Comcast is preparing a $60 billion cash offer for entertainment assets of 21st Century Fox, topping Disney's $52.4 billion all-stock bid. Activist investor Christopher Hohn has urged Fox owner Rupert Murdoch to fairly consider Comcast's offer and to ignore a potential tax advantage from Disney's bid.
The US has not yet decided whether to lift a ban on Chinese telecommunication firm ZTE, Secretary of State Mike Pompeo says. A suggestion that President Donald Trump might relax sanctions on ZTE has met resistance from a legislative committee, which has voted overwhelmingly for sanctions to stay.
The S&P 500 has capacity to pass 3,000 points by early 2019, says technical analyst Peter Lee, who has set a target of 3,109. Lee acknowledges a long rally is reaching maturity but says a general uptrend is still in place, though he cautions the index might struggle to exceed his target, which could prompt a correction.
Strife within the UK government regarding its Brexit policy is adversely affecting the pound, foreign exchange strategist Viraj Patel says, as the currency continues to lose against the US dollar and the euro. "These fresh political hits could keep sentiment for GBP dented in the near term," Patel says.
Wells Fargo Chief Marketing Officer Jamie Moldafsky said recent news of employees improperly altering corporate customers' documents provides a "very good example" of how the company is proactively looking to fix internal problems. The internal discovery of the issue and quick escalation to regulators is in line with the bank's new campaign, which "is very honest and transparent," Moldafsky said.
The European Investment Fund, which is controlled by European governments and a few banks, is moving to a niche market in which banks pay investors fees to cover possible loan losses, critics say. They contend the move gives banks' balance sheets an illusion of health, but taxpayers are exposed to losses if a bank encounters difficulties because no assets actually change hands.
The eurozone economy is strong, but growth is falling, according to IHS Markit purchasing managers' surveys. Expansion of the German economy has declined to the lowest rate in 20 months, while French growth has slipped to the lowest rate in 1½ years.
Deutsche Bank is considering shedding nearly 10,000 jobs, or 1 in 10 workers, to reduce costs, sources say, after months of discussions about the scale of job losses. The bank's share price has tumbled almost a third this year.
The European Commission has recommended taking France out of excessive-deficit procedures for EU states with deficits that exceed 3% of GDP. The commission predicts France's deficit will 2.3% of GDP this year.
Regulators are monitoring developments in financial technology for signs of risk to stability or competition, says William Coen, secretary general of the Basel Committee on Banking Supervision. Coen says he sees no cause for concern, "but we will be watching".
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