NYT - In Tests, Yahoo Uses Google to Power Search Results and Ads

In 2008, the Justice Department blocked Yahoo from making a deal with Google to provide the search ads for Yahoo’s web search efforts.

Now, Yahoo and Google are exploring a new relationship in which Yahoo would use Google for some regular search results as well as search ads.

Yahoo confirmed on Wednesday that it has begun testing the use of Google search ads for a small portion of its desktop and mobile web search results. “As we work to create the absolute best experiences for Yahoo users, from time to time, we run small tests with a variety of partners including search providers,” the company said in a statement. “There is nothing further to share at this time.”

Google also confirmed the arrangement.

The tests were first uncovered by Aaron Wall, founder of SEO Book, a site that helps companies improve their rankings in web searches.

Yahoo got the right to work with other search providers in April, when it renegotiated its partnership with Microsoft, whose Bing search service had been the exclusive provider of search results and ads to Yahoo under a 10-year partnership between the companies. Under the revised deal, Yahoo can use its own search technology or that of other providers for up to 49 percent of its search results.

Marissa Mayer, Yahoo’s chief executive, oversaw search products at Google earlier in her career. However, until now, she has signaled that she was focused on developing new search products at Yahoo rather than turning to her old employer for help. She has also been aggressive at getting Yahoo’s search engine bundled into third-party products, like Mozilla’s Firefox web browser and Oracle’s Java software.

Any broad search deal between Yahoo and Google is likely to come under antitrust scrutiny. Google already handles most web searches worldwide, and the European Commission has a formal antitrust case pending against it, alleging it has abused its dominant position.

(BI) Turkey would invade northern Syria


You were probably just thinking to yourself that the civil war in Syria isn’t complicated enough, that there aren’t enough warring parties, and that the constantly shifting sides have become predictable and tired.
Well, don’t despair, there are now rumors emerging out of Turkey that may introduce enough new dimensions to the conflict to keep you confused well into the next decade.
The Turkish press is reporting that the Turkish government may be about to invade Syria along a 70-mile stretch of Turkey’s border with Syria to create a 20-mile deep safe zone. This issue is currently the subject of heated speculation and controversy in Ankara, making it quite difficult to figure out what is really happening.
But beyond the fevered speculation, why would Turkey want to invade Syria anyway?
Syria has long been a threatening mess, but neither Turkey nor anyone else has exactly been lining up to send their national armies into Syria. Sure, foreign fighters are plentiful in Syria and all of the regional powers, as well as the United States and Russia, have supported proxies there. But even after more than four years of bloody, destabilizing warfare, national armies have avoided it like the plague. The reason is quite simple: The complicated Syrian civil war has quagmire written all over it. As hard as it is to send a foreign army into Syria, it would be harder still to get it out.
In Turkey, particularly, the idea of military intervention into Syria remains very unpopular among the populace. The possibility that intervention might backfire and unleash Islamic State (or ISIS) terrorism within Turkey, or even reignite the bloody Kurdish insurgency in Turkey’s southeast, remains an ever-present fear.

Now, however, the theory goes that Syrian Kurdish advances against ISIS have caused such concern in Turkey that the Kurds will create some sort of state or autonomous region along Turkey’s southern border. To prevent that outcome, the Turkish government, we are told, is finally willing to intervene in Syria.
Well, maybe. But, in our view, the reason that Turkey might now finally be contemplating such a step says more about changes in the domestic and international standing of the Turkish government than about the course of events in Syria.
Domestically, the outcome of the Turkish election of June 7 has seriously scrambled Turkish politics. After nearly 13 years in power, the ruling Justice and Development Party (AKP) lost its absolute majority in parliament. The AKP, which still holds a plurality of seats in parliament, has 45 days to form a government with at least one of the minority parties.
But it seems clear that Turkish President Recep Tayyip Erdoğan has very little interest in coalition government. The leaders of the two main opposition parties, the nationalist Nationalist Action Party (MHP) and the center-left Republican Peoples Party (CHP), have both demanded the re-opening of corruption cases against the AKP. Erdoğan may fear that those corruption cases may eventually touch even his family.
REUTERS/Umit Bektas Turkish Prime Minister Ahmet Davutoglu (L), accompanied by his wife Sare Davutoglu, greets AK Party supporters during an election rally for Turkey's June 7 parliamentary election, in Kahramanmaras, Turkey, June 5, 2015.

