>>> MetLife beats by $0.13, misses on revs

MetLife beats by $0.13, misses on revs (52.10 +0.08)
  • Reports Q1 (Mar) earnings of $1.41 per share, excluding non-recurring items, $0.13 better than the Capital IQ Consensus of $1.28; revenues fell 11.7% year/year to $16.27 bln vs the $17.02 bln Capital IQ Consensus.
    • RoE 5.0% compared to 12.6% in prior year.
    • Book value, excluding AOCI other than FCTA, was $50.52 per share, down 5 percent from $53.31 at March 31, 2016.
    • MetLife's first quarter 2017 operating ROE, excluding AOCI other than FCTA, was 11.3 percent, and the company's operating tangible ROE was 13.8 percent.

>>> XPO Logistics beats by $0.17, reports revs in-line; reaffirms FY17/FY18 adju

XPO Logistics beats by $0.17, reports revs in-line; reaffirms FY17/FY18 adjusted EBITDA targets (48.77 -1.40)
  • Reports Q1 (Mar) earnings of $0.30 per share, excluding non-recurring items, $0.17 better than the Capital IQ Consensus of $0.13; revenues rose 2.7% year/year to $3.54 bln vs the $3.56 bln Capital IQ Consensus.
  • The company reaffirmed its full year targets for adjusted EBITDA of at least $1.35 billion for 2017 and at least $1.575 billion for 2018.
  • The company also reaffirmed its 2017-2018 cumulative free cash flow target of approximately $900 million, including at least $350 million of free cash flow generated in 2017.

>>> CF Industries beats by $0.05, beats on revs

CF Industries beats by $0.05, beats on revs (25.51 -0.86)
  • Reports Q1 (Mar) earnings of $0.05 per share, excluding non-recurring items, $0.05 better than the Capital IQ Consensus of ($0.00); revenues rose 3.3% year/year to $1.04 bln vs the $0.99 bln Capital IQ Consensus as record sales volumes were partially offset by lower average selling prices across all segments
    • Highest sales volume for any quarter in company's history, 4.75 million tons
    • Largest production volume for any quarter in company's history
Sales volumes for the quarter were significantly higher compared to Q1 of 2016 as increased supply available for sale met strong early season demand for ammonia and urea ammonium nitrate (UAN) in the Southern Plains and lower Midwest
  • Additionally, exports of ammonia and UAN were significantly higher year-over-year as the co continues to leverage its North American platform and develop a global portfolio of customers in order to optimize the overall businessAverage selling prices in Q1 of 2017 were lower than average selling prices in Q1 of 2016 due to greater global nitrogen supply availability
  • The average selling price for ammonia was $307 per ton in Q1 of 2017 compared to $362 per ton in Q1 of 2016.
  • The average selling price for urea was $248 per ton in Q1 of 2017 compared to $256 per ton in Q1 of 2016
  • The average selling price for UAN was $171 per ton in Q1 of 2017 compared to $213 per ton in the first quarter of 2016
Outlook:
  • CF believes nitrogen demand remains strong during the spring application season for nitrogen-consuming crops, including the ~90 million acres of corn expected to be planted in the United States
  • Wet and cold weather in the Midwest that lasted from March into late April stopped field work and delayed ammonia applications there, with activity having accelerated more recently. Additionally, upgraded products such as urea and UAN will be required to make up for ammonia not applied during the fall or early spring application seasons
  • The global nitrogen supply surplus continues to pressure marginal producers in China and other regions. Chinese urea production costs are estimated to be $15-$20 per metric ton higher than the middle of 2016 due primarily to higher anthracite coal prices
  • Published operating rates in China during the first quarter averaged 57%, and there have been significantly lower Chinese urea exports so far this year. Urea exports from China during the first quarter were ~1.2 million metric tons, the lowest quarterly volume since the second quarter of 2013. CF continues to expect 5-6 million metric tons of total urea exports from China in 2017, a decline of up to 44 percent compared to 2016 and up to 64 percent compared to 2015
  • CF anticipates this uneven pricing environment to continue through 2017, with a spring increase possible before prices return to seasonally low levels during the summer

>>> US Close Dow +0.04% S&P -0.13% Nasdaq -0.37% Russell -0.60%

Closing Market Summary: S&P 500 Posts First Loss of the Week

The major averages held modest losses throughout Wednesday's session, but a late-afternoon uptick left the S&P 500 (-0.1%) just short of its unchanged mark. The Dow (unch) eked out a small win while the tech-heavy Nasdaq (-0.4%) and the domestically-oriented Russell 2000 (-0.6%) underperformed.

