close

Вход

Забыли?

вход по аккаунту

?

The Wall Street Journal 3 August 2017

код для вставкиСкачать
DJIA 22016.24 À 52.32 0.2%
NASDAQ 6362.65 g 0.005%
STOXX 600 378.63 g 0.4%
10-YR. TREAS. g 3/32 , yield 2.264%
OIL $49.59 À $0.43
GOLD $1,271.80 g $0.80
The Dow Jones Industrial Average on Wednesday surged past its fourth
1,000-point milestone since Donald Trump was elected president in
November. Based on data going back 40 years, the gain marks the
second-fastest 20% rise in the Dow following a presidential election.
Business & Finance
22000
21000
20000
19000
18000
17000
16000
T
he Dow topped 22000,
reaching another milestone in the long bull market.
The blue chips closed up
52.32 points at 22016.24,
led by gains in Apple. A1, B11
YEN 110.74
14000
13000
Postelection
DJIA 1,000-point milestones
59
Qatar Airways dropped
plans to buy a big stake in
American, ending a brash
attempt by the Mideast carrier to push into the U.S. B1
2007
Tesla worked to calm investors, saying orders for
older, more expensive vehicles
have accelerated lately despite the Model 3’s arrival. B3
Wyndham plans to spin
off its hotel and timeshare
businesses into two separate
publicly traded companies. B3
Molina said it would pull
out of two states’ ACA exchanges next year and review
its participation in others. B3
1,460 trading days
’08
’09
’10
139
’11
’12
Uniqlo plans to roll out
vending machines to sell
clothing at some airports
and shopping malls. B3
World-Wide
18 times
ELECTED TRADING DAYS
George H. W. Bush 1988
171
Donald Trump
2016
183
Bill Clinton
1992
Barack Obama
2008
Ronald Reagan
1980
George W. Bush
2000
1,626
Jimmy Carter*
1976
1,629
14
308
12
537
586
10
8
2007 ’08
Markets............. B11-12
Opinion.............. A13-15
Sports........................ A12
Technology............... B4
U.S. News............. A2-4
Weather.................. A10
World News. A6-7,16
>
’09
’10
’11
’12
’13
’14
’15
’16
’17
THE WALL STREET JOURNAL.
second argument.
Mr. Trump met Wednesday
morning in the Roosevelt
Room of the White House with
the two senators, giving the
bill introduction—often a
sleepy affair—a high-profile
platform.
The bill would replace the
existing system with an application process prioritizing
high-skilled workers, English
speakers and newcomers financially stable enough to avoid
relying on the welfare system,
ment-based green cards issued
each year but would sharply
reduce immigration based on
family ties, and it would end a
lottery that gives people from
underrepresented countries a
chance to emigrate to the U.S.
The issue divides Republicans. Those from the party’s
pro-business wing generally
support increased immigration,
while others say newcomers
provide unfair competition for
U.S. workers. Mr. Trump’s presidential campaign advanced the
Look out below! It’s earnings
day.................................................. B11
Heard on the Street: Overseas
role in Dow breakthrough... B12
Mr. Trump said Wednesday. It
would reallocate the 140,000
green cards now available
based on employment.
The bill also would deny
green cards, also known as legal permanent residence permits, to some who are now eligible, including the adult
children and extended family
of current green-card holders.
“For decades, the U.S. has
operated a very low-skilled
immigration system,” Mr.
Trump said. “It has not been
fair to our people, to our citizens, to our workers.”
The U.S. issues about a million green cards a year under
current law. About two-thirds
of those are issued to people
with family ties to individuals
already in the U.S., and fewer
than one-fifth of the total are
Please see TRUMP page A2
President signs Russia
sanctions bill.............................. A4
Kushner family firm is
subpoenaed................................ A4
RURAL AMERICANS FEEL
STUCK IN FADING TOWNS
Financial and cultural barriers push mobility to lowest level in decades
The property business
owned by Kushner’s family
was subpoenaed regarding
an investment-for-immigration program. A4
China stepped up pressure
on India to withdraw from a
military standoff in a contested Himalayan area. A6
Tuesday 17.78
16
CEO Exits at Snack Giant Mondelez
Pence rejected the notion of direct talks with
North Korea’s leader aimed
at curbing the nation’s nuclear-weapons program. A7
42 107
24
’17
’16
PRESIDENT
Trump embraced a Senate proposal to cut the number of green cards issued
annually by half, as part of
his drive to reduce legal as
well as illegal immigration. A1
The Justice Department is
seeking attorneys to probe racial bias in college admissions,
as it prepares to review a
complaint against Harvard. A3
’15
S&P 500 12-month forward price/earnings ratio
WASHINGTON—President
Donald Trump embraced a
Senate proposal to cut the
number of green cards issued
annually by half, as part of his
drive to reduce legal as well as
illegal immigration.
The measure, sponsored by
Republican Sens. Tom Cotton
of Arkansas and David Perdue
of Georgia, would maintain the
existing number of employ-
Oil prices rose after U.S.
data showed that crude inventories continued to shrink and
gasoline demand climbed. B11
Venezuelan authorities
tampered with votes during
the election of a body to rewrite the constitution, a voting-software firm said. A6
Fears of a Venezuelan debt
default are rising, with fallout from the election seen
as a possible tipping point. B1
’14
483
How many trading days it took for the Dow Jones Industrial
Average to gain 20% following each president’s election
BY TED MANN
AND LAURA MECKLER
CBOE agreed to use bitcoin market data, paving the
way for the options exchange
to list bitcoin derivatives. B10
BY JANET ADAMY AND PAUL OVERBERG
WEST BRANCH, Mich.—When she graduated from high school, Taylor Tibbetts was a
bright star in this small Northern Michigan
town. She won an $18,000-a-year swimming
scholarship to Converse College in Spartanburg, S.C., and departed for her freshman
year with high hopes.
Once on campus, however, she felt overwhelmed by her courses and scared and isolated among students from all over the
country with different values. After just a
week, her mother reluctantly agreed to
bring her home.
Three years later, sitting on a vinyl booth
at her family’s pizzeria in West Branch
where she now works, Ms. Tibbetts, 21, says
she longs to live in a thriving city like Den-
PAUL MORIGI/GETTY IMAGES
Brazil’s President Temer
fended off corruption charges
in a congressional vote that
prevented the case from going to the Supreme Court. A6
120
The Dow Jones Industrial
Average topped 22000 on
Wednesday, reaching another
milestone in the long bull market as investors bet that a resurgent global economy can
offset lukewarm U.S. growth.
The blue-chip index claimed
its 32nd record of the year.
Stocks continue to chug higher
without a pullback of greater
than 3% in more than a year,
and volatility levels by some
measures are hovering near alltime lows. The rally has been
powered in large part by a revival in U.S. corporate earnings,
which are on pace for another
quarter of strong growth.
The Dow Industrials rose
52.32 points, or 0.2%, to
22016.24, led by gains in shares
of Apple Inc. after the company
reported strong iPad and Mac
Please see DOW page A2
Trump Backs Bill to Slash Legal Immigration
Apple’s app sales, music
subscriptions and other services were big contributors
to quarterly revenue. B4
Trump signed into law a
bill imposing tough sanctions
on Russia for interfering in
the 2016 election, but called
it “seriously flawed.” A4
153
*Milestone reached after Carter left office. Note: P/E data as of Tuesday.
Sources: WSJ Market Data Group (Dow, trading days); FactSet (P/E ratio)
Private-equity firms are
increasing assets at a faster
clip as investors seek alternatives to stocks and bonds. B10
Scientists said they have
edited the genes of viable
human embryos to correct a
disease-causing defect, likely
renewing ethics concerns. A1
’13
Underpinned by global
growth and company
earnings, blue-chip
index notches record
BY AKANE OTANI
AND BEN EISEN
15000
Mondelez’s Rosenfeld is
stepping down as the firm’s
CEO and will be succeeded
by an outsider, McCain
Foods chief Van de Put. B1
s Copyright 2017 Dow Jones &
Company. All Rights Reserved
EURO $1.1857
Dow Hits 22000, Powered by Apple
What’s
News
CONTENTS
Business News.. B3,5
Capital Account.... A2
Commodities........... B8
Crossword.............. A10
Heard on Street. B12
Life & Arts......... A9-11
HHHH $4.00
WSJ.com
THURSDAY, AUGUST 3, 2017 ~ VOL. CCLXX NO. 28
* * * * *
STEPPING DOWN: Irene Rosenfeld is retiring after 11 years running
Mondelez, the maker of snacks including Oreos and Ritz crackers.
She had fought to improve sales amid upheaval in the industry. B1
In U.S. First,
Scientists
Edit Out
Gene Defect
BY AMY DOCKSER MARCUS
For the first time in the U.S.,
researchers said they had edited viable human embryos to
correct a disease-causing defect, avoiding problems that
plagued previous efforts and
stoking concerns that advances
in the lab are outpacing public
discussion about the ethics of
gene editing.
Using the gene-editing tool
Crispr-Cas9, the researchers
said they successfully corrected
a mutation that can cause a
heart condition called hypertrophic cardiomyopathy, or
HCM. The condition, affecting
an estimated 1 in 500 people, is
best known as a common cause
of sudden cardiac death in
young athletes.
The collaboration, led by researchers at Oregon Health &
Please see GENES page A4
Millennial TV Viewers Discover a
Miracle Gadget: the Antenna
i
i
i
Cord-cutters snap up $20 rabbit ears to
avoid online streaming fees; is this legal?
BY RYAN KNUTSON
generation that never knew life
before cable television, and who
Dan Sisco has discovered a primarily watch Netflix, Hulu
technology that allows him to and HBO via the internet. Sales
access half a dozen major TV of all antenna types in the U.S.
are projected to rise 7% in 2017
channels, completely free.
“I was just kind of surprised to nearly 8 million units, accordthat this is technology that ex- ing to the Consumer Technology
ists,” says Mr. Sisco, 28 years Association, a trade group.
Mr. Sisco, an
old. “It’s been aweM.B.A. student in
some. It doesn’t log
Provo, Utah, had
out and it doesn’t
his epiphany in
skip.”
2014 after inviting
Let’s hear a
friends over to
round of applause
watch the Super
for TV antennas,
Bowl. The online
often called “rabbit
An antenna
stream he found to
ears,” a technology
watch the game
invented roughly
seven decades ago, long before didn’t have regular commerthere was even a cord to be cut, cials—disappointing half of his
which had been consigned to guests who were only interested
the technology trash can along in the ads.
“An antenna was not even on
with cassette tapes and VCRs.
The antenna is mounting a my radar,” he says. He went onPlease see TV page A7
quiet comeback, propelled by a
ver or Nashville, and regrets her inability to
leave here.
“I can’t be the kid that just stays here forever,” she says.
Like a lot of small towns in sparsely populated American counties, West Branch, population 2,067, is in an economic funk
brought on by the decline of manufacturing
and farm consolidation. In recent years, a
handful of retailers, a flour mill and a carpet
shop have all closed their doors.
What is troubling about this rural town
and many places like it is that while lots of
struggling residents see leaving as the best
way to improve their lives, a surprising
share remain stuck in place. For a number of
reasons—both economic and cultural—they
no longer believe they can leave.
Please see MOVE page A8
Oracle #1
SaaS Enterprise
Applications Revenue
#1
Oracle
Cloud
14.5%
#2
Salesforce
Cloud
12.4%
1,000+ Employees Segment, 2015
oracle.com/applications
Source: IDC “Worldwide SaaS Enterprise Applications Market Shares, 2015: The Top 15 by Buyer Size,”
doc #US41913816, Dec. 2016; Table 4. For the purposes of this report, SaaS enterprise applications include
the following application markets: CRM, engineering, ERP, operations and manufacturing, and SCM.
Copyright © 2017, Oracle and/or its affiliates. All rights reserved.
A2 | Thursday, August 3, 2017
* ****
THE WALL STREET JOURNAL.
U.S. NEWS
CAPITAL ACCOUNT | By Greg Ip
We Survived Spreadsheets; We’ll Survive AI
Whether
truck drivers or marketing executives, all
workers consider intelligence intrinsic
to how they do their
jobs. No wonder the rise of
“artificial intelligence” is uniquely terrifying. From Stephen Hawking to Elon Musk, we are
told almost daily our jobs
will soon be done more
cheaply by AI.
Yet AI is too amorphous a label to actually
convey anything useful
about what, precisely, it’s
supposed to displace. Instead, think of it as a technology that does one thing
particularly well: predictions. Such as, will that
mark on the X-ray prove to
be a tumor? Is the object in
the road a paper bag or a
child? Which headline will
get the most readers to click
on an article?
Treating prediction as an
input into an economic process makes it much easier
to map AI’s impact. History
and economics show that
when an input such as energy, communication or calculation becomes cheaper,
we find many more uses for
it. Some jobs become superfluous, but others more
valuable, and brand new
ones spring into existence.
Why should AI be different?
Back in the 1860s, the
British economist William
Stanley Jevons noticed
that when more-efficient
steam engines reduced the
coal needed to generate
power, steam power became
more widespread and coal
consumption rose. More recently, a Massachusetts Institute of Technology-led
study found that as semiconductor manufacturers
squeezed more computing
power out of each unit of
silicon, the demand for computing power shot up, and
silicon consumption rose.
T
he “Jevons paradox”
is true of information-based inputs,
not just materials. Until the
1980s, manipulating large
quantities of data—for example, calculating how
higher interest rates
changed a company’s future
profits—was time-consuming and error-prone. Then
along came personal computers and spreadsheet programs VisiCalc, Lotus 1-2-3
and Microsoft Excel. Suddenly, you could change one
the Bureau of Labor Statistics. Yet people who could
run numbers on the new
software became hot commodities. Since 1985, the
ranks of accountants and
auditors have grown 41%, to
1.8 million, while financial
managers and management
analysts have nearly quadrupled to 2.1 million.
Just as spreadsheets
drove costs down and demand up for calculations,
machine learning—the application of AI to large data
sets—will do the same for
predictions, argue Ajay
Agrawal, Joshua Gans
and Avi Goldfarb, who teach
at the University of Toronto’s Rotman School of
Management. “Prediction
about uncertain states of
the world is an input into
decision making,” they
wrote in a recent paper.
Fair Trade
Jobs in bookkeeping plummeted after the introduction of spreadsheet
software, but jobs in accounting and analysis took off.
1979
Release of VisiCalc
1983
Release of
Lotus 1-2-3
1987
Release of Microsoft
Excel for Windows
Management
analysts &
financial
managers
2 million
1.5
Accountants
and auditors
Bookkeepers,
accounting and
auditing clerks
1.0
0.5
0
1972
’80
’90
2000
’10
Notes: There is no data for 1982. Changes in occupational definitions in 1983, 2000 and 2011
mean that data is not strictly comparable across time. There was no category for
management analysts or financial managers prior to 1983.
Source: Bureau of Labor Statistics
THE WALL STREET JOURNAL.
number—say, this year’s
rent—and instantly recalculate costs, revenues and
profits years into the future.
This simplified routine
bookkeeping while making many tasks possible,
such as modeling alternate scenarios.
“You could play the what-
U
nlike spreadsheets,
machine learning
doesn’t yield exact
answers. But it reduces uncertainty around risks. For
example, AI makes mammograms more accurate, the
authors note, so doctors can
better judge when to conduct invasive biopsies.
Jim Manzi, a Washington,
D.C., entrepreneur, says
if game. You know, what if I
did this instead of that?” accountant Allen Sneider, the
first registered buyer of
VisiCalc, told NPR in 2015.
The new technology pummeled demand for
bookkeepers: their ranks
have shrunk 44% from two
million in 1985, according to
TRUMP
DOW
Continued from Page One
sales in its most recent quarter
late Tuesday.
Overall, big companies with
a sizable presence overseas,
such as McDonald’s Corp. and
Boeing Co., have helped fuel
the rally, and many investors
are counting on a weak dollar
to boost U.S. exports. Apple’s
gain—its biggest in six
months—added roughly 49
points to the Dow Wednesday.
Stocks must navigate a number of new challenges if the 8year-old rally is to continue.
The U.S. economic expansion is
showing signs of stalling. President Donald Trump’s proposed
mix of tax cuts, infrastructure
spending and deregulation was
intended to revive the economy, but some of his agenda
has been stalled. Optimism
about a pro-growth fiscal policy has waned.
“Economically things have
been picking up nicely around
the world, while the U.S. has
turned out to be relatively disappointing,” said Jimmy Chang,
a senior portfolio manager and
chief investment strategist at
Rockefeller & Co.
With domestic data looking
lackluster, shares of multinational companies—which stand
to benefit more than U.S.-focused companies from global
growth—should fare well, he
said.
Paul Quinsee, global head of
equities at J.P. Morgan Asset
Management, said the strong
earnings season reflects “more
evidence of an upswing in the
portion of admissions based
on employment than the U.S.
does.
Many economists and business interests argue that immigration provides a net benefit to the American economy
and have urged the administration not to introduce new
barriers to migrants seeking
to enter the country legally.
The bill would give the immediate family members of
U.S. residents priority in seeking to emigrate to the country,
including spouses and minor
children. But it would end that
preference for adult children
and extended family members.
The bill also would eliminate the existing Diversity
Visa lottery system, a lottery
by which people from underrepresented countries can win
green cards. It would also
limit the number of permanent
resident permits issued to refugees to 50,000 a year, well
below the numbers admitted
in the final years of the Obama
administration. Sponsors say
that the lower limit is in line
with the average number of
fortunes of the world economy.”
“Investors were expecting
good earnings, and overall have
not been disappointed,” he
said.
A combination of low inflation and rising global growth
could keep U.S. stocks climbing,
despite a sluggish expansion in
the U.S. and investors’ dimming
hopes for policy changes from
the Trump administration to
kick-start the economy.
Investors and analysts in
particular point to China as a
sign that the global economy is
on the mend, with a recovery
in investment, manufacturing
its forecast for U.S. economic
growth in 2017 to 2.1% in July,
compared with its projection of
2.5% a year ago. It cited skepticism the Trump administration
would be able to push through
business-friendly policies such
as tax cuts.
Even with global growth improving, inflation has remained
persistently sluggish. That has
contributed to weakness in the
U.S. dollar, a boon for U.S. corporate earnings because it
makes U.S. exports cheaper to
foreign buyers. It also takes
some pressure off the Federal
Reserve to raise interest rates.
The WSJ Dollar Index, which
measures the U.S. currency
against a basket of 16 others,
has fallen 7.5% since the start
of the year, leading some firms
to raise their year-end forecasts for U.S. stocks.
At the end of July, investment bank Jefferies raised its
estimate for where the S&P
500 would end the year to
2500 from 2325, citing weakness in the dollar, “robust
growth in overseas markets as
global trade resynchronizes
and the lack of policy tightening by China.” The S&P 500
rose 1.22 points, or less than
0.1%, to 2477.57 Wednesday.
There are signs that U.S.
companies whose businesses
rely more on sales to customers overseas are already starting to benefit from these conditions.
The S&P 500 industry
groupings that get a higher
share of their sales internationally than the benchmark are
collectively up 13% in 2017
through Tuesday, topping the
S&P 500’s 11% rise over that
period, according to Goldman
Sachs Group Inc. The groups
with a higher share of domestic
revenues than the S&P 500
were up 10% over that time.
Among companies in the
blue-chip Dow, shares of airline
manufacturer Boeing Co.,
which recently got nearly
three-fifths of its sales from
outside the U.S., according to
S&P Dow Jones Indices, are up
53% this year. That makes it
the best-performing stock in
the Dow industrials in 2017.
Other companies that serve
as economic bellwethers have
benefited from the global rebound. Caterpillar Inc., whose
shares have risen 22% this
year, reported last Tuesday
that it may see its first yearover-year revenue increase
since 2012, thanks to growing
demand in China’s construction
sector and a stabilization in
commodity prices.
Jack Ablin, chief investment
officer at BMO Private Bank in
Chicago, says that recently he
has been focusing more on
large-cap U.S. stocks with multinational revenue source.
“We’re just trying to follow
the growth directly with our
asset allocation,” he said.
—Amrith Ramkumar
contributed to this article.
ZACH GIBSON/BLOOMBERG NEWS
Continued from page A1
employment-based. The rest
are issued via lottery, to refugees and on other grounds.
A Cotton aide said the
sponsors estimate the legislation would decrease overall
immigration to about 638,000
in its first year—a 41% drop—
and to about 540,000 by its
10th year—a 50% reduction.
Despite backing from the
White House, the proposal is
unlikely to advance in the Senate. An earlier version, introduced in February, didn’t attract broad support. This type
of legislation needs 60 votes
to surmount a filibuster, with
Democrats and some Senate
Republicans likely opposed.
Many lawmakers support the
family-based
immigration
rules, which aid those already
in the country who want to
bring loved ones to the U.S.
Messrs. Perdue and Cotton
say their proposal would lift the
wages of the working-class
Americans by restricting migration of low-skilled workers and
prioritizing those with advanced
skills, similar to systems in
place in Australia and Canada.
Australia’s and Canada’s
systems offer a greater pro-
refugees granted residency
over the past 13 years.
Speaking to reporters, as
aides looked on, Mr. Trump
called the bill “the most significant reform to our immigration system in half a century.”
Mr. Cotton struck a different tone a few minutes later
outside the White House. The
proposal to curb green cards
is a “relatively modest, incremental step,” Mr. Cotton said.
A White House aide defended the administration’s
proposal in a combative briefing with reporters Wednesday
afternoon, denouncing questions about whether the proposal would undermine the
U.S.’s historical role as a destination for people in need. The
aide, Stephen Miller, is a longtime proponent of a reduction
in immigration.
“Maybe it’s time we had
compassion for American
workers,” Mr. Miller said in response to a reporter who
asked for evidence that immigration was depressing American workers’ wages.
Opponents of the measure
said the bill would undermine
the compassion that some see
as central to the U.S. immigration system, and pointed to
the pro-immigration views of
many economists.
GOP Sens. Tom Cotton, left, and David Perdue on Wednesday unveiled their bill to curb immigration.
The blue-chip index
on Wednesday
claimed its 32nd
record close of the year.
and trade. Europe also is perking up, with second-quarter
data this week showing that
the eurozone economy had
gathered pace, a recovery that
could encourage the European
Central Bank to decide in the
fall to scale back its bond-buying program.
The International Monetary
Fund most recently projected
global gross domestic product
growth at 3.5% for 2017, up
from 3.4% last July. The IMF
raised growth estimates for
China, citing strong credit
growth and fiscal support, and
the euro area, highlighting diminishing political risks there.
Meanwhile, the IMF lowered
CORRECTIONS AMPLIFICATIONS
JD.com isn’t on the U.S.
government’s Notorious Markets List of websites that authorities allege frequently sell
counterfeit goods. A Business
News article on Monday about
French fashion house Saint
Laurent launching online sales
in China incorrectly implied
that the sale of counterfeit
goods on JD.com’s websites is
widespread.
Karen Hutton, chief executive of Hutton Cos., didn’t provide comment for a Property
Report article on July 26 about
the company’s sale of four WalMart Neighborhood Markets locations in Tennessee. Based on
incorrect information provided
in a draft news release from a
firm hired by Hutton’s real-es-
tate broker, the article wrongly
quoted Ms. Hutton as saying,
“It’s been a profitable and highprofile assignment for us to invest in, build and now offer for
sale these Wal-Mart occupied
stores that have brought with
them jobs, lower prices, and
convenience to many communities where the closest grocery
store was sometimes 100 miles
or more distant from where
customers live.”
Office rents in some of
Barcelona’s 22@ District’s
buildings are as high as $21.93
for 10 square feet. An International Property Report article
on Wednesday about Barcelona incorrectly said the rents
were as high as $23.46 for 10
square feet.
Readers can alert The Wall Street Journal to any errors in news articles by
emailing wsjcontact@wsj.com or by calling 888-410-2667.
over the decades the AI label has been slapped on
whatever the frontier of
computing is at the time.
Today is no different. If you
took statistics in college,
you learned how to use inputs to predict an output,
such as mortality based on
body mass, cholesterol and
smoking. You added or removed inputs to improve
the “fit” of the model.
Machine learning is statistics on steroids: It uses
powerful algorithms and
computers to analyze far
more inputs.
AI has already made
some skills obsolete. Google
Translate is faster, cheaper
and often as good as a human interpreter. Yet as AI
gets cheaper, so its potential applications will grow.
Just as better weather forecasting makes us more willing to go out without an
umbrella, Mr. Manzi says, AI
emboldens companies to
test more products, strategies and hunches.
Mr. Manzi should know.
He co-founded a company,
Applied Predictive Technologies, to test companies’
strategies using AI, and sold
it to Mastercard Inc. for
$600 million in 2015. It’s
still hiring.
U.S. WATCH
FEDERAL RESERVE
Official: Labor Trends
Support Fed Plans
Eric Rosengren, president of
the Federal Reserve Bank of
Boston, said increasingly tight labor markets should keep the U.S.
central bank on its path to gradually raise rates and start slowly
shrinking its portfolio of bonds
and other assets, despite a surprising pause in inflation pressures this spring.
While the Federal Reserve’s
preferred inflation gauge has
shown price pressures have
eased since March, Mr. Rosengren—who isn’t a voting member
of the Fed’s rate-setting committee this year—said in an interview he was more focused on
longer-run trends in labor markets, which argue for continued
rate increases, than on monthto-month inflation figures.
—Nick Timiraos
LABOR RELATIONS
Trump Nominee to
NLRB Is Confirmed
The Senate approved
Wednesday evening one of President Donald Trump’s two nominees for the National Labor Relations Board, on a party-line vote.
Senators confirmed attorney
Marvin Kaplan, on a 50-48 vote,
for a position on the five-member board that referees disputes
between unions and employers.
His confirmation splits the board
evenly between Republicans and
Democrats.
Mr. Trump’s second nominee
for the board, William Emanuel,
hasn’t yet been scheduled for a
vote. The Senate’s labor committee advanced his nomination
alongside Mr. Kaplan’s on July 19.
Democrats had controlled the
board since 2010, when President Barack Obama’s nominees
were confirmed.
—Eric Morath
THE WALL STREET JOURNAL
(USPS 664-880)
(Eastern Edition ISSN 0099-9660)
(Central Edition ISSN 1092-0935)
(Western Edition ISSN 0193-2241)
Editorial and publication headquarters:
1211 Avenue of the Americas,
New York, N.Y. 10036
Published daily except Sundays and general
legal holidays. Periodicals postage paid at
New York, N.Y., and other mailing offices.
Postmaster: Send address changes to
The Wall Street Journal, 200 Burnett Rd.,
Chicopee, MA 01020.
All Advertising published in The Wall Street
Journal is subject to the applicable rate card,
copies of which are available from the
Advertising Services Department,
Dow Jones & Co. Inc., 1211 Avenue of
the Americas, New York, N.Y. 10036. The
Journal reserves the right not to accept an
advertiser’s order. Only publication of an
advertisement shall constitute final acceptance
of the advertiser’s order.
Letters to the Editor:
Fax: 212-416-2891; email: wsj.ltrs@wsj.com
NEED ASSISTANCE WITH
YOUR SUBSCRIPTION?
CONTACT CUSTOMER SUPPORT.
By web: customercenter.wsj.com
By email: wsjsupport@wsj.com
By phone: 1-800-JOURNAL (1-800-568-7625)
Or by live chat at wsj.com/livechat
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | A3
* * * * *
U.S. NEWS
By Melissa
Korn, Nicole Hong
and Beth Reinhard
An internal job posting calls
for employees to work on “investigations and possible litigation
related to intentional race-based
discrimination in college and university admissions.” The job posting, reviewed by The Wall Street
Journal, said candidates should
be available to start work in two
weeks.
The move unnerved some
school administrators, college
lawyers and civil rights groups
because they are worried it signals a major shift away from
helping traditionally disadvantaged minorities, including African-Americans and Hispanics,
through race-conscious admissions policies.
Many education lawyers believed a 2016 Supreme Court ruling on the subject had quieted
some of the controversy surrounding affirmative action.
It wasn’t immediately clear
who listed the job opening, as it
wasn’t approved by top Justice
Department officials, according to
a person familiar with department policy. The New York Times
reported earlier on news of the
job posting. The connection to
the Harvard case hasn’t been previously reported.
Justice Department spokeswoman Sarah Isgur Flores said
the complaint, unresolved by the
Obama administration, was filed
by a coalition of 64 Asian-Ameri-
The move raised
questions about a
government shift on
affirmative action.
can associations alleging racial
bias in Harvard’s admissions policies. She said the potential intervention didn’t indicate a sweeping policy change, despite some
civil-rights groups’ concerns.
“This Department of Justice
has not received or issued any directive, memorandum, initiative,
or policy related to university admissions in general,” she said in a
statement. “The Department of
Justice is committed to protecting all Americans from all forms
of illegal race-based discrimination.”
“Harvard’s admissions process
considers each applicant as a
whole person, and we review
many factors, consistent with the
legal standards established by the
U.S. Supreme Court,” spokeswoman Melodie Jackson said. “To
become leaders in our diverse society, students must have the
ability to work with people from
different backgrounds, life experiences and perspectives. Harvard
remains committed to enrolling
diverse classes of students.”
Civil rights groups and supporters of college diversity initiatives quickly criticized what they
saw as a potential new Justice
Department effort. An ostensible
push on behalf of Asian-Americans, who are often well-represented at colleges and universities, could be an indirect way to
cut back on programs that help
historically disadvantaged groups,
they fear.
“The idea that the Justice Department would sue colleges over
their inclusive policies is an affront to fairness and sends a dangerous signal that it will no longer work to protect the most
vulnerable,” said Dennis Parker,
director of the American Civil
Liberties Union’s Racial Justice
Program, in a statement. He said
the move “would mark an alarming shift in direction.”
Conservative groups that have
criticized affirmative action policies expressed optimism about a
Justice Department shift.
“My organization and other
conservatives have urged the
Trump administration to cast a
more skeptical eye on politically
correct racial discrimination than
was cast by the Obama administration,” said Roger Clegg, president and general counsel of the
conservative legal group Center
for Equal Opportunity.
Hard-hit city spruces
up and expands
college options to
attract workforce
BY SHAYNDI RAICE
WICHITA, Kan.—This sunbaked central Kansas city has
long been a center of aircraft
manufacturing, with sprawling
facilities for companies like
Textron Inc. and Spirit AeroSystems Holdings Inc. dotting
the landscape.
Manufacturing jobs largely
supported by aircraft makers
have fallen to 52,000 as of
June from a high of 69,000 in
July 2008, when demand for
business jets was hit hard by
the financial crisis, prompting
a wave of pink slips.
Now the city of 390,000 is
scrambling to scare up enough
workers to keep the factories
humming.
“When people lost their
jobs, they either found other
types of work or left town,”
explains Dave Franson, president of the Wichita Aero Club
and a former executive at
Cessna, a unit of Textron. “You
have what has been an eight
or nine year gap of people migrating away.”
Wichita, known as the “air
capital of the world,” is working with the industry to train
thousands of new workers
while sprucing up downtown
in an attempt to make it a
place where people want to
stay—and to dissuade companies from shipping the jobs
overseas.
In recent years, Wichita
State University bulldozed a
former golf course to double
its size and build an “innovation campus” focused on the
aviation industry. Airbus SE
moved its local headquarters
there so interns could study
and work at the same time.
And the local technical college
has partnered with the industry to offer free tuition to help
train and supply workers.
Meanwhile, the city is
working with the private sector and nonprofits to invest in
parks, a bike-share program, a
new baseball stadium and a
luxury apartment building to
try to attract more talent to
the city and make the downtown area more livable.
“We’re no longer going to
play in this traditional incentive game and offering cash to
companies,” said Mayor Jeff
Longwell. “We think quality of
life will do more.”
The problems in Wichita
mirror those in other manufacturing areas, where a skills
gap has emerged due in part
to aging workers and changing
technology. But the turbulent
aviation industry—which is
easily affected by economic
cycles—adds another wrinkle
to the challenge.
The labor shortage doesn’t
AMY KONTRAS FOR THE WALL STREET JOURNAL (2)
The Justice Department is
seeking attorneys to investigate
racial bias in college admissions
as the agency prepares to review
a 2015 complaint that claims Harvard University discriminates
against Asian-American applicants.
Wichita Aims to Tackle Skills Gap
Jeff Fisher, manager of the virtual reality lab at Wichita State University, uses a fly stick to assemble and disassemble a 3-D model
of an aircraft engine, above. Below, workers assemble the fuselages of Boeing 737s at Spirit’s plant in Wichita, Kan.
appear to have had much of an
effect on pay—puzzling economists, who say weak inflation,
slowing productivity and the
effects of globalization may be
holding back wage growth. Average weekly wages in 2016
were up 1.4% in the manufacturing sector in Kansas from a
year earlier, according to Bureau of Labor Statistics data.
David St. Pierre, a 44-yearold jet mechanic, has been laid
off nine times and moved five
times in search of work since
1996. He came back to Wichita
in 2011—his third stint living
in the city.
Now, he is one of 459 employees receiving help from
his employer, Textron, to get
new training and certification,
in his case for an airframe and
power-plant license.
“If you’re willing to transfer
back and forth, there’s work,”
said Mr. St. Pierre, standing in
Wichita Area Technical College’s airplane hangar lab. In
addition to a big salary bump,
he is hoping the new credential will make it easier to find
a new job locally the next time
the industry hits bumpy skies
so he won’t have to move his
wife and four children.
WATC, with funding and
support from the industry, last
year launched a tuition-free
program whose courses include sheet metal assembly
and composite technology.
In 2012, when officials first
woke up to the coming skills
gap, concern was deep.
“There was a massive panic
in Kansas,” said John Tomblin,
executive director of Wichita
State University’s National Institute for Aviation Research,
prompting the building boom
that saw the school expand
onto the golf course and Airbus’s move to campus.
‘The Air Capital
Of the World’
Wichita, with a flat landscape and a concentration of
early aviation entrepreneurs
like Walter Beech and Clyde
Cessna, emerged as a hub for
aircraft making in the 1920s
and 1930s, becoming the largest city in Kansas.
But technological advances
and a sharp downturn in business jets after 2008 has
taken Wichita’s workers on an
employment roller coaster.
Beechcraft went bankrupt and
was bought by Textron Inc.
Boeing Co., a presence in
Wichita for over eight decades, closed its doors in
2012, citing defense cuts.
Now things are starting to
look up, especially for commercial aircraft.
Spirit AeroSystems Holdings
Inc. is delivering 47 fuselages as
well as engine and wing parts
for Boeing 737s each month—
and Boeing wants more next
year. Spirit will hire 300 new
workers by the end of March.
It isn’t easy finding people
to fill all those jobs. And an aging workforce means the company needs to be prepared for
an exodus of skilled workers.
Justin Welner, vice president
of human resources for Spirit,
said that one-third of his 10,000
plant employees are eligible for
retirement. “Behind them, the
younger generation doesn’t have
the same kind of affinity for
that kind of work,” he said. “It’s
been harder and harder to recruit experienced mechanics.”
—Shayndi Raice
U.S.-China Trade Dispute
Divides Technology Firms
BY JACOB M. SCHLESINGER
AND BOB DAVIS
WASHINGTON—In targeting
China’s voracious pursuit of
American intellectual property,
the Trump administration is
picking a trade fight that unites
the ideological spectrum.
Democrats,
Republicans,
free-traders, protectionists, and
business groups have all
slammed Beijing for demanding
technology transfers in return
for access to its market, and
they have pleaded with Washington for a tougher response.
Behind that broad consensus
lies uncertainty about a solu-
tion, indicating difficulties
ahead for Trump aides as they
try to craft a policy that does
more to protect the high-tech
industry’s future without sacrificing business right now—and
without destabilizing the global
trading system.
“There’s no company in this
sector that doesn’t think this
isn’t a problem,” said a Washington lobbyist for a large U.S.
tech firm. “But there’s a real division with respect to what we
want the U.S. government to do
about it, if anything.”
One option under discussion
is for President Donald Trump
to issue an executive order di-
KEVIN LAMARQUE/REUTERS
Justice
To Review
Racial Bias
Complaint
The U.S. trade representative, Robert Lighthizer, may be asked to
launch an investigation into Beijing’s requirements.
recting his U.S. trade representative, Robert Lighthizer, to
launch a formal investigation
into Beijing’s myriad formal
and informal requirements that
pressure foreign firms to turn
over key technologies to do
business in China.
U.S. industry is split over
how to respond to Chinese
pressure. A number of U.S.
technology firms are looking to
hook up with Chinese companies, given the size of the market and the commitment of the
government to expand the domestic industry. In a flurry of
announcements in late May,
three foreign firms announced
joint ventures in China, including Qualcomm Inc., which is
partnering with state-owned
Datang Telecom.
Intel Corp. has been aggressive in pushing for tougher reviews of Chinese acquisitions
of U.S. technology, say U.S. and
industry officials. It has been
cautious about airing concerns
publicly for fear Beijing will
block them from the world’s
biggest semiconductor market.
International Business Machines Corp. has taken a softer
line. Chris Padilla, an IBM vice
president, said in May that
while the U.S. should insist on
a principle of reciprocity when
it comes to investment, he
doesn’t back import tariffs
aimed at China.
Joseph Gann Jewelers Boston, MA | Schiffman’s Winston-Salem, NC
Danson Jewelers Hasbrouck Heights, NJ | Desires By Mikolay Chappaqua, NY
Tourneau – Time Machine, NYC, King of Prussia Mall, PA
Bellman Jewelers Manchester, NH | Lamon Jewelers Knoxville, TN
A4 | Thursday, August 3, 2017
P
W
L
C
10
11
12
H
T
G
K
B
F
A
M
1
2
3
4
5
6
7
8
9
O
I
X
X
*****
THE WALL STREET JOURNAL.
U.S. NEWS
Trump Signs Russia Sanctions Bill
Legislation, with wide
support in Congress,
also imposes curbs on
Iran and North Korea
BY NATALIE ANDREWS
AND REBECCA BALLHAUS
Kushner Cos., the New York
property development business owned by the family of
President Donald Trump’s sonin-law, Jared Kushner, has
been subpoenaed by New York
federal prosecutors regarding
an investment-for-immigration
program, according to people
familiar with the matter.
By Erica Orden, Aruna
Viswanatha
and Byron Tau
ZACH GIBSON/PRESS POOL
WASHINGTON—Even
as
President Donald Trump signed
a bill Wednesday imposing
tough sanctions on Russia for
interfering in the 2016 election,
he called the law “seriously
flawed” and said parts limiting
his power to lift the penalties
were unconstitutional.
The measure marks some of
the strongest action Congress
has taken against Russia since
the Cold War, and Mr. Trump
said he signed it “for the sake
of national unity.” But in a pair
of statements released after
the signing, he said the bill,
which requires the president
to notify Congress if he wants
to lift sanctions on Moscow,
was “seriously flawed.”
“By limiting the Executive’s
flexibility, this bill makes it
harder for the United States to
strike good deals for the
American people, and will
drive China, Russia, and North
Korea much closer together,”
he said in a statement that
ended: “I built a truly great
company worth many billions
of dollars.... As President, I can
make far better deals with foreign countries than Congress.”
The signing comes as relations between the U.S. and
Moscow are at a low point. In
response to the sanction bill’s
passage, the Kremlin last week
ordered the U.S. Embassy in
Moscow to reduce its staff by
hundreds. On Wednesday, Russian Prime Minister Dmitry
Medvedev described the new
U.S. sanctions as “a declaration
of a full-fledged economic war
on Russia,” and promised con-
President Donald Trump, who signed a new sanctions bill on Wednesday, called parts of the law unconstitutional.
sequences for U.S.-Russian relations.
“The Trump administration
has shown its total weakness by
handing over executive power
to Congress in the most humiliating way,” read a message on
his official Twitter account.
The bill, which also imposes
sanctions on Iran and North
Korea, passed the Senate last
Thursday in a 98-2 vote. The
same bill passed the House
last week, 419-3. The wide
margins served as a signal to
the president that Congress
could easily override a veto
should he choose to block the
legislation.
As the measure was being
debated on Capitol Hill, White
House officials warned that it
could infringe on presidential
authority and wouldn’t say
whether Mr. Trump would sign
it.
The bill includes a provision
that would require the president to consult Congress before
relaxing any sanctions against
Moscow or restoring Russia’s
control over diplomatic compounds in the U.S. that had
been seized by the Obama administration as part of U.S. reprisals for the election interference cited by multiple U.S.
intelligence agencies.
Once the White House has
notified Congress, lawmakers
would need 30 days to pass a
resolution of disapproval if they
wanted to stop the president
from lifting sanctions. Should
the president veto that resolution, Congress would have 10
days to override the veto.
Mr. Trump didn’t hold a
signing ceremony for the bill,
instead signing it behind
closed doors and issuing two
statements—one designed to
carve out his legal authority to
implement the law and one
used to make political attacks
on Congress—before holding a
separate event proposing
changes to U.S. immigration
policy. In a barb directed at
lawmakers, he wrote: “Congress could not even negotiate
a health-care bill after seven
years of talking.”
While signing statements
have been used by previous
presidents to disagree with or
challenge legislation that Congress has passed, Mr. Trump’s
were widely considered unusual
in their tone and reference to
his personal businesses.
Asked about the president’s
reaction to the bill, Sen. Bob
Corker (R., Tenn.), chairman of
the Senate Foreign Relations
Committee, shrugged and said:
“Whatever.”
The strong support of the bill
in the House and Senate reflects
abiding distrust between Mr.
Trump and Congress over how
to deal with Moscow.
According to a January report from the U.S. intelligence
community, Russia’s interference was directed from the
highest levels of its government. Its tactics included
hacking state election systems,
infiltrating and leaking information from party committees
and political strategists and
disseminating through social
media and other outlets negative stories about Democratic
nominee Hillary Clinton and
positive ones about Mr.
Trump, the report said.
Mr. Trump has expressed
skepticism about the findings.
Russia has denied the allegations.
—Paul Sonne
contributed to this article.
U.S. Payments to Insurers in Cross Hairs
GENES
Continued from Page One
Science University, the Salk Institute for Biological Studies
and Korea’s Institute for Basic
Science, used embryos created
from healthy egg donors and
sperm donated by an adult
male who has the gene mutation and a family history of
HCM. The donors were recruited in Oregon, and the gene
editing was done in the U.S.,
according to a spokesman for
OHSU.
The embryos, created for research, weren’t implanted in a
woman, according to the researchers, who reported their
findings Wednesday in the
journal Nature.
The study results raise ethical questions because they involve changes to the human
germ-line, the genes of sperm,
eggs or embryos. Scientists and
bioethicists have called for caution in editing the germ-line
because such changes would
not only alter the individual
but also be passed to future
generations.
Regulatory agencies have
been willing to consider testing
Crispr-Cas9 therapies that treat
diseases in individuals. But the
U.S. Food and Drug Administration is prohibited by law from
using funds to accept applications for research using gene
editing of the human germ-line.
ANDREW HARRER/BLOOMBERG NEWS
BY LOUISE RADNOFSKY
AND MICHELLE HACKMAN
WASHINGTON—The health
industry is heading into a pivotal few weeks that will determine whether the White House
keeps making billions of dollars
in payments to insurers or
whether Congress will take
over responsibility for them—
decisions that rest on complex
political calculations.
President Donald Trump regularly decries the “cost-sharing
reduction” payments as insurer
bailouts, but he has so far kept
making them. Republicans in
Congress sued President Barack
Obama to end them, but many
now hope Mr. Trump will continue them. And congressional
Democrats, who openly favor
the payments, failed to lock
them in when they could.
“The fracas over the costsharing reductions exemplifies
the kind of circus atmosphere
that we’ve seen surrounding the
Affordable Care Act since the
Kushner
Family
Firm Gets
Subpoena
A bipartisan group of lawmakers in Congress aims to authorize
the cost-sharing payments through the end of 2018.
very beginning,” said Nicholas
Bagley, a University of Michigan
law professor. Mr. Bagley believes the payments should be
funded, but said on the legal issues involved, “there’s a lot of
blame to go around.”
In the latest development,
the U.S. Court of Appeals for
District of Columbia Circuit is
allowing 18 Democratic state attorneys general to intervene in
a lawsuit filed by House Republicans in 2014 that contended
the payments were improper
because Democrats had failed
to explicitly authorize them
when crafting the 2010 Afford-
able Care Act.
A federal judge backed that
GOP argument in 2016 but allowed the payments to continue
until the litigation concludes;
the intervention, granted late
Tuesday, means the lawsuit
cannot simply conclude because
the federal government stops
defending it.
The payments are an integral
part of the ACA, which Republicans have spent months seeking
to overturn. The payments reimburse insurers for subsidizing the premiums and other
costs of millions of low-income
consumers who buy insurance
under the ACA.
Some insurers say they have
based their premiums and coverage decisions on the assumption the payments will continue; without the funds, they
say they will raise rates or pull
out of some markets.
That has left some Republicans hoping that Mr. Trump
won’t make good on his nearmonthly threats to cut the pay-
ments, which the president has
suggested could bring lawmakers and insurers back to the table to continue efforts to repeal the ACA.
The administration dispenses the payments to insurers toward the end of each
month, giving the president
several more weeks before he
must decide whether to proceed
with the August payment. Some
White House officials have suggested Mr. Trump may announce a decision before then.
“I guess I’m hopeful that the
administration, the president,
will keep paying them. And if he
doesn’t, then I guess we’ll have
to figure out from a congressional standpoint what we do,”
said Sen. John Thune (R., S.D.),
a member of the Senate GOP
leadership team, on Monday.
—Natalie Andrews
and Siobhan Hughes
contributed to this article.
Molina to exit two states’
ACA exchanges......................... B3
Rewriting the Code
Scientists can use the gene-editing technology called Crispr-Cas9 to correct disease-causing mutations. Here’s how it works:
RNA
Cas9
DNA helix
New genetic
material
A chunk of RNA is programmed to
look for a specific problem segment of
DNA. It is paired with a natural protein
called Cas9 taken from bacteria, where
it functions as a genetic scalpel.
Once inserted into a cell, the
RNA/Cas9 combination looks for a
DNA sequence that matches its RNA.
When it finds a match, the Cas9 cuts
both strands of the DNA
Source: Innovative Genomics Initiative
A report published this year
from an international ethics
committee sponsored by the
U.S. National Academy of Sciences and the National Academy of Medicine concluded
that germ-line editing might
someday be permitted, with
limits. Among the committee’s
recommendations were that
the technique be used to treat
only serious conditions and
only when other options aren’t
available.
Once studies are published
in the scientific literature,
other groups try to replicate
them. Some countries might
Repair enzymes can fill and seal the
gap in the DNA with new genetic
information to change the underlying
genetic code.
THE WALL STREET JOURNAL
permit the work eventually to
move forward to clinical trials.
A U.K. fertility regulatory authority granted permission to
researchers editing human embryos with Crispr for research
purposes. Chinese scientists
have pushed ahead with Crispr
research in human embryos.
Jeffrey Kahn, director of the
Johns Hopkins Berman Institute of Bioethics and a member
of the National Academy committee, said this new paper is
“pushing hard on the international conversation.” An international summit on gene editing is scheduled for early 2018
in Shanghai or Beijing, he said.
There is disagreement
among this study’s researchers
about how quickly such research should move forward.
Juan Carlos Izpisua Belmonte, a professor in Salk’s
Gene Expression Laboratory, a
corresponding author of the
paper and a member of the international ethics committee,
said the results are promising
but “the research should stay
in the lab where scientists can
improve the technologies.”
Shoukhrat Mitalipov, a senior author of the paper from
Oregon Health, said although
more work needs to be done
to replicate the results, his
goal is to have clinical trials
involving the transfer of embryos into the womb to produce pregnancy and the birth
of healthy children.
“We would like to do regulated clinical trials,” said Dr.
Mitalipov. He worries U.S. prohibitions might lead to the
technology’s use in “unregulated areas, which should not
be happening.”
The Crispr system works by
targeting a specific spot in DNA
and cutting it. Healthy DNA can
then be used to replace the
The subpoena concerns at
least one Jersey City, N.J., development financed in part by
a federal visa program known
as EB-5: twin, 66-floor towers
called One Journal Square,
said a person familiar with the
request.
A spokesman for the Brooklyn U.S. attorney’s office,
which issued the subpoena,
declined to comment. The
Kushner Cos. general counsel,
Emily Wolf, said in a statement
that “Kushner Companies utilized the program, fully complied with its rules and regulations and did nothing
improper. We are cooperating
with legal requests for information.”
The subpoena, received by
the company in May, was a
document request that included a demand for emails,
said a person familiar with it.
It isn’t clear what potential violations are being probed.
In early May, the company
drew attention for a marketing
campaign in Beijing and
Shanghai that solicited Chinese investors for One Journal
Square, saying that up to 300
individuals who put $500,000
each into the project could be
eligible for green cards under
the federal EB-5 program.
The EB-5 program has been
at the center of debate. Critics
say the program is being used
to boost wealthier areas of the
country instead of aiding
poorer ones as intended. A
green card permits a foreign
national to live and work in
the U.S. indefinitely.
Kushner Cos. used the EB-5
program for another Jersey
City property known as Trump
Bay Street. It is unclear
whether the subpoena concerned that project as well.
The marketing push in
China was led by Mr. Kushner’s
sister Nicole Meyer, a principal
at Kushner Cos., and included
a video clip and photo of Mr.
Trump, the Journal reported in
May. Ms. Meyer mentioned Mr.
Kushner in her sales pitch, the
New York Times reported.
After the public criticism,
the company said that “Ms.
Meyer wanted to make clear
that her brother had stepped
away from the company in
January and has nothing to do
with this project.” Mr. Kusher
is a White House senior adviser now.
faulty gene when the cell repairs the cut. The technology
holds great promise for treating many diseases.
The technology has sparked
a rush of investment into companies poised to take advantage of Crispr. Hundreds of millions of dollars have been
invested in for-profit startups
founded by scientists whose academic institutions are now
warring with each other over
the patent.
Previous experiments have
run into problems. Sometimes
the Crispr system made cuts in
unintended spots of the DNA,
which can potentially introduce
other health issues. Other concerns occur when only some of
the embryo cells are repaired,
called mosaicism.
By experimenting at an
early stage, researchers in the
Nature study avoided some of
those issues and reported they
corrected the mutation in 42
of 58 embryos, or 72.4%. They
were able almost to eliminate
mosaicism except in one embryo.
Some scientists caution it is
still far too early to move out
of the lab. “They got 72% of
what they wanted, which is
way better than what anyone
has seen before but is not good
enough,” said Paul Knoepfler, a
stem cell biologist at UC Davis
School of Medicine. “You need
to be close to perfect to really
ever try this in an actual human reproductive context.”
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | A5
INDEX INVESTORS
KNOW VALUE
WHEN THEY SEE IT.
Fidelity® stock and bond index mutual funds and sector ETFs have lower expenses than comparable
Vanguard® funds and we have more commission-free ETFs available for purchase online. Plus, we offer
24/7 customer service online or by phone,2 and were named Barron’s 2017 Best Online Broker.
Value—it’s the Fidelity difference.
Please see Fidelity.com/beatsVanguard for a full comparative product listing.
FIDELITY® INDEX FUNDS & ETFS
FUND NAME
VANGUARD® INDEX FUNDS & ETFS
FUND NAME
EXPENSE
RATIO 1
EXPENSE
RATIO 1
Fidelity 500 Index Fund (FUSVX)
.035%
.040%
Vanguard 500 Index Fund (VFIAX)
Fidelity Total Market Index Fund (FSTVX)
.035%
.040%
Vanguard Total Stock Market Index Fund (VTSAX)
Fidelity Extended Market Index Fund (FSEVX)
.070%
.080%
Vanguard Extended Market Index Fund (VEXAX)
Fidelity International Index Fund (FSIVX)
.060%
.070%
Vanguard Developed Markets Index Fund (VTMGX)
Fidelity U.S. Bond Index Fund (FSITX)
.045%
.050%
Vanguard Total Bond Market Index Fund (VBTLX)
Fidelity MSCI Health Care Index ETF (FHLC)
.084%
.100%
Vanguard Health Care ETF (VHT)
Fidelity MSCI Information Technology
Index ETF (FTEC)
.084%
.100%
Vanguard Information Technology ETF (VGT)
Fidelity MSCI Energy Index ETF (FENY)
.084%
.100%
Vanguard Energy ETF (VDE)
Fidelity MSCI Financials Index ETF (FNCL)
.084%
.100%
Vanguard Financials ETF (VFH)
Fidelity MSCI Industrials Index ETF (FIDU)
.084%
.100%
Vanguard Industrials ETF (VIS)
PREMIUM SHARE CLASS$10,000 MINIMUM INVESTMENT†
ADMIRAL SHARE CLASS$10,000 MINIMUM INVESTMENT†
Mutual Funds
ETFs
Fidelity beats Vanguard on expenses on 17 of 17 comparable stock and bond index funds and 11 of 11 comparable sector ETFs. Comparisons based on fund expense ratios
only. Please consider other important factors including that each fund’s investment objectives, strategy, and index tracked to achieve its goals may differ, as well as each fund’s
features and risks.
Please see below for additional important details.
Compare and see for yourself.
Fidelity.com/beatsVanguard | 800.FIDELITY or call your advisor.
Free commission offer applies to online purchases of 88 Fidelity ETFs and select iShares ETFs in a Fidelity brokerage account which may require a
minimum opening balance of $2,500. The sale of ETFs is subject to an activity assessment fee (from $0.01 to $0.03 per $1,000 of principal). iShares ETFs
and Fidelity ETFs are subject to a short-term trading fee by Fidelity if held less than 30 days. ETFs are subject to management fees and other expenses.
1
Total annual fund operating expense ratio as of August 1, 2017, per fund prospectus.
IMPORTANT FEE INFORMATION: Certain of Fidelity’s stock and bond index mutual funds have maximum short-term redemption fees of up to 1.5% for
eligible shares held less than 90 days, and both Fidelity and Vanguard may deduct fees for low-balance fund accounts.
†
Fidelity and Vanguard offer other share classes of these funds with different investment minimums and expense ratios.
For iShares ETFs, Fidelity receives compensation from the ETF sponsor and/or its affiliates in connection with an exclusive long-term marketing program that includes promotion of iShares ETFs and inclusion of iShares
funds in certain FBS platforms and investment programs. Additional information about the sources, amounts, and terms of compensation can be found in the ETF’s prospectus and related documents. Fidelity may add or
waive commissions on ETFs without prior notice. BlackRock and iShares are registered trademarks of BlackRock, Inc., and its affiliates.
Barron’s, March 18, 2017, Online Broker Survey: Fidelity was evaluated against 15 others and earned the top overall score of 35.6 out of a possible 40.0. Fidelity was also named Best for Long-Term Investing (tied with two
others), Best for Novices (tied with one other), and Best for Investor Education (tied with two others), and was ranked first in the following categories: Trading Experience & Technology (tied with two others), Mobile (tied
with one other), Research Amenities, and Portfolio Analysis & Reports (tied with two others). Overall ranking based on unweighted ratings in the following categories: Trading Experience & Technology; Usability; Mobile;
Range of Offerings; Research Amenities; Portfolio Analysis & Reports; Customer Service, Education, Security; and Costs.
2
System availability and response times may be subject to market conditions.
Third-party trademarks and service marks are the property of their respective owners. All other trademarks and service marks are the property of FMR LLC or its affiliated companies.
Investing involves risk, including risk of loss.
Before investing in any mutual fund or exchange-traded fund, you should consider its investment objectives, risks, charges, and expenses.
Contact Fidelity for a prospectus, an offering circular, or, if available, a summary prospectus containing this information. Read it carefully.
Fidelity Brokerage Services LLC, Member NYSE, SIPC. © 2017 FMR LLC. All rights reserved. 809190.1.0
A6 | Thursday, August 3, 2017
* ***
THE WALL STREET JOURNAL.
WORLD NEWS
Poll that created body
to rewrite constitution
was ‘manipulated,’ says
software company
CARACAS—Venezuelan authorities tampered with votes
during an election this week to
pick a 550-member body to rewrite the country’s constitution, said the London-based
company that provided voting
software and electronic machines for the poll.
By Kejal Vyas,
José de Córdoba
and Mayela Armas
“We are convinced this is
the first time there has been
fraud in any election that we
have been involved with,”
Mark Malloch-Brown, chairman of Smartmatic, said in an
interview on Wednesday. He
spoke after the company disclosed that officials doctored
more than one million of the
8.1 million votes the government said were cast.
The
revelations
from
Smartmatic, which provides
voting software to governments worldwide, cast further
doubt over the legitimacy of
Sunday’s election of a powerful constituent assembly
staffed with loyalists to Venezuelan President Nicolás Maduro.
The U.S. and many European and Latin American
countries condemned that
vote as illegitimate and conducted in an atmosphere of intimidation and human-rights
abuses. The Trump administration has imposed sanctions
on Mr. Maduro and other top
officials in recent days.
The government had intended to draw millions to the
polls and outflank the opposition, which on July 16 said
more than 7.5 million Venezuelans voted to reject the assembly in an unauthorized referendum. The assembly, which
was to have convened on
NATHALIE SAYAGO/EFE/ZUMA PRESS
Voting Firm Says Venezuela Rigged Ballot
Venezuelan first lady Cilia Flores, above, with supporters, spoke
about the new constituent assembly in Caracas on Wednesday.
Wednesday, has broad powers
over every institution in the
country, including the opposition-controlled congress.
By late Wednesday, a string
of Venezuelan officials were
denouncing Smartmatic as being part of an international
destabilization
campaign
against the Venezuelan government.
“These types of lies are
planted so that the whole
world attacks Venezuela,” said
Jorge Rodríguez, a top aide to
Mr. Maduro who has long had
a role in overseeing elections
in Venezuela.
During the election process,
the company said authorities
barred it from carrying out a
biometric fingerprint audit of
the results and there were no
independent
international
monitors. The machines themselves weren’t tampered with,
Mr. Malloch-Brown said.
The company’s voting system requires independent auditors to compare voter receipts from each polling
station with an official tally,
but there were none. The opposition, which usually has officials at voting stations, boycotted the vote because its
leaders said the election was
stacked in the government’s
favor.
“Our belief is that because
there were no observers at the
stations, a number was announced that had no relationship to that of the number the
machines had counted,” said
Mr. Malloch-Brown, a member
of Britain’s House of Lords. “It
would have been routine to do
a fingerprint audit to make
sure the machine operators
did not allow people to vote
twice.”
Smartmatic’s employees left
the country before the company announced the fraud in a
London press briefing on
Wednesday, said Mr. MallochBrown. “We thought it was
prudent to do so given the
current state of heightened
political emotion in the country,” he said.
A person familiar with the
Smartmatic system and how
the vote was carried out on
Sunday said that the machines
registered between 6 million
and 7 million votes.
But he said the company
had no way to determine
whether election participants
voted multiple times because
voters weren’t required to
vote in the neighborhood polling station where they were
registered and no final tally
was made available.
Fears rise of a Venezuelan
default............................................. B1
Brazil’s President Beats Back Corruption Charges
BRASÍLIA—Brazilian President Michel Temer fended off
corruption charges against
him in a landmark congressional vote Wednesday, allowing
the country’s embattled political establishment to preserve
its tenuous hold on power.
The lower house of Congress, where over a third of
lawmakers are also under investigation for various crimes,
voted by a large margin to reject bribery charges against Mr.
Temer, preventing his case
from going to trial at the Supreme Court.
With an approval rating of
just 5%, Mr. Temer has relied
on his skills as a deft backroom
negotiator to survive, luring
lawmakers with funds for their
cash-strapped states. Meanwhile, protests have waned as
demonstrators have grown
weary of the country's prolonged political and economic
turmoil.
Mr. Temer’s victory allows
the leader to push ahead with
economic changes aimed at relieving Brazil’s fiscal crisis. But
corruption watchdogs condemned the result of the vote—
the first of its kind in the country’s history—as a setback for
the nation’s institutions and
Brazil’s recent efforts to tackle
what they say is an enduring
culture of impunity.
