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The Wall Street Journal - 28 October 2017

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101
Things
To Do
Before
You Die
We’ll
Need
Bigger
Brains
REVIEW
OFF DUTY
VOL. CCLXX NO. 101
WEEKEND
* * * * * * * **
HHHH $5.00
SATURDAY/SUNDAY, OCTOBER 28 - 29, 2017
WSJ.com
U.S. Economy Picks Up Steam
What’s
News
Despite hurricanes,
U.S. consumers and
businesses drove a
six-month expansion
World-Wide
The U.S. economy has posted two consecutive quarters of growth above 3%
8%
Recession
6
4
2
BY JOSH MITCHELL
military request to
send an armed drone
near a Green Beret patrol
in Niger before a deadly
Oct. 4 ambush was denied,
raising question about
whether the troops had
adequate protection. A1
A
0
WASHINGTON—The
U.S.
economy posted its best sixmonth stretch of growth in
three years despite two hurricanes, a sign that it might be
breaking out of its long-running
slow-growth trend, with the
help of soaring stock prices and
rising business and consumer
confidence.
Gross domestic product, the
broadest measure of goods and
services produced in the U.S.,
expanded at a 3% annual rate in
the third quarter, the Commerce Department said Friday.
That followed 3.1% annual
growth in the spring.
Though not a boom, that’s
At least one person has
been charged in the Mueller
probe of alleged Russian meddling in the 2016 election. A1
Spain ousted Catalonia’s leaders, hours after
separatist lawmakers declared the region an independent republic. A6
Trump said he would
announce his choice for
Fed chief next week and
that he has “somebody
very specific in mind.” A3
–2
–4
Quarterly GDP growth at an annualized rate
Consecutive quarters above 3%
1990
2000
down some economists expected after hurricanes Harvey
and Irma shut down parts of
Texas and Florida in August
and September.
The third-quarter gain came
alongside signals that “animal
spirits,” as the economist John
Maynard Keynes once described
the desire to spend and invest,
were helping to boost economic
activity. Stock-market gains
have accelerated since Donald
Trump was elected president
last year, and consumer and
small-business confidence have
Hamas’s security chief
in the Gaza Strip was injured by a car bomb. A8
Iraq’s premier ordered a
halt in military operations
against Kurdish fighters. A8
Alibaba’s co-founder will
buy a 49% stake in the Brooklyn Nets for $2.3 billion. B1
Exxon and Chevron said
profits jumped 50% and Total gained 40% but investors
remain wary of oil shares. B1
Brent crude prices topped
$60 a barrel for the first time
in more than two years. B11
Wells Fargo’s foreign-exchange trading is being
probed by prosecutors. B10
Clariant and Huntsman
ended their planned deal
amid investor pressure. B2
Penney slashed profit
goals and warned of softer
sales. Shares slid 14.8%. B3
Inside
HERMAN A13
The Computer
That Could
Rule the World
CONTENTS
Books.................... C5-10
Food......................... D5-6
Heard on Street...B12
Ideas Markets B11-12
Obituaries................. A5
Opinion............... A11-13
Sports....................... A14
Style & Fashion D3-4
Travel...................... D7-8
U.S. News............ A2-5
Weather................... A14
Wknd Investor....... B5
World News....... A6-8
>
s Copyright 2017 Dow Jones &
Company. All Rights Reserved
YVES HERMAN/REUTERS
Business & Finance
CVS’s bid for Aetna followed a six-month-long hunt,
during which the drugstore
firm also approached Anthem and UnitedHealth. A1
notched higher. The Dow Jones
Industrial Average rose another
33 points Friday, putting it up
18.4% so far this year.
Please see GDP page A2
Trump to name Fed choice
next week.................................... A3
Charge
Is Filed
In Mueller
Probe
BY ARUNA VISWANATHA
AND DEL QUENTIN WILBER
The FBI warned police of
a threat to Oswald’s life,
documents about President
Kennedy’s killing show. A4
The U.S. economy grew
at a 3% annual rate last
quarter despite two hurricanes, helped by rising
stocks and consumer and
business confidence. A1
The S&P 500 and Nasdaq
set records on strong corporate results. The Dow edged
up 33.33 to 23434.19. B12
Amazon, Alphabet, Microsoft and Intel posted the
biggest gains, as enthusiasm
for tech shares swelled. B1
’17
THE WALL STREET JOURNAL.
Catalonia Independence Move Spurs Emergency for Spain’s Leaders
More Americans will be
able to get no-premium
ACA health plans when enrollment starts Nov. 1. A3
–8
’10
Note: Adjusted for inflation and seasonality
Source: Commerce Department
still the first time since
mid-2014 that the economy has
strung together two quarters of
at least 3% growth. Solid
spending by consumers and
businesses—along with higher
sales of American goods overseas—helped prevent a slow-
–6
Change from
a year earlier
BREAKING AWAY: A crowd in Barcelona on Friday celebrated after the regional parliament voted to declare independence from Spain. A6
Hollywood’s Schoolboy Football Factory
IMG Academy churns out major college prospects, who pay $75,200 a year in tuition
BY BRAD REAGAN AND ERICH SCHWARTZEL
BRADENTON, Fla.—The best moments
of high school for 18-year-old senior Will
Huggins haven’t been typical rites of passage like the prom or getting a driver’s
license. Instead, he recites his time in the
40-yard dash, down four-tenths of a second in two years, and the 40 pounds he
gained. “Thirty-seven of that is muscle
mass,” he says.
Mr. Huggins is a wide receiver for IMG
Academy, a high-school football program
that is just four years old but has already
become a fearsome, controversial powerhouse. Owned and operated by Holly-
wood entertainment conglomerate Endeavor, IMG Academy is an elite, forprofit boarding school—and the leading
producer of top college and National
Football League prospects.
Families pay $75,200 in annual tuition,
more than the most famous prep schools
and Harvard University, to improve their
teenager’s chances of making it.
Players work out at an $11 million
training complex with a high-tech weight
room where each repetition is filmed and
evaluated by coaches and trainers. Scientists from the Gatorade Sports Science
Institute monitor hydration, body composition and other aspects of players’ phys-
It’s an Instagram Emergency!
This Fall’s Foliage Isn’t Fit to Post
i
i
i
Dull colors sow chaos on social media; a
line forms at a red tree in Central Park
BY KATHERINE BINDLEY
NEW YORK—During a run in Central
Park around lunchtime
on Monday, Anne
Speyer noticed a gaggle of people with
their phones out. They were
posing for pictures in front of a
sugar maple, the only tree
nearby with brilliant red leaves.
She doubled back to investigate. “People were taking turns
in front of the tree,”
said Ms. Speyer, a 28year-old
Brooklyn
book editor. “Clearly,
they were determined
to get their fall shot.”
She took her own
photos and posted
them on Instagram: one of the
celebrity maple, another of people taking pictures of the tree. “I
feel that the people deserved to
see the tree that everyone was
Please see FALL page A10
ical development. IMG Academy regularly
flies to other states to square off against
top teams in a game schedule considered
the country’s most difficult.
The formula works. The Ascenders haven’t lost since 2014 and are ranked No.
2 in the U.S., behind Mater Dei High
School in Santa Ana, Calif., according to
MaxPreps, a high-school sports website.
As many as 30 members of the current team are expected to get Division I
scholarships, including from top programs Alabama, Ohio State and Florida
State. Mr. Huggins, who convinced his
mother two years ago to let him move
Please see IMG page A10
Tech Giants Soar to New Heights
Soaring stock gains for a quartet of internet and technology titans
added $146 billion to the stock market Friday as blow-out earnings
renewed enthusiasm for some of 2017’s high flyers. B1
Share-price performance since Wednesday
15.0%
12.5
Amazon.com
13.2%
10.0
Intel
8.9%
7.5
Microsoft
6.6%
5.0
Alphabet
4.3%
2.5
0
Thursday
Source: WSJ Market Data Group
Friday
THE WALL STREET JOURNAL.
At least one person was
charged Friday in connection
with Special Counsel Robert
Mueller’s criminal investigation into alleged Russian meddling in the 2016 presidential
election, according to people
familiar with the matter.
That person could be taken
into custody as soon as Monday, these people said. The
number and identity of the defendants, and the charges,
couldn’t be determined.
A spokesman for Mr. Mueller, Peter Carr, declined to
comment Friday. The news of
the charges, marking the first
in Mr. Mueller’s investigation,
was reported by CNN Friday.
Appointed in May, Mr.
Mueller and his team of prosecutors and Federal Bureau of
Investigation agents have been
Please see PROBE page A5
GOP tax strategy echoes
health-care approach............ A4
Trump donor sought Clinton
email data.................................... A4
Website first funded research
for dossier................................... A4
CVS Bid
For Aetna
Followed
Long Hunt
BY ANNA WILDE MATHEWS
AND DANA MATTIOLI
CVS Health Corp.’s bid for
Aetna Inc. is the culmination
of a wide-ranging hunt by the
drugstore giant for a deal
partner,
highlighting
a
broader effort among healthcare companies to find new
avenues of growth by combining diverse businesses under
one roof.
The Woonsocket, R.I., company has been examining different deal possibilities for
about six months, according
to people familiar with the
matter. CVS approached Anthem Inc. about potentially
buying the health insurer, and
also discussed a combination
with UnitedHealth Group Inc.,
the people said. CVS is now
focused on sealing a deal with
Aetna, though the hurdles to
an agreement are formidable
Please see DEAL page A5
More people to get free ACA
insurance plans......................... A3
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 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
U.S. NEWS
THE NUMBERS | By Jo Craven McGinty
Trick or Treat? Halloween Candy, in Perspective
A dark
thought flickered through
the minds of
experts at the
American
Chemical Society: How much
Halloween candy would it
take to kill someone?
Realistically, it’s unlikely
that pint-size ghouls would
consume a lethal dose of
candy, because they would
have to gobble up a gluttonous amount in one sitting to
put their lives at risk.
Nonetheless, here’s what
it would take:
At a high enough dose,
sugar, like most substances,
can be toxic. Even water
and—horrors—caffeine can
kill if consumed in extreme
quantities.
O
ne way to determine
how much is too much
is LD50, a test created
in 1927 to measure the relative potency of drugs.
“It stands for lethal dose
50%,” said Hans Plugge, a
toxicologist in Bethesda,
Md., with Verisk 3E, a company that provides environmental-health and safetycompliance services. “You
take 10 rats, feed them a
dose, and if five of them die,
you’ve determined the LD50.
It’s pretty straightforward.”
The measurement is expressed in milligrams or
grams of the potentially
toxic substance per kilogram
of body weight.
From the scientific literature, Mr. Plugge, who helped
the ACS come up with its estimates for Halloween candy,
knew that the LD50 of sucrose, the kind of sugar
found in candy, is 29.7 grams
per kilogram of weight, or
about 13.5 grams per pound.
“Thirty grams per kilogram is a very, very high end
for LD50,” Mr. Plugge said.
“Most things would have
lesser LD50. In other words,
sucrose isn’t very toxic.”
In comparison, the artificial sweetener aspartame
has an LD50 of 10 grams per
kilogram, grain alcohol has
an LD50 of 7 grams per kilogram and caffeine has an
LD50 of 0.2 gram per kilogram.
To examine the potential
deadliness of Halloween candies, Mr. Plugge and the ACS
looked at the amount of sucrose in fun-size treats,
which are smaller than regular-size candies and weigh
less than an ounce.
The average fun-size
candy, the ACS estimated,
has 9.3 grams of sugar.
A
n American adult who
weighs 180 pounds—
about average, according to the Centers for Disease Control and Prevention
—would have to consume 5.4
pounds of sugar all at once
to reach the sucrose LD50,
according to the ACS.
That’s essentially an entire bowl of Halloween candy
or, by the ACS’s count, about
262 fun-size pieces.
A child who weighs 70
pounds, which the CDC says
is about average for a 10year- old, would have to eat
about 100 fun-size candies
to hit the threshold.
“More than likely, they’d
throw up before reaching
the lethal dose,” Mr. Plugge
said.
To apply the ACS calculation to people of different
sizes, enter a person’s
weight into this equation:
(weight x 13.5) / 9.3. The result is the approximate number of fun-size pieces of
candy an individual would
have to eat to reach the 50%
lethal dose of sucrose.
LD50 is sometimes called
the median lethal dose.
Some test subjects would be
killed by a lower dose, but
to kill the entire test population would require a larger
dose—the LD100.
The ACS also notes that
the lethal dose for humans
could differ from the dose
that affects a test population
of rodents.
But scientists can’t allow
trick-or-treaters (or parents
who dip into their kids’ Halloween haul after bedtime)
to eat candy until half of
them cash in, so in this case,
it’s the best estimate available.
Sugar can occur in food
naturally or can be added
during food preparation or
...But inventory-based growth
coupled with growing
investment in equipment...
Change from a year earlier
...Could continue to fuel high
levels of small-business
optimism...
Small-business optimism index
...Which is being echoed in
measures of consumer
sentiment.
University of Michigan consumer
sentiment index
6%
30%
110
110
4
20
105
100
2
10
100
90
0
0
95
80
–2
–10
90
70
–4
–20
85
60
–6
–30
80
50
–8
2008
Overall business
investment
Business investment
in equipment
–40
’10
’17
2008
’10
’17
40
75
2008
’10
’17
2008
’10
’17
Note: Inventory and investment figures are adjusted for inflation and seasonality; optimism is adjusted for seasonality.
Sources: Commerce Department (Real final sales, business investment); National Federation of Independent Business (optimism); University of Michigan (sentiment)
THE WALL STREET JOURNAL.
GDP
Continued from Page One
In the wake of those sentiment advances, household purchases of durable goods, such
as cars and refrigerators, have
picked up, as have gains in
business investment in equipment. Consumer spending on
durable goods rose at an 8.3%
annual rate in the third quarter
after 7.6% annual growth in the
previous quarter. Equipment
spending by business rose at an
annual 8.6%, following 8.8% in
the previous quarter.
Kevin Wilson, chief executive
and president of Buzz Franchise
Brands, a pest-control and
home-cleaning company, said
higher stocks have led several
people to open franchises under
his brands this year.
“Good times are here,” he
said. “Their stocks have gone
up and they’re taking some of
that money and saying: ‘Now’s
the opportunity to start our
own business.’”
Still, there is ample reason
for caution before concluding
the gains will be sustained. The
economy has produced sixmonth growth bursts several
times during this eight-year expansion, including a period of
near-5% growth in mid-2014.
But it hasn’t been able to keep
up that pace. The growth rate
as a whole for the expansion
has averaged 2.2%.
A chunk of the third quarter’s growth reflected businesses’ replenishing of stockpiles, which had fallen earlier
this year, rather than higher
sales. Stripping out inventory
changes, which can be volatile,
output grew at a 2.3% rate,
closer to the longer-running average. Compared with a year
earlier, overall output including
inventory changes was just
2.3% higher.
While economists are expecting growth in the current
quarter to clock near 3% again,
nagging trends, including an
aging population and weak
worker productivity gains, still
might stand in the way of sustained robust growth.
“We have to be a little bit
careful,” said Gregory Daco,
T
he heart association
recommends that children ages 2 to 18 consume less than six teaspoons
of added sugar each day.
Kids often consume three
times that much.
In addition to candy, major sources of added sugars
are cookies, ice cream and
soft drinks. A regular 12ounce soda contains eight
teaspoons, or about 32
grams, of sugar.
According to the National
Retail Federation, consumers
plan to spend $2.7 billion on
Halloween candy this year.
To stay within the heart association’s recommended
range, kids would have to
limit themselves to about
two fun-size treats a day.
The sucrose might not get
’em, but limiting their Halloween candy? That could be
a fate worse than death.
U.S. WATCH
Signs of Spirits
Third-quarter GDP growth of 3%
looks weaker without volatile
trade and inventory figures...
Final sales to domestic purchasers,
quarterly change at annual rate
processing. The American
Heart Association recommends that adult women
consume no more than six
teaspoons, or 25 grams, of
added sugar daily, and adult
men no more than nine teaspoons, or 36 grams. In
practice, the average adult
consumes about 20 teaspoons, or 82 grams, a day.
economist at Oxford Economics.
“The underlying pace still remains in that 2% growth environment.”
The Trump administration
has promised sustained 3%
growth by reducing regulations,
revamping trade agreements
and passing a broad tax-cut
package currently being negotiated in Congress.
Administration officials celebrated the latest numbers. “As
the President’s tax-cut plan is
implemented, our entire economy will continue to come roaring back,” Commerce Secretary
Wilbur Ross said in a statement
Friday.
Democrats weren’t prepared
to yield any credit to the new
administration. “Today’s GDP
numbers show the resiliency of
the economy this administration inherited,” Sen. Martin
Heinrich (D., N.M.) said in a
statement. “Instead of building
on this foundation, President
Trump has created a climate of
uncertainty.”
Hurricanes made it challenging to discern the underlying
trend in the third quarter. Damage to property led to a spurt of
spending on cars in hurricanedamaged areas, but the storms
also appear to have depressed
spending on services like restaurants, where payrolls sank
for the month.
The Commerce Department
said hurricanes likely suppressed business activity such
as oil-and-gas extraction in
Texas and agricultural production in Florida. But the storms
likely boosted other types of activity, such as emergency services and repair efforts.
“It is not possible to estimate the overall impact of Hurricanes Harvey and Irma on
2017 third-quarter GDP,” the
agency said.
Some investors are
plowing market gains
into new businesses,
a franchiser says.
Repair efforts could boost
economic growth in coming
quarters, particularly in building sectors. The Commerce Department estimated that government and private insurance
companies’ payouts resulting
from the storms could total
$102 billion. That’s money that
could be plowed back into the
economy.
The report is likely to nudge
the Federal Reserve closer to
raising its benchmark shortterm interest rate—the federal
funds rate—at its policy meeting in December. Inflation
picked up this summer, though
it is still below the Fed’s 2% target. For the economy to sustain
faster growth, much depends
on the outlook for business investment, which is central to
boosting worker productivity
and sustaining robust corporate
profit gains.
MBAF, a 600-employee Miami-based accounting and consulting firm, offered a sign of a
sustainable pickup. It has budgeted about $1 million in capital
spending in its current fiscal
year—triple what it spent last
year. Tony Argiz, chief executive and chairman, said the
spending increase reflects two
developments: New technology
enabling his company to perform audits much more efficiently, and data breaches at
firms like Equifax pushing firms
like his to invest in new security software.
He said the company feels
the urge to become more efficient to compete with other
firms. “We need to keep up
with the times, and artificial intelligence is going to be critical
in my profession in the next
four or five years,” Mr. Argiz
said.
CORRECTIONS AMPLIFICATIONS
Xi Jinping became China’s
Communist Party chief in 2012
and president in 2013. A Page
One article in some editions
on Wednesday about Mr. Xi’s
leadership incorrectly said he
first assumed the presidency
five years ago.
Recent Communist Party
meetings in China gave Xi
Jinping a second five-year
term as party general secretary. In some editions Oct. 16,
a World News article about
U.S.-South Korean military
drills incorrectly said China’s
Communist Party Congress
was set to extend Mr. Xi’s
presidency.
Mattel Inc.’s third-quarter
revenue was $1.56 billion. In
some editions Friday, an
Earnings Watch article incorrectly said Mattel’s thirdquarter revenue was $1.56
million.
In some editions Friday,
the name of the St. Louis
Post-Dispatch was incorrectly
given as the St. Louis Dispatch in a Page One article
about tech companies’ quarterly results and in a U.S.
News article about deal talks
between CVS Health Corp.
and Aetna Inc.
Ken Himmel is the presi-
dent and chief executive of Related Urban, a unit of Related
Cos. An article in the November/December issue of The Future of Everything magazine
about new uses for vacant
malls incorrectly called Mr.
Himmel president and CEO of
the parent company.
Cambridge Analytica CEO
Alexander Nix in August 2016
sent an email to employees
and Republican donor Rebekah
Mercer in which he said he
had reached out to WikiLeaks’
Julian Assange. A U.S. News
article Thursday incorrectly
said the email was sent in late
July 2016.
Readers can alert The Wall Street Journal to any errors in news articles by emailing wsjcontact@wsj.com
or by calling 888-410-2667.
PUERTO RICO
FEMA Has Concern
Over Energy Pact
The Federal Emergency Management Agency said it had “significant concerns” with a decision
by Puerto Rico’s power authority to
award a $300 million contract to a
little-known Montana company,
Whitefish Energy Holdings LLC.
FEMA on Friday said it had
questions about how prices were
negotiated and was talking with
the public-electricity monopoly
known as Prepa and its legal advisers about how the contract was
procured and how the utility determined prices were reasonable.
Questions surrounding the
deal reverberated as federal officials began investigating the U.S.
territory’s disaster-recovery
spending. More than a month after Hurricane Maria left Puerto
Rico largely powerless and destroyed much of its electrical grid,
service has been restored to less
than a third of power customers.
FEMA’s statement was at
odds with the Whitefish contract
itself, in which Prepa represented
that FEMA had already approved
the terms of the deal. Ricardo
Ramos, the executive director of
Prepa, told The Wall Street Journal in an interview Friday that
this language should have been
removed from the contract.
FEMA said it hadn’t provided
any reimbursement for the
Whitefish contract specifically. A
Whitefish spokesman didn’t respond to a request for comment.
—Andrew Scurrria
TERRORISM
ISIS Supporter Is
Sentenced to 20 Years
An American man who traveled to Syria to join Islamic State
was sentenced to 20 years in
prison Friday for providing material support to a designated foreign terrorist organization.
Mohamad Jamal Khweis was
arrested by Kurdish forces in
northern Iraq after approaching a
military checkpoint on foot in
March 2016. The 28-year old, carrying his Virginia driver’s license, said
he defected from Islamic State and
wanted to escape to Turkey, local
officials said at the time.
Evidence presented at Mr. Khweis’s federal trial showed that
he left the U.S. in December
2015 to travel to Syria. After
crossing the Turkish border, he
completed Islamic State intake
documents and agreed to become a suicide bomber.
The American then spent
weeks training at an Islamic State
safe house, prosecutors said. At
some point, Mr. Khweis evidently
lost the desire to be a suicide
bomber and fled soon after deploying to Tal Afar in northern Iraq.
—Jessica Donati
UTAH
Trump Said to Back
Monument Cutbacks
President Donald Trump will
approve a recommended downsizing of Utah’s Bears Ears and
Grand Staircase-Escalante national monuments—two of the
country’s biggest and most contentious, a senator from that
state said he was told Friday.
Sen. Orrin Hatch said the
president called him to say he
had decided to follow recommendations by his Interior secretary,
Ryan Zinke, to reduce the size of
the monuments that were created by past Democratic administrations. “I’m approving the
Bears Ears and Grand Staircase
recommendation for you, Orrin,”
the president told the Republican
senator, according to a statement by Mr. Hatch’s press office.
The downsizings are likely to
be substantial because both
monuments are large. Grand
Staircase-Escalante, created by
President Bill Clinton in 1996, encompasses nearly two million
acres of canyonlands in southcentral Utah, while Bears Ears,
created by former President Barack Obama last year, covers another 1.35 million acres.
White House officials wouldn’t
comment on the decision.
—Jim Carlton
THE WALL STREET JOURNAL
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THE WALL STREET JOURNAL.
* * * * * *
Saturday/Sunday, October 28 - 29, 2017 | A3
U.S. NEWS
More People to Get Free ACA Plans
Trump indirectly
bolstered subsidies that
help consumers with
insurance premiums
BY KATE DAVIDSON
AND DAVID HARRISON
BY ANNA WILDE MATHEWS
AND CHRISTOPHER WEAVER
President Donald Trump
said Friday he would make
public his choice for the next
leader of the Federal Reserve
“sometime next week,” declaring he has “somebody very
specific in mind.”
“It will be a person who
hopefully will do a fantastic
job,” Mr. Trump said in a
video posted to Instagram on
Friday. He added: “I think everybody will be very impressed.”
Mr. Trump was leaning toward tapping Fed governor Jerome Powell, who was going
through the final stages of the
White House vetting process,
according to a person familiar
with the matter.
Stanford University economics professor John Taylor
was also under serious consideration, and Mr. Trump said in
an interview Wednesday he
was thinking of offering another term to Fed Chairwoman
Janet Yellen.
White House officials caution that nothing is final until
the president makes public his
choice. He is known for making spur-of-the-moment personnel decisions and for
changing his mind.
The GOP president has upended the usually staid selection process by openly
weighing the pros and cons
of various candidates and
asking lawmakers, businesspeople and media personalities for their input. As the
process drags on, contenders
for the job have faced heightened scrutiny from detractors hoping to sway Mr.
Trump’s choice.
Conservatives who support
Mr. Taylor’s nomination have
mobilized against Mr. Powell,
a Republican who served in
the administration of former
GOP President George H.W.
Bush, assailing him for supporting the Fed’s easy-money
policies during his five years
at the Fed.
They also say Mr. Powell
didn’t do enough to oppose
what they see as overly stringent financial rules the Fed
imposed after the crisis, despite his recent public remarks
that the Fed should rethink
some postcrisis regulation.
And they point to Mr. Powell’s
previous confirmation votes,
when a significant number of
Republicans opposed him, as a
reason for the White House to
think twice about putting his
name forward.
A Fed spokeswoman said
Mr. Powell declined to comment.
Mr. Taylor, meanwhile, is
facing
questions
about
whether he would follow his
own mathematical formula for
setting interest rates—dubbed
the Taylor Rule—if he becomes chairman. Under the
rule, short-term interest rates
would be around 3.5% now,
compared with the Fed benchmark federal funds rate’s current range between 1% and
1.25%, according to Michael
Feroli, chief U.S. economist at
J.P. Morgan.
Mr. Taylor’s supporters
have said he wouldn’t be so
rigid as his arguments might
suggest, with some saying he
would be less likely than Mr.
Powell to raise interest rates
to curb inflation that could
stem from GOP tax cuts.
Insurers selling Affordable
Care Act plans have a compelling new pitch: free health insurance.
When sales of plans on the
law’s exchanges begin Nov. 1, a
growing number of consumers
around the country will be able
to get coverage for 2018 without paying any monthly premium, according to health insurers and an analysis of newly
available federal data.
In nearly all of the 2,722
counties included in the data,
some consumers will be able to
obtain free health insurance because they qualify for larger
federal premium subsidies that
cover the full cost of a plan, according to the new analysis.
The growing availability of
no-premium plans is a side effect of a decision by President
Donald Trump’s administration
to end federal payments that
are used to reduce out-ofpocket costs, such as deductibles, for low-income enrollees.
The administration didn’t halt—
and indirectly bolstered—the
federal subsidies that help consumers with their insurance
premiums.
The new analysis doesn’t
project exactly how many consumers could be eligible for the
no-premium plans, a figure that
depends on variables including
people’s income, household
size, age, location and access to
other types of health coverage.
In the coming weeks, insurers are gearing up to promote
the no-premium option. Amid
uncertainty about the future of
the 2010 health law, also known
as Obamacare, many insurers
have pulled back from the law’s
marketplaces. Many of the remaining ones are worried about
losing enrollment next year—
SPENCER PLATT/GETTY IMAGES
President
To Name
Fed Choice
Next Week
More consumers will be able to get coverage without premiums. Above, a clinic provided free dental and medical care in Olean, N.Y., in June.
largely among consumers who
aren’t eligible for subsidies and
won’t be able to get premiumfree plans.
Insurers hope the no-premium insurance draws in more
enrollees, particularly those
they need most: people with
few health needs. Healthy consumers help bolster the stability of the market by balancing
out the health costs of sicker
enrollees.
“We absolutely will be promoting this opportunity to get
coverage at a zero price,” said
Wendy Curran, a spokeswoman
for Blue Cross Blue Shield of
Wyoming, which is mentioning
the no-premium plans in print,
radio and social-media advertising. “We hope those younger
people will say, ‘Well yeah, if
it’s not going to cost me anything, sure.’”
Ms. Curran said it was “astounding even to us” how many
people will be able to get nopremium insurance in Wyoming.
The no-premium plans will
also receive a hefty promotional
push from insurance agents.
EHealth Inc. and HealthMarkets Inc., both big national
‘We absolutely will be
promoting this
opportunity to get
coverage’ at no charge.
agencies, said they’re preparing
to highlight the option in advertising and other outreach.
“It’s just the idea of something free being really appealing,” said Nate Purpura, a vice
president at eHealth.
Availability will vary by age
Trump Move Leads
To Higher Subsidies
The growing availability of
no-premium plans is tied to the
complicated dynamics of the Affordable Care Act, as well as a
recent move by President Donald
Trump.
Under the law’s rules, subsidies that help pay for premiums
are available to people making up
to about $48,000 a year. Those
subsidy amounts are linked to
the cost of the second-cheapest
silver plan in an enrollee’s location. So, when silver premiums
go up, subsidies go up.
Earlier this month, Mr.
Trump’s administration cut off
federal payments to insurers for
and income, but some enrollees
who don’t have a very low income may be able to land zeropremium coverage, according to
the analysis of federal data conducted by consulting firm Oliver Wyman, a unit of Marsh &
McLennan.
The firm found that zeropremium ACA exchange plans
would be available next year to
at least some consumers in a
total of 2,692 counties, out of
2,722 in the study.
A 60-year-old making about
$36,000 a year could find free
2018 plans in 1,590 counties,
while one with income of about
$48,000 could do so in 654
counties, according to the analysis, which used data released
Wednesday for plans available
on HealthCare.gov, the federal
marketplace used by 39 states.
For 2017, no-premium plans
were available in many places
for the lowest-income enrollees,
but for those at slightly higher
levels, they were much more
scarce. For instance, in 2017, a
60-year-old making about
$36,000 could find free plans in
about 300 of the counties.
That is what is different in
2018, said Kurt Giesa, a partner
at Oliver Wyman. The zero-premium plans are “much more
prevalent now than they were,”
he said.
In California, which isn’t included in the federal data, there
is a “huge increase from last
year” in the number of people
who are eligible for zero-premium plans, said Peter V. Lee,
executive director of Covered
California, the state’s ACA exchange. Covered California currently has about 1.1 million enrollees who receive federalpremium subsidies, and more
than half of them will be able to
buy a no-premium plan for
2018, he said.
covering certain out-of-pocket
costs for low-income enrollees in
silver plans. In response, insurers
raised premiums on their 2018
policies sharply to cover the extra expense, now coming out of
their pockets—and in many
cases, they loaded the extra
boost only onto the silver plans.
Because the separate premium subsidies, which Mr.
Trump didn’t cut, are linked to
silver-plan prices, those subsidies
are rising, too. In many states,
the costs for cheaper bronze
plans are going up much less
rapidly than silver plans, so many
more people will wind up being
eligible for no-premium plans.
For some, the zero-premium
plans won’t actually be the best
deal, insurers and insurance
agents say. The silver plans could
be cheaper overall for people
who use much health care, despite their higher premium costs,
if these people are eligible for
the law’s cost-sharing help.
And those who don’t get premium subsidies under the law
won’t have the option of zeropremium plans, and may be responsible for the full brunt of
steep rate increases. They may
be able to mitigate the impact
by staying away from silver
plans.
Jerry Dworak, chief executive
of Montana Health Co-op, said,
“Of course we’re hoping that”
young and healthy enrollees flock
to the no-premium plans. “If they
see that it’s free, why not take
it?” he said.
—Anna Wilde Mathews
and Christopher Weaver
Tennessee Police Brace for White Nationalists
BY CAMERON MCWHIRTER
Law-enforcement officials in
Tennessee are gearing up for
two white nationalist rallies
this Saturday, preparing expansive security measures and
calling for community members to avoid the events by
groups that marched in Charlottesville, Va., this summer.
“White Lives Matter” events
will be held in Shelbyville, a
city of 21,000, and Murfreesboro, a city of 132,000, both
south of Nashville.
Groups sponsoring the marches include the League of the
South, which calls for the
South’s secession from the U.S.,
and the National Socialist
Movement, a neo-Nazi Party.
Both participated in the August
demonstration in Charlottesville, where a woman was killed
when a Nazi sympathizer drove
a car into a crowd of protesters.
After other violent clashes at
several events involving white
nationalists around the country,
state and local officials have
been putting in place strict
rules and heavy security. To reduce the possibility of violence,
local law-enforcement officials
are stressing the importance of
keeping participants and counter demonstrators apart.
Last week, Republican Florida Gov. Rick Scott declared a
state of emergency ahead of a
white nationalist speech at the
University of Florida, allowing
local officials to draw from a
bigger pool of resources.
Tennessee Gov. Bill Haslam,
a Republican, won’t deploy the
National Guard for the rallies,
but state law enforcement will
be in close contact with local
police, according to his spokeswoman Jennifer Donnals.
In Shelbyville, police announced they will close streets
and set up barriers between
rally supporters and those opposing them. The police have
forbidden all weapons, backpacks, containers, liquids,
torches and other items. Any
person entering the area will be
subject to search, police said.
Michael Hill, the League of
the South’s president, issued a
statement Wednesday urging
members attending the rally to
“obey all authorities.”
“Stand your ground, speak
your mind, and proclaim your
message, but do not initiate
physical contact with anyone
who opposes you,” he said.
A League statement said the
purpose of the rallies was in
part “to call attention to the
continuing influx of African immigrants/refugees into middle
Tennessee, and to protest the
recent black-on-white church
shooting” in Antioch, Tenn.
BY ARIAN CAMPO-FLORES
In the wake of Hurricane
Maria’s devastation, Puerto
Rico’s professional soccer
team, owned by National Basketball Association player Carmelo Anthony, is confronting
questions about its future.
Without power and internet
for five weeks, Puerto Rico
Football Club’s front office
hasn’t been able to function
and its stadium is in tatters.
The 25 players in the year-old
squad—a mix of Puerto Ricans,
Americans from the mainland
and foreigners including Spaniards and a Brazilian—have
been hopping from hotel to
hotel and playing their remaining home games in whatever stadiums they could se-
cure.
Lost ticket revenue and increased costs from moving
and housing players have dealt
the young team a financial
blow.
“We basically blew through
our team budget,” said Tom
Payne, the team’s president,
who estimates the financial hit
so far has reached $200,000
to $300,000. “I’m not sure
about the situation with that
heading into next year.”
Maria’s damage to the island has been extensive. Only
28% of customers have power,
cell service remains difficult,
and basic supplies like water,
medicine and fresh food are
still needed in isolated towns.
To get the economy back to
normal remains a distant pros-
pect.
For the football team,
which is the island’s only professional squad that competes
in a U.S. league, the Category
4 storm came midseason when
the team still had eight games
to play. Most players stayed
on the island for the storm. “It
was an incredible thing to see
how Maria razed the country,”
said midfielder Jorge Rivera,
whose uncle lost his home to
the storm.
After the storm, Mr. Payne,
who had evacuated to Orlando,
Fla., worked the phones incessantly, trying to reach his
players and find them flights
off the island. Once the San
Juan airport resumed operations, players managed to
trickle out in small groups.
Mr. Payne worked with the
league to redo the match
schedule and find alternative
training and playing fields.
The other teams in the league
have stepped up, he said, devoting 50% of a match’s ticket
sales to Puerto Rico relief efforts.
He eventually found temporary housing for the players in
Orlando, home to a large
Puerto Rican population. As
the team has settled into regular training, it is performing
better.
After the season-closing
match Saturday, the team
plans to return to the island to
perform community work—
and begin to make plans for
next season in the face of so
much uncertainty.
BRADLEY REX/ICON SPORTSWIRE/ASSOCIATED PRESS
Hurricane Proved Puerto Rican Team’s Fiercest Opponent
Puerto Rico FC’s Héctor Ramos scoring during a match last year in
Puerto Rico. Hurricane Maria left the team’s stadium in tatters.
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A4 | Saturday/Sunday, October 28 - 29, 2017
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THE WALL STREET JOURNAL.
U.S. NEWS
HHS Aide Presses Migrants Not to Abort
BY LAURA MECKLER
AND BRENT KENDALL
DREW ANGERER/GETTY IMAGES
WASHINGTON—After a visit
to a federal detention center in
Texas earlier this year, Scott
Lloyd focused on the details of
one pregnant girl. He wanted
to ensure she had food she
liked and was comfortable, and
he wanted to counsel her
against having an abortion.
“Often these girls start to
regret abortion,” he wrote in
March in a follow-up email to
a subordinate.
The shelter, for children
who cross the U.S. border illegally on their own, is overseen
by the Department of Health
and Human Services, and Mr.
Lloyd runs the HHS office
charged with their care.
Under his leadership, the
agency has made it a policy to
block abortions for teens in its
custody. Mr. Lloyd, a 38-yearold lawyer and longtime antiabortion activist, has repeatedly phoned or met with
pregnant girls to discourage
abortion since he began his
post in March, according to
court filings and administration officials.
His efforts thrust the
Trump administration into a
whirlwind legal battle after another girl, known in legal papers as Jane Doe, insisted on
having an abortion. The administration
argued
it
shouldn’t be forced to facili-
Social Conservatives
Expand Their Power
HHS’s Scott Lloyd was questioned about the constitutionality of
his efforts by House Democrats at a hearing on Thursday.
tate an abortion for the 17year-old Central American girl,
but an appellate court disagreed, and the abortion was
performed Wednesday.
Mr. Lloyd declined to comment for this article.
Supporters of Mr. Lloyd say
he is doing what he should to
care for vulnerable expectant
mothers. Critics say the department’s policy of discouraging and even blocking abortions is inappropriate and
unconstitutional.
“It is extremely troubling to
me, Mr. Lloyd, what is happening, and I think you are far
overreaching over your exper-
tise,” Rep. Pramila Jayapal (D.,
Wash.) told Mr. Lloyd at a congressional hearing Thursday,
where he was pressed by Democrats on these practices.
Mr. Lloyd didn’t respond to
the criticism nor answer many
questions about what kind of
contact he had with pregnant
girls at the shelters.
“I’m out in the field in many
of our locations, and we, I
meet with, you know, dozens
and perhaps hundreds of the
people who we serve,” he said.
“I’m certain that some of
them, some of them were
pregnant at the time.”
Internal HHS emails pro-
Scott Lloyd’s work is an example of a broader push by the
Trump administration to deliver
socially conservative policies.
Republican President Donald
Trump has signed legislation
that allows funding cuts to
Planned Parenthood and rescinded a mandate by President
Barack Obama that all employers offer contraceptive coverage
under the Affordable Care Act.
Mr. Trump undid protections
for transgender students in
schools and in the military, and
appointed a conservative, Neil
duced in litigation indicated
that in March there were 38
pregnant minors in the care of
Mr. Lloyd’s office. The emails
were released during lawsuits
filed by the American Civil
Liberties Union, which is still
challenging HHS’s policy.
Under President Barack
Obama, HHS allowed teens in
custody to routinely obtain
abortions. Now the requests
are flagged to Mr. Lloyd, who
has repeatedly called and met
with the girls, an agency
spokesman said.
One email chain from March
shows Mr. Lloyd telling staff
who were caring for a preg-
Gorsuch, to the Supreme Court.
The administration itself is
populated by many social conservatives, including Mr. Lloyd,
to the delight of activists.
“Personnel is policy,” said
Billy Valentine, vice president
of public policy at the antiabortion group Susan B. Anthony List. “I’m very glad Scott
is in the position he was to
make clear the government
was going to provide excellent
health care to the mother and
the unborn child.”
Mr. Lloyd had an early
brush with contentious national debates while he was in
law school at Catholic University: He assisted the parents of
Terri Schiavo, who fought a
high-profile court battle to
keep their daughter alive
against her husband’s wishes
when she was in a persistent
vegetative state.
After graduation, he joined
President George W. Bush’s administration and helped develop
a “conscience” regulation to protect workers who didn’t want
to participate in certain medical
services.
He later co-founded LegalWorks, a “pro-life apostolate”
law firm embracing what it calls
“the belief that the practice of
law should be guided by the
principles of our faith in every
respect.”
—Laura Meckler
and Brent Kendall
nant girl in Arizona that “the
unborn child is a child [in] our
care” and noted the girl had
mentioned she was feeling sad.
“Clinician should work to
identify any pressures that
might be leading her to desire
termination (does she feel
pressure to get to work, is
there emotional abuse, etc.)
and what is leading to her sadness and anger,” Mr. Lloyd
wrote.
In the Jane Doe case, court
papers filed by the ACLU say
that the girl had told officials
at her shelter that she wanted
to terminate her pregnancy,
but they resisted. She made
clinic appointments but missed
them because the shelter
wouldn’t allow her to leave,
she said in the papers.
Officials instead took her to
a religiously affiliated center
that showed her a sonogram
and urged her to carry her
pregnancy to term.
Asked about this case, an
agency spokesman said the
statute makes the agency the
legal guardian of these children and that this means Mr.
Lloyd is “foster father” for the
children in custody. Mr. Lloyd,
the spokesman said, sees it as
his responsibility to make
“good choices on their behalf.”
FBI Warned of Threat to Oswald, Memo Shows
BY ELI STOKOLS
POLITICS
Trump Donor Sought
Clinton Email Data
JFK COLLECTION/ZUMA PRESS
A newly released memo
from longtime FBI Director J.
Edgar Hoover reveals his frustration over law enforcement’s
failure to keep Lee Harvey Oswald alive long enough to extract his confession to the
murder of President John F.
Kennedy.
The Federal Bureau of Investigation had even warned
the Dallas Police Department
about a threat on Oswald’s life
the agency had received the
night before Dallas nightclub
owner Jack Ruby shot and
killed Mr. Oswald, according to
the document, one of some
2,890 previously classified
documents surrounding the
Kennedy assassination released to the public Thursday.
Mr. Hoover dictated the
memo Nov. 24, 1963, two days
after Kennedy was shot and
just hours after Oswald had
been killed while he was in police custody.
“There is nothing further on
the Oswald case except that he
is dead,” the memo began.
The FBI had received a
phone call the night before Oswald was killed warning them
a plot was in the works. “Last
night, we received a call in our
Dallas office from a man talking in a calm voice and saying
he was a member of a committee organized to kill Oswald,”
Mr. Hoover said.
That information was twice
communicated to the Dallas
police chief, first on the evening the threat came in and
again the following morning in
a phone call, according to the
memo. Dallas police “assured
us adequate protection would
be given,“ Mr. Hoover states.
“However, this was not done.”
Evidence related to the assassination of President John F. Kennedy, including Lee Harvey Oswald’s rifle and his identity papers.
On the morning of Nov. 24,
1963, a crowd of police and
press with live television cameras rolling were assembled in
the basement of the police department’s headquarters to
witness Oswald’s transfer to a
more secure county jail. As officers walked Oswald out, Mr.
Ruby stepped forward and
shot him once with a concealed .38-caliber revolver.
The single gunshot wound
proved to be fatal—ending Oswald’s life but also Mr. Hoover’s hopes of extracting a
confession from him to the
Kennedy murder.
A confession was of the essence, Mr. Hoover wrote in the
same memo, because of the
need for “something issued so
that we can convince the public that Oswald is the real assassin.”
The comment was remarkable for its foresight. More
than 50 years after the assassination, more than half of the
country still questions the
Warren Commission’s conclusion Oswald acted alone.
The National Archives released the trove of new documents related to the JFK assassination Thursday evening
at the behest of President Donald Trump, who held back a
number of documents the FBI
and the Central Intelligence
Agency requested remain classified. Those additional documents could be released after
additional review.
Historians don’t anticipate
any revelations from the newly
released documents that will
offer convincing validation of
any conspiracy theories that
have long swirled around the
Kennedy assassination.
But they could add to the
public’s understanding of the
government’s failed pursuit of
Oswald in the months leading
up to the killing and the process of its long investigation
into the matter.
Mr. Hoover wrote hours after Oswald’s murder that his
“having been killed today after
our warnings to the Dallas Police Department was inexcusable.”
As Republicans push forward
to rewrite the tax code, some
stakeholders are warning that
Senate Majority Leader Mitch
McConnell is adopting the same
legislative strategy that proved
unsuccessful with health care.
The effort to overturn the
2010 Affordable Care Act collapsed after GOP lawmakers
wrote the legislation behind
closed
doors
and
depended solely on votes from
their own party to pass the bill.
When three of them balked, the
measure failed since no Democrat supported it.
Republicans are taking that
same approach on the tax package—despite efforts by some
Democrats to engage in the process, according to interviews
with lawmakers.
“One of the things that typically you do in governing is you
reach consensus, but you use
both sides of the aisle to do so,”
Sen. Bob Corker (R., Tenn.)
said.
President Donald Trump has
courted Democratic lawmakers
on the House and Senate taxwriting committees, meeting
with them at the White House.
“I think we’re going to get some
Democratic votes,” the GOP
president said Wednesday when
asked about the tax measure.
But his outreach hasn’t been
matched with similar efforts by
Senate Republican leaders.
Democrats said they have not
seen the tax legislation and
don’t expect to see it before it
is released next week.
“There is a lack of trust at
this point because so much of
this has been done behind
closed doors with just Republicans,” said Sen. Claire McCaskill
of Missouri, a Democrat whom
the White House is attempting
to win over.
Aides to Mr. McConnell, a
Kentucky Republican, point out
that Democrats will be able to
offer amendments in the Finance Committee and later on
the Senate floor, should the bill
come to the floor for a vote.
JOSHUA ROBERTS/REUTERS
GOP Tax Strategy Echoes Health-Care Approach
BY NATALIE ANDREWS
WASHINGTON
WIRE
Senate Majority Leader Mitch McConnell (R., Ky.) has been
criticized for not engaging Democrats on the GOP’s tax overhaul.
“Many Democrats called for
action to get tax reform done,“
Mr. McConnell said in a floor
speech this week. ”I hope our
Democratic friends will work
with us now in a serious way to
actually do so. After all, it’s not
as if the need for tax reform has
changed since our friends made
statements like these. The only
thing that’s changed is the occupant of the White House.”
The pressure for Republicans
to pass a tax bill is growing.
With the GOP holding 52 seats
in the Senate and at least two
Republicans retiring, the party’s
majority in the chamber could
be on the line if the effort to reform the tax code is unsuccess-
ful, said former Senate Majority
Leader Trent Lott, a Mississippi
Republican.
“If they go this whole year
not having achieved anything
major, other than one Supreme
Court justice, that horse is going to be out of the barn,” Mr.
Lott said.
Mr. Trump’s attempts to
build a bipartisan coalition have
struck some Democrats as more
pressure than persuasion—a
tactic similar to one used by
congressional Republicans. At
an October meeting at the
White House with mostly Democrats up for re-election in 2018
in states Mr. Trump won, a
Democratic senator said the
meeting began friendly but
ended with tension.
“He spent the last several
minutes threatening people,”
the senator said. “He said he
wouldn’t want to be a Democrat
in a state that voted against
this.”
—Siobhan Hughes
and Kristina Peterson
contributed to this article.
Trump donor Rebekah Mercer
in August 2016 asked the chief
executive of a data-analytics firm
working for Donald Trump’s presidential campaign whether the
company could better organize
the Hillary Clinton-related emails
being released by WikiLeaks, according to a person familiar with
their email exchange.
The previously undisclosed
details from the exchange between Ms. Mercer and Cambridge Analytica CEO Alexander
Nix show how an influential supporter of Mr. Trump was looking
to leverage the hacked Clintonrelated messages to boost Mr.
Trump’s campaign.
Earlier this week, The Wall
Street Journal reported that Mr.
Nix emailed Ms. Mercer and some
company employees that he had
reached out to WikiLeaks founder
Julian Assange to offer help organizing the Clinton-related emails
the website was releasing. The
new details shed light on the timing of Mr. Nix’s outreach to Mr.
Assange, which came before his
company began working for Mr.
Trump’s campaign.
Representatives for Ms. Mercer
and Cambridge Analytica didn’t
return a request for comment.
Earlier this week, Mr. Trump’s
campaign issued a statement
playing down its work with Cambridge Analytica but not addressing the offer to help Mr. Assange
index the Clinton-related emails.
—Rebecca Ballhaus
ELECTION
Website First Funded
Anti-Trump Research
A research firm whose work
ultimately culminated in a dossier
of unverified and salacious information about President Donald
Trump’s ties to Russia was first
hired by a conservative publication to conduct research on a
number of presidential candidates.
In a joint statement released
Friday, the Washington Free Beacon’s chairman and editor in chief
said the Washington, D.C.-based
web publication had hired the
firm Fusion GPS to conduct opposition research during last year’s
presidential campaign. But the
publication denied any involvement in anti-Trump research that
culminated in a 35-page dossier
compiled by ex-British spy Christopher Steele that has become of
significant interest to investigators probing alleged Russian meddling in the 2016 election.
The Free Beacon’s involvement in the initial research effort ends a long-running mystery
concerning the murky origin of
the dossier, which circulated
widely in intelligence and media
circles late in the 2016 election.
Mr. Trump has called the dossier “fake” and “discredited” and
has denied any collusion with
Russia during the election.
—Byron Tau
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THE WALL STREET JOURNAL.
Saturday/Sunday, October 28 - 29, 2017 | A5
* * * * * * * * *
OBITUARIES
TA I Z O N I S H I M U R O
1935— 2017
CHUCK AMES
1925— 2017
CEO Burnished
Toshiba Name in U.S.
Executive Led Endangered
Industrial Firms
T
aizo Nishimuro rose to the
top of one of Japan’s bestknown industrial conglomerates thanks in part to his negotiating prowess in the U.S. But by
the time he died on Oct. 14 at age
81, the former Toshiba Corp. chief
executive had seen a U.S. acquisition lay low the company.
Mr. Nishimuro joined Toshiba
in 1961, when the company and its
product line of televisions, computers and microwave ovens were
a symbol of Japan’s rise to economic superpower status.
Fluent in English, he spent 14
years with the company in the
U.S., where he made strong connections with business leaders.
That experience would pay off
throughout his career. In the
1990s, when Toshiba battled Sony
Corp. over the format of DVDs,
Mr. Nishimuro tapped his Hollywood contacts to help make
Toshiba’s format the standard.
Even after he stepped down
from the top job in 2000, Mr.
Nishimuro remained a prominent
figure at Toshiba, holding advisory roles. His legacy was tainted
in recent years as a deal failed
and an accounting scandal
erupted.
In 2006, Toshiba expanded its
nuclear-reactor business by buying Westinghouse Electric Co.
Westinghouse filed for bankruptcy protection in March, and
Toshiba had to sell its prized
flash-memory business to survive.
—Takashi Mochizuki
ROGER RABER
1942— 2017
Onetime Priest Pushed
Corporate Governance
R
oger Raber, ordained as a
Roman Catholic priest as a
young man, later found his
calling as an advocate for better
corporate governance.
He was chief executive of the
National Association of Corporate
Directors, a nonprofit seeking to
improve the performance of
boards, from 1999 to 2007, coinciding with scandals at Enron
Corp. and WorldCom Inc. Those
events gave resonance to his calls
for independent directors willing
to ask CEOs tough questions.
“Directors should have the duty
of curiosity to ask difficult questions,” Dr. Raber said in 2002 at a
congressional hearing on Enron.
Among other things, they should
question whether reported results
reflect true profitability and
whether auditors might have conflicts of interest.
The association offered seminars to help directors learn about
the latest accounting rules and
tricks. Dr. Raber said some attendees told him it was the first
time they understood transactions
that weren’t recorded on a corporation’s balance sheet.
He believed corporate boards’
compensation committees were
often too cozy with the CEO.
Those panels should exclude anyone with personal or business ties
to the company, he argued.
Dr. Raber died of complications
from Alzheimer’s in Washington
on Oct. 10. He was 74.
—James R. Hagerty
BY JAMES R. HAGERTY
A
s a student at Illinois Wesleyan University in the late
1940s, Chuck Ames agreed to
be president of his fraternity,
largely because it meant a free
room. He was a C+ student and,
when he later applied to Harvard
Business School, he figured his
chances of acceptance were low.
Harvard’s interviewer, noting
that service as a fraternity officer,
saw leadership potential. Harvard
admitted him. Mr. Ames was
launched on a career in which he
rose to become a partner at McKinsey & Co. and was chief executive
at three industrial companies
struggling against tougher foreign
competition. As U.S. manufacturers
retrenched in the late 1980s, Mr.
Ames joined the private-equity firm
Clayton, Dubilier & Rice, where he
eventually became vice chairman.
His memoir, published in 2013, is
called “Lucky Breaks,” but Mr.
Ames made much of his own luck.
He burnished his name by writing
about management in the Harvard
Business Review and was willing to
work for old-line industrial companies while others flocked to more
glamorous industries.
He took pride in his common
sense. As a McKinsey consultant,
he figured out that Hershey Foods
Corp. could save money by buying
chopped almonds rather than
whole ones.
Mr. Ames died Sept. 22 at his
home in Hunting Valley, Ohio. He
was 92.
As a corporate director, Mr.
Ames was impatient with longwinded answers. He sometimes told
executives to limit their responses
to yes, no or a number.
He didn’t believe companies
should make moonshot investments. “I’m not interested in Nobel
Prizes,” he told the Washington
Post in 1988. “I want to focus on
market requirements.”
Bruce Charles Ames was born
June 27, 1925, in Elgin, Ill. (After
schoolmates insisted Bruce was a
sissy name, he switched to Chuck.)
His father, a broker of milk and
eggs, frequently moved the family
in search of better opportunities
and eventually owned a dairy.
H
e recalled being a young
“hellion” who broke windows with a BB gun and put
a hole in the ceiling while playing
with his dad’s pistol. At his father’s
dairy, young Chuck once spilled two
10-gallon cans of milk while loading
a truck. “You know, Chuck, you’re
getting strong as an ox and just as
smart, too,” his father said, then
deducted the cost from the son’s
paycheck.
Shortly before his 18th birthday,
Mr. Ames enlisted in the Army and
was sent to New Guinea and later
the Philippines.
The GI Bill paid for his education
at Illinois Wesleyan, where he majored in liberal arts and met his future wife, Joyce “Jay” Eichhorn.
His first job after Harvard, as a
manager at General Telephone
Corp., was slow and uninspiring.
After reading a Wall Street Journal
article about McKinsey, he applied
to the consulting firm and was
hired for $9,000 a year. The uniform was a suit, a white shirt, kneelength socks and a hat.
After 15 years, he left McKinsey
for Reliance Electric Co., a maker of
electric motors and other items, in
1972. Though he found running a
company harder than being a consultant, he was soon promoted to
CEO and rapidly expanded Reliance.
His aim was to double earnings every five years and earn at least 15%
on invested capital. Capital investments should pay off within five
years, he believed.
Exxon Corp. bought the company
for $1.24 billion in 1979. Reliance
later went through other ownership
changes and was acquired by Switzerland’s ABB Group.
The next stop for Mr. Ames was
Acme-Cleveland Corp., a maker of
machine tools for cutting and shaping metal, where he became CEO in
1981. German and Japanese companies were gobbling up the tools
market. Mr. Ames slashed costs and
tried diversifying into telecom
equipment but felt he couldn’t
match foreign rivals’ investments in
new technology. After six years, he
resigned as CEO. “I had done my
best, and that wasn’t good enough,”
he concluded. Acme was later broken up and sold.
Clayton Dubilier hired Mr. Ames
to run Uniroyal Goodrich Tire Co. in
December 1987. Part of the job “was
to pretty up the company for ultimate sale,” he wrote. It didn’t take
long. In 1989, Michelin Group of
France agreed to buy Uniroyal
Goodrich for $1.5 billion.
Mr. Ames is survived by his wife
of 67 years, three children and
eight grandchildren.
Read a collection of in-depth
profiles at WSJ.com/Obituaries
FROM PAGE ONE
DEAL
Continued from Page One
and, if there is one, it may not
come until closer to year-end,
the people said.
Big companies are rushing
to integrate different lines of
health-care businesses, aiming
to squeeze out costs and use
their bulk to bolster leverage
with suppliers.
For CVS, a deal would be a
bulwark against the threat of
competition
from
Amazon.com Inc., which is exploring a move into the pharmacy
business.
CVS already manages pharmacy benefits for employers
and insurers, while also selling medicines through its own
drugstores. Adding Aetna will
expand its reach on the
health-care payer side, giving
it oversight over all aspects of
health-care spending as a
medical insurer itself. It will
likely accelerate CVS’s existing efforts to remake its
stores into health centers
more akin to clinics, pushing
it deeper into the health-care
provider space. It will also
lock in Aetna’s 22 million
members as customers.
“You have the basis for a
less expensive delivery system, at places where employees actually go,” said Robert
Galvin, chief executive of Equity Healthcare, which negotiates contracts with health insurers on behalf of companies
owned by big private-equity
firms, including Blackstone
Group, where he is an operating partner. “The diligence is
going to be, what does this
mean to an employer? Will it
lower costs and improve
care?”
UnitedHealth is already far
down the road of integration.
PROBE
Continued from Page One
examining alleged Russian efforts to influence last year’s
election and whether President
Donald Trump’s campaign or
Mr. Trump’s associates colluded with the Kremlin.
Mr. Mueller is also probing
It is the parent of the largest
U.S. health insurer and a major pharmacy-benefit manager, as well as a rapidly
growing stable of doctor practices and outpatient surgery
centers. Humana Inc., which
owns its own pharmacy-benefit manager, has talked about
going deeper into providing
health care to members in
their homes. Anthem, which
sold off its PBM in 2009, now
plans to start a new one in
2020.
For insurers, the tack is
partly a reaction to the death
of a previous round of deals;
Anthem’s acquisition of rival
Cigna Corp. and Aetna’s effort
to buy Humana both ran
aground earlier this year after
losing antitrust cases. Crossindustry combinations like a
CVS-Aetna deal would likely
avoid much of that pushback
because they are far more
vertical than the insurer-insurer mergers would have
been.
The insurance companies
are facing off against pharmaceutical makers and hospital
systems, which themselves
have been merging and acquiring doctors, strengthening
their hand in pricing negotiations and improving their
ability to capture lucrative
services. Insurers want to try
to move care such as the infusion of specialty drugs away
from hospitals and into other
settings where costs can be
far lower—in CVS’s case, per-
haps a MinuteClinic or homebased offering.
“Employers are looking for
more comprehensive solutions
to solve the big health-care
management challenges,” said
Nadina J. Rosier, a practice
leader at Willis Towers Watson. They also want “a more
seamless experience for the
member.”
During an earnings call in
May, Aetna CEO Mark T. Bertolini said that Aetna and
CVS, which already have a
contract for pharmacy-benefit
services, were “trying to fundamentally rethink how we
could work closer together,
both on just the pharmacy
side but also on the local care
delivery that could go on in
the community, given that
CVS has 9,000 stores within 3
miles of 80% of the American
public.”
He said Aetna believed “we
need to get closer to home
and closer to the community
to help people…versus waiting
for them to show up maybe
once a year at the doctor to
get information about how
they’re doing.”
But the bottom-line question will be whether the
bulked-up CVS can offer better
economics than existing insurers and PBMs. “It’ll all depend
on the math,” said Jim Winkler, a senior vice president at
Aon PLC. “It will depend on
the terms of the deal you can
put in front of an employer
and how transparent as an entity you are willing to be.”
A deal with Aetna would be
large—the insurer has a market value of nearly $60 billion—and CVS would need to
pay for it largely with stock,
and a recent decline in the
drugstore owner’s shares
makes that more expensive.
—Sharon Terlep
contributed to this article.
the separate business dealings
of former aides to Mr. Trump,
including former campaign
manager Paul Manafort, who is
under investigation for alleged
money laundering and tax issues, The Wall Street Journal
has previously reported.
Mr. Mueller’s prosecutors
have been presenting evidence
before a federal grand jury in
Washington.
A spokesman for Mr.
Manafort declined to comment. Mr. Manafort has previously said he has done nothing
wrong.
Moscow has denied seeking
to influence the election, and
Mr. Trump has vigorously disputed allegations of collusion.
The GOP president has called
Mr. Mueller’s inquiry a “witch
hunt.”
A deal would be a
bulwark against the
threat of competition
from Amazon.
Victorian Idyll
John Atkinson Grimshaw
British master. Incredible
color. Majestic composition.
This original oil on canvas
by John Atkinson Grimshaw
beautifully showcases the
esteemed painter’s mastery
over light and atmosphere.
Capturing the idyllic
countryside at dusk, the
gold-washed composition
exemplifies the tranquil tenor of his celebrated autumnal scenes.
Signed and dated 1879-80 (lower right). Canvas: 20”h x 30”w; Frame:
331/2”h x 431/2”w. #30-6163
630 Royal Street, New Orleans, Louisiana • 888-767-9190 • ws@rauantiques.com • rauantiques.com
Since 1912, M.S. Rau Antiques has specialized in the world’s finest art, antiques and jewelry.
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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
A6 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
WORLD NEWS
Spain Seizes Power in Catalonia After Vote
Prime minister orders
region’s leaders to
step down, sets new
elections amid crisis
BARCELONA—The Spanish
government ousted Catalonia’s
leaders on Friday, hours after
separatist lawmakers declared
the wealthy region an independent republic, plunging the
country into its greatest political quagmire in decades.
Prime Minister Mariano Rajoy also said he was dissolving
Catalonia’s parliament and set
new legislative elections for
Dec. 21, invoking emergency
constitutional powers granted
to him by Spain’s Senate earlier in the day.
The tensions between Madrid and the Catalan separatists now risk spilling over into
the streets, with pro-independence forces pledging mass
demonstrations and even civil
disobedience as Mr. Rajoy
vows to subdue the independence drive.
Mr. Rajoy didn’t elaborate
on how the central government
would ensure that Catalan separatist leaders, who have repeatedly flouted Spanish authorities, would step down
from their positions. Prosecutors in Madrid could order
their arrests.
Officials in Spain’s ministries will take over the responsibilities of Catalan agencies,
including the regional police
force. Regional parliamentary
elections will be held in December and new leaders
elected, an attempt by Mr. Rajoy to limit the time Madrid
maintains direct rule in Catalonia. The premier also said he
would take the Catalan parliament’s proclamation of independence to Spain’s top constitutional court.
“We are living a sad day in
which
irrationality
has
trumped the law and demolished democracy in Catalonia,”
Mr. Rajoy said in televised remarks.
No Spanish prime minister
has ever invoked the constitutional powers to seize temporary control of a region. The
potential for missteps, which
risk fanning the flames of separatist sentiment further still,
is great.
Mr. Rajoy has already stationed at least an additional
6,000 national police officers
in Catalonia, according to
union representatives, in a sign
the central government is worried about how it will impose
direct rule on the ground and
whether Catalonia’s 17,000strong regional police, the
Mossos d’Esquadra, will follow
Madrid’s orders.
“If the Mossos sides with
pro-independence supporters,
then the risk of an even more
serious escalation of this crisis
would increase,” said Stephen
Brown, an economist at Capital
Economics in London. Mossos
representatives have said in recent days that the force is
awaiting details on the powers
Madrid will assume.
LLUIS GENE/AGENCE FRANCE-PRESSE/GETTY IMAGES
BY JEANNETTE NEUMANN
AND MARINA FORCE
Mayors in the Catalan parliament in Barcelona raised batons in support of independence for the region on Friday. The vote sparked alarm across the country and beyond.
One risk is of clashes between Spanish police and protesters who have promised to
protect Catalan government institutions in a bid to prevent
Madrid from removing Catalan
officials. The tensions could
also escalate if Spanish prosecutors order the arrests of the
separatist leaders, something
pro-independence forces have
vowed to prevent.
Separatists’ strategy has
been to “trigger an overreaction by the central government” to force the European
Union to intervene and to keep
support for independence
strong in the streets, wrote
Antonio Barroso, a Spanish political analyst at Teneo Intelligence, a consulting firm, in a
research note Friday.
Catalan National Assembly,
an influential pro-independence organization, on Friday
published a statement recommending that civil servants in
Catalonia “don’t have to comply with the orders from someone who invokes (direct
rule)…because they are clearly
unlawful measures.”
Earlier Friday, separatist
lawmakers used a secret vote
to approve the independence
declaration, signaling concern
that they could face arrest for
flouting Spanish law by proclaiming a split with Spain.
Fifty-two opposition lawmakers abandoned the parliament in protest at what they
branded a democratic farce, a
direct attack on Spain’s constitution and an affront to Catalans who don’t support secession. Of those who remained,
70 voted in favor of independence and 10 against, while
two lawmakers voted in blank.
Stocks, Bonds Hit
By Political Unrest
Investors dumped Spanish
stocks and bonds after the region of Catalonia declared independence on Friday, in a move
that promises further turmoil
for the country’s markets.
Spain’s IBEX-35 stock-market index dropped 1.4% on the
day, while the broader Stoxx
Europe 600 gained 0.3%, after
the Catalan parliament voted
to declare an independent Catalan Republic.
Banco de Sabadell SA and
CaixaBank SA, two banks with
a strong presence in Catalonia,
were among the biggest decliners, losing 4.7% and 3.1%,
respectively.
Investors also sold Spanish
bonds, which so far have been
hit less than stocks by the crisis. Yields on 10-year Spanish
government debt rose to
1.574% from 1.558% the previous day. Yields on bonds issued by the Catalan government maturing next year rose
to 2.493% from 2.313% Thursday. Bond yields move opposite
to prices.
Separatist Jitters
Analysts say Spain and the
European Union are unlikely to
recognize Catalan independence, but Madrid’s attempts
to take over the regional government could spark social unrest.
The market selloff reflects
fears that uncertainty will be
harmful for the Spanish economy, investors say.
“It reflects a negative impact on growth for one of the
economies that was leading
Europe and could now be affected,” said Adrien Pichoud,
chief economist at SYZ Asset
Management, which has
dumped Spanish stocks and
bonds since the Catalan crisis
escalated in September.
Until July, Spain’s IBEX-35
index was outperforming
benchmark indexes in Italy,
France and Germany on a total
return basis. Now, the stocks
are the worst performers in
this group.
The premium demanded by
investors to hold Spanish
bonds instead of German 10year debt—a widely used measure of credit risk—also edged
up Friday, but it remains narrow by historical standards.
—Jon Sindreu
Spanish stocks tumbled Friday, led lower by Catalonia-focused
banks that have steadily declined amid the standoff.
Spain’s IBEX-35 stock-market index
10400
10350
10300
10250
10200
10150
10100
3 a.m. 4
6
8
9
10
11
Banco de Sabadell’s stock price
€4.30
€1.85
4.20
1.80
4.10
1.75
4.00
1.70
3.90
1.65
3.80
1.60
3.70
1.55
Sept. Oct.
liament of our country…has
taken a long-awaited and longfought step,” Carles Puigdemont, Catalonia’s president
and leader of the separatists,
said after the vote.
Catalonia’s
secessionist
movement has simmered for
decades, but has grown in recent years due to grievances
about the amount of tax revenue the wealthy region sends
7
CaixaBank’s stock price
Source: FactSet
Pro-independence protesters
gathered outside the regional
parliament in central Barcelona
broke out into cheers when the
parliamentary vote was announced. Separatist lawmakers
began to sing the Catalan anthem. Soon after the vote,
about 20,000 people had gathered in central Barcelona in
support of independence.
“Today the legitimate par-
5
Sept. Oct.
Notes: Times are in EST; €1 = $1.16
to Madrid and over complaints
that Madrid suppresses its distinct language and culture.
The separatist legislators
said Catalan voters gave them
a mandate for the declaration
in an Oct. 1 referendum on independence. Catalan authorities say that around two million voters cast ballots and
that the vast majority voted in
favor of secession. However,
THE WALL STREET JOURNAL.
opposition parties boycotted
the vote and a top Spanish
court suspended the ballot.
Foreign leaders and governments quickly reiterated their
support for Madrid in the
standoff. The U.S. State Department said that Washington
“supports the Spanish government’s constitutional measures
to keep Spain strong and
united.”
Catholic Hospital Chain Defies Vatican on Euthanasia
VATICAN CITY—A chain of
Catholic psychiatric hospitals
in Belgium is granting euthanasia to non-terminal patients,
defying the Vatican and deepening a challenge to the
church’s commitment to a constant moral code.
The board of the Brothers
of Charity, Belgium’s largest
single provider of psychiatric
care, said the decision no longer belongs to Rome. Truly
Christian values, the board argued in September, should
privilege a “person’s choice of
conscience” over a “strict
ethic of rules.”
The policy change is highly
symbolic, said Didier Pollefeyt,
a theologian and vice rector of
the Catholic University of Leuven. “The Brothers of Charity
have been seen as a beacon of
hope and resistance” to euthanasia, he said. “Now that the
most Catholic institution gives
up resistance, it looks like the
most normal thing in the
world.”
Belgium legalized euthanasia in 2002, the first country
with a majority Catholic popu-
KRIS PANNECOUCKE FOR THE WALL STREET JOURNAL
BY FRANCIS X. ROCCA
Dr. Marc Desmet, center, often attends euthanizations at Jessa Hospital in Belgium, where he works.
lation to do so. Belgian bishops
opposed the legislation, in line
with the church’s catechism,
which states that causing
the death of the handicapped,
sick or dying to eliminate their
suffering is murder.
But many Catholic health-
care institutions soon gave
way. Within two years, more
than 80% of the Catholic hospitals and nursing homes in Belgium’s Dutch-speaking Flanders
region permitted euthanasia,
and more than 40% permitted
it for non-terminal patients, ac-
cording to a study by the Catholic University of Leuven.
Vatican statements on the
matter were “no longer generally accepted” by Catholic institutions as the basis for ethics policies, the study noted.
Marc Desmet, a palliative
care specialist who is also a
Catholic priest, frequently
counsels patients who are considering euthanasia. “I do not
say what they have to decide,”
he said.
Another Belgian priest, the
Rev. Gabriel Ringlet, is author
of a popular book on “spiritual
accompaniment to euthanasia,” and has encouraged people to develop their own unofficial rituals for the practice.
In this context, Belgium’s
branch of the Brothers of
Charity, an international congregation, was one of the last
Catholic holdouts. The organization, which was founded in
Belgium in 1807, now runs 15
psychiatric hospitals there,
with around 5,000 beds.
In 2002, a majority of the
hospital chain’s board of directors were also consecrated
brothers who take vows of
poverty, chastity and obedience. After legalization, if patients at a Brothers of Charity
hospital demanded euthanasia,
official policy was to transfer
them to other institutions.
By this year there were only
three consecrated brothers on
the 15-member board, and in
March it voted to grant euthanasia to patients, issuing an
ethical rationale and a procedure for evaluating euthanasia
requests. The board declined
to comment about the decision
for this article.
The Vatican responded to
the decision with a public
statement that Pope Francis
wanted the hospital chain to
reverse policy, and letters
from the offices for doctrine
and religious orders.
Brother René Stockman,
world-wide head of the Romebased Brothers of Charity and
a prominent campaigner
against euthanasia, warned
the Belgian hospital chain in
July that it would lose the
right to claim a Catholic identity if it didn’t abandon its euthanasia policy. That could
mean losing buildings that belong to the religious order, he
told the Journal.
The hospital chain in Belgium appears unmoved. One
prominent board member, former Belgian Prime Minister
Herman Van Rompuy, tweeted
in August: “The time of ‘Rome
has spoken, the case is closed’
is long past.”
THE WALL STREET JOURNAL.
Saturday/Sunday, October 28 - 29, 2017 | A7
* * * *
WORLD NEWS
MALTA
Europol to Aid Probe
Of Journalist’s Death
Europol, the European Union’s
police agency, has sent a team
of organized-crime experts to
help Maltese police investigate
the assassination of a prominent
investigative journalist, a spokesman said Friday.
Daphne Caruana Galizia died
Oct. 16 when a bomb shattered
her car. The slaying sparked outrage in Malta, where she was
well known as a dogged crusader against corruption.
The FBI and Dutch forensic
experts also have helped local
police as they investigate a slaying that was widely denounced
as an attack on free speech. So
far authorities haven’t identified
any suspects or a motive.
Prime Minister Joseph Muscat, a frequent target of Caruana
Galizia’s writing, vowed last
week that no stone will be left
unturned in the investigation.
—Associated Press
SPAIN
Hong Kong Bookseller
Said to Be Released
Mainland Chinese authorities
have released a detained Hong
Kong bookseller and he has been
reunited with his relatives, one
of his friends said Friday.
Chinese dissident poet Bei
Ling said family members confirmed to him that Gui Minhai
has been released, days after the
Chinese and Swedish governments made similar announcements but provided few details.
Mr. Gui, a Swedish citizen who
was born in China, was one of
five employees of a Hong Kong
bookshop believed to have been
abducted and spirited to the
mainland two years ago. The
store specialized in salacious tales
about high-level Chinese politics.
Mr. Gui disappeared from his
Thai holiday home while the four
other men, who have been released, were last seen in Hong
Kong.
—Associated Press
ECB Rate Move Reopens Divide at the Top
BY TOM FAIRLESS
FRANKFURT—The European
Central Bank’s reluctance to
quickly phase out its bondbuying program has reopened
a rift at the top of the world’s
second-most powerful central
bank, pitting ECB President
Mario Draghi against German
Bundesbank
head
Jens
Weidmann—just as discussions
begin about whether the German will succeed the Italian.
The dispute is a headache
for investors, making it harder
to figure out when the ECB
might end its bond purchases
and start raising interest
rates. It could affect who is
picked as Mr. Draghi’s successor when he steps down in late
2019, a decision that will influence the scope of the ECB’s
role in Europe’s economy for
years to come.
Mr. Weidmann, widely seen
as a leading contender for the
ECB’s top job, has publicly opposed many of the bank’s stimulus policies in recent years,
notably its large-scale purchases of government bonds,
known as quantitative easing
or QE. Although he toned
down his criticism in recent
months,
Mr.
Weidmann
changed tack this week, publicly opposing a decision to extend QE through September
2018.
In a speech in Paris on Friday, Mr. Weidmann said the
ECB should have announced a
fixed end-date for QE, rather
than leaving open the option
ALEX KRAUS/BLOOMBERG NEWS
WORLD
WATCH
On Mario Draghi’s watch, the ECB has become a proponent of policies such as negative interest rates.
of another extension beyond
September.
His opposition puts Mr.
Weidmann at odds with national leaders in Southern Europe, who would need to approve his nomination as ECB
chief. It suggests that a
Weidmann-led ECB would be a
very different animal from the
one that Mr. Draghi has
steered over the past six years.
The ECB’s president has
only one vote on its 25-member rate-setting committee, but
gets to decide which topics are
discussed by council members.
“He has agenda-setting
power,” said Guntram Wolff, a
German economist who is director of Bruegel, a Brusselsbased think tank.
On Mr. Draghi’s watch, the
ECB has been transformed
from a bastion of monetary
conservatism modeled on the
Bundesbank into an proponent
of experimental policies such
as negative interest rates. Its
balance sheet has swelled by
about half, to around €4.4 trillion ($5.2 trillion)—bigger than
the Federal Reserve’s—and is
set to keep growing through
much of next year.
The ECB “has become more
Anglo-Saxon, much more like a
modern central bank such as
the Federal Reserve or Bank of
England,” said Mr. Wolff.
The bank has become one of
the biggest players in global financial markets, so that uncertainty about the bank’s future
policy course affects a wide
range of interest rates and asset prices.
The ECB’s newfound activism is controversial, however,
with critics arguing it should
have been up to politicians, not
the central bank, to defend a
politically created common
currency.
One senior ECB official says
the bank has become “more
politicized than ever before”
under Mr. Draghi’s leadership,
because its new policy tools
have broader implications for
the distribution of wealth. The
ECB decides which banks to
supply with cheap funds, and
how much financial support to
give to governments, the official said.
The post of ECB president is
one of a handful of top European Union positions that are
expected to be negotiated by
EU leaders as a package over
the coming months. They include ECB vice president, head
of the “Eurogroup” committee
of eurozone finance ministers,
and head of the ECB’s banking
supervisor. The discussions
could kick off in earnest after
Germany forms a new government, possibly around the end
of the year.
Mr. Weidmann’s candidacy
is expected to be strongly supported by Berlin, in part because a German has never run
the ECB. The appointment
needs a consensus among leaders of eurozone countries,
however, and Mr. Weidmann’s
accession is far from guaranteed.
Malaysia’s Najib Seeks Support With More Spending
BY YANTOULTRA NGUI
billion) for rubber tappers,
farmers and fishermen, who
represent a large cross-section
of his government’s support
base.
The budget also includes the
elimination of toll collections
on three highways running
through what are expected to
be the most closely contested
areas in the coming elections.
“This budget is the most
important because it is a for-
KUALA LUMPUR, Malaysia—
Prime Minister Najib Razak announced his largest annual
spending plan since becoming
Malaysia’s leader in 2009, as
he seeks to shore up support
for his government ahead of a
general election in 2018.
The 2018 budget includes
the highest-ever aid packages
worth 6.5 billion ringgit ($1.5
mula for initiatives that have
been driving the country’s
economy since I became prime
minister [in 2009],” Mr. Najib
told Parliament on Friday. The
280.25 billion-ringgit budget
is 7.5% higher than the 260.80
billion ringgit allocated for
this year.
The 2018 election, which is
due around June next year,
will be Mr. Najib’s biggest
electoral test since his govern-
ment was embroiled in the
scandal at 1Malaysia Development Bhd, or 1MDB, in 2015.
1MDB, which Mr. Najib established in 2009 to spur the
country’s economy and drive
investment, is being investigated by authorities in several
countries including the U.S. on
allegations that range from
money laundering to misappropriation of funds. Both
1MDB and Mr. Najib have de-
nied wrongdoing and said they
would cooperate with any lawful international investigation.
“This is the classic election
budget,” said James Chin, a
Malaysian academic who
heads the Asia Institute at the
University of Tasmania, said.
“The budget was designed to
get votes from the core UMNO
voters, the Malay community
and the B40 [bottom 40%
household group] voters.”
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A8 | Saturday/Sunday, October 28 - 29, 2017
* ********
THE WALL STREET JOURNAL.
WORLD NEWS
Team in Niger Was Denied Armed Drone
U.S. military officials sought
permission to send an armed
drone near a patrol of Green Berets before a deadly ambush
Oct. 4 in Niger, but the request
was blocked, raising questions
about whether those forces had
adequate protection against the
dangers of their mission.
New information shows the
Green Beret team was part of a
larger mission, one potentially
more dangerous than initially
described, and one believed to
merit an armed drone. But the
request was blocked in a chain
of approval that snakes through
the Pentagon, State Department
and the Nigerien government,
according to officials briefed on
the events.
One focus of military investigations into what happened in
Niger will be what a military official now says were two
changes in the mission of the
Green Beret team—from initially training Nigerien forces,
to advising on a mission to capture or kill a wanted terrorist,
to investigating the terrorist’s
abandoned camp.
On Oct. 4, after the U.S.-Nigerien team had destroyed the
camp, four Americans and five
Nigerien soldiers were killed in a
firefight with suspected Islamic
State fighters, and two other
Americans and as many as eight
Nigeriens were wounded.
The ambush and the circumstances surrounding it have
taken on political weight in
Washington as the deadliest military clash for Americans since
President Donald Trump took
office. Sen. John McCain (R.,
Ariz.), chairman of the Senate
Armed Services Committee, has
pressed for more information.
The drone request suggests
that military officials were
aware of a change in the security landscape in western Niger,
where more than two dozen
previous patrols had been conducted without incident. Intelligence indicated a low risk of enemy contact, and there had
been no enemy attacks on U.S.
forces there for the past year,
according to officials investigating the incident.
The initial decision against
the use of an armed drone reflects an effort by the U.S. mis-
MIKE STOCKER/SOUTH FLORIDA SUN-SENTINEL/ZUMA PRESS
By Julian E. Barnes,
Nancy A. Youssef
and Ben Kesling
Army Sgt. La David Johnson, killed in Niger, was buried recently in Fort Lauderdale, Fla.
sion in Niger to maintain a light
footprint in the country amid
local resistance to the deployment of armed aircraft.
After the firefight broke out
on Oct. 4, some military officials also wanted an armed
drone, but it is unclear if one
was in the area and whether
any request was made, according to a military official. An unarmed drone was dispatched,
and French Mirage jet fighters
arrived about an hour later, followed by French helicopters.
US officials have repeatedly
modified the timeline as facts
trickle in.
The Green Beret patrol was
one of two operating in the area
at about the same time, Pentagon officials said. The second
consisted of an elite commando
team specializing in missions to
track down wanted jihadists;
both were involved at the time
in a hunt for an associate of Adnan abu Walid al-Sahawi, the
leader of Islamic State in the
Greater Sahara, according to
current and former officials
briefed on the events.
The Green Beret team’s role
in Niger was initially to help
train the country’s security
forces. But then, before the October mission began, the group
was asked to advise the Nigerien
quick-reaction force that was to
assist the elite commando unit
on its mission to capture or kill
the terrorist target, according to
a military official.
That mission was scrubbed
because weather conditions increased the risk for helicopter
flight to the site where the jihadist was thought to be, the official said. The commando unit
then sought another U.S. team
to check out what appeared to
be an abandoned terror camp
that the jihadist had used, according to current and former
officials briefed on the events.
The Green Beret patrol, now
available to be retasked, was sent
to the camp, the officials said.
The patrol was made up
mostly of Green Berets, with
other soldiers attached. All
were considered well trained,
having gone through the comprehensive work-ups of the elite
Special Forces, according to
Pentagon records.
The team, along with 30 Nigerien troops, left the country’s
capital, Niamey, the morning of
Oct. 3. The new mission, to find
the abandoned camp and shelter,
was considered relatively lowrisk. An assessment showed there
was little likelihood of an enemy
attack, officials have said, after
the wanted terrorist was known
to have abandoned the camp.
Military investigators have
and whether the team was prepared for helping an elite commando team track and kill Mr.
Sahawi’s associate.
The joint U.S.-Nigerien team
relatively quickly located and
arrived at the camp that had
been abandoned by Mr. Sahawi’s lieutenant. The team, according to military reports, collected some information and
destroyed the shelter they
found. From there, late on Oct.
3, the team began the trek back
to their base camp, according to
a military official.
While on the route back to
their camp, in the morning of
Oct. 4, the Nigerien forces asked
to stop at a village to get breakfast and refill their canteens.
At 10:40 a.m. local time, minutes after leaving the village,
the troops were ambushed.
Investigators are probing the
question of how the jihadists
found the Green Berets, since
intelligence hadn’t documented
any militants operating in the
area of the village.
An hour into the fight, minutes after a request from the
team for air support, the unarmed drone arrived, allowing
The Green Beret
patrol was one of two
operating in the area
at that time.
been examining the official orders that led to the assignment.
A key unanswered question is
who formally changed the
Green Beret-led team’s mission—the U.S. Africa Command,
known as Africom, the U.S.
Joint Special Operations Command, or another agency.
Investigators also are working to find out if there was adequate intelligence to evaluate
the likelihood of enemy contact
Kenya Vote Set to Return Leader to Power
KISUMU, Kenya—Uhuru Kenyatta looked set to secure a
second term as Kenya’s president, following an election rerun in which only one-third of
the voters showed up and at
least six people were killed in
clashes with security forces.
Thursday’s vote was called
to end Kenya’s democratic crisis but instead has polarized it
further, as the abstention of
pro-opposition voters, heavy
rains and voter apathy in
swaths of the country led only
6.5 million of the country’s
19.5 million registered voters,
or 33%, to the polls, the electoral commission said.
The electoral body has seven
calendar days to announce the
result of the election but, in
view of the low turnout, an official announcement could
come early next week.
The initial election in August, the result of which was
annulled, had a turnout of
about 80%.
A rerun of the vote in four
counties that are opposition
strongholds
in
western
Kenya—including
Kisumu,
home county of Mr. Kenyatta’s
longtime
nemesis,
Raila
Odinga—that
had
been
planned for Saturday was
postponed indefinitely.
The opposition had strongly
SIMON MAINA/AGENCE FRANCE-PRESSE/GETTY IMAGES
BY MATINA STEVIS-GRIDNEFF
Police in Nairobi on Friday confronted opposition supporters following Thursday’s election
rejected the electoral commission’s decision to attempt to
hold a vote in these counties,
claiming it was an attempt at
profiling of its supporters and
a ploy to unleash the security
forces on them. The commission said it was postponing
the vote on security grounds.
“When it comes to our
staff…when their lives are in
danger, as a commission we
are deeply concerned,” said
Wafula Chebukati, the commission chairman.
The vote went ahead after a
series of dramatic twists over
the past few weeks that have
deepened a rift between the
two parties and made attempts to unify the East African nation tougher.
Mr. Kenyatta’s victory on
Aug. 8 was annulled by the Supreme Court in September because of widespread irregulari-
ties, and the rerun was
scheduled. But Mr. Odinga
withdrew from it and urged his
supporters to boycott it, claiming the government planned to
rig the poll and become an
“electoral dictatorship.”
Mr. Odinga promised supporters he would give them
fresh instructions on Monday.
But the 72-year-old may have
few routes out of the corner
where he finds himself. After
boycotting the election on
technical grounds—claiming
the country’s electoral body
wasn’t ready to hold a credible
repeat election after August’s
irregularities—he is now
switching his strategy to undermining Mr. Kenyatta’s legitimacy.
While he is encouraging his
supporters to “resist” state
authority and mount a civil
disobedience movement, it
isn’t clear the millions he represents will be prepared to follow. Having lost three elections in a decade, this may be
the last stand by Mr. Odinga,
who had been consistently
trailing Mr. Kenyatta in polls
and campaign spending in recent months.
Diplomats say he could be
seeking a “political settlement,” a mediated power-sharing deal with Mr. Kenyatta that
would give him a seat in a government of national unity. But
Mr. Kenyatta’s side has rejected the idea outright, most
recently through Deputy President William Ruto earlier this
month.
Mr. Kenyatta tried to strike
a conciliatory tone Thursday.
“Campaigns are divisive and it
is the responsibility of whoever is elected president to
deal with those divisions, to
heal and bring the country together,” he said after voting.
Iraq Halts Operations Against Kurdish Fighters
BY ISABEL COLES
AND ALI NABHAN
ERBIL, Iraq—Iraqi Prime
Minister Haider al-Abadi ordered his forces to halt an advance against Kurdish fighters
for 24 hours on Friday after
clashes between the two U.S.
allies in the war against Islamic State raised fears of a
new conflict in the north of
the country.
The aim was “to avoid confrontation and bloodshed
among sons of one country,”
he said. The statement from
Mr. Abadi’s office said the
pause would allow time for a
coordinated redeployment of
Iraqi forces in disputed areas
controlled by Kurds, including
border crossings.
Kurdish officials didn’t respond to requests for comment
on whether such an agreement
had been reached. It would
amount to their surrendering
the last disputed territories under their control to Baghdad.
The Kurdish government representative in Washington declined to comment.
Fighting broke out Thursday when Iraqi forces moved
against Kurdish Peshmerga
fighters in the strategic Fishkhabour area.
There was a lull in fighting
Friday and the two sides were
talking to each other, according to Col. Ryan Dillon, a
spokesman for the U.S.-led coalition against Islamic State.
Iraqi forces have already
dislodged Peshmerga from a
swath of disputed territory in
the north of the country in recent weeks, seeking to reassert
government control there after
the Kurds, who run their own
semiautonomous region, held
a referendum on independence
despite Baghdad’s objections.
The Sept. 25 vote was held
within the formal boundary of
the semiautonomous region as
well as in disputed territory—
much of which the Kurds had
effectively annexed after their
Peshmerga forces drove out Islamic State with the help of a
U.S.-led coalition.
