Noah Zivitz

Managing Editor, BNN Bloomberg

Archive

Futures are pointing to a weak open as stocks wobble at the start of this new trading week. While last week brought three different measures of inflation in the United States, this one is decidedly lighter on obvious catalysts. Though investors will get more details on the U.S. Federal Reserve’s thinking on Wednesday with the release of minutes from the central bank’s last policy meeting. And this morning we can expect to hear more talk on transitory trends with a speech from Fed Vice-Chair Richard Clarida shortly after 10 a.m. ET.  

BRIDGING FINANCE LATEST

An Ontario Superior Court judge has granted the Ontario Securities Commission staff’s request to have PricewaterhouseCoopers remain in control of the lender amid allegations against Bridging Finance of misappropriated funds, inadequate disclosures and conflicts of interest. In a filing released on Friday, OSC staff shed new light on its work against Bridging and said the now ousted CEO, David Sharpe, allegedly closed his BMO chequing account (where nearly $20 million is alleged to have been deposited by a business associate) just a few days after being questioned on the matter by enforcement staff.  

AT&T UNDOING MEDIA STRATEGY

What a difference a few years makes. AT&T today announced a US$43-billion deal to merge its media assets with Discovery Communications in a dramatic undoing of the big telco’s convergence push. Recall that in 2016, AT&T announced a blockbuster deal to buy Time Warner for US$85 billion. Now, however, it’s eager to part ways and put the proceeds from today’s transaction toward its core competencies of wireless and broadband operations.

CHINA’S ROARING ECONOMY EASES UP

The latest growth figures out of China are remarkable by any measure: April industrial production up 20.3 per cent, retail sales up 17.7 per cent, fixed-property investments up 21.6 per cent. While we can only dream of numbers like that, all of them marked decelerations from the year-over-year figures from March.

OTHER NOTABLE STORIES

• JPMorgan Chase & Co. is opening its U.S. offices to all staff as of today (subject to capacity limits) in what could be a highly symbolic day for the finance industry. This comes after CEO Jamie Dimon made it known to the bank’s workforce last month that it “fully expects” all U.S. staff will be heading back into the office “on a consistent rotational schedule” by July. 
• It will be worth watching shares of Transat A.T. today after its largest shareholder -- Letko, Brosseau & Associates – said in a release it is “committed to Transat and will continue to remain a shareholder.”
• OMERS and Alberta Investment Management Corporation have agreed to sell a majority stake in sustainability consultancy ERM to KKR. Terms weren’t disclosed.
• Lion Electric will be on our radar today after the Saint-Jérôme, QC-based vehicle maker announced the largest ever order for its school buses as First Student agreed to buy 260 of them.

NOTABLE RELEASES/EVENTS

• Notable data: Canadian housing starts and international securities transactions
• Notable earnings: Galaxy Digital Holdings
• 10:05 a.m.: U.S. Federal Reserve Vice-Chair Richard Clarida delivers speech "Sovereign Markets, Global Factors"
• 12 p.m.: Prime Minister Justin Trudeau delivers remarks on energy efficiency in the residential sector alongside Employment Minister Carla Qualtrough and Natural Resources Minister Seamus O’Regan
• 1 P.M.: U.S. President Joe Biden delivers remarks on COVID-19 response
• First meeting of the new NAFTA free trade commission begins (include Canada's international trade minister, U.S. trade representative, and Mexico's economy secretary)
• Deadline for institutional investment managers to submit 13F filings to U.S. Securities and Exchange Commission