The next big risk that could end the stock rally is here

Earnings season is seen as the next big risk for a stock market that has soared to record highs on expectations that the Federal Reserve will start cutting interest rates, as early as its next meeting, July 30-31. “Either way, earnings season, more than previously, is going to be a minefield because of these tariffs and a slowing growth story — and stocks that are at record highs. The earnings season kicks off in a big way in the coming week, starting with the major banks, and Citigroup is first


Earnings season is seen as the next big risk for a stock market that has soared to record highs on expectations that the Federal Reserve will start cutting interest rates, as early as its next meeting, July 30-31. “Either way, earnings season, more than previously, is going to be a minefield because of these tariffs and a slowing growth story — and stocks that are at record highs. The earnings season kicks off in a big way in the coming week, starting with the major banks, and Citigroup is first
The next big risk that could end the stock rally is here Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-12  Authors: patti domm
Keywords: news, cnbc, companies, big, going, highs, tariffs, slowing, stock, rally, risk, week, sp, companies, end, earnings, season, impact


The next big risk that could end the stock rally is here

Stocks could struggle if the earnings message from corporate America focuses on the murky outlook for the economy and negative impacts from the trade wars when companies start reporting second-quarter results in the week ahead.

Earnings season is seen as the next big risk for a stock market that has soared to record highs on expectations that the Federal Reserve will start cutting interest rates, as early as its next meeting, July 30-31.

“If the data doesn’t corroborate expectations right now, it’s going to be more of a choppy market,” said Peter Boockvar, chief investment officer at Bleakley Advisory Group. “Either way, earnings season, more than previously, is going to be a minefield because of these tariffs and a slowing growth story — and stocks that are at record highs. That doesn’t leave much room for error.”

The earnings season kicks off in a big way in the coming week, starting with the major banks, and Citigroup is first out of the gate Monday. It will be quickly followed by Goldman Sachs, Wells Fargo and industry bellwether J.P. Morgan on Tuesday, Bank of America on Wednesday and Morgan Stanley on Thursday.

Stocks set new highs in the past week, and were heading Friday for gains for the week of more than a half percent after surpassing some major milestones. The S&P 500 rose above 3,000 for the first time ever, and the Dow passed 27,000. The Fed “put,” or promise of easy policy should limit the downside for now, analysts said.

Earnings are expected to decline for the S&P 500 by 2.9% for the second quarter, according to FactSet. Of 114 companies that issued guidance for the quarter, 77% released negative forecasts, according to FactSet data.

Already Fastenal, in its earnings report, said Thursday that it was impacted by tariffs, and that it was able to raise prices but it was also hit by rising costs.

“They talked about slowing growth … and the impact tariffs are having on their costs. They’re trying to pass it on,” said Boockvar, adding other multinationals could follow. “You’re talking about the S&P 500, where 40% of revenues are sourced overseas and overseas is slowing. They’re obviously going to be hit.”

Boockvar said the impact of higher tariffs is yet to be seen, after President Donald Trump raised tariffs on $200 billion in Chinese goods to 25% from 10% on May 10. “This quarter’s earnings are really going to define the impact. A lot of companies said ‘10% we can handle, but 25% is a problem.’ Now we’re at 25%. How much of a problem is it going to be?” said Boockvar.


Company: cnbc, Activity: cnbc, Date: 2019-07-12  Authors: patti domm
Keywords: news, cnbc, companies, big, going, highs, tariffs, slowing, stock, rally, risk, week, sp, companies, end, earnings, season, impact


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Companies are warning that earnings results are going to be brutal

Now companies are echoing those concerns with a level of pessimism not often seen from corporate America. The total tariff impact will cost the industry about $400 million, Hayes wrote in a recent report. Multinationals, in general, also are seeing a big tariff impact. FactSet estimates that companies doing more than half their sales outside the U.S. are looking at a more than 9% earnings decline on a year-over-year basis. It’s creeping into the numbers little by little,” said Mitchell Goldberg,


