Latest news with #MedhaSingh
Yahoo
12-05-2025
- Business
- Yahoo
Sterling falls against dollar, firms versus euro, yen after US-China tariff deal
By Medha Singh (Reuters) -The pound slumped against a stronger dollar on Monday but firmed against the euro and yen as the United States and China temporarily cut reciprocal tariffs following negotiations over the weekend. The U.S. and China agreed to temporarily slash tariffs in a deal that surpassed expectations as the de-escalation in the trade war between the world's two biggest economies sparked risk appetite globally. Sterling dropped 1% to a four-week low at $1.318, while the euro dipped 0.3% to a more than five-week low at 84.33 pence. The UK has closed two trade deals this month, with the U.S. and India. Meanwhile, the Bank of England cut interest rates on May 8 by a quarter of a point, although a surprising three-way split among policymakers highlighted how Trump's tariffs continue to cloud the economic outlook. "The pound has received support from an improved trade picture for the UK as well as from a hawkish-leaning Bank of England," said ING strategist Francesco Pesole. "Positioning imbalances, improved risk sentiment, and the upcoming EU-UK summit on May 19 may well keep EUR/GBP pressure, with a break below 0.840 now appearing increasingly likely." Britain's foreign minister will host European peers on Monday to discuss support for Ukraine and greater regional defence cooperation in the run-up to Prime Minister Keir Starmer's summit with European Union leaders next week. Starmer is hoping on May 19 to clinch a new defence agreement with the bloc and improve post-Brexit trade ties. Apart from U.S. inflation and retail sales data, it is also a busy week for UK economic data that could offer hints on the BoE's next steps. Britain's employment data is due on Tuesday, while GDP and manufacturing data will be released on Thursday. Bank of England monetary policymaker Megan Greene and BoE Deputy Governor Clare Lombardelli said inflation measures were moving in the right direction but the latter warned she was still cautious and would wait for evidence of the slowdown. Among major developed market currencies (G10), sterling tends to be more volatile and sensitive to risk sentiment than traditional safe havens like the Japanese yen and Swiss franc. It rose 1% at 195.31 versus the Japanese currency. The dollar index surged to a more than one-month high as investors priced in fewer interest rate cuts from the U.S. Federal Reserve.
Yahoo
28-04-2025
- Business
- Yahoo
Corporate America boosts security spending after UnitedHealth murder, filings show
(Corrects Broadcom's spending on CEO security to $1.37 million, from $1.37 billion, in paragraph 16) By Medha Singh and Mariam Sunny (Reuters) -U.S. corporations have been ramping up their security spending, but following the murder of UnitedHealth executive Brian Thompson that expenditure is set to rise further in 2025 as more companies see heightened threats to their top brass. At least a dozen S&P 500 companies have flagged an increase in security risks, a Reuters analysis of the proxy statements - or annual disclosures to shareholders - showed. Blue-chip companies such as Walmart, General Motors, American Express and chipmaker Broadcom have disclosed new or increased security expenses from previous years. "The number of customers requiring assessments and executive protection has increased 10 to 15 times the number prior to December 4," said Glen Kucera, president at security services firm Allied Universal, which serves more than 80% of Fortune 500 companies. UnitedHealth spent $1.7 million on security for its top executives in 2024, the first time it disclosed the detail in its proxy statement on April 21. Its insurance unit CEO, Thompson, was shot dead on December 4 in a targeted attack in New York that raised fears among executives over threats to their safety. UnitedHealth rival Elevance Health cited an "enhanced security risk environment" to raise security benefits, while Johnson & Johnson, Eli Lilly, and pharmacy chain Walgreens reported additional expenses. Of the 208 S&P 500 companies that have filed their annual proxy statement for fiscal 2024, about 31.3% of them granted a security perk to at least one of their named executive officers, according to Equilar, an executive compensation research firm. That expense rose to a median of $94,276, up from $69,180 in 2023, based on disclosures from roughly a quarter of the companies. In 2022, when 23.1% of companies reported security spending, the median was $40,917, Equilar told Reuters. Because Thompson's murder took place late in the year, compensation experts said proxy statements for 2025 will likely show an even greater increase in security spending. "We anticipate that security-related costs and perquisites will likely increase in terms of the amount of imputed income that's disclosed in proxies but also the prevalence," said David Kokell, head of U.S. compensation research at Institutional Shareholder Services. TOP EXECUTIVE THREAT CEOs and other prominent executives can become lightning rods for anger directed toward broader organizations, leading to more spending on security, even though it is still a small fraction of a company's annual business expenses. General Motors said increased security would be offered to CEO Mary Barra and President Mark Reuss after