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Auto Workers’ Strike Heats Up at GM Plants Nationwide Saudi Oil

What’s Attack
News Originated
Business & Finance
In Iran,
A panel of international
air-safety regulators is
finishing a report that is ex-
U.S. Says
pected to criticize the initial Riyadh asks U.N. to
U.S. approval process for
Boeing’s 737 MAX jets. A1 investigate the raids,
 Amazon has adjusted its as Trump says he
product-search system to hopes to avoid a war
more prominently feature
listings that are more profit-
U.S. intelligence indicates
able for the firm, a move that
Iran was the staging ground
could favor its own brands. A1
for a debilitating attack on
 WeWork’s parent is ex- Saudi Arabia’s oil industry,
pected to postpone its IPO af- people familiar with the matter
JAKE MAY/THE FLINT JOURNAL/ASSOCIATED PRESS

ter investors questioned how said, as Washington and the

much the company is worth kingdom weighed how to re-
and raised doubts about its spond and oil prices soared.
corporate governance. A1
 Oil prices logged one of By Dion Nissenbaum
their largest rallies ever, high- in Beirut,
lighting anxiety that attacks Summer Said in Dubai
on Saudi Arabia’s oil industry and Jared Malsin
could present a new threat in Tunis, Tunisia
to the global economy. A11
Monday’s assessment, which
 Saudi officials are dis-
the U.S. hasn’t shared publicly,
cussing delaying Aramco’s
came as President Trump said
planned IPO in the wake of
FACEOFF: Union members and labor supporters protested outside General Motors’ Flint, Mich., plant on Monday, as thousands of United he hoped to avoid a war with
the weekend raids. A11
Auto Workers members walked off the job at factories around the country. The work stoppage could cost GM up to $100 million a day. B1 Iran and as Saudi Arabia asked
 Shares of U.S. energy
United Nations experts to help
producers surged, with a
determine who was responsi-
range of companies closing

International Panel to Rebuke

ble for the airstrikes.
more than 10% higher. B1
The attack sent Brent crude,
 The Dow snapped an
the international benchmark
eight-session winning streak
for crude prices, soaring 15% to
and haven assets rallied.
$69.02 a barrel on Monday, the

FAA Over 737 MAX Approval

The blue chips lost 0.5%. B11
largest gain recorded in over
 GM stands to lose as three decades. Higher fuel
much as $100 million a prices pose another threat to
day if a strike by 46,000 the world economy amid a
auto workers at more than U.S.-China trade dispute, al-
30 factories continues. B1 though Saudi and U.S. officials
BY ANDY PASZTOR task force is poised to call out sharing with foreign authori- was grounded world-wide in said they would ensure that
 Two traders and one for-
AND ANDREW TANGEL the Federal Aviation Adminis- ties during its original certifi- March after the crashes. The the oil market remains well
mer executive at JPMorgan
tration for what it describes cation of the MAX two years planes nosedived after re- supplied.
were charged with manipu-
A panel of international air- as a lack of clarity and trans- ago, along with relying on peated misfires of an auto- U.S. officials shared with
lating prices for precious-
safety regulators is finishing a parency in the way the FAA mistaken industrywide as- mated flight-control system, Saudi Arabia the intelligence
metals futures contracts. B11
report expected to criticize delegated authority to the sumptions about how average called MCAS, which pushed reports and their assessment
 The U.S. is poised to the initial U.S. approval pro- plane maker to assess the pilots would react to certain down the noses of both air- that Iran launched more than
impose new tariffs on EU cess for Boeing Co.’s 737 MAX safety of certain flight-control flight-control emergencies. craft despite efforts by their 20 drones and at least a dozen
exports over the bloc’s jets, according to people features. The upshot, accord- FAA officials have said they pilots to pull the planes out of missiles at the Saudi oil facili-
subsidies to Airbus, the briefed on the conclusions, ing to some of these people, is are devising new pilot-reac- their steep dives. Please turn to page A10
EU’s trade chief said. B3 while urging a wide-ranging that essential design changes tion guidelines after two fatal The multiagency panel, cre-
reassessment of how complex didn’t receive adequate FAA crashes. ated by the FAA in April and  Gerald F. Seib: Oil strikes chill
World-Wide automated systems should be attention. Expected to be released in called the Joint Authorities diplomacy..................................... A4
certified on future airliners. The report, these officials the next few weeks, the docu- Please turn to page A4  Saudi officials consider delay
As part of roughly a dozen said, also is expected to fault ment would be the first offi- in Aramco IPO......................... A11
 U.S. intelligence indicates findings, these government the agency for what it de- cial outside review of MAX  EU awaits new tariffs in  Heard on the Street: Oil-price
Iran was the staging ground and industry officials said, the scribes as inadequate data certification since the fleet Airbus feud.................................. B3 rise painful for China.......... B12
for the attack on the Saudi
oil industry, people familiar
with the matter said. Wash-
ington and Riyadh weighed
how to respond. A1, A11
INSIDE Amazon Search Change
 Discord between the FTC
and Justice Department has
grown as both assert au-
thority to investigate big
Boosts Its Own Products
tech firms, with Facebook a
GENE J. PUSKAR/ASSOCIATED PRESS

key point of contention. A3

 State prosecutors in
E-commerce giant overcame internal dissent from engineers, lawyers
New York have subpoe-
naed eight years of Trump’s BY DANA MATTIOLI than a decade—the site also gives a boost to
tax returns from his long- items that are more profitable for the com-
time accounting firm. A3 Amazon.com Inc. has adjusted its product- pany.
search system to more prominently feature The adjustment, which the world’s biggest
ISTOCK

 Purdue Pharma’s bank-

ruptcy filing sets up a show- listings that are more profitable for the com- online retailer hasn’t publicized, followed a
pany, said people who worked on the proj- yearslong battle between executives who run
down with law-enforcement
officials who are seeking to
LIFE & ARTS JASON GAY ect—a move, contested internally, that could Amazon’s retail businesses in Seattle and the
Deciding what to do An 0-2 start doesn’t favor Amazon's own brands. company’s search team, dubbed A9, in Palo
rein in the opioid industry. A2
Late last year, these people said, Amazon Alto, Calif., which opposed the move, the
 A House committee is
when your child ensure a season of optimized the secret algorithm that ranks people said.
launching an ethics inquiry clashes with the NFL misery, but it also listings so that instead of showing customers Any tweak to Amazon’s search system has
into whether Chao is using teacher A13 may be time to bail A16 mainly the most-relevant and best-selling broad implications because the giant’s rank-
her role as DOT secretary listings when they search—as it had for more Please turn to page A12
to benefit her family. A4
 The EU’s top official told
Johnson the bloc is still await-
ing concrete proposals from
You May Be WeWork’s Parent Is Set
London on an Ireland “back-
A Winner,
stop,” damping hopes for a
swift Brexit breakthrough. A6
Take the Deed
To Delay Troubled IPO
 Macron is proposing to

Twice as nice.
overhaul France’s pension i i i BY MAUREEN FARRELL whether it can thrive as a pub-
system, long seen as a third lic company.
rail of the nation’s politics. A6 Owners offer hard- WeWork’s parent is expected We Co., as the company is
 Spain’s National Court or- to postpone its initial public of- officially known, had been val-
dered Venezuela’s ex-spy chief to-sell properties fering after investors questioned ued at $47 billion in a fundrais-
how much the company is worth ing exercise this year with Soft- With 2X the revenues of our closest
released from jail, rejecting
a U.S. extradition request. A6 in contests and raised concerns about its Bank Group Corp., but in recent competitor — IDC ranks us #1 in
corporate governance. days its executives and under- Hyperconverged Infrastructure.
 The Solomon Islands BY ETHAN MILLMAN The shared-workspace com- writers had become resigned to
decided to break off diplo- pany—which had planned to be- something closer to between
matic relations with Taiwan Now on the market is a 56- gin a roadshow to market the $15 billion and $20 billion or Learn more at DellTechnologies.com/VxRail
and ally itself with China. A8 acre treehouse resort in shares as early as Monday ahead possibly lower, people familiar
Stoneham, Maine. It has of a trading debut next week—is with the matter said.
 Died: Paul Ingrassia, 69,
breathtaking views, a private likely to shelve the offering until “The We Company is looking
Pulitzer-winning journalist. A2
mountaintop hiking trail and at least next month, people fa- forward to our upcoming IPO,
three luxury rental units that miliar with the matter said. which we expect to be com-

#1
CONTENTS Markets..................... B11 sit high off the ground among The move reflects the diffi- pleted by the end of the year.
Banking & Finance. B10 Opinion.............. A17-19
Business News.. B3,6 Sports........................ A16 red oaks and birches. culty the company, along with We want to thank all of our
Capital Journal...... A4 Technology............... B4 For a $99 entry fee and an its co-founder and chief execu- employees, members and part-
Crossword.............. A14 U.S. News............. A2-4 original nature-themed photo, tive, Adam Neumann, have had ners for their ongoing commit- $587M
Heard on Street. B12 Weather................... A14
Life & Arts...... A13-15 World News...... A6-11
it could all be yours. getting the offering off the ment,” We said in a statement $256M
When most property own- ground, even after dramatically Monday night.
$84M
ers are ready to move on, they slicing its valuation and re- In addition to lowering the
> rely on the traditional real-es- vamping its governance. fundraising target, the com-
tate market. A few are going a It is a blow for a company pany has spelled out a series of
Dell Technologies Nutanix HPE
more unusual route and turn- that had been one of the most governance changes, including
ing to sweepstakes-style com- richly valued of a raft of start- adding a lead independent di- Source: IDC Quarterly Converged Systems Tracker 1Q 2019. Numbers represent
s 2019 Dow Jones & Company, Inc.
petitions to drum up inter- ups planning to go public in a rector and ratcheting back the Dell Technologies revenue for the hyperconverged systems segment for CY19Q1.
All Rights Reserved ested takers. banner year for IPOs, but has potency of Mr. Neumann’s su-
Please turn to page A12 been dogged by doubt over Please turn to page A2
 A2 | Tuesday, September 17, 2019 * ***** THE WALL STREET JOURNAL.

U.S. NEWS
Purdue Seeks Shield for Sacklers
BY PEG BRICKLEY to litigation with the company general, mostly Democrats, In Purdue’s case, the major terests. The offer of a self-in-
Pulitzer
Winner
AND SARA RANDAZZO

OxyContin maker Purdue

directly, it said.
Purdue has the backing of
24 states and thousands of lo-
who haven’t signed on to Pur-
due’s settlement.
Purdue has agreed to sur-
creditors are the states and
municipalities that have sued
the company and the Sacklers
junction, he said, could be a
move to persuade the judge to
extend the stay to the states.
Chronicled
Pharma LP’s bankruptcy filing
sets up a showdown with law-
enforcement officials seeking
cal governments for a multi-
billion-dollar settlement of lit-
igation over the nation’s
render itself to creditors as
part of a proposed deal. But
the states still opposed say
over their alleged role in the
spread of drug addiction.
Some 2,500 lawsuits have
“If the court concludes
these are pecuniary claims,
then the government just
Detroit
to rein in the industry they opioid addiction crisis. the Sacklers need to contrib- been brought by U.S. states, starts looking like any other BY JAMES R. HAGERTY
blame for causing the national But with other states de- ute more than the $3 billion municipalities, Native Ameri- creditor,” Mr. Lipson said.
opioid epidemic. manding that the company minimum they have offered can tribes and others accusing The bankruptcy filing is Paul Ingrassia, a Pulitzer
Hours after seeking bank- and the Sacklers pay more over seven years. companies in the pharmaceu- likely to remove Purdue from Prize-winning journalist for
ruptcy protection for the com- than what they have offered, “If they think they can use tical industry, including Pur- a key trial slated for October The Wall Street Journal who
pany Sunday night, Purdue’s extending the bankruptcy bankruptcy to escape account- due, of driving addiction. in the cases of two Ohio coun- was one of the
lawyers said they would ask a shield to the family will likely ability, after creating the A bankruptcy filing auto- ties as part of the consolida- OBITUARY leading chron-
judge to issue an injunction create a dispute in bankruptcy worst public-health crisis of matically blocks ordinary law- tion of thousands of opioid PAUL iclers of the
that would halt legal hostili- court. our time, they are mistaken,” suits but leaves an opening cases in front of U.S. District INGRASSIA auto industry
ties from attorneys general Massachusetts Attorney Ms. Healey said. for states to go beyond seek- Judge Dan Polster in Cleve- 1950-2019 for more than
who won’t sign on to a settle- General Maura Healey, who Purdue has argued that al- ing money damages and en- land. three decades,
ment the drugmaker has of- has pursued the Sacklers in lowing continued litigation in force police and regulatory Purdue is also working to died on Monday in Naples,
fered. The company’s owners, state court, said she would other courts would only sap powers. resolve civil and criminal Fla., where he had been under
members of the wealthy Sack- oppose the settlement and money from the company’s Jonathan Lipson, who probes by multiple Justice De- treatment for pancreatic can-
ler family, are entitled to a any attempt to stop her claims creditors and be fatal to a teaches bankruptcy law at partment offices, the company cer. He was 69.
shield from litigation, Purdue from going forward. The cur- comprehensive deal. The Temple University, said the said in filings, but isn’t asking Mr. Ingrassia, who also
said it would argue. rent settlement doesn’t go far brewing clash pits the power judge will look at whether the the bankruptcy court to inter- served as managing editor of
Government claims against enough to hold the Sacklers of states to protect public holdout state attorneys gen- vene in those actions. the Thomson Reuters news
the Sacklers, as well as Pur- accountable, she said. safety against the power of a eral are simply looking for service and president of Dow
due’s directors and officers, Ms. Healey is among about bankruptcy judge to halt more money from the Sacklers  Heard on the Street: Opioid Jones Newswires, was the au-
are “inextricably intertwined” two dozen state attorneys value-destroying lawsuits. or protecting other public in- makers’ rally likely to stall... B12 thor of three books vividly de-
scribing pivotal moments in

U.S. WATCH
the car business.
In 1993, when he was chief
of the Journal’s Detroit bu-
reau, he and his deputy, Jo-
seph B. White, won a Pulitzer
for their reporting on turmoil
at General Motors, including
major losses, factory closings
and the ouster of Chairman
Robert C. Stempel.
“Paul Ingrassia was not just
one of the most accomplished
journalists to ever work at
Dow Jones, but one of its
smartest, most decent and
most caring leaders,” said
Matt Murray, editor in chief
of the Journal. “His fortitude,
spine of steel and deep dedi-
cation to the highest princi-
ples of journalism set an ex-
ample for the rest of us on
how to do our jobs and how to
live our lives.”
Mr. White recalled Mr. In-
grassia’s “gift for being able
to strike up friendships and
personal relationships with
people who were running the
car companies—not just at the
high levels but at the middle
levels.” Mr. Ingrassia asked
the toughest questions in a
polite, rather than prosecuto-
rial, tone and remained
RUSS DILLINGHAM/SUN JOURNAL/ASSOCIATED PRESS

friendly with people in the in-

dustry even while writing
about their failings. The mes-
sage, Mr. White said, was that
“you don’t have to be nasty to
get a good story.”
Mr. Ingrassia had endured
cancer treatments off and on
for more than two decades. In
2016, when he received a Ger-
ald Loeb award for lifetime
achievement in financial jour-
nalism, he referred to his
An aerial view of the aftermath of a propane explosion Monday at a building in Farmington, Maine. Firefighters were investigating the smell of gas when it happened. health struggles, saying: “I of-
ten think that my biggest life-
CALIFORNIA down on illegal and counterfeit HEALTH every week. Not long ago, the MAINE time achievement is simply
vaping products, begin a new nation saw that many measles having a
Governor Urges Bill on public awareness campaign and End Is Now in Sight cases in a whole year. Firefighter Is Killed lifetime.”
Flavored E-Cigarettes create recommendations for new For Measles Epidemic So far this year, 1,241 cases In Propane Blast His death
warning signs at retailers and on have been confirmed—a number came about
California Gov. Gavin Newsom product advertisements. Mr. The nation’s worst measles that didn’t rise last week, the A propane explosion leveled a six months
said he would sign a bill banning Newsom also signed a bill in- epidemic in 27 years could be Centers for Disease Control and newly constructed building after after that of
flavored e-cigarettes if the state creasing age verification require- in its final stages as a week Prevention reported Monday. fire crews arrived to investigate one of his
Legislature sent one his way. ments for purchasing such prod- went by with no new reported The last time the CDC re- the smell of gas Monday, killing three sons,
“I’d like to see that bill on my ucts online or by mail. cases. ported no new measles cases one firefighter and injuring at Charles In-
desk,” he said at a news confer- A spokesman for Juul Labs The epidemic emerged about was 11 months ago. least eight other people, officials grassia, who
ence Monday. Inc., the market leader in e-ciga- a year ago and took off this “To get to zero is tremen- said. The blast was so powerful, died of can-
Mr. Newsom said he lacked rettes, said the company agreed year, with most of the cases re- dously encouraging,” said Jason it blew a vehicle across an inter- cer at age Paul Ingrassia
the power to ban e-cigarettes by with the governor’s move to ported in Orthodox Jewish Schwartz, a Yale University ex- section and damaged nearby 39 in Febru-
executive order. For now, he said crack down on counterfeit and communities in and around pert on vaccination policy. buildings. ary. His two sisters, Gina and
he would increase scrutiny of imitation products. “We will con- New York City. It started with Measles outbreaks are typi- The explosion killed 68-year- Angela, died in the 1980s of
flavored e-cigarettes after sev- tinue to combat youth usage, travelers who had become in- cally declared over when 42 old Fire Capt. Michael Bell and cancer. Some members of the
eral deaths in recent weeks while supporting reasonable ac- fected overseas but spread days pass without a new infec- injured his brother, Fire Chief family have the Li-Fraumeni
were tied to marijuana or nico- cess to vapor products for adults quickly among unvaccinated tion. If no new cases crop up, Terry Bell; five other firefighters, syndrome, a rare disorder that
tine vaping devices. looking to switch from combusti- people. the national outbreak would a maintenance worker and an increases cancer risk.
He signed an executive order ble cigarettes,” he said. In the spring, 70 or more likely end on or about Sept. 30. ambulance worker, officials said. His books on the auto in-
directing state agencies to crack —Alejandro Lazo new cases were being reported —Associated Press —Associated Press dustry included “Comeback”
(1994), written with Mr.
White; “Crash Course” (2010)

WeWork who questioned Mr. Neumann’s

outsize control and the hun-
dreds of millions of dollars he
debut of SmileDirectClub Inc., a
teeth-straightening startup that
fell 28% on its first day of trad-
which Mr. Neumann observes.
The delay could also last
longer and some existing in-
One possible source of new
funding is SoftBank, WeWork’s
largest investor, which was
and “Engines of Change”
(2012).
Since 2016, he was a mem-

Parent to has reaped from selling his

shares and other transactions
with the company.
ing last week. It was the year’s
worst stock-market debut for a
U.S. company valued at more
vestors, including SoftBank,
have pushed the company to
wait until next year to launch
planning on kicking in at least
$750 million more as part of
the IPO, as the Journal re-
ber of the five-person Dow
Jones Special Committee, re-
sponsible for monitoring The

Delay IPO Investors have also been un-

nerved by deepening losses at
the company, which last year
than $1 billion, according to De-
alogic, and that spooked some
big IPO investors.
its IPO, The Wall Street Jour-
nal has reported.
The nine-year-old company,
ported last week.
SoftBank’s planned invest-
ment was expected to help
Wall Street Journal’s adher-
ence to the highest ethical
and professional standards.
bled $1.61 billion in red ink— We is now expected to wait which rents space, renovates shore up demand for the offer- Early in his career, he was
Continued from Page One nearly equal to its revenue of until mid-October at the earli- it, then divides it up and sub- ing by limiting the supply of an editorial writer at the
pervoting rights. $1.82 billion. est to start its investor road- leases it, expects that results shares to be sold to outside in- Lindsay-Schaub newspaper
Still, those changes don’t ap- Another factor complicating show following the conclusion for the current quarter will vestors and signaling the Japa- group in Decatur, Ill. He
pear to have assuaged investors the offering is the disappointing of the Jewish High Holidays, showcase its rapid growth and nese technology conglomer- joined the Journal in 1977 as a
get investors more excited ate’s continued support of the reporter in Chicago and
about its prospects, one of the company, but apparently that served as Cleveland bureau
THE WALL STREET JOURNAL
(USPS 664-880) (Eastern Edition ISSN 0099-9660) CORRECTIONS  people said.
That would enable the com-
didn’t do the trick.
The postponement is the
chief from 1981 until 1985,
when he became the Detroit
AMPLIFICATIONS
(Central Edition ISSN 1092-0935) (Western Edition ISSN 0193-2241)
pany to stage its long-antici- latest hiccup for the IPO mar- bureau chief. Mr. Ingrassia
Editorial and publication headquarters: 1211 Avenue of the Americas, New York, N.Y. 10036
pated debut as soon as October ket in a year that is set to be headed Dow Jones Newswires
Published daily except Sundays and general legal holidays.
Periodicals postage paid at New York, N.Y., and other mailing offices. or November, this person said, one of best ever in terms of and then spent several years
Postmaster: Send address changes to The Wall Street Journal, 200 Burnett Rd., Chicopee, MA 01020. The U.S. Environmental adding that We had all along money raised in new issues. on book projects before serv-
All Advertising published in The Wall Street Journal is subject to the applicable rate card, copies of Protection Agency is requiring been considering this alternate A number of big technology ing as managing editor and
which are available from the Advertising Services Department, Dow Jones & Co. Inc., 1211 Avenue of dry cleaners located in residen- timetable among others. startups, including ride-hailing other senior posts at Thom-
the Americas, New York, N.Y. 10036. The Journal reserves the right not to accept an advertiser’s order. tial buildings to stop using per- The offering has been full of services Uber Technologies son Reuters from 2011 to
Only publication of an advertisement shall constitute final acceptance of the advertiser’s order.
chloroethylene, known as perc unexpected twists and turns Inc. and Lyft Inc. and work- 2016.
Letters to the Editor: Fax: 212-416-2891; email: [email protected]
or PCE, by 2020. A graphic and it is still possible the com- place-messaging provider He met Susan Rougeau
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By web: customercenter.wsj.com; By email: [email protected] with a Sept. 4 Business & Fi- pany could decide to move for- Slack Technologies Inc., have while they were attending
By phone: 1-800-JOURNAL (1-800-568-7625) nance article about Tide Dry ward on the original timetable. gone public in 2019 and while graduate school at the Univer-
Reprints & licensing: Cleaners incorrectly said all If the IPO doesn’t take place some of the newly minted sity of Wisconsin. They mar-
By email: [email protected] dry cleaners will be required to soon, We may have to look shares have soared, others, ried in 1973. He is survived by
By phone: 1-800-843-0008
stop using the substance. elsewhere for much-needed such as Lyft and Uber, have her, as well as two sons, a
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Our newspapers are 100% sourced from sustainably certified mills. Readers can alert The Wall Street
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The share sale was expected businesses with big losses. brother, Lawrence Ingrassia, a
GOT A TIP FOR US? SUBMIT IT AT WSJ.COM/TIPS by emailing [email protected] or to raise at least $3 billion and —Eliot Brown former Journal assistant man-
by calling 888-410-2667. trigger a $6 billion loan package. contributed to this article. aging editor.
THE WALL STREET JOURNAL. * * * * Tuesday, September 17, 2019 | A3

U.S. NEWS

Turf War on
Tech Probes
Intensifies
BY JOHN D. MCKINNON working and, if not, whether
AND BRENT KENDALL the FTC and DOJ are engaging
in duplicative investigations,” a
WASHINGTON—Bad blood Lee spokesman said on Mon-
between the U.S. government day. That clearance process, a
entities investigating the giants longstanding arrangement be-
of the tech industry has grown tween the two agencies, helps
more intense with a letter from determine which of them inves-

NIKI CHAN WYLIE FOR THE WALL STREET JOURNAL

one agency to the other that tigates particular areas.
might be considered the equiv- Both the FTC and DOJ are
alent of a brushback pitch. under considerable pressure
Both agencies—the Federal to investigate and potentially
Trade Commission and the Jus- challenge a range of actions
tice Department’s antitrust di- by a handful of companies—
vision—assert authority to in- Apple Inc. and Amazon.com
vestigate whether U.S. Inc. are two others—that dom-
companies are violating anti- inate online search, retail and
trust law by squeezing out social media.
competition. In recent months, One central flashpoint is
the two entities, as well as a whether the Justice Depart-
number of state attorneys gen- ment will conduct its own anti-
eral, have launched high-profile trust investigation of Facebook, Every day, throngs of tourists visit Arches National Park, straining the infrastructure and facilities in the nearby city of Moab, Utah.
scrutiny of tech giants such as according to people familiar
Alphabet Inc.’s Google and

Utah’s Ads Lure Swarms to Its Parks

with the matter.
Facebook Inc. that have come Messrs. Delrahim and Si-
to dominate nearly every as- mons earlier this year negoti-
pect of Americans’ digital lives. ated arrangements that cleared
Now, in the letter sent late the Justice Department to in- BY JIM CARLTON Attendance at five Utah “The marketing was work- doing so twice last year and
last week to the Justice De- vestigate Google for possible national parks has risen ing, and we were attracting only rarely in the years prior.
partment, the FTC complained monopolistic tactics and also MOAB, Utah—Six years sharply since 2013. people,” said Vicki Varela, Ms. Cannon said the big-
about the department’s behav- gave the department jurisdic- ago, Utah tourism officials Utah’s tourism director. “And gest problem is too many
ior and raised concerns about tion over Apple for similar is- launched a “Mighty 5” mar- Attendance, change from we were also creating impacts people wanting to visit be-
recent interactions between sues. The FTC secured for itself keting campaign to entice 2009 that needed to be mitigated.” tween 9 a.m. and 3 p.m. “We
the two agencies, according to the right to explore monopoli- more visitors to the state’s Arches Bryce Canyon Other national parks in the don’t have too many people
people familiar with the mat- zation questions involving spectacular national parks. West have seen big increases coming to Arches,” said Ms.
Canyonlands Capitol Reef
ter. A turf battle over govern- Facebook and Amazon. State officials got more than in visitors. Visits to Rocky Cannon, whose park has seen
ment scrutiny of Facebook is a But Mr. Simons then met they bargained for. Zion Mountain National Park annual visitors grow by 55%
key point of contention, the with DOJ officials, including At- Frustrated locals are now 140% Mighty 5 campaign begins soared 53% between 2013 and since 2013 to 1.7 million. “We
people said. torney General William Barr, in dealing with the conse- 2018, while they jumped 39% have too many people coming
120
The previously undisclosed early July to talk more specifi- quences of the explosive at the Grand Canyon. at one time.”
letter, signed by FTC Chairman cally about Facebook, people growth that followed. The 100 Overall visits to the 419 na- On Sunday of this past La-
familiar with the matter said. five parks—Zion, Bryce Can- 80 tional-park units, which in- bor Day weekend, Seattle visi-
The two agencies agreed that yon, Capitol Reef, Canyon- 60 clude sites such as national tors Sam Starr and Johanna
the Justice Department lands and Arches—have monuments and historic bat- Brunner arrived to find the
An FTC letter to the wouldn’t pursue Facebook on a soared to 10.6 million visitors
40
tlefields, rose 16% over that park closed for three hours
Justice Department couple of issues the FTC al- in 2018 from 6.3 million in 20 time, a boost that National due to overcrowding. They re-
ready was focusing on, but 2013, a 68% increase that 0 Park Service officials say was turned before dawn the next
raised concerns about could investigate it in other ar- state officials say was due in due in part to a federal “Find day to make the arduous, 1.5-
–20
recent interactions. eas that might raise antitrust large part to the advertising.
2009 ’11 ’13 ’15 ’17
Your Park” campaign to help mile hike to Delicate Arch.
concerns, the people said. Other factors, they say, in- commemorate the agency’s “We knew it would be super
In recent weeks, however, cluded the national economic Source: National Park Service 2016 centennial. packed, so we woke up and
the Justice Department and the recovery and social media. Utah officials say they con- came,” Mr. Starr, 25, said as
Joseph Simons, raises the pros- FTC have disagreed on the in- Few places have seen the communities have pushed ceived the Mighty 5 cam- the first rays of sunlight illu-
pect that a longstanding terpretation of the agreement impact more than this city of back on both state and local paign, in part, after a hoped- minated Utah’s most cele-
power-sharing agreement be- and whether each side is hon- 5,300, which sits beneath promotion efforts. Grand for surge in tourism to the brated arch.
tween the agencies is fraying. It oring it, the people said. towering red rock cliffs near County, which includes Moab, Beehive State failed to mate- Other impacts could prove
is also raising broader concerns The Justice Department in the entrances to two of the in June opted not to pursue a rialize following the 2002 more challenging to resolve.
that the tension could eventu- late July announced a broad re- parks: Arches and Canyon- $250,000 state grant to aim Winter Olympics in Salt Lake Affordable housing is drying
ally derail the agencies’ focus view of whether dominant on- lands. Once known as a re- more marketing at prospec- City. Television ads placed in up so fast that employers are
on Big Tech—among the most line platforms in general are laxed getaway for mountain tive visitors in Texas and Illi- various markets beginning in scrambling to find accommo-
significant undertakings either unlawfully stifling competition. biking and four-wheeling, nois. In February, the county 2013 highlighted the stunning dations for their workers. The
of them has conducted in years. That raised the rare possibility Moab is being swarmed by put a six-month moratorium scenery of the state’s national Moab Adventure Center fin-
Spokespeople for the FTC that both agencies might probe three million visitors annu- on the issuance of hotel parks. ished construction on a $1
and Justice Department de- Facebook at the same time. ally. On peak days, visitors building permits. That first year, nearly million dormitory building for
clined to comment. The FTC’s Facebook probe is create hourlong waits at res- “We’re trying to balance 400,000 people traveled to 64 employees, said Brian
The chairman of the Senate investigating, among other taurants, empty store shelves what we can do with what Utah after seeing Mighty 5 Merrill, chief executive officer
subcommittee on antitrust mat- things, whether the social-me- and turn the city’s quaint we’ve got,” said Moab Mayor ads and by 2015 the number of Western River Expeditions,
ters, Republican Mike Lee of dia giant pursued acquisitions Main Street into a parking Emily Niehaus. had soared to 1.7 million, ac- which owns the outfitter of
Utah, said he plans to ask about designed to eliminate potential lot. Even the state has decided cording to research conducted four-wheel-drive and other
the letter and the tensions it future competitors. The Justice “It’s like the area is being to put on the brakes. After for the state. tours.
reflects at a hearing Tuesday. Department also has been field- loved to death,” said Kathy hearing the complaints, the That kind of appeal has Mr. Merrill doesn’t blame
Both Mr. Simons and DOJ anti- ing complaints about Facebook, Shafer, 59 years old, a techni- Utah Office of Tourism, which pushed many of the parks to Mighty 5 for everything. “I
trust chief Makan Delrahim are including from people who ad- cal writer currently living in ran the Mighty 5 campaign the limit. At Arches National feel like [state tourism offi-
expected to testify. vocate breaking it up. Logan, Utah, who for now has between 2013 and 2015, has Park, 4 miles north of Moab, cials] were vilified because
“Sen. Lee is aware of the let- Facebook didn’t provide a given up on plans to retire to spent the past three years Superintendent Kate Cannon they were so successful,” said
ter and he intends to inquire at comment in response. Google her former hometown. trying to disperse the crowds said the preserve has hit a Mr. Merrill, who sits on a
tomorrow’s oversight hearing and Amazon declined to com- With infrastructure and fa- from the national parks to daily traffic count of more state tourism advisory board.
about whether the clearance ment. Apple didn’t respond to cilities strained, officials in lesser-known federal pre- than 3,000 vehicles at least “The challenge for us here is
process between the agencies is requests for comment. the parks and their gateway serves and state parks. six times so far this year after to learn how to manage it.”

Prosecutors Subpoena Trump Tax Returns

BY CORINNE RAMEY penses,” when, in fact, there
AND REBECCA BALLHAUS was no such retainer agree-
ment. The reimbursement Mr.
Prosecutors in Manhattan Cohen sought was “not in con- FLY TRANS-ATLANTIC.
have subpoenaed eight years of nection with any legal services
President Trump’s tax returns he had provided,” prosecutors COMPETITIVE FIXED RATES.
from his longtime accounting
firm, according to a person fa-
have said.
Justice Department policy
FULL FLEXIBILITY.
miliar with the matter. bars the indictment of a sitting
The subpoena seeks docu- president. Only with our JetCard.
MARKUS SCHREIBER/ASSOCIATED PRESS

ments including Mr. Trump’s The subpoena from the

personal tax returns and Manhattan district attorney’s
those of his longtime busi- office is the latest chapter in a
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the person said. The probe is gators to obtain the president’s
examining whether a payment financial information.
to former adult-film star The House Intelligence and
Stormy Daniels—and the way Financial Services committees
the Trump Organization re- in April subpoenaed Deutsche
corded the reimbursement of Bank for documents and finan-
that payment—violated a The New York state probe involves a payment to Stormy Daniels. cial records—including tax re-
state law that bars falsifying turns—related to Mr. Trump,
business records, according to earlier by the New York Times. who alleged they had affairs his children and various busi-
the person. An investigation by Manhat- with Mr. Trump. He has said ness entities they own span-
A spokesman for the Man- tan state prosecutors into the he did so at Mr. Trump’s be- ning the past decade. Deutsche
hattan district attorney’s of- president’s role in hush-money hest, an assertion that was Bank told a federal appeals
fice, which is conducting the payments has escalated since confirmed by federal prosecu- court last month that it has
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A4 | Tuesday, September 17, 2019 P W L C 10 11 12 H T G K B F A M 1 2 3 4 5 6 7 8 9 O I X X ** THE WALL STREET JOURNAL.

U.S. NEWS

Oil Strikes in Saudi Arabia Chill Diplomacy Mike Pompeo has pointed sion to discard a nuclear ternationally recognized makers from both parties nian allies in Iraq—have an
the finger directly at Iran it- deal negotiated with Iran government. over the weekend warned incentive to stop a diplo-
self. U.S. officials on Monday under President Obama as a The Houthis have ample the Trump administration matic process before it re-
went further, saying intelli- crisis, some Iranian hard-lin- reasons of their own to hit not to get dragged into ally gets rolling.
gence indicates the missiles ers see it as an opportunity. Saudi facilities, which they Saudi Arabia’s fight with the Any U.S.-Iranian deal
came from Iranian territory. The hard-liners, including have been doing with in- Houthis and Iran as a result would, almost by definition,
leaders of the country’s Rev- creased frequency, as a re- of the weekend strike. trade sanctions relief from

I
n any case, the timing is olutionary Guards, never prisal for brutal Saudi air- In sum, the Houthis have the U.S. for, among other
CAPITAL JOURNAL deeply suspicious. The liked the nuclear deal in the strikes. But the Houthis also plenty of incentive to keep things, a reduction in Ira-
By Gerald F. Seib attack came just as Pres- first place, and see its po- have reason to worry about stirring the pot. They also nian support for radical
ident Trump has been con- tential demise as a rationale an outbreak of diplomacy. are available as a proxy forces in the region.
sidering taking a small step for stepping up Iran’s work They could be left hung out force for Iranian hard-liners Such a negotiated out-
Diplomacy is hard. Stop- back from his campaign of on its nuclear and ballistic- to dry in any diplomatic pro- who want the same thing. come might seem far-
ping diplomacy, by contrast, harsh economic sanctions on missile programs. fetched right now. Yet the

M
is relatively easy. Hard-liners Iran, to open the door to a Tehran’s hard-line faction eantime, there is an- idea clearly has some appeal
across the Middle East know dramatic meeting with Iran’s also knows two things: At- other Iranian proxy to Mr. Trump.
this, and long president or foreign minister tacking a Saudi oil facility
The list of suspects force, the Popular Despite a tweet he sent
have acted ac- at the United Nations in might, in addition to halting starts with hard- Mobilization Forces in Iraq, out Sunday, saying sugges-
cordingly. coming days. France has any diplomatic dance with with similar motivation to tions that he was willing to
This rule of been working hard to ar- Washington in its tracks,
liners in the Iranian strike out. meet with Iranian leaders
thumb is im- range just such a mini-rap- also scare European and government. The PMF holds territory with no conditions were an
portant to prochement. Asian leaders into providing within Iraq and operates example of “fake news,” Mr.
keep in mind But there are plenty of some economic relief from there with the implicit ac- Trump said exactly that in
in the after- people who don’t want an American sanctions. quiescence of the Iraqi gov- an interview with NBC
math of the weekend aerial outbreak of diplomacy, and That doesn’t prove that cess that eases tensions ernment, and with the active News’ Chuck Todd this sum-
attacks on two Saudi Ara- some of them have missiles Iran was responsible for the among Iran, the U.S. and assistance of Iran’s Revolu- mer.
bian oil installations, includ- at their disposal to create a attacks, of course, merely America’s friends in Saudi tionary Guards. Israel is suf- Asked whether he had any
ing on the most important crisis that can stop the pro- that its hard-liners probably Arabia. ficiently worried about the preconditions for a meeting
crude-oil processing facility cess in its tracks. Perhaps aren’t unhappy to see fires The Houthis also surely PMF as an outpost for Ira- with Iranian leaders, Mr.
in the world. that is what the world saw blazing at Saudi facilities. know that support for Saudi nian hard-liners that it ap- Trump replied: “Not as far
Responsibility for the at- play out over the weekend. Houthi forces in Yemen Arabia is wearing thin in parently has struck the as I’m concerned. No pre-
tacks remains uncertain. Ira- The list of suspects starts have similar interest in esca- Congress, where agitation group’s facilities with air- conditions.”
nian-backed Houthi forces in with hard-liners in the Ira- lating tensions. The Houthis, over the Saudi government’s strikes in recent weeks. As plenty of Middle East
Yemen, locked in a bitter nian government. While with Iran’s full backing, are role in the assassination of The point is that all of bad actors know, the best
fight with the Saudi regime many in the international fighting a kind of proxy war journalist Jamal Khashoggi these forces—Iran’s own way to head off such a diplo-
next door, claimed responsi- community, and inside Iran with Saudi Arabia, which is and other human-rights hard-line factions, the matic overture is to kill the
bility, but Secretary of State itself, see Mr. Trump’s deci- trying to restore Yemen’s in- abuses isn’t subsiding. Law- Houthis in Yemen and Ira- idea in its cradle.

Chao Texas Scandal Gives Democrats an Opening

Probed for BY ELIZABETH FINDELL Democrats’ hopes of taking
back the state House have
his influence to campaign in
the primaries against certain
ing illegal happened in the
meeting.
votes, even while acknowledg-
ing it is distracting the party at

Possible AUSTIN, Texas—Democrats

are trying to take advantage of
a scandal to break the Republi-
grown as Republican leadership
deals with intraparty fights and
fallout over a scandal involving
GOP lawmakers. It isn’t known
why the lawmakers were tar-
geted, but the list included leg-
The scandal has some Re-
publicans airing worries that
they could lose House seats
a critical time. Democrats in
the state say voters consider it
sleazy and possibly illegal.

Conflicts can hold on the state.

Democrats, who have been
gaining in popularity as demo-
House Speaker Dennis Bonnen.
Mr. Bonnen, a Gulf Coast Re-
publican, is being investigated
islators who had received fail-
ing grades from Empower
Texans and a couple who had
next year. Lt. Gov. Dan Patrick
said in a recent radio interview
that “2020 is going to be a
Republicans currently hold
60% of seats in the state Sen-
ate, and political watchers don’t
BY NATALIE ANDREWS graphics in the state shift, need by the Texas Rangers’ Public previously run for speaker tough year, politically.” consider that majority vulnera-
to win nine seats to gain a ma- Integrity Unit over allegations against Mr. Bonnen. “I feel confident about the ble. But 14 Texas House seats
WASHINGTON—The House jority in the Texas House for of public corruption involving a Mr. Bonnen has denied mak- president,” he said. “I feel con- were won or lost by 5 percent-
Oversight and Reform Com- the first time since 2001. A June meeting with far-right ac- ing any deal or providing a fident about [U.S. Sen. John] age points or less in 2018.
mittee is launching an ethics pickup of those seats would tivist Michael Quinn Sullivan. “target list.” After Mr. Sullivan Cornyn. But the Texas House— Manny Garcia, executive di-
inquiry into whether Elaine give them a say in redrawing Mr. Sullivan has said Mr. said he had taped their conver- we don’t have to lose many rector of the Texas Democratic
Chao is using her role as district lines for the state Leg- Bonnen and Rep. Dustin Bur- sation, the speaker sent House seats to lose the House to the Party, said his party is looking
transportation secretary to islature and U.S. Congress after rows, then-chairman of the members an emailed apology Democrats, and this could play to build on last year’s momen-
benefit her family. the 2020 census—potentially House GOP caucus, offered to for saying “terrible things,” ac- a part in that.” tum with the help of national
In a letter sent on Monday, realigning the balance of power grant his organization, Em- cording to people who saw the Some Republicans, however, Democratic groups, which he
the committee asked Ms. Chao in the nation’s second most power Texans, coveted media email. Mr. Burrows told a West say the incident is purely inside said are returning his phone
to turn over documents re- populous state for a decade. credentials if Mr. Sullivan used Texas radio station that noth- baseball and will influence few calls for the first time.
lated to communication with
her family’s shipping company,
as well as her department’s in-
teractions with a construction Baseball
Great Wins
company in which she owned
stock until recently.
“The Committee is examin-
ing your misstatements of
fact, your actions that may
have benefited the company in
New Honor
which you continued to hold
shares, and your compliance President Trump awarded the
with ethics and financial dis- Presidential Medal of Freedom
closure requirements,” Over- to baseball Hall of Famer Mari-
sight Chairman Elijah Cum- ano Rivera, praising him at a
mings (D., Md.) and Rep. Raja White House ceremony Monday
Krishnamoorthi (D., Ill.) wrote. as “maybe the greatest pitcher
A DOT spokesman con- of all time.”
firmed the letter was received Mr. Rivera, a relief pitcher,
and said the department looks spent his entire 19-year career
forward to responding to the with the New York Yankees.
committee’s request. He holds the record for saves
“Media attacks targeting and was the first player elected
the secretary’s family are stale to the baseball Hall of Fame
and only attempt to under- unanimously when he was en-
mine her long career of public shrined this summer.
service,” the spokesman said. Mr. Trump recalled Mr. Ri-
The Wall Street Journal re- vera’s dominance in a career
MARK WILSON/GETTY IMAGES

ported earlier this year that that included 13 All-Star selec-

Ms. Chao still owned shares in tions and five World Series ti-
Vulcan Materials Co., the tles. The president also praised
country’s largest supplier of the Panama native who became
crushed stone, sand and a U.S. citizen for his charity
gravel, despite promising to work.
relinquish the shares. —Associated Press
Ms. Chao, who is married to
Senate Majority Leader Mitch
McConnell (R., Ky.), sold the
stock in June. Vulcan shares
rose more than 16% from April
2018, the month in which Ms.
Chao had said she would cash
Panel Sets industry and disrupted global
airline schedules.
“We welcome the scrutiny
and some of its foreign coun-
terparts burst into public
view—the report has morphed.
approaches,” according to a
senior industry safety expert
who has discussed the report
fleet, the official said.
The anticipated focus on
potentially sweeping certifica-
out of the stock, through June
3, when she sold the shares.
In an updated personal fi-
Rebuke of of these experts,” an FAA
spokesman said Sunday in ref-
erence to the JATR and a num-
Now, it appears to have turned
into more of a damage-control
effort partly intended to
with regulators on both sides
of the Atlantic.
Government approval of
tion changes comes amid
growing signs that shorter-
term plans by Boeing and the
nancial filing reviewed by The
Wall Street Journal in June,
Ms. Chao said she had been
FAA on Jet ber of other outside reviews
examining MAX certification.
The agency “will carefully re-
sketch out longer-range
changes in certification stan-
dards and procedures, indus-
such systems requires not only
vetting the reliability of essen-
tial software, but also ensuring
FAA to choreograph a nearly
simultaneous return of MAX
jets in many parts of the world
advised by ethics officials that view all the findings and rec- try officials said. that average pilots can react are fraying.
the holding didn’t represent a Continued from Page One ommendations,” he said. The JATR document won’t promptly and appropriately to European regulators re-
conflict of interest. Technical Review, is headed by A Boeing spokesman said analyze the accidents or pro- handle emergencies stemming cently told their FAA counter-
The oversight committee Christopher Hart, former the company looks forward to from mechanical or computer parts that they likely won’t be
asked Ms. Chao to respond by chairman of the U.S. National the finished report and “is de- malfunctions. ready to formally lift the
Sept. 30 with all internal gov- Transportation Safety Board. termined to keep improving on The panel, according to one grounding by early November,
ernment communications Tasked with examining proce- safety in partnership with the
The report could of the officials, is expected to which remains the FAA’s infor-
about Foremost Group and dures used to approve MAX global aerospace industry,” influence changes call for greater data-sharing mal target.
Vulcan Materials, details about flight-control systems, the adding that the plane maker and transparency among dif- The U.A.E. indicated over
a canceled October 2017 trip participants also were asked continues to cooperate with
to engineering ferent governments, especially the weekend that it planned to
to China and an official trip for high-level recommenda- regulators to return the planes principles. in certifying the safety of air- follow its own, longer timeta-
she took to China in April tions to address systemic defi- to service. craft such as the MAX, whose ble. China and India, two fast-
2018. ciencies. Members include air- Details of the nearly fin- basic designs are derived from growing aviation markets, also
safety regulators from Canada, ished report haven’t been re- earlier models. are expected to take longer
China, Indonesia, the United ported before. Final changes posed fixes to MCAS or In addition, the official than the U.S.
Arab Emirates, the European could modify some conclu- changes to MAX flight-control said, the draft report recom- Canadian regulators, for
Crafted in gold & platinum
Union, Brazil and the U.S. sions, according to some of computers. The FAA has mends updating FAA guidance their part, are signaling to the
The origin and makeup of the officials, but the overall stressed that the advisory and day-to-day certification FAA they are likely to require
Rush! the task force likely will give thrust and recommendations group doesn’t have veto power procedures to ensure early and simulator training for pilots
Service
Available heft to its specific findings for a sweeping reassessment over modifications to MCAS. significant FAA involvement in before putting the MAX fleet
and recommendations for aren’t likely to shift. But the report could influ- new onboard systems, particu- registered in that country back
overhauling current practices Initially, the panel was as- ence changes to traditional en- larly with respect to pilot re- in the air, according to one of
and, in some cases, updating sembled by the FAA as part of gineering principles determin- sponse times during emergen- the people briefed on the is-
decades-old safety rules and a strategy to promote interna- ing the safety of new aircraft cies that stem from human- sue. That will require more
technical standards. Boeing tional consensus. But as Boe- models. Certification of soft- computer interactions. time than the process the FAA
and regulators are seeking to ing’s work to devise software ware controlling increasingly Some of the draft recom- is expected to mandate for
Immortalize Your Anniversary restore public confidence in fixes for MCAS and related interconnected and automated mendations already have been U.S. aviators. A spokeswoman
in Roman Numerals! the planes and end the systems dragged on—and dis- onboard systems “is a whole factored into Boeing’s pending for Transport Canada had no
JOHN-CHRISTIAN.COM 888.646.6466 grounding that has roiled the agreements between the FAA new ballgame requiring new fixes to the grounded MAX comment.
THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | A5

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 A6 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

WORLD NEWS
Britain, EU Differ on Brexit State of Play
Commission president of Ireland, which will remain don’t want people to think it’s
in the EU. necessarily in the bag.”
awaits solid proposals “President Juncker under- Last week, European and
on Ireland; Johnson lined the commission’s contin- British officials said Brexit
ued willingness and openness talks had grown more serious
cites ‘huge’ progress to examine whether such pro- with U.K. officials fleshing out
posals meet the objectives of some of their ideas for avoid-
BY LAURENCE NORMAN the backstop. Such proposals ing a border on Ireland—pos-
have not yet been made,” the sibly by ensuring rules in
BRUSSELS—The European statement said. Northern Ireland in areas like
Union’s top official told U.K. Mr. Johnson met later with agriculture remain in line with
Prime Minister Boris Johnson Xavier Bettel, Luxembourg’s Ireland and the EU.
the bloc was still awaiting prime minister, who also said That would leave the rest of
concrete proposals from Lon- Mr. Johnson must put forth Britain free to shift away from
don for how to avoid a physi- detailed proposals. EU rules and seek new trade
cal border on the island of Ire- “We need more than just deals with non-EU partners, a
land, damping hopes of a swift words,” Mr. Bettel said. “We key pledge of Mr. Johnson’s.
breakthrough in Brexit talks. need a legally agreeable text However, even while they

JULIEN WARNAND/EPA/SHUTTERSTOCK
After a lunch meeting with to work on as soon as possible await detailed proposals, top
top officials from the U.K. and if we want to meet the Octo- European officials have
the EU in his native Luxem- ber deadline.” warned of major potential hur-
bourg, European Commission Anti-Brexit protesters gath- dles in Britain’s plans and have
President Jean-Claude Juncker ered in front of the site of a cautioned against suggestions
said Monday’s discussions news conference, where Mr. a deal was coming into sight.
with Mr. Johnson were Johnson had been due to join The EU’s top Brexit negotia-
friendly and that “negotiations Mr. Bettel. In the end, Mr. tor, Michel Barnier, who joined
will continue at high speed.” Johnson and his team left be- Monday’s talks in Luxembourg,
In a statement, however, fore the press conference be- said Thursday he saw “no rea-
the European Commission said gan. The crowd jeered the ex- Prime Minister Boris Johnson and European Commission President Jean-Claude Juncker on Monday. son to be optimistic” about a
it was up to Mr. Johnson’s iting British delegation and deal. Mr. Juncker told German
government to show how it shouted “Shame on you” as newspaper interview over the quest an extension of the talks and that meetings would soon public radio over the weekend
could change the current EU- the group left the residence weekend that a “huge amount beyond the current Oct. 31 take place on a daily basis,” “time’s running out.”
U.K. Brexit divorce deal while for their return to the U.K. of progress is being made in deadline, a U.K. spokesperson the spokesperson said. European officials say they
ensuring there was a legally British officials had asked the talks,” has said any Brexit said, even though the British Monday’s meeting was the doubt whether the scope of
operable guarantee—known as for the news conference to be divorce deal must see the Parliament has approved legis- first between Messrs. Johnson the alignment the U.K. appears
the backstop—that would moved indoors away from the backstop removed. He has tar- lation requiring him to ask for and Juncker since Mr. Johnson to be considering between
avoid the need for post-Brexit protesters but were told there geted an EU summit in mid-Oc- an extension if no deal with the became prime minister in July. regulation in Northern Ireland
checks on goods flowing be- wasn’t enough space, diplo- tober for reaching a final deal. EU is reached first. After the meetings Mr. and the EU would be sufficient
tween Northern Ireland, which mats said. Mr. Johnson told Mr. Juncker “The leaders agreed that the Johnson told Sky News the U.K. to allow continued free flow of
is in the U.K., and the Republic Mr. Johnson, who said in a his government wouldn’t re- discussions needed to intensify was eager to do a deal, “but I goods across the border.

