Warren pledges to turn down money from Big Tech and top Wall Street executives

Sen. Elizabeth Warren, D-Mass., took another stance against Big Tech and Wall Street firms on Tuesday by pledging to turn down large contributions from their executives. Warren announced on her campaign website that she will decline contributions over $200 from executives at Big Tech companies, large banks, private equity firms or hedge funds. Warren has been campaigning on her plan to “break up Big Tech” since March and has long been an outspoken critic of the finance industry. Warren has capit


Sen. Elizabeth Warren, D-Mass., took another stance against Big Tech and Wall Street firms on Tuesday by pledging to turn down large contributions from their executives. Warren announced on her campaign website that she will decline contributions over $200 from executives at Big Tech companies, large banks, private equity firms or hedge funds. Warren has been campaigning on her plan to “break up Big Tech” since March and has long been an outspoken critic of the finance industry. Warren has capit
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Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: lauren feiner tucker higgins, lauren feiner, tucker higgins
Keywords: news, cnbc, companies, campaign, tech, recently, private, turn, street, wall, executives, money, told, shes, warren, pledges, big


Warren pledges to turn down money from Big Tech and top Wall Street executives

Presidential candidate and U.S. Senator Elizabeth Warren (D-MA) speaks at a campaign rally at Keene State College in Keene, New Hampshire, September 25, 2019.

Sen. Elizabeth Warren, D-Mass., took another stance against Big Tech and Wall Street firms on Tuesday by pledging to turn down large contributions from their executives.

Warren announced on her campaign website that she will decline contributions over $200 from executives at Big Tech companies, large banks, private equity firms or hedge funds. After previously pledging not to take large contributions from pharmaceutical executives, Warren’s announcement on Tuesday expanded the umbrella of forbidden donors.

Some Democratic donors in those sectors have already expressed reluctance to side with the Massachusetts progressive.

“You’re in a box because you’re a Democrat and you’re thinking, ‘I want to help the party, but she’s going to hurt me, so I’m going to help President Trump,'” a senior private equity executive recently told CNBC on the condition of anonymity.

Warren has doubled down on her attacks on the tech and banking industries in recent weeks, claiming their executives wield a disproportionate amount of power on politics and elections. Warren has been campaigning on her plan to “break up Big Tech” since March and has long been an outspoken critic of the finance industry.

Warren has capitalized on the fear she’s stirred in executives at tech and banking firms over her campaign. After CNBC reported that Democratic donors on Wall Street are privately warning they may sit out or even back President Donald Trump’s re-election campaign should she be the nominee, Warren tweeted that she “won’t back down from fighting for the big, structural change we need.”

After a recording of a private staff meeting with Facebook CEO Mark Zuckerberg leaked calling her potential presidency an “existential” threat to the business, Warren used it in her ads encouraging supporters to donate to her campaign. This week, she escalated her fight with the company over its new policy that states ads placed by politicians will not be fact checked by deliberately running a false ad of her own.

Warren’s attacks on Big Tech have not kept some pockets of Silicon Valley from supporting her. Several Democratic donors in the region recently told CNBC they are now planning to support her campaign despite her unambiguous jabs at the tech industry.

“I think people are begrudgingly coming around to admit that she’s the best answer, because Bernie [Sanders] is crazy,” a California-based money manager recently told CNBC on the condition of anonymity. “The guy they thought they were going to get in Joe Biden is looking like an old man, and I think they are looking around and wondering who else is there.”

-CNBC’s Brian Schwartz contributed to this report.

Subscribe to CNBC on YouTube.

WATCH: Sen. Elizabeth Warren criticizes Facebook’s handling of political ads


Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: lauren feiner tucker higgins, lauren feiner, tucker higgins
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JP Morgan Chase shares surge after posting record revenue above Wall Street expectations

J.P. Morgan Chase posted profit and revenue that exceeded analysts’ expectations on the strength of consumer banking operations that helped the bank mitigate the impact of lower interest rates. Revenue also rose 8% to $30.1 billion, exceeding the $28.5 billion estimate, and the bank cited growth in home loans, auto and credit cards. The bank exceeded Dimon’s guidance on the strength of its bond trading desks: The bank posted $3.56 billion in fixed income trading revenue, exceeding estimates by m