Erdoğan would undoubtedly prefer an early election to his party or even his family to the indignities of prying prosecutors. But to achieve a better outcome than the AKP managed in June, he needs to demonstrate to the population the pitfalls of weak, coalition governments.
As the possibility of intervention in Syria increases, as the markets spooks on the prospects of war, and even if a few bombs were to go off in the Kurdish areas, the growing sense of national insecurity would only serve to make Erdoğan’s case that the country needs the firm hand of one-party leadership. With a big enough victory, it might even serve to bring back prospects of constitutional change to increase the powers of the presidency. At that point, an early election would be worth having.
Insecurity works
Internationally, Turkey may be driven by the sense the White House now prefers their Kurdish partners in Syria to Turkey. The Turkish government is extremely angry about the emerging alliance between the United States and the Syrian Kurds, especially the Kurdish Democratic Union Party (PYD), a Syrian affiliate of the Turkish Kurdistan Workers' Party (PKK).
They attribute Kurdish success against ISIS to the American willingness to support Syrian Kurdish forces with air power and supplies. In the Turkish view, the PYD is simply a branch of the PKK, which both Turkey and the United States have branded a terrorist group. Allowing the PYD to unite the Kurdish areas of Syria would therefore represent an existential threat to Turkey.
By threatening to intervene in Syria, the Turkish government seeks to change a U.S. policy that it finds potentially very damaging to Turkish interests. As Erdoğan no doubt reminded Vice President Biden when they talked the other day, Turkey has the ability to have a far greater impact on the fight against ISIS than the Kurds do. (The Turkish government might tell their domestic audiences that a prospective intervention in Syria is to stop the Kurds, but they will tell international audiences that it is to fight ISIS.)
Stringer ./REUTERSMembers of the Kurdish People's Protection Units (YPG) man a weapon mounted on a pick-up truck as they take position behind cement blocks in the Iraqi city of Rabia on the Iraqi-Syrian border

Interestingly, to achieve both these international and domestic advantages, it is not necessary or even wise to actually go through with the intervention. Domestically, all that is necessary is to convince the population that the situation is sufficiently insecure to require firm, one-party leadership. Internationally, it just requires using the prospect of intervention to gain U.S. attention and convince the U.S. government to reduce its support of the PYD. At the current moment, the prospect of intervention is very useful for the Turkish government. Actual intervention, with all of the attendant risks of quagmire, is significantly less appealing.
So that means that it is probably not strictly necessary to spend your time trying to understand how the myriad factions within Syria will respond to the presence of the Turkish military on Syrian soil. On the bright side, you now have some really good reasons to enter into the nearly as confusing realm of Turkish domestic politics. Maybe start with our Turkish election series.


Read more: http://www.brookings.edu/blogs/order-from-chaos/posts/2015/07/02-would-turkey-invade-syria-shapiro-taspinar?rssid=LatestFromBrookings#ixzz3eju1WssM

(BFW) RESEARCH ROUNDUP: ECB Corporate QE May Expand If Greece Worsens


RESEARCH ROUNDUP: ECB Corporate QE May Expand If Greece Worsens
2015-07-02 12:59:16.519 GMT


By Charles Daly
(Bloomberg) -- The pool of eligible corporate issuers for
ECB QE will likely encompass more utilities and other sectors,
especially if the Greece debt crisis takes a turn for the worse
after Sunday’s referendum, according to strategists and
economists.