In Comeback, Macron Revives His Agenda Canada

BY NOEMIE BISSERBE
AND STACY MEICHTRY
Assessing
The pro-business presi-
dency of Emmanuel Macron,
Extent
buried beneath months of yel-
low-vest protests, has risen
from the dead.
Of Leaks
Less than a year ago, Mr. BY PAUL VIEIRA
Macron was forced to shelve
his economic agenda to pacify OTTAWA—A senior Cana-
riotous yellow-vest protesters. dian intelligence official facing
But now he is returning to the five charges for violating the
fray with a proposed overhaul country’s state-secrets law had
of France’s pension system, access to intelligence collected
long regarded as a third rail of domestically and by Canada’s
French politics. foreign allies, such as the U.S.
Mr. Macron wants to extend and U.K., Canadian police said.
the number of years that peo- Canada’s Royal Canadian
ple are required to work be- Mounted Police said it is as-
fore collecting their pensions, sessing the impact of the al-
rather than raising the age of leged activities. “We are aware
MICHEL EULER/ASSOCIATED PRESS

retirement of 62 for all work- of the potential risk to agency

ers. He also wants to consoli- operations of our partners in
date France’s 42 different re- Canada and abroad,” Brenda
tirement plans—and their Lucki, the RCMP’s commis-
special benefits—into one uni- sioner, said Monday.
versal system. On Friday, police filed
“We need to rebuild our pen- charges against Cameron Or-
sion system,” Mr. Macron said. tis, the RCMP’s director gen-
The overhaul shows the for- eral of national-intelligence
mer investment banker hasn’t President Macron wants people to work more years before collecting a pension. Flight attendants protesting the plan in Paris on Monday. coordination. Prosecutors say
lost his appetite for creative the 47-year-old Mr. Ortis, em-
destruction. It is the first step doctors and pilots—hit the through a series of town-hall Last week, Mr. Macron sat than workers who attend col- ployed by the RCMP since
in a broader plan to slash gov- streets of the French capital. discussions on policy making. before a crowd of social work- lege and get a later start. 2007, is alleged to have ob-
ernment spending and deliver “It’s a warning shot,” said The forums helped mollify the ers and job seekers inside a As France’s population tained, stored and processed
further tax cuts. Marc Brillaud, a 48-year-old yellow-vest protesters by warehouse on the outskirts of ages, the cost of retirement is sensitive information with the
At the start of his presi- security agent for RATP, the countering their criticism of Paris, listening to some of rising. The system nearly intent to communicate it to
dency, Mr. Macron abolished company that runs public him as an out-of-touch “presi- them complain about exces- broke even this year, but it is unauthorized people.
France’s wealth tax and loos- transport services in Paris, dent of the rich.” sive bureaucracy. expected to run a deficit of According to court filings,
ened its rules for hiring and and a trade union leader. Mr. Macron has also “You need to trust us,” said €10 billion ($11 billion) by Mr. Ortis is alleged to have vi-
firing in an attempt to lure in- What has made Mr. Ma- André Dupon, who runs a 2022, according to a recent olated national security laws
vestors and tech companies to cron’s comeback possible is a company that helps job seek- government report. as far back as February 2015.
France. That fueled the rise of recovery in the French econ- ers get back into the labor Payroll taxes fund dozens of The bulk of the national secu-
the yellow-vest movement, omy—and a perceptible rise in
An economic force, adding that he has 130 pension programs that vary by rity charges stem from a one-
sending hundreds of thou- his approval ratings. A recent recovery has helped available positions that he sector, resulting in a system in year period beginning in Sep-
sands of protesters into poll of 1,002 people conducted isn’t able to fill because of ad- which some employees get tember of last year, in which
French cities to torch cars and by Elabe showed 33% approved
make the president’s ministrative stumbling blocks. cushier—and earlier—retire- Mr. Ortis is accused of sharing
smash storefronts. Such car- of the French leader compared rebound possible. “We need to improve our- ments than others. Mr. Macron intelligence with either a for-
nage brought the government with 23% in December, when selves to be faster and far more wants to replace these with a eign entity or a terrorist
to its knees, forcing Mr. Ma- the yellow-vest crisis was at its simple,” Mr. Macron responded. single universal system. group, and of possessing ei-
cron to douse the crisis with height. The jobless rate, mean- Corralling French public Public transport workers in ther a device or software used
billions in cash handouts for while, has dropped to its low- learned to play his cards opinion is a tall order. A re- Paris, for example, are entitled to conceal information.
minimum-wage earners. est level in a decade following closer to the vest. Rather than cent poll of 1,010 people con- to retire as early as 52 years old. Attempts to reach Mr. Ortis
Any changes to the retire- the labor overhauls. outlining his plans for over- ducted by IFOP found that “It’s treason,” said Bastien were unsuccessful. As of late
ment system are expected to Mr. Macron also has a new haul at the outset of negotia- two-thirds of French adults Berthier, a 39-year-old metro last week, he didn’t have a
take months, and unions are al- modus operandi. He has piv- tions—as he did in a high-pro- don’t trust Mr. Macron to driver and trade union leader, lawyer when he made a brief
ready digging in for a pro- oted away from the top-down file speech at the Sorbonne overhaul the pension system. who says he agreed to work court appearance. He has yet
tracted battle. The French capi- governing style that marked detailing his vision for a re- As it stands, Mr. Macron’s during public holidays and take to have a bail hearing or enter
tal was paralyzed Friday by a his earliest days in office. In- boot of the European Union— proposal will make everyone night shifts because he thought a plea, and his next scheduled
massive public transport strike. stead, he is trying to build the French president is giving work longer while allowing he would be able to stop work- court appearance is Friday.
On Monday, thousands of pro- consensus by organizing more opponents the first word, people who begin working at a ing earlier. “Macron is breach- Prosecutors say they will op-
testers—including lawyers, national debates across France sometimes to blow off steam. young age to retire earlier ing our contract,” he added. pose efforts to obtain bail.
Canada is part of the Five
Eyes intelligence alliance,

Spain Frees Venezuela Ex-Spy Chief, Snubbing U.S. which includes the U.S, U.K.,
Australia and New Zealand. Se-
curity analysts say Mr. Ortis, in
his role, would have been famil-
BY KEJAL VYAS ernment, promising amnesty of U.S. counternarcotics offi- iar with the Five Eyes’ work.
AND JOSÉ DE CÓRDOBA for those who assist in a tran- cials for more than a decade. A spokesman from the U.S.
sition to democracy. A spokesman for Spain’s Na- Embassy in Ottawa referred
Spain’s National Court or- Some political and military tional Court said a resolution questions to the RCMP. A rep-
dered Venezuela’s former top analysts say that effort could explaining the court’s decision resentative for the U.K. Em-
spy released from jail Monday, have been jeopardized by an would be made public on bassy in Ottawa didn’t respond
rejecting a U.S. extradition re- extradition of Mr. Carvajal, Tuesday. to a request to comment.
quest seeking the former offi- feeding fears among other “I am innocent,” Mr. Carva-
cial on drug-trafficking charges. members of Mr. Maduro’s in- jal told reporters after leaving
Hugo Carvajal was arrested ner circle that they too could the prison in Spain on Monday
in April in Madrid by Spanish face retribution if the regime and joining family members
police acting on a U.S. federal were to fall. awaiting him. “I’m happy with
indictment. Authorities say Mr. “There was concern that if the way things happened,” he
LAUREN FOSTER-MACLEOD/REUTERS

Carvajal fled there on a false he had been extradited and said, adding he hoped to con-
passport after he publicly broke prosecuted, that would have tinue fighting for Venezuela.
ranks with Venezuela’s authori- discouraged other people to go A spokesman for the U.S.
JAVIER BARBANCHO/REUTERS

tarian leader, Nicolás Maduro. the same route,” said Phil attorney’s office in the South-
Mr. Carvajal’s case has been Gunson, a Caracas-based ana- ern District of New York,
closely watched throughout lyst for the International Cri- which had requested the for-
the course of this year’s cam- sis Group. mer Venezuelan intelligence
paign by Venezuela’s opposi- It is unclear whether Mon- chief’s extradition, declined to
tion leader, Juan Guaidó, and day’s decision would settle the comment. A person close to
the U.S. to flip military offi- legal troubles that have put the case said the U.S. planned A court sketch of Cameron
Hugo Carvajal leaving prison in Estremera, Spain, on Monday. cials against the Maduro gov- Mr. Carvajal in the crosshairs to appeal the court’s decision. Ortis from a hearing last week.
 For personal, non-commercial use only. Do not edit, alter or reproduce. For commercial reproduction or distribution, contact Dow Jones Reprints & Licensing at (800) 843-0008 or www.djreprints.com.

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A8 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

WORLD NEWS

Beijing Puts
New Pressure
On Taiwan telegraphed. Officials in the
Solomon Islands cuts capital of Honiara have been
formal ties to Taipei considering the decision for
as China amasses weeks, and a government-ap-
pointed task force submitted a
diplomatic links report to cabinet officials on
Friday, recommending a
BY EVA DOU switch to Beijing.
In addition to peeling off
BEIJING—The Solomon Is- the Solomon Islands, China
lands decided to break off dip- has made overtures in recent

MARK SCHIEFELBEIN/ASSOCIATED PRESS

lomatic relations with Taiwan weeks to Haiti, one of Tai-
and ally itself with China, Tai- wan’s 16 remaining diplomatic
wan’s president said Monday, partners—and one right on
as Beijing increases pressure the U.S.’s doorstep.
on Taiwan ahead of the self- “Beijing is playing a risky
governed island’s closely game,” said Adam Ni, a China
watched presidential election researcher at Macquarie Uni-
in January. versity in Sydney, referring to
Only 16 countries now Taiwan’s coming election.
maintain formal diplomatic re- “Certainly some parts of the
lations with Taiwan. All of the population will see it as bully- A view of Honiara, the capital of the Solomon Islands, in 2018. Taiwan said it is closing its Solomon Islands embassy on Tuesday.
world’s other nations, includ- ing.”
ing the U.S., recognize only Alexander Huang, a former “They probably want to add ment. and vice versa. who have followed the news
the Beijing-ruled People’s Re- government official who some more fireworks to their It wasn’t immediately clear China put a hold on trying closely, even as it changes lit-
public of China, leaving Tai- teaches strategic studies at 70th anniversary,” Mr. Huang how the move would affect to poach Taiwan’s diplomatic tle in their daily lives.
wan, known formally as the Tamkang University in the said. Taiwan’s coming election, allies during the eight-year ad- Mini Chen, a 36-year-old
Republic of China, increasingly Taiwanese capital, said the Chinese Foreign Ministry which pits the incumbent Ms. ministration of Nationalist hotel worker in Taipei, said
isolated on the world stage. Solomon Islands’ decision was Spokeswoman Hua Chunying Tsai, the island’s first female President Ma Ying-jeou. But she didn’t expect any eco-
In a news conference Mon- a long time coming, amount- said in a statement that Bei- president, whose party favors China stepped up its efforts nomic impact from the move,
day evening, Taiwanese Presi- ing to “slow-motion torture” jing welcomed the move. formal independence from again in 2016 after Ms. Tsai but thought that it could af-
dent Tsai Ing-wen said Taiwan for the diplomatically isolated “There is but one China in China, against populist Han was elected. fect the coming presidential
would close its embassy in the island ahead of Oct. 1. the world and the government Kuo-yu of the opposition Na- El Salvador, the Dominican election.
Solomon Islands on Tuesday, That is when Beijing will of the People’s Republic of tionalist Party, which favors Republic and Burkina Faso “It’s because of the main-
but added that Beijing’s pres- celebrate the 70th anniversary China is the sole legal govern- closer ties with Beijing. switched their diplomatic rec- land’s pressure that led them
sure tactics wouldn’t succeed. of Communist Chinese rule, ment that represents the Since the end of the Chi- ognition to Beijing from Taipei to cut diplomatic ties with us,”
“The Taiwanese people will following a civil war that whole of China,” she said. nese Civil War in 1949, Beijing last year. Ms. Chen said.
not surrender,” she said. ended in the defeat of the Na- The Solomon Islands For- has refused to grant diplo- The diplomatic breaks have —Yoko Kubota in Taipei and
The decision by the Solo- tionalist Party, or Kuomintang, eign Affairs Ministry didn’t re- matic recognition to any na- become painfully routine to Kersten Zhang in Beijing
mon Islands had been well which fled to Taiwan. spond to a request to com- tion that recognizes Taipei, Taiwan’s 24 million people, contributed to this article.

Drop in Child Mortality Fails to Meet Goals Cooling

Nearly two-thirds of chil-
dren in developing countries
Deaths of children 5 and younger per 1,000 live births, by country for Health Metrics and Evalua-
tion at the University of Wash-
Economy
Weighs
25 (U.N. goal) 69 (2000 avg.) 100 125 150
live in villages, cities or re- ington, which it funds, ana-
No data
gions where deaths under 5 lyzed both by geographic
2000
years of age aren’t declining location to pinpoint where the
rapidly enough to meet United
Nations goals, according to a
new report released Tuesday.
Niger: 227.5
(highest)
divide is occurring. It exam-
ined progress in 17,144 “dis-
tricts” or counties in 97 low-
On China
and middle-income countries. BEIJING—Economic activity
By Betsy McKay, People in the majority of in China cooled further in Au-
Max Rust, Roque Ruiz Afghanistan:
the developing world are gust, testing Beijing’s toler-
and Josh Ulick 132.6 (highest
healthier and better educated ance for slower growth as it
today than they were at the seeks to ease trade tensions
outside Africa)
The findings come from beginning of this century, the with the U.S.
“Goalkeepers,” an annual re- analysis found. In 2000, 59 Softness was visible last
port card published by the Bill 2017 countries had rates of under-5 month in nearly every aspect
& Melinda Gates Foundation on mortality of 69 per 1,000 live of the Chinese economy, with
the progress countries are births, the average at that industrial output and retail
making to achieve the Sustain- Sahel time, according to the IHME sales data pointing to sluggish
able Development Goals—tar- countries analysis. Millions of young demand and low confidence
gets for 2030 agreed on by children were dying of pneu- among businesses and con-
U.N. member countries. monia, measles and diarrheal sumers.
The targets include reducing diseases. An additional 51 Value-added industrial out-
deaths of children under 5 countries had an under-5 mor- put in China rose 4.4% in Au-
years old to 25 or fewer for ev- tality rate of more than 25, the gust from a year earlier, far be-
ery 1,000 live births by 2030. current SDG target for 2030. low economists’ expectations
Globally, under-5 deaths were By 2017, 20 countries had a of 5.2% growth and slower
Sources: Bill & Melinda Gates Foundation and the Institute for Health Metrics and Evaluation at the University of Washington
39 per 1,000 live births in 2017, rate above 70, the result of than the 4.8% increase in July,
according to the U.N. new efforts to vaccinate chil- the National Bureau of Statis-
The targets also include en- “We’re not really converging rates, as well as educational at- world that lag the most be- dren against preventable dis- tics said Monday. Fixed-asset
suring that all children receive the way that you would ex- tainment, at the end of the hind, Mr. Gates said. eases, and more effective pre- investment outside Chinese ru-
a quality primary and second- pect,” said Bill Gates, the bil- century there “will still be a Health and education are vention of illnesses such as ral households climbed 5.5% in
ary education. lionaire philanthropist who co- dramatic level of inequality, su- key measures of human capi- malaria. The remaining coun- the January-August period
One-third of children live in chairs the foundation with his per dramatic,” he said. tal—the best way for a country tries were concentrated almost from a year earlier, slightly be-
places that won’t even meet wife, Melinda Gates, in an in- The shift is particularly to unlock innovation and gen- entirely in the Sahel region of low expectations. Retail sales
that goal by 2050, according to terview. At the current rate of alarming because population erate prosperity, the Gates Africa, a band that stretches rose 7.5% in August from a
the Goalkeepers report. improvement in child mortality growth is higher in parts of the Foundation says. The Institute across Africa below the Sahara. year earlier, a tick down from
the 7.6% gain in July and below

WORLD WATCH
expectations for a 7.9% rise.
With the latest economic
numbers, Beijing is now at risk
of a vicious cycle, said Li Wei,
MIDDLE EAST an economist at Standard
Chartered Bank, who warned
ISIS Releases Audio of deflationary pressure on
Message From Leader companies as soft demand
squeezes profits, leading to
Islamic State leader Abu Bakr destocking and reduced in-
al-Baghdadi ordered his follow- vestment.
ers to redouble their efforts to “It’s now all about the gov-
further the group’s cause, in an ernment’s tolerance for slower
audio message apparently aimed growth and what kind of pol-
at raising morale after it lost its icy tools they want to use to
self-proclaimed caliphate in Syria stimulate growth,” Mr. Li said.
and Iraq this year. China’s leaders have ad-
The purported Baghdadi mes- opted a measured tone. Pre-
sage follows Islamic State’s April mier Li Keqiang said China’s
release of the first known video economic performance in the
footage of him in nearly five first eight months of 2019 was
years. Weakened by the five- steady, with some signs of
MARINA DEVO/ASSOCIATED PRESS

year military campaign that progress.

forced it underground in March, “Against the backdrop of a
the extremist group remains a complicated international situ-
threat after reverting to insur- ation and given the higher
gency while seeking to inspire base of comparison, it is not
attacks globally. very easy for China to still sus-
“O soldiers of Allah every- tain a medium-to-high growth
where, know that what is com- speed of above 6%,” the pre-
ing is good…so the efforts must mier was quoted as saying, in a
be redoubled and one’s best BEACHED: Rescue workers and volunteers saved six of seven orcas that became stranded on a beach in Mar Chiquita, Argentina. statement posted on the gov-
must be given in all aspects, ernment’s main website. “Such
whether in preaching or media ITALY antiestablishment 5 Star Move- AFGHANISTAN earlier. a speed still ranks high among
or military or security,” Mr. ment, to create his own centrist Monday’s death was the 17th the world’s major economies.”
Baghdadi said in a 30-minute re- Ex-Leader Renzi party, according to a person fa- U.S. Service Member U.S. combat death in Afghani- Fu Linghui, a statistics bu-
cording, according to monitoring To Form New Party miliar with the matter. Is Killed in Action stan this year, according to the reau spokesman, said the gov-
group SITE Intelligence. This new party—which Mr. Pentagon’s count. ernment is confident it can
It wasn’t clear when the au- Italy’s new government suf- Renzi is expected to unveil on A U.S. service member was There also have been three keep growth between 6% and
dio was produced, but Mr. Bagh- fered its first setback, as the Tuesday—will stay in the gov- killed in action in Afghanistan, non-combat deaths this year. 6.5% this year. The economy
dadi referred to an Islamic State center-left party split in two, erning coalition, the person said. NATO said, without providing More than 2,400 Americans expanded 6.3% in the first half
campaign in August, according complicating life for an already But Prime Minister Giuseppe further details. have died in the nearly 18-year of the year.
to SITE. The Wall Street Journal unwieldy governing coalition. Conte will now have to manage Last week, President Trump war. —Liyan Qi,
couldn’t independently confirm if Former Prime Minister Mat- three parties instead of two, un- called off talks with the Taliban The U.S. currently has about Grace Zhu and Lin Zhu
the voice in the recording was teo Renzi has decided to leave derscoring Italy’s continuing po- to end America’s longest war, 14,500 military personnel in Af-
that of Mr. Baghdadi. the Democratic Party, which litical flux. citing the killing of a U.S. service ghanistan.  Yuan languishes in currency
—Isabel Coles formed a government with the —Giovanni Legorano member in a Taliban attack days —Associated Press trading rankings.........................B1
THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | A9

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A10 | Tuesday, September 17, 2019 * ***** THE WALL STREET JOURNAL.

WORLD NEWS

U.S. Says International Crisis Group and

former White House Middle
East coordinator under Presi-

Iran Staged dent Obama, said, “Both Presi-

dent Trump and Mohammed
bin Salman feel the need to re-

Oil Attack spond but neither wants war.

The question is how they
achieve the former without
provoking the latter.”
Continued from Page One The U.S. has taken the lead
ties on Saturday, the people fa- in providing security for the
miliar said. Persian Gulf monarchies for
But Saudi officials said the decades in part out of a strat-
U.S. didn’t provide enough egy of protecting the world’s
proof to conclude that the at- oil supply. As a result, observ-
tack was launched from Iran, ers of the region expect Saudi
indicating the U.S. information Arabia might defer any mili-
wasn’t definitive. U.S. officials tary action to the U.S.

SAUDI PRESS AGENCY/EPA/SHUTTERSTOCK

said they planned to share “At the end of the day, con-
more information with the ventional military action is a
Saudis in the coming days. last resort for any state, and it
Unless the kingdom makes is something that would be
the same determination, the U.S. done in coordination with re-
would have trouble galvanizing gional and international stake-
regional support for a unified holders,” said Mohamed Al-
response, Western officials and yahya, a Saudi political analyst
analysts in the region said. and editor of the English web-
In Riyadh, the Saudi military site of Saudi-owned al-Arabiya
offered its first assessment on television.
Monday, which stopped far “Any reaction whatsoever,
short of accusing Iran of or- responsibility lies with Iran.” or lack thereof, will have sig-
chestrating the strikes. The U.K., a key U.S. ally, didn’t nificant consequences on the
The Saudi-led coalition immediately assign blame for future of the region,” he said.
fighting a war in Yemen the attacks, saying it is assess- On Monday, Mr. Trump
against Iran-allied Houthi reb- ing what happened and who tweeted a reminder of Iran’s
els said that the weapons used was responsible. behavior when it shot down a

PLANET LABS/AGENCE FRANCE-PRESSE/GETTY IMAGES

in the attack were Iranian U.S. and Saudi officials were U.S. drone in June, a strike
made and it dismissed claims split over how to respond. that led the U.S. to prepare a
of responsibility by the Some want to strike Iran mili- military strike against Iran. Mr.
Houthis. tarily, while others worry an Trump called off the strike af-
In Washington, Mr. Trump attack could trigger a wider re- ter having second thoughts.
offered a more conciliatory gional fight, officials in both “Remember when Iran shot
message toward Iran. After a countries said. down a drone, saying know-
weekend warning that the U.S. The Saturday attack hit the ingly that it was in their ‘air-
was “locked and loaded,” the heart of Saudi Arabia’s oil in- space’ when, in fact, it was
Republican president said dustry with a series of drone nowhere close,” he wrote.
Monday that he wanted to and missile strikes that left Ri- “They stuck strongly to that
avoid a war with Iran. yadh reeling. The country is story knowing that it was a
“Do I want war?” he said to struggling to repair the dam- very big lie. Now they say
reporters in the Oval Office. “I age and limit the fallout to the they had nothing to do with
don’t want war with anybody.” energy industry. Saudi Minister of Energy Prince Abdulaziz bin Salman, top center, inspected an Aramco facility in the attack on Saudi Arabia.
Diplomacy, he said, is Saudi Arabia is now consid- Abqaiq on Sunday. Below, a satellite image shows damage from the weekend attacks on a gas plant. We’ll see?”
“never exhausted until the fi- ering whether to delay plans The weekend strikes marked
nal 12 seconds.” by Aramco, Saudi Arabia’s meeting. relationship, especially for Mr. national security adviser the most significant attack in a
Mr. Trump said Secretary of state oil-and-gas company, for Mr. Rouhani said on Monday Trump and Saudi Crown Prince Charles Kupperman, discussed simmering conflict pitting the
State Mike Pompeo and other an initial public offering, The that the attack was an act of Mohammed bin Salman, the possible military action against U.S. and its Middle East allies
administration officials would Wall Street Journal reported self-defense by Yemeni Houthi country’s de facto ruler. They Iran, but made no decisions, a against Iran and its proxies
soon travel to Saudi Arabia. Monday, citing people familiar rebels. “Every day, Yemen is have both shifted their coun- second person familiar with around the region.
After weighing the Trump with the matter. being bombed and peaceful ci- try’s foreign policies toward the discussions said. Mr. Trump imposed crip-
administration information, The developments have al- vilians are dying,” he said dur- confrontation with Iran. On Monday, Mr. Trump said pling sanctions on Iran that
Saudi Arabia said it was going ready undermined efforts to ing a trilateral summit with Mr. Trump met Monday he is not yet considering mili- have delivered a blow to the
to invite U.N. experts to inves- broker a meeting between Mr. Russian and Turkish counter- with his national security team tary options and that he ex- country’s economy.
tigate and would wait for the Trump and President Hassan parts in Ankara. “When secu- to discuss the attacks on Saudi pects Saudi Arabia to play a Iran’s crude oil production
results before deciding how to Rouhani of Iran next week at rity is restored in Yemen, then Arabia and escalating tensions central role in any response. capacity was nearly 4 million
respond. the United Nations General As- it will be possible again to pro- in the Middle East, a person fa- “The fact is the Saudis are barrels a day before the revival
At the U.N., U.S. Ambassa- sembly. Iran said on Monday duce oil safely in [Saudi Ara- miliar with the meetings said. going to have a lot of involve- of U.S. sanctions, making it a
dor Kelly Craft told the Secu- that its president wouldn’t bia].” Mr. Trump and his team, ment in this, if we decide to do leading oil supplier. The coun-
rity Council that “emerging in- meet Mr. Trump after the U.S. The latest attacks pose a which included Secretary of something,” he said. try’s refining capacity now is
formation indicates that said it was open to such a critical test for the U.S.-Saudi Defense Mark Esper and acting Robert Malley, president of about half that amount.

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THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | A11

WORLD NEWS

Frackers
Seek to
Profit on
Saudi Oil
Attack

AMR NABIL/ASSOCIATED PRESS

BY REBECCA ELLIOTT
AND CHRISTOPHER M. MATTHEWS

Major U.S. shale companies

aren’t planning to fill the void
in global crude supplies left by
an attack on the heart of Saudi Investors are concerned about the attacks on Saudi oil facilities. Above, storage tanks at Aramco’s North Jeddah bulk plant.
Arabia’s top oil facilities.

Anxiety Fuels Surge in Crude Prices

Instead, producers such as
Pioneer Natural Resources
Co. hope to reap the benefits
of the oil-price increase
caused by the disruption in
global supplies, and use the
opportunity to regain investor Oil prices logged one of Shock Absorber worth of lost imports. They
support after delivering poor their largest rallies ever, high- can deploy these reserves in
While Saudi Arabia has less extra oil than in recent years, it has a cushion to make up for losses
financial results and spending lighting anxiety that weekend unison to avoid an oil shock,
after an attack at Abqaiq, where much of the kingdom's crude is processed.
beyond their means. attacks on the heart of Saudi as in June 2011, when the U.S.
“There will be no intention Arabia’s oil industry could Oil inventories in Saudi Arabia Oil production capacity in southeastern Saudi Arabia, 2017 and 27 other countries acted
to add rigs over and above our cause supply shortages and over the past 15 years to release 60 million barrels of
original plan,” Pioneer Chief pose a new threat to the oil from strategic reserves to
Executive Scott Sheffield said 350 million barrels a day
Major oil fields drive down prices during dis-
Monday. IRAQ ruption caused by the civil
Oil production
He added that shareholders By Joe Wallace, KUWAIT Sites attacked war in Libya.
have told him they would sell Caitlin Ostroff 300 IRAN The U.S. holds around 600
Zuluf
the stock if Pioneer, one of the and Amrith Ramkumar Manifah million barrels of oil in re-
top drillers in the Permian Ba- 50 Khursaniyah serve and other governments
sin of West Texas and New global economy. Qatif Safaniya have a further 1.2 billion, said
Mexico, added more rigs than Brent crude futures, the Persian Gulf Oswald Clint, a senior analyst
Abqaiq
planned. “That’s how disci- global gauge of oil, soared 15% Khurais processing facility for Sanford C. Bernstein & Co.
00
plined they want everybody to to $69.02 a barrel on Monday, Even more oil is held com-
be,” he said. the largest-ever percentage Riyadh U.A.E mercially, though this can’t be
Many shale companies have gain for the front-month con- 50 released deliberately by offi-
SAUDI
pulled back production over tract on a closing basis, ac- ARABIA Shaybah cials to avoid an oil shock.
Ghawar OMAN
the past year amid investor cording to Dow Jones Market Commercial inventories in Or-
pressure to cut spending. Data analysis of figures going 00 ganization for Economic Coop-
Changing course wouldn’t be back to 1988. Front-month U.S. Million barrels a day eration and Development na-
well-received by investors, crude futures ended 15% 6 tions have been building all
50 4
said Kevin Holt, chief invest- higher at $62.90 a barrel, year with inventories up 20
ment officer of U.S. value eq- their largest one-day surge in 2 million barrels since January.
1
uities at Invesco Ltd. more than a decade. 0 YEMEN 100 miles Current inventory now sits at
“If you do, you’re going to The price jumps boosted 100 km 2.9 billion barrels, according
00 ’08 ’0 ’ ’ ’ ’8
get your head handed to you,” shares of producers and fol- to the U.S. Energy Information
Mr. Holt said. lowed strikes that disrupted Sources: Joint Organisations Data Initiative (inventories); U.S. Energy Administration (oil production capacity) Administration.
Driven by shale companies, 5.7 million barrels a day of oil Although a major oil short-
the U.S. became the world’s production, or roughly 5% of crude could be limited by In light of the disruption, tively short-lived. The nation age isn’t imminent, a long out-
largest oil producer this year, the world’s total supply. The plentiful stockpiles around the Saudi Arabia held a series of holds around 188 million bar- age in Saudi Arabia is likely to
reaching a record of more latest attack on Saudi Arabia’s world and the flexibility of calls with members of the Or- rels of crude and 97 million keep oil prices elevated be-
than 12 million barrels a day. oil assets also stoked tensions some oil-transport arrange- ganization of the Petroleum barrels of refined-oil products cause the market depends on
between the U.S. and Iran, ments, assuming that damage Exporting Countries and other in storage, said Amarpreet the kingdom to ramp up out-
raising the prospect of more can be steadily repaired in oil-producing allies including Singh, an analyst at Barclays, put in times of crisis. The abil-
disruptions to the flow of oil coming weeks. Russia over the weekend and enough to cover the country’s ity of other members of OPEC
Shale companies are around the world. The Brent prices eased from told producers they wouldn’t exports for around 35 days. to boost output on short no-
aiming to show Monday’s moves were a an earlier spike of as much as need to respond with addi- On top of domestic stock- tice has diminished, while
sign of investors’ alarm at the 19.5% as traders took comfort tional output, Saudi and OPEC piles, Saudi Arabia also stores shale producers in the U.S. are
investors greater scope of the attack in the from the stockpiles of oil world- officials said. oil close to key consumers in under pressure from share-
financial discipline. world’s largest crude exporter. wide that could be released to The jolt to the market fol- the Americas, Europe and holders to show discipline and
With the global economy al- meet the demands of the global lowed weeks of listless trading Japan. “A lot of oil is pre-posi- not overinvest in new produc-
ready slowing, continued price economy if the disruption in in oil, underscoring the possi- tioned close to the markets tion capacity.
increases could result in more- Saudi Arabia is prolonged. On bility of future attacks in the where their consumers are Heightened tensions in the
Shale now accounts for about expensive retail gasoline and Sunday, President Trump said region and Saudi Arabia’s based,” said Harry Tchilin- Middle East, the falling
8 million barrels a day, or higher heating bills that could he authorized the release of oil, prominence as the world’s guirian, head of commodity chances of a rapprochement
roughly 10% of total global put pressure on consumers, if needed, from the Strategic largest crude exporter. strategy at BNP Paribas. between the U.S. and Iran and
production. hurting economic growth and Petroleum Reserve to help off- “This is what happens when A key question for energy the vulnerability of Saudi en-
Continental Resources Inc. threatening a rally that has set cost increases. somebody lights the spark,” traders is how much damage ergy infrastructure also are
Chief Executive Harold Hamm carried U.S. stocks near re- “If [the disruption] is mea- said Bob Yawger, director of has been done to Abqaiq, a likely to push oil prices higher
said the attacks underscore cords. sured in weeks, it sounds like the futures division at Mizuho massive processing plant at even if there is enough oil for
the U.S. shale industry’s im- “I worry the world economy there’s enough in storage in Securities U.S.A. “There is a the heart of Saudi Arabia’s en- energy consumers to tap.
portance to world oil supplies. is in a much more fragile posi- various locations” in Saudi lot of crude oil and one of the ergy system that was targeted “This is a significant escala-
In years past, large production tion in its ability to absorb this Arabia for the kingdom to most geopolitically volatile ar- in Saturday’s attack. tion in the region,” said Chris
disruptions have sent oil kind of price shock” than it was meet its obligations to cus- eas on the planet.” “The longer Abqaiq is down, Midgley, director of analytics
prices soaring to more than a year ago, said Saad Rahim, tomers, Mr. Rahim said. But if Saudi Arabia’s own stock- the higher the risk to exports,” at S&P Global Platts. “If you
$100 a barrel. chief economist at commodity the outage lasts more than piles of oil have fallen in recent Mr. Tchilinguirian said. start taking supply out of the
While shale producers tech- trading house Trafigura. around four weeks, then Saudi years, but remain sufficient to Members of the IEA, includ- biggest producer in the world,
nically have the capacity to Still, many traders and Arabia could start to have dif- ensure the kingdom’s custom- ing the U.S., are required to that is crucial.”
scale up if needed, their prac- portfolio managers said they ficulties and prices are likely ers don’t experience shortages hold emergency stocks of oil —Pat Minczseski
tical ability to fill a short-term expected that further gains in to rise further, he added. provided the disruption is rela- that could cover 90 days’ contributed to this article.
supply shortfall may be lim-
ited. Shale production has be-

Officials Consider Delay

gun to slow modestly this year
as companies respond to in-
vestors’ demands to rein in GRAVITY IS NOT GREAT
spending.
U.S. oil production in-
creased by less than 1% during
the first six months of the In Aramco IPO Plans FOR YOUR BODY.
year, Energy Information Ad-
ministration data show, down Saudi Arabian officials are stores its output to normal Abqaiq oil-processing facility
BUT ZERO-GRAVITY IS...
from roughly 7% growth over discussing delaying Aramco’s levels. Officials had hoped to and Khurais cut off 5.7 million
the same period last year. initial public offering of stock, pull off its Saudi listing some- barrels a day in production.
The Energy Department cut after attacks on the company’s time in November. Officials Saudi officials have previously
its U.S. production-growth largest oil facilities sidelined say that they want to wait to said they should be able to get
forecast for 2019 in September more than half of the king- get a full assessment of the most of production back to
by 100,000 barrels, to an aver- dom’s output, people familiar damage from the attacks be- normal in coming days, using
age of 12.2 million barrels a with the matter said. fore pushing back any listing. stored oil and different facili-
day. Aramco and the Saudi en- ties. But the processing plant
It would likely take several By Summer Said ergy ministry didn’t respond sustained significant damage,
months of higher prices to in Dubai, Rory Jones to requests to comment. and getting it back up online
spur shale companies to boost in Dammam, “The more information we fully could take at least weeks,
production, according to Gold- Saudi Arabia, are getting on the extent of according to people familiar
man Sachs. Shale output and Benoit Faucon the damage, the clearer it is with the plans.
would increase if global in London becoming this is really serious The attack also comes at a
benchmark oil prices were to and would take longer than sensitive time for Aramco
surpass $75 a barrel for more Saudi Arabian Oil Co., as anticipated to see things back leadership. Khalid al Falih,
than three months, the bank Aramco is officially known, to normal,” an official familiar who until recently led both From head to toe gravity weighs you down -
estimated in a research note. has been gearing up for a two- with the matter said. Aramco, as chairman, and the compressing your vertebrae, stretching out
The impact of outages thus far part IPO, in which it had country’s oil sector, as energy your skin, pulling body fat down, causing
hasn’t reached those levels, hoped to first sell a sliver of minister, was this month re- aging, pain and health problems now or in
with the price of Brent crude itself to investors on the local lieved of those positions. Two the future.
closing 15% higher to $69.02
on Monday—its largest single-
day gain in more than a de-
cade.
Saudi exchange and then list
shares internationally, accord-
ing to people familiar with the
matter. The listing plans have
5.7M
Barrels a day in oil production
officials untested by crises of
this kind are now in charge:
Yasir al-Rumayyan, who leads
Saudi Arabia’s main sovereign-
Our zero-gravity recliners can help heal pain,
slow aging, and improve your health by
neutralizing gravity’s effects.
Houston-based producer long been dogged by questions cut off by Saturday’s attack wealth fund, now heads
Paloma Resources LLC over valuation and the venue Aramco and Crown Prince Mo-
planned to capitalize on the for an international stock-mar- hammed bin Salman’s older
oil-price increase by hedging a ket debut. The weekend at- brother, Abdulaziz bin Salman,
greater portion of its oil out- tacks present Aramco with ar- “You cannot go ahead with is just days into his new job as
put, President Chris O’Sullivan guably its biggest hurdle so an IPO without sorting out energy minister.
said. far on the way to going public. your production issues first,” Aramco’s valuation has Free Shipping
“We’re looking at this as an The company is expected to the official said. been a point of contention.
opportunity to capture a move forward with presenta- Discussions of a change in The crown prince and his 12 Months 0% Apr
short-lived, meaningful bump,” tions to analysts and meetings the offering’s timing have banking advisers expect the
Mr. O’Sullivan said, adding with bankers as planned, but been confined to Saudi offi- IPO could value the company 30-Day Risk-Free Trial
that the private company Saudi energy officials and cials and Aramco executives, at $2 trillion. Other bankers
doesn’t expect to adjust its Aramco executives are debat- according to people familiar and several Aramco executives SVAGO.COM 844-MY-SVAGO
drilling plans, which are diffi- ing a rescheduling of the IPO with the talks. say the company should be
cult to change quickly. until after the company re- Saturday’s attack on the valued near $1.5 trillion.
A12 | Tuesday, September 17, 2019 * *** THE WALL STREET JOURNAL.

FROM PAGE ONE

Amazon brands or products offered by

our selling partners.”
Antitrust regulators for de-
line from that principle:
“Leaders start with the cus-
tomer and work backwards.”
When engineers test new
variables in the algorithm,
Amazon gauges the results

Changes cades have focused on whether

companies use market power
to squeeze out competition.
One former Amazon search
executive said: “We fought
tooth and nail with those guys,
against a handful of metrics.
Among these metrics: unit
sales of listings and the dollar

Search Amazon avoided scrutiny

partly because its competitive
marketplace of merchants
because of course they wanted
preferential treatment in
search.”
value of orders for listings.
Positive results for the metrics
correlated with high customer

JIM WATSON/AGENCE FRANCE-PRESSE/GETTY IMAGES

drives down prices. For years, A9 had operated satisfaction and helped deter-
Continued from Page One Now, some lawmakers are independently from the retail mine the ranking of listings a
ings can make or break a prod- calling for Washington to re- operations, reporting to its search presented to the cus-
uct. The site’s search bar is the think antitrust law to account own CEO. But the search team, tomer.
most common way for U.S. for big technology companies’ in Silicon Valley about a two- Now, engineers would need
shoppers to find items online, clout. In Amazon’s case, they hour flight from Seattle, now to consider another metric—
and most purchases stem from say it can bend its dominant reports to retail chief Doug improving profitability—said
the first page of search results, platform to favor its own Herrington and his boss Jeff the people who worked on the
according to marketing analyt- products. Sen. Elizabeth War- Wilke—effectively leaving project. Variables added to the
ics firm Jumpshot. ren (D., Mass.) has argued Am- search to answer to retail. algorithm would essentially
The issue is particularly azon stifles small businesses After the Journal’s inqui- become what one of these
sensitive because the U.S. and by unfairly promoting its pri- ries, Amazon took down its A9 people called “proxies” for
the European Union are exam- vate-label products and under- website, which had stood for profit: The variables would
ining Amazon’s dual role—as pricing competitors. Amazon about a decade and a half. The correlate with improved prof-
marketplace operator and has disputed this claim. Amazon CEO Jeff Bezos propounds a ‘customer obsession’ mantra. site included the statement: itability for Amazon, but an
seller of its own branded prod- During a House antitrust “One of A9’s tenets is that rel- outside observer might not be
ucts. An algorithm skewed to- hearing in July, lawmakers evance is in the eye of the cus- able to tell that. The variables
ward profitability could steer pressed Amazon on whether it Top Billing tomer and we strive to get the could also inherently be good
customers toward thousands used data gleaned from other When people search for products on Amazon*, best results for our users.” for the customer.
of Amazon’s in-house products sellers to favor its own prod- Mr. Herrington’s retail team For the algorithm to under-
that deliver higher profit mar- ucts. “The best purchase to nearly two-thirds of all product clicks come lobbied for the adjustment to stand what was most profit-
gins than competing listings you is an Amazon product,” from the first page of results… Amazon’s search algorithm able for Amazon, the engi-
on the site. said Rep. David Cicilline (D., that led to emphasizing profit- neers had to import data on
Amazon’s lawyers rejected R.I.). “No that’s not true,” re- First page Row 1 2 3 4 5 6 7 8 ability, some of the people fa- contribution profit for all
an initial proposal for how to plied Nate Sutton, an Amazon miliar with the discussions items sold, these people said.
add profit directly into the al- associate general counsel, say- Other pages said. The laborious process meant
gorithm, saying it represented ing Amazon’s “algorithms are 0 20 40 60% When a customer enters a extracting shipping informa-
a change that could create optimized to predict what cus- search query for a product on tion from Amazon warehouses
trouble with antitrust regula- tomers want to buy regardless …so the proliferation of Amazon's private-label Amazon, the system scours all to calculate contribution
tors, one of the people familiar of the seller.” House Judiciary listings for such an item and profit.
with the project said. Committee leaders recently
products on the first page makes it more likely considers more than 100 vari- In an internal system called
The Amazon search team’s asked Amazon to provide exec- people choose those items. ables—some Amazon engi- Weblab, A9 engineers tested
view was that the profitability utive communications related Amazon private-label products neers call them “features.” proposed variables for the al-
push violated the company’s to product searches on the site These variables might include gorithm for weeks on a subset
principle of doing what is best as part of a probe on anticom- shipping speed, how highly of Amazon shoppers and com-
for the customer, the people petitive behavior at technology buyers have ranked product pared the impact on contribu-
familiar with the project said. companies. listings and recent sales vol- tion profit, unit sales and a
“This was definitely not a pop- Amazon says it operates in umes of specific listings. The few other metrics against a
ular project,” said one. “The fiercely competitive markets, algorithm weighs those vari- control group, these people
search engine should look for it represents less than 1% of ables while calculating which said. When comparing the re-
relevant items, not for more global retail and its private-la- listings to present the cus- sults of the groups, profitabil-
bel business represents about tomer and in which order. ity now appeared alongside
Profit Center 1% of its retail sales. The algorithm had long other metrics on a display
Amazon executives have placed a priority on variables called the “dashboard.”
A majority of Amazon's sales
sought to boost profitability in such as unit sales—a proxy for Amazon’s A9 team has
come from retail, but a majority
its retail business after years popularity—and search-term since added new variables that
of its operating profits come
of focusing on growth. A ma- relevance, because they tend have resulted in search results
from its cloud-computing unit.
jority of its $12.4 billion in op- to predict customer satisfac- that scored higher on the
Retail, subscriptions, erating income last year came tion. A listing’s profitability to profitability metric during
advertising and services from its growing cloud busi- Amazon has never been one of testing, said a person involved
ness. these variables. in the effort, who declined to
Amazon Web Services
say what those new variables
were. New variables would
Percentage of total sales Pressure on engineers Profit metric also have to improve Amazon’s
86.9% An account of Amazon’s Amazon retail executives, other metrics, such as unit
Retail sales and 13.1% search-system adjustment especially those in its private- sales.
commissions: 75% emerges from interviews with label business, wanted to add A review committee that
people familiar with the inter- a new variable for what the approves all additions to the
Percentage of nal discussions, including company calls “contribution algorithm has sent engineers
operating income some who worked on the proj- profit,” considered a better back if their proposed variable
42.1% 57.9% ect, as well as former execu- measure of a product’s profit- produces search results with a
Note: First half of 2019; Amazon doesn't break
tives familiar with Amazon’s ability because it factors in lower score on the profitabil-
out operating income for retail private-label business. non-fixed expenses such as ity metric, this person said.
Source: the company The A9 team—named for shipping and advertising, leav- “You are making an incentive
the “A” in “Algorithms” plus ing the amount left over to system for engineers to build
profitable items.” its nine other letters—controls cover Amazon’s fixed costs, features that directly or indi-
Amazon said it has for the all-important search and said people familiar with the rectly improve profitability,”
many years considered long- ranking functions on Amazon’s discussion. the person said. “And that’s
term profitability and does site. Like other technology gi- Amazon’s private-label not a good thing.”
look at the impact of it when ants, Amazon keeps its algo- products are designed to be Amazon said it doesn’t au-
deploying an algorithm. “We rithm a closely guarded secret, more profitable than compet- tomatically shelve improve-
have not changed the criteria even internally, for competi- ing items, said people familiar ments that aren’t profitable. It
we use to rank search results tive reasons and to prevent with the business, because the said, as an example, that it re-
to include profitability,” said sellers from gaming the sys- company controls the manu- cently improved the discover-
Amazon spokeswoman Angie tem. facturing and distribution and ability of items that could be
Newman in an emailed state- Customers often believe cuts out intermediaries and delivered the same day even
ment. that search algorithms are marketing costs. though it hurt profitability.
Amazon declined to say neutral and objective, and that Amazon’s lawyers rejected Amazon’s Ms. Newman
why A9 engineers considered results from their queries are the overt addition of contribu- said: “When we test any new
the profitability emphasis to the most relevant listings. tion profit into the algorithm, features, including search fea-
be a significant change to the Executives from Amazon’s pointing to a €2.42 billion fine tures, we look at a number of
algorithm, and it declined to retail divisions have frequently ($2.7 billion at the time) that metrics, including long term
discuss the inner workings of pressured the engineers at A9 Alphabet Inc.’s Google re- profitability, to see how these
its algorithm or the internal to surface their products ceived in 2017 from European new features impact the cus-
discussions involving the algo- higher in search results, peo- regulators who found it used tomer experience and our
rithm, including the qualms of ple familiar with the discus- its search engine to stack the business as any rational store
*Based on a study in 2018 of anonymous consumer actions on mobile and desktop devices
the company’s lawyers. sions said. Amazon’s retail Note: Product searches conducted Aug. 28 deck in favor of its compari- would, but we do not make de-
The change could also boost teams not only oversee its Source: Jumpshot Angela Calderon/THE WALL STREET JOURNAL son-shopping service, said one cisions based on that one met-
brand-name products or third- own branded products but of the people familiar with the ric.”
party listings on the site that also its wholesale vendors and dresses. chains and drugstores that discussions. Google has ap- In some ways, Amazon’s
might be more profitable than vast marketplace of third- Amazon’s private-label showcase their private-label pealed the fine and has made broader shift from showing
Amazon’s products. And the party sellers. business, at about 1% of retail products alongside national changes to Google Shopping in relevant search results is no-
algorithm still also stresses Amazon’s private-label sales, would represent less brands and promote them in- response to the European ticeable on the site. Last sum-
longstanding metrics such as team in particular had for sev- than $2 billion in 2018. Invest- store. Commission’s order. mer, it changed the default
unit sales. The people who eral years asked A9 to juice ment firm SunTrust Robinson A9 executives pushed back To assuage the lawyers’ sorting option—without publi-
worked on the project said sales of Amazon’s in-house Humphrey estimates the pri- and said such a change would concerns, Amazon executives cizing the move—to “featured”
they didn’t know how much products, some of these peo- vate-label business will post conflict with Chief Executive looked at ways to account for after ranking the search re-
the change has helped Ama- ple said. The company sells $31 billion in sales by 2022, Jeff Bezos’ “customer obses- profitability without adding it sults for years by “relevance,”
zon’s own brands. over 10,000 products under its more than Macy’s Inc.’s annual sion” mantra, these people directly to the algorithm. They according to a Journal analy-
Amazon’s Ms. Newman said: own brands, according to re- revenue last year. said. The first of Amazon’s turned to the metrics Amazon sis for this article of screen-
“Amazon designs its shopping search firm Marketplace Pulse, The private-label executives longstanding list of 14 leader- uses to test the algorithm’s shots and postings by users
and discovery experience to ranging from everyday goods argued Amazon should pro- ship principles requires man- success in reaching certain online. Relevance is no longer
feature the products custom- such as AmazonBasics batter- mote its own items in search agers to focus on earning and business objectives, said the an option in the small “sort
ers will want, regardless of ies and Presto paper towels, to results, these people said. keeping customer trust above people who worked on the by” drop-down button on the
whether they are our own clothing such as Lark & Ro They pointed to grocery-store all. Amazon often repeats a project. top right of the page.

Owners Try property’s sale. If enough peo-

ple enter, the entrance fees
amount to something close to
say about why they wanted the
inn and a $125 fee. The previ-
ous owner made more than
theater as a short-term invest- given the $100 entry fee was
ment, hoping to flip it.
His 2015 contest attracted
considerably cheaper.
State gambling authorities
Polly Wood, 46 years old,
started the contest in Ithaca to
give away Toko Imports, a

Property the desired sale price. If too

few people enter, the contest is
usually canceled and contes-
$900,000 from that contest, ac-
cording to the Portland Press
Herald. The Adamses now value
significant media attention, but have launched investigations to
ultimately, there weren’t determine whether such con-
enough contestants. “We didn’t tests are unsanctioned lotteries
small drum shop she has
owned since 2014. (In her case,
she’s offering the business with

Contests tants get refunds. Mr. Ring is

seeking at least 9,900 appli-
cants, amounting to $980,100
the inn at about $1.5 million.
“When you play the lotto, in
a sense, you don’t think you’re
come remotely close to where in disguise. The Center Lovell
we needed to be,” he said. Mr. Inn was the target of one such
Hurley had set a probe in 2015. Ear-
the possibility of a three-year
lease; she rents the space.) Her
contest is an eight-point ques-
in entrance fees. Mr. Ring de- going to win,” Mr. Adams said. target of at least lier this year, the tionnaire about contestants’ vi-
Continued from Page One clined to comment on how But with a contest, “you have 3,500 contestants, Alberta Gaming, Li- sion for the store and has a
As with any other gamble, many entries have come in. this pipe dream from the mo- enough to gener- quor and Cannabis $108 entrance fee.
the contests’ appeal lies in the However, any such contest ment of playing it, and that’s ate $350,000 in Commission inves- While most others require
potential payoff. The winner of can’t be one of chance—that what we did.” fees. tigated a letter- thousands of entries to fund
the treehouse getaway, Timber- would be an illegal lottery. Sparked by the 2015 compe- In Mr. Hurley’s writing contest to the contest, hers needs only
Stone Adventures, is promised That’s why the fee is matched tition, Paul Spell tried selling email canceling it, win a roughly $1.3 100 to meet its goal. “This was
the property and $25,000. with a challenge like a photo his Alabama goat cheese farm he invited partici- For the win million home in more exciting to me than just
“Where are you going to get submission. with an essay contest after pants to make of- Canada. The com- looking for a buyer,” she said.
a better deal than getting an Mr. Ring was inspired by a spending two years trying to fers. One of them mission found the Ms. Wood hopes her offer-
entire resort?” said owner Josh similar contest in Lovell, Maine, sell it. Carole Kelaher did the was Charlie Fortier, 56 years giveaway didn’t violate any of ing is unique enough to draw
Ring, 39 years old. a few miles down the road from same with her Vermont cupcake old, who had grown up in the its laws. Homeowner Alla Wag- contestants—a sentiment Mr.
Many of the owners have his family’s resort. The Center shop. Neither attracted enough northern Maine town and ner ultimately canceled it for Ring of TimberStone Adven-
had trouble selling their prop- Lovell Inn & Restaurant has entrants to move forward. planned to retire there from his lack of interest. tures echoed. “No one’s going
erties the traditional way. Mr. found new owners through an Michael Hurley hosted a job in publishing. He responded Scott Schleifstein, a lawyer to do this for a $200,000
Ring and his family had their essay contest twice, once in giveaway for his two-screen with an all-cash offer and now involved in a current giveaway house. This is about unique-
property, which he said is prof- 1993 and again in 2015. movie theater in Houlton, runs the theater. He declined to in Ithaca. N.Y., described the ness,” he said.
itable, listed on the market for The current owners, Prince Maine, through an essay con- say how much he paid. concept’s frequency as “some- “I built a treehouse resort,”
$1 million for a year. and Rose Adams, won the 19th- test after trying to sell it for 14 “I wish I’d have won it,” Mr. where between a no-hitter and Mr. Ring added. “Most people
Such a contest crowdfunds a century farmhouse with an es- years. He had purchased the Fortier said with a chuckle, a perfect game.” wouldn’t do that either.”
 THE WALL STREET JOURNAL. * * NY Tuesday, September 17, 2019 | A12A

GREATER NEW YORK

MTA Unveils $55 Billion Spending Plan
Agency wants to install “This is a historic, trans- authority to budget $41 billion

new elevators at 70
formational capital plan,” Big-Ticket Items for subway and bus upgrades
MTA Chairman Patrick Foye in this plan, compared with
city subway stations, said at a news conference on In the Capital Plan approximately $19 billion in
Monday. the current plan.
improve commuter rails The proposed plan is $22 The proposed spending will
billion more than the MTA’s $7.1 billion: Subway signal allow Andy Byford, head of the
BY PAUL BERGER current five-year capital plan. modernization subway and bus systems, to
MTA board members will vote pursue a turnaround plan that
The Metropolitan Trans- on the proposal when they $6.1 billion: Subway cars he unveiled in May 2018. Two
portation Authority plans to meet Sept. 25. Although the key areas of the plan were
spend an unprecedented $55 proposal released Monday was $4.1 billion: Subway station rapidly upgrading subway sig-
billion over the next five sweeping, it lacked many of DREW ANGERER/GETTY IMAGES
improvements nals and adding dozens of ele-
years to modernize its two the details that are usually vators at stations.
commuter rail lines, its clear at this stage of the plan- $2.3 billion: 2,200 new buses “I’m not even trying to keep
bridges and tunnels, and New ning process. On Monday, offi- the smile off my face,” Mr. By-
York City’s subway and bus cials published an 11-page $1.1 billion: Verrazzano-Nar- ford said Monday.
systems. power-point presentation, rows Bridge improvements Transit advocacy groups
The five-year spending promising more information in also welcomed the spending
plan, if approved by MTA the coming days. $1 billion: LIRR track im- proposals, though they cau-
board members and state and Reinvent Albany, a good- provements tioned that details of the plan
city officials, includes the in- government group, cautioned New signaling technology would increase subway service frequency. need to be examined.
troduction of new elevators that the lack of detail raised “If all of this work happens
at 70 subway stations and transparency concerns and Once the board approves it, ally, the two sides agreed that cured billions of dollars in new as proposed, the transit sys-
new signaling technology that prevented scrutiny of the au- the plan must be reviewed by the state would pay $8.3 bil- revenues for the MTA, making tem will truly be on the road
would increase the frequency thority’s spending plans. a four-member panel repre- lion, while the city contributed the $55 billion spending pro- to repair,” said John Raskin,
of subway service on six Many board members are senting Mr. Cuomo, New York $2.5 billion. posal possible. The budget in- executive director of Riders
lines. yet to be briefed on the plan. City Mayor Bill de Blasio and This plan proposes that the cluded new real-estate and in- Alliance.
At the MTA’s two commuter New York Gov. Andrew Cuomo, the leaders of the New York state and city each contribute ternet-sales taxes, as well as a The plan also includes fund-
railroads, the authority plans who controls a plurality of state Senate and Assembly. $3 billion. Mr. Cuomo, in his congestion fee on vehicles en- ing for the next phase of the
to pour billions of dollars into votes on the board, will be key The MTA’s last five-year statement Monday, said he tering Manhattan’s busiest Second Avenue subway, which
track, signals and rolling to its success. Mr. Cuomo re- spending plan was held up for supported the funding share. streets. The fee is expected to would extend the Q line in
stock, and to complete plans leased a statement Monday in- months following a dispute A spokesman for Mr. de Blasio begin in 2021. Manhattan to 125th Street
to bring the Long Island Rail dicating that he still needed to between Mr. Cuomo and Mr. said the city would review the The MTA proposes borrow- from 96th Street.
Road to Grand Central Termi- review the details of the de Blasio over how much the plan. ing $25 billion against those —Jimmy Vielkind
nal in Manhattan. spending plan. city would contribute. Eventu- This year’s state budget se- revenues. That has allowed the contributed to this article.

