BC-APFN-Business News Digest
Business News at 2 p.m.
The supervisor is Skip Wollenberg (800-845-8450, ext. 1680). For photos, ext. 1900. For graphics and interactives, ext. 7636. Expanded AP content can be obtained from http://www.apexchange.com. For access to AP Exchange and other technical issues, contact customersupport@ap.org or call 877-836-9477.
If you have questions about transmission of financial market listings, please call 800-3AP-STOX.
A selection of top photos can be found at: http://bit.ly/APTopPhotos .
All times EDT.
TOP STORIES:
ECONOMY
WASHINGTON — An acceleration of hiring last month helps drive the U.S. unemployment rate to a six-year low of 5.9 percent and brightens the outlook for the economy. Investors were cheered. Yet don't assume the Federal Reserve will move up its timetable for raising interest rates to prevent high inflation. Apart from the unemployment rate, other gauges of the job market still show scars from the Great Recession. Wages aren't rising. And the numbers of people out of work for more than six months or working part time even though they want full-time work remain elevated. By Christopher S. Rugaber. SENT: 880 words, photo.
With:
WHY NO PAY RAISES?
WASHINGTON — Where are the pay raises? Employers in the United States are hiring at a brisk pace. Unemployment has sunk to a nearly healthy rate. Jobs are being filled across a range of industries. Yet the September jobs report contained a puzzling fact: Paychecks still aren't growing. Without higher pay, workers have less money to spend and save, and the economy can strengthen only so much. Three key factors help explain why wages have failed to match the pace of hiring. By Josh Boak. UPCOMING: 800 words by 2 p.m.
And:
— FINANCIAL MARKETS — The Dow Jones industrial average surges 200 points following jump in hiring by US employers last month. The better-than-expected gains added to evidence of a two-speed global economy as the U.S. strengthens while many other countries stumble. SENT: 590 words, photos. UPCOMING: 700 words by 5 p.m.
KEEPING MONEY SAFE-Q&A
NEW YORK — Hackers penetrated the computer systems of JPMorgan Chase & Co., the country's largest bank, stealing names, emails, addresses and phone numbers over the summer. The theft of personal information from 76 million households naturally raises questions about the safety of money in the digital era. What are the risks Americans face? How can bank customers reduce the threat of identity or financial theft? What can banks do to bolster their networks? UPCOMING: 600 words by 3 p.m., photos.
With:
— KEEPING MONEY SAFE-TIPS — UPCOMING: 400 words by 2 p.m., photos.
And:
— JP MORGAN-DATA BREACH — New details on a cyberattack against JPMorgan Chase & Co.'s computer servers this summer add to increasing doubts over the security of consumer data kept by banks, retailers and others. SENT: 740 words, photo.
ISIS-COMPANY NAME
Aeran Brent is tired of visitors asking about her store's name or snapping pictures of the sign outside. Unfortunately, that's life for a small business owner whose shop — Isis Bridal and Formal — shares a name with ISIS, the acronym of a notorious Islamic militant group that the United States is fighting in Iraq and Syria. "Isis" is part of more than 270 product, service or business names among active federal trademarks, according to the U.S. Patent and Trademark Office. By Tom Murphy. SENT: 800 words, photos.
CARIBBEAN-ERODING BEACHES
NEGRIL, Jamaica — Tourists from around the world are drawn to a stretch of palm-fringed shoreline known as "Seven Mile Beach," a crescent of white sand along the turquoise waters of Jamaica's western coast. But the sands are slipping away and Jamaicans fear the beach may someday need a new nickname. Shrinking coastline long has raised worry for the area's environmental and economic future. The erosion is expected to worsen as a result of climate change, and a hint of panic is creeping through this laid back village, one of the top destinations in a country where a quarter of all jobs depend on tourism. By David McFadden. SENT: 970 words, photos.
MARKETS & ECONOMY:
OBAMA
WASHINGTON — Boosted by the lowest jobless rate in six years, President Barack Obama is putting a manufacturing focus on his revived economic message, calling attention to industrial gains that have helped restore some higher-wage jobs during the recovery from the Great Recession. Obama visits a steel manufacturer in Princeton, Indiana, as part of a new fall political campaign push to promote his pocketbook policies and to claim credit for the upturn in the economy. By Jim Kuhnhenn. SENT: 650 words, photos, audio, video. UPCOMING: Obama tours steel plant at 2:50 p.m. Will be updated.
TRADE GAP
WASHINGTON — The U.S. trade deficit shrinks for the fourth straight month in August, falling to the lowest level since January as exports rose to an all-time high. The deficit dropped 0.5 percent in August to $40.1 billion, compared to a revised $40.3 billion in July, the Commerce Department reported. By Martin Crutsinger. SENT: 430 words, photo.
ECONOMY-SERVICES
WASHINGTON — U.S. service firms expand at a healthy pace in September although it was slightly below the record pace set in August. By Martin Crutsinger. SENT: 200 words, photo.
INDUSTRY:
OVERSEAS DEALS-TAX BREAKS
New government rules aimed at curbing corporate moves overseas for tax breaks appear to be working, just not entirely the way federal regulators planned. Salix Pharmaceuticals is cancelling its deal to acquire Cosmo Technologies, and medical device giant Medtronic is changing the financial details of its acquisition of Covidien because of the rules. By Tom Murphy. Incorporates Medtronic-Covidien and Salix-Inversion Scuttled. SENT: 610 words.
