JP Morgan marks a strong start to earnings season—here’s what Wells Fargo’s former CEO and other experts are saying

Experts, including Wells Fargo’s former CEO, were impressed by J.P. Morgan’s record revenue, but are largely biding their time with the others. Here’s what they’re saying:Richard Kovacevich, who was CEO of Wells Fargo from the late 1990s to the mid-2000s, found little to be enthusiastic about apart from J.P. Morgan. Jeff Harte, principal of Sandler O’Neill & Partners, said J.P. Morgan’s results could bode well for other parts of the financial sector:”The standout here, I think, is J.P. Morgan’s


Experts, including Wells Fargo’s former CEO, were impressed by J.P. Morgan’s record revenue, but are largely biding their time with the others. Here’s what they’re saying:Richard Kovacevich, who was CEO of Wells Fargo from the late 1990s to the mid-2000s, found little to be enthusiastic about apart from J.P. Morgan. Jeff Harte, principal of Sandler O’Neill & Partners, said J.P. Morgan’s results could bode well for other parts of the financial sector:”The standout here, I think, is J.P. Morgan’s
JP Morgan marks a strong start to earnings season—here’s what Wells Fargo’s former CEO and other experts are saying Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: lizzy gurdus
Keywords: news, cnbc, companies, fargos, marks, morgans, thats, saying, morgan, going, look, seasonheres, street, experts, think, start, theyre, wells, positive, strong


JP Morgan marks a strong start to earnings season—here's what Wells Fargo's former CEO and other experts are saying

Call it a financial frenzy.

Big banks J.P. Morgan Chase, Citigroup, Wells Fargo and Goldman Sachs kicked off earnings season with their reports Tuesday, with J.P. Morgan leading the pack and the broader market higher after surprising Wall Street to the upside.

Experts, including Wells Fargo’s former CEO, were impressed by J.P. Morgan’s record revenue, but are largely biding their time with the others.

Here’s what they’re saying:

Richard Kovacevich, who was CEO of Wells Fargo from the late 1990s to the mid-2000s, found little to be enthusiastic about apart from J.P. Morgan.

“J.P. Morgan’s the outlier on a positive side, and the rest is pretty much as expected given the economic situation, the interest rate situation and the … uncertainties out there relative to trade that I think [have] reduced the confidence in the business community and therefore we’ve had less investment than might be the case if we had better news on the trade front.”

Jeff Harte, principal of Sandler O’Neill & Partners, said J.P. Morgan’s results could bode well for other parts of the financial sector:

“The standout here, I think, is J.P. Morgan’s results, how good they are. And I think the read-through for their peers is pretty positive here as well. … I think, as you look forward, this should be good news for the peer group, but … certainly better for the more commercial-bank-heavy players than necessarily investment-banking-centric players.”

Marty Mosby, director of bank and equity strategy at Vining Sparks, broke down the biggest beneficiaries:

“If you look at the difference that J.P. Morgan’s been able to see in the positive, part of that’s related to other income related to selling loans. Their tax rate was a little bit lower, so that’s about a third of it. You look at the other third – that’s going to be loan loss provision, which is going to be lower. So … those credit costs? They’re staying flat. They’re not going up at all. So, every time you see the market kind of anticipating that next leg up, it just hasn’t happened yet. So, those credit costs are low; Goldman Sachs doesn’t get that benefit. They haven’t built a loan book, so they don’t get that provision benefit. And then lastly, what you have is the investment banking and just what we saw in the [Fixed Income Clearing Corp.] business. That was the other third of the benefit that they got this quarter. … What we believe is you have some longer-term turnaround stories. And that’s Goldman, what they’re doing in their business mix. That’s what you’re going to see with Wells [Fargo] over time. And that’s what you’re going to see with State Street, actually. And we think State Street actually may be ahead of those other two in their inflection point. If you look at where we think the core in banking that can perform better than the rest [is], it’s really those super-regional banks.”

