The PBR1000 for May: When Do We Restart the Economy?

Federal, State and Local Governments, Business Leaders, and the Public are all asking, “When do the drivers of the economy get the green light?”

By Larry C. Paxton

The May 2020 breaking news items of interest for The PBR1000 follow with the most current date first.

***Friday, May 29

The PBRMarketTools US Stock Exchanges Recap for Week 22 ending 05/29/20:

DJIA ends Week 22 at 25,383.11, +3.75% from last Friday, +4.26% MTD, +15.81% QTD, -11.06% YTD, -14.11% from record 29,551.42 set 02/12/20.

NASDAQ ends Week 22 at 9,489.87, +1.77% from last Friday, +6.75% MTD, +23.24% QTD, +5.76% YTD, -3.33% from record 9,817.18 set 02/19/20.

SPX ends Week 22 at 3,044.31, +3.01% from last Friday, +4.53% MTD, +17.79% QTD, -5.77% YTD, -10.10% from record 3,386.15 set 02/19/20.

The end of May and Week 22 News Summary: Center stage during this Week 22 US 4 day work week was the ongoing US and China issues. While trade discussions have been difficult, the latest concern is China taking over more control of former UK colony Hong Kong. US President Trump’s immediate response is to use sanctions. The coronavirus pandemic continues to be big news as well. Countries around the world are starting to re-open their businesses and economy to mixed reviews. In the US many major retailers announced their re-openings and current plans for more. The coronavirus pandemic tally as of 12:32PM Eastern US by the John Hopkins University CSSE unit is now 5,878,701 confirmed cases globally with 362,769 deaths. For the US it’s 1,735,971 confirmed cases and 102,323 deaths. A stream of good news about potential vaccines and tests for coronavirus seemed to escalate during the week. The US economic news was mixed with real data indicating major downturns, especially for employment and real GDP adjusted down from -4.8% to -5.0%. However, it is also now showing some up signs, meaning negative numbers are starting towards the positive, and cautious optimism has been reflected in some interviews of Federal Reserve Board members. Week 22 was a typical progression from the start of May. The additional item of interest for May was the new $3 trillion stimulus package that went into effect mid-month to help businesses make it through the pandemic. It was certainly a good week and end of May for The Stock Market Bull. He came back well rested after the Memorial Day holiday, was eager to fight and quickly gored The Stock Market Bear deep on Tuesday and Wednesday. The Stock Market Bear recovered a little bit on Thursday, and Friday was a mixed result in favor of The Stock Market Bull who easily took Week 22 and the month of May with convincing 3-0 results, but still has a long way to go to get back to record levels achieved earlier in the year.

The Week 22 of 2020 tally YTD is:
The Stock Market Bull: 11 weeks
The Stock Market Bear: 10 weeks
Mixed Results: 1 week

The monthly tally YTD is:
The Stock Market Bull: 2 months
The Stock Market Bear: 2 months
Mixed Results: 1 month

AbbVie(PBR94) gets US FDA approval for ORIAHNN™ (elagolix, estradiol, and norethindrone acetate capsules; elagolix capsules), the first oral medication for the management of heavy menstrual bleeding due to uterine fibroids in pre-menopausal women. $ABBV PR link.

Eli Lilly(PBR139) gets US FDA approval of CYRAMZA® (ramucirumab) as first-line treatment for metastatic EGFR-mutated non-small celllung cancer. $LLY PR link.

Eli Lilly(PBR139) gets US FDA approval of TAUVID™ (flortaucipir F 18 injection) for use in patients being evaluated for Alzheimer’s Disease. $LLY PR link.

Party City(PBR846) gets a Transaction Support Agreement with bond holders, to deleverage balance sheet by approximately $450 million, PCHI to also raise $100.0 million in new capital to increase its financial strength and support its global operations and ongoing transformation initiatives. $PRTY PR link.

The US Dept of the Treasury says the 05/27/20 US National Debt-Public is at $19.766 trillion, Intragovernmental $5.918 trillion, Total Debt $25.684 trillion, +2.8% from 04/29/20, +10.7% from 12/31/19, +16.6% from 05/31/19. USTreasury PR link.

The US Dept of Treasury 05/29/20 US 30 Year Treasury Bond Yield is at +1.41%, 04/30/20 was at +1.28%, 03/31/20 +1.35%, 05/31/19 +2.58%. USTreasury PR link.

The US Dept of Commerce/BEA says the Preliminary April 2020 US Personal Income Annual Rate is at $20.675 trillion, +10.5% from March 2020, +11.7% from April 2019; Personal Savings After Outlays is at $6.149 trillion, +33.0% from March 2020, +9.7% from April 2019. USDOC PR link.

The Federal Reserve Bank of Chicago says the Preliminary April 2020 US 7th District Midwest Economic Index is at -7.98, March 2020 was at -1.02. “Index suggests Midwest growth fell substantially in April.” ChiFed PR link.

MNI Indicators says the May 2020 Chicago Business Barometer(<50 = declining) is at 32.3, April 2020 was at 35.4, March 2020 47.8, May 2019 54.2. “… the lowest level since March 1982, as business confidence cooled further amid the Covid-19 crisis.” MNI PR link.

The American Automobile Assn says the 05/29/20 US Average Price for a Gallon of Gas is at $1.972, 04/30/20 was at $1.772, 03/31/20 $1.997, 05/31/19 $2.825. AAA PR link.

The U of Michigan May 2020 Final Consumer Sentiment Index is at 72.3, April 2020 was at 71.8, March 2020 89.1, May 2019 100.0. “The CARES relief checks and higher unemployment payments have helped to stem economic hardship, but those programs have not acted to stimulate discretionary spending due to uncertainty about the future course of the pandemic.” UMichigan PR link.

***Thursday, May 28

Amazon(PBR2) will convert 125,000 of the 175,000 temporary jobs hired since March to permanent roles if employees would like to stay at Amazon long term. $AMZN PR link.

CVS Health(PBR5) will open additional COVID-19 test sites at select CVS Pharmacy drive-thru locations on Friday, 05/29/20 to establish a total of 1,000 sites across more than 30 states and Washington, DC. $CVS PR link.

Cisco(PBR61) to acquire privately held San Francisco, CA based internet and cloud intelligence platform provider ThousandEyes, terms not disclosed. $CSCO PR link.

JCPenney(PBR291) has reopened 150 stores in 27 states, now has 304 reopened stores nationwide, plans to have 500 open by 06/03/20. $JCP PR link.

Quest Diagnostics(PBR394) gets US FDA emergency use authorization for the Quest Diagnostics Self-collection Kit for COVID-19 (self-collection kit), allows an individual to swab the front part of the nostril and may be used on children (supervised by an adult) as well as adults. $DGX PR link.

Under Armour(PBR515) reopened its first US stores on 05/15/20, opened additional stores last week, will have nearly 50% of its N America stores open by Friday, 05/29/20, will continue to reopen additional stores on a case-by-case basis. $UA PR link.

Capri(PBR517) is phasing reopening of global stores, in the Americas less than 15% of the 455 retail stores in the region are open, anticipates having the majority open by early 07/20. $CPR PR link.

Electronic Arts(PBR535) gets multi-year renewal with the National Football League (NFL) and the NFL Players Association (NFLPA), the EA SPORTS™ Madden NFLfranchise will exclusively create authentic football simulation games, and EA SPORTS, the NFL and the NFLPA will partner to develop games in new genres, expanded esports programs. $EA PR link.

The US Dept of Commerce/BEA says the 1Q20 2nd Estimate US Real Gross Domestic Product Annual Rate Change was -5.0% to $21,534.9 billion, -0.9% from 4Q19, +2.1% from 1Q19. USDOC PR link.

The US Dept of Labor says for Week Ending 05/23/20 the US 4 Week Moving Average Initial Unemployment Insurance Claims is at 2,608,000, for 04/25/20 it was at 5,033,250, 05/25/19 216,750; for Week Ending 05/16/20 the US 4 Week Moving Average Total Insured Unemployment is at 22,722,250, 04/18/20 was at 13,292,500, 05/18/19 1,672,500; 05/16/20 Insured Unemployment Rate is at 14.5%, 04/18/20 was at 12.4%, 05/18/29 1.2%. USDOL PR link.

