jobs Following Poor Holiday Season (W)

Technology
Inside Amazon’s Artificial Intelligence Flywheel (Wired)

Corporate finance
NXP Deal Is Likely Qualcomm’s Best Defense Against Broadcom
Walgreens Makes Takeover Approach to AmerisourceBergen (W)

Offbeat
Police Recommend Charging Netanyahu With Bribery, Fraud (W)

Feb 13 (Tuesday)

Markets
Dow closes more than 400 points higher after its worst week in 2 years (C)
Morgan Stanley Strategist Who Predicted Volatility Says Buy Now (B)
Dalio Says ‘We’re Past the Top’ in Bonds, Sees Rising Risks of a U.S. Recession (B)
Bridgewater Takes Short Bet Against Europe to $14 Billion (B)
Tech ETF Hit by the Largest Outflows Since the Dot-Com Crash (B)
Tighter monitoring for computer trading demanded (FT)

Central banks
The Fed is officially in a nail-biting showdown with Wall Street (BI)

US
Is the U.S. Due for a Recession? (FRB-SL)
A Long Era of Low Health Care Inflation May Be Coming to End (B)

Europe
Germany’s SPD fights to restore order ahead of vote (FT)
Italy’s Five Star wants EU debt restructuring push (FT)

US tax reform
The Tax Law Is About to Make Analyzing Earnings Trickier (W)

US politics
Trump is announcing a huge $1.5 trillion infrastructure plan — here’s what’s in it (BI)
Legislative Outline for Rebuilding Infrastructure in America (White House)
Trump Proposes $4.4 Trillion Budget for Fiscal 2019 (W)
Trump’s Deregulation Has Had Little Economic Impact, Goldman Says (B)

Geopolitics
US open to direct talks with North Korea, says Pence (FT)
Tillerson: Too Early to Assess Latest North-South Korea Overtures (W)
New Formula: Pressure Plus Diplomacy on North Korea (W)

Industries & companies
Consumer: Kraft Heinz Made Its Factories Really Efficient. Now It Has to Sell Bologna (W)
FAANGs: Apple Backs Maker of OLED Screens for Augmented-Reality Devices (B)
Financials: Ten Years After the Crisis, Banks Win Big in Trump’s Washington (B)
Media: Unilever threatens to pull ads from tech platforms (FT)
Tech: Tech companies are the new investment banks (FT)
Tech: Oracle Leaps Into the Costly Cloud Arms Race (W)

Corporate finance
Broadcom Secures as Much as $100 Billion of Debt Funding for Qualcomm Bid (W)

Technology
European banks break ranks over cryptocurrencies (FT)

Offbeat
Trump wants to have a massive military parade (BI)

Feb 12 (Monday)

Markets
‘Bond vigilantes’ are saddled up and ready to push rates higher, says economist who coined the term (C)
After Correction Pain, More Market Gain? (BR)
Seat Belts Fastened: Volatility Ahead (BR)
Bonds Behaving Well: A Tale of Two Markets (BR)

US
America’s extraordinary economic gamble (E)

Europe
Britain has exported its political mess to Germany (FT)

China
Why China Isn’t Worried About a Slowdown in this Lending Market (W)
There’s a Global Race to Control Batteries—and China Is Winning (W)

US politics
Sizing Up the Trumponomics Gamble on Deficit Spending and Inflation (W)
New Tax Law Haunts Companies That Did ‘Inversion’ Deals (W)

Geopolitics & cybersecurity
Inside North Korea’s Hacker Army (B)

Industries & companies
FAANGs: What It Would Take for Amazon to Become UPS or FedEx (W)
FAANGs: Amazon Is Turning These Four Cities Into Grocery Battlegrounds (B)
Financials: Looser Regulation Means Bigger Bank Payouts (BR)

Technology & cryptocurrency
Home-made drones now threaten conventional armed forces (E)
Bitcoin and its rivals offer no shelter from the storm (E)

Offbeat
Experimental Drug Promises to Kill the Flu Virus in a Day (W)

Feb 10 (Saturday)

Markets
Stocks Rebound as Wild Week Closes (W)
The Stock Market Isn’t the Economy. Here’s How They Can Shape Each Other (N)
China’s Inflation Is Easing as Global Markets Fear Price Gains (B)
China Ends 25-Year Wait as Yuan Oil Futures to Start Trading (B)

US
As Inflation Fears Roil Markets, Firms Face New Pressure to Raise Prices (W)
The U.S. Is Running Out of Truckers (B)
Empty Cockpits Are a Problem for the U.S. Air Force (B)

Geopolitics
Trump ‘energy dominance’ policy pits Washington against Moscow (R)

Industries & companies
Consumer: PepsiCo Dips Its Toes Into the Sparkling Water Market (N)
Media: Viacom Inches Closer to a Deal (W)

Corporate finance
Didi Ties Up With SoftBank to Give a Lift to Japanese Taxi Companies (W)
Qualcomm warns of customer losses, legal hazards to Broadcom buyout (R)

