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An expensive, personal, very close presidential race careens toward an uncertain end 2024-05-05 11:00:00+00:00 - Six months from Election Day, American voters are confronting a presidential race that looks stable at a glance — and is roiling with uncertainty beneath the surface. For the first time in more than a century, Americans will choose between two presumptive major-party nominees who have already served as commander-in-chief: President Joe Biden and former President Donald Trump. But while the matchup has long been expected, Americans are sour about it: Election interest hit a 20-year low in the latest NBC News poll, and majorities of registered voters have unfavorable views of both men. That means barring a big change, the election will be decided by voters with negative views of both Biden and Trump — not only who they pick but whether they decide to participate at all in what’s expected to be the most expensive presidential race in American history. Trump holds a narrow 2-point lead among registered voters, inside the margin of error, in NBC News’ April poll, in an election where both candidates appear to have a different theory of the case. Biden is leaning hard on issues like abortion rights, where polls show he has the upper hand, while utilizing a significant fundraising advantage. But polls also show a majority of Americans disapprove of Biden’s job in office — an opening Trump has seized to hammer Biden on issues like the economy and the border, all while looking to energize his base as he faces dozens of federal and state charges across four different cases. Meanwhile, third-party candidates are seeking to capitalize on apathy toward the major candidates. Here’s a look at where the 2024 presidential race stands six months out — in the polls, on the balance sheet, in key battlegrounds and more. Trump’s narrow edge over Biden Despite a turbulent and chaotic news environment, the contest between Biden and Trump remains both close and stable with six months to go until Election Day, according to most polls. NBC News’ latest national survey shows Trump ahead by 2 points among registered voters, 46%-44% — well within the poll’s margin of error. What also stands out is how the race has barely budged over the year, with Trump’s share stuck between 45% and 47%. Biden’s has fluctuated more, but only a little more, between a high of 49% and a low of 42%. Other polls — both nationally and in the key battleground states — confirm how competitive and stable the race has been. Biden’s biggest advantages are among Black voters, women and white voters with college degrees. Trump, meanwhile, has the edge among men, white voters and white voters without college degrees. The NBC News poll shows Biden and Trump tied or competitive among independents, Latinos and young voters — though the polls have differed on whether young voters have actually defected from Biden. But the polling also points to potential wild cards that could upend this stability. These include third-party candidates being introduced to the mix: NBC News’ latest poll finds a 2-point lead for Trump turning into a 2-point Biden edge when the ballot is expanded, though other surveys have shown Trump doing better when third-party options are included. Meanwhile, a quarter of voters say they could change their minds. Ultimately, the fluid battle for votes from people considering third-party candidates could change dramatically between now and Election Day, as Biden and Trump hammer their other competitors — and each other. How things can change in the last six months When incumbents have run for re-election, there’s been relatively little movement in NBC News national polling between six months out and Election Day. But that finding comes with a few huge caveats. The Electoral College (not the popular vote) decides who wins the presidency. A shift of just a few percentage points, particularly in key swing states, could matter a lot in a close election. And the 2016 election shifted substantially with Trump on the ballot. In April 2020, Biden led Trump by 7 percentage points in the NBC News/Wall Street Journal poll, 49%-42%. Biden’s final popular vote margin over Trump in November was 4 percentage points. In 2012, President Barack Obama led Republican Mitt Romney by 6 percentage points in the NBC News/Wall Street Journal poll and won the popular vote later that fall by 3 points. And in 2004, President George W. Bush’s 3-point lead in the May 2004 NBC News poll mirrored the popular vote victory he scored months later. But that relative stability was not present in 2016, when Democrat Hillary Clinton led Trump by 11 points in NBC’s April 2016 poll, long before key flashpoints including the FBI’s investigation into Clinton’s use of her private email server and the release of the Trump “Access Hollywood” tape. Clinton won the popular vote by just 2 percentage points, but she obviously lost the Electoral College, and with it the presidency. What voters are weighing most Voters have routinely cited several major concerns as they decide their votes — things like the economy and inflation, Biden’s age and the state of abortion rights across the country. The latest NBC News national poll presented voters with a battery of these oft-cited issues and qualities, asking respondents to identify which candidate would best tackle each issue. Biden won out on just two qualities. On who has the ability to bring the country together, 37% of voters said he would do a better job, while 28% said Trump would do better. And on dealing with the issue of abortion, 46% said Biden would do a better job compared to 31% about Trump. Trump bested Biden on one issue routinely ranked high by voters as a top issue this election year: dealing with inflation and the cost of living. Over half — 52% — of those surveyed said Trump would handle this issue better and just 30% said the same about Biden. Trump also led Biden on several qualities like being competent and effective and having a strong record of accomplishments as president. On the ground in the battlegrounds The realities of the Electoral College system mean much of the next six months of campaign activity and spending will focus on a handful of closely contested battleground states. So far, Trump has slightly edged out Biden in events in the most competitive states, in part because he lives in battleground Florida. Without Florida, it’s Biden who has held more battleground events. In 2020, eight states were decided by 5 percentage points or less. Biden won Georgia, Arizona and Wisconsin by razor-thin margins — carrying each state by less than 1 point. Biden’s narrow wins in Pennsylvania, Michigan and Nevada also fueled his victory, while Trump carried North Carolina by 1 point and Florida by 3 points. Both Biden and Trump are traveling to the key battlegrounds, although Trump has not yet held a campaign event in Arizona. While Biden has held fewer events just with his campaign, he has made several visits to these states for official White House events, underscoring how incumbent presidents can leverage their office in an election year. The battlegrounds getting the most attention from Biden so far include North Carolina, Wisconsin and Pennsylvania, with six events in each state. Trump has appeared at far more events in Florida than any other battleground, including some events at his Mar-a-Lago Club in Palm Beach, where Trump also lives. Next after that: Pennsylvania and Nevada. Fewer voters than usual are enthusiastic about the election Voters are not exactly excited about the 2024 race, especially compared to past elections. The most recent NBC News national poll found the lowest level of interest at this point in the election cycle since 2012, with 64% of registered voters rating their interest either a “9” or a “10” on a 10-point enthusiasm scale. That’s a sizable drop from the 74% who said they had a high interest in the election in April 2020. Interest has been stagnant for months, but past elections have seen an uptick in enthusiasm closer to November. In March 2012, 67% of voters in an NBC News poll said they had a high interest in the election, and that increased to 77% by October of that year. A big cash gap It’s clear Biden and the Democrats have a significant fundraising edge over Trump and Republicans with six months to go. Over the first three months of 2024, the Biden campaign had raised more, spent more and ended March with more money in the bank than the Trump campaign. Through March, the most recent month for which campaigns have filed campaign finance reports, the Biden campaign had more than $85.5 million banked away, while Trump’s campaign had $45.1 million. The national party organizations are in a similar place: The Democratic National Committee outraised and outspent the Republican National Committee in each of January, February and March, closing the first quarter with $45.2 million in cash on hand to the RNC’s $21.6 million. Overall, the Biden and the DNC had almost twice the cash on hand as the Republicans and Trump. But the GOP is hopeful it can make a dent into that lead now that Trump is firmly in control of the party, having captured the delegates for the nomination in March. Sources told NBC News last month that an early-April fundraiser in Florida had more than $50 million in commitments (those numbers aren’t able to be confirmed until fundraising reports are filed later this month). More big Republican donors are coming back into the fold and supporting Trump as the party continues to fall behind its presumptive nominee. And after installing new leadership at the RNC, Trump is headlining the party’s spring retreat, which will take place in part at his Mar-a-Lago Club in Florida. On the airwaves More than $400 million has already been spent on ads in the presidential race, including the millions spent during the contested GOP primary, according to the ad tracking firm AdImpact. Trump’s allied super PAC, MAGA Inc., has been one of the top-spending groups through Sunday, largely focusing the $45.6 million spent so far on securing the Republican nomination for Trump. But Biden’s campaign has already eclipsed Trump on the airwaves, spending more than twice as much on ads through Sunday. Biden has had a huge advantage over Trump on the airwaves since former United Nations Ambassador Nikki Haley ended her run for the GOP nomination in early March. Since Haley dropped out of the race and kicked off the general election, Biden’s campaign has spent $24.5 million on ads, while Trump’s campaign has spent just $50,000. Biden’s allied super PAC is also the only group that has reserved airtime from Monday through Election Day in November. So far, the Future Forward PAC has spent $130 million on ad reservations through Nov. 5, while MAGA Inc. has spent $728,000 on future reservations. AdImpact has projected that the 2024 race will be the costliest yet, estimating that $10.2 billion will be spent on ads, surpassing 2020’s record by more than $1 billion. Trump on trial Trump’s legal troubles add an especially unpredictable and unusual piece to the 2024 election. Trump has already been through 11 days of trial in New York, where he’s accused of falsifying business records related to an alleged hush money payment to an adult film star. And that trial is expected to run for weeks before the jury is asked to render a verdict. He could still face one or two more trials before the year is over on more serious charges, trials that could keep him off the campaign trail for extended periods and, more importantly, shift the contours of this race. But no dates have been set. The pending federal case in Washington, D.C., in which he is accused of election interference, is on hold pending a Supreme Court decision that isn’t expected until the end of June. Neither the Florida case, which considers whether Trump mishandled classified documents, nor the Georgia case, in which he is accused of racketeering in his bid to overturn the 2020 election, has a start date, but they could theoretically begin in the next six months.
