Here's what happened on Wall Street on Monday, Oct. 23.
The three major indices failed to maintain the gains they experienced earlier in the session as terrible days from General Electric and Under Armour dragged on the markets.
The Dow Jones Industrial Average closed trading down 0.23% and the S&P 500 fell 0.4%. The Nasdaq was the day's biggest loser, dropping 0.64%.
Under Armour Is Also Exploring Possibility of Exiting Tennis and Fishing
Under Armour (UAA) co-founder Kip Fulks is taking a sabbatical from the company, the Wall Street Journal reported citing sources, as Under Armour mulls whether to exit its tennis and fishing segments.
Under Armour has struggled for well over a year as slowing sales in its basketball shoe business has derailed what was once one of the most popular growth stocks on the market.
Under Armour shares were down more than 3% on heavy volume following news of Fulks' potential exit. Under Armour shares have declined nearly 45% year to date.
Snoozer Garners 12.6 Metered Rating
A foggy, uncompetitive Super Bowl rematch between the New England Patriots and Atlanta Falcons proved to be ratings gold for NBC (CMCSA) Sunday night as 12.6% of metered televisions tuned into the game, making it the most-watched program of the night.
While the NFL usually dominates the ratings when compared to other broadcasts, the league's viewership is down about 7% this season after falling double digits in 2016.
Sunday Night's rating represents a 16% increase from the week before and is the NFL's best primtime metered showing since Week 1.
Fox Offered O'Reilly a 40% Raise After Finding Out About Sexual Harassment Settlement
U.K. shadow culture secretary Tom Watson said that he would write a letter recommending U.K. officials reject 21st Century Fox's (FOXA) bid to purchase British broadcaster Sky in light of a New York Times report over the weekend saying that Fox renewed Bill O'Reilly's contract with a $25 million annual salary in spite of knowing that he paid a substantial sexual harassment settlement to a former contributor.
"The latest revelations about Bill O'Reilly are depressingly familiar. They show that 21st Century Fox engaged in a prolonged campaign to cover up allegations of serious sexual harassment by a senior employee instead of investigating the claims and taking action against him," Watson told CNBC.
More revelations about the corporate culture at 21st Century Fox - it shouldn't be allowed to take over Sky. https://t.co/zHET6mBVIx
— Tom Watson (@tom_watson) October 23, 2017
Restaurant Developer FAT Brands Rises Shortly After Debut
Strategic fast casual and casual dining restaurant developer FAT Brands (FAT) was gaining more than 8% shortly after its debut on the Nasdaq at 11 a.m. ET Monday. The company owns three restaurant concepts with 300 locations in 18 countries around the world.
FAT Brands' imprints include West Coast burger joint Fatburger, Buffalo's Cafe, Buffalo's Express and Ponderosa and Bonanza Steakhouse.
RBC Predicts a GE Dividend Cut by Nov. 13
Deane Dray of RBC, who has an "outperform" rating on the security, published a note Monday saying that General Electric (GE) could cut its hallowed dividend payout as soon as November 13 -- the date new CEO John Flannery is expected to provide further details about the struggling industrial giant's restructuring plans.
"We expect a dividend cut announcement before Nov. 13. The deterioration of GE's cash generation and sustainability of its dividend remains one of the biggest topics of debate facing the company today," Dray wrote.
GE shares were down more than 5% Monday morning and have dropped 24% year to date.
London to Charge 10 Pounds a Day for Cars That Don't Meet Emission Standards
London is following the lead of other European cities in tightening restrictions on older vehicles that do not meet current emission standards. Starting Monday, cars driving in the center of the city that do not meet European emission standards will have to pay a £10 fine.
That sits on top of a daily fine of £11.50 for any vehicle wanting the luxury of driving through central London during busy work days. Combined, the two fines could cost drivers as much as $30 a day to drive in the metropolis.
Samsung Heads Back to Court Over Apple Patent Infringement Fine
Korean smartphone maker Samsung (SSNLF) won an appeal to have judges reevaluate the $400 million fine it incurred for infringing on Apple's (AAPL) design patents for the iPhone, patent lawyer Florian Mueller reported.
The case was originally ruled on in 2012, when Samsung was ordered to pay a $1 billion fine. However, after years of litigation, that fine was lowered to $400 million and now Samsung is going to court to have the fine lowered again.
Samsung and Apple now have until Wednesday to decide on a date for a new trial.
Netflix Raises $1.6 Billion in Debt to Finance Content Production
Monday Netflix (NFLX) reported a total debt load of $4.89 billion as of the end of Q3, up from the $3.36 billion it had at the end of 2016. Last week Netflix said that it plans to spend between $7 billion and $8 billion on content next year, up from its previous estimate of $7 billion.
Original content now represents 25% of Netflix's offerings and the company has placed a premium on securing exclusive content as it looks to expand its subscriber base both domestically and internationally.
Netflix reported adding 5.3 million subscribers in the most recent quarter, placing its total at 109 million globally.
Fallout From Toys'R'Us Demise Will Be Evident This Holiday Season, Hasbro Says
Shares of toy-maker Hasbro (HAS) were down more than 2% premarket despite the company's strong third-quarter results after it warned that this year's holiday season, sales would be negatively affected by the bankruptcy of toy retailer Toys'R'Us.
Toys'R'Us' surprise move left Hasbro with $60 million in unsecured claims for payment. Hasbro was selling about 9% of its inventory through Toys'R'Us.
"As a result of the Toys'R'Us bankruptcy filing in the U.S. and Canada, there was a negative impact on our quarterly revenues and operating profit," Hasbro CEO Brian Goldner said. "We continue to work closely with Toys'R'Us as we head into the holiday period."
Merrill Lynch Failed to Report 2 Years of Trades
Bank of America's (BAC) Merrill Lynch trading branch was fined $45 million by the U.K. Financial Conduct Authority Monday for failing to report two years of exchange traded derivative transactions.
The bank is the first to pay the fine after the U.K. tightened derivative trading rules in 2012. Bank of America was able to cut the fine for failing to disclose 68.5 million transactions over a two-year period by agreeing to the penalty early on in the probe.
Tesla Scores a Victory in China
Tesla (TSLA) shares were up more than 1% premarket after the electric vehicle maker secured a deal to build a wholly owned factory in the free-trade zone of Shanghai, according to the Wall Street Journal.
The deal represents the first of its kind for a foreign automaker in China, and while Tesla will be able to slash production costs, it will still probably be forced to pay China's 25% import tariff, according to the Journal.
Premarket
Rising U.S. futures pointed to a positive opening for markets Monday as world markets also traded in the green for the most part to begin the week.
Nasdaq futures were up 0.14% ahead of the bell while S&P and Dow Jones futures contracts traded up 0.07% and 0.09%, respectively.
In Asia, the Nikkei in Japan posted its 15th straight day of gains, a record for the index, following elections that maintained authority for Prime Minister Shinzo Abe's political majority.
In Europe, the CAC 40 in France, the DAX in Germany and the FTSE 100 in the U.K were all trading in the green.
