NZ public service agencies called to trim expenses

Good Morning,

NZ’s public service agencies asked to cut spending, Burger Fuel has delayed its appearance in the High Court, ICJ says it will not throw out South Africa’s case alleging genocide by Israel in Gaza, Tesla erases $80 bln in valuation after Musk's sales warning, China presses Iran to rein in Houthi attacks in Red Sea, PayPal is preparing to launch AI-based products, and Microsoft to lay off 1,900 staff.

Let's jump in.

Before The Bell

Markets

• The New Zealand sharemarket had another quiet day, ignoring further gains on Wall Street, but it completed the week with a healthy rise of more than 1 per cent. (GR)

• The S&P 500 closed at an all-time high for a fifth straight session on Thursday after data showing strong U.S. economic growth in the fourth quarter boosted sentiment. (RT)

• ASX was closed for the Australia Day holiday. (GR)

• The US economy grew at a 3.3 per cent annualised rate during the final quarter of last year, capping off a strong 2023 that defied recession fears and prompted President Joe Biden to attempt to claim credit. (Herald)

Earnings and Data

• Intel slumped nearly 12 per cent on Friday reeling from a bleak first-quarter revenue outlook. (RT)

News Summary

• The government is being accused of quietly expanding the reach of its public service cuts to pay for promised tax breaks. (RNZ)

• Kiri Allen’s court date has been set for judge-alone trial after driving incident. (Herald)

• An Auckland JP accused of being part of an elaborate international investment scam by allegedly laundering $1.8 million in stolen money has appeared in court and been granted suppression. (Herald)

• The public service agencies asked to cut spending. (RNZ)

• National energy prices increase last December expected to stay around. (RNZ)

• Burger Fuel has delayed its appearance in the High Court in a 'mutually agreed' move to provide shareholders with further time to review relevant materials. (NBR)

• Fonterra to install electrode boiler at Edendale plant in Southland to reduce emissions. (Herald)

• The global recovery of tourism to pre-Covid levels is under way but data show Aotearoa is lagging behind the rest of the world. (NBR)

• Tesla erases $80 bln in valuation after Musk's sales warning. (RT)

• Toyota Motor union demands record 2024 bonuses. (RT)

• Salesforce laying off 700 workers in latest tech industry downsizing. (RT)

• Tesla to recall nearly 200,000 vehicles in US. (RT)

• PayPal to launch AI-based products as new CEO aims to revive share price. (RT)

• UK antitrust regulator begins investigation of Vodafone-Hutchison merger. (RT)

• Microsoft to lay off 1,900 Activision Blizzard, Xbox staff. (RT)

• Biden hits pause on natural gas projects amid thread of carbon ‘mega bombs’. (Guardian)

• China presses Iran to rein in Houthi attacks in Red Sea. (RT)

• ICJ says it will not throw out South Africa’s case alleging genocide by Israel in Gaza. (Guardian)

Deal Flow

VC & Fundraising

• Elon Musk's artificial intelligence start-up xAI is in talks to raise up to $6 billion at a proposed valuation of US$20 billion. The start-up has been in talks with family offices in Hong Kong and is targeting sovereign wealth funds in the Middle East for the funding. (RT)

Daily Picks

• First ever Manu World Championships offers $30,000 prize. (RNZ)

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