Business Highlights: Consumer prices, new iPhone lineup
US consumer prices rise 0.3% in August, lowest in 7 months
WASHINGTON (AP) — U.S. consumer prices rose a lower-than-expected 0.3% last month, the smallest monthly increase in seven months and a hopeful sign that inflation pressures may be cooling. The Labor Department reported Tuesday that the August gain was down from a 0.5% increase in July and a 0.9% surge in June. It was the smallest increase since a similar 0.3% rise in January. The August slowdown in prices was seen as offering hope that Americans were finally starting to see some relief from a price surge earlier in the year.
Apple’s next iPhone mirrors last year’s, adds more storage
SAN RAMON, Calif. (AP) — Apple unveiled its next iPhone line-up, including a model that offer twice the maximum and other modest upgrades to last year’s editions that proved to be a big hit among consumers devouring the latest technology during the pandemic. The pre-recorded video event streamed Tuesday gave Apple a chance to present a polished story following a turbulent few weeks that included a backlash to its plans to scan iPhones and a mixed ruling in a trial targeting its iPhone app store. Like last year’s model, the new iPhone 13 will come in four different designs, with prices starting in a range from $700 to $1,100.
US stocks can’t hold on to an early gain and resume falling
NEW YORK (AP) — Stocks went back to falling on Wall Street Tuesday after a blip higher the day before, giving the S&P 500 its sixth loss in the last seven trading days. The benchmark index lost 0.6%. The market had started higher after the latest data on inflation came in better than economists had expected, but those gains faded quickly. Bond yields fell following the report, which showed that consumer prices rose just 0.3% last month, the smallest increase in seven months and a hopeful sign that inflation pressures may be cooling. The yield on the 10-year Treasury note fell to 1.29%.
Democrats try delicate tax maneuver for $3.5 trillion bill
WASHINGTON (AP) — To pay for the massive social blueprint that President Joe Biden envisions, House Democrats have begun serious work on a twist worthy of the most agile circus acrobats. They’re looking to squeeze revenue from the 2% of Americans who earn more than $400,000 a year while leaving untouched everyone else — who Biden has pledged won’t see any tax increases. For middle- and low-income people, tax help, not increases, was on offer as lawmakers dug into debate and drafting Tuesday on tax proposals to both fund and buttress Biden’s ambitious $3.5 trillion rebuilding plan. It includes spending on child care, health care, education and tackling climate change.
Pandemic hasn’t dimmed Boeing’s rosy prediction for planes
CHICAGO (AP) — Despite the pandemic’s damage to air travel, Boeing says it’s optimistic about long-term demand for airplanes. Boeing said Tuesday that it expects the aerospace market to be worth $9 trillion over the next decade. That includes planes for airlines and military uses and other aerospace products and services. That outlook is even rosier than the one that Boeing gave in 2019, when it predicted industrywide sales of $8.7 billion over the next decade. In the U.S. and around the world, air travel within countries is picking up faster than cross-border travel, as the U.S. and many other countries maintain high barriers to international travel.
Billionaire Cohen to invest in new crypto trading firm Radkl
NEW YORK (AP) — A cryptocurrency company launched by partners of a major Wall Street trading firm has snagged the support of billionaire investor Steven A. Cohen. The hedge-fund manager and owner of the New York Mets has agreed in principle to invest in Radkl, a crypto trading firm, though the deal is not final. The company is being launched by partners of GTS, a firm that trades as much as a billion shares of U.S. stocks on a given day. Radkl, which is pronounced like “radical,” plans to trade across cryptocurrency coins and exchanges. It’s the latest foray by big names from the traditional financial world into crypto.
Amazon brings palm-swiping tech to Red Rocks concert venue
NEW YORK (AP) — Your palm could soon be your ticket into a concert. Amazon says it is bringing its palm-recognition technology to the Red Rocks Amphitheatre in Denver and it will be available at other venues in the coming months. It’s the first time the technology, called Amazon One, will be used outside some of Amazon’s stores, where shoppers can pay for groceries and snacks by swiping their palms. Starting Tuesday, concertgoers at Red Rocks can sign up to connect their palm to a ticketing account by hovering their hand over a device. An Amazon account is not needed to use the technology, called Amazon One.
SKorea to fine Google $177M for forcing software on devices
SEOUL, South Korea (AP) — South Korea’s competition watchdog says it plans to fine Google at least 207.4 billion won ($177 million) for allegedly blocking smartphone makers like Samsung from using other operating systems. Google said it plans to challenge the ruling. The announcement came as South Korea began enforcing a revised telecommunications law that prohibits app market operators like Google and Apple from requiring smartphone users to pay with their in-app purchasing systems. South Korea has always closely scrutinized how foreign technology companies behave in its market. Much of the focus in recent years has been on Google and Apple, with officials vowing to prevent them from abusing their dominant market positions in mobile internet.
The S&P 500 lost 25.68 points, or 0.6%, to 4,443.05. The Dow Jones Industrial Average fell 292.06 points, or 0.8%, to 34,577.57. The Nasdaq dropped 67.82 points, or 0.4%, to 15,037.76. The Russell 2000 index of smaller companies slipped 30.80 points, or 1.4%, to 2,209.98.