Good morning, Quartz readers!
What to watch for today
General Electric reports fourth-quarter earnings. Expectations are high for GE, with shares having recently risen over 30% following JP Morgan upgrading its stock from “neutral” to “outperform.” Analysts say GE’s turnaround is anything but certain, however, with issues still plaguing its power and financial services divisions—which could spell underwhelming results.
Amazon reports fourth-quarter results. It all comes down to holiday shopping, which logged a six-year sales high this past season, according to MasterCard. Prime membership and Amazon’s ad business are also expected to bolster its results, though experts warn that e-commerce restrictions coming to India could harm the company.
China releases its manufacturing purchasing managers’ index. Analysts expect modest gains of just a fraction of a percent amid ongoing trade talks between China and the US. Last month, China’s PMI fell below the expansion threshold to 49.7, signaling a decline in demand both domestically and internationally.
While you were sleeping
A polar vortex turned swaths of North America colder than Mars. Temperatures dipped as low as -40°F (-40°C). In Chicago, Amtrak shut down, 2,000 flights were cancelled, and commuter rail crews set tracks on fire to keep the trains running. At least seven deaths have been linked to the extreme weather so far.
Foxconn abandoned plans to build a factory in Wisconsin. The company will instead create a research hub that primarily employs white-collar workers–just 25% of the 13,000 jobs it plans to provide are in manufacturing.
Facebook stock surged 7% on stellar earnings. Revenue grew 30.4% from last year to $16.91 billion. The news came one day after Facebook was found to have paid users to track their smartphone usage, leading to Apple revoking its ability to release apps directly to users.
Tesla missed the mark. Shares in the electric car company sunk 1.5% after it missed profit expectations in the fourth quarter. Still, it posted its second-consecutive profitable quarter and beat analysts’ sales expectations.
The US Federal Reserve kept interest rates unchanged at 2.25%-2.5%. The Fed abandoned language indicating additional rate hikes were ahead, instead adopting a cautious approach in light of potential shifts in its bond portfolio. Stocks rose on the news, with the Dow logging a 450-point increase.
Quartz obsession interlude
The pager is the cockroach of mobile communications. Tiny, tough, and with an unmatched ability to function in emergency conditions, the device that was borne out of the Prohibition-era pursuit of bootleggers (and later became a tool of the trade for drug dealers) still plays a robust role in the medical industry. Get the 411 in today’s Quartz Obsession.
Quartz Membership
Used water routinely gets flushed down the toilet or sink. But the water crisis is forcing us to ask not whether we should treat and drink used water, but how best to do it (and how to ignore our gag reflex). One place to start: learning from those already recycling water, like astronauts. Join Quartz on a journey around (and out of) the world to see approaches to turning wastewater into drinking water.
Matters of debate
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American retail isn’t dying–it’s just consolidating at both ends, squeezing the middle. Sales are booming for both high-end brands and budget retailers.
Are you worried about robots replacing you at work? Some are already looking to “robot-proof” their careers with a “humanics” approach: learning to work with machines, manage their data, and thriving at things non-humans can’t do.
Chinese smartphones are now good enough to rival iPhones. Huawei, Xiaomi, Oppo, and Vivo are pulling up strong with good design, quality cameras, and affordability.
Surprising discoveries
Emergency calls to vets are up 765% thanks to the popularity of weed edibles. Getting a dog stoned is no laughing matter: THC is toxic for canines, so stash your stash where Fido can’t smell it.
UAE now boasts the world’s largest virtual battery plant. Oil-rich United Arab Emirates plans to spend $160 billion on renewable energy by 2030, with a goal to get more than 60% of its electricity from carbon-free sources by 2050.
More than 52,000 lbs (23,000 kg) of chicken nuggets were recalled in the US this week alone. Tyson Foods recalled about two-thirds due to rubber contamination, and Purdue took back the rest over allergen concerns.
China comes in at number 2 on the list of countries with the most Starbucks locations. It now has more than 3,600 shops across 150 cities, as well as a robust delivery service and a virtual store on Alibaba, allowing 600 million consumers to place their venti latte orders.
Shark attacks are way down, but no one knows why. Is it because there are fewer sharks? Because safety alerts are more effective? Because humans are better at sharing the seas with our finned frenemies? Scientists aren’t sure.
Our best wishes for a productive day. Please send any news, comments, uncontaminated chicken nuggets, and Starbucks deliveries to hi@qz.com. Join the next chapter of Quartz by downloading our app and becoming a member. Today’s Daily Brief was written by April Siese and edited by Holly Ojalvo.