U.S. Gets OK to Put up to $7.5B in Tariffs on EU

The World Trade Organization has authorized the U.S. to retaliate against the European Union over illegal subsidies to Airbus in a decision that may further escalate trade tensions.A WTO arbitration panel ruled Wednesday that the U.S. could levy import tariffs on up to $7.5 billion worth of Europ...

By Matthew Heller • Oct. 2, 2019

U.S. Manufacturing Slumps for 2nd Straight Month

A closely watched measure of U.S. manufacturing hit its lowest level in August since the Great Recession, reflecting a plunge in exports due to trade tensions.The Institute for Supply Management said Tuesday its Purchasing Managers’ Index fell to 47.8% last month, the second straight monthly cont...

By Matthew Heller • Oct. 1, 2019

Explore the Trendline➔

Tax policy shifts: What CFOs need to know to stay ahead

Discover how evolving tax policies are creating new opportunities and challenges for CFOs.

By CFO.com staff

Business Leaders Wax Optimistic on North America Trade Deal

Will the new United States-Mexico-Canada Agreement, which was agreed to by the leaders of the participating countries last November, ultimately be ratified by the legislatures of all three participating countries? And if so, what will result from it?People who are interested in those questions pr...

By David McCann • Oct. 1, 2019

Consumer Spending Rises Only 0.1% in August

Consumer spending, the main driver of the U.S. economic recovery, rose only slightly in August but a pickup in incomes and a strong savings rate suggest a recession is not looming.The Commerce Department reported Friday that personal-consumption expenditures, or household spending,increased 0.1% ...

By Matthew Heller • Sept. 27, 2019

SEC OKs Rule to Extend ‘Test-the-Waters’ Tool

The U.S. Securities and Exchange Commission has voted to extend its “test-the-waters” accommodation in a move to encourage more companies to go public amid a 50% drop in listings over the past decade.A final rule approved on Thursday allows any company to gauge market interest in a possible publi...

By Matthew Heller • Sept. 27, 2019

Peloton Plunges in Another Tough Unicorn Debut

In another tough market debut for a unicorn startup, Peloton’s cult-like following among exercise equipment users did not spread to investors.Peloton shares fell 14.2% to $24.86 in the opening day of trading Thursday, giving it a market value of $7.1 billion. The initial public offering, which wa...

By Matthew Heller • Sept. 26, 2019

As Brexit Draws Near, Are Companies Ready?

With just weeks to go before the UK’s scheduled Brexit “leave date,” October 31, even the British government has the jitters about the potential for economic chaos.Cabinet ministers recently revealed part of the disaster plan if the Britain exits the European Union without a trade deal. The repor...

By David McCann • Sept. 26, 2019

After 21 Years and a Spinoff, Profitability Finally Arrives

Any startup company experiences a blissful moment upon first achieving profitability. It was no different for Ironwood Pharmaceuticals, which broke into the black in this year’s second quarter, except in one respect: The company was formed more than two decades ago.That’s right. Originally named ...

By David McCann • Sept. 24, 2019

Fed to Cut Rates Again This Year, S&P Predicts

While the U.S. Federal Reserve has signaled it will not lower interest rates again this year, S&P Global Ratings is predicting another cut in December if trade tensions escalate.The Fed on Wednesday lowered its benchmark rate by another 25 basis points to a target range of 1.75% to 2% — the s...

By Matthew Heller • Sept. 20, 2019

Most CFOs See U.S. Recession by Q3 2020

CFOs’ optimism about the U.S. economy has fallen to its lowest level in three years, with a majority now believing the country will be in a recession by the third quarter of 2020, according to the Duke University/CFO Global Business Outlook survey.The Business Outlook poll for the third quarter f...

By Matthew Heller • Sept. 18, 2019

Companies Need a Chief Liquidity Officer

Today’s businesses are competing in hyper-disruptive and volatile markets. To maintain financial performance, health, and resiliency, they need to take a holistic approach to unleash the $1.4 trillion worth of liquidity trapped inside companies’ accounts and operations.However, the concern of som...

By David McCann • Sept. 16, 2019

Autos Help Retail Sales Climb 0.4% in August

U.S. retail sales rose more than expected in August, suggesting consumer spending continues to be robust despite trade uncertainty and other headwinds.The Commerce Department reported Friday that retail sales increased 0.4% last month from July, driven by a 1.8% jump in spending on vehicles. Econ...