Now companies are echoing those concerns with a level of pessimism not often seen from corporate America. The total tariff impact will cost the industry about $400 million, Hayes wrote in a recent report. Multinationals, in general, also are seeing a big tariff impact. FactSet estimates that companies doing more than half their sales outside the U.S. are looking at a more than 9% earnings decline on a year-over-year basis. It’s creeping into the numbers little by little,” said Mitchell Goldberg,
Companies are warning that earnings results are going to be brutal Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-07-01  Authors: jeff cox
Keywords: news, cnbc, companies, going, warning, tariffs, impact, tariff, brutal, industry, seen, negative, level, earnings, results, little, companies


Companies are warning that earnings results are going to be brutal

Ahead of a season that starts in earnest the week of July 15, 77% of the 113 companies that have issued earnings per share guidance have warned that their numbers will be worse than what Wall Street analysts are estimating, according to FactSet.

Analysts have been taking a dimmer view of what is ahead for earnings . They’ve already forecast a decline for the first three quarters of 2019. Now companies are echoing those concerns with a level of pessimism not often seen from corporate America.

Stocks may have brushed up against record highs Monday. However, a looming threat is just a couple weeks away once profit reports from the second quarter hit.

That total of 87 companies is well above the typical level of 70% negative pre-announcements and the second-worst level since FactSet started keeping track in 2006. The worst was in the first quarter of 2016, which saw 92 negative such warnings.

At a time when the Dow Jones Industrial Average of blue chip stocks is coming off its best June since 1938, a wobbly profit picture doesn’t do much to instill confidence that such an aggressive rally can continue. Earnings for the S&P 500, which had its best June since 1955, are projected to decline 2.6% from the same period a year ago.

“The harsh reality is data is going to impact sentiment,” said Michael Yoshikami, founder of Destination Wealth Management. “I don’t think it’s something that can be ignored. Even though markets are at all-time highs, the economy is definitely slowing.”

The issues with earnings now are multi-pronged but tied mostly to tariffs and waning global growth.

In terms of sectors, the two with the biggest negative pre-announcements — information technology and health care — are at the center of the tariff battle between the U.S. and its global trading partners, particularly China.

At the industry level, semiconductors and equipment along with health-care equipment and supplies and life sciences tools and services have seen the highest number of negative pre-announcements.

Technology has been at the core of President Donald Trump’s tariffs against $250 billion worth of Chinese goods. At the same time, his steel and aluminum duties are making a direct hit on the health-care industry, impacting about $1.8 billion worth of medical imports, according to Tara O’Neill Hayes, the deputy director of health-care policy for the American Action Forum.

The total tariff impact will cost the industry about $400 million, Hayes wrote in a recent report. In addition to tariffs, health care also faces a serious regulatory risk ahead, with leaders in both parties expressing interest in curbing the amount pharmaceutical companies can charge for their drugs.

Multinationals, in general, also are seeing a big tariff impact. FactSet estimates that companies doing more than half their sales outside the U.S. are looking at a more than 9% earnings decline on a year-over-year basis.

Determining the market impact is difficult, but the downbeat sentiment from companies will give investors plenty to think about as Wall Street tries to build on a Dow gain this year of 14.4%.

“Stocks are priced for perfection. You haven’t seen too much suffering yet, but it’s kind of incipient. It’s creeping into the numbers little by little,” said Mitchell Goldberg, president of ClientFirst Strategy. “When stocks are priced for perfection, even little things become insurmountable.”

One major attribute the market has going for it is that even at a slower pace, the U.S. is still outgrowing the rest of the world. However, mounting headwinds could send investors further into safe haven assets like bonds and gold, which have benefited during the intensifying U.S-China trade dispute.

“If you’re worried about earnings, you should be taking some chips off the table,” Goldberg said. “We’ve had a real nice rally this year. I wouldn’t be surprised if we had a pullback.”


