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McDonald’s on Monday reported disappointing quarterly revenue, dragged down by weaker-than-expected sales at its U.S. restaurants following an E. coli outbreak just weeks into the quarter.

But shares of the company rose more than 4% in morning trading as executives predicted sales would improve in 2025.

Here’s what the company reported compared with what Wall Street was expecting, based on a survey of analysts by LSEG:

Net sales of $6.39 billion were roughly flat compared with the year-ago period. The company’s overall same-store sales growth of 0.4% outperformed Wall Street’s expectations of same-store sales declines of 1%, according to StreetAccount estimates.

But McDonald’s U.S. business reported a steeper-than-expected drop in its same-store sales. Same-store sales at the company’s domestic restaurants fell 1.4% in the quarter; Wall Street was projecting same-store sales declines of 0.6%.

McDonald’s said traffic was slightly positive, but customers spent less than usual during the quarter. Over the summer, the chain rolled out a $5 combo meal to bring back price-conscious diners and reverse sluggish sales. The strategy worked, helping McDonald’s U.S. same-store sales tick up in the third quarter.

However, analysts have warned that value meals only work if customers also add menu items that aren’t discounted to their orders. McDonald’s executives downplayed those concerns Monday, saying the average check on the $5 meal deal is more than $10.

The biggest hit to McDonald’s U.S. sales came in late October, when the Centers for Disease Control and Prevention linked a fatal E. coli outbreak to its Quarter Pounder burgers. McDonald’s switched suppliers for its slivered onions, the ingredient fingered as the likely culprit for the outbreak. In early December, the CDC declared the outbreak officially over.

However, in the days following the news of the outbreak, traffic at McDonald’s U.S. restaurants fell steeply, particularly in the states affected.

U.S. sales hit their nadir in early November, but began rising again after that. In particular, demand for the Quarter Pounder, a popular core menu item with high margins, fell quickly in the wake of the crisis.

McDonald’s expects its U.S. sales to recover by the beginning of the second quarter, executives said.

“I think right now what we’re seeing is that the E. coli impact is now just localized to the areas that had the biggest impact,” CEO Chris Kempczinski said on the company’s conference call. “So think about that as sort of the Rocky Mountain region that was really the epicenter of the issue.”

The company hopes value deals, along with key menu additions, will help to fuel the recovery this year. In 2025, the burger chain plans to bring back its popular snack wraps, which vanished from menus during pandemic lockdowns, and to introduce a new chicken strip menu item.

Outside the U.S., sales were stronger. Both of McDonald’s international divisions reported same-store sales increases, bolstering the company’s overall performance.

The company’s international developmental licensed markets segment, which includes the Middle East and Japan, reported same-store sales growth of 4.1%.

McDonald’s international operated markets division, which includes some of its biggest markets, reported same-store sales growth of 0.1%. The company said most markets reported same-store sales increases, but the United Kingdom and some other markets saw same-store sales shrink in the quarter. One bright spot was France, which saw its same-store sales turn positive during the quarter after months of weak demand.

McDonald’s reported fourth-quarter net income of $2.02 billion, or $2.80 per share, down from $2.04 billion, or $2.80 per share, a year earlier.

Excluding gains tied to the sale of its South Korean business, transaction costs for buying its Israeli franchise and other items, McDonald’s earned $2.83 per share.

Looking to 2025, the first quarter is expected to be the low point for McDonald’s same-store sales, CFO Ian Borden said, citing a weak start to the year in the U.S., among other factors. Winter storms and wildfires in California weighed on restaurant traffic across the industry in January.

For the full year, McDonald’s plans to open roughly 2,200 restaurants. About a quarter of those locations will be in the U.S. and its international operated markets. The rest will be in the company’s international developmental licensed markets, including about 1,000 new restaurants in China.

Including its investments in restaurant openings, McDonald’s plans to spend between $3 billion and $3.2 billion this year on capital expenditures.

The company is also projecting a headwind of 20 cents to 30 cents per share to its full-year earnings due to foreign currency exchange rates.

This post appeared first on NBC NEWS

The trading week started with investors worried about tariffs, but the 30-day delay of tariffs on imports from Canada and Mexico shook off those worries. The three broad stock market indexes — S&P 500 ($SPX), Nasdaq Composite ($COMPQ), and Dow Jones Industrial Average ($INDU) — closed higher. Then came the retaliation on US tariffs from China, but that didn’t do much damage to the market.

