Progressive Senator Elizabeth Warren (D-MA) on Wednesday applauded the Facebook (
FB) oversight board's decision to uphold the ban on former President Donald Trump from the site for the time being. But she warned that the move demonstrates the outsized power of the social media platform, and reaffirms her call to break up the nation's tech giants.
"I'm glad that Donald Trump is not going to be on Facebook," she tells Yahoo Finance Editor-in-Chief Andy Serwer. "Suits me."
"But part two is that this is just further demonstration that these giant tech companies are way, way, way too powerful," adds Warren, author of a new book entitled "
Facebook's oversight board, a panel appointed by the company to rule on content decisions,
said on Wednesday that it was the right call to take Trump off the site the day after the attack on the Capitol that he was accused of inciting. But the board also said an indefinite suspension was “not appropriate," since the possibility of such a penalty goes unmentioned in Facebook's policies.
The board called on Facebook to revisit the ban within six months, either making it permanent or setting a limit on its duration and providing a justification for its decision.
Facebook's 'Supreme Court'
Officials in both parties responded with criticism over the immense power of Facebook. Some Democrats like Rep. Adam Schiff (D-CA) and Warren
agreed with the board's choice to uphold the ban for now, while Republicans opposed it.
In response to the ruling, Trump called content moderation decisions of this type made by Facebook, Google (
GOOG, GOOGL), and Twitter ( TWTR) a "total disgrace." Meanwhile, Senator Josh Hawley (R-MO), a Trump ally, joined other Republicans in calling for the breakup of big tech.
called for dismantling big tech companies in 2019 during her presidential run, said the outsized power of Facebook is embodied in the unofficial name of its oversight board, dubbed by Facebook CEO Mark Zuckerberg as its "Supreme Court."
"Listen to the arrogance of it," she says. "The name of the group that made the decision is called the Supreme Court. I missed the part where those people had hearings in front of Congress, and were voted on before they were made decision makers with this kind of authority."
"We need to break up these big tech companies," she adds.
indefinitely suspended Trump's accounts on Facebook and Instagram on Jan. 7, the day after Trump supporters attacked the Capitol. Twitter ( TWTR) permanently banned Trump on Jan. 8.
Later that month, Facebook
sent the decision to its newly formed oversight board, a panel of judges made up of experts and public figures from around the globe. The board was given 90 days to decide on the ban.
Members of the board
reportedly earn six-figure salaries paid by an independent trust seeded with $130 million by Facebook, raising questions about its true independence. Board members include academics, a Nobel Prize Laureate, journalists, and other civic leaders. Senator Elizabeth Warren (D-MA) speaks with Yahoo Finance Editor-in-Chief Andy Serwer on "Influencers with Andy Serwer."
Warren spoke to Serwer in an episode of “
Influencers with Andy Serwer,” a weekly interview series with leaders in business, politics, and entertainment.
A former 2020 presidential candidate, Warren grew up in Oklahoma, dropped out of college to get married, and later became a law professor at Harvard University and the brain behind the Consumer Financial Protection Bureau — all before she joined the Senate in 2013.
President Joe Biden has
signaled that his administration will carry out an aggressive approach toward big tech, but it remains to be seen whether Biden will ultimately push to break up the tech giants altogether.
In recent months, Capitol Hill has intensified its scrutiny of four of America’s largest tech companies — Amazon (
AMZN), Apple ( AAPL), Facebook, and Google — including the release in October of a scathing House antitrust report, which was formally approved by the House Judiciary Committee last month, setting the blueprint for potential regulatory measures.
Big tech companies have amassed too much economic and political power, which allows them to smother competition and help set advantageous rules, Warren said.
"They need to be broken up in order to keep commerce flourishing," she says, later noting: "They have too much influence and they pose a threat to our democracy."
"Time to enforce our antitrust laws," she says.
Investor's Business Daily
Pfizer said Tuesday it plans to seek full FDA approval for its Covid-19 vaccine by the end of the month. But Pfizer stock was just below a buy point despite strong earnings.
