Asia Stocks Rise, Extend Weekly Gain, as U.S. Growth Improves
Trading started strong this week in Asia, boosting stocks in Japan, China, and Hong Kong. The rise is credited to an announcement that Japan’s Government Pension Investment Fund will increase holdings of equities, as well as data of US economic growth in the pat quarter.
The American economy expanded at a more-than-estimated annualized rate of 3.5 percent last quarter, capping its strongest six months in a decade, while other data showed fewer Americans filed applications for unemployment benefits over the past month than at any time in more than 14 years.
“Stronger than expected U.S. GDP growth was good enough to remind investors that the early stages of rate increase cycles are usually good times for stock markets,” said Ric Spooner, Sydney-based chief market analyst at CMC Markets Plc. “It’s providing a solid end to the trading week.”
Citigroup Cuts Already-Reported Earnings, Cites $600 Million In Legal Accruals
Despite reports of a strong 3rd quarter of growth, finance giant Citigroup is taking a major hit due to legal accruals, which have stacked up amidst investigations into the company. As it turns out, things weren’t as good as they made them out to be. The $600 million in accrued losses not only hurts the company financially, but is also sparking doubts into the structure and integrity of management, who have been criticized as of late.
Citi cited “rapidly-evolving regulatory inquiries and investigations, including very recent communications with certain regulatory agencies related to previously-disclosed matters” as the cause of a $600 million increase in “legal accruals” that lowered net income to $2.8 billion from the previously-reported $3.4 billion. That drops earnings per share to 88 cents, from $1.07, and sent shares of Citi down almost 2% in after-hours trading.
A 10-Q for the third quarter filed shortly after Citi’s statement details the litany of current litigation the bank is ensnared in, including an ongoing investigation into foreign exchange improprieties by global banks. Citi said its currency business is the target of civil and criminal investigations or inquiries from the Department of Justice, CFTC, U.K. financial conduct authority and Swiss Competition Commission.
How E-Commerce Is Finally Disrupting The Massive $600 Billion Grocery Industry
E-commerce is hot right now. We all know about Alibaba, and its record-setting IPO. Amazon is still dominant in the US markets, and startups all over the world are challenging traditional shopping methods by going online, and offering affordable, and innovative services. But one industry that has been left relatively unchallenged is the Grocery industry. That, as Business Insider sees, may be changing fast. Check out their data graphics in the link below the text:
Since the early days of the internet, entrepreneurs have dreamed of moving grocery shopping online. It’s finally starting to happen. We’ve created these slides to preview our report on how e-commerce is finally beginning to carve up the groceries market, the biggest untapped e-commerce opportunity. Americans spend $600 billion a year on groceries, the largest retail category by far. Less than 1% of those sales occur online. Same-day delivery services, specialty grocers, and meal-preparation businesses will drive fast growth in online groceries — much faster rate than offline.
Source: Business Insider
Equity Crowdfunding Online: Some simple steps to success
Are you trying to get the most out of your crowdfunding efforts? If you want to stay competitive, and reach the biggest audience possible, then online is the way to go. Technology now allows us to network more than ever, and when raising finances for your business, who you network with is critical. But, how do you know if you’re doing it right? Here are some simple steps from one of our latest blog posts, and a bit of background on how to build good crowdfunding habits online.
One of the reasons why online crowdfunding is so popular is the JOBS Act. The JOBS Act, or Jumpstart Our Business Startups Act, has made it easier for independent businesses and entrepreneurs to raise capital, and in a way, leveled the playing field for people who are new to their industry, or who don’t have a big financial or brand platform to back them up. Wikipedia provides a good summary of the act as follows:
The Jumpstart Our Business Startups Act or JOBS Act, is a law intended to encourage funding of United States small businesses by easing various securities regulations. It passed with bipartisan support, and was signed into law by President Barack Obama on April 5, 2012. The term “The JOBS Act” is also sometimes used informally to refer to just Titles II and III of the legislation, which are the two most important pieces to much of the crowdfunding and startup community. Title II went into effect on September 23, 2013. Title III is still pending.
Read more about Equity Crowdfunding