 Let’s face it; the stock market is headline-driven at the moment. Based on the news, investors may favor healthcare stocks one day and tech stocks the next. For individual investors, playing the sector musical chair game makes for a difficult investment environment. So, instead of getting caught up in catching the right sector at the right time, it’s best to focus on the big picture and look at the longer-term trends and patterns. One way to do this is to examine the performance of different sectors, industry groups, and indices through the Bullish Percent Index (BPI).


StockCharts Tip: If you haven’t done so, download the Essentials ChartPack (Charts & Tools tab > ChartPacks). The Market & Index Bullish Percent Indexes list has seven charts in the ChartList (see below).


FIGURE 1. DOWNLOADING CHARTPACKS. From the Charts & Tools tab, select ChartPacks to download the Essentials ChartPack.Image source: StockCharts.com. For educational purposes.

You could add more charts to the list. For example, I use a BPI ChartList each day to determine which sectors are bullish, overbought, or oversold. The image below displays some of the charts in my BPI ChartList.

FIGURE 2. VIEWING THE BULLISH PERCENT INDEX (BPI) CHARTLIST. The Summary view helps to see which sectors are bullish, bearish, overbought, or oversold.Image source: StockCharts.com. For educational purposes.

Viewing the ChartList in the Summary view helps to identify if the BPI is bullish, bearish, overbought, or oversold. You can also identify which sectors had the biggest changes for the day.

In the above image, the S&P Financial Sector BPI was the only one above 70, and Consumer Staples Sector BPI or $BPSTAP (not visible in the image; you’ll have to scroll to the next page) was the only one below 30.

Which Sectors Are Feeling the Love?

On Wednesday, the Predefined Alerts panel flashed that the Consumer Staples Sector BPI crossed above 30. This was a bull alert trigger warranting a closer look.

The chart below displays $BPSTAP with the Consumer Staples Select Sector SPDR ETF (XLP).

FIGURE 3. CONSUMER STAPLES BPI VS. CONSUMER STAPLES SELECT SPDR ETF (XLP). The BPI for the Consumer Staples Sector has crossed above 30, which is a bull alert trigger. The XLP chart still has to confirm a bullish move.Chart source: StockCharts.com. For educational purposes.

Although the $BPSTAP has crossed above 30, the XLP chart doesn’t display a bullish trend. Given that inflation is a big concern among US consumers, it’s worth monitoring the Consumer Staples sector for a chance to buy some stocks.

We posted an article on three stocks in the Consumer Staples sector, focused on Walmart, Inc. (WMT), Costco Wholesale Corp. (COST), and Sprouts Farmers Market (SFM). These stocks are still looking strong, but come with a high price tag. So, instead of purchasing the stock outright, I decided to explore options strategies for these stocks.

Options To the Rescue

After analyzing all three stocks using the Options tool (see image below), I considered a call vertical spread on COST and WMT. SFM wasn’t under consideration since it had a low-scoring strategy.

  • COST had an OptionsPlay score of 108. The call vertical trade would cost me $4,250 with an 182.35% potential return.
  • WMT had an OptionsPlay score of 106. The trade would cost me $508 with a 172.05% potential return.

WMT was the lower-risk play, so I placed the April 17 100/115 call vertical, a strategy displayed in the OptionsPlay Explorer tool, with my broker (see image below). I got filled at a price slightly higher than $508 due to price fluctuations and broker fees.

FIGURE 4. OPTIONSPLAY EXPLORER DISPLAYS THREE OPTIMAL TRADES FOR WMT. The April 17 100/115 call vertical was the most optimal trade with a good risk/reward tradeoff. Image source: OptionsPlay Add-on at StockCharts.com. For educational purposes.

Closing Position

There are 71 days till expiry. If WMT closes above $105.08 the trade will be profitable. The target price is $113.82.

There’s a 38.89% probability of the stock closing above $105.08 by expiration, all else equal. I’ll monitor the position and, if the price target is reached, I will close my position. Another point to keep in mind is that WMT reports earnings on February 20 before the market opens. Volatility will likely increase around that time and could significantly move the stock price in either direction.

In this video, Mary Ellen reviews the market’s flat momentum as uncertainty reemerges after weak AMZN, TSLA and GOOGL reports – PLUS more tariff talk from Trump. She also highlights the move into defensive sectors as growth stocks continue to struggle. Lastly, she shares the top stocks that are keeping the S&P 500 in an uptrend.

