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Richard Parsons, who helped Time Warner divorce from AOL after what was considered one of the worst takeovers in history, has died. He was 76.

His death was confirmed by Lazard, where he was a longtime board member.

Parsons became CEO of AOL Time Warner in 2002, replacing Gerald Levin, who stepped aside two years after the media giant’s disastrous $165 billion merger with the upstart internet company.

As CEO and later chairman, he led Time Warner’s turnaround, dropping “AOL” from the corporation’s name and shrinking the company’s $30 billion in debt to $16.8 billion by selling Warner Music and other properties.

“The merger did not work out quite the way many of us expected. The internet bubble burst and we had to fix the leaks,” Parsons told The Independent in 2004. “It was not as monumental a task as many people thought, as the fundamental businesses of the old Time Warner — like publishing, the cable networks and movies — was running well.”

He said that after the merger, AOL’s business had collapsed and Warner Music Group was declining, along with the entire music industry. “So we sold our music business, as well as other nonstrategic assets, to strengthen our balance sheet and put in new management.”

Parsons stepped down from Time Warner in 2007.

Richard Dean “Dick” Parsons was born into a working-class family on April 4, 1948, in Brooklyn’s Bedford-Stuyvesant section and grew up in South Ozone Park in Queens, New York. He was a middle child among five siblings.

He attended public school, skipping two grades, and at age 16, the 6-foot-4 Parsons enrolled at the University of Hawaii, where he played basketball and met his future wife, Laura Ann Bush, whom he married in 1968.

After graduation, he returned to New York state to attend Albany Law School, moonlighting as a part-time janitor to help pay his tuition and finishing at the top of his class. During an internship at the New York state legislature, he developed ties to moderate Republican Gov. Nelson Rockefeller, who became vice president under Gerald Ford in 1974 in the wake of President Richard Nixon’s resignation. Parsons became associate director of President Ford’s domestic policy council.

“The old-boy network lives,” Parsons told The New York Times in a 1994 interview. “I didn’t grow up with any of the old boys. I didn’t go to school with any of the old boys. But by becoming a part of that Rockefeller entourage, that created for me a group of people who’ve looked out for me ever since.”

After Ford’s defeat by Jimmy Carter in the 1976 election, Parsons returned to New York and joined the law firm of Patterson, Belknap, Webb & Tyler in 1977, as did his friend Rudy Giuliani. Parsons and his wife and three children moved to Rockefeller country, Briarcliff Manor in Westchester County. Coincidentally, his maternal grandfather had been a groundskeeper on John D. Rockefeller’s nearby estate, Kykuit.

Parson’s clients included Rockefeller’s widow, Happy, and the Dime Savings Bank of New York. In 1988, he accepted an offer to head Dime Bancorp, which had been struggling through the savings & loan crisis after aggressively approving high-risk mortgages as housing prices crashed. In 1989, it posted a $92.3 million loss. By the end of 1993, after ordering massive layoffs, Parsons helped the bank complete a $300 million recapitalization. In 1995, he helped engineer Dime’s merger with Anchor Savings, creating one of the nation’s largest thrift institutions.

Parsons joined the Time Warner board on the recommendation of Rockefeller’s brother Laurance. He became president of Time Warner in 1995.

As a Rockefeller Republican, Parsons considered himself a fiscal conservative and a social liberal. Parsons worked for Giuliani’s campaign for New York mayor but kept a behind-the-scenes profile. ″I didn’t want to be positioned as the Mayor’s Black guy,″⁣ he told the Times a few years later.

Giuliani put him in charge of the mayoral transition team in 1993 but Parsons turned down an offer to become deputy mayor for fiscal affairs. His relationship with Giuliani later soured after the mayor tried to pressure Time Warner Cable to carry the then-fledgling Fox News Channel in New York.

Richard Parsons on Capitol Hill in 2008.Tim Sloan / AFP / Getty Images file

Two years after stepping down from Time Warner, Parsons became chairman of Citigroup in 2009, helping to stabilize the banking giant in the wake of the financial crisis. In May 2014, he was named interim CEO of the Los Angeles Clippers after the NBA banned owner Donald Sterling for life because he had made racist remarks.“Like most Americans, I have been deeply troubled by the pain the Clippers’ team, fans and partners have endured,” Parsons said.

Parsons played down race as a factor of his success.

