Financial Markets and Economy
Trump budget to increase growth by boosting investment, labor force: Mnuchin (Reuters)
The Trump administration believes its budget plan will boost economic growth by fostering capital investment and creating jobs for workers who gave up their job hunts during tough times, Treasury Secretary Steven Mnuchin said on Tuesday.
With Earnings Season Over, the Insecurity Can Begin for S&P 500 Bulls (Bloomberg)
The issue is earnings season, which for the past four years has occasioned an astonishing amount of the upside in the American stock market. When companies are reporting results, the S&P 500 Index is ahead, rising a net 910 points.
‘Still a Question Mark’ Around Full Employment, Fed’s Brainard Says (The Wall Street Journal)
It is too soon to declare victory on the labor market’s recovery from the recession despite recent improvements, Federal Reserve Governor Lael Brainard said Monday.
Trump's Crazy Budget Assumptions Will Batter The Poor And Middle Class (Forbes)
The Trump administration budget is to be unveiled on Tuesday, though advanced information was available Monday evening. There's already been detailed coverage trickling out, but beyond the details are underlying budget assumptions.
U.S. New-Home Sales Fall More Than Forecast (Bloomberg)
A larger-than-forecast decline in new-home purchases in April from the strongest pace in almost a decade indicates a pause in demand in the midst of the busy spring selling season, government data showed Tuesday.
Five Reasons Why 'The Retail Apocalypse' Is A False Scare Story (Forbes)
Talk about the death of retail is great click bait. Media outlets from the Wall Street Journal to Fortune to USA Today have trumpeted news about store closings, retail bankruptcies, and the end of retail as we know it. If we’re to believe these articles, we’ll all be buying from Amazon.com, and malls will become old age homes for Baby Boomers.
Kashkari adds to dovish caution on rate hikes at Fed (Reuters)
Minneapolis Federal Reserve Bank President Neel Kashkari said Tuesday that while the U.S. economy is closer now than it was in March to full employment, he still does not know "if we are there yet," and that the recent decline in core inflation is "concerning."
Trump’s 3% Growth Target Looks Out of Reach (The Wall Street Journal)
Great leaders, whether of sports teams, companies or countries, set audacious goals to spur followers on to great accomplishments. But the goal isn’t enough: A leader also needs a credible path to achieve it.
`Gas Apocalypse' Looms Amid Power Plant Construction Boom (Bloomberg)
The glut of cheap natural gas from a single, gigantic, shale basin that straddles the Northeast, mid-Atlantic and Midwest has sparked a massive construction boom of power plants. Dozens have been built in the past two years alone.
Shale Is Just a Scapegoat for Weaker Oil Prices (Bloomberg)
When the Organization of the Petroleum Exporting Countries gathers in Vienna this week, members and non-OPEC oil producers are likely to extend the production cuts put in place in November as a way to shore up prices, which have been choppy this month.
After a Brief Respite, REITs Resume Decline (The Wall Street Journal)
The S&P U.S. REIT Index has fallen 1.3% so far this year. It rose 4.2% last year. Meanwhile, the S&P 500 stock index has risen 6.9% so far this year, after a 9.5% increase in 2016.
Euro-Area Growth Faces Upside Risk as Weak Prices Restrain ECB (Bloomberg)
The euro-area economy is growing at a pace that would warrant a tightening of monetary policy if it wasn’t for weakening inflation, IHS Markit said.
Merkel's Weak-Euro Complaint Has Two Goals (Bloomberg)
For a long time, German Chancellor Angela Merkel made a point of not disagreeing publicly with European Central Bank President Mario Draghi.
No, Mr. President, You Don’t Have the ‘Better Ideas’ on Trade (Cato Institute)
In an interview with The Economist earlier this month, President Trump provided a noteworthy answer to the question, “Do you think you’ve permanently changed the Republican Party’s position on trade?”
Over The Last 10 Years The U.S. Economy Has Grown At Exactly The Same Rate As It Did During The 1930s (Michael Snyder)
The hard fact is that the past decade’s $10 trillion in deficit spending has produced the worst economic growth as measured by Gross Domestic Product in our nation’s history. You read that right, in the past decade our nation’s economy grew slower than even during the Great Depression.
