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The Wall Street Journal - 21 October 2017

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For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
Troubled
Waters
A Room-Service
Revolution
REVIEW
OFF DUTY
VOL. CCLXX NO. 95
WEEKEND
* * * * * * * *
HHHH $5.00
SATURDAY/SUNDAY, OCTOBER 21 - 22, 2017
WSJ.com
GE Vows
Changes
As View
Darkens
For California Residents, Homecomings Shadowed by Loss
What’s
News
World-Wide
T
rump signaled that Yellen remains a strong
candidate to continue as Fed
chief, while also highlighting two other candidates. A3
Investors should think
of 2018 as ‘reset year,’
new CEO says, raising
prospect of dividend cut
A U.S. appeals court
ruled that the administration for now can block an
undocumented teenager
from getting an abortion. A3
Japan’s Abe is on course
for a big electoral win Sunday, helped by his hard-line
stance on North Korea. A6
Tillerson will head to
Pakistan with a demand that
Islamabad do more to eliminate militant havens. A7
Mattis is considering
ways to expand U.S. operations in Africa following the
deadly ambush in Niger,
GOP Sen. Graham said. A6
Islamic State’s branch
in Sinai mounted two
deadly attacks against
Egyptians this week. A7
Business & Finance
GE slashed its 2017 projections as its CEO set a goal
to sell over $20 billion of
assets and cut an additional
$1 billion in spending. A1
Wells Fargo has fired
with cause four foreign-exchange bankers as the firm
and regulators probe behavior in that business. A1
SoftBank is making tentative plans for a second
tech fund that could be
about $200 billion in size. B1
The Dow rose 165.59
points to 23328.63, its 53rd
record close of 2017 and the
most in a year since 1995. B12
Daimler’s profit fell as
Mercedes was hammered by
airbag-related recalls and
diesel-emission costs. B2
EU antitrust authorities
raided BMW’s offices over
cartel allegations against
some German car makers. B2
P&G reported another
quarter of sluggish growth
as shoppers continued to cut
back spending on staples. B3
Nestlé investor Loeb
praised the firm’s recent
moves but signaled he would
push for more changes. B3
Hudson Bay’s CEO is leaving the retailer in the midst
of a restructuring effort. B10
Inside
NOONAN A13
Trump May Be
Following Palin
Trajectory
CONTENTS
Books.................... C5-10
Food......................... D5-6
Heard on Street...B12
Markets............. B11-12
Obituaries................. A9
Opinion............... A11-13
Sports....................... A14
Style & Fashion D2-4
Travel.................... D9-10
U.S. News............ A2-5
Weather................... A14
Weekend Investor... B5
World News....... A6-8
>
s Copyright 2017 Dow Jones &
Company. All Rights Reserved
ing the momentum going,” Mr.
Brat said. The Freedom Caucus
took no official position, the
group’s spokesman said.
In the frenzied days ahead,
the GOP will seesaw between
the political necessity of obtaining a legislative win to tout
in the 2018 elections and the
immense difficulty of the task
Please see TAXES page A4
Trump talks up Yellen for Fed
chair................................................. A3
Tax plan rattles savings
industry.......................................... B1
Finance chief says ‘cleaner’
reports ahead for firm......... A2
Heard on the Street: GE’s
kitchen sink is leaking........ B12
DESTROYED: Lucia Silva of Coffey Park in Santa Rosa, Calif., searched the remains of her home for any belongings that may have survived the
wildfires that swept through California’s wine country. City officials on Friday began allowing residents of some neighborhoods to return. A3
GOP Starts Race for Tax Overhaul
BY RICHARD RUBIN
Police in Florida arrested three men after a
shooting that followed a
white nationalist speech. A2
General Electric Co. slashed
its 2017 projections as new
Chief Executive John Flannery
started to outline his plans to
restructure the struggling conglomerate, setting a goal to sell
more than $20 billion of assets
and cut an additional $1 billion
in spending.
“Our results are unacceptable to say the least,” Mr. Flannery said on a conference call
Friday, noting that he was reviewing whether the company
could afford to maintain its
current dividend payout.
“Things will not stay the same
at GE.”
Mr. Flannery, who took the
job in August and recently became chairman with the early
exit of Jeff Immelt, has expressed an urgency to reduce
costs and rethink the sprawling
company. In addition to lowering earnings targets by a third,
the company Friday cut its
forecast for 2017 cash flow by
half from a July projection.
GE shares gained 18 cents in
Friday trading to $23.76, after
tumbling as much as 7% earlier
in the day. The shares had
Please see GE page A2
BRIAN L. FRANK FOR THE WALL STREET JOURNAL
Santa Rosa, Calif., officials let residents of some
neighborhoods destroyed by
wildfires return to see what
remains of their homes. A3
BY THOMAS GRYTA
WASHINGTON—The sprint
toward an enormous tax bill
has reached the starting line.
Republicans, eager to have
something significant to show
for full control of the Congress
and White House, are attempting to do in as little as 10
weeks what lawmakers did in
13 months in the mid-1980s:
Release, amend, debate and
pass a rewrite of the U.S. tax
system.
The Senate’s 51-49 vote late
Wells Fargo
Fires Four
Amid Probe
Of Currency
Business
BY EMILY GLAZER
Problems at Wells Fargo &
Co., which continues to grapple with the fallout from its
sales-practices scandal, have
extended to its investment
bank, prompting the firm to
fire four foreign-exchange
bankers, according to people
familiar with the matter.
The bank has launched an
internal investigation and
regulators are also probing
the foreign-exchange business, the people said. The issue that led to the firings,
along with the reassignment
of a senior executive, couldn’t
be fully determined. It involves one specific transaction with a client, who has
been notified by the bank, according to a person familiar
with the matter.
Until now, issues at the
bank have centered on its retail-banking operation. After
agreeing a year ago to a regulatory settlement over improper sales practices, the
bank this summer disclosed
that a review of its businesses
also had revealed problems
related to improperly charging customers for certain auto
insurance and mortgage products.
The issues in the foreignexchange business emerged
separately from the review of
business practices sparked by
the sales-practices scandal,
according to one of the people familiar with the matter.
A Wells Fargo spokeswoman
Please see WELLS page A7
Thursday for a budget marked
an important step toward a
tax bill that can become law
by year’s end without a single
Democratic vote. The House is
expected to back the same
budget and set a schedule for
the tax bill’s release as soon as
next week.
Diane Black (R., Tenn.), who
chairs the House Budget Committee, made clear Friday that
was the plan.
“I am pleased that the final
version included some changes
that reflect many ideas offered
in our plan,” Mrs. Black said of
the Senate budget. “In the
House, I look forward to swift
passage and to working with
the president on tax reform.”
Members of the House
Freedom Caucus, a group of
roughly three dozen conservatives, largely backed the idea
of the House quickly taking up
the Senate budget, said Rep.
Dave Brat (R., Va.), who participated in the group’s conference call on Friday.
“Most of the folks were
pretty much in favor of keep-
A Russian Ghost Sub Stalks the Sea
The U.S. tracked the stealthy Krasnodar, a throwback to Cold War tussles beneath the waves
BY JULIAN E. BARNES
The Krasnodar, a Russian attack submarine, left the coast of Libya in late
May, headed east across the Mediterranean, then slipped undersea, quiet as a
mouse. Then, it fired a volley of cruise
missiles into Syria.
In the days that followed, the dieselelectric sub was pursued by the aircraft
carrier USS George H.W. Bush, its five
accompanying warships, MH-60R Seahawk helicopters and P-8 Poseidon anti-
sub jets flying out of Italy.
The U.S. and its allies had set out to
track the Krasnodar as it moved to its
new home in the Black Sea. The missile
attack upended what had been a routine
voyage, and prompted one of the first
U.S. efforts to track a Russian sub during
combat since the Cold War. Over the
next weeks, the sub at points eluded detection in a sea hunt that tested the
readiness of Western allies for a new era
in naval warfare.
An unexpected resurgence in Russian
Dow’s Highs Notch Fresh Heights
The Dow Jones Industrial Average’s close Friday marked its 53rd
record in 2017—the most records in a calendar year since 1995. B12
submarine development, which deteriorated after the breakup of the Soviet
Union, has reignited the undersea rivalry
of the Cold War, when both sides deployed fleets of attack subs to hunt for
rival submarines carrying nuclear-armed
ballistic missiles.
When underwater, enemy submarines
are heard, not seen—and Russia brags
that its new subs are the world’s quietest. The Krasnodar is wrapped in echoabsorbing skin to evade sonar; its proPlease see SUB page A10
The Bucks Have the NBA’s Oldest
Guard—He’s Made of Polyester
i
Closing records set by the Dow Jones Industrial Average
60
50
BY BEN COHEN
40
30
20
10
0
2000
2010
’17
2000
2010
’17
Dow industrials, monthly
25000
20000
15000
10000
5000
0
1990
Source: WSJ Market Data Group
i
Art, a lifelike statue, has a prominent spot
in the office—prompting mass confusion
70
1990
i
THE WALL STREET JOURNAL.
with Milwaukee’s basketball
team, Mr. Monroe eventually
MILWAUKEE—Greg Monroe warmed up to “Art,” who is
still recalls the chilly greeting made from cast polyester resin,
on his first day with the Mil- painted in flesh tones and
dressed in a uniform with hat,
waukee Bucks.
tie, badge, whistle,
Mr. Monroe tried
keys, handcuffs and
to strike up a conpolished shoes.
versation with the
The Bucks’ eerily
security guard stalifelike statue was
tioned at the encreated by Marc Sitrance of the Bucks’
jan, a Milwaukee
practice gym. The
sculptor, whose stuguard was still in his
dio is filled with figteens, but appeared
ures that appear to
much older. He was
be holding their
seated, head cocked,
breath. Most of Mr.
sleeves rolled, legs
Art
Sijan’s creations are
crossed with a chalin galleries around
lenging stare.
Mr. Monroe got no response. the world. Only one belongs to
a National Basketball AssociaThe guard didn’t even move.
“He scared the hell out of tion team.
“It’s not something that I
me,” said Mr. Monroe, who at
think will go down in art-his6-foot-11 is hard to ignore.
Please see ART page A9
Like most people associated
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
A2 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ******
U.S. NEWS
THE NUMBERS | By Jo Craven McGinty
Drop in Teen Birthrate Drives Fertility Decline
Their biological clocks
may be ticking, but fewer
U.S. women
are listening—
at least fewer young women.
The country’s birthrate hit
a record low in 2016 with 62
births per 1,000 women of
childbearing age, but that
top-line figure conceals a
main driver of the decline:
The birthrate among teenagers fell 9% from the previous year to 20.3 births per
1,000 women, the lowest figure for that age group since
at least 1940.
pulled down the overall average with 52.7 births per
1,000 women, an increase of
2%. But the rates of birth for
the three remaining age
groups were all substantially
higher than the average.
Women ages 20 to 24 had
73.8 births per 1,000 women,
down 4% from the previous
year. Women 25 to 29 had
102.1 births per 1,000
women, down 2%. And
women 30 to 34 had 102.7
births per 1,000 women, an
increase of 1%.
Economists and others
pay attention to fertility because it reveals how many
people will be competing for
food, property and jobs in
the future, as well as how
many will be available to
support programs such as
Social Security and Medicare.
Too few births, in the absence of mitigating factors
such as immigration, could
compromise the economy,
but it is possible today’s
younger women are merely
delaying pregnancy rather
than skipping it altogether.
“That’s the question people are asking,” said Mark
T
he only group having
fewer children was
women ages 40 to 44.
But unlike teens, the older
women gave birth at a higher
rate than the year before, increasing by 4% to 11.4 births
per 1,000 women.
The National Center for
Health Statistics released the
latest general fertility figures
for women of childbearing
age, defined as ages 15 to 44,
in September.
Women ages 35 to 39 also
Mather, who specializes in
U.S. demographic trends for
the Population Reference Bureau, a nonprofit demographic-research group. “Will
they catch up or will their
completed fertility levels be
lower than those of previous
generations?”
It isn’t unusual for births
to decline following an economic downturn, but general
fertility is only one measure.
“This is an important
piece of information, but it’s
not a full picture,” said
Brady E. Hamilton, a statistician who co-wrote the
NCHS report.
A measure favored by
some demographers is the
total fertility rate, a projection of how many children a
woman will have in her lifetime.
The two measures are related.
The general fertility rate
is calculated by dividing the
number of live births by the
number of girls and women
who are of childbearing age.
(The result is multiplied by
1,000 to get the rate per
1,000 women.)
jected that women of childbearing age that year would
have an average of 1.7 children. The rate is now 1.8.
Other measures have also
increased.
C
Total fertility calculates
the same rate by age or age
group and then sums up the
results to estimate the average number of children each
woman will have during her
lifetime. (If five-year age
groups are used, the sum of
the rates is multiplied by
five.)
“It’s kind of a hypothetical
‘Cleaner’ Reports Ahead for Firm
General Electric Co.’s next
finance chief promised Friday
to get “back to basics” with
the conglomerate’s financial
reporting, after the latest
quarterly results highlighted
the complexity of the company’s bookkeeping.
Sharp revisions to the company’s forecasts for the current year, just three months
after the company had backed
them, raised fresh concerns
among investors and analysts
about the way the company
measures its performance.
The financial reports will
likely be a focus of new CEO
John Flannery and incoming
Chief Financial Officer Jamie
Miller. In meetings with investors in recent months, the new
boss was told that the muddy
reporting needed to change. In
his letter to employees on his
first day, Mr. Flannery said he
heard investors “loud and
clear.”
GE presents its financials to
investors in unusual ways. Besides reporting traditional
earnings per share under generally accepted accounting
principles, GE also reports
that figure on an adjusted basis that excludes results of
businesses that might be sold
in the future.
The Boston-based company
also reports a key cash-flow
metric differently from most
GE
Continued from Page One
fallen 25% this year, erasing
nearly $80 billion in market
value even as the stock market
has surged to record highs.
The Boston company’s thirdquarter earnings fell as it incurred hefty restructuring
charges, reporting a profit of
$1.8 billion, down from $2 billion a year earlier. Excluding
restructuring charges and
other items, adjusted per-share
earnings fell to 29 cents from
32 cents, still well below Wall
Street expectations of 49 cents.
Mr. Flannery is slated to update investors at a Nov. 13
meeting on the details of his
strategic review. He has already been cutting jobs, research operations and executive perks, such as corporate
jets. On Friday, Mr. Flannery
said he planned to cut an additional $1 billion in expenses
next year, bringing total reductions to $3 billion over two
years.
Under Mr. Immelt, GE pivoted away from financial services that once accounted for
the lion’s share of its profits as
well as consumer businesses
that made it a household
name. It invested in energy
markets and moved deeper
into emerging economies. Two
thirds of its employees and
about 70% of its revenue are
outside the U.S.
Mr. Immelt sold GE’s ownership of NBCUniversal and
shrunk GE Capital, which was
ALWYN SCOTT/REUTERS
BY CHARLEY GRANT
number, but demographers
like it because it’s essentially
a projection of what would
happen if today’s fertility
rates were held constant
through this girl’s lifetime,”
said Gretchen Livingston, a
demographer at Pew Research Center.
At its low point in 1976,
the total fertility rate pro-
U.S. WATCH
HOUSING MARKET
SUSPICIOUS DEATHS
Supply Shortage
Hurts Home Sales
Police Believe Killer
Stalking Community
Sales of previously owned
homes declined on an annual basis for the first time since July
2016, suggesting a chronic
shortage of houses for sale is
beginning to take a bigger toll
on the market.
September’s existing-home
sales fell 1.5% from September
2016, the National Association
of Realtors said Friday, the third
consecutive month of lackluster
results.
On a monthly basis, existinghome sales edged up by 0.7% to
a seasonally adjusted annual
rate of 5.39 million in September
from August. But the small uptick was largely due to a modest
rebound in Houston home sales.
—Laura Kusisto
Police believe the fatal shooting of a 20-year-old autistic man
who took the wrong bus home
from work on Thursday night is
linked to two other suspicious
deaths in a Florida neighborhood.
The deaths, which took place
over the past 10 days, prompted
Tampa police to warn residents
in the Seminole Heights neighborhood not to walk alone at
night.
“Now we have someone terrorizing the neighborhood,” Interim Tampa police Chief Brian
Dugan said during a Friday news
conference.
—Associated Press
Workers build jet engines at General Electric’s highly automated factory in Lafayette, Ind.
FLORIDA SPEECH
public companies. The company adjusts the figure to exclude taxes on the company’s
deals, as well as costs to fund
its employee pension plan.
Wall Street analysts have
long expressed frustration with
GE’s presentation of financial
results, typically describing the
accounting as “aggressive.” In
a recent note to clients, William Blair analyst Nicholas
Heymann expressed hope that
Mr. Flannery’s review would
include “replacing aspirational
with tangible pragmatic oper-
Cash Fall
GE slashed 2017 projections,
predicting industrial cash flow
of $7 billion.
$12 billion
10
8
6
4
2
0
2012 ’13
’14
’15
’16
’17
Source: The company
THE WALL STREET JOURNAL.
one of the country’s biggest
lenders before the financial
crisis. He also struck deals
meant to diversify, acquiring
Alstom SA’s power-plant business and merging GE’s oil-andgas business with Baker
Hughes, an oil-field-services
provider.
But the company was under
pressure from investors, including activist Trian Fund
Management LP, to streamline
operations and boost profits.
GE, which had about 295,000
employees at the start of the
year, is still one of the world’s
biggest makers of jet engines,
power-plant turbines, MRI machines and diesel locomotives.
On Friday, Mr. Flannery said
he is looking to sell off about
$20 billion worth of assets in
the next 1 to 2 years. Mr. Flannery said the company has
many strong divisions but also
“a number of other businesses
which drain investment and
ating targets and simplifying
GE’s accounting.”
Ms.
Miller
promised
changes on a conference call
with Wall Street analysts on
Friday, including scrapping its
adjusted earnings figure and
reporting cash flow in line
with industry standards.
“We’re really looking at,
how can we report in a much
cleaner way, just a much simpler presentation of what you
see? I’d kind of call it a back-tothe-basics approach,” she said.
Ms. Miller, who previously
ran the company’s transportation unit, will take over from
Finance Chief Jeff Bornstein
on Nov. 1. She joined GE in
2008 as chief accounting officer and previously was a finance executive at insurer Anthem Inc. and a partner at
PricewaterhouseCoopers LLP.
Mr. Bornstein told investors
Friday he was leaving because
of the company’s poor performance. “We are not living up
to our own standards or those
of investors, and the buck
stops with me,” he said.
management resources without
the prospects for a substantial
reward.”
The company now projects
cash flow from operating activities to be about $7 billion, a
steep revision from the previous view of $12 billion to $14
billion. A big part of the drop
is coming from the power division, which primarily makes
turbines for gas and coal-fire
power plants.
In an interview, Mr. Flannery said he was surprised
with the results from the
power business, GE’s largest,
and blamed the former management of the division. He
said the other divisions of the
company were “quite strong”
when looking at their orders.
“I’m disappointed in the
power business. Deeply,” Mr.
Flannery said, noting there
was an overestimation of demand in the power market,
along with too much inventory
and not enough cost cuts to
adjust to the pressures.
“We have not run the business well of late,” he said. GE
expanded the division, now its
largest by revenue, following
the Alstom deal.
The drop in cash flow has
raised questions about how the
company will fund its dividend,
pensions and capital investments. On Friday, Mr. Flannery
said the current cash-flow projections aren’t going to be the
norm at GE, but the company
is looking to balance investing
in growth and paying the dividend.
He said investors should
think of 2018 as a “reset year.”
Mr. Flannery previously had
pledged the dividend wouldn’t
change, but said Friday that
his view is “continuing to
evolve.”
“Expected bad. Got bad,”
said analyst Scott Davis, CEO
of Melius Research, noting the
quarterly results raise questions about whether the company is fixable. “Pressure to
break this up just went
through the roof.”
GE cut $500 million in industrial costs in the third quarter and has reduced that annual spending by $1.2 billion
for the year so far. Earlier this
year, GE set a goal to cut $1
billion in such costs this year
and next, under pressure from
Trian, which recently gained a
seat on the company’s board.
Mr. Flannery said he would
look at potential changes to
the board, which was mostly
appointed during Mr. Immelt’s
tenure.
“The board is big at 18 people, there is no doubt about
that, and that is one of the topics being discussed,” he said.
Incoming Chief Financial Officer Jamie Miller said the
company would simplify how it
reports results. It will revise
how it measures free cash flow
to be in line with others in the
industry with a “back to basics
approach,” she said.
GE’s revenue jumped 14% to
$33.5 billion in the quarter, up
from $29.3 billion a year earlier. Analysts had expected revenue of $32.56 billion, boosted
by the Baker Hughes deal.
—Cara Lombardo contributed
to this article.
ompleted fertility, a
retrospective measure
that shows how many
children women ages 40 to
44 actually had, hit a low
point in 2006 with an average 1.86 births per woman.
It’s now at about 2 births per
woman, or nearly replacement level. And the raw
number of births bottomed
out in 1973, when there were
3.1 million. Last year, there
were 3.9 million.
“The total number of
births has generally increased or remained steady
over time even though fertility rates have declined,” Dr.
Mather said. “This is because
the total number of women
of reproductive age in the
U.S. has increased as the
population has grown.”
Taken together, the different measures provide a more
complete picture of fertility
in the U.S.
Three Men Charged
In Protest Shooting
Police arrested three men on
charges of attempted homicide
after a shooting that followed a
white nationalist speech at the
University of Florida on Thursday.
The police said at least two
of the three men have shown
connections to extremist groups
and one is a convicted felon. All
three are from Texas.
The three men threatened a
group of protesters, offering
Nazi salutes and shouting
chants about Hitler, police said.
One of the men fired a single
shot at the victims that missed
the group, police said. The three
men then fled in the Jeep. They
were arrested Thursday night.
—Cameron McWhirter
LAS VEGAS SHOOTING
Funeral Service Held
For Las Vegas Victim
An off-duty police officer
who was one of 58 people killed
in the mass shooting in Las Vegas was honored with a posthumous promotion to Army first
sergeant during an emotional funeral service Friday.
Hundreds of police officers in
uniform packed the Henderson,
Nev., church as pallbearers
guided the casket of Charleston
Hartfield, 34, which was draped
in a U.S. flag.
Pastor Mike Bodine told more
than 2,000 people at the funeral
that Mr. Hartfield, a Las Vegas
police officer and U.S. Army service member, had provided instructions ahead of time to be
read at his memorial, which read
in part: “If you’re reading this,
then I’ve been called home.”
—Associated Press
CORRECTIONS AMPLIFICATIONS
Harriman Capital LLC’s
name was incorrectly given as
Harriman Capital Inc. in a
Property Report article on
Wednesday about investments
in “co-living” buildings.
A bill proposed by Sens.
Lindsey Graham and Bill
Cassidy to dismantle most of
the Affordable Care Act would
have cut federal health funding to states by $4 trillion
through 2036, according to
consulting
firm
Avalere
Health. A U.S. News article on
Sept. 22 about opposition to
the proposal incorrectly stated
the estimated cut would be $4
trillion by 2026.
Readers can alert The Wall Street Journal to any errors in news articles by
emailing wsjcontact@wsj.com or by calling 888-410-2667.
THE WALL STREET JOURNAL
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THE WALL STREET JOURNAL.
* * * * * * * *
Saturday/Sunday, October 21 - 22, 2017 | A3
U.S. NEWS
Foxconn Deal Highlights Lure of Cash
Wisconsin factory pact
shows how such
incentives outshine
traditional tax breaks
BY CARA LOMBARDO
Wisconsin’s $3 billion bid
this summer to land Foxconn
Technology Group’s first major U.S. factory looked smaller
than that of a neighboring
state’s, but included an increasingly popular feature that likely
made the difference: cash.
Cash incentives are likely to
come up as Amazon.com Inc.
weighs dozens of offers that
were due this week from cities
eager to house its second
headquarters, experts say. It
could also be a factor for cities
looking to land a possible second Foxconn plant.
Trump
Talks Up
Yellen for
Fed Chair
Amazon declined to comment, but its request for proposals asked that state and local government biders indicate
whether tax credits offered
will include cash refunds.
Michigan tried to lure Foxconn, a Taiwanese technology
giant, with an incentives package totaling $3.8 billion, or 27%
more than Wisconsin’s recordbreaking package, according to
documents reviewed by The
Wall Street Journal. Michigan’s
offer also would have required
fewer jobs to be created than
the final offer from its neighbor.
But Michigan’s plan relied
heavily on credits that
would reduce Foxconn’s tax
bills, an approach that has
fallen out of favor as large
companies increasingly gravitate toward offers like Wisconsin’s that come with cash.
“It’s a very shiny compo-
nent and it’s easy to quantify,”
said Paul Gevertzman, a tax
partner at Anchin, Block & Anchin LLP, who specializes in
economic development.
Ten years ago, few states’
primary economic development
tools were refundable, a feature
that allows businesses to receive cash payments for unused
tax credits and incentives, said
Jay Biggins, executive managing
director at consulting firm Biggins Lacy Shapiro & Co.
Today at least 19 states, including Wisconsin, have such
programs, according to Mr. Biggins’s firm. Michigan doesn’t.
“These programs are powerful,” said Mark Sweeney,
a senior principal at McCallum
Sweeney Consulting, whose
firm helps negotiate deals for
companies including Northrop
Grumman Corp. “They impacted the Foxconn decision
and they will impact the next
Foxconn decision.”
Traditional tax credits are
valuable only to the extent
that a company has a tax liability. Other credits can be
sold, but usually at a discount.
2.85
Billions of dollars in cash refunds
Wisconsin promised to Foxconn
With refundable benefits,
though, states promise cash
payments for unused tax credits, making them useful to
companies in a wider range of
circumstances, including those
that show little income or are
already eliminating taxes owed
through other tax breaks.
Refundable credits, sometimes described as paying for
jobs, can be a hard political sell.
Wisconsin’s 15-year deal,
which could cost taxpayers
roughly $15,000 for each Foxconn employee each year, drew
criticism from Democratic
lawmakers as well as the conservative group Americans for
Prosperity, all of whom said
that the cost was too high. A
state analysis found taxpayers
wouldn’t recoup their investment through tax revenues until the fiscal year ending 2043.
Wisconsin State Sen. Jon
Erpenbach, a Democrat, said
taxpayers may never be fully
reimbursed if Foxconn automates jobs in the future. “You
might as well start writing
checks and hope that those
jobs come in the end,” Mr. Erpenbach said. “If they don’t,
you’re going to be out a lot of
money to build a really nice
facility for robots to work in.”
A spokesman for Gov. Scott
Walker defended the deal, describing it as “pay-as-yougrow,” meaning the state will
pay incentives as Foxconn
builds facilities and creates
jobs.
Foxconn said many factors
guide its decisions about where
to do business, and investments
made by state and local governments are certainly considered.
Wisconsin’s final offer promises Foxconn as much as $2.85
billion in cash refunds over the
next 15 years to offset portions
of its payroll and building costs.
A spokesman for the Wisconsin Economic Development
Corporation declined to comment on the negotiations.
—Coulter Jones
contributed to this article.
In Boston, Old Ironsides Celebrates an Anniversary
JOY RIDE: The newly refurbished USS Constitution, nicknamed Old Ironsides, took a spin Friday to celebrate the 220th anniversary of the iconic vessel’s maiden voyage.
Wildfire Victims Return to See What’s Left
BY JIM CARLTON
AND ALEJANDO LAZO
SANTA ROSA, Calif.—Residents of some neighborhoods
destroyed by wildfires sifted
through the remains of their
homes here Friday as a cool,
drenching rain helped firefighters gain better control over blazes that have consumed 7,700 structures and
left at least 42 dead in the California wine country.
Officials of Santa Rosa, a
city of 175,000 people about an
hour’s drive north of San
Francisco, on Friday allowed
residents of Coffey Park and
two other neighborhoods
where hundreds of homes
were lost to return briefly under police control, “so they
have protected time to assess
and grieve,” they said.
The neighborhoods will be
reopened more fully this weekend, allowing victims of the
most destructive wildfire on
record in California to sift
through the blackened rubble
of their homes for any keepsakes that might have survived.
Dan Harmeson, 36 years
old, and his wife Christy, 35,
both wore jeans, boots, masks
and matching red trucker hats
and were shoveling through a
corner of their home, using a
sifter they had picked up from
a hardware store. They were
looking for her diamond wedding ring that had been in a
drawer in their bedroom.
"This isn’t like one house
going down,” Mr. Harmeson
said, looking around the neighborhood where not a single
house appeared standing for
blocks.
They do want to stay in
Santa Rosa, though, Mrs.
Harmeson said. “We want to
be here, helping the community rebuild,” she said.
Fire officials are warning
residents not to handle too
much debris, because of the
likelihood of toxic contamination. County supervisors this
week adopted a resolution asking for more state help in removing debris from Santa
Rosa and other charred communities.
As of Friday, about 15,000
people remained evacuated
from their homes in the fires
Teenage Migrant’s Abortion
Can Be Blocked Until Oct. 31
BY BRENT KENDALL
AND LAURA MECKLER
WASHINGTON—A divided
federal appeals court late Friday ruled that the Trump administration for now can block
an undocumented teenager
from getting an abortion, but
that it should seek a way to
transfer custody of the girl so
she can obtain the procedure.
The U.S. Court of Appeals
for the D.C. Circuit, by a 2-to-1
vote, said the administration
can prevent a 17-year-old in
U.S. custody from having an
abortion through Oct. 31.
The court’s order said the
Department of Health and Human Services, which has custody of the teen, should use
the next 11 days to find a private sponsor to take custody
of the girl, a move that could
let her get an abortion without
government involvement.
If a sponsor can’t be found,
the court left open the possibility the Trump administration could be ordered to allow
the teen to leave the Texas
federally funded shelter, where
she is being detained, in order
to visit an abortion clinic.
Two judges appointed by
Republican presidents were in
the majority. An appointee of
J. SCOTT APPLEWHITE/ASSOCIATED PRESS
President Donald Trump signaled Friday that Federal Reserve Chairwoman Janet Yellen
remains a strong candidate to
be renominated for the job after the two met this week, saying he liked her “a lot,” while
also highlighting two other
candidates as front-runners.
In an interview with Fox
Business, Mr. Trump mentioned by name three candidates who are among the finalists: Ms. Yellen, Stanford
University economist John
Taylor and Fed governor Jerome Powell.
Mr. Trump indicated he
hadn’t made a decision yet.
Asked who he wanted to run
the Fed, Mr. Trump responded:
“Most people are saying it’s
down to two: Mr. Taylor, Mr.
Powell. I also met with Janet
Yellen, who I like a lot. I really
like her a lot. So, I have three
people that I’m looking at, and
there are a couple of others.”
The two others whom the
White House has identified as
finalists are Gary Cohn, the
president’s top economic adviser, and former Fed governor
Kevin Warsh.
Mr. Trump is expected to
announce a decision before his
scheduled trip to Asia begins
Nov. 3. “I will make my decision very shortly,” the president told interviewer Maria
Bartiromo.
The president has offered
differing views of Ms. Yellen,
whom he interviewed for half
an hour on Thursday. On the
campaign trail, Mr. Trump
said he would probably replace Ms. Yellen with a Republican if given the opportunity,
and later accused her of keeping interest rates low to help
Democrats ahead of the 2016
election.
But since becoming president, Mr. Trump has praised
the central-bank chief. He told
The Wall Street Journal in July
he was considering nominating
Ms. Yellen to a second term. “I
like her; I like her demeanor. I
think she’s done a good job,”
he said in that interview. “I’d
like to see rates stay low. She’s
historically been a low-interest-rate person.”
On Friday, Ms. Yellen was
back at the White House having lunch with one of her rivals for the top Fed position—
Mr. Cohn. A White House aide
said the two lunch together
periodically and that Ms. Yellen wasn’t in the building Friday to discuss her possible renomination.
Ms. Yellen has avoided
weighing in on her future at the
central bank, including whether
she would want another fouryear term. “I have said that I
intend to serve out my term as
chair,” she said at a September
press conference, but declined
to comment beyond that.
She also has steered clear
of saying which direction the
administration should take on
fiscal policy. Asked in September about the prospect of Republican-proposed tax cuts
that critics warn could add to
the deficit, she said it was up
to Congress and the White
House to decide on the plan,
and declined to weigh in on
the potential economic impact.
MICHAEL DWYER/ASSOCIATED PRESS
BY PETER NICHOLAS
AND KATE DAVIDSON
Abortion-rights activists outside the Department of Health and
Human Services in Washington on Friday.
former Democratic President
Barack Obama dissented.
Brigitte Amiri of the American Civil Liberties Union, a
lawyer for the teenager, said
the court’s order means “justice is delayed yet again for
this courageous and persistent
young woman.”
The Administration for Children and Families at HHS said,
“For however much time we
are given, the Office of Refugee Resettlement and HHS will
protect the well-being of this
minor and all children and
their babies in our facilities,
and we will defend human dignity for all in our care.”
On Friday, the judges peppered a Justice Department
lawyer with tough questions.
The attorney wasn’t able to
answer several questions and
said she wasn’t authorized to
say if the administration believes the girl has constitutional rights. “How can you
not take a position on that?”
asked Judge Brett Kavanaugh,
a George W. Bush appointee.
The Trump administration
was challenging a lower-court
order saying it must let the
teenager leave the facility to
visit an abortion clinic. The
teen, referred to anonymously
as Jane Doe, was taken into custody after crossing the southern
border illegally in September
and is about 15 weeks pregnant.
that have stretched from the
northern suburbs of San Francisco to the Sierra Nevada
mountains. The Tubbs Fire—
the deadliest of the infernos,
with at least 22 lives lost as
of Friday—was 93% contained,
or encircled by firefighters
with new road breaks and
other man-made barriers after
roaring into Santa Rosa and
destroying 3,000 homes.
State fire officials cautioned that the weather forecast calls for a return to dry,
gusty conditions this weekend.
That would raise the fire potential again, but officials were
hopeful the new moisture would reduce the likelihood of a recurrence of the
kind of runaway blazes that
struck the region beginning
Oct. 8.
Meanwhile, Sonoma County
Sheriff Rob Giordano on
Thursday accused U.S. Immigration and Customs Enforcement officials of issuing a
press release with “inaccurate,
inflammatory” information, regarding the arrest of an arson
suspect wanted by federal authorities for being in this
country illegally from Mexico.
The release by ICE officials
suggested Sonoma County had
“left their community vulnerable to dangerous individuals
and preventable crimes” by
not honoring a series of immigration detainers the federal
agency had lodged for Jesus
Fabian Gonzalez, 29, after his
arrest on various criminal charges over the past year.
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A4 | Saturday/Sunday, October 21 - 22, 2017
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Strategy to Thwart Nafta Pullout Emerges
Lawyers sketch out
plan to oppose possible
U.S. withdrawal as
trade talks grow tense
Congressional trade lawyers
and attorneys from private
firms in Washington have begun meeting informally to come
up with ways to challenge any
decision by President Donald
Trump to pull out of the North
American Free Trade Agreement.
The private attorneys and
congressional aides say the contingency planning is in the early
stages, and most don’t want to
discuss the matter publicly
while the talks are continuing.
But with Nafta negotiations
having hit their most difficult
stage so far in the round that
ended this week, and Mr.
Trump repeatedly warning that
he will pull out of the pact if
trading partners can’t agree to
U.S. demands for “America
First” provisions, the talks over
how to respond to a withdrawal
have taken on a new urgency,
according to those involved.
The preparations to challenge the president, should he
decide the U.S. should withdraw
from Nafta, point to an unanswered question looming over
the recent rounds of trade discussions: How much authority
does the president actually have
to scuttle an existing trade
agreement? “This is sort of un-
ERIC GAY/ASSOCIATED PRESS
BY WILLIAM MAULDIN
Workers load rolls of sheet metal in Laredo, Texas. Negotiations among the U.S., Canada and Mexico over Nafta have grown tense.
charted territory where no one
really knows,” said Warren
Maruyama, a former trade official in the Reagan and two Bush
administrations.
The president would almost
certainly face legal challenges if
he took steps to negate the 23year-old pact with Canada and
Mexico, lawyers say, particularly from industries, such as
the automotive business, which
have become dependent on free
trade across the continent.
“You will see the auto industry in court the day after that
notice is sent, seeking an injunction,” said Tim Meyer, professor of law at Vanderbilt University. “You will definitely see
industry groups in court with
the full support of the U.S.
Chamber of Commerce the day
after that notice is sent.”
Political resistance to a withdrawal has already developed
on Capitol Hill and within business groups. In Congress, a
swath of centrist, businessbacked members in both parties
would likely oppose any pullout.
The Chamber has called the administration’s proposals for
Nafta “highly dangerous” and
could be expected to challenge
any unilateral withdrawal.
The U.S. trade representative, Robert Lighthizer, declined
to comment through a spokes-
man. His predecessor, Michael
Froman, now a fellow at the
Council on Foreign Relations,
said there is a vigorous debate
about what would happen if
Congress opposed a withdrawal
but that he believed “a lot could
be done by executive action.”
Mr. Maruyama agreed that
the president probably has the
power to cancel or gut Nafta,
but he expects challenges—with
a chance of success—if Mr.
Trump attempts to kill the deal
unilaterally. “There are people
who are desperately scouring
[key provisions of trade law] on
Capitol Hill and law firms and
at the U.S. Chamber of Commerce right now to try to create
some kind of argument that
Trump can’t do this,” said Mr.
Maruyama, now partner at Hogan Lovells LLP in Washington.
While the Constitution gives
Congress broad powers to regulate international commerce,
when it comes to trade agreements Capitol Hill has delegated
to the executive big pieces of
that authority—in a 1974 law, in
repeated laws designed to expedite the passage of trade pacts
and in the 1993 law that implemented Nafta.
Legal experts see two main
avenues for challenging a withdrawal: Opponents could challenge the president’s ability to
exit an international commercial deal as unconstitutional, or
challenge his ability to reverse a
law passed by Congress—in this
case, parts of the Nafta implementing legislation—without
congressional consent.
Lawyers involved in the discussions say it would be difficult to stop Mr. Trump from
sending the initial notice of
withdrawal, since the executive
branch enjoys a special ability
to communicate official policy
decisions to foreign governments. But after the notice, lawmakers or companies that stand
to be injured by the withdrawal
could seek an injunction in federal court to prevent it.
Unions to Politicians: Don’t Meet Us in St. Louis Video
BY ERIC MORATH
At the largest meeting of
organized labor next week,
U.S. unions are shutting out
politicians so they can determine who their friends are.
The question for labor
unions is how to deal with a
Republican White House that
many of its members oppose
but whose policies also appeal
to significant elements of the
labor movement.
President Donald Trump
has peeled support from workers who say they have felt the
sting of globalization. He has
pushed policies—including on
energy and trade—that appeal
to blue-collar workers in fields
such as construction, manufacturing and mining.
But what has become the
majority of organized labor—
service unions such as those
for teachers, government employees and health-care workers—opposes administration
policies such as immigration
restrictions.
Worker advocates must decide how to proceed next week
in St. Louis during the AFLCIO’s
once-every-four-year
convention. There the nation’s
TAXES
largest labor federation will
bring together 56 unions, including the American Federation of Teachers and the
United Mine Workers, to set
the policy tone and pick leadership through the next presidential election.
In a show of political independence, the AFL-CIO didn’t
invite lawmakers of either
party or members of the ad-
Continued from Page One
they’ve set for themselves.
Republicans are optimistic
about their prospects, and
they have been talking about
tax overhaul for more than six
years, kicking around ideas,
holding hearings and offering
blueprints and frameworks.
But they have delayed the moment that’s arriving now—unveiling and voting on a bill
that limits or removes popular
tax breaks—and it’s bound to
be much tougher than any previous stage.
Here is the likely path for
the tax bill through both
houses of Congress:
ing of Alaskan land to oil production.
At first, it looked like negotiations to reconcile those
conflicting positions would
take a week or two. But senators and House members
worked out a deal Thursday
night under which the House
could vote next week without
the need for a formal HouseSenate conference committee.
That would expedite the process of moving a tax bill.
The budget, which President Donald Trump doesn’t
need to sign, allows Congress
to use fast-track reconciliation
procedures. Those allow the
Senate to pass a bill with a
simple majority and not with a
60-vote threshold that would
require Democratic votes.
Budget Deal
House Tax Bill
The Senate and House must
first agree on the same budget
document. The Senate budget
and the one the House passed
earlier this month have some
major differences, but that is
no longer expected to be much
of an obstacle.
First, the Senate budget allows for tax cuts that reduce
revenue and increase deficits
by $1.5 trillion over a decade;
the House version calls for a
revenue-neutral tax bill that
doesn’t increase deficits.
Second, the House budget
ties $203 billion in spending
cuts and other deficit-reducing
ideas to make room for tax
cuts. The Senate budget has
just one such offset, which
generates federal revenue by
potentially allowing the open-
Rep. Kevin Brady (R., Texas),
the top House legislator, says
that after the budget deal is
delivered, his panel will release
its tax bill. That proposal will
fill in many of the blank spaces
in a framework Republicans released in September.
It will spell out exactly
what House Republicans plan
to do with tax incentives for
retirement savings, child tax
credits and other points of
contention. It will also show
income cutoffs for various tax
brackets, giving Americans a
chance to calculate their tax
bill under the new plan.
For businesses, it will show
which companies qualify for a
special 25% rate for “passthrough” businesses such as
partnerships and S-corpora-
ministration to speak at the
convention, a break from past
protocol. In recent conventions, President Barack Obama
and Sen. Elizabeth Warren (D.,
Mass.) were featured speakers.
“The labor movement is at
crisis point,” said Greg Junemann, president of the International Federation of Professional and Technical Engineers
union and a member of the
U.S. Ran $666 Billion
Deficit in Fiscal 2017
AFL-CIO’s executive council.
“We need to strategize a plan
for the next four years, and how
we intend to come together.”
During last year’s presidential election, many unions formally supported Hillary Clinton, but union members voted
for the Democratic candidate
at the lowest rates since 1980.
Unions are grappling with diminished political influence. In
1976, nearly 30% of voters
came from union households.
Last year, it was just 18%, according to Cornell University’s
Roper Center.
Mr. Trump’s administration
has welcomed certain unions
with open arms.
Mr. Trump hosted leaders
of construction unions during
his first week in the Oval Office and was the featured
speaker at North America’s
Building Trades Unions conference in April. That AFL-CIO division represents about a
quarter of 12.5 million total
members.
“Did you ever think you’d
see a president who knows
how much concrete and rebar
you can lay down in a single
day? Believe me, I know,” Mr.
Trump said in his speech.
WASHINGTON—The federal
budget deficit widened in fiscal
2017 to the sixth-largest on record as government spending
growth outpaced growth in tax
collections for the second
straight year, the Treasury Department said.
The budget shortfall grew
to $666 billion in the fiscal
year that ended on Sept. 30,
up $80 billion, or 14%, from fiscal 2016. That tracks with an
estimate from the Congressional Budget Office, which had
predicted a $668 billion deficit
for the latest fiscal year.
Federal tax receipts
reached a record high in fiscal
2017, at $3.3 trillion, thanks to
slightly faster growth, according to a senior Treasury official. But government outlays
also hit a record last year at
nearly $4 trillion, 3% higher
than they were in the previous
fiscal year, thanks to increased
spending on Social Security,
Medicare and Medicaid, as well
as higher interest payments on
the public debt.
As a percentage of gross
domestic product, the deficit
totaled 3.5%, up from 3.2% in
fiscal 2016.
“Today’s budget results underscore the importance of
achieving robust and sustained
economic growth,” Treasury
Secretary Steven Mnuchin said
in a statement accompanying
the report. Mick Mulvaney, the
White House budget director,
said the figures “should serve
as a smoke alarm for Washington” and a reminder to “get
our fiscal hour in order.”
Deficit hawks have warned
that a GOP plan to rewrite the
tax code could worsen the
country’s fiscal situation if it
adds to the deficit. The Senate
approved a budget resolution
Thursday that would allow
Congress to pass a tax cut that
lowers federal revenues by $1.5
trillion over the next 10 years.
Declining government revenues and long-term costs associated with an aging population
are expected to continue pushing up deficits over the coming
decades.
—Kate Davidson
tions and will spell out which
tax breaks go away.
Those details will stir disagreement among interest
groups and House members.
The Ways and Means Committee, where Republicans have a
24-16 edge, will consider
amendments and vote on the
bill. Then it heads to the
House floor, where Republicans can lose 22 members at
most. Republicans will likely
have to make some accommodation for GOP members from
New York and New Jersey,
who oppose the repeal of the
state and local tax deduction
that has been a pillar of the
party’s plans.
House Speaker Paul Ryan
(R., Wis.) has said a tax bill
could pass the House by early
November.
Mr. Trump’s outreach
echoes that of Ronald Reagan’s. Mr. Reagan performed
relatively well with union voters, and sought to court them,
including speaking at an AFLCIO convention.
The current White House
has been slower to engage
with unions outside of manufacturing and construction. It
has made no high-profile outreach to unions representing
federal government workers,
which protested the federal
hiring freeze and intent to
shrink the size of government,
or to the Service Employees
International Union, one of the
largest unions outside of the
AFL-CIO.
A White House spokesman
said it is open to working with
anyone interested in helping
the president fulfill his
agenda.
Labor Secretary Alexander
Acosta said: “This administration cares deeply about job
creation and opportunity for
all Americans, and hearing
from all stakeholders—including business, labor and community groups—is part of delivering for the American
workforce.”
Senate Tax Bill
The Senate Finance Committee will release its own tax
plan. Lawmakers expect it to
be different from the House
version, though it isn’t clear
how far apart they will be.
In the committee, the GOP
has a 14-12 edge, meaning it
will have to keep all its members on board. For now, votes
from Democrats aren’t likely.
The Senate bill will face
some constraints because of the
fast-track procedures. It can’t
add more than $1.5 trillion to
deficits over a decade and it
can’t increase deficits at all after a decade. Those rules mean
Republicans may schedule some
of their tax cuts to expire.
On the Senate floor, Republicans can lose two members and
still pass a bill. That may be a
challenge: Sen. Rand Paul (R.,
Ky.) has called for significant
tax cuts even if they increase
budget deficits, Sen. Bob Corker
(R., Tenn.) has pledged not to
increase the budget deficit, and
Sens. Mike Lee (R., Utah) and
Marco Rubio (R., Fla.) are seeking bigger child tax credits that
aren’t in the GOP plan so far.
Conference and
President
Once the House and Senate
have passed their bills, they will
have to bridge any differences,
presumably in a House-Senate
conference. Then they will vote
again and send the measure to
Mr. Trump for his signature.
—Kristina Peterson
contributed to this article.
Conflicts
With Kelly
Criticism
BY NATALIE ANDREWS
AND ARIAN CAMPO-FLORES
WASHINGTON—The White
House on Friday stood by its
criticism of Florida Rep. Frederica Wilson, despite a video
showing that Chief of Staff
John Kelly had incorrectly
characterized a speech she
gave at a 2015 unveiling of an
FBI office in South Florida.
Ms. Wilson’s constituent,
Army Sgt. La David Johnson,
was one of four soldiers killed
in an ambush in Niger earlier
this month. Ms. Wilson was
riding in a car Tuesday with
his family when President
Donald Trump called to offer
condolences.
According to Ms. Wilson,
the call was placed on speakerphone as the president told
the widow that her husband
“knew what he signed up for,
but I guess it still hurt”—a
message she said hurt Mr.
Johnson’s widow. The congresswoman recounted the
story this week, upsetting the
White House, which accused
Ms. Wilson of mischaracterizing the call.
Mr. Kelly on Thursday
echoed the White House’s account of the conversation,
while also likening Ms. Wilson
to “empty barrels making the
most noise” for criticizing Mr.
Trump. He also had accused
the congresswoman of touting
in 2015 her own efforts in securing funding for a Federal
Bureau of Investigation building in the Miami area, rather
than praising the office’s
namesakes: two agents killed
during a shootout.
But Ms. Wilson hadn’t been
elected to Congress when
funding for the building was
approved. She did push legislation through Congress naming the office for the slain
agents.
A video of the event released by the South Florida
Sun Sentinel shows her praising those agents and their
families. At one point, she
calls for FBI agents in the audience to stand and receive
applause. In her remarks, Ms.
Wilson described her role and
that of other lawmakers in the
naming process, but doesn’t
discuss the building’s funding.
White House Press Secretary Sarah Huckabee Sanders,
questioned on Friday about
the discrepancy between Mr.
Kelly’s account and the video,
again labeled Ms. Wilson an
“empty barrel” and said the
congresswoman was “all hat,
no cattle.”
—Rebecca Ballhaus
contributed to this article.
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THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | A5
* * * *
U.S. NEWS
It has been a month since
Hurricane Maria made landfall
in Puerto Rico as a Category 4
storm and pummeled the island with sustained winds of
155 mph. The storm has devastated Puerto Rico’s water system, power grid, road network
and cellphone infrastructure,
and is responsible for at least
48 deaths.
By Kara Dapena,
Daniela Hernandez
and Arian Campo-Flores
ELIE NADELMAN Head of a woman
Highways and bridges suffered heavy damage, cutting
off some towns and hampering
delivery of relief supplies such
as food and water. Of Puerto
Rico’s 5,073 miles of road, only
392 were open earlier this
week, according to the Federal
Emergency
Management
Agency.
“We have found areas where
it was impossible to get to
some of these communities,”
said Alejandro De La Campa,
FEMA’s federal coordinating
officer in Puerto Rico. “We’re
still doing air droppings in helicopters to bring food and water to some families.”
In the four weeks since the
storm hit, the recovery has
been uneven. By a few measures, daily life rebounded
quickly.
Gas stations, essential to
providing fuel for generators,
steadily came back online. At a
station in San Juan this month,
Julio Velilla, a part-time Uber
driver and Herbalife salesman,
said lines had gone from “demonically” long to manageable.
People sometimes waited without knowing if they would be
able to get fuel once they
reached the front of the line,
he said.
He had been in line that day
for about an hour. On a previous gas run, he had risen be-
fore dawn and waited three
hours for the station to open.
Most supermarkets were
closed in the storm’s aftermath. But about 90% have reopened. Yet bottled water remains difficult to obtain, and
the few places that manage to
keep it in stock typically place
limits on how much customers
can buy. Some aid workers say
price gouging on basics such
as food and water is growing.
Many supermarkets are
still operating on generator
power, which highlights the
most daunting obstacle to
Puerto Rico’s return to normalcy: lack of electricity. With
the grid slow to come back
online, nearly eight in 10
Puerto Ricans are without
power. Cellphone service also
remains out for swaths of the
island, complicating communication and coordination in recovery efforts.
Bryan Schultz, a doctor with
Lincoln Hospital in the Bronx
who volunteered in Puerto
Rico, said the island’s shat-
The storm devastated
Puerto Rico’s water
system, power grid
and road network.
tered infrastructure and unreliable cell and internet service
make it difficult for caregivers
to help patients. A lack of connectivity at local pharmacies
means that pharmacists sometimes can’t access insurance
policies and medical records to
fill prescriptions, he said. That
leaves patients having to pay
out of pocket, which many
can’t afford. The U.S. Census
Bureau says 44% of Puerto Ricans live in poverty.
MARIO TAMA/GETTY IMAGES
A Month Later,
Puerto Rico
Still Struggles
Resident Mirian Medina stood on her property in San Isidro, Puerto Rico, earlier this month, weeks after Hurricane Maria hit.
Many people lost their cars
in the storm, making it nearly
impossible for them to get
around or go to the island’s
hospitals. Some medical-supply
vendors, volunteer medical
workers and churches have set
up systems to try to reach patients in their homes. But some
roads have caved in, and many
remain impassable, blocked by
mudslides.
Maria Santos, 45 years old,
drove to San Juan from Cidra—about 30 miles south of
the capital—to get phone service so she could contact relatives in the U.S. She wanted to
speak with them about bringing a generator to the island.
Her house was still without
power, and Ms. Santos, a diabetic, needed to refrigerate her
insulin.
Around the island, people
park their cars alongside
roads, bridges or highways to
get a cellphone signal.
Access to clean water is limited and has been slow to improve over much of the island.
The storm severely damaged
Puerto Rico’s water system,
Slow Recovery
Many people in Puerto Rico still lack access to water, electricity and
cellphone service in the wake of Hurricane Maria, which struck the
island on Sept. 20.
Customers with service
Working cell sites, by county
100%
20%
Sept. 21
80
40%
60%
San Juan
60
Water
40
Maria’s path
Oct. 19
20
Electricity
0
Sept. 21
Oct. 1
10
19
Sources: Puerto Rico Aqueducts and Sewers Authority (water); U.S. Department of Energy
(electricity); Federal Communications Commission (cell sites)
THE WALL STREET JOURNAL.
which was “already in pretty
bad shape,” said Erik Olson, director of the Natural Resources
Defense Council’s health program. The risk increased that
wastewater would end up
mixed with sources of water
people use to drink, bathe and
cook. Wastewater often contains bacteria and toxic chemicals that can be health hazards. Throughout the island,
there have been reports of eye
infections and gastrointestinal
diseases associated with exposure to contaminated water.
Authorities have advised
residents to boil water, said Ismael Pagan Trinidad, the director of the civil engineering
and surveying department at
University of Puerto Rico,
Mayagüez. But the lingering
power problems mean that
isn’t always possible.
“With the lack of electricity,
everything gets more complicated,” he said.
Roughly a third of island’s
nearly 70 hospitals are still
running on generators, according to FEMA.
“That is a very fragile situation,” said Jaime Pla-Cortes,
the executive president of the
Puerto Rico Hospital Association. “Those generators were
not meant to be operating
forever.”
At several hospitals where
generators failed, critical patients were airlifted to other
facilities, including the hospital ship the USNS Comfort,
which has 250 beds.
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
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A6 | Saturday/Sunday, October 21 - 22, 2017
NY
THE WALL STREET JOURNAL.
* *****
WORLD NEWS
Xi Pushes for Place Alongside Mao Pentagon
Considers
China’s president aims
to enshrine his name
and ideological slogan
in constitution
Ramp Up
In Africa
A video depicting President Xi Jinping handling an assault rifle is shown at a Beijing exhibit on his first five years in power.
nese for clues to his power.
Ideology is still a critical tool
for the leadership to steer the
89-million-member party.
In his nearly 3½-hour long
speech Wednesday to open the
party congress, Mr. Xi introduced a new slogan—“Thought
on Socialism with Chinese
Characteristics for a New Era.”
The abstruse formulation drew
swift praise from the party’s
top leadership. They attached
Mr. Xi’s name to the front of
the already long rubric, fusing
the label with the leader.
The congress votes on the
charter revision Tuesday. Adding Mr. Xi’s theory with his
name attached means he would
join Mao and Deng as the only
leaders with eponymous ideological slogans that appear in
the party’s constitution.
In the hierarchy of ideologi-
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cal nomenclature, “thought” is
considered the pinnacle after
“Mao Zedong Thought” was
placed in the charter in 1945.
“Theory” ranks second, as in
“Deng Xiaoping Theory,”
which was adopted in 1997
The new slogan
emphasizes above all
the party’s leadership
over everything.
months after the reformist
leader’s death.
Mr. Xi’s “Thought on Socialism with Chinese Characteristics for a New Era” seemingly
covers all decision making and
mentions critical challenges to
China’s continued development. Its 14 parts range from
better living standards and foreign affairs to “harmony between human and nature” and
first and foremost, the party’s
leadership over everything.
“The more general and abstract the label is, the more
all-encompassing the philosophy becomes, and the greater
the authority it signifies,” said
Mr. Ding, the Hong Kongbased professor.
Mr. Xi’s new slogan echoes
“socialism with Chinese characteristics,” which was formulated in the 1980s during
Deng’s rule and provided an
ideological footing for the
Communist Party’s embrace of
market remedies.
By declaring a “new era,”
Mr. Xi is redefining Deng’s
ideas, particularly his prag-
matic approach in sidelining
ideology in favor of economic
growth and allowing the party’s
dominance to slip, said Wu
Qiang, a current-affairs commentator and former politics
lecturer at Beijing’s Tsinghua
University. “Xi wants to emphasize the party’s leadership over
everything,” Mr. Wu said.”
Staking out new ideological
ground could spark dissension
within the party. If President
Xi’s name is added to the
party charter, many in the
party will be watching to see
whether his theory is publicized and cast in a way that
harks back to Mao, some analysts said. Such a step, they
said, would reinforce worries
that Mr. Xi plans to become a
dictator and do away with the
collective-leadership system in
place for four decades.
The Pentagon’s top official
is considering ways to increase
the tempo of U.S. operations in
Africa in the wake of a deadly
Oct. 4 ambush in Niger by militants affiliated with the Islamic State extremist group, a
Republican senator said Friday.
Defense Secretary Jim Mattis held out the prospect of expanded U.S. operations in a
Capitol Hill meeting with Sen.
Lindsey Graham (R., S.C.) a
member of the Senate Armed
Services Committee, Mr. Graham said.
Mr. Graham didn’t provide
additional details, and the
Pentagon didn’t specify what
new plans it is considering in
Africa, where top U.S. commanders have cautioned for
months that American forces
across the continent are minimally supported and are operating without adequate intelligence and other assets.
Several thousand U.S. troops
operate in a dozen or more
countries across Africa, helping
train local forces and battling
militant groups affiliated with
Islamic State and al Qaeda.
Mr. Mattis said he also met
with Sen. John McCain (R.,
Ariz.), the chairman of the
armed services committee, to
discuss issues of transparency
at the Pentagon.
The Niger ambush, which
killed four U.S. soldiers and
wounded two, exposed intelligence gaps and drew criticism
from lawmakers. The Federal
Bureau of Investigation has
joined a probe of the attack.
A Pentagon official said Friday that there were no plans
to announce expanded authorities for U.S. troops in Africa
but added such an action is
“certainly possible.”
Abe Parlays Korea Threat Into Asset
BY ALASTAIR GALE
TOKYO—Japanese Prime
Minister Shinzo Abe is on
course for a big electoral victory on Sunday, helped by economic growth, opposition disarray and the threat from
North Korea’s nuclear program.
An Abe victory would ensure President Donald Trump
retains a trusted ally in his
campaign to isolate North Korean leader Kim Jong Un,
whose belligerence is giving
Mr. Abe an opportunity to
highlight his security credentials.
Recent polls in three Japanese newspapers forecast Mr.
Abe’s ruling Liberal Democratic
Party-led coalition will keep its
two-thirds “supermajority” in
parliament’s lower chamber.
Reaching that threshold would
allow Mr. Abe to hold a referendum on changes to the constitution, including his goal of
recognizing Japan’s right to
have a military for the first
time since its World War II defeat.
North Korea has been a major theme of Mr. Abe’s stump
speeches, a reflection of broad
public support for his alignment with Mr. Trump’s hardline approach in confronting
Pyongyang. Six out of 10 Japanese favor sanctions on North
Korea in response to its nuclear provocations, according
to a poll released by the Pew
Research Center this week.
The Kim regime’s launch of
two missiles that flew over
Japan in recent weeks, along
with many other missile tests
and a nuclear-bomb detonation, have underlined the
threat.
“This election is about
whether we can defend Japan
from North Korea and ensure
we live happily,” Mr. Abe said
in a speech this week.
Under a previous prime
minister, Mr. Abe was put in
charge of leading Japan’s demands for Pyongyang to return
Japanese citizens abducted by
North Korea in the 1970s and
’80s. Five were repatriated in
2002 but Japan says at least a
dozen remain in North Korea.
Mr. Abe made the abduction
issue a priority when he became prime minister for the
KIM KYUNG-HOON/REUTERS
BEIJING—Chinese President
Xi Jinping has collected titles,
like commander-in-chief, to
signify his ascendance as the
country’s most powerful
leader in decades. Now he is
being hailed as its most
thoughtful leader too.
A Communist Party congress under way to hand Mr. Xi
a second five-year term is also
amending the party’s constitution to add an ideological slogan associated with him—possibly with his name attached, a
mark previously conferred only
on revolutionary patriarch
Mao Zedong and market reformer Deng Xiaoping.
The accolade would invest
Mr. Xi with more authority,
potentially giving the 64-yearold a preponderant say in policy debates over China’s direction for years and perhaps
decades to come, party insiders and politics experts said.
“Writing Xi Jinping’s name
into the party charter is like
making his words part of the
holy scripture,” said Ding Xueliang, a professor and China
politics expert at Hong Kong
University of Science and
Technology. “As long as Xi’s
alive, his words would matter.
He would have the final say.”
What to call Mr. Xi’s
theory? He is associated with
a plethora of catchphrases
coined over his five years in
office. His “China Dream”
evoked a prosperous, strong
nation. The “Four Comprehensives” touched on rule of law
and disciplining party members. Recently there was the
“Four Greats,” a call to struggle for national greatness.
How the party labels his
ideas matters, with every nuance to be scrutinized by
party members and other Chi-
BY BEN KESLING
AND NANCY A. YOUSSEF
NG HAN GUAN/ASSOCIATED PRESS
BY CHUN HAN WONG
Japanese Prime Minister Shinzo Abe is favored to win a parliamentary majority in Sunday’s elections.
Northern Tailwind
Japanese Prime Minister Shinzo Abe's cabinet reshuffle triggered an
initial rebound in his approval ratings, while North Korea's increased
threats have allowed him to consolidate those gains.
Approval ratings for Mr. Abe’s cabinet*
60%
July 2
Mr. Abe’s party
suffers heavy defeat
in Tokyo elections
55
50
45
Aug. 29
North Korea
fires a missile
over Japan
Sept. 3
North Korea
conducts a
nuclear test
Sept. 15
North Korea fires
another missile
over Japan
Aug. 3
Mr. Abe reshuffles
his cabinet
40
Sept. 25
Mr. Abe calls
national election
35
30
J
J
A
S
O
*Aggregated figures based on major newspaper polls. Sample size varies from about 240 to
7,750. Margin of error isn’t available.
Source: Sasakawa Peace Foundation USA
THE WALL STREET JOURNAL.
first time in 2006. After several rounds of talks, the two
nations announced a deal in
2014 under which Pyongyang
pledged to carry out a new investigation into the remaining
missing people.
North Korea dragged its
heels before stating that the
deal had been terminated because of Japan’s support for
international sanctions in re-
sponse to the regime’s nuclearweapons testing. Japanese officials now say they have little
hope for a negotiated settlement.
“I understand that some are
worried [about confronting
North Korea], but we’ve been
deceived by them in talks for
over 20 years,” Mr. Abe said in
another speech this week.
As the nuclear tensions have
unfolded this year, the 63-yearold leader has forged a close
relationship with Mr. Trump,
who has sought the prime minister’s counsel before that of
South Korea’s dovish president, Moon Jae-in.
Mr. Trump is scheduled to
meet with families of abductees when he visits Japan in
early November.
Mr. Abe’s popularity also
draws support from six successive quarters of economic expansion as evidence that his
policy of “Abenomics” is paying off. His critics say growth
remains weak and isn’t filtering through to consumers.
Meanwhile, some of Mr.
Abe’s opponents say he has unfairly used the North Korean
crisis to his advantage by fanning the fears of the public and
calling an election more than a
year before a legal deadline.
At a speech by Mr. Abe near
a railway station in Tokyo on
Wednesday, one protester
came with a sign calling for
the prime minister to resign.
“He’s trying to stay in
power by hyping the threat
from abroad,” said 69-year-old
Mutsumi Okochi. “North Korea’s target is America. They’re
not doing this thinking they’ll
attack Japan.”
—Peter Landers
contributed to this article.
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | A7
* * * * * *
WORLD NEWS
U.S. Refocuses on ISIS Strikes Back in Egypt
Pakistan ‘Havens’
ous administrations.
Pakistani officials said they
are prepared to push militants
into Afghanistan, but not to
open a new front to fight them.
Pakistan’s military is stretched
battling terrorist groups that
target their own country, the
officials said. “Afghanistan’s
war will not be fought on Pakistani soil,” Defense Minister
Khurram Dastagir said.
Islamabad also believes that
it doesn’t make sense to make
enemies of Afghan militants
that the U.S. will ultimately
ask Pakistan to help bring into
peace talks, officials said.
Pakistan won praise from
President Donald Trump last
week when it rescued a kidnapped
American-Canadian
family from militants. Pakistan
said the family had been held in
Afghanistan for five years and
that Pakistani forces took action
after they were moved to Pakistan for the first time last week.
But Central Intelligence
Agency Director Mike Pompeo
said Thursday that the Coleman-Boyle family had been
kept in Pakistan during their
five years of captivity; U.S. officials later made clear they
could only say the family was
there the bulk of the time.
The assessment underscores
the U.S. view that militants enjoy sanctuary in Pakistan. The
family was held by the Haqqani
network, U.S. officials said.
JAMAL TARAQAI/EPA/SHUTTERSTOCK
ISLAMABAD—Secretary of
State Rex Tillerson is heading
to Pakistan next week with a
demand that Islamabad do
more to eliminate militant havens on its territory, reviving
a familiar U.S. refrain despite
a recent hostage rescue that
signaled improved counterterrorism cooperation.
The U.S. has telegraphed its
message in recent days with
official statements and what
local tribesmen said was a series of drone strikes on both
sides of the Pakistan-Afghanistan border. Residents said an
unusually intense series of
around 16 missiles had struck
the area between Monday and
Friday, killing more than 40
militants from the Haqqani
network, an ally of the Taliban.
The U.S. has maintained its
alliance with Pakistan for years
even as American officials complained that Afghan insurgents
were taking sanctuary there
from the war across the border.
“We expect Pakistan to take
decisive action against terrorist
groups based there that
threaten its own people and the
broader region,” Mr. Tillerson
warned in a speech Wednesday.
Mr. Tillerson’s message represents a revival by the Trump
administration of a source of
tension between the two sides
that persisted through previ-
Supporters of a banned Islamic charity walking through the city
of Quetta at an anti-U.S. protest in August.
By Rory Jones in
Tel Aviv and Dahlia
Kholaif in Cairo
The offshoot group, known
as Sinai Province, mounted the
attacks a few days after Egypt
brokered a reconciliation deal
between rival Palestinian factions Hamas and Fatah. That
deal followed an agreement by
Hamas, which rules the Gaza
Strip, to sever ties with the Islamist extremists in neighboring Sinai.
Sinai Province struck just
as Islamic State was losing its
de facto capital of Raqqa in
Syria this week to U.S.-backed
ground forces.
“This [fighting] was meant
to show the Egyptians that despite what happens in Raqqa,
and despite the understandings with Hamas, it won’t
change what is happening on
the ground,” one Israeli official said of the motive for the
attacks. Militants in Sinai also
launched rockets into neighboring Israel on Sunday, but
no one was hurt, according to
Israeli officials.
Islamic State has now forfeited all of its major urban
strongholds in Iraq and Syria
and holds only a fraction of
the territory it captured in a
2014 blitz across the two
countries. The group is expected to look for other weak
states where it already has a
presence—such as Egypt and
Libya—to embed itself going
forward.
Militants on Monday attacked checkpoints and a bank
in the Sinai town of Al Arish,
killing three policemen, a bank
security guard and a civilian,
the Egyptian Interior Ministry
said. A bank official said the
assailants stole between 5 million
Egyptian
pounds
($283,500) and 10 million
Egyptian pounds.
KHALED OMAR/XINHUA/ZUMA PRESS
BY SAEED SHAH
Islamic State’s branch in
the Sinai Peninsula mounted
two deadly attacks against
Egyptians this week, sending a
message it can still strike targets outside its fast-crumbling
caliphate in Syria and Iraq.
Palestinian workers install barbed wire along the Gaza border with Egypt, near Rafah.
ISIS in Sinai Peninsula
M e d ite rra n e a n Se a
Tel
Aviv
Sheikh Zuweid
Six police officers killed
in attack Sunday
Gaza
Strip
ISRAEL
Port Said
40
Su ez C a n a l
EGYPT
Suez
Al Arish
Five killed in
attack on
police and
civilians
Monday
S INA I
P EN IN SULA
25 miles
25 km
THE WALL STREET JOURNAL.
The robbery indicated the
group understands that funding from Syria and Iraq is drying up, current and former Israeli officials said. This could
also prompt kidnappings and
ransom demands to replenish
the group’s coffers, they said.
On Sunday, a day before the
bank robbery, militants attacked a checkpoint at the Sinai town of Sheikh Zuweid,
killing six members of the se-
curity forces, according to the
Egyptian army.
Sinai Province does “not
like the idea of closer relations
between…Hamas and Egypt.
So they will try to provoke
Egypt,” said Kobi Michael, a
senior research fellow at the
Tel Aviv-based Institute for
National Security Studies who
is also former head of the Palestinian desk at Israel’s Ministry for Strategic Affairs.
In response to this week’s
attacks, Egypt canceled a
planned four-day opening of
the only crossing from the
Gaza Strip to the Sinai Peninsula. The event was planned
as part of Egypt’s brokering
of the Palestinian reconciliation deal.
Sinai Province was created
by roughly 1,000 jihadists who
were part of a group previously known as Ansar Beit alMaqdis. That group pledged
allegiance to Islamic State in
November 2014. It has since
launched a series of deadly attacks across Egypt, many targeting Christians, and claimed
responsibility for blowing up a
Russian jet in 2015 and killing
all 224 people on board.
Egypt’s and Israel’s shared
concern about the group has
sparked deeper security cooperation. Israel let Egypt bring
more sophisticated weapons
into Sinai than allowed under
their 1979 peace treaty. It also
launched
drone
strikes
against militants to help
Egyptian forces, according to
Israeli media.
Egypt’s 2013 economic
squeeze of Hamas in concert
with Israel helped cause the
2014 war in Gaza. Hamas’s
armed wing, in turn, developed ties with Sinai Province.
Hamas mended ties with
Egypt this year and pledged to
cut relations with Islamist militants and better police its
border. Egypt has promised to
open the Rafah crossing more
regularly and is leading attempts to reconcile Hamas
with the Palestinian Authority
and unify the Palestinian national movement
These changes will likely
cause Sinai Province to feel
cornered and more willing to
launch attacks, said Mr. Michael.
—Nazih Osseiran in Beirut
contributed to this article.
FROM PAGE ONE
WELLS
SPENCER PLATT/GETTY IMAGES
Continued from Page One
confirmed the departures after inquiries from The Wall
Street Journal.
Separately, the Office of
the Comptroller of the Currency earlier this week sent a
confidential report to Wells
Fargo about the auto-insurance product issues, according to a person familiar with
that matter. The report said
the bank may need to refund
to customers more than the
$80 million the bank had initially cited, the person said.
The foreign-exchange firings come weeks after Wells
Fargo Chief Executive Timothy Sloan was castigated during a Senate Banking Committee hearing for the bank’s
conduct and culture, such as
how the sales problems happened for many years and
why more wasn’t done to stop
them. Sen. Elizabeth Warren
(D., Mass.) called for widerreaching change within the
bank and for Mr. Sloan’s firing.
Mr. Sloan defended the
bank and its handling of
problems,
pointing
to
changes he has made in the
past year in the operations of
the retail-banking business.
Mr. Sloan rose through the
ranks of Wells Fargo’s wholesale and investment-banking
business, rather than the retail-banking side, a fact his
supporters have noted to rebut critics who have questioned whether a 30-year veteran of the firm can bring
about big changes.
Within the investment
bank’s foreign-exchange operation, those fired with cause,
people familiar with the matter said, were Simon Fowles,
head of foreign exchange
trading; Bob Gotelli, head of
foreign-exchange sales; Jed
Guenther, a regional head of
foreign exchange; and Michael Schaufler, chief spot
dealer.
The bankers didn’t respond
to requests for comment or
declined to comment.
The prior head of the foreign exchange group, Sara
Wardell-Smith, was moved to
a different role at the bank,
DEFY
Your Age.
Issues in Wells Fargo’s foreign-exchange business emerged
separately from the review sparked by the firm’s sales scandal.
the people said. Ms. WardellSmith’s LinkedIn profile refers to a role beginning in October leading part of Wells
Fargo’s financial-institutions
group. She had held several
roles in the foreign-exchange
group after joining Wells
Fargo in 1995 and led the
group for the past decade.
Ms. Wardell-Smith didn’t
respond to requests for comment.
The bank spokeswoman
said Ms. Wardell-Smith accepted a new position as
Americas regional leader in
Wells Fargo’s financial-institutions group.
The foreign-exchange
group’s chief was
moved to a different
role, people said.
The spokeswoman added
that the bank’s foreign-exchange business “will continue to serve our clients under the leadership of Ben
Bonner.”
Wells Fargo’s investmentbanking, securities and markets division, known as Wells
Fargo Securities, is a fraction
of the size of its peers. Its
U.S. investment-banking market share is just about 4% as
of September, according to
research firm Dealogic.
And Wells Fargo’s foreignexchange desk doesn’t do as
much business as other
banks, industry participants
have said. Wells Fargo
doesn’t break out financial
results or metrics for that
group.
Unlike many other big
banks, Wells Fargo’s foreignexchange operations weren’t
caught up in investigations
into collusion between market participants to move foreign-currency rates for their
own financial benefit. Those
investigations led to more
than $5 billion in combined
penalties at U.S. and European banks and a guilty plea
to criminal charges in recent
years.
In regard to the retail-bank
problems, the report sent to
the bank by the OCC this
week said Wells Fargo was
too slow to identify and correct problems related to autoinsurance products known as
collateral protection insurance, the person familiar with
the matter said. The OCC report was first reported by the
New York Times.
The OCC did acknowledge
that the bank has ended the
auto-insurance
practices,
changed management and restructured the group responsible for the sales.
An OCC spokesman declined to comment on continuing supervisory matters.
Another
Wells
Fargo
spokeswoman reiterated that
the bank discontinued the
product at issue.
“We will continue to work
with regulators on the remediation and will make improvements to our auto-lending
business,”
the
spokeswoman said.
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A8 | Saturday/Sunday, October 21 - 22, 2017
* *****
THE WALL STREET JOURNAL.
WORLD NEWS
AustrianLeaderVowsPro-EuropeStance
Young conservative
reassures EU but
prepares for coalition
with far-right party
The 31-year-old Austrian
who won his country’s parliamentary elections this week
by poaching votes from farright nationalists now faces
the test of figuring out how to
govern with them.
Austria’s head of state on
Friday formally invited Sebastian Kurz, who led his Austrian
conservatives to first place in
parliamentary elections on
Sunday after copying the antiimmigration stance of the farright Freedom Party, to form a
new government. Mr. Kurz is
widely expected to do so by
forging a coalition with the farright group, which has frequently come under scrutiny
for xenophobic rhetoric and
nostalgia for the Third Reich.
In a measure of the sensitivity of that approach, Mr.
Kurz sought to allay fears
among European Union officials during a trip to Brussels
on Thursday. Many European
leaders, facing their own challenges from antiestablishment
forces, are nervous about the
Austrian’s political experiment
of trying to tame nationalists
by co-opting them.
Mr. Kurz, set to become one
of the world’s youngest heads
DOMINIC EBENBICHLER/REUTERS
BY MARCUS WALKER
AND VALENTINA POP
Sebastian Kurz on Sunday after his party’s election victory. ‘Any government that I form will be pro-European,’ he said on Thursday.
of government, made a point
of reassuring the EU that he
fully supports the bloc. But he
also made clear that he won’t
be pressured. “The decision on
how we form a government
will be made in Austria,” he
told reporters after meeting
European Commission Presi-
dent Jean-Claude Juncker.
Mr. Kurz dismissed talk
that he would move Austria
closer to the EU-skeptic camp
of Central European nationalists who govern Hungary and
Poland, calling it an “untruth”
spread by left-wing opponents.
“I am a pro-European,” Mr.
Kurz said Thursday. “I see it
as duty of my generation to
actively shape the EU positively. Any government that I
form will be pro-European.”
EU officials privately say
they were concerned about
how much Mr. Kurz would be
able to limit far-right influ-
ence inside a coalition. Publicly, they expressed confidence.
“Sebastian Kurz has a clear
pro-European agenda and I
have no worries that Austria
will abandon its pro-European
course,” said Manfred Weber,
a German conservative ally of
Chancellor Angela Merkel who
chairs the center-right caucus
in the European Parliament.
The Freedom Party has backed
away from questioning Austrian EU membership after it
proved unpopular.
Mr. Kurz’s strategy at home
will be closely watched around
Europe, where mainstream political parties are looking for a
way to weaken the appeal of
antiestablishment newcomers
among voters unhappy with
their governing elites. Recognizing the mood, the young
Austrian rebranded his centerright People’s Party, long seen
as stuffy and bureaucratic, as
a youthful, personality-driven
reform movement, even renaming it the “Sebastian Kurz
List” on ballot papers.
His self-styled insurgency
drew comparisons with that of
the 39-year-old French President Emmanuel Macron,
whose pro-business, pro-EU
movement crushed France’s
established parties in elections
this year. Like Mr. Macron, Mr.
Kurz promises to spur economic growth by cutting taxes
and shrinking the state.
Unlike the Frenchman, Mr.
Kurz has made tough controls
on immigration another main
theme. He has called for shutting down Islamic kindergartens, curbing social benefits
for refugees and EU migrant
workers, and ending uncontrolled migration across the
Mediterranean by setting up
EU asylum-processing camps
in North Africa.
Catalan Crisis Tests Rajoy’s Plan for Patience EU Inches
BY JEANNETTE NEUMANN
believed that my principal obligation as the prime minister
is to abide by the law and ensure it is abided by, safeguarding and securing democracy,”
Mr. Rajoy said recently.
The premier, 62 years old,
is from Galicia, a region in
northwest Spain that, like Catalonia, has its own language
and distinct culture, but it has
never seriously embraced separatism.
A folksy Spanish saying
about Galicians holds that
when coming across one on a
staircase, it is never clear
whether he is going up or
down.
Mr. Rajoy has long played
down the secessionist threat.
During Spain’s economic crisis,
support for independence
among Catalans nearly doubled to roughly 48% of voters,
according to polls. But Mr. Ra-
IRAQ
MEXICO
Kurds Blame U.S.
For Loss of Territory
Electoral Prosecutor
Is Fired for Disclosure
Several hundred Kurdish demonstrators protested outside the
U.S. Consulate in the capital of
the semiautonomous Kurdish region on Friday, accusing one of
their closest allies of standing by
as Iraqi forces dislodged them
from a contested territory in the
north of the country.
Many have questioned why
President Donald Trump didn’t
intervene to defend them
against Iraqi forces, which include Shiite paramilitary groups—
some of them backed by Iran.
Both Washington and Tehran
warned the Kurds against holding
a referendum on independence on
Sept. 25. But Kurdish leaders
pressed ahead, prompting a backlash from neighboring states and
Iraq’s central government.
—Isabel Coles
Mexico’s top election-corruption prosecutor was fired Friday
while investigating whether bribes
allegedly received by a former
head of the state oil firm were
used to finance the campaign of
President Enrique Peña Nieto.
Santiago Nieto, head of the
electoral-crimes division of the Attorney General’s Office, was fired
two days after he told a local
newspaper that the former head
of Petróleos Mexicanos from
2012 to 2016 sent him a letter to
pressure him to publicly declare
him innocent of any wrongdoing.
The Attorney General’s Office
said Mr. Nieto, no relation to the
president, was fired for having
breached the internal code of
conduct prohibiting disclosure of
an ongoing investigation.
—Juan Montes
DAN KITWOOD/GETTY IMAGES
MADRID—As Catalonia’s
separatists have gathered momentum in their bid for independence from Spain, lawmakers in Madrid have beseeched
Prime Minister Mariano Rajoy
to strip the restive region of
some of its powers.
But for weeks, Mr. Rajoy
counseled patience. He has
stuck to a script that has
served him well in other crises: Play for time to allow
cooler heads to prevail—and
raise the chance that opponents will make a misstep.
“We have been very prudent.
We have tried in every way
possible not to reach such a
difficult situation,” Mr. Rajoy
told reporters Friday in Brussels.
While his methodical approach has helped make him
one of Europe’s longest-serving heads of government now
in power, it is colliding with
the defiance of separatists
who also believe that patience
is an underrated political virtue. They spent years preparing to stage an unauthorized
vote on secession on Oct. 1 and
declared independence for the
wealthy northeastern region,
only to suspend it moments
later and call for negotiations
with Madrid.
The stalemate has pushed
Mr. Rajoy into a role he had
sought to avoid: He will be
Spain’s first prime minister to
invoke the country’s constitution to quell a regional insurrection. On Saturday, his government will decide how to
deploy never-used legal powers to revoke at least part of
Catalonia’s prized autonomy,
possibly targeting the regional
police force.
Characteristically, Mr. Rajoy
joy and his allies likened secessionist support to a soufflé
that would deflate as the economy improved. Pro-independence sentiment did cool, but
remained higher than before
the crisis, standing at about
35% this past summer.
“There probably was a window of opportunity that was
missed in the sense that Rajoy
didn’t invest too much time or
effort exploring the possible
reforms that might have
brought some of these people
back into the fold,” said
Charles Powell, director of
Spain’s Elcano Royal Institute
think tank. Now, “how do we
win back the hearts and minds
of those people who have become disaffected?”
Mr. Rajoy also appears to
have miscalculated in expecting an implosion of the separatist coalition, a hodgepodge
of anticapitalists and conservative, pro-business lawmakers united only by their bid to
break with Spain.
While cracks have appeared,
the bloc has so far held together. Some Catalan separatists, determined to test Mr.
Rajoy’s staying power, like to
recall the motto of one of the
fathers of the modern Catalan
nationalist movement: “Hoy
paciencia, mañana independencia.” Patience today, independence tomorrow.
As a result, it may eventually take new leadership on
both sides to bring a lasting
solution to the crisis. “It’s the
logic of emotion battling
against the logic of rules, the
logic of law,” said Javi López, a
member of the European Parliament for the Catalonia Socialist Party, which opposes
unilateral
independence.
“There isn’t much middle
ground.”
Spanish Prime Minister Mariano Rajoy’s government is set to revoke part of Catalonia’s autonomy.
has set an agenda that won’t
see the Senate—which needs
to ratify such a move—vote
until later this month, giving
the pro-independence separatists even more time to back
down, something they have
shown no sign of doing.
Mr. Rajoy “thinks that many
crises are resolved with time,”
said José María Beneyto, a
professor and former Popular
Party lawmaker who worked
with the prime minister. “He
thinks that Spaniards tend to
initially have a passionate,
emotional reaction and that,
over time, those bursts of passion cool down. He believes in
people’s ability to be reasonable.”
Critics question whether
Mr. Rajoy’s deliberate strategy
is the right one. Mr. Rajoy
“has continued to put off political action,” says Ignacio Ju-
rado, an analyst with Madridbased political-risk consulting
firm Quantio. “We’ve gotten
here because at no point has
he wanted to lead the political
response.”
Mr. Rajoy’s style has deep
‘We have tried in
every way possible
not to reach such a
difficult situation.’
roots. The son of a judge, Mr.
Rajoy was steeped in respect
for the law from a young age.
At 24, he became Spain’s youngest-ever property registrar, a
civil servant who authenticates
and maintains public real-estate records. “I have always
SAFIN HAMED/AGENCE FRANCE-PRESSE/GETTY IMAGES
WORLD WATCH
Kurds demonstrated outside the U.S. Consulate in Erbil, the capital of semiautonomous Iraqi Kurdistan,
with some carrying banners reading: ‘American people, how can you allow this Iranian aggression?’
Forward
In Talks
On Brexit
BY VALENTINA POP
AND JENNY GROSS
BRUSSELS — European
Union leaders signaled willingness to advance to the next
phase of Brexit talks but said
British Prime Minister Theresa
May must first provide more
details on how much the U.K.
will pay the bloc upon leaving.
Mrs. May had urged fellow
leaders over dinner Thursday
to help her craft proposals
that could win backing at
home, after weeks of impasse.
In a positive gesture, other
EU leaders said the bloc
should prepare internally for
talks on the U.K.’s future relationship with the bloc and its
proposed post-Brexit transition period, so that if more
progress is made in current
negotiations the next phase
could begin in December.
Despite
the
goodwill,
French President Emmanuel
Macron insisted that negotiations are “not halfway there”
on the financial settlement.
“We acknowledge an opening on the U.K. side, but a lot
still has to be done,” he said.
The British government must
acknowledge all of its financial
commitments made as part of
the EU budget that runs
through 2020, Mr. Macron
said.
German Chancellor Angela
Merkel confirmed after the
meeting that the U.K.’s divorce
bill was the dominant outstanding issue. “We would
hope that we will be ready by
December to initiate Phase 2,
but as I said this depends to a
large extent on...Great Britain.”
For Mrs. May, settling the
bill poses the toughest challenge at home, where her authority was badly damaged after several setbacks and
stalled Brexit talks. The moment she gives ground on the
amount the U.K. owes the EU,
she could face a backlash and
possible attempts to oust her
from power by warring factions in her party. But without
movement on money, she is
unlikely to be able to break
the stalemate.
Mrs. May on Friday acknowledged that talks were
coming to a crunch point. British officials have said they are
comfortable starting talks on
the shape of the country’s future trade relationship with
the EU in December, but any
failure to reach that milestone
increases the prospect of talks
collapsing—a scenario that
could inflict severe economic
damage on the U.K. and the
EU.
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THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | A9
* * * *
OBITUARIES
ARTHUR CINADER
1927 — 2017
WA S H I N G T O N S YC I P
1921 — 2017
J. Crew Creator Evoked
The Preppy Lifestyle
Accountant Explained Asia
To Western Executives
T
he J. Crew clothing brand,
launched in 1983 by Arthur
Cinader, evoked a world of
effortless style, Ivy League
schools and breezy summers on
Nantucket—a version of the
preppy lifestyle that became so
well-known it served as a category for online dating services.
Among J. Crew’s big sellers in
the early days were 100% cotton
T-shirts in solid colors, with no
logos or graphics. There were
cashmere sweaters and stonewashed chinos with button flies.
Women could buy bikini tops and
bottoms separately to get the
right fit for both.
Mr. Cinader delegated design
oversight to his daughter Emily.
He handled the finances and
fussed over wording in catalogs,
seeking what one colleague described as a tone of “sophisticated
whimsy.”
A 1989 catalog captured his
style. Under the heading of “artful
simplicity,” the catalog offered
“styles in the tradition of the
Northeast Coast. Plain and simple
stuff it would seem. But we conceive every J. Crew design in
unique detail and color to yield an
occasional quiet pleasure in the
receptive soul.”
Family members recalled his
habit of singing “Sloop John B,” a
Beach Boys song, on chairlifts in
Vail, Colo. Mr. Cinader died in
Santa Fe on Oct. 11 of complications from a recent fall. He was 90.
—James R. Hagerty
C A R LY L E C A L D W E L L
1914 — 2017
ChemistAlteredStarch,
SpurringFrozenFood
W
hen the U.S. was threatened with a shortage of
starch at the outbreak of
World War II, Carlyle Caldwell
was in the right place: Ames,
Iowa, surrounded by cornfields.
The war disrupted imports of
tapioca, whose starch was used in
making food, adhesives, paper
and medications. Starches from
corn were an alternative but
didn’t work as well in some applications. Dr. Caldwell, who received a doctoral degree in chemistry at Iowa State University in
1940, had developed expertise in
the molecular structure of
starches. He pursued research on
ways starch molecules could be
modified to improve performance.
His research helped lead to
starches for processed food that
could be bottled, canned or frozen without turning into a gloppy
mess. These modified starches
helped spur development of preserved and frozen foods.
Dr. Caldwell began his career
at National Starch & Chemical
Corp. in Bridgewater, N.J., as a researcher and rose to become chief
executive in 1975. When Unilever
Group acquired National Starch in
1978, he was named chairman. He
retired in 1989. The American
Chemical Society gave him a Heroes of Chemistry award in 1999,
citing his work with starches.
Dr. Caldwell died Oct. 7 at
home in Bedminster, N.J. He was
103.
—James R. Hagerty
BY JAMES R. HAGERTY
AND JAKE MAXWELL WATTS
W
hen they needed advice
on doing business in Asia,
Western executives in recent decades often called on a diminutive accountant in Manila
with the unusual name of Washington SyCip.
He built SGV & Co. into the largest accounting firm in the Philippines—so trusted that it was called
on to count Imelda Marcos’s shoes
and other family loot when she
and her husband, Ferdinand, were
ousted from power in 1986. He created affiliates of SGV in Indonesia,
Singapore and other neighboring
countries. He knew China as the
land of his ancestors. He had studied at Columbia University in New
York and served as a code-breaker
for the U.S. military.
Companies including American
International Group Inc., Caterpillar Inc. and AT&T put him on international advisory boards. He was a
vice chairman of the Conference
Board, a global business research
organization, and founding chairman of the Asian Institute of Management in Manila.