Lamont Seeks
To End Vaccine
Exemption
BY MELANIE GRAYCE WEST fective. Public-health experts
say there is a growing, ag-
Connecticut Gov. Ned La- gressive and vocal antivacci-
mont said Monday that the nation movement in the U.S.
state should join a handful of and elsewhere. Some parents
others that require minors to say they believe vaccinations
receive vaccinations for pre- can cause injuries and other
ventable diseases, eliminating harm.
most exceptions to vaccination. Connecticut’s commissioner
“The more children who for the Department of Public
receive their vaccinations, the Health, Renée D. Coleman-
safer it is for everyone, espe- Mitchell, wrote in a letter to
CLAUDIO PAPAPIETRO FOR THE WALL STREET JOURNAL

cially those who may be at state lawmakers on Monday

risk to catch serious diseases,” that they should eliminate the
Mr. Lamont said in a state- religious exemption for vacci-
ment. But if a parent decides nation beginning in the
not to vaccinate “then alter- 2021-22 school year.
nate decisions must be made Connecticut has allowed re-
about where to educate your ligious exemption to vaccina-
children,” he said. tion for 60 years. Giving
During a Monday news plenty of time to implement
conference, Mr. Lamont, a the change in vaccination re-
Democrat, stressed that end- quirements will allow school
ing the state’s religious ex- districts and parents “time to
emption would be done prepare for the new reality in
through legislation and in a our state, making whatever ar-
Weill Cornell Medicine students celebrate after an announcement that new scholarships will eliminate education debt for many. respectful way, allowing par- rangements necessary if they
ents time to plan and com-

Weill Cornell Slices Students’ Debt ment at public hearings.

“I want parents to know
that their kids can go to
school and feel safe. That
‘I want parents to
know that their kids
BY MELANIE GRAYCE WEST medical school have a median need. The school received chairman emeritus of the col- we’ve done everything we can
debt of roughly $200,000, ac- nearly 50% more applications lege’s Board of Overseers. to protect the public health,”
can go to school
New York City’s Weill Cor- cording to data from the Asso- last year after the announce- Plans to expand the schol- Mr. Lamont said. He said that and feel safe.’
nell Medicine said Monday ciation of American Medical ment, a university official said. arship endowment for Weill legislative action such as this
that it would increase its Colleges. Some 73% of medical- Comparing the most recently Cornell Medicine began is “not always an easy vote.”
scholarship offerings to elimi- school students graduated admitted class to the preced- shortly after Dr. Choi arrived The recommendation comes
nate education debt for stu- with debt in 2017, a recent ing three, enrollment for black in 2017, and with Mr. Green- after New York implemented a choose not to vaccinate their
dents demonstrating financial AAMC report shows. students increased nearly berg’s urging. new law that eliminates reli- children for non-medical rea-
need, an expansion that fol- Weill Cornell Medicine fol- 38.6%, and rose 8.8% for racial Officials said $53 million gious exemptions for school sons,” wrote Ms. Coleman-
lows other similar debt-relief lows the Icahn School of Medi- and ethnic populations that more is needed to continue vaccinations for minors at- Mitchell.
efforts at medical schools in cine at Mount Sinai, New York are underrepresented in medi- the debt-relief program in per- tending any school and, sepa- Data released from the Con-
the city. University and Columbia Uni- cine, according to the college. petuity. The program begins rately, tightened the process necticut Department of Health
The $160 million scholar- versity’s Vagelos College of Medical schools tend to see with the newly admitted class for receiving a medical exemp- showed there were more than
ship program comes as stu- Physicians and Surgeons, an influx in applications after and includes students already tion to vaccination. The 100 schools that had immuni-
dent debt is on the minds of which all have launched stu- rolling out debt-relief pro- enrolled and receiving finan- change in New York’s law, zation rates for measles-
all college deans, said Augus- dent debt-relief programs in grams, said Jo Wiederhorn, cial aid. which happened in June, has mumps-rubella below the fed-
tine M.K. Choi, the dean of the past 17 months. Weill Cor- president and chief executive Jessica M. Bibliowicz, chair- prompted some families to eral guideline of 95%
Weill Cornell Medicine and nell Medicine’s program most of the Associated Medical man of the Weill Cornell Medi- consider pulling their children vaccinated.
provost for medical affairs at closely mirrors Columbia’s Schools of New York. cine Board of Overseers and a out of school in favor of home “The immunization rates
Cornell University. Debt cre- debt-elimination effort. Mount “They can take anyone they daughter of Joan and Sanford schooling. for MMR are decreasing,” Ms.
ates financial stress that leads Sinai’s program, by contrast, want,” she said. Weill, said it took some time Connecticut is one of 31 Coleman-Mitchell said.
to burnout, or to physicians is structured so that students Weill Cornell Medicine’s to pull the program together states that have had reported State Rep. Vincent Cande-
pursuing a lucrative area of don’t graduate with more than scholarship program is being with a focus on the total cost measles cases this year, part lora, a Republican, said law-
medicine and not one that is $75,000 in debt. funded with gifts from three of attendance, including tu- of the worst measles outbreak makers expected this move
their passion, he said. The three schools acknowl- main sources: the Starr Foun- ition, housing and other living in the U.S. since 1992. Con- from the governor after an ef-
“We believe that eliminat- edge in their programs that dation, directed by Maurice R. expenses. necticut had three confirmed fort to end vaccine exemptions
ing student debt when they some students can fully pay “Hank” Greenberg, the former “Sometimes being first is cases of measles, while New stalled during the last legisla-
graduate goes a long way to for school. Roughly one-third chief executive of American great,” Ms. Bibliowicz said. York has had more than 1,000 tive session.
promote well-being and mini- of Weill Cornell Medicine stu- International Group Inc. and “But sometimes, really doing cases. “It’s not a partisan issue by
mize physician burnout,” said dents pay the full cost of edu- an overseer of Weill Cornell the work and understanding The Centers for Disease any means,” he said. “The
Dr. Choi. “At the end of the cation, the college said. Medicine; Joan and Sanford I. different models and coming Control and Prevention, as leadership on the Public
day, that will impact on our NYU, however, will cover Weill; and the Weill Family up with something that is the well as other health authori- Health Committee will be
patients.” tuition for all its medical stu- Foundation. Mr. Weill, the for- best for your organization is a ties and leading scientists, working toward getting a
Students who graduate from dents regardless of financial mer head of Citigroup Inc., is good place to be.” say vaccines are safe and ef- consensus.”
 A12B | Tuesday, September 17, 2019 NY * *** THE WALL STREET JOURNAL.

GREATER NEW YORK

Glitches Plague
Tracking System
For School Buses
BY LESLIE BRODY Technical problems plagued
the Teletrac Navman system
The New York City Depart- early. Often drivers couldn’t
ment of Education bungled find their routes, the report
running a system to track said, or devices reported sur-
school buses for disabled chil- prising locations, including
dren, leaving the city unable buses shown in California and
to recoup millions of dollars in off the coast of Africa.
federal reimbursements, a Despite these glitches, the
watchdog agency said Monday. department expanded the proj-
In its report, the city’s Spe- ect from hundreds of buses to
cial Commissioner of Investiga- thousands. “It was misman-
tion detailed years of waste and agement from the start,” said
mismanagement at the depart- Anastasia Coleman, special
ment, which spent nearly $9 commissioner of investigation.
million on a bus-tracking sys- “There were so many warning
tem sold by Teletrac Navman. signs it wasn’t working, it was
In one glaring problem, the a shame they proceeded to ex-
report said, most drivers pand the contract.”
didn’t log into the GPS from The Teletrac Navman de-
MATTHEW MURPHY

tablets on their buses, often vices weren’t intended to give

because the device didn’t work parents data on their children’s
or their bus company contract whereabouts. Parents have
didn’t require them to use it. long had to call bus companies
The department hired Tele- or the department for that
‘Derren Brown: Secret’ brings the British mind-reader and illusionist, who has played sold-out runs in London’s West End, to Broadway. trac Navman in 2014 to install
GPS devices in buses for stu-

Illusionist Tries for Box-Office Magic

dents with special needs,
eventually covering 6,000
‘To date no money—
buses, so the agency could col- none—was ever
lect data to file for Medicaid
BY CHARLES PASSY “Derren Brown: Secret” Barry Manilow and Dave interest in Broadway from reimbursement for transport-
reimbursed to the
opened Sunday to positive re- Chappelle, did fairly well. In other performers, said Jordan ing special education students. DOE,’ a report said.
The next big thing on views. The show is also off to particular, Mr. Chappelle Roth, president of Jujamcyn “To date no money—none—
Broadway may not be a musi- a solid start at the box office, played a nearly sold-out run of Theaters, one of the promi- was ever reimbursed to the
cal or play. according to figures from the 10 shows. nent theater chains on Broad- DOE,” the report said.
Concert stars, comedians Broadway League, an industry Michael Rego, a partner in way. A spokeswoman for Tele- help. Parents have often com-
and other nontheatrical artists trade group. It drew an audi- the Araca Group, one of the Mr. Springsteen “got many trac Navman said the depart- plained about long call-wait
are finding their way to the ence of 94% capacity during producers behind the Lunt- extraordinary artists thinking ment was a valued customer times and insufficient informa-
Great White Way. And audi- the past week’s run of seven Fontanne series, said it “far this is a canvas to take seri- and it is “cooperating fully tion from both the bus compa-
ences are coming to their shows, which included six pre- exceeded our expectations.” ously,” said Mr. Roth. Mr. with the investigation.” nies and the department. The
shows in respectable numbers. view performances. (Atten- He added that he hopes to Springsteen’s show was pre- Schools Chancellor Richard City Council passed a bill this
Among the latest produc- dance did, however, include bring more nontheatrical pre- sented at the Walter Kerr The- Carranza said his office was year requiring all buses to use
tions in this vein are “Derren several members of the press, sentations to Broadway. atre, a Jujamcyn venue. preparing a retroactive Medic- GPS tools, not just those for
Brown: Secret” and “Freestyle as is typical during the pre- “Our model is something Some nontheatrical shows aid claim for the past 15 special-needs students.
Love Supreme.” view period.) we’re going to keep utilizing have already been announced months and would be able to The chancellor said this
The former brings the Brit- “Freestyle Love Supreme” for years to come,” he said. for the months ahead. Among submit claims more easily un- year his agency aims to add Via
ish mind-reader and illusion- started playing previews this In many ways, the prece- them is a return of “The Illu- der new bus-tracking technol- technology on every bus so
ist, who has played sold-out past week. Over four preview dent for this approach is Bruce sionists,” a magic-themed ogy it aims to install this year that parents can receive real-
runs in London’s West End, to performances, it played to an Springsteen’s massively suc- show that has become a fix- by a different company called time updates on their child’s
Broadway for the first time. audience of 89% capacity. cessful 14-month stint on ture on Broadway during the Via, pending contract approval. location on their mobile device.
The latter is a show that Other nontheatrical shows Broadway, which ended in De- winter holiday season. “I was completely unsatis- The department said it re-
blends hip-hop and improvisa- have had notable runs on cember 2018. His show, which Also on tap: Veteran jazz fied with the lack of urgency ceived 5,444 bus-service com-
tion and was created by “Ham- Broadway in the past year. was something of a concert- and popular musician Harry and poor performance of our plaints, mostly from parents
ilton” composer Lin-Manuel Most notably, a series of pre- play hybrid, sold out every Connick Jr., will present a bus system when I arrived in and caregivers, during the
Miranda in collaboration with sentations at the Lunt-Fon- performance and grossed $113 tribute to Cole Porter, with New York City last year,” the first five days of school this
Thomas Kail and Anthony tanne Theatre, including those million for the run. previews slated to begin in De- chancellor said in statement. year, with an average call-wait
Veneziale. by such high-profile acts as In turn, this has garnered cember. “That’s why I took action.” time of 12 minutes.

GREATER NEW YORK WATCH

dog•ged
/'dôg d/
adjective
CLAUDIO PAPAPIETRO FOR THE WALL STREET JOURNAL

Despite spending my early life in a shelter, there’s no dog more

determined than me. Thanks to the National Disaster Search Dog
Foundation, if you’re ever trapped under rubble after a disaster,
I’ll find you. That’s my job, and what I was born to do. You’ll never find
a dog more dogged.

THE NATIONAL DISASTER SEARCH DOG FOUNDATION

Strengthening disaster response in America by rescuing dogs and partnering them
with first responders to save lives. Be Part of the Search™ today. Call (888) 4K9-HERO,
visit SearchDogFoundation.org, or write to SDF, 6800 Wheeler Canyon Road,
Santa Paula, CA 93060.

HANGING OUT: Artist in residence Nikhil Chopra will live at the Metropolitan Museum of Art during
‘Lands, Waters, Skies,’ a performance and installation unfolding over nine days in multiple galleries.

BRONX nounced dead at a hospital. The said his client is confident she
truck driver remained at the scene. will be exonerated. Mr. Khai-
Police Inspector Dies Inspector McGrath served as mov’s attorney said his client “is
In Motorcycle Crash commanding officer of the innocent of the allegations.”
NYPD Cadet Corps. Police Com- An attorney for Mr. Se-
A New York City police in- missioner James O’Neill ex- vumyants didn’t immediately an-
spector has been killed in a mo- tended his “deepest condo- swer an email seeking comment,
torcycle crash in the Bronx. lences” to his family, friends and and it wasn’t known whether Mr.
Police say 56-year-old Michael colleagues, saying Inspector Fleyshmakher had an attorney.
McGrath was on his motorcycle McGrath “shaped young minds The four owned or worked
in the Pelham Bay neighborhood and prepared coming genera- for Prime Aid pharmacies in
just before 8 a.m. Monday when tions of New York’s Finest.” Union City, N.J., and the Bronx
he collided with a truck that —Associated Press that provided specialty medica-
was making a left turn. tions. They allegedly bribed doc-
Inspector McGrath was pro- CRIME tors with cash and expensive
meals to send them prescrip-
Authorities Allege tions, and in many cases re-
$99 Million Fraud ceived reimbursements for those
CORRECTIONS & Four people who owned or
prescriptions even though they
never sent them to patients, ac-
Victor AMPLIFICATIONS worked at pharmacies in New Jer-
sey and New York City bribed doc-
cording to authorities.
—Associated Press
Active Search Dog
Rescued from Redding, CA.
tors to send them prescriptions
Photographed by Shaina Fishman Brendan Sexton, executive and received millions of dollars in CONNECTICUT
at SDF’s National Training Center. director of the Independent reimbursements for medications
Drivers Guild, said classifying they didn’t send to patients or Police Seek Owner
drivers as employees might even have in stock, an indictment Of Abandoned Dog
not be enough for them to released Monday alleged.
unionize. An article Monday The $99 million scam began Authorities are looking for
about some groups in New in 2009, the U.S. attorney’s of- the person who abandoned a
York pushing to extend em- fice asserted. The indictment dog in a crate in Connecticut.
ployment protections for app- charged Alex Fleyshmakher, 33 Enfield police say in a Face-
based workers incorrectly years old, of Morganville, N.J.; book post the adult male Ger-
stated that Mr. Sexton said Ruben Sevumyants, 36, of Marl- man shepherd was found inside
classifying drivers as employ- boro, N.J.; and Samuel Khaimov, the crate down an embankment
ees might make it harder for 47, and Yana Shtindler, 44, both near a marshy area on Saturday.
them to unionize. of Glen Head, N.Y. The dog was dehydrated but
The defendants are charged found to be otherwise healthy.
Readers can alert The Wall Street with crimes including health-care Police say the dog appeared
Journal to any errors in news articles
by emailing [email protected] or fraud, wire fraud and conspiracy. friendly but scared.
by calling 888-410-2667. An attorney for Ms. Shtindler, —Associated Press
THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | A13

LIFE&ARTS
WORK & FAMILY | SUE SHELLENBARGER

When Your
Child Clashes
With the Teacher

A
s millions of young vider of school ratings and other
children settle into a resources for parents.
new year in elemen- It’s important to act, however, if
tary school, many a parent sees that a child is at risk
parents are wonder- of emotional damage.
ing nervously: Is the Clinical psychologist Eileen Ken-
new teacher a good fit? nedy-Moore counseled a parent
Reading emotional signals from whose son was getting scolded a
the under-10 set isn’t easy. Is that lot by a new teacher, even though
stomachache that’s bothering your he hadn’t had trouble before. The
child caused by the new teacher? mother asked for a meeting, but it
Is classroom anxiety the reason was a disaster. In the child’s pres-
she’s sad, tense or bouncing off ence, she says the teacher ranted
the walls? on and on about what a terrible
No one wants to be that heli- person he was and kept going even
copter parent who swoops in and after he burst into tears, leaving
rescues a youngster from any ad- the mother unnerved. She took the
versity. But no parent wants to problem to the principal, who
stand by while a child suffers moved her son to a different class.
harm because of a bad teacher, ei- Regardless of the cause, the
ther. The best path for parents re- teacher’s classroom wasn’t emo-

GWENDA KAZCOR
quires patience, and the communi- tionally safe, says Dr. Kennedy-
cation skills needed to figure out Moore, author of “Kid Confidence.”
what’s actually happening in the She adds, “She was blind to the
classroom and work with the child’s pain.” In most cases, Dr. Ken-
teacher to solve problems. nedy-Moore advises against rushing
to change a child’s classroom. “Be perfect work, explain why you
very careful about removing a child If Your Kid Dislikes a New Instructor think perfectionism isn’t healthy,
from a situation, because the mes- Dr. Kennedy-Moore says. Then, of-
Parents must decide sage you’re giving a child is, ‘This is DO n Set an example of proactive, co- fer a different viewpoint, like en-
whether to stay on the too hard for you to deal with. You
n Give the teacher a chance
operative behavior. couraging your child not to let a
can’t handle it,’” she says. “In life, fear of mistakes get in the way of
sidelines or intervene. we’re going to have to deal with all
to earn your trust by attending DON’T
his excitement about learning.
open houses and reading
Both options have risks. kinds of people, and children need
handouts.
n Believe everything you hear If your child’s problems persist
to know that.” about a teacher. for more than a few days, ask the
Principals invest a lot of time n Ask your child in detail about teacher for a meeting. Start the
n Complain about the teacher in
behind the scenes matching stu- specific behavior by the teacher that conversation on an upbeat note by
your child’s presence.
Riding out a year with a stressful dents with teachers and trying to upset her. saying something positive about
teacher can sometimes help a child create balanced classes, says Nora n Go public with criticism of a the class. Then, describe in con-
n Try to understand the teacher’s
learn to deal with challenges. Carol Carr, a Greensboro, N.C., school teacher via gossip or social media. crete detail the problems you’re
challenges and goals before making
Lloyd was worried when her daugh- administrator. Many schools face a seeing at home and trace possible
ter, Tallulah, was assigned an ele- teacher shortage, giving adminis-
a judgment. n Go over a teacher’s head to the causes.
principal right away.
mentary school teacher several trators less flexibility in resolving n Hold open the possibility of work- Consider acknowledging, “I
years ago with a reputation for yell- staffing problems. ing with the teacher to solve any n Get angry or threaten a teacher wasn’t there, so I don’t know exactly
ing and humiliating students. She Teachers’ reputations can be problem. or school official. what happened, but this is what I
decided not to intervene. “You want misleading. Amy Behrens tells of heard,” Dr. Kennedy-Moore says.
your kids to be resilient and good one teacher rumored to be both Aim to understand the teacher’s
problem-solvers, and to know they the best and worst teacher ever. getic and eager to learn. He soon the 12 things that led up to that,” goals and to work together.
can survive in difficult situations,” “He works well with kids who can realized she was great with stu- Dr. Kennedy-Moore says. If your efforts with the teacher
Ms. Lloyd says. handle his brusque manner and in- dents, however, and his son Consider the possibility that fail and you escalate the problem
She encouraged Tallulah to try tensive work. But for kids who get thrived in her class, says Mr. Darcy your child is misunderstanding the to the principal, be prepared to
to get along with the teacher and hurt by a brusque manner and a of Coventry, Conn. teacher—mistaking jokes for ridi- calmly describe specific teacher
do the best work she could, and little sarcasm, he doesn’t work so If your child comes home upset cule, or confusing encouragement behaviors and the impact on stu-
she survived the year unharmed. well,” says Ms. Behrens, a Newton, or scared, ask what he’s feeling, to not give up on getting the an- dents, Dr. Carr says.
Some classmates weren’t so lucky. Mass., parent coach and educator. Ms. Behrens says. Try to figure out swer independently with an un- If you’re worried about a diffi-
One developed a math phobia and And first impressions aren’t al- exactly what upset him: Was it the willingness to help. cult teacher’s impact on future
needed tutoring help after the ways accurate. When Ryan Darcy teacher’s words, actions or facial A difficult teacher can provide classes, consider telling the princi-
teacher criticized her harshly for first met one of his son’s past expressions? And what was hap- an opportunity to help your child pal what you’ve observed after the
making mistakes, says Ms. Lloyd, teachers, she seemed very laid- pening in the classroom before internalize your family’s values school year is over and asking if
editorial director of GreatSchools back. He wasn’t sure she’d be a that? “Your child may have just and standards. If your child strug- training or coaching might be
in Oakland, Calif., a nonprofit pro- good fit for his son, who is ener- given you the punchline, and not gles with a teacher who insists on available, Ms. Behrens says.

Madonna’s New Tour Strategy: Higher Prices, Smaller Venues

BY NEIL SHAH desirable seats, mark them up and flip them for
profit. The downside is expensive tickets can
WHEN MADONNA kicks off her new tour Tues- take longer to sell and prevent instant sellouts.
day, she’ll also be debuting a new ticket-pricing “Fans are paying these prices no matter what,”
strategy: Smaller shows at higher prices. Mr. Werde says. “I would prefer to see the
The 61-year-old pop-music pioneer, who holds money go to the legitimate music industry
the record for the highest-grossing concert tour rather than to scalpers.”
by a woman, is planning her 11th tour around the- To compensate for the smaller venues, and
aters, smaller venues than the arenas that domi- satisfy the still-sizeable demand for her elabo-
nated previous tours. And fans will be paying rate shows, Madonna is embarking on a series of
more, especially at the high end. extended runs in 11 U.S. and European cities, in-
Long one of the concert industry’s biggest acts, cluding 17 shows in Brooklyn and 15 in London.
Madonna will open her latest tour, called “Ma- It amounts to something like a string of residen-
dame X,” at Brooklyn Academy of Music’s Howard cies, when stars play one venue in Las Vegas or
Gilman Opera House, which seats 2,100 people—a elsewhere for a period of time.
fraction of the roughly 20,000 capacity of New Performing multiple small shows in one city
York’s Madison Square Garden, where she played can reduce stage set-up and take-down costs,
two shows four years ago on her last tour. which are typically borne by artists themselves,
The prices will be higher: Around $300 on av- out of the fees they receive from concert pro-
erage, according to Arthur Fogel, Madonna’s moters. These lower costs, in turn, pad profit
longtime tour promoter and the president of margins.
global touring at Live Nation, the world’s biggest Historically, residencies were mostly associ-
concert promoter. That’s up from about $160 for ated with past-their-peak performers. But that
the last tour, according to Pollstar, a concert-in- idea has faded. Today’s hip-hop stars, for in-
dustry trade publication. stance, often see Vegas residencies as a sign of
The rise is due largely to an increase at the clout, not career decline. And Bruce Spring-
higher end. Tickets for “Madame X” start at steen’s “Springsteen on Broadway”—a twist on
about $50 for the cheapest seats, not much more the residency model—proved artists could use
than her last tour. But she’s charging roughly residencies to offer something different. At the
$750 for the costliest non-VIP tickets, not in- same time, aging acts like the Rolling Stones are
cluding fees—substantially higher than the $350 opting for short stints of touring rather than
tickets on her last three tours, according to Mr. stationary residencies or grueling global treks.
Fogel. VIP packages, which can include perks like “There’s not just one way to do this anymore,”
pre-show receptions and backstage tours, reach Mr. Werde says. “You’re starting to see [older
as high as about $2,000. stars] doing what they want to do—what makes
“Madonna’s going to charge you what the sense for their lives.”
market says those tickets are worth—and then, Some fans have groused about Madonna’s
at the same time, she’s keeping her cheap high prices on social media. But for others, see-
seats,” says Bill Werde, a former editor of Bill- ing Madonna in a theater for the first time may
board magazine and the director of Syracuse justify the expense, experts say. The average
University’s Bandier music-industry program. “I ticket price for “Springsteen on Broadway”—also
actually think this is a brilliant example of un- an intimate theater affair—was $506, according
derstanding the market.” to Pollstar.
Madonna declined a request for an interview. “Especially in the wake of Springsteen and
The “Material Girl” singer’s ticket prices reflect ‘Hamilton’ on Broadway, I don’t think they need
a growing comfort among superstars with charg- to be concerned about blowback,” says Larry
ing more-affluent fans what they can bear. While Miller, who heads the music-business program at
KEVIN MAZUR/GETTY IMAGES

some holdouts like Ed Sheeran are keeping con- New York University’s Steinhardt School. “Fans
cert prices relatively low, stars from Jay-Z to Tay- will understand this is a super-special event.”
lor Swift have been raising ticket prices in recent Some 98% of Madonna’s Brooklyn tickets
years, accentuating a trend that began when prof- have been sold, as of last Thursday, according
its on recorded music were squeezed by digital to Mr. Fogel.
forces like piracy, downloads and streaming. “There’s virtually zero risk of unsold inven-
By making premium tickets more expensive, tory,” New York University’s Mr. Miller says. “If
superstars capture ticket-sales revenue that Madonna, pictured performing earlier this year, has planned her latest tour around you need to be there, you’re going to pay almost
might otherwise go to scalpers, who snatch up theaters rather than arenas, and fans will be paying more—especially at the high end. anything.”
 A14 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

LIFE & ARTS

Personal Tales Rivet Podcast Listeners

BY RACHEL DODES

ON EPISODE 2 of “The Clearing,”

a podcast about serial killer Edward
Wayne Edwards, journalist and au-
thor Josh Dean describes how he
obsessively sought a cache of evi-
dence that police had gathered nine
years earlier from Edwards’s trailer
in Louisville, Ky. The boxes were ru-
mored to have been transferred to a
small sheriff’s office in Geauga
County, Ohio, but Mr. Dean was told
he would need a court order if he
ever hoped to see them. His collab-
orator on the project, a 50-year-old
mother of three named April Balas-
cio, thought she might have better
luck. April Balascio, lower left, at age 4 in
“Turns out it’s very helpful to the early ’70s, and above, at age 6,
have the daughter of the murderer made a podcast about her dad, serial
on your reporting team,” said Mr. killer Edward Wayne Edwards, at left.
Dean on the podcast, after describ-
ing how Ms. Balascio was able to
gain access to material about her true,” he says.
father’s cases. The boxes held a Mr. Dean met Ms. Balascio at an
gold mine for an audio story: 60 Ohio attorney’s office in early 2016,
cassettes with recordings of Ms. when he was working on a maga-
Balascio’s father, who died in 2011 zine piece about her father, an un-
while serving a life sentence for der-the-radar serial killer who was
the five murders he admitted to rumored to have been involved with
after his daughter turned him in. an array of murders ranging from
Ever since “Serial” set the In- JonBenét Ramsey to Laci Peterson.
ternet aflame in 2014, generating At the time, Ms. Balascio was being
hundreds of millions of downloads contacted by various lawyers seek-
and putting podcasting on the ing her help in getting their clients’
map, true crime has been a staple convictions overturned. “After I
of the medium. But “The Clearing” sent an email to [convicted mur-
marks a departure from the typical derer] Scott Peterson’s lawyer for
audio whodunit, because the story the third time, I got in touch with
is told from the perspective of Ms. Stories That Ask: ‘Hey, Can You Believe This Happened to Me?’ Josh and said, ‘I’m finally ready to
Balascio. It was produced by Pine- talk,’” says Ms. Balascio, who
apple Street Media in collabora- Podcasts with a personal psychiatrist with some highly unortho- wanted to debunk some of the out-
tion with Gimlet Media. (The Wall connection: dox methods. rageous claims about her dad. She
Street Journal has a content part- “The Clearing” (Pineapple Street “Missing Richard Simmons” also hoped to draw attention to un-
nership with Gimlet Media.) Media/Gimlet) (Pineapple Street Media) solved murders that she suspected
“The Clearing” invites listeners April Balascio, an Ohio-based Filmmaker Dan Taberski tries to find he may have committed. “My dad
to follow along on Ms. Balascio’s mother of three, describes how she out what happened to fitness guru had become the boogeyman of all
journey, exploring how, in 2009, figured out that her dad was a se- Richard Simmons, whose “Slimmons” serial killers and it was driving me
she confirmed her lifelong suspi- rial killer and crosses the country classes he took regularly in Los Ange- crazy,” she says.
cion that her dad was a murderer with journalist Josh Dean to investi- les before Mr. Simmons vanished from That meeting became a three-
and then, over the course of the gate her father’s crimes and their public life. year partnership working on a
podcast, reckoned with the long- effect on victims’ families. story that she and Mr. Dean
term damage he wrought on the “Surviving Y2K” (Pineapple Street planned to tell in a magazine arti-
families of his victims. Along the “The Shrink Next Door” Media) cle or a co-written book. Ulti-
way, she, Mr. Dean and co-pro- (Wondery) In this follow-up to “Missing Richard mately, they chose neither. Mr.
ducer Jonathan Menjivar traverse Joe Nocera, a columnist at Simmons,” Mr. Taberski examines the “Over My Dead Body: Joe Exotic” Dean felt that the lack of a clear
the country trying to link Edwards Bloomberg, ex- chaos surrounding the (Wondery) ending, stemming from the still-
to cold cases in which he may have amines what turn of the century, in- Journalist Robert Moor tells the unsolved cases, would make it an
been implicated. was really go- cluding a moving nar- wild story of Joe Exotic, a rogue zoo unsatisfying read. “It struck me
“Knowing that April wanted to ing on with rative about a Y2K-in- proprietor he has been covering for that this might be a great subject
be really involved, and part of the his former spired transformation years, and who was recently convicted for a podcast,” he says.
whole process, that’s what made neighbor, a of his own life. of attempted murder. That’s the thing about podcasts:
us say, ‘We should definitely do They don’t need a perfect ending.
this podcast,’ ” says Jenna Weiss- “As long as the journey is fun and
Berman, co-founder of Pineapple Door,” in which thereof, in a per- tors with “a very obvious connec- engaging you don’t have to have it
Street Media. Although she had journalist Joe son’s voice. Owing tion” to the stories they are telling. all wrapped up in a bow,” Ms.
tended to steer clear of the true- Nocera tells the to the intimate na- Still, having an involved narra- Weiss-Berman says.
crime genre, she felt that Ms. story of his for- ture of podcasting, tor can be a challenge for produc- Ms. Balascio and Mr. Dean
Balascio’s personal connection to mer neighbor in where the narrator ers who want to generate emo- didn’t solve any cold cases while
the story would “set it apart from the Hamptons, speaks directly into tionally resonant content that making “The Clearing.” But they
a lot of those ‘48 Hours’-style an unusual psy- listeners’ ears, it’s a isn’t tinged with bias, or the per- did focus attention on some un-
mystery shows.” The strategy paid chiatrist. In natural place for ception of it. For “The Clearing,” solved murders, raised interesting
off: The podcast has remained in Pineapple Street’s surprise hit what Wondery’s chief operating of- that meant having Mr. Dean, a questions and formed friendships
iTunes’ top 10 since it debuted in “Missing Richard Simmons,” docu- ficer Jen Sargent calls a “‘Hey, can magazine journalist, narrate the with the families of some victims.
July, frequently spiking to No. 1 mentary maker Dan Taberski tried you believe this happened to me?’ podcast while Ms. Balascio served “I’m going to keep going—this
during its run through August. to find out what happened to the story.” as a frequent contributor and pro- isn’t over for me,” says Ms. Balas-
As podcasting has grown up 1980s fitness icon, who was Ms. Weiss-Berman has started tagonist. Mr. Dean was rigorous cio, who is writing a memoir.
over the past five years, a handful friendly with Mr. Taberski before asking people pitching podcast about fact-checking Ms. Balascio’s Thanks to the podcast, she re-
of stories like “The Clearing,” told vanishing from public life. ideas to explain why the subject is memories, visiting locations ceived a credible tip about an un-
APRIL BALASCIO (2)

by people who are part of the nar- Podcast executives say that a important to them, and how they where she grew up and seeking solved murder that she’s chasing
ratives they are spinning, have be- narrator with a vested interest in can incorporate that into the story. supporting accounts to back up down with the help of police.
come hits. The No. 1 podcast on the story can bring it to life in au- More than half of the seven pod- her suspicions. “I was never going “If we solve a crime,” Mr. Dean
iTunes for much of the summer dio, a medium where the audience casts that Pineapple Street plans to to assume that just because [Ms. says, “we will for sure do another
was Wondery’s “The Shrink Next can discern the authenticity, or lack release next year will feature narra- Balascio] said something it was episode.”

Weather The WSJ Daily Crossword | Edited by Mike Shenk

Shown are today’s noon positions of weather systems and precipitation. Temperature bands are highs for the day.
d
Edmonton 60s <0 1 2 3 4 5 6 7 8 9 10 11 12 13 Down 33 Cart puller
70s
C gary
ary
Calgary 0s 14 15 16
1 Fled a difficult 34 Food court site
50s 50s
10s
situation
V
Vancouver
60s 17 18 19
35 Angsty music
ip
Winnipeg 2 Wine from
Seattle 80s 20s genre
Portland
P d 50s 30s 20 21 22 northern Italy
Helena Montreal 37 CBS forensic
Ottawa
50s Bismarckk
40s 3 Johnny Mathis, franchise
50s Billings
illings A g t
Augusta 23 24 25
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Eugene
50s
1957 (+32)
Boise
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Mpls./St. T t
Toronto A ban
Albany
b t
Boston 38 Stayed out of
60s P
Pierre 26 27 28 29 30 31 4 Lodge
70s 70s rtford
Hartford 60s sight
50s 50s k
Milwaukee Detroit
t l
Buffalo
New
ew YYorkk 32 33 34 35 36 5 Koh-i-___
70s Reno oux FFalls
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Chicago Clevel d
Cl
Cleveland 70s 40 Like a lamb
Salt
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h
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80s 70s p
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60s 60s hit
Wichita l i h
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Jackson
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Honolulu
l l Miami
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60s 70s 11 Old Peruvian
Ice
WHAT GOES AROUND... | By Jamey Smith 12 ___-Alt-Del 54 Shelled snacks
55 Ships’ backbones
U.S. Forecasts City
Today Tomorrow
Hi Lo W Hi Lo W City
Today Tomorrow
Hi Lo W Hi Lo W
Across 26 Forest females 52 Blackmail 13 Alt and Del, e.g.
s...sunny; pc... partly cloudy; c...cloudy; sh...showers; 1 “Top Gear” 27 Supergirl’s first 55 Ring solemnly 19 Austin-to-Dallas 56 Tries for a hit
Omaha 93 73 pc 87 71 t Frankfurt 68 41 pc 66 43 pc
t...t’storms; r...rain; sf...snow flurries; sn...snow; i...ice airer name dir.
Orlando 94 75 s 90 73 pc Geneva 80 55 pc 68 48 pc 56 It must be 57 Frenzied
Today Tomorrow Philadelphia 78 59 s 73 56 s Havana 90 71 pc 91 72 pc
City Hi Lo W Hi Lo W 4 Swallow up 28 Lessens over passed to 21 Main points 58 Philosophy’s
Phoenix 100 80 s 102 79 s Hong Kong 91 81 pc 92 80 pc
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Atlanta 97 73 s 89 69 s Portland, Maine 67 48 s 63 44 s Jakarta 92 75 pc 93 75 s
Austin 94 69 pc 92 70 t Portland, Ore. 64 57 r 67 54 sh Jerusalem 83 62 s 86 66 s 14 Hot tub sound 32 Ben E. King, 1961 59 “Get what I’m 25 Sphere 59 What each of
Baltimore 80 57 pc 78 56 s Sacramento 82 59 s 79 55 pc Johannesburg 85 57 s 85 59 pc (+25) saying?” this puzzle’s
15 Working cat 27 Patella’s place songs also was,
Boise 71 51 pc 65 45 sh St. Louis 90 71 pc 91 70 pc London 67 46 pc 67 48 pc
36 Polygraph 60 Don McLean,
Boston 69 56 s 64 51 pc Salt Lake City 69 50 c 82 54 s Madrid 82 59 pc 82 60 pc 16 Toss in a chip, 29 Bobby Vinton, once you do the
Burlington 68 46 s 69 47 s San Francisco 74 62 s 73 59 pc Manila 84 76 t 82 78 t detection 1971 (+28)
say 1963 (+23) math
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Denver 86 53 pc 84 55 pc Mumbai 87 80 sh 87 78 sh 18 The Cure, 1979 65 Available if horizon shoot
Detroit
Honolulu
77 61 s
90 76 pc 89 78 sh
78 60 s
International Paris
Rio de Janeiro
72 49 pc 67 49 pc
92 72 s 91 73 s
(+20) 41 Knight’s
address
needed
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P A L
WH I R L M A Z D A
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N U D I E E C A R D
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zinnias, for the Twilights, 67 Timetable, for
N I N
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B A T H S T I R
example 1959 (+30) short C E E D S O T B A N J O S
Little Rock 95 72 s 95 72 s Baghdad 110 80 s 106 74 s Shanghai 86 71 pc 85 68 s R
E C E D A M O N O
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23 11th-century 46 Midmonth day 68 Subjects of G H A
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E R M A C G O T I N
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Nashville 95 69 pc 93 68 s Buenos Aires 71 45 s 69 55 s Toronto 72 53 s 71 56 c A C N E R E G R O U P
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Solve this puzzle online and discuss it at WSJ.com/Puzzles.
s

Oklahoma City 90 69 s 90 68 s Edinburgh 58 44 pc 63 50 pc Zurich 75 47 pc 64 42 pc MA I N E R A Y O N R A N

THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | A15

LIFE & ARTS

ART REVIEW

William Bailey’s Reimagined Realism

Shunning abstraction, the painter makes representational works that move beyond the everyday or mundane
BY ANDREW L. SHEA has been steadfast. “Looking
Through Time” conveys a certain
New Haven single-mindedness, even, in his de-
WE DON’T OFTEN think of time as termination to reconstruct these
being integral to painting. Music, inimitable still lifes, again and
movies and other art forms unfold again, year after year. But impor-
over hours and minutes, and even tant changes also occur. As the
sculpture takes at least a few mo- years passed he began populating
ments to experience in the round. his dramas with more characters,
But paintings are static, so we and he complicated their stages as
sometimes feel we can grasp them well. Witness “Nocera Umbra”
in a second. To be sure, this isn’t (1998), which, above a tabletop of
the case, but it’s an idea con- a dozen or so objects, also in-
stantly reinforced by our addiction cludes an arched niche in which
to instantaneity in our daily lives. two more shelves of items sit.
Fighting against this inclination Other works feature corners, so-
is the painter William Bailey, whose phisticated decorative elements, as
art commands us to slow down. well as cast light from unseen win-
Now, an exhibition at the Yale Uni- dows. These more intricate set-
versity Art Gallery examines his tings allow Mr. Bailey to compose
uniquely contemplative, gradual symphonic arrangements of form,
and deep-reaching work. Curated color, mass and line that slowly
by the museum’s Mark D. Mitchell, unfold to the patient viewer.
“William Bailey: Looking Through Of a piece with Mr. Bailey’s still
Time” includes 17 oil paintings and lifes yet undoubtedly different in
21 works on paper made over the effect are his figure paintings of
WILLIAM BAILEY/ARS, NY/YALE UNIVERSITY ART GALLERY

course of his six-decade career. It is women, which he has made

thus a rare and welcome opportu- throughout his career. These
nity to view a body of work that women are uncannily strange and
fights against the attention deficit loaded with a sort of cold emo-
disorders of the moment. tional reserve. Also created from
Born in 1930 in Council Bluffs, his imagination, they almost al-
Iowa, Mr. Bailey is among a small ways contain elements of histori-
number of American painters who cal paintings. “Afternoon in Um-
rejected abstraction, the dominant bria” (2010), for instance, of two
style of the mid-20th century. In women lying in a grass field—one
1953, after serving in the Korean asleep, one in waking reverie—is a
War, he studied at the Yale School direct quotation of Gustave Cour-
of Art under Josef Albers. Initially bet’s “Young Ladies on the Bank of
Mr. Bailey, like many artists at the the Seine” (1856-57).
time, worked in a gestural mode These references make no overt
reflecting the commanding influ- ‘Still Life—Table With Ochre Wall’ (1972), by William Bailey commentary on their antecedents,
ence of Abstract Expressionist Wil- but rather seem deeply subsumed
lem de Kooning. lighted exhibition spaces, we meet the painting, we begin to realize 1961 to 2012—maintain a similarly within Mr. Bailey’s overall imagi-
But travels to Europe in the “Still Life—Table With Ochre Wall” that Mr. Bailey’s vessels bear no ethereal presence. It is for this rea- native vision. By weaving the con-
1950s and ’60s led Mr. Bailey to (1972). It’s an unassuming setup: chips, stains, or other natural im- son that “realism,” a term often tributions of the past into the fab-
look back to aesthetic ancestors as five ordinary kitchen objects (a perfections. Indeed, they seem en- used to describe Mr. Bailey’s art, is ric of his own enduring project, he
far-ranging as ancient Greek sculp- cup, a bowl, a bottle, etc.) and 10 veloped in an aura of purity and inadequate. For while much realist demonstrates, once again, his firm
tors, Piero della Francesca and eggs arranged casually, on a sim- certainty that removes them from painting (consider, for example, the commitment to transcending time
Jean-Auguste-Dominique Ingres. ple wood table, against a yellow- everyday life. The same goes for late flower paintings of Édouard through paint.
By the mid-1960s, against the ish-brown wall. We look at the the table they sit on, and for the Manet) is about the vagaries of
strong headwinds of Modernist or- scene head-on, just above eye ochre wall behind. Bathed in Mr. perception and the often unpre- William Bailey: Looking Through
thodoxy, he began to make repre- level. Mr. Bailey’s handling of Bailey’s quiet, soft light, the pic- dictable process of translating ex- Time
sentational paintings of figures paint is similarly straightfor- ture issues an almost dreamlike ef- perience into oil, Mr. Bailey paints Yale University Art Gallery, through
and still lifes that took something ward—delicate and sensitive, yes, fect despite the tangible solidity of from imagination and memory. His Jan. 5, 2020
from the mysterious clarity of but also candid and economic. its forms. goal is to supersede real life and to
classical form. And yet, out of this common- Moving past this early example, communicate instead an ideated Mr. Shea is a painter and the
“Looking Through Time” begins place view, we come to find an ele- we find that nearly all the works in world of purity. assistant editor of the New
here. Upon entering Yale’s well- vated vision. After more time with this exhibition—which date from Mr. Bailey’s pursuit of this goal Criterion.

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A16 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

SPORTS

GENE J. PUSKAR/ASSOCIATED PRESS

Ben Roethlisberger
will miss the rest
of the season due
to an elbow injury.

NFL | JASON GAY

Your Team Is 0-2. It’s Time to Bail Out.

A winless start to the NFL season isn’t an assurance of season-long misery. But consider your options.

If you are a Pittsburgh earth. Come back and talk to me in What if you learned the Art of ning the season with an 0-2 record. And besides, there’s plenty of anx-
Steelers fan, this is a November. French Cooking? Get the cookbooks, Turnarounds happen. I am not iety elsewhere, including with some
bleak, soul-challenging OK, it’s that time of the year watch Jacques Pepin videos, the sure it’s quite the time for Steelers talented teams.
moment. I don’t blame again. It’s time for an alliterative Pre- whole deal. Instead of screaming at fans to flee, even with Big Ben out. The New Orleans Saints will have
you if you’re currently mature Panic Party. the television, you learn to make a Jacksonville should be better, but to play without Drew Brees, who
wandering around in the We are just two weekends into the classic beef bourguignon, and invite lost its starting quarterback, Nick hurt his hand on Sunday, and the ref-
woods, staring up at the trees, listen- NFL season, and there’s no joy in all your friends over on Sunday af- Foles, replacing him with lovable erees continue to conspire against
ing to the melancholy whistle of the Pittsburgh, Miami, Denver, Cincin- ternoon to eat it. If your friends are backup named Gardner Minshew, them. The Minnesota Vikings had a
September wind, and wondering nati, New York, Carolina, Jacksonville busy, you could simply eat an entire who looks like a rogue detective in a fetid loss to Green Bay to drop to 1-1.
what’s the point of watching football and Washington. The Steelers are oh- beef bourguignon by yourself, alone ‘70s cop drama. The Jags gave Hous- The 2-0 New England Patriots are
anymore. fer-2, as are the Dolphins, the Bron- in the dark. Still more fun than ton trouble on Sunday. Maybe they’ll accumulating public ire as they wait
Suddenly, you spy a wise-looking cos, the Bengals, the Giants, the Pan- watching the Bengals! climb out. out an NFL investigation into sexual
owl, and you ask it a question. thers, the Jaguars, and Dan Snyder’s What if you learned Esperanto? But Dolphins fans should flee. I’m assault charges against Antonio
STEELERS FAN: Oh wise owl, Washington Sadness Machine—and Or to play the oboe? not sure even the Dolphins—who Brown.
what should I do? My Steelers are whoever loses Monday night’s Styro- What if you made a life-size but- have been outscored 102-10 in two Meanwhile, the Detroit Lions are
0-2. And now Ben Roethlisberger is foam sword fight between the 0-1 ter sculpture of Brent Musburger? games, and are widely viewed to be undefeated at 1-0-1, which is a bi-
out for the season with an elbow in- Jets and the 0-1 Browns. And gave it to Brent Musburger? I tanking in order to land a high pick— zarre sentence to type. The Buffalo
jury that requires surgery. I don’t If you’re a fan of one of these bet he’d love it. want to watch the Dolphins. Bills are 2-0, which I thought was il-
even know the name of our backup franchises, is it time to find an alter- What if you simply went down to I am starting to wonder if dol- legal.
quarterback. native hobby? Should you trade in the park on Sunday afternoons and phins—the species—are worried The point is that football isn’t life.
WISE OWL: It’s Mason Rudolph, another season of miserable Sundays covered yourself with birdseed, and about reputational damage to their It may be the most popular enter-
silly. He might surprise you. He was to develop a healthier habit, like let the park birds settle atop your brand. Does that happen? Do other tainment product in America—the
quite good at Oklahoma State. smoking unfiltered cigarettes? body and nibble? marine animals mock dolphins about last true shared experience we have,
STEELERS FAN: I may just build Abandonment is anathema to You mean to tell me that’s a less the Dolphins? Are dolphins taking a other than yelling at each other on
myself a bed of leaves here on the grizzly football culture, of course. satisfying way of spending the day lot of grief from sea horses and Twitter—but it doesn’t have to rule
forest floor, and cry myself to sleep Could you look Mike Ditka in the eye than watching the Dolphins? anemones? I bet that would get old your existence.
until April. and tell him you’re quitting watching I know: I should stop being a pes- fast. Anemones are merciless cranks. If you’re 0-2, consider your op-
WISE-LOOKING OWL: Like a Dol- football? simist. It’s entirely possible a misera- All of this is a mere suggestion. If tions. Make that beef bourguignon.
phins fan? I wouldn’t do that. Look Then again: Has Mike Ditka ble club will turn it around. The 1993 you are a fan of one of the 0-2 out- Feed those pigeons. Start playing
at the AFC North, buddy. The Ben- watched the 2019 Dolphins? Dallas Cowboys, 2001 New England fits and want to stay the course, you Sunday golf.
gals are a joke. The Browns are mor- Maybe it’s more productive to try Patriots and 2007 New York Giants have my condolences and my Just don’t blame me when the
tal. The Ravens should return to something else. all won the Super Bowl after begin- strangely fascinated admiration. golf feels worse than 0-2.

Coaches Are Still Flunking

scored a touchdown and suddenly it was a “Because you need two scores to win the
two-point game with five minutes to play. But football game,” Narduzzi said.
the Steelers never got the ball again since the His math was technically sound. His logic
Seahawks were willing to do what they was not. It wasn’t like a field goal would have

The Fourth-Down Test

weren’t. With two minutes left, the Seahawks cut the lead to two or three points. Pitt still
went for it on fourth-and-1. They converted, had to score a touchdown to win. By settling
and then they could bleed the clock to secure for a field goal, however, they were forcing
the win. “We all wanted to go for it,” Russell themselves to get a stop on defense and score
Wilson said. another touchdown from somewhere that was
BY ANDREW BEATON AND BEN COHEN years. NFL teams between 2000 and 2017 The Colts faced a similar predicament in almost certainly not the 1-yard line.
went for it 32% of the time on fourth-and-1 or an even dicier situation. Leading the Titans But the plan backfired before it could even
THE ARIZONA CARDINALS had a fourth fourth-and-2. That rate skyrocketed to 45% 19-17 with just over two minutes left on their get that far when Pitt’s kicker missed the
down inside the 5-yard line on three separate last year. But the sudden increase had a own 35-yard-line, they also went for it. Ja- gimme field goal from 19 yards. The Panthers
occasions Sunday afternoon. They settled for strange effect. When more teams were begin- coby Brissett’s successful quarterback sneak managed to get the ball back with 1:39 left
three points each time. And kicking a field ning to do something smart, it became more drained another minute off the clock, forced still down by a touchdown, and their prayers
goal instead of letting their star rookie quar- jarring when other teams weren’t. Tennessee to burn its final two timeouts and for a successful Hail Mary as time expired
terback Kyler Murray try to score a touch- “It isn’t universal,” said Michael Lopez, one led the Colts to their first win of the season were ignored by the football gods. You might
down may have cost the Cardinals the game: of the study’s authors and the NFL’s director without Andrew Luck. think that Pitt’s coach regretted the strategy
They lost by six points. of data and analytics. “There are gaps in The day was finally capped afterward. But here’s what he said he
“We’ve just got to execute and tighten strategy between the teams.” off by the Falcons, who would’ve changed about his decision: noth-
things up in the red zone,” Arizona coach The Cardinals inadvertently became the went for it on fourth- ing. “I don’t question that call,”
Kliff Kingsbury said. poster child of this curious behavior on and-3 from their own Narduzzi said.

