- International Monetary Fund (IMF) Managing Director Christine Lagarde said Greece must reform its economy before it gets any debt relief from European creditors, and pointed out that Greece's economy was recovering before Prime Minister Alexis Tsipras' Syriza came to power. "We have received so many 'latest' offers, which themselves have been validated, invalidated, changed, amended, over the course of the last few days, that it's quite uncertain exactly where the latest proposal stands," she said in an interview published by Reuters. "I think there is a democratic process that is underway, and that should result in hopefully more clarity, less uncertainty as to what is the determination of the Greek people, and what is the authority of the government," she said about the referendum.
- Chinese stocks fell sharply on Thursday despite efforts by regulators to reverse their slide. The CSI300 index of the largest listed companies in Shanghai and Shenzhen fell 3.4% to 4,107.99, while the Shanghai Composite Index lost 3.5% to close at 3,912.77 points. Late on Wednesday, Chinese regulators relaxed collateral rules for margin lending, as margin finance has played a big role in pushing Chinese stocks to a seven-year high. At the same time, the Shanghai and Shenzhen stock exchanges cut their transaction fees by 30%.
- Facebook (FB) is pushing further into Google's (GOOGL) YouTube territory with a deal to share advertising revenue with content creators who broadcast video via the social network, the Financial Times writes. Both Facebook and Google are held in the Action Alerts Plus charity portfolio, which is co-managed by Jim Cramer. Google has a rating of 1 ¿ for stocks that the portfolio would buy right now ¿ while Facebook has a rating of 2, which is reserved for stocks that Action Alerts Plus would buy on a pullback.
- Insurer Ace will buy Chubb (CB) for $28.3 billion, in the insurance industry's biggest merger in history. Chubb's shares jumped by more than 26% on Wednesday when the deal was announced.
- U.S. delivery companies such as UPS (UPS) and FedEx (FDX) are taking advantage of the weakness of the euro and of the opportunities created in the wake of the economic crisis in Europe by investing in the region, the Wall Street Journal reports.
More from U.S. Equity
The indices are gapping higher in the early going Thursday morning as the market continues to celebrate a dovish Fed.
The market is cheering for rates to be cut, but forgets they are being cut on the back of global growth collapsing, which is negative for risk assets.
There is nothing the market loves more than an endless supply of cheap capital.
The central bank has made it clear that it is taking the action necessary to extend the current economic expansion.