Mr. SyCip told Americans what
many didn’t want to hear: U.S.style democracy wasn’t the right
model for poor Asian countries. He
thought the more authoritarian regimes of Singapore, China and
South Korea were better suited for
fighting poverty.
He was en route to New York to
host a dinner he organized annually when he died of heart failure
on Oct. 7 at age 96.
“Wash,” as he was known to
friends, obtained U.S. citizenship
while studying there in the early
1940s but kept his home and sympathies in the Philippines. After
World War II, he said in a 2010
speech, Filipinos “were told that
with our advantages of being a
Christian nation and a democracy,
we will be, next to Japan, the leading nation in East Asia. Instead, we
find ourselves in a steadily declining position.”
He blamed a “scandalously high”
dropout rate in Philippine schools
and politicians who focused on
short-term gimmicks to win votes
rather than long-term strategies. In
a 2001 interview with The Wall
Street Journal, he described the
Philippines as “a thin layer of rich
and successful people floating in an
ocean of absolute poverty.”
W
ashington Zarate SyCip
was born June 30, 1921, in
Manila. His father, a
banker and lawyer, was in Washington, D.C., on business that day
and decided to name his third son
after the American capital. Both of
his parents came from cosmopolitan Chinese families. His father, Albino SyCip, studied law at the University of Michigan. His mother,
Helen Bau, was a music major at
Oberlin College in Ohio.
He wasn’t much interested in
sports and resisted piano lessons,
leaving more time for books. He
graduated from high school at 15.
At 18, he had graduated from the
University of Santo Tomas and
passed his accounting exams. Still
too young to work as a certified
public accountant, he persuaded
his father to send him to Columbia.
While doing his graduate studies
in New York, he helped keep the
books for a duck cooperative on
Long Island. His idyll of exploring
America was spoiled by the Pearl
Harbor attack in December 1941.
Mr. SyCip was working in a library
on his dissertation. A friend ran up
and exclaimed, “Wash! Your home
is being bombed!”
He enlisted in the U.S. Army. He
was trained in Japanese and cryptography before being shipped to
Calcutta to work on a code-breaking team until the war’s end. He
then sailed home to a bombed-out
Manila. In 1946, Mr. SyCip set up a
one-man accounting shop in Manila
that became SGV. Two years later,
he married a childhood friend,
Anna Yu. Initially, they lived in a
Quonset hut left over from the war.
As SGV expanded, Mr. SyCip insisted on meritocracy. To make
clear that the best employees had a
shot at the top job, he promised
never to hire his own children. After meeting people, he jotted notes
about them on their business cards
and filed them. When people met
him again years later, they often
were amazed by his memory.
Cesar Purisima, who joined SGV
around 1980, remembered being
complimented by Mr. SyCip on his
necktie. “Let me show you how to
do it better,” Mr. SyCip added, before giving his employee a lesson
in knotting neckwear.
Mr. SyCip is survived by his
wife, Anna, three children, eight
grandchildren and three greatgrandchildren.
Read a collection of in-depth
profiles at WSJ.com/Obituaries
FROM PAGE ONE
Continued from Page One
tory books,” Mr. Sijan said. “Although maybe it will.”
Art’s story began in 1997,
when Herb Kohl, now a retired
four-term Wisconsin senator
and the former Bucks owner,
commissioned a piece from Mr.
Sijan for the entrance of the
team’s practice facility, “Something interesting,” he said.
He suggested a Bucks player.
Mr. Sijan had his own idea.
“I went ahead with a 7-foot
basketball player to surprise
him,” he said.
Mr. Sijan tracked down a
large man he had seen play for
the Harlem Globetrotters. He
said he worked on his 7-footer
for roughly six months before
he showed the finished player
to the Bucks. “They didn’t nibble,” Mr. Sijan said. “It’s probably on tour in some museum in
Europe.”
Mr. Sijan went back to work
and found his inspiration in an
older Wisconsin man. Mr. Kohl
was delighted with the piece,
officially titled “Seated Security
Guard,” and which Mr. Sijan
named Art.
He never intended for Art—
or any of his sculptures—to
trick people. “I’m an artist,” Mr.
Sijan said. “I’m not a magician.”
Art has turned out to be the
longest-tenured Buck working
without a raise, Milwaukee
coach Jason Kidd said, which
counts for something for a
team whose payroll has increased by nearly $100 million
over the two decades since the
security guard’s arrival.
He also has aged incredibly
well despite working day and
night over that time. Some say
Art is slouching. Bucks’ executives insist otherwise. “He’s
comfortably postured,” team
president Peter Feigin said.
The most striking thing
about Art may be his facial expression—the seen-it-all look of
a behind-the-scenes NBA employee.
“If he could write a book,
he’d have quite a bit to say,”
said Mr. Kohl.
Watching others discover
that Art was more scarecrow
than he looked was always a
source of enjoyment, Mr. Kohl
added.
GARY DINEEN/NBAE/GETTY IMAGES
ART
Greg Monroe, of the Milwaukee Bucks, shoots during a game last
season against the Detroit Pistons.
“The first day I walked in
and said, ‘What’s up,’” said
Bucks forward Khris Middleton.
“He didn’t say anything.”
Mr. Middleton figured the
security guard hadn’t heard
him. “The second day,” he said,
“same thing.” That was strange.
“Finally, the third or fourth
day, I stopped,” the 6-foot-8
forward said, “and I realized
he’d been in the same position.”
Art fooled some of the Bucks
players while they were still in
college. When prospects were
in town for their pre-draft
workouts and interviews, former Milwaukee general man-
Some say Art is
slouching. Bucks’
executives insist
otherwise.
ager Ernie Grunfeld said he
would mention how they should
really talk to the security guard
because “he has the best personality.”
Mr. Grunfeld, now the president of the Washington Wizards, got a call in 2014 from Mr.
Feigin, who told him he was
taking a job with the Bucks. Mr.
Feigin said he’ll never forget
Mr. Grunfeld’s reaction: “You
can now promise me that Art
will be safe for the rest of his
life.”
The last few months have
presented new challenges for
Art and his team. The Bucks are
expected to move into the Eastern Conference’s elite in the
new season that began this
week. Art has already made his
move.
His office used to be at the
Bucks’ practice center, a building hidden in Milwaukee’s suburbs. Art is now positioned behind glass doors at the team’s
new downtown offices, across
the street from the arena,
where thousands of people can
see him.
Team officials said they
hoped the attention doesn’t distract Art from his job.
Mr. Sijan was nervous when
he found out Art was moving. “I
was thinking he’d be in the general public with the beer-sluggers,” he said. “He wouldn’t
have a chance.”
These days, visitors, passersby and fans knock on the
glass door trying to get Art’s
attention. That has started to
annoy the team’s flesh-andblood receptionist. Art remains
oblivious.
“It’s pretty hard to have animosity for a guy just doing his
job,” said Mr. Feigin.
Art is already becoming a
curious attraction in his new
posting. A local college student
named Gary Barnette was in the
neighborhood on a recent afternoon and looked through the
glass. Jason Volkoff, a financial
adviser, happened to be standing outside the Bucks’ offices.
Mr. Barnette stopped him
and pointed at the security
guard.
“Can I ask you a question?”
he said. “Is he alive?”
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A10 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
IN DEPTH
SUB
Lookout duty
On May 6, after a last volley
of cruise-missile tests conducted in the Baltic Sea, the
Russian defense ministry said
the Krasnodar was to join the
country’s Black Sea fleet in Sevastopol, Ukraine, via the Mediterranean. American allies already knew.
The sub, traveling on the
ocean surface, was accompanied by a Russian tug boat. The
U.S. and its NATO allies had
hashed out a plan to follow the
sub using maritime-patrol aircraft and surface ships.
“Even if you are tracking a
transiting submarine that is not
trying to hide, it takes coordination and effort,” said Capt. Bill
Ellis, the commodore of Task
Force 67, the U.S. sub-hunting
planes in Europe.
NATO’s maritime force, led
by a Dutch frigate, took first
lookout duty. The Dutch sent a
NH-90 helicopter to snap a
photo of the sub in the North
Sea and posted it on Twitter.
Surveillance of the Krasnodar
then turned to the U.K.’s HMS
Somerset on May 5, about the
time the sub entered the North
Sea by the Dutch coast.
The
Krasnodar
passed
through the English Channel
and continued past France and
Spain, where a Spanish patrol
boat took up the escort.
When the submarine reached
Gibraltar, a U.S. Navy cruiser
monitored the sub’s entry into
the Mediterranean Sea on May
13. U.S. Navy P-8 Poseidon aircraft, flying out of the Sigonella
air base in Italy, also took up
watch.
“We want to see where it
goes,” Capt. Ellis said. “At any
time a submarine could submerge and start to be hidden,
so we want to follow.”
As the Krasnodar headed
east, Russia’s defense ministry
notified international airlines
that it would be conducting
drills off the coast of Libya. U.S.
officials and defense analysts
said the drills were part of a
sales pitch to potential buyers,
including Egypt, that would
show off the submarine’s cruise
missiles.
A more dramatic and unexpected display came a few days
later. Russia’s defense ministry
announced on May 29 that the
sub’s cruise missiles had struck
Islamic State targets and killed
militants near Syria’s city of
The U.S. and its allies set out to track the Krasnodar, a Russian attack submarine, as it moved from the Baltic Sea to its new home port in
Crimea. The submarine's cruise-missile attack on Syria turned a routine voyage into a superpower sea hunt.
NATO ships track the submarine
No rt h Se a
THE KRASNODAR
May 5: The U.K.’s HMS Somerset
takes over escort duties.
July 27: USS Bush
arrives at Portsmouth
RUSSIA
Baltic
Se a
U.K.
POLAND
April 10: Russian
submarine Krasnodar is in
the Baltic Sea; starts sailing
for Crimea in late April.
ently searching the seas, according to amateur plane
watchers.
On July 20, the flight-tracking data showed two P-8s flying
south of Cyprus, close to six
hours apart. The first plane was
observed on flight-tracking
sites making tight circles over
the Mediterranean south of Cyprus, a flight pattern typical of
a plane homing in on a submarine.
Capt. Ellis wouldn’t say if his
P-8s had the Krasnodar in their
sights.
GERMANY
UKRAINE
Aug. 9: The Krasnodar
arrives in Crimea.
FRANCE
I T A LY
Black Sea
SPAIN
M e d i te r ra ne a n
Se a
May 13: A U.S. navy
cruiser takes over the
escort as the Krasnodar
reaches Gibraltar.
June to late July: The
submarine and aircraft carrier
try to observe each other in
the waters south of Cyprus.
During that time both conduct
more strikes against Syria.
May 29: The
Krasnodar fires
cruise missiles
into Syria.
May 24–27: The Krasnodar
conducts drills off the
Libyan coast.
L I B YA
July 1–5: USS Bush
conducts a port call
in Haifa, Israel.
June 5: The aircraft carrier
passes through the Suez Canal;
the next day the carrier’s
fighter jets strike Syria.
Note: Paths of the vessels are approximations based on known locations
Sources: news reports; U.S.S. George H.W. Bush crew
THE WALL STREET JOURNAL.
The USS George H.W. Bush, an
aircraft carrier, above, pictured
in the Mediterranean Sea in
July. It was tracking the
Krasnodar, left, a stealthy
Russian attack submarine, seen
here docked in Crimea.
With a second salvo
of cruise missiles, the
Russians ‘were
flexing their muscles.’
Palmyra. Suddenly, a routine
tracking mission turned much
more serious.
With both U.S. and Russian
forces crossing paths in Syria,
each pursuing distinct and
sometimes conflicting agendas,
the battlefield has grown more
complicated. The Russians have
given only limited warnings of
their strikes to the U.S.-led coalition. That has required the
U.S. and its allies to keep a close
eye on Russian submarines hiding in the Mediterranean.
Nuclear-armed submarines
are the cornerstone of the U.S.
and U.K.’s strategic deterrent.
For the U.S., these subs make
up one leg of the so-called triad
of nuclear forces—serving, essentially, as a retaliatory strike
force.
Smaller attack submarines
like the Krasnodar, armed with
conventional torpedoes and
cruise missiles, can pose a more
tangible threat to U.S. aircraft
carriers, which are the Navy’s
most important weapon to project American power around the
world.
On June 5, the USS Bush, a
$6.2 billion carrier, and its warships, passed through the Suez
Canal into the Mediterranean.
Its mission was to support U.S.backed Syrian rebels and attack
Islamic State positions.
Amid rising tensions between U.S. and Russian military
forces in Syria—and with the
Krasnodar trying to evade
Western surveillance—the job
of the USS Bush now also included tracking the sub and
learning more about its socalled pattern of life: its tactics,
techniques and battle rhythms.
By then, the Krasnodar had
slipped beneath the waves and
begun the game of hide and
seek. Sailors and aviators with
little real-world experience in
anti-sub warfare began a crash
course.
“It is an indication of the
changing dynamic in the world
that a skill set, maybe we didn’t
spend a lot of time on in the
last 15 years, is coming back,”
said Capt. Jim McCall, commander of the air wing on the
USS Bush.
Into the deep
The Krasnodar was designed
to operate close to shore, invisible to opposing forces and able
to strike missile targets 1,600
miles away. The coastal waters
of the Mediterranean south of
Cyprus, which put it within
range of Syria, provided plenty
of places to hide.
Finding a submarine that is
operating on batteries underwater is very difficult. How
many hours or days the Krasnodar’s batteries can operate before recharging is a secret neither Russian officials who know,
nor the U.S. Navy, which may
have a good idea, will talk
about.
Western naval analysts say
the sub most likely must use its
diesel engines to recharge batteries every couple of days.
When the diesel engines are
running, they say, the sub can
be more easily found.
The Krasnodar wasn’t likely
to challenge an aircraft carrier.
But the U.S. Navy was taking no
chances. “One small submarine
has the ability to threaten a
large capital asset like an aircraft carrier,” said Capt. Ellis,
the P-8 task force commander.
For many days in June, a
squadron of MH-60R Seahawk
helicopters lifted off from the
deck of the USS Bush and its accompanying destroyers in the
eastern Mediterranean. Some
used radar for signs of the
Krasnodar on the water’s surface. Others lowered sonar beacons to varying ocean depths.
“When you find what you are
looking for in an ocean of nothingness, then it feels really
good,” said Naval Aircrewman
First Class Scott Fetterhoff, who
manned radar gear aboard a Seahawk helicopter. U.S. Navy radar, used on ships, helicopters
and jets, can detect objects as
July 30: The
Krasnodar heads to
the Russian military
base in Tartus to
participate in
Russia’s Navy Day.
SYRIA
USS GEORGE H.W. BUSH
PAVLISHAK ALEXEI/TASS/ZUMA PRESS, DANIEL GAITHER/PLANET PIX/ZUMA PRESS
Continued from Page One
pulsion system is mounted on
noise-cutting dampers; rechargeable batteries drive it in
near silence, leaving little for
sub hunters to hear. “The Black
Hole,” U.S. allies call it.
“As you improve the quieting
of the submarines and their capability to move that much
more stealthily through the water, it makes it that much
harder to find,” said U.S. Navy
Capt. Benjamin Nicholson, of
Destroyer Squadron 22, who
oversees surface and undersea
warfare for the USS Bush strike
group. “Not impossible, just
more difficult.”
Russia’s support of Syrian
President Bashar al-Assad has
given Russian President Vladimir Putin opportunities to test
the cruise missiles aboard the
new subs over the past two
years, raising the stakes for the
U.S. and its allies.
Top officials of North Atlantic Treaty Organization say the
alliance must consider new investments in submarines and
sub-hunting technology. The
findings of a study this year
from the Center for a New
American Security, a Washington-based think tank, grabbed
the attention of senior NATO
leaders: The U.S. and its allies
weren’t prepared for an undersea conflict with Russia.
“We still remain dominant in
the undersea world,” said Gen.
Curtis Scaparrotti, the top U.S.
and NATO commander in Europe. “But we too must focus on
modernizing the equipment we
have and improving our skills.”
The U.S. Navy, which for
years trained its sub-hunting
teams through naval exercises
and computer simulations, is
again tracking Russian submarines in the Baltic, North Atlantic and Mediterranean seas. The
challenge extends beyond Russia, which has sold subs to
China, India and elsewhere.
“Nothing gets you better
than doing it for real,” Capt.
Nicholson said. “Steel sharpens
steel.”
This account was based on
interviews with officials from
the U.S. Navy, NATO and crew
members aboard the USS Bush,
as well as Russian government
announcements.
Deadly Voyage
small as a periscope.
Cmdr. Edward Fossati, the
commander of Helicopter Maritime Strike Squadron 70, the
Bush Strike Group’s sub-hunting
helicopters, said Russian subs
have gotten quieter but the catand-mouse game remained
about even with advances in
tracking: “We are much better
at it than we were 20 years
ago.”
That includes narrowing
down where to look. The USS
Bush had on board three Navy
anti-sub oceanographers to help
track the vessel.
Submarines look for ways to
hamper sonar equipment by exploiting undersea terrain and
subsurface ocean currents and
eddies. Differences in water
temperature and density can
bend sound waves, making it
difficult to pinpoint the source
of a sound.
U.S. Navy computer systems
analyze the ocean environment
and make predictions about
how sound will travel in a given
patch of ocean. Using the sub’s
last known position and expected destination, the oceanographers use the data to mark
potential hiding places and determine where search teams
should focus.
“It is a constant foot race,”
said U.S. Navy Secretary Richard V. Spencer. “And, as I say,
‘Game on.’ ”
On June 18, a Syrian Sukhoi
jet fighter threatened U.S.backed rebels advancing toward
Raqqa, the Islamic State’s de
facto capital. Fighter planes
from the USS Bush warned
away the Sukhoi. When the Syrian pilot ignored flares and radio calls, Lt. Cmdr. Michael
Tremel shot down the Sukhoi.
Moscow threatened to shoot
down U.S. planes in western
Syria.
Five days later, the submerged Krasnodar fired another
salvo of cruise missiles. Russian
officials said they hit an Islamic
State ammunition depot.
“They were flexing their
muscles,” said Rear Adm. Kenneth Whitesell, commander of
the USS Bush strike group. U.S.
officials wouldn’t say how long
the Krasnodar remained hidden
underwater, but Adm. Whitesell
said the launch was watched by
a French frigate and U.S. Navy
aerial surveillance.
Flight-tracking companies
don’t log military flights, but
amateur plane watchers examining transponder data often
catch clues. On July 2, with the
USS Bush in a five-day port call
in Haifa, Israel, a P-8 flew toward the Syrian coast, appar-
Hide and Seek
Russia's quiet-sub technology challenges the sonar-detection
systems of the U.S. Navy in an echo of Cold War-era rivalries.
USS George HW Bush (CVN-77)
Navy computer systems:
Predict sound propagation in the water,
predicting where subs may hide.
MH-60R Anti-submarine helicopters:
Radar and sonar to find subs
Sensor fusion system:
Synthesizes data from multiple ships and aircraft to anticipate
sub location.
Russia’s Krasnodar (B-265)
4 Kalibr cruise missiles
18 Torpedoes
Note: Not to scale
Sources: U.S. Navy; Jane's IHS
Echo-absorbing coating
Noise-dampened propulsion
THE WALL STREET JOURNAL.
Tables turn
After the Soviet Union’s collapse in 1991, Moscow curtailed
undersea operations. In 2000,
the nuclear-powered Kursk sank
with 118 sailors, a naval tragedy
emblematic of the decline.
Russia’s military modernization program, announced in
2011, poured new money into its
submarine program, allowing
Russian engineers to begin
moving ahead with newer, quieter designs.
When the Krasnodar was
completed in 2015 at the St. Petersburg’s Admiralty Shipyards,
Russia boasted it could elude
the West’s most advanced sonar. NATO planners worry subs
could cut trans-Atlantic communication cables or keep U.S.
ships from reaching Europe in a
crisis, as Nazi subs did in World
War II.
“If you want to transport a
lot of stuff, you have to do that
by ship,” said NATO’s submarine commander, Rear Adm. Andrew Lennon. “And those ships
are vulnerable to undersea
threats.”
NATO’s military leaders have
recommended reviving the Cold
War-era Atlantic Command,
dedicated to protecting sea
lanes, alliance officials said, a
proposal that defense ministers
are expected to approve.
U.S. officials have said they
believe that Moscow’s support
of the Assad regime is partly
for access to a strategic port in
the eastern Mediterranean to
resupply and rearm warships.
The Syrian port of Tartus is expanding to include a Russian
submarine maintenance facility,
according to Turkish officials.
On July 30, the Krasnodar
surfaced in the Mediterranean.
The Krasnodar’s port call in
Tartus, coinciding with Navy
Day, a celebration of Russia’s
maritime forces, marked the
end of its hide-and-seek maneuvers with the USS Bush. On
Aug. 9, the Krasnodar arrived in
Crimea to join the Black Sea
fleet, Russian officials said. Its
mission appeared a success:
Moscow showed it could continue unfettered strikes in Syria
with its growing undersea fleet.
By then, the Bush carrier
strike group had left the eastern Mediterranean for the coast
of Scotland, where the U.S. and
British navies, along with a
Norwegian frigate, were conducting a joint exercise called
Saxon Warrior. U.K. sailors
boarded the USS Bush and
heard lessons from the Krasnodar hunt.
A new threat
Days before the exercise,
Capt. Nicholson predicted another Russian sub would be
nearby. “We are in the Russians’
backyard,” he said. “Prudence
dictates we are ready for whatever or whomever might come
out to watch.
A senior U.S. official later
said a Russian sub had indeed
shadowed the exercise, which
ended Aug. 10. NATO officials
wouldn’t comment.
A new nuclear-powered class
of Russian submarines even
more sophisticated than the
Krasnodar, called the Yasen, are
designed to destroy aircraft carriers. They are built with lowmagnetic steel to better evade
detection and can dive deeper
than larger U.S. submarines
At the time of the U.S.-U.K.
exercise, Russia said its only Yasen sub officially in operation,
the Severodvinsk, was in the
Barents Sea. But a second, more
advanced Yasen sub, the Kazan,
was undergoing sea trials.
Russian, NATO, and U.S. officials won’t say whether the Kazan was shadowing the U.S.U.K. exercise in the North
Atlantic.
On Aug. 17, a U.S. P-8, flying
from a Norwegian base, conducted three days of operations,
according to amateur aviation
trackers. Canadian air force patrol planes also flew out of
Scotland. On Aug. 26, French
planes joined.
Allied officials said some of
the flights were searching the
waters for a Russian submarine.
The USS Bush, however, was
out of the hunt. On Aug. 21, she
returned to port in Norfolk, Va.
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THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 21 - 22, 2017 | A11
OPINION
THE WEEKEND INTERVIEW with John C. Martin | By Tunku Varadarajan
The Business of Saving Lives
Gilead Science’s executive
chairman talks about the
new era of biomedicine
and why drugs cost so
much, as Donald Trump
has noticed.
that “represents personalized, genetically modified cell therapy.”
Being able to harness the immune
system, he adds, “is among the
most significant breakthroughs in
cancer treatment in decades.” He
quotes Norbert Bishofberger,
Gilead’s head of research and development, who “is fond of saying
that ‘we all have cancer in us,’
and some of us lose immune control and it gets away from you.”
Cancer “subverts the immune system and your body can’t fight it.”
Now, science can enlist the body’s
own cells to fight cancer. The list
price for a course of treatment of
Yescarta is $373,000, although no
one has, as yet, had time to criticize the cost.
That wasn’t the case with a
cure for hepatitis C called sofosbuvir, approved by the FDA in
2013 and sold by Gilead under the
brand name Sovaldi. A 12-week,
one-pill-a-day course cost
$84,000, and Gilead was quickly—
and glibly—condemned for marketing what critics characterized
as a heinously expensive $1,000
pill, even though Sovaldi had none
of the ghastly side effects of the
alternative treatments for hepatitis C and was cheaper than those
other medicines as an entire
course of treatment.
“Sovaldi was a shock to budgets,” says Mr. Martin, who was
Gilead’s CEO at the time of the
drug’s launch. “There was a large
number of people with hepatitis C
that needed a drug immediately. A
cohort of baby boomers was getting older, and they’d tried inter-
feron”—an existing treatment—“and suffered
through it. They were not
cured.”
So, they flocked to
Sovaldi, especially as hepatologists had been prepping
their patients to wait for
the pill. “Typically, when
you launch a new drug, you
have some patients in the
first year, and in the second year you have twice as
many, and then more in the
third. With hepatitis C, it
was the opposite. You had
the most in the first year,
and the number’s declining
after that.” That’s what
stretched the budgets of
health insurers—and it
was, he concedes, hard for
them to have anticipated.
I ask Mr. Martin why Big
Pharma—an unloving
phrase beloved of the media—gets so much grudge
in the popular discourse. “The
general public,” he says, “looks at
the amount of money spent on
health care and assumes that the
lion’s share is going to drug manufacturers. The reality is that
medicines account for a relatively
modest proportion of health-care
costs.” But because the American
health care system is so complex,
“it’s practically impossible for the
average person to parse the different factors that contribute to
their health-care costs.” Drug
prices, which are more transparent, get singled out for pillory.
Mr. Martin points to another
challenge drug companies face,
that of “conveying the life cycle of
pharmaceutical innovations.” The
public tends to learn of new medicines only when they are approved, at which point “the discussion naturally focuses on
clinical benefits and financial
costs. But the approval of a drug
is the culmination of many years
of hard work by dozens, sometimes hundreds, of scientists, with
at least as many dead ends as new
insights, supported throughout by
major investments with no guarantee of return.” If this work were
more visible to the public, he believes, “we could see a greater appreciation for the value of new
medicines.”
Developing new drugs, Mr. Martin says, is “extraordinarily expensive. Most products fail. And
when a patent runs out, you need
to have something else.” A patent,
he says, is like a license to continue innovation, and the often
high cost of drugs must include
profits that “go back to the company to continue to innovate.”
Largely unreported in all the
negative coverage of Sovaldi’s U.S.
list price is Gilead’s “access program” to deliver the medicine affordably to scores of poorer countries. Foremost is a project in
Egypt, where 10% of the population—as many as nine million people—are chronically infected with
hepatitis C. By some accounts,
half of all men over 50 in the Nile
Delta have the virus, the result of
a widespread use of unsterile needles from the 1950s to the ’80s in
the country’s fight against schistosomiasis (also known as snail
fever).
The 12-week course of sofosbu-
drove the price down.” The
pill could be made at a
much lower cost in India,
so Gilead transferred the
technology to drug companies there. Mr. Martin tells
me Gilead is also currently
transferring technology for
B/F/TAF, its latest and most
effective iteration of singlepill HIV treatment, for
which the FDA will make
an approval decision by
Feb. 12, 2018.
Mr. Martin appears
pretty certain that B/F/TAF
will be approved, and says
it will “lead to a transformation in the way HIV is
treated.” It is more potent
and safe than the current
single-pill options, he asserts, and is also more
straightforward to prescribe. “If someone is diagnosed with HIV, you’ll typically test the blood and
look for various resistance profiles and figure out which drug to
put them on. With B/F/TAF, you
don’t have to do all of that. You
can put the person right on HIV
medication and so save the 10% to
20% who may not come back for a
follow-up appointment.”
Gilead’s global experiment has
been a notable health-care and
policy success. Generic manufacturers in India and elsewhere are
free to price the drug any way
they like and sell it in 116 designated low- and middle-income
markets. “The economy of scale
for this type of manufacturing
works really well,” Mr. Martin
says, “and the price just keeps
coming down.”
What about “leakage,” the potential problem of lower-priced
generics finding their way back to
the American market as an illicit
therapeutic bargain? “For the
most part that doesn’t happen,”
he says with an earnest smile, although there were some worries
when the experiment started. “We
did come out with a different-colored pill as a way to identify it”—
blue in the U.S., white for the generics—“but that probably wasn’t
really necessary.” This is, he says,
“because it’s a very, very good relationship that we have with the
companies in India.”
KEN FALLIN
‘W
Foster City, Calif.
e don’t apologize
for being highly
profitable until
our patents run
out,” says the
man seated in the barest office of
any corporate leader I’ve visited.
There’s almost nothing on the
walls, and the occupant, John C.
Martin, tells me it’s because he
moved into the space only “at the
beginning of the summer”—long
enough ago, one would think, to
find an etching or two. One cannot
escape the feeling that Mr. Martin,
a 66-year-old chemical engineer
who is executive chairman of
Gilead Sciences, is not greatly
given to adornment. He’s a plainspoken Midwesterner who lights
up at the chance to talk about the
medicines his company makes. And
yes, it also makes money.
Gilead is now poised to make
even more money—and to give
thousands of people a startling
new lease on life. The Food and
Drug Administration on Wednesday approved the company’s Yescarta treatment, the first chimeric
antigen receptor T-cell—or CART—therapy for certain types of
lymphoma. Mr. Martin describes it
as “groundbreaking technology”
vir—which cures its taker of hepatitis C—has been made available
for $900 to the Egyptian government, which dispenses the pills
free of charge. Gilead also allows
a handful of Indian and Egyptian
companies to make and sell the
pills under license, in exchange
for a small royalty. Egypt has a
relatively efficient health-care
system, making the country a reliable partner.
This sort of international subsidy is, perhaps, what prompted
President Trump to lash out
against drug companies on Monday, saying “prescription drug
prices are out of control,” and
“the exact drug by the same exact
company” sells abroad for “a fraction of what we pay in this country.” Mr. Trump concluded that
the drug companies “are getting
away with murder,” a curious way
to describe practices designed to
save lives.
W
hen I ask Mr. Martin to
comment on the president’s attack, he says:
“The best response to criticism is
to demonstrate what innovation
really means . . . what it means to
health-care systems and to patients.” I sense great caution in
Mr. Martin’s response, which isn’t
surprising. This studious scientist
has clearly concluded that there’s
no profit in entering into a slanging match with a volatile president.
With Mr. Trump’s complaints
about prices for American consumers in mind, he points out
that “we have programs here in
the U.S. to help people who lack
insurance” and that “we have discounts that are not reflected in
the prices widely quoted in the
media.” These prices are not, in
any case, what patients pay out of
their own pockets. “In a country
like Egypt,” he continues, the
mechanisms are different. And we
expect the costs to be different, as
we look at factors like local economy and disease prevalence.”
Gilead is the world’s leading
manufacturer of AIDS medication,
and its major breakthrough was to
develop a single pill patients
could take daily. That’s more revolutionary than it sounds. “Everyone knows that taking one pill a
day is better than 20,” Mr. Martin
says with a chuckle. “But what’s
unique about HIV is that if you
don’t take all of your pills every
day, you develop resistance. So, if
you take half your pills, or if you
take one drug but not the other
two drugs in the regimen, you’ll
quickly fail.”
Even when AIDS treatment advanced to a three-pill regimen in
1996, people still died because
they developed resistance. Gilead’s
first single-pill treatment for HIV
was called Atripla and came on
the market in 2006. Its impact
was dramatic, Mr. Martin says. “It
resulted in the amount of resistance in patients plummeting tenfold and the amount of treatment
in the U.S. more than doubling.
HIV patients are living normal
lifespans.”
Why did it take so long to come
up with a single-pill formulation?
Gilead had two treatments, tenofovir disoproxil fumarate and
emtricitabine, which it combined
and marketed as Truvada in 2004.
But as Mr. Martin explains, it
didn’t have an essential third ingredient. “We approached Merck
and Bristol-Myers to combine
their product, efavirenz, with our
two drugs into a single pill.” The
real challenge was making a pill
that worked. “Everyone just
thinks, throw the three together
and make one pill. It took us two
years to find a pill, Atripla, that
would give a patient the same exposure as taking the three drugs
individually.”
Scientists at Gilead needed to
ensure that all three drugs were
absorbed appropriately by the
taker’s body, so they put the two
Gilead drugs on one side of the
pill and the efavirenz on the
other, in a “bilayer” therapeutic
confection. Gilead tried five different prototypes on humans before
getting the pill right, and having
done so, embarked on what Mr.
Martin calls “an economic experiment.”
The vast majority of the
world’s HIV patients are in low-income countries, predominantly in
Africa. Mr. Martin and his colleagues at Gilead were determined
to find a way to get Atripla to
them; and so, as he puts it, “we
enabled generic competition by
giving a nonexclusive license to
manufacturers in India, and that
H
ow many lives, I ask, have
been saved as a result of
this licensing program? Mr.
Martin pauses—more out of modesty than hesitation—and says:
“Well, there are over 10 million
people on the generics, so you can
say at least over 10 million. But
you don’t know what these patients would be taking otherwise,
and how this would have
evolved.”
Here, Mr. Martin’s face darkens
unexpectedly. “I was asked a few
weeks ago by someone, ‘Does it
make you happy when a person
tells you that somebody’s life was
saved with your products?’ I said,
‘Yeah, of course it does.’ But I’ve
been in this field long enough,
and I know that for all of these
diseases, there were people who
died without recourse.”
Mr. Varadarajan is a fellow in
journalism at Stanford University’s
Hoover Institution.
The Fatal Flaw in California’s Cap-and-Trade Program
When California’s
Gov. Jerry Brown
signed a 10-year
extension of the
state’s
cap-andtrade program this
summer, it was
CROSS
heralded as a reCOUNTRY
buke of President
By Richard
Trump, who had
Sexton and
just announced he
Steven Sexton
would withdraw
the U.S. from the
Paris Climate Accord. While the nation was failing on climate change,
the story went, states could succeed. The trouble is that California
could leak—like a sieve.
In the decade since Mr. Brown’s
predecessor,
Gov.
Arnold
Schwarzenegger, first signed the
Global Warming Solutions Act, the
cap-and-trade program has done
little to abate carbon emissions, let
alone planetary warming. Under the
law, companies in California that
emit carbon in their production
processes must secure scarce permits for the right to do so. The
theory is that this creates an incentive to invest in green power and
energy efficiency.
Yet the law’s designers still have
not confronted the central conundrum of trying to impose a state or
regional climate policy: As firms
compete for a limited supply of
carbon permits, they are put at a
disadvantage to out-of-state rivals.
Production flees the state, taking
jobs and tax revenues with it.
Emissions “leak” outside California’s cap to other jurisdictions.
Lawmakers recognized the problem when they first authorized the
program in 2006, instructing its
overseers at the state’s Air Resources Board to “limit leakage to
the extent feasible.” To comply
with the statute, the board has so
far given away freely virtually all
the permits manufacturers need.
This has limited leakage and economic harm, but also obviated the
cap-and-trade program’s purpose.
The rules were supposed to be
tightened this coming January. As
it prepared to curtail dramatically
the quantity of permits it gives
away, the board commissioned economic studies to determine which
industries were most likely to flee
the state and result in carbon leakage. The plan was to offer these
companies “leakage assistance”—
free permits for some or all of
their production.
In our view, these studies, although written by skilled economists, were incapable of determining with any scientific certainty
which industries pose a high risk
of leakage. That task pushes beyond the bounds of available data
and economic understanding. Thus,
the board’s allocation of “assistance” would be arbitrary and insufficient to meet its statutory obligations. We came to these
conclusions in a report we prepared for a state trade association,
which was presented to the board
staff in February.
Emitters can just leave—
which is why the state has
now delayed carbon’s real
day of reckoning to 2030.
As it turns out, the day of reckoning wasn’t coming after all. The
recent extension of the cap-andtrade program, along with agreements between Mr. Brown and various stakeholders, allows free
permit allocations to continue until
2030. Kicking the can down the
road allowed Mr. Brown to enlist
industry support and a handful of
Republican votes in reauthorizing
the cap-and-trade program. But it
postpones the realization of any
substantial emissions reductions
and brings the state no closer to
solving the leakage problem.
One solution sometimes floated
is for state regulators to impose a
border-adjusted carbon tax. Products from other states would be assessed the tax after being imported.
When
California
manufacturers exported products,
they would receive a tax refund.
That would effectively level the
playing field between California
companies and those in other
states. But this strategy carries a
high risk of running afoul of both
trade agreements and the Constitution’s Commerce Clause. Moreover,
determining how much carbon tax
to charge for every imported item
would not be straightforward. And
since international imports are beyond the reach of state regulators,
California companies would still be
at a competitive disadvantage to
firms abroad.
We doubt that California regulators will ever be able to curtail
leakage effectively. If they fail,
their cap-and-trade experiment
could not only hurt the state’s
economy but also increase carbon
emissions in the end. California has
some of the cleanest production in
the world, due in large part to its
high environmental standards.
When production leaks out of the
state, its replacement may well be
more polluting. China, for instance,
emits twice as much carbon as the
U.S. per purchasing-power adjusted
unit of gross domestic product.
The only way really to solve the
leakage problem would be to institute a uniform global price on carbon emissions. That would leave
dirty manufacturing with no place
to hide. But it’s also a pipe dream.
California is the only American
state with an economywide capand-trade program. Even if the
Paris Agreement is sustained without the U.S., it doesn’t remotely
guarantee that other countries will
pursue the stringent climate policies that would level the playing
field for California.
“California is leading the world
in dealing with the principal existential threat that humanity faces,”
Mr. Brown said during this summer’s signing ceremony. “What
could be a more glorious undertaking?” But five years into cap and
trade, neither he nor the state’s
regulators have shown that regional
climate policy can overcome the
leakage problem and actually succeed. If they truly want to lead,
they need to offer more than hot
air.
Richard Sexton is a professor of
agricultural and resource economics at the University of California,
Davis. Steven Sexton, his son, is a
professor of public policy and economics and a faculty fellow of the
energy initiative at Duke University.
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A12 | Saturday/Sunday, October 21 - 22, 2017
* ***
THE WALL STREET JOURNAL.
OPINION
U
REVIEW & OUTLOOK
LETTERS TO THE EDITOR
After Victory in Raqqa
ATC Privatization Won’t Fix U.S. Air Travel
.S.-backed Arab and Kurdish ground grating to Deir al-Zour province in eastern
forces declared victory on Friday after Syria, where the terror group still holds sway.
clearing Islamic State from Raqqa, the Bashar Assad’s Syrian government forces, with
capital of what the jihadists
the help of Russian air power
Iran stands to benefit and Iranian-backed troops, are
once called their caliphate.
This is also a victory for the
quickly to secure confrom a post-caliphate moving
U.S., though whether it’s
trol of the area. Colonel Dillon
U.S. withdrawal.
squandered will depend on
says the U.S. will let our allies
what the Trump Administrain the Syrian Defense Forces
tion does next.
decide whether to continue
The Raqqa victory follows the fall of Mosul their fight, which seems to suggest that the
in Iraq in July and sweeps Islamic State from Trump Administration is happy to declare victhe territory it controlled since its rapid rise tory and move on.
in 2013-2014. This is a crucial blow because the
If the Trump Administration has a post-ISIS
ability to control much of Syria and Iraq con- strategy, it isn’t obvious. And other forces are
tributed to ISIS’s appeal as it recruited jihad- quickly filling the vacuum. The Iraqi Army is
ists around the world. It seemed to be the van- trading fire with the Kurds on the edge of Kirguard of the Islamist future. Even as it burned kuk and the Kurdish Regional Government. If
apostates in cages, beheaded Christians and the U.S. had a long-term arrangement for keepexterminated Yazidis, ISIS could boast that it ing some troops in Iraq, it would retain more
was immune in its haven.
influence against Iran and play a brokering role
No more. As anti-ISIS coalition spokesman between the Kurds and Baghdad. We certainly
Colonel Ryan Dillon tweeted Tuesday, “Our owe some support for the Kurds who have been
partners have removed ISIS from 87% of terri- our best anti-ISIS allies.
tory they once held and liberated over 6.5 milAs for Syria, if the U.S. withdraws, it’s only
lion people.”
a matter of time before Iran and its allies assert
This humanitarian and military success control over the area once held by ISIS. This
wouldn’t have been possible without U.S. air would amount to defeating Islamic State so Iran
power, intelligence and special forces assisting can dominate the region—from Tehran through
the Kurdish and free Syrian troops. Russia, Iran Iraq to Western Syria and Lebanon.
and China did virtually nothing. Europe proIran is also trying to establish control over
vided some planes, and Turkey let the U.S. Air southern Syria near the border with Israel. Mr.
Force fly from Incirlik. But make no mistake, Trump gave that a boost with his July decision
this is another example of America policing the to abandon the Free Syrian Army and forge a
world. If not for U.S. planes and the Peshmerga, cease fire with Russia in the south that has sent
Kirkuk in Iraq would have fallen to ISIS—and moderate Sunnis into the arms of the Nusra
maybe Baghdad too.
Front, the Syrian branch of al Qaeda. Israel has
The tragedy is that it took so long. President launched periodic bombing runs against Iran’s
Obama devised a long strategy that would put proxies, and a wider war is possible.
few U.S. soldiers on the ground. He didn’t want
Mr. Trump campaigned to defeat ISIS, and
to admit that he had to re-intervene in Iraq af- he is loathe to make U.S. commitments abroad.
ter having pulled out in toto in 2011.
But this month he also promised a new strategy
The long campaign allowed ISIS to recruit to deter Iranian designs for regional hegemony.
and plant seeds of terrorism around the world. That strategy won’t work if the U.S. declares
Islamic State now has offshoots or allies in victory over ISIS and walks away.
some 30 countries, and its acolytes have
Like Barack Obama, sooner or later Mr.
claimed credit for murders across Europe and Trump will be pulled back in—either by a reconeven in the U.S. Defeating ISIS became a major stituted Sunni jihadist vanguard, or an Iranian
campaign theme for Donald Trump, and his threat to Jordan, the Kurds, Israel or the Sunni
generals sped up the pace of the campaign upon Arab States. The Trump Administration needs
taking office.
a policy to consolidate the victory against ISIS
The question is what comes next? Islamic into a strategic gain for U.S. interests in the
State fighters fleeing Raqqa and Mosul are mi- Middle East.
L
Smearing Ed Gillespie in Virginia
ooks like it’s panic time for Democrats having cast the deciding vote against a state bill
in Virginia. Naturally they are respond- that would have banned sanctuary cities.
ing by playing the race card against Ed
Mr. Northam says he’s voted for tough prison
Gillespie, the Republican cansentences for gang members
Could a Republican win and accuses Mr. Gillespie of
didate for Governor.
Mr. Gillespie’s rival, Lt. Gov.
promoting “hatred and bigin the only southern
Ralph Northam, enjoys a twootry.” On Thursday Barack
to-one cash advantage, and for state carried by Clinton? Obama campaigned for Mr.
most of the race he has also
Northam, saying that “our deenjoyed a comfortable margin
mocracy is at stake” in Virin the polls. That changed in the past week, with ginia and that Mr. Gillespie is stoking fears in
one new poll showing Mr. Gillespie within the a way he called “damaging and corrosive.” For
margin of error and another putting him ahead his part Mr. Gillespie says that his opponents
by a point. Some stories report Mr. Northam’s are insulting law-abiding Latino immigrants by
internal polling shows Mr. Gillespie within making no distinction between them and viostriking distance.
lent gang members.
It wasn’t supposed to be this way. With DonOur guess is that what’s really freaking out
ald Trump loathed by 96% of Northam voters, Democrats is the increasingly real prospect of
the Democratic calculation has been that in an a GOP upset in the only southern state carried
off-year all the party needed for victory was to by Hillary Clinton last November. They know
tie Mr. Gillespie to Mr. Trump and make the that three years ago Mr. Gillespie came within
campaign about the President.
a whisker of defeating Sen. Mark Warner even
But Mr. Gillespie avoided that trap and as the national GOP failed to provide last-minstressed state and local issues, since he’s run- ute money.
ning for a state job. The former head of the naDemocrats have held the Virginia state house
tional GOP has hit Mr. Northam hard on the for four years—the current Governor is termeconomy and proposed a 10% across the board limited—which is an exception to the GOP domtax cut. He’s also been running ads that focus inance in state elections around the country in
on MS-13, a Central American gang whose mem- recent years. If Mr. Gillespie pulls this one out,
bers savagely murdered a 15-year-old girl in the message will be that candidate quality matJanuary in a Fairfax County park—and have ters and, even in a state trending left, Demobeen linked to other Virginia murders. The ac- crats need to stand for something more than
cusation is that Mr. Northam is soft on crime, opposition to Donald Trump.
A
Pass the Senate Budget
Senate majority hanging together to
move the party’s agenda isn’t usually
news, but then we’re talking about Republicans in the 115th Congress. On Thursday
Senate Republicans passed a budget that is essential for tax reform. Now the House ought to
whoop it through and move on to the substance
of tax reform.
The budget passed 51-49, and a party-line
vote is typical for the outline that doesn’t require the President’s signature. Rand Paul of
Kentucky, who sometimes self-identifies as a Republican, voted no because he wants to cut the
defense budget. The slim margin forced seriously ill Thad Cochran of Mississippi to return
to the Senate.
The importance of the Senate document is
that it allows the GOP to pass a tax bill with 51
votes, dodging a Democratic filibuster. Bipartisan tax reform would be wonderful but the GOP
would be foolish to depend on even a single
Democratic vote.
The ball now moves to the House, which has
two options: Pick up the Senate outline and pass
it, or force a conference committee to meld the
two. The answer is obvious. Pass the Senate budget. The only difference that matters is that the
Senate budget leaves room for $1.5 trillion in tax
cuts over 10 years. In other words, it isn’t “deficit neutral” like the House-passed version. This
could panic some Members who want to pretend
they are voting to balance the budget in 10 years.
But the $1.5 trillion is crucial to tax reform.
The Congressional Budget Office predicts a limp
1.9% growth on average over the next 10 years.
Yet a return to the historical norm of 3% growth
would produce more than $2.5 trillion in additional revenue for the government—well above
the Senate’s $1.5 trillion gap.
The reality is the House can’t afford to reduce
the $1.5 trillion, or broader reform could devolve
into a tax cut that doesn’t do much for the economy. The GOP is already sweating on the state
and local tax deduction, which could turn up
$1.25 trillion in revenue. There aren’t many
other options to “pay for” lower tax rates on
businesses or individuals.
This is also not the moment to have a showdown about defense spending. The budget is not
an appropriation, meaning Congress can pick
that fight when the checkbook is actually out.
Ditto for futile gestures on entitlement reform.
The only prayer for a better fiscal future is more
economic growth. So point the laser at tax reform for now.
The goal is to finish a tax bill by the end of
the year, and the GOP will take a week off for
Thanksgiving. And don’t forget the fight about
government funding, coming to a theater near
you in December. The best hope for a GOP tax
victory is to polish off the budget as quickly
as possible, and get moving on the business
relevant to the Americans who voted for a Republican Congress.
Regarding your editorial “An AirTraffic Winner” (Oct. 12): The Congressional Research Service says the
air-traffic control (ATC) privatization
bill is likely unconstitutional. The
Congressional Budget Office concludes it would increase the nation’s
deficit by $100 billion over 10 years.
The Government Accountability Office
says a transition to a new entity
would most likely slow down aviation
modernization.
Consumer groups are up in arms
over this concept, including the National Consumers League, Consumer
Action and FlyersRights.org. Organizations on the political left and right,
including the American Conservative
Union, have raised concerns. Airport
groups and aviation-safety experts,
including Capt. “Sully” Sullenberger,
oppose the House bill.
Survey after survey, most recently
one conducted by CNBC, shows that
Americans overwhelmingly oppose
ATC privatization. Almost no one,
other than the airlines, their paid lobbyists and their front groups, think
this is a good idea. They support the
House bill because it’s a giveaway
that offers the airlines their longsought moment to obtain sweeping
authority to set revenue rates and
control the aviation system, and focus
on what best serves their bottom line.
Of course, this is the same group
whose ancient computer systems routinely ground thousands of passengers, whose customer service has left
Americans gasping and have cut service to small towns and rural communities by over 20% in recent years.
Let’s not confuse so-called ATC privatization with modernization.
MARK BAKER
President and CEO
Aircraft Owners and Pilots Association
ED BOLEN
President and CEO
National Business Aviation Association
Washington
The biggest potential loser from
privatization will be the private aviation community. In our rural region,
medical specialists serve our area by
flying in for day clinics in their small
planes. They will be adversely affected
by additional unnecessary fees that
privatization would enable. Aviators
already pay taxes via fuel purchases.
This tax can be adjusted as needed.
REX BRYCE, M.D.
Thatcher, Ariz.
The biggest problem with our current approach to commercial airline
travel and to a lesser extent private
aircraft travel is on the ground, not in
the sky. Too many flights are scheduled to arrive at and depart from the
50 busiest airports in the country that
handle over 90% of commercial air
traffic. The arrival and departure
schedules are optimized for travel
during good weather. When the
weather deteriorates, necessitating
greater spacing between arriving and
departing traffic, the schedule necessarily slips out, cascading into greater
and greater delays.
What the ATC system needs is more
major airports or more runways capable of simultaneous operations at existing airports. The new NextGen ATC
system relying on ADS-B will replace
radar and has been largely rolled out.
It can potentially increase capacity in
the air, but there is no plan to reduce
arrival and departure spacing at overbooked major airports that already
have complete radar coverage.
The privatized ATC system of Canada is often exhibited as an example of
what can be accomplished in the U.S.
While the size of Canadian airspace is
the same as ours, it has about one
tenth of the air traffic. Canada is still
using the same radar technology as
the U.S. and is on the same timetable
to roll out ADS-B services.
There is no evidence that privatizing ATC will improve things. Excessive
security lines, surly TSA agents, overbooked flights, shrinking seats, inordinate amounts of overhead baggage—
these are all problems that ATC
privatization will not help.
GREG WROCLAWSKI
Kinnelon, N.J.
Sagging Garden State Should Seek a Merger
Regarding Regina Egea and Stephen Eide’s “Does New Jersey’s Next
Governor Want to Live in Connecticut?” (Cross Country, Oct. 14): Ms.
Egea and Mr. Eide suggest that New
Jersey can take lessons from Hartford’s attempts to tax and spend its
way to prosperity. In fact, New Jersey has already been teaching these
lessons for decades, and for years
has led the nation in the percentage
of its population leaving the state,
according to the annual survey by
United Van Lines, with New York and
Connecticut close behind. All three
states show more people leaving
than coming to live in the state. I am
one, having left the Garden State five
years ago, no longer willing to put
up with the state’s enormous reach
into my pockets. Older retirees are
most likely to leave, putting downward pressure on home values, especially in the upper half of the market.
When companies face intractable
fiscal issues such as New Jersey’s,
they begin to look for merger part-
Trump Takes the Long View
On Our Disruptive Politics
The most striking thing I’ve noticed about President Donald Trump’s
supporters is how little their demeanor has changed since his election. Even as Mr. Trump uses his executive power to make good on his
campaign promises (“Trump Moves
to End Insurer Payments” and
“Trump Plans Broad Swipe at Iran
Over Nuclear Deal,” U.S. News, Oct.
13), his base seems, if anything, more
restive than ever.
The same people whose anger at
feeling left out by our political system fueled Mr. Trump’s shocking success at the ballot box seem unable, or
unwilling, to turn off their rage even
though their candidate now occupies
the White House. They represent a
new and disturbing phenomenon in
American political history: the “sore
winners.”
This isn’t good for the future of
our democratic form of government,
which still depends to some extent
on cooperation between Democrats
and Republicans to get things done.
But, make no mistake, it’s great news
for Mr. Trump. If he can keep his
supporters stirred up by provoking
his political enemies on both sides of
the aisle and gleefully torment his
detractors in the press and public,
his re-election is assured.
JOHN E. STAFFORD
Rye, N.Y.
Letters intended for publication should
be addressed to: The Editor, 1211 Avenue
of the Americas, New York, NY 10036,
or emailed to wsj.ltrs@wsj.com. Please
include your city and state. All letters
are subject to editing, and unpublished
letters can be neither acknowledged nor
returned.
ners. California has a similar shape
to New Jersey, only bigger, and has
the same liberal mind-set about big
government, so perhaps that state
might like to add some East Coast
shoreline to its boundaries. But why
stop there? Perhaps the liberals in
France would find New Jersey attractive, or maybe the U.K. might like to
re-establish a toehold in North America. The possibilities are endless.
MICHAEL A. SMITH
Wells, Maine
How many times have we heard
that the rich aren’t paying their fair
share of taxes? When these rich freeloaders leave Connecticut for another state, it should be a cause for
rejoicing in Connecticut and for dismay in their new state. But that isn’t
what happens.
JAMES G. RUSSELL
Midlothian, Va.
Deduction Helps Some,
Raises Prices for Everyone
It is a common fallacy that the
mortgage deduction saves people
money (“Mortgage Break Faces Irrelevancy,” U.S. News, Oct. 17). It does
not. It simply lowers the borrower’s
effective interest rate. On a cashflow basis, a mortgage-free homeowner will always have more aftertax money than one with a
mortgage.
Therefore, the only effect of the
deduction is to artificially raise
house prices via the government
subsidy.
STEPHEN R .S. MARTIN
Cave Creek, Ariz.
CORRECTION
President Trump called the widow
of Sgt. La David Johnson, who was
killed in action in Niger. The Oct. 20
editorial, “John Kelly’s Heroes,” mistakenly said he had called the mother.
Pepper ...
And Salt
THE WALL STREET JOURNAL
“Before committing to free-range,
we thought we try cage-free parenting.”
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THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 21 - 22, 2017 | A13
OPINION
DECLARATIONS
By Peggy Noonan
T
he president has been understandably confident in
his supporters. They appreciate his efforts, admire
his accomplishments (Justice Neil Gorsuch, ISIS’ setbacks),
claim bragging rights for possibly related occurrences (the stock market’s
rise), and feel sympathy for him as an
outsider up against the swamp. They
see his roughness as evidence of his
authenticity, so he doesn’t freak them
out every day. In this they are like
Support for her cooled
due to antic statements,
intellectual thinness and
general strangeness.
Sarah Palin’s supporters, who saw
her lack of intellectual polish as proof
of sincerity. At her height, in 2008,
she had almost the entire Republican
Party behind her, and was pushed
forward most forcefully by those who
went on to lead Never Trump. But in
time she lost her place through antic
statements, intellectual thinness and
general strangeness.
The same may well happen—or be
happening—with Donald Trump.
One reason is that there is no hard
constituency in America for political
incompetence, and that is what he
continues to demonstrate.
The first sign of political competence is knowing where you stand
with the people. Gallup this week had
him at 36% approval, 59% disapproval.
Rasmussen has him at 41%, with 57%
disapproving. There have been mild
ups and downs, but the general picture has been more or less static.
Stuart Rothenberg notes that at this
point in his presidency Barack Obama
had the approval of 48% of independents. Mr. Trump has 33%.
He proceeds each day with the
confidence of one who thinks his
foundation firm when it’s not—it’s
shaky. His job is to build support, win
people over through persuasion, and
score some legislative victories that
will encourage a public sense that he
is competent, even talented.
The story of this presidency so far
is his inability to do this. He thwarts
himself daily with his dramas. In the
thwarting he does something unusual: He gives his own supporters no
cover. They back him at some personal cost, in workplace conversations and at family gatherings. They
are in a hard position. He leaves them
exposed by indulging whatever desire
seizes him—to lash out, to insult, to
say bizarre things. If he acted in a
peaceful and constructive way, he
would give his people cover.
He acts as if he takes them for
granted. He does not dance with the
ones that brung him.
Asked by reporters why he hadn’t
issued a statement on the death of
four U.S. soldiers in Niger, he either
misunderstood or deflected the question by talking about how he writes to
and calls the families of the fallen.
Other presidents, he said, did not do
as much—“some presidents didn’t do
anything”—including Mr. Obama.
When former Obama staffers pushed
back he evoked the death of Chief of
Staff John Kelly’s son Robert, a Marine first lieutenant, in Afghanistan:
“You could ask Gen. Kelly, did he get a
call from Obama?” Mr. Kelly, a private
and dignified man, was said to be surprised at the mention of his son.
Soon after, Mr. Trump called
Myeshia Johnson, widow of Army
sergeant La David T. Johnson, and
reached her in the car on the way to
receive her husband’s casket. Someone put the call on speakerphone. A
Democratic congresswoman in the
car later charged that Trump had
AARON P. BERNSTEIN/GETTY IMAGES
Trump May Be Following Palin’s Trajectory
Sarah Palin endorsing Donald Trump in Ames, Iowa, Jan. 19, 2016.
been disrespectful. In fairness, if the
congresswoman quoted him accurately, it is quite possible that “He
knew what he was signing up for”
meant, in the president’s mind, “He
heroically signed up to put his life on
the line for his country,” and “But
still it must hurt,” meant “I can’t
imagine the grief you feel even with
your knowledge that every day he put
himself in harm’s way.”
And indeed Mr. Kelly, in a remarkable White House briefing Thursday,
recounted what Gen. Joseph Dunford,
now chairman of the Joint Chiefs of
Staff, had told then-Gen. Kelly in
2010, when Robert died: “He was doing exactly what he wanted to do. . . .
He knew what he was getting into by
joining that 1%. He knew what the
possibilities were, because we were
at war.”
Mr. Kelly was moving, fully credible, and as he spoke you had the
feeling you were listening to a great
man. It was unfortunate that when
the controversy erupted, the president defaulted to anger, and tweets.
News stories were illustrated everywhere by the picture of the beautiful
young widow sobbing as she leaned
on her husband’s flag-draped casket.
Those are the real stakes and that is
the real story, not some jerky sideshow about which presidents called
which grieving families more often.
This week Sen. John McCain famously gave a speech in Philadelphia
slamming the administration’s foreign-policy philosophy as a “halfbaked, spurious nationalism cooked
up by people who would rather find
scapegoats than solve problems.” Fair
enough—the famous internationalist
opposes Trumpian foreign-policy notions. There are many ways presidents can respond to such criticism—
thoughtfully, with wit or an incisive
rejoinder.
Mr. Trump went on Chris Plante’s
radio show to tell Sen. McCain he’d
better watch it. “People have to be
careful because at some point I fight
back,” he said. “I’m being very nice.
I’m being very, very nice. But at some
point I fight back, and it won’t be
pretty.”
FDR, Teddy Roosevelt and Ronald
Reagan were pretty tough hombres,
but they always managed to sound
like presidents and not, say, John
Gotti. Mr. McCain, suffering from
cancer, evoked in his reply his experience as a prisoner of war: “I’ve
faced far greater challenges than
this.”
That, actually, is how presidents
talk.
I must note I get a lot of mail saying this is all about style—people pick
on Mr. Trump because he isn’t
smooth, doesn’t say the right words.
“But we understand him.” “Get over
these antiquated ideas of public dignity, we’re long past that.” But the
problem is not style. A gruff, awkward, inelegant style wedded to maturity and seriousness of purpose would
be powerful in America. Mr. Trump’s
problem has to do with something
deeper—showing forbearance, patience, sympathy; revealing the human
qualities people appreciate seeing in a
political leader because they suggest
a reliable inner stature.
Meanwhile Steve Bannon, Mr.
Trump’s former chief strategist, goes
forward with at least partial support
from the president and vows to bring
down the Republican establishment.
But Mr. Trump needs to build, not
level. He needs a Republican House
and Senate if for no other reason than
one day Robert Mueller will file his report, and it will be leaked, and something will be in there because special
counsels always get something. It is
Republican majorities—the Republican
establishment—that the president will
need to help him. He will need the
people he’d let Mr. Bannon purge.
Meanwhile polls say the Republican nominee for Republican Alabama’s open Senate seat is neck and
neck with his Democratic opponent.
Meanwhile the president absolutely has to win on tax reform after
his embarrassing loss on ObamaCare.
He shouldn’t be in this position, with
his back to the wall.
None of this speaks of competence. And again, in America there is
no hard constituency for political incompetence. Mr. Trump should keep
his eye on Sarah Palin’s social media
profile. She has 1.4 million Twitter
followers, and her Facebook page has
a “Shop Now” button.
Tolstoy’s Classics Are Still Fresh a Century and a Half Later
By Benjamin Shull
I
read Tolstoy this year to plug
a literary gap unbefitting a
book-review editor. Getting
started was no easy task. His two
pre-eminent novels, “War and
Peace” and “Anna Karenina,” clock
in at more than 1,200 and 800
pages respectively, the former so
massive that Henry James called it
a “loose, baggy monster.”
Count me a fan of monsters.
Henry James called
‘War and Peace’ a ‘loose,
baggy monster.’ Count
me a fan of monsters.
Published in 1869, “War and
Peace” nominally centers on Napoleon’s 1812 invasion of Russia, but
it more broadly surveys the effects
of Europe’s early-19th-century conflicts on several Russian families.
Its scenes shift from the landed estates of Moscow and St. Petersburg
to the battlefields of Austerlitz and
Borodino. Its main characters include Pierre Bezukhov, by turns an
illegitimate son, Freemason and Napoleon’s would-be-slayer; Andrei
Bolkonsky, the sardonic and military-minded prince; Natasha Rostova, the young woman who comes
to love both; and of course, Bonaparte, le petit caporal himself.
“Anna Karenina” came eight
years later. It relates the trials of its
title heroine, a strong-willed woman
who has an affair with the charming
Count Vronsky, bearing his child
and the wrath of Russian society in
turn. “Anna Karenina” has its own
cast of unforgettable characters—
Stepan “Stiva” Arkadyich Oblonsky,
Anna’s jaunty, epicurean brother;
and Konstantin Dmitrich Levin, the
idealistic landowner (and Tolstoy’s
self-modeled proxy).
Like Bob Dylan’s “Visions of Johanna,” the settings and people
that populate these two books have
conquered my mind. It’s a common
experience for readers of great literature. In last year’s “Books for
Living,” Will Schwalbe recounts
how he sobbed after he’d read “David Copperfield” for the first time,
distraught that he’d miss the characters so much. Later in life, when
asked if writing a book about his
late mother would give him closure, Mr. Schwalbe remembered
reading Dickens as a teenager and
realized that closure wasn’t necessary when you could continue to
talk with the deceased and the fictional alike.
“Just because someone is gone,”
Mr. Schwalbe observes, “doesn’t
mean that person exits your life. I
remember vividly the day during
that hot summer when I finished
David Copperfield. But my engagement with David and Little Emily
and Steerforth and Dora . . . had
just begun.” So it is with Pierre and
Prince Andrei and Anna and Stiva.
Though there’s plenty of heartbreak in “War and Peace” and
“Anna Karenina,” each is also enormously life-affirming. Before Anna’s
tragic fate crescendos, we find
Levin and his wife, Kitty, at the
bedside of his dying brother, Nikolai. Levin dreads death, but his remarkably poised wife helps him
face it with courage.
As Nikolai drifts away, Levin (in
Richard Pevear and Larissa Volokhonsky’s translation) manages to
keep his gloom at bay: “In spite of
death, he felt the necessity to live
and to love. He felt that love saved
him from despair and that under
the threat of despair this love was
becoming still stronger and purer.”
Nary a paragraph later, Nikolai
since passed, Kitty learns she is
pregnant, as one mystery of life
supplants another. Thinking about
this scene has been a comfort for
me since.
PUBLISHED SINCE 1889 BY DOW JONES & COMPANY
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Both works are in every way
“books for living,” rife with guiding
principles for life. Themes of magnanimity and forgiveness figure
prominently in each. In “War and
Peace” there is a remarkable scene
toward the end of the book in
which Prince Andrei is wounded at
Borodino. At the field hospital he
finds the also-wounded Anatole
Kuragin, whose attempt to seduce
Andrei’s fiancée, Natasha, had led
her to break off the engagement.
Andrei had wanted revenge, but in
the blood-soaked camaraderie
wrought by war—Anatole ultimately
has his leg amputated—Andrei feels
nothing but love for his former enemy and fellow man.
Though Tolstoy colorfully renders
the battle scenes of “War and Peace,”
he still manages to make war seem
insignificant. The book notably departs from its narrative at times to
showcase its author’s meditation on
history and the course of human affairs. Tolstoy’s conception of a historical process driven not by great
figures but by the interplay of countless interconnected phenomena has
influenced my own convictions about
the world.
Because the forward march of
history is so incomprehensibly beyond our grasp, in Tolstoy’s telling,
it seems to throw our own freedom
into doubt. He writes in his epilogue (again, courtesy of Mr. Pevear and Ms. Volokhonsky): “For
history, freedom is only the expression of the unknown remainder of
what we know about the laws of
human life.” That’s a humbling
thing to read after spending 1,000
pages living with these iconic literary figures.
These books may well change the
way you look at the world. The
characters, settings and messages
will stay with you for as long as
you want them to.
Mr. Schwalbe must have had Tolstoy in mind when he wrote that
books “are uniquely suited to helping us change our relationship to
the rhythms and habits of daily
life.” It’s on that note that this
humble editor recommends you
read “War and Peace” and “Anna
Karenina.”
Mr. Shull is an assistant books
editor at the Journal.
Big (and Hurting) Media on Drugs
In 1997, The Wall
Street Journal lent
its editorial voice to
those of cancer doctors and the Journal of the American
Medical AssociaBUSINESS
tion to warn that
WORLD
severe pain was
By Holman W.
badly under-treated
Jenkins, Jr.
by the U.S. medical
profession.
The reason, of course, was customs and regulatory strictures meant
to “prevent doctors’ offices from becoming a channel for the illegal marketing of drugs.”
Obviously opioid abuse is a challenge today, as is adequately treating
patient pain, though, 20 years later,
the problem is still sometimes misstated. But one thing is certain: Unless the Washington Post and CBS’s
“60 Minutes” have discovered a new,
physics-defying form of quantum action at a distance, their splashy exposé last weekend identified neither
the cause nor any solution.
I’ll admit I didn’t read the Post’s
7,800-word opus on first pass. To the
credit of some merciful editor, the
lead sentence told me I needn’t
bother. The piece begins: “In April
2016, at the height of the deadliest
drug epidemic in U.S. history, Congress effectively stripped the Drug
Enforcement Administration of its
most potent weapon against large
drug companies suspected of spilling
prescription narcotics onto the nation’s streets.”
In other words, whatever the sorry
tale of the sausage factory to follow,
the abuse epidemic was already in
full swing when Congress acted, so
the DEA’s “potent” weapon perhaps
wasn’t so potent.
On second pass, though, the Post
story seems almost purposely to mislead. At ominous points it provides
an updated running total of opioid
deaths since 2000—which naturally
rises relentlessly because people
don’t come back from the dead.
In fact, as the Centers for Disease
Control and Prevention has pointed
out, prescription opioid deaths remain roughly proportional to prescriptions written. The number of
prescriptions, which tripled between
1999 and 2010, has been falling ever
since. Today’s surging opioid death
rate is due to black-market heroin
and fentanyl.
Did the Washington
Post overplay its opioid
story because it spent
so much money on it?
Moreover, the Post hardly bothers
to substantiate the central pinion of
its story—its claim that the DEA has
been deprived of a vital tool, known
as “immediate suspension orders”
against drug distributors. Such orders peaked at 65 in 2011 and have
fallen to single digits. But is this a
meaningful gauge?
A federal survey finds misuse of
prescription opioids peaked in 2012
and has returned to 2002 levels. Suspension orders were already being dialed back—41 in 2012, 16 in 2013—before Congress intervened. Maybe the
message got through to drug distributors via a tactic that didn’t lend itself
to being repeated or accelerated.
In an accompanying editorial, the
Post fulminates that “Congress
alongside the pharmaceutical industry helped fuel the opioid crisis,” but
fails to mention the bill in question
was one of 18 that the Associated
Press called a “mountain of bills addressing the nation’s opioid abuse
crisis.”
The measure in question, which
rewrote the legal standard for suspension orders, was approved by the
Obama White House, DEA and Justice Department. It was unanimously supported by Congress. It
reflected, as the New York Times
noted, a Congress under pressure
from drug lobbyists to show an interest in “ensuring access to narcotic painkillers” for patients even
while “addressing the addiction epidemic linked to those drugs.”
Notice something else: As these
bureaucratic adjustments, wise or unwise, were wending through Congress, the nation was acting on opioid deaths. Police were being
equipped with the opioid-inhibitor
naloxone. Crackdowns on “pain clinics” were dramatically reducing illicit
supplies, etc.
What we have here is a typical
story of bureaucratic angst, promoted by the Post’s lead source, Joseph Rannazzisi, a former DEA official who now works for trial lawyers
suing the drug industry.
It partakes of a Washington-centric delusion that actions in Washington matter above all. And what to
make of the Post’s willingness to let
a source put undocumented words in
the mouths of unnamed “drug company representatives” who naturally
confirm, in conversations the Post
can’t claim to know took place, everything the Post’s source says?
Which brings us to the unfathomable part. Why does the paper so
grossly overplay its story? In a time
of digital penury, nobody wants to
discourage journalistic enterprise,
but a new risk reveals itself: Look at
how the Post festoons its report with
what can only be called marketing—
graphics, video and charts out the
wazoo. This also costs money. How
can any editor, especially late in the
process, have the courage to say,
“Aren’t we trying to make mountains
out of a molehill here?”
I got around to reading the rest of
the Post piece after it prompted one
of the law’s many authors, Rep. Tom
Marino (R., Pa.), to drop out of consideration for Trump drug czar. Don’t
worry. I am not about to overplay the
significance of this consequence. The
drug czar is a largely powerless office
whose value is symbolic at best.
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
A14 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
SPORTS
MLB PLAYOFFS
The Taming of Baseball’s Wild Horse
In the playoffs this year, Yasiel Puig has learned to channel his ebullience. Next up is the game’s biggest stage: the World Series
BY JARED DIAMOND
JONATHAN DANIEL/GETTY IMAGES
THE WILD HORSE still lives inside Yasiel
Puig, bucking and neighing in an unending
effort to gallop free. It emerges every time
Puig wags his tongue while running the
bases or kisses his hitting coach after bashing a home run or flips his bat into the air
on a humble single.
The Los Angeles Dodgers outfielder
earned his colorful nickname early in his career, still fresh out of the Cuban leagues, because his unbridled exuberance for the game
too often overshadowed his enormous talent. That passion and energy quickly turned
him into a folk hero and a pariah, a beacon
of hope for baseball’s future and an embodiment of the sport’s imminent demise, depending on the observer. On the field, Puig
constantly seemed capable of doing something simultaneously brilliant and reckless.
But this postseason has showcased a different Puig, demonstrating his possibility
for greatness when he channels the enthusiasm that defines him and directs it onto the
task at hand. He replaced the unchecked
pandemonium that earned him his controversial reputation with a unique style best
described as “controlled chaos.”
The results speak for themselves: He hit
.414 with four extra-base hits and six RBIs
in the first two rounds of the playoffs, powering the Dodgers to this moment, hosting
Game 1 of the World Series on Tuesday.
Finally, Puig has proven that he can play
with the joy that makes him so compelling
and the discipline to thrive on the grandest
of stages.
“We don’t want him to change who he is
and lose that energy that he brings,” said
Turner Ward, the Dodgers’ hitting coach Puig
cites as one of his most trusted influences.
“We want him to channel it in a different
way, and that’s what I feel like he’s done.”
For years, the Dodgers tried to tame Puig,
to rein in his giant personality and guide
him toward assimilation. They believed that
forcing him into the culture of conformity
that pervades the major leagues would help
them tap into Puig’s massive potential.
It didn’t work. After a blistering rookie
season, Puig, now 26, struggled on and off
the field. His production sagged and his name
popped up in plenty of trade rumors, culminating with his demotion to Triple-A in August 2016. Meanwhile, he ran into legal trouble, arrested twice on suspicion of reckless
driving. Less than a month ago, Dodgers manager Dave Roberts benched Puig in two consecutive games, one in response to a baserunning blunder and the other as punishment for
Puig arriving late to a pre-game activity.
Then, of course, came what Dodgers relief
pitcher Brandon Morrow described, with air
quotes, as the “antics”—the bombastic displays
of emotion that sometimes prompt opponents
to counter with a fastball to the ribcage. Ward
compares Puig to Hall-of-Fame outfielder
Rickey Henderson.
“They’re attention drawers,” he said “He
wants to absorb the attention.”
The Dodgers eventually realized that Puig
performs at his highest level when he lets
his ebullience shine. It drives him, and his
teammates feed on it, even if they don’t always understand or relate to it.
Early in his career, Yasiel Puig often let his emotions get the best of him. His teammates say his increased production is the result of improved focus.
Last season, Dodgers president of baseball
operations Andrew Friedman said multiple
times that the industry “failed the Cuban
players” by expecting them to immediately
adapt to American baseball, rather than allowing them to embrace their roots.
“It may not be the things that you do,” veteran outfielder Curtis Granderson said. “But
that doesn’t necessarily mean it’s wrong.”
Asked now about Puig’s magical October
thus far, people around the Dodgers invariably return to one word: focus.
Morrow: “I think you’ve seen a definite
narrowing of focus for him.”
Roberts: “He’s as focused as I’ve ever seen
him.”
Ace pitcher Clayton Kershaw: “His level
of focus this postseason has been the best
that I’ve ever seen it.”
Third baseman Justin Turner: “It’s that
fun, exciting, enjoying the game but with
concentration and focus and a plan.”
For that, Puig largely credits Ward, one
authority figure who stuck behind him when
others wavered. When Ward took over as
hitting coach last season, he formed an immediate bond with Puig, finding the balance
between challenging and encouraging him.
With Ward’s help, Puig learned to remove
some of the pressure he put on himself, accepting that he needed to first return to respectability before ascending to superstardom. He concentrated on his relationship
with his teammates, trying to blend in a bit
more in the clubhouse. He set tangible,
stated goals, a mature step for him.
Puig wanted to hit at least 20 home runs,
walk more and strike out less. He finished
with 28 homers and posted the best walk
and strikeout rates of his career. After homers, he kisses Ward on the cheek or forehead after returning to the dugout.
“I’m coming here and preparing more this
year than any years here with the team,”
Puig said. “I grew up a little bit more.”
Throughout these playoffs, Puig has exercised uncharacteristic patience at the plate,
abandoning his flailing hacks in favor of a
more measured approach. In Game 2 of the
National League Championship Series against
the Chicago Cubs, he drew three bases on
balls without the benefit of an intentional
walk, the first time he accomplished that in a
nine-inning contest since August 2013. Thanks
Weather
THE COUNT
Shown are today’s noon positions of weather systems and precipitation. Temperature bands are highs for the day.
0s
Calgary
Portland
d
60s
Helena
50s
Eugene
60s
p
Winnipeg
Seattle
30s
50s
Billings
p s / . Paul
Mpls./St.
P
Pierre
50s
T
t
Toronto
40s
50s
A bany
b
Albany
t
Boston
rtford
Hartford
ew Y
New
Yorkk
60s
k
Milwaukee
t
Detroit
l
Buffalo
70s
Cl l d
Cleve
Cleveland
Ch g
Chic
Chicago
Reno
70s
Des Moines
Pittsburgh
h
Cheyenne
Ph
hil d lphi
Philadelphia
80s
Indianapolis
Salt
alt Lake
ke Cit
City
C y
Sacramento
h Springfield
Omaha
p
Denver
90s
h ngton D.C.
D.C
DC
Washington
Charles
h
Charleston
an Francisco
Topekk
San
Topeka
80s 80s
h
d
Richmond
80s
C l d
Colorado
100+
Las
Kansas St.. Louis
p
Springs
60s
L
Lou
LLouisville
Lou
ill
70s
Ve
g
Vegas
City
l igh
h
Raleigh
h
Wichita
Nashville
h ill
Los A
Ange
Angeles
C
h l tt
Charlotte
ta Fe
F
Santa
ph
Memphis
C
b
Columbia
Alb q q
Albuquerque
Phoenix
kl homa
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C
Oklahoma
70s 80s Ph
Warm
Rain
A
Atlanta
San Diego
Rockk
L
Little
Tuc
Tucson
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Birmingham
Dallas
Jack
Jackson
Ft. Worth D
Cold
T-storms
80s Jacksonville
El P
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bil
Mobile
A
ti
Austin
0s
Stationary Snow
Houston
l d
Orlando
Tampa
Tamp
p
ew
w Orleans
New
10s
an Antonio
A t i
San
80s
90s
20s A
Showers Flurries
h g
Anchorage
90s
Honolulu
l l
Miami
ll
Siouxx Falls
60s
30s
40s
70s
Ice
U.S. Forecasts
s...sunny; pc... partly cloudy; c...cloudy; sh...showers;
t...t’storms; r...rain; sf...snow flurries; sn...snow; i...ice
Today
Tomorrow
City
Hi Lo W Hi Lo W
Anchorage
30 21 c
36 29 c
Atlanta
78 59 pc 77 66 c
Austin
88 64 pc 80 48 r
Baltimore
76 49 s
75 55 pc
Boise
47 43 r
61 44 pc
Boston
73 54 s
74 57 s
Burlington
71 50 s
74 55 pc
Charlotte
80 52 pc 79 63 pc
Chicago
77 62 pc 67 49 r
Cleveland
78 58 pc 79 59 pc
Dallas
87 59 pc 76 51 pc
Denver
55 35 pc 72 46 s
Detroit
75 56 pc 76 59 pc
Honolulu
88 75 pc 89 74 pc
Houston
87 70 pc 81 53 r
Indianapolis
76 59 pc 74 56 c
Kansas City
74 48 t
67 44 s
Las Vegas
74 56 s
82 62 s
Little Rock
79 65 pc 70 52 r
Los Angeles
81 63 s
94 66 s
Miami
87 79 pc 89 80 pc
Milwaukee
73 61 pc 67 47 r
Minneapolis
70 46 t
63 49 s
Nashville
80 60 pc 81 61 pc
New Orleans
85 73 c
83 68 t
New York City
75 58 s
73 60 pc
Oklahoma City
79 48 t
70 46 s
City
Omaha
Orlando
Philadelphia
Phoenix
Pittsburgh
Portland, Maine
Portland, Ore.
Sacramento
St. Louis
Salt Lake City
San Francisco
Santa Fe
Seattle
Sioux Falls
Wash., D.C.
Hi
70
86
78
85
76
67
60
71
78
57
68
61
56
67
77
Today
Lo W
43 t
72 pc
56 s
61 s
53 pc
46 s
55 r
45 pc
64 pc
42 s
52 s
30 s
52 r
36 c
55 s
Tomorrow
Hi Lo W
68 46 s
86 73 pc
75 58 pc
92 66 s
77 54 pc
66 49 pc
63 48 r
77 46 s
67 50 r
69 46 pc
74 53 s
65 38 s
60 49 sh
68 47 s
76 59 pc
International
City
Amsterdam
Athens
Baghdad
Bangkok
Beijing
Berlin
Brussels
Buenos Aires
Dubai
Dublin
Edinburgh
Hi
62
78
92
92
64
58
62
65
96
55
57
Today
Lo W
51 r
62 pc
59 s
78 t
46 pc
51 pc
47 sh
44 pc
79 s
44 r
46 r
Tomorrow
Hi Lo W
55 50 sh
79 62 s
90 61 s
90 77 t
57 42 c
56 44 sh
53 46 sh
63 46 s
96 79 s
55 49 c
54 44 sh
City
Frankfurt
Geneva
Havana
Hong Kong
Istanbul
Jakarta
Jerusalem
Johannesburg
London
Madrid
Manila
Melbourne
Mexico City
Milan
Moscow
Mumbai
Paris
Rio de Janeiro
Riyadh
Rome
San Juan
Seoul
Shanghai
Singapore
Sydney
Taipei
Tokyo
Toronto
Vancouver
Warsaw
Zurich
Hi
64
69
87
83
70
93
74
76
59
73
88
62
79
66
38
89
64
88
97
74
87
73
71
90
66
74
67
71
49
59
69
Today
Lo W
45 sh
43 pc
73 pc
70 s
57 pc
78 pc
57 s
54 t
50 pc
44 pc
78 c
51 c
53 pc
55 pc
26 pc
80 pc
47 sh
75 pc
69 s
56 s
78 s
52 s
57 pc
79 c
57 pc
68 r
62 r
51 pc
44 r
46 sh
46 pc
NOT BAD FOR AN OLD-TIMER
30s
Montreal
A g t
Augusta
Boise
40s
20s
Ottawa
Bismarckk
10s
50s
Tomorrow
Hi Lo W
53 45 c
51 41 sh
87 72 pc
81 70 s
71 57 s
93 76 sh
73 56 s
77 58 c
55 49 sh
69 42 pc
89 77 pc
61 51 c
77 53 pc
67 45 t
36 27 pc
89 78 pc
56 49 c
89 68 pc
98 65 s
70 50 t
86 76 s
69 48 s
73 57 s
90 78 c
72 58 pc
74 68 r
68 64 r
73 58 pc
56 46 sh
55 46 c
53 42 sh
Adrian Peterson looked like he was back to
his former Pro Bowl form in his new Cardinals’
digs after a dreadful two seasons.
But this Sunday against the Rams, the 32year-old Peterson has to prove that his 26-carry,
134-yard, two-touchdown effort last week was
not merely a last hurrah. It’s not uncommon for
older running backs to find that missing gear
one last time. Since the 1970 AFL-NFL merger,
14 backs over age 32 have had a 100-yard
game in their final season. Peterson hasn’t indicated that he plans to retire but his contract
isn’t guaranteed for 2018. In his seven prior
games, with the Vikings and Saints, Peterson
ran for just 153 yards on 64 carries.
Hall of Famers Tony Dorsett, John Riggins
and Emmitt Smith (for the 2004 Cardinals) managed multiple 100-yard games despite clearly being well past their primes in their final seasons.
Perhaps the best example of an out-of-nowhere performance was by Jerome Bettis in
2005 when he rambled for 101 yards on just 17
carries with two touchdowns against the Bears.
In his other 11 games that year, he rushed for
just 267 yards on 93 carries (2.9 per rush). Another Hall of Famer, Curtis Martin, averaged 8.2
yards on 18 October carries that same season,
but just 3.1 yards on his other 202 totes.
While the Cardinals are expected to give
Peterson the vast majority of their rushing attempts for as long as Pro Bowl back David
Johnson (wrist) remains sidelined, you can’t
make the case that Arizona provides a better
rushing environment than Peterson had in
New Orleans. According to Football Outsiders,
Arizona’s run blocking ranks 23rd out of the
32 teams. The Saints rank second.
—Michael Salfino
One Last Rush
Last 100-yard game in last season by RBs over age 32*:
PLAYER/TEAM
DeAngelo Williams PIT
Michael Pittman DEN
Warrick Dunn TB
Jerome Bettis PIT
Antowain Smith NO
Curtis Martin NYJ
Emmitt Smith ARI
Tyrone Wheatley OAK
Terry Allen BAL
Ricky Watters SEA
Kimble Anders KC
Tony Dorsett DEN
John Riggins WAS
MacArthur Lane KC
*Since 1950
AGE
SEASON
OPP
ATT-YDS-TD
33-140
33-059
33-281
33-298
33-237
32-168
35-162
32-251
33-320
32-253
34-042
34-172
36-084
36-199
2016
2008
2008
2005
2005
2005
2004
2004
2002
2001
2000
1988
1985
1978
WAS
JAX
CAR
CHI
CHI
BUF
SEA
TAM
MIN
DAL
STL
RAI
CLE
BUF
26-143-2
20-109-0
22-115-0
17-101-2
17-110-0
18-148-1
26-106-1
18-102-1
23-133-0
28-104-1
13-102-2
32-119-2
30-112-1
17-144-0
Source: Pro-Football-Reference; WSJ
Adrian
Peterson
NORM HALL/GETTY IMAGES
V
Vancouver
<0
40s
d
t
Edmonton
to six walks, Puig owns a 1.169 on-base-plusslugging percentage this postseason.
“I think people have gotten through to
him a little bit,” Kershaw said “I think he’s
built up trust with some people.”
Puig has done all of this without sacrificing his trademark flair. He has bat-flipped
on base hits and responded to a double by
raising his arms in the air with glee. He has
licked pine tar off his bat for good luck,
hammed for the cameras and thumped his
chest to ignite a Dodger Stadium crowd that
continues to shower him with affection.
After games, he appears comfortable with
the media. When a reporter asked him to
compare his fun-loving attitude with the more
reserved demeanor of center fielder Chris
Taylor, he responded simply, “He’s Gringo. I’m
Cuban.” Asked if he could ever remember having more fun on a baseball field, he said, “No.
When I was 5-years-old, I played better.”
It all adds up to the ideal version of Puig:
the Wild Horse, but maybe a little less wild.
“There’s a fine line between how much
fun you can have on the field and losing
that focus,” Turner said. “He’s found a way
to really balance it.”
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AmEx Mission: Regain Brand’s Cachet
New CEO will have
to deal with increasing
competition from
banks, fintech firms
BY ANNAMARIA ANDRIOTIS
Entrepreneur
Christopher Burch has been a loyal
user of American Express Co.
cards since 1979. This year, he
switched almost all of his
spending to J.P. Morgan Chase
& Co.’s Sapphire Reserve card.
Regaining customers like
Mr. Burch, who made the
Forbes list of wealthiest Americans in 2014, is one of the big
challenges for incoming AmEx
Chairman and Chief Executive
Stephen Squeri. Named successor to longtime chief Kenneth
Chenault on Wednesday, Mr.
Squeri will take over as the
card giant stresses it is building momentum after a recent
rough stretch.
The reality is more complicated. AmEx is still dealing
with rising competition from
banks and nimble fintech firms
such as PayPal Holdings Inc.,
the Silicon Valley payments
company whose market value
recently eclipsed AmEx’s. Investors aren’t clear, meanwhile, on where long-term revenue growth will come from,
or how AmEx will deal with
potential disruption to tradi-
tional payments channels from
new, mobile approaches.
When asked about competition at a shareholder lunch last
year, Mr. Chenault put the situation in a historical context, according to a person at the meeting. But, Mr. Chenault added,
the firm was under attack.
AmEx issues cards to consumers and businesses, both
credit cards and ones that must
be paid off monthly. It runs its
own card network and makes
loans to people and companies.
The firm has spent recent
years fending off rivals on several fronts, which has worried
some investors. Mr. Chenault’s
departure is “good timing from
a stock perspective but…there
are still challenges ahead,”
said Don Fandetti, a Wells
Fargo & Co. analyst.
Top of the to-do list for Mr.
Squeri: Regain the cachet of the
AmEx brand, both for millennials who don’t view it the same
way as their parents and for established customers who have
been wooed by banks offering
better services and more perks.
As competitive pressures
have mounted, AmEx has lost
market share to banks and to
card networks such as Visa
Inc. AmEx’s market share of total U.S. credit-card purchase
volume fell to 22.9% last year,
according to Nomura Instinet,
from 25.4% in 2015. It was
about 26% as recently as 2014.
The slip has in large part
been the result of several cobranded cards that AmEx has
lost since 2015, including
Costco Wholesale Corp. and
JetBlue Airways Corp.
Costco was viewed as a
huge loss for AmEx by many
shareholders, but the company’s earnings are starting to
rebound from that. “It turned
out the decision on Costco was
100% the right decision,” Warren Buffett, whose Berkshire
Hathaway Inc. is the largest
AmEx shareholder, told The
Wall Street Journal in an interview. “Everybody thought it
was a mistake at the time,” but
he said that since then, “the
Please see AMEX page B2
THE INTELLIGENT
INVESTOR
By Jason Zweig
American Express share of U.S.
credit-card purchase volume
2011 ’12 ’13
’14
’15
’16
Tax Plan
Rattles
Savings
Industry
‘Fee Only’
May Not
Be Only
Just Fees
JAMES MACDONALD/BLOOMBERG NEWS
BY ANNE TERGESEN
AND RICHARD RUBIN
Some manufacturers are cleaning up from China’s proposed ban on imported waste such as recycled plastic that is used for other products.
U.S. Firms See Money in Trash Ban
BY ERICA E. PHILLIPS
Some U.S. manufacturers
are turning trash into treasure after an impending Chinese ban on imported waste
flooded American scrapyards
with paper and plastic.
The import ban, announced
in July, sent global prices for
waste paper and plastic into a
tailspin.
Without access to their
Chinese customers, U.S. waste
and recycling firms are
scrambling to find new buyers
for the scrap they collect
from curbside bins. But companies that use recycled materials to make things like
cardboard, plastic bins, yarn
and other goods are taking
advantage.
“America has an endless
supply of waste and it just got
more endless,” said Anthony
Pratt, executive chairman of
Pratt Industries, which uses
100% recycled material in its
U.S. facilities to make boxes
for Amazon.com Inc. as well
as firms ranging from major
manufacturers to pizza joints.
Plunging scrap prices are
also driving new demand for
recycled materials, which usually have to compete with
growing supplies of new plastic resin made cheaply from
shale oil by U.S. plants.
On Wednesday, Target
Corp., Procter & Gamble Co.,
Keurig Green Mountain Inc.,
Campbell Soup Co., Coca-Cola
Co.’s North America business
and others agreed to require
suppliers of industrial plastic
items like crates and trash
bins to use more “post-consumer” material.
