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Disney (DIS) earnings Q1 2025 Disney (DIS) earnings Q1 2025 Disney posted fiscal first-quarter earnings Wednesday that beat on the top and bottom lines, but revealed the beginnings of expected streaming subscriber losses at Disney+. The company’s streaming business reported another quarter of profitability despite a 1% decline in subscribers for Disney+, the company’s flagship service. While domestic subscriptions for the platform increased around 1%, international numbers declined around 2%. Disney warned during its fiscal fourth-quarter report in November that it expected a “modest decline” in subscriptions during the December *******. Disney told investors Wednesday that it expects another “modest decline” in subscribers during the second quarter. Total paid Disney+ subscriptions stand at 124.6 million, compared with 125.3 million at the end of the company’s fiscal fourth quarter. Total Hulu subscriptions rose 3% during the ******* to 53.6 million. The slowdown in streaming subscriber growth follows an increase in prices for its services last year. Disney+’s average monthly revenue per paid subscriber increased roughly 4% to $7.99 due to those price hikes, the company said. Here is what Disney reported for the ******* ended Dec. 28 compared with what Wall Street expected, according to LSEG Earnings per share: $1.76 adjusted vs. $1.45 expectedRevenue: $24.69 billion vs. $24.62 billion Disney’s net income increased nearly 23% to $2.64 billion, or $1.40 per share, from $2.15 billion or $1.04 per share, during the same quarter last year. Adjusting for one-time items including restructuring charges and impairments related to intangible Hulu assets, Disney reported adjusted earnings of $1.76 per share. Revenue increased 4.8% to $24.69 billion compared with $23.55 billion in the year-earlier *******. The company saw revenue gains across the board for its entertainment, sports and experience segments. Its entertainment division had a 9% jump in revenue, reaching $10.87 billion. Operating income for the unit, which includes its direct-to-consumer, linear and content sales businesses, increased 95% to $1.7 billion during the quarter thanks to higher content sales and licensing. Linear continued to drag on overall results. Still, CEO Bob Iger remained positive on Wednesday’s call with investors when it came to the linear TV business, echoing similar comments made in November’s earnings call. “They are not a burden at all. They are actually an asset,” Iger said Wednesday, noting that Disney is programming and funding the networks so they can feed into streaming. While Iger said he wouldn’t rule out the possibility of changes to the TV networks in the future, he said that wouldn’t be now. “We actually feel good about the hand that we have and the manner in which we’re managing both the linear and streaming businesses across the board,” Iger said. Disney’s box-office success helped lift the company’s results during the quarter. The debut of “Moana 2” over Thanksgiving weekend helped push the box office to new heights. The animated sequel was still going strong at the box office through the new year, topping $1 billion during the Martin Luther King Jr. Day weekend. The company noted Wednesday its content sales/licensing and other operating income got a boost from “Moana 2.” Overall, Disney dominated the box office in 2024, with the help of other films like Marvel’s “Deadpool & Wolverine” and Pixar’s “Inside Out 2.” The company said it expects double-digit growth in operating income for the entertainment segment in fiscal 2025, with an increase in direct-to-consumer operating income of around $875 million. Positive on parks Over at its experiences business, which includes parks, cruises and resorts as well as consumer products, revenue rose 3% during the quarter to $9.42 billion. Domestic theme park revenue accounted for 68% of the division’s total, or $6.43 billion. While that revenue marked a 2% improvement over the same quarter last year, the combination of hurricanes Milton and Helene coupled with declines in attendance and investments in Disney’s fleet of cruise ships weighed on domestic operating income. The experiences division posted a 5% decline in domestic theme park operating income for the quarter, at $1.98 billion. Disney expects its experience segment to see operating income growth of between 6% and 8% in fiscal 2025. Theme parks in the U.S. have recently experienced a slowdown in foot traffic following the post-Covid surge in attendance. Disney CFO Hugh Johnston said Wednesday on CNBC’s “Squawk Box” that the experiences segment performed better than expected for the fiscal quarter. “In fact, the consumer is a bit stronger than we would have expected,” Johnston said Wednesday. “I think what we’re seeing is consumers are just very value focused, and you deliver value to them, they’re willing to pay the price for it.” Disney’s parks recently turned a record revenue and profit, even as the company has raised prices for its destinations. The company is in the midst of a 10-year, $60 billion investment in the segment. Sports scene In sports, Disney’s ESPN reported revenue growth of 8% year over year, reaching $4.81 billion, and operating income that was up 15% from the prior-year ******* to $228 million. The company expects operating income for its overall sports segment, which houses ESPN as well as Star India, to grow 13% in fiscal 2025. Disney said Wednesday that its sports segment operating incoming for the fiscal second quarter would be “adversely impacted” by about $100 million related to the shifting of three College Football Playoff games from the first quarter into the second quarter as well as an additional NFL game during the *******. This fall Disney’s networks broadcast the entirety of the Southeastern Conference college football schedule. Disney’s broadcaster, ABC, averaged 5.8 million viewers for 46 regular season college football games, which was a 56% year-over-year increase, Disney executives noted in a commentary release on Wednesday. The recent college football season helped lift Disney’s advertising revenue this past season. Meanwhile, Disney also said that guidance for unit operating income includes a roughly $50 million hit tied to its exit from the Venu sports joint venture. Disney and its joint venture partners, Warner Bros. Discovery and Fox, called off their efforts to move forward with Venu, which was supposed to be a streaming app that included all of the live sports from its parent companies. The change in strategy came after legal headaches that halted the launch of Venu last fall. The rise of skinny bundles — traditional pay TV distributors’ slimmed-down offerings focused on sports and news networks — were a contributing factor, too. Iger said on Wednesday’s call with investors that Venu “basically looked redundant to us,” next to skinny bundle offerings. As a result of the Venu stoppage, Fox on Tuesday announced it would move forward with its own streaming service after years of staying largely on the sidelines of the direct-to-consumer streaming game. Fox executives also noted that skinny bundles would benefit its portfolio of networks. Disney has been looking into various ways to grow its streaming options, from merging its apps into Disney+ to exploring different options for ESPN, such as Venu. The company also plans to launch its own direct-to-consumer streaming app for ESPN this fall, which has been the priority, company executives said Wednesday. “We’re obviously leaning into the development of what is now called ‘Flagship,’ which is essentially ESPN with multiple, mulitple elements to it,” Iger said Wednesday, noting sports betting and consumers’ ability to customize the platforms to their preferences. Disclosure: Comcast, which owns CNBC parent NBCUniversal, is a co-owner of Hulu. Don’t miss these insights from CNBC PRO Source link #Disney #DIS #earnings Pelican News View the full article at [Hidden Content]

Blake Lively Sued For Defamation by Crisis PR Firm in ‘It Ends With Us’ Feud – Hollywood Reporter Blake Lively Sued For Defamation by Crisis PR Firm in ‘It Ends With Us’ Feud – Hollywood Reporter Blake Lively Sued For Defamation by Crisis PR Firm in ‘It Ends With Us’ Feud Hollywood ReporterView Full Coverage on Google News Source link #Blake #Lively #Sued #Defamation #Crisis #Firm #Ends #Feud #Hollywood #Reporter Pelican News View the full article at [Hidden Content]

Mum of stabbed schoolboy urges caution over knives Mum of stabbed schoolboy urges caution over knives Abigail Jaiyeola & Steve Jones BBC News, Yorkshire Abigail Jaiyeola/BBC Harvey’s parents Mark and Caroline have thanked his friends for their support The mother of a 15-year-old boy who was stabbed to death at a school in Sheffield has urged anyone carrying knives to “imagine the devastation” they can cause. Harvey Willgoose died after being stabbed twice in the chest with a knife at All Saints Catholic High School on Monday afternoon. A 15-year-old boy, who cannot be named because of his age, appeared in court on Wednesday morning charged with *******, possession of a bladed article and affray. Speaking on Wednesday afternoon, Harvey’s mum Caroline said: “I don’t want anybody to go through what we are going through.” She added: “Just think if it was your brother, sister, dad, mum. Can you imagine the devastation if you lost somebody through that?” Mrs Willgoose described her son as “the life and soul of the party” and “a joy to be around”. “He loved football, football was his life. He was going to be an actor at one point, I think he would have been good at it.” She said Harvey’s final words to her before he left the family home to go to school on Monday were “I love you”. “I have got his grubby t-shirt on so I can smell him,” she added. “I don’t want to go to sleep because I don’t want to wake up and have to relive it all and remember it.” Family handout Harvey’s family described him as a “best friend to all” Harvey’s father, Mark, said his son was his “best pal” and described him as a “loveable rogue”. “We need to learn from this so no-one goes through what we have as a family,” he said. Mrs Willgoose thanked Harvey’s friends and family for their “amazing” support, adding: “That’s what’s keeping us going”. “It’s just unbelievable what people are doing.” Tributes to Sheffield United fan Harvey have been left outside Bramall Lane stadium and at his school, in Granville Road. A mass service will also take place for him at St Joseph’s Catholic Church in Handsworth on Saturday. PA Media Tributes have been left for Sheffield United fan Harvey at Bramall Lane After the 15-year-old suspect was charged, Chris Hartley from the Crown Prosecution Service, said it was “extremely important” there should be no reporting, commentary or sharing of information online which could in any way prejudice proceedings. “The Crown Prosecution Service reminds all concerned that criminal proceedings against this defendant are active and that the youth has a right to a fair trial.” Caroline said: “We want justice for Harvey, we want to do it right. We don’t want any obstacles, we want to get the best outcome for Harvey.” The 15-year-old, who has been remanded into youth detention, is due to appear at Sheffield Crown Court on Thursday. Listen to highlights from South Yorkshire on BBC Sounds, catch up with the latest episode of Look North or tell us a story you think we should be covering here. Source link #Mum #stabbed #schoolboy #urges #caution #knives Pelican News View the full article at [Hidden Content]

