Oil prices slip, but hold near recent highs

U.S. crude oil prices slipped below $50 per barrel on Monday but stayed close to multi-month highs amid a drop in shale drilling and as refineries continued to restart after Hurricane Harvey. U.S. West Texas Intermediate crude futures were down 30 cents at $49.59, but still close to Thursday’s near-four month high of $50.50. Brent crude futures were 39 cents lower at $55.23 a barrel, near an almost five-month high of $55.99 touched on Thursday. Refineries are also reporting a much better recover


U.S. crude oil prices slipped below $50 per barrel on Monday but stayed close to multi-month highs amid a drop in shale drilling and as refineries continued to restart after Hurricane Harvey. U.S. West Texas Intermediate crude futures were down 30 cents at $49.59, but still close to Thursday’s near-four month high of $50.50. Brent crude futures were 39 cents lower at $55.23 a barrel, near an almost five-month high of $55.99 touched on Thursday. Refineries are also reporting a much better recover
Oil prices slip, but hold near recent highs Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: andrew cullen
Keywords: news, games, cnbc, companies, texas, hold, oil, futures, continued, recent, refineries, slip, high, highs, hurricanes, restart, close, prices, near, cents, crude


Oil prices slip, but hold near recent highs

U.S. crude oil prices slipped below $50 per barrel on Monday but stayed close to multi-month highs amid a drop in shale drilling and as refineries continued to restart after Hurricane Harvey.

U.S. West Texas Intermediate crude futures were down 30 cents at $49.59, but still close to Thursday’s near-four month high of $50.50.

Brent crude futures were 39 cents lower at $55.23 a barrel, near an almost five-month high of $55.99 touched on Thursday.

“Demand forecasts from OPEC and IEA … continued to improve sentiment in the market. Refineries are also reporting a much better recovery from the recent hurricanes,” ANZ bank said in a note.

Oil refineries across the Gulf of Mexico and the Caribbean were restarting after being shut as hurricanes Harvey and Irma battered the region over the past three weeks.

Royal Dutch Shell’s Deer Park refinery in Texas was among the latest, beginning its restart on Sunday. The plant can process 325,700 barrels per day.


Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: andrew cullen
Keywords: news, games, cnbc, companies, texas, hold, oil, futures, continued, recent, refineries, slip, high, highs, hurricanes, restart, close, prices, near, cents, crude


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Gold slips as equities, dollar surge ahead of Fed meet

Gold slipped to its lowest level in over two weeks on Monday as the dollar and equities rallied, while prospects of monetary policy tightening in the United States ahead of a Federal Reserve meeting meeting also weighed on the metal. Earlier in the session, gold hit $1314.36, its lowest since Aug 31. U.S. gold futures for December delivery fell 0.72 percent to $1,315.60 an ounce. “Further risk-taking appetite left gold prices in the dust,” said OCBC analyst Barnabas Gan. Fed funds futures on Fri


Gold slipped to its lowest level in over two weeks on Monday as the dollar and equities rallied, while prospects of monetary policy tightening in the United States ahead of a Federal Reserve meeting meeting also weighed on the metal. Earlier in the session, gold hit $1314.36, its lowest since Aug 31. U.S. gold futures for December delivery fell 0.72 percent to $1,315.60 an ounce. “Further risk-taking appetite left gold prices in the dust,” said OCBC analyst Barnabas Gan. Fed funds futures on Fri
Gold slips as equities, dollar surge ahead of Fed meet Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: getty images
Keywords: news, games, cnbc, companies, equities, monetary, rate, surge, futures, gold, slips, lowest, fed, meeting, meet, dollar, prices, ahead, hit


Gold slips as equities, dollar surge ahead of Fed meet

Gold slipped to its lowest level in over two weeks on Monday as the dollar and equities rallied, while prospects of monetary policy tightening in the United States ahead of a Federal Reserve meeting meeting also weighed on the metal.