While there were some flaws in Apple's (AAPL 147.06, -0.45) latest earnings report--the number of iPhone units sold was below expectations, iPad unit sales fell below 10 million for the first time in six years, and sales in China were down 14.0% year-over-year--the tech giant largely overcame those concerns to end just a step below the broader market. The company's above-consensus earnings and upcoming iPhone 8 release helped keep losses in check.

With Apple not performing at the top of its game, the top-weighted technology sector (-0.1%) turned to Alphabet (GOOGL 948.45, +11.36) and chipmakers for support. GOOGL finished higher by 1.2% while the PHLX Semiconductor Index added 0.3% on First Solar's (FSLR 33.91, +3.59) better than expected earnings/revenues and upbeat guidance. FSLR shares spiked 11.8%.

Lightly-weighted sectors like real estate (-1.3%), telecom services (-0.6%), and materials (-1.0%) populated the bottom of the day's leaderboard with the weakness in the materials group owed to the commodity market's poor performance; gold (-0.8%), silver (-1.4%), and copper (-4.2%) all settled with solid losses. However, crude oil was able to eke out a win despite the EIA reporting a smaller than expected draw for the week ended April 28 (0.9 million actual vs 2.0 million consensus). The energy sector made the most of the relatively upbeat performance, adding 0.3%.

Media names weighed on the consumer discretionary sector (-0.6%) in today's session after Hulu announced a new live TV service for $40/month. Twenty-First Century Fox (FOX 28.35, -1.50) showed the widest decline, losing 5.0%, while Dow component Walt Disney (DIS 111.62, -2.75) tumbled 2.4%. The remaining laggards--health care and utilities--closed with losses of 0.4% and 0.5%, respectively.

On the flip side, the consumer staples (+0.1%) and financials (+0.6%) spaces outperformed. The consumer staples group received some help from Mondelez International (MDLZ 45.03, +1.29) and Estee Lauder (EL 91.30, +3.82), both of which beat earnings estimates. Meanwhile, the financial sector benefited from Allstate's (ALL 84.93, +3.10) better than expected earnings and revenues. The industrial sector (+0.1%) was the last sector to finish in positive territory. 

The FOMC voted unanimously to leave the fed funds target range unchanged at 0.75%-1.00%, as expected, with the accompanying policy statement providing little new information. The market still expects the Fed to raise rates at its June meeting with the CME FedWatch Tool assigning an implied probability of 70.7% to said event. Treasuries settled generally lower with the 2-yr yield (1.29%) and the 10-yr yield (2.31%) adding three basis points apiece.

Market participants received a number of economic reports on Wednesday, including April ADP Employment Change, the April ISM Services Index, and the weekly MBA Mortgage Applications Index:

  • The ADP National Employment Report showed an increase of 177,000 in April (consensus 170,000) while the March reading was revised lower to 255,000 from 263,000.
    • The ADP reading precedes Friday's more influential Employment Situation Report for April, which the consensus expects will show the addition of 180,000 nonfarm payrolls. The Employment Situation Report for March indicated that nonfarm payrolls increased by 98,000.
  • The ISM Services Index for April rose to 57.5 from an unrevised reading of 55.2 in March while the consensus expected an uptick to 55.8.
    • The key takeaway from the report is that the non-manufacturing side of the economy, which accounts for a much larger slice of GDP than the manufacturing sector does, continues to hum along in an expansion mode, with new order activity driving the acceleration in April.
  • The weekly MBA Mortgage Applications Index decreased 0.1% to follow last week's 2.7% increase.

Tomorrow, investors will receive a slew of economic data, including March Trade Balance (consensus -$44.4 billion), Initial Claims (Briefing.com consensus 246,000), and the preliminary reading of first quarter Productivity (consensus 0.1%) and Unit Labor Costs (consensus 2.6%) at 8:30 ET and March Factory Orders (Briefing.com consensus 0.4%), which will cross the wires a little later at 10:00 ET.

  • Nasdaq Composite +12.8% YTD
  • S&P 500 +6.7% YTD
  • Dow Jones Industrial Average +6.1% YTD
  • Russell 2000 +2.5% YTD

FT : New study suggests Uber overcharges passengers

New study suggests Uber overcharges passengers
Analysis of New York trips shows Uber has advantage with upfront pricing

A new study has revealed a gap between the fare that Uber charges passengers and the metered fare that it reports to drivers, raising questions over whether the transportation company is profiting from the difference.

