BUSINESS NEWS MAY 12TH, 2016
The number of Americans filing for unemployment benefits rose last week to a more than one-year high, but economists blamed striking telecommunications workers for the surge and said the data did not signal a deterioration in the overall labor market.Another report on Thursday showed import prices increased in April for a second straight month, suggesting the disinflationary impulse from a strong dollar and lower oil prices, which has helped to hold inflation well below the Federal Reserve's 2 percent target, was fading.
APPLE FALLS BELOW $90 AS IPHONE WORRIES FESTER
Shares of Apple dropped below $90 on Thursday for the first time since 2014 as Wall Street worried about slow demand ahead of the anticipated launch of a new iPhone later this year.A mainstay of many Wall Street portfolios, Apple fell to as low as $89.47 before recovering slightly to end at $90.34, a 2.35 percent loss.Component suppliers in Taiwan will receive fewer orders from Apple in the second half of 2016 than in the same period last year, the Nikkei Asia Review reported on Thursday, citing sources. Apple typically launches its high-end phones in September.
OIL UP 1 PERCENT AFTER SWING ON MIXED DATA; U.S. CRUDE AT NOV HIGHS
Macy’s has been facing troubles recently. The clothing retailer reported a 7% drop in sales from forecasts last year. Same store sales have also been plunging consistently for the last 5 quarters. Macy’s stock has dropped 9%, wiping out the gains that it had made in last year. Republican nominee Donald Trump called Macy’s a “disloyal retailer”, adding that his backers should boycott the place.
NISSAN BUYING $2.2 BILLION CONTROLLING STAKE IN SCANDAL-HIT MITSUBISHI MOTORS
Nissan Motor Co has agreed to buy a 34 percent stake in Mitsubishi Motors Corp, taking de facto control with a $2.2 billion bet that bails out its smaller, scandal-hit rival.The deal is a lifeline for Mitsubishi Motors, which is mired in its third scandal in two decades and has had $3 billion wiped off its market value after confessing to manipulating fuel economy data.But it should also be a boost for Nissan. Japan's second-largest car maker has struggled to make inroads into Southeast Asia, in countries like Thailand and the Philippines, where Mitsubishi's models are popular.