15 October 2019

1) There are fears that the manufacturing segment is in trouble and may contract for the third straight month. This in turn could drag down the U.S. GDP (Gross Domestic Product) in the third and fourth quarters. Three factors are causing this down turn- the trade war with China, the GM (General Motors) strike and Boeing’s 737 MAX problems stopping deliveries and slowing production.

2) In the recent past, the online retailer giant Amazon has been unable to compete with traditional retailers when selling single items costing less than a few dollars, because the shipping cost is more than the single item cost such as toothpaste, deodorant or a simple brush. Customers had to buy these items as add-ons to make the $25 minimum for free shipping. But these items are now available for free shipping with Amazon’s Prime shipping. This could make for a significant challenge to other retailers such as Walmart, Target and CVS.

3) GM is attempting to end the month long strike of the UAW (United Auto Workers) by making direct appeal to the workers. The company has lost more than a $1 billion dollars so far, and is making several promises to the workers trying to circumvent the union’s leadership. The UAW has increased strike pay from $250 to $275 per week with union members allowed to hold other jobs as long as it doesn’t interfere with their picket duty.

4) Stock market closings for – 14 OCT 19:

Dow            26,787.36    down    29.23
Nasdaq         8,048.65    down      8.39
S&P 500        2,966.15    down       4.12

10 Year Yield:    down   at    1.73%

Oil:    down   at    $53.50

AT&T BEAT EXPECTATIONS & SHARES RISE BECAUSE OF RESULTS!!!!!!

at&t pic

By:  Economic & Finance Report

AT&T beat analysts expectations Wednesday, when their reported company earnings came out, beating analysts expectations of $.62 cents a share. Revenue from the company came in at $32.57 billion. It seems that the first quarter for AT&T was a productive year for the telecom giant, and its subsidiaries.

AT&T is the #2  wireless carrier and they are gearing up for their acquisition in DirecTv. The acquisition is supposed to be completed by the second quarter of 2015, if all goes well by federal regulators and federal proceedings. AT&T has already acquired NII Holdings in January 2015,  parent company of Nextel Mexico for a reported $1.88 billion dollars. The deal is to give AT&T an extra three million subscribers in Mexico terrain. -SB