Trump’s Gaza proposal not meant as a hostile move: US Trump’s Gaza proposal not meant as a hostile move: US US President Donald Trump has offered for the United States to be responsible for the reconstruction of the Gaza Strip, Secretary of State Marco Rubio says after the president proposed a US takeover of the enclave. Rubio, speaking at a press conference in Guatemala City, said it was a unique offer to step in and clear debris and destruction in the ************ enclave, adding that people will have to live somewhere while it is rebuilt. He said it was not meant as a hostile move and that details still needed to be worked out. White House press secretary Karoline Leavitt also told reporters on Wednesday that Trump wanted to see Palestinians who live in the Gaza Strip “temporarily relocated” in order for the enclave to be rebuilt. “It was not meant as a hostile move,” Rubio said. “It was meant as a, I think, a very generous move.” He said the Gaza Strip was “akin to a natural disaster” and people cannot live there because there were unexploded munitions, debris and rubble. “In the interim, obviously people are going to have to live somewhere while you’re rebuilding it,” Rubio said. The government of Qatar, a mediator in Gaza Strip ceasefire talks, said on Wednesday it was too early to talk about the resettlement of Palestinians from the enclave and its delegation is busy trying to bring about the second phase of a deal to halt the war between Israel and ******. In a shock announcement on Tuesday, Trump said the United States could take over the war-torn Gaza Strip and create a “Riviera of the Middle East” after Palestinians were resettled elsewhere. This followed his suggestion last week that Palestinians could be relocated to Egypt and Jordan. Asked by Fox News if Trump’s proposal for a US takeover of the Gaza Strip would help or hurt the ceasefire talks, Qatar’s foreign ministry spokesman Majed Al-Ansari said: “I don’t think it’s a time now to start commenting on specific ideas.” “We know that there is a lot of trauma with the ************ side when it comes to displacement. However, again, it’s too early to talk about this, because we don’t know how this war will end.” Trump’s suggestion has already drawn widespread criticism and Egypt, Jordan and Saudi Arabia have all stated their rejection of it. Qatar, alongside the United States and Egypt, brokered a deal between Israel and ****** that halted the 15-month-long war in the ************ enclave. Al-Ansari also said that Qatar is ready to mediate between Trump’s administration and Iran for the stability of the whole region. “We have been, even during the first Trump administration, working with the administration over getting an arrangement with the Iranians. And we think it’s the role that we can play now, we are fitted to do it,” Al-Ansari said. Trump has said he preferred a verified nuclear peace agreement with Iran, while a senior Iranian official told Reuters Iran is ready to give its arch-foe a chance to resolve disputes. “We believe in President Trump as a deal maker,” Al-Ansari said. with AP Source link #Trumps #Gaza #proposal #meant #hostile #move Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]

MicroStrategy deepens bitcoin focus with rebrand MicroStrategy deepens bitcoin focus with rebrand (Reuters) – MicroStrategy, the biggest corporate holder of bitcoin, said on Wednesday it would now operate as “Strategy” and unveiled a new logo to emphasize its commitment to the cryptocurrency space. The rebrand was “a natural evolution” as it seeks to integrate bitcoin — the world’s biggest and best-known cryptocurrency — into the heart of its business operations, the company said. MicroStrategy, founded by Michael Saylor, has emerged as one of the biggest beneficiaries of the soaring popularity of bitcoin. Its shares jumped nearly five-fold last year, helping it secure a spot in the Nasdaq 100 index in December. The company continues to be an aggressive investor in bitcoin. In the statement announcing its rebrand, MicroStrategy defined itself as the world’s “first and largest Bitcoin Treasury Company”. Its new logo includes a stylized “B” that signifies its bitcoin strategy, it said. The company is scheduled to report its quarterly earnings later on Wednesday. (Reporting by Niket Nishant in Bengaluru; Editing by Shilpi Majumdar) Source link #MicroStrategy #deepens #bitcoin #focus #rebrand Pelican News View the full article at [Hidden Content]

Trump to sign executive order that will ban transgender athletes from women’s sports Trump to sign executive order that will ban transgender athletes from women’s sports Washington — President Trump on Wednesday is set to sign an executive order to ban transgender girls and women from competing on sports teams that match their gender identity, marking his latest move targeting transgender rights. The order, titled “Keeping Men Out of Women’s Sports,” mandates that Title IX, the federal law banning sex discrimination in schools, be interpreted as prohibiting the participation of transgender girls and women in female sports, a White House official said Wednesday in a call with reporters. Those not in compliance jeopardize any federal funding they receive and could face legal action, the official said. The White House official said transgender female athletes can compete on co-ed or male teams. Republicans have argued that transgender girls and women athletes have biological advantages that are unfair and unsafe for other girls and women. “This is about preserving women’s sports for women, and that if you are not a woman, you should absolutely have opportunities in sports, but the burden should not always be on women to accommodate that,” the official said. The executive order follows a Republican measure that passed the House last month. The bill passed 218 to 206, with two Democrats joining the Republican majority. The House bill, known as the “Protection of Women and Girls in Sports Act,” would amend Title IX to recognize a person’s “sex” as “based solely on a person’s reproductive biology and genetics at birth.” Schools that allow “a person whose sex is male to participate in an athletic program or activity that is designated for women or girls” risk losing federal funding. The bill has yet to see any movement in the Senate, where Republicans hold the majority and senators have been consumed with confirming Mr. Trump’s Cabinet nominees. It’s also unclear whether the measure can amass seven Democratic votes in the Senate to overcome a filibuster. The president of the National Collegiate Athletic Association, Charlie Baker, called for clarity on the issue as he testified to Congress in December. But Baker said he was aware of “less than 10” transgender athletes among the more than half a million student athletes governed by the NCAA. “We believe that’s consistent with federal policy,” Baker said in a contentious exchange with Republican Sen. Josh Hawley of Missouri about why transgender athletes were permitted to participate in women’s sports. “The clarity on this issue at the federal level would be very helpful.” CBS News has reached out to the NCAA for comment. The issue was a political lightning rod during the 2024 campaign, with Republicans spending tens of millions of dollars on ads focusing on transgender rights issues in the weeks leading up to the election. Polling in recent years has found a lack of support for transgender athletes participating on sports teams that match their gender identity. About half of states limit transgender athlete participation. Mr. Trump underscored those feelings on the campaign trail, often talking about “keeping men out of women’s sports.” On his first day back in office, Mr. Trump signed an executive order asserting the federal government recognizes only two sexes — male and female — and that “these sexes are not changeable and are grounded in fundamental and incontrovertible reality.” Another order aims to restrict transgender people from serving in the military. “The policy of this administration is that there are only two sexes — male and female. Pretty simple,” White House press secretary Karoline Leavitt said at Wednesday’s press briefing. Olivia Rinaldi contributed to this report. Caitlin Yilek Caitlin Yilek is a politics reporter at CBSNews.com, based in Washington, D.C. She previously worked for the Washington Examiner and The Hill, and was a member of the 2022 Paul Miller Washington Reporting Fellowship with the National Press Foundation. Source link #Trump #sign #executive #order #ban #transgender #athletes #womens #sports Pelican News View the full article at [Hidden Content]

Bitcoin treasury pioneer MicroStrategy rebrands with a new name: Strategy Bitcoin treasury pioneer MicroStrategy rebrands with a new name: Strategy MicroStrategy , the software company turned “bitcoin development” firm unveiled a new name and logo ahead of its fourth-quarter earnings report. Going forward, the bitcoin proxy will now be called Strategy, the company said in a press release Wednesday. The revamp comes with a new bitcoin logo and orange brand color, as well as an online merchandise store. A spokesperson for Strategy did not immediately respond to a request for comment. Michael Saylor, the co-founder and executive chairman, is expected to discuss the rebrand on the company’s earnings call Wednesday evening. Strategy first launched as a provider of enterprise software. Last year, the company said it would shift its focus and brand to “bitcoin development.” The firm employed an aggressive bitcoin-buying strategy in 2020, and its shares have since primarily traded as a proxy for the crypto’s price. In the past year, Strategy became more aggressive in its approach, raising billions of dollars through the ***** of convertible bonds for the sole purpose of buying more bitcoin. Investors compared Strategy to meme stocks following the election, as the company piled into bitcoin on a weekly basis even as the flagship cryptocurrency hit record after record. Since President Donald Trump won the election, bitcoin has surged nearly 40%, while Strategy shares have popped 50%. Strategy currently holds 471,107 bitcoins on its balance sheet. It’s the largest corporate holder of the cryptocurrency in the world. Shares of Strategy were last lower by roughly 2% in afternoon trading. MicroStrategy founder Michael Saylor speaks at the Bitcoin 2021 Conference in Miami on June 4, 2021. CFOTO | Nurphoto | Getty Images MicroStrategy, the software company turned “bitcoin development” firm unveiled a new name and logo ahead of its fourth-quarter earnings report. Going forward, the bitcoin proxy will now be called Strategy, the company said in a press release Wednesday. The revamp comes with a new bitcoin logo and orange brand color, as well as an online merchandise store. A spokesperson for Strategy did not immediately respond to a request for comment. Michael Saylor, the co-founder and executive chairman, is expected to discuss the rebrand on the company’s earnings call Wednesday evening. Strategy first launched as a provider of enterprise software. Last year, the company said it would shift its focus and brand to “bitcoin development.” The firm employed an aggressive bitcoin-buying strategy in 2020, and its shares have since primarily traded as a proxy for the crypto’s price. In the past year, Strategy became more aggressive in its approach, raising billions of dollars through the ***** of convertible bonds for the sole purpose of buying more bitcoin. Investors compared Strategy to meme stocks following the election, as the company piled into bitcoin on a weekly basis even as the flagship cryptocurrency hit record after record. Since President Donald Trump won the election, bitcoin has surged nearly 40%, while Strategy shares have popped 50%. Strategy currently holds 471,107 bitcoins on its balance sheet. It’s the largest corporate holder of the cryptocurrency in the world. Shares of Strategy were last lower by roughly 2% in afternoon trading. Don’t miss these cryptocurrency insights from CNBC Pro: Source link #Bitcoin #treasury #pioneer #MicroStrategy #rebrands #Strategy Pelican News View the full article at [Hidden Content]

