Stocks rise…Consumer spending up..,Ford recalls 550K vehicles for seat strength problem
NEW YORK (AP) – Stocks are higher in morning trading on Wall Street. Technology companies and banks are doing the most to lift major indexes. Intel rose 1.8% and Citigroup added 1.2%. Campbell Soup jumped 6.4% and Big Lots vaulted 9%. Both companies reported quarterly profits that easily beat analysts’ forecasts. Ulta Beauty plunged 25% after reporting weak results and cutting its estimates. Despite marching higher most of this week, the market is on track to finish August with a loss.
WASHINGTON (AP) – U.S. consumer spending grew 0.6% in July, a healthy gain that suggests American shoppers are driving the economy forward. The Commerce Department also says personal incomes rose just 0.1%, the smallest gain in 10 months. With spending ahead of incomes, the savings rate fell to 7.7%, the lowest since last November. An inflation measure in the report increased 0.2% in July and 1.4% from a year earlier, evidence that inflation remains mild.
DETROIT (AP) – Ford is recalling more than 550,000 trucks and SUVs in North America because seat backs may not properly restrain people in a crash. The recall covers certain 2018 through 2020 F-150 pickups, 2019 and 2020 Super Duty trucks, 2018 and 2019 Explorer SUVs, and 2019 and 2020 Expedition SUVs. All have manual driver or front passenger seat-back recliner mechanisms. Also included are some 2020 Explorer and Lincoln Aviator SUVs with rear seats with manual seat-back mechanisms.
LONDON (AP) – British Prime Minister Boris Johnson is warning of “lasting and catastrophic damage” to Britain’s political parties if the result of the Brexit referendum is not honored. He told Sky News Friday that people protesting his decision to suspend Parliament during part of the run-up to the Oct. 31 Brexit deadline must realize that “the worst thing for democracy” would be to fail to make Brexit a reality. He says the protests and legal challenges to his policy are making it harder for Britain to forge a new deal with European Union leaders.
LINCOLN, Neb. (AP) – Opponents of the Keystone XL pipeline are asking the Nebraska Supreme Court to reconsider its ruling that upheld state regulators’ decision to approve the project. In a motion filed yesterday, they say TC Energy, formerly known as TransCanada, acknowledged in a separate federal lawsuit in Montana that the pipeline route approved by Nebraska regulators wasn’t one the company wanted and that the company hadn’t proposed it as a serious option.