“I’m convinced the first person to step foot on Mars will arrive there riding a Boeing rocket” — Boeing CEO Dennis Muilenburg, commenting on his vision of Boeing providing commercial space travel. Watch out, SpaceX—Muilenburg is coming for you.
- U.S. markets closed lower yesterday, with gold recording its worst trading day since 2013 after positive manufacturing data raised the odds of an interest rate hike in December
- The British Pound dropped to a 31-year low against yesterday as investors expect Britain to face kickback for its EU exit
- Shares of Sears shot upward amidst a period of profit declines and store closings after receiving multiple bids for its Craftsman unit worth up to $2 billion
If You’re from Sweden
…Shield your eyes. This one’s a little rough: one of Sweden’s largest employers, telecom equipment giant Ericsson, laid off over 20% of its local workforce (about 3,900 jobs) yesterday. What’s going on? With telecom heavyweights like Nokia and China’s Huawei breathing down its neck, Ericsson is looking to get leaner (read: cut jobs) to the tune of $1 billion over the next year. Bummer. But on the bright side, Ericsson still has its investments in 5G, the internet of things (network connectivity in everyday items) and cloud computing in the pipeline.
The Shady Dealings Continue
…Yahoo reportedly made a secret deal with the U.S. government. It’s been an interesting few weeks for Yahoo, to say the least. Weeks after announcing the largest public data hack in history, former employees claimed the company secretly agreed to search users’ incoming emails for information requested by the NSA or FBI. So what exactly are they looking for? We may never know, but what we do know is that, if true, this would (maybe) be the first time an American internet company has allowed the government to search all users’ incoming messages. And don’t worry, NSA whistleblower Edward Snowden had plenty to say about all of this.
Is There Ever a Dull Day in the Auto World?
…Not since you were very young, son. What’s new this time? Step right up, Ford. The American automaker’s got problems with its steering wheels in 642,000 vehicles, and issues with brakes in another 282,000 of its F-150 pickup trucks. Anything being done about it? Yep: the National Highway Traffic Safety Administration has launched a safety probe to investigate the complaints, which allege “complete loss of brake effectiveness,” among other things that may make you never want to drive a car again. To make matters worse, the F-150 is the best-selling vehicle in America. Yikes. Good luck steering out of this pickle, Ford.
Urjit Patel’s Coming Out Party
…Was quite the affair. The new governor of the Reserve Bank of India announced yesterday morning that the Asian nation’s central bank would cut its main interest rate by 0.25% to its lowest level in nearly six years (now sitting at 6.25%). The goal? Simple: boost India’s slightly slowing economy—thought it’s still one of the fastest growing in the world—and prop up inflation, which had fallen recently elevated levels. Unlike previous meetings, in which Patel’s predecessor, Raghuram Rajan, exclusively set rates, a new six-member monetary policy committee made this decision. And the results? Comprised of both Indian academics and central bank committee members, the group unanimously voted for the rate cut.
- Investment banking fees drop a fifth in America’s year-to-date
- Yahoo rebrands its main app as Yahoo Newsroom
- PepsiCo sued for exaggerating health benefits of Naked Juice
- Twitter to receive bids this week, report says
- Monday: ISM Manufacturing Index (-); September Auto Sales (-); Construction Spending (-)
- Tuesday: Micron (+), Darden Restaurants (+) Earnings
- Wednesday: Monsanto, Yum! Brands Earnings; ISM Non-Manufacturing Index; Factory Orders; Private Employment Report
- Thursday: Weekly Jobless Claims
- Friday; September Jobs Report
The iPhone 7 is old news. Yesterday, Google introduced its new high-end smartphone: Pixel. While this isn’t the first time Google has ventured into hardware (think Nexus and Chromecast), it’s certainly the tech giant’s most ambitious move yet. The goal: pioneer and perfect mobile AI (artificial intelligence) with pure, integrated Google software and hardware. Sound too futuristic? Don’t worry, Pixel looks pretty much like an iPhone. Here’s what’ll give Apple a run for its money:
- Many are calling Pixel’s camera the best ever. With video stabilization and free storage of high-resolution photos using Google’s cloud, it’s a strong argument—but Google’s past phones don’t have a great camera track camera.
- Pixel comes equipped with Google Assistant, a voice-controlled system that surprisingly lacks a bizarre name. The phone is also programmed to operate with Google’s new virtual reality headset, Daydream.
- But there’s more up Google hardware chief Rick Osterloh’s sleeve. In fact, we’ve already got a product ecosystem on our hands: Pixel is part of a larger bundle of original Google hardware, including Google Home (Google’s challenge to Amazon Echo), the aforementioned VR headset, a new Chromecast and a Google Wi-Fi home router.
- The kicker: Pixel ain’t coming cheap. It’s a premium quality phone with a premium quality price—running up to $869 for the souped-up 128GB Pixel XL. Preorders began yesterday for an October 20 initial shipping date. Well played, Google.
Interview Question of the Day
Divide 110 into two parts so that one will be 150 percent of the other. What are the two numbers? (Answer)
Startup of the Day
Xiaomi has quietly turned into the second most valuable venture-backed private company—valued at $46 billion (trailing only Uber). Founded in 2010, the Chinese startup has established its niche by producing social media-savvy smartphones at bargain prices. Look out, Apple and Google.
Food for Thought
Gear up, retailers—the holiday season is coming, and this one’s gonna be a doozy. The National Retail Federation predicted yesterday that holiday sales will rise 3.6% this year, well surpassing the 2.5% average growth of the past decade. And in case you were wondering, a solid 17.2% of that growth will be online.