“This decision reveals a
striking disconnection between
the old political order and a society it no longer represents,”
said Bruno Brandão, the Brazil
representative for Transparency International. “This country is no longer what politicians
wish it was.”
Mr. Temer was charged in
June as part of the country’s
sprawling Car Wash corruption
investigation for allegedly tak-
SEBASTIAO MOREIRA/EUROPEAN PRESSPHOTO AGENCY
BY SAMANTHA PEARSON
AND PAULO TREVISANI
Members of the Workers Without a Roof Movement burned tires, above, during a protest in the Brazilian city of Guarulhos.
ing close to $160,000 in bribes
from the Brazilian meatpacking
giant JBS and agreeing to take
$12.1 million more. He has repeatedly denied wrongdoing
and has vowed not to resign.
In a televised speech after
the session, Mr. Temer labeled
Congress’s decision as an
“achievement for the rule of
law” and called for unity across
the country. “It is the time now
to cross over the bridge together that will lead us to the
great future that Brazil deserves,” he said.
In Brazil, only the Supreme
Court can investigate and punish sitting politicians—a measure designed to safeguard the
country from a return to authoritarian rule. In the case of a
president, the court also needs
the support of at least twothirds of Congress to proceed.
Following a tense session
Wednesday that included a
brief fist fight, 263 lawmak-
ers—more than half of Congress—voted to reject the
charges, 23 didn’t vote and 227
voted to put the president on
trial—far short of the 342 votes
needed for the case to proceed.
Opposition
lawmakers
staged protests throughout
Wednesday’s session, holding
up banners and even bringing
along suitcases stuffed with
fake dollar bills featuring Mr.
Temer’s face. As congressmen
read out their votes, lawmakers
in favor of the president largely
justified their decision by saying they were voting in favor of
political stability and economic
growth.
With the vote, Mr. Temer
avoids a trial that would have
led to him being suspended
from office, leaving House
Speaker Rodrigo Maia in charge
and giving Brazil its third president in less than two years.
Former President Dilma Rousseff was impeached in May and
ousted three months later for
breaking fiscal laws. Mr. Temer,
her vice president, took over.
Mr. Temer’s victory Wednesday had been largely expected.
Still, observers have been
closely watching the vote to
gauge the president’s congressional support, said Rafael Cortez, a political scientist at São
Paulo-based
consultancy
Tendências.
—Luciana Magalhaes
contributed to this article.
China stepped up pressure
on India to withdraw from a
weekslong military standoff
that shows how the countries’
contest for leadership in Asia is
heightening the risk of conflict.
By Niharika Mandhana
in New Delhi and Chun
Han Wong in Beijing
The dispute began in June
when Beijing assembled workers and machines to extend a
road in a remote Himalayan
territory that is claimed by
both China and Bhutan, a
small, mountainous nation
that is a close ally of India.
The road is located near an
area known as the “tri-junction,” where China, India and
Bhutan meet.
Bhutanese soldiers tried to
stop the construction, according to India, which said it then
dispatched its troops in coordination with Bhutan. Indian
and Chinese soldiers have
since planted themselves on
the disputed land.
Beijing says India is trespassing and must fall back as
a “precondition and basis for
Dolam
Plateau
New
Delhi
NEPAL
INDIA
200 miles
200 km
CHINA
B H U TA N
BANGLA.
M YA N M A R
(BURMA)
THE WALL STREET JOURNAL.
any meaningful dialogue.” New
Delhi says road building in the
area hurts India’s security interests and Bhutan’s territorial
claims. Bhutan has called
China’s actions a “direct violation” of the countries’ understanding not to change the situation on the ground until
their boundary dispute is resolved.
The standoff on the Dolam
Plateau is sparking concerns of
a prolonged period of strain
between China and India,
which are maneuvering for
power and influence in a region
being redefined by China’s rise.
“If India backed down, it
would send a signal to the
neighborhood that China is a
better bet than India,” said Sri-
kanth Kondapalli, a professor
of Chinese studies at Jawaharlal Nehru University in New
Delhi. “This dispute is not just
about a road. It’s a reflection of
the changes and realignments
that are taking place in Asia.”
Both countries are headed
by nationalist leaders who have
emphasized shows of strength.
Indian Prime Minister Narendra
Modi wants to block a unipolar
Asia. Chinese President Xi Jinping, meanwhile, is preparing
for a key Communist Party congress in the fall. Foreign diplomats say that Beijing wants to
minimize geopolitical tensions
that could upset preparations
but doesn’t want to be seen as
soft on boundary claims.
The two nuclear-armed nations face off from time to time
along the long, undemarcated
stretches of their border. India
lost a war, fought over territorial issues, to China in 1962.
The current dispute stands
out because India doesn’t claim
the territory where its troops
are positioned. Indian military
strategists worry greater Chinese access to the area could
leave India vulnerable at the
MANISH SWARUP/ASSOCIATED PRESS
China-India Land Standoff
In the Himalayas Escalates
Prime Minister Narendra Modi, left, and President Xi Jinping at a summit in Goa, India, in October.
“Chicken’s Neck,” a narrow
sliver of territory near the trijunction that connects the bulk
of India with its northeast.
Ties between the two countries, never close, have grown
far knottier as China has pursued regional dominance. It
has made inroads into India’s
traditional sphere of influence, from Nepal to Sri Lanka
and the Indian Ocean. In response, India has forged closer
relations with the U.S. and
Japan, moves that have irked
Beijing.
—Te-Ping Chen
contributed to this article.
New Delhi Cuts
Main Lending Rate
MUMBAI—India’s central
bank cut its main lending rate
to a more-than-six-year low, as
inflation and economic growth
slowed. The Reserve Bank of
India’s monetary-policy committee lowered its repurchase
rate by 0.25 percentage point
to 6%, as predicted by economists polled by The Wall
Street Journal. The RBI last
cut the rate in October.
“There is an urgent need to
reinvigorate private investment,” RBI Gov. Urjit Patel told
a news conference on Wednesday after the decision, though
he cautioned that inflation
could accelerate over the rest
of the year.
The central bank also lowered its reverse repo rate—the
rate at which it borrows
money from commercial
banks—by 0.25 percentage
point, to 5.75%.
—Debiprasad Nayak
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | A7
WORLD NEWS
AFGHANISTAN
U.S. Service Members
Killed in Kandahar
Two U.S. service members
were killed in southern Afghanistan on Wednesday, underscoring
the danger to U.S. troops as the
White House struggles with a decision on the way forward there.
Pentagon officials said two
troops were killed in Kandahar
when the convoy in which they
were riding came under attack.
News reports earlier in the
day indicated a suicide bomber
drove a truck full of explosives
into a convoy near the Kandahar
airport. Pentagon officials confirmed the two troops were
killed in the same attack.
—Gordon Lubold
and Dion Nissenbaum
SOUTH KOREA
Seoul Plans Tax
Increase to Fund Jobs
South Korea plans to raise taxes
on wealthy individuals and large
companies, the first rise in the corporate tax rate since 1991, as President Moon Jae-in seeks to fund an
expansion in public-sector hiring.
Under the new tax code, individual rates will rise by 2 percentage points for the two highest tax brackets, to a maximum
rate of 42% for those who earn
about $444,000 or more a year.
Corporate rates will rise by 3
percentage points to 25% for
companies whose net profit exceeds about $180 million a year.
—Kwanwoo Jun
EUROZONE
Producer Prices Drop
Amid Growth Pickup
The prices of goods leaving the
eurozone’s factory gates fell in
June for the third month in four, as
inflation looks set to remain weak.
The European Union’s statistics agency said producer prices
fell 0.1% from May. The sustained
drop in prices at factory gates
comes despite a pickup in growth
that has seen the eurozone outpace the U.S. over the past 18
months.
—Paul Hannon
In Australia Arms Deal, a Jobs Race
BY ROB TAYLOR
CANBERRA, Australia—A
contest to equip Australia’s
military with new armored vehicles is emerging as an economic battleground for regions hit by mining and
manufacturing
downturns,
with one bidder pledging to
revive a pivotal part of the
country’s former auto industry.
British defense giant BAE
Systems PLC said this week
that it would build 225
wheeled combat vehicles in a
former Melbourne car factory
that until recently was one of
Australia’s manufacturing jewels, if it wins the opening part
of bidding against Germany’s
Rheinmetall AG.
At roughly US$11.2 billion,
the armored-vehicle contract
is among the most lucrative
deals of its type at the moment. The country’s conservative government will decide
the winner early next year.
Australia was the world’s
fifth-largest arms importer
last year, according to the
Stockholm International Peace
Research Institute, accounting
for 3.6% of global weapons imports.
The country has embarked
on a US$156 billion plan to reshape its military into one of
the most potent small forces
JOE CASTRO/REX/SHUTTERSTOCK/EUROPEAN PRESSPHOTO AGENCY
WORLD WATCH
Australia has been losing manufacturing jobs, and mining employment
has retreated from the levels of the recent boom years.
Number of employees in Australia
1.2 million
Mining
Manufacturing
1.0
0.8
0.6
0.4
0.2
0
2007
2010
BAE Systems displayed two of its AMV35 armored combat
reconnaissance vehicles in Melbourne, Australia, on Tuesday.
Source: Australian Bureau of Statistics
in the Asia-Pacific region,
which is facing security challenges.
Over the next decade, Australia’s military will receive
new warships, advanced submarines, stealth warplanes and
amphibious forces, in part to
safeguard South China Sea and
Indian Ocean sea routes that
carry around one-third of
global maritime traffic.
The
defense-hardware
splurge is being viewed as a
bonanza by Australian state
governments eager to tap new
sources of growth and jobs as
the economy struggles to adjust to a slowdown in resource
exports and a global shift to-
of Australia’s postwar manufacturing success, while Victoria was the country’s answer
to Detroit: an industrial heartland now losing traditional
manufacturing jobs. This year,
Holden followed Ford Motor
Co. and Toyota Motor Corp. in
ending production in Australia
because of competition from
lower-cost imports. GM had
said the pullout would result
in more than 2,900 job losses.
BAE said it would build a
defense center in Holden’s former Fishermans Bend engine
plant that would manufacture
its AMV35 armored vehicle, offered in partnership with Finland’s Patria, if the company
ward cheaper manufacturing
centers.
“Victoria is the traditional
home of vehicle manufacturing, and this project would
create thousands of jobs at a
time when our automotive sector is in transition,” said Daniel Andrews, premier of the
southeastern state, after BAE’s
announcement. He pledged unspecified backing for the company from his center-left state
Labor government.
BAE sought to bolster its
candidacy by offering to build
vehicles at a former car plant
operated by Holden, a General
Motors Co. subsidiary.
Holden was once a symbol
2007
2010
THE WALL STREET JOURNAL.
wins the contract.
The armored-vehicle project, known as Land 400, is the
largest undertaken by Australia’s army. The program aims
to replace a range of wheeled
reconnaissance vehicles and
Vietnam War-era troop carriers. The second, larger phase
involves replacing an additional 450 tracked troop carriers with vehicles featuring advanced armor and remote gun
turrets.
The project is expected to
create several thousand direct
and indirect jobs, according to
state and federal government
projections and the manufacturing sector.
Pence Rejects Direct Talks With Pyongyang
BY PETER NICHOLAS
Vice President Mike Pence
rejected the notion of holding
direct talks with North Korean
leader Kim Jong Un aimed at
curbing the nation’s nuclearweapons program, saying the
right strategy doesn’t involve
“engaging North Korea directly.”
Instead, Mr. Pence said he favored economic and diplomatic
pressure while pushing China to
use its clout with Pyongyang.
The U.S. isn’t ruling out military
action against North Korea,
leaving “all options are on the
table,” said Mr. Pence, who
spoke in his cabin aboard Air
Force Two as he flew home on
Wednesday from a trip to Estonia, Georgia and Montenegro.
In the face of a growing
North Korea threat, the White
House has struggled to devise
a consistent policy toward
Pyongyang.
The top U.S. diplomat, Secretary of State Rex Tillerson,
on Tuesday said that the U.S.
wasn’t seeking to overthrow
North Korea’s government and
that he wanted to hold talks
FROM PAGE ONE
MICHELLE HERRICK
TV
Continued from Page One
line and discovered he could
buy one for $20 and watch major networks like ABC, NBC, Fox
and CBS free.
There is typically no need to
climb on a rooftop. While some
indoor antennas still look like
old-fashioned rabbit ears, many
modern antennas are thin
sheets that can be hidden behind a flat TV or hung like a picture frame.
Many consumers still aren’t
getting the signal. Carlos Villalobos, 21, who was selling tubeshaped digital antennas at a
swap meet in San Diego recently, says customers often ask
if his $20 to $25 products are
legal. “They don’t trust me
when I say that these are actually free local channels,” he says.
Earlier this year, he got an
earful from a woman who didn’t
get it. “She was mad,” he recalls. “She says, ‘No, you can’t
live in America for free, what
are you talking about?’”
Almost a third of Americans
(29%) are unaware local TV is
available free, according to a
June survey by the National Association of Broadcasters, an industry trade group. Most consumers have switched to cable
television, which includes many
more channels and costs upward of $100 a month.
Since the dawn of television,
however, major networks have
broadcast signals over the airwaves—and still do today. The
service is free after buying an
antenna, indoor or outdoor, and
plugging it into your TV.
Much of the confusion dates
to federal legislation that required broadcasters to stop
sending analog signals in 2009
and shift to high-definition digital transmissions. The change
meant old TVs wouldn’t get the
broadcasts, forcing those who
wanted free signals to buy new
televisions or converter boxes.
Scott Wills, a wireless-industry executive living in the San
Francisco Bay Area, worked for
over a year on the legislation
that started the transition. Mr.
Wills discussed his work extensively with his son, who was almost a teenager at the time.
About a decade later, Mr.
Wills had a hunch many people,
Factory Settings
Michelle Herrick, with her twins, watches TV using an antenna.
especially
young
people,
thought the transition simply
killed TV signals, rather than
made them better. He asked his
son. “His answer was, ‘Dad, you
should know better than anyone
that there’s no broadcast TV!”
Mr. Wills recalls. “He thought
broadcast TV went away.”
His son, Hunter, now 24 and
living in Chicago, says he mostly
watches Netflix. “I had no idea,”
A survey found 29%
of Americans are
unaware local TV is
available free.
he said of broadcast’s continued
existence. “I’m still not even
that familiar with the concept.”
The Federal Communications
Commission spent millions on a
campaign to educate the public
about the digital TV transition
and Congress set aside more
than $2 billion to help consumers pay for converters. But the
focus was largely on older people who already used antennas.
William Lake oversaw the
agency’s effort. A few years
later, when he offered to buy an
antenna for one of his daughters, then in her early 20s, he
said she had no idea what he
was talking about. “She thought
it was some modern satellite
service or something,” the former FCC official says.
In 2013, during a congressional hearing about the satellitetelevision industry, the discussion turned to a contract
dispute that temporarily left
Time Warner Cable subscribers
unable to watch CBS.
“Can I make one point?” said
Gerard Waldron, an attorney
who testified on behalf of the
National Association of Broadcasters. “I just want to emphasize that broadcast is a free,
over the air service. So during
the so-called blackout, the service was available 100% of the
time. I realize that some people
might not have antennas, or
some people might have reception problems, but I do want to
emphasize...”
“So I could have seen CBS if I
had rabbit ears?” Congresswoman Karen Bass (D-Calif.) interjected. “I don’t think people
knew that.” A spokesman for
Rep. Bass said she was aware
TV antennas existed, just not
that the station was still broadcast during a cable blackout.
Richard Schneider, founder
of the St. Louis manufacturing
company Antennas Direct, says
his occupation results in awkward small talk. “If I’m at a
party and I tell people what I do
for a living, they’ll say, ‘That’s
still a thing?’ I’d think you’d be
out of business by now.’”
When he started selling antennas as a hobby more than 15
years ago, he only expected to
sell a few hundred per year. He
says he sold 75,000 in June.
Even the latest high-definition
flat-screen TVs need an antenna
to get free broadcasts.
Until the word gets out, Michelle Herrick, 39, a photographer in Phoenix who learned
about antennas from her
mother, will likely have to keep
explaining the system to puzzled guests. “Everyone I talked
to, they had no idea,” she said.
with it. That echoed comments
from President Donald Trump
in May, who sounded open toward meeting Mr. Kim, telling
Bloomberg News that he
would be “honored” to do it if
it were “appropriate.”
CIA Director Mike Pompeo in
July signaled he wanted to see
the North Korean regime fall.
Meanwhile, North Korea’s
weapons capabilities continue
to grow. Pyongyang has conducted two tests of intercontinental ballistic missiles this
year, demonstrating a growing
range that jeopardizes the
continental U.S., officials say.
Mr. Pence said Mr. Trump’s
position is that “leveraging our
allies in the region and China
to economically and diplomatically isolate North Korea will
ultimately be more productive.”
Messrs. Trump and Pence have
expressed frustration with
China for not producing more
results in reining in Pyongyang.
A vice presidential aide said
that before the Trump administration would start a dialogue
with North Korea, it would
need to take a “step back”
from its nuclear program.
“There needs to be a pause,”
the aide said.
Mr. Pence’s trip included a
pair of stops on Russia’s border. He spoke to U.S. troops in
Tbilisi, Georgia, amid a military exercise, and he got a military briefing at Estonia’s defense headquarters.
He ended the trip in Montenegro, repeatedly assuring
leaders of the Balkan states
that the U.S. is a reliable ally
in their dealings with Russia.
America first, he said
throughout the trip, doesn’t
mean “America alone.”
THE WALL STREET JOURNAL.
A8 | Thursday, August 3, 2017
IN DEPTH
Settling In
The share of Americans who reported moving in the past year is at its
lowest level since measurement began just after World War II.
22%
20
18
Dots indicate years
for which data are
available.
16
14
12
10
Within the same county
8
6
Within the same state
4
2
From a different state
From abroad
0
’60s
’70s
MOVE
Continued from Page One
When opportunity dwindles, a natural response—the
traditional American instinct—is to strike out for
greener pastures. Migrations
of the young, ambitious and
able-bodied prompted the
Dust Bowl exodus to California
in the 1930s and the reverse
migration of blacks from
Northern cities to the South
starting in the 1980s.
Lowest mobility
Yet the overall mobility of
the U.S. population is at its
lowest level since measurements were first taken at the
end of World War II, falling by
almost half since its most recent peak in 1985.
In rural America, which is
coping with the onset of socioeconomic problems that
were once reserved for inner
cities, the rate of people who
moved across a county line in
2015 was just 4.1%, according
to a Wall Street Journal analysis. That’s down from 7.7% in
the late 1970s. It has fallen
faster than the mobility rate
in metropolitan areas, which
the rural rate is now slightly
below.
This drop in mobility is not
only keeping rural residents
from climbing a ladder to better livelihoods, it is choking
off the labor supply for employers in areas where jobs
are plentiful. This limits the
economic growth that naturally occurs when people and
capital cluster together, says
David Schleicher, a professor
at Yale Law School who has
studied the issue.
It has also contributed to
the nation’s deepening political divide. Small-town residents fed a populist revolt
that helped put Donald Trump
in the White House last year,
reinforcing the administration’s plan to focus on issues
such as curbing immigration
and creating jobs through infrastructure spending.
For small towns, mobility
has always been something of
a problem: When the brightest
youngsters leave and don’t return, “brain drain” can be a
drag on the community, even
if it is a boon for the other cities they settle in. Now, the
lack of mobility has become a
drag on the entire U.S. economy.
“We’re locking people out
from the most productive cities,” says Peter Ganong, an assistant professor of public policy at the University of
Chicago who studies migration. “This is a force that widens the urban-rural divide.”
A decade ago, Ogemaw
County hit an economic peak
thanks to a stable of manufacturing jobs that accounted for
more than one-fifth of payrolls
in the county, plus work on
dairy, soybean and corn farms.
Automotive industry workers
from Detroit, 175 miles to the
south, for decades snapped up
waterfront cottages, creating a
flow of people between town
and country.
Longtime residents say
they love the rhythms of the
place; schools close for the
first day of deer-hunting season and Friday summer festivals bring lots of residents
downtown.
Today, manufacturers employ only a third the number
of workers that they did 10
years ago, according to census
data. Their payrolls have
plummeted by 74% adjusted
for inflation, or by $30 million. Unemployment has averaged 7.7% over the past year,
compared with 4.7% nationally. In one of many ominous
signs, census figures show
that more residents are using
wood to heat their homes.
’80s
’90s
2000
’10s
THE WALL STREET JOURNAL.
Driving through town, Denise Lawrence, the mayor of
West Branch, offered a bleak
assessment. “The county is
the closest thing to bankrupt
that you could be,” she says.
Nevertheless, the inflow
and outflow of people in
Ogemaw County is so small
that among its 21,000 residents, it only loses a net of
one person a year for every
1,000 residents. Even some
young people, who yearn to
move to thriving nearby cities
like Grand Rapids, find they
can’t.
Julie Madsen, the assistant
manager at the St. Vincent de
Paul thrift store in West
Branch, says as many as 80%
of queries for financial help
come from people under age
35.
Economists say there are
several practical reasons for
the declining rural mobility—
the first being the cost of
housing. While small-town
home prices have only modestly recovered from the housing market meltdown, years of
restrictive land-use regulations have driven up prices in
metropolitan areas to the
point where it is difficult for
all but the most highly educated professionals to move.
A lawyer who leaves Alabama, Mississippi or South
Carolina for a job in New York,
New Jersey or Connecticut
would spend just 21% of his
income on housing after moving, Prof. Ganong has found.
But a janitor making such a
move would have his higher
salary gobbled up by housing
costs equal to 52% of income.
Shiloh Maier, 38, is desperate to leave West Branch and
move to Grand Rapids so she
The mayor says, ‘The
county is the closest
thing to bankrupt
that you could be.’
can be closer to her 8-year-old
daughter, who lives near there
with her ex-husband. The
graphic designer has applied
for about 70 jobs this year.
She is a college grad but finds
that employers are bypassing
her in favor of younger graduates, which are cheap and
abundant in the state’s second-largest city.
She continues to work in
West Branch as a customer
service manager for a manufacturer earning $20 an hour.
Every other weekend, she
makes the nearly three-hour
trip to bring her daughter
back for a visit—two loops
that result in 12 hours of
weekend driving.
“I’m stuck,” she says.
For many rural residents
across the country with low
incomes, government aid programs such as Medicaid,
MARK FELIX FOR THE WALL STREET JOURNAL (2)
1950s
Source: Census Bureau
Taylor Tibbetts longs to live in a thriving city like Denver or Nashville but has found it hard to make a move away from West Branch, Mich.
which has benefits that vary
by state, can provide a disincentive to leave. One in 10
West Branch residents lives in
low-income housing, which
was virtually nonexistent a
generation ago. Civic leaders
here say extended networks of
friends and family and a tradition of church groups that will
cover heating bills, car repairs
and septic services—often
with no questions asked—also
dissuade the jobless and underemployed from leaving.
Tom Quinn, president of
the local Kirtland Community
College, says the rationale
boils down to: “I’ve got good
social services. I’m stuck in
one big rut. If you ask me to
go to Indianapolis, I can’t—
even if there’s a job there.”
“People can’t move,” says
Mandi Chasey, county economic development director.
Another obstacle to mobility is the growth of state-level
job-licensing requirements,
which now cover a range of
professions from bartenders
and florists to turtle farmers
and scrap-metal recyclers. A
2015 White House report
found that more than onequarter of U.S. workers now
require a license to do their
jobs, with the share licensed
at the state level rising fivefold since the 1950s.
Janna E. Johnson and Morris M. Kleiner of the University of Minnesota found in a
nationwide study that barbers
and cosmetologists—occupations that tend to require people to obtain new state licenses when they relocate—
are 22% less likely to move
between states than workers
whose blue-collar occupations
don’t require them.
Beyond the practical difficulties, rural residents and experts say there is another impediment to mobility that is
often more difficult to overcome—the growing cultural
divide.
Cultural gulf
Tom W. Smith, who runs
the University of Chicago’s
General Social Survey, says
that cities’ welcoming attitudes toward immigrants from
abroad, same-sex marriage
and secularism heighten distrust among small-town residents with different values.
That widens the cultural gulf.
Economists have tried to
measure whether Americans’
Stuck in Place
Few people are moving in many low-opportunity regions such as Appalachia, the Mississippi Delta and
the rural Midwest.
Share of each county’s population that reported moving in the past year, 2011−15
8.8%
10.4
11.5
Less movement
12.5
13.6
Median
14.8
16.3
18.6
More movement
Oil and gas drilling in the Bakken
Formation produced thousands of
jobs and boosted mobility.
Ogemaw
County,
Mich.
Fort Drum, a major Army
base, boosts mobility in
Jefferson County, N.Y.
Apache County, Ariz.,
where 3 out of 4
residents are Native
American, includes part
of the Navajo Nation.
In Cameron Parish, in
Cajun Country, 85% of
residents were born in
Louisiana.
THE WALL STREET JOURNAL.
Source: Census Bureau
eroding trust in one another is
damping mobility—such confidence helps ease the transition to a new town—and
found signs that this sliding
trust may be keeping people
from uprooting.
According to the GSS, the
share of Americans who agree
with the statement “Most people can be trusted” has fallen
over the past four decades to
31% in 2016 from 46% in 1972.
Raven Molloy, an economist
with the Federal Reserve
Board of Governors, found in
research that states with large
declines in overall trust were
also places where job-switching had decreased markedly.
Cody Zimmer, 29, of
Ogemaw County toyed with
moving to work for an uncle
in New Jersey or closer to Detroit after a decadelong career
in skilled manufacturing periodically left him unemployed.
But student debt and a divorce
damaged his finances, and he
says his best option ended up
being renting his mom’s house
outside West Branch. “If anything happened there, I’d be
right back out on my own,”
Mr. Zimmer says of these
other places.
Bad experiences in cities
also turned him off. In one
job, he traveled the country
cleaning Home Depot locations and recalls feeling uneasy when a black worker at a
Kansas City McDonald’s told
him to leave because white
boys didn’t belong in that part
of town, he says. He took his
children to Detroit for a motocross event at Ford Field and
panhandlers hit him up for
money.
“Mainstream news media—
not to degrade your position—
they say Detroit is getting better, but I don’t trust it,” Mr.
Zimmer says.
Many West Branch residents say that the town’s economic woes aren’t enough to
make them leave. They point
to the safety net the community provides—a helping hand
to pay bills, or the way people
come together when a neighbor is diagnosed with cancer.
“One of the big cultural divides when people move from
small towns to cities is this
feeling that you can’t be involved in your community,”
says David J. Peters, associate
professor of sociology at Iowa
State University. “You feel
powerless to change large cities.”
‘I like my corner’
Shiloh Maier, above with her son, wants to move near her daughter but hasn’t been able to find work.
Christopher Palazzolo grew
up just north of Detroit, but
after living in West Branch for
26 years, he can’t imagine going back. The 49-year-old father of three has watched his
income slide to $11.63 an hour
as a retirement home cook,
down from the $15 per hour
he paid himself when he coowned a nearby restaurant until 2009. He calls the skinnier
wage “rough.”
The bank foreclosed on his
family’s home, and for the
past eight years they have
lived in a low-income housing
development, where black
rubber tires are strewn
around the sand-filled playground, and early-model Pontiac Grand Am cars fill the
parking lot. About 70 applicants are on a waiting list for
units there.
“I don’t need a fancy car or
a bigger house,” Mr. Palazzolo
says. “I have no interest whatsoever in dealing with the city,
the congestion. I like my little
corner of the world.”
Struggle to fit in
After leaving Converse College, Ms. Tibbetts enrolled the
next year at Lincoln College in
Lincoln, Ill., joined the swim
team and felt more confident
in the classroom. But she returned home after a semester
because she clashed with her
swim coach. As a conservative
Christian, she also found the
cultural divide on campus difficult to bridge. Students
smoked pot, engaged in casual
sex and had parties at their
parents’ homes behind their
backs. “Our world now is godless,” she says. “I don’t know
if the places where I’ve been
are places where I could discover God better.”
Determined to try again,
she started at Olivet College in
south central Michigan in
2016. But she struggled to fit
in there, too. She felt uncomfortable when a professor
asked students to write about
why Donald Trump would
make a bad president. Ms.
Tibbetts began racing back to
work at the pizzeria on weekends to avoid roommates who
threw up in the shower after
excessive drinking. She eventually moved home.
On a recent evening inside
the pizzeria, where Tiffanystyle lamps dot the ceiling,
Ms. Tibbetts said she isn’t
content with her decision. She
looked around at the familiar
faces and confessed she gets
embarrassed when customers
rib her about abandoning college.
After a brief stint teaching
skiing in Colorado, she is still
eyeing other paths out of
town, such as a traveling job
pitching Red Bull energy
drinks
at
entertainment
events.
“I was ready to go from the
minute I graduated,” she says.
“It was just so hard.”
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | A8A
NY
* * * *
GREATER NEW YORK
of Male Escort
Accenture Picks Hudson Yards Ex-CEO
Site Gets Prison Term
Global professional-services
giant Accenture is planning to
plant its flag in the Hudson
Yards District, joining a growing roster of marquee companies in Manhattan’s newest office hot spot.
Accenture said it would consolidate its New York offices,
including its primary locations
at 1345 Sixth Ave. and 155 Sixth
Ave., into 250,000 square feet
at the top of the $2.1 billion
One Manhattan West tower rising on the West Side.
“For us, we were very much
looking at space we knew
would be an iconic New York location,” said Kathleen O’Reilly,
senior managing director of Accenture’s U.S. Northeast region.
Tech giant Amazon.com Inc.
has been in talks with Manhattan West developer Brookfield
Property Partners LP about
taking space at the 8-acre, sixbuilding project on the far
West Side, according to a person familiar with the matter.
Professional-services
firm
Ernst & Young LLP also has
been in discussions about possibly leasing 600,000 square
feet at One Manhattan West,
this person said.
Amazon said it doesn’t com-
BROOKFIELD PROPERTY PARTNERS
BY KEIKO MORRIS
A rendering of One Manhattan West, now under construction.
ment on speculation or rumors.
Ernst & Young said it is
“evaluating a host of locations,
all aligned with our strategic
plan to deliver service across
the greater New York City marketplaces, including New Jersey
and Connecticut.”
The district, which includes
the Hudson Yards and Manhattan West projects, has come a
long way since developers began
pitching potential tenants after
the financial crisis of 2008 with
the idea for a new neighborhood
built above train tracks.
Hudson Yards, by Related
Cos. and Oxford Properties
Group, is the district’s largest
development, with more than
18 million square feet of commercial and residential space
planned for the site.
Manhattan West, developed
by Brookfield, is planning more
than 7 million square feet at its
mixed-use complex.
In the past year, Brookfield
has signed or has entered deep
negotiations with tenants for 1.7
million square feet of space at
Manhattan West, the company
said. It has signed leases with
the National Hockey League, J.P.
Morgan Chase & Co. and law
firm McKool Smith for more
than a half a million square feet
of space at the 67-story One
Manhattan West, which is under construction and anchored
by law firm Skadden, Arps,
Slate, Meagher, Flom LLP.
Whole Foods Market Inc.
signed a lease for a 60,000
square-foot store at Five Manhattan West.
“We found ourselves in a position a couple of times where
we have had to chose tenants
competing for available blocks
of space,” said Ric Clark, senior
managing partner and chairman of Brookfield Property
Partners.
Accenture’s 15-year lease
deal comes on the heels of its
announcement earlier this year
that it is investing heavily in its
U.S. operations, creating 15,000
highly skilled jobs, adding 10
new innovation hubs and expanding its technology centers.
The company’s decision also
underscores the accelerated
momentum developers of the
two biggest projects on the far
West Side have experienced in
the past year, as a number of
firms opt for new office construction over Manhattan’s
older Midtown skyscrapers, betting new space will bolster efforts to attract and retain current employees and new
recruits.
BY CORINNE RAMEY
The former chief executive
of a male escort website was
sentenced to six months in
prison for promoting prostitution Wednesday in a case that
drew criticism from activists
contending federal authorities
were unfairly targeting consensual gay sexual activity.
In addition to the prison
term, U.S. District Judge
Margo Brodie in Brooklyn sentenced Jeffrey Hurant, who
founded Rentboy.com, to one
year of supervised release and
a $7,500 fine. He faced up to
five years in prison.
Last year, Mr. Hurant pleaded
guilty to promoting prostitution
and, on behalf of parent company Easy Rent Systems Inc., to
promoting prostitution and
money-laundering conspiracy.
In August 2015, federal authorities arrested and charged
Mr. Hurant and six of his employees with promoting prostitution. Five months later, Mr.
Hurant and his company were
indicted on prostitution and
money-laundering charges.
The charges against the other
employees were dismissed.
Rentboy.com, which was
founded in 1997, advertised itself
as the “original and largest male
escort service online,” and, from
2010 to 2015, earned more than
$10 million in gross revenue, according to the indictment.
“The defendant unambiguously operated one of the larg-
MARY ALTAFFER/ASSOCIATED PRESS
Firm to take top of
One Manhattan West,
becoming the latest
big name in district
Jeffrey Hurant drew 6 months.
est prostitution enterprises
ever prosecuted,” prosecutors
said. While the site had disclaimers saying its ads were
only for companionship, it was
designed to advertise prostitution, prosecutors said.
Lawyers for Mr. Hurant argued he had sought legal advice
while operating the site and
was achieving a social good for
the escorts, including focusing
on their health concerns. Moreover, escorts had control over
their work because they could
screen clients, his lawyers said.
Federal authorities have
maintained that allegations they
targeted a specific population
are false. The website, Rentboy.com, is no longer active.
BY KIERSTEN SCHMIDT
AND TAYLOR UMLAUF
For commuters in New
York and New Jersey, this
was supposed to be the
“summer of hell.”
Amtrak is making muchneeded repairs to the tracks
below New York Penn Station, disrupting train travel
for tens of thousands of passengers every day.
But with NJ Transit providing many alternatives, the
commute has been relatively
smooth.
During the repairs, which
began July 10 and are scheduled to last through Sept. 1,
NJ Transit redirected most
Morris and Essex Lines Midtown Direct trains to Hoboken, and arranged for extra
buses, trains, and ferries.
PATH is cross-honoring tickets for trips into the city.
Here is what ridership
data from the first two
weeks of Penn Station’s accelerated repair work tell us
about what forms of transportation riders took into the
city.
MARK BONIFACIO FOR THE WALL STREET JOURNAL
How Commuters
Are Navigating
‘Summer of Hell’
NJ Transit’s Morris and Essex Lines were rerouted to Hoboken, where most passengers are now taking the PATH into New York City.
The Most Popular Path
The Ferry Option
Commuters Rise Early
As expected, the Hoboken Terminal has seen a surge in
passengers. An average of 13,000 commuters got on or off the train
in Hoboken during the first two weeks, up from the norm of 3,950.
With mostly sunny weather and word spreading that the ferries
are reliable and make for a pleasant journey, more commuters opted
for this route into the city, despite it taking longer than the PATH,
once you account for getting across town. The ferry, operated by NY
Waterway, is free for NJ Transit ticket holders and goes to lower
Manhattan or Midtown. Once in the city, Midtown passengers have
access to free shuttles across the main arteries.
On the first two days of the new schedule, many people opted to
take one of the early morning trains direct to Penn Station, which
avoids transferring to the PATH or ferry at Hoboken. NJ Transit
arranged for four Morris and Essex trains that arrive before 7 a.m. to
continue their regular route.
The majority of affected commuters are taking advantage of
cross-honored NJ Transit tickets at the Hoboken, 33rd Street and
World Trade Center PATH stations. To accommodate the increase in
ridership, the Port Authority of New York and New Jersey added four
PATH trains per hour during the morning and evening rush hours. The
extra trains allow the system to handle the almost 22,000 additional
passengers per day on top of its 285,000 average riders.
Morris and Essex passengers disembarking
and boarding at Hoboken Terminal
Morning Evening
15,000. passengers
The ferry isn’t nearly as popular in the evening hours, possibly
because of the longer commute time on the shuttle to the dock due
to increased traffic.
Passengers riding the new NY Waterway ferry for
NJ Transit ticket holders from Hoboken to 39th Street
One possibility for the drop on the third day: as commuters
learned the Hoboken transfer was pretty reliable, they waited for the
later trains. Despite the decrease, the numbers remained well above
the norm of 1,900 before the service disruption.
Passengers arriving at New York Penn Station
between 6 a.m. and 7 a.m.
2,000. passengers
4,000. passengers
1,500
3,000
1,000
2,000
500
1,000
12,500
10,000
7,500
5,000
Avg. before service reduction: 3,950
2,500
0
0
0
July 10
11
12
13
14
17
18
19
20
21
Avg. before service reduction: 1,900
July 10
11
12
13
14
17
18
19
20
21
Source: NJ Transit
July 10
11
12
13
14
17
18
19
20
21
THE WALL STREET JOURNAL.
OYSTER PERPETUAL
cosmograph daytona
rolex
oyster perpetual, cosmograph and daytona
are ® trademarks.
A8B | Thursday, August 3, 2017
NY
* ***
THE WALL STREET JOURNAL.
GREATER NEW YORK
BY MIKE VILENSKY
New York state will hand
over some voter information
to President Donald Trump’s
commission on election impropriety after Gov. Andrew
Cuomo had swatted down an
earlier request from the panel.
Mr. Trump’s Presidential
Advisory Commission on Election Integrity has faced pushback from state officials who
have said they want to keep
sensitive voter information
private. Mr. Cuomo, a Democrat, said in June that the
state wouldn’t comply with a
letter seeking the information.
But on Wednesday, the
state board of elections said it
would comply with a separate
freedom of information request from the voter commission to the election board.
“It’s standard information
we give to anyone who FOILs
the statewide database,” said
John Conklin, a board of elections spokesman. “We had no
lawful reason to deny it.”
The information includes
data on some 12 million voters,
Mr. Conklin said, including
their names, dates of birth,
party and voter history. It is
12M
Number of voters whose data
will be given to the commission
the same information the board
has regularly handed to members of the public who file a
FOIL request for it, he said.
The data won’t include Social Security numbers, criminal
history, and other information
the initial letter to the state
had sought, state officials said.
The initial letter from the
commission had gone to the
New York secretary of state,
who is appointed by the governor. The FOIL request went
to the board of elections, an
independent body outside the
Cuomo administration.
Mr. Cuomo said in a statement: “To be clear, the original letter from the President’s
Election Commission requested information that the
Commission is not legally entitled to obtain. Accordingly,
our administration rejected
that request because it not
only violated privacy rights—
but also state law. Our position remains unchanged and
we will continue to deny requests for sensitive personal
data about New York residents, which is protected under the law.”
Discounts Hit Billionaires’ Row
Prices drop on some ultra-luxury condos in Midtown as the market cools and units remain unsold
BY JOSH BARBANEL
From the 47th floor of the
Baccarat Hotel & Residences
on West 53rd Street there are
views not only of lush Central Park, but also the other
new ultra-luxury condominium towers crowding the
skies in a stretch of Midtown
Manhattan known as Billionaires’ Row.
At 605 feet, the Baccarat is
neither the tallest nor the
priciest of the
PROPERTY condo towers,
but it is on the
verge of
achieving one benchmark: Becoming the first of the group
to sell out amid a prolonged
slowdown in the ultra-highend market.
The apartment towers that
compose Billionaires’ Row began sprouting up in the neighborhood south of Central Park
when luxury-apartment construction restarted several
years after the crash of 2008.
The real-estate market was
hot then, and the apartments
sold at a brisk pace.
Lately, the market has
cooled as the ultra-wealthy
become more selective about
buying, and some brokers
have had to lower prices to
spur sales.
In May, a two-bedroom
apartment on the Baccarat’s
37th floor listed for $5.395
million went into contract,
with its final sale price not
yet known. That leaves only
one of its 59 condos for sale:
A full-floor, four-bedroom unit
listed for $22 million on the
47th floor, down from $27
million in 2014.
Three groups of potential
buyers have been circling,
each visiting the 47th-floor
apartment three or four
times, said Mark Gordon, a
managing partner at Tribeca
Associates, which developed
the Baccarat in a venture with
Starwood Capital Group.
An analysis of condominium records shows the average discount on nine contracts
signed at the Baccarat in 2016
was 22% below the peak asking prices of 2014, when the
market was red hot. These include the 7,300-square-foot
penthouse that sold in June
2016 for $42.6 million, soon
after the asking price was decreased from $60 million to
$54 million. Overall, that
amounted to a 29% reduction.
Mr. Gordon said he was
pleased with the prices in the
building, an average of $3,937
a square foot, including more
than $5,760 a square foot for
the penthouse.
The price reductions were
“certainly consistent with our
luxury competitors,” he said.
“We don’t consider it a discount, we always tried to
make market deals.”
RAMSAY DE GIVE FOR THE WALL STREET JOURNAL
New York
To Turn
Over Some
Voter Data
The view from the 38th floor of One57, on West 57th Street. Some units at the building, which went on the market in 2011, are still for sale.
30 units
20
10
0
2013
’14
’15
’16
’17
From the 47th floor one
can look out at the curved
prow at the top of the 1,005foot-tall One57, on West 57th
Street, as well as the soaring
rectangular concrete and glass
facade of the 1,396-foot-tall
432 Park Ave., at East 56th
Street. Construction cranes
for other newer apartment
buildings dot the skyline.
One57 went on the market
in 2011, and there are still five
of the units for sale, according
to listing site Streeteasy.com.
That includes a five-bedroom
apartment on the 52nd floor
listed for $29.95 million, down
from $31.75 million in 2014.
At 432 Park Ave., which
went on the market in 2012,
GREATER NEW
YORK WATCH
there is still a full-floor unit
available for $82 million, as
well as a range of half-floor
units. Two of these are currently listed in contract, according to Streeteasy.com, for
more than $44 million.
The Baccarat came on the
market in 2013 at a frothy
time. There was inventory
available as buyers began
yearning for trophy apartments amid the recovery from
the 2008 financial crisis. The
Baccarat saw a burst of sales
and was able to raise prices.
“There was a high tide in
the desert all of a sudden, and
everybody who had good projects did very well,” Mr. Gordon said.
There were 26 deals signed
the first year, including eight
contracts in April 2013, a record for the building, according a review of public records.
Asking prices were raised four
times through 2014.
Now, the market is completely different. There were
only three contracts signed in
the last 12 months.
Lauren Muss, a broker at
Douglas Elliman Real Estate,
who is listing the 47th floor
apartment at the Baccarat,
said buyers, including New
Yorkers and international buyers, are active, but with many
choices, they have no urgency
about making a decision.
“There are a lot of listings
and a lot of buyers,” she said.
“I have never worked harder in
my life to close fewer deals.”
The Ingredients To
Making a Posh Pad
Spectacular views, stylish
interiors and hotel-level
services attract the wealthy
The formula for success on
Billionaires’ Row, a swath of
Midtown with tall and hugely
expensive apartments, is simple but difficult to execute in
the current market.
Start with a design by a
well-known architect. Add huge
windows with views of Central
Park and beyond. Provide cutting-edge interiors by a designer with bragging rights.
Throw in high ceilings, status
appliances, unusual stonework,
wood finishes, a pool and a
wellness spa. Then top it off
with hotel-style services.
That model has led to soaring asking prices on Billionaires’
Row since One57, the first of
the new towers, went on the
market in 2011. Now, the market
has become saturated with similar buildings. Sales have slowed,
and buyers have been wresting
discounts from developers.
The Baccarat Hotel and
Residences New York, a 50story tower on West 53rd
Street, is the first of the new
towers to be close to selling
out its 59 condominiums. It
embraces the luxury ethos.
The development team, a
joint venture between Starwood Capital Group and Tribeca
Associates, branded the building
after Baccarat, the French crystal and jewelry company. The
architects at Skidmore, Owings
and Merrill shaped a 60-foottall entry facade of sculpted
glass to suggest crystals.
Tony Ingrao, a well-known
New York designer, created the
apartment interiors and residential lobby with sumptuous
details. There are Baccarat fixtures in the hallway, large panels of Ziricote—a dark wood
from Central America with a
distinctive striped pattern—in
the lobby and on apartment
entry doors, white iceberg-granite counter tops, and customized walnut kitchen cabinets.
“First it was just the star architect, now the interiors have
become just as important as
the architect,” said Leslie Wilson,
senior executive vice president
at Douglas Elliman Development
Marketing.
She said many of the buildings now have partnerships
like the one with Baccarat to
give buildings extra panache.
There are pairings with hotels
to provide services for wealthy
owners who may stay in their
units only a few times a year.
Affluent buyers, Ms. Wilson
said, often see their apartment
as an extension of themselves.
“It has to be unique but not
crazy unique,” she noted.
—Josh Barbanel
Police Coax Man on Bridge to Safety
NEW JERSEY
We are there
when you can’t be
• Trusted
• Skilled
• Experienced
• Guaranteed
The Finest Local Elder Care and
Lifestyle Services Provider
LifeWorx.com
New Jersey is cracking down
on illegal kickbacks in the healthcare industry, charging on
Wednesday the latest in a string
of doctors accused of commercial bribery in recent years.
State prosecutors charged
neurologist Terry Ramnanan, of
Upper Saddle River, with thirddegree conspiracy and commercial bribery for allegedly paying a
Totowa chiropractor for patient
referrals to his pain-management facility in Paramus between 2012 and 2016.
Dr. Ramnanan, 64 years old,
didn’t immediately respond to a
request for comment.
The New Jersey Attorney
General’s Commercial Bribery
Task Force, formed in 2016 after
dozens of doctors were charged
with medical fraud, has uncovered several instances of medical
professionals paying illegal kickbacks in exchange for patient referrals worth millions of dollars.
—Kate King
QUEENS
New York, NY
Westport, CT
Chappaqua, NY
212.257.6706
203.966.3400
914.458.9933
Englewood, NJ
Long Island
201.793.3154
516.501.9152
Insured and Bonded
Charge Filed in Case
Of Missing Tortoise
Queens prosecutors on
Wednesday charged a 36-yearold man with illegally possessing
Millennium, a 95-pound tortoise
who went missing from an envi-
THEODORE PARISIENNE
Neurologist Charged
In Kickback Probe
STANDOFF: A man perched on a ledge of the Verrazano-Narrows Bridge for five hours Wednesday
before police took him into custody. The incident caused major traffic delays for several hours.
ronmental center.
Shawn Waters, of Queens,
faces up to four years in prison on
one count of criminal possession
of stolen property, the Queens
district attorney’s office said.
A lawyer for Mr. Waters
couldn’t be reached for comment.
In mid-July, an employee at
the Alley Pond Environmental
Center discovered Millennium
had gone missing, and found a
hole in a fence near the tortoise
habitat, prosecutors said.
Authorities didn’t address the
mystery of how Millennium,
awkward and round, was physically removed from the animal
center where he is a main attraction. The 17-year-old tortoise
didn’t like to be tipped on his
side, the center’s head of operations previously said.
“In the eyes of Millennium
the tortoise, the wheels of justice must appear to be turning
exceedingly swift,” Queens District Attorney Richard Brown
said in a statement.
The tortoise, who was “abducted from his Queens habitat
and transported across state
lines to be traded,” was back
home at the environmental center, Mr. Brown said.
Millennium is worth about
$2,500, prosecutors said.
In previous media reports, Mr.
Waters’ mother has said he
loves animals and that the case
is being blown out of proportion.
In a video posted by the nature center, where Millennium
has lived for more than a decade,
the tortoise lumbers through the
site, his head bobbing.
—Corinne Ramey
THE WALL STREET JOURNAL.
LIFE&ARTS
Thursday, August 3, 2017 | A9
BOOKS
On the Trail of Nazi-Looted Books
Scholars trace how half a million books stolen from Jewish owners in France during World War II ended up in Minsk
BY LUCETTE LAGNADO
PARIS
Duringg World
W
War II, the Nazis seized
books from
fro prominent Jewish families
French capital.
in the Fre
4
GERMANY
2
POLAND
MINSK
Many volumes
ended up in
the National
Library of
Belarus, which
opened a new
building,
above, in
2006.
BELARUS
3
1
FRANCE
Painful Journey
A trove of some 500,000
books looted by the Nazis
in Paris ended up in Minsk.
BERLIN
SILESIA
S
In Germany, the looted cultural property
operty
was inspected by its Nazi captors.
S
Some
of the stolen books ended up in what is now Poland,
where the Red Army seized them as spoils of war.
w
Note: Country boundaries are current
THE WALL STREET JOURNAL.
Sources: Dr. Patricia Grimsted, Harvard University's Ukrainian Research Institute, Cambridge, Mass.; Wesley Fisher,
Claims Conference, New York City; photos: Yad Vashem (Paris, Berlin); Getty Images (Minsk)
CLOCKWISE FROM TOP LEFT: ROGER-VIOLLET/THE IMAGE WORKS; NATIONAL LIBRARY OF BELARUS; MATHIEU GÉNON/HANS LUCAS
FRANÇOISE BASCH
still remembers her
grandfather’s “massive”
library at his home in
the heart of Paris.
Her grandfather, Victor Basch, a French Jewish intellectual and professor, loved his books,
she recalls. But during
World War II, the Nazis
seized the entire collection after he fled Paris.
Professor Basch and his
wife were shot to death by
members of the Vichy regime and the Gestapo in
Lyon, where they had sought refuge. But some of his books recently surfaced in—of all places—
Minsk, the capital of Belarus.
According to Holocaust experts,
the Nazis stole tens of millions of
books from Jews and other victims. Recently, scholars have focused on 1.2 million volumes the
Nazis plundered—including
500,000 taken largely from French
Jewish families and institutions.
The books went from France to
Germany to Silesia, where they
were scooped up by the Red Army
as spoils of war.
In 1945, the Soviets sent the
books in 54 railcars to Minsk,
where they have remained for 72
years, known to almost no one but
a handful of researchers and professors. The mystery of how half a
million French books ended up
1,300 miles from Paris in Minsk—
and what to do with them—has
captivated Holocaust scholars and
historians.
The Nazis also looted art, grabbing paintings by Monet, Renoir,
Picasso and others. This sparked a
campaign in recent years to trace
the works and return them to the
owners or their heirs.
Now, the curtain is being lifted
on the books the Nazis stole in
France. Many belonged to prominent Jews such as the Rothschilds
and Professor Basch, along with
other “enemies” of the Reich, including Communists and Freemasons. Experts say that most Hebrew books or volumes on
Judaism went to Frankfurt. There,
the Germans created a research institute “on the Jewish question.”
When Frankfurt came under American control after the war, there
were efforts to return the books.
But most owners were dead, so
the U.S. turned the volumes over
to a Jewish organization which
distributed them to America, Israel
and elsewhere; these in turn
placed them in libraries and other
institutions.
A large quantity of books ended
up in Soviet hands. These were
mostly secular works that went to
Berlin, instead, and included novels by Victor Hugo, Marcel Proust,
Emile Zola and Jean-Paul Sartre.
There also were books on politics
and philosophy, as well as volumes
by Salvador Dalí and Marc Chagall.
These were found after the war by
the so-called Trophy Brigades of
the Red Army—special divisions
that picked up cultural property in
occupied countries.
The French books were stored
alongside hundreds of thousands
of volumes the Nazis plundered
from Belarus. Some experts say
that—and the fact that Belarus
longed to replenish what they had
lost—is why so many of the books
ended up in Minsk.
Devastated by the war, the Soviets were in no mood for restitution. While they eventually gave
back some cultural treasures, including some French archives, the
books remained in Minsk and were
barely discussed until the 1990s,
after the fall of Communism.
Only in recent years have there
been serious efforts to track and
document the books that ended up
there. One problem that slows the
quest: Books typically don’t have
the material value or sizzle that
great paintings do.
“In many cases books are not
unique,” says Patricia Kennedy
Grimsted, senior research associate at Harvard’s Ukrainian Research Institute in Cambridge,
Mass. “But,” she points out, “many
of these are unique.”
Dr. Grimsted, who tracked the
books’ journey from Paris to
Minsk, says “they do have financial value—but not in the millions
like the art.” Dr. Grimsted’s research received support from the
Conference on Jewish Material
The Nazis plundered the library of French intellectual Victor Basch, above, with his wife Hélène. Some of his books,
including the inscribed volume, above right, are in Minsk; Mr. Basch’s granddaughter, Françoise, right, wants them back.
Claims Against Germany, a New
York-based organization tasked
since 1951 with compensating Holocaust survivors using German
funds. The organization, also
known as the Claims Conference,
has sought restitution for those
who lost property or art. The
Claims Conference is leading many
of the efforts to examine the
Minsk collection.
The books, taken from the private libraries of the Rothschilds
and other prominent Jewish families in Paris, include first editions
and volumes inscribed by French
authors. A copy of “Sodom and
Gomorrah,” part of Marcel Proust’s
seven-volume “In Search of Lost
Time,” bears the inscription: “This
book is to take the place of all the
phone calls I never answered, and
the letter I never had the strength
to send.” It is signed, “With great
affection, your Marcel Proust.”
The books would also have
value to victims’ relatives, such as
Ms. Basch, who was very attached
to her grandfather, a historian who
taught aesthetics at the Sorbonne.
According to Nazi records, a squad
descended on Professor Basch’s
Paris apartment in January 1941
and took 17 cases of books. The
professor had already left, and
ended up in Lyon, where he and
his wife were executed in 1944.
Ms. Basch, who is herself a historian, says she was moved to learn
about her grandfather’s books. “I
am terribly excited that his books
are somewhere and within reach
and I might someday look at them,”
she says. “But there isn’t much
time,” she added, “I am 87. I mean
this is such a slow process and
these books are in Minsk.”
“Why don’t those books come
back to France?” she asked.
France and Belarus have held
conferences on the books, including one in Paris in March titled,
“What became of the books plundered by the Nazis?”
In September 2016, a group of
scholars from France, Belgium and
America went to the National Library of Belarus and other Minsk
libraries to meet experts and go
over the books’ tortured history.
Wesley Fisher, director of research for the Claims Conference,
helped organize the Minsk gathering. He recalled having to promise
to the organizers that the meeting
wouldn’t involve restitution, “which
it did not,” Dr. Fisher says. “Do we
specifically think these books
should be returned? The answer in
a perfect world is yes but it is not a
perfect world,” Dr. Fisher says. The
Claims Conference created a website on the looted books and the
Minsk collection.
Vladimir Makarov, a scholar and
retired professor in Minsk, penned
an essay about the French trove and
its tragic origins. “These libraries
had their own holocaust,” he wrote.
“They suffered as suffered many
thousands of people who on political, racial or other grounds were
considered enemies of the Reich.”
At the Paris conference in March,
Anatol Stseburaka, an assistant professor at the School of Business and
Management of Technology of the
Belarusian State University in
Minsk, said for years the books
were decaying in an old church because there was no room for them
in the library. After a new library
building opened in 2006, the books
were moved. Now, he says, they are
well cared for. While he thinks researchers would be welcome, he
worries about talk of restitution.
“Restitution is a bit of a taboo
for us,” Mr. Stseburaka says, “We
lost nearly all we had in the war.”
But he feels “optimistic” there
could be joint projects with Western scholars.
Aliaksandr Susha, deputy director of the National Library of Belarus, echoed that the country’s libraries lost most of their
collections in World War II. He expressed a willingness for more exchanges. “We are ready for cooperation and interaction,” Dr. Susha
noted, adding that his library welcomes foreign visitors and its collections are open to all.
He also expressed willingness to
discuss “the possibilities of the
transfer and exchanges of publications,” including books. He labeled
the notion of restitution “a very
very difficult question” and added:
“we are ready for such discussions.”
In France, François Croquette,
roving ambassador for human
rights and Holocaust issues, said
he and his government were trying
to “gather information about
books looted by the Nazis and allow their lawful owners to get
them back after such a long wait.”
Mr. Croquette said France shall
“keep insisting” on the issue with
the Belarus government.
At the Journal’s request, Mr.
Stseburaka searched for books belonging to Victor Basch in Minsk.
He found five works inscribed to
Professor Basch, including a book
about Leonardo da Vinci and one
about the world economic crisis.
Those books, says his granddaughter, “belonged to a French
citizen, to someone who was assassinated because he was French
and a Jew. So, why aren’t they restituted to France or to his family?”
“Who knows?” she says, “I may
set off to Minsk.”
THE WALL STREET JOURNAL.
A10 | Thursday, August 3, 2017
DANA SCHUTZ/PETZEL GALLERY, NEW YORK
LIFE & ARTS
ART REVIEW
Controversy and Complexity
and her admirers say she’s
time now, as have the prices
not a social commenter, but
commanded by her works:
rather just a painter, which
In 2003 mega-gallerist
would be fine if they didn’t
Larry Gagosian paid
at the same time claim (the
$500,000 for a painting by
artist is quoted in wall laMs. Schutz—saying on the
bels) that some of the paintone hand that he probably
ings are metaphors for our
overpaid, but on the other
currently fractious political
that spending a half-million
times. In short, Ms. Schutz
was probably the only way
wants to have it both
he could obtain one.
ways—art more or less for
Ms. Schutz, who’s been
art’s sake, as well as some
painting seriously since she
vague social relevance.
was 15 years old, has a style
Having a foot in both
that openly borrows from
those camps probably aceverybody from Théodore
counts for part of Ms.
Géricault to Max Beckmann;
Schutz’s art-world popularcontains riffs from Cubism,
ity. Her paintings are expanExpressionism and Surrealsive and colorful, distorted
ism; and seems situated, in a
and deformed, yet never acparade of influences, about
tually ugly. They look as if
halfway between the viscous
they intend to let us in on
painterliness of Lucian Freud
something deeply felt about
and the psychedelic political
their wildly variegated subPop of Peter Saul. There’s
ject matter, but they’re not
also more than a telepathic
quite convincing. To invoke a
touch of an artist Ms. Schutz
colloquialism, the sizzle of
doesn’t cite, the DepressionMs. Schutz’s paintings really
era agitprop painter, William
sizzles, but her art would be
Gropper. What’s remarkable
more consequential if she
is that Ms. Schutz has made
were to give us more steak—
of this stylistic succotash
a palpably emotional point
something emphatically her
Dana Schutz’s ‘Swimming, Smoking, Crying’ (2009), above; ‘Big Wave’ (2016), top left, and
of view.
own: big, bright panoplies of
‘Elevator’ (2017), top right
Perhaps, in the end, the
shards and smears that coerror of “Empty Casket” was
alesce into bathers having
best—as in the atypically small
plexity and variety of her
not that she broke into a cultural
fun at the beach (“Big Wave,”
(45-by-48-inch) “Swimming, Smokcompositions and the spectra they
confine where she wasn’t welcome,
2016), a woman playing piano in a
ing, Crying” (2009), which depicts
require, Ms. Schutz must be changbut that artistically she remained
downpour (“Piano in the Rain,”
a woman impossibly doing exactly
ing to fresh turpentine about every
too safely on the outside.
2012), or chaos in a crowded elevathat—Ms. Schutz is a marvel.
10 minutes. Her whole recent oeutor (“Elevator,” 2017, which was
Nevertheless, her work reveals
vre contains brushwork that’s
also in the Whitney Biennial).
Dana Schutz
some conspicuous limitations. She
Chromatic clarity is Ms. Schutz’s adroit to the point of showing off,
The Institute of Contemporary Art,
shifts gears too much within a
striving not merely to be visually
strongest suit. Her various oranges
through Nov. 26
given painting and changes her
impressive, but to help put paint(apparently her favorite hue) make
application of paint to fit differing itself back on a par with all the
us almost smell the fruit right on
winking, blinking, quasi-hoarder in- ent portrayed objects; the picthe tree; blues feel splashed diMr. Plagens is an artist and writer
tures are jangly enough without
stallations that crowd the contemrectly from a swimming pool; yelin New York.
this additional clash. Ms. Schutz
porary scene. When she’s at her
lows are molten. Given the com-
BY PETER PLAGENS
Boston
THIS CRISP midcareer survey exhibition at the Institute of Contemporary Art notwithstanding, the
passionately all-in New York
painter Dana Schutz (b. 1976) is,
for the foreseeable future, most
likely to be remembered for one of
her rare mediocre pictures—the
badly composed, tepidly colored
“Open Casket” (2016), which depicts in smushy semi-abstraction
the coffined body of Emmett Till,
the battered black victim of a brutally racist murder. The work was
included in the recent Whitney Biennial, where it drew ferocious protests over a perceived privileged
white artist appropriating black
suffering for art-world notoriety.
