Business

Travelers wait in line at a Delta Airlines counter at Ronald Reagan National Airport in Arlington, Virginia, on July 19, 2024. Airlines around the world have been severely disrupted by a major global computer outage, which has caused chaos at airports. Delta Airlines CEO Ed Bastian has issued an apology and offered frequent flyer miles to affected travelers after thousands of flights were canceled due to a global computer outage Friday. The disruptions have drawn criticism from Transportation Secretary Pete Buttigieg. According to aviation data firm OAG, Delta canceled more than 4,600 flights from Friday through Sunday, more than any other airline. By Monday morning, Delta had canceled another 700 flights, representing 19% of its core flights and more than half of all cancellations in the...

The International Monetary Fund (IMF) has tempered expectations for rapid interest rate cuts, warning of increased inflation risks that could extend the Federal Reserve's tightening cycle. While recent data have shown a cooling of headline inflation, the IMF points out that underlying pressures, particularly in services and wages, remain persistent. This suggests that the path to lower inflation may be more arduous than expected. The IMF's cautious stance contrasts with market sentiment, which has been leaning toward multiple rate cuts this year. However, the fund's chief economist, Pierre-Olivier Gourinchas, has indicated that a more gradual approach to monetary easing may be needed. The U.S. economy is forecast to grow at a slower pace of 2.6% in 2024, as cooling consumer spending and a...

Several stocks have seen significant mid-day changes in the market today. Among them are CrowdStrike, Plug Power, and Comerica. Here's a closer look at the major players making headlines. Crowd Strike (CRWD) CrowdStrike has seen a substantial increase in its stock price, driven by an upbeat earnings report that beat Wall Street expectations. The cybersecurity company reported stronger-than-expected revenue growth and issued positive guidance for the coming quarters. Investors responded favorably to the company’s solid performance and upbeat outlook, sending its shares up more than 10% at midday. Plug power supply (PLUG) Plug Power shares fell sharply after reporting their quarterly earnings. The hydrogen fuel cell company reported a wider-than-expected loss, disappointing i...

Thursday's highly anticipated June CPI release will likely shape market sentiment regarding potential Federal Reserve rate cuts. Recent economic data, including rising unemployment, suggests both inflation and economic growth are cooling. Federal Reserve Chairman Jerome Powell acknowledged a more balanced risk outlook for inflation and recession in his testimony to Congress this week. He hinted at the possibility of rate cuts without waiting for inflation to hit the 2% target. Economists forecast a 0.1% monthly increase and a 3.1% annual increase in the consumer price index. The core consumer price index, excluding volatile food and energy prices, is forecast to rise 0.2% from May and 3.4% year-on-year. Market observers like Matt Brenner of MissionSquare Retirement believe that inflation ...

China's consumer inflation continued its downward trend in June, rising just 0.2% year-on-year, according to data released Wednesday. That was lower than analysts' expectations and adds to concerns about potential deflation in the world's second-largest economy. A Reuters poll had forecast a 0.4% rise in consumer prices in June. Meanwhile, the producer price index, which tracks factory-gate inflation, fell 0.8% from a year earlier, in line with forecasts. This subdued inflation is in stark contrast to the situation in many other countries struggling with rising prices. Weak domestic demand in China appears to be the main culprit. “The risk of deflation has not disappeared,” noted Zhiwei Zhang, chief economist at Pinpoint Asset Management, who pointed to sluggish domestic consumption as a ...

This week, media and tech giants will gather in Sun Valley to discuss the future of streaming and explore potential strategic alliances. Allen & Co.’s annual conference, known as “billionaires’ summer camp,” kicks off Tuesday at a ski lodge in Idaho. Since 1983, the event has been the birthplace of major media deals and a space for industry leaders to discuss the future of their businesses and the broader economy. The guest list for Sun Valley includes media leaders like Warner Bros. Discovery’s David Zaslav; Disney’s Bob Iger and his potential successors Dana Walden, Alan Bergman, Josh D’Amaro and Hugh Johnston; as well as Netflix co-CEOs Ted Sarandos and Greg Peters; along with tech titans like Amazon’s Andy Jassy and Jeff Bezos; and Apple CEO Tim Cook. While these moguls are regular gu...

The semiconductor industry is actively seeking workers in a competitive labor market, driven by growing demand for talent and the need for funding from the CHIPS and Science Act, which aims to stimulate domestic manufacturing. The U.S. economy is expected to face a shortage of about one million workers by 2030, as generative AI further fuels demand in the industry. A 2023 study by the Semiconductor Industry Association predicts a shortage of 67,000 computer scientists, engineers, and technicians in the U.S. chip industry by 2030, while the entire U.S. economy is projected to face a gap of 1.4 million such workers. A separate study by Deloitte suggests that the talent shortage in the semiconductor industry could worsen due to the global economic climate and ongoing supply chain issues. Glo...