Applications for U.S. unemployment benefits fell below 500,000 in early May for the first time since the onset of the pandemic, pointing to an upsurge in hiring as companies race to add back staff with the economy building momentum. Initial jobless claims in the states sank 98,000 to 498,000.
Yahoo Finance’s Julie Hyman, Brian Sozzi, and Myles Udland break down the earnings reports for Uber, PayPal, and Etsy.
(Bloomberg) -- Monde Nissin Corp. has set a final price of 13.50 pesos per share for its initial public offering, putting the Philippine food maker on track to raise $1 billion in the nation’s biggest ever first-time share sale.The producer of the Southeast Asian country’s best-selling instant noodle brand Lucky Me! is selling 3.6 billion shares at that price, it said in a letter to the local stock exchange on Thursday. That’s lower than the 17.50 pesos maximum price indicated in its IPO filing.Still, at 48.6 billion pesos ($1 billion), Monde Nissin’s offering will be the biggest on record in the country. Del Monte Philippines Inc., another food company best known for its pineapple products, last month filed for an IPO that could raise as much as 38.3 billion pesos. SM Investments Corp.’s 28.8 billion-peso IPO in 2005 was the biggest so far, according to data compiled by Bloomberg.It is not uncommon for Philippine IPOs to price below the maximum indicated level. Monde Nissin’s shares are expected to begin trading on June 7, according to an earlier prospectus.World-Lagging Philippine Stocks Lack Technical Support: ChartPhilippines, which has seen DDMP REIT Inc. raise 13.4 billion pesos in the only stock listing so far this year, has another large deal in the pipeline. National Grid Corp. of the Philippines has picked banks to work on an IPO to raise at least $1.5 billion, Bloomberg News reported in March.Monde Nissin makes crackers, muffins and biscuits, and has a presence in more than 30 countries, according to its website. In 2015, the Makati-based firm acquired British meat substitute maker Quorn Foods Ltd. for 550 million pounds ($764 million).Monde Nissin plans to use the IPO proceeds for purposes including loan repayment and general corporate use, according to an earlier filing.UBS Group AG, Citigroup Inc., Credit Suisse Group AG and JPMorgan Chase & Co. are the joint global coordinators of the deal, while the local lead underwriters are BDO Capital & Investment Corp., BPI Capital Corp. and First Metro Investment Corp.(Adds more details in the fourth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Investors should start preparing for higher U.K. borrowing costs, even if they take a while to materialize.That’s the view of strategists at UBS Group AG and NatWest Markets, who recommended positions that would benefit from an increase in interest rates in a year or two.While the Bank of England has signaled it will continue to support the economy with record-low interest rates and 150 billion pounds ($209 billion) of bond buying by year-end, the success of the U.K.’s vaccination drive has super-charged the recovery and plans for a full reopening in June look to be on course.A market measure of price increases climbed to a decade-high last month. Any further rise in inflation expectations could prompt the Monetary Policy Committee to take stronger steps to control rising prices once the dust has settled, wrote John Wraith, head of U.K. and European rates at UBS.“In due course, the MPC will raise rates materially faster than is currently priced in, should inflation dynamics require them to do so,” said Wraith, adding that a further material rise in rates in one year “could be imminent.”To capture the move, he recommends paying one-year swaps, starting in two years against the overnight rate or targeting a higher premium on the one-year swap rate between the one- and three-year forward points.Such swaps exchange fixed-rate payments for floating-rate ones, and are used by investors ranging from pension funds to insurers, as well as companies managing their future liabilities.Meanwhile, NatWest Markets envisages a similar response by BOE policy makers to higher growth and inflation numbers, and doesn’t rule out a single 40-basis-point rate hike to 0.5% at some point in 2023. U.K. strategist Theo Chapsalis recommends paying two-year overnight rates one-year forward to position for such a move.The BOE announces its latest policy decision at 12 p.m. on Thursday, with money markets betting the central bank will keep interest rates steady for the remainder of the year before raising them about 45 basis points in two-year’s time.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
You could be entitled to additional money, based on your 2020 income.