The controversy surrounding
“Open Casket” has followed Ms.
Schutz to Boston, where a smaller
number of protesters, in the name
of “institutional accountability”
for her alleged Biennial misdeed,
have demanded the ICA pull the
exhibition. All of this, it’s claimed,
has nothing to do with censorship
or career retaliation.
Lest one think that the ICA is
trying to cushion Ms. Schutz’s fall
from essentialist grace (the idea
that only members of a given
group are entitled to make art
about that group or events in its
history), this show of 17 oil paintings (mostly large, some enormous) and four charcoal drawings
was in the works before the Whitney curators visited her Brooklyn
studio to choose pictures for the
Biennial. And Ms. Schutz doesn’t
need a soft landing from the
“Open Casket” kerfuffle: Her demand has been rising for some
Weather
The WSJ Daily Crossword | Edited by Mike Shenk
Shown are today’s noon positions of weather systems and precipitation. Temperature bands are highs for the day.
70s
60s
d
t
Edmonton
Vanc
Vancouver
0s
C
algary
Calgary
70s
80s
70s
l
Helena
Portl
d
Portland
Bismarckk
g
Billings
100s
Reno
Sacramento
Salt Lak
L ke C
Lake
City
80s 100s
San Diego
es Moines
Des
Detroit
k
Milwaukee
ta FFe
Santa
Ph
h
Phoenix
Oklahoma
k homaa City
City
Tucson
Ft. Worth
Atl t
Atlanta
Little Rockk 90s
h
Birmingham
D
ll
Dallas
Jack
Jackson
El P
Paso
90s
50s
60s
70s
A
h g
Anchorage
A ti
Austin
Houston
rtford
Hartford
ew Y
New
Yorkk
60s
Ph
hil d lphi
h
Philadelphia
shington
h
D.C.
DC
Washington
80s
100+
International
Hi
70
94
119
94
95
81
75
61
114
68
66
Today
Tomorrow
Lo W Hi Lo W
61 pc 69 57 pc
79 s
96 79 s
84 s 116 86 s
81 t
92 79 t
74 s
95 78 s
63 t
74 60 pc
59 pc 73 55 pc
41 s
62 46 pc
97 s 110 94 s
52 sh 66 49 pc
51 sh 65 48 sh
4
5
6
7
90s
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
82
91
94
89
87
90
86
69
71
99
87
53
78
98
77
88
83
87
112
95
88
93
101
90
64
94
83
80
84
86
86
9
10
11
12
15
17
18
19
22
23
26
29
34
30
35
31
32
33
36
37
38
Warm
Rain
Cold
T-storms
45
39
40
43
41
44
46
47
49
52
53
54
50
Snow
56
57
58
Showers
Flurries
59
60
61
MOONLIGHTING | By Nancy Cole Stuart
Across
1 “Thy hour and
thy harpoon are
at hand!”
speaker
5 Play starters
10 Throw in
25 Worker who
draws a large
congregation?
28 Agenda entry
29 Country reduced
in size by about
25% in 2011
13 You might see
one in a vault
30 Harbor workers
14 “Parade de
Cirque” painter
35 Drop
temporarily
15 Regulus is in it
36 Beat
16 Worker with
pitches and
polishes?
37 Bounty
punishment
19 Quinella’s kin
20 Gifts
21 Wins over
24 Many dorm
rooms
34 Fathead
39 Bud protector
41 Involved
account
42 Worker whose
prose is out of
this world?
32 Marked by
aggressive and
speculative
investing
4 English
conductor
Thomas
5 Current setting
33 Argue
6 Cloister figure
38 Guitar sound?
7 Melber of
MSNBC
39 Bear
40 Light show
lights
8 Crams
Stationary
Today
Tomorrow
Lo W Hi Lo W
62 t
76 61 pc
65 t
86 65 t
75 s
92 75 pc
83 t
91 84 t
75 pc 89 75 pc
76 pc 92 75 pc
67 s
87 67 s
46 pc 66 47 pc
58 c
73 56 pc
72 s 101 74 s
79 t
84 78 t
45 r
55 45 c
57 pc 75 57 pc
75 pc 99 74 t
59 t
75 63 c
80 sh 86 81 sh
61 pc 78 63 pc
67 s
77 67 r
86 s 112 86 s
72 s
94 72 s
80 sh 90 79 sh
77 pc 94 79 pc
84 t 100 86 pc
80 t
89 80 c
52 r
67 52 s
79 t
96 80 pc
75 pc 85 78 c
67 sh 80 64 t
64 s
83 64 s
67 t
84 60 pc
65 t
81 60 t
51
55
45 Polo in China
47 Western
bands
48 Once in a blue
moon
10 Ralph’s wife
17 Regulus, for one
56 Niche filler
25 Medicine
container
61 Modernists,
slangily
Solve this puzzle online and discuss it at WSJ.com/Puzzles.
45 Gleeful
46 Forsaken
14 Shrewdness
22 Farm feline
60 Unnerved
44 “Semper Fi”
org.
12 Quartet in a
Morse H
52 Worker offering
soft wares?
59 Make blue,
maybe
43 A lot
11 Secretarial
positions
18 “Something to
Talk About”
singer
58 Kitchen
extension?
41 Doctor
Strange’s first
name
9 Double
performances
49 Buyer in a
familiar
warning
57 Cavern
cacophony
27 Where
snowboarding
debuted as an
Olympic sport
31 Merlin Olsen’s
alma mater
3 What some
concert passes
allow
24
27
28
26 “___ girl!”
Down
1 Ambulatory
setting
2 Barnum’s “Feejee
Mermaid,” e.g.
20
21
25
8
14
16
s
City
Amsterdam
Athens
Baghdad
Bangkok
Beijing
Berlin
Brussels
Buenos Aires
Dubai
Dublin
Edinburgh
3
42
Ice
Today
Tomorrow
City
Hi Lo W Hi Lo W
Omaha
75 53 pc 77 60 s
Orlando
90 74 t
92 75 pc
Philadelphia
89 73 pc 89 72 pc
Phoenix
101 84 pc 104 85 t
Pittsburgh
82 68 t
84 60 t
Portland, Maine 80 63 pc 77 64 pc
Portland, Ore.
106 68 s
99 64 s
Sacramento
98 69 s 102 69 s
St. Louis
93 65 pc 78 62 s
Salt Lake City
98 72 s
97 72 s
San Francisco
79 62 pc 77 60 s
Santa Fe
85 57 t
81 57 pc
Seattle
97 66 s
96 63 s
Sioux Falls
64 48 pc 75 55 s
Wash., D.C.
92 74 pc 91 74 pc
2
48
Miami
U.S. Forecasts
1
13
90s
h
d
Richmond
70s
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
62 55 c
67 55 pc
Atlanta
87 70 t
87 71 pc
Austin
93 73 t
97 74 t
Baltimore
90 69 pc 90 71 pc
Boise
99 67 s
99 66 s
Boston
82 67 pc 82 68 pc
Burlington
86 68 t
87 68 pc
Charlotte
89 69 pc 90 70 pc
Chicago
82 61 t
68 57 c
Cleveland
85 70 t
82 63 t
Dallas
91 75 pc 93 75 c
Denver
72 55 c
88 59 t
Detroit
84 68 t
79 60 t
Honolulu
89 77 pc 90 77 sh
Houston
88 75 c
91 77 t
Indianapolis
83 67 c
74 56 pc
Kansas City
80 54 pc 74 57 s
Las Vegas
99 83 t 102 84 pc
Little Rock
87 71 pc 86 65 t
Los Angeles
90 72 pc 88 71 s
Miami
93 82 pc 93 83 pc
Milwaukee
77 60 t
68 58 c
Minneapolis
66 53 r
76 61 pc
Nashville
90 71 pc 86 64 t
New Orleans
83 73 t
85 75 t
New York City
86 72 pc 84 72 pc
Oklahoma City
91 65 pc 82 61 pc
70s
90s
l d
Orlando
Ta
p
Tampa
Honolulu
50s
JJacksonville
k
ew
w Orleans
New
80s 90s
40s
t
Boston
igh
h
Raleigh
Ch
l
Charlotte
C
b
Columbia
b
Mobile
an Antonio
A t i
San
A
t
Augusta
Cleve d
Cleveland
h ill
Nashville
phi
Memphis
Alb
b q q
Albuquerque
80s
A
bbany
ny
Albany
70s
Ch g
Chicago
Pit
b h
Pittsburgh
Ch
Cheyenne
h
Omaha
70s Spring
p i gfi ld
Springfield
Denver
Topek
Topeka
di
p
Indianapolis
L
Lou
St.. Louis
Colorad
C
l d
Colorado
Charleston
p
80s Kansas 90s
Springs
LLouisville
Lo
ill
60s
h
hit
Wichita
Cityy
Las
Veg
Vegas
Ange
l
Los A
Angeles
Buffalo
oux FFalls
ll
Sioux
60s
80s
n Francisco
San
80s
Pierre
80s
Toronto
p s / . Paul
Mpls./St.
30s
Montreal
ttawa
Ottawa
50s
Boise
100s
70s
20s
60s
g
Eugene
80s
10s
ip
Winnipeg
ttl
Seattle
100s 90s
<0
48 Chips source
50 Aboard
51 GPS lines
53 Electrical unit
now called a
siemens
23 Moxie, e.g.
54 Cattle call
55 Rodent reaction
Previous Puzzle’s Solution
S
E
W
S
E
V
E
S
J
L U
E L
T I
O
A
I
D
E
D
E
C
A
M
P
A
S
P
S
T
O
R
N
S
H
O
O
L S
T A
D I N
L I
R O N
E R A
A S
L
C
P L
E R A
G I S
R O S
E R A
T
C
S
T
S
I
G
N
E
T
L
O
T
T
C
H
I
L AM
C
O T A
R
B A N D E
E
D E A
V A N S
S E T T E
A R E S
U B S
D
D
MO
I C N E R
H OMM
S A A B
K T H E R
I T
R A
D Y
S P
H
E
R
R
A
D
A
M
R
E
J
U
V
E
N
A
T
E
S
C O
E D
N D
E
O
P
E
N
P
O
S
E
B
Y
R
D
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | A11
LIFE & ARTS
ART
The Art World’s Antiquities Sleuth
FROM LEFT: THE METROPOLITAN MUSEUM OF ART; CHRISTOS TSIROGIANNIS
Greek archaeologist who discovered looted vase at the Met is ‘thorn in side’ of auction houses and museums
The Met turned over this Greek vase to prosecutors after archaeologist
Christos Tsirogiannis tipped off authorities that it may have been stolen.
BY KELLY CROW
SOME OF THE world’s biggest
cases of antiquities looting—including the Greek vase relinquished by New York’s Metropolitan Museum of Art last week—
were cracked by a forensic
archaeologist in Cambridge, England, who is better known for
sifting documents than dirt.
Christos Tsirogiannis, a 44year-old archaeologist who lectures at the Association for Research into Crimes Against Art, a
Rome-based think tank, grew up
surrounded by ancient ruins in
the northeastern Greek city of
Thrace. He got his sleuthing start
in Athens in 2004 when he volunteered to help Greek police
track down illicit antiquities.
Over the next four years, he and
the police’s art squad worked 178
cases, finding looted art in local
monasteries as well as businesses
throughout Greece. He also
helped another Greek task force
repatriate illlicit art in faraway
collections like Los Angeles’s J.
Paul Getty Museum. The bulk of
the confiscated pieces in Greece
were given to local museums, he
added.
Now, he ranks as one of a
handful of archaeologists who
are playing an instrumental role
in the global hunt for stolen art.
“I couldn’t stand to see cultural
heritage get looted only to be
shown in museums that touted
their ethical standards,” said Mr.
Tsirogiannis, who earned his doctorate from the University of
Cambridge, and until last year
worked as an art crimes researcher at the University of
Glasgow. “People need to know
the whole truth behind these objects, not just what the museums
and the market want to present.”
After a Roman court convicted
art dealer Giacomo Medici of
dealing in stolen ancient artifacts
in 2004, Mr. Tsirogiannis managed to secure permission from
the Greek and Italian governments to access Mr. Medici’s confiscated photo archives, a vast inventory of crumpled Polaroid
photographs cataloging the thousands of dirt-and-salt-encrusted
pieces the dealer had handled or
sold. Since then, Mr. Tsirogiannis
said he has identified at least
1,100 objects within his photographed trove and other records
confiscated from convicted British and Italian dealers, roughly
300 of which he later repatriated
to Greece and Italy from muse-
ums, galleries and auction
houses. (Mr. Medici could not be
reached for comment.)
“Christos is a thorn in the side
of the auction houses, and he
gives dealers and curators reasons to pause before shopping,”
said Lynda Albertson, chief executive officer of the art-crime association. Ms. Albertson said she
tallied at least 14 times last year
when his research compelled auction houses to remove pieces
from their sales because they had
been likely looted. In most cases,
these pieces were later returned
to their origin countries, Mr.
Tsirogiannis said. Sotheby’s and
Christie’s declined to comment.
Mr. Tsirogiannis’s matching
game also helped him figure out
that a 2,300-year-old wine vessel
that had likely been looted from
an Italian tomb sometime in the
mid-1970s and later logged in Mr.
Medici’s inventory was identical
to a vase that entered the Met’s
collection after selling at Sotheby’s for $90,000 in 1989. Both
vases sported the same depictions of a satyr pulling the Greek
god of wine, Dionysis, in a cart.
The story was first reported by
the New York Times.
Mr. Tsirogiannis said he
reached out to the museum several times in 2014, to no avail,
before publishing his findings online and in a journal run by the
art-crime association. Last year,
he sent copies of his report to
the Italian authorities and Interpol. Stymied again, he took matters to another level three
months ago by turning his evidence over to New York’s Assistant District Attorney Matthew
Bogdanos, whose office issued a
warrant for the piece last month.
Kenneth Weine, a museum
spokesman, said the Met saw Mr.
Tsirogiannis’s journal report two
years ago and sought guidance
from the Italian Ministry of Culture, according to terms of a
prior agreement. But after the
district attorney’s office reached
out to the museum, the Met “immediately took the piece off display and last week delivered it to
the prosecutor’s office,” Mr.
Weine said, adding that the museum is “always committed to
working with government partners to resolve an issue regarding an item in our collection.”
Despite his efforts, Mr. Tsirogiannis said the hunt for illicit
art remains “early days” because
few museums and universities
have hired in-house provenance
researchers or added curriculum
that teaches archaeologists or
young curators and collectors
how to avoid buying stolen antiquities. Even his research is unpaid, he said.
“Culture is for sale, and whoever goes against that profit often gets ignored or marginalized,” he said, “but the ethical
reward is my motivation.”
HAMILTON
MEET THE FLYING SCHUYLER SISTER
ON A RECENT Saturday morning,
Broadway actress Jennie Harney was
awakened by a phone call. “How do
you feel about an adventure today?”
asked Jason Bassett, production supervisor for “Hamilton.”
A few hours later, she was at a New
York airport. That evening, she was in
San Francisco, ready to go on stage, if
needed, as one of the three Schuyler
sisters in “Hamilton.”
This is the life of a universal
standby in “Hamilton,” the hit musical
based on the life of U.S. founding father Alexander Hamilton. The show has
five universal actors ready to fly crosscountry and perform in any of its three
productions, in New York, Chicago and
San Francisco, whenever a regular cast
member can’t go on.
Nicknamed the “Universal Schuyler,”
Ms. Harney covers the main roles of
Angelica, Eliza and Peggy Schuyler. The
other actors are “swings,” covering five
or six ensemble roles.
The show concludes its San Francisco run on Saturday, and the universal actors will add Los Angeles into
their rotation when the production resumes there on Aug. 11.
While the “Hamilton” productions
are largely the same across the three
cities, Antuan Raimone, one of the universal swings, said his job feels more
like covering 18 roles because of the
different stage dimensions, which
change where he has to stand and how
he moves. When Ms. Harney went on
JENNIE HARNEY
BY CAITLIN HUSTON
Jennie Harney as Eliza Hamilton in San
Francisco. As a universal standby, she
performs in ‘Hamilton’ in different cities.
in San Francisco as Eliza, she had to
quickly develop a passionate connection with Alexander Hamilton and a
sisterly bond with two actresses she
had just met. The show tries to make
sure they have at least a run through
with the cast before going on.
“You have to get in there and do
your job and pretend that they’re your
best friends,” Ms. Harney said.
“Hamilton” chose to employ five jetsetting actors, rather than the more
traditional setup which is to hire
someone based locally to fill in during
an actor’s vacation. It takes an average
of four to six weeks to learn one role
in the rapid-paced show, and six weeks
to build a set of costumes.
“Jersey Boys” had one cross-country
swing when it had multiple productions running, but the role of a “universal standby” is relatively rare, as
the notion is predicated on a show’s
having multiple simultaneous productions.
For Mr. Raimone, the fact that he
typically doesn’t go on for eight shows
a week, as he would in a traditional ensemble role, means that he is not overextending his body. In the long term,
this mean he’s able to lengthen his
dance career. “I love dancing, and I
love performing, but I’m also aware
that the body can only do what it can
do for so long,” he said.
Typically, Mr. Bassett tries to schedule the swings and standby, Ms. Harney,
with a month’s notice. Each cast has its
own in-town swings and standbys, but if
they all go on at the same time or someone is on vacation or injured, the universal actors are needed.
To prepare for each Schuyler sister,
Harney said she’s created a binder with
color-coded index cards — coordinated
with each sister’s main costume color
— as a “cheat sheet” for every number
in the show. “I can’t even tell you how
many times I’ve watched ‘Helpless’ and
‘Satisfied’ just to watch traffic patterns,” Ms. Harney said.
N
W
O
SIT D
N
O
E
MOV
VariableTM balans®
The Original Kneeling Chair®
A Scandinavian Original
Strengthen Your Core. Perfect Your Posture.
Focus Your Mind.
varierchairs.com/kneel | 888-822-3175
THE WALL STREET JOURNAL.
A12 | Thursday, August 3, 2017
SPORTS
TENNIS
Paris Saint-Germain will have to pay
a record transfer fee of $262 million
to pry Neymar from Barcelona.
WAWRINKA
IS STILL
HURTING
DAVID RAMOS/GETTY IMAGES
AFTER LOSING Novak Djokovic for its tournament, the
U.S. Open may face another
star absence: Stan Wawrinka,
last year’s champion.
Wawrinka, 32 years old,
was in fine form earlier this
year and reached the French
Open final. Since then,
though, he has struggled
with a knee injury. He didn’t
win a match at the Aegon
Championships or Wimbledon and hasn’t played since.
On Wednesday he announced
that he would skip the two
largest warm-up tournaments leading up the U.S.
Open in order to recover.
”After much backwards and
forwards and consultations
with my doctors and my team
unfortunately I have decided
to skip Canada and Cincinnati
to be on the safe side even
though I’ve been battling
hard to make these events,”
Wawrinka said. “Hugely disappointing for my fans and
myself that I have to make
this decision, but I need to be
100 percent confident before I
resume competition.”
No. 1 seed Andy Murray has
also been struggling physically, and Djokovic announced
in late July that he will sit out
the rest of the year due to an
elbow injury. But so far Roger
Federer and Rafael Nadal are
healthy and playing better
than anyone else. In all their
years they have not faced each
other in the U.S. Open. Nadal
is ranked No. 2 and Federer
No. 3 but Federer has no more
points to protect from last
season and could easily rise to
No. 1 this year.
Wawrinka, currently ranked
No. 4, has won three Grand
Slam titles in his career.
He’s hasn’t been as consistent as the top men in tennis,
but when he’s on, he’s as difficult to beat as anyone. At last
year’s U.S. Open, Wawrinka
won the final against Djokovic
in four sets. He has beaten
Djokovic in another Grand
Slam final, the French Open in
2015. He also beat Nadal in a
Slam final, at the 2014 Australian Open.
“My team and I are doing
everything possible to make
this a speedy recovery,”
Wawrinka said.
DAVID RAMOS/GETTY IMAGES
BY TOM PERROTTA
SOCCER
Breaking the Bank for Neymar
BY JOSHUA ROBINSON
FROM THE moment rumors
emerged that Paris SaintGermain, the Qatar-backed
club from the French capital,
might pry away the Brazilian
star Neymar from Barcelona,
any illusion of subtlety in
soccer transfers went out
the window.
For one, there is the proposed transfer fee. Paris
Saint-Germain isn’t gently
coaxing Barcelona into letting
go of Neymar. It’s beating
them over the head with an
offer of $262 million, more
than twice the previous
world record.
Then, there is the hamhanded courtship as clues
leaked out in France and
Spain all week. There was
Neymar’s dispensation to skip
practice with Barcelona on
Wednesday. There was the
public farewell from his soonto-be-former teammate Lionel
Messi. There was the tweet
from Neymar’s agent saying
how wonderful Paris was for
“the Eiffel Tower, the wine,
the food, and FOOTBALL.”
Later on Wednesday, Barcelona confirmed the obvious.
Neymar had asked the club
president to let him leave.
All those developments
are simply details of what is
really happening here: the
Neymar transfer is the most
strident attempt in soccer
history to reorganize the European game by brute force.
The move simultaneously
weakens Barcelona, the preeminent power of the past
decade, and bolsters PSG,
the French arriviste that
wants nothing more than to
legitimize six years of wild
spending with a first Champions League trophy.
Since PSG fell under the
control in 2011 of a group
called Qatar Sports Investments, an arm of Qatar’s
sovereign-wealth fund, it
has never been shy about its
Europe-or-bust ambitions.
But reality has caught it at
every turn. When PSG finally
seemed to take the elusive
step forward last spring by
beating Barcelona 4-0 in the
first leg of its Champions
League Round of 16, it
learned a lesson in power
dynamics with a 6-1 defeat
in the second leg. Neymar
scored twice that night.
Those types of performances happened a lot for
him in his four years in
Spain. Neymar formed one
third of the most fearsome
attacking trident on the
planet alongside Messi and
Luis Suárez. Last season,
which he began with Olympic
gold for Brazil in Rio de Janeiro, Neymar posted 13 goals
and 11 assists. Sure, it was a
lower return than usual for
him, but it hardly diminished
his status among the game’s
super-elite or his commercial
appeal. Neymar remains a
globally famous 25-year-old
from Brazil with flashy skills
and a personal Nike endorsement who will soon sign for a
Nike-sponsored club in Paris.
Whether or not his team
wins any trophies seems almost beside the point.
Far beyond the field, this
particular act of one club sell-
Rising Transfer Market
The progression of soccer’s transfer record if Neymar joins PSG.
YEAR
PLAYER (CLUB)
2017
Neymar (Barcelona)
2016
Paul Pogba (Juventus)
2013 Gareth Bale (Tottenham)
2009 Cristiano Ronaldo (Man U)
2001 Zinedine Zidane (Juventus)
2000
Luis Figo (Barcelona)
Christian Vieri (Lazio)
1999
1998
Denilson (Sao Paulo)
1997
Ronaldo (Barcelona)
1996 Alan Shearer (Blackburn)
BUYING CLUB
FEE
PSG
Man U
Real Madrid
Real Madrid
Real Madrid
Real Madrid
Internazionale
Real Betis
Internazionale
Newcastle
$262 million
$125 million
$120 million
$112 million
$87 million
$71 million
$55 million
$37 million
$33 million
$25 million
Note: Fees are converted from Euros at present-day rates.
Source: TransferMarkt; WSJ
ing a player to another club
also has more than commercial and marketing facets. This
is the rare soccer transfer
with a geopolitical dimension.
From 2013 to 2017, Barcelona’s primary jersey sponsor
was Qatar Airways. And now
they are selling a superstar to
a club wholly owned and operated by a Qatari government entity—only the latest
addition to Qatar’s soccer
portfolio, which also includes
hosting the 2022 World Cup.
For a country of 2.2 million
people that has dabbled in everything from team handball
to pro cycling, nothing has
compared with soccer for cultivating influence.
Once it is formally announced later this week, according to reports in France
and Spain, Neymar’s transfer
fee will shatter the existing
record of $125 million—
spent by Manchester United
last year on Paul Pogba.
This marks the 15th time
the transfer record has been
shattered since 1992. In 2001
Real Madrid blew what
amounted to $67 million to
acquire Zinedine Zidane, a
World Cup and European
Championship winner with
once-in-a-generation talent.
This summer, that fee just
about buys you a fullback
from Tottenham. (That’s
roughly what Manchester
City paid last month to pick
up Kyle Walker from Spurs.)
The whole Neymar episode
has been enough to shock the
president of the Spanish
league, the home of two of the
richest, most liberal spenders
on the planet, Real Madrid and
Barcelona. In the past eight
years, Real has broken the
world transfer record twice
and became the first club in
the world to smash through
the €100 million barrier when
it signed Gareth Bale.
But to La Liga chief Javier
Tebas, this one goes too far.
“La Liga will denounce the
unfairness of competing
against state-backed clubs; the
teams that receive economic
investment from countries
that gift players to their fans
at the cost of taking them
from other clubs,” he told the
Spanish sports daily AS. “In
terms of PSG, it is a clear case
of ‘financial doping.’”
Over recent seasons, European soccer’s governing
body, UEFA, created rules to
prevent just that, dubbing
them Financial Fair Play. In
an era of Middle Eastern
sheikhs, Russian oligarchs,
and American billionaires
turbo-charging the market,
the idea was to stem the
flow of money from outside
the game by limiting the financial losses a club could
carry from one season into
the next. In other words, any
money spent by the club had
to be more or less earned by
the club itself, as opposed to,
say, a sovereign-wealth fund.
In practice, that has not
deterred too many billionaires. And while PSG worried
about running afoul of Financial Fair Play, UEFA isn’t yet
in a position to say whether
any rules have been broken.
“The transfer of Neymar
to PSG will have an effect on
the club finances over several years but the impact of
such an operation cannot be
judged in advance,” UEFA
wrote in an email, “notably
as PSG could well sell several players for a significant
amount.”
Or PSG could just keep
spending.
COVERAGE BEGINS TODAY
CONTINUES FRIDAY - SUNDAY
THURS - FRI 7:30AM
SAT - SUN 9:10AM
THURS - FRI 1:30PM
SAT - SUN 12:00PM
SAT - SUN 2:00PM
DUSTIN JOHNSON
DEFENDING CHAMPION
© 2017 PGA TOUR, INC. ALL RIGHTS RESERVED. PLAYER APPEARANCE SUBJECT TO CHANGE.
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | A13
OPINION
The White House C-Words
Years
from
now, anthropologists will
struggle to explain how Anthony Scaramucci became
WONDER
a household
LAND
name. Or how
By Daniel
the country’s
Henninger
political culture came to
obsess over Sean Spicer and
Sarah Huckabee Sanders.
These cultural excavators
will try to explain to baffled
students that in 2017, during
the Age of Twitter, the Trump
White House had a seemingly
insoluble “communications
problem.” The anthropologists
will describe how after a series
of public firings, the president
decided that the “Celebrity Apprentice” phase of his presidency was finally over. And
that with the appointment of
retired four-star Marine Gen.
John Kelly as White House
chief of staff, President Trump
signaled the time had arrived
for focused seriousness.
Enough with the August
reveries. We are living through
a time of cultural evanescence,
and there’s no reason why that
should not include the easycome, easy-go White House careers of Anthony Scaramucci
and the others.
The danger of a pop-culture
presidency is that real events,
including political land mines,
don’t get noticed. This week,
the Trump presidency had a
near-death experience.
It wasn’t the health-care
failure. That left the Republican Party, not Donald Trump,
with one foot in the grave.
The noteworthy event for Mr.
Trump was the vote in the
House and Senate to impose
sanctions on Russia, Iran and
North Korea.
The sanctions themselves
are notable, but the big story
was the extraordinary vote totals. In the House, the sanctions bill passed 419-3 and
98-2 in the Senate.
No other issue in the political firmament would produce
such lopsided votes, and the
reason for it wasn’t Russia.
This was a no-confidence vote
in a sitting American president. One Republican senator
told us privately, “We just
don’t trust him on Russia.” A
second senator independently
confirmed the vote was a
hedge against Mr. Trump’s
chameleon-like behavior on
Vladimir Putin.
Incidentally, a short memo
about that sanctions vote for
the progressive celebrities still
weeping about the “death of
our democracy”: The American
system of checks and balances
works. With the Obama White
House, which tried to reorder
the country by executive decree, constraints came from
the judicial branch. The Russia
sanctions vote shows that the
checks on Mr. Trump, if necessary, will be legislative.
What is happening here in
midsummer is that the Trump
presidential adventure has arrived at another of its routine
tipping points. Indeed, Mr.
Trump’s most remarkable attribute may be that he has a gyroscopic ability not to tip over
completely. After caroming
around for a week with White
House departures, the president
appointed Mr. Kelly, whose job
description while leading the
Marines in Iraq’s Anbar Province included getting things
done with powerful tribal
chiefs. He should get along fine
with Donald Trump.
Far be it from me to load
the future of the republic onto
John Kelly, but a lot of people
in government just now are in
duty-to-country mode.
Terms unheard from
Anthony Scaramucci:
credibility, coherence
and consistency.
There will be no plea or expectation here for Mr. Kelly to
get control of the White
House’s fratricidal leaks. The
modern press standard for anonymity is that there is no
standard. No name, no problem. The no-name bombshell
stories fill the clickbait needs
of an internet-dependent media and the political pathologies of their sources. It’s Beltway binge-watching, and Mr.
Kelly should ignore it—unless
he can find a leaker to put up
against a wall.
Instead, Mr. Kelly’s new job
is to deploy across the Trump
White House the three c-words
that Anthony Scaramucci did
not use in his New Yorker interview: credibility, coherence
and consistency. Without them,
no American presidency can
succeed or survive as a functioning political force.
Credibility arrives with Mr.
Kelly’s résumé. Coherence—
OK, maybe I’m overreaching
with that one. Consistency,
however, is crucial.
To avoid a humiliating override of his veto, Mr. Trump
signed the sanctions bill
Thursday, declaring many provisions are “clearly unconstitutional.” Maybe so. But policy
inconsistency produced the
anti-Trump sanctions votes. It
happened because of the most
troubling thing Mr. Trump said
during the campaign—his recurring, never-explained compliments for Mr. Putin.
We suppose it’s possible
that, like Rosebud in “Citizen
Kane,” Robert Mueller’s investigations will find some vestigial explanation for Mr.
Trump’s Putin fascination. Of
late, though, the Trump administration’s Russia policy has
become unequivocal.
This week, Vice President
Mike Pence is delivering strong
statements of strategic support in Estonia, Georgia and
Montenegro, accusing Russia
of “undermining democracies”—even as Moscow prepares a massive military exercise involving 100,000 troops
on NATO’s periphery.
Signing the sanctions bill,
Mr. Trump said, “As President,
I can make far better deals
with foreign countries than
Congress.” We’ll see. Beyond
Russia for Mr. Trump lies the
need to create policies for
North Korea and Syria. If he
lets his new chief of staff install credibility, coherence and
consistency as standard operating procedure for this White
House, he’ll never have to sign
another sanctions bill.
Write henninger@wsj.com.
Kelly’s Boot Camp for Presidential Aides
By Karl Rove
J
ohn Kelly has injected
some Marine discipline
into a chaotic White
House—for a few days, at
least. Sworn in Monday as
chief of staff, Mr. Kelly immediately cashiered the communications director Anthony
Scaramucci, told other senior
aides that they report to him,
and curtailed Oval Office walkin privileges. If he hadn’t taken
these actions to reduce conflict, friction and end-runs in
the West Wing, the retired
general would have been neutered from the start.
But how long this new tone
will endure is unclear, given
Donald Trump’s mercurial
moods. Will Mr. Trump resist
Mr. Kelly’s efforts to impose
order? Or will Mr. Trump realize that a strong chief of staff
reflects a strong president,
much as James Baker’s service
revealed Ronald Reagan’s confident leadership?
There are many methods
Team Trump might use to repair the early damage to the
administration, some of which
would work better than others. One not-so-promising approach would be appealing to
the party loyalty of congressional Republicans—an idea
Mr. Trump raised in his recent
address to the Boy Scouts. “As
the scout law says, a scout is
trustworthy, loyal,” Mr. Trump
said. “We could use some
more loyalty, I will tell you
that.”
But Mr. Trump, having not
been a paragon of partisan fealty, is hardly in a position to
insist on it now. He was a registered Democrat or independent
for most of his life. Before running for president some of his
largest political contributions
went to help elect Nancy Pelosi
Trump’s new chief of
staff knows how to
impose discipline—if
the president lets him.
speaker in 2006. He later said
his only criticism of her performance was that she hadn’t done
enough to impeach President
George W. Bush, whom Mr.
Trump opposed in 2004 while
supporting John Kerry.
Most congressional Republicans don’t believe they owe
Mr. Trump. No matter how
much they welcomed his victory, many feel they pulled him
into office, not the other way
around. Of the 22 Republican
senators elected last fall, only
five trailed Mr. Trump in their
states. To its chagrin, the leftwing Daily Kos found only 34
of the 241 victorious Republican congressmen didn’t get
more of the vote than Mr.
Trump.
The absence of a close relationship between the White
House and Republican congressional leaders creates another
challenge. Some White House
aides and outside allies have
aimed to disrupt or even oust
the GOP’s House and Senate
leadership. Mr. Kelly should restrain these impulses during
the coming battles over tax reform, the budget, the debt ceiling, infrastructure and—possibly—health care again. “A drop
of honey catches more flies
than a gallon of gall,” as Lincoln put it.
Mr. Kelly’s challenge is to
help Mr. Trump win support
the old-fashioned way: by making a substantive case that the
president’s policies are good
for America. This requires
strengthening the White House
policy-making apparatus. Top
advisers must not only frame
good decisions for the president, but should also arm him
and his supporters with arguments, talking points, rebuttals,
fact sheets, story lines and examples of people who will be
helped by his policies.
Putting an emphasis on substance will also require focusing the president’s voice. Discipline is not one of Mr. Trump’s
strengths. Mr. Kelly must make
it one. The president won’t
persuade Congress and American voters to back his agenda
unless he makes his case consistently, without skittering
from issue to controversy and
back again. There should be
more set-piece speeches spelling out policies in a sustained
fashion and fewer tweets attacking fellow Republicans or
cabinet members.
The chief of staff should
name a key lieutenant to replace Mr. Scaramucci. This
new communications director
would work closely with colleagues across the administration, allies on Capitol Hill, and
outside groups to organize
support for Mr. Trump’s initiatives. The strategy must employ every available means to
transmit the White House’s
message—from tweets, to cable, print and digital media, to
town halls and Oval Office addresses. So far the administration’s communications strategy has been nonexistent.
Mr. Kelly is a decorated
combat commander, but he is
also a veteran of Washington’s
political wars. He completed
tours as the Marine liaison officer to the House, assistant to
the Supreme Allied Commander of Europe, legislative
assistant to the Marine Commandant and senior military
assistant to two defense secretaries, Robert Gates and
Leon Panetta. This experience
should serve him and the
president well in the tough
battles ahead.
The first six months of the
Trump presidency have been
marked by chaos, and the administration cannot survive
another six months of the
same. Mr. Kelly has the skills
to help the president turn
things around. The question is
whether Mr. Trump will empower him to do so.
Mr. Rove helped organize
the political-action committee
American Crossroads and is
the author of “The Triumph of
William McKinley” (Simon &
Schuster, 2015).
Hoteliers Start to Mimic Airlines—Uh-Oh
By Charles Leocha
H
idden hotel “resort
fees” are a comparison
shopper’s nightmare.
These extra charges can cover
everything from gym access
and “free” internet to local
phone calls and even towels.
Often such fees are mandatory,
meaning they are added to the
bill regardless of whether the
traveler uses the service or facility in question.
The result is to mislead
customers about the true cost
of a night’s stay. In large cities
like New York, San Francisco
and Los Angeles, resort fees
have jumped by 70% in six
months.
The trend suggests that the
hotel business is drifting toward the kind of economics
that define the airline industry.
The “big six” hospitality megachains—IHG, Hilton, Marriott,
Choice, Wyndham and Hyatt—
have gobbled up 60% of all U.S.
hotel rooms. Now they are
adding fees that resemble the
baggage and ancillary charges
assessed by the “big four” airlines.
Some hotel consultants have
explicitly embraced the comparison. “Similar to their airline
brethren,” Daniel Lesser, CEO
of LW Hospitality Advisors,
wrote last year in Hotels magazine, “I firmly believe lodging
owners and operators need to
be more concerned with economic yields as compared with
service and guest satisfaction.”
He was even more candid in another post: “I believe the lodging industry should nickel and
dime the same population that
flies and/or cruises.”
The issue is coming to a
head because Marriott International is stonewalling a national investigation by the attorneys general of 46 states
and the District of Columbia
into “deceptive price advertising techniques.” In June, the
D.C. attorney general sent a petition for enforcement demanding that the chain respond to a
subpoena it has been sitting on
for more than a year. It states
that “to date, Marriott has not
cooperated in this investigation,” refusing to turn over
documents such as copies of internal fee policies and an explanation of how the revenue is
reported in its earnings. The
petition is pending with the
D.C. Superior Court.
Many hotels lower the
sticker price by adding
‘fees’ to the bill.
mandatory resort fees from
posted room rates without
first disclosing the total price
is likely to harm consumers by
artificially increasing the
search costs and the cognitive
costs of finding and booking
hotel accommodations.”
These warnings have clearly
failed to convince the big six
hotel operators to change
course. Two years ago, 10
members of Congress wrote
the FTC calling such fees “unfair and deceptive” and asking
that they be banned. “Phones
and tablets do not lend themselves to extensive disclosures,” they wrote, “and consumers are not well served by
budgeting for one fare while
being presented with another.”
The Federal Trade Commission
and state attorneys general
should act swiftly to ensure
that all mandatory fees are included in advertised room
rates.
The Federal Trade Commission has also advised hotels to
tread carefully with what it calls
“drip pricing.” In 2012 the FTC
warned 22 hotel operators—it
declined to say which ones—
that their websites “may violate
the law by providing a deceptively low estimate of what consumers can expect to pay.”
A study released this January by an FTC economist exMr. Leocha is president and
plained the danger: “Separating founder of Travelers United.
BOOKSHELF | By Andrew Stuttaford
Northern
Lights
Scandinavians
By Robert Ferguson
(Overlook, 455 pages, $35)
R
obert Ferguson’s “Scandinavians” is not a book for
the beach, but it might well fit the bill on a distant
northern shore, with the fog rolling in and memories of long ships stirring. Discursive, meandering, sometimes beautifully written, it presents a historical narrative
punctuated by reminiscences, conversations retold,
snatches of autobiography, fragments of biography and
stories added, one suspects, solely for their strangeness.
We learn, for instance, about Olof Rudbeck (1630-1702),
scientist, engineer, architect, musician and botanist. “Of
all [the] claims for Rudbeck’s polymathic genius,” Mr.
Ferguson writes, “none can compare in its scope, its
vision, its ingenuity and its sheer weirdness” with his
discovery that Atlantis had been located in Sweden and
that Swedish was “the proto-language from which Greek,
Latin and Hebrew all derived.” Rudbeck devised, Mr.
Ferguson suggests, “a golden past worthy of Sweden’s
golden present”—in the 17th century, the country was a
European superpower. The stormaktstiden (the great
power era) didn’t last long,
nor did Rudbeck’s reputation.
Even so, nowadays he is
remembered sympathetically
in Sweden for his account of
the country’s origins, a saga “in
which facts, dreams, myth and
waking life, historical personages, biblical and mythological
figures merge and flow and part
in a mesmerizing drift.”
Mr. Ferguson, whose earlier
books include a history of the
Vikings, as well as biographies of
Henrik Ibsen and Knut Hamsun, is a
rather more reliable source. A Briton, he
first traveled to Scandinavia at the tail end of the 1960s
with a friend (“He looked like Withnail and I looked like I”).
Despite an unglamorous stint in Copenhagen (Withnail
was eventually deported for trying to shoplift some
cheese), Mr. Ferguson fell for the place. He obtained a
degree in Scandinavian studies and, not long after, took
up a Norwegian government scholarship to study in that
country for a year. It’s not much of a spoiler to reveal that
he’s still in Norway today.
The book’s subtitle (“In Search of the Soul of the North”)
makes “Scandinavians” sound more daunting than it is. If
there is a search going on, the author is in no hurry to find
what he is looking for. Instead we are left with an idea—no
more than that—of these lands and the three taciturn tribes
that make up the bulk of their population. To an outsider,
Norwegians, Swedes and Danes seem to be cast from the
same mold, but—as I know well from three decades of
working alongside them—that is far from the case. Mr.
Ferguson touches on this, but too lightly.
To an outsider, the people of Norway, Sweden
and Denmark may all seem to be cast from
the same mold, but that is far from the case.
The history that he retells—Vikings, wars, monarchs,
writers, philosophers—is an overview, operating both as
necessary background and an invitation to dig more
deeply. The grand old gods make their inevitable appearance and so does the tale of their demotion, a transition
commemorated in 10th-century Denmark by a massive
stone that features the earliest known depiction of Jesus
in Scandinavian art, a “fierce-eyed warrior ready to jump
down from his cross and do battle with the demons of
heathendom.” As Mr. Ferguson observes (and as the first
missionaries to these unpromising territories understood),
“the suffering Christ had no natural appeal among those
who formerly worshipped masters of violence like Odin
and Thor.”
Even once they had dispensed with those roughnecks
from Asgard, it took a while for the Swedes, Danes and
Norwegians to succumb to that whole “love thy neighbor”
thing. The Kalmar Union of 1397 among the three
countries lasted barely more than a century: Sweden
broke away, although the Norwegians sank into what they
cheerfully refer to as their “400-year night” under the
Danes. Meanwhile, the Swedes sliced away at Denmark’s
domain over the years, finally annexing Norway in 1814.
Only nine decades later, Norway split off from Sweden.
This history, differing patterns of economic development
and subsequent events, not least sharply contrasting
experiences of World War II, helps explain some of the
distinctions among Denmark, Norway and Sweden today.
Nevertheless all three adopted strikingly egalitarian forms
of social democracy bolstered by an insistence on selfeffacement in the interests, as Mr. Ferguson puts it, “of
the greater good of social harmony.” In more recent years,
this emphasis on conformity has become, paradoxically, a
threat to the harmony it was designed to protect.
These societies are now undergoing possibly their most
consequential transformation in centuries, “immigration
on a scale unprecedented in the recorded history of the
region.” Yet particularly in Sweden—a country marked, in
Mr. Ferguson’s dismayingly accurate opinion, by “an
almost pathological fear of socially conservative views
and a demonization of those who hold them”—the inflow
has been, in the main and for too long, waved through
with too little of the debate it deserved. The situation is
somewhat different in Norway and Denmark, but Sweden’s
democracy has been damaged by the treatment of those
disinclined to join the elite’s passionate embrace of
“globalized culture.” Add in the effects of the immigration
itself, and it’s easy to imagine a future in which the past
will be sorely missed.
Decades ago Mr. Ferguson set out to live “in what was essentially a nineteenth-century dream of Norway,” and when
he arrived there this was in a certain sense possible. Norway, Sweden and Denmark were—particularly before cheap
travel, the internet and all the rest—both physically and
mentally somewhat remote from the European “mainland.”
But since then, Mr. Ferguson writes, there has been a “slowmotion tsunami of change,” and the author has “felt an increasing desire to look back” before these societies “change
out of all recognition.” This book may be an introduction to
the Scandinavians, but it is also an elegy.
Mr. Stuttaford, who writes frequently for the Journal
and other publications about culture and politics, works
in the international financial markets.
THE WALL STREET JOURNAL.
A14 | Thursday, August 3, 2017
OPINION
T
REVIEW & OUTLOOK
LETTERS TO THE EDITOR
The Coming ObamaCare Bailout
North Korea Demands Decisive Military Action
he Senate GOP’s health failure is a politi- Mr. Trump to continue the subsidies in any case
cal debacle that will compound for years, so they don’t have to take responsibility for the
and the first predictable fallout is al- failing exchanges. Insurers also want the cash,
ready here: Republicans in
and is there a worse lobby in
Congress are under pressure to ‘Cost-sharing’ subsidies Washington? Insurers worked
bail out the ObamaCare exto defeat the GOP’s health reare illegal without an
changes, even as Donald
form and now they want the
Trump threatens to let them
same Senators to bail them
appropriation by
collapse. The GOP needs to get
out. Sometimes we fantasize
Congress.
at least some reform in return
about endorsing single-payer
if it’s going to save Democrats
simply to put the insurers out
and insurers from their own
of business.
failed policies.
Yet the decline of the exchanges is real, and
i
i
i
premiums will rise faster with even fewer insurAt immediate issue are government payments ance choices if the cost-sharing subsidies end.
that insurers receive to offset the costs of man- Senate Minority Leader Chuck Schumer is dedated benefits and other rules for Affordable manding that Republicans help him bail out the
Care Act customers. Unlike ObamaCare’s tax insurers, and the GOP’s Lamar Alexander is ready
credits that go directly to consumers, these and willing. Democrats are only too happy to see
“cost-sharing” subsidies for insurers aren’t a the GOP prop up ObamaCare, but the debate will
permanent appropriation. That means Congress divide Republicans, none of whom voted for the
can decide not to appropriate funds, and it law that produced the current mess.
hasn’t done so since 2014.
Mr. Schumer is mumbling sweet nothings
President Obama spent the money anyway, about “bipartisanship,” but his definition of that
which inspired a lawsuit by the House of Repre- word is GOP surrender: Bail out insurers, impose
sentatives against the White House for usurping price controls on Big Pharma, and that’s about
its power of the purse. Federal Judge Rosemary it. The Republicans who killed the GOP reform—
Collyer last year issued a potentially landmark Susan Collins, John McCain and Lisa
ruling that Mr. Obama had exceeded his consti- Murkowski—will want their own political bailtutional power. Paying “reimbursements with- out on similar terms.
out an appropriation thus violates the ConstituBut if Mr. Trump and the GOP are going to action,” Judge Collyer wrote.
cept the political pain of rescuing insurers, they
The Obama Administration appealed to the ought to get at least some reform in return. ReD.C. Circuit Court of Appeals. But the Trump Ad- publicans want to pass tax reform, and one deministration and House Republicans asked that mand could be a reduction of the corporate tax
the case be stayed amid Congress’s health-care rate to 20%. Keep in mind that Chief Justice John
negotiations. Health and Human Services Secre- Roberts upheld the constitutionality of Obamatary Tom Price has continued the subsidies in Care as a “tax.”
the meantime, and another payment is due this
If that’s too much for Democrats, then the GOP
month.
ought to at least demand the elimination of the
Mr. Trump tweeted over the weekend that employer and individual mandates, both of which
he’ll stop these payments if Congress gives up are deeply unpopular, and the 2.3% medical-deon health reform, and he’s right for the wrong vice tax that is merely passed along to consumers
reason. HHS shouldn’t spend the money because and that even Elizabeth Warren has decried.
i
i
i
Judge Collyer is right that it’s illegal to do so. ReMr. Schumer may figure he can bludgeon the
publicans sued to stop Mr. Obama from violating
the law and it’s no better if the spender is a Re- GOP into surrender because his press-corps buddies will blame the GOP for rising premiums. Mr.
publican President.
While Judge Collyer might be overturned by Trump’s stupid tweets haven’t helped by sugthe liberal D.C. Circuit, the Supreme Court is gesting that he wants the exchanges to fail. But
likely to uphold her careful reading of the law if Democrats reject any policy compromise, then
and Article I of the Constitution. The Affordable Republicans will at least have a case to make to
Care Act authorized the insurer subsidies but voters that Democrats are the reason the exsubject to an annual appropriation. Congress has changes are collapsing.
Republicans put themselves in this political
enacted many entitlement programs with automatic spending provisions, but it didn’t here be- box by failing to reform ObamaCare on their
cause it wanted leverage over insurers on an an- terms. They shouldn’t compound the rout by
nual basis. If a President can spend the money flipping their convictions on the power of the
anyway, then he is co-opting Congress’s most purse or surrendering wholesale to Democrats
and insurers. They need to demand that “bipartiimportant power.
Democrats and even many Republicans want san” means both sides get something.
T
Bartman at the Bat
hey call Chicago the Second City. On Mr. Bartman has since maintained a low profile,
Monday it proved it is also the city of refusing various offers to give interviews or
second chances, when it bestowed a otherwise cash in on his notoriety.
2016 World Series championThe Cubs said that while
The Chicago Cubs
ship ring on its most infamous
the team recognizes “no gesfan: Steve Bartman.
can fully lift the public
redeem themselves with ture
In the eighth inning of
burden he has endured for
a World Series ring.
Game Six in the 2003 National
more than a decade, we felt it
League playoffs, Mr. Bartman
was important Steve knows he
reached for a foul ball and
has been and continues to be
tipped it, accidentally depriving Cubs outfielder fully embraced by this organization.” Mr. BartMoises Alou of a catch. The Florida Marlins man was equally classy, thanking in particular
went on to score eight runs that inning, and the the family of Cubs owner Tom Ricketts. He was,
Cubs lost that game and the next—and thus the he said, “happy to be reunited with the Cubs
NL pennant.
family.”
Overnight Mr. Bartman became a reviled figA team’s fans are its customers. Cubs fans
ure, unfairly blamed for the Cubs’ defeat. At the stuck with their team over the 108 years begame he was escorted from his seat by stadium tween World Series championships. In giving
security, and then Illinois Gov. Rod Blagojevich Mr. Bartman a ring, the Cubs showed they apsuggested he join a witness protection program. preciate that loyalty is a two-way street.
R
Tillerson’s Korea Confusion
ex Tillerson said Tuesday that the U.S. situation,” he said. “But we do believe China has
isn’t North Korea’s enemy and it doesn’t a special and unique relationship because of
seek regime change as a way to neutral- this significant economic activity to influence
ize the rogue regime’s nuclear
the North Korean regime in
The Secretary of State ways that no one else can.”
weapons threat. But Kim Jong
Un may have his doubts. Later
is true, but China is
offers happy talk about notThat
the same day White House
going to be charmed into
Chinese cooperation.
Press Secretary Sarah Huckacutting off trade with North
bee Sanders answered a reKorea. Years of futile U.S.
porter’s question about the
pleading show that Beijing
possibility of a pre-emptive military strike on wants the Kim regime as a buffer state and perNorth Korea by saying, “The President’s not go- haps as a thorn in the U.S. side. Nothing short
ing to broadcast any decisions, but all options of an imminent crisis will persuade China’s
are on the table.”
leaders that they should risk intervention in a
So why is the Secretary of State trying to dispute that they see as Washington’s responsitake options off the table? There are two inter- bility to resolve.
pretations of Mr. Tillerson’s “no regime change”
The best way for the U.S. to win Chinese copledge. One is that he believes Kim Jong Un will operation is to work toward regime change.
negotiate away his nuclear weapons if the U.S. While the Administration may not be able to
gives him security assurances and a big enough make the fall of the Kims its explicit goal due
incentive. This would mean Mr. Tillerson has to South Korean sensitivities, it can continue
learned nothing from three decades of failed to tighten financial sanctions and take other
talks and the North Koreans’ own statements measures that will ratchet up pressure on the
that it will never give up its nukes.
regime. The allies can also strengthen their deAn alternative explanation is that Mr. Tiller- terrent capabilities and defenses; South Korean
son still hopes to convince China to help solve President Moon Jae-in agreed this week to rethe North Korean problem, so he is playing the sume Thaad missile-defense deployment.
good cop in the dialogue with Beijing. While
When Mr. Tillerson disavows regime change,
President Trump tweets his disappointment he undermines these efforts and signals to Beiwith China’s inaction and CIA Director Mike jing and Pyongyang that the U.S. might be willPompeo hints that the U.S. should work toward ing to pay another round of nuclear blackmail.
the overthrow of Kim Jong Un, America’s lead- Saying that North Korea is not an enemy even
ing diplomat offers cooperation to reduce the as it threatens American cities with its new
risk of a crisis on China’s doorstep.
long-range missiles is obviously false and
Mr. Tillerson tried to play down his boss’s makes the U.S. look weak. The Trump Adminisaccusations that China failed to stop the Kims. tration needs a consistent message that tough
“Only the North Koreans are to blame for this action is coming and nothing is ruled out.
The problem in North Korea is not
solely Kim Jong Un (“The Regime
Change Solution in North Korea,” Review & Outlook, July 31), it is that
we’ve naively and negligently allowed
the regime to advance its nuclear program for 36 years.
Now that North Korea appears to
have highly advanced intercontinental
ballistic missiles and the ability to attach a nuclear warhead to them, the
last thing we want to do is agitate the
regime. If we’re going to take military
action, it has to be once and for all.
Say Kim Jong Un is assassinated, #1,
#2, #3 in line would immediately
shoot off every missile North Korea
possesses in every direction.
Once again, the editorial board has
suggested soft measures like hitting
the banks and propaganda when decisive military action is needed to
fully and adequately address this
problem.
DANIEL S. SMITH
Northville, Mich.
It appears that North Korea has
acted independently in launching a
test ballistic missile capable of hitting
the U.S. China’s leaders should realize
that in supporting North Korea as a
counter to South Korea and Japan
they have created a monster they can
no longer control.
NELSON MARANS
New York
America’s obvious leverage against
the Chinese regarding North Korea is
to deny Chinese-made goods access to
the American market and to encourage our allies to do the same. Such an
approach could be phased in gradually, allowing manufacturers and retailers to find alternative sources of
supply in South Korea, Taiwan, Malaysia or even here at home.
The Chinese would then threaten to
stop buying our debt. But President
Trump could smile and thank them for
doing so, indicating that this will finally force Congress to get serious
about deficit spending.
WILL MCCANN
Richmond, Va.
China is in a better position than
we are to facilitate regime change in
Pyongyang but hasn’t done nearly as
much as it could to avert what even
Beijing acknowledges is a crisis that
could spin out of control.
China might be persuaded to take
such action if we advise them that
failing to do so will result in us abandoning the one-China policy, extending diplomatic recognition to Taiwan
and providing it with all the military
aid it needs to defend itself, including,
if necessary, nuclear weapons.
JAMES F. KELLY JR.
Coronado, Calif.
I hope the Trump administration
has reached some sort of agreement
In addition to economic sanctions
with China that if a military strike beon the North Korean government and
comes necessary and feasible, China
Chinese state-owned corporations, the might join the U.S. by seizing the nuTrump administration should consider clear sites and establishing a governinitiating construction of our own mil- ment in North Korea. This would free
itarized islands among the 130 or so
the U.S. from having to maintain
submerged reefs, shoals and underwa- 30,000 or so military personnel half a
ter banks in the Spratly Islands.
world away.
RUSS ANDREWS
KEVIN FLEMING
Aspen, Colo.
Vista, Calif.
Charlie Gard’s Story Is a Powerful Warning
Children have their own rights.
They are not the property of their
parents. In this sad case (“Farewell,
Charlie Gard,” Review & Outlook, July
25), Charlie’s right to minimize his
own suffering had to be weighed
against the rights of his parents to
make medical decisions for their
child.
It’s a difficult decision, and I’m
not entirely sure that the correct decision was made. But make no mistake: This wasn’t an issue of the
rights of the British government versus the parents, or the rights of a
judge versus the parents. Charlie
Gard has his own rights, and a moral
society must protect the inherent
rights of children even when they
clash with those of well-meaning,
loving parents.
ROY BENAROCH, M.D.
Atlanta
The tragedy of Charlie Gard powerful
warning of the danger of giving the government too much control. While the
government can and should be a powerful force for good, if we give it too much
control we lose our freedom. Those who
want more government control in exchange for security should heed Ben
Franklin’s words: “The man who trades
freedom for security neither deserves
nor will ever receive either.”
RANDY ROSSI
Grayslake, Ill.
How has culture come to believe that
pain is not part of life and that death is
preferable to pain? Have we decided
that a woman has the right to abort a
fetus, yet she does not have the right to
take a baby home to die or to another
hospital to try to save his or her life?
KAREN CHAPMAN
New York
Trump Needs an Attorney General in His Corner
Maybe President Trump’s frustration with Jeff Sessions has more to do
with how little he has actually done in
cleaning out the Justice Department
(“Why Jeff Sessions Recused,” Review
& Outlook, July 27). Mr. Trump should
have realized when he took office that
the politicization of the Justice Department by Eric Holder and Loretta
Lynch represented a much greater
threat to his ability to administer effectively the office of president than
any other single entity in the executive branch. Mr. Sessions was a poor
choice for attorney general and now
the president and all liberty-loving
Americans are paying a steep price for
that error.
RICHARD KOCH
Keller, Texas
The president needs an attorney
general in his corner, and Mr. Sessions is not there. But the speculation that Mr. Sessions will resign or
be fired is baloney. Messrs. Sessions
and Trump both get it. Mr. Sessions
The FDA Should Not Help
Promote Smokeless Products
In a time when the U.S. is struggling to contain health-care costs,
why would the Food and Drug Administration consider assisting an
industry and product responsible for
contributing to preventable disease
that consumes a large portion of
health-care dollars (“Smokeless Option Wins Supporters,” Business &
Finance, July 22)? Tobacco companies have doubled their marketing
of smokeless products over the past
10 years. The FDA should consider
whether this is an act of benevolence or profits.
CHARLES FIELDS, M.D., FACS
Greensboro, N.C.
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.
did the right thing. Mr. Trump has
mused that he wishes it were different. But I suspect that Mr. Sessions
still likes Mr. Trump and vice versa.
BOH DICKEY
Woodinville, Wash.
Mr. Sessions is in a political street
fight and is a fight for which he does
not appear to be tough enough. Mr.
Trump understands that the rule of law
will not be restored until the highest
profile law breakers. The attorney general position demands a Washington
outsider who is as tough and thickskinned as Mr. Trump.
RICHARD HASKELL
CANTON, GA.
The principal reason Mr. Sessions
was nominated is because he was an
early supporter of the president. But it
is clear that he is in over his head in
this job. Mr. Sessions’ supporters claim
he doesn’t deserve this treatment. But
he may be too nice. The attorney general needs to be an attack dog. It is
time Mr. Sessions expressed his outrage
over the shoddy treatment our president is receiving from his enemies.
THOMAS CROVATTO
Ramsey, N.J.
Pepper ...
And Salt
THE WALL STREET JOURNAL
“For the pain, these have proven to
be the most effective swear words.”
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | A15
OPINION
By John Bolton
N
orth Korea test-launched
on Friday its first ballistic missile potentially
capable of hitting America’s East Coast. It
thereby proved the failure of 25
years of U.S. nonproliferation policy. A single-minded rogue state
can pocket diplomatic concessions
and withstand sustained economic
sanctions to build deliverable nuclear weapons. It is past time for
Washington to bury this ineffective
“carrots and sticks” approach.
Some sort of strike is
likely unavoidable unless
China agrees to regime
change in Pyongyang.
America’s policy makers, especially those who still support the
2015 Iran nuclear deal, should take
careful note. If Tehran’s long collusion with Pyongyang on ballistic
missiles is even partly mirrored in
the nuclear field, the Iranian threat
is nearly as imminent as North Korea’s. Whatever the extent of their
collaboration thus far, Iran could
undoubtedly use its now-unfrozen
assets and cash from oil-investment
deals to buy nuclear hardware from
North Korea, one of the world’s
poorest nations.
