Diamonds and Dogs
The chips keep coming. Semiconductor, Intel (INTC) is up 2% after raising guidance for the third quarter driven by replenishment of PC supply chain inventory & improving PC demand. The company raised guidance for Q3 (Sep), sees Q3 (Sep) revenue of $15.3-15.9 billion from $14.4-15.4 billion vs. $14.89 billion. The company is forecasting the mid-point of the third-quarter GAAP gross margins to a range of 62%, plus or minus a couple of points. Chips look good.
Let's fine them out of business. The U.S. Department of Justice wants to fine the German bank, Deutsche Bank (DB) $14 billion for their issuance and underwriting of residential mortgage-backed securities (RMBS) between 2005 and 2007. Okay, I get fining them for their bad deeds, but $14 billion? Their market cap is $18 billion. Why not fine them a trillion? Deutsche Bank has no intent to settle these potential civil claims anywhere near the number cited. Worth a try DOJ.