Nintendo Switch 2 Might Provide ‘Real Energy’ for FC and Madden, Says EA Nintendo Switch 2 Might Provide ‘Real Energy’ for FC and Madden, Says EA EA recently stated that franchises like Madden and FC might find ‘real energy’ on a platform like Nintendo Switch 2. According to a report by IGN, EA CEO Andrew Wilson was asked whether Nintendo Switch 2 is a platform they are focusing on during a recent earnings call. Wilson replied that a new console arriving in the marketplace is a “benefit” for them as it allows them to “acquire new players.” Wilson added that EA’s franchises have “typically” performed well on Nintendo’s platforms. The EA CEO then discussed some of their most popular franchises, EA FC and Madden, stating that products like those could “find real energy” on the Nintendo Switch 2, “as they have done in the past.” Wilson also provided an example with The Sims and My Sims cozy bundle, explaining how it performed better than expectations, with “50% of all players” new to EA. EA revealed “nothing in our models at this juncture.” However, they expect that “anytime a great new console” hits the market, it will allow them to reach new players and communities, so they need an IP to benefit from that. EA Sports FC 24 is already available for purchase on the Nintendo Switch, and the next instalments of the franchise should arrive on the Switch 2. The fascinating addition would be Madden, as no games from that franchise have made it to Nintendo’s prized console. Also, it will be interesting to see if the platform can breathe new life into these franchises, as EA FC is struggling. In other news, EA is working on a significant Apex Legends update that will arrive after the upcoming Battlefield, which is scheduled to launch before April 2026. What are your thoughts on EA stating that Madden and FC might find ‘real energy’ on the Switch 2? Let us know in the comments or on our new community forum! For more information from Insider Gaming, read about Kingdom Come Deliverance 2 selling 1 million copies. Don’t forget to sign up for our weekly newsletter. SUBSCRIBE to our newsletter to receive the latest news and exclusive leaks every week! No Spam. Source link #Nintendo #Switch #Provide #Real #Energy #Madden Pelican News View the full article at [Hidden Content]

Trump Revokes Security Detail for Mark Esper, Former Defense Secretary Trump Revokes Security Detail for Mark Esper, Former Defense Secretary President Trump has revoked the security detail for Mark T. Esper, a former defense secretary who is among several officials who are facing threats from Iran because of actions they took on behalf of the president during his first term, according to two people with knowledge of the matter. It was not immediately clear when Mr. Esper’s security detail was called off. A White House spokesman and a Pentagon official did not immediately comment. Mr. Esper declined to comment. Mr. Esper is the latest former senior U.S. official to have his security detail pulled since Mr. Trump, who has also faced threats from Iran, took office. Pentagon officials last week removed Mr. Esper’s portrait as secretary of the Army. Within hours of his inauguration, Mr. Trump began to systematically pull security details from nearly a half-dozen people who had served in his first term. The U.S. intelligence community has said Iran has sought revenge against American officials involved in the drone strike that killed Iran’s Gen. Qassim Suleimani in early January 2020. Mr. Esper was protected by federal officials because of ongoing threats from Iran. Four other officials from Mr. Trump’s first administration facing Iranian threats also had their details pulled. The others are: John R. Bolton, Mr. Trump’s third national security adviser; Mike Pompeo, the former secretary of state; Brian Hook, one of Mr. Pompeo’s top aides and a specialist on Iran; and the retired Gen. Mark A. Milley, who Mr. Trump picked to be chairman of the Joint Chiefs of Staff. Those security details were provided by the Biden administration based on assessments from the intelligence community that the threats from Iran were ongoing and credible. The Biden administration had briefed the incoming Trump administration about the threats. Mr. Trump also pulled protection from Dr. Anthony S. Fauci, the infectious diseases doctor who had advised the White House on its response to the coronavirus pandemic, and who has become a target among Mr. Trump’s supporters. Mr. Trump, himself a target of Iran who is guaranteed federal security protection for life as a president and former president, has said that all the men in question are not guaranteed security for life, that all made enough money to pay for it themselves, and that he would feel no responsibility should something happen to them. In some cases, the targets are people whom Mr. Trump believes have wronged him in some way, either through criticism of him since he left office or actions they took while working in his first administration. But it has been difficult to discern the source of his disdain in at least one case. Mr. Bolton and Mr. Esper have both been critics of Mr. Trump, and wrote memoirs detailing their time working with him. Mr. Pompeo mildly criticized Mr. Trump, considered running for president himself in 2024 and was late to endorse Mr. Trump, but has generally been supportive. Mr. Hook is the most curious example. The former U.S. special representative for Iran, he has been nothing but supportive of Mr. Trump and was involved in the early stages of his current transition. On Wednesday, Mr. Trump signed an executive order to impose maximum pressure on Iran to, among other things, prevent it from developing a nuclear weapon. He said as he signed it that he wanted to ensure Tehran faced payback should it harm him. “If they did that, they would be obliterated,” Mr. Trump told reporters in the Oval Office. “I’ve left instructions if they do it, they get obliterated, there won’t be anything left.” Source link #Trump #Revokes #Security #Detail #Mark #Esper #Defense #Secretary Pelican News View the full article at [Hidden Content]

DOT Secretary spoke with Musk on airspace reform DOT Secretary spoke with Musk on airspace reform An American Airlines plane takes off as a salvage barge with a crane is positioned near the ****** site along the Potomac River after a passenger jet collided with a helicopter while landing at Ronald Reagan Washington National Airport (DCA) in Arlington, Virginia, US, on Sunday, Feb. 2, 2025. Al Drago | Bloomberg | Getty Images U.S. Transportation Secretary Sean Duffy said he spoke with Trump administration advisor and CEO of SpaceX Elon Musk about reforming the country’s airspace and raised concerns about the military’s use of helicopters in Washington, D.C.’s crowded airspace after a deadly collision last week. “I had a conversation with Elon Musk yesterday, pretty remarkable guy. He thinks differently than I think probably a lot of us do, but he has access to the best technological people, the best engineers in the world,” Duffy said Wednesday at a roadway transportation event in Washington. “We’re going to remake our airspace, and we’re going to do it quickly.” Duffy’s comments come a week after an Army ****** Hawk helicopter collided with an arriving American Airlines regional jetliner at Ronald Reagan Washington National Airport. All 64 people on the American flight and the three military crew on the ****** Hawk, which was on a training mission, were killed. It was the deadliest airline accident in the United States since 2001. Musk didn’t immediately respond to a request for comment. SpaceX, along with other space companies, shares airspace with commercial airplanes. U.S. airline executives have for years called for modernization of U.S. air traffic control systems and additional hiring of air traffic controllers to stem a yearslong shortage. Duffy said one air traffic controller was handling both airplane and helicopter traffic at the time of the ****** and that he will “look at the policies and the procedures inside the tower.” “We’re going to pull that authority back to make sure that we have the right policies in place inside our towers to make sure when you fly, you’re safe,” he said. Duffy said officials need to look at the safety of conducting military training missions at night. “And if we have generals who are flying in helicopters for convenience through this airspace, that’s not acceptable,” he said. “Get in a damn Suburban and drive. You don’t need to take a helicopter.” The U.S. Army and Defense Department didn’t immediately comment. The National Transportation Safety Board, which is leading the investigation into last week’s ******, is still probing the cause of the deadly collision. Source link #DOT #Secretary #spoke #Musk #airspace #reform Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]

