S&P 500 Posts Longest Losing Streak Since January
Business Roundup for Monday, April 7.
NEW YORK (AP) – U.S. stocks are sagging at the close, pushing the broader market to its longest losing streak since January. Declines were led by financial firms and consumer discretionary companies, which provide goods and services that are not must-haves for shoppers. High-growth technology stocks also continued their slump from last week, although the declines weren’t as severe. The Standard & Poor’s 500 index fell 20 points, or 1.1 percent, to close at 1,845 Monday. It was the third straight down day for the index, its longest losing span since late January. The Dow Jones industrial average dropped 166 points, or 1 percent, to 16,245. The Nasdaq slipped 47 points, or 1.2 percent, to 4,079. Fashion accessory company Fossil Group and used car retailer CarMax slid 4 percent. CarMax reported disappointing results Friday.
DETROIT (AP) — Ford is recalling nearly 435,000 cars and SUVs to fix rusting frame parts or faulty seats. The bigger of the two recalls covers Ford Escapes from the 2001 through 2004 model years for the rust problem, which the automaker says can hamper steering control. The second recall covers Ford Fusion, Lincoln MKZ, Ford Escape and C-MAX vehicles from 2013 and 2014. Dealers will replace seat back frames that weren’t welded properly.
INDIANAPOLIS (AP) — U.S. Steel says its largest mill is on limited production, because of a shortage of iron ore. The problem has been the ice covering Lake Superior, which has prevented ships from delivering enough ore. The Gary Works mill in Indiana had to shut down its furnaces for about a week because of the shortage, but U.S. Steel says some shipments got through yesterday.
TORONTO (AP) — Target is finding it difficult to crack the Canadian market. A year after opening more than 100 stores north of the border, sales have been weak and Target has lost nearly a billion dollars. Among the problems Target is struggling with are Canadian regulations, a slower economy and increasing competition. Some Canadian shoppers say they find the deals and the shopping experience at the Canadian stores just aren’t the same as when they cross the border and shop at a Target in the U.S.
NEW YORK (AP) — Sen. Charles Schumer is pushing for a change in the federal tax code intended to give a financial boost to live theater around the country. Schumer’s proposal would allow 100 percent of any live theater investment to be deducted up to $15 million per production. That’s similar to benefits currently granted to film and TV projects. Schumer say the change would create more shows nationwide, and provide a financial boost to hotels, restaurants and taxis.
ABU DHABI, United Arab Emirates (AP) — The director of the International Air Transport Association says the world needs a global standard for tracking planes to avoid another disappearance like that of Malaysia Airlines Flight 370. Tony Tyler told a small media gathering in Abu Dhabi that the cost of tracking will have to be examined in any decision, but he’d like to see a standard in place by the end of the year.
DALLAS (AP) — U.S. airlines are drawing fewer complaints these days. Researchers from Wichita State University and Embry-Riddle Aeronautical University say consumer complaints to the government are down 15 percent, despite more late flights and mishandled bags. The researchers grade airlines on on-time performance, mishandled bags, bumping passengers, and complaints to the government. Virgin America topped their ratings, while American Airlines’ regional affiliate American Eagle ranked at the bottom.
WASHINGTON (AP) — The Supreme Court has rejected a challenge to bans on campaign contributions by corporations. Iowa Right to Life had asked the court to hold that corporations have the same constitutional free speech rights as individuals to make campaign contributions.
ANAHEIM, Calif. (AP) — Questcor Pharmaceuticals says it’s being bought by an Irish company. Mallinckrodt makes a range of specialty pharmaceuticals and its purchase of Questcor will diversify its business. Questcor’s primary product is a gel (H.P. Acthar Gel) used in the management of autoimmune and inflammatory conditions. The combination stock and cash deal is valued at about $5.2 billion. Questcor stockholders will receive cash and shares worth approximately $86.10 per Questcor share.
HONG KONG (AP) — A sell-off of Internet and technology stocks that started on Wall Street spread around the globe today, with such companies in Asia hammered by worries about the sector’s excessively high valuations. The dollar inched up against the yen and fell against the euro. Benchmark U.S. crude oil fell but remains above $100.50 a barrel.
WASHINGTON — There’s only one major economic report scheduled for release today. It’s February’s consumer credit data from the Federal Reserve. On Tuesday, the Labor Department will release its job openings and labor turnover survey for February. After the market closes today, Alcoa will report its quarterly financial results.
BERLIN (AP) — Scientists and government representatives have begun a weeklong meeting in Berlin on climate change. They say the goal is agreement on keeping global temperature increases below 2 degrees Celsius (3.6 F) by the end of the century. The head of the United Nations scientific panel has urged governments to bridge their differences.
WASHINGTON (AP) — A major new survey finds that fewer Americans are going without health insurance after the initial signup season of the Affordable Care Act. The Gallup-Healthways Well-Being Index released today finds the share of adults without health insurance shrank from 17.1 percent at the end of last year to 15.6 percent for the first three months of 2014.
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