This week ahead || Apr 15th - Apr 19th 2024
Here is some news for the week ahead
Disney's 'million-dollar question' post-proxy fight: Who will succeed Bob Iger?
Disney recently triumphed in a proxy battle against activist investor Nelson Peltz, but now faces the crucial task of identifying its next CEO. Bob Chapek's turbulent tenure as CEO, marked by controversies and challenges, has left Wall Street eager for a smooth transition to new leadership. Potential internal candidates include Dana Walden, Alan Bergman, Josh D'Amaro, and Jimmy Pitaro, all with extensive experience within Disney's various divisions. Former executives Kevin Mayer and Tom Staggs also remain possibilities, given their prior roles within the company. Analysts believe Disney is likely to choose an insider familiar with the company's culture and challenges, particularly navigating the shift to streaming amid the evolving media landscape. While finding the right candidate is crucial for Disney's future success, the company may face pressure if a suitable replacement is not identified before Bob Iger's contract expires in December 2026.
World economy’s great escape is no comfort to the G-20
The global financial elite gather in Washington for meetings of the IMF, World Bank, and G-20, facing challenges including slowing growth, persistent inflation, high interest rates, and geopolitical tensions. Bloomberg Economics predicts global activity to slow to 2.9%, with IMF chief Kristalina Georgieva also revising forecasts. Key attendees include Fed Chair Powell, Treasury Secretary Yellen, and other central bank heads. Geopolitical issues like the Ukraine-Russia conflict and Israel-Hamas war affect energy prices. Debt distress in emerging markets and China's economic data are other concerns. In the US and Canada, economic data focuses on retail sales and inflation, while Asia watches China's GDP and trade data. Europe, Middle East, and Africa monitor UK wage and inflation data, while Latin America tracks economic indicators in Colombia, Peru, and Brazil.
China EV maker Nio urges openness in US speech amid tensions
In a rare speech at Harvard University, Nio founder William Li advocated for openness in the Chinese electric vehicle (EV) market, contrasting it with potential restrictions in the US. He praised Tesla's success in China and emphasized the benefits of competition for industry growth and sustainability. Tensions between China and the West over EV exports and subsidies are escalating, with concerns raised by politicians in both the US and EU. While few Chinese EVs are sold in the US due to tariffs, Nio is considering entry. In China, Nio sold 30,053 EVs in the first quarter, compared to Tesla's 132,420 vehicles.
Gulf markets tick down after Iran attacks Israel, global traders on edge
Gulf markets experienced a slight drop on Sunday, possibly in response to Iran's attack on Israeli territory. Investors are cautious as trading resumes, particularly focusing on oil prices. Saudi Arabia's benchmark stock index closed down 0.3%, while Qatar's main index was down 0.8%. Tel Aviv's broad index, however, rose 0.3%. Iran's attack has heightened geopolitical tensions, potentially impacting oil prices, which were already rising due to concerns about Iran's response. Amidst this, haven assets like gold saw gains, while Bitcoin experienced volatility. Geopolitical concerns coincide with ongoing economic factors, such as U.S. inflation data and its implications for the Federal Reserve's policies. Despite geopolitical uncertainties, some investors remain focused on broader economic trends and the implications of inflation for monetary policy.
