1. FABRICE "FABULOUS FAB" TOURRE TRIAL BEGINS
The trial of former Goldman Sachs executive Fabrice "Fabulous Fab" Tourre kicked off at a courthouse Monday in lower Manhattan. The Securities and Exchange Commission is accusing Tourre of misleading investors about the role hedge fund Paulson & Co. played in creating a complex investment known as a synthetic collateralized debt obligation. Tourre's lawyers will argue that the 34-year-old is "an easy mark, a scapegoat" for all of Wall Street's bubble-era misbehavior. [The Wall Street Journal]
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2. QUARTERLY PROFITS DOUBLE AT GOLDMAN SACHS
Goldman Sachs' second-quarter profits doubled from a year earlier to $1.9 billion, or $3.70 per share, beating analysts' expectation of $2.82. A boost in stock and bond offerings helped propel earnings, as did loans and debt securities, which rose 52 percent as Goldman Sachs tried to move away from relying on market activity and toward more traditional banking. Though up from last year, second-quarter earnings dropped from the $4.29 a share the bank earned in the first quarter this year. [Fortune]
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3. WEIRD WEATHER HURTS COCA-COLA
Coca-Cola Co.'s second-quarter sales lagged as chilly, rainy weather cut demand in several parts of the world. Volume fell 4 percent in North America, and rose just 1 percent worldwide. Net income fell 4 percent to $2.68 billion or 59 cents a share, down from $2.79 billion or 61 cents in the same quarter a year earlier. "I hate to use the weather, but a lot of it was weather,'' Coke's chief financial officer told CNBC. [The Wall Street Journal]
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4. JOBLESSNESS IN EUROPE EXPECTED TO KEEP GROWING
The Organization for Economic Cooperation and Development reported Tuesday that unemployment in Spain, Greece, and other southern European countries is expected to rise through the rest of the year, with young people and low-skilled workers being hit the hardest. The organization predicts that unemployment rates could reach 28 percent in Spain and Greece, 12.5 percent in Italy, and 11 percent in France by the end of 2014. Meanwhile, the number of people out of work is expected to drop in Germany and the U.S. [The New York Times]
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5. DELL MIGHT DELAY BUYOUT VOTE
Dell's special committee is reportedly considering pushing back a highly anticipated shareholder vote to approve or reject Michael Dell and Co.'s $24.4 billion leveraged buyout offer. The rumor implies that Dell might be anticipating not having enough votes to approve the deal, which activist investor Carl Icahn has fought to block. Pushing the vote back could give Michael Dell time to sweeten his offer. [Fox Business]
