Dave Lutz of Stifel, Nicolaus kindly passes along the top stories that traders are reading about this weekend:
The Guardian: China has condemned Shinzo Abe, the Japanese prime minister, for “maliciously slandering” its self-proclaimed air defence zone, ratcheting up the war of words between the neighbours over Beijing’s annexation of the skies over a group of disputed islands.
Reuters: The European Union said on Sunday it was suspending further work with Ukraine on an ambitious trade and cooperation agreement because the government in Kiev had failed to give a clear commitment to signing the deal.
WSJ: Senate GOP Finds Faults in Budget Deal – The budget deal the House passed with a resounding margin is facing stiffer opposition in the Senate from Republicans who oppose proposed spending increases and cuts in veterans’ retirement benefits
FT: US Senate deal sets up trade policy battle – New measure likely to split both parties – Mr Obama will need the bill to ensure that his ambitious second term trade agenda — including sweeping deals with Pacific Rim nations and the European Union — will not get bogged down in political gridlock.
WSJ: If former Federal Reserve Vice Chair Donald Kohn were still on the central bank’s policy-setting committee at its meeting next week, he would recommend policy makers hold off until next year before pulling back on their bond-buying program.
NYT: Energy Secretary Calls Oil Export Ban Dated – Ernest Moniz, the energy secretary, says it is time to reconsider an export ban that stemmed from the oil embargoes of the 1970s.
Bloomberg: Libya Eastern Oil Ports to Stay Shut – A Libyan rebel leader refused to hand over the control of three oil ports to the government and signaled that the OPEC member’s eastern region would from now on control its own crude reserves
Barron’s: Barron’s Cover – An Upbeat View of 2014 – Wall Street strategists expect stocks to rise 10%, boosted by a stronger economy and fatter corporate profits. Bullish on tech, industrials.
Barron’s: A different Barron’s article follows with — “Time to Brace for a 20% Correction” – Ned Davis Research expects a 2014 buying opportunity. How to play the decline-and-recovery scenario.
Barron’s: Tax-loss selling is a perennial feature of CEFs. But this year the trend looks especially pronounced thanks to an unusual confluence of events which are driving the market’s discounts to the widest in more than two years.
WSJ: Sprint Working on a Bid for T-Mobile – Sprint is working toward a possible bid for rival T-Mobile US, setting the stage for a giant telecom merger that if permitted by regulators would leave the U.S. wireless market dominated by three big companies.
Financial Post: Canada’s Competition Bureau is proceeding with a formal inquiry into Google’s search engine and advertising practices after a preliminary probe led investigators to believe the Silicon Valley giant is abusing its position.