It appears that Uber may be systematically overcharging passengers in New York compared to the driver’s metered fare, according to data from 165 trips compiled by Harry Campbell, founder of The Rideshare Guy consultancy.

The finding is set to further erode trust between Uber and the driver community, after a series of incidents, including a video of chief executive Travis Kalanick yelling at an Uber driver, had already damaged driver ties.

Last year, Uber introduced a new pricing system, where it guarantees an upfront price to passengers before they start their trip. However, drivers are paid a metered fare based on actual miles and minutes, and cannot see the passengers’ fare.

A spokesman for Uber declined to disclose what the company’s data showed about the fare discrepancy, and whether Uber was profiting from the difference. “There are times when the rider fare is higher or lower than what a driver earns,” the spokesman said.

“We know we need to do a better job of making earnings clearer and simpler so what a driver makes doesn’t feel like a mystery.” Uber planned to update its driver app in coming weeks to make earnings clearer, the spokesman added.

However, the new study, which is the first of its kind, finds that on average the fare discrepancy works out in Uber’s favour, particularly for rides that are very long, and for rides on its basic UberX service.

“The problem with this system is that it is ripe for abuse,” says Mr Campbell, who also drives for Uber himself. “Uber doesn’t have the greatest record with transparency and they are essentially saying ‘Trust us, we promise not to take advantage of this system.’”

Over the course of 82 UberX rides in New York, Uber made an additional $163 thanks to the discrepancy between the fares, the study found.

However this formula was reversed for carpool rides, where Uber bore the brunt of the discrepancy and lost $108 over 49 rides.

In total, Uber netted an additional $86 over the course of the 165 rides in the study, which drew data from two drivers whose rides covered six different types of Uber services (such as UberBlack and UberXL).

“It's hard to say they underpaid the driver, since the driver received the exact right amount based off mileage and time, but they obviously overcharged the passenger,” says Mr Campbell. The most egregious example from the study was a long ride where Uber overcharged the passenger by $25, on a total fare of $143.

While Uber does not tell drivers the passenger’s upfront fare, the study used sales tax charges levied by New York state to back-calculate the passenger fares for each ride.

The company has been embroiled in controversy before over driver payments and questions of transparency. Earlier this year, Uber paid $20m to settle a Federal Trade Commission lawsuit that alleged the company had misled drivers about how much they could make driving for Uber. Uber did not admit wrongdoing as part of the settlement.

Separately, in March, Uber paid hundreds of thousands of dollars in refunds to Philadelphia limousine drivers, after it did not pass through a service fee.

WSJ : U.K. Prime Minister Theresa May Hits Out at EU officials on Brexit

U.K. Prime Minister Theresa May Hits Out at EU officials on Brexit
British leader accuses European officials of taking harder line ‘deliberately timed’ to affect U.K. election

Tensions between the U.K. and the European Union escalated Wednesday after British Prime Minister Theresa May accused European politicians and officials of issuing threats against Britain.

Hours after the EU’s chief negotiator, Michel Barnier, detailed far-reaching demands for the Brexit divorce deal, Mrs. May said they represented a hardening of the bloc’s negotiating stance.

In a televised speech to voters ahead of a June 8 general election, she accused “some in Brussels” of willing the Brexit talks to fail. “Threats against Britain have been issued by European politicians and officials,” she said, without being specific.

Those threats “have been deliberately timed to affect the result of the general election,” she said.

Michel Barnier the EU’s chief Brexit negotiator, speaking on Wednesday in Brussels on the European Commission's negotiating stance
Michel Barnier the EU’s chief Brexit negotiator, speaking on Wednesday in Brussels on the European Commission's negotiating stance PHOTO: WIKTOR DABKOWSKI/ZUMA PRESS
The heightened tensions followed a dinner between Mrs. May and European Commission President Jean-Claude Juncker a week ago.

After the meeting, EU officials warned that the British government still had illusions about what it could gain from the Brexit negotiations, and reports of what was described as a disastrous meeting appeared in the German press. Mrs. May said European press reports had misrepresented the British negotiating position.

