A U.S. woman diagnosed with the Zika virus has given birth to a baby with microcephaly at a New Jersey hospital on Tuesday. The unnamed visitor to the U.S. is thought to have contracted the disease internationally, according to officials at Hackensack University Medical Center. This marks the first case of a baby being born with microcephaly as a result of the Zika virus in the United States.
As we reported last week, a looming Trump presidency has generated a surge in immigrants trying to cross the southern border of the United States.
From October 2015 to March of this year, the US Border Patrol apprehensions averaged 330 Central Americans a day, an increase of 100 percent over the same period a year earlier according to the Pew Research Center. The issue has even prompted Homeland Security Secretary Jeh Johnson to travel to Central America to remind everyone in person that the US border is not open.
With the S&P500, seemingly unable to break decisively above 2090, investors are wondering what are the main catalysts that can push the market higher, and are asking questions. To help with the confusion, Deutsche Bank has laid out the top five recurring questions asked by investors who are trying to figure out what will push stocks higher. Among these are whether European (and global) equities will rally as Brexit fears are being priced out; is there scope for earnings upgrades and will value stocks finally start outperforming.
We have it on highest authority: the recent killing of Taliban leader Mullah Akhtar Muhammad Mansour by a U.S. drone strike in Pakistan marks “an important milestone.” So the president of the United States has declared, with that claim duly echoed and implicitly endorsed by media commentary—the New York Times reporting, for example, that Mansour’s death leaves the Taliban leadership “shocked” and “shaken.”
But a question remains: A milestone toward what exactly?
By now it is a well-known fact that corporations have no real way of generating organic profit growth in this economy (the recent plunge in Q1 EPS was a stark reminder of just that), so they are relying on two things to boost share prices: multiple expansion (courtesy of central banks) and debt-funded buybacks (also courtesy of central banks who keep the cost of debt record low), the latter of which requires the firm to generate excess incremental cash.