Tempting Tuesday - Weak Dollar Props Up the Markets

UUP WEEKLY Whenever the manipulators need to boost the markets, they just crash the Dollar.

And what a dive we've had! As you can see from Dave Fry's Chart, the Dollar is down 7% since last summer and down 2.5% this year and that keeps stocks and commodities 2.5% higher – because we buy them with Dollars.

Keep in mind, at the same time you are buying IBM shares for $200, someone is buying the same shares for 20,400 Yen and another guy is buying them for 340 British Pounds and yet another guy is buying them for 280 Euros.

It's obvious that, if the value of the Pound or the Yen or the Euro changes, the price of IBM in those currencies will change to reflect the currrency valuation but Americans tend not to realize the same thing happens when the Dollar gets stronger or weaker too. Once you do realize this – you have a huge advantage in trading the Futures (and we have a Live Futures Workshop this afternoon at 1pm).

SPX WEEKLY The Fed's easy-money policies keep the Dollar weak (because we're printing another Trillion of them each year and, in this economy, no one is using them – ie. no demand) and that has goosed the market by 7% since last summer, when the S&P was about 1,650 – about 10% lower than it is now.

That means that 75% of the gains in the S&P since last summer have been the result of a weak currency and have noting to do with a "strong" economy. Now THAT makes sense, doesn't it?

"THEY" had to tank the Dollar to get us over the 1,600 level, which was a very key technical off our consolidated bottom at 800 during the crash. It's no coincidence that we were hitting resistance there in May and pulling back to 1,560 and looking weak in July when, suddenly, the Fed went into a new round of crazy, which led to 6 months of fairly steady value erosion for every single Dollar you have worked for and saved your entire life.

It's kind of a tax on you – the Government has reduced the value (in International Terms) of EVERYTHING you have by 7% in order to transfer market wealth to the top 1%, who own 85% of all equities and, of course, who control pretty much 100% of all corporations, who are able to use their inflated stock prices as collateral to sell or borrow against (or acquire other companies). It's a fantastic game – if you're the one on the top of it!

It's also a great way for the Government to reduce their debt, which is mainly owed to foreign Governments like Japan and China. A weaker Dollar means our debt, which is priced in fixed Dollars can be paid back with less Yuan, Yen, Pounds and Euros. It's not that simple of course – Japan is racing us to the bottom as they try to devalue the Yen to reduce their own 200% debt to GDP ratio.

It is, however, a fantastic way for our Multinational Corporate Masters to cut our pay by 3.5%, since half of the S&P 500's revenues come from overseas, which means paying us in US dollars that have dropped 7% saves them half of that reduction on their balance sheets and that makes their earnings seem 3.5% higher (depending on how many US employees, of course) than they would be otherwise.

It's amazing how we villify Putin for essentially doing the exact same thing in Russia as the top 0.01% are doing to America – the only difference is, we haven't invaded Canada yet for their resources – but don't worry, there will be hostile takeovers down the road – look how quickly Blackberry was destroyed. Now we are messing with their oil and gas revenues with our "drill baby, drill" and pipeline policy – just like Putin did with the Ukraine before he invaded (allegedly). Maybe we'll just get the French Canadians to declare themselves a state and then we'll run in to support their right to choose…

As I said above, being aware of currency fluctuations makes us much better Futures Traders. This morining, for example, in our early morning Member Chat, we did a chart review and we had a good discussion about the 5% Rule™ and I pointed out to our Members that the Dollar was down 0.5% this morning and breaking below support, saying:

Dollar down to 79.19 is down 0.5% so I guess that's the big, BS news that's propping up the market. Nikkei hasn't reacted much to it yet, still 14,350 so shortable on that line (/NKD) but out if the Dollar bounces.

Overall, I'd say yesterday was low volume BS and we should see more downside today. S&P 1,880 (/ES) is still a good shorting line as is /NQ 3,600 and Dow 16,450 confirmed by /TF below 1,120. If we can't move up on a 0.5% Dollar drop – thats' not a good sign!