One lesson from Pyongyang’s
steady nuclear ascent is to avoid
making the same mistake with
other proliferators, who are carefully studying its successes. Statecraft should mean grasping the
implications of incipient threats
and resolving them before they become manifest. With North Korea
and Iran, the U.S. has effectively
done the opposite. Proliferators
happily exploit America’s weakness
and its short attention span. They
exploit negotiations to gain the
most precious asset: time to resolve the complex scientific and
technological hurdles to making deliverable nuclear weapons.
Now that North Korea possesses
them, the U.S. has few realistic options. More talks and sanctions will
fail as they have for 25 years. I have
argued previously that the only durable diplomatic solution is to persuade China that reunifying the two
Koreas is in its national interest as
well as America’s, thus ending the
nuclear threat by ending the bizarre
North Korean regime. Although the
negotiations would be arduous and
should have commenced years ago,
American determination could still
yield results.
Absent a successful diplomatic
play, what’s left is unpalatable military options. But many say, even
while admitting America’s vulnerability to North Korean missiles, that
using force to neutralize the threat
would be too dangerous. The only
option, this argument goes, is to accept a nuclear North Korea and attempt to contain and deter it.
The people saying this are
largely the same ones who argued
that “carrots and sticks” would prevent Pyongyang from getting nuclear weapons. They are prepared
to leave Americans as nuclear hostages of the Kim family dictatorship. This is unacceptable. Gen. Joseph Dunford, the chairman of the
Joint Chiefs of Staff, has it right.
KOREAN CENTRAL NEWS AGENCY/ASSOCIATED PRESS
The Military Options for North Korea
A North Korean government photo purportedly of last week’s ICBM launch.
“What’s unimaginable to me,” he
said last month at the Aspen Security Forum, “is allowing a capability that would allow a nuclear
weapon to land in Denver.” So what
are the military options, knowing
that the U.S. must plan for the
worst?
First, Washington could preemptively strike at Pyongyang’s
known nuclear facilities, ballisticmissile factories and launch sites,
and submarine bases. There are innumerable variations, starting at
the low end with sabotage, cyberattacks and general disruption. The
high end could involve using airand sea-based power to eliminate
the entire program as American analysts understand it.
Second, the U.S. could wait until
a missile is poised for launch toward America, and then destroy it.
This would provide more time but
at the cost of increased risk. Intelligence is never perfect. A North Korean missile could be in flight to a
city near you before the military
can respond.
Third, the U.S. could use airstrikes or special forces to decapitate North Korea’s national command authority, sowing chaos, and
then sweep in on the ground from
South Korea to seize Pyongyang,
nuclear assets, key military sites
and other territory.
All these scenarios pose dangers
for South Korea, especially civilians
in Seoul, which is within the range
of North Korean artillery near the
Demilitarized Zone. Any military attack must therefore neutralize as
much of the North’s retaliatory capability as possible together with
the larger strike. The U.S. should
obviously seek South Korea’s agreement (and Japan’s) before using
force, but no foreign government,
even a close ally, can veto an action
to protect Americans from Kim
Jong Un’s nuclear weapons.
China clearly has enormous interests at stake, not least its fear
that masses of North Korean refugees will flow across the Yalu and
Tumen rivers into its territory. Neither the U.S. nor China wants conflict between their respective
forces, so immediate consultations
with Beijing would be imperative
once military action began. Both
considerations underline why urgent diplomacy with China now to
press the benefits of peaceful reunification is vital.
The Pentagon’s military planners
already should be poring through
the operational aspects of a potential military strike. But politicians
and policy makers also ought to begin debating the military options—
for North Korea and beyond, since
similar issues will arise regarding
Iran and other nuclear proliferators.
For decades the U.S. has opposed
attempts by any state without nuclear weapons to develop them.
Washington has consistently failed
to achieve that objective, and the
world has become increasingly nuclearized. Stopping North Korea
and Iran may be the last chance to
act before nuclear weapons become
a global commonplace.
Mr. Bolton is a senior fellow at
the American Enterprise Institute
and author of “Surrender Is Not an
Option: Defending America at the
United Nations and Abroad” (Simon
& Schuster, 2007).
Critics Try to Smear Trump’s Election-Integrity Commission
By Hans von Spakovsky
And J. Christian Adams
I
t’s one thing to attack a proposed policy. It’s another thing
to attack someone for simply
asking a question. Yet that’s exactly
what President Trump’s Advisory
Commission on Election Integrity is
facing from the New York Times,
Washington Post, NAACP Legal Defense and Educational Fund, and
others. Since the president signed
an executive order creating the commission in May, these organizations
have attacked members of the commission personally, including the authors of this article.
The reprehensible (and false)
claim that we are engaged in voter
suppression is a scare tactic, pure
and simple. Ours is an advisory
commission. It has no federal authority or power of any kind. It can’t
tell the states, local governments or
even the executive branch of the
federal government what to do in
the administration of elections.
Further, the commission’s request
for publicly available information
from the states is not some nefarious plot. This basic information
about the voter registration process
is necessary for the commission’s
work. Many states have already
given or sold the same information
to multiple private vendors.
It’s clear the frenzied critics
never even read the president’s executive order, which empowered the
commission to “study the registration and voting process used in Federal elections” and to identify “vulnerabilities” that may imperil
integrity and public confidence.
What could be a worthier goal than
examining the electoral system and
formulating recommendations to improve it? What American wouldn’t
want to improve our election process?
It’s also clear the critics didn’t
bother to watch the commission’s
first meeting on July 19. There was
near unanimity among the commission’s bipartisan members. All agreed
on the need to review the voter-registration process itself, the types of
voting equipment being used, and
election cybersecurity.
Calling us racists and
‘voter-suppression
superstars’ is shameful
and corrosive to civility.
Some critics seem offended that
voter fraud was mentioned during
the meeting, as if it doesn’t exist or
we shouldn’t be concerned about it.
But as the U.S. Supreme Court recognized in 2008 when it upheld Indiana’s voter ID law, fraud has a
long history in U.S. elections. The
Heritage Foundation maintains a database of almost 1,100 proven cases
of election fraud.
In many counties across the country, registered voters outnumber residents eligible to vote. Hundreds of
thousands of voters are registered
in multiple states or remain on the
voter rolls despite being deceased.
These may be administrative errors, but what fair-minded citizen
would suggest we ignore the problem?
The commission seeks answers to
other questions. Are people exploiting administrative loopholes to vote
more than once? How many noncitizens are illegally voting because we
lack a system for verifying registration information? Are states taking
advantage of available local, state
and federal databases to check the
accuracy of their voter rolls? Have
online voter-registration databases
been hacked? If so, when and by
whom? Why is turnout among overseas military voters so low?
We don’t know the answers to
these and other questions, because
there has been no systematic, comprehensive study of our election system. The critics apparently don’t
want that work to be done. They
don’t even want anyone asking
questions. Instead, they smear the
commission and its members in an
effort to denigrate our work.
Americans once engaged in spirited but civil debate on contentious
issues. Calling members of our commission racists and “voter-suppression superstars” is shameful and
corrosive to civility. Fortunately, the
American people value truth. They
know that the commission’s work
won’t harm a single legitimate
voter.
“Truth enlightens man’s intelligence and shapes his freedom,”
wrote Pope John Paul II in 1993.
Clean elections protect freedom,
while elections tainted by fraud or
administrative errors disrupt the
consent of the governed.
Mr. von Spakovsky is a senior legal fellow at the Heritage Foundation. Mr. Adams is president and
general counsel of the Public Interest
Legal Foundation. Both are members
of the president’s Advisory Commission on Election Integrity.
The GOP May Cut Taxes, but Don’t Call It ‘Reform’
By Alan S. Blinder
T
he GOP’s seven-year effort to
repeal and replace ObamaCare is finally over—at least
for now. That’s terrible news for
President Trump and congressional
Republicans, but it’s good news for
the tens of millions of Americans
who won’t lose their health insurance.
There are two opposing hypotheses about whether the Republicans’
embarrassing defeat will help or
hinder their future attempts to pass
major legislation. The first theory
holds that the health-care debacle
deepened the fissures between the
GOP’s moderates and movement
conservatives—and enraged the
president, who is more interested in
tweeting insults and watching golf
tournaments than in legislating. If
so, that bodes ill for subsequent
successes.
The other hypothesis is that Republicans’ humiliating defeat on
health care has left them hungry,
even desperate, for a victory. Both
hypotheses are probably true.
Where can Republicans look for a
win? Their next big opportunity
should be the fiscal 2018 budget, but
their chances of success are already
looking grim. In May the administration published the budget proposal
that couldn’t count straight. That remarkable document exaggerated the
economic growth that would result
from its proposed tax cuts, but managed to forget about the federal revenue losses that the cuts would
cause. Sad.
On July 18, the House Budget
Committee weighed in with a budget
resolution that assumes both a
growth miracle (though a smaller
one than the administration’s) and—
get this—enactment of the healthcare plan that the House passed in
May. Yes, you read that right. The
American Health Care Act may be
dead, but House Republican leaders
admire it so much—probably because it slashes taxes for the rich
and Medicaid for the poor—that they
PUBLISHED SINCE 1889 BY DOW JONES & COMPANY
Rupert Murdoch
Executive Chairman, News Corp
Robert Thomson
Chief Executive Officer, News Corp
Gerard Baker
Editor in Chief
William Lewis
Chief Executive Officer and Publisher
Matthew J. Murray
Deputy Editor in Chief
DEPUTY MANAGING EDITORS:
Michael W. Miller, Senior Deputy;
Thorold Barker, Europe; Paul Beckett,
Washington; Andrew Dowell, Asia;
Christine Glancey, Operations;
Jennifer J. Hicks, Digital;
Neal Lipschutz, Standards; Alex Martin, News;
Shazna Nessa, Visuals; Ann Podd, Initiatives;
Matthew Rose, Enterprise;
Stephen Wisnefski, Professional News
Paul A. Gigot, Editor of the Editorial Page;
Daniel Henninger, Deputy Editor, Editorial Page
WALL STREET JOURNAL MANAGEMENT:
Suzi Watford, Marketing and Circulation;
Joseph B. Vincent, Operations;
Larry L. Hoffman, Production
EDITORIAL AND CORPORATE HEADQUARTERS:
1211 Avenue of the Americas, New York, N.Y., 10036
Telephone 1-800-DOWJONES
DOW JONES MANAGEMENT:
Mark Musgrave, Chief People Officer;
Edward Roussel, Innovation & Communications;
Anna Sedgley, Chief Operating Officer & CFO;
Katie Vanneck-Smith, President
OPERATING EXECUTIVES:
Ramin Beheshti, Product & Technology;
Jason P. Conti, General Counsel;
Frank Filippo, Print Products & Services;
Steve Grycuk, Customer Service;
Kristin Heitmann, Transformation;
Nancy McNeill, Advertising & Corporate Sales;
Jonathan Wright, International
DJ Media Group:
Almar Latour, Publisher;
Kenneth Breen, Commercial
Professional Information Business:
Christopher Lloyd, Head;
Ingrid Verschuren, Deputy Head
included the bill’s budgetary savings
in their resolution.
They also included substantial
cuts in critical safety-net programs
like Medicare and food stamps, cuts
that are unlikely to pass in the Senate—maybe not even in the House.
(President Trump, you may recall,
promised not to cut Medicare at all.)
Moderate House Republicans are
calling these budget cuts mean-spirited and excessive, while staunch
conservatives are labeling them
weak-kneed and insufficient.
So are we headed for more fratricide on the Potomac? Perhaps. But
my guess is that Republicans will
get their act together sufficiently to
pass a budget resolution through
both houses of Congress. The reason
is simple: It’s the necessary first
step on the road to placing tax cuts
under the “reconciliation” umbrella,
and thus needing only 50 votes to
achieve passage in the Senate.
Notice that I said “tax cuts,” not
“tax reform.” The House budget resolution proposes a revenue-neutral
tax reform, which means that any
rate cuts would be balanced by
enough base broadening to maintain
total receipts—at least under the
generous economic growth assumptions they use for dynamic scoring.
My prediction, however, is that they
won’t be able to agree on enough
provisions for new revenue because
of the same intraparty fissures that
drove the GOP into health-care
oblivion.
The truth is that while everyone
agrees that our tax system is a disgraceful mess, that’s about where
the agreement ends. Republicans
The health-care failure
leaves Republicans hungry
for a victory. A path
exists, but it’s rocky.
have radically differing opinions
about which changes should be advanced under the banner of tax reform. And that’s before they even
bring Democrats to the table.
President Trump will be of little
help here; he’s not a details guy. In
fact, here is everything his sketchy
April proposal said about tax reform: for individual taxes, “eliminate targeted tax breaks that mainly
benefit the wealthiest taxpayers”;
for corporate taxes, “eliminate tax
breaks for special interests.” Got
that? Now, if you ask him about
real-estate shelters . . .
Notable & Quotable: Dogs
Colin Mixson writing at BrooklynPaper.com, Aug. 1:
Some Brooklynites are refusing to
vaccinate their pets against virulent
and potentially deadly illnesses—
some of which could spread to humans—thanks to a growing movement against the life-saving
inoculations, according to borough
vets. . . .
A Clinton Hill–based veterinarian,
. . . said she has heard clients suggest the inoculations could give
their pups autism, echoing the argument of those who oppose vaccinating kids. But even if pooches were
susceptible to the condition, their
owners probably wouldn’t notice,
according to the doctor.
“I had a client concerned about
an autistic child who didn’t want to
vaccinate the dog for the same reason,” said Dr. Stephanie Liff of Clinton Hill’s Pure Paws Veterinary
Care. “We’ve never diagnosed autism in a dog. I don’t think you
could.”
Reforming the tax code is hard.
Uniting the GOP around simply cutting taxes will be vastly easier. It’s
what Republicans do. Mr. Trump
keeps bragging about passing “the
biggest tax cut in American history.”
(He brags less that it would also be
the most regressive tax cut in history.) Almost every Republican member of Congress would likely sign on
to straight tax cuts for the rich and
corporations. They would probably
pick up a few Democrats. So a tax cut
should be easy to pass, right?
Well, a path to passage does exist, but it’s a rocky one. First, that
annoying promise of revenue neutrality must be overcome. And even
once the House leadership agrees on
specific revenue-raising provisions,
the plan will still merely be the
opening bid. The rank-and-file may
have different ideas, not to mention
the Senate.
Second, many Republicans claim
devotion to shrinking the budget
deficit, not enlarging it. But, somehow, that devotion fades whenever
a Republican president proposes tax
cuts.
Third, there’s the Byrd Rule in
the Senate, which prohibits passing
through reconciliation any measure
that increases the deficit beyond the
10-year budget window. But creative
senators have worked around that
rule before.
So I don’t believe any of these
procedural hurdles will stop the taxcut freight train once it gets rolling.
If dynamic scoring doesn’t produce
enough phantom revenue to fill the
budget gap, the committee chairmen
can always tell the CBO’s umpires to
go home and let Congress keep
score itself. They call that “directed
scoring”—and it’s legal. Watch for it
at a Congress near you.
Mr. Blinder, a former Federal Reserve vice chairman, is a professor
of economics and public affairs at
Princeton University and a visiting
fellow at the Brookings Institution.
A16 | Thursday, August 3, 2017
THE WALL STREET JOURNAL.
WORLD NEWS
Rwanda’s Rosy Story Gets Darker Italians
Seize Ship
BY NICHOLAS BARIYO
Of Migrant
Aid Group
BY DEBORAH BALL
JEROME DELAY/ASSOCIATED PRESS
Paul Kagame is so certain
he will secure a third term
in Rwanda’s presidential election on Friday that he claimed
victory more than one month
ago.
But cracks in the strongman’s armor are starting to
appear, as the coffee-fueled
economy loses steam and
rights groups say intimidation
and oppression tar a statebuilding success story.
Polls ahead of the vote
show more than 90% of
Rwanda’s 6.8 million voters
back the former rebel leader
who shepherded this tiny,
landlocked East African nation
from 1994’s genocide to become a poster child for efficient governance and economic growth.
Lionized by government
media and broadcast on digital
billboards across the country,
he has attracted a cult following after delivering an average
economic-growth rate of 8%
over the past decade, one of
the world’s fastest. In the capital Kigali, a new $300 million
convention center caps a skyline transformed by commercial and residential developments. Traffic is orderly and
crime is rare.
The government’s success
in reducing poverty has attracted waves of foreign capital from aid agencies and private investors and plaudits
from Western leaders including Bill Clinton and Tony Blair,
burnishing Mr. Kagame’s technocratic autocracy.
But while supporters see a
visionary leader, critics, diplomats and rights groups say the
president’s genuine popularity
has risen in tandem with violent repression, including an
expanded effort to muzzle the
opposition in the weeks before
the polls.
“Kagame is not your average African strongman,” said
Simeon Wiehler, dean of the
School of Social, Political and
Administration Sciences at the
University of Rwanda. “He has
proved himself to be a formi-
Supporters of Rwandan President Paul Kagame attended a campaign rally in Kigali on Wednesday, two days before an election.
Roller-Coaster Ride
Annualized quarterly change
in Rwanda's real GDP
12%
10
8
6
4
2
0
2011 ’12
’13
’14
’15
’16
’17
Source: National Institute of
Statistics of Rwanda
THE WALL STREET JOURNAL.
dable strategic organizer.”
Meanwhile, more experts
question the “Rwandan miracle” narrative, pointing to neg-
ligible fixed foreign investment and a failure of
manufacturing and services
sectors to grow as planned.
Rwanda’s economy grew at
1.7% in the first quarter of
2017, the lowest quarterly real
growth in gross domestic
product in nearly a decade, according to the country’s statistics office.
Mr. Kagame—able to run
for the third term after constitutional changes were overwhelmingly approved in a
2015 referendum—is facing off
against two unknown candidates who have had only three
weeks to canvass for support.
Diana Rwigara, a popular
critic of the 59-year-old
leader, was disqualified from
running after the election authority rejected her supporters’ signatures. Thomas Nahimana, a well-known Catholic
priest living in France who
wanted to repatriate and run
The Face
of Change
for president was barred from
returning.
When the U.S. and European Union envoys asked
about the electoral commission’s vetting process following the elimination of several
presidential contenders, Mr.
Kagame went on state television and warned them to “stop
fueling fire.”
In July, Human Rights
Watch released a report documenting dozens of extrajudicial killings by Mr. Kagame’s
security forces over petty
crimes.
Foreign diplomats and international financial institutions have privately expressed
unease about Rwanda’s political process, but there will be
no formal international election monitoring.
Kigali sought more than
$200 million in financial assistance from the International
Monetary Fund last year, and
its public debt has skyrocketed
to 50% of total economic output, the IMF said.
Drought and lowering crop
yields are also damping agricultural growth. Rwandan
farmers are approaching the
limits of what they can produce on their small, fragmented farms.
“It’s important to note that
Rwanda’s economy is on a
slowdown,” said Benedict Craven, an analyst with the Economist
Intelligence
Unit. “If Kagame insists on
staying amid a much less rosy
economic picture than people
have been used to under his
rule, there is going to have to
be a lot more oppositioncrushing than there has been.”
A spokeswoman for Mr.
Kagame’s ruling Rwanda Patriotic Front party said Kigali
wouldn’t accept “uncalled for
interference into the country’s
democracy by foreigners.”
Italian authorities seized a
ship operated by a migrant aid
group off the coast of Italy as
part of an inquiry into illegal
immigration, a move that
could raise tensions with organizations that play an increasingly large role in rescuing thousands of migrants
attempting to reach Italy.
Early Monday, Italian coast
guard vessels accompanied the
Iuventa, a ship run by German
aid group Jugend Rettet, into
the port of Lampedusa, a
small island off the coast of
Sicily. According to Italian police, the seizure is part of an
investigation by Sicilian magistrates into whether aid
groups are engaged in illegal
immigration as part of operations they conduct to save seaborne migrants.
Jugend Rettet didn’t respond to an emailed request
to comment. It said on Twitter that it has received no information about an investigation.
The seizure marks an escalation in tensions between
Italian officials and the aid
groups that now rescue thousands of African and Middle
Eastern migrants who depart
in flimsy vessels from Libya in
an attempt to reach Italy.
In the first half of this year,
nonprofit groups were involved in a third of searchand-rescue operations off the
coast of Libya. Just over
95,000 migrants have arrived
in Italy so far this year; more
than 2,000 have died attempting the crossing.
Some Italian magistrates
and anti-immigrant groups say
the aid groups heighten the
so-called pull factor, by enticing more migrants to attempt
the passage because they patrol so close to the Libyan
coast.
Stanley Wise
Customer Experience
Atlanta, GA
Working collaboratively to deliver value and build stronger customer relationships. That’s how
Stanley is inspiring a better healthcare system. As true partners throughout the healthcare
journey, our team leverages data, technology, and experience to meet our customers’ goals.
It’s just one way our people are helping to accelerate the transformation to a value-based
healthcare system. Change Healthcare. Inspiring a better healthcare system.
changehealthcare.com
©2017 Change Healthcare Operations, LLC. All rights reserved.
TECHNOLOGY: APPLE’S SERVICES HIT FORTUNE 100 MILESTONE B4
BUSINESS & FINANCE
© 2017 Dow Jones & Company. All Rights Reserved.
S&P 2477.57 À 0.05%
S&P FIN À 0.06%
* * * **
S&P IT À 0.49%
Thursday, August 3, 2017 | B1
THE WALL STREET JOURNAL.
DJ TRANS À 0.32%
WSJ $ IDX g 0.02%
LIBOR 3M 1.313
NIKKEI (Midday) 20004.00 g 0.38%
See more at WSJMarkets.com
Departure comes after
snack giant strove
to improve sales amid
upheaval in industry
BY ANNIE GASPARRO
Irene Rosenfeld is stepping
down after 11 years as chief
executive of snack giant Mondelez International Inc., having fought to improve sales
and profitability amid an upheaval in the packaged-food
business.
Investors
pushed
Ms.
Rosenfeld for years to draw
more profit from a broad portfolio of traditional snacks such
as Oreos and Ritz crackers.
Mondelez faltered in volatile
emerging markets and struggled to address consumer demands for fresher, healthier
food. Some of America’s bestknown food brands are losing
shelf space to new, trendier
products, sending them on a
race to buy or create new
products to keep up.
“In hindsight, I think perhaps we could have gone after
the costs a little faster,” Ms.
Rosenfeld said on Wednesday.
“My regret is that we haven’t
fully realized the potential on
the top line.”
Now that work will fall to
an outsider, Dirk Van de Put,
head of Canada’s closely held
McCain Foods Ltd., who will
take over for Ms. Rosenfeld in
BOB STEFKO FOR THE WALL STREET JOURNAL
CEO Will Leave a Struggling Mondelez
Irene Rosenfeld says Mondelez
didn’t realize top-line potential.
November. Ms. Rosenfeld, 64
years old, will continue as
chairman of the Mondelez
board until she retires in
March.
In an interview, Ms. Rosen-
feld said she told Mondelez
board members of her plans to
retire about two years ago. “I
didn’t have a precise timeline,
but I said that after about a
decade is a good time to think
about a transition,” she said.
Mondelez board members
have been searching for Ms.
Rosenfeld’s successor since at
least the spring. Ms. Rosenfeld
wanted to find the right person before she agreed to leave.
“Irene truly transformed
this company in her 11 years,’’
said Lois Juliber, an independent Mondelez director since
2007, in a text message.
Ms. Rosenfeld’s retirement
will shrink an already small
pool of female chief executives
of the biggest U.S. businesses.
As of Wednesday, women held
27 of the CEO spots at S&P
500 companies, according to
research group Catalyst, 5.4%
of the total. Catalyst’s tally reflects companies in that index
as of January 2017.
Mr. Van de Put, 57, has led
McCain Foods for six years, increasing revenue and profitability even as the company’s
core product, french fries, fell
out of favor with many healthconscious consumers. To address that shift, McCain introduced sweet-potato fries and
low-fat varieties.
He worked previously at
Danone SA, Coca-Cola Co. and
Mars Inc. Ms. Rosenfeld said
he is ready for the jump from
a $7.3 billion maker of potato
products to a $66 billion conglomerate whose disparate
brands stretch from Triscuits
to Trident gum.
“There’s a real value in a
fresh pair of eyes,” Ms. Rosenfeld said, citing Mr. Van de
Put’s experience at food companies on three continents.
She said the board considered
internal candidates to succeed
her as well, but declined to
name them.
Ms. Rosenfeld led Mondelez
through several transformations. In 2010, she orchestrated the acquisition of British
chocolate
company
Please see EXIT page B2
Ranks of women CEOs get
slimmer. ....................................... B2
Qatar Gives Up
Bid for Stake in
American Air
ARIANA CUBILLOS/ASSOCIATED PRESS
BY ROBERT WALL
AND SUSAN CAREY
Antigovernment lawmakers in Caracas on Wednesday. The U.S. has threatened sanctions after a highly criticized election on Sunday.
Venezuela Stokes Fears of Default
BY JULIE WERNAU
AND CAROLYN CUI
Investors have been bracing
for a Venezuela debt default
for more than a year, but fallout from the country’s widely
criticized election last weekend could prove to be the tipping point.
The government and stateowned oil company Petróleos
de Venezuela SA, also known
as PdVSA, together owe $5 billion in principal and interest
payments due between now
and the end of the year, according to Caracas Capital
Markets. The country has $725
million due this month alone,
the Venezuelan investment
bank said.
The problem: Venezuela
only has about $3 billion of its
foreign reserves in cash, according to S&P Global Ratings.
That means the country is dependent on oil exports to
make up the difference.
The U.S. government has
been threatening tough sanctions to punish President Nicolás Maduro for what Washington and other governments
have called an illegal vote on
Sunday, designed to advance
the president’s power. Mr. Maduro has said that the vote
was necessary to give the government the ability to fix Venezuela’s political and economic
crises, and put an end to antigovernment protests.
While the Trump administration on Monday imposed
sanctions against Mr. Maduro
PERSONAL TECHNOLOGY By Geoffrey Fowler
Robots Are Coming
For Your Wardrobe
Lately I’ve
been putting
on my pants
in front of a
camera.
Dressed, I say
out loud, “Alexa, take a picture,” and Amazon’s tubeshaped Echo Look snaps a
shot. Moments later, a photo
of me modeling the day’s
clothes appears on my
phone. If I change outfits
and ask Alexa to snap again,
the $200 camera goes further: It judges which ensemble looks better.
Yes, judges—as in, what
were you thinking wearing
those white skinny jeans?
Amazon has used technology
as a tastemaker since it began recommending books in
the late ’90s. But how could
a machine possibly weigh
something as complex and
subjective as personal style?
To find out, I called the
human fashion police: Hal
Rubenstein, a founding editor of InStyle magazine, Teri
Agins, longtime Wall Street
Journal fashion columnist,
and stylists Paul Julch and
Solange Khavkine. My colleague Joanna Stern and I
played dress-up with nearly
two dozen outfits, comparing the Echo Look’s robojudgments with those of the
experts.
Here’s the thing: The machine was surprisingly on
point in most head-to-head
comparisons. But even if
computers can master current trends, they still can’t
replace that friend who
takes you to the store and
says yes, go for the floralprint bomber jacket.
Please see FOWLER page B4
personally, it hasn’t ruled out
restrictions on the Venezuelan
crude-oil trade that could deprive the government of its
only real source of cash. Last
week, the U.S. had leveled
sanctions on 13 high-ranking
Venezuelan officials.
The Venezuelan government didn’t respond to requests for comment Tuesday.
“There’s a huge dependency
on exports to the United
States at a time of profound
economic turbulence. It would
be basically cutting off the
single most important source
of revenue. It would significantly raise the risks of default,” said Roberto Simon,
lead analyst for Latin America
in the geopolitical intelligence
Please see BONDS page B2
INSIDE
TESLA TRIES
TO CALM
INVESTORS
AUTOS, B3
STOCKS TAKE
THE SHINE
OFF GOLD
COMMODITIES, B11
Paying Up
Any sanctions that affect oil,
Venezuela’s main revenue
source, are expected to crimp the
country’s ability to pay its debts.
Bond payments, by month due
Venezuela
PdVSA
$2 billion
1
0
Aug.
Sept. Oct.
Nov.
Dec.
Source: Caracas Capital Markets
THE WALL STREET JOURNAL.
Qatar Airways dropped
plans to buy a big stake in
American Airlines Group Inc.,
ending a brash attempt by the
government-owned Middle
East carrier to push into the
U.S. amid political upheaval at
home.
“The investment no longer
meets our objectives,” Qatar
Airways said Wednesday, in
part citing American’s latest
financial results. “Qatar Airways will continue to seek opportunities to invest in global
aviation.”
American said Friday that
profit fell 16% in the second
quarter on higher fuel and labor costs. It said Wednesday it
respects Qatar Airways’ decision not to proceed. “This in
no way changes the course for
American,” the company said.
Qatar Airways said in June
that it would buy 4.75% of
American Airlines and build a
stake of as much as 10% over
time. American Airlines, the
world’s largest carrier by traffic and revenue, has a market
value of roughly $24 billion.
The surprise approach angered American Airlines Chief
Executive Doug Parker who
called it “puzzling and
strange.”
American disclosed in late
June that Qatar Airways made
an unsolicited proposal for a
significant investment in the
U.S. carrier and that it made a
filing with U.S. regulators.
American said it was notified
by the Federal Trade Commission that Qatar Airways had
withdrawn its previous application and refiled a new one
July 10. That suggested the
start of a new 30-day clock
while U.S. regulators looked at
the new application.
American Airlines shares
fell 1.2% to $50.45 Wednesday.
Equity investments between
airlines have become an increasingly common maneuver
because foreign-ownership
rules bar cross-border mergers in many countries.
Delta Air Lines Inc. and
China Eastern Airlines Corp.
said last week that they were
each taking a 10% stake in alliance partner Air France-KLM
SA. Air France said it would in
4.75%
Stake Qatar Airways has sought
in American Airlines
turn buy 30% of Virgin Atlantic Airways Ltd. Qatar Airways rival Etihad Airways has
also invested in several European and Asian carriers to
help funnel traffic through its
Abu Dhabi hubs.
Qatar’s bid for American
Airlines was unusual because
the Doha-based airline and
American, based in Fort
Worth, Texas, have been on
opposite sides of a bitter industry fight. Some U.S. and
European carriers have accused Qatar Airways and two
other Persian Gulf airlines,
Emirates and Etihad, of benefiting from government ownership and subsidies. The fastgrowing Gulf carriers have
denied that charge.
American said in July that
it informed Qatar Airways and
Etihad Airways that it plans to
terminate its separate codesharing relationships with
them in March.
OPEC Bind: How to Undo Cuts
OPEC and other big oil producers face a new high-wire
act: how to keep the oil market calm if they decide to lift
their output curbs and ramp
production back up.
Saudi Arabian Energy Minister Khalid al-Falih last week
By Georgi Kantchev,
Benoit Faucon
and Summer Said
said the Organization of the
Petroleum Exporting Countries doesn’t want to “shock
the markets” when it unwinds
a November agreement to
withhold almost 2% of global
oil supply. The deal is set to
expire in March 2018.
“We will work on a smooth
exit from the agreement. We
will make sure it’s not
abrupt,” Mr. Falih told reporters in St. Petersburg, Russia,
after meeting with other oil
ministers.
Since the deal, analysts and
investors have raised questions about how the group will
extricate itself from the ar-
rangement. Investors worry
that the coalition of OPEC and
other big producers such as
Russia—an alliance that accounts for 55% of world-wide
oil output—could simply return to pumping full tilt when
the deal expires, potentially
sinking prices.
“The producers have created a Catch-22 situation,”
said Harry Tchilinguirian,
head of commodity strategy at
BNP Paribas. “There has been
no guidance about a formal
mechanism for exiting the
agreement, and that’s unnerving the market.”
Oil prices have zigzagged
since the coalition of OPEC
and non-OPEC producers hammered out final details in December, with crude prices at
first rallying by around 20%,
only to fall into a bear market
earlier this year. Prices have
stabilized in recent weeks. U.S.
crude gained 43 cents, or
0.9%, to settle at $49.59 a barrel Wednesday. Brent, the
global benchmark, rose 1.1% to
$52.36 a barrel.
In an interview last week,
Russian Energy Minister Alexander Novak indicated his
country wasn’t planning to remain locked in this agreement
beyond March. Russia, the
world’s largest crude-oil producer, isn’t an OPEC member.
‘We will make
sure [the
production
change is] not
abrupt,’ says
Saudi official
Khalid al-Falih.
It has cooperated with the
cartel for the past seven
months by cutting its output
by 300,000 barrels a day.
The deal between OPEC and
non-OPEC producers “is an instrument that can be used in
the future,” Mr. Novak said. “At
the same time, we don’t believe it should be used too often. Only in critical situations.”
Any exit strategy would
Please see OPEC page B2
B2 | Thursday, August 3, 2017
NY
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.
B
BAE ............................. A7
Berkshire Hathaway.B12
Bespoke Investment
Group.......................B11
Best Buy ..................... B3
Blackstone Group ..... B10
Boeing...........B2,B11,B12
Brighthouse Financial
...................................B10
C
Carlyle Group............B10
CBOE Holdings..........B10
China Eastern Airlines
.....................................B1
Citigroup....................B11
CME Group................B10
D-E-F
Delta Air Lines ........... B1
Deutsche Bank..........B11
eBay...........................B11
Etihad Airways...........B1
Facebook......................B4
Fast Retailing ............. B3
Ford Motor..................B3
G
Gemini Trust.............B10
General Motors...........B3
Guggenheim Partners
...................................B10
H
Hermes Investment..B11
Hershey.......................B2
Hilton Worldwide ....... B3
I
Intel.............................A3
International Business
Machines...........A3,B12
Invesco ...................... B10
J-K
JD.com.........................A2
J.P. Morgan Chase....B11
Kawasaki Heavy Ind...B2
KKR ...................... B5,B10
Korn/Ferry...................B2
P
Patria...........................A7
Petróleos de Venezuela
.....................................B1
PharMerica..................B5
Prudential Financial..B10
Q
Qatar Airways.............B1
Qualcomm...................A3
R
Rheinmetall ................ A7
Rio Tinto ..................... B5
S
Samsung Electronics..B6
Scana...........................B5
Signet Jewelers..........B2
Société Générale.......B10
Southern ..................... B5
Spirit AeroSystems
Holdings .............. A3,B2
Spotify.........................B4
Standard Chartered..B10
M
T
Marriott InternationalB3
Mattel..........................B2
McCain Foods..............B1
McDonald's................B12
MetLife......................B10
Miami International . B10
Molina Healthcare......B3
Mondelez ............... B1,B2
Morgan Stanley........B12
Tesla.....................B3,B12
Textron........................A3
Time Warner..........B3,B5
Toshiba........................B5
Triumph Group............B2
N-0
Netflix.........................B4
Och-Ziff Capital........B10
V-W-X
Virgin Atlantic............B1
Walgreens Boots........B5
Weight Watchers ....... B2
Westinghouse Elec.....B5
Wyndham Worldwide.B3
Xerox ........................... B2
INDEX TO PEOPLE
A-B
Ackman, William ........ B2
Ballotti, Geoff.............B3
Barr, Kevin................B11
Brown, Michael...........B3
Burns, Ursula..............B2
C-D
Comey, James.............B6
Cook, Tim....................B4
Deters, John..............B10
Duperreault, Brian
........................... B10,B12
E-F-G
Eric Rosengren ........... A2
Fanning, Thomas A.....B5
Gulati, Mitu ................ B2
Hutton, Karen.............A2
J-K
Jackson, Mike.............B5
Jacobson, Jeff.............B2
Juliber, Lois.................B1
Kagame, Paul............A16
Kalt, Daniel...............B12
L-M
Lipow, Andy..............B11
Mayer, Marissa...........B2
Molina, J. Mario ......... B3
Molina, John C............B3
Mulcahy, Anne............B2
Musk, Elon...........B3,B12
N
H
Navy, Ric...................B11
Nowak, Brian ............ B12
Hancock, Peter .. B10,B12
Holmes, Stephen P.....B3
Hull, Michael...............B4
Och, Daniel................B10
O'Connor, Dennis........B2
O
P-R
Padilla, Chris...............A3
Parker, Doug ............... B1
Peltz, Nelson...............B2
Put, Dirk Van de.........B1
Rikess, Mark...............B5
Rosenfeld, Irene....B1,B2
S-T
Sands, Peter ............. B10
Sherlock, Mark..........B11
Stevenson, Jane ......... B2
Tchilinguirian, Harry...B1
W-Z
Walters, Justin.........B11
Warne, Kate..............B11
White, Joseph.............B3
Williams, Maxine........B4
Winklevoss, Cameron
...................................B10
Winklevoss, Tyler.....B10
Zahir, Tariq................B11
A.M. Castle Plan Approved
BY TOM CORRIGAN
A
bankruptcy
judge
Wednesday agreed to release
transportation and logistics
specialist A.M. Castle & Co.
from chapter 11, approving a
plan that wipes out debt and
hands control of the business
to its lenders.
After a hearing Wednesday
at the U.S. Bankruptcy Court in
Wilmington, Del., Judge Laurie
Selber Silverstein said she
would sign off on the plan.
Under the plan, second-lien
lenders, owed about $177 million, are set to receive a 65%
equity stake in the reorganized
business, plus new debt and
about $6.5 million in cash. The
plan also reserves a 10% stake
in the revamped business for
the company’s management
and another small stake for
current shareholders.
Ranks of Women CEOs Get Slimmer
BY JOANN S. LUBLIN
Irene Rosenfeld’s coming
departure as chief executive of
Mondelez International Inc.
doesn’t just signal a change of
leadership at the snack giant.
Her move also shrinks the slim
ranks of women in command
of the biggest U.S. businesses.
Women now run 27 of the
S&P 500 companies—or 5.4%
of the total, reports Catalyst, a
research group.
Similarly, 32 women led Fortune 500 companies as of early
June. That equaled 6.4%, the
highest proportion in the 63year history of the Fortune 500
list. The figure soon slipped to
6.2% after Marissa Mayer relinquished the helm of Yahoo Inc.
Those figures, along with reports showing only minor gains
in women’s representation in
corporate boardrooms, suggested that gender parity in
EXIT
Continued from the prior page
Cadbury PLC for $19 billion.
Two years later, she separated
Kraft, Oscar Mayer and other
brands and renamed the remaining company Mondelez.
But the more focused company struggled to grow its stable of legacy brands, particularly in the face of economic
turmoil in key emerging markets including China and Venezuela. “The single biggest factor was the change in the
macro environment,” Ms.
Rosenfeld said.
Activist investors Nelson
Peltz and William Ackman
took big stakes in the company in 2013 and 2015, respectively, and urged Mondelez to
improve profit. Ms. Rosenfeld
responded in part by cutting
costs, closing or selling more
than 40 factories. That helped
boost the company’s adjusted
BONDS
Continued from the prior page
team at FTI Consulting.
Venezuela exports 780,000
barrels of oil a day to the U.S.,
accounting for 49% of its oil
Pumping Up
exports, according to Torino
After cutting output sharply to adjust to the 2008 financial crisis, OPEC Capital LLC. The U.S. is also
weighing restrictions on Venehas ramped up since the start of the decade.
zuela’s imports of U.S. oil,
34 million barrels a day
which would impede Venezu5
ela’s ability to produce oil for
2
4
export.
A default would likely cause
32
oil prices to rise, though it is
unlikely to spill over to other
bond markets because Venezu3
1
ela’s economy isn’t closely
30
linked with others and many
investors have already gotten
out of Venezuelan bonds in
preparation for a default,
28
some analysts say.
2008 ’09
’10
’11
’12
’13
’14
’15
’16
’17
A default could also free up
cash for the government to
4 Dec. 2011
1 Sept. 2008
spend on desperately needed
Collective output ceiling set at 30 food and medical imports. Yet
500,000-b/d output cut*
it could soon exacerbate the
million b/d, limits for individual
2 Oct. 2008
country’s economic crisis, as
members abandoned†
creditors seek to seize oil as1.5 million-b/d output cut*
sets and cut off the country’s
5 Nov. 2016
3 Dec. 2008
1.2 million-b/d output cut, country remaining supplies of financing, according to risk consult2.2 million-b/d output cut*
allocations restored‡
ing firm Eurasia Group.
*Iraq exempted †Includes Iraq ‡Nigeria, Libya and Iran exempted from cuts
Source: International Energy Agency
OPEC
Continued from the prior page
likely involve some transition
period past March, during
which some production volume would be withheld from
the market. Mr. Falih has been
vague on specifics.
“What we do and how we
do it,” Mr. Falih said, when
asked in May about an exit
strategy, “will be something
we decide closer to the date.
We certainly don’t intend to
abandon market monitoring.”
Mr. Falih said the details
would pivot off the oil-market
outlook.
The cartel’s supply cuts
have worked more slowly than
expected. Oil in storage, a
proxy for the severity of a
three-year global glut, remains higher than historical
averages, though it is slowly
coming down.
Representatives of OPEC
nations say there hasn’t been
any serious planning yet for
what to do when the deal expires—or if it suddenly falls
apart.
Many OPEC members,
which rely on oil for a substantial part of their budgets,
are struggling to keep up with
the current cuts, so it is un-
(L) ELIJAH NOUVELAGE/REUTERS; (R) IMAGO/ZUMA PRESS
A
AIG.............................B12
Alibaba Group.............B4
Alphabet .............. B4,B11
Amazon.com ............. B12
A.M. Castle.................B2
American Airlines.......B1
American International
Group.......................B10
Apollo Global ............ B10
Apple...............B4,B5,B11
AT&T.......................B3,B5
AutoNation ................. B5
Marissa Meyers, at left, relinquished the helm of Yahoo. Ursula
Burns, right, was succeeded by a male CEO at Xerox.
corporate life is at a virtual
standstill, despite companies’
ever more vocal commitments
to diversity. So intractable does
the issue seem that one in four
Americans believes they are
more likely to see time travel
during their lifetime than they
are to see women running half
of Fortune 500 firms, according
to a 2017 survey conducted for
the Rockefeller Foundation.
With each departure of a
female CEO, “we are strug-
gling just to maintain that recent ‘high point,’’’ said Brande
Stellings, a Catalyst senior
vice president.
A number of other women
chiefs “are at a point where retirement is in the cards,’’ says
Jane Stevenson, head of the
global CEO succession practice
for Korn/Ferry International,
an executive recruitment firm.
Three of the 62 women running a Fortune 500 company
since 1972 turned over the reins
to another woman, according to
Catalyst. Ursula Burns took the
helm of Xerox Corp. from Anne
Mulcahy, but was succeeded
this January by Jeff Jacobson.
There are a few bright
spots for female CEOs. Several
big businesses have hired or
promoted women to their
highest job this year, including
Signet Jewelers Ltd., Weight
Watchers International Inc.,
Mattel Inc. and Hershey Co.
Action-Packed Tenure
Irene Rosenfeld, 64, has served as chief executive of Mondelez International or its predecessor since 2006.
Since she was named CEO, the company's share price has more than doubled.
Aug. 2015
Activist investor William Ackman
pushes for stronger profit margins
$50
June 2006
40 Rosenfeld returns to
Kraft Foods as CEO after
a stint at Frito-Lay
30
Aug. 2017
CEO says she
will step down
Oct. 2012
Kraft splits in two, begins trading as
Mondelez; Rosenfeld remains
as chairman and CEO
April 2013
Activist investor
Nelson Peltz
discloses stake
20
10
Aug. 2016
Gives up
pursuit of
Hershey
announced
in June
Jan. 2010
Kraft buys Cadbury
0
2006 ’07
’08
’09
’10
’11
’12
’13
Sources: WSJ Market Data Group; WSJ staff reports
operating margin to 15.3% in
2016 from 12% in 2013.
Some investors say those
changes fell short. “Anyone
can close plants and reduce
head count. Where was the innovation?” asked Dennis
O'Connor, a longtime Monde-
Signs Flash Red
In Debt Market
The market for Venezuelan
debt is showing signs of investor nervousness.
The probability of a default
within a year in Venezuela—as
calculated through credit-default swaps, a form of insurance on the possibility of a default—has been rising,
approaching 70% on Wednesday. That is the highest level
since February 2016, said VicVenezuelan bonds have
been widely held, in part, because they are in the major
emerging-market bond indexes, with $342 billion tracking the J.P. Morgan EMBI
bond indexes that contain
Venezuelan bonds.
Venezuela’s bonds have outperformed the benchmark index by a wide margin through
much of the country’s economic crisis. Venezuela’s portion of that benchmark returned 121% from a trough in
February 2016 through early
March of this year, according
lez investor in North Carolina
who owns a few thousand
shares.
Mondelez shares have risen
20% over the past three years,
short of a 29% gain for the
broad S&P 500 stock index.
Its shares closed roughly
tor Fu, an emerging-market
strategist at Stifel Nicolaus &
Co. Venezuela’s bonds that mature in 2038 have dropped
4.5% since before the election
and are down 11% since the
beginning of July.
Not everyone is convinced
a default is coming. “If only
sanctions to exports of oil
from U.S. to Venezuela are enacted, we think the downside
will be limited as we think that
would not be enough by itself
to trigger a default this year,”
Bank of America Merrill Lynch
said in a note Monday.
to UBS Wealth Management.
They were the largest contributors to emerging-market
bond returns last year.
Part of the reason is Mr.
Maduro has been determined
to pay Venezuela’s debts, fearing that any default could enable creditors to seize the
country’s oil shipments and
energy assets. Short on cash,
Venezuela has been ravaged by
food shortages, high inflation
and clashes with protesters.
The country’s international
reserves briefly dipped below
$10 billion in recent days, its
’14
’15
’16
’17
THE WALL STREET JOURNAL.
flat on Wednesday. Mr. Peltz, a
Mondelez board member, welcomed Mr. Van de Put’s hiring
on Wednesday and congratulated Ms. Rosenfeld on her efforts to improve profitability.
—Joann S. Lublin
contributed to this article.
lowest in 15 years, according
to Venezuela’s central bank.
S&P estimated about $7 billion
of those reserves are in gold,
which wouldn’t be easy to sell
in bulk to meet debt interest
payments.
A white paper from sovereign-debt attorney Lee Buchheit and Mitu Gulati, a professor at Duke University School
of Law, warned off bondholders who have been buying PdVSA debt in Venezuela with
the expectation that they will
be able to hold out for a big
payday after any default.
The bonds don’t have collective-action clauses that
force the minority of bondholders to go along with a
supermajority of holders,
which has led some legal observers to say that a default
could lead bondholders to
seize assets and hold up restructuring efforts. Messrs.
Buchheit and Gulati say Venezuela has several legal maneuvers available to it that
could make collecting on
those debts difficult.
Still, some investors are
betting that the worst-case
scenarios won’t come to pass.
—Ryan Dube
contributed to this article.
THE WALL STREET JOURNAL.
likely that an agreement to extend the current deal will
come easily, analysts say. So
far, seven of 11 OPEC members
that agreed to cut output are
falling short of their targets.
“OPEC needs to come up
with a plan because if we
don’t, we will shock the market,” an OPEC delegate said,
underscoring the fear that
members would flood the
market with oil, sending
prices lower, after the agreement’s expiration.
A senior Saudi official said:
“OPEC is known for making
deals rather than exiting them
in a planned manner.”
OPEC
Secretary-General
Mohammed Barkindo told The
Wall Street Journal on Sunday
that the group remained committed to the production-cut
deal and stabilizing the oil
market, citing “the severity of
this current oil cycle on all
producers.”
For Saudi Arabia, OPEC’s
most influential member, an
extension would be a doubleedged sword.
The kingdom has shouldered the bulk of the OPEC
production cuts so far and has
pledged to further limit its exports, putting its market share
at risk.
—Nathan Hodge
contributed to this article.
Boeing Nears Parts
Deal With Supplier
BY ROBERT WALL
AND DOUG CAMERON
Boeing Co. is close to settling one of its thorniest supplier issues by provisionally
agreeing on a discount-promising, long-term deal for plane
parts with Spirit AeroSystems Holdings Inc.
Negotiations between Boeing, the world’s No. 1 plane
maker by deliveries, and
Spirit, its biggest supplier,
have run for years and been
contentious at times as the
two sides sparred over parts
pricing. Spirit in April said
there was a significant gap on
terms.
On Wednesday, Boeing said
the breakthrough was an “important step forward” in its
Partnering for Success program in which the plane maker
has asked suppliers for concessions in return for work.
Boeing recently struck similar
agreements with suppliers Kawasaki Heavy Industries Ltd.
and Triumph Group Inc.
The effort is aimed at helping the Chicago-based plane
maker compete against Euro-
pean rival Airbus SE and to
meet a commitment to boost
earnings margins to the midteens from around 10% now.
Spirit Chief Executive Officer Tom Gentile said the memorandum of agreement “reduces much uncertainty that
has long existed with our largest customer.” Final details
should be ironed out by October, he said.
Shares in Spirit, which was
spun off from Boeing’s Wichita, Kan., and Tulsa, Okla.,
units in 2005, surged 18%
Wednesday, as a nagging concern over future profit and
cash flow was nearing an
end. Boeing’s shares fell 0.6%.
The deal covers production
through 2022 of major structures on Boeing airliners, including the ubiquitous 737 single-aisle plane and the 787
Dreamliner long-range jet,
Spirit said.
The accord comes as Boeing
considers developing a brand
new airliner. The plane maker
has signaled it may not work
with suppliers that don’t accommodate its needs for
greater efficiency.
Donald W. Spiro, died peacefully on July
30,2017, at home, surrounded by his family.
A native Staten Islander, Donald was born
on December 5, 1925, in Staten Island,
New York, to Edward and Emily Spiro.
He attended Port Richmond High School
in Staten Island, graduating in 1943. He
served as an aviation cadet in the United
States Army Air Corps during World War
II, from 1943 to 1945. Studied at Wagner
College, he graduated in 1949 with a B.S.
in business administration and married
Donald W. Spiro
Former CEO of Oppenheimer, 91, his college sweetheart, Evelyn. Donald’s
career started at a very young age as
of Kinnelon, NJ,
manager of his family’s butcher shop and
passed away on July 30, 2017.
purveyor of marine institutional food,
Capitol Market, on Staten Island. In 1960, he joined the Dreyfus Corporation
as a sales trainee. In 1962, he began his 37-year career with Oppenheimer
Management Corporation, starting as a fund representative. Within three
years, he had become vice president for sales. In 1968, he was promoted to
general partner of the parent company, Oppenheimer & Co. He served as OMC’s
president, president of OMC’s funds, and president of Oppenheimer & Co. From
1985 to 1991, he served as chairman of Oppenheimer Management Corporation,
and was named chairman emeritus upon stepping down. Donald Spiro had a
37-year career with Oppenheimer Management Corporation and was named
chairman emeritus in 2001. Spiro’s philanthropic beneficiaries have included
Wagner College, Carnegie Mellon University, St. Clare’s Hospital in Denville,
New Jersey, where his wife Evelyn once served as a nurse, the Dana Farber Cancer
Institute in Boston, Johns Hopkins University, where they endowed the Benjamin
S. Carson, Sr., M.D., and Dr. Evelyn Spiro, R.N., Professorship in Pediatric
Neurosurgery; and other causes related to health and human services. Donald
also served on the steering committee for the rehabilitation of Carnegie Hall in
Manhattan, and he served on the board of the Salvation Army of Greater New
York. He is survived by Evelyn Spiro of Smoke Rise, NJ. Three children, Donald
(and wife Judy) of Tucson, AZ, Corylee of NYC, and Kimberly of Kinnelon, NJ.
Six grandchildren and 6 great grandchildren. A memorial gathering will be
held on Thursday, August 3rd, 2017 at the Smoke Rise Community Church,38
North Rd, Kinnelon, NJ, 07405, from 2pm to 7pm. Arrangements entrusted to
the Morrison Funeral Home, Butler, NJ. www.themorrisonfuneralhome.com
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | B3
* * * *
BUSINESS NEWS
BY CHRIS KIRKHAM
AND DANA MATTIOLI
Hospitality group Wyndham Worldwide Corp. said it
will spin off its hotel and
timeshare businesses into two
separate publicly traded companies, following the playbook
of other large hotel corporations.
Marriott International Inc.
and Hilton Worldwide Holdings Inc. also separated their
timeshare businesses in recent
years.
The deal is subject to final
approval by Wyndham’s board,
but won’t require shareholder
approval. Wyndham expects to
complete the separation by
the first half of next year. The
company hasn’t yet named the
two entities.
Wyndham shares rose 4.9%
in after-hours trading, after
The Wall Street Journal reported the pending move.
Stephen P. Holmes, Wyndham’s chairman and chief executive, said in an interview
that the deal will allow both
companies to better focus on
growth strategies, including
mergers and acquisitions, in
distinct segments of the lodg-
ing industry.
“When you look at the way
analysts talk about us, you’d
see that quite a few of them
look at the sum of the parts,”
he said. “They say ‘OK, if these
businesses were valued as independent businesses, the
stock would be worth more.’ ”
The new timeshare company would be the world’s
largest publicly traded timeshare corporation by sales. It
includes current Wyndham
Worldwide units Wyndham
Vacation Ownership and RCI, a
vacation-ownership exchange
network with more than 4,300
properties in more than 100
countries. Wyndham’s hotel
division last year generated
revenue of $1.3 billion, while
its timeshare businesses reported revenue of $3.4 billion.
Mr. Holmes said the company will explore “strategic alternatives” for the company’s
European vacation rental businesses.
Geoff Ballotti, chief executive of Wyndham Hotel Group,
will lead the hotel company,
while Michael Brown, chief executive of Wyndham Vacation
Ownership, will lead the timeshare company.
Uniqlo Puts Jackets
In Vending Machines
BY KHADEEJA SAFDAR
C WAGNER/UNIQLO
Your flight is boarding
soon, but you forgot to pack
warm clothes. What to do?
Uniqlo is betting that you
might consider a lightweight
down jacket from a vending
machine.
The Fast Retailing Co.owned retailer plans to roll out
10 of them this month and next
in airports and shopping malls
near New York, Houston, Oakland, Calif., and other U.S. cities.
The machines are part of the
company’s retooled expansion
plans after a more ambitious
effort to increase Uniqlo’s U.S.
presence fell short of expectations. Vending machines are
cheaper to operate than physical stores and are a convenient
way of selling basic, travelfriendly clothes to harried consumers, said Marisol Tamaro,
Uniqlo’s U.S. marketing chief.
“At the airport, you don’t
have a lot of time to wait in
line and explore a store,” she
added.
Best Buy Co. operates 183
machines, most of them at airports, and has said in filings
that they generate millions in
revenue. Other brands, including Benefit Cosmetics LLC,
also have tried airport vending
machines as a way to tap a
captive preboarding audience.
Uniqlo has used similar machines as a marketing tool in
Singapore and other countries.
After opening 45 stores in
the U.S., Uniqlo is now using
vending machines, temporary
stores and a few flagship locations to expand its physical
footprint.
The 6-feet-high vending
machines will sell heat-retaining shirts and lightweight
down jackets. The limited selection allows Uniqlo to offer a
range of sizes and colors.
Items will be dispensed in
boxes and cans and can be returned in a store or via mail.
The retailer is planning to offer shirts and lightweight jackets
at some airports and shopping malls in the U.S.
JUSTIN SULLIVAN/GETTY IMAGES
Wyndham Plans
To Split Hotel,
Timeshare Units
Some investors and analysts fear Tesla’s cheaper Model 3 could cannibalize sales of more expensive models such as the Model S.
Tesla Attempts to Calm Investors
BY TIM HIGGINS
Tesla Inc. worked to calm
investor nerves, stressing on
Wednesday that orders for its
two older and more expensive
vehicles have accelerated
lately despite the arrival of the
cheaper Model 3 compact car.
In its second-quarter report, the Silicon Valley electric-car company reiterated
that it planned to sell more of
the Model S sedans and Model
X sport-utility vehicles during
the second half than the first
six months of the year, and
said it expected revenue to
swell while operating costs
hold steady.
The company ended the
quarter with $3 billion in cash
on hand after spending less
during the April through June
period than expected. That
along with cash being generated during the second half
should provide enough money
to pay for Tesla’s ambitious
spending projects and give it
enough flexibility during the
Model 3 ramp up, Chief Executive Elon Musk told shareholders in a letter. He later signaled to analysts on a
conference call that Tesla may
tap the debt market again for
more cash.
Tesla’s stock has been on a
tear—rising more than 50%
this year and sending its market value above that of Ford
Motor Co. and, at times, General Motors Co.—amid enthusiasm for the Model 3. The
new car, which Tesla moved
into production last month, is
designed to remake the company as a more mainstream
auto maker, ushering in an age
of more affordable and popular electric cars.
But investors and analysts
have expressed concern that
buyers’ anticipation for the
$35,000 Model 3 could cannibalize sales of the older models.
Those concerns were stoked
last month when Tesla reported
deliveries of the Model S sedan
and Model X sport-utility vehicle came up short of analysts’
expectations. The shares fell
about 13% since then ahead of
Wednesday’s announcement.
On Wednesday, Tesla said
the orders for the two older
vehicles in July rose 15%
higher than the company’s average weekly order rate during
the second quarter, and that
orders for the Model S were
increasing even more in the
days after an event on Friday
celebrating the handoff of the
first 30 Model 3s. “This growing demand gives us even
more reason to expect in-
Tesla’s stock has been
on a tear—increasing
by more than 50%
this year.
creased deliveries of Model S
and Model X in the second
half of the year,” Mr. Musk
told shareholders.
Investors liked what they
heard on Wednesday, sending
Tesla’s stock up more than 8%
in after-hours trading.
“We believe this was a better than expected quarter,”
James Albertine, an analyst
for Consumer Edge Research,
said in a note.
Mr. Musk was further
helped by a second-quarter
loss that was narrower than
analysts’ expectations. The
Palo, Alto, Calif., company reported a loss of $336 million,
compared with a loss of $239
million a year earlier. On an
adjusted basis, the company’s
per-share loss of $1.33 beat
the $1.82-a-share loss predicted by a consensus estimate
of analysts surveyed by Thomson Reuters.
Revenue more than doubled
to $2.79 billion, besting the
analysts’ average projection of
$2.51 billion. Tesla said it cut
operating costs during the
second quarter from the first
quarter while facing higher
currency costs, which contributed to its net loss increasing
from the first quarter.
In recent weeks, Mr. Musk
has worked to tamp down expectations for the Model 3,
warning fans at Friday’s event
that the auto maker was entering “manufacturing hell”
for the next six months as he
ramps up assembly. Mr. Musk
reiterated that comment on
Wednesday’s earnings call—
“When I meant production
hell, I meant it”—but he said
investors shouldn’t expect any
significant negative surprises.
Antitrust Nominee Makes Assurances
BY BRENT KENDALL
President Donald Trump’s
nominee to lead antitrust enforcement at the Justice Department recently agreed to
tell lawmakers if the White
House tries to improperly influence any decision he makes
on whether to allow AT&T
Inc.’s $85 billion acquisition of
Time Warner Inc.
The commitment came in a
meeting between the nominee,
Makan Delrahim, and Sen.
Richard
Blumenthal
(D.,
Conn.), who wrote a July 24
letter memorializing the discussion.
“I particularly appreciated
your commitment that you
will brief me, in an appropriate setting, any time the
White House initiates an inappropriate communication with
you or anybody in the Anti-
trust Division,” the senator
wrote to Mr. Delrahim after
the meeting.
People familiar with the
meeting, which also included
Senate and Justice Department staffers, confirmed the
exchange and said the men
also generally discussed the
importance of the department’s independence. They
said Mr. Delrahim additionally
provided assurances that officials at the White House haven’t sought to lobby him on
AT&T.
The White House and the
Justice Department communicate with one another, but
protocols governing those discussions seek to ensure that
the department can operate
free from improper political
intervention.
The White House didn’t respond to requests for com-
ment. A Justice Department
spokesman declined to comment.
