Developments of the failure of the “Mask” acquisition of “Twitter” due to its payment of compensation to one of the whistleblowers

The billionaire businessman and investor “Elon Musk”
is in the process of acquiring the social media platform “Twitter,”
and while it has been beset by numerous issues
that have brought it before a court for resolution,
a fresh obstacle has now emerged,
according to Musk’s most recent announcement.
The fact that “Twitter” erred by paying $7 million
to one of the whistleblowers raises many questions
and is another reason why the agreement was terminated.

topic’s

Fake account crisis

German central bank expectations for continued interest rate increases

Will the Euro wake up again

Fake account crisis

Musk was seeking to complete the acquisition of Twitter,
but he was exposed to some things,
most notably the number of fake accounts and also bot accounts
among the more than 230 million users of the platform,
which Musk described as misleading investors, but on the other hand,
Twitter believes that Musk is seeking to abandon his
promises to implement his takeover of the platform.

Twitter did not notify Musk of paying compensation

And Musk’s lawyers said in a statement that the Twitter acquisition deal obliges
the platform to notify the buyer before it pays $ 7.75 million
as part of its plan to terminate the contract
with the company’s former security chief, Peter Zatko,
and that they only learned about this after submitting documents to the court.
by “Twitter” on September 3 regarding the termination of the agreement with “ZATCO”.

litigation

The two parties are currently awaiting the trial scheduled for October
after the Twitter platform filed a lawsuit against
Musk in order to force him to implement the acquisition deal,
and Musk’s lawyers also added Zatko’s testimony
before the court in order to demand his testimony.
Regarding security and privacy issues and the number of bot accounts on the platform
Twitter was silent and did not respond to the comment regarding Musk’s request
to withdraw the offer made to buy Twitter at $54.20 per share,
accusing it of violating the terms of the acquisition agreement.

artical name Developments of the failure of the Mask

German central bank expectations for continued interest rate increases

Despite high inflation and the risks of the recession that are approaching further,
the head of the Bundesbank said on Sunday the need to
add more increases in interest rates in the euro area,
adding that the move taken by the European Central Bank on Thursday
to increase interest rates by about 0.75 percentage
points last Thursday is a very important sign,
and may continue to increase as long as the current situation
of inflation has not yet improved in the coming period,
as current indicators show the extent of inflation spreads in many areas of the economy.

It also indicates that inflation in Germany by the end of this year may reach 10%,
which is the same period that we are expected to see the maximum rise in inflation,
and that it expects a further decline in inflation during the next year 2023,
but it will remain at levels considered high, which are higher than 6%.

artical name Developments of the failure of the Mask

Germany seeks to save energy market to avoid bankruptcy wave

Many statements by officials in Germany came about a fundamental decision to avoid a wave of bankruptcy
that it may suffer if it does not interfere in the energy market
and saves the status quo, and that the bill must be paid under any circumstances and we await
the situation very carefully because we may see cases of bankruptcy and unemployment.

At the European level, EU energy ministers are seeking to speed up the implementation of decisions
that would calm up high gas prices and also try to provide liquidity to traders.

On the Russian side, it decided not to export any quantity to countries that
have been in solidarity with the policy set by the European Central Bank,

which would set a specific ceiling on Russian gas prices.

But the German chancellor said in remarks last Saturday
that his country would be ready to face any Russian gas outages,
at a time when the crisis is exacerbated by weak supplies from Russia.

Germany’s energy crisis has increased its imports of chemicals

The energy crisis experienced by Europe and Germany in particular
caused an increase in the cost of manufacturing chemicals
and thus reduced manufacturing. Here,
imports of chemicals increased by about 40% this year compared to the previous year,
when about 2.8 billion tons of inorganic chemicals were imported.

This effect illustrated the depth of the crisis in Germany due to the energy crisis
as a result of its heavy dependence on Russian gas,
which led to a weakening of domestic production in general in the country.

artical name Developments of the failure of the Mask

Will the Euro wake up again

Will the US markets surrender to the Fed after raising 450 points?
This is what we will discuss

and what…
This is what the members of the Federal Reserve were thinking at the time,
but not alone. All investors and entrepreneurs also had this question in their minds.
What after the energy crisis paralyzed the country’s economy?
What after the worsening of its inflation,
which is sweeping Europe? What after the rise in the price of
the dollar and hitting the euro at a bottom it hasn’t seen for years?

Which prompted the Federal Reserve to speed up budget setting this month,
although quantitative tightening may affect the economy
and make the stock and bond market more brutal in the coming months,
which terrifies investors.

This prompts them to reduce stocks,
with caution that the process can combine with other factors such as interest rates
and the rise in dollar prices to increase pressure on asset prices and harm economic growth.

Phil Orlando,

the chief strategist for the stock market
(New York Stock Exchange. FHI), said that the current recession
and crisis are prompting the Fed to accelerate the quantitative tightening of the decline in stock prices
and increase bond yields, which recently increased to their highest level in 20 years.

For fear of engaging in the dangers of an economic recession sweeping the country
Which prompted the Fed to announce some of the Treasury bonds
and mortgage-backed securities that it held in June at a rate of 47.5 billion dollars,
and said that this month it increased the pace of quantitative tightening to 95 billion dollars.

We do not forget the epidemic crisis that prompted the Fed to nearly double its budget to $9 trillion,
but the size of the federal abandonment that it is making has never been seen before,
making it difficult to determine its effects on the bank’s impact on its role as a passive
and price-insensitive buyer of Treasury bonds in asset prices simultaneously.
With current events and quantitative tightening.

artical name Developments of the failure of the Mask

For its part,

the Fed was affected by the tighter monetary policies on stocks and bonds in 2022,
as the S&P 500 index fell by 14.55 percent,
while the yield on ten-year US bonds is moving in
the opposite direction with prices recently reaching 3 30%,
after an increase of 182 basis points for this year.

The US economy did not show any reaction to the rise in interest rates
but rather remained resilient in the face of the increase,
which pushes economists to break their silence,
as they expect a recession next year if these monetary tightenings continue,
as the Federal Reserve expected that the central bank may reduce 2.5 trillion of its holdings.
By 2025, which made economists a difference of opinion.

Orlando of Federated Hermes said:
Every trillion in the Fed’s balance sheet cuts would equate
to an additional 25 basis points in this implied price hike,
and Ian Lingen, head of US price strategy for DPR Capital,
said that up to 75 basis points could be added until
the end of 2023 only as a limit. lowest.

David, chief investment officer for the Americas, also said that Europe’s energy crisis,
the pace of interest rate hikes by the Fed, and a possible US recession,
were likely to outpace quantitative stress as a market driver at the time.

The topic was addressed by Tadesse,

who believes that the S&P index could fall to
the 2900-3200 range due to quantitative tightening.

Solomon Tadesse, head of the quantitative strategy in North America, also believes
that the Fed will fall at the end of $ 3.9 trillion from its balance sheet,
which is equivalent to 450 basis points, and the Fed has already raised rates by 225 basis points,
and another increase is expected. By 75 basis points during this month approximately.

And the matter remains foggy for investors
who are watching the market’s movements this week in
anticipation of consumer price data for the month of August,
awaiting indications that whether inflation has reached its peak or that there are many.
This has been set next September 21 as the date for
the Federal Reserve to hold a monetary policy meeting

artical name Developments of the failure of the Mask

Developments of the failure of the “Mask” acquisition of “Twitter”

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