Fed wants to make shrinking its balance sheet as exciting as watching paint dry, Harker says (Market Watch)
The Federal Reserve wants to go back to being boring, a top central banker said Tuesday.
Philadelphia Fed President Patrick Harker says he longs for the day when people at dinner parties try to avoid getting stuck next to him.
Investors Aren't As In Love With Stocks As You Might Think (Bloomberg)
Its bout of anxiety over, the stock market has jumped back to where it was 10 days ago, with headline volatility at bay. But away from benchmark indexes, signs abound that investors are not as head-over-heels for stocks as is generally portrayed.
Trader "Appalled" At Market Reaction To Manchester Bombing "There's More To Life Than Next Few Basis Points" (Zero Hedge)
At the time of the London attack, Bloomberg's Paul Dobson reminded readers that were wondering about the sanguine response to the breaking news, that terrorist incidents including the one in Paris in 2015 and London bombings in 2005 spurred equity selloffs that were erased in the following days and weeks.
Companies
U.S. Sues Fiat Chrysler Over Diesel Emissions (The Wall Street Journal)
The U.S. Justice Department sued Fiat Chrysler Automobiles NV and alleged it used illegal software to cheat on government emissions tests, escalating a battle over the company’s diesel engines.
German Prosecutors Search Daimler Offices in Diesel Emissions Inquiry (NY Times)
German prosecutors on Tuesday searched the offices of Daimler, the automaker that produces Mercedes cars, as part of an investigation into whether the company improperly evaded emissions rules.
Technology
Score 58% Off Unitek's Wireless Stereo Portable Bluetooth Speaker (Digital Trends)
Score a wireless speaker that looks as good as it sounds with this Unitek Aluminium Wireless Stereo Portable Bluetooth Speaker, which is currently 58 percent off on Amazon. The Unitek speaker seamlessly pairs with your phone to deliver high-quality music at home or on the go.
Why AI won’t replace all human data analysts (Venture Beat)
While artificial intelligence for self-driving cars and virtual assistants gets a lot of attention, the past few months have seen a wave of AI advancements focused on the tasks of analysts. “Analyst” is a ubiquitous role, found in every industry that touches data.
Microsoft To Bring Windows 10 Home And Pro To Its New Surface Laptop (Digital Trends)
Microsoft plans to release its new Surface Laptop with Windows 10 Home and Windows 10 Pro, Yusuf Mehdi, vice president of Windows and Devices for the company, confirmed on Tuesday.
How to set up a DIY home security system (Popular Science)
You don't have to invest in a multimillion dollar surveillance system to keep an eye on your property and possessions. In fact, you might be able to do the job with gadgets you already own, paired with free software.
Google will track your shopping trips to prove its ads work (Engadget)
First, Google followed you to the store using location data, much like Foursquare. Then its launched its Express shopping service. Now, it will track billions of credit and debit card transactions in an even bigger effort to prove its online ads push users into brick-and-mortar shops.
Politics
Contempt Charge Against Flynn Possible, Senate Panel Leader Says (Bloomberg)
The Senate Intelligence Committee chairman warned Tuesday of a possible contempt citation against former National Security Adviser Michael Flynn if he doesn’t provide documents for the investigation of Russian meddling in the U.S. election.
Jared Kushner: White House senior adviser, alleged slumlord (Salon)
Everyone is fully aware of Jared Kushner’s multitasking capabilities. This son-in-law of President Donald Trump wears many hats in the White House. He’s a senior adviser, the director of the Office of American Innovation and is charged with fixing peace in the Middle East. He’s also a slumlord, apparently.
Donald Trump’s Balanced Budget Goal Rests on Questionable Assumptions (The Wall Street Journal)
President Donald Trump’s proposal to balance the budget within 10 years includes some aggressive and potentially inconsistent economic assumptions and accounting devices.
Jason Chaffetz says leakers should be handcuffed, thrown in jail (Salon)
On Sunday Jason Chaffetz, R-Utah., chairman of the House Oversight Committee, said that he wants the individuals leaking information from the White House to be thrown in jail.