The US Energy Information Administration says that 05/22/20 US Crude Oil Inventories are at 534.4 million barrels, 04/24/20 was at 527.6 mb, 03/20/20 455.4 mb, 5/24/19 476.5 mb. USEIA PR link.

FreddieMac says the 05/28/20 US Average 30 Year Fixed Home Mortgage Rate is at a record low of 3.15% with 0.8 points/fees, 04/30/20 was at 3.23%, 03/26/20 3.50%, 05/30/19 3.99%. FreddieMac PR link.

***Wednesday, May 27

Walmart(PBR1) enters the popular fashion resale market in partnership with ThredUP, has nearly 750,000 pre-owned items across women’s and children’s clothing, accessories, footwear and handbags. $WMT PR link.

AT&T(PBR9)’s WarnerMedia unit launches streaming service HBO Max, $14.99/mo, has over 10,000 hours of content. $T PR link.

GE(PBR33) to sell its GE Lighting business to Savant Systems, includes a long-term licensing agreement for use of the GE brand, terms not disclosed, to close mid 2020. $GE PR link.

Boeing(PBR40) has concluded its voluntary layoff program, involuntary layoff program to start, will affect 6,770 workers. $BA PR link.

Boeing(PBR40) has resumed production of the 737 MAX at its Renton, WA factory, to ramp up during rest of the year. $BA PR link.

Walt Disney(PBR49) has submitted a proposal to the Orange County Economic Recovery Task Force in Florida describing a phased reopening of Walt Disney World Resort theme parks planned to begin on 07/11/20. $GE PR link.

Archer-Daniels-Midland(PBR54) and beef producer Marfrig (B3:MRFG3) to create PlantPlus Foods, a joint venture for the sale of plant-based food products across S American and N American markets. $ADM PR link.

Gilead Sciences(PBR134) enters into 10 year partnership with Arcus Biosciences(NYSE: RCUS) to co-develop and co-commercialize next-generation cancer Immunotherapies, Gilead to pay $175 million upfront plus a $200 million equity investment plus up to $1.6 billion based on milestones achieved. $GILD PR link.

Marriott Intl(PBR151) has informed above-property associates in the US that furloughs and reduced work week schedules which began in April will be extended through 10/02/20, is also rolling out a voluntary transition program for on-property and above-property associates in the US who may choose to leave the company. $MAR PR link.

American Electric Power(PBR203) has received approvals to acquire the entire planned 1,485 megawatts (MW) of wind generation in Oklahoma, will invest approximately $2 billion in this new renewable energy to serve its Southwestern Electric Power Company (SWEPCO) and Public Service Company of Oklahoma (PSO) customers. $AEP PR link.

MGM Resorts(PBR243) reopening its Las Vegas properties Bellagio, New York-New York, MGM Grand Las Vegas and The Signature on 06/04/20. $MGM PR link.

Wynn Resorts(PBR439) to re-open its Wynn Las Vegas on 06/04/20. $WYNN PR link.

Boyd Gaming(PBR695) to resume operations at 9 properties in Nevada on 06/04/20, 2 properties in Missouri and 2 in Iowa on 06/01/20. $BYD PR link.

The US Federal Reserve releases the Beige Book for data collected through 05/18/20. “Although many contacts expressed hope that overall activity would pick-up as businesses reopened, the outlook remained highly uncertain and most contacts were pessimistic about the potential pace of recovery.” USFed PR link.

The US Federal Bank of Richmond says the May 2020 US 5th District Manufacturing Index(Annualized) is at -27%, April 2020 was at -53%, March 2020 +2%, May 2019 +7%. “… contacts expected conditions to improve in
the next six months.” RichmondFed PR link.

The US Federal Bank of Richmond says the May 2020 US 5th District Service Sector Revenue Index(Annualized) is at -48%, April 2020 was at -87%, March 2020 +1%, May 2019 +3%. “Survey respondents expected conditions and revenues to remain soft in the coming months.” RichmondFed PR link.

***Tuesday, May 26

Alphabet(PBR11)’s Google unit to phase in re-opening of offices starting 07/06/20 at around 10% of capacity, 30% by September, giving each Googler an allowance of $1,000, or the equivalent value in a country, to expense necessary equipment and office furniture for the majority who continue to work from home. $GOOG PR link.

Merck(PBR66) to acquire privately held vaccines, including a COVID-19 candidate, and immune-modulation therapies for infectious diseases and cancer developer Themis, terms not disclosed. $MRK PR link.

Bristol-Myers Squibb(PBR108) gets US FDA approval for Opdivo® (nivolumab) + Yervoy® (ipilimumab) combined with limited chemotherapy as first-line treatment of metastatic or recurrent non-small cell lung cancer. $BMY PR link.

JCPenney(PBR291) launches its Linden Street brand with 100% cotton sheet sets starting at $40, and quilts and comforters ranging from $90 to $220. $JCPNQ PR link.

Regeneron(PBR387) offering a secondary public offering of 12.8 million of Sanofi‘s 23.2 million common shares, to repurchase approximately $5 billion of common stock directly from Sanofi, Sanofi to hold around 400,000 shares after common stock sale. $REGN PR link.

Triumph Group(PBR686) says all 36 of its operational factories have returned to safe operational status following closures related to government-mandated shutdowns, COVID-19 cases, and temporary closure of customer facilities, has recalled approximately 2,000 of the previously announced 4,200 furloughs, and completed the 700-person reduction in force of salaried positions. $TGI PR link.

Six Flags(PBR963) to re-open its Frontier City in Oklahoma City, OK, park with limited capacity beginning 06/05/20. $SIX PR link.

The US Federal Reserve Bank of Chicago says the Preliminary April 2020 US National Activity Index is at -16.74, March 2020 was at -4.97, February 2020 +0.05, April 2019 -0.69. ChiFed PR link.

The US Dept of Commerce/HUD says the Preliminary April 2020 US New Family Homes Sold Annual Rate is at 623,000 units, March 2020 was at 619,000, February 2020 717,000, April 2019 664,000; April 2020 Median Home Price is at $309,900, March 2020 was at $326,900, February 2020 $331,400, April 2019 $339,000. USDOC PR link.

The S&P CoreLogic Case-Shiller Preliminary March 2020 US Natl Composite Home Price Index((01/2000=100) is at 214.96, February 2020 was at 213.16, January 2020 212.34, March 2019 205.99, a 4.4% increase year-to-year. Case-Shiller PR link.

The Conference Board says the Preliminary May 2020 Consumer Confidence Index(1985=100) is at 86.6, April 2020 was at 85.7, March 2020 118.8, May 2019 131.3. “While the decline in confidence appears to have stopped for the moment, the uneven path to recovery and potential second wave are likely to keep a cloud of uncertainty hanging over consumers’ heads.” TCB PR link.

The US Federal Reserve Bank of Philadelphia says the May 2020 US 3rd District Non-Manufacturing General Activity Index is at -68.6, April 2020 was at -96.4, March 2020 -35.1, May 2019 +16.8. PhillyFed PR link.

***Monday, May 25

***US Memorial Day
***Remembering the fallen heroes
***who made the ultimate sacrifice
***so that we can remain free
***and a beacon of hope.
***US Stock Exchanges Closed.

***Friday, May 22

The PBRMarketTools US Stock Exchanges Recap for Week 21 ending 05/22/20:

DJIA ends Week 21 at 24,465.16, +3.29% from last Friday, +0.49% MTD, +11.63% QTD, -14.27% YTD, -17.21% from record 29,551.42 set 02/12/20.

NASDAQ ends Week 21 at 9,324.59, +3.44% from last Friday, +4.89% MTD, +21.10% QTD, +3.92% YTD, -5.02% from record 9,817.18 set 02/19/20.

SPX ends Week 21 at 2,955.45, +3.20% from last Friday, +1.48% MTD, +14.35% QTD, -8.52% YTD, -12.72% from record 3,386.15 set 02/19/20.

