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ByteDance Chief Reconsiders TikTok Options After New China Rules [Bloomberg]
The company’s regulatory team and deal negotiators are huddling to discuss whether it’s still possible to craft a sale that can win approval from both governments, an acquirer, venture investors and ByteDance itself, said one of the people…. “I’m not sure price matters as much as pride,” said Rebecca Fannin, author of Tech Titans of China, and founder of Silicon Dragon Ventures. “From the start, Zhang wanted to build a global company. Without the U.S. market, he can’t fulfill those ambitions. He’s a maverick, fiercely independent-minded entrepreneur. He may just decide not to do the deal at all.”

Mnuchin Says Economy Is Recovering but ‘More Work’ Is Needed to Alleviate Pain [NYT]
“Whether it is $1 trillion or $1.5 trillion, again, let’s not get caught on a number,” Mr. Mnuchin told the House Select Subcommittee on the Coronavirus Crisis. “Let’s move forward on a bipartisan basis now. I do not think the right outcome is zero. Nobody does….” Mr. Mnuchin reiterated his support for at least some version of two of Democrats’ top priorities in negotiations: enhanced benefits for the unemployed and additional money for revenue-constrained state and local governments, albeit at lower levels than Democrats support. But Senate Republicans appeared to be coalescing around a scaled-back stimulus plan that they could vote on as soon as next week but will not win Democrat support.

Ackman’s Big Year Continues With August Gains [II]
Bill Ackman’s Pershing Square Holdings is continuing its spectacular 2020 run, gaining 8 percent in August for a year to date return of 45.6 percent in the publicly traded hedge fund, according to an investor report. This month’s gain puts Ackman in striking distance of his 58.1 percent gain for all [of 2019]….

David Einhorn’s Hedge Funds Gain 0.5% in August With Markets Rallying [Bloomberg]
The gains weren’t enough to erase losses for the year, with the funds still down 17%.... Even though most of Greenlight’s largest disclosed long positions at the end of the second quarter rose in August, the VanEck Vectors Gold Miners ETF slipped 1.6%. Tesla Inc., a stock Greenlight has bet against, surged 74% during the month.

Billionaire investor Daniel Loeb reverses losses with bets on Amazon, Disney and Alibaba [FN]
Loeb's Third Point Offshore Fund posted gains of 4.4% for the year, after a jump of 8.4% last month, according to a performance update sent to clients on 31 August…. "Driving the equity portfolio’s gains were a series of well‐timed entries into new positions since the market bottom including in Alibaba and, Amazon, and Disney, as well as by bounce backs in several core positions including S&P Global and Prudential.”

Swiss regulator starts enforcement proceedings against Credit Suisse over spying scandal [CNBC]
“FINMA has opened enforcement proceedings against the bank, in which it will pursue indications of violations of supervisory law in the context of the bank’s observation and security activities and in particular the question of how these activities were documented and controlled,” the regulator said in statement.
“Typically such proceedings can be expected to take several months,” it added.

Mick Mulvaney is starting a hedge fund. Ethics experts have questions. [NBC News]
“The question is — if he’s going to use information he’s learned when he was in the government and it’s nonpublic information, then we’re in direct violation of securities law,” Painter said…. “They could be betting against financial services companies if they think regulators are going to move in on them,” Painter said. “That’s a big factor because if you know the regulators are going to start clamping down, if you short that stock in advance, you have a huge advantage.”



Opening Bell: 5.4.20

The chino-virus strikes; Fed follies; the Ackmanaissance accelerates; sad trombones for Michael Cohen; and more!


Opening Bell: 1.8.21

SoFi SPACs; Wilbur Ross’ replacement; Credit Suisse undershot a bit; and more!


Opening Bell: 11.8.21

Bad Berkshire; Credit Suisse backs BNP; Quarles quits; and more!

Photo: Getty Images.

Opening Bell: 6.20.16

Visium to shut funds amid probe; Gundlach fears Trump; Credit Suisse puts 5 on leave; Colorado company releases wine for cats; and more.

gamestop 3

Opening Bell: 9.8.21

GameStop earnings (as if they matter); Elliott has more helpful advice for Citrix; Credit Suisse steps in it again; and more!

(Getty Images)

Holiday Bell: 12.23.16

Deutsche and Credit Suisse settle; Italy rolls out the bailout; Tiger Woods is "Mac Daddy Santa"; and more.

