The daily business briefing: July 25, 2018

1. Former Fiat Chrysler CEO Sergio Marchionne dies at 66

Former Fiat Chrysler CEO Sergio Marchionne has died after suffering complications from recent surgery. Marchionne, 66, fell gravely ill after shoulder surgery in a Zurich hospital, and lapsed into a coma. Marchionne, one of the auto industry's most respected leaders, was replaced by Jeep executive Mike Manley days earlier after his condition worsened last weekend. He stepped down from his role as CEO of Ferrari, which was spun off from Fiat more than two years ago, at the same time. "Unfortunately, what we feared has come to pass. Sergio Marchionne, man and friend, is gone," FCA Chairman John Elkann said in a statement. "I believe that the best way to honor his memory is to build on the legacy he left us, continuing to develop the human values of responsibility and openness of which he was the most ardent champion."

CNBC Reuters

2. White House plans $12 billion to aid farmers hurt by trade war

The Trump administration on Tuesday announced a plan to give farmers hurt by President Trump's trade war up to $12 billion in emergency aid. "The actions today are a firm statement that other nations cannot bully our agricultural producers to force the United States to cave in," Secretary of Agriculture Sonny Perdue said. The plan to help farmers hurt by tariffs imposed by China, Mexico, and other countries on U.S. agricultural imports was unveiled two days before Trump is to visit Iowa, the nation's top soybean producer. The announcement sparked immediate criticism from lawmakers from both parties, and farm groups that argued the aid fell short of farmers' losses. "If tariffs punish farmers, the answer is not welfare for farmers. The answer is remove the tariffs," tweeted Sen. Rand Paul (R-Ky.).

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3. Facebook gets China subsidiary approval on eve of its earnings report

Facebook has registered a subsidiary in China after a decade of effort to gain official status in the country, according to a Chinese government filing. In a sign of potential complications, the corporate registration disappeared from a Chinese government website late Tuesday. Facebook said it wanted the subsidiary, an innovation lab financed with an investment of $30 million, to coordinate with developers in China's tightly controlled market. The news came as the social-media giant prepared to release its quarterly earnings after the bell on Wednesday. Investors will closely watch Facebook's user numbers to see whether negative stories such as the Cambridge Analytica data scandal have driven away users and advertisers.

The New York Times CNBC

4. Stocks under pressure ahead of Trump-Juncker trade meeting

U.S. stock futures dropped early Wednesday as investors digested the latest batch of corporate earnings and awaited a meeting on trade between President Trump and European Union chief Jean-Claude Juncker. "Yesterday's positive tone to equity markets has been replaced by caution as investors wait to see whether the Trump-Juncker meeting will produce any fireworks," said Chris Beauchamp, chief market analyst at IG, in a note. Futures for the Dow Jones Industrial Average dropped 97 points, as Dow-component Boeing saw its shares drop by 2 percent after it reported better-than-expected earnings but weakness in its operating margin. General Motors shares fell by more than 3 percent in pre-market trading after it reported earnings that beat expectations but cut its full-year profit forecast.

CNBC MarketWatch

5. Ivanka Trump closes her fashion company

Ivanka Trump said Tuesday that she was shutting down her clothing and accessory company to focus on her work in Washington as a senior aide to her father, President Trump. The fashion brand has been a subject of controversy, as critics said Ivanka Trump's business created the potential for conflicts of interest and the appearance that she was profiting from her job in the White House. "After 17 months in Washington, I do not know when or if I will ever return to the business," she said in a statement, "but I do know that my focus for the foreseeable future will be the work I am doing here in Washington, so making this decision now is the only fair outcome for my team and partners."

CNN