Israel orders Al Jazeera to close its local operation and seizes some of its equipment 2024-05-05 10:22:30+00:00 - TEL AVIV, Israel (AP) — Israel ordered the local offices of Qatar’s Al Jazeera satellite news network to close Sunday, escalating a long-running feud between the broadcaster and Prime Minister Benjamin Netanyahu’s hard-line government as Doha-mediated cease-fire negotiations with Hamas hang in the balance. The extraordinary order, which includes confiscating broadcast equipment, preventing the broadcast of the channel’s reports and blocking its websites, is believed to be the first time Israel has ever shuttered a foreign news outlet operating in the country. Al Jazeera went off Israel’s main cable and satellite providers in the hours after the order. However, its website and multiple online streaming links still operated Sunday. The network has reported the Israeli-Hamas war nonstop since the militants’ initial cross-border attack Oct. 7 and has maintained 24-hour coverage in the Gaza Strip amid Israel’s grinding ground offensive that has killed and wounded members of its staff. While including on-the-ground reporting of the war’s casualties, its Arabic arm often publishes verbatim video statements from Hamas and other regional militant groups. “Al Jazeera reporters harmed Israel’s security and incited against soldiers,” Netanyahu said in a statement. “It’s time to remove the Hamas mouthpiece from our country.” Al Jazeera issued a statement vowing it will “pursue all available legal channels through international legal institutions in its quest to protect both its rights and journalists, as well as the public’s right to information.” “Israel’s ongoing suppression of the free press, seen as an effort to conceal its actions in the Gaza Strip, stands in contravention of international and humanitarian law,” the network said. “Israel’s direct targeting and killing of journalists, arrests, intimidation and threats will not deter Al Jazeera.” The Israeli government has taken action against individual reporters over the decades since its founding in 1948, but broadly allows for a rambunctious media scene that includes foreign bureaus from around the world, even from Arab nations. It also blocked the foreign broadcasts of the Hezbollah-affiliated, Beirut-based Al Mayadeen news channel at the start of the war. Palestinian politics analyst Nehad Abu Ghoush is live at Al Jazeera broadcast inside the network’s office in the West Bank city of Ramallah Sunday, May 5, 2024. Israel ordered the local offices of Qatar’s Al Jazeera satellite news network to close Sunday, escalating a long-running feud between the broadcaster and Prime Minister Benjamin Netanyahu’s hard-line government as Doha-mediated cease-fire negotiations with Hamas hang in the balance. (AP Photo/Nasser Nasser) A law passed last month allows the government to take action against Al Jazeera, Netanyahu’s office said. Israeli Communication Minister Shlomo Karhi later published footage online of authorities raiding a hotel room Al Jazeera had been broadcasting from in east Jerusalem, which the Palestinians hope to one day have for their future state. He said officials seized some of the channel’s equipment there. “We finally are able to stop Al Jazeera’s well-oiled incitement machine that harms the security of the country,” Karhi said. His office said it would bar Al Jazeera from operating in Israel for at least 45 days, a measure that can be renewed. The ban did not appear to affect the channel’s operations in the occupied West Bank or Gaza Strip, where Israel wields control but which are not sovereign Israeli territory. The office of late Al Jazeera network journalist Shireen Abu Akleh is decorated with memorial items, inside the network’s office, in the West Bank city of Ramallah Sunday, May 5, 2024. Israel ordered the local offices of Qatar’s Al Jazeera satellite news network to close Sunday, escalating a long-running feud between the broadcaster and Prime Minister Benjamin Netanyahu’s hard-line government as Doha-mediated cease-fire negotiations with Hamas hang in the balance. (AP Photo/Nasser Nasser) The decision threatens to heighten tensions with Qatar at a time when the Doha government is playing a key role in mediation efforts to halt the war in Gaza, along with Egypt and the United States. Qatar has had strained ties with Netanyahu in particular since he made comments suggesting that Qatar is not exerting enough pressure on Hamas to prompt it to relent in its terms for a truce deal. Qatar hosts Hamas leaders in exile in Doha. The sides appear to be close to striking a deal, but multiple previous rounds of talks have ended with no agreement. In a statement Sunday, Hamas condemned the Israeli government order, calling on international organizations to take measures against Israel. Al Jazeera network office in the West Bank city of Ramallah Sunday, May 5, 2024. Israel ordered the local offices of Qatar’s Al Jazeera satellite news network to close Sunday, escalating a long-running feud between the broadcaster and Prime Minister Benjamin Netanyahu’s hard-line government as Doha-mediated cease-fire negotiations with Hamas hang in the balance. (AP Photo/Nasser Nasser) The Foreign Press Association in Israel criticized the order. “With this decision, Israel joins a dubious club of authoritarian governments to ban the station,” it said. “This is a dark day for the media.” The New York-based Committee to Project Journalists similarly warned the move represented an “extremely alarming precedent for restricting international media outlets working in Israel.” Omar Shakir, Human Rights Watch’s Israel and Palestine director, criticized the Israeli order as “an assault on freedom of the press.” “Rather than trying to silence reporting on its atrocities in Gaza, the Israeli government should stop committing them,” he added. Israel has long had a rocky relationship with Al Jazeera, accusing it of bias. Relations took a major downturn nearly two years ago when Al Jazeera correspondent Shireen Abu Akleh was killed during an Israeli military raid in the occupied West Bank. Those relations further deteriorated following the outbreak of Israel’s war against Hamas on Oct. 7, when the militant group carried out a cross-border attack in southern Israel that killed 1,200 people and took 250 others hostage. Since then, the Israeli military campaign in Gaza has killed over 34,000 people, according to local health officials there, who don’t break figures down into civilians and combatants. Al Jazeera broadcast engineer Mohammad Salameh works at the Master Control Room unit inside the network’s office in the West Bank city of Ramallah Sunday, May 5, 2024. Israel ordered the local offices of Qatar’s Al Jazeera satellite news network to close Sunday, escalating a long-running feud between the broadcaster and Prime Minister Benjamin Netanyahu’s hard-line government as Doha-mediated cease-fire negotiations with Hamas hang in the balance. (AP Photo/Nasser Nasser) Israeli media largely has avoided the plight of those in the Gaza Strip, instead focusing on the Oct. 7 attack, the hostages held there and tales of Israeli military heroism. Meanwhile in December, an Israeli strike killed an Al Jazeera cameraman as he reported on the war in southern Gaza. The channel’s bureau chief in Gaza, Wael Dahdouh, was wounded in the same attack. Dahdouh, a correspondent well-known to Palestinians during many wars, later evacuated Gaza but only after Israeli strikes killed his wife, three of his children and a grandson. International correspondent of Al Jazeera English Zein Basravi reports live from the network’s office in the West Bank city of Ramallah Sunday, May 5, 2024. Israel ordered the local offices of Qatar’s Al Jazeera satellite news network to close Sunday, escalating a long-running feud between the broadcaster and Prime Minister Benjamin Netanyahu’s hard-line government as Doha-mediated cease-fire negotiations with Hamas hang in the balance. (AP Photo/Nasser Nasser) Al Jazeera is one of the few international media outlets to remain in Gaza throughout the war, broadcasting bloody scenes of airstrikes and overcrowded hospitals and accusing Israel of massacres. Criticism of the channel is not new, however. The U.S. government singled out the broadcaster during America’s occupation of Iraq after its 2003 invasion toppled dictator Saddam Hussein and for airing videos of the late al-Qaida chief Osama bin Laden. Al Jazeera has been closed or blocked by other Mideast governments. Most notably in 2013, Egyptian authorities raided a luxury hotel used by Al Jazeera as an operating base after the military takeover that followed mass protests against President Mohammed Morsi. Three Al Jazeera staff members received 10-year prison sentences, but were released in 2015 following widespread international criticism. ___ Gambrell reported from Jerusalem. Associated Press writers Jack Jeffrey in Jerusalem and Melanie Lidman in Tel Aviv contributed.
