First Look With Surveillance: Fed Focus, Bitcoin Crackdown
U.S. futures are pointing to a muted open after the Dow Jones posted its biggest jump in more than three months on Monday. Investors are waiting on testimony from U.S. Federal Reserve Chair Jerome Powell. In his prepared remarks for the congressional hearing, Powell noted the American economy continues to grow, but highlighted inflation has "increased notably in recent months.” He is expected to take questions on the outlook of inflation and the job market – something investors will be focusing on for more insight into the pace of future rate hikes and the easing of the Fed’s bond-buying program.
HBC TO SPIN OFF SAKS OFF 5TH WEBSITE
Hudson’s Bay is selling a stake in its online discount chain Saks Off 5th and making it a standalone business. Venture capital firm Insight Partners has agreed to pay US$200 million for a minority stake in the new company valuing the online business at US$1 billion. The brick and mortar operations of Saks Off 5th will continue to be fully owned by HBC.
NUTRIEN TO FURTHER BOOST POTASH PRODUCTION
Nutrien plans to boost its potash production again by another half-million tonnes this year. The move comes after the European Union and others slapped new trade sanctions against Belarus, which is a key producer of fertilizer. This move is in addition to the half-million tonne increase announced about two-weeks ago after Mosaic cut production at its biggest potash mine due to flood risks. The Saskatchewan-based company expects most of the increased production to occur in the fourth quarter.
OTHER NOTABLE STORIES
- BlackBerry shareholder Dorsey Gardner is urging other shareholders to follow the advice of Glass Lewis & Co. and vote against Prem Watsa as lead director at the upcoming Annual General Meeting
- U.S.-based GlobalFoundries has said it will build a new fabrication plant in Singapore to help meet global demand for chips
- Vivendi shareholders have voted in favour of the French media group’s proposed spin-off of the iconic Universal Music Group, which is the music label to well-known artists like Drake, Justin Bieber and Taylor Swift
- Notable data: U.S. existing home sales
- 11:30: CPPIB CEO John Graham speaking at Canadian Club
- 14:00: U.S. Fed Chair Jerome Powell testifies before the Select Subcommittee on the Coronavirus Crisis, U.S. House of Representatives