The Week 21 News Summary: During the week more retailers, manufacturers and other businesses announced their plans for re-opening during the coronavirus pandemic, with social distancing and other health aids being a part of the mix. The tally as of 12:32PM Eastern US by the John Hopkins University CSSE unit says there are now 5,169,907 confirmed cases globally with 335,993 deaths. For the US it’s 1,591,242 confirmed cases and 95,533 deaths. US economic data now shows much of the near term impact, such as jobs lost and existing home sales tumbling, but there are also some consumer and business surveys, which are more current, that indicate some optimism after the significant spike downwards. The US Federal Reserve says it still has more ways to help the economy recover. In the minutes of the last meeting of the Federal Open Market Committee it was very clear that they had significant discussions about how to proceed. Forecasts are all over the place with some experts saying there will be a quick recovery, meaning during the 3rd and 4th quarters of this year, and some saying it will take well into 2021 or 2022, some say even later, for a full recovery. This year will be compounded by the election process where both sides will most assuredly exaggerate their points of view on the economy and how they will fix it. Perhaps the biggest event of the week was the renewed tension between the US and China on trade issues. Investors started the week very positive. The Stock Market Bull, after the big loss last week, come out determined to redeem himself on Monday and was helped by news of a potential coronavirus vaccine result, and had a huge day. But The Stock Market Bear responded back on Tuesday as the news was questioned, then lost again on Wednesday, took Thursday, and Friday was a slight edge for The Stock Market Bull, who gets a strong Week 21 3-0 victory. We head into a long Memorial Day weekend with a breather for the stock exchanges on Monday, and then the finish of another volatile month in Week 22. Enjoy the long weekend, still stay safe and don’t eat too many hotdogs!

The Week 21 of 2020 tally YTD is:
The Stock Market Bull: 10 weeks
The Stock Market Bear: 10 weeks
Mixed Results: 1 week

Bed Bath & Beyond(PBR277) to have around 50% of its stores open by 06/13/20, includes about 500 Bed Bath & Beyond stores across North America, as well as around 50 Christmas Tree Shop stores and around 50 Cost Plus World Market stores in the US, is in addition to buybuy BABY and Harmon Face Values stores that have remained open; phase-in will bring approximately 11,000 associates back from furlough. $BBBY PR link.

Hertz(PBR314) and its US and Canada units file voluntary petitions for reorganization under Chapter 11 in the US Bankruptcy Court, impact of coronavirus pandemic, does not include international or franchise locations, businesses remain open, has $1 billion in cash available to support ongoing operations. $HTZ PR link.

***Thursday, May 21

Macy’s(PBR118) closed all stores on 03/18/20, started re-opening on 05/04/20, have approximately 190 Macy’s and Bloomingdale’s stores open in their full formats, expect another 80 Macy’s stores to open for Memorial Day weekend, has seen a steady uptick in online sales. $M PR link.

L Brands(PBR243 $LB) to close 250 Victoria’s Secret stores in the US and Canada, sees brand generating $5.5-6.0 billion in revenues per year. The Motley Fool PR link.

YUM!(PBR491)’s Taco Bell unit to hire 30,000+ team members this summer. $YUM PR link.

Harley-Davidson(PBR507 $HOG) has begun a planned phased approach to resuming production in its US manufacturing facilities, full staffing of 1,000 expected at the engine and drivetrain factory in Menomonee Falls, WI, following Memorial Day weekend. Milwaukee Sentinel Journal PR link.

Tempur Sealy(PBR729) has begun opening its domestic retail stores in a phased approach, expects the vast majority of its approximately 160 U.S. retail locations to be open by the end of May. $TPX PR link.

The Conference Board says the April 2020 US Leading Economic Index(2016=100) is at 98.8, March 2020 was at 103.2, February 2020 110.6, April 2019 111.9. “Business conditions may recover for some sectors and industries over the next few months… But, the breadth and depth of the decline in the LEI suggests that an imminent re-opening of some sectors does not imply a fast rebound for the economy at large.” TCB PR link.

The Natl Assn of Realtors says the Preliminary April 2020 US Existing Home Sales Annual Rate is at 4,330,000 units, March 2020 was at 5,270,000, April 2019 5,230,000; Median Sales Price is at $286,800, March 2020 was at $280,600, April 2019 $267,000. NAR PR link.

The Federal Reserve Bank of Philadelphia says the May 2020 US 3rd District Manufacturing General Activity Indicator is at -43.1, April 2020 was at -56.6, March 2020 -12.7, May 2019 +17.5. “The firms expect the current slump in manufacturing activity to last less than six months, as the broadest indicator of future activity strengthened further from last month’s reading; furthermore, the firms continue to expect overall growth in new orders, shipments, and employment over the next six months.” PhillyFed PR link.

***Wednesday, May 20

Intel(PBR45) has acquired wifi solutions provider Rivet Networks. $INTC PR link.

The US Federal Open Market Committee releases the minutes from its 04/28-29/20 meeting, says “The staff observed that uncertainty regarding the economic effects of the coronavirus outbreak was extremely elevated and that the historical behavior of the U.S. economy in response to past economic shocks provided limited guidance for making judgments about how the economy might evolve over coming quarters.” FOMC PR link.

***Tuesday, May 19

Amazon(PBR2 $AMZN) to open new 820,000sf fulfillment center in former General Motors facility in Wilmington, DE, is third facility in state, will employ 1,000 fulltime workers. MarketWatch PR link.

Facebook(PBR140) launches Facebook Shops, a mobile-first shopping experience where businesses can easily create an online store on Facebook and Instagram for free. $FB PR link.

Kohl’s(PBR160) in quarterly report says it has opened up around 50% of its stores with the latest health and safety measures. $KSS PR link.

MGM Resorts(PBR244) to re-open its two Mississippi properties, Gold Strike Casino Resort in Tunica will reopen in a limited capacity to the public on 05/25/20, followed by Biloxi’s Beau Rivage Resort & Casino’s reopening 06/01/20, also in a limited capacity. $MGM PR link.

Darden Restaurants(PBR361) started re-opening restaurants 04/27/20, 49% now open through 05/17/20, with dining rooms limited to 25%-50% of capacity, expects to have 65% open by 05/31/20. $DRI PR link.

Capri(PBR518) says because of complications from the COVID-19 pandemic it is unable to file its annual 10-K report with the SEC, has up to 45 days after 05/27/20 to be in compliance. $CPRI PR link.

Pier 1 Imports(PBR954) seeking Bankruptcy Court approval to begin an orderly wind-down of its retail operations as soon as reasonably possible after store locations are able to reopen following the government-mandated closures during the COVID-19 pandemic, has not been able to find a buyer. $PIRRQ PR link.

The US Dept of Commerce/HUD says the Preliminary April 2020 New Residential Construction Building Permits-Private Housing Annual Rate is at 1,074,000, March 2020 was at 1,356,000, February 2020 1,438,000, April 2019 1,330,000. Click on the link for Housing Starts, House Completions and additional data. USDOC PR link.

***Monday, May 18

Verizon(PBR19) completes acquisition of 390 employees enterprise-grade cloud-based video conferencing and event platform provider BlueJeans, will be deeply integrated into Verizon’s 5G product roadmap, providing secure and real-time engagement solutions for high growth areas such as telemedicine, distance learning and field service work. $VZ PR link.

Occidental Petroleum(PBR149) has completed sale of Anadarko’s Mozambique and South Africa assets to Total SA(NYSE: TOT), unable to sell Algerian assets per agreement with Algerian government, gets waiver from Total to sell the Ghana assets to another party. $OXY PR link.

PG&E(PBR185) says preliminary indications for its Plan of Reorganization is getting overwhelming acceptance by the wildfire victims entitled to vote on the Plan, Plan confirmation hearing scheduled for 05/27/20, believes that it remains on track for Plan confirmation by 06/30/20. $PCG PR link.

Uber(PBR227 $UBER) to cut 3,000 more jobs on top of 3,700 announced on 05/06/20, 6,700 is about 25% of workforce, to close 45 offices, in response to drop in rides from coronavirus pandemic. MarketWatch PR link.

Huntsman(PBR430) completes $300 million cash acquisition of CVC Thermoset Specialties, a N American specialty chemical manufacturer serving the industrial composites, adhesives and coatings markets, from Emerald Performance Materials LLC which is majority owned by affiliates of American Securities. $HUN PR link.