3
Or they have to change the way Sunday afternoon. They hired 46 late against the
they think entirely. Football Kingsbury, who had recently been Eagles. Atlanta didn’t
teams like to believe they’re fired from his college job, pre- just convert. Matt Arizona Cardinals
smarter than ever. In some cisely because he’s a progres- Ryan hit Julio Jones quarterback
ways, they are. They are Number of times the sive thinker and innovative for a 54-yard touch- Kyler Murray
throwing more, playing out Cardinals had a fourth play-caller. And his offense down that won the
of the shotgun and begin- down inside the 5-yard-line worked against a vaunted Ra- game.
ning to adopt some of the on Sunday. They kicked a vens defense. Murray, the No. This week was also
strategies that quants have field goal each time and 1 pick in last year’s draft, fin- a reminder of some-
grown hoarse yelling about. lost by six. ished with 349 yards on 40 thing else: simply deciding
But what happened this passes, and even those numbers to go for it isn’t enough.
weekend, in both pro and college undersell how brilliantly he played Teams can make the right de-
football, was only the latest evidence at times. cision and then make the wrong de-
that there is still a gaping inefficiency But there was a reason all of that pro- cision. The Panthers went for it on
when it comes to one of the sport’s most cru- duction resulted in only 17 points: The Cardi- fourth-and-1 three times on Thursday night
cial decisions. The coaches paid millions of nals were historically timid on fourth down. against Tampa Bay. They didn’t run a quarter-
dollars to succeed in a multibillion-dollar in- They were the first team in more than three back sneak on any of the three. They turned
dustry are still too conservative on fourth decades to kick three field goals from inside it over on downs all three times.
down. the 5-yard-line while losing, according to It wasn’t even the most egregious display
This is one of the baffling things about Stats LLC. of strategic ineptitude this weekend by a
modern sports. It has never been easier for Part of what makes these risky decisions team called the Panthers. That happened the
coaches to behave rationally, and yet they on short fourth downs so fascinating is how day before when Pittsburgh went to Penn
still manage to be irrational. many ways there are to bungle them. The State. Pitt had a first-and-goal behind 17-10
It isn’t weird that football coaches are ob- Pittsburgh Steelers exemplified another type with 5:50 left in the fourth quarter needing
stinate. The weird part is that they should of mistake not long after the Cardinals had one yard for a touchdown that would tie the
know by now that their obstinacy is costly. their turn. Down by nine with less than six game and get the Panthers that much closer
One study in the Journal of Sports Analytics minutes left in their game against the Seattle to an enormous upset. Three plays later, they
PATRICK SMITH/GETTY IMAGES

found “no obvious change” in the rate of NFL Seahawks, they punted from near midfield, were still at the 1-yard line with 4:54 remain-
teams going for it on fourth down between presumably believing they would get two ing in the game, and Pitt coach Pat Narduzzi
2004 and 2016. This study quantified how more possessions. made a baffling call.
much teams hurt themselves with their sub- They didn’t. And that was because the Sea- He sent his kicker onto the field.
optimal decision-making. It suggested that hawks faced the same predicament and made It didn’t make sense in the moment, and it
the average team could add 0.4 win per year the opposite decision. wasn’t any less confounding in retrospect.
simply by being more aggressive. The strategy began well enough for the Pitt was down by a touchdown. Why settle
That has finally begun to change in recent Steelers. Seattle fumbled, Pittsburgh quickly for a field goal?
THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | A17

OPINION
Pin the Asterisk on Kavanaugh BOOKSHELF | By Barton Swaim

It’s just shy of

a year since
Brett Ka-
tice’s impeachment.
In short, the “new” accusa-
tion fails for the same reason
we know his character, and we
know what motivates him, and
that is important. It is impor-
and airing Wednesday on Fox-
Nation, reveals why smears can
still be effective even if they
A Hero in His
vanaugh took
his seat on the
Supreme
Court. On cue,
the earlier ones did: lack of ev-
idence. Any fair-minded read-
ing of “Justice on Trial: The
Kavanaugh Confirmation and
tant that we know, and that is
part of what motivated Chris-
tine.”
These remarks—suggesting
have been discredited or have
failed to derail a nominee. At
the time of the Thomas vote, a
Gallup poll showed Americans
Own Mind
MAIN
the New York the Future of the Supreme that Ms. Katz’s client had mo- found Mr. Thomas more credi-
STREET
Times on Sun- Court” by Mollie Hemingway tivations other than the ble, by a 2-to-1 margin, than
Permanent Record
By William
day published and Carrie Severino would truth—surfaced only this his accuser, Anita Hill. But By Edward Snowden
McGurn
a “previously lead to the conclusion that the month with the release of when allies assured him he had (Metropolitan, 339 pages, $30)

E
unreported accusations that Mr. Ka- Ryan Lovelace’s “Search and been vindicated, Justice
story” claiming that as a Yale vanaugh is a sexual predator Destroy: Inside the Campaign Thomas wasn’t buying. dward Snowden, the former U.S. intelligence officer
undergraduate at a “drunken remain at best unsubstantiated Against Brett Kavanaugh.” Mr. The new justice told his and contractor who in 2013 leaked a trove of
dorm party,” Mr. Kavanaugh and at worst fabricated. And Lovelace’s scoop cries out for friend Armstrong Williams classified documents to select journalists for allegedly
had his pants down while one way to read Sunday’s follow-up reporting, but the that he won confirmation be- principled reasons and then fled the country, has done
friends pushed his genitals Times story is as confirmation Times won’t touch it. cause African-Americans re- what anybody in his position would be expected to do: He
“into the hands of a female that, after a year of investiga- mained loyal to him. In 15 to has written a self-exculpating memoir.
student.” The accusation is tion, the evidence for Christine 20 years, he predicted, “I guar- In the acknowledgments to “Permanent Record,” Mr.
similar to Deborah Ramirez’s Blasey Ford’s allegation of sex- Christine Blasey Ford antee you the opinion of me Snowden, now 36 and a resident of Moscow, thanks the
assertion last year in the New ual assault is as thin ever. will be unfavorable among that novelist Joshua Cohen for “helping to transform my
Yorker about another drunken The Times story was was motivated by community” because “the lib- rambling reminiscences and capsule manifestos into a book
Yale party. adapted from a new book on politics, her lawyer eral media special-interest that I hope he can be proud of.” I don’t know what a
What has happened since is the case by Robin Pogrebin groups will stop at nothing.” capsule manifesto is, but the evidence of the book suggests
familiar. No sooner is the and Kate Kelly, both reporters asserted in April. As if to underscore his that Mr. Cohen wisely urged Mr. Snowden to include more
“bombshell” story dropped for the paper. But as Ms. Hem- point, the documentary fea- about his life and experiences and so make his account an
than it starts to look like a ingway has written, their book tures Sen. Orrin Hatch saying intermittently sympathetic story rather than just a whiney
dud. It emerges, for example, did contain a bombshell: a This is what Democrats do that Joe Biden—then chairman and muddled indictment of the U.S. government.
that this new allegation isn’t statement from Ms. Blasey when they believe there could of the Senate Judiciary Com- As a youth in North
really new—the Federal Bu- Ford’s high-school friend Le- be a fifth vote to overturn Roe, mittee—had told him he didn’t Carolina and later
reau of Investigation and sena- land Keyser, who was pres- the 1973 decision that upended believe Anita Hill. Now that Maryland, we learn, Mr.
tors knew about it during Mr. sured to corroborate the claim the laws of all 50 states to le- he’s running for president, Mr. Snowden thought school was
Kavanaugh’s confirmation that Mr. Kavanaugh had tried galize abortion. It’s why Sen. Biden has flipped the Thomas a waste of time and did as
hearings—and the Times never to rape Ms. Blasey Ford. “I Ted Kennedy in 1987 slandered narrative, apologizing to the little work in the offline,
spoke to the man who had don’t have any confidence in Judge Robert Bork as a man woman he told Mr. Hatch he corporeal world as possible.
made the charge, Max Stier. her story,” Ms. Keyser told Ms. working for an America where didn’t believe. For good rea- “From the age of twelve or
On Monday the Times Pogrebin and Ms. Kelly. “women would be forced into son: Most Americans didn’t so,” he writes—this would
added a humiliating “editors’ With no evidence, the pros- back-alley abortions” and believe her, either. have been the mid-1990s,
note” admitting its story omit- pects for unseating Justice Ka- “blacks would sit at segre- It’s good that folks are ex- when cyberspace was
ted a crucial fact: The pur- vanaugh are nil. So why the gated lunch counters.” It’s why posing the flimsiness of the populated mainly by techies—
ported victim declined to be continuing assaults? Because if Judge Clarence Thomas was latest allegations against Jus- “I tried to spend my every
interviewed and friends say you throw enough mud, it savaged in 1991, when he faced tice Kavanaugh. But those waking moment online.” Mr.
she does not recall such an in- leaves a stain. Ms. Blasey his own last-minute inquisition making and propagating these Snowden dropped out of high
cident. That hasn’t stopped the Ford’s lawyer, Debra Katz, laid over alleged sexual harass- charges aren’t interested in school, took classes at a local
Democrats’ 2020 candidates— this out in an April speech at ment. And it’s why the assassi- getting to the truth. And they community college and eventually
including Cory Booker, Julián the University of Baltimore: nation of Justice Kavanaugh’s ought to be called out as the got a GED, and for a time hung around
Castro, Kamala Harris, Beto “He will always have an as- character continues. smear merchants they are. with a collection of hackers and anime
O’Rourke, Bernie Sanders, Eliz- terisk next to his name. When A new documentary on Jus- Ms. Katz puts it well: It’s all aficionados making a living doing web design.
abeth Warren and Pete Butt- he takes a scalpel to Roe v. tice Thomas’s confirmation, about the asterisk. After 9/11, to his great credit, Mr. Snowden joined the
igieg—from calling for the jus- Wade, we will know who he is, called “High-Tech Lynching” Write to [email protected] Army—partly out of patriotic fervor, partly in the hopes of
landing an interesting tech job—but a leg injury knocked
him out of basic training, and he was permitted to leave. At

China and Trump Are Making Japan Nervous 22, he passed an exam giving him high security clearance
and found work at a new organization at the University of
Maryland that contracted with the National Security
Tokyo Partnership, his sometimes which the U.S. stood supreme mon worldview: If the U.S. Agency. From there Mr. Snowden’s computer wizardry got
People often startling diplomacy with or nearly so in world affairs, faces no great-power threats him a succession of jobs with the NSA and the CIA. He was
say the center North Korea, his hard bar- facing no peer competitors and has no powerful rivals, posted to Geneva, Tokyo, back to Maryland to work with
of gravity in gaining on trade and over and able to set the interna- they ask, why should it invest Dell for the CIA, and then to Hawaii.
American for- Japan’s financial contribu- tional agenda pretty much as so heavily in military alliances It was in Tokyo that Mr. Snowden began, as he tells it,
eign policy tions to the U.S. military pres- it pleased. With no significant and order-building? stumbling across top-secret programs that would give the
has shifted to ence there have neither en- adversaries beyond the incho- But China’s rise is focusing NSA access to every piece of communications data of every
GLOBAL
the Indo-Pa- hanced Japanese respect for ate force of jihadist violence, American minds and discred- person with a phone or a computer on the planet. The
VIEW
cific. But what American acumen nor con- the U.S. could afford to irri- iting this approach. Over subject of “data mining,” or, for its critics, “mass
By Walter
exactly does vinced Tokyo that the U.S. is tate and even alienate allies. time, public opinion is likely surveillance,” was a subject of hot debate during the
Russell Mead
that mean for committed to the alliance. to embrace and even demand second term of George W. Bush’s presidency. To
America’s alli- If Mr. Trump is re-elected, a more focused and strategic oversimplify: The NSA was building its capacity to collect
ances and priorities? Many policy makers here wonder, Tokyo is committed foreign policy. That means the and store vast sums of data from all over the world—phone
Americans have been slow to what would that mean for more mature and forward- calls, emails, posts to private message boards—not to
understand the critical impor- Japan? Would a second to the Pacific alliance. looking elements of the access their content but to look for patterns and
tance that Japan now plays in Trump term see a continua- Can Washington get Trump foreign policy in Asia connections at the metadata level and to know of the data’s
American strategy. Australia, tion of aggressive policies to are likely to persist under existence in the event that the intelligence community
Vietnam, Taiwan, Indonesia, reduce American trade defi- its act together? both Republican and Demo- wanted to find or monitor a bad actor abroad.
Singapore and the rest all cits? Will the president with- cratic administrations, while
have roles to play, but without draw U.S. troops from the the more erratic elements in
the economic, political and country? What endgame does But looking ahead, there is both parties are likely to lose The leaker of hundreds of thousands of
military assets Japan brings to the administration have in the prospect of a long and influence. Americans will in- computer files—revealing military and
the table, America’s Asia pol- mind for the meetings with difficult struggle with China creasingly appreciate the
icy cannot succeed. Kim Jong Un? And while over the shape of the Indo-Pa- value of strategic assets like intelligence secrets—tells his story.
Fortunately for the U.S., broadly welcoming America’s cific order. Like the Cold War, the alliance with Japan—the
Japan is committed. Japanese newly hawkish approach to this will require disciplined third-largest economy in the
policy makers by and large China, Japan also has impor- alliance-building and military world, a major source of aid The subject deserved, and deserves, debate. My own
understand that China’s rise tant economic interests competition. and infrastructure spending view is that the robust legal obstacles to the use of
is a global challenge perhaps there. Will Mr. Trump’s deci- The Trump administration across Asia and Africa, and a intercepted data on anyone physically inside the United
on the scale of the Cold sion-making on trade and is looking both ways. On the key economic and political States—even foreign nationals with terrorist connections—
War—and that Japan is in the China policy take Japanese one hand, concerns about competitor with Beijing. suggests that data mining is not the threat to civil liberties
path of the storm. The coun- concerns and priorities into China are leading it to reach The view from Tokyo is that many thought it was. Mr. Snowden didn’t see it that
try cannot defend its security account? out across the Indo-Pacific re- that the U.S. has begun to put way. He concluded that the NSA’s programs were designed
and independence without a But it isn’t just Mr. Trump. gion, building alliances for a the Indo-Pacific at the center to move America toward the sort of surveillance state now
strong and effective alliance Bernie Sanders and Elizabeth new and dangerous era. On of its foreign policy but hasn’t emerging in China. The development of one such program,
with the U.S. Warren also worry the Japa- the other hand, Mr. Trump’s yet developed a coherent he writes, “was an indication that the agency’s mission had
The Trump presidency has nese. What would happen to penchant for unilateralism, strategy for success. Asia, been transformed, from using technology to defend
in some ways fortified the re- the U.S. defense budget under for hard-edged trade negotia- meanwhile, is changing rap- America to using technology to control it by redefining
lationship. The greater atten- a left-liberal American presi- tions with allies as well as ad- idly as Beijing becomes bolder citizens’ private Internet communications as potential
tion to the Indo-Pacific, the dent, and what would that versaries—and for a transac- and more powerful. Japan is signals intelligence.”
military buildup and the more mean for American commit- tional foreign policy rooted in threatened by North Korea’s So in 2012, at the age of 29, Mr. Snowden, then a
aggressive approach to China ments in the Far East? one-off deals as opposed to missile program and facing contractor with Dell, began contacting journalists for the
on both trade and geopolitical Japan’s concerns are natu- building strong alliances and the full force of Chinese eco- purpose of leaking classified documents on NSA surveillance
issues are widely applauded ral and legitimate. American habits of cooperation—look nomic and political assertive- programs. He met three of them in Hong Kong. In all, Mr.
in Japan. foreign policy is caught be- backward. ness. The great question is Snowden leaked hundreds of thousands of computer files
Yet Mr. Trump has also tween two very different eras The neoisolationist wing of whether the U.S. can get its revealing military and intelligence secrets, some of them
caused sleepless nights in To- in world history. Looking the Trump administration and act together before China belonging to the U.K. and Australia. The U.S. revoked his
kyo. The president’s abandon- backward, there was a genera- its counterpart among left- changes the rules of the passport and charged him with violations of the Espionage
ment of the Trans-Pacific tion after the Cold War in wing Democrats share a com- game. Act. From Hong Kong he tried to get to Ecuador and claim
asylum but had to travel via Moscow to avoid U.S. airspace.
He didn’t get past Moscow. The government of Vladimir Putin

Hell Without a Handbasket has granted him a visa every one or two years.
“Permanent Record,” though not without moments of
sincerity and warmth, is suffused with the author’s
By Laura Boggs car key in the ignition and in her left hand, leaving her the wonders of the world. pubescent arrogance. “The more I developed my abilities,”

I
locked it in, engine running. right at the ready to shake Chewing gum: Wrigley’s he writes, “the more I matured and realized that the
t almost broke my heart. I She’d been using a small spare hands with new acquain- Spearmint. Lipstick: Revlon’s technology of communications had a chance of succeeding
was sitting in church be- key so she didn’t have to lug tances? Cherries in the Snow. A petite where the technology of violence had failed.” Or again: “I
hind a lovely, painstak- her jangling jumbo set into a A purse provides the per- vial of perfume: White Shoul- still struggle to accept the sheer magnitude and speed of
ingly put-together young cafe. “I wanted the small key fect catchall, hiding a multi- ders. the change, from an America that sought to define itself by
mother. The chair next to her so I could put it in my tude of sins. Off-brand hand For what situation was a calculated and performative respect for dissent to a
was piled with the following: pocket,” she explained. My an- lotion, crumpled Kleenex, the Nanna not prepared? She had security state whose militarized police demand obedience,
an iPhone, sunglasses, lip swer no doubt irked her with swiped pack of crackers that a miniature sewing kit should drawing their guns and issuing the order for total
balm and an enormous ring of its predictability. “Well, if came with your soup. her frock tear, an emery board submission now heard in every city: ‘Stop resisting.’ ” He
keys that would be the envy of you’d had a purse . . .” A purse is also an opportu- and always a rain bonnet to can hardly say a good word about any of the hundreds of
innkeepers and school custo- nity. What’s more feminine protect her permanent waves NSA and CIA personnel he worked with over the years.
dians the world over. That’s than a clutch tucked under from pop-up showers. Some- Only he, Edward Snowden, saw the evil and had the
four things—along with two Dear women under one’s arm for an evening out- times she would allow me to courage to blow the whistle.
preschool-age children—to 30: Where have your ing? Or as Parisian as a cross- unfold the bonnet and wear it, Early in the book it becomes clear that Mr. Snowden’s
keep track of, to scoop up at body bag for an afternoon of pretending to be a babushka aim isn’t so much to justify his decision to expose a
the service’s end, to count purses gone? antique shopping? There are or Cinderella sweeping ashes menacing intelligence enterprise as to build sympathy for
once back in the car. so many good purse moments: from the hearth. himself and ill feeling for his accusers. Among his many
Dear women under 30: Pulling out a freshly pressed I don’t know what accounts complaints: the U.S. government’s reliance on contract
What’s your problem with Maggie had heard the like handkerchief to dab tears at a for today’s purse-shunning. work, indefinite detentions at Guantanamo Bay, the war in
purses? When precisely did when she waltzed into a dance wedding, snapping shut a Maybe it’s part of a grand Afghanistan, the lavishness of lifestyles among elites in
you decide they were passé? with a date on one arm and compact after a quick mirror conspiracy by phone-repair Geneva during the financial crisis, the laziness and
I’d like to buy the world a her cellphone, the regrettable check, jotting down overheard outfits, reaping the benefits of ineptitude of U.S. intelligence analysts, and the bugbear du
purse, but I’d start with my keys and a wallet that had coffee-shop conversations in a all those shattered screens jour of America’s chattering classes, “authoritarian
twin daughters, age 21. The seen better days all in her free notebook for your next novel, that could have been coddled populism.” One can’t help thinking that Mr. Snowden was
bank would thank me, as that hand. I strongly suspect that mining for a breath mint and and cushioned within a purse. looking for a reason to show the world his high principles
fine institution has been asked she—and I—would have felt finding one in the nick of and courage. If it hadn’t been mass surveillance, it would
to replace Emma’s lost debit more at ease had it all been time. Ms. Boggs is an Atlanta- have been something else.
card four times in six months. shoved into a pocketbook. When I was a girl, my based writer. She teaches Eng-
Then there’s Maggie, who With all that gear, how is a grandmother’s purse was en- lish composition at Georgia Mr. Swaim writes a column on political books in the
failed to notice she’d left her gal to balance a glass of punch tertainment gold. It contained Perimeter College. Weekend Journal.
A18 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

OPINION
REVIEW & OUTLOOK LETTERS TO THE EDITOR

The Assault on the Supreme Court Sen. Warren’s Plan Will Punish the Prudent

S
upreme Court Justice Brett Kavanaugh the committee found “no verifiable evidence to Phil Gramm and Mike Solon start step up to. Instead, she wants to steal
will apparently receive continuing edu- support Ramirez’s allegations.” “Warren’s Assault on Retiree Wealth” money from individuals who deferred
(op-ed, Sept. 11) by telling the reader spending for the security of their
cation in the politics of personal de- The Times piece laments that the FBI in a
that the households of ages 65 to 74 later years, which they did with the
struction, and this weekend supplemental background have an average of $1,066,000 in net promise and guidance of various laws
came another round of rumor- The revival of smears check didn’t interview a list of worth. This may be technically true passed by Congress such as the Roth
mill accusations over his con- against Kavanaugh is individuals supplied by Ms. but it has little significance in a polit- IRA. Now, it seems, Sen. Warren, with
duct in college. It’s important Ramirez’s legal team who ical or public-policy context. assistance from Congress, wants to
to understand that this assault part of a campaign. “may” have had corroborating The (much more meaningful) me- break those promises.
on the Justice is part of the evidence. But the FBI inter- dian figure for the same age group is And this is the leader we want for
left’s larger campaign against viewed Ms. Ramirez, two al- $224,000—less than one quarter of our country?
the legitimacy of the current Supreme Court leged eyewitnesses and a friend of Ms. the figure they cite. Furthermore, this TRICIA BUTLER
and an independent judiciary. Ramirez’s from college, and also turned up no figure is total net worth, not financial Renton, Wash.
By now readers have seen Democrats run- substantiating evidence. A third alleged eyewit- net worth, and a large proportion of
it simply reflects home equity. Older Americans, who in aggregate
ning for President calling for Justice Kavanaugh ness declined an interview.
TIM MCGLINN have a large ownership share of U.S.
to be impeached, including Elizabeth Warren, i i i Maplewood, N.J. stocks, will be early casualties of Sen.
Kamala Harris and Beto O’Rourke. These Demo- This episode is part of the campaign that Warren’s act, but close behind will be
crats know there is zero chance of a Republican Democrats are running against the High Court To retire in the middle class (say their heirs and the economy.
Senate voting to remove Mr. Kavanaugh from now that it may have (we don’t yet really know) $75,000 annual income) one must be MATT BLAKE
office. a center-right majority. This includes regular a millionaire now, supplementing So- Harrisonburg, Va.
The attacks on Justice Kavanaugh are an at- campaigns lecturing Chief Justice John Roberts cial Security with a nest egg of some
tempt at intimidation to influence his opinions. about “legitimacy” whenever a case with politi- $1.5 million. The size of that required Is it any wonder investors are ner-
But if Democrats fail in that, they want to portray cal implications is heard. nest egg number grows daily as inter- vous about the economy when they
conservative opinions of the current Court as ille- We’ve reported on Rhode Island Senator est rates fall. This income level is hear drumbeats of financial experi-
middle middle-class living, not even mentation from all the Democratic
gitimate. Even Senator Amy Klobuchar of Minne- Sheldon Whitehouse’s attempts to tar amicus
upper middle class. presidential candidates—especially
sota now says the Judiciary confirmation of Jus- briefs from sources he doesn’t like. Mr. White- FRAN HAINESElizabeth Warren? Could we ask these
tice Kavanaugh was “a sham.” She knows better house and other Democrats recently filed an Arlington, Va.
financial mavens instead to solve the
but so much for her self-styling as a “moderate.” amicus brief threatening the Court with legisla- existing fiduciary problems of Social
i i i tive changes if the Justices don’t follow their When I read this article regarding Security, on which they’ve been (pre-
First a word about the latest smear. The allega- orders in a gun-control case. Presidential candi- Sen. Elizabeth Warren and her goal to sumably) working diligently for years
tions against Justice Kavanaugh arrived in a New dates vow to pack the Court with more Justices assault retiree wealth, I was reminded with no fix in sight, before we hand
York Times piece based on a forthcoming book. if they take power. of Jonathan Gruber’s comments that them the keys to the entire economy?
The news—this is a generous term—is about a This is the most radical attack on the judi- ObamaCare would pass because of Does anyone seriously think their pol-
lawyer named Max Stier who allegedly may have ciary in decades. These aren’t crank voices like American voters’ stupidity. Did Sen. icy proposals won’t create chaos in
seen Justice Kavanaugh expose himself to a those posting “Impeach Earl Warren” billboards Warren take a class from Mr. Gruber? the market 15 months from now and
Does she really think we are stupid? aren’t a factor in investor nervous-
woman at a party while a student at Yale. in the 1950s. This campaign is led by the power
Sen. Warren is showing that she is ness today?
Except Mr. Stier wouldn’t speak publicly. An center of the Democratic Party, including Mem- lazy when dealing with the financial RICK NELSON
editors’ note appended after publication adds bers of the Judiciary Committee such as Ms. responsibilities that Congress should Ipswich, Mass.
the previously omitted detail that the woman Harris who vet judicial nominations. Their at-
involved “declined to be interviewed and tack on a core democratic institution is exactly
friends say that she does not recall the inci- what they claim President Trump is doing, but
dent.” Oh.
The rest is largely a rehash of allegations
Mr. Trump is mostly bluster.
This assault on the judiciary is being carried
World Auto Industry Is Becoming Socialized
from Deborah Ramirez, the subject of a New out with conviction and malice, as the character In the same issue as your editorial for auto makers and customers—espe-
Yorker story during Justice Kavanaugh’s confir- assassination against Justice Kavanaugh shows. “Progressive Antitrust Paradox” (Sept cially those who use these vehicles to
mation ordeal last year. The point is to insinu- One motivation is that everything on the left’s 12) about four auto makers’s corporate make a living.
collusion to build more electric cars to There is a green industrial-automo-
ate that Ms. Ramirez’s accusations were credi- new agenda, from the Green New Deal to a
meet California’s more stringent stan- tive complex. Auto makers and inves-
ble and not thoroughly investigated. This is a wealth tax, depends on favorable court rulings. dards, your Technology section has tors comply, then donate to the same
brazen rewriting of history. The left is used to running the nation’s law “European Auto Makers Bet on Elec- politicians who mandate more, then
Check out the 414-page report on the various schools and controlling the courts. tric” about the challenges auto makers those who invested in these mandates
allegations against Justice Kavanaugh by the Sen- But the Senate has confirmed more than 150 are facing because more and more of lobby politicians to ban fossil fuels or
ate Judiciary Committee, then led by GOP Sena- judicial nominees since President Trump took their product planning is being based the still very competitive internal-
tor Chuck Grassley. The committee notes it con- office. And progressives would now rather at- on government mandates rather than combustion engine to protect their in-
tacted Ms. Ramirez’s legal team hours after the tempt a hostile takeover of Article III courts the market demand they should serve. vestment. This also is an antitrust
story broke. Ms. Ramirez’s attorney refused than wait to win the old-fashioned way: at the The auto industry is becoming so- paradox.
seven requests to provide supporting material. ballot box. cialized. Auto makers are increasingly KARL MILLER
being mandated to direct capital in- White Plains, N.Y.
“Despite the refusal of Ramirez’s legal team The partisan relitigation of Justice Ka-
vestment into unprofitable products,
to assist the Committee in its investigation,” vanaugh’s confirmation is an embarrassment then rely on government subsidies to You complain that California has
the Senate report notes, “Committee investiga- to the country, but it is useful in putting the reduce the losses and taxpayer-funded organized a cartel to boost electric-car
tors attempted to investigate her claims to the 2020 election stakes in sharp relief. The future credits to customers to drive up de- production and that the auto makers
greatest extent possible, and interviewed seven of the Supreme Court is on the ballot in Senate mand. Even without government man- have joined it. But the point of anti-
witnesses regarding the allegation.” In the end, races as much as in the presidential race. dates, competition and evolving tech- trust law is (or should be) to preserve
nology will make cars, including EVs, competition and keep prices near the

Paul Ingrassia
better and more environmentally cost of production. Building more
friendly. However, arbitrary deadlines electric cars could well force up
for ideological goals mandated by peo- prices, but the agreement will do

T
he editor across the desk could not have guide him past the corporate spin. As an editor, ple who often couldn’t identify three nothing to force up margins.
parts under a hood, often create havoc The real difficulty is that California
been clearer. Either stop making factual Ingrassia instilled in younger writers the duties
wants to overrule federal policy, but
errors or you’ll have to find another line of the reporting craft and honest story-telling. that is a problem for federalism. Try-
of work. That was the message He later ran Dow Jones News- Public Interest, Yes, but Is ing to fix things through the Sherman
nearly 40 years ago to the edi- A longtime Journal wires and became managing Antitrust Act will cause no end of mis-
tor of these columns from Paul editor of the Thomson Reuters Reporter’s Privilege Right?
Ingrassia, who died Monday of
editor and chronicler news service. In recent years
chief.
David B. Rivkin and Lee A. Casey EM. ADJ. PROF. STEPHEN M. MAURER
cancer at age 69 after one of of the auto industry. he returned to the Journal as are spot on in their analysis of jour- University of California at Berkeley
the great careers at the Jour- a member of the Special Com- nalists’ claim to special status against
nal and indeed in American mittee established to protect the “coordinated communications”
journalism. editorial independence under the 2007 merger prohibition of federal election law ETFs Are an Incomplete
(“End the Media’s Campaign Privi-
Ingrassia’s standards were high, which is accord with News Corp.
lege,” op-ed, Sept. 4). A similar analy-
Answer for Diversification
why he excelled as a reporter, editor and busi- Some in the Ingrassia family have a genetic
sis applies to claims for a “reporter’s While it may be important to focus
ness manager during three decades at the Jour- trait making them especially susceptible to can- privilege” protecting against divulging on each individual ETF’s diversifica-
nal. He was a reporter and spot news editor in cer, and Paul long fought the disease. His son sources (even for information ob- tion, investors should seek diversifi-
Chicago, where we received that bracing lec- Charles died this year of cancer, as did two sis- tained illegally). Again, how can jour- cation for their entire portfolio (“Your
ture, a bureau chief in Cleveland and then De- ters in the 1980s. What we recall is Paul’s forti- nalists claim a constitutional right the ‘Diversified’ ETF Might Now Be Any-
troit, where his reporting on the troubles at tude and grace through it all, interrupted by fly rest of us don’t have? thing But,” Journal Report, Sept. 9).
General Motors won a Pulitzer Prize. fishing and rounds of golf. Any institution is That so-called privilege would dif- Investors will reduce their market
His engaging personality and integrity only as good as its individuals, and in Paul In- fer from all others. The client confides risk and achieve broad diversification
helped win the trust of sources who would grassia the Journal had one of the best. in a lawyer to stay out of prison, the by investing in more than just growth
patient confides in a doctor to stay funds or a U.S.-based index no matter
out of the grave and a penitent con- how diversified those individual funds
No Peace in Our Time in Colombia fides in a priest to stay out of hell. But
informants “confide” in journalists so
may be. Since small companies have
historically outperformed large, and

F
their leaks can be shouted from the value companies have historically out-
ewer than three years after Colombia’s had no intention of giving up the lucrative co- rooftops. There might be a public in- performed growth, investors won’t
oldest guerrilla group signed a peace caine business or their dream of bringing down terest involved, but it is neither a only achieve broad diversification but
agreement with the government, the Colombia’s democracy. privilege nor a constitutional right. increase their expected total return
terror leaders have said never Comandante Márquez and ROGER H. LEEMIS by owning the entire global market
mind. In a 32-minute video Key FARC drug his comrades say the govern- Southfield, Mich. and then tilting more of their in-
broadcast last month, Revolu- ment hasn’t kept its side of vestible funds to the small and value
tionary Armed Forces of Co-
smugglers renew the the agreement. But those con- asset classes, both in the U.S. and
lombia (FARC) commander guerrilla war. cerns only became acute after It’s Not That Hard to Tell abroad. The academic evidence is
very clear on this as demonstrated
Iván Márquez called for a a U.S. Drug Enforcement Ad- Marijuana From Hemp over the years by Eugene Fama, Ken-
“new phase of the armed ministration operation caught Regarding South Dakota Gov. Kristi neth French and many others.
struggle.” By his side were FARC commanders Mr. Santrich and Mr. Márquez’s nephew, Marlon Noem’s “Why I Won’t Support Legal- BRAD PRUITT
Jesús Santrich and Hernán Dario Velásquez— Marín, allegedly trying to smuggle 10 tons of izing Hemp” (op-ed, Sept. 10): I be- Lubbock, Texas
better known as the bloodthirsty El Paisa—and cocaine in violation of the Havana deal. lieve Gov. Noem needs to enhance her
gun-toting grunts. Mr. Santrich successfully fought extradition staff’s research capability. We are
The Colombian government called the state- to the U.S., but in April Mr. Marín surrendered cannabis growers in Oregon and use a Pepper ...
ment “very worrying” but President Iván Duque to U.S. authorities and became a protected wit- tool called Purpl PRO, sold by Purpl
has played down its importance. “Colombians ness in the case. With his nephew talking in Scientific. I’m sure there are other
And Salt
must be clear that we are not facing a new guer- New York, Mr. Márquez fled, giving up his un- such tools available. It costs about THE WALL STREET JOURNAL

rilla, but confronting the criminal threats of a elected seat in the Congress. Now he has $1,500, and we find it to be accurate
within acceptable tolerances. After
gang of narco-terrorists,” Mr. Duque said. He emerged to proclaim his moral indignation
we test our cannabis for THC po-
blamed Venezuelan dictator Nicolás Maduro for about Colombia’s “elite, corrupt, criminal and tency, independent labs test the prod-
giving them “safe harbor.” U.S. Secretary of violent oligarchy,” whom he says the recon- uct before it is put on the shelf. The
State Mike Pompeo echoed Mr. Duque’s com- structed FARC will target. device is hand-held, gives results
ment: “We strongly repudiate recent calls by The political wing of the FARC retains its 10 within minutes and can be used in
some individuals to abandon the FARC’s com- unelected congressional seats while Mr. the field. Problem solved.
mitments under the 2016 peace accord.” Márquez’s paramilitary will pull together thou- LOREN PICARD
The trouble is that Mr. Márquez and Mr. sands of FARC who abandoned the demobiliza- CEO, High Desert Flower LLC
Santrich aren’t “some individuals.” They are top tion process. Hundreds more rejected the Lakeview, Ore.
FARC leaders and were key negotiators in Ha- agreement from the start. He says he will make
vana when the agreement was sealed with the common cause with the smaller guerrilla group Letters intended for publication should
government of former president Juan Manuel ELN, which numbers some 2,200. be addressed to: The Editor, 1211 Avenue
of the Americas, New York, NY 10036,
Santos in 2016. After a Colombian military raid in late Au- or emailed to [email protected]. Please
It’s doubtful there was ever a FARC commit- gust killed nine FARC guerrillas, the country’s include your city and state. All letters
ment to peace. A better read is that the guerril- war on terrorism is back on. But the truth is are subject to editing, and unpublished
las took a deal that included amnesty and 10 un- that it was never off. The sooner everyone ad- letters can be neither acknowledged nor “Don’t worry—that’s
returned.
elected FARC seats in Congress, but that they mits that the better. just Dad’s drone.”
THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | A19

OPINION

Israel’s Election Is Full of Wild Cards

By Jonathan Kolatch achievements as ministers, Mr. Ben- and Samaria. Against advice from his

I
nett and Ms. Shaked opted for Madi- attorney general, Mr. Netanyahu initi-
srael’s repeat election Tuesday son Avenue glitz. Ms. Shaked, 43, a ated a failed attempt to pass a law al-
may reinforce the dominance of secular Jewish woman with a respect lowing cameras in election precincts.
the right—and begin to bridge for tradition, appeared in a sexy cam- He announced discovery of a second
the divide between religious and paign ad in which she scented herself Iranian nuclear site. Reinforcing his
secular Jews that has plagued with a fragrance called “Fascism,” par- international luster, he met Prime
Israel since the state was established. odying critics of her judicial reforms. Ministers Narendra Modi in New
But polls are tight. If the vote swings Her clincher: “Smells like democracy Delhi, Boris Johnson in London and
left, it will likely spell the end of the to me.” Mr. Bennett overplayed his se- Vladimir Putin in Sochi, Russia. Blue
Benjamin Netanyahu era. curity credentials and mounted a spot and White mocked him as ”Benjamin
With 65 of 120 Knesset members with a perched dove in hand, convey- of Tudela,” a medieval Jewish wan-

NURPHOTO VIA GETTY IMAGES

recommending him for a fifth term as ing the message that the road to derer. The prime minister’s campaign
prime minister, the April election peace is through strength. strategy is to dominate the agenda
should have provided Mr. Netanyahu Given a second chance, Mr. Ben- and divert discussion from pending
a clear path to form a government. nett and Ms. Shaked realigned with legal vulnerability and escalating
Snatching headlines for the negotia- their old nationalist-religious allies to hostilities in Gaza. But a post on his
tion’s breakdown was the refusal of form a hybrid party called Yamina personal Facebook page warning that
Avigdor Lieberman, whose Yisrael (To the Right) that melds traditional “The Arabs want to annihilate us all”
Beiteinu (Israel Our Home) Party won Judaism with allowance for secular- was withdrawn as going too far.
five seats, to back Mr. Netanyahu un- ists. Yamina aims for 10 seats in the Former Justice Minister Ayelet Shaked campaigns in Ramat Gan, Aug. 12. This isn’t a betting man’s election.
less a bill requiring ultra-Orthodox next Knesset, enough to demand Only Mr. Netanyahu’s Likud has the
students to serve in the military was choice cabinet portfolios. Polls have To the final campaign bell, Mr. Ne- out of the election in return for a potential to cobble together a 61-seat
passed without revision. Yamina within striking distance. tanyahu has evinced a visceral cool- cabinet seat for its leader, Moshe Fei- coalition with like-thinking partners.
Yamina will likely show new flexi- ness toward Ms. Shaked, instigated glin. Mr. Netanyahu’s hope is that Mr. If Likud fails, an unstable minority
bility on matters of religion and heavily by his wife, Sara. The prime Feiglin’s withdrawal will send other- government could emerge with tacit
The result could help state. Rabbi Rafi Peretz, now educa- minister’s message to Likud cam- wise wasted Zehut votes to the Likud. support of anti-Zionist Arab Joint
tion minister and No. 2 on the Yam- paigners is that if Yamina gets 10 No guarantee, but if it works, those List. Mr. Lieberman could zigzag back
bridge the religious- ina slate, has backtracked from his seats, Ms. Shaked won’t recommend two or three extra Knesset seats to Likud. Knesset members on the
secular divide. Or it could stance encouraging “conversion ther- Mr. Netanyahu to form the next gov- would bring Mr. Netanyahu closer to left could defect. Likud and Blue and
apy” to reverse homosexuality. Ms. ernment. In retort, Yamina reiterates the 61 seats he needs—without Mr. White could form a unity govern-
end the Netanyahu era. Shaked, who tops the slate, would de- its support for Mr. Netanyahu, and Lieberman. ment. Blue and White could drop its
mand the justice ministry and push hints at favoring immunity from But complexity begets complexity. policy of having only secular partners
for reduced power for Israel’s left- prosecution on corruption charges Mr. Feiglin’s withdrawal lifted the and court the ultrareligious parties.
Yet the ultimate cause of the leaning Supreme Court. Some see her for the prime minister. Otzma Yehudit (Jewish Might) party, Or a Likud majority could decide to
breakdown was a miscalculated cam- as a future prime minister. The wildest card in the revote is steeped in the extremist philosophy end the Netanyahu era by appointing
paign by the breakaway New Right Counterintuitively, the major ob- Mr. Lieberman, the slippery-tongued of American émigré Meir Kahane another Likud member to form a gov-
party, powered by former Education stacle to Yamina’s ascent is Mr. Ne- politician who pulled the rug from (1932-90). Otzma may now reach the ernment.
Minister Naftali Bennett and former tanyahu’s Likud, which, as in April, is under Mr. Netanyahu’s victory in 3.25% threshold to enter the Knes- President Reuven Rivlin, who has
Justice Minister Ayelet Shaked. Their trying to sap as many votes from April. Flush with power and up in the set—more potential votes for the broad oversight over the coalition-
new party ended up 0.03% of the other right-wing parties as possible. polls, he has shifted left, demanding right, fewer for Likud. On election formation process, has made clear
vote short of the 3.25% minimum to With Likud as top vote-getter, Mr. Ne- a unity government comprised of his eve, Mr. Netanyahu insisted in a Face- that he will do everything in his
qualify for the Knesset. With 1,400 tanyahu would merit first crack at own party, Likud and Blue and White. book broadcast that Otzma will fall power to move the process to conclu-
more votes, they would have won forming the next coalition. Former Such a configuration wouldn’t sit short of the threshold, begging the sion. Almost everyone agrees Israel is
four seats, giving Mr. Netanyahu a army Chief of Staff Benny Gantz’s well with Likud’s hawks. votes for Likud. in no mood for a third election.
majority—without Mr. Lieberman— centrist Blue and White Party, Likud’s Maneuvering left and right at During this campaign, Mr. Netan-
and a repeat election would have principal rival, is likewise attempting once, Mr. Netanyahu engineered a yahu has missed no beat. He has re- Mr. Kolatch writes about Mr. Ne-
been unnecessary. to beat down potential partners on deal whereby the fringe ultranation- stated his intention to apply Israeli tanyahu’s early political years in “At
Instead of focusing on their its left. alist Zehut (Identity) party dropped sovereignty to Jewish towns in Judea the Corner of Fact & Fancy.”

The Fed’s Mandate Is Up to Congress and the President

By Judy Shelton long-term interest rates is seldom six times—that “achievement of an high. But the Fed deserves little In language that resonates today on

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mentioned. Yet the third goal is vital, improved trade balance” should be a credit for this, as it acknowledges in the need to confront unfair trade
he role of the Federal Reserve and it goes to the heart of the prob- primary objective of coordinated eco- the FAQs on its own website: “The tactics and currency maneuvering by
as an instrument of public lem of today’s inverted yield curve. nomic policy-making within the fed- maximum level of employment is U.S. trading partners, the law notes
economic power could use Short-term interest rates should be eral government. The law elaborates largely determined by nonmonetary that attainment of the requirements
some clarification. The central lower than long-term interest rates; on the need to “give proper attention factors that affect the structure and depends on policies that promote “a
bank’s status as an independent it’s a basic premise of sound finance to the role of increased exports and dynamics of the job market.” free and fair international trading
agency derives from an act of Con- and rational investment conditions. improvement in the international As for stable prices, the Fed system and a sound and stable inter-
gress in 1913, and is reinforced by Why does the Fed treat the first two competitiveness of agriculture, busi- should necessarily rate its perfor- national monetary order.”
oft-invoked references to its statu- objectives with such reverence but mance as unsatisfactory given its It would be appropriate and con-
tory “dual mandate”: to achieve sta- disregard the third pillar as an equal difficulties in reaching its own 2% structive for the Fed to consider in-
ble prices and full employment. imperative? Lawmakers in the past have inflation goal. The Fed has also ternational monetary stability in its
But the Fed’s job description is The Full Employment and Bal- failed to meet the standard set by interest-rate decisions. In an era of
more complicated than people usu- anced Growth Act of 1978, also broadened the central Humphrey-Hawkins, which gave a world-wide currency exchange,
ally think. Its purposes have evolved known as the Humphrey-Hawkins bank’s goals, directing it to goal of zero inflation by 1988. Fi- America’s central bank should not
through various legislative changes Act, is the other major law that has nally, with pension funds struggling ignore the effects of movements
over the decades, the most notable shaped the Federal Reserve’s role. It boost U.S. competitiveness. for adequate yields to cover their li- spurred by other major central
of which was imposed by Congress imposed on the Fed an obligation to abilities, the Fed can hardly claim to banks. With no consistent free-trade
in 1977. The Federal Reserve Reform pursue specific economic goals in have delivered moderate long-term principles governing global mone-
Act, which gave the central bank its the best interests of the nation. But ness, and industry in providing pro- interest rates. tary policy, the Fed must take proac-
current, explicit mandate, named contrary to the notion that the Fed ductive employment opportunities The point of taking a closer look tive steps to ensure that the U.S. can
three goals rather than two. should stand aloof as an indepen- and achieving an improved trade bal- at these two laws is to recognize compete successfully.
The legislation as amended states: dent agency, the intention of the ance.” It states that fulfilling such that Congress historically hasn’t It would be in keeping with its
“The Board of Governors of the Fed- 1978 law was to harness monetary objectives “will promote the eco- sought to treat the Federal Reserve historical mandate if the Fed were to
eral Reserve System and the Federal policy to achieve the enumerated nomic security and well-being of all as a detached lever of economic pursue a more coordinated relation-
Open Market Committee shall main- goals through “better integration” of citizens of the Nation.” power. Rather, lawmakers intended ship with both Congress and the
tain long run growth of the mone- economic policy-making within the The Humphrey-Hawkins Act qui- to incorporate monetary policy into president. When it comes to fulfilling
tary and credit aggregates commen- federal government: etly expired in 2000, but its legacy an overarching effort to achieve “im- the economic goals authorized by
surate with the economy’s long run “Attainment of these objectives for ensuring the central bank’s ac- portant national requirements” that legislative decree, it isn’t seemly for
potential to increase production, so should be facilitated by setting ex- countability continues through the improve U.S. economic prospects. a government agency to be selective.
as to promote effectively the goals of plicit short-term and medium-term biannual testimony given to Con- Humphrey-Hawkins was particu-
maximum employment, stable prices, economic goals, and by improved co- gress by the Fed chairman. If the Fed larly insightful—even prescient—in Ms. Shelton, an economist, is au-
and moderate long-term interest ordination among the President, the were to evaluate its own perfor- calling for improved coordination of thor of “Money Meltdown: Restoring
rates.” Congress, and the Board of Gover- mance in adhering to the full slate of U.S. economic policy to address “for- Order to the Global Currency Sys-
While policy makers frequently nors of the Federal Reserve System.” directives received from Congress, eign competition in the United States tem.” President Trump has an-
expound on the Fed’s mandate to Declaring that “trade deficits are a how would it score? and abroad” and to ensure “the abil- nounced his intention to nominate
promote full employment and stable major national problem,” the Hum- Current employment levels and ity of our economy to compete suc- her to the Federal Reserve Board of
prices, its duty to promote moderate phrey-Hawkins Act explicitly states— participation rates are impressively cessfully in international markets.” Governors.

What Ever Happened to ‘We the People’?