This video originally premiered February 7, 2025. You can watch it on our dedicated page for Mary Ellen’s videos.

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.

In what can be called an indecisive week for the markets, the Nifty oscillated back and forth within a given range and ended the week on a flat note. Over the past five sessions, the Nifty largely remained within a defined range. While it continued resisting the crucial levels, it also failed to develop any definite directional bias throughout the week. The Nifty stayed and moved in the 585-point range. The volatility significantly declined. The India VIX came off by 15.77% to 13.69 on a weekly note. While trading below crucial levels, the headline index closed flat with a negligible weekly gain of 51.55 points (+0.22%).

A few important technical points must be noted as we approach the markets over the coming weeks. Both the 50-Day and 50-Week MA are in very close proximity to each other at 23754 and 23767, respectively. The Nifty has resisted to this point, and so long as it stays below this level, it will remain in the secondary corrective trend. For this secondary trend to reverse, the Nifty will have to move past the 23750-24000 zone, one of the critical market resistance areas. Until we trade below this zone, the best technical rebounds will face resistance here, and the markets will remain vulnerable to profit-taking bouts from higher levels. On the lower side, keeping the head above 23500 will be crucial; any breach of this level will make the markets weaker again.

Monday is likely to see a quiet start to the week; the levels of 23700 and 23960 will act as resistance levels. The supports come in at 23350 and 23000 levels.

The weekly RSI stands at 46.20. It remains neutral and does not show any divergence against the price. The weekly MACD is bearish and stays below its signal line. A Spinning Top occurred on the candles, reflecting the market participants’ indecisiveness.

The pattern analysis weekly charts show that after violating the 50-week MA, the Nifty suffered a corrective decline while forming the immediate swing low of 22800. The subsequent rebound has found resistance again at the 50-week MA at 23767, and the Nifty has retraced once again from that level. The zone of 23700-24000 is now the most immediate and major resistance area for the Nifty over the immediate short term.

Unless the Nifty crosses above the 23700-24000 zone, it will remain in a secondary downtrend. On the lower side, keeping head above the 23500 level will be crucial; any violation of this level will take Nifty towards the 23000 mark. The markets may continue to reflect risk-off sentiment overall. Given the current technical setup, remaining highly selective while making fresh purchases would be prudent. All technical rebounds should be used more to protect gains at higher levels. At the same time, staying invested in stocks with strong or at least improving relative strength while keeping overall leveraged exposures at modest levels is important. A cautious and selective approach is advised for the coming week.


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) show defensive and risk-off setups building up in the markets. Nifty Bank, Midcap 100, and Realty Indices are inside the leading quadrant. But all these pockets show a sharp loss of relative momentum against the broader markets.

The Nifty Financial Services Index has slipped inside the weakening quadrant. The Nifty Services Sector and IT indices are inside the weakening quadrant. The Pharma Index is also inside this quadrant but is seen as attempting to improve its relative momentum.

The Nifty Media, Energy, and PSE indices are inside the lagging quadrant.

The Nifty FMCG, Consumption, and Commodities groups have rolled inside the improving quadrant, indicating a likely onset of the phase of relative outperformance. The Auto, Infrastructure, Metal, and PSU Bank indices are inside the improving quadrant. Among these groups, the PSU Bank Index is seen rapidly giving up on its relative momentum.


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

Sometimes an industry group looks good technically, sometimes fundamentally, and then other times seasonally. But what happens when they all line up simultaneously? Well, we’re about to find out with the travel & tourism group ($DJUSTT). On Friday, Expedia (EXPE, +17.27%) soared after reporting blowout quarterly results after the bell on Thursday. Revenues easily surpassed consensus estimates, $3.18 billion vs. $3.08 billion and EPS did the same, $2.39 vs. $2.07. Here’s how EXPE looked on its chart after Friday’s surge:

EXPE now has excellent support in the 191-195 zone, in my opinion. 191 was the price resistance prior to Friday’s gap higher and 195 (actually 194.72) was the gap opening on Friday on over 8 million shares, its 3rd largest volume day of the past year. Booking Holdings (BKNG) is set up to potentially do the same – report blowout numbers and soar to all-time highs – when it reports its quarterly results on Thursday, February 20, 2025.

The DJUSTT had been consolidating after an earlier run higher in 2024. This now looks like an uptrend, followed by a potential cup pattern:

In the bottom panel, watch the relative strength line for the DJUSTT vs. the benchmark S&P 500. A breakout here to a multi-month high would bode well for the group.

