Watch out for the secular bear bond market
‘Bond King’ Bill Gross told investors to keep an eye on the yield on the benchmark 10-year Treasury note.
“Watch the 2.6 percent level. Much more important than Dow 20,000. Much more important than $60-a-barrel oil. Much more important that the Dollar/Euro parity at 1.00. It is the key to interest rate levels and perhaps stock price levels in 2017.” The 10-year Treasury note yield was at 2.38 percent Tuesday afternoon.
No more cheerleading for free trade
Donald Trump’s pick for commerce secretary Wilbur Ross, has a history of owning and defending embattled steel and textile manufacturing companies that have relied on border duties to protect their industries. This means Ross is likely to bring a unique approach to the job, departing from the traditional role of cheerleading for free trade and big business.
A new tax law wouldn’t do much good to Citibank
Citigroup stands to get less of a profit boost than other big U.S. banks from lower corporate tax rates expected from the new government in Washington as the bank may have to slash $4 billion or more of the value of an unusually large income tax asset that it holds as a result of the financial crisis of 2007-2009.
WeChat gives its 768 million users an alternative to the Apple Store
The launch of “Xiaochengxu”, which translates as “mini programs”, challenges Apple founder Steve Jobs’ idea of an app store overseen by the maker of the iPhone.