Some Apple employees have become disillusioned with the group's culture, where some have thrived while others feel sidelined.Technologyread more
Biden has shown staying power at the top of a jammed Democratic field even as polling numbers for Sanders, Warren and Harris wax and wane.2020 Electionsread more
The FDIC on Tuesday votes to approve a five-agency revision of the post-crisis regulation known as the Volcker Rule.Financeread more
The yield curve is the only economic indicator pointing to a recession, according to Credit Suisse.Marketsread more
Stocks slipped on Tuesday as investors digested a sharp rebound from a strong sell-off last week.US Marketsread more
With the official launch of the Apple Card, Goldman Sachs has embarked on a multi-decade journey to becoming a leader in consumer banking, CEO David Solomon said.Financeread more
These are the stocks posting the largest moves midday.Market Insiderread more
The move comes as Facebook continues to grapple with its privacy practices and lawmakers' scrutiny over how it uses personal data to display ads. But it probably won't have...Technologyread more
For investors still haunted by last week's monster sell-off, the market's comeback is set to last, according to J.P. Morgan's quant guru.Marketsread more
An under-the-radar hedge fund is ruling the industry with a nearly 30% return this year on its long positions, and it's more than doubling its bet on gold.Marketsread more
The Apple Card is more secure because users get a one-time-use number in the Wallet app, says the president of Mastercard's North American operations.Technologyread more
"Automakers may indeed see large financial impact and uncertainty from the tariffs, as all major OEMs import a considerable portion of the vehicles they sell in the US from Mexico," Deutsche Bank said.
Additionally, a foreign automaker lobbying group said in a statement to Reuters that tariffs on Mexico's imports "threaten the jobs of tens of thousands of Americans here in the United States."
The big three U.S. automakers each have billions of dollars at stake due both production and suppliers in Mexico. According to Deutsche Bank, GM and Fiat Chrysler import 29% and 24%, respectively, of the total parts for its cars and trucks from Mexico. Ford has the second highest total imported vehicles from Mexico at 17%, Deutsche said.
Deutsche Bank also warned that U.S. investors may be surprised by the amount of full-size pickup trucks and parts that are imported from Mexico. For example, 41% of the nearly 586,000 GM Silverado trucks sold in the U.S. are made in Mexico, the bank said.
"The suddenly renewed potential for tariffs on goods from Mexico revives a risk many believed was largely behind us," Citi Research said in a note to investors. "This new uncertainty is a clear negative for auto stocks and we expect pressure pending further clarity as to how this will play out."
In the scenario where Trump follows through with his threat to raise Mexico tariffs to 25% in the coming months, Deutsche Bank also estimated the profit each of the big three automakers would lose. The firm said the earnings before interest and taxes hit for a 25% tariff would be $6.3 billion for GM, $3.3 billion for Ford and $4.8 billion for Fiat Chrysler.