Stocks up slightly…:Producer prices flat…Tribune calls off buyout by Sinclair…Samsung to unveil new phone
NEW YORK (AP) – Stock indexes are slightly higher in early trading on Wall Street as gains for technology companies are offset by losses elsewhere in the market. Yelp jumped 20 percent after raising its revenue forecast, but Rite Aid slumped 10 percent after calling off its sale to the grocery chain Albertsons. Flowserve, Viacom and Norwegian Cruise Line all rose sharply after reporting solid results. Bond prices rose. The yield on the 10-year Treasury note fell to 2.93 percent.
WASHINGTON (AP) – U.S. wholesale prices were unchanged in July after two months of large increases. The Labor Department says the producer price index – which measures price changes before they reach the consumer – increased 3.3 percent last month from a year earlier, down slightly from 3.4 percent in June. Gas prices and other energy costs fell after two months of strong gains, and food costs also declined. The price soybeans and other oilseeds fell 14 percent, the most in four years, after China imposed tariffs on them in retaliation for U.S. duties.
NEW YORK (AP) – Tribune is withdrawing from its $3.9 billion buyout by Sinclair and it’s filing a lawsuit against it, citing breach of contract. Tribune Media Co. would be on the hook for a $135 million breakup fee, according to the agreement reached last year. Sinclair Broadcast Group had offered to buy the Chicago company’s 42 TV stations and had agreed to get rid of stations in some markets to gain regulatory approval. Tribune claims Sinclair used “unnecessarily aggressive and protracted negotiations” with the government over regulatory requirements and refused to sell the stations it needed to.
NEW YORK (AP) – Samsung is expected to unveil its next major smartphone at a New York event today. The unveiling of the Galaxy Note 9 comes about a month before Apple is expected to unveil new iPhones. Samsung’s Note phones are large, niche devices intended for power users, but they offer a preview of likely features in the mass-market Galaxy S line. The Note 9 will be Samsung’s second Note model since its Note 7 was recalled because of its tendency to burst into flames.
CHARLOTTE, N.C. (AP) – The Bubble Wrap trademark holder and maker is under investigation by the Securities Exchange Commission. Sealed Air says it’s cooperating with the SEC. A company spokeswoman declined to say what the SEC is looking into specifically. The Charlotte Observer reports Sealed Air said in its second-quarter earnings report Monday that it received a subpoena on June 25 for accounting and financial reporting documents.