GameStop(PBR450) letter to shareholders explains progress made under strategic program “GameStop Reboot,” addresses issues by dissident stockholders. $GME PR link.

SS&C Tech(PBR565) completes $120 million acquisition of New York-based 150+ employees developer of systems for trust accounting, payments and unique asset servicing on modern, web-based technology Innovest Systems. $SSNC PR link.

Boyd Gaming(PBR696) plans to reopen 7 casino properties in Louisiana and Mississippi this week, 2 more next week. $BYD PR link.

Hertz(PBR315) President/CEO Kathryn V. Marinello resigns from her roles and as a Board member, will continue in a consulting position for up to 1 year, EVP/Chief Retail Operations Officer N America Paul Stone elected to be President/CEO and Board member effective immediately. $HTZ PR link.

The Natl Assn of Home Builders says the Preliminary May 2020 Housing Market Composite Index(<50 = more builders view conditions as poor than good) is at 37, April 2020 was at 30, March 2020 72, May 2019 66. “As many states and localities across the nation lift stay-at-home orders and more furloughed workers return to their jobs, we expect this demand will strengthen. Other indicators that suggest a housing rebound include mortgage application data that has posted four weeks of gains and signs that buyer traffic has improved in housing markets in recent weeks.” NAHB PR link.

***Friday, May 15

The PBRMarketTools US Stock Exchanges Recap for Week 20 ending 05/15/20:

DJIA ends Week 20 at 23,685.42, -2.56% from last Friday, -2.71% MTD, +8.07% QTD, -17.01% YTD, -19.85% from record 29,551.42 set 02/12/20.

NASDAQ ends Week 20 at 9,014.56, -1.17% from last Friday, +1.41% MTD, +17.07% QTD, +0.47% YTD, -8.18% from record 9,817.18 set 02/19/20.

SPX ends Week 20 at 2,863.70, -2.26% from last Friday, -1.67% MTD, +10.80% QTD, -11.36% YTD, -15.43% from record 3,386.15 set 02/19/20.

The Week 20 News Summary: Several national governments are starting to open up their economies somewhat as the COVID-19 pandemic continues. The tally as of 12:32PM Eastern US by the John Hopkins University CSSE unit says there are now 4,516,360 confirmed cases globally with 306,051 deaths. For the US it’s 1,432,045 confirmed cases and 86,851 deaths. Many US states are starting to open up their economies for most businesses, with social distancing and use of face masks being pushed as the responsibility for workers and customers. The US Food and Drug Administration continues to aggressively issue Emergency Use Authorizations for tests and possible treatments. President Trump says there will be a vaccine by the end of the year, but many view this as too optimistic. The openings are controversial with many prominent health professionals saying this is dangerous and will increase the spread of COVID-19, but politicians being pushed by businesses to say the risk to the economy is greater. It is a difficult balancing act with no clear cut answers at this time, even though there will be many in hindsight. US economic news was gloomy at best as figures from February through April are starting to show. The weekly initial jobless numbers continue to be in the millions, job openings is down, and there are concerns that it will take the 36 million employees out of work years to recover. Comments by members of the US Federal Reserve were not particularly encouraging as well. The US House has put together a new stimulus package of $3 trillion, but many have said it is dead on arrival. The US-China trade talks seem to have reached an impasse at this time, and the Saudi Arabia-Russia oil production issues continue to keep oil prices abnormally low. The Stock Market Bear was angry about his loss last week and charged hard at The Stock Market Bull and took out a big chunk of his hide the first 3 days of the week. The Stock Market Bull made some valiant attempts to come back the last two days of the week but it was not nearly enough, and he is forced to relinquish Week 20 with a 0-3 record.

The Week 20 of 2020 tally YTD is:
The Stock Market Bull: 9 weeks
The Stock Market Bear: 10 weeks
Mixed Results: 1 week

Facebook(PBR46) has acquired GIPHY, 50% of its traffic is from Facebook, Facebook to further integrate GIPHY’s GIF library into Instagram and other Facebook apps, terms not disclosed. $FB PR link.

Bristol-Myers Squibb(PBR108) gets US FDA approval for Opdivo® (nivolumab) + Yervoy® (ipilimumab) as first-line treatment of patients with metastatic non-small cell lung cancer shose tumors express PD-L1≥1%. $BMY PR link.

Bristol-Myers Squibb(PBR108) gets US FDA approval for Pomalyst® (pomalidomide) for AIDS-related and HIV-Negative kaposi sarcoma. $BMY PR link.

JCPenney(PBR292) files voluntary petitions for reorganization under Chapter 11 of the US Bankruptcy Code, has restructuring support agreement with lenders holding approximately 70% of JCPenney’s first lien debt who are providing $900 million in debtor-in-possession financing, stores to close in phases during process. $JCP PR link.

Legg Mason(PBR761) shareholders approve $50.00/share cash, will also assume about $2 billion of Legg Mason’s outstanding debt, acquisition by Franklin Resources(PBR478), to close in 3Q20. $LM PR link.

GNC(PBR885) gets amended agreements to extend the springing maturity dates for the term loan facility, FILO credit facility and revolving credit facility to get balance under $50 million from 05/16/20 to 08/10/20. $GNC PR link.

WW(PBR963) says it will be laying off some personnel worldwide, expects reduction in force to be completed by end of 2020. $WW PR link.

The US Dept of Labor says the Preliminary March 2020 Job Openings-Private is at 5,462,000, Government 730,000, Total 6,192,000, February 2020 was at 7,005,000, March 2019 7,364,000. USDOL PR link.

The US Federal Reserve says the Preliminary April 2020 Industrial Production % of Capacity is at 64.9%, March 2020 was at 73.2%, February 2020 76.7%, April 2019 77.8%. USFed PR link.

The US Dept of Commerce/Census says the Preliminary March 2020 US Sales-Manufacturing is at $473.6 billion, Retail $437.6 billion, Wholesales $475.0 billion, Total Sales $1.386 trillion, February 2020 was at $1.463 trillion, January 2020 $1.471 trillion, March 2019 $1.458 trillion. USDOC PR link.

The US Dept of Commerce/Census says the Preliminary April 2020 US Sales-Retail is at $371.5 billion, Food Services & Drinking Places $32.4 billion, Total Retail Sales $403.9 billion, March 2020 was at $483.5, February 2020 $527.3 billion, April 2019 $515.3 billion. USDOC PR link.

The Federal Reserve Bank of New York says the May 2020 US Empire State Manufacturing General Business Conditions Index is at -48.5, April 2020 was at -78.2, March 2020 -21.5, May 2019 +14.4. “While current conditions remained extremely weak, firms grew more optimistic that conditions would be better six months from now.” NYFed PR link.

The U of Michigan Preliminary May 2020 US Consumer Sentiment Index is at 73.7, April 2020 was at 71.8, March 2020 89.1, May 2019 100.0. “Confidence inched upward in early May as the CARES relief checks improved consumers’ finances and widespread price discounting boosted their buying attitudes. Despite these gains, personal financial prospects for the year ahead continued to weaken, falling to the lowest level in almost six years…” UMichigan PR link.

***Thursday, May 14

Kroger(PBR22) says it has hired more than 100,000 workers in the past eight weeks, including those from the hardest-hit sectors like restaurants, hotels and food service distributors, continues to hire. $KR PR link.

Delta(PBR65) to retire its 18 widebody Boeing 777s by the end of 2020 as a result of the COVID-19 pandemic, will accelerate strategy to simplify and modernize its fleet, while continuing to operate newer, more cost-efficient aircraft. $DAL PR link.

Goldman Sachs(PBR87) to acquire McLean, VA based 160 employees and around $11 billion in assets for RIAs boutique custodian for wealth management firms Folio Financial, to close in 3Q20, terms not disclosed. -Folio Financial $GS PR link.

Carnival Corp(PBR153) provides update on response to COVID-19 pandemic, is doing a combination of layoffs, furloughs, reduced work weeks and salary reductions across the company, including senior management, as all ships return to their home ports. $CCL PR link.

