Business

Chinese tech giant Huawei plans to introduce ‘augmented reality’ glasses in next one or two years

Huawei is working on augmented reality (AR) smart glasses which could debut in the next one or two years, potentially pitting it in a race against Apple, which is reportedly working on a similar product of its own. AR is a technology that sees virtual three-dimensional images overlaid onto the real world. It’s a similar principle as smartphone game apps that let users see digital objects through the screens on their phones that appear to be within the scene captured on their screen. The Chinese technology giant already has augmented reality apps on its latest Mate 20 Pro smartphone. But Richard Yu, CEO of Huawei’s consumer business, told CNBC in an exclusive interview that AR glasses are in the works which could take the experience to the next level. These would be wearable spe...

Cramer Remix: This stock has engineered the greatest turnaround story of our era

In an uncertain investing environment, CNBC’s Jim Cramer likes to highlight “the best of the best” of the “slowdown plays,” or stocks that do well in a weaker economy. So, on Tuesday, the “Mad Money” host profiled the turnaround at Bausch Health Companies, the drugmaker formerly known as Valeant Pharmaceuticals. Under the leadership of Chairman and CEO Joe Papa, Bausch has undergone what Cramer said “may be the greatest turnaround story of this particular era.” Shares of Bausch, which changed its name from Valeant in July 2018, have more than tripled from their April 2017 lows. The company’s latest quarterly report handily beat expectations on earnings and revenue, with organic revenue growth in all of its segments. “How did...

It’s A Miracle: There’s A Brexit Deal

By EU2017EE Estonian Presidency (Theresa May) [CC BY 2.0], via Wikimedia Commons Ladies and gentlemen: We have a Brexit deal. The scornful, snarky doubters (whoever they are) have been proven wrong. Theresa May has done it, Ireland and all. Raise a glass to Her Majesty the Prime Minister and let’s all join in a rousing rendition of “Rule Britannia.” Plucky Albion’s pulled through! Even assuming she gains the cabinet’s approval on Wednesday without a politically damaging raft of resignations — not a given — Mrs. May faces daunting odds in pushing the compromise plan through Parliament, where it has many opponents…. One influential pro-Brexit lawmaker, Steve Baker, said on Tuesday that about 50 pro-Brexit Conservative lawmakers might oppose Mrs. May’s deal. Hard-Brexiters swiftly reacted neg...

If Ginni Rometty Will Wildly Overpay For A Tech Company, Carl Icahn’s Gonna Make Sure Michael Dell Does, Too

Five years ago, Michael Dell bested Carl Icahn in a protracted and amusing battle of the billionaires over Dell’s namesake company. Icahn thought Dell was screwing over Dell shareholders such as himself, but 65% of them voted for the deal anyway. Three years later, Dell realized it missed at least part of being a public company, namely the ease with which it allows one to raise money for nothing. So Dell issued a tracking stock to raise a few billion to buy a company called EMC, which owned most of a company called VMware, upon which the tracking stock was based. Now, Dell wants to be fully public again. But rather than go through the trouble of an IPO, it figures it’ll just reverse-merge with the VMware tracking stock. This strikes a lot of hedge-fund types as a bad idea. It strikes Icahn...

Which Observation Is Not Like the Others: US Inward FDI Again

Plotting nominal dollar value of inward FDI understates the collapse in inflows. Here is the ratio to GDP, and — considering how FDI covaries with the stock market’s level — the real S&P 500 (As I recall, working on this topic during the dot.com boom, the dollar’s strength was the other important factor — but that hasn’t changed much over the last three years.) Figure 1: Inward US bound FDI as a ratio to nominal US GDP (blue, left scale), and real S&P 500 (red, right scale). NBER defined recession dates shaded gray. Trump administration denoted by orange shading. Deflation using CPI. Source: OECD, BEA 2017Q3 advance via FRED, Robert Shiller, NBER, and author’s calculations. Note that given the correlation between stock prices and FDI, I would’ve expected higher levels of inflows. I...

Joshua Kushner’s start-up Oscar Health sues Florida Blue for allegedly running Obamacare monopoly

Health insurance start-up Oscar Health sued Florida Blue on Tuesday, accusing the independent licensee of the Blue Cross and Blue Shield Association of illegally running a monopoly in the state’s Obamacare market. Oscar Health accused Florida Blue of using “exclusive policy” agreements that prevent insurance brokers from selling Oscar health coverage plans or other insurance if they already sell Florida Blue’s policies. The “scheme,” Oscar Health said, is “devastating” for newcomers like the company and, if allowed any further will limit “consumer choice” and undermine “the role of brokers.” Joshua Kushner, brother to Trump adviser Jared Kushner, co-founded Oscar Health. “Florida Blue wrongfully uses its monopoly...

