LBLV Nestle’s Schneider revises food company’s policy 2019/20/12
LBLV provides an overview of economic news.
Website LBLV is available at - https://lblv.com/
The main economic news for Friday, Dece,ber 20:
1. Facebook bought Packagd to develop online shopping
Facebook Inc. acquired a small video-shopping startup to help build a live shopping feature inside the company’s Marketplace product, according to a person familiar with the plans. The social media company bought Packagd, a five-person company founded by Eric Feng, a former partner with Kleiner Perkins Caufield & Byers, and most of the startup’s team joined Facebook. Packagd was building a shopping product for YouTube videos. Facebook has tried to take advantage of e-commerce for years without much success, though its Marketplace product has nearly 1 billion monthly users and launched just three years ago. Facebook-owned Instagram has also said that shopping will be a key focus in 2020, and recently added the ability for users to buy directly from brands inside the app.
2. Oil prices close to three-month highs
Oil prices stabilized near three-month highs on Friday, heading for a third consecutive weekly rise, amid easing in China-U.S. trade tensions, which has affected on demand and global economic growth outlook. International benchmark Brent crude futures added 6 cents, or 0.09%, to $66.60 a barrel, while U.S. West Texas Intermediate crude traded 6 cents or 0.1% higher at $61.12 per barrel. China on Thursday announced a list of import tariff exemptions for six oil and chemical products from the United States. That has boosted expectations for higher energy demand next year.
3. Global shares climb amid boost in sentiments
Asian shares closed to 18-month highs on Friday, while the rest also traded higher as investor sentiments has improved after U.S. Treasury Secretary Steven Mnuchin said the United States and China would sign their Phase One trade pact in early January. MSCI’s broadest index of Asia-Pacific shares outside Japan were steady after rising 1.2% so far this week and almost 5% this month. Japan's Nikkei reversed early gains after reaching a 14-month high earlier in the week, and Chinese blue-chip CSI300 rose 0.2%. In early trading, the pan-region Euro Stoxx 50 futures increased 0.3% and German DAX futures climbed 0.1%, while FTSE futures slightly declined. E-Mini futures for the S&P 500 traded at all-time highs, having risen 1.2% in the week.
4. Nestle’s Schneider revises food company’s policy
Mark Schneider, Nestle’s first outside chief executive officer in almost a century, has decided to pursue a more radical policy in the world’s largest food company. The head of the company has promised to replace as much as 10% of Nestle's existing portfolio with products of the moment by the end of 2020, presenting his vision on selling premium products in fast growing categories such as pet food and coffee, while disposing businesses in the slower growth areas of lunch meat and chocolate. However, in October Schneider indicated he would not stop at the 10% target. Thus, in December Nestle agreed to sell for $4 billion its U.S. ice-cream business, which includes Haagen-Daazs, to Froneri – its ice-cream joint venture with private equity firm PAI Partners. The food giant also sold a majority stake in Herta, its packaged meat business, to family-run Spanish company Casa Tarradellas to create a joint venture in which it would hold a 40% stake.