Aggregator
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Newsom Signs Laws Banning Shock Gloves And Taxing Immigration Detention Centers
Authored by Chase Smith via The Epoch Times,
California Gov. Gavin Newsom signed 21 bills on Sept. 29 aimed at limiting federal immigration enforcement in the state, including a ban on officers using shock gloves and a new 25 percent tax on private detention centers.
California Gov. Gavin Newsom speaks in Los Angeles on Sep. 25, 2024. John Fredricks/The Epoch Times"California is taking action to strengthen transparency, accountability, and oversight around immigration enforcement in our state," Newsom said in a statement.
"This is about stepping up where the federal government has failed our communities," the Democratic governor said. "We will continue protecting our people, upholding the rule of law, and making clear that if the federal government operates in California, we will hold them accountable."
The shock glove ban applies to all officers in California, including federal immigration agents. It takes effect next year, expires Jan. 1, 2030, and requires the state Department of Justice to complete a safety study on the devices by Jan. 1, 2029.
Immigration and Customs Enforcement (ICE) awarded a $16.7 million no-bid contract last month for 6,000 pairs of the gloves, which deliver an electric shock at the push of a button. ICE said at the time that the devices would help officers control resisting detainees and protesters.
"Sanctuary politicians attempting to ban our federal law enforcement from any safety equipment is despicable and a deliberate attempt to undermine and endanger our officers," the agency said in a statement at the time, responding to a group of Democratic lawmakers who urged the agency to abandon the plan.
California law enforcement groups broadly opposed the shock glove ban, including Sacramento Sheriff Jim Cooper, a Democrat and former state lawmaker.
"When the federal government does something, the state Legislature wants to ban it," Cooper said at a news conference last month.
"For me, use of force is so important. We talk about it all the time. De-escalating [to] a lower level of force. What they're doing by trying to ban this glove, and it conducts electricity - a much lower voltage than a taser - they're making our job harder."
Newsom also signed a revised ban on officers wearing masks. A federal judge blocked the state's first mask ban in February, ruling that it unfairly targeted local and federal officers because it exempted state officers. The new law applies to all officers.
Other bills Newsom signed on Tuesday restrict the use of state-owned property for immigration enforcement staging, processing, or detention, and one allows people to sue federal officials accused of violating their constitutional rights.
Another law protects people traveling to and from courthouses from civil arrest, and another bars ICE officers who have committed serious misconduct from becoming police officers or public employees in California.
A fifth law requires rental vehicles that law enforcers use for arrests or transport to display a decal identifying the agency, with limited exceptions.
Detention center taxes will go to state immigration-related services. A separate bill ends a property tax exemption claimed by some detention facilities.
Newsom's office acknowledged in its announcement that California "cannot dictate federal immigration policy." It said the state can set requirements for state property, state resources, detention facilities, public records, and law enforcement practices where federal enforcement operates in California.
Courts have mostly sided with the Justice Department in challenges to state limits on federal agents. In April, an appeals court blocked California's separate law requiring officers to wear identification, ruling that it violates the Supremacy Clause of the Constitution. Federal judges have since blocked mask bans in Virginia on June 30, Philadelphia on July 2, and New York on Aug. 3.
States have fared better on other measures. On Sept. 4, a federal judge dismissed a Justice Department lawsuit challenging an executive order by New Jersey Gov. Mikie Sherrill, a Democrat, that bars federal immigration officers from using state property for enforcement. California's package includes a similar ban on state-owned property.
"To be crystal clear: we will not abide by unconstitutional mask bans," a Department of Homeland Security spokesperson said in an emailed response to an inquiry from The Epoch Times on Tuesday.
"The Supremacy Clause makes it clear that California's sanctuary politicians do not control federal law enforcement. No tax will stop ICE from deporting criminal illegal aliens to make California safe again. We need California to cooperate with our officers and stop releasing criminals from their jails into California's neighborhoods. Seven of the 10 safest cities in America cooperate with ICE."
The spokesperson said that enforcing immigration law is a federal responsibility under the Constitution. Concerning the shock gloves, the spokesperson said that ICE reviews its equipment to make sure it is "consistent with all applicable law enforcement policies and standards," and that officers are "highly trained in de-escalation tactics and regularly receive ongoing use of force training."