For environmentally conscious firms like Unifi Inc.,
which manufactures yarn and
packaging from recycled plastic bottles, China’s new rules
help keep down production
costs.
“By having more supply, we
expect the upward price pressure [on recycled material]
will be mitigated,” said Eddie
Ingle, Unifi’s vice president of
supply chain.
Over two-thirds of America’s wastepaper exports and
more than 40% of its discarded-plastic exports ended
up in China last year. Paper
and plastic scrap exports to
mainland China topped $2.2
billion.
China told the World Trade
Organization that it wants to
limit the entry of “foreign
waste.” Under new rules,
China by year-end would ban
imports of used plastics and
restrict some paper-scrap imports.
If China stands by its proposed restrictions, U.S. recycling businesses will need to
invest in machinery to more
stringently sort the waste
they collect, said Bob Cappadona of Casella Recycling
LLC, a waste-services company based in the Northeast.
It also means households
will have to do a better job of
sorting items headed for recycling, he added.
Proposals to cap the
amount that Americans can
contribute before taxes to
401(k) plans and individual retirement accounts are unsettling professionals in the retirement industry.
Congressional Republicans
are looking for ways to generate revenue to support broad
reductions in individual tax
rates. One idea is to limit the
amount of pretax money
households can sock away for
retirement saving. Such a
move would likely generate
significant political blowback,
but it hasn’t been explicitly
ruled out, stirring worry
among industry lobbyists.
Many opponents say any
plan that cuts contribution
limits would slow the growth
of the asset-management industry.
Members of the House
Ways and Means Committee
are widely expected to release
a version of the tax bill by
mid-November. Specifics on a
wide range of issues remain
unclear. Emily Schillinger, a
spokeswoman for the Ways
and Means Committee, declined to comment.
Lobbyists and others in the
retirement and financial-services industries who have spoken to congressional staff and
committee members say lawmakers are looking at proposals that would allow 401(k)
participants to contribute significantly less before taxes
than what is currently allowed
in a traditional tax-deferred
401(k). An often mentioned
amount is $2,400 a year. It
isn’t clear whether that would
apply only to 401(k)s or IRAs
Please see SAVE page B2
Japan’s SoftBank Plans Second Giant Tech Fund
BY MAYUMI NEGISHI
TOKYO—SoftBank Group
Corp., which runs what is already the world’s biggest technology investment fund, is
planning to create a second
fund that could be even larger,
according to people close to
the Japanese telecommunications and investment giant.
SoftBank, whose $100 billion Vision Fund hasn’t finished raising money, is floating tentative plans for a
second Vision Fund that could
be about $200 billion in size,
said one person familiar with
the company’s plans.
In an interview with
Japan’s Nikkei business daily
published Friday, SoftBank
chief executive Masayoshi Son
said he hoped to launch a new
fund every two or three years,
amassing a huge pool of capi-
tal to invest in technology
companies around the world.
The first Vision Fund, backed
by contributions from sovereign-wealth funds and tech giants such as Apple Inc., was
started this year.
“The Vision Fund was just
the first step. Ten trillion yen
($88 billion) is simply not
enough,” Mr. Son told the Nikkei, saying that the Vision
Fund will have invested its entire $100 billion investment
pool in about two years. “I
want to create a mechanism by
which we can build our funding capability by ¥10 trillion,
¥20 trillion, ¥100 trillion.”
Through the funds, SoftBank hopes to invest in about
1,000 companies in 10 years,
he said. A SoftBank spokesman confirmed Mr. Son made
those statements.
Several people close to the
KIYOSHI OTA/BLOOMBERG NEWS
In mid-October, the Certified Financial Planner
Board of Standards disciplined six financial advisers
for allegedly claiming to be
“fee only” when they also received commissions.
That’s a reminder of how
loosely investors, and many
advisers, understand one of
the most popular and alluring terms in the financial-advice industry.
As a 2013 investigation in
The Wall Street Journal
showed, up to 11% of certified financial planners working at big brokerage firms
described themselves on the
CFP board’s own website as
“fee only” when they also
could get commissions.
The CFP board has since
“taken steps to prevent”
planners who are registered
at brokerage firms from
claiming they are fee only on
its website, says its general
counsel, Leo Rydzewski.
A commission is a payment by the client, or a third
party, for a specific transaction, typically to trade a
stock, bond, fund or insurance. Fees are paid by the
client only for advice and
services rather than transactions.
You might expect that a
“fee-only” adviser would
never charge commissions. It
isn’t that simple, as the
Journal reported in February. And financial planners
use the term in baffling
ways. There is no official
regulatory or legal definition
of “fee only.” The CFP board
permits certified financial
planners to use that term “if,
and only if,” all of their compensation comes from the
clients as fees, not commissions.
According to a new analysis of Securities and Exchange Commission disclosures by my colleague
Andrea Fuller, almost 3,900
firms described themselves
as offering both investment
management and financial
planning to individual clients
as of March 31. More than
90% declared to the SEC that
they don’t charge commissions.
Some, however, state in
one disclosure filing that
they do charge commissions,
while claiming, on another
SEC form, to be “fee only.”
Consider Mediqus Asset
Advisors Inc., a Chicagobased firm that managed
$790 million as of March.
The firm’s Form ADV on
Please see INVEST page B5
Slipping
CEO Masayoshi Son says 10
trillion yen ‘is simply not enough.’
company said the plans are at
an early stage and that SoftBank hasn’t started marketing
a second fund. SoftBank said in
May it plans to complete capital raising for the first Vision
Fund by the end of November.
The gigantic numbers Mr.
Son has thrown about show
how his ambitions are shaking
up the tech-investment world.
Backed by a $45 billion pledge
from Saudi Arabia’s stateowned Public Investment
Fund, the first Vision Fund already dwarfs other rival tech
investors. The $100 billion targeted for the first Vision
Fund—of which $93 billion has
so far been raised—is roughly
equal to the total amount invested in venture businesses
globally last year, according to
research firm CB Insights.
Rival tech investors say the
fund’s sheer size has the potential to inflate company valuations, while some entrepreneurs worry that spurning
investments from the Vision
Fund could send capital to rival businesses. The availability
of private money from the
fund is also enabling latestage technology companies to
delay going public, analysts
and investors say.
“It will take opportunities
away from public markets,”
Sam Altman, president of the
tech incubator Y Combinator,
said at a panel at The Wall
Street Journal’s D.Live technology conference this week.
“That’s really bad.”
SoftBank declined to say
where the money for additional Vision Funds would
come from. One idea is that
SoftBank could open a portion
of one fund to retail investors,
according to a person familiar
with the company.
There is also the question
of what companies additional
Vision Funds could invest in.
The first fund has largely targeted companies with valuations of at least $1 billion.
—Phred Dvorak
and Eliot Brown
contributed to this article.
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
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B2 | Saturday/Sunday, October 21 - 22, 2017
* *****
INDEX TO BUSINESSES
THE WALL STREET JOURNAL.
BUSINESS & FINANCE
These indexes cite notable references to most parent companies and businesspeople
in today’s edition. Articles on regional page inserts aren’t cited in these indexes.
A
Fidelity Investments..B2
P
Abbott Laboratories...B4
Activision Blizzard......B4
AirMap.........................B4
Alphabet .............. B4,B12
Amazon.com..........A3,B4
American Express.......B1
Apple...........................B4
First Data..................B11
PayPal Holdings...B1,B12
Pratt Industries..........B1
Procter & Gamble
........................... B3,B12
Google ......................... B4
B
S
H
Samsung Electronics
........................... B4,B12
SoftBank Group..........B1
G
GE................................A2
R
General Electric...A1,B12
Risk Strategies.........B10
Harriman Capital........A2
Honeywell International
................................ B10
T
C
J
CardConnect..............B11
Certified Advisory.......B5
Concordia International
................................ B12
J.P. Morgan Chase......B1
L'Oréal.........................B3
U
D
M
Unifi.............................B1
Daimler........................B2
Dover.........................B10
DowDuPont...............B10
Mediqus Asset Advisors
.................................. B1
L
Microsoft.....................B4
TA Associates...........B11
Tencent Holdings........B4
Third Point................B10
T. Rowe Price Group...B2
V
Visa..............................B1
Volkswagen.................B2
F
N
W
Facebook....................B12
Nestlé...................B3,B10
Wells Fargo.................A1
SIMON DAWSON/BLOOMBERG NEWS
Berkshire Hathaway...B1
BluePay ..................... B11
BMW ........................... B2
Foxconn Technology
Group ........................ A3
INDEX TO PEOPLE
A
G
Altman, Sam...............B1
Gevertzman, Paul.......A3
Goldwein, Marc...........B5
Gray, Dave...................B2
B
Bert, Joseph................B5
Biggins, Jay ................ A3
Bornstein, Jeff ........... A2
Burch, Christopher......B1
Burman, Len................B5
Peltz, Nelson.............B12
Pomerleau, Kyle..........B5
R
Rydzewski, Leo...........B1
H
S
Hausch, Don..............B10
Heymann, Nicholas .... A2
Hochstim, David ......... B2
Schwarcz, Daniel ...... B10
Son, Masayoshi .......... B1
Sweeney, Mark...........A3
C
L
T
Cohodes, Marc .......... B12
Courtemanche, Bob .. B10
Loeb, Daniel.........B3,B10
Taylor, David.............B12
Thompson, Mark.......B12
D
Domas, Stephanie ...... B4
F
Fandetti, Don..............B1
Flannery, John.......A1,A2
M
Marks, Steven.............B4
Miller, Jamie...............A2
Moeller, Jon................B3
P
Paprocki, Ronald.........B5
AMEX
Continued from the prior page
progress is just terrific.”
Mr. Chenault also defended
his tenure, noting how he overcame numerous challenges.
“I’ve managed through three
crises [including] 9/11 and the
financial crisis,” he said in an
interview. “The repositioning
of what we did with co-brands
was very impressive.”
Asked about the Sapphire
Reserve card, Mr. Chenault
said AmEx has been “very focused on innovating” its Platinum card and that the card is
having “the best time ever.”
To dig out of the company’s
AmEx’s share of total
U.S. credit-card
purchase volume fell
to 22.9% last year.
slump and boost revenue, Mr.
Chenault leaned more on lending. That was a reversal from
the years after the financial
crisis when he was wary of
this business.
In the wake of the meltdown, Mr. Chenault opted to
make the company less banklike and stay focused on revenue generated from the fees
that merchants pay it when
customers use AmEx cards.
The company also put
roughly $1 billion into a division that focused mostly on
the prepaid-card market, ac-
SAVE
Continued from the prior page
or both.
Currently, employees under
age 50 can save up to $18,000
a year in a 401(k) before taxes,
while those 50 or older can set
aside up to $24,000. In an IRA,
the annual contribution limits
are capped at $5,500 and
$6,500 for the same age
groupings. The 401(k) limits
are scheduled to rise to
$18,500 and $24,500 in 2018.
Dave Gray, a senior vice
president at Fidelity Investments, said a $2,400 limit
would give the company a significant concern and would essentially require trade-offs between the certainty of the
immediate deduction and the
prospect of tax-free retirement
income.
Mr. Gray, speaking Friday at
the U.S. Chamber of Commerce in Washington, said
that implementing such a system would be extremely difficult and could take the industry 12 to 24 months to
implement.
There are two basic types
of retirement accounts. With a
traditional 401(k) or IRA, account holders generally get to
U
Uebber, Bodo...............B2
W
Wolfe, Chris..............B12
Worters, Loretta.......B10
cording to a former executive.
But the effort failed to take off.
It wasn’t until late 2014
when Mr. Chenault recognized
the disadvantage AmEx faced
when competing with big lenders, according to the person.
Negotiations were under way
for the Costco credit card, and
the deal appeared to be on the
ropes. Each time AmEx sweetened its bid, Costco told the
company it needed to do
more. AmEx was ultimately
outbid by an estimated $1 billion, the person said. Citigroup
Inc. won the business.
The jolt changed Mr.
Chenault’s thinking on lending.
At a 2015 meeting, he asked division heads how much revenue
and profit they could deliver in
the next two to three years to
fill the void left by Costco. One
executive said the firm could
build U.S. loan balances by 12%.
Mr. Chenault’s response, said a
person familiar with the meeting: “What would it take to
make it even bigger?”
AmEx’s lending push helped
improve earnings this year, but
shareholders are becoming
worried about future credit
losses. The firm’s total provisions for losses jumped 53% in
the third quarter from a year
earlier. Competing in premium
cards can be costly, too; the
company continued to increase
expenses in the third quarter.
“Their strategy has shifted
to one that relies a bit more on
lending, and it remains to be
seen what the full effects of
that will be in the next downturn,” said David Hochstim, a
director and senior research
analyst at ClearBridge Investments, an AmEx shareholder.
Put Aside
Retirement assets in definedcontribution plans, quarterly
$7 trillion
6
5
4
3
2
1
0
2Q
2016
3Q
4Q
1Q
’17
2Q
Source: Investment Company Institute
THE WALL STREET JOURNAL.
subtract their contributions
from their income. But they
must pay ordinary income
taxes on the money when they
withdraw it, typically in retirement when many people are in
a lower tax bracket.
With the second variety,
called a Roth 401(k) or Roth
IRA, there is no upfront tax
deduction but the money increases tax-free.
Under some of the proposals being floated, contributions above the amount set for
tax-deferred savings would
The Daimler exhibition at the Frankfurt Motor Show in September. The company said it had no plans to spin off businesses.
Scandal, Recalls Hurt Daimler AG
BY WILLIAM BOSTON
BERLIN—Daimler AG reported a sharp fall in thirdquarter profit, as its flagship
premium car brand MercedesBenz was hammered by airbag-related recalls and the
cost of fixing emissions controls on diesel vehicles.
The downbeat results on
Friday from Daimler, the first
of Germany’s big auto makers
to report this earnings season, could signal more bad
news to come from the industry as the fallout from the
diesel
emissions-cheating
scandal that began with
Volkswagen AG in 2015 continues to spread throughout
the auto industry.
Daimler said net profit fell
to €2.18 billion ($2.58 billion)
from €2.60 billion a year ago,
while earnings before interest
and taxes—the measure most
closely watched by investors—declined 14% to €3.46
billion. Profit was hit by currency
fluctuations
and
charges—€230 million to
cover recalls connected to airbag issues and €223 million to
fix or swap tainted diesel vehicles.
Total revenue—including
Mercedes-Benz,
Daimler
Trucks and a growing stable of
car-sharing and ride-hailing
operations—rose 6% to €40.81
billion.
Daimler’s earnings came
just days after it said it was
taking steps to consolidate its
five business divisions into
three separate registered companies, sparking speculation
that the businesses could be
spun off to investors.
The company has dismissed
suggestions of a possible
breakup, with Chief Finance
Officer Bodo Uebber saying
the move simply creates “the
best-possible structure for the
future.”
“We do not intend to spin
off these businesses,” he said.
Separately, Mr. Uebber said
the company had applied for
key witness protections in a
continuing European Union investigation into potential antitrust violations in the European auto industry.
Car makers have said that
they routinely cooperate in a
variety of industry working
groups and committees to
achieve standardization of new
technology. Daimler hopes that
by aiding the EU’s inquiries any
potential fines could be re-
Diesel Woes
Diesel costs weigh on Daimler’s quarterly earnings.
3Q 2017
CHANGE FROM A YEAR EARLIER
Revenue
€40.81 billion
Ebit*
€3.46 billion
Net profit
€2.18 billion
–16%
Earnings per share
€2.03
–16%
*Earnings before interest and taxes
Source: the company
6%
–14%
THE WALL STREET JOURNAL.
duced.
During the third quarter,
Daimler’s truck division posted
a strong rise in earnings but its
Mercedes unit went in reverse.
As well as charges, earnings
were hurt by costs related to
the launches of Mercedes’ new
flagship S-Class, X-Class lightutility vehicles and the company’s first electric heavy
truck.
Research and development
spending on new vehicles and
products, part of the company’s
push to build electric cars, digital services, and develop selfdriving vehicle technology, also
rose in the quarter to €2.3 billion from €1.9 billion.
Mounting costs related to
the industry’s diesel emissions
woes were among the biggest
headwinds hitting Daimler’s
bottom line.
In the face of threats to ban
diesel vehicles from cities to reduce pollution, Daimler and
other auto makers recalled millions of diesel vehicles to tweak
software to improve emissions
controls.
“Around 60% of the vehicles
affected in Germany have been
updated,” Mr. Uebber told reporters on a conference call.
EU Officials Raid BMW’s Headquarters
BY NATALIA DROZDIAK
AND WILLIAM BOSTON
BRUSSELS—European
Union competition authorities
raided BMW AG’s headquarters over concerns that several
German car makers violated
the bloc’s cartel rules through
agreements that might have
suppressed technology costs.
The EU said it conducted an
unannounced inspection of a
German car manufacturer between Monday and Friday,
alongside counterparts from
the German cartel office.
BMW confirmed that EU antitrust officials had inspected its
premises in Munich and spoken
to executives about cartel allegations against five automobile
manufacturers. The company
said it was assisting the EU.
The commission hasn’t
launched an official investigation and BMW hasn’t been
charged with wrongdoing.
The raid came after the luxury-car maker denied in late
July that it had cooperated with
rivals to keep a lid on the costs
of technology, including for systems used for reducing auto
emissions.
“The company stands by its
previous statements: as a matter of principle, BMW Group
vehicles are not manipulated
and comply with all respective
legal requirements,” BMW said
Friday.
Inspections are preliminary
steps in competition probes.
have to go into a Roth account. The change wouldn’t affect existing balances in traditional 401(k)s and IRAs, those
people said, and it is likely
that any matching contribution from an employer would
continue to go into a tax-deferred 401(k) account.
Congress’s goal in making
the switch is to reduce a tax
break that is projected to cut
federal revenue by $115.3 billion this fiscal year so the
money can be used to pay for
lower tax rates. The switch
could boost government revenue over the next decade, the
period when the tax bill will
likely face a $1.5 trillion cost
constraint. Shifting to Rothstyle accounts would move tax
revenue from the future to the
near term.
That would help Republicans meet budgetary targets
now but could cause problems
with a requirement that prevents the tax bill from expanding long-run deficits if they
want to pass a bill without
Democratic votes under a fasttrack process.
With the aim of targeting
retirement-tax incentives more
directly at the middle class,
lawmakers may also make
changes to an underused tax
credit that acts like a govern-
ment match to retirement savings.
If lawmakers enact these
changes, many savers will face
a choice between maintaining
their current savings rate or
their current take-home pay.
Sen. Rob Portman (R., Ohio)
said he was skeptical about
the idea of lower pretax deferrals for retirement savings.
Mr. Portman said Thursday
that he didn’t want to make
the decision just for revenue
reasons. “I’m deeply concerned about it,” he said. “I
don’t think you want to disincentivize retirement savings in
any way right now.”
Americans have saved
about $7.5 trillion in 401(k)type accounts, plus $8.4 trillion in individual retirement
accounts, according to the Investment Company Institute, a
trade group for mutual funds.
Industry groups have an incentive to keep the status quo
and are trying to preserve the
tax benefits of the current system. This year, AARP joined
with groups representing employers and asset managers—
including Fidelity Investments,
T. Rowe Price Group Inc. and
TIAA—to form Save Our Savings Coalition to lobby for the
existing tax treatment of retirement plans.
Earlier this year, Volkswagen revealed it had alerted
European regulators to potential competition issues related
to cooperation agreements between German car makers.
VW’s lifting of the veil on
behavior it thinks might have
been illegal is part of an effort
to review past practices and
invite closer scrutiny by authorities after its diesel emis-
sions-cheating scandal, a person familiar with the matter
said earlier this year.
In a letter sentto the European Commission in mid-2016,
Volkswagen provided details
of years of discussions between car makers to find common positions on technologies,
including the systems at the
center of the emissions-cheating crisis.
THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | B3
* * * *
BUSINESS NEWS
Thrifty Consumer Habits Puzzle P&G
Company remains
Pulling Back
under pressure despite P&G’s organic sales by unit, change from previous year
victory over activist
1Q 2018*
SEGMENT
investor Nelson Peltz
1Q 2017
Beauty
BY SHARON TERLEP
AND ALLISON PRANG
U.S. shoppers continue to
cut back spending on household goods from paper towels
to diapers, depressing sales at
Procter & Gamble Co., and
the consumer giant would like
to know why.
The maker of Tide and
Pampers reported another
quarter of sluggish growth
Friday. Fresh off an apparent
victory over activist investor
Nelson Peltz, P&G is under
pressure to show it can bolster
sales.
The company’s organic
sales, a closely watched metric
that strips out currency
moves, acquisitions and dives-
Fabric/Home Care
Health Care
Baby/Feminine/Family Care
Grooming
Total
–6%
–4%
–2%
0
2%
4%
6%
*Fiscal year 2017 ended June 30
Note: Organic sales exclude the impact of acquisitions, divestitures and currency changes.
Source: the company
THE WALL STREET JOURNAL.
titures, rose 1% in the quarter,
the increase almost entirely
driven by emerging markets
outside the U.S.
“We’ve been unable to put
our finger on why this has
been,” Chief Financial Officer
Jon Moeller said in a call with
investors. Shoppers continue
to consume at the same levels
but are spending less on staples. “I’ve heard theories but
nothing to explain the broad
slowdown.”
P&G said global spending
on consumer staples, already
tepid in 2017, has slowed even
more. The company estimated
global industry growth at
about 2.3% for the quarter,
down from 2.5% the previous
period. U.S. growth was essentially flat, the company said.
This week, fellow consumer-products company Unilever PLC also reported
weaker-than-expected sales,
while Reckitt Benckiser Group,
maker of Lysol cleaner and
Durex condoms, said it would
split its business into two divisions.
Neither gains by lower-cost
private-label products nor
consumers switching to lesspricey brands accounts for the
U.S. spending decline, Mr.
Moeller said.
He discounted two other
theories behind the slowdown:
that Hispanic shoppers are
spending less amid concerns
over Trump administration
immigration policies and that
consumers have shifted spending to services. P&G data show
no particular slowdown in
markets with a large Hispanic
population, Mr. Moeller said,
“and the idea that, ‘I want a
cellphone so I’m not going to
wash my hair,’ doesn’t make
sense to me.”
Price cuts driven by retailers as they battle each other
and online rivals may in part
account for the decreased
spending, he said.
P&G said its fiscal firstquarter profit rose 5% as
China, once a weak spot, now
is driving growth. To highlight
the turnaround there, Mr.
Moeller hosted the analysts’
call from P&G’s Guangzhou office. Two years ago, P&G CEO
David Taylor said publicly that
the company lost its footing
there. P&G’s organic sales in
the country rose 8% in the recently ended quarter.
Shares in P&G, up 5.5% over
the past year, declined 3.2% to
$88.63 in morning trading.
The results come as Mr.
Peltz narrowly missed obtain-
ing a seat on P&G’s board last
week, according to a preliminary vote tally. At least $60
million was spent on the proxy
fight—which the Trian Partners chief executive says isn’t
over yet—making it the priciest in U.S. history. Trian declined to comment on P&G’s
first-quarter results Friday.
The company’s profit rose
to $2.85 billion, or $1.06 a
share, from $2.71 billion, or 96
cents a share. Total sales rose
to $16.65 billion from $16.52
billion.
The company expects sales
to grow 2% to 3% in the current fiscal year, which ends in
June, unchanged from the previous forecast.
P&G’s sales growth in the
first quarter was helped by
segments related to beauty;
fabric and home care; and
health care. Net sales in the
grooming segment, as well as
baby, feminine and family
care, each fell.
BY SAABIRA CHAUDHURI
Activist investor Daniel
Loeb praised Nestlé SA’s recent moves to raise shareholder value, but indicated on
Friday that he would continue
to push the packaged-foods giant to make further changes.
In a letter to investors, the
Third Point LLC hedge fund
founder said he was “pleased”
with Nestlé Chief Executive
Mark Schneider’s “overall shift
in tone, particularly indicated
by the willingness to give a
specific margin target and
commit to selling assets.”
In recent months Mr. Loeb
has become one of Nestlé’s
biggest shareholders, building
up a 1.3% stake in the maker
of Kit Kat chocolate and Nescafe coffee. He pushed for four
big changes of which Nestlé
has already begun executing
three: driving growth through
shuffling its portfolio, raising
leverage to return capital to
shareholders, and setting a
formal profit margin target.
However, Mr. Schneider has
resisted Mr. Loeb’s call for the
company to sell its 23.29%
stake in cosmetics giant
L’Oréal SA, saying the investment remains a good one.
On Friday, Mr. Loeb indicated that he won’t back down
from urging Nestlé to do
more. “We believe there is
much more opportunity to unlock value, particularly by further optimizing capital allocation and carefully evaluating
the L’Oréal stake as part of a
comprehensive portfolio review,” he said.
Nestlé didn’t respond to a
request to comment on Mr.
Loeb’s remarks.
Mr. Loeb, the Third Point
LLC hedge fund founder who
flew to London last month to
attend Nestlé’s investor day,
said he had been impressed by
Mr. Schneider’s “strong presentation” at the event. Mr.
Loeb said the company’s new
target of a 17.5% to 18.5%
profit margin by 2020 and its
$20.8 billion share buyback
“imply a return to double-digit
EPS growth through 2020 after five years of essentially
zero growth.” “Meeting these
goals alone would create enormous value for shareholders,”
Mr. Loeb said.
His largely bullish remarks
give Nestlé some breathing
room as it struggles to jumpstart sales growth.
Earlier this year Nestlé
ditched a longstanding goal of
achieving 5% to 6% organic
sales growth after it missed
the target for four straight
years through 2016.
The Swiss consumer giant
on Thursday reported sales
growth of 2.6% for the first
nine months of the year. It
said it was on track to post
2.6% growth for the full year,
too, compared with 3.2% last
year.
STEFAN WERMUTH/REUTERS
Activist Investor Pushes for More Changes at Nestlé
Daniel Loeb endorsed recent moves by Nestlé but said more needed to be done. He has pressured
the maker of Kit Kat chocolate and Nescafe coffee to sell its stake in cosmetics giant L’Oréal.
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B4 | Saturday/Sunday, October 21 - 22, 2017
* ***
THE WALL STREET JOURNAL.
TECHNOLOGY
WSJ.com/Tech
Pacemaker Fix
Against Hackers
Raises New Fears
GARY CAMERON/REUTERS
BY PETER LOFTUS
A drone demonstration before a House subcommittee. More than 14,000 authorization requests for drones are pending at the FAA.
Clearing Drones for Takeoff
Proposed FAA system
automates approvals
to ease air-traffic
controllers’ stress
BY ANDY PASZTOR
With roughly 250 monthly
encounters between drones and
manned aircraft nationwide,
automated procedures are being developed to reduce pressure on air-traffic controllers.
Operators of unmanned aircraft increasingly either fly
close to U.S. airports without
first obtaining required Federal Aviation Administration
authorizations, or belatedly
contact controllers to expedite
requests for approvals, according to a recently released FAA
document. In some instances,
the agency says, last-minute
phone calls to airport towers
entail “distractions for airtraffic control management”
while “creating a potential
safety hazard.”
To alleviate such problems,
industry experts and federal
safety regulators have joined
forces to launch a computerized system later this year.
The goal is to more easily and
quickly give the green light to
drone operations slated for
closer than 5 miles to U.S. airports. Commercial flights in
such airspace currently require manual approvals from
the FAA to proceed, which
typically can take months and
has been a longstanding
source of industry frustration.
More than 14,000 individual
authorization requests are
now pending and the FAA
projects that unless the process is changed, the total
backlog could climb to more
than 25,000 by March.
The FAA document posted
in the Federal Register this
month projected that switching
to automated authorizations
will reduce encounters between drones and manned aircraft by 30%, eliminating some
450 problematic events over
the next six months. Most incidents don’t pose an imminent
threat to airliners or other
manned aircraft, but monitoring and cataloging them uses
controller resources.
Roughly four dozen airports
may begin relying on the automated capability, which also
will allow recreational drone
users and operators of remotecontrolled aircraft to notify
controllers of upcoming flights
in the proximity of airports.
Critics of the proposal
worry it could inadvertently
create difficulties for controllers. “They are so stressed already” that it’s “reckless to
have anything more put on
their plates,” said aviation attorney Steven Marks of the
law firm Podhurst Orseck PA.
But drone proponents,
some of whom have been
working for the past year to
assemble the foundations of
the proposed system, counter
that automated approvals for
routine, minimal-risk requests
will help promote industry expansion while reducing the
burden on controllers.
Ben Marcus, chief executive
of service provider AirMap
Inc., said the proposal “demonstrates that public-private
partnerships for airspace management are not only possible,
they’re happening today.” AirMap is expected to serve as
one of the intermediaries.
Tencent Aims to Crack U.S. Game Market
Global Gaming
Top countries for videogame-software revenue, 2017 projections
By Alyssa Abkowitz
in Beijing and
Sarah E. Needleman
in New York
China
game faces an uphill battle in
the U.S., where the company
can’t lean on its popular messaging apps to hook players.
The game, which allows
teams of players to battle one
another online, is so popular
in China that Tencent this year
installed a curfew for young
players after one state-run
newspaper called it a “drug”
and “poison.”
With 50 million daily active
Japan
$27.5 billion
U.S.
$25.1
$12.5
Germany
$4.4
U.K.
$4.2
Source: Newzoo BV
users there, according to Tencent, “Honor of Kings” is in
the same league as Activision
Blizzard Inc.’s global hit
“Candy Crush Saga,” analysts
Legal Notices
To advertise: 800-366-3975 or WSJ.com/classifieds
INTERNATIONAL NOTICES
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said.
In the second quarter alone,
the game—which is free to
play and generates revenue
through small in-game pur-
Number of cybersecurity alerts
issued by the U.S. Department of
Homeland Security for
vulnerabilities in medical devices
and equipment.
8
3Q 2017
8 alerts
6
4
2
0
2015
’16
’17
Source: MedCrypt
THE WALL STREET JOURNAL.
other devices in recent years,
including infusion pumps made
by Pfizer Inc.’s Hospira unit
and insulin pumps from Johnson & Johnson’s Animas unit.
There were no known reports of these devices being
hacked, according to an arm of
the Department of Homeland
Security that monitors cyberthreats. In 2007, doctors
disabled the wireless features
of then-Vice President Dick
Cheney’s implanted heart device to guard against an attack
by a hacker, according to
“Heart,” a book Mr. Cheney cowrote with his doctor.
“It’s really the first time this
has come to a head, where
there is this need for doctors to
start making this decision
about whether they should fix
cyberthreats in something
when it poses a safety risk for
patients,” said Stephanie Domas, lead medical security engineer with Battelle, a nonprofit
research-and-development institute in Columbus, Ohio.
Alexa, Are You Worried About New Rival?
ADVERTISEMENT
THE WALL STREET JOURNAL.
chases from weapons to character upgrades—pulled in $375
million through Apple Inc.’s
App Store in China, app data
provider App Annie Inc. estimates.
But despite being the
world’s most valuable gaming
company, Tencent has yet to
release a hit game in the
U.S.—and “Honor of Kings” is
its most ambitious attempt to
date.
To maximize the appeal of
the game to Western users,
the company struck a deal
with DC Comics and will be
swapping out historical Chinese characters for DC Comics
superheroes such as Batman
and Wonder Woman. The
game also got a new name:
“Arena of Valor.”
Cyber-Medical Alerts
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NOTICES
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All Rights Reserved.
BY JAY GREENE
Microsoft Corp. is set to
enter the fast-growing voiceenabled speaker market on
Sunday, nearly three years after rival Amazon.com Inc.
launched the pioneering Echo.
Microsoft’s entry comes via
a partner, Samsung Electronics Co.’s Harman Kardon unit,
whose Invoke speaker will use
Microsoft’s Cortana digital assistant to take commands.
Similar to Amazon’s original Echo, the Invoke is a Pringles can-size speaker that can
play music, check traffic and
answer questions about sports
scores or historical facts.
Microsoft and Harman Kardon announced plans in May
to launch the Invoke, priced at
$199. In August, Harman Kardon said it also would launch
the Allure, a voice-enabled
speaker using Amazon’s Alexa.
Though Microsoft’s arrival
to the market comes years after Amazon’s, the company is
betting the Invoke can draw
customers in with its connections to Microsoft products
that have millions of users,
such as the Office productivity
franchise and Skype internetcalling.
Cortana, like Amazon’s Alexa, will take commands from
users. Because of its integration with Office, Invoke users
HARMON KARDON
China’s Tencent Holdings
Ltd. is banking on a successful
launch abroad for “Honor of
Kings,” but the hit smartphone
A software patch to fix a cybersecurity weakness in hundreds of thousands of implanted
heart devices has raised a dilemma among doctors and patients: Is the fix worth the risk?
The software update that
Abbott Laboratories released
in late August is supposed to
reduce the risk that someone
with malicious intent could gain
unauthorized remote access to
a patient’s pacemaker. Abbott
issued the update after outside
security researchers identified
vulnerabilities in the devices.
But Abbott has said the update itself—administered in a
doctor’s office or hospital—
carries a slight risk of causing
a malfunction in the pacemakers, which are implanted in
patients’ chests to correct abnormal heart rhythms.
The dilemma underscores the
limits of technology as medical
devices increasingly are connected to the internet. The connections help doctors remotely
catch problems that might otherwise go undetected—such as
irregular heart rhythm or dwindling battery life—but they theoretically can expose devices to
hackers. And yet, when companies offer fixes, the decision to
adopt them isn’t easy.
There are no known reports
of patients being harmed by
hacking of the pacemakers, according to the Food and Drug
Administration. A hacker would
have to be within close proximity to a person to gain unauthorized access, said Mike Kijewski,
chief executive of MedCrypt, a
device-security firm.
Since Abbott released the
software update, the FDA has
received at least 12 reports
claiming malfunctions of pacemakers during the updates, according to a review by The Wall
Street Journal of the agency’s
database of medical-device adverse events. Several of the reports say the pacemaker went
into backup-pacing mode during
the update, and in some cases
the update wasn’t successfully
completed. In backup mode, the
pacemaker switches to a fixed
default rhythm rather than one
customized for that patient.
None of the reports cited any
serious harm to patients.
Abbott spokeswoman Candace Steele Flippin said the
company wasn’t aware of any
reports of patient harm from
the updates. The company designed the update so that
pacemakers would temporarily operate in backup-pacing
mode, with life-sustaining features remaining available, and
revert to pre-update settings
once it is complete.
Suzanne B. Schwartz, associate director for science and
strategic partnerships at the
FDA, said the cybersecurity vulnerabilities in the Abbott de-
vices posed an “unacceptable”
risk, and the agency felt
strongly that the company
make a fix available. She said
the FDA isn’t in a position to
mandate that patients get the
updates, but she cautioned
against doctors assuming that
the risk of hacking is so low
that the update isn’t worth it.
The Abbott pacemakers in
question are implanted in
about 465,000 people in the
U.S. Abbott declined to say how
many patients have received
the cybersecurity update.
Some doctors and institutions, such as the cardiology
department at NewYork-Presbyterian/Weill Cornell Medical
Center, aren’t recommending
the update. “We don’t feel the
benefit at this point necessarily outweighs the potential risk
of uploading this software,”
said Bruce Lerman, chief of
cardiology at the hospital.
Cybersecurity researchers
have identified weaknesses in
Microsoft says Invoke will appeal to users of its Office products and Skype internet calling.
also will be able to add appointments to their Outlook.com calendar and check
the time and location of their
next meeting.
“We have to play to the
strengths we have,” said Andrew Shuman, a Microsoft vice
president who runs the Cortana engineering team.
The Invoke, though, faces
significant hurdles. Amazon
has a huge head start in the
market and a bevy of voice-enabled speakers that start at
$50. It recently introduced a
second-generation
Echo,
priced at $100, and has ex-
panded its offerings to include
smaller devices that connect
to speaker systems, portable
versions, and a voice-enabled
gadget with a screen.
Alphabet Inc.’s Google unit,
which entered the homespeaker market a year-and-ahalf ago, has, like Amazon, recently refreshed its lineup,
with devices ranging from a
large $400 speaker to a $50
gadget that is smaller than a
doughnut. Apple Inc., meanwhile, is preparing a $350
voice-enabled speaker, the
Home Pod.
Microsoft’s speaker isn’t
just late, said Carolina Milanesi, an analyst with marketresearch firm Creative Strategies; it also lacks meaningful
differentiation.
The Invoke includes smarthome capabilities such as
turning on lights with voice
commands, but so do its rivals, Ms. Milanesi noted. And
while it can make calls to
phones using Skype, Amazon’s
and Google’s devices enable
landline calling.
With some stuff that could
have been a differentiator,
they missed the boat,” Ms.
Milanesi said.
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | B5
* * * *
WEEKEND INVESTOR
TAX REPORT | By Laura Saunders
Progress Report
These Breaks Don’t Make the Grade
The tax
breaks Americans love most
are actually
some of the
least effective
given their cost.
If these provisions were
based solely on what’s best
for America, the mortgageinterest deduction would end
or be tilted toward lower
earners, tax specialists say.
Health-insurance premiums
paid by employers would be
taxable. Write-offs for charitable gifts would be tightened, and the deduction for
state and local taxes would
be limited or ended. Investment incentives, such as the
lower rate on long-term capital gains, would be reconfigured.
As a result, the $1.3 trillion a year that these and
other tax breaks for individuals “cost” Uncle Sam would
probably shrink. So would
market distortions they encourage: Health-care prices
might moderate, and Americans might put less of their
savings into homes and more
elsewhere.
These radical changes
aren’t going to happen.
As Congress struggles to
enact the first major overhaul of the tax code in 30
years, it faces severe budget
constraints and political
pressures. President Donald
Trump has already called for
preserving deductions for
both mortgage interest and
charitable donations.
Yet none of these beloved
tax breaks rates higher than
a B-minus, according to an
informal survey of specialists at the Tax Foundation,
the Tax Policy Center and
the Committee for a Responsible Federal Budget. We
asked them to grade the
breaks for cost effectiveness
and averaged the results.
“Do I as a taxpayer want
to subsidize a college building named after a rich person who donates?” says
Marc Goldwein, policy director at the Committee for a
Responsible Federal Budget.
There’s surprising agree-
ment among tax specialists
of different political leanings
about the poor design of top
breaks. They even agree
about some fixes, unrealistic
as these may be. Here are
their thoughts.
Employer-provided
health insurance and medical care. Critics give this
break a D-plus, saying it
helps drive up health-care
costs, encourages overconsumption of medical care
and impedes a market for individual insurance. Some
workers don’t switch jobs
because of health coverage.
Mr. Goldwein suggests replacing the current benefit
with a tax credit, a fixed-dollar offset for each taxpayer.
Capital gains. The
lower rate for long-term capital gains reaps praise for
lessening double taxation of
corporate profits and encouraging investment.
Critics say the benefit
goes mostly to the top 1%,
and it’s an engine for tax
shelters. The capital-gains
exemption at death—the
Many cherished benefits aren't cost-effective, some say.
FY2018 cost
$227.9 billion
Mortgage-interest deduction. Our specialists all
gave this break a D. They
think it raises house prices,
creating a barrier to entry,
and encourages people to
buy larger houses than they
would otherwise.
Possible fixes: Limit the
benefit to one home instead
of the current two. In addition, encourage lower-income buyers by turning the
deduction into a tax credit.
Charitable-donation
deduction. This write-off
gets a C-plus. While it encourages worthy charitable
giving, some think it’s a double subsidy because nonprofits don’t pay taxes. The ability to donate appreciated
assets, such as stock, without owing capital-gains tax
also encourages gaming, critics say.
it probably is confusing.”
Certified Advisory Corp.,
a financial-planning and investment firm in Altamonte
Springs, Fla., manages about
$1.3 billion in assets. The
firm repeatedly describes itself as “fee only” on its website. Certified’s official SEC
brochure says the firm is
“ ‘fee only,’ ” but its representatives “may or may not
be characterized as ‘fee
only.’ ”
About 3% of the total revenue generated from Certified’s clients has come from
sales of insurance and securities on a commission, says
its president, Joseph Bert.
Those commissions aren’t
earned by Certified, he says,
but by representatives the
firm retains as independent
contractors.
Mr. Bert says the commissions are fully disclosed and
derive from occasional, “oneoff transactions” outside the
usual scope of the firm’s
practice, such as setting up a
gift account for a client’s
child.
The term “fee only” can
be a marketing magnet.
“People are commissionaverse,” Mr. Bert says, “and
we’re trying to separate ourselves from all the other
firms out there that are just
trying to sell a product and
call it financial planning.”
Confusing? You bet. If you
want to hire a financial planner who charges only fees,
you will have to ask probing
questions. Start with these:
Are you a fiduciary, who
must always act in my best
interests? Will you put that
in writing? Does anybody
else ever pay you to advise
me and, if so, do you earn
more to recommend certain
products or services?
If the answer to the last
question is yes, “fee only” is
just talk, and you should
walk.
Capital gains*
its investment advice is fee
only. “That’s a dilemma,”
says Mr. Paprocki. “The
whole reason we’re talking
to you about this is because
Biggest 1,000 Stocks | WSJ.com/stocks
YTD 52-Week
% Chg Hi Lo Stock
How to Read the Stock Tables
The following explanations apply to NYSE, NYSE Arca, NYSE MKT and Nasdaq Stock Market listed securities. Prices
are composite quotations that include primary market trades as well as trades reported by Nasdaq OMX BXSM
(formerly Boston), Chicago Stock Exchange, CBOE, National Stock Exchange, ISE and BATS.
The list comprises the 1,000 largest companies based on market capitalization.
Underlined quotations are those stocks with large changes in volume compared with the issue’s average trading
volume.
Boldfaced quotations highlight those issues whose price changed by 5% or more if their previous closing price was
$2 or higher.
h-Does not meet continued listing
v-Trading halted on primary market.
Footnotes:
s-New 52-week high.
standards
vj-In bankruptcy or receivership or
t-New 52-week low.
lf-Late filing
being reorganized under the
dd-Indicates loss in the most recent q-Temporary exemption from Nasdaq Bankruptcy Code, or securities
four quarters.
requirements.
assumed by such companies.
FD-First day of trading.
t-NYSE bankruptcy
Wall Street Journal stock tables reflect composite regular trading as of 4 p.m. and
changes in the closing prices from 4 p.m. the previous day.
Friday, October 20, 2017
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
NYSE
ABB 3.0 24 25.46
20.84 25.83 20.26 ABB
AES 4.3 dd 11.13
-4.22 12.47 10.60 AES
s 20.47 85.24 66.50 Aflac
AFL 2.1 13 83.85
AGCO 0.8 31 70.82
22.40 75.58 48.93 AGCO
T 5.5 17 35.54
-16.44 43.03 35.10 AT&T
46.63 56.60 37.38 AbbottLabs ABT 1.9 44 56.32
s 53.47 98.26 55.06 AbbVie
ABBV 2.7 24 96.10
19.09 140.00 112.31 Accenture ACN 1.9 26 139.49
-30.30 261.43 153.28 AcuityBrands AYI 0.3 22 160.90
ADNT 1.3 dd 85.10
45.22 86.42 39.66 Adient
-48.69 177.83 82.21 AdvanceAuto AAP 0.3 17 86.78
23.02 6.70 4.89 AdvSemiEngg ASX 3.7 14 6.20
s 5.24 6.13 4.16 Aegon
AEG 5.2 17 5.82
s 27.52 53.19 39.97 AerCap
AER ... 9 53.06
AET 1.2 35 160.84
29.70 164.52 104.59 Aetna
s 35.95 198.31 130.48 AffiliatedMgrs AMG 0.4 22 197.54
47.61 67.82 42.92 AgilentTechs A 0.8 35 67.25
5.62 53.17 35.05 AgnicoEagle AEM 0.9 41 44.36
AGU 3.3 26 107.65
7.06 111.88 87.82 Agrium
s 7.23 154.74 129.00 AirProducts APD 2.5 30 154.22
ALK 1.5 13 79.69
-10.19 101.43 69.12 AlaskaAir
63.55 141.31 76.32 Albemarle ALB 0.9 33 140.78
AA ... 31 47.93
70.69 49.30 20.00 Alcoa
10.02 124.49 101.73 AlexandriaRealEst ARE 2.8306 122.26
BABA ... 62 177.32
101.94 184.70 86.01 Alibaba
Y
-7.15 667.19 510.52 Alleghany
... 18 564.65
ALLE 0.7 34 88.02
37.53 89.81 61.47 Allegion
AGN 1.5 7 188.28
-10.35 256.80 182.80 Allergan
4.76 266.25 197.69 AllianceData ADS 0.9 25 239.37
8.10 26.15 20.40 AllianceBernstein AB 7.7 12 25.35
s 15.78 43.97 34.88 AlliantEnergy LNT 2.9 26 43.87
17.33 40.25 27.03 AllisonTransm ALSN 1.5 22 39.53
ALL 1.6 14 92.97
25.43 95.25 66.55 Allstate
s 30.86 24.92 16.68 AllyFinancial ALLY 1.9 13 24.89
-20.45 35.29 24.30 AlticeUSA ATUS ... ... 26.02
MO 4.1 9 65.00
-3.87 77.79 60.01 Altria
115.48 23.54 9.21 AlumofChina ACH ... 87 22.00
ABEV ... 29 6.71
36.66 7.03 4.70 Ambev
s 17.35 61.74 46.97 Ameren
AEE 3.0 21 61.56
s 53.06 19.50 11.02 AmericaMovil AMX 1.7 26 19.24
s 54.96 19.11 10.83 AmericaMovil A AMOV 1.7 26 19.06
t-12.36 52.53 43.43 AmCampus ACC 4.0 89 43.62
AEP 3.2 64 73.98
17.50 74.59 57.89 AEP
24.31 93.35 65.03 AmericanExpress AXP 1.5 18 92.09
s 19.45 106.52 73.38 AmericanFin AFG 1.3 12 105.26
AIG 2.0 dd 64.87
-0.67 67.47 57.35 AIG
31.60 148.71 99.72 AmerTowerREIT AMT 1.9 56 139.07
s 21.28 87.87 69.41 AmerWaterWorks AWK 1.9 33 87.76
APU 8.5128 44.88
-6.34 50.00 42.00 Amerigas
s 38.92 154.31 86.25 Ameriprise AMP 2.2 18 154.12
6.42 97.85 68.38 AmerisourceBrgn ABC 1.8 22 83.21
s 41.11 68.83 43.98 Ametek
AME 0.5 30 68.58
28.82 88.00 64.73 Amphenol APH 0.9 29 86.57
-29.71 73.33 39.96 AnadarkoPetrol APC 0.4 dd 49.01
ANDV 2.2 38 106.56
21.85 107.71 75.11 Andeavor
BUD 3.5 63 125.49
19.02 127.32 98.28 AB InBev
23.27 12.73 9.83 AnnalyCap NLY 9.8 4 12.29
-17.72 27.85 18.23 AnteroResources AR ...389 19.46
ANTM 1.4 18 194.69
35.42 199.23 114.85 Anthem
s 35.87 151.84 107.19 Aon
AON 1.0 38 151.54
APA 2.4 dd 41.53
-34.57 69.00 38.14 Apache
-3.04 46.85 39.66 ApartmtInv AIV 3.3244 44.07
s 65.44 32.47 17.62 ApolloGlobalMgmt APO 6.5 13 32.03
s 19.91 36.27 28.03 AquaAmerica WTR 2.3 27 36.02
ARMK 1.0 32 43.29
21.19 43.81 32.73 Aramark
s 36.26 29.97 18.84 ArcelorMittal MT ... 4 29.84
-4.73 47.88 40.22 ArcherDaniels ADM 2.9 18 43.49
ARNC 0.9 dd 27.17
46.55 30.69 16.75 Arconic
98.08 196.27 79.05 AristaNetworks ANET ... 50 191.68
17.22 84.53 58.52 ArrowElec ARW ... 15 83.58
26.72 35.60 25.55 AstraZeneca AZN 2.6 24 34.62
ATH ... 9 53.72
11.94 55.22 43.25 Athene
17.15 89.00 68.51 AtmosEnergy ATO 2.1 23 86.87
133.94 67.69 22.07 Autohome ATHM ... 39 59.14
ALV 2.0 19 122.97
8.68 127.75 93.31 Autoliv
-25.29 813.70 491.13 AutoZone AZO ... 13 590.06
2.28 199.52 158.32 Avalonbay AVB 3.1 25 181.19
AGR 3.6 22 48.30
27.51 49.04 35.42 Avangrid
42.00 102.55 68.55 AveryDennison AVY 1.8 23 99.71
7.76 34.10 24.27 AxaltaCoating AXTA ... dd 29.31
BBT 2.8 18 47.50
1.02 49.88 38.23 BB&T
BCE 4.9 19 46.95
8.58 48.27 41.83 BCE
15.34 44.62 33.37 BHPBilliton BHP 4.2 19 41.27
0.09
-0.16
-0.60
-0.92
-0.15
0.32
-0.38
0.87
-0.04
0.12
-0.14
-0.03
-0.08
0.80
3.20
1.82
0.37
-0.30
-0.12
1.36
0.86
1.29
1.39
-1.10
-0.61
3.73
0.28
-0.99
6.57
0.25
0.02
0.54
0.24
0.37
0.50
0.63
0.64
-0.11
...
0.58
0.68
-0.15
0.15
0.19
-0.31
-0.20
0.68
0.52
-0.03
1.67
1.01
0.18
0.47
0.34
1.61
-0.45
-0.08
-0.13
1.49
0.72
-0.37
-0.06
0.17
-0.01
0.46
0.50
0.18
0.49
1.55
0.90
-0.09
-0.69
-0.21
-0.92
-1.53
-5.21
0.59
-0.07
0.92
0.11
0.76
-0.40
-0.29
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
15.92 39.12 28.73 BHPBilliton BBL 4.7 17 36.47 -0.25
BP 6.2 36 38.75
3.67 39.48 32.53 BP
...
BRFS ... dd 13.84 -0.14
-6.23 17.21 10.60 BRF
BT 7.6 18 18.12 -0.10
-21.32 24.65 18.05 BT Group
s 50.78 59.96 36.16 BWX Tech BWXT 0.7 32 59.86 0.68
t-10.71 40.82 31.44 BakerHughes BHGE 2.0 dd 33.26 0.11
BLL 0.9 83 42.30 0.36
12.69 43.06 35.65 Ball
26.59 9.35 6.04 BancoBilbaoViz BBVA 5.0 13 8.57 0.04
34.61 95.80 64.92 BancodeChile BCH 2.8 18 92.38 -0.47
94.25 127.84 61.12 BancoMacro BMA 0.6 17 125.00 1.09
40.88 31.61 21.06 BcoSantChile BSAC 3.4 18 30.81 -0.01
26.64 6.99 4.40 BancoSantander SAN 2.9 13 6.56 -0.02
18.57 48.74 31.98 BanColombia CIB 2.9 10 43.49 -0.39
s 22.94 27.18 16.28 BankofAmerica BAC 1.8 16 27.17 0.59
8.79 78.86 62.32 BankofMontreal BMO 3.7 13 78.24 -0.59
12.11 55.29 41.93 BankNY Mellon BK 1.8 16 53.12 0.27
15.21 65.07 51.21 BkNovaScotia BNS 3.9 13 64.15 -0.67
BCS 2.1 dd 10.31 0.17
-6.27 12.05 8.77 Barclays
s 46.96 330.16 203.63 Bard CR
BCR 0.3 43 330.16 2.86
0.31 20.78 13.80 BarrickGold ABX 0.7 8 16.03 -0.07
BAX 1.0 39 63.59 0.12
43.41 64.75 43.13 BaxterIntl
s 27.96 212.54 161.29 BectonDickinson BDX 1.4 61 211.83 2.47
WRB 0.8 15 70.13 0.69
5.44 73.17 55.55 Berkley
s 16.07 283390 213680 BerkHathwy A BRK.A ... 21 283352 2537.50
s 15.99 189.04 142.35 BerkHathwy B BRK.B ... 21 189.04 1.83
s 22.88 60.09 42.74 BerryGlobal BERY ... 26 59.88 0.68
BBY 2.4 15 55.83 0.37
30.84 63.32 37.10 BestBuy
21.76 242.79 154.89 Bio-RadLab A BIO ...444 221.94 2.90
9.40 47.55 41.10 BlackKnight BKI ... 74 45.95
...
61.39 11.78 6.65 BlackBerry BB ... 10 11.12 -0.11
s 25.25 489.79 336.84 BlackRock BLK 2.1 22 476.62 -0.17
27.49 35.09 23.33 BlackstoneGroup BX 6.3 15 34.46 0.45
-15.50 18.95 14.25 BoardwalkPipe BWP 2.7 13 14.67 0.05
s 70.06 264.83 134.25 Boeing
BA 2.1 23 264.75 5.71
32.35 52.77 33.09 BorgWarner BWA 1.1 59 52.20 0.15
-2.27 140.13 113.69 BostonProperties BXP 2.4 42 122.93 -0.70
s 37.26 29.83 19.67 BostonScientific BSX ... 51 29.69 0.12
s 39.09 29.94 15.26 Braskem
BAK 2.6 62 29.50 0.24
10.23 66.10 46.01 Bristol-Myers BMY 2.4 23 64.42 -0.25
13.94 73.41 52.71 BritishAmTob BTI 2.4 11 64.19 0.72
-24.57 26.91 17.35 BrixmorProp BRX 5.6 19 18.42 -0.26
s 27.24 84.58 59.86 BroadridgeFinl BR 1.7 31 84.36 0.69
29.93 43.15 32.04 BrookfieldMgt BAM 1.3 34 42.89 0.01
30.03 44.91 30.76 BrookfieldInfr BIP 4.0 93 43.52 -0.08
9.94 50.24 36.05 Brown&Brown BRO 1.2 26 49.32 0.32
22.14 60.28 45.17 Brown-Forman A BF.A 1.3 31 56.49 0.05
24.84 59.71 43.72 Brown-Forman B BF.B 1.3 31 56.08 0.32
-19.27 73.01 52.53 BuckeyePtrs BPL 9.5 15 53.41 -0.40
BG 2.6 21 71.17 0.34
-1.48 83.75 59.04 Bunge
4.47 104.07 68.94 BurlingtonStores BURL ... 25 88.54 -0.49
CBD 0.1150 24.95 -0.15
50.76 25.90 14.08 CBD Pao
s 27.79 40.34 25.40 CBRE Group CBG ... 20 40.24 0.23
CBS.A 1.2180 59.47 0.79
-8.25 71.07 56.32 CBS A
-7.39 70.09 55.03 CBS B
CBS 1.2179 58.92 1.09
17.50 37.39 22.18 CF Industries CF 3.2 dd 36.99 0.66
10.35 53.78 45.81 CGI Group GIB ... 20 53.00 -0.60
CIT 1.3 dd 49.91 0.63
16.94 50.40 35.14 CIT Group
15.76 49.11 38.78 CMS Energy CMS 2.8 24 48.18 -0.01
CNA 2.4 12 50.49 -0.55
21.66 53.67 34.51 CNA Fin
CEO 4.0 16 127.19 -0.42
2.61 138.07 108.05 CNOOC
11.10 17.69 13.27 CPFLEnergia CPL 1.6 38 17.11 -0.11
CRH 1.3 21 36.69 0.42
6.72 38.06 31.55 CRH
-3.07 88.58 69.30 CVS Health CVS 2.6 15 76.49 1.86
COG 0.8 dd 25.53 0.05
9.29 27.14 20.02 CabotOil
9.74 96.39 75.36 CamdenProperty CPT 3.3 21 92.26 -0.31
-23.98 64.23 44.99 CampbellSoup CPB 3.0 16 45.97 0.60
CM 4.6 11 89.22 -1.12
9.34 92.22 72.62 CIBC
21.04 84.48 61.72 CanNtlRlwy CNI 1.6 23 81.58 -0.63
3.58 35.28 27.52 CanNaturalRes CNQ 2.7 33 33.02 -0.07
s 24.40 179.17 139.29 CanPacRlwy CP 1.0 19 177.61 0.61
CAJ 4.0 22 35.78 -0.07
27.15 35.94 27.76 Canon
2.79 96.92 71.91 CapitalOne COF 1.8 13 89.67 2.19
-7.31 84.88 62.70 CardinalHealth CAH 2.8 17 66.71 0.56
CSL 1.4 29 103.80 1.53
-5.88 116.40 92.09 Carlisle
KMX ... 21 75.14 0.30
16.70 77.64 47.50 CarMax
CCL 2.7 18 65.88 0.09
26.55 69.89 46.11 Carnival
CUK 2.7 18 66.02 0.07
28.97 70.56 46.15 Carnival
41.64 132.12 80.33 Caterpillar CAT 2.4876 131.36 0.59
34.11 109.11 69.96 Celanese A CE 1.7 18 105.60 0.31
CX ... 11 7.96 -0.13
3.09 10.37 6.91 Cemex
-34.50 16.82 6.76 CenovusEnergy CVE 1.6 5 9.91 -0.10
CNC ... 21 96.50 1.80
70.77 98.72 50.00 Centene
20.54 30.45 21.91 CenterPointEner CNP 3.6 21 29.70 -0.05
-1.60 7.70 3.49 CentraisElBras EBR ... 4 6.75 0.30
-19.93 33.45 18.17 CenturyLink CTL 11.3 28 19.04 0.55
153.01 57.68 15.90 Chemours CC 0.2 38 55.89 -0.28
Yld
Net
Sym % PE Last Chg
CVX 3.6 38 118.64
0.80 120.89 99.87 Chevron
14.00 30.90 21.38 ChinaEastrnAir CEA ... 9 25.48
26.03 16.61 12.16 ChinaLifeIns LFC 1.1 31 16.22
-2.67 59.16 50.07 ChinaMobile CHL 4.1 13 51.03
3.38 84.88 67.82 ChinaPetrol SNP 4.1 11 73.42
35.82 43.35 25.60 ChinaSoAirlines ZNH 2.1 10 34.92
11.99 53.77 45.58 ChinaTelecom CHA 2.6 16 51.66
24.24 16.55 10.84 ChinaUnicom CHU 1.8142 14.35
CMG ... 69 324.76
-13.93 499.00 295.11 Chipotle
s 16.56 155.29 121.48 Chubb
CB 1.8 14 154.00
7.19 36.37 31.28 ChunghwaTelecom CHT 4.8 22 33.82
4.50 54.18 42.55 Church&Dwight CHD 1.6 27 46.18
CI 0.0 22 191.42
43.50 193.00 115.03 Cigna
-13.66 146.96 89.49 CimarexEnergy XEC 0.3 40 117.34
C 1.7 14 73.53
23.73 76.14 47.70 Citigroup
7.58 39.75 25.50 CitizensFin CFG 1.9 16 38.33
6.46 141.76 111.24 Clorox
CLX 2.6 24 127.77
COH 3.3 19 40.35
15.22 48.85 34.16 Coach
KO 3.2 48 46.38
11.87 46.98 39.88 Coca-Cola
33.54 44.75 30.55 Coca-Cola Euro CCE 2.4 26 41.93
12.43 91.84 59.44 Coca-Cola Femsa KOF 2.5 21 71.44
10.51 77.27 63.43 Colgate-Palmolive CL 2.2 27 72.32
-16.22 16.09 12.37 ColonyNorthStar CLNS 8.6 96 12.50
s 16.09 79.20 49.81 Comerica
CMA 1.5 18 79.07
SBS ... 8 9.63
10.94 11.33 7.75 SABESP
-14.26 41.68 32.16 ConagraBrands CAG 2.5 24 33.91
1.14 147.55 106.73 ConchoRscs CXO ... 32 134.11
0.22 53.17 40.96 ConocoPhillips COP 2.1 dd 50.25
ED 3.3 21 84.86
15.17 86.16 68.76 ConEd
37.79 214.53 144.00 ConstBrands A STZ 1.0 27 211.25
-26.46 60.30 29.08 ContinentalRscs CLR ... dd 37.90
COO 0.0 34 235.35
34.54 256.39 158.73 Cooper
GLW 2.1 14 30.06
23.86 32.17 22.23 Corning
COTY 3.2 dd 15.85
-13.44 23.32 15.33 Coty
BAP 1.8 15 208.62
32.16 213.82 146.03 Credicorp
12.51 16.17 12.34 CreditSuisse CS 4.4 dd 16.10
-5.87 28.30 18.50 CrestwoodEquity CEQP 10.0 dd 24.05
21.00 108.88 79.38 CrownCastle CCI 4.0 87 104.99
15.79 61.61 51.57 CrownHoldings CCK ... 17 60.87
s 12.40 99.53 72.96 Cullen/Frost CFR 2.3 20 99.17
s 29.58 177.30 121.22 Cummins
CMI 2.4 20 177.10
13.94 113.71 89.66 DTE Energy DTE 2.9 19 112.24
DXC 0.8 dd 91.89
32.73 93.40 64.06 DXC Tech
DHR 0.6 27 90.79
16.64 91.64 76.27 Danaher
DRI 3.0 21 82.77
13.82 95.22 60.97 Darden
DVA ... 9 59.35
-7.55 70.16 53.58 DaVita
DE 1.9 22 129.15
25.34 132.50 85.27 Deere
s 49.61 82.50 46.64 DellTechnologies DVMT ... dd 82.24
43.79 104.09 60.50 DelphiAutomotive DLPH 1.2 21 96.84
DAL 2.3 11 53.27
8.29 55.75 40.05 DeltaAir
5.07 19.48 11.89 DeutscheBank DB 1.2 dd 16.98
-23.52 50.69 28.79 DevonEnergy DVN 0.7 8 34.93
DEO 3.0 25 135.31
30.18 137.59 99.46 Diageo
25.58 127.23 85.63 DigitalRealty DLR 3.0 49 123.39
-7.66 74.33 55.01 DiscoverFinSvcs DFS 2.1 12 66.57
DIS 1.6 18 99.40
-4.62 116.10 90.60 Disney
DLB 0.9 30 59.77
32.26 60.49 44.98 DolbyLab
s 12.88 83.79 65.97 DollarGeneral DG 1.2 19 83.61
4.45 81.65 69.51 DominionEner D 3.9 23 80.00
DPZ 1.0 36 186.11
16.87 221.58 153.58 Domino's
12.10 48.91 35.85 Donaldson DCI 1.5 27 47.17
8.89 41.12 33.78 DouglasEmmett DEI 2.3 68 39.81
s 26.72 95.19 65.50 Dover
DOV 2.0 22 94.95
5.95 71.88 64.01 DowDuPont DWDP ... 33 71.18
-1.81 99.47 81.05 DrPepperSnap DPS 2.6 21 89.03
-18.99 50.10 29.83 DrReddy'sLab RDY 0.9 36 36.68
13.28 88.40 72.34 DukeEnergy DUK 4.0 26 87.93
8.62 30.14 22.96 DukeRealty DRE 2.6 31 28.85
E 5.9 77 32.72
1.49 34.62 26.15 ENI
EOG 0.7 dd 96.84
-4.21 109.37 81.99 EOG Rscs
EQT 0.22112 63.35
-3.13 75.74 49.63 EQT
-6.16 82.99 69.20 EQT Midstream EQM 5.2 14 71.96
18.10 91.39 66.10 EastmanChem EMN 2.3 14 88.82
ETN 1.9 18 78.93
17.65 81.63 59.07 Eaton
s 23.93 52.06 34.44 EatonVance EV 2.4 23 51.90
ECL 1.1 30 132.80
13.29 134.89 110.65 Ecolab
EC ... 23 9.94
9.83 10.36 7.65 Ecopetrol
EIX 2.7 19 79.60
10.57 82.82 67.44 EdisonInt
20.68 121.45 81.12 EdwardsLife EW ... 34 113.08
17.99 66.10 49.38 EmersonElectric EMR 2.9 32 65.78
-41.17 26.22 13.87 EnbridgeEnPtrs EEP 9.3 dd 14.99
-6.67 44.52 37.37 Enbridge
ENB 5.0 38 39.31
ECA 0.5 13 11.38
-3.07 13.85 8.01 Encana
32.40 10.95 7.67 EnelAmericas ENIA 3.3 31 10.87
ENIC ... 10 5.94
30.55 6.31 4.25 EnelChile
39.45 27.74 18.35 EnelGenChile EOCC 7.1 12 27.11
-10.62 20.05 13.77 EnergyTrfrEquity ETE 6.6 22 17.26
-26.98 27.99 17.43 EnergyTransfer ETP 12.5 9 17.54
s 16.59 85.72 66.71 Entergy
ETR 4.1 dd 85.66
-6.62 30.25 24.01 EnterpriseProd EPD 6.7 20 25.25
EFX 1.4 23 109.97
-6.99 147.02 89.59 Equifax
21.21 90.80 65.87 EquityLife ELS 2.2 43 87.39
2.77 68.83 58.28 EquityResdntl EQR 3.0 58 66.14
11.54 270.04 200.01 EssexProp ESS 2.7 33 259.34
42.24 111.79 75.30 EsteeLauder EL 1.2 32 108.80
9.37 277.17 191.11 EverestRe RE 2.1 8 236.67
12.49 64.19 50.56 EversourceEner ES 3.1 20 62.13
EXC 3.3 21 39.58
11.52 39.88 29.82 Exelon
5.86 83.23 68.09 ExtraSpaceSt EXR 3.8 29 81.77
ExxonMobil
XOM 3.7 30 83.11
-7.92 93.22 76.05
FMC 0.7287 94.55
67.17 95.08 45.91 FMC
s 13.66 186.37 150.95 FactSet
FDS 1.2 28 185.76
-11.48 149.01 120.50 FederalRealty FRT 3.2 40 125.80
FDX 0.9 21 225.07
20.88 227.00 168.00 FedEx
RACE ... 41 114.60
97.11 118.10 50.39 Ferrari
83.33 18.10 6.28 FiatChrysler FCAU ... 8 16.72
68.99 16.93 7.12 FibriaCelulose FBR ...2195 16.24
0.44
0.57
0.55
0.86
0.24
0.25
-0.07
-0.10
-0.51
0.02
0.08
-1.10
3.20
2.02
0.65
0.90
-2.35
0.88
-0.21
-0.01
0.52
-0.42
...
1.59
0.04
0.15
1.85
0.54
0.02
-0.73
1.13
-0.73
...
0.02
1.99
0.18
0.15
1.77
0.19
1.17
1.79
0.10
0.86
0.69
0.80
0.65
0.63
0.60
-0.80
1.00
0.11
-0.02
-0.65
-0.49
0.91
0.39
0.23
0.70
0.05
-0.01
0.26
-0.71
5.45
0.29
-0.28
0.37
0.08
-0.03
0.12
1.08
0.29
-0.47
0.03
0.91
0.39
1.06
-0.07
0.13
1.05
0.62
-0.21
-1.02
-0.14
0.08
-0.05
-0.11
-0.23
-0.29
0.30
-0.08
-0.54
-0.38
0.08
-0.60
-0.90
-0.58
0.07
-0.19
0.07
0.37
0.43
3.50
-1.43
1.10
-1.31
0.19
0.45
B-
154.6
State and local tax deductions
D
110.8
Mortgage-interest deduction
D
69.1
Charitable-donation deduction
C+
63.1
*Excluding agriculture, timber, iron ore, and coal; includes cost of ‘step-up’ at death
Sources: U.S. Treasury Department (cost); analysts at Tax Policy Center,
Committee for a Responsible Federal Budget, and Tax Foundation (grade)
THE WALL STREET JOURNAL.
CHRISTOPHE VORLET
business. Yet because
Mediqus is affiliated with a
brokerage, he says, it must
disclose that it may take
commissions even though all
D+
“step-up”—prompts investors to refrain from selling.
Grade: B-minus.
Kyle Pomerleau, policy director at the Tax Foundation,
wishes taxpayers could get a
tax deduction when they invest, but then owe tax on
sales at ordinary rates, with
no step-up at death.
State and local tax deductions. Some specialists
grade them C-plus because
they encourage state and local governments to provide
services, while others give
them a flat F, saying they
unfairly subsidize locales
with higher earners and
higher taxes, encouraging
bloated government. Average
grade: D.
Len Burman, a Tax Policy
Center economist and former
Treasury Department official
during the 1986 tax overhaul, opts for a C-plus. But
even he would repeal them.
In his dreams, he would put
the revenue in a federal
“rainy day” fund to help
states through temporary
economic crises.
INVEST
Continued from page B1
file with the SEC declares
that Mediqus takes commissions. On the other hand, the
firm’s official brochure, also
filed with the SEC, states
that its investment-advisory
services are fee only. On still
another hand, the official
brochure adds that Mediqus
or its advisers “may receive
a commission from the purchase or sale of publicly
traded stocks, bonds, mutual
funds, unit investment
trusts, REITs or other publicly traded securities or insurance products” by clients
not using “our fee-only investment advisory services.”
Ronald Paprocki, chief executive of Mediqus, says
commissions probably account for less than 1% of its
Grade
Employer-provided health insurance and medical care
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
s 45.63 35.98 22.84 FidelityNatlFin FNF 2.0 16 35.70
31.39 18.48 11.00 FNFV Group FNFV ... 8 18.00
s 25.97 95.50 73.25 FidelityNtlInfo FIS 1.2 48 95.28
WUBA ...144 67.08
139.57 69.80 27.58 58.com
FDC ... 32 19.08
34.46 19.20 13.01 FirstData
8.85 105.52 72.43 FirstRepBank FRC 0.7 24 100.29
3.75 34.83 27.93 FirstEnergy FE 4.5 dd 32.13
16.37 176.42 121.52 FleetCorTech FLT ... 33 164.68
-5.56 52.10 37.51 Flowserve FLS 1.7 56 45.38
FLR 1.9 55 43.19
-17.76 58.37 37.04 Fluor
19.03 103.82 73.45 FomentoEconMex FMX 1.5 29 90.71
-0.25 13.27 10.47 FordMotor F 5.0 13 12.10
19.87 26.30 17.79 ForestCIty A FCE.A 2.2 dd 24.98
FTS 3.7 22 37.09
20.11 37.67 29.14 Fortis
FTV 0.4 28 72.01
34.27 73.21 46.81 Fortive
25.33 67.77 52.05 FortBrandsHome FBHS 1.1 24 67.00
33.32 85.03 53.31 Franco-Nevada FNV 1.2103 79.67
13.87 47.65 33.02 FranklinRscs BEN 1.8 15 45.07
12.43 17.06 9.85 Freeport-McMoRan FCX ... 21 14.83
15.83 50.22 38.05 FreseniusMed FMS 1.1 23 48.89
GGP 4.2 18 21.17
-15.25 27.10 20.31 GGP
s 21.09 63.14 47.16 Gallagher
AJG 2.5 25 62.92
GPS 3.4 13 26.96
20.14 30.74 21.02 Gap
IT ...228 125.28
23.95 130.02 84.54 Gartner
12.96 10.69 8.32 Gazit-Globe GZT 4.1 2 9.76
23.86 214.81 148.76 GeneralDynamics GD 1.6 22 213.86
t-24.59 32.38 22.10 GeneralElec GE 4.0 27 23.83
-15.80 64.06 50.12 GeneralMills GIS 3.8 19 52.01
30.91 46.11 30.21 GeneralMotors GM 3.3 7 45.61
G 0.8 22 29.69
21.98 31.93 22.62 Genpact
-7.23 100.90 79.86 GenuineParts GPC 3.0 20 88.63
GGB 0.7 dd 3.63
15.61 4.39 2.60 Gerdau
GIL 1.2 19 31.68
24.87 31.87 23.55 Gildan
6.05 44.53 37.20 GlaxoSmithKline GSK 4.9 41 40.84
39.99 100.34 64.63 GlobalPayments GPN 0.0 ... 97.17
GDDY ...285 45.00
28.76 45.37 31.63 GoDaddy
GG 0.6 24 13.09
-3.75 17.87 11.91 Goldcorp
2.21 255.15 172.51 GoldmanSachs GS 1.2 13 244.73
s 54.00 127.96 72.88 Graco
GGG 1.1 85 127.96
GWW 2.5 25 207.81
-10.52 262.71 155.00 Grainger
17.26 32.25 25.85 GreatPlainsEner GXP 3.4 31 32.07
13.35 9.38 7.18 GpoAvalAcciones AVAL 4.5 14 9.00
25.03 10.82 6.73 GpFinSantandMex BSMX 1.9 13 8.99
14.12 27.37 19.69 GrupoTelevisa TV 0.4 63 23.84
57.65 81.46 49.18 GuidewireSoftware GWRE ...278 77.77
9.50 91.03 67.00 HCA Healthcare HCA ... 11 81.05
HCP 5.6 18 26.36
-11.31 33.67 26.11 HCP
58.21 100.26 59.00 HDFC Bank HDB 0.5 ... 96.00
s 48.38 22.16 13.77 HP
HPQ 2.4 16 22.02
HSBC 4.0 85 49.54
23.30 50.86 36.93 HSBC
-19.89 58.78 38.18 Halliburton HAL 1.7 dd 43.33
8.90 27.07 18.91 Hanesbrands HBI 2.6 15 23.49
-15.15 63.40 45.25 HarleyDavidson HOG 2.9 15 49.50
s 33.43 137.17 88.89 Harris
HRS 1.7 30 136.73
18.55 57.16 42.30 HartfordFinl HIG 1.6 32 56.49
2.27 33.00 26.34 HealthcareAmer HTA 4.1142 29.77
s 49.53 93.00 52.71 Heico
HEI 0.2 45 92.29
s 42.40 77.60 46.66 Heico A
HEI.A 0.2 38 77.35
HLF 1.6 16 74.62
55.01 79.64 47.62 Herbalife
HSY 2.4 35 109.02
5.40 116.49 94.03 Hershey
HES 2.2 dd 45.03
-27.71 65.56 37.25 Hess
4.31 15.12 12.44 HewlettPackard HPE 1.9201 14.04
HLT 0.8620 71.04
27.30 71.54 44.73 Hilton
12.06 37.00 22.63 HollyFrontier HFC 3.6 46 36.71
21.89 166.63 119.20 HomeDepot HD 2.2 23 163.43
3.56 32.17 27.05 HondaMotor HMC ... 9 30.23
s 25.46 145.96 107.51 Honeywell HON 2.1 23 145.35
t-11.69 38.84 30.29 HormelFoods HRL 2.2 19 30.74
s 56.13 43.03 26.69 DR Horton DHI 0.9 16 42.67
3.29 20.21 14.69 HostHotels HST 4.1 24 19.46
-3.34 31.85 23.70 HuanengPower HNP 6.7 12 25.17
HUBB 2.3 23 123.07
5.46 125.93 101.61 Hubbell
HUM 0.7 20 245.81
20.48 259.76 165.03 Humana
27.81 236.94 146.52 HuntingtonIngalls HII 1.0 19 235.42
51.83 29.43 16.02 Huntsman HUN 1.7 16 28.97
... 31 61.85
11.93 62.23 47.96 HyattHotels H
16.17 9.85 6.69 ICICI Bank
IBN 1.0 16 7.91
32.55 18.94 12.70 ING Groep ING 3.0 14 18.69
s 23.07 37.42 27.46 Invesco
IVZ 3.1 17 37.34
s 39.65 125.80 84.62 IDEX
IEX 1.2 32 125.77
s 26.60 155.12 111.50 IllinoisToolWks ITW 2.0 25 155.03
INFY 3.1 15 14.56
-1.82 16.14 13.42 Infosys
24.61 94.39 63.87 Ingersoll-Rand IR 1.9 23 93.51
INGR 1.9 19 123.98
-0.78 137.62 113.07 Ingredion
17.19 71.24 52.27 ICE
ICE 1.2 24 66.12
15.90 57.80 39.82 InterContinentl IHG ... 25 53.66
IBM 3.7 14 162.07
-2.36 182.79 139.13 IBM
s 27.61 150.38 113.16 IntlFlavors IFF 1.8 30 150.36
IP 3.3 30 58.21
9.71 58.95 43.55 IntlPaper
-10.81 25.71 19.57 Interpublic IPG 3.4 15 20.88
14.60 23.56 19.80 InvitationHomes INVH 1.4 ... 22.92
s 25.99 41.17 30.75 IronMountain IRM 5.4 57 40.92
3.41 4.95 3.52 IsraelChemicals ICL ... dd 4.25
33.85 14.59 9.10 ItauUnibanco ITUB 0.4 12 13.76
s 15.32 99.89 67.64 JPMorganChase JPM 2.3 14 99.51
3.19 63.42 49.16 JacobsEngineering JEC 1.0 31 58.82
-7.42 17.28 13.55 JamesHardie JHX 3.8 27 14.72
15.26 36.25 30.24 JanusHenderson JHG ...266 35.27
s 23.60 143.62 109.32 J&J
JNJ 2.4 25 142.40
1.04 46.17 36.74 JohnsonControls JCI 2.4 dd 41.62
29.30 134.76 86.62 JonesLangLaSalle JLL 0.5 20 130.64
-7.89 30.96 22.46 JuniperNetworks JNPR 1.5 15 26.03
12.25 48.65 38.16 KAR Auction KAR 2.7 29 47.84
KB ... 8 50.20
42.25 54.36 34.36 KB Fin
KKR 3.3 8 20.38
32.42 20.64 13.57 KKR
KT ... 11 14.35
1.85 18.82 13.43 KT
23.97 109.13 79.05 KSCitySouthern KSU 1.4 21 105.19
0.11
0.10
0.13
-0.40
0.63
2.84
-0.17
0.64
0.89
0.13
-0.69
0.02
-0.05
-0.40
0.91
1.42
-0.05
0.20
0.02
-0.06
-0.09
0.28
0.35
2.04
0.12
2.22
0.25
-0.02
0.26
-0.05
-1.08
-0.02
0.30
-0.26
0.36
0.80
-0.17
4.74
2.00
3.16
-0.13
...
0.09
0.18
0.38
1.26
...
0.44
0.06
0.35
-0.09
0.34
1.41
1.12
0.02
0.04
2.03
2.05
-0.89
-0.33
-0.02
0.18
-0.06
0.58
0.19
-0.21
1.73
0.29
0.14
-0.37
0.12
2.24
3.12
0.61
-0.01
-0.01
-0.10
-0.03
0.46
1.13
1.55
-0.14
2.43
0.82
-0.73
-0.57
1.17
2.24
0.60
0.08
0.18
-0.04
0.02
-0.09
1.40
0.52
-0.13
0.19
0.36
0.38
-1.02
0.21
-0.17
-0.09
0.02
-0.15
1.41
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
t-16.63 78.37 60.96 Kellogg
K 3.5 28 61.45
KEY 2.1 16 18.49
1.20 19.53 12.84 KeyCorp
s 17.20 43.19 31.81 KeysightTechs KEYS ... 32 42.86
-1.37 78.33 66.98 KilroyRealty KRC 2.4 52 72.22
t -0.60 136.21 110.33 KimberlyClark KMB 3.4 19 113.44
-25.40 28.38 17.02 KimcoRealty KIM 5.8 98 18.77
-11.06 23.01 18.23 KinderMorgan KMI 2.7 33 18.42
19.05 44.45 26.68 Knight-Swift KNX ... 42 40.28
KSS 4.9 11 44.49
-9.90 59.67 35.16 Kohl's
35.98 42.25 28.19 KoninklijkePhil PHG 2.2 24 41.57
-1.41 23.03 16.51 KoreaElcPwr KEP ... 6 18.22
KR 2.4 13 21.02
-39.09 36.44 19.69 Kroger
KYO ... 22 64.90
30.37 66.15 47.08 Kyocera
68.83 15.06 8.07 LATAMAirlines LTM 0.5 dd 13.81
LB 5.5 13 43.75
-33.55 75.50 35.00 L Brands
3.66 17.05 11.26 LG Display LPL ... 5 13.32
LN ... 65 36.48
7.26 45.46 30.90 LINE
LLL 1.6 21 189.42
24.53 192.00 132.38 L3 Tech
LH ... 21 151.72
18.18 164.22 119.51 LabCpAm
33.76 50.82 28.75 LambWeston LW 1.5 23 50.63
17.38 66.22 51.35 LasVegasSands LVS 4.7 24 62.69
LAZ 3.6 13 46.03
12.02 48.86 35.18 Lazard
LEA 1.2 12 173.74
31.25 177.24 112.46 Lear
0.08 54.97 43.16 Leggett&Platt LEG 2.9 19 48.92
LDOS 2.1 27 62.18
21.59 63.08 40.96 Leidos
s 33.94 58.00 39.68 Lennar A
LEN 0.3 17 57.50
s 40.70 48.88 32.09 Lennar B
LEN.B 0.3 14 48.54
17.71 192.58 140.97 LennoxIntl LII 1.1 26 180.30
11.87 27.34 17.87 LeucadiaNatl LUK 1.5 15 26.01
-5.06 64.61 46.35 Level3Comms LVLT ... 30 53.51
4.81 43.70 36.22 LibertyProperty LPT 3.9 18 41.40
LLY 2.4 38 87.23
18.60 89.09 64.18 EliLilly
14.00 76.10 47.71 LincolnNational LNC 1.5 12 75.55
11.86 33.68 24.27 LionsGate A LGF.A ... 46 30.09
18.34 32.08 22.50 LionsGate B LGF.B ... 34 29.04
62.41 43.85 26.41 LiveNationEnt LYV ... dd 43.20
16.77 3.87 2.71 LloydsBanking LYG 2.9 27 3.62
28.03 322.19 228.50 LockheedMartin LMT 2.5 25 320.00
L 0.5 14 49.00
4.63 49.58 40.73 Loews
LOW 2.0 23 80.04
12.54 86.25 64.87 Lowe's
15.34 100.74 76.71 LyondellBasell LYB 3.6 11 98.94
5.61 173.72 117.30 M&T Bank MTB 1.8 19 165.20
7.63 34.65 25.15 MGM Resorts MGM 1.4 18 31.03
MPLX 6.6 41 34.10
-1.50 39.43 30.67 MPLX
MSCI 1.2 39 122.00
54.86 124.51 76.52 MSCI
MAC 5.0 64 56.76
-19.88 77.93 52.12 Macerich
t-13.24 85.45 70.84 MacquarieInfr MIC 7.8 34 70.88
M 7.1 10 21.17
-40.88 45.41 19.32 Macy's
-9.94 81.77 63.92 MagellanMid MMP 5.3 19 68.11
27.63 55.75 36.77 MagnaIntl MGA 2.0 10 55.39
s 38.11 124.24 74.07 Manpower MAN 1.5 19 122.74
s 15.66 20.89 14.14 ManulifeFin MFC 3.1 15 20.61
-19.53 19.28 10.55 MarathonOil MRO 1.4 dd 13.93
s 14.18 57.74 40.01 MarathonPetrol MPC 2.8 34 57.49
MKL ... 37 1078.23
19.21 1105.23 811.05 Markel
s 24.93 84.74 62.33 Marsh&McLennan MMC 1.8 23 84.44
-2.42 244.32 175.16 MartinMarietta MLM 0.8 31 216.16
s 26.79 40.11 29.38 Masco
MAS 1.0 25 40.09
40.80 148.45 99.51 Mastercard MA 0.6 36 145.38
6.35 106.50 88.64 McCormick MKC 1.9 27 99.26
6.73 106.58 89.14 McCormickVtg MKC.V 1.9 27 99.37
s 36.63 167.90 110.83 McDonalds MCD 2.4 27 166.30
7.35 169.29 114.53 McKesson MCK 0.9 7 150.78
9.98 89.72 69.35 Medtronic MDT 2.3 26 78.34
MRK 2.9 35 63.88
8.51 66.80 58.29 Merck
s 10.97 53.58 40.30 MetLife
MET 2.7592 53.29
s 59.77 670.46 395.61 MettlerToledo MTD ... 41 668.72
16.22 52.67 32.38 MichaelKors KORS ... 16 49.95
14.95 33.19 27.86 MicroFocus MFGP ... 47 32.45
7.04 110.95 87.59 MidAmApt MAA 3.3 47 104.81
5.68 7.01 4.96 MitsubishiUFJ MTU ... 9 6.51
-0.28 3.87 3.23 MizuhoFin MFG ... 8 3.58
15.48 11.59 7.09 MobileTeleSys MBT 6.8 12 10.52
s 32.47 264.68 175.52 MohawkIndustries MHK ... 20 264.52
-14.45 109.37 80.92 MolsonCoors B TAP 2.0 8 83.25
16.10 122.80 97.35 Monsanto MON 1.8 24 122.15
MCO 1.0 59 145.66
54.51 145.83 93.51 Moody's
s 19.95 50.91 32.54 MorganStanley MS 2.0 14 50.68
MOS 2.8 51 21.41
-27.00 34.36 19.23 Mosaic
8.58 93.75 71.24 MotorolaSolutions MSI 2.1 24 90.00
107.18 26.68 9.84 NRG Energy NRG 0.5 dd 25.40
3.65 25.42 21.96 NTTDoCoMo DCM ... 15 23.58
s 93.12 3294.50 1478.04 NVR
NVR ... 24 3223.25
-2.55 75.24 60.08 NationalGrid NGG 6.1 14 62.01
-8.95 43.63 29.90 NatlOilwell NOV 0.6 dd 34.09
-5.61 48.03 36.45 NatlRetailProp NNN 4.6 36 41.72
120.31 94.63 37.16 NewOrientalEduc EDU ... 55 92.75
-19.23 17.68 11.67 NY CmntyBcp NYCB 5.3 14 12.85
t -9.59 55.08 40.27 NewellBrands NWL 2.3 16 40.37
-26.47 50.00 24.41 NewfieldExpln NFX ... 19 29.78
10.92 39.62 30.19 NewmontMining NEM 0.8167 37.79
s 29.05 154.24 110.49 NextEraEnergy NEE 2.5 18 154.16
-0.45 54.99 36.96 NielsenHoldings NLSN 3.3 30 41.76
NKE 1.4 23 53.06
4.39 60.53 49.01 Nike
NI 2.6 31 26.66
20.42 27.29 21.17 NiSource
-27.06 42.03 22.98 NobleEnergy NBL 1.4 dd 27.76
NOK 3.1 dd 6.08
26.40 6.65 4.04 Nokia
-1.86 6.80 4.61 NomuraHoldings NMR ... 9 5.79
-12.06 62.82 39.53 Nordstrom JWN 3.5 20 42.15
22.84 134.52 89.95 NorfolkSouthern NSC 1.8 22 132.75
26.67 299.33 214.59 NorthropGrumman NOC 1.4 23 294.60
NVS 3.2 31 85.74
17.71 86.90 66.93 Novartis
40.96 50.95 30.89 NovoNordisk NVO 0.9 22 50.55
NUE 2.5 17 60.00
0.81 68.00 46.52 Nucor
t-30.18 55.64 34.56 NuSTAREnergy NS 12.6 48 34.77
10.88 37.41 29.57 OGE Energy OGE 3.6 19 37.09
-0.25
0.24
0.11
-0.08
-2.11
-0.30
-0.23
0.93
0.63
0.29
0.17
0.13
-0.37
0.24
1.75
0.58
0.21
1.85
0.40
0.33
0.35
0.29
1.20
0.49
0.66
0.75
0.40
0.91
0.22
0.73
0.09
0.87
0.55
-0.08
-0.12
0.10
0.03
3.16
0.02
-1.23
-0.45
2.94
0.55
-0.23
...
-0.36
-0.38
0.98
-0.22
0.68
0.05
-0.20
0.19
0.39
14.88
0.15
6.66
1.03
0.40
-0.11
-0.03
-0.20
0.82
-0.14
0.13
0.30
7.53
1.11
0.02
-0.28
0.03
0.01
0.02
3.48
-0.33
0.12
1.47
0.89
0.31
0.35
-0.14
0.02
95.72
-0.44
0.01
-0.27
2.25
0.09
-0.22
0.51
-0.05
0.29
0.45
0.37
-0.10
0.39
0.26
0.02
0.42
2.51
1.95
-0.42
-0.13
1.38
-1.01
0.17
Continued on Page B7
B6 | Saturday/Sunday, October 21 - 22, 2017
NY
THE WALL STREET JOURNAL.
* ***
NEW HIGHS AND LOWS
The following explanations apply to the New York Stock Exchange, NYSE Arca, NYSE MKT and
Nasdaq Stock Market stocks that hit a new 52-week intraday high or low in the latest session.
% CHG-Daily percentage change from the previous trading session.