The Kurdish regional government made its first major
concession on Wednesday, offering to suspend the results
of the referendum in a bid to
open dialogue with the federal
government in Baghdad and
avoid losing more ground to
Iraqi forces. But Mr. Abadi
spurned the offer, saying he
would accept nothing short of
annulment of the referendum.
more senior military commanders to watch the firefight.
The French Mirage jet fighters from an airfield in Niamey
were underway within a halfhour and in the area 30 minutes
later, the Pentagon said. French
helicopters left from Mali, officials said.
During the fight, four soldiers became separated from
the rest of the team. Those soldiers would be the Americans
killed.
Military officials declined to
say why the initial request for
an armed drone was made. The
U.S. Africa Command typically
must request permission from
the U.S. ambassador or the chief
of mission in a given country
for any military operation, according to officials briefed on
the events.
State Department officials
denied that their teams in Africa can block military requests
for drone flights or strikes and
said diplomats didn’t stop a request for an armed drone in Niger.
—Joe Parkinson, Gordon
Lubold and Felicia Schwartz
contributed to this article.
Car Bomb
Injures
Top Hamas
Official
Hamas’s head of security
forces in the Gaza Strip was
wounded Friday by a car bomb
in what the Islamist group
called an assassination attempt.
By Abu Bakr Bashir
in Gaza City and
Rory Jones in Tel Aviv
Tawfiq Abu Naeem was injured in a small explosion after attending Friday prayers in
central Gaza, Hamas officials
said on Facebook, without
blaming any group. Mr. Naeem
was taken to a hospital for
medical
treatment,
they
added.
The attack comes as Hamas
works to mend 10 years of
mistrust with the rival Fatah
party, despite opposition from
some members of the movement and unease among Israeli officials over reconciliation between the two factions.
Earlier in September, President Mahmoud Abbas and his
Fatah-led Palestinian Authority signed an Egyptian-brokered agreement with Hamas
to restore the Authority to
Gaza and work toward Palestinian presidential and parliamentary elections. The deal is
opposed by extremists in
Gaza, who in recent years have
deepened relations with Islamic State’s affiliate in
Egypt’s Sinai Peninsula.
Ahead of the reconciliation
talks, Hamas agreed to cut
ties with Islamic State militants. In recent months,
Hamas has also heavily policed
Islamists in Gaza that have
tried to fire rockets into Israeli
territory.
Ahmed Helles, a member of
the Fatah central political
committee said the attack was
aimed at scuttling the talks.
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THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 28 - 29, 2017 | A9
Everyone looks to you. Who do you look to?
The Wall Street Journal CIO Network is an invitation-only membership exclusively for chief information officers
and technology officers from the world’s largest and most influential companies. They come together to identify key
challenges in technology and new opportunities for innovation that will unlock value for their organizations.
Aditya Agarwal
Dropbox
Scott Gilbert
Marsh & McLennan Companies, Inc.
Fletcher Previn
IBM
Carlos Amesquita
The Hershey Company
Michael Gioja
Paychex, Inc.
Larry Quinlan
Deloitte
Brad Arkin
Adobe
Kfir Godrich
BlackRock Inc.
Brad Rable
Stewart Information Services Corporation
Phil Baldock
ARRIS International Plc
Suren Gupta
Allstate Insurance Company
Becky Raichur
MrOwl
Atish Banerjea
Facebook
Zack Hicks
Toyota Motor North America, Inc.
Ashwin Rangan
ICANN
Daniel Barchi
NewYork-Presbyterian
Dave Hoag
Options Clearing Corporation
Ramkumar Rayapureddy
Mylan NV
Christy Barker
Olin
Arthur Hu
Lenovo Group Ltd
Craig Richardville
Charlotte-Mecklenburg Hospital Authority
Chris Bedi
ServiceNow
Carol Juel
Synchrony Financial
Mike Rodgers
Pilot Flying J
Ramin Beheshti
Dow Jones & Company
Kumud Kalia
Akamai Technologies Inc.
Mark Roellig
Massachusetts Mutual Life Insurance Company
Otto Berkes
CA Technologies
Tom Keiser
Zendesk
Hector Roldan
Banco de Credito e Inversiones
Scott Blandford
TIAA
Atul Khanzode
DPR Construction
Edward Roussel
Dow Jones & Company
Michael Brown
ExxonMobil Global Services Company
Dan Kieny
Black & Veatch Holding Company
Casey Santos
General Atlantic
Don Callahan
Citigroup Inc.
Stuart Kippelman
Platform Specialty Products
Joe Schulz
Hewlett-Packard Enterprise
Paul Chapman
Box Inc.
Joseph Kochansky
BlackRock Inc.
Aarti Shah
Eli Lilly and Company
Paul Cheesbrough
21st Century Fox
Kalyan Kumar
HCL Technologies Limited
Samir Shah
Fortune Brands Home & Security Inc.
Anil Cheriyan
SunTrust Banks, Inc.
Elena Kvochko
Barclays Bank Plc
Sri Shivananda
Paypal
Jack Clare
Dunkin Brands Group Inc.
Madelyn Lankton
The Travelers Companies, Inc.
Mark Sims
The Scotts Miracle-Gro Company
David Colville
Nestle Waters North America
Jim Lott
GTCR
Sukhvinder Singh
Host Hotels & Resorts, Inc.
David Cooper
Wex Inc.
Krish Mani
JELD-WEN Inc.
Manish Sinha
Ansys Inc.
Heather Cox
USAA
Hidetoshi Maruyama
Nippon Yusen KK
Julie St. John
Capital Group Companies
Richard Daniels
Kaiser Foundation Health Plan
Margaret McCarthy
Aetna Inc.
Adam Stanley
Cushman & Wakefield
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Aflac Incorporated
James McGlennon
Liberty Mutual Insurance
Brad Strock
PayPal
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Equinox
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Workday
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H.I.G. Capital
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Cisco Systems, Inc.
Ed McLaughlin
Mastercard
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UPC Insurance
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AARP
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Target
Ken Thomas
McCormick & Company Inc.
Ann Dozier
Southern Glazer's Wine & Spirits
Vincent Melvin
Arrow Electronics, Inc.
Graeme Thompson
Informatica
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SJW Group
Ross Meyercord
Salesforce, Inc.
Andrew Timm
PTC
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Wellmark Inc.
Todd Miner
Yelp
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Intuit Inc.
John Engates
Rackspace
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CarMax, Inc.
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International Flavors & Fragrances Inc.
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News Corporation
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Illinois Tool Works Inc.
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A10 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
IN DEPTH
‘Scary for all of us’
“It is something that is scary
for all of us,” says Brenham
High School coach Glen West,
who wrote the letter. “This has
turned into big money.”
IMG Academy officials, noting the school isn’t for everyone, say the complaints are out
of step with modern-day parents, who have more highschool choices than ever before,
and athletes, who require and
benefit from increasingly specialized training.
“We live in a different time,”
says IMG Academy football
coach Kevin Wright, whose father has coached high-school
football in Indiana for more
than 50 years. “The reality is
that parents want to put their
kids in the best situation possible, and I don’t see anything
wrong with that.”
Players on this year’s football
team come from 29 states, and
many were recruited to create a
literal all-star team from around
the country. High-school life at
IMG Academy looks nothing like
a John Hughes movie or “Friday
Night Lights.” There is no
marching band, and cheerleaders at home games are supplied
by a local cheerleading program.
Started in 1978 as a training
ground for tennis prodigies of
famed coach Nick Bollettieri,
IMG Academy is no longer a
weather-beaten facility wedged
between tomato fields and strip
malls, as it was for decades.
In the past several years,
IMG Academy has been transformed into a 500-acre campus
that includes 52 tennis courts,
24 athletic fields, two five-story
dormitories and a 5,000-seat
football stadium. Coming soon:
a 150-room hotel for visiting
parents and college coaches.
Those facilities are signs of a
cultural shift in youth sports
away from backyards and sandlots. The overall market for
youth sports is expected to balloon to $41.2 billion in 2023
from an estimated $19.8 billion
this year, according to WinterGreen Research Inc. of Lexing-
FALL
Continued from Page One
making such a fuss over.”
In late October, people usually expect the park to be ablaze
with color. For inveterate socialmedia photo-posting fanatics,
it’s one of the most irresistibly
Instagrammable times of year.
This season, however, the foliage change has been inconsistent and subdued across some
of New York state and other
parts of the eastern U.S. “The
colors aren’t really popping as
much this year,” said Eric Scheffel, a public-information specialist with Empire State Development’s division of tourism, who
has been compiling a weekly
fall-foliage report for 23 years.
Ryan Millier, 24, a professional photographer who lives
in Long Island City, went to
Central Park’s Bethesda Fountain at sunrise last Sunday hoping to capture some autumn
hues. “It definitely wasn’t ready
IMG Academy huddles before a game last month in Bradenton, Fla. As many as 30 current football players at IMG Academy are expected to get Division I scholarships
ton, Mass. Those figures include
sports apparel, gear, facilities
construction and travel.
As families spend more on
sports, though, many children
feel more pressure to perform,
says Travis Dorsch, a former
NFL punter who now studies
youth sports as an assistant
professor at Utah State University. That makes them likely to
enjoy sports less and abandon
them as they get older.
Elton Ndoma-Ogar of Allen,
Texas, sent his son, E.J., to IMG
Academy in 2016 during the
second semester of E.J.’s freshman year. He was 6 feet 3
inches tall, weighed 290 pounds
and was attracting attention
from college scouts.
The family thought E.J.
would benefit from the boarding
school’s specialized environ-
IMG Academy is the
largest producer of
top college and NFL
prospects.
ment. On one of his first days,
he took a mental-conditioning
class to help him perform under
pressure. Mr. Ndoma-Ogar says
his son told him: “They had us
stare at a plant for 30 minutes.”
Over time, E.J. got homesick.
His parents noticed a strain in
his voice and a change in his
posture. The costs added up,
too. “I went from paying $8 a
ticket to a home game to paying
$1,000 with airfare, hotel, everything,” says his father, a diversity and inclusion director at
Raytheon Co.
The family decided to have
E.J. return to Texas during his
sophomore year. He now weighs
315 pounds and has received
scholarship offers from 30 colleges, including Mississippi,
Penn State and Washington.
His father doesn’t think E.J.
would have attracted more interest by staying in Florida. The
IMG Academy works better for
students who transfer there for
their junior or senior years, Mr.
Ndoma-Ogar says.
Parents of other players say
IMG Academy gives highly motifor fall photos,” he said. Nevertheless, he later posted a shot
overlooking the fountain that
included a patch of glorious
burnt-orange trees.
His secret: post-processing
software. “I shifted the yellows
and the greens to make it look
more like fall,” he said. “I guess
you could consider it a heavy
amount. If you take the edit off
of it, the trees wouldn’t really
look the way they do in my
photo.”
For fall-leaf enthusiasts without Photoshop skills, the best
strategy is to seek safety in carefully phrased captions. They
post about “hints” or “signs” of
fall. One user this week went
with “Tryin’ to peep in the Park!
#Fall?”
To soothe the masses of disappointed would-be posters,
Central Park put up its own Instagram post. It instructs people
where to find trees that “received the early fall foliage
memo,” including the north end
of the Mall, south of the Swedish Cottage and the Great Hill.
vated high-school players a oneof-a-kind opportunity to grow,
improve and thrive, partly because they are surrounded by
similarly driven players.
“Who would send their kid to
a regular high-school drama
course if they had the opportunity to go to Juilliard?” says
Brenda Radley, a real-estate
broker. She says her son, Brendan Radley-Hiles, wouldn’t take
himself out of games at his previous high school when he was
hurt because he thought the
team needed him.
He was being recruited by
major colleges, but she contacted IMG Academy so he
could play his senior season
against stronger competition.
The experience is helping Brendan, a cornerback, “maximize
his full potential,” she says. He
is one of Nebraska’s top signees.
IMG Worldwide Inc. bought
Mr. Bollettieri’s tennis academy
in 1987 and expanded it to golf
and other individual sports. It
became a de facto laboratory for
whether the talent-management
agency could build a business
around young athletes who
would later sign on as clients.
That happened with tennis
stars Maria Sharapova and Kei
Nishikori, each of whom has
generated millions of dollars in
fees for the firm, according to
people familiar with the matter.
In 2014, IMG was acquired
for $2.4 billion by WME, a talent agency that began in 1898
as the William Morris Agency.
The deal turned the combined
company into a sports and entertainment
conglomerate
stretching far beyond Hollywood. It changed its name to
Endeavor earlier this month.
At the time of the takeover,
IMG Academy had annual revenue of about $83 million, according to a company report.
Launching the football program in 2013 allowed IMG Academy to accommodate a roster of
as many as 100 players a year.
Along with the addition of other
team sports like soccer and lacrosse, that solved the challenge
of increasing the talent agency’s
sports-related business one
prodigy at a time.
While some football players
get financial aid, most pay the
full cost of $75,200 a year. Get-
College Football Factory
IMG Academy churns out football players who go to major colleges.
2014-17 CLASSES
95 of the 115 players who graduated wound up at an NCAA football
program.
FBS program: 73
FCS program: 18
Division II program: 3
Division III program: 1
2018 CLASS
18 of 42 seniors have committed to 16 different college programs.
Seven are bound for a college team now ranked in the Top 25
THE WALL STREET JOURNAL.
Sources: IMG Academy; NCAA
ting parents to pay is a crucial
part of the business model.
More than 80% of IMG Academy’s revenue comes from tuition, says Greg Phillips, a comanaging director at the school.
Booming enrollment
The boarding school added a
second football team this year.
Enrollment has climbed to almost 1,100 high-school students
from about 680 in 2011.
“We thought we could make
[football] work as a business. It
worked faster than we anticipated,” says Mr. Phillips.
Mark Shapiro, co-president
of Endeavor’s WME and IMG divisions, says it has invested
hundreds of millions of dollars
in IMG Academy. He says the
company is “nowhere near” recouping its investment, but people familiar with the matter say
IMG Academy is profitable on
an operating basis.
Endeavor sees the Bradenton
campus itself as a valuable revenue generator. At a sold-out
fashion summer camp, teenag-
STEPHANIE AARONSON/THE WALL STREET JOURNAL
Continued from Page One
3,000 miles from northern California to IMG Academy, recently
got an offer from Stanford. Recruiting experts say no other
team is likely to produce even
20 scholarship players.
IMG Academy sits at the
apex of the commercialization
of high-school sports. Purists
have long bemoaned how college football has become a big
business like the professional
game. Now, for many of the
same reasons, that phenomenon
has trickled down to even younger players and has turned a
Friday night ritual into a form
of career development.
IMG Academy players and
their parents seem happy overall with the return on their investment. Critics say the school
damages football’s central role
in communities when it lures
budding stars away from their
hometowns. Many high-school
teams already are losing players
because of fears about concussions and brain trauma.
After IMG Academy went to
Texas in 2015 and throttled one
of the state’s top teams, the
head of the Texas High School
Coaches Association advised
other coaches in an open letter
not to schedule games against
the Florida school, which hasn’t
played a Texas team since.
Georgia banned its teams
from playing IMG Academy, citing restrictions on schools that
aren’t in a state association. California debated a similar ban.
MIKE CARLSON FOR THE WALL STREET JOURNAL
IMG
Faced with subdued fall colors, social-media mavens are taking turns
posing with trees that have turned, such as this one in Central Park.
Colors have started to show
in the last couple of days, said
Jordan Jacuzzi, director of communications for the Central Park
Conservancy, which manages
the park for the city. “It seems
that fall can never come soon
enough for many New Yorkers.”
The social-media team up at
the Roosevelt-Vanderbilt National Historic Site in Hyde Park,
N.Y., decided to address this
fall’s unseasonably muted colors
head on in an Instagram post.
“It’s pretty obvious there
hasn’t been a lot of change,”
said Allan Dailey, a supervisory
park ranger. “Someone came in
who had taken a photo and said,
‘Oh look, it’s the only tree that’s
changed.’ It was a pretty tree, so
we were like ‘let’s put it on.’ ”
some access” to test athletes on
how their bodies perform during intense training regimens,
says Melissa Anderson, principal scientist at the on-campus
center.
After finding that many athletes weren’t consuming enough
calories, the scientists recommended that they eat and drink
more. Mr. Shapiro says Gatorade’s main interest in IMG
Academy is as a research lab
where the sports-drink brand
can “build products and enhance products.”
The boarding school’s expansion into team sports forced
IMG Academy to reckon with an
academic reputation that was
“marginal,” says Mike Stone,
founder of Prep School Sports
Connection, which helps match
athletes with prep schools.
IMG Academy’s Mr. Phillips
responds that its academics “are
much more rigorous now.” Improvements include quadrupling
the size of the academic center,
upgrading classroom technology
and dozens of new teachers.
Day-to-day life for players
can be grueling, with little down
time to socialize or relax. They
usually wake up at 6 a.m. to be
on the field by 7:45 a.m. for a
four-hour block of meetings,
film sessions and practice.
ers spent a week constructing
mood boards and holding photo
shoots. Model Ashley Graham,
represented by the talent
agency, made an appearance.
“What about screenwriter
camps?” says Mr. Shapiro. “Culinary programs with our topname chefs that we represent?”
The firm still has many major
stars as clients, such as Charlize
Theron and Dwayne Johnson,
but has been on a shopping
spree for assets with steadier
revenue streams than the topsyturvy entertainment business.
Recent acquisitions include
the Professional Bull Riders
league, Miss Universe Organization and UFC mixed martial-arts
organization. There are occasional synergies with the talent
agency. One PBR rider signed
modeling contracts and was on
“Dancing With the Stars.” A UFC
fighter had a cameo role in a
“Fast & Furious” movie.
Brand-name companies are
happy to pay IMG Academy for
exposure to its elite athletes.
PepsiCo Inc.’s Gatorade, a school
sponsor since 2011, has “awe-
After lunch, classes and tutoring sessions run until 5:30
p.m., followed by dinner in the
cafeteria. Think kale salads and
protein shakes, not sloppy Joes
and soda. The evening includes
more team meetings and study
hall before a 9:45 curfew. Mandatory lights out is at 10:45.
Other aspects of campus life
resemble a college team’s routine. Teachers travel with players to games, and an in-house
media team helps juniors and
seniors plan their college commitment announcements.
Many Ascenders games are
nationally televised. Earlier this
season, coaches struggled after
the football team’s wins in Arizona and California to get players back to the locker room and
onto the team bus.
The delays were caused by
local fans asking IMG Academy
players for autographs.
The post featured one red
tree, along with the hashtag
“#wheresthefallfoliage. “It’s a
casual way to tell people we’re a
little behind,” Mr. Dailey said.
So where have all the red
leaves gone? While the shortening of days prompts some color
changes—such as trees going
from green to yellow or orange—cooler temperatures are
necessary to produce vibrant
reds and purples. Since the middle of September, it has been 15
degrees warmer than normal in
the eastern parts of the U.S.,
leading to a duller-toned fall.
Factors including warmer
weather and reports of a Norway maple fungus have likely
led to more subdued colors
across New York State, said Mr.
Scheffel, who uses 75 volunteer
spotters to compile his foliage
report. “Peak” is defined as the
time the foliage looks its best
for the season.
“We’re seeing a lot of spotters call peak at lower percentages of color change,” he said.
Because leaves are falling before
the typical colors emerge, spotters fear that even further
along, “the overall scenery
won’t be as good.”
“We’re not seeing as many
reds this year,” Mr. Scheffel
said, adding that there’s more
“mustard and goldenrod. A lot
of shades of gold.”
Some people who absolutely
must post fall pictures online
are turning to autumns past.
Maryann Johnson, a real-estate
agent in Manhattan, starts her
days with a motivational Instagram post. Fall is her favorite
season for posts, but this one
has been so dull she reposted a
picture of Central Park this
week that she readily admits
can’t be from this year. “Little
bit of a cheat to get myself in a
good mood,” she said.
A commenter responded to
the post by saying, “Beautiful
photo! Is Central Park at its
peak now with the autumn
colours?” Ms. Johnson hasn’t
yet replied. “I’m going to answer,” she said. “I would say,
‘Central Park in my mind.’ ”
Kale for dinner
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THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 28 - 29, 2017 | A11
OPINION
THE WEEKEND INTERVIEW with Erica Komisar | By James Taranto
New York
otherhood used to be
as American as apple
pie. Nowadays it can
be as antagonistic as
American politics. Ask
Erica Komisar.
Ms. Komisar, 53, is a Jewish psychoanalyst who lives and practices
on the Upper West Side of Manhattan. If that biographical thumbnail
leads you to stereotype her as a
political liberal, you’re right. But
she tells me she has become “a bit
of a pariah” on the left because of
the book she published this year,
“Being There: Why Prioritizing
Motherhood in the First Three
Years Matters.”
Christian radio stations “interviewed me and loved me,” she
says. She went on “Fox & Friends,”
and “the host was like, your book
is the best thing since the invention of the refrigerator.” But “I
couldn’t get on NPR,” and “I was
rejected wholesale—particularly in
New York—by the liberal press.”
She did appear on ABC’s “Good
Morning America,” but seconds before the camera went live, she says,
the interviewer told her: “I don’t
believe in the premise of your book
at all. I don’t like your book.”
Conservatives cheer and
liberals jeer a New York
psychoanalyst’s book
on the science of early
childhood development.
The premise of Ms. Komisar’s
book—backed by research in psychology, neuroscience and epigenetics—is that “mothers are biologically necessary for babies,” and
not only for the obvious reasons of
pregnancy and birth. “Babies are
much more neurologically fragile
than we’ve ever understood,” Ms.
Komisar says. She cites the view of
one neuroscientist, Nim Tottenham
of Columbia University, “that babies are born without a central
nervous system” and “mothers are
the central nervous system to babies,” especially for the first nine
months after birth.
What does that mean? “Every
time a mother comforts a baby in
distress, she’s actually regulating
that baby’s emotions from the outside in. After three years, the baby
internalizes that ability to regulate
their emotions, but not until then.”
For that reason, mothers “need to
be there as much as possible, both
physically and emotionally, for
children in the first 1,000 days.”
The regulatory mechanism is
oxytocin, a neurotransmitter popularly known as the “love hormone.”
Oxytocin, Ms. Komisar explains, “is
a buffer against stress.” Mothers
produce it when they give birth,
breastfeed or otherwise nurture
their children. “The more oxytocin
the mother produces, the more she
produces it in the baby” by communicating via eye contact, touch
and gentle talk. The baby’s brain in
turn develops oxytocin receptors,
which allow for self-regulation at a
later age.
Women produce more oxytocin than men do, which answers
the obvious question of why fathers aren’t as well-suited as
mothers for this sort of “sensitive, empathetic nurturing.”
People “want to feel that men
and women are fungible,” observes Ms. Komisar—but they
aren’t, at least not when it
comes to parental roles. Fathers
produce a “different nurturing
hormone” known as vasopressin, “what we call the protective, aggressive hormone.”
Whereas a mother of a crying baby will “lean into the
pain and say, ‘Oh, honey!’ ” a
father is more apt to tell the
child: “C’mon, you’re OK. Brush
yourself off; let’s go back to
play.” Children, especially boys,
need that paternal nurturing to
learn to control their aggression and become self-sufficient.
But during the first stages of
childhood, motherly love is
more vital.
Ms. Komisar’s interest in
early childhood development
grew out of her three decades’
experience treating families,
first as a clinical social worker
and later as an analyst. “What I
was seeing was an increase in
children being diagnosed with
ADHD and an increase in aggression in children, particularly in little boys, and an increase in depression in little
girls.” More youngsters were
also being diagnosed with “social disorders” whose symptoms
resembled those of autism—
“having difficulty relating to
other children, having difficulty
with empathy.”
As Ms. Komisar “started to
put the pieces together,” she found
that “the absence of mothers in
children’s lives on a daily basis was
what I saw to be one of the triggers for these mental disorders.”
She began to devour the scientific
literature and found that it reinforced her intuition. Her interest
became a preoccupation: “My husband would say I was a one-note
Charlie,” she recalls. “I would come
home and I would rant and I would
say, ‘Oh my God, I’m seeing these
things. I’ve got to write a book
about it.’ ”
That was 12 years ago. She
followed her own advice and held
off working on the book because
her own young children, two sons
and a daughter, still needed her to
be “emotionally and physically
present.”
She uses that experience as a rejoinder to critics who accuse her of
trying to limit women’s choices.
“You can do everything in life,” she
says, “but you can’t do it all at the
same time.” Another example is
Nita Lowey, a 15-term U.S. representative from New York’s northern suburbs: “She started her career when she was in her 40s, and
she said to me she wished she’d
waited longer. She said her youngest was 9.”
Ms. Lowey is a liberal Democrat,
but she was born in 1937 and thus
may have more traditional inclinations than women of the baby
boom and later generations. Ms.
TERRY SHOFFNER
M
The Politicization of Motherhood
Komisar tells of hosting a charity
gathering for millennials at her
apartment. One young woman
“asked me what my book was
about. I told her, and she got so
angry. She almost had fire coming
out of her eyes, she was so angry
at my message. She said, ‘You are
going to set women back 50 years.’
I said, ‘Gosh, I wouldn’t want to do
that.’ ”
Male attitudes have changed as
well, Ms. Komisar says: “A lot of
young men, particularly millennials, have been raised to believe
that it’s even-steven; that women
are to bring in as much money, and
they’re always going to work.”
Young women “make promises to
their partners, these young men:
‘I’m going to work forever, I’m going to make as much money as
you; maybe I’ll make more than
you.’ It’s almost like a testosterone
kind of competition.”
T
he needs of children get lost
in all this—and Ms. Komisar
hears repeatedly that the hostility to her message is born of guilt.
When she was shopping for a literary agent, she tells me, “a number
of the agents said, ‘No, we couldn’t
touch that. That would make
women feel guilty.’ ” Another time
she was rejected for a speaking gig
at a health conference. She quotes
the head of the host institution as
telling her: “You are going to make
women feel badly. How dare you?”
In Ms. Komisar’s view, guilt
isn’t necessarily bad. “My best patient is a patient who comes to me
feeling guilty,” she says. “Women
who feel guilty—it’s a ‘signal’ feeling, that something’s wrong, that
they’re in conflict. If they go talk
to a therapist or deal with the
conflict head-on, they often make
different choices and better
choices.”
That’s “better,” not “perfect,”
and Ms. Komisar is at pains to emphasize that “mothering is not
about perfection.” She acknowledges, too, that staying at home
isn’t right for all new mothers:
Some lack the wherewithal to take
time off work; some are depressed
or distracted and “not really emotionally present.” When the mother
can’t be there, Ms. Komisar says,
the best alternative is a “single
surrogate caregiver,” optimally a
relative.
“The thing I dislike the most is
day care,” she says. “It’s really not
appropriate for children under the
age of 3,” because it is “overstimulating” given their neurological undevelopment. She cites the
“Strange Situation experiments,”
devised in 1969 by developmental
psychologist Mary Ainsworth, a pioneer of attachment theory: “A
mother and the baby are on the
floor playing. The mother gets up
and leaves the baby in the room
alone. The baby has a separationanxiety response. A stranger walks
in; the baby has a stressed reaction to the stranger.”
Researchers sample the infant’s saliva and test it for cortisol, a hormone associated with
stress (and inversely correlated
with oxytocin). In a series of
such experiments in which Ms.
Komisar herself participated,
“the levels were so high in the
babies that the anticipation was
that it would . . . in the end,
cause disorders and problems.”
In a more recent variant of the
experiment, scientists use functional magnetic resonance imaging to look directly at the brain
of an infant reacting to photos
of the mother and of a stranger.
You can see why traditionminded conservatives welcome
Ms. Komisar so warmly. Think
about how they are stereotyped—as backward, superstitious, hostile to science. She
shows that science validates
what they know as common
sense.
But although she returns
their affection, she doesn’t share
their distaste for contemporary
mores. “We don’t want the ’50s
to come back,” she tells me.
“Women had children who didn’t
want to have children. Women
didn’t have other choices than
having children, and women
were ostracized if they didn’t
have children. And women were
ostracized if they went out into
the world and worked.”
“What we do want,” she says,
“is to be a child-centric society.”
To that end, she offers a proposal many conservatives will
find uncongenial: a government
mandate that employers provide
generous maternity benefits.
“All mothers and babies should
have the right to be together in the
first year,” Ms. Komisar says. That
means maternity leave at full pay,
“and then the flexibility to be together as much as possible for the
next two years—meaning mothers
should have the ability to work
flexibly and part-time.”
M
s. Komisar sounds very
much like a liberal when
she observes of the U.S.
that “we’re the only civilized country that doesn’t have a maternityleave policy.” I ask what she thinks
of Ivanka Trump’s proposal to
mandate six weeks’ paid leave for
primary caregivers, regardless of
sex. “It’s a start,” Ms. Komisar
says. “It is not enough. Babies are
just waking up from birth after six
weeks, and even at three months
they are incredibly vulnerable and
not necessarily bonded with their
mothers.”
But if most conservatives find
Ms. Komisar’s solution too coercive
or expensive, most liberals won’t
even acknowledge the problem. “If
we defend the idea that mothers
are not necessary,” she asks, “what
chance do we have to get a maternity-leave policy?” As important as
her insights into child development
are, her policy proposal seems destined for the political orphanage.
Mr. Taranto is the Journal’s editorial features editor.
Charter and Traditional Schools Find a Common Purpose in Texas
Charter-school operators and traditional school districts have long
behaved like enemies. But an intriguing truce has
CROSS
COUNTRY emerged in an unlikely place: Texas.
By Richard
In the Lone Star
Whitmire
State’s three biggest cities, charters
and traditional district schools
have discovered that collaborating
to help their high-school graduates
earn college degrees is a win-win.
Knowledge is Power Program, a
national charter network founded
in Houston more than two decades
ago, helped eight charter operators
in San Antonio, Dallas and Houston join forces with local public
school districts. Together they
formed a new organization, United
for College Success. The group’s
goal is to improve college graduation rates among alumni. In addition to sharing best practices,
United for College Success has begun pressuring local colleges and
universities to do more for their
students, many of whom are the
first in their families to pursue
higher education.
This isn’t the only promising collaboration between charters and local districts. In 2015 KIPP San Antonio struck a deal with the San
Antonio Independent School District, where the student population
is 62% Hispanic and 24% African-
American. Three quarters of kids in
the San Antonio ISD are eligible to
receive free and reduced lunch. By
2020, with KIPP’s help, the district
hopes to boost the percentage of
its students going to college to 80%
from the current 50%. Both KIPP
and the San Antonio district want
to see half of the city’s graduates
heading off to four-year colleges
and 10% going to the top tier of
schools ranked by U.S. News &
World Report. Two years ago, 20%
of San Antonio’s college-bound
graduates were headed to four-year
colleges. Only 3% were enrolled in
selective schools.
Like most urban districts, San
Antonio’s had never paid much attention to the college success of its
graduates. Educators long viewed
that as being up to students, parents and colleges—not high schools.
But Mr. Martinez and his colleagues, to their credit, chose to
take on the challenge, tapping into
lessons learned from the now decade-old KIPP Through College Program aimed at matching low-income minority students with the
schools where they are most likely
to succeed. The KIPP team follows
each student until college graduation, making sure that everything
from financial aid to course credits
stays on track.
In New York and Houston, the
percentage of KIPP graduates earning bachelor’s degrees within six
years has risen steadily thanks to
the Through College Program. In
both cities, roughly half of the program’s graduates now earn their
degrees in six years, up from about
a third in 2011. Nationally only 9%
of students from low-income families earn bachelor’s degrees in that
time frame.
The San Antonio partnership,
funded by a grant from Texas energy giant Valero, has already
borne fruit. At Thomas Jefferson
High, the pilot school where a KIPP
adviser spent most of her time,
53% of 2017 graduates were accepted into four-year colleges, compared with only 26% in 2016.
KIPP is collaborating with
local districts to improve
college admission and
graduation rates.
“We’re seeing a marked increase in
the number of students who not
only are graduating and going to
college, but are being accepted to
Tier One universities,” said San Antonio ISD Superintendent Pedro
Martinez. KIPP has benefited as
well from the chance to run their
college-success playbook at scale,
the kind you find only in big traditional districts.
There’s a reason why collaborations built around college success
have proven popular with both traditional districts and charters. Un-
like the annual enrollment competition, in which districts lose
students and dollars to charters,
only high-school graduates are involved. There are no losers, no lost
dollars and no closed schools. In
fact, traditional districts stand to
gain.
Charters are public schools, and
their operations are funded by taxpayer dollars. But in most places
charter founders need to raise outside funding to launch their
schools. For years, traditional
school districts watched resentfully
as philanthropists and foundations
poured hundreds of millions of dollars into new charters. The imbalance prompted teachers unions to
wage national revenge campaigns,
accusing “billionaires” of “privatizing” public education.
Yet the sometimes hostile dynamic between charters and traditional districts shifts when the
topic changes to fostering college
success. In San Antonio, for example, Valero stepped up with a $3
million gift to KIPP’s college program, $700,000 of which was set
aside for launching the collaboration with the San Antonio district.
Early next month, Valero is expected to make an announcement
of fresh funding for new, KIPPtrained college counselors for the
district.
Much of what the college counselors do involves relatively simple
data crunching. They look to see
which universities in the San Anto-
nio area have amassed a positive
record helping low-income and minority students earn bachelor’s degrees within six years. St. Mary’s
University, for example, has a far
higher graduation rate for Hispanics than does the University of
Texas, San Antonio. KIPP tracks
college success data like that for
hundreds of colleges, a repository
of crucial information that San Antonio district counselors can now
access.
Recently, the Houston Independent School District’s college-success program, Emerge, joined the
United for College Success coalition with the charters. Among the
questions they are exploring together: Is there a way to share the
time-consuming task of checking
in on students at their college
campuses?
The participation of a large district such as Houston gives the coalition heft when pushing universities for changes to help firstgeneration college-goers. Collaborating with charter schools doesn’t
bother Emerge founder Rick Cruz, a
former fifth-grade Teach for America teacher. At the end of the day,
he says, these are all our kids.
If only that attitude could spread
nationally.
Mr. Whitmire writes “The
Alumni” series at The 74 and is author of “The Founders: Inside the
Revolution to Invent (and Reinvent)
America’s Best Charter Schools.”
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THE WALL STREET JOURNAL.
OPINION
H
REVIEW & OUTLOOK
LETTERS TO THE EDITOR
A Million-Dollar Mistake
Speakers Aren’t the Problem; the Thugs Are
ouse Speaker Paul Ryan has said tax re- marginal income tax rate. The superrich more
form will include a fourth tax bracket than anyone else have the means and flexibility
for millionaires above the top rate of to dodge high tax rates. They can move to lower
35% in the GOP framework,
tax climes or hire attorneys
A defensive GOP
and now we hear it could be as
and investment advisers to
high as 42%-44%. This bow to
their income.
flirts with raising the shelter
the lords of political envy
This is the oldest lesson in
top income-tax rate.
would be a million-dollar mistax history. It’s why Bjorn
take that undermines the purBorg, the tennis great,
pose and much of the benefit
moved to Monte Carlo from
of tax reform.
Sweden, and why many NBA players and
The “millionaire’s tax” is one of those social- American retirees prefer to live in no-incomeist gimmicks that keeps rising from the dead. tax Florida or Texas.
Dan Rostenkowski used to float it in the 1980s
One lesson of the Reagan tax cuts is that more
when he ran House Ways and Means, and it al- people at higher income levels began to pay a
ways does well in opinion polls because there higher share of the total income tax at lower
are relatively few millionaires. Why not soak rates. The richest 10% of American families paid
the wealthy to finance more tax credits for hav- 35.9% of all federal taxes in 1977 but 37.5% in
ing children or subsidies for windmills? Let us 1984, and was more than 38% in 1988.
count the reasons.
They reported more income because the
Start with the fact that raising the top mar- economy was booming and because they had
ginal tax rate—the rate on the next dollar of in- less incentive to shelter income when rates fell.
come—harms the incentive to work and invest. The Treasury benefited from more tax revenue,
People don’t work to pay taxes. They work to and the economy benefited from fewer politicontribute to society and for personal dignity cally distorted investment decisions. This is
but also to make money to spend, save for re- why higher rates rarely yield the amount of new
tirement or pass on to heirs.
revenue that proponents claim.
The current top marginal rate of 39.6%—as
Some Republicans concede these points but
high as 44% if you count deduction phase-outs say they must keep the top rate high to counter
and the Medicare surcharge—already means the left’s claim that they are favoring the rich.
that Uncle Sam takes nearly half of what a mil- Good luck with that. Democrats will find other
lionaire earns. Add the state tax rate of 13.3% reasons to play the envy card: Death tax repeal,
in California and it’s approaching 60 cents on cutting the corporate rate to 20%, cutting the
the marginal dollar. The incentive to work those rate for “pass-through” businesses to 25%.
extra hours, write the next book or postpone reDid the class war end because Republicans
tirement is substantially reduced.
folded during the health-care debate on the
Some on the redistributionist right say that 3.8% Medicare surcharge? One political surrencutting marginal rates has lost its economic der leads to another.
i
i
i
power because the top rate is lower than it was
Instead of being defensive about rates, Reunder Reagan. But the Gipper cut the top rate
to 50% from 70% in 1981, then to 28% with the publicans should argue that the better way to
1986 tax reform. Raising the top rate now would soak the rich is to eliminate their loopholes. The
reverse the Reagan reform, not replicate it, and mortgage-interest deduction mainly benefits
nearing 60% is way back up the Laffer Curve of the affluent, as does the state and local tax deduction. Eliminate those and tens of thousands
damaging incentives.
As Douglas Holtz-Eakin, former head of the of higher earners will pay more taxes even if
Congressional Budget Office, put it in 2012, their rate falls to 35%. Yet the GOP has already
“High marginal tax rates have a damaging im- surrendered on the mortgage deduction and
pact on investment, the competition for invest- may do the same on state and local.
The point of tax reform is to eliminate loopment funds, saving, household portfolios,
schooling decisions, the decision of one or both holes and subsidies that distort economic decispouses to work, the hours of work, the inten- sions in favor of lower rates. Keeping rates high
sity of work, that decision to pursue a promo- for millionaires will invite tax lobbyists and
tion, and myriad other economic decisions. In Congress to create more loopholes, and we will
each case, progressively higher tax rates have be back at the same stand. The only way to beat
class-war politics is to make the case that reincreasingly large damage.”
But Warren Buffett says he doesn’t care if his form and rate cuts will yield faster growth,
tax rates are high. Maybe that’s because Mr. higher wages, more jobs and broadly shared
Buffett and his richest friends don’t pay the top prosperity.
R
The Winds of Tax Reform
eaders of these columns know there is the decline most likely caused in part by the
a debate between those who believe it hurricanes. The 3% GDP growth despite the
is possible to return the U.S. to its his- hurricanes surprised most economists.
toric growth rate of about 3%,
On Friday the White House
Two quarters of 3%
a view we share, and those
Council of Economic Adviwho think the country’s econsors released a new report
growth and stronger
omy has settled into a new
detailing its case for dropbusiness investment.
normal closer to 2%. The
ping the U.S. corporate tax
Commerce Department anrate to 20%, which is that a
nounced Friday that the U.S.’s
globally competitive rate will
third-quarter growth rate was 3%, following reduce the cost of capital here, spur capital
3.1% in the second quarter.
investment and produce growth in output and
Two quarters don’t settle the argument, but workers’ wages.
the details inside the Department’s report
Next week House Ways and Means Chairman
should tilt the debate toward those who believe Kevin Brady plans to release the GOP tax bill,
the Trump Administration’s proposed business- and the debate will be joined. But the strong
tax reforms could return the economy to higher numbers on business investment suggest that
growth. Business investment, a laggard in re- rising economic confidence is paying dividends
cent years, is gaining strength. It rose 6.7% in and that companies are betting that tax reform
the second quarter and 3.9% in the third, with will pass.
New Rules for More Media Competition
T
he price of trying to change Washington classified ads, and Facebook and Google have
is furious political opposition, and the swallowed up digital advertising, profiting off
latest target is Ajit Pai, who has an- the work of newsrooms they don’t own or run.
nounced he wants the Federal
Newspaper ad revenue dwinLimits on media
Communications Commission
dled in 2016 to a third of what
to rewrite restrictions on local
it was 10 years earlier.
ownership
don’t
reflect
media ownership that have
Mr. Pai’s critics fret about
Digital Age reality.
been in place since the Ford
local-media consolidation, but
Administration.
the alternative may be its exUnder current rules, media
tinction. The FCC’s archaic
companies generally can’t own a daily print ownership rules have cut off bleeding local
newspaper and a TV or radio station in the newspapers from would-be investors. Broadsame community, and there are also restrictions casters and print newsrooms could combine to
on holding multiple TV and radio stations. save money on everything from human reChairman Pai wants to eliminate these rules, sources to information technology.
though the FCC would retain some limits on the
Opponents also worry that bigger media
radio and TV stations a single entity could hold companies would reduce or eliminate local
in the same area. Another rule allows the acqui- news. But more efficient newsrooms have more
sition of two TV stations only if at least eight money to pay for local reporting. The FCC’s reindependently owned competitors also operate search shows that cross-owned TV stations proin the area. Mr. Pai would eliminate this “eight- vide more local news than their non-crossvoices test” and weigh other broadcasting ex- owned counterparts.
pansions case by case.
Critics also point out that Sinclair BroadThe FCC created ownership restrictions to casting would benefit from eliminating the
ensure no single entity dominates the news. But “eight-voices test.” Sinclair has a conservative
the rules were written when newspapers were political bent, and it’s seeking the FCC’s apthriving and there were only a handful of TV proval to acquire Tribune Media Group. The
channels. In the Digital Age, media competition merger would leave Sinclair with up to 177 stahas never been more intense.
tions. But there are plenty of media alternatives
Pew Research Center reported in September for these markets (including our sister comthat 43% of Americans often get their news on- pany, 21st Century Fox), and anyone who fears
line, second to TV at 50%. Among those under conservative media dominance isn’t paying atage 50, digital media has already surpassed TV. tention to the real world.
More than 90% of Americans now consume
Many of those who oppose Mr. Pai also fret
some news online, and two-thirds read some on that Donald Trump wants to control the media.
social media.
But Mr. Pai’s reforms would decrease the fedBroadcasters now compete with cable news, eral government’s control over the American
satellite radio, podcasts, YouTube, Netflix and media marketplace. The new FCC rules would
myriad other digital sources. Craigslist killed encourage competition, not stifle it.
Regarding Kent Fuchs and Glenn C.
Altschuler’s “How White Supremacists Exploit Public Higher Education”
(op-ed, Oct. 23): As a student at radical Swarthmore College in the 1960s,
I heard Communist Party USA Chairman Gus Hall and the ambassador of
South Africa speak without student
heckling or riots. In 2015 as a retiree
from the University of Missouri, I
witnessed students and faculty disrupt the campus and demand the
president repent of his white privilege and resign. The football team
and coaches threatened a boycott of
the next game. Mizzou caved and has
suffered ever since.
What happened in the interim?
Sympathetic universities encouraged
the growth of the hard left by giving
in to many of the “nonnegotiable” demands of left-wing protesters. Over
the years these demands naturally escalated. We now see in academia a
race-obsessed, oppressive PC culture
as the left struggles to bottle its
imaginary will-o’-the-wisps.
It is richly ironic that, reaping the
whirlwind, two academics in these
pages should address the symptoms,
not the problem, and call for more
government spending for university
security in the face of the protests
their universities have fostered for
decades. Instead of whining for taxpayer money, universities should simply issue fair and tough rules governing protests and enforce them
impartially with expulsions, dismissals and prosecutions.
L. HUNTER KEVIL, PH.D.
Columbia, Mo.
flaky Richard Spencer in line, but his
own students in line. A Brookings Institution survey tells us that half of
college students believe it’s OK to
shout down a speaker they don’t
agree with and that nearly one in five
students think it acceptable to use violence to shut down a speaker.
Recall Antonin Scalia’s observation:
“If you stop speech that hurts other
peoples’ feelings, the First Amendment will become a dead letter.”
RONALD L. TROWBRIDGE
Conroe, Texas
Mr. Fuchs and Mr. Altschuler present a very narrow view lamenting the
high cost of security in the event of
speeches by white supremacists. Have
they not heard of Students for Justice
in Palestine and Antifa (among others) whose disruptive and often physical antics do far more damage to free
speech than Richard Spencer?
It is higher education itself that is
responsible for creating a very narrow corridor that limits free speech
via its safe spaces, microagressions
and trigger warnings. The liberal tenet is free speech for some but not
for all.
SAMUEL FRAZER
Fort Myers, Fla.
It seems as though the authors
have got things backward. Rather
than make the good actors (peaceful
protesters, nonprotesters or peaceful
speakers) pay for security, why not
make the bad actors (violent protestors or law-breaking protesters) pay
for the security? How about a $1,000
fine if you are arrested and convicted
The authors suggest three soluof a crime during a protest? Block
tions to the problem. I have a fourth
traffic illegally—$1,000 (per person);
proposal: Florida and Cornell could
throw a rock—$1,000; trespass—
stop taking federal money. Then they $1,000, and so on.
could invite or disinvite anyone they
Either security will be funded by
like.
the bad actors or the bad actors will
CHRIS PHILIPS change their behavior. I suspect the
Lake Forest Park, Wash. latter will happen. Messrs. Fuchs and
Altschuler’s approach will only serve
Messrs. Fuchs and Altschuler men- to make free speech more expensive.
tion “Mr. Spencer and his ilk.” That
Unfortunately, we have a tendency
deceptive verbal trick bundles Ben
in society to want to penalize the
Shapiro, Ayaan Hirsi Ali, Richard
good guys for the actions of the bad
Dawkins, Condoleezza Rice, Maajid
guys. Let’s stop this now.
Nawaz, Joe Biden and Christine
PRESTON VORLICEK
Germantown, Tenn.
Lagarde together with Mr. Spencer,
while avoiding mention of their
My expectation of a university facnames. At the same time it makes the
ulty is that it teach its students the
tiny, white supremacy movement apobvious and simple fact that ignoring
pear large and fearsome. Neat trick.
PETER LAWRENCE offensive idiots parading on campus
Hollywood renders them silly and ineffective. Period. No need for $600,000 for secuI cannot believe President Fuchs’s
rity. “Sticks and stones . . .” I learned
myopia in not seeing the elephant in
that in kindergarten.
the lecture hall. The $600,000 he
WALTER NOLL
Etna, N.H.
spent for security was not to keep the
California’s Cap-and-Trade Plan Is Working
The entirely theoretical argument
presented by Richard Sexton and
Steve Sexton (“The Fatal Flaw in California’s Cap-and-Trade Program,”
Cross Country, Oct. 21) falls short in
just one place: the real world. The
facts show that under California’s law
to limit climate pollution, our economy is thriving, jobs are being added
at a faster rate than the national average and emissions are decreasing
ahead of schedule.
The authors complain about a potential problem with some cap-andtrade systems: the risk of emissions
and economic leakage, while also decrying one of the solutions, allocating
free allowances to trade-exposed industries in proportion to their output.
This ensures that producers aren’t penalized for making more goods, and
producers who make more goods with
fewer emissions are rewarded. Total
emissions are still limited by the cap.
There’s a good reason that the authors limit their case to hypotheticals.
Environmental Quality Is
More Than Just the Climate
“Troubled Waters” (Review, Oct.
21) ought to remind us that the biggest environmental problem in the
world isn’t climate change but miserable national environmental scorecards that measure the health of a
country’s water, air, land, human
health and habitats.
Environmentalists would have us
believe that development and affluence are the chief culprits, but the
evidence clearly shows that transparent representative democracies with
strong and affluent middle classes
have far better environmental scorecards than autocracies (Russia, China,
Iran) and graft-laden nominal democracies with fragile middle classes
(Turkey, Brazil, India). If we don’t get
the root cause right, how can we find
the right solutions?
THOMAS M. DORAN
Plymouth, Mich.
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.
Five years into cap and trade, there is
no actual evidence that leakage is a
concern. In contrast, there’s plenty of
evidence that the cap-and-trade program is doing exactly what it’s intended to do: help the state cut carbon
pollution and continue to lead the
world on climate action.
QUENTIN FOSTER
Environmental Defense Fund
Sacramento, Calif.
The real flaw is the goal in the first
place, never mind the solution. California’s real impact on the environment will never come from being a
carbon-neutral state. It comes from its
example to the world of high environmental standards while still being one
of the world’s largest economies. But
one has to wonder how much longer
other states and countries will look to
California’s leadership when they see
the sky-high cost of living and middleclass jobs leaving the state. The governor should focus on that first, and the
rest of his goals will follow.
TOM MYSZ
Oakland, Calif.
The authors believe that California’s cap-and-trade program is flawed
because it does nothing to reduce pollution. But it created another state
agency, which means more government and higher taxes. It also hurts
business. Mission accomplished.
JAMES ELLIOTT
Doral, Fla.
Pepper ...
And Salt
THE WALL STREET JOURNAL
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Saturday/Sunday, October 28 - 29, 2017 | A13
OPINION
By Arthur Herman
D
uring World War II the
federal
government
launched the Manhattan
Project to ensure the U.S.
would possess the first
atomic bomb. Seventy-five years
later, America is in another contest
just as vital to national security, the
economy and even the future of liberal democracy. It’s the race to build
the first fully operational quantum
computer.
America’s leading adversaries are
working urgently to develop such a
computer, which uses the principles
of quantum mechanics to operate on
To understand the power
of quantum computing,
imagine 1,000 Equifax
hacks happening at once.
data exponentially faster than traditional computers. Such a system theoretically would have enough computing power to open the encrypted
secrets of every country, company
and person on the planet. It would
also enable a foreign creator to end
America’s dominance of the information-technology industry and the
global financial system.
How does quantum computing
work? In the bizarre world of quantum mechanics, electrons and photons can be in two states at once. All
current computers process data in a
linear sequence of one and zeros. Every bit, the smallest unit of data, has
to be either a zero or a one. But a
quantum bit, or “qubit,” can be a zero
and a one at the same time, and do
two computations at once. Add more
qubits, and the computing power
grows exponentially. This will allow
quantum computers of the future to
solve problems thousands of times as
fast as today’s fastest supercomputer.
This poses a problem for most encryption systems, because they are
based on math problems that would
take a conventional computer centuries to solve. The encryption that
protects credit-card information and
bank accounts, for instance, relies on
two keys. One is the “private key,”
which consists of two large prime
numbers only known to the bank.
The “public key” sits in cyberspace
and is the product of multiplying together the two “private” primes to
create a semiprime. The only way a
hacker could access encrypted credit
card or bank information would be
by factorizing or breaking down the
large “public key”—often 600 digits
or longer—back to the correct two
numbers of the “private key.” This
Herculean task simply takes too long
for current computers.
A future quantum computer will
be able to decrypt such systems almost instantaneously. Even Blockchain will not be able to withstand
the first quantum attack if it relies
on two-key encryption architecture,
which protects nearly all digital information today. To understand the
scale of the threat, imagine a thousand Equifax breaches happening at
once.
As a September article in the journal Nature noted: “Many commonly
used cryptosystems will be completely broken once large quantum
computers exist.” Most quantum experts believe that such a breakthrough may only be a decade away.
If quantum computers will hold the
key to the global future, the U.S.
needs to secure that key.
Scientists already know that quantum computing is possible. The problem now is engineering a system that
takes full advantage of its potential.
Since subatomic particles are inherently unstable, assembling enough
qubits to do calculations takes persistence, time and resources. Quantum computers with 10 qubits already exist. A quantum computer
capable of solving problems that
DAVID KLEIN
The Computer That Could Rule the World
would stump a classical computer is
close at hand. Fifty qubits will mark
the threshold of quantum supremacy.
Other countries understand that.
While most of the work on quantum
computing in the U.S. is being done
by companies like Google and Microsoft, the European Union has made
quantum research a flagship project
over the next 10 years and is committed to investing nearly €1 billion in
the effort. Australia, the U.K. and
Russia have entered the quantum
race, too.
But the real national leader in
quantum research investment is
China. This summer it launched the
first satellite capable of transmitting
quantum data. It’s building the
world’s largest quantum research facility to develop a quantum computer
specifically for code-breaking and
supporting its armed forces, with
quantum navigation systems for
stealth submarines. Beijing is investing around $10 billion in the facility,
which is to be finished in 2½ years.
Today the U.S. government spends
only $200 million a year on quantum
research of all kinds, spread haphazardly over a variety of agencies—
from the National Security Agency to
the Energy Department.
While IBM recently set a new
benchmark with its 17-qubit processor, and Google insists it will reach
the 50-qubit threshold before the end
of this year, China is steadily advancing toward a 40-qubit prototype—
and remains determined to reach
“quantum supremacy.” At the same
time, countries will need to revamp
their encryption systems to keep up
with the new quantum reality.
The U.S. can achieve both goals
through a new Manhattan Project.
Call it the National Quantum Initiative. Like its atomic predecessor, the
new program should marshal federal
government money, the efficiencies
of private industry, and the intellectual capital of the nation’s laborato-
ries and universities, while keeping
everyone focused on the essential
mission: winning the quantum race.
The Manhattan Project cost some
$30 billion in today’s dollars. In comparison, the National Photonics Initiative has called for an additional
$500 million of federal funding over
five years to help the U.S. secure its
grip on quantum supremacy.
Recognizing this, Congress held
its first hearings on a national initiative for quantum computing on Oct.
24. Congressional leaders should now
pass a bill funding a National Quantum Initiative.
Equally important is to make sure
that America’s financial system, critical infrastructure and national-security agencies are fully quantum resistant. Companies and labs are
currently developing algorithms and
tamper-proof encryption based on
quantum technology. But without a
concerted and coherent national effort, it will take years for government and industry to agree on the
standards for quantum-safe replacements for today’s encryption methods, and to make sure they are deployed in time to prevent a quantum
attack. In a world of quantum proliferation, the risks are too great to ignore.
Since the end of World War II, the
U.S. has led the world in nuclear research, making this country stronger
and safer. For three decades the U.S.
has been the leader in information
technology, which has made Americans more innovative and prosperous. The U.S. cannot afford to lose
that leadership now—not when the
future hangs in the quantum balance.
Mr. Herman, a senior fellow at the
Hudson Institute, is author of “1917:
Lenin, Wilson, and the Birth of the
New World Disorder,” forthcoming
from HarperCollins in November.
Peggy Noonan is away.
Buddha Meets Bubba: The South’s Surprisingly Diverse Heritage
By Roy Hoffman
O
Fairhope, Ala.
ften when people think of
Southern culture, distinct images come to mind—historic
homes and rural churches, SEC football, civil-rights marches. But other
expressions of Southern culture are
hiding in plain sight.
In Biloxi, Miss., there’s the Bodhisattva in front of the Buddhist
temple, five minutes from Beauvoir,
Jefferson Davis’s retirement home.
In Daphne, Ala., stands Malbis Memorial Church, a Greek Orthodox
In Alabama, a Catholic
and a Jew hosted a
citizenship party for an
Indian Muslim friend.
chapel, 10 miles from Blakeley State
Park, where the Battle of Fort Blakeley, one of the last battles of the Civil
War, is re-enacted each April. In Mobile, Ala., my hometown, we have the
Ben May public library, named for a
Jewish philanthropist whose wealth
came from Alabama timber; nearby
stands a statue to a Confederate naval officer and resident, Adm. Raphael Semmes.
These glimpses of the unexpected
South, as I call it, from groups that
settled below the Mason-Dixon Line
long after Robert E. Lee’s surrender,
or have been considered marginal to
Dixie’s main story, are reflective of
our history, too.
The current re-evaluation of Confederate statues across the South
will, one hopes, lead to revelations
about these other, more hidden
Southern stories. Our religious and
ethnic minorities may not outnumber those in other parts of the country, but these communities have a vibrant presence, too.
On my trips through the South I
frequently encounter this interplay
of cultures. After a recent visit to
William Faulkner’s home, Rowan
Oak, in Oxford, Miss., for example, I
drove by a Hispanic market, then
stopped into an Amish farm stand
near Pontotoc, Miss. Eventually I arrived in West Point, Miss., where the
statue of blues legend Howlin’ Wolf
stands.
New faces representative of various minorities have emerged in politics, too. From Jim Gray, the openly
gay mayor of Lexington, Ky., who
challenged Rand Paul in the state’s
last U.S. Senate race, to Charles
Nana, a Birmingham businessman
born Nana Tchienkou in Cameroon,
who felt Alabamian enough for a run
in a Democratic primary.
The monuments to these groups
are rarely cast in plaster but are
shored up in stories—sepia photos
from Tennessee to South Carolina of
a grandfather from Lebanon or an
aunt from Cuba, or the marriage certificate, newly minted, of a same-sex
couple in Mississippi or Georgia.
Names still grace storefronts of families that arrived in Dixie more than a
century ago, fresh from Eastern Europe or the Mediterranean, like my
grandparents, Romanian Jews who
ended up in coastal Alabama. My late
dad, himself born above that store in
1909, became a lawyer. He spoke English with a Deep South accent and was
conversant in Yiddish, too.
His memories were my living link
to the Civil War. He recalled as a boy
seeing the defiant pride of veterans
marching down the street on Confederate Memorial Day, and the weathered dignity of former slaves making
their way down those same streets.
In 1963, with that war a century
behind us, my fourth-grade class
took a field trip to Montgomery,
Ala., posing for a photo with Gov.
George Wallace, who’d raised the
Confederate flag over the capitol,
flying it as a symbol of segregationist defiance.
By the time I was a teenager in
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the late ’60s, whatever our family
backgrounds, the cohesiveness of our
Southern culture was fracturing. I
remember playing “Dixie” with my
all-white military high-school band
at a cemetery in Mobile. We were respectful but detached. The statues
we filed past, in graveyards or parks,
did not ennoble great figures so
much as ossify them. The “lost
cause” of our generation, even for
those with bloodlines stretching
back to Shiloh or Antietam, was Vietnam. After the ceremony we jumped
in our cars, blasting “In-A-Gadda-DaVida” from 8-track tapes.
We could dismiss history, of
course, but not escape it. Whether we
stayed close or moved to Los Angeles
or New York, the South was imprinted
on us, if only in questions we’d have
to answer to folks elsewhere about
where we stood on issues like statues
of Robert E. Lee. How do I respond to
discussions of what to do about Civil
War statues? If we move them to museums we will have room in our town
squares and in our heads, I believe,
for narratives that grip and inspire us
collectively.
And with the internet so readily
available, the history of the Civil War
will never be difficult to access. On
my smartphone, I can click anytime
I want on the wrenching tales of former slaves in “Born in Slavery: Narratives From the Federal Writers
Project” or Matthew Brady’s ghostly
battlefield photos like “Harvest of
Death.”
Last summer, my wife and I, a
Catholic and a Jew, hosted a U.S. cit-
izenship party for a friend who is Indian and Muslim. We welcomed
guests who were Muslim, Hindu and
Protestant, of diverse complexions
and accents, Alabamians all. Many of
us could have told a story of prejudice—our honoree, for example,
stopped wearing her hajib for fear of
being publicly misunderstood, and
I’ve witnessed anti-Semitism in red
states and blue. But we were filled
with optimism. Our parents or
grandparents were from all over the
world, but our new stories were unfolding, roots sunk in, right here in
Alabama.
Mr. Hoffman is author of “Alabama Afternoons,” an essay collection, and the novels “Chicken Dreaming Corn” and “Come Landfall.”
The Trump Dossier Dam Is Breaking
’Tis the season of
tossing out nondisclosure
agreements. Victims and
employees of Harvey
Weinstein
clamor to be reBUSINESS
leased from their
WORLD
NDAs so they can
By Holman W.
talk about his
Jenkins, Jr.
abuse.
Perkins
Coie, the Washington law firm for the Democratic
Party and Hillary Clinton campaign,
showed the way by voluntarily releasing Fusion GPS from its duty to
remain mum on Democrats who
funded the notorious Trump dossier.
May the example catch on.
Journalists who investigated the
Trump dossier now say their Democratic sources lied to them. That’s
already a start. Please, Democrats,
release journalists from their confidentiality agreements so they can
tell us more about your lying.
The revelations provide new context for Harry Reid’s “October surprise,” his attempt 10 days before
Election Day to lever the dossier’s
allegations into the press with a
public letter to then-FBI Director
James Comey accusing him of withholding “explosive information.”
Mr. Reid knows how the responsible press works. Implausible,
scurrilous and unsupported allegations are not reportable, but a government official making public reference to such allegations is
reportable.
Mr. Reid, though, failed to mention his party’s role in concocting
the allegations, much less that the
manner of its doing so left him no
reason to suppose the charges were
anything but tall tales spun by Russian intelligence officials in response to danglings of Democratic
money.
This is a completely novel tactic
in U.S. politics, applying to a hostile
foreign power for lurid stories about
a domestic opponent. Mr. Reid,
please tell us more about your role.
Let’s also hear from Adam Schiff,
top Democrat on the House Intelligence Committee.
He claimed on TV to have “circumstantial” and “more than circumstantial” evidence of Trump collusion with Russia. In the event,
what he delivered in a committee
hearing was a litany of routine, innocuous business and diplomatic
contacts between Trump associates
and Russian citizens, interspersed
with claims from the Trump dossier.
A U.S. political party
applied to a hostile power
for lurid stories about a
domestic opponent.
He failed to mention, though,
that the Trump dossier was manufactured by Democrats paying a D.C.
law firm to pay a D.C. “research”
firm to pay a retired British spook
to pay unknown, unidentified Russians to tell stories about Mr.
Trump, in reckless disregard for
whether the stories were true.
Mr. Schiff, a Harvard Law graduate, will know the phrase is not our
coinage. “Reckless disregard” is the
standard by which the Supreme
Court says, even in a country that
bends over backward to protect the
press at the expense of public figures, the press can be held liable for
defamatory untruths about a public
figure.
Even so, journalists are presumed
to know their sources, not to have
paid a long chain of surrogates to
elicit sensational claims from perfect strangers, let alone anonymous
agents of a foreign regime with a
known habit of disinformation. It is
impossible to exaggerate how reckless Democrats have been under this
standard. If they found the Trump
dossier on the sidewalk, they’d be in
a better ethical position now. Let’s
hear what Mr. Schiff knew and when
he knew it.
Finally, let us hear from James
Comey.
The Trump dossier was reckless
and irresponsible in the extreme,
but only consequential after Election Day. It didn’t prevent Mr.
Trump from becoming president.
In the new spirit of non-non-disclosure, it’s time for Mr. Comey to
tell us about the Russian intelligence scam that may really have
changed the election outcome.
In closed hearings, he reportedly
acknowledged that his intervention
in the Hillary Clinton email case was
prompted by what is now understood to have been planted, fake
Russian intelligence. The fake Russian intelligence purported to discuss a nonexistent email between
then-DNC chief Debbie Wasserman
Schultz and George Soros-employed
activist Leonard Benardo.
This led directly to Mr. Comey’s
second intervention, reopening the
case 11 days before Election Day, a
shocking development that appears
now to have moved enough votes
into Mr. Trump’s column to account
for his win.
At the time, the press was all too
happy to blame Bill Clinton for his
wife’s loss when Mr. Comey, for
nonclassified consumption, cited Mr.
Clinton’s tarmac meeting with Attorney General Loretta Lynch as the
reason for his intervention.
The press is silent now. The new
story satisfies nobody’s agenda, and
only makes the FBI look foolish. Mr.
Trump is not eager to hear his victory portrayed as an FBI-precipitated accident. Democrats cling to
their increasingly washed-out
theory of Trump-Russia collusion.
And yet, if Mr. Comey’s antic intervention in response to Russian
disinformation inadvertently led to
Mr. Trump becoming president, this
was the most consequential outcome by far.
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 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
SPORTS
NFL
How the Texans Finally Found a QB
Most teams refuse to ditch players after investing millions. Houston did it repeatedly until landing Deshaun Watson
BY ANDREW BEATON
ERIK WILLIAMS/ZUMA PRESS
HOUSTON TEXANS coach Bill
O’Brien managed to sound excited
in the preseason when he declared
that Tom Savage, a former fourthround pick who had never thrown
a touchdown, would become the
team’s fourth opening-day quarterback in as many years.
Then the season began. It took
all of 30 minutes for the Texans to
light that plan on fire. Savage was
sent to the bench after an extraordinary offensive meltdown. O’Brien
gave rookie Deshaun Watson a shot.
A few weeks later, the Texans
have what may be the NFL’s best offense, to the slack-jawed amazement
of the entire league. It’s a testament
not just to Watson, but also to the
unorthodox philosophy that pushed
Watson forward so quickly.
In a league where teams are notoriously stubborn about admitting
they’ve made mistakes—especially
at the hyper-important and ultra-expensive quarterback position—the
Texans are the exact opposite. When
their quarterback play stinks, as has
often been the case in recent years,
they don’t let it fester. They try
someone else. Anyone else.
“We’ve tried to cultivate and develop a competitive environment,”
says general manager Rick Smith.
Every team in the NFL says
that. Here’s where the Texans are
different. “The quarterback,”
Smith said, “is not excluded from
that competitive environment.”
The Texans enter Sunday’s
game against the Seahawks at 3-3
and have arrived there in shocking
fashion: This franchise, which has
struggled to score pretty much
since its inception, has become the
league’s most unstoppable juggernaut. Watson’s offense, in its last
four games, has averaged 39.3
points per game.
How the Texans reached this
position—with an eagerness to
look for a better option at quarterback at any given moment—
sounds obvious. But it’s borderline
radical in a league where coaches
and executives attach themselves
to their most prized investments
with feverish devotion.
Maybe it’s because teams actually believe in a certain player, in
spite of poor results. Or perhaps
it’s because they think the only
thing worse than missing on a
player is publicly admitting that
mistake after a brief period of time.
The propensity to stick with a
quarterback too long isn’t just an
anecdotal phenomenon favored by
frustrated fans sick of losing with
the same players. It has backing in
research and hinges on the basic
economic concept of sunk costs—the
idea that money spent can’t be recovered. Typically, the more teams
Unlike most franchises, the Texans were willing to jettison poor performers quickly, which eventually led them to budding star Deshaun Watson.
For the Texans, this has been
part of a quest to fix what has arguably been the league’s most
frustrating quarterback situation.
For years, the Texans have had one
of the NFL’s best defenses but
struggled miserably on offense.
Their quarterback rating last year
ranked 30th in the league—and
they still made the playoffs, a testament to an other-worldly defense. That helped the Texans defy
the sport’s No. 1 rule, which says a
team without a good quarterback
can’t be any good at all.
But no matter how maddening
this has been for the team’s fanbase, Houston has not settled for a
mediocre option. In 2014, the team
started three quarterbacks: Ryan
Fitzpatrick, Case Keenum and
Ryan Mallett. A year later, there
were four: Brian Hoyer, Mallett,
T.J. Yates and Brandon Weeden.
Then, before last season, the
Texans thought they finally had an
answer. They shelled out $72 million for Brock Osweiler, an un-
Weather
Shown are today’s noon positions of weather systems and precipitation. Temperature bands are highs for the day.
d
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Edmonton
<0
Calgary
10s
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Vancouver
Vancouver
60s
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Seattle
Por
P
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Portland
l
Helena
70s
Winnipeg
ip
70s
Eugene
g
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Boise
Billings
70s
p / . Pa
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Pierre Sioux
40s
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Reno
40s
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Salt
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L ke Cit
C
Sacramento
an Francisco
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San
80s
70s 90s
San Diego
20s
30s
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Omaha
Denver
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Boston
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Hartford
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Buffalo
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Philadelphia
Pit
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Pittsburgh
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DC
Washington
Kansas
Ch
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Charleston
40s Charles
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Richmond
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St.. Lou
LLouisville
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Wichita
l igh
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Raleigh
Nashville
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Ch
Charlotte
Santaa Fe
hi
70s
50s Memphis
Atl
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Atlanta
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Albuquerque
Ph
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kl homa
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Oklahoma
C
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Columbia
Rain
Warm
Little Rock
T
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Tucson
Birmingham
El P
Paso
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Dallas
Ft. Worth D
Cold
T-storms
Jackson
k
Jacksonville
Mobile
b
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ti
Austin
80s
Stationary Snow
t
Houston
l d
Orlando
70s
ew Orleans
New
Tampa
p
an Antonio
San
80s
A
h g
Anchorage
40s
Topeka
Colorado
C
d
p g
Springs
LLas
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Vegas
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Ange
l
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k
Milwaukee
t
Detroit
C
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Chicago
Cleveland
d
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p
Indianapolis
p g
Springfield
es Moines
Des
Augusta
A g t
A bany
Albany
b
T
Toronto
70s
Honolulu
70s
70s
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
44 38 c
43 39 r
Atlanta
60 37 t
55 36 pc
Austin
64 33 s
75 43 s
Baltimore
71 59 pc 60 40 r
Boise
68 42 s
67 41 s
Boston
66 55 s
65 59 r
Burlington
69 54 s
62 54 r
Charlotte
72 50 t
57 33 c
Chicago
45 31 c
48 36 pc
Cleveland
48 38 r
49 37 c
Dallas
61 40 s
77 51 s
Denver
57 41 pc 69 32 s
Detroit
47 35 r
49 35 c
Honolulu
84 69 pc 84 71 pc
Houston
63 38 s
70 47 s
Indianapolis
44 32 c
46 32 c
Kansas City
50 28 pc 60 40 s
Las Vegas
84 60 s
85 60 s
Little Rock
55 30 s
62 37 s
Los Angeles
88 64 s
81 62 s
Miami
82 73 r
83 56 t
Milwaukee
47 33 sh 48 37 pc
Minneapolis
40 27 c
43 32 sh
Nashville
52 34 pc 53 33 pc
New Orleans
60 44 pc 64 46 s
New York City
68 62 s
67 48 r
Oklahoma City
55 34 s
70 42 s
Miami
Flurries
Showers
Ice
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
51
82
71
91
53
61
69
85
49
65
71
57
66
47
71
Today
Lo W
29 pc
66 t
62 s
64 s
34 r
49 s
47 s
49 s
31 c
43 s
54 s
33 s
48 s
25 pc
58 pc
Tomorrow
Hi Lo W
63 38 s
72 48 c
66 45 r
91 63 s
46 35 sn
60 54 c
64 47 pc
81 48 s
56 40 pc
70 43 s
65 53 s
66 36 s
63 45 pc
55 32 pc
59 45 r
International
City
Amsterdam
Athens
Baghdad
Bangkok
Beijing
Berlin
Brussels
Buenos Aires
Dubai
Dublin
Edinburgh
Hi
59
72
98
91
61
52
55
69
96
58
60
Today
Lo W
50 r
54 pc
66 s
76 pc
35 c
45 r
51 r
56 s
77 s
51 c
42 c
Tomorrow
Hi Lo W
55 46 sh
67 57 pc
94 67 s
90 70 pc
57 33 s
49 37 r
56 42 sh
73 55 t
96 77 s
55 40 pc
50 33 pc
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
53
57
80
83
64
90
70
57
61
76
88
70
72
66
37
93
58
92
92
69
88
72
72
89
80
73
62
50
57
50
53
Today
Lo W
48 r
38 pc
72 r
68 pc
50 c
78 t
51 pc
46 c
53 pc
44 s
76 pc
52 pc
51 pc
44 pc
31 c
78 s
49 pc
72 t
65 s
47 pc
78 sh
50 s
57 pc
78 t
65 pc
67 r
58 r
35 r
45 pc
44 r
41 c
one of those fumbles was returned
for a touchdown. The offense gave
up more points than it scored.
In came Watson, who was far
from perfect but at least scored in
the loss. And since then, the Texans
have been one of the most dangerous offensive teams in the league.
Now, of course, Houston hopes
Watson ends this quarterback carousel. A superstar at Clemson,
where he toppled Alabama for last
season’s national championship,
Watson has done it all so far in his
NFL debut. He has thrown 15
touchdowns, tied for second in the
NFL, despite only playing in five
and a half games. He has also run
for 202 yards and two more scores.
Whether that continues remains
to be seen. Still, the Texans know
they can’t let anybody struggle at
the game’s most important position for too long—because the season is too short. “We only get 16
chances,” Smith, the team’s general manager, said. “You can’t
mess around.”
THE COUNT
PASSES FALL OFF TARGET
30s
Montreal
Ottawa
30s
Bismarckk
50s
20s
proven backup from the Broncos
who many believed had the tools
to become a star.
That seemed like a reasonable
plan until Osweiler actually
stepped on the field for the Texans, when he posted one of the
worst passer ratings in the league.
By December, with tens of millions
still owed to Osweiler, Houston
was willing to admit its mistake.
Down 13-0 to the Jaguars, O’Brien
sent Osweiler to the bench in favor
of Savage, who salvaged the game
and the team’s playoff hopes in a
21-20 comeback win.
This past off-season, the Texans
were so committed to giving up on
Osweiler that they paid the Browns,
in the form of draft picks, to take
on his salary.
In the draft, they selected Watson in the first round to compete
with Savage for the starting job.
But in the first half of the first
game of the season, Savage was
sacked six times and fumbled twice.
The Texans went scoreless, while
Tomorrow
Hi Lo W
53 37 sh
53 40 r
83 65 c
82 67 pc
61 53 pc
89 77 t
71 55 s
69 51 c
57 39 pc
76 43 s
87 77 pc
80 51 pc
74 52 pc
71 46 pc
40 37 c
95 78 s
59 40 sh
84 71 t
94 66 s
67 49 pc
88 77 sh
60 39 s
68 50 pc
88 77 t
84 67 s
71 63 r
64 60 r
51 37 pc
59 41 s
48 34 r
52 33 r
There is a lot of ugly football being played
in the NFL this season. Last weekend, the
Tennessee Titans and Chicago Bears both won
games without an offensive touchdown, while
nine teams failed to find the end zone more
than once in Week 7.
With points down to their lowest pergame level since 2009, according to Pro-Football-Reference, it seems evident that some
quarterbacks, especially those not named Tom
Brady or Drew Brees, are having a hard time
getting the ball to their primary targets.
A total of 62 receivers through Week 7
have been targeted at least 30 times, with an
average of 7.54 yards per target. But some of
the league’s best wideouts are falling below
average in the statistic. One reason: There appears to be a growing number of top cornerbacks capable of shutting down elite receivers.
The Cowboys’ Dez Bryant is averaging just
5.64 yards per target, which ranks 53rd, despite one of the game’s most efficient quarter-
backs, Dak Prescott, throwing him the ball.
The Texans’ DeAndre Hopkins is 52nd at
just 5.88 yards per target even with rookie
quarterback Deshaun Watson lighting up the
stat sheet. Like the Cowboys with Bryant, the
Texans’ passing efficiency dramatically declines
when they throw to Hopkins compared with
when they don’t (8.0 yards per target).
The Raiders’ Amari Cooper, despite gaining
210 receiving yards in Week 7 against the
Chiefs, is still just 50th at 6.14 yards per target. Alshon Jeffery was brought in to be the
Eagles’ primary weapon but instead he’s just
45th at 6.56 yards on his 54 targets, catching
less than half of Carson Wentz’s passes (26).
Jeffery has become a high-priced decoy for
Philadelphia’s unheralded Nelson Agholor,
fourth best at 10.46 yards per target.
But perhaps the Eagles have hit on a good
strategy: Pay a big-name receiver to occupy
the opposing team’s best defender and throw
someone else the ball.
—Michael Salfino
Do Not Pass Go
Top receivers with at least 30 targets who are performing
below the league average in yards per target.
PLAYER/TEAM
Doug Baldwin SEA
Jordy Nelson GB
Keenan Allen LAC
Alshon Jeffery PHI
Amari Cooper OAK
DeAndre Hopkins HOU
Dez Bryant DAL
Avg. WR 30+ Targets
TARGETS CATCHES
51
42
68
54
58
65
58
Source: Pro-Football-Reference; WSJ
36
26
36
26
29
37
28
YARDS/
YARDS TARGET
376
303
487
354
356
382
327
7.37
7.21
7.16
6.56
6.14
5.88
5.64
7.54
RON JENKINS/ASSOCIATED PRESS
invest in a player, the more they’ll
let him play.
A 2015 study on defensive players, by Quinn Keefer, an assistant
professor of economics at California
State University San Marcos, concluded that “the sunk-cost fallacy is
persistent throughout the entire career of an average NFL player.” A
2017 paper by Keefer in the Journal
of Sports Economics looked at players drafted at the end of the first
round and beginning of the second
round, whose talents are pretty
much indistinguishable. It found
that those selected at the end of the
first round, who are paid more, start
nearly three more games on average
than the high second rounders.
That’s why the author of those
papers marvels at how the Texans
have bucked this trend, saying the
Texans’ willingness to repeatedly
move on is “rare.”
“The Texans got this one correctly,” Keefer said. “This is a great
example of economic decision making, but this is not the norm.”
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
BUSINESS NEWS B3,B4 | WEEKEND INVESTOR B5 | MARKETS B11,B12 | HEARD ON THE STREET B12
BUSINESS A THIRST FOR COGNAC B3
VENEZUELA BONDS GET A BOOST B10
© 2017 Dow Jones & Company. All Rights Reserved.
* * * * * * *
DJIA 23434.19 À 33.33 0.1%
STOXX 600 393.43 À 0.6%
NASDAQ 6701.26 À 2.2%
THE WALL STREET JOURNAL.
10-YR. TREAS. À 7/32 , yield 2.426%
Saturday/Sunday, October 28 - 29, 2017 | B1
OIL $53.90 À $1.26
Tech Stocks Fly High Again
Rally is a reminder of
2000, but e-commerce
and cloud-computing
growth looks strong
BY CHRIS DIETERICH
For one day at least, it felt
like 2000 again in the U.S.
stock market.
A swell of enthusiasm for
shares of America’s bestknown technology and internet companies carried the
Nasdaq Composite Index to
another record, up 2.2% in its
biggest one-day point gain
since August 2015.
The headiest gains were in
Amazon.com Inc., Google parent Alphabet Inc., Microsoft
Corp. and Intel Corp. The
surge in those shares added a
collective $146 billion in market value to the companies.
That one-day rise eclipsed the
entire value of International
Business Machines, at $143
billion.
Investors cheered buoyant
quarterly earnings of each
company, bidding up stocks on
the hope that fast-growing ecommerce, cloud-computing
and digital advertising businesses would continue to grow
in importance.
Eye-watering gains caught
some seasoned market watchers off guard. Some said the
huge advances could reflect
confidence that is out of
whack with even the most optimistic forecasts.
“Today is the craziest behavior I have seen since early
2000,” said Michael O’Rourke,
chief investment strategist at
JonesTrading
Institutional
Services, referring to the year
in which the internet boom
crested with the Nasdaq hitting 5000, a level it quickly relinquished and wouldn’t regain
for more than a decade.
“It can only be described as
euphoria,” he said.
More days like Friday could
signal the beginning of a new
phase in the stock-market rally
that has for months been characterized by a steady, persistent grind higher, albeit to records, Mr. O’Rourke said.
This year, the Dow Jones
Please see RALLY page B2
GOLD $1,268.50 À $2.20
EURO $1.1610
YEN 113.67
The Cost of Holding Court
The 10 most recent NBA franchise valuations:
Brooklyn Nets, Oct. 2017†
$2.3B
Houston Rockets, Sept. 2017
$2.2
$850M
Atlanta Hawks, April 2015
$2B
L.A. Clippers, May 2014
Milwaukee Bucks, May 2014
$550M
Sacramento Kings, May 2013
$535
Memphis Grizzlies, Oct. 2012
$377
New Orleans Pelicans, June 2012
$338
Philadelphia 76ers, Oct. 2011
Detroit Pistons, June 2011
Source: NBA; staff and news reports
$280
$325
†Joseph Tsai bought a
minority stake at a $2.3 billion
valuation with the option to
purchase a controlling share.
THE WALL STREET JOURNAL.
Alibaba Executive
Buys Stake in Nets
At Record Value
ZUMA PRESS
BY BEN COHEN
The top five Western oil companies are on track to post their highest annual earnings since crude plummeted three years ago.
Oil’s Profits Fail to Draw Investors
BY BRADLEY OLSON
AND SARAH KENT
Big oil is back in the black,
but investors aren’t biting.
Profits at many of the
world’s largest energy companies soared in the third quarter, with Exxon Mobil Corp.
and Chevron Corp. reporting
increases Friday of 50%, and
Total SA reporting a 40% rise
from a year earlier. Their improved earnings rose at more
than twice the rate of oil
prices in the period.
The top five Western oil
companies, including Royal
Dutch Shell PLC and BP PLC,
which report next week, are
now on track to post the highest annual profits since crude
plummeted three years ago
and forced them to restructure
for a prolonged era of lower
prices. They have cut spending
by more than $80 billion compared with 2013.
Still, the companies’ turnaround didn’t immediately
carry over to investor sentiment, even as prices for Brent
crude, the leading global
benchmark, topped $60 a bar-
rel Friday for the first time in
more than two years, a sign of
continued market optimism.
Chevron shares fell more
than 4% and Exxon, which
beat analyst expectations, rose
only slightly. This year, Exxon
has fallen 7% and Chevron is
down 3.5%. Shell’s American
depositary receipts have risen
nearly 13%, while Total and
BP’s U.S. shares have had modest gains. All have fallen short
of the increase in the S&P 500
index.
Even as profits continue to
improve,
investors
have
soured on oil companies, put
off by years of poor returns
and strategies oriented toward
growth that didn’t improve
profitability. Only about $1.3
billion has flowed into energyfocused equity funds for the
year through Oct. 20, compared with over $6 billion in
2016 and $20 billion in 2015,
according to data from EPFR
Global.
The caution comes as the
Please see EARNS page B2
Brent crude hits $60
a barrel......................................... B11
Carlyle’s Next Generation
The private-equity firm taps a deal whiz and a homegrown quarterback to lead
BY MIRIAM GOTTFRIED
A 49% stake with a
$2.3 billion valuation
equates to a purchase
price of $1.13 billion.
frequent pickup basketball
player in law school. He also
bought a National Lacrosse
League team in San Diego
this year as he explored this
deal with the Nets.
The eloquent and amiable
former private-equity investor was part of Alibaba’s
founding team when the Chinese internet company was
started in 1999. Mr. Tsai took
over as executive vice chairman in 2013 and has been responsible for handling corporate investments at China’s
biggest e-commerce company.
He ranks as Alibaba’s second-largest individual shareholder after its chairman,
Jack Ma, holding 1.7% of the
common shares outstanding
in the company.
As of last month, his stake
in the company was valued at
more than $7 billion, according to S&P Global Market Intelligence.
—Liza Lin
contributed to this article.
THE INTELLIGENT INVESTOR | By Jason Zweig
Lessons, and Warnings,
From the Crash of 1929
BLOOMBERG NEWS; GETTY IMAGES
Carlyle Group LP’s new
leadership tandem is made up
of a homegrown protégé and a
problem-solver with a relatively short tenure at the firm.
Carlyle vetWEEKEND eran Glenn
Youngkin and
PROFILE
deal-making
whiz Kewsong
Lee will become co-chief executives of the Washington, D.C.,
private-equity firm in January,
replacing the company’s longtime leaders, who will step
into senior roles on the board,
Carlyle said Wednesday.
Mr. Youngkin is seemingly
Carlyle embodied. The evenkeeled Washingtonian started
with the firm in his 20s, grew
up professionally under the
tutelage of Carlyle’s three
founders and eats, sleeps and
breathes the firm, people familiar with the CEO transition
said.
Mr. Lee, on the other hand,
joined Carlyle only four years
ago, defecting from rival Warburg Pincus LLC. The executive, who splits his time between New York City and
Washington, has a knack for
strategy and deal making. He
is decisive and brings the
promise of new ideas and
swift execution, the people
Alibaba Group Holding
Ltd. co-founder Joseph Tsai
is buying a 49% stake in the
Brooklyn Nets at a record valuation of $2.3 billion.
Mikhail Prokhorov has
agreed to sell the interest in
the National Basketball Association franchise and give Mr.
Tsai, who helped build Alibaba into an e-commerce giant, the option to purchase a
controlling stake in four
years, according to people familiar with the matter.
Terms of the deal weren’t
disclosed, but 49% of a $2.3
billion
valuation
would
equate to $1.13 billion.
The sale does not include
Barclays Center, the downtown arena the Nets built
when they moved to Brooklyn
in 2012, two years after the
Russian oligarch became the
league’s first overseas owner.
It represents a big profit
for Mr. Prokhorov. He paid
$260 million for 80% of the
team, 45% of the new arena
and the right to purchase real
estate around the Brooklyn
site.
The latest biggest deal in
league history, which was
earlier reported by ESPN,
represents another billionaire’s big bet on the NBA.
The Nets could become the
sixth team to change hands
since 2013 as franchise valuations across the league have
soared with the NBA booming
in popularity.
The Los Angeles Clippers
sold for $2 billion in 2014,
and the Houston Rockets
went for $2.2 billion last
month.
The NBA has a young, diverse fan base, international
allure, and a generation of
culturally relevant and highly
marketable stars. It struck a
$24 billion television deal in
2014 that secured its media
rights for another decade at a
time of great uncertainty and
upheaval across the industry.
And the frothy market also
may persuade more of the
league’s owners to explore
sales of their own teams.
Mr. Tsai was born in Taiwan but educated in the U.S.
He was an undergraduate and
law student at Yale University, where he gave $30 million last March to support
the work of the Yale Law
School’s China Center and
made another donation toward the creation of the university’s Tsai Center for Innovative
Thinking,
which
houses an accelerator for social ventures.
Mr. Tsai has long been interested in sports, too. He
made Yale’s lacrosse team as
a walk-on, and he became a
Carlyle Group named Kewsong Lee, left, and Glenn Youngkin as its co-chief executives.
said.
Together, they are tasked
with taking the helm of a
world-wide investment firm
that was founded in 1987 and
has grown to manage $170
billion of assets invested
across private equity, real estate and credit. Though
Messrs. Youngkin and Lee
aren’t being asked to execute
a turnaround, Carlyle’s shares
have underperformed peers
and the S&P 500 since 2012,
when it became the last of the
large private-equity firms to
go public.
Mr. Youngkin said in an interview that he likes the new
perspective Mr. Lee brings to
the firm. “One of the great opportunities we have is to com-
bine the freshness with our
long history of success at Carlyle,” he said.
Mr. Youngkin, 50 years old,
started at Carlyle when he
was 27. Mentored by founders
David Rubenstein, William
Conway and Daniel D’Aniello,
Mr. Youngkin has adopted as
his mantra the firm’s “One
Please see CARLYLE page B2
At the end
of October,
the stock market crashed.
By Oct. 26,
the Dow
Jones Industrial Average had
already fallen 13% for the
month. On Oct. 28, it
dropped 13% more. On Oct.
29, it collapsed a further
12%.
That crash was in 1929, of
course, not 2017. Did anyone
see the Great Crash coming,
and what can we learn from
looking back?
Then, as they still do today, market pundits claimed
to have seen a crash coming.
Speculator Joseph Kennedy,
later the first head of the Securities and Exchange Commission, is said to have gotten out of the market when
he noticed a shoeshine boy
bragging about his stock
picks.
One forecaster, it might
seem, did call the crash almost perfectly. In his book
“The Stock Market Crash—
and After,” published in
1930, economist Irving
Fisher credited Karsten Statistical Laboratory of New
Haven, Conn., for demonPlease see INVEST page B5
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
B2 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ******
INDEX TO BUSINESSES
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.
