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(Bloomberg) --
North Korea launches two projectiles, South Korea’s military says. Facebook will pay a record fine, and users don’t seem to care. And Asian equities look poised to follow an up day in the U.S. Here are some of the things people in markets are talking about today.
North Korean Projectiles
North Korea launched two projectiles from the eastern part of the Korean Peninsula, according to a statement from the South Korean Joint Chiefs of Staff. The statement called the projectiles “unidentified” and said that they flew 430 kilometers, or about 267 miles. The statement offered few other details other than to say the projectiles were fired from Wonsan, where North Korea has previously tested missiles. The early-morning launch occurred less than a month after President Donald Trump met North Korea’s leader, Kim Jong Un at the Demilitarized Zone that separates the two Koreas and the two men agreed to restart nuclear talks.
Facebook Settlement
A busy day for Facebook started with word it will pay a record $5 billion to settle FTC privacy claims. The agreement increases the board of directors' responsibility for protecting users' data while changing little about the company's advertising business. It will also pay $100 million to resolve SEC claims that it misled investors about the misuse of account holders' data. No matter, the social networking company powered on, topping estimates for sales and adding users.
Hong Kong Despair
While Hong Kong’s demonstrations began as a fight over a controversial extradition bill, they’ve morphed into an expression of deeper anxieties that have the potential to linger indefinitely. In a city where home prices have surged 170% in a decade and the wealth gap keeps widening, residents are worried that living standards are dropping and that migrants from mainland China are eating up resources. Protesters have differing views on the demonstrations, but they are united in feelings of despair over Hong Kong’s long-term future.
Stocks Push Higher
Asian equity futures look poised for a positive open after U.S. stocks pushed mostly higher as investors mulled weak economic data and mixed corporate results. The S&P and Nasdaq both climbed to records, but the Dow was dragged down by Boeing and Caterpillar, both of which delivered disappointing earnings. Treasuries advanced along with bonds in Europe and the dollar was mixed.
737 Max Delay
Boeing warned it will consider slowing or even temporarily halting production of the 737 Max, the company’s most important jetliner, if a global flying ban drags on longer than anticipated. The company has already burned through $1 billion in cash as 737 Max grounding costs mounted. The planemaker’s revenue missed and it withheld guidance. Last week's charge occurred so close to earnings that it doesn't appear to be reflected in many analysts’ estimates, throwing off comparisons. Shares fell 3%.
What we’ve been reading
This is what’s caught our eye over the last 24 hours.
- Singapore braces for more delistings.
- Tesla shares plummet as Elon Musk favors growth over profit.
- New U.K. Prime Minister Boris Johnson sacks over half of the cabinet.
- India is accused of overstating its growth statistics.
- More chances to get rich quick in China's new tech market are coming.
- World's best-performing restaurant stock is a Thai dessert shop.
- Fancy French fraud served hot at clubhouse to rich and famous.
To contact the editor responsible for this story: Alyssa McDonald at amcdonald61@bloomberg.net
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