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Thursday, November 1, 2018

Apple and Starbucks earnings; Brexit relief; Google walkout

1. Apple results: Flattening iPhone sales have been a source of concern at Apple for some time. The big question on Thursday is how the new models are selling. The company will report quarterly earnings after the bell, with expected revenue between $60 billion and $62 billion.
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News: What you need to know about the markets
 
 
Apple and Starbucks earnings; Brexit relief; Google walkout
By Ivana Kottasová, CNN Business
 
1. Apple results: Flattening iPhone sales have been a source of concern at Apple for some time. The big question on Thursday is how the new models are selling.
 
The company will report quarterly earnings after the bell, with expected revenue between $60 billion and $62 billion.
 
Shares in Apple (APPL) have soared more than 29% so far this year.
 
2. Starbucks earnings: Starbucks (SBUX) will also report earnings after the close.
 
The coffee company has been struggling with controversy, sluggish sales and underperforming stores. Its stock is up just 1% for the year.
 
Investors will be curious to hear more from CEO Kevin Johnson, who took over in April and promised to turn the company around. He said he would be more strategic about opening new stores, while investing in innovation and digital offerings.
 
3. Brexit progress? The pound increased 1% against the dollar on Thursday to trade at $1.29.
 
The move comes after Reuters reported that Britain is close to agreeing a deal with the European Union that would give UK firms "some form of access to European markets."
 
Shares in major British banks including Barclays (BCS), RBS (RBS), and Lloyds (LYG) jumped around 3%.
 
Much remains uncertain: Time is running out for the parties to strike a withdrawal agreement, which must then be signed off by UK parliament.
 
4. Google walkout: Google (GOOGL) employees around the world are protesting how their employer deals with sexual harassment.
 
The demonstrations, dubbed "Google Walkout," follow an outcry over a New York Times investigation that detailed years of sexual harassment allegations, multimillion-dollar severance packages for accused executives, and a lack of transparency over the cases.
 
Google CEO Sundar Pichai has voiced his support for the walkouts.
 
"We let Googlers know that we are aware of the activities planned for Thursday and that employees will have the support they need if they wish to participate," Pichai said in a statement to CNN on Wednesday.
 
5. Global market overview: US stock futures were pointing higher.
 
European markets opened in positive territory following a mixed session in Asia.
 
The Dow closed 1% higher on Wednesday, while the S&P 500 added 1.1%.
 
The Nasdaq gained 2%, trimming its monthly decline to 9.2%. Still, October was the index's worst month since November 2008.
 
Before the Bell newsletter: Key market news. In your inbox. Subscribe now!
 
6. Earnings and economics: Cigna (CI), DowDuPont (DWDP), Hanesbrands (HBI), LendingTree (TREE), New York Times (NYT), Royal Dutch Shell (RDS.A), Sotheby's (BID) and Spotify (SPOT) will release earnings before the open.
 
Caesars Entertainment (CZR), CBS (CBS), El Pollo Loco (LOCO), GoPro (GPRO), Kraft Heinz (KHC), MetLife (MET), RE/MAX Holdings (RMAX), Shake Shack (SHAK), U.S. Steel (X) and Western Union (WU) will report after the close.
 
The Institute for Supply Management plans to release its manufacturing index for October at 10 a.m. ET.
 
Shares in Credit Suisse (CS) dropped 4% after the bank reported disappointing revenue. CEO Tidjane Thiam said the third quarter presented "much more challenging conditions and lower levels of client activity."
 
Markets Now newsletter: Get a global markets snapshot every afternoon. Sign up now!
 
 
Coming this week:
 
 
Thursday — Apple (AAPL), AMC Networks (AMC), Progressive (PGR), CBS Corp. (CBS), Cigna (CI), Starbucks (SBUX), Shake Shack (SHAK), Kraft Heinz (KHC), GoPro (GPRO), Wayfair (W) and Spotify (SPOT) earnings
Friday — Chevron (CVX), Exxon (XOM), Newell Brands (NWL), United States Steel Corp (X), MSG Networks (MSGN), and Seagate Technology (STX) earnings; US jobs report
 
 
Key Market Stats Latest Today's Change
Oil $64.84 -2.75 / -4.07%
Gold $1,225.50 -10.30 / -0.83%
10-yr 3.16% +0.05 / +1.58%
Euro $1.14 +0.01 / +0.51%
 
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This might be the most racist political ad in 30 years

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Thursday 11.1.18

Your trick-or-treating kids brought home candy you can't stand? (We're looking at you, licorice.) No worries. Check out the candy machine that swaps out all the treats you hate. Here's what else you need to know to Get Up to Speed and Out the Door.