O
Exxon Mobil................B1
B
Banco Santander ........ B2
Berkshire Hathaway
............................. B5,B10
BHP Billiton................B2
BlackRock....................B5
BP................................B1
Bridgewater Associates
.....................................B5
Brooklyn Nets.............B1
F-G
Facebook......................B2
Ford Motor..................B4
Freddie Mac ................ B5
Google ......................... B2
H
Houston Rockets ........ B1
Houston Texans........A14
Huntsman....................B2
I
International Business
Machines...................B1
J
J.C. Penney..................B3
J.P. Morgan Chase
...................... B5,B10,B12
L
LVMH Moet Hennessy
Louis Vuitton............B3
C
M
Carlyle Group..............B1
Chevron ....................... B1
Clariant........................B2
Corvex Master Fund...B2
Credit Suisse Group . B12
Mattel .........................A2
Merck...........................B3
Microsoft...................B12
Miller Value Partners.B5
D-E
Delta Air Lines ........... B3
Eastman Kodak...........B5
Endeavor.....................A1
N
Nestle..........................B2
Netflix..................B2,B12
North Latitude Master
Fund .......................... B2
Oaktree Capital
Management.............B5
P
PepsiCo......................A10
Princeton Lightwave .. B4
R
Restaurant Brands
International...........B10
Royal Dutch Shell.......B1
S
Samsung Electronics..B4
Statoil ......................... B2
T
Tenet Healthcare........B3
Tianhong Asset
Management...........B11
Times Publishing........B4
Total ............................ B1
U
UBS Group.................B12
United Continental
Holdings....................B3
V
Volkswagen.................B4
W
Wells Fargo...............B10
WinterGreen Research
...................................A10
INDEX TO PEOPLE
A
Grom, Charles.............B3
Aggarwal, Raj ............. B4
H
B
Huntsman, Peter........B2
Battipaglia, Jack.........B3
Buffett, Warren..........B5
Burns, Brad.................B2
Jones, Edward.............B2
J
Peillon, Bernard..........B3
Porat, Ruth ............... B12
Pouyanné, Patrick.......B2
R
Rubenstein, David ...... B2
K
S
Conant, James Bryant C7
Conway, William.........B2
Kelly, Shawn...............B3
Kenney, Jason.............B2
Kottmann, Hariolf ...... B2
Saetre, Eldar...............B2
Sharockman, Aaron....B4
D
L
Tsai, Joseph................B1
Dalio, Ray....................B5
D'Aniello, Daniel.........B2
Davis, Jeffrey..............B3
Davis, Robert..............B3
Dimon, James.............B5
Lee, Kewsong..............B1
C
F
Fink, Laurence.............B5
Flax, Daniel.................B2
Friedman, Walter........B5
M
Marks, Howard ........... B5
Miller, Bill ................... B5
Millstone, David ......... B2
Munoz, Oscar..............B3
Musk, Elon..................D7
N
Neubauer, Joseph.......B2
G
O-P
Goldstein, Mark..........B2
O’Rourke, Michael ...... B1
CARLYLE
Continued from the prior page
Carlyle” philosophy, which emphasizes cooperation and collaboration, a person familiar
with the matter said.
“Glenn is the business
world’s version of Aaron Rodgers,” said Brad Burns, a longtime friend of Mr. Youngkin.
“He has amazing vision, is incredibly strategic, is the best
leader, and you want the ball in
his hands with time winding
down on the clock.”
Currently president and chief
operating officer, Mr. Youngkin
has worked as the firm’s interim chief financial officer and
led its industrial investment
team. He ran the firm’s buyout
activities in the U.K. and played
a big part in building Carlyle’s
energy and infrastructure businesses and its investment-solutions segment.
In April 2008, the founders
asked Mr. Youngkin to take a
step back from deal making and
focus more on Carlyle’s broader
strategy. That put him in the
position of navigating the firm
through the global financial crisis, during which Carlyle conducted its first and only layoffs.
“When you have to tell people
they can’t come to work tomorrow, that’s as tough as it gets,”
Mr. Youngkin said. The athletic
Mr. Youngkin, who has a strong
weekend golf game, played basketball for Rice University.
As part of the leadership
transition announced Wednesday, Messrs. Rubenstein and
Conway, who had been co-CEOs,
will become co-executive chairmen. Mr. D’Aniello, the current
chairman, will become chairman emeritus.
Mr. Lee, a 52-year-old firstgeneration Korean American,
EARNS
Continued from the prior page
oil giants are still barely able
to pay for new investments
and dividends without selling
assets or going deeper into
debt. Last year, the five companies spent $31 billion more
in cash on new investments
and dividends than they generated from operations, according to FactSet.
For most oil-and-gas companies, that pattern of outspending has continued this
year, although they are much
closer to balance than at any
time since 2014. Even with
the improvement, Exxon and
its peers are nowhere close
to the record they set in
2011, when net income at the
five companies exceeded
$140 billion.
That is more than 50%
higher than the estimated $90
T
W
Watson, John..............B2
White, Brian ............... B4
Winter, David..............B2
Wirth, Michael............B2
Witter, Frank .............. B4
Wolff, Guntram .......... A7
Woodbury, Jeff...........B2
Y
Youngberg, Brian........B2
Youngkin, Glenn..........B1
Chemical Merger Thwarted
BY BRIAN BLACKSTONE
ZURICH—Swiss chemicals
company Clariant AG and U.S.based Huntsman Corp. on Friday said they had terminated
their planned $15 billion
merger after facing pressure
from investors who wanted to
block the deal.
The deal’s failure highlights
the growing influence of activist investors across Europe,
with Swiss consumer giant
Nestlé SA, Dutch paint company Akzo Nobel NV and London-listed miner BHP Billiton
PLC all facing high-profile tussles with shareholders agitating for change.
The pressure facing Clariant was particularly extreme
because it came from its largest shareholder, White Tale
Holdings, which blasted the
proposed Huntsman merger as
detrimental to shareholders. It
also steadily increased its
stake to more than 20% while
waging its war of words.
White Tale comprises investment funds 40 North Latitude Master Fund Ltd., controlled by U.S. investors David
Winter and David Millstone,
and Corvex Master Fund Ltd.,
controlled by well-known activist investor Keith Meister.
Clariant and Huntsman
eventually threw in the towel,
saying that the continuing
stake building by the activists—and the fact other share-
ARND WIEGMANN/REUTERS
A
Airbnb........................B12
Akzo Nobel..................B2
Alibaba Group...........B11
Alphabet .............. B1,B12
Amazon.com...B1,B5,B12
American International
Group.........................B5
Ant Financial Services
Group.......................B11
Apple......................B2,B4
Aviva ........................... B4
Clariant CEO Hariolf Kottmann, left, and Peter Huntsman in May.
holders had started to support
their cause—meant there was
“too much uncertainty” that
they would secure the twothirds shareholder approval
needed for the deal to proceed
under Swiss law.
The merger, first announced
in May, would have created a
trans-Atlantic giant offering an
array of chemicals and other
products used across industries from aerospace to agriculture to household cleaning.
Shares in Clariant fell more
than 5% in early trading in Zurich on Friday, but they later
regained ground to close down
0.9%. Huntsman shares gained
4.2% in U.S. trading.
“Now Clariant is again the
No. 1 takeover target among
EU chemicals,” said analysts at
Baader Helvea Equity Research. “However, we doubt
that bidders will already now
raise their hands.”
Clariant Chief Executive Hariolf Kottmann said it was too
soon for the company to discuss future options but that
the company was well prepared to continue on its own.
“While White Tale’s position on the merger has been
different from ours, we share a
common interest in increasing
Clariant’s value,” Mr. Kott-
mann said.
Huntsman Chief Executive
Peter Huntsman said that the
merger “is not the only option
for Huntsman to create real
and lasting value.” Also on Friday, Huntsman reported third
quarter net income of $179
million versus $64 million in
the prior year period.
White Tale didn’t have a
comment on the termination
of the merger.
White Tale had urged Clariant to explore options other
than the Huntsman merger.
Mr. Kottmann defended the
deal and said it was “pure
nonsense” to say the company
hadn’t explored all of the options available to it.
He also appeared to bemoan
some of the consequences of
the increased role activist investors are playing.
“I think you have clearly to
distinguish that management
of companies try to increase
the enterprise value” for
shareholders, he said, while
“activist shareholders try to
increase the value of their investment,” and when they
meet their objectives, “they
are out.”
In an interview with Swiss
newspaper
Finanz
und
Wirtschaft published Oct. 6,
Messrs. Millstone and Winter
said they were “long-term oriented investors” and that they
were “here to stay, to make
and build” with Clariant.
Like Before but Different
A rally in large technology stocks intensified Friday, as Amazon surged 13%, Microsoft hit a new record and Google parent Alphabet
exceeded $700 billion in market value. Intel rose to its highest price since 2000. The frenzied trading echoed the internet boom, but
analysts emphasize that these firms are far healthier and their multiples less stretched than was the case then.
$900 billion
$800B
Apple market cap
Alphabet market cap
$700B
800
came to Carlyle in 2013 after a
21-year career at Warburg to
take on a newly created role
heading up corporate privateequity investment under Mr.
Conway. While running the consumer and industrial services
buyout group at Warburg, he
developed a reputation as a
shrewd deal maker, leading lucrative deals involving Neiman
Marcus Group Ltd., Aramark
and Arch Capital Group Ltd.,
among many others.
“I was from the very beginning—and am still in my soul—
an investor,” Mr. Lee said in an
interview.
Joseph Neubauer, former
chief executive of Aramark, recalled an intense Labor Day
weekend in 2007 that he spent
with Mr. Lee and others involved in taking his company
private. “Kewsong always had
very good judgment. He understood the big picture,” Mr. Neubauer said.
When Mr. Lee left Warburg,
its $11.2 billion fund was the
largest corporate private-equity
pool raised since the financial
crisis. But Carlyle was raising a
fund that would soon eclipse it.
Mr. Lee said he was eager to
take on a role at a bigger firm.
At Carlyle, Mr. Lee built and
launched its long-dated privateequity fund. He also made the
difficult decision to close the
firm’s troubled hedge funds and
led the complex process of
winding them down.
Mr. Lee plays the piano and
the violin and directed music
for musical-theater productions
while at Harvard University.
“Kewsong is rapier smart,”
said Mark Goldstein, co-head of
sponsor banking at RBC Capital
Markets. “Glenn is also extraordinarily bright. They’re both
gracious people, which is not a
given in this world.”
Continued from the prior page
Industrial Average has gained
19% and the Nasdaq has
climbed 24%.
Big gains in tech stocks invite comparisons with the
bubble that crunched the Nasdaq nearly two decades ago.
Bulls say that the key difference between then and now is
that whereas tech-stock gains
then were premised on the
idea that the internet would
change people’s lives, this one
is based on the reality that
these companies already are.
“These big web giants are
changing the ways people so-
billion in profits analysts expect this year from Facebook
Inc., Apple Inc., Amazon.com
Inc., Netflix Inc. and Google
parent Alphabet Inc., according to FactSet. Those so-called
“FAANG” stocks have soared
in the past several years.
Shareholders want to see
continued improvement in
profits and more cash, analysts said. Chevron has gone
more than a year without raising its dividend, although it
may do so soon. Some European oil companies have made
investor
payments
with
shares, a quick fix investors
have accepted in the short
term, even though it risks diluting their holdings over
time.
In a strong signal to investors, Norway’s Statoil ASA
said Thursday it will move
away from paying dividends in
stock in the fourth quarter and
that it can cover its costs and
investor payouts at $50 a bar-
rel this year. Statoil is the first
big company with such a
“scrip dividend” program in
place to say it can now manage without.
“We think we are in a very
good place,” Chief Executive
Eldar Saetre said in an interview.
It will take time for investors to warm to the industry
again, perhaps a few quarters,
but the companies are “moving in the right direction,“ said
Jason Kenney, an energy analyst at Banco Santander. If oil
prices stay at their current
level and the companies can
show they have cash to spare
in the coming quarters, that
could be ”a turning point for
interest from investors in the
sector,” Mr. Kenney said.
Oil prices were 14% higher
from July to September compared with the same period in
2016. The spot price of liquefied natural gas, which has increased in importance to the
700
$500B
600
500
400
300
2015
’16
Market value Friday vs. 1999-2000
Amazon’s five biggest percentage moves up
and five biggest moves down going back to
January 2014 were all after earnings reports.
Friday
$713.2 billion
Alphabet†
Microsoft
Amazon
Intel
$614.7B
$530.5B
Dec. 10, 1999 $36.4B
$207.8B
Aug. 31, 2000
1/31/14
–11.0%
$646.6B
Dec. 27, 1999
’17
$501.5B
Big tech has contributed a
disproportionately large portion of the
S&P 500’s 16% total return this year.*
7.7%
Apple
–9.9
4/25/14
–9.6
7/25/14
Facebook
4.4
10/24/14
Microsoft
4.3
–8.3
1/29/16
–7.6
4/29/16
9.6%
7/24/15
9.8
3.0
Amazon
10/27/17
13.2
1/30/15
13.7
4/24/15
14.1
Alphabet
Class C
Alphabet
Class A
Netflix
2.0
2.0
1.0
*As of Thursday’s close †Alphabet wasn't trading during the bubble.
Sources: FactSet/WSJ Market Data Group (market cap, share, moves); S&P Dow Jones Indices (contribution)
RALLY
THE WALL STREET JOURNAL.
cialize, consume content, work
and play,” said Daniel Flax, senior analyst at Neuberger Berman. “You’re seeing outsize
revenue because they are at
once going into new areas and
disrupting industries.”
As the broader U.S. stock
market continues to notch alltime highs, investors are
showing an affinity for ubiquitous brands tied to the web.
On Friday, the Nasdaq notched
its 61st record close of the
year, matching its 1999 performance and one short of its
1980 record.
Amazon.com surged 13%, or
$128.52 a share, to $1,100.95
in its biggest one-day gain in
more than two years. The internet retailer’s quarterly rev-
enue hit a record, and its
cloud-computing unit increased sales by 42% from the
year earlier.
Microsoft surged 6.4% to a
record $83.81 as the software
stalwart continues to reap the
benefits of its cloud-computing business.
Alphabet jumped 4.8%, also
to a record, $1,019.27, after its
profit spiked 33% as the company’s ads on the web and
smartphones proliferate.
Upbeat quarterly earnings
routinely jolt stock prices
higher, particularly in the
technology and internet sector, but Friday’s tech-focused
buying rewarded recent market darlings and legacy contenders alike.
Even Intel, a chip maker yet
to regain its all-time highs
reached in the heat of the dotcom bubble, darted up 7.4% to
its highest level since 2000, at
$44.40, after lifting its financial forecasts for the rest of
the year, a broad show of
strength for the sector.
Optimism spilled into other
big technology stocks as well,
with Apple Inc., the hardware
company that is the largest
U.S. company by market value,
rising 3.6%. Facebook Inc., due
to report its next quarterly results Wednesday, rose 4.3%
Friday to notch a high.
All told, tech stocks in the
S&P 500 soared 2.9%, their
biggest one-day ascent since
March 2016.
companies as they seek to reduce emissions from their operations, has risen 60% since
July, according to analysts at
Cowen.
But the companies’ return
to profits is largely due to
spending cuts, strong demand
company is also drilling wells
in Texas and North Dakota
that will extend for 3 miles
horizontally.
“We’ve got a very focused
research effort on this,” said
Jeff Woodbury, vice president
and corporate secretary at
Exxon, said Friday in an investor call. The company wants to
make a “step change” in how
shale resources are developed,
he said.
Exxon, Total and Shell are
now run by former refining
executives, and Chevron will
be as well in February, when
Michael Wirth is scheduled to
take over for John Watson, the
company’s departing chief executive.
The pivot to refining expertise in the top executive ranks
comes as the oil giants seek experienced hands at managing
spending rather than chasing
potentially expensive new barrels.
To keep costs down, many of
the companies have curbed
their ambitions, turning instead
to smaller, incremental developments that pay back more
quickly than multibillion-dollar
megaprojects.
“These companies are becoming much more streamlined,” said Brian Youngberg, an
energy analyst at Edward
Jones. “They’ve all been aggressive in driving costs down to
maintain profitability even if oil
prices remain low. You’re not
seeing as many big, expensive
projects. Those days are gone.”
The speed at which the companies have managed to reset
has taken even some executives
by surprise.
“Frankly, if somebody had
told me three years ago that we
would be at 10% return on equity by mid-2017 or third quarter, I would have been very
happy,” Total CEO Patrick Pouyanné said in an interview. “It
would have seemed to me impossible.”
Shareholders want
to see continued
improvement in
profits and more cash.
for chemicals and fuels like
gasoline and diesel, and a
move to developments that
can pay off quickly.
Exxon and Chevron are
ramping up dramatically in the
Permian basin in West Texas.
Exxon plans to boost output
by 45% a year there through
the end of the decade, and the
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 28 - 29, 2017 | B3
* * * *
BUSINESS NEWS
Cognac Lovers Outdrink Hennessy
Booming demand for
the liquor tests
its biggest producer;
rationing in the U.S.
BY SUSAN CAREY
BY MATTHEW DALTON
United Continental Holdings Inc. has promised investors for years that it will close
the profit-margin gap with its
major rivals and start delivering the fruits of its 2010
merger. But the third-largest
U.S. carrier by traffic continues to be an industry laggard.
As airlines wrapped up
third-quarter earnings this
week, United posted in-line
but tepid results and gave a
disappointing outlook for
costs and revenue in the final
quarter. Despite ambitious
cost-shaving and revenue-enhancing initiatives announced
nearly a year ago, the Chicagobased carrier is still far from
catching up with industry darling Delta Air Lines Inc. by
most measures.
Oscar Munoz, United’s 59year-old chief executive, has
asked investors for more time.
“We’ve dug ourselves historically in a little bit of a
competitive hole as a company,” he said in a call with
analysts and investors last
week. “In order to get ourselves out of it, we have to do
something a little bit [more]
extraordinary than others.
The day of the call, investors lost patience. United
shares suffered a 12% one-day
selloff last Thursday and have
yet to recover. The selling
spree helped shaved $7.6 billion from the company’s market capitalization since the
stock’s June high. Shares are
down 17% year to date and
closed Friday at $60.25.
Investors and analysts who
follow the stock said they are
frustrated that United appears
to be more focused on providing reasons for the lack of
progress than on addressing
cost headwinds that now extend into 2018.
On the earnings call, United
refused to talk about 2018
costs and capacity growth,
which they normally would.
They also failed to give detailed results from cost and
revenue initiatives. Aside from
saying most of the initiatives
were on track, United executives wouldn’t speak about
that work.
“It’s been six years postmerger, and it’s one excuse after another” at United, said
Hunter Keay, of Wolfe Research. “New faces, same results.”
United declined to make executives available for comment.
COGNAC, France—Global demand for cognac is booming,
and Hennessy, which controls
half of all production of the
brown liquor, is scrambling to
keep drinkers sated.
Hennessy, part of the Parisbased luxury conglomerate
LVMH Moët Hennessy Louis
Vuitton SA, faces capacity constraints here in the Cognac region of southwestern France. It
can’t bottle enough of the stuff,
and it is trying to persuade
vineyard owners to cultivate
more grapes. This year, a
springtime frost also hit supply.
LVMH said earlier this
month that its third-quarter cognac sales volumes fell from a
year earlier—it didn’t say by
how much—because Hennessy
held back stock to have enough
for the holiday season in the
U.S. The brand is one of LVMH’s
biggest and most profitable.
Hennessy sales last year were
about €1.6 billion ($1.89 billion),
according to analyst estimates;
that represents only 4.2% of
LVMH’s overall revenue, but
roughly 10% of its operating
profit.
Shortages have so far been
limited mostly to the U.S., one
of the brand’s biggest markets.
Liquor distributors have been
rationing Hennessy V.S, the lowprice cognac that is the brand’s
top-seller in America. But Hennessy executives say they are
cautious about raising prices for
fear of angering customers.
Gotham Wines & Liquor on
the Upper West Side of Manhattan is out of stock and is
waiting for the next allocation
from its distributor. Staff “look
at the history of client buying
and they determine how much
Hennessy you get for the
month,” said Jack Battipaglia,
manager of Gotham.
The Pennsylvania Liquor
Control Board, which sells liquor across the state, said Hennessy has agreed to boost shipments by 10%, but that isn’t
enough to keep up with demand. “That’s created out-ofstock situations for various
Hennessy products,” said
Shawn Kelly, a spokesman for
the board.
Last year, cognac makers
sold 179 million bottles worldwide, or about €2.8 billion in
sales, up 6% from the previous
year and 17% from five years
ago. In North America, sales
have doubled over that stretch.
Cognac can only be made
from grapes grown near the
Charente river here. The grapes
JULIEN FERNANDEZ FOR THE WALL STREET JOURNAL (3)
United
Investors
Restless
for Takeoff
Hennessy, a unit of LVMH, this month opened a new plant in France that is expected to boost its cognac shipments by more than 14%.
High Spirits
Global cognac sales
€3.0 billion
2.0
1.5
1.0
0.5
0
2011 ’12
J.C. Penney Co. spooked investors ahead of the holiday
season, after the struggling department-store chain slashed
its profit goals for the year and
warned of weakening sales.
Penney said its decision to
discount and clear out slowmoving inventory in women’s
apparel and other clothing departments increased revenue
in September and October but
significantly hurt earnings. Its
shares tumbled on the news.
The Plano, Texas, company
now expects per-share earnings, excluding certain costs,
of 2 cents to 8 cents for its fiscal year ending Jan. 28, well
below its previous guidance of
40 cents to 65 cents.
Penney added that comparable sales are unlikely to improve for the year as it makes
’14
’15
’16
€1 = $1.1653
THE WALL STREET JOURNAL.
are fermented into wine, then
distilled twice into a clear liquid called eau de vie, or water
of life. Eau de vie is aged anywhere from two years to more
than a century in wooden barrels, giving the cognac its
brown color.
An April frost that damaged
the grape crop across France
put Hennessy under more pressure than other suppliers. That
is because its main product is
V.S, which is aged for just three
years. The frost forced Hennessy to delay shipments immediately in the tightly choreographed production of V.S to
help make up for shortfalls anticipated three years from now.
One of Hennessy’s key constraints has been bottling capacity. It is investing more than
a hundred million euros to
extensive efforts to overhaul
its inventory. The company
now expects same-store sales
to be flat to down 1% for the
year; it previously predicted a
range of minus 1% to plus 1%.
Penney’s profit was also
hurt by increased sales of appliances, which carry lower
margins than the apparel and
other goods it sells.
The retailer said that despite the near-term profit
shortfall, its inventory decision
was right for the long term.
Chief Executive Marvin Ellison
said he was encouraged by improved women’s clothing sales
after the extensive liquidation,
which he called a “comprehensive reset.”
Investors, though, weren’t
seeing the positives. Shares of
Penney fell 54 cents, or 15%, to
$3.12. At its lowest point Friday, $2.76, the decline knocked
off about $280 million from
Penney’s market value, which
is now below $1 billion.
Penney’s news put further
pressure on department stores,
which have been suffering as
shoppers increasingly turn to
Amazon.com Inc. and e-commerce to spend their dollars.
Macy’s Inc., Kohl’s Corp. and
Sears Holdings Corp. were all
down Friday. In contrast, Amazon.com Inc. shares rose 13%
to $1,100.95 Friday after it reported better-than-expected
results late Thursday.
“I think this is largely a J.C.
Penney issue,” said Gordon
Haskett analyst Charles Grom.
But Jefferies analyst Randal
Konik said he was concerned
about increased discounting at
department stores in recent
weeks, compared with the
year-earlier period. “The sector faces intense secular head-
Under Pressure
J.C. Penney’s market value
in the past year
$3.5 billion
3.0
2.5
MICHAEL NAGLE/BLOOMBERG NEWS
2.0
Penney said comparable sales are unlikely to improve for the year.
’13
Source: Bureau National
Interprofessionnel du Cognac
boost it, and this month the
company opened a new plant
that is expected to boost shipments by more than 14%.
Despite its size, Hennessy is
at the mercy of the region’s
grape-growing families, which
have been in the business for
generations. The giant has been
trying to persuade skeptical
growers to expand grape production, which once stood at
247,000 acres of cultivated land
but has fallen to 185,000 acres.
Growers are wary, having been
forced in the past to uproot
vineyards because of oversupply at a time when cognac was
in lower demand.
Bernard Peillon, president of
Hennessy, said he hopes as part
of negotiations next year to
persuade growers to plant an
additional 5,000 acres.
Penney Cuts Goals, and Stock Tumbles
BY CARA LOMBARDO
€2.76B
2.5
1.5
1.0
Friday
▼$167.8 million
0.5
0.0
2016 ’17
Sources: FactSet
THE WALL STREET JOURNAL.
winds as mall traffic wanes
and the shift to e-comm should
also continue to weigh on
profitability,” Mr. Konik wrote
in a note to clients.
Penney, like other department stores, has closed stores
this year to fight online competition, announcing plans to
shut as many as 140 of its
roughly 1,000 stores. Those
closings produced liquidation
sales that weighed on results
earlier this year. In August, Mr.
Ellison said the retailer never
had liquidated that many
stores at one time, which made
forecasting difficult. But he
added: “We walked away from
the liquidation event a stronger company.”
Friday, Penney said that
during the third quarter, it
took steps to create a system
designed to help streamline
the retailer’s pricing, promotion and markdown strategies.
The system—which is under
the oversight of the retailer’s
new financial chief, Jeffrey Davis—aims to improve the retailer’s predictive analytics and
provide “a more focused view
of current sales trends,” Penney
said. That information allowed
the retailer in the third quarter
to liquidate what wasn’t working and increase spending on
new and trending merchandise,
the company said.
For the third quarter, Penney
now expects an adjusted pershare loss of 40 cents to 45
cents, wider than the average
analyst loss of 18 cents on
Thomson Reuters. The company
forecast same-store sales would
rise 0.6% to 0.8%.
—Suzanne Kapner
contributed to this article.
BUSINESS WATCH
MERCK
TENET HEALTHCARE
Drugmaker Cites
Cyberattack Costs
Hospital Operator
To Eliminate Jobs
Merck & Co. said a cyberattack over the summer caused
temporary production shutdowns and cut sales by at least
$135 million in the third quarter.
The June attack on major
companies around the globe disrupted Merck’s world-wide operations, including manufacturing,
research and sales. In addition to
the lost sales, Merck’s efforts to
fix the damage added $175 million in costs for the third quarter, finance chief Robert Davis
said on a conference call with
analysts. Merck expects a similar
impact to revenue and expenses
for the fourth quarter.
The company said it also had
to borrow doses of its Gardasil
9 vaccine from a U.S. Centers for
Disease Control and Prevention
pediatric vaccine stockpile to fulfill customer orders, because the
cyberattack caused a temporary
production shutdown. That cut
third-quarter sales by $240 million, but Merck will recognize
that revenue as it replenishes
the stockpile, expected in 2018.
Overall, sales fell 2% to
$10.33 billion. Still, the company
saw big results from its
Keytruda cancer drug, which got
an important Food and Drug Administration approval in May.
Sales of the drug increased to
$1.05 billion from $356 million.
The company posted a thirdquarter loss of $56 million, or 2
cents a share, compared with a
profit of $2.18 billion, or 78
cents a share, in the same quarter last year.
—Austen Hufford
and Peter Loftus
Tenet Healthcare Corp. expects to cut 1,300 jobs as part
of a new cost-cutting initiative.
The Dallas-based company,
which operates more than 500
hospitals and outpatient centers
in the U.S., said Friday it is eliminating a regional management
layer in its hospital operations
and other business and “streamlining corporate overhead and
centralized support functions.”
The company said the 1,300
job cuts include contractors.
Tenet, one of the largest forprofit hospital chains in the U.S.,
had more than 130,000 employees at the end of 2016, the bulk
of which were in hospital operations.
—Allison Prang
CANADIAN NATIONAL RAILWAY
Railroad Takes Step
To Ease Congestion
Canadian National Railway
Co. has struck a deal to interchange trains with Norfolk
Southern Corp. outside of the
key Chicago rail hub in a move
that will ease congestion, the
companies said Friday.
CN and Norfolk Southern are
among six major U.S. and Canadian railroads that converge in
Chicago to exchange railcars and
reassemble them onto new
trains. The hub is the busiest interchange in North America. It is
frequently cited by railroad executives as a congestion-heavy
pinch point that often leads to
delays.
—David George-Cosh
For personal non-commercial use only. Do not edit or alter. Reproductions not permitted.
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B4 | Saturday/Sunday, October 28 - 29, 2017
* ***
THE WALL STREET JOURNAL.
BUSINESS NEWS
Hackers are commandeering
the horsepower of unwitting
victims’ computers to secretly
generate cryptocurrencies, hoping to cash in as the price of
bitcoin has soared to $6,000.
New forms of malicious
software have mushroomed,
appearing on desktop computers attacked by such hackers.
They are also sneaking code
that generates digital currency
onto misconfigured cloud-computing servers and even on
websites, which have been reprogrammed so visiting browsers become unsuspecting digital-currency generators.
Digital currencies such as
bitcoin need a broad network
of computers to process transactions. To lure participants,
they pay off the computers
that join the network with
newly minted digital currency.
These computers are called
miners. At current rates, a typical personal computer can
generate about $3.40 a day in
bitcoin, according to data provided by BitMiner, an online
mining group.
In recent months, currencymining software has been
found on cloud-based internet
servers operated by the British
insurer Aviva PLC and Times
Publishing Co., owner of the
Tampa Bay Times, security
companies say.
Unwanted mining software
is also showing up more frequently on desktop computers,
security companies say. Starting last May, researchers at the
threat-intelligence firm Recorded Future Inc. saw offer-
Unwanted mining
software is showing
up more frequently on
desktop computers.
ings of such malware spike on
dark web forums, where they
typically sell for between $50
and $850. Recorded Future has
found 62 different types of
currency-mining malware for
sale.
“Most of this software was
offered for sale in the past
year,” said Andrei Barysevich,
a researcher at Recorded Future. “So criminals are definitely taking notice of a spike
in cryptocurrency values.”
The value of bitcoin, the
world’s most popular cryptocurrency, has jumped nearly
10-fold over the past year,
from just over $600 in October
2016 to more than $6,000 earlier this month. That has made
the mining software that performs the calculations required
to process transactions on the
bitcoin network much more
valuable. On Friday, the price
of bitcoin was about $5,700.
Hackers are continually
seeking new ways of converting the computers they hack
into cash. They have stolen online banking credentials,
rented out hacked machines to
spammers or online attackers,
and most recently have infected them with ransomware,
malicious software that renders computers unusable until
a ransom is paid.
Bitcoin isn’t the only digital
currency motivating hackers.
In recent weeks, software that
mines another digital currency,
Monero, was spotted on websites belonging to the Tampa
Bay Times’ PolitiFact factchecking website and CBS
Corp.’s Showtime Networks,
according to Troy Mursch, a
computer-security researcher.
Hackers were able to install
their script on the fact-checking website after discovering a
misconfigured cloud-computing server, said PolitiFact Executive Director Aaron Sharockman.
A Showtime spokeswoman
declined to comment.
Last month, hackers discovered Aviva computer consoles
that hadn’t been properly secured, according to RedLock
Inc., a seller of cloud-security
services. The Aviva team fixed
the issue after being notified
by RedLock and it “had no impact,” an Aviva spokesman
said.
After online preorders
opened, shipping
estimates quickly rose
to five-to-six weeks
BY TRIPP MICKLE
Apple Inc. opened advanced
sales for the iPhone X and
early orders pushed estimated
shipment dates into December,
at least twice the waits for
new models a year ago and an
early indication that demand is
outpacing supply for a product
Apple has had difficulties manufacturing.
After online preorders began in 50-plus countries at 3
a.m. ET on Friday, delivery estimates in the U.S., China, and
Japan quickly rose to five-tosix weeks from as little as one
week. The iPhone X officially
goes on sale on Friday when
some phones will be available
in retail stores.
By comparison, two days after the iPhone 7 and 7 Plus
went on sale last year in the
U.S., deliveries were projected
to be made in only one-tothree weeks, according to Loup
Ventures, a venture-capital
firm specializing in tech research. In 2014, the iPhone 6
was expected in a week or less
while the iPhone 6 Plus was
expected in three-to-four
weeks.
Brian White, an analyst
with Drexel Hamilton, said the
shipment delays showed the
iPhone X is “not a dud” but
added “we can’t look at that
and say, ‘Demand’s off the
charts,’ because we know
FREDERIC J. BROWN/AGENCE FRANCE-PRESSE/GETTY IMAGES
BY ROBERT MCMILLAN
Wait Time for iPhone X Got Longer
Ads for the iPhone X, which goes on sale Friday, cover the sides of buildings in Los Angeles.
there’s very limited capacity.”
The shipment projections
are being scrutinized because
they offer the first insight into
consumer appetite for one of
Apple’s most anticipated
launches. Investors have sent
Apple shares up about 35%
over the past year and pushed
the company’s market value
above $800 billion, largely on
a bet that new iPhones will deliver record sales.
Apple’s ability to deliver
largely rests on the iPhone X.
The iPhone 8 and 8 Plus—
which hit the market Sept. 22
and feature the same basic design as preceding models—
posted the weakest sales of
any of the company’s new
smartphones in recent years.
The iPhone X offers an edgeto-edge display and facial-recognition system that led Apple
to call it the smartphone of the
future.
For the iPhone X to succeed,
Apple must prove consumers
will pay $999 or more—the
highest starting price ever for
a major smartphone. The company also must overcome production issues that delayed
iPhone X manufacturing at
least a month over the summer. Production was later
slowed by an imbalance in
supply of key components for
its facial-recognition camera.
“The biggest risk for Apple
is the supply chain,” said Raj
Aggarwal, co-founder of Localytics, a mobile-engagement
firm. “Are they going to be
able to fill preorders for the
iPhone X? If they can, they’re
in good shape. If they can’t,
they’re going to miss some
numbers this year.”
Some buyers also experienced glitches in ordering Friday. In the U.S., some weren’t
able to log onto Apple’s store
to place orders for roughly 10
minutes after the advertised
start time. Some customers
world-wide later received reservation or confirmation numbers but no follow-up emails
regarding their orders.
Analysts expect Apple to
provide more clarity on both
supply and demand for the
iPhone X when it announces
earnings Thursday. More pre-
VW Profit Drops on Diesel Charge
BY WILLIAM BOSTON
BERLIN—Volkswagen AG
reported a steep drop in thirdquarter earnings Friday, as
Europe’s biggest car maker
grapples with the mounting
costs of its diesel-emissions
scandal.
The story of Volkswagen’s
earnings is like a tale of two
companies. When diesel-related costs are factored out,
the company is raking in record profits. But the bottom
line—what’s left for shareholders after all costs are stripped
out—is being eroded by the
scandal’s costs.
Volkswagen took a fresh
diesel-related charge of €2.6
billion ($3 billion) against
quarterly earnings, putting its
net income in the three
months to Sept. 30 at €1.06
billion, down from €2.28 billion a year earlier. The upshot:
investors’ earnings per share
plunged to €2.12 from €4.54 a
year earlier.
Investors shrugged off the
one-time hit to earnings and
focused instead on a 15% jump
in operating income before adjustments for the diesel charge
to €4.32 billion, from €3.75
billion a year earlier.
Volkswagen’s widely traded
preference shares closed up
4.13% at €151.25 on the Frankfurt stock exchange.
So far this year, the company has paid out €14.5 billion
in diesel-related costs and expects to shell out another €2.5
billion by the end of 2017,
Chief Finance Officer Frank
Witter said.
“The diesel issue is nowhere near an end and will
continue to necessitate great
efforts throughout the entire
group,” he added in a statement.
Revenue from Volkswagen’s
dozen brands that include luxury car maker Audi, sports
car maker Porsche, VW, Lamborghini, MAN and Scania
trucks and Ducati motorcycles
rose 5.8% to €55 billion from
€52 billion.
Encouraged by lower costs
and higher margins at its VW
brand, the company’s biggest
business by sales, Volkswagen
slightly raised its outlook for
operating income for the full
year, but noted challenges.
orders of the iPhone X than
the iPhone 8, which starts at
$699, would be encouraging
for investors, especially after
reports of weak iPhone 8 sales.
The iPhone X launch comes
as Apple aims to shore up its
position as the world’s secondlargest smartphone maker behind Samsung Electronics Co.
Competition from lower-priced
smartphones in China helped
reduce its share of the global
smartphone market to 14.5%
last year from 16.1% in 2015,
according to market research
by Strategy Analytics.
Despite that, analysts are
projecting strong iPhone sales
this year because consumer
loyalty is high and many consumers own older iPhones due
for an upgrade. About 95% of
iPhone owners who plan to
buy a new device say they will
buy another iPhone, according
to UBS, much higher than the
53% of Samsung customers
who say they plan to buy another device from the South
Korean phone maker.
It is unclear if iPhone loyalists who plan to upgrade will
choose an iPhone X, iPhone 8
or an older device. Some 40%
of consumers who plan to buy
a new device in the next six
months said they wanted to
see the iPhone X at a store before deciding what model to
buy, according to a survey by
Creative Strategies, a tech research firm. “A good portion of
buyers don’t have their mind
made up,” analyst Ben Bajarin
said.
—Yoko Kubota
and Takashi Mochizuki
contributed to this article.
Costly Scandal
A charge tied to its emissions
cheating weighed on
Volkswagen's third-quarter profit
The company said growth
in global auto markets is slowing. In western Europe, Volkswagen sales are up just 1.1% so
far in 2017, and 1.3% in China,
the company’s largest single
market.
As new car sales appear to
soften world-wide, the diesel
scandal continues to chip
away at the company’s profits.
“I don’t believe this will be
the last time they take a
charge,” said Frank Schwope,
an automotive analyst at German bank NordLB.
In the two years since U.S.
authorities disclosed that the
company had rigged diesel engines to cheat on emissions
tests, Volkswagen has taken
charges of around €25 billion
to pay for legal fees, penalties
€3 billion
2
1
0
–1
–2
2013
’14
’15
3Q
’16
’17
Source: the company
THE WALL STREET JOURNAL.
and fines, and compensation
for customers.
—Max Bernhard in Barcelona
contributed to this article.
Ford Adds Laser Maker to Driverless-Car Effort
BY TIM HIGGINS
Argo AI LLC, a driverlesscar developer controlled by
Ford Motor Co., has purchased a company that makes
laser systems needed to operate cars without human intervention, an important step for
a conventional Detroit auto
maker looking to boost its role
in shaping the industry’s
transformation.
Argo AI said Friday it is
buying Cranbury, N.J.-basedbased Princeton Lightwave
Inc. for an undisclosed price, a
move that provides Ford with
more immediate access to socalled lidar systems that use
lasers to create a 3-D view of
the world. The move comes on
the heels of the purchase of a
small lidar startup by General
Motors Co.’s Cruise Automation driverless car unit.
After spending decades
farming out an increasing
amount of work to independent suppliers, major auto
makers are taking a different
path when it comes to creating
autonomous-driving systems.
Lidar, for instance, is a system
that could come from a thirdparty supplier that may not
move at the speed that car
companies require.
“The component providers
are not moving fast enough,”
Bryan Salesky, Argo chief executive, said in an interview
ahead of the purchase announcement. “Because they’re
not moving fast enough we
feel like we need to take more
of a lead role in getting the
right sensor out there.”
Ford announced earlier this
year it acquired control of
Pittsburgh-based Argo AI,
committing to $1 billion in investment. The Dearborn,
Mich., auto maker aims to have
commercially viable driverless
spending an increasing amount
of resources on the project.
Lidar is a key component in
helping auto makers or tech
firms meet their autonomousvehicle targets. Many industry
have said it is difficult finding
a company to produce enough
of the devices.
Owning lidar development
in-house could allow the Argo
team to work more closely to
integrate its abilities into the
autonomous vehicle software.
It is a path forged by Google-
parent Alphabet’s self-driving
unit Waymo, which claims to
have lowered the cost of its lidar by 90%.
Princeton
Lightwave,
founded in 2000, has more
than 30 employees and already
sells sensors to clients in the
telecom and defense industries. The company’s website
says its lidar is capable of
identifying objects at 350
meters, or nearly a quarter of
a mile, traveling at 60 miles an
hour—an impressive distance
for the technology.
“I’m not just buying an idea
or some interesting [intellectual property] that may or
may not play out,” Mr. Salesky
said. “I’m really getting a very
knowledgeable team that
knows how to build these
products,”
Dozens of companies are
racing to develop lidar—which
stands for light detection and
ranging and works by bouncing lasers off objects to create
a 3-D view of the world—but
large-scale production hasn’t
kicked in yet.
Velodyne LiDAR Inc. in January opened a new factory in
San Jose, Calif., to ramp up
production with the aim of
making more than a million
sensors there next year.
Last year, Ford invested $75
million into Velodyne as part
of an effort to lower the cost
of the sensors to between
$300 and $500 a unit. The
first Velodyne sensor cost
$75,000, too much for mass
production on cars.
closed Friday.
The agency’s preliminary
evaluation covers roughly
841,000 cars. Officials haven’t
received reports of any crashes
or injuries, and Ford hasn’t
launched a recall.
“We are cooperating with
the agency, as we always do,” a
Ford spokeswoman said. “Customers with concerns should
contact their local dealer.”
One vehicle owner reported
that the steering wheel completely detached from the
steering column while attempting to turn into a gas station,
according to the agency’s report
opening the probe. Two other
complaints reported that the
bolt attaching the wheel to the
steering column loosened during operation and had to be retightened at a repair shop.
Investigators said they
planned to assess the scope, frequency and possible safety risks
arising from the alleged defect.
In the midst of delivering
hefty profits amid booming
truck sales, Ford has nonetheless been dogged by safety and
quality concerns. The auto
maker earlier this month recalled 1.3 million 2015-2017
F-150 pickup trucks and 2017
Super Duty trucks in North
America to address faulty door
latches. The recall is expected
to result in a $267 million hit to
Ford’s fourth-quarter profit.
Ford separately this month
also recalled some newer F-150
trucks to address gearshift problems. The trucks are the bestselling vehicles in the U.S. and
helped Ford earlier this week report a 63% surge in third-quarter
profit to $1.6 billion.
Still, Ford booked a $295
million charge in the first quarter stemming from fire risks in
some SUVs and vans, and faulty
door latches on some car models. In the second quarter, problems with the drive shaft in
transit vans cost $142 million.
Ford is separately offering
voluntary fixes to owners of 1.4
million late-model Explorer SUVs
to address complaints of exhaust
fumes leaking into vehicle cabins.
—Mike Spector
FORD
Hackers’
Next Act
Is Mining
Bitcoin
For Money
Ford’s Argo AI has bought a firm that makes laser systems needed to operate cars without intervention.
cars by 2021, and Ford Chief
Executive Jim Hackett has said
the company is studying the
best way to deploy the technology. On Thursday, Mr. Hackett suggested to analysts that
a test deployment in a market
may occur next year.
Ford is racing against a long
list of competitors in both the
auto and tech industries aiming to perfect driverless cars.
Along with GM, Toyota Motor
Co., Volkswagen AG and Alphabet Inc. are among those
Regulators Probe
Loose Ford Fusion
Steering Wheels
U.S. regulators are investigating complaints of loose
steering wheels in Ford Motor
Co.’s Fusion cars, the latest
batch of the auto maker’s vehicles to come under scrutiny for
safety concerns.
The National Highway Traffic Safety Administration
opened an investigation after
receiving three complaints of
steering-wheel fastening bolts
loosening in 2014-16 Fusion
midsize sedans, according to
government documents dis-
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THE WALL STREET JOURNAL.
NY
* * * *
Saturday/Sunday, October 28 - 29, 2017 | B5
WEEKEND INVESTOR
Fund manager Bill Miller,
who beat the stock market for
15 years in a row only to lose
55% in 2008, is bullish on bitcoin, the digital currency.
The former manager of the
Legg Mason Value Trust mutual fund, Mr. Miller now runs
his own investment firm,
Miller Value Partners LLC, in
Baltimore. Among its $2.3 billion in assets is a $154 million
hedge fund, MVP 1. The fund
is up 73% this year, Mr. Miller
said in an interview. It has
about 30% of its assets in bitcoin, he said, up from about
5% in 2016.
In his latest letter to the
hedge fund’s investors, released this past week, Mr.
Miller said the fund paid an
average price of about $350
for its bitcoin, which traded
on Friday above $5,700.
He isn’t buying more for
the fund at these prices, although he noted in an email
that if he didn’t already own
bitcoin in his personal account, he would be willing to
“put 1% of my liquid net
worth in it here.”
In the letter, Mr. Miller
pointed out that a “Murderers’ Row” of revered investors
have been declaring that bitcoin is overpriced or a “bubble,” including Berkshire
Hathaway Inc.’s Warren Buffett, James Dimon of J.P.
Morgan Chase & Co., Laurence Fink of BlackRock Inc.,
Bridgewater Associates LP’s
Ray Dalio and Howard Marks
of Oaktree Capital Management LP.
On the other hand, “my
view on bitcoin is that it is a
technological experiment that
may or may not prove to have
any long lasting value,” Mr.
Miller wrote in his letter.
“Bitcoin has a market capitalization greater than 90% of
the companies in the S&P
500, but it still might fail. I
don’t know and neither does
anyone else, no matter how
certain they are of their opinion.”
As of Friday, Bitcoin had a
total value in circulation of
about $96 billion, according
to coinmarketcap.com.
Added Mr. Miller, “I believe
there is still a nontrivial
chance bitcoin goes to zero,
but each day it does not, that
chance declines as more venture capital flows into the bitcoin ecosystem and more people become familiar with
bitcoin and buy it.”
Mr. Miller has some credibility when it comes to spotting value in assets that other
investors regard as overpriced. In the 1990s, he was
among the few value investors specializing in cheap
companies who dared to buy
hot technology stocks like
AOL and Amazon.com Inc.
On the other hand, his
Legg Mason Value Trust
racked up horrific results during the financial crisis with
big bets on American International Group Inc., Eastman
Kodak Co. and Freddie Mac.
DAVID PAUL MORRIS/BLOOMBERG NEWS
BY JASON ZWEIG
Bill Miller
BETTMANN ARCHIVE/GETTY IMAGES
A Value Investor
Identifies Some
Merit in Bitcoin
The scene in front of the New York Stock Exchange on Oct. 29, 1929, known as ‘Black Tuesday,’ when the Dow dropped 12%.
INVEST
Continued from page B1
strating mathematically that
the stock market was up to
25% overvalued by early 1929.
Mr. Fisher, then the most
eminent economist in the U.S.,
remains notorious for having
proclaimed in a speech in midOctober 1929 that stock prices
had reached “what looks like a
permanently high plateau.” In
his book on the crash, he declared that with hindsight, “it
is easy to appreciate” that
Karsten’s numbers foretold a
crash.
Karl G. Karsten, the statistician behind those forecasts,
wasn’t so sure.
In a book, “Scientific Forecasting,” published in 1931, Mr.
Karsten ripped his own prediction methods to shreds.
He had analyzed data back
to 1866, Mr. Karsten wrote,
but his forecasts had two fatal
flaws. First, the stock market’s
huge rise in the late 1920s
swamped everything that had
come before, blurring the
guideposts of the past. Second, market psychology was
“a potent factor and one which
no statistical series could be
found to reflect in advance.”
So Mr. Karsten renounced
the work that Mr. Fisher had
praised. And Mr. Karsten laced
his book with warnings about
placing excessive confidence
in any forecasts, including his
own.
Diving even deeper into the
data, however, he made discoveries that anticipated many
of the ideas behind hedge
funds and “smart beta,” or
mechanical strategies to earn
excess returns, that are so
popular today.
By 1928, Mr. Karsten was
investing based on his theories. He wasted two years trying to combine subjective
judgment with statistical analysis, but on Dec. 17, 1930, he
launched a small fund run
with real money and nothing
but math.
Under what Mr. Karsten
called “the hedge principle,”
his Demonstration Fund appears to have bought the three
biggest stocks in the industry
sector whose share prices had
been rising the most; at the
same time, it simultaneously
sold short, or bet against, the
rest of the stock market. The
fund rotated from one sector
to another based on whichever
had the best price momentum.
By June 3, 1931, Mr. Karsten
wrote, the Demonstration
Fund was up 78%, net of trading costs. The Dow fell 21%
over the same span.
Mr. Karsten warned, presciently, that techniques like
his couldn’t work if too many
people tried them. Such an investing approach, he wrote,
“can be used only by a limited
amount of capital when a very
much larger amount of capital
is ignorant of this system, and
willing to be exploited.”
Born in 1891, Mr. Karsten
entered college before his 16th
birthday, graduating from the
University of New Mexico in
1911. He was a Rhodes Scholar,
did graduate work at Columbia
University and, in 1917,
founded Karsten Statistical
Laboratory.
It isn’t easy to say what
happened to the Demonstration Fund. Walter Friedman, a
historian at Harvard Business
School who wrote about Mr.
Karsten in his 2014 book,
“Fortune Tellers: The Story of
America’s First Economic
Forecasters,”
says
Mr.
Karsten’s papers at the Library
of Congress are so moldy that
Mr. Friedman had to handle
them wearing special gloves
and a respiration hood. The
Demonstration Fund seems to
have dwindled by 1937, and
there doesn’t appear to be any
record of a fund after 1942.
Mr. Karsten also wrote an
unpublished novel, “Horse in a
Limousine,” about a future so
prosperous that even horses
would get to ride in chauffeurdriven vehicles. He died in
1968.
In the essay “Characteristics of Scientific Method,”
published the same year as
Mr. Karsten’s book on forecasting, the great philosopher
Bertrand Russell pointed out a
paradox. “All exact science is
dominated by the idea of approximation,” wrote Russell.
“It is characteristic of those
matters in which something is
known with exceptional accuracy that, in them, every observer admits that he is likely
to be wrong, and knows about
how much wrong he is likely
to be.”
If Mr. Karsten were here today, I think he would have two
warnings for investors.
When someone uses historical data to forecast a cataclysmic market crash with near
certainty, bear in mind that
the patterns of the past may
no longer hold. And remember
that trendy strategies like
smart beta are likely to work
best when most investors
doubt they will work at all.
B6 | Saturday/Sunday, October 28 - 29, 2017
NY
THE WALL STREET JOURNAL.
* ***
MUTUAL FUNDS
Explanatory Notes
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.
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.
Friday, October 27, 2017
Net YTD
Net YTD
Fund
NAV Chg %Ret Fund
NAV Chg %Ret Fund
TxExA p
27.2 WshA p
American Century Inv
44.38 +0.67
Ultra
American Funds Cl A
31.79 +0.36
AmcpA p
AMutlA p 41.12 +0.16
27.43 +0.21
BalA p
12.92 +0.02
BondA p
62.72 +0.16
CapIBA p
CapWGrA 51.98 +0.41
56.63 +0.15
EupacA p
63.41 +0.78
FdInvA p
51.26 +0.95
GwthA p
10.48 -0.01
HI TrA p
41.19 +0.41
ICAA p
23.42 +0.06
IncoA p
44.90 +0.48
N PerA p
46.94 +0.38
NEcoA p
NwWrldA 65.84 +0.40
56.14 +0.34
SmCpA p
18.5
13.3
12.2
3.1
11.5
20.4
28.2
18.7
21.9
6.7
15.0
10.5
27.1
30.6
28.0
22.1
Net YTD
NAV Chg %Ret
12.99
... 4.6 IntlVal
45.49 +0.27 15.3 IntSmCo
19.83 +0.05 21.1
21.33 +0.06 24.7
Baird Funds
23.31 +0.06 23.3
IntSmVa
AggBdInst 10.86 +0.02 3.6 US CoreEq1 22.06 +0.15 15.8
CorBdInst 11.22 +0.02 4.0 US CoreEq2 20.96 +0.11 13.9
BlackRock Funds A
36.66 +0.15 9.1
US Small
GlblAlloc p 20.25 +0.12 11.4 US SmCpVal 39.25 +0.08 5.4
BlackRock Funds Inst
US TgdVal 25.19 +0.07 5.8
23.09 +0.02 13.1 USLgVa
EqtyDivd
38.98 +0.11 12.7
20.37 +0.11 11.6 Dodge & Cox
GlblAlloc
7.85
... 7.6 Balanced
HiYldBd
109.23 +0.37 9.2
StratIncOpptyIns 9.98 +0.01 4.4 GblStock
13.95 +0.03 17.1
Bridge Builder Trust
13.81 +0.02 3.9
Income
10.17 +0.02 3.5 Intl Stk
CoreBond
46.40 -0.04 21.8
Dimensional Fds
202.28 +1.08 12.9
Stock
5GlbFxdInc 11.03 +0.02 2.3 DoubleLine Funds
EmgMktVa 30.32 +0.17 28.4 TotRetBdI 10.68 +0.01 3.4
EmMktCorEq 22.29 +0.11 30.3 Edgewood Growth Instituti
IntlCoreEq 14.13 +0.03 23.4 EdgewoodGrInst 29.31 +0.34 32.0
New Highs and Lows | WSJ.com/newhighs
Friday, October 27, 2017
Stock
52-Wk %
Sym Hi/Lo Chg Stock
ALE
Allete
AB
NYSE highs - 181 AllianceBernstein
AllisonTransm ALSN
Accenture
ACN
AdamsDivEquityFd ADX
AirProducts
APD
143.61 0.9 AllyFinancial
ALLY
15.64 1.4 Ameresco
AMRC
162.86 -0.3 AmericanExpress AXP
79.85
26.60
43.15
26.35
8.03
96.02
0.8
1.3
4.8
1.0
...
0.1
52-Wk %
Sym Hi/Lo Chg
AmRltyInv
ARL
AmerWaterWorks AWK
Ametek
AME
Anthem
ANTM
AristaNetworks ANET
AshlandGlobal ASH
10.05
88.20
69.42
212.00
196.68
68.72
6.0
0.2
-0.1
2.1
2.0
-0.3
Net YTD
NAV Chg %Ret Fund
Federated Instl
105.38 +1.12
MagIn
107.32 +2.33
StraValDivIS 6.38 -0.01 10.9 OTC
23.10 +0.20
Puritn
500IdxInst 90.33 +0.73 17.1 SrsEmrgMkt 21.20 +0.15
500IdxInstPrem 90.32 +0.72 17.1 SrsGroCoRetail 17.80 +0.34
500IdxPrem 90.32 +0.72 17.1 SrsIntlGrw 16.12 +0.09
10.79 +0.01
ExtMktIdxPrem r 62.79 +0.39 14.4 SrsIntlVal
IntlIdxPrem r 42.99 +0.10 21.8 TotalBond 10.65 +0.01
SAIUSLgCpIndxFd 13.85 +0.12 17.1 Fidelity Selects
TMktIdxF r 74.95 +0.58 16.7 Biotech r 219.44 +3.62
TMktIdxPrem 74.94 +0.58 16.6 First Eagle Funds
60.47 +0.27
USBdIdxInstPrem 11.58 +0.03 2.9 GlbA
Fidelity
Fidelity Advisor I
NwInsghtI 33.34 +0.45
Fidelity Freedom
16.66 +0.07
FF2020
14.42 +0.07
FF2025
18.06 +0.10
FF2030
Freedom2020 K 16.67 +0.08
Freedom2025 K 14.42 +0.07
Freedom2030 K 18.06 +0.09
Freedom2035 K 15.15 +0.08
Freedom2040 K 10.65 +0.07
Fidelity Invest
23.62 +0.14
Balanc
86.60 +1.67
BluCh
126.58 +2.30
Contra
126.58 +2.30
ContraK
10.30 +0.02
CpInc r
41.11 +0.14
DivIntl
181.25 +3.44
GroCo
GrowCoK 181.20 +3.44
7.91 +0.01
InvGB
11.26 +0.02
InvGrBd
52.70 -0.02
LowP r
LowPriStkK r 52.66 -0.02
FPA Funds
35.29 +0.03
24.8 FPACres
FrankTemp/Frank Adv
NA
...
12.9 IncomeAdv
13.9 FrankTemp/Franklin A
NA
...
16.3 CA TF A p
NA
...
NS Fed TF A p
NA
...
NS IncomeA p
NS RisDv A p 60.86 +0.23
NS FrankTemp/Franklin C
NA
...
NS Income C t
FrankTemp/Temp A
12.21
+0.03
GlBond
A
p
13.8
31.2 Growth A p 26.74 -0.02
29.4 FrankTemp/Temp Adv
29.5 GlBondAdv p 12.16 +0.03
10.6 Harbor Funds
23.5 CapApInst 74.77 +1.48
69.30 +0.05
32.5 IntlInst r
32.6 Harding Loevner
NA
...
3.3 IntlEq
3.7 Invesco Funds A
11.26 +0.02
15.0 EqIncA
15.1 John Hancock Class 1
52-Wk %
Sym Hi/Lo Chg Stock
Stock
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.
52-Wk %
Sym Hi/Lo Chg Stock
Net YTD
NAV Chg %Ret Fund
Fund
Data provided by
22.1
34.7
15.8
35.0
33.2
25.9
17.8
3.6
26.1
11.4
9.5
NA
NA
NA
NA
16.6
NA
4.1
13.5
4.2
32.0
18.6
NA
7.8
37.53
118.66
16.49
233.50
16.69
70.00
202.50
42.58
86.33
25.54
30.52
92.26
73.45
133.31
83.98
45.50
1.8
-0.6
4.3
9.8
2.8
0.2
1.6
13.2
0.5
1.2
2.6
0.9
3.3
0.8
1.1
2.5
Dividend announcements from October 27.
Symbol
Amount
Yld % New/Old Frq
Payable /
Record
Increased
1st Constitution Bancorp
BankFinancial
Cass Info Systems
Churchill Downs
CRA International
Delek Logistics Partners
Energy Transfer Partners
Evercore Cl A
FirstCash
Investors Bancorp
New Media Invt Group
NextEra Energy Partners
Noble Midstream Partners
Northfield Bancorp
SandRidge Miss Tr II
Selective Insurance Group
SLM Float. Rate pfd Ser B
Sonic
Sprague Resources
Standex Intl
UMB Financial
Westamerica Bancorp
FCCY
BFIN
CASS
CHDN
CRAI
DKL
ETP
EVR
FCFS
ISBC
NEWM
NEP
NBLX
NFBK
SDR
SIGI
SLMBP
SONC
SRLP
SXI
UMBF
WABC
1.3
1.9
1.5
0.7
1.6
9.5
13.3
2.0
1.2
2.6
9.5
4.0
3.7
2.3
15.5
1.2
4.5
2.5
9.6
0.7
1.5
2.7
.06 /.05
.08 /.07
.24 /.20909
1.52 /1.32
.17 /.14
.715 /.705
.565 /.55
.40 /.34
.20 /.19
.09 /.08
.37 /.35
.3925 /.38
.4665 /.4457
.10 /.08
.052 /.05
.18 /.16
.7637 /.75397
.16 /.14
.6225 /.6075
.18 /.16
.275 /.255
.40 /.39
Q
Q
Q
A
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Q
Nov24 /Nov16
Nov24 /Nov08
Dec15 /Dec05
Jan05 /Dec01
Dec15 /Nov28
Nov14 /Nov07
Nov14 /Nov07
Dec08 /Nov24
Nov30 /Nov13
Nov24 /Nov10
Nov16 /Nov08
Nov14 /Nov06
Nov13 /Nov06
Nov22 /Nov08
Nov24 /Nov10
Dec01 /Nov15
Dec15 /Dec05
Nov17 /Nov08
Nov13 /Nov06
Nov28 /Nov09
Jan02 /Dec08
Nov17 /Nov06
4.8 .56 /1.31 Q
9.1 .60 /.8875 Q
Nov10 /Nov06
Nov14 /Nov07
Reduced
Oaktree Capital Group
Suburban Propane
OAK
SPH
Company
Initial
.11
BJRI
Dec04 /Nov13
AdvisorSh Pac Asst Enh FR
AdvisorShares Newfleet
FLRT
MINC
3.1
2.5
.12954
.10303
M
M
Oct31 /Oct30
Oct31 /Oct30
HOLD
HYLD
CIK
CWAI
FCOR
FLTB
FBND
FWDB
RIV
RIV
RIV
1.6
7.3
7.9
2.2
2.6
1.8
2.5
3.5
12.1
12.1
12.1
.13039
.21878
.022
.04608
.109
.074
.105
.0767
.21
.21
.21
CASS
1.5
10.00%
GLOP
INFY
LAZ
MERC
QSR
SJR
SJR
SJR
STO
AUY
8.6
2.7
3.5
3.6
1.3
4.2
4.2
4.2
4.4
0.8
.5175
.19963
.41
.125
.21
.07808
.07808
.07808
.2201
.005
AMSF
1.2
3.50
M
M
M
M
M
M
M
M
M
M
M
Payable /
Record
Oct31 /Oct30
Oct31 /Oct30
Nov16 /Nov09
Oct31 /Oct30
Nov01 /Oct30
Nov01 /Oct30
Nov01 /Oct30
Oct31 /Oct30
Nov30 /Nov17
Dec28 /Dec15
Jan25 /Jan12
Stocks
Cass Info Systems
Dec15 /Dec05
Foreign
GasLog Partners
Infosys ADR
Lazard
Mercer International
Restaurant Brands Intl
Shaw Communications B
Shaw Communications B
Shaw Communications B
Statoil ADR
Yamana Gold
Q
SA
Q
Q
Q
M
M
M
Q
Q
Nov10 /Nov06
/Nov01
Nov17 /Nov06
Jan04 /Dec27
Jan03 /Dec15
Dec28 /Dec15
Jan30 /Jan15
Feb27 /Feb15
/Nov02
Jan12 /Dec29
Special
Dec28 /Dec14
Suspended
Mattel Inc
Funds and investment companies
Amount
Yld % New/Old Frq
Symbol
AdvisorShares Sage Core
AdvisorShs Peritus Hi Yd
Credit Suisse Income Fnd
CWA Income ETF
Fidelity Corporate Bd
Fidelity Limited Term Bd
Fidelity Total Bond ETF
Madrona Global Bond
Rivernorth Opps Fund
Rivernorth Opps Fund
Rivernorth Opps Fund
AMERISAFE
BJ's Restaurants
Net YTD
NAV Chg %Ret Fund
NA ParnEqFd
43.80 +0.10
NA PIMCO Fds Instl
NA
...
AllAsset
11.9 TotRt
10.26 +0.02
PIMCO Funds A
NA IncomeFd
NA
...
PIMCO Funds D
NA IncomeFd
NA
...
PIMCO Funds Instl
22.4 IncomeFd
NA
...
PIMCO Funds P
6.5 IncomeP
NA
...
Price Funds
2.1 BlChip
96.85 +2.09
29.72 +0.13
CapApp
2.4 EqInc
34.84 +0.03
69.36 +0.56
EqIndex
2.5 Growth
69.88 +1.30
2.8 HelSci
74.38 +0.95
2.8 InstlCapG
39.40 +0.83
19.18 +0.10
IntlStk
14.4 IntlValEq
15.25 +0.02
92.24 +0.28
MCapGro
24.8 MCapVal
31.01 +0.09
55.48 +0.38
N Horiz
8.4 N Inc
9.48 +0.02
OverS SF r 11.27 +0.02
11.7 R2020
23.16 +0.10
17.1 R2025
17.86 +0.09
27.3 R2030
26.32 +0.15
19.25 +0.12
R2035
15.5 R2040
27.65 +0.17
38.80 +0.12
Value
NA PRIMECAP Odyssey Fds
23.9 Growth r
35.41 +0.09
Principal Investors
52-Wk %
Sym Hi/Lo Chg Stock
Net YTD
NAV Chg %Ret Fund
NA
...
12.4 DivIntlInst
Prudential Cl Z & I
NA
...
NA TRBdZ
4.6 Schwab Funds
40.32 +0.33
S&P Sel
NA TIAA/CREF Funds
19.35 +0.15
EqIdxInst
NA IntlEqIdxInst 20.19 +0.06
Tweedy Browne Fds
28.36 -0.02
NA GblValue
VANGUARD ADMIRAL
238.50
+1.91
500Adml
NA
34.04 +0.19
BalAdml
11.81
...
33.4 CAITAdml
13.5 CapOpAdml r154.50 +0.77
37.02 +0.26
12.2 EMAdmr
16.9 EqIncAdml 76.42 +0.24
31.2 ExtndAdml 82.50 +0.52
25.9 GNMAAdml 10.49 +0.02
34.7 GrwthAdml 70.10 +0.97
25.4 HlthCareAdml r 89.13 -0.25
19.0 HYCorAdml r 5.97 -0.01
25.66 +0.08
22.4 InfProAd
6.7 IntlGrAdml 93.89 +0.81
11.40 +0.02
ITBondAdml
28.1
3.4 ITIGradeAdml 9.80 +0.02
24.3 LTGradeAdml 10.54 +0.05
13.5 MidCpAdml 184.90 +0.25
...
15.2 MuHYAdml 11.37
...
16.8 MuIntAdml 14.17
11.65
...
MuLTAdml
18.2
...
19.1 MuLtdAdml 10.97
...
15.3 MuShtAdml 15.79
PrmcpAdml r134.65 +0.99
116.67
+0.53
REITAdml
r
23.6
SmCapAdml 68.80 +0.44
52-Wk %
Sym Hi/Lo Chg Stock
MAT
Q
Dec15 /
KEY: A: annual; M: monthly; Q: quarterly; r: revised; SA: semiannual;
S2:1: stock split and ratio; SO: spin-off.
ADVERTISEMENT
NA STBondAdml 10.43
...
STIGradeAdml 10.68 +0.01
NA TotBdAdml 10.74 +0.02
TotIntBdIdxAdm 21.88 +0.04
17.1 TotIntlAdmIdx r 29.79 +0.12
TotStAdml 64.56 +0.50
16.6 TxMIn r
14.09 +0.05
22.0 ValAdml
39.93 +0.10
WdsrllAdml 69.21 +0.27
13.3 WellsIAdml 65.17 +0.19
WelltnAdml 73.73 +0.26
17.1 WndsrAdml 78.99 +0.04
11.1 VANGUARD FDS
4.7 DivdGro
26.31 -0.05
24.3 HlthCare r 211.26 -0.61
26.8 INSTTRF2020 22.48 +0.10
14.0 INSTTRF2025 22.74 +0.10
14.4 INSTTRF2030 22.93 +0.11
1.7 INSTTRF2035 23.13 +0.12
23.4 INSTTRF2040 23.32 +0.13
17.6 INSTTRF2045 23.47 +0.14
7.0 IntlVal
38.91 +0.04
1.6 LifeGro
33.07 +0.18
39.4 LifeMod
26.86 +0.12
3.6 PrmcpCor
26.76 +0.11
4.0 SelValu r
33.00 +0.12
8.4 STAR
27.07 +0.13
14.6 STIGrade
10.68 +0.01
6.6 TgtRe2015 15.89 +0.06
4.4 TgtRe2020 31.53 +0.13
5.4 TgtRe2025 18.48 +0.08
2.5 TgtRe2030 33.39 +0.16
1.4 TgtRe2035 20.51 +0.11
23.7 TgtRe2040 35.33 +0.20
2.6 TgtRe2045 22.19 +0.13
12.4 TgtRe2050 35.70 +0.21
52-Wk %
Sym Hi/Lo Chg Stock
74.38 0.9 Humana
DouglasDynamics PLOW 42.60 1.2 Fortive
FTV
HUM
80.64 3.5 GTT Comm
35.75 0.7 Huntsman
EMCOR
EME
GTT
HUN
94.96 2.2 GardnerDenver GDI
30.66 4.5 HyattHotels
EastmanChem EMN
H
14.42 1.3 GeoPark
9.71 6.0 IDACORP
EtnVncEqtyInco EOI
GPRK
IDA
10.82 3.6 GlobalPayments GPN 101.59 1.2 Ingevity
Ecopetrol
EC
NGVT
67.79 0.8 GoDaddy
EmersonElectric EMR
GDDY 46.55 1.7 InnovativeIndPfdA IIPRpA
47.75 2.0 Graco
EmployersHldgs EIG
GGG 134.11 -0.5 Insperity
NSP
21.05 2.7 GraniteConstr GVA
63.97 9.1 InvescoMtgPfdB IVRpB
Ennis
EBF
41.82 2.4 GraphicPkg
15.63 0.2 InvescoMtg7.5%PfdC IVRpC
FB Financial
FBK
GPK
32.76 1.1 InvestmentTech ITG
FedEx
FDX 231.35 0.6 GreatPlainsEner GXP
37.02 1.1 GrubHub
FidelityNatlFin FNF
GRUB 60.53 1.7 iStarPfdD
STARpD
96.67 0.7 Haemonetic
47.88 2.0 JELD-WEN
FidelityNtlInfo FIS
JELD
HAE
53.46 2.0 HawaiianElec HE
36.27 1.7 JPMorganWt JPM.WS
FirstAmerFin FAF
14.76 0.7 HeritageInsurance HRTG 16.64 -0.8 JapanSmlCap JOF
FirstCmwlthFin FCF
15.53 1.4 Hillenbrand
40.35 0.4 Kaman
FT EnhEquity FFA
HI
KAMN
64.85 2.5 DR Horton
44.40 0.7 Kemper
FirstCash
FCFS
DHI
KMPR
264.56
31.16
62.89
93.22
71.61
25.75
97.15
26.40
25.54
23.96
25.66
36.60
63.36
12.80
56.81
61.55
3.0
4.2
0.1
1.7
1.6
0.2
-0.5
1.0
0.9
1.5
0.4
0.2
-0.2
1.8
1.3
-0.1
1.3
2.2
2.9
1.8
23.3
16.7
22.4
12.3
12.1
7.9
11.4
15.0
14.0
17.5
11.6
13.1
14.4
15.6
17.0
17.5
22.6
15.7
12.3
20.6
14.7
15.1
2.1
9.5
11.6
13.0
14.3
15.6
16.9
17.5
17.5
Net YTD
NAV Chg %Ret
TgtRetInc
TotIntBdIxInv
WellsI
Welltn
WndsrII
13.55 +0.05
10.94 +0.02
26.90 +0.08
42.69 +0.15
39.00 +0.15
VANGUARD INDEX FDS
238.48 +1.91
500
ExtndIstPl 203.59 +1.30
SmValAdml 55.62 +0.22
10.71 +0.02
TotBd2
17.81 +0.07
TotIntl
64.53 +0.50
TotSt
VANGUARD INSTL FDS
34.04 +0.18
BalInst
DevMktsIndInst 14.11 +0.05
DevMktsInxInst 22.05 +0.07
82.50 +0.53
ExtndInst
GrwthInst 70.11 +0.98
10.45 +0.03
InPrSeIn
235.31 +1.89
InstIdx
235.32 +1.88
InstPlus
InstTStPlus 57.91 +0.45
MidCpInst 40.85 +0.06
MidCpIstPl 201.44 +0.27
SmCapInst 68.80 +0.44
STIGradeInst 10.68 +0.01
10.74 +0.02
TotBdInst
TotBdInst2 10.71 +0.02
TotBdInstPl 10.74 +0.02
TotIntBdIdxInst 32.83 +0.06
TotIntlInstIdx r119.14 +0.50
TotItlInstPlId r119.16 +0.50
64.57 +0.50
TotStInst
39.92 +0.09
ValueInst
Western Asset
...
CorePlusBdI NA
52-Wk %
Sym Hi/Lo Chg Stock
KeysightTechs KEYS
KoreaFund
KF
KornFerry
KFY
Kyocera
KYO
LCI Inds
LCII
Lennar B
LEN.B
MGIC Investment MTG
MI Homes
MHO
MVC Capital
MVC
Manpower
MAN
MarathonPetrol MPC
MarriottVacations VAC
Mastercard
MA
Materion
MTRN
MethodeElec MEI
MettlerToledo MTD
44.29
43.04
41.57
66.88
129.20
49.99
14.34
31.85
10.85
125.66
58.93
132.52
148.52
51.60
46.75
679.73
3.0
0.9
0.2
1.4
0.2
-0.5
2.0
1.4
2.8
0.5
2.1
0.1
1.3
6.1
1.0
1.7
7.0
1.7
7.9
11.3
12.1
17.0
14.4
8.3
3.0
23.2
16.6
11.0
22.5
22.4
14.4
23.4
1.6
17.1
17.1
16.6
14.7
14.7
12.4
2.2
3.0
3.0
3.0
1.8
23.3
23.4
16.7
12.2
NA
52-Wk %
Sym Hi/Lo Chg
MicroFocus
MFGP 34.06 0.9
MohawkIndustries MHK 268.46 0.5
MonmouthRealEst MNR 17.14 0.9
NatlPrestoInds NPK 115.25 1.0
17.89 4.9
NewResidInvt NRZ
NextEraEnergy NEE 156.80 1.6
43.05 0.4
NortelInversora NTL
27.14 2.2
NuvPfd2022Term JPT
76.50 1.5
ONE Gas
OGS
3.94 6.5
Och-Ziff
OZM
OnAssignment ASGN 60.44 1.2
20.25 7.5
Oppenheimer A OPY
65.52 1.9
OrmatTech
ORA
91.18 0.5
Oshkosh
OSK
Continued on Page B10
in that same company’s share price.
Investment-grade spreads that tightened the most…
Issuer
Symbol Coupon (%)
Royal Bank of Scotland
AT&T
PepsiCo
Unicredit Spa
RBS
T
PEP
UCGIM
7.500
5.350
2.150
5.861
Aug. 10, ’49
Nov. 1, ’66
Oct. 14, ’20
June 19, ’32
Allegion US Holding
Philip Morris International
CVS Health
Dell International
ALLE
PM
CVS
DELL
3.200
2.900
3.875
4.420
Oct. 1, ’24
Nov. 15, ’21
July 20, ’25
June 15, ’21
Maturity
Current
Spread*, in basis points
One-day change
196
–19
1910
–13
11 –11
264 –11
n.a.
30
104
81
–9
–9
–8
–7
Last week
Stock Performance
Close ($)
% chg
207
n.a.
n.a.
285
7.53
33.97
110.60
...
1.62
0.86
–0.12
...
100
44
87
91
…
105.94
68.99
...
…
–0.93
–5.89
...
–144
48
135
89
101.77
73.87
135.62
64.48
0.03
0.11
–5.52
–3.92
138
160
146
n.a.
68.99
123.79
…
...
–5.89
–15.99
…
...
…And spreads that widened the most
JPMorgan Chase
Citibank
McKesson
Walgreens Boots Alliance
JPM
C
MCK
WBA
7.900 April 30, ’49
2.125 Oct. 20, ’20
4.883 March 15, ’44
3.800 Nov. 18, ’24
–79
47
143
100
CVS Health
Expedia
Teva Pharmaceutical Finance Netherlands Iii
Toyota Motor Credit
CVS
EXPE
TEVA
TOYOTA
5.300
3.800
2.200
2.750
147
170
186
25
Dec. 5, ’43
Feb. 15, ’28
July 21, ’21
May 17, ’21
20
16
15
15
14
14
12
10
High-yield issues with the biggest price increases…
Bond Price as % of face value
Current
One-day change
Stock Performance
Close ($)
% chg
Issuer
Symbol
Coupon (%)
California Resources
Axalta Coating Systems
Kindred Healthcare
Windstream Services
CRC
AXTA
KND
WIN
8.000
4.875
8.750
6.375
Dec. 15, ’22
Aug. 15, ’24
Jan. 15, ’23
Aug. 1, ’23
65.250
104.750
98.900
74.500
2.31
1.96
1.40
1.25
63.500
104.000
n.a.
74.000
10.10
33.15
6.05
1.87
7.91
16.97
1.68
2.19
SM Energy
Ensco
Guitar Center
MEG Energy
SM
ESV
GTRC
MEGCN
6.750 Sept. 15, ’26
8.000 Jan. 31, ’24
6.500 April 15, ’19
6.375 Jan. 30, ’23
102.500
99.900
93.625
90.600
1.18
1.15
1.13
1.01
101.563
100.500
n.a.
89.500
19.19
5.21
...
...
7.33
3.99
...
...
96.750
n.a.
71.000
n.a.
3.12
...
...
9.65
–14.75
...
...
–2.53
94.750
92.000
85.750
93.750
...
...
…
…
Maturity
Last week
…And with the biggest price decreases
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Riverbed Technology
Intelsat Luxem
RR Donnelley & Sons
JCP
RVBD
INTEL
RRD
5.650
June 1, ’20
8.875 March 1, ’23
7.750
June 1, ’21
6.000
April 1, ’24
91.500 –5.50
88.250 –5.00
–3.75
63.000
–2.25
93.500
Staples
Surgery Center Holdings
Pride International
Endo Finance
SPLS
SURCEN
ESV
ENDP
8.500 Sept. 15, ’25
6.750
July 1, ’25
7.875 Aug. 15, ’40
7.250 Jan. 15, ’22
88.500
90.250
83.500
92.250
–2.25
–2.25
–2.00
–1.91
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AUCTION
!"#$% !$#& '$(
ETF
Friday, October 27, 2017
Closing Chg YTD
Symbol Price (%) (%)
AlerianMLPETF
CnsmrDiscSelSector
CnsStapleSelSector
DBGoldDoubleLgETN
DBGoldDoubleShrt
EnSelectSectorSPDR
FinSelSectorSPDR
GuggS&P500EW
HealthCareSelSect
IndSelSectorSPDR
iShIntermCredBd
iSh1-3YCreditBond
iSh3-7YTreasuryBd
AMLP 10.65
XLY 92.40
XLP
53.10
DGP 24.03
DZZ
5.63
XLE
67.34
XLF
26.78
RSP 96.87
XLV 82.14
XLI
72.32
CIU 109.86
CSJ 105.25
IEI
123.02
1.53 –15.5
1.62 13.5
2.7
–0.86
0.92 19.4
–1.06 –17.9
0.18 –10.6
–0.07 15.2
0.16 11.8
–0.02 19.1
0.04 16.2
1.5
0.14
0.3
0.10
0.4
0.19
ETF
ETF
Closing Chg YTD
Symbol Price (%) (%)
iShCoreMSCIEAFEETF
iShCoreMSCIEmgMk
iShCoreMSCITotInt
iShCoreS&P500ETF
iShCoreS&PMdCp
iShCoreS&PSmCpETF
iShS&PTotlUSStkMkt
iShCoreUSAggBd
iShSelectDividend
iShEdgeMSCIMinEAFE
iShEdgeMSCIMinUSA
iShGoldTr
iShiBoxx$InvGrCpBd
iShiBoxx$HYCpBd
IEFA
IEMG
IXUS
IVV
IJH
IJR
ITOT
AGG
DVY
EFAV
USMV
IAU
LQD
HYG
64.81
55.65
61.81
259.41
183.35
75.18
59.03
109.24
95.05
71.55
51.56
12.23
120.91
88.47
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© 2017 Dow Jones & Company, Inc.
All Rights Reserved.
...
...
…
…
*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
Largest 100 exchange-traded funds, latest session
Net YTD
NAV Chg %Ret Fund
Bonds | WSJ.com/bonds
Corporate Debt
Dividend Changes
Company
NA
...
LSBalncd
NA
...
LSGwth
John Hancock Instl
DispValMCI 24.02 +0.06
JPMorgan Funds
NA
...
MdCpVal L
JPMorgan R Class
NA
...
CoreBond
Lazard Instl
EmgMktEq 19.44 +0.09
Loomis Sayles Fds
14.12 -0.04
LSBondI
Lord Abbett A
...
ShtDurIncmA p 4.27
Lord Abbett F
...
ShtDurIncm 4.27
Metropolitan West
10.64 +0.02
TotRetBd
TotRetBdI 10.64 +0.02
TRBdPlan 10.01 +0.01
MFS Funds Class I
40.98 -0.10
ValueI
MFS Funds Instl
25.29 +0.11
IntlEq
Mutual Series
32.62 +0.06
GlbDiscA
Oakmark Funds Invest
33.97 -0.02
EqtyInc r
84.87 +0.56
Oakmark
OakmrkInt 28.90 -0.10
Old Westbury Fds
14.82 +0.09
LrgCpStr
Oppenheimer Y
NA
...
DevMktY
42.98 +0.14
IntGrowY
Parnassus Fds
52-Wk %
Sym Hi/Lo Chg Stock
14.51 ... Canon
AsiaPacificFund APB
CAJ
51.38 1.0 CharlesRiverLabs CRL
Avangrid
AGR
AveryDennison AVY 106.24 1.2 Chegg
CHGG
AxaltaCoating AXTA 34.47 17.0 Chemed
CHE
38.96 -0.1 ChinaLifeIns
BankofButterfield NTB
LFC
65.70 1.2 ChoiceHotels
BaxterIntl
BAX
CHH
15.97 0.6 Cigna
BlkRkCapEnIncoFd CII
CI
26.33 2.4 ComfortSystems FIX
BlkRkSci&Tech BST
21.83 0.6 ConEd
Box
BOX
ED
29.89 6.6 CostamarePfdB CMREpB
BoydGaming
BYD
85.97 1.0 Dana
BroadridgeFinl BR
DAN
17.25 1.5 Danaher
CBIZ
CBZ
DHR
30.29 1.1 DeckersOutdoor DECK
CSS Industries CSS
26.85 2.1 Deere
CTS
CTS
DE
CadenceBancorp CADE 24.25 3.2 DellTechnologies DVMT
40.60 1.2 Domtar
CalAtlantic
CAA
UFS
Net YTD
NAV Chg %Ret Fund
0.20
1.38
0.47
0.80
0.48
0.53
0.75
0.22
–0.04
0.46
0.45
0.41
0.30
0.27
20.8
31.1
22.4
15.3
10.9
9.3
15.1
1.1
7.3
16.9
14.0
10.4
3.2
2.2
Closing Chg YTD
Symbol Price (%) (%)
iShJPMUSDEmgBd
iShMBSETF
iShMSCIACWIETF
iShMSCIBrazilCap
iShMSCI EAFE
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
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
EMB
MBB
ACWI
EWZ
EFA
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
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
115.80
106.70
70.19
41.55
69.18
62.39
46.14
43.34
58.42
316.12
110.66
129.87
143.43
120.00
181.57
149.79
125.09
152.83
200.71
85.82
209.50
148.27
109.60
38.51
113.45
84.31
105.85
123.24
116.39
101.84
151.24
46.74
23.14
37.23
120.90
33.85
62.36
61.57
234.17
334.25
257.71
93.10
62.54
55.05
22.57
161.99
129.46
97.56
43.88
44.74
57.96
53.48
136.21
152.65
83.00
84.35
87.84
118.38
149.31
106.71
82.28
236.72
79.65
79.99
143.59
81.63
54.77
55.55
132.64
72.07
102.33
65.79
57.95
0.48
0.21
0.63
2.26
0.23
0.27
1.45
–0.21
0.76
0.68
0.02
1.55
0.78
0.03
0.84
0.69
0.55
0.80
0.28
0.28
0.56
1.58
–0.10
0.26
0.32
0.07
0.32
0.66
0.32
0.02
2.91
...
0.13
0.24
0.47
0.27
0.79
0.80
0.14
0.53
0.82
–0.34
2.69
0.62
0.62
2.55
0.42
0.17
0.39
1.22
–0.14
0.49
1.42
0.09
0.30
0.23
0.24
0.81
0.16
–0.20
0.45
0.85
0.06
0.10
0.62
0.22
0.07
0.40
0.81
0.53
0.24
0.35
0.47
5.1
0.3
18.6
24.6
19.8
25.2
31.8
25.3
19.6
19.1
2.3
23.8
15.2
7.1
17.9
11.1
5.2
14.9
12.2
6.7
15.0
21.7
8.1
3.5
0.2
–0.2
1.0
3.5
19.5
0.5
27.7
12.4
–0.9
2.1
10.3
22.3
15.1
15.6
18.6
10.8
15.3
8.8
29.3
13.3
7.9
33.3
7.0
14.5
20.1
25.0
20.9
21.1
22.2
20.4
9.5
1.5
2.5
15.6
13.4
9.8
–0.3
15.3
0.3
0.8
11.3
1.0
0.9
21.1
15.0
18.1
10.0
14.6
17.0
THE WALL STREET JOURNAL.
Saturday/Sunday, October 28 - 29, 2017 | B7
* * * *
COMMODITIES
Futures Contracts
Open
Open
Settle
Open
Chg interest
Copper-High (CMX)-25,000 lbs.; $ per lb.
Oct
Dec
3.1475
3.1785
3.1475
3.1795
3.0740
3.0730
3.0935 –0.0740
328
3.1035 –0.0740 172,252
Gold (CMX)-100 troy oz.; $ per troy oz.
Oct
1268.40 1268.40
1267.10 1268.50
2.20
Dec
1268.00 1275.20
1263.80 1271.80
2.20
Feb'18
1272.20 1279.00
1268.10 1276.00
2.20
April
1275.30 1282.10
1272.00 1279.80
2.10
June
1279.20 1286.80
1276.00 1283.70
2.10
Dec
1291.90 1298.20
1290.10 1295.90
1.90
Palladium (NYM) - 50 troy oz.; $ per troy oz.
Oct
985.00
985.00 s t 985.00
959.35 –9.85
Dec
966.20
967.20
956.35
958.25 –9.85
March'18 957.50 958.00
949.00
950.65 –9.45
June
948.70
948.70 s
946.60
945.20 –9.60
Platinum (NYM)-50 troy oz.; $ per troy oz.
920.20
920.20
920.20
910.60 –7.60
Oct
Jan'18
920.40
924.00
912.90
914.60 –7.50
Silver (CMX)-5,000 troy oz.; $ per troy oz.
Oct
16.890
16.945
16.890
16.702 –0.062
Dec
16.800
16.870
16.600
16.752 –0.059
Crude Oil, Light Sweet (NYM)-1,000 bbls.; $ per bbl.
Dec
52.80
54.20
52.25
53.90
1.26
Jan'18
53.01
54.36
52.46
54.09
1.23
Feb
53.13
54.45
52.60
54.18
1.18
March
53.21
54.47
52.69
54.21
1.11
June
53.14
54.22
52.66
54.01
0.95
Dec
52.16
53.07
51.79
52.89
0.71
NY Harbor ULSD (NYM)-42,000 gal.; $ per gal.
Nov
1.8419
1.8775 s
1.8315
1.8669 .0250
Dec
1.8482
1.8773 s
1.8301
1.8662 .0254
Gasoline-NY RBOB (NYM)-42,000 gal.; $ per gal.
Nov
1.7529
1.7757 s
1.7347
1.7686 .0180
Dec
1.7025
1.7238 s
1.6843
1.7174 .0157
Natural Gas (NYM)-10,000 MMBtu.; $ per MMBtu.
Nov
2.899
2.899
t
2.723
2.752 –.138
Dec
3.052
3.054
t
2.946
2.964 –.087
Jan'18
3.174
3.177
t
3.084
3.102 –.073
Feb
3.178
3.180
t
3.091
3.107 –.071
March
3.139
3.139
t
3.057
3.069 –.070
April
2.955
2.955
2.896
2.903 –.050
86
387,969
79,708
16,443
13,672
10,355
1
29,298
3,990
85
5
69,941
38
140,716
600,132
305,126
133,665
242,665
197,502
263,828
21,573
127,135
25,557
155,714
5,740
284,884
205,239
85,029
172,713
128,977
Agriculture Futures
Corn (CBT)-5,000 bu.; cents per bu.
Dec
March'18
350.25
364.25
350.25
364.25
347.50
361.50
348.75
362.50
Settle
Chg
Oats (CBT)-5,000 bu.; cents per bu.