The ratcheting-up of the rhetoric shows how the negotiations over Brexit, which have yet to formally begin, have the capacity to fall prey to sour relations between the two sides. Nonethleless, Mrs. May may see an electoral advantage in depicting the impending negotiations as requiring a unyielding response.

Earlier, in his first news conference since EU leaders last Saturday agreed to negotiating guidelines for him, Mr. Barnier repeatedly emphasized that Brexit would be painful and complicated.
He laid out new details of the bloc’s opening negotiating stance that were in some respects tougher than previously advertised, including ensuring that EU citizens in the U.K. keep their welfare benefits and residency rights for their lifetimes. The more detailed stance must be signed off by EU governments later this month.

Wednesday’s negotiating directives weigh in on the three key issues the EU wants settled upfront in the Brexit talks: EU citizens’ rights, a British payment to cover past EU financial commitments and the status of the Northern Ireland border. They specifically avoid giving Mr. Barnier a mandate to discuss a future EU-U.K. trade agreement or even a transitional deal to smooth the economic disruption caused by Britain leaving the bloc.

The EU has insisted there can be no talks on these issues until the key divorce issues are tackled. Mr. Barnier said he hoped that could be done by October or November but that was in the U.K.’s hands.

“Some have created the illusion that Brexit would have no material impact on our lives or that negotiations can be concluded quickly and painlessly,” Mr. Barnier said. “This is not the case.”

Wednesday’s paper said EU citizens in the U.K. and British citizens in the bloc should be guaranteed lifetime residency if they meet the EU’s five-year residency requirement.

Those rights should be enforceable for EU citizens who have previously lived in the U.K. but since left and should continue to allow family members of an EU citizen residing in the U.K. to move to Britain in the future, it says. EU citizens should also get the current broad range of housing, tax and other welfare benefits available, the paper argues.

Mr. Barnier said such rights should be directly enforced by the European Court of Justice, the EU’s top court, giving it a role in Britain until “well after the U.K. leaves.” Mr. Barnier said the court should also have a direct say over other aspects of the divorce deal, setting up a potential clash with the U.K. government which wants to be rid of EU courts’ jurisdiction after leaving the bloc, due in March 2019.

The document also underscores the differences between the EU and the U.K. on the Brexit bill, or the sum the EU wants the U.K. to pay to honor its past spending pledges. It says the U.K. will need to agree on an annual payments schedule, established in euros, meaning Britain will carry the exchange-rate risk. There will need to be specific arrangements on the U.K.’s contingent liabilities with the EU—for example, guarantees on loans made by EU bodies while the U.K. was a member—and Britain will need to continue to make payments for specific funds like the EU’s refugee payments to Turkey, the document says.

Also among the U.K. liabilities, the document says, are the full cost of relocating two U.K.-based EU agencies, the European Banking Authority and the European Medicines Agency, to elsewhere in the remaining bloc. EU officials also said on Wednesday that there is no legal basis for the U.K. to be repaid a share of EU assets like property or buildings.

In the past, EU officials have said the U.K.’s exit bill could total €60 billion ($65.5 billion) but now say it could be significantly higher. Mr. Barnier declined to give any figure.

On Wednesday morning, U.K. Brexit Secretary David Davis pushed back on one latest assessment of the bill, saying it echoed Mrs. May’s point that no Brexit deal could be better than a bad one.

“We will not be paying €100 billion,” Mr. Davis told ITV News.

In his press conference, Mr. Barnier warned time was running short to ensure a successful deal, which will require burrowing down into details like the correct labeling of EU goods on British supermarket shelves in the days after Britain leaves.

Mr. Barnier welcomed that by calling an early election for June 8, Mrs. May had ensured the next British government would have five years of stability in front of it. He also played down reports that the dinner meeting with Mrs. May, his first with the prime minister, had been frosty.

It was a “very cordial meeting,” he said, despite what he said were sometimes “very different” positions on the issues.

>>> People are not watching TV as they used to be, the all sector is changing

People are not watching tv as thye used to be the all sector is changing...2 articles today NYP & Recode...have a look..this is just the beginning....

* NY Post Article today : Almost 500K drop pay TV in Q1
Almost half a million subscribers stopped paying for cable TV in the first quarter — a stunning acceleration of a frightening trend for the industry.


* REcode.net : http://bit.ly/2oXR7wd
Hulu’s new live-streaming service lets you watch dozens of channels for $40
It includes Hulu’s other subscription service — but not the most popular show on TV.

