Kamis, 16 Mei 2019

Federal judge orders FDA to begin review of e-cigarettes - CNBC

A customer smokes an E-Cigarette at Digita Ciggz on January 28, 2015 in San Rafael, California.

Justin Sullivan | Getty Images

A federal judge is siding with public health groups suing the Food and Drug Administration to begin reviewing thousands of e-cigarettes on the U.S. market.

The ruling handed down Wednesday in district court states that the agency shirked its legal duty when it postponed reviewing all U.S. vaping products by several years.

The American Academy of Pediatrics, Campaign for Tobacco-Free Kids and other groups filed the federal lawsuit in Maryland last year. The groups say the lack of FDA oversight has led to an explosion in underage vaping by teenagers, threatening to hook a generation of Americans on nicotine.

"It is now the FDA's responsibility to take immediate action to protect our kids and require manufacturers to apply to the FDA if they want to keep their products on the market," the groups said in a statement.

E-cigarettes are nicotine-emitting devices that have grown into a multibillion-dollar industry in the U.S. despite little research on their long-term health effects, including whether they are useful in helping smokers quit cigarettes.

The FDA gained authority to regulate the products in 2016, but it has allowed thousands of products to remain on the market without formal rules or product standards. The agency says that both FDA staff and manufacturers need more time to prepare for regulation.

The public health groups have warned that the lack of oversight could undo decades of anti-tobacco efforts as young people migrate toward newer vaping products.

U.S. Judge Paul Grimm agreed, calling the FDA's delay "so extreme as to amount to an abdication of its statutory responsibilities."

FDA spokesman Michael Felberbaum said in an emailed statement that the agency is reviewing the court decision and "will continue to tackle the troubling epidemic of e-cigarette use among kids." The agency will have the option of appealing the decision.

Gregory Conley of the American Vaping Association said the government "must appeal this ruling" to "protect adult access to less harmful alternatives to cigarettes."

Under President Donald Trump's FDA commissioner, Scott Gottlieb — who departed last month — the FDA said it would not require e-cigarette manufacturers to submit their products for review until 2022. Shortly before stepping down Gottlieb moved the deadline up to 2021.

But Grimm's ruling suggests the FDA must move much faster. He calls for the health groups and the FDA to submit plans for moving forward with product reviews within 30 days.

Wednesday's ruling follows a similar decision last September, when a federal judge said the FDA must move ahead with adding graphic warning labels to cigarette packs. The FDA was required to take that step under a 2009 law, but the process has been bogged down by legal challenges from tobacco companies.

"The courts are clearly pushing FDA — at behest of medical and consumer groups — to step up their regulatory pressure on industry," said Marc Scheineson, a former FDA official who now advises companies with the law firm Alston & Bird.

Scheineson said he expects the FDA to argue that it doesn't have the resources to process the flood of applications that industry would submit if the ruling is enforced.

The FDA and most health experts agree that e-cigarettes are likely less harmful than traditional cigarettes because they don't produce the cancer-causing byproducts of burning tobacco. But there is little research on their long-term health effects, particularly for young people.

Nicotine is what makes both cigarettes and e-cigarettes addictive, and health experts say the chemical is harmful to developing brains.

Separately on Wednesday, North Carolina's attorney general announced the first state lawsuit against e-cigarette giant Juul, which dominates the U.S. vaping market.

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https://www.cnbc.com/2019/05/16/federal-judge-orders-fda-to-begin-review-of-e-cigarettes.html

2019-05-16 03:39:23Z
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Rabu, 15 Mei 2019

Macy's CEO says it's 'hard to find a path' where tariffs on clothes, shoes wouldn't hurt shoppers - CNBC

Macy's CEO Jeff Gennette says an increase in tariffs to 25% on $300 billion in Chinese goods that's still being considered by the White House, which would impact apparel and footwear, would likely trickle down and hit consumers.

"When you do the math, it's hard to find a path through that wouldn't impact customers," he said. "It will affect a lot of apparel and accessories categories," for both Macy's in-house brands and national labels, Gennette added. It would be hard for Macy's to get to a place "where you don't have a customer impact," he reiterated.

He made the comments after Macy's reported first-quarter earnings that topped analysts' expectations. But sales fell from a year ago, as Macy's is still struggling — like many apparel-focused and mall-based retailers — to find ways to draw shoppers into stores, when they could just buy from Amazon.

Gennette went on to explain that the latest tariff hike, to 25% from 10%, on $200 billion worth of Chinese goods put into effect last Friday will hurt its furniture business, albeit not drastically.

"We have strategies to mitigate [the impact on shoppers]," he said. "We think those strategies will limit customer concern."

Macy's on Wednesday reaffirmed its profit outlook for 2019. But another round of tariffs could change that.

"This potential fourth tranche of tariffs was not contemplated when we provided the annual guidance," Gennette told analysts during a conference call.