Dec
267.00
267.00
262.00
265.25
March'18 265.75 269.00
264.00
268.50
Soybeans (CBT)-5,000 bu.; cents per bu.
Nov
971.00
976.50
969.75
975.25
Jan'18
982.25
988.00
981.00
986.50
Soybean Meal (CBT)-100 tons; $ per ton.
Dec
312.10
313.50
311.50
312.10
Jan'18
314.10
315.50
313.60
314.10
Soybean Oil (CBT)-60,000 lbs.; cents per lb.
Dec
34.50
34.90
34.35
34.84
Jan'18
34.66
35.06
34.51
35.01
Rough Rice (CBT)-2,000 cwt.; $ per cwt.
Nov
1153.50 1170.00
1132.50 1155.00
Jan'18
1179.00 1197.00
1162.00 1184.50
Wheat (CBT)-5,000 bu.; cents per bu.
Dec
430.50
431.25
424.75
427.25
March'18 449.00 449.25
t 442.50
445.25
Wheat (KC)-5,000 bu.; cents per bu.
427.75
428.00
422.75
425.25
Dec
March'18 445.50 445.50
440.50
443.00
Wheat (MPLS)-5,000 bu.; cents per bu.
Dec
620.25
620.50
615.25
617.00
March'18 632.00 632.25
627.00
628.50
Cattle-Feeder (CME)-50,000 lbs.; cents per lb.
Nov
157.650 157.900
155.525 156.475
Jan'18
156.325 156.775
154.875 155.950
Cattle-Live (CME)-40,000 lbs.; cents per lb.
Oct
114.450 115.500
114.025 115.375
Dec
120.850 121.625
119.800 120.825
Hogs-Lean (CME)-40,000 lbs.; cents per lb.
Dec
65.000
65.150
63.675
64.450
Feb'18
70.475
70.500
69.375
70.250
Lumber (CME)-110,000 bd. ft., $ per 1,000 bd. ft.
Nov
442.10
450.90 s
440.80
450.90
Jan'18
437.00
445.30 s
435.10
444.20
Milk (CME)-200,000 lbs., cents per lb.
Oct
16.70
16.71
16.70
16.71
Nov
16.34
16.43
16.24
16.42
Cocoa (ICE-US)-10 metric tons; $ per ton.
Dec
2,125
2,125
2,092
2,115
March'18
2,118
2,118
2,084
2,104
Coffee (ICE-US)-37,500 lbs.; cents per lb.
Dec
124.00
127.50
123.70
126.60
March'18 127.70 130.95
127.35
130.15
Sugar-World (ICE-US)-112,000 lbs.; cents per lb.
March
14.04
14.70
14.03
14.63
May
14.14
14.73
14.14
14.67
Sugar-Domestic (ICE-US)-112,000 lbs.; cents per lb.
March
27.20
27.29
27.20
27.09
Metal & Petroleum Futures
Contract
High hi lo
Low
Contract
High hilo
Low
–1.75 761,979
–2.00 324,264
Open
interest
May
2.75
3.00
5,111
1,951
4.00 127,750
4.00 293,386
.34 155,294
.35 93,727
6.00
6.00
2,539
6,884
–4.50 269,507
–5.00 114,589
–3.00 148,875
–3.00 87,877
–3.50
–4.00
–.700
–.150
35,461
24,899
12,713
25,249
1.225
1,392
.125 140,047
–.600 110,491
–.275 55,075
10.00
8.90
.01
.13
2,111
4,102
3,800
4,637
–12 92,881
–15 105,596
2.05 119,703
2.00 65,163
.52 431,456
.45 131,791
l
1.619
2.464
1.478
2.311
0.888
1.853
1.887 s
2.785 s
l
1.873
1.959
1.709
28.7
l
2.765
2.798
2.333
36.2
France 2 -0.602 t
10 0.663 t
l
-0.560
-0.498
l
0.712
0.764
Germany 2 -0.763 t
10 0.386 t
l
-0.744
-0.700
l
0.418
Italy 2 -0.192 t
10 1.944 t
l
l
10
2.750
0.000
2.750
0.500
0.050
2.050
0.100
0.100
2.750
1.450
-0.574 -220.1
0.468
-176.0
25.4
82.1
30.1
48.0
-217.9
-146.2
-175.2
-138.5
-236.2
-151.1
0.470
-0.623 -236.3
0.172 -203.7
-204.6
-168.1
-0.181
-0.084
-0.059
-179.2
-179.9
-94.6
1.963
2.155
1.534
-47.9
-50.1
-31.9
l
-0.147
-0.125
-113.9
0.068
0.053
-175.3
-0.050 -235.5
-176.6
l
-239.6
-190.3
Spain 2 -0.338 s
10 1.583 s
l
-0.343
-0.315
-0.165
-193.8
-196.2
-105.3
l
1.563
1.639
1.223
-84.0
-90.1
-63.0
0.462 t
1.352 t
l
0.481
0.463
0.290
-113.8
-113.8
-59.7
l
1.387
1.384
1.153
-107.1
-107.7
-70.0
U.K. 2
4.250
10
-0.252
Source: Tullett Prebon
Borrowing Benchmarks | WSJ.com/bonds
Money Rates
Week
Latest ago
Inflation
Chg From (%)
Aug. '17 Sept. '16
U.S. consumer price index
0.53
0.19
246.819
252.941
All items
Core
2.2
1.7
International rates
Latest
Week
ago
52-Week
High
Low
Prime rates
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
Policy Rates
Euro zone
Switzerland
0.00
0.50
0.00
0.50
0.00
0.50
0.00
0.50
0.25
1.50
Britain
Australia
0.25
1.50
Open
interest
Chg
27.09
.03
1,604
68.49
68.19
68.49
68.21
67.80
67.69
68.20
68.11
.01 112,332
.05 77,731
Orange Juice (ICE-US)-15,000 lbs.; cents per lb.
Nov
Jan'18
155.00
154.45
156.80
155.30
154.45
152.45
155.55
153.85
1.85
.25
647
5,899
Interest Rate Futures
Treasury Bonds (CBT)-$100,000; pts 32nds of 100%
Dec
150-170 151-180
150-100 151-060
15.0 746,156
March'18 149-150 150-110
149-070 150-010
15.0
3,666
Treasury Notes (CBT)-$100,000; pts 32nds of 100%
Dec
124-095 124-240
124-065 124-190
7.0 3,233,349
March'18 124-000 124-120
123-270 124-075
7.5 17,266
5 Yr. Treasury Notes (CBT)-$100,000; pts 32nds of 100%
Dec
116-272 117-032
116-252 117-010
4.2 3,106,268
March'18 116-197 116-247
116-177 116-250
4.2 15,997
2 Yr. Treasury Notes (CBT)-$200,000; pts 32nds of 100%
Dec
107-202 107-227
107-192 107-217
1.2 1,672,511
March'18 107-160 107-165
107-160 107-160
1.2
6,415
30 Day Federal Funds (CBT)-$5,000,000; 100 - daily avg.
98.848
98.848
98.845
98.845
… 233,855
Oct
Jan'18
98.630
98.635
t 98.620
98.630
… 346,627
10 Yr. Del. Int. Rate Swaps (CBT)-$100,000; pts 32nds of 100%
100.109 100.531
100.063 100.406
.250 28,894
Dec
1 Month Libor (CME)-$3,000,000; pts of 100%
...
...
... 98.7500 –.0025
928
Nov
Eurodollar (CME)-$1,000,000; pts of 100%
98.5825 98.5850
98.5825 98.5825 –.0025 100,318
Nov
Dec
98.4850 98.4900
98.4800 98.4850
… 1,763,117
March'18 98.3400 98.3550
98.3300 98.3500 .0100 1,282,140
Dec
98.0350 98.0800
98.0200 98.0550 .0200 1,593,882
Currency Futures
Japanese Yen (CME)-¥12,500,000; $ per 100¥
Nov
Dec
.8769
.8790
Nov
Dec
.7784
.7786
t
.8805
.8820
.8745
.8756
.8794
.8807
Canadian Dollar (CME)-CAD 100,000; $ per CAD
t
.7798
.7811
.7744
.7745
.7784
.7786
.0014
3,048
.0014 272,140
Contract
High hilo
Low
Open
Settle
British Pound (CME)-£62,500; $ per £
Nov
Dec
1.3130
1.3171
Dec
March'18
1.0056
1.0125
1.3143
1.3172
1.3081
1.3088
1.3129 –.0034
1,180
1.3141 –.0034 177,227
Swiss Franc (CME)-CHF 125,000; $ per CHF
1.0061
1.0125
t
t
.9993
1.0063
t
.7625
.7621
.7621
.7621
.7623
.7619
1.0045 –.0012
1.0113 –.0013
Australian Dollar (CME)-AUD 100,000; $ per AUD
Nov
Dec
Jan'18
Feb
March
June
.7649
.7656
.7645
.7659
.7654
.7636
March
.05065
Nov
Dec
1.1654
1.1684
.7670
.7675
.7666
.7664
.7667
.7657
t
t
Open
interest
Chg
.7665
.7662
.7661
.7659
.7657
.7653
67,254
157
…
1,115
… 132,390
…
412
…
612
…
769
.0001
244
Mexican Peso (CME)-MXN 500,000; $ per MXN
.05110
Euro (CME)-€125,000; $ per €
t
1.1655
1.1686
.05053
.05096 .00017
632
1.1583
1.1604
1.1608 –.0062
5,514
1.1629 –.0061 428,029
Index Futures
Mini DJ Industrial Average (CBT)-$5 x index
Dec
March'18
23408 s
23390 s
23297
23292
2580.50 s
2557.80
23356
23341
S&P 500 Index (CME)-$250 x index
Dec
2559.00
23372
23363
2578.40
Mini S&P 500 (CME)-$50 x index
2561.50 2580.75 s
2557.50 2578.50
Dec
March'18 2562.00 2580.75 s 2558.00 2578.50
Mini S&P Midcap 400 (CME)-$100 x index
1828.00 1839.30 s
1822.20 1837.60
Dec
Mini Nasdaq 100 (CME)-$20 x index
6092.0
6225.8 s
6078.8
6215.3
Dec
March'18 6102.5 6238.3 s
6092.3
6228.0
Mini Russell 2000 (ICE-US)-$100 x index
1499.20 1509.40
1492.40 1508.50
Dec
Mini Russell 1000 (ICE-US)-$100 x index
1421.60 1429.30 s
1420.70 1428.20
Dec
U.S. Dollar Index (ICE-US)-$1,000 x index
94.66
95.06
94.63
94.82
Dec
March'18
94.39
94.73
94.35
94.52
.0001
1,131
.0001 163,564
23 160,013
24
1,606
16.80
59,191
17.00 3,113,436
16.75 59,377
8.80
92,677
130.5 281,049
130.0
1,313
9.00
64,825
8.60
211
.31
.31
50,046
2,112
Source: SIX Financial Information
Cash Prices | WSJ.com/commodities
Friday, October 27, 2017
These prices reflect buying and selling of a variety of actual or “physical” commodities in the marketplace—
separate from the futures price on an exchange, which reflects what the commodity might be worth in future
months.
Friday
16.7200
12704
(U.S.$ equivalent)
Coins,wholesale $1,000 face-a
Energy
0.9885
1.0609
2.780
2.750
2.290
2.560
2.530
0.680
2.710
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
*927.0
Platinum,Engelhard industrial
920.0
Platinum,Engelhard fabricated
1020.0
Palladium,Engelhard industrial
977.0
Palladium,Engelhard fabricated
1077.0
Aluminum, LME, $ per metric ton
*2175.0
Copper,Comex spot
3.0935
Iron Ore, 62% Fe CFR China-s
58.7
Shredded Scrap, US Midwest-s,w
286
Steel, HRC USA, FOB Midwest Mill-s
n.a.
Fibers and Textiles
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
1270.81
1366.12
1266.45
1405.76
*1278.00
*1273.75
1322.05
1334.76
1334.76
1540.69
1249.03
1334.76
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.
Grains and Feeds
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
16.6800
20.0160
16.7200
20.9000
£12.7600
Engelhard industrial
Engelhard fabricated
Handy & Harman base
Handy & Harman fabricated
LBMA spot price
0.6100
0.6770
*80.10
n.a.
n.a.
n.a.
71
3.1550
80.4
470.2
233
88
223
2.9525
372.00
24.00
7.7900
Friday
308.60
9.3300
7.6200
4.2200
3.5725
5.2513
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
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
178.54
168.03
0.8481
2.3025
170.50
174.50
75.00
2344
1.2319
1.4267
0.8850
15.20
n.a.
68.59
n.a.
0.9349
n.a.
160.75
Fats and Oils
34.5500
0.2300
0.3600
0.3347
0.2500
0.3100
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
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 10/26
Source: WSJ Market Data Group
ADVERTISEMENT
October 27, 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.
Sept. index
level
27.20
Metals
Japan 2 -0.153 t
10 0.069 s
1.750
Dec
March'18
2,710
Spread Under/Over U.S. Treasurys, in basis points
Latest
Prev
Year ago
l
Australia 2
0.000
Year ago
U.S. 2 1.600 t
10 2.423 t
1.500
2.250
2.750
Month ago
27.29
Settle
Friday
.09
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
Yield (%)
Latest(l) 0 20 40 60 80 100 120 Previous
27.20
Contract
High hilo
Low
Cotton (ICE-US)-50,000 lbs.; cents per lb.
… 134,290
–.10 93,406
Bonds | WSJ.com/bonds
Global Government Bonds: Mapping Yields
Country/
Coupon (%) Maturity, in years
Open
WSJ.com/commodities
Showroom
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BOATING
FERRARI
—52-WEEK—
High Low
0.25
1.50
0.25
1.50
Secondary market
"
# $ %
& Fannie Mae
30-year mortgage yields
30 days
3.554 3.472 3.865 3.031
60 days
3.587 3.494 3.899 3.063
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
( )#*
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$# , 0 A Week in the Life of the DJIA
A look at how the Dow Jones Industrial Average component stocks
did in the past week and how much each moved the index. The DJIA
gained 105.56 points, or 0.45%, on the week. A $1 change in the price
of any DJIA stock = 6.89-point change in the average. To date, a
$1,000 investment on Dec. 31 in each current DJIA stock component
would have returned $35,726, or a gain of 19.09%, on the $30,000
investment, including reinvested dividends.
# " ( '
" "
" '
)
'
The Week’s Action
Pct Stock price Point chg
chg (%) change in average* Company
$1,000 Invested(year-end '16)
Symbol Close
$1,000
9.82
6.34
6.06
5.47
4.91
3.97
5.00
13.42
2.90
6.45
27.34
34.43
92.40
19.97
44.41
Intel
Microsoft
3M
Nike
Caterpillar
INTC $44.40
MSFT 83.81
MMM 234.74
NKE 55.96
CAT 137.81
$1,251
1,372
1,339
1,112
4.35
4.02
2.46
2.39
2.27
6.80
3.70
5.11
3.91
2.26
46.82
25.48
35.18
26.92
15.56
Apple
AAPL
American Express AXP
UnitedHealth Group UNH
Home Depot
HD
J.P. Morgan Chase JPM
163.05
95.79
212.60
167.34
101.77
1,425
1,314
1,344
1,270
2.01
1.91
0.83
0.72
0.53
2.16
1.36
0.73
0.60
0.18
14.87
9.36
5.03
4.13
1.24
Visa
DowDuPont
Wal-Mart Stores
Exxon Mobil
Cisco Systems
V 109.71
DWDP 72.54
WMT 88.17
XOM 83.71
CSCO 34.43
1,414
1,295
1,302
954
–0.44
–0.55
–0.67
–1.10
–1.23
–0.62
–0.91
–0.31
–1.09
–3.02
–4.27
–6.27
–2.13
–7.51
–20.79
Johnson & Johnson JNJ 141.78
McDonald’s
MCD 165.39
Coca-Cola
KO
46.07
Walt Disney
DIS
98.31
Goldman Sachs
GS 241.71
1,255
1,385
1,139
950
–1.33
–1.37
–1.54
–1.70
–2.25
–0.66
–1.21
–1.86
–2.26
–0.82
–4.54
–8.33
–12.81
–15.56
–5.65
Verizon
Procter & Gamble
United Technologies
Travelers
Pfizer
VZ
48.87
PG
87.04
UTX 119.07
TRV 131.06
PFE 35.60
960
1,068
1,105
1,090
–3.13
–4.30
–5.18
–8.83
–12.76
–8.29
–5.10
–8.39
–5.64
–3.04
–57.08
–35.12
–57.77
–38.83
–20.93
Boeing
Chevron
IBM
Merck
General Electric
BA 256.46
CVX 113.54
IBM 153.68
MRK 58.24
GE
20.79
1,685
994
952
1,011
1,530
1,206
1,180
1,019
*Based on Composite price. DJIA is calculated on primary-market price.
Source: WSJ Market Data Group; FactSet.
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© 2017 Dow Jones & Company, Inc. All Rights Reserved.
© 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
B8 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
MARKETS DIGEST
EQUITIES
Dow Jones Industrial Average
S&P 500 Index
Last Year ago
23434.19 s 33.33, or 0.14%
High, low, open and close for each
trading day of the past three months.
Trailing P/E ratio 21.23 19.85
P/E estimate *
19.54 17.19
Dividend yield
2.19
2.59
All-time high 23441.76, 10/24/17
Nasdaq Composite Index
Last
2581.07 s 20.67, or 0.81%
High, low, open and close for each
trading day of the past three months.
Year ago
Trailing P/E ratio 24.16 24.31
P/E estimate *
19.49 18.02
Dividend yield
1.92
2.16
All-time high: 2581.07, 10/27/17
Last Year ago
6701.26 s 144.49, or 2.20%
High, low, open and close for each
trading day of the past three months.
Trailing P/E ratio * 26.00
24.09
P/E estimate *
21.55
19.35
Dividend yield
1.07
1.21
All-time high: 6701.26, 10/27/17
Current divisor 0.14523396877348
23500
2570
6700
23000
2540
6600
22500
2510
6500
22000
2480
6400
2450
6300
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
65-day moving average
65-day moving average
Session low
20500
July
Aug.
6200
2420
Sept.
Oct.
6100
2390
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
Transportation Avg
23449.40 23353.16 23434.19
33.33
0.14
23441.76 17888.28
29.0
18.6
9931.89
9878.07
9931.65
50.19
0.51
10038.13
8008.38
23.9
9.8
4.8
754.02
745.07
751.62
5.01
0.67
754.80
625.44
13.5
13.9
8.9
26754.76 26572.93 26743.96 206.13
691.58
684.99
3.65
691.56
0.78
26743.96 21514.15
691.56
521.59
21.9
30.0
14.9
14.9
9.5
10.3
Utility Average
Total Stock Market
Barron's 400
Nasdaq Stock Market
Nasdaq Composite
6708.13
Nasdaq 100
6223.51
Standard & Poor's
500 Index
2582.98
6625.78
6129.79
0.53
6701.26 144.49
6213.47 175.60
2565.94
2581.07
20.67
2.20
2.91
6701.26
6213.47
0.81
2581.07
MidCap 400
SmallCap 600
1839.12
916.46
1823.92
907.28
1839.12
916.43
9.85
5.21
0.54
0.57
1839.12
918.72
Other Indexes
Russell 2000
1508.32
1493.49
1508.32
10.86
0.73
1512.09
5046.37
4660.46
29.1
29.3
2085.18
11.7
24.5
27.8
14.3
15.4
21.4
15.3
1476.68
703.64
22.6
27.5
10.8
9.4
10.1
12.4
1156.89
27.0
11.1
10.5
9.6
Late Trading
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
Most-active issues in late trading
Company
12366.70 12308.36 12366.43
14.01
0.11
18.0
11.8
5.5
543.46
539.46
543.46
1.43
0.26
545.98
455.65
16.8
7.4
4.5
4120.99
4057.75
4116.16
35.14
0.86
4304.77
2834.14
38.8
33.9
7.9
Value Line
NYSE Arca Biotech
12430.52 10289.35
Volume
(000)
Symbol
11,771.7
Last
Net chg
iShares Russell 2000 ETF IWM
6,294.0 149.69
-0.10
-0.07 149.90 148.79
Chesapeake Energy
CHK
4,368.3
3.75
-0.02
-0.53
3.77
3.62
Bank of America
BAC
4,297.6
27.76
-0.04
-0.14
27.81
27.74
PwrShrs QQQ Tr Series 1 QQQ
2,906.7 151.02
-0.22
AT&T
T
2,349.0
33.97
…
unch.
34.00
33.88
Twitter
TWTR
2,222.5
21.70
0.02
0.09
21.74
21.28
Intel
INTC
2,054.5
44.50
0.10
0.23
44.66
43.66
SOHU
26.8
61.12
2.81
4.82
62.00
58.31
AMAG Pharmaceuticals AMAG
36.6
15.85
0.50
3.28
15.85
15.35
TUES
8.2
3.25
0.10
3.17
3.25
3.05
Halozyme Therapeutics HALO
51.4
17.69
0.50
2.91
17.69
17.18
Eagle Pharmaceuticals EGRX
26.6
57.20
1.55
2.79
57.20
55.64
OraSure Technologies OSUR
11.4
19.90
-1.38
-6.48
21.28
19.22
Superior Energy Svcs
SPN
95.2
7.86
-0.43
-5.14
8.29
7.86
LPI
22.0
10.95
-0.53
-4.62
11.48
10.95
23.97
-0.86
-3.46
23.97
23.97
Tuesday Morning
536.89
537.49
-2.57
560.52
463.78
12.4
11.6
1.0
101.66
0.27
0.26
102.23
73.36
37.1
11.4
PHLX§ Gold/Silver
102.23
13.7
81.91
80.66
0.48
0.59
96.72
73.03
-3.8
3.4
PHLX§ Oil Service
81.57
3.0
128.68
125.49
128.32
0.71
0.56
192.66
117.79
-16.5
-30.2 -18.5
Laredo Petroleum
1264.66
11.12
1239.98
9.74
1263.55
9.80
802.88 54.3
9.19 -39.5
39.4 27.2
-30.2 -15.1
EatonVance TxAdv Opport ETO
10.0
CoStar Group
83.5 289.25 -10.13
2.14
Philadelphia Stock Exchange
Region/Country Index
Close
CSGP
Percentage Gainers...
Latest
% chg
Net chg
YTD
% chg
2962.88
383.72
257.79
6.47
1.85
0.52
0.22
0.49
0.20
17.0
17.7
20.5
Americas
Brazil
Canada
Mexico
Chile
DJ Americas
620.85
Sao Paulo Bovespa 75975.71
S&P/TSX Comp
15953.51
S&P/BMV IPC
49209.58
Santiago IPSA
4187.05
4.58
79.36
61.88
222.74
…
0.74
0.10
0.39
0.45
Closed
14.9
26.1
4.4
7.8
29.9
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
0.55
2.16
0.33
1.29
0.06
2.46
0.71
38.73
0.64
84.26
Closed
…
–142.39 –0.62
0.32
1.77
0.04
0.43
–150.30 –1.45
0.60
3.56
–0.18
–16.66
0.25
18.53
8.9
13.0
13.5
13.0
15.1
–2.2
17.8
13.7
–2.9
9.0
11.4
11.7
5.1
Asia-Pacific
Australia
China
Hong Kong
India
Japan
Singapore
South Korea
Taiwan
S&P/ASX 200
5903.20
Shanghai Composite 3416.81
Hang Seng
28438.85
S&P BSE Sensex
33157.22
Nikkei Stock Avg
22008.45
Straits Times
3386.44
Kospi
2496.63
Weighted
10709.11
The Global Dow
DJ Global Index
DJ Global ex U.S.
393.43
395.79
4092.16
5494.13
13217.54
1438.18
22665.03
549.44
1118.62
10197.50
595.29
9183.42
7505.03
–13.10
9.25
236.47
10.09
268.67
30.19
16.00
–25.65
–0.22
0.27
0.84
0.03
1.24
0.90
0.64
–0.24
4.2
10.1
29.3
24.5
15.1
17.6
23.2
15.7
Company
Symbol
Shineco
Data I/O Corp
ShiftPixy
FARO Technologies
Newater Technology
TYHT
First Solar
GAIN Capital Holdings
Planet Payment
Axalta Coating Systems
Tivity Health
FSLR
Align Technology
Forescout Technologies
Molecular Templates
Heidrick Struggles Intl
Mindbody
ALGN
52-Week
Low
% chg
High
Selected rates
A consumer rate against its
benchmark over the past year
5-year CDs
2.00%
1.50
0.50
t
0.00
N D J F M A M J J A SO
2016 2017
EverBank
Jacksonville, FL
2.35%
855-228-6755
Synchrony Bank
Morristown, NJ
2.35%
800-903-8154
Goldman Sachs Bank USA
2.40%
New York, NY
855-730-7283
Popular Direct
NY, NY
2.40%
800-274-5696
Versartis Inc.
Town Sports Intl Hldgs
TransEnterix
Expedia
LeMaitre Vascular
VSAR
235.94 32.96
25.50 3.50
MTEM
8.24 1.11
HSII
24.75 3.30
MB
32.65 4.30
16.24
15.91
15.57
15.38
15.17
239.83 83.30
...
...
11.88 3.85
27.10 17.37
34.11 19.00
177.0
...
86.3
41.0
61.6
World Fuel Services
JC Penney
Social Reality Cl A
Liberty Expedia Cl A
Vince Holding
INT
PLPM
AXTA
TVTY
FSCT
Advanced Micro Devices
General Electric
JC Penney
Intel
SPDR S&P 500
AMD
Microsoft
Mattel Inc
Twitter
PwrShrs QQQ Tr Series 1
Finl Select Sector SPDR
MSFT
GE
JCP
INTC
SPY
MAT
TWTR
QQQ
XLF
Interest rate
Federal-funds rate target
1.00-1.25 1.00-1.25
Prime rate*
4.25
4.25
Libor, 3-month
1.36
1.38
Money market, annual yield
0.32
0.32
Five-year CD, annual yield
1.46
1.47
30-year mortgage, fixed†
3.90
3.99
15-year mortgage, fixed†
3.22
3.28
Jumbo mortgages, $424,100-plus† 4.36
4.39
Five-year adj mortgage (ARM)† 3.52
3.43
New-car loan, 48-month
3.07
3.02
HELOC, $30,000
5.20
5.19
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
3.61
l
2.85
l
4.23
l
3.13
l
2.85
l
4.57
1.25
4.25
1.38
0.36
1.47
4.33
3.50
4.88
4.03
3.36
5.30
1.00
1.00
1.15
-0.10
-0.04
-0.03
0.11
0.08
-0.02
-0.20
0.75
Volume % chg from Latest Session
(000) 65-day avg Close % chg
52-Week
High
Low
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
30.47
3.12
SRAX
3.86
LEXEA 46.15
VNCE
3.68
JCP
Symbol
First Bancshares
First South Bancorp
Exela Technologies
Tocagen
GTY Technology Hldgs Cl A
FBMS
69,692
66,355
61,348
57,214
54,989
283.3
681.3
344.6
91.1
9.1
83.81 6.41
14.00 -8.91
21.68 6.75
151.24 2.91
26.78 -0.07
86.20 57.28
32.48 12.71
21.96 14.12
151.52 113.45
26.92 19.40
Origo Acquisition
Data I/O Corp
Gigamon Inc.
FT Horizon Mgd Vol Dev
MediciNova
OACQ
0
–5
0.75
–10
0.00
30
WSJ
.COM
TOCA
GTYH
DAIO
GIMO
HDMV
MNOV
413
815
1,004
1,909
324
2566
2532
2017
1950
1767
31.60
19.92
5.38
10.34
9.95
4.12
2.26
1.32
12.03
0.00
31.75 21.50
20.37 9.23
10.15 4.37
17.95 8.60
13.00 9.75
106
1,698
11,823
125
1,316
1680
1676
1522
1513
1434
10.65
11.98
38.70
33.31
7.21
0.00
26.11
7.05
-0.15
13.54
11.65 10.10
12.14 3.85
61.25 28.50
33.81 27.44
7.85 4.40
U.S.-dollar foreign-exchange rates in late New York trading
10%
1.50
XELA
52-Week
High
Low
Currencies
Yen, euro vs. dollar; dollar vs.
major U.S. trading partners
2.25
FSBK
Volume % chg from Latest Session
(000) 65-day avg Close % chg
* Common stocks priced at $5 a share or more with an average volume over 65 trading days of at least
5,000 shares =Has traded fewer than 65 days
Forex Race
WSJ Dollar
s index
5
-5.43
-0.54
-0.64
-7.60
-0.59
52-Week
Low
% chg
Ranked by change from 65-day average*
Company
s
Euro
s
Yen
–15
Country/currency
in US$
US$vs,
YTDchg
Fri
per US$ (%)
Americas
Argentina peso
.0568 17.6040
Brazil real
.3090 3.2363
Canada dollar
.7813 1.2800
Chile peso
.001574 635.40
Colombia peso
.0003321 3010.83
Ecuador US dollar
1
1
Mexico peso
.0523 19.1359
Peru new sol
.3082 3.245
Uruguay peso
.03398 29.4300
Venezuela b. fuerte .099486 10.0517
10.9
–0.6
–4.8
–5.1
0.3
unch
–7.7
–3.2
0.3
0.6
Asia-Pacific
2016 2017
Corporate Borrowing Rates and Yields
Yield (%)
Last Week ago
52-Week
High
Low
Total Return (%)
52-wk
3-yr
1452.404
2.168
2.137
2.237
1.482 –1.482 1.683
10-yr Treasury, Ryan ALM 1721.753
DJ Corporate
378.761
Aggregate, Barclays Capital 1933.680
High Yield 100, Merrill Lynch
n.a.
Fixed-Rate MBS, Barclays 1980.860
Muni Master, Merrill
n.a.
2.426
3.067
2.650
n.a.
2.950
n.a.
2.381
3.047
2.610
5.072
2.880
1.912
2.609
3.390
2.790
n.a.
3.120
n.a.
1.783
2.730
2.100
n.a.
2.270
n.a.
1.612
2.763
0.677
n.a.
0.327
n.a.
802.811
5.496
5.442
6.290
5.279
5.542 5.707
1.433
3.725
2.195
n.a.
1.960
n.a.
Sources: J.P. Morgan; Ryan ALM; S&P Dow Jones Indices; Barclays Capital; Merrill Lynch
Australian dollar
.7678 1.3024
China yuan
.1504 6.6507
Hong Kong dollar
.1281 7.8035
India rupee
.01541 64.885
Indonesia rupiah .0000735 13598
Japan yen
.008797 113.67
Kazakhstan tenge .002989 334.56
Macau pataca
.1243 8.0469
Malaysia ringgit
.2358 4.2415
New Zealand dollar
.6876 1.4543
Pakistan rupee
.00949 105.350
Philippines peso
.0194 51.678
Singapore dollar
.7325 1.3651
South Korea won .0008881 1125.97
Sri Lanka rupee
.0065125 153.55
Taiwan dollar
.03317 30.152
Track the Markets
Compare the performance of selected global stock
indexes, bond ETFs, currencies and commodities at
WSJ.com/TrackTheMarkets
–6.2
–4.2
0.6
–4.5
0.5
–2.8
0.3
1.6
–5.5
0.7
0.9
4.2
–5.7
–6.8
3.4
–7.1
Country/currency
in US$
US$vs,
YTDchg
Fri
per US$ (%)
.03009 33.230 –7.2
.00004403 22710 –0.3
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
.04531 22.069 –14.1
.1560 6.4101 –9.3
1.1610 .8614 –9.4
.003740 267.41 –9.1
.009480 105.49 –6.6
.1228 8.1465 –5.8
.2733 3.6591 –12.6
.01723 58.028 –5.3
.1195 8.3667 –8.1
1.0027 .9973 –2.1
.2640 3.7885 7.5
.0372 26.8550 –0.8
1.3127 .7618 –6.0
Middle East/Africa
Bahrain dinar
Egypt pound
Israel shekel
Kuwait dinar
Oman sul rial
Qatar rial
Saudi Arabia riyal
South Africa rand
2.6521 .3771 –0.03
.0566 17.6535 –2.6
.2828 3.5355 –8.1
3.3047 .3026 –1.0
2.5987 .3848 –0.04
.2647 3.777 3.8
.2666 3.7505 –0.01
.0709 14.1122 3.1
Close Net Chg % Chg YTD%Chg
WSJ Dollar Index 87.78 –0.001–0.001 –5.55
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
CLUB
15.65
6.22
32.38 20.64
10.74
2.76
45.00 33.23
257.89 208.38
One year ago
EMBI Global, J.P. Morgan
LYL
11.84 -1.37
20.79 -2.49
3.12 -14.75
44.40 7.38
257.71 0.82
3.75%
Treasury, Ryan ALM
TORM
110.1
94.8
469.7
296.5
34.0
3.00
Close
CLSN
115,090
96,735
93,304
87,932
84,085
* Volumes of 100,000 shares or more are rounded to the nearest thousand
Bond total return index
EFII
Volume Movers
Sources: Ryan ALM; Tullett Prebon; WSJ Market Data Group
Yield/Rate (%)
Last (l)Week ago
-23.9
-63.2
-44.0
...
-93.0
41.9
47.6
34.2
32.4
85.9
GCAP
1 2 3 5 710
years
maturity
47.49 29.63
10.74 2.76
7.00 1.11
58.20 35.96
55.00 2.80
58.97 25.56
8.75 4.54
4.64 2.75
34.47 24.44
47.20 19.25
Symbol
1
3 6
month(s)
-15.13
-14.75
-14.22
-14.14
-13.82
20.35
19.71
17.02
16.97
16.58
Company
Friday
-84.5
118.9
57.0
-6.0
44.9
9.75
1.21
0.65
4.81
6.55
Most Active Stocks
t
1.00
2.35%
888-720-8756
24.00 1.90
7.15 2.10
5.00 0.45
161.00 111.88
39.88 19.82
57.67
7.35
4.47
33.15
46.05
1.47%
Barclays
Wilmington, DE
1.90 -0.40 -17.39
5.80 -1.20 -17.14
TRXC
2.37 -0.49 -17.13
EXPE 123.79 -23.56 -15.99
LMAT 31.26 -5.94 -15.97
PETZ
notes and bonds
Bankrate.com avg†:
...
-29.9
-84.1
20.6
...
TDH Holdings
Electronics for Imaging
Celsion
Tor Minerals Intl
Dragon Victory Intl
t
U.S. consumer rates
31.75 6.02
51.15 25.54
15.26 1.24
8.40 5.00
14.99 7.39
-25.7
192.2
...
37.2
...
NEWA
* 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.
15.70 -12.36 -44.05
29.75 -12.38 -29.39
2.31 -0.55 -19.23
6.15 -1.46 -19.13
9.10 -1.97 -17.80
6.33 1.72
12.14 3.85
11.64 2.13
47.90 29.00
13.95 7.32
FARO
NYSE Arca
High
Symbol
30.94
26.11
25.69
21.87
21.07
PIXY
Nasdaq
Total volume*2,385,626,374 262,288,890
Adv. volume*1,418,638,362 189,935,646
Decl. volume* 940,817,122 70,303,011
Issues traded
3,036
1,296
Advances
1,825
908
Declines
1,072
372
Unchanged
139
16
New highs
197
176
New lows
76
34
Closing tick
386
99
Closing Arms†
1.13
1.04
Block trades*
8,928
1,455
Latest Session
Close Net chg % chg
Company
0.86
2.48
0.65
8.30
2.37
Benchmark
Yields
Treasury
yield
curve
andtoRates
Yield
maturity of current bills,
Consumer Rates and Returns to Investor
Federal-funds
target rate
-3.38 299.38 289.25
3.64
11.98
3.18
46.25
13.62
DAIO
CREDIT MARKETS & CURRENCIES
t
-0.15 151.37 150.91
Percentage Losers
Latest Session
Close Net chg % chg
Sources: SIX Financial Information; WSJ Market Data Group
Five-year CD yields
22.46
Sources: SIX Financial Information; WSJ Market Data Group
International Stock Indexes
World
1263.55
22.51
22.60
...And losers
542.19
102.43
26.52
-1.50 -13.27
0.13
Percentage gainers…
NYSE Arca Pharma
PHLX§ Semiconductor
CBOE Volatility
Low
0.03
KBW Bank
-0.48
After Hours
% chg
High
22.60
VanEck Vectors Gold Miner GDX
Sohu.com
NYSE Composite
NYSE NYSE Amer.
Total volume* 891,442,781 12,559,072
Adv. volume* 524,657,793 6,316,347
Decl. volume* 357,835,654 5,560,665
Issues traded
3,054
328
Advances
1,824
180
Declines
1,111
129
Unchanged
119
19
New highs
181
3
New lows
79
4
Closing tick
290
57
Closing Arms†
1.22
1.09
Block trades*
7,086
123
TR/CC CRB Index
Crude oil, $ per barrel
Natural gas, $/MMBtu
Gold, $ per troy oz.
598.78
186.89
53.90
2.752
1268.50
-0.003 -0.0005
0.96
1.26
-0.138
2.20
600.13
527.06
0.51 195.14
54.45
2.39
3.93
-4.78
0.17 1346.00
166.50
42.53
2.56
1127.80
% Chg
10.38
YTD
% chg
5.56
-1.22 -2.92
0.34
10.68
-11.37 -26.10
-0.55 10.30
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 28 - 29, 2017 | B9
* * * *
BIGGEST 1,000 STOCKS
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 27, 2017
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
NYSE
ABB 3.0 24 25.36 -0.07
20.36 25.83 20.26 ABB
AES 4.5 dd 10.78 -0.08
-7.23 12.47 10.60 AES
AFL 2.1 12 83.94 0.31
20.60 85.70 66.50 Aflac
T 5.8 16 33.97 0.29
-20.13 43.03 33.33 AT&T
44.16 56.69 37.38 AbbottLabs ABT 1.9 43 55.37 -0.11
ABBV 2.8 23 91.93 2.37
46.81 98.26 55.06 AbbVie
s 22.33 143.61 112.31 Accenture ACN 1.9 26 143.28 1.31
-31.26 261.43 153.28 AcuityBrands AYI 0.3 21 158.69 -0.52
ADNT 1.3 dd 84.20 0.57
43.69 86.42 39.66 Adient
-51.56 177.83 81.31 AdvanceAuto AAP 0.3 16 81.93 -3.72
25.40 6.70 4.89 AdvSemiEngg ASX 3.6 15 6.32 0.09
AEG 5.2 17 5.85 -0.09
5.79 6.13 4.22 Aegon
AER ... 9 52.43 -0.19
26.00 53.19 40.35 AerCap
39.60 184.98 104.59 Aetna
AET 1.2 38 173.12 -5.48
31.23 198.40 130.48 AffiliatedMgrs AMG 0.4 21 190.68 -0.31
49.19 68.52 42.92 AgilentTechs A 0.8 35 67.97 0.26
8.14 53.17 35.05 AgnicoEagle AEM 1.0 39 45.42 -0.03
AGU 3.3 26 107.31 -1.09
6.72 111.88 87.82 Agrium
s 11.86 162.86 131.12 AirProducts APD 2.4 29 160.88 -0.51
t-24.96 101.43 64.77 AlaskaAir ALK 1.8 11 66.58 1.20
61.57 141.40 76.32 Albemarle ALB 0.9 32 139.08 0.04
AA ... 31 47.91 -1.24
70.62 50.31 20.76 Alcoa
9.93 124.49 101.73 AlexandriaRealEst ARE 2.8306 122.16 0.43
BABA ... 61 176.15 5.83
100.60 184.70 86.01 Alibaba
... 18 567.27 -4.17
-6.72 667.19 510.52 Alleghany Y
25.45 89.81 62.65 Allegion
ALLE 0.8 31 80.29 -0.41
AGN 1.6 6 178.82 2.49
-14.85 256.80 174.66 Allergan
1.46 266.25 198.06 AllianceData ADS 0.9 25 231.83 -0.76
s 12.15 26.60 20.40 AllianceBernstein AB 7.8 12 26.30 0.35
15.47 43.97 34.88 AlliantEnergy LNT 2.9 26 43.75 0.37
s 27.46 43.15 28.29 AllisonTransm ALSN 1.4 24 42.94 1.97
ALL 1.6 14 93.73 -0.23
26.46 95.25 66.55 Allstate
s 38.17 26.35 16.68 AllyFinancial ALLY 1.8 12 26.28 0.26
t-27.58 35.29 22.74 AlticeUSA ATUS ... ... 23.69 -0.19
MO 4.1 8 64.92 -0.87
-3.99 77.79 60.01 Altria
98.53 23.54 9.23 AlumofChina ACH ... 76 20.27 -1.07
ABEV ... 27 6.39 0.07
30.14 7.03 4.70 Ambev
AEE 3.0 22 61.80 0.42
17.80 61.96 46.97 Ameren
35.88 19.50 11.02 AmericaMovil AMX 2.0 23 17.08 -0.21
36.91 19.11 10.83 AmericaMovil A AMOV 2.0 23 16.84 -0.36
AEP 3.4 52 74.02 0.26
17.57 74.90 57.89 AEP
s 29.31 96.02 65.03 AmericanExpress AXP 1.5 18 95.79 0.10
19.24 106.52 73.38 AmericanFin AFG 1.3 12 105.07 -0.40
AIG 2.0 dd 64.55 -0.30
-1.16 67.47 57.35 AIG
31.56 148.71 99.72 AmerTowerREIT AMT 1.9 56 139.03 0.58
s 21.16 88.20 69.41 AmerWaterWorks AWK 1.9 33 87.67 0.18
-6.09 50.00 42.00 Amerigas APU 8.4129 45.00 0.21
44.78 163.04 86.25 Ameriprise AMP 2.1 15 160.62 -2.18
-2.31 97.85 68.38 AmerisourceBrgn ABC 1.9 20 76.38 -2.39
s 42.37 69.42 43.98 Ametek
AME 0.5 30 69.19 -0.04
28.87 88.19 64.73 Amphenol APH 0.9 28 86.60 1.10
-30.00 73.33 39.96 AnadarkoPetrol APC 0.4 dd 48.81 1.12
20.91 107.71 75.11 Andeavor ANDV 2.2 38 105.74 0.99
BUD 3.7 60 119.69 -0.72
13.51 126.50 98.28 AB InBev
16.45 12.73 9.83 AnnalyCap NLY 10.3 4 11.61 0.11
-20.72 27.85 17.89 AnteroResources AR ...375 18.75 0.61
s 47.00 212.00 114.85 Anthem
ANTM 1.3 19 211.34 4.43
AON 1.0 37 146.18 -5.03
31.07 152.78 107.50 Aon
APA 2.5 dd 40.74 1.15
-35.81 69.00 38.14 Apache
-2.38 46.85 39.66 ApartmtInv AIV 3.2246 44.37 1.02
66.68 32.85 17.65 ApolloGlobalMgmt APO 6.4 13 32.27 0.31
18.58 36.27 28.03 AquaAmerica WTR 2.3 27 35.62 0.15
ARMK 0.9 32 43.63 0.33
22.14 43.81 32.73 Aramark
33.01 30.50 18.84 ArcelorMittal MT ... 4 29.13 -0.27
-5.65 47.88 40.22 ArcherDaniels ADM 3.0 18 43.07 0.06
ARNC 1.0 dd 24.61 0.02
32.74 30.69 16.75 Arconic
s102.18 196.68 79.05 AristaNetworks ANET ... 51 195.65 3.82
17.49 84.53 58.52 ArrowElec ARW ... 15 83.77 -0.19
22.58 35.60 25.55 AstraZeneca AZN 2.7 24 33.49 -0.04
ATH ... 8 53.24 -0.01
10.94 55.22 43.25 Athene
17.72 89.00 68.51 AtmosEnergy ATO 2.1 24 87.29 0.93
125.28 67.69 22.07 Autohome ATHM ... 37 56.95 1.04
ALV 1.9 21 124.15 0.70
9.72 127.75 93.31 Autoliv
-26.16 813.70 491.13 AutoZone AZO ... 13 583.17 -7.72
2.54 199.52 158.32 Avalonbay AVB 3.1 25 181.65 0.99
s 34.74 51.38 35.42 Avangrid
AGR 3.4 23 51.04 0.53
s 51.11 106.24 68.55 AveryDennison AVY 1.7 24 106.11 1.25
s 21.88 34.47 24.44 AxaltaCoating AXTA ...138 33.15 4.81
BBT 2.7 18 48.74 0.12
3.66 49.88 38.23 BB&T
BCE 5.0 19 46.43 0.22
7.38 48.27 41.83 BCE
13.64 44.62 33.37 BHPBilliton BHP 4.2 18 40.66 -0.22
14.34 39.12 28.73 BHPBilliton BBL 4.8 16 35.97 -0.15
BP 6.1 36 39.10 0.45
4.60 39.48 32.53 BP
BRFS ... dd 13.85 0.43
-6.17 17.21 10.60 BRF
t-24.01 24.65 17.46 BT Group BT 7.8 17 17.50 -0.22
51.21 61.88 36.16 BWX Tech BWXT 0.7 32 60.03 -0.18
t-15.97 40.82 29.62 BakerHughes BHGE 2.2 dd 31.30 1.36
BLL 0.9 84 42.77 0.04
13.95 43.12 35.65 Ball
22.90 9.35 6.04 BancoBilbaoViz BBVA 5.1 13 8.32 -0.28
32.65 95.80 64.92 BancodeChile BCH 2.8 18 91.03 0.28
105.13 136.10 61.12 BancoMacro BMA 0.6 18 132.00 -2.65
40.83 31.61 21.06 BcoSantChile BSAC 3.4 18 30.80 -0.06
26.06 6.99 4.40 BancoSantander SAN 2.9 13 6.53 -0.21
7.88 48.74 31.98 BanColombia CIB 3.2 9 39.57 -3.00
25.79 27.98 16.28 BankofAmerica BAC 1.7 16 27.80 0.06
8.45 78.86 62.32 BankofMontreal BMO 3.7 13 78.00 0.19
10.05 55.29 42.73 BankNY Mellon BK 1.8 15 52.14 -0.08
16.00 65.07 51.21 BkNovaScotia BNS 3.9 13 64.59 0.31
-12.55 12.05 8.87 Barclays
BCS 2.2 dd 9.62 0.17
BCR 0.3 43 328.09 0.01
46.04 330.31 203.63 Bard CR
-8.14 20.78 13.80 BarrickGold ABX 0.8 8 14.68 0.17
s 48.13 65.70 43.13 BaxterIntl BAX 1.0 35 65.68 0.75
26.91 214.72 161.29 BectonDickinson BDX 1.4 60 210.10 0.26
WRB 0.8 16 69.56 -1.01
4.59 73.17 55.92 Berkley
15.35 285950 213680 BerkHathwy A BRK.A ... 21 281600 -1210.00
15.71 190.68 142.35 BerkHathwy B BRK.B ... 21 188.59 -0.02
23.83 60.70 43.10 BerryGlobal BERY ... 26 60.34 -0.30
BBY 2.5 15 55.20 -0.75
29.36 63.32 37.10 BestBuy
21.85 242.79 154.89 Bio-RadLab A BIO ...444 222.11 1.48
BlackKnight
BKI
10.60 47.55 41.10
... 75 46.45 0.45
55.15 11.78 6.65 BlackBerry BB ... 9 10.69 -0.05
24.86 489.79 337.43 BlackRock BLK 2.1 22 475.13 1.65
23.94 35.09 23.33 BlackstoneGroup BX 5.3 14 33.50 0.17
t-19.93 18.95 13.83 BoardwalkPipe BWP 2.9 13 13.90 -0.36
BA 2.2 24 256.46 -2.81
64.74 267.21 138.80 Boeing
34.05 53.84 33.09 BorgWarner BWA 1.1 38 52.87 -0.50
-3.62 140.13 113.69 BostonProperties BXP 2.5 41 121.23 -0.05
31.76 29.93 19.67 BostonScientific BSX ... 47 28.50 -0.32
BAK 2.7 62 29.31 0.51
38.19 29.94 15.26 Braskem
2.57 66.10 46.01 Bristol-Myers BMY 2.6 24 59.94 -1.01
16.41 73.41 52.71 BritishAmTob BTI 2.3 11 65.58 0.14
s 29.64 85.97 59.86 BroadridgeFinl BR 1.7 31 85.95 0.87
26.66 43.15 32.04 BrookfieldMgt BAM 1.3 33 41.81 0.26
26.98 44.91 30.76 BrookfieldInfr BIP 4.1 90 42.50 0.12
10.74 50.24 36.05 Brown&Brown BRO 1.2 26 49.68 0.30
21.06 60.28 45.17 Brown-Forman A BF.A 1.3 31 55.99 -0.73
24.40 59.71 43.72 Brown-Forman B BF.B 1.3 31 55.88 -0.45
-20.57 73.01 50.14 BuckeyePtrs BPL 9.6 14 52.55 0.51
BG 2.6 21 69.82 -0.14
-3.35 83.75 60.81 Bunge
7.22 104.07 68.94 BurlingtonStores BURL ... 25 90.87 0.42
CBD 0.1148 24.56 0.58
48.40 25.90 14.08 CBD Pao
25.02 40.34 25.40 CBRE Group CBG ... 19 39.37 -0.22
CBS.A 1.2175 57.68 0.15
-11.01 71.07 56.32 CBS A
CBS 1.3172 56.75 -0.29
-10.80 70.09 55.03 CBS B
17.88 38.01 22.18 CF Industries CF 3.2 dd 37.11 -0.34
11.62 53.78 45.81 CGI Group GIB ... 20 53.61 0.33
12.09 50.40 35.14 CIT Group CIT 1.3 dd 47.84 0.65
15.81 49.11 38.78 CMS Energy CMS 2.8 25 48.20 0.26
CNA 2.4 12 50.79 0.14
22.39 53.67 34.51 CNA Fin
CEO 3.9 17 130.91 1.73
5.61 136.61 108.05 CNOOC
9.81 17.69 13.27 CPFLEnergia CPL 1.6 37 16.91 0.30
CRH 1.2 22 37.58 0.12
9.31 38.06 31.55 CRH
t-12.57 85.49 68.16 CVS Health CVS 2.9 14 68.99 -4.32
14.51 27.14 20.02 CabotOil
COG 0.7 dd 26.75 2.10
8.54 96.39 75.36 CamdenProperty CPT 3.3 20 91.25 0.71
-20.41 64.23 44.99 CampbellSoup CPB 2.9 17 48.13 0.61
CM 4.7 11 88.27 0.23
8.17 92.22 72.62 CIBC
20.59 84.48 61.72 CanNtlRlwy CNI 1.6 23 81.28 -0.03
6.12 35.28 27.52 CanNaturalRes CNQ 2.6 33 33.83 1.00
22.13 179.17 139.29 CanPacRlwy CP 1.0 19 174.37 0.04
s 33.37 37.53 27.76 Canon
CAJ 3.8 20 37.53 0.65
6.35 96.92 71.91 CapitalOne COF 1.7 13 92.78 0.26
t-13.84 84.88 61.64 CardinalHealth CAH 3.0 15 62.01 -2.74
CSL 1.3 22 111.19 0.18
0.82 116.40 92.09 Carlisle
KMX ... 20 74.36 -0.50
15.48 77.64 47.50 CarMax
CCL 2.7 18 67.21 0.61
29.10 69.89 47.06 Carnival
CUK 2.7 18 67.29 0.42
31.45 70.56 46.90 Carnival
48.60 140.44 80.33 Caterpillar CAT 2.3 96 137.81 0.87
33.39 109.11 71.24 Celanese A CE 1.8 18 105.03 -0.56
CX ... 11 8.21 0.05
6.33 10.37 6.91 Cemex
-36.15 16.82 6.76 CenovusEnergy CVE 1.7 5 9.66 0.28
CNC ... 19 94.41 3.28
67.07 98.72 50.00 Centene
20.74 30.45 21.91 CenterPointEner CNP 3.6 21 29.75 0.26
4.96 7.70 3.49 CentraisElBras EBR ... 4 7.20 0.11
t-26.49 31.00 17.40 CenturyLink CTL 12.4 25 17.48 -1.03
159.08 58.08 15.90 Chemours CC 0.2 39 57.23 0.62
-3.53 120.89 100.95 Chevron
CVX 3.8 37 113.54 -4.90
16.21 30.90 21.38 ChinaEastrnAir CEA ... 9 25.97 0.64
s 29.45 16.69 12.16 ChinaLifeIns LFC 1.0 32 16.66 0.46
-3.41 58.83 50.00 ChinaMobile CHL 4.1 13 50.64 0.26
2.73 84.88 67.82 ChinaPetrol SNP 4.1 11 72.96 0.51
43.33 43.35 25.60 ChinaSoAirlines ZNH 2.0 10 36.85 1.24
10.41 53.77 45.58 ChinaTelecom CHA 2.6 16 50.93 0.21
24.59 16.55 10.84 ChinaUnicom CHU ...142 14.39 0.08
CMG ... 54 276.12 -5.40
-26.82 499.00 270.00 Chipotle
CB 1.9 13 152.75 -2.00
15.61 156.00 123.08 Chubb
7.70 36.37 31.28 ChunghwaTelecom CHT 4.8 22 33.98 0.29
2.56 54.18 42.55 Church&Dwight CHD 1.7 27 45.32 -0.44
s 51.39 202.50 115.03 Cigna
CI 0.0 23 201.94 3.19
-15.05 146.96 89.49 CimarexEnergy XEC 0.3 40 115.45 2.09
C 1.7 14 73.87 0.08
24.30 76.14 47.70 Citigroup
7.91 39.75 25.87 CitizensFin CFG 1.9 16 38.45 -0.06
CLX 2.6 24 127.03 -0.83
5.84 141.76 111.24 Clorox
COH 3.4 19 40.28 -0.11
15.02 48.85 34.16 Coach
11.12 46.98 39.88 Coca-Cola KO 3.2 44 46.07 -0.16
30.10 44.75 30.55 Coca-Cola Euro CCE 2.4 25 40.85 -0.43
9.98 91.84 59.44 Coca-Cola Femsa KOF 2.5 20 69.88 -0.36
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
7.58 77.27 63.43 Colgate-Palmolive CL 2.3 26 70.40
t-16.35 16.09 12.35 ColonyNorthStar CLNS 8.7 96 12.48
17.15 80.25 49.81 Comerica CMA 1.5 18 79.79
SBS ... 8 9.40
8.29 11.33 7.75 SABESP
-14.82 41.68 32.16 ConagraBrands CAG 2.5 24 33.69
-0.17 147.55 106.73 ConchoRscs CXO ... 32 132.37
2.13 53.17 42.27 ConocoPhillips COP 2.1 dd 51.21
s 16.61 86.33 68.76 ConEd
ED 3.2 21 85.92
38.22 214.53 144.00 ConstBrands A STZ 1.0 27 211.90
-23.61 60.30 29.08 ContinentalRscs CLR ... dd 39.37
COO 0.0 35 244.43
39.73 256.39 158.73 Cooper
GLW 2.0 13 31.51
29.83 32.31 22.23 Corning
t-18.57 23.11 14.81 Coty
COTY 3.4 dd 14.91
33.45 213.82 146.03 Credicorp BAP 1.8 15 210.66
10.34 16.27 12.34 CreditSuisse CS 4.5 dd 15.79
-6.46 28.30 18.50 CrestwoodEquity CEQP 10.0 dd 23.90
18.92 108.88 79.38 CrownCastle CCI 4.1 86 103.19
12.74 61.61 51.57 CrownHoldings CCK ... 17 59.27
14.93 103.37 72.96 Cullen/Frost CFR 2.2 19 101.40
31.34 180.32 121.22 Cummins CMI 2.4 20 179.50
12.51 113.71 89.66 DTE Energy DTE 3.0 20 110.83
32.76 93.40 64.06 DXC Tech DXC 0.8 dd 91.91
s 18.51 92.26 76.27 Danaher
DHR 0.6 27 92.25
DRI 3.0 22 83.33
14.59 95.22 61.49 Darden
DVA ... 10 61.89
-3.60 70.16 53.58 DaVita
s 29.32 133.31 86.67 Deere
DE 1.8 22 133.25
s 52.59 83.98 47.99 DellTechnologies DVMT ... dd 83.88
46.59 104.09 60.50 DelphiAutomotive DLPH 1.2 21 98.73
DAL 2.4 10 50.56
2.79 55.75 41.00 DeltaAir
0.99 19.48 11.89 DeutscheBank DB 1.2 dd 16.32
-21.44 50.69 28.79 DevonEnergy DVN 0.7 8 35.88
DEO 3.0 25 136.52
31.35 137.59 99.46 Diageo
18.61 127.23 85.63 DigitalRealty DLR 3.2 95 116.55
-7.37 74.33 55.41 DiscoverFinSvcs DFS 2.1 11 66.78
DIS 1.6 17 98.31
-5.67 116.10 91.66 Disney
26.97 61.45 44.98 DolbyLab DLB 1.1 30 57.38
12.41 85.07 65.97 DollarGeneral DG 1.2 19 83.26
5.12 81.65 69.51 DominionEner D 3.8 23 80.51
15.98 221.58 153.58 Domino's DPZ 1.0 35 184.68
14.35 48.91 35.85 Donaldson DCI 1.5 28 48.12
8.70 41.12 33.78 DouglasEmmett DEI 2.3 68 39.74
DOV 2.0 22 96.00
28.12 97.09 65.50 Dover
7.98 73.85 64.01 DowDuPont DWDP ... 34 72.54
-5.43 99.47 81.05 DrPepperSnap DPS 2.7 22 85.75
-20.61 50.10 29.83 DrReddy'sLab RDY 0.9 35 35.95
13.31 88.55 72.34 DukeEnergy DUK 4.0 26 87.95
7.76 30.14 22.96 DukeRealty DRE 2.8 39 28.62
E 6.0 75 31.87
-1.15 34.62 26.15 ENI
-2.60 109.37 81.99 EOG Rscs EOG 0.7 dd 98.47
-3.20 75.74 49.63 EQT
EQT 0.2301 63.31
s 23.65 94.96 69.34 EastmanChem EMN 2.2 13 93.00
ETN 1.9 18 79.77
18.90 81.63 59.07 Eaton
22.33 52.36 34.44 EatonVance EV 2.4 22 51.23
ECL 1.1 30 131.99
12.60 134.89 110.65 Ecolab
s 19.23 10.82 7.65 Ecopetrol EC ... 25 10.79
10.39 82.82 67.44 EdisonInt EIX 2.7 19 79.47
8.77 121.45 81.12 EdwardsLife EW ... 30 101.92
s 20.86 67.78 49.38 EmersonElectric EMR 2.8 32 67.38
-42.50 26.22 13.87 EnbridgeEnPtrs EEP 9.6 dd 14.65
ENB 5.1 37 38.42
-8.78 44.52 37.37 Enbridge
ECA 0.5 13 11.24
-4.26 13.85 8.01 Encana
28.38 10.95 7.67 EnelAmericas ENIA 3.4 30 10.54
ENIC ... 10 5.95
30.77 6.31 4.25 EnelChile
40.07 27.74 18.35 EnelGenChile EOCC 7.0 12 27.23
-8.49 20.05 13.77 EnergyTrfrEquity ETE 6.5 22 17.67
-29.18 27.99 16.06 EnergyTransfer ETP 13.3 9 17.01
ETR 4.0 dd 86.77
18.10 87.00 66.71 Entergy
-8.28 30.25 23.84 EnterpriseProd EPD 6.8 20 24.80
EFX 1.4 23 109.39
-7.48 147.02 89.59 Equifax
22.19 90.80 65.87 EquityLife ELS 2.2 43 88.10
5.11 68.83 58.28 EquityResdntl EQR 3.0 83 67.65
12.86 270.04 207.65 EssexProp ESS 2.7 34 262.40
46.25 112.49 75.30 EsteeLauder EL 1.2 33 111.87
9.50 277.17 200.17 EverestRe RE 2.1 8 236.95
13.69 64.19 50.56 EversourceEner ES 3.0 20 62.79
EXC 3.3 21 40.25
13.41 40.34 29.82 Exelon
3.96 83.23 68.09 ExtraSpaceSt EXR 3.9 29 80.30
-7.26 93.22 76.05 ExxonMobil XOM 3.7 30 83.71
FMC 0.7281 92.51
63.56 95.08 45.91 FMC
FDS 1.2 29 189.10
15.71 191.00 150.95 FactSet
t-14.54 145.80 119.54 FederalRealty FRT 3.3 39 121.45
s 23.78 231.35 170.16 FedEx
FDX 0.9 22 230.47
RACE ... 41 115.59
98.81 118.10 50.39 Ferrari
88.05 18.10 6.71 FiatChrysler FCAU ... 8 17.15
68.68 17.21 7.49 FibriaCelulose FBR ... 39 16.21
s 50.28 37.02 22.84 FidelityNatlFin FNF 2.9 16 36.84
28.10 18.48 11.00 FNFV Group FNFV ... 9 17.55
s 27.74 96.67 73.25 FidelityNtlInfo FIS 1.2 48 96.62
WUBA ...136 62.91
124.68 69.80 27.58 58.com
s 45.67 53.45 35.28 FirstAmerFin FAF 2.8 21 53.36
33.69 19.23 13.01 FirstData FDC ... 32 18.97
7.77 105.52 72.43 FirstRepBank FRC 0.7 23 99.30
4.29 34.83 27.93 FirstEnergy FE 4.5 dd 32.30
16.85 176.42 121.52 FleetCorTech FLT ... 33 165.37
-7.89 52.10 37.51 Flowserve FLS 1.7 55 44.26
FLR 2.0 54 42.74
-18.62 58.37 37.04 Fluor
19.88 103.82 73.45 FomentoEconMex FMX 1.5 30 91.36
-0.58 13.27 10.47 FordMotor F 5.0 11 12.06
19.24 26.30 17.79 ForestCIty A FCE.A 2.3 dd 24.85
FTS 3.7 21 36.74
18.98 37.67 29.14 Fortis
s 38.17 74.38 49.73 Fortive
FTV 0.4 29 74.10
25.01 68.82 52.56 FortBrandsHome FBHS 1.1 23 66.83
32.60 85.03 53.31 Franco-Nevada FNV 1.2103 79.24
8.34 47.65 33.02 FranklinRscs BEN 1.9 14 42.88
7.13 17.06 10.50 Freeport-McMoRan FCX ... 20 14.13
14.71 50.22 38.05 FreseniusMed FMS 1.1 23 48.42
t-20.14 27.10 19.80 GGP
GGP 4.4 17 19.95
20.36 63.20 47.16 Gallagher AJG 2.5 25 62.54
GPS 3.4 13 26.68
18.89 30.74 21.02 Gap
IT ...228 125.15
23.83 130.02 84.98 Gartner
10.42 10.69 8.32 Gazit-Globe GZT 4.1 2 9.54
18.72 214.81 148.76 GeneralDynamics GD 1.6 20 204.99
t-34.21 32.38 20.64 GeneralElec GE 4.6 26 20.79
-16.51 64.06 50.12 GeneralMills GIS 3.8 18 51.57
28.13 46.76 30.21 GeneralMotors GM 3.4 10 44.64
G 0.8 23 30.42
24.98 31.93 22.62 Genpact
-7.53 100.90 79.86 GenuineParts GPC 3.1 20 88.35
GGB 0.7 dd 3.54
12.74 4.39 2.60 Gerdau
GIL 1.2 19 31.07
22.47 32.15 23.55 Gildan
t -5.92 44.53 36.16 GlaxoSmithKline GSK 5.6 36 36.23
s 46.33 101.59 64.63 GlobalPayments GPN 0.0 ... 101.57
s 33.16 46.55 31.63 GoDaddy
GDDY ...295 46.54
GG 0.6 24 13.10
-3.68 17.87 11.91 Goldcorp
0.94 255.15 174.73 GoldmanSachs GS 1.2 13 241.71
s 59.91 134.11 73.40 Graco
GGG 1.1 71 132.87
GWW 2.6 24 199.76
-13.99 262.71 155.00 Grainger
s 19.74 32.76 25.85 GreatPlainsEner GXP 3.4 31 32.75
8.19 9.38 7.18 GpoAvalAcciones AVAL 4.7 13 8.59
19.61 10.82 6.73 GpFinSantandMex BSMX 1.9 13 8.60
7.90 27.37 19.69 GrupoTelevisa TV 0.4 59 22.54
57.51 81.46 49.18 GuidewireSoftware GWRE ...278 77.70
3.58 91.03 67.00 HCA Healthcare HCA ... 10 76.67
t-13.96 33.67 25.09 HCP
HCP 5.8 18 25.57
51.50 100.26 59.00 HDFC Bank HDB 0.6 ... 91.93
44.88 22.31 13.94 HP
HPQ 2.5 16 21.50
HSBC 4.1 85 49.18
22.40 50.86 36.93 HSBC
-21.56 58.78 38.18 Halliburton HAL 1.7177 42.43
4.40 27.07 18.91 Hanesbrands HBI 2.7 15 22.52
-18.00 63.40 45.25 HarleyDavidson HOG 3.1 15 47.84
HRS 1.7 31 136.53
33.24 137.64 89.01 Harris
15.84 57.16 43.18 HartfordFinl HIG 1.8 42 55.20
2.47 33.00 26.34 HealthcareAmer HTA 4.1124 29.83
HEI 0.2 44 91.29
47.91 93.00 53.08 Heico
HEI.A 0.2 38 76.95
41.66 78.70 47.36 Heico A
HLF 1.7 15 71.99
49.54 79.64 47.62 Herbalife
HSY 2.5 31 104.08
0.63 116.49 95.68 Hershey
HES 2.3 dd 43.54
-30.10 65.56 37.25 Hess
6.10 15.12 12.52 HewlettPackard HPE 1.8204 14.28
HLT 0.8760 71.91
28.86 72.93 45.32 Hilton
10.71 37.00 22.63 HollyFrontier HFC 3.6 46 36.27
24.81 167.94 119.20 HomeDepot HD 2.1 24 167.34
5.96 32.17 27.05 HondaMotor HMC ... 9 30.93
26.20 147.00 108.01 Honeywell HON 2.0 22 146.20
-12.73 38.84 29.75 HormelFoods HRL 2.2 19 30.38
s 62.09 44.40 26.69 DR Horton DHI 0.9 17 44.30
3.18 20.21 14.69 HostHotels HST 4.1 24 19.44
2.57 31.85 23.70 HuanengPower HNP 6.3 30 26.71
HUBB 2.4 24 125.93
7.91 127.34 101.61 Hubbell
s 26.93 264.56 165.03 Humana
HUM 0.6 21 258.97
26.75 236.94 146.52 HuntingtonIngalls HII 1.0 19 233.46
s 62.79 31.16 16.31 Huntsman HUN 1.6 18 31.06
s 13.14 62.89 48.91 HyattHotels H
... 31 62.52
29.24 9.85 6.69 ICICI Bank IBN 0.9 18 8.80
30.85 19.01 12.71 ING Groep ING 3.1 14 18.45
IVZ 3.1 16 36.89
21.59 37.75 27.46 Invesco
IEX 1.2 33 128.41
42.58 129.36 84.62 IDEX
29.89 159.36 111.53 IllinoisToolWks ITW 2.0 24 159.06
INFY 2.7 16 15.00
1.15 16.14 13.42 Infosys
21.47 96.23 66.52 Ingersoll-Rand IR 2.0 23 91.15
0.85 137.62 113.07 Ingredion INGR 1.9 19 126.02
16.06 71.24 52.27 ICE
ICE 1.2 24 65.48
18.85 57.80 39.82 InterContinentl IHG ... 26 55.03
IBM 3.9 13 153.68
-7.42 182.79 139.13 IBM
26.08 151.04 113.16 IntlFlavors IFF 1.9 30 148.56
IP 3.3 27 57.95
9.22 58.96 43.55 IntlPaper
-15.98 25.71 19.01 Interpublic IPG 3.7 14 19.67
14.80 23.56 19.80 InvitationHomes INVH 1.4 ... 22.96
23.15 41.17 30.75 IronMountain IRM 5.9 51 40.00
3.89 4.95 3.52 IsraelChemicals ICL ... dd 4.27
30.84 14.59 9.10 ItauUnibanco ITUB 0.4 12 13.45
17.94 102.42 67.64 JPMorganChase JPM 2.2 15 101.77
3.00 63.42 49.16 JacobsEngineering JEC 1.0 31 58.71
-4.84 17.28 13.55 JamesHardie JHX 3.7 27 15.13
12.81 36.25 30.24 JanusHenderson JHG ...260 34.52
JNJ 2.4 25 141.78
23.06 144.35 109.32 J&J
2.96 46.17 36.74 JohnsonControls JCI 2.4 dd 42.41
26.06 134.76 86.62 JonesLangLaSalle JLL 0.5 19 127.37
-10.83 30.96 23.87 JuniperNetworks JNPR 1.6 15 25.20
10.25 48.65 38.16 KAR Auction KAR 2.7 29 46.99
KB ... 8 52.55
48.91 54.36 34.36 KB Fin
-0.81
0.04
0.08
0.11
0.31
2.25
-0.25
0.42
0.16
1.13
4.02
-0.19
-0.33
3.65
-0.17
0.30
0.01
-0.26
0.93
0.86
0.71
0.98
0.79
0.54
0.36
1.11
0.91
-0.34
-0.37
-0.40
0.97
1.24
0.74
0.09
-0.25
-0.15
-1.11
0.10
-1.00
-0.05
0.47
-0.47
-0.51
-0.71
0.24
0.59
0.01
-0.75
1.55
3.24
1.96
0.27
-0.19
-0.68
0.37
0.74
-1.45
0.55
0.14
0.46
0.54
-0.03
...
0.29
0.95
0.41
0.59
0.22
0.44
0.43
0.50
2.75
0.08
2.00
0.55
0.37
1.60
0.24
-0.63
-0.34
-0.28
1.43
0.52
-0.12
0.02
0.40
0.40
0.68
0.38
1.05
0.34
-0.27
0.52
1.23
-0.48
0.05
2.29
-0.21
0.19
0.19
0.63
-1.52
0.54
-1.07
-0.56
0.11
-0.50
0.29
-0.60
0.40
-0.16
1.08
-0.53
-0.19
-0.61
0.05
-1.05
0.04
0.12
-0.37
1.17
0.79
0.18
-0.01
-0.63
-1.42
0.35
-0.17
0.14
-1.34
0.48
-0.22
0.36
1.74
-0.02
0.17
1.19
-0.30
-0.96
0.67
-0.36
0.38
-0.65
-1.00
0.76
1.21
2.26
0.03
-0.57
0.17
-0.31
0.13
0.36
0.01
0.30
0.04
0.07
-0.23
7.45
1.64
1.26
0.07
-0.02
-0.21
-0.26
-0.80
1.56
-0.01
0.49
0.57
-0.13
0.26
0.08
-1.44
-0.05
-0.50
0.21
0.34
0.02
0.17
0.03
-0.02
0.16
-0.53
-0.03
0.24
-0.65
0.34
...
0.57
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
KKR 3.3 10 20.35
32.23 20.77 13.57 KKR
KT ... 11 14.12
0.21 18.82 13.43 KT
22.88 109.13 79.05 KSCitySouthern KSU 1.4 20 104.26
t-18.25 78.37 59.82 Kellogg
K 3.6 27 60.26
KEY 2.1 16 18.37
0.55 19.53 13.83 KeyCorp
s 21.11 44.29 31.81 KeysightTechs KEYS ... 33 44.29
-3.61 78.33 66.98 KilroyRealty KRC 2.4 46 70.58
-1.50 136.21 110.33 KimberlyClark KMB 3.5 19 112.41
-27.03 26.64 17.02 KimcoRealty KIM 6.1 36 18.36
t-12.94 23.01 17.82 KinderMorgan KMI 2.8 32 18.03
23.16 44.45 26.68 Knight-Swift KNX ... 43 41.67
KSS 5.2 11 42.58
-13.77 59.67 35.16 Kohl's
33.07 42.35 28.19 KoninklijkePhil PHG 2.2 23 40.68
-5.57 21.89 16.51 KoreaElcPwr KEP ... 6 17.45
KR 2.4 12 20.57
-40.39 36.44 19.69 Kroger
s 33.93 66.88 47.08 Kyocera
KYO ... 22 66.67
63.20 15.06 8.07 LATAMAirlines LTM 0.5 dd 13.35
LB 5.4 13 44.71
-32.09 75.50 35.00 L Brands
2.10 17.05 11.26 LG Display LPL ... 7 13.12
23.26 42.88 30.90 LINE
LN ... 82 41.92
LLL 1.6 26 189.10
24.32 192.00 132.38 L3 Tech
21.05 164.22 119.51 LabCpAm LH ... 22 155.40
34.27 51.20 28.75 LambWeston LW 1.5 23 50.82
15.62 66.22 51.35 LasVegasSands LVS 4.7 23 61.75
LAZ 3.5 13 47.20
14.87 48.86 36.40 Lazard
LEA 1.1 11 174.94
32.16 178.81 112.53 Lear
1.17 54.97 43.16 Leggett&Platt LEG 2.9 20 49.45
LDOS 2.1 27 62.36
21.94 63.68 41.16 Leidos
LEN 0.3 17 58.01
35.13 58.96 39.68 Lennar A
s 43.83 49.99 32.09 Lennar B
LEN.B 0.3 14 49.62
26.23 201.40 140.97 LennoxIntl LII 1.1 27 193.34
10.80 27.34 17.87 LeucadiaNatl LUK 1.6 17 25.76
-8.96 64.61 51.17 Level3Comms LVLT ... 29 51.31
9.42 43.70 36.22 LibertyProperty LPT 3.7 18 43.22
LLY 2.5 40 83.86
14.02 89.09 64.18 EliLilly
16.69 77.36 47.90 LincolnNational LNC 1.5 12 77.33
8.66 33.68 24.27 LionsGate A LGF.A ... 45 29.23
12.80 32.08 22.50 LionsGate B LGF.B ... 32 27.68
62.37 43.85 26.41 LiveNationEnt LYV ... dd 43.19
19.03 3.87 2.73 LloydsBanking LYG 2.9 20 3.69
23.23 322.19 236.21 LockheedMartin LMT 2.6 25 308.00
L 0.5 14 47.95
2.39 49.58 40.86 Loews
LOW 2.0 23 80.61
13.34 86.25 64.87 Lowe's
15.42 101.71 76.71 LyondellBasell LYB 3.6 11 99.01
7.28 173.72 120.31 M&T Bank MTB 1.8 19 167.82
8.39 34.65 25.15 MGM Resorts MGM 1.4 18 31.25
MPLX 6.7 39 35.32
2.02 39.43 30.88 MPLX
MSCI 1.3 39 120.00
52.32 124.51 76.52 MSCI
MAC 5.2 64 56.56
-20.16 73.34 52.12 Macerich
-13.90 85.45 68.49 MacquarieInfr MIC 7.8 33 70.34
-45.02 45.41 19.32 Macy's
M 7.7 9 19.69
-9.45 81.77 63.92 MagellanMid MMP 5.3 19 68.48
25.67 55.76 36.77 MagnaIntl MGA 2.0 10 54.54
s 41.07 125.66 75.29 Manpower MAN 1.5 19 125.37
13.52 20.89 14.14 ManulifeFin MFC 3.2 15 20.23
-20.22 19.28 10.55 MarathonOil MRO 1.4 dd 13.81
s 16.13 58.93 40.01 MarathonPetrol MPC 2.7 18 58.47
MKL ...243 1094.08
20.96 1105.23 811.05 Markel
19.84 84.90 62.61 Marsh&McLennan MMC 1.9 22 81.00
-1.99 244.32 176.22 MartinMarietta MLM 0.8 31 217.12
MAS 1.0 24 40.16
27.01 41.10 29.38 Masco
s 43.85 148.52 99.51 Mastercard MA 0.6 37 148.52
6.46 106.50 88.64 McCormick MKC 1.9 27 99.36
6.21 106.58 89.14 McCormickVtg MKC.V 1.9 27 98.88
35.88 167.90 110.83 McDonalds MCD 2.4 24 165.39
-3.44 169.29 114.53 McKesson MCK 1.0 6 135.62
14.14 89.72 69.35 Medtronic MDT 2.3 27 81.30
t -1.07 66.80 57.82 Merck
MRK 3.2 32 58.24
MET 2.9603 54.29
13.05 54.39 40.30 MetLife
s 62.22 679.73 395.61 MettlerToledo MTD ... 42 679.00
14.05 52.67 32.38 MichaelKors KORS ... 15 49.02
s 20.37 34.06 27.86 MicroFocus MFGP ... 49 33.98
2.69 110.95 87.59 MidAmApt MAA 3.5 48 100.55
12.99 7.01 4.96 MitsubishiUFJ MTU ... 10 6.96
2.51 3.87 3.26 MizuhoFin MFG ... 9 3.68
15.92 11.59 7.09 MobileTeleSys MBT 6.8 12 10.56
s 32.38 268.46 175.52 MohawkIndustries MHK ... 20 264.34
t-19.40 109.37 78.10 MolsonCoors B TAP 2.1 8 78.43
15.50 122.80 97.35 Monsanto MON 1.8 24 121.52
MCO 1.0 60 146.40
55.30 148.00 93.51 Moody's
21.09 51.52 32.56 MorganStanley MS 2.0 14 51.16
MOS 2.9 50 20.94
-28.61 34.36 19.23 Mosaic
10.01 93.75 71.24 MotorolaSolutions MSI 2.1 24 91.19
106.69 26.68 9.84 NRG Energy NRG 0.5 dd 25.34
7.21 25.42 21.96 NTTDoCoMo DCM ... 16 24.39
NVR ... 24 3240.00
94.13 3294.50 1478.04 NVR
-4.07 75.24 60.08 NationalGrid NGG 6.2 13 61.04
-11.24 43.63 29.90 NatlOilwell NOV 0.6 dd 33.23
-8.48 46.34 36.45 NatlRetailProp NNN 4.7 35 40.45
102.76 94.63 37.16 NewOrientalEduc EDU ... 46 85.36
-19.23 17.68 11.67 NY CmntyBcp NYCB 5.3 15 12.85
t-10.41 55.08 39.58 NewellBrands NWL 2.3 16 40.00
-25.68 50.00 24.41 NewfieldExpln NFX ... 20 30.10
5.08 39.62 30.19 NewmontMining NEM 0.8184 35.80
s 30.45 156.80 110.49 NextEraEnergy NEE 2.5 18 155.84
-8.06 46.23 36.96 NielsenHoldings NLSN 3.5 27 38.57
NKE 1.3 24 55.96
10.09 60.53 49.01 Nike
NI 2.6 31 26.44
19.42 27.29 21.17 NiSource
-26.56 42.03 22.98 NobleEnergy NBL 1.4 dd 27.95
2.08 6.65 4.04 Nokia
NOK 3.9 dd 4.91
-0.17 6.80 4.83 NomuraHoldings NMR ... 9 5.89
-14.52 62.82 39.53 Nordstrom JWN 3.6 19 40.97
23.67 134.52 90.98 NorfolkSouthern NSC 1.8 21 133.65
27.98 306.61 220.72 NorthropGrumman NOC 1.3 22 297.66
NVS 3.4 29 80.72
10.82 86.90 66.93 Novartis
38.04 50.95 30.89 NovoNordisk NVO 1.0 22 49.50
NUE 2.5 17 59.49
-0.05 68.00 46.64 Nucor
-30.92 55.64 32.64 NuSTAREnergy NS 12.7 48 34.40
10.85 37.41 29.57 OGE Energy OGE 3.6 19 37.08
OKE 5.5 34 54.08
-5.80 59.47 45.41 ONEOK
-8.68 74.76 57.20 OccidentalPetrol OXY 4.7500 65.05
s 18.43 3.94 2.15 Och-Ziff
OZM 2.0 29 3.92
OLN 2.3142 35.40
38.23 36.84 20.43 Olin
1.57 35.14 28.11 OmegaHealthcare OHI 8.2 18 31.75
t-19.45 89.66 68.00 Omnicom OMC 3.2 14 68.56
ORCL 1.5 22 50.88
32.33 53.14 37.64 Oracle
ORAN 5.6 87 16.15
6.67 17.63 13.98 Orange
51.94 134.59 72.06 OrbitalATK OA 1.0 28 133.30
IX ... 8 84.88
9.06 89.44 73.70 Orix
s 40.88 91.18 52.27 Oshkosh
OSK 0.9 27 91.02
54.01 81.06 46.45 OwensCorning OC 1.0 24 79.41
PCG 3.7 14 57.13
-5.99 71.57 49.83 PG&E
PHI 5.8 14 32.36
17.46 38.54 25.50 PLDT
PNC 2.2 17 138.17
18.13 139.23 94.30 PNC Fin
PKX ... 15 75.41
43.50 77.76 50.37 POSCO
s 24.45 119.85 90.88 PPG Ind
PPG 1.5 22 117.93
PPL 4.2 16 37.75
10.87 40.20 32.46 PPL
PVH 0.1 24 127.05
40.79 133.24 84.53 PVH
37.86 120.75 78.03 PackagingCpAm PKG 2.2 22 116.93
17.28 165.69 107.31 PaloAltoNtwks PANW ... dd 146.66
-4.62 33.40 24.65 ParkHotels PK 6.0 2 28.52
31.34 185.52 118.77 ParkerHannifin PH 1.4 25 183.88
-28.21 39.82 22.98 ParsleyEnergy PE ...230 25.30
PSO 1.4 dd 9.34
-6.51 10.31 7.04 Pearson
4.60 35.63 27.44 PembinaPipeline PBA 5.3 34 32.76
PNR 2.0 31 70.13
25.08 71.65 53.80 Pentair
PEP 2.9 23 110.60
5.71 119.39 98.50 PepsiCo
s 39.44 72.77 45.35 PerkinElmer PKI 0.4 43 72.72
PRGO 0.8 dd 83.15
-0.10 91.95 63.68 Perrigo
-12.77 81.80 60.69 PetroChina PTR 3.2 41 64.29
6.13 12.19 7.61 PetroleoBrasil PBR ... dd 10.73
19.18 11.47 6.96 PetroleoBrasilA PBR.A ... dd 10.50
PFE 3.6 26 35.60
9.61 36.78 29.83 Pfizer
15.79 123.55 86.78 PhilipMorris PM 4.0 23 105.94
6.46 95.00 75.14 Phillips66 PSX 3.0 27 91.99
1.29 66.67 46.36 PinnacleFoods PF 2.4 37 54.14
13.94 90.92 70.86 PinnacleWest PNW 3.1 20 88.91
-19.26 199.83 125.46 PioneerNatRscs PXD 0.1148 145.38
-39.02 33.95 18.76 PlainsAllAmPipe PAA 6.1 15 19.69
PAGP 5.9 dd 20.20
-41.75 36.09 18.98 PlainsGP
44.31 126.85 73.98 PolarisIndustries PII 2.0 38 118.90
POT 2.1 35 19.11
5.64 20.27 15.74 Potash
PX 2.1 26 148.14
26.41 149.91 114.43 Praxair
s 17.70 69.20 52.67 PrincipalFin PFG 2.8 15 68.10
3.52 94.67 81.18 Procter&Gamble PG 3.2 23 87.04
37.75 49.75 30.99 Progressive PGR 1.4 20 48.90
PLD 2.7 19 64.69
22.54 65.63 45.93 Prologis
7.65 115.26 83.09 PrudentialFin PRU 2.7 13 112.02
22.77 49.87 32.52 Prudential PUK 1.6 18 48.85
s 12.78 49.64 39.28 PublicServiceEnt PEG 3.5 56 49.49
-7.43 232.21 192.15 PublicStorage PSA 3.9 30 206.90
s 63.60 30.16 17.69 PulteGroup PHM 1.2 15 30.07
8.98 38.82 27.29 QuantaServices PWR ... 22 37.98
QD ... ... 23.27
-20.25 35.45 22.72 Qudian
4.11 112.97 79.12 QuestDiag DGX 1.9 20 95.68
s 41.56 108.43 70.10 QuintilesIMS Q
...372 107.66
RENX 1.4 28 22.27
32.88 22.49 14.92 RELX
RELX 1.3 29 23.09
28.49 23.26 16.19 RELX
RPM 2.4 40 53.95
0.22 56.48 46.25 RPM
0.85 114.00 66.06 RalphLauren RL 2.2 dd 91.09
23.42 87.22 58.66 RaymondJames RJF 1.0 20 85.49
26.96 190.25 132.89 Raytheon RTN 1.8 24 180.28
-6.18 63.60 52.72 RealtyIncome O 4.7 44 53.93
RHT ... 73 120.77
73.27 122.95 68.54 RedHat
-9.33 72.20 58.63 RegencyCtrs REG 3.4248 62.52
9.47 16.03 10.32 RegionsFin RF 2.3 16 15.72
s 20.95 152.19 107.12 ReinsuranceGrp RGA 1.3 13 152.19
-1.62 88.58 66.63 RelianceSteel RS 2.3 15 78.25
14.60 67.18 50.89 RepublicServices RSG 2.1 34 65.38
s 36.05 87.81 56.59 ResMed
RMD 1.7 34 84.42
36.70 68.89 42.34 RestaurantBrands QSR 1.3 45 65.15
33.54 29.55 18.30 RiceEnergy RICE ... dd 28.51
RIO 4.7 14 47.45
23.37 50.77 33.91 RioTinto
s 8.32 53.50 36.58 RobertHalf RHI 1.8 21 52.84
ROK 1.6 30 188.78
40.46 189.91 117.24 Rockwell
45.86 135.55 81.11 RockwellCollins COL 1.0 27 135.30
36.57 54.24 37.03 RogersComm B RCI 2.9 28 52.69
ROL 1.1 52 43.44
28.60 48.29 30.33 Rollins
s 40.69 257.82 167.50 RoperTech ROP 0.5 39 257.57
16.53 80.98 60.92 RoyalBkCanada RY 3.7 14 78.90
s 36.17 7.62 4.51 RoyalBkScotland RBS ... dd 7.53
51.40 128.09 71.50 RoyalCaribbean RCL 1.9 17 124.21
12.67 61.84 48.07 RoyalDutchA RDS.A 6.1 33 61.27
9.47 63.89 50.94 RoyalDutchB RDS.B 5.9 34 63.46
s 32.07 114.41 80.93 SAP
SAP 1.2 34 114.15
50.79 166.17 107.21 S&P Global SPGI 1.0 24 162.16
13.25 64.80 48.82 SINOPECShanghai SHI 6.0 8 61.30
22.63 28.13 20.44 SK Telecom SKM ... 9 25.63
-11.23 115.34 93.90 SLGreenRealty SLG 3.2 93 95.47
s 47.09 101.98 66.43 Salesforce.com CRM ... dd 100.70
17.53 50.65 38.40 Sanofi
SNY 3.5 23 47.53
SSL 4.2 12 28.74
0.52 32.40 24.91 Sasol
t-36.54 74.99 45.36 Scana
SCG 5.3 11 46.50
-24.30 87.84 61.40 Schlumberger SLB 3.1163 63.55
13.78 46.21 30.66 SchwabC SCHW 0.7 29 44.91
3.38 101.00 81.48 ScottsMiracleGro SMG 2.1 27 98.78
-1.63 50.62 41.22 SealedAir SEE 1.4 23 44.60
-8.01 7.74 4.49 SemicondctrMfg SMI ... 5 7.01
0.05
0.08
-0.42
-0.29
-0.15
1.30
0.41
-1.18
0.03
0.03
0.29
-2.06
-0.40
0.07
-0.25
0.92
-0.07
0.48
0.56
-0.83
3.65
2.01
0.22
-0.83
1.63
-2.22
1.22
-0.11
-0.45
-0.25
-2.21
0.23
-1.54
0.45
-0.30
0.34
-0.26
-0.20
0.93
0.01
0.11
-0.42
-0.92
-2.22
0.22
0.42
1.19
-0.25
-0.49
1.08
-1.65
1.09
-0.63
0.62
-0.01
0.25
1.20
3.47
-0.36
0.20
0.05
1.93
0.32
0.67
1.38
-7.92
0.86
-3.75
0.08
11.26
-0.74
0.31
0.83
0.20
0.03
0.10
1.36
-1.94
0.07
-0.98
0.39
-0.22
0.91
0.57
-0.13
37.00
0.32
-0.63
0.39
2.61
0.13
-0.40
1.03
-0.01
2.45
-0.70
-0.85
-0.03
1.08
0.15
-0.07
-1.24
0.40
-0.33
-0.19
0.64
-0.24
0.93
0.26
0.65
0.43
0.24
0.05
0.43
-1.80
0.73
0.13
0.04
-0.09
0.41
0.20
0.39
0.10
0.32
2.72
-0.74
0.06
-1.99
-1.65
-2.14
-0.05
-0.95
0.78
-0.08
0.88
-1.03
-0.13
0.62
-0.39
0.77
0.34
0.36
-0.14
-0.99
0.81
0.36
0.77
3.07
0.33
0.27
-2.38
-0.23
-1.46
-0.10
-0.46
-0.25
0.42
0.13
-0.27
0.13
2.69
0.31
0.15
0.47
0.88
2.16
-0.15
-0.07
1.24
-0.17
0.91
-1.58
0.49
0.48
0.14
-0.09
7.33
-0.17
0.01
5.81
-0.23
2.22
0.24
-0.42
0.75
0.25
0.28
-0.60
0.05
0.32
0.12
1.15
0.37
0.32
0.75
-2.84
1.22
...
