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Pound dips as Rishi Sunak prepares to confront UK’s huge economic challenges [CNN]
The former finance minister has won the race to replace Liz Truss, his erstwhile opponent who’s set to be the shortest-serving prime minister in British history….
Sunak campaigned for the job over the summer with promises to help households tackle the rising cost of living, which is causing many to pull back spending…. Yet the economic outlook has deteriorated sharply since then — not least because of the market turmoil unleashed by Truss’ now-abandoned plan to slash taxes as soon as possible and boost government borrowing.

Early Earnings Reports Worry Investors Already Battered by Stock Selloff [WSJ]
Fewer companies than usual are beating Wall Street’s earnings expectations. With about 20% of companies in the S&P 500 having reported third-quarter results, 72% have topped analysts’ consensus earnings estimates, according to FactSet. That is below the five-year average of 77%.... Even some earnings beats aren’t wowing investors as much as usual. Tesla Inc., for example, topped consensus earnings estimates, yet shares dropped 6.7% in the session after the electric-vehicle maker’s report.

JPMorgan president says a recession may be price to pay to beat inflation, market bottom not in yet [CNBC]
“When people say, `the Fed is too hawkish,′ I disagree,” said [Daniel] Pinto, who became JPMorgan’s sole president and chief operating officer earlier this year….
"I don’t think we’ve seen the bottom of the market yet,” Pinto said. “When you think about corporate earnings heading into next year, expectations may still be too elevated; multiples in some equity markets including the S&P are probably a bit high."

Court temporarily blocks Biden’s student loan forgiveness [AP]
White House Press Secretary Karine Jean-Pierre encouraged borrowers to continue to apply for the relief, saying the court’s temporary order did not prevent applications or the review of applications.

U.S. Executives Are Flocking to Saudi Davos in the Desert [NYT]
The chief executives of JPMorgan Chase, Goldman Sachs and Wells Fargo all plan to be there, as do influential investors like the Blackstone Group chief Stephen A. Schwarzman and the Bridgewater founder Ray Dalio. Jared Kushner and Steven Mnuchin, former Trump administration officials who received significant commitments from the main Saudi sovereign wealth fund to finance their investment firms, are also expected to go.

U.S. hedge fund Third Point opens Tel Aviv office to scout investments [Reuters via U.S. News]
For Third Point, one of the hedge fund industry's most successful firms, the Tel Aviv office will become its first international location…. Third Point is nursing double-digit losses for 2022, fueled in part by a sell off in technology stocks including SentinelOne….

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Opening Bell: 12.12.16

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Opening Bell: 7.22.22

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Opening Bell: 8.23.17

Herbalife readies finishing move on Bill Ackman; Goldman plans finishing move on Volcker rule; firefighters feast on piglets they saved from fire; and more.

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Opening Bell: 9.28.18

Elon ready to fight; Bar Association turns on Kavanaugh; Macro picture stay sunny; Gay penguins aggressively looking to adopt; and more!