“For a lot of people, race is a defining issue. It just isn’t for me,” he told the Times in 1997. “It is … like air. It’s like height. I have other things that I’m focused on.″

He later came out of retirement to briefly serve as CBS chairman in the wake of Les Moonves’ ouster following sexual harassment and assault allegations during the #MeToo movement.

After only a month as CBS’ interim chairman, Parsons stepped down suddenly in October 2018, citing health concerns.

“When I agreed to join the board and serve as the interim chair, I was already dealing with a serious health challenge — multiple myeloma — but I felt that the situation was manageable,” Parsons said in a CBS statement announcing he had been replaced by Strauss Zelnick. “Unfortunately, unanticipated complications have created additional new challenges, and my doctors have advised that cutting back on my current commitments is essential to my overall recovery.”

Parsons was active in many charities, including playing leading roles for the Jazz Foundation of America, the Apollo Theater Foundation and the Smithsonian National Museum of African American History and Culture. During his years on the Apollo Theater board, he helped the historic Harlem entertainment venue raise nearly $100 million. Parsons and his wife also donated 40 works of art to the American Folk Art Museum in July 2021 to help celebrate its 60th anniversary.

This post appeared first on NBC NEWS

After suffering a brutal selloff in the week before this one, the Nifty spent the truncated week struggling to stay afloat just below the key resistance levels. With just four working days, the Nifty resisted each day to the 200-DMA and failed to close above that point. The trading range got much narrower, and the Nifty oscillated in just 291.65 points before closing with a minor gain. The volatility also cooled off as compared to the previous seek. Against the surge of 15.48%, this week saw India VIX declining by 12.17% to 13.24. Following strong consolidation, the headline index closed with a modest weekly gain of 225.90 points (+0.96%).

From a technical perspective, we are now at a very crucial juncture. On the one hand, the Nifty has closed below the 200-DMA placed at 23861. On the other hand, the Index is just above the 50-week MA at 23568. Rounding off, this puts Nifty in a very fragile range of 23860-23500. The Nifty will have to stay above the 23500 level; any violation of this level will instill prolonged weakness in the markets and push them into intermediate corrective trends. It also needs to be noted that the technical rebound would be sustained only if Nifty is able to cross and close above its 200-DMA. The longer the Nifty stays below 200-DMA, the more vulnerable it will be to testing the 50-week MA again.

Given the holiday season, no major moves are expected globally. The Indian markets are likely to start on a quiet note. The levels of 24000 and 24150 are likely to act as resistance points. The supports come in at 23600 and 23450.

The weekly RSI is 43.74; it stays neutral and does not show any divergence against the price. The weekly MACD is bearish and stays below the signal line. A Spinning Top occurred on the candles, depicting the market participants’ indecisive mindset.

The pattern analysis shows that the Nifty has retested the 50-week MA placed at 23568 again. While the Nifty has closed above this level following a modest rebound, it remains below the crucial 200-DMA. This means that so long as the Nifty is within the 23860-23500 zone, it is unlikely to adopt any sustainable directional bias. A trending move would occur only if the Nifty takes out 23860 on the upside or ends up violating 23500 levels.

Overall, it is important to observe that the markets are not totally out of the woods yet. So long as they are trading below the 200-DMA, they remain vulnerable to a retest of the 50-week MA. A violation of this level would mean a prolonged period of incremental weakness for the markets. It is recommended that all fresh buying must be kept defensive while keeping leveraged exposures at modest levels. For a rebound to sustain, it is immensely important for the markets to cross and close above 200-DMA. Until this happens, we need to approach the markets on a cautious and highly selective basis.


Sector Analysis for the coming week

In our look at Relative Rotation Graphs®, we compared various sectors against CNX500 (NIFTY 500 Index), which represents over 95% of the free float market cap of all the stocks listed.

Relative Rotation Graphs (RRG) continue to show Nifty IT, Banknifty, Services Sector, and Financial Services indices inside the leading quadrant. Although these groups are showing some slowdown in their relative momentum, they will likely continue outperforming the broader markets relatively.

The Midcap 100 index shows sharp improvement in its relative momentum while staying inside the weakening quadrant. The Nifty Pharma index is also inside this quadrant.

The Nifty PSE, Media, Infrastructure, Energy, Auto, Commodities, FMCG, and Consumption sectors are inside the lagging quadrant. They are likely to underperform the broader markets relatively.

The Nifty Metal index is inside the improving quadrant; however, it is rapidly seen giving up on its relative momentum. Besides this, the Realty and the PSU Bank indices are also inside the improving quadrant. They are expected to continue improving their relative performance against the broader markets.