By Adam Carrington name a part of the document, they belief in the inherent equality of all states since have chased the same mon possessions need to be protected

S
often point to some portion of the human beings. As equals, the only things. and cultivated as much as individual
ometimes you know something Bill of Rights or to the 13th Amend- just rule is self-rule. In so commit- The Founders chose another route, goods. This commitment connects to
so well that you stop seeking ment, which banned slavery. ting, America was one of the first a summary of the just ends of political the further purpose of securing “the
out what it can teach you. This But the preamble does more than countries to reject the rule of the few society. These ends were grounded in Blessings of Liberty to ourselves and
can happen with anything from a be- add rhetorical flourish to our govern- elites, building on an English commit- our Posterity.” Liberty bestows myr-
loved novel to the Bible. In our divi- ing document. It concisely declares ment to freedom. But unlike Britain’s iad blessings, allowing us to fulfill our
sive political times, one well-worn America’s answers to the most funda- customary constitution, “We the Peo- There’s more to the U.S. purposes as human beings, to seek
text that bears re-examining is the mental questions of political life—ev- ple” would record the structures and the good, virtue, and the worship of
preamble of the Constitution. Many ery one of which is contested today. conditions of our rule, setting them Constitution than its our Creator. We must secure these
Americans memorized its words in Consider its opening and closing: in stone as a standard of liberty. amendments. Give the not only for us, but for our children
school—or by watching “Schoolhouse “We the People . . . do ordain and es- The preamble’s middle portion ar- and children’s children.
Rock!”—but few examined its mean- tablish this Constitution for the ticulates the ends that popular rule preamble some respect. Finally, the Founders sought in the
ing closely. United States of America.” Every po- serves. Again, there are many possi- Constitution “to form a more perfect
If people think of the Constitution litical community has to decide who ble answers. Ancient Sparta pursued Union.” The rule of the people and
at all, they tend to focus on other is ultimately sovereign. Our commit- glory through war, and in its later human virtue, not greed or vainglory. their commitment to certain pur-
parts. When I ask my students to ment to popular rule stems from a years Rome sought empire. Many Moreover, unlike the later Progressive poses came in the form of a common
thought of men like Woodrow Wilson, bond. They were united by more than
they sought justice in the eternal geography, forming a partnership to
PUBLISHED SINCE 1889 BY DOW JONES & COMPANY
Notable & Quotable principles of human nature, not an
evolving “right side of history.” By
rule in the pursuit of justice and the
common good.
Rupert Murdoch Robert Thomson
Executive Chairman, News Corp Chief Executive Officer, News Corp
From “The UAW in the Driver’s writing that they would “establish The preamble’s commitments ar-
Matt Murray William Lewis
Seat,” a Journal op-ed by Paul In- Justice,” the Founders recognized ticulated the basis of our union. But
Editor in Chief Chief Executive Officer and Publisher grassia, April 30, 2009: that politics does not define what is every one of them now is contested,
Neal Lipschutz Karen Miller Pensiero DOW JONES MANAGEMENT: right; it seeks to follow, secure and even the most fundamental: self-rule.
Deputy Editor in Chief Managing Editor Ramin Beheshti, Chief Technology Officer; What’s occurring now is the cul- preserve it as declared by the laws of A battle rages over whether “We the
Natalie Cerny, Chief Communications Officer;
Jason Anders, Chief News Editor; Kamilah Mitchell-Thomas, Chief People Officer; mination of a steady, decades-long nature and of God. People” or some learned subset of
Thorold Barker, Europe; Elena Cherney, Coverage Edward Roussel, Chief Innovation Officer; transfer of wealth from the owners For another, they declared their the populace should rule. Both sides
Planning; Andrew Dowell, Asia; Alex Martin, Print Christina Van Tassell, Chief Financial Officer
& Writing; Michael W. Miller, Features & Weekend;
of GM and Chrysler to the employ- intent to “insure domestic Tranquil- use the same language of liberty and
OPERATING EXECUTIVES:
Emma Moody, Standards; Shazna Nessa, Visuals; Kenneth Breen, Commercial; ees. It began in 1970, when GM caved ity” and to “provide for the common general welfare but mean different
Matthew Rose, Enterprise; Michael Siconolfi, Jason P. Conti, General Counsel; in to UAW contract demands after a defence.” The Founders recognized things by them. Our common bond
Investigations; Louise Story, Strategy and Interim Tracy Corrigan, Chief Strategy Officer; two-month strike. . . . Today, workers the dangers inherent to life. Thus, sometimes seems strained to the
Product & Technology; Nikki Waller, Live Frank Filippo, Print Products & Services;
Journalism; Stephen Wisnefski, Professional News Kristin Heitmann, Chief Commercial Officer; can retire after 30 years on the job, America would seek to protect the point of tearing.
Nancy McNeill, Corporate Sales; regardless of age. In GM’s 1992 an- lives, liberties and property of its This Constitution Day, let us seek
Gerard Baker, Editor at Large Thomas San Filippo, Customer Service; nual report, CEO Jack Smith reported people from all threats, internal and to learn anew from the preamble.
Josh Stinchcomb, Advertising Sales;
Paul A. Gigot, Editor of the Editorial Page; Suzi Watford, Chief Marketing Officer; that the company’s health-care tab external. This education should renew our
Daniel Henninger, Deputy Editor, Editorial Page Jonathan Wright, International for employees, retirees and depen- They also would commit to “pro- bonds. We should work so that our
Barron’s Group: Almar Latour, Publisher dents averaged about $9,500 per ac- mote the general Welfare,” recogniz- “more perfect Union” will strengthen
WALL STREET JOURNAL MANAGEMENT: Professional Information Business:
Joseph B. Vincent, Operations; Christopher Lloyd, Head;
tive employee each year. That was up ing that, while we have our own par- itself, forged together again in and by
Larry L. Hoffman, Production Ingrid Verschuren, Deputy Head from just $3,500 a decade earlier. . . . ticular needs and desires, we also the Founders’ vision.
EDITORIAL AND CORPORATE HEADQUARTERS: Not until 2005 did the UAW agree to hold many things in common. Culture,
1211 Avenue of the Americas, New York, N.Y., 10036 pay modest monthly premiums and safety and communal pursuits are a Mr. Carrington is an assistant pro-
Telephone 1-800-DOWJONES
deductibles for doctor visits. part of living full lives. These com- fessor of politics at Hillsdale College.
A20 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

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 TECHNOLOGY: CRYPTO SECTOR RUSHES TO COMPLY WITH ANTI-MONEY-LAUNDERING RULES B4

BUSINESS & FINANCE

© 2019 Dow Jones & Company. All Rights Reserved. * * * ** THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | B1

S&P 2997.96 g 0.31% S&P FIN g 0.48% S&P IT g 0.27% DJ TRANS g 0.77% WSJ $ IDX À 0.31% LIBOR 3M 2.145 NIKKEI (Midday) 21964.74 g 0.11% See more at WSJ.com/Markets

GM Strike to Cost Millions Daily Netflix

Secures
Estimates of GM’s profit by between $50 continuing rollout of its most It is on track to eliminate 177,000 union members, nearly

walkout’s impact are

between $50 million
million and $100 million daily.
Stalled production could slash
more than a tenth of GM’s ex-
extensively redesigned pickups
in two decades. The Detroit
company is also confronting
$4.5 billion in costs by late next
year as part of a restructuring
announced last November, com-
four times the size of its union
workforce today.
Bargainers for the UAW are
Deal for
and $100 million a day
pected third-quarter operating
profit of about $3.5 billion by
the weekend, though GM could
eroding profit in China, its larg-
est market in terms of sales,
and a stalled stock price.
pany officials have said. GM in
addition has shuttered multiple
plants, affecting 3,300 jobs. GM
pressing GM to keep the idled
plants open, increase pay and
benefits for workers with less
‘Seinfeld’
BY MIKE COLIAS make up some lost production GM also has been cutting has said most of those workers seniority and provide better job BY JOE FLINT
once workers return, analysts costs in the U.S. to try to insu- were hired at other company protection for temporary work-
General Motors Co. stands say. late the company from a poten- factories. ers. Netflix Inc. is losing
to lose as much as $100 million The U.S. business is GM’s tial U.S. sales downturn after a The economic impact of the The sides are further apart streaming rights to “Friends”
a day if the nationwide strike of most profitable, but the strike long, healthy run. strike isn’t expected to be as on a range of issues than is typ- but—yada yada yada—now it
auto workers continues. comes at a delicate time for GM doesn’t set aside a fund large as during previous walk- ical at this point in the negotia- is getting rights to “Seinfeld.”
Auto-industry analysts esti- both the nation’s largest auto specifically to guard against the outs because the company’s tions, people close to the talks The company has struck a
mate that the walkout—which maker and the United Auto impact of a strike but relies on union workforce has shrunk in said. Sticking points include five-year deal with Sony Pic-
began Monday and involves Workers union. its cash cushion and lines of recent decades as it built more health care and the use of tem- tures Television to become the
roughly 46,000 full-time work- GM is seeking to recover lost credit to weather any sharp factories overseas. For example, porary workers. exclusive world-wide stream-
ers in more than 30 factories market share in the lucrative drop in its production, a in 1996, a supplier strike forced The job-security issue was ing home of “Seinfeld,” the hit
across 10 states—could dent pickup-truck category, with the spokesman said. GM to temporarily lay off Please turn to page B2 NBC comedy from the 1990s
about four friends in Manhat-
tan that was often jokingly de-

Banks Revive Mortgage-Bond Businesses

scribed as “a show about
nothing.”
Episodes of “Seinfeld” will
move to Netflix in 2021 from
BY BEN EISEN Mortgage originations by investment type, annually Private-label securities their current home, Walt Dis-
AND TELIS DEMOS issuance, annually ney Co.’s Hulu.
The private-label market for mortgage The deal comes at a crucial
Banks are getting back into bonds virtually disappeared after it blew $1.2 trillion time for Netflix, as it is set to
up during the financial crisis of 2008.
the business of building mort- 100%
lose some of its other iconic
gage bonds, laying the Private-label 1.0 reruns in coming years.
groundwork for a market that security The sitcom “Friends” is
stands to grow as the Trump 0.8 moving to AT&T Inc.’s War-
administration tries to reduce nerMedia next year, while
the government’s role in hous- “The Office” will head to NBC-
ing finance. 0.6 Universal in 2021—in both
Citigroup Inc., Goldman 80 cases to be featured in stream-
Sachs Group Inc., Wells Not 0.4 ing services the companies
Fargo & Co., and JPMorgan securitized plan to launch.
Chase & Co. over the past Terms of the “Seinfeld”
0.2
year have restarted or ex- deal, which was first reported
panded the business of spin- by the Los Angeles Times,
ning fresh pools of mortgages 0 weren’t disclosed.
into securities. 60 In 2015, Hulu reached an
2001 ’05 ’10 ’15
They are adding a jolt of agreement with “Seinfeld” dis-
energy to efforts to revive the tributor Sony Pictures Televi-
private-label market for mort- Mortgage-backed security sion, a unit of Sony Corp., for
gage bonds, which virtually issuance by type, annually U.S. rights to the show for six
disappeared after it blew up 100%
years valued at $130 million, a
during the financial crisis of 40 Fannie Mae
person close to the matter
2008. and said.
Fannie Mae,
Smaller operators have Freddie Mac 80 Freddie Mac The price tag for Netflix’s
long tried, but mostly failed, and Ginnie Mae acquisition of “Seinfeld” is
to rebuild what was once likely higher, people familiar
among the most significant 60 with the matter said, because
businesses on Wall Street. it includes international
Last year, some $70 billion 20 rights.
of mortgages ended up in pri- 40 Netflix has a big lead in the
vate-label mortgage bonds, ac- streaming-video wars, with
cording to the Urban Institute. some 150 million global sub-
Though that is far below a Ginnie Mae 20 scribers. But it faces some
peak of more than $1 trillion challenges as new entrants ar-
Private label
in precrisis years, it is the rive in the industry, some with
0 0
most since 2007. And this lower-priced services. In its
market could continue to 2001 ’03 ’05 ’07 ’09 ’11 ’13 ’15 ’17 ’19 2001 ’05 ’10 ’15 most recent quarter, the com-
grow if Fannie Mae and Fred- Note: 2019 data are through June. pany lost U.S. subscribers for
die Mac shrink, traders and Source: Urban Institute the first time in nearly a de-
executives say, opening up cade.
more room for private players the administration is expected yield. Fannie and Freddie don’t ants assume much of the Netflix has invested heavily
to take over this middleman to shrink them even if it can’t Instead of viewing these make loans. Instead, they buy default risk. in original programming, but
role of packaging and selling return them to private hands. bonds as toxic reminders of mortgages, package them into The bonds packaged and its viewers spend a large por-
mortgages. The fact that many inves- the financial crisis, many securities and sell them to in- sold by the banks don’t have tion of their time watching
The Trump administration tors say they are again getting money managers see them as vestors. the same protection, so inves- classic hits in its library, ac-
this month proposed privatiz- comfortable buying these an opportunity to generate Investors view these securi- tors demand higher yields to cording to Nielsen data. The
ing the two government-spon- bonds also underscores the more income in a low-rate ties as safe because the gov- compensate them for taking price for popular old shows is
sored mortgage giants, and broader market’s search for world. ernment-backed mortgage gi- Please turn to page B10 Please turn to page B2

INSIDE Energy Company Shares Soar

After Attacks in Saudi Arabia
EVE EDELHEIT FOR WSJ

BY RYAN DEZEMBER even higher, up 11% on the day. Besides being able to sell
AND KAREN LANGLEY Standout gainers included oil for significantly more this
North Dakota drillers Whiting week than last, investors are
Shares of U.S. energy pro- Petroleum Corp., up 49%, and also betting that producers
BUSINESS MANAGEMENT FINANCE ducers surged after weekend Oasis Petroleum Inc., which will be able to capitalize on
EU braces for U.S. SeaWorld’s CEO No one can agree attacks on Saudi oil produc- added 29%. Centennial Re- the higher prices in the fu-
tion facilities knocked out 6% source Development Inc., tures market to lock in higher
tariffs over resigns seven months how to price California of global oil output, giving a which operates in West Texas, prices for their future output.
the bloc’s subsidies after taking home insurance boost to stocks that have rose 32%, and California Re- Analysts with investment bank
to Airbus B3 the helm B3 for wildfires B6 beaten down by low commod- sources Corp. gained 38%. Tudor, Pickering, Holt & Co.
ity prices and investors wary All told, more than three said those with “precarious
of glutted commodity markets. dozen U.S. exploration and balance sheet positions”—like
Energy shares in the S&P production companies closed Whiting, Occidental Petro-

China’s Yuan Remains Also-Ran 500 rose 3.3%, while the

broader stock index slumped
0.3%.
up more than 10% on Monday.
U.S. crude futures, meanwhile,
climbed 15% to $62.90 a barrel
leum Corp. and Chesapeake
Energy Corp.—stand to bene-
fit the most.

In Foreign-Exchange Trade Ranks Those in the S&P 600 index

of smaller companies climbed
amid disruptions to Saudi pro-
duction.
Analysts at the Houston-
Please turn to page B10

BY JAMES T. AREDDY Beijing has promoted the yuan Beijing has cheered Hun- S&P 500
Energy 3.3%
as a core element of its inter- gary for raising money in yuan performance
SHANGHAI—China’s prog- national political engagement, and Russia’s central bank for on Monday, Real estate 1.0
ress in boosting international and officials talk of positioning saying it would hold more for- by sector
use of its currency is stalling. it as an alternative to the dol- eign-exchange reserves in Utilities 0.1 Index performance, year to date
The yuan was the eighth lar for trade and finance. yuan.
most traded currency this While foreign-exchange The International Monetary –0.2 Industrials
20% S&P 
year, being on one side of just trading is only one measure of Fund three years ago endorsed
–0.2 Health care
4.3% of foreign-exchange a currency’s acceptance and China’s strategy by formally
trades by turnover world-wide, usefulness, the stagnation giving the yuan a “reserve” –0.3 Information technology 15
according to data published points to international skepti- status on par with the dollar,
Monday by the Bank for Inter- cism about the tight control euro, yen and pound—even –.3 S&P 
national Settlements. That that the world’s second-largest though markets have histori- 10
ranking was unchanged from economy maintains over its cally embraced free-floating –0.5 Financials
the previous survey three currency. currencies. Yet the Switzer-
–0.8 Communication services 5
years ago, as the BIS said the As President Xi Jinping has land-based BIS’s long-running
value of yuan trading has only toured the globe in recent study showed that 88% of the –1.0 Consumer staples
grown “in line” with other years, China’s government-run $6.6 trillion in daily foreign- 0
emerging-market currencies, banks have lent billions of dol- exchange turnover in April still –1.3 Consumer discretionary
although China now hosts lars in yuan to other countries included the dollar. Rankings
–1.6 Materials Energy sector
more forex dealing. and welcomed the develop- of the next seven most actively –5
China’s currency has failed ment of markets trading yuan traded currencies didn’t Note: Figures are rounded. Jan. Sept.
to rise in the rankings even as bonds. Please turn to page B11 Source: FactSet
 B2 | Tuesday, September 17, 2019 * *** THE WALL STREET JOURNAL.

INDEX TO BUSINESSES BUSINESS & FINANCE

These indexes cite notable references to most parent companies and businesspeople
in today’s edition. Articles on regional page inserts aren’t cited in these indexes.

A DV01..........................B10 On Location Events....B4

Abrams Capital.........B12 E P
Airbus..........................B3 Elliott Management . B12 Paloma Resources....A11
Ally Financial............B10 Endeavor Group PG&E ......................... B12
Alphabet......................A3 Holdings....................B4 Pioneer Natural
Amazon.com..........A1,A3 Endo International....B12 Resources ............... A11
American Airlines Group Expeditors International PNC Financial Services
........................... B10,B11 of Washington........B10 Group.......................B10
AmerisourceBergen..B12 F Procter & Gamble.....B12
Apple....................A3,B12 Prudential Financial..B10
AT&T.....................B1,B12 Facebook ..................... A3
Fannie Mae ................. B1 Purdue Pharma....A2,B12
Autodesk.....................B4
Freddie Mac ................ B1 S
B
G SeaOne Holdings......B10
Bank of America.......B10
General Electric ........ B12 SeaWorld
bitFlyer........................B4
General Motors ..... B1,B2 Entertainment..........B3
Boeing....................A1,B3

NICK HAGEN FOR THE WALL STREET JOURNAL

Goldman Sachs Group Slack Technologies.....A2
C ............................. B1,B10 SmileDirectClub..........A2
California Resources...B1 H-I SoftBank Group..........A1
Cardinal Health.........B12 Sony.............................B1
Carnival ....................... B3 Hess...........................B11
Impac Mortgage T
Centennial Resource
Development.............B1 Holdings..................B10 Teva Pharmaceutical
Chesapeake Energy .... B1 Invesco......................A11 Industries................B12
Chimera Investment.B10 J-K Trian Fund Management
C.H. Robinson Johnson & Johnson..B12 ...................................B12
Worldwide...............B10 JPMorgan Chase..B1,B11 U
CIT Group..................B10 Knighthead Capital...B12 Uber Technologies......A2
Citigroup......................B1 L-M United Airlines Holdings
Citizens Financial Group ........................... B10,B11
...................................B10 Lyft..............................A2
Coinbase......................B4 Marathon Oil.............B11 V The nationwide walkout is the UAW’s first in 12 years and involves more than 30 factories. Workers picketed Monday in Michigan.
Microsoft...................B12 ValueAct Capital.......B12
Comcast.......................B2
Continental Resources N Verisk Analytics..........B6
...................................A11
D
Daily Mail & General
Trust..........................B6
Nestle........................B12
Netflix.........................B1
New Relic....................B4
O
W-Z
Walt Disney................B1
We Company...............A1
Wells Fargo.................B1
GM Workers Head to Picket Lines
Delta Air Lines ......... B10 Oasis Petroleum.........B1 Whiting Petroleum.....B1 BY BEN FOLDY GM has 11 active vehicle assembly plants in the U.S. relied far less on strikes,
Devon Energy............B11 Occidental Petroleum.B1 Zscaler.........................B4 AND KRIS MAHER Approximate number of hourly workers at GM assembly plants which have proved less effec-
tive than previously against
General Motors Co.’s fac- 5,000 multinational companies capa-
INDEX TO PEOPLE tory workers took to picket
lines Monday to secure better
3,000
1,000
MICH.

Flint
ble of shifting shift work
around, labor experts say.
pay, more job security and As membership has
C-D I-J O'Riordan, Dabney....B10 other benefits ahead of an ex- dropped, unions have lost in-
Christenson, Michael..B4 Icahn, Carl.................B12 P-R pected U.S. car market slow- fluence at the bargaining ta-
Cirne, Lew...................B4 Jones, Dave.................B6 Lansing Delta Township Orion
Peltz, Nelson.............B12 down. ble. Labor represented 6.4% of
Clint, Oswald ............ B11 Jordan, Christopher..B11 Rucker, Norbert ........ B11 Lansing Grand River
The United Auto Workers private-sector workers last
David, Larry.................B2 K-L S Detroit-
union over the weekend called year, down from 16.5% in 1983,
E-F Kulina, Joel ................. B4 Schultz, Erica..............B4 Hamtramck
on nearly 46,000 full-time fac- according to the Bureau of La-
Edmonds, John ......... B11 Larcker, David...........B12 Schwartz, Art ............. B2
Frazier, Rex.................B6 Loeb, Dan..................B12
tory workers at GM to walk off Fairfax
Wentzville bor Statistics.
Seinfeld, Jerry ............ B2 Fort Wayne
Lubin, David..............B11 the job starting early Monday The UAW’s membership hit
G Singer, Paul...............B12
M Smith, Gregg.............B11 morning, after negotiations IND. a peak of 1.5 million in 1969
Gates, Bill...................A8
Gillis, Shane................B4 Malmstrom, Cecilia .... B3 Stephenson, Randall.B12 for a new four-year labor KAN. but has since tumbled as De-
KY.
Gochee, Jim ................ B4 Mendoza, Naki..........B10 T agreement hit a standstill. MO. troit car companies have
H Michaels, Lorne .......... B4 Trunz, Christian........B11 The nationwide walkout is Bowling Green moved more factory work
Hainlin, Tom..............B11
Morfit, Mason...........B12 Y-Z the UAW’s first in 12 years and overseas and outsourced tradi-
Hansen, Ole...............B11 N-O Yawger, Bob..............A11 involves more than 30 facto- TENN. tional union jobs. Last year,
Hoglund, Forrest.......B10 Nowak, Michael........B11 Zhu, Weiqi.................B11 ries across 10 states. It is also the UAW had about 400,000
one of the largest private-sec- Spring Hill members overall, including the
tor work stoppage in decades, Arlington nearly 150,000 represented at

Netflix deal exceeds either of those

pacts, a person with knowl-
edge of the matter said, show-
coming at a time when unions
more broadly have pulled back
on striking companies.
TEXAS
U.S. factories operated by GM,
Ford Motor Co. and Fiat
Chrysler Automobiles NV.

Secures ing that Netflix is willing to

pay a hefty price for certain
properties.
“At this point, we’re in the
endgame,” said Keith Barbee
II, a worker at GM’s Detroit-
Source: the company
Work stoppages involving
more than 1,000 employees
are down, falling from more

‘Seinfeld’ Reruns of “Seinfeld” will

still be available on local TV
stations and the WarnerMedia
Hamtramck plant who was on
the picket line Monday.
“No matter how long it is,
climbed 13% in the second
quarter this year, and the
company posted a nearly 11%
said. Mr. Arsenault said he
wants newer hires to make the
same pay and benefits as lon-
than 200 a year in the early
1980s to fewer than 20 annu-
ally in recent years.
cable channel TBS. The show we’ve got to ride it out.” operating margin in the re- ger-tenured employees, adding There are signs the UAW
Continued from page B1 already has made more than UAW bargainers, pointing gion, the highest in two years. that the gap creates an unfair has dug in for a fight. The
on the rise as new streaming $3 billion in global rerun to GM’s robust profits in re- The auto maker is trying to workplace in which workers UAW in March increased its
services Disney, WarnerMedia deals, an executive close to the cent years, want the company keep its labor costs in check are being paid two different strike pay to $250 a week for
and Comcast Corp.’s NBCUni- show said. to reopen idled factories, in- and is looking for concessions wages for doing the same job. each worker participating in
versal are all launching in the Besides Sony and “Seinfeld” crease pay for newer hires and on health care as well as more GM aims to use more tem- the walkout. While still only a
next several months. creators Jerry Seinfeld and provide more job protections flexibility using temp employ- porary workers in part to help fraction of the typical worker’s
NBCUniversal recently Larry David, other beneficia- for workers who were hired ees, which now account for 7% it cut production quickly when wages, it offers some financial
agreed to a five-year deal for ries of the new deal include only on a temporary basis. of the total workforce. the U.S. market shifts. GM ex- support to those on the picket
“The Office” valued at $500 WarnerMedia, which became a Of the three Detroit auto Steve Arsenault, a 60-year- ecutives have told investors lines. The UAW pays workers
million while WarnerMedia financial stakeholder in the makers, the UAW chose to old electrician at GM’s engine that it is well-positioned to out of its strike fund, which
landed streaming rights to program when it acquired Cas- picket GM in part because it and transmission plant in sustain profitability in a earlier this year exceeded
“Friends” for five years at tle Rock, the company that has been the most profitable Romulus, Mich., said he is downturn because a larger $750 million.
$425 million. The “Seinfeld” produced “Seinfeld.” in recent years. It posted re- more concerned about what portion of its union workforce For some GM workers who
cord operating income of workers might lose versus has relatively shorter layoff transferred from plants closed
Programming Changes about $11.8 billion in both
2016 and 2017, slipping to
what they can gain.
“We heard they’re going to
benefits due to concessions
won from the union in the
this year, the strike is an un-
welcome disruption.
$11.7 billion last year. GM’s try to squeeze us, and we’ve past. —Mike Colias contributed to
North American profits already given up enough,” he Unions in recent years have this article.

union workforce—including
Walkout both temporary workers and
some others—have relatively
Unions have engaged in fewer large-scale strikes against
employers in recent years.
Work stoppages begun, Workers participating
limited layoff benefits because
Threatens of concessions won in past con-
tracts.
of 1,000 or more workers
500
in those stoppages*
3 million

Profits Temporary workers account

for about 7% of GM’s work-
400
NBC/EVERETT COLLECTION

force. The UAW wants to limit

the use of temporary workers
Continued from page B1 because they receive fewer 2
300
stoked by GM’s decision late benefits even though they do
last year to shutter four U.S. the same work as full-time
factories, although the com- members. 200
pany in negotiations has A union official at one GM 1
‘Seinfeld’ is moving from Hulu to Netflix in 2021. floated saving one, its Detroit- factory said there are hard feel-
Hamtramck plant, to eventually ings in the plant every Febru- 100
produce electric pickup trucks, ary, when full-time workers re-
according to people close to the ceive profit-sharing checks
talks. from GM that have topped 0 0
GM entered talks deter- $10,000 in recent years, while ’50 ’60 ’70 ’80 ’90 2000 ’10 ’50 ’60 ’70 ’80 ’90 2000 ’10
mined to hold the line on its la- temporary workers get nothing.
bor costs, people familiar with “That’s the worst day of the *Only workers in stoppages beginning in the calendar year. Workers may be counted more than
once if they participated in more than one stoppage.
its strategy have said. That is year for me,” the union official
usually a priority for Detroit said. Source: Bureau of Labor Statistics
auto makers but is viewed by Even if GM and the UAW can
GM executives as especially im- settle their differences and
ADVERTISEMENT
portant this time because they swiftly reach a tentative deal,
are trying to prepare for a po- winning ratification from mem-
tential cyclical downturn.
Still, the strike could pres-
bers is likely to be more diffi-
cult than in past contracts, la-
The Marketplace
To advertise: 800-366-3975 or WSJ.com/classifieds
JUSTIN LUBIN/NBC

sure the company to come back bor experts say.

to the table with an enhanced Some workers remain angry
offer, especially if losses accu- at GM over the plant closures. BUSINESS OPPORTUNITIES BUSINESS OPPORTUNITIES
mulate and cloud its financial Others also have criticized the
outlook. union’s leadership for an ex-  
   
  '( )*
‘The Office’ is moving from Netflix to NBCUniversal in 2021. Credit Suisse estimates GM panding, multiyear federal cor-  
      
  

  
would lose more than $50 mil- ruption investigation that last   
   
   
 
   
 
lion a day in operating income week led to embezzlement
   
from the strike. Morningstar charges against a high-ranking  
Inc. puts the potential losses at union official who was a former !!!"#" 
closer to $80 million, while aide to UAW President Gary   $% &&  
  
Citigroup Inc. forecasts roughly Jones.
$100 million. The official hasn’t responded   
 TRAVEL

 
 
 
GM shares closed more than to the charges. The UAW said 

 
  

 
  
4% lower Monday. while it is concerned by the al-    !  
   
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# $
%
An important point in the legations, the union strongly &
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%

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bers classified as temporary “It wouldn’t surprise me if Never Fly Coach Again!
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GM executives have told in- Art Schwartz, a consultant and 

  
vestors that the company is former GM labor-relations ex-   


   THEMARKETPLACE
better positioned to sustain ecutive. 
   (800) 366-3975 | [email protected]
profitability in a downturn be- —Nora Naughton    

 © 2019 Dow Jones & Company, Inc.

All Rights Reserved.
‘Friends’ is moving from Netflix to WarnerMedia in 2020. cause a larger percentage of its contributed to this article.
THE WALL STREET JOURNAL. NY Tuesday, September 17, 2019 | B3

BUSINESS NEWS

SeaWorld
CEO Exits
EU Awaits Tariffs in Airbus Feud
BY EMRE PEKER

After 7 BRUSSELS—The U.S. is

poised to impose new tariffs

Months on European Union exports

over the bloc’s subsidies to
Airbus SE, the EU’s trade
BY KIMBERLY CHIN chief said Monday, citing the
Trump administration’s un-
SeaWorld Entertainment willingness to settle a long-
Inc. said Monday that Chief running commercial dispute
Executive Gustavo Antorcha is over aircraft manufacturers.
leaving the company, seven The EU expects the World
months after taking the helm. Trade Organization to set the
The amusement-park chain final sum to which the U.S. is
named Marc Swanson, its cur- entitled in its successful com-
rent chief financial officer, as plaint as soon as Sept. 30, EU
its interim CEO, while Eliza- Trade Commissioner Cecilia
beth Castro Gulacsy, the com- Malmstrom said. Washington
pany’s chief accounting officer, has said it expects to be able
will become interim CFO. to impose tariffs on $11 billion
Attempts to reach Mr. An- in annual EU exports.
torcha weren’t immediately The EU has filed its own

DIRK WAEM/BELGA/AGENCE FRANCE-PRESSE/GETTY IMAGES

successful. In prepared re- WTO complaint against Boe-
marks, he said, “While I may ing Co., but as the U.S. began
have a difference of approach, its case nine months earlier,
I continue to believe in Sea- Washington will be able to
World’s strategy, mission, punish Europe first.
team and prospects.” Ms. Malmstrom said that
SeaWorld said in February the EU proposed a settlement
that it had hired Mr. Antorcha, to the U.S. in July, also offer-
the former chief operating of- ing to cover its WTO case
ficer of Carnival Cruise Lines, against Boeing, but that the
a unit of Carnival Corp. U.S. hasn’t engaged. Brussels
SeaWorld has dealt with a is planning to retaliate with
spate of leadership changes in duties on $12 billion of U.S.
the past few years as it works exports once the WTO issues
to move past the fallout from its decision in the Boeing case,
the 2013 documentary “Black- expected in early 2020. The European plane maker said the tariffs would be ‘a lose-lose for the whole industry.’ One of the company’s plants in Seville, Spain.
fish,” which raised concerns Washington’s envoy to the
about the company’s treat- EU, Gordon Sondland, said round of levies could threaten operation. The trade deal, food to bicycles. Washing- Boeing-Airbus feud but also
ment of whales and orcas. Monday that the EU didn’t re- EU-U.S. efforts to improve however, is stuck over U.S. in- ton’s measures would also hit help the EU and U.S. jet-mak-
In February 2018, CEO Joel spond to U.S. invitations for a trade relations after Mr. sistence on including agricul- civil aviation products, poten- ers compete more effectively
Manby stepped down, as at- negotiated solution. Trump’s steel and aluminum ture, which the EU refuses un- tially denting Airbus sales, as with Russian and Chinese
tendance fell and its losses “What the United States is duties last year triggered Eu- der the terms of the White well as the aircraft makers’ manufacturers challenging
widened. The company then seeking is an end to subsidies ropean retaliation. House agreement that Brus- supply chains and U.S. pro- their primacy, according to EU
appointed SeaWorld Chief for Airbus and the recovery of “We have enough tariffs in duction. officials.
Parks Operations Officer John damages,” he said through a the world as it is,” Ms. Malm- “Aviation is a global indus- The EU suggested a plan
Reilly, who had been with the spokeswoman. strom said. “So imposing tar- try—no aircraft is coming that covers subsidies related
company for more than 30 President Trump is pre- iffs on each other…would not
The bloc’s trade from one single country or to research and development
years, as interim CEO. pared to act quickly and will be a good solution.” chief said the U.S. zone,” an Airbus spokeswoman support; financing of large
In naming Mr. Antorcha as resort to tariffs if the U.S. Washington and Brussels said. “It’s a lose-lose for the civil aircraft; repayable launch
its CEO in February, the com- can’t recoup damages and have so far kept their WTO
was unwilling to whole industry if we move to investments that would qualify
pany also named Mr. Reilly as change EU practices through fight separate from broader settle subsidy cases. tariffs.” as loans; and tax subsidies. EU
its chief operating officer, but talks, the ambassador said. He trade issues. Meanwhile, the A Boeing spokesman de- officials said the proposal
he resigned in March. didn’t respond to a question longstanding allies have strug- clined to comment. would cover all the subsidies
Also, over the summer, Yo- on why the U.S. didn’t engage gled to deliver on a July 2018 European negotiators pre- challenges and WTO rulings in
shikazu Maruyama resigned as with Brussels’s July proposal. White House agreement to sels says expressly omitted it. sented their American coun- the Airbus and Boeing cases.
chairman, citing “outside pro- While the final awards in strike a trade deal on indus- A decision by Washington terparts with a comprehensive “We could still discipline
fessional obligations.” He re- the 15-year-old Airbus and trial goods, except autos, and to place tariffs on European proposal to regulate subsidies ourselves even more, and that
mains a member of the board Boeing cases are likely to be cut red tape to facilitate more exports based on the WTO for the civil-aircraft industry. is what we propose,” Ms.
and was replaced by Scott lower than the U.S. and EU commerce. case could rekindle an EU EU officials said that plan Malmstrom said. “It would be
Ross as chairman. claims, they will still affect Ms. Malmstrom said Mon- backlash. The U.S. published a could also serve as the blue- a win-win if we did that, be-
Mr. Swanson has been with billions of dollars’ worth of day that the parties were mak- broad list of European prod- print for a global framework. cause otherwise we escalate
SeaWorld for 19 years. transatlantic trade. A new ing progress on regulatory co- ucts that it could target, from That would not only settle the tariffs.”

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 B4 | Tuesday, September 17, 2019 * *** THE WALL STREET JOURNAL.

BUSINESS & TECHNOLOGY WSJ.com/Tech

Talent Giant Seeks $712 Million in IPO BY DAVE SEBASTIAN International Olympic Com-
mittee and National Football
Endeavor Group Holdings League, is Endeavor’s biggest
Inc. plans to raise as much as source of revenue.
$712.3 million in its initial The company recorded a
public offering, the entertain- loss of $192.6 million for the
ment company said in a secu- first half of the year, narrower
rities filing Monday. than last year’s $404.5 million.
The parent company of Wil- Its operating expenses for
liam Morris Endeavor, Holly- the first half of the year grew
wood’s biggest talent agency, to $2.04 billion from $1.63 bil-
plans to offer 19.4 million lion.
shares of common stock at Endeavor first filed plans to
$30 to $32 a share. The com- go public in May. It delayed
pany also is granting its un- them, however, as the com-
derwriters the option to buy pany was working to complete
an additional 2.9 million an acquisition of premium-
shares. hospitality and live-events
For the six months ended company On Location Experi-
June 30, the company re- ences LLC for as much as
corded revenue of $2.05 bil- $700 million, The Wall Street
lion, up from $1.5 billion in the Journal reported in August,
comparable period last year, citing people familiar with the
EUGENE HOSHIKO/ASSOCIATED PRESS

according to the filing. En- matter.

deavor said the increase was The deal, if completed,
driven by a 46.4% growth in would aid the company’s push
revenue in its entertainment to diversify its revenue base.
and sports segment. No deal has been announced,
The company’s entertain- however.
ment and sports division, Endeavor plans to list its
which negotiates media-distri- shares on the New York Stock
bution deals on behalf of more Exchange under the symbol
Among the clients of Endeavor, parent company of talent agency William Morris Endeavor, are the International Olympic Committee. than 150 clients including the “EDR.”

Cloud Firm New Relic Lowers Revenue Outlook ‘SNL’ Fires

BY PATRICK THOMAS Shares of New Relic closed
down 0.4%, paring a midday
tent to resign last week, the
company said in a Monday se-
the company’s product road
map may be rockier than pre-
we believe lowering guidance
is the right move.”
New Cast
New Relic Inc. cut its yearly
revenue outlook on Monday
and said two top executives
loss of 13%. The company’s
stock is down roughly 28% this
year and roughly 46% over the
curities filing.
New Relic founder and
Chief Executive Lew Cirne said
viously expected and more
changes could be on the hori-
zon.
Wedbush analyst Joel Ku-
lina said New Relic’s recent
struggles are another example
Member
had departed.
The cloud company, whose
software helps website and
past 12 months.
The San Francisco-based
company said one of its board
in a statement that he has con-
fidence the management
shake-up will improve the
“Appointing a banker to the
number two position at New
Relic, especially given the con-
of a disappointing cloud com-
pany. Autodesk Inc. recently
lowered its fiscal-year earn-
Over Slurs
app owners track the perfor- members, Michael Christen- company’s execution. Shares of fluence of factors weighing on ings outlook and Zscaler Inc. BY JOHN JURGENSEN
mance of their services, said son, a former managing direc- New Relic, which went public shares, does suggest more gave downbeat guidance in its
on Monday that technology tor at the private investment in 2014, fell sharply last month broad changes coming, versus latest quarter. “Saturday Night Live” on
chief Jim Gochee and Chief firm Allen & Co., will take over after the company reported a traditional COO/President “This follows [New Relic’s] Monday fired a cast member
Revenue Officer Erica Schultz as president and the newly disappointing sales for its fis- appointment, including the po- ugly miss from early August slated to star in its new fall
have resigned. New Relic also created position of chief oper- cal first quarter that ended tential for investors to hear due to weak execution accom- season over his use of racial
cut its yearly revenue forecast ating officer on Oct. 1. He will June 30 and posted weaker- the phrase ‘review of strategic panied [by] a large-scale reor- and homophobic slurs.
to between $586 million and continue to serve on the com- than-expected guidance. alternatives,’” the analysts ganization of the sales force Comedian Shane Gillis had
$593 million from its previous pany’s board. DA Davidson analysts wrote said. into regions and leadership been named last Thursday as
guidance of $600 million to Ms. Schultz and Mr. Gochee in a research note that the ex- “While the announcements changes in the product and one of three new cast mem-
$607 million. notified New Relic of their in- ecutive resignations suggest certainly come as a surprise, sales groups,” Mr. Kulina said. bers, joining the ranks of
NBC’s late-night sketch show.
Within hours of the announce-

Crypto Companies Struggle With Laundering Curbs ment, YouTube clips began cir-
culating online that showed
Mr. Gillis on a podcast of his,
using offensive language to de-
BY KRISTIN BROUGHTON scribe immigrants and mock-
ingly imitating their accents in
The cryptocurrency indus- a rant about New York’s China-
try is rushing to comply with town neighborhood.
new anti-money-laundering In a different podcast epi-
standards that require ex- sode that also spread online
changes and other firms to last week, Mr. Gillis referred to
share information about their several famous comedians
customers. with homophobic slurs.
The standards, adopted in The series recently lost one
June by the Financial Action of its most popular cast mem-
Task Force, require cryptocur- bers, Leslie Jones, who an-
rency exchanges, some digital nounced her departure with a
wallet providers and other warm description of her five-
firms to send customer data— season tenure on the show.
including names and account “Saturday Night Live,” which
numbers—to institutions re- has won more Emmy awards
ceiving transfers of digital than any TV series in history,
funds, similar to a wire trans- has seen its ratings seesaw
fer at a bank. The goal of the since the consistent highs of
so-called travel rule is to help its 42d season when Alec Bald-
law enforcement track suspi- win took over the role of im-
cious activity. The FATF is the personating President Trump.
global standard-setter for The show had built anticipa-
combating money laundering. tion for its coming season
But figuring out how to with big bookings, including
LARS HAGBERG/AGENCE FRANCE-PRESSE/GETTY IMAGES

comply with the standards has musical guest Taylor Swift and
been something of a puzzle. Eddie Murphy, who is sched-
Cryptocurrency firms don’t uled to host the show in De-
have the infrastructure in cember for the first time in 35
place to send customer data to years.
each other, industry executives The online outcry against
say. There is also the challenge Mr. Gillis intensified after he
of getting firms in a decentral- responded on social media,
ized industry to reach a con- saying that he was pushing
sensus on how a system for boundaries in comedy and
sharing information should be seeming to suggest that critics
paid for and governed. of his comments were overre-
“Is it solvable? Yes,” said acting. “I’m happy to apolo-
Jeff Horowitz, chief compli- gize to anyone who’s actually
ance officer at the digital cur- Digital-cash exchanges are required to send customer data to institutions receiving fund transfers. A bitcoin mining operation. offended by anything I’ve
rency exchange Coinbase. said,” Mr. Gillis wrote in a
“But is there a method that the travel rule applies to cryp- “The industry is looking at peer transactions. The FATF is members?” note posted to Twitter. “My
exists today to share this tocurrency firms. what technical solutions exist, monitoring the issue, Mr. Ney- Additionally, if non-FATF intention is never to hurt any-
data? No.” The FATF guidelines are in- and what should the standards lan said. countries adopt a different set one but I am trying to be the
Mr. Horowitz—who last tended to prevent regulatory be?” said Teana Baker-Taylor, The Chamber of Digital of rules for money transfers, it best comedian I can be and
year joined the San Francisco arbitrage across the globe, and executive director of Global Commerce, a Washington- could create a thicket of regu- sometimes that requires
exchange from Pershing LLC, a to encourage countries to Digital Finance, a London- based trade group, in April lations for crypto firms to risks.”
unit of Bank of New York Mel- strengthen their cryptocur- based association that has or- asked the FATF to spend addi- comply with, said Jeremie Be- “SNL” Executive Producer
lon Corp.—described compli- rency regulations. ganized a working group to fo- tional time working with audry, chief compliance officer Lorne Michaels reacted by fir-
ance with the travel rule as “What we are doing is re- crypto firms on the new stan- and general counsel at Celsius ing the comedian before he hit
one of his top priorities. Coin- ally providing a level playing dards. Network, a startup that allows the air and ahead of the

$1,000
base is participating in work- field,” said Tom Neylan, senior “We’re looking at old rules customers to earn interest and launch of the show’s new sea-
ing groups with other ex- policy analyst at the FATF. and how to apply them in this borrow against their crypto- son on Sept. 28. “After talking
changes to develop a plan for The travel rule also is in- situation,” rather than looking currency. with Shane Gillis, we have de-
compliance, he said. tended to provide an audit at new ways for blockchain “Then it just turns into cided that he will not be join-
Under the FATF guidelines, trail that investigators could Minimum crypto transfer that technology to help law en- what we have in traditional fi- ing SNL,” a spokesperson for
crypto firms must transmit use in the aftermath of a ter- must now be reported forcement, Amy Davine Kim, nance or banking, which is dif- the show said in a statement
customer data to other finan- rorist attack, and give regula- the chamber’s chief policy offi- ferent wire rules for different on behalf of Mr. Michaels.
cial institutions when trans- tors a tool to implement tar- cer, said Friday. countries,” Mr. Beaudry said. Many comedians have been
ferring $1,000 or more. A sim- geted sanctions, Mr. Neylan Executives say they are The FATF said in June it haunted by old material when
ilar rule has been in place for said. cus on travel-rule standards grappling with logistical chal- would monitor compliance by it surfaces online in new con-
U.S. financial institutions since The challenge facing the in- for data storage, governance lenges as they figure out the countries and firms and con- text or under a greater level of
1996. dustry is to develop an ap- and other issues. best way to comply. Chief duct a 12-month review in scrutiny. For example, the de-
The FATF, created 30 years proach for sending and receiv- The FATF requirements among them is how to share June 2020. Executives said but of “The Daily Show” host
ago by the Group of Seven ing customer data safely and have been criticized in the in- information so that only other getting a compliance system Trevor Noah in 2015 was ini-
leading nations, conducts reg- in a standardized way. Execu- dustry. Among the complaints: exchanges and firms covered up and running by then is an tially clouded by jokes of his
ular evaluations of anti- tives say they are meeting reg- They could be costly for start- by the travel rule can view it, ambitious goal. on Twitter that riffed on sen-
money-laundering laws in its ularly, participating in work- ups, and potentially ill-fitted Mr. Horowitz said. The risk is The coming months will be sitive subjects, including the
37 member countries. Receiv- ing groups and evaluating for an industry that places a that customer data could end a test, Mr. Horowitz said. Holocaust.
ing a negative evaluation can proposals from technology cultural value on transacting up in the wrong hands. “What I am impressed with is Mr. Gillis sounded a defiant
be embarrassing or, if the vio- providers. anonymously. “How do we secure it?” said how quickly a brand-new in- note Monday in a reaction
lations are severe enough, can Figuring out a path forward There is also a worry that Jeff Kern, chief compliance of- dustry can come together and posted to Twitter. “I’m a co-
restrict a country’s access to could take several months, the travel rule will encourage ficer at the U.S. unit of Bit- work together,” he said. median who was funny enough
the financial system. The U.S. compliance officers and other frustrated customers to rely Flyer Inc., a Japanese bitcoin “We’re doing this all within a to get SNL. That can’t be taken
Treasury Department has said industry executives said. more on unregulated peer-to- exchange. “How do we verify short amount of time.” away,” he wrote.
THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | B5

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B6 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

BUSINESS NEWS

Fire-Risk Algorithms Stir Insurance Furor

California advocates
oppose disaster-
prediction models that
could drive up rates
BY NICOLE FRIEDMAN

Finding home insurance in

wildfire-prone parts of Califor-
nia is getting more difficult
and more expensive. No one
can agree on how to make it
any easier.
A new flashpoint is the use
of algorithmic models for pre-
dicting catastrophe losses. In-
surers have long used these
models to project losses from
natural disasters but insurers,
homeowners and regulators
disagree on how they should
be applied to assess Califor-
nia’s wildfire risk.
Insurers are pushing for
broader permission from the
state to use catastrophe models
when setting rates. But some

MIKE NELSON/EPA/SHUTTERSTOCK
consumers say those models
are opaque and fail to ade-
quately capture wildfire risk.
The debate over catastro-
phe models is part of a
broader disagreement between
insurers and consumer advo-
cates over how to respond to
two years of record-breaking
wildfire damage in the Golden People in Ventura, Calif., surveyed the damage from a wildfire in December 2017. California wildfires cost insurers more than $24 billion in 2017 and 2018.
State. Many residents of fire-
prone areas are either paying fire risk is uninsurable.” before they can change the are able to take climate it,” said Jamie Court, presi- leaving her underinsured, she
more for insurance or having Catastrophe models are rates they charge, and rate fil- change into account. dent of Consumer Watchdog. said. “Everything we’ve done
problems securing it, and the sold to insurers by vendors in- ings are made public. “We’re told there’s a new Patty Swenson of Mon- has further mitigated the risk
state has warned that the situ- cluding RMS, a unit of Daily Though an insurer’s average normal” due to climate tecito, Calif., was told earlier of a future disaster,” Ms. Sw-
ation is likely to get worse. Mail & General Trust PLC, California home-insurance rate change, which regulators and this year that the insurance enson said. “That should count
California wildfires cost in- and AIR Worldwide, a unit of has to be based on historical scientists have said increases policy for her five-bedroom for something.”
surers more than $24 billion Verisk Analytics Inc. Insurers data, the insurer can use ca- wildfire risk, said Rex Frazier, home wouldn’t be renewed. One concern for regulators
in 2017 and 2018. One insurer, also use products like Verisk’s tastrophe models to determine president of the Personal In- Her insurance agent said the is that until recently, wildfire
Merced Property & Casualty FireLine, which assigns prop- how to price policies for cer- surance Federation of Califor- insurer had cited the house’s models were less sophisticated
Co., was pushed to insolvency erties a score of zero to 30 tain regions or segments of nia. But under current regula- proximity to a forest as a rea- than hurricane and earthquake
and liquidated by the state fol- based on their wildfire risk. the market. Insurers also can tions, “we cannot use son, Ms. Swenson said. models. Many insurers were
lowing the 2018 Camp Fire. In California, insurers can’t use these models when decid- probabilistic modeling that at- But the forest near Ms. Sw- shocked by the extent of the
“Insurers are acting as you use catastrophe models when ing whether or not to insure a tempts to build a rate based enson’s home burned in the damage in 2017 and 2018 and
would expect where the risk is setting statewide average specific property. upon where models suggest 2017 Thomas Fire, she said, said the previous models
going up. They’re adjusting rates for standard home-insur- But the insurance industry losses will go.” which she thinks makes it less didn’t predict those losses.
their pricing and deciding in ance policies, which include says its pricing would be more Consumer advocates say likely to burn again. Ms. Swen- Both AIR and RMS have re-
some cases that the risk is too wildfire coverage. State regu- accurate if it could use the for- the models don’t give home- son added that her property is leased new wildfire models in
high,” said Dave Jones, senior lations require insurers to rely ward-looking models when owners and communities cleared of flammable brush the past two years that they
director at the Nature Conser- on historical-loss data when setting overall rates. Catastro- enough credit for taking steps and that the Montecito com- say are more predictive than
vancy and a former California calculating expected future phe models run tens of thou- to mitigate their wildfire expo- munity has invested in safety past models.
insurance commissioner. But losses. sands of simulations to project sure through brush-clearing measures to protect it from But different models might
without drastic steps to ad- California’s insurance regu- a range of possible scenarios. and other efforts. fire-related debris flow. still reach different conclu-
dress climate change, he said, lations are more stringent Insurers say models provide “They want to have a black- Ms. Swenson was able to sions about the risk facing a
“we’re marching steadily to- than those of most states. In- a more comprehensive view of box model and not let the pub- find another insurer, but her certain property or book of
wards a future where the wild- surers need to get approval risk than historical data and lic or advocates see what’s in new coverage limit is lower, business.

Future Of: Global Markets

October 3, 2019 / N EW YO R K , NY

The length of the U.S. economic expansion has set Featuring:

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2020. What are the biggest threats to growth? With
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THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | B7

MARKETS DIGEST
EQUITIES

Dow Jones Industrial Average S&P 500 Index Nasdaq Composite Index
Last Year ago Last Year ago Last Year ago
27076.82 t 142.70, or 0.52% Trailing P/E ratio 19.45 23.56 2997.96 t 9.43, or 0.31% Trailing P/E ratio * 23.22 24.40 8153.54 t 23.17, or 0.28% Trailing P/E ratio *† 24.55 26.15
High, low, open and close for each P/E estimate * 17.73 16.89 High, low, open and close for each P/E estimate * 18.21 17.87 High, low, open and close for each P/E estimate *† 22.01 21.55
trading day of the past three months. Dividend yield 2.28 2.12 trading day of the past three months. Dividend yield * 1.91 1.81 trading day of the past three months. Dividend yield *† 1.01 0.96
All-time high 27359.16, 07/15/19 All-time high 3025.86, 07/26/19 All-time high: 8330.21, 07/26/19

Current divisor 0.14744568353097

27600 3050 8400

65-day moving average

27000 3000 8150

26400 2950 7900

Session high 7650

25800 2900
DOWN UP
t

Session open Close 65-day moving average

25200 65-day moving average 2850 7400
Close Open
t

Session low 7150

24600 2800

Bars measure the point change from session's open

24000 2750 6900
June July Aug. Sept. June July Aug. Sept. June July Aug. Sept.
* Weekly P/E data based on as-reported earnings from Birinyi Associates Inc.; † Based on Nasdaq-100 Index

Major U.S. Stock-Market Indexes Late Trading Trading Diary

Latest 52-Week % chg Most-active and biggest movers among NYSE, NYSE Arca, NYSE Amer. Volume, Advancers, Decliners
High Low Close Net chg % chg High Low % chg YTD 3-yr. ann. and Nasdaq issues from 4 p.m. to 6:30 p.m. ET as reported by electronic NYSE NYSE Amer.
Dow Jones trading services, securities dealers and regional exchanges. Minimum Total volume* 908,992,808 16,995,107
Industrial Average 27172.87 27032.56 27076.82 -142.70 -0.52 27359.16 21792.20 3.9 16.1 14.3 share price of $2 and minimum after-hours volume of 50,000 shares. Adv. volume* 516,076,532 12,488,249
Transportation Avg 10804.36 10649.52 10730.28 -83.34 -0.77 11532.56 8637.15 -6.4 17.0 11.4 Most-active issues in late trading Decl. volume* 382,873,607 4,401,117
848.17 843.87 -0.43 -0.05 860.92 692.00 18.7 Volume After Hours
Utility Average 846.56 14.5 8.0 Company Symbol (000) Last Net chg % chg High Low Issues traded 3,036 291
Total Stock Market 30798.93 30684.02 30765.76 -58.16 -0.19 31091.22 24126.04 2.6 19.6 11.6 Advances 1,593 153
AT&T T 15,913.1 37.38 0.07 0.19 37.39 37.30
Barron's 400 699.80 693.47 698.65 4.01 0.58 778.85 571.68 -9.7 14.6 8.7 Declines 1,345 125
VanEck Vectors Gold Miner GDX 14,605.5 27.30 0.01 0.04 27.33 27.26
Unchanged 98 13
Nasdaq Stock Market iShares China Large-Cap FXI 10,592.8 41.46 ... unch. 41.54 41.38
New highs 56 3
Nasdaq Composite 8165.33 8121.25 8153.54 -23.17 -0.28 8330.21 6192.92 3.3 22.9 15.8 Chesapeake Energy CHK 7,947.9 2.07 0.01 0.49 2.10 2.04
New lows 6 2
Nasdaq 100 7868.74 7831.76 7852.41 -40.54 -0.51 8016.95 5899.35 5.6 24.1 17.7 SPDR S&P 500 SPY 7,220.0 300.64 0.48 0.16 300.80 300.14
Closing Arms† 0.71 0.26
Zynga ZNGA 6,032.0 5.87 ... unch. 5.88 5.85
S&P Block trades* 5,899 119
VanEck Vectors Jr Gold GDXJ 4,535.7 37.42 0.05 0.13 37.42 37.35
500 Index 3002.19 2990.67 2997.96 -9.43 -0.31 3025.86 2351.10 3.8 19.6 11.9 Nasdaq NYSE Arca
Kinder Morgan KMI 4,341.3 20.67 ... unch. 20.77 20.65
MidCap 400 1971.38 1952.74 1966.09 2.93 0.15 2045.20 1567.40 -3.1 18.2 8.9 Total volume*1,882,120,302 280,873,889
SmallCap 600 982.98 972.81 979.19 3.24 0.33 1079.92 793.86 -8.9 15.9 9.8 Percentage gainers… Adv. volume*1,098,688,207 166,442,590
Other Indexes Titan International TWI 279.4 3.39 0.14 4.31 3.39 3.25 Decl. volume* 765,376,673 114,086,210
Russell 2000 1590.50 1570.50 1584.60 6.46 0.41 1720.18 1266.93 -7.0 17.5 9.0 Signet Jewelers SIG 293.1 16.58 0.56 3.50 16.58 15.82 Issues traded 3,242 1,592
NYSE Composite 13134.00 13080.41 13107.98 -16.36 -0.12 13239.87 10769.83 0.6 15.2 7.6 Mallinckrodt MNK 275.4 3.09 0.08 2.66 3.09 3.00 Advances 1,639 704
Velocity 3x Lg Crude ETN UWT 1,785.9 15.59 0.27 1.76 16.22 15.10 Declines 1,478 869
Value Line 537.00 532.07 535.87 1.98 0.37 590.62 446.06 -8.3 13.4 4.2
Southwestern Energy SWN 1,205.6 2.32 0.04 1.75 2.32 2.27 Unchanged 125 19
NYSE Arca Biotech 4505.08 4393.56 4490.90 59.89 1.35 5400.34 3890.37 -11.3 6.4 10.2
New highs 58 20
NYSE Arca Pharma 580.45 576.81 577.18 -3.35 -0.58 612.45 535.91 -1.4 1.5 3.6 ...And losers New lows 22 12
KBW Bank 101.84 100.71 101.80 -0.14 -0.14 110.54 80.78 -5.0 18.7 13.1 Shopify Cl A SHOP 187.7 321.87 -16.06 -4.75 339.35 316.10 Closing Arms† 0.77 0.63
PHLX§ Gold/Silver 91.45 89.14 90.61 1.12 1.25 101.76 61.84 39.5 28.2 -0.3 Elanco Animal Health ELAN 224.7 27.24 -1.08 -3.81 28.32 27.24 Block trades* 8,497 1,615
PHLX§ Oil Service 78.93 72.12 78.19 6.30 8.76 154.64 59.66 -43.8 -3.0 -19.5 Charles Schwab SCHW 246.0 42.00 -1.60 -3.67 43.60 42.00 * Primary market NYSE, NYSE American NYSE Arca only.
PHLX§ Semiconductor 1601.93 1580.96 1594.49 -11.16 -0.70 1622.02 1069.39 17.5 38.0 25.8 Kraft Heinz KHC 611.4 28.75 -0.87 -2.94 29.87 28.54 †(TRIN) A comparison of the number of advancing and declining
issues with the volume of shares rising and falling. An
Cboe Volatility 15.29 14.50 14.67 0.93 6.77 36.07 11.61 7.2 -42.3 -1.5 Karyopharm Therapeutics KPTI 372.4 11.52 -0.33 -2.78 12.44 11.52 Arms of less than 1 indicates buying demand; above 1

Nasdaq PHLX Sources: FactSet; Dow Jones Market Data indicates selling pressure.

