Uber Raises Another $1.2 Billion in Funding
Morning Money Memo…
Uber is giving users 41 billion reasons to trust its service. The interactive ride-sharing app announced Thursday that it had raised $1.2 billion in additional funding, valuating the company just north of $41 billion. The company is making efforts to display resilience in the face of recent operational, privacy and personnel issues, in addition to facing increased competition in the ride sharing space. In a statement, co-founder Travis Kalanick said Uber is "acknowledging mistakes and learning from them. … We are collaborating across the company and seeking counsel from those who have gone through similar challenges to allow us to refine and change where needed."
November was good for job creation. The economy created 321,000 jobs last month, far exceeding the 230,000 expected, while the unemployment rate remained unchanged at 5.8 percent. Employment reports for October and September were also revised to show an additional 44,000 jobs added for that two-month period. U.S. futures were up slightly heading in to the final trading day of the week. Meanwhile, markets in Europe were positive across the board, while Asian markets were mixed this morning. The Dow Jones Industrial Average was up this morning.
Has China overtaken the U.S. as the world's largest economy? The mammoth superpower with four times the U.S. population has been the center of several reports touting the takeover for the past several months, with the strongest indicator coming from International Monetary Fund's estimates that Chinese economic output will surpass U.S. economic output in 2014 by $200 billion. However, analysts argued that the immediacy of the situation is not quite as it seems, based on differing measures of economic output.
"We are comparing apples to oranges when we look at how GDP is calculated," said Art Hogan, managing director and chief market strategist for Wunderlich Securities.
The United States, he said, adds up the value of all goods and services produced, then backs out debt that has yet to be paid. China does not back out debt. The economic output comparison does not directly compare like-for-like values, and cost-of-living comparisons factor little where much of China's GDP is funded by credit.
"Bottom line, China is growing and some day they will have a larger real GDP than the U.S," he said. "That day is not here yet, and it's not a cause for trepidation."
"The Hunger Games: Mockingjay - Part 1 " could make it a three-peat at this weekend's box office. Analysts expect the third installment of The Hunger Games series to take in a cool $20 million in its third week on the big screen, easily surpassing holdovers "Penguins of Madagascar" and "Big Hero 6," "Interstellar"and "Horrible Bosses 2." "Mockingjay" so far has brought in more than $500 million at the global box office.