Important Note: RRG charts show the relative strength and momentum of a group of stocks. In the above Chart, they show relative performance against NIFTY500 Index (Broader Markets) and should not be used directly as buy or sell signals.  


Milan Vaishnav, CMT, MSTA

Consulting Technical Analyst

www.EquityResearch.asia | www.ChartWizard.ae

Billed as “the year of democracy,” 2024 may ultimately be remembered as the year voters sent incumbents packing.

The largest-ever single year of elections was also the worst-ever year for those in office. Every governing party facing election in a developed country this year lost vote share – the first time this has happened since records began – according to an analysis by the Financial Times.

Incumbency advantage used to be an iron law of politics. Recently, “better the devil you know” has given way to “throw the rascals out.” Voters’ instincts have been to twist, not stick. In the United States, Kamala Harris appeared to pay a price for her unwillingness to distance herself from incumbent President Joe Biden’s policies, to Donald Trump’s gain.

What might 2025 bring for incumbents and what factors are at play?

For decades in wealthy democracies, the surest way to win office was already to hold it. Incumbents were a protected class. Power would switch hands between a small number of mainstream parties, mostly after long periods of relative stability.

In emerging, poorer democracies, things were more volatile. Mainstream parties were weaker, facing constant challenges from upstart insurgents, so power changed hands more often.

But this distinction between richer and poorer democracies has blurred. Wealthy democracies have become more volatile, said Ben Ansell, a professor of comparative democratic institutions at the University of Oxford.

It’s the inflation, stupid

Why was 2024 so difficult for incumbents? Post-mortems have found a common cause of death: inflation.

Prices jumped in many countries after the Covid-19 pandemic and Russia’s full-scale invasion of Ukraine. Driven by a range of factors, including supply disruptions and a rebound in demand, global inflation reached its highest level since the 1990s in 2022. Voters hated it. Even if most of the causes were global, the governments that presided over soaring costs ultimately paid the price.

Perhaps governments had forgotten just how much voters detest inflation. During and after the last big global shock, the 2008 financial crisis, inflation remained relatively low, despite years of huge government stimulus.

Although unemployment soared in the United States and Europe after 2008, inflation was largely stable. The economic pain was more intense for some but was less diffuse. “Inflation hurts everybody less than unemployment, but it’s so widespread,” said Ansell. As the economist Isabella Weber recalled in the New York Times: “Unemployment weakens governments. Inflation kills them.”

Perhaps lessons can be learned from Mexico, which elected Claudia Sheinbaum from the governing Morena party, a rare bright spot for incumbents in Latin America amid a long run of defeats. To stem inflation, her party introduced price controls to cap the price of basic groceries in 2022 and renewed the measure last month.

Although mainstream economists are uneasy about price controls, Weber, economics professor at the University of Massachusetts Amherst, points out Western countries have already implemented a global price cap on Russian oil. In the face of overlapping crises, perhaps this taboo will crumble.

If inflation really was the culprit, this may be good news for tomorrow’s incumbents. Once prices stabilize, wages catch up and voters get used to the new cost of eggs, those in office – barring more price shocks – ought to have an easier time in the years to come. At least, that’s the theory.

Shopping around

But it’s not the only theory. The defeat or retreat of incumbents across the globe cannot be explained by materialist factors alone. Cultural, structural forces are also at play, which may be making volatility the rule, not the exception.

This erosion of partisan loyalty has opened the field to new actors who scorn the old rules of the game and chip away at its norms. Vicente Valentim, an assistant professor at the European University Institute in Florence, said this happens at both the policy level, such as the backlash against immigration and gender equality, and the procedural, such as refusing to concede an election or casting doubt on the integrity of a vote.

If supply is changing, so is demand. One explanation for rising volatility is that voters have become more like consumers: hard to satisfy, hungry for gratification, always shopping around.

Perhaps one can map changing voter habits onto changing consumer habits. Rather than going to a small selection of bricks-and-mortar stores to buy a fixed selection of goods, many in wealthy democracies have become used to being brought what they want when they want. Amazon and Netflix spoil their customers with choice; voters might expect democracies to catch up.

Having to “choose between the two stores that have always been on the street” – one left, one right – “seems quite mid-20th century in an early 21st century world that we’re used to in every other way,” said Ansell.