By Matthew Heller • Sept. 13, 2019

U.S. Job Vacancies Fall to 7.22 Million in July

U.S. job openings fell to the lowest level in five months in July, an indication of a cooling labor market that follows a weak non-farm payroll report last week.According to the Labor Department’s latest Job Openings and Labor Turnover Survey (JOLTS), the number of job openings declined by 31,000...

By Matthew Heller • Sept. 10, 2019

Shopify Buys 6 River to Boost Robotics Business

Canadian e-commerce platform Shopify has agreed to acquire robotics startup 6 River Systems for $450 million in a move to accelerate the growth of its AI-powered fulfillment network.6 River is best known for its Chuck autonomous vehicles that can move around packages in warehouses. Two of its fou...

By Matthew Heller • Sept. 10, 2019

Elliott Management Discloses $3B Stake in AT&T

Activist investor Elliott Management announced Monday it had acquired a $3.2 billion stake in AT&T and presented a plan to boost the value of the underperforming company through asset sales and cost reduction.In a letter to the AT&T board, Elliott said it had made its investment — one of ...

By Matthew Heller • Sept. 9, 2019

Housing Finance Reform Disappoints Investors

The U.S. Treasury Department has unveiled a plan to recapitalize Fannie Mae and Freddie Mac and return them to private control but stopped short of the sweeping overhaul many investors were hoping for.Shares in each of the mortgage giants fell more than 8% on Friday after Treasury released a 53-p...

By Matthew Heller • Sept. 9, 2019

Red Robin Rebuffs Activist’s $519M Buyout Offer

Red Robin has rejected a hostile $519 million buyout bid by activist investor Vintage Capital, saying its strategic plan was a better option for shareholders.The struggling restaurant chain’s shares fell 1.5% to $32.05 on Thursday after it announced its board had determined that Vintage’s $40-per...

By Matthew Heller • Sept. 5, 2019

U.S. Consumer Spending Surges 0.6% in July

U.S. consumer spending continued to drive the economy in July, posting another solid gain, but income growth slowed sharply and inflation remained soft.The Commerce Department reported Friday that personal-consumption expenditures increased 0.6% last month from June, a pickup from the two previou...

By Matthew Heller • Sept. 3, 2019

U.S. GDP Gain Revised Down to 2.0% for Q2

The U.S. economy grew at a slightly slower rate in the second quarter than originally estimated but corporate profits, boosted by strong consumer spending, rebounded after two straight quarterly declines.In its second reading of second-quarter growth, the Commerce Department reported Thursday tha...

By Matthew Heller • Aug. 29, 2019

Hershey Buys ONE Brands to Boost Snacks Push

Hershey has expanded its push to become a “snacking powerhouse” by acquiring sweet nutrition bar maker ONE Brands for $397 million.The purchase of the maker of ONE Bars, formerly known as Oh Yeah! Nutrition, is at least Hershey’s fifth investment in snacks since late 2017, coming only a week afte...

By Matthew Heller • Aug. 28, 2019

U.S. Home Price Growth Slows to 3.1% in June

U.S. home prices rose at the slowest rate in nearly seven years in June but economists are still not expecting a crash in prices as market fundamentals remain solid.Average national home prices increased 3.1% in the year ending in June, down from a 3.3% annual pace the prior month, according to t...

By Matthew Heller • Aug. 27, 2019

Key Investment Measure Gains 0.4% in July

U.S. core capital goods rose at a sluggish pace in July and shipments fell by the most in nearly three years, suggesting continued softness in business investment.The Commerce Department reported Monday that orders for non-defense capital goods excluding aircraft — a key measure of business inves...

By Matthew Heller • Aug. 26, 2019

VMware Buys App Developer, Security Vendor

VMware continued its recent shopping spree with the purchases of cloud-application developer Pivotal and security vendor Carbon Black for a combined $4.8 billion.According to The Wall Street Journal, the acquisitions bolster VMware’s “push to allow customers to build, manage and secure applicatio...

By Matthew Heller • Aug. 26, 2019

Powell Says Fed Grappling With Trade Uncertainty

Federal Reserve Chairman Jay Powell said Friday that the central bank is facing a “new challenge” as it tries to shape monetary policy to address trade conflicts.With the U.S.-China trade war escalating again as Beijing on Friday imposed a new round of tariffs, Powell indicated the Fed may be lim...

By Matthew Heller • Aug. 23, 2019

Share Prices Plummet Following Divestitures in 2019

While companies for years have generally underperformed stock markets after divesting significant assets, that tendency was severely pronounced in the first six months of both 2018 and 2019.According to a study of 251 divestitures with a value of at least $50 million that closed in the first half...

By David McCann • Aug. 21, 2019