A disturbing new tactic is making Trump’s 2024 campaign much different than before 2024-05-05 10:00:40+00:00 - “If everything’s honest, I’d gladly accept the results.” That was former President Donald Trump on Wednesday, playing cute with the Milwaukee Journal Sentinel’s question over whether he’d accept the outcome of Wisconsin’s presidential election. As my colleague Clarissa-Jan Lim pointed out, Trump has a long track record of similar statements, offering sham justifications to disguise the fact that he doesn’t feel bound by election results. The events of Jan. 6, 2021, laid bare the true consequences of this shell game. But this latest instance — coupled with statements Trump recently made in his interview with Time magazine — highlight a disturbing and underappreciated aspect of his 2024 campaign. Trump’s approach to election results has become his approach (and his devotees’ approach) to the law more broadly. Even as their policies and rhetoric have become more extreme, Trump and his MAGA acolytes are already lining up the justifications — legal and otherwise — to buttress their extremist and authoritarian agenda in ways that simply didn’t occur to the first Trump administration. It’s easy to forget how Trump’s immigration policy has shifted in eight years, even as it has remained consistently bigoted. The deportation of millions, the deployment of the National Guard and even the military domestically, the firing of prosecutors, the autocratic expansion of executive authority, the potential weaponization of the Comstock Act to ban abortion: all of these will have excuses that range from “tendentious” to “outright fiction.” Or, as Trump told Time: “I’ll be doing everything on a very legal basis.” Take, for example, immigration: It’s easy to forget how Trump’s immigration policy has shifted in eight years, even as it has remained consistently bigoted. His 10-point plan on immigration in 2016 consisted of the border wall and a bunch of truisms. (“We’ll build safe zones, which is something I think all of us want to see.”) The military was absent; the word “invasion” was nowhere to be found, and the courts barely merited a mention. Contrast this with the Time interview, where Trump defends deploying the military both at the border and inland to deport “15 million and maybe as many as 20 million” undocumented immigrants — the equivalent of deporting the entire state of Florida. With bigger autocratic moves come bigger fictions. Migrants are no longer just “bringing crime”; Trump has created a whole separate (and demonstrably false) category of “migrant crime.” Domestic deployment of the armed forces would seem to violate an 1878 ban on using troops against civilians. But this Trump, unlike the 2016 version, has a legal facade ready to go: Undocumented immigrants are invaders, not civilians, and “I will be complying with court orders.” Those two sentiments may seem difficult to reconcile, given that the former categorization flies in the face of legal precedent. But as recent oral arguments over presidential immunity have illustrated, precedent means little to this Supreme Court. Immigration is just the tip of a very dangerous iceberg. In close advisers like Stephen Miller and aligned projects like Project 2025, we can see not only the policies but also the underlying justifications and legal authorities they have ready to go. Part of this effort is practical. Trump’s presidency was rife with policy efforts that either never got past the planning stage or wasted months (or even years) in false starts. The reality that Mexico wouldn’t pay for his border wall meant that less than 20% had been built when he left office. His administration spent the better part of a year tossing out different iterations of Trump’s self-described “Muslim ban,” searching for a version that could pass muster in the courts. Phrases like "if everything’s honest" and "if things were getting out of control" create loopholes as wide as they are chilling. Trump’s supporters are determined not to waste time this round. There’s no better example of this than the Comstock Act: Rather than wait for congressional Republicans to pass a new national abortion ban, they could simply resurrect a “zombie law” to criminalize any materials used in abortions and count on the more Trump-friendly courts to back them up. But mostly this effort is political. As writer Brian Beutler puts it, “To the MAGA core, he offers a bloody revanchism; to the uncommitted, a series of mollifying assurances.” Most of Trump’s signature policy proposals — such as a military deportation force and huge tariff increases — and those of his most devoted advisers are unpopular. So Trump balances the lawless extremes of his ambitions by minimizing how radical his plans sound, hoping to avoid scaring persuadable voters with his authoritarian signals. “When we talk military, generally speaking, I talk National Guard,” he says, as if those two terms are interchangeable. “But if I thought things were getting out of control, I would have no problem using the military.” Just like he’ll accept the results “if everything’s honest.” “I don’t think they’re bold actions,” Trump tells Time of his policies, “I think they’re actions that are common sense.” But phrases like “if everything’s honest” and “if things were getting out of control” create loopholes as wide as they are chilling. It’s easy to imagine, for example, a deportation force being sent to New York and then beefed up when local residents resist — with horrible consequences. But if the platitudes get him back in the White House, he and his followers will move swiftly to welcome that horror.
China Is Buying Gold Like There’s No Tomorrow 2024-05-05 04:00:09.502000+00:00 - As gold surged this year to its highest price ever, Xena Lin joined the frenzy by making monthly purchases of gold “beans,” pebble-like morsels of the precious metal. For Ms. Lin, a 25-year-old administrative worker in southern China, the $80 beans — small enough to rest on a fingertip and weighing about one-thirtieth of an ounce — were an affordable way to buy into the gold excitement without splurging for jewelry, gold bars or coins. She had dabbled with investing in stocks in the past, but she said buying gold, especially in this fun way, inspired her to continue investing. “I’m still working hard to save more,” Ms. Lin said. Often considered a safe investment during times of geopolitical and economic turmoil, gold has soared in price in response to Russia’s invasion of Ukraine and the war in Gaza. But gold’s climb to highs above $2,400 per ounce has proved more resilient, and lasted longer, because of China.
RNC lawyer Charlie Spies to step down just 2 months after taking the job 2024-05-05 02:17:00+00:00 - Republican National Committee chief counsel Charlie Spies is parting ways with the party apparatus just months after stepping into the role. He was “pushed out,” according to a source familiar with the move. "Charlie approached RNC Chief of Staff, Chris LaCivita, about potential time commitment conflicts and it was agreed that, while we appreciate and value Charlie’s expertise and professionalism, he cannot do this role full time and still maintain the obligations to his law firm that he has spent years successfully building," said RNC spokesperson Danielle Alvarez in a statement first to NBC News. Spies did not immediately respond to a request for comment Saturday night. NBC News previously reported that Spies was hired in March to lead the committee's legal efforts amid the RNC leadership overhaul, when former President Donald Trump endorsed Michael Whatley to helm the organization, effectively reshaping the committee in his image. Spies was previously described by a campaign official as “the best at what he does, knows the FEC loopholes better than anyone” but a “gun for hire.” However, Spies was not a fan of the former president. He previously worked for Florida Gov. Ron DeSantis during the GOP primary. The longtime Republican lawyer is known for expanding the use of super PACs after the landmark Citizens United decision. Spies was also behind Right to Rise, the super PAC that Jeb Bush used during the 2016 cycle to raise a record-breaking $100 million in the months before formally announcing his candidacy. Spies filed a complaint in 2015 with the Federal Election Commission against the Trump Organization while in his super PAC role. Spies has also worked with Rep. John James, R-Mich., and served in Mitt Romney's 2008 presidential campaign. His wife, Lisa Spies, a well-known GOP fundraiser, has been working for the campaign heading up donor coalitions. Lisa Spies was a fundraiser for DeSantis before joining the Trump campaign. The chief counsel's hiring came as Whatley took the helm of the organization in March. Whatley was hand-picked by Trump along with the former president's daughter-in-law Lara Trump as co-chair. Whatley's predecessor as RNC chair, Ronna McDaniel, had resigned after facing internal party criticism and public skepticism from the former president. Spies has also previously rejected election-related conspiracy theories that have been touted by Trump allies. In a statement responding to reports of Spies being “pushed out” of the RNC, Alex Floyd, the Democratic National Committee rapid response director, said that Trump’s takeover of the RNC has led to “an election denier litmus test for new hires” and speculated that Spies was “purged for disagreeing with Trump’s dangerous conspiracy theories” about the 2020 election. In 2021, Spies publicly contradicted false claims about voting machines switching votes. When asked during a Conservative Political Action Conference panel about what to do about voting machines switching votes, he pushed back against the false conspiracy theory that has been backed by Trump allies. "I may get booed off the stage for this, but I have to say that's simply not true. There is just zero evidence that's true," Spies said at the time.