On the horizon

A brief survey of upcoming elections suggests 2025 may be equally hard for incumbents in democracies. After failing to hold his coalition together for a full term, German Chancellor Olaf Scholz is almost certain to be ousted in February’s snap election, called after he lost a confidence vote this month.

Canadian voters are also likely to end Justin Trudeau’s near-decade-long premiership. The election must be held on or before October 20, but could be brought forward if his coalition also falls apart.

Opinion polls suggest center-left Trudeau may be replaced by the conservative firebrand Pierre Poilievre. A similar story is expected to play out in Australia, where the Labor Party’s Anthony Albanese faces a fierce challenge from the Liberals’ Peter Dutton.

In Europe, next year’s picture is somewhat skewed, as Kremlin-linked propaganda campaigns seek to boost the chances of candidates friendlier to Moscow. Despite what many in the West see as an impressive first term as president, Moldova’s Maia Sandu won reelection by the thinnest of margins in October. Whether her pro-Western party can keep its majority in parliamentary elections in May is less clear. The Kremlin has officially denied accusations by Moldova that it orchestrated and funded a widespread interference campaign this year.

Romania will also have to decide how to proceed after its top court annulled the first round of its presidential election, which it said was marred by Russian interference. A victory for far-right ultranationalist candidate Calin Georgescu – a virtual unknown before the fall – is still on the cards when a new election is held. Russia has denied interfering in the electoral process.

Things may be different in Latin America. Opinion polls indicate Daniel Noboa is better placed than most incumbents to win a second term when Ecuador votes in February, but blackouts and street violence have bolstered his main challenger, Luisa Gonzalez. And while Xiomara Castro – Honduras’ first female president – may win again in November, observers warn she is showing authoritarian tendencies.

And so, 2025 may look like a slimmed-down version of 2024, with fewer elections but incumbents continuing to struggle.

A charitable reading would say this is no bad thing. If voters are unhappy with their leaders, they should boot them out.

Adam Przeworski, a political scientist, once defined democracy as “a system in which parties lose elections.” (This won’t apply in Belarus next month, however, where Alexander Lukashenko – president since 1994 – will be confident of winning another four-year term. Votes in Belarus are widely seen as neither free nor fair.)

But interminable defeats – like Lukashenko’s interminable victories – should set alarm bells ringing. Elections send signals to governments, said Ansell. “You need to be able to punish people, but you also need to be able to reward them.”

If elections become all stick and no carrot, the process risks descending into sound and fury, to the detriment of both politicians and voters.

This post appeared first on cnn.com

In this video, Mary Ellen highlights whether to buy last week’s pullback. She discusses the rise in interest rates and why, as well as which areas are being most impacted. Last up, she reviews potential winners with new Trump policy, how to spot a downtrend reversal, and the signals that you should use to exit a stock.

This video originally premiered December 27, 2024. You can watch it on our dedicated page for Mary Ellen on StockCharts TV.

New videos from Mary Ellen premiere weekly on Fridays. You can view all previously recorded episodes at this link.

If you’re looking for stocks to invest in, be sure to check out the MEM Edge Report! This report gives you detailed information on the top sectors, industries and stocks so you can make informed investment decisions.

Kenyan President William Ruto has promised to stop abductions of government critics, in an apparent change of stance for a leader who has previously called the wave of disappearances “fake news.”

Ruto, his government officials and police have maintained for months that there were no abductions. Ruto has also demanded names of the missing from families, and told parliament that the reports were fabricated to tarnish his government’s name. At least 82 government critics have allegedly gone missing after a youth-led protest movement erupted in June against a controversial finance bill, though some have resurfaced.

Ruto’s remarks on Saturday did not acknowledge government culpability for those missing, however. The Kenyan leader also said that parents should better “take care” of their children.

“What has been said about abductions, we will stop them so Kenyan youth can live in peace, but they should have discipline and be polite so that we can build Kenya together,” Ruto said at a stadium in Homa Bay, in the west of the country.

Among the disappeared are two young men who shared AI-generated images of Ruto in a casket that some considered offensive and a popular cartoonist whose images of the president went viral. Despite Ruto’s speech, a state-funded human rights body says 29 people remain unaccounted for, including six people who disappeared days before Christmas.

Human rights defenders allege that all of the missing activists and critics are believed to have been tracked down by government intelligence who tapped into phone signals. The protests were widely mobilized online, before they spread onto the streets.

Human rights activist Bob Njagi, who said he was abducted this summer, reacted to Ruto’s comment: “It was an admission that they’re happening under their watch, if not by them.”

