May 5, 2008

The Latest Business Headlines from WWJ Newsradio 950

Cinco de Mayo Big for Mexicantown | Merchants hurt by Ambassador Bridge Gateway construction see it as a kind of economic salvation, the Detroit Free Press reports. | Story

LaSalle Is Bank of America | LaSalle Bank branches in Michigan and Illinois are swapping green and yellow signs for the blue and red banner of Bank of America. | Story

CAW Approves Ford Pact | The Canadian Auto Workers voted late Sunday to ratify a three-year contract the union says it expects Chrysler and General Motors to match. | Story

Michigan Movie Mania | Incentives have caused a wave of film-making business. Thirteen projects have been approved by the state, Crain's Detroit Business reports. | Story

Gas Prices Keep Rising | The national average price for regular gasoline rose about 15 cents in the last two weeks. | Story

Stocks Make Modest Gains | Jobs data Friday offered evidence the economic slowdown is not as severe as feared, but tech shares faded on a loss from Sun Microsystems. | Story

This Week in 'Your Company'

Data, surveys provide reasons for cautious optimism.

The Federal Reserve faces some tough decisions.

Economy sheds jobs, prices rise.

An interview with Steve Wozniak.

Evidence shows that the world is not ending.

Today's Worldwide Automotive Report podcast.

IT COULD BE WORSE: JOBS DATA, SURVEYS GIVE CAUTIOUSLY OPTIMISTIC SIGNALS ABOUT ECONOMY

The Michigan and national economies are likely to remain sluggish for a while longer. But, reports released last week provided reasons for cautious optimism – or, at the very least, reduced pessimism.

Nationally, employers cut far fewer jobs in April than in recent months and the unemployment rate dropped to 5 percent, according to the U.S. Department of Labor. The loss of about 20,000 jobs was not exactly good news. But it was a better-than-expected showing and a big improvement from the 81,000-job reduction seen in March.

Closer to home, the most recent Metro Detroit Purchasing Managers Composite Index, compiled by Walsh College economist David Allardice, saw improvement in April.

Production, employment, and new orders expanded and finished goods inventories were lowered among survey respondents. All of that caused the composite index to climb to 54.6, 1.5 points above March. Index readings above 50 indicate an expanding manufacturing sector. More...

Fed Faces Tough Decisions in Effort to Stabilize the Economy

Food and energy prices have surged, but housing prices are deflating. The stock market is down, and economic growth has slowed. What is the Federal Reserve to do?

The answer, according to Paulette Miniter of SmartMoney.com, depends in part on whether the run-up in commodity prices is really a reflection of inflation caused by more money being put in the system – it is Fed's job to manage the money supply – or whether the prices reflect higher demand and speculation. More...

Feds: U.S. Economy Sheds Jobs as Costs Rise More Than Expected

Soaring prices for food, gas and other everyday products pushed up U.S. consumer spending to a faster pace than expected in March, according to the Commerce Department. More...

EXPERTS OFFER OPINIONS ABOUT FED’S NEXT MOVE: In a widely expected move, the Federal Reserve last week lowered its fed funds rate by one-quarter percentage point. But it also indicated it may stand pat at its next meeting after seven straight rate reductions since September – cuts aimed at combating the housing slump and the credit market crisis. How do analysts interpret the Fed’s decision? Those in the business of reading the central bank’s signals last week felt the Fed would, indeed, lean toward leaving interest rates stable. More....

INTERVIEW WITH STEVE WOZNIAK: On CBSNews.com, inventor Stephen Key talks to Steve Wozniak, co-founder of Apple Computer. “An inventor is driven by curiosity in a real, practical sense," Wozniak told Key. "They work to form an idea, and then enthuse others about that idea. I knew I wanted to create computers people could use and learn from. I originally turned down the prospect to found Apple. I was content with my future, designing products for Hewlett Packard for the rest of my life. It was fun for me, and I knew I could do it.” For more including a podcast of the interview, click here.

REPORT LOOKS AT ENTREPRENEURSHIP AMONG WOMEN: Women are creating and running businesses around the world and in doing so, they are contributing to economies that represent more than 70 percent of the world's population and 93 percent of global gross domestic product, according to a new report from the Center for Women's Leadership at Babson College in Wellesley, Mass. More...

HENDRIX CALLS FOR KILPATRICK RESIGNATION: Freman Hendrix says the scandal has dragged on for long enough, also says he's considering another run for mayor but doesn't want to be seen as political "vulture." More...

EVIDENCE THAT THE WORLD IS NOT ENDING: "The worst-case scenarios just aren't playing out," writes Paul R. La Monica, CNNMoney.com editor at large. In a column posted Friday, he asserts that, while the economy is still weak, the latest job numbers from the Labor Department along with other indicators, show that the worst may be over for the U.S. economy."Of course, this doesn't mean the economy is out of the woods," La Monica says. "The jobs market isn't likely to strengthen significantly anytime soon and the housing market is certainly still in sad shape. If we are at, or nearing, a bottom, we may stumble across it for awhile." To read the entire column, click here.

WORLDWIDE AUTOMOTIVE REPORT PODCAST: The CAW says yes to new deal with Ford. Obama criticizes the domestic Big Three, calls for spending on alternative fuels. The Challenger is almost here.

MICHIGAN MINORITY PROCUREMENT CONFERENCE: WWJ Newsradio 950 is a sponsor the 27th Annual Michigan Minority Procurement Conference and Trade Fair, to be held May 12-14 at Cobo Center in Detroit. The theme for this year's event is: “The Economic Turning Point Starts with Minority Business." The conference will provide opportunities for networking, training, leadership development and relationship building designed to position minority businesses for growth and sustainability. For more information and to register online, click here.

THE FUTURE OF TRANSPORTATION: Join WWJ Newsradio 950 for a business breakfast titled The Future Of Transportation In Southeast Michigan. The event will take place May 15 at the Anderson Theatre at The Henry Ford in Dearborn. The two-panel conference will discuss Detroit's future in moving freight and moving people. For more information, click here.