Spot gold was down 0.54 percent at $1,3122.13 an ounce. Earlier in the session, gold hit $1314.36, its lowest since Aug 31.

U.S. gold futures for December delivery fell 0.72 percent to $1,315.60 an ounce.

“Further risk-taking appetite left gold prices in the dust,” said OCBC analyst Barnabas Gan.

Asian shares hit a decade high on Monday and the dollar hovered around an eight-week peak against the yen, in the start to a week in which the Fed is likely to announce balance sheet

tapering.

The two-day Fed Open Market Committee meeting, which begins on Tuesday, will be closely watched by markets as the U.S. central bank is expected to announce its balance sheet reduction plans while keeping interest rates unchanged in an effort to “normalize” monetary policy.

“Gold prices also came under some selling pressure, with investors dismissing geopolitical risks and instead focusing on the possibility of rate hikes from central banks,” ANZ analyst Daniel Hynes said in a note.

Fed funds futures on Friday implied traders saw a 53 percent chance of a December rate hike, according to CME Group’s FedWatch tool.


Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: getty images
Keywords: news, games, cnbc, companies, equities, monetary, rate, surge, futures, gold, slips, lowest, fed, meeting, meet, dollar, prices, ahead, hit


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Dollar hits 8-week high vs yen as traders wait for Fed signal

The dollar hit an eight-week high against the yen on Monday, supported by a rise in U.S. Treasury yields, as traders eyed a Federal Reserve meeting starting the next day for clues on whether interest rates could rise again by year-end. It built on those gains on Monday as world stocks hit record highs, suggesting a high appetite across markets for riskier assets, rising half a percent on the day to 111.42 yen. The focus for this week is the Fed’s Sept. 19-20 policy meeting. The Fed is seen likel


The dollar hit an eight-week high against the yen on Monday, supported by a rise in U.S. Treasury yields, as traders eyed a Federal Reserve meeting starting the next day for clues on whether interest rates could rise again by year-end. It built on those gains on Monday as world stocks hit record highs, suggesting a high appetite across markets for riskier assets, rising half a percent on the day to 111.42 yen. The focus for this week is the Fed’s Sept. 19-20 policy meeting. The Fed is seen likel
Dollar hits 8-week high vs yen as traders wait for Fed signal Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: matt cardy, getty images
Keywords: news, games, cnbc, companies, interest, rates, 8week, vs, wait, yen, hits, high, traders, fed, meeting, yields, hike, dollar, rise, week, signal, hit


Dollar hits 8-week high vs yen as traders wait for Fed signal

The dollar hit an eight-week high against the yen on Monday, supported by a rise in U.S. Treasury yields, as traders eyed a Federal Reserve meeting starting the next day for clues on whether interest rates could rise again by year-end.

The greenback recorded its best week against the Japanese currency since November last week, gaining 2.8 percent, as a rise in U.S. yields bolstered its appeal and as data showing a pick up in U.S. consumer prices helped rekindle expectations that the Fed could hike rates again in December.

It built on those gains on Monday as world stocks hit record highs, suggesting a high appetite across markets for riskier assets, rising half a percent on the day to 111.42 yen. That was the dollar’s strongest since July 27.

The focus for this week is the Fed’s Sept. 19-20 policy meeting. The Fed is seen likely to announce a plan to start shrinking its balance sheet at the meeting, but is widely expected to keep interest rates unchanged – for now.

Markets are now pricing in a more than 50 percent chance of a Fed hike by the end of the year, up from only around a 40 percent chance less than a week ago, according to CME FedWatch, having brought forward their bets after a strong U.S. inflation print last week.

But although the dollar has since risen sharply versus the yen, against a basket of major currencies it gained only half a percent last week. It was flat in trading Monday.


Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: matt cardy, getty images
Keywords: news, games, cnbc, companies, interest, rates, 8week, vs, wait, yen, hits, high, traders, fed, meeting, yields, hike, dollar, rise, week, signal, hit


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North Korean missiles: What South Korea can learn from Israel

While officials in Seoul try to figure out how to deal with their erratic, missile-launching neighbor to the north, the key to the puzzle may be 5,000 miles away — in Jerusalem. Officials in South Korea’s defense ministry are now debating how they’ll spend their budget, on the assumption that the country’s parliament will increase it by almost seven percent. But military officials around the world say that even if South Korea’s defense forces get the money, it won’t be enough to deal with the ma


While officials in Seoul try to figure out how to deal with their erratic, missile-launching neighbor to the north, the key to the puzzle may be 5,000 miles away — in Jerusalem. Officials in South Korea’s defense ministry are now debating how they’ll spend their budget, on the assumption that the country’s parliament will increase it by almost seven percent. But military officials around the world say that even if South Korea’s defense forces get the money, it won’t be enough to deal with the ma
North Korean missiles: What South Korea can learn from Israel Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: jason gewirtz, kcna
Keywords: news, games, cnbc, companies, deal, washington, try, south, wont, koreas, north, world, missiles, israel, defense, learn, officials, korea, korean


North Korean missiles: What South Korea can learn from Israel

While officials in Seoul try to figure out how to deal with their erratic, missile-launching neighbor to the north, the key to the puzzle may be 5,000 miles away — in Jerusalem.

Officials in South Korea’s defense ministry are now debating how they’ll spend their budget, on the assumption that the country’s parliament will increase it by almost seven percent. But military officials around the world say that even if South Korea’s defense forces get the money, it won’t be enough to deal with the massive destructive force awaiting them just across the border in North Korea.

“The South Koreans have already established the requirement for low- and medium-tier interceptors,” said Tom Karako, director of the Missile Defense Project at the Center for Strategic and International Studies in Washington. He added, however, that “They have yet to move forward.”


Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: jason gewirtz, kcna
Keywords: news, games, cnbc, companies, deal, washington, try, south, wont, koreas, north, world, missiles, israel, defense, learn, officials, korea, korean


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The electric vehicle revolution is ‘a huge opportunity’ for this robotics giant

ABB, a major player in the realm of robotics, automation and power generation, is fiercely committed to the global shift to electric vehicle transportation. ABB currently helps design, build and maintain infrastructure for electric cars. Earlier this year, it launched a new product in Malaysia that reduced charging time for EV vehicles to 15 minutes. More still needs to be done to improve the EV landscape in consumer transportation, such as cars and buses, Voser warned. The Swiss-based multinati


ABB, a major player in the realm of robotics, automation and power generation, is fiercely committed to the global shift to electric vehicle transportation. ABB currently helps design, build and maintain infrastructure for electric cars. Earlier this year, it launched a new product in Malaysia that reduced charging time for EV vehicles to 15 minutes. More still needs to be done to improve the EV landscape in consumer transportation, such as cars and buses, Voser warned. The Swiss-based multinati
The electric vehicle revolution is ‘a huge opportunity’ for this robotics giant Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: nyshka chandran, brent gunts
Keywords: news, games, cnbc, companies, need, vehicle, robotics, abb, opportunity, cars, revolution, huge, electric, charging, power, voser, automation, cities, giant, ev


The electric vehicle revolution is 'a huge opportunity' for this robotics giant

ABB, a major player in the realm of robotics, automation and power generation, is fiercely committed to the global shift to electric vehicle transportation.

The transformation from traditional cars to electric ones is “a huge opportunity” that will enable ABB to “work with smart cities of the future,” Chairman Peter Voser told CNBC on the sidelines of the Singapore Summit over the weekend.

ABB currently helps design, build and maintain infrastructure for electric cars. Earlier this year, it launched a new product in Malaysia that reduced charging time for EV vehicles to 15 minutes.

More still needs to be done to improve the EV landscape in consumer transportation, such as cars and buses, Voser warned. In particular, “we need vast investment for charging stations,” he said.