J.P. Morgan Chase posted profit and revenue that exceeded analysts’ expectations on the strength of consumer banking operations that helped the bank mitigate the impact of lower interest rates. Revenue also rose 8% to $30.1 billion, exceeding the $28.5 billion estimate, and the bank cited growth in home loans, auto and credit cards. The bank exceeded Dimon’s guidance on the strength of its bond trading desks: The bank posted $3.56 billion in fixed income trading revenue, exceeding estimates by m
JP Morgan Chase shares surge after posting record revenue above Wall Street expectations Cached Page below :
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JP Morgan Chase shares surge after posting record revenue above Wall Street expectations

J.P. Morgan Chase posted profit and revenue that exceeded analysts’ expectations on the strength of consumer banking operations that helped the bank mitigate the impact of lower interest rates.

The bank said third-quarter profit rose 8% to $9.1 billion, or $2.68 a share, exceeding the $2.45 estimate of analysts surveyed by Refinitiv. Revenue also rose 8% to $30.1 billion, exceeding the $28.5 billion estimate, and the bank cited growth in home loans, auto and credit cards. The stock rose 1.7 percent in early trading.

“The consumer remains healthy with growth in wages and spending, combined with strong balance sheets and low unemployment levels,” CEO Jamie Dimon said in the earnings release. “This is being offset by weakening business sentiment and capital expenditures mostly driven by increasingly complex geopolitical risks, including tensions in global trade.”

Banks have this year on worries the Federal Reserve’s shift to easing rates will squeeze the industry’s profit margins. The Fed cut rates twice in the third quarter to avert a slowdown, and banks including J.P. Morgan and Wells Fargo warned last month that net interest income would be lower than earlier guidance.

Still, the bank posted $14.4 billion in the third quarter, exceeding the estimate of Morgan Stanley’s Betsy Graseck by almost $300 million, as J.P. Morgan grew its balance sheet, the firm said.

Despite fears of an encroaching slowdown, the consumer has supported the U.S. economy, borrowing more and largely repaying debts on time. Analysts will scrutinize the bank’s charge-offs for any signs of weakness in consumer and corporate borrowing.

Another area that will be closely watched is J.P. Morgan’s trading desks. While CEO Jamie Dimon said last month that third-quarter trading revenue is expected to climb 10% from a year earlier, that figure is still 10% lower than the bank’s results in the second quarter, when it posted $5.2 billion.

The bank exceeded Dimon’s guidance on the strength of its bond trading desks: The bank posted $3.56 billion in fixed income trading revenue, exceeding estimates by more than $300 million. Equities trading posted $1.52 billion in revenue, just under the $1.58 estimate.

Here’s what Wall Street expected:

Earnings: $2.45 per share, a 4.7% increase from a year earlier, according to Refinitiv.

$2.45 per share, a 4.7% increase from a year earlier, according to Refinitiv. Revenue: $28.5 billion, a 2.4% increase from a year earlier.

$28.5 billion, a 2.4% increase from a year earlier. Net Interest Margin: 2.41%.

2.41%. Trading Revenue: Equities $1.58 billion, Fixed Income $3.19 billion, according to FactSet.

This is breaking news. Please check back for updates.


Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: hugh son
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J&J beats third-quarter earnings expectations on higher prescription drug sales; shares rise

Johnson & Johnson reported third-quarter earnings and revenue Tuesday that beat Wall Street’s expectations, boosted by higher sales of cancer and other prescription drugs. J&J’s pharmaceutical business, which accounts for half of the company’s revenue, posted revenue of $10.88 billion, better than the $10.41 billion projection compiled by StreetAccount. The company’s consumer unit, which makes beauty products such as Neutrogena, reported revenue of $3.46 billion, in line with Wall Street’s expec


Johnson & Johnson reported third-quarter earnings and revenue Tuesday that beat Wall Street’s expectations, boosted by higher sales of cancer and other prescription drugs. J&J’s pharmaceutical business, which accounts for half of the company’s revenue, posted revenue of $10.88 billion, better than the $10.41 billion projection compiled by StreetAccount. The company’s consumer unit, which makes beauty products such as Neutrogena, reported revenue of $3.46 billion, in line with Wall Street’s expec
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Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: berkeley lovelace jr, in berkeleylovelace
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J&J beats third-quarter earnings expectations on higher prescription drug sales; shares rise

Johnson & Johnson reported third-quarter earnings and revenue Tuesday that beat Wall Street’s expectations, boosted by higher sales of cancer and other prescription drugs.