Lauren Bis, a White House spokeswoman, responded to Newsom's move in an emailed statement to The Epoch Times.
"Gavin Newsom has no authority over federal law enforcement," she said. "The Trump administration will not abide by his unconstitutional legislation. Our law enforcement officers will continue arresting and removing criminal illegal aliens from American communities while radical Democrats in California refuse to cooperate and instead choose to release criminal illegal aliens from their jails into communities to terrorize innocent Americans."
A Department of Justice spokesperson said in an emailed statement to The Epoch Times, "The Department of Justice will continue to challenge illegal sanctuary policies designed to thwart federal immigration enforcement or impede lawful federal operations."
California is one of 17 states with Democratic-controlled legislatures that have passed more than 100 bills this year aimed at limiting immigration law enforcement, according to an Associated Press analysis.
The most common goal of those bills has been to bar local authorities from cooperating with federal immigration agents.
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Hegseth Orders Cyber Command, Intel Agencies To Counter Foreign Threats To Midterms
Secretary of War Pete Hegseth has directed U.S. Cyber Command and the Pentagon's combat support agencies to focus intelligence and cyber tools on foreign efforts to interfere in the 2026 midterm elections.
The Department of War (DoW) memo circulated Monday and dated Sept. 22 was addressed to the Cyber Command chief and the directors of the National Security Agency (NSA), the Defense Intelligence Agency, and the National Geospatial-Intelligence Agency.
"In America, the people rule - and we must ensure that their voice remains sovereign, secure, and entirely undiluted," the memo reads.
Hegseth wrote that secure voting plays a critical role "in sustaining the strength of our democratic system," and that the department "will effectively wield its capabilities to protect and uphold the reliability of America's voting mechanisms against external manipulation and disruption from foreign actors."
Cyber Command and the combat support agency directors "will prioritize the use of DoW intelligence and cyber capabilities to ensure foreign actors do not meddle in our democratic systems," the memo says.
Hegseth also ordered the Defense Intelligence Enterprise to "execute collection and production on foreign threats to our elections, in accordance with the law, regulation, Executive direction, and DoW policies and directives."
He told Cyber Command to use its authority "in coordination with the Department of Homeland Security to counter potential cyber threats from foreign actors targeting our elections."
As Kimberly Hayek further reports for The Epoch Times, Monday's DoW release directed Cyber Command and the combat support agencies to "prioritize and deploy advanced intelligence and cyber capabilities to identify, disrupt, and neutralize foreign interference in U.S. democratic processes."
Chief Pentagon spokesman Sean Parnell said the agencies would work with state and local election officials.
"Free and fair elections are the foundation of our republic," Parnell said. "By working in lockstep with federal, state, and local partners, U.S. Cyber Command and our defense intelligence teams will defend the integrity of America's voting systems, expose foreign malign influence, and ensure our democratic processes remain secure from external manipulation while protecting the fundamental freedoms of the American people."
Gen. Joshua M. Rudd, who serves as Cyber Command chief and NSA director, described the assignment as work the two organizations already conduct.
"U.S. Cyber Command and the National Security Agency are closely partnered to identify and defend against cyber threats to our nation. The Command and the Agency regularly counter actions by malicious foreign cyber actors including those with the intent to interfere with our democratic process," Rudd said.
Hegseth called protection of the vote a "no-fail mission" and part of a "whole of government effort."
The memo also orders the entire Defense Intelligence Enterprise to "mobilize every authorized asset, capability, and partnership under your command to defend our election infrastructure from foreign malign influence and ensure that every lawful voter can cast their ballot free from foreign intimidation, coercion, or fear."
Tyler Durden Wed, 09/30/2026 - 16:40Micron Flat After Strong Revenue Guidance Offsets Slight Margin Miss
The highly anticipated Micron earnings (since memory is the one place in the sector in the market where all those massive new bond sales are funding) are finally out and they painted a solid, if slightly mixed, picture compared to buyside bogeys.
