Select a category

After helping propel durable goods orders higher over the past several months, aircraft orders declined significantly in June, bringing the broader measure of business investment down with it.

Census Bureau data showed durable goods orders declined 6.6% in June from the prior month, reversing a four-month streak of gains powered by steady growth in transportation orders. It’s the largest one-month decline in the indicator since 2020.

Much of that decline can be traced back to transportation equipment orders, a subcategory of durable goods mainly comprising aircraft orders. It came in lower by 20% in June compared to May. Excluding transportation orders, durable goods orders were higher by 0.5% for the month.

The decline in durable goods orders was unexpected, as analysts surveyed by the and projected an increase of 0.3% for the month. Economists look at durable goods orders to indicate how businesses invest for future growth. 

“While the manufacturing environment is still struggling, this morning's data overstate recent weakness,” wrote Wells Fargo economists Shannon Seery Grein and Tim Quinlan. “Yet durables data are still consistent with a stalling in the industrial space.”

Economists said that Thursday's GDP report, which measures durable goods by how many were shipped, not ordered, shows that the industrial sector may be down, but not quite as bad as the dip in durable goods orders would indicate.

There likely won't be sustained improvement in the sector until the Federal Reserve begins to lower interest rates that have been held at decades-high levels for nearly a year, economists said. 

"Orders are likely to remain uneven until the Fed starts cutting interest rates in September,” wrote BMO Senior Economist Jay Hawkins.

The Fed is widely expected to cut interest rates by September amid signs that the economy is slowing and inflationary pressures are subsiding.

Read more on Investopedia

The Federal Capital Territory (FCT) Police Command has deployed 4,200 officers ahead of a 10-day nationwide protest scheduled for August 1 to 10th.

The command’s spokesperson, Josephine Adeh, in a statement on Friday, July 26, said the deployment of the officers is “aimed at ensuring public safety, protection of protesters, and preventing protests from being hijacked by non-state actors”.

According to her, “The FCT Police Command, in anticipation of the planned nationwide protest by some human rights activists and Nigerian youths to publicly express their displeasure over hunger and hardship, has proactively deployed material and human resources at the command’s disposal across the nooks and crannies of the nation’s capital.

The proactive deployment, which is aimed at ensuring public safety, protection of protesters, and preventing protests from being hijacked by non-state actors, is characterised by visibility policing, the deployment of explosive ordinance devices (EOD) experts and personnel at various strategic locations, raids on identified black spots, uncompleted buildings/shanties, stop and search, vehicular and foot patrol and synergy with sister security agencies.”

Continue reading on Instablog

Shares of Dexcom (DXCM) tumbled over 40% in extended trading Thursday after the company reported second-quarter earnings that missed estimates and slashed its full-year revenue guidance.

The maker of glucose monitors said it now expects full-year organic revenue growth of 11% to 13%, down from its projection in April of 17% to 21%.

Dexcom's revenue in the second quarter grew 15% year-over-year to $1 billion, roughly in line with analysts' estimates compiled by Visible Alpha. However, net income of $143.5 million or 35 cents per share missed expectations.

“While Dexcom advanced several key strategic initiatives in the second quarter, our execution did not meet our high standards,” CEO Kevin Sayer said in a release, adding “we are taking action to improve our execution and best position ourselves for continued long-term growth.”

Dexcom also announced a $750 million stock buyback program.

Shares of Dexcom were down 40.1% at $64.50 in extended trading as of 5:40 p.m. ET Thursday following the release.

Read more on Investopedia

If you’ve left your job and rolled over your retirement savings to an individual retirement account (IRA), there’s a chance you're missing out on hundreds or thousands of dollars worth of investment gains by leaving the money uninvested. 

A new study from Vanguard found that, in 2015, 28% of workers who rolled over their 401(k)s into IRAs left their savings in cash for more than seven years. Younger investors, women and people with smaller balances were more likely to leave the money uninvested, Vanguard said.

When you move on from a job, you have a few options with your 401(k) retirement-plan savings. You can leave the money where it is, move it to your new employer's 401(k), cash it out — at the risk of taxes and an early withdrawal penalty — or roll it over into an IRA. Experts tend to recommend the latter.

Priya Malani, founder of financial advisory firm Stash Wealth, says rolling the funds over to an IRA can offer more investment options and funds with lower expense ratios than 401(k)s. A rollover may also be a good idea for people to consolidate their accounts in one place, making the money easier to manage, according to Preston Cherry, founder of Concurrent Financial Planning.

Once the money is rolled over, experts remind you to complete the process by making sure you're putting that cash to work.

