Business
U.S. Stocks End Higher
NEW YORK – U.S. stocks edged higher Friday, but blue chips closed with a loss for the week amid lingering concerns over economic growth.
The Dow Jones Industrial Average ended up 5.71 points, or less than 0.1%, to 16851.84, leaving it down 0.6% for the week.
The S&P 500 index gained 3.75 points, or 0.2%, to 1960.97, and the Nasdaq Composite Index rose 18.88 points, or 0.4%, to 4397.93.
Stocks have stalled near record highs, as mixed readings on economic output have some investors betting that corporate profits will continue to show lackluster growth, traders say. This week brought disappointing readings on first-quarter economic growth and May consumer spending. Since stock benchmarks are trading at or above long-term average valuations, many investors are waiting for the next round of corporate earnings reports to determine their next move.“Even attractively priced names are trading at less of a discount than I would like to see,” said Ann Miletti, who manages nearly $2 billion for the Wells Fargo Opportunity Fund. “But if you see growth accelerate, there’s a lot of potential out there.”
But rather than selling, many investors are sitting tight with their holdings of U.S. shares, arguing low yields on bonds make stocks’ dividends and potential gains look attractive by comparison. The S&P 500 is down just 0.1% from last Friday, when it closed at a record high of 1962.87, and is up 1.9% in June.
“I wouldn’t be surprised if there was a bump in this great ascent in the relative near term. But we would use that as a buying opportunity,” said Diane Jaffee, who oversees $7.5 billion as senior portfolio manager at TCW Group Inc.’s relative value team.
Ms. Jaffee has been buying shares in sectors like pharmacy-benefits management and financials. Even as the market’s rise has forced her to sell holdings that have become richly valued, “we’ve been finding good places to put some of that money,” she said.On the economic front Friday, the Thomson Reuters and University of Michigan’s consumer-sentiment index for June showed a better-than-expected final reading of 82.5 in June, up from a preliminary reading of 81.2.
The yield on the 10-year Treasury note edged up to 2.531%, after settling at a four-week low of 2.525% late Wednesday.
Gold futures ticked up 0.2% to $1,319 an ounce, after snapping a six-session win streak on Thursday. Crude-oil futures eased 0.1% to $105.74 a barrel. The dollar fell against the yen and the euro.
European markets were little changed, as investors digested mixed economic data out of France and the U.K. The Stoxx Europe 600 gained less than 0.1%.
Asian markets were mostly lower. Japan’s Nikkei slumped 1.4% as a stronger yen weakened exporter shares, while China’s Shanghai Composite eased 0.1%.In corporate news, Nike rose 1.1% after the sporting-gear giant posted better-than-expected quarterly earnings and revenue. Higher average selling prices lifted Nike’s margins.
DuPont slumped 3.3% after the chemical company lowered its earnings outlook for the year, citing a weaker-than-expected performance in its agriculture business during the second quarter.
Manitowoc ran up 11% after activist investor Relational Investors disclosed late Thursday an 8.5% stake in the company and called for Manitowoc to spin off its food-service-equipment business.
The U.S.-listed shares of U.K.-based banking giant Barclays PLC rose 2%, after slumping 7.4% on Thursday. Investors and brokers have cut ties with a stock-trading venue run by Barclays, which is battling allegations of fraud and misleading its customers.
Arts-and-crafts retailer Michaels Cos. edged up 0.1% in its trading debut. The Irving, Tex.-based company, mostly owned by private-equity firms Bain Capital LLC and Blackstone Group LP, priced its initial public offering at the low end of expectations late Thursday, raising $472 million.
– WALLSTREET JOURNAL
Business
Tesla Aims for 2028 Commercial Production of Flying Car
Tesla has set a 2028 commercial production date for its new Roadster sports car that can briefly rise into the air using rocket technology.
According to CNN, the date was revealed when the manufacturers demonstrated its functionality on Thursday at a SpaceX testing facility in Texas, United States, where the two-seater vehicle performed a series of manoeuvres, including driving upside down before making a short airborne movement.
The prototype was operated without a driver during the test, with Musk saying the decision was taken “to make sure we don’t kill anyone.”
“Success is not guaranteed. I mean that. It’ll probably work, but if it doesn’t work, we’re at a safe distance,” he said.
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CNN reported that the vehicle uses 10 nozzles and high-pressure air tanks to generate thrust, with Musk claiming it could accelerate from zero to 60 miles per hour in less than a second.
The Tesla boss attributed the development to cooperation between the electric vehicle manufacturer and SpaceX, the rocket company he also leads.
He described the project as “the results of what happens when you have a collaboration with the world’s best car company and the world’s best rocket company.”
Musk also sought to assure spectators that the demonstration was genuine, saying, “We need an audience to prove that it’s not AI or SI. So you guys can tell people you saw it with your eyes, because what you see with your eyes, you will not believe.”
