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Pokemon 'No': Nintendo Suffers Worst Week In 27 Years

After admitting to investors last Friday (after the close) that they won’t be able to rely on Pokemon Go to bolster profits, the company came clean this week that a widely anticipated accessory for the blockbuster app will be delayed until September. The effect is simple – Nintendo shares are down 27% this week – the worst week since Aug 1989 (when the exuberance over Super Famicom died).

Thanks to this double Pokemon “no,” Nintendo has lost over $14 billion of market capitalization in the last week.

 

 

As Bloomberg details, Pokemon Go Plus, a 3,500 yen ($33) Bluetooth gadget that helps users detect nearby virtual pocket monsters, was supposed to be Nintendo’s one measurable benefit from the explosive popularity of the game. It was set to go on sale in Japan this week, until Nintendo, Pokemon Co. and developer Niantic Inc. pushed back the accessory’s debut.

In addition, the delay will probably force analysts to adjust their estimates, which were already in disarray because of the lack of clarity over how Pokemon Go will impact the company’s bottom line. Nintendo maintained its outlook for 35 billion yen in profit for the current fiscal year when it reported earnings shortly after announcing the delay.

 

“The delay is disappointing, especially since it’s just a Bluetooth accessory that has already been available for pre-order,” said Atul Goyal, an analyst at Jefferies Group. “The sales will still accrue to Nintendo with a delay. Just as all eyes turn to Nintendo, the company’s management can’t seem to get their communication right.”

 

Mitsubishi UFJ Morgan Stanley Securities Co. estimated that Pokemon Go Plus would add 45 billion yen in sales and 8.2 billion yen in income to Nintendo for the current fiscal year, based on its original sale date. Analysts at Bank of America Corp. were predicting an extra 10.5 billion yen in profit.

 

“Is Nintendo really not even capable of producing a low-end accessory these days?,” said Serkan Toto, founder of consultant Kantan Games Inc. “It has now delayed the launch to a time when at least the initial hype around the game will definitely be over. In contrast to Pokemon Go earnings, Nintendo would have pocketed most of the margin for the device.”

 

While the Pokemon Go Plus delay was announced in Japan and the U.S., it wasn’t clear what the impact would be in other places where the game has debuted.

Maybe The Bank of Japan will buy them? Stranger things have happened.

USDJPY Plunges Again

Japanese ‘markets’ are total disaster tonight…

Liquidity is gone… as another 104.00 run breaks…

Yen futures again show the surge in volume…

“There was no visible news, but markets are nervous ahead of the BOJ meeting,” said Yuji Saito, Tokyo-based head of the foreign-exchange department at Credit Agricole SA.

This siwhat happens when everything becomes binary – based on a handful of ivory tower academics fumbling in the dark.

Democrats Hacked Again: FBI Probing "Cyber Intrusion" At Fundraising Group

Those pesky Russian hackers are working overtime.

According to Reuters, the FBI is probing a “cyber intrusion” at yet another Democratic organization, this time the Democratic Congressional Campaign Committee (DCCC) which may or may not be related to an earlier hack at the Democratic National Committee. The previously unreported incident at the DCCC, which raises money for Democrats running for seats in the U.S. House of Representatives, is said to have been intended to gather information about Democratic donors.

We anticipate another media freakout, one which again blames the Kremlin, is imminent. As Reuters puts it, “the breach and its potential ties to Russian hackers are likely to sharpen concern, so far unproven, that Moscow is attempting to meddle in U.S. elections. The issue has clouded this week’s Democratic National Convention in Philadelphia.”

The DCCC intrusion could have begun as recently as June, two of the sources told Reuters. That was when a spoof website was registered with a name closely resembling that of a main donation site connected to the DCCC. For some time, Internet traffic associated with donations that was supposed to go to a company that processes campaign donations instead went to the spoof site, two sources said. How this went on as long as it did is unclear: perhaps in addition to having problems with “email”, the Democratic party is simply unable to keep keep up with modern technology.

Sure enough, a Russian “trail” has emerged quickly. Reuters’ sources said the Internet Protocol address of the spurious site resembled one used by a Russian government-linked hacking group, one of two such groups suspected in the breach of the DNC, the nationwide strategy setting and money-raising body for the Democratic Party.

The DCCC had no immediate comment. Donation processing company ActBlue had no immediate comment.

Reuters adds that the FBI referred questions to a statement it made on Monday on the DNC hack: “The FBI is investigating a cyber intrusion involving the DNC and are working to determine the nature and scope of the matter. A compromise of this nature is something we take very seriously, and the FBI will continue to investigate and hold accountable those who pose a threat in cyberspace.”

While private cyber experts and the government were aware of the DNC hack months ago, embarrassing emails were leaked last weekend by the WikiLeaks anti-secrecy group just as the party prepared to anoint Hillary Clinton as its presidential candidate for the Nov. 8 election. 