Warren Buffett’s company rejects proposals, but it faces lawsuit over how it handled one last year 2024-05-04 22:35:33+00:00 - OMAHA, Neb. (AP) — Shareholder proposals are usually uneventful at Berkshire Hathaway’s annual meeting. But Warren Buffett and the company are now facing a lawsuit over the way one presenter was treated last year. Peter Flaherty with the National Legal and Policy Center came back with another proposal this year on a different subject even after he was cut off in the middle of his presentation last year and arrested for trespassing. The charges were later dropped, but Flaherty decided to sue because of the way he was treated to stand up for any shareholder who wants to bring a proposal. He said he had never had trouble at dozens of meetings he has presented at since 2005, including Berkshire’s 2022 meeting. “I’ve never been interrupted while making a shareholder presentation. I’ve never had my mic cut, and I’ve never been removed from a meeting room. And I’ve certainly never been arrested,” Flaherty said, “Those things were unprecedented for me.” The issue last year was that Flaherty questioned the character of one of Buffett’s best friends and a former Berkshire board member, Bill Gates. Flaherty suggested that Buffett’s close association with Gates could hurt Berkshire’s reputation because of reports that Gates had been associated with Jeffrey Epstein before he was arrested for sex trafficking. So he was proposing that Berkshire give someone else Buffett’s chairman title while leaving him as CEO. Buffett has donated billions to Gates’ foundation over the years and plans to give him the bulk of his fortune to distribute. Berkshire didn’t immediately respond to the federal lawsuit that was filed Friday, and it wasn’t mentioned during Saturday’s meeting. Berkshire officials didn’t even address any of the proposals during the meeting — instead they relied on their statements of opposition that were filed in the official meeting proxy. Buffett stayed silent during the business meeting after spending all day Saturday answering shareholder questions at the main part of the shareholder meeting. He let his eventual successor Vice Chairman Greg Abel take the lead. He only reminded the presenters of all six proposals to keep their comments related to the proposals. Flaherty’s proposal was one of six rejected at Berkshire’s meeting this year. They were all opposed by the board, and Buffett still controls roughly one-third of the vote so anything he opposes is almost certain to fail. None of the proposals received more than 85,000 votes. Flaherty’s proposal only drew 6,150 votes while getting 443,544 votes against it. Some of the other proposals rejected Saturday included ones to require Berkshire to create reports on climate change risks and diversity and inclusion efforts at the massive conglomerate. Another proposal would have required Berkshire to create a board committee focused on railroad safety. The safety chief for the SMART-TD rail union that represents conductors and other rail workers, Jared Cassity, said that if BNSF wants to argue that safety is the railroad’s top priority, Berkshire’s board should focus on it and review staffing and operational practices to help prevent derailments like the disastrous one Norfolk Southern had last year in East Palestine, Ohio. “Railroad safety requires effective board oversight,” Cassity said. Berkshire argued that BNSF is already focused on improving safety and doesn’t need more oversight. With regard to the other proposals, Berkshire officials argued that such reports would be cumbersome because of the decentralized way the company is run and unnecessary. Plus, some of its subsidiaries like its massive utility unit already produce reports on greenhouse gas emissions, Berkshire said. This year, Flaherty was allowed to make his case that Berkshire should produce a report on the risks of doing business in China, before the proposal was summarily rejected. “China poses unique risks for Berkshire Hathaway,” Flaherty said, arguing that the company’s existing disclosures about subsidiaries like Fruit of the Loom that have factories in China are inadequate.
‘Full-blown famine’ in northern Gaza, World Food Programme director says 2024-05-04 20:37:09+00:00 - “Full-blown famine” is present in the northern part of Gaza and is spreading south, said Cindy McCain, the executive director of the World Food Programme. “What I can explain to you is that there is famine — full-blown famine — in the north, and it’s moving its way south,” McCain told NBC’s Kristen Welker in an interview to air on Sunday. McCain’s comments are not an official declaration of famine, which must meet certain criteria, but she said it’s based on what WFP employees have seen and experienced in Gaza. “It’s horror,” she added. Although it is the first time that the head of the WFP has labeled the situation in Gaza a famine, international organizations have danced around the label for months as the starvation in Gaza has grown more acute. But as historian Yan Slobodkin wrote for Slate, whether or not the severe starvation that’s happening in Gaza is officially declared a famine is, from a humanitarian perspective, irrelevant: Three points can help make sense of the conversation. The first is that the threshold for declaring famine is arbitrary. There is no clear line between when famine is imminent and when it begins. The second point is that famine is best understood not as an event, but as a process with mass mortality as its culmination. The third point is that declarations of famine are always contested. Israel has inflicted staggering levels of destruction and suffering on Gaza in its retaliatory assault after Hamas’ Oct. 7 attack, which killed 1,200 people. The IDF’s relentless bombing campaign has destroyed Gaza’s agricultural lands, critical infrastructure and large swaths of housing. More than 34,000 people in Gaza have been killed, the majority of them women and children, and over 10,000 more are believed to be buried under the rubble. The United Nations Office for the Coordination of Humanitarian Affairs said in a statement this week that it could take up to three years to retrieve the bodies with the tools on hand. As people in Gaza starve, Israeli officials have continued to restrict humanitarian aid shipments and to subject deliveries to excessive waits at checkpoints. Omar Shakir, Israel and Palestine director at Human Rights Watch, has accused Israel of using starvation as a “weapon of war.” The humanitarian crisis is especially dire in north Gaza, where people have resorted to eating grass and animal feed, NPR reported. At least 32 people have died of malnutrition and dehydration in the north, 28 of whom were children, the Gaza Health Ministry said.
Angel Reese, Cardoso debuts watched widely on fan’s livestream after WNBA is unable to broadcast 2024-05-04 19:43:52+00:00 - The WNBA debuts of Angel Reese and Kamilla Cardoso were widely watched on a social media livestream from a fan who stepped in when the league’s app couldn’t broadcast the game. Reese and Cardoso played in their first preseason game for the Chicago Sky on Friday night in a 92-81 loss to the Minnesota Lynx. The WNBA’s app had incorrectly listed the game as available to watch, leading to confusion from fans before the league clarified that only Caitlin Clark’s debut with the Indiana Fever was being broadcast. That’s when @heyheyitsalli stepped in on X. “Would y’all want me to try and stream the game on here??” the X user asked, “no promises on the quality but i can try.” Viewership numbers on the livestream varied, but on Saturday the video showed about 434,000 total views. The X user previously posted a screenshot showing that the stream peaked at 173,381 live viewers. “Y’all these are some of THE WILDEST numbers WOW,” the user tweeted. Lynx coach Cheryl Reeve was asked about the stream after the game. She said @heyheyitsalli deserves “three bucks” per viewer. “Anybody that watched it should send three bucks to the person, I don’t even know who it is,” Reeve said. “I think that what I would say is that the growth is happening so fast. It’s so accelerated. And I’ve been saying this in our own organization — that business as usual isn’t going to work anymore. “You’re gonna get left behind and this is an example.” Reeve said she understands that Clark’s game would be broadcast, and is “all for that.” “People want to see that, but they also want to see, you know, it’s not just about Caitlin,” Reeve said. “This isn’t Caitlin’s fault in any way. It’s more, you know, the recognition that there’s general excitement about the WNBA in ways that we haven’t seen before. And so we have to capitalize to really ensure that this is a movement.” Reese finished the game with 13 points and nine rebounds in 24 minutes. Cardoso had six points and four rebounds in 13 minutes. Sky coach Teresa Weatherspoon said she was pleased with the rookies’ debuts. “This is a learning process for all of us. ... And we’re going through that process in the right way,” she said. “We got our leaders leading them, pulling them along. Keeping them confident. That’s what matters. So we’re in a great place and they’re in a hell of a great place.” ___ AP WNBA: https://apnews.com/hub/wnba-basketball
I-95 overpass in Connecticut scorched during a fuel truck inferno has been demolished 2024-05-04 19:18:30+00:00 - NORWALK, Conn. (AP) — A bridge damaged in a fiery crash that kept Interstate 95 in Connecticut closed Thursday and Friday has been demolished. A live camera operated by the Connecticut Department of Transportation on Saturday showed excavators and bucket loaders scooping up rubble from the destroyed Fairfield Avenue overpass above I-95 in Norwalk and dumping it into large containers and dump trucks to be hauled away. Crews started tearing down the bridge on Friday morning and work, including the repaving of damaged parts of the roadway, was expected to last through the weekend. Workers are aiming to get all six lanes of traffic on the interstate, which is the main artery linking New England and New York, reopened before rush hour Monday morning. The bridge was scorched Thursday morning after a gasoline tanker collided into two other vehicles and burst into flames. State police said a car was merging from the right lane when it struck the gas truck, which was carrying 8,500 gallons (32,000 liters) of fuel. The truck then hit a tractor trailer in another lane and caught fire. Nobody was seriously injured, and no charges have been filed. About 160,000 vehicles travel daily on the affected stretch of I-95. The bridge removal and road repairs could cost about $20 million, with the state’s congressional delegation asking the Federal Highway Administration for emergency funds to pay all the expenses.