Tapestry(PBR474) expects to have over 300 Coach, Kate Spade, and Stuart Weitzman stores in N America offering curbside or store pickup service by the end of this week and around 120 stores to be open in Europe, Japan, Malaysia, and Australia, all stores are already open in China and S Korea. $TPR PR link.

Columbia Sportswear(PBR737) to reopen 30 branded stores in ten states on Friday, 05/15/20, bringing back more than 250 of its furloughed retail workers. $COLM PR link.

The US Dept of Labor says the Preliminary April 2020 US All Imports Price Index is at -2.6%, March 2020 was at -2.4%, February 2020 -0.7%, April 2019 +0.2%; All Exports Price Index is at -3.3%, March 2020 was at -1.7%, February 2020 -1.2%, April 2019 +0.1%; Year-to-Year All Imports is -6.8%, All Exports -7.0%. USDOL PR link.

***Wednesday, May 13

Ford(PBR12) to restart initial production in the UK at its Dagenham Engine Plant in Essex and Bridgend Engine Plant in South Wales from 05/18/20, means that all of Ford’s European manufacturing facilities will be back at work. $F PR link.

The US Dept of Labor says the Preliminary April 2020 Total Final Month Demand Producer Price Index is -1.3%, March 2020 was at -0.2%, February 2020 -0.6%, April 2019 +0.4%, Last 12 Months -1.2%. USDOL PR link.

***Tuesday, May 12

Facebook(PBR46 $FB) to pay $52 million to current and former moderators to compensate them for mental health issues developed on the job. The Verge PR link.

Thermo Fisher Scientific(PBR112) gets US FDA approval for further expanded emergency use authorization (EUA) for its multiplex real-time PCR test intended for the qualitative detection of nucleic acid from SARS‑CoV‑2, the virus that causes COVID-19. $TMO PR link.

Gilead Sciences(PBR134) has signed non-exclusive voluntary licensing agreements with five generic pharmaceutical manufacturers based in India and Pakistan to further expand supply of remdesivir for distribution in 127 nearly all low-income and lower-middle income countries, as well as several upper-middle- and high-income countries that face significant obstacles to healthcare access. $GILD PR link.

Las Vegas Sands(PBR232) decides to discontinue its pursuit of Integrated Resort (IR) development in Japan. $LVS PR link.

LabCorp(PBR264) is offering its COVID-19 at-home collection test kit to individuals nationwide who have symptoms consistent with COVID-19 infection and individuals without symptoms who may have been exposed to the virus, no upfront cost, is in addition to healthcare workers and first responders. $LH PR link.

The US Dept of Treasury says the April 2020 US Federal Government Receipts are at $241.9 billion, Outlays $980.0 billion, for a Deficit of $737.9 billion; April 2020 YTD Receipts(7 Months) are at $1.845 trillion, YTD Outlays $3.327 trillion, YTD Deficit $1.481 trillion, YTD April 2019 was at $ 0.531 trillion. USTreasury PR link.

The US Dept of Labor says the Preliminary April 2020 Current Average Employee Earnings/Hour is at $30.01, Average Hours Worked Per Week 34.2, for Average Current Weekly Earnings of $1,026.34, +5.0% from March 2020, +7.3% from April 2019. USDOL PR link.

The US Dept of Labor says the April 2020 Consumer Price Index Change is at -0.8%, March 2020 was at -0.4%, February 2020 +0.1%, April 2019 +0.3%, Last 12 Months +0.3%. USDOL PR link.

CoreLogic says the February 2020 US Home Loans 30 Days or More Delinquent is at 3.6%, January 2020 was at 3.5%, December 2019 3.7%, February 2019 4.0%. “After a long period of decline, we are likely to see steady waves of delinquencies throughout the rest of 2020 and into 2021. The pandemic and its impact on national employment is unfolding on a scale and at a speed never before experienced and without historical precedent. The next six months will provide important clues on whether public and private sector countermeasures — current and future — will soften the blow and help us avoid the protracted, widespread foreclosures and delinquencies experienced in the Great Recession.” USDOL PR link.

***Monday, May 11

Abbott(PBR99) gets US FDA Emergence Use Authorization(EUA) for SARS-CoV-2 IgG lab-based serology blood test on the Alinity™ i system, plans to ship nearly 30 million antibody tests globally in May across its ARCHITECT® and Alinity i™ platforms and will have capacity for 60 million tests in June, is 4th COVID-19 US FDA EUA. $ABT PR link.

Tesla(PBR117) on 05/09/20 outlines plans to re-open Fremont, CA manufacturing facility, files lawsuit against Alameda County for City of Fremont denying re-open. $TSLA PR link.

Tesla(PBR117) Founder/CEO Elon Musk tweets that the Fremont, CA manufacturing facility is restarting production today against Alameda County rules, if anyone is arrested asks that it be only him. $TSLA PR link.

PNC Financial(PBR177) to sell its 22.4% investment in BlackRock(PBR218) through a registered offering and related buyback by BlackRock for $1.1 billion. $PNC PR link.

Coty(PBR354) to get initial investment of $750 million through the sale of convertible preferred shares to KKR(PBR608), sign a Memorandum of Understanding for the sale of a majority in Coty’s Professional Beauty and Retail Hair Businesses including the Wella, Clairol, OPI and ghd brands at a contemplated enterprise value of $4.3 billion. $COTY PR link.

Stage Stores(PBR952) files voluntary petitions under Chapter 11 of the Bankruptcy Code in the US Bankruptcy Court for the Southern District of Texas, Houston Division, will simultaneously solicit bids for a going concern sale of the business or any of its assets and initiate an orderly wind-down of operations, will terminate the wind-down of operations at certain locations if it receives a viable going-concern bid. $SSI PR link.

***Friday, May 8

The PBRMarketTools US Stock Exchanges Recap for Week 19 ending 05/08/20:

DJIA ends Week 19 at 24,331.32, +2.56% from last Friday, -0.06% MTD, +11.01% QTD, -14.74% YTD, -17.66% from record 29,551.42 set 02/12/20.

NASDAQ ends Week 19 at 9,121.32, +6.00% from last Friday, +2.61% MTD, +18.46% QTD, +1.66% YTD, -7.09% from record 9,817.18 set 02/19/20.

SPX ends Week 19 at 2,929.80, +3.50% from last Friday, +0.60% MTD, +13.36% QTD, -9.32 YTD, -13.48% from record 3,386.15 set 02/19/20.

The Week 19 News Summary: Several US states have loosened up some restrictions put in place over the past few months to help prevent the spread of COVID-19. Many companies in some some industries have been given the go-ahead and are starting cautiously to re-open their businesses. There are mixed opinions on this, as public and private health professionals would prefer to keep the restrictions in place, but business owners are bleeding cash and need to get their establishments running again to prevent permanent loss of their establishments. In April the US lost over 20 million jobs and the unemployment rate jumped from 3.5% a few months ago to 14.7%. Many experts are saying this is a “light” figure because many more people have been affected that have not been able to be counted for some reason. The latest COVID-19 numbers from John Hopkins U CSSE are: Globally confirmed cases are at 3,926,724, Deaths 273,034; US confirmed cases are at 1,281,246, Deaths 76,901. It is hard to tell if the curve is flattening as old hotspots start fading away, but new ones start. With the start of the re-opening of the economy there was optimism on Wall Street. The Stock Market Bear was kicked out of the pasture as The Stock Market Bull charged in. NASDAQ did especially well by being the first exchange to go back positive year-to-date. While The Stock Market Bull once again ties The Stock Market Bear year-to-date in weekly wins, there is still a lot of effort that will be needed to get back above last year and to be in records territory. The question is, “Can The Stock Market Bull maintain his Spring romp in May?”

The Week 19 of 2020 tally YTD is:
The Stock Market Bull: 9 weeks
The Stock Market Bear: 9 weeks
Mixed Results: 1 week

Merck(PBR66) gets US FDA approval for LYNPARZA® (olaparib) as first-line maintenance treatment with Bevacizumab for HRD-positive advanced ovarian cancer. $MRK PR link.