By Doug Criss
Indonesia plane crash
 
A big breakthrough in the Lion Air crash investigation: One of the plane's so-called "black boxes" has been found. Video shows divers bringing the device, which houses flight data, aboard a rescue ship. Its discovery should help explain why the plane, a practically new Boeing 737, crashed into the Java Sea this week off Jakarta, killing 189 people. Some parts of the fuselage may have also been found.
 
Jamal Khashoggi
 
Jamal Khashoggi was strangled as he entered Saudi Arabia's consulate in Istanbul last month, Turkish prosecutors said, adding it was all part of a premeditated plan. The chief prosecutor's office in Istanbul also said Khashoggi's body was dismembered. It's still unclear what happened to the journalist's remains, but The Washington Post reports they may have been destroyed in acid at the consulate or at the residence of the Saudi consul general. Turkey's President wants Saudi Arabia to reveal the location of Khashoggi's body and hand over 18 suspects. Meantime, the US is trying to capitalize on Saudi weakness over Khashoggi to end the brutal civil war in Yemen and ease a regional standoff with Qatar, officials said.
 
Midterm elections
 
We're in the home stretch in this election cycle, and things are heating up. President Trump, on a multistate campaign swing, released a new ad on immigration that some are calling the most racist political ad in three decades. In keeping with his immigration theme, the President said he might send 15,000 troops to defend the southern border and doubled down on his vow to end birthright citizenship with an executive order (Spoiler alert: He can't). Speaking of which, here's what the 14th Amendment really says.

Meanwhile, here in Georgia, the gubernatorial candidates are bringing in the big guns. Democrat Stacey Abrams will have Oprah -- yes, that Oprah -- campaigning for her today. But Republican Brian Kemp is no slouch on big-time surrogates either. He'll have both President Trump and Vice President Mike Pence in the Peach State before polls open Tuesday.
 
Maryland football
 
DJ Durkin's return as the University of Maryland's head football coach lasted all of one day. The school's outgoing president fired Durkin, who had been on leave since the death this year of player Jordan McNair after a team workout. Maryland's board of regents had given Durkin the OK to come back Tuesday, after a report on the football team's culture said it wasn't "toxic." But that decision outraged McNair's family, students, faculty and some Maryland lawmakers, so Durkin got axed. Others on the coaching staff are still on leave, and a strength coach was fired, too. An independent medical report found several issues with McNair's treatment, including failure to assess his vital signs and recognize his heat illness, and not having proper cooling devices.
 
'Whitey' Bulger
 
We now know how mob boss and FBI informant James "Whitey" Bulger died, and it was just as violent as the life he lived. Bulger, 89, was beaten beyond recognition at a West Virginia prison by multiple attackers. They also tried to cut his tongue out, a law enforcement official said. That vicious punishment is popular in the organized crime world for people who cooperate with law enforcement; one of two suspects in the brutal beating is a Mafia hit man.
 

People are talking about these. Read up. Join in.

In and out
Park rangers at Yellowstone warn people not to throw stuff into the geysers because sooner or later (sometimes decades later) it all comes back out.

Wonder woman
Most people, when they have painful kidney stones, stay in bed. When gymnast Simone Biles gets them, she leads Team USA to a world championship.

Turning a page
When their favorite bookstore was forced to relocate after a rent increase, these English book lovers formed a human chain to move the books.

End of the road
After 20 years, Tyler Perry is killing off his iconic "Madea" character because he doesn't "want to be her age, playing her."

The office, Part 1
Pay raises and hiring decisions voted on by workers? Yep, that's just how things work at this travel insurance website.

The office, Part 2
Or we could all go work at the company that lets you drink as many as four glasses of beer per day at its offices.
 
Will you do the fandango?
With a new movie about Queen coming out, "Bohemian Rhapsody" seems to be everywhere again. Here, it's performed in about every singing style imaginable. (Click to view.)
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