Opening Bell: 07.27.12

Barclays Faces New Scrutiny (WSJ) n what could turn out to be a new black eye for the bank, Barclays said the U.K. financial regulator has started an investigation into four current and former senior employees, including Chris Lucas, Barclays's finance director. The issue centers on the "sufficiency of disclosure" in relation to fees paid when Barclays conducted an emergency £7.3 billion ($11.45 billion) capital increase with Middle Eastern investors in 2008. The cash injection likely saved Barclays from being bailed out by the government and part-nationalized. The Financial Services Authority and Barclays declined to elaborate further the issue. Barclays said in a statement that it was confident it had satisfied disclosure obligations. In a separate debacle, Barclays said it put aside £450 million to cover the misselling of derivatives products to small businesses. Merkel, Hollande Vow to Do Everything to Defend Euro (Reuters) FYI: "Germany and France are deeply committed to the integrity of the euro zone. They are determined to do everything to protect the euro zone," they said in a joint statement. Treasury Eyes Funds Hidden Overseas (WSJ) he Treasury Department released new details Thursday of a plan to ferret out Americans' global tax dodging, though some lawmakers and banks remain concerned about the initiative's scope and regulatory costs. Treasury officials said they hope to finalize the system's basic rules by the fall and expressed confidence it would be on track for implementation by 2014 as scheduled. Congressional experts said the new system would recover $8.7 billion in tax revenues over 10 years. Facebook Growth Slows Again (WSJ) The company swung to a second-quarter loss largely weighed down by expenses from compensating employees with stock upon its initial public offering in May. Revenue in the second quarter was $1.18 billion, up 32% from $895 million a year ago. That revenue growth was the lowest percentage since at least the first quarter of 2011, when Facebook was more than doubling the amount of money it brought in from advertising, and to a lesser extent, the cut of fees it takes from payments on its platform. Facebook Falls After Report Fails To Quell Growth Concerns (Bloomberg) “It took a long time for the TV market and advertising to be truly understood, it took a long time for search, and I think we’re still in that learning curve with a lot of our clients,” COO Sheryl Sandberg said. The Guy In The Clown Nose? He's An Olympian (WSJ) Terry Bartlett is a world-class gymnast who leapt, tumbled and swung for the glory of Great Britain in three Olympic Games. Today, he is also a world-class clown. Ten times a week, he dons a red nose and floppy shoes to elicit chuckles at "O," a Las Vegas water-themed circus run by Cirque du Soleil. "It's better than having a real job," says the 48-year-old Bartlett...A few months after Bartlett's audition, Cirque hired him as an acrobat for a new show in Las Vegas. At first, he says, he had to confront some stigma about joining a circus. "Some people were like, whoa, that's not much of a move from what you've done," he says. But today, he says Cirque is so well-known that he gets few smirks. Spanish Banks Hit By Real Estate Woes (WSJ) Caixabank SA, Spain's third-largest lender by market value, number five bank Banco Popular Español SA, and smaller Banco Español de Credito SA, all said they had set aside most of their profit to bolster their buffers against property sector losses, after the government twice this year raised the minimum required provisioning level for banks. Caixabank said quarterly net profit tumbled 78% to €118 million ($145.1 million) and Popular's profit fell 37% to €75.4 million. Smaller Banesto, which is owned by banking giant Banco Santander SA, said quarterly profit sank 97% to €14.4 million. Goldman PR Guru's Charm School (NYP) Under Siewert, the bank has scheduled weekly roundtable meetings between the media and executives including Goldman President Gary Cohn and CFO David Viniar. In one of those meetings yesterday, rising-star Treasurer Elizabeth “Liz” Beshel Robinson met the press for the first time. Not everyone’s keen on the changes. Goldman’s financial rock star Viniar, sources said, has sworn off appearing on TV. JPMorgan Revamps Business Units (WSJ) The bank said Frank Bisignano, who was tapped in early 2011 to lead J.P. Morgan's transformation of its mortgage banking group, will become co-chief operating officer for the entire company, in addition to continuing as chief administrative officer of the firm. He will transition the mortgage business to Gordon Smith in early 2013. Matt Zames will serve as co-COO, and will remain head of the chief investment office and mortgage capital markets...J.P. Morgan said its investment banks, treasury and securities services and global corporate banks businesses are being combined into the corporate and investment bank unit, to be chaired by Jes Staley, CEO of the investment bank business. Mike Cavanagh, head of treasury and securities, will become co-CEO of the new unit, along with Daniel Pinto, who currently heads EMEA and global fixed income. Romney Riles Londoners With Comments On Olympics Games (Bloomberg) It was supposed to be Mitt Romney’s flawless world stage debut. Instead, the Republican presidential candidate spent the start of his overseas trip fending off a furor over his London Olympics comments and scrutiny of a fundraiser with bankers linked to the Libor rate-fixing scandal. “There’s a guy called Mitt Romney who wants to know whether we’re ready,” London Mayor Boris Johnson told 80,000 cheering people gathered at Hyde Park for the arrival of the Olympic torch last night. “Are we ready? Are we ready? Yes, we are!” Romney worked to put the controversy behind him today, scheduling an interview at Olympic Park to quell the storm of criticism over his comment that the city was unprepared to host the games. “After being here a couple of days, it looks to me like London’s ready,” he told NBC’s “Today” program. “What they’ve done that I find so impressive is they took the venues and put them right in the city.” In the July 25 NBC interview, Romney described reports of difficulties recruiting enough security staff for the games, which begin today, as “disconcerting” and said, “It’s hard to know just how well it will turn out.”

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Opening Bell: 7.22.20

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Opening Bell: 5.16.16

Ireland wants post-Brexit bankers; Carl Icahn's fund moves to large bearish stance; Florida woman taken to hospital with shark attached to arm; and more.