One example of the potential missed opportunity: Vanguard estimates that for investors under 55, rolling the money into a target-date fund is equivalent to an increase of at least $130,000 at age 65. Target-date funds shift investors' portfolio allocations toward more conservative investments as they age.

"Whatever you do, don't leave it in cash, and unless you are very close to retirement," Malani said. "Don't invest it conservatively or you'll be unnecessarily giving up growth potential and missing out on that valuable concept called compounding."

Read more on Investopedia

The Adamawa State Police Command has arrested a 30-year-old man, identified as Hussaini Salihu, for allegedly d£filing a minor.

The suspect was arrested on Wednesday, July 24, for s+xually a§§aulting the 12-year-old girl (name withheld).

He was said to had lured the victim into his house, had carnal knowledge of her, and then gave her N2,000.

The command’s spokesperson, SP Suleiman Nguroje, in a statement on Thursday evening, July 25, said the suspect ran away when he sensed that he would not be allowed to get away with his act.

“He was later trailed and apprehended by the police following a report from the victim’s mother,” the statement said.

It added that the suspect had voluntarily made a statement confessing to doing what he was accused of, and he will be charged in court.

Continue reading on Instablog

Major U.S. equities indexes were mixed after a report showing U.S. gross domestic product (GDP) grew at a greater-than-expected annualized rate of 2.8% in the second quarter.

Although indications of persistent economic strength temporarily took the spotlight on Thursday, boosting stocks in intraday trading, the concerns about muted tech earnings that sent stocks tumbling in the previous session reemerged in the afternoon.

The S&P 500 ended the day 0.5% lower, while underperformance from the communication services and technology sectors contributed to a decline of 0.9% for the Nasdaq. The Dow also receded from midsession highs but held onto a daily gain of 0.2%.

Shares of Edwards Lifesciences (EW) plummeted 31.3%, marking the heaviest losses among S&P 500 components, after the medical technology provider missed second-quarter revenue estimates. Although EPS came in slightly ahead of forecasts, Edwards cut its full-year sales forecasts for its transcatheter aortic heart-valve replacements (TAVR), one of its key revenue generators. The company also announced plans to acquire JenaValve Technology and Endotronix as it aims to expand its position in the cardiac health market.

Ford Motor (F) shares also came under pressure after a mixed earnings report, sinking 18.4% after the carmaker's quarterly EPS fell short of expectations despite better-than-expected revenue. Revenue for Ford's electric vehicle (EV) division declined 37% from the prior year, and the company recently announced that it would scrap plans to convert a plant in Canada to EV production, focusing instead on ramping up manufacturing of its Super Duty pickups.

Ford was not the only company in the auto industry facing a post-earnings decline on Thursday. Shares of LKQ Corp. (LKQ) dropped 12.4% after the car parts recycler missed second-quarter sales and profit estimates. The company also reduced its outlook for the remainder of the year, citing macroeconomic challenges in Europe and decreasing volumes.

ServiceNow (NOW) shares soared 13.4% to reach a record high and notch the top daily performance of any S&P 500 stock. The provider of cloud-based workflow management software exceeded analysts' estimates with its second-quarter sales and profits, with robust demand for artificial intelligence (AI) products helping to drive a 23% year-over-year increase in subscription revenue.

A strong earnings report also helped lift shares of California-based insurer Molina Healthcare (MOH), which jumped 12.3%. The company beat second-quarter sales and profit forecasts, with 19% year-over-year revenue gains driven by securing new Medicaid contracts and growing existing businesses. Earlier in the week, Molina announced it would acquire ConnectiCare, a health plan serving Marketplace and Medicare members in Connecticut, expanding the company's footprint in government-managed care.

Hospital and health care service provider Universal Health Services (UHS) topped sales and profit estimates with its second-quarter results, and its shares gained 10.2%. Despite underperformance from the company's behavioral health services, growth in acute care helped drive the strong performance and prompted UHS to boost its full-year guidance.

Commercial real estate firm CBRE Group (CBRE) also reported better-than-expected revenue and earnings per share (EPS) for the second quarter, and its shares added 9.3%. CBRE boosted its full-year profit forecast, citing strong demand for leasing and loan servicing services, even as borrowing costs remain elevated. The company also pointed to a stabilization of the office real estate market, with particular signs of improvement in New York City.

A beat-and-raise quarter also helped lift shares of RTX Corp. (RTX), which gained 8.2% and hit an all-time high. The aerospace and defense manufacturer topped quarterly sales and profit estimates and boosted its full-year forecasts, citing demand for its products underpinned by strong commercial air traffic and high levels of military spending.

Read more on Investopedia