Company: cnbc, Activity: cnbc, Date: 2019-07-01  Authors: jeff cox
Keywords: news, cnbc, companies, going, warning, tariffs, impact, tariff, brutal, industry, seen, negative, level, earnings, results, little, companies


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Analysts say Ive was one of Apple’s most important people, but they’re not worried about the stock

Apple said he is leaving later this year to start an independent design company that “will count Apple among its primary clients.” Analysts rued the announcement, as Ive had been with Apple for nearly 30 years. As Apple’s chief design officer, Ive styled the vast majority of Apple products over the past two decades, including the iPhone. Nomura Instinet analysts called his leaving “a sentimental negative,” as “he represents a particularly strong connection to Apple iconic heritage.” Here’s what


Apple said he is leaving later this year to start an independent design company that “will count Apple among its primary clients.” Analysts rued the announcement, as Ive had been with Apple for nearly 30 years. As Apple’s chief design officer, Ive styled the vast majority of Apple products over the past two decades, including the iPhone. Nomura Instinet analysts called his leaving “a sentimental negative,” as “he represents a particularly strong connection to Apple iconic heritage.” Here’s what
Analysts say Ive was one of Apple’s most important people, but they’re not worried about the stock Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-28  Authors: michael sheetz
Keywords: news, cnbc, companies, company, important, analysts, theyre, apple, ive, worried, stock, apples, negative, mr, ives, design, say, departure, impact


Analysts say Ive was one of Apple's most important people, but they're not worried about the stock

The announcement of the impending departure of longtime Apple longtime design leader Sir Jonathan “Jony” Ive came as little surprise to Wall Street analysts but it did drag on the company’s stock nonetheless.

Shares of Apple slipped 1% in early trading Friday from Thursday’s close of $199.74.

Apple said he is leaving later this year to start an independent design company that “will count Apple among its primary clients.”

Analysts rued the announcement, as Ive had been with Apple for nearly 30 years. As Apple’s chief design officer, Ive styled the vast majority of Apple products over the past two decades, including the iPhone.

“In our judgment, we view Jony Ive as one of the most important people at AAPL and perhaps second only to CEO Tim Cook presently in terms of impact to AAPL’s success,” Deutsche Bank said in a note to investors.

Nomura Instinet analysts called his leaving “a sentimental negative,” as “he represents a particularly strong connection to Apple iconic heritage.”

“His departure, therefore, should prompt much nostalgia, and may lead some investors to question Apple’s ability to retain leading industrial design,” Nomura said.

However, the analysts did not see this as a significant enough loss to the company to adjust their ratings or price targets. Nomura said the firm believes “this a sensible and even expected time for Mr. Ive to disengage,” while Evercore ISI said there will be little impact beyond the slight negative from the announcement.

“While Mr. Ive’s departure is a headline negative for the stock, given AAPL’s deep design bench and future relationship with Mr. Ive’s new company, we think any impact should be fairly limited,” Evercore ISI said.

Here’s what every major analyst had to say about Ive’s departure.


Company: cnbc, Activity: cnbc, Date: 2019-06-28  Authors: michael sheetz
Keywords: news, cnbc, companies, company, important, analysts, theyre, apple, ive, worried, stock, apples, negative, mr, ives, design, say, departure, impact


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Twitter rolls out new guidelines for world leaders that could impact Trump’s tweets

Twitter will start labeling tweets from influential government officials who break its rules, the company said in a blog post published Thursday. The rule marks a shift in Twitter’s response to how it handles tweets from world leaders. “We review Tweets by leaders within the political context that defines them, and enforce our rules accordingly,” Twitter said in the 2018 post. The notice will include a link to more information and say, “The Twitter Rules about abusive behavior apply to this Twee


Twitter will start labeling tweets from influential government officials who break its rules, the company said in a blog post published Thursday. The rule marks a shift in Twitter’s response to how it handles tweets from world leaders. “We review Tweets by leaders within the political context that defines them, and enforce our rules accordingly,” Twitter said in the 2018 post. The notice will include a link to more information and say, “The Twitter Rules about abusive behavior apply to this Twee
Twitter rolls out new guidelines for world leaders that could impact Trump’s tweets Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-27  Authors: lauren feiner
Keywords: news, cnbc, companies, impact, world, rule, rules, tweets, trumps, public, guidelines, blog, post, leaders, notice, twitters, rolls, twitter


Twitter rolls out new guidelines for world leaders that could impact Trump's tweets

Twitter will start labeling tweets from influential government officials who break its rules, the company said in a blog post published Thursday.