The Swiss-based multinational supplies power through high-voltage direct current technology into cities and consumers, Voser explained. “On the other side, we’re also working with car manufacturers because quite clearly, they need our robots, our automation capabilities so that they can switch from one model to the next.”


Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: nyshka chandran, brent gunts
Keywords: news, games, cnbc, companies, need, vehicle, robotics, abb, opportunity, cars, revolution, huge, electric, charging, power, voser, automation, cities, giant, ev


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Real Madrid adds luster to China’s wannabe ‘Orlando’ tourist hub

Spanish soccer club, Real Madrid, announced last week they would open an interactive “virtual reality” complex in Hengqin, in partnership with Hong Kong-listed developer, Lai Sun Group. The 12,000-square metre venue, set to open in 2021, will include virtual reality entertainment and a museum showcasing the club’s history. “Hengqin will be the Orlando of China. Macau is Las Vegas (and) Hong Kong is New York,” said Larry Leung, an executive with Lai Sun that is helping build the Real Madrid compl


Spanish soccer club, Real Madrid, announced last week they would open an interactive “virtual reality” complex in Hengqin, in partnership with Hong Kong-listed developer, Lai Sun Group. The 12,000-square metre venue, set to open in 2021, will include virtual reality entertainment and a museum showcasing the club’s history. “Hengqin will be the Orlando of China. Macau is Las Vegas (and) Hong Kong is New York,” said Larry Leung, an executive with Lai Sun that is helping build the Real Madrid compl
Real Madrid adds luster to China’s wannabe ‘Orlando’ tourist hub Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: mark ralston afp getty images
Keywords: news, games, cnbc, companies, macau, open, hong, real, virtual, reality, tourist, wannabe, madrid, orlando, luster, lai, kong, hengqin, chinas, adds, hub


Real Madrid adds luster to China's wannabe 'Orlando' tourist hub

Spanish soccer club, Real Madrid, announced last week they would open an interactive “virtual reality” complex in Hengqin, in partnership with Hong Kong-listed developer, Lai Sun Group.

The 12,000-square metre venue, set to open in 2021, will include virtual reality entertainment and a museum showcasing the club’s history.

The transformation of Hengqin, which is three times as large as Macau, is part of Beijing’s efforts to bolster links between Hong Kong, Macau and nine cities in the Pearl River Delta region, or so-called “Greater Bay Area,” modeled after other dynamic global bay areas such as Tokyo and San Francisco.

“Hengqin will be the Orlando of China. Macau is Las Vegas (and) Hong Kong is New York,” said Larry Leung, an executive with Lai Sun that is helping build the Real Madrid complex at its “Novotown” project in Hengqin. “Within an hour you can have them all.”

Novotown’s entertainment mix will also feature China’s first Lionsgate movie world with theme rides from blockbuster films such as the Hunger Games and Twilight, as well as a National Geographic educational center. And high-end hotel chains and luxury yacht makers are building more hotels and a marina on Hengqin.


Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: mark ralston afp getty images
Keywords: news, games, cnbc, companies, macau, open, hong, real, virtual, reality, tourist, wannabe, madrid, orlando, luster, lai, kong, hengqin, chinas, adds, hub


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France should vigorously defend its euro zone reform proposals

As in the past, Germany will take France’s economic problems and its militant body politic as a negotiating ploy to impose its views. They blamed the euro as an instrument of German austerity policies that led to rising poverty, soaring unemployment, deep recession and a sub-par economic recovery. Macron’s best bet could be to stand up and stick to his Eurozone reform proposals. There is no need for French confrontation with Germany, although, true to form, Berlin seems to be pushing in that dir


As in the past, Germany will take France’s economic problems and its militant body politic as a negotiating ploy to impose its views. They blamed the euro as an instrument of German austerity policies that led to rising poverty, soaring unemployment, deep recession and a sub-par economic recovery. Macron’s best bet could be to stand up and stick to his Eurozone reform proposals. There is no need for French confrontation with Germany, although, true to form, Berlin seems to be pushing in that dir
France should vigorously defend its euro zone reform proposals Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: dr michael ivanovitch, charles platiau
Keywords: news, games, cnbc, companies, macron, france, reform, way, unemployment, proposals, zone, vigorously, euro, defend, french, berlin, economic, stand, germany, germans


France should vigorously defend its euro zone reform proposals

Still, Macron is a man in a hurry, sending his prime minister to Germany last week to convince the Germans: “Please, believe me, I can do cyclically inappropriate and politically destabilizing structural reforms you are asking for.”