Mr. Trump during last
year’s presidential campaign
said AT&T shouldn’t be allowed to buy Time Warner,
which owns CNN, because it
would allow too much concentration of power in one company.
The president at times has
been sharply critical of coverage he has received from the
cable network.
While Mr. Blumenthal and
other Senate Democrats are
attempting to head off any
White House interference in
the Justice Department’s review of the AT&T deal, they—
like Mr. Trump—have raised
objections to the transaction,
arguing it could lessen competition and reduce programming choices for customers.
In an interview, the senator
said that while he would like
to see the deal blocked, he
would want the Justice Department to do it for the right
reasons, after a thorough antitrust review.
It isn’t clear where the
president currently stands on
the AT&T transaction, Mr. Blumenthal added.
Mr. Blumenthal’s meeting
with Mr. Delrahim comes amid
broader concerns expressed by
senators of both parties about
Mr. Trump’s relations with the
Justice Department.
Mr. Trump in recent weeks
has criticized Attorney General Jeff Sessions, faulting his
recusal from a probe into Russian meddling in the 2016
election.
Both Republicans and Democrats have criticized Mr.
Trump’s remarks.
Molina to Exit Two Exchanges
BY ANNA WILDE MATHEWS
Announcing a steep loss for
the second quarter, Molina
Healthcare Inc. said it would
pull out of two states’ Affordable Care Act exchanges next
year and review its participation in others, as well as more
broadly restructure its operations to cut costs.
Molina said it would leave
the insurance exchanges in
Utah and Wisconsin and scale
back its presence in Washington state, and may pull out of
more state marketplaces. It
also said it is increasing exchange premiums 55% on average, partly due to lack of clarity around key federal
payments. Molina is one of the
largest marketplace insurers,
with 949,000 enrollees across
nine states.
“We’re prepared to make
hard decisions” about exchange participation, said Joseph White, chief financial officer and interim CEO, during
a call with analysts. He men-
tioned some states that had
performed well, including
Texas, but said “Florida has
not been a good market for us,
we’re going to have to look
closely at it.”
Molina’s decision is the latest sign of turmoil in the exchanges, where insurers are
struggling to make decisions
amid uncertainty about major
questions at the federal level,
including the future of the
payments that reduce out-ofpocket costs for low-income
ACA enrollees.
Molina’s pullback appears
to leave at least one county,
Wisconsin’s Menominee, at
risk of having no exchange insurers next year, according to
the Kaiser Family Foundation.
After retreats by other insurers, around 19 other counties
in Ohio, Indiana and Nevada
may also potentially lack marketplace coverage next year,
but the situation is fluid as
several states have been able
to fill blank patches on their
exchange maps in the past.
A spokeswoman for Wisconsin’s insurance regulator
said the rate filings made by
insurers are preliminary and
“coverage areas and rates are
subject to change. We continue to do everything in our
authority to ensure all counties in Wisconsin are covered.”
The quarter’s result underscores the continuing challenges for Molina, which in
May fired its two leading executives, sons of the founder
who had run the company for
two decades. The company’s
board cited disappointing financial performance in the decision to remove Chief Executive Dr. J. Mario Molina and
Chief Financial Officer John C.
Molina.
The exchange business was
one driver of Molina’s secondquarter loss, which amounted
to $230 million, or $4.10 a
share, on revenue of $5 billion,
compared with year-ago net
income of $33 million, or 58
cents a share, with revenue of
$4.36 billion.
Want Great Rates + Safety?
It’s a day at the beach.
Relax with a great CD rate and
special term from Synchrony Bank.
SPECIAL OFFER
15-MONTH CD
%
1.55
APY *
$2,000
minimum
opening
deposit
Visit us at synchronybank.com or call 1-800-753-6870 to get started.
* Annual Percentage Yield (APY) is accurate as of 7/1/17 and subject to change at any time without notice.
A minimum of $2,000 is required to open a CD and must be deposited in a single transaction. A penalty may be
imposed for early withdrawals. Fees may reduce earnings. After maturity, if you choose to roll over your CD, you will
earn the base rate of interest in effect at that time. Visit synchronybank.com for current rates, terms and account
requirements. Offer applies to personal accounts only.
© 2017 Synchrony Bank
B4 | Thursday, August 3, 2017
* ****
THE WALL STREET JOURNAL.
TECHNOLOGY
WSJ.com/Tech
Apple’s Breakthrough Product: Services
Music subscriptions,
payment transactions
and apps are now big
revenue contributors
BY TRIPP MICKLE
When Apple Inc. last year
began breaking out revenue
from app sales, music subscriptions and payment transactions, the accounting change
seemed opportunistic. Sales of
iPhones were declining and
services provided a growing
business to showcase.
The change now appears
more than justified.
On Tuesday, Apple said services—the App Store, iTunes,
Apple Pay, iCloud and more—
generated more than $27.8 billion in revenue for the 12
months ended July 1, making
it the equivalent of a Fortune
100 company and larger than
Facebook Inc.’s total revenue
in 2016.
The company hit the Fortune 100 milestone a full quarter before predicted by Chief
Executive Tim Cook, as rising
subscriptions to Apple Music,
Netflix Inc. and other services
lifted services revenue 22% in
the June quarter to $7.27 billion. The iPhone is still Apple’s
chief moneymaker, but services
combined with better-than-expected iPad and Mac sales reduced Apple’s total revenue
from the iPhone to 55% in the
quarter from 57% a year ago.
“The business is really impressive when you think about
it in terms of scale compared to
other publicly traded companies out there,” said Jeff Dillon,
chief executive of Jackson,
Mich.-based Dillon & Associates, which counts Apple among
its largest holdings. “There’s a
long runway to go there.”
Apple’s total revenue rose
payments to app developers,
and in June said Apple Music
subscriptions hit 27 million.
But it hasn’t broken out revenue from AppleCare, Apple
Pay, iTunes, iCloud storage or
any of the other pieces that
contribute to the business.
The growth in services is
driven by the size and quality
of Apple’s user base. Apple
now has more than one billion
devices in use world-wide. Its
pricier iPhones, iPads and
Macs are typically bought by
more affluent consumers who
load them up with apps or pay
extra to store photos in the
cloud. The App Store generates nearly twice the revenue
of Alphabet Inc.’s Google Play,
according to App Annie, a
tracking service.
Apple to some extent is
drafting off broader consumer
trends. An increasing number
of customers are shifting from
cable subscriptions to stream-
Serving It Up
Apple's sales of apps, cloud storage, music subscriptions and other
services are soaring. Change in revenue:
60%
Services
40
20
0
–20
Mac
–40
iPad
iPhone
–60
2015
Source: the company
2016
2017
Note: Fiscal year ends in September THE WALL STREET JOURNAL.
7.2% in the quarter to $45.41
billion, while profit was up
12% to $8.72 billion. The company’s stock rose 5% in midday trading Wednesday.
Apple boosted services revenue while facing a host of
challenges, including discontinued movie sales in China,
shrinking iTunes market share
in the U.S., and a musicstreaming service that is a distant No. 2 player in paid subscriptions to Spotify AB.
The company remains
guarded about which sources
are driving services revenue.
Apple annually reports total
New iPhone Offers Glimmer of
Hope for Firm’s Chinese Business
ChinaVPN
RulesLift
Costsfor
Businesses
China’s moves to tighten the
screws on its already heavily
gated internet stand to significantly raise the costs and level
of difficulty for foreign companies doing business in the
country.
GETTY IMAGES
By Liza Lin
in Shanghai and
Josh Chin in Beijing
Apple Inc. has been facing
plenty of headwinds in China
lately, including plunging sales,
increasing competition from rival
smartphone makers and government pressure to comply with
stiff new security rules.
The new iPhone expected
this fall offers a glimmer of
hope, some analysts say, thanks
to affluent Chinese consumers
who are willing to pay premium
prices for the latest technology.
(At left, an Apple store in Kunming, Yunnan province.)
While China’s overall smartphone market is flat, the higherpriced market, for phones that
cost 4,000 yuan ($595) or
more, is still increasing, analysts
say.
“Consumers are still willing to
upgrade and some of them are
waiting to buy the next-generation iPhone,” said Jin Di, a mobile-market analyst at research
firm IDC.
Factoring in the new iPhone,
research firm Canalys is forecasting shipments of 27 million
iPhones, iPads and iPod Touches
in mainland China for the last
four months of 2017, compared
with 22 million during the same
period last year.
Apple could use some good
news from China: On Tuesday, it
reported that sales sank 9.5% to
$8 billion in China, Hong Kong
and Taiwan, for the third quarter ended July 1. That was the
sixth consecutive quarterly sales
decline in Greater China. Chief
Executive Tim Cook noted,
though, that sales in Taiwan
rose 20%.
Along with shrinking sales in
Greater China, Apple has also
been grappling with new cybersecurity rules imposed by the
Chinese government.
—Alyssa Abkowitz
Hiring of New Graduates Helps Facebook Diversify
BY YOREE KOH
Facebook Inc. said its efforts to diversify its workforce are starting to bear
fruit, thanks in part to an effort to hire more women
straight out of college.
The social network has
made strides in increasing the
percentage of women at the
company over the past year.
Women now account for 35%
of global employees, up from
33% the previous year, Facebook said Wednesday. In technical roles—positions where
there are typically the fewest
female, black and Hispanic
employees—the percentage of
women has increased to 19%
FOWLER
Continued from page B1
Amazon isn’t disclosing
how this Style Check feature
makes decisions, saying only
that humans help the AI algorithms “get smarter over
time.” The Echo Look, which
also does everything Amazon’s other talking speakers
can do, is sold only via invitation for now.
It’s a big leap to install
an internet-connected camera and microphone where
you usually disrobe. Unlike
Amazon’s similarly named
Echo Show, the Echo Look
isn’t always on. It takes a
shot when you verbally command it, and there’s a button
that shuts its sensors off.
Amazon stores the photos
for your reference—and so it
can keep learning.
Who would even desire
such a thing? If you love
fashion, the Echo Look could
be a handy tool to capture,
collect and rank outfits. For
the rest of us, at best it offers low-anxiety second
opinions.
The idea of a style robot
“is hilarious, ludicrous and
potentially life-saving to
some,” says Mr. Rubenstein.
We spend trillions of dollars
on clothes, so perhaps it was
inevitable that AI would attempt to answer the question: Do these pants make
me look fat?
Elements of style
Being more tuned to geek
from 17%.
Facebook said 27% of all
new-graduate hires in engineering were women. That
outpaced the 18% of computer-science graduates who
are women, said Maxine Williams, Facebook’s head of diversity, citing a statistic from
the National Center of Education Statistics.
“I’m happy with the trends,
I’m feeling good about the
growth, but I want more,” Ms.
Williams said.
Facebook, like its tech
peers, has struggled to make
its workforce more diverse,
which experts say is key to
producing
technology
adapted for a wide variety of
audiences.
Experts say there are several causes for the homogeneity, from the universities companies
tend
to
favor
Overall, Facebook’s
workforce still looks
overwhelmingly white,
Asian and male.
recruiting from, to the referral hiring programs that limit
potential candidates to a narrow network of friends that
typically come from similar
backgrounds.
Ms. Williams said there are
also systemic issues at play.
While the company can take
steps to improve its hiring
process and try to reduce unconscious bias, she attributed
problems to the pipeline issue, referring to the pool of
candidates available to hire.
“The pipeline is not everything, but it’s part of the issue,” she said.
Overall, Facebook’s workforce still looks overwhelmingly white, Asian and male.
The percentage of black
and Hispanic workers at the
company in the U.S. ticked up
1 percentage point each to 3%
and 5%, respectively. But their
presence in technical roles
and senior leadership roles
didn’t budge in the past year.
For technical roles in the U.S.,
Black employees still only account for 1% of workers and
Hispanic employees account
for 3%.
She attributes the progress, such as women accounting for 21% of all new technical hires, to efforts such as
the company’s implementation of the Rooney Rule,
where hiring managers consider candidates from underrepresented
backgrounds
when filling positions. Facebook declined to disclose
comparable figures for other
minority groups.
Test Your Fashion Sense
First choose the outfits you prefer. Compare your selections with the verdicts below, rendered by a panel of fashion experts* and the Echo
Look. Check out the complete quiz online: wsj.com/tech
Outfit 1
A
Outfit 2
B
A
B
Verdicts: Outfit 1: Humans and Echo Look agree; A is a “case of using black and white as a deft display of figure flattery,” says one human. Outfit 2: The humans are
split. “I really like the print-combining look” of A , said one expert. Another preferred B : “The tie pops nicely against the suit and shirt.” Echo Look chose B .
The government’s recent
crackdown on tools that allow
internet users to circumvent
China’s system of web filters
could make it harder for companies to communicate with
business partners, clients and
suppliers overseas.
The effort to block use of
unapproved virtual private networks, or VPNs, and uncertainty over internet access is
already weighing on foreign
companies’ operations in China,
according to foreign business
groups.
“The success of our members is dependent upon instantaneous access to information
on a world-wide basis as well
as the ability to freely communicate with their affiliates, suppliers and customers around
the world,” said Lester Ross,
chairman of the policy committee at the American Chamber of
Commerce in China. “We urge
the government to take such
concerns into account.”
Many see the crackdown as
a sign that China plans to be
aggressive in enforcing a new
cybersecurity law aimed at giving Beijing more control over
flows of information.
“This will affect the majority
of foreign companies that operate in China,” said Han Lai,
China country manager for
KrolLDiscovery, a legal-technology consulting firm based in
Washington, D.C.
Forcing companies to send
data offshore only through government-approved VPNs is a
first step in implementing new
rules that require businesses in
“critical industries” to store
broad categories of data inside
China and get permission before moving it out of the country.
The new rules could significantly increase costs for foreign companies by requiring
them to set up new data centers in China, analysts said.
Firms will also have to set up
specialized data-management
systems for their China business and figure how, or
whether, to integrate them with
their existing operations.
By using a VPN under the
control of Chinese regulators,
companies also make it easier
for the government to track
their activities and potentially
steal their data, said Michael
Hull, co-founder of Psiphon, an
Ontario-based censorship-circumvention company targeted
in the crackdown.
“I can’t think of a worse
thing for a company to do than
that. It’s better not to use a
VPN,” Mr. Hull said.
The closing of leaky windows on the Chinese internet
began last month when censors
disrupted Facebook Inc.’s messaging app WhatsApp, used by
activists and others to send encrypted messages, and several
foreign VPNs.
ing-subscriptions services such
as Netflix, HBO Now and Hulu,
and many sign up through the
App Store, giving Apple a 15%
cut of the subscription.
Apple said its number of
subscriptions rose 12% in the
past 90 days to 185 million. In
a call with analysts, Chief Financial Officer Luca Maestri
credited some of the growth
to making App Store purchases easier by adding more
payment options, such as Alibaba Group Holding Ltd.’s Alipay in China.
The services business hasn’t
been without headaches. In
China, the government shut
down Apple’s movie and book
sales because they violated local media guidelines. Apple
also has faced criticism globally for removing apps in China
such as the New York Times
earlier this year, and others
that allowed users to evade the
country’s censorship laws.
*Hal Rubenstein, a founding editor of InStyle magazine, Teri Agins, longtime
Wall Street Journal fashion columnist and stylists Paul Julch and Solange Khavkine
trends than runway trends, I
sought professional help for
our tests. Ms. Khavkine, a
New York stylist, curated designer garments for Joanna,
starting with a shimmering
blue jacket with a high collar, and a sleek python-print
jacket. All four experts preferred the simpler second
option. (The blue number “is
trying to be contemporary
but looks cheap,” Ms. Agins
said.)
Joanna did the sashay and
shante in front of Alexa’s
judgmental eye and after
about a minute, Style Check
spit out a result: 70% likelihood the sleek jacket looked
better. Consensus!
Then Joanna tried on a
pair of black-and-white
dresses. Again, our whole
panel agreed, picking the
dress with a lower hemline
because of the way it fit.
And, again, so did Alexa, giving it a 68% thumbs up.
In my menswear experiments, aided by Mr. Julch, a
San Francisco stylist, we had
more mixed results. I modeled the same sweater and
THE WALL STREET JOURNAL.
pants in two different sizes.
The larger size instantly irritated our human judges.
Strangely, the Echo Look
barely favored the better fit.
I wondered if Alexa might
sometimes be guessing.
Amazon says the Echo
Look tries to give a “holistic
assessment” that takes into
account fit, color, styling,
season and current trends,
as well as “unique characteristics of each customer.” It
doesn’t factor in past purchases, a spokeswoman says.
“Anyone can use Style
Check—whether you’ve purchased clothing on Amazon
or not.” The humans who
help train the AI are fashionfocused Amazon employees,
the company says.
Unlike a fashionable
friend, Alexa doesn’t challenge what’s in your closet—
at least, not for now. There
are companies using machine learning to recommend
clothes to buy, and doubtless
that’s Amazon’s endgame
too. But it will take a lot of
data-crunching to match a
great store display.
Thursday, August 3, 2017 | B5
THE WALL STREET JOURNAL.
BUSINESS NEWS
BUSINESS WATCH
Dear Friend, Tell Us More
BY FRANCESCA FONTANA
AT&T
Telecom Executive
Leaves Amid a Shift
NYU’s Stern School of Business wants letters of endorsement from an applicant’s pal or co-worker.
rials like drafts of a personal
statement or a copy of their
résumé, but ultimately a letter
of recommendation “should be
the words of the recommender,” said Isser Gallogly,
associate dean of M.B.A. admissions at Stern. In addition
to the two recommendations
Stern requires, it now has applicants ask a friend or colleague to write a 250-word
statement highlighting traits
like empathy and self-awareness. Mr. Gallogly said a
friend’s endorsement gives admissions officers insight they
might not get from professors
or managers. Applicants may
be unlikely to mention such
traits because it “feels a little
braggy. They don’t really want
to get self-congratulatory,” he
said. Admissions officers also
are trying to cut down on information overload.
Some two dozen b-schools
collaborated with the Graduate
Management Admission Council to create a common recommendation form, introduced
last year. Recommenders use
the form to provide short answers to questions like, “How
does the performance of the
applicant compare to that of
other well-qualified individuals
in similar roles?” and “Describe the most important
piece of constructive feedback
you have given the applicant.”
Mr. Gallogly said the
changes ease the burden on
recommenders and yield more
manageable responses. “We
don’t need pages and pages to
get insight,” he said.
Linda Abraham, founder
and president of admissions
consulting firm Accepted.com,
said nicely written but vague
recommendations communicate almost nothing about the
applicant, leading schools to
ask for more or different insight like Stern’s new emotional intelligence component.
Before Wharton capped recommendations at 600 words,
some recommenders submitted long letters that were no
more useful than a succinct response, said Blair Godfrey
Mannix, director of operations
and evaluations for Wharton’s
M.B.A. program.
AutoNation Shifts Back to Used Cars
BY ADRIENNE ROBERTS
HOUSTON—AutoNation
Inc. Chief Executive Mike Jackson shook up the retailer when
he took over in 1999, closing
nearly two-dozen preownedcar megastores to focus on
new vehicles. Nearly 20 years
later, he again wants to sell
America a used car.
The nation’s largest dealership group opened its first “AutoNation USA” used-car center
in southeast Texas this week, a
store playing a central role in a
series of moves to lower reliance on auto makers that dictate strict terms to retailers. In
an interview, Mr. Jackson said
car companies remain overly
generous with incentives,
sparking a price-war level that
is “chaotic for retailers and
confusing for consumers.”
AutoNation reported a 21%
decline in quarterly net income
from continuing operations
Wednesday to 86 cents a
share, missing analyst expectations. Revenue dropped 3% to
$5.3 billion.
The company has been solidly profitable during a sevenyear hot streak for auto sales,
but as sales slow, retailers are
making adjustments.
“I want to build a business
that we are in control of,” Mr.
Jackson said.
He intends to grab market
$5.3B
AutoNation’s revenue for the
second quarter
share from players in the usedcar market, including CarMax
Inc., and is expanding into
branded car parts, auctions
and collision centers.
The first AutoNation USA in
Houston doesn’t look like an
old-time used-car dealership.
The company has a no-haggling pricing policy, customers
deal with one employee
throughout the buying process
KKR and Walgreens
To Take Firm Private
KKR & Co. and Walgreens
Boots Alliance Inc. have reached
a deal to take PharMerica Corp.
private in a deal valued at $1.4
billion, the companies said
Wednesday.
Shareholders of institutional
pharmacy-services company
PharMerica will receive $29.25 a
share in cash, a 17% premium to
Tuesday’s closing price. Walgreens Boots Alliance will be a
minority investor in a newly
formed company that KKR will
control.
The Louisville, Ky., company’s
decision to be acquired followed
a review of strategic alternatives.
The company’s board has already
approved the transaction.
—Bowdeya Tweh
STEPHANIE AARONSON/THE WALL STREET JOURNAL
New York University’s business school is trying to get a
better sense of what its applicants are really like. So the
school is asking their friends.
Recommendation letters for
applicants to
BUSINESS
masters
of
EDUCATION business administration
programs often
focus on analytic acumen or
leadership skills. This summer,
NYU’s Stern School of Business
started asking for endorsements from a pal or co-worker
who can comment on the applicant’s social skills or emotional intelligence.
Stern’s friendly testimonial
is just one of the ways business schools are rethinking the
recommendations required for
admission to M.B.A. programs.
Some programs have begun accepting a common application
form to save recommenders
from writing missives for separate schools. The University
of Pennsylvania’s Wharton
School has implemented word
counts to keep statements ontopic.
The rejiggered recommendations share a common goal:
Cutting through the fluff to
find out who applicants really
are. Many applicants ghostwrite their own recommendations at recommenders’ request, a practice schools try to
discourage.
About 40% of M.B.A. applicants said at least one manager asked them to draft their
own recommendation letter,
according to a 2014 survey of
applicants by the Association
of International Graduate Admissions Consultants, a professional organization.
Applicants can share mate-
PHARMERICA
and most of the transaction is
completed on an iPad. Customers can do a test drive, buy a
car and receive financing in
under an hour under this
model.
AutoNation plans to open a
collision center and AutoNation USA store in Phoenix in
the fourth quarter, along with
another used-car dealership in
Texas and one in Las Vegas in
the first quarter of 2018. Six
more collision centers are
planned to open around the
country.
The market is stocked with
entrants, from individuals advertising via online classified
websites to startups like Carvana Co. selling cars out of a
vending machine and offering
delivery.
A well-funded competitor,
Beepi Inc., shuttered this year,
showing the pitfalls of the cutthroat car business.
Used cars sell for less
money than new but generally
offer significantly higher margins compared with new-car
sales. Mr. Jackson has criti-
cized auto makers for flooding
car lots with inventory and going to extreme measures to
keep sales humming.
“I have had to take the serenity prayer these last few
years,” he said. “There are
things that are bigger than me
that I can’t change…the new
vehicle market is what it is.
It’s dominated by the manufacturers who have an irrational
incentive program.”
Mr. Jackson’s pivot from
hefty reliance on the traditional new-car sales model began in 2013 when he launched
the AutoNation brand, changing local dealerships’ names to
AutoNation to create a distinct
brand to compete as the retail
market became increasingly
digital.
Mark Rikess, CEO of automotive consulting firm Rikess
Group, said new-car margins
are increasingly squeezed in
part because of the number of
people it takes to sell a new
car: Often as many as six dealership employees are involved
in the sale of one car.
AT&T Inc. said veteran executive Glenn Lurie will retire next
month, the latest sign of the telephone company’s efforts to retool
management to run a more entertainment-focused business.
Mr. Lurie led the team that
landed an exclusive U.S. agreement with Apple Inc. to launch
the first iPhone a decade ago. His
departure follows a shake-up in
the telecom company’s upper
ranks as it positions itself to take
over Time Warner Inc., a media
company that owns CNN, HBO
and the Warner Bros. studios.
The reorganization announced
last week put longtime executive
John Donovan in charge of a new
communications unit to house
AT&T’s telecom operations. John
Stankey, who previously led the
Rio Tinto PLC plans to increase its share buyback program this year and reward investors with its highest interim
dividend to date after it stepped
up debt reduction and its halfyear profit almost doubled from
a year ago.
The decision is a reflection of a
rebound in the mining industry’s
fortunes that has gained momentum, benefiting from a recovery in
prices of commodities including
iron ore and coal, as well as efforts
to slash costs since prices
slumped in 2015.
Rio Tinto said it would return
$3 billion to shareholders, including a $1 billion increase to a
$500 million share-buyback program initiated earlier in the year,
and a raised interim dividend.
The Anglo-Australian company’s net profit rose to $3.31 billion in the first half from $1.71 billion a year earlier, while revenue
increased 25% to $19.32 billion
from $15.5 billion. It said it reduced net debt by $2 billion over
the first half to $7.6 billion.
—Robb M. Stewart
To advertise: 800-366-3975 or WSJ.com/classifieds
NOTICE OF SALE
! "
# $% ! " #$% $$$ & '
&
' !"# $ "% & ' ( & ' )$
( ) ;
0=1:</!A;
BC :001-:! :000000 ") % :
;+;@<B!!2
CD :00,-;<! C <000000 @ BA@:21+!!20
CEB :001-;E C
<000000 * < BA+,<:<!:@
F :001-@E G
1000000 +
;<012E!71
!F :001-,! 8 :000000 ' 1
00@22G!A=
!D =! ;0000000 +,+- .( ,
0=1::!7@
A. :00<-@! ;
2000000 !( / 01220& 2
;:<=2!A<
;1! =+00000 ( =
;:<2+!:
;=! +000000 ( ;0 :1,0:.!5@
8D :00,-;! : <200000 ;; @<=+2!C<
5D. :001-;! <000000 3' 4 ;: @10,:;!2
5B ;! !:
<000000 ( (
& 5 ;@ @1212!5,
AC :00+-<! ;:000000 3' ;<
@12125!52
AC :001-+! ;0000000 6( '
;+
@1::E<!7:
A5 :001-:! C
,000000 ;1 @1:<,=!C,
A5 :001-<! <000000 ! ( ;,
<0,@,.!C1
8AD :001-;! =000000 7 8
9
4
;2 <@;<,E!;
86 :00<-;! +000000 ;= <1<:1E!5@
6 :001-@! ,000000 & (
":;:%
<+,-2:+2
":;:%
:0
<+@,,!7+
6C1 1! ,000000
:; <+@,,!;
6C, ,! C
;0000000 <+,-2:1= +,+-
:: <+,1@!+
6! :00+-:! 6H ,000000 .( !( / 01220&
:@ 100,2+!A<
6 :00<-;! @+00000 >
:< ++@;:;!A=
F <! ,000000 :+ 1;:;20!@
:001-;! C
,<00000 ( ? "% (
:1 ,::1=<!C1
6C :00+-! +000000 (
:, ,::1=;!<
6C :001-!! 2000000 ' $% :2 BA,0=,!=< 6C :001-!E @000000 :=
2@,<@!C1
5 @! 2000000 @0
2<;:=H!70
5 +! ;
21+0000 ( (
@;
2@,<@!+
5 2! ,000000 @:
2:<@,.!70
8C./ :00<-;! :2,+000 '
@@
2:<@,E!C2
8C./ :00+-:! ;:000000 @< 21+1+!C0
. :00<-;! ,000000 @+ 21:+2!C:
.!A :00<-:! ; ==00000 .BB.C 6HC ;200000 ! ;=@@ @1 E0@;<=;<<<0 0&00
;@!BA:0@2 5.
(
@, 2,@@,B!C<
! :00+-<! C
;0000000 ( ! "% @2 BA=@@2!2,
HC. :00<-;E :000000 ( " @= +<@;@!!;
DA :00+-:! 2000000 % "(% <0 @0:@:!C:
A8 :001-;! +000000 <; @0:@:!!1
A8 :001-;! C; @000000 <: ,<=:<G!0
.! :001-CE+ = :000000 ( &
BY RUSSELL GOLD
To advertise: 800-366-3975 or WSJ.com/classifieds
The Mart
ANNOUNCEMENTS
BUSINESS OPPORTUNITIES
() * !"# $ GEORGIA POWER COMPANY
Share Buyback
To Increase
Legal Notices
Nuclear Plant’s Costs Increase
BUSINESS FOR SALE
! " "
# $ %
" "
"
#
"
&' () ""
*
Business for Sale
Southern Co. now expects construction of its Georgia nuclear
plant to cost $25 billion, up from a 2008 estimate of $14 billion.
ence call with analysts that he
wasn’t ready to give up on the
Vogtle plant.
“When you abandon, you
have nothing to show for the
amount of money you have
spent,” he said. “If you go forward, you have a nuclear plant
that will serve us for decades
to come.”
He then added: “But please
understand there has been no
decision made.”
The escalating expenses
have heightened concern that
what was supposed to be a rebirth of the nuclear power industry in the U.S., driven by
Westinghouse reactors, is becoming a costly failure.
In 2008, Southern’s plant
RIO TINTO
ADVERTISEMENT
ADVERTISEMENT
The cost of building the
only nuclear power plant under construction in the U.S.
has ballooned to more than
$25 billion, but chief owner
Southern Co. said it isn’t
ready to throw in the towel on
the project.
The company released the
new cost estimate for Georgia’s Vogtle Electric Generating Plant on Wednesday, adding that it expects completion
of the plant, which has already
seen years of delays and rising
costs, to be delayed by another 18 months until February 2021 at the earliest.
The price would be split between Southern, three regional power companies,
which are partners in the project, and Toshiba Corp., whose
subsidiary,
Westinghouse
Electric Corp., went bankrupt
earlier this year while building
the plant.
The disclosure from Southern comes two days after
Scana Corp. pulled the plug on
a similar nuclear plant in
South Carolina. It also had
years of delays and cost increases that put final completion of that facility above $25
billion as well.
Southern Chairman and
Chief Executive Thomas A.
Fanning said during a confer-
unit that includes DirecTV, is
poised to take the helm at a
media unit that will include Time
Warner should the deal close.
Mr. Lurie, 51 years old, spent
more than two decades at AT&T
and its predecessors. He has run
its mobility and consumer operations since 2014 from Atlanta,
though the company moved his
position to its Dallas headquarters this year, part of a consolidation of nonmedia operations.
Mr. Lurie couldn’t immediately
be reached for comment.
—Ryan Knutson
and Drew FitzGerald
was supposed to cost $14 billion. Scana’s plant was projected at $11.4 billion.
The plants have identical
designs, using a new approach
that is supposed to be simpler
and easier to build. But numerous changes—some for
safety enhancements, others
because construction began
while final plans were still being developed—drove up costs.
Southern said it would
make a recommendation to
Georgia regulators later this
month about whether it would
proceed with the project. Construction at the Georgia facility is 44% complete, compared
with 35% for the South Carolina plant.
Wholesaler servicing Adult Stores,
C-Stores, Lingerie Stores, Tobacco Stores
for 45 years. Owner relocating
from Virginia to Oregon.
Contact: Randy Dyer 703-801-7900
BUSINESS OPPORTUNITIES
THEMART
ADVERTISE TODAY
(800) 366-3975
sales.mart@wsj.com
© 2017 Dow Jones & Company, Inc.
All Rights Reserved.
$+ ,''-'-.../ 0 ' 1234#$
%
2 5
2
" 6
6 7 .89&:.'44
BUSINESS OPPORTUNITIES
Startup with +40 years of Hospitality and
Resort/Spa Management on Board are looking
to raise capital for Beach Front Resorts in the
U.S.A at select locations. Bio’s, Financials and
Design plans available to qualified investors.
- Initial Capital Private Equity: $3M
- 2nd Round: Institutional Capital: $20M
- Final Round: Institutional Capital: >$50M
Nawaf Marjan (Triangle Business Ventures);
nawaf.marjan@gmail.com : T:919-601-6837
Large Dental and
Ortho Practices
Bought and Sold.
844-976-5332
SOLD@LargePracticeSales.com
BUSINESS OPPORTUNITIES
EARN 11%+
INVESTING IN 1st MORTGAGES
Short Term, High Yield, Low LTV.
Secure & Great Monthly Income.
Call 949-346-1217
TRAVEL
Save Up To 60%
First & Business
INTERNATIONAL
Major Airlines, Corporate Travel
Never Fly Coach Again!
www.cooktravel.net
(800) 435-8776
B6 | Thursday, August 3, 2017
THE WALL STREET JOURNAL.
BUSINESS NEWS
Former FBI Director
Signs Deal for Book
Samsung Leader Testifies
Group’s de facto head
claims ignorance of
payments made in
South Korean scandal
BY JEFFREY A. TRACHTENBERG
SEOUL—The de facto head
of the Samsung conglomerate
defended himself in court for
the first time since his February arrest over a political
scandal that has gripped
South Korea and toppled its
president.
Lee Jae-yong, who has been
in custody since the arrest,
stepped into the stand
Wednesday wearing a navyblue suit and responded to
questions from prosecutors,
his attorney and judges for
more than five hours.
The 49-year-old Mr. Lee—
grandson
of
Samsung’s
founder and vice chairman of
Samsung Electronics Co.—
had been on the sidelines during court hearings since the
first one in April, when he responded to basic questions
from the judge confirming his
identity. The other four defendants, former Samsung officials who include the onetime
head of the conglomerate’s
corporate strategy office, have
already testified.
Mr. Lee faces multiple
charges, including bribery.
Along with former President
Park Geun-hye, Mr. Lee is one
of the highest-profile figures in
the corruption scandal. Ms.
Park was removed from office
in March by the country’s Constitutional Court, after her impeachment over accusations
that she colluded with her
friend Choi Soon-sil to extort
money from Samsung and other
South Korean conglomerates.
The prosecutors’ case centers on some $37 million that
Samsung arranged to pay to
entities allegedly controlled by
Ms. Choi. The payments include an $18.6 million equestrian agreement Samsung
made with a small sports consulting company in Germany.
In his testimony, Mr. Lee
JUNG YEON-JE/AGENCE FRANCE-PRESSE/GETTY IMAGES
BY EUN-YOUNG JEONG
Lee Jae-yong arriving at court in Seoul on Wednesday. The executive faces an array of charges.
claimed ignorance of Samsung’s payments and dismissed allegations that he had
sought favors from South Korea’s former president, denying prosecutors’ accusationthat he had ordered his
company to fund entities
linked to Ms. Choi. “About 95%
of my responsibilities are with
Samsung Electronics and its
affiliated companies,” he said,
adding that he wasn’t generally briefed on the conglomerate’s sports-related donations.
Prosecutors say Mr. Lee ordered his company to fund entities linked to Ms. Choi, and
that in exchange Ms. Choi colluded with Ms. Park to have
the country’s pension service
cast a decisive vote in favor of
a 2015 merger of two Samsung
affiliates. That deal was seen
as critical to consolidating Mr.
Lee’s grip on Samsung Electronics, the world’s biggest
smartphone maker.
Samsung has acknowledged
making the payments, but has
denied they were in exchange
for political favors. Ms. Park
and Ms. Choi have both denied
wrongdoing.
Mr. Lee testified that the
merger was decided by the
heads of the two Samsung affiliates and dismissed its link
to his succession.
“To this day, I don’t under-
IPO Scorecard
Clementia Pharmaceuticals
CMTA Aug. 2/$15.00
Redfin
RDFN July 28/$15.00
Sienna Biopharmaceutic
SNNA July 27/$15.00
RBB Bancorp
RBB July 26/$23.00
PetlQ
PETQ July 21/$16.00
Borrowing Benchmarks | WSJ.com/bonds
Money Rates
% Chg From
Wed3s Offer 1st-day
close ($) price close
16.35
31.06
9.0
...
107.1
43.1
19.87
32.5
3.2
23.00
...
–1.5
23.13
44.6
–0.8
Company SYMBOL
IPO date/Offer price
% Chg From
Wed3s Offer 1st-day
close ($) price close
Calyxt
CLXT July 20/$8.00
Kala Pharmaceuticals
KALA July 20/$15.00
TPG RE Finance Trust
TRTX July 20/$20.00
Federal Street Acquisition
FSACU July 19/$10.00
Akcea Thera
AKCA July 14/$8.00
11.22
19.90
40.3
Week
Latest ago
Inflation
June index
level
Chg From (%)
May '17 June '16
7.6
19.89
–0.5
1.6
10.15
1.5
0.5
0.09
0.07
244.955
252.014
All items
Core
1.6
1.7
Week
ago
Latest
0.990 0.980 0.990 0.160
1.070 1.180 1.180 0.250
1.130 1.130 1.130 0.395
4 weeks
13 weeks
26 weeks
Secondary market
52-Week
High
Low
Prime rates
4.25 4.25 4.25 3.50
2.95 2.95 2.95 2.70
1.475 1.475 1.475 1.475
U.S.
Canada
Japan
Fannie Mae
3.459 3.548 3.865 2.808
3.483 3.578 3.899 2.837
30 days
60 days
Other short-term rates
92.9
62.8
Sources: WSJ Market Data Group; FactSet Research Systems
Euro zone
Switzerland
Britain
Australia
Latest
0.00
0.50
0.25
1.50
0.00
0.50
0.25
1.50
0.00
0.50
0.50
1.50
0.00
0.50
0.25
1.50
1.09
1.06
1.38
0.15
1.75
1.75
1.00
1.1800
1.3125
1.1100
1.1500
1.1700
1.2000
1.3125
1.1600
1.1700
1.1900
0.3300
0.5625
0.2000
0.2800
0.3000
Federal funds
1.1700
1.3125
0.9800
1.1600
1.1700
3.00
3.00
1.26
1.26
1.26
Heard on
the Street
Agenda-setting investment insight
Heard on the Street brings you sophisticated analysis on the
economy, business and global market trends that matter most
to investors. Get fresh perspectives, compelling data and
concise commentary, updated throughout the day.
Sign up at WSJ.com/Heard
© 2017 Dow Jones & Co. Inc. All rights reserved. 3DJ5767
81.24
Aflac
AFL
8.76
AberdeenJapanEqu JEQ
AdvDisposalSvcs ADSW 24.46
Albemarle
ALB 119.96
75.12
Allete
ALE
6.49
AllianzGICnvIncmII NCZ
Allstate
94.31
ALL
16.49
AlumofChina ACH
AmericanFin
AFG 105.58
AmHomes4RentPfdF AMHpF 25.98
AmHomes4RentPfdG AMHpG 25.48
20.80
AmerVanguard AVD
Ameriprise
AMP 147.19
64.97
Ametek
AME
77.98
Amphenol
APH
88.69
AtmosEnergy ATO
BancoBradesco BBDO 10.33
87.07
BancodeChile BCH
BcoSantChile BSAC 29.07
BerkHathwy A BRK/A 266950
BerkHathwy B BRK/B 177.92
15.40
BlkRkCapEnIncoFd CII
24.04
BlkRkSci&Tech BST
BrightHorizons BFAM 82.00
CNA Fin
53.47
CNA
23.34
Cabco GS GYB GYB
CementosPacasm CPAC 12.79
48.66
Chemours
CC
ChesapeakeUtil CPK
79.10
19.75
ChinaFund
CHN
149.23
Chubb
CB
69.65
Citigroup
C
27.48
CitigrpCapXIIIPf CpN
CityOfficePfdA CIOpA 25.90
29.15
CohenStrSelPrfInco PSF
ColonyNrthStPfH CLNSpH 26.00
CrownCastlePfdA CCIpA 1078.16
DDR PfdA
DDRpA 27.09
11.81
DelEnhGlDivInc DEX
17.95
DivRealAssetIncmFd DRA
21.53
DoubleLineIncm DSL
Evertec
EVTC 19.52
ExtendedStayAmer STAY 20.50
84.14
FMC
FMC
Ferrari
RACE 111.46
92.78
FidelityNtlInfo FIS
36.96
Fortis
FTS
66.54
Fortive
FTV
18.00
FortressTransport FTAI
GMACCapTrSer2 ALLYpA 26.90
GabelliConv
5.42
GCV
12.90
GabelliGlbSmall&MC GGZ
95.72
GlobalPayments GPN
GreatPlainsEner GXP
31.15
41.90
HalyardHealth HYH
96.29
HanoverIns
THG
Harris
HRS 116.93
HartfordFinSvcsWt HIG/WS 50.53
56.03
HartfordFinl
HIG
Heico A
HEI/A 72.75
82.10
Heico
HEI
Hersha Pfd E HTpE 26.40
Honeywell
HON 138.89
InterXion
INXN 49.83
3.59
IntrepidPotash IPI
12.11
JapanSmlCap JOF
89.90
Kadant
KAI
18.20
Kemet
KEM
56.35
Landauer
LDR
11.53
LatAmDiscv
LDF
74.00
LincolnNational LNC
LockheedMartin LMT 294.84
49.46
Loews
L
36.90
LumberLiqu
LL
8.72
MFA Financial MFA
13.82
MacqFstTrGlbl MFD
44.40
MeritageHomes MTH
Meritor
MTOR 19.00
Mobileye
MBLY 63.49
17.85
ModineMfg
MOD
MohawkIndustries MHK 252.89
Moog B
MOG/B 75.86
35.60
MS India
IIF
NewGermanyFund GF
17.52
NextEraEnergyUn NEEpQ 66.78
NextEraEnergyUn NEEpR 55.91
26.67
NiSource
NI
NorthropGrumman NOC 266.87
NorthwestNatGas NWN 66.00
NuvDow30Dyn DIAX 16.99
10.73
NuvPfdIncomeOpp JPC
13.46
NuvTaxAdvTR JTA
74.19
ONE Gas
OGS
77.20
Oshkosh
OSK
23.10
PIMCODynamicCred PCI
30.99
PIMCO DynIncmFd PDI
40.70
PNM Resources PNM
PVH
PVH 120.99
0.3
0.6
-0.4
1.7
-0.4
0.5
3.5
1.6
2.9
0.7
0.6
4.6
-0.3
4.2
0.6
1.5
0.4
0.2
1.6
0.9
0.9
-0.3
0.5
-1.7
-0.1
0.6
3.4
0.1
0.5
-0.2
0.6
-0.3
0.1
0.2
1.3
1.1
0.5
-0.1
0.5
-0.1
0.1
4.7
-0.3
8.4
2.0
-0.7
0.8
1.7
5.6
...
-1.9
0.2
-0.1
-0.1
4.5
0.5
0.3
...
-0.1
0.5
0.7
1.5
1.2
2.2
17.5
0.3
14.5
-2.2
-0.3
...
-0.4
0.7
-0.1
5.8
1.3
2.6
1.0
6.2
...
3.4
-0.1
0.3
0.5
0.5
...
0.4
1.6
0.8
0.9
0.1
0.3
1.1
-0.5
5.4
0.9
0.7
-0.1
-0.2
-0.373
-0.331
-0.273
-0.153
One month
Three month
Six month
One year
Latest
1.055
1.054
Treasury
MBS
0.59
52-Wk %
Sym Hi/Lo Chg Stock
PharMerica
PMC
PPlus GSC-2
PYT
Progressive
PGR
PrudentialFin PRU
PulteGroup
PHM
ReinsuranceGrp RGA
RoyalDutchA RDS/A
SK Telecom
SKM
ServiceMaster SERV
Spire
SR
SpiritAeroSys SPR
Systemax
SYX
Ternium
TX
TIM Part
TSU
TaiwanFund
TWN
TeekayOffshorePf TOOpA
TeekayOffshrPfB TOOpB
TelecomItalia A TI/A
TelecomItalia TI
TeledyneTech TDY
Terex
TEX
TerrenoRealty TRNO
TexasPacLand TPL
Tidewater
TDW
Travelers
TRV
UMHPropPfdC UMHpC
UltraparPart
UGP
UnitedHealth UNH
Visa
V
Vedanta
VEDL
Visteon
VC
WGLHoldings WGL
Wal-Mart
WMT
WarriorMetCoal HCC
WestlakeChem WLK
WolverineWwide WWW
Xylem
XYL
YumBrands
YUM
28.95
21.79
47.52
115.26
25.26
141.54
57.53
28.13
45.00
74.85
72.89
24.92
32.14
17.54
21.06
22.35
24.22
8.31
10.45
138.95
40.24
35.59
377.75
29.14
129.91
25.70
24.79
193.45
101.28
17.86
112.17
86.89
81.11
22.58
71.55
28.64
60.71
76.62
15.6
2.8
-0.1
0.7
1.2
0.2
1.0
0.9
0.5
1.7
17.6
22.9
-0.8
1.9
0.9
2.3
2.3
1.2
1.0
1.3
-3.3
0.5
5.2
8.4
-0.4
0.9
-4.7
0.4
0.4
0.5
-1.7
-0.5
...
1.4
1.3
-1.8
1.0
1.4
NYSE lows - 53
AMC Ent
AMC
AegeanMarine ANW
Barnes&NobleEduc BNED
Bemis
BMS
BlueApron
APRN
CGG
CGG
CapitalSrLiving CSU
DineEquity
DIN
DriveShack
DS
EP Energy
EPE
EldoradoGold EGO
EmergeEnergy EMES
FlotekIndustries FTK
ForumEnergyTech FET
Glatfelter
GLT
Greenhill
GHL
Helmerich&Payne HP
Hi-Crush
HCLP
Imax
IMAX
JupaiHoldings JP
KimbellRoyalty KRP
LejuHoldings
LEJU
MSC Industrial MSM
Macerich
MAC
Manning&Napier MN
Mednax
MD
MuleSoft
MULE
NOW
DNOW
NavigantConsult NCI
OilStatesIntl
OIS
Owens&Minor OMI
PioneerNatRscs PXD
QuadGraphics QUAD
RR Donnelley RRD
RangeResources RRC
Regal
RGC
Revlon
REV
RubiconProject RUBI
SEACOR Marine SMHI
SanchezEnergy SN
SeadrillPartners SDLP
Shutterstock SSTK
Snap
SNAP
SouthwesternEner SWN
SouthwestEnerPfB SWNC
StewartInfo
STC
TaubmanCtrs TCO
Team
TISI
UnderArmour C UA
UnderArmour A UAA
Veritiv
VRTV
WalterInvMgmt WAC
Zymeworks
ZYME
15.15 -26.9
4.50 -1.0
7.07 -1.7
42.12 0.6
6.05 -2.7
4.06 -0.7
12.50 -1.7
40.09 -2.2
2.80 -7.4
3.17 -2.7
1.98 -4.3
5.92 -6.1
4.91 -34.0
12.50 1.5
16.93 -4.7
17.75 -2.2
48.19 -0.3
7.70 1.2
19.33 -7.9
7.36 ...
15.17 -1.9
1.28 -9.2
69.33 -0.7
54.98 -4.1
3.80 3.8
44.70 -1.6
19.52 -10.1
13.30 -15.1
15.90 -0.5
23.36 1.7
30.27 -5.6
137.30 -10.8
19.44 -11.9
10.05 -16.7
17.68 -11.8
17.99 -4.7
18.10 -4.2
4.11 -11.8
13.78 6.6
4.82 -4.9
2.61 5.1
33.44 -15.4
12.52 -3.4
5.36 -5.1
13.02 -4.7
38.29 0.7
55.00 -2.5
13.35 -4.8
16.02 1.5
17.92 1.4
29.55 -18.4
0.48 -38.9
6.25 -0.6
NYSE Arca highs - 105
BarcETNFIEnhEur50 FEEU
CSOPChinaCSI300AH HAHA
CambriaGlbValue GVAL
ClearSharesOCIO OCIO
ColumbiaIndiaCnsmr INCO
-0.369
-0.314
-0.192
-0.064
-0.405
-0.378
-0.308
-0.190
-0.372
-0.330
-0.272
-0.153
Value
Traded
-0.366
-0.297
-0.183
-0.045
-0.375
-0.332
-0.274
-0.163
52-Week
High
Low
32.700 1.366 0.244
83.400 1.506 0.257
Open Implied
Settle Change Interest Rate
DTCC GCF Repo Index Futures
Treasury Aug
Treasury Sep
Treasury Oct
Stock
Wednesday, August 2, 2017
52-Wk %
Sym Hi/Lo Chg Stock
-0.399
-0.378
-0.300
-0.187
98.905 0.005 3515 1.095
98.885 0.015 2084 1.115
98.825 0.005 1721 1.175
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; Discount rate is effective June 15, 2017. DTCC GCF Repo Index is Depository
Trust & Clearing Corp.'s weighted average for overnight trades in applicable CUSIPs. Value traded is in
billions of U.S. dollars. Federal-funds rates are Tullett Prebon rates as of 5:30 p.m. ET. Futures on the
DTCC GCF Repo Index are traded on NYSE Liffe US.
Sources: Federal Reserve; Bureau of Labor Statistics; DTCC; SIX Financial Information;
General Electric Capital Corp.; Tullett Prebon Information, Ltd.
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.
NYSE highs - 136
2.25
1.23056 1.23333 1.23389 0.49690
1.31278 1.31389 1.31667 0.77760
New Highs and Lows | WSJ.com/newhighs
Stock
-0.400
-0.377
-0.299
-0.188
One month
Three month
Six month
One year
DTCC GCF Repo Index
3.00
One month
Three month
Discount
Effective rate
High
Low
Bid
Offer
Euro Libor
52-Week
high
low
Libor
U.S. government rates
1.75
Week
ago
Call money
90 days
—52-WEEK—
High Low
1.45167 1.45722 1.46544 1.14420
1.72567 1.73622 1.82761 1.45460
Six month
One year
Commercial paper (AA financial)
Overnight repurchase
U.S.
Week
Latest ago
Euro interbank offered rate (Euribor)
30-year mortgage yields
Policy Rates
15.43
—52-WEEK—
High Low
Treasury bill auction
International rates
–0.3
32.7
August 2, 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.
U.S. consumer price index
Performance of IPOs, most-recent listed first
Company SYMBOL
IPO date/Offer price
stand how the merger
strengthens my link to Samsung Electronics,” he said.
Wednesday’s court hearing
also zeroed in on Mr. Lee’s
three private meetings with
the former president between
2014 and 2016, in which prosecutors allege Mr. Lee asked for
government favors.
Former FBI Director James
Comey’s coming book looked
like it might set off one of the
hottest auctions of the year
for publishing companies.
Mr. Comey, after all,
emerged as a controversial
figure in the 2016 presidential
election, and his dismissal by
President Donald Trump in
May—at a time when he was
overseeing an investigation
into potential Russian ties
with the Trump campaign—
made for a captivating Washington drama.
But publishing executives
who were involved in the recent auction for Mr. Comey’s
book estimate that it sold in
the range of $2.5 million—not
an insignificant sum, but a
ways off from the speculation
that the book could attract an
eight-figure advance.
The winner was Flatiron
Books, a division of Macmillan.
“I was so impressed by what a
great storyteller he is and by
what a sincere truth seeker he
is,” said Bob Miller, Flatiron’s
president, who declined to discuss the price. “We were enormously impressed by him and
very optimistic about the potential of the book.”
One reason for the subdued auction, however, is that
Mr. Comey’s book was positioned as a leadership title
with some memoir-like aspects, say those familiar with
the book’s proposal.
The skeptics worried that
Mr. Comey won’t dwell on the
juiciest material, such as more
details on run-ins with Mr.
Trump or others in the administration. An inside-the-room
memoir would likely have
brought a bigger payday, suggested publishing executives.
Mr. Miller said Mr. Comey
is taking the book “very seriously. He’s writing for posterity, not just for the moment.”
“The stories he tells will reflect on his various experiences of leadership,” said Mr.
Miller. “His experiences shed
light on how various people he
has dealt with lead and have
behaved as leaders.”
In a release about the book,
Flatiron described it as exploring “what good, ethical leadership looks like and how it
drives sound decisions.”
The book is expected to be
published in 2018.
123.61
31.01
25.00
25.54
44.26
-0.1
1.9
0.4
...
0.3
52-Wk %
Sym Hi/Lo Chg
ColumbiaIndiaInfr INXX
CurrShEuro
FXE
DeutscheXFTSEEmCmp DEMG
DeutscheXMSCIEMHdg DBEM
DirexAeroBl3 DFEN
DirexFinlBull3 FAS
DirexIndiaBull3 INDL
E-TRACS IndMtl UBM
EcoLogicalStrat HECO
ETFS PlldmShr PALL
FinSelSectorSPDR XLF
FT DJ GlbSelDiv FGD
FT FinlsAlpDx FXO
FT PfdSecs
FPE
FlexShIntQualDiv IQDE
FlexShIntQuDivDyn IQDY
FlexShEM FactTilt TLTE
FlexShQualityDiv QDF
GlbX ChinaEner CHIE
GlbX ChinaFinls CHIX
GlbX ChinaMatls CHIM
GlbX FTSEAndean40 AND
GlbXLithium&Batt LIT
GlbX MSCINorway NORW
GlbXMSCIPortugal PGAL
GlbXSciBetaEurope SCID
GuggIntlMltAst HGI
GuggMSCIEMEq EWEM
GuggMC Core CZA
GuggS&PGlblWtr CGW
HartfordMultiDvxUS RODM
iPath MSCI India INP
iShModAllocation AOM
iShCurrHdgIntlHY HHYX
iShCurrHdgNikk400 HJPX
iShUS Finls
IYF
iShU.S.Insurance IAK
iShEdgeMSCIMlIntSC ISCF
iShEmgMktDividend DVYE
iShGlobal100 IOO
iShJPM EM LC Bd LEMB
iShLatinAmerica40 ILF
iShMSCIEmgMktSC EEMS
iShMSCIHongKong EWH
iShMSCIItalyCapped EWI
iShMSCINetherlands EWN
JPM DivRetEM JPEM
JPMDivReturnEurope JPEU
KraneEFdChina KCNY
OShFTSEAsiaPacQlty OASI
OppenheimFclsSect RWW
OppGlbESGRevenue ESGF
PwrShAerospace PPA
PwrShDB USDBear UDN
PwrShFTSERAFIDevMk PDN
PwrShFTSE EM PXH
PwrShPrivateEqty PSP
PwrShIndia
PIN
PwrShS&PEMLowVol EELV
PwrShS&P500xRate XRLV
PwrShS&P500Mom SPMO
ProShDJBrkGlIn TOLZ
ProShrUltraDow30 DDM
ProShUlt Euro ULE
ProShrUltraFnl UYG
ProShUltDow30 UDOW
SPDRBloomBarEMLoBd EBND
SPDRBloomBarInCpBd IBND
SPDREUROSTOXXSC SMEZ
SPDRMSCIACWIIMI ACIM
SPDREAFEFossilFr EFAX
SPDREMFossilFuelFr EEMX
SPDRMSCIJapanStrat QJPN
SPDRS&PGlbDividend WDIV
SPDRS&PGlbInfr GII
SPDRS&PInsurance KIE
SPDRSSgAGlbAll GAL
SchwabEM Equity SCHE
SchwabFundEmgLrg FNDE
SchwabFundUSLrgCo FNDX
SPDR DJIA Tr DIA
SpdrSPIntDiv DWX
SPDR SP EmAsPac GMF
SPDR SP EmMkt GMM
SprottPhysPlatinum SPPP
VanEckOilRefin CRAK
VanEckPoland PLND
VanEckRareEarth REMX
VangdFTSE EM VWO
WisdTrAPxJp AXJL
WisdTrEuropeSC DFE
WisdTrGlbxUSQual DNL
WisdTrGlbHiDiv DEW
WisdTrIndiaEarn EPI
WisdTrIntlMC Div DIM
WisdTrIntlSC DLS
WisdTrJpnHdgQuDiv JHDG
WisdTrUSEarn500 EPS
WisdTrUSLCDivFd DLN
YieldShHiIncome YYY
14.49
115.13
28.67
22.95
31.58
53.48
94.12
15.99
41.66
86.65
25.33
25.81
29.66
20.22
25.17
27.56
56.21
41.80
11.26
17.06
19.04
9.31
31.90
12.90
11.97
27.65
16.98
33.45
61.81
33.65
28.08
83.91
37.64
27.53
27.35
110.35
65.22
29.67
41.89
86.61
48.04
33.47
48.71
24.61
30.05
30.91
55.48
59.05
34.48
29.08
63.05
29.55
48.25
22.46
32.50
21.26
12.96
24.94
24.88
31.16
30.76
44.00
104.24
17.50
109.20
66.21
29.72
34.94
60.09
73.65
71.03
66.27
74.03
68.25
52.52
92.14
36.46
26.47
28.25
34.51
220.13
40.68
97.58
70.95
8.48
25.16
19.83
22.05
43.30
68.40
68.10
55.37
46.52
26.73
66.29
72.50
26.43
85.58
85.48
19.94
0.7
0.5
0.8
0.2
2.2
...
0.2
-7.5
1.4
0.2
0.2
...
-0.4
...
0.2
-0.1
0.4
-0.4
0.7
0.1
0.6
0.6
2.7
0.4
0.3
0.5
0.4
0.3
-0.1
0.3
0.6
0.3
-0.2
0.9
0.2
-0.1
0.5
0.6
...
0.4
-0.1
0.6
0.4
0.1
0.4
0.1
0.3
0.2
0.2
0.8
0.3
0.3
0.4
0.2
...
0.4
0.5
0.2
0.2
...
1.4
0.2
0.5
0.7
-0.2
0.7
0.2
0.4
0.3
-0.1
-0.2
0.2
1.0
0.3
0.2
-0.1
...
0.3
0.3
0.1
0.2
0.2
-0.1
...
0.2
0.4
0.5
1.4
0.2
-0.1
0.6
0.3
-0.3
0.1
0.1
0.2
0.3
...
0.1
...
52-Wk %
Sym Hi/Lo Chg Stock
Orbotech
52-Wk %
Sym Hi/Lo Chg
ORBK
ORRF
NYSE Arca lows - 17 OrrstownFinSvcs
PacificSpecialRt PAACR
PathS&P500VIXMT VXZ
DirexFinlBear3 FAZ
DirexTechBear1 TECZ
IQS&PHYLowVolBd HYLV
PwrShDB USDBull UUP
ProShShtDow30 DOG
ProShShortEuro EUFX
ProShShtFinls SEF
ProShShMSCI EAFE EFZ
ProShUltShtDow30 SDOW
ProShUltShDow30 DXD
ProShUltShEuro EUO
ProShrUSFnl
SKF
ProShrUltraBrazil BZQ
ProShrUS MSCI Jpn EWV
ProShsVIXMTFut VIXM
WisdTreeMngdFutStr WDTI
20.50
15.52
18.40
22.89
23.98
16.88
40.06
12.63
26.77
28.39
11.14
21.29
25.01
10.88
31.78
24.84
38.54
0.6
0.1
-0.8
...
-0.1
-0.2
-0.6
0.1
0.1
-0.6
-0.5
-0.9
0.3
-2.4
-1.4
0.7
-0.3
PhibroAnimal PAHC
PwrShDWA DevMkt PIZ
PwrShIntlDivAch PID
PwrShKBWProp&Cas KBWP
ROBOGlblRobotics ROBO
Redfin
RDFN
Rent-A-Center RCII
RoyalGold
RGLD
Ryanair
RYAAY
SandersonFarms SAFM
SparkTherap
ONCE
Trupanion
TRUP
UnityBancorp UNTY
VangdIntlHiDiv VYMI
VicShIntlHiDivVol CID
VicShIntlVolWtd CIL
WisdTrEMConGrwth EMCG
WisdTrEMQualDivGrw DGRE
37.84
26.55
0.62
39.30
26.49
15.95
60.46
36.67
31.19
13.78
87.90
116.15
133.02
80.89
25.00
18.85
65.21
35.95
38.72
24.68
25.39
4.7
-3.8
-6.2
0.8
0.1
0.4
0.5
...
17.3
0.1
-0.6
0.9
0.2
19.7
2.4
0.5
0.2
0.2
0.8
...
0.6
NYSE American highs - 7 Nasdaq lows - 89
CloughGlblDiv GLV
CloughGlbEqFd GLQ
CloughGlblOpp GLO
EtnVncLtdFd EVV
GasNatural
EGAS
HennessyCapIIIWt HCAC/WS
MastechDigital MHH
14.03
13.51
11.35
14.27
13.15
0.75
10.37
0.1
...
