Top News Today: Stocks Fall, Oil Rises as US-Iran Tensions Mount

Dow Jones08-18 04:35

MARKET WRAPS

STOCKS: Stocks fell as tensions mounted between the U.S. and Iran.

TREASURYS: Treasury yields rose and the yield on the 30-year bond closed at the highest level since 2007 due to inflation expectations.

FOREX: The U.S. dollar ticked down against rivals following mixed economic data.

COMMODITIES: Oil futures rose as the Strait of Hormuz remained effectively shut.

HEADLINES

Trump Threatens to Bomb Oman if It 'Gets in the Way' of Iran Conflict

President Trump threatened to bomb Oman if the country "gets in the

way" of U.S. efforts to reach a peace deal with Iran.

"If Oman gets in the way, we'll bomb the s- out of them," Fox News'

Trey Yingst reported Trump saying during a phone interview Monday.

Trump, according to Yingst, said U.S. forces could strike the Gulf

nation if it interfered in the blockade of Iranian ships in the Strait of

Hormuz. The president said the blockade was putting pressure on Iran but

offered no timeline for ending the conflict, saying he was in no hurry.

Trump Says Israel Should Stop Striking Gaza

TEL AVIV-President Trump said Israel shouldn't be striking targets in

Gaza, as his envoy Jared Kushner met Monday with Israeli Prime Minister

Benjamin Netanyahu to salvage the president's floundering plan to disarm

Hamas and end the war in the Palestinian enclave.

In a rare public break between the close allies, Netanyahu last week

rejected Trump's plan for a phased disarmament by Hamas. After a brief

pause, Israel resumed near-daily strikes against Palestinian militants,

including some that Israel says took part in the Oct. 7, 2023, attack and

hostage taking.

Trump told Fox News on Monday that Israel shouldn't be carrying out

those attacks, because he said Hamas has agreed to lay down its weapons.

L3Harris Ousts CEO After Investigation Into Conduct

L3Harris Technologies, the company that overhauled a Qatari plane now

used as Air Force One, has replaced Christopher Kubasik as chairman and

chief executive after an investigation determined he violated the defense

contractor's code of conduct.

Kubasik's alleged conduct didn't involve and has no impact on the

Melbourne, Fla., company's financial reporting, controls, customer

relationships or operational performance, L3Harris said Monday.

The company didn't give details on when it received a report of the

potential violation. With the aid of independent counsel, the board

determined that Kubasik's removal would be in the company's best

interest, L3Harris said. He will be allowed to retain and exercise some

previously vested stock options but won't receive severance payments,

benefits or accelerated stock-based awards.

U.S. Home-Builder Sentiment Still Muted by Affordability Concerns

Confidence among U.S. home builders barely picked up in August as high

mortgage rates, rising construction costs and economic uncertainty

continue to hang over the housing market.

Here are the main takeaways from the National Association of Home

Builders' latest report released Monday:

The NAHB/Wells Fargo Housing Market Index, a gauge of builder

confidence in the market for newly built single family housing, inched up

to 35 in August from 34 in July. Economists polled by The Wall Street

Journal expected the reading to drop by a point to 33.

Madison Air to Buy Airflow-Technologies Company for $5.4 Billon

Madison Air Solutions inked a deal to buy Ebm-Papst for $5.4 billion,

including debt.

Madison Air, which provides air-quality solutions, said Monday the

acquisition will add to its portfolio of new products that will help

customers improve uptime, efficiency and productivity.

Headquartered in Mulfingen, Germany, Ebm-Papst supplies

high-performance airflow technologies, as well as integrated

electronically commutated fan and motor systems, according to Madison

Air.

Paramount Wants $1.88 Billion Bond From States, Writers Challenging

Warner Deal

Paramount on Monday asked a judge to require 12 states and the Writers

Guild of America to put up a nearly $1.9 billion bond for challenging its

acquisition of Warner Bros. Discovery, money that would go to the company

if it ultimately wins the case.

The aggressive maneuver came in a motion arguing that the plaintiffs

should be held financially responsible for damages Paramount suffers

during litigation seeking to block the $81 billion deal.

Paramount specifically wants the bond to cover the roughly $7

million-a-day, or $650 million-a-quarter, ticking fee it will owe Warner

shareholders if the deal hasn't closed by Oct. 1.