That is absurd, but that’s the way it is: Macron is forgoing his large parliamentary majority to govern by executive decrees in order to make it easier to fire people in an economy where the unemployment rate rose, on his watch, to 9.8 percent in July from 9.5 percent in April, with a quarter of the French youth without jobs and a meaningful future.

All these entreaties to Berlin will come to naught. As in the past, Germany will take France’s economic problems and its militant body politic as a negotiating ploy to impose its views. That was the case with Macron’s immediate predecessors Nicolas Sarkozy and François Hollande.

The Germans are trying the same thing with Macron. Using their typical put-down zingers, German media called out Macron’s “pompous grandstanding” on Europe’s renewal during his excellent speech in Athens on September 5 from the hill of Pnyx, the birthplace of Western democracy, where ancient Greeks gathered to discuss public policies.

Macron is facing difficult options.

If he caves in to pressure from Berlin and Brussels and abandons his reform proposals, he will be mercilessly steamrolled by Germans, like his predecessors, and will expose himself as a weakling to ferocious attacks at home. Remember, in the first round of presidential elections last April, nearly half of French voters supported parties asking for more assertive French policies in defense of economic interests. They blamed the euro as an instrument of German austerity policies that led to rising poverty, soaring unemployment, deep recession and a sub-par economic recovery.

As the mass demonstrations are showing, these political forces have not disappeared; they are regrouping now and getting ready to pounce on what they see as a weak and disoriented government.

The second option for Macron, a man with deep sense of French history assailed by pressures from all sides, might be to get some guidance from the message Marshal Ferdinand Foch sent during the Battle of Marne in WWI: “My center is giving way, my right is retreating, situation excellent, I am attacking.”

Macron’s best bet could be to stand up and stick to his Eurozone reform proposals. Stand up indeed, because he got it right: An appropriate legislative and executive authority he is proposing is an absolute essential condition to frame sovereignty transfers for a common euro area fiscal policy. That would create a quasi-federal institutional environment to prevent policy domination by any single member country.

There is no need for French confrontation with Germany, although, true to form, Berlin seems to be pushing in that direction. Paris can easily demonstrate, and defend, that a rigorous institutional architecture must be put in place if key functions of a sovereign state are to be ceded and transferred to a supranational euro area entity.


Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: dr michael ivanovitch, charles platiau
Keywords: news, games, cnbc, companies, macron, france, reform, way, unemployment, proposals, zone, vigorously, euro, defend, french, berlin, economic, stand, germany, germans


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Tell us what you think: Who is under the most pressure this week?

From losing a parliamentary majority to missteps in handling the Grenfell Tower fire, British Prime Minister Theresa May has had a challenging first year. Meanwhile, Germany heads to the polls on Sept. 24 for parliamentary elections. In the lead-up to voting day, Chancellor Angela Merkel’s Christian Democratic Union party is holding firmly onto its roughly 15 percent lead over the Social Democratic party, according to German broadcaster Deutsche Welle. Elsewhere, market watchers will look to Fed


From losing a parliamentary majority to missteps in handling the Grenfell Tower fire, British Prime Minister Theresa May has had a challenging first year. Meanwhile, Germany heads to the polls on Sept. 24 for parliamentary elections. In the lead-up to voting day, Chancellor Angela Merkel’s Christian Democratic Union party is holding firmly onto its roughly 15 percent lead over the Social Democratic party, according to German broadcaster Deutsche Welle. Elsewhere, market watchers will look to Fed
Tell us what you think: Who is under the most pressure this week? Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: cheang ming, tolga akmen, afp, getty images
Keywords: news, games, cnbc, companies, pressure, sept, democratic, parliamentary, johnson, brexit, address, minister, tell, party, welleelsewhere, yellen, think, week


Tell us what you think: Who is under the most pressure this week?