The revelation of the DCCC breach is likely to further stoke concerns among Democratic Party operatives, many of whom have acknowledged they fear further dumps of hacked files that could harm their candidates. WikiLeaks has said it has more material related to the U.S. election that it intends to release.

While fingers will surely point to Russia, earlier today Director of National Intelligence James Clapper said the U.S. intelligence community was not ready to “make the call on attribution” as to who was responsible for the DNC hack. The White House said earlier the FBI had not disclosed any information about who was behind the hack.

Clapper, speaking at the Aspen Security Forum, acknowledged that “there’s just a few usual suspects out there” who might be responsible for the cyber intrusion, suggesting it was the work of a state actor rather than an independent hacking group.

 

Russian officials have dismissed the allegations of Moscow’s involvement. “It is so absurd it borders on total stupidity,” said Kremlin spokesman Dmitry Peskov.

So far nobody has claimed responsibility.

DNC Grand Finale: Ladies Night, Hillary Unleashed (And Katy Perry!) – Live Feed

It’s the day everyone has been waiting for – Ladies’ night. The grand finale of four days of Democratic dreamery as Kary Perry takes the stage (after Barbara Mikulski – the first woman elected to the Senate). The night will be capped off by Chelsea Clinton introducing her mother – the first female nominee for President from a major party (Victoria Woodhill was first female nominee in 1872).

 

Dont know if the Equal Rights party was considered a major political party back then. If it was than HRC not the 1st pic.twitter.com/Xl2fiE6EzV

— Helyn Bolanis (@helynbolanis) July 28, 2016

 

Live Feed (due to ‘gavel in’ at 1630ET)…

As The Hill reports,  Clinton will formally accept the Democratic presidential nomination on the final night of the party’s national convention in Philadelphia Thursday night. Campaign manager Bobby Mook said the former secretary of State will “stitch together” the themes from the first three nights of the convention.

Clinton will make the case that she’s a fighter for working-class Americans and dismiss Trump as a representative of the “ultra-wealthy” who has stepped all over the middle class on his way to the top.

 

She’ll frame herself as a natural leader with the “steadiness” Americans can count on and frame Trump as erratic and reckless.

 

And Clinton will look to highlight the stakes of the election and how she will protect the “values” the nation was founded on against what she sees as a threat from Trump, whom Democrats view as a divisive and dangerous figure.

 

“Hillary is going to stitch together each of these themes and talk about how this election is really a moment of reckoning for voters,” Mook said. “Are we going to succumb to some very powerful forces that are tearing at our social fabric, that are dividing us economically and socially? Or are we going to come together to solve these problems?”

 

Clinton will return to the theme of her 1996 book about how it “takes a village” to build a strong society.

 

The 2016 spin on that theme is how “we are stronger together,” Mook said.

 

The campaign will be looking to highlight the historic nature of Clinton’s nomination as she becomes the first female standard-bearer for a major political party in the U.S.

*  *  *

The big question is – can she trump Trump’s longest acceptance speech ever?

Trump’s speech clocked in at about an hour and 15 minutes, by various counts, making it the longest of any acceptance speeches in the last four decades.  Trump’s speech was as long as Mitt Romney’s and Barack Obama’s speeches combined in 2012.

*  *  *

Today’s tentative schedule:

Thursday, July 28

The session begins at 4:30 p.m.

  • Henrietta Ivey, a Michigan home care worker who advocates for a $15 an hour minimum wage.
  • Beth Mathias of Ohio, who works two jobs
  • Jensen Walcott and Jake Reed. Walcott was fired from her job in Bonner Springs, Kan., for asking why her co-worker, and friend,  Reed, made more than she did for the same job
  • Khizr Khan, whose son, , Humayun S. M. Khan, is one of 14 American Muslims killed after 9/11 serving in the U.S. Armed Forces
  • Retired Marine Corps Gen. John Allen, who commanded U.S. forces in Afghanistan
  • Candidates of the Democratic Senatorial Campaign Committee
  • Human Rights Campaign President Chad Griffin
  • League of Conservation Voters President Gene Karpinski
  • Rep. Sea Patrick Maloney of New York, co-chair of the Congressional LGBT Equality Caucus, and LGBT rights activist Sarah McBride
  • U.S. Sen. Barbara Mikulski of Maryland and Democratic women of the Senate
  • Chelsea Clinton, Clinton’s daughter
  • Former U.S. Secretary of State Hillary Clinton, Democratic nominee

The spin all wek has been dramatic, media watchers are getting whiplash as the liberal media desperately attempt to distract from the leaked emails content to the conspiracy theory that Trump and Putin did it…

h/t @Mark412NH