International Stock Indexes Percentage Gainers... Percentage Losers

Latest YTD
Region/Country Index Close Net chg % chg % chg Latest Session 52-Week Latest Session 52-Week
Company Symbol Close Net chg % chg High Low % chg Company Symbol Close Net chg % chg High Low % chg
World The Global Dow 3069.01 –16.66 –0.54 12.2 Alder BioPharmaceuticals ALDR 18.50 8.44 83.90 18.88 8.39 8.5 UBS ProSh 3x Inv Crude WTID 4.27 -2.82 -39.78 21.15 3.92 -40.6
DJ Global Index 403.85 –1.50 –0.37 15.1 Wins Finance Holdings WINS 27.40 10.42 61.37 74.24 7.26 -52.5 Velocity 3x Inv Crude ETN DWT 3.91 -2.58 -39.75 19.46 3.56 -39.8
DJ Global ex U.S. 245.22 –1.39 –0.56 10.1 Semgroup A SEMG 16.50 6.22 60.51 23.80 8.10 -28.4 ProSh Ultra 3x Shrt Crude OILD 11.91 -7.83 -39.67 59.20 10.82 -41.0
Americas DJ Americas 709.04 –1.36 –0.19 19.4 Yuma Energy YUMA 5.25 1.93 58.13 8.84 1.23 34.6 United States 3x Shrt Oil USOD 3.07 -1.96 -38.96 15.30 2.79 -40.3
Brazil Sao Paulo Bovespa 103680.41 179.23 0.17 18.0 Whiting Petroleum WLL 11.23 3.69 48.94 55.17 6.00 -76.2 Direxion Natl Gas Bear 3x GASX 38.13 -18.69 -32.89 94.22 16.08 89.2
Canada S&P/TSX Comp 16751.31 68.89 0.41 17.0 Mexco Energy MXC 5.70 1.57 38.01 6.68 2.49 18.5 Direxion S&P Oil Gas Br DRIP 52.17 -24.89 -32.30 130.85 24.40 63.5
Mexico S&P/BMV IPC 42841.46 … Closed 2.9 California Resources CRC 16.31 4.49 37.99 50.34 8.28 -55.7 ProSh Ult Bloom Crude Oil SCO 12.84 -4.51 -25.99 33.20 12.12 -17.6
Chile Santiago IPSA 3635.38 46.79 1.30 –3.4 Unit Corp UNT 4.54 1.22 36.75 29.06 2.51 -82.8 DB Crude Oil Double Shrt DTO 45.00 -13.12 -22.57 108.16 42.00 -19.0
UBS ProShs 3x Lg Crude WTIU 14.85 3.85 35.00 47.60 7.64 -56.5 Overstock.com OSTK 19.75 -5.18 -20.78 29.75 8.96 -23.2
EMEA Stoxx Europe 600 389.53 –2.26 –0.58 15.4
United States 3x Oil Fund USOU 28.00 7.22 34.74 92.51 14.51 -57.5 Willis Lease Finance WLFC 58.79 -15.21 -20.55 74.46 31.80 71.2
Eurozone Euro Stoxx 380.89 –3.11 –0.81 16.0
Belgium Bel-20 3700.19 –30.06 –0.81 14.1 ProSh Ultr 3x Crude Oil OILU 23.10 5.93 34.54 75.00 11.93 -56.8 Endurance International EIGI 4.57 -1.12 -19.68 10.06 4.13 -50.9
Denmark OMX Copenhagen 20 1018.17 –8.04 –0.78 14.2 Velocity 3x Lg Crude ETN UWT 15.32 3.92 34.39 50.75 7.93 -57.7 CHF Solutions CHFS 2.19 -0.42 -16.09 18.90 2.05 -86.2
France CAC 40 5602.23 –53.23 –0.94 18.4 Direxion NatGas Bull 3x GASL 15.31 3.80 33.01 117.85 7.70 -84.2 Onconova Therapeutics ONTX 2.13 -0.38 -15.00 11.17 1.69 -71.0
Germany DAX 12380.31 –88.22 –0.71 17.2 Direxion S&P Oil Gas GUSH 5.26 1.27 31.83 43.77 2.72 -84.7 Paringa Resources ADR PNRL 2.08 -0.36 -14.65 10.38 1.65 ...
9.9 Centennial Resource Devt CDEV 5.80 1.39 31.52 23.12 3.92 -72.4 Air T AIRT 14.56 -2.49 -14.60 24.50 9.97 4.5
Israel Tel Aviv 1608.77 –0.39 –0.02
Italy FTSE MIB 21969.24 –212.16 –0.96 19.9
Netherlands AEX 573.46 –3.37 –0.58 17.5
Most Active Stocks Volume Movers Ranked by change from 65-day average*
Russia RTS Index 1396.09 27.16 1.98 30.9 Volume % chg from Latest Session 52-Week Volume % chg from Latest Session 52-Week
Company Symbol (000) 65-day avg Close % chg High Low Company Symbol (000) 65-day avg Close % chg High Low
South Africa FTSE/JSE All-Share 57853.90 730.12 1.28 9.7
Spain IBEX 35 9052.00 –85.90 –0.94 6.0 Chesapeake Energy CHK 262,660 409.8 2.06 15.73 4.98 1.26 Mosaic Acquisition Cl A MOSC 13,123 8912 10.35 0.49 10.37 9.65
Sweden OMX Stockholm 625.13 –3.44 –0.55 19.0 Velocity 3x Inv Crude ETN DWT 105,108 486.5 3.91 -39.75 19.46 3.56 Alder BioPharmaceuticals ALDR 49,580 6181 18.50 83.90 18.88 8.39
Switzerland Swiss Market 9969.19 –78.15 –0.78 18.3 SPDR S&P O&G Exp Prd XOP 93,184 252.9 25.95 10.80 44.81 20.45 Semgroup A SEMG 34,902 3563 16.50 60.51 23.80 8.10
12.4 Encana ECA 78,859 238.9 5.54 16.63 13.61 3.92 iShares MSCI Emg Mkt SC EEMS 1,536 3460 42.35 -1.37 46.49 39.88
Turkey BIST 100 102589.71 –482.09 –0.47
8.8
iShares MSCI Emg Markets EEM 62,491 1.2 41.91 -0.78 44.84 37.58 iSh Gl Timber Forestry WOOD 327 1456 59.94 -0.10 78.32 52.75
U.K. FTSE 100 7321.41 –46.04 –0.62
U.K. FTSE 250 20060.30 –135.45 –0.67 14.6 VanEck Vectors Gold Miner GDX 62,470 -2.0 27.29 2.44 30.96 18.00 Franklin LibertyQ EM FLQE 273 1438 29.35 -0.24 30.69 27.37
SPDR S&P 500 SPY 57,855 -16.9 300.16 -0.31 302.46 233.76 Far Point Acqn Cl A FPAC 622 1428 10.20 0.00 10.50 9.55
Asia-Pacific
Whiting Petroleum WLL 56,320 655.8 11.23 48.94 55.17 6.00 United States 3x Shrt Oil USOD 1,980 1391 3.07 -38.96 15.30 2.79
Australia S&P/ASX 200 6673.50 4.32 0.06 18.2
Denbury Resources DNR 53,184 296.2 1.56 27.87 6.75 0.87 First Trust Water ETF FIW 541 1360 56.50 -0.27 56.99 41.21
China Shanghai Composite 3030.75 –0.48 –0.02 21.5
Advanced Micro Devices AMD 52,135 -16.2 30.83 0.46 35.55 16.03 UBS ProSh 3x Inv Crude WTID 714 1315 4.27 -39.78 21.15 3.92
Hong Kong Hang Seng 27124.55 –228.14 –0.83 4.9
* Volumes of 100,000 shares or more are rounded to the nearest thousand * Common stocks priced at $2 a share or more with an average volume over 65 trading days of at least
India S&P BSE Sensex 37123.31 –261.68 –0.70 2.9 5,000 shares =Has traded fewer than 65 days
Japan Nikkei Stock Avg 21988.29 … Closed 9.9
Singapore Straits Times 3203.93 –7.56 –0.24 4.4 Track the Markets
South Korea Kospi 2062.22 13.02 0.64 1.0 Compare the performance of selected CURRENCIES & COMMODITIES
Taiwan TAIEX 10898.13 70.58 0.65 12.0 global stock indexes, bond ETFs,
Thailand SET 1662.93 0.97 0.06 6.3
currencies and commodities at Currencies
WSJ.com/TrackTheMarkets
Sources: FactSet; Dow Jones Market Data
U.S.-dollar foreign-exchange rates in late New York trading
US$vs, US$vs,
Mon YTDchg Mon YTDchg
CREDIT MARKETS Country/currency in US$ per US$ (%) Country/currency in US$ per US$ (%)
Americas Europe
Argentina peso .0178 56.2597 49.4 Czech Rep. koruna .04255 23.504 4.8
Consumer Rates and Returns to Investor Benchmark
Treasury Yields
yield curve Forex Race Brazil real .2451 4.0807 5.1 Denmark krone .1473 6.7867 4.2

U.S. consumer rates Selected rates and

Yield toRates
maturity of current bills, Yen, euro vs. dollar; dollar vs. Canada dollar
Chile peso
.7551 1.3243
.001409 709.70
–2.9
2.3
Euro area euro 1.1004 .9088 4.2
notes and bonds major U.S. trading partners Hungary forint .003314 301.75 7.8
30-year mortgage, Rate Ecuador US dollar 1 1 unch .008077 123.81 6.6
A consumer rate against its Iceland krona
Mexico peso .0514 19.4402 –1.1 Norway krone .1116 8.9596 3.7
benchmark over the past year 4.00% Uruguay peso .02743 36.4500 12.5
Bankrate.com avg†: 3.97% 8% Poland zloty .2541 3.9357 5.2
Central Bank Trust Company 3.50% Asia-Pacific Russia ruble .01562 64.012 –7.6
Yen
s

30-year fixed-rate 5.00% One year ago 3.00 Australian dollar .6864 1.4569 .1035 9.6594 9.1
Louisville, KY 859-253-6013 4 WSJ Dollar index
s 2.7 Sweden krona
mortgage t China yuan .1415 7.0673 2.7 Switzerland franc 1.0072 .9929 1.2
t Greenfield Co-operative Bank 3.50% 2.00 Hong Kong dollar .1279 7.8189 –0.2 Turkey lira .1746 5.7289 8.3
4.00 0
10-year Treasury Greenfield, MA 877-682-0334 India rupee .01395 71.690 3.0 Ukraine hryvnia .0404 24.7690 –10.6
t
note yield Indonesia rupiah .0000712 14040 –2.4 1.2430 .8045 2.6
3.00 Ledyard National Bank 3.50% 1.00 –4
UK pound
t s Japan yen .009248 108.14 –1.3
Hanover, NH 603-643-2244 Monday Middle East/Africa
Euro Kazakhstan tenge .002583 387.08 0.7
2.00 Savings Bank of Danbury 3.50% 0.00 –8 Macau pataca .1239 8.0692 ... Bahrain dinar 2.6522 .3771 0.03
1 3 6 1 2 3 5 710 30 Malaysia ringgit .2395 4.1756 1.0 Egypt pound .0611 16.3628 –8.6
Danbury, CT 844-723-2265 2018 2019
1.00 New Zealand dollar .6344 1.5763 5.9 Israel shekel .2821 3.5454 –5.2
WSB Municipal Bank 3.50% month(s) years
O N D J FMA M J J A S Pakistan rupee .00641 156.100 11.7 Kuwait dinar 3.2925 .3037 0.2
Watertown, NY 800-870-8510 maturity Philippines peso .0191 52.287 –0.4 Oman sul rial 2.5977 .3850 –0.01
2018 2019
Sources: Ryan ALM; Tullett Prebon; Dow Jones Market Data Singapore dollar .7272 1.3751 0.9 Qatar rial .2747 3.640 0.1
Yield/Rate (%) 52-Week Range (%) 3-yr chg South Korea won .0008439 1185.02 6.3 Saudi Arabia riyal .2666 3.7510 –0.02
Interest rate Last (l)Week ago Low 0 2 4 6 8 High (pct pts)
Corporate Borrowing Rates and Yields Sri Lanka rupee .0055405 180.49 –1.3 South Africa rand .0682 14.6612 2.1
Federal-funds rate target 2.00-2.25 2.00-2.25 1.75 l 2.25 1.75 Taiwan dollar .03235 30.910 1.1
Yield (%) 52-Week Total Return (%) Close Net Chg % Chg YTD%Chg
Bond total return index Close Last Week ago High Low 52-wk 3-yr Thailand baht .03275 30.530 –5.5
Prime rate* 5.25 5.25 5.00 l 5.50 1.75 Vietnam dong .00004309 23209 0.1 WSJ Dollar Index 91.38 0.29 0.31 1.91
Libor, 3-month 2.15 2.14 2.10 l 2.82 1.29 Treasury, Ryan ALM 1589.043 1.854 1.651 3.154 1.484 10.749 2.229
Sources: Tullett Prebon, Dow Jones Market Data
Money market, annual yield 0.72 0.71 0.41 l 0.75 0.44 10-yr Treasury, Ryan ALM 1898.974 1.843 1.632 3.232 1.456 13.483 1.902
Five-year CD, annual yield 1.61 1.70 1.61 l 2.07 0.44 DJ Corporate n.a. n.a. 2.890 n.a. n.a. n.a. n.a. Commodities
30-year mortgage, fixed† 3.97 3.65 3.60 l 4.99 0.40 Monday 52-Week YTD
Aggregate, Barclays Capital 2099.450 2.430 2.210 3.660 2.060 9.125 2.790 Pricing trends on someClose
raw materials, or commodities
Net chg % Chg High Low % Chg % chg
15-year mortgage, fixed† 3.43 3.19 3.14 l 4.34 0.61
High Yield 100, Merrill Lynch n.a. n.a. 5.158 n.a. n.a. n.a. n.a. DJ Commodity 634.89 22.77 3.72 642.46 572.87 5.34 10.83
Jumbo mortgages, $484,350-plus† 4.47 4.66 4.16 l 5.16 -0.01
Fixed-Rate MBS, Barclays 2119.790 2.640 2.370 3.810 2.200 7.262 2.246 TR/CC CRB Index 183.17 8.37 4.79 201.23 167.89 -3.42 7.87
Five-year adj mortgage (ARM)† 4.74 4.28 3.94 l 4.89 1.48
Muni Master, Merrill n.a. n.a. 1.567 n.a. n.a. n.a. n.a. Crude oil, $ per barrel 62.90 8.05 14.68 76.41 42.53 -8.72 38.52
New-car loan, 48-month 4.64 4.65 3.91 l 4.81 1.40
Bankrate.com rates based on survey of over 4,800 online banks. *Base rate posted by at least 70% of the nation's largest EMBI Global, J.P. Morgan 859.571 5.389 5.199 7.372 5.139 11.819 4.218 Natural gas, $/MMBtu 2.681 0.067 2.56 4.837 2.070 -4.73 -8.81
banks.† Excludes closing costs.
Sources: FactSet; Dow Jones Market Data; Bankrate.com Sources: J.P. Morgan; Ryan ALM; S&P Dow Jones Indices; Barclays Capital; Merrill Lynch Gold, $ per troy oz. 1503.10 12.20 0.82 1550.30 1182.30 25.29 17.59

Get real-time U.S. stock quotes and track most-active stocks, new highs/lows and mutual funds. Plus, deeper money-flows data and email delivery of key stock-market data. Available free at WSJMarkets.com
B8 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

COMMODITIES WSJ.com/commodities

Futures Contracts Open

Contract
High hilo Low Settle Chg
Open
interest Open
Contract
High hilo Low Settle Chg
Open
interest Open
Contract
High hilo Low Settle Chg
Open
interest

Metal & Petroleum Futures Jan'20 1238.50 1239.00 1234.00 1236.50 –4.50 492 10 Yr. Del. Int. Rate Swaps (CBT)-$100,000; pts 32nds of 100% Dec 1.1150 1.1160 1.1068 1.1081 –.0060 469,290
Wheat (CBT)-5,000 bu.; cents per bu. Sept 112-070 111-255 111-130 111-265 19.5 23,530
Contract Open
Open High hi lo Low Settle Chg interest Dec 488.00 490.00 482.25 488.75 5.25 208,805 Eurodollar (CME)-$1,000,000; pts of 100% Index Futures
March'20 494.25 496.25 488.50 495.25 5.75 75,836 Sept 97.8525 97.8600 97.8500 97.8549 .0024 1,295,480
Copper-High (CMX)-25,000 lbs.; $ per lb. Mini DJ Industrial Average (CBT)-$5 x index
Sept 2.6525 2.6750 2.6200 2.6210 –0.0600 976 Wheat (KC)-5,000 bu.; cents per bu. Dec 97.9650 97.9750 97.9450 97.9550 .0100 1,922,283
Sept 27121 27180 27014 27084 –134 64,626
Dec 2.6915 2.7065 2.6380 2.6405 –0.0590 161,089 Dec 403.00 409.75 398.75 409.00 9.25 188,292 March'20 98.2200 98.2500 98.2100 98.2400 .0350 1,483,050
Dec 27120 27174 27009 27080 –134 42,008
Gold (CMX)-100 troy oz.; $ per troy oz. March'20 417.25 423.50 413.25 422.75 8.75 60,302 June 98.3300 98.3700 98.3100 98.3550 .0500 1,234,809
S&P 500 Index (CME)-$250 x index
Sept 1506.60 1506.80 1496.90 1503.10 12.20 25 Cattle-Feeder (CME)-50,000 lbs.; cents per lb.
Currency Futures Sept 2995.00 3002.00 2992.00 2999.10 –7.30 36,068
Oct 1500.30 1512.80 1496.90 1504.80 11.90 38,362 Sept 136.300 137.000 136.050 136.550 .050 2,146
Dec 2994.40 3005.10 2984.00 3001.50 –7.10 2,373
Dec 1513.10 1519.70 1503.40 1511.50 12.00 461,791 Oct 134.800 135.475 133.550 134.200 –.375 17,284 Japanese Yen (CME)-¥12,500,000; $ per 100¥
Feb'20 1517.90 1525.70 1509.90 1517.80 11.90 56,686 Cattle-Live (CME)-40,000 lbs.; cents per lb. Mini S&P 500 (CME)-$50 x index
Sept .9284 .9302 .9261 .9263 .0016 40,276
April 1519.60 1530.80 1515.60 1523.60 11.90 29,120 Oct 98.300 99.350 97.725 98.000 –.075 69,093 Sept 2993.50 3003.25 2981.25 2999.00 –7.50 1,906,917
Dec .9336 .9359 .9307 .9314 .0011 123,710
June 1523.90 1535.70 1520.80 1528.70 11.70 25,340 Dec 104.400 105.175 103.825 104.025 –.350 132,784 Canadian Dollar (CME)-CAD 100,000; $ per CAD Dec 2996.75 3005.25 2983.50 3001.50 –7.00 932,866
Palladium (NYM) - 50 troy oz.; $ per troy oz. Hogs-Lean (CME)-40,000 lbs.; cents per lb. Sept .7553 .7570 .7536 .7553 .0024 57,528 Mini S&P Midcap 400 (CME)-$100 x index
Sept ... ... ... 1591.50 –9.00 15 Oct 66.025 66.025 63.175 63.625 –2.850 54,071 Dec .7562 .7579 .7545 .7563 .0025 127,777 Sept 1951.00 1972.80 1947.90 1966.80 2.60 42,496
Dec 1604.50 1619.80 s 1577.40 1592.20 –8.70 20,874 Dec 69.350 71.700 67.125 70.675 1.975 91,162 British Pound (CME)-£62,500; $ per £ Dec 1955.60 1975.10 1949.10 1969.30 3.40 25,836
March'20 1595.00 1604.00 1589.80 1588.10 –7.80 966 Lumber (CME)-110,000 bd. ft., $ per 1,000 bd. ft. Sept 1.2500 1.2502 1.2413 1.2416 –.0063 61,992 Mini Nasdaq 100 (CME)-$20 x index
Platinum (NYM)-50 troy oz.; $ per troy oz. Nov 378.10 381.90 365.60 367.60 –10.90 1,690 Dec 1.2543 1.2544 1.2443 1.2468 –.0052 231,378 Sept 7856.8 7873.3 7776.3 7856.5 –29.5 158,418
Sept ... ... ... 938.30 –13.00 1 Jan'20 381.00 381.60 369.20 371.50 –7.70 228 Swiss Franc (CME)-CHF 125,000; $ per CHF Dec 7878.5 7895.0 7798.3 7879.5 –28.8 67,239
Oct 958.50 962.20 928.40 939.20 –13.00 67,749 Milk (CME)-200,000 lbs., cents per lb. Sept 1.0122 1.0137 1.0061 1.0069 … 22,561 Mini Russell 2000 (CME)-$50 x index
Silver (CMX)-5,000 troy oz.; $ per troy oz. Sept 18.34 18.36 s 18.29 18.34 .03 3,450 Dec 1.0203 1.0213 1.0137 1.0156 –.0012 50,508
Sept 1575.00 1593.60 1566.70 1585.10 4.30 322,310
Sept 17.780 17.865 17.780 17.901 0.465 389 Oct 19.21 19.82 s 19.20 19.74 .54 4,354 Australian Dollar (CME)-AUD 100,000; $ per AUD
Dec 17.755 18.075 17.690 18.026 0.457 166,998 Mini Russell 1000 (CME)-$50 x index
Cocoa (ICE-US)-10 metric tons; $ per ton. Sept .6865 .6883 .6855 .6858 … 27,849
Crude Oil, Light Sweet (NYM)-1,000 bbls.; $ per bbl. Sept 1657.40 1660.00 1654.00 1658.20 –4.20 4,030
Dec 2,337 2,390 2,323 2,383 46 103,795 Dec .6884 .6900 .6870 .6886 –.0011 133,526
Oct 61.48 63.38 58.77 62.90 8.05 159,934 Mexican Peso (CME)-MXN 500,000; $ per MXN U.S. Dollar Index (ICE-US)-$1,000 x index
March'20 2,335 2,386 2,326 2,377 38 67,343
Nov 60.16 63.89 58.62 62.67 7.87 362,491 Sept .05144 .05153 .05138 .05145 … 39,940 Sept 98.10 98.50 98.06 98.63 .37 11,904
Coffee (ICE-US)-37,500 lbs.; cents per lb.
Dec 59.04 62.75 58.19 62.02 7.43 281,333 Dec .05070 .05084 .05064 .05073 –.00005 176,695 Dec 97.73 98.28 97.62 98.18 .34 55,604
Sept 100.80 100.80 100.80 100.80 1.30 1
Jan'20 58.56 61.48 57.65 61.13 6.86 154,125 Euro (CME)-€125,000; $ per €
Dec 102.30 104.95 101.60 104.30 1.55 128,707
June 54.46 59.50 54.46 56.99 4.27 169,660 Sept 1.1075 1.1086 1.1004 1.1008 –.0061 86,343
Sugar-World (ICE-US)-112,000 lbs.; cents per lb. Source: FactSet
Dec 53.25 57.09 52.89 54.33 2.78 179,428
Oct 11.08 11.34 11.04 11.09 .20 222,548
NY Harbor ULSD (NYM)-42,000 gal.; $ per gal.
March'20 12.15 12.48 12.10 12.26 .32 491,609
Oct 1.9860 2.0966 1.9860 2.0838 .2060 75,893
Nov 1.9816 2.0921 1.9605 2.0796 .2027 91,426
Sugar-Domestic (ICE-US)-112,000 lbs.; cents per lb.
Nov 25.55 25.60 t 25.50 25.55 .04 2,922
Bonds | WSJ.com/bonds
Gasoline-NY RBOB (NYM)-42,000 gal.; $ per gal.
Oct 1.6370 1.7785 1.6350 1.7524 .1993 87,544 Jan'20 25.93 25.93 25.93 25.93 .04 1,424
Nov 1.6300 1.7526 1.6038 1.7301 .1947 110,091 Cotton (ICE-US)-50,000 lbs.; cents per lb. Tracking Bond Benchmarks
Natural Gas (NYM)-10,000 MMBtu.; $ per MMBtu. Oct 61.30 61.62 61.30 61.59 –.04 208
Dec 62.57 62.78 61.88 62.59 .31 142,506
Return on investment and spreads over Treasurys and/or yields paid to investors compared with 52-week
Oct 2.688 2.700 2.641 2.681 .067 213,861
Nov 2.725 2.738 2.677 2.725 .072 280,599 Orange Juice (ICE-US)-15,000 lbs.; cents per lb. highs and lows for different types of bonds
Dec 2.864 2.877 2.817 2.867 .067 141,864 Nov 102.20 103.55 101.75 102.05 .10 13,267 Total Total
Jan'20 105.95 106.25 104.75 104.80 –.05 1,806 return YTD total Yield (%) return YTD total Yield (%)
Jan'20 2.953 2.969 2.915 2.963 .065 122,731
close return (%) Index Latest Low High close return (%) Index Latest Low High
March 2.727 2.759 2.710 2.754 .059 91,827
April 2.430 2.434 2.400 2.431 .036 70,081 Interest Rate Futures Broad Market Bloomberg Barclays Mortgage-Backed Bloomberg Barclays
Ultra Treasury Bonds (CBT) - $100,000; pts 32nds of 100% 2119.79 5.2 Mortgage-Backed 2.640 2.200 3.810
Agriculture Futures 2099.45 7.5 U.S. Aggregate 2.430 2.060 3.660
Sept 184-040 186-130 183-120 185-050 2-13.0 18,446
Corn (CBT)-5,000 bu.; cents per bu. Dec 184-080 187-040 183-290 185-270 2-12.0 1,155,913 U.S. Corporate Indexes Bloomberg Barclays 2077.88 4.9 Ginnie Mae (GNMA) 2.600 2.090 3.780
Dec 372.00 374.75 367.50 374.00 5.25 901,537 Treasury Bonds (CBT)-$100,000; pts 32nds of 100% 3058.78 11.7 U.S. Corporate 3.070 2.770 4.370 1247.37 5.3 Fannie mae (FNMA) 2.660 2.250 3.820
March'20 384.50 386.75 380.00 386.00 4.50 301,858 Sept 158-270 160-070 158-230 159-230 1-11.0 7,569
Oats (CBT)-5,000 bu.; cents per bu. Dec 158-060 159-150 157-300 158-310 1-11.0 983,683 2835.12 8.1 Intermediate 2.680 2.370 4.060 1918.44 5.3 Freddie Mac (FHLMC) 2.660 2.230 3.840
Dec 281.00 283.75 278.25 281.00 .50 4,606 Treasury Notes (CBT)-$100,000; pts 32nds of 100%
March'20 281.75 284.00 279.50 282.50 2.25 700 4372.07 19.3 Long term 3.800 3.480 5.050 n.a. n.a. Muni Master n.a. n.a. n.a.
Sept 128-120 128-220 128-075 128-170 14.5 25,007
Soybeans (CBT)-5,000 bu.; cents per bu. Dec 128-270 129-070 128-240 129-020 15.5 3,613,073 626.15 8.9 Double-A-rated 2.500 2.190 3.740 n.a. n.a. 7-12 year n.a. n.a. n.a.
Nov 903.25 904.75 894.25 900.00 1.25 376,513
5 Yr. Treasury Notes (CBT)-$100,000; pts 32nds of 100% n.a.
Jan'20 916.75 917.75 907.25 913.75 1.50 103,940 803.51 12.8 Triple-B-rated 3.390 3.110 4.720 n.a. 12-22 year n.a. n.a. n.a.
Sept 118-020 118-035 117-287 118-015 7.0 51,360
Soybean Meal (CBT)-100 tons; $ per ton.
Oct 298.30 299.30 293.80 295.20 –2.70 50,039 Dec 118-095 118-150 118-075 118-132 8.7 4,077,497 High Yield Bonds ICE Data Services n.a. n.a. 22-plus year n.a. n.a. n.a.
Dec 302.10 303.30 297.50 298.90 –2.60 209,706 2 Yr. Treasury Notes (CBT)-$200,000; pts 32nds of 100% n.a. High Yield Constrained n.a. n.a. n.a. Global Government J.P. Morgan†
n.a.
Soybean Oil (CBT)-60,000 lbs.; cents per lb. Sept 107-090 107-101 107-080 107-095 2.7 48,684
Oct 29.60 30.21 29.46 30.14 .85 40,167 Dec 107-145 107-167 107-139 107-160 3.2 3,439,034 n.a. n.a. Triple-C-rated n.a. n.a. n.a. 587.72 6.9 Global Government 0.920 0.690 1.880
Dec 29.85 30.36 29.60 30.28 .85 230,947 30 Day Federal Funds (CBT)-$5,000,000; 100 - daily avg. 807.59 4.4 Canada 1.600 1.260 2.540
Rough Rice (CBT)-2,000 cwt.; $ per cwt. n.a. n.a. High Yield 100 n.a. n.a. n.a.
Sept 97.9625 97.9650 97.9375 97.9400 –.0175 195,059
Nov 1223.00 1224.00 1219.50 1221.50 –4.00 7,748 Oct 98.1150 98.1200 98.0850 98.0900 –.0150 475,987 n.a. n.a. Global High Yield Constrained n.a. n.a. n.a. 408.61 9.2 EMU§ 0.287 0.109 1.469
n.a. n.a.Europe High Yield Constrained n.a. n.a. n.a. 775.10 7.8 France 0.090 -0.160 0.980
U.S Agency Bloomberg Barclays 547.67 5.5 Germany -0.340 -0.590 0.580
Cash Prices | WSJ.com/commodities Monday, September 16, 2019
1754.54 5.3 U.S Agency 2.010 1.700 3.210 300.91 3.1 Japan 0.100 -0.070 0.520
These prices reflect buying and selling of a variety of actual or “physical” commodities in the marketplace—
separate from the futures price on an exchange, which reflects what the commodity might be worth in future 1547.26 3.7 10-20 years 1.930 1.630 3.110 609.86 6.4 Netherlands -0.230 -0.490 0.670
months. 3803.76 12.4 20-plus years 2.390 2.010 3.700 1025.03 9.5 U.K. 0.970 0.730 1.900
Monday Monday Monday
2674.83 9.1 Yankee 2.800 2.470 4.050 859.57 11.5 Emerging Markets ** 5.389 5.139 7.372
Palladium,Engelhard industrial 1609.0 Wheat,No.2 soft red,St.Louis-bp,u 4.9100
Energy *Constrained indexes limit individual issuer concentrations to 2%; the High Yield 100 are the 100 largest bonds † In local currency § Euro-zone bonds
Palladium,Engelhard fabricated 1709.0 Wheat - Hard - KC (USDA) $ per bu-u 4.0800
Coal,C.Aplc.,12500Btu,1.2SO2-r,w 62.800 Aluminum, LME, $ per metric ton *1768.0 Wheat,No.1soft white,Portld,OR-u 5.8000 ** EMBI Global Index Sources: ICE Data Services; Bloomberg Barclays; J.P.Morgan
Coal,PwdrRvrBsn,8800Btu,0.8SO2-r,w 12.200 Copper,Comex spot 2.6210
Food
97.8
Metals Iron Ore, 62% Fe CFR China-s
Shredded Scrap, US Midwest-s,m 245 Beef,carcass equiv. index
Global Government Bonds: Mapping Yields
Gold, per troy oz Steel, HRC USA, FOB Midwest Mill-s 555 choice 1-3,600-900 lbs.-u 180.69 Yields and spreads over or under U.S. Treasurys on benchmark two-year and 10-year government bonds in
Engelhard industrial 1501.00 select 1-3,600-900 lbs.-u 157.24
Engelhard fabricated 1613.58 Fibers and Textiles Broilers, National comp wtd. avg.-u,w 0.7619
selected other countries; arrows indicate whether the yield rose(s) or fell (t) in the latest session
Handy & Harman base 1497.20 Butter,AA Chicago 2.2225 Country/ Yield (%) Spread Under/Over U.S. Treasurys, in basis points
Burlap,10-oz,40-inch NY yd-n,w 0.5100 Latest(l)-2 -1
Handy & Harman fabricated 1661.89 Cheddar cheese,bbl,Chicago 192.00 Coupon (%) Maturity, in years 0 1 2 3 4 Previous Month ago Year ago Latest Prev Year ago
Cotton,1 1/16 std lw-mdMphs-u 0.6059
LBMA Gold Price AM *1506.30 Cheddar cheese,blk,Chicago 220.50 1.500 U.S. 2 1.761 t l 1.798 1.489 2.782
Cotlook 'A' Index-t *73.55
LBMA Gold Price PM *1503.10 Milk,Nonfat dry,Chicago lb. 105.50 1.625 10 1.842 t l 1.899 1.560 2.998
Hides,hvy native steers piece fob-u n.a.
Krugerrand,wholesale-e 1564.26 Coffee,Brazilian,Comp 1.0072
Maple Leaf-e 1579.31
Wool,64s,staple,Terr del-u,w n.a. 5.750 Australia 2 0.930 s l 0.918 0.741 2.034 -83.2 -88.0 -74.7
Coffee,Colombian, NY 1.3394
American Eagle-e 1579.31 Eggs,large white,Chicago-u 0.8150 2.750 10 1.199 s l 1.170 0.894 2.612 -64.4 -72.8 -38.6
Grains and Feeds
Mexican peso-e 1821.49 Flour,hard winter KC 13.25 0.000 France 2 -0.673 t l -0.648 -0.810 -0.372 -243.4 -244.5 -315.4
Austria crown-e 1477.32 Barley,top-quality Mnpls-u n.a. Hams,17-20 lbs,Mid-US fob-u n.a.
Austria phil-e 1579.31 Bran,wheat middlings, KC-u 79 0.500 10 -0.194 t l -0.174 -0.405 0.767 -203.7 -207.3 -223.2
Hogs,Iowa-So. Minnesota-u 66.86
Silver, troy oz. Corn,No. 2 yellow,Cent IL-bp,u 3.6100 Pork bellies,12-14 lb MidUS-u n.a. 0.000 Germany 2 -0.719 t l -0.707 -0.913 -0.542 -248.1 -250.5 -332.4
Engelhard industrial 17.8300 Corn gluten feed,Midwest-u,w 98.5 0.8810
Pork loins,13-19 lb MidUS-u 0.000 10 -0.478 t l -0.445 -0.684 0.454 -232.1 -234.4 -254.5
Engelhard fabricated 21.3960 Corn gluten meal,Midwest-u,w 365.6 Steers,Tex.-Okla. Choice-u 99.40
Handy & Harman base 17.9500 Cottonseed meal-u,w 218 0.050 Italy 2 -0.270 t l -0.204 0.056 0.855 -203.1 -200.2 -192.7
Steers,feeder,Okla. City-u,w 142.00
Handy & Harman fabricated 22.4380 Hominy feed,Cent IL-u,w 102 3.000 10 0.852 t l 0.870 1.402 2.983 -99.1 -102.9 -1.5
LBMA spot price *£14.5700 Meat-bonemeal,50% pro Mnpls-u,w 215 Fats and Oils
0.100 Japan 2 -0.246 l -0.246 -0.275 -0.109 -200.7 -204.3 -289.1
(U.S.$ equivalent) *18.1450 Oats,No.2 milling,Mnpls-u 3.0600 Corn oil,crude wet/dry mill wtd. avg.-u,w 27.3600
Coins,wholesale $1,000 face-a 13236 Rice, Long Grain Milled, No. 2 AR-u,w 25.00 Grease,choice white,Chicago-h 0.2575
0.100 10 -0.155 l -0.155 -0.237 0.111 -199.8 -205.4 -288.7
Other metals Sorghum,(Milo) No.2 Gulf-u 6.9025 n.a. 0.750 Spain 2 -0.448 t l -0.404 -0.562 -0.235 -220.2 -301.7
Lard,Chicago-u -221.0
LBMA Platinum Price PM *956.0 SoybeanMeal,Cent IL,rail,ton48%-u 297.70 Soybean oil,crude;Centl IL-u 0.2989 0.600 10 0.259 t l 0.302 0.094 1.486 -158.3 -159.6 -151.2
Platinum,Engelhard industrial 950.0 Soybeans,No.1 yllw IL-bp,u 8.5600 Tallow,bleach;Chicago-h 0.2800
Platinum,Engelhard fabricated 1050.0 Wheat,Spring14%-pro Mnpls-u 5.8900 Tallow,edible,Chicago-u 0.3400 1.500 U.K. 2 0.508 t l 0.567 0.507 0.820 -125.4 -123.1 -196.2
1.625 10 0.692 t l 0.762 0.468 1.383 -115.0 -113.7 -161.5
KEY TO CODES: A=ask; B=bid; BP=country elevator bids to producers; C=corrected; E=Manfra,Tordella & Brooks; G=ICE; H=American Commodities Brokerage Co;
M=monthly; N=nominal; n.a.=not quoted or not available; R=SNL Energy; S=Platts-TSI; T=Cotlook Limited; U=USDA; W=weekly, Z=not quoted. *Data as of 9/13 Source: Tullett Prebon
Source: WSJ Market Data Group
Corporate Debt
Price moves by a company's debt in the credit markets sometimes mirror and sometimes anticipate, moves in
Borrowing Benchmarks | WSJ.com/bonds that same company’s share price.
Money Rates September 16, 2019 Investment-grade spreads that tightened the most…
Spread*, in basis points Stock Performance
Key annual interest rates paid to borrow or lend money in U.S. and international markets. Rates below are a Issuer Symbol Coupon (%) Maturity Current One-day change Last week Close ($) % chg
guide to general levels but don’t always represent actual transactions.
General Electric GE 5.000 Jan. 21, ’49 299 –23 331 9.38 0.43
Week —52-WEEK— Week —52-WEEK— 4.750 April 15, ’43 259 286 28.45 16.89
Inflation Latest ago High Low Latest ago High Low
Apache APA –21
Aug. index Chg From (%) ONEOK OKE 5.200 July 15, ’48 216 –15 235 75.83 1.81
level July '19 Aug. '18 Switzerland 0.50 0.50 0.50 0.50 Offer 2.5000 2.1000 2.5000 1.9300
Britain 0.75 0.75 0.75 0.75 Canadian Natural Resources CNQCN 4.950 June 1, ’47 158 –13 176 ... ...
U.S. consumer price index Australia 1.00 1.00 1.50 1.00
Treasury bill auction
Occidental Petroleum OXY 4.300 Aug. 15, ’39 180 –12 196 47.80 6.01
All items 256.558 –0.01 1.7 4 weeks 1.940 2.025 2.470 1.940
Core 264.169 0.23 2.4 Overnight repurchase 13 weeks 1.945 1.920 2.465 1.900 Cenovus Energy CVECN 4.250 April 15, ’27 176 –11 n.a. ... ...
U.S. 2.19 2.19 3.35 1.92 26 weeks 1.870 1.825 2.505 1.825 Bank of New York Mellon BK 2.200 Aug. 16, ’23 50 –10 56 46.75 –0.32
International rates
U.S. government rates Secondary market Cimarex Energy XEC 3.900 May 15, ’27 178 –10 193 53.77 12.14
Week 52-Week
Latest ago High Low Discount Fannie Mae …And spreads that widened the most
2.75 2.75 3.00 2.50 30-year mortgage yields
Prime rates Branch Banking And Trust BBT 2.636 Sept. 17, ’29 121 25 n.a. … …
30 days 3.329 2.951 4.607 2.871
U.S. 5.25 5.25 5.50 5.00 Federal funds
60 days 3.356 2.973 4.632 2.890 Morgan Stanley MS 5.550 July 15, ’49 315 18 338 44.75 –0.91
Canada 3.95 3.95 3.95 3.70 Effective rate 2.2400 2.1300 2.4800 1.9500
Japan 1.475 1.475 1.475 1.475 American Electric Power AEP 4.300 Dec. 1, ’28 108 17 110 91.71 0.19
High 2.5000 2.1800 2.6500 2.0625 Other short-term rates
Policy Rates Low 2.0000 2.0000 2.4400 1.8500 Deutsche Bank AG* DB 4.500 April 1, ’25 371 15 415 8.23 –2.60
Bid 2.1000 2.0000 2.4400 1.9100 Week 52-Week
Euro zone 0.00 0.00 0.00 0.00 Latest ago high low General Motors GM 6.250 Oct. 2, ’43 345 15 333 37.21 –4.25
Citigroup C 5.950 Jan. 30, ’49 343 14 361 69.83 –0.80
Call money
Eli Lilly & Co LLY 7.125 June 1, ’25 75 13 n.a. 110.13 –0.69
Key Interest Rates 4.00 4.00 4.25 3.75
U.S. Bancorp* USB 2.400 July 30, ’24 60 12 61 55.86 –0.39
Data are annualized on a 360-day basis. Treasury yields are per annum, Commercial paper (AA financial)
on actively traded noninflation and inflation-indexed issues that are 90 days 2.09 2.05 2.80 2.00 High-yield issues with the biggest price increases…
adjusted to constant maturities. Data are from weekly Federal Reserve Libor Bond Price as % of face value Stock Performance
release H.15. One month 2.04088 2.04950 2.52238 2.02475 Issuer Symbol Coupon (%) Maturity Current One-day change Last week Close ($) % chg
Week Ended 52-Week Week Ended 52-Week
Three month 2.14513 2.13838 2.82375 2.10213
Sep 13 Sep 6 High Low Sep 13 Sep 6 High Low APX APXSEC 7.625 Sept. 1, ’23 94.000 13.63 78.000 ... ...
6-month 1.89 1.88 2.56 1.88 Six month 2.07800 2.03563 2.90788 1.98725
Federal funds (effective) 1-year 1.81 1.72 2.73 1.72 One year 2.06963 1.94875 3.14413 1.89100 California Res CRC 8.000 Dec. 15, ’22 63.500 8.13 54.750 16.31 37.99
2.13 2.13 2.44 1.92 2-year 1.69 1.50 2.94 1.50 Chesapeake Energy CHK 8.000 June 15, ’27 84.395 7.27 71.500 2.06 15.73
3-year 1.64 1.42 3.02 1.42 Euro Libor
Commercial paper SemGroup SEMG 5.625 July 15, ’22 101.000 6.75 95.500 16.50 60.51
5-year 1.61 1.38 3.06 1.38 One month -0.496 -0.510 -0.396 -0.522
Nonfinancial 7-year 1.69 1.46 3.14 1.45 Three month -0.422 -0.481 -0.324 -0.482 Whiting Petroleum WLL 6.625 Jan. 15, ’26 80.250 6.75 73.500 11.23 48.94
1-month 2.04 2.03 2.50 2.02 10-year 1.76 1.52 3.21 1.50
2-month 2.02 n.a. 2.53 2.02 Six month -0.399 -0.457 -0.288 -0.474 Oasis Petroleum OAS 6.250 May 1, ’26 89.750 6.72 83.750 4.80 29.03
20-year 2.03 1.81 3.34 1.79
3-month 1.98 1.98 2.57 1.98 One year -0.323 -0.389 -0.159 -0.428
Financial
QEP Resources QEP 5.625 March 1, ’26 91.000 4.82 82.500 4.98 22.06
Treasury yields (secondary market) Value 52-Week
1-month 2.05 2.09 2.47 2.00 1-month 1.98 2.02 2.43 1.97 Latest Traded High Low Denbury Resources DNR 7.750 Feb. 15, ’24 80.750 4.75 73.750 1.56 27.87
2-month 2.04 2.07 2.56 2.04
3-month 1.92 1.93 2.41 1.91
3-month 2.05 2.04 2.78 2.03 DTCC GCF Repo Index …And with the biggest price decreases
6-month 1.84 1.83 2.49 1.83
Discount window primary credit TIPS Treasury 2.876 35.700 5.149 1.962
2.75 2.75 3.00 2.50 MBS 3.109 115.700 4.434 1.978 Bed Bath & Beyond BBBY 5.165 Aug. 1, ’44 68.314 –1.94 70.550 10.29 –2.19
5-year 0.20 0.06 1.14 0.04
Treasury yields at constant 7-year 0.17 0.02 1.14 -0.01 Notes on data: Chemours CC 5.375 May 15, ’27 90.840 –1.66 92.750 17.08 4.46
maturities 10-year 0.14 -0.01 1.15 -0.06 AK Steel AKS 6.375 Oct. 15, ’25 88.500 –1.00 86.000 2.80 ...
U.S. prime rate is the base rate on corporate
1-month 2.01 2.05 2.48 2.01 20-year 0.36 0.19 1.25 0.12
loans posted by at least 70% of the 10 largest
3-month 1.96 1.97 2.47 1.95 Long-term avg 0.52 0.36 1.30 0.31 Frontier Commn FTR 9.000 Aug. 15, ’31 52.000 –1.00 51.750 1.14 8.57
U.S. banks, and is effective August 1, 2019. Other
prime rates aren’t directly comparable; lending Sanchez Energy SNEC 7.250 Feb. 15, ’23 71.000 –1.00 77.000 ... ...
Notes on data: practices vary widely by location; Discount rate
Federal-funds rate is an average for the seven days ended Wednesday, weighted according to rates is effective August 1, 2019. DTCC GCF Repo Ball BLL 5.250 July 1, ’25 110.250 –0.75 112.625 72.20 –0.73
on broker trades; Commercial paper rates are discounted offer rates interpolated from sales by Index is Depository Trust & Clearing Corp.'s
discounted averages of dealer bid rates on nationally traded certificates of deposit; Discount window Park–Ohio Industries PKOH 6.625 April 15, ’27 97.313 –0.69 97.313 32.81 0.31
weighted average for overnight trades in
primary credit rate is charged for discounts made and advances extended under the Federal applicable CUSIPs. Value traded is in billions of Merlin Entertainments MERLLN 5.750 June 15, ’26 103.470 –0.66 n.a. ... ...
Reserve's primary credit discount window program; rate is average for seven days ended Wednesday; U.S. dollars. Federal-funds rates are Tullett
Inflation-indexed long-term TIPS average is indexed and is based on the unweighted average bid Prebon rates as of 5:30 p.m. ET. *Estimated spread over 2-year, 3-year, 5-year, 10-year or 30-year hot-run Treasury; 100 basis points=one percentage pt.; change in spread shown is for Z-spread.
yields for all TIPS with remaining terms to maturity of 10 years or more; Sources: Federal Reserve; Bureau of Labor Note: Data are for the most active issue of bonds with maturities of two years or more
Sources: Federal Reserve; for additional information on these rate data and their derivation, Statistics; DTCC; FactSet;
please see, www.federalreserve.gov/releases/h15/data.htm Tullett Prebon Information, Ltd. Sources: MarketAxess Corporate BondTicker; Dow Jones Market Data
THE WALL STREET JOURNAL. Tuesday, September 17, 2019 | B9

