Sprint moves ahead with T-Mobile bid plan, discusses funding with banks: sources

The source said that Sprint, which is owned by Japan's SoftBank Corp (TYO:9984), is hoping to fund the bulk of T-Mobile's estimated $50 billion price tag with corporate bonds and cover the rest with syndicated loans and convertible bonds. Sprint is currently talking to at least five banks, the source told Reuters, including JP Morgan, Goldman Sachs and Deutsche Bank. Bloomberg, which first reported that Sprint was in talks with banks on Thursday morning in Asia, said the carrier was also talking to Mizuho Financial Group Ltd (8411.T) and Citibank. Sprint spokeswoman Roni Singleton told Reuters the company does not comment on rumors and speculation.

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Pfizer's designs on AstraZeneca stir tax envy among rivals

Rumors about a massive healthcare deal were circulating in industry circles, months before Pfizer Inc disclosed its $100 billion pursuit of Britain's AstraZeneca Plc, according to several industry bankers and lawyers. As rivals and bankers assessed what it could mean for different companies in the industry, one aspect touched nearly everyone: what it could mean for an increasingly popular U.S. tax loophole. U.S. healthcare companies worried that if a household name like Pfizer changed its domicile to Britain to lower its tax rate as a result of a deal with AstraZeneca, it would spur Congress into action and close the tax arbitrage opportunity, called tax inversion, for everyone else, these people said.

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New Boeing jets hold key to more than half of future sales

Boeing Co (BA) said it expects to finish flight testing its stretched 787-9 Dreamliner in the next two months and deliver it around mid-year, one of six new jets the world's biggest plane-maker aims to get into service by the end of the decade. Boeing will start fabricating parts for its 737MAX jetliner this year, keeping that new development program on course for final assembly to start by mid-2015 and service entry in 2017, company officials said in media briefings made public late on Wednesday. The three jets are part of a major overhaul of Boeing's product lines that is "harvesting" technology and lessons from the its original high-tech 787 Dreamliner and adding efficient new engines to make 737 and 777 models that burn less fuel, fly more easily and provide passengers with more comfort. "What we have in work today really is the future of Boeing Commercial Airplanes," he said.

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China PMI steadies, but doesn't dispel growth worries

Activity in China's factories increased marginally in April but export orders fell sharply, a government survey showed on Thursday, adding to questions about whether the world's second-largest economy is stabilizing after its first-quarter slowdown. The data came a day after Premier Li Keqiang pledged to step up support for the trade sector, adding to measures taken over the past month on concerns that the economy may be losing momentum more quickly than expected. The Purchasing Managers' Index rose to 50.4 in April from March's 50.3, the National Bureau of Statistics said, one of the first indicators of how the economy started the second quarter. Zhang Liqun, an economist at the Development Research Centre, which helps compile the PMI, said the PMI pointed to stabilizing economic growth ahead, but others disagreed.

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China PMI underwhelms, markets resilient

Asian markets suffered a brief wobble on Thursday as data on China's vast manufacturing sector just missed forecasts, with holidays across much of the region muffling the impact. The conflicted mood was clear in the Australian dollar, often a bellwether for market thinking on China given the country is a major exporter of resources to the Asian giant. Japan's Nikkei (NIK:^9452) was up 0.4 percent, while Australian shares (.AXJO) eased 0.4 percent. That was a resilient performance given government data had shown the U.S. economy grew just 0.1 percent annualized in the first quarter, far below already gloomy forecasts of 1.2 percent.

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American justice is blind, but likes the sound of money: Matt Taibbi

Taking the conversation to a whole new level, author Matt Taibbi examines why the justice system has largely given Wall Street a free pass while becoming "a gigantic mindless punishment machine" for the poor.



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Fed tapers, markets shrug but Dow manages record close

At the current rate QE would be a thing of the past by the end of the year.