Already, as I'm writing this at 8:30, the Dollar is down to 79.10 but that's not stopping the slide in the Futures with the Nikkei at 14,275 (up $375 per contract), S&P Futures (/ES) 1,873 (up $350 per contract), Nasdaq 3,586 (up $280 per contract) and Dow 16,425 (up $125 per contract). That, as we like to say, pays for the Egg McMuffins this morning and that is what I will be teaching you how to do in our Live Futures Trading Workshop at 1pm today.

If you already made $1,130 trading 4 contracts in less than two hours this morning – by all means don't bother – I'm sure you have some shopping to do!

SPY 5 MINUTE We're expecting more downside because, as noted on Dave Fry's SPY chart, yesterday's volume was ridiculously low and Monday's are always to be taken with a grain of salt, so we're throwing out the chart and focusing on the data and the data (earnings, etc) is not any better than it was on Friday, when we decided to move back to more cash – in anticipation of a bigger drop than the 1.25% we hit at yesterday's brief low.

We're not betting heavily to the downside – we've been burned too often to gamble on that. What we have done is cash out our non-hedged, directional longs at what we're pretty sure was an interim top and we'll see how things go from here. Meanwhile, playing the Futures is one of the many fun things we can do with CASH!!!

Futures allow us to make quick in and out trades with low friction and often we can make a few hundred Dollars very quickly. Occasionally, we get big winners, like last Thursday's call to short the Nikkei (/NKD) Futures at 14,500 and this morning, just 3 sessions later, we're already testing 14,250. At $5 per point, per contract, that's $1,250 for each contract in just 3 days. The call was there, for free, right in the morning post – don't say I never gave you nothin'….

We were also shorting oil at $100 that day and we have had a couple of rides down to $99 and, this morning, we're testing $100 again (/CL). Needless to say we're shorting it again as well. You can play along – it's a free trade idea – maybe you can buy a Membership with the winnings!

We're still looking for follow-through to the downside. Watch the Russell closely for a breakdown below the 200 dma (1,114) or the S&P below 1,865, which would be $450 per contract on our Futures play!

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Phil

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May 6, 2014 9:06 pm

Hit movies power Disney in FQ2

04:31 PM ET · DIS

Disney (DIS) puts in another powerhouse quarter with double-digit revenue growth and a healthy beat on the bottom line.
Disney segment revenue: Parks and Resorts +8% to $3.30B; Studio Entertainment 35% to $1.80B; Media Networks +4% to $5.13B; Consumer Products +16% to $885M; Interactive +38% to $268M.
Frozen and Thor: The Dark World both excelled at the global box office and gave a lift to consumer products in the quarter.
ESPN advertising revenue was lower due to a decrease in ad units delivered, although ad rates were higher.
Higher construction costs at Shanghai Disney drove capex spending to $1.359B.
DIS +0.5% AH to $81.35.

Stocks slide as momentum names resume weakness, Twitter -18%

04:20 PM ET

Stocks posted broad losses, a day after the DJIA and S&P 500 closed near record highs, as AIG reported a 27% drop in quarterly profit and Twitter braced for nearly 500M shares to hit the market as a lock-up period expires.
Declines were most pronounced in smaller high-growth and consumer internet stocks, as the Russell 2000 tumbled 1.5%, settling below its 200-day MA for the first time since Nov. 2012. – weakness that is weighing down a thinly traded market, says Instinet trader Frank Cappelleri.
Twiiter’s 18% thrashing on its heaviest-ever volume led internet names lower; Facebook, LinkedIn and Yelp all fell between 4.4% and 13.4%.
The financial sector also underperformed, as AIG fell 4%, and BofA, Citigroup and JPM all fell between 1.6% and 2.3%.
The 10-year Treasury yield fell 2 bps to 2.59%.