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Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: lizzy gurdus
Keywords: news, cnbc, companies, fargos, marks, morgans, thats, saying, morgan, going, look, seasonheres, street, experts, think, start, theyre, wells, positive, strong


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With trade agreement in doubt, five experts share what to watch now

Chinese officials are reportedly seeking further discussions with the U.S. on trade before they sign “phase one” of a deal announced last week. Simeon Hyman, global investment strategist at ProShares Advisors, says trade progress could be the last bit of good news for a while. “I think the trade deal is probably the only real source of upside in the near term because I don’t think we’re going to have a great earnings season. “If you look at this trade deal, it’s probably a political win for both


Chinese officials are reportedly seeking further discussions with the U.S. on trade before they sign “phase one” of a deal announced last week. Simeon Hyman, global investment strategist at ProShares Advisors, says trade progress could be the last bit of good news for a while. “I think the trade deal is probably the only real source of upside in the near term because I don’t think we’re going to have a great earnings season. “If you look at this trade deal, it’s probably a political win for both
With trade agreement in doubt, five experts share what to watch now Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: keris lahiff
Keywords: news, cnbc, companies, doubt, earnings, trade, think, experts, deal, global, agreement, know, going, share, bit, probably, china, watch


With trade agreement in doubt, five experts share what to watch now

Stocks are in a holding pattern to begin the week as doubts are raised over how much progress was made between the U.S. and China on Friday.

Chinese officials are reportedly seeking further discussions with the U.S. on trade before they sign “phase one” of a deal announced last week.

Five experts weigh in on what they’re watching right now.

Simeon Hyman, global investment strategist at ProShares Advisors, says trade progress could be the last bit of good news for a while.

“I think the trade deal is probably the only real source of upside in the near term because I don’t think we’re going to have a great earnings season. We have banks reporting this week. You know, it’s been a tough environment for banks — deal volume is slowing a little bit, and the yield curve was inverted up until just a week or so ago — so I don’t think you’re going to get a big impetus from the earnings side. But we certainly know politically, a win on that front sometime as we approach more of the height of the election season is not a terrible thing to bank on.”

William Foster of Moody’s Investors Service says this gave the U.S. and China some breathing room before they move forward.

“It’s a step forward, but it’s, you know, we can’t expect too much, and obviously you’re seeing that right now from China. This basically buys more time for the two sides to try to come to some kind of agreement on some of the core issues, and that will just give the market more time to kind of digest.”

Sameer Samana, senior global market strategist at Wells Fargo Investment Institute, is playing it cautiously for the rest of the year.

“If you look at this trade deal, it’s probably a political win for both sides, which were in need of such a win. Unfortunately, it just doesn’t mean a whole lot for S&P earnings. It probably doesn’t mean a lot for economic data, at least not over the coming months. So from our standpoint, you know, you’ve got good gains in calendar year 2019 even though if you stretch back to Q4 last year they’re not spectacular. We’re still playing it pretty cautiously, so we are underweight small caps, they tend to be lower quality and tend to have fewer levers to pull. We’re also underweight high yield. We think credits are probably a little bit overdone, spreads are very tight. You’re just not getting paid to take that risk. We would take some of those dollars and put them in large caps, because again those are the companies that have probably the most, you know, flexibility in terms of navigating this global environment.”

Art Cashin, director of floor operations at UBS Financial Services, is skeptical much progress was made at all.

“It’s all blue smoke and mirrors. There’s nothing substantive there. I mean, I admire Treasury Secretary [Steven] Mnuchin, and he’s talking about intellectual properties and whatnot. I’m getting different signals from China. They don’t look like they want that to be part of a plan, and they indicate they’re going to take care of it locally. Secondarily, so tomorrow the tariffs were supposed to be raised. If I’m a business, I’ve already traded against that. I knew they were coming up. I bought whatever I wanted back before they were going to get raised, so the impacts are not very strong here.”

Gabriela Santos, global market strategist at J.P. Morgan Asset Management, says it makes sense to keep expectations in check.

“It’s an agreement to postpone the escalation that was planned for tomorrow and to continue talking over the next few weeks. So for us, I think it’s right to temper the enthusiasm a little bit after such a huge rally we had on Friday. It’s not locked down. No. 2, even if we end up having a ‘phase one’ written-down truce, it doesn’t remove the uncertainty cloud going into the election. And No. 3, we have also some late-cycle concerns to think about which should come to the forefront as earnings season picks back up this week.”