Here’s what the company reported compared with Wall Street estimates, based on a survey of analysts by Refinitiv:

Adjusted earnings per share: $2.12 versus $2.01 expected

Revenue: $20.73 versus $20.07 billion expected

J&J also raised its full-year guidance and now sees earnings between $8.62 and $8.67 per share, with revenue in the range of $81.8 billion to $82.3 billion.

Shares of J&J were up more than 2% in premarket trading.

J&J’s pharmaceutical business, which accounts for half of the company’s revenue, posted revenue of $10.88 billion, better than the $10.41 billion projection compiled by StreetAccount.

The company’s consumer unit, which makes beauty products such as Neutrogena, reported revenue of $3.46 billion, in line with Wall Street’s expectations. J&J’s medical device unit reported revenue of $6.3 billion, slightly better than $6.27 billion analysts were expecting.

“Our third-quarter results represent strong performance, driven by competitive underlying growth in Pharmaceuticals and Medical Devices, as well as continued optimization in our Consumer business,” J&J Chairman and CEO Alex Gorsky said in a statement.

Sales J&J’s rheumatoid arthritis drug Remicade fell 24% year over year. Sales of its multiple myeloma drug Darzalex increased 53.5% year over year to $765 million, while sales of cancer drug Imbruvica increased 30.6% to $921 million.

The maker of popular consumer product brands like Tylenol and Aveeno, J&J is facing thousands of lawsuits ranging from claims that its talc-based baby powder causes cancer to allegations that it helped fuel that nationwide opioid epidemic.

J&J in August was ordered by an Oklahoma judge to pay the state $572 million in the first ruling in the U.S. holding a drugmaker accountable for the epidemic. And last week, a Philadelphia jury ordered J&J to pay $8 billion in punitive damages for downplaying risks that its antipsychotic drug Risperdal could promote breast growth in boys.

Chief Financial Officer Joseph Wolk told CNBC on Tuesday that the company is open to “a reasonable” settlement that would settle the hundreds of opioid lawsuits from state and local municipalities, adding its painkillers represented less than 1% of the overall market.

“Where is makes sense for all stakeholders, we’ll look to have a settlement,” he said on “Squawk Box.”

Earlier this month, J&J settled opioid claims with two Ohio counties for $20.4 million.

The company did not report its litigation expenses for the third quarter.

Despite the lawsuits, J&J’s shares were up by about 1% so far this year as of Monday, and some Wall Street analysts were expecting a relatively uneventful quarter with modest growth in its pharmaceutical and consumer units.


Company: cnbc, Activity: cnbc, Date: 2019-10-15  Authors: berkeley lovelace jr, in berkeleylovelace
Keywords: news, cnbc, companies, expectations, thirdquarter, prescription, drug, rise, billion, reported, opioid, lawsuits, earnings, wall, revenue, consumer, sales, higher, shares


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Wall Street set for a higher open

Wall Street set for a higher open1 Hour AgoU.S. stock index futures were higher Tuesday morning, as traders look ahead to the kick-off of earnings season. CNBC’s Rahel Solomon reports.


Wall Street set for a higher open1 Hour AgoU.S. stock index futures were higher Tuesday morning, as traders look ahead to the kick-off of earnings season. CNBC’s Rahel Solomon reports.
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Keywords: news, cnbc, companies, reports, solomon, rahel, traders, open, street, wall, stock, season, higher, set


Wall Street set for a higher open

Wall Street set for a higher open

1 Hour Ago

U.S. stock index futures were higher Tuesday morning, as traders look ahead to the kick-off of earnings season. CNBC’s Rahel Solomon reports.