New York Manufacturing Activity Accelerates in August

Factory activity in New York State grew strongly in August, according

to the latest monthly edition of the Empire State Manufacturing Survey.

The Federal Reserve Bank of New York said that its statewide

manufacturing index of business conditions rose to 20.6, its highest

reading in four years. A consensus of economists polled by The Wall

Street Journal had expected a reading of 12.

The new orders index came in at 17.3, and the shipments index printed

at 11.7, pointing to continued solid increases in orders and shipments,

the survey said.

TALKING POINT Boomers Are Wealthy, Healthy and Driving a Global Travel Boom

After Jean Chow's husband and mother died within six months of each other, she needed to get away.The retired mother and grandmother booked a 21-day tour on a private plane and visited six countries. She rode camels in Egypt, cruised the Nile River and hugged the stones at Avebury in England. The trip, one of two private-plane trips offered by Road Scholar, cost $93,000. Chow, 69, has booked another private-plane trip to visit six countries in Africa.

"I want to do it now while I'm still able," says Chow, adding that she is fortunate to be able to afford such trips.

Baby boomers collectively have more wealth than any other living generation, and they are splurging on travel. They are living longer, have more free time and are in better shape than their parents and grandparents. As the first of the boomers hit their 80s, there is also a greater urgency to see as much of the world as they can.

That is reshaping travel on several fronts. This generation, who as young adults hitchhiked across the country and backpacked through Europe, now is going on safaris and hiking in the Serengeti on guided tours that offer "easy" as well as "challenging" options.

Boomers want adventure, but also want nice accommodations, good food, smooth connections and fewer baggage hassles. And while many will splurge on travel, there are also plenty of bargain hunters among their ranks.

David Porter, co-founder with his wife, Carol, of Roaming Boomers Travel Services, said bookings are up 20% this year, with most for cruises on small luxury ships. His biggest question is how to keep up with it.

--Clare Ansberry

Expected Major Events for Tuesday 06:00/UK: Jul UK monthly unemployment figures

08:30/UK: Jul Monthly Insolvency statistics

09:05/GER: Aug ZEW Indicator of Economic Sentiment

12:15/CAN: Jul Housing Starts

12:30/US: Jul Import & Export Price Indexes

12:30/US: Jul New Residential Construction - Housing Starts and Building Permits

12:55/US: 08/15 Johnson Redbook Retail Sales Index

13:15/US: Jul Industrial Production and Capacity Utilization

14:00/US: 2Q Quarterly Retail E-Commerce Sales

14:00/US: Jul Pending Home Sales Index

20:30/US: API Weekly Statistical Bulletin

23:50/JPN: Jun Orders Received for Machinery

All times in GMT. Powered by Onclusive and Dow Jones.

Expected Earnings for Tuesday AnaptysBio Inc $(ANAB)$ is expected to report $-0.13 for 2Q.

Anavex Life Sciences Corp (AVXL) is expected to report $-0.17 for 3Q.

Damora Therapeutics Inc $(DMRA)$ is expected to report for 2Q.

Healthier Choices Management Corp (HCMC) is expected to report for 2Q.

Hyperliquid Strategies Inc (PURR) is expected to report for 3Q.

Iridex Corp $(IRIX)$ is expected to report $-0.24 for 2Q.

Jack Henry & Associates Inc $(JKHY)$ is expected to report $1.47 for 4Q.

Keysight Technologies Inc (KEYS) is expected to report $2.16 for 3Q.

La-Z-Boy Inc $(LZB)$ is expected to report $0.49 for 1Q.

Mega Matrix Inc (MPU) is expected to report for 1Q.

Mercury Systems Inc (MRCY) is expected to report $0.11 for 4Q.

Sypris Solutions Inc (SYPR) is expected to report for 2Q.

Toll Brothers Inc $(TOL)$ is expected to report $2.93 for 3Q.

Vicarious Surgical Inc (RBOT) is expected to report for 2Q.

Wins Finance Holdings Inc (WINSF) is expected to report for Interim.

ZenaTech Inc $(ZENA)$ is expected to report for 2Q.

Powered by Onclusive and Dow Jones.

We offer an enhanced version of this briefing that is optimized for viewing on mobile devices and sent directly to your email inbox. If you would like to sign up, please go to https:\\newsplus.wsj.com/ subscriptions.

This article is a text version of a Wall Street Journal newsletter published earlier today.

 

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment