Raphael Stevens

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    Tiger Woods was speeding as fast as 87 mph before car crash, LA sheriff says

    L.A. County Sheriff’s officers investigate an accident involving golfer Tiger Woods along Hawthorne Blvd. in Rancho Palos Verdes, February 23, 2021.Wally Skalij | Los Angeles Times | Getty ImagesTiger Woods was speeding as fast as 87 mph — more than 45 mph above the legal limit — before his SUV crashed in late February in Southern California, badly injuring the golf legend’s leg, investigators said Wednesday.Woods’ vehicle, a 2021 Genesis GV80 SUV, was going an estimated 75 mph when it crashed into a tree and began rolling over, according to the Los Angeles County Sheriff’s Department, citing a data recorder in the luxury vehicle.The recorder showed that the vehicle at some points was going 68 to 86.99 mph before Woods failed to negotiate a curve in the roadway just outside Los Angeles.It was at least Woods’ third mysterious motor vehicle accident.Sheriff Alex Villanueva — who adamantly denied that Woods received favorable treatment in this investigation — said the most recent accident on Feb. 23 was the result of the 45-year-old Woods driving in an unsafe manner given the road conditions.At a press conference, Villanueva also said there was no evidence that Woods was impaired or intoxicated at the time of the Feb. 23 crash in Rolling Hills Estates.Investigators did not check to see if Woods was texting before the crash, saying there was no need to do so.They also said they will not issue a citation for Woods, who is recovering at his home in Florida. To issue a ticket for reckless driving would require evidence that Woods had committed multiple violations before the crash, such as unsafe lane changes, or passing other cars unsafely, according to investigators.Woods has no recollection of the collision, investigators said at the press conference.Villanueva said he was able to release the cause of the crash only because Woods had consented to do so. Under the law, the sheriff said, such accident reports are confidential unless people involved in the incident agree to their public disclosure.”The primary causal factor for this traffic collision was driving at a speed unsafe for the road conditions and the inability to negotiate the curve of the roadway estimated speeds at the first area of impact were 84 to 87 miles per hour,” Villanueva said.Woods did not brake before he crashed the car, according to investigators. They said the data recorder reveals he may have inadvertently hit the accelerator instead of the brakes before the collision.”I know there are some saying that somehow he received a special or preferential treatment any, any of some kind, that is absolutely false,” Villanueva said.”There was no signs of impairment, our primary concern once we obviously at the scene of the collision was his, his safety.”Villanueva said there was no probable cause, such as open liquor containers or signs of narcotics in the car, that would have allowed investigators to obtain a search warrant to test Woods’ blood for intoxicants.In a statement released later Wednesday, Woods did not apologize for driving nearly double the legal speed limit.Instead, Woods said he was “so grateful to both of the good samaritans who came to assist me and called 911″ after his SUV finished rolling over.”I am also thankful to the LASD Deputies and LA Firefighter/Paramedics, especially LA Sheriff’s Deputy Carlos Gonzalez and LAFD Engine Co. #106 Fire Paramedics Smith and Gimenez, for helping me so expertly at the scene and getting me safely to the hospital.””I will continue to focus on my recovery and family, and thank everyone for the overwhelming support and encouragement I’ve received throughout this very difficult time,” Woods said.The golfer, who was alone in the SUV, was trapped in the wreck, which occurred after he hit a center median in the road, and then careened into brush, hitting a tree at just before 7:12 a.m. PT on Feb. 23.After being extricated from the vehicle, Woods was taken to a hospital, where he underwent emergency surgery for what a doctor at the time called “significant orthopedic injuries” to his lower right leg.A rod was inserted to stabilize his tibia and femur bones, while a “combination of screws and pins” were used to stabilize injuries to the bones of the foot and ankle, according to a statement posted on Woods’ Twitter account said.Woods had been staying at a resort in Rolling Hills after hosting The Genesis Invitational tournament. He remained in the area to do filming as part of a deal he has with Golf Digest and Discovery Channel.Just two days before the crash, Woods was asked during a CBS Sports interview if he would play at the Masters tournament, which begins at the Augusta National Golf Course in Georgia this Thursday.”God, I hope so,” he said.Woods’ epic career, which has featured 82 PGA titles and wins at 15 major championships, was upended in November 2009 after he crashed another SUV one morning into a fire hydrant just outside his then-residence in Florida.Woods was knocked unconscious from that crash for more than five minutes. His then-wife, Elin Nordegren, reportedly used a golf club to smash a window and drag him out of the car.The crash led to weeks of reports that Woods had been involved in multiple extramarital affairs. He entered a clinic for treatment shortly afterward.In May 2017, Woods was charged with driving under the influence in Florida after police discovered him asleep in a damaged car.In an apology later, Woods blamed “an unexpected reaction” to a mix of prescribed medications for his passing out.”I want the public to know that alcohol was not involved,” Woods said at that time.A month after that arrest, Woods entered a clinic for treatment related to issues with prescription pain medication and a sleep disorder.Woods was said to be using pain medication to help him get up and move while recovering from four back operations.In January, Woods revealed he had his fifth microdisecectomy surgery on his back to remove a pressurized disc fragment that was causing him pain during the PNC Championship in Orlando, Florida, in December.That tournament was the last time he competed. More

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    Op-ed: Boost to tech stocks will not last, and more pain is ahead

    Investors should be able to take advantage of bullish momentum in tech stocks for at least the next couple of months.In my last post on the subject on Feb. 4, the takeaway was “tech’s reign of relative dominance has come to an end.” The tech sector as measured by the XLK ETF went on to trail the S&P 500 by about 6% over the next month, and growth trailed value by over 14% during that same period.This is not meant to be a victory lap; far from it. A month of underperformance hardly meets the criteria for a loss of dominance. Further, the weakness of tech and growth stocks has started to reverse of late, clawing back about half of that initial underperformance.With stocks like Apple, Facebook, and Amazon trading down to their 200-day moving averages, what’s next? Is tech ready to make a comeback, or is this just a pause along the road of further underperformance? I believe it is the latter.  Zoom In IconArrows pointing outwardsThis isn’t your grandfather’s momentumIn recent years, technology stocks have been synonymous with momentum. Today, tech accounts for nearly 35% of the widely tracked iShares Momentum ETF (MTUM). This is about to change. MTUM will rebalance during the last week of May, and the weighting to technology will likely be cut in half. Estimates forecast that financials, consumer discretionary, and industrials will carry the largest weights, and with that, additional flows will likely be attracted to those sectors.      Zoom In IconArrows pointing outwardsThis simple reconstitution is yet another catalyst for further underperformance from technology. Those that want exposure to momentum, whether through a passive ETF or an actively managed strategy, will by rule be owning less tech and more value. In fact, given tech’s heavy weighting in most indexes, every 1% rotation out of “growth & defensive” sectors is nearly a 3% increase into “cyclical” sectors.Valuation difference: hardly a dentAlthough the tech sector’s underperformance in 2021 has been noteworthy, it hasn’t made a dent in the historically wide valuation difference between growth and value stocks. Let’s not forget that over the past 10-years, growth has outperformed value by an average of 7% per year. I think many investors still haven’t come to terms with the idea that value can outperform for an extended period. As I wrote in February, “The problem is that current prices [for growth stocks] necessitate a level of future growth that will be very difficult to realize”.  I still believe this to be the case. For example, Zoom is down 43% from its all-time high, but the stock still trades at 84x next year’s earnings. Tesla is similar, down 23% from its high, but still trades at 145x forward earnings.Zoom In IconArrows pointing outwardsValue’s outperformance this year has only driven the price-to-earnings premium in the tech-heavy growth index back to 2-standard deviations above normal. We have a long way to go before the valuation gap normalizes.Interest rates: a (short-lived) opportunity for techInterest rate movements have been the primary driver of relative performance between growth and value. Days when interest rates are rising, growth and technology struggle relative to value and cyclicals.  I believe it is likely that interest rates drift sideways to lower in the coming weeks, allowing oversold conditions in certain tech names to adjust.  First, the interest rate differential between treasuries and many international government bonds is starting to attract foreign buyers to U.S. debt. European and Japanese buyers can earn an additional 1.2% by purchasing 10-year U.S. government debt versus 10-year bunds or JGBs, even after adjustments for currency risk. This increased demand may serve to compress U.S. rates for a period. Additionally, sentiment has become extreme regarding U.S. treasury bonds — usually a good contra indicator. The percentage of bearish bond investors (betting rates will rise) is in the 90th percentile, and the 6-month rate of change in the 10-year yield is in the 97th percentile. A normalization of sentiment would be another headwind to rising rates in the near term. With several large tech names at technical support, and investment flows into technology (as measured by XLK) weak, we could be due for a near-term reversal in performance leadership as the momentum higher in interest rates wanes.However, it’s unlikely to last. As foreign economies begin to ramp up vaccination efforts and their economies more fully reopen, their interest rates should rise as those bond markets anticipate higher growth and inflation. The interest rate gap should narrow, making U.S. debt relatively less attractive to foreign buyers – less demand, lower prices, higher rates for treasuries. Further, the Federal Reserve has yet to push back against rising long-term interest rates, and the 10-year yield doesn’t hit technical resistance until to the 2.0% to 2.25% range.Zoom In IconArrows pointing outwardsTaken together, U.S. rates should resume higher as we move into the second half of the year, creating a persistent headwind for tech’s relative performance.          It’s not all badIt is important to keep in mind that this is relative performance story … not one of technology crashing and burning. The stock market today remains remarkably broad, with 96% of the stocks in the S&P 500 above their 200-day moving averages. The last time we saw a reading this high was late-2009. And even though technology has lagged, 90% of tech stocks are in an uptrend. We know from history that rates and stocks can rise together. Even rates and technology stocks can rise together (see 2013 as an example). However, in the game of relative investment performance, my view remains that tech continues to fall behind.Disclosure: Jeff Mills’ firm Bryn Mawr Trust owns Apple.Disclaimer More

