(Bloomberg) -- Japanese shares and U.S. futures dropped after sobering comments from Amazon and Apple about the impact of the coronavirus. The dollar pared overnight losses and Treasury yields ticked lower.Australian stocks also slid in limited Asia trading Friday, with much of the region out on holidays. After U.S. markets closed, Amazon.com warned of a possible second-quarter loss, while Apple omitted an earnings forecast for the first time in more than a decade. Earlier, the S&P 500 Index fell from a seven-week high in wake of a larger-than-expected jump in U.S. jobless claims. Strong results from Microsoft Corp., Facebook Inc. and Tesla Inc. had limited losses on the tech-heavy Nasdaq gauges.Despite falling on the final trading day of April, global stocks posted their biggest monthly gains in almost a decade, with the S&P 500 up the most since 1987. Investors continue to weigh a brutal economic picture against hopes for a...
(Bloomberg) -- Boeing Co. sold $25 billion of bonds in the largest offering this year, eliminating the need for more cash as the coronavirus pandemic upends the global aviation industry.The planemaker won’t seek additional funding through the capital markets or U.S. government aid at this time, according to a company statement late Thursday after the debt sale. Executives had indicated on an earnings call Wednesday that Boeing was tapping some of the tax relief available through the CARES Act and exploring several financial vehicles offered by the Federal Reserve as well as Treasury Department loans.The company burned through the most cash ever in the first quarter with travel at a standstill. Boeing was already hurting from the grounding of the 737 Max before the Covid-19 outbreak, but it’s looking to shore up liquidity even further by cutting jobs and production.Boeing has fully drawn on a nearly $14 billion term loan, and...
(Bloomberg) -- Small businesses that manage to get their Paycheck Protection Program loans forgiven may find themselves losing valuable tax breaks, according to new guidance from the Internal Revenue Service.Companies that qualify for loan forgiveness under legislation Congress approved won’t be able to deduct the wages or other businesses expenses they paid for using the loan, according to an IRS notice published Thursday.“This treatment prevents a double tax benefit,” the agency said in the notice. “This conclusion is consistent with prior guidance of the IRS.”The guidance clarifies a point of confusion in the $670 billion small business loan program to help businesses struggling as the coronavirus has brought the economy to a standstill. The law states that the forgiven loan won’t be taxed, but didn’t specify whether companies could still write off the expenses they covered with that money.The tax code permits companies to write off businesses expenses, such as wages,...
(Bloomberg) -- Oil headed for its first weekly gain in a month as global production cuts began to take effect, while early signs the coronavirus-driven plunge in demand might be starting to bottom out also aided sentiment.Futures in New York edged briefly above $20 a barrel in Asian trading and are up around 17% so far this week. The OPEC+ bloc’s 10 million barrels a day of output reductions officially start from Friday, while other producers -- including Norway and ConocoPhillips -- have said they’re also cutting back.Crude’s revival this week was supported by government data showing U.S. gasoline demand rose by the most in almost a year last week and stockpiles of the fuel shrunk. In China, the world’s biggest oil importer, rush-hour traffic in some of the biggest cities has recovered to pre-virus levels.While the demand data is encouraging it will take some time to clear a massive glut...