Utah’s ‘snitch line’ to report trans people in bathrooms backfires in spectacular fashion 2024-05-04 19:06:10+00:00 - In an attempt to crowdsource enforcement of an anti-trans bathroom law that went into effect this week, Utah’s state auditor has rolled out an online complaint form to report trans people in bathrooms. Released on Wednesday, the so-called hotline complaint form allows people to report alleged violations of House Bill 257, which requires individuals to use restrooms and changing rooms in government buildings that correspond with their sex assigned at birth. The legislation has caused fear and confusion among teachers, parents and students in public schools. Under HB 257, a person found to have violated the law can be charged with criminal trespassing and could serve jail time, and a government entity can be fined up to $10,000 per day for a violation. The complaint form has so far proven to be a bust. Several people posted screenshots to the social media platform X showing them trolling the form with memes and other nonsensical submissions. By Friday, the state auditor’s office had received nearly 4,000 complaints, Utah Auditor John Dougall told The Salt Lake Tribune —all of which appear to be fake. “We didn’t see anything that looks credible,” Dougall said. “For example, if they have my name as a complainant, you know, I’m not complaining.” The form initially had a section where respondents could upload documents to support their complaint — which, given the locations to which the law applied, suggested that people would be photographed in bathrooms and changing rooms (which is illegal). “Apparently Utah’s solution to people feeling unsafe in restrooms is to encourage folks to take photos of & focus extreme attention on the private parts of others who are taking care of a biological need to eliminate waste?” Utah state Sen. Jennifer Plumb, a Democrat, posted on X. Dougall responded to Plumb, writing that his office “has no interest in those types of photos” and that he was “disgusted by [Plumb’s] suggestion of such revolting and criminal behavior!” By Saturday, that section in the complaint form had been removed. The website also had no basic security measures to block people from viewing comments and images that others had submitted. Dougall’s office changed the permissions after independent news outlet 404 Media reached out for comment. Utah is not the first state to seek the public’s help in enforcing anti-LGBTQ measures. As journalist Erin Reed reported, when Indiana unveiled a similar “snitch line” in February to report schools that were teaching “political ideology,” the portal was spammed with jokes and memes. Last year, Missouri had a similar anti-trans “snitch line” website crash after it was spammed with users who uploaded the script of “The Bee Movie.”
Berkshire’s profit plunges 64% on portfolio holdings as Buffett sells Apple 2024-05-04 18:43:45+00:00 - OMAHA, Neb. (AP) — Berkshire Hathaway’s first quarter profits plummeted along with the paper value of its investments, but the company said Saturday that most of the businesses it owns outright performed well. The company reported reported a $12.7 billion profit, or $8.825 per Class A share, in the quarter. That’s roughly one-third of last year’s $35.5 billion, or $24,377 per A share. The figures were heavily influenced by a large drop in the paper value of Berkshire’s investments. Buffett encourages investors to pay more attention to the conglomerate’s operating earnings that exclude the investment figures. Operating earnings jumped 39% to $11.222 billion from last year’s $8.065 billion as its insurance companies showed strong results. On a per share basis, this year’s first quarter operating figure amounts to $7,796.47 per Class A share, beating three analysts’ estimates by FactSet Research, who predicted $6,701.87 per Class A share. Buffett was a net seller of $17 billion in stocks during the quarter, including trimming about 13% of Berkshire’s massive Apple stake. At $135.4 billion, the iPhone maker still accounts for the biggest share of Berkshire’s $364 billion portfolio. Buffett said he expects it to remain so even up to when his successor Greg Abel takes over. The estimated value of Berkshire’s Apple stake suggests Buffett sold off more than 100 million shares. In the past, Buffett has said he invested in Apple’s stock because of how devoted consumers are to the company’s products, similar to consumer brands he loves like Berkshire’s own See’s Candy. Apple CEO Tim Cook, who is at the Berkshire meeting, told CNBC that he still considers it a privilege to have Berkshire as a major shareholder, and he knew about the sales before Berkshire disclosed them Saturday. Berkshire reported a $2.6 billion underwriting profit at its insurers, up from $911 million a year ago, as Geico in particular continued to improve its results. However, BNSF railroad’s profits dropped 8% to $1.143 billion. Most of Berkshire’s many other companies delivered solid results, including a 72% jump in operating profits at the utility unit, adding $717 million to Berkshire’s total. Revenue grew 5% to $89.87 billion in the quarter. The two analysts who reported estimates to FactSet predicted $87.044 billion. With no major acquisitions in sight, Berkshire’s cash pile climbed to a record $188.993 billion even after it spent $2.6 billion repurchasing shares during the first three months of the year. Holdings including Geico insurance, BNSF railroad, several major utilities and an assortment of dozens of others keep generating mountains of cash. “We’d love to spend it but we won’t spend it unless we’re doing something with very little risk that will make us a lot of money,” Buffett said.
Madonna’s biggest-ever concert transforms Rio’s Copacabana beach into a massive dance floor 2024-05-04 18:37:22+00:00 - RIO DE JANEIRO (AP) — Madonna put on a free concert on Copacabana beach Saturday night, turning Rio de Janeiro’s vast stretch of sand into an enormous dance floor teeming with a multitude of her fans. It was the last show of The Celebration Tour, her first retrospective, which kicked off in October in London. Madonna performs in the final show of her The Celebration Tour, on Copacabana Beach in Rio de Janeiro, Brazil, Saturday, May 4, 2024. (AP Photo/Silvia Izquierdo) Madonna performs in the final show of her The Celebration Tour, on Copacabana Beach in Rio de Janeiro, Brazil, Saturday, May 4, 2024. (AP Photo/Silvia Izquierdo) The “Queen of Pop” began the show with her 1998 hit “Nothing Really Matters.” Huge cheers rose from the buzzing, tightly packed crowd, pressed up against the barriers. Others held house parties in brightly lighted apartments and hotels overlooking the beachfront. Helicopters and drones flew overhead, and motorboats and sailboats anchored off the beach filled the bay. “Here we are in the most beautiful place in the world,” Madonna, 65, told the crowd. Pointing out the ocean view, the mountains and the Christ the Redeemer statue overlooking the city, she added: “This place is magic.” Madonna performs in the final show of her The Celebration Tour, on Copacabana Beach in Rio de Janeiro, Brazil, Saturday, May 4, 2024. (AP Photo/Bruna Prado) Madonna performed her classic hits, including “Like A Virgin” and “Hung Up.” For the introduction to “Like A Prayer,” her head was completely covered in a black cape, a rosary gripped in her hands. The star paid an emotional tribute to “all the bright lights” lost to AIDS as she sang “Live to Tell,” with black and white photos of people who died from the illness flashing behind her. Later, she was joined on stage by Brazilian artists Anitta and Pabllo Vittar. Rio spent the last few days readying itself for the performance. An estimated 1.6 million people attended the show, G1 reported, citing Rio City Hall’s tourism agency. That is more than 10 times Madonna’s record attendance of 130,000 at Paris’ Parc des Sceaux in 1987. Madonna’s official website hyped the show as the biggest ever in her four-decade career. A fan of Madonna, wearing a mask, strikes a pose during a rehearsal for Madonna's The Celebration Tour, in Rio de Janeiro, Brazil, Thursday, May 2, 2024. (AP Photo/Bruna Prado) Fans wait for the start of Madonna's last show of her The Celebration Tour, on Copacabana beach in Rio de Janeiro, Brazil, Saturday, May 4, 2024. (AP Photo/Bruna Prado) In recent days, the buzz was palpable. Fans milled outside the stately, beachfront Copacabana Palace hotel, where Madonna is staying, hoping to catch a glimpse of the pop star. During the sound check on the stage set up in front of the hotel, they danced on the sand. By midday Saturday, fans crowded in front of the hotel. A white-bearded man carried a sign saying, “Welcome Madonna you are the best I love you.” Flags with “Madonna” printed against a background of Copacabana’s iconic black and white waved sidewalk pattern hung from balconies. The area was packed with street vendors and concert attendees kitted out in themed T-shirts, sweating under a baking sun. “Since Madonna arrived here, I’ve been coming every day with this outfit to welcome my idol, my diva, my pop queen,” said Rosemary de Oliveira Bohrer, 69, who sported a gold-colored cone bra and a black cap. “It’s going to be an unforgettable show here in Copacabana,” said Oliveira Bohrer, a retired civil servant who lives in the area. Eighteen sound towers were spread along the beach to ensure that all attendees can hear the hits. Her two-hour show started at 10:37 p.m. local time, nearly 50 minutes behind schedule. City Hall produced a report in April estimating that the concert would vinject 293 million reals ($57 million) into the local economy. Hotel capacity was expected to reach 98% in Copacabana, according to Rio’s hotel association. Fans hailing from across