First Solar ups 2014 guidance

04:17 PM ET · FSLR

First Solar (FSLR) has hiked its 2014 EPS guidance range by $0.20 to $2.40-$2.80; the consensus is at $2.49. Gross margin is now expected to be in a range of 17%-18% vs. a prior 16%-18%, and operating cash flow in a range of $300M-$500M vs. a prior $250M-$400M.
Gross margin rose 250 bps Y/Y in Q1 to 24.9%, contributing to First Solar’s big EPS beat. A 10% drop in opex to $97.4M (compares with 26% rev. growth) also helped.
Due to project construction work, First Solar ended Q1 with $1.4B in cash/marketable securities, down $385M from the end of Q4.
Shares +4.5% AH.
Q1 results, PR

Burrben

Member

Api reporting drop in crude supplies. I can’t find the actual report, looks to be for pay.

May 6, 2014 9:08 pm

Electronic Arts +12.3% AH on FQ4 beat, guidance, buyback

04:10 PM ET · EA

Electronic Arts (EA) expects FY15 (ends March ’15) revenue of $4.1B and EPS of $1.85; the former is slightly below a $4.11B consensus, but the latter is well above a $1.52 consensus.
In addition, FQ1 guidance is for revenue of $700M and EPS of -$0.05, well above a consensus of $632.7M and -$0.23.
EA has also announced a $750M buyback; it’s good for buying nearly 8% of shares at elevated AH levels.
FQ4 results, PR

Whole Foods Market misses by $0.03, misses on revenue

04:07 PM ET · WFM

Whole Foods Market (WFM): FQ2 EPS of $0.38 misses by $0.03.
Revenue of $3.3B (+8.9% Y/Y) misses by $40M.
Shares -9.2%.
Press Release

TripAdvisor misses by $0.01, misses on revenue

04:06 PM ET · TRIP

TripAdvisor (TRIP): Q1 EPS of $0.54 misses by $0.01.
Revenue of $281M (+22.2% Y/Y) misses by $1.94M.
Shares -1.67%.
Press Release

stjeanluc

Not moving the needle much Burrben!

Samsung reportedly puts in soft component orders

03:52 PM ET · SSNLF

Digitimes reports Samsung (SSNLF) “putting in weaker-than-expected handset component orders to the supply chain” amid toughening competition, particularly in China. The site adds Samsung, which last month launched its latest flagship (the Galaxy S5), is mostly expected to cut orders for cheaper smartphones.
The report comes a few days after InvenSense (INVN -2.8%) offered a soft June quarter outlook, while estimating Samsung will return to accounting for a mid-30s % of revenue after making up 47% of March quarter sales.
Strategy Analytics estimates Samsung saw its smartphone share fall 120 bps Y/Y to 31.2% in Q1 (89M shipments out of 285M), following many quarters of steady share gains. Strategy also estimates Lenovo (LNVGY) grew its share to 4.7% from 3.9%, and that Huawei’s share was steady at 3.9%.
Other Chinese OEMs, including Xiaomi, ZTE, and Coolpad, have also been seeing healthy shipment growth amid an industry mix shift towards cheaper phones aimed at emerging markets. Xiaomi (also a major InvenSense client) is looking to roughly double its shipments in 2014 to 40M.
Other suppliers with heavy Samsung exposure: OLED, MXIM, SYNA, ANAD.

Twitter nears $32; Yelp, Pandora, YY also down big

03:27 PM ET · TWTR

Twitter (TWTR -16.9%) opened below $36 on lockup expiration day and has steadily moved lower since; today’s volume (110M shares) is already over 8x the company’s daily average.
A lack of a secondary offering to alleviate selling pressure might be contributing to Twitter’s woes: On the Q1 CC, CFO Mike Gupta argued commitments from major holders not to sell (for the time being) eliminated the need for a secondary.
After factoring options/RSUs, shares still go for ~10x 2015E sales exc. cash.
The microblogging leader is headlining a fresh selloff in tech momentum plays. Yelp (YELP -12.7%) is also a noteworthy decliner – shares are now down 10% from where they traded prior to Yelp’s April 30 Q1 beat.
Pandora (P -8.4%) is down sharply after posting April metrics that included a slight M/M drop in listener hours, and YY (YY -7.9%) is selling off in spite of a Q1 beat and strong Q2 guidance.
Morgan Stanley is defending YY: The firm highlights YY’s mobile music growth – revenue +180% Q/Q and now 8% of total music revenue – and considers worries about a government crackdown on illicit content overblown. Deutsche, meanwhile, recently called YY’s 100.com online education platform ““a potentially disruptive force in standardized test-prep market.”
Earlier: Twitter -4.9% premarket as lockup expires

