Page 7 - DIGICEL

Thursday 2 February 2017 BUSINESS
A24

US factories posted fastest growth last month in 2 years

PAUL WISEMAN at 56.0 in January, up from grew faster in January. Ex- Ian Shepherdson, chief which makes American
AP Economics Writer 54.5 in December and high- port orders grew last month economist at Pantheon products more expensive in
WASHINGTON (AP) — est since November 2014’s but at a slower pace than Macroeconomics, said in overseas markets. They also
American factories grew 57.6. Anything above 50 they did in December. a research note that ISM’s have recovered from big
last month at the fastest signals growth. Manufac- Twelve of 18 manufacturing January numbers are “con- cutbacks in the energy in-
pace in more than two turing has now grown for industries reported growth sistent with a clear and ro- dustry, which reflected low
years. The Institute for Sup- five straight months and for in January, led by plastics bust acceleration in manu- oil prices. The ISM’s findings
ply Management said 10 of the last 11 months. and rubber manufacturers. facturing output.” Facto- aren’t always in line with
Wednesday that its manu- Factories said that new or- The ISM is a trade group of ries have been expanding other measures of manu-
facturing index came in ders, production and hiring purchasing managers. despite a strong U.S. dollar, facturing health.q
Apple surges on iPhone sales; stock indexes wobble

MARLEY JAY cently because of the flood
AP Markets Writer of political news and other
NEW YORK (AP) — Inves- factors, but Warne said re-
tors didn’t react much to sults like Apple’s will help
a strong hiring survey or the market.
the Federal Reserve’s deci- “The fact that we’re seeing
sion to leave interest rates solid earnings and they’re
unchanged Wednesday, coming in better than ex-
and U.S. stocks finished lit- pected ... will help sustain
tle changed Wednesday. stocks over time,” she said.
Apple soared after it said Chipmaker Advanced
iPhone sales improved in its Micro Devices reported
latest quarter. a profit when analysts ex-
Stocks jumped in morning pected a loss, and its sales
trading after payroll pro- were greater than expect-
vider ADP said hiring by pri- ed. Its stock climbed $1.69,
vate employers grew stron- or 16.3 percent, to $12.06.
ger in January. Bond prices The ADP jobs survey was
climbed. But the market’s better than expected, and
gains thinned, partly be- the construction, manu-
cause investors sold shares facturing, health care and
of companies that pay big shipping industries all add-
dividends as bond yields A television screen on the floor of the New York Stock Exchange shows the rate decision of the ed jobs at a solid pace.
rose. Federal Reserve, Wednesday, Feb. 1, 2017. The Federal Reserve has left its key interest rate un- The U.S. government will re-
Stocks briefly turned higher changed at a time of solid economic gains but also heightened uncertainty surrounding the new lease its own monthly jobs
after the Fed’s announce- Trump administration. report Friday.
ment, but that also faded. (AP Photo/Richard Drew) Investors reacted to the hir-
The only constant was the investment strategist for Ed- inched up 0.68 points to and sales were better than ing report by selling bonds,
big gain for Apple, which ward Jones, noted that the 2,279.55. The Nasdaq com- analysts expected. The which are relatively safe
pushed technology com- central bank just increased posite, which has a high company said consumers investments that are in
panies higher. rates in December and concentration of technol- snapped up its new iPhone greater demand when the
The Federal Reserve left the Trump administration’s ogy companies, gained 7 and 7 Plus, and that end- economy seems weaker.
its key interest rate un- spending and fiscal plans 27.86 points, or 0.5 percent, ed the first-ever slump in The yield on the 10-year
changed, just as investors still haven’t been spelled to 5,642.65. The Russell 2000 iPhone sales. Apple stock Treasury note rose to 2.48
expected. The central bank out. “They’ll wait until they index of smaller company rose $7.44, or 6.1 percent, percent from 2.44 percent.
noted that the job market actually know what’s going stocks dipped 0.60 points to to $128.79. Apple was sin- Stocks that pay large divi-
is getting stronger and infla- to happen,” she said of the 1,361.23. Most stocks listed glehandledly responsible dends traded lower as
tion is gradually rising, but Fed. on the New York Stock Ex- for the Dow gain and it bond yields rose. Dominion
said it wants more time to The Dow Jones industrial change fell. helped take technology Resources dropped $4.43,
monitor the economy. average rose 26.85 points, Apple made its biggest stocks higher. or 5.8 percent, to $71.85.
That’s what investors ex- or 0.1 percent, to 19,890.94. one-day jump six months Investors haven’t focused Dominion also released a
pected. Kate Warne, an The Standard & Poor’s 500 after its first-quarter profit on company earnings re- weak quarterly report.q
US overall construction activity slips in December

MARTIN CRUTSINGER decade in November, the jumped 0.5 percent, with single-family homes rose ing dipped to a season-
AP Economics Writer Commerce Department gains in single-family homes 0.5 percent in December, ally adjusted annual rate
WASHINGTON (AP) — U.S. said Wednesday. Spending and apartments. Spending while the smaller and more of $1.181 trillion after hitting
builders trimmed spend- on private projects actually on nonresidential activity volatile apartment sector $1.184 trillion in November,
ing slightly in December as kept rising in December, was flat as spending on ho- jumped 2.8 percent. the highest level since April
a gain in private projects climbing by 0.2 percent. tels, factories and transpor- In the government cate- 2006. The 0.2 percent rise in
was offset by a big drop But government activity tation projects all declined. gory, the 2.4 percent drop private construction in De-
in spending on govern- fell 1.7 percent, reflecting Economists are looking for in spending at the state cember pushed activity to
ment projects. Construc- cutbacks at the state and housing construction to be and local government a seasonally adjusted an-
tion spending fell 0.2 per- local level. The strength a key sector supporting area offset a 6.1 percent nual rate of $897 billion, the
cent after hitting the high- last month came in hous- overall economic growth rise in spending on federal highest level for this sector
est point in more than a ing construction, which in 2017. Construction of projects. Overall spend- since July 2006.q