Brazil and even Argentina and France sought out Airbnbs for the weekend, the platform said in a statement. Rio’s international airport had forecast an extra 170 flights during May 1-6, from 27 destinations, City Hall said in a statement. People watch a rehearsal for Madonna’s Celebration tour in Rio de Janeiro, Brazil, Thursday, May 2, 2024. Madonna will conclude her tour on Saturday with a free concert at Copacabana Beach. (AP Photo/Bruna Prado) Madonna fans dance outside Copacabana Palace hotel where Madonna is staying ahead of her Celebration tour concert in Rio de Janeiro, Brazil, Friday, May 3, 2024. (AP Photo/Bruna Prado A Madonna fan dances outside Copacabana Palace hotel where Madonna is staying ahead of her Celebration tour concert in Rio de Janeiro, Brazil, Friday, May 3, 2024. (AP Photo/Bruna Prado) “It’s a unique opportunity to see Madonna, who knows if she’ll ever come back,” said Alessandro Augusto, 53, who flew in from Brazil’s Ceara state — approximately 2,500 kilometers (1,555 miles) from Rio. “Welcome Queen!” read Heineken ads plastered around the city, the lettering above an image of an upturned bottle cap resembling a crown. Heineken wasn’t the only company seeking to profit from the excitement. Bars and restaurants prepared “Like a Virgin” cocktails. A shop in the downtown neighborhood famed for selling Carnival attire completely reinvented itself, stocking its shelves with Madonna-themed costumes, fans, fanny packs and even underwear. Organization of the mega-event was similar to New Year’s Eve, when millions of people gather on Copacabana for its fireworks display, local authorities said. That annual event often produces widespread thefts and muggings, and there was some concern such problems might occur at Madonna’s show. Madonna rehearses in a mask for her Celebration tour in Rio de Janeiro, Brazil, Thursday, May 2, 2024. Madonna, who removed her mask at the end of rehearsal, will conclude her tour on Saturday with a free concert at Copacabana Beach. (AP Photo/Bruna Prado Rio state’s security plan included the presence of 3,200 military personnel and 1,500 civilian police officers on stand by. In the lead-up to the concert, Brazil’s navy inspected vessels that wished to position themselves offshore to follow the show. A number of huge concerts have taken place on Copacabana beach before, including a 1994 New Year’s Eve show by Rod Stewart that drew more than 4 million fans and was the biggest free rock concert in history, according to Guinness World Records. Many of those spectators also came to see Rio’s fireworks show, though, so a more fitting comparison might be to the Rolling Stones in 2006, which saw 1.2 million people crowd onto the sand, according to Rio’s military police, the newspaper Folha de Sao Paulo reported at the time. Ana Beatriz Soares, a fan who was at Copacabana on Saturday, said Madonna has made her mark across the decades. “Madonna had to run so that today’s pop artists could walk. That’s why she’s important, because she serves as an inspiration for today’s pop divas,” Soares said. “And that’s 40 years ago. Not 40 days, 40 months. It’s 40 years,” she said. ___ AP video journalist Douglas Engle contributed to this report.
Berkshire Hathaway has first annual meeting since death of longtime vice chairman Charlie Munger 2024-05-04 18:02:00+00:00 - How the 25 wealthiest Americans can pay little to no federal income taxes Warren Buffett's Berkshire Hathaway gathered for its first annual meeting in an Omaha arena on Saturday, bringing together shareholders for the first time since the death of longtime vice chairman and right-hand man Charlie Munger. Tens of thousands of shareholders filled the arena eager to vacuum up tidbits of wisdom from billionaire Buffett, who famously dubbed the meeting "Woodstock for Capitalists" and to pay tribute to Munger, who died at 99 in November. The meeting opened with a video tribute to Munger recounting his life and highlighting some of his best known quotes from the meetings over the years that drew applause, including classic lines like "If people weren't so often wrong, we wouldn't be so rich." The video also featured old interviews with Buffett and Munger talking about their epic friendship. The video also featured several of the classic skits the investors made for meetings over the years with holiday stars like a "Desperate Housewives" spoof where one of the women introduced Munger as her boyfriend and another video where Jamie Lee Curtis swooned over Munger. As the video ended, everyone in the arena gave Munger a prolonged standing ovation to thank him for being what Buffett called "the architect of Berkshire Hathaway." Harold and Caroline Ernst of St. Louis chat with fellow shareholders as they wait for the Berkshire Hathaway annual meeting to begin on Saturday, May 4, 2024, in Omaha, Neb. Rebecca S. Gratz / AP For decades, Munger shared the stage with Buffett every year for the marathon question and answer session that is the event's centerpiece. Munger routinely let Buffett take the lead with expansive responses that went on for several minutes. Then Munger himself would cut directly to the point. He is remembered for calling cryptocurrencies stupid, telling people to "marry the best person that will have you" and comparing many unproven internet businesses in 2000 to "turds." He and Buffett functioned as a classic comedy duo, with Buffett offering lengthy setups to Munger's witty one-liners. Together, they transformed Berkshire from a floundering textile mill into a massive conglomerate made up of a variety of interests, from insurance companies such as Geico to BNSF railroad to several major utilities and an assortment of other companies. Munger often summed up the key Berkshire's success as "trying to be consistently not stupid, instead of trying to be very intelligent." He and Buffett also were known for sticking to businesses they understood well. "Warren always did at least 80% of the talking. But Charlie was a great foil," said Stansberry Research analyst Whitney Tilson, who was looking forward to his 27th consecutive meeting with a bit of a heavy heart because of Munger's absence. That absence, however, may well create space for shareholders to get to know better the two executives who directly oversee Berkshire's companies: Ajit Jain, who manages the insurance units, and Greg Abel, who handles everything else. Abel will one day replace the 93-year-old Buffett as CEO. Abel and Jain are sharing the main stage with Buffett for the first time this year in the spot Munger used to occupy. The first time Buffett kicked a question to Abel, he mistakenly said "Charlie?" out of habit. Morningstar analyst Greggory Warren said he hopes Abel will speak up more this year and let shareholders see some of the brilliance Berkshire executives talk about. Ever since Munger let it slip at the annual meeting three years ago that Abel would be the successor, Buffett has repeatedly reassured investors that he's confident in the pick. Berkshire Hathaway remains successful amid drop in earnings Buffett's company reported a steep drop in earnings because the paper value of its investments fell and it sold off part of its massive Apple stake, but overall, Berkshire Hathaway's many businesses performed well. Berkshire reported a $12.7 billion profit, or $8,825 per Class A share, in the quarter. That's roughly one-third of the $35.5 billion, or $24,377 per A share, that Berkshire reported a year ago. But those figures were heavily swayed by a large drop in the paper value of Berkshire's investments. That's why Buffett encourages investors to pay more attention to the conglomerate's operating earnings that exclude the investment figures. By that measure, Berkshire's operating earnings jumped 39% to $11.222 billion from last year's $8.065 billion as its insurance companies led a strong performance. The three analysts surveyed by FactSet Research had predicted operating earnings of $6,701.87 per Class A share. Buffett did sell off nearly $6 billion in stocks during the quarter, including trimming about 13% of Berkshire's massive Apple stake. The investment in the iPhone maker is still the biggest one in the $364 billion portfolio at $135.4 billion, and Buffett said he expects Apple to remain the biggest investment for years — even up to when his successor takes over. But the estimated value of Berkshire's Apple stake suggests that Buffett sold off more than 100 million shares. Buffett has said he invested in Apple's stock because of how devoted consumers are to the iPhone and other Apple products. Apple CEO Tim Cook, who is at the Berkshire meeting, told CNBC that he still considers it a privilege to have Berkshire as a major shareholder, and he knew about the sales before Berkshire disclosed them Saturday. Berkshire reported a $2.6 billion underwriting profit at its insurers, up from $911 million a year ago. BNSF railroad's profits did disappoint and drop 8% to $1.143 billion, but most of its many other companies delivered solid results, including a 72% jump in operating profits at the utility unit that added $717 million to Berkshire's total. Berkshire's revenue grew 5% to $89.87 billion in the quarter. The two analysts who reported estimates to FactSet predicted $87.044 billion revenue. With no major acquisitions in sight, Berkshire's massive cash pile continued to grow to a record $188.993 billion in the quarter. Berkshire even spent $2.6 billion repurchasing shares during the first three months of the year, but its companies include Geico insurance, BNSF railroad, several major utilities and an assortment of dozens of others keep generating mountains of cash. "We'd love to spend it but we won't spend it unless we're doing something with very little risk that will make us a lot of money," Buffett said.