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Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: keris lahiff
Keywords: news, cnbc, companies, doubt, earnings, trade, think, experts, deal, global, agreement, know, going, share, bit, probably, china, watch


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Finance experts at FinCon share what they learned from their worst money mistakes

Many experts also admitted that, although they are money savvy now, that wasn’t always the case. Here are some of the worst mistakes the financial gurus of FinCon made:Joseph and Tasha Cochran, One Big Happy Life blogThe mistake: Joseph and Tasha were shocked when they finally sat down and tallied up their debt. The total, between student loans and their mortgage, came to $1 million. What they learned: Now, Joseph says, he wished he hadn’t taken out so many student loans. What he learned: Track


Many experts also admitted that, although they are money savvy now, that wasn’t always the case. Here are some of the worst mistakes the financial gurus of FinCon made:Joseph and Tasha Cochran, One Big Happy Life blogThe mistake: Joseph and Tasha were shocked when they finally sat down and tallied up their debt. The total, between student loans and their mortgage, came to $1 million. What they learned: Now, Joseph says, he wished he hadn’t taken out so many student loans. What he learned: Track
Finance experts at FinCon share what they learned from their worst money mistakes Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: aditi shrikant, natalie zfat, myelle lansat
Keywords: news, cnbc, companies, money, finance, student, fincon, financial, lot, loans, experts, rose, mistake, worst, share, start, tasha, mistakes, learned, college


Finance experts at FinCon share what they learned from their worst money mistakes

While attending FinCon 2019, a financial literacy conference in Washington, D.C., the Grow team gleaned lots of great money advice from financial experts, like “avoid the two-income trap” and “start early” when it comes to saving and investing. Many experts also admitted that, although they are money savvy now, that wasn’t always the case. Here are some of the worst mistakes the financial gurus of FinCon made:

Joseph and Tasha Cochran, One Big Happy Life blog

The mistake: Joseph and Tasha were shocked when they finally sat down and tallied up their debt. The total, between student loans and their mortgage, came to $1 million. In retrospect, Joshua realizes that some of that debt may have been avoidable, especially in college: “I studied abroad. I spent an extra semester in school,” he says. What they learned: Now, Joseph says, he wished he hadn’t taken out so many student loans. Tasha adds that it’s a good idea to look into less expensive options. “There are so many opportunities to continue to invest in your education beyond traditional college,” she says. For example, some students start off at a community college and then transfer.

Jeff Rose, certified financial planner

The mistake: Rose says he “used to waste money” on clothes and dining out: “When I started recognizing how much I could have had, how much I could have earned had I invested a lot sooner, definitely a lot of regrets there.” What he learned: Track your money to discover where it’s actually going and make a plan for how to spend it the right way. If talking to his younger self, he says, “I would first tell him to stop buying stupid things he doesn’t need.” It sounds simple, but 60% of Americans don’t create a budget, according to a 2019 Credit.com survey, and can easily end up overspending.

Talaat & Tai McNeely, His & Her Money blog


Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: aditi shrikant, natalie zfat, myelle lansat
Keywords: news, cnbc, companies, money, finance, student, fincon, financial, lot, loans, experts, rose, mistake, worst, share, start, tasha, mistakes, learned, college


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Four experts on what to watch on Wall Street next week

With earnings season kicking off in the coming days, four experts weigh in on what is on their watch list this week. We’re going to go through a pretty weak corporate earnings season starting next week. Byron Wien of Blackstone Private Wealth says earnings have to improve before the market can see a stronger leg up. I don’t think earnings are going to be strong. So I think the market has limited upside, but it does have some upside.”


With earnings season kicking off in the coming days, four experts weigh in on what is on their watch list this week. We’re going to go through a pretty weak corporate earnings season starting next week. Byron Wien of Blackstone Private Wealth says earnings have to improve before the market can see a stronger leg up. I don’t think earnings are going to be strong. So I think the market has limited upside, but it does have some upside.”
Four experts on what to watch on Wall Street next week Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: keris lahiff
Keywords: news, cnbc, companies, trade, wall, experts, important, going, tariffs, week, market, thats, think, really, markets, earnings, street, watch


Four experts on what to watch on Wall Street next week

The markets wrapped a wild week with massive gains.

The announcement of a “phase-one” trade deal between the U.S. and China sent the Dow up nearly 319.92 points on Friday, while the S&P 500 rose 1.1% higher.

With earnings season kicking off in the coming days, four experts weigh in on what is on their watch list this week.

Alec Young, managing director of global markets research at FTSE Russell, says the U.S. needs to do away with tariffs for the markets to break out.

“We’ve been in kind of a trading range, but I think in order to break out of it and make new highs, you really need an end to the existing tariffs. That would be like a tax cut, basically something that’s weighing on corporate earnings. We’re going to go through a pretty weak corporate earnings season starting next week. The reason trade is so important is without a deal that ends existing tariffs, it’s very hard to believe that the forecast for 10% profit growth for 2020 are realistic.”

