BUSINESS NEWS JANUARY 5th 2016
TWITTER PLANS TO INCREASE CHARACTER LIMIT
U.S. stocks closed modestly higher today, snapping a three-day slump, as Wall Street continued to deal with the aftershocks of yesterday’s China-inspired rout. Twitter is planning to extend its 140-character limit to as many as 10,000, according to a person familiar with the matter. For tweets which are longer than 140 characters, users will have to click and expand to see the rest of the text. The social networking site aims to retain the look and feel of the user's timeline. The new move could transform Twitter into a public blogging platform rather than the site being restricted to breaking news headlines and crisp opinions.
For more on the story log on to http://www.marketwatch.com/story/us-manufacturers-still-struggling-ism-finds-2016-01-04
GENERAL MOTORS INVESTS $500 MN IN LYFT
General Motors (GM) will invest $500 mn in ride-sharing start-up Lyft thus valuing the firm at $5.5 bn. The new investment will give Lyft more ammunition to fight a global battle for market share against rival Uber. GM and Lyft will work together to develop a network of self-driving cars that riders can call up on-demand. GM will offer Lyft drivers vehicles for short-term rent through various hubs in U.S. cities
For more on the story log on to http://www.bloomberg.com/news/articles/2016-01-04/gm-invests-500-million-in-lyft-to-bolster-alliance-against-uber
U.S. AUTO SALES RECORD STRONG GAINS IN DECEMBER
Even as December auto sales in the U.S. fell short of expectations, most analysts believe sales should rise to another record this year. For full year 2015, U.S. sales hit a record of 17.47 mn vehicles, breaking the figure of 17.41 mn vehicles in 2000, according to Autodata. Low gasoline prices along with favorable credit options boosted sales in the auto sector. December sales rose 9% to touch 17.34 mn vehicles.
For more on the story log on to http://www.reuters.com/article/us-usa-autos-idUSKBN0UJ1C620160105
U.S. AIRLINES HIKE FARES ACROSS SECTORS
Top U.S. airlines have hiked fares in the first industry-wide hike since June, in order to make up for offset increasing labor costs. Fares increased $3 one-way for U.S. domestic flights on American, United Continental, Delta, Southwest and JetBlue. Together the five airlines control more than 80% of the U.S. travel market. The hike indicates that airlines are not willing to transfer savings from a year's decline in fuel prices into lower ticket prices.
For more on the story log on to http://www.reuters.com/article/airlines-prices-usa-idUSL1N14P1HW20160105