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    Jim Cramer says Walmart is among the stocks that will do well in a 'hybrid world'

    CNBC’s Jim Cramer revealed on Wednesday a handful of stocks he thinks will do well in the emerging “hybrid world.”The “Mad Money” host is betting many people will maintain some pandemic routines as Covid-19 health restrictions ease and more offices reopen in the coming months. Because of this, Cramer recommended investors gain exposure to the hybrid economy.”We’re headed for a hybrid world where stay-at-home habits have staying power, but you also have the ability to go out and do things,” he said. “You have to stick with the stocks that win either way.”Cramer pointed out the following stock picks as hybrid plays:Zoom In IconArrows pointing outwardsHome DepotLowe’sWalmartStanley Black & DeckerWilliams-SonomaMcCormickEtsyAll but two of Cramer’s picks have rallied double digits this year, outperforming the broader market. Williams-Sonoma is the biggest gainer in the group, up more than 75%. Walmart and McCormick are down 3% and nearly 7%, respectively, in 2021.Cramer’s recommendations came after the S&P 500 eked out a record close on Wednesday. Disclosure: Cramer’s charitable trust owns shares of Walmart.DisclaimerQuestions for Cramer? Call Cramer: 1-800-743-CNBCWant to take a deep dive into Cramer’s world? Hit him up! Mad Money Twitter – Jim Cramer Twitter – Facebook – InstagramQuestions, comments, suggestions for the “Mad Money” website? [email protected] More

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    Fed's Brainard says the economy is improving but is still 'far from' where it needs to be

    Federal Reserve Governor Lael Brainard said Wednesday that while the U.S. economic outlook has “brightened considerably,” it remains well away from the central bank’s goals.”Brighter outlook, but of course our monetary policy forward guidance is premised on outcomes not the outlook, and so it is going to be some time before both employment and inflation have achieved the kinds of outcomes that are in that forward guidance,” Brainard said on CNBC’s “Closing Bell.”She spoke shortly after the Fed released minutes from the March Federal Open Market Committee meeting, during which officials voted unanimously to hold short-term borrowing rates near zero and to continue buying at least $120 billion of bonds each month.Along with unchanged policy, FOMC members raised their forecasts for employment and inflation. But the minutes reflected Brainard’s comments that the economy still needs more improvement before it gets close to the Fed’s goals of full employment and sustained inflation above 2%.”The forecast is considerably better outcomes both on growth as well as on employment and inflation,” Brainard said. “But again, that’s an outlook. We’re going to have to actually see that in the data. When you look at the data, we are still far from our maximum employment goal.”Unemployment fell to 6% in March as the economy added 916,000 jobs, well ahead of economists’ expectations. Inflation is edging higher though the 1.6% level for March was still well below the Fed’s target.The central bank has said it will allow inflation to run somewhat above 2% for a period of time in the interest of achieving full employment that is inclusive along income, racial and gender lines. Over the past several months, the market has been pricing in both higher inflation and stronger economic growth, but Fed officials say they will maintain ultra-easy policy put in place in the early days of the Covid-19 crisis.The minutes indicated that Fed officials have little concern over inflation despite rising longer-duration government bond yields, and Brainard reiterated the view that any near-term price pressures probably won’t last.”It’s really important to recognize that these are transitory, and following those transitory pressures associated with reopening, it’s more likely that the entrenched dynamics that we’ve seen for well over a decade will take over,” she said.Enjoyed this article?For exclusive stock picks, investment ideas and CNBC global livestreamSign up for CNBC ProStart your free trial now More

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    Fed officials say easy policy will stay in place until economic 'outcomes' are achieved