0.4
0.1
0.4
6.0
-9.6
NYSE American lows - 7
AsankoGold
Biotime
FranklinStProp
InspireMD
OrchidsPaper
RELM Wireless
Zedge
AKG
BTX
FSP
NSPR
TIS
RWC
ZDGE
1.03 -12.4
2.50 -3.0
10.12 -3.1
0.41 9.4
10.38 -4.9
3.45 ...
1.93 -4.4
Nasdaq highs - 91
AirTransportSvcs ATSG
Alarm.com
ALRM
Amdocs
DOX
Amerco
UHAL
Apple
AAPL
AtlasAir
AAWW
AveXis
AVXS
BankFinancial BFIN
BayBancorp
BYBK
BioLifeSols
BLFS
CalamsGlblDynInc CHW
CalamosGlblTot CGO
CalamosStratTot CSQ
CapitalaFinNts22 CPTAL
Carlyle
CG
CavcoIndustries CVCO
CenturyBancorpA CNBKA
ChemoCentryx CCXI
ColumbusMcKinn CMCO
CorceptTherap CORT
DBVTechnologies DBVT
EnantaPharma ENTA
Enzymotec
ENZY
ePlus
PLUS
Equinix
EQIX
ErieIndemnity A ERIE
EuronetWorldwide EEFT
51job
JOBS
FirstInternetBncp INBK
FT ChinaAlphaDEX FCA
FT DorseyIntl5 IFV
FT EM EquitySel RNEM
FT EM SC Alpha FEMS
FTEurozoneAlpha FEUZ
FT GerAlpha
FGM
FT Intl IPO
FPXI
FTRisingDivAch RDVY
FT RiverFrDynEur RFEU
GlbXInternetThings SNSR
GlbXMSCISuperDiv EFAS
GlbX Robotics&AI BOTZ
GluMobile
GLUU
GrandCanyonEduc LOPE
HelenofTroy
HELE
IPG Photonics IPGP
Illumina
ILMN
InteractiveBrkrs IBKR
IntlMultiAssetDiv YDIV
IntersectENT XENT
iShAsia50ETF AIA
iShEurDevRealEst IFEU
iShMSCIACWIETF ACWI
iShMSCIEAFESC SCZ
iShMSCIEMxChina EMXC
iShMSCIEuropeSmCp IEUS
iSh13YearIntlTBd ISHG
iShGlobalInfra IGF
LGI Homes
LGIH
Lantheus
LNTH
LeggMasonDev DDBI
LeggMasonEMDivCore EDBI
LendingTree
TREE
Littelfuse
LFUS
LoralSpace
LORL
MitelNetworks MITL
Momo
MOMO
NXP Semi
NXPI
NatlResearch A NRCIA
NewStarFinancial NEWS
Omnicell
OMCL
25.49 4.4
39.22 -3.6
67.92 -0.6
398.94 -0.5
159.75 4.7
67.75 11.7
94.62 4.2
15.89 3.5
8.35 -3.1
3.78 6.6
8.96 0.3
13.80 ...
12.08 -0.3
26.15 0.2
21.95 5.6
137.70 2.4
68.69 0.9
10.80 7.0
32.22 1.1
14.34 8.8
45.83 2.8
40.41 3.1
9.90 4.3
83.88 0.1
457.46 0.5
129.73 -1.1
97.33 0.2
50.80 -1.0
33.15 -2.1
26.29 -0.3
20.94 ...
52.97 0.3
39.66 0.4
41.09 -0.1
45.83 0.6
33.86 0.4
27.77 -0.1
63.79 0.4
18.73 0.9
18.44 0.2
20.08 0.6
3.02 5.5
85.94 9.3
101.20 -0.5
168.93 -2.5
198.47 14.8
40.46 -0.1
18.75 0.3
31.80 9.3
60.93 ...
39.01 0.8
67.79 0.1
60.18 0.1
51.01 0.8
54.72 0.7
84.73 0.2
45.66 0.2
45.68 1.0
20.45 -16.9
28.93 0.4
31.48 0.1
229.50 1.8
188.60 2.0
47.48 -0.3
8.94 2.0
46.33 -2.5
111.22 -0.2
32.60 -0.2
11.49 -0.3
51.00 0.4
ADOMANI
ADOM
ATN Intl
ATNI
AcaciaResearch ACTG
AkariTherap
AKTX
AkersBiosciences AKER
Altimmune
ALT
AmerSoftware AMSWA
AntheraPharm ANTH
ArgosTherap
ARGS
Astronics
ATRO
Baldwin&Lyons A BWINA
Big5SportingGoods BGFV
BravoBrioRestr BBRG
BrighthouseFin BHFWV
BurconNutraScience BUR
CUI Global
CUI
Cheesecake
CAKE
ChinaBiologic CBPO
ChinaCache
CCIH
CoherusBioSci CHRS
CyberArkSoftware CYBR
CyberOptics
CYBE
CyclacelPharm CYCC
CytoriTherap CYTX
DestMaternity DEST
DianaContainer DCIX
DiffusionPharm DFFN
DigilitiMoney DGLT
Egalet
EGLT
EnergyFocus
EFOI
ExtractionOil XOG
EyegatePharm EYEG
FivePrimeTherap FPRX
Fluidigm
FLDM
ForesightAuto FRSX
FormulaSys
FORTY
G1Therapeutics GTHX
GSV Capital
GSVC
Gridsum
GSUM
GulfportEnergy GPOR
ITUS
ITUS
ImmunePharma IMNP
Immuron
IMRN
Intellipharm
IPCI
JAKKS Pacific JAKK
JasonIndustries JASN
JounceTherap JNCE
KBS Fashion
KBSF
LSI Inds
LYTS
LeadingBrands LBIX
LeggMasonSCQualVal SQLV
Macrogenics
MGNX
MagneGas
MNGA
MidConEnergy MCEP
MYndAnalytics MYND
NabrivaTherap NBRV
NatlCineMedia NCMI
Neuralstem
CUR
NextDecade
NEXT
ObalonTherap OBLN
OncoMedPharm OMED
OrganovoHoldings ONVO
OvidTherap
OVID
PacificEthanol PEIX
PAVmed
PAVM
PhaseRx
PZRX
PrimaBiomed PBMD
pSivida
PSDV
Radisys
RSYS
RosehillRscs
ROSE
S&W Seed
SANW
SenecaFoods B SENEB
Senomyx
SNMX
SensusHealthWt SRTSW
ShiftPixy
PIXY
Shineco
TYHT
ShotSpotter
SSTI
SophirisBio
SPHS
StrataSkinSci SSKN
SunesisPharm SNSS
TSR
TSRI
Tecnoglass
TGLS
TerraVia
TVIA
21 Vianet
VNET
Uni-Pixel
UNXL
UnitedBkshrsWV UBSI
VS2xVIXMedTerm TVIZ
VikingTherap VKTX
VoyagerTherap VYGR
6.50 -18.7
57.78 -1.2
3.25 -4.4
4.09 -3.8
0.85 -12.6
2.23 -4.3
9.55 -2.2
1.20 -3.1
0.23 -8.1
23.95 -12.6
22.65 -1.5
9.05 -7.8
3.15 -3.1
64.83 -2.1
0.74 -3.4
3.10 -2.4
45.95 -0.9
95.54 -1.6
0.79 -1.2
12.30 0.4
40.05 -4.5
15.20 -2.9
1.56 3.7
0.36 -9.6
1.40 -14.1
0.41 -16.3
1.56 -6.7
1.88 -6.3
1.16 -4.9
1.89 -4.0
11.63 -0.4
1.10 -1.6
26.27 -0.2
2.85 -5.2
6.93 -5.3
35.73 -4.7
12.13 -3.8
3.83 -0.5
6.85 -2.9
11.98 -5.5
0.70 0.3
1.98 -7.3
4.99 -8.8
1.15 2.0
3.05 -1.6
1.08 1.7
12.10 -3.1
2.10 -6.9
7.56 -7.3
1.26 0.8
24.70 -1.4
15.18 -2.9
0.50 -5.5
1.15 -8.0
3.47 -2.6
9.20 1.9
5.86 -17.8
1.35 -1.4
9.29 -2.1
8.05 -1.1
2.91 1.3
2.10 -1.4
7.81 -3.2
5.50 -0.9
2.98 -13.6
0.54 -13.9
1.40 -2.7
1.10 -1.7
1.64 -32.0
7.10 -3.6
3.25 -1.4
29.35 0.3
0.75 -2.7
0.41 -26.7
4.22 -9.1
1.83 ...
9.33 -5.6
1.81 ...
1.68 -7.6
2.41 -2.0
4.15 -1.2
8.89 -1.0
0.04 -70.6
4.18 -5.0
0.35 -4.5
34.15 0.9
12.69 1.5
0.88 -9.7
8.14 1.7
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | B7
MARKETS DIGEST
EQUITIES
S&P 500 Index
Dow Jones Industrial Average
Last Year ago
22016.24 s 52.32, or 0.24%
High, low, open and close for each
trading day of the past three months.
Trailing P/E ratio 19.94 19.96
P/E estimate *
18.42 17.87
Dividend yield
2.27
2.52
All-time high 22016.24, 08/02/17
Nasdaq Composite Index
Last
2477.57 s 1.22, or 0.05%
High, low, open and close for each
trading day of the past three months.
Year ago
Trailing P/E ratio 23.94 25.03
P/E estimate *
18.94 18.42
Dividend yield
1.97
2.11
All-time high: 2477.83, 07/26/17
Last Year ago
6362.65 t 0.29, or 0.005%
High, low, open and close for each
trading day of the past three months.
Trailing P/E ratio * 25.75
24.20
P/E estimate *
21.45
19.92
Dividend yield
1.10
1.24
All-time high: 6422.75, 07/26/17
Current divisor 0.14602128057775
22100
2480
6380
21750
2450
6260
21400
2420
6140
21050
2390
6020
20700
2360
5900
Session high
t
DOWN
Session open
t
Close
UP
Close
Open
Session low
65-day moving average
65-day moving average
65-day moving average
5780
2330
20350
Bars measure the point change from session's open
May
June
Apr.
July
5660
2300
20000
Apr.
May
June
May
Apr.
July
June
July
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
YTD
% chg
3-yr. ann.
Dow Jones
Industrial Average
Transportation Avg
52.32
0.24
19.9
11.4
9177.27
9111.45
9174.99
29.24
0.32
9742.76
7711.36
19.0
1.4
4.2
732.13
722.95
731.93
3.08
0.42
737.51
625.44
4.2
11.0
10.6
25692.25 21514.15
661.93
521.59
14.6
19.7
10.0
8.0
8.4
8.0
22036.10 21967.46 22016.24
Utility Average
Total Stock Market
Barron's 400
25662.92 25495.89 25609.97 -23.06
655.84
647.33
649.65 -6.22
Nasdaq Stock Market
Nasdaq Composite
6394.21
Nasdaq 100
5936.15
6313.43
5859.62
6362.65
5914.23
Standard & Poor's
500 Index
2480.38
2466.48
2477.57
MidCap 400
SmallCap 600
1764.09
865.83
1745.95
851.96
Other Indexes
Russell 2000
1428.03
1408.52
-0.09
-0.95
-0.29
19.06
-0.005
0.32
0.05
1.22
6422.75
5950.73
5046.37
4660.46
23.3
24.9
10.1
18.2
21.6
13.5
15.1
2477.83
2085.18
14.5
10.7
8.8
1752.51 -12.11 -0.69
854.34 -11.72 -1.35
1791.93
876.06
1476.68
703.64
13.3
16.0
5.5
2.0
8.6
9.9
1412.90 -15.43 -1.08
1450.39
1156.89
16.5
4.1
8.2
12000.02 10289.35
Trading Diary
Most-active and biggest movers among NYSE, NYSE Arca, NYSE Amer.
and Nasdaq issues from 4 p.m. to 6:30 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
528.65
523.03
524.73
-3.92
NYSE Arca Biotech
3934.07
3866.22
3920.43
25.16
NYSE Arca Pharma
531.45
528.14
529.33
-1.49
KBW Bank
96.93
96.27
0.09
PHLX§ Gold/Silver
96.90
85.37
84.39
PHLX§ Oil Service
84.40
134.63
130.82
133.75
0.52
1099.95
10.81
1076.36
9.80
1083.96
10.28
-7.18
0.19
PHLX§ Semiconductor
CBOE Volatility
-0.17
11981.41 11938.90 11979.38 -20.64
Value Line
-0.74
0.65
-0.28
0.10
-1.10 -1.28
0.39
-0.66
Company
Volume
(000)
Symbol
SPDR S&P 500
Net chg
6,604.5 247.30
SPY
After Hours
% chg
High
-0.14
Region/Country Index
Close
Cnsmr Staples Sel Sector XLP
4,802.6
55.22
…
unch.
55.24
VanEck Vectors Gold Miner GDX
4,631.1
22.77
…
unch.
22.87
22.72
4,093.2
53.16
-0.01
-0.02
53.36
53.00
Industrial Select Sector XLI
3,923.6
68.41
…
unch.
68.45
68.30
Tesla
2,765.8 353.22
27.33
QCOM
Qualcomm
TSLA
Starwood Property Trust STWD 2,157.6
SQ
Square Cl A
2,038.2
55.22
8.39 356.70 313.88
21.91
…
unch.
22.05
21.91
26.35
-0.11
-0.42
28.27
26.16
Percentage gainers…
20.9
10.50
2.02
23.82
10.60
8.48
SolarEdge Technologies SEDG
56.5
27.20
4.35
19.04
27.50
22.67
Central Garden Pet A
CENTA
12.0
36.00
5.52
18.11
36.00
30.34
Stamps.com
STMP
99.9 171.65
20.35
Take-Two Interactive
TTWO
680.2
88.75
9.36
11.79
91.50
79.39
14.72
ESIO
12.0
8.3
3.9
455.65
10.0
3.7
2.9
4075.95
2834.14
12.7
27.5
12.6
549.20
463.78
-3.3
9.9
1.3
...And losers
99.33
67.84
42.7
5.6
11.9
TTM Technologies
TTMI
367.7
14.73
-2.48
-14.41
17.25
112.83
73.03
-24.6
7.0
-5.3
Aerohive Networks
HIVE
7.8
3.99
-0.62
-13.45
4.61
3.99
192.66
126.75
-15.6
-27.2 -22.5
Century Aluminum
CENX
140.2
14.65
-2.09
-12.49
16.80
14.50
756.53 43.3
9.36 -20.1
19.6 21.1
-26.8 -15.5
Sturm Ruger
RGR
12.3
51.00
-6.70
-11.61
57.70
47.95
Trinseo S.A.
TSE
6.7
63.90
-7.95
-11.06
71.85
62.00
Percentage Gainers...
Net chg
Latest
% chg
YTD
% chg
2864.83
370.75
250.90
–0.97
–0.07
–0.02
–0.03
–0.02
–0.01
13.2
13.7
17.3
Americas
Brazil
Canada
Mexico
Chile
DJ Americas
596.13
Sao Paulo Bovespa 67135.99
S&P/TSX Comp
15265.63
S&P/BMV IPC
51200.13
Santiago IPSA
3872.64
–0.24
619.75
63.53
5.12
15.03
–0.04
10.3
11.5
–0.1
12.2
20.2
EMEA
Euro zone
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
378.63
375.33
3938.16
5107.25
12181.48
1439.23
21573.61
525.30
1021.42
10513.90
564.94
9122.68
7411.43
–1.63
–1.69
–22.20
–19.78
–69.81
–7.91
–39.20
–2.18
7.18
–72.80
–0.82
67.68
–12.23
–0.43
–0.45
–0.56
–0.39
–0.57
–0.55
–0.18
–0.41
Asia-Pacific
Australia
China
Hong Kong
India
Japan
Singapore
South Korea
Taiwan
S&P/ASX 200
5744.20
Shanghai Composite 3285.06
Hang Seng
27607.38
S&P BSE Sensex
32476.74
Nikkei Stock Avg
20080.04
Straits Times
3348.80
Kospi
2427.63
Weighted
10519.27
The Global Dow
DJ Global Index
DJ Global ex U.S.
13.45 174.75 149.90
0.93
0.42
0.01
0.39
–0.16
4.8
7.2
9.2
5.0
6.1
–2.1
12.2
8.7
–11.4
12.4
5.7
11.0
3.8
–28.20 –0.49
–7.58 –0.23
67.15
–98.43 –0.30
94.25
10.60
4.67
81.98
1.4
5.8
25.5
22.0
5.1
16.2
19.8
13.7
0.71
–0.69
–0.15
0.75
0.24
0.47
0.32
0.19
0.79
Company
Symbol
Systemax
Westmoreland Resource
Spark Therapeutics
Spirit AeroSystems Cl A
Intrepid Potash
SYX
Redfin
Boot Barn Holdings
PharMerica
Manitowoc
Illumina
RDFN
Kadant Inc
Quotient Technology
Live Ventures
QuinStreet
Atlas Air Worldwide Hldgs
KAI
High
52-Week
Low
% chg
U.S. consumer rates
Selected rates
A consumer rate against its
benchmark over the past year
Home Equity
6.00%
Home equity loan
t
4.50
t
1.50
0.00
A S ON D J FMAM J JA
2016
2017
3.75%
978-745-5555
National Bank of Arizona
Salt Lake City, UT
3.86%
800-655-7622
First Northern Bank and Trust
3.95%
Palmerton, PA
800-242-4671
BB&T
Ashland, KY
3.99%
800-226-5228
14.45
13.36
12.97
12.35
11.71
89.90 49.20
14.36 9.10
32.98 9.11
4.63 2.61
67.75 34.22
63.8
-0.3
21.5
6.4
74.6
National CineMedia
Novan
Lantheus Holdings
R.R. Donnelley Sons
Yield10 Bioscience
NCMI
Company
Symbol
Apple
Advanced Micro Devices
TerraVia Holdings
Delcath Systems
iPath S&P 500 VIX ST Fut
AAPL
Bank of America
Chesapeake Energy
Finl Select Sector SPDR
SPDR S&P 500
PwrShrs QQQ Tr Series 1
BAC
Volume % chg from Latest Session
(000) 65-day avg Close % chg
69,089
66,915
66,827
64,316
60,204
AMD
TVIA
DCTH
VXX
XLF
SPY
QQQ
52-Week
High
Low
Federal-funds rate target
1.00-1.25 1.00-1.25
Prime rate*
4.25
4.25
Libor, 3-month
1.31
1.31
Money market, annual yield
0.32
0.29
Five-year CD, annual yield
1.44
1.45
30-year mortgage, fixed†
3.96
3.94
15-year mortgage, fixed†
3.15
3.14
Jumbo mortgages, $424,100-plus† 4.33
4.33
Five-year adj mortgage (ARM)† 3.32
3.32
New-car loan, 48-month
3.03
2.95
HELOC, $30,000
5.19
5.15
3-yr chg
52-Week Range (%)
Low 0 2 4 6 8 High (pct pts)
0.25 l
l
3.50
0.78 l
0.23 l
1.17 l
l
3.44
l
2.70
l
4.02
l
3.07
l
2.87
l
4.57
1.25
4.25
1.32
0.36
1.45
4.33
3.50
4.88
4.03
3.36
5.22
1.00
1.00
1.07
-0.11
0.06
-0.35
-0.27
-0.57
-0.33
-0.20
0.63
Bankrate.com rates based on survey of over 4,800 online banks. *Base rate posted by 70% of the nation's largest
banks.† Excludes closing costs.
Sources: SIX Financial Information; WSJ Market Data Group; Bankrate.com
YTEN
5%
–5
1.50
–10
0.75
–15
0.00
–20
30
Symbol
SCHP
PFM
EGAS
FTK
UIS
IEUR
DBP
AIQ
Volume % chg from Latest Session
(000) 65-day avg Close % chg
52-Week
High
Low
8,054
3,762
398
509
10,878
5053
1819
1720
1544
1311
28.95 15.57
55.17 -0.09
24.40 -0.25
13.10 0.38
5.46 -33.98
28.95 19.20
57.18 54.14
24.68 21.80
13.15 7.09
16.93 4.91
2,231
6,292
4,659
410
294
1221
1210
1147
1134
1116
12.17 0.25
9.74 -23.00
48.54 0.19
37.60 -0.56
13.00 -1.52
14.01 10.78
16.70 8.95
48.60 38.65
42.51 34.22
13.60 5.73
Currencies
U.S.-dollar foreign-exchange rates in late New York trading
s
s Euro
sYen
Country/currency
US$vs,
YTDchg
Wed
in US$ per US$ (%)
Americas
Argentina peso
.0569 17.5785 10.8
Brazil real
.3211 3.1147 –4.3
Canada dollar
.7955 1.2571 –6.5
Chile peso
.001535 651.60 –2.7
Colombia peso
.0003374 2963.66 –1.3
Ecuador US dollar
1
1 unch
Mexico peso
.0561 17.8236 –14.0
Peru new sol
.3088 3.239 –3.4
Uruguay peso
.03531 28.3200 –3.5
Venezuela b. fuerte .098702 10.1316 1.4
Asia-Pacific
2016
-1.29
-0.94
-3.15
-2.05
-0.49
* 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
WSJ Dollar index
0
5.97
4.54
15.50
10.25
2.60
52-Week
Low
% chg
Ranked by change from 65-day average*
Company
DBE
2017
Yield (%)
Last Week ago
52-Week
High
Low
Total Return (%)
52-wk
3-yr
1460.218
1.981
1.993
2.237
1.249 –2.805 2.646
2.264
2.928
2.500
4.994
2.790
1.854
2.285
2.946
2.510
4.948
2.830
1.863
2.609
3.390
2.790
6.448
3.120
2.516
1.503
2.488
1.890
4.948
1.990
1.328
791.976
5.514
5.530
6.290
5.134
EMBI Global, J.P. Morgan
RRD
PowerShares DB Energy Fd
Unisys Corp
iSh Core MSCI Europe
PowerShs DB Prec Mtls Fd
Alliance HealthCare Svcs
10-yr Treasury, Ryan ALM 1738.156
DJ Corporate
378.068
Aggregate, Barclays Capital 1933.950
High Yield 100, Merrill Lynch 2844.565
Fixed-Rate MBS, Barclays 1978.440
Muni Master, Merrill
519.883
Treasury, Ryan ALM
LNTH
25.80 14.10
8.20
4.38
25.33 18.94
248.00 208.38
145.96 113.45
2.25
Close
NOVN
24.59 0.57
4.62 -3.55
25.31 0.16
247.44 0.05
143.95 0.27
-26.7
20.3
-37.1
-37.0
12.6
Corporate Borrowing Rates and Yields
Bond total return index
SPWR
PMC
Yen, euro vs. dollar; dollar vs.
major U.S. trading partners
3.75%
One year ago
UIS
PharMerica
Schwab U.S. TIPs
PowerShares Div Achievers
Gas Natural
Flotek Industries
Forex Race
3.00
t
MTSI
159.75 102.53
15.65
5.66
2.98
0.04
6.49
0.02
42.41 10.91
* Volumes of 100,000 shares or more are rounded to the nearest thousand
Wednesday
AMC
150.1 157.14 4.73
-23.5 13.37 -2.48
4601.8 0.06 -70.62
-28.9 0.07 -18.10
-3.1 11.13 0.72
54,603
43,832
42,295
40,562
39,943
CHK
RSYS
Volume Movers
Sources: Ryan ALM; Tullett Prebon; WSJ Market Data Group
Yield/Rate (%)
Last (l)Week ago
-61.4
...
321.2
-58.2
...
88.30 11.15
13.15 1.55
LIVE
12.98 1.49
QNST
3.82 0.42
AAWW 66.80
7.00
QUOT
1 2 3 5 710
years
maturity
16.10 5.86
30.90 3.52
20.45 3.46
25.24 10.05
9.30 2.52
COHR
Most Active Stocks
1
3 6
month(s)
-17.77
-17.15
-16.89
-16.67
-15.86
Coherent Inc
SunPower
Aegion
ADOMANI
Veritiv Corp.
t
3.00
Prime rate
Salem Five
Salem, MA
101.4
-38.2
2.2
...
-28.6
...
-5.4
9.4
19.3
19.9
5.15%
1.99%
877-404-2265
278.39 100.01
15.61 5.84
26.68 17.18
18.31 6.50
62.60 29.55
31.19 19.29
17.26 5.90
28.95 19.20
7.57 3.65
198.47 119.37
Benchmark
Yields
Treasury
yield
curve
andtoRates
Yield
maturity of current bills,
Adirondack Bank
Utica, NY
212.42 -58.58 -21.62
9.19 -2.20 -19.32
AEGN 19.61 -4.53 -18.77
ADOM
6.75 -1.55 -18.67
VRTV
29.90 -6.75 -18.42
17.30
17.01
15.57
15.19
14.83
notes and bonds
Bankrate.com avg†:
-60.6
-64.8
-46.2
18.6
-3.8
31.06 4.58
BOOT
9.15 1.33
PMC
28.95 3.90
MTW
6.75 0.89
ILMN 197.85 25.55
CREDIT MARKETS & CURRENCIES
Consumer Rates and Returns to Investor
16.93 4.91
5.81 1.64
35.65 15.15
65.99 35.33
16.70 8.95
FTK
166.7
-39.9
33.1
55.9
159.9
IPI
* 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.
5.46 -2.81 -33.98
1.66 -0.78 -31.97
15.20 -5.60 -26.92
45.50 -15.56 -25.48
9.74 -2.91 -23.00
Flotek Industries
Radisys
AMC Entertainment Holding
MACOM Tech Solutions
Unisys Corp
24.92 7.05
6.90 2.10
80.89 35.07
72.89 42.26
3.59 0.93
SPR
NYSE Arca
High
Symbol
22.88
22.33
19.72
17.55
17.49
ONCE
Nasdaq
Total volume*2,087,628,578 206,464,652
Adv. volume* 663,577,783 127,853,575
Decl. volume*1,397,228,537 74,552,659
Issues traded
3,061
1,277
Advances
862
541
Declines
2,060
698
Unchanged
139
38
New highs
91
105
New lows
89
17
Closing tick
26
37
Closing Arms†
0.88
0.56
Block trades*
9,955
1,004
Latest Session
Close Net chg % chg
Company
23.47 4.37
3.67 0.67
79.72 13.13
71.72 10.71
3.56 0.53
WMLP
Total volume* 832,742,984 10,814,014
Adv. volume* 329,969,877 3,613,142
Decl. volume* 488,655,983 6,954,250
Issues traded
3,071
331
Advances
1,172
126
Declines
1,765
185
Unchanged
134
20
New highs
136
7
New lows
53
7
Closing tick
80
…
Closing Arms†
1.01
1.04
Block trades*
6,342
88
Percentage Losers
Latest Session
Close Net chg % chg
Sources: SIX Financial Information; WSJ Market Data Group
0.217
1.983
0.097
10.314
0.438
0.585
2.729
4.209
2.699
4.161
2.472
3.041
5.080 5.109
Sources: J.P. Morgan; Ryan ALM; S&P Dow Jones Indices; Barclays Capital; Merrill Lynch
Australian dollar
.7968 1.2550
China yuan
.1488 6.7209
Hong Kong dollar
.1279 7.8169
India rupee
.01571 63.670
Indonesia rupiah .0000751 13324
Japan yen
.009030 110.74
Kazakhstan tenge .002971 336.59
Macau pataca
.1241 8.0563
Malaysia ringgit
.2333 4.2855
New Zealand dollar
.7431 1.3457
Pakistan rupee
.00949 105.360
Philippines peso
.0199 50.290
Singapore dollar
.7357 1.3593
South Korea won .0008905 1122.97
Sri Lanka rupee
.0065164 153.46
Taiwan dollar
.03306 30.244
ONLINE
Real-time U.S. stock quotes are available on WSJ.com. Track most-active stocks, new highs/lows, mutual funds and ETFs.
Plus, get deeper money-flows data and email delivery of key stock-market data. All are available free at WSJMarkets.com
–9.6
–3.2
0.8
–6.3
–1.5
–5.4
0.9
1.8
–4.5
–6.8
0.9
1.4
–6.1
–7.0
3.4
–6.8
US$vs,
YTDchg
Wed
in US$ per US$ (%)
Country/currency
.03007 33.260 –7.1
.00004400 22725 –0.2
Thailand baht
Vietnam dong
Europe
Czech Rep. koruna
Denmark krone
Euro area euro
Hungary forint
Iceland krona
Norway krone
Poland zloty
Russia ruble
Sweden krona
Switzerland franc
Turkey lira
Ukraine hryvnia
UK pound
.04543 22.014 –14.3
.1594 6.2738 –11.3
1.1857 .8434 –11.3
.003911 255.69 –13.1
.009590 104.27 –7.7
.1266 7.8970 –8.6
.2784 3.5915 –14.2
.01653 60.482 –1.3
.1235 8.0989 –11.1
1.0300 .9709 –4.7
.2831 3.5328 0.3
.0386 25.9290 –4.3
1.3224 .7562 –6.6
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
.0560 17.8487 –1.6
.2795 3.5777 –7.0
3.3091 .3022 –1.1
2.5939 .3855 0.1
.2755 3.630 –0.3
.2666 3.7503 –0.01
.0757 13.2072 –3.5
Close Net Chg % Chg YTD%Chg
WSJ Dollar Index 85.92 –0.02–0.02 –7.55
Sources: Tullett Prebon, WSJ Market Data Group
Commodities
COMMODITIES
Wednesday
52-Week
Pricing trends on someClose
raw materials,
or commodities
Net chg % Chg
High
Low
DJ Commodity
WSJ
.COM
Low
-0.06 247.51 246.96
Sources: SIX Financial Information; WSJ Market Data Group
International Stock Indexes
Interest rate
Last
533.62
1138.25
1.88 22.51
Philadelphia Stock Exchange
NYSE NYSE Amer.
Most-active issues in late trading
Electro Scientific Inds
NYSE Composite
World
22016.24 17888.28
Late Trading
TR/CC CRB Index
Crude oil, $ per barrel
Natural gas, $/MMBtu
Gold, $ per troy oz.
571.13
2.99
181.98
49.59
2.811
1271.80
1.23
0.43
-0.008
-0.80
0.53
589.81
508.27
0.68 195.14
54.45
0.87
3.93
-0.28
-0.06 1358.80
166.50
40.83
2.55
1127.80
% Chg
11.67
YTD
% chg
0.68
1.22 -5.47
21.45 -7.69
-0.99 -24.52
-6.22 10.59
THE WALL STREET JOURNAL.
B8 | Thursday, August 3, 2017
COMMODITIES
Futures Contracts
Settle
Coffee (ICE-US)-37,500 lbs.; cents per lb.
Metal & Petroleum Futures
Contract
Open
High hi lo
Low
Settle
Chg
Copper-High (CMX)-25,000 lbs.; $ per lb.
2.8760
2.8845
2.8710
2.8825 0.0035
Aug
Sept
2.8765
2.8910
2.8615
2.8845 0.0035
Gold (CMX)-100 troy oz.; $ per troy oz.
Aug
1268.50 1272.10
1262.90 1271.80 –0.80
Oct
1271.70 1275.60
1265.80 1275.10 –1.00
Dec
1275.20 1279.00
1268.90 1278.40 –1.00
Feb'18
1277.00 1282.30
1272.90 1282.00 –0.90
June
1285.20 1289.10
1281.60 1288.80 –0.90
Dec
1291.70 1294.40
1291.70 1299.30 –0.80
Palladium (NYM) - 50 troy oz.; $ per troy oz.
885.00
885.00
885.00
897.20 –1.20
Aug
Sept
888.65
903.50 s
888.45
892.20 –1.20
Dec
882.50
895.30 s
882.50
884.90 –1.70
Platinum (NYM)-50 troy oz.; $ per troy oz.
928.30
929.90
928.00
950.80
4.30
Aug
Oct
947.50
954.80
942.20
953.80
4.30
Silver (CMX)-5,000 troy oz.; $ per troy oz.
16.635
16.785
16.635
16.697 –0.031
Aug
Sept
16.695
16.960
16.455
16.733 –0.031
Crude Oil, Light Sweet (NYM)-1,000 bbls.; $ per bbl.
48.80
49.65
48.55
49.59
0.43
Sept
Oct
49.00
49.78
48.70
49.73
0.44
Nov
49.11
49.92
48.88
49.87
0.44
Dec
49.26
50.04
49.04
49.99
0.42
June'18
49.70
50.29
49.51
50.26
0.37
Dec
49.86
50.28
49.65
50.22
0.26
NY Harbor ULSD (NYM)-42,000 gal.; $ per gal.
1.6368
1.6598
1.6255
1.6588 .0175
Sept
Dec
1.6475
1.6675
1.6350
1.6665 .0156
Gasoline-NY RBOB (NYM)-42,000 gal.; $ per gal.
1.6572
1.6669
1.6291
1.6448 –.0165
Sept
Oct
1.5365
1.5527
1.5222
1.5435 –.0032
Natural Gas (NYM)-10,000 MMBtu.; $ per MMBtu.
2.815
2.837
2.785
2.811 –.008
Sept
Oct
2.846
2.876
2.824
2.851 –.004
Nov
2.927
2.956
2.906
2.936
…
Jan'18
3.169
3.203
3.154
3.184
.002
March
3.117
3.150
3.103
3.132
.005
April
2.804
2.831
2.795
2.826
.020
Sept
Dec
Open
interest
138.00
141.50
141.20
144.70
137.45
141.15
140.35
143.95
Oct
March'18
2,665
155,190
14.80
15.50
14.96
15.65
14.61
15.33
14.79
15.50
2.50
2.55
t
25.00
25.03
t
25.15
25.15
Cotton (ICE-US)-50,000 lbs.; cents per lb.
71.17
71.85
71.17
71.75
Oct
Dec
69.44
70.40
69.22
70.34
Orange Juice (ICE-US)-15,000 lbs.; cents per lb.
132.20
134.20
130.60
133.90
Sept
Nov
134.00
135.95
132.65
135.80
25.00
25.15
2,972
48,330
344,426
18,984
8,279
7,554
4
30,508
4,106
25.00
25.15
–.09
–.06
1.80
2.15
153-290 154-180
152-150 153-100
Sept
Dec
14
65,089
153-170
152-120
154-070
152-310
6.0 735,948
6.0
1,525
Treasury Notes (CBT)-$100,000; pts 32nds of 100%
316
138,414
Sept
Dec
126-060 126-085
125-260 125-300
125-310
125-210
126-035
125-250
–4.0 3,195,696
–4.0 31,797
567,795
200,523
130,148
327,294
155,711
172,968
Sept
Dec
118-090 118-095
117-262 117-290
118-042
117-262
118-065
117-280
–3.0 2,964,044
–3.0 14,956
Sept
108-057 108-060
108-045
108-047
–1.2 1,379,907
–.005 184,903
… 301,829
5 Yr. Treasury Notes (CBT)-$100,000; pts 32nds of 100%
2 Yr. Treasury Notes (CBT)-$200,000; pts 32nds of 100%
30 Day Federal Funds (CBT)-$5,000,000; 100 - daily avg.
Aug
Oct
98.845
98.835
98.845
98.840
98.843
98.835
98.840
98.835
Sept
102.094
102.313
101.953
102.172
–.125
30,858
Aug
98.7700
98.7700
98.7700
98.7700
…
5,000
Aug
Sept
Dec
Dec'18
98.6800
98.6700
98.5550
98.2750
98.6825
98.6750
98.5550
98.2800
98.6800
98.6650
98.5400
98.2500
98.6825 .0025 93,366
98.6700
… 1,491,308
98.5500
… 1,953,136
98.2650 –.0150 1,415,393
10 Yr. Del. Int. Rate Swaps (CBT)-$100,000; pts 32nds of 100%
133,400
60,863
1 Month Libor (CME)-$3,000,000; pts of 100%
146,317
74,273
Eurodollar (CME)-$1,000,000; pts of 100%
345,204
189,214
90,051
122,342
82,484
107,632
Currency Futures
Aug
Sept
.9065
.9078
.9072
.9086
.9016
.9028
.9048 –.0023
717
.9062 –.0023 239,975
.7976
.7985
.7944
.7947
.7965 –.0022
920
.7969 –.0022 183,364
Canadian Dollar (CME)-CAD 100,000; $ per CAD
Aug
Sept
.7970
.7982
294.50
294.50
282.50
283.25
289.50
289.50
9.25
8.00
860
5,646
Aug
Sept
1.3211
1.3230
1.3256 s
1.3273 s
1.3206
1.3210
1.3235
1.3249
960.75
972.25
968.25
981.00
960.00
970.50
966.50
977.50
7.00
3,070
5.75 363,548
Sept
Dec
1.0388
1.0440
1.0394
1.0454
1.0325
1.0394
1.0338 –.0043
1.0400 –.0043
Aug
Dec
308.40
314.80
310.60
317.40
307.50
313.60
309.00
315.50
.70
3,021
1.00 164,800
Aug
Dec
33.88
34.30
34.18
34.60
33.88
34.24
34.15
34.57
.29
2,872
.29 187,910
Aug
Sept
Oct
Dec
March'18
Sept
Nov
1236.50
1270.00
1236.50
1266.50
1249.00
1275.00
Sept
Dec
462.00
488.00
466.75
493.00
455.75
483.00
460.75
487.75
–.50 173,346
… 154,173
Sept
Dec
465.75
494.00
469.50
497.00
458.25
485.75
464.50
492.00
–.75
–.75
97,710
90,888
Mini DJ Industrial Average (CBT)-$5 x index
Sept
Dec
717.00
729.75
725.00
738.25
714.25
727.00
722.25
735.25
4.25
4.50
26,477
35,647
S&P 500 Index (CME)-$250 x index
Aug
Sept
149.300
149.400
150.700
150.925
147.200
147.625
150.250
150.600
1.075
1.150
17,442
16,986
Aug
Oct
112.825
112.850
114.900
114.975
112.075
111.925
114.525
114.675
Aug
Oct
80.250
64.400
82.175
66.750
79.950
64.125
81.950
66.225
Sept
Dec
282.50
283.25
Aug
Nov
t
Soybeans (CBT)-5,000 bu.; cents per bu.
Soybean Meal (CBT)-100 tons; $ per ton.
Soybean Oil (CBT)-60,000 lbs.; cents per lb.
Rough Rice (CBT)-2,000 cwt.; $ per cwt.
1251.50 s
1275.50 s
Wheat (CBT)-5,000 bu.; cents per bu.
Wheat (KC)-5,000 bu.; cents per bu.
Wheat (MPLS)-5,000 bu.; cents per bu.
12.00
12.50
Cattle-Feeder (CME)-50,000 lbs.; cents per lb.
Cattle-Live (CME)-40,000 lbs.; cents per lb.
Hogs-Lean (CME)-40,000 lbs.; cents per lb.
Lumber (CME)-110,000 bd. ft., $ per 1,000 bd. ft.
British Pound (CME)-£62,500; $ per £
Swiss Franc (CME)-CHF 125,000; $ per CHF
.7967
.7966
.7966
.7959
.7930
.7991
.7989
.7985
.7978
.7932 s
.7942
.7937
.7935
.7929
.7894
.7969
.7965
.7962
.7956
.7948
7,778
1,960
Dec
.05508
.05512
.05470
.05487 .00007
Aug
Sept
1.1813
1.1834
1.1917 s
1.1940 s
1.1802
1.1823
1.1868
1.1890
Euro (CME)-€125,000; $ per €
39,394
369
…
828
… 135,643
…
428
…
2,093
…
218
Mexican Peso (CME)-MXN 500,000; $ per MXN
126
.0058
2,465
.0058 445,698
22025 s
21998 s
21932
21900
Sept
Dec
2474.10
Sept
21912
21874
2475.60 s
21957
21915
2463.50
53 136,692
53
296
2473.50
Mini S&P 500 (CME)-$50 x index
1.20
Sept
Dec
2474.00
2473.00
2476.00 s
2473.75 s
2463.25
2461.25
2473.50
2471.50
1.725 38,710
1.800 178,008
Sept
1762.00
1764.00
1744.30
1751.20 –12.80
2.150 24,983
1.825 117,356
Sept
Dec
5933.0
5937.0
1428.00
1425.30
1429.40
1425.30
1406.00
1405.40
381.00
366.60
384.70
368.50
3.80
3.00
3,537
1,089
Aug
Sept
16.74
17.53
16.79
17.59
16.45
16.97
16.49
17.07
–.24
–.41
5,177
5,314
Sept
1371.90
1372.10
Sept
Dec
2,007
2,027
2,069
2,095
1,997
2,027
2,055
2,082
32
30
96,105
91,441
Sept
Dec
92.91
92.74
93.03
92.80
Natural gas (bcf)
Kerosene-type
jet fuel
Distillates
Heating oil
Diesel
Residual fuel oil
Other oils
t
t
1,323
5-year
avg
523
238
25
0
24
214
490
231
23
0
23
208
408
218
36
0
36
182
8,253
549
11
0
11
538
...
...
...
...
...
...
2,990
...
3
3
3
3
...
...
Net crude, petroleum
products, incl. SPR
1,995,258
...
41
153
11
142
38
286
1,994 2,085
40
151
10
141
34
292
2,002
40
135
17
118
37
264
1,891
Current
Year
ago
4-week
avg
...
5,000
5-year
avg
20,591
...
21,289
20,950
motor gasoline
Kerosene-type
9,842
...
9,821
9,752
9,760
9,375
jet fuel
Distillates
Residual fuel oil
Propane/propylene
Other oils
1,791
4,140
278
904
3,635
...
...
...
...
...
1,804
4,376
278
1,200
3,811
1,766
3,605
550
1,065
4,212
1,824
4,177
353
892
3,748
1,577
3,738
322
...
...
4-week
avg
10,128 10,918
9,900 10,221
8,044 8,738
723 637
15
54
0
0
15
54
707 583
...
7,976
598
23
0
23
575
8,091
677
44
0
44
633
...
...
...
253
130
35
95
199
662
5-year
avg
98
96
9
87
312
927
183
122
41
81
126
780
4,588 6,340
4,456
87
128
17
111
268
858
t
AlerianMLPETF
CnsmrDiscSelSector
CnsStapleSelSector
DBGoldDoubleLgETN
DBGoldDoubleShrt
DeutscheXMSCIEAFE
EnSelectSectorSPDR
FinSelSectorSPDR
GuggS&P500EW
HealthCareSelSect
IndSelSectorSPDR
iShIntermCredBd
iSh1-3YCreditBond
iSh3-7YTreasuryBd
iShCoreHiDividend
iShCoreMSCIEmgMk
iShCoreMSCITotInt
iShCoreS&P500ETF
iShCoreS&PMdCp
iShCoreS&PSmCpETF
iShS&PTotlUSStkMkt
iShCoreUSAggBd
iShSelectDividend
iShGoldTr
iShiBoxx$InvGrCpBd
iShiBoxx$HYCpBd
iShJPMUSDEmgBd
iShMBSETF
iShMSCIACWIETF
iShMSCIBrazilCap
iShMSCI EAFE
AMLP
XLY
XLP
DGP
DZZ
DBEF
XLE
XLF
RSP
XLV
XLI
CIU
CSJ
IEI
HDV
IEMG
IXUS
IVV
IJH
IJR
ITOT
AGG
DVY
IAU
LQD
HYG
EMB
MBB
ACWI
EWZ
EFA
12.03
91.27
55.22
23.74
5.68
30.32
66.36
25.31
93.96
79.53
68.41
110.15
105.34
123.83
84.41
53.06
59.81
249.12
174.71
70.10
56.55
109.64
92.71
12.17
121.04
88.65
115.10
106.97
67.54
38.54
67.33
0.25 –4.5
–0.27 12.1
6.8
–0.07
–1.24 18.0
0.24 –17.1
8.1
–0.10
–0.38 –11.9
8.9
0.16
8.4
–0.32
–0.23 15.4
9.9
0.44
...
–0.05
...
–0.01
...
–0.08
2.6
–0.18
25.0
0.02
0.12 18.5
0.05 10.7
5.7
–0.70
1.9
–1.30
–0.02 10.3
1.5
–0.07
...
–0.15
9.8
–0.33
3.3
–0.16
2.4
0.02
...
0.14
...
–0.06
0.06 14.1
1.10 15.6
0.04 16.6
0.15
0.09
0.10
–0.05
0.40
0.05
0.16
0.04
–0.14
–1.20
–1.09
–0.91
–0.07
–0.44
–0.40
–0.85
0.15
–0.07
–0.13
–0.05
–0.05
–0.09
0.06
–0.55
–0.01
0.27
...
–0.09
...
–0.21
0.06
–0.07
...
20.6
25.6
21.3
12.7
19.5
2.4
16.5
10.5
4.7
9.3
4.0
–0.5
10.0
8.2
5.0
8.2
15.6
5.2
...
0.3
...
...
4.7
12.1
0.3
21.5
9.1
–0.5
2.3
9.8
18.8
10.2
10.9
4.180 3.970 4.710
519.88
4.2
Muni Master
1.854 1.328 2.516
3.6 Double-A-rated
2.570 2.040 2.870
364.19
4.8
7-12 year
1.866 1.374 2.618
3.400 3.180 3.870
404.83
4.9
12-22 year
2.393 1.688 3.047
389.94
5.1
22-plus year
2.924 2.139 3.622
5.4
711.05
Triple-B-rated
High Yield Bonds Merrill Lynch
6.2
High Yield Constrained 5.435 5.399 6.906
5.3
302.26
541.71
4.994 4.948 6.448
752.48
-0.1
Canada
2.010 1.240 2.120
Global High Yield Constrained 5.085 5.085 6.484
368.34
-0.2
EMU§
1.140 0.512 1.363
Europe High Yield Constrained 2.349 2.349 3.836
706.45
-0.01
France
0.880 0.280 1.210
506.66
-1.5
Germany
0.500 -0.100 0.620
Japan
0.420 0.100 0.460
Netherlands
0.640 0.030 0.760
U.K.
1.570 0.960 1.790
1637.57
2.0
U.S Agency
1.810 1.220 1.960
287.04
1466.23
1.3
10-20 years
1.620 1.050 1.750
558.72
20-plus years
2.930 2.430 3.460
918.12
Yankee
2.710 2.340 3.090
791.98
6.6
3330.95
4.2
0.9
10.146 9.584 15.015
7.4 Triple-C-rated
413.12
Global Government J.P. Morgan†
Global Government 1.410 0.830 1.560
-0.4
-1.3
0.5
7.2 Emerging Markets ** 5.514 5.134 6.290
SPDR DJIA Tr
SPDR S&PMdCpTr
SPDR S&P 500
SPDR S&P Div
TechSelectSector
UtilitiesSelSector
VanEckGoldMiner
VangdInfoTech
VangdSC Val
VangdSC Grwth
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
1250
250
J
Closing Chg YTD
Symbol Price (%) (%)
DIA
MDY
SPY
SDY
XLK
XLU
GDX
VGT
VBR
VBK
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
219.89
318.94
247.44
89.92
57.61
53.75
22.77
147.64
123.60
146.40
93.41
42.73
43.29
57.08
52.07
130.59
147.38
79.40
84.86
88.01
113.58
144.75
104.79
83.87
227.28
79.92
80.13
136.28
81.93
54.49
54.05
126.93
69.56
98.28
62.24
52.73
† In local currency § Euro-zone bonds
Sources: Merrill Lynch; Bloomberg Barclays; J.P.Morgan
Global Government Bonds: Mapping Yields
Yields and spreads over or under U.S. Treasurys on benchmark two-year and 10-year government bonds in
selected other countries; arrows indicate whether the yield rose(s) or fell (t) in the latest session
Country/
Coupon (%) Maturity, in years
1.375
2.375
1.343
2.255
1.386
2.302
0.683
1.555
1.809 t
2.710 t
l
1.819
1.737
1.437
45.0
47.6
75.5
l
2.720
2.608
1.830
45.2
46.4
27.4
France 2 -0.500 t
10 0.747 s
l
-0.498
-0.364
-0.521
l
0.744
0.821
0.202
Germany 2 -0.689 s
10 0.487 t
l
-0.692
-0.594
l
0.490
0.467
Italy 2 -0.034 t
10 2.011 t
l
-0.033
l
Japan 2 -0.116 t
10 0.075 t
10
0.000
0.050
2.200
0.100
0.100
2.750
1.500
Spread Under/Over U.S. Treasurys, in basis points
Latest
Prev
Year ago
l
Australia 2
0.500
Year ago
U.S. 2 1.359 s
10 2.259 s
2.750
1.000
Month ago
l
2.750
0.000
Yield (%)
Latest(l) 0 20 40 60 80 100 120 Previous
-184.1
-120.4
-151.2
-135.3
-0.593 -204.8
-0.033 -177.1
-203.5
-127.5
-176.5
-158.8
-0.307
-0.067
-139.3
-137.6
-75.0
2.014
2.155
1.221
-24.8
-24.2
-33.4
l
-0.114
-0.116
-0.172
-147.5
-145.7
-85.5
l
0.076
0.088
-0.068 -218.4
-218.0
-162.3
Spain 2 -0.357 s
10 1.444 t
l
-0.358
-0.255
-0.169
-170.1
-85.2
l
1.455
1.532
1.071
-80.0
-48.4
0.290 s
1.238 s
l
0.267
0.372
0.198
-106.9
-107.6
-48.5
l
1.215
1.259
0.811
-102.1
-104.0
-74.4
1.750
U.K. 2
4.250
10
-185.9
-151.2
-171.6
-81.5
Source: Tullett Prebon
in that same company’s share price.
Five-year average
for each week
ETF
60.10
43.97
41.96
55.05
317.04
110.77
122.16
137.57
117.31
168.24
140.23
118.30
146.29
193.60
84.49
197.14
140.85
106.63
39.15
113.48
84.50
106.85
124.71
109.13
101.66
143.95
45.38
23.25
37.30
120.40
32.87
59.72
59.07
7.8 Long term
563.86
Investment-grade spreads that tightened the most…
Exchange-Traded Portfolios | WSJ.com/ETFresearch
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
3789.59
Corporate Debt
Sources: SIX Financial Information via WSJ Market Data Group; U.S. Energy Information Administration; Dow Jones Newswires
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
Fannie mae (FNMA) 2.800 2.020 3.120
Freddie Mac (FHLMC) 2.810 2.030 3.130
6,488
4250
A S O N D J F M A M J
2017
2016
2.790 1.990 3.120
2.1
48,255
2,537
Note: Expected changes are provided by Dow Jones Newswires' survey of analysts. Previous and average inventory data are in millions.
ETF
Ginnie Mae (GNMA) 2.750 1.870 3.090
2.0
–.20
–.19
2250
Closing Chg YTD
Symbol Price (%) (%)
1.6
1785.70
92.70
92.52
3250
ETF
1948.88
1159.31
92.39
92.23
Finished
Wednesday, August 2, 2017
Closing Chg YTD
Symbol Price (%) (%)
Mortgage-Backed
2.620 2.200 3.010
U.S Agency Bloomberg Barclays
t
Largest 100 exchange-traded funds, latest session
1.9
3.110 2.770 3.520
U.S. Corporate
8,177
Billions of cubic feet; weekly totals
20,754 19,947
1978.44
3.5 Intermediate
4.8
.10
Year
ago
Yield (%)
Latest Low High
Index
2610.98
1370.00
Natural gas,
lower 48 states
Total petroleum
product
U.S. Corporate Indexes Bloomberg Barclays
1364.30
Natural gas storage
Weekly Demand, 000s barrels per day
Expected Previous
change
week
...
...
...
...
...
...
154
108
43
65
116
744
2.500 1.890 2.790
** EMBI Global Index
483
230
23
0
23
207
40
150
9
140
34
291
YTD total
return (%)
Mortgage-Backed Bloomberg Barclays
2.9 U.S. Aggregate
1933.95
Total
return
close
*Constrained indexes limit individual issuer concentrations to 2%; the High Yield 100 are the 100 largest bonds
-3,100
...
-500
...
...
...
...
-400
...
...
...
...
Index
Broad Market Bloomberg Barclays
2443.71
...
10,079
Yield (%)
Latest Low High
6.1
Expected Previous
Current change
week
1,197
YTD total
return (%)
373.54
Source: SIX Financial Information
4-week
avg
Total
return
close
1411.80 –16.20 575,406
1410.80 –16.40
375
U.S. Dollar Index (ICE-US)-$1,000 x index
481,888
227,679
22,834
44
22,790
204,844
40,361
149,414
9,945
139,469
33,730
294,845
37.0000
0.3125
n.a.
0.3351
0.3550
n.a.
Return on investment and spreads over Treasurys and/or yields paid to investors compared with 52-week
highs and lows for different types of bonds
High Yield 100
Imports, 000s barrels per day
1,315 1,390
Fats and Oils
Corn oil,crude wet/dry mill-u,w
Grease,choice white,Chicago-h
Lard,Chicago-u
Soybean oil,crude;Centl IL-u
Tallow,bleach;Chicago-h
Tallow,edible,Chicago-u
Bonds | WSJ.com/bonds
Tracking Bond Benchmarks
6.0
Mini Russell 1000 (ICE-US)-$100 x index
Inventories, 000s barrels
...
4.70
68
3.3500
76.5
479.3
200
88
325
3.3200
385.00
22.38
7.7063
312.70
184.16
174.59
n.a.
0.9824
2.7100
159.00
174.00
86.50
2366
1.3618
1.5874
0.8550
14.70
n.a.
83.00
n.a.
1.0656
n.a.
164.25
KEY TO CODES: A=ask; B=bid; BP=country elevator bids to producers; C=corrected; E=Manfra,Tordella & Brooks; G=ICE; H=Hurley Brokerage; I=Natural Gas Intelligence;
L=livericeindex.com; M=midday; N=nominal; n.a.=not quoted or not available; R=SNL Energy; S=The Steel Index; T=Cotlook Limited; U=USDA; W=weekly, Z=not quoted.
*Data as of 8/1
Source: WSJ Market Data Group
2844.57
5910.8
5917.5
Inventories, imports and demand for the week ended July 28. Current figures are in thousands of barrels or
thousands of gallons per day, except natural-gas figures, which are in billions of cubic feet. Natural-gas import
Natural-gas import and demand data are available monthly only.
1,316,374
16.6000
19.9200
16.7200
20.9000
£12.6011
16.6700
21.5 291,309
21.8
1,457
5856.3
5863.5
Macro & Market Economics
Watching the Gauges: U.S. Supply and Demand
Crude oil and
petroleum prod
Crude oil
excluding SPR
Gasoline
Finished gasoline
Reformulated
Conventional
Blend. components
Grains and Feeds
Silver, troy oz.
Engelhard industrial
Engelhard fabricated
Handy & Harman base
Handy & Harman fabricated
LBMA spot price
(U.S.$ equivalent)
0.5925
0.7025
*79.00
n.a.
n.a.
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
SoybeanMeal,Cent IL,rail,ton48%-u
9.4200
7.8925
4.6300
4.1450
5.0750
Food
Beef,carcass equiv. index
choice 1-3,600-900 lbs.-u
select 1-3,600-900 lbs.-u
Broilers,dressed 'A'-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
Fibers and Textiles
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
1268.80
1363.96
1269.60
1409.25
*1267.05
*1270.95
1323.45
1336.18
1336.18
1542.31
1250.35
1336.18
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
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
LBMA Platinum Price PM
*941.0
Platinum,Engelhard industrial
943.0
Platinum,Engelhard fabricated
1043.0
Palladium,Engelhard industrial
904.0
Palladium,Engelhard fabricated
1004.0
Aluminum, LME, $ per metric ton
*1887.0
Copper,Comex spot
2.8825
Iron Ore, 62% Fe CFR China-s
72.1
Shredded Scrap, US Midwest-s,w
296
Steel, HRC USA, FOB Midwest Mill-s
620
Metals
Gold, per troy oz
Wednesday
12499
Other metals
0.7523
0.8935
2.770
2.760
2.580
2.510
2.590
1.900
2.670
42.700
11.280
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
412.79
Mini Russell 2000 (ICE-US)-$100 x index
388.00
370.40
Year
ago
Wednesday
Coins,wholesale $1,000 face-a
92,112
Mini Nasdaq 100 (CME)-$20 x index
5947.5 s
5953.3 s
56,500
1.25 3,021,662
1.25 36,238
Mini S&P Midcap 400 (CME)-$100 x index
383.10
366.80
Expected Previous
Current change
week
Wednesday
Energy
2758.63
Index Futures
Sept
Nov
Cocoa (ICE-US)-10 metric tons; $ per ton.
.0019
405
.0018 214,402
Australian Dollar (CME)-AUD 100,000; $ per AUD
Sept
Dec
Milk (CME)-200,000 lbs., cents per lb.
Wednesday, August 02, 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.
Japanese Yen (CME)-¥12,500,000; $ per 100¥
2.50 519,549
2.50 585,295
367.25
381.25
7,485
2,845
Interest Rate Futures
Treasury Bonds (CBT)-$100,000; pts 32nds of 100%
365.00
379.00
364.50
378.25
Oats (CBT)-5,000 bu.; cents per bu.
1,678
2,397
.58
215
1.03 155,808
363.75
377.75
Sept
Dec
88,351
61,174
Cash Prices
–.09 395,371
–.06 193,457
Sugar-Domestic (ICE-US)-112,000 lbs.; cents per lb.
Sept
Nov
Open
interest
Chg
Sugar-World (ICE-US)-112,000 lbs.; cents per lb.
Agriculture Futures
Corn (CBT)-5,000 bu.; cents per bu.
Contract
High hilo
Low
Open
WSJ.com/commodities
0.24
–0.74
0.05
–0.34
0.28
0.43
–0.26
0.14
–0.69
–1.02
–0.09
–0.05
0.23
0.09
0.08
0.03
–0.20
–0.15
–0.04
–0.09
0.04
–0.47
–0.19
–0.91
0.06
–0.03
–0.04
–0.87
–0.06
–0.15
–0.02
–0.09
–0.09
–0.01
–0.29
0.42
11.3
5.7
10.7
5.1
19.1
10.7
8.8
21.5
2.1
10.0
9.7
16.9
21.0
19.1
17.9
17.1
16.3
4.8
2.2
2.7
11.0
10.0
7.8
1.6
10.7
0.6
1.0
5.7
1.4
0.4
17.8
10.1
14.0
5.7
8.4
6.4
Spread*, in basis points
One-day change
Stock Performance
Close ($)
% chg
Issuer
Symbol Coupon (%)
Nordstrom
Bank of Nova Scotia
Cooperatieve Rabobank UA
Intel
JWN
6.950 March 15, ’28
BNS
2.150 July 14, ’20
RABOBK 11.000 June 30, ’49
INTC
2.875 May 11, ’24
337
37
–47
47
–14
–13
–12
–11
n.a.
51
–45
56
46.49
62.18
...
36.64
–5.01
0.24
...
0.80
JPMorgan Chase
Bemis
Siemens Financieringsmaatschappij
Transcontinental Gas Pipe Line
JPM
BMS
SIEGR
WPZ
7.900 April 30, ’49
4.500 Oct. 15, ’21
1.300 Sept. 13, ’19
7.250
Dec. 1, ’26
–23
68
25
170
–11
–10
–10
–10
–75
n.a.
38
n.a.
93.11
42.83
...
…
0.09
0.59
...
…
n.a.
92
n.a.
n.a.
40.01
...
87.97
13.26
–0.82
...
0.46
–0.38
146
186
75
100
…
...
…
38.27
…
...