— TRUMP ENTERTAINMENT — A Delaware bankruptcy judge denies a request by Trump Entertainment Resorts to be relieved of its pension obligations under a collective bargaining agreement with workers at the Taj Mahal casino in Atlantic City, New Jersey. SENT: 140 words. UPCOMING: Will be updated.
— SWITZERLAND-UBS-TAX EVASION — Shares in UBS AG are down after reports the Swiss bank could face a fine of 4.88 billion euros ($6.16 billion) if found guilty of facilitating tax evasion and money laundering in France. SENT: 140 words.
— EUROPE-NOVARTIS-ELI LILLY — The European Union's antitrust authority says it has approved the $5.4 billion sale of Novartis' animal health division to U.S. pharmaceutical firm Eli Lilly. SENT: 120 words.
— EUROPE-CHIQUITA-FYFFES — The European Union's antitrust body approves a merger between U.S. banana company Chiquita and Fyffes of Ireland in a deal that creates the world's largest banana supplier. SENT: 140 words.
— FRANCE-AIRBUS — German carmaker Daimler AG and French conglomerate Lagardere SCA are on trial in a Paris criminal court along with seven current and former Airbus executives accused of involvement in insider trading. SENT: 140 words.
— INTERSTATE EGG FIGHT — A federal judge throws out a lawsuit filed by Missouri and five other states asking the court to strike down a California law barring the sale of eggs in the state produced by hens in cramped living conditions. SENT: 500 words.
AUTOS:
GENERAL MOTORS-RECALLS
DETROIT — General Motors announces two more recalls, pushing its total for the year to 71, affecting almost 30 million vehicles in North America. The biggest of the new recalls covers just over 430,000 Cadillac SRX and Saab 9-4X SUVs, mainly in North America. By Tom Krisher. SENT: 550 words, photos.
— MERCEDES-UNION — The United Auto Workers is ramping up its efforts to gain representation of workers at the Mercedes plant in Alabama, despite having so far been thwarted in its attempts to organize any foreign automaker in the South. SENT: 500 words.
PARIS MOTOR SHOW-HOT WHEELS-FERRARI 458 SPECIALE A
PARIS — The top draw at Ferrari's stand at the Paris Motor Show is its 458 Speciale A - 'A' for Aperta, Italian for 'open'. It's what's otherwise known as a spider, with an open top to give drivers the ultimate Ferrari driving experience. Ferrari says the 458 is its most successful V8 sport Ferrari ever, and this limited edition version will no doubt add to that popularity. SENT: 230 words, photo.
With:
— PARIS MOTOR SHOW-HOT WHEELS-LAMBORGHINI ASTERION — Lamborghini's Asterion LPI 910-4 concept was one of the most hotly anticpated unveilings of the Paris Motor Show, and the Italian supercar maker didn't disappoint. SENT: 270 words, photo.
— PARIS MOTOR SHOW-HOT WHEELS-AMG GT S — If there's one car that can challenge Lamborghini for drawing gaping crowds at this year's Paris Motor Show, it's the AMG GT S on display at Mercedes' stand. SENT: 250 words, photo.
TECHNOLOGY & MEDIA:
— EUROPE-FACEBOOK-WHATSAPP — The European Union's antitrust authority approves Facebook's proposed $19 billion takeover of the messaging service WhatsApp. SENT: 140 words.
— BITCOIN COMPANY-FTC LAWSUIT — A Kansas bitcoin company that was shut down after being sued by the federal government will be allowed to resume some of its business, a federal judge rules. SENT: 260 words.
INTERNATIONAL:
EUROPE-ECONOMY
LONDON — A contrasting picture of the economic recovery in the 18-country eurozone is emerging. While a closely watched survey found that the recovery proved to be even more subdued than previously thought during September, official European data suggested that consumers were in buoyant mood during August. By Pan Pylas. SENT: 500 words, photo.
With:
— IRELAND-ECONOMY — The Irish Central Bank sharply raises its economic outlook for Ireland but cautions the government not to soften austerity plans in this month's budget, the first to be unveiled since the country's exit from an international bailout. SENT: 370 words, photo.
— BULGARIA-ELECTION — Bulgarians are voting Sunday in a parliamentary election that will determine whether the country continues to build a Russian gas pipeline that would give the Kremlin even more leverage over Europe's energy market — a project the European Union opposes. SENT: 670 words, photos.
— BRITAIN-FRANCE-SPAT — The boss of British retail chain John Lewis has apologized for saying France is "in decline" and "finished." SENT: 220 words, photo.
A sampling of Money & Markets modules is below. The full digest for AP's Money & Markets service can be found at markets.ap.org. For questions about Money & Markets content, please contact Trevor Delaney (800-845-8450, ext. 1807). For technical support: Todd Balog (816-654-1096). After 6 p.m., contact the AP Business News desk (800-845-8450, ext. 1680) for content questions; 1-800-3AP-STOX for technical support and 212-621-1905 for graphics help.
CENTERPIECE
Hard fall for hard assets
Commodity prices sank last quarter, again. Everything from crude oil to gold to wheat fell from July through September. UPCOMING: Graphic expected by 6 p.m.
COMPANY SPOTLIGHT
Getting drilled
Shares of Transocean and other offshore-drilling companies are among the market's worst performers, continuing a months-long trend. UPCOMING: Graphic expected by 6 p.m.