US FINANCIAL MARKET
S&P 500 Climbs to Record at the Open on China Data as Retailers Rally
- The Standard & Poor’s 500 Index rose to a record, after posting the longest streak of quarterly gains since 1998.
- A report today showed manufacturing in China expanded in June by the fastest pace this year.
Boeing nears deal to sell 30 jets to Monarch Airlines
- Boeing is close to a roughly $3 billion deal to sell around 30 aircraft to Monarch Airlines, ousting the UK airline’s current supplier, Airbus.
Twitter replaces CFO Mike Gupta with former Goldman executive
- Anthony Notowas a managing director in Goldman Sachs’ technology, media and telecom investment banking group.
Food makers feel their way towards online future
- Grocery manufacturers are struggling to adapt to the online world and need to invest in smarter packaging.
- E-commerce accounts for just 3.7 % of sales for fast-moving items like food, drinks and personal care products.
Detroit automakers top expectations for U.S. June sales
- The early sales reports indicate the industry overall had a better-than-anticipated showing in June.
- GM delivered 267,461 new cars in June, up 1 % from a year earlier.
- Ford sales fell 5 % to 222,064, but the company still beat the analysts’ forecast of 217,007.
- Chrysler had a 9 % gain to 171,086, while Nissan was up 5 % at 109,643.
US ECONOMY & POLITICS
U.S. manufacturing expands in June at fastest rate in over four years: Markit
- Markit’s final U.S. Manufacturing Purchasing Managers Index (PMI) rose to 57.3 in June, the highest reading since May 2010.
- The output subindex rose to 61 from 59.6 while a read on new orders rose to 61.2 from May’s final read of 58.8. Both marked the highest level for the indexes since April 2010.
U.S. factory activity steady; construction spending barely rises
- The Institute for Supply Management (ISM) said its index of national factory activity was at 55.3, little changed from May’s 55.4 reading. A reading above 50 indicates expansion.
- The forward-looking new orders subindex hit a six-month high.
- The reports were the latest to suggest the economy rebounded in the second quarter after a weather-induced slump earlier in the year.
Construction spending edged up 0.1 % to an annual rate of $956.1 billion
- Economists had expected construction spending to advance 0.5 %.
- Private residential construction tumbled 1.5 %, reflecting weak housing starts.
- Spending by the federal government dropped 8.9 %, the largest fall since December 2010.
World oil markets can deal with situation in Iraq: U.S.’ Lew
- U.S. Treasury Secretary Lew believes that world energy markets will be able to deal with the situation as it goes forward.
EUROPE & WORLD
Asian stimulus boosts factories, euro zone still lags
- China’s final HSBC/Markit Purchasing Managers’ Index (PMI) rose to 50.7.
- It was above the 50 mark that separates growth from contraction for the first time in six months.
Markit’s PMI for the euro zone fell to 51.8 in June from May’s 52.2, the lowest reading since November
- Germany was again the driving force.
- In France – the bloc’s second-biggest economy – the contraction in activity deepened.
Japan’s PMI topped the 50-point mark for the first time in three months
- Firms were optimistic about the outlook, declaring readiness to boost capital investment and output.
TODAY in HISTORY
- The Battle of Gettysburg, which marked the turning point in the Civil War, began (1863)
- Canada became a self-governing dominion of Great Britain under the British North America Act (1867)
- Income tax withholding began in the United States (1943)
- The U.S. Post Office inaugurated its five-digit ZIP (Zone Improvement Plan) codes (1963)
- The United States, Britain, the Soviet Union, and 58 other nations signed the Nuclear Nonproliferation Treaty (1968)
- After 156 years of British colonial rule, Hong Kong was returned to China (1997)
- The Confederate flag was removed from the South Carolina statehouse (2000)
- Croatia became the 28th member of the European Union (2013)
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