I certainly don’t want to leave out seasonality. Travel & tourism THRIVES beginning in February and running through . Check this out:

The next 3 months – February through April – averages gaining 10.6% per year for the past two decades! These 3 months also rank the highest for the DJUSTT, in terms of the odds of these months ending higher than they began. February and March have both moved higher roughly 75% of the years since 2005.

This is the TRIFECTA – fundamentals strengthening, technicals lining up, and seasonal tailwinds.

But What About The S&P 500?

Well, that’s another story. Obviously, the DJUSTT would likely do better in a strong overall market environment and we just received another clue on the S&P 500 via the “January Effect”. There’s an old adage on Wall Street that says, “So goes January, so goes the year.” There’s a lot of truth to this statement and it generally depends on how the S&P 500’s January performance ranks vs. all the Januarys past. Exactly where did January 2025 rank and what does it tell us about the balance of 2025?

That’s the subject of our “January Effect” members-only webinar on Monday, February 10th. If you’d like to be part of this webinar, simply CLICK HERE to learn more about the event and take advantage of our FREE 30-day trial!

Happy trading!

Tom

Israel completed its withdrawal from the Netzarim Corridor on Sunday, a key road that splits Gaza in half, as part of its commitments under a ceasefire agreement with Hamas.

Palestinians have been filing through the area by foot, car and in some cases, by donkeys video footage showed, although those traveling must navigate a checkpoint and the destruction wrought by months of fighting in Gaza.

“I was displaced a long time ago. I have seen people arriving on this road, sometimes even sleeping on it while waiting for the Israeli army to withdraw,” said Osama Saleem, who was waiting for his vehicle to be inspected.

“I hope the Israeli army withdraws from all of Gaza and that life returns to normal,” he added.

Hamas said in a statement that Israeli forces had fully withdrawn from the corridor, a six-kilometer strip of land that separates the north of the strip from its south and stretches from the Israel-Gaza border to the Mediterranean Sea.

The Israel Defense Forces (IDF) had occupied the corridor since the early days of its war in Gaza.

“The withdrawal of the Zionist occupation army from the Netzarim axis is a victory for the will of our people,” a Hamas statement issued Sunday said.

Israel had used the corridor as a zone of occupation during its 15-month assault on the strip. Its troops began withdrawing from Netzarim Corridor two weeks ago as part of the ceasefire agreement with Hamas. Since then, hundreds of thousands of Palestinians displaced in the south have been able to cross Netzarim to return to their homes in the heavily bombarded north of Gaza.

Israel retains its presence along Gaza’s borders with Egypt and Israel.

A checkpoint run by Egyptian and Qatari officials – countries which play a mediator role between the warring sides – remains at Netzarim.

Israel’s complete withdrawal from Netzarim is part of its commitment to the fragile ceasefire and hostage agreement, which on Saturday saw the release of another three hostages – bringing the number released so far to 16 out of a total of 33 people promised to be released at staggered intervals during this stage.

Ohad Ben Ami, Eli Sharabi and Or Levy – all taken captive during the Hamas-led October 7 attack – were freed in return for 183 Palestinian prisoners, although their frail and gaunt appearances drew condemnation from Israel.

Negotiations on the agreement’s second and third phases are still in doubt.

Israeli Prime Minister Benjamin Netanyahu has been deeply wary of phase two of the deal, which would see the full withdrawal of Israeli troops from Gaza and the return of the remaining hostages there. His finance minister, Bezalel Smotrich, has pledged to quit the government if the ceasefire continues.

Khader Al-Za’anoun of Wafa, the official Palestinian news agency, contributed reporting.

This post appeared first on cnn.com

Vilnius, Lithuania (REUTERS) – Estonia, Latvia and Lithuania said on Sunday they had successfully synchronized their electricity systems to the European continental power grid, one day after severing decades-old energy ties to Russia and Belarus

Planned for many years, the complex switch away from the grid of their former Soviet imperial overlord is designed to integrate the three Baltic nations more closely with the European Union and to boost the region’s energy security.

“We did it!,” Latvian President Edgars Rinkevics said in a post on social media X.

After disconnecting on Saturday from the IPS/UPS network, established by the Soviet Union in the 1950s and now run by Russia, the Baltic nations cut cross-border high-voltage transmission lines in eastern Latvia, some 100 meters (328 feet) from the Russian border, handing out pieces of chopped wire to enthusiastic bystanders as keepsakes.