Jay Jacobs, head of research and strategy at Global X Funds, says investors are reaching their limits when it comes to volatility.

“Every day we see these two heavyweight forces duking it out in the markets. We see the Fed and central bank policy trying to support the markets and we see the trade wars; and you know sometimes negative, sometimes positive news as the other force. And what we’re seeing from our clients is people are really losing patience with this kind of volatility. We see a lot of people looking for yield from any source because that’s the way to get return in a flat or volatile market.”

Clete Willems of Akin Gump says the United States–Mexico–Canada Agreement could have an even great impact than a China deal.

“I’m still hearing good things. In spite of everything going on with the impeachment proceedings and everything else, I’m still hearing good things about the engagement between the administration and the Hill. So USMCA though is important. In a lot of ways, the substance of that actually is going to be more economically meaningful in the short term than China and so that’s an important one too. So, I hope we can get both of these in a more stable place, a little more certainty for our businesses and that will help the economy going into 2020.”

Byron Wien of Blackstone Private Wealth says earnings have to improve before the market can see a stronger leg up.

“Look the market is always vulnerable to a 10% correction. But I don’t think the market is overvalued here. At these interest rates, I think the [S&P 500] can comfortably trade above 3000. How much more above 3000 it can get to really depends on earnings. Earnings have been disappointing. I don’t think earnings are going to be strong. I think we’ll be lucky to get a 5% earnings improvement in 2020. So I think the market has limited upside, but it does have some upside.”

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Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: keris lahiff
Keywords: news, cnbc, companies, trade, wall, experts, important, going, tariffs, week, market, thats, think, really, markets, earnings, street, watch


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You can start teaching even little kids about money, experts say — here’s how

Most parents wait until their kids are teenagers before discussing money with them, according to T. Rowe Price’s 10th Annual Parents, Kids & Money Survey. By age 6, kids generally understand that some bills or coins are smaller than others, and more money is needed to afford something more valuable. “Give them the opportunity to make choices about how to best spend their money,” suggests Marguerita Cheng, chief executive officer at Blue Ocean Global Wealth. Give them the opportunity to make choi


Most parents wait until their kids are teenagers before discussing money with them, according to T. Rowe Price’s 10th Annual Parents, Kids & Money Survey. By age 6, kids generally understand that some bills or coins are smaller than others, and more money is needed to afford something more valuable. “Give them the opportunity to make choices about how to best spend their money,” suggests Marguerita Cheng, chief executive officer at Blue Ocean Global Wealth. Give them the opportunity to make choi
You can start teaching even little kids about money, experts say — here’s how Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-11  Authors: ivana pino, sofia pitt, sam becker, lisa ferber
Keywords: news, cnbc, companies, parents, bentley, understand, heres, little, kids, theyre, money, spend, say, start, pick, experts, financial, teaching, child


You can start teaching even little kids about money, experts say — here's how

Most parents wait until their kids are teenagers before discussing money with them, according to T. Rowe Price’s 10th Annual Parents, Kids & Money Survey. That’s a mistake, says Nikhol Bentley, a math teacher at Gilbert Stuart Middle School in Providence, Rhode Island. “People tend to sell kids short,” says Bentley. “They are extremely smart, and letting them be part of the financial conversations at home is a good way to make sure that they’re able to make smarter financial choices when they’re older.” Teaching your child concepts like spending, saving, and earning can help them establish good financial habits that can last them the rest of their lives. And there are age-appropriate ways to get started early on. The National Education Association (NEA) provides lesson plans for teaching financial literacy to children as young as 4, and there are ways to lay the groundwork with even younger kids.

Counting

Around age 2, your child may be able to sound out different numbers, recognize numerals, or count out a sequence of numbers that they’ve heard over and over again. By age 4, most children are counting up to 10 or even beyond, according to LeapFrog, which helps parents use technology as a learning tool. Counting is the first step in building and strengthening math skills in the classroom. It’s basic but absolutely necessary. Parents can help reinforce this skill by encouraging their child count everyday items like crayons or the number of apples or bananas you pick up at the grocery store.