…
–1.57
Maturity
Current
Last week
…And spreads that widened the most
Comcast
Orix
Scripps Networks Interactive
Pitney Bowes
CMCSA
ORIX
SNI
PBI
4.000
2.900
2.750
3.375
Aug. 15, ’47
July 18, ’22
Nov. 15, ’19
Oct. 1, ’21
119
91
80
177
21
20
14
General Motors Financial
Emera
Ford Motor Credit
AT&T
GM
EMACN
F
T
3.950
6.750
1.897
3.000
April 13, ’24
June 15, ’76
Aug. 12, ’19
June 30, ’22
162
193
74
97
13
10
8
8
412
High-yield issues with the biggest price increases…
Bond Price as % of face value
Current
One-day change
Issuer
Symbol
Windstream Services
Frontier Communications
Tenet Healthcare
Graftech International
WIN
FTR
THC
GTI
6.375
6.875
4.625
6.375
Aug. 1, ’23
Jan. 15, ’25
July 15, ’24
Nov. 15, ’20
84.920
81.281
102.230
95.500
Triumph
Telecom Italia Capital
Sabre Glbl
Crestwood Midstream Partners
TGI
TITIM
TSG
CMLP
4.875
6.375
5.375
6.250
April 1, ’21
Nov. 15, ’33
April 15, ’23
April 1, ’23
96.250
114.750
105.500
103.250
Coupon (%)
Maturity
3.96
2.28
1.98
1.75
1.50
1.00
0.96
0.75
Last week
Stock Performance
Close ($)
% chg
82.750
78.906
100.770
92.000
3.72
17.05
16.80
...
–0.80
7.30
–3.00
...
98.854
113.250
104.700
102.000
26.90
...
17.95
...
5.08
...
–2.18
...
n.a.
n.a.
104.250
101.938
…
…
15.20
59.01
…
…
–26.92
–1.22
85.750
94.000
n.a.
65.750
…
22.81
14.42
7.58
…
0.40
0.63
–3.19
…And with the biggest price decreases
Freeport Minerals
Seagate HDD Cayman
AMC Entertainment Holdings
Tempur Sealy International
FCX
STX
AMC
TPX
9.500
4.750
5.875
5.500
June 1, ’31
June 1, ’23
Feb. 15, ’22
June 15, ’26
Chs/Community Health Systems
United States Steel
American Axle And Manufacturing
California Resources
CYH
X
AXL
CRC
6.875
6.650
6.250
8.000
Feb. 1, ’22
June 1, ’37
April 1, ’25
Dec. 15, ’22
122.066 –3.90
–2.55
98.155
–1.91
102.625
–1.88
101.500
83.250
94.500
99.500
62.000
–1.75
–1.45
–1.25
–1.25
*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
THE WALL STREET JOURNAL.
Thursday, August 3, 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.
Footnotes:
s-New 52-week high.
t-New 52-week low.
dd-Indicates loss in the most recent
four quarters.
FD-First day of trading.
h-Does not meet continued listing
standards
lf-Late filing
q-Temporary exemption from Nasdaq
requirements.
t-NYSE bankruptcy
v-Trading halted on primary market.
vj-In bankruptcy or receivership or
being reorganized under the
Bankruptcy Code, or securities
assumed by such companies.
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.
Wednesday, August 2, 2017
Net
Sym Close Chg
Stock
NYSE
ABB
ABB 23.61 -0.03
AES
AES 11.05 -0.15
s Aflac
AFL 81.16 0.27
AGCO
AGCO 72.16 0.25
AT&T
T
38.27 -0.61
AbbottLabs ABT 49.23 0.08
AbbVie
ABBV 70.71 0.33
Accenture ACN 128.62 -1.24
AcuityBrands AYI 200.81 -0.14
Adient
ADNT 64.30 0.31
AdvanceAuto AAP 114.48 0.43
AdvSemiEngg ASX 6.55 -0.08
Aegon
AEG 5.61 0.03
AerCap
AER 48.89 -0.52
Aetna
AET 154.74 0.20
AffiliatedMgrs AMG 180.67 -5.31
AgilentTechs A
60.20 0.26
AgnicoEagle AEM 45.95 -0.25
Agrium
AGU 99.59 0.14
AirProducts APD 148.11 -0.81
AlaskaAir ALK 85.64 0.13
s Albemarle ALB 119.45 2.02
Alcoa
AA 37.28 0.90
AlexandriaRealEst ARE 120.52 -0.49
Alibaba
BABA 151.91 -2.82
Alleghany Y
620.83 -2.30
Allegion
ALLE 80.85 -0.62
Allergan
AGN 250.18 -2.02
AllianceData ADS 240.44 0.57
AllianceBernstein AB 24.80 -0.15
AlliantEnergy LNT 40.95 0.12
AllisonTransm ALSN 37.93 0.14
s Allstate
ALL 94.16 3.16
AllyFinancial ALLY 22.78 0.01
AlticeUSA ATUS 32.62 -1.19
Altria
MO 65.55 0.05
s AlumofChina ACH 15.90 0.25
Ambev
ABEV 6.19 0.08
Ameren
AEE 56.73 0.20
AmericaMovil AMX 17.81 0.10
AmericaMovil A AMOV 17.62 0.11
AmCampus ACC 47.32 -0.65
AEP
AEP 70.93 0.31
AmericanExpress AXP 85.30 0.06
s AmericanFin AFG 104.89 2.97
AmerHomes4Rent AMH 22.76 -0.35
AIG
AIG 65.90 0.42
AmerTowerREIT AMT 137.97 2.00
AmerWaterWorks AWK 82.00 0.62
Amerigas APU 45.10 -0.48
s Ameriprise AMP 145.52 -0.40
AmerisourceBrgn ABC 91.27 -1.71
s Ametek
AME 64.23 2.61
s Amphenol APH 77.84 0.46
AnadarkoPetrol APC 44.66 -0.04
Andeavor ANDV 99.74 -1.63
AndeavorLog ANDX 51.38 -0.63
AB InBev BUD 118.76 -1.06
AnnalyCap NLY 12.17 0.09
AnteroMidstream AM 35.02 0.50
AnteroResources AR 19.86 -0.44
Anthem
ANTM 188.95 2.28
Aon
AON 139.23 -0.36
Apache
APA 47.91 -0.75
ApartmtInv AIV 45.49 -0.11
ApolloGlobalMgmt APO 28.14 -0.20
AquaAmerica WTR 33.58 -0.08
Aramark
ARMK 40.17 -0.19
ArcelorMittal MT 25.42 -0.44
ArcherDaniels ADM 42.49 -0.81
Arconic
ARNC 24.88 -0.16
AristaNetworks ANET 143.46 -4.34
ArrowElec ARW 81.58 -0.25
Assurant
AIZ 103.84 -2.42
AstraZeneca AZN 30.33 0.41
Athene
ATH 50.79 -0.02
s AtmosEnergy ATO 88.69 1.31
Autohome ATHM 47.87 -1.14
Autoliv
ALV 108.32 0.16
AutoZone AZO 542.89 -4.97
Avalonbay AVB 191.29 -0.83
Avangrid
AGR 45.79 0.21
AveryDennison AVY 94.08 0.64
AxaltaCoating AXTA 31.76 0.03
BB&T
BBT 47.93 0.08
BCE
BCE 47.21 0.16
BHPBilliton BHP 41.16 -0.23
BHPBilliton BBL 35.88 -0.27
BP
BP 36.40 0.13
BRF
BRFS 12.34 0.17
BT Group BT 20.91 -0.16
BakerHughes BHGE 35.35 -0.35
Ball
BLL 41.88 -0.11
BancoBilbaoViz BBVA 9.19 -0.02
s BancodeChile BCH 86.22 0.21
BancoMacro BMA 87.69 0.06
s BcoSantChile BSAC 29.04 0.47
BancoSantander SAN 6.79 -0.04
BanColombia CIB 44.34
...
BankofAmerica BAC 24.59 0.14
BankofMontreal BMO 75.72 -0.06
BankNY Mellon BK 53.91 0.20
BkNovaScotia BNS 62.18 0.15
Barclays
BCS 10.96 0.02
Bard CR
BCR 322.53 2.27
BarrickGold ABX 17.14 -0.10
BaxterIntl BAX 59.50 -1.21
BectonDickinson BDX 200.93 -0.27
Berkley
WRB 69.14 -0.19
s BerkHathwy A BRK/A 2667302408.99
s BerkHathwy B BRK/B 177.85 1.56
BerryGlobal BERY 56.86 0.50
BestBuy
BBY 59.38 -0.10
Bio-RadLab A BIO 238.60 0.89
BlackKnightFin BKFS 42.20 0.20
BlackRock BLK 425.55 -4.43
BlackstoneGroup BX 33.21 -0.29
BlockHR
HRB 30.47 -0.15
BoardwalkPipe BWP 16.40 0.02
Boeing
BA 237.95 -1.49
BorgWarner BWA 46.15 0.32
BostonProperties BXP 121.83 -0.04
BostonScientific BSX 26.51 0.03
Braskem
BAK 24.97 1.02
Net
Sym Close Chg
Stock
Bristol-Myers BMY 55.23
BritishAmTob BTI 64.05
BrixmorProp BRX 19.34
BroadridgeFinl BR 75.71
BrookfieldMgt BAM 38.73
BrookfieldInfr BIP 40.92
Brown&Brown BRO 44.41
Brown-Forman A BF/A 51.50
Brown-Forman B BF/B 48.94
BuckeyePtrs BPL 62.97
Bunge
BG 77.48
BurlingtonStores BURL 85.05
CBD Pao
CBD 23.97
CBRE Group CBG 37.80
CBS A
CBS/A 65.25
CBS B
CBS 64.81
CF Industries CF 28.72
CGI Group GIB 51.10
CIT Group CIT 47.77
CMS Energy CMS 46.64
s CNA Fin
CNA 52.65
CNOOC
CEO 112.42
CPFLEnergia CPL 17.16
CRH
CRH 34.95
CVS Health CVS 79.75
CabotOil
COG 24.57
CAE
CAE 17.15
CamdenProperty CPT 89.40
CampbellSoup CPB 52.71
CIBC
CM 86.24
CanNtlRlwy CNI 80.31
CanNaturalRes CNQ 30.70
CanPacRlwy CP 157.46
Canon
CAJ 35.14
CapitalOne COF 85.71
CardinalHealth CAH 70.99
Carlisle
CSL 98.39
CarMax
KMX 65.72
Carnival
CCL 67.50
Carnival
CUK 68.04
Caterpillar CAT 113.09
Celanese A CE 96.81
Cemex
CX
9.87
CenovusEnergy CVE 8.18
Centene
CNC 81.79
CenterPointEner CNP 28.17
CentraisElBras EBR 4.30
CenturyLink CTL 23.74
s Chemours CC 47.97
Chevron
CVX 110.46
ChinaEastrnAir CEA 27.33
ChinaLifeIns LFC 16.15
ChinaMobile CHL 53.15
ChinaPetrol SNP 76.39
ChinaSoAirlines ZNH 37.80
ChinaTelecom CHA 47.05
ChinaUnicom CHU 14.50
Chipotle
CMG 351.06
s Chubb
CB 148.92
ChunghwaTelecom CHT 33.88
Church&Dwight CHD 52.73
Cigna
CI 174.74
CimarexEnergy XEC 98.17
s Citigroup
C
69.42
CitizensFin CFG 35.62
Clorox
CLX 131.97
Coach
COH 46.22
Coca-Cola KO 45.59
Coca-Cola Euro CCE 43.28
Coca-Cola Femsa KOF 83.30
Colgate-Palmolive CL 71.62
ColonyNorthStar CLNS 14.62
Comerica
CMA 72.49
SABESP
SBS 10.93
ConagraBrands CAG 34.21
ConchoRscs CXO 128.66
ConocoPhillips COP 45.61
ConEd
ED 82.70
ConstBrands A STZ 193.51
ContinentalRscs CLR 32.75
Cooper
COO 244.27
Corning
GLW 29.77
Coty
COTY 20.18
Credicorp
BAP 187.98
CreditSuisse CS 15.40
CrestwoodEquity CEQP 26.60
CrownCastle CCI 101.81
CrownHoldings CCK 60.07
Cullen/Frost CFR 92.79
Cummins
CMI 157.78
DTE Energy DTE 107.60
DXC Tech DXC 78.11
Danaher
DHR 81.28
Darden
DRI 84.56
DaVita
DVA 58.46
Deere
DE 128.98
DellTechnologies DVMT 63.85
DelphiAutomotive DLPH 91.02
DeltaAir
DAL 50.01
DeutscheBank DB 18.01
DevonEnergy DVN 33.40
Diageo
DEO 130.55
DigitalRealty DLR 117.13
DiscoverFinSvcs DFS 60.78
Disney
DIS 108.67
DollarGeneral DG 74.71
DominionEner D
77.86
Domino's
DPZ 192.35
Donaldson DCI 47.05
DouglasEmmett DEI 37.88
Dover
DOV 84.30
DowChemical DOW 64.30
DrPepperSnap DPS 90.99
DrReddy'sLab RDY 37.01
DuPont
DD 82.32
DukeEnergy DUK 85.74
DukeRealty DRE 28.90
ENI
E
32.13
EOG Rscs EOG 92.32
EQT
EQT 63.01
EQT Midstream EQM 76.66
EastmanChem EMN 83.88
Eaton
ETN 74.10
EatonVance EV 48.40
Ecolab
ECL 132.90
Ecopetrol
EC
9.28
EdisonInt
EIX 78.74
-0.88
0.46
-0.46
-0.77
-0.01
0.14
-0.18
-0.23
-0.22
-0.19
-0.58
-3.18
0.56
0.08
-1.27
-1.27
-0.50
-1.84
-0.13
0.33
-0.04
0.28
...
0.08
0.05
-0.79
0.17
0.23
0.19
0.02
0.71
0.18
1.15
0.10
-0.30
-6.34
0.40
-0.93
0.02
0.03
-0.01
0.69
-0.06
0.09
1.34
-0.08
-0.04
0.38
0.03
-0.32
-0.53
-0.38
-0.24
-0.25
-0.58
-0.27
0.15
3.82
0.85
-0.14
-0.28
1.78
-0.37
-0.18
0.40
-1.16
-1.57
-0.11
-0.22
0.04
-0.08
-0.01
0.18
0.13
0.38
-2.10
0.86
-0.04
-1.24
-0.12
-1.02
0.25
-0.05
-1.72
-0.11
0.55
0.92
0.14
1.99
0.30
0.61
-1.22
0.46
-0.24
-5.67
-0.04
-0.62
1.19
-0.06
-0.12
0.42
0.35
-0.46
0.17
-1.94
-0.81
0.56
5.90
-0.04
-0.44
0.68
-0.39
-0.06
-0.33
-0.34
0.57
0.01
0.24
-2.14
-0.92
0.19
0.22
0.44
-1.00
1.47
0.08
-0.14
Stock
EdwardsLife EW 114.24 -1.03
EmersonElectric EMR 60.99 1.03
EnbridgeEnPtrs EEP 15.64 -0.21
Enbridge
ENB 41.80 0.17
Encana
ECA 9.81 -0.21
EnelAmericas ENIA 9.98 -0.04
EnelGenChile EOCC 23.30 0.11
EnergyTrfrEquity ETE 17.80 -0.19
EnergyTransfer ETP 21.35 0.26
EnLinkMidPtrs ENLK 16.93 0.32
Entergy
ETR 76.53 -0.62
EnterpriseProd EPD 27.24 0.05
EnvisionHlthcr EVHC 54.75 -1.23
Equifax
EFX 145.49 -0.77
EquityLife ELS 87.79 0.16
EquityResdntl EQR 67.76 -0.08
EssexProp ESS 263.46 0.26
EsteeLauder EL 98.49 -0.12
EverestRe RE 265.34 1.35
EversourceEner ES 61.06 0.17
Exelon
EXC 38.42 -0.13
ExtraSpaceSt EXR 79.26 -0.03
ExxonMobil XOM 80.60 0.43
s FMC
FMC 83.85 6.50
FactSet
FDS 164.45 -1.32
FederalRealty FRT 132.84 -1.56
FedEx
FDX 209.50 2.79
s Ferrari
RACE110.47 2.15
FiatChrysler FCAU 11.99 -0.10
FibriaCelulose FBR 11.00 0.03
FidelityNatlFin FNF 48.30 0.06
FNFV Group FNFV 17.15 -0.10
s FidelityNtlInfo FIS 91.24 -0.63
58.com
WUBA 50.40 -1.13
FirstData
FDC 18.31 -0.35
FirstRepBank FRC 101.54 -0.10
FirstEnergy FE 32.21 0.28
FleetCorTech FLT 154.18 -0.02
Fluor
FLR 43.84 -0.05
FomentoEconMex FMX 99.93 -0.04
FootLocker FL 47.65 0.78
FordMotor F
11.00 0.05
ForestCIty A FCE/A 24.24 -0.31
s Fortis
FTS 36.82 0.28
s Fortive
FTV 66.28 1.08
FortBrandsHome FBHS 66.25 0.09
Franco-Nevada FNV 74.47 1.20
FranklinRscs BEN 43.94 -0.78
Freeport-McMoRan FCX 14.37 -0.12
FreseniusMed FMS 46.11 -1.22
GGP
GGP 21.91 -1.13
Gallagher AJG 59.02 -0.17
Gap
GPS 23.42 -0.46
Gartner
IT 126.81 -1.41
Gazit-Globe GZT 9.63 0.01
GeneralDynamics GD 198.04 1.51
GeneralElec GE 25.52 0.08
GeneralMills GIS 56.07 0.87
GeneralMotors GM 34.82 0.06
Genpact
G
28.87 -0.27
GenuineParts GPC 84.43 -0.53
Gerdau
GGB 3.43 0.12
Gildan
GIL 30.03 0.02
GlaxoSmithKline GSK 40.75 0.14
s GlobalPayments GPN 95.41 -0.10
GoDaddy
GDDY 42.80 -0.31
Goldcorp
GG 12.96 -0.11
GoldmanSachs GS 226.27 -0.73
Graco
GGG 113.73 -0.46
Grainger
GWW 170.02 0.30
s GreatPlainsEner GXP 30.91 -0.04
GpoAeroportuar PAC 114.18 0.97
GpoAeroportSur ASR 208.45 -1.82
GpoAvalAcciones AVAL 8.95 0.04
GpFinSantandMex BSMX 10.46
...
GrupoTelevisa TV 26.79 -0.48
HCA Healthcare HCA 78.98 -0.30
HCP
HCP 30.03 -0.22
HDFC Bank HDB 99.19 0.19
HP
HPQ 19.10 -0.04
HSBC
HSBC 50.20 -0.10
Halliburton HAL 42.85 0.40
Hanesbrands HBI 23.65 0.61
HarleyDavidson HOG 47.80 -1.06
s Harris
HRS 116.25 0.40
s HartfordFinl HIG 55.63 -0.08
HealthcareAmer HTA 29.66 -0.53
s Heico
HEI 81.96 0.59
s Heico A
HEI/A 72.40 0.35
Herbalife
HLF 65.22 -1.30
Hershey
HSY 105.59 -0.06
Hess
HES 44.00 0.84
HewlettPackard HPE 17.35 -0.20
Hilton
HLT 61.98 -0.79
HomeDepot HD 150.50 0.65
HondaMotor HMC 28.85 0.21
s Honeywell HON 138.72 1.71
HormelFoods HRL 34.16 0.02
DR Horton DHI 36.45 0.37
HostHotels HST 18.64 -0.27
HuanengPower HNP 26.84 -1.39
Hubbell
HUBB 119.44 1.91
Humana
HUM241.09 10.32
HuntingtonIngalls HII 208.21 1.62
Huntsman HUN 26.08 -0.28
HyattHotels H
55.75 -0.43
ICICI Bank IBN 9.45 0.06
ING Groep ING 18.75 -0.12
Invesco
IVZ 34.63 -0.57
IDEX
IEX 115.46 -0.13
IllinoisToolWks ITW 141.77 1.86
Infosys
INFY 15.78 -0.13
Ingersoll-Rand IR
87.15 0.66
Ingredion
INGR 122.98 0.80
ICE
ICE 67.02 -0.26
InterContinentl IHG 56.75 -0.18
IBM
IBM 144.45 -0.85
IntlFlavors IFF 133.84 -0.73
IntlPaper
IP
54.53 -0.80
Interpublic IPG 21.70 -0.04
InvitationHomes INVH 21.20 -0.27
IronMountain IRM 36.92 0.05
IsraelChemicals ICL 4.81 0.03
ItauUnibanco ITUB 12.46 0.18
JPMorganChase JPM 93.11 0.08
JacobsEngineering JEC 53.35 0.25
JamesHardie JHX 15.15 0.03
Dividend Changes
Company
Dividend announcements from August 2.
Company
Symbol
Amount
Yld % New/Old Frq
Payable /
Record
Increased
American States Water
Apollo Global Mgmt A
Aqua America
Littelfuse
Main Street Capital
ResMed
Resources Connection
Scotts Miracle-Gro
Simon Property Group
Viper Energy Partners Un
Westlake Chem Partners
AWR
APO
WTR
LFUS
MAIN
RMD
RECN
SMG
SPG
VNOM
WLKP
2.1
7.4
2.4
0.8
5.8
1.9
3.6
2.2
4.5
7.5
5.8
.255 /.242
.52 /.49
.2047 /.1913
.37 /.33
.19 /.185
.35 /.33
.12 /.11
.53 /.50
1.80 /1.75
.332 /.302
.365 /.3549
Q
Q
Q
Q
M
Q
Q
Q
Q
Q
Q
Sep01 /Aug15
Aug31 /Aug22
Sep01 /Aug16
Sep07 /Aug24
Oct16 /Sep21
Sep21 /Aug17
Sep21 /Aug24
Sep08 /Aug25
Aug31 /Aug17
Aug24 /Aug17
Aug29 /Aug15
Q
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
Q
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
Aug31 /Aug15
Aug31 /Aug15
Aug31 /Aug15
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Aug31 /Aug11
Aug21 /Aug11
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug25 /Aug11
Aug25 /Aug11
Aug25 /Aug11
Aug25 /Aug11
Aug25 /Aug11
Sep01 /Aug15
Aug31 /Aug18
Aug31 /Aug18
Aug18 /Aug11
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug18 /Aug11
Aug18 /Aug11
Aug18 /Aug11
Aug18 /Aug11
Aug18 /Aug11
Aug18 /Aug11
Aug18 /Aug11
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug18 /Aug11
Aug31 /Aug24
Aug31 /Aug24
Funds and investment companies
Advnt Clymr Enh Grth
AdvntClymr Convertible II
AdvntClymrFd
AllianzGI Conv & Incm
AllianzGI Conv & Incm II
AllianzGI Div Incm
Avenue Incm Cr Strat Fd
CS X-Links Multi-Asset Hi
Cushing Energy Incm Fd
Cushing Renaissance Fund
CushingMLPTotalReturnFd
DE Enhncd Glbl Div Inco
Delaware Grp Div & Income
Delaware Invest Colo
Delaware Invest Minn
Delaware Invest Ntl Muni
Divers Real Asset Incm Fd
DoubleLine Incm Solutions
Doubleline Oppor Credit
Duff & Phelps Sel Energy
Eatn Vnc MI Muni
Eatn Vnc NJ Muni
Eatn Vnc NY Muni
Eatn Vnc OH Muni
Eatn Vnc PA Muni
Eaton CA Trust
Eaton MA Trust
Eaton MI Trust
Eaton NJ
Eaton NY Trust
Eaton OH Trsut
Eaton PA Trust
Eaton Vance BuyWrite Opp
Eaton Vance CA Mun Bd
Eaton Vance Eqty Inco Fd
Eaton Vance Eqty Inco II
Eaton Vance FR Incm Plus
Eaton Vance FR Incm Tr
Eaton Vance Hi Incm 2021
Eaton Vance Mun Bd Fd
Eaton Vance Mun Bd Fd II
LCM
AGC
AVK
NCV
NCZ
ACV
ACP
MLTI
SRF
SZC
SRV
DEX
DDF
VCF
VMM
VFL
DRA
DSL
DBL
DSE
MIW
EMJ
NYH
EIO
EIP
CEV
MMV
EMI
EVJ
EVY
EVO
EVP
ETV
EVM
EOI
EOS
EFF
EFT
EHT
EIM
EIV
9.6
8.9
8.3
10.8
10.7
9.2
9.8
3.0
5.6
9.2
8.7
5.3
4.5
4.6
3.9
4.4
7.1
8.4
8.0
12.1
4.1
4.4
4.4
4.2
4.4
3.7
3.8
3.4
4.5
4.5
3.9
4.1
8.6
4.9
7.5
7.0
5.6
5.5
5.9
4.9
4.5
Net
Sym Close Chg
.21
.047
.1138
.065
.0575
.167
.12
.0729
.04
.1367
.0903
.0525
.04
.06
.0475
.05
.106
.15
.167
.22
.0475
.0491
.0439
.0469
.0486
.0396
.0438
.0391
.0457
.05
.0451
.0421
.1108
.0487
.0864
.0875
.079
.069
.05
.0521
.048
Net
Sym Close Chg
Stock
JanusHenderson JHG 33.53 -0.49
J&J
JNJ 132.16 -0.35
JohnsonControls JCI 39.37 0.62
JonesLangLaSalle JLL 128.38 1.96
JuniperNetworks JNPR 28.22 -0.05
KAR Auction KAR 41.67 -0.32
KB Fin
KB 52.50 -1.10
KKR
KKR 19.35 -0.11
KT
KT 18.41 -0.08
KSCitySouthern KSU 102.11 0.80
Kellogg
K
67.44 -0.02
KeyCorp
KEY 18.07 -0.04
KeysightTechs KEYS 41.69 -0.30
KilroyRealty KRC 69.58 0.59
KimberlyClark KMB 121.36 -0.33
KimcoRealty KIM 20.04 -0.57
KinderMorgan KMI 20.33 -0.02
KinrossGold KGC 4.12
...
Kohl's
KSS 41.09 -0.47
KoninklijkePhil PHG 38.28 -0.14
KoreaElcPwr KEP 19.63 -0.47
Kroger
KR 24.63 0.03
Kyocera
KYO 60.74 -0.11
LATAMAirlines LTM 12.07 0.41
L Brands
LB 44.31 -1.96
LG Display LPL 14.00 0.04
LINE
LN 36.09 -0.76
L3 Tech
LLL 174.97 0.61
LabCpAm LH 159.85 -0.61
LambWeston LW 43.76 -0.09
LasVegasSands LVS 60.54 -0.69
Lazard
LAZ 46.00 -0.64
Lear
LEA 145.46 -0.77
Leggett&Platt LEG 47.62 -0.50
Leidos
LDOS 52.27 -1.05
Lennar A
LEN 53.87 0.49
Lennar B
LEN/B 45.73 0.16
LennoxIntl LII 171.95 0.86
LeucadiaNatl LUK 26.37 0.32
Level3Comm LVLT 59.26 0.31
LibertyProperty LPT 42.39 -0.02
EliLilly
LLY 81.82 -0.55
s LincolnNational LNC 73.30 -0.29
LionsGate A LGF/A 29.33 0.22
LionsGate B LGF/B 27.45 -0.04
LiveNationEnt LYV 37.16 -0.38
LloydsBanking LYG 3.53 0.01
s LockheedMartin LMT 294.70 2.05
s Loews
L
49.12 -0.07
Lowe's
LOW 77.86 0.03
LyondellBasell LYB 88.37 -0.89
M&T Bank MTB 164.92 0.26
MGM Resorts MGM 31.98 -0.43
MPLX
MPLX 36.43 -0.03
MSCI
MSCI 108.65 -1.84
t Macerich
MAC 55.55 -2.36
MacquarieInfr MIC 76.13 -0.02
Macy's
M
23.17 -0.81
MagellanMid MMP 70.14 0.23
MagnaIntl MGA 47.31 0.73
Manpower MAN 105.93 -0.56
ManulifeFin MFC 20.62 0.09
MarathonOil MRO 12.04 0.13
MarathonPetrol MPC 56.20 -0.33
Markel
MKL 1069.80-16.64
Marsh&McLennan MMC 78.64 -0.12
MartinMarietta MLM216.23 4.26
Masco
MAS 38.28 -0.05
Mastercard MA 130.61 1.12
McCormick MKC 95.63 0.38
McCormickVtg MKC/V 94.89 -0.11
McDonalds MCD 156.59 2.55
McKesson MCK 159.61 -1.65
Medtronic MDT 83.20 -0.32
Merck
MRK 63.44 -0.48
MetLife
MET 55.48 -0.23
MettlerToledo MTD 577.00 3.48
MichaelKors KORS 36.35 -0.41
MidAmApt MAA 103.85 -0.03
MitsubishiUFJ MTU 6.45 -0.10
MizuhoFin MFG 3.54 -0.02
MobileTeleSys MBT 8.64 0.01
s Mobileye
MBLY 63.49 0.02
s MohawkIndustries MHK 251.70 -0.37
MolsonCoors B TAP 91.83 2.64
Monsanto MON 117.86 0.25
Moody's
MCO 129.37 -2.22
MorganStanley MS 47.33 0.12
Mosaic
MOS 22.25 -0.64
MotorolaSolutions MSI 90.43 -1.52
NRG Energy NRG 24.47 -0.06
NTTDoCoMo DCM 23.41 -0.10
NVR
NVR 2675.61 29.60
NationalGrid NGG 63.33 0.18
NatlOilwell NOV 32.61 0.73
NatlRetailProp NNN 40.58 -0.62
NewOrientalEduc EDU 77.32 -0.79
NY CmntyBcp NYCB 13.15
...
NewellBrands NWL 52.46 -0.21
NewfieldExpln NFX 26.70 -1.52
NewmontMining NEM 36.87 -0.11
NextEraEnergy NEE 146.74 0.17
NielsenHoldings NLSN 43.25 0.29
Nike
NKE 59.79 -0.05
s NiSource
NI
26.67 0.43
NobleEnergy NBL 28.14 -0.28
Nokia
NOK 6.52 -0.02
NomuraHoldings NMR 5.90 -0.09
Nordstrom JWN 46.49 -2.45
NorfolkSouthern NSC 112.48 -0.49
s NorthropGrumman NOC 266.83 2.19
Novartis
NVS 85.27 -0.07
NovoNordisk NVO 42.30 -0.01
Nucor
NUE 56.88 -0.27
NuSTAREnergy NS 43.80 0.41
OGE Energy OGE 35.74 -0.16
ONEOK
OKE 55.36 -1.37
OccidentalPetrol OXY 61.37 -0.16
Och-Ziff
OZM 2.97 -0.14
OmegaHealthcare OHI 31.08 -0.10
Omnicom OMC 78.82 -0.33
Oracle
ORCL 49.77 -0.39
Orange
ORAN 16.97 0.13
OrbitalATK OA 103.60 0.62
Orix
IX
82.93 0.68
OwensCorning OC 67.39 -0.14
PG&E
PCG 68.39 0.17
PLDT
PHI 32.39 -0.71
PNC Fin
PNC 130.68 0.27
POSCO
PKX 73.78 -0.66
PPG Ind
PPG 106.21 1.10
PPL
PPL 38.96 0.35
s PVH
PVH 119.73 -0.28
PackagingCpAm PKG 110.23 0.18
PaloAltoNtwks PANW 131.35 -1.73
ParkHotels PK 26.63 -0.44
ParkerHannifin PH 164.30 -0.22
ParsleyEnergy PE 27.39 -1.85
Pearson
PSO 8.62 -0.03
PembinaPipeline PBA 33.86 -0.36
Pentair
PNR 62.66 0.20
PepsiCo
PEP 115.61 -0.31
PerkinElmer PKI 66.72 0.50
Perrigo
PRGO 72.13 -2.07
PetroChina PTR 64.67 -0.23
PetroleoBrasil PBR 9.01 0.27
PetroleoBrasilA PBR/A 8.66 0.27
Pfizer
PFE 32.92 0.16
PhilipMorris PM 114.46 -1.42
Phillips66 PSX 86.67 1.04
Symbol
Eaton Vance Mun Incm 2028
Eaton Vance Mun Income
Eaton Vance Sr Incm Tr
Eaton Vance Tax-Mng Div
Eaton Vance Tax-Mngd Opp
Eaton Vnce NY
Eaton Vnce CA2
Eaton Vnce Ins MA
EatonVance TxAdv Opport
EatonVnc SrFltRate
Etn Vnc Short Dur Fd
Etn Vnc Tax Mgd Buy-Write
EtnVnc TaxAdvDiv
EtnVncLtdFd
EtnVncRskMngd
EtnVncTxAdvGblDiv
EtnVncTxMngGlDvEqInc
EV National Municipal Opp
Fiduciary/Clymr Opp Fd
Guggenheim Credit All Fd
Guggenheim Strat Opps Fd
Guggenheim Taxable Muni
HnckJohn TxAdv
Hull Tactical US ETF
Invesco Adv Mun Incm II
Invesco Bond Fund
Invesco CA Value Mun Incm
Invesco Credit Opps Fund
Invesco High Incm 2023
Invesco High Income Tr II
Invesco Inv Grade Muni
Invesco Inv Grade NY Muni
Invesco Mun Incm Opps Tr
Invesco Mun Opportunity
Invesco Municipal Trust
Invesco PA Value Mun Incm
Invesco Qlty Mun Inco
Invesco Senior Income Tr
Invesco Value Mun Incm Tr
iSh 7-10Y Treasury Bond
iSh Conservative Allocat
iSh Core Total USD Bd Mkt
iSh Int Rate Hdgd Corp Bd
iSh Int Rate Hi Yield Bd
iSh Interest Rate Hdg 10+
iSh Interest Rate Hdg EM
iSh Intermediate Cred Bd
iSh Short Treasury Bd
iSh U.S. Credit Bd
iSh Yield Optimized Bd
iShares 1-3Y Credit Bond
iShares 1-3Y Treasury Bd
iShares 3-7Y Treasury Bd
iShares Core 1-5Y USD Bd
iShares Curr Hdgd Intl HY
iShares JPM USD Emg Bd
iShares MBS ETF
iShares US Preferred
iShrs Mrnngstr Multi Asst
JHancock Pr Div
ETX
EVN
EVF
ETY
ETW
ENX
EIA
MAB
ETO
EFR
EVG
ETB
EVT
EVV
ETJ
ETG
EXG
EOT
FMO
GGM
GOF
GBAB
HTD
HTUS
VKI
VBF
VCV
VTA
IHIT
VLT
VGM
VTN
OIA
VMO
VKQ
VPV
IQI
VVR
IIM
IEF
AOK
IUSB
LQDH
HYGH
CLYH
EMBH
CIU
SHV
CRED
BYLD
CSJ
SHY
IEI
ISTB
HHYX
EMB
MBB
PFF
IYLD
PDT
Net
Sym Close Chg
Stock
PinnacleFoods PF 59.67 0.52
PinnacleWest PNW 87.24 0.11
t PioneerNatRscs PXD 145.68-17.59
PlainsAllAmPipe PAA 26.29 -0.03
PlainsGP
PAGP 26.70 -0.47
PolarisIndustries PII 90.88 0.53
PostHoldings POST 83.75 0.69
Potash
POT 17.79 0.07
Praxair
PX 130.60 -0.11
PrincipalFin PFG 66.66 -0.06
Procter&Gamble PG 91.04 -0.06
s Progressive PGR 47.22 -0.04
Prologis
PLD 61.20 -0.14
s PrudentialFin PRU 115.23 0.83
Prudential PUK 48.84 -0.62
PublicServiceEnt PEG 45.33 0.07
PublicStorage PSA 202.22 -0.61
s PulteGroup PHM 25.20 0.31
QuestDiag DGX 107.97 -0.37
QuintilesIMS Q
91.62 0.33
RELX
RENX 21.01
...
RELX
RELX 22.03 -0.05
RPM
RPM 51.80 -0.28
RalphLauren RL 75.51 -0.22
RaymondJames RJF 82.80 -0.64
Raytheon RTN 173.79 2.32
RealtyIncome O
57.10 -0.64
RedHat
RHT 98.35 -1.67
RegencyCtrs REG 66.10 -1.20
RegionsFin RF 14.83 0.14
s ReinsuranceGrp RGA 141.19 0.29
RenaissanceRe RNR 148.44 0.19
RepublicServices RSG 64.56 -0.02
ResMed
RMD 72.51 -4.97
RestaurantBrands QSR 59.69 0.44
RiceEnergy RICE 28.52 0.48
RioTinto
RIO 46.01 -1.12
RobertHalf RHI 44.51 -0.61
Rockwell
ROK 165.22 1.65
RockwellCollins COL 112.36 1.04
RogersComm B RCI 51.52 -0.54
Rollins
ROL 43.49 0.03
RoperTech ROP 235.76 -0.71
RoyalBkCanada RY 74.89 0.34
RoyalBkScotland RBS 6.73
...
RoyalCaribbean RCL 117.39 0.52
s RoyalDutchA RDS/A 57.38 0.58
RoyalDutchB RDS/B 58.85 0.67
SAP
SAP 106.34 -0.72
S&P Global SPGI 152.02 -2.61
SINOPECShanghai SHI 57.65 0.74
s SK Telecom SKM 27.88 0.24
SLGreenRealty SLG 102.84 -1.22
Salesforce.com CRM 89.89 -1.33
Sanofi
SNY 47.48 0.44
Sasol
SSL 29.94 -0.02
Scana
SCG 67.15 -0.41
Schlumberger SLB 69.13 0.12
SchwabC
SCHW 43.02 -0.11
ScottsMiracleGro SMG 95.68 1.93
SealedAir SEE 43.56 0.02
SempraEnergy SRE 115.04 0.55
SensataTech ST 45.47 0.05
ServiceCorp SCI 34.74 -0.14
s ServiceMaster SERV 44.20 0.21
ServiceNow NOW 107.17 -3.58
ShawComm B SJR 22.19 0.04
SherwinWilliams SHW 337.07 -0.02
ShinhanFin SHG 47.54 -0.68
Shopify
SHOP 98.35 -5.73
SimonProperty SPG 161.37 -3.21
SmithAO
AOS 54.43 0.69
Smith&Nephew SNN 35.39 0.16
Smucker
SJM 120.81 0.07
t Snap
SNAP 12.65 -0.45
SnapOn
SNA 152.99 0.03
SOQUIMICH SQM 41.37 0.28
Sony
SNE 39.81 -0.90
Southern
SO 49.78 1.25
SoCopper SCCO 39.39 -0.13
SouthwestAirlines LUV 55.70 -0.02
SpectraEnerPtrs SEP 45.54 0.42
SpectrumBrands SPB 112.99 -1.51
s SpiritAeroSys SPR 71.72 10.71
Sprint
S
8.79 -0.08
Square
SQ 26.46 -0.35
StanleyBlackDck SWK 141.62 2.15
StarwoodProp STWD 21.91 -0.14
StateStreet STT 94.22 0.62
Statoil
STO 19.02 0.39
Steris
STE 82.27 -0.43
STMicroelec STM 17.16 0.24
Stryker
SYK 145.14 -2.73
SumitomoMits SMFG 7.83 -0.06
SunCommunities SUI 88.94 0.04
SunLifeFinancial SLF 38.35 -0.11
SuncorEnergy SU 32.77 0.56
SunTrustBanks STI 57.64 -0.05
SynchronyFin SYF 30.06 0.18
Syngenta SYT 92.18 0.01
Sysco
SYY 52.68 0.10
TAL Education TAL 156.16 1.01
TE Connectivity TEL 80.64 0.79
Telus
TU 36.54 0.09
s Ternium
TX 30.23 -0.25
s TIM Part
TSU 17.51 0.32
TJX
TJX 70.51 -0.21
TaiwanSemi TSM 36.07 0.23
TargaResources TRGP 46.00 -0.22
Target
TGT 56.80 -0.06
TataMotors TTM 34.74 -0.13
TechnipFMC FTI 27.87 -0.38
TeckRscsB TECK 21.98 0.41
s TelecomItalia TI
10.45 0.10
s TelecomItalia A TI/A 8.28 0.10
Teleflex
TFX 203.01 -1.41
TelefonicaBras VIV 15.09 0.08
Telefonica TEF 11.32 -0.07
TelekmIndonesia TLK 35.64 -0.25
Tenaris
TS 30.52 -0.22
Teradyne
TER 33.32 -1.18
TevaPharm TEVA 31.25 -0.61
Textron
TXT 49.36 -0.03
ThermoFisherSci TMO 176.44 0.97
ThomsonReuters TRI 47.52 -0.44
ThorIndustries THO 103.80 -1.88
3M
MMM 205.41 2.23
Tiffany
TIF 92.44 -3.42
TimeWarner TWX 102.52 0.10
Toll Bros
TOL 39.43 -0.01
Torchmark TMK 78.93 -0.19
Toro
TTC 71.61 -0.41
TorontoDomBk TD 51.32 0.12
Total
TOT 51.59 0.37
TotalSystem TSS 63.69 -0.31
ToyotaMotor TM 114.19 0.02
TransCanada TRP 51.45 0.23
TransDigm TDG 282.45 -0.63
TransUnion TRU 46.00 0.05
s Travelers
TRV 128.73 -0.48
TurkcellIletism TKC 8.90
...
TurquoiseHill TRQ 3.28 0.02
Twitter
TWTR 16.07 -0.14
TylerTech
TYL 170.27 -2.02
TysonFoods TSN 63.63 0.73
UBS Group UBS 17.49 -0.09
UDR
UDR 39.03 -0.07
UGI
UGI 50.76 -0.17
US Foods USFD 28.39 0.18
s UltraparPart UGP 22.77 -1.13
Amount
Yld % New/Old Frq
4.1
5.0
5.4
8.8
9.2
4.8
4.4
3.7
8.9
5.7
6.4
7.8
7.9
6.8
9.6
7.1
9.7
4.6
12.1
9.3
10.3
6.6
6.5
5.6
4.1
5.0
7.1
5.9
6.7
5.6
4.9
5.2
5.4
5.5
5.0
5.1
5.4
4.8
1.9
1.6
2.8
2.4
5.0
3.1
4.0
2.5
0.7
3.0
3.3
1.6
1.0
1.6
2.2
1.2
4.7
2.4
5.4
2.9
6.9
.0709
.0541
.03
.0843
.091
.0515
.0442
.0434
.18
.071
.0765
.108
.145
.0806
.076
.1025
.076
.0859
.4308
.1813
.1821
.12573
.138
.2457
.0547
.069
.0535
.071
.05
.084
.0636
.0571
.0344
.0599
.0591
.0521
.0546
.0205
.062
.16526
.046
.11907
.19475
.37921
.06686
.08689
.23183
.0671
.28416
.06918
.14471
.07088
.16079
.09016
.02765
.45364
.21082
.17675
.06213
.0975
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
Q
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
Payable /
Record
Aug31 /Aug24
Aug18 /Aug11
Aug18 /Aug11
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug18 /Aug11
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug24
Aug31 /Aug15
Aug31 /Aug15
Aug31 /Aug15
Aug31 /Aug15
Aug31 /Aug11
Aug08 /Aug04
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug07 /Aug03
Aug08 /Aug04
Aug07 /Aug03
Aug08 /Aug04
Aug08 /Aug04
Aug08 /Aug04
Aug08 /Aug04
Aug07 /Aug03
Aug07 /Aug03
Aug07 /Aug03
Aug08 /Aug04
Aug07 /Aug03
Aug07 /Aug03
Aug07 /Aug03
Aug07 /Aug03
Aug08 /Aug04
Aug07 /Aug03
Aug07 /Aug03
Aug07 /Aug03
Aug08 /Aug04
Aug31 /Aug11
Stock
Net
Sym Close Chg
t UnderArmour A UAA 18.56
t UnderArmour C UA 16.47
Unilever
UN 57.94
Unilever
UL 56.61
UnionPacific UNP 102.33
UnitedContinental UAL 67.44
UnitedMicro UMC 2.23
UPS B
UPS 111.26
UnitedRentals URI 115.03
US Bancorp USB 52.99
US Steel
X
22.81
UnitedTech UTX 120.35
s UnitedHealth UNH 193.00
UniversalHealthB UHS 108.64
UnumGroup UNM 50.23
VEREIT
VER 8.36
VF
VFC 62.75
s Visa
V
101.28
VailResorts MTN 210.85
Vale
VALE 9.90
ValeantPharm VRX 16.42
ValeroEnergy VLO 68.50
Vantiv
VNTV 63.98
VarianMed VAR 98.21
s Vedanta
VEDL 17.83
VeevaSystems VEEV 61.98
Ventas
VTR 66.02
Verizon
VZ 48.21
Vipshop
VIPS 11.93
VistraEnergy VST 16.52
VMware
VMW 92.11
VornadoRealty VNO 78.76
VoyaFinancial VOYA 40.59
VulcanMaterials VMC123.12
WABCO
WBC 137.83
WEC Energy WEC 63.64
W.P.Carey WPC 67.94
Wabtec
WAB 73.63
s Wal-Mart WMT 80.53
WasteConnections WCN 65.35
WasteMgt WM 75.25
Waters
WAT 176.69
Wayfair
W 73.83
WellCareHealth WCG 179.30
WellsFargo WFC 53.62
Welltower HCN 72.43
WestPharmSvcs WST 87.37
WestarEnergy WR 51.11
WesternGasEquity WGP 42.25
WesternGasPtrs WES 52.75
WesternUnion WU 19.49
s WestlakeChem WLK 71.33
WestpacBanking WBK 25.52
WestRock WRK 57.65
Weyerhaeuser WY 32.37
WheatonPrecMetals WPM 19.99
Whirlpool WHR 176.58
Williams
WMB 31.64
WilliamsPartners WPZ 39.90
Wipro
WIT 6.34
WooriBank WF 51.22
Workday
WDAY 100.08
Wyndham WYN 103.00
XPO Logistics XPO 58.96
XcelEnergy XEL 47.71
0.26
0.24
0.24
0.20
0.35
-0.42
...
1.09
-1.53
0.04
0.09
1.47
0.77
-2.54
-0.09
-0.10
0.23
0.41
-1.07
0.01
-0.33
-0.32
0.43
0.31
0.08
-2.62
0.02
-0.68
-0.32
-0.09
-0.59
-0.75
0.89
3.92
0.65
0.53
-0.90
-0.21
0.03
-0.09
0.03
0.95
-1.95
1.28
-0.07
0.11
-0.43
0.03
-0.01
0.65
-0.24
0.92
-0.17
-0.12
-0.85
-0.18
0.10
-0.08
-0.14
-0.03
-0.63
-3.43
-2.31
0.09
0.14
Net
Sym Close Chg
Stock
Xerox
XRX 32.55
s Xylem
XYL 59.92
YPF
YPF 20.65
s YumBrands YUM 76.62
YumChina YUMC 36.83
ZTO Express ZTO 14.25
ZayoGroup ZAYO 32.58
ZimmerBiomet ZBH 117.69
Zoetis
ZTS 61.54
0.09
0.62
0.67
1.09
0.34
-0.35
-0.03
-2.63
-0.73
NASDAQ
AGNC Invt AGNC 21.15
Ansys
ANSS 127.48
ASML
ASML 151.02
Abiomed
ABMD 146.44
ActivisionBliz ATVI 61.45
AdobeSystems ADBE 147.13
AkamaiTech AKAM 47.51
AlexionPharm ALXN 137.97
AlignTech ALGN 167.99
Alkermes ALKS 54.04
AlnylamPharm ALNY 83.55
Alphabet A GOOGL 947.64
Alphabet C GOOG 930.39
Altaba
AABA 57.66
Amazon.com AMZN 995.89
s Amdocs
DOX 67.14
s Amerco
UHAL 394.46
AmericanAirlines AAL 50.45
Amgen
AMGN 174.46
AnalogDevices ADI 78.82
s Apple
AAPL157.14
AppliedMaterials AMAT 42.73
ArchCapital ACGL 97.88
AthenaHealth ATHN 145.40
Atlassian
TEAM 34.50
Autodesk ADSK 109.13
ADP
ADP 115.25
BOK Fin
BOKF 85.98
Baidu
BIDU 221.96
BankofOzarks OZRK 44.48
Biogen
BIIB 288.00
BioMarinPharm BMRN 87.64
Bioverativ BIVV 61.23
Broadcom AVGO 253.36
CA
CA 30.85
CBOE Holdings CBOE 94.79
CDK Global CDK 62.00
CDW
CDW 63.82
CH Robinson CHRW 65.61
CME Group CME 124.16
CSX
CSX 48.14
CadenceDesign CDNS 36.05
s Carlyle
CG 21.85
Celgene
CELG 134.85
Cerner
CERN 64.08
CharterComms CHTR 385.54
CheckPointSftw CHKP 105.34
ChinaLodging HTHT 97.71
CincinnatiFin CINF 77.20
Cintas
CTAS 135.00
CiscoSystems CSCO 31.52
CitrixSystems CTXS 79.11
Cognex
CGNX101.61
CognizantTech CTSH 68.52
-0.05
-2.75
0.10
-0.34
-0.95
-0.23
-0.02
0.18
-1.44
-0.41
2.40
1.08
-0.44
-0.84
-0.30
-0.41
-1.84
-0.61
0.33
-0.13
7.09
-1.37
0.29
-0.61
-1.79
-2.25
-1.53
0.60
-3.64
0.77
-3.15
-0.38
0.34
4.97
-0.37
-0.42
-2.02
-0.15
0.63
0.37
-0.46
-0.67
1.15
-0.33
-0.73
-1.88
-1.65
-2.64
0.71
-0.52
-0.13
-0.50
-3.67
-0.99
Stock
Net
Sym Close Chg
Net
Sym Close Chg
Stock
Coherent
COHR 212.42-58.58 LKQ
LKQ 34.15 -0.11 RegenPharm REGN 476.82 4.82
Comcast A CMCSA 40.01 -0.33 LamResearch LRCX 151.55 -5.91 RossStores ROST 55.65 0.05
CommerceBcshrs CBSH 58.38 -0.29 LamarAdvertising LAMR 68.44 -2.67 s RoyalGold RGLD 86.70 -0.54
RYAAY 115.75 1.01
CommScope COMM 37.16 0.16 LibertyBroadbandA LBRDA 98.71 -0.44 s Ryanair
Copart
CPRT 31.24 -0.41 LibertyBroadbandC LBRDK 99.55 -0.33 SBA Comm SBAC 138.00 0.57
CoStarGroup CSGP 273.57 -1.68 LibertyGlobal A LBTYA 34.37 -0.03 SEI Investments SEIC 56.20 -0.39
SINA 93.97 -1.93
Costco
COST 161.28 1.56 LibertyGlobal C LBTYK 33.05 -0.20 Sina
Ctrip.com CTRP 58.01 -1.51 LibertyLiLAC A LILA 26.03 0.21 SS&C Tech SSNC 38.55 -0.14
SIVB 183.33 -0.06
DISH Network DISH 64.00 -1.49 LibertyLiLAC C LILAK 25.70 0.10 SVB Fin
SABR 20.16 0.35
DentsplySirona XRAY 61.16 -0.36 LibertyQVC B QVCB 23.88 -0.08 Sabre
DexCom
DXCM 71.30 4.46 LibertyQVC A QVCA 23.86 -0.48 ScrippsNetworks SNI 87.97 0.40
STX 33.42 0.05
DiamondbackEner FANG 95.84 0.49 LibertyVenturesA LVNTA 59.86 -0.33 Seagate
DiscoveryComm A DISCA 25.01 0.63 LibertyFormOne A FWONA 34.05 0.05 SeattleGenetics SGEN 48.50 -0.72
SHPG 167.10 -0.10
DiscoveryComm C DISCK 23.79 0.81 LibertyFormOne C FWONK 35.42 0.18 Shire
DollarTree DLTR 72.97 -0.04 LibertyBraves A BATRA 24.97 -0.54 SignatureBank SBNY 138.15 -0.98
SiriusXM
SIRI
5.68 -0.11
E*TRADE ETFC 41.09 -0.07 LibertyBraves C BATRK 25.03 -0.47
EastWestBancorp EWBC 57.26 -0.73 LibertySirius A LSXMA 44.83 -0.81 Skyworks SWKS 104.43 0.15
SPLK 58.57 -1.62
eBay
EBAY 35.90 -0.01 LibertySirius C LSXMK 44.60 -0.87 Splunk
SPLS 10.15 -0.04
EchoStar
SATS 60.89 -0.16 LincolnElectric LECO 87.56 0.78 Staples
ElectronicArts EA 116.83 -0.09 LogitechIntl LOGI 36.19 0.13 Starbucks SBUX 55.43 0.70
s Equinix
LOGM 114.00 -2.80 SteelDynamics STLD 34.81 -0.05
EQIX 455.47 2.39 LogMeIn
Ericsson
ERIC 6.33 -0.01 lululemon LULU 61.23 -0.38 Stericycle SRCL 76.02 -1.04
s ErieIndemnity A ERIE 126.97 -1.45 MarketAxess MKTX 205.57 1.35 Symantec SYMC 30.91 -0.28
MAR 103.49 -1.64 Synopsys SNPS 76.04 -0.73
Exelixis
EXEL 26.63 0.16 Marriott
Expedia
EXPE 153.13 0.44 MarvellTech MRVL 15.68 -0.09 TD Ameritrade AMTD 45.23 -0.18
TSRO 124.41 0.90
ExpeditorsIntl EXPD 59.14 0.35 Mattel
MAT 19.62 -0.10 TESARO
ExpressScripts ESRX 61.98 -0.38 MaximIntProducts MXIM 45.55 -0.12 T-MobileUS TMUS 63.63 0.56
F5Networks FFIV 119.08 -2.07 MelcoResorts MLCO 19.91 -0.28 TRowePrice TROW 82.61 -0.54
Facebook
FB 169.30 -0.56 MercadoLibre MELI 286.60 -2.28 TakeTwoSoftware TTWO 79.39 -0.54
TSLA 325.89 6.32
Fastenal
FAST 42.98 -0.01 MicrochipTech MCHP 79.82 -0.51 Tesla
FifthThirdBncp FITB 26.96 0.04 MicronTech MU 28.63 0.29 TexasInstruments TXN 81.31 -0.40
TractorSupply
TSCO 55.68 -0.51
Fiserv
FISV123.97 -5.30 Microsemi MSCC 52.04 -1.51
TRMB 37.58 0.08
Flex
FLEX 16.16 -0.13 Microsoft MSFT 72.26 -0.32 Trimble
Fortinet
FTNT 36.37 -0.43 Middleby
MIDD 131.01 -0.73 21stCenturyFoxA FOXA 28.69 -0.54
Gaming&Leisure GLPI 37.84 -0.28 s Momo
MOMO 43.90 -1.14 21stCenturyFoxB FOX 28.28 -0.64
Garmin
GRMN 52.22 2.23 Mondelez MDLZ 44.10 0.48 UltaBeauty ULTA 247.97 -7.30
GileadSciences GILD 75.84 0.14 MonsterBeverage MNST 53.04 -0.08 UltimateSoftware ULTI 200.01-26.99
MYL 36.92 -1.67 UnitedTherap UTHR 127.92 -0.10
Goodyear
GT 31.43 -0.05 Mylan
Grifols
GRFS 20.78 -0.06 s NXP Semi NXPI 110.88 -0.22 UniversalDisplay OLED 120.05 -0.30
WOOF 92.55 -0.02
NDAQ 74.67 -0.11 VCA
HD Supply HDS 31.48 -0.56 Nasdaq
VEON 4.07 0.01
NTAP 43.41 -0.14 VEON
Hasbro
HAS 104.77 -1.18 NetApp
VRSN 99.41 0.04
NTES 299.33 -9.07 VeriSign
HenrySchein HSIC 179.30 -1.97 Netease
NFLX 180.74 -1.29 VeriskAnalytics VRSK 83.84 -3.33
Hologic
HOLX 43.67 -0.33 Netflix
JBHunt
JBHT 89.64 0.13 NewsCorp A NWSA 14.27 -0.16 VertxPharm VRTX 157.55 4.35
HuntingtonBcshs HBAN 13.32
... NewsCorp B NWS 14.75 -0.10 Viacom A VIA 39.80 -1.45
NDSN 127.95 1.12 Viacom B VIAB 34.09 -1.44
IAC/InterActive IAC 104.44 0.14 Nordson
VOD 29.67 0.03
... Vodafone
IdexxLab
IDXX 151.21 -3.47 NorthernTrust NTRS 88.11
WPPGY 102.59 0.90
IHSMarkit INFO 46.99 -0.19 NorwegianCruise NCLH 55.84 -1.07 WPP
s IPG Photonics IPGP 162.17 -4.22 NVIDIA
NVDA 164.39 -0.10 WalgreensBoots WBA 81.03 -0.10
WB 76.14 -1.51
IcahnEnterprises IEP 51.65 -1.25 OReillyAuto ORLY 209.66 1.50 Weibo
Icon
ICLR 106.32 0.23 OldDomFreight ODFL 94.28 -0.16 WesternDigital WDC 84.37 -1.30
s Illumina
ON 14.80 -0.25 WholeFoods WFM 41.81 -0.04
ILMN 197.85 25.55 ON Semi
Incyte
INCY 125.71 -3.05 OpenText OTEX 33.46 -0.34 WillisTwrsWatson WLTW 148.87 -0.75
PTC 54.44 -1.04 WynnResorts WYNN 125.95 -2.05
Intel
INTC 36.64 0.29 PTC
XLNX 62.25 -1.31
s InteractiveBrkrs IBKR 40.35 -0.04 Paccar
PCAR 67.44 0.40 Xilinx
YNDX 28.36 -0.62
Intuit
INTU 136.53 -0.90 PacWestBancorp PACW 48.14 -0.10 Yandex
Zillow
A
ZG
45.75 0.08
PAYX 56.58 -0.24
IntuitiveSurgical ISRG 932.97 -8.00 Paychex
Z
45.46 -0.01
PYPL 59.12 -0.22 Zillow C
IonisPharma IONS 50.78 -0.16 PayPal
JD.com
JD 45.25 -0.30 People'sUtdFin PBCT 17.50 -0.02 ZionsBancorp ZION 45.72 0.34
JackHenry JKHY 105.69 -1.69 PilgrimPride PPC 24.62 0.45
PCLN 2021.37 -3.22
JazzPharma JAZZ 150.41 -0.56 Priceline
QGEN 32.91 -0.03 CheniereEnergy LNG 45.04 -0.28
JetBlue
JBLU 22.13 0.15 Qiagen
QRVO 66.86 -1.21 CheniereEnerPtrs CQP 29.77 0.38
KLA Tencor KLAC 90.01 -2.62 Qorvo
KitePharma KITE 109.42 1.44 Qualcomm QCOM 53.17 -0.24 CheniereEnHldgs CQH 26.58 0.14
KraftHeinz KHC 86.87 0.20 RandgoldRscs GOLD 92.66 -0.46 ImperialOil IMO 29.25 0.68
NYSE AMER
Mutual Funds | WSJ.com/fundresearch
Net YTD
NAV Chg %Ret Fund
Fund
IntGrowY
Explanatory Notes
Data provided by
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.
Fund
American Century Inv
41.97 +0.16
Ultra
American Funds Cl A
30.02 -0.05
AmcpA p
AMutlA p 39.72 +0.03
26.71
...
BalA p
12.98 -0.01
BondA p
62.35 +0.04
CapIBA p
CapWGrA 50.64 +0.02
54.49 +0.09
EupacA p
60.68 +0.03
FdInvA p
48.88
...
GwthA p
10.51
...
HI TrA p
39.63 -0.01
ICAA p
22.91 -0.01
IncoA p
42.78 +0.07
N PerA p
43.51 -0.04
NEcoA p
NwWrldA 62.74 +0.16
53.56 -0.11
SmCpA p
12.99
...
TxExA p
43.48 -0.01
WshA p
Baird Funds
...
AggBdInst 10.92
...
CorBdInst 11.27
BlackRock Funds A
GlblAlloc p 19.99 +0.01
BlackRock Funds Inst
22.28 +0.03
EqtyDivd
20.10 +0.01
GlblAlloc
7.86
...
HiYldBd
...
StratIncOpptyIns 9.95
Del Invest Instl
20.39 -0.03
Value
Dimensional Fds
...
