Stocks edge lower…GDP up a modest 1.9%…Survey finds slowdown in hiring
NEW YORK (AP) – Stock indexes are edging lower in early trading on Wall Street as traders hold back ahead of an afternoon interest rate announcement from the Federal Reserve. Banks are falling broadly ahead of the expected rate cut. Bond yields dipped. But a number of individual companies are making big moves after reporting quarterly results. General Electric jumped 9% after raising its forecast for a key measure of profitability.
WASHINGTON (AP) – The U.S. economy slowed to a modest growth rate of 1.9% in the summer as consumer spending downshifted and businesses continued to trim their investments in response to trade war uncertainty and a weakening global economy. The Commerce Department reports that the July-September performance for the gross domestic product, the economy’s total output of goods and services, was just below the 2% rate of growth in the second quarter.
BALTIMORE (AP) – A private survey finds that U.S. businesses added just 125,000 jobs in October, a slowdown in hiring driven in part by job cuts in the manufacturing and construction. Payroll processor ADP says hiring in September was also revised down sharply to 93,000 jobs from the initial report of 135,000 jobs. The ADP’s figures don’t include government hiring and frequently diverge from the government’s official report, which will be released Friday.
LONDON (AP) – Facebook has agreed to pay a fine in a privacy case stemming from the Cambridge Analytica scandal, agreeing to accept the fine without admitting any liability. Britain’s Information Commissioner Office had leveled the fine of 500,000 pounds, or $643,000, after concluding Facebook processed the personal information of users unfairly by exposing it for use by app developers without informed consent. Cambridge Analytica’s clients included President Donald Trump’s 2016 election campaign.
DEARBORN, Mich. (AP) – Beginning next year, Ford’s redesigned vehicle models will allow software updates over the internet or through cellular phone connections. The company says every model will be equipped with the technology as they are redesigned. The shift will reduce visits to dealers for service and even some computer-related recall repairs. Once completed, Ford will join electric car maker Tesla Inc. in having over-the-air software updates across its model lineup.