Stocks move higher
NEW YORK (AP) – Stocks shook off a wobbly start and gained ground in afternoon trading on Wall Street after yesterday’s big sell-off in tech stocks a day earlier. It’s the latest turbulence for the market as traders brace for more earnings reports from major U.S. companies. The S&P 500 was up 1.3% after shifting between gains and losses in the early going. The Nasdaq rose 1.2% and the Dow Jones Industrial Average rose 1.2%. Visa surged 8.4% after reporting better-than-expected first-quarter earnings. Boeing slumped 8.6% after reporting a much bigger loss than Wall Street anticipated. The yield on the 10-year Treasury rose to 2.79%.
NEW YORK (AP) – The owner of a New York-based hedge fund that collapsed when it defaulted on margin calls has been arrested on charges alleging he defrauded leading global investment banks and brokerages. The charges unsealed today in an indictment in Manhattan federal court named Bill Hwang, the founder of Archegos Capital Management, and his former chief financial officer, Patrick Halligan. They face racketeering conspiracy and other charges. Hwang’s attorney said lawyers were extremely disappointed with a prosecution that they believe has absolutely no factual or legal basis. Halligan’s lawyer said he is innocent and will be exonerated.
NEW YORK (AP) – Former President Donald Trump has appealed a New York judge’s decision to hold him in contempt of court and fine him $10,000 per day for failing to adequately respond to a subpoena issued in the state attorney general’s civil investigation into his business dealings. Trump’s lawyer filed a notice of appeal today with the appellate division of the state’s trial court, making good on her pledge to challenge Manhattan Judge Arthur Engoron’s ruling, issued Monday. New York Attorney General Letitia James, a Democrat, had asked the court to hold Trump in contempt after he failed to produce any documents to satisfy a March 31 court-imposed deadline to meet the terms of the subpoena.
WASHINGTON (AP) – Lawmakers are vowing to continue investigating consulting firm McKinsey’s company after a hearing scrutinizing the company’s for the Food and Drug Administration even as it advised opioid drugmakers on boosting sales. The hearing before a House committee is part of an investigation into the consulting giant’s role in the opioid crisis that has been linked to 500,000 overdose deaths. Congressional investigators questioned a top McKinsey executive about staffers who simultaneously advised opioid drugmakers like Purdue Pharma and their federal regulator, the FDA. The company’s Bob Sternfels said McKinsey did not share FDA information with drugmakers and has reformed how it does business. McKinsey no longer consults for opioid makers.
BOSTON (AP) – Microsoft says cyberattacks by state-backed Russian hackers have destroyed data across dozens of organizations in Ukraine and produced a “chaotic information environment.” The company said in a report released today that Russia-aligned threat groups were preparing long before the Feb. 24 invasion. It said they were “pre-positioning for the conflict” as early as a year ago, hacking into networks to obtain footholds they could later use to collect “strategic and battlefield intelligence or to facilitate future destructive attacks.”