Technology & cryptocurrency
Uber Agrees Not to Use Waymo Technology in Self-Driving Cars (W)
Bitcoin dives as regulators call for cryptos to be reined in (FT)
Barclays in U.S. set to join cryptocurrency credit card ban: report (R)

Feb 09 (Friday)

Markets
U.S. Stocks Plunge Into Correction (W)
A fundamental change is underway in the financial markets, and it will not be pleasant (C)
‘Fundamentals Are Strong.’ Stocks May Have a Different Opinion (B)
Is This Obscure Wall Street Invention Responsible for the Market Selloff? (W)
GOLDMAN SACHS: Here are the 3 areas of the stock market to buy following the meltdown (BI)
Emerging Markets Hang Tough During Global Selloff (W)

Central banks
Fed’s Dudley Sticks to His Outlook, Calls the Market Moves ‘Small Potatoes’ (B)
Neel Kashkari says he has one word for people who complain about the Fed’s low interest rate policy (BI)

US
Why Is Inflation So Low? (FRB-SL)
JPMORGAN: Investors stressing over inflation should pay close attention to one peculiar trend (BI)
The corporate debt problem refuses to recede (FT)

Europe
France warns of ‘red line’ over eurozone reform (FT)
Spain sheds ‘peripheral’ tag as borrowing costs fall (FT)

China
Chinese Yuan Slides to Biggest One-Day Drop Since 2015 Devaluation (W)
China’s Yuan Toppled From Two-Year High as Trade Data Surprises (B)

Geopolitics
Kim Jong Un’s Sister, South Korea’s President to Do Lunch (W)
Lawmakers Press Trump Administration on Nafta Dispute Resolution (W)

Industries & companies
Consumer: Kellogg’s Problem: Americans Aren’t Eating as Much Cereal (W)
FAANGs: Amazon to Deliver Whole Foods Groceries (W)
FAANGs: Getting Your Product on Shelves at Whole Foods Just Got Harder (W)
Financials: AmEx’s Biggest Problem May Be All Those Executives It Let Leave (B)
Tech: Twitter Notches First Profit, and Shares Leap (W)

Corporate finance
Qualcomm Rejects Broadcom’s Latest Proposal (W)
Boeing in Talks to Buy Aerospace-Parts Maker Woodward (W)
Yum Brands Buys 3% Stake in Food-Delivery Service GrubHub (W)
What a Tech Giant Wants With a Boring Reinsurer (W)

Cryptocurrency
ECB’s Mersch Says His Payment System Is Better Than Blockchain (B)
Cryptocurrency comes storming back after a blockbuster regulatory hearing on Capitol Hill (BI)
City of Berkeley Looks to Cryptocurrency to Raise Funds (B)
Cryptocurrency exchange Binance suspends trading (FT)

Technology
A Florida Monorail Makes Way for the Robot Bus of Tomorrow (B)

Feb 08 (Thursday)

Markets
Warning Sign Behind Market Swings (W)
The robots vs. robots trading that has hijacked the stock market (WP)
Retirement Savers Fled Equities in Market Selloff (B)
Five Reasons for Optimism About This Market (B)
Don’t Mistake the Stock Market for the Economy (B)
Amid Market Turmoil, Where’s China? (B)

Central banks
After Market Turmoil, Fed Officials Stand Firm on Rate Path (W)
Fed’s Dudley Says Stock Volatility Hasn’t Changed His Outlook (W)

US
U.S. Student Debt and the Hope of Affordable Education (W)

Europe
Germany’s parties reach grand coalition deal (FT)

China
China Takes a Hard Look at Corporate Borrowers (B)
China Adds Facial-Recognition Glasses to Surveillance Arsenal (W)

US tax reform
Allstate CEO Says Tax Overhaul Frees Up Half-Billion in Profit (B)
Prudential Financial Sees Profit Boost From Tax Overhaul (W)

US politics
Pelosi Marathon Speech on Immigration Breaks 1909 House Record (B)

Geopolitics
Kim Jong Un’s Sister to Attend Olympics. Will She Meet Pence? (W)

Industries & companies
Autos: Tesla Says It Is Making Progress on Model 3 Production Issues (W)
FAANGs: Goldman Sachs in Talks With Apple to Finance iPhone Sales (W)
Media: 21st Century Fox Revenue Up but Costs Weigh on Profit (W)

Corporate finance
SoftBank eyes Swiss Re stake worth up to $11bn (FT)

Cryptocurrencies
Cryptocurrencies Are Like Ponzi Schemes, World Bank Chief Says (B)

Offbeat
BlackRock’s Larry Fink Wants to Become the Next Warren Buffett (W)
A Breakthrough Stroke Treatment Can Save Lives—If It’s Available (W)

Feb 07 (Wednesday)

Markets
What on Earth Happened to Stocks? Here’s Where to Cast the Blame (B)
Traders Befuddled: ‘Did Someone Fat Finger This?’ (W)
Strong global economy no comfort to stretched markets (FT)
Don’t Forget What Causes a Recession (B)
ETFs Are Holding Up, Despite Volatility-Linked Trading Madness (B)