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Facebook launches mobile ad network to vie with Google, Twitter

Facebook Inc rolled out a new service that it envisions will distribute ads across a network of mobile applications, opening the door to a new source of revenue for the Internet social network. The service, which the world's No. 1 social network has been working on for some time, allows mobile-app makers to insert various types of ads within their software, with Facebook sharing advertising dollars with the developers. "This is really the first time that we're going to help you monetize in a serious way on mobile," Facebook Chief Executive Mark Zuckerberg said at the company's developer conference in San Francisco on Wednesday. Facebook also described new features that make it easier for users to limit how much personal information they share with third-party mobile apps, and that let users log into social apps without providing their identity.

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Never mind the recovery, get ready for the next recession

The 1 percenters at the Milken Institute’s annual confab in Beverly Hills will be fine no matter what happens with the economy. But the next recession is on their minds, anyway.

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Hot or not: which tech CEOs are on the outs with investors

Investors give some tech company CEO get more leeway, while others find they can’t get credit even when they improve results. There’s no single, absolute way to determine whether a given CEO is seen as hot or not on Wall Street. One proxy is looking at a company’s stock market valuation over time compared to that of other companies in the same sector.

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Fed tapers another $10B, repeats goal for low short-term rates

Fed makes 4th cut of $10 billion in bond purchases, repeats goal for low short-term rates.

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U.S. government says it lost $11.2 billion on GM bailout

The U.S. government lost $11.2 billion on its bailout of General Motors Co, more than the $10.3 billion the Treasury Department estimated when it sold its remaining GM shares in December, according to a government report released on Wednesday. The $11.2 billion loss includes a write-off in March of the government's remaining $826 million investment in "old" GM, the quarterly report by a Treasury watchdog said. The U.S. government spent about $50 billion to bail out GM. As a result of the company's 2009 bankruptcy, the government's investment was converted to a 61 percent equity stake in the Detroit-based automaker, plus preferred shares and a loan.

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Why is eBay eager to pay a tax that Apple works to avoid?

Senior columnist Mike Santoli discusses the contrast between Apple and eBay in accessing funds. eBay repatriated, triggering a big tax bill, while Apple left funds overseas and borrowed in the U.S. instead.

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PayPal burnishes brand image as mobile use surges

The online payment company PayPal is getting a shiny new look and its first-ever global marketing push as parent eBay Inc tries to wrest attention away from the growing number of rivals piling into the mobile payments market. The brand overhaul unveiled on Wednesday includes a more vibrant, simple logo designed to suit mobile phones and wearable devices like wristbands and PayPal's first-ever television ads in the U.S. market. The move comes as PayPal, the dominant online payment processor, shifts its focus toward mobile phones and the fast-growing market to enable consumers to pay for physical goods and services with their smartphones. "If you look at us visually online, we look very similar to financial service companies," said Christina Smedley, vice president of global brand and communications at PayPal.

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Huge GDP miss complicates Yellen's taper decision

The worst GDP print since the fourth quarter of 2012, a dramatic slowdown compared to the 2.6% growth rate of Q4 2013, should put the Fed chair in a tight spot on quantitative easing.

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U.S. economy does not look so bad: Ken Rogoff

The Daily Ticker's Lauren Lyster interviews economist Ken Rogoff about U.S. economic growth.

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U.S. government says it lost $11.2 billion on GM bailout

The U.S. government lost $11.2 billion on its bailout of General Motors Co (GM), more than the $10.3 billion the Treasury Department estimated when it sold its remaining GM shares in December, according to a government report released on Wednesday. The $11.2 billion loss includes a write-off in March of the government's remaining $826 million investment in "old" GM, the quarterly report by a Treasury watchdog said. The U.S. government spent about $50 billion to bail out GM. As a result of the company's 2009 bankruptcy, the government's investment was converted to a 61 percent equity stake in the Detroit-based automaker, plus preferred shares and a loan.