Want to watch TV, delivered live and on-demand, over the web, for about $40 a month?
You already have a bunch of options. Now Hulu is offering another one: Its Hulu Live service is available today (in “beta”) for $39.95 a month.
That $39.95 will get you several dozen channels, which you can watch on your phone or connected TV devices like Xbox and Apple TV; more devices, like Roku, are on the way. It also includes Hulu’s subscription video service, which gives you access to old TV shows and movies, as well as Hulu originals like “The Handmaid’s Tale.”
If you want to spend more, you can pay for extras like a cloud DVR. You can also add Showtime, but not HBO, to the mix.
As we’ve discussed before, the main difference between Hulu and competitors like YouTube, Sling and AT&T is that Hulu is owned by TV programmers. Which means that it’s the first time the TV guys are selling a pay TV service directly to TV viewers.
Which means the TV guys are competing with their usual customers — the pay TV providers that normally retail this stuff.
The other important thing to note about Hulu Live, strategery-wise, is what’s not in there: Anything from cable programmers Viacom, Discovery and AMC.
That’s not unexpected. Hulu is owned by Disney, 21st Century Fox, Comcast* and Time Warner, and those guys have (almost) all of their channels in there, including sports via ESPN, Fox Sports and some regional sports channels. So you can’t add much more to that mix and market it as a “skinny bundle” priced below conventional TV.
Still, that means that Hulu Live will have significant gaps for some viewers. Most notably, it won’t have AMC’s “The Walking Dead,” the most popular show on TV.
I’ve taken a couple quick tours of Hulu Live, and it looks good. I’m particularly interested in Hulu’s attempt to show you stuff it thinks you will like, based on what you tell Hulu you like when you sign up.
Hulu
Hulu executives have been watching the competition for the past year-plus and noted the stumbles those guys have had getting out of the gate. They think they have a better user experience and that they’ll be able to dodge some of the technical snafus.
But there’s no way to find out if that’s so until they’re out in the wild.
Other quick notes:
  • Like other digital pay TV services, Hulu Live doesn’t have all of the local affiliate deals it needs at launch. That means subscribers in some cities may not be able to watch programming carried by their local broadcast stations live, though they could watch it after it airs. Hulu thinks most of those deals will get done in the coming months.
  • If Hulu doesn’t get those deals done by next fall, it may impact its ability to deliver NFL games — for some people, the main reason to pay for TV.
  • Like other digital pay TV services, Hulu will let viewers watch shows on demand — but in most cases it won’t let them fast-forward through commercials. If you want the equivalent of the DVR you can get with traditional TV, which does let you skip past commercials and anything else you want, Hulu will sell that to you, with 200 hours worth of storage, for an extra $15 a month.
* Comcast owns NBCUniversal, which is an investor in Vox Media, which owns this site.

TechCrunch : Nissan’s Faraday cage armrest is the abstinence of mobile driving d

Nissan has released details of a new prototype it designed to help drivers keep their mind on the super dangerous and highly complicated task of driving, which is the only thing they should be paying attention to when behind the wheel of many thousands of pounds of high-speed metal and combustible gas. The Nissan Signal Shield is an arrest compartment that doubles as a Faraday cage, blocking all wireless signals when throw your phone inside and shut the lid.

The prototype reveal comes as automakers, regulators, device and mobile software makers alike are all trying to figure out creative solutions to the growing problem of distracted driving. Smartphones and tablets are basically designed to be addictive, but that presents a problem when that desire to mess around with them extends to your time behind the wheel. One of Nissan’s proposed solutions is an invention from the 1830s, albeit updated for the urban professional with stylish trim and direct integration into the Nissan Juke’s front center armrest.

A Faraday cage is a nice idea, and if your smartphone happens to develop sentient AI while it’s in your Signal Shield, at least the rest of the world’s networks will be protected – but it’s ultimately subject to the same failings as more pedestrian means of silencing your phone’s constant calls for attention, including Airplane Mode.

That weakness is willpower: A human is just as likely to be able and willing to keep their smartphone enclosed in the in-car Faraday cage as they are to reliably turn on Airplane mode and ignore their device while driving, which is to say not very likely at all. It is, as the headline suggests, like preaching abstinence as an effective means of preventing teen sex and pregnancy – an optimistic, naive fiction.

One thing this prototype does illustrate is the need to continue working on full autonomy, which is probably the only real solution to distracted driving, especially as opportunities for distractions seem to be getting more numerous, not less.