AbbVie(PBR94) completes $193.23/share cash & stock $63 billion acquisition of Allergan(PBR197), creates a $50 billion revenues/year pharmaceutical company. $ABBV PR link.

Fluor(PBR166) on regulatory filing says it received a subpoena from the US Dept of Justice seeking documents and information related to 2Q19 charges; certain of the projects associated with those charges; and certain project accounting, financial reporting and governance matters, follows the US Securities and Exchange Commission investigation requesting on 02/18/20 similar information, Fluor is cooperating, Board has also formed a separate committee to do a review. $FLR PR link.

Royal Caribbean(PBR285) provides update on responses to COVID-19 pandemic, includes reducing workforce by around 26% of 5,000+ US shoreside employees. $RCL PR link.

The US Dept of Labor says the April 2020 US Total Number of Employed(Table A-1) is at 133,403,000, -22,369,000 from March 2020, -23,242,000 from April 2019; Total Unemployed is at 23,078,000, +15,937,000 from March 2020, +17,253,000 from April 2019; Unemployment Rate is at 14.7%, March 2020 was at 4.4%, February 2020 3.5%, April 2019 3.6%. USDOL PR link.

The US Dept of Commerce/Census says the Preliminary March 2020 US Wholesale Sales-Durables is at $225.8 billion, Non-Durables $249.2 billion, Total Sales $475.0 billion, -5.2% from February 2020, -5.2% from March 2019. See Table 1 for Inventories and Inventories/Sales Ratios. USDOC PR link.

***Thursday, May 7

UnitedHealth(PBR7) will provide more than $1.5 billion in initial assistance, including customer premium credits, to its UnitedHealthcare customers as many people have been unable to access routine or planned care due to the COVID-19 pandemic. $UNH PR link.

Alphabet(PBR11 $GOOG) drops controversial Sidewalk Labs unit ‘smart city’ project in Toronto. MarketWatch PR link.

Ford(PBR12) phasing in restart, includes its N American parts depots resuming full operations on 05/11/20, on 05/18/20 its N American assembly plants previously operating on three-shift patterns will return with two-shifts, most two-shift plants will return on one shift and most one-shift plants will operate on one shift, will include new health protocols, employees able to do their jobs remotely will continue to do so until advised otherwise. $F PR link.

Kohl’s(PBR159) to reopen stores in Alabama, Alaska, Arizona, Georgia, Idaho, Mississippi, Montana, and Texas, as well as a majority of its stores in Florida and Tennessee on Monday, 05/11, after opening stores in Arkansas, Oklahoma, South Carolina, and Utah earlier this week. $KSS PR link.

PG&E(PBR185) $200 million fine for causing deadly wildfires is waived by California regulators, fine would hinder PG&E’s plan to exit bankruptcy by 06/30/20 deadline. $PCG PR link.

Gap Inc(PBR198 $GPS) to open 800 stores by the end of May, will be across the company’s portfolio of chains including Old Navy, Banana Republic and Athleta, “Ship from store” service will be available at 1,000 stores and curbside pickup at 75, with plans to expand those services. MarketWatch PR link.

Charles Schwab(PBR291) to acquire assets of San Mateo, CA-based technology and data science developer of thematic investment strategies that allows investors to trade intelligently weighted baskets of stocks built around themes, investing styles or multi-asset models Motif, terms not disclosed, to close mid-2020. $SCHW PR link.

JCPenney(PBR292) and and Sephora USA have reaffirmed their long-standing partnership to operate Sephora inside JCPenney (SiJCP), have resolved outstanding legal matters and have agreed to mutually beneficial revisions to their joint enterprise operating agreement. $JCP PR link.

BorgWarner(PBR304) $3.3 billion all stock acquistion of Delphi Technologies PLC (NYSE: DLPH) amended to allow Delphi to use its $500 million revolving credit facility, exchange ratio lowered to 0.4307 shares of BorgWarner for each share of Delphi, on track to close in 2H20. $BWA PR link.

Ulta Beauty(PBR402) has curbside pickup in more than 700 locations, is planning to open around 180 locations in select states on 05/11/20. $ULTA PR link.

Fresh Del Monte(PBR579) reinstates share repurchase program, reflects the confidence it has in its long-term performance and its belief that it can successfully execute its strategy. $FDP PR link.

Tailored Brands(PBR758) to phase in opening of approximately 300 Men’s Wearhouse, Jos. A. Bank and K&G stores by Memorial Day, with the first stores opening in Georgia and Texas this week. $TLRD PR link.

TripAdvisor(PBR948) in 1Q20 report says response to COVID-19 includes a workforce reduction of around 700 employees, will likely impact another around 200, the 900 total representing 23% of the workforce, and furloughing a further approximately 850 employees, or 22% of its workforce. $TRIP PR link.

Cincinnati Bell(PBR970) shareholders approve $15.50/share cash, around $2.9 billion, includes debt, acquisition by Macquarie Infrastructure(PBR933), still needs regulatory approvals, to close in 1H21. $CBB PR link.

Fiserv(PBR303) CEO Jeffery Yabuki to step down on 07/01/20 after 15 years with the company, will continue to serve as Executive Chairman through 12/31/20, Frank Bisignano elected to become CEO. $FISV PR link.

Univar(PBR331) appoints independent Lead Director Christopher D. Pappas as independent Chairman, succeeds Stephen D. Newlin who will continue to serve on the Board. $UNVR PR link.

Teradata(PBR866) hires Steve McMillan as President/CEO and member of the Board effective 06/08/20, will succeed interim President/CEO Victor Lund who will continue as an advisor through 2020. $TDC PR link.

The US Federal Reserve says the Preliminary March 2020 Consumer Credit Outstanding-Revolving is at $1.066 trillion, Non-Revolving $3.143 trillion, Total $4.209 trillion, -0.3% from February 2020, +0.2% YTD(3 months), +3.8% from March 2019. USFed PR link.

The US Dept of Labor says the Preliminary 1Q20 US Business Sector Labor Productivity Output/Hour is at -2.3%, 4Q19 was at +1.0%, 3Q19 -0.4%, 1Q19 +4.0%. USDOL PR link.

FannieMae says the April 2020 US Home Purchase Sentiment Index is at 63.0, its lowest reading since November 2011, March 2020 was at 80.8, February 2020 92.5, April 2019 88.3. “… consumers reported a markedly more pessimistic view of homebuying and home selling conditions. Moreover, on net, more consumers reported that their household income is significantly lower today than it was 12 months ago.” FannieMae PR link.

***Wednesday, May 6

Ford(PBR12) in design collaboration with 3M(PBR98 $MMM) has built and is shipping 10,000+ powered airpurifying respirators(PAPRs) to healthcare workers, has ability to make 100,000 more, also receives order from New Jersey for 500,000 reusable gowns, can produce 200,000 per week. $F PR link.

Uber(PBR227) in response and demand as a result of the coronavirus pandemic is reducing its customer support and recruiting teams by approximately 3,700 full-time employee roles. $UBER PR link.

Marriott Vacations(PBR595) in response to coronavirus pandemic on its business is reducing corporate spending, includes furloughing 65% of associates and reducing work weeks by roughly 25%, on average, for its remaining associates. $VAC PR link.

Sinclair Broadcast(PBR607 $SBGI) agrees to pay record US Federal Communications Commission $48 million civil penalty and abide by a strict compliance plan in order to close three open investigations per its investigation into the company’s disclosure of information relating to its proposed acquisition of stations owned by Tribune Media. FCC PR link.

Sinclair Broadcast(PBR607) responds to $48 million fine by the US FCC, says it is pleased with the resolution and to be moving forward. $SBGI PR link.

Abercrombie & Fitch(PBR656) had closed stores mid March due to the coronavirus pandemic, to start to reopen stores in locations in N America and the EMEA region where regulations permit following guidance from government health authorities. $ANF PR link.

Danaher(PBR175) President/CEO Thomas P. Joyce Jr to retire on 09/01/20, EVP Rainer M. Blair named as successor. $DHR PR link.

Carlisle Cos(PBR548) Chairman David A. Roberts per mandatory retirement age of 72, President/CEO D. Christian Koch elected to add Chairman role to his responsibilities. $CSL PR link.