    Federal Reserve officials indicated at their last meeting that easy policy will stay in place until it produces stronger employment and inflation, and won’t be adjusted based merely on forecasts.The Federal Open Market Committee on Wednesday released minutes from the March 16-17 meeting as investors looked for indications about where policy may be heading in the future.The meeting summary indicated that while officials saw the economy gaining substantially, they see much more progress needed before ultra-easy policy changes.Members said the $120 billion a month in bond purchases “were providing substantial support to the economy.””Participants noted that it would likely be some time until substantial further progress toward the Committee’s maximum-employment and price-stability goals would be realized and that, consistent with the Committee’s outcome-based guidance, asset purchases would continue at least at the current pace until then.”The adherence to “outcome-based guidance” is a pledge that the Fed will wait until the economy shows “substantial further progress” toward the dual goals of full employment and inflation that runs around 2%.The guidance is a shift in policy for the central bank, in which it previously would adjust policy in anticipation of inflation. The minutes said members agreed that changes in policy “should be based primarily on observed outcomes rather than forecasts.”Markets reacted little to the news, though some questioned whether the Fed needs to continue its historically accommodative policy stance.While the policy was adopted to deal with the uncertainty of the Covid-19 crisis, continued economic gains and progress in fighting the pandemic through vaccines makes it “difficult to understand how policy is properly calibrated now,” wrote Bob Miller, head of Americas fundamental fixed income at asset management giant BlackRock. “The same emergency stance remains despite the absence of emergency conditions.”At the meeting, the Fed’s policymaking arm voted to keep short-term borrowing rates anchored near zero and to continue buying at least $120 billion in bonds each month.The market will get plenty of notice before the committee makes any changes, the minutes said.”A number of participants highlighted the importance of the Committee clearly communicating its assessment of progress toward its longer-run goals well in advance of the time when it could be judged substantial enough to warrant a change in the pace of asset purchases,” the summary said. “The timing of such communications would depend on the evolution of the economy and the pace of progress toward the Committee’s goals.”In addition, the committee raised its outlook for economic growth and inflation ahead. The median outlook for GDP in 2021 went to 6.5%, a big upgrade from the 4.2% expectation in the December projections.Officials also indicated that the unemployment rate could fall to 4.5% by the end of the year and inflation could run to 2.2%, slightly above the Fed’s traditional 2% target.Though inflation shows up 64 times in the minutes, Fed officials indicated little concern that it might become a problem anytime soon. One notion in the minutes said that inflation forecasts were right around where FOMC members expected.During a meeting with the media a few hours before the minutes were released, Chicago Fed President Charles Evans said it would take “months and months” of higher inflation “before I’m even going to have an opinion on whether this is sustainable or not.”Heading into the March FOMC meeting, some market experts had been expecting the Fed might at least alter the duration of the bonds it has been buying to tamp down a sharp rise this year in longer-dated Treasury yields.However, Chairman Jerome Powell and other central bank leaders have said they view the rise in rates as a reflection of stronger growth expectations rather than uncomfortable inflation pressure.This is breaking news. Please check back here for updates.Enjoyed this article?For exclusive stock picks, investment ideas and CNBC global livestreamSign up for CNBC ProStart your free trial now More

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    Hospitals are seeing more young adults with severe Covid symptoms, CDC says

    People walk along Ocean Drive on March 21, 2021 in Miami Beach, Florida. College students have arrived in the South Florida area for the annual spring break ritual, prompting city officials to impose an 8pm to 6am curfew as the coronavirus pandemic continues.Joe Raedle | Getty ImagesHospitals are seeing more and more younger adults in their 30s and 40s admitted with severe cases of Covid-19, Centers for Disease Control and Prevention Director Dr. Rochelle Walensky said Wednesday.”Data suggests this is all happening as we are seeing increasing prevalence of variants, with 52 jurisdictions now reporting cases of variants of concern,” Walensky said at a press briefing on the pandemic.Scientists say new variants of the coronavirus are more transmittable and some of them may be more lethal as well, resulting in more severe cases.The highly contagious B.1.1.7 variant from the United Kingdom has become the dominant strain circulating in the United States, Walensky said.Walensky previously warned that traveling for spring break could lead to another rise in cases, especially in Florida where the variant was rapidly spreading.”I’m pleading with you, for the sake of our nation’s health,” Walensky said at a briefing last month. “Cases climbed last spring, they climbed again in the summer, they will climb now if we stop taking precautions when we continue to get more and more people vaccinated.”The B.1.1.7 variant has since spread and now accounts for more than 16,000 cases across 52 jurisdictions in the country. The variant is about 50% more transmissible than the original wild strain of the coronavirus. More

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    Jamie Dimon slams state and local tax repeal as a benefit to the rich