Credit & currencies
This Bond Market Could Get Uglier (B)
Market volatility spurs some funds to look again at currency hedging (R)

Central banks
New Fed chair unlikely to alter course after rough start (FT)
The January 2018 Senior Loan Officer Opinion Survey on Bank Lending Practices (FRB)

US
U.S. Trade Gap in December Was Widest in Nine Years (W)
A Closer Look at the Wage Growth That Shook Markets (W)
Will Inflation Eat This Market Alive? (W)

Europe
In Europe, Inflation Could Prove a Surprise (W)
German Factory Orders Surge as Workers Score Labor Deal (B)
German union wins right to 28-hour working week (FT)

Emerging
Modi’s India is on course to top China for growth (FT)

US politics
Mnuchin Says $1 Trillion U.S. Debt Plan Isn’t Affecting Markets (B)

Geopolitics
North Korea ‘months away’ from ability to hit U.S. with nuclear weapon: U.S. envoy (R)

Industries & companies
Autos: GM Posts Loss on Tax Changes, Logs Strong Demand for Pickups and SUVs (W)
Autos: Toyota Is on Track for Record Profit, but Not for the Right Reasons (W)
Energy: BP’s Strong Performance Is Marred by One-Off Charges (W)
Retail: QVC’s Plan to Survive Amazon Might Actually Be Working (B)
Trucking: Trucking Companies Order Most Big Rigs In 12 Years (W)

Corporate finance
‘Any size of deal is possible,’ says chipmaker AMS (R)

Technology
Musk Sends Tesla to Space as World’s Most Powerful Rocket Debuts (B)
Waymo Calls Uber a ‘Cheater’ as Driverless-Car Trial Begins (W)
Apple HomePod Review: Super Sound, but Not Super Smart (W)

Cryptocurrency
Cryptocurrencies Fluctuate as Regulatory Pressure Increases (B)
Bitcoin freeloads on institutions’ trust, warns BIS (FT)
China prepares fresh ICO rules, eyes overseas platforms: China Daily (R)

Offbeat
Democracy continues its disturbing retreat (E)

Feb 06 (Tuesday)

Markets
Dow Cuts Loss in Half After Falling 1,600 Points (W)
Stock Rout Shatters Years of Calm in Markets (B)
Wall Street vet Yardeni: Trump tax cuts will pull stocks out of their current tailspin (C)
Ray Dalio: Recent market declines are just ‘minor corrections,’ still lots of cash to buy the dip (C)
Falling Stocks and Rising Yields Aren’t the New Normal (B)
Trend-Following Quants Were Positioned for This Global Selloff (B)

Credit
Credit Markets to Stock Investors: Calm Down (W)
High-Grade Bonds Look Bulletproof With Spread Tightest in Decade (B)
There’s good news behind higher bond yields (FT)
Global Rout Takes Hold of Junk-Bond and Emerging-Market Funds (B)

Central banks
Stock Selloff Is Starting to Cast Doubt on Fed’s Rate Hikes (B)
Is the Fed’s Inflation Target Kaput? (B)
How Stimulus Made a Soft Landing Harder (W)
A New Perspective on Low Interest Rates (FRB-NY)

US
U.S. Service-Sector Activity Hits Decade-High (W)
GDPNow model forecast for real GDP growth (saar) in Q1 is 5.4% up from 4.2% (FRB-ATL)
First-Time Homebuyers Still Face Headwinds (FRB-SL)

Europe
Merkel, SPD Push Ahead in Government Talks After Missed Deadline (B)

Emerging
Samsung Saga Shows Korea Reform Is Going Nowhere (W)

US tax reform
ECB Sees Risk of Tax Race to the Bottom Following U.S. Reform (B)
Americans abroad hit by Trump’s repatriation tax rules (FT)

US politics
House Speaker Seeks to Keep Safety-Net Overhaul on GOP Agenda (W)

Geopolitics & terrorism
U.S. Says It Has Met Nuke Reduction Target Under Treaty With Russia (W)

Industries & companies
FAANGs: Amazon: Readers, Listen Up: Amazon is Shaking up the Audiobook Market (W)
Financials: Banks Double Down on Branch Cutbacks (W)
Financials: Wells Fargo Rebuke Puts Bank Boards in Fed’s Crosshairs (W)
Tech: Morgan Stanley: Tech stocks look ‘downright awful’ in market getting increasingly worried about ‘unhinged’ inflation (C)
Tech: Tech Giants Are in No Rush to Spend Overseas Cash (W)

Corporate finance
Broadcom Raises Offer for Qualcomm to Over $121 Billion (W)
M&A boom heightens fear of credit cycle nearing peak (FT)

Technology & cryptocurrency
HP Unveils New Color 3-D Printers (B)
Banks, Retailers, China Have All Turned On Bitcoin (F)

Offbeat
U.S. Farmers Are Producing Too Much Food. Here’s Why They Can’t Stop (W)