Stocks slip…Trade deficit narrows…GM posts $8.1 billion 2018 profit
NEW YORK (AP) – A mixed bag of corporate earnings pushed slightly stocks lower in early Wall Street trading. Video-game makers were the biggest losers early on. Take-Two Interactive and Electronic Arts plunged after releasing weak forecasts. Several chipmakers, including Skyworks Solutions, rose after reporting solid results. Snap, which operates the photo-messaging app Snapchat, soared after reporting a giant increase in sales and slashing its quarterly loss in half.
WASHINGTON (AP) – The U.S. trade deficit narrowed in November as imports fell faster than exports. The Commerce Department says the gap between what the United States sells and what it buys from other countries dropped to $49.3 billion from a revised $55.7 billion in October. The U.S. ran a $71.6 billion deficit in the trade of goods such as cars and cellphones, down from $78.3 in October.
DETROIT (AP) – General Motors has posted an $8.1 billion net profit for 2018, fueled by better prices for vehicles sold in the U.S., its most lucrative market. It’s a strong rebound from the previous year when the company lost $3.9 billion on a giant tax accounting charge. GM made $10.8 billion before taxes in North America, down about 9 percent from 2017. But it still means big profit-sharing checks for about 46,500 union workers in the U.S. They’ll get $10,750 each.
DETROIT (AP) – Tesla is cutting $1,100 from the base price of its car designed for the mass market, the Model 3. The electric car company now says on its website that the car starts at $42,900. That’s still a ways from its goal of lowering the base price to $35,000. Tesla cut 7 percent of its workforce last month to trim costs and reduce the price of the car. CEO Elon Musk says the Model 3 must be competitive with gasoline-fueled cars for the company to succeed.
WASHINGTON (AP) – Fisher-Price is voluntarily recalling about 44,000 Children’s Power Wheels Barbie Dream Campers because they can keep running after the foot pedal is released. The Consumer Product Safety Commission says Fisher-Price has received 17 complaints. The model FRC29 battery-operated vehicles are hot pink with blue accents and have the Barbie logo printed on the back. They include a play kitchen, a fold out grill and pretend campfire. They were sold exclusively by Walmart for about $400 from July through last month.