Stocks lower…France suspends fuel tax hike…New beef recall
NEW YORK (AP) – Stocks are lower in early trading, giving up many of the market’s gains from a day earlier. Losses in banks, technology stocks and industrial companies outweighed gains elsewhere in the market. Homebuilders slumped on renewed concerns that the outlook for home sales is dimming. Bond prices rose, sending yields sharply lower.
PARIS (AP) – French Prime Minister Edouard Philippe has announced a suspension of fuel tax and utility hikes in an effort to appease a protest movement that plunged Paris into chaos last weekend. Philippe said the planned increase, which has provoked violent riots and was set to be introduced in January, will be suspended for six months. Philippe said “no tax is worth putting the nation’s unity in danger.”
LONDON (AP) – Bank of England Governor Mark Carney says British consumers could see their weekly shopping bills at the supermarket go up by 10 percent in a worst-case Brexit scenario. Addressing lawmakers, Carney said food prices could rise markedly if the country crashes out of the EU next March with no deal and no transition period thereafter to smooth the process. A lower currency will raise the price of imported goods, which was clearly evidenced in the aftermath of the Brexit vote in June 2016. Britain imports around half of its food.
NEW YORK (AP) – More U.S. beef is being recalled because it may be contaminated with salmonella. The U.S. Department of Agriculture says a unit of Brazil’s JBS is now recalling a total of more than 12 million pounds of raw beef that was shipped around the country. JBS Tolleson in Arizona already recalled about 7 million pounds of beef in October.
TORONTO (AP) – The potential entry of one of the world’s largest tobacco companies into the marijuana business is sending the shares of a Canadian cannabis company higher. Cronos Group confirmed talks late Monday with Marlboro maker Altria about a possible investment. Altria Group, based in Richmond, Virginia, owns Philip Morris USA, the largest cigarette maker in the United States. Canada legalized recreational marijuana use this year and in the U.S., the trend is moving in that direction on the state level.