Njagi leads the Free Kenya Movement, which he described as a consortium of organizations united in pursuit of change for the country. He was one of the most prominent figures behind the protests against Ruto’s government before he disappeared.

Njagi said that he was driven to an undisclosed location, stripped naked and chained to the floor for the first two days of his detention. He said that Kenyan security officers held him incommunicado, handcuffed and blindfolded in solitary confinement for 30 more days but was released after a judge threatened to jail the police chief for not revealing his whereabouts.

“They’re Kenyan security officers who took us because they told me we had become a threat to the state. These men would just give us one meal a day – ugali (cornmeal) and cabbage or beans,” he said.

Until President Ruto’s comments, the Kenyan government has always denied that anyone was missing. “Social media has been used to perpetuate the narrative that certain lawful arrests were abductions when, in fact, those arrested were either awaiting trial or have been released after necessary legal procedures,” Chief Minister Musalia Mudavadi said last week.

Njagi said that he was never formally questioned, “but the guys who brought us food would ask random questions, like, ‘who’s been funding you?’ and who our associates were.”

The detention was excruciating for many reasons, he said, including that he couldn’t communicate with his family. Njagi was expecting a daughter. She was born nine days before he was released.

Njagi is now reunited with his now three-month-old daughter. But others like Gideon Kibet, a 24-year-old college student who drew the viral cartoon of Ruto, are still missing.

Kibet disappeared after meeting opposition senator Okiya Omtatah on Christmas Eve.

Kibet’s younger brother Ronny Kiplangat, who is also still missing, had disappeared a few days earlier. The brothers’ family fears that security forces used Kiplangat as bait to lure Kibet – who was studying outside the capital – to Nairobi.

Omtatah said that both Njagi and Kibet were abducted by security forces after leaving his office.

“(Kibet) boarded a matatu after my driver dropped him off in the city center. As they have done with others, they must have blocked the matatu and snatched him from it,” he said.

“If you look at the attitude of the police, they know what is happening. The state is simply allowing it or acquiescing to it,” Omtatah said.

Like many young Kenyans, Kibet was once a fervent Ruto supporter. But he turned into a sharp critic as the euphoria that propelled Ruto to power has turned into disappointment with his government over corruption, unemployment, and an anemic economy.

Kibet is among many youth that voted for Ruto’s “hustler-in-chief” promise of a better future, but have soured on his government just two years in.

Twenty-two-year-old Peter Muteti Njeru was abducted from a suburb outside Nairobi last week.

Njeru had posted an AI-generated image of Ruto in a casket on social media, but deleted it after some commenters said it could amount to treason under Kenyan law.

CCTV footage from a shop in Njeru’s apartment building showed two men ambushing him before dragging him into a car that speeds off.

“Where do you draw the line between power and dictatorship?,” Njeru’s cousin Ansity Kendi Christine said in reference to the abduction.

Christine, who says their whole family voted for Ruto, added: “It’s a shame I will carry for the rest of my life.”

Kenya’s recently impeached Deputy President Rigathi Gachagua has claimed that a rogue unit of security officers outside of the command of the police was carrying out abductions and killings in the country. Some youth who went out to protest and disappeared were later found dead.

“Your guess is as good as mine as to who is the commander of that unit,” he told reporters, demanding that it be dismantled.

Gachagua hinted that his former boss and running mate Ruto was ultimately responsible after Kenya’s police chief denied involvement in the disappearances.

“For the avoidance of doubt, the National Police Service is not involved in any abduction, and there is no police station in the country that is holding the reported abductees,” Inspector General of Police Douglas Kanja said in a statement last week.

Omtatah has called on Kanja and Kenya’s chief detective to “come clean” on the abductions or quit.

Meanwhile, Ruto’s promise to stop the abductions can’t come soon enough for the families of the missing.

Retired civil servant Gerald Mwangi, whose son has been missing since Saturday, is hoping Ruto will keep his word.

Billy Mwangi, 24, disappeared from his barbershop’s doorstep the day after a now suspended X account believed to belong to him, posted a doctored photo showing Ruto’s head emerging from a casket.

Mwangi’s father hopes his son will be released after Ruto’s announcement. In the meantime, he says, he is continuing what he calls a “layman’s investigation” into his son’s disappearance.

Civil society groups and professional bodies have condemned the abductions, calling them enforced disappearances with the regional cartoonists society decrying a return to the “dark days of censorship, detention without trial, torture and murder of voices critical of the government.”