Macy's shares, which initially surged 7% in premarket trading Wednesday, were last up about 1.5%.

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https://www.cnbc.com/2019/05/15/macys-ceo-says-tariffs-on-clothes-shoes-would-hurt-shoppers.html

2019-05-15 15:20:17Z
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US seeks new tools to counter unrelenting wave of robocalls - KOMO News

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  1. US seeks new tools to counter unrelenting wave of robocalls  KOMO News
  2. Ajit Pai proposes new rule that would allow carriers to block robocalls  The Verge
  3. FCC proposes blocking robocalls by default  Engadget
  4. FCC to consider allowing carriers to block robocalls by default | TheHill  The Hill
  5. FCC ready to let phone companies use tools to block robocalls  Reuters
  6. View full coverage on Google News

https://komonews.com/news/consumer/us-seeks-new-tools-to-counter-unrelenting-wave-of-robocalls

2019-05-15 13:53:00Z
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Stocks pressured as China's economic data slumps - Yahoo Finance

Stocks pressured as China's economic data slumps

Stocks opened lower Wednesday as a recovery rally from the session prior lost steam.

The S&P 500 (^GSPC) fell 0.55%, or 15.7 points, as of 9:37 a.m. ET. The Dow (^DJI) declined 0.67%, or 171.79 points, while the Nasdaq (^IXIC) fell 0.43%, or 33.34 points.

On Tuesday, stocks ended in the green as investors weighed the prospects of further trade talks with China ending in a deal. President Donald Trump said earlier this week that he plans to meet with China’s Xi Jinping at the G20 summit at the end of June, potentially providing an avenue to make strides in reaching a trade agreement.

Through Tuesday’s close, the S&P 500 was down 3.8% since May 3, the last trading session before Trump announced a higher rate of tariffs on billions of dollars worth of Chinese goods, sending financial markets reeling over the past week and a half. China has since vowed to retaliate with tariffs on U.S.-made goods starting at the beginning of June.

Wednesday morning, weaker-than-expected new retail sales and industrial output data from China stoked fears of a slowdown in the world’s second largest economy amid an escalating trade war with the U.S.

Retail sales, a proxy for consumer strength, rose 7.2% year-over-year in China, marking the weakest pace of growth since 2003 and underperforming against estimates for 8.6% growth.

China’s industrial output rose 5.4% year-over-year in April, also missing expectations. The disappointing new data from the country’s key manufacturing sector reversed the apparent rebound seen in March, when industrial output growth hit a four-and-a-half year high of 8.5%.

The tepid retail sales and industrial output results come after the Chinese government earlier this year unleashed a stimulus program to cut taxes and fees for companies in effort to prop up the economy.

Evidence of weak economic growth in China has been viewed by many analysts as a signal that the U.S. may have more leverage in negotiating a trade deal, as the domestic economy has shown continued signs of resilience based on recent GDP and labor market data.

Meanwhile, Trump is anticipated to sign an executive order that would ban U.S. companies from using telecommunication equipment produced by firms deemed to pose a national security risk – a move which would create a block on doing business with Chinese tech giant Huawei, according to a Reuters report.

Such action would likely add to tensions between the U.S. and China, given Huawei’s centricity to China’s goal of scaling the ranks to become a leader in global technology. The U.S. has alleged that Huawei’s equipment could be used by the Chinese state to spy, but the company has repeatedly denied these claims.

Emily McCormick is a reporter for Yahoo Finance. Follow her on Twitter: @emily_mcck

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https://finance.yahoo.com/news/stock-market-news-may-15-2019-115953050.html

2019-05-15 13:37:00Z
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Retail sales declined in April as Americans cut back on spending - CNBC

U.S. retail sales declined last month, as Americans cut back their spending on clothes, appliances, and home and garden supplies.

Sales dropped 0.2% in April, the Commerce Department said Wednesday, after a big 1.7% jump in March. Car sales dropped 1.1% last month and sales at electronics and appliance stores dropped 1.3%.

Economists are having a difficult time gauging the mood of consumers this year. Retail sales have been on a seesaw pattern, rising at a healthy pace in January, then falling in February, followed by the big jump in March and now a drop in April. The data suggests Americans are reluctant to spend freely, despite steady job gains and modest wage increases. Retail sales are closely watched because they make up about one-third of consumer spending, which drives most economic activity.

Overall consumer spending, which includes spending on services such as haircuts and travel, jumped in March by the most in nearly a decade, but that followed small increases in the previous two months. As a result, even though the economy grew a healthy 3.2% at an annual rate in the first quarter, consumer spending grew at a modest pace and was not a primary driver of that growth.

The weakness sales last month was widespread. Sales at clothing stores fell 0.2% and plunged 1.9% at home and garden supply stores. Furniture store sales were unchanged. Even the category that includes online retailers dropped. Excluding the volatile auto and gas categories, retail sales also fell 0.2%.