a recent assessment. Broadcom spent $1.37 million on CEO Hock Tan's security in 2024 but did not give the number for prior years, while credit card giant American Express' spending on security perks more than doubled from 2023 and is expected to increase in 2025. Other companies that boosted protection include utility companies Edison International and CenterPoint Energy, as well as Warner Bros Discovery. A vast majority of companies do not outline their security costs. Only 18% of S&P 500 and 5% of Russell 3000 companies disclosed personal and home security as a CEO compensation perquisite, according to 2024 data from The Conference Board. A full picture of the increase in spending will only emerge by September when more companies file their reports or next year, analysts said. Companies are also expanding the security cover to more executives and public events, experts said in the aftermath of Thompson's murder, which took place outside a Midtown Manhattan hotel where UnitedHealth was holding an investor conference. The scope "has actually expanded", John Gainer, vice president at security firm TorchStone Global, said. "It starts with the CEO, then the C-suite, and now increasingly includes the board—especially when it comes to public-facing events like board or shareholder meetings."
Yahoo
28-04-2025
- Business
- Yahoo
Analysis-Corporate America boosts security spending after UnitedHealth murder, filings show
By Medha Singh and Mariam Sunny (Reuters) -U.S. corporations have been ramping up their security spending, but following the murder of UnitedHealth executive Brian Thompson that expenditure is set to rise further in 2025 as more companies see heightened threats to their top brass. At least a dozen S&P 500 companies have flagged an increase in security risks, a Reuters analysis of the proxy statements - or annual disclosures to shareholders - showed. Blue-chip companies such as Walmart, General Motors, American Express and chipmaker Broadcom have disclosed new or increased security expenses from previous years. "The number of customers requiring assessments and executive protection has increased 10 to 15 times the number prior to December 4," said Glen Kucera, president at security services firm Allied Universal, which serves more than 80% of Fortune 500 companies. UnitedHealth spent $1.7 million on security for its top executives in 2024, the first time it disclosed the detail in its proxy statement on April 21. Its insurance unit CEO, Thompson, was shot dead on December 4 in a targeted attack in New York that raised fears among executives over threats to their safety. UnitedHealth rival Elevance Health cited an "enhanced security risk environment" to raise security benefits, while Johnson & Johnson, Eli Lilly, and pharmacy chain Walgreens reported additional expenses. Of the 208 S&P 500 companies that have filed their annual proxy statement for fiscal 2024, about 31.3% of them granted a security perk to at least one of their named executive officers, according to Equilar, an executive compensation research firm. That expense rose to a median of $94,276, up from $69,180 in 2023, based on disclosures from roughly a quarter of the companies. In 2022, when 23.1% of companies reported security spending, the median was $40,917, Equilar told Reuters. Because Thompson's murder took place late in the year, compensation experts said proxy statements for 2025 will likely show an even greater increase in security spending. "We anticipate that security-related costs and perquisites will likely increase in terms of the amount of imputed income that's disclosed in proxies but also the prevalence," said David Kokell, head of U.S. compensation research at Institutional Shareholder Services. TOP EXECUTIVE THREAT CEOs and other prominent executives can become lightning rods for anger directed toward broader organizations, leading to more spending on security, even though it is still a small fraction of a company's annual business expenses. General Motors said increased security would be offered to CEO Mary Barra and President Mark Reuss after a recent assessment. Broadcom spent $1.37 billion on CEO Hock Tan's security in 2024 but did not give the number for prior years, while credit card giant American Express' spending on security perks more than doubled from 2023 and is expected to increase in 2025. Other companies that boosted protection include utility companies Edison International and CenterPoint Energy, as well as Warner Bros Discovery. A vast majority of companies do not outline their security costs. Only 18% of S&P 500 and 5% of Russell 3000 companies disclosed personal and home security as a CEO compensation perquisite, according to 2024 data from The Conference Board. A full picture of the increase in spending will only emerge by September when more companies file their reports or next year, analysts said. Companies are also expanding the security cover to more executives and public events, experts said in the aftermath of Thompson's murder, which took place outside a Midtown Manhattan hotel where UnitedHealth was holding an investor conference. The scope "has actually expanded", John Gainer, vice president at security firm TorchStone Global, said. "It starts with the CEO, then the C-suite, and now increasingly includes the board—especially when it comes to public-facing events like board or shareholder meetings."