* Earlier, Enel, Snam and Terna among borrowers whose debt may
now be purchased, according to the ECB’s website
* Affected issuers see bond spreads marked materially tighter
* Reflects fear that more needs to be done to support
region’sfragile economic recovery, writes Bloomberg’s Simon
Ballard


* RBS (Alberto Gallo)
* Could see wider range of corporate issuers being added
to list
* Other issuers ECB could buy in future incl. EDF, GDF
Suez, Tennet, Fortum
* Expansion shows ECB ready to act if necessary, on a
worsening of the Greek crisis
* More action possible with a “no vote” or escalation of
the Greek crisis; EUR IG corporate bond mkt is EU1.15t
in size
* More


* Barclays (Zoso Davies)
* Three of the names added (ENEL, SNAM and Terna) are
classified as utilities in Barclays Aggregate Indices
* Two factors common to all three names: they operate
infrastructure (utility) assets, and there’s part
ownership by the Italian govt
* Given lack of clarity over how names are added to the
ECB’s list, mkt will also price some probability of more
corporate issuers being added
* Repricing likely to be greatest for those issuers most
similar to the three incl. today: infrastructure/utility
names with govt involvement


* ABN AMRO (Hyung-Ja de Zeeuw)
* This opens the door for other national central banks to
add corporates to their eligible universe
* Shows ECB has taken more flexible stance toward the
adoption of new names, while sticking to its IG criteria
* Expansion amounts to 13 names with a total outstanding
amount of ~EU66b, of which EU51b matures between 2-30
yrs
* Names included are mostly from Italian (62%) , French
(17%) and Austrian (13%) origin
* If Bank were to add more utilities to its eligible
universe, could total little over EU100b


* ING (Jeroen Van Den Broek)
* Mario Draghi is overstepping the mark; these aren’t euro
agencies but rather cos. with some govt ownership
* QE should stay well away from euro corporate bond mkt
because it’s already very squeezed and illiquid; QE will
make that worse
* More


* JPMorgan (Greg Fuzesi)
* Highlights how ECB’s QE program has some internal
flexibility that’s still being exploited, both to
achieve intended purchase volume and its effectiveness
* Doubts the ECB will mind if today’s list expansion
creates impression it’s “willing and able to quickly
respond to any spillovers from Greece”

For Related News and Information:
First Word scrolling panel: FIRST<GO>
First Word newswire: NH BFW<GO>

To contact the reporter on this story:
Charles Daly in Stockholm at +46-8-610-0717 or
cdaly22@bloomberg.net
To contact the editors responsible for this story:
Jenny Paris at +44-20-3525-4044 or
jparis20@bloomberg.net
V. Ramakrishnan

>>> US Gapping down

Gapping down
In reaction to disappointing earnings/guidance
: FC -0.3%, FDO -0.2%, ISCA -0.1%, .

M&A news: FRO -6.6% (merges with Frontline 2012 )

Select China related names showing weakness: CSUN -4.9%, CMCM -3.1%, JMEI -1.9%, WBAI -1%, .

Other news: WPCS -30.5% (following yesterday's ~95% move higher; also completes a series of transactions resulting in the elimination of all of its $1,703,000 principal amount of Unsecured Promissory Notes ), ANR -4.6% (subsidiary Pennsylvania Services Corporation, acquires a 50% interest in Pennsylvania Land Resources Holding Company for $126 mln), FIT -3.7% (cont vol post IPO), BTU -2.8% (appointed Amy Schwetz to Executive Vice President and Chief Financial Officer; replaces Michael Crews, who has announced plans to step down to take the top financial position at a major industrial firm), NBG -1.8% (cont vol surrounding Greece Referendum), QUNR -1.2% (confirmed final judgment in dispute with eLong (LONG)), EPRS -1.1% (filed for $125 mln mixed securities shelf offering)

Analyst comments: WU -4.5% (downgraded to Hold from Buy at Evercore ISI), CPST -2.5% (downgraded to Market Perform from Outperform at Northland Capital), BTU -2.3% (downgraded to Sell at Deutsche Bank
)

>>> US Gapping up

Gapping up
In reaction to strong earnings/guidance
: PRGS +8.1%

M&A news: HNT +15.6% (to be acquired by Centene (CNC) for ~$78.57/share in cash and stock), PKY +3.3% (Bloomberg reporting that co is considering strategic options including a potential sale), CNC +2.6% , SYT +1.9% (cont spec on M&A with MON), AMBA +1.8% (acquires VisLab S.r.l., a privately held Italian company based in Parma, Italy for $30 million in cash ), CHK+1.5% (Privately-Held FourPoint Energy to acquire oil and gas assets from Chesapeake Exploration and CHK Cleveland Tonkawa for $840 mln), SSYS +1.1% (acquires RTC Rapid Technologies)