Friday, October 20, 2017
52-Wk %
Sym Hi/Lo Chg Stock
Stock
NYSE highs - 255
Aflac
AFL
AVX
AVX
AbbVie
ABBV
AdamsDivEquityFd ADX
Aegon
AEG
AerCap
AER
AffiliatedMgrs
AMG
AirProducts
APD
AlliantEnergy
LNT
AllianzGIDivIncm ACV
AllianzGIEqtyConv NIE
AllyFinancial
ALLY
AlpineTotDynDiv AOD
Ameren
AEE
AmericaMovil
AMX
AmericaMovil A AMOV
AmericanFin
AFG
AmerStWater
AWR
AmerWaterWorks AWK
Ameriprise
AMP
Ametek
AME
Ampco-Pitt
AP
AnixterIntl
AXE
Aon
AON
ApolloGlobalMgmt APO
AquaAmerica
WTR
ArcelorMittal
MT
ArcosDorados
ARCO
ArmstrongWorld AWI
ArtisanPtrsAsset APAM
BWX Tech
BWXT
BankofAmWtA BAC.WS.A
BankofAmerica BAC
Bard CR
BCR
BectonDickinsonPfA BDXA
BectonDickinson BDX
BerkHathwy A BRK.A
BerkHathwy B BRK.B
BerkshireHills
BHLB
BerryGlobal
BERY
BlkRkCapEnIncoFd CII
BlackRock
BLK
BlkRkSci&Tech BST
Boeing
BA
BoiseCascade
BCC
BostonScientific BSX
BoulderGrowth BIF
Box
BOX
BoydGaming
BYD
Braskem
BAK
BroadridgeFinl
BR
CAI Intl
CAI
CBRE Group
CBG
CNO Financial
CNO
CalAtlantic
CAA
CalWtrSvc
CWT
CampingWorld CWH
CanPacRlwy
CP
Catalent
CTLT
CedarRealty6.5%PfC CDRpC
CharlesRiverLabs CRL
Chubb
CB
ColonyNorthPfdJ CLNSpJ
Comerica
CMA
ComericaWt
CMA.WS
CerveceriasUnid CCU
ContinentalBldg CBPX
Crane
CR
Cullen/Frost
CFR
Cummins
CMI
CurtissWright
CW
Dana
DAN
DaqoNewEnergy DQ
DellTechnologies DVMT
DtscheBkTrII
DXB
DianaShippingNts DSXN
Dividend&IncomeFd DNI
DollarGeneral
DG
DouglasDynamics PLOW
Dover
DOV
EagleMaterials EXP
EastGroup
EGP
EatonVance
EV
EtnVncEqtyInco EOI
EtnVncTxAdvDiv EVT
Entergy
ETR
EssentGroup
ESNT
FB Financial
FBK
FactSet
FDS
FederatedInvest FII
FidelityNatlFin
FNF
FidelityNtlInfo
FIS
FT EnhEquity
FFA
FT MtgIncome FMY
Flagstar
FBC
Forestar
FOR
GabelliDividend GDV
Gallagher
AJG
GenAmInv
GAM
GoldmanSachsPfN GSpN
Graco
GGG
GuggEnhEquFd GPM
85.24
20.22
98.26
15.53
6.13
53.19
198.31
154.74
43.97
22.34
20.97
24.92
9.19
61.74
19.50
19.11
106.52
56.31
87.87
154.31
68.83
18.60
88.60
151.85
32.47
36.27
29.97
10.60
54.45
36.00
59.96
15.06
27.18
330.16
57.56
212.54
283390
189.04
40.00
60.09
15.91
489.79
26.00
264.83
36.25
29.83
10.65
21.76
28.90
29.94
84.58
37.37
40.35
25.03
38.93
43.75
45.84
179.17
43.17
25.39
115.96
155.29
25.40
79.20
49.70
28.85
27.00
84.52
99.53
177.30
114.92
29.64
37.00
82.50
26.51
26.18
13.20
83.79
42.10
95.19
110.85
93.61
52.06
14.41
22.62
85.72
45.10
39.07
186.37
31.81
35.98
95.50
15.39
14.48
36.83
18.45
22.78
63.14
36.55
27.75
127.96
8.84
-0.7
0.3
-0.4
0.5
-1.4
1.5
0.9
0.9
...
0.6
0.1
1.5
0.4
...
3.1
3.7
-0.3
-0.4
0.6
1.1
0.3
1.1
1.3
0.5
0.5
...
1.7
1.4
0.1
1.4
1.1
3.9
2.2
0.9
1.5
1.2
0.9
1.0
0.8
1.1
0.7
...
0.7
2.2
0.7
0.4
1.0
4.6
1.1
0.8
0.8
18.7
0.6
-1.5
0.9
-0.2
2.7
0.3
0.7
0.8
-0.2
...
0.4
2.1
3.3
1.0
0.2
1.7
1.2
1.0
0.8
0.2
13.0
0.7
0.7
1.8
0.3
0.8
2.4
6.1
0.6
-0.7
0.8
0.8
0.5
0.4
...
1.0
1.9
1.4
0.3
0.1
0.7
0.8
0.8
-0.8
0.6
0.4
0.3
0.3
1.6
0.6
52-Wk %
Sym Hi/Lo Chg Stock
44.03
HFF
HF
22.16
HP
HPQ
25.25
HannonArmstrong HASI
137.17
Harris
HRS
35.62
HawaiianElec
HE
93.00
Heico
HEI
77.60
Heico A
HEI.A
63.82
Hexcel
HXL
39.67
Hillenbrand
HI
40.43
HiltonGrandVac HGV
HoeghLNG PfdA HMLPpA 25.92
145.96
Honeywell
HON
43.04
DR Horton
DHI
41.78
HoulihanLokey
HLI
82.76
HysterYaleMatls HY
92.26
IDACORP
IDA
37.42
Invesco
IVZ
125.80
IDEX
IEX
155.12
IllinoisToolWks ITW
23.22
InfraREIT
HIFR
95.35
Insperity
NSP
55.20
IntegerHoldings ITGR
150.38
IntlFlavors
IFF
53.65
InterXion
INXN
18.02
InvescoMtg
IVR
41.17
IronMountain
IRM
JPMorganWt
JPM.WS 58.65
99.89
JPMorganChase JPM
38.20
HancockFinlOpp BTO
143.62
J&J
JNJ
28.47
JupaiHoldings
JP
19.39
KBR
KBR
0.62
KKRIncomeOppsRt KIOrw
101.80
Kadant
KAI
56.54
Kaman
KAMN
43.19
KeysightTechs
KEYS
41.11
KornFerry
KFY
26.47
KronosWorldwide KRO
123.78
LCI Inds
LCII
48.88
Lennar B
LEN.B
58.00
Lennar A
LEN
6.20
LibertyAllStar
USA
36.96
MDC Holdings
MDC
14.02
MGIC Investment MTG
85.80
MSA Safety
MSA
10.56
MVC Capital
MVC
124.24
Manpower
MAN
20.89
ManulifeFin
MFC
57.74
MarathonPetrol MPC
84.74
Marsh&McLennan MMC
40.11
Masco
MAS
167.90
McDonalds
MCD
53.58
MetLife
MET
670.46
MettlerToledo
MTD
21.35
ModineMfg
MOD
264.68
MohawkIndustries MHK
16.98
MonmouthRealEst MNR
Moog B
MOG.B 88.74
50.91
MorganStanley MS
40.65
NACCO Inds
NC
13.45
NL Industries
NL
3294.50
NVR
NVR
Navistar pfD
NAVpD 17.85
59.68
Nelnet
NNI
52.27
NewRelic
NEWR
154.24
NextEraEnergy NEE
NiaMoPwr pfC NMKpC 107.80
15.92
NuvCoreEqAlpha JCE
17.50
NuvDow30Dyn DIAX
17.64
NuvS&P500DynOver SPXX
17.17
NuvTaxAdDivGr JTD
57.21
OnAssignment ASGN
80.56
OwensCorning
OC
137.71
PNC Fin
PNC
PNC Fin Wt
PNC.WS 71.00
117.80
PPG Ind
PPG
184.56
ParkerHannifin PH
80.55
PaycomSoftware PAYC
96.20
Penumbra
PEN
143.14
Praxair
PX
68.90
PrincipalFin
PFG
83.45
ProtoLabs
PRLB
PublicStoragePfE PSApE 24.99
28.01
PulteGroup
PHM
16.64
PureStorage
PSTG
12.25
PzenaInvtMgmt PZN
56.31
QTS Realty
QTS
103.38
QuintilesIMS
Q
67.45
RE/MAX
RMAX
84.70
RH
RH
20.82
RadianGroup
RDN
122.36
RedHat
RHT
147.13
ReinsuranceGrp RGA
51.87
RobertHalf
RHI
188.60
Rockwell
ROK
140.00
Rogers
ROG
254.82
RoperTech
ROP
7.58
RoyalBkScotland RBS
27.95
RudolphTech
RTEC
66.45
SJW Group
SJW
43.22
SPX FLOW
FLOW
99.18
Salesforce.com CRM
24.98
ScorpioTankNt20 SBNA
SeaspanPfdE
SSWpE 25.45
50.05
SensataTech
ST
-1.9
0.3
1.9
0.8
0.1
2.2
2.7
3.9
1.3
-0.5
0.5
1.2
0.3
0.4
-0.2
0.3
1.2
0.9
1.0
1.4
0.9
0.6
1.5
0.5
-0.1
-0.1
2.7
1.4
1.0
0.3
13.7
1.1
35.6
1.1
1.0
0.3
0.7
1.4
1.2
0.8
1.3
0.7
-0.5
-0.4
0.5
0.2
...
-1.0
0.7
0.2
2.6
-0.1
0.6
1.1
1.9
1.3
0.1
1.2
1.8
3.0
5.2
3.1
5.2
4.5
0.8
0.2
12.1
1.3
0.7
0.7
-0.3
0.6
1.1
1.2
3.1
3.0
1.4
1.0
0.4
1.9
-0.6
3.7
0.1
0.8
-1.3
0.1
-2.0
1.2
0.1
4.3
-0.9
0.2
-0.3
1.4
1.1
0.5
1.1
0.7
-1.1
-2.5
0.8
1.8
0.5
1.0
0.7
52-Wk %
Sym Hi/Lo Chg
ServiceNow
NOW
SherwinWilliams SHW
SkechersUSA
SKX
SmithAO
AOS
SourceCap
SOR
Southern
SO
SpecialOpFd
SPE
SpeedwayMotor TRK
SpiritAeroSys
SPR
StanleyBlackDck SWK
StellusCap5.75Nt22 SCA
Steris
STE
Stryker
SYK
SunstoneHotelInv SHO
SynovusFin
SNV
TE Connectivity TEL
TRI Pointe
TPH
TableauSoftware DATA
TelecomArgentina TEO
Teradyne
TER
Textainer
TGH
ThermoFisherSci TMO
ThirdPointReins TPRE
ThorIndustries
THO
3M
MMM
Toll Bros
TOL
Torchmark
TMK
Travelers
TRV
TravelportWorldwd TVPT
TritonIntl
TRTN
TwoHarborsPfdB TWOpB
Unitil
UTL
Unifi
UFI
UnitedHealth
UNH
UnumGroup
UNM
VF
VFC
Vectren
VVC
VMware
VMW
WABCO
WBC
WNS
WNS
Walker&Dunlop WD
Wal-Mart
WMT
WarriorMetCoal HCC
WestAllianceBcp WAL
WestRock
WRK
Westwood
WHG
Winnebago
WGO
XeniaHotels
XHR
124.87
390.60
34.33
61.82
41.33
52.34
16.00
23.47
81.05
160.15
25.59
91.49
150.51
17.15
47.67
88.58
15.64
79.82
32.74
39.47
20.16
194.43
16.80
133.29
221.32
44.33
83.48
134.11
16.17
40.50
26.58
52.84
37.94
208.21
52.91
66.97
68.84
118.73
155.94
38.24
56.46
87.45
27.67
56.11
60.54
71.00
48.05
22.30
3.3
0.5
41.4
1.3
0.5
0.4
0.3
-0.1
2.8
1.9
-0.6
0.7
0.8
-2.5
1.2
1.2
1.7
0.2
-1.4
0.1
7.9
0.7
...
1.3
0.9
0.6
0.7
0.1
2.2
5.4
-0.3
-0.5
-0.8
2.1
...
1.6
-0.4
0.8
-0.3
0.6
-0.3
1.2
2.7
6.0
1.6
2.4
4.1
-0.7
NYSE lows - 39
17.90 0.5
AdvDrainageSys WMS
43.43 -0.3
AmCampus
ACC
2.23 0.9
AvonProducts
AVP
31.44 0.3
BakerHughes
BHGE
13.45 -3.2
BlueCapReins
BCRH
13.75 -1.7
Cabco JCP PFH PFH
9.73 -0.3
CapitolInvIV A
CIC
10.37 -1.7
Volaris
VLRS
11.82 -4.6
Corts JCPen JBS JBN
10.27 0.7
DeanFoods
DF
12.15 -0.6
DeutscheMuniIncmTr KTF
5.95 -1.8
Duff&PhelpsSelEn DSE
65.60 -1.5
EdgewellPersonal EPC
22.10 1.1
GeneralElec
GE
30.29 1.0
HormelFoods
HRL
16.33 -1.3
KayneAnMLPInv KYN
60.96 -0.4
Kellogg
K
10.56 -4.5
KeyEnergySvcs KEG
110.33 -1.8
KimberlyClark
KMB
KinderMorganPfdA KMIpA 39.04 -0.9
22.53 -2.4
Mack-Cali
CLI
70.84 -0.5
MacquarieInfr
MIC
MosaicAcqnUn MOSC.U 10.10 -0.2
10.11 -5.6
Netshoes
NETS
40.27 -0.5
NewellBrands
NWL
34.56 -2.8
NuSTAREnergy NS
17.80 -2.4
NuSTAR GP
NSH
11.09 -0.3
NuvEnerMLPTR JMF
7.60 -1.2
PIMCO HiIncm PHK
0.18 4.0
RivernorthOppsRt RIVr
3.95 -1.7
SanchezEnergy SN
61.40 -2.1
Schlumberger
SLB
1.64 3.6
SocialCapHedWt IPOA.WS
14.55 -4.3
Supervalu
SVU
18.51 3.9
Switch
SWCH
24.53 -0.6
TechnipFMC
FTI
26.17 -0.3
Tenaris
TS
26.64 -2.3
TortoiseEnerInf TYG
16.92 -1.7
TortoiseMLPFund NTG
NYSE Arca highs - 296
AIPoweredEquity AIEQ
ALPS EqSecWgh EQL
ALPSIntlDivDogs IDOG
ALPSSectorDivDogs SDOG
ARKIndlInnovation ARKQ
ARKWebx.0ETF ARKW
AdvShKIMKorea KOR
Barrons400ETF BFOR
BluStrTABIGIIsrael ITEQ
BuzzUSSentLdrs BUZ
CSOPChinaCSI300AH HAHA
CambriaShareholder SYLD
ChangeFinDivImp CHGX
25.61
67.39
28.50
45.12
32.99
41.96
30.12
40.52
32.30
31.32
32.99
36.23
19.00
52-Wk %
Sym Hi/Lo Chg Stock
Stock
0.4
0.5
0.1
0.6
1.7
0.9
0.9
0.8
0.8
0.2
0.4
0.8
0.2
ColumbiaSustGlb ESGW
CSAxela3xLgBrent UBRT
CS FI LC Grwth FLGE
DeltaShS&P500Mgd DMRL
DiamondHillVal DHVW
DirexAeroBl3
DFEN
DirexFinlBull3
FAS
DirexHlthcrBull3 CURE
DirexHmbldrBull3 NAIL
DirexIndlsBl3
DUSL
DirexMcBull3
MIDU
DirexS&P500Bl3 SPXL
DirexS&P500Bull2X SPUU
DirexS&P500Bl1.25 LLSP
DirexSemiBl3
SOXL
DirexTechBull3
TECL
DirexNasd100EW QQQE
ETRACS2xLevxEn LMLP
EthoClimateLeader ETHO
FidelityCoreDiv FDVV
FidelityDivRising FDRR
FidelityLowVol
FDLO
FidelityMSCIFinls FNCL
FidelityMSCIHlthCr FHLC
FidelityMSCIIndls FIDU
FidelityMSCIIT
FTEC
FidelityMSCIMatls FMAT
FidelityMomFactor FDMO
FidelityQualFactor FQAL
FidelityValFactor FVAL
FinSelSectorSPDR XLF
FT ConsDscAlpDx FXD
FT Dow30EW
EDOW
EqCompassRiskMgr ERM
EqCompassTactical TERM
FT DJ SelMicro FDM
FT FinlsAlpDx
FXO
FT Long/Short FTLS
FT MatAlpDX
FXZ
FT TechAlphaDEX FXL
FT USEquityOpp FPX
FT ValDivFd
FVD
FT ValueLine100 FVL
FT Water
FIW
FlexMrnUSMktFtrTlt TILT
FlexShQualDivDef QDEF
FlexShQualDivDyn QDYN
FlexShQualityDiv QDF
GlbXFTSENordReg GXF
GlbXSciBetaUS SCIU
GSAccessHYCorpBd GHYB
GSActiveBetaUSLC GSLC
GuggBS2025HYCpBd BSJP
GuggDefEqty
DEF
GuggDJIA Div
DJD
GuggS&P500EW RSP
GuggS&P500EWFin RYF
GuggS&P500EWHlthcr RYH
GuggS&P500EWIndl RGI
GuggS&P500EWMat RTM
GuggS&P500EWTech RYT
GuggS&P500PureGr RPG
GuggS&P500PrVal RPV
GuggS&P400PrGrwth RFG
GuggInsider
NFO
GuggGlbTimber CUT
GuggMC Core
CZA
GuggMltiAstIncm CVY
GuggMultiC
GMFL
GuggS&P500Top50 XLG
GuggS&PMC400EW EWMC
GuggS&PSpinOff CSD
HartfordMultiDvxUS RODM
HartfordMultiUSEqu ROUS
HealthCareSelSect XLV
HullTacticalUS
HTUS
IQLeadersGTAATrkr QGTA
IndSelSectorSPDR XLI
InnovatorIBD50Fd FFTY
InspireGlblHope BLES
iShCoreDivGrowth DGRO
iShCoreS&P500ETF IVV
iShCoreS&PMdCp IJH
iShS&PTotlUSStkMkt ITOT
iShCurrHdgNikk400 HJPX
iShCurrHdMSCIJapan HEWJ
iShUSFinlServices IYG
iShUSHealthcare IYH
iShUS Finls
IYF
iShU.S.Insurance IAK
iShU.S.Technology IYW
iShUSMedDevices IHI
iShEdgeMSCIMultif ACWF
iShEdgeMSCIMultUSA LRGF
iShEdgeMSCIUSASC SMLF
iShEdgeMSCIUSASize SIZE
iShIntRtHdgCorpBd LQDH
iShACWILowCarbon CRBN
iShMSCIKLD400Soc DSI
iShMSCIKokusaiETF TOK
iShMSCISwedenETF EWD
iShMSCIUSAESGSelct SUSA
iShMSCIUSAEqWeight EUSA
iShMSCIWorldETF URTH
iShMorningstarLC JKD
iShMornLCGrowth JKE
iShMornLCValue JKF
iShMorningstarMC JKG
iShMornMCGrowth JKH
iShMorningstarSC JKJ
iShRussell1000Gwth IWF
iShRussell1000ETF IWB
30.50
113.54
207.95
52.18
30.64
42.50
60.50
49.04
66.05
32.88
42.92
40.91
46.22
34.40
135.26
99.05
42.18
16.70
32.93
27.75
29.82
29.38
39.12
40.48
37.41
48.04
34.12
30.15
30.63
31.14
26.66
38.93
21.00
21.41
21.43
47.64
30.48
38.00
41.84
50.23
65.92
30.45
23.17
46.88
107.90
42.42
42.43
43.17
24.68
30.19
50.28
51.18
25.23
45.16
32.98
97.42
42.36
179.94
115.31
107.46
140.68
103.06
63.19
148.91
60.69
30.93
64.84
21.90
25.68
181.93
62.19
51.92
29.03
29.60
83.95
28.09
24.36
72.96
33.95
27.70
33.35
258.88
182.99
58.94
29.21
32.13
123.45
176.39
115.24
66.50
156.16
172.93
29.96
30.71
38.94
81.14
96.64
114.65
95.26
63.57
36.39
107.43
53.43
85.79
154.53
149.75
101.93
178.91
194.42
168.78
128.77
143.16
0.6
...
1.1
0.9
0.6
3.9
2.6
0.2
2.5
4.4
1.6
1.4
1.0
0.7
1.4
1.9
0.4
1.8
0.8
0.6
0.4
0.4
1.1
0.1
1.1
0.7
0.7
0.8
0.4
0.6
1.2
1.3
1.2
0.8
0.4
0.4
0.7
0.5
0.7
1.0
0.9
0.3
0.7
0.3
0.6
0.4
0.4
0.5
0.7
0.7
0.2
0.6
0.3
0.5
0.8
0.7
0.9
0.5
1.2
1.1
0.8
0.6
0.8
0.9
0.6
0.6
0.7
0.3
0.9
0.2
0.4
1.2
0.6
1.0
0.1
0.5
0.2
1.1
2.3
0.2
0.5
0.5
0.6
0.5
0.6
1.0
1.3
0.1
0.7
0.2
0.6
0.8
0.6
0.7
0.5
0.6
0.1
0.1
0.3
...
0.8
0.5
0.7
0.2
0.5
0.4
0.6
0.7
1.3
0.6
0.5
0.5
52-Wk %
Sym Hi/Lo Chg Stock
iShRussell3000ETF IWV
iShRussellMid-Cap IWR
iShRussellMCValue IWS
iShRussellTop200Gr IWY
iShRussellTop200 IWL
iShRussellTop200Vl IWX
iShS&P100
OEF
iShS&PMC400Growth IJK
iShS&P500Growth IVW
iShGlobalTechETF IXN
iShGloblFinancials IXG
iShS&P500ValueETF IVE
iShS&PMC400Value IJJ
iShNorthAmerTech IGM
iShDowJonesUS IYY
iShRussellMCGrowth IWP
HancockIndustrials JHMI
HancockLC
JHML
HancockMatls
JHMA
HancockMC
JHMM
HancockTech
JHMT
JPMDivRetEurCur JPEH
JPM DivRetGlEq JPGE
JPM DivRetIntl JPIH
JPM DivRetUS Eq JPUS
JPM Div US SC JPSE
MatlsSelSectorSPDR XLB
OShFTSEUSQuality OUSA
OppenheimFclsSect RWW
OppGlbESGRevenue ESGF
OppenheimerLgCpRev RWL
OppenheimerMdCpRev RWK
PIMCO DynMultUS MFUS
PwrShAerospace PPA
PwrShDynBldg&Con PKB
PwrShDynLCValue PWV
PwrShDynMkt PWC
PwrShDynSemicon PSI
PwrShDynSoftware PSJ
PwrShEmergInfra PXR
PwrShFTSE US1000 PRF
PwrShDynLC Grwth PWB
PwrShRussMCGrw PXMG
PwrShRuss1000EqWt EQAL
PwrShRussTop200 EQWL
PwrShRussTop200G PXLG
PwrShS&P500Down PHDG
PwrShS&P500HiDiv SPHD
PwrShS&P500LoVol SPLV
PwrShS&P500EnhVal SPVU
PwrShS&P500xRate XRLV
PwrShS&P500HiBeta SPHB
PwrShS&P500Mom SPMO
PwrShS&P500Qual SPHQ
PwrShS&P400LowVol XMLV
PwrShS&P600LowVol XSLV
PwrShTreaColl
CLTL
PwrShWldrClean PBW
PwrShZacksMicro PZI
ProShS&P500xEner SPXE
ProShS&P500xFin SPXN
ProShShtVIXST SVXY
ProShrUlBscMtls UYM
ProShrUltraDow30 DDM
ProShrUltraFnl UYG
ProShrUlHlthCr RXL
ProShrUltraInd UXI
ProShrUMdCp400 MVV
ProShrUltraS&P SSO
ProShrUlSemi
USD
ProShrUlTech
ROM
ProShUltDow30 UDOW
ProShUltraProFin FINU
ProShUltMC400 UMDD
ProShUltS&P500 UPRO
RivFrDynUSDiv RFDA
RivFrDynUSFlex RFFC
SPDRGlobalDow DGT
SPDRMFSSysCore SYE
SPDRMFSSysValueEqu SYV
SPDRACWILowCarbon LOWC
SPDRMSCIUSAStrat QUS
SPDRMSCIWorldStrat QWLD
SPDR NYSE Tech XNTK
SPDRPortfolioLC SPLG
SPDRS&P500Value SPYV
SPDRS&P500Growth SPYG
SPDR Ptf TSM SPTM
SPDRRuss1000Mom ONEO
SPDRMomentumTilt MMTM
SPDRS&P1500ValTilt VLU
SPDR S&P500MidGr MDYG
SPDR S&P400MidVl MDYV
SPDR Aero & Dfns XAR
SPDRS&PCapitalMkts KCE
SPDRS&P500Buyback SPYB
SPDRS&P500Fossil SPYX
SPDRS&PInsurance KIE
SPDRS&PSft&Svs XSW
SPDRGenderDivers SHE
SPDR US LC Low Vol LGLV
SchwabFundUSBrd FNDB
SchwabFundUSLrgCo FNDX
Schwab1000Index SCHK
SchwabUS BrdMkt SCHB
SchwabUS Div SCHD
SchwabUS LC
SCHX
SchwabUS LC Grw SCHG
SchwabUS LC Val SCHV
SchwabUS MC SCHM
SerenityShImpact ICAN
SPDR DJIA Tr
DIA
152.60
201.62
86.33
69.75
59.08
50.88
113.82
208.19
147.24
148.16
68.32
110.12
155.06
161.66
128.84
116.72
33.96
33.60
34.17
33.06
39.92
28.84
60.97
29.92
68.84
29.15
58.74
30.86
66.00
30.57
48.76
58.31
26.43
53.00
32.61
38.55
93.58
52.64
65.31
37.80
109.22
40.20
40.14
30.02
51.06
44.05
26.77
41.93
46.92
33.45
32.52
40.56
32.65
29.53
45.01
47.00
105.98
4.86
19.58
53.67
52.22
108.50
69.98
117.17
118.51
89.68
68.21
114.63
101.19
113.13
81.35
78.80
91.85
103.61
124.65
30.67
31.42
82.21
73.47
63.79
87.85
74.28
73.69
82.08
30.22
29.74
31.82
32.00
74.25
109.62
97.82
151.59
100.48
82.77
54.08
59.21
62.47
93.31
68.42
71.32
91.13
35.68
35.84
25.25
62.25
48.47
61.44
67.44
53.15
51.22
26.76
233.13
0.5
0.6
0.5
0.5
0.4
0.5
0.4
0.7
0.3
0.6
0.6
0.6
0.4
0.5
0.5
0.8
1.8
0.6
0.8
0.8
0.9
...
0.2
0.5
0.5
0.8
0.9
0.4
1.1
0.1
0.9
0.8
0.5
1.0
0.7
0.7
0.7
0.3
1.0
1.0
0.5
0.6
1.5
0.3
0.7
0.1
0.5
...
0.5
1.0
0.4
1.1
1.2
0.4
0.3
0.1
...
1.0
1.2
0.3
0.7
1.7
1.4
1.5
1.5
...
2.7
1.2
1.0
0.9
1.6
2.0
3.9
1.7
1.4
1.0
0.8
0.5
0.5
0.8
0.3
0.6
...
0.7
0.5
0.6
0.3
0.6
0.9
0.4
1.0
0.7
0.4
1.2
1.0
1.0
0.5
...
1.4
0.7
0.7
0.5
0.5
0.5
0.5
0.3
0.5
0.4
0.5
0.6
1.6
0.7
52-Wk %
Sym Hi/Lo Chg Stock
52-Wk %
Sym Hi/Lo Chg Stock
333.64 0.6
257.14 0.5
93.68 0.4
Abiomed
41.25 1.2
AdobeSystems
61.17 0.7
AdvAcceltrApp
207.00 0.9
AdvEnergyInds
41.08 0.6
AlignTech
98.71 0.5
AppliedMaterials
108.97 0.5
ArchCapital
132.89 0.8
ArrowInvDWATact
158.24 0.7
AspenTech
155.73 0.7
Atlassian
97.21 0.7
AudioCodes
67.27 1.1
Autodesk
135.57 0.3
AxcelisTechs
156.06 0.2
AxoGen
83.25 0.5
BOK Fin
137.71 1.1
BSB Bancorp
118.13 0.5 BancFirst
88.30 0.5 BankMutual
73.72 0.7 Banner
150.31 0.7 BeaconRoof
124.84 0.7 BlueBird
107.75 0.7 BoingoWireless
236.19 0.5 BrynMawrBank
132.08 0.3 CabotMicro
105.98 0.6 CalamosStratTot
123.50 0.6 CathayGenBncp
129.03 0.7 CavcoIndustries
119.02 0.4 Celcuity
143.76 0.6 CenterStateBank
132.45 0.5 Cintas
72.13 0.2 ClearBr AC Grw
102.48 0.7 CoBizFin
27.57 4.2 Cognex
67.97 1.4 CognizantTech
25.99 0.5 Conn's
27.24 0.7 Corvel
24.34 0.6 CovenantTranspt
24.94 0.8 Crocs
29.65 -0.1 CumberlandPharm
27.48 0.5 DavisFinl
28.37 1.2 DavisUSEquity
56.77 1.2 Diodes
35.61 1.3 DollarTree
86.32 0.6 DraperOakwood
89.50 1.0 EastWestBancorp
71.43 0.3 EncoreCapital
88.91 0.5 EnsignGroup
77.92 1.0 EnstarGroup
101.67 0.4 EntegraFin
37.94 0.7 Entegris
85.66 0.4 EuronetWorldwide
89.69 0.4 ExlService
91.70 0.7 FS Bancorp
35.42 0.6 Ferroglobe
42.23 1.0 FirstBancorpNC
30.98 0.7 FirstBancshares
34.22 0.9 FirstBusey
SPDR S&PMdCpTr MDY
SPDR S&P 500 SPY
SPDR S&P Div SDY
SPDR S&P Home XHB
TechSelectSector XLK
UBS FIEnhLCGrw FBGX
VanEckMornWideMoat MOAT
VanEckSemiconduc SMH
VangdExtMkt
VXF
VangdMatrls
VAW
VangdInfoTech VGT
VangdSC Grwth VBK
VangdDivApp
VIG
VangdFinls
VFH
VangdGrowth
VUG
VangdHlthCr
VHT
VangdHiDiv
VYM
VangdIndls
VIS
VangdLC
VV
VangdMegaCap MGC
VangdMegaVal MGV
VangdMC
VO
VangdMCGrowth VOT
VangdMC Val
VOE
VangdS&P500 VOO
VangdS&P500 Grw VOOG
VangdS&P500Val VOOV
VangdS&PMC400 IVOO
VangdS&P400Grwth IVOG
VangdS&P400Val IVOV
VangdSC
VB
VangdTotalStk
VTI
VangdTotlWrld VT
VangdValue
VTV
VelocityLgLIBOR ULBR
VelocityShVIXShrt XIVH
WBITacticalLCS WBIL
WBITacticalLCV WBIF
WBITacticalLCY WBIG
WBITacticalSMG WBIA
WisdTrCBOES&P500 PUTW
WisdTrJpnCapGds DXJC
WisdTrJpnHdgQuDiv JHDG
WisdTrJapanHdg DXJ
WisdTrJpnHlthCare DXJH
WisdTrUSDivxFin DTN
WisdTrUSEarn500 EPS
WisdTrUSHiDiv DHS
WisdTrUSLCDivFd DLN
WisdTrUSLCValueFd EZY
WisdTrUSMCDivFd DON
WisdTrUSMCEarn EZM
WisdTrUSSCDiv DES
WisdTrUSTotalDivFd DTD
WisdTrUSTotalEarn EXT
WorkplaceEquality EQLT
XtrkrsMSCIJapan DBJP
XtrkrsRussell1000 DEUS
XtrkrsRussell2000 DESC
52-Wk %
Sym Hi/Lo Chg Stock
GladstoneInvt
Nasdaq highs - 249 GlobalIndemnity
NYSE Arca lows - 34
8.24
19.23
33.71
84.62
13.36
15.20
34.91
33.92
31.90
17.90
8.06
40.03
15.89
12.08
23.00
11.66
31.44
15.18
23.60
9.71
11.60
12.88
9.86
22.59
29.90
18.15
20.28
44.58
11.57
18.26
23.29
28.00
50.27
6.28
AdvShRangerEqBear HDGE
PathS&P500VIXMT VXZ
iPathS&P500VIXST VXX
CSAxela3xInvBrent DBRT
DirexFinlBear3
FAZ
DirexMcBear3
MIDZ
DirexRgBanksBear3X WDRW
DirexS&P500Br3 SPXS
DirexS&P500Br1 SPDN
DirexSemiBear3 SOXS
DirexTechBear3 TECS
HartfordTRBd
HTRB
ProShShtDow30 DOG
ProShShtFinls
SEF
ProShShortHY
SJB
ProShShtMC400 MYY
ProShShrtS&P500 SH
ProShUltVIXST UVXY
ProShUltShtDow30 SDOW
ProShUltraProShFnl FINZ
ProShShtMC400 SMDD
ProShUltProShS&P SPXU
ProShUltShDow30 DXD
ProShrUSFnl
SKF
ProShrUSHlthCr RXD
ProShrUSInd
SIJ
ProShUltMC400 MZZ
ProShUltShtS&P500 SDS
ProShrUSSemi SSG
ProShrUSTech
REW
ProShsVIXMTFut VIXM
ProShsVIXSTFut VIXY
SchwabSrtTRmUSTrsr SCHO
TeucriumWheatFund WEAT
-1.1
-1.1
-1.7
-7.3
-2.6
-1.7
-5.9
-1.4
-0.5
-1.5
-1.8
-0.1
-0.8
-0.9
-0.2
-0.6
-0.5
-3.6
-2.0
-5.3
-3.3
-1.7
-1.3
-1.5
0.1
-3.2
-0.9
-1.0
-0.8
-1.9
-1.0
-1.9
...
-1.4
FirstFinBkshs
FirstInternetBncp
FirstMidILBcsh
1stSource
FT CapStrength
FT CloudComp
FT DorseyDyn5
FT DorseyFoc5
FT NasdTechDiv
FT LC CoreAlpha
FT LC GrwthAlpha
FT LC US Equity
FT LC Value
FT MegaCap
FT MC CoreAlpha
FT MC GrwthAlpha
FT MC US Equity
FT MC ValAlpha
FT MCGrAlpDX
FT MuCValAlpha
FT NasdCleanEdge
FT Nasd100Tech
FT NasdSemicon
FT Nasd100 EW
FT RBAQualIncm
FTRisingDivAch
FT TotalUSMkt
FT USEquityDiv
Flex
FlexSTOXXGlbESGImp
FlexShUSQualLC
FlirSystems
FosterLB
GDSHoldings
GRAVITY
Garmin
GenomicHealth
GermanAmerBncp
ABMD
ADBE
AAAP
AEIS
ALGN
AMAT
ACGL
DWAT
AZPN
TEAM
AUDC
ADSK
ACLS
AXGN
BOKF
BLMT
BANF
BKMU
BANR
BECN
BLBD
WIFI
BMTC
CCMP
CSQ
CATY
CVCO
CELC
CSFL
CTAS
CACG
COBZ
CGNX
CTSH
CONN
CRVL
CVTI
CROX
CPIX
DFNL
DUSA
DIOD
DLTR
DOTA
EWBC
ECPG
ENSG
ESGR
ENFC
ENTG
EEFT
EXLS
FSBW
GSM
FBNC
FBMS
BUSE
FFIN
INBK
FMBH
SRCE
FTCS
SKYY
FVC
FV
TDIV
FEX
FTC
RNLC
FTA
FMK
FNX
FNY
RNMC
FNK
FAD
FAB
QCLN
QTEC
FTXL
QQEW
QINC
RDVY
TUSA
RNDV
FLEX
ESGG
QLC
FLIR
FSTR
GDS
GRVY
GRMN
GHDX
GABC
175.79
175.87
74.94
91.14
201.70
56.24
102.26
11.61
66.38
50.88
8.38
121.88
33.67
20.40
91.57
31.40
61.05
10.80
62.47
56.36
21.50
22.91
45.45
86.31
12.48
41.28
156.40
16.97
27.70
152.83
26.88
21.18
122.46
74.82
28.75
60.85
30.61
10.69
7.61
23.23
22.34
33.38
92.55
9.87
61.53
47.10
23.78
237.30
27.15
30.85
101.07
61.89
54.00
15.28
36.00
30.95
32.44
47.90
37.67
41.92
52.99
48.87
43.33
25.06
26.90
33.60
56.31
59.51
20.90
52.09
32.70
63.36
37.78
20.88
34.96
63.56
54.49
20.05
71.65
30.00
56.63
25.04
28.51
31.82
20.83
17.86
91.74
31.63
43.56
26.25
16.55
66.74
55.87
34.02
39.02
1.4
2.3
1.3
0.5
2.0
1.4
1.0
0.3
0.8
24.6
0.4
1.3
1.4
0.5
0.9
-0.2
-5.0
5.4
1.5
1.6
0.7
1.4
1.7
0.3
0.6
0.7
0.8
0.1
0.8
0.8
0.5
7.3
2.3
0.7
-1.6
-0.6
-1.5
8.5
3.4
0.9
0.8
0.3
1.1
0.8
3.2
1.9
0.9
0.9
0.9
-0.2
2.0
0.5
1.0
0.5
-0.1
1.0
0.8
1.2
8.0
1.6
0.1
0.5
0.4
0.8
0.8
0.7
0.7
0.7
0.6
0.7
0.5
0.7
0.7
0.7
0.8
0.8
0.7
0.4
0.8
1.3
0.4
0.4
1.1
1.3
0.5
0.4
0.2
0.3
0.2
1.0
6.3
-7.8
0.6
-0.4
0.9
GAIN
GBLI
GlbXConsciousCos KRMA
GlbXMillThematic MILN
GlbX Robotics&AI BOTZ
GuarantyBncp
GBNK
HeritageFin
HFWA
HorizNasd100
QYLD
ICU Medical
ICUI
II-VI
IIVI
IQ Chaikin US SC CSML
IRSA Prop
IRCP
Ichor
ICHR
IntegratedDevice IDTI
Intel
INTC
IntlSpeedwayA ISCA
Intuit
INTU
IntuitiveSurgical ISRG
IonisPharma
IONS
iRhythmTechs
IRTC
iSectorsPostMPT PMPT
iShCoreS&PUSGrowth IUSG
iShCoreS&PUSValue IUSV
iShSelectDividend DVY
iShMSCIACWIETF ACWI
iShMornMCValue JKI
iShPHLXSemicond SOXX
IturanLocation
ITRN
KLX
KLXI
KellyServices A KELYA
KingoldJewelry KGJI
LGI Homes
LGIH
LPL Financial
LPLA
LakelandBcp
LBAI
LakelandFin
LKFN
LamResearch
LRCX
LeggMasonLowVol LVHD
LeMaitreVascular LMAT
LibertyFormOne A FWONA
LibertyFormOne C FWONK
LigandPharm
LGND
LimelightNetworks LLNW
MAM Software MAMS
MCBCHoldings MCFT
MDC Partners
MDCA
MKS Instrum
MKSI
MainSourceFncl MSFG
MaximIntProducts MXIM
MercerIntl
MERC
MicrochipTech
MCHP
MicronTech
MU
Microsoft
MSFT
Mimecast
MIME
MiratiTherap
MRTX
MonolithicPower MPWR
NMI Holdings
NMIH
NXP Semi
NXPI
Nathan's
NATH
NatlBankshares NKSH
Neogen
NEOG
NVIDIA
NVDA
OconeeFederalFin OFED
OldDomFreight ODFL
Old2ndBcp
OSBC
Omnicell
OMCL
ON Semi
ON
Orbotech
ORBK
OtterTail
OTTR
Overstock
OSTK
PTC
PTC
Paccar
PCAR
ParkSterling
PSTB
PayPal
PYPL
PilgrimPride
PPC
PinnacleEnt
PNK
Potlatch
PCH
PwrShBuybackAch PKW
PwrShDWAMom DWLV
PwrShDWA Mom PDP
PwrShDWANasdMom DWAQ
PwrShDWATactical DWTR
PwrShDivAch
PFM
PwrShDynBscMatl PYZ
PwrShDynConDis PEZ
PwrShDynIndls PRN
PwrShDynTech PTF
PwrShUS1500 PRFZ
PwrShGlbWater PIO
PwrShHY EqDiv PEY
PwrShIntlDivAch PID
PwrShRuss1000Low USLB
PwrShS&P SC Fin PSCF
PwrShWaterRscs PHO
ProgressSoftware PRGS
Proofpoint
PFPT
ProvidenceService PRSC
QAD B
QADB
10.25
44.02
18.66
18.61
23.14
30.30
30.70
24.36
194.93
43.40
27.81
62.89
35.51
28.44
40.45
40.90
148.42
374.89
65.51
53.22
26.78
51.85
53.37
95.57
70.32
153.13
167.45
37.85
55.40
26.58
2.17
56.42
53.92
21.40
49.98
206.34
30.99
39.88
39.37
41.14
144.86
5.09
7.90
22.94
12.10
102.50
37.95
53.10
14.40
94.66
42.17
78.97
31.94
16.50
115.10
14.40
115.94
78.45
47.65
80.37
199.59
30.00
112.50
14.90
55.00
20.27
44.45
46.95
38.19
61.13
75.13
12.97
71.73
31.05
25.26
53.80
57.02
30.51
50.26
101.08
28.01
25.26
67.93
48.43
60.22
53.06
127.60
25.32
17.51
16.35
30.15
54.87
29.34
42.51
97.92
56.93
30.10
3.4
0.5
0.5
0.7
0.7
1.5
0.7
0.3
0.8
7.6
0.4
0.2
1.6
-0.6
0.8
-1.2
0.9
3.4
1.1
1.2
0.6
0.3
0.7
0.6
0.4
0.6
0.5
0.4
1.6
0.9
0.5
1.3
1.8
1.7
1.8
2.2
0.2
1.7
1.4
1.1
0.4
5.3
4.1
3.8
3.4
0.8
3.0
4.0
0.7
-0.3
0.5
1.2
0.7
1.3
...
1.4
0.3
3.4
3.0
1.8
-0.5
0.8
1.7
3.6
2.7
2.0
0.7
0.9
8.9
1.0
1.6
-0.2
5.5
1.8
...
-0.7
0.8
0.6
0.6
0.8
1.3
0.2
1.0
1.0
1.6
1.1
0.6
1.0
0.5
-0.2
0.9
-0.2
0.6
1.0
1.1
0.8
3.8
RCI Hospitality RICK
RepublicBcpKYA RBCAA
RushEnt B
RUSHB
RushEnt A
RUSHA
S&T Bancorp
STBA
SITO Mobile
SITO
SS&C Tech
SSNC
Saia
SAIA
SelectiveIns
SIGI
Sigmatron
SGMA
Silicom
SILC
SiliconLab
SLAB
SotherlyHotelsPfC SOHOO
SpartanMotors SPAR
Strattec
STRT
SunshineBancorp SBCP
TPIComposites TPIC
TRowePrice
TROW
TetraTech
TTEK
TexasInstruments TXN
TheBancorp
TBBK
TowneBank
TOWN
TriMas
TRS
Trupanion
TRUP
TwinDisc
TWIN
TwoRiverBancorp TRCB
2U
TWOU
Umpqua
UMPQ
uniQure
QURE
UniversalForest UFPI
UtahMedProducts UTMD
ValideaMktLeg VALX
VangdRuss1000 VONE
VangdRuss1000Grw VONG
VangdRuss1000Val VONV
VangdRuss3000 VTHR
VSInverseVIXSTerm XIV
Veracyte
VCYT
VicShDevEnhVol CIZ
VicShUSEQIncmEnh CDC
VicShUS500EnhVol CFO
VicShUS500Vol CFA
VicShUSLCHiDivVol CDL
VicShUSSCVolWtd CSA
VidentCoreUSEquity VUSE
VikingTherap
VKTX
VikingTheraWt VKTXW
WSFS Financial WSFS
WernerEnterprises WERN
WhiteHorseFin WHF
WillisTwrsWatson WLTW
WintrustFin
WTFC
WisdTrUSQltyDiv DGRW
WisdTrUSSCQltyDiv DGRS
Woodward
WWD
Xunlei
XNET
ZAGG
ZAGG
26.67
118.35
CET
CCF
CentralSecs
Chase
0.3
0.8
NYSE American lows - 8
4.50
0.01
3.25
13.33
0.28
3.15
2.25
2.20
Daxor
DXR
LGLRtWi
LGLr
Myomo
MYO
RegionalHlthPfdA RHEpA
TanRoyExplr
TRX
TelInstrElec
TIK
VolitionRX
VNRX
VoltInfoSci
VISI
0.9
-24.5
-8.0
-12.1
1.1
-0.3
-3.4
-1.4
Money Rates
October 20, 2017
Key annual interest rates paid to borrow or lend money in U.S. and
international markets. Rates below are a guide to general levels but
don’t always represent actual transactions.
Week
Latest ago
Chg From (%)
Aug. '17 Sept. '16
246.819
252.941
All items
Core
To advertise: 800-366-3975 or WSJ.com/classifieds
0.53
0.19
2.2
1.7
International rates
Week
Latest ago
BOATING
FERRARI
0.25
1.50
Britain
Australia
0.25
1.50
—52-WEEK—
High Low
0.25
1.50
0.25
1.50
"
# $ %
& ( )#*
!" #$ %&'
(01)*
%&+ ,-.,- /(/'#*
+$ % )+# "
2.,
('1$*
(/1*
+ #)# .,
11 '## ,-., (/1*
('1*
$' ,,#/ 2.,- 34
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'
!!
!
! !
LUXURY
SHOWROOM
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2014 SPRINTER
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ROBERTNORMAN2021@AOL.COM
918-293-9020
OWNER $110,000
(800) 366-3975
sales.showroom@wsj.com
For more information visit:
wsj.com/classifieds
© 2017 Dow Jones & Company, Inc. All Rights Reserved.
0.00
0.50
0.00
0.50
0.00
0.50
ADVERTISEMENT
The Mart
To advertise: 800-366-3975 or WSJ.com/classifieds
ANNOUNCEMENTS
CALL
(800) 366-3975
! "#
$ ! "!### $
!"#""#!"
BUSINESS FOR SALE
TRAVEL
!" #
$
" %
& ' "
(
$ )
*+ ,, -. /0 123 130
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,$ :,,
' ! /;
;
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SHOWCASE
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0.00
0.50
Notes on data:
U.S. prime rate is the base rate on corporate
loans posted by at least 70% of the 10 largest
U.S. banks, and is effective June 15, 2017. Other
prime rates aren’t directly comparable; lending
practices vary widely by location. Complete
Money Rates table appears Monday through
Friday.
Sources: Bureau of Labor Statistics; SIX Financial
Information
" '
Euro zone
Switzerland
3.472 3.432 3.865 2.960
3.494 3.454 3.899 2.990
" "
Policy Rates
30 days
60 days
( '
4.25 4.25 4.25 3.50
3.20 3.20 3.20 2.70
1.475 1.475 1.475 1.475
U.S.
Canada
Japan
Secondary market
Fannie Mae
30-year mortgage yields
52-Week
High
Low
Prime rates
-2.8
-3.6
-3.1
-1.1
-3.2
-6.5
4.3
-38.7
-2.0
-1.4
-31.6
-1.1
...
1.0
-1.7
-0.8
0.1
-0.1
0.3
-6.0
...
-4.3
-4.7
-5.8
-3.7
-20.4
-3.5
-8.1
1.9
-3.9
-20.2
5.4
-4.3
2.9
-1.9
-4.0
-1.9
-6.2
U.S. consumer price index
Showroom
15.20
3.76
0.60
3.25
1.77
1.50
76.26
0.56
0.47
3.08
2.64
0.42
0.90
0.97
8.16
11.01
51.84
14.98
76.12
0.39
0.67
8.45
6.18
2.08
3.25
0.74
1.91
1.70
1.50
1.37
0.32
2.27
1.31
2.00
10.93
8.29
14.25
0.99
Borrowing Benchmarks | WSJ.com/bonds
ADVERTISEMENT
2.3
3.5
1.4
3.0
-0.4
5.5
0.3
3.2
0.5
2.0
4.5
0.3
1.6
-2.7
2.7
1.2
1.8
1.3
-0.5
1.9
1.0
-0.1
0.7
0.4
2.8
1.4
2.2
-0.3
27.1
0.4
2.1
1.0
0.5
0.5
0.6
0.5
1.7
1.2
0.2
0.5
0.7
0.7
0.4
1.2
0.6
0.7
-13.8
-1.5
0.1
0.7
1.0
2.3
0.6
1.0
1.1
25.3
5.2
Nasdaq lows - 38
AMAG Pharm
AMAG
Advaxis
ADXS
Aemetis
AMTX
Atomera
ATOM
CardiomePharma CRME
Cenveo
CVO
ChinaBiologic
CBPO
ConcordiaIntl
CXRX
Connecture
CNXR
DHX Media VV DHXM
DelTacoWt
TACOW
DianaContainer DCIX
DifferentialBrds DFBG
Egalet
EGLT
EnergyXXIGulfCoast EXXI
FFBW
FFBW
FT LowDurOpp LMBS
iShMSCIQatarCapped QAT
KraftHeinz
KHC
LombardMedical EVAR
MicronetEnertec MICT
MustangBio
MBIO
NabrivaTherap
NBRV
NatlHoldings
NHLD
ProfDiversity
IPDN
RennovaHealth RNVA
RexEnergy
REXX
SearsHometown SHOS
SenesTech
SNES
StrataSkinSci
SSKN
TOP Ships
TOPS
TandemDiabetes TNDM
US Gold
USAU
Valeritas
VLRX
VS2xVIXMedTerm TVIZ
VS2xVIXShortTerm TVIX
VSVIXShortTerm VIIX
VistaGenTherap VTGN
Inflation
28.22
44.04
47.12
48.82
42.30
7.50
42.13
63.10
56.75
9.68
71.50
89.30
25.76
16.73
44.90
24.25
23.80
97.35
49.10
95.40
8.59
35.30
28.50
28.96
23.78
20.23
61.88
20.97
19.34
110.49
77.95
28.90
118.04
132.23
105.44
118.28
113.03
9.80
38.21
45.52
46.71
46.76
44.32
45.51
31.71
3.24
2.08
52.15
37.20
15.05
163.06
81.46
39.31
35.23
81.58
6.75
17.50
NYSE American highs - 2
Sept. index
level
# " 52-Wk %
Sym Hi/Lo Chg
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'( ))
© 2017 Dow Jones & Company, Inc.
All Rights Reserved.
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | B7
* * * *
BIGGEST 1,000 STOCKS
Continued From Page B5
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
OKE 5.3 35 56.00
-2.46 59.47 45.41 ONEOK
-8.09 75.50 57.20 OccidentalPetrol OXY 4.7504 65.47
OZM 2.3 25 3.46
4.53 3.87 2.15 Och-Ziff
OLN 2.3141 35.13
37.17 36.84 20.43 Olin
3.01 35.14 28.11 OmegaHealthcare OHI 8.1 18 32.20
OMC 3.0 15 73.69
-13.42 89.66 71.63 Omnicom
ORCL 1.5 22 49.25
28.09 53.14 37.64 Oracle
ORAN 5.6 86 16.01
5.75 17.63 13.98 Orange
51.25 134.59 72.06 OrbitalATK OA 1.0 28 132.69
IX ... 8 85.00
9.21 89.44 69.97 Orix
OSK 1.0 26 87.13
34.86 88.20 52.00 Oshkosh
s 55.37 80.56 46.45 OwensCorning OC 1.0 23 80.11
-4.79 71.57 49.83 PG&E
PCG 3.7 14 57.86
PHI 5.7 15 32.80
19.06 38.54 25.50 PLDT
s 17.09 137.71 92.37 PNC Fin
PNC 2.2 17 136.95
PKX ... 15 74.40
41.58 77.76 50.37 POSCO
s 24.27 117.80 89.64 PPG Ind
PPG 1.5 22 117.76
PPL 4.2 16 37.75
10.87 40.20 32.46 PPL
PVH 0.1 25 128.31
42.19 130.75 84.53 PVH
39.54 119.43 78.03 PackagingCpAm PKG 2.1 23 118.36
19.64 165.69 107.31 PaloAltoNtwks PANW ... dd 149.61
-4.75 33.40 24.65 ParkHotels PK 6.0 2 28.48
s 31.79 184.56 118.77 ParkerHannifin PH 1.4 26 184.50
-26.59 39.82 22.98 ParsleyEnergy PE ...235 25.87
PSO 1.5 dd 9.10
-8.91 10.31 7.04 Pearson
4.92 35.63 27.44 PembinaPipeline PBA 5.3 34 32.86
PNR 1.9 31 71.17
26.93 71.36 53.80 Pentair
PEP 2.9 23 111.61
6.67 119.39 98.50 PepsiCo
37.55 72.11 45.35 PerkinElmer PKI 0.4 43 71.73
PRGO 0.7 dd 87.44
5.06 92.64 63.68 Perrigo
-12.85 81.80 60.69 PetroChina PTR 3.2 41 64.23
2.37 12.55 7.61 PetroleoBrasil PBR ... dd 10.35
14.98 11.77 6.96 PetroleoBrasilA PBR.A ... dd 10.13
PFE 3.5 27 36.42
12.13 36.60 29.83 Pfizer
19.71 123.55 86.78 PhilipMorris PM 3.9 24 109.52
PSX 3.1 27 90.80
5.08 95.00 75.14 Phillips66
4.86 66.67 46.36 PinnacleFoods PF 2.3 37 56.05
13.78 90.92 70.86 PinnacleWest PNW 3.1 20 88.78
-19.61 199.83 125.46 PioneerNatRscs PXD 0.1148 144.75
-36.85 33.95 18.82 PlainsAllAmPipe PAA 5.9 15 20.39
PAGP 5.8 dd 20.75
-40.17 36.09 19.60 PlainsGP
29.21 108.45 73.98 PolarisIndustries PII 2.2 45 106.46
POT 2.1 33 19.27
6.52 20.27 15.74 Potash
s 22.14 143.14 114.43 Praxair
PX 2.2 27 143.14
s 17.09 68.90 52.08 PrincipalFin PFG 2.8 15 67.75
4.96 94.67 81.18 Procter&Gamble PG 3.1 24 88.25
37.77 49.75 30.99 Progressive PGR 1.4 20 48.91
PLD 2.7 19 64.44
22.07 65.63 45.93 Prologis
6.46 115.26 82.45 PrudentialFin PRU 2.7 12 110.78
23.50 49.67 32.52 Prudential PUK 1.6 18 49.14
11.67 49.33 39.28 PublicServiceEnt PEG 3.5 55 49.00
-3.76 232.21 192.15 PublicStorage PSA 3.7 31 215.09
s 52.34 28.01 17.69 PulteGroup PHM 1.3 16 28.00
QD ... ... 33.00
13.09 35.45 28.49 Qudian
3.46 112.97 79.12 QuestDiag DGX 1.9 20 95.08
s 35.48 103.38 70.10 QuintilesIMS Q
...141 103.03
RENX 1.4 27 21.92
30.79 22.01 14.92 RELX
RELX 1.3 28 22.70
26.32 22.89 16.19 RELX
RPM 2.5 39 52.17
-3.08 56.48 46.25 RPM
0.06 114.00 66.06 RalphLauren RL 2.2 dd 90.37
25.06 87.22 58.17 RaymondJames RJF 1.0 21 86.63
RTN 1.7 26 188.90
33.03 189.64 132.89 Raytheon
-3.38 63.60 52.72 RealtyIncome O 4.6 47 55.54
s 74.75 122.36 68.54 RedHat
RHT ... 73 121.80
-7.69 74.87 58.63 RegencyCtrs REG 3.3252 63.65
5.99 16.03 10.32 RegionsFin RF 2.4 16 15.22
s 15.23 147.13 106.68 ReinsuranceGrp RGA 1.4 12 145.00
12.52 67.18 49.44 RepublicServices RSG 2.1 33 64.19
RMD 1.8 33 79.00
27.32 81.87 56.59 ResMed
41.48 68.40 42.34 RestaurantBrands QSR 1.2 47 67.43
31.71 29.55 18.30 RiceEnergy RICE ... dd 28.12
RIO 4.6 14 48.37
25.77 50.77 32.47 RioTinto
s 5.88 51.87 34.42 RobertHalf RHI 1.9 20 51.65
s 40.25 188.60 116.28 Rockwell
ROK 1.6 30 188.50
45.54 135.31 78.54 RockwellCollins COL 1.0 27 135.00
37.40 54.24 37.03 RogersComm B RCI 2.9 35 53.01
ROL 1.0 57 47.70
41.21 48.29 28.00 Rollins
s 39.19 254.82 167.50 RoperTech ROP 0.5 38 254.82
18.53 80.98 60.92 RoyalBkCanada RY 3.6 15 80.26
s 35.62 7.58 4.51 RoyalBkScotland RBS ... dd 7.50
47.14 128.09 67.53 RoyalCaribbean RCL 2.0 17 120.71
12.30 61.42 48.07 RoyalDutchA RDS.A 6.2 33 61.07
8.73 63.12 50.94 RoyalDutchB RDS.B 6.0 34 63.03
SAP 1.2 34 112.03
29.62 113.64 80.93 SAP
50.22 162.96 107.21 S&P Global SPGI 1.0 19 161.55
15.56 64.80 48.82 SINOPECShanghai SHI 5.9 8 62.55
23.92 28.13 20.44 SK Telecom SKM ... 9 25.90
-9.44 115.34 93.90 SLGreenRealty SLG 3.2 95 97.40
s 44.46 99.18 66.43 Salesforce.com CRM ... dd 98.90
SNY 3.3 13 49.51
22.43 50.65 36.81 Sanofi
SSL 4.2 12 28.86
0.94 32.40 24.91 Sasol
SCG 5.0 12 49.04
-33.08 74.99 47.80 Scana
t-24.78 87.84 61.40 Schlumberger SLB 3.2486 63.15
SCHW 0.7 29 44.68
13.20 46.21 30.66 SchwabC
3.30 101.00 81.48 ScottsMiracleGro SMG 2.1 26 98.70
SEE 1.4 24 45.22
-0.26 50.62 41.22 SealedAir
-12.86 7.74 4.49 SemicondctrMfg SMI ... 5 6.64
13.40 120.17 92.95 SempraEnergy SRE 2.9 17 114.13
s 28.27 50.05 35.10 SensataTech ST ... 30 49.96
20.88 35.89 24.90 ServiceCorp SCI 1.7 19 34.33
25.19 48.48 34.36 ServiceMaster SERV ... 28 47.16
0.19
0.63
0.09
0.03
0.09
0.73
-0.10
-0.15
-0.29
-0.13
0.10
0.87
0.86
-0.70
1.65
-0.63
3.45
-0.06
2.57
1.76
0.28
-0.49
2.49
-0.24
0.08
-0.47
0.46
-1.06
0.41
-0.09
0.17
-0.04
-0.02
0.18
1.37
0.41
-0.52
0.21
1.77
-0.25
-0.50
1.10
0.02
2.73
-0.42
-3.34
0.22
-0.11
1.18
0.63
0.06
-0.12
0.22
-1.90
1.85
1.21
-0.05
-0.02
0.25
3.99
0.91
1.95
-0.67
0.20
-0.73
0.25
-0.44
0.54
0.21
-0.17
0.25
0.24
0.73
2.06
0.43
0.13
0.04
2.86
-0.48
0.05
-0.41
0.04
0.30
-1.37
2.11
0.87
0.13
-1.26
1.71
-0.51
-0.06
0.39
-1.35
1.41
0.37
1.06
0.28
0.04
0.36
0.04
0.25
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
s 67.90 124.87 72.80 ServiceNow NOW ... dd 124.82
8.33 23.31 19.02 ShawComm B SJR 4.1 28 21.73
s 45.01 390.60 239.48 SherwinWilliams SHW 0.9 32 389.70
18.62 48.98 36.06 ShinhanFin SHG ... 8 44.65
SHOP ... dd 102.10
138.16 123.94 37.74 Shopify
-7.29 199.19 150.15 SimonProperty SPG 4.4 30 164.72
s 30.07 61.82 43.66 SmithAO
AOS 0.9 31 61.59
27.26 40.43 26.96 Smith&Nephew SNN 1.3 21 38.28
SJM 3.0 22 104.22
-18.62 143.68 102.73 Smucker
SNAP ... dd 15.56
-36.44 29.44 11.28 Snap
-6.51 181.73 140.83 SnapOn
SNA 1.8 16 160.12
106.98 63.80 26.47 SOQUIMICH SQM 1.3 45 59.30
SNE ... 40 37.55
33.96 41.65 27.72 Sony
s 6.14 52.34 46.20 Southern
SO 4.4 80 52.21
SCCO 1.3 34 43.13
35.03 44.15 26.52 SoCopper
19.12 64.39 36.91 SouthwestAirlines LUV 0.8 18 59.37
-6.57 47.48 40.19 SpectraEnerPtrs SEP 6.7 15 42.83
-10.05 146.09 101.93 SpectrumBrands SPB 1.5 22 110.03
s 38.75 81.05 47.73 SpiritAeroSys SPR 0.5 30 80.96
S
-17.70 9.65 5.83 Sprint
... dd 6.93
SQ ... dd 32.50
138.44 33.30 11.00 Square
s 39.61 160.15 111.89 StanleyBlackDck SWK 1.6 21 160.12
-0.05 23.01 21.11 StarwoodProp STWD 8.8 12 21.94
27.53 99.99 68.68 StateStreet STT 1.7 18 99.12
STO 4.3 dd 20.43
12.01 20.58 15.58 Statoil
s 35.39 91.49 63.80 Steris
STE 1.4 65 91.24
75.51 20.19 7.87 STMicroelec STM 1.2 40 19.92
s 25.61 150.51 106.48 Stryker
SYK 1.1 34 150.49
3.01 8.30 6.61 SumitomoMits SMFG ... 8 7.87
16.75 91.87 69.90 SunCommunities SUI 3.0128 89.44
3.15 40.57 32.22 SunLifeFinancial SLF 3.5 13 39.62
1.96 35.18 27.96 SuncorEnergy SU 3.1 27 33.33
9.43 61.69 44.45 SunTrustBanks STI 2.7 16 60.02
-8.91 38.05 26.01 SynchronyFin SYF 1.8 12 33.04
SYT ... 41 92.07
16.47 93.61 74.52 Syngenta
SYY 2.4 26 54.89
-0.87 57.07 47.15 Sysco
198.59 36.16 11.02 TAL Education TAL ...148 34.91
s 27.70 88.58 61.07 TE Connectivity TEL 1.8 19 88.47
TU 4.4 23 35.68
12.03 36.94 30.31 Telus
TX 3.1 8 31.82
31.76 33.39 21.62 Ternium
TSU ... 33 19.14
62.20 19.42 11.17 TIM Part
TJX 1.7 20 72.09
-4.05 80.92 66.66 TJX
s 86.90 79.82 41.41 TableauSoftware DATA ... dd 78.78
43.03 41.72 28.34 TaiwanSemi TSM 2.8 19 41.12
-21.92 61.83 40.25 TargaResources TRGP 8.3 dd 43.78
TGT 4.0 12 61.76
-14.50 79.33 48.56 Target
-4.77 41.50 28.96 TataMotors TTM 0.0 17 32.75
t-29.75 37.09 24.53 TechnipFMC FTI ... ... 24.96
13.53 33.76 14.56 TeckRscsB TECK 0.7 9 22.74
s 74.46 32.74 17.04 TelecomArgentina TEO 1.4 16 31.70
2.59 10.53 7.10 TelecomItalia TI 2.8 ... 9.12
0.79 8.45 5.85 TelecomItalia A TI.A 4.2 ... 7.35
34.49 165.87 102.78 TeledyneTech TDY ... 30 165.42
TFX 0.6 46 243.06
50.83 248.68 136.53 Teleflex
20.48 16.85 11.95 TelefonicaBras VIV ... 23 16.12
12.83 11.64 8.15 Telefonica TEF 4.3 17 10.38
8.40 36.19 27.17 TelekmIndonesia TLK 2.3 16 31.61
t-26.38 37.21 26.17 Tenaris
TS 4.3104 26.29
s 53.98 39.47 20.22 Teradyne
TER 0.7 20 39.11
-58.90 44.42 14.30 TevaPharm TEVA 2.3 dd 14.90
10.67 55.80 38.67 Textron
TXT 0.1 16 53.74
s 37.39 194.43 139.07 ThermoFisherSci TMO 0.3 34 193.86
8.89 48.61 39.23 ThomsonReuters TRI 2.9 36 47.67
s 32.03 133.28 74.00 ThorIndustries THO 1.1 19 132.10
s 23.94 221.32 163.85 3M
MMM 2.1 25 221.32
TIF 2.1 26 94.54
22.10 97.29 71.86 Tiffany
5.49 103.90 83.31 TimeWarner TWX 1.6 19 101.83
s 42.61 44.33 26.65 Toll Bros
TOL 0.7 16 44.21
s 12.69 83.48 62.86 Torchmark TMK 0.7 18 83.12
TTC 1.1 27 63.45
13.40 73.86 46.09 Toro
15.16 57.79 44.37 TorontoDomBk TD 3.4 14 56.82
TOT 5.4 18 54.16
6.26 55.04 45.05 Total
38.45 70.62 46.92 TotalSystem TSS 0.8 33 67.88
5.55 124.32 103.62 ToyotaMotor TM ... 11 123.71
8.59 51.85 42.69 TransCanada TRP 4.1 57 49.03
7.89 295.00 203.72 TransDigm TDG ... 30 268.60
64.02 51.00 28.92 TransUnion TRU ... 44 50.73
s 8.90 134.11 103.45 Travelers
TRV 2.2 15 133.32
38.41 9.69 6.35 TurkcellIletism TKC ... 17 9.55
-1.55 3.80 2.44 TurquoiseHill TRQ ... 53 3.18
TWTR ... dd 17.87
9.63 20.88 14.12 Twitter
TYL ... 59 177.33
24.21 182.49 139.61 TylerTech
15.99 72.22 55.72 TysonFoods TSN 1.3 15 71.54
11.23 18.31 13.38 UBS Group UBS 3.4 17 17.43
UDR 3.2110 38.42
5.32 40.71 32.79 UDR
UGI 2.1 22 48.09
4.36 52.00 41.79 UGI
USFD ... 21 27.57
0.33 30.73 22.19 US Foods
17.94 25.39 18.38 UltraparPart UGP 2.2 30 24.46
-39.83 38.38 15.92 UnderArmour A UAA ... 36 17.48
-36.79 33.40 14.80 UnderArmour C UA ... 33 15.91
37.17 61.62 38.41 Unilever
UN 2.9 25 56.32
UL 3.0 25 54.79
34.62 60.13 38.58 Unilever
8.98 116.93 87.06 UnionPacific UNP 2.1 20 112.99
-17.81 83.04 52.21 UnitedContinental UAL ... 9 59.90
47.43 2.73 1.74 UnitedMicro UMC 3.2 21 2.58
UPS 2.8 29 119.76
4.47 120.80 102.12 UPS B
36.77 147.60 70.58 UnitedRentals URI ... 20 144.40
5.29 56.61 43.50 US Bancorp USB 2.2 16 54.09
X 0.7178 28.43
-13.87 41.83 17.05 US Steel
10.32 124.79 97.62 UnitedTech UTX 2.3 18 120.93
s 29.65 208.21 136.22 UnitedHealth UNH 1.4 23 207.49
6.08 129.74 99.72 UniversalHealthB UHS 0.4 15 112.85
s 19.03 52.91 34.83 UnumGroup UNM 1.8 13 52.29
4.01
-0.12
2.13
-0.59
3.85
-0.80
0.79
0.36
0.22
0.31
3.93
0.01
0.11
0.21
-0.16
0.74
-0.63
-0.01
2.19
-0.14
0.38
2.96
-0.01
1.64
0.17
0.64
0.17
1.17
...
-0.17
-0.29
-0.28
0.91
1.33
0.03
0.15
0.99
1.03
-0.31
0.70
0.16
0.68
0.16
0.05
-0.71
1.33
-0.20
-0.14
0.45
-0.44
0.03
0.10
1.83
1.07
0.08
-0.02
0.30
-0.08
0.05
-0.03
0.64
1.42
-0.20
1.74
2.08
0.94
-0.37
0.25
0.59
1.27
-0.81
-0.04
0.55
0.64
-0.86
4.10
0.37
0.15
-0.02
-0.04
-0.02
1.09
0.13
0.12
-0.10
-0.25
0.17
-0.17
1.03
0.89
-1.33
-1.25
0.98
0.12
...
0.34
...
0.50
0.75
1.44
4.24
2.31
0.01
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
VER 6.8 dd 8.06
-4.73 9.78 7.44 VEREIT
s 24.42 66.97 48.05 VF
VFC 2.5 25 66.38
V 0.7 41 107.55
37.85 109.26 75.17 Visa
41.66 232.71 153.66 VailResorts MTN 1.8 47 228.51
VALE 5.5 15 10.28
34.91 11.71 5.96 Vale
13.50 78.64 54.21 ValeroEnergy VLO 3.6 19 77.54
VNTV ... 54 69.35
16.32 73.14 54.38 Vantiv
34.19 107.87 75.94 VarianMed VAR ... 35 106.69
VEDL 10.9 21 20.21
62.72 20.96 11.55 Vedanta
49.88 68.07 37.34 VeevaSystems VEEV ... 73 61.00
VTR 4.9 38 63.00
0.77 72.36 56.20 Ventas
VZ 4.8 13 49.53
-7.21 54.83 42.80 Verizon
22.77 19.33 13.50 VistraEnergy VST ... 0 19.03
s 50.31 118.73 72.65 VMware
VMW ... 37 118.34
-11.67 90.29 69.78 VornadoRealty VNO 3.2 16 74.50
2.37 42.96 28.96 VoyaFinancial VOYA 0.1 dd 40.15
-2.83 138.18 108.95 VulcanMaterials VMC 0.8 39 121.61
s 45.70 155.94 96.10 WABCO
WBC ... 28 154.66
13.91 67.20 53.66 WEC Energy WEC 3.1 22 66.81
18.02 70.38 55.77 W.P.Carey WPC 5.8 34 69.74
WAB 0.6 27 76.87
-7.41 93.81 69.20 Wabtec
s 26.50 87.45 65.28 Wal-Mart
WMT 2.3 21 87.44
34.75 71.04 48.78 WasteConnections WCN 0.7 60 70.60
9.62 79.28 61.59 WasteMgt WM 2.2 27 77.73
WAT ... 28 188.14
40.00 190.39 133.35 Waters
WSO 3.1 30 160.29
8.22 163.94 128.60 Watsco
W ... dd 68.04
94.12 84.19 27.60 Wayfair
31.69 184.88 113.34 WellCareHealth WCG ... 32 180.52
-0.34 59.99 44.49 WellsFargo WFC 2.8 14 54.92
1.85 78.17 59.39 Welltower HCN 5.1 48 68.17
10.62 99.91 70.17 WestPharmSvcs WST 0.6 40 93.84
-5.96 57.50 49.20 WestarEnergy WR 3.0 22 52.99
-6.49 47.82 38.70 WesternGasEquity WGP 5.4 24 39.60
-16.27 67.44 48.04 WesternGasPtrs WES 7.4 32 49.20
-6.49 22.70 18.39 WesternUnion WU 3.4 52 20.31
49.71 85.86 48.92 WestlakeChem WLK 1.0 24 83.82
11.88 27.05 22.17 WestpacBanking WBK 5.2 16 26.27
s 19.22 60.54 43.79 WestRock WRK 2.6 37 60.53
17.25 35.50 28.58 Weyerhaeuser WY 3.5 29 35.28
8.23 25.27 16.94 WheatonPrecMetals WPM 1.9 32 20.91
WHR 2.4 18 182.46
0.38 202.99 145.91 Whirlpool
WMB 4.1 48 29.33
-5.81 32.69 27.35 Williams
1.18 42.32 32.93 WilliamsPartners WPZ 6.2 23 38.48
WIT 0.5 33 5.43
12.19 6.40 4.50 Wipro
45.00 53.50 30.62 WooriBank WF 2.8 8 46.40
42.73 110.74 62.60 Wyndham WYN 2.1 20 109.00
56.65 68.96 31.68 XPO Logistics XPO ... 78 67.61
21.03 50.56 38.00 XcelEnergy XEL 2.9 22 49.26
XRX 3.0 dd 33.38
-4.41 39.96 25.84 Xerox
XYL 1.1 42 64.23
29.71 66.28 45.60 Xylem
YPF 1.0 dd 22.96
39.15 26.48 15.00 YPF
20.27 78.14 59.57 YumBrands YUM 1.6 21 76.17
61.37 43.55 24.00 YumChina YUMC ... 29 42.15
29.25 18.45 11.14 ZTO Express ZTO ... 35 15.60
11.14 36.77 29.30 ZayoGroup ZAYO ...107 36.52
18.56 133.49 95.63 ZimmerBiomet ZBH 0.8 35 122.35
ZTS 0.6 37 65.94
23.18 66.11 46.86 Zoetis
-0.05
1.03
0.53
6.01
-0.05
-0.09
0.24
1.09
0.08
1.40
-0.02
0.32
0.20
0.94
-0.35
0.30
1.57
-0.42
0.22
0.30
1.21
1.04
-0.18
0.36
2.69
0.99
0.89
3.28
1.17
-0.01
1.56
0.05
0.17
-0.58
0.45
-0.18
0.06
0.93
0.10
0.26
4.50
-0.27
-0.32
0.09
0.18
-0.30
1.86
0.01
0.28
0.34
0.03
0.35
0.25
0.27
0.46
0.47
0.36
NASDAQ
20.19 22.34 17.30 AGNC Invt AGNC 9.9 5 21.79
ANSS ... 42 130.94
41.57 132.74 82.28 Ansys
ASML 0.7 ... 175.22
56.17 176.87 98.71 ASML
s 54.97 175.79 95.14 Abiomed
ABMD ...103 174.62
73.44 66.58 35.12 ActivisionBliz ATVI 0.5142 62.63
s 70.61 175.87 98.00 AdobeSystems ADBE ... 55 175.64
-22.21 71.64 44.65 AkamaiTech AKAM ... 30 51.87
13.62 149.34 96.18 AlexionPharm ALXN ... 60 139.02
s108.97 201.70 83.27 AlignTech
ALGN ... 69 200.88
ALKS ... dd 50.58
-9.00 63.40 48.90 Alkermes
206.36 126.16 31.38 AlnylamPharm ALNY ... dd 114.70
26.83 1016.31 743.59 Alphabet A GOOGL ... 36 1005.07
28.04 997.21 727.54 Alphabet C GOOG ... 36 988.20
AABA ... dd 67.51
74.58 69.51 38.24 Altaba
31.08 1083.31 710.10 Amazon.com AMZN ...249 982.91
DOX 1.3 23 66.07
13.42 67.98 54.91 Amdocs
1.54 398.94 307.80 Amerco
UHAL ... 19 375.29
11.22 54.48 38.21 AmericanAirlines AAL 0.8 13 51.93
AMGN 2.5 17 182.96
25.14 191.10 133.64 Amgen
22.46 90.49 62.22 AnalogDevices ADI 2.0 43 88.93
AAPL 1.6 18 156.25
34.91 164.94 104.08 Apple
s 73.81 56.23 28.02 AppliedMaterials AMAT 0.7 20 56.09
s 18.38 102.26 76.47 ArchCapital ACGL ... 19 102.15
s108.35 50.88 23.80 Atlassian
TEAM ... dd 50.17
s 63.23 121.88 67.15 Autodesk
ADSK ... dd 120.81
ADP 2.0 30 115.93
12.79 121.77 85.48 ADP
s 9.48 91.57 68.72 BOK Fin
BOKF 1.9 20 90.91
BIDU ... 48 264.90
61.12 274.97 159.54 Baidu
-10.46 56.86 35.53 BankofOzarks OZRK 1.6 16 47.09
BIIB ... 22 338.10
29.44 348.84 244.28 Biogen
5.93 100.51 78.42 BioMarinPharm BMRN ... dd 87.75
26.78 64.41 40.00 Bioverativ BIVV ... 14 60.22
131.04 145.40 37.05 bluebirdbio BLUE ... dd 142.55
-11.26 75.00 52.75 BrighthouseFin BHF ... ... 62.12
38.17 259.36 160.62 Broadcom AVGO 1.7238 244.24
CA 3.0 19 34.10
7.33 36.54 30.01 CA
9.63 67.49 53.46 CDK Global CDK 0.9 33 65.44
CDW 0.9 26 69.62
33.65 71.53 43.64 CDW
6.88 81.16 63.41 CH Robinson CHRW 2.3 23 78.30
17.15 138.49 98.95 CME Group CME 2.0 28 135.13
CSX 1.5 28 54.52
51.74 55.48 30.01 CSX
67.64 42.56 24.15 CadenceDesign CDNS ... 49 42.28
CG 6.9 19 24.35
59.67 24.85 14.45 Carlyle
48.86 110.67 61.58 CboeGlobalMkts CBOE 1.0 61 109.99
...
1.05
-0.80
2.41
0.64
3.91
0.22
-1.44
4.03
0.02
-0.93
3.23
3.75
0.06
-3.70
0.04
2.16
0.42
-1.16
0.13
0.27
0.76
0.99
9.92
1.52
1.31
0.80
0.38
1.00
-4.32
-0.38
0.49
3.10
0.92
-0.05
0.17
0.20
1.23
0.32
0.18
0.46
0.47
0.15
1.06
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
4.82 147.17 96.93 Celgene
CELG ... 38 121.33 -14.63
CERN ... 37 73.01 0.21
54.13 73.86 47.01 Cerner
21.83 408.83 241.50 CharterComms CHTR ...102 350.76 -0.91
40.30 119.20 76.87 CheckPointSftw CHKP ... 26 118.50 0.60
159.49 138.44 41.69 ChinaLodging HTHT ... 73 134.52 2.15
0.94 81.98 68.11 CincinnatiFin CINF 2.6 22 76.46 0.27
s 31.71 152.83 102.07 Cintas
CTAS 1.1 35 152.20 1.25
13.34 34.60 29.12 CiscoSystems CSCO 3.4 18 34.25 0.50
17.40 87.99 65.56 CitrixSystems CTXS ... 28 83.49 0.75
s 92.46 122.46 49.68 Cognex
CGNX 0.3 56 122.44 2.81
s 33.50 74.82 49.35 CognizantTech CTSH 0.8 24 74.80 0.53
COHR ... 39 261.80 3.33
90.56 281.00 100.01 Coherent
7.81 42.18 30.02 Comcast A CMCSA 1.7 19 37.22 0.32
0.33 60.61 46.57 CommerceBcshrs CBSH 1.6 21 58.00 0.45
-12.23 42.75 29.91 CommScope COMM ... 27 32.65 0.78
CPRT ... 22 36.48 0.07
31.67 36.65 25.37 Copart
49.91 291.95 179.22 CoStarGroup CSGP ... 95 282.56 2.08
COST 1.2 26 160.77 2.31
0.41 183.18 142.11 Costco
20.88 60.65 39.71 Ctrip.com
CTRP ...168 48.35 -1.45
-14.90 66.50 47.48 DISH Network DISH ... 23 49.30 -0.02
7.12 65.68 52.53 DentsplySirona XRAY 0.6 dd 61.84 1.17
1.45 114.00 82.77 DiamondbackEner FANG ... 31 102.53 0.94
-18.87 30.80 20.95 DiscoveryComm B DISCB ... 13 23.65 1.15
-25.98 30.25 18.61 DiscoveryComm A DISCA ... 11 20.29 0.20
-28.08 29.18 17.57 DiscoveryComm C DISCK ... 10 19.26 0.29
s 19.68 92.55 65.63 DollarTree DLTR ... 24 92.37 0.96
24.68 45.70 27.34 E*TRADE
ETFC ... 20 43.20 -0.49
s 20.74 61.53 38.13 EastWestBancorp EWBC 1.3 17 61.37 1.90
EBAY ... 6 37.61 0.32
26.68 39.27 27.28 eBay
47.94 153.13 94.91 ElbitSystems ESLT ... 27 150.74 0.64
44.26 122.79 73.74 ElectronicArts EA ... 30 113.62 0.55
EQIX 1.7174 468.76 -1.79
31.15 475.28 314.55 Equinix
10.63 7.47 4.83 Ericsson
ERIC 1.7 dd 6.45 0.55
10.13 129.73 98.36 ErieIndemnity A ERIE 2.5 31 123.84 0.34
EXEL ...143 27.17 -0.29
82.23 32.50 10.04 Exelixis
EXPE 0.8 72 152.80 -0.60
34.89 161.00 111.88 Expedia
11.25 60.81 47.23 ExpeditorsIntl EXPD 1.4 26 58.92 0.01
-13.49 77.50 55.80 ExpressScripts ESRX ... 10 59.51 0.76
-17.44 149.50 114.63 F5Networks FFIV ... 20 119.48 2.09
FB ... 40 174.98 0.42
52.09 176.74 113.55 Facebook
FAST 2.6 26 48.39 0.13
3.00 52.74 37.96 Fastenal
6.04 28.97 20.83 FifthThirdBncp FITB 2.2 15 28.60 0.32
FISV ... 31 128.44 0.89
20.85 129.81 92.81 Fiserv
s 23.73 17.86 13.34 Flex
FLEX ... 28 17.78 0.07
s 19.70 43.56 28.90 FlirSystems FLIR 1.4 28 43.32 0.07
FTNT ...109 40.32 0.10
33.86 41.56 28.50 Fortinet
19.89 39.32 29.32 Gaming&Leisure GLPI 6.9 21 36.71 -0.10
s 15.08 55.87 46.80 Garmin
GRMN 3.7 16 55.80 0.35
-1.57 22.12 16.06 Gentex
GNTX 2.1 15 19.38 -1.28
13.41 86.27 63.76 GileadSciences GILD 2.6 9 81.21 -0.38
GT 1.6 7 33.94 0.34
9.94 37.20 26.82 Goodyear
GRFS 1.5 ... 21.62 0.17
34.54 22.82 14.27 Grifols
-13.55 44.73 28.97 HD Supply HDS ... 11 36.75 0.51
HAS 2.3 21 98.19 1.52
26.22 116.20 77.20 Hasbro
11.44 93.50 73.11 HenrySchein HSIC ... 25 84.53 1.44
HOLX ... 14 37.01 -0.07
-7.75 46.80 35.15 Hologic
JBHT 0.9 28 106.58 1.79
9.80 111.98 76.89 JBHunt
7.34 14.74 9.95 HuntingtonBcshs HBAN 3.1 20 14.19 0.21
92.50 127.28 60.39 IAC/InterActive IAC ... 47 124.72 0.58
IDXX ... 56 164.71 3.13
40.45 173.01 102.45 IdexxLab
24.34 48.53 34.13 IHSMarkit INFO ... 46 44.03 0.51
6.18 61.10 40.65 INC Research INCR ... 35 55.85 0.30
105.20 204.29 82.12 IPG Photonics IPGP ... 34 202.55 1.71
s 29.83 62.89 39.51 IRSA Prop IRCP 2.1 16 61.50 0.15
-3.54 64.46 45.63 IcahnEnterprises IEP 10.4 7 57.49 1.46
ICLR ... 23 113.63 -0.73
51.10 117.53 73.76 Icon
ILMN ... 41 209.88 4.70
63.92 214.34 119.37 Illumina
INCY ... dd 114.19 -0.08
13.88 153.15 83.01 Incyte
s 11.47 40.45 33.23 Intel
INTC 2.7 15 40.43 0.34
35.28 50.73 31.96 InteractiveBrkrs IBKR 0.8 42 49.39 -0.03
s 29.11 148.42 103.22 Intuit
INTU 1.1 40 147.97 1.35
s 74.83 374.89 203.57 IntuitiveSurgical ISRG ... 53 369.58 12.12
s 34.62 65.51 24.58 IonisPharma IONS ...307 64.39 0.73
JD ... dd 39.00 -0.38
53.30 48.99 23.38 JD.com
19.15 109.67 79.00 JackHenry JKHY 1.2 34 105.78 0.31
32.12 163.75 95.80 JazzPharma JAZZ ... 22 144.05 -0.95
JBLU ... 10 20.35 0.01
-9.23 24.13 16.85 JetBlue
37.70 109.59 72.88 KLA Tencor KLAC 2.2 18 108.34 0.29
t-12.15 97.77 76.12 KraftHeinz KHC 3.3 25 76.71 0.24
LKQ ... 23 37.34 0.11
21.83 37.70 27.85 LKQ
s 94.21 206.34 93.69 LamResearch LRCX 0.9 19 205.34 4.36
1.59 79.09 58.68 LamarAdvertising LAMR 4.9 22 68.31 -0.46
26.94 104.35 61.69 LibertyBroadbandA LBRDA ...541 91.98 0.45
26.23 104.66 63.64 LibertyBroadbandC LBRDK ...550 93.50 0.45
3.40 37.69 28.17 LibertyGlobal A LBTYA ... 36 31.63 -0.11
3.30 37.00 27.36 LibertyGlobal C LBTYK ... 35 30.68 -0.09
0.14 28.11 19.10 LibertyLiLAC A LILA ... 25 21.99 0.70
4.11 27.96 19.33 LibertyLiLAC C LILAK ... 25 22.04 0.73
17.02 26.00 17.24 LibertyQVC A QVCA ... 9 23.38 0.29
56.55 62.41 36.54 LibertyVenturesA LVNTA ... 19 57.72 0.52
s 23.44 39.37 26.95 LibertyFormOne A FWONA ... ... 38.70 0.54
s 29.01 41.14 26.44 LibertyFormOne C FWONK ... ... 40.42 0.44
21.43 26.52 16.52 LibertyBraves A BATRA ... dd 24.88 0.07
20.59 26.20 16.18 LibertyBraves C BATRK ... dd 24.83 0.07
26.77 46.43 31.83 LibertySirius A LSXMA ... 32 43.76 0.04
27.36 46.51 33.82 LibertySirius B LSXMB ... 32 44.50 -1.01
29.07 46.24 32.13 LibertySirius C LSXMK ... 32 43.78 0.09
25.08 97.97 63.30 LincolnElectric LECO 1.6 28 95.90 1.18
48.20 40.82 21.14 LogitechIntl LOGI 1.7 30 36.71 0.10
LOGM 0.8 dd 119.15 0.20
23.41 123.95 86.22 LogMeIn
-2.62 72.70 47.26 lululemon LULU ... 30 63.29 3.20
29.50 211.06 145.10 MarketAxess MKTX 0.7 50 190.26 1.59
MAR 1.1 40 115.02 -0.18
39.11 116.67 65.91 Marriott
YTD 52-Week
% Chg Hi Lo Stock
32.73 18.72 12.30 MarvellTech MRVL 1.3 43 18.41
50.23 26.24 15.08 MatchGroup MTCH ... 36 25.69
s 35.05 53.10 37.32 MaximIntProducts MXIM 2.8 25 52.09
50.38 24.57 14.88 MelcoResorts MLCO 1.5 47 23.91
50.97 297.95 148.98 MercadoLibre MELI 0.3 72 235.73
s 44.55 94.66 58.79 MicrochipTech MCHP 1.6 50 92.73
s 89.32 42.17 16.45 MicronTech MU ... 10 41.50
-4.37 57.97 37.72 Microsemi MSCC ... 49 51.61
s 26.83 78.97 57.28 Microsoft
MSFT 2.1 29 78.81
MIDD ... 23 121.11
-5.98 150.87 108.45 Middleby
MOMO ... 31 31.89
73.50 46.69 16.73 Momo
MDLZ 2.1 36 41.02
-7.47 47.23 40.04 Mondelez
27.33 57.25 40.64 MonsterBeverage MNST ... 42 56.46
MYL ... 32 38.51
0.94 45.87 29.39 Mylan
s 18.23 115.94 95.88 NXP Semi
NXPI ... 25 115.88
8.64 78.31 63.30 Nasdaq
NDAQ 2.1 57 72.92
43.15 45.30 27.08 NatlInstruments NATI 1.9 57 44.12
NTAP 1.8 22 44.56
26.34 45.24 30.36 NetApp
NTES 1.2 19 276.63
28.46 337.55 211.11 Netease
NFLX ...196 194.16
56.83 204.38 110.68 Netflix
19.63 14.48 10.99 NewsCorp A NWSA 1.5 dd 13.71
19.49 14.90 11.25 NewsCorp B NWS 1.4 dd 14.10
NDSN 1.0 25 124.66
11.25 131.49 96.05 Nordson
6.98 99.30 69.92 NorthernTrust NTRS 1.8 21 95.27
26.33 61.48 35.21 NorwegianCruise NCLH ... 18 53.73
s 84.47 199.59 66.58 NVIDIA
NVDA 0.3 56 196.90
-26.04 286.57 169.43 OReillyAuto ORLY ... 18 205.90
s 31.13 112.50 68.82 OldDomFreight ODFL 0.4 29 112.50
s 57.29 20.27 10.74 ON Semi
ON ... 30 20.07
OTEX 1.6 8 33.79
9.34 35.21 29.30 OpenText
s 31.23 61.13 43.10 PTC
PTC ... dd 60.72
s 17.25 75.13 53.38 Paccar
PCAR 1.3 20 74.92
PAYX 3.1 28 64.04
5.19 64.75 52.78 Paychex
s 79.81 71.73 38.06 PayPal
PYPL ... 57 70.97
-2.43 20.13 15.82 People'sUtdFin PBCT 3.7 21 18.89
s 63.45 31.05 17.15 PilgrimPride PPC ... 16 31.04
PCLN ... 41 1942.11
32.47 2067.99 1422.19 Priceline
QGEN ...104 34.13
17.29 36.34 24.86 Qiagen
QRVO ... dd 69.92
32.60 79.34 48.28 Qorvo
-20.21 71.62 48.92 Qualcomm QCOM 4.4 20 52.02
27.82 108.29 67.54 RandgoldRscs GOLD 1.0 33 97.58
17.95 543.55 325.35 RegenPharm REGN ... 43 432.98
-2.09 69.81 52.85 RossStores ROST 1.0 21 64.23
36.92 94.39 60.21 RoyalGold RGLD 1.1 56 86.74
RYAAY ... 16 106.86
28.34 122.67 72.61 Ryanair
39.01 154.71 102.29 SBA Comm SBAC ...493 147.89
29.05 64.08 43.65 SEI Investments SEIC 0.9 29 63.70
SINA ... 37 110.48
96.95 119.20 55.79 Sina
s 46.78 42.13 28.43 SS&C Tech SSNC 0.7 45 41.98
SIVB ... 23 189.47
10.38 198.83 116.59 SVB Fin
18.40 88.45 62.03 ScrippsNetworks SNI 1.4 17 84.50
STX 7.2 14 34.94
-8.46 50.96 30.60 Seagate
21.02 75.36 45.31 SeattleGenetics SGEN ... dd 63.86
SHPG 0.2 69 145.25
-14.75 192.64 139.36 Shire
-10.70 164.23 114.29 SignatureBank SBNY ... 19 134.13
SIRI 0.8 36 5.75
29.33 5.89 4.07 SiriusXM
SWKS 1.2 20 105.15
40.84 112.11 71.65 Skyworks
SPLK ... dd 64.09
25.30 69.61 50.64 Splunk
-1.71 64.87 50.84 Starbucks SBUX 1.8 28 54.57
9.33 40.17 25.96 SteelDynamics STLD 1.6 18 38.90
SRCL ... dd 72.69
-5.65 88.00 68.62 Stericycle
36.71 34.20 22.76 Symantec SYMC 0.9 dd 32.66
SNPS ... 40 84.32
43.26 85.00 56.03 Synopsys
10.71 50.72 33.26 TD Ameritrade AMTD 1.5 30 48.27
TSRO ... dd 116.40
-13.44 192.94 106.64 TESARO
5.13 68.88 46.58 T-MobileUS TMUS ... 26 60.46
s 28.70 97.35 62.97 TRowePrice TROW 2.4 17 96.86
112.88 107.53 43.33 TakeTwoSoftware TTWO ... 69 104.93
TSLA ... dd 345.10
61.50 389.61 178.19 Tesla
s 30.44 95.40 66.80 TexasInstruments TXN 2.6 24 95.18
-22.32 78.25 49.87 TractorSupply TSCO 1.8 18 58.89
TRMB ... 60 41.12
36.38 41.31 25.30 Trimble
-1.93 32.60 25.01 21stCenturyFoxA FOXA 1.3 17 27.50
-1.50 31.94 24.78 21stCenturyFoxB FOX 1.3 17 26.84
-19.65 314.86 187.96 UltaBeauty ULTA ... 27 204.84
6.07 233.42 180.29 UltimateSoftware ULTI ...197 193.42
138.54 145.30 49.20 UniversalDisplay OLED 0.1 78 134.30
VEON 2.8 4 4.00
3.90 4.50 3.12 VEON
VRSN ... 30 108.94
43.21 110.82 75.71 VeriSign
4.53 88.17 75.60 VeriskAnalytics VRSK ... 31 84.85
109.90 167.85 71.46 VertxPharm VRTX ...150 154.63
-11.69 49.00 30.55 Viacom A
VIA 2.4 9 34.00
VIAB 3.0 7 26.70
-23.93 46.72 23.45 Viacom B
VOD 8.1 dd 28.98
18.62 30.39 24.17 Vodafone
WPPGY 3.3 10 90.69
-18.05 119.12 89.40 WPP
-17.76 88.00 66.92 WalgreensBoots WBA 2.4 17 68.06
WB ...112 95.48
135.17 108.30 40.12 Weibo
27.17 95.77 52.62 WesternDigital WDC 2.3 68 86.41
s 33.15 163.06 112.76 WillisTwrsWatson WLTW 1.3 46 162.82
WDAY ... ... 108.56
64.26 111.45 65.79 Workday
66.96 150.40 82.51 WynnResorts WYNN 1.4 54 144.44
XLNX 1.9 31 72.17
19.55 73.32 48.97 Xilinx
YNDX ... 77 31.16
54.79 34.27 17.28 Yandex
29.87 113.12 62.91 ZebraTech ZBRA ... dd 111.38
ZG ... dd 41.10
12.76 50.91 31.24 Zillow A
Z
13.11 51.23 31.51 Zillow C
... dd 41.25
8.64 48.33 30.85 ZionsBancorp ZION 1.0 19 46.76
51.41
33.47
27.45
36.85
35.07 CheniereEnergy LNG ... dd
25.97 CheniereEnerPtrs CQP 6.0 dd
19.00 CheniereEnHldgs CQH 0.3318
27.59 ImperialOil IMO 1.6 13
Speakers Include:
Betsy DeVos
Secretary, U.S. Department of Education
Kevin Hassett
Join WSJ Editor in Chief Gerard Baker at this year’s
meeting to examine the shift in policy currently
underway in Washington. Taxes, trade, health care,
© 2017 Dow Jones & Co., Inc. All rights reserved.6DJ6048
regulation, America’s role in the world—they are
Chairman, White House Council
of Economic Advisers
Amy Klobuchar
U.S. Senator (D., Minn.)
all up for notable change, and the consequences for
business are considerable.