Positive trends at J.C. Penney

03:24 PM ET · JCP

Fresh channel checks from BlueFin Research Partners indicate continual improvement at J.C. Penney (JCP -4.1%).
Store traffic around the Easter holiday looked solid and the private Disney and Worthington lines are performing well, according to BlueFin.

May 6, 2014 9:10 pm

SouFun, E-House join selloff as Nomura warns of real estate bust

02:53 PM ET · SFUN

“To us, it is no longer a question of ‘if’ but rather ‘how severe’ the property market correction will be,” writes Nomura about a Chinese real estate market the firm thinks is already beginning to go south.
Nomura observes property investment growth turned negative in 4 of China’s 26 provinces in Q1, with two northeastern provinces recording 25%+ drops. With the firm estimating housing and related industries account for 16% of China’s GDP (others put the number as high as 25%), it expects a downturn will have a major macro impact.
China Real Estate Index System estimates property sales (by volume) fell 9% M/M and 19% Y/Y in 44 tracked cities. Average home prices still rose 9.1% Y/Y, but only 0.1% M/M.
Chinese online real estate plays SouFun (SFUN -5.6%), E-House (EJ -4.9%), and (E-House subsidiary) Leju (LEJU -4.3%) are all joining a broader selloff in momentum stocks. Leju is now just 2% above its $10 April IPO price.

Capstone Turbine -13% as article foretells worse than expected quarter

02:35 PM ET · CPST

Capstone Turbine (CPST -13.2%) is sharply lower due to a negative article from Seeking Alpha contributor Adam Gefvert, who says the company pre-reported a 16% revenue miss for the current quarter, its second-worst miss in 13 quarters.
The article also says Russian sanctions on the energy sector would affect CPST’s Russian distributor, which represents more than 10% of sales, and that CPST failed its financial compliance with its credit facility with Wells Fargo.
Gefvert also notes CPST’s recent equity raise because of its overvalued share price, which reminds him of Plug Power’s similar offering that may be soon followed by a PLUG-like 25% drop.

Quantum Fuel -42% after key competitor, largest customer team up

02:19 PM ET · QTWW

Quantum Fuel Systems (QTWW -41.6%) plunges after Hexagon Composites (HXGCF) establishes a joint venture with Agility Fuel Systems to supply compressed natural gas high-pressure cylinders for fuel systems to support the heavy duty natural gas truck market in North America.
In its annual report, QTWW identified Hexagon as one of its key competitors in the gaseous fuel storage market, and Agility accounted for 45% of QTWW’s revenue last year and 26% of revenue in 2012; QTWW also identified Agility as one of its key competitors in compressed natural gas and hydrogen packaged fuel systems.

May 6, 2014 9:12 pm

Trend-spotting in the restaurant industry

01:34 PM ET · CAKE

Restaurant chains saw sales increase at a slightly higher rate last year than sales at independent chains and concepts, according to data from GE Capital.
The 100 largest chains saw sales grow at a rate of 3.5% vs. the industry average of 3.1%.
Consumers spent more money per restaurant visit in 2013, but industry-wide same-store sales fell off 0.1% with traffic numbers down.
For the 6th year in a row, sales at quick-service restaurants rose faster than sales at full-service establishments.
Restaurant stocks: CAKE, CBRL, CMG, DNKN, DPZ, DRI, EAT, JACK, MCD, PNRA, RRGB, RT, SBUX, SONC, WEN, BWLD, THI, BDL, NATH, LUB, BKW, CHUY, BLMN, PZZA, TXRH, DENN, KKD, BBRG, DFRG, BOBE, RUTH, IRG, DIN.