As we said in our preview, what would matter today is not what the company did in Q4, but how it guided to Fiscal Q1 (ending next calendar quarter), and sure enough Q3 was solid across the board:
- Adjusted EPS $33.42, beating estimates of $31.83
- Adjusted revenue $54.23 billion vs. $11.32 billion y/y, and beating estimates of $51.49 billion
- Core Data Center revenue $18.00 billion, beating estimates of $11.34 billion
- Cloud Memory revenue $16.28 billion, beating estimate $15.14 billion
- Mobile and Client Revenue $13.11 billion vs. $3.76 billion y/y, beating estimates of $12.95 billion
- Automotive and Embedded rev. $6.82 billion, beating estimates of $4.73 billion
- Adjusted gross margin 87% vs. 45.7% y/y, beating estimates of 86.2%
- Adjusted operating income $44.64 billion vs. $3.96 billion y/y, beating estimates of $42.75 billion
- Adjusted operating income margin 82.3% vs. 35% y/y, missing estimates of 82.8%
- Adjusted operating expenses $2.57 billion vs. $1.21 billion y/y, beating estimates of $1.68 billion
- R&D expenses $1.91 billion, +83% y/y, estimate $1.38 billion
- Adjusted operating expenses $2.57 billion vs. $1.21 billion y/y, estimate $1.68 billion
- Cash flow from operations $43.97 billion vs. $5.73 billion y/y, estimate $33.87 billion
From the slideshow:
“Micron delivered record fiscal 2026 results, and we expect an even stronger fiscal 2027,” CEO Sanjay Mehrotra said in the statement. “Memory enhances this intelligence and the competitiveness of our customers’ platforms.”
So far so good. However, what matters more is guidance and here is why the stock's after hours reaction has been muted at best:
- Q1 adj. EPS 38.15, beating exp. 35.40.
- Q1 revenue 61.5bln (+/- $1.5BN), beating exp. 57.024bln.
- Q1 gross margin 86.3%, missing exp. 86.7%, and notably below buyside bogeys of 87.5%-88.0%
And this is how the company guided:
- We anticipate fiscal Q1 to be the floor for gross margins in fiscal 2027. As Sanjay mentioned, we made a decision to increase fiscal 2026 incentive compensation in fiscal Q4. Most of the increase in fiscal 2026 incentive compensation pertaining to manufacturing was absorbed into inventories in fiscal Q4. As a result, the effects from the sale of these higher cost inventories principally impact fiscal Q1 gross margin. September 30, 2026 September 30, 2026
- Fiscal Q2 benefits from less of this fiscal Q4 related compensation expense, but this benefit is offset by the impact of higher fiscal 2027 incentive compensation. We expect higher gross margins beyond fiscal Q1 for the remainder of fiscal 2027, with a more moderate rate of price increases.
- We project operating expenses to increase by approximately $2.5 billion in fiscal 2027, primarily from higher R&D (research and development) to support an unprecedented set of opportunities in memory and storage and from higher incentive compensation plans.
- We expect a fiscal Q1 and fiscal year 2027 tax rate of around 15.5%
Micron and its rivals continue to be overwhelmed by memory-chip orders. Though the Boise, Idaho-based company is expanding its manufacturing capacity, prices are expected to remain high for the foreseeable future. Here are the highlights from the company's market outlook:
- Micron (MU) says operating expenses are to increase by about USD 2.5bln in fiscal 2027 and expects memory and storage supply-demand conditions to be much higher in fiscal 2027 and 2028 than in 2026
- In Q1, project capex of around USD 11.5bln and anticipate first-half FY27 capex to be USD 25bln.
- Project CapEx to be higher in H2 FY27.
- Given the need for DRAM cleanroom space and supported by greater visibility from SCAs into our demand through the end of the decade and beyond, we plan to increase our capex (capital expenditures) in fiscal 2027 versus prior plans.
- Expect server unit growth in the high-teens % range in both CY26 and CY27.
- Strong server unit growth is supported by a modestly lower rate of content growth than prior expectations, amid tight memory supply.
“Near-term conditions are still very good, in our view, with strong demand and rising pricing in evidence,” Morgan Stanley analyst Joseph Moore said in a note before the report was released. “The debate has very clearly shifted from, ‘How good can it get?’ to ‘How long can it stay this good?’”
For now the jury is out, as unlike last quarter when the stock blasted off after earnings, this time it is flat, having faded a modest after hours rise.
Micron shares were the best performer in the Philadelphia Stock Exchange Semiconductor Index this year, gaining 273%.
Tyler Durden Wed, 09/30/2026 - 16:28