Shares of Twitter dipped about 1% on the news but recovered slightly.

The new rule responds to a common criticism of Twitter while being careful to avoid allegations of political bias. Over the last few years, users have questioned why Twitter does not take down tweets from President Donald Trump that appear to violate its content policies. While the blog post does not address Trump by name, it says the new rule will apply to verified government officials, representatives or candidates for a government position who have more than 100,000 followers.

The White House was not immediately available to comment on Twitter’s new policy.

The rule marks a shift in Twitter’s response to how it handles tweets from world leaders. In January 2018, the company said in a blog post it was concerned about blocking public access to information from world leaders, even if they seem controversial.

“Blocking a world leader from Twitter or removing their controversial Tweets would hide important information people should be able to see and debate,” Twitter wrote at the time. “It would also not silence that leader, but it would certainly hamper necessary discussion around their words and actions.”

“We review Tweets by leaders within the political context that defines them, and enforce our rules accordingly,” Twitter said in the 2018 post.

In the new policy released Thursday, Twitter said that for people who fit its new criteria, it will place a notice over tweets that violate its standards but it still deems to have some public interest value. Users will have to click through the notice in order to view the original tweet. The notice will include a link to more information and say, “The Twitter Rules about abusive behavior apply to this Tweet. However, Twitter has determined that it may be in the public’s interest for the Tweet to remain available,” according to the blog post.

Twitter said it will also make it harder for this type of message to spread by taking steps to keep the tweet from becoming “algorithmically elevated.”

Employees across Twitter’s trust and safety, legal, public policy and regional teams will determine whether a tweet is considered of public interest, according to the blog post. The team will come to a decision by evaluating factors including the “immediacy and severity of potential harm from the rule violation,” whether preserving the tweet will allow for public accountability and whether it provides unique context not otherwise available.

WATCH: Trump’s tweets can cost a company billions of dollars. Here’s how…


Company: cnbc, Activity: cnbc, Date: 2019-06-27  Authors: lauren feiner
Keywords: news, cnbc, companies, impact, world, rule, rules, tweets, trumps, public, guidelines, blog, post, leaders, notice, twitters, rolls, twitter


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North Korea says US extension of sanctions is ‘hostile’ act

A complete guide to the Trump-Xi meeting this weekStocks should rally if the U.S. and China agree to new negotiations and a ceasefire in the trade war, but the economic impact of tariffs will continue. Market Insiderread more


A complete guide to the Trump-Xi meeting this weekStocks should rally if the U.S. and China agree to new negotiations and a ceasefire in the trade war, but the economic impact of tariffs will continue. Market Insiderread more
North Korea says US extension of sanctions is ‘hostile’ act Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-26
Keywords: news, cnbc, companies, meeting, sanctions, act, trade, impact, rally, weekstocks, tariffs, extension, trumpxi, negotiations, north, korea, hostile, war, insiderread


North Korea says US extension of sanctions is 'hostile' act

A complete guide to the Trump-Xi meeting this week

Stocks should rally if the U.S. and China agree to new negotiations and a ceasefire in the trade war, but the economic impact of tariffs will continue.