Spending and earning

Children can loosely understand the concept of income early on, says Bentley: As soon as they start school, or even before, they can grasp how currency works. Though they’re not actually exchanging goods for money, they can show they understand value by trading Pokemon cards with each other, for example. “They learn to share, trade cards or toys for things that they want, or some teachers will have some sort of ticket system that reinforces this concept of saving up your tickets for rewards or what it means to not have enough,” says Bentley. By age 6, kids generally understand that some bills or coins are smaller than others, and more money is needed to afford something more valuable. “Any type of reward system helps emphasize this idea of currency, and kids will pick up on the fact that there are certain things they need to do or behaviors they need to manage in order to earn that extra ‘income,'” explains Bentley. The goal isn’t to teach them not to spend but to show them how to spend wisely so they end up feeling satisfied. “Give them the opportunity to make choices about how to best spend their money,” suggests Marguerita Cheng, chief executive officer at Blue Ocean Global Wealth. “Maybe it’s letting them pick out a reasonably priced souvenir on a family vacation. They are capable of understanding and retaining these things.”

Saving

Two in three parents give their child an allowance, shelling out an average of $30 per week, according to a recent survey of 1,002 adults conducted by The Harris Poll on behalf of the American Institute of Certified Public Accountants. But only 3% of parents report that their kids primarily save what they get. Encouragement from parents, though, can make a difference.

Give them the opportunity to make choices about how to best spend their money. Marguerita Cheng chief executive officer at Blue Ocean Global Wealth

Bentley suggests one helpful exercise to help even younger children get used to saving: Let your child pick out a toy at the store. Explain how much it costs, and emphasize that they’ll need to save up their own money if they want to take it home. However old your child is when you start offering an allowance, make sure to give them a consistent amount on a consistent basis, “because it’s like getting a paycheck,” Paul Golden, managing director at the National Endowment for Financial Education told Grow earlier this year.

Avoiding conversations about money can cost you


Company: cnbc, Activity: cnbc, Date: 2019-10-11  Authors: ivana pino, sofia pitt, sam becker, lisa ferber
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October can be spooky for investors — here’s why experts say not to worry

October has a spooky reputation with investors, but experts say there’s no need to fear the stock market. This month has sometimes been horrifying, historically: Over the past century, three of the darkest days on Wall Street all happened during October. That day, now known as “Black Monday,” “was the worst single-day drop, percentage-wise, in history.” There’s another reason October has a bad reputation, says Lambert: “Market volatility, historically, is higher” in October. “Volatility implies


October has a spooky reputation with investors, but experts say there’s no need to fear the stock market. This month has sometimes been horrifying, historically: Over the past century, three of the darkest days on Wall Street all happened during October. That day, now known as “Black Monday,” “was the worst single-day drop, percentage-wise, in history.” There’s another reason October has a bad reputation, says Lambert: “Market volatility, historically, is higher” in October. “Volatility implies
October can be spooky for investors — here’s why experts say not to worry Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-09  Authors: sam becker, anna-louise jackson
Keywords: news, cnbc, companies, investors, say, spooky, reputation, worst, historically, fear, volatility, worry, great, market, day, heres, lambert, financial, experts


October can be spooky for investors — here's why experts say not to worry

October has a spooky reputation with investors, but experts say there’s no need to fear the stock market.

This month has sometimes been horrifying, historically: Over the past century, three of the darkest days on Wall Street all happened during October.

“The big one is October 1987, when the Dow plunged 22% in a single day,” says Jason Lambert, the president and CEO of Northwest Financial & Tax Solutions, near Portland, Oregon. That day, now known as “Black Monday,” “was the worst single-day drop, percentage-wise, in history.”

The Great Depression began after a market crash in October 1929 and the financial crisis that sparked the Great Recession started with an October market meltdown in 2008.

There’s another reason October has a bad reputation, says Lambert: “Market volatility, historically, is higher” in October. “Volatility implies fear,” he says, “even if it doesn’t mean that the market is moving up or down.”


Company: cnbc, Activity: cnbc, Date: 2019-10-09  Authors: sam becker, anna-louise jackson
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Should corporations bar their employees from using Twitter? Experts weigh in

Should corporations bar their employees from using Twitter? Experts weigh in4 Hours AgoVelvet Suite President Melissa Simkins and Economic Policy Analyst James Pethokoukis explore the impact Twitter has on a company’s brand, employee social media management and offer opinions on China’s dispute with the NBA.