May 6, 2014 9:14 pm

Game of Thrones delivers for HBO

01:18 PM ET · TWX

HBO’s Game of Thrones delivered smashing ratings for the first show of the season at its regular time slot.
Nielsen estimates Sunday night’s tally at 7.155M viewers. Season-to-date viewership is up 24% Y/Y.
The success of the show has also given a lift to other HBO shows such as Silicon Valley and Last Week Tonight With John Oliver.
What to watch: During Time Warner’s (TWX) earnings Q4 earnings call, execs tipped off that they are looking at potential new distribution channels for hit shows. Every home run such as Game of Thrones pushes the revenue potential of new ventures higher.
Earnings call transcript

May 6, 2014 9:16 pm

Dimon talks e-payments; new commodity chiefs named

01:17 PM ET · JPM

“We move $10T a day,” says Jamie Dimon (JPM -1.1%), speaking at a conference in Saudi Arabia. “We’re one of the largest payments systems in the world. We’re going to have competition from Google and Facebook and somebody else.” At issue for regulators, says Dimon, is whether they will apply the same scrutiny to the Google’s of the financial services world as they do to the banks. “There’s no way that Google wants to be a regulated bank.”
Global electronic payments are worth as much as $1.8T per year, according to one report. “We are devoted to making it easier to move money and authenticate who you are, reduce fraud,” says Dimon.
In other JPMorgan news, the bank has promoted two as co-heads of its commodities business to replace the outgoing boss Blythe Masters, reports the WSJ. Houston-based John Anderson and London-based Michael Camacho will take over the about-to-be downsized business. The bank has inked a deal to sell its physical commodities operations to Mercuria Energy for $3.5B.

Gulf researchers spot deep-sea creatures living near Gulf spill site

12:59 PM ET · BP

Aquatic life appears to be flourishing again at the bottom of the Gulf of Mexico near the site of the 2010 BP (BP +0.5%) oil spill, according to a team of scientists that concluded a month-long excursion to the area.
A ride in a submersible 5K ft. feet below sea level revealed that eels, shrimp, various fish species, sea anemones and other deep-sea creatures are making a comeback in the region where the group had seen only one crab in a similar seven-hour journey four years ago after the Macando well blowout.
The scientists say they have found no evidence that the chemistry and microbiology under layers of deepwater sediment had changed.

Good read ahead of the Eia. Good to know is that Cushing might be low but totals are up. Similar to manipulating the y axis.

http://mobile.bloomberg.com/news/2014-05-06/wti-oil-rises-on-forecast-cushing-weeks-from-emptying.html

May 6, 2014 9:18 pm

Google buys ad measurement tech provider

12:49 PM ET · GOOG

Google (GOOG -1.2%) has bought Adometry, developer of an online ad measurement platform (known as Attribute) that takes in data from over a dozen different sources (inc. online, offline, and mobile channels) to figure out whether an ad was viewed, and whether it led to a sale.
Adometry runs algorithms over massive datasets to determine which online/offline channels (if any) deserve credit for producing a conversion. The startup claims the ability of its algorithms to “work at the most granular level” yields unmatched accuracy.
Google has been stepping up its efforts lately to improve ad measurement, with the goals of improving ad prices and compelling marketers to direct more of their budgets to online channels. The company is already running a pilot program to figure out the extent to which search ad sales drive offline purchases, and has partnered with Nielsen to develop TV-like ratings tools for YouTube.
The Adometry deal shortly follows the purchase of Rangespan, a provider of analytics software that helps online retailers gauge product demand and make inventory decisions. Google is expected to use Rangespan to help product listing ad (PLA) clients get more bang for their buck.