Why Elon Musk Is So Focused on the Bureau of the Fiscal Service, ‘America’s Checkbook’ Why Elon Musk Is So Focused on the Bureau of the Fiscal Service, ‘America’s Checkbook’ The first weeks of President Trump’s second term have been dominated by a blizzard of executive orders aimed at reversing diversity policies, trade wars with major American trading partners and intrigue over the most important federal office that most Americans have never heard of in the Bureau of the Fiscal Service. Tucked within the Treasury Department, the bureau is staffed by career civil servants who operate a system that channels about 90 percent of the payments for the United States government, which spent about $6.75 trillion last fiscal year. Sometimes referred to as the nation’s checkbook, the bureau has a trove of information about recipients of federal benefits, tax information and contracts associated with programs spanning the government. That’s why it has become a point of interest for Elon Musk’s so-called Department of Government Efficiency, which has said its aim is to root out wasteful spending but which has also begun looking to stop expenditures that clash with Mr. Trump’s policy agenda. Mr. Musk and his team got access last week to the payments system, giving them a window into every payment that the government makes. That includes personal data, such as Social Security numbers for those receiving federal benefits and bank account information. Access to the system could ostensibly offer them the ability to stop payments from being made, giving the Trump administration more power to starve programs that it does not like. The revelation that Mr. Musk could interfere with the plumbing of the nation’s spending system created alarm inside and outside of the federal government. Over the past week, a career Treasury Department official, David Lebryk, resigned after he was pressured to provide Mr. Musk’s team with access to the system; Treasury Secretary Scott Bessent was sued by unions representing federal workers because he granted the access; and Democrats in Congress have pushed for investigations into the situation. The Treasury Department said late on Tuesday that it was not stopping or rejecting federal expenditures and that it was committed to safeguarding the nation’s payment system. In a letter to Congress, an official described the actions of Mr. Musk’s team as a review of the system to “maximize payment integrity” for agencies and the public. Here’s how the payment system works and why it matters. The plumbing behind federal payments The federal government makes more than a billion payments each year, sending money to retired Americans who receive Social Security checks, state governments that help run federal programs and investors on Wall Street who bought government debt. The Treasury Department collects money from taxes and bond sales and then uses it to fulfill the nation’s obligations. Agencies across the government prepare computer files detailing payments they need made and send them to the Treasury Department. Treasury officials then ensure the files are properly completed and run the data through a final series of checks, including whether any recipients are on the “do not pay” list. Entities facing sanctions, for example, are barred from receiving government money. Personal information is included in the files to make sure the payments go to the right people. “It would have a name, bank account information, some level of Social Security identifier,” said Don Hammond, a former fiscal assistant secretary at the Treasury. Corporate information about government contractors would also be in the system, Mr. Hammond said, as well as information about Americans’ tax refunds. Given the sensitivity of the information in the system, access to it has historically been limited to the small group of staff members who need it, according to former Treasury officials. Once the department runs the payment file through its filters, it reformats the file and provides it to the Federal Reserve, which then sends the money to its destination. The Fed’s role is strictly as a service provider. It has no ability to override or question directives in terms of who to pay and when. Mr. Hammond said there are two kinds of access to the Treasury system, with one giving a user visibility into which payment files the department is processing and another that grants the ability to go in and make changes to the system. “You could conceivably go into those files and enter entities you didn’t want to be paid, put them into the ‘do not pay’ list,” he said. “Even if it didn’t meet the legal criteria for going in there, if it were in that screening filter, it would stop that payment at that point in time.” In a letter to Congress on Tuesday, the Treasury said that a team led by Tom Krause, a Treasury employee and software executive, currently has “read only” access to the data. A debt limit wild card Efforts to upend the management of the payments system come as the government has bumped up against the amount of money it can borrow — the so-called debt limit. The Treasury Department is relying on what it calls “extraordinary measures” to generate additional cash so it can meet its obligations. Many Republicans oppose raising the debt limit, which they see as a sign of profligate spending by Democrats, making it likely that the United States will approach the brink of default this summer as lawmakers try to reach a deal. Interference with the payments system adds another layer of complication. The Treasury will be very carefully tracking its bank account held at the Fed to make sure that it always has a positive balance, given its current inability to issue more government debt to cover its bills. Culling payments may mean less money flowing out of the government’s coffers and therefore more time before the Treasury’s debt limit is reached, but growing uncertainty about the payments system has generated concern. “What’s super important for the financial system is that they have enough money to make principal and interest payments that are going to be coming due,” said Wendy Edelberg, the director of the Hamilton Project, an economic policy arm of the Brookings Institution. That’s because failure to make those payments to bondholders could result in the government defaulting on its debt, which would have catastrophic economic and financial consequences, according to policymakers and economists. Ms. Edelberg called the fact that expenditures for the U.S. Agency for International Development, known as U.S.A.I.D., went to zero last week a “canary in the coal mine.” The problem of privacy Privacy is among the biggest concerns expressed by Democrats in Congress. The Bureau of the Fiscal Service disburses Social Security payments, Medicare benefits, federal salaries, grants and tax refunds. This means that the bureau’s computer system has personal information about millions of Americans. Lawmakers are alarmed because they do not know the intentions of Mr. Musk, who has publicly accused Treasury Department officials of breaking the law by allowing improper payments to be disbursed. “Controlling the system could allow the Trump administration to ‘unilaterally’ — and illegally — cut off payments for millions of Americans, putting at risk the financial security of families and businesses based on political favoritism or the whims of Mr. Musk and those on his team who have worked their way inside,” Senator Elizabeth Warren, the top Democrat on the banking committee, wrote to Mr. Bessent this week. “It could also give them access to millions of Americans’ personal and financial information that is protected by law.” Ms. Warren and Senator Ron Wyden of Oregon, the top Democrat on the Senate Finance Committee, called on Wednesday for the Government Accountability Office to investigate the decision to give Mr. Musk’s team access to the payment system. Concerns about conflicts of interest Mr. Musk’s involvement in the federal government has raised a host of concerns about potential conflicts of interest surrounding his efforts to curb federal spending. Mr. Musk’s rocket company, SpaceX, effectively dictates NASA’s rocket launch schedule. The Defense Department relies on him to get most of its satellites into orbit. And his companies were promised $3 billion across nearly 100 contracts in 2023 with 17 federal agencies. Mr. Musk also regularly tangles with federal regulators about safety issues related to his car company, Tesla. Access to the Bureau of the Fiscal Service data could theoretically give Mr. Musk insights into the federal contracts of his corporate competitors. Speaking at the White House on Monday, Mr. Trump dismissed concerns about Mr. Musk’s interest in the data at the Treasury Department, saying that he would not be able to take any action without approval from the White House. “If there’s conflict, then we won’t let him get near it,” Mr. Trump said. Source link #Elon #Musk #Focused #Bureau #Fiscal #Service #Americas #Checkbook Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]

New CIA Director Initiates Buyouts to Align Agency with Trump Admin Goals – Newsweek New CIA Director Initiates Buyouts to Align Agency with Trump Admin Goals – Newsweek New CIA Director Initiates Buyouts to Align Agency with Trump Admin Goals NewsweekTrump Live Updates: Musk-Led Federal Buyouts Expand to CIA as White House Eyes Cuts The New York Times Source link #CIA #Director #Initiates #Buyouts #Align #Agency #Trump #Admin #Goals #Newsweek Pelican News View the full article at [Hidden Content]

Councils fear the local is being taken out of local government Councils fear the local is being taken out of local government Alex Forsyth Political correspondent Getty Images The government has got a grand plan to shake up the way local government works and give councils and mayors more clout. It involves existing councils merging to create single authorities that provide all the services in their area, and then, in many places, working together under the umbrella of a local mayor. The reorganisation – which ministers say will make councils simpler and more efficient, and make mayors champions for their regions – will also see local elections in nine areas postponed for a year. But while many local leaders back the idea, this huge reorganisation has plenty of critics – and has created plenty of local rows. In some places there is disagreement over how councils should be re-structured, how many people they should serve, what the geographical boundaries should be and whether some councils might have to take on other councils’ financial burdens – and all this is happening at a time when many local authorities are struggling to balance budgets. One local Conservative leader said: “It’s like reorganising the deckchairs on HMS local government Titanic which is still sinking and taking on water and we have no idea how we’re going to stop that.” It’s a process that started under the last government. Some areas have already reorganised their structures and have elected mayors, but the picture is pretty piecemeal across England. The government now wants every area to get on board with what the Deputy Prime Minister Angela Rayner has called a “devolution revolution”, and some are fully signed up. One senior Tory councillor said: “You need economies of scale for housing, transport, schools and roads rather than what happens now, which is people don’t know where to go if their bins aren’t collected, and they don’t know which council does what – this is a much more simple and hopefully cheaper way of providing services.” Councils have been under the cosh when it comes to funding, with growing demand for services like social care, support for children with special educational needs and disabilities, and housing. They’re also the bodies that are on the front line when it comes to delivering some of the government’s key priorities, including getting 1.5 million new homes built over the course of this Parliament. One Tory councillor said embarking on a major shake-up right now was diverting attention from delivering, and would not solve councils’ financial challenges. “It’s created a lot of animosity,” they said. “Many councillors only got elected in 2023 and are beginning to deliver their agenda around housing delivery, infrastructure and growth and they’ve had rug pulled out from beneath them. “They were out on the doorstep saying the government had to deliver homes, but everyone is so fixated on local government reorganisation they haven’t been able to think about their local plan. “All that spare capacity and bandwidth has been taken up talking about something that may or may not happen.” Getty Images Deputy Prime Minister Angela Rayner is pushing forwards with plans to reorganise local government There’s another point of contention – the speed at which it’s happening. Supporters say the government’s been clear about the direction of travel so pressing on makes sense, while critics claim the process has been “rushed”. Cllr Bridget Smith, the Lib Dem leader of South Cambridgeshire District Council, said the issue of reorganising local government had taken attention “almost to the exclusion of anything else” since before Christmas, saying it’s a “massive distraction and massive cost” that would mean “the local will be lost in local government”. “Surely the big problem is social care and children’s services,” she said. “Surely it’s better to focus on solving those before moving the deckchairs of local government around.” Setting out plans in the House of Commons, Rayner said there would be extensive engagement with local communities – and plenty of local leaders have already been knocking on ministers’ doors to share their views. Some believe the pushback is being driven by politics from those who stand to lose out on council seats. “I think it’s people in the bubble talking to themselves,” one council leader said. “This is about politics, nothing more.” The Labour leader of Thurrock Council, Jack Kent, said: “This is just about the most centralised country in the Western world, and this is a real transfer of powers from Whitehall to the town hall. Moving to something that is stronger, more resilient, more ambitious for its population can only be good for people.” Tim Oliver, the Conservative leader of Surrey County Council, said: “There is party political noise about this, but at the end of the day we’re here to serve residents and is simplification and less cost better for residents? It is. We’ll get through a little bit of turbulence.” There’s certainly plenty of discussion – and disagreement – among councillors across England, but one thing most agree on – and ministers acknowledge – is that changing the way councils work will not solve the challenges they face without further reform of some of the key services they provide. Source link #Councils #fear #local #local #government Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]

