Mining Giant Glencore Fined $1.1B Over Global Bribery and Price Manipulation Scheme

Financial Daily Dose 5.25.2022

May 25, 2022

Glencore, a giant in the commodities and mining scenes, will pay $1.1 billion “to settle charges that two of its units bribed officials in several countries and manipulated oil prices,” a deal that follows “months of negotiations between the company and prosecutors in the United States, Britain and Brazil” and addresses Glencore’s wrongdoing in the U.S., Latin America, and Africa - NYTimes and WSJ and Bloomberg and Law360

In the latest move to financially weaken Russia over its invasion of Ukraine, the United States announced this week that it will block Russia from paying American bondholders, “increasing the likelihood of the first default of Russia’s foreign debt in more than a century.” Russia has been so far making debt payments under a carve-out in place since February, but that exemption will expire today and will not be extended - NYTimes and Bloomberg

A bad report from Snap (and inferences about what it meant for the rest of the online ad industry) was all it took for traders to hit a selling frenzy that dropped some 2.35% off the Nasdaq today and threatened to do the same to the other indices before a late-day rally pulled the Dow to notch a small gain by Tuesday’s final bell - NYTimes and WSJ and Bloomberg

Stellantis is teaming up with Samsung on a $2.6 billion EV battery factory in Indiana, a “joint venture . . . expected to start production by 2025 and . . . intended to supply battery packs for Jeeps, Ram trucks and other vehicles in North America” - NYTimes and Bloomberg

Fast-food mainstay Wendy’s saw shares jump nearly 17% in after-hours trading yesterday after reports that Trian Fund Managements, its largest shareholder, “is looking at potential transactions to acquire control of the company.” Trian, helmed by activist Nelson Peltz, currently owns about 19.4% of the company - WSJ and MarketWatch

Activist streak shelved, Big Billy Ackman’s still got some thoughts to share. This week, it’s all about the Fed - MarketWatch and Bloomberg

The FTC announced a new probe into the role industry consolidation has played in the current baby formula crisis plaguing American families at the moment - NYTimes and WSJ

The Kids, such as they are these days, are back. And it seems like just about the right time to revel in the return of their particularly Canadian brand of weirdness - NYTimes

Stay safe,

MDR

 

The Robins Kaplan Financial Daily Dose features top stories and latest news headlines in financial markets, banking, securities and technology topics.