May 6, 2014 9:28 pm

Russell not looking very healthy, closing below its 200 DMA for the first time since November 2012! It had been below a couple of times before, but bounced back in the afternoon. Not so lucky this time, closing on the LOD.

Investwizard

May 7, 2014 2:05 am

Stanford to Purge $18 Billion Endowment of Coal Stock

May 7, 2014 5:51 am

/CL not cooperating. I got stopped out around 100.12, but re-entered this morning on the cross below 100.50, now 100.37.

May 7, 2014 6:04 am

Overseas

06:00 AM ET

Japan -2.93%.
Hong Kong -1.05%.
China -0.89%.
India -0.87%.
London -0.38%.
Paris -0.03%.
Frankfurt -0.11%.

Wednesday’s economic calendar

12:00 AM ET

7:00 MBA Mortgage Applications
8:30 Productivity and Costs
8:30 Gallup U.S. Job Creation Index
10:00 Janet Yellen speech
10:30 EIA Petroleum Inventories
11:00 Global Composite PMI
11:00 Global Services PMI
1:00 PM Results of $24B, 10-Year Note Auction
3:00 PM Consumer Credit

May 7, 2014 6:06 am

From Bloomberg, May 7, 2014, 5:50:13 AM

May 6 (Bloomberg) — U.K. Energy Minister Michael Fallon talks about the need for Europe to develop local energy resources, including natural gas from shale, the impact of the region’s reliance on Russia for energy and the outlook for hydraulic fracturing to tap shale reserves.
Fallon speaks with Trish Regan on Bloomberg Television’s “Street Smart.” (Source: Bloomberg)

European stocks fell for a fourth day
as companies from Fiat SpA to Societe Generale SA posted profit
that missed estimates, and the U.S. said Ukraine should ignore
Russia’s calls to postpone a presidential election this month.
U.S. futures were little changed, while Asian shares slid.

To read the entire article, go to http://bloom.bg/1fSTTJ8
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From Bloomberg, May 7, 2014, 12:00:01 AM

Cancer doctors are in the process of creating a way to measure the value of the drugs they prescribe, the first step in a drive to give patients affordable options. Photographer: Tomohiro Ohsumi/Bloomberg

The backlash over surging drug prices is starting to take hold.

To read the entire article, go to http://bloom.bg/1s1jnUC
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From Bloomberg, May 7, 2014, 5:33:55 AM

A man rides an escalator at the HSBC Holdings Plc headquarters in Hong Kong. The lender which derives the bulk of its profit from Asia, is focusing on the most profitable markets amid increasing regulation and compliance costs for financial services firms. Photographer: Brent Lewin/Bloomberg

HSBC Holdings Plc (HSBA), Europe’s largest
bank, said first-quarter profit fell 20 percent, meeting analyst
estimates, as gains from asset sales dwindled and investment-banking revenue slipped.

To read the entire article, go to http://bloom.bg/1ophoJn
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From Bloomberg, May 7, 2014, 2:00:00 AM

An employee works on the assembly line at Volkswagen AG’s Audi AG automobile plant in Ingolstadt, Germany. Volkswagen AG, Europe’s largest automaker, reported a 22 percent gain in first-quarter operating profit on April 29, helped by record sales at its luxury Porsche and Audi brands. Source: Audi AG via Bloomberg

German factory orders (GRIORTMM) unexpectedly fell in March, signaling that growth in Europe’s largest economy remains uneven.

To read the entire article, go to http://bloom.bg/1hwiqPa
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From Bloomberg, May 7, 2014, 4:05:24 AM

Investors tempted to Ukraine by the
prospect of a foreign bailout are sounding the retreat as deadly
clashes between government forces and separatists threaten to
overwhelm efforts to prop up the nation’s finances.

To read the entire article, go to http://bloom.bg/1mB9JuG
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May 7, 2014 6:08 am

From Bloomberg, May 7, 2014, 3:10:36 AM

The company logo stands on a sign outside the headquarters of Societe Generale SA in Paris. Photographer: Balint Porneczi/Bloomberg

Societe Generale SA (GLE), the second-largest French bank by market value, reported a 13 percent decline in first-quarter profit after writing down goodwill at its Russian unit.

