As we all know by now, on Wednesday U.S. stocks as the Dow Jones Industrial Average and the S&P 500 recorded their worst one-day drops since Feb. 8. The Dow Jones Industrial Average fell 831.83 points, or 3.2%, to 25,598.74. The S&P 500 dropped 94.66 points, or 3.3%, to 2,785.68, while Nasdaq Composite Index lost 315.97 points, or 4.1%, the biggest decline of this year. Meanwhile, the technology sector slipped 4.8%. Trading continues down today, with Treasuries and gold acting as safe havens.
BMW Agrees to Raise Stake In Chinese Joint Venture
German automaker Bayerische Motoren Werke AG (ETR: BMW) agreed to pay $4.1 billion to increase its stake in its Chinese joint venture with Brilliance China Automotive Holdings to 75% from 50% by 2022. The parties also agreed to extend the contract of the venture, called BMW Brilliance Automotive, to 2040 from 2028. BMW shares fell 0.54% in the afternoon trading session.
Elon Musk Denies Report That James Murdoch Is Top Choice For Chairman
Elon Musk denied a Financial Times report that James Murdoch is the top choice for the chairmanship of Tesla Inc (NASDAQ: TSLA). In a tweeted reply to the report late Wednesday, Musk said, “This is incorrect.” As part of a settlement between Musk, the Securities and Exchange Commission, and Tesla over fraud charges, the automaker must appoint a new independent chairman by Nov. 13. Tesla is down just under 2% on the day.
Third Point Asks Campbell Soup Not To Name New CEO
Activist investor Third Point LLC is insisting Campbell Soup Company (NYSE: CPB) not name new CEO before the company’s next annual meeting scheduled for Nov. 29. Third Point, led by Dan Loeb, owns around 10% of Campbell’s stock. In a letter to the company’s chairman Les Vinney, the investing firm stated that “the next permanent CEO should be selected by the newly-elected board because the current board has a poor track record of managing leaders and processes”. Shares of Campbell Soup have fall 0.58% on the day so far.
AT&T To Launch Video Streaming Service In 2019
AT&T Inc. (NYSE: T) subsidiary Warner Media is preparing a new video streaming service. In a new filing with the Securities and Exchange Commission, the telecom giant disclosed that the TV streaming service will make its debut in the fourth quarter of 2019. The firm did not reveal any further details about the streaming service. AT&T shares are down over 1.5% on the day.
Coca-Cola Gets Shareholder Approval to Buy UK Coffee Chain
UK-based firm Whitbread has obtained shareholder approval for the proposed sale of its coffee chain Costa to Coca-Cola Co (NYSE: KO) or $5.1 billion. Whitbread said that 99% of shareholders approved the deal at a general meeting held in London. Shares of Coca-Cola fell 1.25% on the day so far.
Square Inc. Chief Financial Officer Sarah Friar
Shares of Square Inc (NYSE: SQ) fell more than 9% in early trading on Thursday after the electronic payments company announced that its CFO Sarah Friar is leaving to become CFO of Nextdoor.com, social networking service for neighborhoods. In a note to employees, Square CEO Jack Dorsey said, “I’m saddened by the news.”