Morning Market Roundup: Jobless Claims Surge, Ford Recall, Oil Post-May High
- Posted on July 19, 2012 at 9:13am by
Becket Adams
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Here’s what’s important in the business world this morning:
Jobless Claims: The number of Americans seeking unemployment benefits surged last week.
“Economists view the recent numbers with skepticism. They note that the government struggles to adjust the data to reflect temporary summertime layoffs in the auto industry,” the Associated Press reasons.
“And this year, many automakers are foregoing the typical shutdowns because stronger sales have kept plants busier. That has made the process even more difficult,” the report adds.
Really? Something tell us that if these numbers were low, the AP report wouldn’t be so skeptical of the data.
The Labor Department says applications rose by 34,000 to a seasonally adjusted 386,000. The increase reversed a big drop the previous week.
Ford: Ford is telling some buyers of 2013 Escape small SUVs not to drive them because the engines can catch fire.
The company is recalling 11,500 Escapes in the U.S. and Canada because the fuel lines can crack and leak. The recall affects only models with 1.6-liter four-cylinder engines that were built from early April through July 11 this year.
Ford is taking the unusual step of picking up the SUVs and leaving loaner cars with customers. The company says it has three reports of fires, two at the factory and one while a customer was driving an Escape. No one was injured.
About 4,800 defective Escapes were sold. The rest are on dealer lots and will be repaired.
Ford says customers should call dealers to get the problem fixed.
Oil: Oil prices rose above $91 a barrel for the first time since May after the U.S. government said oil demand is on the rise and amid rising tensions in the Middle East.
By early afternoon in Europe, benchmark crude was up $1.18 at $91.05 a barrel in electronic trading on the New York Mercantile Exchange. The contract rose 65 cents to settle at $89.87 per barrel in New York on Wednesday.
In London, Brent crude was up 76 cents at $105.92 a barrel on the ICE Futures exchange.
U.S. Futures: U.S. stock futures are following global markets higher as earnings from major corporations dispel fears of a sharp downturn in the economy.
While some financial companies are still struggling, including Morgan Stanley which posted a sizeable decline in revenue for its second quarter, airlines and tech companies are faring well given the slow economic rebound.
Dow Jones industrial average futures are up 55 points to 12,915. Standard & Poor’s 500 futures are up 5.6 points to 1,372.90 and Nasdaq futures have tacked on 14 points to 2,634.
IBM posted a 6 percent jump in profit Wednesday. Southwest Airlines said Thursday that its profit soared 42 percent.
The Associated Press contributed to this report.
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T-2
Posted on July 19, 2012 at 10:43amis it still Bush’s fault?
Report Post »Chromo200
Posted on July 19, 2012 at 10:13amThese unemployed are helping the economy ..”Steny Hoyer: Food Stamps, Unemployment Insurance are the Most ‘Stimulative’ Things You Can Do”.
Report Post »Southernguy
Posted on July 19, 2012 at 10:51amYeah, but my unemployment ran out a month ago, lol
Report Post »Paulhgreenbay
Posted on July 19, 2012 at 9:51amAny geeks out there track the prices you pay for groceries? The inflation the government has hid with deceptive math to tell you doesn’t exist has more than moderately increased the prices of consumer goods. Now the corn crops are fubar this year that sure as heck further affect both food and ethanol prices. Glad I’m off the American corn fed diet.
Report Post »RedDirtTexas
Posted on July 19, 2012 at 9:47amWe’ve been loosing around 350,000 jobs each month for 3.5 years, since the unemployment numbers were 9.2%. That’s over 4 million a year or 14 million since King O took office. Along with the 9.2% we started with, plus 14 million more, the unemployment rate is now 8.2% or so? He’s doing a wonderful job!
Report Post »Paulhgreenbay
Posted on July 19, 2012 at 9:42amNo surprise here.
Report Post »NOTAMUSHROOM
Posted on July 19, 2012 at 9:39amFire? Couldn‘t have anything to do with the ETHANOL crap that’s mandated to be in the damn gasoline nowadays, could it?
Government mandates at their finest.
Report Post »fastgen1
Posted on July 19, 2012 at 9:31amTO Mr. obammy, when you going to fix things, *******. Where’s the change you promised. Your a pathological liar. You have had three years and it’s getting worse.
Report Post »barber2
Posted on July 19, 2012 at 10:01ambut..but..but..that’s why he needs four more years to “ occupy” the White House ?!!!
Report Post »Snowleopard {gallery of cat folks}
Posted on July 19, 2012 at 9:25amSo once again with the jobless claims rising dramatically, we see the truth again and again of the absolute failure of the Obama economic policies. Only his plan of completely destroying the nation is on schedule, and maybe even ahead of schedule at that. Oil prices will rise more and more with the risk of war with Iran, as Obama wants, for by driving oil prices through the roof, he can claim more and more political points for his failures of ‘green technology’ and push that agenda for all its worth.
God h
Report Post »NOTAMUSHROOM
Posted on July 19, 2012 at 9:41amSnow
Report Post »“Becoming” as delusional? He’s every bit as insane and then some! DC is a nut house!
contkmi
Posted on July 19, 2012 at 9:20amDoes the AP mean the season of this presidency?
I’m just praying people are following these somewhat fake numbers. The real numbers are even worse. Romney had better use these numbers and not be a McLame.
And do we get to blame this president for high oil and gas prices? C’mon, it‘s gotta be Obama’s oil buddies. After all, it was Bush’s oil buddies that were responsible during his tenure.
Report Post »Snowleopard {gallery of cat folks}
Posted on July 19, 2012 at 9:28aminteresting is it not the hypocritical, double standards of the leftists? Senator Reid declared the other day that it is the sole purpose of his party to protect President Obama so his agenda of transformation can be carried out to fruition in the United States. Most assume this is a slip on his part, and casually dismiss his statement. I think this is a challenge to the people of the US, as Reid is telling them in effect “no matter what you seek to do about it, its far too late to stop us.”
Somehow I think he is becoming as mentally unstable and delusional as Mr Obama.
Report Post »Popp40
Posted on July 19, 2012 at 9:41am@ Snowleopard….and you notice no one in the main stream media is reporting on that. You don’t even hear crickets from them anymore…..you don’t hear anything at all.
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