From losing a parliamentary majority to missteps in handling the Grenfell Tower fire, British Prime Minister Theresa May has had a challenging first year. Ahead of a speech on Sept. 22 in Florence to address progress on Brexit negotiations, May now faces fresh dissent from within her own party after foreign minister Boris Johnson set out his own vision for Brexit in a 4,300-word article. While Johnson later tweeted that he was “[a]ll behind” May, others speculated that the former mayor of London remained interested in leading the Conservative Party.

Meanwhile, Germany heads to the polls on Sept. 24 for parliamentary elections. In the lead-up to voting day, Chancellor Angela Merkel’s Christian Democratic Union party is holding firmly onto its roughly 15 percent lead over the Social Democratic party, according to German broadcaster Deutsche Welle.

Elsewhere, market watchers will look to Federal Reserve Chair Janet Yellen for clues on future monetary policy when the Fed meets for a two-day meeting this week.

Also in the week, U.S. President Donald Trump will address the United Nations on Tuesday. He is expected to speak about tensions on the Korean Peninsula after plenty of sabre-rattling about taking North Korea to task for its weapons program.


Company: cnbc, Activity: cnbc, Date: 2017-09-17  Authors: cheang ming, tolga akmen, afp, getty images
Keywords: news, games, cnbc, companies, pressure, sept, democratic, parliamentary, johnson, brexit, address, minister, tell, party, welleelsewhere, yellen, think, week


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GM and China joint venture to recall more than 2.5 million vehicles over airbags, watchdog says

General Motors and its joint venture in China, Shanghai GM, will recall more than 2.5 million vehicles due to faulty airbag inflators, China’s top quality watchdog said. From Oct. 29, the companies will recall 13,492 imported Saab and Opel vehicles, and from Dec. 29 another recall will start that involves more than 2.51 million Chevrolet and Buick cars. The recall, announced by the administration on Friday, followed a similar recall last week by Volkswagen and its Chinese joint ventures involvin


General Motors and its joint venture in China, Shanghai GM, will recall more than 2.5 million vehicles due to faulty airbag inflators, China’s top quality watchdog said. From Oct. 29, the companies will recall 13,492 imported Saab and Opel vehicles, and from Dec. 29 another recall will start that involves more than 2.51 million Chevrolet and Buick cars. The recall, announced by the administration on Friday, followed a similar recall last week by Volkswagen and its Chinese joint ventures involvin
GM and China joint venture to recall more than 2.5 million vehicles over airbags, watchdog says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-17
Keywords: news, games, cnbc, companies, vehicles, air, takata, watchdog, venture, joint, airbags, airbag, gm, recall, china, quality, million, 25, potential


GM and China joint venture to recall more than 2.5 million vehicles over airbags, watchdog says

General Motors and its joint venture in China, Shanghai GM, will recall more than 2.5 million vehicles due to faulty airbag inflators, China’s top quality watchdog said.

The vehicles are equipped with airbag inflators produced by troubled Japanese manufacturer Takata, according to the General Administration of Quality Supervision, Inspection and Quarantine (GAQSIQ).

From Oct. 29, the companies will recall 13,492 imported Saab and Opel vehicles, and from Dec. 29 another recall will start that involves more than 2.51 million Chevrolet and Buick cars.

The recall, announced by the administration on Friday, followed a similar recall last week by Volkswagen and its Chinese joint ventures involving 4.86 million vehicles in China due to potential issues with Takata air bags.