DOT Secretary spoke with Musk on airspace reform DOT Secretary spoke with Musk on airspace reform An American Airlines plane takes off as a salvage barge with a crane is positioned near the ****** site along the Potomac River after a passenger jet collided with a helicopter while landing at Ronald Reagan Washington National Airport (DCA) in Arlington, Virginia, US, on Sunday, Feb. 2, 2025. Al Drago | Bloomberg | Getty Images U.S. Transportation Secretary Sean Duffy said he spoke with Trump administration advisor and CEO of SpaceX Elon Musk about reforming the country’s airspace and raised concerns about the military’s use of helicopters in Washington, D.C.’s crowded airspace after a deadly collision last week. “I had a conversation with Elon Musk yesterday, pretty remarkable guy. He thinks differently than I think probably a lot of us do, but he has access to the best technological people, the best engineers in the world,” Duffy said Wednesday at a roadway transportation event in Washington. “We’re going to remake our airspace, and we’re going to do it quickly.” Duffy’s comments come a week after an Army ****** Hawk helicopter collided with an arriving American Airlines regional jetliner at Ronald Reagan Washington National Airport. All 64 people on the American flight and the three military crew on the ****** Hawk, which was on a training mission, were killed. It was the deadliest airline accident in the United States since 2001. Musk didn’t immediately respond to a request for comment. SpaceX, along with other space companies, shares airspace with commercial airplanes. U.S. airline executives have for years called for modernization of U.S. air traffic control systems and additional hiring of air traffic controllers to stem a yearslong shortage. Duffy said one air traffic controller was handling both airplane and helicopter traffic at the time of the ****** and that he will “look at the policies and the procedures inside the tower.” “We’re going to pull that authority back to make sure that we have the right policies in place inside our towers to make sure when you fly, you’re safe,” he said. Duffy said officials need to look at the safety of conducting military training missions at night. “And if we have generals who are flying in helicopters for convenience through this airspace, that’s not acceptable,” he said. “Get in a damn Suburban and drive. You don’t need to take a helicopter.” The U.S. Army and Defense Department didn’t immediately comment. The National Transportation Safety Board, which is leading the investigation into last week’s ******, is still probing the cause of the deadly collision. Source link #DOT #Secretary #spoke #Musk #airspace #reform Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]

One in three homeowners open to ditching gas One in three homeowners open to ditching gas Enthusiasm for all-electric homes is building, though a rapid shift away from gas risks lumping those who remain with an expensive network to cover. Source link #homeowners #open #ditching #gas Pelican News View the full article at [Hidden Content]

JPMorgan says these stocks are the most at risk from Trump’s ongoing tariff battles JPMorgan says these stocks are the most at risk from Trump’s ongoing tariff battles The prospect of a trade war between the U.S. and key trade partners put the outlook of a slew of companies in doubt, according to JPMorgan. President Donald Trump over the weekend issued a 25% tariff on ********* and ******** imports, along with a 10% levy on goods from China. The duties on Canada and Mexico were then halted for 30 days on Monday, while China retaliated with tariffs of up to 15% on select U.S. products. The back and forth on the trade front has sparked concern over how certain industries could suffer, sparking volatility in equity markets around the world. In an effort to navigate ongoing “trade turbulence,” JPMorgan strategist Dubravko Lakos-Bujas listed several U.S. companies that the firm thinks will likely be sensitive to escalating tariffs from the U.S. against imported goods coming from several regions — including China, Mexico, Canada and Europe. “Most market participants have been preparing for such tariff headlines since the U.S. election and intuitively understand that Tariffs 2.0 will be used by the Trump Administration for policies beyond just trade (e.g., immigration, national security, foreign policies),” Lakos-Bujas said in a note to clients. “As such, we expect sudden bouts of volatility followed by recovery … with high stock dispersion to be an ongoing feature for markets in 2025.” The stocks were derived from dozens of JPMorgan analysts covering roughly 1,000 companies with high geographic revenue exposure to the affected areas. Here are the companies they found to be under the most threat from tariffs: Automakers and auto suppliers have been hit hard due to concerns tied to new tariffs, particularly as many electric and autonomous vehicle companies do business in China and rely on imports from foreign countries to meet domestic consumer demand. JPMorgan listed EV maker Tesla , auto parts supplier Aptiv and commercial truck and auto retailer Penske Automotive as names in the industry that could languish in this environment. Tesla and Aptiv are primarily exposed to China, while Penske’s top line is closely tied on Europe. Tesla has lost more than 5% this week, while Aptiv has shed more than 1%. Penske dipped 1% on Monday but has since recovered and is now up more than 3% for the week. Other so-called Magnificent Seven stocks are also at risk from tariffs, including Apple and Amazon, according to JPMorgan. Apple has been considered potentially the most vulnerable of the megacap tech basket given that the iPhone maker assembles the majority of its products in China . Amazon’s advertising business benefits from China-based sellers and many of its third-party sellers are in China. Several consumer giants and retailers, including toothpaste maker Colgate-Palmolive, Ebay and Estee Lauder are also at risk. Source link #JPMorgan #stocks #risk #Trumps #ongoing #tariff #battles Pelican News View the full article at [Hidden Content]

Step up your monitor game with the Alienware AW2724DM for just $199 Step up your monitor game with the Alienware AW2724DM for just $199 Today’s deal features a superb value gaming monitor from Dell that features many specifications that are common on more expensive gaming monitors. So, if you’re looking for a new monitor, a second screen, or a main monitor for a low-cost budget gaming setup, this is a great place to start. You can find this deal over at Dell, where the Alienware AW2724DM is just $199, saving over $180 from its original MSRP. I’ve seen this monitor on ***** on Amazon for $230 before, and currently, you can also find it on ***** for $199. The Alienware AW2724DM is a flat-panel fast-IPS gaming monitor with 27 inches of real estate for your games. Some of the fantastic features of this screen include a fluid 165Hz refresh rate (up to 180Hz when overclocked), HDMI 2.1, DisplayPort 1.4, and a 1ms gray-to-gray extreme response time. The picture has a QHD 2560 x 1440 pixel resolution for sharp images, and with most modern GPUs, you can achieve respectable frame rates on this gaming monitor. Avoid screen tearing and visual anomalies with VESA adaptive-sync, and AMD FreeSync Premium Pro, plus compatibility with Nvidia G-Sync tech. The screen has a superb 600-nit brightness and great color accuracy with a DCI-P3 0f 95% and is factory calibrated with an accuracy of Delta E less than two. Don’t forget to look at our Dell coupon codes for January 2025 and see if you can save on today’s deal or other products at Dell. Source link #Step #monitor #game #Alienware #AW2724DM Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]

Trump Live Updates: Musk-Led Federal Buyouts Expand to CIA as White House Eyes Cuts – The New York Times Trump Live Updates: Musk-Led Federal Buyouts Expand to CIA as White House Eyes Cuts – The New York Times Trump Live Updates: Musk-Led Federal Buyouts Expand to CIA as White House Eyes Cuts The New York TimesJournalist warns that purge at the FBI and CIA could lead to next 9/11 CNNCIA offers buyouts to staffers as new director looks to stamp Trump’s imprint on the agency The Associated Press Source link #Trump #Live #Updates #MuskLed #Federal #Buyouts #Expand #CIA #White #House #Eyes #Cuts #York #Times Pelican News View the full article at [Hidden Content]