Wilbur L. Ross, Jr.
CEO Council membership is by invitation.
Mark Warner
Learn more: CEOCouncil.wsj.com
U.S. Senator (D., Va.)
Proudly supported by:
...
0.11
2.00
0.73
-0.27
-0.32
0.19
0.15
0.90
1.66
-0.92
0.29
0.47
0.22
0.39
-0.02
0.46
0.30
-0.08
-0.97
0.09
0.20
1.78
0.29
-0.44
-0.90
-3.40
1.87
0.40
-0.07
0.60
1.15
0.53
3.72
0.53
0.55
14.25
-0.17
0.24
-0.27
-0.77
-7.96
0.84
-0.97
1.64
-0.11
0.51
-1.12
0.12
4.29
...
0.60
-0.15
-2.57
8.01
0.01
1.83
0.51
-0.83
1.12
0.79
0.33
0.94
0.88
0.89
-1.05
1.23
0.37
-6.71
1.73
0.46
0.20
0.13
0.14
0.22
1.99
-1.65
-0.02
0.75
-0.06
0.03
-0.05
0.17
0.05
0.59
0.86
-1.41
0.93
1.65
1.79
-1.09
-0.25
-0.48
-0.75
0.18
0.06
0.71
NYSE AMER
11.47
-2.08
13.90
-9.95
Annual
Meeting
November 13–14, 2017
Washington, D.C.
Yld
Net
Sym % PE Last Chg
Secretary, U.S. Department of Commerce
46.18
28.22
25.48
31.30
-0.63
-0.19
0.15
-0.40
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
B8 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
MARKETS DIGEST
EQUITIES
Dow Jones Industrial Average
S&P 500 Index
Last Year ago
23328.63 s 165.59, or 0.71%
High, low, open and close for each
trading day of the past three months.
Trailing P/E ratio 20.04 19.84
P/E estimate *
19.58 17.26
Dividend yield
2.20
2.64
All-time high 23328.63, 10/20/17
Nasdaq Composite Index
Last
2575.21 s 13.11, or 0.51%
High, low, open and close for each
trading day of the past three months.
Year ago
Trailing P/E ratio 24.52 24.41
P/E estimate *
19.56 18.05
Dividend yield
1.95
2.15
All-time high: 2575.21, 10/20/17
Last Year ago
6629.05 s 23.99, or 0.36%
High, low, open and close for each
trading day of the past three months.
Trailing P/E ratio * 26.35
24.13
P/E estimate *
21.29
19.51
Dividend yield
1.10
1.23
All-time high: 6629.05, 10/20/17
Current divisor 0.14523396877348
23500
2560
6600
23000
2530
6500
22500
2500
6400
22000
2470
6300
65-day moving average
Session high
t
DOWN
Session open
65-day moving average
t
Close
Bars measure the point change from session's open
UP
Close
21500
Open
21000
Aug.
6200
2410
6100
Session low
20500
July
2440
65-day moving average
Sept.
Oct.
6000
2380
July
Aug.
Sept.
July
Oct.
Aug.
Sept.
Oct.
Weekly P/E data based on as-reported earnings from Birinyi Associates Inc.
Major U.S. Stock-Market Indexes
High
Latest
Close
Low
Net chg
% chg
High
52-Week
Low
% chg
% chg
3-yr. ann.
YTD
Dow Jones
Industrial Average
23328.84 23201.78 23328.63 165.59
Transportation Avg
Utility Average
Total Stock Market
Barron's 400
9983.39
9929.88
9972.10
85.59
750.20
745.42
749.21
1.35
Standard & Poor's
500 Index
2575.44
6622.92
6102.16
6629.05
6108.82
2567.56
13.11
18.0
12.5
7967.02
24.2
10.3
6.6
754.80
625.44
14.4
13.6
9.5
26697.94 21514.15
691.35
521.59
0.66
20.6
27.7
14.7
14.9
10.5
11.3
0.51
23.99
16.20
2575.21
28.6
0.87 10038.13
0.18
26704.03 26635.72 26697.94 136.37
692.56
690.53
4.56
691.35
Nasdaq Stock Market
Nasdaq Composite
6640.03
Nasdaq 100
6122.56
0.71 23328.63 17888.28
0.36
0.27
6629.05
6122.61
0.51
2575.21
MidCap 400
SmallCap 600
1834.82
916.28
1830.47
913.14
1834.29
913.75
10.44
5.21
0.57
0.57
1834.29
918.72
Other Indexes
Russell 2000
1512.75
1504.72
1509.25
7.20
0.48
1512.09
26.1
25.9
2085.18
23.1
25.6
15.4
16.4
20.3
15.0
1476.68
703.64
20.1
24.5
10.5
9.0
11.2
13.1
1156.89
23.9
11.2
11.3
10.6
Trading Diary
Most-active and biggest movers among NYSE, NYSE Arca, NYSE Amer.
and Nasdaq issues from 4 p.m. to 6 p.m. ET as reported by electronic
trading services, securities dealers and regional exchanges. Minimum
share price of $2 and minimum after-hours volume of 5,000 shares.
Volume, Advancers, Decliners
NYSE Composite
12430.65 12401.64 12430.53
NYSE Arca Biotech
50.21
0.41
546.43
542.85
545.98
3.13
0.58
4250.90
4202.93
4243.06
-9.41
-0.22
-0.07
NYSE Arca Pharma
561.27
558.25
560.10
-0.41
KBW Bank
101.19
100.53
1.57
PHLX§ Gold/Silver
101.17
85.49
84.64
-0.51
PHLX§ Oil Service
85.01
133.21
130.78
131.71
-1.15 -0.86
1237.63
10.04
1229.48
9.29
1231.34
9.97
6.29
-0.08 -0.80
PHLX§ Semiconductor
CBOE Volatility
1.58
-0.60
0.51
Philadelphia Stock Exchange
12430.53 10289.35
Company
Volume
(000)
Symbol
Region/Country Index
Close
Latest
% chg
Net chg
5.72
0.38
–0.82
Americas
Brazil
Canada
Mexico
Chile
DJ Americas
620.48
Sao Paulo Bovespa 76390.51
S&P/TSX Comp
15857.22
S&P/BMV IPC
49988.71
Santiago IPSA
4193.12
2.40
107.35
39.22
–11.54
35.44
EMEA
Eurozone
Belgium
France
Germany
Israel
Italy
Netherlands
Russia
Spain
Sweden
Switzerland
U.K.
Stoxx Europe 600
Euro Stoxx
Bel-20
CAC 40
DAX
Tel Aviv
FTSE MIB
AEX
RTS Index
IBEX 35
SX All Share
Swiss Market
FTSE 100
390.13
390.92
4082.98
5372.38
12991.28
1435.56
22346.85
544.63
1134.45
10222.70
593.32
9237.13
7523.23
1.02
0.76
16.96
4.09
1.18
…
213.64
0.07
–4.19
25.20
5.86
3.61
0.19
Asia-Pacific
Australia
China
Hong Kong
India
Japan
Singapore
South Korea
Taiwan
S&P/ASX 200
5907.00
Shanghai Composite 3378.65
Hang Seng
28487.24
S&P BSE Sensex
32389.96
Nikkei Stock Avg
21457.64
Straits Times
3340.73
Kospi
2489.54
Weighted
10728.88
10.90
8.48
328.15
…
9.12
5.82
16.48
–31.41
YTD
% chg
0.19
0.10
17.3
17.7
20.7
0.39
0.14
0.25
14.8
26.8
3.7
9.5
30.1
–0.31
–0.02
0.85
0.26
0.19
0.42
0.08
0.01
Closed
0.97
0.01
–0.37
0.25
1.00
0.04
0.003
0.18
0.25
1.17
Closed
0.04
0.17
0.67
–0.29
7.9
11.6
13.2
10.5
13.2
–2.4
16.2
12.7
–1.6
9.3
11.0
12.4
5.3
4.3
8.9
29.5
21.6
12.3
16.0
22.9
15.9
unch. 257.72 255.78
PwrShrs QQQ Tr Series 1 QQQ
5,994.9 148.70
-0.01
-0.01 148.95 148.65
VanEck Vectors Gold Miner GDX
4,138.6
23.22
-0.01
-0.04
iShares Russell 2000 ETF IWM
4,075.2 150.01
0.03
23.21
Microsoft
MSFT
4,027.2
78.73
-0.08
-0.10
78.83
78.30
General Electric
GE
4,025.9
23.71
-0.12
-0.50
23.89
23.09
Groupon
GRPN
3,837.6
4.80
…
unch.
4.82
4.80
Mattel Inc
MAT
3,731.5
15.97
…
unch.
16.05
15.97
Percentage gainers…
148.9
37.20
11.54
44.97
43.00
25.66
LG Display ADR
LPL
13.0
14.00
0.68
5.11
14.00
13.32
Genworth Financial A
GNW
40.2
4.00
0.19
4.99
4.00
3.81
Xunlei ADR
XNET
5.6
6.88
0.30
4.56
6.88
6.54
Tile Shop Holdings
TTS
19.9
9.10
0.35
4.00
9.10
8.70
25.00 -23.07
17.6
12.4
6.4
455.65
15.3
7.9
5.4
4304.77
2834.14
38.7
38.0
11.6
560.52
463.78
13.6
16.3
3.8
101.17
73.36
37.3
10.2
14.6
-47.99
48.07
17.50
96.72
73.03
-2.1
7.8
2.7
Carrizo Oil Gas
CRZO
65.3
15.56
-0.38
-2.38
15.94
15.56
192.66
117.79
-19.4
-28.3 -18.5
Owens-Illinois
OI
39.2
24.99
-0.60
-2.34
25.59
24.99
802.88 51.2
9.19 -25.3
35.8 28.2
-29.0 -18.7
Chesapeake Lodging Trust CHSP
11.4
26.86
-0.63
-2.29
27.87
26.39
9.1
2.95
-0.05
-1.67
3.00
2.90
1231.34
22.51
...And losers
445.4
DBV Technologies ADR DBVT
Viking Therapeutics
VKTX
Company
Symbol
Dragon Victory Intl
Skechers USA Cl A
uniQure
Xunlei ADR
Atlassian Cl A
LYL
Social Reality Cl A
KalVista Pharmaceuticals
Digital Ally
Mammoth Energy Services
CAI International
SRAX
China Lending
DryShips
TG Therapeutics
RISE Education Cayman ADR
McClatchy Cl A
CLDC
SKX
QURE
XNET
TEAM
KALV
DGLY
TUSK
CAI
DRYS
TGTX
REDU
MNI
High
52-Week
Low
% chg
Symbol
General Electric
Bank of America
SPDR S&P 500
Finl Select Sector SPDR
iShares MSCI Emg Markets
GE
Weatherford International
Sea ADR
Vale ADR
AT&T
Micron Technology
WFT
BAC
SPY
XLF
EEM
SE
VALE
T
MU
Selected rates
A consumer rate against its
benchmark over the past year
Money market accounts
...
...
34.33 18.81
19.34 4.72
6.75 3.11
50.88 23.80
...
79.1
167.6
28.0
72.8
Del Taco Restaurants
BeyondSpring
Technical Communications
ENDRA Life Sciences
Contango Oil Gas
TACO
4.48
11.26
2.65
17.26
37.26
0.82
1.99
0.45
2.77
5.88
22.40
21.47
20.45
19.12
18.74
7.00 1.11
15.80 5.48
6.45 2.15
24.54 10.88
37.37 6.75
-31.0
60.9
-53.5
19.9
359.4
Aytu BioScience
NCR Corp
Celgene
Opiant Pharmaceuticals
Hebron Technology
AYTU
4.78
3.61
8.60
16.61
8.66
0.66
0.47
1.10
2.11
1.09
8.30
16.02
14.97 799680.00
15.35
14.67
...
14.55
18.31
14.32
Astrotech
Synlogic
CHF Solutions
Klondex Mines
G. Willi-Food Intl
ASTC
-37.5
-99.99
34.2
...
-51.0
2.00
0.98
4.10
...
5.75
Volume % chg from Latest Session
(000) 65-day avg Close % chg
188,091
82,304
70,473
53,915
43,315
337.8
29.8
14.7
7.1
-8.6
43,148
37,535
37,465
36,655
35,671
180.4
...
28.4
43.5
12.2
23.83
27.17
257.11
26.64
46.26
1.06
2.22
0.52
1.18
0.37
52-Week
High
Low
32.38 22.10
27.18 16.28
257.14 208.38
26.66 19.40
46.82 33.94
3.54 -4.32
16.26 8.40
10.28 -0.48
35.54 -0.42
41.50 0.46
7.09
...
11.72
43.03
42.17
3.39
...
5.96
35.10
16.45
0.60
0.30
t
–0.30
1.30%
844-878-7359
Barclays
Wilmington, DE
1.30%
888-720-8756
Goldman Sachs Bank USA
1.30%
New York, NY
855-730-7283
Pacific National Bank
Miami, FL
1.30%
305-539-7500
Friday
1
3 6
month(s)
One year ago
1 2 3 5 710
years
maturity
10%
WSJ Dollar index
5
2.25
0
1.50
–5
0.75
–10
0.00
–15
30
Federal-funds rate target
1.00-1.25 1.00-1.25
Prime rate*
4.25
4.25
Libor, 3-month
1.35
1.36
Money market, annual yield
0.32
0.32
Five-year CD, annual yield
1.46
1.46
30-year mortgage, fixed†
3.90
3.90
15-year mortgage, fixed†
3.18
3.22
Jumbo mortgages, $424,100-plus† 4.39
4.37
Five-year adj mortgage (ARM)† 3.43
3.42
New-car loan, 48-month
3.07
3.07
HELOC, $30,000
5.22
5.20
3-yr chg
52-Week Range (%)
Low 0 2 4 6 8 High (pct pts)
0.25 l
l
3.50
0.88 l
0.26 l
1.19 l
l
3.54
l
2.81
l
4.23
l
3.13
l
2.85
l
4.57
1.25
4.25
1.36
0.36
1.47
4.33
3.50
4.88
4.03
3.36
5.30
1.00
1.00
1.13
-0.10
-0.05
-0.11
0.06
-0.08
-0.21
-0.15
0.77
s
Euro
s Yen
Bankrate.com rates based on survey of over 4,800 online banks. *Base rate posted by 70% of the nation's largest
banks.† Excludes closing costs.
Sources: SIX Financial Information; WSJ Market Data Group; Bankrate.com
Close
Yield (%)
Last Week ago
52-Week
High
Low
Total Return (%)
52-wk
3-yr
1455.550
2.137
2.042
2.237
1.470 –2.002 1.578
10-yr Treasury, Ryan ALM 1727.807
DJ Corporate
379.189
Aggregate, Barclays Capital 1936.060
High Yield 100, Merrill Lynch
n.a.
Fixed-Rate MBS, Barclays 1982.330
Muni Master, Merrill
n.a.
2.381
3.047
2.600
n.a.
2.850
n.a.
2.280
2.969
2.530
5.224
2.780
1.893
2.609
3.390
2.790
n.a.
3.120
n.a.
1.740
2.654
2.050
n.a.
2.170
n.a.
1.038
1.915
0.321
n.a.
0.227
n.a.
805.055
5.442
5.409
6.290
5.279
4.723 5.839
Treasury, Ryan ALM
EMBI Global, J.P. Morgan
5.65 -0.70 -11.02
33.05 -4.00 -10.80
CELG 121.33 -14.63 -10.76
OPNT
32.00 -3.49 -9.83
HEBT
3.24 -0.33 -9.24
...
...
49.90 29.98
147.17 96.93
51.90 5.00
7.02 2.50
...
8.7
22.7
290.2
...
9.50
23.00
576.00
5.94
7.66
-57.0
38.3
-96.7
-42.3
-3.8
TCCO
NDRA
MCF
-2.86
-6.01
-0.60
-0.39
-0.52
NCR
CHFS
KLDX
WILC
Company
3.57
15.01
7.06
3.22
5.38
-0.35
-1.46
-0.68
-0.30
-0.47
-8.93
-8.86
-8.79
-8.52
-8.03
3.08
7.84
6.66
2.81
4.82
Ranked by change from 65-day average*
Symbol
IXP
iShares Global Telecom
QURE
uniQure
JPMorgan Div Return US MC JPME
TACO
Del Taco Restaurants
SKX
Skechers USA Cl A
RumbleON Cl B
Entercom Commun
Atlassian Cl A
Xunlei ADR
Espey Mfg Elec
52-Week
Low
% chg
-10.5
...
66.7
...
-58.9
SYBX
RMBL
ETM
TEAM
XNET
ESP
Country/currency
in US$
Volume % chg from Latest Session
(000) 65-day avg Close % chg
1,038
9,908
204
6,052
34,967
5250
3459
2906
1689
1488
59.96 0.00
19.27 27.11
62.24 0.61
12.53 -18.58
33.99 41.45
143
5,776
7,188
2,749
76
1218
1138
966
966
963
5.15
11.10
50.17
6.58
21.95
US$vs,
YTDchg
Fri
per US$ (%)
Americas
Argentina peso
.0574 17.4143
Brazil real
.3132 3.1925
Canada dollar
.7920 1.2627
Chile peso
.001591 628.60
Colombia peso
.0003408 2934.00
Ecuador US dollar
1
1
Mexico peso
.0527 18.9925
Peru new sol
.3090 3.237
Uruguay peso
.03372 29.6600
Venezuela b. fuerte .100100 9.9901
9.7
–1.9
–6.1
–6.2
–2.3
unch
–8.4
–3.5
1.1
–0.1
1.341
3.633
2.143
n.a.
1.954
n.a.
Sources: J.P. Morgan; Ryan ALM; S&P Dow Jones Indices; Barclays Capital; Merrill Lynch
Australian dollar
.7816 1.2794 –7.9
China yuan
.1510 6.6221 –4.6
Hong Kong dollar
.1282 7.8033 0.6
India rupee
.01536 65.115 –4.2
Indonesia rupiah .0000739 13523 –0.01
Japan yen
.008809 113.52 –3.0
Kazakhstan tenge .002978 335.75 0.6
Macau pataca
.1247 8.0201 1.3
Malaysia ringgit
.2367 4.2250 –5.8
New Zealand dollar
.6952 1.4384 –0.4
Pakistan rupee
.00949 105.350 0.9
Philippines peso
.0194 51.542 3.9
Singapore dollar
.7346 1.3612 –5.9
South Korea won .0008832 1132.31 –6.3
Sri Lanka rupee
.0065066 153.69 3.5
Taiwan dollar
.03307 30.237 –6.8
52-Week
High
Low
61.64
19.34
65.29
15.99
34.33
1.18
-2.20
24.65
25.33
1.87
55.36
4.72
50.50
11.58
18.81
10.00 3.40
16.55 9.45
50.88 23.80
6.75 3.11
27.50 21.07
Track the Markets
Compare the performance of selected global stock
indexes, bond ETFs, currencies and commodities at
WSJ.com/TrackTheMarkets
Country/currency
in US$
US$vs,
YTDchg
Fri
per US$ (%)
.03013 33.190 –7.3
.00004402 22719 –0.2
Thailand baht
Vietnam dong
Europe
Czech Rep. koruna
Denmark krone
Euro area euro
Hungary forint
Iceland krona
Norway krone
Poland zloty
Russia ruble
Sweden krona
Switzerland franc
Turkey lira
Ukraine hryvnia
UK pound
.04587 21.799 –15.1
.1583 6.3187 –10.6
1.1783 .8487 –10.7
.003827 261.31 –11.2
.009482 105.46 –6.6
.1252 7.9861 –7.6
.2782 3.5943 –14.2
.01740 57.484 –6.2
.1225 8.1651 –10.3
1.0158 .9844 –3.4
.2724 3.6714 4.2
.0377 26.5400 –2.0
1.3188 .7583 –6.4
Middle East/Africa
Bahrain dinar
Egypt pound
Israel shekel
Kuwait dinar
Oman sul rial
Qatar rial
Saudi Arabia riyal
South Africa rand
2.6515 .3772 –0.01
.0567 17.6450 –2.7
.2865 3.4900 –9.3
3.3069 .3024 –1.1
2.5988 .3848 –0.04
.2642 3.785 4.0
.2666 3.7504 –0.01
.0733 13.6459 –0.3
Close Net Chg % Chg YTD%Chg
WSJ Dollar Index 87.00
0.49 0.57 –6.39
Sources: Tullett Prebon, WSJ Market Data Group
Commodities
COMMODITIES
Friday
52-Week
Pricing trends on someClose
raw materials,
or commodities
Net chg % Chg
High
Low
DJ Commodity
Get real-time U.S. stock quotes and track most-active
stocks, new highs/lows and mutual funds. Plus,
deeper money-flows data and email delivery of key
stock-market data. Available free at WSJMarkets.com
High
15.99 11.58
48.49 16.55
9.30 2.15
4.00 2.59
10.39 3.97
12.53
28.99
4.25
2.90
4.11
Asia-Pacific
2016 2017
Corporate Borrowing Rates and Yields
Bond total return index
Latest Session
Close Net chg % chg
U.S.-dollar foreign-exchange rates in late New York trading
Sources: Ryan ALM; Tullett Prebon; WSJ Market Data Group
Yield/Rate (%)
Last (l)Week ago
* Primary market NYSE, NYSE American NYSE Arca only.
†(TRIN) A comparison of the number of advancing and declining
issues with the volume of shares rising and falling. An
Arms of less than 1 indicates buying demand; above 1
indicates selling pressure.
Currencies
Yen, euro vs. dollar; dollar vs.
major U.S. trading partners
3.75%
t
0.00
BankPurely
Uniondale, NY
NYSE Arca
* Common stocks priced at $5 a share or more with an average volume over 65 trading days of at least
5,000 shares =Has traded fewer than 65 days
Forex Race
3.00
ableBanking,adivisionofNortheastBank
1.30%
Lewiston, ME
877-505-1933
Nasdaq
Total volume*1,765,048,119 200,626,768
Adv. volume*1,151,467,110 118,220,786
Decl. volume* 579,894,236 81,193,342
Issues traded
3,039
1,291
Advances
1,772
766
Declines
1,116
510
Unchanged
151
15
New highs
249
296
New lows
38
34
Closing tick
523
52
Closing Arms†
0.80
0.97
Block trades*
7,265
1,157
-18.58
-17.17
-12.37
-11.85
-11.23
BYSI
Volume Movers
notes and bonds
t
0.90%
Symbol
7.67 127.83
9.96 41.45
4.11 27.11
1.33 25.33
9.92 24.65
* Volumes of 100,000 shares or more are rounded to the nearest thousand
0.32%
Bankrate.com avg†:
Company
13.67
33.99
19.27
6.58
50.17
Most Active Stocks
Company
Total volume* 897,442,400 16,003,483
Adv. volume* 559,724,442 7,476,114
Decl. volume* 323,955,411 8,202,216
Issues traded
3,072
327
Advances
1,793
132
Declines
1,168
173
Unchanged
111
22
New highs
255
2
New lows
39
8
Closing tick
323
24
Closing Arms†
0.95
0.45
Block trades*
7,182
95
Percentage Losers
Latest Session
Close Net chg % chg
s
U.S. consumer rates
t
23.28
0.02 150.09 149.94
545.98
Benchmark
Yields
Treasury
yield
curve
andtoRates
Yield
maturity of current bills,
Consumer Rates and Returns to Investor
WSJ
.COM
Low
…
CREDIT MARKETS & CURRENCIES
Interest rate
After Hours
% chg
High
18,602.2 257.11
Sources: SIX Financial Information; WSJ Market Data Group
N D J FMAM J J A S O
2016 2017
Net chg
SPY
SPDR S&P 500
Percentage Gainers...
2968.83
383.75
258.28
The Global Dow
DJ Global Index
DJ Global ex U.S.
Money market
account yields
Last
Sources: SIX Financial Information; WSJ Market Data Group
International Stock Indexes
Federal-funds
target rate
NYSE NYSE Amer.
Most-active issues in late trading
Aimmune Therapeutics AIMT
Value Line
World
5046.37
4660.46
Late Trading
TR/CC CRB Index
Crude oil, $ per barrel
Natural gas, $/MMBtu
Gold, $ per troy oz.
594.34
-0.77
-0.13
600.13
527.06
184.12
51.47
2.915
1277.40
0.05
0.18
0.042
-9.50
0.02 195.14
54.45
0.35
3.93
1.46
-0.74 1346.00
166.50
42.53
2.56
1127.80
% Chg
9.68
YTD
% chg
4.77
-2.79 -4.36
1.22 -4.19
-2.61 -21.72
0.91 11.08
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | B9
* * * *
COMMODITIES
Futures Contracts
Open
Metal & Petroleum Futures
51.34
Dec
Contract
Open
High hi lo
Low
Settle
Chg
Copper-High (CMX)-25,000 lbs.; $ per lb.
3.1790
3.1790
3.1325
3.1515 –0.0015
Oct
Dec
3.1720
3.2105
3.1430
3.1655 –0.0020
Gold (CMX)-100 troy oz.; $ per troy oz.
1279.60 1279.60
1277.80 1277.40 –9.50
Oct
Dec
1292.00 1292.90
1279.30 1280.50 –9.50
Feb'18
1296.20 1296.50
1283.70 1284.60 –9.60
April
1299.80 1300.30
1288.30 1288.50 –9.50
June
1303.00 1303.10
1291.30 1292.30 –9.60
Dec
1304.50 1304.80
1304.30 1304.40 –9.70
Palladium (NYM) - 50 troy oz.; $ per troy oz.
957.25
974.00
956.05
969.85 17.05
Dec
March'18 950.10 964.20
950.10
961.30 17.10
Platinum (NYM)-50 troy oz.; $ per troy oz.
921.10
925.10
917.50
924.10
0.90
Oct
Jan'18
926.70
928.40
921.00
926.80
0.90
Silver (CMX)-5,000 troy oz.; $ per troy oz.
17.170
17.170
16.990
17.022 –0.179
Oct
Dec
17.275
17.315
16.945
17.078 –0.177
Crude Oil, Light Sweet (NYM)-1,000 bbls.; $ per bbl.
51.42
51.73
50.70
51.47
0.18
Nov
Dec
51.59
52.09
50.87
51.84
0.33
Jan'18
51.79
52.26
51.09
52.04
0.31
March
52.04
52.48
51.37
52.26
0.29
June
51.94
52.41
51.36
52.23
0.29
1.7767
1.7780
Nov
Dec
1,116
177,816
Nov
Dec
542
400,074
71,138
14,898
12,498
10,900
Nov
Dec
Jan'18
Feb
March
April
1.6459
1.6173
2.886
3.091
3.225
3.227
3.191
2.964
224
144,857
24,448
600,167
296,208
237,553
199,696
26.2 Edgewood Growth Instituti
EdgewoodGrInst 29.37 +0.06 32.2
17.8
13.7
11.7 Federated Instl
3.1
... 13.0
StraValDivIS 6.50
12.3 Fidelity
20.5
500IdxInst 90.12 +0.47 16.8
28.3 500IdxInstPrem 90.11 +0.46 16.9
17.6 500IdxPrem 90.11 +0.46 16.8
20.4 ExtMktIdxPrem r 62.84 +0.33 14.5
6.9 IntlIdxPrem r 43.09 -0.10 22.1
15.1 SAIUSLgCpIndxFd 13.81 +0.07 16.8
11.0 TMktIdxF r 74.82 +0.39 16.5
26.0 TMktIdxPrem 74.80 +0.38 16.4
30.3 USBdIdxInstPrem 11.59 -0.03 3.0
28.1 Fidelity Advisor I
22.2 NwInsghtI 33.07 +0.20 23.8
4.9 Fidelity Freedom
14.8 FF2020
16.67 +0.01 13.0
F
FF2025
FF2030
Freedom2020 K
AggBdInst 10.89 -0.03 3.6 Freedom2025 K
CorBdInst 11.25 -0.03 4.1 Freedom2030 K
BlackRock Funds A
Freedom2035 K
... 11.5 Freedom2040 K
GlblAlloc p 20.27
B
Baird Funds
BlackRock Funds Inst
22.92
EqtyDivd
20.40
GlblAlloc
7.87
HiYldBd
StratIncOpptyIns 9.98
Bridge Builder Trust
NA
CoreBond
...
...
...
...
12.3
11.7
7.8
4.3
... NA
D
Dimensional Fds
5GlbFxdInc 11.02 -0.01
EmgMktVa 30.22 +0.03
EmMktCorEq 22.37 +0.05
IntlCoreEq 14.14 -0.03
19.79 -0.01
IntlVal
21.35 -0.06
IntSmCo
23.34 -0.04
IntSmVa
US CoreEq1 22.00 +0.13
US CoreEq2 20.92 +0.14
36.60 +0.21
US Small
US SmCpVal 39.21 +0.22
US TgdVal 25.19 +0.17
38.93 +0.32
USLgVa
Dodge & Cox
Balanced 109.51 +0.48
14.06 +0.06
GblStock
13.81 -0.03
Income
46.83 +0.05
Intl Stk
202.89 +1.55
Stock
DoubleLine Funds
2.2
27.9
30.8
23.4
20.8
24.8
23.4
15.5
13.7
8.9
5.3
5.8
12.5
9.4
18.1
3.9
22.9
13.2
14.43 +0.02
18.07 +0.03
16.67 +0.01
14.42 +0.01
18.07 +0.02
15.16 +0.03
10.65 +0.02
Fidelity Invest
23.66 +0.07
Balanc
85.84 +0.32
BluCh
124.92 +0.81
Contra
124.91 +0.81
ContraK
10.31 +0.02
CpInc r
41.19 -0.08
DivIntl
179.91 +0.94
GroCo
GrowCoK 179.86 +0.94
7.92 -0.02
InvGB
11.27 -0.03
InvGrBd
52.48 +0.18
LowP r
LowPriStkK r 52.44 +0.18
104.55 +0.59
MagIn
106.72 +0.46
OTC
22.97 +0.08
Puritn
SrsEmrgMkt 21.26 +0.02
SrsGroCoRetail 17.66 +0.09
SrsIntlGrw 16.14 -0.07
10.85
...
SrsIntlVal
TotalBond 10.67 -0.02
Fidelity Selects
Biotech r 227.58 -1.61
First Eagle Funds
60.26 +0.06
GlbA
FPA Funds
35.43 +0.15
FPACres
FrankTemp/Frank Adv
IncomeAdv 2.38 +0.01
FrankTemp/Franklin A
1.6847 s
1.6503
1.8052
1.8054
1.6288
1.5989
2.940
3.128
3.253
3.259
3.217
2.981
.0285 56,074
.0276 112,271
2.856
3.065
3.200
3.208
3.169
2.947
Oakmark
OakmrkInt
NA
...
NA
...
Old Westbury Fds
14.84 +0.03
LrgCpStr
Oppenheimer Y
42.08 -0.21
DevMktY
42.80 -0.19
IntGrowY
.0334 65,184
.0281 139,135
2.915
3.113
3.241
3.249
3.208
2.979
.042
.027
.023
.022
.020
.011
110,149
255,079
198,975
81,593
169,607
123,720
7.48 -0.01 5.3
Fed TF A p 12.00 -0.02 3.1
2.40 +0.01 8.4
IncomeA p
RisDv A p 60.51 +0.47 15.9
FrankTemp/Franklin C
Income C t 2.43 +0.01
FrankTemp/Temp A
GlBond A p 12.20 +0.04
Growth A p 27.08 +0.08
FrankTemp/Temp Adv
GlBondAdv p 12.15 +0.04
8.3
4.0
14.9
4.2
H
Harbor Funds
CapApInst
IntlInst r
74.14 +0.18 30.9
70.11 -0.29 20.0
Harding Loevner
NA
... NA
IntlEq
I
Invesco Funds A
11.30 +0.06 8.2
EqIncA
J
14.0
16.4
NS
NS
NS
NS
NS
John Hancock Class 1
15.94 +0.02
LSBalncd
17.09 +0.04
LSGwth
John Hancock Instl
DispValMCI 24.14 +0.17
JPMorgan Funds
MdCpVal L 40.14 +0.22
14.0 JPMorgan R Class
30.1 CoreBond
11.64 -0.03
27.7
27.8
10.6
Lazard Instl
23.7
EmgMktEq 19.66 +0.02
31.5
Loomis Sayles Fds
31.6
14.24 -0.03
LSBondI
3.3
Lord Abbett A
3.7
...
14.5 ShtDurIncmA p 4.28
Lord Abbett F
14.6
...
21.2 ShtDurIncm 4.27
L
12.9
16.3
15.7
31.6
23.4
12.3
NA
4.7
NA
NA
NA
NA
31.5
13.3
12.6
16.7
29.7
26.8
32.8
25.4
20.3
21.9
7.2
28.1
3.4
25.0
13.5
15.2
16.8
18.0
19.0
15.1
24.7
26.3
5.5
S
T
3.3
TIAA/CREF Funds
19.31 +0.10 16.4
EqIdxInst
IntlEqIdxInst 20.23 -0.05 22.2
23.8
Tweedy Browne Fds
28.40 +0.03 13.4
GblValue
7.1
2.4
2.7
3.0
3.0
14.7
25.3
9.6
O
8.6 Oakmark Funds Invest
NA
... NA
EqtyInc r
–4.50 780,422
–4.25 297,076
269.75
271.25
.25
–1.00
978.75
989.25
–7.75 230,088
–7.75 245,448
317.10
319.30
–4.30 146,493
–4.40 88,396
V
VANGUARD ADMIRAL
500Adml 237.95 +1.23
34.01 +0.07
BalAdml
CAITAdml 11.85 -0.01
CapOpAdml r156.09 +0.46
37.15 +0.07
EMAdmr
EqIncAdml 76.40 +0.36
ExtndAdml 82.56 +0.44
GNMAAdml 10.50 -0.02
GrwthAdml 69.69 +0.21
HlthCareAdml r 91.34 +0.26
...
HYCorAdml r 5.99
25.65 -0.06
InfProAd
IntlGrAdml 94.15 -0.17
ITBondAdml 11.42 -0.03
ITIGradeAdml 9.81 -0.02
LTGradeAdml 10.57 -0.06
MidCpAdml 186.09 +1.33
MuHYAdml 11.42 -0.01
4,850
1,702
Net YTD
NAV Chg %Ret
14.22 -0.02
11.70 -0.02
...
MuLtdAdml 10.99
...
MuShtAdml 15.80
PrmcpAdml r135.67 +0.73
REITAdml r 118.57 -0.62
SmCapAdml 68.81 +0.38
STBondAdml 10.44 -0.01
STIGradeAdml 10.68 -0.01
TotBdAdml 10.76 -0.03
TotIntBdIdxAdm 21.83 -0.04
TotIntlAdmIdx r 29.86 -0.04
TotStAdml 64.44 +0.33
14.11 -0.03
TxMIn r
39.98 +0.29
ValAdml
WdsrllAdml 69.19 +0.45
WellsIAdml 65.09 -0.01
WelltnAdml 73.68 +0.14
WndsrAdml 79.20 +0.59
VANGUARD FDS
26.37 +0.09
DivdGro
HlthCare r 216.51 +0.63
INSTTRF2020 22.47 +0.01
INSTTRF2025 22.74 +0.02
INSTTRF2030 22.93 +0.03
INSTTRF2035 23.13 +0.04
INSTTRF2040 23.32 +0.04
INSTTRF2045 23.46 +0.04
39.13 -0.01
IntlVal
33.06 +0.05
LifeGro
26.86 +0.01
LifeMod
26.96 +0.14
PrmcpCor
33.11 +0.19
SelValu r
27.10 +0.04
STAR
10.68 -0.01
STIGrade
...
TgtRe2015 15.88
TgtRe2020 31.52 +0.01
TgtRe2025 18.48 +0.01
TgtRe2030 33.39 +0.04
TgtRe2035 20.51 +0.03
TgtRe2040 35.32 +0.06
TgtRe2045 22.19 +0.05
TgtRe2050 35.69 +0.07
13.54 -0.01
TgtRetInc
TotIntBdIxInv 10.92 -0.02
26.87
...
WellsI
42.67 +0.09
Welltn
38.99 +0.26
WndsrII
VANGUARD INDEX FDS
237.93 +1.23
500
ExtndIstPl 203.74 +1.08
SmValAdml 55.67 +0.23
10.72 -0.03
TotBd2
17.85 -0.03
TotIntl
64.42 +0.34
TotSt
VANGUARD INSTL FDS
34.02 +0.07
BalInst
DevMktsIndInst 14.13 -0.03
DevMktsInxInst 22.09 -0.05
82.56 +0.44
ExtndInst
GrwthInst 69.69 +0.21
10.45 -0.02
InPrSeIn
234.76 +1.21
InstIdx
234.78 +1.21
InstPlus
InstTStPlus 57.81 +0.30
MidCpInst 41.11 +0.30
MidCpIstPl 202.74 +1.45
SmCapInst 68.80 +0.38
STIGradeInst 10.68 -0.01
10.76 -0.03
TotBdInst
TotBdInst2 10.72 -0.03
TotBdInstPl 10.76 -0.03
TotIntBdIdxInst 32.76 -0.06
TotIntlInstIdx r119.40 -0.17
TotItlInstPlId r119.42 -0.17
64.45 +0.33
TotStInst
39.97 +0.28
ValueInst
10.3 Schwab Funds
40.22 +0.21 16.9
S&P Sel
M
Metropolitan West
10.66 -0.02
TotRetBd
TotRetBdI 10.66 -0.02
TRBdPlan 10.03 -0.02
MFS Funds Class I
41.11 +0.28
ValueI
30.8 MFS Funds Instl
25.38 -0.14
IntlEq
11.1 Mutual Series
32.97 +0.17
GlbDiscA
9.9
Parnassus Fds
43.75 +0.22
ParnEqFd
PIMCO Fds Instl
NA
...
AllAsset
10.28 -0.03
TotRt
PIMCO Funds A
NA
...
IncomeFd
PIMCO Funds D
NA
...
IncomeFd
PIMCO Funds Instl
NA
...
IncomeFd
PIMCO Funds P
NA
...
IncomeP
Price Funds
95.48 +0.55
BlChip
29.67 +0.10
CapApp
34.96 +0.23
EqInc
69.20 +0.36
EqIndex
69.07 +0.47
Growth
74.92 +0.42
HelSci
38.84 +0.30
InstlCapG
19.18 -0.03
IntlStk
15.41
...
IntlValEq
91.89 +0.65
MCapGro
31.15 +0.09
MCapVal
55.46 +0.60
N Horiz
9.49 -0.02
N Inc
OverS SF r 11.34 -0.02
23.17 +0.03
R2020
17.86 +0.03
R2025
26.31 +0.06
R2030
19.23 +0.05
R2035
27.63 +0.09
R2040
38.72 +0.30
Value
PRIMECAP Odyssey Fds
35.72 +0.21
Growth r
Principal Investors
DivIntlInst 13.89 -0.02
Prudential Cl Z & I
14.52 -0.05
TRBdZ
12.4
2.3
344.50
358.50
NA MuIntAdml
NA MuLTAdml
P
Net YTD
NAV Chg %Ret
33.9
15.1
35.4
32.2
26.1
18.4
3.8
1.6781
1.6435
Net YTD
NAV Chg %Ret Fund
Fund
... NA CA TF A p
E
American Century Inv
44.03 +0.13
Ultra
American Funds Cl A
31.61 +0.17
AmcpA p
AMutlA p 41.28 +0.13
27.29 +0.06
BalA p
12.93 -0.04
BondA p
63.18 +0.01
CapIBA p
CapWGrA 52.01 +0.07
56.71 -0.03
EupacA p
62.83 +0.31
FdInvA p
50.61 +0.21
GwthA p
10.51 +0.01
HI TrA p
41.22 +0.19
ICAA p
23.53 +0.04
IncoA p
44.53 +0.01
N PerA p
46.86 +0.24
NEcoA p
NwWrldA 65.93 -0.03
56.17 +0.12
SmCpA p
13.04 -0.02
TxExA p
45.28 +0.24
WshA p
1.7608
1.7618
Dec
349.00
350.00
344.25
March'18 362.75 363.75
358.25
Oats (CBT)-5,000 bu.; cents per bu.
Dec
270.00
273.50
266.50
March'18 273.25 274.50
267.00
Soybeans (CBT)-5,000 bu.; cents per bu.
Nov
985.25
994.25
978.00
Jan'18
996.00 1004.75
988.25
Soybean Meal (CBT)-100 tons; $ per ton.
321.40
322.30
316.80
Dec
Jan'18
323.60
324.50
319.00
9
68,229
NAV Chg %Ret Fund
NA
1.8128
1.8127
Corn (CBT)-5,000 bu.; cents per bu.
Friday, October 20, 2017
Net YTD
TotRetBdI
0.22 256,809
Agriculture Futures
30,560
3,306
e-Ex-distribution. f-Previous day’s quotation. g-Footnotes x and s apply. j-Footnotes e
and s apply. k-Recalculated by Lipper, using updated data. p-Distribution costs apply,
12b-1. r-Redemption charge may apply. s-Stock split or dividend. t-Footnotes p and r
apply. v-Footnotes x and e apply. x-Ex-dividend. z-Footnote x, e and s apply. NA-Not
available due to incomplete price, performance or cost data. NE-Not released by Lipper;
data under review. NN-Fund not tracked. NS-Fund didn’t exist at start of period.
wA
51.53
Natural Gas (NYM)-10,000 MMBtu.; $ per MMBtu.
Data provided by
Net YTD
NAV Chg %Ret Fund
50.81
Open
interest
Chg
Gasoline-NY RBOB (NYM)-42,000 gal.; $ per gal.
Top 250 mutual-funds listings for Nasdaq-published share classes with net assets of
at least $500 million each. NAV is net asset value. Percentage performance figures
are total returns, assuming reinvestment of all distributions and after subtracting
annual expenses. Figures don’t reflect sales charges (“loads”) or redemption fees.
NET CHG is change in NAV from previous trading day. YTD%RET is year-to-date
return. 3-YR%RET is trailing three-year return annualized.
Fund
51.68
Settle
NY Harbor ULSD (NYM)-42,000 gal.; $ per gal.
Open
interest
Mutual Funds | WSJ.com/fundresearch
Explanatory Notes
Contract
High hilo
Low
16.8
11.0
5.0
25.6
27.2
14.0
14.5
1.8
22.7
20.5
7.3
1.6
39.8
3.7
4.1
8.6
15.4 Western Asset
NA
6.9 CorePlusBdI
W
4.7
5.8
2.7
1.4
24.7
4.2
12.4
1.4
2.2
3.1
1.5
23.6
16.5
22.6
12.4
12.1
7.8
11.3
15.4
14.3
20.5
11.6
13.1
14.4
15.6
17.0
17.5
23.2
15.7
12.3
21.6
15.0
15.2
2.1
9.4
11.5
13.0
14.3
15.6
16.9
17.5
17.4
6.9
1.5
7.7
11.3
12.0
16.8
14.5
8.4
3.0
23.5
16.4
11.0
22.6
22.7
14.5
22.7
1.6
16.9
16.9
16.4
15.4
15.4
12.4
2.2
3.1
3.1
3.1
1.6
23.6
23.6
16.5
12.4
ETF
Friday, October 20, 2017
Closing Chg YTD
Symbol Price (%) (%)
AlerianMLPETF
CnsmrDiscSelSector
CnsStapleSelSector
DBGoldDoubleLgETN
DBGoldDoubleShrt
EnSelectSectorSPDR
FinSelSectorSPDR
GuggS&P500EW
HealthCareSelSect
IndSelSectorSPDR
iShIntermCredBd
iSh1-3YCreditBond
iSh3-7YTreasuryBd
iShCoreMSCIEAFEETF
iShCoreMSCIEmgMk
iShCoreMSCITotInt
iShCoreS&P500ETF
iShCoreS&PMdCp
iShCoreS&PSmCpETF
iShS&PTotlUSStkMkt
iShCoreUSAggBd
iShSelectDividend
iShEdgeMSCIMinEAFE
iShEdgeMSCIMinUSA
iShGoldTr
iShiBoxx$InvGrCpBd
iShiBoxx$HYCpBd
iShJPMUSDEmgBd
iShMBSETF
iShMSCIACWIETF
iShMSCIBrazilCap
iShMSCI EAFE
AMLP
XLY
XLP
DGP
DZZ
XLE
XLF
RSP
XLV
XLI
CIU
CSJ
IEI
IEFA
IEMG
IXUS
IVV
IJH
IJR
ITOT
AGG
DVY
EFAV
USMV
IAU
LQD
HYG
EMB
MBB
ACWI
EWZ
EFA
10.80
91.36
53.90
24.36
5.55
67.77
26.64
97.41
83.88
72.96
109.87
105.19
123.01
64.92
55.72
61.93
258.85
182.96
74.98
58.94
109.30
95.57
71.78
51.54
12.30
121.06
88.69
116.04
106.77
70.32
42.26
69.34
–1.10 –14.3
0.24 12.2
4.2
–0.24
–1.62 21.1
1.10 –19.0
0.19 –10.0
1.18 14.6
0.67 12.4
0.11 21.7
1.08 17.3
1.6
–0.17
0.2
–0.06
0.4
–0.24
–0.13 21.1
0.34 31.3
–0.06 22.7
0.51 15.0
0.59 10.7
9.0
0.48
0.53 14.9
1.1
–0.29
7.9
0.57
–0.19 17.2
0.35 14.0
–0.73 11.0
3.3
–0.27
2.5
0.09
5.3
–0.33
0.4
–0.14
0.39 18.8
–0.56 26.8
–0.13 20.1
SPDR DJIA Tr
SPDR S&PMdCpTr
SPDR S&P 500
SPDR S&P Div
TechSelectSector
UtilitiesSelSector
VanEckGoldMiner
VangdInfoTech
VangdSC Val
VangdDivApp
VangdFTSEDevMk
VangdFTSE EM
VangdFTSE Europe
VangdFTSEAWxUS
VangdGrowth
VangdHlthCr
VangdHiDiv
VangdIntermBd
VangdIntrCorpBd
VangdLC
VangdMC
VangdMC Val
VangdREIT
VangdS&P500
VangdST Bond
VangdSTCpBd
VangdSC
VangdTotalBd
VangdTotIntlBd
VangdTotIntlStk
VangdTotalStk
VangdTotlWrld
VangdValue
WisdTrEuropeHdg
WisdTrJapanHdg
Closing Chg YTD
Symbol Price (%) (%)
ETF
iShMSCIEAFESC
iShMSCIEmgMarkets
iShMSCIEurozoneETF
iShMSCIJapanETF
iShNasdaqBiotech
iShNatlMuniBdETF
iShRussell1000Gwth
iShRussell1000ETF
iShRussell1000Val
iShRussell2000Gwth
iShRussell2000ETF
iShRussell2000Val
iShRussell3000ETF
iShRussellMid-Cap
iShRussellMCValue
iShS&PMC400Growth
iShS&P500Growth
iShS&P500ValueETF
iShUSPfdStk
iShTIPSBondETF
iSh1-3YTreasuryBd
iSh7-10YTreasuryBd
iSh20+YTreasuryBd
iShRussellMCGrowth
PIMCOEnhShMaturity
PwrShQQQ 1
PwrShS&P500LoVol
PwrShSrLoanPtf
SPDRBloomBarcHYBd
SPDR Gold
SchwabIntEquity
SchwabUS BrdMkt
SchwabUS LC
Closing Chg YTD
Symbol Price (%) (%)
ETF
SCZ
EEM
EZU
EWJ
IBB
MUB
IWF
IWB
IWD
IWO
IWM
IWN
IWV
IWR
IWS
IJK
IVW
IVE
PFF
TIP
SHY
IEF
TLT
IWP
MINT
QQQ
SPLV
BKLN
JNK
GLD
SCHF
SCHB
SCHX
62.33
46.26
43.39
57.52
331.80
111.09
128.67
143.12
120.64
181.40
149.98
125.43
152.58
201.52
86.30
208.05
147.14
110.02
38.59
113.41
84.29
106.04
123.98
116.60
101.79
148.71
46.92
23.21
37.32
121.61
33.91
62.24
61.44
...
0.37
–0.55
0.23
–0.99
–0.14
0.48
0.46
0.54
0.58
0.46
0.34
0.49
0.63
0.52
0.70
0.35
0.65
0.23
–0.23
–0.06
–0.41
–1.06
0.79
...
0.27
0.47
...
0.08
–0.64
–0.09
0.50
0.52
25.1
32.1
25.4
17.7
25.0
2.7
22.7
15.0
7.7
17.8
11.2
5.5
14.7
12.7
7.3
14.2
20.8
8.5
3.7
0.2
–0.2
1.2
4.1
19.7
0.5
25.5
12.8
–0.6
2.4
10.9
22.5
14.9
15.4
DIA
MDY
SPY
SDY
XLK
XLU
GDX
VGT
VBR
VIG
VEA
VWO
VGK
VEU
VUG
VHT
VYM
BIV
VCIT
VV
VO
VOE
VNQ
VOO
BSV
VCSH
VB
BND
BNDX
VXUS
VTI
VT
VTV
HEDJ
DXJ
233.13
333.57
257.11
93.65
61.10
54.86
23.23
157.94
129.61
97.21
43.95
44.81
58.41
53.56
135.39
155.91
83.25
84.40
87.87
118.11
150.23
107.75
83.65
236.16
79.65
80.00
143.60
81.69
54.66
55.66
132.42
72.12
102.48
65.04
56.74
0.72
0.60
0.52
0.36
0.68
0.07
–0.90
0.67
0.41
0.68
–0.14
0.40
–0.24
–0.06
0.30
0.21
0.49
–0.31
–0.27
0.51
0.70
0.70
–0.57
0.50
–0.08
–0.07
0.55
–0.24
–0.18
–0.05
0.54
0.24
0.71
0.03
1.16
18.0
10.6
15.0
9.5
26.3
13.0
11.0
30.0
7.1
14.1
20.3
25.2
21.8
21.2
21.4
23.0
9.9
1.6
2.5
15.4
14.1
10.9
1.4
15.0
0.3
0.8
11.4
1.1
0.7
21.3
14.8
18.2
10.2
13.3
14.5
Dividend Changes
Symbol
Amount
Yld % New/Old Frq
Payable /
Record
Increased
1st Source
Carnival
Citizens First
Cross Timbers Royalty Tr
Green Plains Partners Un
Hugoton Royalty Trust Un
Huntington Bancshares
IDACORP
Magellan Midstream Ptrs
Rice Midstream Partners
Sensient Technologies
Shell Midstream Partners
Universal Forest Products
Valero Energy Partners
SRCE
CCL
CZFC
CRT
GPP
HGT
HBAN
IDA
MMP
RMP
SXT
SHLX
UFPI
VLP
1.5
2.7
0.8
8.0
9.2
5.0
3.1
2.6
5.3
5.4
1.7
4.7
0.3
4.6
.20 /.19 Q
.45 /.40 Q
.10 /.08 SA
.099 /.08417 M
.46 /.45 Q
.0069 /.00377 M
.11 /.08 Q
.59 /.55 Q
.905 /.89 Q
.2814 /.2711 Q
.33 /.30 Q
.318 /.3041 Q
.17 /.15 SA
.48 /.455 Q
Nov15 /Nov06
Dec15 /Nov24
Nov16 /Oct27
Nov14 /Oct31
Nov10 /Nov03
Nov14 /Oct31
Jan02 /Dec18
Nov30 /Nov06
Nov14 /Nov02
Nov16 /Nov07
Dec01 /Nov06
Nov14 /Nov14
Dec15 /Dec01
Nov09 /Nov01
7.9 .2847 /.32297 Q
7.7 .0998 /.12473 M
10.6 .095 /.11 Q
Nov09 /Oct30
Jan31 /Oct31
Nov14 /Oct30
Reduced
Dorchester Minerals
Mesa Royalty Trust
VOC Energy Trust
DMLP
MTR
VOC
Initial
Arch Cap Group Pfd. F
Cushing 30 MLP ETN 2037
RBB Bancorp
.34441
.3254
.08
ACGLO
PPLN
RBB
Jan02 /Dec15
Nov06 /Oct27
Nov30 /Oct31
Funds and investment companies
First Tr California Mun Hi Incm
First Tr Engy Infr Fd
First Tr High Income ETF
First Tr Instl Pfd
First Tr Low Beta Incm
First Tr Managed Mun ETF
First Tr MLP & Engy Incm
First Tr Mortgage Incm Fd
First Tr New Opps MLP
First Tr Preferred Secs
FCAL
FIF
FTHI
FPEI
FTLB
FMB
FEI
FMY
FPL
FPE
2.4
7.1
4.1
4.2
2.8
2.5
9.6
5.4
10.4
4.8
Settle
Open
interest
Chg
Soybean Oil (CBT)-60,000 lbs.; cents per lb.
Dec
Jan'18
33.78
33.93
34.47
34.62
33.72
33.89
34.16
34.31
Rough Rice (CBT)-2,000 cwt.; $ per cwt.
Nov
Jan'18
1195.00
1226.00
1212.50
1243.50
1191.00
1221.00
Wheat (CBT)-5,000 bu.; cents per bu.
Dec
March'18
433.00
451.50
436.00
453.75
425.00
1207.50
1238.50
426.00
t 443.75
444.50
Wheat (KC)-5,000 bu.; cents per bu.
Dec
429.25
433.25
421.75
422.75
March'18 447.50 451.25
439.75
440.75
Wheat (MPLS)-5,000 bu.; cents per bu.
Dec
614.75
619.75
609.50
611.25
March'18 629.00 632.75
622.25
624.25
Cattle-Feeder (CME)-50,000 lbs.; cents per lb.
Oct
153.350 153.900
152.500 153.625
Jan'18
151.475 152.075
150.025 151.325
Cattle-Live (CME)-40,000 lbs.; cents per lb.
Oct
111.600 112.200
111.250 111.675
Dec
116.575 117.225
115.750 116.600
Hogs-Lean (CME)-40,000 lbs.; cents per lb.
Dec
64.275
64.925
63.900
64.850
Feb'18
68.525
69.175 s
68.325
69.100
Lumber (CME)-110,000 bd. ft., $ per 1,000 bd. ft.
Nov
428.00
430.70
425.40
427.50
Jan'18
418.00
419.60
415.60
418.90
Milk (CME)-200,000 lbs., cents per lb.
Oct
16.60
16.64
16.60
16.60
Nov
16.04
16.09
15.69
15.72
Cocoa (ICE-US)-10 metric tons; $ per ton.
Dec
2,155
2,160
2,122
2,138
March'18
2,140
2,148
2,118
2,132
Coffee (ICE-US)-37,500 lbs.; cents per lb.
Dec
126.95
127.95
124.00
125.25
March'18 130.80 131.60
127.80
129.00
Sugar-World (ICE-US)-112,000 lbs.; cents per lb.
Dec
…
… s
…
14.00
March'18
14.13
14.23
13.90
14.00
Sugar-Domestic (ICE-US)-112,000 lbs.; cents per lb.
March
27.00
27.00
27.00
27.00
Cotton (ICE-US)-50,000 lbs.; cents per lb.
Dec
67.30
67.58
66.84
66.88
March'18
67.04
67.27
66.75
66.77
Orange Juice (ICE-US)-15,000 lbs.; cents per lb.
Nov
152.90
157.30
152.40
156.00
Jan'18
152.35
156.35
151.80
155.20
.33 170,545
.32 100,492
14.50
14.50
4,359
5,445
–6.75 267,932
–6.75 106,390
–6.50 144,900
–6.50 84,837
–4.50
–5.25
35,924
24,465
.475
.125
4,009
22,197
Contract
High hilo
Low
Open
98.845
98.650
98.845
98.635
98.845
98.640
… 232,928
–.010 359,184
Dec
100.984
101.000
t 100.703
100.766
–.563
28,468
Nov
...
...
...
98.7575
…
828
98.5875
98.5050
98.3750
98.1050
98.5900
98.5050
98.3750
98.1100
98.5850
98.4900
98.3450
98.0500
98.5850
98.4900
98.3500
98.0550
–.0050
–.0050
–.0100
–.0250
103,253
1,868,111
1,282,923
1,603,806
10 Yr. Del. Int. Rate Swaps (CBT)-$100,000; pts 32nds of 100%
1 Month Libor (CME)-$3,000,000; pts of 100%
Eurodollar (CME)-$1,000,000; pts of 100%
Nov
Dec
March'18
Dec
Currency Futures
Japanese Yen (CME)-¥12,500,000; $ per 100¥
.8891
.8906
.8894
.8909
Nov
Dec
.7992
.8011
Nov
Dec
.600 118,175
.625 47,694
Dec
March'18
.80
2.70
3,348
3,108
–.01
–.37
3,849
4,503
Nov
Dec
Jan'18
Feb
March
June
–7
–1
98,609
91,158
t
.8814
.8826
.8818 –.0067
2,398
.8831 –.0068 249,963
.8016
.8018
.7919
.7920
.7921 –.0088
890
.7923 –.0089 170,399
1.3150
1.3174
1.3205
1.3223
1.3096
1.3107
1.3201
1.3213
1.0278
1.0324
1.0286
1.0353
1.0186
1.0261
1.0190 –.0088
1.0260 –.0089
.7876
.7873
.7871
.7867
.7840
.7870
.7879
.7877
.7874
.7872
.7865
.7870
.7808
.7803
.7803
.7801
.7800
.7865
Nov
Dec
.05242
.05266
.05296
.05271
.05232
.05195
.05243 –.00034
70
.05212 –.00034 183,271
Nov
Dec
1.1860
1.1883
1.1871
1.1894
1.1777
1.1798
1.1793 –.0051
6,074
1.1815 –.0051 433,543
Canadian Dollar (CME)-CAD 100,000; $ per CAD
British Pound (CME)-£62,500; $ per £
Swiss Franc (CME)-CHF 125,000; $ per CHF
.0035
970
.0035 180,240
Australian Dollar (CME)-AUD 100,000; $ per AUD
–1.60 118,568
–1.60 59,341
…
2,538
3.90
3.20
2,334
5,129
Interest Rate Futures
Treasury Bonds (CBT)-$100,000; pts 32nds of 100%
153-130 153-180
151-250 152-060 –1-11.0
Dec
March'18 151-100 151-190
150-240 151-000 –1-11.0
Treasury Notes (CBT)-$100,000; pts 32nds of 100%
125-110 125-135
124-250 124-265 –14.0
Dec
March'18 125-025 125-025
124-160 124-155 –15.0
5 Yr. Treasury Notes (CBT)-$100,000; pts 32nds of 100%
117-120 117-132
117-020 117-030
–5.7
Dec
2 Yr. Treasury Notes (CBT)-$200,000; pts 32nds of 100%
107-242 107-247
107-212 107-215
–1.2
Dec
30 Day Federal Funds (CBT)-$5,000,000; 100 - daily avg.
748,556
149
3,024,874
11,095
2,977,481
t
.7813
.7809
.7808
.7805
.7803
.7798
Mexican Peso (CME)-MXN 500,000; $ per MXN
Euro (CME)-€125,000; $ per €
–.13
–.13 428,370
–.43 119,663
–.24 72,533
Open
interest
Chg
98.845
98.650
Oct
Jan'18
Nov
Dec
.475
5,204
.450 143,361
Settle
55,155
183
–.0048
1,241
–.0048 133,015
–.0048
453
–.0048
233
–.0048
672
–.0048
242
Index Futures
Mini DJ Industrial Average (CBT)-$5 x index
23115
23107
23283 s
23267 s
23106
23095
23277
23263
2560.70
2574.20 s
2559.70
2574.00
Dec
March'18
S&P 500 Index (CME)-$250 x index
Dec
Mini S&P 500 (CME)-$50 x index
2561.00 2574.50 s
2559.50 2574.00
Dec
March'18 2561.00 2574.75 s 2560.00 2574.50
Mini S&P Midcap 400 (CME)-$100 x index
1824.30 1834.50 s
1823.80 1833.50
Dec
Mini Nasdaq 100 (CME)-$20 x index
6097.8
6129.5 s
6090.5
6111.0
Dec
March'18 6105.3 6141.8 s
6103.3
6123.5
Mini Russell 2000 (ICE-US)-$100 x index
1503.60 1514.20
1502.70 1510.50
Dec
Mini Russell 1000 (ICE-US)-$100 x index
1423.20 1426.20 s
1423.00 1425.50
Dec
U.S. Dollar Index (ICE-US)-$1,000 x index
93.05
93.68
93.00
93.58
Dec
March'18
93.05
93.37
92.95
93.29
163 158,021
161
1,458
13.50
54,389
13.50 3,075,982
13.50 34,945
10.20
92,552
13.3 278,665
13.3
1,111
7.40
64,527
6.60
280
.46
.45
43,979
1,889
1,700,599
Source: SIX Financial Information
Cash Prices | WSJ.com/commodities
Friday, October 20, 2017
These prices reflect buying and selling of a variety of actual or “physical” commodities in the marketplace—
separate from the futures price on an exchange, which reflects what the commodity might be worth in future
months.
Friday
Friday
17.0750
12865
(U.S.$ equivalent)
Coins,wholesale $1,000 face-a
Energy
0.9102
1.0438
2.770
2.730
1.660
2.460
2.550
0.420
2.680
55.500
11.750
Propane,tet,Mont Belvieu-g
Butane,normal,Mont Belvieu-g
NaturalGas,HenryHub-i
NaturalGas,TranscoZone3-i
NaturalGas,TranscoZone6NY-i
NaturalGas,PanhandleEast-i
NaturalGas,Opal-i
NaturalGas,MarcellusNE PA-i
NaturalGas,HaynesvilleN.LA-i
Coal,C.Aplc.,12500Btu,1.2SO2-r,w
Coal,PwdrRvrBsn,8800Btu,0.8SO2-r,w
Other metals
LBMA Platinum Price PM
*921.0
Platinum,Engelhard industrial
922.0
Platinum,Engelhard fabricated
1022.0
Palladium,Engelhard industrial
981.0
Palladium,Engelhard fabricated
1081.0
Aluminum, LME, $ per metric ton
*2128.5
Copper,Comex spot
3.1515
Iron Ore, 62% Fe CFR China-s
60.8
Shredded Scrap, US Midwest-s,w
286
Steel, HRC USA, FOB Midwest Mill-s
n.a.
Fibers and Textiles
Metals
Gold, per troy oz
Burlap,10-oz,40-inch NY yd-n,w
Cotton,1 1/16 std lw-mdMphs-u
Cotlook 'A' Index-t
Hides,hvy native steers piece fob-u
Wool,64s,staple,Terr del-u,w
1286.33
1382.80
1281.20
1422.13
*1283.40
*1286.40
1340.46
1353.35
1353.35
1562.03
1266.38
1353.35
Engelhard industrial
Engelhard fabricated
Handy & Harman base
Handy & Harman fabricated
LBMA Gold Price AM
LBMA Gold Price PM
Krugerrand,wholesale-e
Maple Leaf-e
American Eagle-e
Mexican peso-e
Austria crown-e
Austria phil-e
Silver, troy oz.
0.6150
0.6688
*77.85
61.000
n.a.
Grains and Feeds
n.a.
71
3.1050
80.8
467.8
228
86
228
3.0075
374.00
24.00
7.7138
Barley,top-quality Mnpls-u
Bran,wheat middlings, KC-u
Corn,No. 2 yellow,Cent IL-bp,u
Corn gluten feed,Midwest-u,w
Corn gluten meal,Midwest-u,w
Cottonseed meal-u,w
Hominy feed,Cent IL-u,w
Meat-bonemeal,50% pro Mnpls-u,w
Oats,No.2 milling,Mnpls-u
Rice, 5% Broken White, Thailand-l,w
Rice, Long Grain Milled, No. 2 AR-u,w
Sorghum,(Milo) No.2 Gulf-u
17.1900
20.6280
17.0050
21.2560
£12.9600
Friday
SoybeanMeal,Cent IL,rail,ton48%-u
Soybeans,No.1 yllw IL-bp,u
Wheat,Spring14%-pro Mnpls-u
Wheat,No.2 soft red,St.Louis-bp,u
Wheat - Hard - KC (USDA) $ per bu-u
Wheat,No.1soft white,Portld,OR-u
313.60
9.3700
7.4375
4.1350
3.5475
5.2900
Food
Beef,carcass equiv. index
choice 1-3,600-900 lbs.-u
select 1-3,600-900 lbs.-u
Broilers, National comp wghtd-u,w
Butter,AA Chicago
Cheddar cheese,bbl,Chicago
Cheddar cheese,blk,Chicago
Milk,Nonfat dry,Chicago lb.
Cocoa,Ivory Coast-w
Coffee,Brazilian,Comp
Coffee,Colombian, NY
Eggs,large white,Chicago-u
Flour,hard winter KC
Hams,17-20 lbs,Mid-US fob-u
Hogs,Iowa-So. Minnesota-u
Pork bellies,12-14 lb MidUS-u
Pork loins,13-19 lb MidUS-u
Steers,Tex.-Okla. Choice-u
Steers,feeder,Okla. City-u,w
175.98
166.38
0.8421
2.3500
164.00
167.00
74.00
2400
1.2566
1.4437
1.0550
14.90
0.74
63.50
n.a.
0.9313
110.00
162.00
Fats and Oils
Corn oil,crude wet/dry mill-u,w
Grease,choice white,Chicago-h
Lard,Chicago-u
Soybean oil,crude;Centl IL-u
Tallow,bleach;Chicago-h
Tallow,edible,Chicago-u
34.5500
0.2300
n.a.
0.3279
0.2500
0.3200
KEY TO CODES: A=ask; B=bid; BP=country elevator bids to producers; C=corrected; E=Manfra,Tordella & Brooks; G=ICE; H=Hurley Brokerage; I=Natural Gas Intelligence;
L=livericeindex.com; M=midday; N=nominal; n.a.=not quoted or not available; R=SNL Energy; S=Platts-TSI; T=Cotlook Limited; U=USDA; W=weekly, Z=not quoted. *Data
as of 10/19
Source: WSJ Market Data Group
Bonds | WSJ.com/bonds
Global Government Bonds: Mapping Yields
Yields and spreads over or under U.S. Treasurys on benchmark two-year and 10-year government bonds in
selected other countries; arrows indicate whether the yield rose(s) or fell (t) in the latest session
Country/
Coupon (%) Maturity, in years
1.375
2.250
1.543
2.321
1.442
2.272
0.823
1.758
1.949 s
2.789 s
l
1.942
2.012
1.670
37.6
40.0
l
2.772
2.837
2.299
41.1
45.1
54.0
France 2 -0.523 t
10 0.736 s
l
-0.520
-0.471
-206.3
-146.0
l
0.683
0.727
-0.637 -209.5
0.282
-164.2
-163.8
-147.6
Germany 2 -0.717 s
10 0.455 s
l
-0.729
-0.679
-227.2
-148.6
l
0.397
0.444
-0.663 -228.9
0.003 -192.4
-192.4
-175.6
Italy 2 -0.147 s
10 2.046 s
l
-0.161
-0.113
-0.088
-171.9
-170.4
-91.1
l
2.028
2.071
1.371
-33.3
-29.3
-38.7
Japan 2 -0.138 t
10 0.073 s
l
-0.137
-0.131
-0.265
-171.0
-168.0
-108.8
l
0.066
0.030
-0.064 -230.5
-225.5
-182.2
Spain 2 -0.278 s
10 1.662 s
l
-0.295
-0.327
-0.228
-185.0
-183.7
-105.1
l
1.623
1.564
1.112
-71.7
-69.8
-64.6
0.444 s
1.331 s
l
0.412
0.448
0.209
-112.8
-113.1
-61.4
l
1.282
1.344
0.980
-104.8
-103.9
-77.8
10
0.500
0.050
2.050
0.100
0.100
2.750
1.450
Spread Under/Over U.S. Treasurys, in basis points
Latest
Prev
Year ago
l
Australia 2
0.000
Year ago
l
2.750
2.750
Month ago
U.S. 2 1.572 s
10 2.379 s
2.750
0.000
Yield (%)
Latest(l) 0 20 40 60 80 100 120 Previous
1.750
U.K. 2
4.250
10
84.7
Source: Tullett Prebon
Dividend announcements from October 20.
Company
Contract
High hilo
Low
Engelhard industrial
Engelhard fabricated
Handy & Harman base
Handy & Harman fabricated
... NA LBMA spot price
Exchange-Traded Portfolios | WSJ.com/ETFresearch
Largest 100 exchange-traded funds, latest session
Open
WSJ.com/commodities
.10
.11
.0775
.07
.0525
.1125
.1183
.065
.105
.0805
M
M
M
M
M
M
M
M
M
M
Oct31 /Oct23
Nov15 /Nov02
Oct31 /Oct23
Oct31 /Oct23
Oct31 /Oct23
Oct31 /Oct23
Nov15 /Nov02
Nov15 /Nov02
Nov15 /Nov02
Oct31 /Oct23
Company
Symbol
First Tr SSI Strat Cv Sec
First Tr Strat High Fd II
First Tr Strat Income ETF
First Tr Tactical Hi Yd
First Tr TCW Opportun
First Tr/Abrdn Glbl Opp
First Trust CEF Incm Opp
First Trust Dynamic Eur
First Trust Emg Mkt Local
First Trust Muni CEF Incm
First Trust Sr FR Fd II
Franklin Ltd Duration IT
Franklin Universal Trust
Fst Tr Hi Inc Lg/Shrt Fd
Fst Tr VI Multi-Asset Div
FT Enhanced Shrt Maturity
FT Interm Duration Pfd
FT Low Duration Opps
FT Sr Floating Rate 2022
InfraCap REIT Preferred
Intl Multi-Asset Div Incm
Newfleet Multi Uncon Bd
Saba Closed-End Funds ETF
SPDR DJIA Tr
Virtus Newflt Dyn Credit
Amount
Yld % New/Old Frq
Payable /
Record
FCVT
FHY
FDIV
HYLS
FIXD
FAM
FCEF
FDEU
FEMB
MCEF
FCT
FTF
FT
FSD
MDIV
FTSM
FPF
LMBS
FIV
PFFR
YDIV
NFLT
CEFS
DIA
BLHY
1.7
7.1
3.6
5.5
2.7
7.7
4.9
7.6
5.9
3.6
5.7
10.5
5.3
8.9
4.0
1.5
7.4
2.7
5.2
17.4
4.5
4.3
7.8
0.9
4.7
.04
.08
.155
.225
.1152
.075
.09
.121
.21
.0575
.0635
.1057
.032
.1272
.0639
.075
.1525
.1175
.0417
.37238
.07
.0933
.14
.18277
.09917
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
Oct31 /Oct23
Nov15 /Nov02
Oct31 /Oct23
Oct31 /Oct23
Oct31 /Oct23
Nov15 /Nov02
Oct31 /Oct23
Nov15 /Nov02
Oct31 /Oct23
Oct31 /Oct23
Nov15 /Nov02
Nov15 /Oct31
Nov15 /Oct31
Nov15 /Nov02
Oct31 /Oct23
Oct31 /Oct23
Nov15 /Nov02
Nov01 /Oct23
Nov15 /Nov02
Oct30 /Oct23
Oct31 /Oct23
Oct30 /Oct23
Oct25 /Oct23
Nov13 /Oct23
Oct30 /Oct23
CPLP
CUK
GMLP
HMLP
9.0
2.7
10.0
8.8
.08
.45
.5775
.43
Q
Q
Q
Q
Nov13 /Nov03
Dec15 /Nov24
Nov14 /Oct30
Nov14 /Nov02
IIIN
0.4
1.00
Foreign
Capital Product Partners
Carnival ADR
Golar LNG Partners
Hoegh LNG Partners
Special
Insteel Industries
Jan05 /Dec20
KEY: A: annual; M: monthly; Q: quarterly; r: revised; SA: semiannual;
S2:1: stock split and ratio; SO: spin-off.
Corporate Debt
in that same company’s share price.
Investment-grade spreads that tightened the most…
Issuer
Symbol Coupon (%)
Pitney Bowes
JPMorgan Chase
Government Properties Income Trust
GE Capital Intl Funding Unlimited
PBI
JPM
GOVPIT
GE
Maturity
4.625 March 15, ’24
7.900 April 30, ’49
4.000 July 15, ’22
2.342 Nov. 15, ’20
Current
Spread*, in basis points
One-day change
262
–144
145
29
–56
–41
–27
–13
Last week
Stock Performance
Close ($)
% chg
338
–60
180
37
14.23
99.51
...
…
3.04
1.43
...
…
30
60
n.a.
n.a.
23.83
87.93
27.17
…
1.06
0.09
2.22
…
…And spreads that widened the most
General Electric
Duke Energy
Bank of America
Pacific Gas And Electric
GE
DUK
BAC
PCG
2.700
2.400
8.000
5.400
Oct. 9, ’22
Aug. 15, ’22
Jan. 30, ’49
Jan. 15, ’40
38
55
–98
126
17
13
11
9
High-yield issues with the biggest price increases…
Issuer
Symbol
Coupon (%)
THC Escrow III
Comstock Resources
BruceMansfieldUnit12007PassThroughTrust
Diamond Offshore Drilling
THC
CRK
FE
DO
7.000
Aug. 1, ’25
10.000 March 15, ’20
6.850
June 1, ’34
5.700 Oct. 15, ’39
Maturity
Bond Price as % of face value
Current
One-day change
94.500
103.250
44.750
85.392
2.00
1.75
1.75
1.64
Last week
Stock Performance
Close ($)
% chg
91.688
99.500
45.000
n.a.
…
4.38
…
15.28
…
–0.45
…
–0.39
n.a.
79.000
74.000
n.a.
4.86
1.41
1.95
...
0.83
5.22
2.63
...
…And with the biggest price decreases
Ferrellgas Partners
Jones Energy Holdings
Windstream Serv
Concordia International
FGP
JONE
WIN
CXRCN
8.625
6.750
7.500
7.000
June 15, ’20
April 1, ’22
June 1, ’22
April 15, ’23
88.000 –2.50
–2.25
76.000
–2.25
76.250
–1.75
12.000
*Estimated spread over 2-year, 3-year, 5-year, 10-year or 30-year hot-run Treasury; 100 basis points=one percentage pt.; change in spread shown is for Z-spread.
Note: Data are for the most active issue of bonds with maturities of two years or more
Sources: MarketAxess Corporate BondTicker; WSJ Market Data Group
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
B10 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
MONEY & INVESTING
Check Your Insurance for Fire Coverage
Differences in policies
could result in less
money to rebuild than
homeowners need
Home-insurance coverage
has its limits, which many
Americans discover after
large-scale disasters like the
fires that have been raging in
California this month.
There are some fairly standard coverage areas, such as
fire damage, in most homeowners policies across the
country. Still, standard policies can saddle people with
surprisingly large costs. Often,
the maximum payout in a policy is insufficient to rebuild an
entire home and replace its
contents.
“So many clients don’t
properly insure the replacement value for their homes,
and they don’t understand
what it would cost to rebuild
their home today,” said Bob
Courtemanche, private client
practice leader at insurance
brokerage Risk Strategies Co.
There are myriad subtle differences across states and carriers that could hit homeowners and leave them with
less rebuilding money than
they need. And those differences are growing: Policies are
more varied than they were a
decade or two ago, according
to University of Minnesota
Law School Professor Daniel
Schwarcz.
California fire victims will
JOSH EDELSON/AGENCE FRANCE-PRESSE/GETTY IMAGES
BY LESLIE SCISM
AND NICOLE FRIEDMAN
A vineyard building burns in California. The wildfires might be a wake-up call to increase insurance or even get an entirely new policy.
generally find their policies
cover fire and smoke damage
as well as additional living expenses, said Loretta Worters, a
spokeswoman for Insurance
Information Institute, a trade
group. That said, additional
living expenses, such as temporarily relocating, sometimes
are covered only if the home is
damaged, Ms. Worters said. In
that case, homeowners who
are ordered to evacuate but
whose homes aren’t damaged
might not get payments for
the costs incurred.
While it is too late to increase coverage after your
property burns, for some the
recent California fires might
be a wake-up call to the need
to increase a policy’s limits or
even get an entirely new policy. Property owners should
start by trying to read and understand their policies; they
also should contact their
agent, or the insurer directly,
because figuring out the appropriate amount of coverage
is hard to do.
Here are some important
details to bear in mind:
Homeowners sometimes
forget to expand the amount of
insurance coverage they have
on their property after making
home improvements, such as
adding a new kitchen. If insurance coverage hasn’t been updated, homeowners may find
themselves underinsured after
a fire.
Extra structures on the
property are typically covered
for as much as 10% of the policy limit for the main structure, Ms. Worters said.
Consumer advocates say
insurers in recent decades
have shifted to providing “actual cash value coverage,”
which takes depreciation into
account, rather than “replacement cost coverage.” Actual
cash value coverage might not
cover the full cost of replacing
a damaged or lost item, leaving the consumer to foot more
of the bill.
Homeowners should keep
an inventory of the contents in
their home and store this list
outside the home. Some homeowners should consider getting specialized policies for expensive items such as jewelry
or art collections.
After widespread destruction in a community, labor and
materials costs can soar, as
many people seek contractors
and supplies at the same time.
An extended replacement policy generally pays as much as
20% or more above the policy
limit; a guaranteed replacement-cost policy pays whatever it costs to rebuild a home
as it was before the storm, Ms.
Worters said.
Some policies—even a
guaranteed replacement-cost
policy—won’t pay for the extra
expense of rebuilding to higher
code standards, Ms. Worters
said. Including coverage for
such code upgrades may require an additional premium
payment.
Some insurers also offer
inflation protection, for an
added premium amount.
Good Money Going Bad: Swiss Debate Expiring Notes
BY BRIAN BLACKSTONE
ZURICH—One of the world’s
most coveted currency notes,
the Swiss franc, includes a feature that runs at odds with its
reputation as a safe store of
value: It has an expiration
date—and for some notes, that
is fast approaching.
Up to one billion francs
worth of 1970s-era bank notes
are nearing their cutoff date,
when they will unceremoniously make the switch from
reserve currency to antique
wallpaper as their value is
wiped out unless the Swiss
government intervenes.
Switzerland is unique
among rich countries because
its bank notes—from the 10franc bill all the way to the
mighty
1,000-franc
bill
($1,025)—lose all of their
value 20 years after they are
replaced by new ones. The series from the 1970s was replaced in 2000, so their value
vanishes in 2020. Franc coins
are always usable.
That two-decade buffer
gives people plenty of time to
prepare, but the very notion of
an expiring currency contradicts the Alpine country’s reputation for financial safety and
security that has driven the
franc’s value higher in recent
decades.
The government and central
bank want the law to change.
If it doesn’t, then franc notes
introduced starting in 1976
will become obsolete in a couple of years. They were withdrawn from circulation to
make way for a new series of
bank notes that had fresh designs, colors and sizes. That is
when the 20-year clock started
ticking for people to take them
to the Swiss National Bank for
new ones.
So starting May 2020, people won’t be able to exchange
the 1970s-era notes that are
still out there. They will become worthless relics, the
same thing that happened to
bills going back to 1907.
It is tough to pinpoint exactly where the one billion in
old francs is. Some notes likely
vanished naturally, accidentally discarded or lost. Some
could be with tourists or
workers who left Switzerland
with cash and never returned.
In recent years, around 30 million to 40 million francs of
notes have been exchanged annually. There were still 1.1 billion francs of the 1970s-series
notes in 2016.
The central bank doesn’t
get to pocket the unclaimed
money and the Swiss have
found an innovative use for it.
Under a century-old law, the
SNB transfers the equivalent
amount worth of obsolete
bank notes to a Swiss fund
that insures against natural disasters such as avalanches. It
recently made money available
to farmers and wine growers
hit by an April freeze.
There were 244 million
francs of 1950s-era notes that
were withdrawn from circulation in 1980 and lost all of
their value in 2000.
The SNB transferred that
amount to the insurance fund.
The amount of worthless
Cash Pile
Value of Swiss franc notes in circulation by denomination
10–500 franc bank notes
80 billion Swiss francs
1,000 franc bank notes
70
60
50
40
30
20
10
0
2010
’11
’12
’13
Source: Swiss National Bank
francs from earlier last century was much smaller.
The Swiss federal council
launched a legislative process
in August to cancel the expiration of franc bills, so that people will always be able to exchange the 1970s-era notes
and subsequent ones. It
wouldn’t apply to earlier
’14
’15
’16
’17
THE WALL STREET JOURNAL.
notes. The consultative period
lasts until mid-November, then
the legislation will move to
parliamentary committees.
“The purpose is to avoid
that people find themselves
with bank notes that have no
value,” the federal council said
in August.
“Switzerland would adapt
to the practices of other industrialized countries” that
don’t have a fixed exchange
period, it said.
In the U.S., currency is legal
tender no matter when it was
issued. The same holds for euros. Though the European
Central Bank will stop issuing
€500 ($593) notes in 2018,
they will always keep their
value. Germans can still exchange old deutsche marks for
euros at the Bundesbank. British pound notes always hold
their value, and while the
round, £1 coins lost their legal
status this week, they can still
be deposited at many commercial banks.
Despite their limited shelf
life, Swiss francs are highly
coveted, particularly the 1,000
franc note that is one of the
highest denomination pieces
of money in the world. The
value of Swiss notes in circulation has increased more than
60% since the start of 2010 to
76.5 billion francs, despite the
rise of electronic payments
and digital currencies.
School Weighs Axing M.B.A. Program Hudson Bay CEO to
Rejoin Advisory Firm
BY KELSEY GEE
BY MARIA ARMENTAL
MIKE MCGINNIS/GETTY IMAGES
One of the country’s oldest
business schools is considering closing its M.B.A. program,
the latest tremor in the troubled market for graduate business degrees.
An administrator at the
University of Wisconsin’s
School of Business said the
school is reviewing its business programs, a process that
may result in ending its fulltime master’s of business administration program in favor
of adding shorter, more specialized degrees.
Flagging student interest is
prompting schools to take a
hard look at their M.B.A. programs. In August, the University of Iowa’s Tippie College of
Business said it would end its
full-time M.B.A., and Wake
Forest University moved to
end its two-year program in
2014.
Once a must-have for careers in finance and management consulting, the M.B.A.
has lost some appeal in recent
years as fewer employers help
workers cover costs and a
generation of students saddled
with student-loan debt opt to
remain in the workforce rather
than break for school. Though
elite programs at Harvard and
Stanford universities continue
to attract applicants, some
schools outside the top tier
are finding it harder to maintain interest in the two-year
M.B.A.
