In the investment world, trust remains a critical tool. When trust is lost, a relationship that took years or even decades to build can go quickly. So when Deutsche Bank announced that it was changing its structure and getting out of investment banking, the bank's counterparties, such as hedge and retirement funds, have started to pull their capital to park it with a more reliable one.
 | |  Good morning. In the investment world, trust remains a critical tool. When trust is lost, a relationship that took years or even decades to build can go quickly. So when Deutsche Bank announced that it was changing its structure and getting out of investment banking, the bank's counterparties, such as hedge and retirement funds, have started to pull their capital to park it with a more reliable one.
Much like the run-on-the-investment-bank that killed off Lehman Brothers over a decade ago, the Bank is losing more than $1 billion in capital per day. With more than €45 trillion in derivatives, the bank may face an existential crisis in the coming weeks if the capital run continues. History may not repeat, but it certainly rhymes! | | | | | | | | |  | DOW 27,335.63 | -0.09% | | | | S&P 3,004.04 | -0.34% | | | | NASDAQ 8,222.80 | -0.43% | | | | | *As of market close | | | • | Stocks traded flat but slightly down on Tuesday, as earnings season started to ramp up. | | | | • | Oil dropped four percent, as Secretary of State Pompeo reported that Iran was willing to negotiate on its nuclear program. | | | | • | Cryptocurrencies continued to decline, as Facebook's Calibra head, David Marcus, testified in front of the Senate Banking Committee. | | | |
| | | U.S. Retail Sales Rise 0.4 Percent in June | | 
| | Data suggests economy continues to grow. | | On Tuesday, the U.S. Commerce Department released data on retail sales showing a seasonally-adjusted rise of 0.4 percent from one month earlier. This handily beat expectations of a 0.1 percent increase.
Retail sales measures purchases at stores, restaurants, and even online purchases, so the data accurately captures retail activity. The data suggests that U.S. consumers are still going strong even as some data suggests the economy is starting to slow.
» FULL STORY | | | | |
| | Goldman Sachs Reports Lower Profits and Revenue | |  | | Market uncertainty led to lower performance this quarter. | | In a major day for earnings reports in the banking sector, Goldman Sachs (GS) reported that quarterly profits fell by 6 percent as investors largely stayed away from actively investing due to interest rate and trade war fears.
The bank reported quarterly profits of $5.81 per share, or $2.42 billion, on revenue of $9.46 billion. This was higher than analyst expectations, but lower compared to the same quarter one year ago.
» FULL STORY | | | | |
| | | | Insider Activity: Fastly, Inc. (FSLY) |  | | Major fund holder bumps up stake. | | On Monday, the Abdiel Qualified Master Fund bought 137,515 shares of Fastly, Inc. (FSLY). With a total cost of nearly $2.8 million, this represented a 3 percent increase in the fund's stake.
The fund, already an owner of more than 10 percent of the company's shares, has over 4.78 million shares of Fastly in its portfolio.
» FULL STORY | | | | |
| | Unusual Options Activity: Shake Shack (SHACK) | |  | | Bet on moderate decline by January. | | Shares of Shake Shack (SHAK) have been volatile over the years. At least one trader is betting on a big move in shares again—with a decline in mind.
On Tuesday, over 934 contracts traded on the January 2020 $65.00 put options. With shares trading around $74.50, that's a bet that shares will decline over 13 percent between now and January.
» FULL STORY | | | | |
| | | | TOP | | | JBHT | 5.563% | | | | SCHW | 3.3% | | | | WHR | 3.245% | | | | ALK | 3.236% | | | | SYMC | 3.196% | | | | BOTTOM | | | WDC | 5.765% | | | | FRC | 4.49% | | | | NRG | 4.349% | | | | APA | 4.213% | | | | TEL | 3.71% | | | | |
| | Top Rated Financial Stocks |  | | | |
| | |  | | The all-time record for store closings in a single year was set in 2017 when 8,139 stores shut down. According to a brand new report that was just released, we are on pace to absolutely shatter that old record. In fact, Coresight says that the number of store closings in the U.S. could hit 12,000 by the end of this year | - Analyst Michael Snyder on the retail store bloodbath as markets hit all-time highs  | |
|
|
No comments:
Post a Comment