BUSINESS NEWS MARCH 11TH, 2016
OIL HITS 70 YEAR LOWS
A Baker Hughes report released on Friday showed that U.S. oil rigs have plunged to their lowest levels since 1949. This drop is the latest in oil’s fall. In January, they hit 13 year lows at just $26 a barrel. Though oil has recently bounced back to $39 a barrel, they remain near a 17 year low. The report went on to say that the number of active oil rigs has been dropping massively since 2009. The number of rigs reached a peak in 2011, when oil was still up at $100 a barrel. However, drilling has stopped at many shale fields, because U.S. rigs need to turn a larger profit.
MARISSA MAYER FENDING OFF THOSE WHO WANT HER OUT
Yahoo CEO Marissa Mayer is in the fight of her life. Shareholders have been slamming her, saying that Yahoo needs to turn a profit if she is to stay in office. In a defensive move, Mayer agreed to an interview on PBS with Charlie Rose. When asked if she would be running Yahoo a year from now, Mayer said that she would like to, and that she has a great team at Yahoo who she loves to work with. Rose also asked what was wrong with the acquisitions that Yahoo made over the years. Mayer replied by saying that she believes the acquisitions of companies such as Tumblr did pay off, and that the number of engineers they had in the mobile market exploded.
WAGE GAP BETWEEN POOR AND RICH INCREASING
Recent reports show that the difference in pay of rich Americans versus the middle class is getting larger. People in the top 5% saw a 15% increase in their pay since 2007, whereas those in the bottom 70% did not experience any sort of pay bump. This discrepancy is angering the middle class, and it is that rage that the extreme left and right candidates in the presidential race are tapping into. Both Bernie Sanders and Donald Trump are utilizing the anger of the middle class to boost their chances in the 2016 presidential election.
TWO MAJOR COMPANIES AIM FOR CUBA DEALS BY OBAMA'S VISIT
AT&T Inc and Starwood Hotels & Resorts Worldwide, are seeking to complete deals in Cuba by the time President Barack Obama visits Havana later this month, according to a person familiar with the discussions.The White House hopes Obama's historic March 20-22 trip to the communist-ruled island, the first by a U.S. president in more than 80 years, will help advance Washington's diplomatic opening with the former Cold War foe after decades of hostility.U.S. officials had no immediate comment on the emerging business moves. AT&T and Starwood could be joined by other U.S. companies seeking to make inroads in the Cuban market. The Wall Street Journal reported earlier on Friday that Marriott International Inc was also working on a deal.