Another than 1.1 million economic stimulus checks worth more than $2 billion are on the way, the IRS said. The payments included "plus-up" checks.
In an interview with Fortune, Alba talked about taking her “fourth baby” (a.k.a. her company) public.
More returns need additional review due to things like the recovery rebate credit.
(Bloomberg) -- Alphawave IP and its holders are looking to raise as much as 810 million pounds ($1.1 billion) in a listing on the London Stock Exchange, adding a rare semiconductor stock to the U.K. market and boosting the City’s attempts to establish itself as a technology hub.The Canadian company is looking to raise 360 million pounds by selling as many as 96 million shares in an initial public offering, while shareholders plan to offload a stake worth as much as 450 million pounds, according to terms seen by Bloomberg.The company plans to market shares in the IPO at 375 pence to 430 pence through May 13, with the new stock set to start trading a day later, the terms showed.The IPO, which will value the company at as much as 3.2 billion pounds, comes as London attempts to position itself as a global financial center for tech listings. Cybersecurity firm Darktrace Plc listed last week at a lower-than-expected valaution after online food-delivery platform Deliveroo Holdings Plc flopped in its market debut in March.Keen to bolster its standing in a post-Brexit world, the U.K. is making serious attempts to lure more tech founders to London and is set to rewrite its listing rules. New York remains the venue of choice for most unicorn IPOs, however, thanks to the U.S. roster of Silicon Valley startups, its deep capital pool and a host of tech behemoths like Alphabet Inc. and Google Inc.Founded in Toronto in 2017, Alphawave makes technology to improve semiconductor power efficiency and speed. The company plans to use the proceeds to expand in Europe, the U.K. and Asia, invest in marketing and recruit talent, it said.The deal will be the first semiconductor IPO in London since Kromek Group Plc’s float in 2013, while a number of other firms have left the market in the meantime. ARM Group, previously the U.K.’s flagship publicly traded semiconductor company, delisted in 2016 after a takeover from SoftBank Group Corp, while Imagination Technologies Group Plc also was acquired by a foreign investor.BlackRock Inc. and Janus Henderson have agreed to take up $510 million of Alphawave’s offering. If there’s sufficient demand, underwriters may place additional shares, bringing the total deal size to as much as 931 million pounds, with up to 29% of the company listed.Barclays Plc and JPMorgan Chase & Co. are joint global coordinators, while BMO Capital Markets is joint bookrunner.(Updates with offer details)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Mubadala Investment Co. joined global investors like KKR & Co. in pouncing on opportunities presented by the pandemic, embarking on a record dealmaking spree while many of its peers among sovereign wealth funds hunkered down.In a year that saw the worst oil-price crash in a generation, Mubadala delivered a record income for the Abu Dhabi government as it doubled down on a bet that sectors like technology and consumer goods will benefit the most from the economic recovery. Abu Dhabi’s second-largest wealth fund said on Thursday that new investments last year amounted to 108 billion dirhams ($29.4 billion).With stakes in businesses from the retail unit of India’s Reliance Industries Ltd. to U.S. private equity firm Silver Lake and an ambition of doubling in size over the next decade, Mubadala stood out in seizing on dislocations in markets caused by the pandemic. State funds’ overall investments dropped almost 20% last year, according to New York-based adviser and data firm Global SWF.Mubadala’s pace put it on par with KKR, which was the top spending private equity firm globally from the start of April through December last year, according to data compiled by Bloomberg. KKR invested a total of $29.5 billion in public and private markets in 2020.