TOP STORIES
U.S. TRADE GAP WIDENS ON SURGING IMPORTS
The trade deficit expanded by 43.1% to a seasonally adjusted
$51.37 billion in March, the Commerce Department said. It was the
largest monthly percentage increase since December 1996 and the
largest deficit reading since October 2008.
AETNA TO STOP COVERING ROUTINE USE OF MORCELLATOR
Aetna will stop covering routine use of the laparoscopic power
morcellator this month, marking the most direct blow from a major
health insurer to a surgical tool that regulators determined can
spread hidden cancer in women.
U.S. STOCKS TRADE LOWER
U.S. stocks fell, pulling back after the S&P 500 notched its
biggest two-day advance in more than a month. The Dow Jones
Industrial Average slipped about 55 points in early afternoon
trading.
GERMAN CAR MAKERS PREPARING BID FOR NOKIA MAPPING UNIT
Germany's big-three premium brand auto makers are said to be
preparing to launch a formal bid to acquire a majority stake in
Nokia's HERE mapping unit, in a consortium that includes Chinese
technology group Baidu and values HERE at "considerably more than
EUR2 billion."
DISNEY'S REVENUE TOPS VIEWS
Walt Disney's revenue rose a better-than-expected 7% to $12.46
billion for the first three months of the year as continued
strength at cable networks and consumer products offset weakness at
its movie studio. Shares up 1%.
ISM NON-MANUFACTURING INDEX RISES IN APRIL
The ISM's non-manufacturing purchasing managers index came in at
57.8 in April, up from 56.5 in March. Forecasters had expected last
month's PMI to slow slightly to 56.3.
SPRINT STUMBLES, BUT HOLDS PLACE IN U.S. WIRELESS RACE
Sprint stanched the bleeding in its customer base in the first
three months of the year, but concerns about its cash and network
upgrade plan raised doubts about its turnaround prospects.
REGULATOR TO ALLOW REVIEW OF FREDDIE, FANNIE CEO PAY
Mortgage-finance companies Freddie Mac and Fannie Mae disclosed
that their regulator, the Federal Housing Finance Agency, had
authorized them to review the pay of CEOs Donald Layton and Timothy
J. Mayopoulos.
WORKER AT FIAT CHRYSLER DETROIT PLANT DIES IN ACCIDENT
A worker at Fiat Chrysler Automobiles' Detroit plant died this
morning on the job, the company confirmed. It said in a statement
that it is working with Detroit officials to investigate the
death.
UBS PROFIT NEARLY DOUBLES
UBS said first-quarter profit nearly doubled from the same
period last year on gains at its core wealth management business
and a strong bump from its pared-down investment bank.
GOLDMAN RAISES LEGAL LOSS VIEW
Goldman Sachs raised the top end of its range of "reasonably
possible" legal expenses to about $3.8 billion, the Wall Street
firm said in a regulatory filing.
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Earnings Preview
ALIBABA SEEN POSTING DECLINE IN PROFIT
Alibaba Group Holding is set to announce its fiscal 4Q earnings
Thursday before the U.S. market opens. It is expected post net
income of 3.28 billion yuan, down 40% from same period a year ago,
under U.S. generally accepted accounting principles.
Heard on the Street
UBS SHOWS IT SHOULD KEEP CLEAR OF OLD HABITS
Even the best reformed characters can struggle not to be tempted
back into their old ways. But UBS has cleaned up its act the most
among European banks and the signs are good that it has ample
incentive to stay that way.