Should corporations bar their employees from using Twitter? Experts weigh in4 Hours AgoVelvet Suite President Melissa Simkins and Economic Policy Analyst James Pethokoukis explore the impact Twitter has on a company’s brand, employee social media management and offer opinions on China’s dispute with the NBA.
Should corporations bar their employees from using Twitter? Experts weigh in Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-09
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Should corporations bar their employees from using Twitter? Experts weigh in

Should corporations bar their employees from using Twitter? Experts weigh in

4 Hours Ago

Velvet Suite President Melissa Simkins and Economic Policy Analyst James Pethokoukis explore the impact Twitter has on a company’s brand, employee social media management and offer opinions on China’s dispute with the NBA.


Company: cnbc, Activity: cnbc, Date: 2019-10-09
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Hong Kong turmoil could cast a ‘shadow’ over China-US trade talks, experts say

As Beijing and Washington return to the negotiating table looking to settle their trade dispute, experts say the Hong Kong protests could cast a “shadow” over discussions — even if the situation doesn’t directly affect the outcome of this week’s talks. Ahead of the discussions, U.S. President Donald Trump told reporters on Monday he hopes China finds a humane and peaceful resolution to the ongoing political protests in Hong Kong, Reuters reported. Hong Kong, a former British colony, returned to


As Beijing and Washington return to the negotiating table looking to settle their trade dispute, experts say the Hong Kong protests could cast a “shadow” over discussions — even if the situation doesn’t directly affect the outcome of this week’s talks. Ahead of the discussions, U.S. President Donald Trump told reporters on Monday he hopes China finds a humane and peaceful resolution to the ongoing political protests in Hong Kong, Reuters reported. Hong Kong, a former British colony, returned to
Hong Kong turmoil could cast a ‘shadow’ over China-US trade talks, experts say Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-08  Authors: grace shao
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Hong Kong turmoil could cast a 'shadow' over China-US trade talks, experts say

Chinese shipping containers are stored beside a US flag after they were unloaded at the Port of Los Angeles in Long Beach, California on May 14, 2019.

As Beijing and Washington return to the negotiating table looking to settle their trade dispute, experts say the Hong Kong protests could cast a “shadow” over discussions — even if the situation doesn’t directly affect the outcome of this week’s talks.

Ahead of the discussions, U.S. President Donald Trump told reporters on Monday he hopes China finds a humane and peaceful resolution to the ongoing political protests in Hong Kong, Reuters reported.

“If anything happened bad, I think that would be a very bad thing for the negotiation. I think politically it would be very tough,” Trump said of Hong Kong’s pro-democracy protests, Reuters said.

Hong Kong, a former British colony, returned to Chinese rule in 1997. Anti-government protests have rocked the city for over four months now. They first erupted over a now withdrawn extradition bill that would have allowed fugitives to be transferred to mainland China for trial.

“It will just irritate the Chinese that the two [situations] are being linked,” said Richard Harris, CEO of Hong Kong-based asset management firm Port Shelter Investment Management.

But if Beijing exercises any extreme measures in Hong Kong, then there will be potential talks of sanctions and restrictions, denting any progress that has been made, Harris told CNBC’s “Squawk Box” on Tuesday.

“There’s been strong reports, even this morning, that if there is major action by Chinese forces in Hong Kong, that it will certainly be included in terms of the trade deal — and you have to think that’s going to be the case,” he said.

Even if there’s no direct impact, Hong Kong’s months of unrest “will likely cast an uncomfortable shadow over the [trade] discussions,” said Nick Marro, global trade lead at The Economist Intelligence Unit.

U.S. Commerce Secretary Wilbur Ross told Fox Business last week that the “(Hong Kong situation) probably will have some impact on the Chinese side, even despite whatever it has on ours, because this is a sign of domestic dissent within their community and Hong Kong is quite important for the international trading activities of China.”


Company: cnbc, Activity: cnbc, Date: 2019-10-08  Authors: grace shao
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The chances of a Brexit deal this week are ‘next to zero,’ experts say

Chance of a Brexit deal? Time is fast running out for a Brexit deal to be agreed before the official departure date of October 31. Experts say the chances of a deal being sorted by the end of the week are next to nothing. Even though a further extension to Brexit would be anathema to some EU officials and leaders, Brussels will not want to be seen as the party that scuppered a deal, experts say. Not all analysts see a no-deal Brexit — the dreaded “cliff-edge” scenario in which the U.K. leaves th


