Stocks up slightly…GDP, consumer spending, durable goods orders rise
NEW YORK (AP) – Stock indexes are showing modest gains in morning trading on Wall Street, capping a week of wide losses. Investors are buying utilities, household goods makers and other stocks they see as relatively safe, and Nike surged after a strong quarterly report. The major U.S. indexes have fallen 10 percent this month, and without a substantial gain over the final days of trading, they are headed for their single worst month since February 2009. That’s before the current bull market began.
WASHINGTON (AP) – The Commerce Department says the U.S. economy expanded at a solid 3.4 percent annual rate in the third quarter, but that’s slightly slower than the previous estimate as consumer spending and exports were revised lower. Growth in the gross domestic product, the economy’s total output of goods and services, was revised down from an earlier estimate of 3.5 percent. That follows a sizzling 4.2 percent advance in the second quarter and a moderate 2.2 percent increase in the first quarter.
WASHINGTON (AP) – Consumer spending saw a moderate rise in November, up four-tenths of a percent from the previous month. The Commerce Department says personal incomes rose 0.2 percent, down from 0.5 percent in the previous month. A measure of inflation slipped, rising 1.8 percent from a year ago, down from last month’s 2 percent annual gain. That could add to recent pressure on the Federal Reserve to pause its interest rate hikes.
WASHINGTON (AP) – Orders to U.S. factories for long-lasting goods rose at a modest pace last month, but the gain was driven entirely by demand for military aircraft. Excluding transportation equipment, orders fell. The Commerce Department says that durable goods orders rose 0.8 percent in November, following a sharp drop of 4.3 percent the previous month when orders for commercial and military aircraft plunged. Orders, excluding transportation, dropped 0.3 percent. A category that reflects business spending plans declined 0.6 percent, the third drop in four months.
DETROIT (AP) – Ford is recalling more than 410,000 F-Series pickup trucks with engine block heaters in the U.S. because they can catch fire. The recall covers certain F-150s from the 2015 through 2019 model years, as well as the 2017 through 2019 F-250, 350, 450 and 550. The company says in government documents posted today that water and contaminants can get into the heater cable and cause corrosion. That can cause electrical shorts and possible fires. There have been no reports of injuries.