To read the entire article, go to http://bloom.bg/1lX1aaK
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From Bloomberg, May 7, 2014, 1:49:16 AM

China’s top security official said a
special anti-terrorism operation will begin after a third
violent attack this year at a railway station occurred in
Guangzhou, near the border with Hong Kong.

To read the entire article, go to http://bloom.bg/1hwirCI
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From Bloomberg, May 7, 2014, 1:59:49 AM

When apartheid ended in 1994, Diesploot was a meadow. Now, the roughly 200,000 people living in its sprawl of shacks and low-cost houses, are worse off than before the dawn of democracy. Photographer: Mujahid Safodien/AFP via Getty Images

Mpho Mpshane can’t wait to escape the whiff of kerosene and the tupperware-munching rats in her car-sized shack in South Africa’s Diepsloot shantytown.

To read the entire article, go to http://bloom.bg/1o49HLv
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From Bloomberg, May 6, 2014, 9:04:30 PM

Yahoo CEO Marissa Mayer speaks during her keynote address at the 2014 International CES in Las Vegas, Nevada, on Jan. 7, 2014. Photographer: Robyn Beck/AFP via Getty Images

Marissa Mayer is finally set to get a cash infusion from Yahoo! Inc. (YHOO)’s nine-year investment in Alibaba Group Holding Ltd. — along with the pressure of putting the money to work.

To read the entire article, go to http://www.bloomberg.com/news/2014-05-07/yahoo-s-alibaba-windfall-means-firepower-to-chase-google.html
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May 7, 2014 6:10 am

From Bloomberg, May 7, 2014, 2:50:35 AM

Visitors at the Alibaba Group headquarters on March 29, 2014 in Hangzhou, China. Photographer: Hong Wu/Getty Images

Alibaba Group Holding Ltd., which rode China’s emergence as an economic superpower over the last 15 years to become a massive online marketplace for everything from forks to forklifts, filed yesterday for what could become the largest U.S. initial public offering ever.

To read the entire article, go to http://www.bloomberg.com/news/2014-05-06/alibaba-files-for-us-public-offering-of-e-commerce-giant.html
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From Bloomberg, May 7, 2014, 4:36:38 AM

ECB President Mario Draghi stepped up his war of words against the euro’s gains in recent months, culminating in an April 24 pledge to start asset purchases if a stronger currency keeps inflation depressed. While the appreciation may be seen asPhotographer: Simon Dawson/Bloomberg

The case for European Central Bank action to curb the euro’s gains is getting stronger after the 18-nation currency jumped to within a half-cent of $1.40.

To read the entire article, go to http://bloom.bg/1kKyfE3
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From Bloomberg, May 6, 2014, 5:00:01 PM

The view across the Bosporus and into Asia from the village of Garipce. Turkey’s third bridge over the strait will have its European footing here. (Photograph: George Georgiou/Bloomberg Markets)

From the window of his construction trailer, Murat Sarayli has a prime vantage point on the promise and perils of the Turkish economy. Outside, sparks cascade from welding torches as workers labor to complete the steel skeleton of a $350 million hotel and conference center. Jets pass overhead, approaching and leaving Istanbul Ataturk Airport, less than a mile away.

To read the entire article, go to http://bloom.bg/1shGs7v
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From Bloomberg, May 7, 2014, 12:01:00 AM

Though counterfeit bills make up only a tiny fraction of the $1.27 trillion in circulation, law enforcement officials and federal prosecutors say they aggressively target money forgers to protect consumers and business owners and the larger U.S. economy. Photographer: Andrew Harrer/Bloomberg

Tarshema Brice hardly ranks among the world’s elite counterfeiters. But with the help of modern consumer technology, she developed an exacting system for crafting fake U.S. greenbacks.