And, while a civilian-led police oversight body is investigating, many Kenyans have little faith in their independence.

“We believe in God and I believe that my son is going to be released,” Mwangi said.

This post appeared first on cnn.com

Breadth became oversold last week and stocks rebounded this week. Is this a robust rebound or a dead cat bounce? Today’s report will show a key short-term breadth indicator hitting its lowest level in 2024 and becoming oversold. A rebound is in place, but it is still too early to call this a robust rebound and we will show the critical level to watch.

Short-term breadth indicators, such as the percentage of stocks above their 50-day SMAs, are well-suited to identify oversold setups. For example, SPX %Above 50-day SMA fluctuates between 0 and 100%, and becomes oversold with a move below 20%. Such a move signals excessive downside participation that can foreshadow a bounce in SPY. The chart below shows this indicator in the top window and SPY in the lower window. The pink shadings mark oversold periods. There were three in 2022, three in 2023 and just one in 2024, which is a testament to the strong bull market this year.

Oversold is a double-edged sword. While oversold conditions increase the chances for a bounce, an indicator can become oversold and remain oversold. Keep in mind that oversold conditions materialize after strong selling pressure. Stocks were hit hard and often need some time to stabilize before a successful rebound. On the chart above, we can see oversold conditions lasting 4-5 weeks on three occasions. We can also see double dips as the indicator bounced and then dipped back below 20% (pink arrows).

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When does an oversold bounce go from a dead cat bounce to a robust rebound? When there is a material increase in upside participation. A move above 50% means the cup is half full for short-term trends. I add a little buffer to this threshold by requiring a move above 60%. This ensures that most stocks are recovering, increasing the chances for a robust rebound. The blue dashed lines on the chart below show these signals.

Signals within bull markets usually work better than signals within bear markets. There were two signals in 2022, which was a bear market period. Price extended higher after these bounces, but the bounces were relatively short-lived as the bear market reasserted control. The bull signal in April 2023 proved timely, as did the bull signal in mid November 2023.

Looking at the current situation, SPX %Above 50-day became oversold with a dip below 20% last week and moved back above 30% this week. Further strength above 60% is needed to show a material increase in upside participation. Given the propensity for double dips, I would also be on guard for another dip below 20%.

We will next look at another short-term breadth indicator for setups and signals. This indicator is more sensitive than SPX %Above 50-day, which can generate timelier signals. This section continues for Chart Trader subscribers. 

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A man who killed 35 people by plowing his car into a crowd at a sports center in southern China has been sentenced to death, state media reported on Friday.

Fan Weiqiu, 62, rammed his car into people exercising at the outdoor venue in the city of Zhuhai last month, in the country’s deadliest known act of violence against the public in a decade.

China has been gripped by a surge of sudden episodes of violence targeting random members of the public – including children – in recent months as economic growth stutters, unnerving a public long accustomed to low violent crime rates and ubiquitous surveillance.

Fan was sentenced at the Zhuhai Intermediate People’s Court on Friday after pleading guilty earlier in the day, state broadcaster CCTV reported.

Shortly before 8 p.m. on November 11, Fan drove his car into the crowd, in a rage caused by his failed marriage and what he saw as an unfair divorce settlement, the court concluded.

As his small off-road vehicle mowed across the grounds of Zhuhai Sports Center, he hit dozens of people exercising around a track.

After the attack, officers found Fan in the car trying to injure himself with a knife and took him to hospital, police said in their previous statement.

“The court finds that defendant Fan Weiqiu’s criminal behavior was despicable; the nature of the crime particularly was brutal; the way the crime was committed was particularly cruel,” the court said, as quoted by CCTV.

The attack had the highest such death toll has seen since 2014, when a string of attacks rocked the far western region of Xinjiang.

The hit-and-run prompted Chinese leader Xi Jinping, who described the attack as “extremely vicious,” to call for severe punishment, CCTV previously reported.

Fan’s sentencing came just days after another Chinese court handed down a suspended death sentence to a man who rammed his car into crowds outside a primary school in central Hunan province injuring 30 people, including 18 students.

This post appeared first on cnn.com

If the Covid era marked a boom time for digital health companies, 2024 was the reckoning.

In a year that saw the Nasdaq jump 32%, surpassing 20,000 for the first time this month, health tech providers largely suffered. Of 39 public digital health companies analyzed by CNBC, roughly two-thirds are down for the year. Others are now out of business.

