Federal Reserve officials are in broad agreement that they will likely announce an end to their monthly bond buying program in October, bringing to a close the third round of massive bond purchases that the central bank has relied on to boost economic growth following the Great Recession. ¶ Minutes of the Fed’s June 17-18 meeting showed officials were in basic agreement that if the economy keeps improving, the final reduction in bond purchases would total a cut of $15 billion and would be announced at its Oct. 28-29 meeting. ¶ With that final reduction, the Fed’s balance sheet will be close to $4.5 trillion, more than four times the amount of the balance sheet when the financial crisis struck in the fall of 2008. The Fed has bought Treasury bonds and mortgage-backed securities as a way to lower long-term interest rates to give the economy a boost.
Adidas, the German sportswear brand sponsoring both teams in Sunday’s World Cup final, has declared victory over U.S. rival Nike in its ongoing battle to remain the biggest global soccer brand. The two dominate a soccer equipment industry worth more than $5 billion a year, sharing more than 80 percent of the market for many products. While Adidas has supplied the match ball for the World Cup since 1970, Nike outfitted more teams at the competition in Brazil for the first time: 10 of 32 teams, including the host, compared with nine for Adidas.
● Bank of America, Citigroup and Wells Fargo won dismissal of lawsuits brought by the city of Miami claiming they flooded minority neighborhoods with predatory mortgages before the housing bubble burst. The city lacks standing to bring claims under the Fair Housing Act and filed the cases too late, the judge ruled.
Homeowners have received about $3.1 billion in cash under a federal settlement with 13 big banks over alleged misconduct in processing mortgages that may have resulted in wrongful foreclosures, the Federal Reserve said.
Comcast’s purchase of Time Warner Cable “presents serious competitive concerns” and should be denied, Dish Network told U.S. regulators. The FCC is considering Comcast’s $45.2 billion proposal, made in February, to acquire Time Warner Cable. The deal would combine the two largest U.S. cable companies and add about 30 million subscribers for Comcast. Dish has also said a plan by AT&T to buy DirecTV for $48.5 billion also “presents competitive concerns.”
Amazon.com, embroiled in a fight with book publisher Hachette over e-book prices, has offered to restore the authors’ books to its Web site and give writers all of the revenue from digital sales of their books. “If Hachette agrees, for as long as this dispute lasts, Hachette authors would get 100 percent of the sales price of every Hachette e-book we sell,” Amazon said. “Both Amazon and Hachette would forego all revenue and profit from the sale of every e-book until an agreement is reached.” Authors Guild president Roxana Robinson called the offer a tactic to bully the publisher into conceding to unfavorable terms. The guild represents about 9,000 writers. (Amazon’s chief executive Jeffrey P. Bezos owns The Washington Post.)
American Apparel reached a deal with investment firm Standard General for up to $25 million to bolster the clothing chain’s finances. It will also mean a shake-up on the board. The agreement will help pay off a $10 million loan from investment firm Lion Capital, which made a formal demand for payment.
Corinthian Colleges, the for-profit owner of career schools that will sell or shut them in the biggest collapse in U.S. higher education, may be ordered to warn students of its financial woes, as it continues to enroll students without disclosing that it plans to sell or close schools.
Barnes & Noble pledged to make its stores friendly to nursing mothers as part of a settlement with New York state after a woman who was breast-feeding was asked to cover herself or leave a store.
Remington Arms, a leading gun manufacturer, reached a settlement in a nationwide lawsuit claiming that a popular hunting rifle has a defective trigger mechanism that can cause injury and death.
Uber Technologies, the car service, has agreed to limit prices during emergencies, natural disasters or other unusual market disruptions consistent with New York’s law against price gouging. Also, it is temporarily cutting fares by 20 percent in New York for its UberX service, making it cheaper than a city taxi, the company said.
America Movil, the telecom company owned by magnate Carlos Slim, said it will sell some assets to reduce its market share in Mexico in the face of the country’s new telecom policy, which is designed to break up monopolies.
Boeing is deciding what to do with six newly manufactured commercial airplane bodies that fell off a train in a derailment in western Montana, including three that slid down a steep riverbank.
United Airlines is outsourcing more than 600 jobs at 12 airports to cut costs while adding jobs at other airports.
British Prime Minister David Cameron unveiled legislation to compel phone companies and Internet providers to store their customers’ records.
Amazon.com was sued by U.S. regulators over mobile purchases made by children without parental permission.
LG introduced a wearable device to help parents keep tabs on their children.
Archer Daniels Midland is acquiring Wild Flavors for about $3 billion. Wild Flavors is the maker of Capri Sun juice drink and natural food ingredients.
Alcoa reported a second-quarter profit of $138 million, reversing a year-ago loss, and the results beat analysts’ expectations. The company reported strong results in its engineered-products business, which makes parts for industrial customers, while looking to cut costs in its aluminum-smelting segment.
Federal Reserve Vice Chairman Stanley Fischer suggested that banking regulators should seriously consider broadening their goals to include financial stability as policymakers around the world debate strategies for preventing another global crisis. Fischer argued that an explicit stability mandate could give regulators more firepower to combat risks as they emerge.
U.S. consumer borrowing surged again in May as Americans took out more loans to purchase cars. The $19.6 billion increase in credit followed a revised $26.1 billion gain in April. Non-revolving lending, which includes auto and school loans, advanced by the most in a year.
San Antonio Mayor Julian Castro was confirmed as secretary of the Department of Housing and Urban Development in a 71-to-26 Senate vote.
Hiring into federal jobs in fiscal 2013 slowed to the lowest level in nine years and dropped more than 14.5 percent compared with the previous year, data showed.
Eileen Ford, who founded a modeling agency and helped launch the careers of Jane Fonda, Lauren Hutton, Christie Brinkley and other supermodels, died at age 92.
Sixty percent of people newly insured under the Affordable Care Act have already visited a health-care provider or filled a prescription, a survey found.
— From news services and staff reports
Many households have ditched their landlines for cellphones, the Centers for Disease Control and Prevention said, in its snapshot of the nation’s health. Adults in wireless-only households are less likely to have received their flu shots and are more likely to have faced financial barriers to health care. They’re also more likely to smoke and drink heavily.