Financial Daily Dose 8.19.2019 | Top Story: US Weighing Huawei Reprieve to Smooth Trade Talks with China


The White House is reportedly extending the temporary license for some US businesses to work with Huawei, a move that would likely help smooth the way for trade negotiators between the US and China to see their way back to the table – WSJ and MarketWatch

After last week’s drama, it doesn’t feel like a stretch to want to keep an eye on just “how the recession of 2020 could happen.” AKA, how could an ill-advised trade war crater a solid economy with impressive job growth – NYTimes and Bloomberg and MarketWatch

Want a better idea what that push and pull looks like in practice? Try the last year for the S&P 500, which is up 15% in 2019 but “is essentially flat since last August” – NYTimes and Bloomberg

A whole mess of central banks aren’t taking any chances, with more than 30 around the world cutting rates this year in hopes of getting ahead of economic headwinds – NYTimes

And well, then there’s Germany. For whom the question of a legit downturn isn’t hypothetical. The real question is what happens to the rest of Europe when its economic powerhouse is on the fritz –NYTimes and Bloomberg

Luckily, the White House wouldn’t dream of extending the trade war (auto tariffs, in particular) to Europe.  Right?  – Bloomberg

New intrigue from the recently announced Kraft/CFTC settlement over the company’s alleged manipulation of wheat prices. Kraft filed a motion for sanctions against the Commission late last week for “violating their $16 million deal . . . by making public statements” about the settlement – Law360

Here’s an interesting tidbit about ride-hailing giant Uber, which disappointed markets recently after a massive Q2 loss. The company disclosed that it took in $6 billion in cash in 2018, or about 13% of all money paid for rides and deliveries, though tracking it all down at the end of the day turns out to be a bit of an issue – MarketWatch

BMO Capital Markets Corp. will fork over $4 million to the SEC to resolve claims that it “mishandled ‘pre-released American depositary receipts,” receiving them from brokers when it “should have known the transactions weren’t backed by foreign shares as required” – Law360

SoftBank has taken the unusual step of lending billions to its employees “to buy stakes in its second giant venture-capital fund,” including chief exec Masayoshi Son, who “may account for more than half that amount” – WSJ and Bloomberg

A group of Citibank investors has dropped a suit against the bank “for claims they lost $2.3 billion because Citibank ignored widespread problems with toxic residential mortgage-backed securities” based on an individual settlement reached with lead plaintiffs – Law360

Ever watch $53 million disappear in seconds?  Ever see it happen because of a poorly placed British accent? Well, join us in taking in the bizarre turn of events at the ill-fated Sotheby’s auction of the rare Porsche Type 64 over the weekend – Mashable


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