WASHINGTON >> The Federal Reserve said Wednesday that near-term risks to the U.S. economy have diminished, reviving the prospect that it will resume raising interest rates as soon as September.
The Fed noted that the U.S. job market has rebounded, with robust hiring in June after a deep slump in May. At the same time, the Fed said in a statement after its latest policy meeting that it plans to closely monitor global economic threats and financial developments to ensure that they don’t slow the economy.
Boeing posts rare loss, may phase out 747
NEW YORK >> Boeing, absorbing billions in write-downs related to two of its newest commercial jets and a military fuel tanker, reported its first quarterly loss in nearly seven years. Yet revenue for the Chicago aerospace giant rose 1 percent to $24.8 billion.
Boeing also signaled that it might soon end production of its 747, which revolutionized air travel by making it more affordable for the masses. But its four engines and massive size are now seen as negatives — it burns too much fuel and airlines struggle to fill flights.
Facebook beats forecasts, users increase
NEW YORK >> Facebook handily surpassed Wall Street’s expectations for the second quarter, earning $2.06 billion, barreling ahead on mobile advertisements, user growth and the next frontier — video.
People are spending more time each day on Facebook and the company’s focus on video is attracting more attention from users. The company has been working to get users to create and watch more videos, from each other, from businesses and from celebrities.
“We see a world where video is first, with video at the heart of all of our apps and services,” Mark Zuckerberg, Facebook’s chief executive, said in a conference call with investors.
Facebook had 1.71 billion monthly users as of June 30, up 15 percent year-over-year.
Quarterly sales fall again for Whole Foods
NEW YORK >> Whole Foods said quarterly sales at established locations fell for the fourth straight quarter, as it fights to distinguish itself from competitors that are also offering organic and natural foods.
The Austin, Texas-based company said Wednesday the figure was down 2.6 percent for the three months ended July 3 as customer visits declined. Co-CEO Walter Robb noted that the most recent decline marked an improvement from the previous quarter, when the figure fell 3 percent.
Coca-Cola cuts full-year sales outlook
ATLANTA >> Coca-Cola cut its sales forecast for the year on Wednesday, but says it’s making changes to address declining soda demand in the U.S. and key international markets.
The world’s biggest beverage company said global volume was flat in the second quarter as a decline in soda sales was offset by stronger sales of noncarbonated drinks. The last time its quarterly soda volume fell was in early 2014.
The maker of Fanta, Sprite and Powerade had warned earlier this year that its soda volume was being pressured by rougher economic conditions in emerging markets, where sodas tend to account for a higher portion of sales.
‘Pokemon Go’ can’t stop Nintendo loss
TOKYO >> Japanese video game maker Nintendo Co. sagged into a loss of 24.53 billion yen ($232 million) for the fiscal first quarter, despite the global success of the “Pokemon Go” augmented reality game.
The Kyoto-based company’s quarterly sales fell 31 percent to 61.97 billion yen ($586 million).
The Pokemon Co., a Nintendo affiliate, will get licensing fees and other compensation for the mobile game distributed by Niantic Inc., but that won’t have much impact on Nintendo income.