State news agency Xinhua quoted the quality watchdog as saying the faulty airbag inflator involved 37 car manufacturers and more than 20 million vehicles, of which 24 carmakers had

recalled 10.59 million vehicles by the end of June.

Takata air bags have been linked to at least 16 deaths and 180 injuries globally. The air bags have the potential to explode with too much force and spray shrapnel. The defect led to the biggest recall in automotive history and the eventual bankruptcy of the Japanese maker.


Company: cnbc, Activity: cnbc, Date: 2017-09-17
Keywords: news, games, cnbc, companies, vehicles, air, takata, watchdog, venture, joint, airbags, airbag, gm, recall, china, quality, million, 25, potential


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Amazon Is Hungry and It’s Coming for Your Cable Channels

A representative for Amazon declined to comment, but hinted there will be much to say in the coming weeks about its efforts in online video. Currently, subscribers to Amazon Prime get TV, movies and music, as well as free shipping on online purchases. Matthew Staver / Bloomberg via Getty Images fileCustomers can already buy scores of television services on Amazon, including Viacom’s Comedy Central Stand-up for $3.99, or Britbox, which offers British shows for $6.99. Industry insiders say that Gr


A representative for Amazon declined to comment, but hinted there will be much to say in the coming weeks about its efforts in online video. Currently, subscribers to Amazon Prime get TV, movies and music, as well as free shipping on online purchases. Matthew Staver / Bloomberg via Getty Images fileCustomers can already buy scores of television services on Amazon, including Viacom’s Comedy Central Stand-up for $3.99, or Britbox, which offers British shows for $6.99. Industry insiders say that Gr
Amazon Is Hungry and It’s Coming for Your Cable Channels Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2017-09-16  Authors: claire atkinson
Keywords: news, games, cnbc, companies, subscribers, billion, chief, hungry, channels, talks, coming, cable, online, video, amazon, including, tv


Amazon Is Hungry and It’s Coming for Your Cable Channels

Amazon already accounts for about a quarter of all online sales in the United States. Now the company is holding talks to supersize its video-channel business, not just in the U.S. but around the globe.

In the past few weeks, Amazon has started talks to buy scores of small television channels, several major program providers confirmed to NBC News. A representative for Amazon declined to comment, but hinted there will be much to say in the coming weeks about its efforts in online video.

Currently, subscribers to Amazon Prime get TV, movies and music, as well as free shipping on online purchases. They can also pay extra for premium channels such as HBO and Showtime, along with a host of niche-interest services on topics such as health or horror.

As traditional pay-TV providers scale down their offerings into cheaper so-called skinny bundles, Amazon is looking to scoop up smaller TV channels with minimal distribution in order to build itself into a video destination for every imaginable niche, with a particular focus on millennial audiences. Many networks have channels like these, including Turner Broadcasting’s Adult Swim and Boomerang, or Viacom’s VH1 and CMT.

“They are doubling down on the channels business,” said one industry programmer who asked not to be identified because they are involved in the talks. “They’re interested in doing deals with smaller indie networks where they can get rights to channels that are not handcuffed into [traditional distribution] bundles and they’re interested in offering them individually. Eventually they may bundle them together.”

Jeff Bezos, chief executive officer of Amazon, speaking during the 32nd Space Symposium in Colorado Springs, Colorado on April 12, 2016. Matthew Staver / Bloomberg via Getty Images file

Customers can already buy scores of television services on Amazon, including Viacom’s Comedy Central Stand-up for $3.99, or Britbox, which offers British shows for $6.99. Amazon splits the revenue with channel owners.

Industry insiders say that Greg Hart, vice president of Amazon Video, is spearheading the current talks, aimed at creating a global platform for new online TV channels.

Tom Rogers, the former chief executive of TiVo and executive chairman of the sports app WinView, who is familiar with Amazon’s business, said Amazon may even want to offer the paid add-on channels as part of the Prime Video offering to boost their audience.

That possibility, he said, “could have more impact on the TV industry than any other development down the road.”

