Stocks today were slightly positive as all eyes focus on the summit betwixt “The Donald” and Kim Jung “LRM” Un. I wonder if Dennis Rodman, who is also in Singapore, will join them. At the close the Dow was up 5 points on slightly heavier volume to at 25,322.
AT&T is expecting a ruling tomorrow regarding its court case against the Justice Department over its proposed merger with Time Warner. Should the court rule in Ma Bells favor, which is expected, it could trigger several other mergers in the space. Disney is licking its chops over Fox Entertainment which is Rupert Murdoch’s empire and rumors have it that they will announce an offer on Wednesday if things go well for AT&T.
In other news Rolls Royce is having issues with its Trent 1000 Package C jet engines. The engines are experiencing compressor problems and this has caused several Boeing 787’s to be grounded. The compressor problem has now apparently been found in other Rolls Royce engines types affecting some Airbus jets and causing Air New Zealand to ground several jets and instead lease several Boeing 777’s to fill the void. This issue is hitting Rolls at a time when the company is undergoing a major restructuring with plans to lay off 4,000 blokes in Britain in an effort to improve profitability.
John and Bill will be out of the office for a couple of days. Cleo will be holding down the fort.