Lawsuit Accuses Everton Bidder 777 Partners of $600 Million Fraud 2024-05-04 15:10:47+00:00 - The American investment firm 777 Partners, whose bid to buy the English Premier League soccer team Everton has been on hold for months amid doubts about the company’s finances, was accused by one of its lenders on Friday of running a yearslong fraud scheme worth hundreds of millions of dollars. The accusation came in a lawsuit filed Friday in federal court in New York by Leadenhall Capital Partners, a London-based asset management company. It said that it had provided 777 Partners with more than $600 million in financing, only to discover that roughly $350 million in assets serving as collateral for the loans either were not in 777’s control or had already been pledged to other lenders. The lawsuit is the latest, most serious claim against 777 Partners, which has for years made bold assertions about its financial health — it has previously claimed $10 billion in assets — even as it was trailed by a string of lawsuits, corporate failures and unpaid bills. The suit could have immediate implications for 777’s stalled bid to buy Everton: The Premier League has not approved the sale, and the financially strapped club recently said it was seeking alternate investors.
Why campus protests at Columbia etc are "the easier Israel debate" 2024-05-04 15:03:48+00:00 - In the spring of 1969, a group of students at Morehouse College, the historically Black college in Atlanta, were frustrated by what they said was the school’s slow progress on civil rights. They’d protested. They’d been rebuffed. So they locked the college trustees in their office for over 24 hours and essentially held them hostage. One of the trustees was Martin Luther King Sr., father of the recently slain civil rights leader. He began having chest pains, and one of the students later said, “We let him out of there so we wouldn’t be accused of murder.” That student and his classmates eventually gave up under a promise of amnesty from the college. The college reneged, and he was expelled. It would be years before he was rehabilitated, and decades before he became known the world over as actor Samuel L. Jackson. I tell this story for two reasons. One, to remind us that college activism has long been a part of college education. The other reason, though, is to get a sense of proportion. I tell this story for two reasons. One, to remind us that college activism has long been a part of college education. The other reason, though, is to get a sense of proportion, which seems lacking today as we watch the disturbing imagery emerging from campuses like Columbia, UCLA, University of Texas, University of South Florida, and so many others, where police officers or in some cases mobs take down pro-Palestinian students, and professors, and journalists, and bystanders. The cumulative effect of all this coverage, along with unverified assertions from police and politicians, has been to drive home the idea that student protests are a terrorist-level threat to be neutralized by battalions of officers armed like soldiers with MRAPs and sonic cannons. The reaction seems to be out of all proportion to the protests themselves. That seems especially true when you look at other campuses, like Brown University, where administrators negotiated with the student protesters who then took down their encampment. And Wesleyan University, whose president said the protesting there was non-violent and nondisruptive, adding, “As long as it continues in this way, the University will not attempt to clear the encampment.” These universities, crucially, have reiterated their important rules against antisemitic invective and harassment while protecting assembly. That’s so sensible. And so out of step with what we’re seeing elsewhere. Ever since Hamas’ Oct. 7 atrocities in Israel, there has been this obsessive media focus on college campuses. This is partly because there are genuine issues worth debating, including the degree to which universities are creating spaces that are hostile to pro-Israel Jewish students or suppressing pro-Palestinian speech. Those issues matter. But the way so many prominent voices have focused on colleges feels honestly a bit decadent to me. It’s like we’re doing a paper doll version of the conflict. The actual reality of what’s happening in Gaza is so horrific, unceasing, and high stakes, that it’s more enjoyable to argue about what college kids are doing than to confront the human misery and destruction happening in the actual conflict that is, of course, the source of these protests. What seems most worth debating isn’t campus speech, but whether the U.S. government should continue to fund and support an Israeli war in Gaza that has pushed more than a million people to the brink of famine. A war that has damaged half of the buildings in Gaza. A war that has failed to bring home most of the hostages held by Hamas. A war that has, in fact, led to the deaths of some hostages, as well as the deaths of an estimated 34,000 Palestinians, including roughly 10,000 women and 13,000 children. The way so many prominent voices have focused on colleges feels honestly a bit decadent to me. It’s like we’re doing a paper doll version of the conflict. Is that ongoing effort morally defensible? Is it strategically wise? Are we as a nation doing the wrong thing? Whenever that becomes the question, it almost becomes reflexive to challenge the questioner. I can’t help but think of the protests that marked the leadup to the Iraq War, which were both widely attended and widely attacked. Prominent war supporters, including onetime student protester Christopher Hitchens, blasted those demonstrations. He pointed to the fact that some of the people organizing the protests held genuinely odious, fringe views. For instance, the view that North Korea is a worker’s paradise. That’s a bad view. And there were protest organizers with bad views. There were people at the protests who thought 9/11 was an inside job. I would argue with them myself at protests. Did that have anything to do with whether the war in Iraq was moral and prudent? No. It demonstrably wasn’t. On that, the protesters were right. This brings us back to Columbia University, where 56 years ago — almost to the day — student protesters took over the same building, Hamilton Hall, that was occupied earlier this week. They, too, were forcibly removed and arrested, and many were bloodied and beaten for protesting, among other things, the university’s involvement in the Vietnam War. They believed the war was a moral catastrophe and the U.S. should stop waging it. They were right. And the fact that there were extremists among the protesters had no bearing on that. What I find particularly maddening about our focus on the protesters of the conflict is that it’s an evasion. It avoids the difficult task of being universally empathetic to our fellow human beings and truly reckoning with the scale of devastation that is wrought by our country, in our names. In the aftermath of 9/11, we waged a “global war on terror” for two decades that killed somewhere between 400,000 and 500,000 people. In Vietnam, we are estimated to have killed more than a million people. Huge swaths of them were civilians, women, children, male non-combatants, old people. Can you even make sense of those numbers? I can’t. It’s hard to think of them, to contend with them, as real human beings who lived lives before we took them. It’s just so much easier to get angry at “spoiled brats” on college campuses here. Some ask, Why are they being so disruptive? What are they so upset about? If you feel that way, I can understand. I’ve felt irritation and anger at protesters many times in my life, even ones I was ostensibly on the same side as broadly speaking. But if you feel that way, try recasting the question: Why are all these people so upset that we are helping another government wage a brutal war that has killed 13,000 children? The question kind of answers itself. To take seriously the scale of human suffering that’s happening in Gaza doesn’t mean that you must come down on the side of the protesters. Many people think the war is a brutal but necessary campaign for Israel’s defense. But what it does necessitate is that you weigh all that human suffering against the actual end game of the conflict that is currently being waged — and that the U.S. continues to support. Our humanity demands that we focus on those questions, first and last. This is an adapted excerpt from the May 1 episode of “All In."
Berkshire Reports Strong Earnings and Formidable Cash Stockpile 2024-05-04 13:38:59+00:00 - Berkshire Hathaway on Saturday reported strong operating earnings, which track the actual profit that its array of businesses produce, and a record pile of cash in the first quarter, underscoring the health of the conglomerate run by Warren E. Buffett. The results provided a positive backdrop for Berkshire’s annual shareholder meeting in downtown Omaha, the company’s hometown. It is the first such gathering for Mr. Buffett’s business empire since the death in November of Charles Munger, Mr. Buffett’s longtime business partner and alter ego, at age 99. Saturday’s results underscore Mr. Buffett’s repeated admonition that the best way to judge Berkshire — a collection of businesses that includes a major railroad, a substantial power-generation business, insurance, consumer brands including Fruit of the Loom and more — is on operating earnings, not net income. For the first three months of the year, Berkshire reported $12.7 billion in earnings attributable to its shareholders, down 64 percent from the same time a year ago. Driving the drop was a steep fall in the paper value of Berkshire’s vast investment portfolio though Mr. Buffett has long warned shareholders to ignore fluctuations in the company’s stock holdings.
Is It Good to Go Exclusive? 2024-05-04 12:16:56+00:00 - Paramount’s proposed merger with Skydance has been the most tumultuous media deal in years. Now it has taken yet another turn after the exclusivity period for negotiations expired without an agreement in hand. A month ago, a special committee of Paramount’s board agreed to enter into exclusive talks with Skydance — a Hollywood studio run by the tech scion David Ellison — even as the private equity giant Apollo Global Management reached out with a $26 billion offer. Paramount shareholders grumbled that granting exclusivity was a mistake, and that the company should have engaged with Apollo instead. This week, the special committee told Skydance that it was letting the exclusivity period lapse. The end of exclusivity doesn’t alone kill the deal with Skydance. But it does allow Paramount to open up negotiations with Apollo and Sony Pictures Entertainment, which joined Apollo’s bid. The so far fruitless negotiations raise a question that deal makers have long debated: Why do companies like Paramount agree to exclusivity in the first place?