There were some breakout stars, like Hims & Hers Health, which was buoyed by the success of its popular new weight loss offering and its position in the GLP-1 craze. But that was an exception.

While there were some company-specific challenges in the industry, overall it was a “year of inflection,” according to Scott Schoenhaus, an analyst at KeyBanc Capital Markets covering health-care IT companies. Business models that appeared poised to break out during the pandemic haven’t all worked as planned, and companies have had to refocus on profitability and a more muted growth environment.

“The pandemic was a huge pull forward in demand, and we’re facing those tough, challenging comps,” Schoenhaus told CNBC in an interview. “Growth clearly slowed for most of my names, and I think employers, payers, providers and even pharma are more selective and more discerning on digital health companies that they partnered with.” 

In 2021, digital health startups raised $29.1 billion, blowing past all previous funding records, according to a report from Rock Health. Almost two dozen digital health companies went public through an initial public offering or special purpose acquisition company, or SPAC, that year, up from the previous record of eight in 2020. Money was pouring into themes that played into remote work and remote health as investors looked for growth with interest rates stuck near zero.

But as the worst waves of the pandemic subsided, so did the insatiable demand for new digital health tools. It’s been a rude awakening for the sector.  

“What we’re still going through is an understanding of the best ways to address digital health needs and capabilities, and the push and pull of the current business models and how successful they may be,” Michael Cherny, an analyst at Leerink Partners, told CNBC. “We’re in a settling out period post Covid.”

Progyny, which offers benefits solutions for fertility and family planning, is down more than 60% year to date. Teladoc Health, which once dominated the virtual-care space, has dropped 58% and is 96% off its 2021 high.

When Teladoc acquired Livongo in 2020, the companies had a combined enterprise value of $37 billion. Teladoc’s market cap now sits at under $1.6 billion.

GoodRx, which offers price transparency tools for medications, is down 33% year to date. 

Schoenhaus says many companies’ estimates were too high this year.

Progyny cut its full-year revenue guidance in every earnings report in 2024. In February, Progyny was predicting $1.29 billion to $1.32 billion in annual revenue. By November, the range was down to $1.14 billion to $1.15 billion.

GoodRx also repeatedly slashed its full-year guidance for 2024. What was $800 million to $810 million in May shrank to $794 million by the November.

In Teladoc’s first-quarter report, the company said it expected full-year revenue of $2.64 billion to $2.74 billion. The company withdrew its outlook in its second quarter, and reported consecutive year-over year declines.

“This has been a year of coming to terms with the growth outlook for many of my companies, and so I think we can finally look at 2025 as maybe a better year in terms of the setups,” Schoenhaus said.  

While overzealous forecasting tells part of the digital health story this year, there were some notable stumbles at particular companies. 

Dexcom, which makes devices for diabetes and glucose management, is down more than 35% year to date. The stock tumbled more than 40% in July — its steepest decline ever — after the company reported disappointing second-quarter results and issued weak full-year guidance. 

CEO Kevin Sayer attributed the challenges to a restructuring of the sales team, fewer new customers than expected and lower revenue per user. Following the report, JPMorgan Chase analysts marveled at “the magnitude of the downside” and the fact that it “appears to mostly be self-inflicted.” 

Genetic testing company 23andMe had a particularly rough year. The company went public via a SPAC in 2021, valuing the business at $3.5 billion, after its at-home DNA testing kits skyrocketed in popularity. The company is now worth less than $100 million and CEO Anne Wojcicki is trying to keep it afloat.

In September, all seven independent directors resigned from 23andMe’s board, citing disagreements with Wojcicki about the “strategic direction for the company.” Two months later, 23andMe said it planned to cut 40% of its workforce and shutter its therapeutics business as part of a restructuring plan. 

Wojcicki has repeatedly said she intends to take 23andMe private. The stock is down more than 80% year to date. 

Investors in Hims & Hers had a much better year.

Shares of the direct-to-consumer marketplace are up more than 200% year to date, pushing the company’s market cap to $6 billion, thanks to soaring demand for GLP-1s. 

Hims & Hers began prescribing compounded semaglutide through its platform in May after launching a new weight loss program late last year. Semaglutide is the active ingredient in Novo Nordisk’s blockbuster medications Ozempic and Wegovy, which can cost around $1,000 a month without insurance. Compounded semaglutide is a cheaper, custom-made alternative to the brand drugs and can be produced when the brand-name treatments are in shortage.