Hawaiian Electric(PBR759) Chairman since 2006 Jeff Watanabe retires, Retired Admiral Tom Fargo elected as the new Chairman. $HE PR link.

ADP says the April 2020 US Change In Employment-Small Businesses is at -6,005,000, Mid-Sized -5,269,000, Large-Sized -8,963,000, Total April 2020 -20,236,000, Total March 2020 was at a revised-149,000, Total February 2020 a revised +147,000, Total April 2019 +196,000, ADP PR link.

***Tuesday, May 5

Walgreens Boots Alliance(PBR18) to resume standard store operating hours starting today where permitted by local regulations. $WBA PR link.

Sysco(PBR55) in 3Q20 report says it has reduced its staffing levels by approximately 33% through a combination of temporary workforce furloughs and permanent reductions in force because of the impact to business by the COVID-19 pandemic. $SYY PR link.

United Airlines(PBR73) to slash 30% of management jobs starting in 10/20, at least 3,400 people, due to impact of COVID-19 pandemic. $UAL PR link.

Tyson(PBR75) to resume limited pork and beef production at its Waterloo, IA facility on Thursday, 05/07/20, with all workers being tested for COVID-19, and new health and social distancing rules. $TSN PR link.

Cognizant(PBR190) to acquire privately held Reston, VA based 1,000 employees global consultancy specializing in Workday enterprise cloud applications for finance and human resources Collaborative Solutions, terms not disclosed, to close in 2Q20. $CTSH PR link.

Uber(PBR227 $UBER) and Lyft(PBR868 $LYFT) being sued by the Attorney General of California and City Attorneys of Los Angeles, San Diego, and San Francisco alleging worker misclassification of drivers, says should be classified as employees and have benefits. CA AG Office PR link.

Charles Schwab(PBR291) to introduce Schwab Stock Slices™, will enable investors to own any of America’s leading companies from the S&P 500 for as little as $5 each, even if their shares cost more, to launch 06/09/20, investors can purchase a single stock slice or up to 10 different Stock Slices™ at once, commission-free. $SCHW PR link.

Hertz(PBR315) enters into forbearances and limited waivers with certain of its corporate lenders and holders of its asset-backed vehicle debt, provides Hertz with additional time through 05/22/20 to engage in discussions with its key stakeholders to develop a financing strategy and structure that better reflects the economic impact of the COVID-19 global pandemic and Hertz’ ongoing operating and financing requirements. $HTZ PR link.

Wayfair(PBR337) in 1Q20 report says it has 21.1 million active customers, up 29% from last year, 9.9 million orders delivered in 1Q20, +21% from last year, average order was $235. $W PR link.

Alexion Pharmaceutical(PBR534) to acquire commercial-stage biopharmaceutical company focused on life-threatening blood-related disorders Portola Pharmaceuticals(NASDAQ :PTLA) through a $18/share tender offer, around $1.4 billion, to close 3Q20. $ALXN PR link.

Bloomin’ Brands(PBR611) expects to have 336 total Bloomin’ Brands restaurant dining rooms opened with limited seating capacity across multiple states by the end of the day. $BLMN PR link.

Vornado Realty Trust(PBR867) in 1Q20 report says it has temporarily furloughed 1,803 employees, has collected substantially all rent due for 03/20 and collected 90% of rent due from office tenants for 04/20 and 53% of the rent due from retail tenants for 04/20, or 83% in the aggregate, rent relief and/or rent deferral for 04/20 and beyond has been requested by many retail and some office tenants. $VNO PR link.

The US Dept of Commerce/Census says the Preliminary March 2020 Total Exports-Goods is at $128.1 billion, Services $59.6 billion, Total Exports $187.7 billion, Total Imports-Goods is at $193.7 billion, Services $38.5 billion, Total Imports $232.2 billion, Total March 2020 Deficit $44.5 billion, Total March 2019 Deficit $52.6 billion, Total Exports YTD(3 Months) is at $603.8 billion, Total Imports YTD $733.6 billion, Total Deficit YTD $129.8 billion, March 2019 Total Deficit YTD was at $157.7 billion. USDOC PR link.

The Institute for Supply Management says the April 2020 US Non-Manufacturing Index(<50% = economy contracting) is at 41.8%, March 2020 was at 52.5%, February 2020 57.9%, April 2019 55.5%. “Respondents are concerned about the continuing coronavirus impacts on the supply chain, operational capacity, human resources and finances, as well as the uncertain timelines for the resumption of business and a return to normality.” ISM PR link.

The IHS Markit April 2020 US Composite PMI Output Index is at 27.0, March 2020 was at 40.9, February 2020 49.6, April 2019 53.0. “With hope, infections rates have peaked and the economic downturn should start to ease as virus-related restrictions are lifted. However, while manufacturing may see a rebound in production as increasing numbers of factories are allowed to re-open, prospects look bleaker for many parts of the services economy…” IHS Markit PR link.

The PurdueU/CME Group April 2020 Ag Economy Barometer Composite Index is at 96, March 2020 was at 121, February 2020 168, April 2019 115. “Concerns about the economic outlook for their farms led fewer farmers to think now is a good time to make large investments in their farming operation…” PurdueU/CME Group PR link.

***Monday, May 4

Apple(PBR4) updates the 13-inch MacBook Pro with the new Magic Keyboard, doubles the storage across all standard configurations, offers 10th-generation processors for up to 80% faster graphics performance, starts at $1,299. $AAPL PR link.

GE(PBR33) Aviation unit developing a plan for permanent reductions of it global employee base because of deep contraction of commercial aviation, anticipates it will bring total 2020 reductions to as much as 25%. $GE PR link.

Intel(PBR45) has acquired Moovit, a mobility-as-a-service (MaaS) solutions company, known for its urban mobility application that offers travelers around the world the best multimodal trip planning by combining public transportation, bicycle and scooter services, ride-hailing, and car-sharing, for approximately $900 million. $INTC PR link.

Starbucks(PBR107) expects over 85% of its locations to be open by 05/08/20, 90%+ by early June, based on experience of having 98%+ now open in China operating under revised protocols, now has nearly 20 million people using its mobile app. $SBUX PR link.

Performance Food(PBR161) in 3Q20 report says it has furloughed or eliminated around 3,500 positions. $PFGC PR link.

L Brands(PBR243) and Sycamore Partners mutually agree to terminate Sycamore’s 55% acquisition of Victoria’s Secret unit for $525 million, L Brands still plans to establish Bath & Body Works as a pure-play public company and is preparing the Victoria’s Secret Lingerie, Victoria’s Secret Beauty and PINK businesses (collectively, Victoria’s Secret) to operate as a separate, standalone company; Leslie Wexner steps down as Chairman/CEO, remains on Board as Chairman Emeritus, CFO Stuart Burgdoerfer appointed Interim CEO & remains CFO, Bath & Body Works CEO Andrew Meslow to become L Brands CEO and director Sarah Nash to become L Brands Chairman on 05/14/20 at annual meeting. $LB PR link.

Leidos(PBR281) completes around $1 billion cash acquisition of L3Harris Technologies(PBR459) Security Detection and Automation businesses, which have 200 employees. $LDOS PR link.

NVIDIA(PBR286) to acquire Mountain View, CA-based Cumulus Networks, supports more than 100 hardware platforms with Cumulus Linux, its operating system for network switches, terms not disclosed. $NVDA PR link.

Express(PBR884) to phase in re-openings of its fashion apparel stores, expects to have around 300 open before Memorial Day. $EXPR PR link.

National Fuel Gas(PBR942) to acquire a Royal Dutch Shell plc (NYSE: RDS.A) subsidiary‘s upstream and midstream gathering assets in Pennsylvania for around $541 million, to close on 07/31/20. $NFG PR link.

Discover Financial(PBR229) appoints Board member Thomas Maheras as Chairman, succeeds Lawrence Weinbach who died unexpectedly on 05/01/20. $DFS PR link.

The US Dept of Commerce/Census says the Preliminary March 2020 US Manufacturers New Orders-Durables is at $240.4 billion, Non-Durables $233.2 billion, Total $473.6 billion, -10.3% from February 2020, -11.4% from March 2019. USDOC PR link.