Other news: PVCT +24.5% (signs Letter of Intent with Boehringer Ingelheim (China) Investment to collaborate in bringing PV-10 to market in mainland China, Hong Kong and Taiwan), XOOM +22.5% (to be acquired by Paypal (PYPL) for $25/share, or ~$890 mln), AGTC +18.7% (Applied Genetic Technologies and Biogen (BIIB) enter into a collaboration and license agreement to develop gene-based therapies for multiple ophthalmic diseases), HNSN +17.5% (receives FDA 510(k) clearance for its Magellan 10Fr Robotic Catheter for use in the peripheral vasculature), ACRX +11.7% (reports that results from its IAP311 study have been published in the publication Anesthesiology), NAVB +8% (reports imaging results from its Manocept clinical trial and other preclinical studies), GRBK +6.7% (Form 4 filings indicate Third Point, Greenlight Capital, and company directors bought shares in 17 mln share offering of common stock at $10 per share announced on June 22), CFMS +6.7% (favorable commentary on Wednesday's Mad Money), ARO +4.9% (confirms expansion plans throughout Asia, with new licensing agreements in India and Indonesia), MBI +4.6% (strength on further reports regarding Puerto Rico successfully paying $1.9 bln in debt obligations), GTLS +4.3% (to replace IGTE in the S&P SmallCap 600), TSLA +4.1% (announces 11,507 Model S deliveries for Q2 2015), OFG +3.6% (strength on further reports regarding Puerto Rico successfully paying $1.9 bln in debt obligations), AMBC +3.6% (confirms that all payments due on its insured Puerto Rico bonds have been paid in full by the relevant issuer ), WLL +3.4% (announces results of exchange offer relating to outstanding, unregistered 6.25% Senior Notes due 2023), VNOM +3.1% (filed $1 bln common unit offering representing limited partner interests and for up to ~70.95 mln common units representing limited partner interests by selling unitholders), SPNC +3% ( reports that a federal court in California awards AngioScore $20 million plus disgorgement in breach of fiduciary duty case), BP +2.8% ( report suggesting pollution settlement from Gulf oil spill in 2010), WYNN +2.4% (Macau data), MGM +1.9% (Macau data), LVS +1.8% (Macau data), PBR +1.2% (to analyze strategic alternatives for its Petrobras Distribuidora subsidiary; also announced the sale of 20% of its interest in the concessions of Bijupirá and Salema fields), NSM +1.1% (Point72 Asset Management discloses 5.2% passive stake in 13G filing)

Analyst comments: GRUB +4.3% (upgraded to Outperform at RBC Capital Mkts), LLNW +1.8% (initiated with an Outperform at Cowen), TEX +1% (upgraded to Neutral from Underperform at BofA/Merrill), T +0.8% (upgraded to Outperform from Market Perform at Cowen), AZN +0.6% (upgraded to Buy from Hold at Berenberg
)

K+S Said to Reject Takeover Proposal by Rival Potash Corp.

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BFW 07/02 10:45 K+S Said to Reject Takeover Proposal by Rival Potash Corp.

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K+S Said to Reject Takeover Proposal by Rival Potash Corp. 2015-07-02 10:43:09.696 GMT

By Aaron Kirchfeld, Andrew Noël and Sheenagh Matthews (Bloomberg) -- K+S AG, the German potash supplier, plans to reject a takeover offer from Canadian fertilizer producer Potash Corp. of Saskatchewan Inc. because it deems the bid to be too low, according to people familiar with the matter. The German company is preparing to announce its opposition to the bid as early as today, said the people, who asked not to be identified because the matter is private. A representative for K+S declined to comment.

