The daily business briefing: December 16, 2016
Facebook partners with fact-checkers to flag fake news, Verizon demands concessions in Yahoo deal after breach, and more
Facebook partners with fact-checkers to flag fake news
Facebook announced Thursday that it was starting to flag fake news posts by partnering with third-party fact-checkers. As part of its new policies to flag fabricated stories, the world's largest social network said it would work with organizations that have signed the International Fact-Checking Network's code of principles established by the Poynter media institute in Florida. Groups that have signed the code include Snopes, PolitiFact, The Washington Post Fact Checker, The Associated Press, and ABC News. Facebook also said it was adjusting its News Feed algorithm to lower the ranking of fake news, focusing on what one executive called "clear hoaxes."
Verizon demands concessions in Yahoo deal after massive breach
Verizon is demanding to revise the terms of its $4.8 billion deal to buy Yahoo's core internet business following Yahoo's disclosure of a data breach that exposed 1 billion user accounts. Verizon, which already said it was reviewing the deal after Yahoo reported another hack in September, now wants "major concessions," a person familiar with the situation said. The wireless carrier still reportedly wants to go through with the deal. Yahoo shares fell more than 6 percent after the breach was announced.
ObamaCare sign-up deadline extended due to last-minute rush
Federal regulators on Thursday extended the deadline for enrolling for 2017 health insurance coverage under the Affordable Care Act, after a last-minute push ahead of the midnight Thursday deadline overwhelmed call centers and the enrollment website. Americans now have until midnight Dec. 19 to sign up for coverage that will start on Jan. 1. About 700,000 people enrolled through the federal marketplace on Monday and Tuesday. "Nearly a million consumers have left their contact information to hold their place in line," the ObamaCare insurance exchange website's CEO Kevin Counihan said Thursday night. "Our goal is to provide affordable coverage to everyone seeking it before the deadline."
U.S. stocks gain as investors digest Fed move
U.S. stocks rose on Thursday, a day after the Federal Reserve announced its second interest rate hike since the 2008 financial crisis. Bank shares led the gains. The markets have been pushing higher as investors bet that President-elect Donald Trump's spending plans could boost inflation and interest rates, which could benefit banks. The Dow Jones Industrial Average rose 60 points, or 0.3 percent, to 19,852.24. At one point the Dow came within 50 points of touching 20,000 for the first time. The dollar's post-Fed rally leveled out on Friday and European shares approached 11-month highs, as investors adjusted their holdings with faster 2017 interest rate hikes in mind.
DeVry agrees to $100 million settlement over ads that misled students
DeVry Education Group, which runs for-profit colleges, agreed Thursday to pay $100 million to settle accusations that it misled prospective students with deceptive ads. As part of the deal, DeVry will forgive $30.35 million in student loans — all unpaid loans made through the company between Sept. 1, 2008, and Sept. 30, 2016. Some students have complained that the chain of schools exaggerated their chances of landing good jobs after graduation.