The sales report dragged major U.S. markets down before the opening bell Wednesday.U.S. retail sales unexpectedly fell in April as motor vehicle purchases slumped, government data showed on Wednesday.

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https://www.cnbc.com/2019/05/15/retail-sales-april-2019.html

2019-05-15 13:21:23Z
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U.S. Retail Sales Unexpectedly Fall Amid Weak Auto Purchases - Bloomberg

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U.S. Retail Sales Unexpectedly Fall Amid Weak Auto Purchases  Bloomberg

U.S. retail sales unexpectedly declined in April for the second time in three months, weighed down by soft sales of autos and building materials and suggesting ...

View full coverage on Google News
https://www.bloomberg.com/news/articles/2019-05-15/u-s-retail-sales-unexpectedly-fall-amid-weak-auto-purchases

2019-05-15 12:39:00Z
CAIiEK_A713b-9I2EQ-FSxY0JeMqGQgEKhAIACoHCAow4uzwCjCF3bsCMIrOrwM

Macy's shares soar as earnings crush estimates, boosted by online sales - CNBC

Macy's reported first-quarter earnings and same-store sales that topped analysts' expectations, as its initiatives to refresh outdated stores and get more people to shop using its mobile app showed signs of paying off.

But its sales still fell from a year ago, as the department store chain continues to face many of the same challenges impacting all retailers today. It's not easy to draw people to the mall to buy clothes, when they could just shop on online at Amazon, or from platforms like Stitch Fix and Rent the Runway.

Its shares initially soared more than 7% in premarket trading on the news. The stock was last up about 4.4%.

Macy's also reaffirmed its previously issued profit outlook for the full year.

Here's what Macy's reported compared with what analysts were expecting, based on Refinitiv data:

* Earnings per share: 44 cents vs. 33 cents expected
* Revenue: $5.504 billion vs. $5.505 billion expected
* Same-store sales: up 0.7% vs. a decline of 0.2% expected, on an owned plus licensed basis

CEO Jeff Gennette said e-commerce revenues grew at a double-digit percentage rate during the quarter, while mobile remained Macy's fastest-growing channel for sales growth.

There was some impact to the business because the Easter holiday fell later in the season this year than last, he added, and colder, wetter weather has blanketed much of the country for the start of spring, encouraging more consumers to stay indoors.

But Macy's is doing especially well with its most loyal shoppers, the CEO said. Transaction growth of 5.7% during the quarter was driven by Macy's most loyal customers "shopping more frequently than ever," Gennette said.

Macy's reported net income for the quarter ended May 4 of $136 million, or 44 cents a share, compared with $139 million, or 45 cents per share, a year ago. That was ahead of analysts' expectations for 33 cents, based on Refinitiv data.

Sales dropped to $5.504 billion from $5.541 billion. That was about in-line with analysts' expectations for revenues of $5.505 billion.

Sales at Macy's stores open for at least 12 months, on an owned plus licensed basis, were up 0.7%, better than an expected 0.2% drop.

For fiscal 2019, Macy's is still calling for net sales to be about flat with the prior year. Same-store sales on an owned plus licensed basis are forecast to be flat to up 1%. And Macy's still expects adjusted earnings per share to fall within a range of $3.05 to $3.25. Analysts had been calling for annual earnings of $3.09 a share.

Macy's has been trying to clean up its apparel offering, as its inventories have been inflated in the past, with items left sitting on shelves unsold and thus pressuring profits. More broadly, it's still trying to find trend-right fashion to compete with the likes of Zara, Lululemon and Madewell.

"We believe the biggest department store sector vulnerability remains women's apparel — and specifically the need to better attract and retain new millennial and Generation Z customers," Cowen & Co.'s retail analysts said in a research note.

Some of Macy's other recent initiatives to draw shoppers in include adding rotating marketplaces for popular brands in more than two dozen stores, using virtual-reality headsets to sell furniture and rolling out a mobile checkout option across the U.S. to cut costs and grow sales. Macy's has also said it plans to start downsizing some of its larger locations, not requiring so much real estate.

Macy's, with a market cap of roughly $6.7 billion, has watched its shares fall nearly 27% so far this year. That's compared with the S&P 500 Retail ETF's (XRT's) gains of about 5%.

Meantime, tariffs are still another looming threat for retailers like Macy's, with the White House just earlier this week releasing a fresh list for about $300 billion in Chinese goods that President Donald Trump has said he's contemplating hitting with tariffs as high as 25%. The list includes everything from clothing and sneakers to sporting goods and other accessories, often found at the mall.

— CNBC's Courtney Reagan contributed to this reporting.

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https://www.cnbc.com/2019/05/15/macys-reports-first-quarter-2019-earnings.html

2019-05-15 12:16:58Z
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