Company: cnbc, Activity: cnbc, Date: 2019-10-15
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Trump needs more than a ‘phase one’ US-China trade deal to boost 2020 odds, GOPers say

President Donald Trump has hailed the partial trade agreement with China as the “greatest and biggest deal ever made for our Great Patriot Farmers.” And Trump will need a better one if he hopes to use it to boost his reelection odds, according to Republican and Democratic strategists. Only a real resolution of the trade war, not a sweet sounding press release, will matter,” Sabato said. The trade war between the U.S. and China has been particularly damaging to states dominated by farm and manufa


President Donald Trump has hailed the partial trade agreement with China as the “greatest and biggest deal ever made for our Great Patriot Farmers.” And Trump will need a better one if he hopes to use it to boost his reelection odds, according to Republican and Democratic strategists. Only a real resolution of the trade war, not a sweet sounding press release, will matter,” Sabato said. The trade war between the U.S. and China has been particularly damaging to states dominated by farm and manufa
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Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: tucker higgins
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Trump needs more than a 'phase one' US-China trade deal to boost 2020 odds, GOPers say

President Donald Trump, right, shakes hands with Liu He, China’s vice premier, during a meeting in the Oval Office of the White House in Washington, D.C., on Friday, Oct. 11, 2019.

President Donald Trump has hailed the partial trade agreement with China as the “greatest and biggest deal ever made for our Great Patriot Farmers.”

The unwritten agreement, announced on Friday after high-level talks between the two superpowers, has so far been described only in vague terms, and is expected to come in phases. And Trump will need a better one if he hopes to use it to boost his reelection odds, according to Republican and Democratic strategists.

“Trump won the big three (MI PA WI) by a grand total of 77,000 votes. It doesn’t take much of a shift to reverse that,” Larry Sabato, a leading elections analyst and director of the Center for Politics at the University of Virginia, said in an email, referring to Michigan, Pennsylvania and Wisconsin.

“As the old saying goes, you can’t eat hope. Only a real resolution of the trade war, not a sweet sounding press release, will matter,” Sabato said.

The trade war between the U.S. and China has been particularly damaging to states dominated by farm and manufacturing economies, where the president’s 2016 margin was in some places thin. State polls show that his standing in those states, which include Michigan, Pennsylvania and Wisconsin, has soured since he took office. Trump, however, remains the favorite for 2020 in betting markets.

According to the White House, phase one will be written over the next few weeks and will include Chinese purchases of up to $50 billion in American agricultural goods. So far, though, Wall Street analysts and Chinese state media have been skeptical about the prospects that the deal will move the countries closer to an effective truce in their damaging trade war, which has rattled markets and threatened global growth.

Republican strategists and experts also agree that more is needed. Until the trade agreement wins over Wall Street and the broader business community, it’s unlikely to matter to everyday voters who generally vote based on economic conditions, they said.

“This trade deal is being sold as something that will help America and the economy. It needs to do all those things,” said Matt Gorman, a former communications director for the National Republican Congressional Committee. “It’s more about the outcome than the process.”

Carlos Curbelo, a Republican former congressman from Florida, said he expected few voters will look at the details of the deal itself. But, he said, they will be paying attention to what happens to unemployment numbers and the balances of their 401(k) retirement accounts. On that front, he said, he was skeptical.

“I don’t think this partial agreement is enough, because it does not provide the economy and the markets the long-term certainty that they seek,” Curbelo said. “There was some early optimism and enthusiasm, but I think as more details emerge, we are seeing that early energy start to wane.”

Markets initially soared on news of the trade deal before losing much of their gains in short order after Treasury Secretary Steven Mnuchin told CNBC on Monday that tariffs slated for December will still go into effect without another agreement. Friday’s deal also left in place tariffs from September on a broad range of Chinese-made consumer items.


Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: tucker higgins
Keywords: news, cnbc, companies, trump, trade, war, wall, boost, say, phase, odds, deal, agreement, needs, gopers, republican, voters, think, uschina, white


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Wall Street faces a tough earnings season: ‘Caution probably makes sense right now’

Companies head into the third-quarter earnings reporting period with trouble behind, more hazards ahead and a muddied road map to guide the journey. As the season kicks into gear this week, S&P 500 firms are expected to report a 4.6% earnings decline over the same period a year ago, according to FactSet. But caution probably makes sense right now.” There’s actually been good news in the nascent earnings season as 21 of 23 companies that have reported thus far have beaten Wall Street estimates on


Companies head into the third-quarter earnings reporting period with trouble behind, more hazards ahead and a muddied road map to guide the journey. As the season kicks into gear this week, S&P 500 firms are expected to report a 4.6% earnings decline over the same period a year ago, according to FactSet. But caution probably makes sense right now.” There’s actually been good news in the nascent earnings season as 21 of 23 companies that have reported thus far have beaten Wall Street estimates on
Wall Street faces a tough earnings season: ‘Caution probably makes sense right now’ Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: jeff cox
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Wall Street faces a tough earnings season: 'Caution probably makes sense right now'

Companies head into the third-quarter earnings reporting period with trouble behind, more hazards ahead and a muddied road map to guide the journey.