Super Bowl 2025: Travis Kelce says playing in front of President Trump ‘an honour’ Super Bowl 2025: Travis Kelce says playing in front of President Trump ‘an honour’ Kansas City Chiefs tight end Travis Kelce said it will be “pretty cool” and an “honour” to play in front of US president Donald Trump in Super Bowl 59. Trump will become the first sitting president of the US to attend a Super Bowl as the Chiefs face the Philadelphia Eagles in New Orleans on Sunday. Kelce’s girlfriend, music superstar Taylor Swift, has previously criticised Trump and endorsed the Democratic candidate Kamala Harris as Trump was re-elected last year. Swift will also be attending Sunday’s game at the Superdome, where security measures had already been bolstered following the New Year’s terror attack which killed 14 people on Bourbon Street. Kelce will aim for a fourth Super Bowl ring, with the Chiefs hoping to become the first team to win three straight Super Bowls. “It’s a great honour I think, no matter who the president is,” Kelce said on Wednesday. “I’m excited because it’s the biggest game of my life, you know, and having the president there – it’s the best country in the world so it’d be pretty cool.” Source link #Super #Bowl #Travis #Kelce #playing #front #President #Trump #honour Pelican News View the full article at [Hidden Content]

Beauden Barrett wants Japan in expanded Super Rugby Beauden Barrett wants Japan in expanded Super Rugby All ******* superstar Beauden Barrett is urging officials to bring Japan back in an expanded Super Rugby competition, saying it would be good for the game. Source link #Beauden #Barrett #Japan #expanded #Super #Rugby Pelican News View the full article at [Hidden Content]

JPMorgan says these stocks are the most at risk from Trump’s ongoing tariff battles JPMorgan says these stocks are the most at risk from Trump’s ongoing tariff battles The prospect of a trade war between the U.S. and key trade partners put the outlook of a slew of companies in doubt, according to JPMorgan. President Donald Trump over the weekend issued a 25% tariff on ********* and ******** imports, along with a 10% levy on goods from China. The duties on Canada and Mexico were then halted for 30 days on Monday, while China retaliated with tariffs of up to 15% on select U.S. products. The back and forth on the trade front has sparked concern over how certain industries could suffer, sparking volatility in equity markets around the world. In an effort to navigate ongoing “trade turbulence,” JPMorgan strategist Dubravko Lakos-Bujas listed several U.S. companies that the firm thinks will likely be sensitive to escalating tariffs from the U.S. against imported goods coming from several regions — including China, Mexico, Canada and Europe. “Most market participants have been preparing for such tariff headlines since the U.S. election and intuitively understand that Tariffs 2.0 will be used by the Trump Administration for policies beyond just trade (e.g., immigration, national security, foreign policies),” Lakos-Bujas said in a note to clients. “As such, we expect sudden bouts of volatility followed by recovery … with high stock dispersion to be an ongoing feature for markets in 2025.” The stocks were derived from dozens of JPMorgan analysts covering roughly 1,000 companies with high geographic revenue exposure to the affected areas. Here are the companies they found to be under the most threat from tariffs: Automakers and auto suppliers have been hit hard due to concerns tied to new tariffs, particularly as many electric and autonomous vehicle companies do business in China and rely on imports from foreign countries to meet domestic consumer demand. JPMorgan listed EV maker Tesla , auto parts supplier Aptiv and commercial truck and auto retailer Penske Automotive as names in the industry that could languish in this environment. Tesla and Aptiv are primarily exposed to China, while Penske’s top line is closely tied on Europe. Tesla has lost more than 5% this week, while Aptiv has shed more than 1%. Penske dipped 1% on Monday but has since recovered and is now up more than 3% for the week. Other so-called Magnificent Seven stocks are also at risk from tariffs, including Apple and Amazon, according to JPMorgan. Apple has been considered potentially the most vulnerable of the megacap tech basket given that the iPhone maker assembles the majority of its products in China . Amazon’s advertising business benefits from China-based sellers and many of its third-party sellers are in China. Several consumer giants and retailers, including toothpaste maker Colgate-Palmolive, Ebay and Estee Lauder are also at risk. Source link #JPMorgan #stocks #risk #Trumps #ongoing #tariff #battles Pelican News View the full article at [Hidden Content]

What are the risks of a U.S.-China trade war, and can conflict be averted? What are the risks of a U.S.-China trade war, and can conflict be averted? The quick-fire volley of tariffs between the U.S. and China in recent days has heightened global fears of a new trade war between the world’s two largest economies. Yet while experts think the battle is likely to escalate, they also say the early skirmishes offer hope for an agreement on trade and other key issues that could head off a larger conflict. After the Trump administration’s additional 10% levy on ******** imports took effect Tuesday, China announced a 15% tariff on U.S. coal and liquified natural gas, along with a 10% tariff on crude oil, agricultural machinery and some cars, that is set to kick in Feb. 10. China also put limits on exports of vital minerals used in high-tech products; opened an antitrust probe into Google; and placed two American companies on an “unreliable entities” list — PVH Group, which owns Calvin Klein and Tommy Hilfiger, and Illumina, a biotechnology company with offices in China. Notably, however, the U.S. opted to hit China with a relatively modest tariff, rather than levies of up to 60%, as President Trump had previously threatened. For its part, Beijing also pulled its punches by targeting less vital U.S. sectors, leaving the door open for the sides to reach a deal. “I think [Mr. Trump] backed off ******* ******** tariffs because it became clear to him that it would eliminate any possibility of negotiation,” trade policy expert William Reinsch, a former U.S. undersecretary of commerce for export administration and senior adviser at the Center for Strategic and International Studies, told CBS MoneyWatch. “It would be trade prohibitive, and they would regard it basically as an act of economic warfare. So I think he went with a number that would not prevent future negotiations and would still send a signal, so he ended up with 10%.” China retaliates Trump’s tariffs with tariffs of their own on U.S. exports 01:58 For now, Wall Street investors are also taking the countries’ fresh trade sanctions in stride, betting that neither Mr. Trump nor ******** President Xi Jinping are eager to start a mutually destructive economic war. “I think it is all rhetoric for now. This is the negotiation stage,” said Bill Dendy, a financial strategist at investment bank Raymond James. “It is like two brothers starting to talk smack, and they’ll start to throw punches, but they don’t want to hurt each other. It’s not good for anybody if it gets out of hand.” Julian Evans-Pritchard, head of China economics at Capital Economics, noted in a research report that China’s retaliatory measures have “clearly been calibrated to try to send a message to the U.S. (and domestic audiences) without inflicting too much damage.” To be sure, even such efforts to avert a full-blown trade war could falter, spurring Mr. Trump to pursue a harder line against China, which he has long claimed uses a range of unfair practices that disadvantage U.S. businesses and workers. “Edge of a cliff” Reinsch said he expects Mr. Trump and Xi to hold discussions toward a deal that could lead to tariffs being repealed, or at least put on hold. “These are all leverage moves,” Reinsch said. “The purpose is to force a negotiation on whatever it is [Mr. Trump] wants to negotiate, and he is good at brinkmanship. He goes right up to the edge of the cliff like he did with Canada and Mexico, and then he backed off in a way that allowed him to declare victory.” Mr. Trump on Feb. 1 announced 25% tariffs on imports from Canada and Mexico. But the U.S. quickly paused those duties for one month after leaders of both countries said they would increase their efforts to curb the flow of illicit drugs and migrants into the U.S. ******** President Claudia Sheinbaum “agreed to immediately supply 10,000 ******** Soldiers on the Border separating Mexico and the United States,” Trump wrote on Truth Social. Meanwhile, ********* Prime Minister Justin Trudeau said Canada would invest $1.3 billion in better protecting its southern border. “Trudeau and Sheinbaum figured out that that’s the way to play it. If Trump is given an off-ramp where he can say, ‘Ok, I won,’ he’ll take it, and that’s what happened,” Reinsch said. Whether such dynamics will ultimately work with China, and whether Xi is willing to indulge them, remains uncertain. After all, during Mr. Trump’s first term he repeatedly imposed tariffs on China, leading Beijing to retaliate each time. Some experts think Trump officials will have to push much harder to obtain the kind of changes likely to satisfy Mr. Trump. “This marks the fifth time in a row that Beijing has retaliated to tariffs, rather than make needed reforms. The first four times happened during Trump’s first term and also got zero results. At some point, President Trump needs to figure out that tariffs will not get him what he wants from China,” Ryan Young, senior economist for the Competitive Enterprise Institute, an advocacy group that favors deregulation, said in a statement to CBS MoneyWatch. Risks for consumers The risks of an escalating trade war between the U.S. and China are considerable, including rising inflation. “If we continue to go down this road, that can be very detrimental to the U.S. consumer because it is the consumer that pays for these tariffs, as costs not easily absorbed by industries that have tight margins already,” Dendy said. Unless the countries find a breakthrough, “Americans can expect to pay a lot more for their technology goods, as well as their clothing and other things,” he added. By contrast, U.S. prices are unlikely to soar in the short-term even if the conflict continues, economists note. For one, rising tariffs would likely slow economic growth, dampening inflation as consumers and businesses pare spending. Reinsch also notes that many American companies that import goods from China have prepared for the prospect of higher costs by preemptively building their inventories. USPS says it will accept packages from China and Hong Kong after temporary suspension 02:22 One area where U.S. consumers could feel an immediate impact — their purchases of cheap clothing from ******** fast-fashion retailers Shein and Temu. The new U.S. tariffs on China eliminate an exemption for packages worth less than $800, meaning that low-value goods are now subject to the levies. The U.S. receives roughly 1 billion such shipments annually. “If you are Temu and Shein, you will probably to a hit on two grounds. They will have to start paying tariffs on dresses and T-shirts, so they will take a hit,” Reinsch said. Those costs would be passed on the shoppers. Additionally, Mr. Trump has asked U.S. Customs and Border Protection to inspect low-value packages to screen them for fentanyl, which could create shipping delays.” Megan Cerullo Megan Cerullo is a New York-based reporter for CBS MoneyWatch covering small business, workplace, health care, consumer spending and personal finance topics. She regularly appears on CBS News 24/7 to discuss her reporting. Source link #risks #U.S.China #trade #war #conflict #averted Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]