Opening Bell: 03.23.12

Credit Suisse Chief Takes Sharp Pay Cut (WSJ) Mr. Dougan's compensation more than halved to 5.8 million Swiss francs ($6.3 million) from 12.8 million francs a year earlier. Like all of Credit Suisse's top managers, he didn't get a cash bonus. While Mr. Dougan's base salary remained unchanged, his bonus, awarded in the form of deferred stocks, fell 69% to reflect the sharp drop in profits last year and the 41% drop in Credit Suisse's share price in 2011. SEC Probes Rapid Trading (WSJ) Federal securities regulators are examining whether some sophisticated, rapid-fire trading firms have used their close links to computerized stock exchanges to gain an unfair advantage over other investors, people familiar with the matter say. The wide-ranging probe, being handled by the enforcement staff of the Securities and Exchange Commission, is focusing on the computer-driven trading platforms of exchanges, including BATS Global Markets Inc., the people said. Fed’s Bullard Sees Price Threat From G-7 Delaying Tighter Policy (Bloomberg) U.S. monetary policy may be at a “turning point” and the Fed’s first interest-rate increase since the global financial crisis could come as soon as late 2013, Bullard said in a speech earlier today. That view contrasts with a debate among Fed policy makers on whether more stimulus is needed even after the U.S. economy accelerated and the unemployment rate fell. Bales Had Troubled Broker Career Before Allegations (Bloomberg) Robert Bales, the U.S. soldier suspected of shooting Afghan civilians, started selling community-bank stocks in 1996 as a 23-year-old driving a Chevy Cavalier. That may have been the peak of his financial career. Before Bales enlisted in the Army in 2001 after the Sept. 11 terrorist attacks, he worked at five firms in five years. After he left the industry, he was hit with a $1.5 million settlement for his role in swindling a couple out of more than $600,000 from their retirement account. “He wanted to be an investment adviser, and he had a plan as to how he was going to accomplish that,” said Robert K. Cargin, who hired Bales in September 2000 at Quantum Securities Corp. in Westerville, Ohio. “It just didn’t work out.” BofA Tests An Option To Foreclosure (WSJ) Borrowers would agree to a what is known as a "deed-in-lieu" of foreclosure, where they essentially sign over ownership of the property to the lender. This is less costly to the bank and also does less damage to a borrower's credit than a foreclosure. In exchange, former owners would be offered one-year leases with options to renew the leases in each of the following two years at rents that the bank determines are at or below the current market price. Borrowers would have to demonstrate an ability to pay the market rent. ‘Linsanity’ pot nipped in bud (NYP) The Knicks’ new superstar point guard’s legal eagles threw cease-and-desist orders at three California medical-marijuana dispensaries that were offering customers “Linsanity” weed...Two of the dispensaries discontinued the names and the other simply rebranded its grass “Insanity.” Skowron plans to appeal court’s ruling on $10.2M (NYP) Joseph “Chip” Skowron, the former FrontPoint fund manager now jailed for insider trading, plans to fight a judge’s ruling that he pay $10.2 million to his former employer, Morgan Stanley. Skowron’s attorney intends to appeal the ruling handed down Tuesday by Manhattan federal judge Denise Cote, Skowron’s spokesman, Montieth Illingworth, said. Illingworth also blasted Morgan Stanley’s plans to pursue another $33 million, which Cote denied in her decision. The bank, which owned FrontPoint when the scandal hit and clients fled, wanted a total of $45 million in victim’s compensation. UBS Sees ‘Earlier’ Fed Move; Barclays Sees Rates on Hold (Bloomberg) “We regard the trend toward higher yields as a healthy development,” Andrew Cates in Singapore and Larry Hatheway and Christine Li in London wrote in a UBS report yesterday. “It reflects a healing process in the U.S. economy and recognition that the Fed will be able to normalize monetary policy earlier than many envisage.” Investors should buy two-year Treasuries, Ajay Rajadhyaksha and Dean Maki, New York-based analysts at Barclays, wrote in a report yesterday. “We consider the recent rise in Fed hike expectations premature,” they wrote Obama To Tap Kim For World Bank Post (AP) President Barack Obama will nominate Dartmouth College President Jim Yong Kim to head the World Bank, a surprise pick for the international financial institution's top job, senior administration officials said.

By Mike Cauldwell ( [Public domain], via Wikimedia Commons

Opening Bell: 4.14.21

Coinbase and ConsenSys; Credit Suisse still selling; TP tamp down; and more!