As the season kicks into gear this week, S&P 500 firms are expected to report a 4.6% earnings decline over the same period a year ago, according to FactSet. If the period ends up with a negative number, that will make three quarters in a row, the first time that’s happened in three years.

Investors never seem to focus on what’s in the rearview mirror as much as they do the outlook for what’s on the horizon.

In this case, though, they’re likely to see the same thing: Profits weighed down by tariffs, economic weakness and geopolitical tumult that seems unlikely to go away anytime soon, despite the recent good news that the U.S. and China have reached at least the first phase of a trade agreement.

“I don’t think we flipped the switch last weekend,” Art Hogan, chief market strategist at National Holdings, said in regard to the trade news. “My guess is the tone’s going to be as cautious as it’s been. But caution probably makes sense right now.”

There’s actually been good news in the nascent earnings season as 21 of 23 companies that have reported thus far have beaten Wall Street estimates on bottom-line profit, while 12 of those firms have exceeded revenue forecasts. Bank of America Merrill Lynch says there’s an 82% correlation between how early reporters do compared to how the rest of the season goes.

Still, the firm, like a number of others on the Street, says expectations for the future need to be tempered.

“We think consensus is too high for 4Q and 2020, and lower guidance vs consensus could be a key risk for stocks this earnings season,” Savita Subramanian, equity and quant strategist at BofAML, told clients in a recent note. “Companies’ lack of visibility into next year, with just three months left in the year, will likely build more uncertainty among investors and likely result in lower 2020 estimates, in our view.”


Company: cnbc, Activity: cnbc, Date: 2019-10-14  Authors: jeff cox
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SoftBank is reportedly seeking to take control of WeWork through a financing package

SoftBank has readied a financing package to take control of WeWork and further sideline the company’s founder Adam Neumann, The Wall Street Journal reported, citing people familiar with the matter. SoftBank already owns one-third of WeWork, but is aiming to invest several billion dollars in additional equity and debt in the company, sources told The Journal. SoftBank CEO Masayoshi Son, who invested billions of dollars in WeWork, led the charge to remove Neumann as CEO, people familiar with Son’s


SoftBank has readied a financing package to take control of WeWork and further sideline the company’s founder Adam Neumann, The Wall Street Journal reported, citing people familiar with the matter. SoftBank already owns one-third of WeWork, but is aiming to invest several billion dollars in additional equity and debt in the company, sources told The Journal. SoftBank CEO Masayoshi Son, who invested billions of dollars in WeWork, led the charge to remove Neumann as CEO, people familiar with Son’s
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Company: cnbc, Activity: cnbc, Date: 2019-10-13  Authors: spencer kimball
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SoftBank is reportedly seeking to take control of WeWork through a financing package

SoftBank has readied a financing package to take control of WeWork and further sideline the company’s founder Adam Neumann, The Wall Street Journal reported, citing people familiar with the matter.

SoftBank already owns one-third of WeWork, but is aiming to invest several billion dollars in additional equity and debt in the company, sources told The Journal. The potential deal would shift Neumann’s already diminished voting power to the Japanese conglomerate, according to the Journal. This would give give SoftBank a bigger role in turning around the company’s operations.

The situation is fluid and there’s no guarantee that a deal will be reached.

Neumann announced last month that he was stepping down as CEO after the company delayed its initial public offering amid an uproar over its governance and valuation. A source told CNBC at the time that Neumann was also giving up majority control by agreeing to a reduction of his voting power from 10:1 to 3:1. He was the company’s largest individual stakeholder with about 115 million shares.

SoftBank CEO Masayoshi Son, who invested billions of dollars in WeWork, led the charge to remove Neumann as CEO, people familiar with Son’s thinking told CNBC at the time.

SoftBank had invested $2 billion in WeWork at a valuation of $47 billion in January. WeWork’s aborted IPO would have forced SoftBank to write down its investment, with operating profit taking a 15% hit if the public offering had been valued at $20 billion, according to analysts at research firm Bernstein.

