Stocks surge…Industrial output tumbles…PepsiCo moves to profit
NEW YORK (AP) – Stocks are surging in morning trading on Wall Street after U.S. and Chinese officials agreed to continue trade talks in Washington next week. Investors are also looking at quarterly results from major U.S. companies. Bank, energy and materials stocks are showing the biggest gains. All 11 sectors in the S&P 500 are higher.
WASHINGTON (AP) – Industrial production fell 0.6 percent in January, a decline caused in large part by an 8.8 percent plunge in the making of motor vehicles and auto parts. The Federal Reserve says that the manufacturing component of the index dropped 0.9 percent last month, reversing a 0.8 percent gain in December. Manufacturing of wood products, computers, electrical equipment, apparel and chemicals also fell in January. Utility output rose 0.4 percent as the winter caused more natural gas usage.
PURCHASE, N.Y. (AP) – PepsiCo moved to a profit in its fourth quarter, getting a boost from a large tax benefit as sales in its Frito-Lay unit North America strengthened. The food and beverage company recorded a $5.3 billion tax benefit in the quarter, which included reorganizing its international operations. A year earlier it had a tax expense of $2.5 billion. The company also announced an increase of 3 percent in its dividend, starting with the payout in June.
MIAMI (AP) – A Florida attorney has been sentenced to seven years in prison and ordered to pay $19.7 million in restitution for securities fraud. Court records show that 77-year-old James Schneider was sentenced yesterday in Miami federal court. He was convicted in December of multiple charges, including conspiracy to commit securities and wire fraud. He must pay restitution to more than 2,000 investors, as well as forfeit $4.8 million. Prosecutors say 11 other defendants also have been convicted in the scheme.
CHARLOTTE, N.C. (AP) – NBA Commissioner Adam Silver has opened the annual All-Star Technology Summit by touting the “smart jersey of the future.” Silver used an app on a phone to change the number and name on the back of a jersey that was displayed on the side of the stage where he spoke. Silver laid out what a fully customizable fan experience may look like in the NBA in 2038, right down to changing the name on the jersey those fans wear to games.