- The PGA Tour and LIV Golf sign a shocking merger deal.
- The SEC is suing Coinbase a day after Binance was sued.
- Canadian wildfire smoke leads to unhealthy air quality in the US
On May 3, 2023, people walk down Wall Street in front of the New York Stock Exchange (NYSE).
Spencer Platt | Getty Images
Here is the key news investors need to start the trading day:
Otherwise, Tuesday might have been monotonous for US stock markets, but the session nonetheless gave the broad S&P 500 index its highest since August and the tech-heavy Nasdaq a fresh 2023 high. So at least for now, it looks like it will the markets just fluctuate. Earnings season is all but over, the debt ceiling is in place after the 2024 election, and recent data has shown the resilience of the US economy. However, the Federal Reserve’s monetary policy committee meets next week, which could make things more interesting. Follow live market updates.
Former U.S. President Donald Trump watches from the second green during the Pro-Am prior to the LIV Golf Invitational – Bedminster at Trump National Golf Club Bedminster on July 28, 2022 in Bedminster, New Jersey.
Jonathan Ferrey | LIV Golf | Getty Images Sports | Getty Images
Nobody saw this coming. The PGA Tour and its Saudi-backed rival LIV Golf announced a merger deal that sent shockwaves through the sports, geopolitical and business communities. The settlement came after seven weeks of secret talks – and months of bitter public fighting that included lawsuits, player bans and lobbying campaigns on Capitol Hill. Now, if the deal goes through, Saudi money and all its baggage will have an even bigger presence in the lucrative Gulf universe. While the deal cheered some, including LIV golfer Phil Mickelson and tournament moderator Donald Trump, it sparked outrage from many and put PGA Tour Commissioner Jay Monahan in the hot seat.
First Binance, now Coinbase. After filing charges against the world’s largest crypto exchange on Monday, the Securities and Exchange Commission on Tuesday indicted publicly traded company Coinbase, alleging that it “defended the regulatory structure and circumvented the disclosure requirements” of securities laws. Shares of the crypto company fell 12% on Tuesday after falling 9% on Monday after the SEC crackdown on Binance. “These trading platforms, they call themselves exchanges, combine a number of functions,” SEC Chairman Gary Gensler told CNBC. “We do not believe that the New York Stock Exchange operates a hedge fund.” In turn, Coinbase accused the SEC of relying heavily on an “enforcement-only” approach to the crypto industry.
The sun is veiled as it rises in a hazy, smoky sky behind the Empire State Building, One Vanderbilt and the Chrysler Building in New York City, as seen from Jersey City, New Jersey June 6, 2023.
Gary Hershorn | Corbis News | Getty Images
Raging wildfires in Canada have blanketed much of the northern US in smoke and haze, resulting in poor air quality and an eerily apocalyptic hue in the sky. Officials from Minnesota to New England sent out alerts about the air, warning that it could be especially harmful to people with heart and respiratory conditions. In New York City, the air was so bad that it exceeded the limits set by the World Health Organization. The smoky skies could also last for most of the summer as Canada faces what may be its worst wildfire season on record, reports CNBC’s Emma Newburger. It is expected to last until August.
The entrance to the Hyundai Motor Asan factory in Asan, south of Seoul.
YELIM LEE | AFP via Getty Images
Hyundai and Kia shares fell in foreign trading on Wednesday after New York City sued South Korean automakers in federal court because many of their vehicles were too easy to steal. “By putting profit before safety and deviating from industry norms by not making immobilizers a standard safety feature, the defendants created and perpetuated a public nuisance,” the city said in a lawsuit. Hyundai and Kia vehicles became the subject of TikTok videos showing an easy way to bypass and steal them, leading to a huge increase in vehicle thefts in cities. Hyundai and Kia said they have taken anti-theft measures and are working with US security and transportation agencies.
– CNBC’s Samantha Subin, Lillian Rizzo, Jessica Golden, Rohan Goswami, Emma Newburger and Jihye Lee contributed to this report.
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