Wall Street kicked off the week in the green after three straight weekly losses for the S&P 500 and the Dow Industrials.
All three major averages (^DJI, ^GSPC, ^IXIC) are higher in early trading as oil prices soar (CLM16.NYM) after Goldman Sachs turned bullish and said crude moved from a state of oversupply to a deficit, and believes major supply disruptions in markets such as Nigeria, Venezuela, and China will sharply lower production levels.
However, Peter Borish, chief strategist of the Quad Group, explains to Yahoo Finance’s Alexis Christoforous in the video above why he doesn’t agree with Goldman’s crude call.
Apple (AAPL) shares are getting a nice pop in early trading following news that Warren Buffett’s Berkshire Hathaway owns a $1 billion stake or 9.8 million shares in the tech giant as at the end of the first quarter according to a regulatory filing.
Anacor Pharmaceuticals (ANAC) shares soared in early trading. Pfizer (PFE) is buying the drug firm for $5.2 billion in cash and debt, or $99.25 a share. The deal will give Pfizer access to Anacor’s eczema treatment which is under review by the FDA. Pfizer scrapped its deal with Allergan (AGN) last month after the Treasury Department issued new rules aimed at blocking the deal’s tax benefits.
Tribune Publishing (TPUB) surged this morning after Gannett (GCI) raised its bid to buy the owner of The Los Angeles Times and the Chicago Tribune by 22% to about $864 million, or $15 a share. This comes after Tribune rejected Gannett’s initial offer saying it was not in the best interest of its shareholders and undervalues the company.
Yahoo (YHOO), parent company of Yahoo Finance, is on investors’ radars. Billionaire investor Warren Buffett told CNBC this morning that he is willing back a consortium that includes Quicken Loans founder Dan Gilbert in a bid to buy Yahoo with financing, under the right terms.
New line at Amazon
Amazon (AMZN) is gearing up to launch its own brand of items. The new labels – which will be called Happy Belly, Wickedly Prime, and Mama Bear – may come out within the next three weeks according to the Wall Street Journal. The brands will include nuts, coffee, baby food and other household items.
Cook’s goodwill visit to China
Apple CEO Tim Cook is busy on his first day in China. Cook met with some of China’s biggest app developers – and the top staff of Didi Chunxing– a Chinese ride-hailing service that Apple is investing a billion dollars in. While meeting with all the developers – Cook told them that all of their work is consistent with Apple’s spirit. Apple wouldn’t give details on the rest of Tim Cook’s itinerary in China.
Trump on Brexit
Republican presidential nominee Donald Trump says it would make no difference to him if Britain decides to stay with the European Union or leaves next month. In an interview he did with Piers Morgan, Trump says Britain wouldn’t go to the back of the line in order to secure a new trade deal and would be treated just as fairly.
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