-0.41
0.65
-0.01
-0.21
-1.33
0.18
-0.44
-0.64
-0.14
0.22
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
14.90 120.17 92.95 SempraEnergy SRE 2.8 17 115.64
26.80 50.83 35.10 SensataTech ST ... 28 49.39
25.42 35.89 24.90 ServiceCorp SCI 1.7 19 35.62
19.96 48.48 34.98 ServiceMaster SERV ... 27 45.19
69.13 129.56 72.80 ServiceNow NOW ... dd 125.73
10.02 23.31 19.02 ShawComm B SJR 4.2 28 22.07
47.83 398.22 239.48 SherwinWilliams SHW 0.9 35 397.29
21.28 48.98 36.06 ShinhanFin SHG ... 8 45.65
SHOP ... dd 107.27
150.22 123.94 37.74 Shopify
-11.83 189.25 150.15 SimonProperty SPG 4.6 29 156.66
AOS 0.9 29 59.60
25.87 62.16 43.66 SmithAO
26.26 40.43 26.96 Smith&Nephew SNN 1.3 21 37.98
SJM 3.0 22 103.71
-19.01 143.68 102.31 Smucker
SNAP ... dd 15.44
-36.93 29.44 11.28 Snap
SNA 1.8 16 158.45
-7.49 181.73 140.83 SnapOn
108.38 63.80 26.47 SOQUIMICH SQM 1.3 45 59.70
SNE ... 41 37.83
34.96 41.65 27.72 Sony
5.90 52.59 46.20 Southern SO 4.5 80 52.09
33.00 44.69 26.52 SoCopper SCCO 2.4 28 42.48
8.57 64.39 38.95 SouthwestAirlines LUV 0.9 16 54.11
-7.35 47.48 40.19 SpectraEnerPtrs SEP 6.7 15 42.47
-11.58 146.09 101.93 SpectrumBrands SPB 1.6 22 108.17
37.33 81.07 49.98 SpiritAeroSys SPR 0.5 29 80.13
S
-16.98 9.65 5.83 Sprint
... dd 6.99
s158.25 35.29 11.00 Square
SQ ... dd 35.20
43.61 166.70 112.86 StanleyBlackDck SWK 1.5 21 164.71
20.32 99.99 69.49 StateStreet STT 1.8 16 93.51
STO 4.4 dd 20.10
10.20 20.77 15.58 Statoil
s 37.71 92.96 63.80 Steris
STE 1.3 66 92.80
s105.20 23.37 8.87 STMicroelec STM 1.0 47 23.29
s 33.33 160.62 106.48 Stryker
SYK 1.1 36 159.74
6.41 8.30 6.61 SumitomoMits SMFG ... 9 8.13
17.57 91.87 69.90 SunCommunities SUI 3.0122 90.07
2.40 40.57 32.22 SunLifeFinancial SLF 3.5 12 39.33
3.27 35.18 27.96 SuncorEnergy SU 3.0 27 33.76
10.52 61.69 44.45 SunTrustBanks STI 2.6 16 60.62
-9.18 38.05 26.01 SynchronyFin SYF 1.8 13 32.94
16.52 93.61 74.52 Syngenta SYT ... 41 92.11
SYY 2.4 26 54.80
-1.03 57.07 47.43 Sysco
139.57 36.16 11.02 TAL Education TAL ...119 28.01
29.07 89.42 62.05 TE Connectivity TEL 1.8 19 89.42
TU 4.3 23 36.38
14.22 37.26 30.31 Telus
TX 3.1 8 32.25
33.54 33.39 21.62 Ternium
TSU ... 33 19.01
61.10 19.42 11.17 TIM Part
TJX 1.8 20 70.54
-6.11 80.92 66.66 TJX
s 88.23 80.75 41.41 TableauSoftware DATA ... dd 79.34
s 46.61 42.18 28.34 TaiwanSemi TSM 2.7 19 42.15
-24.99 61.83 39.59 TargaResources TRGP 8.7 dd 42.06
TGT 4.1 12 60.26
-16.57 79.33 48.56 Target
-4.74 40.95 28.96 TataMotors TTM 0.0 18 32.76
-25.22 37.09 24.53 TechnipFMC FTI 2.0 ... 26.57
4.14 33.76 14.56 TeckRscsB TECK 0.8 8 20.86
82.66 34.01 17.04 TelecomArgentina TEO 1.4 17 33.19
-3.82 10.53 7.10 TelecomItalia TI 3.0 ... 8.55
-5.49 8.45 5.85 TelecomItalia A TI.A 4.4 ... 6.89
36.76 168.92 102.78 TeledyneTech TDY ... 31 168.22
TFX 0.6 46 242.79
50.66 248.68 136.53 Teleflex
18.68 16.85 11.95 TelefonicaBras VIV ... 23 15.88
8.80 11.64 8.15 Telefonica TEF 4.5 17 10.01
3.12 36.19 27.17 TelekmIndonesia TLK 2.4 15 30.07
t-25.40 37.21 25.91 Tenaris
TS 4.2105 26.64
s 68.27 42.81 22.68 Teradyne TER 0.7 20 42.74
t-63.26 44.12 13.26 TevaPharm TEVA 2.6 dd 13.32
TXT 0.2 16 53.03
9.21 55.80 38.79 Textron
36.37 201.20 139.07 ThermoFisherSci TMO 0.3 33 192.42
7.40 48.61 39.39 ThomsonReuters TRI 2.9 35 47.02
s 34.89 135.04 74.00 ThorIndustries THO 1.1 19 134.96
MMM 2.0 26 234.74
31.46 238.90 163.85 3M
TIF 2.1 26 94.05
21.46 97.29 71.86 Tiffany
2.34 103.90 85.22 TimeWarner TWX 1.6 19 98.79
s 46.90 45.65 26.65 Toll Bros
TOL 0.7 17 45.54
15.18 86.50 62.86 Torchmark TMK 0.7 18 84.96
TTC 1.1 27 63.84
14.10 73.86 46.37 Toro
15.00 57.79 44.37 TorontoDomBk TD 3.4 14 56.74
s 7.47 55.07 45.05 Total
TOT 5.4 18 54.78
43.81 71.63 47.01 TotalSystem TSS 0.7 31 70.51
6.00 124.32 103.62 ToyotaMotor TM ... 11 124.23
5.51 51.85 42.69 TransCanada TRP 4.2 56 47.64
11.46 295.00 203.72 TransDigm TDG ... 31 277.50
s 73.78 54.48 28.92 TransUnion TRU ... 46 53.75
7.06 134.47 103.45 Travelers TRV 2.2 15 131.06
38.55 9.69 6.35 TurkcellIletism TKC ... 17 9.56
-6.19 3.80 2.44 TurquoiseHill TRQ ... 50 3.03
s 33.01 21.96 14.12 Twitter
TWTR ... dd 21.68
26.31 183.98 139.61 TylerTech TYL ... 53 180.33
15.18 72.22 55.72 TysonFoods TSN 1.3 15 71.04
8.55 18.31 13.38 UBS Group UBS 3.5 16 17.01
UDR 3.2110 38.51
5.56 40.71 32.85 UDR
UGI 2.1 22 48.48
5.21 52.00 41.79 UGI
-1.24 30.73 22.19 US Foods USFD ... 20 27.14
19.29 25.39 18.38 UltraparPart UGP 2.2 30 24.74
-44.78 33.45 15.75 UnderArmour A UAA ... 33 16.04
-42.79 29.53 14.29 UnderArmour C UA ... 29 14.40
UN 2.9 26 56.97
38.75 61.62 38.41 Unilever
UL 3.0 25 55.53
36.44 60.13 38.58 Unilever
s 12.92 119.71 87.06 UnionPacific UNP 2.1 21 117.08
-17.33 83.04 54.38 UnitedContinental UAL ... 9 60.25
45.14 2.73 1.74 UnitedMicro UMC 3.2 26 2.54
s 5.33 121.75 102.12 UPS B
UPS 2.7 30 120.75
38.23 147.60 70.58 UnitedRentals URI ... 21 145.94
5.98 56.61 43.83 US Bancorp USB 2.2 16 54.44
X 0.7169 27.08
-17.96 41.83 17.05 US Steel
8.62 124.79 100.52 UnitedTech UTX 2.4 18 119.07
s 32.84 212.77 136.22 UnitedHealth UNH 1.4 24 212.60
-2.72 129.74 99.72 UniversalHealthB UHS 0.4 14 103.49
19.39 53.15 34.91 UnumGroup UNM 1.8 12 52.45
VER 7.0 dd 7.89
-6.74 9.41 7.44 VEREIT
VFC 2.6 29 70.90
32.90 71.95 48.05 VF
V 0.7 40 109.71
40.62 110.74 75.17 Visa
40.92 232.71 153.66 VailResorts MTN 1.9 46 227.32
VALE 5.7 14 10.01
31.36 11.71 6.59 Vale
13.80 78.64 57.40 ValeroEnergy VLO 3.6 17 77.75
14.07 73.14 54.38 Vantiv
VNTV ... 47 68.01
33.77 108.78 75.94 VarianMed VAR ... 40 106.35
VEDL 10.5 21 20.97
68.84 21.38 11.55 Vedanta
46.04 68.07 37.34 VeevaSystems VEEV ... 72 59.44
VTR 5.0 37 62.50
-0.03 72.36 56.20 Ventas
VZ 4.8 13 48.87
-8.45 54.83 42.80 Verizon
30.97 21.20 13.50 VistraEnergy VST ... 0 20.30
s 53.65 121.09 74.85 VMware
VMW ... 38 120.97
-13.55 90.29 69.78 VornadoRealty VNO 3.3 16 72.92
3.72 42.96 28.96 VoyaFinancial VOYA 0.1 dd 40.68
-2.16 138.18 108.95 VulcanMaterials VMC 0.8 40 122.45
WBC ... 27 150.24
41.54 156.08 96.10 WABCO
s 15.67 68.03 53.66 WEC Energy WEC 3.1 22 67.84
15.79 70.38 55.77 W.P.Carey WPC 5.9 33 68.42
WAB 0.6 29 76.27
-8.13 93.81 69.20 Wabtec
27.56 89.11 65.28 Wal-Mart WMT 2.3 21 88.17
37.17 74.20 48.78 WasteConnections WCN 0.8 61 71.87
s 16.08 82.69 63.19 WasteMgt WM 2.1 27 82.31
s 48.63 199.78 133.35 Waters
WAT ... 29 199.75
WSO 3.0 31 165.81
11.94 167.02 132.83 Watsco
s 35.69 186.33 113.34 WellCareHealth WCG ... 33 186.00
1.38 59.99 44.49 WellsFargo WFC 2.8 14 55.87
0.34 78.17 59.39 Welltower HCN 5.2 47 67.16
19.25 103.36 72.34 WestPharmSvcs WST 0.6 40 101.16
-5.29 57.50 49.20 WestarEnergy WR 3.0 22 53.37
15.48 56.67 36.30 WestAllianceBcp WAL ... 19 56.25
-7.72 47.82 37.44 WesternGasEquity WGP 5.5 24 39.08
-18.52 67.44 45.59 WesternGasPtrs WES 7.6 31 47.88
-6.72 22.70 18.39 WesternUnion WU 3.5 52 20.26
51.04 86.28 48.92 WestlakeChem WLK 1.0 24 84.57
8.94 27.05 22.17 WestpacBanking WBK 5.4 15 25.58
19.81 61.50 43.79 WestRock WRK 2.6 37 60.83
s 18.01 35.89 28.58 Weyerhaeuser WY 3.5 29 35.51
7.09 25.27 16.94 WheatonPrecMetals WPM 1.9 31 20.69
-11.20 202.99 148.32 Whirlpool WHR 2.7 15 161.41
WMB 4.2 47 28.62
-8.09 32.69 27.35 Williams
-2.97 42.32 32.93 WilliamsPartners WPZ 6.5 22 36.90
7.02 6.40 4.50 Wipro
WIT 0.6 31 5.18
42.75 53.50 30.62 WooriBank WF 2.8 8 45.68
39.53 110.74 64.14 Wyndham WYN 2.2 19 106.56
61.24 70.33 31.68 XPO Logistics XPO ... 80 69.59
20.91 50.56 38.00 XcelEnergy XEL 2.9 21 49.21
-12.71 39.96 25.84 Xerox
XRX 3.3 dd 30.48
XYL 1.1 42 64.86
30.98 66.28 45.60 Xylem
YPF 0.9 dd 24.52
48.61 26.48 15.00 YPF
18.81 78.14 59.57 YumBrands YUM 1.6 21 75.24
53.56 43.55 24.00 YumChina YUMC ... 27 40.11
30.32 17.25 11.14 ZTO Express ZTO ... 35 15.73
8.64 36.79 29.30 ZayoGroup ZAYO ...105 35.70
20.60 133.49 95.63 ZimmerBiomet ZBH 0.8 36 124.46
ZTS 0.7 36 64.05
19.65 66.34 46.86 Zoetis
0.53
0.13
0.22
0.10
-0.41
0.66
0.79
0.15
3.16
-7.10
-0.07
-0.11
-0.43
1.05
-1.02
-0.41
-0.03
0.03
-0.74
-1.00
1.26
-0.26
0.46
-0.01
1.09
0.01
-1.23
0.21
1.60
0.21
10.92
0.10
0.44
...
0.20
0.01
0.07
-0.04
-0.06
0.28
0.83
-0.25
-0.10
0.35
-0.93
-0.04
0.95
1.37
-1.75
0.48
-0.01
0.02
-0.37
-0.26
-0.17
0.73
1.49
0.19
-0.17
-0.20
0.50
0.71
-0.37
-0.73
-7.95
-0.34
1.72
1.80
-0.05
-0.18
0.22
-0.12
0.27
0.37
0.50
-0.20
0.38
0.93
4.50
2.56
-0.88
0.33
-0.03
1.37
-1.53
-0.26
-0.11
0.26
0.24
-0.04
0.67
-0.34
-0.25
-0.03
0.07
0.61
0.30
-0.01
1.42
4.70
0.14
-0.61
-0.86
3.45
-0.37
-0.25
0.14
0.40
-0.09
1.61
0.13
1.46
-0.74
1.94
-0.02
-0.05
1.40
-0.02
-0.19
1.96
-0.06
0.47
-0.56
-3.62
0.56
0.58
0.25
-0.45
-0.31
1.00
5.12
-0.04
3.73
0.25
1.40
0.23
0.55
0.05
0.54
0.80
0.01
-0.28
-0.10
0.36
0.63
0.33
-0.10
0.21
0.21
0.01
-1.80
0.09
0.45
0.16
-0.17
0.05
0.05
-0.63
-0.50
0.19
-0.05
3.46
0.31
NASDAQ
14.07 22.34 17.30 AGNC Invt AGNC 10.4 5 20.68 0.15
s 46.81 135.96 82.28 Ansys
ANSS ... 44 135.78 1.94
ASML 0.7 ... 178.93 1.11
59.47 179.28 98.71 ASML
s 60.69 183.96 101.28 Abiomed
ABMD ... 89 181.07 1.48
77.62 66.58 35.12 ActivisionBliz ATVI 0.5145 64.14 2.08
s 72.25 177.58 98.00 AdobeSystems ADBE ... 56 177.33 3.58
-20.52 71.64 44.65 AkamaiTech AKAM ... 32 53.00 -0.34
5.12 149.34 96.18 AlexionPharm ALXN ... 57 128.62 2.55
s145.44 239.83 83.30 AlignTech ALGN ... 71 235.94 32.96
-10.31 63.40 47.01 Alkermes ALKS ... dd 49.85 -5.12
220.30 126.16 31.38 AlnylamPharm ALNY ... dd 119.92 5.43
s 30.44 1063.62 743.59 Alphabet A GOOGL ... 37 1033.67 42.25
s 32.06 1048.39 727.54 Alphabet C GOOG ... 37 1019.27 46.71
AABA ... dd 67.52 1.95
74.61 69.51 38.24 Altaba
s 46.82 1105.58 710.10 Amazon.com AMZN ...279 1100.95 128.52
DOX 1.3 23 65.38 -0.03
12.24 67.98 54.91 Amdocs
s 6.75 399.29 307.80 Amerco
UHAL ... 20 394.52 -1.37
1.86 54.48 39.21 AmericanAirlines AAL 0.8 12 47.56 -1.05
AMGN 2.6 16 175.28 -1.24
19.88 191.10 133.64 Amgen
s 25.60 91.38 62.50 AnalogDevices ADI 2.0 44 91.21 0.65
AAPL 1.5 19 163.05 5.64
40.78 164.94 104.08 Apple
s 75.67 56.82 28.02 AppliedMaterials AMAT 0.7 20 56.69 0.76
15.55 102.60 76.55 ArchCapital ACGL ... 32 99.71 -0.90
95.31 50.88 23.80 Atlassian TEAM ... dd 47.03 -0.88
s 66.98 123.97 67.15 Autodesk ADSK ... dd 123.58 2.23
ADP 1.9 31 118.25 0.95
15.05 121.77 86.53 ADP
BOKF 2.0 19 88.25 0.90
6.27 92.08 68.72 BOK Fin
45.59 274.97 159.54 Baidu
BIDU ... 42 239.37 -21.25
-10.17 56.86 35.53 BankofOzarks OZRK 1.6 16 47.24 0.11
BIIB ... 19 307.74 0.10
17.82 348.84 244.28 Biogen
0.37 100.51 78.42 BioMarinPharm BMRN ... dd 83.15 0.62
17.56 64.41 40.00 Bioverativ BIVV ... 14 55.84 -1.41
21.01 29.44 21.51 BlueBuffaloPet BUFF ... 41 29.09 0.11
128.20 145.70 37.05 bluebirdbio BLUE ... dd 140.80 4.20
-9.10 75.00 52.75 BrighthouseFin BHF ... ... 63.63 0.44
43.07 259.36 160.62 Broadcom AVGO 1.6246 252.90 9.14
CA 3.1 19 32.87 0.24
3.46 36.54 30.01 CA
12.33 67.49 53.67 CDK Global CDK 0.8 34 67.05 0.39
CDW 0.9 26 69.60 0.30
33.61 71.53 43.64 CDW
8.95 81.16 63.41 CH Robinson CHRW 2.3 23 79.82 0.23
19.25 138.49 98.95 CME Group CME 1.9 31 137.55 0.95
CSX 1.5 27 52.54 0.19
46.23 55.48 30.01 CSX
s 70.82 43.23 24.15 CadenceDesign CDNS ... 46 43.08 0.36
YTD 52-Week
% Chg Hi Lo Stock
Yld
Net
Sym % PE Last Chg
CG 7.5 17 22.40 -0.20
46.89 24.85 14.45 Carlyle
s 51.51 112.50 61.72 CboeGlobalMkts CBOE 1.0 62 111.95 0.46
-15.19 147.17 94.55 Celgene
CELG ... 23 98.17 -1.82
37.87 73.86 47.01 Cerner
CERN ... 33 65.31 -6.01
11.06 408.83 241.50 CharterComms CHTR ...108 319.76 3.47
39.12 119.20 78.78 CheckPointSftw CHKP ... 26 117.50 1.62
151.62 142.80 41.69 ChinaLodging HTHT ... 70 130.44 0.26
-6.23 81.98 68.11 CincinnatiFin CINF 2.8 20 71.03 -4.99
CTAS 1.1 35 151.56 0.01
31.15 152.83 102.07 Cintas
13.93 34.73 29.12 CiscoSystems CSCO 3.4 18 34.43 0.16
16.29 87.99 65.56 CitrixSystems CTXS ... 28 82.70 1.50
s 97.11 125.59 49.68 Cognex
CGNX 0.3 58 125.40 2.05
34.55 75.51 51.12 CognizantTech CTSH 0.8 24 75.39 0.81
COHR ... 39 261.01 -1.41
89.98 281.00 100.01 Coherent
6.56 42.18 30.02 Comcast A CMCSA 1.7 18 36.79 0.52
1.63 60.61 46.57 CommerceBcshrs CBSH 1.5 21 58.75 0.15
-14.76 42.75 29.91 CommScope COMM ... 26 31.71 -0.02
CPRT ... 22 35.88 -0.03
29.51 36.65 25.37 Copart
s 58.83 301.04 179.22 CoStarGroup CSGP ... 90 299.38 10.13
COST 1.2 27 162.38 -0.08
1.42 183.18 142.11 Costco
17.82 60.65 39.71 Ctrip.com CTRP ...164 47.13 0.53
t-19.75 66.50 46.41 DISH Network DISH ... 21 46.49 -1.43
6.27 65.68 52.53 DentsplySirona XRAY 0.6 dd 61.35 -0.02
3.47 114.00 82.77 DiamondbackEner FANG ... 31 104.57 3.69
-21.10 30.80 19.80 DiscoveryCommB DISCB ... 12 23.00 0.30
-30.39 30.25 18.61 DiscoveryCommA DISCA ... 10 19.08 -0.26
-32.86 29.18 17.57 DiscoveryComm C DISCK ... 10 17.98 -0.29
20.77 93.68 65.63 DollarTree DLTR ... 24 93.21 -0.02
24.94 45.70 27.34 E*TRADE ETFC ... 20 43.29 -0.35
20.38 61.90 38.13 EastWestBancorp EWBC 1.3 17 61.19 -0.03
EBAY ... 5 36.80 -0.10
23.95 39.27 27.28 eBay
48.04 153.13 94.91 ElbitSystems ESLT ... 27 150.84 1.08
48.41 122.79 73.74 ElectronicArts EA ... 31 116.89 1.06
EQIX 1.8170 456.51 2.31
27.73 475.28 314.55 Equinix
ERIC 1.8 dd 6.20 0.08
6.35 7.47 4.83 Ericsson
10.25 129.73 98.36 ErieIndemnity A ERIE 2.5 31 123.98 -0.12
EXEL ...140 26.63 0.71
78.60 32.50 10.04 Exelixis
9.28 161.00 111.88 Expedia
EXPE 1.0 59 123.79 -23.56
12.10 60.81 47.23 ExpeditorsIntl EXPD 1.4 26 59.37 0.14
-9.59 77.50 55.80 ExpressScripts ESRX ... 10 62.19 3.26
-16.27 149.50 114.63 F5Networks FFIV ... 19 121.18 -2.87
s 54.61 178.21 113.55 Facebook FB ... 41 177.88 7.25
FAST 2.7 25 47.19 -0.30
0.45 52.74 38.09 Fastenal
7.79 29.22 21.18 FifthThirdBncp FITB 2.2 11 29.07 0.22
s 22.49 130.20 97.06 Fiserv
FISV ... 32 130.18 1.24
s 25.19 18.01 13.34 Flex
FLEX ... 29 17.99 0.64
30.34 48.06 31.81 FlirSystems FLIR 1.3 30 47.17 -0.55
28.62 41.56 28.50 Fortinet
FTNT ... 81 38.74 -1.36
18.13 39.32 29.32 Gaming&Leisure GLPI 7.0 20 36.17 0.10
GRMN 3.6 16 56.29 -0.18
16.09 56.75 46.80 Garmin
7.62 86.27 63.76 GileadSciences GILD 2.7 8 77.07 -0.81
4.24 37.20 26.82 Goodyear GT 1.7 7 32.18 -1.49
GRFS 1.5 ... 21.54 -0.07
34.04 22.82 14.27 Grifols
-17.27 44.73 28.97 HD Supply HDS ... 11 35.17 -0.33
HAS 2.3 21 97.14 2.21
24.87 116.20 77.20 Hasbro
0.92 93.50 73.11 HenrySchein HSIC ... 22 76.55 -4.92
HOLX ... 14 37.24 0.11
-7.18 46.80 35.15 Hologic
JBHT 0.8 29 109.61 0.73
12.92 111.98 80.12 JBHunt
5.45 14.74 10.07 HuntingtonBcshs HBAN 3.2 17 13.94 0.03
94.63 127.28 60.39 IAC/InterActive IAC ... 47 126.10 2.38
IDXX ... 58 168.37 4.12
43.57 173.01 102.45 IdexxLab
22.34 48.53 34.13 IHSMarkit INFO ... 45 43.32 0.33
10.74 61.10 40.65 INC Research INCR ... 36 58.25 1.00
111.02 211.73 92.88 IPG Photonics IPGP ... 35 208.30 -0.45
18.75 64.68 39.51 IRSA Prop IRCP 2.3 15 56.25 -8.40
-7.87 64.46 45.63 IcahnEnterprises IEP 10.9 7 54.91 0.04
s 61.09 123.53 73.76 Icon
ICLR ... 25 121.14 -1.65
ILMN ... 40 210.04 1.73
64.04 214.50 119.37 Illumina
INCY ... dd 116.27 0.71
15.96 153.15 83.01 Incyte
s 22.42 45.00 33.23 Intel
INTC 2.5 17 44.40 3.05
s 46.78 53.71 31.96 InteractiveBrkrs IBKR 0.7 46 53.59 1.07
s 33.90 153.86 103.22 Intuit
INTU 1.0 41 153.46 2.13
76.82 382.15 203.57 IntuitiveSurgical ISRG ... 48 373.78 1.42
17.92 65.51 24.58 IonisPharma IONS ...269 56.40 2.08
JD ... dd 37.36 0.55
46.86 48.99 23.38 JD.com
s 24.40 110.53 79.25 JackHenry JKHY 1.1 35 110.44 1.60
22.86 163.75 95.80 JazzPharma JAZZ ... 21 133.95 -4.51
JBLU ... 10 19.38 -0.21
-13.56 24.13 16.85 JetBlue
37.35 109.78 73.30 KLA Tencor KLAC 2.2 18 108.07 -0.78
-11.48 97.77 76.12 KraftHeinz KHC 3.2 25 77.30
...
LKQ ... 23 36.74 -0.36
19.87 37.70 27.85 LKQ
96.73 208.65 93.69 LamResearch LRCX 0.9 19 208.00 1.22
2.20 79.09 58.68 LamarAdvertising LAMR 4.8 23 68.72 0.06
13.92 104.35 61.69 LibertyBroadbandA LBRDA ...486 82.55 0.31
12.70 104.66 63.64 LibertyBroadbandC LBRDK ...491 83.48 -0.20
-0.33 37.69 28.17 LibertyGlobal A LBTYA ... 34 30.49 -0.50
-0.27 37.00 27.36 LibertyGlobal C LBTYK ... 33 29.62 -0.38
-3.46 28.11 19.10 LibertyLiLAC A LILA ... 24 21.20 -0.03
0.85 27.82 19.33 LibertyLiLAC C LILAK ... 24 21.35 0.15
12.00 25.10 17.62 LibertyQVC B QVCB ... 9 22.68 0.15
13.61 26.00 17.24 LibertyQVC A QVCA ... 9 22.70 -0.34
47.95 62.41 36.54 LibertyVenturesA LVNTA ... 18 54.55 0.59
17.22 39.37 26.95 LibertyFormOneA FWONA ... ... 36.75 0.98
22.85 41.14 26.44 LibertyFormOneC FWONK ... ... 38.49 0.86
19.47 26.52 16.52 LibertyBraves A BATRA ... dd 24.48 0.06
19.09 26.20 16.18 LibertyBraves C BATRK ... dd 24.52 0.12
21.84 46.43 31.83 LibertySirius A LSXMA ... 31 42.06 -0.06
24.03 46.24 32.13 LibertySirius C LSXMK ... 31 42.07 -0.04
20.45 99.59 63.49 LincolnElectric LECO 1.7 27 92.35 -6.33
39.93 40.82 23.59 LogitechIntl LOGI 1.8 27 34.66 0.24
s 26.41 129.51 90.35 LogMeIn
LOGM 0.81110 122.05
...
-3.99 72.70 47.26 lululemon LULU ... 30 62.40 0.39
s 79.88 107.05 48.05 MKS Instrum MKSI 0.7 19 106.85 0.95
19.51 211.06 145.10 MarketAxess MKTX 0.8 45 175.59 -3.84
s 43.77 119.42 66.69 Marriott
MAR 1.1 41 118.87 0.06
32.95 18.88 12.30 MarvellTech MRVL 1.3 43 18.44 0.04
s 52.11 26.28 15.08 MatchGroup MTCH ... 36 26.01 0.80
35.00 53.10 37.32 MaximIntProducts MXIM 2.8 25 52.07 0.06
46.42 24.57 14.88 MelcoResorts MLCO 1.5 45 23.28 -0.02
51.18 297.95 148.98 MercadoLibre MELI 0.3 72 236.05 7.05
s 47.65 94.81 59.38 MicrochipTech MCHP 1.5 51 94.72 1.60
86.36 42.19 16.45 MicronTech MU ... 9 40.85 0.25
-2.37 57.97 41.14 Microsemi MSCC ... 50 52.69 0.21
s 34.87 86.20 57.28 Microsoft MSFT 2.0 31 83.81 5.05
MIDD ... 22 117.11 -0.95
-9.08 150.87 109.66 Middleby
MOMO ... 29 29.43 0.16
60.12 46.69 16.73 Momo
-8.23 47.23 40.04 Mondelez MDLZ 2.2 36 40.68 -0.23
...
27.99 57.25 40.64 MonsterBeverage MNST ... 43 56.75
MYL ... 31 38.35 -0.22
0.52 45.87 29.39 Mylan
19.30 118.00 95.88 NXP Semi NXPI ... 26 116.93 0.31
NDAQ 2.1 48 72.34 0.05
7.78 78.31 63.30 Nasdaq
s 48.86 46.33 27.08 NatlInstruments NATI 1.8 55 45.88 1.53
NTAP 1.8 21 44.01 -0.41
24.78 45.24 30.36 NetApp
NTES 1.2 19 283.53 7.47
31.67 337.55 211.11 Netease
NFLX ...202 199.54 4.33
61.18 204.38 110.68 Netflix
19.46 14.48 10.99 NewsCorp A NWSA 1.5 dd 13.69 0.01
18.22 14.90 11.25 NewsCorp B NWS 1.4 dd 13.95 -0.05
NDSN 1.0 25 126.16 -0.97
12.59 131.49 96.05 Nordson
6.36 99.30 71.62 NorthernTrust NTRS 1.8 21 94.71 -0.81
30.83 61.48 35.21 NorwegianCruise NCLH ... 19 55.64 0.72
s 89.11 201.87 66.58 NVIDIA
NVDA 0.3 57 201.86 6.17
-22.04 286.57 169.43 OReillyAuto ORLY ... 18 217.04 3.04
s 44.35 124.13 72.99 OldDomFreight ODFL 0.3 31 123.84 6.61
s 62.62 20.78 10.74 ON Semi
ON ... 31 20.75 0.35
12.34 35.21 29.30 OpenText OTEX 1.5 8 34.72 0.34
s 43.57 66.52 43.12 PTC
PTC ...1329 66.43 1.76
PCAR 1.4 18 71.87 -0.21
12.47 75.68 53.38 Paccar
-10.14 57.53 41.28 PacWestBancorp PACW 4.1 16 48.92 0.04
s 7.42 65.62 52.78 Paychex
PAYX 3.1 29 65.40 0.81
PYPL ... 55 71.06 -0.28
80.04 72.07 38.06 PayPal
-2.27 20.13 15.96 People'sUtdFin PBCT 3.6 21 18.92 0.07
64.35 31.42 17.15 PilgrimPride PPC ... 16 31.21 0.16
28.98 2067.99 1422.19 Priceline
PCLN ... 40 1890.92 -48.37
QGEN ...104 34.05 0.34
17.02 36.34 24.86 Qiagen
QRVO ... dd 73.72 2.16
39.81 79.34 48.28 Qorvo
-16.30 70.53 48.92 Qualcomm QCOM 4.2 21 54.57 0.77
27.71 108.29 67.54 RandgoldRscs GOLD 1.0 33 97.49 1.34
11.48 543.55 325.35 RegenPharm REGN ... 41 409.22 -6.82
-2.71 69.81 52.85 RossStores ROST 1.0 21 63.82 -0.45
RYAAY ... 16 103.83 -0.97
24.71 122.67 74.61 Ryanair
37.91 154.71 102.29 SBA Comm SBAC ...489 146.72 0.17
30.57 65.30 43.65 SEI Investments SEIC 0.9 28 64.45 -0.42
SINA ... 35 105.00 -0.39
87.18 119.20 55.79 Sina
41.99 42.48 28.43 SS&C Tech SSNC 0.7 39 40.61 0.06
s 26.23 223.82 116.59 SVB Fin
SIVB ... 26 216.69 24.32
16.87 88.45 62.73 ScrippsNetworks SNI 1.4 17 83.41 -0.22
STX 6.8 14 36.90 -1.28
-3.33 50.96 30.60 Seagate
18.87 75.36 45.31 SeattleGenetics SGEN ... dd 62.73 1.54
SHPG 0.2 68 142.17 3.93
-16.56 192.64 137.80 Shire
-11.32 164.23 116.68 SignatureBank SBNY ... 19 133.19 -1.14
SIRI 0.8 31 5.54 -0.04
24.49 5.89 4.09 SiriusXM
44.54 112.11 71.65 Skyworks SWKS 1.2 21 107.91 2.39
SPLK ... dd 66.65 -0.02
30.30 69.61 50.64 Splunk
-1.15 64.87 50.84 Starbucks SBUX 1.8 28 54.88 -0.03
8.68 40.17 26.52 SteelDynamics STLD 1.6 18 38.67 -0.22
-7.84 88.00 68.62 Stericycle SRCL ... dd 71.00 -0.78
34.32 34.20 22.76 Symantec SYMC 0.9 dd 32.09 0.23
s 48.13 87.47 56.03 Synopsys SNPS ... 41 87.19 0.38
15.85 51.22 33.26 TD Ameritrade AMTD 1.7 31 50.51 -0.43
TSRO ... dd 115.62 2.53
-14.02 192.94 106.64 TESARO
9.46 68.88 48.76 T-MobileUS TMUS ... 25 62.95 1.22
24.87 97.35 62.97 TRowePrice TROW 2.4 15 93.98 -1.09
s118.79 108.04 43.33 TakeTwoSoftware TTWO ... 71 107.84 2.41
TSLA ... dd 320.87 -5.30
50.16 389.61 178.19 Tesla
s 33.62 97.56 66.80 TexasInstruments TXN 2.5 23 97.50 1.35
-23.15 78.25 49.87 TractorSupply TSCO 1.9 17 58.26 0.91
s 42.26 43.97 25.30 Trimble
TRMB ... 56 42.89 1.68
-5.81 32.60 25.14 21stCenturyFoxA FOXA 1.4 17 26.41 0.10
-5.50 31.94 24.78 21stCenturyFoxB FOX 1.4 16 25.75 0.05
-21.97 314.86 187.96 UltaBeauty ULTA ... 26 198.93 -1.58
8.45 233.42 180.29 UltimateSoftware ULTI ...202 197.75 1.98
141.74 145.30 49.45 UniversalDisplay OLED 0.1 79 136.10 2.55
VEON 2.8 4 3.92 0.04
1.82 4.50 3.15 VEON
VRSN ... 29 109.07 -0.13
43.38 110.82 75.71 VeriSign
4.64 88.17 75.60 VeriskAnalytics VRSK ... 31 84.94 0.11
103.76 167.85 71.46 VertxPharm VRTX ...192 150.11 6.35
t-19.87 49.00 30.30 Viacom A VIA 2.6 8 30.85 -0.95
-29.74 46.72 23.45 Viacom B VIAB 3.2 7 24.66 -0.64
17.56 30.39 24.17 Vodafone VOD 8.2 dd 28.72 0.04
t-23.01 119.12 85.06 WPP
WPPGY 3.5 10 85.20 -2.61
t-22.09 88.00 63.82 WalgreensBoots WBA 2.5 17 64.48 -2.63
WB ... ... 90.89 0.93
123.87 108.30 40.12 Weibo
28.20 95.77 54.26 WesternDigital WDC 2.3 68 87.11 -2.27
32.17 164.58 112.76 WillisTwrsWatson WLTW 1.3 46 161.62 -1.20
WDAY ... ... 108.51 1.39
64.19 111.45 65.79 Workday
65.47 150.40 82.51 WynnResorts WYNN 1.4 40 143.15 -2.19
XLNX 1.9 31 72.76 2.13
20.52 73.32 49.78 Xilinx
YNDX ... 97 32.38 -0.30
60.85 34.27 17.28 Yandex
30.14 113.12 62.91 ZebraTech ZBRA ... dd 111.61 0.13
ZG ... dd 41.02 -0.18
12.54 50.91 31.65 Zillow A
Z
12.81 51.23 31.90 Zillow C
... dd 41.14 -0.29
9.46 48.33 30.85 ZionsBancorp ZION 1.0 18 47.11 0.18
NYSE AMER
10.55
-1.25
11.94
-8.20
51.41
33.47
27.45
36.85
35.07 CheniereEnergy LNG ... dd
25.97 CheniereEnerPtrs CQP 6.2 dd
19.00 CheniereEnHldgs CQH 0.3313
27.59 ImperialOil IMO 1.6 13
45.80
28.46
25.04
31.91
0.82
0.80
0.27
0.88
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B10 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
MONEY & INVESTING
Venezuela Bonds Rise on Payment Pledge
Venezuelan bonds rallied
after the country’s stateowned oil company said it
would make a debt payment
that was due Friday, allaying
concerns that a default was
imminent.
Relief Rally
Petróleos de Venezuela SA’s
announcement that it would
make a debt payment due Friday
boosted bond prices.
100 cents on the dollar
By Julie Wernau,
Carolyn Cui
and Kejal Vyas
90
85
80
PdVSA 2020
75
WIL RIERA/BLOOMBERG NEWS
The bond in question, the
Petróleos de Venezuela SA
bond maturing Oct. 27, 2020,
gained 5% to 85.76 cents on
the dollar as of midday Friday,
according to MarketAxess
BondTicker. The PdVSA bond
due on Nov. 2, 2017, added
4.9% to 97 cents on the dollar.
PdVSA said it had begun
making the corresponding
bank transfers to accounts
managed by J.P. Morgan
Chase & Co. used to pay bondholders the $842 million in
principal due Friday. It didn’t
specify if it would make the
interest payment that also was
due, which Bank of America
Merrill Lynch said amounts to
$143 million.
The status of the payment
process wasn’t immediately
clear Friday. Paying agent Delaware Trust Co., the administrator set up to receive the
funds, said the payment hadn’t
been received as of the 10 a.m.
EDT deadline.
Both the country and Pd-
PdVSA 2017
95
Thursday
Friday
Source: MarketAxess BondTicker
THE WALL STREET JOURNAL.
Residents carry gas canisters after a weekly delivery in the port city of La Guaira in early October.
VSA have fallen behind on several interest payments in recent weeks, which have a 30day grace period. But there is
no grace period for the principal payment, according to
bond documents, meaning a
delay could lead to a default.
The strategy of prioritizing
the payments that are immediately due shows that “it is a
country and a company that
continues to be in financial
stress,” said Russ Dallen, managing partner at investment
bank Caracas Capital Markets, which trades Venezuelan
bonds. “They are using the
same 30-day grace period to
delay payments on all of the
coupons they have been late
on,” he said.
Venezuela’s
information
ministry didn’t respond to a
request for comment.
The PdVSA Twitter account
sent out several English-language messages regarding the
debt deadline on Friday. “The
Bolivarian Republic of Venezuela, through PDVSA, has consistently honored its obligations…thus proving wrong the
doomsayers that bet on the
economic ruin of the country
and attack the Venezuelan
people….” some of the tweets
said.
A PdVSA spokesman didn’t
immediately respond to calls
and emails seeking comment.
President Nicolás Maduro
and other Venezuelan government officials have said they
would pay off their debt, and
in recent years investors have
been rewarded with some of
the best returns in emerging
markets. The Venezuela por-
tion of an emerging-market
bond index, the J.P. Morgan
EMBI Global Diversified, is up
57% from the beginning of
2015 through Thursday versus
21% for the broader index.
But some investors remain
nervous about future debt obligations. The country has a
$1.2 billion payment due Nov.
2. The South American country is stretched for cash with
prices for oil, its main export,
still at half the level of three
years ago.
But while it has cut food
and medicine imports, the Maduro administration has continued to pay bondholders.
Some analysts say a default
would paralyze its oil industry,
leaving foreign assets and
crude tankers vulnerable to
seizure by creditors.
“I really want to emphasize
how day to day the situation
is,” said Patrick Esteruelas,
head of research at EMSO Asset Management. “Just because they’ve secured enough
to make today’s payment
doesn’t mean that they have
the money to pay next week.”
Mr. Esteruelas said he
thinks PdVSA is buying as
much time as possible, knowing that even if the company
misses Friday’s deadline it
likely will take time for bond
investors and those in the
credit-default-swap market to
declare a default.
Wells Fargo Trading Under Scrutiny Dimon Made $100M
Federal prosecutors are investigating foreign-exchange
trading at Wells Fargo & Co.
and have subpoenaed information from the firm, which recently fired bankers in that
business, according to people
familiar with the matter.
The investigation, which is
in the early stages, is being
conducted by the U.S. Attorney’s Office for the Northern
District of California, some of
the people said. The office
subpoenaed information in recent days, according to some
of the people. A week ago, The
Wall Street Journal reported
that Wells Fargo had fired four
foreign-exchange
bankers
amid an internal investigation.
Issues within the bank’s
foreign-exchange operation revolve around a single trade
and ensuing dispute with one
client, Restaurant Brands International Inc., the people
said. This company is the
owner of Burger King, Tim
Hortons and Popeyes Louisiana Kitchen, and—like Wells
Fargo—counts Warren Buffett’s Berkshire Hathaway
Inc. as a major shareholder.
In a statement, Wells Fargo
said it “learned of an issue associated with a foreign-exchange transaction for a single
client. The matter was reviewed, the client was
promptly notified regarding
the issue, and Wells Fargo
leadership took steps to hold
accountable the individuals
who were involved. Wells Fargo
SPENCER PLATT/GETTY IMAGES
BY EMILY GLAZER
AND NICOLE HONG
The probe is separate from sales-practices issues that hit the bank.
remains committed to our foreign-exchange business, meeting our clients’ financial needs
in an ethical way, and ensuring
ongoing review of this and all
business operations.”
A spokesman for the U.S.
Attorney’s Office for the Northern District didn’t respond to
requests for comment.
Investigations into Wells
Fargo’s foreign-exchange business, which is housed within
its investment bank, are separate from sales-practices issues that rocked the bank
more than a year ago. But they
come at a sensitive time for
the bank: Wells Fargo remains
under political and regulatory
pressure because of the sales
scandal, which remains under
separate investigation by the
Justice Department and other
agencies. The U.S. Attorney’s
Office for the Northern District also is involved in one of
those investigations.
New Highs and Lows | WSJ.com/newhighs
52-Wk %
Sym Hi/Lo Chg Stock
52-Wk % Stock
Sym Hi/Lo Chg AllianzGIConv24 CBH
9.28 -2.8 Satrn JCPen
Stock
The foreign-exchange issue
revolves around a trade made
within the past three years
that included positions running into the billions of dollars for Restaurant Brands, the
people said. The trade resulted in a loss to Restaurant
Brands, the people added,
which led to a dispute between it and the bank.
Wells Fargo is planning to
refund Restaurant Brands hundreds of thousands of dollars
because of the loss, one of the
people familiar with the matter said.
In addition to the Justice
Department, potential issues
around the Wells Fargo trade
also are being examined by
the Federal Reserve, some of
the people said.
The bank recently fired the
four foreign-exchange bankers
for cause and launched an internal investigation, according
to people familiar with the
52-Wk %
Sym Hi/Lo Chg Stock
Continued From Page B6
52-Wk % iShCoreMSCIPacific IPAC
Sym Hi/Lo Chg iShCoreS&P500ETF IVV
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HJV
SCG
SFS
IPOA.WS
SNVpC
SKT
TCO
TS
TEVA
VSI
PPR
WOW
INT
PCM Fund
PCM
PNM Resources PNM
PPG Ind
PPG
PaycomSoftware PAYC
Penumbra
PEN
PerkinElmer
PKI
PrincipalFin
PFG
ProtoLabs
PRLB
PublicServiceEnt PEG
PulteGroup
PHM
QuakerChemical KWR
QuintilesIMS
Q
RadianGroup RDN
ReinsuranceGrp RGA
ResMed
RMD
RiverNorthMktPfA RMPLp
RobertHalf
RHI
Rogers
ROG
RoperTech
ROP
RoyalBkScotland RBS
SAP
SAP
SafeguardSci SFE
Salesforce.com CRM
SantanderConUSA SC
SelectMedical SEM
Spire
SR
Square
SQ
Stantec
STN
Steris
STE
STMicroelec
STM
Stryker
SYK
Synnex
SNX
TRI Pointe
TPH
TableauSoftware DATA
TaiwanSemi
TSM
Teradyne
TER
ThorIndustries THO
Toll Bros
TOL
Total
TOT
TransUnion
TRU
TsakosEngyNavPfdE TNPpE
Twitter
TWTR
UnionPacific
UNP
UPS B
UPS
UnitedHealth UNH
VenatorMaterials VNTR
VersumMaterials VSM
Vishay
VSH
VMware
VMW
VoceraComm VCRA
WEC Energy WEC
WasteMgt
WM
Waters
WAT
WellCareHealth WCG
Weyerhaeuser WY
WW Ent
WWE
AlticeUSA
ATUS
AnadarkoPeteUn AEUA
AquaVenture WAAS
ArlingtonAsset AI
AvonProducts AVP
BT Group
BT
BakerHughes BHGE
BlueCapReins BCRH
BoardwalkPipe BWP
BrixmorProp
BRX
BrookdaleSrLiving BKD
CVS Health
CVS
Cabco JCP PFH PFH
CapsteadMtg CMO
CardinalHealth CAH
Celestica
CLS
CenturyLink
CTL
CircorIntl
CIR
Cloudera
CLDR
ColonyNorthStar CLNS
Corts JCPen JBR JBR
Corts JCPen JBS JBN
Corts JC KTP KTP
Coty
COTY
DDR
DDR
DTFTaxFrIncome DTF
DeanFoods
DF
DeutscheMuniIncmTr KTF
EastmanKodak KODK
EdgewellPersonal EPC
EducationRealty EDR
EndeavourSilver EXK
FS Investment FSIC
FederalRealty FRT
GGP
GGP
GabelliGlbSmRt GGZr
GeneralElec
GE
GlaxoSmithKline GSK
HCP
HCP
KKRIncomeOppsRt KIOr
Kellogg
K
KinderMorgan KMI
KinderMorganPfdA KMIpA
LightInTheBox LITB
Luby's
LUB
Mack-Cali
CLI
Mallinckrodt
MNK
McEwenMining MUX
Merck
MRK
MolsonCoors B TAP
NaborsIndustries NBR
NewellBrands NWL
NuvCT QualMuni NTC
NuvHiIncmDec18 JHA
OilStatesIntl
OIS
Omnicom
OMC
Owens&Minor OMI
PenneyJC
JCP
PA Reit
PEI
4.35 -2.2 PIMCOCAMuniIII PZC
5.05 ... RangerEnergySvcs RNGR
64.77 1.8 RiteAid
RAD
11.98
43.40
119.85
82.52
100.60
72.77
69.20
89.95
49.64
30.16
156.91
108.43
21.59
152.19
87.81
25.30
53.50
146.06
257.82
7.62
114.41
14.40
101.98
16.53
19.77
78.90
35.29
28.90
92.96
23.37
160.62
134.71
17.26
80.75
42.18
42.81
135.04
45.65
55.07
54.49
25.80
21.96
119.71
121.75
212.77
26.90
41.31
22.00
121.09
32.23
68.03
82.70
199.78
186.33
35.89
26.26
0.6
3.2
-0.6
1.3
3.6
0.9
-0.1
-1.5
0.3
1.0
3.7
2.0
1.4
5.1
7.4
-0.5
-0.8
1.9
...
1.6
0.7
1.1
0.6
4.4
1.0
1.0
3.2
0.7
1.8
0.9
7.3
0.4
1.5
-0.1
2.3
1.7
1.3
0.5
0.9
5.0
-0.2
6.7
0.5
1.2
1.6
-2.7
0.7
0.2
1.6
-4.6
0.8
1.2
2.6
2.0
1.8
6.9
NYSE lows - 79
AHBeloA
AdvantageOil
AlaskaAir
AHC
AAV
ALK
22.74 -0.8
34.77 0.1
11.14 -7.2
11.28 1.0
2.11 1.4
17.46 -1.2
29.62 4.5
13.05 ...
13.83 -2.5
17.32 1.8
9.44 0.4
68.16 -5.9
12.28 -7.5
9.07 0.8
61.64 -4.2
10.46 -9.4
17.40 -5.6
45.29 -8.1
14.50 1.8
12.35 0.3
10.00 -8.8
10.15 -10.0
12.23 -10.1
14.81 -2.2
7.67 0.3
14.07 0.1
9.61 -1.0
11.88 -0.7
5.25 -1.8
64.25 -0.9
35.04 0.2
2.07 1.4
7.85 0.6
119.54 -0.2
19.80 -2.4
0.27 -11.8
20.64 -2.5
36.16 -1.0
25.09 1.4
0.30 -8.3
59.82 -0.5
17.82 0.2
37.34 -1.3
1.80 -7.0
2.41 0.4
22.23 1.2
30.15 -1.1
1.92 0.5
57.82 -6.0
78.10 -2.4
5.32 -9.6
39.58 -1.0
11.95 -0.2
9.90 0.1
20.23 -2.0
68.00 -2.6
25.91 -5.8
2.76 -14.8
9.32 -1.1
10.51 -0.6
10.80 -3.4
1.54 -6.0
Scana
Smart&FinalStores
SocialCapHedWt
SynovusFinlPfdC
Tanger
TaubmanCtrs
Tenaris
TevaPharm
VitaminShoppe
VoyaPrimeRate
WideOpenWest
WorldFuelSvcs
10.25 -10.2
45.36 -2.8
5.95 -2.4
1.60 -1.2
26.02 -0.6
22.65 -4.4
47.01 -1.3
25.91 1.9
13.26 -2.7
4.50 3.2
5.13 0.4
13.04 -3.2
29.63 -15.1
NYSE Arca highs - 176
ARKIndlInnovation ARKQ
ARKWebx.0ETF ARKW
AdvShNewTech FNG
CSOPFTSEChinaA50 AFTY
ColumbiaIndiaCnsmr INCO
CSAxela3xLgBrent UBRT
CS FI LC Grwth FLGE
DeltaShS&P500Mgd DMRL
DeltaShS&P400Mgd DMRM
DiamondHillVal DHVW
DirexCSI300CnABl2 CHAU
DirexHmbldrBull3 NAIL
DirexJapanBl3 JPNL
DirexMcBull3 MIDU
DirexS&P500Bl3 SPXL
DirexS&P500Bl1.25 LLSP
DirexSemiBl3 SOXL
DirexKRBull3 KORU
DirexTechBull3 TECL
ETFMG PrimeMob IPAY
ETRACSMnthly2xLev SPLX
FidelityLowVol FDLO
FidelityMSCIIT FTEC
FidelityMomFactor FDMO
FT DJ Internet FDN
FT Dow30EW EDOW
FT DJ SelMicro FDM
FT GlbEngg
FLM
FT TechAlphaDEX FXL
FT ValueLine100 FVL
FlexMrnUSMktFtrTlt TILT
GlbXSciBetaJapan SCIJ
GSActiveBetaJapan GSJY
GSActiveBetaUSLC GSLC
GraniteS&P Comm COMG
GuggDefEqty DEF
GuggS&P500EWTech RYT
GuggS&P500PureGr RPG
GuggS&P400PrGrwth RFG
GuggS&P500Top50 XLG
GuggSolar
TAN
GuggUltraShrtDur GSY
HullTacticalUS HTUS
IQ50%HdgFTSEIntl HFXI
IQ50%HdgFTSEJapan HFXJ
IQ HedMultStra QAI
iPath MSCI India INP
33.07
42.56
22.50
18.01
45.08
129.33
211.58
52.37
52.18
30.73
28.92
69.82
71.32
43.14
41.24
34.49
143.99
57.58
106.31
34.03
50.13
29.60
49.31
30.47
107.32
21.11
47.65
58.02
50.77
23.27
109.01
31.75
32.72
51.35
26.08
45.43
142.19
103.39
149.76
183.54
24.00
50.39
28.18
21.48
22.06
30.39
84.80
0.9
2.3
2.7
1.5
1.9
5.3
3.1
0.8
2.3
0.7
1.7
1.0
1.8
1.4
2.4
0.9
6.1
5.5
7.9
0.4
2.1
0.5
2.6
1.5
2.0
...
0.6
0.6
1.0
0.9
0.5
0.1
0.6
0.5
1.6
0.5
0.9
0.9
0.7
1.5
3.6
...
0.7
0.6
0.7
0.2
0.5
iShCoreS&PMdCp IJH
iShS&PTotlUSStkMkt ITOT
iShCurrHdgNikk400 HJPX
iShCurHdgMSCIUS HAWX
iShCurHdgMSCIEAFE HSCZ
iShCurHdMSCIEurozn HEZU
iShCurrHdMSCIJapan HEWJ
iShUSHealthcarePrv IHF
iShU.S.Technology IYW
iShEdgeMSCIMinJapn JPMV
iShEdgeMSCIMultUSA LRGF
iShEdgeMSCIUSASC SMLF
iShGlobal100 IOO
iShJPX-Nikkei400 JPXN
iShMSCIJapanETF EWJ
iShMSCIJapanSC SCJ
iShMSCIKLD400Soc DSI
iShMSCISingapore EWS
iShMSCISouthKorea EWY
iShMSCITaiwanCap EWT
iShMSCIUSAESGSelct SUSA
iShMornLCGrowth JKE
iShRussell1000Gwth IWF
iShRussell1000ETF IWB
iShRussellTop200Gr IWY
iShRussellTop200 IWL
iShS&P100
OEF
iShS&PMC400Growth IJK
iShS&P500Growth IVW
iShGlobalTechETF IXN
iShGlobalConsDiscr RXI
iShNorthAmerTech IGM
iShDowJonesUS IYY
JPM DivRetIntl JPIH
JPM Div US SC JPSE
KnowldgLdrDevWrld KLDW
KraneBoseraChinaA KBA
MeidellTactical MATH
OppenheimFclsSect RWW
PIMCOEnhShMaturity MINT
PwrShCleantch PZD
PwrShDynBldg&Con PKB
PwrShDynMkt PWC
PwrShDynSemicon PSI
PwrShDynSoftware PSJ
PwrShDynLC Grwth PWB
PwrShIndia
PIN
PwrShS&P500xRate XRLV
PrincipalEDGEActv YLD
ProShrUltraJapan EZJ
ProShrUMdCp400 MVV
ProShrUltraQQQ QLD
ProShrUltraS&P SSO
ProShrUlSemi USD
ProShrUlTech ROM
ProShUltMC400 UMDD
ProShUltS&P500 UPRO
SPDRMSCIACWIIMI ACIM
SPDRMSCIEMStrat QEMM
SPDRMSCIUSAStrat QUS
SPDR NYSE Tech XNTK
SPDRS&P500Growth SPYG
SPDR Ptf TSM SPTM
58.58
259.64
183.42
59.09
29.91
26.85
30.51
30.72
32.72
151.14
160.57
66.64
30.97
39.11
90.75
63.34
58.43
76.33
95.54
25.57
73.64
37.97
108.12
151.65
129.97
143.50
70.66
59.36
114.45
209.52
148.40
151.69
103.79
166.35
129.10
30.11
29.21
32.56
34.50
32.50
66.88
101.85
42.86
33.05
93.68
53.46
65.71
40.34
25.57
32.61
42.10
123.00
115.12
69.50
101.71
121.18
85.76
104.21
125.61
76.91
63.70
74.75
83.32
32.06
32.07
0.7
0.8
0.5
0.8
1.6
0.9
1.1
0.1
0.5
1.4
2.9
0.7
0.4
0.8
0.8
0.7
0.8
0.8
0.8
1.3
1.6
1.0
0.4
2.0
1.5
0.8
2.0
1.0
1.1
0.6
1.6
2.6
0.7
2.9
0.7
0.3
0.6
0.4
0.6
...
-0.3
...
0.9
0.5
0.5
1.4
1.8
0.8
0.6
0.2
...
1.0
1.0
5.6
1.6
6.1
5.8
1.3
2.5
0.8
1.0
0.4
1.6
1.5
0.8
matter. Those fired were Simon Fowles, recently head of
foreign-exchange trading; Bob
Gotelli, recently head of foreign-exchange sales; Jed Guenther, recently a regional head
of foreign exchange, and Michael Schaufler, chief spot
dealer, The Wall Street Journal has previously reported.
A spokeswoman for the
bank has confirmed that these
individuals no longer work for
Wells Fargo.
The bankers didn’t respond
to requests for comment.
Federal prosecutors are
looking into the sequencing of
the trade in question and
whether it could have involved so-called front-running, some of the people familiar with the matter said.
Front-running typically involves a trader jumping ahead
of a client’s order, buying or
selling for their own account
to profit when the larger
transaction moves a price.
In its statement, Wells
Fargo said, “The departure of
these employees was not related to issues involving market collusion, front-running or
market manipulation.”
Wells Fargo’s investmentbanking, securities and markets
division, known as Wells Fargo
Securities, is a fraction of the
size of its U.S. big-bank peers,
as is its foreign-exchange business. The bank doesn’t break
out financial results or metrics
for that group or its foreign-exchange business.
—Julie Jargon
and Ryan Tracy
contributed to this article.
52-Wk %
Sym Hi/Lo Chg Stock
SPDRMomentumTilt MMTM
SPDR S&P500MidGr MDYG
SPDRS&P500Fossil SPYX
SPDRS&PSft&Svs XSW
SchwabUS BrdMkt SCHB
SchwabUS Div SCHD
SchwabUS LC SCHX
SchwabUS LC Grw SCHG
SPDR S&PMdCpTr MDY
SPDR S&P 500 SPY
SPDR S&P Semi XSD
TechSelectSector XLK
UBS FIEnhLCGrw FBGX
USAACoreST USTB
USAA EM ValMom UEVM
USAA USA SC Val USVM
USAA USA ValMom ULVM
USBrentOilFd BNO
USDieselHeatingOil UHN
US3xOilFd
USOU
VanEckCSI300 PEK
VanEckGlbAltEn GEX
VanEckIndiaSC SCIF
VanEckSemiconduc SMH
VanEckUranium NLR
VanEckVietnam VNM
VangdInfoTech VGT
VangdCnsmrDiscr VCR
VangdDivApp VIG
VangdFTSE Pac VPL
VangdGrowth VUG
VangdLC
VV
VangdMegaCap MGC
VangdMegaGrwth MGK
VangdS&P500 VOO
VangdS&P500 Grw VOOG
VangdS&PMC400 IVOO
VangdS&P400Grwth IVOG
WBITacticalLCS WBIL
WBITacticalLCV WBIF
WBITacticalLCY WBIG
WBITacticalSMG WBIA
WBITacticalSMS WBID
WisdTrCBOES&P500 PUTW
WisdTrIntlHdgQual IHDG
WisdTrJpnCapGds DXJC
WisdTrJpnHdgQuDiv JHDG
WisdTrJapanHdg DXJ
WisdTrJpnFinls DXJF
WisdTrJapanSC DFJ
WisdTrUSLCValueFd EZY
WisdTrUSMCEarn EZM
WisdTrUSTotalEarn EXT
XtrkrsHarvCSI300 ASHR
XtrkrsJpnJPXNik400 JPN
XtrkrsMSCIAWxUS DBAW
XtrkrsMSCIEAFE DBEF
XtrkrsMSCIHiDiv HDEF
XtrkrsMSCIEurope DBEU
XtrkrsMSCIEurozone DBEZ
XtrkrsMSCIGermany DBGR
XtrkrsMSCIJapan DBJP
XtrkrsMSCISKorea DBKO
XtrkrsRussell2000 DESC
110.53
152.69
62.68
68.67
62.37
48.86
61.60
67.96
334.37
257.89
69.89
62.71
210.88
50.16
50.29
50.33
50.29
16.19
17.65
32.09
48.01
62.46
61.83
100.71
53.61
16.00
162.40
146.18
97.74
70.96
136.26
118.42
88.72
107.62
236.88
133.14
123.81
129.82
26.28
27.39
24.67
25.18
24.09
29.66
31.55
28.21
28.76
58.02
25.84
77.23
78.34
38.08
91.88
30.80
28.57
27.95
31.93
25.36
28.85
31.08
28.88
43.05
31.48
34.28
1.2
0.6
0.9
0.7
0.8
0.7
0.8
1.4
0.5
0.8
2.8
2.7
3.2
0.1
0.6
0.7
0.5
1.6
1.4
7.1
0.9
1.2
1.1
2.0
1.1
1.8
2.6
1.2
0.2
0.9
1.4
0.8
0.8
1.5
0.9
1.5
0.5
0.5
0.8
0.6
0.4
0.2
0.3
0.5
0.4
0.6
0.3
0.5
1.0
0.7
0.3
0.2
0.5
1.1
0.9
0.3
0.3
0.8
0.2
0.1
0.6
0.6
1.3
0.4
52-Wk %
Sym Hi/Lo Chg Stock
Autodesk
Bancorp
NYSE Arca lows - 34 BSB
BayBancorp
DirexCSI300CnA CHAD
DirexChinaBr3 YANG
DirexMcBear3 MIDZ
DirexRgBanksBear3X WDRW
DirexS&P500Br3 SPXS
DirexS&P500Br1 SPDN
DirexSemiBear3 SOXS
DirexTechBear3 TECS
ETFMG PrimeJrSilver SILJ
ETRACSMthPay2xLev DVHL
FrankMuniBd FLMB
GlbXSuperIncPfd SPFF
KraneEMCnsTech KEMQ
ProShShXinhuaCh25 YXI
ProShShtMC400 MYY
ProShShortQQQ PSQ
ProShShrtS&P500 SH
ProshUltBlmNatGas BOIL
ProShUltProShS&P SPXU
ProShUlt3xShCrude OILD
ProShXinhuaChina25 FXP
ProShrUS MSCI Jpn EWV
ProShUltMC400 MZZ
ProShUltShtQQQ QID
ProShUltShtS&P500 SDS
ProShrUSSemi SSG
ProShrUSTech REW
UBSProSh3xInvCrd WTID
USAA IntlVal UIVM
USAA USA ValMom ULVM
US NatGas
UNG
US3xShrtOilFd USOD
VelocityShares3xLg UGAZ
Velocity3xInvCrude DWT
31.84
6.28
15.10
34.32
33.63
31.84
16.70
7.44
10.74
19.78
24.94
12.35
24.16
19.62
11.63
36.61
31.35
7.54
12.77
15.31
17.79
28.25
20.17
14.22
44.33
10.76
17.19
21.80
50.13
49.93
6.05
16.27
8.88
19.96
-0.9
-5.1
-1.3
-4.6
-2.5
-0.8
-6.4
-7.8
0.3
1.0
-0.3
-0.1
0.5
-1.3
-0.4
-2.9
-0.8
-4.1
-2.4
-7.3
-3.5
-1.2
-0.9
-5.7
-1.6
-6.3
-6.3
-7.3
...
0.5
-2.4
-8.5
-8.2
-7.4
NYSE American highs - 3
CentralSecs
Chase
SoCA Ed pfE
26.82 0.8
CET
120.60 0.8
CCF
SCEpE 27.56 -0.2
NYSE American lows - 4
AurynResources AUG
CamberEnergy CEI
EMX Royalty EMX
GoldStandrdVntr GSV
1.56
0.14
0.67
1.32
-0.9
-3.5
-4.3
3.7
Nasdaq highs - 197
ACI Worldwide ACIW 24.66
AGNC InvPfdC AGNCN 26.79
Ansys
ANSS 135.96
Abiomed
ABMD 183.96
AdobeSystems ADBE 177.58
94.36
AdvEnergyInds AEIS
AlignTech
ALGN 239.83
Alphabet C
GOOG 1048.39
Alphabet A
GOOGL1063.62
Amazon.com AMZN1105.58
Amerco
UHAL 399.29
AnalogDevices ADI
91.38
AppliedMaterials AMAT 56.82
AspenTech
AZPN 68.32
0.7
-0.1
1.4
0.8
2.1
3.1
16.2
4.8
4.3
13.2
-0.3
0.7
1.4
-2.1
Bio-Techne
Blackbaud
BoingoWireless
Brooks Auto
Bruker
CSW Industrials
CabotMicro
CadenceDesign
CapitalCityBank
CarolinaFinancial
CavcoIndustries
CboeGlobalMkts
Cellectis
ChartIndustries
ChinaInternet
CogentComm
Cognex
ColumbiaSportswr
ConnectOneBncp
CoStarGroup
CreditAcceptance
CSX-LinksCrudeOil
CymaBayTherap
CypressSemi
DMC Global
DataIO
DavisFinl
DavisUSEquity
DavisWorldwide
Descartes
DiamondHillInvt
DimeComBcshrs
Diodes
EXACT Sci
Ebix
EnantaPharma
EncoreCapital
EnsignGroup
EntegraFin
Entegris
FARO Tech
Facebook
Ferroglobe
FidelityNasdComp
FirstBancshares
FirstCitizBcshA
FirstInternetBncp
FirstSolar
1stSource
FirstSouthBancorp
FT CapStrength
FT CloudComp
FT DorseyDyn5
FT DorseyFoc5
FT NasdTechDiv
FT MC CoreAlpha
FT MC GrwthAlpha
FT MCGrAlpDX
FT Nasd100Tech
FT NasdSemicon
FT RBA AmerInd
FirstUnited
By Being a Contrarian
BY DAVID REILLY
AND EMILY GLAZER
Looking for a way to make
money in bank stocks? Follow
James Dimon’s lead.
Over the past eight years,
the J.P. Morgan Chase & Co.
chief has only sporadically
waded into the open
market to buy stock
in his bank. But when
he has, his timing has
been shrewd.
And with J.P. Morgans shares topping
the $100 mark this
week, the executive’s
rewards have swelled:
His three open-market purchases have James
gained nearly $100
million in value.
Of course, Mr. Dimon’s
windfall is the result of contrarian moves. In each instance where he made an
open-market purchase, Mr. Dimon stepped in at points
where the market was punishing J.P. Morgan’s stock or the
overall banking sector.
He bought 500,000 shares
in January 2009, a time when
bank stocks were being slaughtered and just two months before the stock market reached
its financial-crisis nadir.
In July 2012, Mr. Dimon
bought another 500,000 after
the stock was hammered due
to the so-called London Whale
trading debacle that resulted
in a $6 billion loss to the bank.
Mr. Dimon again purchased
500,000 shares in January
52-Wk %
Sym Hi/Lo Chg Stock
ADSK
BLMT
BYBK
TECH
BLKB
WIFI
BRKS
BRKR
CSWI
CCMP
CDNS
CCBG
CARO
CVCO
CBOE
CLLS
GTLS
CIFS
CCOI
CGNX
COLM
CNOB
CSGP
CACC
USOI
CBAY
CY
BOOM
DAIO
DFNL
DUSA
DWLD
DSGX
DHIL
DCOM
DIOD
EXAS
EBIX
ENTA
ECPG
ENSG
ENFC
ENTG
FARO
FB
GSM
ONEQ
FBMS
FCNCA
INBK
FSLR
SRCE
FSBK
FTCS
SKYY
FVC
FV
TDIV
FNX
FNY
FAD
QTEC
FTXL
AIRR
FUNC
123.97
31.50
12.05
126.49
102.93
23.38
33.36
31.79
49.85
97.70
43.23
26.01
39.60
156.60
112.50
33.29
45.69
41.88
52.75
125.59
67.60
27.40
301.04
299.77
24.87
9.29
16.24
23.27
12.14
23.35
22.68
25.07
29.55
219.90
22.65
35.28
51.70
68.15
50.39
48.05
23.81
27.75
32.75
47.90
178.21
16.48
263.74
31.75
417.98
39.20
58.97
53.03
20.37
49.26
43.80
25.25
27.14
34.28
63.46
38.04
63.62
72.32
30.64
26.89
17.70
1.8
0.3
1.7
0.7
5.8
0.6
1.7
3.2
2.0
5.2
0.8
2.8
4.3
-0.2
0.4
3.6
0.1
7.5
2.3
1.7
1.3
2.1
3.5
1.5
1.8
2.0
2.7
7.8
26.1
-0.2
1.7
2.5
1.6
2.8
1.6
0.6
3.7
-0.7
3.2
1.8
2.6
1.7
0.9
21.9
4.2
3.5
2.1
4.1
0.6
2.4
20.3
1.1
2.3
0.7
1.7
0.7
0.9
1.8
0.3
0.9
0.6
1.0
1.6
0.5
0.9
52-Wk %
Sym Hi/Lo Chg Stock
Fiserv
FISV
Flex
FLEX
Fonar
FONR
ForresterResearch FORR
GlbXInternetThings SNSR
GlbXMillThematic MILN
GoldenEnt
GDEN
H&E Equipment HEES
HeritageCommerce HTBK
II-VI
IIVI
IQ Chaikin US SC CSML
Icon
ICLR
Intel
INTC
InteractiveBrkrs IBKR
Interface
TILE
InternetInitiat IIJI
Intuit
INTU
IridiumComm IRDM
IridiumCommPfdB IRDMB
iShAsia50ETF AIA
iShCommodSelStrat COMT
iShCoreS&PUSGrowth IUSG
iShCurrHdMSCIGrmny HEWG
iShIndia50ETF INDY
iShMSCIUSAESGOpt ESGU
iShPHLXSemicond SOXX
JackHenry
JKHY
KellyServices A KELYA
LGI Homes
LGIH
LigandPharm LGND
LightpathTech LPTH
LogMeIn
LOGM
MGPIngredients MGPI
MKS Instrum MKSI
MainSourceFncl MSFG
ManTechIntl
MANT
Marriott
MAR
MatchGroup
MTCH
MazorRobotics MZOR
MicrochipTech MCHP
Microsoft
MSFT
Mindbody
MB
MonolithicPower MPWR
Morningstar
MORN
NN
NNBR
Nathan's
NATH
NatlInstruments NATI
NewaterTech NEWA
Novanta
NOVT
NVIDIA
NVDA
OldDomFreight ODFL
ON Semi
ON
OtterTail
OTTR
Overstock
OSTK
PAM Transport PTSI
PICO
PICO
PRGXGlobal
PRGX
PTC
PTC
PacificContinent PCBK
PatrickIndustries PATK
Paychex
PAYX
Paylocity
PCTY
PeapackGladFinl PGC
PennNational PENN
PinnacleEnt
PNK
Plexus
PLXS
130.20
18.01
33.90
45.25
19.76
18.65
27.59
32.90
15.25
44.63
27.96
123.53
45.00
53.71
23.85
10.45
153.86
12.90
434.87
64.49
35.85
52.22
29.35
36.14
56.62
171.12
110.53
26.72
59.11
145.76
3.86
129.51
65.75
107.05
38.93
47.07
119.43
26.28
59.90
94.81
86.20
34.11
121.14
89.45
32.90
80.90
46.33
13.95
47.23
201.87
124.13
20.78
47.00
46.90
29.80
19.95
7.75
66.52
28.85
94.45
65.62
52.71
35.72
25.91
25.68
62.56
1.0
3.7
0.9
1.9
1.0
0.5
2.5
8.6
4.0
0.5
0.4
-1.3
7.4
2.0
2.0
2.2
1.4
5.0
4.5
1.8
0.9
1.5
0.5
0.9
0.7
2.1
1.5
1.6
3.5
1.2
1.6
...
0.7
0.9
0.8
0.6
0.1
3.2
3.7
1.7
6.4
15.2
5.3
-1.5
0.2
1.3
3.4
21.1
2.1
3.2
5.6
1.7
1.5
-6.8
-0.2
9.1
5.5
2.7
1.6
-0.4
1.3
0.7
3.5
3.4
4.8
1.0
2016 after markets tumbled on
the back of the oil-price rout
and fears China was in for a
hard economic landing.
In all, he spent about $55
million to buy shares at prices
ranging from $22.93 to $53.18.
Today, those holdings are
worth about $152 million, a
gain of around 175% on
his initial investment.
These are gains
only on his open market purchases during
recent stressed times.
All told, Mr. Dimon directly owns about 9.6
million shares from
prior purchases and
stock and option
Dimon awards, although this
includes a number of
unvested stock units, according to the bank.
Mr. Dimon hasn’t sold
shares since joining J.P. Morgan, except at times when exercising options or to use share
sales to fund tax costs for purchases of stock. Mr. Dimon is
also restricted in when he can
buy and sell J.P. Morgan stock.
Mr. Dimon ha also benefited
as the Federal Reserve in recent years has given the bank
a green light to increase its
dividend. After the most recent approval from the Fed,
J.P. Morgan said it would increase its quarterly dividend to
56 cents a share from 50 cents.
On that basis, Mr. Dimon over
the next four quarters would
receive payouts of $3.4 million
from his open-market purchases in recent years.
52-Wk %
Sym Hi/Lo Chg Stock
PowerIntegrations POWI
PwrShDWA Mom PDP
PwrShDWANasdMom DWAQ
PwrShDWATactical DWTR
PwrShDynFinl PFI
PwrShDynTech PTF
PwrShKBW Banks KBWB
PwrShQQQ 1 QQQ
PwrShS&P SC Fin PSCF
PwrShS&P SmInds PSCI
PwrShS&PSCMatls PSCM
PwrShS&PSC Util PSCU
PwrShWaterRscs PHO
ProgressSoftware PRGS
ProShUltPrQQQ TQQQ
QAD B
QADB
QAD A
QADA
ROBOGlblRobotics ROBO
RockyBrands RCKY
S&T Bancorp STBA
SITO Mobile
SITO
SVB Fin
SIVB
Saia
SAIA
SelectiveIns
SIGI
SolarEdgeTech SEDG
SouthernFirstBcsh SFST
SoMO Bancorp SMBC
StevenMadden SHOO
Strattec
STRT
SunshineBancorp SBCP
Synopsys
SNPS
TakeTwoSoftware TTWO
TechTarget
TTGT
TexasInstruments TXN
TheBancorp
TBBK
TivityHealth
TVTY
TowerSemi
TSEM
TriCoBancshares TCBK
Trimble
TRMB
TwoRiverBancorp TRCB
2U
TWOU
Umpqua
UMPQ
UtdCmntyBcp UCBA
VangdRuss1000 VONE
VangdRuss1000Grw VONG
VicShEMHiDivVol CEY
VicShUSMultMin VSMV
VidentCoreUSEquity VUSE
WestBancorp WTBA
WisdTrGermanyHdg DXGE
WisdTrJapanHdgSC DXJS
Xunlei
XNET
86.60
50.66
101.37
28.09
34.11
53.21
52.85
151.52
54.87
62.43
51.49
56.16
29.39
42.97
128.39
30.80
38.10
40.15
17.85
42.36
8.00
223.82
66.53
59.20
32.33
41.10
38.45
44.40
49.20
24.29
87.47
108.04
12.45
97.56
9.00
47.20
33.13
43.22
43.97
20.75
64.12
20.98
20.50
118.37
133.25
25.32
26.18
31.81
25.40
32.50
44.52
8.98
11.0
0.9
1.3
1.2
0.5
1.5
0.3
2.9
0.5
-0.1
0.2
0.9
0.1
-0.3
8.6
...
1.2
1.1
12.3
...
1.4
12.6
6.0
1.0
4.0
4.6
1.6
0.3
8.9
2.0
0.4
2.3
2.1
1.4
2.9
16.6
0.6
1.0
4.1
4.2
...
1.3
2.2
0.8
1.6
0.9
0.6
-0.2
2.4
0.5
0.3
-1.1
Nasdaq lows - 76
AMAG Pharm AMAG 14.90 1.0
8.05 0.6
AduroBiotech ADRO
3.04 2.9
Advaxis
ADXS
8.37 -6.9
Airgain
AIRG
9.86 -0.8
AlcentraCapital ABDC
3.70 -5.0
AquaMetals
AQMS
0.15 -1.9
ArgosTherap
ARGS
4.60 0.6
AxovantSciences AXON
Barington/HilcoWt BHACW 0.03 89.0
BedBath
BBBY 20.26 -3.3
9.54 -0.1
BlackRidgeAcqn BRAC
52-Wk %
Sym Hi/Lo Chg
BurconNutraScience BUR
CM Finance
CMFN
CapellaEducation CPLA
Cardtronics
CATM
Cempra
CEMP
ChinaHGSRealEst HGSH
CoherusBioSci CHRS
CyclacelPharm CYCC
CytRx
CYTR
DISH Network DISH
DAVIDsTEA
DTEA
DepoMed
DEPO
Digirad
DRAD
DigitalAlly
DGLY
EndoIntl
ENDP
EnergyXXIGulfCoast EXXI
Evogene
EVGN
FTD
FTD
FlexPharma
FLKS
Francesca's
FRAN
Fred's
FRED
GenMarkDiagn GNMK
GolarLNG
GLNG
HalladorEnergy HNRG
HawaiianHoldings HA
IconixBrand
ICON
ImmunePharma IMNP
KalaPharm
KALA
LexiconPharm LXRX
LifePointHealth LPNT
Mattel
MAT
Medicines
MDCO
MerrimackPharm MACK
NabrivaTherap NBRV
NovelionTherap NVLN
NuCana
NCNA
Otonomy
OTIC
OxbridgeRe
OXBR
ProShUltraProShQQQ SQQQ
RetailOppor
ROIC
RexEnergy
REXX
SequentialBrands SQBG
Shutterfly
SFLY
SiennaBiopharm SNNA
SolenoTherapWt SLNOW
SuperMicroComp SMCI
Tecogen
TGEN
Tesco
TESO
TherapixBiosci TRPX
Tocagen
TOCA
Travelzoo
TZOO
US Gold
USAU
UltragenyxPharm RARE
VantageEnerA VEAC
VeraBradley
VRA
Versartis
VSAR
Viacom A
VIA
VistaGenTherap VTGN
Vivus
VVUS
WPP
WPPGY
WalgreensBoots WBA
WestmorelandCoal WLB
YogaWorks
YOGA
Ziopharm
ZIOP
ZK Intl
ZKIN
0.47 -6.0
8.40 -1.4
65.15 ...
22.66 0.2
2.05 -8.6
1.18 -6.2
10.65 2.3
1.50 -2.9
0.31 -5.6
46.41 -3.0
4.00 -1.2
4.77 -3.2
1.90 ...
1.85 -5.0
5.77 -12.1
7.94 1.4
4.20 1.2
10.81 -4.3
2.70 0.4
6.34 -4.1
4.51 -9.0
7.51 -1.9
19.32 1.7
5.02 6.5
32.95 0.4
4.76 -7.5
0.78 -4.8
14.76 -1.4
10.02 1.4
48.60 -11.9
12.71 -8.9
28.00 -3.9
11.22 -1.0
5.35 -1.6
4.90 0.8
11.74 ...
2.80 -1.7
3.05 -3.1
23.60 -8.7
18.03 0.5
1.70 8.7
2.53 -3.0
41.31 -1.3
18.21 -5.9
0.05 -54.2
17.70 -5.6
2.87 -5.6
3.60 -9.6
5.01 4.4
8.60 12.0
7.00 1.0
1.10 1.8
44.75 1.4
9.71 -0.1
7.25 -3.5
1.90 -17.4
30.30 -3.0
0.85 -12.4
0.68 -0.4
85.06 -3.0
63.82 -3.9
1.84 1.5
2.41 1.2
4.40 6.5
6.70 -0.6
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 28 - 29, 2017 | B11
* * * *
MARKETS
Euro Gets Hit After ECB Announcement
Currency falls the most
since Brexit vote last
year as gulf between
central banks widens
BY RIVA GOLD
AND MIKE BIRD
This summer, investors bet
that developed-world central
banks would move in tandem
when exiting from crisis-era
stimulus.
On Thursday, the European
Central Bank gave notice that
its stimulus will loiter longer,
widening a gap between monetary-policy expectations in the
eurozone and U.S. that is set
to further influence their financial markets.
That sent the euro down
1.4% against the dollar Thursday, its biggest daily decline in
European trading since the
U.K.’s Brexit vote last year,
while boosting eurozone bonds
and equities. The euro continued its decline on Friday, falling 0.4% to $1.1610 in late New
York trading. The ECB’s move
cemented investors’ growing
sense that it would continue
the extraordinary monetary
stimulus that has supported
local markets.
The ECB said it would halve
its monthly bond-buying to €30
billion ($35 billion) but keep
buying until the end of September 2018, while reiterating that
interest rates would remain at
current levels well past the end
of the asset-purchase program.
The realization the central
bank is in no hurry to unwind
stimulus has already acted as a
weight on the common currency and sent the gulf between U.S. and German government bonds to multiyear highs
this month, trends that investors now expect to continue.
Meanwhile, investors’ expectations for U.S. interestrate rises have climbed over
the past month, the Bank of
Canada has been raising rates,
and most expect the Bank of
England to raise borrowing
costs in November for the first
time in a decade. The Federal
Reserve is expected to raise its
benchmark rate for the third
time this year in December,
and this month it started reducing its bondholdings.
“There’s this continued divergence between what the ECB
is doing and what the [Fed is
Growing Gap
The spread between yields on two-year German government bonds
and their U.S. equivalents is now at its widest since 1999.
2.0 percentage points
1.5
1.0
GERMAN
GER
MAN
YIELD
YIE
LD
HIGHER
0.5
0
–0.5
GERMAN
YIELD
LOWER
–1.0
–1.5
–2.0
–2.5
–3.0
1998 2000
’05
Note: Monthly data
Source: Thomson Reuters
doing],” said Antoine Lesne,
who runs SPDR strategy at State
Street Global Advisors. “This
tone of caution [from ECB President Mario Draghi] lets the
market believe they’re going to
be in there for quite some time.”
The ECB’s decision to extend
its asset-purchase program until September was taken by
’10
’15
THE WALL STREET JOURNAL.
many investors as a sign
that an interest-rate rise remained a distant concern, given
the central bank’s continued
guidance that this won’t occur
until well after the end of its
purchases. Following Thursday’s meeting, investors’ expectations for a rate rise in the eurozone were pushed back to
June 2019 from March 2019, according to derivatives markets.
“The longer the program
goes on, the further into the
future any prospect of a rate
hike is,” said James Athey, investment manager at Aberdeen Standard Investments.
The central banks of Europe,
the U.S. and Japan knocked
rates to ultralow levels and began to buy bonds in a bid to
stimulate economies that had
been hit hard by the financial
crisis. But as economic growth
has gathered steam, most central banks have begun to either
tighten those monetary taps or
hint that they will do so.
The divergent policy expectations between the U.S. and
eurozone have pushed the
yield gap between two-year
Treasurys and two-year bunds
to its widest since 1999, when
the euro traded around $1.05.
At Europe’s close on Friday,
Germany’s two-year bunds offered yields 2.37 percentage
points below two-year Treasurys, according to Tradeweb.
Bastien Drut, fixed-income
and currency strategist at
Amundi, said he expects that
gap to widen further in coming
months as the Fed continues
reducing its balance sheet and
raising short-term rates.
That also has helped stall
the rapid move higher for the
euro that pushed the currency
up 13% against the dollar in
the first eight months of the
year. Late Thursday in New
York, the euro was down 1.4%
to $1.1653, wiping out all of its
gains from the start of the
quarter. The difference between government-bond yields
is often used as an indicator in
currency markets, as investors
tend to shift to areas where investments offer higher returns,
weakening the currency in the
region where yields are low.
The euro’s ascent in the
first few months of the year is
over for now, said Philippe
Waechter, chief economist at
Natixis Asset Management.
“The ECB doesn’t want to take
any risks on the current economic recovery” by changing policy too quickly, he said.
The Euro Stoxx 50 index of
eurozone companies rose 1.3%
Thursday and another 0.4%
Friday. Eurozone stocks had
added roughly 11% through
Thursday since the ECB first
announced its asset-purchase
program in January 2015.
Ant Puts Plans for Bonds Climb Amid Spain Tensions
An IPO on Hold
BY GUNJAN BANERJI
HONG KONG—Flush with
cash, Chinese financial-technology firm Ant Financial Services Group is putting on hold
plans for an initial public offering while it steps up investments in everything from
startups to artificial intelligence, according to a senior
company executive.
Ant, which was founded by
billionaire Jack Ma and born
out of a spinoff from Alibaba
Group Holding Ltd., has quietly grown into one of the
world’s most valuable fintech
companies. Its biggest asset is
Alipay, a mobile-payments platform used on Alibaba’s e-commerce sites and by hundreds of
millions of Chinese consumers
to pay for everything from
meals to college tuition fees.
Investors and analysts have
been expecting Ant to go public sometime in 2018. The
company last raised $4.5 billion from private investors in
April 2016 in a deal that gave
it a $60 billion valuation—and
its business has since expanded significantly.
An IPO “is not a necessity
or a priority” right now, said
Douglas Feagin, Ant’s president of international business,
in an interview with The Wall
Street Journal in Hong Kong.
Mr. Feagin, an American
who was a Goldman Sachs
Group Inc. investment banker
for more than two decades,
said he can appreciate the
benefits of going public but
Ant has other, more pressing,
plans to implement.
Among Ant’s pursuits: expanding Alipay’s global footprint within and beyond the
70 countries the payments
system is used in, while
plumbing for new technology
investments globally in things
like facial-recognition and ma-
Chinese Fund Sees
Slowdown In Growth
SHANGHAI—Asset growth
in the world’s largest moneymarket fund slowed sharply in
the third quarter, after rapid
expansion raised Chinese regulators’ concerns.