“We don’t have the re-
The school lately has pivoted to courses that feed appetites for shorter, more niche credentials.
sources to be all things to all
people,” Tippie Dean Sarah
Gardial said earlier this year.
Business school faculty in
Madison, Wis., will vote on the
decision in early November,
according to a person familiar
with the matter. Students
were notified of the university’s plans in an email sent to
the student body and reviewed
by The Wall Street Journal.
“WSB remains committed
to all of you currently enrolled
within the full-time M.B.A.
program,” wrote Don Hausch,
associate dean for the M.B.A.
programs. Anne Massey, the
school’s recently appointed
dean, will hold a town hall
with students on campus next
week.
A spokesman for the school
declined to comment further.
Founded in 1900, the Wisconsin program is one of the
nation’s
oldest
business
schools, and its M.B.A. ranks
among the top public-university business programs. Its
42,000 alumni include Kimberly-Clark Corp. Chairman
and Chief Executive Thomas
Falk and former Symantec
Corp. CEO Steve Bennett.
Lately, the school has begun
offering part-time and specialized programs in accounting
and finance, feeding appetites
for shorter, more niche credentials. About 100 students
enrolled in the Wisconsin fulltime M.B.A. program last
month, steady with the class
size two years ago.
Diego Hahn, a second-year
M.B.A. student at Wisconsin,
said Thursday that he was dismayed to learn that the program may be on the chopping
block. “Are we just going to
get rid of all top public M.B.A.
programs because they are
loss leaders, and only let those
who can afford to go to a private school earn this type of
education?” Mr. Hahn said.
The head of Hudson’s Bay
Co., the owner of Saks Fifth
Avenue and Lord & Taylor, is
leaving the retailer ahead of
the critical holiday shopping
season and in the midst of a
restructuring effort to boost
sales.
Chief Executive Gerald
Storch will step down from the
role Nov. 1 and return to his advisory firm Storch Advisors, the
company said Friday. He had
held the post for three years
and before serving as Hudson’s
Bay leader, he was an executive
at Target Corp. and had been
CEO of Toys “R” Us Inc.
Executive Chairman Richard
Baker, who has previously
served as Hudson’s Bay CEO,
will lead the company in the
interim, Hudson’s Bay said.
The company has recruited
a search firm to identify a permanent CEO. Shares in Hudson’s Bay have fallen 30% over
the past 12 months. The stock
closed Friday up 0.9% at 11.96
Canadian dollars (US$9.47).
The new leader will likely
work on turning around the
business without the help of a
major department-store acquisition. This year Hudson’s Bay
has approached Macy’s Inc. and
then Neiman Marcus Group
LLC in potential takeover bids,
but talks both times faltered
without reaching in a deal.
Hudson’s Bay, which calls
itself North America’s oldest
company, started as a royalchartered fur-trading company
in 1670. Today, it is largely
known for its retail stores. In
addition to Saks and Lord &
Taylor, it owns the Hudson’s
Bay chain in Canada and Galeria Kaufhof in Germany.
Mr. Baker, in a conference
call last month to discuss its
second-quarter results, said
the company wasn’t interested
in buying another retailer in
the near term.
“Right now, our entire team
in North America and Europe is
focused on delivering a strong
holiday season and best serving
our customers,” Mr. Baker said
Friday in a statement. “At the
same time, we are looking to the
future with great anticipation as
we work on plans to maximize
the strength of our leading retail and real-estate assets.”
The CEO change also comes
as Jonathan Litt’s Land & Buildings Investment Management
LLC has ratcheted up pressure
on Hudson’s Bay management in
recent months to explore options such as taking the company private or monetizing its
real-estate holdings. Mr. Litt is
well known for agitating for
change in real-estate circles.
The Canadian retailer has
said it was looking into such
things as leasing space in its department stores to other
brands, such as Topshop and
Sephora, and selling stores. It
has also moved to restructure
its North American business.
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THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 21 - 22, 2017 | B11
MARKETS
U.S. government bonds
pulled back Friday as prospects brightened for large tax
cuts out of Washington.
The yield on
CREDIT
the benchmark
MARKETS 10-year Treasury note settled at 2.381%—
the highest close since July
7—compared with 2.323%
Thursday and 2.280% the previous Friday. Yields rise when
bond prices fall.
Investors had dumped Treasurys overnight after the Senate approved a budget resolution
that
would
allow
Republicans to pass a bill lowering projected government
revenue by as much as $1.5
trillion over a decade with just
GOP votes. Though hurdles remain, the vote is considered an
important step toward passing
tax cuts that could reduce the
value of Treasurys, in part by
growing the budget deficit.
Larger deficits mean the
government has to issue more
bonds, weighing on the prices
of existing debt. Tax cuts can
also spur economic growth,
causing investors to favor
riskier assets, and stoke inflation, which is a main threat to
government bonds because it
erodes the purchasing power
of their fixed payments.
Although the prospect of tax
cuts and infrastructure spending helped support Treasury
yields earlier this year, investors had grown skeptical that
Congress could pass meaningful fiscal stimulus as it struggled to pass other legislation.
“There is just so little probability of meaningful tax reform priced into the market
that, any time you get a baby
step toward that, it’s viewed
as a big upside surprise,” said
Thomas Simons, senior vice
president and money-market
economist in the Fixed Income
Group at Jefferies LLC.
Treasury yields have climbed
in recent weeks as investors
sold bonds for a variety of reasons. Those have included improving economic data and
messages from Federal Reserve
officials that have made a December interest-rate increase
look increasingly likely. That has
helped push the 10-year yield
back to just above the midpoint
of its 2017 trading range.
Speculation about whom
President Donald Trump might
nominate as the next leader of
the Fed has also weighed on
the market. His potential selections include Fed governor
Jerome Powell, White House
economic adviser Gary Cohn,
Stanford economics professor
John Taylor and former Fed
governor Kevin Warsh. Chairwoman Janet Yellen is also being considered.
Yield Gain
The yield on the 10-year Treasury note climbed Friday as prospects
brightened for tax cuts.
2.6%
Friday
2.381%
2.5
2.4
2.3
2.2
2.1
2.0
J
F
M
A
M
Source: Tullett Prebon
J
J
A
S
O
THE WALL STREET JOURNAL.
First Data Reaches
Deal for BluePay
BY ALLISON PRANG
First Data Corp. said it has
reached a deal to buy payments-processing firm BluePay Holdings Inc.—for real
this time.
Payments-processing company First Data said Friday
that it would pay $760 million
in cash for BluePay. The announcement came one day after it mistakenly posted a
draft of a news release about
the transaction on its website.
In its clarifying comments
Thursday, First Data had said
a deal hadn’t been completed.
First Data said it expected
to close on the purchase later
this year. BluePay is currently
owned by private-equity firm
TA Associates and BluePay
management. Boston-based TA
bought a majority stake in
BluePay from Goldman Sachs
Group Inc. in 2013.
First Data’s acquisition of
the Chicago-area company
comes a few months after it
bought payments processor
CardConnect Corp. in a deal
valued at $750 million. That
transaction closed in July.
BluePay, one of First Data’s
biggest distribution partners,
processes $19 billion in transaction volume a year for more
than 77,000 merchants. The
company does business in
both the U.S. and Canada.
The shares of First Data
gained 63 cents, or 3.4%, to
close at $19.08 on Friday.
Dollar Gains as Vote
Lifts Tax-Cut Hopes
BY IRA IOSEBASHVILI
AND KENAN MACHADO
The U.S. dollar rose to a
three-month high against a
basket of currencies, as hopes
for a tax overhaul received a
fresh boost after Senate Republicans adopted a budget
for the next fiscal year.
The Wall Street Journal
Dollar Index, which measures
the U.S. currency against 16
others, gained 0.6%, Friday to
87, reaching its highest level
since July 19.
Analysts said the Senate’s
late Thursday passage of the
budget blueprint helps unlock
a procedure that Republicans
plan to use to rewrite the tax
code with just GOP votes.
Hopes for changes to the tax
code have lifted the dollar in
recent weeks, although the in-
dex is down 6.4% this year.
Some warned, however,
that the White House faces a
long battle to push through its
agenda. The dollar’s gains
“will be tough to sustain for
long unless the president
scores a major legislative
win,” said Joe Manimbo, an
analyst at Western Union.
Another factor in the dollar’s direction will likely be
who President Donald Trump
will tap to lead the Federal Reserve. News reports that he is
leaning toward Fed governor
Jerome Powell, a comparatively
dovish
candidate,
weighed on the dollar during
Thursday’s trading.
Late Friday in New York,
the euro was at $1.1783, down
from $1.1853 late Thursday.
The dollar bought ¥113.52, up
from ¥112.54.
John Taylor, who is being considered for the top Fed job, favors basing interest-rate policy on established rules.
A Formula for Higher Rates
BY MICHAEL S. DERBY
Stanford University professor John Taylor, a contender
to become the next Federal
Reserve chairman, has repeatedly criticized the central
bank by saying it held interest
rates too low before and after
the financial crisis.
But how much higher
should rates have been? Quite
a bit, according to estimates
by economists applying his
eponymous “Taylor rule,” a
mathematical formula for setting rates based on several
economic variables.
While there are multiple
versions of the rule, the classic 1993 model indicates the
Fed’s benchmark federal-funds
rate should have started rising
sooner and more in the years
before the crisis, dipped below
zero during the worst of the
recession, and started rising in
late 2009, according to a tool
offered by the Atlanta Fed.
In contrast, the Fed held
the fed-funds rate near zero
from late 2008 until late 2015,
and has raised it little since
then.
Under the Taylor rule, the
rate would be between 2.5%
and 3% now, more than a percentage point higher than
where the Fed has it, in a
range between 1% and 1.25%.
Speaking at a Federal Reserve Bank of Boston confer-
ence a week ago, Mr. Taylor
repeated his argument in favor
of basing Fed interest-rate
policy on established rules,
something that some Republican lawmakers have pushed
for. He said he created his rule
to provide “something relatively simple that would not
create shocks and could react
to shocks well.” He believes
that until around 2003, the
rule described pretty well how
the Fed actually set policy.
Mr. Taylor could be in a position to try to apply his rule
next year. President Donald
Trump met with the economist earlier this month to discuss the top Fed job.
Mr. Trump met Thursday
with Fed Chairwoman Janet
Yellen and has said he is considering nominating her to
stay in the job when her term
as chief expires in February.
He also is considering and has
met with Fed governor Jerome
Powell and former Fed governor Kevin Warsh. The president’s top economic adviser
Gary Cohn is also a candidate.
A White House official said
the president is expected to
announce his decision before a
trip to Asia that begins Nov. 3.
Fed officials see value in
Mr. Taylor’s rules as a way to
help them think about policy.
But they also believe the value
is limited. Officials such as
Federal Reserve Bank of New
York President William Dudley
have long argued that rules
don’t take account of financial
conditions, which are a critical
driver of the economy’s performance.
Boston Fed President Eric
Rosengren at the recent conference argued against requiring the Fed to follow a formal
rule. Mr. Rosengren pointed to
Under the Taylor
rule, the fed-funds
rate would be between
2.5% and 3% now.
an example of when the Taylor
rule would have led the central bank astray. “In 2007, the
actual federal-funds rate decreased much sooner than
would have been implied by
the 1993 Taylor rule,” he said.
“In the case of 2007, a much
slower reaction to the impending financial problems would
have exacerbated what was already a very serious economic
downturn.”
One of the Fed’s biggest supporters of keeping rates low,
Federal Reserve Bank of Minneapolis President Neel Kashkari,
has reckoned that following the
Taylor rule over recent years
would have been a disaster. He
said his bank estimates that
following the rule would have
meant 2.5 million fewer jobs
created during the recovery.
The Taylor rule also would
prescribe a higher fed-funds
rate now, despite persistently
weak inflation. Several Fed officials have said in recent
months they won’t support
another rate increase until
they see evidence that inflation is rising toward their 2%
target.
Federal Reserve Bank of
San Francisco President John
Williams recently said that he
expects the central bank to
raise the fed-funds rate over
the next two years to a longterm level of 2.5%. That would
be lower than what the Taylor
rule would prescribe now.
Mr. Taylor could have a
hard time trying to implement
his rule if he becomes chairman, given the strong consensus among Fed officials in favor of their current policy.
“Presumably if most people
disagreed with—I’m not anticipating this—but if most people disagreed with a chair, you
could have a possibility that
the chair would lose the vote,”
Mr. Rosengren said in an interview.
“A rational chair” who
doesn’t want that sort of setback would then change tack
and move to better reflect his
colleagues’ views, he said.
New Zealand Currency Under Pressure
BY JAMES GLYNN
The surprise emergence of
a Labour-led coalition government in New Zealand pressured the currency as global
investors contemplate a raft of
potential
CURRENCIES changes to
economic
policy,
including the country’s central
bank.
Despite finishing second in
an inconclusive general election last month, 37-year-old
Labour leader Jacinda Ardern
emerged victorious after
smaller parties agreed Thursday to form a government. The
coalition ends nearly a decade
of conservative rule that
helped propel the island economy to one of the fastest
growth rates in the developed
world.
The uncertainty created by
the prospect of a switch in
policies and the likelihood that
the new government could favor a weaker currency sparked
a fall in the New Zealand dollar against the U.S. currency.
Late Friday in New York, the
New Zealand dollar bought
0.6952 U.S. cents, down from
0.7030 cents late Thursday.
The currency, known as the
kiwi, fell below 70 U.S. cents
for the first time since May.
“The New Zealand dollar
has given an initial thumbsdown to the new Labour/NZ
First/Greens government, representing sticker shock to
fresh uncertainty about the
macroeconomic outlook,” said
Jason Wong, senior market
strategist at BNZ, based in
Wellington.
HAGEN HOPKINS/GETTY IMAGES
BY SAM GOLDFARB
ANDREW HARRER/BLOOMBERG NEWS
Treasury Yield
Rises to Highest
Since Early July
The incoming government of Labour leader Jacinda Ardern, speaking, could favor a weaker currency.
Based on election pledges,
the new-look Parliament could
limit immigration, which has
helped fan strong economic
growth; curb foreign ownership of housing; and change
the mandate of the Reserve
Bank of New Zealand.
But while the currency slid,
the benchmark S&P/NZX 50
stock index recovered from a
1% drop to eke out a gain, rising less than 0.1% on Friday.
“There’s a lot of inexperience there in government, but
the currency drop-off will be a
good thing for exporters,” said
Grant Williamson, a director at
Hamilton Hindin Greene, a
brokerage based in Christchurch.
Of particular concern to
market participants is the influence of Winston Peters, the
leader of the New Zealand
First party, who effectively became kingmaker after the ruling party failed to gain a majority.
“Winston Peters makes the
markets nervous, and it’s easy
to understand why. He is on
the record with longstanding
controversial policy ideas,”
said Annette Beacher, head of
Asia-Pacific research for TD
Securities, based in Singapore.
Mr. Peters has talked about
the need for a weaker currency and has flagged interest
in Singapore’s exchange ratebased monetary policy as a potential way to prevent damage
to the economy from an over-
inflated New Zealand dollar.
Sean Callow, currency strategist at Westpac, said the political environment means
there is scope for the New
Zealand dollar to decline to as
low as 68.5 U.S. cents.
“A weaker kiwi is a particular policy priority for NZ First,
and it is now in position to
work with Labour on revising
the Reserve Bank of New Zealand’s mandate to lessen the
focus on inflation,” he said.
Labour wants to introduce a
dual mandate that includes
employment and inflation objectives. Economists have
warned that it has the potential to make the central bank
more unpredictable in its signaling on interest rates.
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B12 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
MARKETS
Stocks Keep Barreling to New Records
Another kick from
corporate earnings
lifts Dow to its 53rd
new high this year
BY CORRIE DRIEBUSCH
AND RIVA GOLD
Stocks extended their remarkable streak of gains Friday.
The Dow Jones Industrial
Average closed above 23000
for the first time Wednesday,
and its fresh high Friday
marked the most records in a
calendar year for the index
since 1995.
Earlier this month, the
Dow’s advance that started in
March 2009 became the thirdlongest bull market in the index’s history.
The relentless rise in stocks
is continuing because “alternatives are not good enough
yet,” said Chris Wolfe, chief
investment officer at First Republic Private Wealth Management, referring to how interest rates are near historic
lows.
The bulk of the recent leg
up in the rally is founded on
earnings gains and global
growth, traders and investors
said.
“Earnings growth looks
good, and there’s not a lot of
downward guidance, that’s
key,” said Mr. Wolfe.
The Dow industrials rose
165.59 points, or 0.7%, to
23328.63 on Friday, notching
its 53rd record close of 2017.
The index’s weekly gain of 2%
was its biggest since mid-September.
The S&P 500 gained 13.11
points, or 0.5%, to 2575.21 on
Friday, while the Nasdaq Composite added 23.99 points, or
0.4%, to 6629.05. Both indexes
closed at records Friday and
notched weekly gains.
Corporate earnings have
largely driven stocks in the
past week.
PayPal Holdings rose
$3.72, or 5.5%, to $70.97 Fri-
More Milestones
The Dow Jones Industrial Average closed above 23000 for the first time during the
week, after investors were encouraged by earnings from some blue-chip companies.
23300
23200
23100
The rise by stocks is
continuing because
‘alternatives are not
good enough yet.’
22900
Dow crosses milestone
in intraday trading
Index notches first
close above 23000
Tuesday
Wednesday
Blue chips finish week
with 53rd record of year
22800
Monday
Thursday
Friday
Shares of IBM and UnitedHealth rose Bank shares gained after the Senate
after their quarterly reports, giving a passed a budget plan late in the week,
big boost to the Dow industrials.
clearing a hurdle for a GOP tax overhaul.
Several major indexes have soared
this year. The Nasdaq 100 has hit
more highs in 2017 than in any other.
Share-price performance
Closing records, yearly
KBW Nasdaq Bank Index
International Business Machines
10%
101.17
s 2.3% this week
102
8
101
6
UnitedHealth Group
4
62
60 records
40
100
2
20
99
0
98
–2
Mon.
Tues.
Wed.
Thur.
0
Mon.
Fri.
Tues.
Wed.
Thur.
1985
Fri.
’90
2000
’10
THE WALL STREET JOURNAL.
Source: FactSet
day after the online-payments
company reported strongerthan-expected earnings.
Shares of Procter & Gamble fell 3.34, or 3.6%, to 88.25
after the maker of household
goods reported sluggish sales
growth.
”We’re still in very early
stages of the earnings season,
but it’s been going very well,”
said Lindsey Bell, investment
strategist at CFRA Research.
Of the S&P 500 companies
that have reported earnings so
far,
three-quarters
have
topped estimates, according to
FactSet.
Earnings season picks up
this coming week, as nearly
200 companies in the S&P 500
are scheduled to report thirdquarter results, according to
FactSet.
Stocks, the dollar and Treasury yields received a boost
Friday after the U.S. Senate on
Thursday passed a budget
blueprint seen as a key hurdle
in revamping the tax code.
The passage helps unlock a
procedure that Republicans
plan to use to rewrite the tax
code with just GOP votes,
which investors largely see as
positive for earnings and eco-
HEARD ON THE STREET
FINANCIAL ANALYSIS & COMMENTARY
GE’s Kitchen Sink Is Leaking
The Bottom Falls Out
Oct. 20
Midpoint of
company
guidance
GE's 2017 earnings-per-share forecasts
FactSet analyst consensus
$1.75
1.50
1.25
1.00
0.75
0.50
0.25
0
D
2016
J
’17
F
M
A
Sources: FactSet; the company
vowed sweeping changes to
the company’s culture and
how it does business.
Those changes are badly
needed. The Wall Street
Journal reported earlier this
week that prior CEO Jeff Immelt, who retired earlier this
year, would travel around
the world with two corporate jets. One was a spare in
case Mr. Immelt’s main jet
encountered mechanical
problems. Mr. Flannery has
grounded the fleet of corpo-
M
J
J
A
S
O
THE WALL STREET JOURNAL.
rate jets, ended a program in
which about 700 executives
received company cars, and
doubled GE’s cost-reduction
targets for next year.
Those details rightly angered common equity holders, but cost-control issues
are plaguing the company
more substantially. For instance, operating profit in
the oil-and-gas segment was
down 35% from a year earlier despite an 82% rise in
revenue. A 4% fall in power
OVERHEARD
revenue yielded a 51% drop
in that segment’s profits.
The trouble is it will take
a long time for Mr. Flannery
to regain investors’ trust.
Shareholders also have no
assurance that Friday
brought out all of the bad
news. Detailed profit guidance for next year, which is
undoubtedly headed lower
from Mr. Immelt’s target of
$2 a share, won’t be forthcoming until next month.
And Mr. Flannery didn’t say
that the company’s dividend
payout will be spared.
Bad news brings lower
share prices, of course, and
lowering expectations is the
path to a more successful future. The stock is down more
than 30% from the recent
high set in the summer of
2016, which means there is
upside if the company can
repair itself.
In that sense, investors
who can stomach more
short-term pain have a good
opportunity in front of them.
But for now, visions of
those happy days are merely
imagination at work.
—Charley Grant
Trying to extract a pound
of flesh from critics rarely
ends well for companies.
Count pharmaceutical
company Concordia International as the latest example.
The company’s former
chief executive, Mark Thompson, sued short seller Marc
Cohodes for libel in 2016, alleging that he “has launched
a campaign to manipulate
downward the price of Concordia shares by, among other
things, criticizing Mr. Thompson.”
Well, they’re down. The
company’s stock plunged
again on Friday after the
drugmaker said it would restructure its debt. The shares
are off 98% over the past
two years.
The company probably has
bigger fish to fry than chasing short sellers, including a
proposal to reduce its debt
burden by $2 billion and a
crackdown on high drug
prices.
While the lawsuit is pending, it is safe to say that the
stock market has loudly and
clearly issued its own verdict.
The Downside of Big Profits at Google and Facebook
Google and Facebook
make too much money.
That, of course, is why
they are two of the most
valuable companies on the
planet. But as lawmakers
and regulators become concerned about the outsize
power they wield, the strong
earnings expected over the
next two weeks come at an
inconvenient time.
Analysts expect the two
combined to report more
than $33 billion in advertising revenue in the third
quarter, up 25% from the
same period last year. For
the full year, their combined
advertising revenue will
likely hit $133 billion, nearly
three times more than five
nomic growth.
U.S. government bonds
weakened, sending the 10-year
Treasury yield up to 2.381%—
the highest close since July—
from 2.323% Thursday. Yields
rise as prices fall.
The WSJ Dollar Index,
which tracks the dollar against
a basket of 16 major currencies, rose 0.6% Friday.
“The first hurdle being
passed now is positive for tax
reform, but there are quite a
lot of questions to answer,”
said Edward Park, investment
director at Brooks Macdonald.
Many investors are still unsure
23000
Email: heard@wsj.com
General Electric left its
investors unhappy once
again. At least management
seems to be getting the message this time.
Third-quarter results on
Friday were ghastly. The
company reported sales of
$33.5 billion, which topped
analyst expectations, and adjusted earnings per share of
29 cents. That profit figure
missed badly. Analysts had
expected 49 cents a share,
according to FactSet. Operating cash flow through the
first nine months was down
78% from a year earlier.
The outlook was even
worse. GE slashed full-year
profit guidance to $1.05 to
$1.10 a share, down from
earlier promises of $1.60 to
$1.70. Shares somehow
closed higher on Friday,
snapping a streak of seven
straight stock declines after
reporting earnings.
The good news for investors is that management
seems to have gotten the
message. New CEO John
Flannery called the results
“unacceptable” on a conference call with analysts and
Friday
23328.63
s2% this week
years ago. Google, a unit of
Alphabet, and Facebook
combined are expected to
control nearly two-thirds of
total digital ad spending this
year, according to eMarketer.
Such runaway growth has
raised fresh concerns about
the companies’ reach and the
dominant role they play in
modern society. Google accounts for more than 90% of
the world’s internet search
activity, according to StatCounter, while about onequarter of the world’s population checks in on Facebook
at least once a month.
High usage and advertising dominance are closely
linked, so questions about
how these platforms can be
misused to spread false or
malicious content are crucial. If users decide that the
content they are seeing on
Facebook posts or YouTube
videos is fake, they may
spend less time on those
sites. If advertisers are
afraid of being associated
with stuff they don’t like,
they could step back, too.
But if both companies’
performance stays strong
even with all the new questions swirling, lawmakers
may feel greater urgency to
step in. To start, a bill introduced Thursday would require public disclosure of
who pays for political ads on
digital networks. That alone
may not have a major im-
Click Bait
Advertising revenue per year
Google
$150 billion
Facebook
100
50
0
’10 ’11 ’12 ’13 ’14 ’15 ’16 ’17* ’18*
*Estimates
Sources: company data; FactSet
THE WALL STREET JOURNAL.
pact, but more onerous regulations could be in the offing
if lawmakers feel a greater
need to curb Big Tech’s sway.
Investors are so far acting
as if nothing has changed.
Analysts expect Facebook to
add about 42 million daily
active users in the third
quarter, roughly on par with
what the company has averaged over the previous eight
quarters. Google doesn’t report user count, but paid
clicks, which measure the
frequency of users clicking
its ads, are expected to jump
48% year over year in the
third quarter, compared with
a 33% rise in the same period last year.
Beating those numbers
will likely give the stocks of
Alphabet and Facebook an
additional lift. But that great
success now may come at a
higher cost in the future.
—Dan Gallagher
when it will be delivered and
whether it can be delivered at
all, he said.
The Stoxx Europe 600
added 0.3% following its biggest daily decline since August, echoing widespread
gains across Asian markets.
For the week, the Stoxx Europe 600 fell 0.3%.
Japan’s Nikkei Stock Average rose less than 0.1% Friday
and notched its 14th straight
day of gains. The Nikkei’s winning streak was its longest in
nearly 57 years and the index
ended Friday at its highest
since 1996.
However, Japanese equity
funds had record outflows in
the week ended Oct. 18 following a series of multiyear highs
for the Nikkei, according to
fund-tracker EPFR Global.
South Korea’s Kospi advanced 0.7% Friday to another
record close amid gains in index heavyweight Samsung
Electronics.
Money also fled Korean equity funds at the fastest clip
since 2016 this past week, according to EPFR.
WSJ.com/Heard
P&G Isn’t
Doing Itself
Any Favors
Life isn’t getting easier
for Procter & Gamble after
its extremely narrow—and
still unconfirmed—victory in
the proxy fight with activist
Nelson Peltz. Results announced Friday for the three
months through September
were weak, with organic
sales growth of just 1%. That
was driven entirely by volume growth.
Chief Executive David Taylor’s defense against Mr.
Peltz made much of the improvement in this closely
watched metric to 2% for the
year through June 2017, from
1% in the comparable period
through June 2016. That the
growth trend has fallen back
to 1% risks undermining the
argument that the existing
turnaround plan is working.
Management is sticking
with guidance of 2% to 3%
growth this year. This range
doesn’t look like a stretch:
P&G’s numbers from last
year get progressively easier
to beat. But the sales trend
makes 2% look more likely
than 3%. The stock fell 3.7%.
Management focused on
China, where quarterly sales
were up 8% year over year.
But all consumer-goods companies have reported improvements there.
The problem market is the
U.S. The company had no explanation for soft spending
in its home market. Competitors have been making experimental acquisitions to
understand the new U.S.
landscape. Unilever last year
bought Dollar Shave while
Nestlé recently bought coffee
roaster Blue Bottle. P&G has
been notably absent from
these deals. If management
can’t explain the changes in
its own market, P&G risks
giving the impression that it
is losing touch with U.S. consumer culture.
—Stephen Wilmot
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To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
Jason Gay’s
qualified ‘boo!’
to the Halloween
season’s spinechilling growth
From historian to
hagiographer:
A biography
of Arthur M.
Schlesinger Jr.
C3
C5
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POLITICS
THE WALL STREET JOURNAL.
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TECHNOLOGY
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ART
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IDEAS
Saturday/Sunday, October 21 - 22, 2017 | C1
Troubled
Waters
PHOTOGRAPHS BY VIVEK SINGH FOR THE WALL STREET JOURNAL
In the early stages of industrial growth,
India already has some of the world’s worst
environmental problems. Its heavily
polluted Yamuna River is a prime example.
BY KRISHNA POKHAREL
AND PREETIKA RANA
T
HE YAMUNA RIVER that flows through
Delhi has helped sustain some of India’s
greatest empires. Hindu poets celebrated its
life-giving properties. The Mughal dynasty
built the Taj Mahal and other monuments
along its banks.
Today, the Yamuna is a foul sludge for
much of its 855-mile run. In Delhi, it is black
and nearly motionless, covered in many areas with a foam of industrial chemicals,
floating plastic and human waste.
Every 100 milliliters of the Yamuna in Delhi contains 22 million
fecal coliform bacteria, up from 12,250 in 1988, scientists say.
Anything over 500 is unsafe for bathing, India’s government says.
The comparable standard in Vermont is 235.
Illnesses ranging from diarrhea to brain worms are reported
along the river’s edges. By the time the Yamuna exits Delhi, it is
so defiled that scientists have declared the next 300 miles “eutrophic,” or incapable of sustaining animal life.
“The fact that I cannot take my children to their own river, in
their own city, is for me a tragedy of colossal proportions,” says
Pankaj Vir Gupta, a 47-year-old architect and professor who splits
time between India and the U.S. “Right now we
don’t have a river,” he says. “We have a drain.”
For years, global environmentalists have focused on China, whose rapid industrialization
made it one of the world’s most polluted major
nations. Now it’s India’s turn.
Unlike China, which has become wealthier and is
starting to clean up, India is in the early stages of
industrial growth. It is following the same road China took to
get richer, meaning more factories and cars. Yet, it already
has some of the world’s worst environmental problems.
A government report in 2015 found that 275 of 445 rivers in India are severely polluted, including the Ganges. An international
nonprofit, WaterAid, says 70% of India’s surface water is contaminated.
Diarrhea, often caused by drinking bad water, is the fourth-leading cause
of death in India, ahead of any cancer, and kills far more people than in
China, which has a larger population.
Greenpeace says that in 2015, the average Indian was subjected to more
air pollution than the average Chinese for the first time, as China’s “sys-
‘We don’t
have a
river. We
have a
drain.’
tematic efforts” to improve air have started working. A 2016 WHO report
found that 10 out of the world’s 20 most polluted cities were in India,
based on residents’ exposure to deadly small particulate matter.
One reason India is an environmental mess at such an early stage of its development is that it has failed to master the basic services of sewage and water
treatment which some other developing nations addressed when incomes rose.
Of the over 16 billion gallons of sewage that India produces every day,
62% ends up on nearby water bodies untreated, according to the Central
Pollution Control Board, a federal pollution monitor.
Many Indian cities that built wastewater treatment systems don’t fully use
Please turn to the next page
Top: Untreated
waste flows into
the Yamuna in
Delhi.
Above: Pilgrims
collect water
and offer
prayers at the
source of the
river.
INSIDE
ESSAY
A Christian professor takes on
the enmity between
evangelicals and academics.
C4
WEEKEND CONFIDENTIAL
A famed opera singer prepares
to bring his unusual flutelike
vocal art to Broadway.
C11
CHRIS SORENSEN FOR THE WALL STREET JOURNAL (WEEKEND CONFIDENTIAL)
EVERYDAY PHYSICS
Up, up and away: How hot-air
balloons reveal the workings
of the atmosphere.
C2
BOOKS
Say cheese. Portraits of
dinosaurs over two centuries,
in two new looks at ‘paleoart.’
C9
ESSAY
Questions about prosecutorial
fairness point to serious flaws
in our criminal-justice system.
C3
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To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
C2 | Saturday/Sunday, October 21 - 22, 2017
* ***
THE WALL STREET JOURNAL.
REVIEW
India’s Environmental Nightmare
Up, Up and Away
Into the Workings
Of the Atmosphere
EVERY MORNING for nine days
in October, hundreds of hot-air
balloons join a gigantic atmospheric waltz in the clear blue
skies over New Mexico for the
Albuquerque International Balloon Fiesta. I’ve loved flying in a balloon, and
I’m so envious of the thousands of spectators
at the fiesta. It’s a beautiful celebration of
the earliest form of human flight. There’s
something about balloons that planes, helicopters and rockets have never replaced.
The startling variety of balloons in a festival like New Mexico’s hides the simplicity
that’s keeping them aloft. A hot-air balloon is
fascinating not because it’s in the sky, but
because it becomes part of it.
It’s simple to integrate a basket of humans
into the atmosphere. The nylon fabric of
each balloon is just the container for a
pocket of air that’s emptier than the atmosphere around it. As a burner heats the air
inside, the molecules speed up, which means
they push harder on their surroundings and
spread out. Some of the original air gets
squeezed out, so the space in a balloon has
perhaps 20% fewer air molecules in each cubic foot than the air outside.
These missing molecules matter—the
hot air in a medium-size balloon weighs
about 6,400 pounds, instead of the 8,000
pounds of air it would have taken the fill
the balloon while cold. The difference is
made up by the cargo of people, the fuel
and the structure of the balloon itself. The
weight of everything you see suspended
from a balloon exactly matches the weight
of the missing air from inside the balloon.
So it just blends in with the atmosphere. If
you’ve ever wondered what it would be
like to ride with the wind, this is it.
Balloons go where the air goes, and they
make the layers of the sky visible. Close to
the ground, rough terrain, trees and buildings slow the wind down, but the wind speed
increases rapidly as you rise. The bumpier
the ground, the higher you need to go to be
free of its influence—perhaps 700 feet over a
flat plain but 1,500 feet over a city. Balloonists can control their speed by choosing their
height, but they have a surprising amount of
control over direction, too. In the Northern
Hemisphere, the spin of the planet means
that winds turn to the right as you go
higher—due to what’s known in physics as
the Coriolis effect.
This and the
weather determine the
major wind direction,
and that will carry the
balloon along. But in
the slower wind
speeds nearer the
ground, the Coriolis
effect is less influential. That means that
the pilot does have a
bit of control over direction when the balloon is within 1,500
feet of the ground, because the wind near
the surface has a distinctive pattern.
As the balloon descends from higher up, it
will start to follow the lower winds that
aren’t turned to the right by the Coriolis effect. By controlling the balloon altitude, the
pilot takes advantage of these different wind
directions. These wind spirals are present all
the time, but you can’t see them directly.
And Albuquerque is a particularly good place
for a balloon festival, because the winds high
above the spiral often run in the opposite direction to the low-level winds. So by traveling in different layers of the atmosphere on
the outward and return legs, it’s possible to
launch and land in the same spot.
There are hazards. Thermals form when
dark patches of ground heat up quickly in
the sun and the warmed air above them
rises in an invisible fountain. Balloonists
avoid thermals because they make the ride
very bumpy. That’s why balloons fly in the
early morning and evening, when solar
heating is minimal.
The vast ocean of air above us is constantly on the move, invisible but dynamic. In the end, that’s what my love of
ballooning is about: It’s the closest we
ever come to seeing the atmosphere directly, being able to visualize the flow, to
see the sea of air we live in and appreciate the dance of the sky. A human in a
hot-air balloon is just joining the party.
TOMASZ WALENTA
Hot-air
balloons
help us
see the
sea of
air we
live in.
Dams left little
water in the river
to flow to Delhi.
FROM TOP: KARAN SINGH/THE WALL STREET JOURNAL; VIVEK SINGH FOR THE WALL STREET JOURNAL
EVERYDAY PHYSICS:
HELEN CZERSKI
Continued from the prior page
down factories like his are part of a “conspiracy,” he said.
them because of electricity shortages or other problems. Several
“Our industrial area is competing with China,” he said. Authoriothers haven’t built them at all.
ties “are trying to destroy us.”
On top of that, damage from India’s industrialization is accumuDinesh Jindal, a law officer with the Delhi Pollution Control
lating, just as Prime Minister Narendra Modi promotes a “Make in
Committee, a local environmental regulator tasked with the enIndia” campaign to accelerate its growth as a manufacturing nation.
forcement of the court’s order, said the agency is waiting for the
Industries India has fostered, such as leather tanneries, are heavy
government’s final decision on the matter. He said the Delhi govpolluters, while the national power grid is weighted toward coal.
ernment is studying the “socio-economic impact of the closure,
Although India has only 22 motorized vehicles per 1,000 people,
which will make some 250,000 people jobless.”
versus 118 in China and 821 in the U.S., the numbers are growing
Some 100 miles south, in the pilgrimage towns of Mathura and Vrfast. India rolled out new emission-control norms in 2010, but lax
indavan, devotees fall sick every year after sipping Yamuna water, reenforcement means many drivers continue to violate them.
ligious leaders say. The area has a special significance to Hindus, who
A senior official with the prime minister’s office said that the
believe it is where the deity of love, Krishna, and his spiritual consort
government’s growth policy wouldn’t have any harmful impact on
Radha grew up playing and drinking from the Yamuna.
the environment.
Another 35 miles downriver, in Agra, some environmentalists
The Yamuna river—which touches the lives of more than 100 milsay the absence of water in the Yamuna is causing the Taj Mahal
lion people through northern India—is a classic example of how Into sink, removing support from its foundation and causing its mindia’s unresolved poor-nation problems are combining with moderarets to tilt toward the drying banks of the river. The government
nity to create an environmental nightmare.
says it hasn’t confirmed the damage.
It begins 21,000 feet up in the Himalayas, fed by a glacier. ReliIn the past two summers, millions of mosquito-like insects called
gious devotees say it was birthed from the union of the sun and a
goeldichironomus swarmed the Taj Mahal and excreted a green
goddess of consciousness.
substance on its walls, marring their bright sheen. Manoj Kumar
Sureshwar Sinha, an 83-year-old retired Indian Navy officer,
Bhatnagar, an Archaeological Survey of India scientist looking after
said he remembers swimming in the Yamuna in Delhi as an 11the Taj Mahal, said the Yamuna’s stagnant polluted water provided
year-old in 1946. In the mid-60s, he steered a boat that capsized
a breeding ground, killing off small fish that would normally feed
on the river during a yachting regatta. “It was like a mountain
on the insects’ larvae. In addition,
stream,” he recalled.
ashes from nearby cremation See more photos, graphics
and videos on the Yamuna
Problems mounted in the 1980s. Engineers had built several dams
grounds have led to a high concenat WSJ.com/review.
on the river north of Delhi to provide drinking water for the capital
tration of phosphorus, which enand irrigation for the states of Haryana and western Uttar Pradesh.
hances the reproductive output of
Those states, India’s breadbasket, powered the 1960s “green revoluthe female, Mr. Bhatnagar says.
tion,” feeding the masses.
India doesn’t lack funds to address its worst environmental
The dams left little water in the river to flow to Delhi, whose
problems, officials say. It has already spent hundreds of millions
population growth outstripped the city’s ability to treat sewage
of dollars trying to clean the Yamuna.
and wastewater.
The problem, environmentalists and some government officials
By the 1980s, Delhi’s population had reached more than six
say, lies in a bewildering bureaucracy that has more than a dozen
million, and some 120 million gallons of untreated sewage enlocal, state and federal entities looking after the river, often with
tered the Yamuna daily, according to the Central Pollution Conlittle coordination and poor planning.
trol Board. With its freshwater depleted due to dams, wastewater
The federal government oversees the river overall, planning
started dominating the river.
its use and development. But responsibility for building and opMr. Sinha, the retired naval officer, said the Yamuna began
erating infrastructure like wastewater treatment facilities besmelling of excreta around that time. He says he went to the Cenlongs to state governments and cities that lie along its banks and
tral Water Commission, a regulatory body, and made a case for reshare its water. Often, they don’t work together.
leasing more water from dams upriver so the Yamuna could regain
Mr. Sinha, the former navy officer, petitioned India’s Supreme
some self-cleaning ability. He says he was told that using the river
Court in 1992, saying the Yamuna’s health was linked to the peofor irrigation was more important.
ple’s rights to life and liberty.
Pradeep Kumar, an officer currently
The Supreme Court ordered Haryin charge of river management at the
ana, Delhi and Uttar Pradesh to ensure
Central Water Commission, said the
at least 10 cubic meters per second of
government constructed large dams
fresh water flowed. After failing to foland canals on the Yamuna and other
low the order blaming each other for
rivers to achieve “food and energy seseveral years, the states have recently
curity” for its people. He added that
started releasing the prescribed fresh
releasing more water into the Yamuna
water, but environmentalists say it’s
from existing dams alone wouldn’t
not enough to restore the river’s health.
solve the pollution.
In 1993, the Indian government
Today, Delhi has more than 16 millaunched a Yamuna Action Plan with a
lion people. Local authorities say
Japanese government aid agency, the
about half of Delhi’s residential area
biggest effort to date to clean up the
doesn’t have sewer lines.
river. It led to the construction of more
Prime Minister Modi has unveiled
than 35 sewage treatment plants over
plans to build more toilets across the
the next two decades.
SURESHWAR SINHA has argued that the Yamuna’s
country, but areas like Anna Nagar—an
Even today, Delhi can still only
health is linked to people’s rights to life and liberty.
encampment of about 15,000 people by
treat about half of the more than one
the river near central Delhi—remain unbillion gallons of waste it produces
der-served. Many of its residents lack
daily, according to the Central Pollutoilets and defecate in the open. A drain carries
tion Control Board.
the waste directly to the Yamuna.
Activists and other critics say the plan neMeena Devi, a 43-year-old mother of four who
glected the simple task of connecting toilets to
lives there and works for a health nonprofit, says
treatment facilities with sewage lines. In other
she and other parents constantly worry about chilcases, they say, staff failed to operate the treatdren dying from diarrhea. “The same fly sitting on
ment plants properly, leaving many underutilized.
the waste comes and sits on our food,” she says.
“We thought that by just creating sewage treatOther riverside residents have suffered seiment plants, it will clean the river,” said Uma
zures caused by tapeworms three to six millimeters wide in the
Bharati, India’s former water resources minister who is currently
walls of their brains. Some doctors attribute the condition to eating
the minister for drinking water and sanitation in the federal govleafy vegetables grown near the Yamuna.
ernment of Prime Minister Modi.
R.M. Bhardwaj, a Central Pollution Control Board senior scienBut officials “didn’t bother” with who’d run the plants or what
tist, says the government hasn’t done epidemiological studies in
would happen if they didn’t have proper maintenance, she said.
Delhi to assess the river’s health impact. He agrees it is a concern.
“We have abused the faith of the people.”
The river is “a waste-flowing channel,” he says. “It requires all
Ms. Bharati said her ministry was changing the way new wastekind of caution.”
water treatment facilities would be designed and run, with federal
Environmentalists also point to the threat caused by “pickle liutilities taking responsibility for their operation. The government
quor,” a toxic fluid used to make stainless steel that is often rewould soon call a global tender to build and run newer plants, she
leased directly into the river. An Indian court has ordered dozens
said. “I want big people to come in this.”
of Delhi factories to close after the government put them on a “seMeanwhile, Mr. Sinha, the retired Indian Navy officer, continues
riously polluting industries” list.
to fight at India’s Supreme Court. He’s championing restoration of
Some of those factories, including Kalyan Steel Rolling Mill in
at least half the river’s original flow throughout its full stretch.
Delhi’s north, remain open.
Supporting his case: Infusions of freshwater from tributaries
Sumender Gupta, who runs the Kalyan mill, told visiting reportdownriver from Delhi mean the Yamuna is almost clean when it
ers his factory conforms to government pollution-control guidereaches its conclusion, merging with the Ganges 300 miles southlines and has its own effluent treatment plant. Efforts to close
east of the Taj Mahal.
A MAN BLEACHES CLOTHES on the banks of the Yamuna. The river touches the lives of more than 100 million people through northern India.
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To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 21 - 22, 2017 | C3
REVIEW
his decision-making. The
back-to-back exposés nevertheless led to questions
about his office’s integrity.
While Mr. Vance and his office insisted that charges
weren’t filed in the Trump
and Weinstein cases because
the evidence didn’t establish
guilt beyond a reasonable
doubt, critics pointed out
that Mr. Vance’s office had
regularly pursued and won
far weaker cases against far
less powerful people.
It is easy to try to tell a
story here of personal corruption, or at least of how
privately funded elections
can create the appearance of
a conflict of interest that undermines faith in the criminal-justice system.
But there is a deeper lesson in this scandal. The worrisome outcome here—that
richer (and whiter) people
don’t get prosecuted on
strong cases while poorer
(and more minority) people
get convicted on far flimsier
evidence—would plague our
system even if money played
no role in elections. The allegations embroiling the Manhattan D.A. point to
more
fundamental
problems with the incentives that prosecutors face nationwide.
Prosecutor
elections, which are unique
to the U.S. criminaljustice system, were
adopted to ensure that
prosecutors respond to
public needs. In practice, however, they are
deeply flawed. Turnout in
these often uncontested
elections is generally low,
and it tends to be concentrated in wealthier, and thus
safer, neighborhoods. These
voters don’t experience the
costs of aggressive prosecutorial decisions, but they appreciate the perceived safety
benefits they yield.
Furthermore, as Wake
Forest University law professor Ron Wright has
shown, these elections don’t
turn on broad issues of office policy, but rather on the personal experience of the prosecutor and on one or two
high-profile cases. If an incumbent prosecutor is going to face a challenger, it will be the
result of a few outlier cases that grab the
public’s attention.
Two outcomes likely scare prosecutors the
most: losing a high-profile case or being
blindsided by a Willie Horton—the convicted
murderer whose violent reoffending haunted
then-Massachusetts Gov. Michael Dukakis’s
1988 presidential campaign. In the latter scenario, the prosecutor is less aggressive than
he could have been in a routine case, only to
have that person commit a sensational crime
once released.
Mr. Vance’s decision to not charge the
Trumps, for example, didn’t arise in a vacuum.
As Jeannie Suk Gersen pointed out in the New
Yorker, the year before Mr. Vance confronted
the Trump case, he had charged Dominique
Strauss-Kahn, then-chief of the International
Monetary Fund, with attempted rape, then saw
the case collapse. Mr. Vance had just been
burned; perhaps he feared being burned so
soon again, especially with an election coming
up in 2013.
Political risk thus discourages prosecutors
from pursuing the powerful, while the Willie
Horton risk makes it dangerous not to be harsh
against little-known defendants.
These political risks are then magnified by
other structural deficiencies in our criminaljustice system that receive too little attention.
For example, charging the Trumps or Mr.
Weinstein would mean facing a well-resourced
defense team. Conversely, most defendants—
perhaps as many as 80% of those facing prison
or jail time—are represented by state-appointed lawyers. These lawyers are critically
underfunded and thus unable to defend cases
as aggressively as the Trumps’ or Mr. Weinstein’s counsel would.
Making matters worse is the underappreciated fact that for all the complaints about how
much we spend on prisons, prison costs have
no bearing on prosecutors.
In all but four states, district attorneys are
county-elected officials, while prisons are
state-funded institutions. When a prosecutor
sends someone to prison, his constituents
don’t have to pay for it directly; the costs are
shared by all of the state’s taxpayers. In fact,
in most places, the counties pay for probation—so imposing a
less-severe sentence is
counterintuitively
more expensive for
the county.
This
encourages
prosecutors to be
even more aggressive
against defendants
who are easy to convict, since doing so
imposes no costs but
avoids the risk of appearing overly lenient.
The good news is that there are steps we
can take to improve prosecutorial incentives.
Simply mobilizing those who live in high-enforcement communities to vote would be a
good start. In the longer run, we could allow
cities to elect their own prosecutors (i.e.,
Chicago, not Cook County), so that those
most affected by the prosecutor have a
louder voice.
States could also make sure that county
prosecutors are more sensitive to the costs
they impose on state prisons, either by charging them for the state prison capacity they use
or making them incarcerate people in countyfunded facilities. California has done this already in a significant way. Adequately funding
indigent defense, an issue that has recently
started to garner bipartisan support, could
also help reduce these disparities.
Criminal justice reformers rightly stress
that crimes are often driven by social and environmental pressures. This same perspective,
however, is needed when thinking about failures on the enforcement side as well. Too few
proposals address these defects in institutional
design. The recent revelations about the Manhattan district attorney provide an opportunity
to consider the incentives prosecutors face and
what we should do to change them.
BRIAN STAUFFER
Politics
discourage
D.A.s from
pursuing the
powerful.
The Case Against
The Prosecution
A New York scandal shows
how perverse incentives harm
the criminal-justice system
BY JOHN PFAFF
MANHATTAN DISTRICT ATTORNEY Cyrus
Vance Jr. has had a difficult few weeks. Earlier this month, ProPublica, WNYC and the
New Yorker revealed that he overruled his
staff and declined in 2012 to file criminal
charges against Ivanka Trump and Donald
Trump Jr. over allegations that they had misled investors in the Trump SoHo building. Mr.
Vance also faced renewed criticism over his
decision not to prosecute Harvey Weinstein
in 2015 for sexual assault despite recorded
evidence from an alleged victim.
Mr. Vance had received tens of thousands of
dollars in campaign donations from a lawyer
for Mr. Weinstein and from the elder Donald
Trump’s personal lawyer in the months before
he declined to prosecute, and money after as
well. Since then, it has also been reported that
his campaign has received tens of thousands
from the law firm representing New York
Mayor Bill de Blasio, despite an investigation
by Mr. Vance’s office into the fundraising of
Mr. de Blasio and his aides. Mr. Vance declined
in March to bring charges in that case.
Mr. Vance has since returned the donations
from Mr. Trump’s lawyer, put a halt on all
new donations until the conclusion of an independent investigation into his campaign
funds, and has repeatedly stressed that the
donations were routine and had no impact on
Dr. Pfaff is a professor at Fordham Law
School and author of “Locked In: The True
Causes of Mass Incarceration—and How to
Achieve Real Reform” (Basic).
THE CREEP OF HALLOWEEN MANIA
HALLOWEEN is still days away, but I feel like
I’ve been celebrating it since mid-April. I have
a pair of children, ages 2 and 4, and for them,
Halloween is basically the Super Bowl meets
New Year’s Eve meets Thomas the Tank Engine’s birthday. They’re out of their minds, especially on the topic of costumes—a maddening cycle of selections, reconsiderations and
switcheroos. In recent weeks, the 4-year-old
has evolved from wanting to be a dragon, to a
dinosaur, to a vampire dragon, to a fireman, to
an EMT, to a lizard, maybe a piranha, and now
back to a vampire dragon. His costume frenzy
is impossible to keep up with. It’s like I’m
working backstage at an Elton John concert.
When did Halloween turn into a monthslong
extravaganza? I swear: My excitable neighbor
has had a 3-foot spider with cobwebs dangling
outside his house since Memorial Day 2013.
Once scary and hairy, the spider is rotting and
bleached, like a sad volleyball left too long in
the sun. The grocery stores have been selling
Halloween candy since Easter; thank goodness
lollipops and Tootsie Rolls don’t expire until
the year 8000. (You could find a Tootsie Roll
from World War I and devour it without fear.)
Americans’ Halloween spending is expected to
reach a record $9.1 billion this year, according
to the National Retail Federation, up from $8.4
billion last year. Every retailer on the planet
now has a side racket as a costume superstore—don’t dare try to buy aspirin with your
kids in tow, unless you’re prepared to spend 45
minutes trying on scary witch masks and pressing the buttons on howling plastic gravestones.
ISTOCK
BY JASON GAY
Don’t get me started on pumpkins. I will
probably have chronic back pain for the rest
of my life from lugging pumpkins. Pumpkins
are the devil’s gourd.
Yes: I’m dressing up as a grump for Halloween.
As a parent with young kids, I know it’s unavoidable. There will come a day when they
will be old and responsible enough to go to the
grocery store, buy shaving cream and eggs and
celebrate Halloween with their friends, but for
the next decade, I’m going to be right in the
thick of it.
And yet Halloween is also a menace in the
adult world. There are costume parties and office competitions with loads of adult peer
pressure. You don’t want to be the sourpuss
who shows up at the adult costume party
without a costume. You can’t just show up as
yourself and say, “I dressed up as Jeff!”
Everybody who put effort into a costume
hates that guy. Don’t be Jeff.
There’s also the neighborhood pressure to
decorate. It doesn’t matter if your children
have long left the house—you have to show a
little Halloween effort. Only the truly evil draw
the shades, sit in the dark and ignore the doorbell. Even Dracula’s like, I guess I should go
buy candy and some crap for the windows.
Oh right: candy for trick-or-treaters. When
I was a child, I had grand ambitions: I’m going
to be the guy in the neighborhood who gives
out GIANT-SIZE candy bars. To be clear: I
don’t mean regular-size bars, I mean the GIANT-SIZE ones, the size of iPads. I would hand
out giant-size candy bars and be a rock star, a
kindhearted legend whom kids would talk
about the rest of the year.
Then I went to the store and priced out how
much it would cost to buy GIANT-SIZE candy
bars for all the neighborhood trick-or-treaters.
Basically, it costs the same as vacation in Hawaii.
So kids are getting mini Kit-Kats. Tough.
They should be grateful. My wife wants to
give them quinoa.
I really sound like a crabapple. I should knock
it off. Halloween’s not so bad. You should see
our neighborhood on Oct. 31: It’s like a Norman
Rockwell fever dream. There’s an adorable Halloween parade with six bazillion kids; there’s
blocks upon blocks of trick-or-treating; there are
homemade haunted houses; there’s a spooky
dance party on the street with Michael Jackson’s
“Thriller” rattling orange leaves off the trees.
And just when you think you’ve had enough,
there are kind parents who recognize the exhausted look in your eyes and slip you a plastic
skeleton cup…filled with beer.
Nights like this are really what parenthood is
all about, right? Halloween can be overwhelming
at times, but for my children, it means pure joy.
It also means two big bags of hard-earned
candy…for Dad, as soon as they fall asleep.
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THE WALL STREET JOURNAL.
REVIEW
WORD ON
THE STREET:
BEN ZIMMER
SHOUT
Stars Collide,
Give a Boost
To ‘Kilonova’
“You think I hate fundamentalists (or transsexuals)? Fine. You’re right. I do.”
Many years ago C.S. Lewis gave a talk to
university students called “The Inner Ring.” In
it he said, “I believe that in all men’s lives at
certain periods, and in many men’s lives at all
periods between infancy and extreme old age,
one of the most dominant elements is the desire to be inside the local Ring and the terror
of being left outside.” The era of social media
has amply confirmed Lewis’s argument and has
taught us that the most effective way to stay
“inside the local Ring” is to police its boundaries and thrust others outside.
Most of us like to think of ourselves as shining exceptions to this impulse to exclude. And
maybe a few of us are. But even the great psychologist Daniel Kahneman, who has spent half
a century studying cognitive biases and errors,
scientists Shanto Iyengar and Sean J. Westwood concedes that his research has done very little to
indicate that, in terms of social belonging, “out- rescue him from those biases and errors—that’s
group animosity is more consequential than fa- how deeply embedded in our brains they are.
voritism for the ingroup.” That is, it’s more im- They can only be overcome with great effort.
portant to hate the RCO than to affirm and
In the face of today’s bitter cultural and politsupport the people who agree with you. How do ical divisions, that effort must include finding
I know you’re One of Us? Because you hate the ways to get to know people whom we never enright people.
counter naturally in our daily lives. That ought
Many academics would be surprised, I think, to be a prime function of social media, but too
to discover how many evangelical Christians are many of us, alas, can’t resist the urge to make
political moderates or simply
our social media selves are our
apolitical and how much they
worst selves.
do to help the poor and needy
So the path before us, if we
in their communities with no
wish to understand our neighspiritual strings attached. Simbors better and have more
ilarly, many evangelicals would
compassion for them, is not
be surprised to learn how hard
obvious. But there is a first
many academics work, whatstep that all of us can take in
ever their political views (and
resisting the hold of our Inner
many of them are apolitical
Rings and the reflex to push
also), to be fair to all their stuaway our “repugnant cultural
dents, regardless of the stuothers.”
dents’ beliefs, and how much
Some years ago the entrethey worry about not being as
preneur Jason Fried wrote of
fair as they should be.
attending a lecture and not likC.S. LEWIS talked about
Are there academics whose
ing what he heard. With every
‘the terror of being left
professed commitment to
passing minute his disagreeoutside.’
fairness masks deep prejudice
ments piled up, and as soon as
and hostility toward social or
he could talk to the speaker he
political conservatism? Inrushed in with his refutation.
deed. Might there be evangeliThe speaker listened to him for
cals whose professed commita little while and then said,
ment to charity masks a
“Man, give it five minutes.”
selfish desire to control the
Mr. Fried was stopped in
means of generosity? No
his tracks—and then so taken
doubt. But these are human
by the speaker’s request that
frailties, not the property of
he adopted “Give it five minany group. As the writer Kathutes” as a kind of personal
erine Anne Porter was fond of
watchword. It ought to be one
saying, “There is no such
for the rest of us too. But bething as an unmixed motive.”
fore that can happen, we need to reflect on the
All of us have good impulses and bad, and ways that our informational habits—the means
even with a lifetime of self-scrutiny we can (mostly online) by which we acquire and pass
scarcely understand our own motives, much less on and respond to information—strongly disthose of others. But because of the pressures to courage us from taking even that much time.
hate the right people, each group continues to
Am I exaggerating the problem or just casting
insist that the other group is moved by some- easy blame on social media? Could be. Maybe
thing deeply impure—insists, that is, that there you’re confident that you’re not driven by the
is a strong correlation between someone’s polit- desire to belong to the Inner Ring, that you are
ical positions and their basic decency.
indeed that shining exception. That too could be.
Given this distressing state of affairs, and But before you dismiss the possibility, why don’t
given the world of social media, it becomes you just give it five minutes? You have nothing
easy to cherry-pick tweets and posts and sto- to lose but your RCO.
ries that confirm one’s belief in the nastiness
of the outgroup while ignoring anything that
points in the other direction. And when we are Dr. Jacobs teaches in the honors program at
confronted—as often happens on social me- Baylor University. This essay is adapted from
dia—with denunciations from people who can his new book, “How to Think: A Survival
speak to us without knowing us, it becomes Guide for a World At Odds,” published by
tempting to give up on self-defense and say, Currency.
Can Evangelicals
And Academics
Talk to Each Other?
BY ALAN JACOBS
LAST YEAR, as the fire and fury of the presidential election were intensifying and people all
around me were growing more and more hostile
to one another, I was struck by the familiarity of
the situation. For all my adult life, I’ve been
dealing with the kinds of hostilities and misunderstandings that now dominate American politics, because I belong to two very different and
mutually suspicious groups. I am an academic,
but I am also an evangelical Christian.
When I hear academics talk about Christians,
I typically think, “That’s not quite right. I don’t
believe you understand the people you think
you’re disagreeing with.” And when I listen to
Christians talk about academics, I have precisely
the same reaction.
I have spent decades trying to figure out how
these pervasive misunderstandings arise and
looking for ways to correct them. But they are
very hard to combat, because academics and
Christians (like the rest of us) treasure their enmities. And where your treasure is, there will
your heart be also.
Thirty years ago, when the anthropologist
Susan Friend Harding began doing field research on American fundamentalist Christianity—resulting, eventually, in her remarkable
book, “The Book of Jerry Falwell: Fundamentalist Language and Politics”—she discovered
that her colleagues were deeply suspicious of
her interests. Why would someone want to investigate such weird and obviously unpleasant
people? “In effect,” Dr. Harding wrote in an essay about her experience, “I am perpetually
asked: Are you now or have you ever been a
born-again Christian?”—an echo of the question posed to hundreds of suspected communists by the House Un-American Activities
Committee in the 1950s.
But, Dr. Harding wondered, aren’t anthropologists supposed to be interested in cultural
structures and practices that are different
from their own? Why would they be repelled
by the idea of studying such differences right
next door, among people who vote in the same
elections they do? The title of her essay is
“Representing Fundamentalism: The Problem
of the Repugnant Cultural Other,” and the
phrase “repugnant cultural other” (RCO)
neatly describes one of the most common impediments to thinking rationally about those
with whom we disagree.
For many academics, evangelical Christians
are the RCO; for many evangelical Christians, academics play that role. And having an RCO is
one of the best ways to form and maintain
group identity. Recent research by the political
EVERETT COLLECTION
A Christian professor on how to correct the pervasive
misunderstandings between the two groups
Before
disagreeing,
take five
minutes to
reflect.
A LONG TIME AGO in a galaxy far,
far away, two neutron stars—the
dense remainders of dead stars—
collided with cataclysmic force.
The resulting explosion, 130 million light years distant, sent out
gravitational waves so powerful
that their ripples could be detected by astronomers on Earth,
who picked up signals of a neverbefore-seen cosmic event. And this
newly observed phenomenon popularized an addition to the scientific lexicon: “kilonova.”
At a series of news conferences
earlier this week, teams of astronomers reported their findings with
great fanfare. The explosion
dubbed a “kilonova” had long been
theorized, but now it could finally
be verified by a globe-spanning
network of gravitational-wave observatories, along with more traditional telescopes monitoring the
electromagnetic spectrum.
The term “kilonova” was not
entirely new: A team led by Columbia astrophysicist Brian
Metzger introduced the term in a
2010 paper. The article calculated
how much energy the merger of
neutron stars would generate, determining that it would emit about
a thousand times the energy of a
run-of-the-mill “nova.”
Mr. Metzger told me that the
initial inspiration came when another astronomer on his team, Eliot Quataert of the University of
California, Berkeley, gave a colloquium at Stanford University in
2010 presenting some of their
findings. A Stanford colleague,
Vahé Petrosian, suggested that “kilonova,” using the prefix “kilo-”
meaning “1,000” (as in metric
units like “kilogram” or “kilometer”) would be an apt name.
“Nova,” Latin for “new,” has
long been used for a celestial
event that suddenly brightens the
night sky before slowly fading
away. The Danish astronomer Tycho Brahe described such an
event in a 1573 work called “De
nova stella”—“On the New
Star”—though what he was wit-
A neverbefore-seen
cosmic event.
nessing was really the death
throes of an old star. In an 1833
article on the interstellar clouds
known as nebulae, William Herschel wrote that if a nebula had
not been previously observed, “it
is designated as Nova.”
A century later, in 1933, Walter
Baade and Fritz Zwicky presented
a paper at Stanford on something
they called a “supernova,” the
high-energy blast that ends a
star’s life, leaving only a neutron
star behind. Astronomers would
later coin even more explosive
terms, like “hypernova” for an
event about 10 times as energetic
as a supernova.
The explosion from colliding
neutron stars is a bit more modest
than a supernova. In fact, one
early nomenclatural suggestion
was “mini-supernova.” This oxymoronic term was declared “etymologically indefensible” in a
2005 paper by Caltech astronomer
Shrinivas Kulkarni, who instead
proposed “macronova.” Mr.
Metzger preferred “kilonova” for
its metric precision, and indeed,
the latest discovery displayed the
thousandfold brightness that he
and his team predicted.
For now, “macronova” and “kilonova” are still jockeying for supremacy in the scientific literature, but the astronomers at this
week’s news conferences showed a
clear preference for “kilonova.”
University of California, Santa Barbara astronomer Andy Howell told
me that he thinks “macronova” is
inferior because it “doesn’t instantly communicate meaning.” “I
don’t know how to put my finger
on it, but ‘kilonova’ just sounds
more interesting,” he added.
Answers
to the News Quiz on page C13:
1.A, 2.B, 3.C, 4.B, 5.A, 6.D, 7.D,
8.C
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BOOKS
THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | C5
Founding Brothers
The remarkable relationship of the two patriots whose views defined—and divided—the new nation
Friends Divided
By Gordon S. Wood
Penguin Press, 502 pages, $35
JOHN ADAMS and Thomas Jefferson famously died on the same day,
July 4, 1826, the 50th anniversary of
the Declaration of Independence. The
timing struck Americans as providential, for Adams had led the push
for independence in the Continental
Congress, and Jefferson drafted the
inspirational document that justified
the decision.
But, as Gordon S. Wood vividly
conveys in “Friends Divided,” the two
men were stark contrasts in almost
every way. Tall and lanky, Jefferson
towered over the short and stout
Adams. Outwardly serene, gregarious
and gracious, Jefferson made friends
more easily than did the cranky, excitable and acerbic Adams. Jefferson
sought to ingratiate, Adams to provoke. Where Jefferson flattered the
American people as the best on earth,
Adams warned them to beware of
their passions, greed and conceit.
Jefferson told them what they longed
to hear, while Adams conveyed unpalatable truths. Adams clung to a secularized vision of the original sin that
taints all humanity, according to the
Calvinist sermons of his youth. Jefferson instead embraced an Enlightenment creed that regarded humanity
as potentially perfectible if freed from
too much government. Jefferson
sought, with remarkable success, to
know something about everything,
while Adams focused his reading and
writing on political theory.
They came from divergent backgrounds in radically different colonies
belonging to the British Empire. Born
into a farming family of middling
means and conventional piety, Adams
grew up in Massachusetts, a domain
of relative equality, where leading
men feared pressure from the common farmers below, because the
social distance was so short. Jefferson, however, inherited wealth and
prestige in Virginia, the richest and
most unequal colony on the mainland
of North America: a domain of a few
grandees, a paltry middle class, many
poor whites and thousands of enslaved African Americans. Born into
the master class, Jefferson could
champion the political aspirations of
common folk, for he felt secure that
they would never challenge his superiority. Adams boasted that he never
possessed a slave; Jefferson owned
hundreds during his lifetime.
Driven by ambition and self-doubt,
GETTY IMAGES; BRIDGEMAN IMAGES
BY ALAN TAYLOR
DIVERGENT LEGACIES Adams and Jefferson were colleagues in the Continental Congress but then took opposite sides in early American politics.
Adams longed to become the leading
lawyer in Massachusetts and statesman in America. He needed more
applause than even his considerable
talents could win, so he wallowed in
self-abuse and self-pity in private diaries and letters. “No other Founder,”
Mr. Wood remarks, “could paint in
prose such colorful and pungent
pictures of individuals as Adams”—
especially Adams writing about
Adams.
Instead of confiding to a diary,
Jefferson recorded everything he
could measure: population, weather,
expenditures and the births and
deaths of his human property. Jefferson carefully courted public esteem
by withholding his private sentiments
and self-doubts—if he had any, which
Mr. Wood doubts. Adams could never
mask his contempt for almost every
other politician, while Jefferson
dreaded contention and cultivated
equanimity. While smiling to the public faces of all men, Jefferson savaged
rivals in private letters and political
intrigues, which led foes to suspect
duplicity.
Modern citizens and politicians
prefer Jefferson’s flattery to Adams’s
criticism. Adams, however, has become the not-so-guilty pleasure of
historians, who delight in his voluminous and vivid paper trail. Who can
resist a source so garrulous, blunt,
opinionated and provocative? He
seems to offer the hidden truths
coveted by scholars, who doubt surface appearances and pieties.
In this lucid and learned dual biography, Mr. Wood asks: “These two
men were so different from each
other. How could they ever have
become friends?” They met at the
Second Continental Congress, which
convened in Philadelphia in May 1775,
a few weeks after war had erupted
between Patriot militiamen and
British regulars. Thirty-nine-yearsold, Adams was the older, veteran
lawyer, writer and politician. Needing
Virginia’s support in Congress, Adams
cultivated the younger man (then 32),
treating him as a promising protégé.
Busy with committee work to manage
the war effort, Adams encouraged
Jefferson to draft the Declaration.
At the time, Jefferson felt frustrated because that duty marginalized
him from framing a state constitution
for Virginia. In the short term, Adams
succeeded where Jefferson failed,
drafting the constitution for Massachusetts in 1779-80. Featuring a bicameral legislature with a strong
governor, that state’s constitution
influenced the subsequent Federal
Constitution adopted in 1787-88.
Thereafter, Adams became obsessed with vindicating the conservative principles of most American con-
life term, to hold the balance of
power between a democratic lower
house and an elitist senate. While
Jefferson won renown for declaring
all men as created equal, Adams became notorious for announcing, early
and often, that all men were unequal,
both naturally and socially.
Their friendship flourished during
the mid-1780s, when both men served
as American diplomats in Europe and
exchanged warm sentiments and
happy visits. But their affection
eroded during the 1790s, after they
had returned to the United States and
taken opposite sides in the nation’s
politics. During that decade, politics
polarized between the nation-building
Federalists and hostile Republicans,
who promoted states’ rights and a
more democratic vision of governance—albeit only for white men.
During that decade, Adams’s political fortunes ran on the fumes of former accomplishments, while Jefferson
claimed the future. Early in the 1790s,
Adams had little influence as vice
president in the Federalist administration of the formidable and frosty
President Washington. Meanwhile,
Jefferson shrewdly built influence by
leading the Republicans, who accused
Please turn to page C7
Jefferson the idealist and
Adams the realist offered
contrasting political visions
that are relevant even today.
stitutions, writing long and turgid
defenses. “Infatuated with the English
constitution,” Adams favored elements of monarchy in the executive
and of aristocracy in the senate. Few
readers appreciated the subtlety of
his too-subtle analysis. Adams despised the wealthy and wellborn of
America as selfish and exploitative,
but he insisted that their persistent
power could never be wished away, as
democracy falsely promised. Instead,
he sought to channel that power
overtly into a single house of the legislature, lest it covertly dominate the
entire system. Adams also wanted an
executive, with a complete veto and a
From Historian to Hagiographer
By Richard Aldous
Norton, 486 pages, $29.95
BY JOSEPH EPSTEIN
THE JOURNALIST Murray Kempton
said that intellectual contentment in
America resides in not giving a damn
about Harvard. I attained that blessed
state many years ago, though it is
more easily attainable now that Harvard, like all but the scientific universities in the country, has committed
intellectual hara-kiri through multiculturalism, political correctness and
the general surrender to victimology.
But during its power days, which
lasted for better than a century, Harvard was more than merely, what it is
today, a good brand.
I had a friend, now deceased, who,
with no discernible talent, upon leaving Harvard worked, all at high levels,
on news magazines, in newspaper
editing, in publishing, for the State
Department and at an academic deanship, ending his days in a cushy job
with a powerful foundation. He improved none of these institutions in
any way I could determine, which did
not stop his relentless progress in the
world. I used to joke that he was on
the short list for the premiership of
India. But the true secret of his success was Harvard, the cachet and the
connections it gave him.
In “Schlesinger: The Imperial Histo-
rian” Richard Aldous frequently notes
the services that a Harvard connection
afforded Arthur M. Schlesinger Jr. His
first advantage was being the son of
Arthur M. Schlesinger Sr., who was on
the Harvard history faculty and, along
with being an historian of originality,
was a clever academic politician. Harvard, as they say, was there for Arthur
Schlesinger Jr. through the first 50
years of his life. He was at Harvard as
an undergraduate; after graduation he
became first a Harvard Henry Fellow
at Peterhouse College, Cambridge,
then a member of Harvard’s Society of
assistant and speechwriter, which his
father, correctly as it turns out,
thought a grave mistake.
Not that Arthur M. Schlesinger Jr.
was without talent. His undergraduate
thesis, on the publicist and Transcendentalist Orestes A. Brownson, was
published in 1939 when he was 21.
son’s Pulitzer as “another instance of
Arthur Jr. living on the inside track, a
placement that had served him well
throughout his rise to national prominence, so often giving him a head start
in an always competitive race.”
Few young men could have
seemed more promising than the
When Schlesinger gave up
his Harvard job to work
with Kennedy, his father
thought it a grave mistake.
Fellows, which allowed students
thought to be promising the freedom
to pursue their own intellectual projects without the burdens of teaching.
During the better part of World War II,
through his Harvard connections, he
found interesting work in the Office of
War Information; and when the war
was over, there was Harvard, arms
flung open, offering him a job in its
history department. The only falling
out between Arthur M. Schlesinger Jr.
and his father came when Arthur gave
up his Harvard job to stay on in the
Kennedy administration as a special
NYT GEORGE TAMES/THE NEW YORK TIMES
Schlesinger
ALL THE WAY WITH JFK Arthur M. Schlesinger Jr. in 1965.
The book was reviewed in the New
York Times by Henry Steele Commager, who called it “masterly.”
Schlesinger’s next book, “The Age of
Jackson,” published in 1945, sold
90,000 copies its first year in print and
won a Pulitzer Prize. Mr. Aldous underscores the elder Schlesinger’s subtle behind-the-scenes influence on his
younger Schlesinger, until he met a
Waterloo named the Kennedys. Once
that fatal encounter occurred,
Schlesinger went from boundlessly
promising brilliant historian—with
three volumes of an anticipated five
of his never-finished Franklin Delano
Roosevelt biography already completed—to a man variously called “a
servant,” “a stooge,” a “poodle” and
“a hagiographer.”
During World War II, with its
rationing and shortages of gasoline, a
popular poster asked, “Is This Trip
Necessary?” The same question might
be asked of this biography. Is its subject worthy of the full-dress biographical effort Mr. Aldous, a professor of
history at Bard College, gives him? No
one would claim great-man status for
Arthur M. Schlesinger Jr. Besides,
since his death in 2007, selections
from his letters and diary have been
published, and during his lifetime he
published an autobiography, “A Life in
the 20th Century,” of more than 500
pages on the first four decades of his
life. Necessary or no, Mr. Aldous’s biography is full of interest, not least on
the subject of the relation of intellectuals to power.
As a biographer, Mr. Aldous’s prose
is cool and even-handed, though from
time to time he lapses into such overworked and imprecise vogue words as
“charismatic,” “optics,” “take” (for
“view”) and the invariably hyperbolic
“seminal.” His own politics, pleasing to
report, do not come into play, and at
the end of his book one doesn’t know
what they might be. He is properly
critical of his subject’s self-justifications and no less properly skeptical
about the putative integrity of politicians.
The one passage I wish Mr. Aldous
had not included in his biography
appears in his closing pages, when he
Please turn to page C6
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THE WALL STREET JOURNAL.
BOOKS
‘Nothing can be so deceiving as a photograph.’ —Franz Kafka
The Ghosts in the Machine
came famous for his eponymous code,
Samuel Morse was a painter-turnedphotographer inspired by daguerreotyping: when vaporized mercury is
used to coax an image from silverplated copper. The technique’s inventor, Louis-Jacques-Mandé Daguerre,
was initially unconvinced it could be
used for portraiture. Morse proved
him wrong and launched the portrait
photography industry—“an indelible
part of American culture,” Mr. Manseau writes, superseded only recently
by the birth of the selfie.
Mr. Manseau’s story expands
when several of Morse’s pupils venture out onto their own, each eager
to make his name in a burgeoning
and increasingly crowded field. As
mediums channeled dead Union and
The Apparitionists
By Peter Manseau
Houghton Mifflin Harcourt, 335 pages, $27
BY KAREN ABBOTT
Spirit photography gave
solace to many still
mourning loved ones lost
in the recent Civil War.
HOUGHTON MIFFLIN HARCOURT
A PHOTOGRAPH might steal your
soul, as the old adage goes, but spirit
photography—a 19th-century phenomenon vividly explored in Peter
Manseau’s “The Apparitionists”—
promised an inverse, and otherworldly, experience. Step into the
studio of a spirit photographer, sit
absolutely still for one full minute,
wait for the light and chemicals to
perform their mysterious alchemy,
and voila! There, hovering in the
picture’s background, is the ghostly
visage of your dearly departed
mother or spouse or child, resurrected long enough to imprint their
souls for a cherished keepsake. When
Mary Todd Lincoln visited a spirit
photographer in 1872, President
Lincoln himself appeared behind her,
faint but fully intact, his spidery
fingers curved over her shoulders.
As Mr. Manseau tells it, spirit photography was a natural outgrowth of
two transformative events: the American Civil War and the rise of Spiritualism, the belief that the dead are
able to communicate with the living.
Derived from the writings and philosophy of Swedish theologian Emanuel
Swedenborg, Spiritualism captured
the country’s imagination in March
1848, when Kate and Margaret Fox,
two sisters from Hydesville, N.Y.,
announced they had made contact
with the ghost of their home’s former
occupant. Word of their “rapping”
technique spread. A spate of séances
followed. Mediums prospered, channeling the thoughts and voices of
restless souls. The movement surged
in the traumatic aftermath of the Civil
War: 620,000 dead and a nation of
mourners, often left without a body
to collect and a grave to visit. Spirit
photography offered solace, and the
tantalizing notion that, as Mr. Manseau writes, the dead “remain in this
world, even if only as a shadow.”
The innovator of this practice, and
Mr. Manseau’s main protagonist, was
William H. Mumler, a Boston-based
engraver and inventor who initially
dabbled in photography as a weekend
pastime. After falling in love with a
SILVER AND GOSSAMER Photograph of an unidentified woman with a
female ‘spirit’ by William H. Mumler, ca. 1862-75.
photographer, Hannah Green Stuart,
who claimed to be a clairvoyant,
Mumler—neither a Spiritualist nor a
believer in paranormal communications—began to reconsider his views.
As he later claimed, his conversion
was cemented one day when he took
a photograph of himself for practice.
As he watched the negative develop,
he noticed “a girl made of light”
sitting in a nearby chair, and recognized her as a young cousin who’d
passed away years before. The story
made national news. Mumler married
Stuart, set up shop in her studio and
cultivated a bustling roster of clients.
It was October 1864, and the war was
still on.
Mumler’s notoriety, and the growing suspicions of his detractors, is the
scaffolding of Mr. Manseau’s entertaining and ambitious narrative, but
several supporting characters add
heft and context, elevating “The
Apparitionists” from an engaging
biography of a huckster to a portrait
of America during arguably its most
formative years. Long before he be-
Confederate soldiers alike, spurring
concern on both sides that military
secrets were being conveyed from
beyond the grave, Mathew Brady
obtained permission from Northern
officials to follow the Union Army.
But Brady stayed behind to operate
his portrait studio, sending his employee (and fellow Morse protégé)
Alexander Gardner in his stead.
Gardner captured indelible images of
bloodied battlefields that are still
lauded today—the majority of them
credited to his boss, an arrangement
that eventually ruptured their partnership. Theirs wasn’t the only
rivalry; every photographer in the
country, whether stalking soldiers or
conjuring apparitions, schemed to
outwit the competition. These protopaparazzi pioneered the notion that
nothing and no one was off limits, as
long as the hard-won image proved
memorable and, most important,
profitable.
Mr. Manseau incorporates these
prescient hints of the future as deftly
as he invokes the past. Brady’s 1861
photograph of Mary Todd Lincoln was
perhaps the first example of Photoshop: “After developing the image,”
Mr. Manseau writes, “he instructed
his artists to paint over the back of
her dress, removing several inches
from her waistline.” Gardner did him
one better, posing soldiers’ corpses
the same way that others posed society matrons, tilting a chin or curving
a hand, and adding detailed, melancholy captions imagining the subject’s
final moments. But the era’s undisputed champion of “fake news” was
P.T. Barnum, proponent of “puffery”
(the predecessor, perhaps, to Stephen
Colbert’s “truthiness”?) and proprietor of the American Museum in New
York, which proudly displayed a collection of Mumler’s spirit images.
Mr. Manseau develops these
threads so that “The Apparitionists”
itself is like a photograph—each successive chapter adding depth and
shade and specks of mystery, until the
final result magically appears, provoking as many questions as it provides answers. How do you reconcile
rapidly advancing technology with the
fixed nature of belief? Why do we so
often prefer fiction to fact, even when
we’re aware of the ruse? “Might it not
be said,” Mr. Manseau reasons, “that
every photograph of a living person
will eventually become a picture of
the dead?”
Despite repeated efforts by contemporary skeptics and professional
investigators, no one was able to
discover Mumler’s tricks or explain
away his results. The photographer’s
genius lay in his exceptional control
of chemical reactions and ability to
manipulate the printing of images
from one surface to another. His technique, later called the “Mumler process,” was based firmly in science, but
dependent upon a paying public’s
sentimental belief in the supernatural.
When Mumler was arrested on
charges of fraud and forced to stand
trial, even the judge acknowledged
that the facts failed to discredit
Mumler’s brilliant and, one could
argue, empathetic endeavor. The legal
acquittal was, perhaps, as much a
victory for the zeitgeist as for the
photographer. Honoring the illusions
of the bereaved, and the commemoration of the dead, justified a willful
suspension of disbelief—and was
worth any price Mumler wished to
command.
Ms. Abbott is the author, most
recently, of “Liar, Temptress,
Soldier, Spy: Four Women
Undercover in the Civil War.”
Arthur Schlesinger, Imperial Historian
Continued from page C5
seems to take Schlesinger at his own
valuation and writes: “He identified as
part of an older tradition of historianparticipants stretching back to Thucydides and including the likes of Guicciardini and Machiavelli, Bacon and
Raleigh, Macaulay, Tocqueville and
Guizot, Henry Adams and, of course,
his own relative George Bancroft.” To
compare Arthur M. Schlesinger Jr. to
such men is to liken Pepsi to Dom Pérignon. In fact, one of the themes playing through Mr. Aldous’s biography is
how little influence Schlesinger had
during the three years of the Kennedy
presidency.
Schlesinger was, like his father, a
rock-solid liberal, a small- and large-D
democrat, a member of the Americans
for Democratic Action, an unstinting
admirer of FDR. At the center of his
books on Andrew Jackson and Roosevelt is an unrelenting condemnation of
big business, which derived, as he
notes in his autobiography, from the
1930s, when he acquired, in his words,
“a profound impression of the political
shortsightedness and stupidity (as well
as the greed) of American business
leadership.” He was also always and
honorably anticommunist and later in
life wrote a strong book, “The Disuniting of America: Reflections on a Multicultural Society,” attacking what he
took to be the intellectual catastrophe
of multiculturalism.
One impressive revelation of “The
Imperial Historian” is how reluctant a
liberal John F. Kennedy was during his
brief presidency. His administration—
hesitant on civil rights, negligible on
poverty, mildly aggressive in foreign
policy, including involving us in Vietnam—had none of the earmarks of
traditional liberalism. In taking his
White House job, Schlesinger saw it as
his duty to steer Kennedy onto a
liberal track and keep him there. His
success at the task, we learn from Mr.
Aldous, was slightly less than minimal.
Active in both of Adlai Stevenson’s losing presidential campaigns,
Schlesinger was at first put off by
what he judged to be Kennedy’s deviousness and ruthlessness. The
closeness of the Kennedy family to
Sen. Joseph McCarthy, for whom
Bobby Kennedy worked, did not
make him any more attractive. “I
believe him to be a liberal, but committed by a sense of history rather
than consecrated by inner conviction,” Schlesinger noted of JFK in his
diary. He nevertheless abandoned
Stevenson, with whom he had a genuine friendship, for Kennedy in 1960.
Mr. Aldous records that Kennedy
tentatively offered Schlesinger an
ambassadorship, a place in the State
Department, or the job of special
assistant. He took the last. The best
explanation for his wanting to work
for a politician at all is that he
liked the action. Truth is, he
didn’t see all that much. He attempted to talk Kennedy out of
the Bay of Pigs fiasco in Cuba,
but, as we know, without success.
He was on the sidelines during the
Cuban Missile Crisis, when, in the
words of Kennedy’s press secretary
Pierre Salinger, his “official role
was that of White House liaison
with United Nations Ambassador
Adlai Stevenson.” His attempt to
dissuade Kennedy from appointing
John McCone head of the CIA also
came to naught. Schlesinger had,
Mr. Aldous notes, “regular and privileged access to the president,” but
this never resulted in substantive
results. Kennedy liked Schlesinger,
enjoyed schmoozing with him about
historical parallels to his own presidency, but, as Bobby Kennedy remarked, JFK “thought he was a little bit of a nut sometimes.”
“The Imperial Historian” is especially good on the inner conflicts of
presidential politics. Schlesinger was a
facile writer; he could get up a 15-page
position paper for the president in half
a day. He could turn out, or tune up, a
speech as quickly as anyone in the
dubious business of political ghostwriting. During his years in the White
House, this skill was curtailed by Ted
Sorensen, who in his rivalrous relations with Schlesinger asked not what
he could do for his country, but what
he could do to advance himself.
Schlesinger was pushed further out of
the foreign-policy loop by the hide-
bound actions of Dean Rusk, Kennedy’s
bland secretary of state. Mr. Aldous
writes: “the Kennedy team ultimately
viewed him [Schlesinger] as a Stevenson man.” His real role in the White
House was as court historian. Kennedy’s reputation, as Mr. Aldous
writes, “the president himself seems to
have decided, was safe in Arthur’s
hands.” This was one decision that
John F. Kennedy got indubitably right.
After the assassination of the
president, Schlesinger got to work on
his Kennedy book, “A Thousand Days: John
potentiality of history. He transformed the American spirit.
In this book, Schlesinger portrayed
the Kennedy marriage as idyllic,
neglecting to mention the rather relentless bonkering the leader of the
free world indulged in upstairs at the
White House. He pumped up the president’s few achievements. He led the
way to establishing John F. Kennedy’s
place in the liberal pantheon as, in
Malcolm Muggeridge’s words, “The
Loved One.”
“A Thousand Days” was a grand
commercial
success.
It
won
Schlesinger a National Book Award
and a Pulitzer, and it depleted him
entirely of the capital in objectivity so
Published in 1965,
‘A Thousand Days’
turned Kennedy the man
into Kennedy the myth.
F. Kennedy in the
White House” (1965), a tome Christopher Hitchens would call “the founding breviary of the cult of JFK.” Mr.
Aldous titles his chapter on the book
“A Thousand Pages.” Here is a sampler from the book, with a warning to
diabetics not to read it without their
insulin nearby:
Lifting us beyond our capacities,
he [JFK] gave his country back to
its best self, wiping away the
world’s impression of an old nation of old men, weary, played out,
fearful of ideas, change and the
future. He reestablished the republic as the first generation of our
leaders saw it—young, brave, civilized, rational, gay, tough, questing, exultant in the excitement and
necessary to a serious historian.
When, 13 years later, he wrote, at
the request of Ethel Kennedy,
another nearly 1,000-page book,
“Robert Kennedy and His Times,”
the jig, you might say, was up.
Reviewers called it “a 916 page promotional pamphlet of exculpation and eulogy.” William F. Buckley Jr. called the
book “Grade A, Harvard BA, Harvard
PhD Quality Lying.” Even Mr. Aldous,
who strains to be fair to Schlesinger,
reviews his various coverups of Bobby
Kennedy’s more egregious behavior
and concludes that “it is difficult for
the reader not to wince.”
After the assassination of Bobby
Kennedy, Schlesinger wrote in his diary
that “every political leader I have cared
about is dead.” When Teddy Kennedy
emerged alone from the waters off
Chappaquiddick a year after Bobby
Kennedy’s death, Schlesinger ran out of
Kennedys. He continued to write
books, he took up a professorship at
City University of New York, he divorced his wife and married a woman
20 years younger and several inches
taller than he. (“There is Arthur and
his new wife,” said Lillian Hellman to a
friend of mine, as the couple entered a
Manhattan restaurant. “I wonder if he
goes up on her?”) He became a minor
celebrity, invited to all the best parties,
and a no longer credible historian.
Why, the question looms, did he do
it? Why did Arthur M. Schlesinger Jr.
give up a serious vocation for a minor
place in a failed administration and a
displeasing reputation as a shameless
political flack? Mr. Aldous is not a
biographer with a psychoanalytic
bent, but he does remark on the effect
upon Schlesinger, ever the good
student, of having skipped two full
years in grammar school, with the
consequence that he always felt
somewhat outside things. Of himself
at 14, recently transferred to Phillips
Exeter Academy, Schlesinger in his
autobiography writes: “I was two
years younger than the rest of my
class, shy, stammering, bespectacled,
and with a case of acne.” John F. Kennedy, born in the same year, rich,
good looking, at ease in the world, internationally powerful, may well have
exerted an attraction that blinded
Schlesinger to what he was losing by
tossing in all his chips on a politician.
How else to explain, except through
monstrous self-delusion, a oncerespected historian writing of a president whose years in office were for
the most part a botch: “He gave the
world for an imperishable moment
the vision of a leader who greatly
understood the terror and the hope,
the diversity and the possibility, of
life on this planet and who made people look beyond nation and race to
the future of humanity.” And: “The
energies he released, the standards he
set, the purposes he inspired, the
goals he established would guide the
land he loved for years to come.”
If you know anyone who believes
that, please let me know. There is
some real estate in Aleppo I should
like to show him.
Mr. Epstein is the author of the
forthcoming “The Ideal of Culture
and Other Essays” and “Charm:
The Elusive Enchantment.”
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Saturday/Sunday, October 21 - 22, 2017 | C7
BOOKS
BRIDGEMAN IMAGES
‘Christians, hasten to help your brothers in the East, for they are being attacked! Arm for the rescue of Jerusalem under your captain Christ!’ —Pope Urban II
CROSS PURPOSES Scene from a 15th-century French manuscript depicting battles between Christian and Muslim forces near Gaza around 1240, when the crusaders lost Jerusalem for good.