Despite the display, questions remain about whether the vehicle can achieve sustained flight and how practical it would be for everyday transportation.
Roger Conner, curator for vertical flight at the Smithsonian’s National Air and Space Museum, told CNN that combining the requirements of road vehicles and aircraft presented significant engineering challenges.
“Aircraft are extremely sensitive to weight, whereas with ground vehicles you want them to have bumpers and crumple zones and all that,” he said.
“Inevitably, something that is a hybrid between the two is going to be a poor performing aircraft and a poor performing vehicle, and also quite expensive,” he added.
Conner questioned whether the demonstration amounted to flying in the conventional sense.
“We’re not talking about sustained flight. We are literally talking about hopping,” he said.
However, Jim Dukhovny, chief executive of flying car startup Alef, said the technology was achievable, while pointing to the difficulties involved in making such vehicles transition safely from vertical take-off to forward flight.
“It absolutely is 100% feasible,” he told CNN.
“That being said, the hardest part on all eVTOLs, and for us, it’s a transition from (rising) vertical to (moving) forward. It needs to be extremely careful, making sure you do not lose lift, and making sure it’s very stable,” he added.
CNN also reported that Alef’s prototype weighs about 254 pounds, uses eight propellers and is designed to carry one person.
Musk said Tesla intended to begin production of the new Roadster in 2028.
CNN reported that the latest display adds to Musk’s ambitions to push Tesla’s vehicle technology beyond conventional electric cars, although the prototype’s ability to operate as a practical flying vehicle has yet to be established.
Business
Marketers Eye Portion of FG’s Petrol Discount
The Petroleum Products Retail Outlets Owners Association of Nigeria (PETROAN) has urged the Federal Government to add its member-stations to the petrol discount programme.
It cautioned that the current arrangement could limit the reach and deny vast consumers in underserved communities the benefits of the 30-day discount window.
The PETROAN also urged the FG to allocate at least 30 percent of the discounted petrol volume to outlets operated by its members.
READ ALSO: Tanzania Nears Completion of $42bn Equinor, Shell-Led LNG Project
The calls followed last week’s announcement by the Minister of Finance and Coordinating Minister of the Economy, Taiwo Oyedele, of a petrol discount at Nigerian National Petroleum Company Limited (NNPC Ltd) retail outlets, with priority given to public transport operators nationwide.
According to the National Publicity Secretary, Independent Petroleum Marketers Association of Nigeria (IPMAN), Chinedu Ukadike, the exclusion of independent marketers could undermine the programme’s effectiveness, particularly in communities where NNPC retail outlets have limited presence.
He argued that independent marketers, with their extensive nationwide distribution networks, were better positioned to extend the benefits of the intervention to consumers in remote and underserved areas.
“Independent oil marketers have over 90 percent coverage and presence in the nooks and crannies of this country. You are giving NNPC that is situated only in the town. So how do the poor masses, whom you intend to ensure that this petroleum product will alleviate their sufferings, how would they now get it?” Ukadike asked.
He said the association was not opposed to the government’s policy but insisted that independent marketers should be included to ensure wider access to the discounted product.
“But it’s government policies; we are not against government policies, but let it be all-inclusive; let independent marketers be part of it,” he said.
Ukadike also urged the government to extend the discount period to 60 days, citing logistical challenges that could delay the movement of petrol from coastal depots to other parts of the country.
“And the 30 days should be extended to 60 days. Because of the circulation of petroleum products, most times it takes two weeks for a truck to leave Apapa and get to Gombe, Maiduguri, because of the bad road and all the rest of them and loading process,” he added.
Similarly, PETROAN National President, Billy Gillis-Harry, urged the Federal Government to allocate 30 per cent of the discounted petrol volume to the association’s retail outlets to facilitate broader national distribution.
Business
Tanzania Nears Completion of $42bn Equinor, Shell-Led LNG Project
In the bid to transform Tanzania into the East African regional energy hub, the country is on the verge of concluding an agreement with a consortium of energy companies, including a $42 billion LNG project.
It was gathered that the project is designed to tap the 47.13 tcf of gas discovered in Tanzania’s deep offshore fields, part of the country’s estimated 57.54 tcf in total discovered reserves, the sixth-largest in Africa, behind Nigeria, Algeria, Senegal, Mozambique and Egypt.
READ ALSO: Shell Identifies Keys to Nigeria’s Energy Future
Equinor and Shell would be the lead operators, alongside involvement from ExxonMobil Pavilion Energy and Medco Energi, while state oil major, the Tanzania Petroleum Development Corporation (TPDC), would also hold an equity stake in the project.
“It’s almost there,” Khamis Mussa Omar, Tanzania’s finance minister, told Reuters.





