SAC’s Cohen Didn’t Know About Source of Dirty Tips, Analyst Says (Bloomberg)
SAC Capital Advisors LP fund manager Michael Steinberg told the analyst who gave him inside tips on Dell Inc. that the fund’s founder, Steven A. Cohen, wasn’t aware they were obtained illegally. Steinberg concealed the true source of the tips, Jon Horvath, the former SAC analyst who worked for him, told jurors in the federal insider-trading trial in Manhattan. Horvath said Steinberg told him at SAC’s Sigma Capital Management offices in Midtown Manhattan that he had told Cohen that the trading recommendations were based on “industry contacts” and “supply chain checks.” “I was in Mike’s office and he said, ‘I just got off the phone with Steve and I was telling him about Dell,’” Horvath testified yesterday. “I kind of cringed, because I didn’t want to be part of this conversation. Mike said, ‘I told him you had a Dell supply-chain check.’”
Gross Says Central Bank Cash Influx Raises Global Assets’ Risk (Bloomberg)
“Investors are all playing the same dangerous game that depends on a near perpetual policy of cheap financing and artificially low interest rates in a desperate gamble to promote growth,” Gross wrote in his monthly investment outlook posted on Newport Beach, California-based Pimco’s website today. The Federal Reserve, Bank of Japan, European Central Bank and Bank of England “are setting the example for global markets, basically telling investors that they have no alternative than to invest in riskier assets or to lever high-quality assets.”
Brazil’s Economy Posts Worst Performance in Two Years (WSJ)
Brazil’s continued lackluster growth comes at a delicate time for President Dilma Rousseff, who faces questions about her handling of Latin America’s largest economy ahead of next year’s presidential election. The government had initially forecast robust growth of 4.5% in 2013 but has since drastically tempered those expectations. Ms. Rousseff’s challengers are expected to make slow growth a key part of the 2014 campaign.
Amazon Tests Drones for Same-Day Parcel Delivery, Bezos Says (Bloomberg)
Chief Executive Officer Jeff Bezos unveiled the plan on CBS’s “60 Minutes” news program in the U.S., showing interviewer Charlie Rose the flying machines that can serve as delivery vehicles. Bezos said the gadgets, called octocopters, can carry as much as 5 pounds within a 10-mile radius of an Amazon fulfillment center. Amazon may start using the drones, which can make a delivery within 30 minutes, within five years pending Federal Aviation Administration approval, Bezos said. “It will work, and it will happen, and it’s gonna be a lot of fun,” he said in the “60 Minutes” interview broadcast yesterday.
Pope Francis worked as nightclub bouncer (NYP)
Before Pope Francis became God’s enforcer, he moonlighted as a nightclub bouncer. His Holiness told parishioners recently that he held a variety of odd jobs before embracing the call of the priesthood. As a college student in Buenos Aires, Jorge Mario Bergoglio, as he was known then, swept floors, ran tests in a chemical lab and even worked as bouncer to make extra cash, he said. The pontiff detailed his roundabout path to the priesthood during a visit to a church near Rome, after a parishioner asked him to pray for a relative who was seeking to be a Franciscan friar. Read more »