NEW YORK (AP) — Stocks are moving higher on Wall Street, pushing the S&P 500 ever closer to the all-time high it reached back in February, before the coronavirus shutdowns slammed the economy. The index was up 0.4% in morning trading Tuesday. European markets were also higher.
The gains followed President Donald Trump’s announcement that he was considering cuts to taxes on capital gains and income.
Declines in big-name tech stocks like Apple and Microsoft kept the market’s gains in check. Those stocks have far outpaced the rest of the market this year as investors bet they could still thrive in a stay-at-home economy.
Treasury yields rose.
US producer prices up 0.6% in July, biggest jump since 2018
WASHINGTON (AP) — U.S. wholesale prices shot up an unexpected 0.6% in July, biggest gain since October 2018 on a big increse in energy prices.
The Labor Department said Tuesday that the jump last month in its producer price index — which measures inflation before it reaches consumers — followed a 0.2% drop in June. Wholesale energy prices shot up 5.3%. Excluding the volatile food and energy prices, producer prices rose 0.5%.
Over the past year, producer prices are down 0.4%, and core prices are up 0.3%. The sharp recession caused by the coronavirus outbreak has constrained inflation.
Boeing: No orders, more cancellations for grounded 737 Max
UNDATED (AP) — Boeing is reporting more weak numbers for airplane orders and deliveries. The big aircraft maker said Tuesday it it sold no new airliners in July, and customers canceled orders for 43 of its 737 Max jet. That’s the plane that has been grounded for more than a year after two crashes killed 346 people.
Besides problems with the Max, Boeing is being hurt by the virus pandemic, which has devastated air travel and caused airlines to lose interest in buying new planes. Boeing delivered just four planes last month, compared with 19 in July 2019. The company depends on deliveries to generate cash.
VIRUS OUTBREAK-SUMMER JOBS
Pandemic forces more young people out of summer job market
UNDATED (AP) — The iconic summer job for high school and college students has been on the wane for nearly 20 years. But the pandemic is squeezing even more young people out of the workforce.
Some are borrowing more money. Others have turned to pick-up jobs like Instacart, only to compete with older people who are similarly sidelined.
A Drexel University education professor says summer work remains crucial for young people’s development, often leading to higher earnings and higher levels of education.
According to the Bureau of Labor Statistics, the unemployment rate for people ages 16 to 24 was 18.5% in July compared with 9.1% the same month last year.
UK bracing for big spike in unemployment
LONDON (AP) — Official figures show that the number of people in employment in the U.K. fell by 220,000 in the three months after the country was put into lockdown as a result of the coronavirus pandemic.
That quarterly decline, which took the total number of people in employment to 32.92 million, is the biggest since the deep recession in 2009 in the wake of the global financial crisis.
So far, Britain has been partly spared the sharp rises in unemployment seen in the United States, for example, because of the government’s Coronavirus Job Retention Scheme, which pays the majority of the salaries of workers who have not been fired.
Some coffee with your coffee? Dunkin’ launching cereal line
CANTON, Mass. (AP) — Dunkin’ is getting into the cereal game. The Massachusetts-based coffee and donuts empire is releasing two new breakfast cereals based on two of its most popular coffee drinks: Caramel Macchiato and Mocha Latte.
The team-up with Post Consumer Brands, the makers of Honey Bunches of Oats, Shredded Wheat, Raisin Bran and other familiar cereals, is expected to hit grocery shelves later this month. The companies say real Dunkin’ coffee is used in each box of cereal but there’s only a tiny amount of caffeine per serving.
Reaction on social media has ranged from enthusiastic anticipation to horrified yet intrigued.