To read the entire article, go to http://www.bloomberg.com/news/2014-05-07/mom-with-hp-printer-shows-the-digital-ease-of-bogus-cash.html
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May 7, 2014 6:12 am

From Bloomberg, May 6, 2014, 5:00:00 PM

While China’s communist party was founded to benefit the country’s “workers and peasants,” Chinese leaders aren’t known for their patience with protest. Photographer: Qilai Shen/Bloomberg

The Chinese government is gaining an unlikely ally in its effort to overhaul the economy: striking Chinese workers.

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From Bloomberg, May 6, 2014, 9:18:55 PM

A road traffic sign is seen beside the offices of Credit Suisse Group AG in Basel, Switzerland. The bank last year created a separate legal entity called CS International Advisors AG to house the U.S. cross-border business that has drawn the legal scrutiny. Photographer: Gianluca Colla/Bloomberg

The U.S. is pressing for guilty pleas from the parent companies of banks under investigation, including Credit Suisse Group AG (CSGN), in a marked departure from the past, according to a person familiar with the negotiations.

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May 7, 2014 6:14 am

From Bloomberg, May 7, 2014, 5:53:36 AM

Look who’s calling for a rebound in
Russian stocks.

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From Bloomberg, May 7, 2014, 12:28:02 AM

Billionaire Jack Ma, chairman of Alibaba Group Holding Ltd. Photographer: David Paul Morris/Bloomberg

The fortunes of Alibaba Group Holding Ltd.’s billionaire co-founders have more than tripled this year as the company prepares for an initial public offering.

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From Bloomberg, May 7, 2014, 12:31:04 AM

Residential buildings stand at the Sea Shore of China development in the Sanya Bay district of Sanya, Hainan Province, China. Photographer: Brent Lewin/Bloomberg

China’s weakening property market
poses an increasing danger to local governments, threatening to
strain their finances and intensify an economic slowdown.

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May 7, 2014 6:16 am

The Shenzhen Stock Exchange’s title as
China’s dominant bourse may prove short-lived as policy changes
boost its counterpart in Shanghai.

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From Bloomberg, May 6, 2014, 9:47:51 AM

Steven Cohen, chairman and chief executive officer of SAC Captial Advisors LP. Photographer: Scott Eells/Bloomberg

Goldman Sachs Group Inc. (GS), which stood
by Steven A. Cohen last year as his SAC Capital Advisors LP bore
the brunt of a massive insider trading probe, has come to the
billionaire’s aid again.

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From Bloomberg, May 6, 2014, 7:25:24 AM

Nickel is poised to rally a further 20
percent this year as Indonesia’s ban on exports of ore push the
market toward a global shortage and unrest increases in Ukraine,
a survey of analysts and traders shows.

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May 7, 2014 6:18 am

From Bloomberg, May 7, 2014, 5:01:03 AM

Spending on major household appliances — which include refrigerators, washers and dryers — fell 1.7 percent in March from a year ago to a seasonally adjusted annual rate of $38.7 billion, Commerce Department data show. Photographer: Victor J. Blue/Bloomberg

Sales of appliances made by manufacturers such as Whirlpool Corp. (WHR) and Electrolux AB (ELUXB) are poised to rise this year as Americans replace aging machines.

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From Bloomberg, May 7, 2014, 12:00:00 AM

Jeremy Stein, in one of his last
speeches as a Federal Reserve governor, warned that the central
bank still may face more bouts of market volatility as it winds
down the most aggressive easing in its history.

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From Bloomberg, May 6, 2014, 7:06:05 PM

New Zealand employers hired workers at
a faster pace than economists forecast in the three months
through March and more people entered the workforce, adding to
the case for the central bank to raise interest rates again.

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From Bloomberg, May 6, 2014, 10:27:13 PM

Reserve Bank of New Zealand Governor Graeme Wheeler. Photographer: Mark Coote/Bloomberg

New Zealand’s central bank gave notice
that continued currency strength in the face of weakening prices
for the country’s exports would raise the chances of
intervention, prompting a decline in the kiwi.

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