Yu’e Bao, an online moneymarket fund managed by a
unit of Ant Financial Services
Group, an affiliate of Alibaba
Group Holding Ltd., said its assets increased 8.9% from July
through September, after
swelling 41% and 25% in the
first and second quarters, respectively.
The four-year-old fund finished with 1.56 trillion yuan
($234.94 billion) under management, nearly twice as much
as a year earlier. Yu’e Bao,
whose name means “leftover
treasure,” draws funds from
users of Alipay, a mobile-payment network used by hundreds of millions of Chinese.
Inflows slowed after regulators pressed the fund’s manager, Beijing-based Tianhong
chine-learning systems.
“It is the time now to deploy artificial intelligence in
ways that are much more sophisticated than we’ve ever
done: The technology is there,
the data is there, [as is] the
receptivity of consumers,” Mr.
Feagin said.
He declined to detail exactly how much Ant plans to
invest, but pointed to affiliate
Alibaba’s plans to spend more
than $15 billion over three
years on research and development.
Ant has, in the past three
years, invested more than $16
billion in more than 50 startups that include online lenders,
insurers and technology firms,
according to database ITjuzi.
The company led a $40 million financing round announced Tuesday for DeePhi
Tech, a Beijing-based startup
that creates applications for
“deep learning,” a technology
that teaches computers to differentiate data the way a human brain does.
As a closely held business,
Ant doesn’t disclose its financial results publicly. But data
from Alibaba—to which Ant
pays fixed royalties and fees
under a profit-sharing agreement—indicate Ant’s pretax
profit reached $773 million in
the quarter ended in June.
That is close to Ant’s profit for
its entire previous fiscal year
ended in March, which rose
86% from a year earlier to
$814 million, according to Alibaba filings.
Some analysts expect the
company to go public eventually. “Ant Financial’s strategy
is to defend share, grow into
new areas and generate profits—leading to the business
becoming ‘IPO-ready’ in
2018,” said Sanford C. Bernstein & Co. research analyst
Bhavtosh Vajpayee.
Asset Management Co., to
rein in growth and reduce risk
in its investments.
Twice this year the fund
has lowered the cap on how
much individuals can invest,
first to 250,000 yuan from 1
million yuan and then to
100,000 yuan. That has contributed to “significant adjustment and control” over the
pace of growth, the firm said
on Wednesday.
Wang Dengfeng, general
manager of Tianhong’s fixed-income department, told The
Wall Street Journal in September that the firm is shifting toward more-liquid assets in its
portfolio, which will lead to a
gradual decline in Yu’e Bao’s investment yields. Until recently,
average annualized yields exceeded 4%; as of Wednesday,
the seven-day annualized yield
was 3.88%, according to Wind
Information Co.
About 370 million individuals have investments in Yu’e
Bao, which drew a flood of cash
as more people started using
mobile payments for expenses
from meals to college fees.
—Yifan Xie
tenders for the top post.
Those moves reversed early
weakness in Treasurys after
fresh data revealed the U.S.
economy posted its best sixmonth stretch in three years.
Gross domestic product, a
measure of goods and services
made in the U.S., expanded at
a 3% annual rate in the third
quarter, the Commerce Department said Friday.
Yields have risen for two
consecutive weeks amid geopolitical tensions and signs of
progress on a plan to cut
taxes, which some think could
fuel growth and inflation
while increasing the supply of
Treasury debt.
Still, there is a split between monetary-policy expectations in the eurozone and
U.S., after the European Cen-
tral Bank said that it would
whittle its monthly bond-buying to €30 billion but keep
scooping up bonds until the
end of September 2018.
The gap between U.S. and
German two-year government
bonds, which are typically the
most sensitive to those expectations, have hit multiyear highs.
Despite the recent climb in
the 10-year yield, its widening
gap with German bonds could
still encourage buying from international investors, driving
yields back down, some investors said.
”It would definitely slow
down the pace of increases in
U.S. yields,” said Boris Rjavinski, director of rate strategy at
Wells Fargo Securities.
”We’re sort of caught in
crosswinds,” he said.
Dollar
Takes
Breather
After Rise
BY IRA IOSEBASHVILI
GEORGE OSODI/BLOOMBERG
BY CHUIN-WEI YAP
U.S. government bonds
strengthened Friday amid investor concerns about tensions in Spain and the prospect of a change of leadership
at the Federal
CREDIT
Reserve.
MARKETS
The yield on
the benchmark
10-year U.S.
Treasury fell to 2.426%, snapping a three-day streak of gains,
from 2.452% on Thursday.
Yields fall as bond prices rise.
Yields fell Friday as increasing tensions between the
Spanish government and Catalan separatists fueled investor
fears about the impact of civil
unrest on a major European
economy. That helped spur demand for 10-year Treasurys,
with investors turning to assets typically considered relatively safe, said John Canavan,
a market analyst at Stone and
McCarthy Research Associates.
“There’s just a concern
about what this could do to
longer-term implications for
Spain’s economy, and what that
could mean if there were any
spillover effects to other parts
of Europe,” Mr. Canavan said.
Another factor driving
yields lower was a Bloomberg
report that President Donald
Trump is leaning toward naming Federal Reserve governor
Jerome Powell the next chairman of the Federal Reserve,
some investors said.
Mr. Powell and Chairwoman
Janet Yellen appear less likely
to be as aggressive in raising
interest rates as other con-
Oil prices have posted gains for three weeks in a row on declining stockpiles and rising demand..
Brent Crude Hits $60 a Barrel
BY ALISON SIDER
AND CHRISTOPHER ALESSI
Oil prices pressed higher,
with Brent crude topping the
$60-a-barrel mark for the first
time in more than two years
amid hopes that OPEC will continue curbing output.
On Friday, Brent, the global
benchmark, rose $1.14, or 1.9%,
to $60.44, its highest settlement value
COMMODITIES since July
2015. U.S.
crude prices
rose $1.26, or 2.4%, to $53.90,
an eight-month high.
The $60 threshold is one
that oil-producing nations and
bullish investors have been eyeing all year. They’ve often been
frustrated. Despite production
cuts by the Organization of the
Petroleum Exporting Countries
and other major exporters, rallies have been fleeting.
But the outlook has shifted
in recent weeks, with oil prices
posting weekly gains three
weeks in a row.
Brent prices rose 4.7% this
week and West Texas Intermediate, the U.S. benchmark,
gained 4%.
“It’s been a slow train coming,” said Mark Benigno, co-director of energy trading at
INTL FCStone, but investors
have come around to the idea
that OPEC’s efforts are paying
off. “People wrote off the story
like, ‘forget OPEC.’ But it’s
happening the way they were
hoping it would,” he said.
Crude and fuel stockpiles
have declined steadily, and demand is increasing.
Saudi Arabia and Russia
have thrown their support behind extending production
cuts through the end of 2018.
Near-term Brent prices are
higher than prices for oil delivered in future months, a
market structure that indicates tighter supplies available
for immediate delivery.
“That’s telling me this is
happening—this is working,”
said Michael Hiley, a trader at
LPS Futures LLC. “The underlying fundamentals keep nudging us higher.”
Rising geopolitical risk has
also boosted oil prices.
Clashes between Iraqi government troops and forces from
the semiautonomous Kurdish
region have disrupted some oil
production and exports.
Some expect oil to encounter staunch resistance on its
march higher.
U.S. oil producers are likely
to take advantage of the rally
to hedge, or lock in higher
prices for output next year.
“It can’t really go above
$60” a barrel, Giovanni
Staunovo, a commodity analyst
at UBS Wealth Management,
said of the price of Brent.
“If it goes too high, it’s an
indication to U.S. shale producers to produce more oil,” a
development that could undermine the oil market rebalancing under way, he said.
Mr. Staunovo said UBS expects the price of Brent to
stay in a range of $55 to $60
a barrel.
OPEC and some major producers outside the cartel, including Russia, first agreed
late last year to cap their production at around 1.8 million
barrels a day lower than peak
October 2016 levels, with the
aim of alleviating global oversupply and boosting prices.
The deal has already been extended through March 2018,
but many market participants
are now anticipating that it
will be pushed even further
out.
Gasoline futures rose 1.8
cents, or 1%, to $1.7686 a gallon. Diesel futures rose 2.5
cents, or 1.4%, to $1.8669 a
gallon, its highest settlement
value since June 30, 2015.
The dollar pared gains Friday, after rising to its highest
level in more than three
months on data showing the
U.S. economy grew more than
expected in the third quarter.
The Wall
CURRENCIES Street Journal
Dollar index,
which gauges
the U.S. currency against a
basket of 16 others, closed unchanged at 87.77. The measure
reached 88.20 earlier in the
session, its highest level since
July 11.
Gross domestic product, the
broadest measure of goods
and services made in the U.S.,
expanded at a 3% annual rate
in July through September, the
Commerce Department said
Friday. Economists surveyed
by The Wall Street Journal
had projected a 2.7% gain.
The stronger-than-expected
number bolstered the case for
the Federal Reserve to raise
rates at a faster pace in coming
months. Higher rates tend to
make the dollar more attractive to investors seeking yield.
The morning’s GDP data
“was like the icing on the cake
for dollar bulls,” said Omer Esiner, chief market analyst at
Commonwealth Foreign Exchange, in a note to clients.
On Thursday, the dollar received a boost after Republicans overcame internal divisions to adopt a budget that
sets the stage for a rewrite of
the U.S. tax system. Some investors believe tax reform would
likely boost the U.S. economy.
Earlier that day, European
Central Bank President Mario
Draghi said the bank’s bondbuying program could be extended beyond September
2018, sending the euro tumbling against the dollar.
The dollar is up nearly 4%
from its September lows, although it remains down on the
year.
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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
B12 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
MARKETS
Strong Corporate Earnings Boost Stocks
Tech shares, signs of
solid U.S. economic
growth put Nasdaq,
S&P 500 at records
Tech Is on a Tear
U.S. stocks rose to fresh records during the week, as a big batch of quarterly results beat analysts’ expectations.
1.25%
1.00
BY RIVA GOLD
AND CORRIE DRIEBUSCH
A busy week of robust corporate earnings lifted the S&P
500 and Nasdaq Composite to
fresh highs.
More than half of companies in the S&P 500 had reported third-quarter results as
of Friday, and more than
three-quarters of those results
have surpassed analysts’ expectations, according to FactSet. Standout corporate results, which ranged from
machinery maker Caterpillar
to technology stalwart Microsoft, drove broader stock-market gains.
Among the best performers
during the week were Google
parent Alphabet and Amazon.com, both of which reported strong revenue. Earlier
in the week, Twitter’s shares
jumped after the social-media
company said it added more
new monthly users than analysts expected and boosted its
guidance for the fourth quarter. On Friday, shares of Intel
climbed $3.05, or 7.4%, to
$44.40, after the company
lifted its guidance.
The strong tech gains propelled the Nasdaq Composite
up 144.49, or 2.2%, to 6701.26,
and the S&P 500 up 20.67, or
0.8%, to 2581.07, on Friday.
The Nasdaq hit its 61st high
of 2017, a tie for the most records in a year since 1999.
The gains in tech companies
helped offset a drop by Mattel
shares, which fell 1.37, or 8.9%,
to 14, and a decline in Expedia
shares, which tumbled 23.56,
or 16%, to 123.79, following
their quarterly reports.
The Dow Jones Industrial
Average gained 33.33, or 0.1%,
to 23434.19.
Though some analysts say
they worry about the big run for
Nasdaq Composite
0.75
Strong performance by tech stocks contributed
to outsize gains by the Nasdaq.
0.50
S&P 500
0.25
0
–0.25
–0.50
–0.75
–1.00
–1.25
–1.50
–1.75
Monday
Tuesday
Wednesday
Thursday
Interest rates touched their highest
levels since March after Congress
passed a budget resolution that paves
the way for a tax revamp.
Shares of Aetna soared late
Thursday after The Wall Street
Journal reported CVS Health was in
talks to buy the health insurer.
Caterpillar's stock climbed to an
all-time high after the machinery
maker raised its sales and profit
forecast for the year.
Twitter shares soared after the
social-media company said it added
more new monthly users than analysts
expected and raised its guidance.
10-year U.S. Treasury yield
2.50%
Share-price performance
15%
$140 a share
$22 a share
10
2.45
Aetna
5
0
2.40
138
21
136
20
134
19
132
18
–5
CVS Health
–10
2.35
Tues.
Wed.
Thurs.
Fri.
17
130
–15
Mon.
Mon.
Tues.
Wed.
Thurs.
Fri.
Mon.
Tues.
Wed.
Thurs. Fri.
Mon.
tech stocks, which have soared
in recent months, others say
these strong earnings reports
support the high stock prices.
“Valuations across the board
may be frothy, but I think there
are plenty of companies who
can justify their valuations,”
said Jon Mackay, investment
strategist at Schroders. The
tech sector is large, and there
are plenty of high-performing
hardware companies as well as
those known for their innovative products, he added.
Also lifting stocks Friday
was another sign of strong U.S.
economic growth. Gross domestic product, the broadest
measure of goods and services
made in the U.S., expanded at
a 3% annual rate in the third
quarter, the Commerce Department said, above economists’ estimates.
The growth came during a
three-month period in which
the country faced hurricanes
that temporarily shut down
major population centers.
The upbeat tone in global
markets also came after the
European Central Bank on
Thursday extended its bondbuying program but at a reduced level, confirming market
participants’ expectations that
the central bank would only
slowly ease off crisis-era stimulus policies.
The decision weighed down
the euro but boosted German
government bonds and eurozone stocks, which have been
supported by the bank’s expansive stance for several years.
Spain’s IBEX 35 index fell
1.5% as Catalonia’s Parliament
declared the region an independent republic on Friday.
The declaration escalates a
standoff with Madrid, as lawmakers there agreed to grant
Spain’s prime minister the
power to impose direct rule on
the region.
More broadly, however, European stocks advanced as the
euro fell, as a 10% gain in the
common currency against the
dollar this year has dragged
down earnings of companies
that translate revenue from
overseas.
HEARD ON THE STREET
FINANCIAL ANALYSIS & COMMENTARY
Bonds’ Missing Factor: Inflation
Moving Apart
Gap between 10-year U.S. and German government bond yields
2.4 percentage points
2.2
2.0
1.8
1.6
1.4
2016
’17
Source: FactSet
tral Bank’s decision to extend quantitative easing at a
slower pace in 2018, U.S.
yields rose. The gap between
German and U.S. 10-year
yields has broken above 2
percentage points for the
first time since April.
To some extent, the previous fall in yields looked puzzling in the face of a global
economy that was continuing to pick up steam. There
are signs that investment is
accelerating, which is a key
THE WALL STREET JOURNAL.
support for sustained growth
and for higher levels of neutral interest rates.
In addition, speculation
about U.S. tax overhauls and
the next leader of the Federal Reserve, as well as a
smaller focus on geopolitical
risks, have boosted bond
yields.
But inflation is still missing in action. In the U.S., the
Fed’s preferred measure of
core inflation has been below its 2% target for years;
OVERHEARD
in the eurozone, the ECB’s
determination to carry on
with bond purchases is informed by its forecast that
headline inflation will still
be well below 2% even in
2019.
This leaves the bond market in a problematic spot. As
long as inflation doesn’t rise,
there is a resistance to much
higher yields. Investors figure that rising real yields,
likely accompanied by a
stronger dollar, would act as
a drag on growth. That could
be reflected in falling stock
markets, which would support bonds. But if inflation
climbs more than expected,
the market will be wrongly
positioned and forced to rethink central-bank policy.
This would mark a key
change in bond-market psychology, which so far has interpreted higher yields as a
buying opportunity. It also
would have potentially farreaching consequences for
the valuations of stocks, corporate bonds and emergingmarket assets that have been
charged by low bond yields.
—Richard Barley
In the era of Airbnb, the
hotel industry has done
stranger things, but not much
stranger.
In time for the premiere of
the second season of Netflix’s hit series “Stranger
Things” on Friday, a New York
hotel is offering a package for
fans of the show to binge
watch it in style and comfort.
For $249, guests of The
Gregory get a room for the
night, two cans of House
Wine, a box of Eggo waffles,
two protein snacks and a
mug.
The Gregory, which bills itself as “our standout among
boutique hotels near Penn
Station,” is located in Manhattan’s densely packed garment district, a far cry from
Hawkins, Ind.
Alternatively, fans of the
series could book a plain, old
room for two and watch the
show on a laptop, buy their
own snacks and wine, and
forgo the mug. But, according
to the hotel’s website, the
cheapest room for October
would set them back $271.20,
which really is strange.
The Tech Rally Is Juiced by Highflying Cloud Business
Big Tech can generate big
numbers, but it was fast
growth in the cloud business
that helped ignite a buying
frenzy Friday that drove up
market values by nearly $139
billion in 30 minutes.
The stunning growth of
the cloud businesses at Amazon.com, Microsoft and
Google-parent Alphabet
were a relatively small part
of the strong quarterly results the three companies reported Thursday. But fast
growth in cloud revenue,
along with relatively stable
service prices that helped
profit margins during the
quarter, gave investors reasons to bet the three giants
could maintain their growth
Tues.
Wed.
Thurs. Fri.
THE WALL STREET JOURNAL.
Source: FactSet
Email: heard@wsj.com
Are bond bears finally
getting what they want? The
recent backup in debt yields,
led by the Treasury market,
has some good foundations,
including growth running at
a 3% pace. But a vital ingredient for a bigger jump in
yields is missing: inflation.
U.S. gross-domestic-product data released Friday was
flattered by a buildup in inventory, but also showed
solid consumption spending
and business investment.
The release builds on a
string of improving data that
have pushed the Citigroup
U.S. Economic Surprise Index
back into positive territory
in October.
The improvement has
been matched by the bond
market. Rising from close to
2% in early September, 10year Treasury yields this
week reached their highest
since March and stood at
2.426% on Friday; the 30year yield is close to 3%.
For once, it is U.S. bonds
leading the way. Even as
German government bond
yields fell Thursday in the
wake of the European Cen-
Friday
trajectories.
Shares of the three companies kept rising Friday,
with their combined $132
billion market-value gain
topping the value of more
than 90% of the other companies in the S&P 500, including nearly every other
company selling cloud-based
software services.
The latest gains raise the
bar for future performance.
But investors are confident
growth can continue because
cloud services still make up
a rather small portion of
corporate technology spending, which leaves a lot up for
grabs. That’s encouraging for
Microsoft and Google, which
are racing to catch up to
leader Amazon. But Amazon
still has a large lead: AWS
revenue jumped 42% year
over year in the third quarter to nearly $4.6 billion.
Microsoft’s comparable
Azure service generated a
90% revenue gain. That
brought Azure’s total revenue to about $1.5 billion in
revenue for the quarter, estimates J.P. Morgan Chase.
Google’s “other” segment,
which includes its cloud platform as well as its expanding
device business, saw revenue
jump 40% year over year to
$3.4 billion. Alphabet CFO
Ruth Porat said the cloud
made up the largest portion
of that gain.
Investors should expect
Billed Out
Capital spending per fiscal quarter
$10 billion
8
Amazon*
Microsoft
Alphabet
6
4
2
0
2013 ’14
’15
’16
’17
*Includes capital leases
Source: the companies
the strong gains to continue,
along with the bills that
come with it. The three companies combined had $10.6
billion in capital expenditures and new capital lease
obligations in the third quarter. That’s up 34% year over
year, the highest combined
increase by the three in
nearly three years.
A considerable sum even
for deep-pocketed tech giants, but that spending helps
Amazon, Microsoft and
Google fuel the expansion of
their large global networks
along with the addition of
new capabilities, such as artificial intelligence. It also
helps deepen the competitive
moat around their businesses that makes it difficult
for others to dislodge them.
Being the smart money
may not be cheap, but it appears to be worth the cost.
—Dan Gallagher
The Stoxx Europe 600
gained 0.6%, a day after its
biggest daily rise since July.
Earlier, Asian markets rose
following Thursday’s gains in
Europe and the U.S. and the
upbeat results from the U.S.
tech sector.
Hong Kong’s Hang Seng Index rose 0.8% and South Korea’s Kospi gained 0.6%.
Japan’s Nikkei Stock Average
climbed 1.2% to a two-decade
high, helped by a decline in the
yen during Asian trading as
global risk appetite improved.
WSJ.com/Heard
UBS Banks
On Wealthy
Asian Clients
Asia’s rich are back in the
markets, and that is good for
UBS Group. They are helping
the Swiss bank recover from
a summer stumble, and although its shares have
climbed 10% since early September, they have further to
run.
UBS highlighted the revenue gains and 37% profit
growth in Asian private and
investment banking over the
first nine months of 2017. Its
rival, Credit Suisse Group,
suffered profit and revenue
declines in Asia in the first
half. The latter has a different regional focus, but it
might shine, too, when it reports next week.
Equities-related business
boosted UBS. Its investment
bank advisory revenue was
35% higher in the third quarter versus the same period
last year in dollar terms,
better than any U.S. rival.
UBS’s weak spots in its
second-quarter results were
U.S. wealth management and
a surprise drop in its capital
ratio. In U.S. wealth, UBS
had net outflows again in
the third quarter, though
less than in the second.
On capital, it also did better. A surprise jump in riskweighted assets in the second quarter pushed UBS’s
common equity capital ratio
down from 14% to 13.5%.
There were no such problems this time, and the ratio
recovered to 13.7%.
Those second-quarter issues pushed UBS’s share valuation down from 1.2 times
forecast year-end book value
to less than 1.1 times. Since
early September, that has
climbed back toward 1.2
times, comfortably ahead of
European rivals. But Friday’s
results should lift year-end
forecasts and so create room
for UBS’s stock to climb a little more.
—Paul J. Davies
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The ‘pet effect’:
They may not
improve our
health, but they
bring us together
How Alexander
Calder—and his
sculptures—got
moving. A new
biography
C3
C5
BOOKS
|
CULTURE
|
SCIENCE
|
|
HUMOR
|
POLITICS
|
LANGUAGE
THE WALL STREET JOURNAL.
* * * *
|
TECHNOLOGY
|
ART
|
IDEAS
Saturday/Sunday, October 28 - 29, 2017 | C1
DOUG CHAYKA
© 2017 Dow Jones & Company. All Rights Reserved.
COMMERCE
We’ll
Need
Bigger
Brains
To avoid a dystopian
future fueled by
the rise of artificial
intelligence, we must
move quickly to create
technologies that
enhance the human brain.
BY CHRISTOF KOCH
WHEN DO WE START PANICKING? DeepMind, an artificial intelligence company in London, just announced
another breakthrough in machine intelligence. Starting
from nothing but the rules of the ancient and sublime
board game Go, the algorithm taught itself to play
through trial and error. After playing four million
games against itself, the software, called AlphaGo Zero,
reached superhuman performance. And it did that in
less than a month, compared with the decade or two of
training it takes for a human to become a highly skilled Go master.
As usual, some experts have played
down public fears about AI, emphasizing that such astounding progress
is no cause for alarm, given that playing Go isn’t a useful, real-world skill.
It isn’t close to the sort of general intelligence that humans are capable of.
Yet many others rightly worry that
AI will do great harm to society—putting people out of work, adding to inequality and removing warfare from
human control, even posing an existential risk to the long-term future of
Homo sapiens. Whether you are among
those who believe that the arrival of human-level AI signals the dawn of paradise, such as the technologist Ray
Kurzweil, or the sunset of the age of humans, such as
the prominent voices of the philosopher Nick Bostrom,
the physicist Stephen Hawking and the entrepreneur
Elon Musk, there is no question that AI will profoundly
influence the fate of humanity.
There is one way to deal with this growing threat to
our way of life. Instead of limiting further research into
AI, we should turn it in an exciting new direction. To
keep up with the machines we’re creating, we must
move quickly to upgrade our own organic computing
machines: We must create technologies to enhance the
processing and learning capabilities of the human brain.
AI was essentially born in the summer of 1956 when
scientists, mathematicians and engineers convened at
Dartmouth College to discuss so-called thinking machines. Since then, we’ve lived through stunning progress. In 1997, IBM’s Deep Blue computer defeated the
reigning world chess champion, Garry Kasparov. In
2005, AI learned to drive, when an autonomous vehicle
completed a 132-mile off-road course in the NevadaCalifornia desert in under seven hours.
In 2011, another IBM computer, Watson, bested humans in the quiz show
“Jeopardy!” Last year, AlphaGo (a predecessor to AlphaGo Zero) rose to international prominence by unexpectedly beating Lee Sedol, a top Go
player. AlphaGo was trained on
160,000 games from a database of previously played Go games. AlphaGo Zero
dispensed with any accumulated human wisdom and decisively annihilated
its parent, AlphaGo, 100 to 0.
By now, machines are better than
humans in games such as checkers,
chess and Go, in which every player
can see everything. And computers are taking the edge
in games involving gambling, deception and other social
skills, too. Earlier this year, Libratus, software developed at Carnegie Mellon University, beat four top players over a 20-day tournament of No-Limit Texas Hold
Please turn to the next page
At some
point, the
pace of
progress will
exceed the
ability of
individuals
to adapt.
Dr. Koch is the chief scientist and president of the
Allen Institute of Brain Science in Seattle.
INSIDE
MOVING TARGETS
Ugly
sneakers
were just
the start.
Joe
Queenan
on scary
trends in
men’s
clothing.
C11
ESSAY
Little words like ‘uh’ turn out
to act as traffic signals
for human speech.
C4
BOOKS
The interview as blood sport:
a biography of the legendary
journalist Oriana Fallaci.
C9
ISTOCK (PETS); ZUMA PRESS (BOOKS); EUROPEAN PRESSPHOTO AGENCY (FALLACI); JOSH WOOL FOR THE WALL STREET JOURNAL (WEEKEND CONFIDENTIAL)
WEEKEND CONFIDENTIAL
He just won a Nobel Prize
in chemistry. But will it help
his fiction career?
C11
ESSAY
A century after the Balfour
Declaration, a commemoration
renews Middle East divisions.
C3
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THE WALL STREET JOURNAL.
REVIEW
TOMASZ WALENTA
Keeping Up With the Machines
WILCZEK’S UNIVERSE:
FRANK WILCZEK
Something Out
There: The DarkMatter Mystery
I’VE BEEN THINKING about
“dark matter” problems for
years now, but only recently
did it dawn on me how deeply
the quest for dark matter penetrates into philosophy and
even theology.
Today’s dark-matter problems arise when
we study the motion of stars and galaxies,
the bending of light from very distant galaxies, or how the expansion of the universe
changes with time. In all those cases, when
we work back from the observed motions to
their causes, we find discrepancies. There’s
too much gravity. The objects we can see,
using all the tools of astronomy, just don’t
have enough mass to generate the gravitational forces we infer. Everything can be accounted for if there’s a new form of matter,
so far unidentified, which interacts very feebly with ordinary matter (and with itself)
and if space has a small density.
That two-pronged “solution” might seem
desperate, but the quest for things inferred
yet invisible has a glorious pedigree.
In the 19th century, precise calculations of
the orbit of Uranus disagreed with accurate
observations. In 1846, Urbain Le Verrier and
John Couch Adams proposed that the influence of another planet, as yet unseen, might
cause the discrepancy. Le Verrier was able to
tell observers where they should point their
telescopes. He nailed it. They looked—and
discovered Neptune.
Around the same time, Friedrich Bessel
proposed that jittery movements of two stars,
Sirius and Procyon, occurred because each
had a companion invisible to the telescopes of
the time. Only decades later did astronomers
develop sufficiently powerful tools to see the
stars’ partners—members of a very dense,
Earth-sized class of stars, the white dwarfs.
In 1930, Wolfgang Pauli postulated new
subatomic particles, neutrinos, as a kind of
dark (that is, unseen) matter. They could account for “missing” energy and momentum in
radioactive decays. At the time, Pauli said
that he had done something very bad by proposing “a particle
that cannot be detected.” But in 1956,
neutrinos were detected, and today
their study is an industry in experimental physics.
Long before these
advances, in 1692,
Isaac Newton had
posed the deepest
dark-matter question. He wrote that the idea
“that one body may act upon another at a
distance thro’ a Vacuum, without the Mediation of any thing else…is to me so great an
Absurdity” that no competent thinker could
fall for it. For Newton, space could not be a
void. There had to be something, yet undetermined, to support the forces between bodies.
Centuries later, the theory of electric and
magnetic “fields,” entities that fill all space,
vindicated Newton’s intuition. The Scots
physicist James Clerk Maxwell, whose 1864
equations epitomized the new understanding,
rhapsodized, “The vast interplanetary and interstellar regions will no longer be regarded
as waste places in the universe, which the
Creator has not seen fit to fill…so full, that no
human power can…produce the slightest flaw
in its infinite continuity.”
In Einstein’s general relativity theory,
space itself becomes, even more tangibly, a
material medium. Space can bend: That’s how
general relativity accounts for gravity. And as
this year’s Nobel Prize celebrates, space can
“ring” like a bell (reverberating with gravitational waves)! So it’s not unreasonable, as
Einstein anticipated, that space has nonzero
density, as astronomers recently discovered.
By dumping a lot of energy into a small volume, at high-energy accelerators, we can
shatter space and see what it’s made of.
We’ve unearthed a lot of things that contribute, but how they conspire to give the density
we observe remains deeply mysterious.
Physicists also have some promising ideas
about what the hypothetical dark-matter particles might be. They are designing fantastically sensitive new kinds of instruments to
observe them.
Effects without apparent causes inspire us
to look at the world in new ways. Thus do we
render darkness visible.
Continued from the prior page
ory and consciousness. And for that, we need to directly access
’em poker. Code doesn’t need to bluff—it simply outthinks humans.
brain tissue, requiring (for now) at least some neurosurgery to
AI has learned to listen and speak as well, in the form of digital
penetrate the skull.
personal assistants. We now have Apple’s Siri, Amazon’s Alexa, MiProgress has been much faster than expected, in particular for
crosoft’s Cortana and Google Now, though their conversational skills
brain-machine interfaces. Consider Nancy Smith, who was injured in
are still minimal. Within a decade or two, their voices will become
a car accident seven years ago. She is a tetraplegic, only able to move
indistinguishable from any human—except that they will be endowed
her shoulder and head. Neurosurgeons and neuroscientists in Califorwith perfect recall, poise and patience.
nia implanted a tiny “bed of nails” array of electrodes in the region
These spectacular advances are powered by Moore’s law, the emof her cortex that encodes her intention to grasp a cup or to press
pirical observation that the number of components per integrated cirpiano keys. Algorithms decode her neural signals and pass instruction
cuit doubles every year. It isn’t easy to wrap your head around such
to a musical synthesizer, so that she can play music with her mind.
exponential growth. The raw computational power of computers has
Bill Kochevar was likewise paralyzed below the shoulders followincreased by about 10 billion since they were created to help design
ing a bike accident many years ago. A Cleveland-based team of docatomic bombs. We’re now seeing the first commercial quantum comtors and neuroscientists placed electrodes into his left motor cortex;
puters that will further boost computational power.
these read out the electrical tremors of about 100 neurons, decoding
All of us will be swept up by the changes brought on by this fourth
the patient’s intention and then electrically stimulating muscles in
industrial revolution. The first, powered by the steam engine, moved
his arm and hand to enable him to reach and to grasp. Such funcus from agricultural to urban societies. The second, powered by electional electrical stimulation is akin to “writing” the nervous system,
tricity, ushered in mass production and created consumer culture.
giving instructions that mimic, however crudely, what occurs natuThe third, centered on computers and the internet, shifted the econrally. Functional stimulation lets Mr. Kochevar eat and drink by himomy from manufacturing into services.
self. There are more than 50 such patients with listening devices inAll of them profoundly increased human productivity, welfare and
stalled in their brains.
lifespan. Employment adapted as machines gradually replaced more
Writing the cortex isn’t far behind. When we move in the world,
and more aspects of human labor over time.
our bodies receive massive feedback from sensors in our limbs that
Yet this is not a law of nature. In the future, there are no guaransignal their location in space and from touch sensors in the skin. Neutees that all or even most adults will
roscientists are seeking to replace
have a job, in particular as the speed
these signals in patients who don’t
of technologically driven disruption
feel their limbs by electrically stimuaccelerates. At some point, the pace
lating their somatosensory cortex
of progress will exceed the ability of
using implanted electrodes.
individuals and of society at large to
Funding for such research comes
adapt. This could prove catathrough the Brain Research Through
strophic.
Advancing Innovative NeurotechnolA recent study by the McKinsey
ogies (BRAIN) Initiative, a publicGlobal Institute estimated that 10%
private collaboration started in 2013
to 50% of job tasks in the U.S. could
whose partners include the National
be automated using existing AI and
Institutes of Health and U.S. defense
robotic technology. In about 60% of
and intelligence agencies. The 12the 800 occupations surveyed, at
year initiative is expected to inject
least 30% of their activities can be
more than $4 billion into research
replaced by software, with some
for therapies. Its portfolio of funded
jobs (such as driver, retail worker
grants includes direct brain stimulaand fast-food employee) becoming
tion for obsessive-compulsive disorentirely obsolete.
der, treatment-resistant depression,
Automation will bring many
essential tremor, Parkinson’s disbenefits, including a range of powease, epilepsy, stroke recovery and
erful new products we can’t even
blindness.
fully imagine today—but only for
The Allen Institute for Brain Scithose who are wealthy or gainfully
ence, which I direct, is adding to the
employed. AI will further accelereffort. We just freely released data
ate the inequality between the
showing the intricate wispy axons
haves and the have-nots.
and dendrites of hundreds of cortiMachine learning will also transcal neurons from living human neuTHE ALLEN INSTITUTE recently released data showing
form warfare. Once it’s developed,
rosurgical samples and their electrithe intricate axons and dendrites of cortical neurons.
weaponized AI can fight armed concal responses when tickled by tiny
flict at a much bigger scale and at a
currents to their cell bodies. With
much faster speed than humans can
the permission of patients, we recomprehend and react to. Sooner or later, willfully
ceive these sugar-cube sized chunks of cortical tisor not, AIs will have the capability to kill without
sue extracted during surgery to reach a deep-tisa human in the loop to override its lethality.
sue tumor or epileptic focus (and usually
Some see a time when we reach the singulardiscarded as medical waste) and put these samity—an ill-defined point in time when machines
ples on life support to study their structure and
surpass humans in intelligence, triggering even
function for days on end in our laboratories.
more rapid technological progress and a new era
This constitutes a remarkable advance, as althat is beyond our current comprehension.
most everything we know about human nerve
Unlike say, the speed of light, there are no known
cells derives from postmortem (dead) brains,
theoretical limits to intelligence. While our brain’s
without a trace of electrical activity. In tandem,
computational power is more or less fixed by evoluwe provide computer code to simulate the election, computers are constantly growing in power and flexibility. This
trical behavior of these cells.
is made possible by a vast ecosystem of several hundred thousand
This confluence of basic knowledge about the human brain with
hardware and software engineers building on each other’s freely
the burgeoning neuro-tech industry helps neurological patients reshared advances and discoveries. How can the human species keep up?
cover their lost functionality, including driving a car, with their minds.
The traditional answer is education. But training (and retraining)
With more research, enhanced cognition could be within reach for
people takes time, and not everybody can, or wants to, switch from
all of us.
driving trucks, serving fast food or scanning items at the supermarBrain enhancement could help older people who have trouble
ket to developing code, designing computer chips, walking dogs or
adapting to a new workplace by giving them back the flexibility they
caring for elders (to list a few jobs that won’t be made redundant
had as a child, effortlessly soaking up dozens of new words every
anytime soon).
day, learning novel skills and facts without even trying. Once we
In the face of this relentless onslaught, we must actively shape our
fully understand neuro-plasticity, we should be able to control its
future to avoid dystopia. We need to enhance our cognitive capabilimechanisms at will.
ties by directly intervening in our nervous systems.
My hope is that someday, a person could visualize a concept—
We are already taking steps in this direction.
say, the U.S. Constitution. An implant in his visual cortex would
Transcranial direct current stimulation is a noninvasive brain techread this image, wirelessly access the relevant online Wikipedia
nology that induces a weak electric field in the cortex underlying the
page and then write its content back into the visual cortex, so that
skull. Research in animals and in human volunteers suggests that this
he can read the webpage with his mind’s eye. All of this would hapmay enhance neuro-plasticity, the process in which the brain impen at the speed of thought. Another implant could translate a
proves its performance when an action is repeated, over and over. Usvague thought into a precise and error-free piece of digital code,
ers wear headphones that gently stimulate their motor cortex while
turning anyone into a programmer.
lifting weights, swinging a golf club or playing piano. With time, the
People could set their brains to keep their focus on a task for
athlete learns more quickly or better.
hours on end, or control the length and depth of their sleep at will.
Another consumer product senses the slow brain waves characterAnother exciting prospect is melding two or more brains into a
istic of deep sleep via electroencephalogram (EEG) electrodes built
single conscious mind by direct neuron-to-neuron links—similar to
into a headset. When it detects them, the device plays low sounds
the corpus callosum, the bundle of two hundred million fibers that
that enhance the depth and strength of these waves, leading to more
link the two cortical hemispheres of a person’s brain. This entity
restful sleep.
could call upon the memories and skills of its member brains, but
But the billions of tiny nerve cells inside the skull are quite rewould act as one “group” consciousness, with a single, integrated
mote from the scalp, and only the faint echoes of neuronal chatter
purpose to coordinate highly complex activities across many bodies.
can be picked up by EEG. We aren’t anywhere close to selectively
These ideas are compatible with everything we know about the
silencing or amplifying the activity of small cliques of neurons. Ulbrain and the mind. Turning them from science fiction into science
timately, to boost our brain power, we need to directly listen to and
fact requires a crash program to design safe, inexpensive, reliable
control individual neurons: the atoms of perception, action, memand long-lasting devices and procedures for manipulating brain
processes inside their protective
shell. It must be focused on the
end-to-end enhancement of human
capabilities.
To accelerate the diffusion of
this technology, the relevant government agencies, academia, the
biomedical device industry and the
smaller companies that are the true
risk takers and pioneers must
freely, openly and rapidly share
data and procedures to speed up
innovation. And we must shorten
the very lengthy regulatory process
to quickly bring these benefits to
everyone.
While the 20th century was the
century of physics—think the
atomic bomb, the laser and the transistor—the 21st will be the century
of the brain. In particular, it will be
the century of the human brain—the
most complex piece of highly excitable matter in the known universe.
It is within our reach to enhance it,
to reach for something immensely
BRAIN SENSORS allow Bill Kochevar, who was paralyzed after an accident, to feed himself.
powerful we can barely discern.
People could set
their brains to
keep their focus
on a task for
hours on end.
FROM TOP: ALLEN INSTITUTE; RUSSELL LEE/CASE WESTERN RESERVE UNIVERSITY/CLEVELAND FES CENTER
Newton
posed the
deepest
question
in 1692.
THE WALL STREET JOURNAL.
Saturday/Sunday, October 28 - 29, 2017 | C3
* * * *
MITSU YASUKAWA/ASSOCIATED PRESS
REVIEW
The Real Benefits
Of Pet Ownership
Animals may not make us
healthier, but they help
bring people together
BY JOHN BRADSHAW
IT’S REFERRED TO as “the pet effect.” Some
researchers have proposed that having a pet
bestows a dazzling array of health benefits,
such as lower cholesterol, reduced blood
pressure and a reduced risk of cardiovascular
disease. Others have claimed that pets can
combat stress, relieve depression and enhance self-esteem, and that their company
makes children more empathetic. “Pet therapy” is widely practiced in hospitals and facilities for the elderly.
Until fairly recently, many animals were
seen as harmful—carriers of parasites and
disease. But now they’re considered part of a
healthy lifestyle. While most people probably
don’t acquire a pet because they think it will
make them live longer, they might believe it
will be a kind of panacea for modern living.
The problem is that these claims about the
benefits of pet ownership don’t always hold up
to scientific scrutiny. Some early studies did
show that dog owners were generally in better
shape than those without dogs, but a recent
analysis of the health records of more than
40,000 California residents by the Rand Corp.,
working in conjunction with the
University of California, Los
Angeles, shows that these differences can be attributed to
other characteristics of pet
owners. Owners are more likely
to be white, married and homeowners—attributes that are all
linked to good health. Rather
than pets making people
healthy, it’s more likely that
healthy people choose to own
pets. Anyone with a hint of declining health will think twice before going out
to get a dog. (They may choose a cat instead.
Several studies indicate that cat owners have
poorer-than-average health. There is no reason
to believe that cats make people sick; it’s more
likely that less healthy people choose cats for
companions, given that they require far less
work than dogs.)
The Rand study also
cast doubt on the fact
that children raised
alongside pets become
more empathic, acquire
better social skills or
have higher self-esteem.
Once the many other advantages enjoyed by petowning families were
factored in, these differences disappeared.
Children whose parents have spare cash to
spend on education, have stable jobs and live
in a house with a yard to play safely all outperform their less fortunate peers on measures of health and behavior. These same factors make it more likely that
parents will add a pet to the
family. Caring for a pet may
teach children responsibility,
but it doesn’t necessarily
make them better people.
Even if pets don’t make us
healthier, or better, they do
earn their keep in other ways.
For one, they can have a strong
calming effect. Studies have
shown that interacting with a
dog can improve a person’s
mood. Stroking a dog results in a surge of
oxytocin and endorphins—hormones that promote bonding and feelings of well-being.
These hormonal effects are generally
short-lived, but in the same way that people
in long-term relationships tend to be healthier than those who live alone, the effects may
accumulate over time. Still, as every pet
Stroking a
dog results
in a surge
of oxytocin
and
endorphins.
owner knows, a relationship
with an animal isn’t just about
snuggling. For every relaxing
moment on the couch, there is a
frustrating one: the dog that
won’t come back when called,
the cat that scratches the
drapes. This ongoing stress may
explain why pet owners aren’t
ultimately healthier than those
who live without them.
Of course, pet ownership can
change human behavior in ways
that could improve our health.
Logically, a dog that needs to be
exercised daily ought to improve
the owner’s health. However,
studies suggest that most owners don’t walk their dogs with
sufficient vigor to improve their
cardiovascular fitness. (This is
good news for dogs, for whom
the daily walk is not so much a
workout as a chance to catch up
on sniffing for signs of other
dogs in the neighborhood, which
requires a leisurely pace.) Other
aspects of the walk may provide
more benefits. Recent studies
have shown that regular exposure to green spaces lowers
stress in itself.
People who walk their dogs in
public places may have noticed
another manifestation of the
“pet effect”—that having their
dog nearby brings them into
conversation with passersby. Research has confirmed that this is
a real effect, applying to men and women
alike. In a 2015 study published in the journal
Anthrozoös, a young man walking around a
shopping precinct with a friendly Labrador
retriever by his side was able to persuade
one woman in three to part with their phone
numbers, compared with less than one in 10
when he was on his own.
This aura of trustworthiness may be the
true power behind the “pet effect.” A 2015
study published in PLOS One surveyed almost
2,000 residents in Nashville, San Diego and
Portland, Ore., and found that pet owners
were more likely to get to know people in
their neighborhood than those without pets.
Dog owners met other owners on walks, of
course, but cat owners also bonded with one
another through mutual offers to watch each
others’ pets while they were on vacation.
Pets help build communities, breaking down
barriers between people and paving the way
for us to build networks of friendships.
The same effect may account for much of
the effectiveness of animal-assisted therapies, with the animal drawing the patient
into relaxed conversation with the human
therapist.
Pets make people happy, and bring people
together. Does it really matter if they don’t
have the power to prolong our lifespans?
Dr. Bradshaw is director of the Anthrozoology Institute at the University of Bristol.
His latest book is “The Animals Among Us:
How Pets Make Us Human,” to be published by Basic Books on Oct. 31.
100 YEARS AFTER BALFOUR, DECLARATIONS OF DIVISION
LEFT, British Prime Minister David
Lloyd George and Arthur James
Balfour, circa 1920. BELOW, the
Balfour Declaration of 1917.
A CONTROVERSIAL BANQUET in London on
Nov. 2 will take place under tight security.
It will mark 100 years since the signing of the
Balfour Declaration—a promise by the U.K. government to “view with favor” a Jewish “national
home” in Palestine. Two descendants of David
Lloyd George, the British prime minister at the
time of the signing and a key supporter of the
promise, sharply disagree on the declaration’s
legacy. Robert Lloyd George, a great-grandchild
of the former premier, will attend and represent
his family in a spirit of celebration. Yet Gwyneth
Daniel, another great-grandchild, intends to protest in the street outside the dinner, to be held
at an opulent house near Buckingham Palace.
Today’s prime ministers of Britain and Israel, Theresa May and Benjamin Netanyahu,
are expected to attend the banquet. A member
of the Trump administration is also expected to
be there, organizers said. Details of the guest
list are being kept under wraps. Palestinian
leaders aren’t going.
“Britain could well owe the Palestinian people an apology rather than celebrating” the declaration, said Ms. Daniel, a 71-year-old psychotherapist. “I think it is completely outrageous
that our government is taking the line that it is.”
The Lloyd George family spat reflects the
passions running ahead of the declaration’s
centenary. Like the family, politicians and religious groups are divided. Mrs. May, a Conservative, has said that the centenary should be
celebrated “with pride.” The Palestinian Authority has asked for an apology, but Mrs.
May’s government has said that it won’t express regret for the declaration, whose 67
words paved the way for the creation of Israel
after British rule over the holy land ended in
1948. Critics say Balfour’s highhanded imperialism deprived the Palestinians of their rights
and sowed the seeds of conflict. Jeremy Corbyn, leader of the U.K. opposition Labour Party
FROM LEFT: ALAMY; GETTY IMAGES
BY SIMON CLARK
AND LAURENCE FLETCHER
and a longtime supporter of Palestinian statehood, declined an invitation to attend.
Jacob Rothschild, one of Britain’s richest
men, is co-hosting the banquet. His great-uncle Walter, a leader of Britain’s Jewish community, received the declaration in 1917 from David Lloyd George’s foreign secretary, Arthur
Balfour. “The Balfour Declaration is the foundation stone of Israel,” Lord Rothschild said.
“In spite of the huge difficulties, Israel has
been worthwhile for the world.”
Lord Rothschild is leading a group celebrating the creation of today’s Jewish state on land
the British Army wrested from the Ottoman Empire in 1917. A coalition of Christians, some of
whom see the declaration as fulfilling a biblical
promise to return Jews to Israel, will celebrate
at London’s Royal Albert Hall.
In the other camp are a grandson of Mahatma Gandhi and another coalition of Christians that is hosting another event near Parliament. They want the British government to
acknowledge how, they say, the declaration
suppressed the legitimate national aspirations
of the Palestinians, who are mainly Muslims
and Christians.
Lloyd George’s great grandchildren agree that
the declaration changed history—but disagree
on Britain’s responsibility. “It was a task that
history gave us at that moment,” said Mr. Lloyd
George, a 65-year-old fund manager. “I don’t
think the authors of the declaration should be
blamed for everything that has happened since.”
The declaration led to the creation of “a nation which has always acted with impunity,”
said Ms. Daniel. “Britain does very, very little
to rein Israel in.”
Britain ruled Palestine after World War I.
Jews represented 11% of the population of
757,182 in a 1922 census. A U.N. plan to
partition the territory into two states—
one Arab, one Jewish—fell through after
Britain left under fire in 1948 and the
newly declared state of Israel was attacked
by its Arab neighbors. Hundreds of thousands of Palestinians fled and became refugees. In 1967, during the Six Day War, Israel
occupied the West Bank and Gaza, where
Palestinians want a state. More than 130
countries voted in 2012 in the U.N. General
Assembly to make Palestine a nonvoting
member of the world body. The U.S., Israel and
Canada voted against; Britain abstained.
Mr. Lloyd George said that his great-grandfather’s Christian upbringing was important to
his ancestor’s support for a Jewish home. Mr.
Lloyd George, himself a practicing Christian,
said that his ancestor was “right” to help create
a nation-state for a long-persecuted people.
Ms. Daniel said she is “very proud” of her
forefather but called his decision to put the
rights of one group over others in Palestine a
“disaster” that sowed a century of strife. Ms.
Daniel is married to Avi Shlaim, a leading historian and critic of Israel’s occupation. She is still
working on protest plans for the banquet. “If I
got dressed up looking unbelievably smart, I
might get as far as being turned away at the
door,” she said.
For Roderick Balfour, 68, whose great-great
uncle gave his name to the declaration, a “crucial” clause of the declaration has been overlooked. He read it aloud in his London apartment: “it being clearly understood that nothing
shall be done which may prejudice the civil and
religious rights of existing non-Jewish communities in Palestine.”
Lord Balfour is co-hosting the dinner with
Lord Rothschild, but in a more somber mood.
“We can commemorate it, but I don’t feel we can
really celebrate it until we get peace,” he 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
C4 | Saturday/Sunday, October 28 - 29, 2017
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THE WALL STREET JOURNAL.
REVIEW
WORD ON
THE STREET:
BEN ZIMMER
‘Dogcatcher,’
As Insult, Is
Still Elected
Speech Relies on
Some Little Words
When we say ‘mm-hmm’ or ‘uh,’ we send the
traffic signals that guide human conversation
ROBERT NEUBECKER
BY N.J. ENFIELD
WORDS LIKE “um,” “uh-huh” and “huh?” are
widely despised by those who would teach or regulate the proper use of language. Such little words
can seem like rude imperfections that disrupt the
flow of speech. Actually, they are essential to it.
Language, after all, is our way of coping without telepathy. Our task in conversation isn’t just
to infer what others want to say. Amid the rapid
to-and-fro of dialogue, we also need to know at
every stage: Is our interlocutor done talking? Can
I respond yet? What did she mean, anyway? Without figuring out these elements, a dialogue can
quickly encounter turbulence: interruptions, false
starts, misunderstandings. Conversation is a form
of traffic without external regulatory signals. Language provides its own.
Conversation is rife with noise, distraction and
ambiguity. The pace is fast. No script tells us who
should talk and when. So if we run into a problem
in understanding or hearing what someone just
said, we need to resolve it now or never. And that
is why people rely so heavily—whether we know
it or not—on little signals (“Pardon?” “What?”
“Huh?”), which help us “repair” glitches in conversation.
In a range of languages, from Siwu to Icelandic,
people use these dedicated traffic signals to catch
problems before they pass us by. In Lao, the query
“huh?” is “hã”; in Cha’palaa, which is spoken in
Ecuador, it’s “aa”; in Chinese, it’s “ha.”
We use such words all the time. Hardly a minute goes by in which we don’t encounter some
kind of conversational hitch: a mishearing, an inapt phrasing, a name we didn’t recognize. In a
study of 12 languages from five continents, published in 2015 in the journal PLOS One, my colleagues and I found that a “repair sequence” occurs in informal conversations, on average, once
every 84 seconds.
While some of these little signals address con-
versational problems as they arise, others actively
smooth the flow of traffic. When we say “mmhmm” and “uh-huh” as we listen to someone’s
story, we aren’t just showing them that they have
our attention; we are also helping them formulate
their narrative.
In a study published in 2000 in the Journal of
Personality and Social Psychology, the psychologist Janet Bavelas of Canada’s University of Victoria and her colleagues gave listeners tasks that
distracted them from listening to a
person telling a story. Some subjects, for example, were asked to
press a hidden button whenever the
narrator used a word starting with
the letter T. That left them less able
to give the usual signals of attention
to the speaker, which in turn disrupted the fluency and quality of
the narrator’s speech.
We often think of a narrative as a monologue,
involving just one person. But in language as we
live it, a listener’s traffic signals—which say, in effect, “I’m following you, so keep going”—feed
back into the narrator’s performance. That highlights the cooperative underpinnings of language.
Some of the most common linguistic traffic
signals update listeners on delays in speech. Looking at a sample of more than 23 million words of
spoken English, the University of Pennsylvania
linguist Mark Liberman found that, on average,
one out of every 60 words that people utter will
be either “um” or “uh.”
Such words are often dismissed as junk syllables intruding upon otherwise clean speech. But
we now know that they are crucial to the flow of
dialogue. In conversation, we all have to balance
the overlapping pressures of listening, speaking,
planning and thinking. An appropriately placed
“um” or “uh” lets the other party know where we
stand: “I need a moment to prepare what I want
to say, so expect a brief delay—and I’m not ready
to yield my turn at talking.”
As trivial as this message might seem, traffic
signals like these take us to the core of the human
capacity for language, in several ways. For one
thing, such little words underscore the curious
property—unique to human language—of a communication system that can communicate about
itself. A word like “um” doesn’t add information
to the topic being discussed. Instead, it adds information about the speaker’s state of mind and
about the conversation’s flow and direction.
Second, these signals make sense within the
high-speed system of turn-taking in conversation
that we all employ. People are exquisitely sensitive to the passage of time: The average conversational delay before a new speaker starts up, such
as when we answer a question, is 200 milliseconds—around the time it takes to blink the eye.
Even the subtlest delays will be taken as meaningful. A silence after a question may suggest that
the person didn’t hear it or doesn’t think that the
questioner is done. Signals like “um”
and “uh” let us avoid that silence
while we take the time to formulate
our next move. The signal conveys
that we are indeed going to speak,
that we haven’t tuned out or lost
track, and that we will soon resume,
with everything under control.
Third, when we use “um” and
“uh,” we assume that our listeners
will cooperate. We presume that
others will abide by the “wait” signal we are sending and refrain from
jumping in. The signals of language assume a cooperative, law-abiding community.
Could conversational traffic signals arise from
general principles of communication that are independent of language? If so, we would expect to
see these same features in nonhuman communication. But we don’t. Animal communication can be
complex, but as far as we know, no animal shows
finely timed, cooperative turn-taking, mechanisms
for repair or communicative traffic signals.
The universal query word “huh?” is a case in
point. Only humans use it, obliging our conversational partners to back up and repeat or rephrase
their point. Signals like “huh?” aren’t complex,
but they demonstrate the unique and fundamentally cooperative nature of human language.
A ‘repair
sequence’
occurs,
on average,
once every
84 seconds.
Dr. Enfield is a professor of linguistics at the
University of Sydney and the author, most recently, of “How We Talk: The Inner Workings of
Conversation,” out Nov. 14 from Basic Books.
PHOTO OF THE WEEK
Terrifyingly
Tasty
A ring-tailed
lemur joined
the Halloween
celebrations
on Friday at
a zoo in
Amersfoort,
Netherlands,
by digging
into a Jack-o’lantern.
IN HIS FEUD with Tennessee Republican Sen. Bob Corker, President Donald Trump pulled out a
venerable political insult. On
Twitter earlier this week, Mr.
Trump wrote that Mr. Corker
“couldn’t get elected dog catcher
in Tennessee.” Mr. Corker has
declined to seek a third term in
the Senate.
Mr. Trump has frequently
used the “dogcatcher” slam for
politicians he has sought to paint
as deeply unpopular. As Denis
Slattery noted this week in the
New York Daily News, as early as
1993 he called former Connecticut Gov. Lowell Weicker a “fat
slob who couldn’t get elected
dog catcher in Connecticut.”
In 2015, Mr. Trump lobbed
“dogcatcher” tweets at two other
former governors, John Sununu
of New Hampshire and George
Pataki of New York. During last
year’s presidential primaries,
Sens. Marco Rubio and Lindsey
Graham were on the receiving
end of the insult. And at a postdebate rally in October 2016, Mr.
Trump said, “Without the media,
Hillary Clinton couldn’t be
elected dog catcher.”
The political barb long predates Mr. Trump. But could anyone ever actually be elected dogcatcher? Philip Bump of the
Washington Post uncovered evidence that “dogcatcher” has occasionally been an elected position in some American towns.
But the vast majority of the time,
the position of dogcatcher—considered the lowest of the low on
the political totem pole—has
simply been the butt of jokes.
The roots of the phrase go
back to early 19th-century American politics. The researcher Peter Reitan (who blogs under the
name Peter Jensen Brown) wrote
recently that “the office of ‘dog
catcher’ has served as the benchmark for electoral futility since
at least 1831.” In that year, the
Boston Masonic Mirror disparaged a member of the Antimasonry Party as a nobody: “He is
probably some obscure citizen,
or disappointed office seeker,
who is willing even to be known
as a dog-catcher,” rather than
not get any newspaper coverage.
Twenty years later, in 1851, a
correspondent for the Cincinnati
Gazette despaired at news that
leaders of the Whig Party had
The joke has
proved more
popular than
‘fiddler general.’
agreed to a controversial new
constitution. “Neither of them
could get my vote for the office
of dog-catcher,” he wrote.
In the 1870s and ’80s, the
now-familiar joke began to take
shape. A writer for the New York
Herald in 1874 remarked that
thanks to the corruption of Boss
Tweed, “candidates who could
not be elected to the position of
‘dog catcher’ in any other country” could win in New York easily. And in 1885, an Ohio newspaper said of a politician from
Kansas that “he could not be
elected dog catcher” in his home
state.
Other elected offices, both real
and imagined, have been used in
the same joking formula, such as
“fiddler general.” When David
Burnet ran for president of Texas
in 1841, when it was an independent republic, Sam Houston
soundly defeated him, and a military veteran said Burnet “could
not get elected fiddler general.”
The lowly bureaucratic position
of “path-master” (a kind of road
commissioner) also sometimes
the filled the gap in 19th-century
versions of the joke. But nothing
had the satisfying bark and bite
of “dogcatcher.”
Answers
to the News Quiz on page
C13:
1.C, 2.C, 3.B, 4.A, 5.D, 6.D, 7.C,
8.C, 9.A
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BOOKS
THE WALL STREET JOURNAL.
Saturday/Sunday, October 28 - 29, 2017 | C5
The Most Elegant Tinkerer
Trained as an engineer, Alexander Calder introduced motion to the ancient art of sculpture
Calder: The Conquest of Time
By Jed Perl
Knopf, 687 pages, $55
ALEXANDER CALDER was born into
a family of artists but devoted himself entirely to art only after studying and practicing engineering as a
young man. Calder’s father and
grandfather, both also named Alexander, were sculptors in a classical
vein; his mother, Nanette, was a
painter. In “Calder: The Conquest of
Time,” the first volume of Jed Perl’s
long-gestating biography of this
most original of modern artists, the
author tells the story of the youngest Alexander Calder’s life from
birth to midlife, by which time he
had established himself as a force to
be reckoned with in the international
art world.
Like many a young artist, Calder
experimented with a variety of
creative forms, including drawing,
painting, portraiture, wire sculpture,
performance art and motor-driven
assemblages. The last three of these,
especially, he created with his own
mark of distinction, which was not
universally acknowledged as brilliant. His preoccupation with using
motion instead of more traditional
formal artistic compositional elements, however, would in time manifest itself in his signature genre of
mobiles. “This I consider a rather
natural turn for me,” he would write,
“for I was once an engineer, and am
a graduate of Stevens Institute of
Technology.”
In this volume we meet first
Calder the child, then Calder the
engineer and, finally, Calder the
emerging artist. Mr. Perl describes
Calder’s life in mostly chronological
order, to a degree of detail that has
not previously been achieved. Although Calder did dictate autobiographical notes that, transcribed by
his son-in-law, were published in
1966 in book form as “An Autobiography With Pictures,” Mr. Perl’s
biography is the first to benefit from
extensive access to archives, including those of the protective Calder
Foundation, making this, if not an
authorized biography, certainly a
highly encouraged one.
While Calder, as a child, did show
signs of creativity and artistic leanings, such as making occasional jew-
BRIDGEMAN IMAGES
BY HENRY PETROSKI
MASTER OF CEREMONIES Calder in 1929, at work on his ‘circus,’ whose figures he would manipulate for intimate performances in Paris and New York.
elry for his mother and sister, he
seems simply to have led the life of
just a curious child. He was fascinated by construction projects and
spent countless hours as a sidewalk
superintendent, observing constructions in progress. From an early age
he also retreated into his own workshop, something his parents always
made sure he had, no matter where
they lived—and they lived from
coast to coast, depending on the
elder Calder’s health and where he
received his commissions for sculptures.
The family was living in California
when young Alexander and his sister,
Peggy, came of college age. Peggy attended the University of California,
Berkeley, and the apparently funfilled college experience she had
there made him determined to attend college himself. Being neither
encouraged nor discouraged from
pursuing an artistic career by his
parents, who knew firsthand the difficult life of securing commissions
and moving to where work took
them, the young “Sandy” Calder was
left to his own devices to choose
what to study.
Following a friend’s lead, Calder
settled on engineering—not a surprising choice given his mechanical
curiosity and workshop tinkering.
The elder Calder, through one of his
own friends, identified the Stevens
Institute of Technology in Hoboken,
N.J., as the place for young Sandy to
go to study mechanical engineering.
Stevens is just across the river from
Manhattan, where the elder Calder
would move his family while he
worked on the bas-relief of George
Washington that adorns the arch in
Washington Square Park.
Sandy appears to have thrown
himself into engineering studies, and
he worked seriously as an engineer
for a while after graduation, even
cultivating a mustache to look more
experienced in the profession. It was
while giving engineering a chance
that he began to take his first formal
It was Marcel Duchamp
who suggested the name
‘mobile’ for the artist’s
innovative creations.
art classes and transition toward a
career in art. But he would not forget what he learned at the school
whose only course of study was mechanical engineering, and a perusal
of the textbooks used when he was a
student shows the seeds of art in
motion in their pages.
Mr. Perl tells much of the story of
Calder’s engineering education and
practice in two chapters, one titled
“The Stevens Institute of Technology” and the following, “Engineering.” Instead the remaining 26 chapters of this literally heavy 700-page
book deal not unexpectedly with
Calder’s life as a struggling and then
successful artist, living mostly in
New York and Paris, becoming part
of the avant-garde art scene and
finding his most mature artistic
voice in his mobiles (and, we can
expect, in the sequel, his stabiles).
But Mr. Perl curiously stops short of
pursuing in any depth the influence
of engineering study and practice on
Calder’s art.
Among the aspects of Calder’s
engineering career that Mr. Perl
plays down is his design of children’s
toys, especially those that moved in
Please turn to page C7
A Wonder Boy on the Wrong Side of History
By Kenneth Whyte
Knopf, 728 pages, $35
BY EDWARD KOSNER
HERBERT HOOVER was an American tragic hero—a man brought
down by the very qualities that made
him great.
People think of Hoover, if they
think of him at all, as a stiff old man
in a double-breasted suit doddering
out of the Waldorf Towers on Park
Avenue with a wan wave. Historians
often rate him with Warren Harding,
Andrew Johnson and James Buchanan as among the worst American
presidents. Hoover’s presidency was
overwhelmed by the Great Depression, and he was swept from the
White House by Franklin D. Roosevelt’s 1932 landslide that heralded the
New Deal.
So what’s to be gained from another door-stopping biography of the
31st president? As it happens, a great
deal. Time and the erosion of American history and civics courses have all
but obliterated Hoover from American
consciousness. That’s a shame, because Hoover’s life is one of the most
fascinating in our annals, and some of
the issues that bedeviled and ultimately destroyed his presidency still
resonate today.
In these frantic times, it’s nearly
impossible to grasp the sustained
reach of Hoover’s career and achievements. He was born in 1874, during
President Ulysses S. Grant’s second
term and lived to meet John F. Kennedy Jr. in Hoover’s final year, 1964.
He served in one way or another
PresidentsWilson, Harding, Coolidge,
Truman and Eisenhower. Conceived
during the Panic of 1873, he graduated in Stanford’s first class right into
the Panic of 1893. In 1929, barely six
months into his presidency, what
turned out to be the Great Depression
convulsed the country. America ultimately recovered, but Hoover’s reputation never did.
Kenneth Whyte, a Canadian newspaper and magazine editor and chronicler of William Randolph Hearst, is
the latest to try to retrieve this perplexing figure from the controversy
and contempt that have enveloped
him. Mr. Whyte’s “Hoover: An Extraordinary Life in Extraordinary
Times” is an exemplary biography—
Hoover was a prodigy
of ability and insecurity,
scruple and ambition,
ruthlessness and charity.
exhaustively researched, fair-minded
and easy to read. It can nestle on the
same shelf as David McCullough’s
“Truman,” a high compliment indeed.
On the very first page, the author
proclaims his subject “a blur,” but
then goes on to detail how Hoover
was actually one of the most peculiar
men ever to win the White House—a
prodigy of ability and insecurity, scruple and fervent ambition, ruthlessness
and philanthropy. High-minded to a
fault, he could be a shark in business.
He was at once taciturn and compulsively gregarious, hard-pressed to
grunt out a “yes” or “no” to guests at rush country of Western Australia, a three of the colored races in simple
his crowded dinner parties. He was sun-scorched, lawless wilderness, tasks like shoveling, and as high as
married to the love of his life for 45 where he sloshed through the muck one to eleven in the more complicated
years, but they rarely lived together of long-shot mine tunnels.
mechanical work.” In China, he ran a
in any of his many houses at the same
Over the next 20 years he made lucrative joint venture with a welltime. They signed their frequent let- millions as a mining engineer in Aus- connected Mandarin. Over time, Hooters to each other “Herbert
ver managed to seize conHoover” and “Lou Hoover.”
trol of the operation using
He was never happier than
such shady tactics that he
standing alone for hours in a
was excoriated by a Britfreezing trout stream waiting
ish judge as a fraudster.
for a nibble.
Hoover sold off most
Hoover was one of those
of his interests for $4
people who wake up in adolesmillion in today’s money
cence and realize that they are
and re-established himsmarter, more energetic, more
self in London as World
disciplined and thus more caWar I loomed. Then fate
pable than anyone else they
intervened—changing
encounter. Born to a poor
Hoover’s life and AmerQuaker blacksmith and ferica’s destiny. The outvently religious mother in the
break of war stranded
farming hamlet of West
tens of thousands of
Branch, Iowa, he was orAmerican tourists in Lonphaned at 9. He was parceled
don and on the Contiout to relatives as far west as
nent. Unbidden, Hoover
Oregon, always the outsider in
showed up at the Amerithese surrogate families. At 14,
can consulate to get the
he went to work as an office
refugees safely home.
boy at an uncle’s land-manEfficient as always, he
agement firm, and soon made
organized the rescue
himself indispensable. At 17,
effort—the first of a sehe was admitted to Stanford,
ries that established Hooeventually graduating only
ver’s reputation as the
after a sympathetic professor
autocratic savior of the
rewrote a required essay.
distressed and propelled
His pre-presidential rehim to the presidency.
sume was as odd in its way DRIVEN The 31st president of the United States (1929-33).
After Germany invaded
as Donald Trump’s, and it
Belgium, he promoted
prefigured his ordeal in the White tralian gold and later in Chinese coal himself into the job of feeding the
House. Hoover studied geology at and Burmese zinc. He was a peerless starving Belgians. This was a ticklish
Stanford and expected to graduate mineral hunter and a slave-driving operation involving raising hundreds
into a good job at the U.S. Geological operator, contemptuous of native la- of millions of dollars, persuading the
Survey. The economic downturn scut- bor. In a mining manual he published, British to allow food ships to penetled that, so he set off to seek his for- Mr. Whyte reports, Hoover “deemed trate their blockade of the North Sea
Please turn to page C6
tune 9,000 miles away in the gold one white worker equal to two or
GETTY IMAGES
Hoover
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C6 | Saturday/Sunday, October 28 - 29, 2017
* ***
THE WALL STREET JOURNAL.
BOOKS
‘Empires die, like all of us dancers in the strobe-lit dark . . . not dancing but twitching. . . . Life is a terminal illness.’ —David Mitchell
Cosmic Retribution
The Fate of Rome
By Kyle Harper
Princeton, 417 pages, $35
BY JAMES ROMM
How to Think
By Alan Jacobs
Currency, 157 pages, $23
BY BARTON SWAIM
GETTY IMAGES
‘THESE LATE ECLIPSES in the sun
and moon portend no good to us,”
remarks Gloucester in Shakespeare’s
“King Lear,” just as the mythic British
monarchy he serves begins to collapse. Tragedians from the Greeks
onward have maintained that political
disasters are attended by disruptions
of nature: Comets presage the deaths
of rulers, earthquakes and storms
herald the downfall of states.
It is not hard to see the self-flattering appeal of such an idea: Man’s fate
corresponds to the arrangement of
the cosmos itself, one sphere affecting
the other. Yet in literary form, such a
correspondence can appear more
imagined than real, leaving the linkage open to dispute. Thus Edmund,
Gloucester’s coldly rational son, dismisses his father’s astrology as “the
excellent foppery of the world”: To
believe that the stars guide earthly
events, Edmund says, is merely to
shift responsibility away from human
agency and onto unseen, uncontrollable forces.
Amid the earthquakes and hurricanes and the solar eclipse that our
continent has witnessed in the past
few months, many of us are no doubt
hoping that Edmund, not Gloucester,
is right about such matters: that we
need not read portents into nature.
But rationalism has provided a new
spin on this old debate. Killer storms
like Irma and Maria have been blamed
on global warming, a trend likely
accelerated, if not caused, by human
factors. The growth of industrial civilization has, in this view, produced
changes in the natural order that now
wreak havoc on the very societies
that spawned them. Modern science
thus lends support to the idea that
human overreach leads to cosmic
retribution, a pattern that has deep
roots in classical myth and tragedy.
Myth and science rub shoulders in
“The Fate of Rome: Climate, Disease,
and the End of an Empire,” an original
and ambitious, if not wholly successful, study by University of Oklahoma
classicist Kyle Harper. Mr. Harper has
assembled vast amounts of precise
measurements, including the lengths
of skeletal femur bones and beryllium
isotope readings from ancient mineral
deposits, in support of his thesis that
climatic instability and infectious
disease hastened the collapse of the
western Roman Empire.
Yet Mr. Harper’s mode of presentation is far from that of a dispassionate scientist. The book’s title, which
deploys the word “fate” where
another writer might have used “fall,”
invokes ideas and patterns from the
world of tragedy, as do chapter headings such as “Apollo’s Revenge,” “The
Wine-Press of Wrath” and “Judgment
Day.” Mr. Harper’s prose style, with
its florid descriptions of the end of
days, sometimes savors of the Book of
Revelation or the famous Jonathan
Edwards sermon “Sinners in the
Hands of an Angry God.” The effect
TIME AND TIDE Detail of a Roman mosaic from the first century B.C. depicting the Nile River in flood.
can be enthralling, though the underlying analysis may require a calmer,
more thorough review of the evidence
to judge properly.
It has long been recognized that
Rome’s golden age of expansion and
empire was blessed by what is now
routinely labeled the Roman Climate
Optimum—“a warm, wet, and stable
climate regime” that “turned the
lands ruled by Rome into a giant
greenhouse.” (A greenhouse, in this
context, of course implies a state of
optimal growing conditions and is not
an emblem of trouble, as it has
become with our worry over “greenhouse gases.”) Opinions vary widely
on the dates of the RCO, but Mr.
Harper, citing various bodies of
evidence, argues that its span ranged
from 200 B.C. to A.D. 150—almost
exactly the era of Rome’s greatest
efflorescence.
The breakdown of the RCO was not
the Romans’ fault to any great degree,
though their cutting down of trees for
fuel and farmland did contribute to it.
More prominent in Mr. Harper’s
retributive scheme are the three great
plagues that ravaged the empire in
the second, third and sixth centuries,
contagions that thrived amid the
density and interconnectedness of
Roman populations. These pestilences, Mr. Harper suggests, arose as
a result of the growth, expansion and
complexity of the empire. They were
“Apollo’s Revenge,” a kind of divine
payback for the overreach of a great,
grasping, global state.
The disasters that Mr. Harper
charts reinforced and amplified one
another. Climate changes in later
antiquity, as the stable RCO gave way
to extreme fluctuations, contributed
to the spread of disease. Increased
rainfall in Asia, for example, may have
driven plague-bearing rodents out of
their holes and into closer proximity
to towns and cities. Human populations, too, were unmoored by disruptions in weather patterns. Thus Mr.
Harper characterizes the Huns, who
burst in upon Rome from beyond its
northeastern frontier in the late
fourth century, as “armed climate
refugees” more than as marauding
invaders, their native lands newly
ravaged by drought: “The nomads
who called central Asia home suddenly faced a crisis as dramatic as the
Dust Bowl.” Frontier defenses collapsed in part because plague had
depleted their manpower. The chain
of Rome’s misfortunes, set alongside
climate change, plagues and migrations, thus seems to be part of a vast
“feedback loop.”
Mr. Harper proceeds chronologically, kicking off each chapter by
recounting, in broad strokes, the
political and social evolution of Rome
in one of its final centuries. Then
calamities arrive. Mr. Harper’s gift for
prose style allows him to keep the
Was a change in climate
and a rise in disease
a kind of payback for
the empire’s overreach?
tension high even though his story
follows a predictable downward path.
He particularly relishes incantatory
lists of systemic failures: “Anarchy
was loosed on the world. . . . The stupendous fabric was about to come
undone. . . . The structural integrity of
the imperial machine burst apart. The
frontier system crumpled.” These four
sentences are densely bunched on a
single page, and one can find many
pages in this book that carry similar
aggregations of woe. It’s debatable
whether such passages should be
classed as history or rhetoric, but in
either case, fans of the dystopian and
apocalyptic will find them greatly
entertaining.
This book’s ambitions are vast, as
is the research that went into it. Mr.
Harper has had to master specialized
fields far outside the normal scope of
the classicist. His evidence comes not
only from obscure and difficult literary testimonia but from tree rings, ice
cores and speleothems (excrescences
found in caves from which ancient
humidity levels can be deduced). He
has had to cope with contested questions like the size of the empire’s
population and the identification of
pathogens based on reports of their
symptoms. At the heart of his study is
the most vast and most contested
question of all, the reasons for Rome’s
decline—a topic that, over the centuries it has been studied, has spawned
more than 200 separate theories (according to a count Mr. Harper cites).
These range widely—from the changing ethnic and religious makeup of
the empire to the contamination of
drinking water by lead pipes—or else
give way to a sense that all empires
eventually decline and, to borrow
again from “King Lear,” the wonder is
that Rome endured so long.
Has “The Fate of Rome” finally
resolved this question? Hardly. Mr.
Harper has nicely laid biological and
climatic disasters side by side with
the various stages of Rome’s fall, but
the relationship between the two is
much harder for him to establish. At
key points he hesitates to characterize it as one of cause and effect, and
hesitate he should, for his evidence is
often too thin, or too poorly presented, to bear out such a thesis. Did
Rome collapse because it got sick, or
did it get sick because it was in collapse? Mr. Harper does not convince
us that he knows the answer, but he
does provide a panoramic sweep of
the late Roman Empire as interpreted
by one historian’s incisive, intriguing,
inquiring mind.
Mr. Romm is the author of “Dying
Every Day: Seneca at the Court of
Nero.”
GETTY IMAGES
The Extraordinary Herbert Hoover
Continued from page C5
and the Germans not to commandeer
the rations. It was a spectacular success, and prompted Woodrow Wilson
to add Hoover to the U.S. delegation
to the Versailles peace conference,
where he presciently warned against
punitive German reparations.
Warren Harding proclaimed Hoover “the smartest gink I know,” and
made him secretary of commerce, a
role that Hoover inflated into czar of
the American economy. “Control was
almost as oxygen to him,” writes Mr.
Whyte. He managed to escape the
stigma of the scandals that emerged
after Harding’s death in 1923 and
prospered under the new president,
Calvin Coolidge. When the great Mississippi flood of 1927 inundated much
of the Midwest, Hoover organized the
disaster recovery effort—pioneering
what became a half-century later
FEMA, the Federal Emergency Management Agency. Silent Cal found
Hoover valuable but insufferable and
dubbed him “wonder boy.”
Like many fiascos, Hoover’s presidency started off promising enough.
He temporized enough about Prohibition (“a great social and economic
experiment”) during the 1928 campaign to thrash Al Smith, the wet
Roman Catholic Democratic candidate, winning 58% of the vote and 40
Reclaim
Your
Brain
states. The stock market had quintupled since the bull run’s start in
1921. The rampant speculation and
loans to brokers spooked Hoover,
and he tried to impose restraint. He
was stunned by the eventual crash,
but as he had in earlier crises, he
mobilized to control the damage.
Working 14- and 16-hour days, he extracted promises from corporate
chiefs not to impose layoffs and
from union bosses not to call
strikes. He even came up with a
version of a stimulus bill to recharge the economy.
But self-reliance was bred in
Hoover’s bones, and he rebuffed
the clamor for vigorous federal
intervention. He vetoed an early
version of the Tennessee Valley
Authority and a plan to set up government job exchanges and refused to
pay veterans’ bonuses early, inciting
the bonus marchers who stormed the
capital until subdued by troops led by
Maj. Dwight Eisenhower and Maj.
George Patton. He did set up the
Reconstruction Finance Corp., which
proved so effective later under FDR.
But Hoover’s reticence kept him from
comforting the stricken even as false
signs of recovery yielded to deeper
collapse. The spreading encampments
of the destitute were appropriately
labeled “Hoovervilles.”
Roosevelt’s 1932 triumph embittered Hoover, who watched the new
president’s muscular embrace of policies like the bank holiday and fudging
the gold standard that he himself had
been too timid to push. He spent
broody hours alone playing solitaire
and compiling lists of people who had
been disloyal to him. He finally
roused himself to castigate the New
Deal as “a muddle of uncoordinated
and reckless adventures in government” and equated it with “Bolshevism, Hitlerism, Fascism.”
Just 58 when he left office, Hoover
fashioned a third act as a conservative evangel of small government and
personal responsibility. On the brink
of World War II, he was a fervent
America-first
noninterventionist.
“Hoover did recognize Hitler as a
madman and a menace to the peace,”
writes Mr. Whyte. But he insisted that
Germany and Japan were no threat to
the U.S., even if Hitler should conquer
Great Britain. Roosevelt should stop
provoking Japan, he argued, and let
Hitler andStalin fight to the death. As
America mobilized, Hoover lamented
to a friend, “We are the lepers. At
least our consciences are clear.”
Hoover stayed active to the end.
He ran commissions on government reorganization for Truman
and Eisenhower, established a conservative think tank at Stanford,
and was hailed at Republican conventions. He wrote seven books in
his last five years at the Waldorf
Towers. When he died, he had lived
longer than any American president
except John Adams.
Mr. Whyte is neutral almost to a
fault in his judgment of Hoover, particularly the choices he made as president and beyond. However brilliant
the man, he managed time and again
to put himself on the wrong side of
history, his inescapable legacy.
Mr. Kosner is the former editor of
Newsweek, New York, Esquire and
The New York Daily News.
THE ONLY TROUBLE with Alan
Jacobs’s book is the title. You can’t
give it as a gift, for one thing. Imagine receiving a book called “How to
Think.” Of all the nerve! For another,
who wants to be told “how to think”
by some bearded academic who
teaches English and thinks it’s normal
to take the summers off?
Yet it is precisely this sort of intellectual presumptuousness that Mr.
Jacobs wants to discourage in this
wise and delightful treatise. Our rancorous politics and cultural bifurcation encourage us to reject arguments
with which we may disagree before
we even hear them, and social media
tempt us to treat the people who
make those arguments in ways we
rightly find outrageous and abusive
when directed at us. Plenty of books
have lamented these trends and offered partial explanations for them.
What makes Mr. Jacobs’s so refreshing is that he considers bad thinking
not as a cognitive problem but as a
volitional one. The problem, he
thinks, isn’t one of “overcoming bias.”
Everyone is biased, especially those
who think they’ve overcome their
biases. “The fundamental problem we
have may best be described as an
orientation of the will: we suffer from
a settled determination to avoid
thinking.”
In seven brief chapters, Mr. Jacobs
suggests methods by which readers
may cultivate habits that encourage
the charitable and clear expression of
Few of us are really good
at thinking. Indeed, most
of us suffer from a settled
determination to avoid it.
thought. Some of these may sound
obvious but evidently aren’t: For instance, always state views with which
you disagree in a way that the holders
of those views would find fair and accurate. Others seem (for me anyway)
less obvious: Wait five minutes before
responding to any opinion you find
wrong or odious.
Another: Learn to think by spending
time with people with whom you may
not always agree but whom you know
and trust. That rules out social media,
where one’s natural inclination is to
gravitate toward those with the same
opinions and where one knows and
trusts almost no one. Learning to think
among friends and colleagues takes
work, and it runs counter to the popular ideal of good thinking captured in
the phrase “think for yourself.” When
people urge you to start “thinking for
yourself,” Mr. Jacobs suggests, “they
usually mean ‘ceasing to sound like
people I dislike and starting to sound
more like people I approve of.’ ”
Language itself poses the most serious problems for clear thought, and
Mr. Jacobs treats these with balance
and verve. The trouble, he suggests, is
this: We think in keywords, metaphors and myths. By “myths” he
means what the philosopher Mary
Midgley means by the term: “imaginative patterns, networks of powerful
symbols that suggest particular ways
of interpreting the world.” There’s no
use pretending we can somehow free
ourselves from these linguistic features: They are the means by which
the human mind functions. But metaphors and myths get in the way when
allowed to sit too long; they stagnate.
Mr. Jacobs offers the terms “intersectionality” and “white privilege” as
words relied upon so heavily by their
users that they become hindrances
rather than aids to thought. I would
add another: “globalist.”
Mr. Jacobs is a Christian in the
Augustinian tradition, and it shows.
The reasons educated and otherwise
well-functioning Americans have
fallen into habits of name calling and
gross intellectual dishonesty, he
argues, can’t be boiled down to philosophical disagreements or some
atavistic cultural neurosis. It’s the
result of laziness. Mr. Jacobs insists
we must try harder. Of all the nerve!
Mr. Swaim writes a column on
political books for the Journal.
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BOOKS
‘Diversity of opinion within the framework of loyalty to our free society is not only basic to a university but to the entire nation.’ —James B. Conant
Citizen Conant
Man of the Hour
By Jennet Conant
Simon & Schuster, 587 pages, $30
THE PRESIDENT OF HARVARD
calls for the periodic confiscation of
all personal property. He demands
“really effective inheritance and gift
taxes and the breaking up of trust
funds and estates.” He says that he
would not be upset if private education disappeared, and he calls for a
radical increase in American social
mobility, if necessary using “a bit of
totalitarian power . . . to reorder the
‘haves and have-nots.’ ”
It is 1943; the president is the
chemist James Bryant Conant; his
opinions are broadcast in the Atlantic Monthly; and the reaction of the
Harvard establishment is explosive—
predictably so, as such a high proportion of its undergraduates, and
future donors, come from private
schools, and since the “Corporation,”
its aptly named governing body, represents one of the nation’s more
spectacular stores of accumulated
wealth. One Corporation Fellow
Tom-Brownishly snips at Conant—
Old Boston but from the wrong side
of the tracks—that this isn’t a
“dignified or sportsmanlike” way of
talking. The Wall Street Journal
surprisingly approves Conant’s call
for a “more fluid society.” Meanwhile, some Corporation Fellows
begin Vatican-style plotting to secure Conant’s resignation.
The Atlantic essay was an inflection point in the career of one of the
20th century’s most remarkable
men. You can understand quite a lot
about Conant, Harvard and the state
of the nation by asking what led him
to say such things and why his proposal never had a chance of succeeding. Conant’s public life has been
treated before. James Hershberg leveraged his sprawling 1993 biography
into something like a case study of
American science and its political
relations—justifiably, since Conant
positioned himself, like a spider, at
the center of the post-World War II
web that joined the government, the
military, the scientific establishment
and academia. Jennet Conant’s “Man
of the Hour” is more compact, more
punchily novelistic and far more
readable. Ms. Conant is her subject’s
granddaughter, and much of this
book’s vividness comes from family
reminiscences. One strand tracks
Conant’s public life, and if it doesn’t
add hugely to Mr. Hershberg’s account of Conant’s political acts and
beliefs, it’s better on his Harvard
career and his views about American
education in general. The author
calls “My Several Lives” (1970), her
grandfather’s guarded autobiography, “remarkably impersonal,” and
another strand of “Man of the Hour”
sensitively describes the appalling
family life that Conant worked so
hard to keep private: his marriage
ALAMY
BY STEVEN SHAPIN
YARD WORKER James B. Conant at Harvard in 1933, the year he was installed as president of the university.
was miserable; he was an emotionally cold and bullying father; his
eldest son was afflicted with serious
manic depression; and, in the end,
Conant himself suffered a nervous
breakdown. The intercutting of the
rough and private with the smooth
and public gives “Man of the Hour”
a gripping and disturbing effect—
like a draft of a John Cheever novel.
Conant (1893-1978) was no ivorytower scientist. Even before he
completed his doctorate in organic
and physical chemistry at Harvard,
he helped start up a company in
Queens that manufactured the food
preservative benzoic acid. With
America’s entry into World War I,
Conant took a commission in the
Chemical Warfare Service. His task
was to develop poison gases—first
mustard gas, then an even nastier
brew called lewisite. Conant had
Quaker branches on his family tree,
but he had no qualms: What, he
asked, was the moral difference
between killing soldiers with explosives and killing them with gas?
His wartime work made Conant a
hot prospect for chemical companies, but he turned down lucrative
industry offers and returned to a
teaching position at Harvard, where
he successfully courted his posh
Doktorvater’s high-strung daughter.
His academic career flourished and,
in 1929, he was made full professor.
Early on, Conant had told his bride
about his career ambitions: one was
to be “the greatest organic chemist
in America” and another was to
become “President of Harvard.” In
Conant was at the center
of the web that joins the
government, the military,
science and academia.
1933, the Corporation elected him
president, succeeding the patrician
A. Lawrence Lowell. Conant now left
the lab for good and devoted himself
to the university.
Harvard stands always in urgent
need of reform, and Conant set
about systematically unwinding at
least some of the results of his predecessor’s bigotries. Having earlier
supported Lowell’s restrictions on
admitting Jews, and despite sharing
a then-common genteel anti-Semitism, President Conant now started
to dismantle a formal quota system.
He agitated for full-freight scholar-
ships to open up Harvard to students
of modest means, and he encouraged
the admission of more “meatballs”—
hard-working, lower middle-class,
often non-WASP students—and
fewer of the privileged elites. (One
Jewish beneficiary praised Conant as
“the first president to recognize that
meatballs were Harvard men too.”)
He began his long-lasting support for
the development of the Scholastic
Aptitude Test, intended to guarantee
a meritocratic element in admission.
Withstanding faculty revolts against
his authoritarian and heavy-handed
leadership, Conant instituted a system of president-chaired ad hoc
committees to vet faculty appointments, pressing for Harvard’s famous
“up or out” conventions, supposedly
to weed out “deadwood”; and he
overcame his own reluctance “to
open Harvard College to young
ladies,” finding wartime efficiencybased reasons to relieve the professors of having to give duplicate
lectures at Harvard and Radcliffe.
Yet while Conant was keen to
appear on the side of the excluded
and the downtrodden, he ensured
that many of Harvard’s hallowed
traditional ways remained intact.
Throughout his presidency, meritocratic rhetoric poorly matched insti-
tutional realities. There were more
“meatballs,” but no more than Olde
Harvard could digest; alumni “legacies,” the produce of private schools,
and “balanced” athletes continued to
arrive in suitable numbers; the proportion of Jews increased, but not
alarmingly so.
