Forecasts for third-quarter S&P 500 earnings now call for a 3.9 percent decline from a year ago, based on Thomson Reuters data, with half of the S&P sectors estimated to post lower profits thanks to falling oil prices, a strong U.S. dollar and weak global demand. A rolling 12-month forward earnings per share forecast now stands near negative 2 percent, the lowest since late 2009, when it was down 10.1
AMHERST, Mass./SAN FRANCISCO (Reuters) – Federal Reserve Chair Janet Yellen is back in Washington on Friday, a day after receiving emergency medical attention following a speech during which she appeared to lose concentration and which she struggled to finish. A Fed spokesperson would not comment on whether Yellen planned to see a doctor for a follow up check-up, and would not comment on her health beyond last night’s statement that
After a marathon board meeting at its headquarters in Wolfsburg, the world’s biggest automaker said Mueller, the 62-year-old head of its Porsche sports car division, would replace Martin Winterkorn, who resigned as CEO on Wednesday. As Mueller took the helm, however, Germany’s transport minister announced the carmaker had manipulated test results for about 2.8 million vehicles in the country, nearly six times as many as it has admitted to falsifying
The U.S. economy expanded more than previously estimated in the second quarter on stronger consumer spending and construction, backing the case for an interest rate rise before the end of the year despite data sounding a note of caution for September. “There had been quite a bit of fear that strong inventory building in Q2 would be unwound in Q3.
The shock resignation of U.S. House Speaker John Boehner on Friday reduces the chances of a government shutdown next week, potentially removing one source of investor anxiety as Wall Street gears up for a week heavy with economic data and commentary by Federal Reserve policymakers. Boehner said Friday he will step down from the speakership and leave the House at the end of October. This was seen as a sign
Hewlett-Packard Co was made aware of practices at Autonomy, including hardware sales and growth rates boosted by different accounting rules, before it bought the firm for $11 billion in an ill-fated deal, according to founder Mike Lynch. HP is suing Lynch, and former Autonomy finance director Sushovan Hussain, in London for damages of about $5.1 billion for their management of Autonomy, alleging they engaged in fraudulent activities to boost the
European planemaker Airbus (AIR.PA) is pressing suppliers on its A320 jet program to slash prices by at least 10 percent by 2019 in order to make the company’s main cash cow more competitive, three people familiar with the matter said. The demand for austerity echoes rival Boeing’s (BA.N) cost-cutting Partner for Success initiative, which has redrawn the relationship between suppliers and the world’s biggest planemaker as the industry gears up
Caterpillar Inc’s (CAT.N) suppliers were feeling the pain of slumping sales at the world’s largest mining and construction equipment maker long before it announced an extensive cost-cutting program. J-TEC Chief Executive Officer Gary Roling said Peoria, Illinois-based Caterpillar, his single largest customer, had recently pushed back a big order due this month to December. “We’ve been selling to Caterpillar for a long, long time, and this year will likely be
Angela Merkel learned early in her political career that taking on the German car industry carries risks. It was the spring of 1995 and the newly appointed environment minister was trying to convince her cabinet colleagues to back a bold new set of anti-smog rules that included tougher speed limits and summer driving bans. Wissmann’s argument won the day, reducing Merkel to tears, according to a 2010 biography by Gerd
The S&P 500 and Nasdaq turned lower in afternoon trading, dragged down by a drop in biotech shares. The Nasdaq Biotech Index was down 6.2 percent, led lower by a 5.6 percent drop in Celgene. The biotech …