U.S. stock indexes marked their fourth consecutive gain Friday, an upbeat finish for a week that got off to a turbulent start as investors fretted about Britain’s vote to leave the European Union.
It ended the week up 3 percent, its biggest weekly gain since November. The main stock indexes in Europe posted even bigger gains this week, with British stocks recouping all their losses along the way.
At the same time, demand for U.S. Treasurys surged this week, driving bond prices sharply higher. That pulled down the yield on the 10-year Treasury note to 1.44 percent Friday, close to its record low. Investors also bid up the price of gold, another traditional safe haven.
Board members quit after failing to ax CEO
NEW YORK >> Nearly half of the board members of Williams Cos. quit this week after they unsuccessfully tried to force out the energy company’s CEO.
In a letter made public Friday, former board member Eric Mandelblatt says he and five others quit Thursday after the remaining board members were unwilling to push out CEO Alan Armstrong. Mandelblatt said Armstrong is “incapable” of increasing shareholder value and “lacks the necessary judgment and character” needed to lead the company after a failed $33 billion takeover bid from rival Energy Transfer Equity.
U.S. construction spending declined in May
WASHINGTON >> U.S. construction spending fell for a second month in May, with weakness hitting all areas of building.
Construction spending declined 0.8 percent in May following a 2 percent tumble in April, the Commerce Department reported Friday. The April figure had been the biggest monthly setback in five years.
The back-to-back declines in overall construction caught analysts by surprise. They had been expecting a rebound following the big drop in April. Economists, however, still expect construction to contribute meaningful growth to the overall economy this year.
Spending on housing was flat as a 1.8 percent advance in apartment construction was offset by a 1.3 percent fall in single-family activity. Nonresidential construction was down 0.7 percent, with a contraction in the category that includes shopping centers.
Manufacturing in U.S. picked up in June
WASHINGTON >> American manufacturing expanded for the fourth straight month in June, hitting the strongest reading in 16 months as the outlook for new orders and production improved.
The Institute for Supply Management said Friday its manufacturing index rose to 53.2 last month from 51.3 in May. Anything above 50 signals growth.
The report suggests U.S. factories are showing some signs of stability after being pummeled at the beginning of last year by a rising dollar, shuttered oil production and weak global economic growth.
The ISM index stayed below 50 from October through February before shaking off these setbacks beginning in March. Orders began to rebound as factories adapted to the financial head winds and as the dollar’s appreciation became tempered and oil prices stopped plunging.
Viacom mogul not impaired, lawyer says
Sumner Redstone isn’t mentally impaired, just old, his lawyer told a judge in Massachusetts in arguing against a request by Viacom Inc. Chief Executive Officer Philippe Dauman to have the billionaire medically evaluated.
“The idea that he could suffer from mortal disease at any time — you could say that about any elderly person,” Redstone’s lawyer, Robert Klieger, said during a hearing Tuesday. “Neither his physical or mental condition are deteriorating.”
On the Move
District 49 Toastmasters in Hawaii has appointed Caron Lau as its new district director for the term that started Friday and runs through June 30. She will be responsible for administering and overseeing day-to-day operations, finance and human resources of District 49, made up of roughly 1,500 members. Lau also is a district director who inspires and motivates team members to achieve goals, keeping in mind their development needs, as well as holds the vision for the district, much like the CEO of a company. She originally joined Toastmasters in 2004 and has been a member of four chapters, including Liliuokalani Toastmasters, Queens Medical Center Toastmasters, Aloha Toastmasters and Na Hoku Kai Toastmasters.
Castle Resorts & Hotels has named Felipe Domingo the new general manager of Waikiki Grand. He has more than 10 years’ experience in the hospitality industry, including recently serving as hotel manager of Days Inn Las Vegas.