Clerics, Conquerors&Quartermasters
How to Plan a Crusade
By Christopher Tyerman
Pegasus, 400 pages, $28.95
BY PATRICK GEARY
NAPOLEON PROBABLY never said,
“In war there is nothing so rare as a
plan,” and if he did, he didn’t mean it.
Mobilizing a population to a war footing; recruiting, motivating and funding
an army; and mastering the complex
logistics necessary to equip, feed,
transport, resupply and sustain thousands of fighting men in hostile territory have always required meticulous
planning. Anyone who thinks that, in
the Middle Ages, thousands of fanatic
knights simply swarmed across the
Mediterranean to liberate Jerusalem
without careful planning and organization has seen “Monty Python and the
Holy Grail” too many times. In “How
to Plan a Crusade,” Christopher Tyerman, a prolific scholar of the era, is
out to disprove the popular perception
that crusading was irrational exuberance in action.
Today the belief that God willed the
liberation of lands conquered centuries
before by Muslims—as well as the
eradication of pagans in the Baltics
and the slaughter of so-called heretics
in southern France and Italy—may
seem perverse. But at the time highly
trained clerics argued that crimes had
been committed, not simply against
Christians but Christ himself, crimes
that required punishment by all Christians of good faith.
Once this premise was accepted by
the papacy and church hierarchy, recruiters and fundraisers fanned out
across Western Europe in elaborately
planned and often extremely successful campaigns to sign up warriors and
to raise funds to send them against the
perceived enemy. University-educated
clerics were particularly good at developing complex, rational arguments in
support of crusading, which they
disseminated in public assemblies,
learned treatises and letters.
Nor were the audiences of these
publicists and recruiters simple souls,
easily moved to take the cross: Skeptical and no-nonsense nobles, knights,
merchants and commoners had to be
convinced by spiritual and temporal
inducements. Chief among the former
were indulgences, the promise of remission of purgatorial suffering should
they join an approved Crusade. Among
the latter were legal guarantees that
froze their debts, exempted them and
their families from taxes and protected
them from lawsuits.
Crusades were expensive: Leaders
needed to pay for weapons, horses, armor and supplies for extended campaigns. Even the most devout knight
or lord expected to be paid for his service—as did his men at arms, quartermasters, cooks, servants and the ship
masters and crews who were vital for
transport and resupply. Mr. Tyerman
details the complex system by which
the vast funds needed were accumulated: Some came as outright donations from the great and the lowly.
Those who had signed an oath to take
up the cross could “redeem” their
pledge by a cash payment if they had
second thoughts or were prevented by
age, infirmity or lack of military ability
from actually making the journey. That
individuals, including of course the recruiters, could launch brilliant careers
selling the Crusades is hardly evidence
of cynicism: Doing well by doing good
was as much a part of crusading as it
is of political campaigns today.
Since the pioneering work on the
crusading King Louis IX of France begun by William Jordan in the 1970s,
scholars have recognized just how
complex and meticulous the planning
of these expeditions had to be. Mr.
Tyerman expands on Mr. Jordan’s
insights, using detailed English fiscal
records as well as picking out hints, in
the narrative sources, of the complex
systems of record-keeping and planning that went into crusading. The
fiscal records of the reign of Richard
the Lionheart demonstrate that royal
officials could accurately calculate that
it would cost £2,402 (plus 18 shillings
and 4 pence) to pay for 790 soldiers to
be transported in 33 ships for Richard’s crusade in 1190.
Some logistical challenges were familiar: The European aristocracy had
All this required voluminous
record-keeping, from the rolls kept of
those who had taken the oath (and
thus had to show up and be paid or
pay up not to show) right down to the
precise numbers of horseshoes, cured
pigs’ carcasses, cheese, beans, arrows
and crossbow bolts needed for the
armies. Mr. Tyerman argues that by
and large, Crusade commanders
solved the logistical and financial
problems: No rulers went bankrupt,
regardless of how disastrous the
actual military expeditions turned out
to be. In fact, crusading strengthened
The First Crusade was an astonishing success. The
later wars were logistical miracles but military failures.
been professional warriors for centuries. But while the challenges of crusading in the Iberian Peninsula, the
Baltic and the South of France resembled those of inter-Christian warfare,
the Crusades to the eastern Mediterranean presented challenges unseen
since the disappearance of the Roman
military a half a millennium before.
Monarchs not only needed to raise
massive amounts of money, which they
accomplished through new taxes (including what might be called the first
income tax), but also had to create a
whole supply-and-transport infrastructure that would sustain an army thousands of miles away from home for
years on end. They needed to create
strong domestic institutions to govern
their kingdoms while they were absent
for years. And they needed to contract
for passage with Italian cities (who
alone had the ships, crews, and experience to transport armies across the
sea) or else had to negotiate with the
rulers of Hungary and especially the
Byzantine Empire if they were to attempt to lead their armies by land.
rather than diminished royal power
and prerogative.
But if the logistical and financial
planning of the Crusades was brilliant,
the same cannot be said of the military’s command and control, especially in the crusades to the eastern
Mediterranean. As a result, apart from
the First Crusade, which by chance
took place when divisions between
Syria and Egypt allowed for the astonishing feat of capturing Jerusalem in
1099 and establishing a Latin Kingdom, these Crusades were at best
indecisive and often catastrophic failures. Crusade armies were made up of
trans-European units under different
and often mutually hostile commands;
while in theory they were under the
aegis of the papacy, papal legates
were in no position to dictate to the
kings and great aristocrats who led
the armies. The result was often what
one might have imagined among the
Allies had there been no Eisenhower
to prepare and execute the Normandy
landing: Kings and commanders
jockeyed for precedence, feuded
among themselves and abandoned
expeditions at crucial moments.
Nor did commanders have a clear
understanding of the size, capabilities
or resources of their enemies. Human
intelligence came primarily from the
Byzantines, uncertain allies at best,
who both feared crusader intentions
(rightly) and recognized the need to
come to terms with the Muslim powers in the region. Additional information came from Italian merchant communities that were actively engaged in
trading with the Islamic world, in defiance of papal prohibitions.
Something of a grand strategy did
emerge: Early on, crusaders realized
Jerusalem could not be secured without defeating Egypt, and into the 14th
century missionaries such as William
of Adam proposed comprehensive if
illusory economic, military and cultural plans for isolating Egypt, cutting
off its nautical trade routes and
defeating it on the battlefield. In reality, however, expeditions against Egypt
were disasters, as were attempts to
make common cause with Mongols to
the east. The armies marshaled by
Western powers were hopelessly outmatched by the wealth, manpower and
sophistication of the enemy. In Mr.
Tyerman’s words, “The abiding flaw in
crusade strategy remained the impossible legacy of 1099, a cultural imperative in the end lacking adequate material reserves to be sustained, relying
on an ideology that limited the necessary pragmatic accommodation to
local conditions to succeed.” Military
adventures, however well planned and
ideologically compelling, must in the
end confront realities on the ground.
Perhaps Napoleon meant to say: In
war there is nothing so rare as a plan
that succeeds.
Mr. Geary is a professor of history
at the Institute for Advanced Study
in Princeton, N.J.
Adams and Jefferson, Friends Divided
the older generation to create a
speculative economy and democratic
politics. The cleverest Founders, led
by Jefferson, cleared the way, while
the most conservative, especially
Adams, became “irrelevant” by
clinging to antiquated ideas of persistent social hierarchies.
Mr. Wood wants to admire the
democratic Jefferson more than the
skeptical Adams, but biographical details often pull the author toward reversing that assessment. If Jefferson
was the smoother
politician, Adams
seems the better
man to Mr. Wood.
Adams developed a
close,
practically
equal and always
loyal marriage with
the able, articulate
and devoted Abigail
Smith
Adams.
Jefferson, however,
favored female inferiority, tried to seduce a friend’s wife, married a woman
who knew her subordinate place, and,
after his wife died young, took an enslaved mistress whose children could
never challenge the inheritance of his
legitimate daughters. Adams lived
within his means in a modest farmhouse, while Jefferson built and rebuilt a mountaintop mansion filled
with fine art, furniture and wines—
while his debts mounted ever higher,
ultimately ruining his heirs. Mr. Wood
also disdains Jefferson’s dangerous
naiveté in supporting the increasingly
bloody and chaotic French Revolution
of the early 1790s. Adams’s early
skepticism seems, by comparison, judicious and prescient.
Both men despised slavery in principle, but neither did anything to end
it in practice. Adams, at least, never
indulged in the pseudo-biological
racist speculations that tainted Jefferson’s book “Notes on the State of
Virginia.” Adams supported the black
revolutionaries of Saint-Domingue
(now Haiti), in the Caribbean, while
Jefferson helped the French efforts to
suppress their independence.
Mr. Wood’s reversal seems complete
as he turns to the last decades of his
two subjects, when they renewed their
friendship through an exchange of 158
letters. “You and I,” Adams told Jefferson in 1813, “ought not to die, before
We have explained ourselves to each
other.” Forthcoming and funny, Adams
ranged widely and frankly, while Jefferson was more cagey, politely deflecting
his old friend’s most provocative
points. Meanwhile, in letters to Vir-
ginia’s leaders, Jefferson became more
dogmatic and angry, denouncing every
new economic and social trend as destructive to his rustic vision of America. Challenged by antislavery politics
emerging in the northern states, Jefferson fiercely embraced the dogma of
southern states’ rights. While Jefferson
became a crank, Adams belatedly
warmed up, more serenely accepting
the volatile new politics and economy
as inevitable. “The two friends seemed
to reverse their outlooks on the world,”
Mr. Wood concludes.
Indeed, he nearly dismisses Jefferson as
shallow: “He had little
understanding
of
man’s capacity for
evil and had no tragic
sense
whatsoever.
That is, he possessed
no sense of the circumstances impinging on and limiting
human action, little
or no appreciation of
the blindness of people struggling with
a world they scarcely understood.”
But, ultimately, this reversal will
not do for Mr. Wood or, he insists,
America. In the epilogue, he scuttles
back to more-familiar assessments.
“However true, however correct, however in accord with stubborn facts
Adams’s ideas might have been,” Mr.
Wood writes, “they were incapable of
inspiring and sustaining the United
States.” In contrast with Jefferson,
whose idealistic words Lincoln later
drew upon, “Adams was too question-
ing, too contrarian, too cynical, to
offer any such support for America’s
nationhood.” In the book’s ultimate
reversal, Mr. Wood renews his vows to
Jefferson as the crafter of an optimistic and inclusive creed that allegedly
binds diverse Americans together in
one inspirational nation. Never mind,
that Jefferson’s creed divided Americans along gender, racial and regional
lines to frame fissures that endure in
our politics. In the end, Mr. Wood
casts Americans as needing consoling
illusions because they cannot face
“stubborn facts.” If so, the true pessimist is not Adams but Mr. Wood.
We should not be so quick to dismiss Adams as “irrelevant.” Indeed,
contemporary politics render him
alarmingly prescient. He astutely predicted, “Our Government must forever
be a kind of War of about one half the
People against the other.” He warned
Americans that they could never eliminate the voracious political power of
wealth in an unequal society. Therefore, American constitutions needed to
isolate that power in one branch of the
legislature lest it, instead, seep into
and take over every political institution while wearing the façade of
democracy. He imagined the day when
the pose of populism would empower
a plutocracy. Never has John Adams
been more relevant than today.
Mr. Taylor, a professor of history at
the University of Virginia, is the
author, most recently, of “American
Revolutions: A Continental History,
1750-1804.”
GETTY IMAGES
Continued from page C5
the Federalists of corrupting the government by insidiously cultivating
monarchy and aristocracy. In 1797,
Adams succeeded Washington as
president, while Jefferson uneasily
became his vice president—and continued to lead the opposition. No longer friends, they competed in the
nasty and pivotal presidential election
of 1800, which Jefferson narrowly
won and triumphantly insisted had
saved the republic from “monarchists.” Adams seethed in retirement,
while Jefferson grew ever more popular, winning re-election in a landslide.
Mr. Wood has become the leading
historian of the “Founding Fathers”—those who declared independence and wrote the first state and
federal constitutions. Through a
long, productive and celebrated career, he has sustained a remarkably
consistent interpretation of the
American Revolution as a middleclass movement by hard-working
and ambitious common men seeking
wealth and respect. Alarmed at British rule, they initially followed the
enlightened lead of their better-educated and wealthier leaders—the
Founders—in the fight for independence and republican government.
After winning the war, common men
completed the revolution through
their own aggressive striving, which
broke down traditional deference for
the genteel elite. At the turn of the
new century, middle-class manufacturers, newspaper editors and party
politicians took over, shunting aside
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C8 | Saturday/Sunday, October 21 - 22, 2017
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BOOKS
‘World is crazier and more of it than we think, / Incorrigibly plural.’ —Louis MacNeice
Didn’t It Rain, Children?
The Book of Dust:
La Belle Sauvage
By Philip Pullman
Knopf, 449 pages, $22.99
SEVENTEEN YEARS after Philip
Pullman killed God in the final volume of his trilogy of fantasy novels,
“His Dark Materials,” the celebrated
British atheist returns to the parallel
world of Brytain and the dreaming
spires of Oxford in “The Book of Dust:
La Belle Sauvage.”
It is a massive publishing event,
with a first-run printing of half a million copies in the U.S. and a publicity
campaign that crosses the globe. “Is it
a prequel? Is it a sequel? It’s neither,”
the author has remarked. “In fact, The
Book of Dust is . . . an equel.”
It is an equal, certainly, in the
sense that to enjoy this first volume
of a planned second trilogy you need
no acquaintance with the intricacies
of Mr. Pullman’s allegorical worldbuilding. Nor do you need to know
about Lyra Belacqua, the heroine of
the previous books whom we first
met at the age of 11.
This first “Book of Dust” is set in
Lyra’s world 10 years earlier, so we
see her here only as a baby who
laughs, squalls and snoozes. What a
baby, though: Lyra is central to events
in “La Belle Sauvage” in the way that
Jesus Christ is central to the story of
the Nativity. An enigmatic prophecy
foretold her birth: She is “destined to
put an end to destiny.” The wise seek
access to her; the quick-witted protect
her. And the Herod of the story is the
Christian church, which seeks to destroy the infant whose arrival threatens its earthly power. As readers of
the “His Dark Materials” books will
remember, Mr. Pullman draws from
the cultural and literary legacies of
Christianity even as he openly detests
it in its organized, hierarchical form.
Our hero this time is another 11year-old, Malcolm Polstead, a bright
and intrepid redhead who lives with
his parents at an inn a short distance
upriver from Oxford. Serving customers and doing odd jobs for the nuns
at the priory across the road has put
Malcolm in a special position to
notice growing disquiet in the adult
world. He discovers that the nuns are
hiding a mysterious infant. Highranking laic figures, dreaded blackclad religious police and menacing
individuals begin turning up at the
inn, snooping around and asking
questions about a baby.
Meanwhile, at school, the clerisy is
enlisting children in a campaign to
expose heretics and unbelievers. “This
ALAMY
BY MEGHAN COX GURDON
is a Christian country in a Christian
civilization,” a cold-eyed deacon tells
a school assembly. “But there are still
enemies of the Church, new ones as
well as old ones. There are people
who say openly that there is no God.
They become famous, some of them;
they make speeches and write books,
or even teach. . . . More important are
the people we don’t know about. . . .
Have you heard anyone mocking the
Church or criticizing it? Have you
heard anyone telling lies about it?”
In this gripping, vivid and upsetting book, Oxford is awash with
secrets and conspiracies; in the first
half, it’s also thrumming with rain. As
the Thames rises, Malcolm finds
himself drawn into a network of spies
and scholars operating at great risk.
Avowed enemies of the church, these
people know only that Lyra is “of
supreme importance in some way.”
They are also investigating a forbidden subject: the nature of a glittering
particulate matter known as Dust.
“Experimental theologians” suspect
that Dust is conscious and that it
pervades the universe. The idea, we
read, has “shaken the Church to its
foundations.”
Meanwhile, the rain keeps hammering down. Warned that cataclysm
is coming, like Noah, Malcolm ensures
that his sleek little canoe, La Belle
Sauvage, stays dry and safe. Then in a
turbid rush comes a flood that pours
across the land and redraws reality,
transforming Oxford into a churning,
terrifying sea dotted with spires and
towers and hilltops turned into
islands. In the tumult, Malcolm barely
In this, the first volume of
Pullman’s second trilogy,
Lyra—here a mere infant—
begins her fateful journey.
escapes in his boat with the precious
Lyra and with Alice, the inn’s sourfaced young kitchen maid.
The second half of the novel follows the children on a phantasmagoric waterborne odyssey—a kind of
flight to Egypt. Pursued by armed
agents of the church and desperate to
find sanctuary for Lyra, Malcolm and
Alice have to navigate the floodwaters
as well as contend with exhaustion
and Lyra’s food and hygiene needs.
Mr. Pullman is not a funny writer, at
least not here, but there’s quiet comedy in the high-low juxtaposition of
the gravity of the children’s predica-
ment and their constant battle with
Lyra’s stinky diapers.
The author also makes wonderful
use in this book of what must surely
be his most enchanting contribution
to literature: the daemon. In Malcolm’s world, everyone has a kind of
expressive, external soul in the form
of an animal. The daemons of children shape-shift all the time, but in
adulthood daemons settle into a final
form that reflects something important about a person’s nature. (The
most alarming character in the
novel, a scientist who seduces a lascivious nun and, later, rapes Alice,
has a daemon in hyena form.) For
the novelist, and for the reader, daemons add a rich textual dimension:
betraying the dark heart of a smiling
villain; creating the opportunity for
dialogue when a person is otherwise
alone; allowing a character to hear
and see things that his human senses
might miss.
On their watery journey, the children encounter what C.S. Lewis,
whom Mr. Pullman loathes, might
have called a Deeper Magic: a river
god, a witch, a faerie queen of Albion.
The author accords these divinities a
friendliness and respect that is largely
missing from his depictions of Christianity. Mr. Pullman has explained
that his animus is not toward one
faith, per se, but toward theocracy
and dogmatism in any form, even secular. He would strengthen his case, I
think, if he were either less specific or
more adventurous in his targets. How
easy and safe to kill the Christian
God; how much riskier to kill Allah.
Mr. Pullman is a supple and formidable writer who has credited his aesthetic awakening in adolescence to his
discovery of William Blake (his mind
and body responded, he wrote, “with
the joyful immediacy of a flame leaping to meet a gas jet”) as well as of
John Milton, whose epic poem “Paradise Lost” informed the language and
structure of “His Dark Materials.”
Biblical mysticism and sublimity
infuse the work of these writers, and
of others, such as Edmund Spenser,
who have moved and influenced the
author, who was raised in, and left,
the Church of England.
“I’m profoundly interested in religion,” Mr. Pullman has written, “and
I think it’s extremely important to understand it. I’ve been trying to understand it all my life.” That is the
strange beauty, the fearful symmetry
even, at the heart of his novels about
Lyra. Philip Pullman is a Jacob, wrestling with an angel: He grapples and
battles in the darkness, but he cannot
let go.
Ms. Gurdon reviews children’s books
for the Journal.
SCIENCE FICTION: TOM SHIPPEY
Short, Sharp
Shocks
FIFTY YEARS ago,
sci-fi’s dominant art
form was the novella.
Short enough that
you only needed one
idea, long enough to
allow the idea to be developed. The
waning of the magazine era made
them unprofitable, but now Joe Hill—
well-known for “NOS4A2” and “The
Fireman”—has brought out four of his
own in “Strange Weather” (Morrow,
432 pages, $27.99).
Three could be classed as tales of
urban horror. They start off in normal
surroundings, and then something
inexplicable turns the whole tone
weird. In “Snapshot,” an old lady
stricken by dementia in 1988 California
warns the teen who is helping her to
beware of “the Polaroid man.” Polaroids were high-tech back then, but this
camera does more than take photos, it
takes what photos are supposed to
enshrine—memories, happiness.
In “Aloft,” a guy trying to impress
a girl agrees to go skydiving, and is
doing embarrassingly badly until he
takes the plunge from the plane. Then
things get much worse. The setting of
Joe Hill relishes that
magical, bat-of-an-eye
moment when the normal
yields to the fantastic.
“Rain” is also fairly normal—for
college-town Colorado, that is, with a
lesbian couple, a Russian stripper in
the apartment downstairs and a kid
who thinks he’s a vampire—but is hit
by something worse than Biblical. Not
rain, not hail, but crystal needles falling out of the sky, turning to nails,
then daggers.
The novella form allows Mr. Hill to
get you deeply fixed in the setting
before the moment everything goes
fantastic. But in “Loaded,” the switch
never comes. Once again, it’s a sad
but familiar scenario: an employee
seduced and then fired by her boss, a
security guard driven to distraction
by his ex-wife’s lawyers. But what
turns hassle into tragedy isn’t fantastical at all. It’s guns. Everyone has
one, or can get one, and the collateral
damage keeps mounting, through
twist after twist, till we reach a bitter
and sardonic ending.
All four stories in “Strange
Weather” are just the right length to
read at a sitting, one at a time. Horror, they tell us, is only one step away.
FICTION CHRONICLE: SAM SACKS
The Uses of Enchantment
haunted by the form of her old body,
a “vague person-shaped lump” that
gurgles beneath the floorboards like
Poe’s tell-tale heart.
As with Carter’s reconfigurations,
Ms. Machado’s stories are frank, sensual, often raunchy. The mythologies
they mean to dispel concern the
female body and the ways that it’s
used, molded, mutilated, coveted,
stigmatized or disregarded. Hidden
within these objectified forms are the
women’s true selves, made of forbidden secrets and unruly desires. “Many
people live and die without ever
confronting themselves in the darkness,” Ms. Machado writes in “The
Resident.”
That story, told by an obsessive
loner in a lakeside writing residency,
addresses the collection’s greatest
hurdle, that of originality. In the life
cycle of an idea, something that was
initially subversive is rapidly absorbed into the public consciousness
and converted into yet another convention. “Do you ever worry about
writing the madwoman-in-the-attic
story?” a fellow writer asks the narrator. That “old trope” shadows the
book, and related themes, like sexual
trauma and dystopian horror, have
had their edges softened by constant
use. Ms. Machado’s best stories—“The
Husband Stitch” and “Real Women
Have Bodies”—deliver high-voltage
shocks to the system. The others
show how difficult it is to outpace the
status quo.
“Unstitching,” the opening story of
Ms. Grudova’s “The Doll’s Alphabet”
(Coffee House, 162 pages, $15.95),
commences with another bodily
unveiling: “One afternoon, after
finishing a cup of coffee in her living
room, Greta discovered how to unstitch herself. Her clothes, skin and
hair fell from her like the peeled rind
of a fruit, and her true body stepped
out.”
The comic grotesqueries that
emerge from this collection owe a bit
to Dickens, Kafka and Heinrich Hoffmann’s “Der Struwwelpeter,” but
their total effect is delightfully unclassifiable. The stories are unconnected but mostly of a piece: They
take place in a ruined neo-Victorian
setting of shantytowns, food rations
trying on a crinoline dress looks like
“a doll covered in cobwebs pulled out
of an attic.” A newlywed furnishes her
husband’s apartment with couches
that resemble “two inedible prawns
spat out by a disdainful and filthy
mouth.” Two stories feature the birth
of disfigured babies. In “Waxy” the
child looks like “a little cheese rind.”
His father, an undocumented vagrant,
is blackmailed into sleeping with a
Two strong collections
of feminist fairy tales
that unsettle notions of
motherhood and marriage.
and dangerous factory work. A sort
of reverse black magic is at play, as
though these were steampunk fantasies where all the contraptions malfunctioned. A wunderkind in “Agata’s
Machine” invents a miraculous device that projects images from her
mind’s eye—except it only ever projects the same three images, and she
fritters away her life staring at them.
When a husband dies in “Edward, Do
Not Pamper the Dead,” his longsuffering widow still has to bring
him treats every day while he lies in
his coffin.
Ms. Grudova strikes a tone that is
amusingly earnest, as though she intended to make these stories gallant
and romantic but then screwed up the
recipe. Everything is a little off, broken or soiled or deformed. A woman
GETTY IMAGES
‘I AM ALL FOR putting new wine in old
bottles,” wrote the
British
iconoclast
Angela Carter, “especially if the pressure
of the new wine makes the bottles
explode.” Carter is known for her
1979 story collection “The Bloody
Chamber,” which refashioned the fairy
tales of Charles Perrault and the
Brothers Grimm using an unstable
decoction of Gothic horror, Freudian
symbolism, feminist theory and lush,
operatic storytelling. Her project was
openly radical. Fairy tales universalize
experience, she thought, which makes
them timeless but also static. We
don’t even notice the ways that they
uphold conventions about sexuality
and gender until someone forces us to
imagine them differently. Carter’s aim
was to take those dusty, vintage
bottles and turn them into Molotov
cocktails.
Two debut short story writers,
Carmen Maria Machado and Camilla
Grudova, continue in what she called
the “demythologizing business,” with
eerie and memorable results. Ms.
Machado’s collection, “Her Body and
Other Parties” (Graywolf, 245
pages, $16), a finalist for the National
Book Award, finds supple material in
classic ghost stories. “The Husband
Stitch” reworks the campfire tale
about the woman with a green ribbon
tied around her neck, shaping a commentary on marriage and sexual possession. An epidemic in “Real Women
Have Bodies” causes women to go
“incorporeal”—they fade into the air
like smoke from snuffed candles. In
“Eight Bites,” an overweight woman
who has her stomach stapled is
roommate who threatens to report
him and the child’s mother to the
authorities. They end up living on the
street, the baby stashed inside his
father’s coat “like a rancid molar in
the back of one’s mouth.” This is the
book’s vision of domesticity, its
happily-ever-after.
“The Doll’s Alphabet” is clearly a
revisionist undertaking. It unsettles
assumptions about motherhood and
marriage. But it also separates itself
from its feminist predecessors. The
world it inhabits—droll, inexplicable
and even beautiful in its slovenly
fashion—is unlike any other I’ve encountered.
What about the mythologies of
masculinity? In novels like “Paddy
Clarke Ha Ha Ha” and “The Van,” Irish
writer Roddy Doyle has delved into
the delicate subjects of machismo and
male friendship. His characters’ painstakingly laconic exchanges, which
make Hemingway look chatty, speak
to their emotional vulnerability, their
terror of revealing too much. The fear
of honest disclosure is central to Mr.
Doyle’s newest novel, “Smile”
(Viking, 214 pages, $25), about the
lies men tell to make themselves
appear normal.
The teller here is Victor Forde, a
54-year-old divorcé who whiles away
his evenings at a local pub. There he
runs into a distant acquaintance from
Catholic school, and though he
doesn’t especially like the man, he
slowly opens up to him over pints,
talking of his childhood, his failed
ambitions as a muckraking journalist
(“I was famous for a book I was writing but didn’t write”) and his broken
marriage to a gorgeous television
personality.
It all makes for a good story, a
convincing portrait of a middle-aged
man enduring a rough patch after
years of riding high. But worming
through it are disturbing memories
from his schooldays: a flirtatious
comment from one of the Brothers
who taught his French class, a grope
at the hands of the wrestling instructor. Victor shrugs these things off, but
gradually “the lies, the gaps, the facts,
the bits of my life” that he’s omitted
come tumbling out. Mr. Doyle’s signature clipped dialogue is still a feature
of “Smile,” but this short, effective
novel is about the truths that emerge
when, despite himself, Victor lets
himself talk.
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THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 21 - 22, 2017 | C9
BOOKS
‘Science, which once took away the dragons and fairies, has now restored them both.’ —St. Louis Post-Dispatch, Nov. 10, 1901
Terrible Lizards and Fantastic Art
Paleoart
By Zoë Lescaze
Taschen, 289 pages, $100
The Art of the Dinosaur
Edited by Kazuo Terakado
PIE International, 199 pages, $49.95
ALMOST ALL THE DINOSAURS are
dead. Birds are the only members of
their kind to carry on the title of the
“terrible lizards,” yet, wonderfully
diverse as they are, ostriches and
sparrows just aren’t the same as a
towering Brachiosaurus or fierce
Ceratosaurus. We’re more than 66
million years removed from our
favorite dinosaurs, with no hope of a
“Jurassic Park” innovation to show
us what they were like in life. Still,
since before the word “dinosaur” was
even coined, we’ve been obsessed
with envisioning what such strange
creatures would have been like. This
has been the province of “paleoart,”
where science and imagination meld
together.
There’s never been a better time
for paleoart. From online communities like DeviantArt to universitygenerated press releases, we’re
awash in prehistoric imagery created by amateurs and professionals
alike. Two new books highlight this
bounty, offering a look at how the
art of restoring the past has
changed with the times.
“Paleoart,” by art historian Zoë
Lescaze, provides the deep context
for the other title. It’s not so much
a coffee table book as a book that
could serve as a coffee table, but
this only helps to highlight every ink
jot and brush stroke in the selected
pieces in this oversize, lavishly illustrated book.
Depictions of prehistoric life
didn’t begin with the origin of paleontology. The cultural history of Native Americans, for example, reveals
that they recognized fossil bones
and footprints as signs of onceliving animals before science itself
had been invented. But what we typically think of as “paleoart” proper,
Ms. Lescaze writes, got its start in
the early 19th century. It was then,
when religious dogma over the
history of the Earth was being
shrugged off in light of the evidence
apparent in the rocks, that astonishing evidence of lost worlds began to
inspire artists and scientists alike.
In this early stage, however, the
art of the extinct wasn’t quite like
today’s. Early engravings and watercolors of ancient life carried more
emotional weight than modern
depictions, translating the concerns
and fears of their time into the past.
Nineteenth-century
paleoartists
didn’t have conventions to guide
them outside the mediums they
TASCHEN
BY BRIAN SWITEK
RED IN SCALE AND CLAW ‘The Primitive World’ (1857) by Adolphe François Pannemaker exemplifies the dramatic license early paleoartists took.
just short of—to give us our modern,
supercharged dinosaurs.
These overhauled saurians are at
the center of an anthology of paleoart
superstars—“The Art of the Dinosaur,” edited by Kazuo Terakado. The
Mesozoic celebrities that stalk this
book are no longer rendered in oil
paintings and lithographs. Paleoart
worked in. “They were inventing new
archetypes as they went along,” Ms.
Lescaze writes, “and each shattered
skeleton was a tabula rasa upon
which they could project their own
imaginative whims, aesthetic preferences, and art historical allusions.”
Historic paleoartists often envisioned
the past as incredibly violent reptilian conflict presaging the terror of
war, or placed prehistoric creatures
in the context of ascending scales of
beings in order to highlight a sense
of supposed progress in nature.
Yet, as paleoart came to serve science rather than complement it, the
genre developed its own tropes and
conventions. There’s no better example than the early 20th-century dinosaurs. Even though some artists like
Charles R. Knight and Rudolph
Zallinger experimented with depicting active, hot-blooded dinosaurs—
one Knight painting in “Paleoart”
shows a smirking Brontosaurus chest
deep in a Jurassic swamp, happy to
wallow—the scientific consensus of
their time cast the reptiles as drabcolored sluggards. So those are the
images that went up on walls everywhere from Yale to the Natural History Museum of Los Angeles. It took
another scientific revolution—the
Dinosaur Renaissance of the 1970s
and ’80s, which turned the terrible
lizards into hot-blooded creatures,
and which Ms. Lescaze’s book stops
The old style of dinosaur
art, which left room for a
bit of whimsy, gave way to
scrupulous accuracy.
has gone digital, with dinosaurs and
other forms of prehistoric life presented in superbly crisp detail. “The
Art of the Dinosaur” presents these
pieces as they were meant to be seen,
every scale shining and each serrated
tooth gleaming.
The strength of “The Art of the
Dinosaur” is that the artists are allowed to introduce their own work.
This extends beyond the obligatory
anthology introductions of how the
artists found their way into this
specialized field, but down to the
captions as well. While some illustration captions are standard—naming the art medium and the animals—others offer readers a way to
drink in the mood of each piece.
Feathered-dinosaur specialist Zhao
Chuang, for example, offers a small
story in each caption. Accompanying
a piece depicting the fluffy raptor
Unenlagia, which lived in what is
now South America, Mr. Chuang
reflects how hot a downy coat must
have been in a hot climate: “It is
worried that this despicable weather
will affect its beauty.”
These art books could be taken at
face value, showcasing the evolution
of a discipline that gives us our
image of nonavian dinosaurs and
other long-lost species. But they also
highlight how—just like science—
paleoart has become incredibly
specialized over the decades.
Viewed against the background
provided by Ms. Lescaze’s book,
today’s paleoart has shifted from
where it started. Many of the earliest
images of monstrous dinosaurs and
imposing Ice Age beasts, Ms. Lescaze
points out, were influenced by the
events of the day. Echoes of the
Napoleonic Wars and violent military
clashes are easy to pick out in the
visions of reptiles red in tooth and
claw. But today’s paleoart has lost its
attachment to the surrounding culture. Scientific accuracy has been the
goal of modern paleoart for decades
now—to envision long-dead creatures as they were in life. The work
is not only inspired by science, then,
but also confined by it, paleoart
more comfortable as a form of scientific illustration than as a part of a
conversation with the wider culture.
To some extent, this division is
unavoidable. When paleontologists
commission an illustration of a new
species of horned dinosaur, they
want detail and precision, not social
commentary. And yet paleoart
should have the opportunity to
stretch beyond the purely scientific.
Dinosaurs are the charismatic icons
of the prehistoric past, and we’ve often looked to them to make sense of
the world around us. During World
War I, for example, some pacifists
trotted out “Jingo” the Stegosaurus
as a warning against military buildup
and the dangers of “all armor plate,
no brains.” And it’s no surprise that
scientists in the 1980s immediately
drew parallels between the asteroid
strike that ended the Age of Dinosaurs and fears over mutually assured destruction. The world had
already been through a catastrophe
of such gigantic scale once and it
would be best if we learned from the
dinosaur’s fate. Now that fears of
apocalyptic conflict are again rampant, prehistoric creatures might
again be utilized to have a vivid conversation with the past.
Mr. Switek is the author of “My
Beloved Brontosaurus.”
MYSTERIES: TOM NOLAN
Unexplained and Unresolved
draw the omniscient attention of Mr.
McGregor’s narrative. Readers note
possible clues—a dog tussles with an
old navy-blue body-warmer found in
a copse of trees—of which the book’s
characters remain oblivious. A plausible suspect—a creepy janitor with
pornography on his computer—is
allowed to go about his business.
Hopes are dashed, genre expectations
go unfulfilled. Yet Rebecca remains in
the villagers’ collective memory years
later, a recurring figure in sleeping
and waking dreams.
president Igor Popov (“five eight in
height [with] thinning hair, carefully
brushed back to cover a bald spot”),
whose high-profile mission to save
the world’s tigers serves as a mask for
his high-tech meddling in elections
from Germany to England to America.
Not to be overlooked are various
Chinese government operatives bent
on persuading England, through fair
two Russian prostitutes. “Classic
Kompromat stuff,” a British Secret
Service man scolds Barnard regarding
the latter. “Ministers who go to Russia surely know the drill: don’t talk to
strange blonde women in hotel lobbies. Don’t go upstairs with them.
Above all, don’t go to bed with them.”
Mr. Johnson, a former member
of the European Parliament and
means and foul, to remain in the
European Union.
Our witness to the main players’
shenanigans is British cabinet minister Edward Barnard, who, in the
course of his globe-trotting duties,
survives an attempted assassination
by means of a poisonous Australian
spider, and the leaking of a video purporting to show him cavorting with
the father of British Foreign Secretary Boris Johnson, clearly knows
all the drills. The author of 25 earlier works of fiction and nonfiction, he has a lifetime’s expertise
that adds comic credibility to a caper combining the antic action of
Mad magazine’s old “Spy vs. Spy”
cartoons with the gonzo humor of
Carl Hiaasen.
A missing-person mystery
that defies resolution and
becomes a meditation on
the aftershocks of tragedy.
A different sort of ambiguity propels English author Stanley Johnson’s
outrageous political-espionage satire
“Kompromat” (Point Blank, 302
pages, $25.99), a rollicking work of
fiction that sets conniving caricatures
of real-life figures amid a diorama of
recent world events.
Front and center is Ronald C.
Craig, the “proud and manly” American TV-show host and entrepreneur
running for president of the United
States, who tweets and tub-thumps
such campaign catchphrases as “Build
the Wall!” and “Drain the Swamp!”
Then there is the jet-flying Russian
GETTY IMAGES
JON MCGREGOR’S
disturbing, one-of-akind “Reservoir 13”
(Catapult, 291 pages,
$16.95), begins like
many another tale of
contemporary woe. Thirteen-year-old
Rebecca Shaw, who lives in a rural
English village, disappears into the
inky black of a late December night.
Authorities are alerted. Residents
search. A description is issued: “When
last seen she’d been wearing a white
hooded top with a navy-blue bodywarmer, black jeans, and canvas shoes.
She was five feet tall, with straight,
dark blond, shoulder-length hair.”
Days pass, then weeks, then
months. Rebecca is not found. Various
citizens report having seen her walking here or there, but these sightings
prove to be instances of mistaken
identity or wishful hallucinations.
Some local teens have information
about Rebecca’s plans on the night
she vanished but they keep quiet out
of guilt and fear. Once revealed, their
secret proves of no value.
Most books involving crime and
foul play provide the consolation of
some sort of resolution. But Mr.
McGregor’s novel, which was longlisted for this year’s Man Booker
Prize, shows how life, however unsettlingly, continues in the absence of
such explanation.
The everyday events of the village
resume. Seasons come and go. The
villagers’ illnesses, births, affairs, separations and gestures of kindness
Chronological uncertainty heightens the suspense of talented author
Joe Ide’s impressively written, pageturning second novel, “Righteous”
(Mulholland, 330 pages, $26), the
sequel to his 2016 debut, “IQ.” Both
novels center on African-American
private investigator Isaiah Quintabe,
who works on a semi-pro bono basis,
solving local dilemmas (“The problems were important but mundane”)
in his East Long Beach, Calif. neighborhood.
“Righteous” finds the espressosipping, Segovia-listening Isaiah
handling two separate—and decidedly
nonmundane—cases. He’s asked to
rescue the half-sister of his late
brother’s former girlfriend from the
clutches of a Las Vegas loan shark
(and from the wrath of the girls’
imperious Chinese “businessman”
father). And he’s probing the hit-andrun death of his brother 10 years ago,
which he’s become convinced was a
homicide.
These dual quests are detailed in
more or less alternating chapters,
through multiple characters’ points of
view. But are they taking place in the
same time frame? And what might
they have to do with each other, if
anything at all? The reader follows a
rich cast of villains and heroes
through a multistate, bullet-riddled
adventure involving street crime, turf
wars and human trafficking, but in
due course Mr. Ide provides plenty of
satisfying answers—and in a satisfyingly clever fashion.
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C10 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
BOOKS
‘When falsehood can look so like the truth, who can assure themselves of certain happiness?’ —Mary Shelley
Natural Scientist
By Oliver Sacks
Knopf, 237 pages, $27
BY LAURA J. SNYDER
MINDEN
AFTER ROILING THE WORLD by
publishing his book “On the Origin of
Species,” Charles Darwin retreated to
his estate’s conservatories, not to putter about in retirement but to seek
further evidence for his theory of evolution by natural selection. His greenhouses became, in the words of Oliver
Sacks, “engines of war, from which he
would lob great missiles of evidence at
the skeptics outside.”
Sacks, the neurologist and writer
who died in 2015 at age 82, relished
writing about Darwin. “The River of
Consciousness,” a collection of 10 previously published essays, reveals Sacks
as a gleeful polymath and an inveterate seeker of meaning in the mold of
Darwin and his other scientific heroes
Sigmund Freud and William James.
In “Darwin and the Meaning of
Flowers,” Sacks writes that the naturalist “interrogated” orchids, learning
how plants and pollinators coevolve,
influencing each other’s evolution.
“You cannot conceive how the Orchids
have delighted me,” Darwin wrote to a
friend. When a Madagascan orchid
was found to have a nectar-secreting
organ almost 12 inches long,
Darwin predicted the
existence of a moth
with a proboscis
long enough to
reach the nectary’s depths.
The improbable moth
was discovered
decades later.
At
the
end of Darwin’s life, Sacks
tells us in “Sentience,” he turned
to the lowly earthworm, studying its habits
and reactions to stimuli. “We have
seen that when their attention is
engaged, they neglect impressions to
which they would otherwise have
attended,” Darwin concluded. “Attention indicates the presence of a mind
of some kind.” Soon, George John
Romanes demonstrated that jellyfish
have nerve cells and centrally coordinated motions, and Freud realized
these cells were the building blocks of
the nervous system in both invertebrates and vertebrates (including
humans). Insects were found to have
rich mental lives; they can learn,
remember, think and communicate.
Paper wasps recognize the faces of
other insects. Even plants, Sacks reports, register “what we would call
sights, sounds, tactile signals.”
From the mental lives of worms,
wasps and jellyfish, Sacks turns to
humans. He becomes his own best
case study. As his deafness increased, we learn in “Mishearings,”
he kept track of alterations in his
auditory perception, recording what
he comprehended in red, what was
actually said in green and other
people’s reactions to his misunderstandings in purple. He revels, as will
readers, in the droll way his interests
and experiences turned “tarot
cards . . . into pteropods, a grocery
bag into a poetry bag, all-or-noneness into oral numbness, a porch
into a Porsche, and a mere mention
of Christmas Eve a command to ‘Kiss
my feet!’ ”
In two essays—“Speed” and “The
River of Consciousness”—Sacks
explores our perception of time. Is
Madagascar’s star orchid
intrigued Darwin. He
inferred a moth must exist
that could reach its nectar.
time continuous, a “stream of consciousness,” as James put it, or is it,
as David Hume believed, “a succession
of discrete moments, like beads on a
string”? Sacks inclines toward the
latter: “there is much to suggest that
conscious perception . . . is not continuous but consists of discrete
moments, like the frames
of a movie.” The film
of time can be
slowed down
or sped up
under the
influence
of neurological
disturbances,
emotiona
l duress or
drug use.
Time writ
large—that is,
history—is the
subject of “Scotoma,” the final essay.
We think of history, including
the history of scientific discoveries, as
a sequence, a “majestic unfolding.” But
Sacks believes it is “very far from being a continuum.” Instead it is a series
of events, “just one damn thing after
another,” in the oft-quoted phrase. We
see rivers and movies where there are
beads and frames because we try to
make sense of the world by constructing narratives connecting these discrete moments. Storytelling, Sacks
tells us in the essay “The Creative
Self,” is one of our “primary human
activities.” As this volume reminds us,
in losing Sacks we lost a gifted and
generous storyteller.
Ms. Snyder is the author
of “Eye of the Beholder:
Johannes Vermeer, Antoni
van Leeuwenhoek, and the
Reinvention of Seeing.”
Anne Applebaum
on con men
his subjects begin to die, Viktor
realizes that he is at the center of a
con operation that he doesn’t
understand. But because everyone
else assumes that he is running the
plot, his status grows rapidly. His
previously dull existence is suddenly enlivened by underworld
bosses who do him unexpected
favors—but there are unexpected
dangers too. Living in a world
where no one can be trusted, he
focuses his emotional energy on his
pet penguin, Misha, who was left
homeless by cuts at the impoverished Kiev zoo. In the end, Viktor
uses both his penguin, and his new
knowledge of the underworld, to
carry out the final swindle himself.
The Way We Live Now
By Anthony Trollope (1875)
1
’NO ONE pretends to think that
he is a gentleman. . . . But because he has learned the art of
making money, we not only put up
with him, but settle upon his carcass as so many birds of prey.”
Thus does the upright Roger
Carbury dismiss the notion of a
marriage between his feckless
cousin and the unimaginably
wealthy daughter of Melmotte, the
mountebank around whom this
novel circulates. But no one listens
to him: Larger than life, vaguely
foreign, with horses, carriages,
palatial residences and too much
money to count, Melmotte is a man
of the “City,” London’s financial
markets, and thus a figure of envy
and scorn among the harder-up
members of the British aristocracy.
He’s also one of the first truly modern fictional con men: An outsider
who outsmarts the insiders, a “new
man” who runs rings round the old
elite. This is still the Victorian era
so Melmotte ends badly, but not
before demonstrating that much of
the London establishment is just as
hypocritical and false as himself.
The Portrait of a Lady
By Henry James (1881)
3
THE CON in this novel is
also a tragedy, for its mark,
Isabel Archer, is one of the
most appealing characters in 19thcentury literature. Isabel is an
open-hearted, intelligent American
girl who arrives in Europe filled
with enthusiasm for the art and
culture she hopes to discover.
James gives her a “fixed determination to regard the world as a
place of brightness, of free expansion, of irresistible action.” Her
optimism wins the hearts of many,
including a sickly cousin who
bequeaths her half his fortune. But
as an heiress, she also becomes the
object of a scheming couple,
Gilbert Osmond and his secret
lover, Madame Merle. Osmond’s
swindle works precisely because it
appeals to Isabel’s most noble
sentiments: her desire to promote
what she believes to be his artistic
genius. The novel ends ambiguously: Nobody is rewarded and nobody punished in the amoral world
of wealthy Americans in Europe.
Death and the Penguin
By Andrey Kurkov (1996)
2
NO SUMMARY can do justice
to the strange appeal of this
unusual, short book, which is
at once a crime novel, a comic
novel and a serious political satire
on contemporary Ukraine. The unlikely hero is Viktor Zolotaryov, a
struggling novelist who has been
commissioned to write newspaper
obituaries of living people. When
The Goldfinch
By Donna Tartt (2013)
4
GETTY IMAGES
The River of Consciousness
FIVE BEST: A PERSONAL CHOICE
PENGUIN CLASSIC Andrey Kurkov.
THE ISSUES raised by this
compulsively readable novel
range from the power of
great art to the unspoken class
prejudices of the denizens of Park
Avenue. But at its heart there are
several con men, one of whom—the
unreliable narrator—we first meet
as a 13-year-old boy. Theo Decker
and his mother are at the Metropolitan Museum of Art when a terrorist bomb goes off. His mother dies;
Theo survives, somehow slipping
out of the gallery with an Old
Master painting under his arm—the
“Goldfinch” of the book’s title. Theo
MS. APPLEBAUM is the author,
most recently, of ‘Red Famine:
Stalin’s War on Ukraine.’
keeps the painting hidden for years,
and builds his adult personality
around the secret. But there are
other con artists out there, including his estranged father, a Las
Vegas card sharp who acts “almost
as if he were playing a character,”
and his friend Boris, the happily
decadent son of a Russian “businessman” whose voice contains “a
dark, slurry undercurrent of something else: a whiff of Count Dracula,
or maybe it was a KGB agent.” The
swindles grow ever more complex
and the lies build upon one another
until everything is in question: The
authenticity of Theo’s friendships
and love affairs, the authenticity of
the “antique” furniture he creates
from scraps of old wood, even the
authenticity of the painting he has
concealed for so many years.
The Talented Mr. Ripley
By Patricia Highsmith (1955)
5
LIKE ‘THE GOLDFINCH,’ this
novel is told from the point of
view of its con man antihero.
But unlike the appealing Theo
Decker, Tom Ripley is not only a
grifter but a sociopath who has
trouble distinguishing reality from
fiction: “His stories were good
because he imagined them
intensely, so intensely that he came
to believe them.” Down on his luck,
friendless and penniless, Ripley
travels to Europe, murders a friend,
takes over his identity, steals his
clothes and his money—and then
sets out to live his life. He adopts
his manner of speech, tries to imitate his personality, uses his passport. The con leads him to other deceptions, including another murder.
He comes perilously close to being
caught, and more than once expects
arrest. But he manages to keep all
of the plot lines in his head, and in
the end escapes punishment. Just
like Henry James, Highsmith also
sets her story in the world of
wealthy expatriates, a place where
“normal” morality doesn’t hold.
Best-Selling Books | Week Ended Oct. 15
With data from NPD BookScan
Hardcover Nonfiction
TITLE
AUTHOR / PUBLISHER
Hardcover Fiction
THIS
WEEK
LAST
WEEK
Killing England
1
1
Bill O’Reilly & Martin Dugard/Henry Holt & Company
Grant
Ron Chernow/Penguin Press
2
New
Rhett & Link’s Book of Mythicality 3
New
Rhett McLaughlin and Link Neal/Crown Archetype
TITLE
AUTHOR / PUBLISHER
THIS
WEEK
Building a StoryBrand
6
Donald Miller/HarperCollins Leadership
LAST
WEEK
TITLE
AUTHOR / PUBLISHER
New
Origin
Dan Brown/Doubleday Books
Methodology
THIS
WEEK
LAST
WEEK
1
1
TITLE
AUTHOR / PUBLISHER
Fairytale
Danielle Steel/Delacorte Press
THIS
WEEK
LAST
WEEK
6
New
The Subtle Art of Not Giving A F*ck
Mark Manson/HarperOne
7
10
Turtles All the Way Down(Signed) 2
John Green/Dutton Books for Young Readers
New
Sleeping Beauties
7
4
Stephen King and Owen King/Scribner Book Company
Braving the Wilderness
Brené Brown/Random House
8
5
Turtles All the Way Down
3
John Green/Dutton Books for Young Readers
New
Wonder
8
6
R. J. Palacio/Alfred A. Knopf Books For Young Readers
NPD BookScan gathers point-of-sale book data from
more than 16,000 locations across the U.S.,
representing about 85% of the nation’s book sales.
Print-book data providers include all major
booksellers (now inclusive of Wal-Mart) and Web
retailers, and food stores. E-book data providers
include all major e-book retailers. Free e-books and
those sold for less than 99 cents are excluded. The
fiction and nonfiction lists in all formats
include adult, young adult, and juvenile
titles; the business list includes only
adult titles. The combined lists track
sales by title across all print and e-book
formats; audio books are excluded. Refer questions
to Peter.Saenger@wsj.com.
What Happened
4
Hillary Rodham Clinton/Simon & Schuster
2
Strengths Finder 2.0
Tom Rath/Gallup Press
9
7
Harry Potter...Prisoner/Illustrated
J.K. Rowling/Arthur A. Levine Books
4
2
Everything Is Mama
Jimmy Fallon/Feiwel & Friends
9
New
We Were Eight Years in Power
Ta-Nehisi Coates/One World
5
3
A Life Beyond Amazing
David Jeremiah/Thomas Nelson
10
4
The Ship of The Dead
Rick Riordan/Disney-Hyperion
5
3
Dog Man: A Tale of Two Kitties
Dav Pilkey/Graphix
10
5
THIS
WEEK
LAST
WEEK
THIS
WEEK
LAST
WEEK
THIS
WEEK
LAST
WEEK
THIS
WEEK
LAST
WEEK
TITLE
AUTHOR / PUBLISHER
1
–
New
Building a StoryBrand
1
Donald Miller/HarperCollins Leadership
Nonfiction E-Books
TITLE
AUTHOR / PUBLISHER
Stick with It
Sean D. Young/Harper
Nonfiction Combined
Grant
2
Ron Chernow/Penguin Publishing Group
New
TITLE
AUTHOR / PUBLISHER
Fiction E-Books
The Sun and Her Flowers
1
Rupi Kaur/Andrews McMeel Publishing
1
Killing England
2
2
Bill O’Reilly & Martin Dugard/Henry Holt & Company
Thai Slow Cooker Cookbook
Rockridge Press/Rockridge Press
3
–
Grant
Ron Chernow/Penguin Press
Lessons From a Third Grade Dropout
Rick Rigsby/Thomas Nelson, Inc.
4
5
Rhett & Link’s Book of Mythicality 4
New
Rhett McLaughlin and Link Neal/Crown Archetype
Killing England
5
2
Bill O’Reilly & Martin Dugard/Henry Holt & Company, Inc.
3
New
TITLE
AUTHOR / PUBLISHER
Fiction Combined
1
Turtles All the Way Down
1
John Green/Dutton Books for Young Readers
The Nightingale
Kristin Hannah/St. Martin’s Press
–
Origin
Dan Brown/Doubleday Books
2
1
Fairytale
3
New
Danielle Steel/Random House Publishing Group
Fairytale
Danielle Steel/Delacorte Press
3
New
2
THIS
WEEK
LAST
WEEK
New
Strengths Finder 2.0
Tom Rath/Gallup Press
2
2
Principles: Life and Work
Ray Dalio/Simon & Schuster
3
1
Genome
A.G. Riddle/A.G. Riddle
4
New
The Ship of The Dead
Rick Riordan/Disney-Hyperion
4
2
Blue Ocean Shift: Beyond Competing 4
5
W. Chan Kim and Renée Mauborgne/Hachette Books
The Nightingale
Kristin Hannah/St. Martin’s Griffin
5
–
High Performance Habits
Brendon Burchard/Hay House
5
4
It
6
Stephen King/Scribner Book Company
5
The Five Dysfunctions of a Team
Patrick M. Lencioni/Jossey-Bass
6
6
Harry Potter...Prisoner/Illustrated
J.K. Rowling/Arthur A. Levine Books
7
3
Emotional Intelligence 2.0
7
Travis Bradberry & Jean Greaves/TalentSmart
Room On The Broom
Julia Donaldson/Puffin Books
8
–
WTF?
Tim O’Reilly/HarperBusiness
8
New
Total Money Makeover
Dave Ramsey/Thomas Nelson
9
10
The Four
Scott Galloway/Portfolio
10
New
4
You Do Something To Me
Bella Andre/Oak Press, LLC
5
New
–
Milk And Honey
6
Rupi Kaur/Andrews McMeel Publishing
5
The Cuban Affair
Nelson DeMille/Simon & Schuster
6
3
Blue Nights
7
Joan Didion/Knopf Doubleday Publishing Group
–
We Were Eight Years in Power
Ta-Nehisi Coates/One World
7
3
Rescuing Bryn
7
Susan Stoker/Stoker Aces Production LLC
New
The Road of Lost Innocence
8
Somaly Mam/Random House Publishing Group
–
Basketball (And Other Things)
Shea Serrano/Harry N. Abrams
8
New
Don’t Let Go
8
Harlan Coben/Penguin Publishing Group
5
1812
9
Walter R. Borneman/HarperCollins Publishers
–
Stick with It
Sean D. Young/Harper
9
–
Turtles All the Way Down
9
John Green/Penguin Young Readers Group
New
My Kitchen Year
10
Ruth Reichl/Random House Publishing Group
–
The Subtle Art of Not Giving A F*ck
Mark Manson/HarperOne
10
10
Before We Were Yours
10
Lisa Wingate/Random House Publishing Group
6
Hardcover Business
Origin
1
Dan Brown/Knopf Doubleday Publishing Group
What Happened
5
Hillary Rodham Clinton/Simon & Schuster
Prayer
Timothy Keller/Penguin Books
TITLE
AUTHOR / PUBLISHER
7
Sleeping Beauties
9
4
Stephen King and Owen King/Scribner Book Company
A Column of Fire
Ken Follett/Viking
10
7
9
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 21 - 22, 2017 | C11
REVIEW
When Mr. Davies was a teenager,
a pop singer was what he wanted
to be. He sang choir as a boy in
York, but when his voice broke, he
formed a band with his friends and
they auditioned for Sony Records
in London. His mother, who was
also his grade-school history
teacher, wanted him to prepare for
university instead.
One day in choir rehearsal,
while he was still aspiring to be a
pop star, he started singing to
himself in a high range. A classmate told him he sounded pretty
good. With that
encouragement,
at age 16, he
joined another
cathedral choir
and started
singing falsetto.
“It wasn’t predestined, but
that felt like I’d
climbed into the right sort of costume,” he says. He was comfortable in the world of classical music: His father, a cellist, played in a
string quartet.
At the University of Cambridge,
he majored in archaeology and
anthropology. “I didn’t want to do
music because it was very dry and
academic,” he says. After graduation, he studied at the Royal
Academy of Music, where he is
now a fellow.
A pivotal point in his career
came in 2004, when he won second
place in the London Handel Festival’s singing competition. An agent
discovered him and helped him
land recording deals and auditions
for opera productions. Mr. Davies
went on to perform major roles
such as Oberon, king of the fairies,
in Benjamin Britten’s “A Midsummer Night’s Dream” in 2009 in
Houston and in 2013 at the Met.
Mr. Davies is now in New York
preparing for his fourth performance at the Met and his first on
Broadway. He and his wife, a
schoolteacher with whom he lives
in York, came to the U.S. on the
Queen Mary 2. Aside from Wi-Fi
trouble, an elderly crowd and copious amounts of food, he says, it
was a good vacation—though he’s
still living with the results. “I’ve
never been 12 stone [168 pounds]
before!” he says.
While stateside, he has noticed
differences between U.S. and European audiences. In his experience,
Americans dress more formally at
opening galas, but European opera
fans have better manners overall.
Of all audiences, he says with a
laugh, “I’m amazed at how loudly
people think they can cough.”
Mr. Davies realizes that opera’s
fans are mostly older, but he says
the industry shouldn’t fixate on
trying to attract a younger crowd.
The audience’s age, in his view,
has to do with the art form. “A 1year-old is not expected to be
able to read Proust because he
can’t,” he says. “It’s not that
adults at 20 can’t listen to the
music, but they might not be
ready to do it.” Opera, he adds,
“is elitist in a good sense.”
Mr. Davies also sees opera as
spiritual. He compares the stage to
an altar and the conductor to a
high priest. “It’s very Catholic in
that sense, and you can’t force people to go to it.” He says his job is
to just perform the best he can. “If
what we put on stage is very good
and very high-end in terms of quality, then at least we can say we’ve
done our bit.”
CHRIS SORENSEN FOR THE WALL STREET JOURNAL
Opera ‘is
elitist in
a good
sense.’
WEEKEND CONFIDENTIAL: ALEXANDRA WOLFE
Iestyn Davies
ON A RECENT rehearsal break at
New York’s Metropolitan Opera,
singer Iestyn Davies let out a yodel
to demonstrate his singing range.
The highest point of his “yodel-ayee-oo!”—the “ee” part—is the
range that he’s known for. “The
top bit is the bit that I do all the
time,” he says.
As a countertenor, he sings in a
range that most men rarely reach.
“It’s not something you can do on
a whim,” he says, calling it the vocal equivalent of “being a contortionist.”
As one of the world’s bestknown countertenors—a small
group of male singers who have
high, flutelike voices—Mr. Davies
has performed in major operas
around the world, from “Death in
Venice” at La Scala in Milan to
“Written on Skin” at the Royal Opera House in London. For his contributions to music, the Englishman (whose first name is
pronounced YES-tin) was recently
honored as a Member of the Order
of the British Empire. “You get to
meet the queen!” he says—or,
standing in for her, “Prince Charles
in my case.”
This fall, Mr. Davies, 38, will
perform in two major New York
productions: “The Exterminating
Angel,” a surreal, avant-garde opera by Thomas Adès opening
Thursday at the Met, and “Farinelli
For his next act, England’s esteemed
countertenor returns to the U.S.
and the King,” a Broadway play
starting previews Dec. 5. Set in the
1700s, the play is about a castrato,
Farinelli, who soothed the spirits
of Spain’s King Philip V (played by
Mark Rylance). Mr. Davies performs Farinelli’s arias; another actor plays the speaking parts.
The castrati were 16th- to 19thcentury male singers who were
castrated—often at their parents’
direction—before puberty to prevent their voices from dropping
and increase their chances of becoming a successful castrato, “the
big moneymaking voice type of the
day,” Mr. Davies says. Their lack of
testosterone left them with the
voice box of a boy, and large chest
cavities gave them great lung
power for singing. As opera tastes
changed, heroic tenors started replacing the castrati, and Pope Leo
XIII made castration illegal in the
late 1800s. The countertenors bear
the musical legacy of the castrati,
says Mr. Davies.
His favorite music to sing is
from the 18th century. Still, he
finds that performing contemporary music—such as the new arias
composed for “The Exterminating
Angel”—lets him make the sound
his own. “You’re not being secondguessed by someone else who says,
‘I’ve heard it differently,’ ” he says.
“It’s as close as you can get to being a pop singer.”
MOVING TARGETS: JOE QUEENAN
GOOGLE HAS INTRODUCED an
earbud that, when paired with a
new handset, will automatically
translate 40 languages into English. This is terrific news for aspiring American entrepreneurs who
are constantly told that if they
don’t learn Mandarin, they’ll never
be able to compete in the global
marketplace.
It’s great news for American
diplomats wondering what the
North Koreans are whispering to
the Chinese. And it’s wonderful for
soccer fans who will be able to understand exactly what the Romanian midfielders are screaming at
the Swedish refs. Something about
their lineage.
But an even more exciting innovation—one that our formidable artificial intelligence experts are
doubtless developing—would be an
earbud that takes sentences spoken
in our own language and translates
the actual meaning of the words.
English is an allusive language that
relies on heavy doses of sarcasm
and irony, so words do not always
mean what you think they mean.
An instant translator of this type
would help communicate innuendo,
hidden meanings and implied
threats. It would help hopelessly
unsophisticated rubes understand
baffling phrases like “I don’t
like the cut of your jib”
or “I’d give that fellow a
wide berth.” Never again
would anyone have to
worry about a hapless interlocutor getting the gist.
For example, when parents say,
“Skyler, would you like to set the
table?” what they really mean is:
“Look, kid, if that table’s not set in
10 seconds flat, your PlayStation 4
is going in the trash.”
Similarly, the Instant Honesty
Earbud Translator could clarify
seemingly pleasant comments.
Thus, when someone gets a pres-
No need to worry
about missing
the gist with an
instant honesty
translator.
ent and says, “Why, how very, very
thoughtful!” the gift-giver might
hear, “Do you really think I would
wear that in public, you idiot?
Well, I suppose this is payback for
last year’s orange tie.”
Similarly, the device could clear
up the misunderstandings that
can distract from making
sports-stadium events the
joy they should be. Harried security guards have
been taught to speak in a
nonconfrontational fashion
that fails to get the message
across. Now, the security guard
would be able to say, “Hello! Could I
take a gander at those tickets?”
knowing full well the earbud-carrying ticket holder will hear: “We
don’t let pathetic losers like you
watch the game in the Platinum
Level Skyboxes. Not now. Not ever.”
Business would become a lot
more transparent. For an earbudwearing visitor, a contemptuous
administrative assistant’s greeting
of “And you are?” would immediately sound like “Do you really
think I’d let a slob like you go in
and talk to my boss?” And corporate representatives could no longer hide behind the classic line,
“We refuse to dignify those slanderous accusations with comment,” which would become, “Of
course we’re the ones who dumped
all that dioxin in the river.”
The translator would also do
yeoman duty in warning people to
avoid potentially dangerous situations. “Private party,” a restaurant
bouncer would say. “Your reservation’s canceled.”
But the words heard by the person with the Instant Honesty device
would be: “The Cosa Nostra, the
Medellín Cartel, 35 motorcycle
gangs and several hundred alumni
of the KGB are having their Christmas party inside. Why not go have
a hot fudge sundae at Applebee’s?”
JAMES YANG
These Earbuds Will Never Lie to You
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
C12 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
REVIEW
EXHIBIT
Animal
Tales
IN THE NEW BOOK “ENDANGERED” (Abrams, $65), photographer Tim Flach showcases more than
150 images of species at risk, from Siamese crocodiles to coral to chimpanzees. Mr. Flach traveled
the world to capture close-up images of animals in zoos and in their natural habitats. Conservationists helped him map his candidates. His goal, he writes in the introduction, is to “invite sameness by creating portraits of animals that emphasize their personality.” —Alexandra Wolfe
Top: This young white-bellied pangolin is wrapped around its mother’s tail. The animal is hunted for its scales, which go into traditional
Chinese medicine; for its skin, used in handbags; and for its meat. Top right: The Philippine eagle was once widespread throughout
the Philippines. As forests have disappeared, they now number fewer than 500. Middle right: Conservationists have engraved the backs
of ploughshare tortoises, from northwest Madagascar, to prevent smugglers from taking the creatures and selling them in the pet trade.
Bottom right: The Indian gharial, a type of crocodile, has seen its natural habitat disappear due to irrigation and engineering projects.
PHOTOGRAPHS BY TIM FLACH
PLAYLIST: SCOTT KELLY
Coldplay’s Space Trip
During a year in orbit, an astronaut was
inspired by ‘Speed of Sound’
Scott Kelly, 53, is a retired astronaut and veteran of four space
flights, including a yearlong mission aboard the International
Space Station. He is the author of
the memoir “Endurance” (Knopf).
He spoke with Marc Myers.
aboard the station in 2015, I’d get
up early, go up into the station’s
cupola—the seven-window observatory—and open the debris
shutters. There, I’d listen to my
iPod and look out at Earth.
“Speed of Sound” combined the
feeling of being weightless with
motion and velocity. We were
traveling at 17,500 mph, orbiting
every 90 minutes.
From space, Earth’s
color is the most beautiful blue you’ve ever seen.
You don’t see political
borders, just shapes of
continents. Everyone appears to be part of the
same country. The pollution over Asia is obvious.
So is the devastation that
loggers have done to Brazil’s rainforest. You get a sense that the
planet needs protecting.
I retired from NASA in April
2016. Now, when I hear “Speed of
Sound,” it takes me back to those
days at the station—the teamwork and the challenge of doing
something really complicated and
risky. I miss space.
Ever since NASA’s Space Shuttle
program ended in 2011, we depend
on the Russians to launch us into
space. On my final mission to the International
Space Station in March
2015, we took off from
Kazakhstan and returned
there a year later. Coldplay’s “SPEED OF
SOUND” was with me.
I first heard “Speed of
Sound” when it came out
on Coldplay’s 2005 album, “X&Y.”
The song spoke to me of space
exploration and discovery. I began taking the song on missions
in 2007, when I commanded the
Endeavour Space Shuttle flight to
the station. NASA provided the
crew with iPods and favorite
songs, though they were afraid
we’d crank up the volume and
damage our hearing.
“Speed of Sound”
opens with a piano and
CHRIS
synthesizer playing a riff
MARTIN of
that’s repeated throughColdplay
out the song. Then the
performing
drums kick in and Chris
in 2005.
Martin launches into his
vocal. “Look up, I look
up at night / Planets are
moving at the speed of
light.” The chorus puts
flight and space in perspective: “All that noise,
and all that sound / All
those places I have
found / And birds go flying at the speed of
sound / To show you
how it all began.”
On Saturdays, during
my yearlong mission
EDDIE KEOGH/REUTERS
Music
for
viewing
Earth.
HISTORICALLY SPEAKING: AMANDA FOREMAN
Power in a Few Pages
THE REFORMATION began on Oct. 31, 1517, when
Martin Luther, as legend has it, nailed his “95 Theses”
to a church door in Wittenberg, Germany. Whatever
he actually did—he may have just attached the papers
to the door or delivered them to clerical authorities—
Luther was protesting Catholics’ sale of “indulgences”
to give sinners at least partial absolution. The protest
immediately went viral, to
use a modern term,
thanks to the new “social
media” of the day—the
printed pamphlet.
The development of the
printing press around
1440 had set the stage: In
the famous words of the
German historian Bernd
Moeller, “Without printing, no Reformation.” But
the pamphlet deserves
particular recognition. Unlike books, pamphlets
were perfect for the mass
market: easy to print and
therefore cheap to buy.
By the mid-16th century, the authorities in
France, Germany and England were fighting a rearguard action to ban pamphlets. Despite various
edicts in 1523, ’53, ’66 and
’89, the pamphlet flourished—and
gained some highly placed authors.
Although she professed disdain for
the medium, Queen Elizabeth I contributed speeches to a 1586 pamphlet
that justified her decision to execute
Mary, Queen of Scots. Two years
later, the Spanish printed a slew of propaganda pamphlets that tried to turn King Philip II’s failed invasion
attempt of England into a qualified success.
By the 17th century, virulent “pamphlet wars” accompanied every major religious and political controversy in Europe. By then, pamphleteers needed an exceptionally strong voice to be heard above the din—
something even harder to achieve once newspapers
and periodicals joined the battle for readers as the
century matured.
What is a pamphlet, anyway? One popular source
says 80 pages; Unesco puts it as five to 48 pages.
Shortness is a pamphlet’s strength. Though the
work did little to ease Ireland’s poverty, the satirist
Jonathan Swift opened English eyes to the problem
with his 3,500-word mock pamphlet of 1729, “A
Modest Proposal,” which argued that the best way
to alleviate hunger was for the Irish to rear their
children as food.
Half a century later, Thomas Paine took less than
50 pages to inspire the American Revolution with
his “Common Sense” of
1776. A guillotine killed
Marie Antoinette in
1793, but often-anonymous pamphlets had assassinated her character
first in a campaign that
portrayed her as a sexcrazed monster.
Pamphlets could also
save reputations—such
as that of Col. Alfred
Dreyfus, the French-Jewish army officer falsely
convicted in 1894 of spying for Germany. After
realizing that Dreyfus
was a victim of antiSemitism, the writer
Émile Zola published in
1898, first in a newspaper and then as a pamphlet, a 4,000-word open
THOMAS FUCHS
letter, “J’accuse…!”
which blamed the French
establishment for a vast coverup. His
cry, “Truth is on the march, and
nothing will stop it,” was ultimately
proved right; Dreyfus won a full exoneration in 1906.
What Zola achieved for religious
equality, Martin Luther King Jr. did
for the civil-rights movement with his “Letter from
Birmingham Jail,” written after his arrest for civil disobedience. Eventually published in many forms, including a pamphlet, the 1963 letter of about 7,000
words contains the famous line, “Injustice anywhere
is a threat to justice everywhere.” The words crystallized the importance of the struggle and made tangible King’s campaign of nonviolent protest.
Not everyone has lost their belief in pamphlet
power. Today, the best-selling “On Tyranny: Twenty
Lessons from the Twentieth Century” clocks in at
about 130 pages, but the author, Yale history professor Timothy Snyder, said he’s comfortable with calling it a long political pamphlet.
Pamphleteers
included Queen
Elizabeth I.
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | C13
* * * *
PLAY
NEWS QUIZ: Daniel Akst
Jeff Immelt’s 16 years as CEO
of GE. How much did GE stock,
also including dividends, go up
in that time?
1. With
which GOP
colleague
did Sen.
Patty
Murray
(D.,
Wash.)
reach a
bipartisan agreement to shore
up the Affordable Care Act and
lift some of its requirements?
National Museum
of Mathematics
Provided by the
The team enjoys playing
with these digit combination
challenges posed by
the coach.
A. 8%
B. 108%
C. 208%
D. 308%
Making 25
6. A facial recognition database
in the works will be linked to a
“social credit” system to collect
data on people, including socialmedia postings, and use it to
rate their trustworthiness.
Who’s behind all this?
A. Lamar Alexander
B. Susan Collins
C. John McCain
D. Lisa Murkowski
A. Google
B. Equifax
C. Bridgewater Associates
D. China’s Ministry of Public
Security
2. In a battle of U.S. allies,
what oil-rich city did Iraqi forces
wrest from Kurdish control?
A. Basra
B. Kirkuk
C. Almaty
D. Calgary
Using only +, -, ×, ÷,
exponents, decimal
points, parentheses and
concatenation (that is,
combining two digits
into another number;
for instance, putting 1
and 2 together to make
21 or 12), find two ways
to make 25 using 1, 4
and 6. No roots,
factorials, repeating
decimals or other
math functions are
permitted.
7. Liberal
tycoon
George
Soros
has
turned
over nearly
$18 billion—to
what?
3. Which of these is the latest
to have to undergo stress
tests?
FROM TOP: ASSOCIATED PRESS; EUROPEAN PRESSPHOTO AGENCY
VARSITY MATH
From this week’s
Wall Street Journal
A. Prospective voters
B. Potential newlyweds
C. Mortgage-seekers in
Canada
D. Nonbank investment
firms in Europe
ILLUTRATION BY LUCI GUTIÉRREZ
A. His cable provider, in
order to get faster internet
service
B. The Democratic Party
C. The Bill and Melinda
Gates Foundation
D. Open Society
Foundations, a philanthropy
he founded
4. More schools are including
someone new at parent-teacher
conferences. Who’s that?
A. Emotional-support
animals
B. Students
C. Lawyers
D. All of the above
Two Ways to 32
+
Living in the Past
S P U R
S A T E
T R A V
T H U
P
S R S
T O U R
I M P E
R E E S
O R E
N
P L E D
A T L
C R I M
E S T E
E N
WE S
C H I C
H I G H
A S H
T K T
Varsity Math
In Commuters’
Dilemma, the
equilibrium driving
time is 140
minutes. In
Construction
Conundrum, the
equilibrium driving
time is 130
minutes.
A. Cartier
B. Kmart
C. Lord & Taylor
D. Amazon
To see answers, please
Learn more about the National Museum of Mathematics (MoMath) at momath.org
SOLUTIONS TO LAST
WEEK’S PUZZLES
8. Wal-Mart is nearing a deal
to give dedicated space on its
website to which of these
retailers?
5. Including dividends, the
S&P 500 rose 213% during
For previous weeks’ puzzles, and
to discuss strategies with other
solvers, go to WSJ.com/puzzle.
Now try making 32 two ways: first using 4, 5 and 7,
then using 5, 6 and 7.
turn to page C4.
N
E
E
D
A
R
I
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S
N
L I
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S T
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T E
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G R I Z Z L Y
R O L L E
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MA
WA N T
MA R
MO S Q U I T
L E R
U S M C
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P A S S A
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H E R E
R
WR E S T L I N
I H A T E
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G O D O T
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Weaving
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WE L B
WA L T E
S I E R
S S I
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13
R 14
D
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AWE
D I U
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M E H
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S A Y B
LWA R
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G U
A
THE JOURNAL WEEKEND PUZZLES Edited by Mike Shenk
1
2
3
4
5
6
18
9
10
11
12
13
20
29
34
35
31
48
54
55
67
57
69
78
81
83
91
99
103
71
75
76
80
84
85
92
98
59
70
79
82
93
100
86
87
94
95
104
115
116
118
119
121
122
89
90
102
105
106
111
88
96
101
110
52
65
74
77
51
58
64
68
44
50
56
73
109
43
49
63
66
39
42
47
62
72
17
33
38
41
61
32
37
46
53
16
27
30
36
40
45
15
24
26
28
14
21
23
25
97
8
19
22
60
7
107
112
113
108
114
117
120
123
124
Quiet Time | by Joe DiPietro
Across
80 “Children of
Abraham” author
Sholem
81 Video game
failures
83 Bygone boomer
85 Like a buyer’s
market
87 Diwali celebrant
91 Sea-___
(personal
watercraft)
92 Shooter’s support
94 Mugs
96 Creature with a
wailing call
97 Amber brew
99 ...a careless
plumber?
102 Closeness
measure
103 Labor result, at
times
104 Theresa May,
for one
105 Strand with a
twist
106 Vortex
108 Place to transfer:
Abbr.
109 Prepared for
testifying
111 Villainous
intention
113 Pop singer
Sheena
115 Requests from
regulars
116 ...a bad writer?
118 Feel contrite
about
119 Chrome dome’s
problem
120 Jared Goff, e.g.
121 Flammable
solvent
122 Energy
123 Pointillism
pattern
124 Couturier’s
concern
Down
1 He’ll eat
anything
2 String together
some victories
3 Courted
4 Subj. that Trump
got a B.S. in
5 Hedgehog’s
cousin
6 Priest’s cover
7 Enter
enthusiastically
8 Crazy in the
cabeza
9 Where to dip a
quill
10 Chooses
randomly
11 Some paintings
12 See 6-Across
13 Sudden outburst
14 Lombardy lang.
15 ...a washing
machine
repairman?
16 Union contract?
17 Behind
20 Bountiful person
21 Did a field job
1
O
2
19
T
20 M
37
Y3
73 G 74
94
C 75
Q5
F
96
S 97
P
8
H
9
29
J 30
L 31 W
J 64 H 65 B
L 78 A 79 W 80 N 81
J 82 Y 83
T 84 Q 85 H 86 D 87
I 99 N
B
44
193 T 194 P 195 R 196 Z
Z 18
X
S 33 G
34 D 35
Y 36
T
51
I
69 U 70
E 88 U 89 M 90
142 L 143 F 144 A
180 H 181 X
16 W 17
F
Z 68
I 91
T 52 H
53 G 54 N
F
B
71
92
107 V 108 Z 109 O
K 93
R 72 O
F
110 M 111 U 112 J
128 Q 129 E 130 N
131 S
145 V 146 O 147 R 148 E 149 K 150 W
159 L 160 M 161 J 162 W 163 I 164 F 165 O
170 Z 171 E 172 U 173 A 174 D 175 R 176 M 177 C 178 O 179 S
C
66 D 67
122 F 123 A 124 B 125 C 126 Y 127 R
140 T 141 B
156 N 157 G 158 V
32
Y 15
47 V 48 A 49 K 50
103 K 104 X 105 R 106 C
I 119 L 120 X 121 Z
137 W 138 X 139 P
154 H 155 C
P
I 45 Q 46 R
100 T 101 W 102 A
116 P 117 N 118
191 C 192 G
G
L 62 X 63
132 D 133 H 134 G 135 J 136 M
190 S
S 12
61
E 43
E 28
J 11
K 26
X 42
I 27
D 10
25
41
Z 98
114 S 115 H
151 P 152 D 153 U
V7
P 58 Y 59 U 60 C
76 V 77
K
6
Q 22 A 23 N 24 B
F 40 U
56 W 57
L 95 Q
113 G
21
V 38 O 39
55 M
E4
182 Y 183 Q 184 V
166 P 167 X
168 N 169 B
185 I 186 B 187 T 188 U 189 K
197 Q 198 L 199 K 200 Y 201 O 202 J 203 M 204 D 205 E 206 S
Acrostic | by Mike Shenk
To solve, write the answers to the clues on the
numbered dashes. Then transfer each letter to the
correspondingly numbered square in the grid to spell
a quotation reading from left to right. Black squares
separate words in the quotation. Work back and
forth between the word list and the grid to complete
the puzzle. When you’re finished, the initial letters of
the answers in the word list will spell the author’s
name and the source of the quotation.
M. Radioactive halogen
that’s the rarest
naturally occurring
element on Earth
____ ____ ____ ____ ____ ____ ____ ____
N. Troupe’s
performance
(2 wds.)
____ ____ ____ ____ ____ ____ ____ ____
____ ____ ____ ____ ____ ____ ____ ____
20 176 160 55 110 89 136 203
23 117 168 130 54 156 80 99
A. Stagehand who
helps with costume
changes
____ ____ ____ ____ ____ ____ ____
102 173 48 78 144 22 123
O. Unfeeling rake in
Nicholas Rowe’s
“The Fair Penitent”
____ ____ ____ ____ ____ ____ ____ ____
B. Elton John hit that
begins “It’s a little
bit funny, this
feeling inside”
(2 wds.)
____ ____ ____ ____ ____ ____ ____ ____
P. Singer nicknamed
“the nightingale of
the Andes” (2 wds.)
Q. Austin Powers
catchphrase
(2 wds.)
____ ____ ____ ____ ____ ____ ____ ____
C. Novelist who wrote
the screenplay for
1957’s “Gunfight at
the O.K. Corral”
(2 wds.)
____ ____ ____ ____ ____ ____ ____ ____
R. Constantly
updating list
of posts on a
Facebook page
(2 wds.)
____ ____ ____ ____ ____ ____ ____ ____
D. Farthest point
from the sun in a
planet’s orbit
____ ____ ____ ____ ____ ____ ____ ____
S. Coral atoll used for
atom bomb testing
from 1948 to 1958
____ ____ ____ ____ ____ ____ ____ ____
E. Adjective on
Crayola boxes
____ ____ ____ ____ ____ ____ ____ ____
T. Confused jumble
____ ____ ____ ____ ____ ____ ____ ____
F. Court officer who
acts as a crier and
assists the judge
____ ____ ____ ____ ____ ____ ____ ____
U. Prominent (3 wds.)
____ ____ ____ ____ ____ ____ ____ ____
V. Act of vengeance
____ ____ ____ ____ ____ ____ ____ ____
G. Get along from first
meeting (3 wds.)
____ ____ ____ ____ ____ ____ ____ ____
____ ____ ____ ____ ____ ____ ____ ____
W. Sister of Osiris and
Isis and mother of
Anubis
____ ____ ____ ____ ____ ____ ____ ____
H. Deferentially
respectful
I. Shooting site
(2 wds.)
X. Functioning;
virtually (2 wds.)
____ ____ ____ ____ ____ ____ ____ ____
____ ____ ____ ____ ____ ____ ____ ____
____ ____ ____ ____ ____ ____ ____ ____
Y. Family business
practice
____ ____ ____ ____ ____ ____ ____ ____
J. From the start
(2 wds.)
____ ____ ____ ____ ____ ____ ____ ____
Z. Upper edges of a
boat’s side
____ ____ ____ ____ ____ ____ ____
K. Single-seat plane
used by the RAF in
the Battle of Britain
L. Most important
piece of evidence
(2 wds.)
____ ____ ____ ____ ____ ____ ____ ____
24 124 186 43
91 141 169 65
106 155 191 60 125 15 177 74
152
27
5
9
3
34 174 86 132 66 204
129 148 42 171 87 205
143 164 93 50 122 70 39
134 53 113 157 12
180 154 52 85 115
8
64 133
163 98 118 26 68 185 90 44
112 29 135 81 202 161 63
10
49 199 189 25 103 92 149 75
77 198 142 119 61
109 178 165 72
28 116 166
95 45 84
7
4
1
201 38 146
57 139 194 151
183 128 21 197
195 105 71 175 13
46 147 127
206 179 114 131 11 190 32 96
187 83 36
51 193 100 140 19
69 153 88 111 40 188 59 172
47 184 145 76
6
158 107 37
73 192 33
30 94 159
101 162 79 137 31
138 120 104 181 41
126 200 2
121 17
56 150 16
62
18 167
14 182 35 82 58
97 67 170 108 196
Get the solutions to this week’s Journal Weekend
Puzzles in next Saturday’s Wall Street Journal.
Solve crosswords and acrostics online, get pointers
on solving cryptic puzzles and discuss all of the
puzzles online at WSJ.com/Puzzles.
s
1 Beastly brutes
6 With 12-Down,
start of a simple
request
10 With no chance
of revival: Abbr.
13 First name of a
redheaded girl
of kiddie lit
18 Scrounger
19 His last book was
“O’Hara’s Choice”
21 Planet with 62
moons
22 Remark meant to
silence...a
chiropractor?
24 Delivered the
keynote
25 Less sensible
26 Trees with purple
flowers
27 Like village
roads
28 News team’s
transport
29 iPhone setting
31 Surprised cries
32 Dino with short
arms
33 Bench player
34 Ocean killer
36 ...a Del Monte
employee?
39 Make a decision
40 Felt contrite
about
41 Abbr. often
capitalized on
envelopes
42 Making a ruckus
43 Letters on
luggage tags for
a 20-Down
45 Done
47 Exactly
49 Trike rider
50 Kool customer
53 Join the service,
perhaps
55 Crocs often cover
them
57 “Ripper Street”
channel
59 While away, as
time
60 Disrespect
contemptuously
63 Eid celebrant
64 Prime
investments
66 Rap producer
Gotti
67 ...an FBI agent?
71 “Star Wars”
episode named
“Revenge of the
Sith”
72 No-cal drink
74 Waffles
75 Conference
name changed
in 2011 when a
pair of schools
were added
77 Amazon
smart-home
product
78 Clause negator
79 Picture in an
IKEA manual, e.g.
23 “The Goldbergs”
daughter
27 Plane workspace
30 Like greasy
takeout
32 Treaty
restrictions
35 Expert
37 Soaking, say
38 Favela city
44 Southwestern
wolf
46 Rubbish
48 Seitan
alternative
50 Rascally rogues
51 Friend of Wally
and tormentor of
Beaver
52 Sticky stuff
54 Composers
Webern and
Bruckner
56 First cube after
one
58 Glad item
60 Eschewed
impartiality
61 Tag line?
62 ...a pushy waiter?
63 Short supply
65 Summer
getaway
68 Mileage meter,
for short
69 Naive
exclamations
70 Significance
73 “Africa” rockers
76 Dog dressing
79 Was in first
place on
80 Cornered
82 Many a young
European traveler
84 Secret seeker
86 “Never mind!”
88 Fake news?
89 Like some theses
90 Melodramatic
damsel’s cry
92 Effective insult
93 Grosset’s
publishing
partner
95 Tear
97 Calm the nerves
of
98 Short and stocky
100 Lift
101 Wasn’t fair, in a
way
107 Counts’
counterparts
110 Hard to find
111 Hedgehog’s
cousin
112 Upcoming 2017
Pixar movie
114 Slugger’s swing
116 Drop off
117 Doesn’t lack
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
C14 | Saturday/Sunday, October 21 - 22, 2017
* ***
THE WALL STREET JOURNAL.
REVIEW
Michelangelo’s
INDELIBLE
LINES
A new exhibition focuses on the artist’s
drawings; a cat, a donkey, a portrait of
Cleopatra and flashy calligraphy
BY BRENDA CRONIN
FOR MICHELANGELO, sculpting meant freeing
the figure inside a block of marble. Carmen C.
Bambach, curator in the department of drawings and prints at the Metropolitan Museum of
Art in New York, sees a similar effort in the Renaissance artist’s works on paper. “It becomes
a process of liberating the form within,” she
said. “And when he draws, you kind of sense
that approach as well.... You always sense this
forcefulness of his strokes.”
The Met has assembled the largest group
of Michelangelo’s original drawings ever for
public display, said Ms.
Bambach. “Michelangelo: Divine Draftsman
and Designer” includes
128 drawings, three
sculptures and a painting, all by the master.
The show, which opens
Nov. 13, also offers glimpses of the artist’s
poetry and the calligraphy on which he
prided himself.
A relentless taskmaster, Michelangelo polished his own penmanship, moving from an upright Gothic style to an elegant italic cursive by
the time he was 25 years old. “We know that he
loved beautiful handwriting, and he criticizes
his nephews about the fact that they had really
terrible handwriting,” Ms. Bambach said, adding that in one letter, Michelangelo chided: “I
don’t know where you people learned to write!
I haven’t been able to read your letter because
I began and I got a headache from reading it.”
A natural leftie since his birth in 1475, he
trained himself to write and draw right-handed
but hammered with his left when sculpting.
Although Michelangelo’s best-known
works, such as the painted ceiling of the Sistine Chapel and his “David” and “Pietà” sculptures—are flashier, his drawings brim with
revelations about their complex creator.
“Drawings are one of the most intimate acts,”
Ms. Bambach said. “There is a tremendous
sense of immediacy. You are really seeing the
artist articulating ideas.”
The show opens with a gallery devoted to
Michelangelo’s training as a teenager in the
Florentine workshop of Domenico Ghirlandaio.
He dazzled in unforgiving mediums such as
pen-and-ink, in which mistakes were hard to
erase or conceal. Although some biographers
cast Michelangelo as a
revolutionary creator, he
owes a substantial debt
to late-15th century artists, such as Ghirlandaio,
and their traditions, Ms.
Bambach said.
The exhibit includes
drawings and paintings
by Ghirlandaio, including his “Drapery Study
for a Standing Figure.”
The work details techniques that Michelangelo would apply, such as
cross-hatching
in pen-and-ink
and gouache to
capture
how
garments sloped
over the shoulders
and
bunched
around the elbows.
In 1496, a 21-year-old
Michelangelo arrived in
Rome, where over the
decades he produced
most of his greatest
works, many for the
Vatican. Michelangelo’s
protean talent helped
the patrons and pontiffs
who admired his work
MICHELANGELO’S ‘Unfinished Cartoon for a Madonna and Child’ (1525-30).
to indulge his dyspeptic
nature.
According to Ms. Bambach’s catalog for the whimsy, such as a cat tucked into a domestic most a third dimension, she added.
The show borrows from 50 lenders, includexhibit, Pope Leo X is said to have despaired scene and a donkey faintly visible in his drawthat “one cannot work with him,” while Pope ing “The Holy Family with Two Angels.” Mi- ing museums and private collections, in the
Clement VII described the artist as “a man with chelangelo reused paper and often crammed U.S. and Europe.
One wall includes a cluster of Michelangelo’s
whom Job would not have had patience for a poetry and drawings on the same page. In a
letter written in 1519, the artist framed his sketches of idealized “Divine Heads,” many presingle day.”
The exhibit includes precise architectural words with sketches of a bird and the bones sented as gifts to friends or patrons. Among
them is a black chalk rendering of an anguished
drawings and lush figure studies. A room dedi- of a bird’s foot.