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GSK says staying on sidelines in Astra, Pfizer fight

GlaxoSmithKline (GSK.L) is just an "interested observer" as U.S. drugmaker Pfizer (PFE) battles to win British rival AstraZeneca (AZN.L) in a potential $100 billion deal, GSK's chief executive said on Wednesday. Andrew Witty said he hoped Pfizer would take a "rational" decision to keep drug research in Britain if the deal went through, but he played down the idea that GSK might intervene as a "white knight" counterbidder.

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Why the Fed wants investors to take risk and buy stocks

“A lot of the valuation metrics that are typical of the stock market…they fail to take into account the extraordinary monetary policy that’s been put into place,” explains David Zervos, chief market strategist at Jefferies, at the Milken Institute Global Conference.

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'Resilient' corporate earnings to drive stocks higher

“Companies are getting incremental gains from revenue, holding the line on expenses, so at the end of the day we’re likely to see modest gain in earnings for the quarter, somewhere maybe around 5%,” says John Canally of LPL Financial.

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Wall St. to open lower after GDP offsets jobs data

U.S. stocks were set to fall at the open on Wednesday after data showed the economy grew at a sharply lower-than-expected pace in the first quarter, but gains in private payrolls kept losses in check. ...

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Live: Key economic news; Twitter tumbles on earnings; Forced-sale of the Clippers?

Join Hot Stock Minute live now for the latest premarket headlines.

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Twitter needs to stay focused amid the darkening mood

Phil Pearlman and Jeff Macke on what Twitter needs to do post earnings to get back on the growth track

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U.S. private sector adds 220,000 jobs in April: ADP

U.S. private employers added 220,000 workers in April, the highest amount since November and above analysts' expectations, a report by a payrolls processor showed on Wednesday. Gains in the prior month ...

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China rejects sign it may soon be No. 1 economy

China has rejected a World Bank report that suggests it might pass the United States this year to become the biggest economy measured by its currency's purchasing power. China is on track to become the ...

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Nuclear power producer Exelon to buy Pepco for $6.83 billion

The deal will expand Exelon's regulated holdings, giving it assets that have stable returns. Exelon's $27.25 per share cash offer represents a near 20 percent premium to Pepco Holdings' Tuesday close of $22.79 on the New York Stock Exchange. Pepco shares were trading at $26.56 before the bell on Wednesday. Pepco operates utilities in the Washington area, Delaware, Maryland and New Jersey, serving about 2 million customers.

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Twitter could use a longer engagement

Twitter is still struggling to fly the nest. Getting bigger is essential for Twitter. Similarly, overall revenue came in at $250 million in the quarter, beating expectations and averting the quarter-over-quarter decline Twitter had projected. Twitter chalked this up to seasonal effects.

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This is bad news for housing

Home prices may be up, but here's why the housing market is still weak.

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Wal-Mart brings one-stop shopping to car insurance

Wal-Mart is bringing one-stop shopping to another area: auto insurance. The world's largest retailer has teamed up with AutoInsurance.com to let shoppers quickly find and buy insurance policies online ...

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Senate ready to sink effort to boost minimum wage

Hemmed in by solid Republican opposition, the Senate seems ready to hand a fresh defeat to President Barack Obama by blocking an election-year bill increasing the federal minimum wage. Democrats, aware ...

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China confident after bank stress tests, even as growth slows

A stress test by China's central bank showed the banking system can weather big increases in bad debts or a sharp economic slowdown, but some analysts were sceptical about the findings aimed at shoring up investor confidence. Concern about huge growth in Chinese corporate debt since the global financial crisis and the risk of defaults has intensified this year as growth slows and authorities allow markets to play a bigger role in deciding winners and losers. "The results of the stress test showed that the asset quality and capital adequacy of China's commercial banks is relatively high," the People's Bank of China (PBOC) said in its annual financial stability report released on Tuesday. The central bank carried out stress tests at the end of last year for events such as a 400 percent rise in non-performing loans (NPLs), increases in bond yields, large changes in the yuan's exchange rate, and economic growth slowing to 4 percent.

