August 26
Good morning,
Rebound! Stocks pushed back up Wednesday, closing on a high note after steady gains all day. The Dow hasn’t quite recovered from its Monday plummet, but it did gain 3.95% Wednesday. The Nasdaq was up 4.24% and the S&P 500 grew 3.9%. U.S. durable goods orders in July were up 2%, surprising everyone. New orders were expected to drop 0.4%; if you ex-out transportation, new orders would rise 0.4%. Oil disappointed, sinking 0.8% to just under $39/barrel. And don’t forget: Thursday central bankers from around the world gather at Jackson Hole in Wyoming. Looks like they will have plenty to discuss.
Here’s what else you need to know:
Retired NFL lineman opens up about bullying. Jonathan Martin wrote Wednesday about his time as an offensive lineman for the Miami Dolphins and two-time All-American from Stanford. The 26-year-old discussed substance abuse issues, bullying, and suicide attempts. Bleacher Report
Virginia journalists killed during live broadcast. WDBL TV reporter Alison Parker and cameraman Adam Ward were shot and killed during a live broadcast about local tourism in Virginia. The suspected gunman is Vester Flanagain, died of a self-inflicted gunshot wound. He was a fired WDBL reporter. New York Post, CNN
NY Fed president says September rate increase is “less compelling.” William Dudley said Wednesday morning that the prospect of a rate rise next month isn’t looking very good in the wake of global market turbulence. The U.S. economy’s growth is on track at a “moderate” pace, and Dudley still hopes rates will rise this year. Wall Street Journal
Monsanto drops Syngenta bid. The Swiss Syngenta’s stocks tanked 18% after Monsanto announced it was backing out of acquisition talks. Monsanto had made an updated offer of about $47 billion Aug. 18 that Syngenta had turned down. CNBC
China doesn’t scare Blackstone. The private equity group is taking advantage of the global volatility, and looking for Chinese commercial property buying opportunities. “Volatility can be your friend if you have a medium to long term perspective,” says Christopher Heady, head of the Asian real estate business for Blackstone. Wall Street Journal
Schlumberger to buy Cameron International. Schlumberger, the world’s biggest oil-field services company, will buy the drill equipment producer for $12.74 billion in cash and stock. Cameron shares had falledn 42% in the last 12 months, but boomed 45% in premarket trading Wednesday with the deal’s announcement. Wall Street Journal
Trump boots Univision reporter from presser. The reality star turned Republican presidential candidate squabbled with Jorge Ramos, who was indignant over The Donald’s remarks on immigrants and Mexicans. The pair have a history of set-tos. CNN Money
What market rout? Just to show you how disconnected the Chinese stock market is to their economy, the Westpac MNI China Consumer Sentiment Indicator climbed to a 15-month high this month, punching in its third straight month on the rise. The survey was taken prior to the Tianjin blasts and the yuan devaluation though, so it may be a little worse now. Financial Times
You won’t believe this…
Grab a McWhopper. Burger King extended an olive branch, er French fry, to McDonald’s proposing the two team up for a hybrid of the Whopper and the Big Mac. The McWhopper was publicized in full-page ads in the New York Times and Chicago Tribune. Sadly, McDonald’s is saying no to the epic offer. TIME
Americans are having dogs, not babies. Let’s be honest, they’re pretty much the same thing. But human baby birth rates in the U.S. have fallen 10% since 2007. At the same time, ownership of small dogs under 20 pounds has skyrocketed nationwide. It seems women are marrying later, and are satisfying their biological wants with a small, furry animal baby instead. Quartz
Onion issues make India cry. As the world watches the stock markets, Indians are keeping their eyes on the price of Onions. The humble vegetable has become very expensive of late. A big problem in a country where the it is one of the most politically sensitive commodities. Financial Times (paywall)
Photo:Lori