Factory data point to lingering struggles
Orders for U.S. durable goods were little changed in August and shipments of capital equipment declined for a fourth straight month, indicating lingering weakness in manufacturing.
The latest reading for goods meant to last at least three years followed a 3.6 percent advance the previous month, which was less than initially reported, Commerce Department data showed Wednesday.
Sales of nondefense capital goods excluding aircraft unexpectedly dropped 0.4 percent last month. Such goods are used in calculating gross domestic product.
The series of declines in shipments of those goods indicates that equipment investment may weigh on economic growth for a fourth straight quarter. While household demand is providing some relief for manufacturing, factory customers are still contending with high inventories relative to sales, and overseas markets remain tepid.
-- Bloomberg News
BlackBerry to farm out phone production
TORONTO -- BlackBerry plans to stop making its signature smartphones internally, signaling a strategic shift for a company that built its reputation on innovative smartphone technology.
All development for BlackBerry-branded phones will be left to its partners, which will license BlackBerry's technology and brand while the Canadian company concentrates on growing its software business.
"We believe that this is the best way to drive profitability in the device business," BlackBerry Chairman and Chief Executive Officer John Chen said in a statement Wednesday.
He said the move will reduce BlackBerry's expenses by eliminating the need to carry inventory and by reducing staff and equipment requirements.
BlackBerry was considered a game-changer in 1999 when its RIM 950 allowed on-the-go business people to access email wirelessly. But with the introduction of the iPhone in 2007, Apple showed that phones can handle much more than email and phone calls. BlackBerry was late in overhauling its operating system to compete.
-- The Associated Press
Ford CEO: Trump's job-loss claims false
Ford Motor Co.'s top executive said he's disappointed by Republican presidential candidate Donald Trump's accusations that the automaker is moving jobs to Mexico and reiterated that the transfer of small-car production will result in "zero" job loss in the U.S.
"Our commitment to American jobs is stronger than it ever has been," Chief Executive Officer Mark Fields said in an interview at the Bloomberg Markets Most Influential Summit. "The facts are, zero jobs are going to be impacted here in the U.S."
Ford is moving production of its slow-selling Focus compact car and C-Max hybrid to Mexico, where labor costs are lower, to generate a better return for shareholders, Fields said in a follow-up interview with Bloomberg Television. It is replacing those models in the factory in Michigan with two new products, Fields said. People familiar with Ford's plans have said the new models will be the Ranger compact pickup and a revived Bronco sport utility vehicle.
"We're in the presidential election season, and there's lots of things said on the campaign trail," Fields said. "It's really disappointing when politics gets in the way of facts."
-- Bloomberg News
Japan's leader pitches bullet train tech
TOKYO -- Japanese Prime Minister Shinzo Abe used a meeting with his Singaporean counterpart on Wednesday to promote the Japanese Shinkansen line's bullet train technology for use in a planned high-speed railway linking Singapore and Malaysia.
Abe held talks with Lee Hsien Loong at the state guesthouse -- a venue for top-level hospitality -- instead of the prime minister's office. Japan is bidding for a planned railway linking Singapore and the Malaysian capital of Kuala Lumpur.
Abe told Lee that he has high expectations that Singapore will pick the Japanese Shinkansen "as a symbol of cooperation between the two countries."
Lee spoke highly of the Shinkansen's safety record.
"The Shinkansen's long record of safety, reliability and excellence would stand it in good stead in the bid," he said. Singapore wants to choose the best train system through an objective and transparent selection process, he said.
-- The Associated Press
Apple to set up hub at London landmark
LONDON -- Apple said it will be setting up its London headquarters in the boiler room of the Battersea Power Station, a London landmark that has long defined the skyline on the south bank of the River Thames.
The building with four towering chimneys has been part of a multibillion dollar restoration effort for the area. Apple and its 1,400 employees will become the largest office tenant on the development site that will include homes, businesses and leisure facilities.
The station has been closed for decades, and Apple's decision is seen as helpful to the development projects in an area where demand has been slowing because of a luxury property glut.
Apple's European headquarters are to remain in Ireland.
-- The Associated Press
Oil firm asked to justify N.D. land buy
BISMARCK, N.D. -- North Dakota Attorney General Wayne Stenehjem is asking the developer of the four-state Dakota Access oil pipeline to explain its purchase of a ranch where a protest turned violent earlier this month.
Texas-based Energy Transfer Partners purchased the 7,000-acre ranch last week for an undisclosed price.
Stenehjem is giving the company 30 days to say how it will use the land where, tribal officials said, construction crews destroyed burial and cultural sites.
North Dakota law generally bars corporations from owning agricultural land unless the property is controlled by a farm family. The company must prove to the state how its purchase complies with the Depression-era anti-corporate farming law.
-- The Associated Press
Business on 09/29/2016