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China Poised to Overtake U.S. as Biggest Economy in the World

China is poised to overtake the U.S. as the world's biggest economy, while India has vaulted into third place, ahead of Japan, using calculations that take exchange rates into account. China's economy ...



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Economy is expected to improve as year progresses

The economy likely stumbled at the start of this year, but there's probably little reason to worry: Economists foresee a solid rebound with the end of a harsh winter. The Commerce Department on Wednesday ...

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Global stocks mixed after Japan policy unchanged

Global stocks were mixed Wednesday as investors looked ahead to a U.S. Federal Reserve meeting after Japan's central bank left monetary policy unchanged despite signs of weaker economic growth. Oil fell ...



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Alstom to review GE offer for energy business

Alstom said on Wednesday that it would review a proposed bid from General Electric for its energy business by the end of May. The offer price gives Alstom's thermal power, renewable power and grid businesses an enterprise value of 11.4 billion euros ($15.75 billion), the company said. Alstom said its board also reviewed a declaration of interest from Siemens about an alternative deal, and that the German company would have access to information needed to make a binding offer.

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Fed expected to take further step toward ending bond buying

The Federal Reserve is expected to cut its bond-buying program by a further $10 billion on Wednesday as signs mount that the U.S. economy is starting to pull away from its winter slowdown. Janet Yellen's second policy-setting session as Fed chair should confirm the central bank's plan to wind down its purchases of Treasuries and mortgage-backed securities by year-end - a sign of its confidence the economy is gaining traction. The reduction likely to be announced at the end of the Fed's two-day meeting would bring the total monthly purchases down to $45 billion, split between $25 billion of Treasuries and $20 billion of mortgage-backed securities. But analysts expect little more out of the session as the Fed enters what may be a sort of holding pattern as it transitions from an era of crisis response to one of more normal monetary policy.

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Cold weather seen temporarily slowing U.S. economy

U.S. economic growth likely braked sharply in the first quarter due partly to an unusually cold and disruptive winter, but activity already appears to be bouncing back. Gross domestic product probably grew at a 1.2 percent annual rate, according to a Reuters survey of economists, pulling back from the fourth quarter's 2.6 percent pace. "We have effectively written off first-quarter growth performance in part due to the adverse weather conditions," said

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Asian shares rise, euro faces pressure

Asian shares firmed on Wednesday after earnings-fuelled gains on Wall Street, while the euro remained under pressure after weaker-than-expected German inflation data raised speculation of more easing in Europe. Investors stayed cautious before central bank decisions from the Bank of Japan and then the Federal Reserve later in the session, as well as key U.S. jobs data on Friday. MSCI's broadest index of Asia-Pacific shares outside Japan added 0.1 percent in early trading, while Japan's Nikkei stock average (NIK:^9452) rose 0.8 percent after Tokyo markets were closed for a holiday on Tuesday. Later on Wednesday, Fed officials are expected to decide unanimously at the conclusion of their two-day meeting to continue tapering the central bank's massive bond-buying stimulus.

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Alstom accepts 10 billion euro GE bid for its energy unit

Sources said GE is not in exclusive talks with Alstom. The French transport-to-turbines group is also set to receive an offer from its much larger German competitor Siemens AG (SIE.DE), which said it had sent a letter to Alstom after its managing and supervisory boards had decided to make an offer. Alstom is expected to make a statement about the two offers early on Wednesday, before its shares, suspended since late last week, resume trading. The rival bids have triggered a fierce national debate about the fate of power turbine and train manufacturing in France - both integral to the country's engineering pedigree.

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Twitter disappoints again on user growth and views; shares drop

Twitter Inc reported lackluster user and usage growth for the second consecutive quarter on Tuesday, deepening investor concerns about its struggle to gain a mass following. Twitter's stock fell more than 10 percent after hours to $38.05, below its post-initial public offering low of $38.80 on November 25. Perhaps most worrying, the San Francisco-based company said its 255 million monthly users, on average, appeared to check the service less frequently than a year ago. The results revealed slowing momentum at a company that exuberant investors just six months ago had argued could one day match Facebook Inc's scale.