Hims & Hers will likely have to contend with dynamic supply and regulatory environments next year, but even before adding compounded GLP-1s to its portfolio, the company said in its February earnings call that it expects its weight loss program to bring in more than $100 million in revenue by the end of 2025. 

Doximity, a digital platform for medical professionals, also had a strong 2024, with its stock price more than doubling. The company’s platform, which for years has been likened to a LinkedIn for doctors, allows clinicians to stay current on medical news, manage paperwork, find referrals and carry out telehealth appointments with patients. 

Doximity primarily generates revenue through its hiring solutions, telehealth tools and marketing offerings for clients like pharmaceutical companies.

Leerink’s Cherny said Doximity’s success can be attributed to its lean operating model, as well as the “differentiated mousetrap” it’s created because of its reach into the physician network. 

“DOCS is a rare company in healthcare IT as it is already profitable, generates strong incremental margins, and is a steady grower,” Leerink analysts, including Cherny, wrote in a November note. The firm raised its price target on the stock to $60 from $35. 

Another standout this year was Oscar Health, the tech-enabled insurance company co-founded by Thrive Capital Management’s Joshua Kushner. Its shares are up nearly 50% year to date. The company supports roughly 1.65 million members and plans to expand to around 4 million by 2027. 

Oscar showed strong revenue growth in its third-quarter report in November. Sales climbed 68% from a year earlier to $2.4 billion.

Additionally, two digital health companies, Waystar and Tempus AI, took the leap and went public in 2024. 

The IPO market has been largely dormant since late 2021, when soaring inflation and rising interest rates pushed investors out of risk. Few technology companies have gone public since then, and no digital health companies held IPOs in 2023, according to a report from Rock Health. 

Waystar, a health-care payment software vendor, has seen its stock jump to $36.93 from its IPO price of $21.50 in June. Tempus, a precision medicine company, hasn’t fared as well. It’s stock has slipped to $34.91 from its IPO price of $37, also in June.

“Hopefully, the valuations are more supportive of opportunities for other companies that have been lingering in the background as private companies for the last several years.” Schoenhaus said. 

Several digital health companies exited the public markets entirely this year. 

Cue Health, which made Covid tests and counted Google as an early customer, and Better Therapeutics, which used digital therapeutics to treat cardiometabolic conditions, both shuttered operations and delisted from the Nasdaq. 

Revenue cycle management company R1 RCM was acquired by TowerBrook Capital Partners and Clayton, Dubilier & Rice in an $8.9 billion deal. Similarly, Altaris bought Sharecare, which runs a virtual health platform, for roughly $540 million.

Commure, a private company that offers tools for simplifying clinicians’ workflows, acquired medical AI scribing company Augmedix for about $139 million.

“There was a lot of competition that entered the marketplace during the pandemic years, and we’ve seen some of that being flushed out of the markets, which is a good thing,” Schoenhaus said.

Cherny said the sector is adjusting to a post-pandemic period, and digital health companies are figuring out their role.

“We’re still cycling through what could be almost termed digital health 1.1 business models,” he said. “It’s great to say we do things digitally, but it only matters if it has some approach toward impacting the ‘triple aim’ of health care: better care, more convenient, lower cost.”

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Israel’s Attorney General Gali Baharav-Miara has ordered an investigation into Sara Netanyahu, the wife of Israeli Prime Minister Benjamin Netanyahu, after a report alleged that she had harassed opponents.

“An investigation should be opened into suspicions of witness harassment and obstruction of justice regarding the findings of the Uvda show,” which aired on Israel-based Channel 12 television last week, Israel’s attorney general said in a statement on Thursday.

On Thursday, Channel 12 released an investigation alleging that Sara Netanyahu was intimidating a witness in her husband’s criminal trial.

The report also alleges that she had indirectly harassed the attorney general and the deputy state attorney.

Israel’s Justice Minister Yariv Levin criticized the attorney general’s order, describing it as “extreme selective enforcement has reared its ugly head once again.”

“While Israeli citizens expect that anyone who threatened the police commissioner or called for defiance will be summoned for questioning, the advisor [AG] and the state attorney are busy opening investigations following gossip on television,” Levin said in a post on X on Thursday.

The far-right National Security Minister Itamar Ben-Gvir also criticized Baharav-Miara. “Someone who persecutes government ministers and their families politically cannot continue to serve as the Attorney General – it is a shame that there are still those who bury their heads in the sand and refuse to understand this,” he said in a statement.

This is a developing story and will be updated.

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