EU foreign policy chief Kaja Kallas, herself an Estonian, earlier this week called the switch “a victory for freedom and European unity.”

The Baltic Sea region is on high alert after power cable, telecom links and gas pipeline outages between the Baltics and Sweden or Finland. All were believed to have been caused by ships dragging anchors along the seabed following Russia’s invasion of Ukraine. Russia has denied any involvement.

Poland and the Baltics deployed navy assets, elite police units and helicopters after an undersea power link from Finland to Estonia was damaged in December, while Lithuania’s military began drills to protect the overland connection to Poland.

Analysts say more damage to links could push power prices in the Baltics to levels not seen since the invasion of Ukraine, when energy prices soared.

The IPS/UPS grid was the final remaining link to Russia for the three countries, which re-emerged as independent nations in the early 1990s at the fall of the Soviet Union, and joined the European Union and NATO in 2004.

The three staunch supporters of Kyiv stopped purchases of power from Russia following Moscow’s invasion of Ukraine in 2022, but have relied on the Russian grid to control frequencies and stabilize networks to avoid outages.

This post appeared first on cnn.com

The families of the three Israeli hostages released Saturday have spoken out about their loved ones’ ordeal in Hamas captivity, saying they hope their suffering provides impetus to efforts to free all those still in Gaza as soon as possible.

Ohad Ben Ami, Eli Sharabi and Or Levy appeared gaunt and frail as they were paraded by the militants on a makeshift stage in Gaza before they were handed over to the Red Cross.

Their appearance was condemned as “shocking” by Israel, which has said the scenes will “not go unaddressed.”

‘Nothing prepared me for those pictures’

Ella Ben Ami, daughter of Ohad, spoke of her horror at watching Hamas parade her father on the stage.

“I had many pictures in my mind of my dad, but nothing prepared me for those pictures of him on that stage in Gaza. I was sure that I would be strong, but I fell on the floor and screamed, ‘I’m sorry,’” she said.

Speaking at a press conference on Sunday, Ella Ben Ami said her father “went through hell” in Gaza and noted that the remaining Israeli hostages are suffering the same conditions her father did.

She called on the Israeli government and Prime Minister Benjamin Netanyahu to “find a way” to bring them all home.

“We have to keep going to Phase B, and have to bring everybody back,” she said referring to the second phase of the Israel-Hamas ceasefire deal, which is supposed to see the return of the remaining hostages and was expected to be discussed in a “a security-political cabinet meeting” held by Netanyahu this weekend.

‘He wasn’t the same Or’

Or Levy’s brother Michael said when he saw his brother on Saturday for the first time in 16 months, he wasn’t the same person who left home on October 7, 2023.

“He came back in poor physical condition. Anyone who saw the pictures and videos couldn’t ignore it. For 16 months, he was hungry, barefoot and in constant fear that every day can be his last,” Michael said, according to the Hostages Families Forum Headquarters.

After his release, Or received the heartbreaking news that his wife Einav had been killed in the October 7 attack.

“The hardest blow was yesterday when Or discovered that Einav, the love of his life, was murdered on that terrible day. For 491 days, he held onto hope that he would return to her,” Michael said.

He went on to call for the immediate release of the remaining hostages, saying, “Or’s return is a miracle, but we can’t rest until every single one of them is back with their families.”

‘Every second could save lives’

Eli Sharabi’s brother Sharon described the return of the three hostages as a victory for the Israeli people but said the government must work with a sense of urgency to save the other hostages, the Hostages Families Forum Headquarters said.

Yossi, another brother in the family, was also taken hostage by Hamas but he subsequently died in Gaza.

“Every moment that passes, every second could save lives from Hamas tunnels, from this cruel enemy that has massacred us since October 7,” Sharon said.

Hamas has now released a total of 16 Israeli hostages as part of the first phase of the ceasefire agreement, of a total of 33 promised at staggered intervals during this stage. Eight of those 33 are dead, according to the Israeli government.

Following the release of the three hostages on Saturday, Hamas and its allies still hold a total of 73 people taken from Israel on October 7, 2023, of 251 initially taken. Three additional hostages, held captive since 2014, are still in Gaza.

This post appeared first on cnn.com

For a man who’s spent his career battling to make France more pro-business, Europe’s prospects on artificial intelligence are worrying: an oversight that could cost the bloc dearly.

