Day: September 25, 2023

Elon Musk is now facing a US Senate probe for hindering a 2022 Ukrainian attack on Crimea leading to accusations that Musk is sympathetic of Russia’s invasion of Ukraine.

Big media companies gave up early share gains from hopes of an end to screenwriters’ strike on Monday as focus shifted to an ongoing strike by actors, whose resolution is crucial for a full return to work in Hollywood.

Warner Bros Discovery (WBD.O), Paramount Global (PARA.O), Walt Disney (DIS.N) were down 0.3% to 2.1% in choppy trading, after rising as much as 4% before the markets opened.

The union representing roughly 11,500 film and television writers entered a tentative three-year deal on Sunday, which now needs an approval from the guild leadership and union members.

But a strike by a larger guild of actors is still on.

Nearly 160,000 film and television actors, stunt performers and other media professionals walked off the job in July, demanding higher wages and protection against artificial intelligence use.

Investors of the media companies have been concerned about the financial fallout of the strikes that had initially boosted cash flows due to lower spending, but has now started eating into earnings.

The deal with writers “will also mean the studios and streaming services will now focus fully on actors’ demands,” said Susannah Streeter, head of money and markets at Hargreaves Lansdown.

“Already it’s likely that the big studios will face a significant hit in 12-18 months time, with so little in the pipeline and bosses are now desperate for new content to attract eyes to big and small screens.”

WBD, whose CEO David Zaslav played a key role in contract negotiations with the writers, had earlier warned that the company’s full-year adjusted core profit would take a hit of up to $500 million due to projects delays from disruptions.

Its shares have dropped nearly 14% since the writers’ strike started on May 2, while Paramount, Disney and Netflix have lost between 20% and 45%. In comparison, the benchmark S&P 500 index has risen nearly 5%.

Netflix (NFLX.O), however, was up about 1% as analysts have said the streaming giant was better placed than its media rivals as it has production operations and staff in regions outside of the U.S., which are not impacted by the strike.

Media reports said the agreement with writers includes increased royalties, mandatory staffing for television writing rooms and protections over the use of AI.

“The total spend on shows will be little changed, as studios will either cut spending from other elements of show production, or reduce the number of new shows they produce (a process already underway) to pay for increased costs from writers,” said Rosenblatt analyst Barton Crockett.

A global index of stocks fell on Monday as bond yields rose while investors continued to digest last week’s central bank indications that interest rates would stay higher for longer.

The dollar hit an 11-month high against the Japanese yen the highest in almost 10 months against a basket of currencies after the U.S. Federal Reserve last week signalled it could raise interest rates further and was likely to hold them higher for longer than investors had expected.

U.S. economic risks that Powell noted in a press conference last week included the autoworkers’ strike, a possible federal government shutdown, resumption of student loan repayments, higher energy prices and higher long-term borrowing costs.

On Monday, Chicago Fed president Austan Goolsbee said inflation entrenched above the central bank’s 2% target remains a bigger risk than tight Fed policy slowing the economy more than needed.

The MSCI All-World index (.MIWD00000PUS) was last down 0.51% on the day and was heading for its biggest monthly decline this year of 3.7%.

“Yields continue to push higher, putting downward pressure on stocks but it feels like markets are showing more resilience. Technology and growth parts of the market are holding up better today,” said Mona Mahajan, senior investment strategist at Edward Jones.

Until the next inflation reading, due on Friday, and the third-quarter earnings reporting season, which starts in October, investors “may stay in a wait and see mode,” Mahajan said.

The Dow Jones Industrial Average (.DJI) fell 157.67 points, or 0.46%, to 33,806.17, the S&P 500 (.SPX) lost 8.62 points, or 0.20%, to 4,311.44 and the Nasdaq Composite (.IXIC) dropped 20.25 points, or 0.15%, to 13,191.56.

The pan-European STOXX 600 index (.STOXX) lost 0.97%.

In U.S. Treasuries the benchmark 10-year Treasury yield was building on three straight weeks of gains on expectations U.S. rates would stay higher for longer than previously anticipated.

Benchmark 10-year notes were up 8.1 basis points to 4.521%, from 4.44% late on Friday. The 30-year bond was last up 11.8 basis points to yield 4.6397%, from 4.522%. The 2-year note was last was down 0.9 basis points to yield 5.1141%, from 5.123%.

In currencies, the dollar index rose 0.455%, with the euro down 0.69% to $1.0578.Sterling was last trading at $1.22, down 0.31% on the day.

The Japanese yen weakened 0.36% versus the greenback at 148.90 per dollar close to the 150-per-dollar is the level many traders believe could represent a line in the sand for the Bank of Japan to intervene. The BOJ last week maintained its ultra-loose monetary policy.