***Friday, May 1

The PBRMarketTools US Stock Exchanges Recap for Week 18 ending 05/01/20:

DJIA ends Week 18 at 23,723.69, -0.22% from last Friday, -2.55% MTD, +8.24% QTD, -16.87% YTD, -19.72% from record 29,551.42 set 02/12/20.

NASDAQ ends Week 18 at 8,604.95, -0.34% from last Friday, -3.20% MTD, +11.75% QTD, -4.10% YTD, -12.35% from record 9,817.18 set 02/19/20.

SPX ends Week 18 at 2,830.71, -0.21% from last Friday, -2.81% MTD, +9.52% QTD, -12.38 YTD, -16.40% from record 3,386.15 set 02/19/20.

The Week 18 News Summary: As numbers from the coronavirus pandemic continue to grow, but apparently at a slower rate, or at least an anticipated slower rate, decisions on how to open up the drivers of the economy are starting to move from the discussion stage to the action stage with the usual tumult of expert voices on all sides of the issues. The emergence from the crisis will be an interesting test for federal, state, and local officials, business leaders, and the public as they work through this. Do not expect it to work perfectly and without some loud noises, especially since it is also an election year. As stated in the month of April recap, the economic reports started showing some of the impact of 2-3 months of the slowdown/shutdown, as well as 1st quarter corporate earnings reports which were starting to be released towards the end of April. However, with the major plunges the stock exchanges experienced in the first quarter, there was a sharp turnaround in April, which ended this week. Nevertheless, the last day of April and 1st day of May were significant down days. Once again, expert opinions are divided about the future. So while The Stock Market Bull took a resounding first victory month in April, The Stock Market Bear managed to just barely claw out a 3-0 win for Week 18. Welcome to a new month, it will be another interesting one for sure.

The Week 18 of 2020 tally YTD is:
The Stock Market Bull: 8 weeks
The Stock Market Bear: 9 weeks
Mixed Results: 1 week

T-Mobile US(PBR69) says its Sprint unit had 538,000 total wireless net additions in 1Q20, total end of period connections were at 54,703,000. $TMUS PR link.

3M(PBR98) completes the around $650 million sale of substantially all of its $380 million in annual revenues drug delivery business to an Altaris Capital Partners affiliate, retains a 17% noncontrolling interest in the new company. $MMM PR link.

Gilead Sciences(PBR134) gets US FDA Emergency Use Authorization for the investigational antiviral remdesivir for the treatment of hospitalized patients with severe COVID-19 disease, Gilead will be donating 1.5 million doses, enough for 140,000+ cases based on a 10-day daily dossage regimen. $GILD PR link.

Spirit AeroSystems(PBR389) to layoff approximately 1,450 hourly and salaried employees at its site in Wichita, KS, as a result of lower demand for commercial aircraft because of the COVID-19 pandemic. $SPR PR link.

TravelCenters(PBR468) commences reorganization, includes reducing its corporate headcount by a total of approximately 130 and eliminating certain positions. $TA PR link.

KeyCorp(PBR396) completes planned leadership transition, Chairman/CEO Beth Mooney retires, Chris Gorman becomes Chairman/CEO. $KEY PR link.

The US Dept of Commerce says the Preliminary March 2020 Construction-Residential Annual Rate is at $557.9 billion, Non-Residential $802.6 billion, Total $1.361 trillion, +0.9% from February 2020, +4.7% from March 2019. USDOC PR link.

The Institute for Supply Management says the Preliminary April 2020 US Manufacturing PMI Index(<50 = economy is contracting) is at 41.5%, March 2020 was at 49.1%, April 2019 52.8%. “Comments from the panel were strongly negative (three negative comments for every one positive comment) regarding the near-term outlook, with sentiment clearly impacted by the coronavirus (COVID-19) pandemic and continuing energy market recession. The PMI® indicates a level of manufacturing-sector contraction not seen since April 2009, with a strongly negative trajectory.” ISM PR link.

IHS Markit says the April 2020 US Manufacturing PMI Index is at 36.1, March 2020 was at 48.5, February 2020 50.7, April 2019 52.6. “As restrictions are lifted, demand should gradually revive, but the trade-off between risking a second wave of infections and bringing the economy back to life looks set to be one of the greatest challenges faced by policy- and lawmakers in recent history. The process will inevitably be led by caution, meaning recovery will also be frustratingly slow.” IHS Markit PR link.

***Thursday, April 30

The PBRMarketTools US Stock Exchanges Recap for the month of April 2020 ending 04/30/20:

DJIA ends April at 24,345.72, +2.40% from last Friday, +11.80% MTD/QTD, -14.69% YTD, -17.62% from record 29,551.42 set 02/12/20.

NASDAQ ends April at 8,889.55, +2.95% from last Friday, +15.45% MTD/QTD, -0.93% YTD, -9.45% from record 9,817.18 set 02/19/20.

SPX ends April at 2,912.43, +2.67% from last Friday, +12.68% MTD/QTD, -9.85% YTD, -13.99% from record 3,386.15 set 02/19/20.

The April 2020 News Summary: It was another month of Coronavirus news and its effect on the world. As of late 04/30/20 the John Hopkins University CSSE COVID-19 Dashboard shows 3,271,692 cases confirmed worldwide with 232,807 deaths. In the US its 1,056,466 cases with 62,850 deaths. The response has included lockdowns, social distancing, temporary closures of businesses and schools, less traffic, and the pleasant side effects of bluer skies and being more aware birds chirping during a greening and flowering springtime. It is hopefully also a time for families to enjoy the playing and laughing with and getting to know better precious little ones. It has also been a time of great collaborations as companies work together to make ventilators, face masks, gowns, and other related medical aids, as well as accelerated development of new tests and vaccines. Medical practices started using telehealth capabilities. Only emergency situations were actively handled at hospitals. Significant internet bandwidth is being used, and seems to be working remarkably well, for on-line meetings, classes, and communications between loved ones. At the end of April some countries, and in the US some states, were starting to relax some restrictions. In the US the federal government launched some aggressive business loans programs and started sending out $1,200 stimulus checks to most adults, $500 for each child. The impact is around $3 trillion of new national debt. Towards the end of the month US economic indices and surveys, with data that often lags a month or two, started showing some of the damage, with just about all sectors down, except for some in technology and pharma. US initial unemployment claims climbed a remarkable 30,000,000 people in April from layoffs and furloughs. There do seem to be some indications that the cases and deaths are leveling off, but because not much is known about COVID-19 there are concerns about the virus recurring again soon and during the next flu season. Efforts to reopen the economy are being received with mixed reactions of optimism and skepticism from politicians, healthcare professionals, business leaders, and the public. Nevertheless, while the US stock exchanges suffered huge losses in February and March, in April there was a major resurgence, with daily activity still having big volatile up and down swings on an almost daily basis. But when the bell rang for April The Stock Market Bear, while still a big presence, lost out to The Stock Market Bull, who finally took over the pasture after some major struggles and prevails to win his first month of 2020 with a 3-0 victory, but there is a lot of ground to make up. Expert opinions remain varied and mixed, with many of them having agendas as well. Stay safe, keep informed, appreciate and thank those on the front lines, and we wish you and your dear ones the best as we all navigate and deal with these uncertain times.

The April 2020 tally YTD is:
The Stock Market Bull: 1 Month
The Stock Market Bear: 2 Months
Mixed Results: 1 Month

Check out the BLOG page for the previous RECAPS and SNAPSHOTS posts.

Click here to follow The PBR1000 on Twitter!

PBRMarketTools.com provides news, data, and analysis on 1,000 of the largest publicly held companies with primary operations in the US. The data and analysis is included in The PBR1000 Monthly Snapshots, an MS-Excel workbook with 15 snapshot worksheets, 28 rankings, and over 200 fields of data and information on each company. Click here to find out more! 

PBRMarketTools.com is an independent business intelligence and analytics service. It is not, nor is it affiliated with, any financial advisory or stock brokerage or related firms.

(Image courtesy of FreeDigitalPhotos.net, Stuart Miles)

Copyright © 2020, All Rights Reserved, Pax Business Resources, LLC.