A look inside Tesla’s Gigafactory: The key to the automakers’ success

Walk into Tesla’s Gigafactory in Sparks, Nevada, and the first thing that stands out is the size of the battery plant. It’s enormous. So big that you could fit 33 football fields — and it’s only getting larger. “The Gigafactory is critical to Tesla. There is more batteries produced here for electric vehicles than in the rest of the planet combined. We would not be able to make all the vehicles we are making now if we didn’t have the Gigafactory,” said Jerome Guillen, president of Tesla Automotive. The Gigafactory’s expansion since opening in July 2016 has been critical to Tesla’s growth. This year, the automaker is on track to sell 170,000 vehicles, a jump of more than 59 percent compared to last year. Much of that growth is due to its latest...

It’s Larry Kudlow’s Turn To Lock Pete Navarro In A West Wing Closet

Perhaps the funniest part of Larry Kudlow’s tenure as Donald Trump’s top economic adviser is how unwilling Larry has been to learn the lessons of his predecessor, Gary Cohn. Instead of leveraging Gary’s departure to get the president thinking (or at least acting) more reasonably on trade and spending, or holding his fire on Twitter, Kuddles has simply kept us his smarm offensive; coddling the president’s ego while tacitly disagreeing with every Trump economic policy that doesn’t rhyme with “Sax Buts.” But now Larry has been forced to confront one unignorable reality of his gig – something that Gary Cohn handled beautifully when he stomped the halls of the West Wing – Peter Navarro must be kept away from cameras, microphones, and probably children. On Friday, Navarro went on stage at some c...

Few people exercise as much as they should—contributing $117 billion in annual US health costs

Just a fraction of Americans are exercising as much as they’re supposed to, costing the health-care system and contributing to people dying early. Only 26 percent of men, 19 percent of women and 20 percent of adolescents meet the U.S. Department of Health and Human Services’ exercise recommendations, according to the agency. Failing to meet the suggested levels of aerobic physical activity adds nearly $117 billion in annual health-care costs and contributes to 10 percent of all premature mortality, HHS said Monday in announcing its latest guidelines. The data highlight the challenges of convincing Americans to move more despite federal efforts. Between 2015 and 2016, about 93.3 million U.S. adults, nearly 40 percent, had obesity, according to the Centers for Disease Control and...

Kudlow says White House looking at infrastructure plan, including energy pipelines, LNG terminals

PresidentDonald Trump‘s administration is looking at a multifaceted infrastructure plan, according to top White House economic advisor Larry Kudlow on Tuesday. “We are looking at infrastructure in many different ways,” Kudlow said on CNBC’s “Squawk on the Street.” “I’d like to do energy infrastructure. I’d like to do pipeline,” Kudlow said. “I’d like to do anything that will help LNG, terminals, shipping. We’d like to revise the U.S. shipping industry, which has been dormant for many years. We’d like to export oil, natural gas to Europe and to Asia.” There are early signs that European leaders would be willing to support the building of liquefied natural gas, or LNG, import terminals. New terminals co...

Dan Loeb Is Sure His Shorts Will Work This Time

In the wake of a difficult first quarter, Dan Loeb expressed confidence: There were just so many terrible companies run by so many stupid executives in an environment perfectly suited to bringing them down he could hardly lose. Except that he did, and he is, losing. So in the wake of a difficult beginning to the fourth quarter, Loeb is assuring his investors: There were just so many terrible companies run by so many stupid executives in an environment perfectly suited to bringing them down he can hardly lose. “While current U.S. growth remains above‐trend, helped by fiscal stimulus, this positive impulse is peaking now, and will combine with an increasing drag from tightening financial conditions,” Loeb said in a letter dated Friday. “We have delevered our portfolio, reduced our tech expos...

Bank of America downgrades Best Buy to neutral ‘after several years of outsized growth’

Bank of America Merrill Lynch lowered the firm’s rating of Best Buy to neutral from buy on slowing growth and risk to key products. “We continue to see [Best Buy] as one of the highest quality hardline names but after several years of outsized growth and likely less opportunity for big beat and raise quarters, it is harder to justify,” the firm’s analyst Curtis Nagle said in a note Tuesday. The consumer electronics industry saw a slowdown in the third quarter and expects there is “less chance for a big” same store sales result for Best Buy in the year ahead. Specifically, Nagle said he sees a “risk from key products for at least the next few quarters.” “The biggest risks from a product perspective are TVs, gaming, Apple products and pos...