    In this articleJPMJamie Dimon, chief executive officer of JPMorgan Chase & Co.Giulia Marchi | Bloomberg | Getty ImagesDemocrats pushing for a repeal of the SALT cap have an unlikely opponent: Jamie Dimon.In his annual shareholder letter, the chairman and CEO of JPMorgan Chase took aim at a host of carve-outs and loopholes in the tax code that serve special interests rather than the long-term benefit of the country. Specifically, he said “state and local governments are equally to blame” because of their efforts to repeal the $10,000 cap on state and local tax deductions.And he cited research showing that the vast majority of the benefits of any SALT repeal would flow to the wealthy.He said just five states — California, Connecticut, Illinois, New Jersey and New York — “continue to fight for unlimited state and local tax deductions (because those five states reap 40% of the benefit), even though they are aware that over 80% of those deductions will accrue to people earning more than $339,000 a year.”Dimon’s highly public attack on the SALT repeal comes at a sensitive time for the tax provision. While Biden’s corporate tax hikes and infrastructure bill don’t include a SALT repeal, some congressional Democrats — including Rep. Tom Suozzi, D-N.Y., and Rep. Josh Gottheimer, D-N.J. — say they won’t support Biden’s plan unless it includes a full repeal of the SALT cap.Republicans and some Democrats say a repeal would only benefit the wealthy — which is antithetical to the Democratic Party’s values — and would cost the government more than $600 billion in lost revenue over 10 years.According to the Tax Policy Center, more than 96% of the benefits of a SALT repeal would flow to the top 20% of earners. It estimates 57% of the benefits would go to the top 1%.Those in the top 1% would see an average tax cut of $31,000 from a SALT repeal, according to the Tax Policy Center.So far the White House has been noncommittal on the issue. At a news conference Monday, White House press secretary Jen Psaki said “this will be all part of the discussion.” More

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    Carnival says bookings are rising at record pace, could switch home ports if US rules are too restrictive

    In this articleCCLCarnival Cruise Line said Wednesday that it has seen a record level of bookings during the first quarter, up about 90% from fourth-quarter levels.In addition, current bookings for 2022 are higher than those made in 2019, before the pandemic, suggesting that people are excited to travel again.”Everybody wants to go away. And I will tell you, the next best thing to actually going away is planning a vacation. And that’s what a lot of people seem to be doing right now,” said David Bernstein, Carnival’s chief financial officer, in a conference call on Wednesday.Earlier, the cruise operator said its quarterly net loss widened to $1.97 billion from a loss of $781 million a year ago, as cruises remained suspended in the U.S. due to the ongoing Covid-19 pandemic.But optimism about strong demand from customers yearning be on the sea again pushed Carnival shares to a 52-week high of $30.63 in trading Wednesday. Although the stock has given up some of its earlier gains in afternoon trading, shares are still up about 1.4%.Cruises have been one of the hardest hit sectors in the travel industry since the pandemic shut down sailing last year after mass Covid-19 outbreaks.Carnival CEO Arnold Donald said in a press release that booking trends reflect “both the significant pent up demand and long-term potential for cruising.”To boost demand in the future, the company plans to roll out six new ships by the end of the year, almost one from each of its nine brands.”They will drive even more enthusiasm, excitement and demand around our restore plans with both our brand loyalists and with new recruits,” Donald said in a conference call.Still, Carnival faces numerous challenges. It ended the first quarter with $11.5 billion of cash and short-term investments, and must make its funds last until its business resumes. To do that it must receive clearance from the Centers for Disease Control and Prevention, which currently has a ban on sailing.Carnival said it expects all of its fleets to be sailing by 2022. This summer, it is on track to resume cruise operations with 30% to 50% occupancy on nine ships across six of its brands: AIDA, Costa, P&O Cruises, Cunard, Princess Cruises and Seabour.One clear priority for 2021 is adapting its operations to meet guidelines that are still in flux.”2021 will clearly be a transition year, we expect the environment to remain dynamic over the next 12 months as we roll out our fleet, while continuing to adapt to an ever-changing situation,” Donald said.Carnival said it could shift its home ports to those outside of the U.S. if it is unable to comply with CDC protocols. The company said, for example, that it wouldn’t be able to comply with meeting a requirement that all passengers are vaccinated.”We’d prefer to have those jobs and all the staff all be here,” Donald said. “But if we’re unable to sail, then obviously we will consider home porting elsewhere.”Staffing ships is also a challenge for the company.”Our biggest constraint right now is being able to ramp up with crew,” Donald said. “It will take us minimum 60, up to 90 days, to be able to get a crew on board, trained up with new protocols, etcetera, to be able to execute sailing.” More