A US Navy pilot narrowly avoided crashing into the sea by as little as 16 feet after a ‘catastrophic’ failure aboard his aircraft carrier A US Navy pilot narrowly avoided crashing into the sea by as little as 16 feet after a ‘catastrophic’ failure aboard his aircraft carrier A US Navy pilot skirted disaster, saving himself and his fighter jet from crashing into the sea. Documents obtained by *** reveal his quick reaction to a “catastrophic” failure on his carrier. The F/A-18 Super Hornet pilot narrowly avoided hitting the water by just 16 feet. A US Navy pilot’s quick reaction saved himself and his aircraft from a ****** in the Indian Ocean after a “catastrophic failure” occurred aboard his aircraft carrier during landing, documents show. The Super Hornet pilot was barreling back onto the deck when he sensed something was drastically wrong. A wire had snapped, and his plane was rolling off the deck. His jet fell to as low as 16 feet above the water before he pulled up on maximum afterburner. Documents obtained by Business Insider on the previously unreported November 2023 incident said that the pilot, a lieutenant whose name was redacted, showed tremendous skill that not only saved his own life but also his $60 million aircraft. The entire incident played out in just under 20 seconds, demanding quick thinking. At the time of that near-miss, the naval aviator was flying a Boeing-made F/A-18E Super Hornet carrier-based fighter with Strike Fighter Squadron 83 and was embarked aboard the aircraft carrier USS Dwight D. Eisenhower on a Middle East combat deployment. On November 27, the pilot was coming in for a routine landing when one of the arresting wires used to rapidly slow the planes down on the flight deck “suffered a catastrophic failure” that caused it to snap after the fighter jet hooked onto it. An F/A-18E Super Hornet fighter jet attached to Strike Fighter Squadron 83 takes off from the flight deck aboard the aircraft carrier USS Dwight D. Eisenhower in the Arabian Gulf in November 2023.US Navy photo by Mass Communication Specialist 2nd Class Mo Bourdi The flight decks of Nimitz-class carriers are equipped with four arresting wires — flexible, steel cables tensioned by an engine — that stretch across the flight deck for the tail hook of an aircraft to catch upon landing. The wires are designed to bring aircraft to a stop in just a few seconds, given the limited runway space. They’re absolutely essential to keeping jets out of the ocean. Before the wire failure, the arresting gear slowed the pilot’s plane down from a landing speed of 136 knots to 80 knots, according to one of the documents. It said that the pilot “executed procedures consistent with carrier landings by advancing his throttles to military power upon touchdown.” The pilot immediately sensed something was wrong. After the aircraft reached its minimum speed, he immediately pushed the throttles to maximum afterburner to gain as much thrust as possible. The jet rolled off the end of the carrier’s angle deck at a dangerously low speed of 88 knots. A fighter jet normally clears the deck at around 150 knots. The pilot’s Super Hornet dropped off the end, hitting a maximum sink rate of 738 feet per minute even while the afterburners were engaged. He reported seeing the altimeter, which measures altitude, at just 20 feet above the water, although maintenance data reveals its lowest altitude was between 16 and 32 feet above the surface. The pilot adjusted his aircraft into an optimum flyaway position before pulling out and establishing a positive climb rate. He had just narrowly avoided crashing into the Indian Ocean. An F/A-18E Super Hornet attached to Strike Fighter Squadron 83 lands on the flight deck of the aircraft carrier USS Dwight D. Eisenhower in the Red Sea in April 2024.US Navy photo An award recommendation from his squadron commander obtained by *** said the aviator’s “sound execution of procedures, unwavering nerve, and superb airmanship undoubtedly saved his life and the aircraft,” adding that “his actions directly enabled the recovery of the aircraft the following day and its subsequent launch in support of Operation Inherent Resolve,” referring to the US military’s mission against ISIS. The naval aviator was recommended for Air Medal (Single Mission) by his superiors for his actions, and the recommendation was approved. Close calls like the one in November 2023 are not uncommon, and US naval aviators have unexpectedly found themselves close to the water in past incidents. Sixteen feet is particularly close, though. The November 2023 incident occurred during the Eisenhower carrier strike group’s monthslong deployment to the Middle East, where it led the military’s response to the Iran-backed Houthi rebel attacks on shipping lanes in the Red Sea and Gulf of Aden. The Yemeni rebels had just started their campaign at the time. They have since launched over 140 missile and drone attacks on merchant vessels and targeted Navy warships more than 170 times. The Ike is one of multiple US aircraft carriers that deployed to confront the Houthis over the past 15 months. During its time in the Middle East, the Ike strike group fired hundreds of munitions to intercept hostile missiles and drones and bomb the rebels in Yemen. Read the original article on Business Insider Source link #Navy #pilot #narrowly #avoided #crashing #sea #feet #catastrophic #failure #aboard #aircraft #carrier Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]

How to bet on an AMD comeback with options using a ‘recovery trade’ How to bet on an AMD comeback with options using a ‘recovery trade’ In physics, the “observer effect” is an observer’s impact on the behavior of the subject being observed. Traders and investors are more than mere observers; they are participants. In such a system, it’s possible to create a feedback loop in which traders’ perceptions impact prices (or even fundamentals), which impacts their perceptions. There may be no better example of this reflexivity than the AI trade as investors move like a flock of starlings. In many instances, riding a stock’s momentum can be advisable. Intuitively, this makes sense. Ultimately, more buyers will drive a stock’s price higher, and more sellers will drive it lower. The herd’s movement will determine the stock’s price. Does this mean one should simply blindly follow the herd? No. As a kid, we had an illustration on the wall titled “Moutons” by Francois de Kresz, 1974. It depicts a lone sheep pushing its way against the tide of an unwitting and enormous tide of sheep mindlessly marching off the edge of a cliff-like lemmings. AMD bulls may feel like that lone sheep pushing against a sea of sellers. Before the sharp decline in AI-related stocks last week, AMD was one of the worst-performing megacaps over the preceding 52 weeks, sharing the ignoble bottom decile of the Russell 1000 with the likes of Intel, Brown-Forman, Dollar General, and Estee Lauder. As I write this AMD has fallen ~50% from the early-March highs. AMD 1Y mountain AMD, 1 year Some of this pain was self-inflicted. Dr. Lisa Su, the company’s CEO, has made some impressive claims about the company’s growth potential, particularly in late 2023, when she referred to some of the company’s new chips, which they compared to some of the lower-end offerings from Nvidia “We’re looking at 50% compound annual growth rate for the next five-plus years.” (Fortune, October 4th, 2023) That kind of talk propelled AMD shares to a more than 100% gain between late October 2023 and March 2024. AMD revenues did grow by ~ $1 billion or nearly 16% over the following year, which is respectable but well short of the explosive 150% growth Nvidia experienced over the same time frame or even the more modest but still ebullient statements Dr. Su had made. This was aggravated by a light forecast when the company reported earnings in late October 2024. So, where does that leave us now? Is AMD an AI super-growth story, as the CEO has suggested a couple of times over the past 18 months? Or is it returning to a cyclical chip story propelled (or restrained) by chip pricing behaving like a commodity? One of those narratives trades at a discount to the broad market, while the other trades at a sharp premium. As the chart below reveals, AMD has lived with both assessments and resides somewhere in the middle. The stunning revelations by DeepSeek AI and Alibaba over the past couple of weeks show that they have developed models that are competitive with, or possibly even better than, those from the likes of OpenAI’s ChatGPT roiled chip stocks last week. The AI trade is now competing with two new narratives. One narrative is that more can be achieved with less. The latest and greatest Nvidia chips may not be necessary to achieve exceptional results. The other narrative is that US AI companies must redouble their efforts if they wish to stay ahead in the AI race, and any modeling techniques, however advanced, will be improved with more powerful chips in any case. AMD reported Tuesday after the close. Fourth-quarter revenue rose 24% to almost $7.7 billion. While sequentially lower, guidance for the current quarter of $6.8 to $7.4 billion would still represent YoY growth of 24% and 35%. The stock’s performance suggests investors were hoping for more. It also implies that the street’s FY2025 adjusted EPS estimates of ~$4.75 are now considered “ambitious.” I suspect AMD has already suffered most of the damage. At the current price, the company is trading at 22.5x forward earnings estimates, coincidentally the average multiple for the Philadelphia Semiconductor Index over the past ten years. AMD is broadly held on both the equity and options side (open interest is nearly 3.9 million contracts, equivalent to 390,000,000 shares or 24% of the float!). Holders of the shares sensing the worst is over, but concerned about risking additional capital in the even the weakness persists might consider overlaying their stock position with what we call a “recovery trade,” buying one near-upside call and selling two further out of the money call options to finance it. The idea is that one juices the returns of a small upside move while recognizing that, net of the earnings disappointment exceeding the pre-earnings ytd high of ~$130 is unlikely within the next few weeks. I’ve provided an example of a recovery trade (including the stock position) here . DISCLOSURES: None All opinions expressed by the CNBC Pro contributors are solely their opinions and do not reflect the opinions of CNBC, NBC UNIVERSAL, their parent company or affiliates, and may have been previously disseminated by them on television, radio, internet or another medium. THE ABOVE CONTENT IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY . THIS CONTENT IS PROVIDED FOR INFORMATIONAL PURPOSES ONLY AND DOES NOT CONSITUTE FINANCIAL, INVESTMENT, TAX OR LEGAL ADVICE OR A RECOMMENDATION TO BUY ANY SECURITY OR OTHER FINANCIAL ASSET. THE CONTENT IS GENERAL IN NATURE AND DOES NOT REFLECT ANY INDIVIDUAL’S UNIQUE PERSONAL CIRCUMSTANCES. THE ABOVE CONTENT MIGHT NOT BE SUITABLE FOR YOUR PARTICULAR CIRCUMSTANCES. BEFORE MAKING ANY FINANCIAL DECISIONS, YOU SHOULD STRONGLY CONSIDER SEEKING ADVICE FROM YOUR OWN FINANCIAL OR INVESTMENT ADVISOR. Click here for the full disclaimer. Source link #bet #AMD #comeback #options #recovery #trade Pelican News View the full article at [Hidden Content]