By 1941, and without giving up
the Harvard presidency, Conant was
back at war again. He was recruited
to chair the powerful National
Defense Research Committee, coordinating the mobilization of wartime
scientific resources. When his Atlantic essay poked the Corporation hornet nest, the Fellows wondered what
was so important in Washington that
Conant could not return and devote
his full attention to Harvard, but the
president could not say: his work
was secret—and the Top Secret was
the atomic bomb. Conant was present at the Trinity test; he advised
that the weapon should be used on a
Japanese war materiel “plant employing a large number of workers
and closely surrounded by workers’
homes”; and he never regretted the
Hiroshima bombing.
After the war, Conant came back
again to Harvard, but his mind, and
much of his time, had turned to politics. He continued as a key figure in
the politics of nuclear weapons development, and he finally resigned
the presidency in 1953 to become
U.S. High Commissioner for Germany. But most of his political and
intellectual energies were now devoted to national education policy.
Conant described himself as “one of
the first of the Cold Warriors,” and
his Atlantic essay wasn’t motivated
by socialist convictions but by a fear
that blocked social mobility and
restrictive university admissions
policies were wasting strategic human resources in the coming deathstruggle with the U.S.S.R. The “top
15 percent” of the country’s brains
were America’s “secret weapon”: You
needed objective testing to identify
those brains and you needed a more
open college admissions policy to
ensure that they could be effectively
developed into a stockpile of Cold
War talent. There was nothing softheaded about Conant’s vision of
meritocratic access: Its ultimate
justification was national security in
the world the Bomb had made.
The subtitle of Conant’s autobiography was “Memoirs of a Social
Inventor.” He had invented poison
gas; he had managed the invention
of the Bomb; he had helped invent
the modern Harvard; and he aimed
to reinvent American education as a
whole. But his greatest invention
was himself: a new type of social
being on the American scene—the
scientist-administrator-social engineer. His granddaughter’s biography
is an outstanding portrait of a technocrat, at work and at home.
Mr. Shapin, a professor of the
history of science at Harvard, is
the author of “The Scientific
Revolution.”
The Early Years of Alexander Calder
playfulness, though not everyone
was amused. One notable critic was
the writer Thomas Wolfe, who witnessed anonymously a performance
of the circus in a fashionable New
York apartment and incorporated an
uncomplimentary depiction of the
former art critic for the New Republic and now a regular contributor to
the New York Review of Books, is
eminently knowledgeable about artists, art movements and galleries, as
well as the influences of the 1920s
and 1930s that are the focus of this
2017 CALDER FOUNDATION, NEW YORK / ARTISTS RIGHTS SOCIETY (ARS), NEW YORK
Continued from page C5
amusingly animated ways when
pulled. These inventions relied upon
bent axles, eccentric wheels, clever
cams and other kinematic curiosities—all staples of machine-design—
to result in cartoonlike animals such
as waddling ducks, flapping birds
and swimming fish. Calder’s design
drawings for these, and for the waddling duck, especially, show a clear
sensitivity to engineering as well as
artistic considerations. Yet they are
all but missing from Mr. Perl’s otherwise exhaustive treatment of Calder’s artistic development.
We are, however, thoroughly introduced to one important precursor to
Calder’s mechanical art—his “Cirque
Calder,” a unique performance piece
consisting of miniature circus figures
animated by the hammy hand of the
bear of an artist. In the 1920s and
1930s, Calder transported the components of his three-ring show from
place to place in as many as five valises. He shaped his small performers
out of wire and put them in motion
riding horses, swinging from trapezes
and walking along tightropes, just
like real circus performers do. He
would spend hours setting them up
on the floor of galleries and living
rooms, where he put on performances that enthralled small audiences in Paris and New York.
The Calder Circus is generally
credited with gaining the young artist attention for his creativity and
creations, and it had been in Piet
Mondrian’s studio that Calder got
the idea of introducing motion into
his art. According to Mr. Perl, it was
(among other things) “the implicit
speed of Mondrian’s stripped-down
compositions . . . that came together
in Calder’s work.”
Mr. Perl does an excellent job of
placing Calder’s work in the context
of that of his artistic contemporaries, all the while moving the
biographical narrative forward to
chronicle his young family’s transatlantic commuting and, finally, how
The Stevens Institute of
Technology in Hoboken
shaped Calder as much
as did Paris and New York.
POISED Jed Perl calls Calder’s ‘Steel Fish’ (1934) ‘rawboned, loose-limbed, frank.’
event in his novel, “You Can’t Go
Home Again,” with the character
Piggy Logan being a thinly disguised
Calder. The artist was angry that
Wolfe did not introduce himself at
the soirée.
As might be expected, Mr. Perl, a
book. Just about every well-known
artist—and many obscure ones—is
mentioned, because Calder interacted with so many of them socially
and creatively. For example, it was
Marcel Duchamp who suggested the
name “mobile” for Calder’s moving
he and his wife settled down in
Roxbury, Conn., where they raised a
family. There Calder designed and
supervised the construction of his
famous studio, with its walls of windows and its clutter of rods, wire,
sheet metal and wood mixed among
his tools, including his favorite ones
of wire cutters and bending pliers—
not to mention crowded clouds of
mobiles hanging from the ceiling.
A photograph of Calder dwarfed
in his studio is the last of some 350
well-chosen images—a good number
in color—that Mr. Perl has included
in his book, and all very thoughtfully
placed. It was rare that I read on one
page of some artist or work that I
did not find a relevant image on the
same or the following page. There is
one by André Kertész of a moustachioed Calder intently at work on his
circus act. There is another of a
young Calder in his Paris studio,
standing behind one of his dynamic
creations while employing wooden
pulleys and string and, perhaps, a
hidden motor, something Calder
used in many of his early moving
sculptures but ultimately abandoned
in his delicately balanced and aircurrent-driven mobiles.
This image of the young Calder,
which also appears on the book’s
dust jacket, is the most striking in
the book. It reminded me of so many
engineering graduate students I have
known, working in their laboratories
on some jerry-rigged apparatus. Had
Calder not studied at Stevens a
century ago, the world of art and the
general culture might not know
mobiles and stabiles as they do
today: His genius was a blend of art
and engineering, with the latter being
something the artist never forgot.
Mr. Petroski is a professor of
engineering and history at Duke.
His book “The Road Taken: The
History and Future of America’s
Infrastructure” is now out in
paperback.
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C8 | Saturday/Sunday, October 28 - 29, 2017
* ***
THE WALL STREET JOURNAL.
BOOKS
‘Our country’s strong, our country’s young / And her greatest songs are still unsung.’ —John Latouche
Words and Shadows
of Mr. Pollack’s biography we come
upon the phrases “seem to have been
written” and “as seems probable” and
“what appears to be” and “could help
illuminate” and “might have influenced” and “whether or not.” Latouche was gay, like Hart, and while
he was mostly comfortable in his own
skin, his romances remain sparsely
documented. For all of Mr. Pollack’s
commendable thoroughness, his biography gives us scant impressions of
what it might have been like to be
Latouche’s lover—or, for that matter,
his wife. (In 1940, Latouche married
Theodora Griffis, about whom “little
is known,” though she was “primarily
homosexual.”)
Little emerges, indeed, about what
it was like to be Latouche’s friend.
Though popular and admired, he
somehow inspired largely undetailed
reminiscences from those who loved
him. He was regularly described as a
“brilliant” conversationalist, but few
examples of wit or insight have survived.
Latouche was quite short, as everyone in recalling him seemed to point
out: a “little guy,” “very small,” “impish in size,” etc. After a while, such
phrases sound less like references to
physical stature than to a perceived
sprightliness: In the enchanted forest
where he chose to make his home, the
midsummer night’s dream of the
theater, he cast himself as Puck, part
magician and part errand-boy.
Latouche never made it to Europe,
for all his foreign languages and deep
reading in Continental literature. If
“The Ballad of Baby Doe,” with its
boom-and-bust mine owners and
women of dubious reputation, represents one sort of quintessential American tale, Latouche’s own life represents another: that of those wordmad emigrants to New York in its
heady Tin Pan Alley days who sought
to get everyone in an expanding,
vibrant country up on their feet,
dancing and singing.
John Latouche’s very shadowiness
finally turns him into a sort of everyman, or everypoet. He was not an Ira
Gershwin or Cole Porter, Irving Berlin
or Johnny Mercer—not one of those
Tin Pan Alley giants whose verses
dominated jukeboxes and p.a. systems
and radios, floating through luncheonettes and hotel lobbies, barrooms and waiting rooms and bedrooms. But he might stand in for all
those who, though belonging to the
second or third rank, enduringly
enriched our culture.
Sometimes in a bar or restaurant,
when one of the old standards is
piped in, you’ll overhear a timeless
discussion. “Isn’t this a Cole Porter
song?” “No, it’s got to be the Gershwins.” “No, no, it’s somebody else . . .
It’s somebody else . . .” Well, it could
just be John Latouche.
The Ballad of John Latouche
By Howard Pollack
Oxford, 565 pages, $39.95
BIOGRAPHIES GENERALLY break
into two categories. When the subject
is famous, the biographer will set out
to prove that here at last has arrived
the most insightful or comprehensive
or fresh portrait available. When the
subject is obscure, the biographer’s
first and chief task is to convince us
to spend substantial time with a relative stranger.
Howard Pollack’s “The Ballad of
John Latouche: An American Lyricist’s
Life and Work” falls into the second
category. Latouche died in 1956. This
is his first biography. During his frenetic and too-brief life—he died of a
heart attack at age 41—he was a
whirling phenomenon, both ubiquitous and transient. He never sat still.
Collaborators found him bright and
beguiling and irksome.
Those collaborators included some
of the most esteemed names in American theater and popular song.
Latouche provided lyrics for Duke
Ellington (who called him a “great
American genius”) and Leonard Bernstein and Vernon Duke. Frank Sinatra
and Paul Robeson and Bing Crosby
sent his words sailing out over the
airwaves. He wrote for films, he
adapted plays by Cocteau and Strindberg, he translated poems by Verlaine
and Brecht. During his abbreviated
career, he roused a chorus of voices,
yet most of the echoes proved to be
short-lived. These days, Latouche is
pursued by silence.
Born in Baltimore, reared in Richmond, Va., he set out in 1933 for Columbia University, where in a rocky
freshman year he somehow managed
to flunk, among other subjects, personal hygiene. (We’re not told exactly
how he did that.) Manhattan became
his adopted home. He played up the
Southern and French side of his ancestry (his father’s) and downplayed
the Jewish side (his mother’s), establishing himself as an exotic transplant
from warmer and friendlier climes.
Though he often worked with the
best, what resulted wasn’t always their
best work. Vernon Duke spun out
some of the most beloved melodies in
the great American songbook: “April in
Paris,” “Autumn in New York,” “I Can’t
Get Started.” But none of these was
done with Latouche. It appears their
only lasting collaboration was the
charming “Taking a Chance on Love”
(“Here I slide again / About to take
that ride again / I’m starry-eyed again
/ Taking a chance on love”). The song
was recorded by pretty much everybody (including—my favorite—a plaintive 1943 rendition by Benny Goodman
and Helen Forrest). But when you consider the talents of Vernon Duke, let
alone those of Bernstein or Ellington,
NEW YORK PUBLIC LIBRARY
BY BRAD LEITHAUSER
PAS DE DEUX IN BLUE Duke Ellington and John Latouche in 1946.
you can’t help lamenting that richer
fruit didn’t spring from so fertile a
shared soil.
Perhaps some personality flaw in
Latouche stifled the best in his artistic partners. Or he was unlucky. Or he
was beset by a crippling ambivalence.
(His friend the novelist and composer
Paul Bowles recalled that Latouche
“made his living writing song lyrics,
although he called himself a poet, and
bitterly resented my calling him a
lyricist.”) In any event, given his
formidable gifts—a flair for foreign
languages, a keen memory, a profound
knowledge of folksongs and English
pub ballads—you might have expected
him to claim a larger role in the
spacious auditorium of the American
popular song.
Mr. Pollack portrays Latouche as a
kind of minor-league Lorenz Hart, but
this is unconvincing. Hart had both an
adroit, jokey tenderness (“Your looks
are laughable, / Unphotographable, /
Yet you’re my favorite work or art”)
and a headlong zaniness (“When love
congeals / It soon reveals / The faint
aroma of performing seals”) that
Latouche lacked. What Latouche did
possess in abundance, as demonstrated in a 1984 album by Richard
Rodney Bennett, “Take Love Easy:
The Lyrics of John Latouche,” was a
winsome straightforwardness. You
have to admire the deft simplicity of
the opening to “Lazy Afternoon”:
It’s a lazy afternoon
And the beetle bugs are zoomin’
And the tulip trees are bloomin’
And there’s not another human
In view
But us two.
He shone brightest when he didn’t
seek to be flashy.
At the end of the day, though,
Latouche’s reputation must rest with
“The Ballad of Baby Doe,” Douglas
Moore’s 1956 opera, to which Latouche provided libretto and lyrics.
Among 20th-century operas in English, it’s something of a rarity in both
the ardor of its followers (the selfstyled “Doe-heads”) and its many
revivals.
Ellington called Latouche
‘a great American genius . . .
a man so imitated today by
other people writing shows.’
“The Ballad of Baby Doe” is a sunrise work, a tale of the dawning
American West in an era of grubstakes and the great silver boom. It
follows two colorful, indeed scandalous, historical figures, the millionaire
mine owner Horace Tabor and his
much younger lover-become-wife,
Elizabeth, nicknamed Baby Doe. Unfortunately, the opera played a sunset role in the life of Latouche, who
lived to see its Colorado premiere
but not its breakthrough success at
City Opera in 1958. (Beverly Sills
later called it the “first major triumph of my career.”)
In retrospect, Latouche’s life itself
carries a sunset feeling. He dwelt
among crepuscular shadows. He was
careless with manuscripts and correspondence, and much of his daily life
remains unlit. In one two-page stretch
Mr. Leithauser’s latest book is
“The Oldest Word for Dawn: New
and Selected Poems.”
MYSTERIES: TOM NOLAN
The Case of
The Vanishing
Waitress
MANFRED
Baumann, the middleaged bank manager
in Scottish author
Graeme Macrae Burnet’s “The Disappearance of Adèle Bedeau” (Arcade, 225 pages, $24.99), is a quiet
man of rigid habits. Constantly paranoid that others are “about to ridicule him or accuse him of some misdemeanor,” in Mr. Burnet’s telling,
he goes out of his way to appear
predictable. But that changes when
he becomes obsessed with a young
waitress at his favorite bistro in the
small French town he lives in—the
titular character in this gripping
psychological thriller.
Baumann spies on the girl as she
meets with a beau. He even takes the
bold (for him) step of exchanging
words with her on the street. When
she suddenly disappears from her job
Sometimes murder is
just a matter of chance.
Two people meet and
something bad happens.
and apartment, Baumann’s anxiety
soars, and he becomes convinced the
police suspect him of having something to do with the missing girl.
Enter Georges Gorski, the police
detective assigned to investigate the
disappearance of Adèle Bedeau. “The
case was of the worst sort,” thinks
Gorski. “It was not even clear whether
a crime had been committed.” As the
detective observes: “Sometimes murder is just a matter of chance. . . . Two
people meet and something bad happens. Maybe even by accident.”
In this riveting tale, Mr. Burnet
touches on themes of free will and
fate, falsity and authenticity. He revisits the physical and emotional
terrain mapped by Georges Simenon
but explores this classic turf in
distinctive fashion—combining the
moodiness of Simenon’s stand-alone
character studies with the pace of
his Inspector Maigret series.
Gorski questions Baumann, one of
the last people to see Adèle in
public. Baumann’s insistence that he
can be of no further assistance only
increases the policeman’s interest:
“In my experience, when people say
that they wish they could be of more
help, they very often can be.” Baumann may have more to say than he
lets on—not only in regard to Adèle,
but also concerning violent events of
long ago which shaped this frightened man’s entire life.
FICTION CHRONICLE: SAM SACKS
Life After Landfall
uated to Houston, and their older
daughter, Del, was living in New York.
But their 28-year-old daughter, Cora,
stayed behind with her boyfriend,
Troy. When “The Floating World”
begins, a month after the devastation,
Cora’s legs are covered in chemical
burns from the toxic water and she
refuses to talk about what she went
through. But the discovery in an
abandoned house of a woman—Troy’s
mentally unstable sister—killed by a
shotgun blast speaks to a traumatic
event even more terrible than the
flooding.
The mystery of the death propels
the novel in a zigzag fashion, flashing
back to the storm and then leaping
forward in time to a hard-earned
resolution. The force of Katrina has
opened old wounds among the Boisdorés, and tangents in the story brush
against marital infidelity, mental
health and biases in class and race.
Ms. Babst has a delicate way of depicting souls confronted by more
hardship than they can bear, but the
cataract of fears and grievances can
make for punishing reading. Troy
likens the flood to a great welling-up
of sorrow. Once a feeling that powerful breaches the levees erected to
contain it, it becomes all-consuming.
“And you can’t do a thing about it,”
he says. “It’s like dropping sandbags
in a river.”
“Malagash” (ECW, 175 pages,
$12.95), the sly and affecting novella
by Canadian writer Joey Comeau,
ble younger brother, Simon, apprenticing him in the mysteries of computer coding. Mr. Comeau grasps a
crucial truth that the most important
characters in fiction about death are
the survivors, and this book ends not
with visions of the deluge but the
promise of the rainbow sign.
Anyone who enjoyed James
McBride’s “The Good Lord Bird,” the
portrays a family in the vise of a more
personalized tragedy. The setting is
northern Nova Scotia, where a husband and father of two has opted
against a last-ditch round of chemotherapy, the better to enjoy his final
days with his family. As he awaits his
death, his daughter, Sunday, a prizewinning computer programmer, is
making plans to memorialize him.
She’s converted secret recordings on
her phone into hundreds of brief
sound files of her father talking.
These files will be turned into a be-
A debut novel about the
psychological flotsam
and jetsam washed up
by Hurricane Katrina.
nign self-replicating computer virus
that “will live forever on the hard
drives of strangers,” granting him a
form of technological immortality.
His voice is one you want preserved. Determined to face the end
laughing, he lightens every visit with
a barrage of tasteless jokes. (“To be
honest, I feel kind of foolish for eating
all those salads.”) But there’s more to
“Malagash” than Sunday’s attempt to
archive and disseminate all his stories
and punch lines. As her father becomes more remote, she forges a
binding relationship with her vulnera-
GETTY IMAGES
IN SCRIPTURE, the
great flood was a purifying event. When,
after 40 days and
nights, the rain
ceased and the waters receded, wickedness had been
cleansed from the earth. (It grew back
stronger than ever, but never mind.)
But real floods, C. Morgan Babst
reminds us in “The Floating World”
(Algonquin, 370 pages, $26.95), her
debut novel about Hurricane Katrina
and its aftermath, don’t wash away
human contamination; they bring it to
the surface. The waters that rose in
New Orleans in August 2005 were
sludgy with petroleum, arsenic, farm
run-off, industrial waste and human
effluvia. The inundation had not
“come as a great wave rising above
the river levee,” one of Ms. Babst’s
characters reflects. “It had snuck in
along channels dug to lead it away. It
had acted as if with the intent to
swallow, to smother, to ruin, to uproot, but most of all, to lift. It had
raised sewage, dirt, poisons, furniture,
cars, homes, families high above the
ground as if to allow God to get a
better look, and the things He rejected it had dropped, left them
strewn in ruined piles.”
The focus of this novel is the psychological rather than the physical
debris exposed by the storm. It introduces the Boisdoré family, whose
house is destroyed by the floodwaters. The parents, Tess and Joe, evac-
swaggering picaresque about a runaway slave that won the 2013
National Book Award, will be instantly
at home with the stories in his new
book “Five-Carat Soul” (Riverhead,
308 pages, $27). This motley collection wields the same narrative bravado and acerbic sense of humor to
peek at American history from unusual angles. A poignant sliver of the
Civil War is visible in “The Under Gra-
ham Railroad Box Car Set,” about an
antiquarian toy collector’s hunt for a
model train owned by Robert E. Lee.
“The Fish Man Angel” imagines that
the future of the republic turns on the
conversation between a black carriage
driver and a black stableman overheard by Abraham Lincoln. “The
Christmas Dance” is a genuine heartbreaker about a forgotten division of
black soldiers in Italy in World War II.
The centerpiece is a quartet of
stories set in a poor neighborhood of
Uniontown, Pa., around the time of
the Vietnam War. Butter, the 14-yearold narrator, and his friends Bunny,
Dex, Ray-Ray, Beanie and Goat form
the Five-Carat Soul Bottom Bone
Band, and the linked stories chronicle
their misadventures playing gigs, getting drinks at the Cool Out Spot and
taking on their rival gang The Sixes at
baseball: “Lightbulb saw Goat running
and said, ‘One of you girls better
bring my glove,’ and Bunny who was
pitching for us said, ‘Get your own
glove, caveman,’ and we laughed and
them Sixes charged, which meant we
had to show them Sixes who’s boss.
We did what The Five-Carat Soul
Bottom Bone Band does best. We
scattered quick.”
The book’s single fault is that these
characters are so engaging and their
world so richly conceived that the
four stories only whet the appetite for
more. If Mr. McBride decided to go
back to Uniontown for his next book,
I doubt anyone would complain.
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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 28 - 29, 2017 | C9
BOOKS
‘I have always looked on disobedience toward the oppressive as the only way to use the miracle of having been born.’ —Oriana Fallaci
Questions and Answers
Oriana Fallaci
By Cristina De Stefano
Other Press, 282 pages, $25.95
IN A RARE MOMENT of introspection, Henry Kissinger once confessed
that a surrender to vanity led him
into “the single most disastrous conversation I have ever had with any
member of the press.” In 1972, he
submitted to an interview by the
Italian journalist Oriana Fallaci
because, he later wrote, “fame was
sufficiently novel for me to be flattered by the company I would be
keeping in her journalistic pantheon.”
Fallaci had made a career of battering politicians, celebrities and dictators. Mr. Kissinger claimed to have
seen only her resume, not understanding that it was a roll call of Fallaci’s victims. He would fare no better,
later accusing Fallaci of “skillful editing,” while never exactly denying the
cringe-inducing quotes that maximized his role in formulating American foreign policy. “The main point
arises from the fact that I’ve always
acted alone,” he boasted. “Americans
like the cowboy who leads the wagon
train by riding ahead alone on his
horse.” Enchanted by Fallaci’s angular
beauty, Mr. Kissinger also simultaneously bragged about and minimized
his reputation as a lothario. “For me
women are only a diversion, a hobby,”
he told Fallaci. “Nobody spends too
much time with his hobbies.”
Outside her native Italy, Fallaci is
now a largely forgotten figure. But she
was once one of the world’s most recognizable journalists, famous for her
ability to extract embarrassing quotes
from powerful men. So great was her
fame that she routinely complained
about being stopped by admirers and
bemoaned the heaps of unopened fan
mail that cluttered her apartment. Despite claiming to have “never sought
out success,” La Fallaci—a nickname
of her own coining—was never just a
byline. She was the co-star of her own
journalism, always a prominent character in her interviews, at times even
pervasive to a fault.
In her authorized biography,
“Oriana Fallaci: The Journalist, the
Agitator, the Legend,” Cristina De
Stefano reminds readers of Fallaci’s
journalistic legacy while clumsily attempting to disappear her many flaws.
But one must pity Ms. De Stefano,
tasked with recounting the life of
someone who once declared she
“never authorized, nor will I ever
authorize, a biography.” To borrow a
phrase from another trailblazing
female journalist, Clare Boothe Luce,
Fallaci had a rage for fame but bristled when written about critically.
Despite her hunch that Fallaci, who
died in 2006, would have hated this
GETTY IMAGES
BY MICHAEL MOYNIHAN
DOCUMENTARY A passport, notebooks, publicity portraits and personal papers that belonged to the Italian journalist Oriana Fallaci.
book, Ms. De Stefano dutifully fulfills
the implied requirement that any
authorized Fallaci biography be hagiographic. In the 1990s, Fallaci did sanction a biography—which provided
access to private papers and correspondence—but the author judged her
to be “a celebrity determined to control absolutely my written words and
her own official image.”
Fallaci’s toughness was forged
from an early age. Born into a country
consumed by fascism, at 14 she acted
as a courier for the partisans. By 18,
she was writing a column for a Florence newspaper. She would eventually
distinguish herself by “the Fallaci
style”: the interview as blood sport.
She was like a spider, disorienting her
quarry before dismembering them—
knocking them off balance with an insult, finishing them off with a question to which there was no good
answer. To Yasser Arafat, leader of
the Palestine Liberation Organization:
“How many Israelis do you think
you’ve killed up to this date?”
Her interviews were substantive
but almost comically performative. If
her subject refused to provide the appropriate drama, Fallaci would. With
the activist and future president of
Poland Lech Wałęsa, her opening
gambit was to observe that the anticommunist hero bore a striking resemblance to Joseph Stalin. In the
company of Iran’s Ayatollah Khomeini, Fallaci was forced to wear a
chador, providing her the opportunity
to later dramatically remove the “stupid, medieval rag.” When Libyan dictator Moammar Gadhafi indulged in
anti-Semitic conspiracy theories, she
replied, “Hitler would have been a
very good friend for you.”
Fallaci traded in moral outrage, but
her moral compass was often in need
of calibration. She judged Mr. Wałęsa
“a vain, presumptuous man, a bigot”
with a “certain air of protofascism
about him.” Unlike most dreary communist apparatchiks, Chinese dictator
Deng Xiaoping proved a formidable debator—and became an object of her affection. She later claimed that such a
clever man couldn’t have ordered the
Tiananmen Square massacre. None of
this is mentioned by Ms. De Stefano.
Nor does she confront accusations,
from Mr. Kissinger and others, that Fallaci wasn’t the most reliable narrator.
Reading Fallaci now, one senses
that she needlessly inflated experiences that were already impressive.
As a Washington Post writer pointed
out in 1977, Fallaci “seems to spin a
web of tales and fantasy when she
talks.” One new example unearthed by
Ms. De Stefano is Fallaci’s previously
unpublished—and doubtful—claim to
have once discharged a weapon in battle during the Vietnam War. Ms. De
Stefano writes without skepticism that
this was “not unusual,” even though
journalists rarely carried weapons in
Vietnam and it would have been
unthinkable for the military to distribute them to reporters in the field.
There is, though, much to say in
Fallaci’s defense. She was an uncommonly brave reporter, a muscular and
meticulous writer and the rare interviewer who refused to ignore her subjects’ little hypocrisies, obfuscatory
verbs and weasel adjectives.
She was a complicated
woman: a brave reporter
with a strong style, a rage
for fame and a thin skin.
She was a self-declared woman of
the left, variously identifying as an
anarchist and social democrat, but her
natural ideological comrades treated
her with suspicion. She was a reflexive anticommunist in an era when
opposition to U.S. policy frequently
drove its critics into the embrace of
its illiberal enemies. She vigorously
opposed America’s presence in Vietnam, but wasn’t far off when she later
argued that she “was the only journalist, the only one, who wrote the truth
about Hanoi, back in 1969.” She had a
deep affection for the U.S., but was
nevertheless infected with a lazy,
bien-pensant anti-Americanism.
Having retreated from public view
in the 1990s, her slight body ravaged
by cancer, Fallaci spent her final years
in repose on the Upper East Side of
Manhattan. When, on September 11,
Islamists committed mass murder in
her adopted city, Fallaci found a subject to occupy her final years. The resulting obsessive hatred of Islam
would do much to sully her legacy. In
angry and clotted prose, she produced
a best-selling anti-Islam screed, “The
Rage and the Pride,” and a slightly
more restrained sequel, “The Force of
Reason.” With an acknowledged crudity more “a scream rather than an
essay,” Fallaci denounced the supposed Islamization of Europe, an irreversible demographic trend because
the “sons of Allah breed like rats.” It
was an ugly comparison with very
dark lineage. Ms. De Stefano devotes
only a handful of pages to Fallaci’s
anti-Muslim turn and avoids quoting
any of the controversial passages, instead offering perfunctory descriptions of her critics (“Some accuse her
of inciting racial and religious
hatred”) and breezing toward 2006,
when Fallaci succumbed to cancer.
Oriana Fallaci’s career was varied
and imperfect, but she is deserving of
a serious treatment by a serious
writer. Instead, Ms. De Stefano has
produced a single-author Festschrift
that, in examining the life of a journalist who reveled in controversy, studiously avoids it. Perhaps, then, Ms.
De Stefano was right. Fallaci, enemy
of stenographic journalism, probably
would have hated this book.
Mr. Moynihan is a national correspondent for Vice News on HBO.
CHILDREN’S BOOKS: MEGHAN COX GURDON
From Aesop’s Mice to Modern Martial Arts
nature of her own inner resources.
With the elegance and deftness that
young readers may remember from
her superb 2015 novel, “The Lie Tree,”
Ms. Hardinge weaves a complex and
thrilling tale of loyalty, legacy and
political intrigue for readers ages 12
and older.
Brute power seems to emanate
from the pages of “Norse Myths:
Tales of Odin, Thor, and Loki” (Candlewick Studio, 225 pages, $27.99), a
collection of Viking stories retold with
The fable of the city
mouse and the country
mouse, charmingly retold
as a tale of courtship.
vigor and dash by Kevin CrossleyHolland. Jeffrey Alan Love’s stunning
illustrations here are so potent and
menacing that they seem less to have
been created with acrylic and ink than
to have been hammered from iron.
Twenty short chapters explore Norse
cosmology from the nine worlds attached to the roots of the great ash
tree, Yggdrasill, to the twilight of the
gods of Asgard. In the “brilliant, fastmoving, ice-bright” Viking myths, as
Mr. Crossley-Holland describes them,
we meet gods such as Odin and Thor,
the goddesses Freyja and Frigg,
greedy dwarves and ferocious giants,
a monster serpent and the monstrous
trickster Loki. Emerging, as they do,
from an ancient marauding culture,
Viking stories are not suitable for
dainty tea parties. Clashes are violent
and vengeful: Skulls get smashed, lips
are sewn together, and a giant’s
maimed body hisses, gurgles and sags
“like a pig’s bladder with a leak in it.”
For the young mythology enthusiast,
this would be a fine volume for solitary savoring, but given its heft and
Well, of course the girl must experiment. After a bit of ineffectual kicking
and whacking, she strikes a perfect
crane pose and (yikes!) summons a
colossal bird that begins prancing
around and trashing her room. To
quell the crane, the girl conjures a
leopard, and the animals commence
battle. In a panic, the girl works her
way through the book, calling forth a
spacious design, it’s even better for
sharing aloud.
A little girl unleashes the forces of
a different warrior culture by accident
in “The Five Forms” (Farrar, Straus
& Giroux, 32 pages, $17.99), a picture
book by Barbara McClintock. In colorful, thickly outlined illustrations, we
see the child in her bedroom looking
with curiosity at a book of martialarts poses. “Some forms mimic the
postures and temperaments of animals,” she reads. “When practiced
correctly, these forms release the
power of the animals they represent.”
snake and then a dragon—now the
room is a flurry of fighting and fury—
before hitting on the final saving pose
that will restore tranquility. Parents
who read this book to small children
should brace themselves for a lot of
exuberant kicking and whacking afterward.
Two final picture books offer
young readers a sweet antithesis to
turbulent tales of ghosts, Vikings and
martial arts. Each enlists woodland
creatures, and each evokes the special
charm of miniature tableaux captured
in photographs.
GODWIN BOOKS/HENRY HOLT
CIVIL WAR looms in
17th-century England, but at first the
threat of political violence seems remote
to a girl named
Makepeace, who faces terrors far more
immediate. In “A Skinful of Shadows”
(Amulet, 415 pages, $19.99), a sophisticated historical fantasy by Frances
Hardinge, Makepeace has always
suspected that something separates
her and her mother from their Puritan
neighbors. One night, in a terrifying
graveyard ordeal, she learns the truth.
From her father’s rich and ancient
family, the Fellmottes, she has
inherited a sickening vulnerability:
Ghosts can sense her presence and,
with their “smoky, molten faces,” will
try to claw their way inside her and
possess her unless she can develop
defenses against them. She must
“sharpen [her] stick” with repeated
sessions in the cemetery, her mother
insists, so that she is ready to fight.
As Makepeace soon discovers to
her greater horror, the Fellmottes
plan to put her ghost-hosting capacities to dark purpose. Her father’s family is not merely one of long lineage,
it seems, but one whose younger
members are conscripted for use as
vessels by their cruel forebears. As
conflict intensifies between Parliament and the crown, Makepeace becomes a prisoner in the Fellmottes’
great house, Grizehayes. Before
escaping, she learns not only the
depth of the family’s depravity but
also the surprising supernatural
In Sabina Gibson’s “Wolfie Paints
the Town” (Knopf, 24 pages, $16.99),
the first in a planned picture-book series, a soft white-felted figurine,
Wolfie, moves through a kindly pastel
landscape pulling a little red wagon
that holds her easel, paints and palette. The pleasure here for children
ages 2 to 4 is less in the story, which
is uneventful (Wolfie “paints the
town” and has an art show at the
end), and more in the tender and captivating depiction of animal friends in
a soft-focus world of lovely green
grass, dainty flowers, and felted
snails, swans and butterflies.
Maggie Rudy’s reimagining of an
Aesop tale, “City Mouse, Country
Mouse” (Holt, 32 pages, $16.99), has
more ambition as a story and a wider
scope of illustration. Using toy mice,
real plants and “scavenged materials,”
Ms. Rudy fashions miniature scenes of
bucolic coziness for Tansy Mouse,
who lives in a little house made of
bark and lichen and who one day
surprises a visitor in her strawberry
patch. It is William Gray, a city fellow
who enthuses about “the shops and
cafés, the crowded sidewalks, the
sounds and smells” of the metropolis.
In accordance with the traditional
telling (so far), Tansy agrees to visit
the city (see left), a meticulously
crafted place of brick houses, shops
and coffee houses. There’s push and
pull between city and country as each
mouse tries in vain to adjust to an
unfamiliar setting, before Tansy and
William depart from Aesop and meet
in the middle.
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C10 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
BOOKS
‘A phenomenon of such extended malignancy as the Great War does not come out of a Golden Age.’ —Barbara W. Tuchman
Serling Silver
By Steven Jay Rubin
Chicago Review, 429 pages, $29.99
CHICAGO REVIEW
BY JOHN J. MILLER
‘YOU’VE BEEN LOOKING behind
you,” a father on “The Twilight Zone”
tells his grown son. “Try looking
ahead.” The scene comes at the
climax of “Walking Distance,”
one of the best episodes
in the enduringly
popular television
series. The story
involves a burnedout businessman,
time travel and a
warning about
the dangers of
nostalgia.
In today’s playon-demand world, of
course, fans of “The
Twilight Zone” can partake in as much harmless nostalgia as they please. They can binge
watch their way through the five seasons that aired on CBS from 1959 to
1964, enjoying the famous four-note
theme music, the memorable introductions by creator Rod Serling and a
black-and-white cinematography that
feels classic rather than dated. They
may also consult a growing library of
good books that offer insights and
interpretations, from “The Twilight
Zone Companion,” by Marc Scott
Zicree, to “Everything I Need to Know
I Learned in the Twilight Zone,” by
Mark Dawidziak.
Now comes “The Twilight Zone
Encyclopedia,” by Steven Jay Rubin,
who previously wrote “The Complete
James Bond Movie Encyclopedia.” His
new guide contains spoiler-free entries for all 156 episodes as well as for
hundreds of actors, writers and
settings. Many of these include fascinating and even chilling details: Gig
Young, the actor who played the son
in “Walking Distance,” for example,
married Kim Schmidt in 1978. Three
weeks later, he murdered her and
committed suicide.
Mr. Rubin’s entry for Young displays both the strengths and the
weaknesses of “The Twilight Zone
Encyclopedia.” It offers a useful minibiography of a half-forgotten actor
who was born Byron Barr in Minnesota and took his stage name from a
character he portrayed in a 1942 film.
Known for his supporting roles—he
won an Oscar for best supporting actor for 1969’s “They Shoot Horses,
Don’t They?”—Young received $5,000
to star in “Walking Distance.”
When Young married Schmidt, he
was 64 and she was 31, though Mr.
Rubin incorrectly reports her age as
21. Everyone makes mistakes, but
editors of encyclopedias have a special responsibility to the facts. Their
tomes are called reference works for
a reason.
Yet “The Twilight Zone Encyclopedia” suffers not just from blunders
but also from blind spots. Attentive
viewers of “Walking Distance,” for
instance, will hear Young’s character
quickly mention a Dr. Bradbury. This
was Serling’s hat-tip to Ray Bradbury, whose 1957 novel “Dandelion
Wine” may have inspired “Walking
Distance.” At the very least, the two
works shared enough similarities
that Bradbury wondered whether
Serling had ripped him off. Bradbury’s suspicions extended
to another episode in
the series that he
thought resembled a
story in his 1950
book “The Martian Chronicles.”
Bradbury
never
accused
Serling of stealing
his ideas, at least
not in public. He
even wrote a script
for “The Twilight
Zone” (the third season’s
“I Sing the Body Electric”). Yet
Serling routinely annoyed him for
appropriations and other slights. Sam
Weller’s 2005 biography of Bradbury,
“The Bradbury Chronicles,” describes
their troubled relationship, but Mr.
Rubin writes little about it in a book
that ought to approach the controversy with keen interest.
Other entries are similarly frustrating. The one for Earl Hamner Jr.—
the writer of eight scripts for “The
Twilight Zone” and best known as the
creator of the television series “The
Mark Helprin
on the world before World War I
watching in the English countryside. Grey was a quiet, analytical
man whose perspective from the
Foreign Office is unmatched as a
diplomatic portrait of the Belle
Époque. Unlike Joseph Chamberlain
(“I cannot conceive of any point
which . . . would bring ourselves and
the Germans into antagonism.”),
T.R. and Churchill, he recognized
that “the consequences of . . . a
foreign crisis do not end with it.
They seem to end, but they go
underground and reappear later
on.” He represents the British view
if not more energetically than
Churchill in “The World Crisis,”
then more eloquently and
objectively.
Theodore Rex
By Edmund Morris (2001)
1
THE YEARS BEFORE the
shock of World War I are more
interesting than the war itself,
not least in their similarity to the
present. “Theodore Rex” is a beautifully written portrait of Theodore
Roosevelt’s presidency. It conveys
both the catastrophic fault lines of
the time and the swelling power
that nonetheless drove the country
and the world across them at full
speed. Roosevelt’s volcanic energy
and immunity to hesitation may
remind us of recent presidents, but
unlike them he was educated
rather than ignorant, brilliant not
dim-witted, experienced and courageous rather than vacuously narcissistic. But in the fire of his
unceasing action alert readers will
find haunting notes: the tragic
formation of his character at the
death of his young wife, and a
foreshadowing of his son’s death in
the century of war that he, like
Churchill, did not imagine. In 1902,
he wrote, “As civilization grows,
warfare becomes less and less the
normal condition.”
The Annals of America,
Vol. 13: 1905-1915
Edited by Mortimer J. Adler (1976)
3
THIS IS AN EXTREMELY
well-chosen omnibus of 119
articles and hundreds of
striking photographs and illustrations. Among the authors are
Theodore Roosevelt, Louis Brandeis,
Richard Wright, Jack London,
Upton Sinclair, Mark Twain, Eugene
Victor Debs, William Howard Taft,
John D. Rockefeller, William James,
George Santayana and Clarence
Darrow. Equal attention is given to
such things as the “Corollary to the
Monroe Doctrine,” presidential
addresses, commission reports, and
to poetry, cinema, art, architecture,
literature, crime, religion, labor,
baseball, technology, et al. European annals are usually deadly.
Perhaps it’s American exceptionalism, but “The Annals of America”
are not only an education but an
entertainment. If you don’t believe
me, read the punch and counterpunch of “A Dim View of the
Automobile” and “In My Merry
Oldsmobile,” or of Jack London’s
“How I Became a Socialist” and
John D. Rockefeller on philanthropy.
Twenty-Five Years, 1892-1916
By Edward Grey (1925)
Spoiler-free entries for
all 156 episodes as well
as for hundreds of actors,
writers and settings.
Waltons”—reports a few facts that
are easily found on Wikipedia. Then
there’s a long and meandering quote
from Hamner that serves no special
purpose. Mr. Rubin cites the transcript of a 2002 panel discussion, but
seems not to have consulted a better
source: the definitive 2005 biography
of Hamner by James E. Person Jr.,
which reveals, among other things,
the episode that Hamner regarded as
his best (the fourth season’s “JessBelle”).
“The Twilight Zone Encyclopedia”
should brim with such trivia, and yet
this occasionally satisfying book often
feels incomplete. It might be said that
Mr. Rubin’s volume—to borrow one of
Serling’s signature lines—occupies “a
middle ground between light and
shadow.”
Mr. Miller is director of the Dow
Journalism Program at Hillsdale
College and host of the “Great
Books” podcast for National
Review.
2
OF THE MILLIONS of words
written about the war, perhaps the most famous, beautiful and apt were Sir Edward Grey’s
often misquoted coda to the years
the war put to rest: “The lamps are
going out all over Europe; we shall
not see them lit again in our lifetime.” In “Twenty-Five Years,” he
describes how he and Theodore
Roosevelt spent days together bird-
Dreadnought
By Robert K. Massie (1991)
4
GETTY IMAGES
The Twilight Zone
Encyclopedia
FIVE BEST: A PERSONAL CHOICE
LAMP SNUFFER Sir Edward Grey.
WRITTEN IN A RICH, discursive style and yet plainspoken, the fact-laden thousand pages of Robert K. Massie’s
book race by and draw you in. He
begins before Trafalgar and ends
with Margot Asquith’s account of
being alone with her husband, the
prime minister, in the last moments
before the war: “ ‘So it is all up,’ I
said. He answered without looking
at me: ‘Yes, it’s all up.’ I sat down
beside him with a feeling of numbness in my limbs. . . . I got up and
MR. HELPRIN is the author, most
recently, of the novel ‘Paris in the
Present Tense.’
leant my head against his; we could
not speak for tears.” Seldom does a
book illustrate so well the many
colorful tributaries that flow into
the uncontrollable flood of history.
Unlike those French historians committed to ignoring the forest for the
trees, Mr. Massie deals expertly
with both. Whether technical naval
details, the fascinating personalities
of great figures, grand strategy,
natural description, or economic,
political and diplomatic history, he
weaves them together so compellingly that you may lose track of
time and be late for dinner.
Death in Venice
By Thomas Mann (1912)
5
AT LEAST in hindsight,
Thomas Mann’s 1925 novella
“Disorder and Early Sorrow”
can be read as a prologue to the
greatest war in human history,
precisely divined from the tenor of
times more than a decade earlier.
Similarly, his 1912 “Death in Venice”
is savagely prophetic of World War
I. In only its second sentence, it
refers to “a spring afternoon . . .
when Europe sat upon the anxious
seat beneath a menace that hung
over its head.” Like all great works,
it flows along and across many
levels. In and through Gustav von
Aschenbach, its protagonist, we
witness the overpowering reflex
before death to hold on to the
youth, beauty and innocence of the
beginning of life; his agonizing
struggle to turn away from false
hope; the elegiac picture of a world
that was dying; and the horrifying
recognition of the Götterdämmerung that would come. Magnificently
written, sensual and complex, it
beautifully illumines not only the
era, its dilemmas and its tragedies
but—unlike histories, no matter
how competent—representations of
the human condition that anneal
historical understanding with the
fire and the gold that only great
literature can bestow.
Best-Selling Books | Week Ended Oct. 22
With data from NPD BookScan
Hardcover Nonfiction
TITLE
AUTHOR / PUBLISHER
Hardcover Fiction
THIS
WEEK
LAST
WEEK
TITLE
AUTHOR / PUBLISHER
Leonardo da Vinci
Walter Isaacson/Simon & Schuster
1
New
Grant
Ron Chernow/Penguin Press
Capital Gaines
Chip Gaines/Thomas Nelson
2
The Wisdom of Sundays
Oprah Winfrey/Flatiron Books
Discipline Equals Freedom
Jocko Willink/St. Martin’s Press
TITLE
AUTHOR / PUBLISHER
Methodology
THIS
WEEK
LAST
WEEK
THIS
WEEK
LAST
WEEK
6
2
Origin
Dan Brown/Doubleday Books
New
What Happened
7
Hillary Rodham Clinton/Simon & Schuster
4
Turtles All the Way Down
2
John Green/Dutton Books for Young Readers
3
New
Endurance
Scott Kelly/Knopf Publishing Group
8
New
4
New
Food Can Fix It
Mehmet Oz/Scribner Book Company
9
–
1
1
The Book of Dust
6
New
Philip Pullman/Alfred A. Knopf Books for Young Readers
3
Uncommon Type
Tom Hanks/Knopf Publishing Group
Deep Freeze
John Sandford/G.P. Putnam’s Sons
New
Harry Potter...Prisoner/Illustrated
J.K. Rowling/Arthur A. Levine Books
9
4
Dog Man: A Tale of Two Kitties
Dav Pilkey/Graphix
10
10
THIS
WEEK
LAST
WEEK
4
Nonfiction E-Books
Nonfiction Combined
Fiction E-Books
TITLE
AUTHOR / PUBLISHER
Leonardo da Vinci
Walter Isaacson/Simon & Schuster
1
New
Discipline Equals Freedom
Jocko Willink/St. Martin’s Press
2
Capital Gaines
Chip Gaines/Thomas Nelson
Stick with It
Sean D. Young/Harper
LAST
WEEK
TITLE
AUTHOR / PUBLISHER
Leonardo da Vinci
Walter Isaacson/Simon & Schuster
1
New
Deep Freeze
1
John Sandford/Penguin Publishing Group
New
Capital Gaines
Chip Gaines/Thomas Nelson
2
New
Origin
2
Dan Brown/Knopf Doubleday Publishing Group
3
New
The Sun and Her Flowers
3
Rupi Kaur/Andrews McMeel Publishing
4
1
Killing England
5
5
Bill O’Reilly & Martin Dugard/Henry Holt & Company, Inc.
2
Deep Freeze
John Sandford/G.P. Putnam’s Sons
2
New
Vanish
3
–
Tess Gerritsen/Random House Publishing Group
Turtles All the Way Down
3
John Green/Dutton Books for Young Readers
1
6
Dork Diaries 12
4
Rachel Renée Russell/Aladdin Paperbacks
Discipline Equals Freedom
Jocko Willink/St. Martin’s Press
5
New
Don’t Let Go
5
Harlan Coben/Penguin Publishing Group
8
The Book of Dust
5
New
Philip Pullman/Alfred A. Knopf Books for Young Readers
Grant
Ron Chernow/Penguin Press
10
1
4
2
The Startup Way
Eric Ries/Currency
Origin
Dan Brown/Doubleday Books
The Cuban Affair
Nelson DeMille/Simon & Schuster
Grant
7
Ron Chernow/Penguin Publishing Group
The Little Book of Hygge
9
Meik Wiking/HarperCollins Publishers
New
New
Killing England
6
2
Bill O’Reilly & Martin Dugard/Henry Holt & Company
8
TITLE
AUTHOR / PUBLISHER
1
Before We Were Yours
6
10
Lisa Wingate/Random House Publishing Group
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.
Hardcover Business
LAST
WEEK
4
6
The Wisdom of Sundays
Oprah Winfrey/Flatiron Books
THIS
WEEK
The Wisdom of Sundays
Oprah Winfrey/Flatiron Books
6
Prayer
Timothy Keller/Penguin Books
2
Fiction Combined
THIS
WEEK
1
New
Wonder
8
8
R. J. Palacio/Alfred A. Knopf Books For Young Readers
Turtles All the Way Down(Signed) 5
John Green/Dutton Books for Young Readers
LAST
WEEK
7
LAST
WEEK
New
Rhett & Link’s Book of Mythicality 10
3
Rhett McLaughlin and Link Neal/Crown Archetype
THIS
WEEK
THIS
WEEK
Dork Diaries 12
3
Rachel Renée Russell/Aladdin Paperbacks
Killing England
5
1
Bill O’Reilly & Martin Dugard/Henry Holt & Company
TITLE
AUTHOR / PUBLISHER
TITLE
AUTHOR / PUBLISHER
New
TITLE
AUTHOR / PUBLISHER
THIS
WEEK
LAST
WEEK
Principles: Life and Work
Ray Dalio/Simon & Schuster
1
3
Strengths Finder 2.0
Tom Rath/Gallup Press
2
2
Blue Ocean Shift: Beyond Competing 3
4
W. Chan Kim and Renée Mauborgne/Hachette Books
4
6
Building a StoryBrand
5
Donald Miller/HarperCollins Leadership
1
9
The Five Dysfunctions of a Team
Patrick M. Lencioni/Jossey-Bass
6
8
Total Money Makeover
Dave Ramsey/Thomas Nelson
It
7
Stephen King/Scribner Book Company
6
The Sentient Enterprise
7
New
Oliver Ratzesberger & Mohanbir Sawhney/Wiley
Room On The Broom
Julia Donaldson/Puffin Books
6
7
3
Ruthless King
Meghan March/Meghan March
7
New
New
What Happened
8
Hillary Rodham Clinton/Simon & Schuster
5
A Column of Fire
Ken Follett/Penguin Publishing Group
8
–
Fairytale
Danielle Steel/Delacorte Press
8
3
Emotional Intelligence 2.0
8
Travis Bradberry & Jean Greaves/TalentSmart
7
–
Harry Potter: A Journey...
9
British Library/Arthur A. Levine Books
New
New
The Ship of The Dead
Rick Riordan/Disney-Hyperion
9
4
The Energy Bus
Jon Gordon/John Wiley & Sons
9
–
New
Milk And Honey
10
Rupi Kaur/Andrews McMeel Publishing
6
Don’t Let Go
Harlan Coben/Dutton Books
10
–
The Four
Scott Galloway/Portfolio
10
10
Edgedancer
9
Brandon Sanderson/Tom Doherty Associates
Little Fires Everywhere
10
Celeste Ng/Penguin Publishing 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
THE WALL STREET JOURNAL.
* * * *
Saturday/Sunday, October 28 - 29, 2017 | C11
REVIEW
Dr. Frank first studied fiction
writing in a class at an Albany public library taught by William Kennedy, before the author published
“Ironweed” (1983), the book that
made him famous. Since the 1980s,
Dr. Frank has had dozens of short
stories published in zines and magazines such as Offcourse and Cezanne’s Carrot. In his zeal to get
published, he sometimes consults a
site that lists literary magazines and
then looks through his drafts for
something that fits with their style.
His stories have ranged from science fiction to romance to tales of
familial conflict. He says he’s taken
inspiration from writers such as Eugene Garber, Steven Millhauser,
Raymond Carver, Alice Munro and
George Saunders.
Dr. Frank isn’t the first scientist
to write prose. Primo Levi was a
chemist, and Anton Chekhov was a
doctor. Vladimir Nabokov famously
studied butterflies. Dr. Frank
thinks that scientists who are also
writers often “apply the same precision and formulating to the nonscientific
field.” He explains, “There
are really so
many subtleties of meaning and observation that
very often are
not expressed
by writers,” he
says.
Born in Siegen, Germany, Dr.
Frank used to experiment with
chemistry when he was little,
sometimes in risky ways. “There
was an accident I never told [my
parents] about that involved gasoline in the basement, but it was
not major,” says Dr. Frank in his
Columbia University office.
He majored in physics at the University of Freiburg and then earned
his Ph.D. in Munich. In 1970, he won
a Harkness Fellowship to spend two
years in the U.S. He used part of his
$2,000 travel stipend to buy a car,
which he drove around the country.
His first stop was the Jet Propulsion Laboratory in Pasadena,
Calif., where he worked on processing images from the electron
microscope. At the same time,
other scientists there were processing the first images from
NASA’s mission to Jupiter.
In the early 1970s, Dr. Frank
found a way to sharpen fuzzy images from an electron microscope
picture into clearer 2-D images.
Then he calculated a way to assemble many of those 2-D scans showing the same biomolecule in different views into a 3-D image.
With cryo-EM, scientists can
now start to develop drugs to
treat such diseases as African trypanosomiasis, which causes fevers,
confusion and ultimately death,
and Chagas’ disease, another insect-borne illness that often
causes heart disease. Dr. Frank
hopes his Nobel will help advance
both of his careers. “I sense I have
more of a leverage now to decide
directions, on a bit more longer
terms,” he says with a smile.
Meanwhile, Dr. Frank is having
fun with his newfound fame. Soon
after winning the Nobel, a fellow
professor tweeted a photograph of
him in a classroom, back at work.
He retweeted it, writing, “Now I’m
worried that I’m under constant
surveillance. Life was so much easier before!”
JOSH WOOL FOR THE WALL STREET JOURNAL
`I love the
English
language,
the colors
of it.’
WEEKEND CONFIDENTIAL: ALEXANDRA WOLFE
Joachim Frank
SOON AFTER Joachim Frank won
the Nobel Prize in chemistry in
early October, he called a literary
magazine to ask, “What’s going
on?” The Columbia University
professor, who is also a novelist
and short-story writer, was wondering whether his win had
changed the status of one of his
fiction submissions.
The magazine had been promising to publish one of his short stories for three years, he says. Did he
mention that he won the Nobel?
He laughs sheepishly and says,
“Well, I told them about it to speed
them along.” The story was published on Friday.
Dr. Frank, 77, was honored along
with Jacques Dubochet and Richard
Henderson for his role in discovering cryo-electron microscopy, or
cryo-EM, a technique used to visualize features of molecules in high,
atomic-level 3-D definition. It allows
scientists to understand molecules
they couldn’t see before and then
develop new drugs based on the
knowledge of their structures.
Knowing the shape of viruses, for
example, can speed the creation of
vaccines. “When we get to the
atomic level, we can design drugs
for anything,” Dr. Frank says.
While he sees his Nobel as a
crowning achievement in his day
The Nobel-winning scientist
has literary ambitions
job, he also hopes it will help bring
more attention to his other career,
as a fiction writer. Dr. Frank is the
author of three unpublished novels
and dozens of short stories. He has
been writing almost as long as he
has been teaching and researching
chemistry.
“I think I have a heavily compartmentalized brain, which means that
certain routines are simply running
without me realizing it,” he says of
his dual career. He thinks of each
job on a project-by-project basis. “I
take a certain time and switch compartments when I have a finished
product,” he says.
Originally from Germany, Dr.
Frank writes in his adopted language. “I love the English language, the colors of it, the many,
many nuances, the different influences,” he says. “I find German
stilted, in a way, by comparison.”
Dr. Frank’s life as a scientist has
provided the setting for some of his
fiction. He started writing after attending a conference in the Netherlands more than 30 years ago. The
rundown hotel where he stayed gave
him the idea for a novel in which
the hotel became the entrance to a
time warp. In another novel, an entrepreneur buys an astronomical institute’s observatory and converts it
into a strip club and bordello.
MOVING TARGETS: JOE QUEENAN
LAST WEEK, The Wall Street
Journal reported on the uglysneaker craze taking over the
country and perhaps the world.
Cutting-edge types are sporting
bulky, hideous, ostentatiously unattractive, incredibly expensive
footwear in public.
The Journal made clear that the
overpriced men’s sneakers are
meant to be ridiculous in the same
way that Ed Sheeran’s music is designed to be inane and trips to the
DMV are meant to be infuriating.
The sneakers, which can cost $850,
are big and bulky and clunky and
stupid. Their owners love them,
the article says, and savvy “content managers” and “creative
strategists” are piling on the
trend, as are purveyors of “maximized sneakers” brought to you by
companies like Balenciaga and
Acne (yes, a real company).
The question—and this is always the question when putatively
idiotic fashions erupt—is this:
What if this craze spreads beyond
the usual appalling hipsters?
The bad news is that it already
has. My exhaustive research has
uncovered disruptions throughout
the male clothing universe. Take
hats. I found that cutting-edge design firms are quickly selling out
of garish banana-colored Viking
helmets with polystyrene horns,
colorful Sioux war bonnets and
French berets the size of Rhode
Island, with creases down the
middle, available in chartreuse,
ocher and peppermint. Can megaretro Honest Abe stovepipe hats
be far behind?
Go ahead and laugh, but keep in
mind that the idea of investment
bankers wearing baseball caps with
their $2,000 suits started out as a
joke. So did the idea of senior citizens wearing baseball caps turned
backward. Now we see that look
everywhere.
When irony spreads to the hoi
polloi, no good can come of it. Or
Coming soon:
Viking helmets,
see-through
pajamas.
maybe that’s just my narrowminded opinion. Seasoned purveyors of maximized chapeaux vehemently disagree with this fussy
verdict. “When someone says,
‘That’s an ugly Viking helmet. What
are you, a furloughed heldentenor?’
our clients love it,” says Fargo McGarrity, chief headwear maximizer
at hatmaker Exzema, with outlets
in Santa Barbara, Cannes and Beijing. “Stupid hats are for everyone.”
It’s not just hats. Content managers and well-respected purveyors
of maximized nightwear report that
men are now wearing billowing,
see-through pajamas and diaphanous harem pants to bed. Stealing a
page from the female-underwearas-outerwear craze that Madonna
helped spawn a generation ago,
men are also wearing Jockey shorts
over their Brooks Brothers suits.
“Context is everything,” says
Druid Weisberg, underwear maximizer at Pardo, the Barcelona couturier. “Without context, what’s the
point in being alive?”
I am told to keep my eyes
peeled for outfits that look like the
“big suit” worn by David Byrne in
the Talking Heads concert movie
“Stop Making Sense.” Also looking
good: belts that resemble boa constrictors, socks made of burnished
rawhide and designer frog-skin everything.
For now, the focus is still on
products that just make men’s feet
look silly. Arriving in stores just before the holidays are grotesque hybrids such as platform booties,
high-heeled moccasins and bedroom slippers with cleats.
As Reno Salamone, creative content purveyor at London shoemaker
Millennial Cobbler, puts it: “Often
someone asks, ‘Why would anyone
wear loafers with 36-inch titanium
tassels sticking out in front, where
they might trip you?’ Our customers reply, ‘I saw somebody wearing
them in Brooklyn.’ That’s good
enough for me.”
NISHANT CHOKSI
Ugly Sneakers Are Kicking Up a Storm
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 28 - 29, 2017
* ***
THE WALL STREET JOURNAL.
REVIEW
EXHIBIT
Back
To the
Drawing
Board
DUMBO, GOOFY AND PETER PAN didn’t just burst onto the big
screen. It took dozens of drawings to get them ready for their star
turns. In a new book, “They Drew as They Pleased: The Hidden
Art of Disney’s Late Golden Age, the 1940s—Part Two” (Chronicle
Books, $45), author Didier Ghez showcases hundreds of illustrations of Disney characters—including ones that never made it to
film. The book profiles six artists from the company’s short-lived
character model department, which encouraged employees to be
creative and free with their designs, writes Mr. Ghez. The artists
took their work seriously: They “were extremely aware of art history and new modern trends,” he says. —Alexandra Wolfe
ABOVE: These animals comically stacked on top of each other, created as a concept for one
of the clowns in the film ‘Dumbo,’ were typical of artist Johnny Walbridge’s playfulness.
TOP RIGHT: Jack Miller came up with early ideas for the characters of ‘Peter Pan,’ such as
this study for Tiger Lily. NEAR RIGHT: This concept for ‘El Gaucho Goofy,’ drawn by James
Bodrero, never made it to the screen. FAR RIGHT: Artist Eduardo Sola Franco spent months
creating images for a film version of ‘Don Quixote,’ but it was ultimately abandoned.
CHRONICLE BOOKS
ASK ARIELY: DAN ARIELY
The Man in Black
In a lonely Highlands house, a Scottish author
cues up a dark Johnny Cash song
Graeme Macrae Burnet, 50, is the
Scottish author of “The Disappearance of Adele Bedeau” and
“His Bloody Project,” which was a
Man Booker Prize nominee. His
latest is “The Accident on the
A35” (Arcade). He spoke with
Marc Myers.
only thing that’s real.”
Throughout much of the song,
there’s an unrelenting piano chord
that’s played on each beat, like a
drone. It needles away at you
with an inevitability:
“What have I become, / my
sweetest friend / Everyone I know
/ goes away in the end.”
“Hurt” isn’t a song I’d play on a
nice sunny day, but I do take the
album with me whenever I drive up from
Glasgow to the house
that once belonged to
my grandparents in the
Scottish Highlands.
I go there when I
want to write undisturbed. In the fall, it
gets dark there at around 4 p.m.
Listening to “Hurt,” I feel an intense engagement with the song.
The lyrics remind you of your
own mortality.
My mother grew up in the
house, and I’m surrounded by old
clocks, old photographs and fading memories. Cash’s “Hurt” is
completely at home.
Country music is massively popular in western Scotland. The melodies relate to Celtic
music, and the people
who live there share a
love for sentimentalism
and suffering in silence.
Johnny Cash’s “HURT”
fits in well.
I first heard “Hurt”
in my early 30s after I
purchased Cash’s “American IV:
The Man Comes Around” in late
2002. It would turn out to be the
Man in Black’s last album released
while he was still alive.
When I first put the album on
my stereo, “Hurt” was the second
song, and it took me by surprise.
Cash’s voice was so deep and
harrowing.
Although I knew
“Hurt” was originally
released by Nine Inch
Nails in 1994, Cash
made it feel entirely his
own. When Cash’s
video for the song
came out, it made the
song even more haunting. In the video, Cash
clearly is in the last
months of his life.
The song opens with
Cash playing “Hurt’s”
chords on his acoustic
guitar. Then he sings
the first verse, which
seems to portend his
impending death: “I
hurt myself today / To
see if I still feel / I foJOHNNY CASH, photographed around 2002.
cus on the pain / The
HARRY LANGDON/GETTY IMAGES)
Covering
Nine Inch
Nails.
Don’t Just Stand There...
Hi Dan,
I was recently at a very good lecture about global
warming, and by the end of the lecture I was highly
motivated to make real changes in my life and have
a more positive impact on the environment. Two
months later, I realized that despite my good intentions, I had done very little
to change anything about
my behavior. Why is it so
difficult for me to take
any action? —Rachel
This is very human
and common. There
are many cases in
which we feel we
should take particular actions, but
then we don’t—such
as exercising, eating
healthy, washing your
hands, practicing
safe sex or texting
while driving. I think
that getting people to
care about the environment is perhaps one
of the toughest behavioral
challenges we have. In
some ways, it’s as if the
issue were perfectly designed to maximize human apathy: The consequences are probabilistic and somewhere in the far
future, and anything we can do is just a drop in the
bucket. In short, all the elements that create human
apathy are rolled into one challenge.
So how can you make sure that you’re acting on
your beliefs? Come up with very specific rules
(change the setting of your thermostat, eat less
meat, etc.), write them down, tell other people that
you have committed to them, and then try to follow
them.
Dear Dan,
As an oral surgeon, I encounter patients in pain (or
anxious about possible pain) every day. I have a solution for many of them: intravenous sedation! Unfortunately, the cost (about $600) deters many patients and they prefer to suffer to avoid the
payment. Do you have any advice about how best to
guide patients who would benefit from IV sedation
to pick it instead of suffering? —Andrew
Helping people figure out how they’ll feel in a future state, especially one that they’ve never experienced, is tricky. I would suggest that you try to create a comparison between the pain of the surgery
and another type of pain. Suggest that your patients
put their hands in a bucket with ice for three minutes (which is very painful),
and when they are experiencing this pain, say:
“Here is what surgery
would most likely feel like
without the IV sedation.
The only difference is
that the surgery will
take about an hour.
Would you rather
pay for the IV sedation or do the surgery without it?”
Now, the patients
can make a more informed decision,
and my guess is that
many more will pick
the IV sedation.
Dear Dan,
I notice that at farmers markets, I am generally less worried
about price and tend to
spend more than I do in
regular grocery stores. Does
the presence of the crowd make me less concerned
with the way I spend my money? I wonder if the
same tendency is true for visitors to county fairs,
flea markets, carnivals and other outdoor venues
where lots of people gather in a temporary minicommunity. Or is something else entirely going on in
this context? —Paul
My guess is that it is the result of excitement, but
the excitement is not with the crowd but with scarcity—with having a small window of time to buy,
say, locally grown kale or handmade stuff. The knowledge that
Have a
this window of opportunity will
soon close and that we will not
dilemma
have a way to get back to our
for Dan?
beloved kale makes us want the
Email
product more—and get it withAskAriely
out paying much attention to
@wsj.com.
the price.
PETER OUMANSKI
PLAYLIST: GRAEME MACRAE BURNET
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 28 - 29, 2017 | C13
* * * *
PLAY
NEWS QUIZ: Daniel Akst
1. China concentrated power in
the hands of Xi Jinping. He’s also
part of a new lineup in what
governmental body?
Which of these is rolling it out?
National Museum of Mathematics
This week,
6. According to a survey of college officials, about what proportion of freshmen get financial aid?
2. Rock ’n’ roll
piano pioneer Fats
Domino
died at 89.
What was
his real
first name?
A. 20%
B. 40%
C. 60%
D. 90%
7. Part of Lord & Taylor’s flagship
New York store will become the
headquarters of what real-estate
startup?
A. Alphonse
B. Andre
C. Antoine
D. Auguste
FROM TOP: HULTON ARCHIVE/GETTY IMAGES; OLI SCARFF/AGENCE FRANCE-PRESSE/GETTY IMAGES
Provided by the
the coach has
some Halloween
puzzles for the
team.
A. Mercedes
B. DeLorean
C. Tesla
D. Cadillac
A. The Flying Tigers
B. Make China Great Again
C. The Standing Committee
D. The Beijing Seven
VARSITY MATH
From this week’s
Wall Street Journal
A. MoreLand
B. RightAddress
C. WeWork
D. Towers of Power
3. Buildings across the U.S. are
wrapped in the same panels that
fueled a deadly London fire.
What’s in the panels that makes
them so flammable?
A. Lightbulbs
B. Consumer appliances
C. Locomotives and other
railroad equipment
D. Nuclear power
4. An entrepreneur with a longdistance commute has embraced
futsal. What is it?
9. Cargill is trying out a new
technology to track turkeys from
farm to store. What is it?
A. A fast-paced, typically
indoor version of soccer
B. A seated form of yoga
C. A self-administered foot
massage
D. A salt-filled sock to prevent
thrombosis
A. A digital record-keeping
system called blockchain
B. Bar-code
tattoos
C. Wattle
prints, each
unique
D. Underthe-skin
microchips
5. Super Cruise is touted as the
auto industry’s first true hands-free
driving system for the freeway.
Pumpkin Crop
Having sorted them by weight, a grower takes
his crop of pumpkins to the market. He sells the
42 lightest pumpkins to a customer and notes
that they account for 25% of the crop’s total
weight. He sells the 50 heaviest pumpkins to
another customer and notes that they account
for 30% of the crop’s total weight.
How many pumpkins were originally in the crop?
ILLUSTRATION BY LUCI GUTIÉRREZ
8. General Electric is looking to
exit from one of its oldest
businesses. Which?
A. Kerosene gel
B. Polyethylene
C. A peat derivative
D. Seaweed insulation
For previous weeks’ puzzles, and
to discuss strategies with other
solvers, go to WSJ.com/puzzle.
The Halloween Goblin
but your own and hear the answers of those
before you. When you are questioned, you may
only respond with the name of a card. Those who
say the name of their card go free.
If you are allowed to confer with the others in
the group before the cards are placed, what is the
maximum number of the group you can guarantee
will be released?
The coach poses the following question: Imagine
that 47 partygoers, including yourself, are trapped
by a goblin. You are all brought into a dark room,
where the goblin puts one of 47 different cards
from a standard deck of 52 playing cards on each
of your foreheads, then turns on the light and
asks you each in turn, “What card is on your
forehead?” You see the cards on all foreheads
+
Learn more about the National Museum of Mathematics (MoMath) at momath.org
SOLUTIONS TO LAST WEEK’S PUZZLES
Varsity Math
In last week’s
Making 25,
4×6+1 and 4/.16
both equal 25.
In Two Ways to
32, .5-7/4 and
5×(7-.6) both
equal 32.
To see answers, please
turn to page C4.
Acrostic
Quiet Time
O
M
N
I
V
O
R
E
G
O
O
N
A
R
U
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S
I
D
E
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P
R
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A
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S
U
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L
O
W
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M
A
N
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E
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C
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N
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P
I T
V
E T
H O
A T
D O
E
N
O R
U A
G R
H E
S
A
H
L
R E B
E R
W I F
C A
A T
D
T
R A Y
O N
S T O
S O D
N O
H S
O
B
S H U
T O R
E I N
L S
E T
R
L
E
A
P
I
N
T
O
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O
C
A
I
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K
P
O
I T
N
A T
T O
S U F
P B U
A
R
S
S S T
I P O
T Y O
Y
D
MA
N O T
A L O
P E P
D O
R I
A L
WS
S
L R
O I
T O
E S
I
G G I
H E M
T E P
S O
D
R
U R T
N A
L I C
A N O
P E C
D O
U
T
A
H
A
N
A
S
K
P I
S A T
O R A
TWO L
T R E X
E A D Y
S Y
S L
T
S MO
B B C
B
A A A B O
N GM E
S
P A C
A S C H
F T
H I
O B S
L
R A P
I
G Y R E
E
E A S
T H E RW
I A
L A
T S
S T
P
U
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A
S
O
C
K
I
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P
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U
P
I
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D
E
B
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E
D
D
I
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S
I
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N
O
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T
O
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Y
D
O
C
T
O
R
A
L
U
N
H
A
N
D
M
E
Dylan Thomas, “[Quite] Early One Morning”—
“A poet is a poet for such a very tiny bit of his life;
for the rest, he is a human being, one of whose
responsibilities is to know and feel...all that is
moving around and within him, so...his poetry...can
be his attempt at an expression of the summit of
man’s experience.”
A. Dresser; B. “Your Song”; C. Leon Uris; D. Aphelion;
E. Nontoxic; F. Tipstaff; G. Hit it off; H. Obeisant;
I. Movie set; J. Ab initio; K. Spitfire; L. Exhibit A;
M. Astatine; N. Road show; O. Lothario; P. Yma
Sumac; Q. “Oh, behave!”; R. News feed; S. Eniwetok;
T. Mishmash; U. On the map; V. Reprisal;
W. Nephthys; X. In effect; Y. Nepotism; Z. Gunnels
THE JOURNAL WEEKEND PUZZLES Edited by Mike Shenk
1
2
3
4
5
6
19
7
11
24
28
37
32
33
38
48
54
44
49
50
56
58
59
64
68
72
73
78
79
66
69
70
88
71
74
80
81
83
94
60
65
67
87
30
40
55
63
14
35
43
47
13
29
34
39
42
46
12
25
31
86
10
21
27
62
9
20
23
36
8
84
89
90
95
91
96
98
97
99
105
106
100
107
110
111
112
114
115
116
101
108 109
Why Not? | by Daniel Hamm
Across
90 Sun-Maid, in the
dried fruit aisle?
94 Like an effective
resume
96 Odious
97 Game catcher
98 Butterfly, e.g.
99 Regained
consciousness
101 Soprano Scotto
105 Expert at
arresting?
107 Section of a buff
buff’s digestive
tract?
110 Pass over
111 100-cent
currency
112 Initiative
113 Think up
114 Atlas areas
115 Scorch
116 Wing
117 Paces in races
Down
1
2
3
4
5
6
7
8
9
Filly
Keystone setting
Third-rate
Encouraging sign
for investors
Eat like a bird
Magic show prop
Monarchal letters
Burnett of CNN
Historic
Manhattan
ballroom
16
17
18
1
2
3
4
5
6
7
8
9 10 11
8
Hurting the most
Trailer segments
Paper towel layer
Person in an aphorism
about beauty
Be fully consistent, as a
story (2 wds.)
Liner for a loafer
Volkswagen model named
for a desert wind
Ian McKellen’s title
Flies heavenward
Harried parent’s command
Electron’s path
Asian subcontinent
Momentarily lose
conviction
Out on a limb?
The level this puzzle’s
deadbeats have sunk
beneath?
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
Deadbeats | by Patrick Berry
Each Row and Column of this grid
contains a series of answers placed
end to end, clued in order of
appearance. One answer in each
Column contains one or two
deadbeats: letters that don’t show
up in the grid entry, forcing it to
become a new word. So if the
answer to a Column clue was
MOROSE, the grid entry might be
MOOSE (with a deadbeat R) or
MORE (with a deadbeat OS).
When two deadbeats disappear
from a word, they’ll always be
consecutive letters. The deadbeats
in each Column will relocate to the
corresponding shaded circle
beneath the grid. When the puzzle
is complete, the letters in the circles
will provide yet more deadbeats.
9
10
11
12
13
14
15
Rows
1
2
3
4
5
6
7
4
5
6
7
8
Hall’s musical partner
Fashion mag since 1945
Food item whose name
means “little donkey”
Homewreckers?
Otherwise
Analyst of voters’
opinions
Land, to Lucullus
Legendary
It gets high from drinking?
(2 wds.)
Recovered from a
shipwreck
Baroque composition
featuring a soloist
Trace the development of,
as a word
Small valleys
Butler’s beloved
When all’s said and done
(3 wds.)
Common pet name
Cavalryman’s sword
Outdated term for the
Orient (2 wds.)
Place for a name tag
Showing academic
growth?
Worry
Match divisions
Cheaper-than-usual tires
9
Buttonholes aggressively
Columns
“What’s the ___?”
1 Flock’s response
Tagline of a fable
Bumps on a toad’s skin
Breadwinner
Misrepresent as genuine
10
Newspaper reviewer
(2 wds.)
Curriculum ___
2 Musical conclusion
Catches red-handed
Antiquated (Hyph.)
Most adventurous
Meant to be sung, as music
Walks in hip boots, perhaps 3 Nursery fixture
11
Hollywood negotiators
Food-related
Light on one’s feet
Resident of el Infierno
What buttinskis do
“You’re not just pulling my
Get the solutions to this week’s Journal Weekend Puzzles in next
leg?”
Saturday’s Wall Street Journal. Solve crosswords and acrostics
online, get pointers on solving cryptic puzzles and discuss all of the
Convert from whole to
skim
puzzles online at WSJ.com/Puzzles.
s
1 Relish
6 “Princess of
Power” of
cartoons
11 Jewel box
contents
15 Cheeky behavior
19 Soap-on-___
(bath product)
20 It takes a bow
21 Oatmeal cousin
22 Feel deep
sorrow
23 Mixing tool used
by haggis chefs?
25 Expo for
dentists?
27 Songbird with
a hooked bill
28 Oscar winner for
“The Color of
Money”
30 Shot deliverer
31 Do a
Thanksgiving
dinner job
34 Fromage
ingredient
35 Twisting action
36 Olive or miniature
umbrella,
perhaps?
40 Mirthless
41 Cry of realization
42 Cry of revulsion
43 Without
interruption
44 Daughter of Dick
and Pat
46 List of
candidates
49 Was dishonest
50 Kids’ reward for
not fighting?
54 Like Edward
Gorey drawings
56 Academy founder
57 Proctor’s call
58 Courtroom figure
59 Golf club used as
a theater prop?
62 Dense marbles
65 Betrays
amusement
66 Strong
headwinds,
nautically
67 Cover for an
Omsk ear?
70 Proofer’s pointer
72 Leave off the
invitation list, say
73 Sarge’s superior
74 Attempted to
gain control of
78 Hunky park
ranger?
81 Identity element
82 Compass
83 Soldier’s duty
84 Cube or cone
85 Neckline shape
86 Saucer occupant
89 Delicacy
51 Cork country
52
Love, to Latin
22
lovers
26
53 Addition column
55 Lucy’s husband
56 Use a crowbar,
in Cornwall
41
59 Celtic
soothsayer
45
60 About
51 52 53
61 Future alumnae,
57
quaintly
61
62 Org.’s kin
63 Rodriguez of
“Jane the Virgin”
64 Share a side
75 76 77
65 Halloween spirit
68 Strasbourg’s
82
region
85
69 Tag line
92 93
70 Newspaper
feature
71 Fashion
102 103 104
photographer
Richard
74 Timbuktu’s
113
nation
117
75 Astronomical
discovery
76 Ready for
business
10 Hardly graceful
77 Demand
11 Coup ___
79 Director’s
12 Toolbar feature
prerogative
13 Sellout letters
80 Knickknack
holders
14 Be completely
unimportant
81 Words on old
soda bottles
15 Hotel room
fixtures
84 Equal competitor
16 National park
86 Orderly universe
near Bar Harbor
87 Wild
17 Tennessee battle 88 Zoroaster’s
site of 1862
home
18 Sister of Venus
90 Objective
24 Sister of Zeus
91 Pucker-inducing
26 Solitary sort
92 “Mother Courage
29 It’s about a mile
and Her Children”
from Harvard U.
playwright
93 “Dance at Le
32 It takes a bow
Moulin de la
33 Cause of some
Galette” painter
chaotic weather
95 Annie of
35 Activewear
“Young Sheldon”
material
96
Cloud makeup
36 Transitional point
99
Mrs. Dithers, in
37 Eyeball
“Blondie”
38 Tucker’s “Rush
100 Anthony
Hour” co-star
Hopkins’s “Thor”
39 Stealthy look
role
40 Persona non ___ 102 Quartet
member
44 Lions and Tigers
and Bears
103 Drinking spree
45 Having drawing
104 Richards and
power?
Romney
47 It might be right 106 Shuffleboard
on the tip of your
stick
tongue
108 “___ had it!”
48 Keypad key
109 Staple of
advertising
50 Flooring piece
15
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 28 - 29, 2017
* ***
THE WALL STREET JOURNAL.
REVIEW
MASTERPIECE:
‘DRACULA’ (1897), BY BRAM STOKER
A STORY THAT
WILL NEVER DIE
ESTATE OF VLADIMIR AND GEORGII STENBERG/RAO, MOSCOW/VAGA, NEW YORK
BY STEFAN BECK
‘THE MIRROR OF SOVIET SOCIETY,’ a cover for a 1928 edition of the magazine Red Field.
ICONS
When Art Joined
The Revolution
A Chicago exhibition showcases artists’ contributions to communism’s
1917 rise to power in Russia, from posters to furniture to cookie boxes
BY SUSAN DELSON
THE REVOLUTION was not televised, but it’s now in a museum. To mark the centenary of the 1917 Russian Revolution, the Art Institute of Chicago is looking at visual artists’
contribution to the event—from posters and films to Bolshevik cookies and a cupboard designed to cope with a
housing crunch by doubling as a table for 12 or more.
“Revoliutsiia! Demonstratsiia! Soviet Art Put to the
Test,” which opens Sunday, plunges viewers into the tumultuous years that swept Vladimir Lenin and his Bolshevik
comrades into power in what was called “10 days that
shook the world.”
“When you have a revolution, one truly worthy of the
name,” said exhibition curator Matthew Witkovsky, “the result, at least temporarily, is a society whose shape isn’t
known. It has to be created.” With Russia’s population of
about 130 million largely illiterate in 1917,
the revolutionaries had to carefully assess
every aspect of daily life and to communicate abstract principles through concrete,
practical examples—often through design
and other arts.
Mr. Witkovsky and his colleagues have
jammed more than 500 original pieces and
roughly two dozen historical reproductions
into a series of displays—in some cases, creating, for the first time, large-scale 3-D objects from sketches made in the 1920s.
The show’s opening section, “Battleground,” focuses on
the revolution’s early years and the civil war that raged until 1921 among the Bolsheviks, other socialist factions and
counter-revolutionaries. Posters attest to propaganda’s crucial role in turning the tide. Soon after, cultlike displays of
photos, posters and other depictions of Lenin began to replace religious icons in public buildings and apartment
houses. The show’s “Lenin Wall” installation includes porcelain figures of the leader and an ink stand with one of his
maxims: “Less political chatter.”
“Revoliutsiia! Demonstratsiia!” (“Revolution! Demonstration!”) has nine other display spaces focusing on such
themes as home, factory, press, exhibition and cinema.
Many avant-garde artists shared the revolution’s utopian
ideals and rethought everything from art-school curricula
to cigarette-box designs. In 1922, the artist Gustav Klutsis
sketched a series of outsize multimedia kiosks, including
one that combined an overhead film screen, orator’s platform and newspaper and magazine racks—and for the press
section, the Art Institute has created the first 3-D version,
a structure 14 feet tall.
Similarly, the exhibition re-creates a prototype workers’
club designed in 1925 by Aleksandr Rodchenko, complete
with early Soviet magazines and books (for the factory sec-
tion) and the 1926 “Room for Constructive Art” (for the exhibition section). The 1926 “Room” was designed by El Lissitzky, a devotee of the constructivist movement, which
saw art as a tool for social transformation. The room,
which like its original shows works by artists like Dutch abstract pioneer Piet Mondrian and Paris-born Francis Picabia, is itself a work of art: Lined in thin vertical laths
painted black on one side, white on the other and gray on
the front edge, its walls shift in appearance as visitors
move through the room.
Like the rest of the historic reproductions, the Rodchenko and Lissitzky rooms were commissioned by the
Moscow-based V-A-C Foundation, which collaborated with
the Art Institute in organizing the show. Established in
2009 by Russian businessman Leonid Mikhelson, the V-A-C
Foundation has a new exhibition space in Venice, where
several of the reproductions appeared this summer.
The texture of daily life comes through most vividly in
the storefront and home sections. The new
Soviet government was faced with rethinking and rebranding consumer goods to reinforce its revolutionary message. As re-created shop windows demonstrate, even the
most cerebral artists rolled up their sleeves
and got busy. Kazimir Malevich’s starkly reductive abstractions were adapted to porcelain plates and coffee sets; Vladimir Tatlin,
whose spiraling 1920 “Monument to the
Third International” is an icon of early Soviet art, later designed a baby’s drinking
cup. Rodchenko designed packaging for Red Aviator cookies
(with text by poet Vladimir Mayakovsky) and Our Industry
caramels, among other brands. Their bold graphics draw
attention to their revolutionary logos: a squadron of small
aircraft on the cookie box, a sleek modern factory on the
caramel wrappers.
In the home section, multifunction furniture attests to
the acute housing shortages of the early Soviet era. The
door on a re-created 1926/27 cupboard drops down, Murphy-bed style, to become a dining table for at least 12, and
a re-created 1926 drafting table does similar double duty,
with built-in slots to store its four folding chairs. Even a
small bed was designed to fold into a table for two.
While cramped quarters partly prompted this domestic
versatility, so did the need for a revolutionary society—and
its furniture—to “remain flexible and adaptable while
things are being figured out,” said Mr. Witkovsky, who
heads the museum’s photography department. We tend to
think of revolutions as taking place in public, he added, but
for the Russian Revolution, “the relation of private to public space, and even private life to public life” was critical.
The revolution itself may be long gone, but the questions
it posed about daily life, its structure and its meaning continue to reverberate 100 years later.
WHEN APPRAISING Bram Stoker’s “Dracula,” which turns 120
this year, one can’t ignore its long, penetrating cultural influence.
The film adaptations are too numerous to count. The Vampyre
has been played not only by Max Schreck, Bela Lugosi, Christopher Lee, Klaus Kinski and Gary Oldman, but also by George
Hamilton—who appears to take his ghastly repose, down through
the centuries, in a tanning bed—Leslie Nielsen and, saints preserve us, Adam Sandler. There have been pornographic versions;
derivative novels, comic books, and cartoons (memorably, “Count
Duckula”); videogames, toys, Pez dispensers; a children’s television puppet who needs no introduction; even a classic breakfast
cereal, Count Chocula. And surely no small portion of the Great
Pacific garbage patch is composed of plastic vampire teeth, produced and discarded by the millions each Halloween.
An awful lot of that cultural output is, like those fake fangs,
garbage. So it is worth asking whether the novel that spawned
it ought to be resurrected, or permanently staked to the bargain table.
Because Stoker’s “Dracula” has been so overshadowed in the
popular imagination by movies—many of which erase or combine some of its protagonists and omit large sections of its dialogue and action—one forgets just how finely wrought and affecting a novel it is in its own right. With the tenebrous beauty
of its prose, and its by turns life-affirming and despair-inducing
themes, it possesses an essential gravity that of all the films only
F.W. Murnau’s “Nosferatu” can hope to match. By all indications,
Stoker’s “Dracula” will never die.
From the young solicitor Jonathan Harker’s first approach to
Castle Dracula, through the Carpathian Mountains in Transylvania, the reader encounters Stoker as landscape painter: the “deep
blue and purple in the shadows of the peaks,” the “masses of
weeping birch, their white stems shining like silver through the
delicate green of the leaves,” a forbidding moon “sailing through
the black clouds…behind the jagged crest of a beetling, pine-clad
rock.” In small details, like the taste of paprika or the “snake-like
vertebra” of a leiter-wagon, Stoker grounds us in a travelogue’s
actuality before bearing us onward to the fantastic.
Stoker’s gift for indelible description is even more welcome
when he turns it to the grim and grotesque. We find ourselves
in a candlelit tomb in which “flowers hung lank and dead, their
whites turning to rust and their greens to
browns” and where “the spider and the
beetle had resumed their accustomed
dominance.” We watch the Count recoil
from a crucifix and a Communion wafer,
wearing an “expression of hate and baffled malignity,” his “waxen hue greenishyellow by the contrast of his burning
eyes…the red scar on the forehead
showed on the pallid skin like a palpitating wound.”
Were “Dracula” only an aesthetic experience, a promenade
through a great hall hung with images of the fearsome and uncanny—beheaded corpses, sentient fog, baying wolves, a sea of
rats, a lunatic eating flies—it would be a horripilating delight.
Were it a mere detective story, a gothic noir in which our worldweary but sanguine hero, Professor Van Helsing, must lead his
friends in a race against time and a superior foe, it would still
deserve to be read with relish.
Yet it is both of those things and much else besides. As a
tale of good versus evil, it dwells as thoughtfully on the former
as it milks the latter for venom. “Dracula” is a celebration of
friendship, cooperation, duty and sacrifice. The Count’s bloodthirsty selfishness is held up by contrast as evil, yes, but also
as infantile.
In its depiction of the battle between superstition and reason—a battle that never ceases, not even in the minds of men of
science—“Dracula” says that nothing is less rational than to believe we grasp all things. “Do you not think,” asks Van Helsing,
“…that some people see things that others cannot?…Ah, it is the
fault of our science that it wants to explain all; and if it explain
not, then it says there is nothing to explain.”
The mystery at the heart of “Dracula,” the mystery that
lends it its enduring power to hypnotize and frighten, is not
whether vampires could exist. Nor, contra the fixation of those
who see “Dracula” primarily as a challenge to Victorian mores,
does its great mystery have anything to do with the ancient
and untamable power of sexuality—female, vampire, or otherwise. No, the monster at the end of this book is Eternity. Stoker
plays upon our vestigial stygiophobia, our fear of a fate worse
than death and a hell beyond time, as skillfully as an old pipe
organ. What music he makes! Hark, if ye dare.
More than
a simple
tale of
horror.
Mr. Beck is a writer living in Hudson, N.Y.
Bold graphics
draw
attention to
revolutionary
logos.
RYAN INZANA
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
8 ‘Guerrilla
Tacos’ from
the streets of
Los Angeles
4 ways Nike kept
LeBron James
happy when
creating his
shoe D13
D5
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DRINKING
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STYLE
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GADGETS
Saturday/Sunday, October 28 - 29, 2017 | D1
The
LISTS
ISSUE!
25
14
61
22
16
82
101
Things to Do
Before You Die
(At Age 101)
1
2
20
Drive cross-country. Any country.