Governor Kazuo Ueda, in a speech on Monday, reiterated the central bank’s resolve regarding interest rates and said there was “very high uncertainty” over whether companies would continue raising prices and wages.

In energy markets, oil prices edged lower in choppy trade on Monday as Russia relaxed its fuel ban, after earlier gains on a tighter supply outlook, while investors eyed elevated interest rates that could curb demand.

U.S. crude recently fell 0.93% to $89.19 per barrel and Brent was at $92.72, down 0.59% on the day.

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(NewsNation) — It was a summer of record-breaking ticket sales for live events. From Taylor Swift to Lionel Messi, fans shelled out thousands to see their favorite stars in person.

Scalpers made huge profits by selling their tickets for exorbitant prices, and now the IRS wants a piece of the pie.

A new tax regulation enacted under the American Rescue Plan Act says anyone who receives over $600 from a settlement organization like Venmo, CashApp, Ticketmaster or StubHub will now have to report those earnings to the IRS.

This change comes in the wake of big-name concerts in 2023, including Beyonce’s “Renaissance Tour” and Taylor Swift’s “The Eras Tour.”

The average ticket for Swift’s tour sold for just under $1,100 on StubHub and $1,600 on SeatGeek. The best seats sold for exponentially more.

In the past, ticket sellers only had to report earnings if they made more than $20,000 and at least 200 transactions a year.

Now, if anyone makes $600 or more, their earnings will be reported to the IRS, regardless of how many transactions.

Anyone who eclipses that $600 threshold can expect to receive a 1099-K tax form. This applies to everything from concert tickets to a side hustle on Etsy or Venmo. It is not meant to include reimbursements.

The Wall Street Journal reported the IRS is bracing for up to 44 million of these forms for the 2023 tax year, which will be roughly four times as many as the agency received in 2021.

The $600 threshold was supposed to take effect in time for spring 2023 tax returns, but the IRS delayed it in December amid confusion.

When the change was first approved, Treasury Secretary Janet Yellen said it was aimed at cracking down on tax cheats and the wealthy.

But Republicans blasted the new rules as government overreach.

Earlier this year, the House Ways and Means Committee approved a bill that would restore the old $20,000 threshold. Senators Sherrod Brown and Bill Cassidy also proposed a bipartisan effort to raise the threshold to $10,000, but those efforts have so far stalled in Congress.

The Correct Information is the Medicine for Society, and the core of Medicine is the Correct Information. 

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The Correct Information is the Medicine for Society, and the core of Medicine is the Correct Information. 

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Along with Admiral Viktor Sokolov, 34 officers were killed in Ukraine’s missile attack on Russia’s Black Sea Fleet headquarters in Sevastopol, Crimea, Ukraine’s Special Operations Forces said.

According to RentCafe’s latest rental competitivity report, New York City has been facing rising competition when it comes to apartments. This surge is due in large part to Manhattan and Brooklyn both placing among the report’s top 20 rental markets.

In this report, 139 markets in the United States where data was available were studied by RentCafe. Five relevant metrics to rank the nation’s hottest renting spots in peak season were used. These were the number of days apartments stayed vacant, the percentage of apartments that were occupied by renters, how many renters applied for the same available apartment, the percentage of renters who renewed their leases and the share of new apartments opened recently Then, to determine the rental market’s competitiveness, a Rental Competitivity Index was calculated.

Manhattan secured the 13th spot among the top 20 rental markets. This marked its first appearance there since before the start of the COVID-19 pandemic. According to the report, there is an average of nine prospective renters competing for each available apartment, with 94.7% of Manhattan apartments occupied. Vacant units averaged 38 days on the market. An estimated 66% chose to renew their leases. No new apartments have opened within this borough recently.

As was the case in Manhattan, the average amount of time vacant units in Brooklyn spent on the market was 38 days, with nine prospective renters competing for them. The occupancy rate during the peak rental season in Brooklyn was 96.1%, with a  0.16% increase in the supply of new apartments. Slightly more apartment-dwellers stayed put (66.2%) during the moving frenzy compared to in Manhattan’s 66%. Brooklyn placed slightly ahead of Manhattan, at number 11.

RentCafe credits the main reason for both Manhattan and Brooklyn making the list being thanks in large part to New York’s progress in recovering from the pandemic’s economic effects. According to a recent report by the New York City Economic Development Corporation, the city is very close to fully restoring its employment levels.

Queens did not rank in the top 20. Despite a 63.8% lease renewal rate and a lack of new apartments being constructed, the rental market there was still more relaxed during the high season. It took an average of 45 days for a vacant apartment to be filled, with just a single prospective renter applying for each vacant unit. During the peak rental season, the occupancy rate in Queens stood at 93.7%.