5GlbFxdInc 11.01
EmgMktVa 29.68 +0.08
EmMktCorEq 21.66 +0.06
IntlCoreEq 13.70 +0.01
19.16 +0.01
IntlVal
20.73 +0.03
IntSmCo
22.64 +0.02
IntSmVa
US CoreEq1 21.00 -0.04
US CoreEq2 19.96 -0.05
34.29 -0.38
US Small
US SmCpVal 36.57 -0.35
US TgdVal 23.85 -0.21
37.51 -0.01
USLgVa
Dodge & Cox
Balanced 107.55 -0.11
13.86
...
Income
45.64 +0.02
Intl Stk
196.24 -0.28
Stock
DoubleLine Funds
TotRetBdI
NA
...
Company
Wednesday, August 2, 2017
Net YTD
Net YTD
NAV Chg %Ret Fund
NAV Chg %Ret Fund
NA
... NA
TotRetBdN
20.3 Edgewood Growth Instituti
EdgewoodGrInst 28.74 +0.12 29.4
11.9 Federated Instl
8.9 StraValDivIS 6.32
... 9.3
8.9 Fidelity
3.1 500IdxInst 86.74 +0.06 11.9
10.0 500IdxInstPrem 86.74 +0.06 11.9
16.9 500IdxPrem 86.74 +0.06 11.9
23.3 ExtMktIdxPrem r 59.25 -0.44 8.0
13.3 IntlIdxPrem r 41.85 +0.01 18.6
16.3 TMktIdxF r 71.45 -0.06 11.2
5.7 TMktIdxPrem 71.44 -0.06 11.2
10.2 USBdIdxInstPrem 11.65 -0.01 2.9
7.3 Fidelity Advisor I
21.1 NwInsghtI 31.46 -0.04 17.8
21.0 Fidelity Freedom
21.9 FF2020
16.27 -0.01 10.3
16.5 FF2025
14.05 -0.01 11.0
3.8 FF2030
17.51 -0.01 12.8
9.8 FreedomK2020 15.14
... 10.3
FreedomK2025 15.96 -0.01 11.0
3.5 FreedomK2030 16.50
... 12.9
3.8 FreedomK2035 17.33
... 14.1
FreedomK2040 17.36 -0.01 14.2
10.0 Fidelity Invest
24.16 -0.02 10.6
Balanc
8.6 BluCh
83.59 +0.18 24.1
10.1 Contra
118.68 -0.05 21.3
6.4 ContraK
118.66 -0.05 21.4
3.2 CpInc r
10.18 -0.02 8.4
40.21 +0.02 20.8
DivIntl
4.5 GroCo
169.61 +0.03 24.0
GrowCoK 169.53 +0.03 24.1
2.1 InvGB
7.94 -0.01 3.1
24.2 InvGrBd
11.31 -0.01 3.4
25.5 LowP r
54.47 -0.01 10.1
19.1 LowPriStkK r 54.44 -0.02 10.1
16.4 MagIn
99.12 +0.31 14.9
20.8 OTC
106.24 +0.13 27.5
19.3 Puritn
22.73 +0.03 11.3
9.8 SrsEmrgMktF 20.18 +0.06 28.2
8.0 SrsInvGrdF 11.32
... 3.5
1.8 TotalBond 10.72
... 3.5
-2.0 Fidelity Selects
-0.2 Biotech r
214.56 +0.40 23.3
7.9 First Eagle Funds
58.92 -0.02 8.6
GlbA
6.7 FPA Funds
3.5 FPACres
34.39 -0.07 6.7
19.8 FrankTemp/Frank Adv
8.8 IncomeAdv
2.34
... 5.8
FrankTemp/Franklin A
NA CA TF A p
7.48
... 5.0
Symbol
John Hancock Pfd II
John Hancock Pfd Inc III
John Hancock Pfd Income
Mangd Durtn InvGr Mun Fd
MFS California Muni Fund
MFS Charter
MFS Govt Mkts Income Tr
MFS Hi Inc Muni
MFS Hi Yld Muni
MFS Inc Tr
MFS Intermed Hi Inc
MFS Invest Grade Muni
MFS Multimkt
MFS Munl Inco
MFS Special Value
NewAmFd
NexPoint Credit Strat Fd
Nuv Float Rte Opp Fd
Nuv Inter Duration Qlty
Nuveen AMT-Free Mun
Nuveen AMT-Free Mun Value
Nuveen AMT-Free Quality
Nuveen AZ Quality Muni
Nuveen Build Am Bd Fd
Nuveen Build Am Bd Opp Fd
Nuveen CA AMT-Free Qual
Nuveen CA Mun Value Fd 2
Nuveen CA Muni Value
Nuveen CA Quality Muni
Nuveen Credit Opps 2022
Nuveen Credit Strt Inc Fd
Nuveen CT Qual Muni
Nuveen Enhncd Mun Val Fd
Nuveen GA Qual Muni
Nuveen Gl Hi Incm Fd
Nuveen Hi Incm 2020
Nuveen Hi Incm Nov 2021
Nuveen High Incm Dec18
Nuveen High Incm Dec19
Nuveen Ins CA
Nuveen Insured NY Select
Nuveen Intermed Dur Mun
Nuveen MA Qual Muni
Nuveen MD Qual Muni
Nuveen MI Qual Muni
Nuveen MN Qual Muni
Nuveen MO Qual Muni
Nuveen Mtg Opp Term Fd
Nuveen Mtg Opp Term Fd 2
Nuveen Multi-Market Incm
Nuveen Mun Credit Incm Fd
Nuveen Muni 2021 Target
Nuveen Muni Income Fund
Nuveen Muni Value Fund
Nuveen NC Qual Muni
Nuveen NJ Munl Value Fund
Nuveen NJ Qual Muni
Nuveen NY AMT-Free
Nuveen NY Mun Value 2
Nuveen NY Muni Value Fund
HPF
HPS
HPI
MZF
CCA
MCR
MGF
CXE
CMU
MIN
CIF
CXH
MMT
MFM
MFV
HYB
NHF
JRO
NIQ
NVG
NUW
NEA
NAZ
NBB
NBD
NKX
NCB
NCA
NAC
JCO
JQC
NTC
NEV
NKG
JGH
JHY
JHB
JHA
JHD
NXC
NXN
NID
NMT
NMY
NUM
NMS
NOM
JLS
JMT
JMM
NZF
NHA
NMI
NUV
NNC
NJV
NXJ
NRK
NYV
NNY
Amount
Yld % New/Old Frq
7.5
7.6
7.5
3.9
4.4
8.6
7.6
5.6
5.6
8.9
9.3
4.7
8.6
5.4
9.3
7.4
10.9
7.1
3.7
5.6
4.1
5.3
4.4
5.8
5.2
4.9
4.2
3.9
5.1
5.6
7.3
4.7
5.6
4.3
8.4
5.8
5.9
4.8
5.9
3.7
3.9
4.7
4.4
4.8
4.6
4.8
4.3
5.3
5.5
5.7
5.8
2.3
4.1
3.9
3.9
3.8
5.0
4.8
3.8
3.6
.14
.1222
.14
.045
.0445
.06249
.03148
.025
.0225
.03225
.02255
.0395
.04475
.033
.05039
.06
.20
.0705
.0415
.0725
.06
.062
.054
.103
.0955
.0655
.063
.034
.0655
.047
.0525
.0485
.068
.047
.12
.049
.05
.04
.0505
.0495
.046
.053
.0545
.0525
.0535
.0635
.056
.1135
.1125
.036
.074
.019
.0405
.0325
.044
.0475
.058
.0535
.05
.0315
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
Net
Sym Close Chg
Stock
Net YTD
NAV Chg %Ret
... 3.1
Fed TF A p 12.03
2.36
... 5.7
IncomeA p
RisDv A p 57.25 -0.03 9.4
FrankTemp/Franklin C
2.39
...
FrankTemp/Temp A
GlBond A p 12.16 +0.03
Growth A p 26.79 -0.04
FrankTemp/Temp Adv
GlBondAdv p 12.11 +0.03
Harbor Funds
CapApInst 70.27 +0.13
69.41 -0.27
IntlInst r
Harding Loevner
NA
...
IntlEq
Invesco Funds A
11.05 -0.01
EqIncA
John Hancock Class 1
15.59 -0.01
LSBalncd
16.56 -0.01
LSGwth
John Hancock Instl
DispValMCI 23.08 -0.09
JPMorgan Funds
MdCpVal L 39.39 -0.14
JPMorgan I Class
11.66 -0.01
CoreBond
JPMorgan R Class
11.68
...
CoreBond
Lazard Instl
EmgMktEq 19.05 +0.08
Loomis Sayles Fds
14.32 -0.01
LSBondI
Lord Abbett A
...
ShtDurIncmA p 4.30
Lord Abbett F
...
ShtDurIncm 4.29
Metropolitan West
10.69 -0.01
TotRetBd
...
TotRetBdI 10.69
...
TRBdPlan 10.06
MFS Funds Class I
39.56
...
ValueI
MFS Funds Instl
24.60 +0.01
IntlEq
Mutual Series
33.08 -0.09
GlbDiscA
Oakmark Funds Invest
32.70 +0.06
EqtyInc r
80.37 -0.05
Oakmark
OakmrkInt 27.80 -0.01
Old Westbury Fds
14.53
...
LrgCpStr
Oppenheimer Y
DevMktY
39.98 -0.04
Income C t
Payable /
Record
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug11
Aug31 /Aug15
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug17
Aug31 /Aug23
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
5.7
3.0
13.7
3.1
24.0
18.8
NA
5.4
10.1
12.7
7.5
8.2
3.1
3.2
19.4
7.2
2.0
2.0
2.6
2.8
2.8
10.0
21.4
8.2
7.5
10.9
22.5
13.3
25.1
41.41 +0.03
Parnassus Fds
42.45 -0.03
ParnEqFd
PIMCO Fds Instl
NA
...
AllAsset
10.29
...
TotRt
PIMCO Funds A
NA
...
IncomeFd
PIMCO Funds D
NA
...
IncomeFd
PIMCO Funds Instl
NA
...
IncomeFd
PIMCO Funds P
NA
...
IncomeP
Price Funds
90.78 -0.10
BlChip
28.85 +0.01
CapApp
33.57 -0.02
EqInc
66.63 +0.05
EqIndex
66.15 +0.08
Growth
71.45 +0.09
HelSci
36.66 +0.02
InstlCapG
18.70
...
IntlStk
15.03 +0.01
IntlValEq
87.49 -0.50
MCapGro
30.44 -0.10
MCapVal
51.87 -0.27
N Horiz
9.53
...
N Inc
...
OverS SF r 10.94
22.60
...
R2020
17.37 -0.01
R2025
25.51 -0.01
R2030
18.61 -0.01
R2035
26.69 -0.01
R2040
37.19 -0.03
Value
Principal Investors
DivIntlInst 13.32 +0.02
Prudential Cl Z & I
14.53 -0.01
TRBdZ
Schwab Funds
38.52 +0.03
S&P Sel
TIAA/CREF Funds
18.44 -0.02
EqIdxInst
...
IntlEqIdxInst 19.65
Tweedy Browne Fds
28.12
...
GblValue
VANGUARD ADMIRAL
500Adml 229.06 +0.16
33.24 -0.02
BalAdml
CAITAdml 11.84 +0.01
CapOpAdml r144.56 -0.18
35.90 +0.11
EMAdmr
EqIncAdml 73.13 -0.11
ExplrAdml 89.65 -1.05
ExtndAdml 78.06 -0.58
...
GNMAAdml 10.56
GrwthAdml 67.24 +0.05
HlthCareAdml r 89.29 -0.18
...
HYCorAdml r 5.99
25.79 -0.02
InfProAd
IntlGrAdml 88.43 -0.18
ITBondAdml 11.49 -0.01
ITIGradeAdml 9.84 -0.01
LTGradeAdml 10.57 -0.01
MidCpAdml 179.29 -0.80
MuHYAdml 11.35 +0.01
MuIntAdml 14.22 +0.01
...
MuLTAdml 11.66
...
MuLtdAdml 11.01
...
MuShtAdml 15.81
PrmcpAdml r125.76 -0.35
REITAdml r 118.90 -1.05
SmCapAdml 65.29 -0.55
Company
Symbol
Nuveen NY Qual Muni
Nuveen OH Qual Muni
Nuveen PA Mun Value Fund
Nuveen PA Qual Muni
Nuveen Pfd & Incm 2022
Nuveen Pfd Incm Opps Fd
Nuveen Pfd Secs Incm Fd
Nuveen Preferred & Incm
Nuveen Qual Mun Incm Fd
Nuveen Real Asset Income
Nuveen Sel 3
Nuveen Sel Tax Free
Nuveen Sel TF
Nuveen Select Maturities
Nuveen Senior Income Fund
Nuveen Shrt Dur Cr Opp Fd
Nuveen TX Qual Muni
Nuveen VA Qual Muni
NuveenMuniIncoOpp Fd
NuvFloatRteInco Fd
PCM Fund
PIMCO California Mun II
PIMCO California Mun III
PIMCO California Muni
PIMCO Corporate & Incm
PIMCO Corporate & Incm
PIMCO Dynamic Credit
PIMCO Dynamic Income Fund
PIMCO Global StocksPLUS
PIMCO HiInco
PIMCO Incm Strategy Fd II
PIMCO Inco Str Fd
PIMCO Income Opportunity
Pimco Muni Inc II
PIMCO Muni Inc III
PIMCO MuniFd
PIMCO NY Muni
PIMCO NY Muni II
PIMCO NY Muni III
PIMCO Strat Income Fund
Templeton Global
WstAssetClymr InflLnk Sec
WstAstClymr InfLnkd Fd
NAN
NUO
NPN
NQP
JPT
JPC
JPS
JPI
NAD
JRI
NXR
NXP
NXQ
NIM
NSL
JSD
NTX
NPV
NMZ
JFR
PCM
PCK
PZC
PCQ
PTY
PCN
PCI
PDI
PGP
PHK
PFN
PFL
PKO
PML
PMX
PMF
PNF
PNI
PYN
RCS
GIM
WIA
WIW
Net YTD
NAV Chg %Ret
19.4 STBondAdml 10.48 -0.01
STIGradeAdml 10.70 -0.01
8.6 TotBdAdml 10.81 -0.01
...
TotIntBdIdxAdm 21.77
NA TotIntlAdmIdx r 29.00 +0.03
4.3 TotStAdml 61.79 -0.06
13.73 +0.01
TxMIn r
38.34
...
NA ValAdml
WdsrllAdml 66.85 -0.11
NA WellsIAdml 64.27 -0.02
WelltnAdml 71.77 +0.01
NA WndsrAdml 76.05 -0.12
VANGUARD FDS
25.73 -0.02
NA DivdGro
HlthCare r 211.67 -0.43
21.94 -0.01
INSTTRF2020
25.0
10.2 INSTTRF2025 22.12 -0.01
7.6 INSTTRF2030 22.24 -0.01
11.8 INSTTRF2035 22.37 -0.01
...
24.2 INSTTRF2040 22.49
20.9 INSTTRF2045 22.59 -0.01
37.77
-0.03
IntlVal
25.4
19.56
...
22.3 LifeCon
31.97 -0.01
17.3 LifeGro
26.18
...
LifeMod
16.1
25.22 -0.07
4.7 PrmcpCor
31.48 -0.03
19.8 SelValu r
26.25 -0.04
3.3 STAR
10.70 -0.01
20.6 STIGrade
...
10.7 TgtRe2015 15.58
30.78 -0.01
TgtRe2020
12.1
17.98
-0.01
TgtRe2025
13.2
14.2 TgtRe2030 32.39 -0.01
...
15.0 TgtRe2035 19.84
...
10.5 TgtRe2040 34.07
...
TgtRe2045 21.37
34.38
...
TgtRe2050
21.1
13.41
...
TgtRetInc
TotIntBdIxInv 10.89 +0.01
4.9
26.53 -0.01
WellsI
41.56 +0.01
Welltn
11.9
37.67 -0.06
WndsrII
VANGUARD INDEX FDS
11.2
229.03 +0.15
500
18.7
ExtndIstPl 192.63 -1.45
SmValAdml 53.10 -0.36
12.3
10.77 -0.01
TotBd2
17.34 +0.02
TotIntl
11.9
61.77 -0.05
TotSt
7.9
VANGUARD INSTL FDS
4.3
33.25 -0.02
BalInst
16.3
...
DevMktsIndInst 13.74
21.5
DevMktsInxInst 21.48 +0.01
8.4
78.05 -0.59
ExtndInst
11.5
GrwthInst 67.24 +0.05
8.0 InPrSeIn
10.50 -0.01
1.8 InstIdx
226.03 +0.16
18.0 InstPlus
226.04 +0.15
17.8 InstTStPlus 55.46 -0.05
6.1 MidCpInst 39.61 -0.17
1.5 MidCpIstPl 195.33 -0.87
31.3 SmCapInst 65.29 -0.54
3.8 SmCapIstPl 188.46 -1.57
3.8 STIGradeInst 10.70 -0.01
7.7 TotBdInst
10.81 -0.01
10.8 TotBdInst2 10.77 -0.01
5.4 TotBdInstPl 10.81 -0.01
4.1 TotIntBdIdxInst 32.66
...
4.6 TotIntlInstIdx r115.98 +0.12
2.5 TotItlInstPlId r116.01 +0.13
1.2 TotStInst
61.80 -0.06
15.6 ValueInst
38.34
...
3.5 Western Asset
6.2 CorePlusBdI 11.92 +0.03
Amount
Yld % New/Old Frq
5.0
4.6
3.8
5.1
6.0
7.3
7.2
6.7
5.3
6.8
3.5
3.7
3.6
3.1
7.0
7.2
4.3
4.1
5.9
6.8
8.4
5.5
4.9
5.4
9.2
7.8
8.5
8.6
10.0
11.1
8.9
8.8
8.5
5.8
5.5
5.1
5.1
5.1
5.1
8.3
3.8
3.6
3.9
.0595
.0585
.0495
.0585
.1275
.065
.062
.1415
.064
.105
.0435
.0455
.042
.026
.0395
.106
.053
.046
.0675
.0675
.08
.0473
.045
.077
.13
.1125
.16406
.2205
.14668
.0807
.08
.09
.19
.065
.05575
.05967
.057
.05069
.04225
.072
.0209
.0345
.036
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
M
1.4
2.0
3.0
1.1
19.4
11.2
18.8
7.1
8.3
5.6
7.8
10.8
11.5
17.8
8.9
10.0
10.9
11.9
12.8
13.1
19.0
7.1
11.9
9.5
13.7
9.4
11.6
1.9
7.4
8.9
10.0
10.9
11.8
12.8
13.1
13.1
5.5
1.1
5.6
7.7
8.2
11.8
8.0
2.9
2.9
19.3
11.1
7.9
18.8
18.8
8.0
18.0
1.4
11.9
11.9
11.2
10.8
10.8
6.3
6.3
2.0
3.0
3.0
3.0
1.1
19.4
19.4
11.2
7.1
6.2
Payable /
Record
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug15
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Sep01 /Aug11
Aug31 /Aug15
Aug31 /Aug15
Aug31 /Aug15
Stocks
Molecular Templates
1:11
MTEM
/Aug02
Foreign
BP ADR
Cott Cp
CS XLinks Month Pay 2xLev
Itau Unibanco Holding ADR
BP
COT
REML
ITUB
6.6
1.6
5.7
0.5
.60
.06
.1472
.12777
EVSTC
0.0
.2232
Q
Q
M
Sep22 /Aug11
Sep06 /Aug23
Aug21 /Aug11
Sep05 /Aug17
Special
Eaton Vance NextShares
Aug08 /Aug04
Suspended
Eldorado Gold
EGO
SA
Aug25 /
KEY: A: annual; M: monthly; Q: quarterly; r: revised; SA: semiannual;
S2:1: stock split and ratio; SO: spin-off.
B10 | Thursday, August 3, 2017
* ***
THE WALL STREET JOURNAL.
BANKING & FINANCE
Private-Equity Assets Race Ahead MetLife,
AIG Beat
BY MATT JARZEMSKY
Apollo Global Management LLC, Carlyle Group LP
and their private-equity peers
are increasing their assets at
an accelerated clip as investors seek alternatives to
soaring stocks and richly
priced bonds.
The combined assets under
management of four of the
largest listed private-equity
firms—Apollo, Carlyle, Blackstone Group LP and KKR &
Co.—rose 6.5% during the
quarter ended June 30 to a
combined $921 billion.
That is the largest quarterly increase since 2013, adding to private-equity firms’
heft in the investment-management sector.
The firms are enjoying inflows of new capital from pensions, sovereign-wealth funds
and other large investors,
some of which see little room
for further gains in alreadyexpensive stocks and bonds.
These investors see an appealing alternative in private-equity funds and similar prod-
ucts focused on debt, real
estate and other assets, even
as increased competition
among these funds is also
raising concerns about their
future returns.
“Why are so many people
giving so much money to people like us? Because they see
everything else being less attractive,” Carlyle co-founder
David Rubenstein said on a
conference call with analysts
Wednesday.
Of course, some of the increase in the firms’ assets is
the result of them marking up
the value of their portfolios as
stocks rise. A decline in stocks
or other assets could dent the
value of their holdings.
Apollo took in $35.7 billion
of new capital during the latest quarter and recently secured $24.7 billion for the
largest-ever investment fund
dedicated to buyouts.
The new fund will start
generating an additional $200
million of annual management fees starting in about
six months, Apollo executives
said on a conference call
Growth Spurt
Assets under management
$900 billion
Apollo
KKR
600
Carlyle
Blackstone
300
0
2012
’13
’14
’15
’16
’17
THE WALL STREET JOURNAL.
Source: the companies
Wednesday.
Carlyle last year set out to
raise $100 billion across several investing businesses by
2019. KKR recently gathered
$13.9 billion for a buyout fund
focused on North America and
$9.3 billion for investing in the
Asia-Pacific region. And Black-
stone announced in May a
commitment of $20 billion for
infrastructure
investments
from Saudi Arabia’s sovereignwealth fund. The firm hopes to
raise $40 billion to invest in
airports, pipelines and similar
projects.
The firms detailed their
asset-gathering efforts in
second-quarter earnings reports over the past two
weeks, which showed a generally strong period for the
sector.
Three of the four increased
earnings from a year earlier
and reported appreciation in
their private-equity portfolios
that outpaced gains in the S&P
500 during the quarter.
Private-equity firms secure
multiyear commitments of
cash from large investors,
which the firms use to buy
companies that they fix up
and sell.
In recent decades, Blackstone, Apollo and others have
gone public and diversified
into corporate bonds and
loans as well as other assets.
As they and their peers
have expanded, concern has
mounted in some corners of
the industry about the prospects for future returns. Buyout firms often compete with
each other for deals, driving
up the purchase price of assets, which can keep a lid on
further gains.
CBOE plans to
launch futures on
bitcoin by the end of
2017.
day that the economic health
of its markets is mixed, and
that there are still questions
about regulatory and accounting rules that could force
banks to hold more capital.
Holding off on dividends
for now “is the cautious thing
to do,” he said, but the board
will watch to see how the second half goes.
Standard Chartered’s earnings largely met analyst expectations. Revenue in the
second quarter was $3.61 billion, in line with analyst expectations.
Net profit for the first half
climbed to $971 million from
$465 million a year earlier.
The bank’s shares are trading at lower valuations than
those of its peers because of
the continuing restructuring.
Mr. Winters said the bank
has done much of the heavy
lifting to get back on track,
but that the “external environment is still weighing on
our full potential.”
Standard Chartered shares
were flat in London before
the announcement, then
slumped when the bank said
dividends won’t restart yet.
It started reducing, then
suspended dividends in 2015.
currency exchange founded by
the Winklevosses, who are also
behind an effort to bring the
first bitcoin exchange-traded
fund to market. The Securities
and Exchange Commission denied the ETF in March, a decision that was appealed and is
under review. The ETF would
have been listed on one of
CBOE’s stock exchanges.
Pending regulatory approval, CBOE plans to launch
futures on bitcoin by the end
of 2017. The agreement also
gives the company rights to
use Gemini’s data to create
and disseminate new indexes.
“It will bring more participants into the market who will
now be able to express a viewpoint on bitcoin,” said Cameron Winklevoss, president of
Gemini.
CBOE’s relationship with
Gemini marks a deeper foray
into the world of digital currencies, which hit a market
capitalization of $100 billion
this year.
U.S. stock-options exchanges have been plagued by
flatlining volumes in recent
years. CBOE’s marquee product—the CBOE Volatility In-
SOCIÉTÉ GÉNÉRALE
DEAL MAKING
Visa Europe Sale
Helps Lift Results
Guggenheim Seeks
To Sell Retail Funds
French bank Société Générale SA on Wednesday reported a jump in second-quarter
net profit, boosted by a gain on
the sale of its shares in Visa Europe.
The Paris-based lender,
France’s third-largest listed bank
by assets, said net profit rose
8% to €1.46 billion ($1.64 billion)
from €1.35 billion a year earlier.
Revenue rose 2% to €6.98 billion.
Société Générale booked a
€725 million gain on the sale of
its shares in Visa Europe.
Excluding the shares sale and
other items, net profit was flat
in the second quarter. The bank’s
shares fell 4% in Paris.
—Noemie Bisserbe
Guggenheim Partners is in
talks to sell its retail funds business to Invesco Ltd., according
to people familiar with the matter.
Co-founded by a member of
the Guggenheim family, the firm
runs a collection of financial
businesses, including an adviser
to insurance companies, an investment bank and a money
manager.
Guggenheim’s retail mutual
funds and exchange-traded
funds have about $65 billion in
assets under management.
The purchase price is likely to
be around $2 billion, according to
one of the people familiar.
—Justin Baer
SIMON DAWSON/BLOOMBERG NEWS
U.S. exchanges are racing to
secure a piece of the cryptocurrency market.
CBOE Holdings Inc., which
oversees the largest U.S. options exchange, has entered an
agreement with brothers Cameron and Tyler Winklevoss to
use bitcoin market data. The
move paves the way for Chicago-based CBOE to list bitcoin derivatives.
CBOE is joining forces with
Gemini Trust Co., a virtual-
dex, or VIX—slumped to historic lows this year. Unlike
global stock markets that have
experienced
extraordinary
calm, digital currencies have
moved wildly, likely making
them alluring assets for derivatives traders.
Bitcoin Cash, a new version
of the digital currency created
to speed up trading in bitcoin,
rebounded during a volatile
second session. In afternoon
trading hours in New York,
Bitcoin Cash was trading at
$395 after peaking above
$700, according to virtual currency site Coinmarketcap.com.
In its debut Tuesday, the new
cryptocurrency dropped from
a high of about $400 to $247.
The original bitcoin was down
about 1% Wednesday.
Should the plan win regulatory approval, investors would
be able to make directional
bets or hedge holdings. CBOE
plans to first launch futures on
virtual
currencies
with
monthly expirations, said John
Deters, chief strategy officer
at CBOE. He also said that
CBOE could consider options
on virtual currencies.
CBOE isn’t the only exchange jockeying for position
in the virtual currency sphere.
Miami International Holdings Inc., which oversees two
options exchanges and plans
to launch a stock venue, has a
stake in LedgerX, which won
approval from the Commodity
Futures Trading Commission
for a bitcoin options exchange
last week.
Miami International and
LedgerX said they also envision launching a host of derivatives based on virtual currencies,
such
as
futures,
exchange-traded products and
options.
CME Group Inc., a futures
exchange operator, launched a
bitcoin index in 2016 and filed
a patent application for derivatives on virtual currencies
this year.
“Cryptocurrencies of all
forms are here to stay,” said
Mr. Deters.
CEO Bill Winters has been unloading bad assets and resetting Standard Chartered’s culture.
Standard Chartered Holds
Line on Dividend Payments
BY MARGOT PATRICK
LONDON—Standard Chartered PLC, a laggard among
banks restructuring since the
financial crisis, said it still
sees too many uncertainties
to start paying dividends
again.
The Asia-focused bank’s
shares fell 6.1% on Wednesday
in London despite improved
second-quarter profit, after
executives said the bank has a
long way to go to improve returns.
The bank is in the throes of
a multiyear cleanup after
years of rampant growth fizzled out three years ago.
Chief Executive Bill Winters has been unloading bad
assets and resetting the
bank’s culture since joining
two years ago, but has said it
would still take years to get
Standard Chartered’s return
on equity to acceptable levels.
Underlying return on equity in the first half was 5.2%,
the bank said Wednesday.
Mr. Winters said the target
continues to be to get it
above 8% by 2020, lower than
targets from rivals that
started their postfinancial crisis restructurings years ear-
Disappointment
Standard Chartered’s
share price in London
860 pence
850
840
830
820
810
800
790
Aug. 1
2
Note: One-minute intervals
Source: Thomson Reuters
THE WALL STREET JOURNAL.
lier.
Parts of Standard Chartered were struggling financially when Mr. Winters took
over from a former management team led by Peter Sands.
In November 2015, he laid out
a plan to cut jobs and relationships with unprofitable
clients, and reduce costs.
Standard Chartered’s balance
sheet had ballooned in the
previous decade as cheap
credit from banks helped lift
Asian economies.
Mr. Winters said Wednes-
BY LESLIE SCISM
AND NICOLE FRIEDMAN
American
International
Group Inc. posted better-thanexpected results in its first
quarter with Brian Duperreault
at the helm, while competitor
MetLife Inc. reported results
for the last quarter before the
spinoff of its core life-insurance
unit.
MetLife, the largest U.S. life
insurer by assets ahead of the
divestiture set to occur Friday,
also reported higher operating
income that beat expectations.
It posted improved results in
the U.S. and at overseas locations, though the U.S. retail operations to be spun off, named
Brighthouse Financial, recorded a 5% decline.
Prudential Financial Inc.’s
operating income also rose, but
it missed analyst expectations.
All three insurers’ per-share
results were aided by sharebuyback programs.
AIG’s net income dropped
41% to $1.13 billion from $1.91
billion in the year-earlier period, when the insurance conglomerate had net realized capital gains of about $1 billion,
mostly from the sale of shares
in a Chinese insurer. On an operating basis, AIG had income
of $1.45 billion, up from $1.31
billion. Investors and analysts
track operating results because
they exclude realized capital
gains and losses and other nonrecurring items.
The $1.53 a share in operating income was well ahead of
the consensus expectation of
analysts at $1.20 and was up
from $1.15 a share in the yearearlier period.
Mr. Duperreault was hired in
mid-May, after the former chief
executive, Peter Hancock,
pushed back some profit-improvement deadlines set in
January 2016 and lost support
from the company’s board.
Meanwhile, MetLife’s spunoff insurance business—Brighthouse Financial—is set to begin
trading Monday on the Nasdaq
Stock Market. Brighthouse,
which will become home to
about one-quarter of MetLIfe’s
total assets, will be focused
heavily on annuities for retirement income and other savings.
The remaining MetLife will get
about 40% of its income from
international life insurance operations and will continue to be
one of the nation’s leading sellers of insurance for employeebenefits programs. It also is
keeping an asset-management
unit and will sell pension products, among other operations.
MetLife’s operating income
increased 52% to $1.41 billion,
or $1.30 a share, from $924
million, or 83 cents a share, in
the year-earlier period. Analysts had expected operating
income of $1.28 a share.
MetLife CEO Steven A. Kandarian said the company is on
track to return about $4.5 billion to shareholders this year in
dividends and share repurchases.
Its net income, which includes realized capital gains
and losses and mark-to-market
changes in derivatives used for
risk-management hedging, totaled $838 million, up from $64
million. The company reported
$284 million in derivative
losses this quarter, which it
said reflected changes in foreign currencies, equity markets
and interest rates.
CBOE Deal Eases
Path to Listing
Bitcoin Derivatives
BY GUNJAN BANERJI
Analysts’
Estimates
FINANCE WATCH
HEDGE FUNDS
MAXPPP/ZUMA PRESS
Och-Ziff Is Hit by
$2.9 Billion Outflow
The French bank’s profit was flat excluding the Visa Europe sale.
Investors pulled $2.9 billion
from the largest publicly traded
U.S. hedge-fund firm over the
last four months.
Och-Ziff Capital Management LLC reported Wednesday
that clients withdrew $1.4 billion
from the firm in the second
quarter and an additional $1.5
billion between July 1 and Aug. 1.
The outflows came after $4.8
billion was cashed out in the
first quarter.
Och-Ziff’s overall assets under
management fell to $32 billion
as of Aug. 1 from $39 billion one
year earlier.
The $3 trillion hedge fund industry has spent more than a
year on the defensive. But it was
able to end a record six consecutive quarters of investor outflows in the second quarter by
raising more than $6 billion as a
group, according to HFR Inc.
There was some good news
in the second quarter for billionaire Och-Ziff founder Daniel Och
and the firm’s public shareholders.
Och Ziff’s main fund was up
7.5% in the first half, and some
of the firm’s less lucrative arms
in areas like real estate and
long-term credit investments
were able to raise hundreds of
millions of dollars between them.
That sum wasn’t enough to
overcome more than $2 billion
that left the main fund.
Och-Ziff posted a profit of
$13.1 million, or 7 cents a share.
Distributable earnings were
$53.3 million, or 10 cents a
share.
—Rob Copeland
THE WALL STREET JOURNAL.
Thursday, August 3, 2017 | B11
* * * *
MARKETS
Prices of Treasurys
Move a Bit Lower
BY SAM GOLDFARB
U.S. government bonds
edged lower Wednesday as the
market kept to a tight range
ahead of Friday’s jobs report.
The yield on the benchmark
10-year Treasury note settled
at 2.264%, compared with
2.253% Tuesday. Yields rise
when bond prices fall.
Wednesday’s move marked
a small reversal
CREDIT
after investors
MARKETS scooped
up
bonds Tuesday
following a batch
of lackluster economic data, including a sharp decline in auto
sales.
Bond prices typically rise on
weak economic data, because
lackluster growth can limit inflation, which chips away at
the fixed returns of bonds.
Before Tuesday, recent data
had largely confirmed that the
U.S. economy is expanding at a
slow but steady pace, while inflation remains fairly muted
despite a tightening labor market.
Given that mixed economic
backdrop, many investors expect the Federal Reserve to
start slowly reducing its Treasury debt holdings in the fall,
while holding off on raising interest rates again until December at the earliest.
Traders will get more insight
into the labor and inflation picture Friday, with the release of
the monthly jobs report.
But even that report hasn’t
elicited a “ton of expectation,”
as investors don’t think it will
change the outlook for the Fed,
said Stanley Sun, interest-rates
strategist at Nomura Securities
International in New York.
The 10-year yield has been
fairly stable, mostly holding to
a range of 2.2% to 2.4% since
the end of March and staying
close to 2.3% over the past two
weeks.
One factor influencing trading Wednesday was the Treasury Department’s quarterly
refunding
announcement.
While largely in line with expectations, the statement
didn’t mention of any plans to
issue new forms of long-term
debt, such as a 50-year bond,
creating a small boost for outstanding 30-year bonds.
Officials hinted that they
would prioritize issuance of
debt that matures in a year or
less to fill the gap that the Fed
is expected to leave as it
shrinks its balance sheet. They
didn’t supply details and said
they would likely expand the
volume of bonds with longer
maturities.
Some analysts and investors
had speculated that there
could be discussion of ultra-
The Treasury
refunding plan was
largely in line with
expectations.
long bonds in the announcement given recent statements
from government officials
supporting the idea.
The introduction of new
long-term debt could divert
some demand from existing
bonds.
The yield on the benchmark
30-year bond settled at
2.847%, down from 2.854%
Tuesday.
Another Milestone in Rally
Blue-chip index reaches
Up, Up and Away
thousand-point marks The Dow Jones Industrial Average surpassed its fourth
three times in calendar thousand-point milestone since the election.
22000
year for the first time
June 23, 2016 Nov. 8, 2016
BY AMRITH RAMKUMAR
A surge in Apple shares
sent the Dow Jones Industrial
Average past 22000 for the
first time, the latest milestone
in a stock-market rally that
has stretched into its ninth
year.
EQUITIES
The Dow industrials are up
20% since Election Day, bolstered by highflying technology companies and
U.S. companies that have reported strong earnings. Recent gains have been fueled by
a pickup in both U.S. corporate profits and revenue.
Improving corporate health
has kept stocks climbing even
as skeptics have warned that
shares have gotten pricey, U.S.
economic growth has been
lackluster and Trump administration policies such as tax
cuts aren’t likely imminent.
The newest milestone
places investors in a familiar
quandary: how long to ride
what has been an unloved yet
long-running stock rally at a
time when few other investments appear attractively
priced.
The Dow industrials have
now logged thousand-point
milestones three times in a
calendar year—the first time
they have achieved that feat.
“The change in expectations regarding the election
has been masked by betterthan-expected earnings,” said
Kate Warne, investment strategist at retail brokerage Edward Jones.
The Dow industrials rose
which includes the App Store,
iTunes and more—in its most
recent quarter. The iPhone
maker gave a revenue projection for the next quarter that
topped most analysts’ expecFeb. 11, 2016
tations.
Donald Trump
Brexit vote
Stocks
hit
21000
Apple added roughly 49
elected
rocks market
2016 low
president
points to the Dow, accounting
20000
for almost all of the index’s
Wednesday Wednesday advance.
22016.24
19000
“It’s been a name-driven
March 1, 2017
model as far as growth,” and
Dow tops 21000
18000
Wednesday was no exception,
said Kevin Barr, head of SEI’s
Jan. 25, 2017
17000
Investment Management Unit.
Dow tops 20000
Technology firms like ApNov. 22, 2016
16000
ple have powered U.S. indexes
Dow closes above
to new highs this year, at19000 for first time
tracting investors with their
15000
ability to increase earnings
2016
’17
during a period of tepid U.S.
Percentage change between 1,000-point milestones*
economic expansion. The S&P
100%
First close above 2000
First close above 22000 500 technology sector is up
99.6% increase
4.3% increase 23% this year—the index’s
80
best performer.
60
Although Apple drove
Wednesday’s gain, Boeing has
40
been the biggest contributor
20
to the Dow industrials’ latest
0
milestone.
The aerospace giant has
2000
5000
10000
15000
20000
contributed 370 points to the
Trading days between milestones
index since it hit 21000 in
4,000 days
March, with much of that
coming in the past week after
3,000
First close above 2000
First close above 22000 the company beat earnings ex3,573 days
107 days pectations for a fifth straight
2,000
quarter and lifted its full-year
1,000
outlook. Its shares fell 1.49, or
0.6%, to 237.95 Wednesday.
0
Some investors and analysts have cautioned that mar2000
5000
10000
15000
20000
ket gains concentrated in the
*Percentage gains reflect gap between first daily close above a given milestone to the first
close above the next milestone, not the gap between the milestones themselves.
biggest names, and their relaSource: WSJ Market Data Group
THE WALL STREET JOURNAL. tively high valuations, leave
stocks susceptible to a selloff.
52.32 points, or 0.2%, to points, or less than 0.1%, to
Early Thursday, South Ko22016.24 on Wednesday, after 2477.57, and the Nasdaq Com- rea’s Kospi was down 1.7%
the index rose as high as posite fell 0.29 point, or less amid a drop in the share
22036 and fell as low as 21967 than 0.1%, to 6362.65.
price oft Samsung Electronics.
during the session. It was the
Apple climbed $7.09, or Japan’s Nikkei was off 0.4%.
seventh straight session of 4.7%, to $157.14 after the com—Corrie Driebusch
gains for the index.
pany reported strong revenue
and Justin Yang
The S&P 500 rose 1.22 from its services segment—
contributed to this article.
Shrinking Stockpiles and Strong Demand Boost Oil
BY ALISON SIDER
Gold Falls Amid
Solid U.S. Data
TAYLOR WEIDMAN/BLOOMBERG NEWS
Oil prices rose Wednesday
after U.S. data showed that
crude inventories continued to
shrink and gasoline demand
climbed to
COMMODITIES a
record
last week.
U . S .
crude futures settled up 43
cents, or 0.87%, at $49.59 a
barrel on the New York Mercantile Exchange. Brent, the
global benchmark, rose 58
cents, or 1.12%, to $52.36 a
barrel on ICE Futures Europe.
Oil prices have been rising,
albeit on a rocky path, in recent weeks. Prices topped $50
a barrel Monday for the first
time in two months, but the
rally abruptly halted Tuesday.
“It hasn’t been the easiest
uptrend for someone to stay
long,” said Ric Navy, senior
vice president for energy futures at RJ O’Brien & Associates LLC.
The U.S. Energy Information
reported that oil inventories fell
1.5 million barrels last week.
Prices initially fell after the
data were released, as the decline was less than half of the
3.1-million-barrel drop that analysts and traders surveyed by
The Wall Street Journal had
predicted. But a larger-thananticipated drop in gasoline
stockpiles and strong fuel-demand figures eventually won
out and prices rose.
“The fact of the matter is
that inventories did continue
to decline,” said Andy Lipow,
Gold prices inched down
Wednesday amid steady
economic data and as U.S.
blue-chip stocks notched a
record.
Gold for December delivery settled down 0.1% at
$1,278.40 a troy ounce on
the Comex division of the
New York Mercantile Exchange, after nearing sevenweek highs Tuesday.
Analysts said demand for
gold as a haven has dwindled, as stocks have continued to climb and investors
dismiss geopolitical risks.
On Wednesday, the Dow
Jones Industrial Average
closed above 22000 for the
first time.
Data from payroll processor ADP showed that private
U.S. employers added
178,000 workers, falling
short of economists’ expectations of 180,000.
—David Hodari
and Stephanie Yang
A worker cuts strips of gold leaf at a workshop in Myanmar. Demand for gold as a haven has dwindled as stocks have climbed.
president of Lipow Oil Associates. “Refiners have kicked up
their utilization again and
continue to turn the crude oil
into products in response to
very good demand,” he said.
Gasoline stockpiles fell by
2.5 million barrels last week,
dwarfing the 500,000-barrel
draw analysts had forecast, as
demand rose to a record 9.84
million barrels a day, according to EIA data.
Market participants pay
close attention to the weekly
U.S. inventory data, looking
for signs that a glut that has
weighed on the market is
shrinking, after the Organization of the Petroleum Exporting Countries and allies such
as Russia agreed to cut production last year. Still, some
said oil prices are likely to run
into an upper bound.
“I think we’re basically
range bound,” said Tariq Za-
hir, managing member of Tyche Capital Advisors. “You’ve
got a lot of bearish factors.”
One of those factors is U.S.
oil production, which rose last
week by 20,000 barrels a day,
according to the EIA. Even
though oil futures didn’t
spend much time above $50,
the rising prices likely encouraged a new wave of hedging
by companies that use futures
contracts to lock in prices for
their output, Mr. Zahir said.
That could have long-term implications for the market if it
allows U.S. producers to keep
pumping profitably.
Dollar Weakens Ahead Look Out Below! It’s Earnings Day
Of Employment Data
BY JON SINDREU
BY IRA IOSEBASHVILI
The dollar edged lower
Wednesday, as investors
awaited key U.S. economic
data coming later in the week.
The Wall Street Journal
Dollar Index, which measures
the U.S. currency against a
basket of 16 others, fell less
than 0.1% to 85.92, its secondlowest close this year.
Many investors are waiting
for Friday’s U.S. nonfarm payrolls report to gauge whether
the U.S. economy is strong
enough for the Federal Reserve
to raise interest rates a third
time this year. Expectations of
higher rates are a boon to the
dollar, as they make the currency more attractive to yieldseeking investors.
The dollar is down 7.5% this
year, dragged lower by uneven
U.S. economic data and little
progress being made on White
House fiscal-stimulus initiatives such as infrastructure
spending and tax cuts.
On Tuesday, data showed
U.S. inflation remains tepid,
while a closely watched manufacturing gauge declined in
July. Separately, the Institute
for Supply Management’s
gauge of U.S. manufacturing
activity fell in July but still
slightly exceeded expectations.
“Investors are left with a
backdrop of extreme negative
sentiment surrounding the dollar, whose improvement will
likely require very strong upside surprises to upcoming economic data,” said Omer Esiner,
chief market analyst at Commonwealth Foreign Exchange.
Investors are bidding up
U.S. stocks as companies post
bumper profits, yet they are
often selling on the day these
firms release results.
On average, the shares of
companies reporting earnings
have fallen 0.8% on the day
those numbers have come out,
according to Bespoke Investment Group LLC, whose research charted share performance
from
all
U.S.
corporations posting profit
figures up until Friday.
Individual shares have had
their worst performance on an
earnings day since the first
quarter of 2014, the data
show.
This is because beating expectations was rewarded on
average with just a 0.4% share
rise on the day, whereas disap-
pointing earnings were punished particularly hard, with
the company’s stock on average falling 3.4%.
It’s especially surprising because, overall, investors have
reacted positively to the earnings season. The S&P 500 index is up 2.2% since the start
of July, when companies began
to report second-quarter results.
That may say a lot about investors’ increased caution
about U.S. stock valuations,
which remain high by historical standards, analysts say. It
could also just be that optimism about a a good earnings
season has led investors to
buy shares ahead of results.
About a quarter of firms have
yet to report results.
“It’s a pretty unforgiving
market for specific names,
even as markets go up,” said
Mark Sherlock, portfolio manager and head of U.S. equities
at Hermes Investment Management.
Large U.S. companies are on
track to post two consecutive
quarters of double-digit-percentage profit growth for the
first time since 2011. More
than 70% of S&P 500 companies have surpassed expectations this earnings season, figures from FactSet show. That’s
the highest share since FactSet started collecting this data
in 2008.
Investors still found things
not to like on earnings day.
The stocks of big banks, like
J.P. Morgan Chase & Co. ,
Citigroup Inc. and Deutsche
Bank AG , fell even as they reported better-than-expected
profits.
Technology companies like
Google parent Alphabet Inc.
and eBay Inc. also saw their
shares drop on the day they
reported despite also beating
estimates.
“The ‘sell the news’ action
we’re seeing suggests that investors are likely a bit uncomfortable with the market right
now,” said Justin Walters, Bespoke’s co-founder.
Many analysts have long
warned that U.S. stocks could
be overvalued after their long
rally, which has been fueled by
the robust global economy and
a run of stronger earnings.
S&P 500 shares trade at 19
times the earnings that they
are expected to produce in
2017, which is high by historical standards. The tech-oriented Nasdaq Composite Index
is up 18% year to date and now
trades at 25 times the earnings it is expected to yield this
year.
B12 | Thursday, August 3, 2017
THE WALL STREET JOURNAL.
MARKETS
Swiss Puzzle: How to Spend $750 Billion
Some lawmakers and
economists want the
central bank’s reserves
to be invested at home
BY BRIAN BLACKSTONE
Mountain of Money
The Swiss central bank is a major shareholder
of several U.S. companies.
The Swiss National Bank has accumulated a huge amount of foreign
assets in a bid to weaken the franc, prompting calls for a
sovereign-wealth fund.
Foreign-currency investments
Value of holdings in selected U.S. stocks, in billions of dollars*
800 billion Swiss francs
Thanks to its efforts to
weaken the franc, the Swiss
central bank has amassed $750
billion in stocks, bonds and
cash.
That has provoked a lively
debate in Switzerland: What
should the country do with all
of that? And whose money is
it, anyway?
For now, the Swiss National
Bank holds on to it and invests
it around the world—but not
in Switzerland. It held $2.7 billion in Apple Inc. stock, for instance, at the end of March.
Some lawmakers and many
economists think a sovereignwealth fund created outside
the SNB should invest a chunk
at home.
The SNB’s profit last year
was 24.5 billion francs ($25.4
billion), or about $3,000 per
Swiss resident.
Switzerland’s central bank
isn’t the only one generating
profits. The Federal Reserve
earned nearly $100 billion last
year from its bond portfolio. Eurozone central banks also make
profits but pass a big chunk of
them to their treasuries.
The SNB’s current agreement with the government,
which runs through 2020, allows for profit distribution of
as much as 2 billion francs a
year. The SNB has put most of
its profits into buffers to guard
against large paper losses,
which occurred two years ago
when the franc soared.
Two dozen Swiss parliamentarians want the arrangement changed. In June, they
backed legislation to use some
reserves and their profits for a
sovereign-wealth fund. Unlike
the SNB, a fund could put the
money to work inside Switzerland, boosting long-term
Apple
Alphabet
600
Microsoft
400
Amazon.com
Exxon Mobil
200
Johnson & Johnson
Facebook
0
2011
’12
’13
’14
Most of the SNB reserves
are stocks and bonds in
euros and dollars...
Currency breakdown†
$0
’17
0.5
1.0
1.5
2.0
2.5 billion
The SNB's investments are
weighted toward low-yielding
government bonds.
Asset breakdown
SNB’s profit
40 billion Swiss francs
Stocks
Government bonds
20%
68%
20
35%
Dollar
’16
...making the SNB's finances volatile and heavily
dependent on the franc's exchange rate.
40%
Euro
’15
1H 1.2B
Yen
8%
Pound
7%
Other
7%
Canadian dollar
3%
0
–20
–40
2011
’12
’13
’14
’15
’16
’17
*At end of 1Q 2017 †At end of 2Q 2017 1 Swiss franc = $1.04
Sources: Swiss National Bank (investments, currency breakdown, profit, asset breakdown); Securities and Exchange Commission (stocks)
growth, backers say. The SNB
takes passive positions in foreign stocks to mirror broad indexes such as the S&P 500.
“Part of the currency reserves, or at least revenues
that they generate, should
from now on be invested for
the interests of the public and
future generations including
infrastructure investments or
in industries with strategic importance,” the bill states.
The bill’s chances are slim
for now: The SNB is skeptical
of the idea, and Switzerland’s
executive branch also wants to
keep the money in the central
bank’s hands. But the debate is
likely to rage on, especially if
the reserves generate even
bigger profits.
The SNB makes money because so many foreigners want
the safety of Swiss assets. To
keep the franc from rocketing
up and damaging Swiss exporters, the central bank has
been printing francs and selling them. The consequence: It
owns buckets of foreign assets,
acquired essentially free.
The SNB declined to comment on the current bill but
has objected to past ones. By
having ready access to its re-
serves, the SNB could shrink
its balance sheet if needed to
tighten monetary policy. “Putting parts of these reserves
into an SWF would restrict the
SNB’s ability to conduct monetary policy,” an SNB spokeswoman said, referring to a potential sovereign-wealth fund.
What’s more, selling Apple
stock and converting the proceeds into Swiss francs to, say,
build roads or bridges, would
push the franc up—the opposite of what the SNB wants.
The Swiss federal council, the
country’s executive branch, rejected a previous proposal in
Other bonds 12%
THE WALL STREET JOURNAL.
December, saying the SNB was
already managing its funds appropriately. It will give its view
on the latest one in the fall. The
government couldn’t simply
take the SNB’s reserves. It would
have to reimburse the SNB,
probably by issuing debt. But it
could use the SNB’s future profits that are handed over to the
government however it wants.
Other countries have sovereign-wealth funds. Norway has
one to manage its oil wealth.
China and Singapore have
them to manage foreign reserves. What sets Switzerland
apart is that the franc isn’t
HEARD ON THE STREET
Email: heard@wsj.com
FINANCIAL ANALYSIS & COMMENTARY
Thank the Foreigners for Dow’s Milestone
Blastoff
Price change from a year earlier,
dollars a metric ton
200%
150
Aluminum
100
50
0
–50
Iron ore
–100
2008 2010
AGENCE FRANCE-PRESSE/GETTY IMAGES
Americans cheering the
U.S. stock market’s latest
milestone should pause to
thank the rest of the world
for making it possible.
The Dow Jones Industrial
Average breached 22000
Wednesday after rising more
than 2.000 points so far this
year. Boeing counted for 563
points of that gain. About
60% of its sales come from
overseas. No. 2, contributing
283 points, is Apple, which
gets two-thirds of its sales
abroad. No. 3 is McDonald’s,
contributing 239 points;
foreign sales count for about
two-thirds of its total.
Indeed, while there are
notable exceptions (hello,
International Business
Machines), the greater the
share of a company’s sales
come from overseas, the
better its stock has tended
to perform this year.
Data from FactSet and
S&P Dow Jones Indices show
that companies in the top
half of the S&P 500 by
overseas sales exposure have
THE WALL STREET JOURNAL.
A Rio Tinto iron-ore mine
in Australia
had a median return of
about 16% so far in 2017.
Among those in the
bottom half (which includes
companies that don’t break
out foreign sales—in many
cases because they are
negligible) the median
return is 8%.
A big factor behind the
outperformance of foreignexposed companies is the
improved backdrop overseas.
Buoyed by strength in
Europe and many emergingmarket countries, global
economic growth outside of
the U.S. is running at its
fastest pace in four years,
according to J.P. Morgan.
That has led to an acceleration in sales that is outpacing rising costs—making
for a sharp pickup in over-
Source: International Monetary Fund
seas profits. In contrast, in
the U.S., where the economic
recovery is much further
along than places such as
Europe, rising labor costs
are pressuring margins.
That is one reason why
analysts are generally
forecasting faster earnings
growth for companies with
higher overseas exposure.
The dollar’s recent
weakness, which stems in
part from the brighter
outlook overseas, also helps.
On a trade-weighted basis,
the dollar in the second
quarter averaged 2.5% higher
against other currencies
from a year earlier,
according to the Federal
Reserve. That counted as
much less of a headwind
than in the second quarter of
last year, when the dollar
was up 4.9% on the year.
Now the dollar is a tailwind:
In July, it was down 1% from
a year earlier.
The environment looks as
if it should continue to
benefit globally focused
companies. The European
Central Bank is optimistic
enough about growth that it
looks as if it will soon begin
scaling back its bond
purchases. That ought to
further bolster the euro, and
the profits of U.S.
multinationals, when the
euros they have made get
translated into dollars.
Meanwhile, slow growth and
rising labor costs look as if
they will be a continuing
feature of the U.S. economy.
Still, investors should be
careful not to consider
companies with high
overseas exposure as a
perfect hedge against
problems at home. The U.S.
still counts as the most
important driver of global
growth, and if it stumbles,
overseas profits won’t be
immune. Moreover, shares of
globally exposed companies
are among those with the
headiest valuations. If
trouble comes to the stock
market, the world won’t be
enough.
—Justin Lahart
just a currency; it behaves like
a commodity similar to oil or
gold. Its strength, particularly
in times of global uncertainty,
has proven persistent, thanks
to Switzerland’s ultrarich
economy and low debt.
The franc is “a kind of virtual
commodity resource” whose
wealth “should be shared with
all citizens and a [Swiss sovereign fund] offers a natural vehicle for this,” ETH-Zurich professor Didier Sornette wrote in a
2015 paper.
The SNB posted a first-half
profit of 1.2 billion francs, a
smaller-than-usual result as a
stronger euro was offset by a
weaker dollar. It also earns interest and dividends. The
mother lode would come if the
franc weakened more broadly
and the SNB did start selling
its foreign stocks and bonds to
prop the currency up, turning
paper profits into real ones.
“They may generate 40-50
billion francs in profits [over
three years], not just on the
books but real profits” if the
franc weakens further and the
SNB can slowly unwind its balance sheet, said Daniel Kalt,
chief economist for Switzerland at UBS.
The euro has strengthened
7.4% against the Swiss franc so
far this year and fetched 1.1511
francs in late New York trading
Wednesday. The dollar has
weakened 4.7% against the
franc this year, though it rose
slightly against it in July, hitting 0.9709 francs Wednesday.
One complication is that the
SNB’s assets, being foreign, fluctuate in value along with the
franc. That worked in the
Swiss’s favor in July, when the
euro’s rise made the SNB’s
roughly 300 billion francs of
euro assets worth many billions
more on paper. But big and sudden payouts are hard to manage.
“If this huge currency trade
leads to a windfall gain, we
should avoid distributing this
gain to politicians who would
spend it on one generation,”
Mr. Kalt said.
WSJ.com/Heard
OVERHEARD
You’ve heard of FANG, but
have you met BRIAN?
Morgan Stanley has a
framework for assessing
which industries are susceptible to encroachment by Amazon.com.
It is calling this five-factor
rubric BRIAN, an acronym for
“bespoke products,” “regulatory hurdles,” “industry/business model,” “attention postsale” and “nuances.”
This measures the “pace
and potential of Amazon disruption,” wrote analyst Brian
Nowak in a note.
Travel, luxury goods and
formal apparel have a high
degree of customization;
pharmaceuticals and insurance are protected by regulatory hurdles; low margins
shield craft and dollar stores;
do-it-yourself auto parts and
home improvement require
specialized service and installation; and real estate and
auto purchases tend to be
too complex to make sense
for online sales.
For Tesla, Cash Is Getting More Precious New CEO Must Solve AIG’s Old Problems
Tesla Inc. shareholders
are betting on a profitable
future. They should spare a
thought for the present.
The electric-auto manufacturer reported $2.8 billion in
second-quarter revenue on
Wednesday afternoon and an
adjusted loss of $1.33 a
share, both better than expectations. Tesla reiterated
its ambitious timeline to roll
out the Model 3 sedan, which
formally launched last week.
That happy backdrop belies how hard getting to that
future will be. Free cash flow
was negative $1.1 billion in
the quarter. That cash-flow
figure could have been even
worse if not for a nearly
$300 million increase in accounts payable from the first
quarter to $2.3 billion. Tesla
forecasts an additional $2
In Reverse
Tesla's adjusted results per share
$0.5
0
–0.5
–1.0
–1.5
1Q 2015
’16
’17
Sources: the company; FactSet
billion in capital spending
before the year is out.
More danger looms: Tesla
said the initial rollout of the
Model 3 will result in negative gross margins on that
product since overhead costs
will dwarf deliveries before
production ramps higher.
A capital raise seems nec-
essary to bolster Tesla’s $3
billion cash pile, though CEO
Elon Musk said an equity
raise is not currently under
consideration. Access to the
capital markets shouldn’t be
a problem for now.
On the bright side, Mr.
Musk forecast that highermargin Model X and Model S
sales in the second half of
the year would exceed the
first half’s total of 47,077 delivered cars. That is good
news but isn’t much of an accomplishment—Tesla delivered 47,073 vehicles in the
second half of 2016.
Growth stocks aren’t
worth much if the business
doesn’t grow. If Tesla’s operating metrics slip in the second half, shareholders will
have an expensive problem.
—Charley Grant
AIG’s new chief executive
wants to get the company
growing again. First he
needs to solve the same
problem that helped bring
down his predecessor.
AIG posted better-than-expected second-quarter earnings thanks to a strong performance from its consumer
unit. In its commercial insurance business, the elevated
losses that bedeviled former
Chief Executive Peter Hancock stubbornly remained.
The accident year loss ratio in the commercial insurance unit ticked up to 66.1%
from 65.5% the previous
quarter. This calls into question whether AIG can hit Mr.
Hancock’s target of a loss ratio of 62% by the fourth
quarter.
That target was itself
above the original goal of
60% set at the start of 2016.
A perception that Mr. Hancock couldn’t stem these
losses contributed more than
anything else to his dismissal as CEO.
AIG was vague about why
losses rose except to say that
losses were higher on property it insures. The company
has signed a reinsurance
deal with Berkshire Hathaway protecting it from further risk on policies written
through 2015, but that won’t
help deal with these losses,
which are on new policies.
AIG’s new chief executive,
Brian Duperreault, might not
feel constrained by Mr. Hancock’s missed targets. The
underlying problem nonetheless needs addressing. It suggests that AIG is still under-
pricing property and
casualty policies or underestimating their risks.
Mr. Duperreault has
dropped hints that he wants
to pivot from restructuring
to growth at AIG. He did so
again in a short statement
Wednesday, saying AIG
should grow “by maximizing
the value of our international footprint, which distinguishes us from many of
our competitors.”
Mr. Duperreault is set to
lay out his full strategy in
more detail in a conference
call Thursday morning. Some
new international growth
would be welcome. But the
original problem that
brought down AIG’s previous
captain still needs to be addressed.
—Aaron Back
Документ
Категория
Журналы и газеты
Просмотров
19
Размер файла
8 846 Кб
Теги
The Wall Street Journal, newspaper
1/--страниц
Пожаловаться на содержимое документа