12
Run for local
office. If it’s not
a good fit, you can
always derail yourself with a public
scandal.
13
3
Pet a cheetah.
An old, slow,
unhungry one.
4
Rank your
neighborhood
bakeries. Taste everything they bake.
You know, because
you’re thorough.
12
8
5
Investigate a
family mystery.
If you solve it, keep
the answer to yourself.
6
10
7
Go to a flea
market in Paris
and buy something
redolent of the
1920s. Celebrate by
downing a Pernod.
Don’t gag.
7
Ask a friend to
scare you thoroughly when you’ll
least expect it. Forgive the friend
within five years.
38
Rescue a
horribly
named dog (e.g.
Oreo, Flower, Piddles) and compassionately rename it.
Then, inevitably,
start adding “y” to
the name (Hucky,
Bethy, Watsony),
making it horrible
again.
14
Drive down
an entire
street backward,
even if it’s a remote
country lane.
15
Pick a book
that you’ve
lied about having
read and read it.
Unless it’s “Ulysses”
or “Middlemarch.”
Then you’re exempt.
16
Sleep outside
and not in a
tent. Possibly in a
hammock.
17
8
Wear armor.
Someday Nike
will make armor.
Eat camel
hump at a
souk in Fez. Try, unsuccessfully, to determine how many
Weight Watchers
points a serving of
camel hump is.
9
18
Learn to cook a
dish you can
claim to be famous
for. Give it a plausibly famous name,
such as “Mussels
Arrivederci.” OK,
something better
than that.
10
Sing while
lounging
atop a grand piano,
but stop short of
writhing.
11
Quit a terrible
job. If you get
fired before you
summon the courage
to quit, silently
thank your terrible
boss.
STEVE SCOTT
Every town
has an outdated law. Break
one.
Catch a
dozen fireflies. Release.
19
Appreciate
the gift of
“never having done
hot yoga.” Some
things cannot be
unsmelled.
20
Attempt a
cartwheel.
To avoid injury, take
care to avoid landing on your walker.
21
Emerge
victorious
from a battle of wills
while milking a cow.
Please turn to page D2
[ INSIDE ]
‘STRANGER’ WITH CANDY
8 items that made the second season of
‘Stranger Things’ possible D13
PROPERTY WRIGHTS
4 Frank Lloyd Wright-designed homes,
starting at $195,000 D9
SKI JUMPERS
6 après-slope sweaters and where
to be seen in them D3
MAKE A DATE WITH
THESE DESTINATIONS
10 buzzy places to travel in 2018 D7
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
D2 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
THE LISTS ISSUE
JUST TO-DO IT
Continued from page D1
22
23
26
95
Wear a large and
interesting hat.
Since haters of
pumpkin spice now
rival its defenders in number, decide once and for all
where you stand.
24
Redecorate your least
favorite room. Preferably one in your own home.
with a parrot on their shoulders, smiling broadly despite
the fact that its claws are really digging into their flesh.
25
Do something you’re
petrified of doing.
See No. 56.
26
88
27
89
Record an iPhone
video of yourself
singing a love song and send
it to your partner, even if
you go off-tune. Cheesy suggestion: “Have I Told You
Lately That I Love You?”
Teach a baby
chimpanzee sign
language. Take care not to
teach him the word
“insurrection.”
Try Biologique
Recherche P50—the
1970 version—and deliberate: Is it really the best skin
care product of all time?
Bluff, successfully,
during a negotiation.
90
91
Jump off a becalmed
sailboat into the Aegean Sea. Diving is showier.
30
With this Jonathan
Franzen quote in
mind, identify one of your
recent insights: “When the
event, the big change in
your life, is simply an
insight—isn’t that a strange
thing?”
31
Mentor someone,
even if he or she
didn’t ask you to.
32
Buy a round for the
entire bar—preferably on a mellow weeknight.
33
Move to a place with
bragging rights. A
lighthouse would do.
34
Discover Copenhagen
by having what
many (including dispensers
of Michelin stars) say will be
the best meal of your life at
Geranium.
35
36
Tame a squirrel.
Cross the Atlantic
Ocean in a ship. Become briefly, violently seasick
so that, once you gain your
sea legs, you can enjoy being
Go see what all the
fuss is about.
Sail a toy boat,
available for rent, in
New York’s Central Park.
blissful and somewhat cocky.
37
Make friends on
Facebook with someone with your name.
38
With eyes shut, spin
a globe and point
your finger. Then visit the
destination. If your finger
lands on a body of water, take
a drink and try again. If your
finger lands on a war zone,
violently kick the globe across
the room and try again. If
you’d really rather just go to
Australia, peek.
39
Buy a watch your
grandson will be
proud of. Or, for that matter,
your gender-fluid granddaughter.
40
41
Crack a code.
If the 1960s meant
something to you, and
you’re in Hollywood, and you
happen to need breakfast, go
to the 101 Coffee Shop and
order the waffles.
42
43
44
Swim with the
turtles.
Swim with the
elephants.
Swim with the
dinosaurs, after col-
laborating with Elon Musk to
build an ingenious, batterypowered time-travel machine.
45
Hide something
valuable in your
house or bury it in the backyard. Make a treasure map
for future generations.
46
Call a family
meeting to create a
logo based on your family’s
strengths. Combative and
chaotic can be considered
strengths.
47
Challenge yourself
culinarily: Roast a
turkey, bake a cherry pie
with a lattice crust, make
french fries from scratch and
whip up your own mayonnaise.
48
Confront your
resistance, if you
have any, to a clothing-optional setting.
49
50
Fly over Mt. Everest
in a propeller plane.
Perfect the casual
invite as in: “Just
stay for dinner. C’mon, I
need help with the salad.”
51
Consider that
“Robinson” is not a
particularly Swiss-sounding
name for a family.
52
Explore and improve
your relationship to
trees. Lean on one; nickname
one; eat under one; plant
one with a kid.
53
JEWELS
What message
would you skywrite
to a beloved? Whisper it to
him or her instead.
54
Swim in a moat, as
in Dodie Smith’s
1948 novel “I Capture the
Castle.”
55
Make lists of things
being done by people 20 years younger and 20
years older than you. Pick
three from each and give
them a shot.
56
57
58
Use a bidet.
Use a bidet correctly.
If you have a day to
kill in downtown
Detroit, experience at least
two of the four floors of
John K. King’s used and rare
bookstore. Engage the staff.
59
AVAILABLE AT NEIMAN MARCUS
P R E C I O U S J E W E L S S A LO N S 8 0 0 - 9 3 7- 9 1 4 6
(540) 837-3088 or www.elizabethlockejewels.com
Write an
impassioned letter
to the editor. Get your facts
straight.
60
Use a porch
properly: to peoplewatch; to read; to drink gin
and Bitter Lemon; to have a
directionless conversation. A
stoop will do in a pinch.
61
Learn how to knit
your own sweater.
Okay, scarf. Okay, single mitten.
62
Cascades, Sunset
Limited, Empire
Builder: Pick a train route, a
companion, and just go.
63
64
Peel out.
Have an actual
potluck dinner.
Themes are good: a color, a
country, a decade. Avoid assignments—if there are
seven desserts, there are
seven desserts.
65
Take a nighttime
boat ride down the
Ganges in Varanasi, past the
burning pyres.
66
Experience the
intense physical collaboration that is volleyball,
either on grass, in a gym, or
on a beach.
67
Have a photo of you
and your family/
spouse made into a 500piece jigsaw puzzle and assemble it together. Don’t
overthink the psychological
subtext of the teardown.
68
Experience both love
and squalor, even
if there is no Esme
in your life.
69
Stop by your lonelyseeming neighbor’s
place and say “hello.”
70
Reintroduce yourself
to the comfort that
is corduroy.
71
Memorize at least one
quotation. Our go-to
comes from Katherine Mansfield (1888-1923), the New
Zealand short-story writer:
“Come, my unseen, my unknown, let us talk together.”
“Empire,” a continuous slowmotion shot of the top of the
Empire State Building.
76
Accept that there is
nothing you can do
about the traffic.
77
When the opportunity
comes along to take
the second or third step in
making a new friend, take it.
78
92
Ride a horse around
the Egyptian
pyramids. Once
around is plenty.
93
Go skinny-dipping
under a moonlit sky.
Choose a pool so as not to
inadvertently re-enact the
opening scene in “Jaws.”
Visit 101 countries.
Congratulations,
you’re eligible to join the
1,400 members of the Travelers’ Century Club.
79
94
Finally get your due
the way 102-year-old
artist Carmen Herrera did at
New York’s Whitney Museum
last year.
80
81
Attempt to skip
double-Dutch.
When in Southern
California, ignore
your skepticism and hire an
alternative healer to address
your most persistent issue:
an intimacy expert, an acupuncturist, a cranial sacral
massage therapist, a psychic.
82
83
Adopt a fawn, as
Audrey Hepburn did.
Climb the stairs in
a building with 101
floors. Four such buildings
exist, two in Dubai, naturally.
84
When you replace
your kitchen appliances, resist the intense peer
pressure to buy stainless
steel ones. Somebody’s got
to take the lead.
85
86
Give a eulogy.
Spend time in a
developing country,
the kind of place where you
need to bring Cipro.
87
Take measures to
avoid becoming one
of those people who, in their
dotage, walks around town
Purge the word
“semblance” from
your vocabulary. Also: “unprecedented.”
95
If at all possible,
have a house built
to your specifications, tower
room and all.
96
Buy a leather jacket.
Over the course of
the next 20 years, break it in.
97
Look at the moon
and consider that
Virginia Woolf, Harry Houdini and Jesus all looked at
the same moon.
98
99
Outwit a bully.
One summer, simply
lift all the carpets
off your floors so you feel
like you’re vacationing in a
Caribbean bungalow. Of
course, if you have wall-towall carpet, you’ll really
need to put your back into it.
100
101
Make peace with
your ex.
Dance with Maasai
warriors in Kenya.
Failing that, dance with
aggressive retirees in
Connecticut.
Contributors: Jessica Coen,
Terrance Flynn, Tim Gavin,
James Hitchcock and Off
Duty staff
36
72
Interview your
mother to find out
what her favorite recipe was
as a child. Make it for her.
73
Ignore your abysmal
record at matchmaking and try once again with
those two people you just
know would hit it off. If
nothing else, you’ll maintain
your abysmal record at
matchmaking.
74
Pour yourself a glass
of Wild Turkey 101.
As in 101 Proof.
75
Watch all eight
hours and five minutes of Andy Warhol’s movie
STEVE SCOTT (3)
28
29
Go to a drive-in
with homemade
popcorn and watch a movie
from the roof of a car. Even
better with children.
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 28 - 29, 2017 | D3
* * * *
THE LISTS ISSUE: STYLE & FASHION
FAMOUS FACES
Sloped Shoulders
5 timepieces as renowned as
their owners, from ‘A Man and
His Watch’ by Matt Hranek
(Artisan Books, Oct. 31)
6 new aprés-ski sweaters—and the resort towns best-suited to their particular style
Fred Astaire’s
1929 Cartier Tank
Cintrée
Ticker Tale Horse
trainer Felix Leach
Jr. received this
timepiece from Mr.
Astaire, a speedy
hoofer in his own
right.
George Bamford’s
Army vs. Navy
‘Popeye’ Rolex
Yacht-Master
Ticker Tale
Mr. Bamford, a
’Popeye’ fan and
watch customizer,
gave the hands of
his Rolex extra muscle.
Cortina d’Ampezzo, Italy
After swerving your way down the Dolomites,
this 1960s-esque Fair Isle sweater from The Gigi
will evoke Marcello Mastroianni; imposing shades
recommended. Sweater, $316, matchesfashion.com
Aspen, Colorado
Gstaad, Switzerland
Competitively chic, Gucci’s intarsia cardigan will
get you noticed alongside George Clooney and
Madonna, who frequent this A-listy resort town.
Sweater, $4,200, gucci.com
Packed with posh shops, this town is no place
for dull normcore style. More appropriately fashion-conscious: Burberry’s six-patterns-in-one knit.
Sweater, $975, Burberry, 212-407-7100
Elvis Presley’s
Corum
Buckingham
Reference 5971
Ticker Tale The
crooner gifted this
watch right off his
wrist to his
longtime bodyguard
Richard Davis.
Ticker Tale This
was on FDR’s wrist
as he met Winston
Churchill and
Joseph Stalin at the
Yalta Conference.
Andy Warhol’s
Patek Philippe
Reference 2503
Mad River Glen, Vermont
For a place so classic it doesn’t even allow
snowboarders (those pesky planks wreck the powder), bust out Pendleton’s unabashedly retro
shetland. Sweater, $129, pendleton-usa.com
Tenjindaira, Japan
Jackson Hole, Wyoming
Polo Ralph Lauren’s pullover suits this less image-obsessed spot: A techy lining keeps it toasty; a
throwback logo will earn you high marks from the
town’s lifers. Sweater, $495, ralphlauren.com
You’ll fit right in with this argyle jumper from
Thom Browne, whose tweaked preppy designs
might just have more fans in Japan than in his native New York. Sweater, $2,600, thombrowne.com
Ticker Tale Mr.
Warhol wore but
never wound this
beauty, declaring,
“I don’t wear a
Tank watch to tell
the time.”
STEPHEN LEWIS
F. MARTIN RAMIN/THE WALL STREET JOURNAL, STYLING BY JILL TELESNICKI
Franklin Delano
Roosevelt’s
Tiffany & Co. Yalta
Conference Watch
A SHADOW OF ONE’S FORMER RALPH
10 fashion designers who got their start at the house of Ralph Lauren
Clare
Waight Keller
of Givenchy
Todd
Snyder
Sid
Mashburn
Vera
Wang
Tory
Burch
John
Varvatos
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
Thom
Browne
Ex J.Crew
designer Frank
Muytjens
6 2 5 M A D I S O N AV E N U E
2 1 5 1 B RO A D WAY
Tim
Coppens
Joseph
Abboud
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 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
THE LISTS ISSUE: STYLE & FASHION
FASHION ONESIES
9 fall runway looks that
showcase designers’ mania for
monochromatic style
Max Mara
From top: Prada Sweater, $990,
mytheresa.com; Simone Rocha
Dress, $2,222, net-a-porter.com;
Saint Laurent Boots, $995,
matchesfashion.com
Bottega
Veneta
Old Souls, New Finds
6 vintage/resale experts pick out a fall 2017 must-have that they will
wear and cherish—until they’re ready to flip it
1
Kristen Dempsey
Brand Director at Heroine
New Find Simone Rocha embroidered dress
Reasoning “Simone Rocha has a
specific vision, and she’s executing
that vision in her well-made collections. People often buy vintage because it lasts, and in 10 or 15 years,
Simone Rocha’s pieces will still
have a lot of value. Pay attention to
her beautiful textiles or to those
that last—like wool or silk.”
2
Rachel Zabar
Vintage Dealer
New Find Gucci tiger-print dress
Reasoning “Anything new from
Gucci looks like vintage simply because it is already [inspired by
vintage] Gucci. If you had a 1960s
vintage Gucci piece, you would
look like you’re wearing modern
The Row
Gucci right now. When I saw the
tiered, tiger-motif dress, I was
freaking out! But even being so obsessed with it, I figured out when I
could get my lowest price on the
new dress and waited it out.”
3
Marie Blanchet
Head of Vintage at Vestiaire Collective
New Find Saint Laurent red velvet
boots
Reasoning “You pretty much have
to buy your winter shoes in August—these sold out early. Anything from Saint Laurent is a good
investment. He set the rules for
how modern women dress, and we
still play by those rules. At a popup shop at Merci [in Paris], we
sold lots of vintage YSL wide-leg
trousers—it was like selling baguettes, they went so fast!”
4
Bay Garnett
Stylist and Co-Author of ‘The
Cheap Date Guide to Style’
New FindPrada cashmere sweaters
Reasoning “Miuccia Prada’s designs often look vintage even when
they’re new. I love their cashmere
sweaters in bright colors; you’re
never going to find that quality in
a thrift store. In general, I
wouldn’t buy a new silk shirt or a
corduroy jacket—you can get either of those at a thrift store.”
5
Rati Lavesque
Chief Merchant at TheRealReal
New Find The Row combat boots
Reasoning “Comfort is key these
days, and these boots are comfortable. The Row has great basics like
their wool panel skirts and trousers. Pants are all about the fit, so
consider how you tailor them if
you plan to resell them—or someone may not be able to let the
seams out to make them larger.”
6
Katy Rodriguez
Co-Founder of Resurrection
New Find Dries Van Noten print
dress
Reasoning “If I were buying
something new, it would be from
the same designers I buy in vintage: Dries Van Noten, Comme des
Garçons and Yohji Yamamoto.
Those designers have a consistent
aesthetic that carries all the way
through the years. Also, it matters
less and less if things are old or
new. Buyers don’t follow the passé
rule that ‘vintage clothes must be
20 years or older.’ They don’t
think about it at all.”
—Edited from interviews by
Lauren Ingram
Jil Sander
NOT VERY BRIGHT
5 beauty brands’ top-selling lip shades, surprisingly not red
Anita
Touch of
Spice
Nars
Maybelline
Brownie
Rebellious
Rose
Bobbi
Brown
Estée
Lauder
Mademoiselle
Nina
Ricci
Chanel
Carolina
Herrera
HIGH COMMAND
SAINT LAURENT GETS AN F
4 stylish combat
boots, ranked by
stature
5 scathing reviews and the iconic pieces that prompted them
1 British Vogue, 1960
“Pale zombie
faces...black endlessly.”
(Black crocodileembossed motorbike
jacket with mink trim)
F. MARTIN RAMIN/THE WALL STREET JOURNAL, STYLING BY JILL TELESNICKI (CHEAPEST, DRESS, LIPSTICKS, BOOTS)
Marni
Céline
RELATIVE
BARGAINS
5 of the cheapest
items—that aren’t
keychains—from some
of the world’s priciest
brands. Note to self:
Impressive gift box may
not be included
definitively and
completely hideous. I’d
say it’s suicidal.”
(Printed-chiffon dresses
worn with ankle-strap
platform shoes)
3 International
Herald Tribune, 1971
“What a relief at last to
write about a collection
which is frankly,
4 The Guardian, 1971
“His collection was a
tour de force of bad
taste...nothing could
exceed the horror of
Burberry
Socks, $120
Make a bank
run in loafers
and this pair
of cozy,
diamondpatterned
foot-warmers
us.burberry.com
NO MORE MANIC MONDAYS
this exercise in kitsch.”
(Green fox-fur chubbies)
2 The New York
Times, 1966
“Yves Saint Laurent, a
gifted and much copied
designer, strains too
hard to convince the
world how much he is
hand-in-hand and eyeto-eye with the very
young.”
(Le smoking suit)
5 reasons this one dress will
make your get-ready-for-work
routine easier this winter
5 The Los Angeles
Times, 1977
“Several hundred
pushed their way into
the Hotel Crillon, hoping
to watch him drop
another bomb on the
fashion world. Two
hours later they were
still waiting for the
explosion that never
happened.”
(The Victorian blouse
and the corset top)
Source: Fashion
historian Catherine
Örmen, author of the
new book ”All About
Yves” (Laurence King
Publishing)
Chanel
Headband,
$325
Break out the
petty cash for
a coquettish
hair ribbon in
black satin,
Chanel, 212355-5050
6” Jace Boots $825, robertclergerie.com
8” Fara Boots $1,390, The Row, 212-755-2017
13” 1B99 Boots $170, drmartens.com
18” Soul Boots $2,475, Valentino, 212-355-5811
1 You’ll stand out among the wan
worker bees thanks to its brilliant
color (it’s the color of the season).
2 That off-center row of white
buttonholes—and some deliberately
absentee buttons—makes a modest
silhouette stylishly quirky.
3 Its long sleeves: No need to drag
along a chunky sweater.
4 But it’s not too warm. Made of
heavy silk, it will keep you cozy (not
overheated) during your commute.
Dress, $895,
joseph-fashion.com
Coach Leather
Cleaner, $10
Effective,
though not if
you don’t have
the money to
buy the $995
matching
leather bag,
coach.com
5 Belted? Unbelted? A fashion
dilemma with no wrong answers.
Dior Scarf,
$200
Add up all the
ways to tie it
(on your wrist,
neck, purse,
cat) and it
practically pays
for itself, Dior,
800-929-3467
Hermès
Soaps, $32
each
Fragrant citrus
or rhubarb bars
will enrich your
bath time, if
not your
bottom line,
hermes.com
WENJIA TANG
Valentino
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 28 - 29, 2017 | D5
THE LISTS ISSUE: EATING & DRINKING
Filled With L.A. Attitude
8 tacos from the new cookbook ’Guerilla Tacos: Recipes From the Streets of L.A.’ (Ten Speed Press), by famed food-truck
chef Wesley Avila with Richard Parks III—plotted on a matrix according to relative irreverence and degree of meatiness
VEGGIE
Roasted Pumpkin
Grilled to a char, succulent squash pairs
with a fiery salsa of bird’s beak chiles in
this taco that riffs on a dish Mr. Avila had
at Pazar Food Collective in Sydney. A very
Cali salad of arugula and goat cheese with
pear vinaigrette makes a refreshing garnish.
Sunchoke
Jerusalem artichokes simmered in milk and
sautéed in butter mingle with fried Brussels
sprout leaves in these tacos topped with a
tart pomegranate salsa.
CREATIVE
CLASSIC
Mushroom
While mushroom tacos are a classic
veggie option, this recipe takes some
liberties with tradition, introducing an
enlivening pinch of curry powder, panfried halloumi cheese and a habanero
salsa spiced with Aleppo pepper.
Carnitas
Mr. Avila’s take on the traditional pork dish
reflects his classical chops: “I don’t make
carnitas like my mom. I make it like
Thomas Keller’s duck confit with green
salt.” That last element, an herb salt, draws
moisture from the pork for a tender result.
Pig Head With Lentils and
Fried Quail Egg
Inspired by a dish at L’Auberge Carmel, a
celebrated California cuisine destination of
which Mr. Avila is an alum, this luxurious
layered taco involving homemade
headcheese is, in the chef’s words, “a
weekend project for a dinner party.”
Swordfish
Brightened with tangerines and red frill
mustard greens with Sherry vinaigrette,
these grilled-swordfish tacos are what Mr.
Avila calls “my version of California
cuisine...just a Mediterranean-style
seafood dish with nice ingredients.”
Crab and Spigarello
Served open-face, tostada-style, on a crispfried tortilla, this combo of sweet crab meat
and spigarello—a southern-Italian cousin of
broccoli that’s become a SoCal go-to—
comes with juicy sliced tomatoes and a
chile-charged almond-tomatillo salsa
reminiscent of Spanish romesco.
MEATY
BAKED-GOOD
MORNINGS
3 desserts you can and
should eat for breakfast,
from Stella Parks’s
‘BraveTart’ (W.W. Norton),
2017’s best baking book
CLEAN-PLATE CLUB
4 ways of keeping leftovers out of
landfills around the world
1 Homemade Cinnamon Rolls
Ms. Parks’s buttery, crowdpleasing, from-scratch take on
those tubes of dough peddled
by Pillsbury has a killer creamcheese frosting.
South Korea The nation’s
households are charged a
monthly fee based on the
weight of food waste they
create, resulting in a 30% reduction of waste since 2013.
U.S. At Yoplait’s factory in
Murfreesboro, Tenn., anaerobic
digesters turn acid whey, a byproduct of yogurt production,
into electricity that powers the
plant, saving $2.4 million a
year in operating costs.
PENNY DE LOS SANTOS (CINNAMON ROLLS, TURNOVERS, POP-TARTS); F. MARTIN RAMIN/THE WALL STREET JOURNAL (BOTTLES)
U.K. London brewery Toast
Ale replaces some of the
malted barley in its beer with
2 McDonald’s®-Style Apple
Turnovers This reverse-engineered recipe respectfully borrows an innovation from the
fast-food pie: a freeze-dried-apple powder that pushes the filling’s fruity flavor over the top.
3 Homemade Pop-Tarts®
Ms. Parks offers a stellar
frosted-strawberry version that
hits all the familiar marks, right
down to the rainbow sprinkles.
otherwise unwanted bread.
Italy In 2015, Italian chef Massimo Bottura enlisted other
top toques to transform scraps
from the Milan Expo into
dishes to feed the needy at
Refettorio Ambrosiano, an innovative soup kitchen. The
Refettorio model has since
spread to cities such as Rio de
Janeiro, London and New York.
Source: “WASTED! The story
of Food Waste” (Zero Point
Zero), in theaters and streaming on iTunes and Amazon now.
—Eleanore Park
A COWBOY
WALKS INTO
A CRAFT
COCKTAIL
BAR...
5 small-batch
spirits from the
western U.S.,
recommended
by top barman
Thad Vogler*
1 Leopold Bros.
Maryland-Style
Rye Whiskey This delicate,
floral whiskey out of Colorado
uses an heirloom strain of rye
from before Prohibition.
2 St. George Dry Rye Gin
This California gin swaps in
rye for the neutral-spirit base.
3 Osocalis XO California A
blend of aged brandies made
from Colombard, Chenin
Blanc, Semillon and Pinot
Noir. Made to drink neat but
pretty great in an old-fashioned too.
Experience a California Closets system custom designed
specifically for you and the way you live.
Visit us online or in our showroom today to arrange for
4 Marian Farms Farmhouse
Curaçao This certifiedbiodynamic bottling of the
classic cordial is dry compared
to mass-produced competitors
and delicately aromatic.
5 Germain-Robin Brandy
Made from Cali grapes in oldworld style, this brandy lends
cocktails winelike complexity.
*author of ’By the Smoke and
the Smell: My Search for the
Rare and Sublime on the Spirits
Trail’ (Ten Speed Press) —E.P.
a complimentary in-home design consultation.
212.517.7877
646.486.3905
NASSAU & QU E E NS 516.334.0077
WESTCH ESTE R & H U DSON VALLEY 914.592.1001
ROCKLAN D 845.570.9922
U PPE R EAST SI DE
TR I B ECA & B ROOKLYN
californiaclosets.com
DYLAN JAMES HO AND JENI AFUSO, FROM GUERRILLA TACOS BY WES AVILA WITH RICHARD PARKS III. PUBLISHED BY TEN SPEED PRESS.
Fried Potato
Drenched in avocado-tomatillo salsa, these
rolled and fried, potato-filled taquitos are
Mr. Avila’s homage to L.A. institution
Cielito Lindo. “I love that place,” he writes.
“They still make my favorite taquito.”
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 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
THE LISTS ISSUE: EATING & DRINKING
of a wine. A drinker acquires a palate with time and practice. Those
who are particularly gifted or naturally discerning are acknowledged
as good palates.
BY LETTIE TEAGUE
I
S THERE ANY beverage
more word-worthy than
wine? Do beer drinkers or
cocktail connoisseurs have
as large an arsenal of nouns
and adjectives? While wine verbiage
can certainly be excessive, even annoying, some words are actually
quite useful. Here, 10 phrases you
might hear bandied about, and
what they really mean to wine
drinkers.
7 ‘Elegant structure.’
Just as the collective components
of a building are referred to as its
“structure,” fruit, alcohol, acidity
and tannin make up a wine’s structure. When these components work
together especially well, a wine is
praised as “well structured.”
8 ‘Residual sugar.’
There are two types of wine sweetness. Residual sugar—grape sugars
left in the wine once fermentation
ceases—refers to the actual, measurable sweetness in wine. The second type, perceived sweetness,
doesn’t always correspond to the
first. For instance, a wine may be
technically sweet but not perceived
as such because it possesses lots of
acidity (as with German Riesling).
Another wine may be lower in residual sugar but also in acidity, and
so come across as sweet.
1 ‘Lively acidity.’
A wine without acidity is a dull, flat
drink. It’s like Coke without the
fizz. Acidity also acts to balance
other elements of a wine, especially
sweetness and tannins. While some
wines have more acidity than others (e.g. Chablis, Muscadet), all
well-made wines have a good
amount of acidity, making them
lively and refreshing to drink.
4 ‘Really minerally.’
Minerality is such a complex notion
I devoted an entire column to it in
2013. Minerally wines are often
made in soil containing a high proportion of actual stone (e.g. limestone), as in the case of Chablis, but
can also be used merely descriptively, to frame a flavor or sensa-
SLING SOME HASHTAGS
3 highly Instagrammable
dishes from Alison Roman’s
new cookbook ‘Dining In’
(Clarkson Potter)
1 Chicories With Anchovy Bread
Crumbs and Egg Yolk Two varieties
of magenta-hued and delectably bitter
radicchio anchor this feast for the social media feed as well as the palate.
A drizzle of sunny egg yolk really
makes the salad pop on the plate.
POWER SERVE
5 ways to raise your cheese-plate
ratings this holiday season
To enjoy cheese you need only a nice
wedge of it. But in this season when
we’re so often required to lay on a
spread, these items will take your
cheese-serving set-up to new heights.
Oeno Philology
10 phrases commonly wielded by wine connoisseurs, decoded
tion as akin to, say, flint or marble.
A professor of viticulture in California offered what has become my favorite definition for minerality: “an
energetic buzz.”
5 ‘On the nose.’
Oenophiles don’t refer to a wine’s
“smell” but its “nose,” and every
wine has one—for better or worse.
The “nose” of a wine encompasses
both aroma (primary scents of fruit
and/or oak) and bouquet (secondary
smells of earth or mushroom that
develop over time). Someone particularly adept at discerning nu-
anced aromatics is noted as a
“nose” in the world of wine (and
perfume, too).
6 ‘A good palate.’
A palate is both the physical roof of
the mouth and an ability to discern
subtle qualities or glaring failures
9 ‘High in tannin.’
There are also two kinds of tannins—grape tannins and oak tannins (from the barrels many wines
are fermented and/or aged in)—
both of which can grip the inside of
a drinker’s mouth with astringency.
All wines, including white wines,
have grape tannins, though some
are more tannic than others. For example, Chardonnay has more tannin
than Riesling, and Syrah has more
tannin than Pinot Noir. New oak
barrels impart a more tannic feeling
to a wine than older oak barrels;
French oak barrels have more tannin than American oak does.
10 ‘Goût de terroir.’
In one sense, terroir comprises the
entire environment in which a wine
is produced: the soil, the climate,
the sun, even the slope of a hill. It
is both a comprehensive and endlessly elusive term. As wine writer
Stuart Pigott once said, when a
winemaker speaks of his wine’s
goût de terroir (taste of terroir),
“reach for your wallet.”
2 Sorbet in Grapefruit Cups So oldfashioned it looks fresh again, this dessert nods to one that wowed Ms. Roman as a child. Store-bought sorbet or
sherbet—scooped into hollowed-out
citrus—will impress your (Facebook)
friends, too. Rock the rainbow flavor.
3 Clam Pasta With Chorizo and
Walnuts Beautifully striated clamshells never fail to deliver visual
drama. Tangled up in a heap of linguine and showered in parsley, they’re
a surefire “like” magnet.
1 A Cave for Your Dwelling
This handsome countertop cheese cave
provides a controlled climate to keep
cheese in prime serving condition. For
those who make cheese at home, it can
double as an affinage system. Cheese
Grotto, $350, cheesegrotto.com
2 Mail-Order We Melt For
This monthly cheese subscription keeps
your cheese board current with selections
from around the world. Three half-pound
wedges arrive each month. An upgrade
includes expertly paired condiments. Cheesemonger Box, from
$75, cheesemongerbox.com
3 Blade Winner
Third-generation knife
masters in Lombardy,
pot, heat a slick of
oil until it shimmers.
Add a halved lemon,
halved onion and
halved garlic head,
cut-side down, and
sear until deeply
caramelized. Then
add the beans and
cover with a couple
inches of water.
Italy, handcraft this knife meant for
tackling large hunks of Parmiggiano
Reggiano and other hard cheeses. Bharbjt Firenze Knife, $50, dibruno.com
4 Chairman of the Boards
Though billed as a bread board, this
dappled plank of smooth, cinnamonhued olive wood is just the right size for
displaying an extravagant cheese selection. Olive Wood XL Bread Board, $95,
marcelliformaggi.com
5 Dairy to Explore
Become an expert on the cheeses you
serve by visiting their birthplaces. Tours
for turophiles range from a long weekend
in Pennsylvania cheese country to 12 days
in the Alps. Cheese Journeys, $1,950$6,950, cheesejourneys.com
—Tia Keenan
3 Use cilantro,
mint and/or parsley to bring brightness to the earthy
beans. Tie them all
into a bundle with
kitchen twine and
toss into the simmering pot.
SWEETEN THE POT
4 steps to boost your beans from
basic comfort food to culinary coup
1 Buy high-quality
heirloom beans
(at ranchogordo.com
or elegantbeans.com). Even
premium beans remain one of the
most economical,
not to mention nourishing, foods around.
ALL THE RIGHT MOO
From left: Cheese Grotto;
selections from the
Cheesemonger Box; Bharbjt
Firenze Cheese Knife;
Marcelli Formaggi Olive
Wood Bread Board.
Bypass pedestrian
pinto in favor of varieties such as Vaquero, Scarlet Runner and Rio Zape.
2 Char the aromatics to draw out
depth and sweetness. In a heavy
4 Stir in a healthy
glug of olive oil
after cooking, while
the beans are cooling in their liquid. In
much the same way
we add layers to our
clothing ensembles
with the advent of
winter, beans benefit from an extra
layer of fat. —E.P.
WHEN BRITISH FOOD RULED
10 dishes that defined Britain and its dominions in different eras—from ’The Taste of Empire: How
Britain’s Quest for Food Shaped the Modern World’ by Lizzie Collingham (Basic Books)
1545
Salt cod,
Portsmouth,
England
1640s
Olio podrido
(“rotten pot,” an
Iberian beef
stew), Drax plantation, Barbados
1698
Hare boiled in
butter,
Connaught,
Ireland
1730s
Maize mush
and possum,
Middleburg
plantation,
South Carolina
1811
Chhattu
(unboiled cornflour pudding)
and currant
chutney, Patna,
Bihar, India
1874
Deviled
mutton,
Hawke’s Bay,
New Zealand
1901
Bean stew,
bannock
(skillet bread)
and prune pie,
Texada Island,
British Columbia
1941
Bully beef
(aka corned beef)
and sweet potatoes, forward
camp, North
African desert
1993
Iguana curry,
Mahaica, Guyana
1996
Turkey curry
buffet lunch,
suburban London
MICHAEL GRAYDON AND NIKOLE HERRIOTT (“DINING IN” DISHES); F. MARTIN RAMIN/THE WALL STREET JOURNAL (CHEESE); ILLUSTRATIONS (BEANS & EMPIRE) CHRISTOPHER DELORENZO
3 ‘Great length.’
When a wine leaves a lasting impression it’s said to have “length.”
A synonym for length is “persistence.” Both words refer to texture
and flavor that last on the tongue.
Wine critic Robert M. Parker, Jr.
liked to cite the time that a wine
lasted in his mouth as a mark of its
quality—in remarkably precise numerical amounts.
SANNA MANDER
2 ‘A balanced wine.’
When a wine is “balanced” all of its
parts are in harmony. Axel Heinz,
winemaker of famed Super Tuscans
Masseto and Ornellaia, describes a
well-balanced wine as one in which
“no single parameter stands out.
It’s not about the fruit, it’s not
about tannin,” but the wine as a
congenial whole.
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 28 - 29, 2017 | D7
THE LISTS ISSUE: ADVENTURE & TRAVEL
Next Big Outings
The 10 buzziest destinations to visit in 2018, whether you crave urbane Chinese cities or Midwestern gastronomy
1
Faeroe Islands
Leave it to an obscure archipelago between Norway
and Iceland to take on
Google. Last year, camerastrapped livestock began
streaming a “Sheep View
360” to let potential tourists
see what they couldn’t on
Google Street View. While
windy and remote, the 18 islands are not all woolly sorts
and switchbacks. Of note for
adventurous sophisticates:
the native knitwear label
Gudrun & Gudrun (gudrungudrun.com), the Ostrom design store and the Michelinstarred tasting menus at
KOKS (koks.fo). SAS recently
launched two-hour direct
flights from Copenhagen.
8
Montenegro
In June, this tiny country
bordering Croatia became the
29th member state of NATO.
Other changes afoot: One &
Only will open Portonovi, its
first resort in Europe overlooking the unreasonably
beautiful Boka Bay, in early
2019. Before then you can
drop anchor at the Regent
Porto Montenegro (from
about $218 a night, regenthotels.com) in a posh marina a
20-minute drive from the medieval town of Kotor.
REMOTE NO MORE
Scandinavia’s Faeroe
Islands, now easily
accessible from
Copenhagen.
9
MENAHEM KAHANA/AFP/GETTY IMAGES
BY CHRISTIAN L. WRIGHT
2
Puebla, Mexico
A two-hour drive from
Mexico City, this Spanish colonial city is finally emerging
from the capital’s shadow.
The splashy new International
Museum of the Baroque
serves as one magnet
(mib.puebla.gob.mx). The
city’s church- and palacepacked historic center—under
furious repair after September’s earthquake—is another.
And two new high-end hotels,
Rosewood Puebla (from $250
a night, rosewoodhotels.com),
and the Hotel Cartesiano
(from $300 a night, hotelcartesiano.com) are helping to
reel in the luxury-minded.
3
Kuelap, Peru
Think of Kuelap’s ruins
as the Machu Picchu of the
north. Ten thousand feet up
in the Andes, not far from the
Amazon, the 6th-century site
was built by the Chachapoyas,
known as the warriors of the
STRIKING OILS
6 things you’ll find at the
Louvre Abu Dhabi, opening Nov. 11, that you won’t
find at the Paris original
clouds. Once an arduous journey, it can now be reached in
20 minutes, thanks to a new
2½-mile-long cable-car ride
that zips you through the
staggering landscape. Tickets
run about $6, and the hotel
Libertador Trujillo can serve
as base camp (from $95 a
night, libertador.com.pe).
4
Minneapolis
The twin city that gave
the world Prince and Bob Dylan—and will host the Super
Bowl on Sunday, Feb. 4—is
now luring curious foodies. In
2017, Minneapolis claimed 13
James Beard Award semifinalists. When Gavin Kaysen,
chef/owner of the wildly popular Spoon & Stable (in a converted 1906 barn) opened his
1 A lot less nudity
Out of respect for conservative
Muslim values, few works on
display will show much flesh
beyond the fig-leafed variety.
Exceptions: the baby Jesus in
modern bistro Bellecour last
spring, he booked 1,000 reservations in the first 24 hours.
Other notable names to drop:
Thomas Kim, who left Los
Angeles to establish the Rabbit Hole (eatdrinkrabbit.com),
and Erik Anderson, who
sharpened his knives at the
Catbird Seat in Nashville and
took over Minneapolis’s
Grande Cafe earlier this year
(grandcafemn.com).
5
Dundee, Scotland
A coastal college town,
Dundee has emerged as Scotland’s coolest city (see the old
public library turned underground club). In 2018, the
V&A Museum of Design will
debut as the centerpiece of a
$1.5 billion transformation of
Giovanni Bellini’s 15th-century
“Madonna and Child,” and a
Phemba maternity figure from
central Africa.
2 Certain Europeans
Leonardo da Vinci’s “La Belle
Ferronnière,” a Vincent van
Gogh self-portrait, Paul Gauguin’s “Children Wrestling” and
Édouard Manet’s ”The Gypsy”
are all among pieces on loan
for 10 years from 13 French
museums.
3 A 7,500-pound metallic
dome
Architect Jean Nouvel’s a flying
saucer-shaped roof, pierced
with 7,850 geometric stars
(pictured at left), weighs about
the same as the Eiffel Tower.
the faded riverfront. Designed
by Japanese architect Kengo
Kuma, the new V&A will celebrate the country’s unsung
design heritage—from jute to
Minecraft (vandadundee.org).
6
Grenada
On the southern edge of
the Caribbean hurricane
belt—hit by only three storms
in 50 years—it’s flourishing
while many of its neighbors
rebuild. In the spring, Silversands resort will bring minimalist luxury to the island’s
southwestern tip, with 43
suites, nine villas and the region’s longest pool (silversandsgrenada.com/en).
7
Madagascar
Plants and wildlife that
4 Elbow room
Abu Dhabi has a population of
1.1 million and a nascent museum audience. The new Louvre’s 260,000-square-foot exhibition space likely won’t see
the lines and chaos of the Louvre Paris, which receives 7.4
million visitors annually.
5 A sense of irony
One of the largest works is an
installation by Ai Weiwei that
questions globalization.
6 Earth’s fastest roller
coaster, when you tire of art
Formula Rossa, at Ferrari
World, where F1-shaped cars
shriek at 150 mph, is 20 minutes away by taxi.
—Susan Hack
PLEASE PUT YOURSELF IN AN UPWARD POSITION
4 visionary projects that could change the way we travel—if they ever come to fruition
MOHAMED SOMJI © LOUVRE ABU DHABI (MUSEUM); ILLUSTRATION: AIRBUS (AIRCRAFT); ILLUSTRATION: CHRISTOPHER DELORENZO (WOLF)
1 Flying Solo
When you think of Airbus, you probably think
of jets. And airports.
But the company also
has lofty aspirations to
operate within cities,
judging from two new
experimental projects
known as CityAirbus
and Vahana. Both will
use electrically powered
VTOL (vertical-takeoffand-landing) aircraft to
provide quick, quiet,
self-flying transportation
in and around urban
centers. Vahana’s first
test flights are scheduled for later this year
and CityAirbus’s for
2018.
2 Nest Guest
Imagine sleeping in a
luxuriously appointed
pod suspended high in
the treetops of a forest
in Borneo, Ecuador or
California. Or walking
across a suspended
mesh “floor”
to join fellow guests for
a communal meal, as
birds fly below your feet.
Living the Till, a low-impact, temporary hotel,
conceived by architect
Malcolm Berg of Miamibased firm EoA, takes
its inspiration (and
name) from the air plant
Tillandsia. As for when
the treetop hotel might
take root, Mr. Berg said
there is no current plan
in place, but it’s doable
now for about million
dollars.
3 Jiffy Hop
New York to London in
29 minutes? To Shanghai in 39? To anywhere
on Earth in less than an
hour? Elon Musk floated
that possibility recently,
suggesting that many of
us could see affordable,
city-to-city rocket travel
aboard SpaceX’s reusable BFR (Big Falcon
Rocket) within our life-
UNCOMMON COMMUTE A rendering of one of Airbus’s proposed vertical-takeoff-and-landing aircraft.
are found nowhere else thrive
in this African island nation,
but discerning visitors have
typically found the accommodations a bit of a bummer.
Tour operator Abercrombie &
Kent advised travelers to pack
patience. For big spenders,
the wait is over. In June, the
Time + Tide Miavana resort
opened on Madagascar’s private island of Nosy Ankao: 14
solar-powered villas, each
with a pool and butler. Inclusive rates start at $2,900 per
person per night (timeandtideafrica.com). Potential
visitors should be aware,
however, of a recent outbreak
of plague pneumonia throughout the country; check
cdc.gov for updates.
HEEL, WHITE FANG!
9 odd ways to meet, greet and
howl like the locals with Airbnb’s
new ’Experiences’ service
Shanghai
Paris of the East now has
a dedicated Michelin
guide—30 starred restaurants—and is about to get its
own Pompidou Center at the
end of 2018. A hotel boom
also seems to be upping the
aesthetic ante in China’s biggest city (pop. 24 million).
You can stay at Waterhouse,
the highly stylized renovation
of an abandoned industrial
building in the heart of South
Bund (from about $160 a
night, waterhouseshanghai.com) or flee the city’s
tizzy at the new Amanyangyun, a forest retreat partially formed out of 13 relocated Ming and Qing dynasty
villas, a 45-minute drive from
the city (from about $1,040 a
night, aman.com).
10
La Rioja, Spain
In Spain’s foremost
wine region, medieval hilltop
villages play foil to modern
architectural designs by Calatrava, Gehry and Hadid.
Meanwhile, unexpected Scandinavian flair has infiltrated
the gastro-bars of the capital,
Logrono, and the guest rooms
in newly opened places like
Hotel Viura (from about $135
a night, hotelviura.com).
1 Talk a wolf for a walk in
Los Angeles, $150
2 Pick and plant backyard
vegetables in Toronto, $20
3 Hula hoop in Chicago, $28
4 Paint graffiti in Berlin, $73
5 Do macramé in Seattle, $90
6 Clean a canal in Amsterdam,
$31
7 Dress in drag in Mexico City,
$127
8 Attend a dinner party blindfolded in Barcelona, $61
9 Weave cassette tapes into
a cloth in Singapore, $47
(Prices per person, for 2 to 3
hours, and, yes, that’s a lot of
hula hooping)
Make our holiday
traditions your own.
times. Forget the movies on demand: Accelerating to nearly 17,000
mph, going weightless,
then returning to Earth
in less time than it takes
to watch a gripping episode of “Game of
Thrones” will be entertainment enough.
4 Deep Sleep
While some hotels
boast epic views of skylines or mountain
ranges from their
rooms, the Floating
Seahorses, in the United
Arab Emirates, promises
an aquatic alternative—
picture windows with a
fisheye view of reefdwelling sea life. These
semi-underwater luxury
vessels are located
within the Heart Of Europe, part of the World,
a collection of manmade islands grouped
to represent the earth’s
continents and countries
2.5 miles off the coast
of Dubai. The first of
the Seahorses are projected to be completed
in 2018 (thoe.com).
—Matthew Kronsberg
HOLIDAYS AT THE BROADMOOR
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
D8 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
THE LISTS ISSUE: ADVENTURE & TRAVEL
RYAN MESINA/THE WALL STREET JOURNAL
Valley Goals
5 weekend-worthy towns in the Hudson
Valley, N.Y., and their ideal visitors.
(Dare to venture beyond Rhinebeck)
MARGOT DOUGHERTY
ADAM MØRK (OCULUS); JORGE TABOADA (PARISH CHURCH); TORBEN ESKEROD (SAILING TOWER); SIMON MENGES (PHILHARMONIC HALL); YAO LI (NANJING WANJING GARDEN); GETTY IMAGES (VENICE); BLACK TOMATO (NAMIBIA); F. MARTIN RAMIN/THE WALL STREET JOURNAL (BOOK); QANTAS (AIRLINE FOOD)
1 Cold Spring | Hikers
On weekends you’ll see
troops of urban escapees
marching from the Metro
North train station, water
bottles dangling from daypacks, to the Hudson Highlands State Park trailheads
just outside this village. The
easy-level Little Stony Point
trail quickly ascends to a
dramatic view of the Hudson
and, down the road, the Cornish trail leads to the crumbling remains of a oncegrand estate. One of the
area’s most popular day
hikes, Breakneck Ridge, is
just north and as the name
suggests, not for the novice—or for procrastinators;
it’s closing for a year or so
of maintenance on January
1. Fuel up with shirred eggs
at Hudson Hil’s Cafe on
Main Street (hudsonhils.com).
RIVER WALK From left: Shop-lined Warren Street in the town of Hudson; Blithewood Garden on Bard’s campus, near Tivoli.
3 Tivoli | Poets and
The 2003 opening of Dia:
Beacon—with its 240,000square-foot gallery space devoted to contemporary art—
was a game changer for
America’s former “Hat Making Capital.” The revival
continues, evident in the
percolation of carefully considered shops and galleries
along Main Street. Browse
the cool clothes at Kaight
(kaightshop.com), fine wood
pieces at Wickham Solid
Wood Furniture (wickham.com), the works of a
dozen contemporary artists
at the Beacon Artists Union
(baugallery.com) and the
mega-textural and equine
paintings at Terreson: Beacon (jterreson.com).
Scholars
The center of Tivoli, a hamlet
in the town of Red Hook, is
tiny, starting around the Lost
Sock Launderette and ending
a block later at Murray’s
(murraystivoli.com), an airy
cafe set in a 19th-century
brick church where you can
imagine the lanky patrons in
metallic-washed boots are
talking about Kierkegaard—
Bard College is 3 miles away.
In the middle of the stretch,
artists Brice and Helen
Marden’s 11-room Hotel Tivoli
(hoteltivoli.org) stands sentinel, a colorfully appointed affair whose farm-to-table restaurant, the Corner, is the
beating heart of the hamlet.
The overall draw of Tivoli?
Poetic beauty. Scenic trails
4 Kingston | Hipsters
The telltale signs are all
there: restored Victorian
homes next to less fortunate
clapboard brethren, bars like
the Stockade Tavern (stockadetavern.com) specializing in
bespoke cocktails, and an influx of trendy shops. The first
capital of New York, Kingston
was torched by the Brits who
proclaimed it “a nest of reb-
5 Hudson | Nesters
Jennifer and Kim Arenskjold
of Arenskjold Antiques (arenskjold.com) were pioneers on
Warren Street, the nexus of
the antique and vintage furni-
ture trade that made Hudson
a bull’s-eye for interior designers. Word spread. Begin
shopping steps from the train
station with the Riverfront
Antiques and Design Center
(hudsonradc.com), a mix of
old shutters and farmhouse
tables, and work your way up
Warren Street to high-end
dealers like Regan & Smith
(reganandsmith.com), Finch
(finchhudson.com), Richard
Kazarian and Neven + Neven
Moderne (nevenmoderne.com). Les Indiennes Outlet is an Indian-fabric-lover
paradise (lesindiennes.com)
and Hawkins NY (hawkinsnewyork.com) offers a trove
of home goods, linen sheets,
blown glass vases and pink
marble serving boards among
them.
The Oculus, 2016
New York City
Santiago Calatrava’s $4 billion
World Trade Center commuterrail station has been described—
or denounced—as a dove taking
flight, a white elephant and a
blatant boondoggle since it was
unveiled last year. Even if you
side with the critics, we dare you
to stroll beneath its steel wings,
look up through the 328-footlong skylight and not be awed.
Parish Church El Señor de la
Misericordia, 2016
Monterrey, Mexico
This structure, featuring a trio of
concrete shards that echo the
mountain range behind it, riffs
on traditional ecclesiastical architecture with a prominent bell
tower and stained-glass windows. Visitors enter the building
via a trapezoid canopy; crossshaped windows flood the space
with natural light.
Sailing Tower, 2015
Aarhus, Denmark
Denmark’s second city has way
more than its fair share of radical contemporary architecture,
including this sail-shaped observation tower by Danish studio
Dorte Mandrup. Cantilevering
over Aarhus’s docklands (operational since the Vikings arrived in
the 8th century), the origami-like
steel tower grants 360-degree
views of the city.
Philharmonic Hall, 2014
Szczecin, Poland
This symphony hall in northwest Poland replaced an auditorium destroyed in World War
II. Thanks to its serrated roofline, it looks more like a hamlet
of steeply-pitched, gabled
houses than a single building,
and its ribbed glass cladding
lends it a ghostly appearance
that contrasts with the surrounding urban sprawl.
Nanjing Wanjing Garden, 2014
Ninjing, China
A hymn to harmony and mysticism, this V-shaped chapel by
Chinese firm AZL is composed
of strips of wood that allow
light to seep inside and make
the structure glow like a lantern
at night. The graphic interior is
celestial white, while an aperture in the second roof layer
creates a skylight, not unlike
the Oculus’s. —Kate Maxwell
2 Beacon | Art Buffs
run through Tivoli Bays, a
freshwater wetland, and a 10minute drive south, Poets’
Walk meanders through the
former estates of the Astor
and Delano families. Bard’s
Frank Gehry-designed performance center warrants a stop,
followed by a stroll through
the 1903 Italianate Blithewood
Garden, also on the campus.
els” in 1777. The independent
spirit and a bit of grittiness
persist in the historic Stockade District where Lovefield
Vintage, a pristine clothing
shop on Front Street (lovefieldvintage.com) sits next to
Bluecashew Kitchen Homestead and its luxe-modern
cooking and service pieces
(bluecashewkitchen.com). O
Positive, a nonprofit that organizes health care for artists in exchange for their
work, started in Kingston,
which explains the elaborate
building murals.
GET TO
THE POINT
ALREADY
5 new buildings
around the world that
stick out in a crowd
Tourists have crossed oceans to
gawk at the Colosseum, the
Pantheon and the Temple of
Apollo for centuries, but if your
architectural leanings skew more
contemporary than classic, take
note of “Destination Architecture” (Phaidon), a new book out
next month. It’s a compendium
of 1,000 of the world’s most
daringly modern edifices. These
particularly spiky examples
piqued our interest:
COFFEE, TEA OR LOBSTER?
5 in-flight amenities that have gone the way of the paper ticket
1 Bunk beds with curtains, multiple airlines,
1930s-1950s
2 Kangaroo tail soup and fresh lobster,
Qantas Airways, 1950s and 1960s, respectively
3 Free Cuban cigars and Sevruga caviar, Brit-
ish Airways Concorde, 1976-2000s
4 Piano bars with electric Wurlitzer organs,
American Airlines, 1970s
5 Pubs with a videogame console, Continental Airlines, early 1980s —Barbara Peterson
SAY WHAT?
5 phrases non-English
speakers use to express
’It’s Greek to Me’
1 “Are you Speaking Hindi?”
(Arabic)
2 “You’re speaking to me in
Patagonian.” (Bulgarian)
3 “This is like a Spanish village
to me.” (Czech)
4 “It’s all Hebrew to me.”
(Finnish)
5 “That Sounds Like a Bird
Language.” (Mandarin)
Source: Excerpted from Evan
S. Rice’s ’The Wayfarer’s Handbook: A Field Guide for the
Independent Traveler,’ (Black
Dog & Leventhal Publishers)
Qantas
Airways,
1961
SCRAM, STYLISHLY
5 ways to get lost for at
least $20,000 a person
Last month, bespoke tour operator Black Tomato launched its
“Get Lost” service, offering
“Amazing Race”-type adventures
for travelers who want to disconnect and recharge in grand
fashion. After clients choose a
type of landscape—polar, jungle,
desert, mountain or coastal—
Black Tomato takes over, planning a self-guided, high-action
itinerary. You’ll be dropped off in
a remote locale with all necessities and clues to help you navigate the terrain—and a satellite
phone just in case. Prices vary
depending on “how lost you
want to get,” typically starting
around $20,000 per person for
five days. Here, some sample
ways you might lose yourself:
1 Camping in Namibia’s Namib
Desert (pictured at left)
2 Kayaking off Iceland’s Troll
Peninsula
3 Trekking across Chile’s San
Rafael Glacier
4 Bushwhacking through the
jungles of Guyana
5 Riding a camel across China’s
Gobi desert
TAKE THE
SEE TRAIN
4 commuter routes, in top destinations, that
offer million-dollar views for a mere token
1 Chicago By Elevated Rail
The elevated tracks encircling
downtown Chicago offer a nearly
bird’s-eye perspective of the
city—similar to New York’s High
Line, but these routes still carry
trains. A $2.25 spin on either
the Brown or Purple Lines rattling around the Loop glimpses
the Willis Tower, Millennium Park
and LaSalle Street’s skyscraper canyon before
heading north over
a glittering stretch
of the Chicago
River (transitchicago.com).
teetering double-decker trams
carve a charmingly retro path
through futuristic soaring towers. You needn’t be choosy—any
route between Kennedy Town
terminus to the west and Shau
Kei Wan terminus to the east
rewards rubber-neckers. Elbow
your way to the upstairs front
row of the ”ding ding,” as the
locals call the trams, to
watch walls of neon
slowly scrape by
and clouds of pedestrians throb
below (hktramways.com).
2 Venice by
Vaporetto Like
buses anywhere else,
the boat-buses in Venice
(pictured)—specifically Lines 1, 2
and A—get packed to the gills.
Unlike most buses, these vaporetti don’t have to struggle
down some side street; they sail
a splendid course along the
Grand Canal. To grab a good
seat, board one stop before the
end of the route and stay aboard
as everyone else disembarks and
the vessel turns around; do this
at sunset for views of glowing
palazzi (actv.avmspa.it/en).
4 Medellín by
Gondola The Medellín Metrocable system strings together this
hilly Colombian city in a way
that’s nearly philanthropic: The
network of gondolas hoists the
farthest-flung residents hundreds of feet in the air over previously impermeable terrain toward opportunities in the city
center. For the visitor it’s a way
to see the whole valley for
about $2, from cliff-clinging
neighborhoods to the modernist
monoliths of the Biblioteca de
España. Line K goes to the library, and Lines J and L are just
as scenic (www.metrodemedellin.gov.co).
—Ryan Haase
3 Hong Kong by DoubleDecker Tram Brought in by the
Brits a century ago, Hong Kong’s
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 28 - 29, 2017 | D9
* * * *
THE LISTS ISSUE: DESIGN & DECORATING
Plants That
Go Bump in
The Night
5
5 spooky species for creeping
out your friends (or yourself)
this Halloween
1
Black-Bat Flower
“Black-cat flower” might
be a more appropriate name
for these blossoms (Tacca
chantrieri). On either side of
their orchid-like faces grow
whisker-thin leaves called
bracteoles that extend up to a
foot long. The plant tends to
bloom just before Halloween
in keeping with its menacing
mien. It also has a kinder,
therapeutic side: Susan Mooberry, a professor of pharmacology at UT Health Science
Center in San Antonio, is developing an alternative chemotherapy from the plant,
which has been used to treat
illnesses in its native China.
“Almost every botanical garden has one—they’re so cool
and dramatic—but they can
be hard to grow,” Ms. Mooberry said. Humidity, partial
sun and fertilizer every two
weeks helps.
2
Sensitive Plant
Nicknames for Mimosa
pudica include “the shame
plant” and “the touch-menot,” which tells you something of its disposition. “The
movement may protect them
from herbivores; it scares animals away,” said Ms. Stone.
Like all invasive species, it’s
easy to grow—keep it damp
in a sunny locale and fertilize
once in a while. Resist the
1
and, yes, smells like a rotting
corpse,” said Julian Duval,
president of the San Diego
Botanic Garden. The site recently displayed two specimens in all their weird
blooming glory, including the
zombielike stench meant to
attract carrion-feeding beetles, its pollinators. Best for
large homes (they can grow
up to 250 pounds) and people who don’t mind waiting
for their morbid show: The
plants bloom only every
seven to 10 years.
5
2
3
urge to provoke it too often,
sapping its energy. If its recoil
weren’t disconcerting enough,
the plant “may be able to signal to others—plant-to-plant
communication,” said Ms.
Stone, “but more research is
needed before we’re sure.”
3
Cape Sundew
Sundews (Drosera capensis and intermedia) look as
amiable as daisies, but these
relatives of the Venus flytrap
are rather depraved: Their
gluey, dewy leaves snag insects while releasing enzymes
like those we use to digest
food. “Few plants resort to
violence to make a living, but
it helps them secure nutrients
like nitrogen that’s lacking in
their soil,” said Carter Butts,
a professor who studies the
plant’s genomes at the University of California, Irvine.
Sundews are a bit fussy about
water (it must be mineralfree and distilled) but never
about fertilizer: Outdoor
4
plants feed themselves, and
“indoors, I use fish food, applied with tweezers,” Mr.
Butts said.
4
Corpse Flower
More than 25,000 people
descended on the New York
Botanical Garden in 2016 for
the rare blooming of its
Corpse Flower, but it’s possible to have an Amorphophallus titanum all to yourself. Be
warned: “It looks like something from science fiction,
A CURIOUSLY COLORFUL COUNTRY
#LOVEMYGARAGE
The 10 rooms most shared
on Instagram since 2010
via #design and #decor
The 10 best-selling Sherwin-Williams paint colors in two countries. Top row: America’s drab favorites,
ranked from left to right. Bottom row: Guess the nation. (Answer below.)
Gray
Screen
Alabaster
Extra
White
Balanced
Beige
Amazing
Gray
Ceiling Bright
White
Functional
Gray
Pure
White
Light
French Gray
Repose
Gray
Gauntlet
Gray
Intellectual
Gray
Zeus
Honeycomb
Different
Gold
Rookwood
Dark Brown
Teal
Stencil
Rookwood
Terra Cotta
Rookwood
Dark Red
Rookwood
Jade
ANSWER: Canada
4 Frank Lloyd Wright homes on the market, ranked by price
Foster House and Stable Unlike
Wright’s horizontal homes scattered
throughout the Midwest, this 2,408
-square-foot home in Chicago
shows his admiration for Japanese
architecture with multiple pitched
roof lines. realtor.com, $195,000
L.W. REEDY REAL ESTATE (HENDERSON HOUSE); VICTORIAL HELY-HUTCHINSON
Kitchen: 1,529,543 posts
Bedroom: 1,015,024
Living Room: 572,015
Bathroom: 535,364
Dining Room: 107,995
Patio/Deck: 62,127
Home Office: 25,489
Porch: 22,276
Foyer: 10,793
Garage: 4,410
HOUSEHOLD NAMES
IN YOUR OWN WRIGHT
Kier House Located in Glencoe, Ill.,
this 3-bedroom, 2.5-bathroom
building—one of Wright’s seven
prairie-style homes—features a
sculptural entrance, broad cantilevered roofs and a newly renovated
kitchen. estately.com, $779,000
MASTER PLACES Above: F.B. Henderson House. Right: Paul and Helen Olfelt Residence.
Night-Blooming
Cereus
Many plants fold up at night
to save water, stave off herbivores or both, said Nolan
Coburn Kane, an ecology professor at the University of
Colorado, Boulder. Nightblooming cereus does the opposite, springing into flower
only under cover of darkness,
as bewitching as a succubus.
In 1864, Mark Twain wrote
about Night-blooming cereus
(Epiphyllum oxypetalum) for
the San Francisco Daily
Morning Call: “It is very regular in its habits, and those
habits are bad—it runs all
night; that is to say, it comes
out in full bloom in the evening, and punctually shuts itself up in the morning and
sleeps all day.” Bonus: This
lazy house plant doesn’t
mind if you’re lax, too—it
prefers inconsistent sun and
irregular watering.
F. MARTIN RAMIN/THE WALL STREET JOURNAL (TACCA, MIMOSA); ALAMY (AMORPHOPHALLUS); GETTY IMAGES (2)
I
F YOU FEEL silly
dressing in costume
for Halloween but still
get a kick out of the
holiday, why not invest in some creepy greenery
that’s as anthropomorphic,
carnivorous or eerie as anything Poe conjured? The fanglike Venus flytrap, indigenous
to the bogs outside Wilmington, N.C., is only the start.
“There’s a huge, diverse
world of beauty, form and life
that most of us never really
see,” said Byron Martin,
whose grandfather founded
Logee’s, a Connecticut retail
greenhouse that specializes in
rare plants, in 1892.
Consider the sensitive plant
(Mimosa pudica), an invasive
weed native to tropical areas
of Central and South America,
that literally recoils when you
touch it (and at night)—its
delicate leaves folding in anxiously on themselves. “Our
nervous system impulses are a
very similar mechanism,” said
Bethany Stone, a professor at
the University of Missouri
who studied the plant’s reaction to the recent solar
eclipse. (Spoiler alert: They
closed up during totality.)
Fascination with creepy
plants is nothing new. Charles
Darwin meticulously studied
them for “Insectivorous
Plants,” his 1875 book. “The
Victorians liked unusual
plants; they weren’t as
straight and stuffy as we
think,” said Tracy Brindle, curator at the Mark Twain
House & Museum in Connect-
icut, where a night-blooming
cereus—a beguiling, nocturnal
flower as seductive as any
vampire—now grows in
Twain’s own glass-walled conservatory.
Here, five house plants
that make frightfully fun companions or unnerving gifts.
F.B. Henderson House This
5,500-square-foot, 1901 home in
Elmherst, Ill., boasts original
stained-glass windows, two fireplaces, a library and a wine cellar.
estately.com, $1,000,000
Paul and Helen Olfelt
Residence One of the last projects
designed by the architect before his
death in 1959, this modernist, diamond-shaped home—2,647 square
feet, 3 bedrooms, 3 bathrooms—in
Minneapolis retains custom cabinetry as well as most of its original
Wright-designed furniture.
zillow.com, $1,295,000
20 quirky appellations
given homes in the U.K.
Bent Pokers
Chaos
Cobwebs
Creeping Snails
Crime House
Crimple Cottage
Crumbledown
Duck Down
Cottage
Handcuff House
Hell House
Kickatinalong
Way
Kumincyde
Leprechaun’s
Leap
Monkey
Puzzles
Motley Lot
Mouse Trap
Nudgems
Pawprints
Poggles
Wood
Shuttocks
Bottom
Source: housenameheritage.com
CHRISTOPHER DELORENZO
BY KATHRYN
O’SHEA-EVANS
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
D10 | Saturday/Sunday, October 28 - 29, 2017
THE WALL STREET JOURNAL.
* ***
THE LISTS ISSUE: DESIGN & DECORATING
Material Wealth
9 global textiles trending among decorating pros: Can you match the place of origin to the pattern, using our clues?
3 United States
These improvisations—named
after Gee’s Bend, the Alabama
community from which most
originated—use household remnants including corduroy and
denim; many hang in museums.
In 1965, creators of ones like this
marched with Dr. Martin Luther
King, Jr. Blocks and Strips,
1980, by Loretta Pettway,
$28,000, gregkucera.com
4 Japan
This cotton cloth gets its look
when a paste of rice and bran
that resists dye is pushed
through painstakingly cut mulberry-paper stencils (often resembling chrysanthemums or
abstracted birds). Length of
Narumi Kongata: Multi-Stenciled
Katazome, $90, srithreads.com
5 Uzbekistan
This example of the region’s lustrous, silk-on-cotton embroidered coverlets exemplifies a traHIDDEN
FIGURES
4 drawings that conceal
creatures in negative
space, from ‘Noma Bar:
Graphic Story Telling’
(Thames & Hudson)
Cover for Diplomat magazine,
‘Deference’ issue, 2012
B
C
D
E
F
G
H
I
6 Congo
Used for dance skirts and ceremonial fabrics, this kind of raffia
features inventive geometric patterns embroidered into cloth
then snipped to produce a plush
velvet finish. Henri Matisse was
a fan. Kuba Shoowa Mat, $95,
africanallure.com
7 Southeast Asia
This sort of textile, associated
with the peripatetic Hill people
of Vietnam and Thailand, is distinguished by rows of neonbright stitches in silk or cotton
(sometimes juxtaposed with indigo batik). Batik Tribal Pillow
With Appliques from Treasure
Trove, $225, chairish.com
8 West Africa
Strip cloth, named for the bands
of hand-woven cloth sewn together to form a larger textile,
comes in many styles and colors. Mid C20th Hand Spun Cotton Blanket, $740, adireafricantextiles.com
9 Mexico
These bold, marketable designs—densely embroidered with
fanciful birds, deer and flora—
were born of a devastating
drought in the 1960s, when resourceful women reimagined ancient motifs. Red Otomi Tablecloth, $650, stfrank.com
WHEN DECORATING CLIENTS WON’T LET GO
7 interior-design pros and architects share how they worked around odd objects (inanimate and living) that their customers fixated on
“What is a designer to do when
his client falls hard for a life-size
Yves Klein-blue flocked-velvet
gorilla sculpture? Embrace it and
give it pride of place in a dazzling white Miami house. Throw
in a giant orange sectional for
good measure—and don’t tell
the husband.”
—Brian Murphy, New York
“A prominent American novelist
asked that we insert a 60-foot
handgun range in his luxury
condo development in an East
Coast city not unfamiliar with
gun violence. We managed to
design it and get it approved,
but as construction began, word
leaked to the press and the client decided not to proceed.”
—Dominic Kozerski, New York
“Clients purchased a monumental Botero art piece. Their West
Village loft offered few walls and
even fewer large enough, so the
art now serves as a screen providing privacy between the master bath and neighboring buildings—a rather tongue in cheek
placement, considering the sub-
ject is a rear view of a zaftig
bathing nude. ”
—Phillip Thomas, New York
“A parrot occupied the living
room where we were doing an
installation. It swore repeatedly,
sang opera loudly, mimicked radio commercials and, most disconcertingly, imitated the lady of
the house’s voice convincingly.
For the cage, we looked to English antique dealers, but in the
end, I had one created to fit our
client’s oversize bird.”
—James Duncan,
Key Biscayne, Fla.
“A client collected French antiques known as ‘gobbi’ statues:
dwarfs wearing opera garb. I
convinced the client that the
most evocative place for them
would be on the woodland path
to the children’s garden off to
the side behind the hedge.”
—M. Brian Tichenor,
Los Angeles
“One client came in prepared
with floor plans, a checkbook
and a fuzzy picture of his most
MONKEY BUSINESS In Miami, Brian Murphy had to accommodate a beloved, giant blue gorilla
prized possession: a bed accessorized with clamps, straps and
harnesses. To deflect from the
bed’s gadgets, we added designer sheets, a heavy comforter
with three oversize pillows covering most of the headboard and
some abstract wall art.”
—Vanessa Deleon, New York
“I had a couple who refused to
part with a stuffed teddy bear
that needed to be consulted on
every design decision. I thought
the bear was a toy from one of
the grandchildren, but the husband had given it to his wife
during their courtship. Luckily,
the bear only had opinions on
the master bedroom.”
—Jean Liu, Dallas
‘Look Out,’ 2013
Cover for Diplomat magazine, ‘Deference’ issue, 2012
ASSET
ALLOCATION:
POUF EDITION
x12 | $1,141
x28 | $2,810
x60 | $6,000
x110 | $10,900
NOMA BAR (4)
4 extravagant footrests and
how many $99 West Elm ones
you could buy instead
‘Jaws,’ 2013
BRADLEAH CAULKINS (A); GREG KUCERA GALLERY (I); BASKETS OF AFRICA (F)
2 India
Burberry and Valentino used the
mirror work featured in these
Shisha embroidery fabrics in
their fall 2015 collections. The
look hit London in the 1960s, as
an element of haute-bohemian
style. Vintage Shisha Pillow from
Pat McGann, $650, 1stdibs.com
A
ALEXIA FODERE FOR THE WALL STREET JOURNAL
1 England
Narrative textiles like this one
feature folkloric woodland critters and other rural images associated with this green and
pleasant land. ‘Varx’ Hand-Block
Printed Cushion, about $119,
bonfieldblockprinters.com
ditional style that endured
despite Soviet attempts to force
makers to incorporate political
motifs like the hammer-andsickle. Pair of Suzani Pillows
from Joseph Malekan, $375,
1stdibs.com
ANSWERS: 1-E; 2-A; 3-I; 4-B;
5-G; 6-F; 7-C; 8-D; 9-H
BY COURTNEY BARNES
Clockwise from above: Cotton Luster
Velvet Pouf, $99, westelm.com; Suomi
Pallina Pouf, $1,141, Missoni Home
Showroom, 212-719-2338; Donut,
$2,810, morosousa.com; Les Necessaires d’Hermès Ottoman,$10,900,
hermes.com; Adam Pogue Carved Foot
Ottoman, $6,000, communedesign.com
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 28 - 29, 2017 | D11
* * * *
THE LISTS ISSUE: GEAR & GADGETS
2 Tug View Tow Hook
and Camera Mount
Screws into the bumper-hook
socket most cars have hidden
and accommodates GoProstyle cameras. With it you can
record your heroic canyon runs,
or runs to the grocery store.
Difficulty: Easy. $190, subispeed.com
1 Wings
Where some would ask
“why,” others ask “how
high?” Road cars started
sprouting spoilers
and rear wings in
the 1970s, mostly
for looks. But if they
are tall enough, and
broad enough, rear
wings can greatly
contribute to a car’s
stability and general awesomeness.
I believe the APR
GTC-300—a 67inch-wide carbonfiber scythe—fitss
y:
the bill. Difficulty:
Hard. $1,701, aprperformance.com
3 Subwoofer/Audio
Original-equipment audio components lack a
certain je ne sais quoi, which is to say, earsquashing power. In our Subaru WRX STI
(pictured), aftermarket “upgrade” speakers
from Kicker can be paired with replacement
tweeters and subwoofers. But remember,
better speakers deserve a more powerful audio head. You want it loud and clear. Difficulty: Moderate. $195, kicker.com
4 Radiator Shroud with
Tool Tray
This otherwise unexceptional
piece of molded plastic improves airflow and cooling under the hood (by blocking off a
region of bypass around
the radiator)—and
it gives underhood tinkerers
somewhere
to put their
tools. Bril.
tools
Diffi
Difficulty:
$75,
$
grimmspeed.com
Garage
G
g F
Fever
9 car projects and easy auto tweaks to help
you through the long winter nights
9 Exhaust Pipes
Tailpipes are the bell to your
car’s trumpet. To make a
purer, more radiant racket,
you needs some big ol’ dualquads with heat-anodized titanium tips, because, my
God, we’re not animals, are
we? The HKS S4 Legamax
TI-1 Premium is an “axleback” system consisting of a
pair of cylindrical silencers
(hah!) with dual outlets. You
can go upstream further, replacing everything from the
catalytic converter on down
(“cat-back”). But an axleback mod will only take a
day, or two, with a floor jack
and stands. Difficulty: Moderate. $1,200, subispeed.com
W
BY DAN NEIL
INTER falls hard on motorheads. Car lovers typically
pull their favorite machines into the barn at the first
snow and won’t drive them again until spring—in the
mid-Atlantic states, usually November to April, or as
we say around here, Homestead to Martinsville.
Perhaps you, or someone you know, is out in the garage right now,
bored out of his mind, buffing an already mirror-polished bumper, brooding on the cruelty of salt trucks. They’ll never take you, my precious.
But garage fever can be cured, though consumerism! Here’s my list of
fun, fairly easy modifications that just about anyone with a set of hand
tools can make to a car. Some of these may not be your style, but each
will bring you closer to your whip, and it to you.
8 Floor Kit
WeatherTech’s extreme products aren’t floormats so much
as fitted rubber buckets, protecting the carpets completely
from your wet-as-dogs snowboarding friends. Difficulty: Easiest. From $30, weathertech.com
7 Pokémon Gearshift
Knob
Gearshift knobs are personal.
So why not personalize? Millennial hearts will thrill with
nostalgia at this Pokémon ball
gearshift. Pikachu! Difficulty:
Easier. $45, twistedshifterz.com
5 Cold-Air Induction
System
Cooler air is denser, and
denser air makes more horsepower. These systems typically include a conical air filter
and a length of aluminum
tubing, piping in cooler air
from the front of the engine
bay. In some cars this means
pulling air from a “cold-air
box,” insulated from the high
temperatures under the hood.
Ideal for our example Subie, a
Perrin cold-air intake system
is CARB compliant. Difficulty:
Moderate. $309, perrinperformance.com
THE LOAD LESS
TRAVELED
6 unlikely things that
overachieving climbers have
carried up a mountain
1 A $10,000 Watch
Reportedly, when Kiwi Sir Edmund
Hillary and Sherpa Tenzing Norgay
became the first confirmed climbers
to reach Mount Everest’s summit
(29,029 feet) in 1953, they were
both wearing Rolex Oyster Perpetual
prototypes, estimated to be worth
ten-thousand dollars each. Rolex
had sponsored the climb.
2 A Church Organ
In 1971, to raise money for charity,
Scottish woodcutter Kenny Campbell lugged the 226-pound musical
instrument up to the summit of
Britain’s highest mountain, Ben Nevis (4,413 feet), in Scotland.
3 An Espresso Maker
American socialite-turned-mountaineer Sandy Hill famously packed
an 8-inch-tall espresso percolator
and an “ample supply” of Dean &
DeLuca’s Near East beans for her
ascent up Mount Everest in 1996.
4 Brussels Sprouts
To raise money for charity in 2014, a
Brit named Stuart Kettell spent four
days pushing a Brussels sprout up
Mount Snowdon in Wales (3,560
feet) with just his nose. He wore his
way through 22 sprouts.
5 A Barbell
In 2015, Russian powerlifter Andrey
Rodichev toted a 165-pound barbell
up Mount Elbrus (18,510 feet), Europe’s tallest peak, where it remains.
6 Dinner-Party Furniture
To host a dinner last December, former Noma chef James Sharman,
along with four other chefs and
eight porters, hauled 16 plastic
chairs and three wooden tables to
Mount Everest Base Camp (17,600
feet), working up quite an appetite.
6 Leather Key-Fob
Protector
Smart keys aren’t very smartlooking, are they? Lots of fine
leather fob protectors are available, and they make a pretty
infallible gift. This is a product
so far unexplored by luxury
goods makers, but inevitable;
so I look forward to the first
Hermès fob protector. Difficulty: Easy.
web, creates lists, sets
reminders, makes restaurant reservations
Created by: Microsoft;
microsoft.com
6 Emma
Tasks: Recommends
travel options to and
from meetings
Created by: Snap Out
Ltd.; emma.ai
HEY, SIRI, FIND
ME COPYCATS
9 digital assistants
whose monikers
rely on the vowel
‘i’ (as in Siri) or
end in ‘a’ (as in
Alexa)
SUBARU; CASAMIGOS TEQUILA (CLOONEY, GERBER); ILLUSTRATIONS BY CHRISTOPHER DELORENZO
1 Bixby
Tasks: Facilitates phone
calls, manages to-dos,
identifies landmarks
Created by: Samsung;
samsung.com
2 Braina
Tasks: Transcribes text,
searches the web,
solves math problems
Created by: Brainasoft;
brainasoft.com
3 Chris
Tasks: Messages, calls
and emails while you’re
driving, assists with
navigation
Created by: German
Autolabs; hellochris.ai
4 Clara
Tasks: Schedules and
confirms meetings
Created by: Clara Labs;
claralabs.com
5 Cortana
Tasks: Searches the
AHOY, PAUPERS!
20 boats with names inspired by
financial regret, ranked by length,
as listed in the U.S. Coast Guard
vessel documentation database
7 Fin
Tasks: Assists with
scheduling, scours the
internet, orders snacks,
nudges you to perform
your own tasks
Created by: Fin
Exploration Company;
fin.com
8 Jibo
Tasks: Searches the
web, snaps photos,
shares facts
Created by: Jibo, Inc.;
jibo.com
9 Sherpa
Tasks: Learns the various things you like and
offers customized recommendations
Created by: Sherpa Europe S. L; sher.pa
HIGH ON THE HOG
22 essentials George Clooney and Rande
Gerber pack to take on the open road
Every year, Casamigos Tequila co-founders George
Clooney and Rande Gerber take a days-long motorcycle trip together through such places as Spain,
Mexico and the American West. Here, a list of gear
they typically carry on their brozilla vacations.
Map
Bandanas
Jeans
Short sleeve t-shirts
Long sleeve t-shirts
Boots
Leather jackets
Leather gloves
Bug repellent
Sunglasses
Night-driving glasses
Full helmet
Half helmet
Extra spark plugs
Cash
Rain gear
Headphones
Phone for emergencies
Phone Chargers
Passports
Camera
Hunting knife
Broke 4 Shore
33.4 feet
Florida
College Fund
65 feet
Kentucky
Overbudget
34.3 feet
Massachusetts
Debtors Delight
68 feet
Georgia
Even Broker Now
71 feet
Kentucky
Broke But Tan
28 feet
Florida
Die Broke
30.9 feet
New Hampshire
Deep Ship
35 feet
Illinois
Money Pit V
28.9 feet
Missouri
Insufficient Funds
31.3 feet
Indiana
Float’n-a-Loan
36.8 feet
Georgia
Floating Interest
40.4 feet
Florida
A Loan @ C
52.6 feet
New Jersey
Illiquid
71.9 feet
Alaska
Rent Money
29.8 feet
South Carolina
Bankrupt Sea
32.3 feet
North Dakota
Fueli$h Money
38.2 feet
New York
Spent More Rent
44.8 feet
Missouri
Knot Cheap
57.1 feet
Louisiana
Compound Interest
78 feet
Florida
The Ultimate Gift for Him
ES-LV65-S
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THE WALL STREET JOURNAL.
Saturday/Sunday, October 28 - 29, 2017 | D13
* * * *
THE LISTS ISSUE: GEAR & GADGETS
Strangely Ordinary
8 mundane things—from candy to underwear—the twin Duffer brothers used to make season two of Netflix’s ‘Stranger Things’
out at 5 a.m. filming in the winter…I
don’t want to be a baby, but it’s
pretty cold. Thermal underwear is a
real lifesaver on set.
MD: That shit will save your life.
If you get too cold, you literally
can’t think. Your body is frozen.
How are you going to be making
any decisions? This stuff actually
changes your life.
6
iPad
MD: I would rather you watch
“Stranger Things” on an iPad or a
laptop or even your phone, than a
TV, unless you make sure your TV
color settings are correct. If you haven’t calibrated the settings on your
television, please just watch our
show on an iPad.
RD: You can’t go with the settings that TVs have when they
come out of the box. The settings
are incorrect. Fix the settings. And
then the show looks f**king incredible.
BY CHRIS KORNELIS
1
Google Docs
Matt Duffer (above left): The
most important part of our writing process is outlining the script.
Our desks are more or less next to
each other. We put on our headphones and go into Google Docs
on our iMacs and work on the
story simultaneously, often without speaking. It’s creepy when
other people witness it. If Ross
writes something I don’t like, I’ll
delete it. If he writes it back in, I’ll
delete it again. Then we take off
the headphones and have a conversation about it. Conversation is
a polite word. Now, even when
we’re working with our other writers, we force them onto Google
Docs and do the same thing. It’s
like trying to create a hive-mind.
7
2
3
Movie Soundtracks
Ross Duffer (above right): Our
knowledge of movie soundtracks is
much more extensive than our actual knowledge of music music.
We like Joy Division and whatnot,
but that’s not the kind of stuff we
grew up loving.
MD: The first music I fell in
love with was a cassette of Danny
Elfman’s “Batman Returns.” To be
honest, I didn’t start listening to
music outside of movie sound-
MARCUS MARRITT
Final Draft
MD: After outlining, we put
the text into Final Draft, which is
the industry-standard script-creating platform. That’s where we
hone the dialogue. It’s hard to
write dialogue in Google Docs, so
you really do need Final Draft for
that.
tracks until halfway through college.
RD: When we wrote the “Dungeons & Dragons” scene in season
one, I was listening to a lot of
“E.T.”—classic John Williams. No
one can transport you better than
John Williams.
MD: I can’t listen to John Williams and write. I write to a lot of
James Newton Howard soundtracks, like “The Sixth Sense” or
“Signs” or “Unbreakable.” Those
soundtracks are very dear to me.
SIMEON E. TIEFEL AND WEBB T. NELSON (ELECTRIC TOY TOP); MAGNUS HENRY JOHNSON; MARK PETERSON (FINGER TWIRLED TOY); F. MARTIN RAMIN/THE WALL STREET JOURNAL (SNEAKER); MIKE TINNEY (PENCILS); AR ILLUSTRATION BY CHRISTOPHER DELORENZO
CAN YOU DIGIT?
3 patents for finger toys
that didn’t achieve the success
of the fidget spinner
1 For spinning Electric toy top
device with finger supported charger.
Simeon E. Tiefel and Webb T. Nelson,
Aug. 10, 2004.
2 For fidgeting Flying finger toy.
Magnus Henry Johnson, April 20,
2006.
3 For spinning and fidgeting Finger
twirled toy with balancing mass. Mark
Peterson, Sept. 29, 1981.
4
Headphones
RD: I’m pretty particular about
my headphones. Right now I wear
Ultrasones. I need the over-ear
kind, and I don’t want noise cancelling. I don’t just use them in the office. I’m usually dragging them
around to sets as well.
MD: I’ve gone through a lot of
headphones. I was using Sennheiser,
but the wires kept busting. Now I
have a pair from Audio-Technica,
which are going really well. They
feel good and sound good. Aestheti-
cally, they’ve got brown leather
with a little bit of pink. They look
cool.
RD: Whenever I’m on set, whoever’s doing sound on the show always compliments my headphones.
That’s how I know they are quality.
MD: I think mine are, aesthetically, much cooler looking. His don’t
look very great.
5
Patagonia Capilene Thermal
Weight Long-Underwear
RD: We’re in Atlanta, and if you’re
3 Musketeers Candy Bars
MD: We had an argument in
the writers’ room about whether 3
Musketeers are a good or bad
candy bar, and we put that into the
show in season two. I’m very pro 3
Musketeers. There are some people
who incorrectly feel it’s just nougat
and there’s nothing special about
it. Nougat is delicious. That’s my
case for it. I like that it’s pure and
clean. I like the simplicity of it.
Something like Snickers, there’s so
much shit going on in there.
RD: I also like 3 Musketeers. Big
fan. Most of our writers were not.
4 ways Nike senior basketball footwear designer
Jason Petrie created a next-level sneaker—the new
Nike LeBron 15—to satisfy its discerning namesake
4 ways augmented
reality apps help solve
common problems
With the release of Apple’s
new iOS11 came ARKit, an
augmented reality platform
for developers. Meanwhile,
Google launched a similar
platform for Android called
ARCore. What this means
for everyday smartphone
users: Augmented reality
(AR) apps are the next big
thing—and not just for playing games. Here, a few and
what they can do.
2 Measure things
AR MeasureKit calculates
lengths, distances and a
8
COURT OF APPROVAL
APPS GET
REAL
1 Find lost things
Neon will help locate your
friends in a crowd: Point
your phone at a group of
people, and a neon marker
will hover over the person
you’re looking for. Find Your
Car with AR points the way
back to where you parked.
Pixie connects to a small
tracker that you affix to
your wallet, passport, keys,
remote, luggage, you name
it; the app works with your
phone’s camera to illuminate
the 3D area around your
misplaced items.
Stuffed-Animal Monkeys
RD: Our production company is
called Monkey Massacre because,
growing up, we made movies about
stuffed-animal monkeys that come
to life and start murdering people.
We made sure in season two that
the monkeys made a cameo appearance. We had our parents ship them
from North Carolina. We told our
prop master she can’t lose them or
she’s dead to us. She did not lose
them. They made it to Atlanta and
back to North Carolina, where they
are now back safely in storage.
person’s height, among
other features. Both Magicplan and PLNAR let you
create floor plans simply by
using your phone’s camera
to gauge your space.
3 Shop for things
IKEA Place previews the
consequences of décor purchases by putting 3D images of Ikea furniture into
a picture of your home.
Similarly, Houzz Interior
Design Ideas lets you see
products in your space.
ModiFace will even let you
1 The new Flyknit Battle
material was specifically
designed for Cleveland
Cavaliers star LeBron
James to lock him into
his shoe yet help him
move freely. To address
his skepticism about its
ability to hold up, Nike
did extensive testing.
2 In consulting on the
collar, the NBA star was
adamant that Nike get
it low and sculpted just
so in order to hug the
ankle.
3 To meet Mr. James’s
desire for an aggressive,
modern vibe, Mr. Petrie
went for a battle-ready
chain-mail look.
4 The sneaker’s propulsive air unit is a brand
new combination of Air
Max and Zoom Air
technologies.
shop for different tresses:
Its hair color app applies a
new ‘do to your 3D picture.
4 Fix things
Let’s say your toilet is leaking. If you and your landlord are both using Vuforia
Chalk, you can share a real
time picture of the situation and your landlord can
annotate the image with
circles, arrows or other
markings to explain how to
stop the problem. Knowing
most landlords, however,
this may still be a fantasy.
SHARPER
IMAGES
7 writing tools
used by creative
people, as
photographed for
‘The Secret Life
of The Pencil’
(Laurence King
Publishing) by
Alex Hammond
and Mike Tinney
Sir Anish Kapoor
Sculptor
Sir James Dyson
Inventor
Celia Birtwell
Textile designer
Stephen Fry
Actor and writer
William Boyd
Author
Bill Woodrow
Sculptor
Nick Park
Animator
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