How Smoot-Hawley Tariff sparked the ‘mother of all trade wars’ How Smoot-Hawley Tariff sparked the ‘mother of all trade wars’ QINGDAO, CHINA – NOVEMBER 8, 2023 – Container ships frequently enter and exit the Qianwan Container Terminal of Qingdao Port in Qingdao, Shandong Province, China, Nov 8, 2023. (Photo by Costfoto/NurPhoto via Getty Images) Nurphoto | Nurphoto | Getty Images A trade war is brewing — and, if history is any guide, the U.S. economy may not be too happy about it. President Donald Trump on Saturday levied a 10% additional tariff on all imports from China starting Tuesday. In response, China retaliated with its own tariffs of up to 15% on select U.S. imports, starting Feb. 10. Experts believe these are just the initial salvos of a broader trade war between the two nations. Meanwhile, the U.S. is on the precipice of a trade spat with Canada and Mexico. Trump has also threatened to impose tariffs on the European Union — and, if that happens, the nations have vowed retribution. “I will never support the idea of fighting allies,” Danish Prime Minister Mette Frederiksen said Monday. “But of course, if the U.S. puts tough terms on Europe, we need a collective and robust response.” More from Personal Finance:Trump moves to abolish the Education DepartmentThe Fed holds rates steady. What that means for youIRS announces the start of the 2025 tax season The current animosity bears many similarities to an earlier episode in U.S. history — the Tariff Act of 1930 — which triggered an all-out trade war and exacerbated the Great Depression, according to economic historians. The law, known as the Smoot-Hawley Tariff, was “one of the most controversial tariff acts ever enacted by Congress,” Doug Irwin, an economics professor at Dartmouth College and past president of the Economic History Association, wrote in 2020. It was also the last instance of a trade war involving the U.S., prior to Trump’s first term, said Kris James Mitchener, an economics professor at Santa Clara University who studies economic history and political economy. Smoot-Hawley sparked “the mother of all trade wars,” Mitchener said. What was the Smoot-Hawley Tariff? Rep. Willis Hawley, R-Ore., left, and Sen. Reed Smoot, R-Utah, in April 1929, shortly before the Smoot–Hawley Tariff Act passed the House. Source: Library of Congress If the Smoot-Hawley Tariff sounds vaguely familiar, it may be thanks to pop culture: The 1986 movie “Ferris Bueller’s Day Off” has a memorable scene in which a high school teacher drones on in a crawling monotone voice about the tariffs. Among Smoot-Hawley’s chief aims was to safeguard U.S. farmers, who had expanded agricultural production during WWI but suffered after the war as European production came back online and prices collapsed, Mitchener said. However, Congress expanded the scope of the tariffs considerably, extending beyond agriculture to include all sectors of the economy. The law got its name from its chief Republican supporters in Congress: Rep. Willis Hawley of Oregon, chair of the tax-writing House Ways and Means Committee, and Sen. Reed Smoot of Utah, who chaired the Senate Finance Committee. Smoot-Hawley was “broad,” putting tariffs on roughly 25% of all goods imported to the U.S. — about 800 to 900 different types of goods, Mitchener said. If the U.S. puts tough terms on Europe, we need a collective and robust response. Mette Frederiksen prime minister of Denmark President Herbert Hoover, who had run for the office on a platform of helping farmers with protective tariffs, signed the law in June 1930, ignoring a petition signed by more than 1,000 economists asking him to veto the bill. The law raised dutiable tariffs — tariffs on goods subject to import duties — by about 6 percentage points, on average, Mitchener said. While that may not sound like much, those duties sparked a trade war with major U.S. trading partners, which was perhaps their “most important ramification,” wrote Irwin of Dartmouth College. How did Smoot-Hawley provoke a trade war? Smoot-Hawley raised the average tariff on dutiable imports to 47% from 40%, Irwin said. Depression-era price deflation ultimately helped push that average to almost 60% in 1932, he added. Nine nations — Argentina, Australia, Canada, Cuba, France, Italy, Mexico, Spain and Switzerland — imposed retaliatory tariffs directed specifically at U.S. products, Mitchener said. “Canada, which was heavily dependent on the U.S. market, retaliated almost immediately and imposed tariffs significant enough to put a sizable dent into American exports,” Irwin wrote. That “****-for-tat response” with targeted tariffs is the hallmark of a trade war, Mitchener said. Other nations formed trade blocs that excluded the U.S., Irwin wrote. Ultimately, 35 governments lodged official protests against Smoot-Hawley, Mitchener said. The result: Global trade collapsed, exacerbating the Great Depression, which was the worst economic downturn in U.S. history, economists said. U.S. exports to retaliating nations fell by about 28% to 32%, said Mitchener. Further, nations that protested Smoot-Hawley also reduced their U.S. imports by 15% to 23%. It was “among the most catastrophic acts in congressional history,” according to a historical overview on the U.S. Senate website. Tariffs leading up to Trump The U.S. reversed course after realizing how tariffs can fuel foreign policy issues and contribute to world wars, said Scott Lincicome, vice president of general economics at the Stiefel Trade Policy Center of the CATO Institute. The global economy is “like an intricate choreographed dance,” Lincicome said. “Tariffs are just kind of throwing a wrench in that dance.” The average tariff rate for dutiable imports cratered from about 59% in 1932 to roughly 13% in 1950, and fell below 5% from the mid-1990s to 2015, according to a 2024 analysis by the CATO Institute. Meanwhile, the average tariff rate across all imports — which include products not subject to tariffs — fell from about 20% in 1933 to below 2% from 2000 to 2019. While presidents who preceded Trump, as well as President Joe Biden, have also used tariffs, they were enacted for different reasons and at different magnitudes, experts say. These have not been rationales used for tariffs in the past. Brett House professor of professional practice in the economics division at Columbia Business School Historically, “tariffs have been typically invoked by U.S. administrations when domestic industry has complained about competition from foreign suppliers,” said Brett House, professor of professional practice in the economics division at Columbia Business School. For instance, during President Barack Obama’s second administration in 2013, the International Trade Commission issued “anti-dumping duties,” or a form of tariff, on washing machines specifically from Mexico and South Korea. Years later, during his first term, Trump issued a tariff on washing machines as well, but it was global instead of narrowing it to specific countries. At the same time, Trump imposed other tariffs, such as costs on steel and aluminum. Other presidents, including George W. Bush, Ronald Reagan and Richard Nixon, had also put tariffs on steel, an industry that’s historically received federal protection, Irwin told CNBC. But Trump’s second term is unique in that he’s using tariffs in a “broad brush” manner — applied to all of a nation’s goods, for example — something “no president in recent memory” has done, Irwin said. Additionally, “what is very distinct about Trump’s tariff policy is the supposed justification for it, which is to try to discipline Canada and Mexico for the flow of ******** drugs and undocumented people across their borders,” House said. “These have not been rationales used for tariffs in the past.” Will history repeat? The Smoot-Hawley-induced spat resembles today’s trade environment in a few key ways — including prominent trade partners calling for retaliation against U.S. policy, economists said. For example, before reaching 11th-hour deals to delay 25% tariffs for one month, officials in Canada and Mexico vowed to fight back. ********* President Justin Trudeau on Saturday warned that his country would implement a 25% tariff on about $107 billion of U.S. goods. They included duties on meat, dairy, produce and other food products, and beer, wine and spirits. China said it will impose 15% tariffs on coal and liquefied natural gas imports from the U.S., and 10% on American crude oil, agricultural machinery and certain cars. “We’re already seeing a trade war unfold,” Irwin told CNBC. Proposed tariffs on Canada, China and Mexico would shrink U.S. economic output by 0.4 percentage points and increase taxes on Americans by $1.1 trillion between 2025 and 2034, before accounting for any retaliation, according to an estimate by the Tax Foundation. Of course, “whether it becomes a trade war and history repeats in that [Smoot-Hawley] dimension depends on the response of our trade partners and/or whether Trump is bluffing to get some sort of concession,” Mitchener wrote in an e-mail. Source link #SmootHawley #Tariff #sparked #mother #trade #wars Pelican News View the full article at [Hidden Content] For verified travel tips and real support, visit: [Hidden Content]