“We navigated our portfolio through the dramatic macro-economic decline of early 2020, and decided to accelerate the pace of our capital deployment, ending the year with record profit and growth,” said Mubadala’s managing director and group chief executive officer, Khaldoon Al Mubarak.The annual review published on Thursday showed Mubadala’s assets under management across the group reached 894 billion dirhams, from 853 billion dirhams in 2019. It also said five-year returns on its portfolio were 9.8%, dating to 2016.The fund recently changed the way it reports its results. It eliminated categories such as annual revenue and net income, saying it would no longer release data “not relevant to a long-term investor” and would instead disclose a multi-year metric.Technology, HealthMubadala is plowing money into high-growth sectors such as technology and health care as the emirate looks to reduce its traditional reliance on oil and gas. Abu Dhabi, the capital of the United Arab Emirates, is home to almost 6% of the world’s oil reserves.For 2020, Mubadala said its total comprehensive income rose to 72 billion dirhams from 53 billion dirhams in 2019, citing growth in its public equities portfolio and funds in addition to the company’s assets across various sectors. It said the UAE and the U.S. remain its largest investment destinations but that it also expanded in India, France, China and Russia.Mubadala, which earlier this year overhauled its internal structure, also cashed out of some commitments, collecting 104 billion dirhams last year by monetizing mature assets and distributing investments locally and abroad.“In line with our long-term strategy, we increased our investments in sectors where we have high conviction, and with high performing fund managers,” Al Mubarak said.Abu Dhabi’s $232 Billion Mubadala Wants to Take Crack at Top 10Funds from Gulf states have been chasing overseas investments to reduce reliance on their oil-dependent home markets. Kuwait’s $124 billion pension fund is reducing its allocation to stocks in favor of alternatives and sees “lots of opportunities” in infrastructure over the next few years, especially in the U.S., its director general said in November.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
Cathie Wood's ARK Innovation exchange-traded fund is significantly oversold and due for a bounce, but if it doesn't come the popular fund risks suffering a “waterfall” decline, says one chart watcher.
(Bloomberg) -- Actress Jessica Alba cemented her claim to one of the most lucrative side gigs in Hollywood after shares of her beauty business, the Honest Co., soared 44% in its market debut.The “clean” beauty- and baby-products maker’s stock closed at $23 Wednesday after it priced the shares at $16 in its initial public offering. Alba’s roughly 5% stake is valued at $98 million, according to the Bloomberg Billionaires Index. She also has exercisable options valued at about $24 million.Read more: Alba’s Honest Co. Set for Opening Bell After $413 Million IPO“I feel like I’m in a dream, to be honest. Wow. Is this really happening?” Alba said in an interview with Bloomberg TV. “I’m so grateful to our very loyal community. Thank you for bringing us into your home. Thank you for trusting us with you most precious people, your little people.”Alba, 40, founded the business in 2011, motivated by the dearth of baby products that were free of harsh chemicals. The carbon-neutral company makes diapers, wipes, shampoo and lotions it bills as “clean and natural,” and targets a customer base of parents who are eco-conscious, aspirational and relatively affluent. Honest Co. had revenue of about $301 million in 2020, a 28% jump from a year earlier, and an operating loss of $13.5 million.The Los Angeles-based company is now valued at almost $2.1 billion, or $2.45 billion when fully diluted to include employee stock options and restricted stock units. That’s significantly more than its $860 million implied valuation in a 2017 funding round, according to Pitchbook. Honest has been dogged in the past by product recalls and controversy over its claims to use only natural ingredients. Prior to those issues, it was valued at $1.7 billion in a 2015 funding round.Rare ExampleThe IPO marks an almost 260% return for L Catterton, the private equity firm backed by billionaire Bernard Arnault that invested $200 million in 2018. The company sold about half its stake in the offering.The actress is a rare example of someone successfully bridging a career between Hollywood and Wall Street. While many celebrities strike licensing deals for fashion lines or products such as perfume or vodka, few have gone on to found publicly traded companies.Alba, whose official title is chief creative officer, continues to work as an actor, most recently starring in the crime television series, “L.A.’s Finest.”“I was born into a hardworking Mexican-American family. My parents worked multiple jobs, doing whatever it took to get by,” Alba wrote in a letter included in the company’s prospectus, describing a childhood marked by poor health and hospital stays. “By the time I was ten, I became aware of how wellness can define your whole life. That’s never left me.”For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
A year into the pandemic, some homeowners say loan servicers aren't giving them clear information about mortgage forbearance.
The 30-year fixed rate hasn’t been this low since February.