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EBay's results top Wall Street targets but outlook disappoints

E-commerce giant eBay Inc forecast a smaller-than-expected second-quarter profit on Tuesday and will take a $3 billion non-cash tax charge to repatriate foreign earnings that will more than double its available U.S. cash. Shares of eBay fell 3 percent in after-hours trading despite the company's higher-than-expected first-quarter profit. During the quarter, eBay took a $3 billion non-cash tax charge to access $9 billion in foreign earnings. Some investors were expecting an even larger first-quarter beat after activist investor Carl Icahn ended his campaign to force eBay to spin out PayPal earlier this month, Wedbush Securities analyst Gil Luria said.

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Twitter shares slump after hours as user growth disappoints

Twitter beat on earnings. But the monthly active user tally of 255 million is a little below analyst consensus.

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Orders pour in for Apple's $12bn bond offering

Investors rushed on Tuesday to get a piece of Apple's new US$12bn seven-part bond deal, just the company's second foray into the US bond market. Apple, which had initially been targeting US$8bn-US$10bn, will price the trade later on Tuesday. The strong demand for double A rated company's offering has allowed the deal to price inside its outstanding bonds, which is a market coup for the technology giant. While other issuance in euros and sterling could come later, only the US dollar-denominated deal was in the market on Tuesday, led by Deutsche Bank and Goldman Sachs.

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Why investors shouldn’t worry if the market is rigged

It might just be the other way around, with ordinary investors losing out because they’re worried about a rigged market.

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What's good for Netflix users may not be good for investors

Netflix will pay to upgrade its connection to Verizon's 9 million cable customers. But, is that any reason to buy the stock?

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Twitter reports 255 million users, disappointing Street

Twitter Inc on Tuesday reported 255 million monthly active users, up 5.8 percent from the previous quarter but not enough to satisfy investors increasingly concerned about its struggle to gain a mass following. ...

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If tech is really in a bubble, why don't we fear the bust?

The Daily Ticker's Aaron Task and Henry Blodget discuss why the "bubble" in tech now is not nearly as scary as the last one.

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Fear the Taper: Why Fed’s bond buying must continue

Paul Schatz of Heritage Capital says the taper started too early, and it will likely lead to trouble.

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What Sterling's ban means for Clipper finances

The NBA dropped a heavy hammer on Los Angeles Clippers owner Donald Sterling. He has been banned for life from the league. He was fined $2.5 million. And league commissioner Adam Silver said he will work ...

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Spring expected to usher in strong U.S. job growth

U.S. employment likely rose at its fastest clip in five months in April and the jobless rate probably dropped in a show of strong economic momentum after a gloomy winter. Nonfarm payrolls probably advanced by 210,000 jobs this month, stepping up from a 192,000-gain in March, according to a Reuters survey of economists. That would leave hiring well above its first-quarter average of 177,667 jobs per month. The unemployment rate is forecast slipping one-tenth of a percentage point to 6.6 percent, a five-year low previously touched in January.

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NBA Clippers owner Sterling banned for life over race remarks

New York (AFP) - Los Angeles Clippers owner Donald Sterling was banned from the NBA for life Tuesday by league commissioner Adam Silver after making racist comments that sparked a national firestorm.

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Howard Schultz names Starbucks' 'growth driver'

Coffee fans and investors alike will be surprised by how many flagship coffee shops Starbucks will open in coming years, CEO Howard Schultz tells CNBC.

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Which corporation has the best reputation?

Yahoo Finance's Mike Santoli and Aaron Task discuss the latest Harris poll on corporate reputations. The biggest finding: Americans are more positive now about corporations than they've been since the start of the Great Recession.

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