Market Insider

read more


Company: cnbc, Activity: cnbc, Date: 2019-06-26
Keywords: news, cnbc, companies, meeting, sanctions, act, trade, impact, rally, weekstocks, tariffs, extension, trumpxi, negotiations, north, korea, hostile, war, insiderread


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Stocks making the biggest moves after hours: Micron, FedEx and more

A complete guide to the Trump-Xi meeting this weekStocks should rally if the U.S. and China agree to new negotiations and a ceasefire in the trade war, but the economic impact of tariffs will continue. Market Insiderread more


A complete guide to the Trump-Xi meeting this weekStocks should rally if the U.S. and China agree to new negotiations and a ceasefire in the trade war, but the economic impact of tariffs will continue. Market Insiderread more
Stocks making the biggest moves after hours: Micron, FedEx and more Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-25  Authors: jesse pound, yun li, maggie fitzgerald
Keywords: news, cnbc, companies, stocks, meeting, fedex, trade, micron, biggest, rally, impact, weekstocks, moves, tariffs, hours, making, trumpxi, negotiations, war, insiderread


Stocks making the biggest moves after hours: Micron, FedEx and more

A complete guide to the Trump-Xi meeting this week

Stocks should rally if the U.S. and China agree to new negotiations and a ceasefire in the trade war, but the economic impact of tariffs will continue.

Market Insider

read more


Company: cnbc, Activity: cnbc, Date: 2019-06-25  Authors: jesse pound, yun li, maggie fitzgerald
Keywords: news, cnbc, companies, stocks, meeting, fedex, trade, micron, biggest, rally, impact, weekstocks, moves, tariffs, hours, making, trumpxi, negotiations, war, insiderread


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Cramer Remix: Libra is a ‘genuinely positive thing’ for Facebook

Cramer Remix: Libra is a ‘genuinely positive thing’ for Facebook7:30 PM ET Tue, 18 June 2019Jim Cramer breaks down Facebook’s new cryptocurrency initiative and its potential impact on the stock.


Cramer Remix: Libra is a ‘genuinely positive thing’ for Facebook7:30 PM ET Tue, 18 June 2019Jim Cramer breaks down Facebook’s new cryptocurrency initiative and its potential impact on the stock.
Cramer Remix: Libra is a ‘genuinely positive thing’ for Facebook Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-18
Keywords: news, cnbc, companies, cramer, facebook, stock, positive, initiative, genuinely, impact, remix, libra, thing, potential


Cramer Remix: Libra is a 'genuinely positive thing' for Facebook

Cramer Remix: Libra is a ‘genuinely positive thing’ for Facebook

7:30 PM ET Tue, 18 June 2019

Jim Cramer breaks down Facebook’s new cryptocurrency initiative and its potential impact on the stock.


Company: cnbc, Activity: cnbc, Date: 2019-06-18
Keywords: news, cnbc, companies, cramer, facebook, stock, positive, initiative, genuinely, impact, remix, libra, thing, potential


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From Amsterdam to Venice, the impact of too many tourists sparks outrage and action

In this photo made on May 22, 2019, a long queue of mountain climbers line a path on Mount Everest. Several recent events, incidents and widely shared images have brought the issue of “overtourism,” and its economic, environmental and human consequences front and center. And last month the deaths of several climbers on Mount Everest was blamed on congestion on the trails near the top. The image broadcaster and adventurer Ben Fogle tweeted of a long line of climbers hoping to reach the summit may


In this photo made on May 22, 2019, a long queue of mountain climbers line a path on Mount Everest. Several recent events, incidents and widely shared images have brought the issue of “overtourism,” and its economic, environmental and human consequences front and center. And last month the deaths of several climbers on Mount Everest was blamed on congestion on the trails near the top. The image broadcaster and adventurer Ben Fogle tweeted of a long line of climbers hoping to reach the summit may
From Amsterdam to Venice, the impact of too many tourists sparks outrage and action Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-14  Authors: harriet baskas
Keywords: news, cnbc, companies, impact, mountain, tourism, tourist, climbers, mount, cruise, long, sparks, venice, outrage, line, everest, overtourism, tourists, amsterdam, action


From Amsterdam to Venice, the impact of too many tourists sparks outrage and action

In this photo made on May 22, 2019, a long queue of mountain climbers line a path on Mount Everest.

Several recent events, incidents and widely shared images have brought the issue of “overtourism,” and its economic, environmental and human consequences front and center.