Chance of a Brexit deal? Time is fast running out for a Brexit deal to be agreed before the official departure date of October 31. Experts say the chances of a deal being sorted by the end of the week are next to nothing. Even though a further extension to Brexit would be anathema to some EU officials and leaders, Brussels will not want to be seen as the party that scuppered a deal, experts say. Not all analysts see a no-deal Brexit — the dreaded “cliff-edge” scenario in which the U.K. leaves th
The chances of a Brexit deal this week are ‘next to zero,’ experts say Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-07  Authors: holly ellyatt
Keywords: news, cnbc, companies, brexit, talks, ireland, deal, say, experts, leave, week, zero, chances, johnson, formal


The chances of a Brexit deal this week are 'next to zero,' experts say

U.K. Prime Minister Boris Johnson delivering his speech at the Conservative Party Conference. Danny Lawson | PA Images | Getty Images

France appears to have given the U.K. until the end of the week to discuss and come up with a workable Brexit plan, but analysts say it’s very unlikely a deal could be reached in that short timeframe. French President Emmanuel Macron reportedly told U.K. Prime Minister Boris Johnson on Sunday that Brexit negotiations should continue “swiftly” with the EU’s chief negotiator Michel Barnier in order for Brussels to evaluate by the end of the week whether “a deal is possible that respects European Union principles.” The comments were reportedly made by an official at the Elysee Palace who was repeating what Macron had told Johnson via telephone on Sunday, British media reported. The comments, and call, come after the U.K. government submitted last-ditch proposals that it hoped could get around the contentious issue of the Irish “backstop” which has been seen as an obstacle to a Brexit deal being agreed by the U.K. Parliament. The new proposals would see would see Northern Ireland (a part of the U.K.) stay in the European single market for goods but leave the customs union. The U.K. said checks on goods going from Northern Ireland to the Republic of Ireland would undergo customs checks away from the border taking away the need (the government said) for any physical border infrastructure on the island of Ireland. But the plan received a lukewarm reception in Brussels. The EU is particularly concerned about how and whether customs arrangements (such as checks on goods), as envisaged in the British proposals, could and would work in practice.

Chance of a Brexit deal?

Time is fast running out for a Brexit deal to be agreed before the official departure date of October 31. After a tussle with Parliament, Johnson has been obliged by law (an act of Parliament known as the “Benn Act”) to ask the EU for a delay to the departure date if no deal is agreed by October 19. Johnson has repeatedly said the U.K. will leave the bloc on Halloween come what may, however. There is no guarantee the EU would agree to another delay either; France, in particular, is not keen. The EU is also reportedly keen to avoid last-minute discussions at an EU Summit on October 17 too. As such, Friday October 11 is seen as a formal cut-off point for talks. Experts say the chances of a deal being sorted by the end of the week are next to nothing.

“With no sign of U.K. movement on customs, the chances of a deal this week are now close to zero; both sides, however, have an incentive to keep talks in play until their formal cut-off point on Friday,” Mujtaba Rahman, managing director of Europe at Eurasia Group, said in a note Monday. “It suits both the U.K. and EU to keep Boris Johnson’s offer in play until this coming Friday — the EU’s formal cut off point — even if these are ‘talks about talks’ rather than formal negotiations. Johnson can tell voters he tried hard for a deal, and the EU can avoid blame if there is no agreement, or (unlikely) a no-deal exit.” As Johnson has been so adamant that the U.K. would leave the EU on October 31 under any scenario, Eurasia Group believes that the U.K. leader would feign being forced to demand an extension in order to appease Leave voters ahead of a possible election. “We think Johnson will pursue a strategy some aides describe as ‘being dragged, kicking and screaming’ into an extension, so Leave voters know he is doing it against his will. This is why he still promises ‘no delay’ even though he knows the prospects of a deal are remote,” he noted. Even though a further extension to Brexit would be anathema to some EU officials and leaders, Brussels will not want to be seen as the party that scuppered a deal, experts say. “The only difficult questions for EU leaders will be its duration (December or January) and conditions,” Rahman added.

Economic hit

Investors remain on tenterhooks over which direction Brexit will take after months of twists and turns for the departure process. On Monday, sterling traded slightly lower against the dollar, at $1.2320, while London’s FTSE 100 index was almost 0.3% higher. Not all analysts see a no-deal Brexit — the dreaded “cliff-edge” scenario in which the U.K. leaves the EU overnight — as being off the table, however. Paul Watters, senior director and head of corporate research at S&P Global Ratings, told CNBC Monday that his company’s base case scenario is that the U.K. won’t leave the EU without a deal. But, it still sees the risk of a no-deal Brexit as being “meaningful.”