— CNBC’s Alex Sherman and Laura Feiner contributed to this report

Read the full report in The Wall Street Journal


Company: cnbc, Activity: cnbc, Date: 2019-10-13  Authors: spencer kimball
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Trade war fallout is holding market ‘hostage,’ top investor says

“The market has basically been held hostage by the trade negotiations,” the firm’s chief investment officer told CNBC’s “Trading Nation” on Friday. We still have trade negotiations going on with the EU [and] the ratification of NAFTA 2.0.” With trade optimism filtering through Wall Street, the Dow rose almost 320 points or 1.2% on Friday. “I’m not totally convinced that the market is going to break out from the range we’ve been in. According to Mills, that’ll suppress recession talk and return o


“The market has basically been held hostage by the trade negotiations,” the firm’s chief investment officer told CNBC’s “Trading Nation” on Friday. We still have trade negotiations going on with the EU [and] the ratification of NAFTA 2.0.” With trade optimism filtering through Wall Street, the Dow rose almost 320 points or 1.2% on Friday. “I’m not totally convinced that the market is going to break out from the range we’ve been in. According to Mills, that’ll suppress recession talk and return o
Trade war fallout is holding market ‘hostage,’ top investor says Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2019-10-13  Authors: stephanie landsman
Keywords: news, cnbc, companies, market, holding, trade, street, mills, think, start, investor, stocks, wall, going, war, week, hostage, fallout


Trade war fallout is holding market 'hostage,' top investor says

Bryn Mawr’s Jeffrey Mills believes the market needs more time to break out of its slump.

Despite President Donald Trump’s decision to suspend this week’s U.S. tariff increases on $250 billion of Chinese goods, Mills questions whether it’s enough to boost stocks into year-end.

“The market has basically been held hostage by the trade negotiations,” the firm’s chief investment officer told CNBC’s “Trading Nation” on Friday. “I don’t know that we’re out of the woods yet with China. We still have trade negotiations going on with the EU [and] the ratification of NAFTA 2.0.”

Yet, stocks closed the week on a high note. With trade optimism filtering through Wall Street, the Dow rose almost 320 points or 1.2% on Friday. The S&P 500 also rallied more than one percent. Plus, both indexes broke three week losing streaks.

However, Mills, who has $15 billion in assets under management, suggests it’s risky to assume stocks are ready to take off.

“I’m not totally convinced that the market is going to break out from the range we’ve been in. I think range-bound for the rest of the year is probably what’s going to happen,” he said. “My guess is we still get some soft economic data as we go through the end of the year.”

Right now, Mills urges investors to carefully examine their portfolios.

“Make sure the risks you are taking in your portfolio are intentional. You want to be tactical. Play defense for now,” he said. “The economy today is still dealing with the tightening of financial conditions via rising interest rates that we saw in 2018.”

The time to get more aggressive, he added, would be early next year. That’s when Mills would start incorporating cyclical plays.

“When you move into the first quarter of 2020, you’re actually going to see a turn — a bottoming in the global manufacturing sector,” he said.

According to Mills, that’ll suppress recession talk and return optimism to Wall Street even if an official trade deal between the U.S. and China hasn’t happened.

“As long as there is a credible de-escalation where investors don’t think the tariffs will spiral out of control, if you start to get some evidence that the global manufacturing sector is bottoming, that could still help,” Mills said. “The timing could still work.”

Disclaimer


Company: cnbc, Activity: cnbc, Date: 2019-10-13  Authors: stephanie landsman
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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.”
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Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: keris lahiff
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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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Wall Street has doubts after partial trade deal: ‘I don’t think…Today’s rally clearly indicates that the market is happy for the moment with just a partial deal. But the Dow gave up 200 of its 500-point gain in the final half hour as… Trader Talk with Bob Pisaniread more


Wall Street has doubts after partial trade deal: ‘I don’t think…Today’s rally clearly indicates that the market is happy for the moment with just a partial deal. But the Dow gave up 200 of its 500-point gain in the final half hour as… Trader Talk with Bob Pisaniread more
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Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: michael bloom
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Macro headwinds are a buying opportunity for these stocks, Wall Street analysts say

Wall Street has doubts after partial trade deal: ‘I don’t think…

Today’s rally clearly indicates that the market is happy for the moment with just a partial deal. But the Dow gave up 200 of its 500-point gain in the final half hour as…

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Company: cnbc, Activity: cnbc, Date: 2019-10-12  Authors: michael bloom
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