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Opening Bell 8.11.17

Uber board now trying to sue Travis Kalanick away; Wells Fargo board finally reshuffling; Venezuelan bonds are hot potatoes; Dan Loeb says something unfortunate; Fat monkey turns his life around; And more!
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Scoop: Benchmark Capital sues Travis Kalanick for fraud [Axios]
Key graph, per the suit: "Kalanick, the former CEO of Uber, to entrench himself on Uber's Board of Directors and increase his power over Uber for his own selfish ends. Kalanick's overarching objective is to pack Uber's Board with loyal allies in an effort to insulate his prior conduct from scrutiny and clear the path for his eventual return as CEO—all to the detriment of Uber's stockholders, employees, driver-partners, and customers."

After a long drought, bear market funds attract buyers [Reuters]
U.S. mutual funds that attempt to profit in falling markets attracted $413 million in new investments during the second quarter, the funds' largest inflows since the height of 2013's "Taper Tantrum" selloff, according to Thomson Reuters' Lipper research unit.
On Thursday, the S&P 500 experienced its first 1 percent-plus drop in 58 trading days, as the CBOE Volatility Index .VIX surged over 44 percent, noted Bespoke Investment Group.
The selling pressure in stocks follows a frustrating year-to-date for bearish stock investors, given that the S&P was up 10.5 percent since Dec. 31 as of Wednesday's close. As of Thursday's close, it is up 8.9 percent.

Embattled Wells Fargo Board Plans Shake-Up [WSJ]
Directors are aiming to make final decisions on any changes by Labor Day, some of the people said. Mr. Sanger is expected to step down before the bank’s shareholder meeting next spring, one of these people said. Vice Chair Elizabeth Duke, a former Federal Reserve governor, is then likely to take the top spot, some of these people said.
Discussions about board changes have been under way for a few months, spurred by dismal results at the bank’s shareholder meeting. They also come against the backdrop of calls in Washington for even more dramatic action at the bank.

‘Wolf of Wall Street’ has got nothing on this raunchy firm: suit [NYP]
In one raunchy example of the alleged debauchery, owner Mark Mancino and manager Michael Hamill were described as regularly summoning a female sales representative to a private office by shouting out, “Wendy — get your tits in here.”
Once she was inside the office, Hamill and Mancino could be heard taking turns “motorboating” her breasts, the Middlesex County lawsuit said.

Credit Suisse Bans Trading in Venezuela Debt Amid Crisis [Bloomberg]
The Zurich-based bank will no longer trade two bonds issued by the government and the state oil company or any notes from a Venezuelan entity issued after June 1, according to an Aug. 7 company memo seen by Bloomberg. The lender is also restricting business with Venezuelan counterparties, including private individuals and companies. A Credit Suisse representative confirmed the memo’s contents.

A Battle Over Goldman’s Hunger Bonds Is Being Waged in Florida [Bloomberg]
For Goldman, the ruckus may be reviving memories of the fury when word got out earlier this year that it had purchased $2.8 billion of bonds issued by Venezuela’s state-owned oil company. Those flames were fanned on Thursday when Credit Suisse Group AG barred its traders from buying and selling the so-called “hunger bonds,” as well as one note issued by the government.

Daniel Loeb, a Cuomo Donor, Makes Racial Remark About Black Leader [NYT]
The hedge fund manager Daniel S. Loeb, a prominent supporter of charter schools and a major financial backer of Gov. Andrew M. Cuomo and congressional Republicans, accused the African-American woman who leads the Democrats in the New York State Senate of having done “more damage to people of color than anyone who has ever donned a hood.”
Mr. Loeb made the reference, apparently to the Ku Klux Klan, in a posting on Facebook in response to an article in The New York Times this week in which the Democratic leader, Senator Andrea Stewart-Cousins, confronted Mr. Cuomo about prejudging her based upon race and gender.

Obese monkey that went on diet will be released into wild [NYP]
The beast, named “Uncle Fatty,” has been on a three-month-long diet, shrinking his girth from 59.5 pounds to 54.5 pounds – so an 8.4-percent weight loss, zookeepers in Bangkok said.
“His tummy no longer drags on the ground,” Natanon Panpetch, a veterinarian at the Wildlife Conservation Office, told the southeast Asian news website Coconuts. “He is in a perfect health and ready to be released. He has grown accustomed to the natural foods.”



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