“We need an AI agenda,” he said, “because we have to bridge the gap with the United States and China on AI.” The French leader added that he fears Europe becoming merely an AI consumer, losing control over the future direction and development of the technology.

That’s part of the impetus behind this week’s AI summit in Paris — the latest effort by Macron to put France at the heart of the debate and decision-making on international questions of the day.

Macron regularly touts the prospects of Paris-based company Mistral, widely considered OpenAI’s European competitor, which launched a new app on Thursday.

The company boasts of its ability to rival its US competitors, by getting the same results with less computing power needed, although the surprise arrival of lower-cost Chinese competitor DeepSeek has put pressure on the French firm.

Europe ‘must do much better’ on financing

With its nuclear-heavy energy portfolio making France a net energy exporter, the country is in an enviable position for the creation of power-ravenous data centers.

France is set to unveil what its government boasts is Europe’s largest supercomputer by fall 2025, outside Paris.

The Mont Valerien site will be a military facility, bringing AI capabilities at scale to help solve design and engineering questions, like the architecture of France’s next aircraft carriers. AI will also be used to improve future military technologies and practices, like anti-drone jamming, according to the French Ministry of Defense.

That’s the exception. With Europe holding a mere 3-5% of global computing power, Macron said he hopes this surplus power will open doors to Europe’s AI future. He has his sights on building 20% of the world’s data centers.

But financing — especially from the United States and the Gulf Arab states — will be key, according to Macron.

It’s where Europe “must do much better,” Macron said.

Finding cash within the continent could be an unwitting boon if President Donald Trump’s tariff threats against European allies come to a head.

“From the standpoint of America, the EU treats us very, very unfairly, very badly,” Trump told the World Economic Forum in January, later threatening to levy tariffs against the bloc after slapping — and then rescinding — stiff import taxes on Canada and Mexico.

Trump’s 10% across-the-board tariffs on China still went into effect, and the president said he will announce new so-called reciprocal tariffs next week that could hit all corners of the world.

Trump has railed against the US trade deficit with the European Union, which increased by $26.9 billion to $235.6 billion in 2024, according to US government figures.

Macron pushed back against this, arguing the trade deficit ignores Europe’s significant spending on digital services, which is often excluded from such calculations.

In response to potential tariffs, Macron said Europe must look to protect producers against American and Chinese competition and, crucially, ease regulation on investments to stem the “leaking” of European savings to the United States. EU Commission President Ursula von der Leyen mirrored that resolute stance last week.

Staying in the race

“I will fight for AI,” he said, calling for a business environment that makes Europe more competitive. “I will fight for more defence and security answers as Europeans. And I will fight for the maximum level of ambition on all these issues.”

February and March will bring announcements and a roadmap of reforms around AI startup regulations, Macron said, in an effort to rival the United States and China’s AI agenda.

“We have to focus on killing some crazy regulations, simplification of the current environment,” Macron said. “Europe has to simplify its rules, make it much more business friendly and synchronize with the United States.”

He hopes, for AI at least, this week’s summit will be a “wake up call” for Europe.

This post appeared first on cnn.com

Polls have closed and votes are now being counted in Ecuador’s general election, where 16 candidates are vying for the presidency, including incumbent Daniel Noboa and his main political rival Luisa González.

According to Ecuador’s Constitution, a candidate needs more than 50% of the vote to win the first round outright, or 40% with a margin of at least 10 percentage points over the next closest candidate.

If these conditions are not met, the two candidates with the most votes will face each other in a second round, which is provisionally scheduled for April 13.

Sunday’s vote will decide if the country will stick with Noboa’s tough crackdown on crime or seek an alternative voice in González.

Noboa, who won the 2023 snap election to finish the term of his predecessor Guillermo Lasso, has presided over a series of crises in his term.

He has declared numerous states of emergency, deployed military units to tackle gang activity in the country’s streets, and began construction on a new maximum-security prison after an infamous criminal leader escaped from custody last year.

González, who was the runner-up in the 2023 race, is a close confidante of former leftist President Rafael Correa, a dominant figure in Ecuador’s politics.

Running on a campaign to “Revive Ecuador,” González has pledged to tackle the drug trade just as vigorously as Noboa.

The main challenges the next government will face when it takes office in May are security, the economy, a nationwide energy crisis and international relations.

This post appeared first on cnn.com