(Bloomberg) -- Saudi Arabia lowered oil prices for customers in its main market of Asia as a surge in coronavirus cases crimps demand in India, the world’s third-largest crude importer.The kingdom’s state energy firm, Saudi Aramco, reduced pricing for June shipments to the continent by between 10 and 30 cents per barrel.The key Arab Light grade for Asia was cut to $1.70 a barrel above the benchmark from $1.80 for May. That’s the first reduction in official selling prices for the grade since December, signaling weakness in Asian oil markets.The reductions had been anticipated in the market. Aramco had been expected to lower Arab Light’s premium by 20 cents, according to a Bloomberg survey of seven traders and refiners.Saudi Energy Minister Prince Abdulaziz bin Salman has urged fellow members of OPEC+ to be cautious as the group eases supply cuts started last year when the pandemic was hammering energy markets. The 23-nation cartel plans to increase daily output by just over 2 million barrels through to July, beginning with 600,000 this month. That would still leave production roughly 5 million barrels a day below pre-pandemic levels.Aramco raised pricing to the U.S. by 20 cents a barrel for all grades. The nation is adding jobs amid economic growth and a push for widespread vaccinations. The company cut pricing for all shipments to Northwestern Europe and the Mediterranean, where efforts to bolster the economy and ease lockdowns have met with mixed results.Brent crude has climbed almost 35% this year, closing in on $70 a barrel as vaccination rollouts enable the U.S., Europe and some other major economies to reopen. Aramco Chief Executive Officer Amin Nasser said on Tuesday he’s more optimistic about the outlook for oil.Still, the pandemic has rapidly worsened in India since the start of April. The country is now reporting around 400,000 cases every day.Most Middle Eastern countries set monthly prices as a premium or discount to a benchmark. Aramco’s OSPs serve as a bellwether for oil markets and often lead the pricing trend in the region. Abu Dhabi issued its first OSP based on trading in crude futures this month, a step in its efforts to establish its oil as the regional benchmark.(Updates with pricing for the U.S. and Europe in sixth paragraph.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
(Bloomberg) -- Treasury Secretary Janet Yellen faces the challenge of speeding a debt-ceiling increase through Congress without shaking investor confidence, a potentially difficult task even with Democrats controlling both chambers and the White House.The current suspension of the U.S. borrowing limit expires on Aug. 1, and the Treasury Department on Wednesday cautioned that if Congress fails to act, the administration would have to shift federal funding to make good on debt payments. Officials are looking at scenarios where those accounting measures “could be exhausted much more quickly” than previously, the department said.Even if the Treasury could stave off any default for months, as during past occasions when congressional talks dragged out before a final resolution, investors face the risk of disruption this summer. Officials would likely need to sharply cut sales of Treasury bills, at a time when traders have already complained about scarcity and some auctions have featured negative yields.It all poses a negotiating and messaging challenge for Yellen, who this week saw the consequence of a miscue in public communications. Stocks dropped briefly after an unexpected comment on the potential for higher interest rates in order to stem “overheating” risks in the wake of heightened government spending.Read More: Yellen Clarifies Inflation Remark, Sees No Need for Fed to HikeWhile President Joe Biden has relied on a diverse group of White House aides and cabinet members to help sell the March $1.9 trillion pandemic-relief bill and the proposed $4 trillion of longer-term economic measures, responsibility for the debt limit falls squarely on Yellen’s shoulders.The ceiling was suspended under a 2019 agreement between the Trump administration and Congress. It’s been a political football in the past because voting for an increase can invite political attacks over ramping up the debt burden for future generations.Yellen will need Congress to refrain from political brinkmanship and avoid any disruption -- at worst a default or government shutdown -- that would undermine the recovery from the pandemic.Navigating the debt limit debate is also a test of unity within the Democratic Party. With slim majorities in both chambers of Congress, Democrats are widely expected to raise the debt ceiling using a fast-track budget tool enabling them to bypass a Senate Republican filibuster. That would deprive the GOP of being able to use the debt ceiling as leverage in exchange for spending cuts.Yet pushing through a debt-limit increase using that tactic could mean wrapping it together with a raft of spending and tax measures that follow through on Biden’s longer-term economic proposals.Grand CompromiseThat in turn means Democrats would have to unify behind a grand compromise in the weeks after the Aug. 1 end of the debt limit suspension, before Treasury measures run out.