Yahoo
28-04-2025
- Business
- Yahoo
Analysis-Corporate America boosts security spending after UnitedHealth murder, filings show
By Medha Singh and Mariam Sunny (Reuters) -U.S. corporations have been ramping up their security spending, but following the murder of UnitedHealth executive Brian Thompson that expenditure is set to rise further in 2025 as more companies see heightened threats to their top brass. At least a dozen S&P 500 companies have flagged an increase in security risks, a Reuters analysis of the proxy statements - or annual disclosures to shareholders - showed. Blue-chip companies such as Walmart, General Motors, American Express and chipmaker Broadcom have disclosed new or increased security expenses from previous years. "The number of customers requiring assessments and executive protection has increased 10 to 15 times the number prior to December 4," said Glen Kucera, president at security services firm Allied Universal, which serves more than 80% of Fortune 500 companies. UnitedHealth spent $1.7 million on security for its top executives in 2024, the first time it disclosed the detail in its proxy statement on April 21. Its insurance unit CEO, Thompson, was shot dead on December 4 in a targeted attack in New York that raised fears among executives over threats to their safety. UnitedHealth rival Elevance Health cited an "enhanced security risk environment" to raise security benefits, while Johnson & Johnson, Eli Lilly, and pharmacy chain Walgreens reported additional expenses. Of the 208 S&P 500 companies that have filed their annual proxy statement for fiscal 2024, about 31.3% of them granted a security perk to at least one of their named executive officers, according to Equilar, an executive compensation research firm. That expense rose to a median of $94,276, up from $69,180 in 2023, based on disclosures from roughly a quarter of the companies. In 2022, when 23.1% of companies reported security spending, the median was $40,917, Equilar told Reuters. Because Thompson's murder took place late in the year, compensation experts said proxy statements for 2025 will likely show an even greater increase in security spending. "We anticipate that security-related costs and perquisites will likely increase in terms of the amount of imputed income that's disclosed in proxies but also the prevalence," said David Kokell, head of U.S. compensation research at Institutional Shareholder Services. TOP EXECUTIVE THREAT CEOs and other prominent executives can become lightning rods for anger directed toward broader organizations, leading to more spending on security, even though it is still a small fraction of a company's annual business expenses. General Motors said increased security would be offered to CEO Mary Barra and President Mark Reuss after a recent assessment. Broadcom spent $1.37 billion on CEO Hock Tan's security in 2024 but did not give the number for prior years, while credit card giant American Express' spending on security perks more than doubled from 2023 and is expected to increase in 2025. Other companies that boosted protection include utility companies Edison International and CenterPoint Energy, as well as Warner Bros Discovery. A vast majority of companies do not outline their security costs. Only 18% of S&P 500 and 5% of Russell 3000 companies disclosed personal and home security as a CEO compensation perquisite, according to 2024 data from The Conference Board. A full picture of the increase in spending will only emerge by September when more companies file their reports or next year, analysts said. Companies are also expanding the security cover to more executives and public events, experts said in the aftermath of Thompson's murder, which took place outside a Midtown Manhattan hotel where UnitedHealth was holding an investor conference. The scope "has actually expanded", John Gainer, vice president at security firm TorchStone Global, said. "It starts with the CEO, then the C-suite, and now increasingly includes the board—especially when it comes to public-facing events like board or shareholder meetings." Sign in to access your portfolio
Yahoo
03-04-2025
- Business
- Yahoo
Trump tariffs set stage for wave of profit warnings
