The Federal Reserve's core personal consumption expenditures price index, a critical inflation metric, rose mildly in July by 0.2% from June, supporting the Fed's inclination to reduce interest rates in September. With core PCE advancing at its slowest annual pace this year, and real consumer spending increasing by 0.4%, the data strengthens the case for easing monetary policy. Upcoming decisions will likely hinge on further labor market insights, with a pivotal jobs report expected before the next Fed meeting.
US consumer sentiment ticked upward for the first time in five months, rising to 67.9 from 66.4 in July, driven by slower inflation and anticipation of Federal Reserve interest rate cuts. Consumers expect lower price increases in the coming year, but concerns remain due to high borrowing costs, reduced hiring and a higher cost of living. Despite the sentiment boost, buying plans for durable goods declined and views on current personal finances remain low.
General Motors and Samsung SDI put the final touches on an agreement to build a $3.5 billion battery cell plant in Indiana. The joint venture plans to start manufacturing battery cells for GM electric vehicles in 2027, with an initial annual production capacity of 27 gigawatt hours.
Global automotive supplier Hyundai Mobis is turning to sustainable materials sourced from recycling and biobased materials and using them in applications such as a protective cover for the lower arm of a vehicle's underbody. Based in South Korea, Hyundai Mobis also is deploying AI to consider new materials, which the supplier says could lead to "groundbreaking changes" in the development of materials.
An experimental thermochemical reactor powered only by electricity has converted carbon dioxide to carbon monoxide, hitting nearly 90% efficiency, which could be significant in efforts to reduce carbon dioxide from fossil-fuel-powered industrial processes. The paper in Joule describes the design's three key achievements: uniform 3D heating by completely filling the reactor volume, high heat-transfer rates through the large surface of the conductive ceramic metamaterial, and high efficiency due to both the high induction frequency and the low electrical conductivity.
Recent surveys from regional Federal Reserve banks highlight potential risks to the US job market, with declining employment in manufacturing and mixed signals in the service sector. Five of the recently released regional manufacturing reports showed payrolls at factories shrank in August, while employment gauges for service providers are settling.
Initial jobless claims declined to 231,000 last week, down 2,000 from the prior period, according to the Labor Department. The final tally was 1,000 below the 232,000 predicted by economists in a Reuters poll.
Continued jobless claims rose by 13,000 to 1.868 million, nearing late 2021 levels, signaling longer periods of unemployment.
Unilever is increasingly implementing a logistics practice known as "direct dispatch," where the company distributes items straight from the factory to customers, creating a more efficient and sustainable process. "It reduces travel time and distance, lowering our carbon footprint, while at the same time ensuring excellent service to our customers," said Michael O'Connor, home care global supply chain strategy and long-term planning manager. "It's a win-win for us and our retailers."
Joby and Archer Aviation are advancing air taxi services for short trips in the US and internationally. Meanwhile, companies like General Electric Aerospace and Electra are developing a series of hybrid aircraft for increased efficiency.
The General Electric Aerospace site in Rutland, Vt., is celebrating 50 years of its apprenticeship program with the graduation of nine participants from its Advanced Machinist Toolmaker Apprentice Program. Graduates completed thousands of hours of on-the-job training and classroom instruction at Vermont State University, fully funded by General Electric Aerospace.