Boeing Deal, Google Faces Ad-Tech Trial, Yellen Optimistic Despite Weak Jobs Data

Boeing's Strategic Move

Boeing has reached a tentative labor agreement with the union representing about 33,000 workers, avoiding a potential strike. The deal offers a 25 percent pay increase over four years, along with better health-care and retirement benefits. The union confirmed that Boeing committed to building its next plane in the Pacific Northwest.

Google Under Antitrust Scrutiny

Google will face its second antitrust trial with the Department of Justice on Monday, centered on its dominance in the ad-tech sector. The DOJ claims Google's advertising technology gives the company an unfair advantage, fostering a monopoly and driving up ad costs for customers. Ad-tech services constitute 77 percent of Google's total revenue. In 2023, the company earned $307 billion, with $237 billion from advertising operations.

Yellen's Optimistic Outlook

Treasury Secretary Janet Yellen reassured the public about the strength of the US economy, despite recent weak job reports that have raised investor concerns. “We’re seeing less frenzy in terms of hiring and job openings, but we’re not seeing meaningful layoffs,” Yellen stated, emphasizing hope for a solid economy.

July Jobs Data: A Slowdown

The US job market slowed more than anticipated in July, with only 114,000 positions added and the unemployment rate rising to 4.3 percent. This shift is prompting speculation about potential interest rate cuts by the Federal Reserve.

Volkswagen's Market Challenges

Volkswagen CEO Oliver Blume noted the necessity for severe cuts in Germany due to a contracting European market. “The market is contracting, and more players are entering,” he remarked, indicating challenges ahead for European car sales in the face of aggressive Asian competition.