By Medha Singh (Reuters) - U.S. businesses have talked a lot about tariffs in the past few months, but very few modeled for them in their earnings outlooks. With President Donald Trump's multi-front trade war now in full effect, investors and analysts expect a barrage of corporate profit warnings in the coming weeks that could jolt the stock market. Trump's escalation of threats to major world economies since returning to office in January has increased fears that inflation will rise and disrupt economic growth. The U.S. benchmark S&P 500 closed out its worst quarter in more than three years at the end of March. Tariffs of 10% across all imports to the United States, along with much higher levies on dozens of countries, are now set to take hold just about a week before big U.S. lenders kick off the quarterly reporting season, and companies now need to factor in the rapid deterioration of business and consumer sentiment and falling optimism among company finance chiefs. Throughout the first three months of 2025, tariffs were mentioned more than 800 times on investor events or conference calls by non-financial companies globally, according to S&P Global Market Intelligence, highest in at least 15 years and nearly double the level seen during Trump's first trade war in 2018-2019. However, only about 88 U.S. companies specifically mentioned they had not modeled tariff impact into their forecast as the global trade outlook was still evolving, according to S&P. Numerous others were non-specific as to whether they had modeled the potential effect of tariffs - leaving open the possibility of numerous surprises on conference calls this quarter. Wall Street analysts still expect record profit in 2025, leaving room for more potential downgrades. S&P 500 profits are expected to rise 8% year-over-year for the quarter as of March 28, down from a 12% growth forecast on Jan. 17, according to data compiled by LSEG. "CEOs will latch onto an opportunity to lower expectations even if it's painful - they can just say it's the stupid tariffs, or headwinds, or currency conversion," said Mark Malek, chief investment officer at Siebert Financial in New York. The fears about tariffs have introduced an element of uncertainty into the economy, with consumers and businesses in some cases putting off purchases as the White House's on-again, off-again approach to tariffs made the environment more unpredictable. That may benefit some companies in the short-term - car sales were notably strong in March, increasing the likelihood for strong figures from Ford and General Motors. But other companies rapidly brought in inventories, which could be a drag on results for other sectors. "What I think is most meddlesome at the moment, though, is simply the unknown element, the rapidity with which each incremental wave of tariff has been announced," Skechers Chief Financial Officer John Vandemore said. "All that is creating a significant amount of unknowns. And that's just very difficult to plan against." ESTIMATES PARED Investor earnings calls throughout the first quarter of 2025 followed something of a pattern - an executive would note the concerns about tariffs, and then mention that they had not modeled for such levies in their profit and earnings assumptions for the coming quarters. Expect that to continue, analysts said. "I would continue to expect most companies, if not the vast majority of them, to say in this upcoming earnings report that they do not have visibility, therefore they're not going to forecast the impact of tariffs," D.A. Davidson analyst Gil Luria said. "And worse yet, they're likely to not forecast and provide as much guidance as they would have otherwise." Morgan Stanley said the industries most likely to feel tariff pain are consumer discretionary goods, tech hardware and capital goods. Among those, the capital goods sector has the strongest pricing power, and is more likely to pass on additional costs to its customers, while consumer discretionary companies do not have the same luxury as consumers are already stressed about inflation, strategists said. "With more clarity on tariffs, C-suites will need to adjust guidance through the 1Q reporting period," Citi U.S. equity strategist Scott Chronert said, adding he expects cuts to 2025 estimates in the next few weeks. Analysts expect year-over-year earnings declines in the consumer staples, energy, materials and real estate sectors in the first quarter, according to data compiled by LSEG. "Managing risk from tariffs is likely to be an ongoing, dynamic process for the duration of the second Trump administration as tariff threats continue to linger," Morgan Stanley strategists led by Michael Wilson said in a note on Monday. Sign in to access your portfolio