Company: cnbc, Activity: cnbc, Date: 2019-10-07  Authors: holly ellyatt
Keywords: news, cnbc, companies, brexit, talks, ireland, deal, say, experts, leave, week, zero, chances, johnson, formal


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Stocks rise after positive September jobs report – five experts break it down

Stocks look to end a sour week on a positive note following the September jobs report. Austan Goolsbee of the University of Chicago Booth School of Business says if a recession is coming, it could come quickly. If we get GDP growth falling down into the ones, I think the jobs numbers are going to fall apart. Kate Moore, head of thematic strategy for BlackRock’s Global Allocation Investment Team, says this report threaded the needle for investors. David Kelly, chief global strategist at J.P. Morg


Stocks look to end a sour week on a positive note following the September jobs report. Austan Goolsbee of the University of Chicago Booth School of Business says if a recession is coming, it could come quickly. If we get GDP growth falling down into the ones, I think the jobs numbers are going to fall apart. Kate Moore, head of thematic strategy for BlackRock’s Global Allocation Investment Team, says this report threaded the needle for investors. David Kelly, chief global strategist at J.P. Morg
Stocks rise after positive September jobs report – five experts break it down Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-04  Authors: keris lahiff
Keywords: news, cnbc, companies, rise, jobs, trade, positive, growth, university, thing, spending, stocks, report, experts, think, recession, job, break, rate, accommodation


Stocks rise after positive September jobs report – five experts break it down

Stocks look to end a sour week on a positive note following the September jobs report.

Nonfarm payrolls increased by 136,000 last month, below an estimated 145,000. The unemployment rate also fell to 3.5%, its lowest level in 50 years.

Investors saw the middle-of-the-road data as shoring up the chances of more accommodation of the Federal Reserve without triggering alarm bells over the economy.

Austan Goolsbee of the University of Chicago Booth School of Business says if a recession is coming, it could come quickly.

“The thing driving this whole thing is that the GDP growth rate is slowing down and a lot of the forecasters are now saying that they expect a one handle for the rest of the year. If we get GDP growth falling down into the ones, I think the jobs numbers are going to fall apart. … If you go back and look at previous recessions, they can turn pretty quick. And if a recession begins, the strongest part of the economy now is that consumer confidence and consumer spending remains strong, that can turn around very rapidly.”

Kate Moore, head of thematic strategy for BlackRock’s Global Allocation Investment Team, says this report threaded the needle for investors.

“If we had a number that was very, very strong, and everyone had to reduce their probabilities of further Fed accommodation or midcycle adjustments, I think that would cause risk assets to sort of shake. But this is right in that sweet spot where we’re still growing, but we’re not growing so fast that the Fed can’t continue on that path.”

Robert Shiller, Yale University professor of economics, says a recession is in the future, but timing it could be impossible.

“There will be a recession eventually; whether it’s in 2020, I don’t know. But there will be. And the question is how severe will it be. Economists are not very good at going out another year. But I think that … there are narratives in place that make ourselves a little bit vulnerable.”

Diane Swonk, Grant Thornton chief economist, says ongoing trade tensions could continue to erode economic strength.

“We have seen a significant slowdown over the last year. And I think the weakness is more related to trade. And also some of the softness we saw in spending on services over the summer. People pulled back actually on the discretionary spending — on accommodation and food — in August in response to concerns about the trade war. That negative news effect is much larger than it once was even though consumers are still on very solid footing.”

David Kelly, chief global strategist at J.P. Morgan, has some concerns for future job growth.

“The most important thing to recognize here is the limits to growth. I mean, it’s great to see an unemployment rate of 3.5%, the lowest since 1969. But everywhere in this report, you can see that businesses are really finding it hard to find qualified workers, and I think that is having some effect. There was some pent-up demand for labor, because we’ve had over 7 million job openings for over a year. I think it takes a while to feed through, so I’m a little bit more concerned about this. I do think that this to some extent reflects still lingering strength from last year, but I think these job numbers will slow as we head toward the end of the year.”

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Company: cnbc, Activity: cnbc, Date: 2019-10-04  Authors: keris lahiff
Keywords: news, cnbc, companies, rise, jobs, trade, positive, growth, university, thing, spending, stocks, report, experts, think, recession, job, break, rate, accommodation


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