The exhibition’s name comes both from the Cleopatra in an elaborate headdress, her bare
cated to the Sistine Chapel ceiling shows how
Michelangelo progressed from tentative to poet Ludovico Ariosto, who labeled the artist shoulders encircled by the asp that some say
the “divine” one, and Giorgio Vasari, one of ended her life. In another, Michelangelo porbold in his drawings.
“The increasing self-assurance of the artist Michelangelo’s biographers, who placed him trays his friend Andrea Quaratesi, a handsome
is noticeable,” Ms. Bambach writes in the cata- above all artists. The Italian word disegno young aristocrat from Pisa, in formal clothes
log, between his relatively timid study for the means both a drawing, or a work of art on pa- with a pensive gaze.
Late in life, the artist softened his drawing
head of the prophet Zechariah and the “power- per, as well as the conceptual aspect or deful drawing” for an imposing figure on the ceil- sign element, Ms. Bambach said. Michelan- style, Ms. Bambach said, creating works that
ing, a priestess known as the Cumaean Sibyl. gelo’s obsession with sculpture and the seem “almost like pure spirit.” He died in 1564,
A number of sketches hint at the artist’s human body affords his works on paper al- two weeks before he would have turned 89.
He dazzled in
unforgiving
mediums.
CASA BUONARROTI, FLORENCE
MASTERPIECE: ’BIBLICAL SCENES FOR THE [150TH] ANNIVERSARY OF THE REFORMATION’ (1667), BY ANNA BUMP
BY PETER PLAGENS
A 12-FOOT-LONG, 21-inch-high tapestry
woven in 1667 by a 23-year-old woman
named Anna Bump is both a lens through
which to look back on an intensely pious
moment in northern Germany and a
strangely modern-looking work of art.
Known more or less officially as “Biblical
Scenes for the [150th] Anniversary of the
Reformation” (that is, Martin Luther’s
beginning it by nailing his 95 Theses to
the door of the Wittenberg Cathedral), it
consists of five horizontally contiguous
panels that retell the life of Christ: his
earthly birth, teachings, Crucifixion and
final Ascension into heaven as “judge of
the world.” The centerpiece of an exhibition titled “Anna Weaves Reformation: A
Tapestry and Its Histories,” and accompanied by an elegant small catalog, it’s on
view at the Museum of European Cultures in Berlin through Jan. 28, 2018.
IT
In the tapestry, hundreds of small figures, with skin rendered in near-white
neutrals and clothing in mostly blood- or rustred, along with details proffered in forest
green, almost crowd out the black background.
Blue is as rare as heaven, and just as startling
when it appears. The pictorial space is as flat
as a Parchesi board and equally jazzy. The second panel includes a depiction of two soldiers
rolling dice for Christ’s robe—a six + one, and
a three + four!—that’s so cartoonishly simplified it seems almost contemporary. The overall
look of Bump’s great work lies somewhere between a Hieronymous Bosch vision of heaven
and hell and a parade of holy Gumbys.
The first panel depicts scenes from the life
of Jesus from his birth to the Temptation, the
second from the Last Supper to the Entombment after the Crucifixion. Panels three and
four cover the supernatural, from the Resurrection to the Last Judgment. The finale fifth
gives us the “agony of the condemned.” Select
LIES SOMEWHERE between a Bosch vision of heaven and hell and a parade of holy Gumbys.
single words from the Lutheran Bible form a
border around the extended narrative.
The border is part of the Gobelin style,
whose name derives from a 17th-century
French weaving factory. This method of weaving dispenses with knots and,
moreover, requires the weaver
to work from the back of the
tapestry, using a mirror to keep
track of progress. Scholars speculate that Bump learned the
technique from weavers or sellers traveling through the Dithmarschen region on the coast of
the North Sea.
Relatively little is known about Bump. As
was the custom for the well-off, her family
owned several pews in the church in Hennstedt
where it worshiped, and where the tapestry
was probably first displayed. Their wealth
gave their daughter the time and materials
necessary to complete so taxing a project in
less than a year. Bump was probably an inward-looking woman, and it’s possible a physical handicap kept her from marrying. The reasons for undertaking the
enormous project, however,
likely ran deeper than patronage
and pride. The Lutheran
Church—the primary societal
glue in Dithmarschen—was more
a community of equals than the
top-down quasi-governmental
Catholicism it replaced. Protestantism’s mutual equality permitted Bump to weave according to her personal faith and visual imagination.
The path of the tapestry from its creation to
its display in the Museum of European Cultures includes two major detours. It somehow
We can sense
some of the
artist’s hope
for eternity.
landed in the U.S., either in the belongings of one of the many German immigrants in the late 1800s, or through an
art dealer who brought it to America for
sale. In 1955 it went to Jerusalem, a gift
to the Bezalel National Museum from
Jacques Barley, a major player in the
American Fund for Israel. Later, after
representatives from the Bezalel showed
black-and-white photographs of the tapestry at a museum conference in Berlin,
negotiations began to return it to Germany. The German Folklore Museum—
founded with many Jewish supporters in
1889—agreed to give some of its Judaica
collection to the Jerusalem institution in
exchange for the tapestry. In 1999, the
Folklore Museum was merged with other
museums to form the Museum of European Cultures.
“Modernity’s radical orientation to the
world of the senses,” the catalog concludes, “presents an uncompromising obstacle to even a rudimentary understanding of Anna Bump’s hope in the eternal.”
Is this really true? “Biblical Scenes” may be a
late 17th century work of art whose warp and
woof even appear Medieval, but with its textile
equivalent of large pixels, it makes those of us
in the 21st century feel at least partly at home.
While fully experiencing the fire of Bump’s
faith may be difficult for most of us moderns,
31/2 centuries after she finished weaving—on
the day we now call Halloween—those of us
fortunate enough to see this humbly magnificent object in the museum, or the many more
who simply view the catalog illustrations, can
sense some of Anna Bump’s hope for eternity.
We may live in a vastly noisier and more secular time than hers, but this stunning tapestry
offers us a glimpse of a possible hereafter.
Mr. Plagens is an artist and writer in New
York.
© MUSEUM EUROPÄISCHER KULTUREN, STAATLICHE MUSEEN ZU BERLIN, UTE FRANZ-SCARCIGLIA
A VERY MODERN TAPESTRY—FROM THE 1600S
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
Christian
Louboutin
knows almost
as much about
travel as shoes
How Chevy beat
Tesla in the race
to produce a truly
mass-market
electric vehicle
D9
D11
|
DRINKING
|
STYLE
|
© 2017 Dow Jones & Company. All Rights Reserved.
FASHION
* * * *
|
DESIGN
|
DECORATING
|
ADVENTURE
THE WALL STREET JOURNAL.
|
TRAVEL
|
GEAR
|
GADGETS
Saturday/Sunday, October 21 - 22, 2017 | D1
Room and
Smorgasbord
Hotel room service was a dying art. But the rise of in-house celeb chefs and
food-delivery services are offering guests new ways to combine privacy and gluttony
PIG HEAVEN New York City’s Beekman hotel, which offers room service from Tom Colicchio’s on-site Temple Court restaurant. Pajama Top, $228, and Pants, $268, sleepyjones.com.
T
BY LAUREN LIPTON
HERE COMES A MOMENT during
every long trip when you run out of
energy to leave the hotel and forage
for a meal, and you begrudgingly
consider ordering room service. The
food will be mediocre and expensive, but at least
you can stay in. My most recent room-service capitulation came during a hectic week in Los Angeles. But instead of the cold fries and soggy
Caesar I’m accustomed to, I found myself in my
room at the LINE hotel slurping savory yakisoba
noodles delivered to my door from the hotel
kitchen. The next night, when my husband and I
moved to the SLS Beverly Hills, we tested fate
again: We ordered up a burger and a Mediterranean salad, and both were surprisingly delicious.
It seems that traditional room service is improving—finally—as hotels adapt to dramatic changes
in the way their guests prefer to travel, eat and
interact with staff.
At the year-old Beekman in lower Manhattan,
guests need not even put on pants to enjoy Dover sole or bacon-wrapped rabbit mortadella
from Tom Colicchio; all the a la carte items from
his on-premises restaurant, Temple Court, are
available via room service. The Citizen Hotel in
Sacramento, Calif., recently launched more
“shareable” items for in-room dining, including a
whole roast chicken and seasonal side dishes
prepared by its farm-to-fork restaurant. The five
newest private cabins at the rustic-glam Inn at
Dos Brisas, outside Houston, were built with butler’s entrances through which the staff can come
and go unseen; meals now materialize as if conjured by house elves. Last year the Diplomat
Please turn to page D10
[ INSIDE ]
DOLLING UP
DIGITALLY
Instructional
makeup videos are
no longer just for
the young D4
GLOW WORMS
These long, linear
chandeliers snake
way down—
sometimes to the
floor D8
A THRIFTY TIME WAS HAD BY ALL
Mechanical watches for $250 and under?
Our expert found a winning trio D3
SAVING WINE COUNTRY
Our wine columnist on the fires devouring
California’s vineyards and how to help D6
F. MARTIN RAMIN FOR THE WALL STREET JOURNAL, STYLING BY REBECCA MALINSKY, HAIR & MAKEUP BY MARY GUTHRIE, MODEL: CARRIE KIM/BELLA AGENCY
EATING
D2 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
STYLE & FASHION
FÊTE ACCOMPLI
AVAILABLE AT NEIMAN MARCUS
P R EC I O U S J E WEL S SA LO N S 8 0 0 -937-914 6
Looks of Love
ONE OF THE TRADITIONS of the Golden Heart Awards, an
annual fundraiser for God’s Love We Deliver held at
Tribeca’s Spring Studios, is that guests often show up in Michael Kors dresses. The designer has committed deeply to
the charity, which brings meals to seriously ill people in the
New York City area. In 2015 he was involved with opening a
48,500-sq-ft. building for the nonprofit, and every year he
bestows an honor for Outstanding Community Service.
This year, that award went to his friend Gwyneth Paltrow,
who worried that her long-sleeved silver Michael Kors number was transparent. “This better not be see-through,” Ms.
Paltrow said, using an expletive somewhere in the middle of
her statement.
Other members of the Kors army included Kate Hudson,
Maggie Gyllenhaal, Joan Smalls and Blaine Trump. “I love
seeing people of every age wearing my clothes,” said Mr.
Kors, as he surveyed the sold-out room. “My favorite is
when people do their own thing.” Ms. Gyllenhaal, he noted,
threw a print jacket over her printed Kors dress. “It was divine,” Mr. Kors said. “I should have shown it that way.”
Of course, a few guests bucked the trend. Ariana Rockefeller wore all-black Givenchy purchased this summer in Paris.
Theater producer Jordan Roth, who was given the Golden
Heart for Lifetime Achievement, chose an Alexander McQueen suit. “I’m having a McQueen moment,” he said. At the
after party, Leonardo DiCaprio was having a baseball-cap
moment as he chatted up models. —Marshall Heyman
Kate
Hudson
Andreea
Diaconu
Michael
Kors
Gwyneth
Paltrow
Maggie
Gyllenhaal
Jasmine
Tookes
Alexandra
Richards
Andrew
Rannells
GETTY IMAGES (PALTROW); BILLY FARRELL AGENCY (7)
JEWELS
540-837-3088 or www.elizabethlockejewels.com
LUST OBJECT
The perfecT
fiTTing
skinny jeans
What would it feel like to wear
Cartier’s $1.56 million panther bracelet?
Besides overwhelming, that is?
FELINE OF BEAUTY
Résonances de
Cartier Panthère Watch,
approximately $1,560,000,
Cartier, 212-446-3400.
Price subject to change.
f all Wm
For Petite Women
For Regular Women
For Plus Women
WA R P + W E F T
w w tw l . m
@wwtwl
f r ee sh i ppi ng. f r e e r e Tu r n s .
THERE IS A NEW kitten
among the cats at Cartier. A descendant of the panther pieces
that have prowled the French
jeweler’s house since 1914, this
feline has a functional heartbeat,
so to speak. The 62.48-carat
oval ruby that the cat cradles is
a hinged lid that flips open to
reveal a watch.
The covetable piece is part of
the Résonances de Cartier collection of high jewelry designed
around the qualities of gemstones: their shapes and colors.
“The serene attitude of the panther, lying down and protecting
the stone, was inspired by the
cabochon-cut ruby,” explained
Pierre Rainero, Cartier’s director
of image, style and heritage. The
bracelet’s price, however, may
rattle whatever serenity you possess yourself: Based on the current exchange rate, it will set you
back about $1.56 million.
Where we’d wear it We’d bide
our time until the next black-tie
occasion and pair it with an entrance-making look such as
Balenciaga’s pointedly bold polka
dot couture gown.
Yet, “It’s a playful piece,” said
Mr. Rainero. Might it not be
amusing to clasp on when taking your Shiba Inu pup to the
dog park in jeans? No, it
wouldn’t. We’d be too anxious
about saliva damage.
Why it’s so very expensive
The creation of a high jewelry
piece parallels the couture process in fashion: It took over
1,000 hours to make the whitegold-and-ruby watch. Over 30
carats of diamonds sparkle on it.
Teensy emeralds accent the cat’s
eyes; black onyx forms its spots.
How we’d feel wearing it
While some might find it
gaudy, to us, it’s legitimately
grand and telegraphs high
drama, and not of the cheesy
Broadway “Cats” variety, despite the big kitty connection.
Whoever wears it must be
comfortable attracting a lot of
attention, even controversy. After all, everyone from the Duchess of Windsor to Jay Z has
been seen in the klieg lights in
their own gem-encrusted Cartier panther. That’s interesting
company.
If you want to take a closer,
wistful look, it will be in the
Cartier Haute Joaillerie Exhibition
with other high jewelry pieces at
the Cartier Fifth Avenue flagship
in New York from Oct. 21 to 29.
BARNEYS.COM
NE W YORK
CHICAGO
B E V E R LY H I L L S
BOSTON
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SAN FRANCISCO
PHILADELPHIA
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F O R I N S I D E R A C C E S S : T H E W I N D O W. B A R N E Y S . C O M
FERRAGAMO
S A M E D AY D E L I V E RY
AVA I L A B L E I N M A N H AT TA N A N D S E L E C T Z I P C O D E S
I N T H E G R E AT E R M E T RO P O L I TA N A R E A
F. MARTIN RAMIN/THE WALL STREET JOURNAL
inTroducing
THE CAT’S
MEOW
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THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | D3
* * * *
STYLE & FASHION
THE WATCH MAN HOROLOGICAL EXPERT MICHAEL CLERIZO ANSWERS YOUR TIMELY QUESTIONS
Q
I’m paying off my student
loan and about to take on a
mortgage. I want a good mechanical watch, but the price has to be
really low—less than $250. Is
there any hope?
A
Mechanical watches often
seem out of reach for many
people, partly, I think, because of
watch writers like me. We hyperventilate about timepieces by famous brands with price tags that
cause billionaires to mutter: “Hmm,
not sure I can afford this. I think I’ll
buy that aircraft carrier instead.”
Let me make up for my past excesses and provide some reassurance: Good mechanical watches can
be had for $250 and less. Of course,
you have to make certain sacrifices,
so let’s start with full disclosure on
what exactly you give up when you
buy such a thrifty watch.
The first thing is weight. Unlike
many expensive watches, a sub$250 one will likely be lightweight
You often don’t have to
give up good design or
features in a $250 watch.
and less effective when it comes to
toning your bicep. Why the diminished heft? Affordable watches are
made with fewer traditional brass
and steel components than you’ll
find in pricier models, and the
case and the movement parts are
typically thinner.
You also give up the human
touch. While most affordable versions are still assembled by hand,
computer-controlled machines
rather than skilled workers produce their parts. In addition, a
$250 watch offers little or none of
what the watch industry calls
‘”finish”—or what results, when a
team of dedicated crafts-people
polish, engrave, decorate, gild and
bevel the edges of a movement’s
components in a time-consuming
and expensive process.
What you won’t be giving up,
however, are reliability and accuracy. The watch industry knows
how to produce affordable movements that keep ticking. And, at
that price, you can still get good design, innovation or extra features,
called complications, that provide
information beyond time.
One watch to consider in this
price range is the Defender from
the Japanese brand Orient. It
boasts a Japanese movement and
design inspired by military
watches. The watch’s dark gray or
black dial features luminous white
hands—marking hours, minutes
and seconds—that are easily visible in low-light situations.
As for the Defender’s complications: a sub-dial indicates the day
of the week; a 24-hour dial gives
you military time; and a window
located at six o’clock displays the
date. Significantly, the Defender is
F. MARTIN RAMIN/THE WALL STREET JOURNAL; ILLUSTRATION BY MICHAEL SLOAN
Penny-wise Advice on Mechanical Watches
TIME FOR CHANGE From left: Defender Watch, $250, orientwatchusa.com; Sistem Ash Watch, $150, swatch.com;
Seiko 5 Automatic SNZG15 Watch, from $80, amazon.com
water-resistant to 100 meters underwater, a claim many dearer
watches can’t make. Even with an
unapologetically sporty, stainlesssteel case, the Defender can coexist comfortably with a suit.
Though Seiko, another Japanese
brand, forges its share of grand
timepieces, it also creates a range
of low-cost, dependable mechanical
watches in its Seiko 5 Collection. By
low cost, I mean under $100.
One model, the SKN809, also
takes its cues from military design
with a black dial and luminous
markers—hours on an inner ring,
minutes and seconds on outer
rings. Complications include a day/
date display at 3 o’clock. If you’re
headed to a San Sebastian pinxtos
bar, flip the day setting from English to Spanish to promote the illusion that you’re passably bilingual.
With a stainless steel case, a canvas strap and the choice of a
beige, blue or green dial, the
watch is consummately casual.
Now for the Swiss option (you
knew there would be a Swiss option, didn’t you?): I suggest looking into a Swatch Sistem 51. While
a standard mechanical watch has
around 130 components, this admittedly simple watch makes do
with 51. Any brand that can create
a mechanical watch that handsomely functions with only 51
components impresses me.
There’s also a noteworthy range
of looks in the collection. The first
51 debuted in 2013 with a bluish,
Star Trek-esque dial. A slew of others with more sober countenances
followed, like the version shown
here with its eminently readable
numbers and rubbery band, yours
for an equally sobering price: $150.
Good luck with the mortgage.
FAST FIVE
1
URBANE
JUNGLE
5
3
F. MARTIN RAMIN/THE WALL STREET JOURNAL/STYLING BY JILL TELESNICKI
4
2
This fall, combat boots
are both officers and
gentlemen
SOPHISTICATED, even formal,
these military-inspired boots are
work-appropriate. Shiny or
matte pebbled leathers elevate
the sturdy surplus-store classic.
From left: 1. Burford Boots,
$670, trickers.com 2. Leander
Boots, $315, grenson.com 3.
Barolo Boots, $1,100, Bottega
Veneta, 800-845-6790 4. Alfie
Boots, $1,100, santonishoes.com
5. Vladimir Boots, $545, usonline.apc.fr —Jacob Gallagher
6 8 5 F I F T H AV E N U E
WO R L D T R A D E C E N T E R
6 2 5 M A D I S O N AV E N U E
2 1 5 1 B RO A D WAY
T H E S H O P S AT C O L U M B U S C I R C L E
118 SPRING STREET
S T U A RT W E I T Z M A N . C O M
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To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
D4 | Saturday/Sunday, October 21 - 22, 2017
* ***
THE WALL STREET JOURNAL.
STYLE & FASHION
Vanity, Thy Name
Is YouTube
Most people think makeup videos are for
millennials, but a new breed of addictive
how-tos are taking mature viewers hostage, too
S
OME 10 YEARS ago, before YouTube launched in
2006, women had limited
options when it came to
learning how to apply
makeup. They could look at magazines’ beauty pages, or subject
themselves to a makeup-counter
makeover; perhaps ask a know-it-all
sister how to wield a sable blush
brush. “I just started experimenting
when I was about 15,” said Karen
Kelsky, 53, the founder and president of The Professor Is In, a career
development service based in Eugene, Ore. But for the past two
years, Ms. Kelsky has found it “challenging to figure out what products
work for middle-aged skin.” Testing
them was costly, ineffective and
time-consuming.
A growing number of
online makeup tutorials
play to over-35 viewers.
So she turned to YouTube beauty
tutorials, long thought to solely target ’tweens, teens and millennials
desperate to rip off Rihanna’s
swoopy eyeliner effect or diamondstudded nails. What she found was
a growing number of beauty vloggers—such as makeup artist Lisa Eldridge and Alissa Zinnerman of
Alissa Ashley—who addressed her
older-woman concerns. Beauty
channels such as Monique Parent or
Hot and Flashy (“a very funny
name,” said Ms. Kelsky) cater to her
generation.
While channels aimed at millennials still draw the largest audience,
the growing number of viewers over
35 have different needs where
beauty tutorials are concerned. The
most important factor is time. “I
look for videos that are short and
precise,” said Anwar Kishawi, 50, a
bank vice president in Chicago. For
Janet Manley-Norkin, 36, a senior
features editor at Romper, a parenting advice website based in New
York City, “every YouTube video is
too long. There is too much talking.”
These time-conscious viewers
have options. Timed tutorials such
as “My 5-Minute Makeup Look” by
Ms. Eldridge, where a clock ticks
down as she goes from a scrubbed
face to a makeup enhanced one, are
popular. So too are videos that
speed through boring interludes, sequences during which, say, the vlogger interminably blends in face
primer. Sugar Puff and Fluff’s vlogger Nisha shortened a “Hooded,
Droopy Eyes” video; while it’s still
long (19 minutes), it now has over
2.3 million views. Ms. Kishawi simply fast forwards, she said: “I skip a
lot. On a 10-minute video, I might
watch four minutes total.”
Most older women prioritize videos that focus on natural-looking
makeup over goth extremes. Kristine Hernandez, a 51-year-old bookkeeper in Orange County, Calif.,
searches for vloggers who are
aware that women over 50 rarely
covet sooty raccoon eyes. “Most are
for very young people and involve
lots of makeup,” she said. Ms. Eldridge, who is also creative director
at Lancôme, a beauty brand known
for its age-aware marketing, does
videos that address the needs of
those with older skin, or skin affected by rosacea and vitiligo. Alissa
Ashley’s Ms. Zinnerman offers tips
for “fresh-faced makeup.”
Of course, older women sometimes like to glam it up or be edgy.
Ms. Hernandez perfected her cateye swoop, she said, by watching
the Cherry Dollface channel. Mykie,
the L.A.-based vlogger behind the
Glam & Gore channel, has a few
minute-long videos of techniques
that work for any age. But feel free
to skip the “Red Glitter Eyebrows”
portion of her curriculum unless
you want to scare Halloweeners.
WENJIA TANG
BY SHERRI GARDNER
STEVEN LE, COURTESY OF THE DALÍ. ©2017 – SALVADOR DALÍ MUSEUM, INC., ST. PETERSBURG, FL (EXHIBIT); F. MARTIN RAMIN/THE WALL STREET JOURNAL, STYLING BY ANNE CARDENAS (SCARF, BROOCH, BAG)(
THE MUSEUM OF
MODERN...SHOPPING?
These major fashion exhibits offer more than just a
style education: They also function as boutiques
BY KIMBERLY CHRISMANCAMPBELL
HELLO DALI A glimpse into the
galleries of ”Dali & Schiaparelli,”
an exhibition in St. Petersburg,
Fla., running through Jan. 14.
Pochette Kabuki Bag,
$2,680, Louis Vuitton,
866-884-8866
Uzbekistan Scarf, $136,
The Jewish Museum Shop,
212-423-3333
Ruby Lips Brooch
Reproduction, $250,
shop.thedali.org
Emin & Paul Blouse,
$158, vam.ac.uk
IF FALL’S MUSEUM fashion
exhibitions put you in the
mood for a shopping spree,
you won’t have to go far to
flex your Amex. The institutions’ gift shops have been
stepping up their game after
the success of shows like the
2011 blockbuster “Alexander
McQueen: Savage Beauty” at
New York’s Metropolitan Museum. Beyond the usual Tshirts and coffee mugs, visitors can score limitededition fashion pieces they
can’t buy anywhere else.
“Dali & Schiaparelli” at the
Salvador Dali Museum in St.
Petersburg, Fla. (Oct. 18-Jan.
14) celebrates both the friendship between Surrealist artist
Salvador Dali and couturière
Elsa Schiaparelli and the
duo’s clever collaborations,
among them the Shoe Hat
from Schiaparelli’s Winter
1937-1938 couture collection.
While the infamously bizarre
shoe hat isn’t for sale, the
museum shop is hawking a
relevant reproduction: Dali’s
1949 Ruby Lips brooch, which
is modeled, like his Mae West
Sofa (also on display), on actress Mae West’s lips.
Museums that once
avoided explicitly commercial
fashion exhibitions that might
blur the line between gallery
and gift shop are increasingly
featuring living designers and
active labels. “Items: Is Fashion Modern?” at New York’s
Museum of Modern Art
(through Jan. 28) singles out
111 iconic garments and accessories, such as the little black
dress and the white T-shirt.
MoMA Design Store merchandisers reached out to a dozen
designers and brands, including Issey Miyake, Champion
and Ray-Ban to do MoMAbranded versions of items,
said Emmanuel Plat, director
of merchandising at MoMA
Design Store. Issey Miyake’s
1980 cotton turtleneck, for
example, is now in seamless
polyester. The museum shop
serves as an extension of the
curatorial concept.
The theme of workmanship runs through three major exhibits: “Balenciaga:
Shaping Fashion” currently
running at London’s Victoria
& Albert Museum (through
Feb. 18); “Volez, Voguez, Voyagez—Louis Vuitton,” which
highlights the history of the
company’s leather goods at
the American Stock Exchange
building in lower Manhattan
(Oct. 27-Jan. 7); and “Veiled
Meanings: Fashioning Jewish
Dress” at New York’s Jewish
Museum (Nov. 3-March 18).
In all three cases, stylish souvenirs are on offer: from a
Balenciaga-inspired blouse
and a Louis Vuitton bag to
scarfs patterned after the
Jewish Museum show’s ornate Uzbekistan scarfs (all
shown left).
Selfishly, we’re secretly
hoping that MoMA will merchandise a version of the
iconic silver Elton John platforms on display before
“Items” closes up shop.
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
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THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | D5
* * * *
EATING & DRINKING
Dessert Should Always Be Imminent
Do as pastry chefs do, and keep a stash of your favorite cookies, cakes and other sweet treats in the freezer, ready to bake
A
S I WRITE this, I’m nibbling on a warm, gooey
chocolate chip cookie I
baked on a whim, without any messy measuring or mixing. It’s a trick I learned
from home-baking guru Dorie
Greenspan: Make the dough, portion it out with an ice cream scoop,
freeze those nuggets of goodness,
then bake them on demand. The upside? Hot cookies in 10 minutes,
whenever you feel like it. The
downside? Hot cookies in 10 minutes, whenever you feel like it.
I’ve discovered that professional
pastry chefs are also in the habit of
stockpiling desserts. While savory
chefs fixate on cooking to order, the
unspoken craft of pastry lies in
working ahead—way ahead.
At Walnut Street Café in Philadelphia, head baker Melissa Funk
Weller, a veteran of restaurants
such as Babbo and Per Se, pulls
many of her pastry goods—scones,
pies, cookies—straight from the
The unspoken craft of
pastry lies in working
ahead—way ahead.
freezer. “All we do is pop them in
the oven in the morning,” said Ms.
Weller. “It’s just a matter of how
much can you do ahead. You want
to make the work for the person
who comes in the next day easy.”
Freezing isn’t just about time
management. Certain foods improve
after they’ve had a chance to rest.
“When you age dough, sometimes it
tastes better,” said Ms. Weller.
“That’s the case with bread, and it’s
the case with some cakes, too.” One
such dessert is a zucchini-olive oil
cake she adapted from the late Gina
DePalma, another Babbo alum. To
appeal to health-conscious customers, Ms. Weller makes the recipe vegan by using a binding mixture of
flax meal and water in place of
eggs. “We have six of them in the
freezer at a time,” she said. “There’s
no shame in it.” And because the
cake contains olive oil and zucchini,
it actually gets more moist each day
after baking, even after it’s thawed.
“It keeps so well, it’s amazing.”
More-elaborate desserts get the
make-ahead treatment, too. Natasha
Pickowicz, the pastry chef at Flora
Bar and Café Altro Paradiso in New
York City, has earned a reputation
for her finely honed seasonal fruit
crostatas. “Baking from frozen is
the key to their success,” she said
of her single-crusted pies. “That’s
how you’re going to get the best
bake.” The walk-in freezer at Café
Altro Paradiso always contains a
week’s worth of crostatas stacked
on sheet trays, ready for prime
time. “It’s like a party trick,” she
said. “You can just throw it in the
oven. It’s like having a frozen
pizza—but you made it.”
And it’s just a superior way to
make a tart. For starters, freezing
preserves fruit at its peak. “It will
hold its shape, it won’t oxidize or
color, it won’t mush out or ripen,”
said Ms. Pickowicz. Then there’s the
crust, which must be flaky. To
achieve this, she makes dough
speckled with bits of butter, and
freezes the crostata solid. It hits the
oven, and magic happens. “When
you flash pastry at high heat you’re
shocking it,” she said. “As the butter melts it creates steam, and the
force of the steam separates the
layers of flour and creates the flakiness. If the butter is really cold, it
doesn’t melt out right away.”
Not all frozen desserts are destined for the oven. Hillary Sterling,
the chef at Vic’s, an Italian restaurant in Manhattan, swears by her
semifreddo, a three-ingredient
wonder made from honey, egg
yolks and heavy cream that comes
to the table frozen—or, “semi-frozen,” the literal translation of the
name. “I like semifreddo because
we can make it in one large batch
and slice it when we need it, and
the texture of it never changes,”
she said of the creamy dessert.
“The honey brings down the freezing point, and the egg yolks prevent the semifreddo from being
icy, and keeps it all together. It’s
like a cold slice of fluff.”
Though Ms. Sterling molds her
semifreddo in a large terrine, you
can use a simple loaf pan, or even
muffin tins for individual portions.
“These desserts are designed for
quick plating,” she said. For home
cooks, it’s remarkably convenient.
“You can make this on Tuesday if
you’re having a dinner party on Saturday,” she added. “It’s all good.”
Find a recipe for early-fall
crostata at wsj.com/food
Zucchini Olive Oil Cake
This cake offers the surprising benefit of becoming more moist each day after it’s baked. It’s an ideal cake for breakfast, a
snack or dessert. It also happens to be vegan. If you want to fancy it up a bit, ice the cake with a simple citrus glaze.
ACTIVE TIME: 30 minutes TOTAL TIME: 11/2 hours SERVES: 8 to 10
For the cake:
Nonstick cooking spray
1½ cups flour, plus more
for dusting
3 tablespoons flaxseed
meal
½ cup whole-wheat
pastry flour
¾ teaspoon fine sea salt
1 teaspoon baking powder
½ teaspoon baking soda
½ teaspoon nutmeg
2 small to medium,
zucchini, trimmed
1. Make cake: Place rack in middle of
oven and preheat to 350 degrees.
Spray a 9-inch springform pan with
nonstick cooking spray and dust inside
with flour, tapping out excess.
2. In a small bowl, combine flaxseed
meal and 3 tablespoons warm water,
and mix to combine. Set aside and let
mixture soak 10 minutes.
3. In large bowl, whisk together wholewheat pastry flour, salt, baking powder,
baking soda and nutmeg. Set aside.
4. Place a box grater on a clean
kitchen towel. Grate zucchini on large
holes of grater. Wrap grated zucchini in
Honey Semifreddo With Toasted Almonds
½ cup honey, plus more
to drizzle
8 egg yolks
1 cup heavy cream
Chopped toasted
almonds, to serve
1. Spritz a 9- by 5-inch loaf
pan with water, then line
pan with plastic wrap, leaving a generous overhang on
1
long sides.
2. Attach a candy thermometer to a small saucepan.
Pour in honey, set over medium heat and heat to 240
degrees.
3. Use an electric mixer to
beat egg yolks at low speed.
With motor running, slowly
add heated honey in a
2
3
4
14
5
6
17
7
8
9
18
27
C
R
31
13
O
25
28
29
S
33
S
37
40
R
S W O
32
36
48
12
22
24
D
34
38
J
41
43
11
19
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30
10
Fold plastic wrap overhang
across surface to cover, and
freeze overnight.
5. To serve, slice semifreddo
into 2-inch-thick slices.
Sprinkle chopped toasted almonds over top and drizzle
with honey.
—Adapted from Hillary
Sterling of Vic’s, New York
16
20
47
steady stream. Continue to
beat until mixture is pale
and has doubled in volume,
about 7 minutes.
4. In a medium bowl, beat
cream until stiff peaks form.
Fold whipped cream into
yolk mixture. Pour mixture
into prepared pan, smoothing surface with a spatula.
15
26
Boost your brainpower. Get the mental workout
you need to stay sharp with the Journal’s addictive
daily crossword.
a spatula to smooth surface. Bake until
cake is brown on top, pulls away from
sides of pan and springs back when
gently pressed, 55-60 minutes. Cool in
pan 10 minutes. Remove sides of pan
and let cake cool slightly on rack.
7. Meanwhile, make citrus glaze: In a
small bowl, whisk together lemon and
orange juices and confectioner’s sugar
until no lumps remain. Place a baking
sheet under cooling rack. Use an offset
spatula to spread glaze over cake.
—Recipe adapted from Melissa
Funk Weller of Walnut Street Café,
Philadelphia
towel and wring out as much water as
possible. Set aside.
5. Use an electric mixer fitted with
paddle attachment to beat sugar and
orange zest on low speed until zest is
evenly distributed, about 20 seconds.
Gradually add olive oil and beat on medium speed until incorporated, 30 seconds. Add soaked flaxseed meal and
beat on medium speed to aerate and
emulsify batter, 1 minute. Add zucchini.
and mix on low speed to distribute.
Add dry ingredients and mix on low
speed until fully incorporated.
6. Pour batter into prepared pan. Use
23
27 Across, 29 Down
2 tablespoons lemon
juice
2½ tablespoons orange
juice
1 cup powdered sugar,
sifted
ACTIVE TIME: 30 minutes TOTAL TIME: 81/2 hours (includes freezing) SERVES: 6-8
Words to
the Wise
Activity that gives you
the best mental workout.
1 cup plus 2 tablespoons
granulated sugar
Zest of 1 orange
2/
3 cup extra-virgin
olive oil
For the citrus glaze
(optional):
35
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45
49
50
54
46
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Play now: wsj.com/puzzles
© 2017 Dow Jones & Co. Inc. All rights reserved. 6DJ5420
BRYAN GARDNER FOR THE WALL STREET JOURNAL, FOOD STYLING BY HEATHER MELDROM, PROP STYLING BY VANESSA VAZQUEZ
BY GABRIELLA GERSHENSON
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
D6 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
EATING & DRINKING
ON WINE LETTIE TEAGUE
THE WORDS “wine country” usually evoke a verdant landscape of
vineyards and rolling hills, not
burned-out buildings and scorched
earth. But that’s what parts of California look like right now. Napa
and Sonoma have been under siege
by fires these past two weeks. As
winery owner Sam Coturri of
Sonoma’s Winery Sixteen 600 put
it, “Wine country is being attacked
by a faceless, malicious enemy.”
With multiple fires all over both
counties and in neighboring Mendocino and Solano as well, it’s impossible to predict the ultimate
impact of the conflagration that
consumed this beautiful part of the
world. Wineries, hotels, restaurants and vineyards, not to mention thousands of homes, have
been destroyed; as of this writing,
at least 42 people have died and
many are still missing. The fires
are the worst in the history of California. And yet the winemakers,
grape growers and vintners I
spoke with last week ended their
stories of struggle and loss on a
note of resiliency and a shared
sense of community.
“Winemakers are being helped
by winemakers, growers are being
helped by growers. There is a total
collective approach that’s not surprising, but it’s beautiful to see,”
said Jeff Bundschu, president of
Gundlach Bundschu winery in
Sonoma. Mr. Bundschu’s family has
been making wine in Sonoma for
160 years, and they’ve dealt with
various fires as well as earthquakes over the years. On his
Facebook page, Mr. Bundschu has
been chronicling the current fires,
sometimes hour by hour, often including photographs of the “local
heroes”—firefighters and first responders.
The Bundschus and their winery
staff began battling the flames
themselves on the night of Sunday,
Oct. 8, when the fires in both counties began, and worked until the
flames subsided on the 14th. A concert at the winery had just ended
when Mr. Bundschu noticed “an orange ball” on the ridge of the Mayacamas Mountains that divide
Napa and Sonoma. Fires aren’t unusual in wine country at this time
of year, when the air is dry and the
JOHN W. TOMAC
What Can We Do to Help Wine Country?
winds are strong, but this one
looked uncommonly large. Mr.
Bundschu called his parents at
their home at the bottom of the
ridge, warning, “There’s a glow
coming. Pay attention to it.”
Mr. Bundschu’s father, a former
firefighter, tried taking on the
flames with a garden hose but
soon evacuated. Less than two
hours later, his house burned
down. The family and their winery
team spent the rest of that night
and early morning fighting the
fires that soon surrounded their
winery. Jeff Bundschu called 911
three times before finally reaching
someone who was almost in tears.
“He said, ‘I can’t help you. There’s
no one to send,’ ” Mr. Bundschu
recalled.
The Bundschus fought to save
their winery through the night and
the rest of the week, before the
flames in the immediate area
abated and the winery emerged unscathed. Meanwhile, in nearby Glen
Ellen, Sonoma Valley, Lauren Ben-
HOW TO HELP NOW// Local Organizations Accepting Donations
The Napa Valley Community Foundation has mobilized a Disaster Relief
Fund (napavalleycf.org/fire-donationpage). Community Foundation Sonoma
County has set up the Sonoma County
Resilience Fund (sonomacf.org/sonomacounty-resilience-fund). The Community Foundation of Mendocino
County administers the Disaster Fund
for Mendocino County (communityfound.org/for-donors/donate-today/
community-funds/disaster-fund-formendocino-county).
Rebuild Wine Country is a wine industry and Habitat for Humanity
partnership to raise funds to rebuild
homes destroyed by the wine country
fires (rebuildwinecountry.org). —L.T.
ward Krause and her family were
desperately trying to save their
family’s historic Beltane Ranch Estate Vineyard. “The air was dry and
the winds were almost howling,”
Ms. Benward Krause said. “We
were surrounded 360 degrees by
the fire.” The sound of trees falling
and propane tanks exploding was
terrifying, she said.
Ms. Benward Krause and her
family, along with their neighbors,
battled the blaze until the fire department arrived and brought
ranch guests and animals to safety.
They worked with shovels and
rakes; a neighbor arrived with a
tanker truck of water. And while
they lost a great deal of wine as
well as a few guests’ cars, they
saved the important buildings—and
escaped with their lives.
Chris Benziger, a vice-president
of Benziger Family Winery, was at
home in Nuns Canyon, Sonoma,
when the fires began. He described
his ordeal as “like being in the
middle of Fourth of July fireworks”
as he and his family escaped their
burning house. When we spoke last
week, he had just been “chased
out” of their evacuation house in
Sonoma by another fire. “We have
no place to live right now,” he said.
Like many Sonoma vintners, Mr.
Benziger was in the middle of harvest when the fires began, and he
estimated that some 30% of his
grapes had yet to be picked. The
grapes he did harvest were fermenting in his Sonoma winery, but
with the evacuation order still in
effect, he couldn’t get in there at
all for a couple of days. “There are
power lines down, open propane
tanks, a thousand booby traps,” he
said. Later that week, his crew was
able to get to the winery, under
police escort, for just a few hours
at a time.
‘Napa Valley will get back
to business. Supporting
our wines in the
international and national
markets will help us.’
Aaron Pott of Napa Valley’s Quixote Winery, who is a consulting
winemaker and also produces wine
under his own label, was actually
able to ride his bike past the police
blockade set up along Napa’s Silverado Trail last week to reach his
winery and visit his clients. In
Napa, the fires started high in the
hills of the Atlas Peak area—where
residents had to be rescued by helicopter—and crept along the southern end of Silverado Trail, completely burning down Signorello
Estate, a fixture in the region since
1977, as well as homes on the
nearby Silverado Resort and Spa.
Mr. Pott was “hiding out” at his
winery when we talked via FaceTime. (Cell service has been
spotty.) His family had evacuated
their home on Mt. Veeder, across
the Valley from where Mr. Pott was
huddled in the Stag’s Leap district.
With his wife and children safe in
San Francisco, Mr. Pott remained
at the winery, tending to the wine,
working by candlelight when the
power went out and putting out
small fires set by drifting sparks—
one of which came within 15 feet of
a diesel tank, he reported rather
nonchalantly. He was pretty sure
his vineyard and his house had
burned down but chose to look on
the bright side. “My only solace is
that we have a lot of rodents in our
house and they might all be dead,”
he said. When I checked in a few
days after our call, Mr. Pott reported that his house and vineyard
had both survived, but his immediate neighbors weren’t so fortunate.
While parts of Napa and Sonoma
remain untouched by the fires, no
one is untouched by their neighbors’ plight. The Martinellis in Russian River Valley, Sonoma, opened
up their property to evacuees who
needed a place to keep their cars.
Lee Martinelli, Jr., has also been
helping newly homeless friends
find places to live. “A lot of people
I know got out with just what they
were wearing,” Mr. Martinelli said.
At Pride Mountain Vineyards,
which straddles the Napa-Sonoma
line on top of Spring Mountain,
Stuart Bryan, family member and
winery principal, noted that so far
the fires had spared them. But he
was concerned about erroneous reports he’d heard. “I saw a television reporter standing in an empty
vineyard talking about ‘smoke
taint’ in the wines,” he said. “That
field was completely empty; the
grapes had been harvested.” He
added that the Napa harvest was
“about 90% complete” when the
fires began.
Misinformation and fear that
people will stay away from the region are among producers’ longrange concerns. Of more immediate
urgency is ensuring the safety,
well-being and livelihood of their
staff. Local residents need jobs and
places to live. They also need people to buy their wine.
There is wine in barrels, tanks
and bottles already on the market.
“Napa Valley will get back to business,” said Ray Signorello, Jr.,
whose Napa winery burned to the
ground. “Supporting our wines in
the international and national markets will help us.” Sonoma producer Sam Coturri echoed that
thought: “My message to the world
is, ‘Send money to our relief efforts and buy our wines. Life
around here depends on people
buying our wine.”
Email Lettie at wine@wsj.com.
Rib-Eye Steaks With Lemon-Herb Butter
The Chef
Erin French
Her Restaurant
The Lost Kitchen,
in Freedom, Maine
What She’s
Known For
Making her tiny
town a dining
destination.
Forthright New
England cooking
punctuated with
fresh surprises.
ONE NIGHT, exhausted after a long shift at
her previous restaurant, Erin French made
the questionable choice of logging on to
TripAdvisor to check her reviews. Sure
enough, she found a blistering critique of a
steak she’d served. But she did not become
dejected. “I became obsessed,” she said. “I
needed to know where I’d gone wrong. I researched and cooked steak after steak until
I understood the rules.”
Six years later and at the helm of the
Lost Kitchen in Freedom, Maine, Ms.
French has mastered the steak. For her
third Slow Food Fast recipe, she shares her
go-to rib-eye, seasoned with nothing more
than salt and pepper, finished with a
scrumptious lemon-herb compound butter.
Ms. French advised that the pan
should be ripping hot before you lay in
the steaks. “Let the meat sear and smoke
up your kitchen,” she said. (Those with
sensitive smoke alarms will want to turn
on a fan.) A couple minutes before cooking is complete, baste the steaks with
plain butter. Let the meat rest at least
five minutes before serving, to allow the
juices to redistribute. Then dot the juicy
rib-eyes with the lemon-herb butter.
Ms. French’s steaks now draw rave reviews from her guests. “This recipe taught
me patience and timing,” she said. “I
pushed to do better.” —Kitty Greenwald
TOTAL TIME: 20 minutes SERVES: 4
Kosher salt and freshly
ground black pepper
2 (14-ounce) rib-eye steaks
8 tablespoons (1 stick)
unsalted butter, at
room temperature
1 tablespoon chopped
fresh marjoram
1 tablespoon chopped
fresh dill
2 teaspoons chopped fresh
thyme
1. Season steaks generously with salt and
pepper. Set meat aside at room temperature.
2. Meanwhile, make lemon-herb butter: Use
an electric mixer to whip 6 tablespoons butter
until pale and fluffy, 2 minutes. Whip in 1/2 teaspoon salt, marjoram, dill, thyme and lemon
zest until combined. Refrigerate until firm.
3. Set a large, heavy pan over medium-high
heat. Pour in oil and sprinkle meat lightly with
more salt and pepper. Once oil is very hot and
beginning to smoke, lay in steaks, making sure
not to overcrowd. (Cook in batches if neces-
Finely grated zest of 1
lemon
2 tablespoons canola or
vegetable oil
sary.) Once one side is nicely browned, after
3-4 minutes, flip steaks and sear reverse side.
Continue to cook steaks to medium-rare or
until a meat thermometer inserted into thickest part of meat reads 135 degrees, 7-8 minutes. A couple of minutes before cooking is
complete, add remaining plain butter to pan.
Once butter has melted, spoon it over meat to
baste. Transfer steaks to a cutting board and
let rest at least 5 minutes before serving.
4. Dot meat generously with lemon-herb butter and serve immediately.
BURN NOTICE For a good, flavorful sear, the pan must be smoking hot
before you lay in the steaks.
BRYAN GARDNER FOR THE WALL STREET JOURNAL, FOOD STYLING BY HEATHER MELDROM, PROP STYLING BY VANESSA VAZQUEZ; PORTRAIT: MICHAEL HOEWELER
SLOW FOOD FAST SATISFYING AND SEASONAL FOOD IN ABOUT 30 MINUTES
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
To reprint or license content, please contact our reprints and licensing department at +1 800-843-0008 or www.djreprints.com
THE WALL STREET JOURNAL.
NY
* * * *
Saturday/Sunday, October 21 - 22, 2017 | D7
DESIGN & DECORATING
Art Deco
By Way of
Shanghai
These jazz-era carpets raise the question:
Who even knew China had a jazz era?
IN 1925, SHANGHAI was the
world’s third largest city,
known as the Paris of the
East. That year, France
hosted the Exposition International—the fair that promoted modern design in the
decorative arts, which came
to be known as Art Deco—
with a Chinese pavilion by
Paris-trained architect Liu
‘You don’t see this
palette in Persian or
other Chinese rugs.’
Jipiao. Within a couple of decades, a crescent of Art Deco
banks and hotels rimmed
Shanghai’s waterfront, many
still standing.
Though few people associate the luxurious but pareddown interwar style with
China, interior designers today are mining that country’s
iteration of Art Deco, especially the vibrant, sparely
patterned carpets that came
out of Tianjin and sold in
Shanghai. Ramin S. Hakimi of
the Antique Rug Studio in
Manhattan said he recently
shipped some to a new boutique hotel in Charleston, and
added that hotelier Sean
MacPherson, the man behind
New York hipster hotels the
Ludlow and the Jane, ordered
a stack for his forthcoming
reboot of the city’s storied
Hotel Chelsea. (Mr. MacPherson’s publicist could not confirm the rugs will feature in
the final design.) And in a
Manhattan apartment, colorbesotted designer Miles Redd
planted a lavender-fielded
rug in a little girl’s bedroom.
“You never see this palette
in Persian or other Chinese
rugs,” said Mr. Redd. “Turkish rugs are reds, browns and
navy.” In the Chinese Art
Deco carpets, central expanses in heady amethyst
purple, emerald green, citrine
yellow, fuchsia, teal and midnight blue are scattered with
peonies and pagodas rendered in a simplified, stylized
manner. Bamboo stalks and
weeping willows sweep
across the wide, contrasting
borders. The late Elizabeth
Bogen, a scholar of Chinese
Art Deco rugs, observed that
their designers clearly studied abroad and were exposed
to Art Nouveau, Fauvist and
Cubist art.
“It’s not hard-edge Deco,”
explained Manhattan rug consultant Peter Saunders of the
floral motifs found in
circa-1920s rugs. By the 1930s,
the borders had entirely dis-
DECO-RATED
Left: In a Brooklyn brownstone,
WRK Design paired a Chinese
Art Deco carpet with a
markedly modernist Saarenin
chair. Right from top: Eli Peer
rug, 6 feet by 9 feet, $5,000,
1stdibs.com; 9 feet by 12 feet,
$8,000, antiquerugstudio.com;
similar styles available at
dorisleslieblau.com
FLOTO + WARNER/OTTO ARCHIVE (INTERIOR)
BY DORIS ATHINEOS
appeared and flowers had
given way to bolder, geometric shapes more commonly associated with Art Deco.
The lustrous, deep-pile
heavyweights boast distinctive motif placement as well.
“Peking rugs [feature] more
allover patterning, usually
with a central medallion,”
said Mr. Saunders, whereas
most Deco designs are asymmetrical.
“Asymmetrical is anti-Persian and anti-Chinese,” said
Elisabeth Poole Parker, a
consultant and former international head of Christie’s
carpet department, with a
laugh. “You would never see
wildflowers in one corner
but not the other on traditional rugs.”
The best-known manufacturer was Walter Nichols, a
New Yorker who operated
from Tianjin, China, until he
fled the invading Japanese in
1935. His wool carpets were
sold in Shanghai, and in the
U.S., through luxury department stores such as B. Altman and W. & J. Sloane. “He
stamped his rugs ‘Made in
China by Nichols’ on the
backside of the woven
fringe,” said Mr. Hakimi.
Design pros value the carpets’ aesthetic versatility.
WRK Design paired a
blue example with an emphatically modern red
Saarinen womb chair and a
plastic storage table (see
above). For the aforementioned girl’s bedroom, Mr.
Redd gave his lavender rug a
more traditional spin, pairing it with a Louis XV chair
in green velvet and trellis
wallpaper—albeit on the
ceiling.
Elizabeth will be showing her latest collection at
The Lowell Hotel Garden Suite
28 East 63rd Street, at Madison Ave, New York, NY 10065
Tuesday 24th to Thursday 26th October from 10am until 5:30pm
The Peacock Ring
5 WEST HALKIN STREET, LONDON SW1X 8JA
+44 (0)20 7823 0100 • ELIZABETH – GAGE.COM
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D8 | Saturday/Sunday, October 21 - 22, 2017
* ***
THE WALL STREET JOURNAL.
DESIGN & DECORATING
Hang ’Em High
JEFF HOLT (INTERIOR)
Vertical statement chandeliers don’t merely illuminate art. Hung from the ceiling to as low as the floor, they are the art
BEAM ME DOWN In a converted Charleston, S.C., carriage house, a long
Workstead Lodge Pendant eliminates the need for a bedside table lamp.
T
HOUGH IT’S somewhat
hackneyed, the adage
that one can never be
too rich or too thin
certainly applies to the
latest “it” chandeliers, which are
both exceedingly lanky and fashioned of opulent materials. Many
are meant to hang from ceiling to
floor and—in the manner of certain
nosy socialite dinner guests—are
migrating far beyond the dining
room, making themselves comfortable in any part of the house.
Take the new Kingdom Column
Chandelier, created by Karl Zahn,
design director of Lindsey Adelman Studio in New York. The vertical strand of glass teardrops represents a radical departure from
Ms. Adelman’s influential Branching Bubble chandeliers—treelike
systems of rods and blown-glass
globes so popular they’ve inspired
scads of knockoffs.
“Kingdom Column is still in our
comfort zone of metal and glass,
but Karl took it in such a different
direction,” said Ms. Adelman. The
column can be shortened for use
over a dining table, but Ms. Adelman added that the studio “has
been doing a lot of proposals these
days for long, skinny chandeliers.”
‘The idea was to make
a fixture that was really
long and customizable
and could be really
extreme.’
“The idea was to make a fixture
that was really long, customizable
and could be really extreme,” said
Mr. Zahn, who noted that the design was inspired by a succulent
plant called burro’s tail, whose
plump orzo-like leaves spring
from trailing stems. “Architecture
can be stark, and statement chandeliers help make the cubes we
live in feel alive.”
Compared with the wide-armed
glitz of Versailles-style chandeliers,
these vertical options serve as visual exclamation points in a room,
their powers of illumination almost
besides the point. “People perceive
these not just as fixtures but as part
of their overall art and design collections,” said David Alhadeff,
founder of The Future Perfect,
which sells fixtures by Ms. Adelman
as well as ones by London-based designer Michael Anastassiades.
In April at Salone del Mobile in
Milan, Mr. Anastassiades launched
Mobile Chandelier 11, an almost 6foot fixture inspired by artist Joan
Miró that suggests two full moons
tethered to curlicues of whisker-thin
black wires. “Michael’s silhouettes
are all about restraint, but this has
more whimsy to it than previous iterations,” said Mr. Alhadeff.
Attenuated chandeliers function
variously. “If you have a room with
a 9-foot ceiling, you could droop a
long, skinny chandelier in the corner, and then it replaces a floor
light,” said Ms. Adelman, who also
noted an increase in requests for
lights that plunge almost interminably down a stairwell past multiple
floors. Both placements have historical precedent. “In the 19th century,
chandeliers weren’t hung over only
the dining room table—they were in
hallways, or in the middle of salons,” said Judith Gura, a design historian and member of the New York
School of Interior Design faculty.
“A lot of people are using these
as bedside lighting, instead of a table lamp or sconce,” said Robert
Highsmith, who designed Workstead’s turned-oak Lodge Pendant,
available up to 4 feet long, or longer
as a custom order. “It frees up all
this space around the bed.”
Ms. Adelman also likes these daring danglers over a coffee table: “If
it’s a fixture you can see through or
past, it’s beautiful to start it really
high and let the light element cascade down so it’s hovering above
the tabletop.” Mr. Alhadeff has even
seen versions strung alongside the
mirror in a powder room.
You’ll want to use LED bulbs so
you don’t have to teeter on a ladder
to replace them every few months.
“They now have LED filaments that
look like old-fashioned incandescents, whether you want a chandelier that blends in as ambient lighting or a sculptural focal point,” said
Michael Murphy, interior design and
trends producer at Lamps Plus.
Investing in a showstopper might
just buoy your mood. Said Ms. Adelman: “For me, light really does embody a sense of hope and optimism
beyond the product.”
Chandeliers shown to scale
relative to a 5’6” woman at left.
Clockwise from top left:
Fleur De Coton Suspension,
$2,620, Roche Bobois,
212-889-5304;
Helix Long, $7,500,
thefutureperfect.com;
Tribeca Franklin Chandelier, from
$399, menudesignshop.com;
Kingdom Column Chandelier,
$30,000, lindseyadelman.com;
Praha Sculpture Single Pendant
Chandelier, $2,000, Lasvit
Atelier, 212-219-3043; Mobile
Chandelier 11, $14,000,
thefutureperfect.com
FLOWER SCHOOL
FLOWERS THAT GLOWER
Floral designer Lindsey Taylor captures Edvard Munch’s angst
THE INSPIRATION
Crenulated cockscomb
mimics the pattern in the
tabletop, and slumping
Amaranthus ‘Love Lies
Bleeding’ evokes the
desperate attitude of the
figure in Edvard Munch’s
‘Melancholy, Laura’ (1899).
Vessel, designer’s own
THE ARRANGEMENT
IN LIGHT OF approaching All Hallows Eve, I decided to use this
month’s arrangement to channel
the fear and spooky angst conveyed
by the paintings of Edvard Munch
(1863-1944).
The Norwegian expressionist, an
exhibit of whose work opens at
New York’s Met Breuer on Nov. 15,
doggedly captured anxiety, most
notably in “The Scream” (1893).
The woman in this 1899 painting,
“Melancholy, Laura,” who seems almost frozen in terror, has turned
her back to the world.
I imagined a floral arrangement
both tense and collapsed, like a
person overwrought to the point of
weariness. The heavy, rounded ceramic vessel captures the figure’s
hunched posture, its small opening
encouraging flowers to spill despondently over the rim.
The dark drama of fall annuals
nods to Munch’s palette. The quirky
cockscomb matches the pattern and
color of the table. Eerie, weepy Amaranthus ‘Love Lies Bleeding’ apes
the sitter’s attitude, especially her
hands. To me, dark chocolate cosmos suggest the hollowness of her
eyes, while small spiky balls of
gomphrena embody the pricks of
discomfort Munch’s work provokes.
Finally, the last of the buttery yellow cosmos in the garden pick up
on the warmly sunlit interior wall,
perhaps suggesting a hint of optimism, if only Laura could turn
around and enjoy it.
STEPHEN KENT JOHNSON FOR THE WALL STREET JOURNAL, FLORAL STYLING BY LINDSEY TAYLOR (ARRANGEMENT); ART RESOURCE (INSPIRATION)
KATHRYN O’SHEA-EVANS
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THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | D9
* * * *
ADVENTURE & TRAVEL
20 ODD QUESTIONS
Christian
Louboutin
The footloose shoe designer
on getting an in-flight buzz and why
he hates being a house guest
IF YOU’VE EVER had the opportunity to observe J. Lo, J. Law,
Princess Caroline of Monaco or Ryan Gosling from ground level—
either in person or in the pages of a tabloid—you probably know
that any shoe with a scarlet lacquered sole is the handiwork of
Christian Louboutin. Beyond this trademark, his exuberant designs
often reveal multicultural influences, which isn’t surprising given
the global wanderings of their maker. With a château in the
French Vendée, apartments in Paris and Lisbon, a sun-washed
compound near the Portuguese town of Melides, a houseboat on
the Nile, and houses in Los Angeles, Luxor, and, as far as he
knows, Aleppo (“I haven’t been in a while…”), Mr. Louboutin travels the world merely by going home.
Earlier this month, the Paris-based designer debuted a limited
collaboration with acclaimed Indian couturier Sabyasachi Mukherjee. Featuring just over a dozen styles, the shoe collection showcases one-of-a-kind sari fabrics and ribbons and can be found in
only eight stores around the globe, including Harrod’s in London,
Bergdorf Goodman in New York and Dubai’s Level Shoes. “With
some, there was a piece of fabric that was just enough for a heel
or maybe two or three pairs of shoes,” said Mr. Louboutin. “It was
interesting to do things that are not repetitive.” In addition to the
women’s line, the collection includes men’s shoes, a handbag and a
poupette (doll) charm. Mr. Mukherjee called Mr. Louboutin’s designs “bespoke delights for cultural magpies.” An ardent shopper
himself, Mr. Louboutin has learned a thing or two about impulse
purchases on the road: “If you really like something, buy it,” he
advised, “because you won’t see it again.” We recently caught up
with him to get his thoughts on other joys and pitfalls of travel.
arrive on the plane. Bordeaux is the
best because it has a little more sugar
than other wines; small quantity, big
knockout, and you don’t have to go to
the loo 25 times. Avoid beer.
My travel wardrobe essentials include: Lacoste polos, which I don’t
have to bring because I have them in
every home that I own. Sizes 3 and 4.
Sometimes I find sizes 5 and 6 and
am having nightmares that I ever
needed them. And a jacket with pockets with buttons. The last time I didn’t
have that, I lost my sunglasses, which
was fine [since] they weren’t prescription. That is the worst nightmare.
My usual onboard snacks are: the
salted vinegar chips I bring. They’re
fantastic with Port.
I only check baggage: if I go to
America, because there is no problem
[claiming it again]. Paris is horrible. I
don’t check when I go to Italy either,
never Venice. They often lose your luggage. When I travel in Cuba, never,
never, unless I have a book that is long
and extremely exciting, because it is an
hour, minimum, once you’re out of
Customs to get your luggage back.
Egypt, for some reason, is very easy.
My preflight rituals include: taking
half a sleeping tablet just before I
board a night flight. With a good glass
of Bordeaux, it goes straight to your
head. I like to be a little dizzy when I
To pass the time on flights: I keep a
pile of magazines and newspapers,
thinking, the next time I’m on the
plane I will read that article. In general,
it takes me two or three trips before I
read everything. I never go to the cinema in Paris, so I see every French
movie on Air France. Otherwise, I [fly
on] Emirates because they have the
best selection of movies from all
around the world: Its American selection is good. The Korean,
the Japanese and the
Indian are excellent.
The Egyptian, too,
is fantastic.
My favorite
street market is:
the Chor Bazaar in
Mumbai. There is
also a fantastic textile bazaar in
Timpu, Bhutan. I love
Bhutan. I go every year.
My best bazaar purchase was: a
Moghul swing in green enamel. Beautiful! I just got it at the Chor Bazaar. It’s
for two people.
If you asked me “house guest or
hotel guest?” I’d say: hotel for sure.
Depending on people can be painful.
In France, we have this comic book
called Asterix, the story of the French
against the Romans. The last image is
always of an entire village having a
banquet at a long table. I love the idea
of several small houses, instead of a
big house—like my beach [compound]
in Portugal—and everybody gets together for lunch and dinner but otherwise is free.
As for “street food vs. restaurants,” it depends: on the country.
The best street food is in Vietnam and
the Philippines. But the best-best-best
is Vietnam.
My favorite botanical
garden is: the one in Rio [Jardim
SITES & SIGHTINGS
ROADS LESS TRAVELED
Whether you’re a hiker, cyclist or roadtripper, here are our favorite new
ways to trail blaze from Australia to Atlanta
GEORGIA, U.S.
The Civil Rights Trail
For the paved-streets-and-steeringwheels set (not to mention American history hounds), the forthcoming Civil Rights
Trail zigzags through the state of Georgia.
The 250-mile trail, debuting in spring
2018, links the old and the new with
roadside posts marking historical events.
Until the new trail’s website launches
early next year—with maps and history
lessons that put the civil-rights movement into a historical and cultural con-
text—you can cobble together your own
self-guided tour. Stop at the three-yearold National Center for Civil and Human
Rights in Atlanta; Martin Luther King Jr.’s
birthplace, also in Atlanta; and the newly
restored Mt. Zion Baptist Church in Albany, which exhibits photos and documents of the civil rights struggle. Then
meander through the Ralph Mark Gilbert
Civil Rights Museum in Savannah, which
documents the state’s oldest AfricanAmerican community, from slavery on.
exploregeorgia.org
HEAD ABOVE THE REST
A Buddha bust from the
Gandhara period, at Pakistan’s
Lahore Museum, among
Mr. Louboutin’s favorites.
Botanico do Rio de Janeiro],
at the end of Ipanema. It’s
by the mountains and has animals
and old trees. It’s also lovely in
the evening.
The best museum is: the Cairo Museum of Egyptian Antiquities. And the
Lahore Museum in Pakistan has the
most beautiful collection of Gandhara
statues and miniatures.
The first thing I do in a hotel room
is: go straight to the fruit basket. Fruits
are different in each country and I like
to try every fruit that I don’t know.
When I’m exploring a new place: I
always have a planned itinerary, which
I’m totally happy to shake and to abandon completely.
I take pictures with: my phone but
not frantically. If I’m in the car going
from Point A to Point B, I really have
my nose and my lips glued to the window. Sometimes it’s an effort but it always pays.
I love to sketch: on the deck of my
boat on the Nile River. You move without moving. I am completely peaceful
but at the same time have the feeling
of movement. I never get bored with
the panorama—it is always changing.
EXCEPTIONAL KANGAROO ISLAND
The most stylish women in the
world live in: India. South India.
The most stylish men in the world
live in: North India, Punjab. Also in
Bhutan. Super stylish. And, judging
from photographs I’ve seen, Afghanistan.
Places I’ve never been but want to
visit include: Mongolia, Tasmania,
Galapagos and Easter Island. I’ve
never been to Yemen but it’s not a
good time. And Afghanistan, but
again, it’s not a good moment.
The one place I try to avoid is:
Marseille. I hate Marseille. Twice I got
my phone stolen and people took my
wallet. I stayed in a hotel and they
made me pay a huge fee for the person before me, who probably didn’t
pay. I said, “I didn’t drink 25 bottles
of vodka—I just arrived three hours
ago.” They threw me out and the
police made me pay. It was probably
30 years ago and I haven’t been
back since.
—Edited from an interview
by Margot Dougherty
AUSTRALIA
The Kangaroo Island
Wilderness Trail
Just off the coast from Adelaide, Kangaroo
Island’s year-old, 38-mile hiking trail takes
wanderers along rugged coastlines and
through forests inhabited by wallaby, large
lizards and, the island’s namesake, kangaroo. Four campsites along the trail (each
one with tents and food prep areas) allow
you to spread the hike out over five days.
Tempted as you might be, no lingering permitted—trekkers are only allowed one night
per campsite. If you’re more of a leisurely
stroller than a serious backpacker, hire an
outfitter to transport your pack to each site
(kangarooislandwildernesstrail.sa.gov.au).
Butterfield & Robinson also leads cushy
trips on part of the trail (butterfield.com).
BOSNIA & HERZEGOVINA AND CROATIA
The Ciro Trail
HOP TO IT Part of the Kangaroo Island Wilderness Trail off Australia’s southern coast.
For some reason the river is a fantastic place to concentrate.
If ghost towns, hidden caves and religious shrines are more your speed, consider two-wheeling around the Balkans. A
new 100-mile bike path (paved and
gravel), the Ciro Trail, runs along an erstwhile Austro-Hungarian rail line that
stretches from the Bosnian town of Mostar to the walled city of Dubrovnik on
the Dalmatian Coast in Croatia. Along the
way, bikers pass former railway stations
(some, like Stanica Ravno, have been
turned into hotels) and villages that have
been abandoned since the Balkan wars of
the early 1990s. Take a detour to the
nearby town of Medjugorje, the pilgrimage site where six children famously
claimed to have seen an apparition of the
Virgin Mary in 1981, or the ancient Vjetrenica Caves, both of which are just a
few miles from the paved route. ciro.herzegovinabike.ba —David Farley
G e t of f t he bea t e n pa th a n d
#L e tH a waiiH a p pe n
Discover a variety of unique events
on Maui and Moloka‘i.
The Made in Maui County Festival
November 3-4, 2017, Maui
Discover locally made products from more than
140 vendors including food, art, crafts, jewelry,
fashion, furniture, gifts, and more.
Sentry Tournament of Champions
January 3-7, 2018, Maui
From World Golf Hall of Fame members to
modern day stars, cheer on the pros at this exclusive
tournament celebrating a rich history of golf champions.
Ka Moloka‘i Makahiki 2018
January 25-27, 2018, Moloka‘i
Enjoy this annual festival dedicated to the
Hawaiian deity Lono with cultural traditions, ceremonies,
athletic competitions, and celebrations of renewal.
gohawaii.com/maui
Events are subject to change.
DYLAN THOMAS FOR THE WALL STREET JOURNAL (PORTRAIT); SLAVA LOPEZ (MELIDES); ART RESOURCE (SCULPTURE); GETTY IMAGES (GARDEN)
My last vacation was in: Switzerland, a place called Château-d’Oex, in
the mountains, in a chalet. It was my
first time in the Swiss mountains in
the summer. I loved it.
SOLE SEARCHER Clockwise from
left: Christian Louboutin in his shop
on Mount St. in London; Missamita
flats from his new capsule collection;
Rio de Janeiro Botanical Garden; Mr.
Louboutin’s usual in-flight snacks;
the designer's compound in Melides.
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D10 | Saturday/Sunday, October 21 - 22, 2017
THE WALL STREET JOURNAL.
* ***
ADVENTURE & TRAVEL
ROOM SERVICE, RETHOUGHT
Breakfast-in-Bed
Trade Secrets
“It is extremely difficult to serve
a good quality product in an expedient manner at a fair price,”
said Patrick Bottiglieri, a career
hotelier and professor in the
food business management
program at the Culinary Institute of America in Hyde Park,
N.Y. We asked him, as well as
other industry experts and frequent travelers, how to get the
fastest, most satisfying meal at
the best possible value.
1.
Manage your breakfast.
”Breakfast is the busiest and
most frenzied meal period,” said
Mr. Bottiglieri. Streamline your
breakfast by filling out the doorknob menu the night before;
those menus are picked up during the predawn hours and really
do help the staff get your food to
you more expediently. Choose a
room-temperature croissant,
which travels better than toast.
BED AND BANQUET From top: The
Bird & Bottle meal from the roomservice menu at the Citizen Hotel in
Sacramento, Calif.; the Chicago
Athletic Association hotel offers
delivery from Shake Shack.
Our order of yakisoba with shrimp,
steak and fries arrived in stacked
stainless-steel containers wrapped
in a traditional Korean cloth. After
our server handed us our bundle
and left, we realized that to open
the wine we’d either have to chew
out the cork with our teeth or
make a second call to room service
and again have to talk to an actual
human being. The server cheerfully
returned minutes later with a corkscrew, but this was hardly the efficiently antisocial transaction we
were hoping for.
Judging by our experience, it’s
easy to understand why industry
experts say a single delivery—
which may also include fielding unrelated guest questions like how to
turn on the TV—can take 30 minutes. The labor-intensive process
requires extra staffing, chefs and
managers said, which is reflected in
the delivery fees associated with
room service.
The in-room meals at the SLS
Beverly Hills also come from the hotel restaurant, Tres by José Andrés,
where $152 bought an in-room dinner for two that included a burger
on a homemade brioche bun, a cucumber-tomato-feta Fattoush Salad
with prawns and lemon-sumac
dressing; a bottle of Villa San Juliette Merlot and four handmade
chocolates for dessert, plus a $5 delivery charge and 20% gratuity. The
food was fresh and flavorful, and
the fries accompanying the burger
were just-out-of-the-fryer hot and
crispy—no easy logistical feat, I
have since learned.
Guests’ tastes have changed
with the times, hoteliers said.
Younger, more sophisticated travelers don’t want a generic meal in
their room; they want to sample
the unique local cuisine. According
to a 2016 survey by Topdeck
Travel, a tour operator catering to
millennials, nearly 70% of 18- to
39-year-olds cited eating local
food as a motivation for taking a
trip. If it can be consumed in bed
while watching TV at odd hours,
so much the better.
This renewed focus on hotel
room service also comes at a time
when home food delivery, once a
feature available in only a few major cities, has become commonplace. Takeout apps such as GrubHub, which launched in 2004, went
public in 2014, and serves hundreds
of U.S. cities; and Caviar, which specializes in elite restaurants, has
taken the mystery out of finding local hot spots that deliver, making
out-of-towners more comfortable
ordering from them. “People are
very familiar with these apps,” says
Kareem Spahi, a graduate of Cornell
University School of Hotel Management who is developing room-service technology for hotels. “You can
open your phone anywhere, Google
‘pizza,’ and you’ll find it.”
RAW DEAL The ’Fresh Fridge’ mini
bar at Nobu Hotel Epiphany in Palo
Alto, Calif.
Some smaller hotels are outsourcing their room service, either
to completely unrelated restaurants or to on-site eateries run by
an outside entity. The 4-month-old
Lokal, a boutique inn in Philadelphia, supplies its guests with
iPads loaded with apps, including
Caviar, from which guests can order delivery. Lokal also has arrangements with two nearby restaurants to bring over breakfast
for guests who request it. In New
York City’s Chinatown, the new
Hotel 50 Bowery curates local-delivery recommendations for their
guests. And at the Chicago Athletic Association hotel, room service comes courtesy of Shake
Shack, the popular fast-food chain.
One big upside to these vetted entities—they’ll deliver straight to
your room. Otherwise, for security
reasons, you may have to wander
the lobby looking for the takeout
guy. (For other innovative roomservice alternatives, see “Happy
Meals,” below.)
In fact, the provenance and plating of the food may be irrelevant to
many room-service users. In June,
Lisa Gabor and her husband Stephen Segaller stayed at the whiteglove Lanesborough London and
chose room service for virtually every meal. They weren’t lured in by
the hotel’s boast that its menu is
overseen by the Lanesborough’s Michelin-starred chef, Florian Favario.
They simply had no choice. Somewhere over the Atlantic, Mr. Segaller, a television executive in New
York, fell ill, forcing the couple to
remain in the hotel for most of the
trip. The presentation of room service became a main source of entertainment during a vacation that was
otherwise a bust.
“The room service was fabulous—so old, old, old school, with
tablecloths and silver domes they
removed with great flourish,” said
Ms. Gabor, the co-founder of a
branding and digital content firm.
“I was almost expecting Bugs
Bunny to be underneath.”
What exactly did they eat?
“I don’t remember,” Ms. Gabor
said.
2.
Order off the menu. It’s perfectly acceptable to ask for small
modifications to an order. Magazine editor Brian Pontolilo, a
mostly vegetarian who uses
room service frequently on his
business travels, has learned that
some room service dishes are
easy to customize: Leaving the
seafood out of a pasta dish with
seafood and fra diavolo sauce,
for example. He has also learned
to order salads with dressing and
cheese on the side. “It’s a little
bit of a surprise when you order
a salad thinking it’s going to be a
healthy option, and it comes
smothered in cheese,” he said.
3.
Temper your expectations.
At the Inn at Dos Brisas, the restaurant’s gazpacho with edible
flowers and avocado sorbet is
not on the room-service menu
for a good reason: The property
is big, the Texas climate can be
hot and humid, and by the time
the dish arrives at your room via
SUV or golf cart, “The flowers
will be dancing around the bowl,
and the sorbet will be melted,”
said general manager Ruben
Cambero. You can order it anyway, but just understand that
while “it’s going to taste the
same, it won’t look the same.”
4.
Stick to the basics. Stephen
Harvill, a business consultant
who travels at least 45 weeks a
year, orders the same thing at every hotel: A club sandwich. “You
can ask for a medium-rare burger
and it comes rare, but sliced turkey on bread is impossible to
screw up. I have eaten $15 club
sandwiches, and I have eaten $50
club sandwiches, and the only
discernible difference between
them is the address of the hotel.”
5.
Don’t assume anything. A hotel’s celebrity-chef restaurant
may also handle in-room meals,
but you can’t be sure. Ask if the
room-service menu comes from
the restaurant or another kitchen.
—L.L.
HAPPY MEALS // HOTELS AROUND THE COUNTRY ARE COOKING UP NEW APPROACHES TO IN-ROOM DINING. HERE, FOUR METHODS YOU MIGHT ENCOUNTER
You’re On
Your Own
PETE GAMLEN (4)
The Lokal in Philadelphia’s Old City
neighborhood
(from $215 a night,
staylokal.com) lacks
a central kitchen.
Instead, each of its
six rooms comes with an iPad loaded with fooddelivery apps with which guests can order in. The
Lokal also has package deals with city restaurants Fork and High Street to deliver breakfast to
guests on request. The new Hotel 50 Bowery in
New York City’s Chinatown (from $325 a night,
jdvhotels.com) has no room service (yet) but does
offer local-delivery recommendations from chef
Dale Talde, who operates its ground-floor restaurant, Rice & Gold. Guests in the log cabins at Big
Cedar Lodge in Missouri (cabins from $500 a
night, bigcedar.com) can order a “Backyard Basket,” with steak, chicken, burgers or hot dogs
they can grill on their cabin’s deck.
Inside Job
For hotels with onsite restaurants,
delivery from an
unaffiliated eatery
can mean lost business—not to mention the potential
security headache
of unvetted delivery-people roaming the halls. The
solution: cleverly packaged “delivery” from their
own restaurants. The Tilden Hotel in San Francisco (from $199 a night, tildenhotel.com), which
opened in March, boasts “brown bag room service” from its Douglas Room restaurant; menu
items include duck confit wings, quinoa salad and
a Philly cheesesteak. Guests at the Chicago Athletic Association (from $249 a night, chicagoathletichotel.com) can order up a ShackBurger from
the Shake Shack outpost in its lobby. The Diplomat Beach Resort in Hollywood, Fla. (from $199 a
night, diplomatresort.com), offers delivery from six
of its 10 on-site eateries.
Human-Free
After hearing from
female travelers
that they don’t love
opening the door
for room service,
the new Inn at 500
Capitol in Boise,
Idaho (from $205 a
night, innat500.com), fit each room with a butler’s
pantry. Staff can slip food and dishes in and out
through an external compartment. The Inn at the
5th in Eugene, Ore. (rooms from $209 a night,
innat5th.com), includes the same feature. The haciendas at the Inn at Dos Brisas, in Texas, also
come with a butler’s pass (haciendas from $650 a
night, dosbrisas.com). Meanwhile in California, at
the Nobu Hotel Epiphany in Palo Alto. (from $299
a night, nobuhotels.com), the restaurant will stock
in-room fridges with fresh fruit and salads, and at
the Aloft Cupertino (from $139 a night, aloftcupertino.com), “Botlr,” a robot printed with a butler’s
bow tie, can deliver snacks to guests’ rooms.
Star Power
U.S. hotels with inroom dining menus
from famous chefs
include: New York’s
the Beekman (Tom
Colicchio), the Mark
(Jean-Georges
Vongerichten) and
the Surrey (Daniel Boulud); Chicago’s Waldorf Astoria (Michael Mina); and L.A.’s SLS Beverly Hills
(José Andrés). Though it probably goes without
saying: Just because the room service menu was
“designed” by a boldface name does not mean
that chef is there, personally flipping your roomservice burger. (“They’re not,” said Mr. Colicchio.)
One exception: Roy Choi works in the kitchen at
the LINE in L.A. (from $240 a night, thelinehotel.com) several times a week. The hotel’s tonguein-cheek promotional materials even say that Mr.
Choi will come up to tuck guests in if they want
him to. “No one has ever taken me up on that,”
the chef said, “but the offer is still valid.”
FROM TOP: AUBRIE PICK; CHICAGO ATHLETIC ASSOCIATION; NOBU HOTEL EPIPHANY
Continued from page D1
Beach Resort near Miami killed its
traditional room-service kitchen
and replaced it with delivery from
six new on-site restaurants, with
cuisine ranging from pizza to
Nuevo Latino to “Coastal American.”
“The older model of room service really needs to evolve,” said
Howard Wein, who oversees the
resort’s restaurants. “That’s part of
what we’re doing.”
Travelers such as Lande Ajose, a
nonprofit executive director from
Oakland, Calif., would say it’s about
time. After braving a red-eye last
month, Ms. Ajose found herself on
the phone in a Washington, D.C.,
hotel, trying to order room service.
“I asked, ‘Do I get a choice between toast and a muffin?’ and the
guy said, ‘Yeah, I guess; which do
you want?’” said Ms. Ajose, who
specified a blueberry muffin. “Then
I said, ‘Don’t I get a choice of
juices?’ and he said, ‘Oh, yeah;
what would you like?’” A few minutes later, she received a follow-up
call from a different staff member
who explained that the continental
breakfast didn’t come with a muffin. Though her “not delicious, not
terrible” $22 coffee, toast and juice
arrived quickly, she said, “The ordering was more difficult than it
ought to have been.”
The $227 billion U.S. hotel industry has been rethinking room
service ever since the 2008 financial crisis. In-room food and beverage sales dropped 20% at luxury
properties and 40% at hotels overall between 2007 and 2016, according to CBRE Hotels Research in Atlanta. On the lower end, some
properties are deciding that the
traditional perk is more expensive
and cumbersome than it’s worth.
In 2013, the New York Hilton Midtown replaced room service with a
grab-and-go market called Herb N’
Kitchen; guests also can have food
from the market brought up and
left at the door in a shopping bag,
knock-and-drop style. The 1,900room hotel calls the move a winwin; it gives guests more flexible
dining options and has cut operating costs—and 55 jobs. (Some affected employees took alternate
positions within the hotel, a
spokeswoman said.)
The Hilton’s move underscores
the biggest problem hotels have
with traditional in-room dining:
Getting even the most banal meal
up to a guest’s room requires significant manpower. “In the kitchen,
the execution of a restaurant meal
and a room-service meal is not
much different,” said Hussain
Zouhbi, executive chef of the SLS
Beverly Hills. But the process gets
complicated once the food is ready.
The server must assemble the
meal, cover everything for the journey in the elevator, and place it all
on a rolling table. Once at the
room, “It’s not ‘knock at the door
and shove a table in,’” Mr. Zouhbi
said. “Every lid comes off, all of the
plastic wrap comes off, you present
the food, thank the guests for the
business, double-check and triplecheck that it’s all there, because
once you’re gone, you’re gone, and
if you forget something the guest’s
dining experience is suffering.”
Though suffering is certainly an
overstatement, I ran into my own
room-service glitch at the LINE, located in L.A.’s newly hip Koreatown neighborhood. In-room dining by Roy Choi, a pioneer of the
Southern California gourmet food
truck scene who also oversees the
hotel restaurant, is a featured amenity, listed right below the complimentary yoga on the LINE website.
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THE WALL STREET JOURNAL.
Saturday/Sunday, October 21 - 22, 2017 | D11
* * * *
GEAR & GADGETS
CHEVROLET
ELECTRICITY PLANNING The
Bolt has a 238-mile range,
acquiring 25 miles per hour of
charging at 240 volts/32 amps.
RUMBLE SEAT DAN NEIL
Chevy Bolt: An All-Electric Family Hatchback
WELL, THAT was easy.
Twenty years and a million
tears after General Motors’ senior scientists built a fleet of
nimble, lovable all-electric
cars (the EV1) and then
crushed them—an episode
told in Chris Paine’s film “Who
Killed the Electric Car?”—GM
has delivered the world’s first
affordable, long-range EV, the
Chevrolet Bolt, with an EPAestimated range of 238 miles
and an MSRP of $37,495, before the $7,500 federal tax
credit.
GM reached this mark a
few months sooner than industry pioneer Tesla, which is
only now ramping up production of its Model 3 compact
sedan to satisfy some 450,000
preorders. The Bolt—a compact four-door, five-seat
hatchback, assembled at the
Orion plant near Detroit—offers about the same range and
acceleration as reported for
Model 3 with the standard
battery (50 kWh) and a bit
more cargo flexibility, owing
to the hatch design.
The situation is ironic,
since building a mass-market
EV has been Tesla boss Elon
Musk’s goal all along, whereas
GM management had to be
dragged to it, kicking and
screaming. But there is value
in being first. Wait-times for
new orders of the Model 3
stretch from 12 to 18 months.
While no raving beauty—
rather like a glass boot—the
Bolt is certainly good enough
to peel some off the Tesla
waiting list. If nothing else
they can lease the Chevy until
their Model 3 arrives.
Obviously, these machines
have very different pedigrees—Tesla the disrupter,
GM the disrupted—and hold
out contrasting owner narratives. The Bolt doesn’t reinvent GM’s wheel entirely. My
butt could tell those seats
blindfolded. Also, in our
$43,905 Premier test car, the
driver’s door’s inner seam
wasn’t quite plumb. They do
that to make me crazy.
But the Bolt is a hell of a
car, the quickest soulless appliance you could ask for, an
absolute hoot in the sack. It
dominates the BMW i3 and
the Nissan Leaf, with more
room, more power and more
range. That’s amazing when
you think about it: Nissan
sank an entire year’s worth of
R&D, $6 billion, tooling up for
the Leaf. If the Bolt team had
been given $6 billion they
could have made it fly.
What made the difference?
At the risk of being reductive,
the falling cost of automotive-
grade lithium batteries. And
while the Bolt’s liquid-cooled
battery pack certainly boasts
some respectable numbers,
volts- and amps-wise, mostly
it’s just big: 60 kWh sandwiched between the floorboards. The Bolt is all about
the battery.
While they were flirting
with innovation, the designers
worked to keep the human interface familiar. Unlike Tesla
products, the Bolt waits for
the driver to press the start
button before the instrument
panels bloom (the Tesla unlocks as you approach and
lights up when you touch it).
The Bolt’s gear selector is conventional in position and operation (you have to remember to press the P for park
button). It’s not nearly as fun
as the BMW i3 gear selector,
like turning the right bolt in
Frankenstein’s neck.
At a stop, if you release the
Bolt’s brake the car will start
creeping forward, as if it had
an engine and automatic
transmission. As owners become more familiar with regenerative braking—one-pedal
operation, whereby the car
slows when you lift the ethrottle—they can slip the
gear selector into L mode.
One-pedal operation is more
intuitive and safer than conventional foot controls and is
one of the benefits of EVs.
But after my first week
with the Bolt, I would say the
Bolt’s primary innovation is
emotional. It’s the Prozac of
range anxiety.
Your humble correspondent
is learning as I go. I had a
Level 2 charger installed at
my house this year; the Bolt is
the first test car to get homecharging treatment. At 240
volts/32 amps, the Bolt can
acquire 25 miles of range per
hour of charging, amounting
to a full charge overnight. At a
fast-charge station (480 volts)
those figures are 90 miles of
range in 30 minutes, but that
Ironically, GM
management had to
be dragged, kicking
and screaming, to
produce this EV.
requires the optional fastcharge hardware ($750).
Not being the fretful sort, I
didn’t think I suffered from
range anxiety, the fear of being stranded on the road with
a flat battery. Even in EVs
with less than 100 miles
range, the charging duties
seemed manageable. But, in
retrospect, those ever-dwindling states of charge were
never far from my mind, always in the corner of my eye. I
2017 CHEVY BOLT
Base price $37,495, less
available $7,500 tax credit
Price, as tested $43,905
(premium trim, plus options)
Powertrain All-electric, with
200 hp (150 kW), 266
pound-feet, front-mounted
AC motor/generator; liquidcooled 60 KWh lithium battery pack; high-voltage DCFC
charging (optional, $950)
0-60 mph 6.5 seconds
Range EPA-estimated 238
miles
Estimated fuel cost savings, compared to average
new vehicle $4,250 over 5
years
Charging 25 miles of range
per hour at 240 V/32 amps;
90 miles per half-hour with
DCFC quick charge
Length/track width/height/
wheelbase
164.0/59.1/62.8/102.4 inches
Vehicle weight 3,563 pounds
Passenger/cargo volume
94.4/16.9 cubic feet
never registered this gloom
until it was lifted.
The Bolt’s +200-mile range
puts it beyond the nagging
agues of range anxiety. I drove
more than 170 miles in a day
last week, mostly highway
miles between 70 and 80 mph,
with no apprehension. Just as
important, the Bolt’s long legs
means the average owner can
skip several days between
charges. If I owned a Bolt, I’d
plug in about as often as I take
the family van to the gas station now. And the bathrooms
at home are cleaner.
The Bolt’s mighty electron
reserves change the experience fundamentally. It’s amazing how much fun EVs are
when you’re not worried sick
about running out of juice.
What follows only sounds
controversial but it’s not: For
a general audience, electric
vehicles will offer a better
driving experience than cars
with internal-combustion engines. It’s in the nature of the
mechanism, which dispenses
with the trembling gas-fired
whirligig under the hood, the
transmission, gas tank and
tailpipes, in favor of a murmuring electric motor(s), a
single gearset, soft-singing
voltage controllers and lowslung batteries.
For example, auto makers
spend millions of development dollars keeping engine
noise, vibration and harshness
away from the cabin, lately including exotica like active
noise cancellation, dynamic
engine mounts and damping
flywheels in the transmission.
The Bolt doesn’t have any of
that and at 70 mph it was so
quiet in the cabin I could hear
my wristwatch ticking, and
my hearing ain’t all that good.
It’s also quiet on the outside. I’m afraid I surprised a
squirrel.
Efficiency? The energy content of a gallon of gas is about
33 kWh, which means that the
Bolt travels 238 miles on the
equivalent of less than two
gallons of gas (128/110/119
mpg-e, city/highway/combined.)
Did somebody say acceleration? The Bolt is as good as its
name. From a standstill, and
hampered by its low-rollingresistance tires, the Bolt hits
60 mph in less than 6.5 seconds, officially. But once it’s
rolling, say, between 20 and
60 mph, the Bolt is outrageously, throw-your-headback quick, stealthy and spontaneous. With 266 lb-ft of
torque on hair-trigger alert,
this little family car squirts
past slower cars like a Subaru
WRX STI, except nobody
thinks it’s an air raid. The Bolt
should come with a traffic attorney on retainer.
As with other such EVs, the
battery pack (960 pounds) imbues the Bolt with a low center of gravity, which is all the
more palpable from the elevated perch of the driver seat.
The low C-of-G does nice
things for the Bolt’s standardissue small-car suspension
(struts in front and torsionbar rear), like lead in a keel.
With its low CofG and minimal
body roll, the Bolt gives and
gives in corners until the tires
chirp their surrender.
That, right... there ... is gasoline’s Achilles’ heel: the comparative user experience. In
the end, it will not matter how
much the Big Oil spends propagandizing against electric
cars or if gasoline goes back
to 30 cents a gallon. Gainsayers need only run down to a
Chevrolet dealership and
drive, back to back, dollar for
dollar, one of the company’s
anodyne family haulers and
the Bolt. Which one is quieter,
more refined, quicker around
town (much!), with better ride
and handling? Which one feels
like the future and the past?
See? I told you it was easy.
The Gift Of Grooming
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D12 | Saturday/Sunday, October 21 - 22, 2017
Masters — A collaboration with Jeff Koons
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