What to watch for today
GM discusses a slowing China. The company’s performance in the world’s biggest car market will be at the center of its quarterly results. Car sales in China have slowed along with the rest of the economy, posing a challenge to foreign automakers counting on them to offset slow growth elsewhere.
Amazon investors are primed for a cloud burst. The online giant’s quarterly results will provide new insight into Amazon Web Services. The retailer’s cloud-computing arm is expected to return to higher profit margins after a price cut last year.
Donald Trump visits the US-Mexico border. The divisive Republican presidential candidate will visit Laredo, Texas, where he is certain to expand on his controversial views on immigration.
A bevy of earnings: Unilever, Syngenta, Visa, McDonald’s, 3M, Comcast, Eli Lilly, Starbucks, United Continental, Under Armour, Dunkin Brands, and Pandora all report quarterly results.
While you were sleeping
Alexis Tsipras contained a rebellion. The Greek prime minister relied on pro-EU opposition parties to pass another austerity bill dictated by the country’s creditors, despite a quarter of his Syriza party voting against the bill or abstaining. That opens the door for negotiations with the IMF and the euro zone over a €86 billion ($94.1 billion) bailout package.
Apple cut $1 billion from its spending plans. The iPhone maker will spend $12 billion in the financial year ending in September, down from an earlier plan to spend $13 billion, Apple divulged in a regulatory filing. The reduction is likely a move to placate investors, after Apple’s fiscal third quarter earnings missed expectations.
Uber won its duel with New York City—for now. Mayor Bill de Blasio has dropped his plan to cap the number of new Uber drivers after a social media onslaught from the aggressive startup. The city will still conduct a four-month study on the environmental and traffic impact of Uber and its ilk.
Ikea “recalled” 27 million dressers. The Swedish furniture manufacturer will issue anchoring sets to prevent the Malm chests from tipping over. Two children were killed last year in incidents involving the items.
Japan’s export data wobbled… The value of shipments from Japan rose 9.5% in June from a year earlier, marking the largest rise in five months but slightly below expectations nevertheless. The central bank is betting the economy will pick up after a dreary second quarter, but the export data doesn’t bode well so far.
…And South Korea’s GDP growth stalled. The country’s second-quarter economic growth dropped to just 0.3%, falling short of expectations and down from a first-quarter rise of 0.8%. The export-oriented economy is struggling with lower global demand, and the MERS crisis halted tourism.
Wall Street got a taste for pet food. Shares of Blue Buffalo, a maker of natural pet foods, surged 36% following its IPO to $27.3, eventually valuing the company at $5.3 billion. The successful IPO comes after Nestlé Purina Petcare sued the company for falsely advertising its pet food as containing no poultry by-products.
Quartz obsession interlude
Marc Bain on how much fakes are costing the European fashion industry. ”Counterfeits cost European brands the value of 9.7% of their total sales every year, or a staggering €26.3 billion ($28.7 billion), according to a new report by Europe’s Office for Harmonization in the Internal Market. Those lost sales ripple outward, resulting in approximately 363,000 lost jobs across the manufacturing, retail, and wholesale sectors of Europe’s fashion industries.” Read more here.
Matters of debate
Europeans: Stop saying the US uses too much air conditioning. It’s hotter over there, and it’s not all that bad for the environment anyway.
“I don’t regret my Ashley Madison affair.” One user explains how the site helped him live again.
The US and Canada might one day go to war. The flashpoint could be two disputed islands between Maine and New Brunswick.
US incarceration has caused more crime than it has prevented. The system turns small-time offenders into career criminals.
CrossFit’s true strength is its business plan. Affiliates shoulder the capital costs but the parent company maintains a tight grip.
There could soon be a pill to solve gluten intolerance. It could be derived from eggs.
Florida is suffering an outbreak of leprosy. Nine people were infected after coming in close contact with armadillos.
Moscow launched an outdoor cinema for its homeless. The audience voted for a Soviet slapstick for opening night.
A butt-dial can now get you in trouble. A US court ruled accidental calls are not protected by the right to privacy.
Sony Pictures is making a movie about emojis. _(ツ)_/¯