BIGGEST 1,000 STOCKS

Net Net Net Net Net Net
How to Read the Stock Tables Footnotes: Stock Sym Close Chg Stock Sym Close Chg Stock Sym Close Chg Stock Sym Close Chg Stock Sym Close Chg Stock Sym Close Chg
The following explanations apply to NYSE, NYSE s-New 52-week high. FifthThirdBncp FITB 28.51 Kellogg
0.13 K 63.78 0.43 Sony SNE 59.97 -0.39 Textron TXT 52.60 1.20 VMware VMW 155.87 4.76
Arca, NYSE American and Nasdaq Stock Market t-New 52-week low. 58.com WUBA 56.55 KeurigDrPepper KDP 27.31 -0.24
-0.07 O P Q Southern SO 59.86 -0.27 ThermoFisherSci TMO 295.33 -2.13 Vodafone VOD 19.71 -0.27
listed securities. Prices are composite quotations dd-Indicates loss in the most recent four FirstAmerFin FAF 57.94 KeyCorp
0.63 KEY 18.34 0.07 SoCopper SCCO 35.14 -0.56 ThomsonReuters TRI 66.25 -0.68 VornadoRealty VNO 63.91 0.44
that include primary market trades as well as quarters. s OGE Energy OGE 44.37 0.42
FirstRepBank FRC 96.21 KeysightTechs KEYS 98.98 -0.60
0.51 SouthwestAir LUV 55.81 0.02 3M MMM 169.67 -1.77 VoyaFinancial VOYA 54.49 -0.27
trades reported by Nasdaq BX (formerly Boston), FD-First day of trading. s ONEOK OKE 75.83 1.35
FirstSolar FSLR 63.44 KilroyRealty KRC 76.97 0.97
-0.26 SpiritAeroSys SPR 85.31 0.92 Tiffany TIF 96.40 -1.88 VulcanMatls VMC 145.63 -1.95
Chicago Stock Exchange, Cboe, NYSE National and h-Does not meet continued listing OReillyAuto ORLY 380.44 -10.41
Nasdaq ISE. standards FirstEnergy FE 47.56 KimberlyClark KMB 128.78 -3.63
0.19 Splunk SPLK 114.82 1.17 Toro TTC 74.25 0.09
The list comprises the 1,000 largest companies lf-Late filing Fiserv FISV 103.62 KimcoRealty KIM 20.01 -0.11
1.02
OccidentalPetrol OXY 47.80 2.71
Okta OKTA 103.79 1.70
Spotify SPOT 128.17 -2.46 TorontoDomBk TD 56.82 0.12 W X Y Z
based on market capitalization. q-Temporary exemption from Nasdaq FiveBelow FIVE 129.82 KinderMorgan KMI 20.67 0.20
-3.65 Sprint S 6.84 0.01 Total TOT 52.64 0.79
OldDomFreight ODFL 174.24 0.32 WABCO WBC 134.20 -0.02
Underlined quotations are those stocks with requirements. FleetCorTech FLT 297.86 KinrossGold KGC
5.74 4.92 0.20 Square SQ 59.25 0.96 TotalSystem TSS 134.56 -0.92 WEC Energy WEC 91.31 0.15
OldRepublic ORI 22.86 0.22
large changes in volume compared with the t-NYSE bankruptcy FlirSystems FLIR 52.74 KirklandLakeGold KL
... 44.28 1.90 StanleyBlackDck SWK 143.63 -2.62 ToyotaMotor TM 135.94 -0.72 WEX
OmegaHealthcare OHI 41.02 0.50 WEX 212.88 7.43
issue’s average trading volume. v-Trading halted on primary market. Flowserve FLS 49.50 Knight-Swift KNX 35.30 -0.92
0.96 Starbucks SBUX 89.42 -1.06 TractorSupply TSCO 95.66 -1.44 W.P.Carey WPC 87.76 1.38
Omnicom OMC 78.97 -1.16
Boldfaced quotations highlight those issues vj-In bankruptcy or receivership or being FomentoEconMex FMX 92.93 Kohl's
-0.68 KSS 53.13 0.43 StarwoodProp STWD 24.41 0.02 TradeDesk TTD 210.85 3.36 WPP WPP 63.09 -1.38
whose price changed by 5% or more if their reorganized under the Bankruptcy Code, ON Semi ON 19.99 -0.13
FordMotor F 9.30 KoninklijkePhil PHG 47.47 -0.30
-0.15 StateStreet STT 60.51 -0.64 Tradeweb TW 39.51 0.38 Wabtec WAB 76.19 1.01
previous closing price was $2 or higher. or securities assumed by such companies. OpenText OTEX 40.88 -0.05
Fortinet FTNT 79.67 KoreaElcPwr KEP 10.81 -0.15
1.56 SteelDynamics STLD 31.79 0.17 TransDigm TDG 523.54 3.72 WalgreensBoots WBA 55.34 -0.65
Oracle ORCL 53.14 -0.61
Fortis FTS 41.79 KraftHeinz
0.04 KHC 29.62 0.37 Steris STE 144.33 0.21 TransUnion TRU 80.36 0.58 Walmart WMT 115.57 -1.86
Orange ORAN 15.26 -0.03
Wall Street Journal stock tables reflect composite regular trading as of 4 p.m. and Fortive FTV 69.50 Kroger
-0.52 KR 25.98 -0.25 STMicroelec STM 19.87 -0.17 Travelers TRV 146.34 0.03 WasteConnections WCN 88.47 -0.13
Orix IX 78.84 -0.49
changes in the closing prices from 4 p.m. the previous day. FortBrandsHome FBHS 53.45 LATAMAirlines LTM 8.95 -0.64
-1.00 StoneCo STNE 33.49 0.60 Trimble TRMB 39.65 -0.38 WasteMgt WM 111.90 -0.05
OwensCorning OC 59.18 -0.99
FoxA FOXA 33.60 LINE
-0.23 LN 38.61 -0.20
s OwlRock Stryker SYK 215.29 -2.89 TripAdvisor TRIP 41.15 0.33 Waters WAT 231.52 -0.61
ORCC 16.98 0.59
Monday, September 16, 2019 Net Net FoxB FOX 33.49 LKQ
-0.22 LKQ 32.06 -0.68 SumitomoMits SMFG 6.94 -0.04 Twilio TWLO 110.65 1.06 Watsco WSO 167.89 -1.99
PG&E PCG 11.01 -0.17
Stock Sym Close Chg Stock Sym Close Chg Franco-Nevada FNV 90.89 LPL Financial LPLA 83.69 0.61
0.91 SunComms SUI 147.06 1.40 Twitter TWTR 42.76 0.13 Wayfair W 133.66 0.95
Net PNC Fin PNC 140.50 1.22
FranklinRscs BEN 29.73 L3HarrisTech LHX 214.00 6.55
-0.18 SunLifeFinancial SLF 43.97 -0.11 TylerTech TYL 257.65 0.95 Weibo WB 49.79 -0.38
Stock Sym Close Chg POSCO PKX 49.71 -0.32 TysonFoods TSN 86.34 1.17 WellCareHealth WCG 269.00 1.82
BanColombia CIB 51.00 1.26 SABESP SBS 12.32 -0.09 FreeportMcM FCX 10.47 LabCpAm
-0.29 LH 172.75 0.43 SuncorEnergy SU 32.44 2.03
PPG Ind PPG 115.36 -4.02
BankofAmerica BAC 30.13 -0.04 ConagraBrands CAG 30.44 0.57 FreseniusMed FMS 34.75 LamResearch LRCX 234.94 -0.62
-0.01
PPL 31.13 0.25 SunTrustBanks STI 68.34 -0.31 UBS Group UBS 11.58 -0.15 WellsFargo
A B C LamarAdv LAMR 80.05 1.26
PPL
SUZ 16.66 0.40 UDR UDR 48.17 0.57 Welltower
WFC 48.98 0.06
BankofMontreal BMO 72.76 0.07 ConchoRscs CXO 76.15 2.59
G H I PRA HealthSci PRAH 104.84 0.94 Suzano UGI
WELL 86.93 1.42
UGI 50.33 0.60 WestPharmSvcs WST 142.13 -2.07
BankNY Mellon BK 46.75 -0.15 ConocoPhillips COP 62.53 5.19 LambWeston LW 73.19 1.04 Symantec SYMC 24.26 -0.20
ABB ABB 20.27 -0.09 PTC PTC 67.25 0.70
LasVegasSands LVS 59.64 0.30 US Foods USFD 41.56 -0.63 WesternDigital WDC 62.99 -1.61
s ACADIA Pharm ACAD 44.01 3.56 BkNovaScotia BNS 56.22 -0.25 ConEd ED 89.93 0.12 GCI LibertyA GLIBA 63.52 -0.58 PVH PVH 90.62 0.01 SynchronyFin SYF 33.89 -0.29 Uber UBER 34.43 1.18
Lear LEA 124.03 -2.31
AECOM ACM 38.14 0.34 Barclays BCS 7.61 -0.16 ConstBrands A STZ 203.84 -0.23 GDS Holdings GDS 42.37 -0.90 Paccar PCAR 70.95 -0.58 SyneosHealth SYNH 55.39 0.72 UltaBeauty ULTA 225.45 -1.41 WesternMidstrm WES 26.42 0.80
BarrickGold GOLD 17.10 -0.13 ContinentalRscs CLR 39.16 7.02 Leidos LDOS 86.30 0.48
AES AES 16.00 0.21 Galapagos GLPG 158.40 -2.76 PackagingCpAm PKG 105.87 -2.50 Synopsys SNPS 133.24 -1.40
UnderArmour A
WesternUnion WU 22.76 -0.60
UAA 21.11 -0.07 WestlakeChem WLK 69.11 3.21
BauschHealth BHC 23.37 0.13 Cooper Lennar A LEN 53.34 -0.28
Aflac AFL 51.91 0.14 COO 303.09 1.58 Gallagher AJG 87.56 0.58 PagSeguroDig PAGS 45.88 0.01 SynovusFin SNV 37.78 -0.30 UnderArmour C UA 19.02 -0.05 WestpacBanking WBK 20.31 -0.15
BaxterIntl BAX 86.92 -0.01 Copart CPRT 82.18 0.37 Lennar B LEN.B 42.39 0.02 s Sysco SYY 77.19 -1.09
AGCO AGCO 76.90 0.11 Gaming&Leisure GLPI 38.12 0.27 LennoxIntl PaloAltoNtwks PANW 215.80 7.45
BectonDicknsn BDX 258.73 -1.97 Corning GLW 30.05 -0.11 LII 234.81 -0.19 Unilever UN 59.58 -0.65 WestRock WRK 37.92 -1.17
AGNC Invt AGNC 15.78 -0.07 Gap GPS 18.55 -0.69 LeviStrauss LEVI 17.91 -0.09 ParkerHannifin PH 179.18 -3.05
Ansys ANSS 212.13 ... BeiGene BGNE 132.01 -2.18 Corteva CTVA 29.40 -0.72 GardnerDenver GDI 31.85 0.62 LibertyBroadbandC LBRDK 108.50 -0.78 Paychex PAYX 81.06 -0.56
T U V Unilever UL 60.45 -0.69 Weyerhaeuser WY 27.59 0.18
Berkley WRB 70.90 -0.09 CoStar CSGP 579.56 9.45 UnionPacific UNP 168.95 -2.50 WheatonPrecMet WPM 26.74 0.03
ASETech ASX 4.64 -0.05 Garmin GRMN 85.07 -0.27 LibertyBroadbandA LBRDA 107.66 -0.97 PaycomSoftware PAYC 211.29 1.63 TAL Education TAL 35.00 -0.26 UnitedAirlines UAL 88.76 -2.59
ASML ASML 246.21 -2.78 BerkHathwy A BRK.A 315807-5043.00 Costco COST 288.69 -3.21 Whirlpool WHR 148.77 -1.09
Gartner IT 138.67 1.57
LibertyGlobal A LBTYA 28.04 -0.35 PayPal PYPL 106.52 -0.48 TC Energy TRP 49.99 0.20 UPS B UPS 122.57 -0.10
AT&T T 37.31 -0.60 BerkHathwy B BRK.B 210.33 -3.28 Coty COTY 10.85 0.19 GeneralDynamics GD 190.97 1.01 LibertyGlobal C LBTYK 27.08 -0.43 Pearson PSO 10.76 -0.11 TCF Financial TCF 40.69 -0.40 UnitedRentals URI 128.35 -0.52 Williams WMB 24.99 0.29
AXA Equitable EQH 21.82 -0.25 BestBuy BBY 68.91 1.37 CoupaSoftware COUP 135.03 3.31 GeneralElec GE 9.38 0.04 Pegasystems PEGA 71.03 0.03 TD Ameritrade AMTD 49.89 0.15 US Bancorp USB 55.86 -0.22 WillisTowers WLTW 195.01 0.31
BeyondMeat BYND 158.97 2.99 Credicorp BAP 216.61 1.16 LibertyGlobal B LBTYB 28.93 -0.07 Wipro WIT 3.67 -0.07
AbbottLabs ABT 83.36 -0.91
Bio-Techne TECH 200.13 -0.82 CreditAcceptance CACC 483.99 2.94
GeneralMills GIS 54.54 0.57
LibertyFormOne C FWONK 41.85 -0.49 PembinaPipeline PBA 36.93 -0.08 TE Connectivity TEL 95.10 -1.59 UnitedTech UTX 138.08 0.02 Wix.com WIX 123.96 0.15
AbbVie ABBV 70.58 0.07 GeneralMotors GM 37.21 -1.65 LibertyFormOne A FWONA 39.89 -0.37 Pentair PNR 37.66 -0.18 Telus TU 36.30 -0.13 UnitedHealth UNH 234.43 0.82 Woodward
Abiomed ABMD 190.54 4.13 Bio-RadLab A BIO 334.15 -0.34 CreditSuisse CS 12.95 -0.17 WWD 107.52 -0.06
Genesee&Wyoming GWR 110.61 0.01 LibertySirius A LSXMA 41.53 -0.31 People'sUtdFin PBCT 16.30 -0.02 TIM Part TSU 14.56 -0.02 UnivDisplay OLED 177.96 -2.77 WooriFin
Accenture ACN 194.16 -0.46 Biogen BIIB 236.12 -0.51 CrowdStrike CRWD 67.86 3.00 WF 31.76 0.17
Genmab GMAB 20.10 0.04 LibertySirius C LSXMK 41.88 -0.28 PepsiCo PEP 134.88 -1.56 TJX TJX 55.43 -1.15 UniversalHealthB UHS 153.89 1.37 Workday
ActivisionBliz ATVI 55.78 -0.17 BioMarinPharm BMRN 74.21 1.56 CrownCastle CCI 137.96 1.52 WDAY 173.00 5.41
Genpact G 39.40 0.11 LibertyProperty LPT 51.38 0.63 PerkinElmer PKI 86.23 -0.44 T-MobileUS TMUS 79.56 0.16 UnumGroup UNM 29.73 -0.04
Adobe ADBE 282.93 4.58 BlackKnight BKI 61.51 -0.21 CrownHoldings CCK 63.08 -0.52 WW Ent WWE 74.12 1.80
BlackRock BLK 435.71 -7.25 Ctrip.com CTRP 35.63 -0.38
Gentex GNTX 27.48 -0.58 EliLilly LLY 110.13 -0.76 Perrigo PRGO 56.70 0.74 TRowePrice TROW 116.85 -2.09 VEREIT VER 9.74 0.16 WynnResorts WYNN 116.60 -0.86
AdvanceAuto AAP 156.07 -0.93 GenuineParts GPC 97.89 -0.79 LincolnNational LNC 61.25 -0.42 PetroChina PTR 55.16 2.08 TaiwanSemi TSM 44.60 -0.14 VF
s Blackstone BX 53.52 -0.03 CubeSmart CUBE 35.11 0.21
VFC 88.42 -1.88 XPO Logistics XPO 74.56 -0.18
AdvMicroDevices AMD 30.83 0.14 Gildan GIL 36.28 -1.20 Linde PetroleoBrasil PBR 15.08 0.54 TakeTwoSoftware TTWO 128.63 3.53
bluebirdbio BLUE 106.86 2.01 Cullen/Frost CFR 91.05 0.60 LIN 188.52 -3.64 VICI Prop VICI 22.10 0.34 XcelEnergy XEL 62.83 0.22
Aegon AEG 4.24 -0.06 GileadSciences GILD 65.88 -0.64 LiveNationEnt LYV 69.23 -1.06 PetroleoBrasilA PBR.A 13.63 0.54 TakedaPharm TAK 17.33 -0.05 VailResorts MTN 233.99 -4.52
AerCap AER 55.59 -0.90 Boeing BA 378.85 -0.91 Cummins CMI 163.70 -1.41 Xerox XRX 31.06 0.24
s BookingHldgs BKNG 2072.95 9.05 CurtissWright CW 133.33 0.85
GSK GSK 40.60 -0.29 LloydsBanking LYG 2.67 -0.01 Pfizer PFE 36.83 -0.08 Tapestry TPR 25.51 0.33 Vale VALE 11.87 -0.28 Xilinx XLNX 104.39 -0.85
AgilentTechs A 77.15 -0.75 GlobalPayments GPN 166.08 -1.44 s LockheedMartin LMT 392.66 7.80 PhilipMorris PM 72.60 -0.45 TargaResources TRGP 43.27 3.37 ValeroEnergy VLO 82.39 -3.14
AgnicoEagle AEM 55.86 0.63 BoozAllen BAH 70.30 0.82 s CypressSemi CY 23.36 0.02 Xylem XYL 78.06 -0.61
BorgWarner BWA 39.49 -0.51 CyrusOne CONE 74.78 1.13
GlobeLife GL 93.72 -1.63 Loews L 51.01 0.21 Phillips66 PSX 104.03 1.26 Target TGT 106.96 -1.03 VarianMed VAR 117.21 -0.18 Yandex YNDX 38.03 0.15
AirProducts APD 215.24 -7.00 GoDaddy GDDY 66.62 0.44 LogitechIntl LOGI 41.73 -0.21 PilgrimPride PPC 30.91 0.09 TechnipFMC FTI
BostonProps BXP 132.03 0.63 25.76 0.26 Vedanta VEDL 8.37 -0.07 YumBrands YUM 110.54 -0.82
AkamaiTech AKAM 89.43 -0.98
BostonSci BSX 41.94 0.13 D E F GoldmanSachs GS 217.22 -2.68 Lowe's LOW 112.63 -0.73 Pinduoduo PDD 34.73 -1.17 TeckRscsB TECK 18.75 -0.35 VeevaSystems VEEV 146.15 6.33 YumChina YUMC 46.53 -0.07
AlaskaAir ALK 64.66 -1.21
BrightHorizons BFAM 157.92 2.52
Graco GGG 46.01 -0.64 lululemon LULU 193.70 -1.48 PinnacleWest PNW 93.49 0.41 TeledyneTech TDY 319.17 4.41 Ventas VTR 70.86 0.88 ZTO Express ZTO 20.92 -0.33
Albemarle ALB 68.84 -0.44 Grainger GWW 295.81 0.25 Lyft Pinterest PINS 29.26 0.22
Alcon ALC 59.46 0.01 Bristol-Myers BMY 49.47 0.04 DISH Network DISH 36.08 0.82
GrubHub
LYFT 47.79 1.69
GRUB 65.91 -0.49 LyondellBasell LYB 89.67 3.40 PioneerNatRscs PXD 144.24 8.81 Ericsson
Teleflex TFX 329.13 -2.02 VeriSign VRSN 189.55 0.81 ZayoGroup ZAYO 33.84 0.04
AlexandriaRlEst ARE 153.16 1.64 BritishAmTob BTI 36.01 -0.75 DTE Energy DTE 130.05 1.62 ERIC 8.02 -0.01 VeriskAnalytics VRSK 156.52 0.76 ZebraTech ZBRA 202.78 -2.38
GrupoTelevisa TV 9.96 0.17 PlainsAllAmPipe PAA 22.07 0.50 TelefonicaBras VIV 12.84 0.12 Verizon
AlexionPharm ALXN 108.54 1.14 BrixmorProp BRX 19.64 0.07 DXC Tech DXC 33.25 0.55 VZ 59.50 -0.46 Zendesk ZEN 74.46 1.00
Alibaba BABA 177.07 -2.10 Broadcom AVGO 288.66 -1.66 Danaher DHR 140.65 -0.37 GuardantHealth GH 74.98 -2.52 M N Pool POOL 186.28 -3.72 Telefonica TEF 7.42 ... VersumMaterials VSM 52.12 -0.05 Zillow A ZG 32.26 0.33
Guidewire GWRE 106.62 0.72 PostHoldings POST 108.80 2.37 TelekmIndonesia TLK 30.04 0.26 VertxPharm VRTX 177.55 2.61 Zillow C
AlignTech ALGN 179.37 1.90 BroadridgeFinl BR 124.86 0.84 Darden DRI 126.91 -0.43
HCA Healthcare HCA 128.95 -0.12 M&T Bank MTB 159.61 1.17 PrincipalFin PFG 56.92 -0.91 Tenaris
Z 32.32 0.39
Alleghany Y 764.27 -7.30 BrookfieldMgt BAM 52.79 -0.84 DaVita DVA 63.28 1.42
HCP HCP 34.10 0.36 s MDU Rscs MDU 28.21 0.10 Procter&Gamble PG 119.75 -2.37 Teradyne
TS 23.11 0.54 Viacom A VIA 28.33 0.22 ZimmerBiomet ZBH 137.66 -1.13
Allegion ALLE 102.13 -0.11 BrookfieldInfr BIP 47.35 -0.09 Deere DE 164.59 -0.83 TER 57.94 0.10 Viacom B VIAB 26.17 0.13 ZionsBancorp ZION 45.18 0.41
HDFC Bank HDB 103.85 -1.12 MGM Resorts MGM 29.69 0.62 Progressive PGR 73.40 0.72 Tesla
Allergan AGN 165.56 -0.58 Brown&Brown BRO 35.83 -0.15 DellTechC DELL 54.10 0.59
HD Supply HDS 39.60 0.10 MPLX MPLX 29.18 0.15 Prologis
TSLA 242.81 -2.39 Vipshop
PLD 85.22 1.03 TevaPharm TEVA 8.04 0.10 Visa
VIPS 9.45 -0.23 Zoetis ZTS 119.64 -1.38
Brown-Forman A BF.A 61.84 0.01 DeltaAir DAL 59.07 -0.94 V 176.11 -1.16 ZoomVideo ZM 80.67 1.82
AllianceData ADS 132.95 -0.78 HP HPQ 18.87 -0.21 MSCI MSCI 230.00 0.36 Proofpoint PFPT 127.98 2.23 TexasInstruments TXN 128.36 -1.25 VistraEnergy VST 26.56 0.31 Zscaler
AlliantEnergy LNT 51.93 0.28 Brown-Forman B BF.B 64.18 -0.03 DentsplySirona XRAY 51.42 -0.47
HSBC HSBC 38.39 -0.75 MadisonSquGarden MSG 270.92 2.28 PrudentialFin PRU 89.10 -0.72
ZS 47.62 0.14
Bruker BRKR 42.86 -0.57 DeutscheBank DB 8.23 -0.22
AllisonTransm ALSN 47.26 -0.24 Haemonetic HAE 125.94 0.68 MagellanMid MMP 66.28 0.81 Prudential PUK 36.89 -1.13
Allstate ALL 106.38 0.57 BuckeyePtrs BPL 41.01 -0.08 DevonEnergy DVN 28.12 3.05
Halliburton HAL 22.49 2.22 MagnaIntl MGA 53.83 -0.09 PublicServiceEnt PEG 60.80 ...
57.82 0.99 DexCom DXCM 148.68 2.42
AllyFinancial ALLY 34.77 -0.21
AlnylamPharm ALNY 84.77 1.08
Bunge BG
BurlingtonStrs BURL 192.27 -2.04 Diageo DEO 161.41 -1.83 Hanesbrands HBI 15.63 -0.20 ManulifeFin MFC 18.23 0.02 PublicStorage PSA 247.35 3.90
HarleyDavidson HOG 36.14 -0.14 MarathonOil MRO 14.17 1.47 PulteGroup PHM 35.20 -0.05
Exchange-Traded Portfolios | WSJ.com/ETFresearch
Alphabet C GOOG 1231.30 -8.26 CBRE Group CBRE 54.12 0.12 DiamondbkEner FANG 105.04 8.31
HartfordFinl HIG 60.03 -0.29 MarathonPetrol MPC 52.41 -0.88 Qiagen QGEN 34.01 -0.03
Alphabet A GOOGL 1231.63 -8.40 CBS A CBS.A 46.77 0.40 DigitalRealty DLR 126.39 2.07
Hasbro HAS 119.07 -0.71 Markel MKL 1175.58 10.74 Qorvo QRVO 77.22 -0.29
Altaba AABA 70.22 0.17 CBS B CBS 44.05 0.23 DiscoverFinSvcs DFS 83.59 -1.19
HealthcareAmer HTA 28.16 0.51 MarketAxess MKTX 334.35 4.06 Qualcomm QCOM 78.04 -0.37
Largest 100 exchange-traded funds, latest session
Alteryx AYX 113.89 1.72 CDK Global CDK 46.86 0.56 DiscoveryB DISCB 31.56 -1.24
Heico A HEI.A 100.13 2.11 Marriott MAR 130.48 -3.51 QuestDiag DGX 105.67 1.27
AlticeUSA ATUS 29.60 0.20 CDW CDW 113.00 1.29 DiscoveryA DISCA 27.97 0.08 Monday, September 16, 2019 Closing Chg YTD
Heico HEI 127.98 2.34 Marsh&McLen MMC 100.03 0.19
t Altria MO 41.41 -0.60 CF Industries CF 51.34 1.43 DiscoveryC DISCK 26.32 0.02
R S ETF Symbol Price (%) (%)
HenrySchein HSIC 65.12 0.80 MartinMarietta MLM 263.19 -0.85 Closing Chg YTD
Amazon.com AMZN 1807.84 -31.50 CGI GIB 77.36 -0.27 Disney DIS 135.80 -2.22
MarvellTech MRVL 25.40 -0.46 ETF Symbol Price (%) (%) iShShortTreaBd SHV 110.52 ... 0.2
DocuSign DOCU 61.88 -0.61 Herbalife HLF 42.34 0.46
Ambev ABEV 4.69 0.03 CH Robinson CHRW 85.29 -1.81
Hershey HSY 148.04 -0.53 Masco MAS 42.72 -0.48 RELX RELX 22.87 -0.30
iShTIPSBondETF TIP 115.83 0.60 5.8
CME Group CME 207.00 1.20 DolbyLab DLB 64.47 -0.13 RPM 67.21 -2.12 AlerianMLPETF AMLP 9.44 0.75 8.1
Amcor AMCR 9.67 -0.55 Hess HES 70.29 7.07 Masimo MASI 150.26 -0.75 RPM iSh1-3YTreasuryBd SHY 84.57 0.08 1.1
CMS Energy CMS 61.46 0.19 DollarGeneral DG 153.17 -4.61 RalphLauren RL 103.15 0.89 CnsmrDiscSelSector XLY 121.84 –1.28 23.1
Amdocs DOX 66.27 0.06 HewlettPackard HPE 15.12 -0.20 Mastercard MA 274.08 -2.24 iSh7-10YTreasuryBd IEF 110.98 0.43 6.5
s CNA Fin CNA 49.53 0.30 DollarTree DLTR 109.56 -3.30 RaymondJames RJF 87.35 0.24 CnsStapleSelSector XLP 60.45 –0.97 19.0
Amerco UHAL 385.55 5.72 Hexcel HXL 82.39 0.61 MatchGroup MTCH 76.61 1.68 iSh20+YTreasuryBd TLT 138.28 1.27 13.8
CNH Indl CNHI 11.14 -0.06 DominionEner D 78.49 -0.03 Raytheon RTN 204.06 5.34 EnSelectSectorSPDR XLE 63.13 3.36 10.1
Ameren AEE 77.17 0.57 Hill-Rom HRC 103.61 -1.51 MaximIntProducts MXIM 59.00 -0.59 iShRussellMCGrowth IWP 143.35 0.08 26.1
CNOOC CEO 164.16 12.62 Domino's DPZ 244.79 -0.26 RealPage RP 62.24 0.83 FinSelSectorSPDR XLF 28.39 –0.35 19.2
AmericaMovil AMX 14.57 -0.15 Hilton HLT 93.66 -2.39 McCormick MKC 158.28 1.16 iShUSTreasuryBdETF GOVT 26.01 0.31 5.5
AmerAirlines AAL 27.77 -2.18 CPFLEnergia CPL 15.40 -0.03 Donaldson DCI 52.78 -0.36 RealtyIncome O 73.97 1.34 HealthCareSelSect XLV 91.31 –0.22 5.5
HollyFrontier HFC 53.78 2.40 McDonalds MCD 207.40 -2.41 IndSelSectorSPDR XLI –0.09
JPM UltShtIncm JPST 50.45 0.02 0.6
AmCampus ACC 46.91 -0.39 CRH CRH 34.26 -0.95 DouglasEmmett DEI 42.01 ...
McKesson MCK 144.16 0.63 RegencyCtrs REG 68.23 0.17 79.28 23.1
PIMCOEnhShMaturity MINT 101.64 0.02 0.7
Hologic HOLX 49.45 -0.27 QQQ 191.68 –0.45 24.3
AEP AEP 91.71 0.17 CSX CSX 72.39 -0.08 Dover DOV 99.25 -0.42 RegenPharm REGN 285.89 4.27 InvscQQQI
HomeDepot HD 230.99 -2.99 MedicalProp MPW 18.81 0.35 0.07 20.1
SPDR BlmBarcHYBd JNK 109.11 0.32 8.3
AmerExpress AXP 117.64 -1.56 CVS Health CVS 63.43 -0.63 Dow DOW 49.01 0.81 RegionsFin RF 16.44 0.09 InvscS&P500EW RSP 109.77
HondaMotor HMC 27.01 -0.09 MedidataSolutions MDSO 91.71 -0.01 SPDRBloomBar1-3MTB BIL 91.50 ... 0.0
AmericanFin AFG 108.08 1.52 CableOne CABO 1238.81 -15.76 DrReddy'sLab RDY 38.37 -0.41
MDT 109.05 -0.62 ReinsGrp RGA 158.70 -0.91 InvscS&P500LowVol SPLV 56.94 –0.02 22.1
Honeywell HON 166.21 -1.50 Medtronic iShCoreMSCIEAFE IEFA 61.25 –0.83 11.4
SPDR Gold GLD 141.32 0.83 16.6
AmHomes4Rent AMH 24.78 0.41 CabotOil COG 18.15 -0.66 Dropbox DBX 20.40 0.34 RelianceSteel RS 102.56 -0.84
HormelFoods HRL 42.83 -0.15 MelcoResorts MLCO 21.57 -0.12 iShCoreMSCIEmgMk IEMG –0.73
SchwabIntEquity SCHF 31.94 –0.75 12.7
AIG AIG 56.32 -0.65 CadenceDesign CDNS 65.73 0.19 DukeEnergy DUK 93.12 -0.78 RenaissanceRe RNR 185.48 -0.98 50.31 6.7
DR Horton DHI 49.03 -0.46 MellanoxTech MLNX 111.22 -0.22 IXUS 58.21 –0.65 10.8
SchwabUS BrdMkt SCHB 72.03 –0.22 20.2
AmerTowerREIT AMT 216.77 1.40 CAE CAE 25.15 0.10 DukeRealty DRE 32.93 0.67 RepublicSvcs RSG 84.89 -0.25 iShCoreMSCITotInt
HostHotels HST 17.41 0.09 MercadoLibre MELI 554.05 -12.78 IVV 301.98 –0.29 20.0
SchwabUS Div SCHD 55.31 –0.61 17.8
AmerWaterWorks AWK 120.98 -0.24 CaesarsEnt CZR 11.92 0.02 Dunkin' DNKN 80.07 -0.40 Merck MRK 82.03 -0.58 ResMed RMD 130.71 -1.48 iShCoreS&P500 SchwabUS LC SCHX 71.81 –0.24 20.3
HowardHughes HHC 130.71 0.45 0.09 18.5
AmericoldRealty COLD 36.15 0.89 CamdenProperty CPT 109.48 1.70 DuPont DD 72.14 -1.40
Huazhu HTHT 36.14 -0.60 MetLife MET 47.55 -0.82 RestaurantBrands QSR 71.48 -0.63 iShCoreS&P MC IJH 196.86
SPDR DJIA Tr DIA 271.17 –0.52 16.3
Ameriprise AMP 147.43 ... CampbellSoup CPB 46.74 0.46 Dynatrace DT 20.04 -0.98 RingCentral RNG 126.37 -0.78 iShCoreS&P SC IJR 80.67 0.34 16.4
Hubbell HUBB 133.52 -4.36 MettlerToledo MTD 711.65 -1.35 SPDR S&PMdCpTr MDY 358.92 0.11 18.6
AmerisourceBrgn ABC 83.79 0.37 CIBC CM 82.51 0.53 ENI E 31.42 0.37 RioTinto RIO 53.65 -1.20 iShS&PTotlUSStkMkt ITOT 68.11 –0.10 20.0
85.64 6.25 HubSpot HUBS 163.50 -0.61 MicrochipTech MCHP 94.45 -0.55 0.27
SPDR S&P 500 SPY 300.16 –0.31 20.1
Ametek AME 90.86 0.16 CanNtlRlwy CNI 91.35 -0.76 EOG Rscs EOG 50.15 -0.35 RobertHalf RHI 57.12 0.36 iShCoreUSAggBd AGG 112.05 5.2
Humana HUM 278.28 3.59 MicronTech MU DVY 102.93 –0.12 15.3
SPDR S&P Div SDY 103.09 –0.57 15.2
Amgen AMGN 194.08 -1.39 CanNaturalRes CNQ 28.66 3.32 EPAM Systems EPAM 180.95 2.03 MSFT 136.33 -0.99 Rockwell ROK 165.80 -0.95 iShSelectDividend
JBHunt JBHT 115.00 0.04 Microsoft TechSelectSector XLK 80.96 –0.25 30.6
Amphenol APH 95.05 0.59 CanPacRlwy CP 231.50 2.90 EPR Prop EPR 76.51 1.05 RogersComm B RCI 50.49 -0.25 iShEdgeMSCIMinEAFE EFAV 72.66 –0.66 9.0
HuntingtonBcshs HBAN 14.62 0.02 MidAmApt MAA 128.06 1.10 iShEdgeMSCIMinUSA –0.19
UtilitiesSelSector XLU 62.99 0.08 19.0
AnalogDevices ADI 115.26 -1.26 Canon CAJ 27.14 -0.09 EQM Midstream EQM 31.70 0.65 Roku ROKU 149.54 1.99 USMV 63.71 21.6
2.44 29.4
HuntingIngalls HII 222.66 4.35 Middleby MIDD 120.15 -0.27
ROL 34.64 0.10 iShEdgeMSCIUSAMom MTUM 119.55 –0.46 19.3
VanEckGoldMiner GDX 27.29
Anaplan PLAN 48.70 2.43 CanopyGrowth CGC 27.76 0.30 E*TRADE ETFC 45.86 0.55 MitsubishiUFJ MUFG 5.24 -0.05 Rollins VangdInfoTech VGT 217.33 –0.10 30.3
HyattHotels H 75.97 -1.31
ROP 356.73 -2.82 iShEdgeMSCIUSAQual QUAL 92.97 –0.45 21.1
AngloGoldAsh AU CapitalOne COF 94.34 0.72 EXACT Sci EXAS 104.41 -2.30 MFG 3.12 -0.04 RoperTech 0.18 15.2
19.20 0.36 IAA IAA 44.32 -0.47 MizuhoFin RossStores ROST 107.59 -1.54 iShFloatingRateBd 0.03
VangdSC Val VBR 131.41
AB InBev BUD 95.74 -0.66 CardinalHealth CAH 48.91 0.69 EastWestBncp EWBC 45.95 -0.13 MobileTeleSys MBT 8.39 0.17 FLOT 50.92 1.1 VangdSC Grwth VBK 188.29 0.55 25.0
EastmanChem EMN 74.29 -1.18 IAC/InterActive IAC 229.23 1.84 RoyalBkCanada RY 79.50 0.17 iShGoldTr IAU 14.34 0.84 16.7
AnnalyCap Carlisle CSL 143.34 -5.95 VIG 119.80 –0.72 22.3
NLY 8.68 0.02 ICICI Bank IBN 11.14 -0.33 MohawkInds MHK 122.45 -3.20 RoyalBkScotland RBS 5.16 -0.06 iShiBoxx$InvGrCpBd LQD 125.31 0.51 11.1
VangdDivApp
Anthem ANTM 258.58 5.50 CarMax KMX 84.26 -2.49 Eaton ETN 86.46 -1.01 MolinaHealthcare MOH 115.93 0.97 VangdFTSEDevMk VEA 41.47 –0.72 11.8
IdexxLab IDXX 265.64 0.17 0.36
Aon Carnival CCL 48.92 -1.63 eBay EBAY 40.30 -0.07 RoyalCaribbean RCL 113.93 -0.90 iShiBoxx$HYCpBd HYG 87.47 7.9 VWO 41.85 –0.81 9.8
AON 191.12 0.24 IHS Markit INFO 68.15 0.29 MolsonCoors B TAP 57.55 0.38 RoyalDutchA RDS.A 57.99 1.12 iShJPMUSDEmgBd 0.43
VangdFTSE EM
APA 28.45 4.11 Carnival CUK 47.06 -1.40 Ecolab ECL 192.11 -6.32 EMB 113.09 8.8 VGK 54.04 –0.93 11.1
Apache ING Groep ING 10.67 -0.18 Momo MOMO 35.50 -0.01
0.21
VangdFTSE Europe
ApartmtInv AIV 51.57 0.80 CaseysGenStores CASY 163.81 -7.17 Ecopetrol EC 17.97 0.78 Mondelez MDLZ 54.05 -0.03 RoyalDutchB RDS.B 58.34 1.14 iShMBSETF MBB 107.93 3.1 VangdFTSEAWxUS VEU 50.58 –0.80 11.0
Invesco IVZ 17.23 -0.17 ACWI 74.35 –0.42 15.9
ApolloGlbMgmt APO 40.56 0.38 Catalent CTLT 50.58 -0.77 EdisonInt EIX 71.48 -0.45 MDB 132.00 8.71 RoyalGold RGLD 121.65 0.53 iShMSCI ACWI VangdGrowth VUG 167.81 –0.25 24.9
IPG Photonics IPGP 145.46 -0.88 MongoDB iShMSCIBrazil 0.17
Apple AAPL 219.90 1.15 Caterpillar CAT 133.15 -0.63 EdwardsLife EW 215.09 -4.41 Ryanair RYAAY 62.90 -0.53 EWZ 42.35 10.9 VangdHlthCr VHT 170.98 –0.06 6.5
IQVIA IQV 150.84 -0.51 MonolithicPower MPWR 160.30 -1.25 EFA 65.35 –0.89 11.2
ApplMaterials AMAT 50.92 -0.43 Celanese CE 124.45 -1.04 ElancoAnimal ELAN 28.32 -0.36 SAP SAP 117.51 -1.45 iShMSCI EAFE VangdHiDiv VYM 89.32 –0.45 14.5
IcahnEnterprises IEP 67.57 -0.31 MonsterBev MNST 59.23 0.37 –0.59
Aptargroup ATR 116.48 -1.92 Celgene CELG 98.38 -0.02 Elastic ESTC 91.65 -2.10 S&P Global SPGI 249.50 -0.57 iShMSCI EAFE SC SCZ 57.33 10.6 VangdIntermBd BIV 87.02 0.35 7.0
Icon ICLR 150.44 0.52 Moody's MCO 213.33 1.05
Aptiv APTV 89.59 -0.59 Cemex CX 3.92 -0.03 ElbitSystems ESLT 157.74 0.31
IDEX IEX 171.53 0.65 MorganStanley MS 44.75 -0.41 SBA Comm SBAC 246.29 2.78 iShMSCIEmgMarkets EEM 41.91 –0.78 7.3 VangdIntrCorpBd VCIT 90.22 0.31 8.9
AquaAmerica WTR 43.34 -0.23 s CenovusEnergy CVE 10.52 1.17 ElectronicArts EA 99.12 0.64 Morningstar MORN 154.85 -0.25 SEI Investments SEIC 60.59 -0.04 iShMSCIJapan EWJ 56.57 –0.53 11.6 VangdLC VV 137.29 –0.22 19.5
IllinoisToolWks ITW 156.79 -2.98 –0.16
Aramark ARMK 42.90 0.21 Centene CNC 46.12 0.72 EmersonElec EMR 65.66 0.11 SK Telecom SKM 22.40 -0.13 iShNatlMuniBd MUB 113.19 3.8 VangdMC VO 169.24 0.32 22.5
Illumina ILMN 300.89 -0.02 Mosaic MOS 22.97 0.32
0.38
ArcelorMittal MT 16.80 -0.28 CenterPointEner CNP 30.34 0.49 Enbridge ENB 35.16 0.26 SLGreenRealty SLG 81.98 0.01 iShPfd&Incm PFF 37.05 8.2 VangdMC Val VOE 113.81 0.13 19.5
ECA 5.54 0.79 ImperialOil IMO 27.41 0.83 MotorolaSol MSI 166.03 -1.01 SS&C Tech SSNC 52.53 0.15 iShRussell1000Gwth IWF 161.27 –0.33 23.2
ArchCapital ACGL 40.56 0.08 CentraisElBras EBR 10.65 0.10 Encana VangdMBS VMBS 53.07 0.21 3.1
Incyte INCY 78.34 1.91 Mylan MYL 21.80 0.11
IWB 166.55 –0.22 20.1
ArcherDaniels ADM 41.96 0.33 CenturyLink CTL 12.88 -0.02 EncompassHealth EHC 64.68 0.89 NICE NICE 148.11 1.18 StoreCapital STOR 36.68 0.61 iShRussell1000 VangdRealEst VNQ 92.44 0.87 24.0
Infosys INFY 11.76 -0.01 IWD 130.12 –0.10 17.2
s Arconic ARNC 27.20 0.11 CeridianHCM CDAY 51.89 0.10 EnelAmericas ENIA 8.98 0.02 NRG Energy NRG 39.03 0.53 SVB Fin SIVB 221.36 -2.65 iShRussell1000Val VangdS&P500ETF VOO 275.67 –0.33 20.0
Ingersoll-Rand IR 123.93 -0.39
0.24 20.3
AristaNetworks ANET 244.19 0.43 Cerner CERN 67.76 -0.09 EnelChile ENIC 4.53 0.05 NVR 3576.34 -48.47 Sabre SABR 23.06 -0.46 iShRussell2000Gwth IWO 202.14 VangdST Bond BSV 80.50 0.14 2.5
Insulet PODD 143.10 -0.14 NVR 0.38 17.9
ArrowElec ARW 76.09 -0.53 CharlesRiverLabs CRL 134.30 2.05 EnergyTransfer ET 13.43 -0.59 NXPI 107.57 -3.16 SageTherap SAGE 165.35 5.56 iShRussell2000 IWM 157.90 VangdSTCpBd VCSH 80.63 0.12 3.5
Entegris ENTG 47.27 0.16
Intel INTC 52.20 -0.34 NXP Semi Salesforce.com CRM iShRussell2000Val IWN 123.96 0.45 15.3
AspenTech AZPN 125.20 2.66 CharterComms CHTR 423.25 -2.27 153.01 0.03 VangdSC VB 158.01 0.37 19.7
ICE ICE 91.88 1.05 Nasdaq NDAQ 99.28 -0.24
Assurant AIZ 125.60 0.60 CheckPoint CHKP 111.01 -0.87 Entergy ETR 113.53 0.01 NationalGrid NGG 51.73 0.29 Sanofi SNY 43.60 -0.11 iShRussell3000 IWV 176.20 –0.16 19.9 VangdTotalBd BND 83.52 0.26 5.4
InterContinentl IHG 61.60 -1.01 0.23 22.2
AstraZeneca AZN 42.51 -0.26 Chemed CHE 419.98 -1.75 EnterpriseProd EPD 28.88 0.35 SantanderCons SC 26.26 0.31 iShRussellMid-Cap IWR 56.80 VangdTotIntlBd BNDX 58.32 0.28 7.5
IBM IBM 142.48 -1.19 NatlInstruments NATI 44.01 -0.18 SareptaTherap SRPT 87.02 1.02 iShRussellMCValue 0.36
Athene ATH 42.83 0.28 CheniereEnergy LNG 65.83 0.38 Equifax EFX 139.98 -1.32 IWS 91.13 19.4 VangdTotIntlStk VXUS 52.31 –0.80 10.8
IntlFlavors IFF 122.03 -5.27 NatlOilwell NOV 23.39 0.58
Atlassian TEAM 130.39 3.20 s CheniereEnerPtrs CQP 48.19 1.51 Equinix EQIX 549.93 13.13 NatlRetailProp NNN 53.67 0.62 Sasol SSL 20.73 1.78 iShS&P500Growth IVW 181.81 –0.36 20.7 VangdTotalStk VTI 152.46 –0.20 19.5
IntlPaper IP 42.48 -0.30
IVE 120.64 –0.20 19.3
AtmosEnergy ATO 110.11 0.38 Chevron CVX 124.12 2.62 Equinor EQNR 20.36 0.93 NetApp NTAP 56.84 0.27 Schlumberger SLB 39.31 1.98 iShS&P500Value VangdTotlWrld VT 75.89 –0.37 15.9
Interpublic IPG 21.41 0.22
AuroraCannabis ACB 5.45 -0.50 Chewy CHWY 30.43 0.95 EquityLife ELS 132.12 1.93 NTES 270.38 -4.89 SchwabC SCHW 43.60 -0.02 iShShortCpBd IGSB 53.41 0.17 3.4 VangdValue VTV 112.20 –0.27 14.5
InterXion INXN 76.59 0.18 Netease
Autodesk ADSK 153.87 0.39 ChinaLifeIns LFC 12.39 -0.30 EquityResdntl EQR 85.05 0.50 NFLX 294.29 0.14 ScottsMiracleGro SMG 101.52 -0.41
Intuit INTU 265.82 0.60 Netflix
Autohome ATHM 93.87 -5.77 ChinaMobile CHL 42.49 -0.27 ErieIndemnity A ERIE 206.20 0.38 NBIX 97.80 1.39 Sea SE 30.92 -0.11
IntuitiveSurgical ISRG 523.64 0.42 Neurocrine
Autoliv ALV 79.41 -0.27 ChinaPetrol SNP 63.98 1.12 EssexProp ESS 324.30 1.67 NewOrientalEduc EDU 110.11 -0.35 Seagate STX 55.70 -0.45
InvitatHomes INVH 28.19 0.34
ADP ChinaTelecom CHA 46.72 -0.31 EsteeLauder EL 192.55 -2.27 ... SealedAir SEE 40.33 -2.07
ADP 158.17 -1.57 IonisPharma IONS 65.13 -1.07 NewResidInvt NRZ 15.11
AutoZone AZO 1130.66 -18.60 ChinaUnicom CHU 10.70 -0.10 Etsy ETSY 57.84 0.98
iQIYI IQ 18.84 -0.91
NY CmntyBcp NYCB 12.84 -0.04 SeattleGenetics SGEN 71.11 0.48 Dividend Changes
Avalonbay AVB 209.90 2.79 Chipotle CMG 799.87 12.01 EuronetWorldwide EEFT 147.01 3.28 NewellBrands NWL 18.28 -0.18 SempraEnergy SRE 141.75 0.05
IronMountain IRM 32.28 -0.27
Avangrid AGR 50.84 0.03 Chubb CB 158.55 -0.42 EverestRe RE 254.95 -1.44
IsraelChemicals ICL 4.94 0.10
NewmontGold NEM 38.48 -0.14 SensataTechs ST 51.71 -0.43 Dividend announcements from September 16.
Avantor AVTR 15.30 0.37 ChunghwaTel CHT 35.71 -0.10 Evergy EVRG 64.14 -0.07 NewsCorp B NWS 14.48 -0.42 ServiceCorp SCI 47.09 -1.47
ItauUnibanco ITUB 8.54 -0.19
AveryDennison AVY 112.94 -3.61 Church&Dwight CHD 72.38 0.40 EversourceEner ES 82.44 0.06 NewsCorp A NWSA 14.08 -0.47 ServiceMaster SERV 55.39 -0.59 Amount Payable /
AxaltaCoating AXTA 31.31 -0.08 Ciena CIEN 41.29 1.41 Exelixis EXEL 19.30 0.06
J K L NextEraEnergy NEE 218.31 -0.18 ServiceNow NOW 261.15 9.19 Company Symbol Yld % New/Old Frq Record
BB&T BBT 52.92 -0.14 Cigna CI 165.50 4.65 Exelon EXC 47.38 0.11 NielsenHoldings NLSN 22.65 0.19 ShawComm B SJR 19.98 -0.03
BCE BCE 47.47 -0.42 CincinnatiFin CINF 112.78 -0.17 Expedia EXPE 131.28 -1.02 JD.com JD 30.85 -0.38 Nike NKE 87.27 -0.05 SherwinWilliams SHW 527.49 -14.03 Increased
BHP Group BHP 52.04 0.12 Cintas CTAS 247.46 0.78 ExpeditorsIntl EXPD 75.39 -0.83 JPMorganChase JPM 119.16 -1.07 NiSource NI 29.04 ... ShinhanFin SHG 36.19 0.03 Exantas Capital XAN 7.4 .25 /.225 Q Oct25 /Sep30
BHP Group BBL 45.38 -0.18 CiscoSystems CSCO 49.96 -0.07 ExtraSpaceSt EXR 117.12 1.00 JackHenry JKHY 146.11 0.90 NobleEnergy NBL 25.23 0.19 Shopify SHOP 337.93 -0.38 Innovative Ind Properties IIPR 3.4 .78 /.60 Q Oct15 /Sep30
BOK Fin BOKF 82.21 1.27 Citigroup C 69.83 -0.56 ExxonMobil XOM 73.73 1.09 JacobsEngg JEC 92.67 1.46 Nokia NOK 5.12 -0.06 SignatureBank SBNY 121.91 0.75 MGM Growth Properties MGP 6.2 .47 /.4675 Q Oct15 /Sep30
BP BP 39.35 1.48 CitizensFin CFG 36.96 0.13 F5Networks FFIV 140.61 0.78 JamesHardie JHX 16.09 -0.13 NomuraHoldings NMR 4.37 -0.04 SimonProperty SPG 154.39 0.46
BRF BRFS 9.19 -0.01 CitrixSystems CTXS 96.64 0.69 FMC FMC 91.09 0.04 JazzPharma JAZZ 134.01 2.60 Nordson NDSN 145.29 -0.97 SiriusXM SIRI 6.37 -0.02 Reduced
BWX Tech BWXT 59.86 0.06 Clorox CLX 153.77 -5.17 Facebook FB 186.22 -0.97 JefferiesFin JEF 20.21 -0.12 NorfolkSouthern NSC 182.28 0.09 SkechersUSA SKX 36.09 -0.78
Friedman Industries FRD 2.6 .02 /.04 Q Nov15 /Oct11
Baidu BIDU 110.98 0.44 Coca-Cola KO 53.96 -0.30 FactSet FDS 277.41 -0.05 J&J JNJ 129.54 -1.24 NorthernTrust NTRS 98.01 -0.93 Skyworks SWKS 81.98 -0.16
BakerHughes BHGE 23.81 1.09 Coca-Cola Euro CCEP 55.00 -0.78 FairIsaac FICO 309.91 0.57 JohnsonControls JCI 43.71 -0.33 NorthropGrum NOC 371.43 7.75 SlackTech WORK 26.10 1.61 Foreign
Ball BLL 72.20 -0.53 Cognex CGNX 49.85 -0.62 Fastenal FAST 33.46 -0.18 JonesLang JLL 140.52 -1.45 NorwegCruise NCLH 53.34 -1.34 SmithAO AOS 48.75 -1.49
AEGON 6.2996% Fltg Perp. AEB 4.3 .25278 Q Dec16 /Nov29
BancoBilbaoViz BBVA 5.26 -0.09 CognizantTech CTSH 63.99 -0.34 FederalRealty FRT 134.62 -0.43 JuniperNetworks JNPR 24.38 0.11 Novartis NVS 86.14 -0.85 Smith&Nephew SNN 46.63 -0.03
BancoBradesco BBDO 7.42 -0.26 ColgatePalm CL 69.43 -1.28 FedEx FDX 173.57 -0.53 KB Fin KB 37.42 0.30 NovoNordisk NVO 49.48 -0.02 Smucker SJM 107.18 0.67
Broadcom AVGO 3.7 2.65 Q Oct01 /Sep23
BancodeChile BCH 29.41 0.20 ColumbiaSportswr COLM 98.30 -0.62 Ferrari RACE 150.96 -1.64 KKR KKR 28.25 0.12 Novocure NVCR 79.03 -0.26 Snap SNAP 15.76 -0.24 Turkcell Iletisim ADR TKC 3.3 .20199 A Nov08 /Nov01
BancSanBrasil BSBR 10.79 -0.22 Comcast A CMCSA 46.27 -0.61 FiatChrysler FCAU 13.77 -0.11 KLA KLAC 151.19 0.87 Nucor NUE 53.16 -0.44 SnapOn SNA 162.05 -0.40
BcoSantChile BSAC 29.12 -0.07 Comerica CMA 66.50 0.90 FidNatlFin FNF 43.37 0.07 KT KT 11.63 0.08 Nutrien NTR 51.81 0.09 SolarWinds SWI 19.10 0.33 KEY: A: annual; M: monthly; Q: quarterly; r: revised; SA: semiannual; S2:1: stock split and ratio; SO:
BancoSantander SAN 4.10 -0.06 CommerceBcshrs CBSH 61.38 0.05 FidNatlInfo FIS 133.06 2.18 s KSCitySouthern KSU 132.75 -0.34 NVIDIA NVDA 180.21 -1.73 SonocoProducts SON 57.90 -1.39 spin-off.

