The daily business briefing: July 11, 2017
Amazon shares gain as Prime Day begins, right to file class-action suits against banks restored, and more


A free daily digest of the biggest news stories of the day - and the best features from our website
Thank you for signing up to TheWeek. You will receive a verification email shortly.
There was a problem. Please refresh the page and try again.
1. Amazon's stock rises as Prime Day starts
Amazon.com shares gained 1.8 percent on Monday ahead of the start of Prime Day, the biggest marketing push of the year for the world's largest online retailer. The 30-hour Prime Day sale kicked off at 9 p.m. (ET) on Monday, offering deals intended to lure in more subscribers to Amazon's Prime service, which offers free two-day shipping on many items as well as other services such as video and music streaming. "Prime Day is the big overriding story and what's moved the stock up today," said Trip Miller, managing partner at Gullane Capital Partners in Memphis, Tennessee. Amazon also got a boost from its new service to help customers set up "smart" homes, which has weighed on electronics retail rival Best Buy's stock.
2. Federal watchdog revives right to file class-action suits against banks
The Consumer Financial Protection Bureau adopted a rule on Monday restoring the rights of Americans to pursue class-action lawsuits against banks and credit card companies. The move by the nation's consumer watchdog means financial firms can no longer force customers with complaints into arbitration, a potentially significant setback for Wall Street. The new rule promises to be controversial, setting up a potential clash with President Trump and House Republicans, who have sought to reduce the Consumer Financial Protection Bureau's power under a broad push to reduce regulation of the industry.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
3. Abercrombie ends sale talks, sending stock plunging
Retailer Abercrombie & Fitch's stock dropped by more than 21 percent Monday on the news that the teen apparel retailer had ended talks about a possible sale. Abercrombie's plunge dragged down shares of other retailers, such as Gap, American Eagle, and Express. The latter two companies had been rumored to be considering acquiring Abercrombie. "The general state of apparel retail remains challenged and its future uncertain, likely contributing to a limited number of financial sponsors in the process with serious interest," Jefferies analyst Randal Konik wrote in a note about the end of the talks.
4. Snap shares drop below IPO price for first time
Snap Inc. shares dropped below their initial public offering price of $17 per share for the first time on Monday. The stock slipped as low as $16.95 and closed at $16.99 as investors and analysts expressed concern that the company, the parent of popular messaging app Snapchat, might not be able to grow at the pace once expected. "The pace of growth in monetization may not be as fast as we originally modeled," Mark May, an analyst at Citigroup Inc., said last month in a note downgrading the stock. "We expect user growth will remain modest near-term." Many other tech stocks have lost ground in the last month due to questions about their high valuations.
5. Electric vehicle company drops plan for $1 billion Nevada factory
Electric car company Faraday Future said Monday that it was scrapping a plan to build a $1 billion manufacturing plant in southern Nevada, saying it would search for an existing facility to use in California or Nevada instead. Faraday Future stopped work at the site outside Las Vegas in November after spending more than $120 million on the project, but said then that it was merely making a "temporary adjustment" to the project and would still meet its goal of starting production in 2018. Analysts said the move could be a sign of trouble at Faraday, as a push by traditional automakers to make electric vehicles and uncertainty over whether the Trump administration will push to end tax breaks for the industry and its customers have presented problems for electric vehicle startups.
Continue reading for free
We hope you're enjoying The Week's refreshingly open-minded journalism.
Subscribed to The Week? Register your account with the same email as your subscription.
Sign up to our 10 Things You Need to Know Today newsletter
A free daily digest of the biggest news stories of the day - and the best features from our website
Harold Maass is a contributing editor at TheWeek.com. He has been writing for The Week since the 2001 launch of the U.S. print edition. Harold has worked for a variety of news outlets, including The Miami Herald, Fox News, and ABC News. For several years, he wrote a daily round-up of financial news for The Week and Yahoo Finance. He lives in North Carolina with his wife and two sons.
-
5 tips to save on heating bills
The Explainer Follow these expert recommendations for a cozy and cheap winter
By Becca Stanek Published
-
Should you fire your financial adviser? 4 signs it's time to say goodbye.
The Explainer Breakups are never fun, but you have to protect your wallet
By Becca Stanek Published
-
The daily gossip: Man arrested in connection with shooting of Tupac Shakur, an OceanGate movie is in the works, and more
Feature The daily gossip: September 29, 2023
By Brendan Morrow Published
-
The daily business briefing: September 29, 2023
Business Briefing Newsom signs $20 minimum wage for California fast food workers, EEOC accuses Tesla of racial harassment, and more
By Harold Maass Published
-
The daily business briefing: September 28, 2023
Business Briefing China Evergrande suspends trading on Hong Kong stock exchange, oil prices jump to highest level in a year, and more
By Harold Maass Published
-
The daily business briefing: September 27, 2023
Business Briefing The FTC accuses Amazon of running an illegal online monopoly, Biden visits auto workers on picket line, and more
By Harold Maass Published
-
The daily business briefing: September 26, 2023
Business Briefing Ford halts work at $3.5 billion electric-vehicle battery plant, Costco offers members basic health care services, and more
By Harold Maass Published
-
The daily business briefing: September 25, 2023
Business Briefing Hollywood writers reach deal that would end strike, Canadian autoworkers ratify a new contract with Ford, and more
By Harold Maass Published
-
China: a superpower’s slump
The Explainer After 40 years of explosive growth, China’s economy is now in deep distress — with no turnaround in sight
By The Week Staff Published
-
The daily business briefing: September 22, 2023
Business Briefing Rupert Murdoch steps down as Fox, News Corp. chair, Cisco to buy Splunk in $28 billion cash deal, and more
By Harold Maass Published
-
The daily business briefing: September 21, 2023
Business Briefing The Fed leaves rates unchanged, Biden cancels debts for University of Phoenix borrowers, and more
By Harold Maass Published