Analysts believe Prime has some 66 million subscribers, who pay $99 a year for the service.

Big tech companies are getting increasingly competitive in the online video market. Just last week, The Wall Street Journal reported that Facebook intends to spend $1 billion on content to increase its online video audience. In late August, reports revealed Apple had similarly earmarked $1 billion for content.

Amazon already spends around $4 billion a year to fuel its On-Demand subscription video offering. Its chief rival in that endeavor is Netflix, which spends more than $6 billion. But to put those numbers in context, Disney spent $12.4 billion on programming last year.

“It’s illustrative of the fact that Amazon, Apple and everyone who wants to be a player in video is going to spending very large numbers on rights,” said Brian Wieser, a senior analyst covering advertising at Pivotal Research in New York. The arms race for top-tier talent is intensifying, as is the demand for hits.

This month, Amazon’s global video chief, Roy Price, told Variety that the company’s chief executive, Jeff Bezos, wants him to find the next “Game of Thrones,” one of the biggest shows in HBO’s history. The series garnered 16.7 million viewers for its season finale last month.

Price told Variety that the company was ending its development of certain smaller series in pursuit of big-event TV.

Amazon has hired Robert Kirkman, one of the creators of AMC’s “The Walking Dead,” with the aim of bringing fans of the horror genre to the service. The show is one of the biggest entertainment series on TV.

Even with all the Academy Award buzz surrounding Amazon’s distribution of “Manchester by the Sea,” a multiple Oscar winner, the company has had some trouble replicating its critically acclaimed series “Transparent,” which began in 2014. Amazon has a few Oscar hopefuls being released later this year, including a new Woody Allen project called “Wonder Wheel,” out in December.

Of course, Netflix has been signing up big names, too, including ABC drama producer Shonda Rhimes, much to the chagrin of Disney.

“They want to find new things they can offer,” said Mark Mahaney, an internet sector analyst at RBC Capital, “because the more services you have, the more you engender loyalty and the more you can monetize the user base.”

Amazon isn’t first to the party in terms of offering online TV channels. Dish, the satellite service, has one called Sling, as does Sony PlayStation. Hulu (owned by Comcast — owner of NBCUniversal — Disney, 21st Century Fox and Time Warner) just launched a digital channel bundle, and AT&T’s DirecTV and Google’s YouTube also have rival packages. Their hope is to win audience data and sell digital advertising.

Each aim to challenge conventional pay-TV packages, which incidentally offer free-of-charge digital versions to subscribers of what they can get on TV.

While there are plenty of Silicon Valley pretenders to the video crown, Amazon is unique, largely because of its vast trove of purchasing data. Amazon could potentially track the ads viewed on its TV channels, and then link them to online purchases. Earlier this year, Amazon partnered with the drinks company Diageo to offer 20 minute “shoppable films.”

Amazon’s own advertising business is still relatively tiny, worth around $2 billion, according to estimates, but around 55 percent of product searches start on Amazon, according to a 2016 survey by Bloomreach, a software company.

Amazon, Apple, Google and Facebook like the idea of owning the online video experience of consumers — and stealing some of the $70 billion of ad revenue that is spent on TV annually.

It’s not clear that they can amass the same audiences as the TV networks, but Amazon’s attempts at building its audience are already evident. On Sept. 28, Amazon will begin its first major sports deal, streaming an NFL game — the Green Bay Packers versus the Chicago Bears — to its Prime subscribers. Amazon has a 10-game NFL package that it shares with other broadcasters, including NBC and CBS, having paid $50 million to steal away the digital football package from Twitter.

Amazon will also use its Alexa voice recognition machine to promote its football streaming, and in turn the NFL games will be used to promote its own online video shows.


Company: cnbc, Activity: cnbc, Date: 2017-09-16  Authors: claire atkinson
Keywords: news, games, cnbc, companies, subscribers, billion, chief, hungry, channels, talks, coming, cable, online, video, amazon, including, tv


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