“The U.S. is not going to default on its debt, but financial markets will not be fully relieved until we hear from conservative Democrats that they will support raising the debt ceiling,” said Edward Moya, a senior market analyst at OANDA Corp., a trading firm.He referred to the “political theater” of 2011 between Republicans and the Obama administration that led to the shock downgrade of the U.S. sovereign rating by Standard & Poor’sOne complication this year is the unusual pattern of Treasury debt issuance. The department ramped up sales of short-dated securities in 2020 and accumulated a massive $1.8 trillion stockpile of cash to prepare for any Covid-19 spending needs or revenue shortfalls. Now that it’s working that cash down, it’s selling much less in T-bills -- causing ripples in markets.‘Elevated Risks’Those ripples could become a whole lot bigger if the debt limit isn’t raised by July 31.“Elevated risks of volatility in money markets remain as this date approaches and Treasury bills outstanding decline,” a Treasury advisory group made up of investors and bond dealers told Yellen in a letter on Tuesday. The group “strongly urges Congress to suspend or raise the debt limit in a timely manner.”Bharat Ramamurti, deputy director of the National Economic Council, said on Bloomberg TV Wednesday, “Our expectation and our hope is that Congress would do the same” as during Republican administrations, when there were bipartisan votes to raise or suspend the debt limit.Even so, moderate House Democrats facing an uphill battle to keep their seats in the 2022 midterm elections may be reluctant to vote for increasing debt without at least some kind of budget reforms -- such as changing rules to force lawmakers to adopt an annual federal budget or forgo their paychecks.In a worst-case scenario, there could be a fallback option to buy time. During the Obama administration, the Treasury crafted a secret plan to prioritize debt payments if the U.S. government reached its statutory limit on borrowing. It was widely panned, and never used. But when Brian Smith, the Treasury’s deputy assistant secretary for federal finance, was asked about whether such a blueprint were on the table, he declined to respond.(Adds White House comment in third paragraph after ‘Elevated Risks’ subheadline.)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.
It appears that Shark Tank investor Kevin O’Leary no longer thinks bitcoin is “garbage.” The chairman of O’Shares ETF told Yahoo Finance Live that he’s allocated 3% of his portfolio to the world’s largest cryptocurrency after his native Canada, and a handful of other countries, eased restrictions on institutional buying of the asset.
In July, the IRS will begin sending monthly payments of $250 or $300 to low- and moderate-income families who qualify for the child tax credit.
(Bloomberg) -- Jeff Bezos sold about $2.5 billion of Amazon.com Inc. stock, his first big disposal this year after offloading more than $10 billion worth of shares in 2020.Bezos sold around 739,000 shares this week under a pre-arranged trading plan, according to U.S. Securities and Exchange Commission filings. He plans to sell as many as 2 million shares, according to a separate filing.The world’s richest person continues to hold more than 10% of Amazon.com, the primary source of his $191.3 billion fortune, according to the Bloomberg Billionaires Index.In the 15 years after Amazon.com went public in 1997, Bezos sold about a fifth of the online retailer for roughly $2 billion. The value of his stake has ballooned in recent years to such an extent that he can now sell relatively small amounts for billions of dollars.Amazon stock is little changed this year after rallying 76% in 2020 as the Covid-19 pandemic kept people away from physical stores and encouraged online shopping.The Amazon founder has used stock sales to fund rocket company Blue Origin, while he’s committed $10 billion to the “Bezos Earth Fund” to help counter the effects of climate change.The rocket maker said Wednesday it has set July 20 for its first mission carrying people to space and plans to auction off one seat on its New Shepard rocket.Bezos would be far richer if it weren’t for his divorce from MacKenzie Scott. She received a 4% stake in Amazon as part of the split and quickly became one of the world’s most important philanthropists.(Updates with Blue Origin plans in seventh paragraph)For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2021 Bloomberg L.P.