Stocks fall for 8th day, longest decline since 2008 crisis
NEW YORK (AP) — Stocks retreated for an eighth consecutive day on Thursday as nervous investors remain transfixed on the potential outcome of next week’s U.S. presidential election, which has become too close to call.
The stock market is now on its longest losing streak since the depths of the 2008 financial crisis.
With five days left until the election, Hillary Clinton maintains a lead in national polling in the U.S. presidential race but Donald Trump has significantly narrowed the gap, particularly in swing states.
Applications for jobless aid hit highest level since August
WASHINGTON (AP) — More Americans applied for unemployment benefits last week, but jobless claims remain at levels that suggest most workers enjoy job security.
The Labor Department says claims for unemployment aid rose by 7,000 to a seasonally adjusted 265,000, highest since early August. Still, claims came in below 300,000 for the 87th straight week, longest such streak since 1970 when the workforce was much smaller.
The less-volatile four-week average rose 4,750 to 257,750.
Overall, 2.03 million Americans are collecting unemployment checks, fewest since June 2000 and down more than 7 percent from a year earlier.
US productivity up at 3.1 percent rate in third quarter
WASHINGTON (AP) — The productivity of American workers rose in the July-September quarter at the fastest pace in two years, while labor costs slowed.
Productivity increased at a 3.1 percent rate in the third quarter, the Labor Department reported Thursday. It was a significant improvement from the previous three quarters when productivity had fallen. Unit labor costs edged up a modest 0.3 percent in the third quarter, compared to a 3.9 percent jump in the second quarter.
The productivity figure was the best showing since a 4.2 percent gain in the third quarter of 2014. But the rebound was expected to be temporary.
US factory orders up slight 0.3 percent in September
WASHINGTON (AP) — Orders to U.S. factories increased a modest amount in September even though a key category that tracks business investment plans fell by the largest amount since February.
Factory orders edged up a slight 0.3 percent in September following a 0.4 percent advance in August, the Commerce Department reported Thursday. Orders in a category that serves as a proxy for business investment fell 1.3 percent, reversing a 1.2 percent increase in August. It was the biggest decline in the investment category since a 2.1 percent plunge in February.
SEC probes Wells Fargo, bank ups legal reserves fund
NEW YORK (AP) — Wells Fargo has confirmed that the Securities and Exchange Commission is investigating its sales practices, and revealed that the bank has almost doubled funds set aside to deal with legal problems.
The bank said in a regulatory filing Thursday that the SEC has joined numerous other agencies and states with ongoing probes. That’s on top of class-action lawsuits filed against the bank by investors, its former employees and customers.
Wells Fargo has been under fire since it was learned that employees, pushed to the limit by lofty sales goals, opened as many as 2 million bank and credit card accounts without customer authorization.
French prosecutors want HSBC on trial on tax fraud charges
PARIS (AP) — French financial prosecutors have asked judges to send HSBC and two former executives to trial on charges of aggravated tax fraud by its Swiss private bank.
HSBC’S Swiss bank has been investigated in several countries after leaked documents suggested it helped wealthy people around the world dodge taxes.
The French financial prosecutor’s office confirmed Thursday its request to send HSBC and Swiss-based HSBC Private Bank to trial, along with two former executives.
HSBC said in a statement Thursday that it takes “note of the recommendation” and will “continue to defend ourselves vigorously.”
Starbucks profit up 23 percent as sales rise
NEW YORK (AP) — Starbucks reported a 23 percent rise in profit in its fourth quarter, thanks to rising sales at its coffee shops and benefiting from an extra week in the period. The company’s results beat Wall Street expectations, and it announced a 25 percent increase in its dividend.
The Seattle-based company reported net income of $801 million, or 54 cents per share, in its fiscal fourth quarter. Adjusted earnings came to 56 cents per share, beating the 55 cents per share analysts expected. Revenue rose 16 percent to $5.71 billion, beating the $5.69 billion analysts expected.
Starbucks will pay shareholders a dividend of 25 cents next month, up from 20 cents.