New Highs and Lows | WSJ.com/newhighs Stock

52-Wk %
Sym Hi/Lo Chg Stock
52-Wk %
Sym Hi/Lo Chg Stock
52-Wk %
Sym Hi/Lo Chg Stock
52-Wk %
Sym Hi/Lo Chg Stock
52-Wk %
Sym Hi/Lo Chg Stock
52-Wk %
Sym Hi/Lo Chg Stock
52-Wk %
Sym Hi/Lo Chg
CapitalCityBank CCBG 27.24 0.3 EnlivexTherap ENLV 36.24 3.8 KimballIntl B KBAL 19.95 0.7 NewYorkMtgPfB NYMTP 25.07 ... SouthMountainUn SMMCU 10.25 0.3 ZealandPharma ZEAL 24.25 0.4 Greenlane GNLN 3.94 -14.2
The following explanations apply to the New York Stock Exchange, NYSE Arca, NYSE CarolinaTrBcshs CART 10.93 0.4 EverQuote EVER 25.22 10.6 KodiakSciences KOD 18.07 17.2 NicoletBankshares NCBS 69.82 1.3 SouthwestGas SWX 92.94 0.2 HeliusMedical HSDT 1.73 -9.4
American and Nasdaq Stock Market stocks that hit a new 52-week intraday high or low
in the latest session. % CHG-Daily percentage change from the previous trading session.
Cel-Sci CVM 9.40 13.0 FederalSignal FSS 34.12 ... KornitDigital KRNT 32.29 -0.4 NorthwestPipe NWPX 28.93 0.6 Spire SR 87.51 -0.9 Lows HollyEnergy HEP 24.84 -1.1
CenovusEnergy CVE 10.82 12.5 FirstFinBkshs FFIN 33.62 0.7 LSI Inds LYTS 5.09 2.3 NuSTAREnergy NS 30.06 4.1 Stereotaxis STXS 4.25 16.4 Iridex IRIX 1.84 -11.9
Altria MO 41.27 -1.4
CheniereEnerPtrs CQP 49.30 3.2 Freshpet FRPT 52.42 0.8 LegacyHousing LEGH 16.04 0.9 OFGBancorpPfD OFGpD 27.03 0.4 Sysco SYY 78.45 -1.4 MersanaTherap MRSN 1.72 2.2
Monday, September 16, 2019 AtlasFinNt2022 AFHBL 7.49 -6.3
ChinaIndex CIH 5.07 16.1 Funko FNKO 27.89 1.7 LockheedMartin LMT 394.60 2.0 OGE Energy OGE 44.52 1.0 TC PipeLines TCP 41.74 1.2 MicronSolutions MICR 2.02 -3.2
BIO-key BKYI 0.61 3.3
52-Wk % 52-Wk % 52-Wk % Cloudflare NET 19.55 3.5 GabelliGlSMidPfdA GGZpA 26.24 0.7 LoopIndustries LOOP 16.23 4.5 ONEOK OKE 77.21 1.8 TenzingAcqn TZACU 10.50 0.2
BionanoGenomWt BNGOW 0.21 -71.7 MyovantSciences MYOV 5.96 -3.2
Stock Sym Hi/Lo Chg Stock Sym Hi/Lo Chg Stock Sym Hi/Lo Chg Compugen CGEN 4.35 ... GreenBrickPtrs GRBK 10.42 0.2 MDU Rscs MDU 28.39 0.4 OwlRock ORCC 17.09 3.6 Toll Bros TOL 41.70 5.2
CHF Solutions CHFS 2.05 -16.1 NewRelic NEWR 50.00 -0.4
Arconic ARNC 27.37 0.4 ComstockRscs CRK 10.70 5.8 Griffon GFF 21.24 1.2 MasTec MTZ 66.50 3.4 PennsWoodsBncp PWOD 46.36 0.3 UltraClean UCTT 16.67 2.7
BallardPower BLDP 5.72 2.5 CannTrust CTST 1.49 -6.8 Reed's REED 1.61 -54.3
Highs ArmadaHoffler AHH 18.29 0.7 Blackstone BX 55.17 -0.1
Constellium CSTM
ConyersParkIIAcqn CPAAU
14.16
10.56
0.7
-0.4
Headhunter
HebronTech
HHR
HEBT
21.28
4.54
5.5
5.5
Medicines
Medpace
MDCO
MEDP
49.20
86.50
2.0
-1.4
Phillips66Ptrs PSXP
PowellIndustries POWL
59.75
40.94
1.0
3.1
UtdCmtyFnl
ValmontInds
UCFC
VMI
10.81
146.47
1.1
1.1 ChinaTechFaith CNTF 0.18 -10.1 SG Blocks SGBX 0.47 -2.0
AtkoreIntl ATKR 32.08 0.3 BookingHldgs BKNG 2081.81 0.4
ACADIA Pharm ACAD 44.85 8.8 Crawford A CRD.A 10.80 -0.4 IES Holdings IESC 20.95 0.4 MosaicAcqnA MOSC 10.37 0.5 RadaElectronic RADA 5.65 15.0 WashingtonFederal WAFD 38.26 0.5 CitiusPharm CTXR 0.82 -1.2 SpringWorks SWTX 20.89 4.9
AudioCodes AUDC 20.57 3.2
AMCI Acqn AMCI 10.04 0.4 Brady BRC 56.42 1.5 CitizensHolding CIZN 19.05 1.5 StealthBioTher MITO 6.43 -8.9
AvonProducts AVP 4.70 2.6 CrestwoodEquity CEQP 40.00 4.5 InMode INMD 29.38 -3.3 NACCO Inds NC 54.82 0.3 RichmondMutBncp RMBI 13.79 2.1 WaysideTech WSTG 16.10 4.1
AerojetRocket AJRD 52.80 1.2 BrighamMin MNRL 23.29 15.8 CypressEnergy CELP 9.00 -1.9 InvestorsRE PfdC IRETpC 26.40 2.3 NGL EnergyPfdB NGLpB 25.35 0.5 Seacor CKH 51.42 -0.2 WilliamLyonHomes WLH 20.34 4.4 DestinationXL DXLG 1.41 -2.0 TSR TSRI 3.84 -3.6
AxsomeTherap AXSM 29.79 8.6
AlbanyIntl AIN 90.08 -2.4 BRT Apartments BRT 14.76 1.3 CNA Fin CNA 49.68 0.6 CypressSemi CY 23.39 0.1 Iteris ITI 6.42 2.6 Natera NTRA 34.53 3.1 SPX SPXC 41.66 0.6 WorldFuelSvcs INT 42.14 2.4 EagleFinBncp EFBI 14.33 -10.2 TurningPoint TPB 24.65 -6.4
AlderBioPharm ALDR 18.88 83.9 B.Riley7.25%Nts RILYG 25.62 -0.2 CabotMicro CCMP 140.68 1.5 DHT DHT 6.36 -2.5 Itron ITRI 75.33 0.7 NatlGeneralPfdB NGHCO 25.25 0.3 SaulCentersPfdD BFSpD 27.42 1.4 Y-mAbsTherap YMAB 32.27 5.0 EntreeRscs EGI 0.21 -2.9 UTStarcom UTSI 2.43 -7.0
AlgonquinPwr AQN 13.51 1.1 B RileyFin RILY 23.97 1.9 CapitalBancorp CBNK 14.40 2.6 Dril-Quip DRQ 56.32 6.6 KSCitySouthern KSU 134.09 -0.3 Nephros NEPH 7.94 4.2 ScorpioTankers STNG 32.69 -3.3 YorkWater YORW 39.86 1.1 EstreAmbiental ESTR 0.58 4.9 ViveveMedical VIVE 0.08 -0.4

Mutual Funds Data provided by

Fund
Net YTD
NAV Chg %Ret Fund
Net YTD
NAV Chg %Ret Fund
Net YTD
NAV Chg %Ret Fund
Net YTD
NAV Chg %Ret Fund
Net YTD
NAV Chg %Ret Fund
Net YTD
NAV Chg %Ret Fund
Net YTD
NAV Chg %Ret
Edgewood Growth Instituti OTC 11.60 -0.05 25.0 DevMktY 42.69 -0.19 13.6 PIMCO Funds A 500Adml 277.84 -0.86 21.3 USGroAdml 107.14 -0.20 23.3 WndsrII 36.77 +0.01 19.4
Top 250 mutual-funds listings for Nasdaq-published share classes by net assets. EdgewoodGrInst 35.33 -0.02 22.7 Puritn 22.21 -0.03 14.2 JPMorgan I Class IncomeFd NA ... NA BalAdml 37.58 +0.01 15.8 ValAdml 43.77 -0.13 16.9 VANGUARD INDEX FDS
e-Ex-distribution. f-Previous day’s quotation. g-Footnotes x and s apply. j-Footnotes e Fidelity SrsEmrgMkt 18.92 -0.11 15.2 EqInc NA ... NA PIMCO Funds I2 CAITAdml 12.02 -0.02 5.5 WdsrllAdml 65.25 +0.03 19.5 MdCpVlAdml 58.96 +0.05 21.3
and s apply. k-Recalculated by Lipper, using updated data. p-Distribution costs apply, 500IdxInstPrem104.62 -0.32 21.4 SrsGroCoRetail 17.75 -0.02 25.6 JPMorgan R Class Income NA ... NA CapOpAdml r152.33 -0.56 15.4 WellsIAdml 65.29 +0.12 12.8 SmValAdml 56.46 +0.11 16.8
12b-1. r-Redemption charge may apply. s-Stock split or dividend. t-Footnotes p and r ExtMktIdxInstPre 63.15 +0.28 20.8 SrsIntlGrw 16.40 -0.17 22.4 CoreBond NA ... NA PIMCO Funds Instl EMAdmr 34.89 -0.05 10.8 WelltnAdml 73.44 -0.04 16.1 TotBd2 10.97 +0.03 7.4
apply. v-Footnotes x and e apply. x-Ex-dividend. z-Footnote x, e and s apply. NA-Not IntlIdxInstPrem 41.15 -0.35 13.5 SrsIntlVal 9.53 -0.06 10.8 CorePlusBd NA ... NA IncomeFd NA ... NA EqIncAdml 76.54 -0.18 17.5 WndsrAdml 73.10 +0.16 20.4 TotIntl 16.80 -0.09 12.3
available due to incomplete price, performance or cost data. NE-Not released by Lipper; MidCpInxInstPrem 22.89 +0.06 23.3 TotalBond 10.86 +0.04 8.4 Lord Abbett A Price Funds ExplrAdml 95.78 +0.15 23.2 VANGUARD FDS TotSt 74.21 -0.14 21.1
data under review. NN-Fund not tracked. NS-Fund didn’t exist at start of period. SAIUSLgCpIndxFd 16.10 -0.05 21.3 Fidelity SAI ShtDurIncmA p 4.21 +0.01 4.4 BlChip 116.60 -0.35 21.4 ExtndAdml 90.68 +0.40 20.8 DivdGro 30.20 -0.16 24.5 VANGUARD INSTL FDS
SerLTTreBdIdx 9.69 +0.12 15.8 TotalBd 10.62 +0.03 8.3 Lord Abbett F EqInc 32.07 ... 18.8 GNMAAdml 10.53 +0.01 4.9 INSTTRF2020 23.70 -0.01 12.7 BalInst 37.58 +0.01 15.8
SmCpIdxInstPrem 20.40 +0.09 18.8 First Eagle Funds ShtDurIncm 4.21 +0.01 4.5 EqIndex 80.16 -0.25 21.2 GrwthAdml 86.39 -0.23 26.0 INSTTRF2025 24.12 -0.02 13.9 DevMktsIndInst 13.34 -0.09 13.2
Monday, September 16, 2019 Lord Abbett I
TMktIdxInstPrem 85.22 -0.16 21.3 GlbA 58.87 -0.10 15.7 Growth 69.26 -0.18 21.3 HlthCareAdml r 81.82 -0.02 6.4 INSTTRF2030 24.36 -0.03 14.7 DevMktsInxInst 20.85 -0.14 13.1
Net YTD Net YTD Net YTD USBdIdxInstPrem 11.88 +0.04 7.4 FPA Funds ShtDurInc p 4.20 ... 4.3 HelSci 75.52 +0.35 12.7 HYCorAdml r 5.90 +0.01 13.0 INSTTRF2035 24.58 -0.05 15.4 ExtndInst 90.68 +0.41 20.8
Fund NAV Chg %Ret Fund NAV Chg %Ret Fund NAV Chg %Ret Metropolitan West
Fidelity Advisor I FPACres 33.50 -0.13 15.6 InstlCapG 42.49 -0.13 19.0 InfProAd 26.09 +0.13 7.0 INSTTRF2040 24.82 -0.05 16.1 GrwthInst 86.40 -0.22 26.0
American Century Inv AggBdInst 11.18 +0.04 8.1 EmMktCorEq 20.41 -0.01 6.8 Franklin A1 TotRetBd 10.98 +0.03 7.7
IntlStk 17.55 -0.14 17.2 IntlGrAdml 92.99 -0.96 17.4 InPrSeIn 10.63 +0.06 7.1
NwInsghtI 32.67 -0.08 21.0 INSTTRF2045 24.97 -0.06 16.6
Ultra 49.30 -0.23 21.9 CorBdInst 11.51 +0.03 8.5 IntlCoreEq 12.92 -0.07 12.3 TotRetBdI 10.98 +0.04 7.9 ITBondAdml 11.78 +0.04 9.1 InstIdx 272.62 -0.85 21.3
Fidelity Freedom CA TF A1 p 7.61 -0.01 7.6 MidCap 95.94 -0.02 25.6 INSTTRF2050 25.00 -0.07 16.6
American Funds Cl A BlackRock Funds IntSmCo 17.74 -0.08 11.9 TRBdPlan 10.33 +0.03 7.9 ITIGradeAdml 9.98 +0.02 8.8 InstPlus 272.65 -0.85 21.4
FF2020 16.02 +0.02 12.2 IncomeA1 p 2.32 +0.01 12.8 N Inc 9.66 +0.03 7.8 IntlVal 35.75 -0.19 11.4
AmcpA p 32.27 +0.04 16.3 HiYldBd Inst 7.70 ... 12.3 IntSmVa 18.22 -0.05 10.3 MFS Funds Class I LTGradeAdml 10.95 +0.09 17.7 InstTStPlus 64.50 -0.12 21.2
FF2025 14.00 +0.02 13.1 FrankTemp/Frank Adv NHoriz 62.07 +0.12 28.8 LifeCon 20.64 +0.01 11.7
AMutlA p 42.60 -0.01 15.2 BlackRock Funds A LgCo 23.22 -0.07 21.3
ValueI NA ... NA MidCpAdml 209.64 +0.70 23.8 MidCpInst 46.31 +0.15 23.8
FF2030 17.33 +0.01 14.4 IncomeAdv 2.30 +0.01 13.0
MFS Funds Instl
OverS SF r 10.47 -0.08 12.6 LifeGro 34.40 -0.07 15.6
BalA p 27.70 ... 12.8 GlblAlloc p 18.94 ... 11.3 TAUSCoreEq2 19.21 -0.02 20.4 FrankTemp/Franklin A R2020 22.23 -0.01 13.8 MuHYAdml 11.72 -0.01 7.7 MidCpIstPl 228.40 +0.77 23.8
Freedom2020 K 16.01 +0.02 12.3 IntlEq 26.28 -0.32 17.4 LifeMod 27.90 -0.02 13.7
BondA p 13.19 +0.04 6.7 BlackRock Funds Inst US CoreEq1 24.65 -0.03 20.9 MuIntAdml 14.40 -0.02 5.5 RealEstaInstl 20.29 +0.19 26.1
Freedom2025 K 13.98 +0.02 13.1 Growth A p 110.82 -0.36 23.2 Nuveen Cl I R2025 17.73 -0.01 14.9 PrmcpCor 27.41 -0.18 17.1 SmCapInst 75.71 +0.30
CapIBA p 61.08 -0.09 11.1 EqtyDivd 20.03 -0.05 18.7 US CoreEq2 22.64 -0.02 20.2 MuLTAdml 11.90 -0.01 7.1 20.9
Freedom2030 K 17.32 +0.01 14.5 RisDv A p 67.75 -0.38 23.1 HYMunBd 17.87 -0.04 9.8 R2030 25.85 -0.02 15.9 STAR 27.14 -0.01 15.2 STIGradeInst 10.70 +0.01
CapWGrA 48.82 -0.24 15.8 GlblAlloc 19.07 ... 11.6 US Small 34.32 +0.14 15.9
MuLtdAdml 11.04 ... 3.1 4.7
Freedom2035 K 14.44 ... 15.7 FrankTemp/Franklin C Oakmark Funds Invest R2035 18.97 -0.03 16.7 TgtRe2015 15.40 +0.01 11.1 STIPSIxins 24.83 +0.07
EupacA p 52.31 -0.48 16.1 MultiAstIncome 10.84 ... 10.9 MuShtAdml 15.82 ... 1.8 3.7
US SmCpVal 33.38 +0.23 11.8 Freedom2040 K 10.06 -0.01 16.1 Income C t 2.35 ... 12.2 EqtyInc r 30.65 -0.14 14.0 R2040 27.02 -0.05 17.3 TgtRe2020 32.26 -0.01 12.7 TotBdInst
FdInvA p 59.88 -0.20 16.6 StratIncOpptyIns 9.89 ... 5.6 PrmcpAdml r140.45 -0.73 16.1 11.01 +0.03 7.5
US TgdVal 22.75 +0.15 15.5 Fidelity Invest FrankTemp/Temp Adv OakmrkInt 23.55 -0.27 15.1 Value 36.84 -0.03 20.5 TgtRe2025 19.37 -0.02 13.9 TotBdInst2 10.97 +0.03
GwthA p 50.41 -0.01 17.9 StratMuniOppI 11.69 -0.03 5.1 RealEstatAdml131.10 +1.23 26.1 7.5
HI TrA p USLgVa 37.29 -0.02 17.3 Balanc 23.88 -0.01 16.6 GlBondAdv p 10.70 -0.02 -0.7 Old Westbury Fds PRIMECAP Odyssey Fds TgtRe2030 35.33 -0.05 14.6 TotBdInstPl 11.01 +0.03 7.5
10.09 +0.02 9.8 Bridge Builder Trust SmCapAdml 75.72 +0.31 20.9
ICAA p 38.45 -0.07 15.2 CoreBond 10.42 +0.03 6.6
Dodge & Cox BluCh 97.73 -0.41 20.6 Guggenheim Funds Tru LrgCpStr 14.86 -0.03 17.5 AggGrowth r 43.75 +0.02 14.2
SmGthAdml 66.22 +0.42 25.5 TgtRe2035 21.70 -0.04 15.3 TotIntBdIdxInst 35.04 +0.10 8.5
IncoA p 22.73 -0.02 12.6 CorePlusBond 10.30 +0.03 6.6 Balanced 102.02 +0.34 13.4 Contra 13.08 -0.04 19.9 TotRtnBdFdClInst 27.24 +0.08 4.4 Parnassus Fds Growth r 38.95 -0.07 12.2
STBondAdml 10.55 +0.02 4.0 TgtRe2040 37.50 -0.08 16.1 TotIntlInstIdx r112.39 -0.61 12.4
N PerA p 44.97 -0.25 19.4 Intl Eq 11.34 -0.08 13.9 GblStock 12.69 +0.02 15.0 ContraK 13.09 -0.05 19.9 Harbor Funds ParnEqFd 47.79 -0.36 23.0 Stock r 33.57 -0.23 16.7 STIGradeAdml 10.70 +0.01 4.7 TgtRe2045 23.55 -0.07 16.5 TotItlInstPlId r112.42 -0.61 12.4
NEcoA p 45.67 -0.20 17.6 Del Invest Instl Income 14.10 +0.04 8.0 CpInc r 10.09 +0.03 14.9 CapApInst 74.56 -0.34 20.3 PGIM Funds Cl Z Schwab Funds TotBdAdml 11.01 +0.03 7.5 TgtRe2050 37.91 -0.10 16.6 TotStInst 74.25 -0.13 21.2
NwWrldA 67.52 -0.39 17.7 Value 22.28 +0.20 14.9 Intl Stk 41.69 -0.22 13.0 GroCo 20.01 -0.02 24.9 Harding Loevner TotalReturnBond NA ... NA S&P Sel 46.48 -0.15 21.3 TotIntBdIdxAdm 23.35 +0.07 8.5 TgtRet2055 41.14 -0.11 16.5 ValueInst 43.77 -0.13 16.9
SmCpA p 56.29 -0.04 20.0 Dimensional Fds Stock 192.38 +0.81 16.3 GrowCoK 20.04 -0.02 25.0 IntlEq NA ... NA PIMCO Fds Instl TSM Sel r 52.84 -0.10 21.2 TotIntlAdmIdx r 28.10 -0.16 12.4 TgtRetInc 13.89 +0.01 10.0 WCM Focus Funds
TxExA p 13.27 -0.01 5.9 5GlbFxdInc 10.94 ... 3.7 DoubleLine Funds InvGrBd 11.51 +0.04 8.2 Invesco Funds A AllAsset 11.61 +0.05 8.1 TIAA/CREF Funds TotStAdml 74.23 -0.14 21.2 TotIntBdIxInv 11.68 +0.04 8.4 WCMFocIntlGrwIns 17.31 -0.16 23.5
WshA p 46.78 -0.03 17.7 DFARlEst 40.85 +0.39 26.0 CoreFxdIncmI NA ... NA LowP r 45.40 +0.01 13.1 EqIncA 10.39 +0.02 14.8 ShortT 9.78 ... 2.1 BdIdxInst 11.08 +0.04 7.3 TxMCapAdml154.42 -0.34 21.8 WellsI 26.95 +0.05 12.7 Western Asset
Baird Funds EmgMktVa 27.50 +0.07 2.6 TotRetBdI 10.71 +0.03 5.3 Magin 10.89 -0.03 22.7 Invesco Funds Y TotRt 10.42 +0.04 7.5 VANGUARD ADMIRAL TxMIn r 13.32 -0.09 13.1 Welltn 42.52 -0.03 16.1 CorePlusBdI NA ... NA
B10 | Tuesday, September 17, 2019 THE WALL STREET JOURNAL.

BANKING & FINANCE

Fed Cut Threatens Online Account Growth

Banks face risk higher- cluding PNC Financial Ser- this summer—its first rate cut CIT has lowered the rate it Saun said in an interview in gust to 2.15%.
vices Group Inc., Citizens Fi- in a decade—and it could cut pays on the higher tier of that mid-July that the flow of new “If you post in the top cou-
interest savings nancial Group Inc. and CIT rates again this month. account three times since May. money into those accounts ple rates, you gather lots of
offerings will lose Group Inc., have recently If it does, banks could be The current rate is 2.2%, down could slow if the Fed cuts deposits,” CEO Bill Demchak
started trimming their deposit more inclined to keep lower- from 2.45% before those three rates more than twice. The said on the company’s earn-
appeal as rates fall rates. ing their deposit rates. The cuts. central bank did that for the ings call in July.
Banks have broad latitude trend marks a reversal from a Deposits for the company’s first time in this cycle shortly “If you’re off that frontier,
BY ALLISON PRANG over what they pay on depos- year ago, when the Fed was direct bank, which includes afterward. it slows down.”
its, though they tend to move still raising rates and many those accounts, grew at a Banks tweak interest rates But those accounts still pay
Big banks bet that online interest up and down as the bankers expected the rate in- slower pace in the second to balance two different needs: better rates than many lend-
savings accounts would help Federal Reserve adjusts rates. creases to continue through quarter compared with the They want to attract and re- ers.
them bring in customers when Banks often are quicker to cut this year. first quarter. tain customer deposits, but Andrew Frisbie, executive
rates were rising. Now that deposit rates than they are to CIT, the parent company of Citizens launched its Citi- they don’t want to pay more vice president for consumer
rates are falling, that growth raise them. California-based OneWest zens Access high-yield savings than customers demand. pricing at consulting firm No-
may stall. Banks including Goldman Bank, last year introduced a account last year. Banks make money on the dif- vantas, said the central bank
Many banks started offering Sachs Group Inc. and Ally Fi- high-yield savings account, It lowered the rate on that ference between what they would need to cut rates by
these accounts—which often nancial Inc. recently cut their Savings Builder, that promised account in July and then low- charge on loans and what they something in the range of 1.5
paid interest rates of at least deposit rates even before the customers higher interest ered it by an additional 0.2 pay on deposits. percentage points for custom-
2%—in the past couple of Fed did. rates if they saved at least percentage point this month PNC lowered the rate on its ers to potentially lose interest
years to attract depositors. The Fed lowered short-term $100 a month or had at least to 2%. online savings account by 0.2 in moving their money into
But some of those lenders, in- rates by 0.25 percentage point $25,000 in their account. Citizens CEO Bruce Van percentage point in late Au- these offerings.

Shares of Crisis-Era
Energy Bonds
Firms Soar Revisited
Continued from page B1 Continued from page B1
based bank said large produc- on more risk.
ers that they track have about Many banks soured on
8% of their 2020 production making mortgages after the fi-
hedged at about $60 a barrel, nancial crisis.
while the smaller companies Today, the majority of U.S.
they study have roughly 26% mortgages are made by non-

LM OTERO/ASSOCIATED PRESS
of next year’s output locked in banks, which are less regu-
at $59.50 a barrel. lated than their bank counter-
SunTrust Robinson Hum- parts and sometimes thinly
phrey analysts wrote in a note capitalized.
to clients that the rise in oil Even so, banks still see an
prices to about $60 a barrel opportunity to make money
should offer widespread bene- by supporting the infrastruc-
fit to producers since many of ture that underlies the U.S.
them break even at $50 to $55 Airlines are seen as unable to quickly absorb the sudden rise in fuel prices. American Airlines’ stock fell 7.3% Monday. mortgage system.
a barrel “with higher prices Citigroup, for example, re-

Crude’s Rise Hits Transport Sector

driving pure profits.” cently purchased a pool of 932
Analysts with SunTrust sin- mortgages from a nonbank
gled out Centennial as a pro- lender called Impac Mortgage
ducer that could particularly Holdings Inc. and used them
benefit from a bump in oil BY AKANE OTANI lines Group Inc. shedding and Expeditors International long-term effects of the week- to back bonds valued at more
prices from geopolitical ten- AND KAREN LANGLEY 7.3%, United Airlines Hold- of Washington Inc. dropping end’s attacks. than $350 million. The deal
sions. About 60% of what Cen- ings Inc. losing 2.8% and Delta 1.1%. “The direct impact from the closed last month.
tennial produces from its Shares of airlines and Air Lines Inc. falling 1.6%. Even with Monday’s market shutdown on physical oil mar- While some banks never
Permian Basin drilling fields in truckers slipped after crude Cowen Equity Research an- pullback, the Dow Jones kets will be determined by its fully extricated themselves
West Texas is oil, and the prices soared, the latest fall- alysts said in a note that air- Transportation Average— duration,” said UBS analysts in from the private-label market,
company had none of its out- out from weekend attacks on lines are unable to quickly ab- which tracks 20 of the nation’s a note. they typically issued bonds in
put hedged, the bank’s ana- Saudi Arabian oil facilities. sorb the increase in oil prices largest airlines, railroads and Certain transport stocks the years after the crisis only
lysts said. The broader stock market —although if higher fuel truckers—is hanging onto dou- could remain under pressure to package odds and ends,
“Given what we view as a was relatively calm, with the prices persist, they will seek ble-digit percentage gains for until oil prices stabilize, ana- such as old loans that had de-
re-introduction of geopolitical S&P 500 ending down 0.3%. to “aggressively raise fares.” the year. lysts cautioned. faulted and been modified in
risk into the crude price envi- But transportation stocks took Airfares typically track oil That is partially because it Jet fuel is about “15 cents some way. Some deals were
ronment, we believe the com- a hit, pointing to how suscep- prices on a two-to-six-month has largely tracked the perfor- per gallon higher today than it done to help out important
pany is one of the best posi- tible the group’s profits are to lag, the firm’s analysts added. mance of the S&P 500, which was on Friday and we expect clients.
tioned to benefit,” the analysts swings in fuel prices. Companies focused on has pushed to new highs in the U.S. airline stocks to be What is different now is
wrote in a note to clients. Airlines were among the freight transportation also 2019. pressured until they are able that banks are also stepping
They raised their price target worst performers within the slid, with C.H. Robinson Analysts also say it is still to offset the cost of fuel,” the into the role of buying loans
for Centennial to $8, from $5. group, with American Air- Worldwide Inc. falling 2.1% too early to determine the Cowen note said. from third parties and under-
writing the securities they
piece together.

Oilman Pushes New Way to Export Natural Gas

This more closely resem-
bles the precrisis days when
banks would bid on loans that
were up for sale by the lend-
BY CHRISTOPHER M. MATTHEWS Instead, U.S. companies ers that made them.
have focused on larger mar- Banks today are buying
An oil-industry stalwart is kets in Asia, where demand is both mortgages that are eligi-
hoping to undercut the way growing rapidly and countries ble to be sold to Fannie and
most U.S. natural gas is have made huge investments Freddie as well as ones that
shipped abroad, using a newly in natural gas infrastructure. aren’t because they are too
patented method he says is SeaOne has spent about large or they are considered
cheaper because it requires $125 million on the project so riskier—often because they
less upfront investment than far, Mr. Hoglund said, mostly use alternative documentation
the dominant technology, liq- from family-office investment, to approve the borrower.
uefied natural gas or LNG. but has yet to make a final de- These are baby steps back
Forrest Hoglund, the 86- cision on whether to proceed, into the market. Largely gone
year-old former chief execu- which he hoped to do by are the complex derivatives
tive officer of shale company year’s end. once overlaid on these deals.
EOG Resources Inc., has pat- The combined cost of CGL And the market is tiny
ented a method of transport- facilities in the U.S. and Co- compared with precrisis days.
ing gas called compressed gas lombia will be about $1.2 bil- In the first half of this year,
liquids, or CGL, with his com- lion, he said. SeaOne has be- 2.1% of mortgages went into
pany, SeaOne Holdings LLC. gun lining up financing, he private bonds. That is up from
The technique allows the gas said, and doesn’t have con- 2009, when private-label issu-
to be shipped without first cerns about Colombia’s credit- ance was virtually nonexis-
SEAONE

separating other byproducts worthiness. tent. But private bonds made

such as propane and butane, Mr. Hoglund joined EOG up 41% of the market at a
allowing importers to strip The SeaOne vessel would transport super-chilled compressed gas liquids over short distances. when it was the oil-and-gas peak in 2005, according to the
them out and sell them indi- unit of Enron Corp. He helped Urban Institute.
vidually, Mr. Hoglund says. in that country’s market. Mr. needed to transport LNG. chilled so it can be trans- finalize a split with Enron that One problem with precrisis
While LNG will likely re- Hoglund touts natural gas as a SeaOne will need to per- ported by ship, have soared made EOG an independent deals was that data about the
main the primary method for cleaner-burning fuel than oil suade countries to invest in over the past five years, and company in 1999 before he re- underlying mortgages were
transporting natural gas over and a geopolitical boon to the the infrastructure needed to the U.S. is forecast to become tired. Today, EOG is one of the often difficult to come by,
long distances, Mr. Hoglund region and the U.S. process CGL gas, which stays the world’s largest exporter by largest U.S. shale producers. even for the bankers originat-
believes he has an advantage “When you wean people off 2024, according to the Inter- He started SeaOne in 2004 ing the deals.
in short-distance shipments oil, consumers can finally en- national Energy Agency. and began patenting natural- In the Impac deal, Citi-
and is pushing to establish a joy the tremendous environ- Forrest U.S. exporters have largely gas technology, similar to that group is working with startup
market sending gas from the mental and political benefits Hoglund aims eschewed the Caribbean be- used to move gas through dv01 Inc. to provide data to
U.S. Gulf Coast to the Carib- of natural gas,” Mr. Hoglund to establish a cause of the difficulty financ- some pipelines, for use in investors about the underlying
bean. said. “Utilizing U.S. gas in the market sending ing projects there. shipping. mortgages, according to a re-
The region faces mounting Caribbean enables them to be gas from the State-owned electricity In Colombia, SeaOne ini- port by ratings firm DBRS Inc.
energy challenges due to de- less reliant on Venezuelan oil Gulf Coast to companies in the region have tially plans to build the gas- JPMorgan restarted its pri-
pendence on uneven hydro- and in a more predictable en- the Caribbean. a history of missing payments, powered electricity plants, vate-label program several
electric power sources and po- ergy environment.” which has scared off many supply them with U.S. pro- years ago but has recently
litical instability in leading oil But the technology faces a large banks, according to Naki pane, and later add an import broadened it.
and fuel supplier Venezuela. steep challenge competing cool while kept in metal con- Mendoza, energy director for terminal to receive com- In April, the nation’s larg-
SeaOne won an auction this against LNG. Importing coun- traptions that loosely resem- the Americas Society/Council pressed gas. The company also est lender by assets did a deal
year to build and supply two tries and shipping companies ble massive radiators. of the Americas, a U.S. busi- owns the rights to develop an with a group of its own mort-
natural-gas power plants in have invested billions in the Exports of U.S. liquefied ness and Latin American pol- industrial port at the site, on gages that didn’t qualify to be
Colombia, gaining a foothold infrastructure and vessels natural gas, which is super- icy group. Colombia’s Pacific coast. bought by Fannie Mae and
Freddie Mac.
Wells Fargo introduced its

Prudential Settles Mutual-Fund Probe for $32.6 Million first postcrisis deal last Octo-
ber and has done more since.
Goldman Sachs, which did one
deal in 2014, stayed out of
BY DAVE MICHAELS The Securities and Ex- tain foreign jurisdictions. In act consistently with their Prudential neither admitted this market until March, but
change Commission on Mon- addition to paying the fines, representations to their cli- nor denied the claims but said since then has done three
WASHINGTON—Pruden- day said the 2006 reorganiza- Prudential reimbursed over ents,” said Dabney O’Riordan, in a statement that it reported deals. Bank of America Corp.
tial Financial Inc. agreed to tion—intended to engineer tax $155 million to the funds, the co-chief of the SEC’s asset- the conduct to the SEC and co- hasn’t reintroduced its own
pay $32.6 million to settle benefits for Prudential—cre- SEC said in a settlement an- management unit in its en- operated with regulators. Pru- mortgage bonds, but aggre-
claims that it didn’t disclose ated a conflict of interest be- nouncement. forcement division. Pruden- dential “has a long track re- gates loans that are issued
how a reorganization of its cause the company benefited “Investment advisers must tial’s subsidiaries “acted to cord of being transparent and through Chimera Investment
mutual-fund business would while the funds lost income be vigilant in monitoring for benefit their parent company maintaining constructive rela- Corp., a real-estate investment
cost the funds millions in lost from securities lending. They conflicts related to actions despite the costs those acts tionships with regulators,” the trust, according to people fa-
interest income. also paid higher taxes in cer- taken by affiliates, and must imposed on their clients.” company said. miliar with the matter.
THE WALL STREET JOURNAL. * * * * * Tuesday, September 17, 2019 | B11

MARKETS

Oil Tumult
Benefits
Stocks Fall, Ending Dow Streak
The Dow Jones Industrial 1988, according to DJMD. It Energy stocks rallied Monday amid a jump in crude-oil prices. pute. It could weigh on con-

Inflation Average snapped an eight-ses-

sion winning streak and haven
assets rallied after a weekend
had earlier jumped to nearly
$72 a barrel but retraced some
of those gains after concerns
14%
sumer spending as higher en-
ergy prices can raise gas and
heating bills, cutting into
12
Bonds attack on Saudi oil facilities
sent crude prices surging.
over oil output ebbed on Saudi
vows to restart production.
President Trump said Sun- 10
available incomes.
“Oil prices haven’t spiked to
the point where we’d see it as
BY DANIEL KRUGER By Caitlin Ostroff, day that he authorized the re- a price shock to the global
Steven Russolillo lease of oil, if needed, from the 8 Devon Energy economy,” said Tom Hainlin,
U.S. government bonds And Jessica Menton Strategic Petroleum Reserve to Marathon Oil
global investment strategist at
that protect investors against help offset cost increases. The U.S. Bank Wealth Management.
6 Hess
inflation rallied Monday, The blue-chip index shed U.S. holds about 600 million “We see this weekend’s events
S&P 500
powered by concerns that a 142.70 points, or 0.5%, to barrels of emergency crude as being a short-term head-
surge in oil prices would 27076.82. The S&P 500 lost products, said Oswald Clint, a 4 wind, and it hasn’t changed
raise consumer prices after 9.43 points, or 0.3%, to senior analyst for Sanford C. our expectation for the Fed’s
an attack on the heart of 2997.96, as nine Bernstein & Co. 2 path forward.”
Saudi Arabia’s oil industry. MONDAY’S of the 11 sectors U.S. energy companies saw The attack also increased
The yield on 10-year Trea- MARKETS in the index benefits from the supply dis- 0 investor concerns that Saudi
sury inflation-protected secu- tumbled. The ruption, with Devon Energy, Arabia could be an easy target
rities snapped a streak of five energy sector was among the Marathon Oil and Hess up at –2 for future attacks, said Ole
consecutive increases, falling only gainers, up 3.3%. The Nas- least 11% apiece. Meanwhile, Hansen, head of commodity
9:30 10 11 noon 1 2 3 4
to 0.173% from 0.227% Friday, daq Composite dropped 23.17 shares of airlines slumped as strategy at Saxo Bank.
according to Tradeweb. Bond points, or 0.3%, to 8153.54. investors fretted over the po- Source: FactSet “There’s probably going to
yields fall when prices rise. Attacks on Saudi oil produc- tential impact of higher fuel be some security provider who
The yield on the bench- tion facilities Saturday prices on profits. Shares of now really points to a benign but the added geopolitical risk is going to get some decent
mark 10-year Treasury note knocked out 5.7 million barrels American Airlines and United scenario,” he said. to an already fragile backdrop contracts,” he said.
also fell, ending a five-ses- of daily production, pushing Airlines shed 7.3% and 2.8%, Kerry Craig, a global market will not go without notice,” The yield on the 10-year
sion streak of in- U.S. oil futures up 15% to respectively. strategist at J.P. Morgan Asset Mr. Craig said. U.S. Treasury note fell to
CREDIT creases, settling $62.90 a barrel—their largest Gold added 0.8% to settle at Management, said oil produc- Higher oil prices could push 1.843% from 1.901% Friday.
MARKETS at 1.843%, from one-day rise in more than a $1,503.10 a troy ounce. ers could dip into stockpiles, up inflation and prompt the Last week, it rose the most
1.901% Friday. decade. The initial spike in oil which would help stabilize Fed to think twice before cut- since June 2013. Bond yields
The gains halted a selloff The last time U.S. crude fu- prices came amid uncertainty prices. “The bigger issue is ting rates again, said Weiqi and prices move in opposite
that had driven the 10-year tures gained at least 10% in a of how severely Saudi facilities what premium markets will Zhu, a fund manager at Gao directions.
yield higher in five consecu- day while all three major U.S. had been hit. A strike to the build in to reflect the risk of Zheng Asset Management in Elsewhere, the Stoxx Europe
tive sessions to its biggest indexes slumped was in the oil field would be the shock further attacks,” he said. Hong Kong. However, he said 600 fell 0.6%.
weekly advance in more than depths of the financial crisis scenario, impeding production The Federal Reserve is Mr. Trump’s oil-release autho- At midday in Tokyo Tues-
six years. on Feb. 19, 2009, according to significantly, while damage to scheduled to meet this week rization helped calm markets day, the Nikkei was down 0.1%.
Higher oil prices could add Dow Jones Market Data. the processing plant would be and markets are pricing in an- in the short term. Also in early trading, Hong
an additional strain on global Brent crude, the global oil easier to offset, said Norbert other interest-rate cut of a A sustained increase in fuel Kong’s Hang Seng Index was
growth, already stressed by benchmark, rose 15% to settle Rucker, head of commodities quarter point. prices could be the latest down 0.9% and the Shanghai
the trade conflict between at $69.02 a barrel, its biggest research at Swiss bank Julius “Central banks are likely to threat to a world economy Composite was down 1%. The
the U.S. and China. percentage gain on record Baer. look through the inflationary that is already under pressure dollar was down slightly
Some investors said TIPS based on data going back to “The market reaction right impacts of higher oil prices, from the U.S.-China trade dis- against the yen.
offered protection from the
risk that a rise in the price of
oil could lead to higher prices
throughout the economy.
TIPS tend to be sensitive
Yuan Lags
to oil prices, which make up a
large component of measures
of inflation, and investors
Behind in
tend to buy safe government
bonds when they expect
slower growth, which typi-
Rankings
cally leads to slower price in-
creases. Continued from page B1
Some were already expect- change compared with 2016.
ing higher inflation, with Emerging-market currencies
TIPS yields rising more mod- continued to gain in usage,
erately than yields on other with 25% of global turnover,
debt last week after eco- closing in on the euro at 32%.
nomic data showed that the In value terms, yuan activity
U.S. economy remains on rose 40% to $284 billion, but
track to continue growing at unlike in previous surveys, the
a solid pace. yuan’s growth didn’t outpace
Central banks around the the wider market enough for it
world are also easing mone- to rise in the rankings.
tary policy to stimulate A major ob-
growth and inflation, with CURRENCIES stacle to China’s
the Federal Reserve expected ambitions is
to cut rates at the conclusion Beijing’s tight control, with a
of its meeting Wednesday. system it calls “managed con-
Fed officials have become vertibility” to keep the cur-
increasingly concerned that rency stable and the financial
trade tensions and slowing system safe.
growth around the world Events starting in mid-2015
could spill over into the U.S. also undermined market trust,
BUDRUL CHUKRUT/SOPA IMAGES/ZUMA PRESS

economy. including a botched currency

The European Central devaluation after a stock
Bank lowered interest rates crash. Yuan selling helped cut
and announced a new pro- the central bank’s reserves by
gram of bond purchases last about $1 trillion in a little over
week. two years.
“The Fed is trying to look China sharply curtailed
past some of the backward- channels for investing and ex-
looking measures of infla- changing the currency, includ-
tion,” said Scott Colyer, chief ing making it harder for citi-
executive officer at Advisors zens to spend yuan when they
Asset Management. traveled or studied overseas.
While higher oil prices “As the renminbi weakened Beijing has promoted the yuan as a core element of its international political engagement. A foreign exchange in Hong Kong.
may raise short-term infla- after mid-2015, so too did the
tion concerns, “if this contin- market’s willingness to own it about the time of the IMF en- has halved, deposits are down business in China, just not rency manipulator.
ues, it could hurt demand for and use it,” David Lubin, head dorsement, almost 30% of Chi- 40% and bond issuance has with its currency. China has grown as a center
goods and services,” he said. of emerging-markets econom- nese trade was settled in yuan, slipped to a 10th of its highs. Under the weight of a de- for foreign-exchange trading,
“That’s what the Fed is wor- ics at Citigroup Inc., said in a Hong Kong banks held deposits The BIS data underscore the celerating Chinese economy, with an 86% increase in trading
ried about.” March report, using another of 1 trillion yuan and issuance disconnect between China’s the yuan has been slipping. In turnover from 2016, far out-
Even with momentary name for the yuan. “That’s of yuan-denominated “dim huge economy and limited ac- August, the central bank let it pacing a 27% global rise, the
price pressures in the econ- hardly the mark of a global re- sum” bonds totaled nearly $10 tivity in its currency. Use of fall below 7 to the U.S. dollar BIS survey said. Still, this rep-
omy, inflation has remained serve currency.” billion a month, the Citigroup the Hong Kong dollar has risen for the first time since 2008, resents just 1.6% of the global
intractably low for a long When enthusiasm about an research showed. More re- much faster—indicating sus- prompting the Trump adminis- total this year, and only a fifth
time, demonstrating resis- internationalized yuan peaked, cently, it said, the trade figure tained global interest in doing tration to label Beijing a cur- of Hong Kong’s turnover.
tance to a variety of fiscal
and monetary policies that
investors had expected to re-
vive it, some analysts said.
Inflation expectations in
the bond market are mea-
Traders Charged With Manipulating Metals Prices
sured by the gap between the BY DAVE MICHAELS dants accused of spoofing as a metals trader at other when it comes to advancing Trunz, pleaded guilty last
yield on conventional fixed- AND DAVE SEBASTIAN electronic derivatives markets banks. criminal charges. month in Brooklyn federal
rate government securities have been charged with racke- An attorney representing A jury in Connecticut last court to one count of conspir-
and the yield on similar-ma- Two traders and one former teering. Mr. Smith declined to com- year acquitted Andre Flotron, a acy to engage in spoofing and
turity TIPS. The yield on TIPS executive at JPMorgan Chase “Based upon the fact it was ment. A lawyer for Mr. Jordan former UBS Group AG metals one count of spoofing. An at-
maturing in 10 years is & Co. were indicted and conduct that was widespread couldn’t be reached. Lawyers trader accused of spoofing fu- torney for Mr. Trunz didn’t re-
0.159%, making the gap be- charged with manipulating on the desk, it was engaged in for Mr. Nowak said that he tures markets. The Justice De- turn a phone message seeking
tween the two securities prices for precious-metals fu- thousands of episodes, that it is plans to fight the charges and partment in April dropped comment.
1.675 percentage points. tures contracts over an eight- precisely the kind of conduct expects to be exonerated. spoofing charges against an- “So you know its gregg bid-
That is up from about 1.5 year period. that the RICO statute is meant “It’s truly regrettable that other defendant, Jitesh Thak- ding up on the futures trying to
percentage points two weeks Gregg Smith, Michael Nowak to punish,” Assistant Attorney the DOJ decided to go forward kar, after a federal jury in Chi- get some off,” Mr. Trunz wrote
ago, according to Tradeweb. and Christopher Jordan were General Brian Benczkowski cago couldn’t reach a in one message, according to
The WSJ Dollar Index rose charged in Chicago federal said. unanimous verdict in his trial. the indictment.
0.3% to a recent 91.38, gain- court and became the latest Spoofing involves submit- Mr. Benczkowski said that The response from an al-
ing against the euro and Brit- targets of a government cam- ting orders to exchanges that
Spoofers submit the case against the JPMorgan leged co-conspirator: “sweet
ish pound as yields on short- paign to punish a type of illicit traders have no intention of orders to exchanges traders is stronger than prior mate.”
term Treasury bills rose. trading known as spoofing. fulfilling, according to regula- ones because the alleged mis- The CFTC on Monday sepa-
The Justice Department said tors. The orders are typically
that they have no conduct went on for many rately filed a civil enforcement
the scheme focused on the sent in large volume on one intention of fulfilling. years, and the government has action in the Northern District
AUCTION RESULTS bank’s precious-metals desk, in- side of the market, creating the the backing of “multiple coop- of Illinois against Mr. Nowak
Here are the results of Monday's Treasury auctions.
All bids are awarded at a single price at the market-
volving offices in New York, appearance of greater interest erating witnesses.” The JPMor- and Mr. Smith.
clearing yield. Rates are determined by the difference London and Singapore, and in- in buying or selling. When gan traders earned millions of The other co-conspirator
between that price and the face value.
volved thousands of fraudulent spoofers get the trade they with a prosecution of Mike dollars and imposed losses on identified in the criminal case,
13-WEEK AND 26-WEEK BILLS
orders intended to benefit the want, they cancel the other or- Nowak, who has done nothing counterparties totaling tens of John Edmonds, pleaded guilty in
13-Week 26-Week
Applications $120,503,343,900 $115,189,500,100 traders’ positions. ders, sometimes leaving their wrong,” said the lawyers, David millions, said Mr. Benczkowski. October 2018 to commodities
Accepted bids $45,000,093,900 $42,000,035,100 In addition to spoofing and counterparties with a loss. Meister and Jocelyn Strauber He declined to be more specific fraud and conspiracy to commit
" noncomp $1,092,724,900 $770,937,100
" foreign noncomp $100,000,000 $203,300,000 other federal offenses, the in- JPMorgan placed Mr. Smith, of Skadden, Arps, Slate, about the alleged gains from wire fraud, commodities fraud,
Auction price (rate) 99.508347 99.054611 dictment charged all three men 55 years old, and Mr. Nowak, Meagher & Flom LLP. fraud on a call with reporters. price manipulation and spoofing.
(1.945%) (1.870%)
Coupon equivalent 1.987% 1.919%
with racketeering, a claim that 45 and a managing director at While the Commodities Fu- The indictment includes The CFTC said Mr. Trunz
Bids at clearing yield accepted 10.94% 81.11% is more typically found in cases the firm, on leave, said a per- tures Trading Commission has some electronic messages attri- settled its civil charges and
Cusip number 912796SX8 912796TL3
against organized-crime enti- son familiar with the matter. settled numerous civil cases re- buted to co-conspirators of doesn’t face any immediate fi-
Both issues are dated Sept. 19, 2019. The 13-week bills
mature on Dec. 19, 2019; the 26-week bills mature on ties. Authorities said it repre- Mr. Jordan, 47, left the bank in lated to spoofing charges, pros- Messrs. Smith, Nowak and Jor- nancial penalties because of his
March 19, 2020. sents the first time that defen- 2009 and subsequently worked ecutors have a mixed record dan. One of the men, Christian cooperation with the agency.
B12 | Tuesday, September 17, 2019 * * THE WALL STREET JOURNAL.

HEARD STREET FINANCIAL ANALYSIS & COMMENTARY

ON
THE

Activists Make Noise With Smaller Stakes

Investors are petitioning for change with less skin in the game, but it is unclear how effective they are in changing companies’ direction

Do companies have to listen to Change from a year earlier

every activist who shows up, no 30%
matter how small the stake?
Cantankerous shareholders have
been staking their claim on very 20
large companies with ever smaller
interests. Carl Icahn, Dan Loeb’s
Third Point and Nelson Peltz’s
10
Trian Fund Management all have
swayed huge targets with a rela-
tively small presence in recent
years. In many cases, though, it 0
isn’t clear whether companies
would have taken decisions on their
own accord. –10
A week ago, Paul Singer’s Elliott
Management flagged a $3.2 billion
PATRICK T. FALLON/BLOOMBERG NEWS

investment in AT&T, the telecom –20 S&P 500

giant with a $280 billion market HFR Activist Index
capitalization, in a letter demanding
big changes. It is asking AT&T to –30
consider unwinding some of Chief
Executive Randall Stephenson’s
landmark initiatives. –40
To gain the control they need, 2008 ’10 ’15 ’19
activists typically take decent-sized
Note: 2019 is through Aug. 30.
stakes. Activists that take on tar- Sources: Hedge Fund Research (Activist Index);
gets with a market capitalization of AT&T is facing requests from Paul Singer’s Elliott Management after it made a $3.2 billion investment. FactSet (S&P 500)
more than $500 million, which con-
stitutes roughly 200 campaigns a Day 2017, Trian hearted Procter & pearance. Mr. Peltz’s stake in GE for the past six years and its total underperformer, but has returned
year since 2013, have taken 6% Gamble with a roughly $3 billion has been decidedly less successful. return since 2008 has been just around 30% in the year to date fol-
stakes on average, but often ap- stake in the then $225 billion com- P&G, meanwhile, has only recently 31%. lowing a lengthy battle to buy Time
proaching 8%, according to data pany. A few months later, Mr. Loeb’s started to perform well. Investors can more easily hold Warner. Elliott’s suggestions, in-
published by Lazard’s advisory Third Point took a stake of roughly It can’t hurt to have someone activists accountable if they go for cluding hiving off DirecTV, could
group. the same size in Nestlé. Elliott’s keep a board accountable but, in ag- both size and presence. Relative no- prove difficult. And the company al-
That is clearly far harder in the AT&T bid falls into this category. gregate, activists’ presence doesn’t namers Abrams Capital, Knight- ready has a succession plan under
case of the largest corporations, ne- A broad look over these past seem to matter much. A paper pub- head Capital and Redwood Capital way for its current chief executive.
cessitating smaller stakes such as campaigns suggests that activists lished at the end of last year by re- bought a roughly 10% combined Elliott’s presence could prove a dis-
ValueAct’s stake of less than 1% in have mostly succeeded in being searchers including David Larcker stake in PG&E in mid-January when traction at a difficult time.
Microsoft in April 2013. That same heard, but their effectiveness is less at Stanford University found that the California utility announced its The company might partially ac-
year, Mr. Icahn took a similarly clear. After only a few months, Val- “pre-to-post-activism long-term re- plans to file for bankruptcy. They quiesce to Elliott without undoing
modest stake in Apple. In 2015, Mr. ueAct’s Mason Morfit got a seat on turns insignificantly differ from have helped replace the CEO and Mr. Stephenson’s legacy. Investors
Peltz’s Trian accumulated a $2.5 Microsoft’s board. Mr. Icahn’s in- zero” regarding shareholder wealth board members, appointing mainly could rightly ask, though, whether
billion stake in General Electric, vestment in Apple did well, but the and the economy. Hedge Fund Re- industry experts. the intervention made much of a
then equal to roughly 1% of its mar- company had begun buying back search’s Activist Index has under- Elliott has its work cut out at difference.
ket capitalization. On Valentine’s shares, as he urged, before his ap- performed the S&P 500 every year AT&T. The stock had been a relative —Lauren Silva Laughlin

Opioid Makers’ Rally Is Likely to Stall Oil-Price

Momentum in litigation settlement talks has lifted shares, but investors still aren’t past the danger
Rise Will Be
Momentum in settlement talks bonds trading in distressed terri-
Painful For
to resolve opioid litigation has
spurred a stock-market rally, but
the danger for investors is far
tory. Large settlements could po-
tentially cause bankruptcy in those
cases. Even for companies with
China
from over. cleaner balance sheets, settlement
Purdue Pharma which manu- money paid out over a long period Higher oil prices are no longer
factures OxyContin, filed for bank- could crimp cash flow on a longer- an unalloyed negative for the U.S.,
ruptcy protection Sunday night term basis and limit upside for eq- but they are for the world’s largest
with a partial deal aimed at re- uity holders. crude importer: China.
CHRIS LANDSBERGER/PRESS POOL

solving thousands of lawsuits filed Moreover, companies may not The country is already dealing
by states and municipalities accus- have much incentive to settle with a vicious outbreak of African
ing it of fueling the opioid crisis. claims if they aren’t sure that law- swine fever that has pushed the
The deal, if approved by a judge, suits will stop. Distributor price of pork, its staple meat, up
would resolve many of the law- AmerisourceBergen said at an in- over 40% on the year. Inflation is
suits pending against the closely vestor conference last week that it running at its hottest since 2013,
held company ahead of federal tri- would require “finality” as part of excluding the volatile Lunar New
als scheduled to commence in Oc- any settlement. Year holiday period. And amid the
tober. That seems unlikely; California continuing trade war with the U.S.,
Last month, Johnson & John- The Johnson & Johnson trial in May. A $572 million August ruling against the and New York have yet to sign on August data released Monday
son was ordered to pay $572 mil- company was well received in markets, as analysts expected a larger judgment. to the proposed deal with Purdue. showed investment, retail sales and
lion to the state of Oklahoma after The legal claims that such large industrial growth slowing further—
a bench trial. J&J has said it plans neric opioid makers Endo Interna- years. That is too wide of a band states could bring on their own the latter to its weakest in 17 years.
to appeal that verdict, but the sum tional and Teva Pharmaceutical for investors to be confident that would be considerable. It seems For much of the past year, cheap
was well received in the investor Industries are up 65% and 20%, share prices will hold up under a unlikely that any settlement would oil has eased the pain for belea-
community as most analysts had respectively. bad scenario. discharge legal claims from indi- guered Chinese consumers and
expected a larger judgment. Analysts at Morgan Stanley esti- But the companies facing poten- viduals affected by the opioid-ad- businesses. Following Saturday’s at-
Such progress has given a boost mated last month that the total li- tial judgments vary greatly in their diction crisis. tacks on Saudi Arabia, though, the
to publicly traded stocks facing ability footed by manufacturers, ability to pay. Johnson & Johnson Given all those remaining ques- Brent benchmark on Monday rose
similar lawsuits. Drug distributor distributors and pharmacies could sports a triple-A credit rating. At tions, don’t be surprised if the re- more than 14% to $69.02 a barrel.
Cardinal Health has risen by more be anywhere between $48 billion the other end of the spectrum, cent rally stalls. And it could stay elevated for a
than 16% since Aug. 27, while ge- and $145 billion over a number of several generic opioid makers have —Charley Grant while, even as Saudi Arabia brings
some production back online—in
part because investors are now re-
evaluating the risk of more distur-
bances in the Middle East. Brent fu-

OVERHEARD The Fed Has a Tail-Chasing Problem tures show investors betting that
oil prices won’t fully move back
down to where they were on Friday
until next summer.
The U.S. economy is probably Effective federal-funds rate Powell put it in June, “An ounce of All of this will make shoring up
If you look at most storied going to be fine, but the Federal 10% prevention is worth a pound of sagging Chinese growth even more
American companies, numerous Reserve looks likely to lower rates cure.” difficult. China has managed to dull
corporate combinations helped this week anyway.
RECESSION
Say there is a 1-in-5 chance that the impact of U.S. tariffs with a
them get where they are today. There is some sense to that: 8 global problems lead companies to cheaper currency. Pricier oil, on top
Most had the good sense to With all the potential economic reduce employment in the U.S. or of out-of-control food prices, makes
pare down their names as their threats out there, the Fed worries spook consumers into spending devaluing the yuan even riskier
family trees became ever more that staying on hold could be risk- 6 less. If overnight rates were now than it already was. Beijing’s recent
complicated, but someone for- ier than cutting rates. But the dan- set at 5%, the Fed might be more move to exempt new purchases of
got to tell General Electric. ger is that the Fed is entering a comfortable waiting to see how U.S. pork and other agricultural
Baker Hughes, a GE Com- spiral in which increasingly remote 4 the situation develops than it is products from tariffs should be
pany became the bane of jour- tail risks will lead it to keep lower- now. viewed primarily in the context of
nalists and analysts with its ing rates until it has next to no By this logic, however, as the China’s increasingly alarming do-
long name. Formed two years rate cuts left to give. 2 starting rate goes lower, the Fed mestic food prices rather than soft-
ago, GE initially owned 62.5% of With the unemployment rate needs to get even more aggressive ening trade tensions.
the firm. Now that the conglom- near a 50-year low, consumer responding to remote but worry- Expensive oil makes looser mon-
erate has sold down its stake in spending solid and inflation begin- 0 ing possibilities. etary policy riskier, too. Analysts
the oil-field-services company ning to perk up, it seems incongru- 1990 ’95 2000 ’05 ’10 ’15 If policy makers cut rates at the widely expect an imminent cut to
below 50%, the last three words ous at the moment to cut rates. conclusion of their meeting rates on a key central-bank lending
Source: Federal Reserve
will soon be history. But trade tensions, a slowing Wednesday and then cut rates one facility that underpins China’s new
Not only would the founders global economy and now Satur- more time this year, as most econ- benchmark lending rate. But policy
of Baker International and day’s attack on Saudi Arabian oil tral bank has had to cut rates by omists expect, the Fed’s target makers remain trapped between a
Hughes Tool Company probably facilities all count as reasons to around 5 percentage points in re- range will be 1.5% to 1.75% at the weakening economy and too-pricey
be happy to hear about the worry. sponse to a recession. start of 2020. food and housing.
move—so would the owners of Those worries are magnified by As a result, the Fed arguably If the Fed then perceives a 1- The outlook for Chinese growth
long forgotten Aquaness, Chem- the fact that the Fed’s current tar- should be readier than usual to in-10 chance of danger, should it is weaker than ever. Given the con-
link, Petrolite, EXLOG, Elder Oil get range for overnight rates, at lower rates in response to threats, cut rates in response? Where does straints, though, modest rather
Tools and others absorbed into 2% to 2.25%, is already quite low. and stave off the possibility of re- it end? Rates could end up slip- than overwhelming 2015-style pol-
the firm but denied a spot in That leaves it with little ammuni- cession, than it might be other- ping toward zero even before an icy stimulus is probably the best in-
front of corporate headquarters. tion if it is confronted by a reces- wise. actual downturn materializes. vestors can hope for.
sion—indeed in the past the cen- Or, as Fed Chairman Jerome —Justin Lahart —Nathaniel Taplin