For Related News and Information: Intrepid Shares Surge as PotashCorp Bid for K+S Stirs M&A Talk Potash Cuts Earnings Outlook on Higher Taxes, Foreign Income Uralkali Agrees on Potash Shipments of 850,000 Tons to China K+S Says 75% of Legacy Mine Spending is Secured, Reducing Risk Top Stories: TOP <GO>

To contact the reporters on this story: Aaron Kirchfeld in London at +44-20-3525-8830 or akirchfeld@bloomberg.net; Andrew Noël in London at +44-20-3525-2304 or anoel@bloomberg.net; Sheenagh Matthews in Frankfurt at +49-69-92041-217 or smatthews6@bloomberg.net To contact the editors responsible for this story: Simon Thiel at +44-20-3525-2814 or sthiel1@bloomberg.net; Aaron Kirchfeld at +44-20-3525-8830 or akirchfeld@bloomberg.net Aaron Kirchfeld

*EU SAYS THERE WILL BE NO FURTHER TALKS BEFORE REFERENDUM

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BN 07/02 10:16 *EU: COMMISSION IS NOT PART OF THE GREEK REFERENDUM CAMPAIGN BN 07/02 10:14 *EU NOTES COMMENTS BY COUNCIL OF EUROPE ON GREEK REFERENDUM BN 07/02 10:12 *EU'S SCHINAS WON'T SPECULATE HOW CLOSE GREEK TALKS WERE TO DEAL BN 07/02 10:12 *EU'S SCHINAS WON'T SPECULATE ON HOW CLOSE GREEK TALKS WERE BN 07/02 10:11 *EU SPOKESMAN SCHINAS SPEAKS TO REPORTERS IN BRUSSELS BFW 07/02 10:11 *EU SAYS NOW IS THE MOMENT FOR THE GREEK PEOPLE TO CHOOSE FUTURE BN 07/02 10:10 *EU SAYS JUNCKER HAS GREEK PEOPLE IN HIS MIND

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*EU SAYS THERE WILL BE NO FURTHER TALKS BEFORE REFERENDUM 2015-07-02 10:11:05.514 GMT

--JONES HAYDEN

-0- Jul/02/2015 10:11 GMT

Tech View S&P 500 & VIX - recent price action favors a move lower on the S&P (2,025 & 1,885) & Higher on the vis (26.15?)

S&P 500 Index – clearly bearish below 2,080-2,084

· Two major developments this week which suggest that the Index should continue and drift lower over time:

1) Monday's sell-off broke the 2,067 low, the break negates the path of higher highs and higher lows established on the chart since October 2014.

2) The break below 2,067-72 also triggered a bearish H&S pattern, the pattern targets a move to 2,025. The neckline of this pattern is 2,080 and while the index holds below it a move lower should only be a matter of time. The Index did have an intra-day bounce above this level in yesterday trading session but stalled at the 38.2% Fibonacci retracement level at 2,084 and eventually closed below it. I cannot rule out further choppy price action around 2,080 but eventually believe we move lower

· Support now is this week low and the 200dma at 2,054-2,056, a break below this level targets 2,025

· Again, from a longer term perspective, I continue to favor a much deeper retracement (correction for the 2011-2015 bull cycle) and expect a minimum retracement to 1,885 over the months ahead. For charts and further explanation please refer to previous recaps on the Index.

Strategy: Short 2 units from 2,119, target 2,025 and 1,885 with a stop loss at 2,140

[cid:image001.png@01D0B4BD.56174A90]

VIX Index – Bullish above 14.02-14.90

· The Vix it trying to fill the gap from Monday which stands at 14.02-14.90

· While it remains unclear if we fill the gap Monday's impulssive breakout confirms a bullish wedge pattern, the pattern target is 26.15 and I believe we reach this target in the weeks to come.

[cid:image002.png@01D0B4BE.06DC6F40]

2015 TECHNICAL TRADE IDEAS

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*EUROGROUP SAYS RESERVES RIGHT TO ACCELERATE GREEK LOANS

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BFW 07/02 07:56 *EUROGROUP SAYS RESERVES RIGHT TO ACCELERATE GREEK LOANS BN 07/02 07:56 *EUROGROUP TO CONSIDER POSITION ON LOANS REGULARLY BN 07/02 07:55 *EUROGROUP CHIEF DIJSSELBLOEM SAYS IN STATEMENT TO PARLIAMENT

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*EUROGROUP SAYS RESERVES RIGHT TO ACCELERATE GREEK LOANS 2015-07-02 07:55:56.300 GMT

--RICHARD BRAVO

-0- Jul/02/2015 07:55 GMT