Signs that the economy’s potential has strengthened might mean rates rising higher than earlier thought

Jerome Powell heads for his first interest rate increase as Federal Reserve chairman this week with an unanswered question looming above others: could his optimism about the U.S. economy lead to more hikes than markets have prepared for? Powell’s public comments and Reuters conversations with his Fed colleagues since January, when he was confirmed as […]

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US defense contractor CACI attempts to break up General Dynamics’ acquisition of CSRA

U.S. defense contractor CACI International said on Sunday it had offered to merge with larger peer CSRA, seeking to disrupt the latter’s $6.8 billion acquisition by General Dynamics. The move comes after CSRA agreed last month to sell itself to General Dynamics, another defense contractor, for $40.75 per share in cash, as companies in the […]

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Goldman Sachs and the CIA? Gary Cohn was reportedly almost named top spymaster

Former National Economic Council Director Gary Cohn was almost named the head of the CIA, according to Politico, which cited three people closed to President Donald Trump. Politico said Cohn had talked to the president about leading the spy agency. Trump reportedly offered the job to Cohn informally, saying he thought he would be a […]

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Trade war threat is now Wall Street’s top economic fear, survey says

Sparked by the Trump administration’s recent tariffs, nearly three-quarters of respondents to the CNBC Fed Survey say they are now worried about a trade war. Protectionism tops the list of worries on Wall Street, the survey shows, far outpacing concerns over inflation, terrorism and even the Fed itself. “The market has shifted from a fear […]

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Trump’s tariffs may anger China and here’s how it may retaliate

China will likely enact its own duties that would hurt U.S. exporters, now that President Donald Trump has announced tariffs on steel and aluminum imports, analysts said. “I believe that China would stick to trade responses by raising tariffs on select U.S. products that would hurt U.S. exporters, particularly in [the] agriculture sector,” Wendy Cutler, […]

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Goldman: ‘Good chance’ this leads to NAFTA withdrawal

President Donald Trump’s decision to impose tariffs on foreign steel and aluminum likely precedes an exit from NAFTA, according to Goldman Sachs. The bank’s chief economist noted that while a formal decision has yet to be announced, a 25 percent tax on steel and a 10 percent tax on aluminum would be the most substantial […]

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US shale investors still waiting on payoff from oil boom

U.S. oil production has topped 10 million barrels per day, approaching a record set in 1970, but many investors in the companies driving the shale oil revolution are still waiting for their payday. Shale producers have raised and spent billions of dollars to produce more oil and gas, ending decades of declining output and redrawing […]

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Amazon’s potential shipping service won’t be able to compete on cost with FedEx, Bernstein says

Amazon won’t be able to compete with traditional carriers like FedEx as the costs of e-commerce increase over the next decade, according to one Wall Street firm. FedEx’s shares have fallen nearly 10 percent over the past month after The Wall Street Journal reported that Amazon is preparing to launch its own delivery service. But […]

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Deficits may hurt US response to recessions, says Fed official

The now “large” U.S. deficits may complicate the government’s ability to curb future recessions with tax and spending policies, so the Federal Reserve must depend less on fiscal policy, a top Fed policymaker said on Friday. “Large deficits now may make future actions difficult” for the government, Boston Fed President Eric Rosengren said in prepared […]

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A Chinese rival to Amazon is in talks with Kroger

Chinese e-commerce and technology company Alibaba Group and U.S. grocer Kroger have had early discussions on working together, including a meeting in which U.S. executives traveled to China, a source familiar with the matter said. The business development talks are at an initial stage, and it is not clear if they will lead to any […]

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