Supreme Court Ruling Could Hinder ‘Patent Trolls’ (NY Times)
The Supreme Court on Monday placed tight limits on where patent lawsuits may be filed — a unanimous decision that was a blow to so-called patent trolls, or companies that buy patents not to use them but to demand royalties and sue for damages.
Remember when Republicans wanted transparency in White House staffers’ disclosure forms? (Salon)
President Donald Trump’s administration continues to be at war with the Office of Government Ethics over whether it should publicly disclose the ethics waivers it has granted to former lobbyists hired to work in the government.
Trump's Budget Bites Deeply Into Programs Benefiting His Voters (Bloomberg)
President Donald Trump made an impassioned plea for support from minority voters during his election campaign by asking them, “What do you have to lose?”
So Donald Trump screwed the pooch again. This time the president did it on camera, standing next to Israel’s Prime Minister Benjamin Netanyahu, when he made a point of quieting the room and addressing reporters to say this out of the blue.
Democrats warn Trump’s Energy Department against ‘unlawful’ withholding of funds (Think Progress)
Nearly 60 House Democrats are demanding answers from the Department of Energy about a delay in the disbursement of funds approved by Congress for cutting-edge energy technology projects that were already selected for awards.
Top GOP Pollster: Y^Young Americans Are Terrifying Liberal (The Intercept)
According to new polling by right-wing political consultant Frank Luntz, Americans 18 to 26 are extremely liberal — so liberal that “the hostility of young Americans to the underpinnings of the American economy and the American government” should “frighten every business and political leader” and “excite activists for Sanders and, to a lesser degree, Clinton activists."
Florida Democratic Party Exec: Poor Voters Don't Care About "Issues," Vote Based on "Emotions" (Miami New Times)
There is truly no defeat the Florida Democratic Party will avoid snatching from the hands of victory. Donald Trump has turned the Republican Party radioactive. His polling numbers are plummeting right alongside the GOP as a whole. And the nation is seeing a groundswell of progressive activism at levels not witnessed since the 1960s.
Death by a thousand cuts: Trump’s budget will destroy social safety net (Salon)
President Donald Trump’s new budget proposal for 2018 calls for massive spending cuts in social safety net programs and medical research.
The Risk Of Nuclear Catastrophe Under Trump (War On The Rocks)
Growing tension on the Korean Peninsula has returned the unimaginable terror of nuclear war to the American public consciousness. The danger is a global one: Nine states possess nearly 15,000 nuclear weapons and the detonation of even one of these weapons could cause humanitarian and economic catastrophe.
Life on the Home Planet
All Extremely Confident People Give Up These 13 Habits (Inc.)
Although the two often get confused, people with narcissistic tendencies need everyone to think that they're special. They have a need for admiration and a sense of entitlement that's rooted in deep-seated insecurities.
Interior Dept. censors climate change from news release on coastal flooding: ‘It didn’t add anything’ (Think Progress)
The Department of the Interior deleted a line explaining how climate change drives sea level rise from the news release accompanying a new study on coastal flooding, the Washington Post reported.
Are Pop Lyrics Getting More Repetitive? (The Pudding)
In 1977, the great computer scientist Donald Knuth published a paper called The Complexity of Songs, which is basically one long joke about the repetitive lyrics of newfangled music (example quote: "the advent of modern drugs has led to demands for still less memory, and the ultimate improvement of Theorem 1 has consequently just been announced").
Sweden Has Listed The Entire Country On Airbnb (Fast Company)
There are nine different “listings,” ranging from a rustic forest retreat in Varmland on the country’s west coast, to cliffs with panoramic ocean views close to Skuleskogen National Park.
Why Harvard Business School is under fire (The Economist)
HARVARD BUSINESS SCHOOL (HBS) has come under the cosh this month. A new book, “The Golden Passport” by Duff McDonald, argues that HBS has lost its crown as the top business school in America and also become a breeding ground for toxic behaviour, with conflicts of interests rife within the school, and its alumni responsible for pushing a rapacious form of capitalism that explains many of the ills of the world’s biggest economy.