For three days in April, 10 popular tourist sites in the Faroe Islands were closed for maintenance but open to volunteers who came to create new walking paths, construct viewpoints, erect signs and rebuild ancient cairns.

At the end of May, the Louvre Museum, the home of Leonardo da Vinci’s Mona Lisa painting and a must-do for any visitor to Paris, closed for one day after a walkout by workers who complained about overcrowding.

In Venice, where there’s a movement to ban cruise ships from disgorging thousands of tourists into an already over-visited city, the MSC Opera cruise ship rammed into a dock and a tourist riverboat on June 2, injuring five people.

And last month the deaths of several climbers on Mount Everest was blamed on congestion on the trails near the top.

The image broadcaster and adventurer Ben Fogle tweeted of a long line of climbers hoping to reach the summit may bring a limit to the number of hikers allowed on the mountain. Some have suggested a lottery; comedian Conan O’Brien joked about a Disney-style Everest Fastpass.

Around the world, tourism bureaus and governments are taking steps to combat the wear and tear overtourism is creating. And not all these actions are brand new.

“In the 1980s, the government of Bhutan implemented sustainable tourism policies by following a tourism model of high value, low impact,” said Erika Richter, spokeswoman for the American Society of Travel Advisors (ASTA).


Company: cnbc, Activity: cnbc, Date: 2019-06-14  Authors: harriet baskas
Keywords: news, cnbc, companies, impact, mountain, tourism, tourist, climbers, mount, cruise, long, sparks, venice, outrage, line, everest, overtourism, tourists, amsterdam, action


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Trade tensions have had a ‘significant’ impact on China, IMF says

Heightened trade tensions with the U.S. are beginning to hit China’s growth. “The trade tensions have had an impact, significant, but in our view, so far contained,” Kenneth Kang, deputy director of the Asia-Pacific Department at the IMF and leader of the visiting team, told CNBC in an interview Wednesday. “The renewed trade tensions are a significant source of uncertainty and a downside risk to our outlook … The IMF expects China’s growth to slow to 6% next year, and to 5.5% by 2024. Kang not


Heightened trade tensions with the U.S. are beginning to hit China’s growth. “The trade tensions have had an impact, significant, but in our view, so far contained,” Kenneth Kang, deputy director of the Asia-Pacific Department at the IMF and leader of the visiting team, told CNBC in an interview Wednesday. “The renewed trade tensions are a significant source of uncertainty and a downside risk to our outlook … The IMF expects China’s growth to slow to 6% next year, and to 5.5% by 2024. Kang not
Trade tensions have had a ‘significant’ impact on China, IMF says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-06-05  Authors: evelyn cheng
Keywords: news, cnbc, companies, chinese, unchanged, tensions, chinas, worth, significant, growth, china, far, trade, impact, imf


Trade tensions have had a 'significant' impact on China, IMF says

Containers are stacked on a vessel at the Port of Long Beach in Long Beach, California on July 6, 2018, including some from China Shipping, a conglomerate under the direct administration of China’s State Council.

Heightened trade tensions with the U.S. are beginning to hit China’s growth.

The International Monetary Fund (IMF) lowered its 2019 growth forecast for the world’s second-largest economy to 6.2% from 6.3% on Wednesday, after the conclusion of the organization’s visit to China over roughly the last two weeks.

“The trade tensions have had an impact, significant, but in our view, so far contained,” Kenneth Kang, deputy director of the Asia-Pacific Department at the IMF and leader of the visiting team, told CNBC in an interview Wednesday.

“The renewed trade tensions are a significant source of uncertainty and a downside risk to our outlook … But I think we need to wait a few more months,” he said.

The IMF expects China’s growth to slow to 6% next year, and to 5.5% by 2024.

Negotiations between Beijing and President Donald Trump’s administration took a turn for the worse in early May with the increase of tariffs on $200 billion worth of Chinese goods exported to the U.S., and an effective ban on American companies doing business with Chinese telecom giant Huawei. Beijing responded with tariffs on $60 billion worth of U.S. goods, the announcement of an “unreliable entities list” and a far tougher stance against U.S. requests.