MarketBeat Week in Review – 4/29 - 5/3 2024-05-04 11:00:00+00:00 - Key Points Apple and Amgen led the market higher on Friday. The market rally was also driven by hopes that a weaker-than-expected jobs number will give the Federal Reserve the data it needs to cut interest rates sooner rather than later. Here are some of our most popular articles from this week. 5 stocks we like better than Hilton Worldwide The market rally to close the week was brought to you by the letter "A." Two Dow components, Apple and Amgen, accounted for about 50% of the gains in the NYSE as markets opened over 400 points higher on Friday. Investors are also bullish as a weaker-than-expected jobs report reignites hope that the Federal Reserve may cut interest rates earlier than expected. For one day, at least, investors are looking past the weak guidance from many companies that show consumer spending is slowing. Next week, a full week of earnings starts with Palantir Technologies, Inc. NYSE: PLTR on Monday. Bulls and bears closely watch the enigmatic tech company; its earnings report will move the markets. You can count on MarketBeat to stay on top of the stocks and stories moving the market. Here are some of the top articles our subscribers were viewing this week. Get Hilton Worldwide alerts: Sign Up Articles by Jea Yu With the summer travel season rapidly approaching, investors may believe it's a good opportunity to get into hotel stocks. If you're among them, Jea Yu explained why you may want to consider Hilton Worldwide Holdings Inc. NYSE: HLT. Like many major hotel chains, Hilton shows why an asset light model works for investors. The medical device sector had a rough first quarter, but Boston Scientific Co. NYSE: BSX delivered a strong earnings report that showed revenue growth in both of its core business units. The report and guidance show why it may be the best option for investors in a competitive sector. Yu also analyzed the strong earnings report from Seagate Technology Holdings plc NASDAQ: STX, which is seeing a surge in demand for its hard disk drives (HDDs) as data storage demand increases for cloud computing companies. Articles by Thomas Hughes Chipotle Mexican Grill Inc. NYSE: CMG surprised investors by announcing a 50-for-1 stock split. However, Thomas Hughes explains that Chipotle's latest earnings report shows why it has plenty of growth drivers that will send the stock higher both before and after the split. Hughes also wrote about two semiconductor stocks that had difficult first quarters but may give investors a reason for optimism. In the case of onsemi (NASDAQ: ON), quarterly earnings weren't spectacular, but they were still better than expected, which is generating a rally in the oversold stock. NXP Semiconductors N.V. NASDAQ: NXPI delivered a weak first quarter report. However, analysts seem to be shrugging off the report and bidding the stock higher on optimism that the company's soft-landing approach will work. Articles by Sam Quirke This Sam Quirke wrote about two stocks that investors love to debate. Tesla Inc. NASDAQ: TSLA is out of favor among investors, and not without reason. However, Quirke explains why the recent rally in Tesla stock after its disappointing earnings report hints that investors may now see TSLA stock at these levels as an irresistible buy. Meta Platforms Inc. NASDAQ: META moved lower despite a strong earnings report as investors got nervous about the company's proposed capex spend. Buying the dip is not always the best strategy in these cases, but Quirke gave investors three reasons why the dip in META stock may be a great buying opportunity. Turning his attention to the broader market, Quirke used a classic technical indicator, the Relative Strength Indicator (RSI), to highlight three oversold large-cap stocks that could be ready to rebound. Articles by Chris Markoch Apple Inc. NASDAQ: AAPL surprised investors with a $110 billion share buyback program, and the stock shot up 6%. Chris Markoch wrote about the hotly awaited report and why it shows Apple's strengths and weaknesses ahead of its Worldwide Developer Conference in June. A different story was evident with SoFi Technologies Inc. NASDAQ: SOFI. The fintech company reported solid earnings this week, but the stock moved sharply lower. Markoch explained why the bulls and the bears may both be getting it wrong when it comes to SOFI stock. For many years, AbbVie Inc. NYSE: ABBV has been a good example of a sleep-at-night stock. Markoch writes that, although the company faces biosimilar competition for Humira, analysts are bidding ABBV stock higher as they believe that the company's current and future drugs will more than offset that loss. Articles by Ryan Hasson A big story from this week that may not be getting enough attention is that the U.S. Department of Justice (DOJ) will accept the DEA's recommendation to approve the rescheduling of marijuana as a lower-risk drug. The announcement could be a huge catalyst for cannabis stocks, which have been in a years-long bear market. But it comes with limitations. Hasson explains what the legislation may mean for some three of the top cannabis and marijuana stocks. Hasson also explained why strong performance from some aerospace and defense stocks is the key reason the industrial sector outperformed in the first quarter. With plenty of geopolitical turmoil to act as fuel, Hasson makes the case why there's still room for these stocks to move higher. A similarly strong setup could emerge with financial stocks. Hasson pointed out a rare technical signal with the leading sector ETF that, based on the outlook for some of the leading components of the ETF, is likely a bullish signal for finance stocks. Articles by Gabriel Osorio-Mazilli McDonald's Corp. NYSE: MCD turned in a clunker of an earnings report suggesting that America's appetite for fast food was pinched by either inflation, GLP-1 drugs, or both. But then explain what happened with Shake Shack Inc. NYSE: SHAK, which moved higher after a mixed earnings report. Gabriel Osorio-Mazilli took up that challenge and helped investors understand why analysts were bullish about the company heading into earnings and perhaps why you should be, too. As Federal Reserve chair Jerome Powell noted this week, inflation isn't coming down as fast as hoped. But as corporate earnings show, consumers are still spending on the must-haves. That's one reason why Osorio-Mazilli wrote about three consumer staples stocks that you should have on your second quarter watch list. Osorio-Mazilli also wrote about Zillow Group Inc. NASDAQ: Z, which went down sharply after a weak earnings report. With much of the news in the housing market being bad, it's easy to overlook what could be reasons to take a chance on Z stock at depressed levels. Osorio-Mazilli explains what those drivers may be to give you a complete picture of the stock. Before you consider Hilton Worldwide, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Hilton Worldwide wasn't on the list. While Hilton Worldwide currently has a "Moderate Buy" rating among analysts, top-rated analysts believe these five stocks are better buys. View The Five Stocks Here
Tesla Pullback Puts Onus on Others to Build Electric Vehicle Chargers 2024-05-04 09:04:41+00:00 - Elon Musk, the chief executive of Tesla, blindsided competitors, suppliers and his own employees this week by reversing course on his aggressive push to build electric vehicle chargers in the United States, a major priority of the Biden administration. Mr. Musk’s decision to lay off the 500-member team responsible for installing charging stations, and to sharply slow investment in new stations, baffled the industry and raised doubts about whether the number of public chargers would grow fast enough to keep pace with sales of battery-powered cars. It put the onus on other charging companies, raising questions about whether they can build fast enough to address a shortage that appears to be discouraging some people from buying electric cars. As the owner of the largest charging network in the United States, Tesla has a powerful effect on people’s views of electric cars. “There is certainly a psychological component,” said Robert Zabors, a senior partner at Roland Berger, a consulting firm. “Availability and reliability are critical to overall E.V. adoption.”
Trump Media's accountant is charged with "massive fraud" by the SEC 2024-05-03 21:21:00+00:00 - BF Borgers, the independent accounting firm for Trump Media & Technology Group, is facing allegations of "massive fraud" from the Securities and Exchange Commission, which on Friday claimed the auditor ran a "sham audit mill" that put investors at risk. The SEC said Borgers has been shut down, noting that the company agreed to a permanent suspension from appearing and practicing before the agency as accountants. The suspension is effective immediately. Additionally, BF Borgers agreed to pay a $12 million civil penalty, while owner Benjamin Borgers will pay a $2 million civil penalty. Neither the SEC statement nor its complaint mentioned Trump Media & Technology Group. Borgers didn't respond to a request for comment. In an email, Trump Media said it "looks forward to working with new auditing partners in accordance with today's SEC order." The SEC charged Borgers with "deliberate and systemic failures" in complying with accounting standards in 1,500 SEC filings from January 2021 through June 2023, a period during which Borgers had about 350 clients. Trump Media's March debut as a public company came after that time period, but the social media company said in its 2023 annual report that it had worked with Borgers prior to going public on the Nasdaq stock exchange. In its report, the company added that an audit committee on March 28 approved Borgers to audit its 2023 and 2022 financial statements. Among the issues cited by the SEC is that Borgers failed to comply with Public Company Accounting Oversight Board (PCAOB) standards in its audits, even though the regulatory agency requires that public companies' financial statements meet those standards. Borgers also allegedly falsely told clients that its work would comply with those standards. The agency claims that at least 75% of the filings that incorporated Borgers' audits and reviews failed to meet PCAOB standards. "Ben Borgers and his audit firm, BF Borgers, were responsible for one of the largest wholesale failures by gatekeepers in our financial markets," Gurbir S. Grewal, director of the SEC's Division of Enforcement, said in the statement. He added, "As a result of their fraudulent conduct, they not only put investors and markets at risk by causing public companies to incorporate noncompliant audits and reviews into more than 1,500 filings with the Commission, but also undermined trust and confidence in our markets."