U.S. Treasury Secretary Steven Mnuchin and People’s Bank of China Governor Yi Gang are expected to meet this weekend, but there is still no confirmation on whether Trump and Chinese President Xi Jinping will hold talks at the G-20 meeting in Japan at the end of the month to seal even a temporary deal.

The pressure from the U.S. on trade comes as China already faces slowing growth. In the last year, authorities have announced a slew of measures to improve financing to privately-run companies — which account for most of the jobs and economic growth — and tax cuts in order to boost consumption.

So far, those efforts have paid off.

Kang noted that “employment has held up” amid the heightened trade tensions. “We would encourage the authorities to rely more on market forces rather than on administrative targets to improve the efficiency, to make this lending sustainable,” he said.

Private survey data released this week indicated that China’s economy is just holding above the 50 level that indicates expansion. The Caixin/Markit factory Purchasing Managers’ Index for May was 50.2, unchanged from April. However, the services index fell to 52.7 in May, the lowest since February, according to Reuters.

China’s official (although frequently questioned) gross domestic product grew by 6.4% in the first quarter, unchanged from the prior quarter but down from 6.8% a year ago.


Company: cnbc, Activity: cnbc, Date: 2019-06-05  Authors: evelyn cheng
Keywords: news, cnbc, companies, chinese, unchanged, tensions, chinas, worth, significant, growth, china, far, trade, impact, imf


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Costco is looking at alternative sourcing and price hikes as tariffs loom

Costco Wholesale on Thursday reported quarterly profit and revenue that beat Wall Street estimates and said it would tackle the proposed round of tariffs on Chinese imports by sourcing goods from other countries and possible price increases. The warehouse club operator is the latest American retailer to warn of tariff hit, after dollar store chains Dollar Tree and Dollar General, earlier in the day, said rising tariffs would impact their businesses and consumers. Costco’s Chief Financial Officer


Costco Wholesale on Thursday reported quarterly profit and revenue that beat Wall Street estimates and said it would tackle the proposed round of tariffs on Chinese imports by sourcing goods from other countries and possible price increases. The warehouse club operator is the latest American retailer to warn of tariff hit, after dollar store chains Dollar Tree and Dollar General, earlier in the day, said rising tariffs would impact their businesses and consumers. Costco’s Chief Financial Officer
Costco is looking at alternative sourcing and price hikes as tariffs loom Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-05-31  Authors: fred imbert, sam meredith, eustance huang
Keywords: news, cnbc, companies, alternative, price, tariffs, sourcing, hikes, impact, wholesale, warehouse, dollar, galanti, looking, warn, costco, loom, whats, day, prices


Costco is looking at alternative sourcing and price hikes as tariffs loom

Costco Wholesale on Thursday reported quarterly profit and revenue that beat Wall Street estimates and said it would tackle the proposed round of tariffs on Chinese imports by sourcing goods from other countries and possible price increases.

The warehouse club operator is the latest American retailer to warn of tariff hit, after dollar store chains Dollar Tree and Dollar General, earlier in the day, said rising tariffs would impact their businesses and consumers.

Costco’s Chief Financial Officer Richard Galanti, on a post-earnings call with analysts, said the situation is “pretty fluid” and the company is looking to accelerate shipments before certain tariffs are put into effect.

“At the end of the day, prices will go up on things. What’s interesting is that it’s hard to predict what the impact is,” Galanti said.

“We want to be the last to raise them. And when prices are going down, we want to be the first to lower them. We’re not afraid to use some of those monies to again drive business.”


Company: cnbc, Activity: cnbc, Date: 2019-05-31  Authors: fred imbert, sam meredith, eustance huang
Keywords: news, cnbc, companies, alternative, price, tariffs, sourcing, hikes, impact, wholesale, warehouse, dollar, galanti, looking, warn, costco, loom, whats, day, prices


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