The daily business briefing: July 9, 2019
A judge blocks Trump rule requiring drug prices in TV ads, 23 governors back California challenge of Trump mileage freeze, and more
- 1. Judge blocks Trump administration rule requiring drug prices in TV ads
- 2. 23 governors back California challenge of Trump car mileage rollback
- 3. U.K. to fine British Airways for data breach
- 4. Dwindling expectations on Fed rate cuts weigh down stocks
- 5. Deutsche Bank shares drop on turnaround plan skepticism
1. Judge blocks Trump administration rule requiring drug prices in TV ads
A federal judge on Monday blocked the Trump administration from requiring pharmaceutical companies to disclose drug prices in television ads. Drug makers Merck, Eli Lilly, and Amgen sued the administration, saying the Department of Health and Human Services did not have the authority to impose the rule, which was about to take effect Tuesday. The companies said the administration's new rule would have violated their right to free speech. They have argued that list prices don't reflect what most patients pay, anyway, because insurers negotiate discounts. When the proposed rule was finalized in May, HHS Secretary Alex Azar called it "the single most significant step any administration has taken toward a simple commitment: American patients deserve to know the prices of the health care they receive."
2. 23 governors back California challenge of Trump car mileage rollback
Governors from 23 states said in a joint statement released Tuesday that they were backing California's challenge of the Trump administration's plan to lower vehicle mileage standards. The states are urging the Trump administration to put out rules that require efficiency improvements every year and are consistent nationwide. The administration proposed rules in 2018 that would freeze the tougher mileage standards of former President Barack Obama's administration. The Trump administration says Americans want bigger SUVs and pickups that consume more fuel. The governors called for keeping the pre-Trump goals. "We will not compromise on our responsibility to protect the health of our communities, our climate, and the savings consumers stand to gain at the pump," the governors said in the pledge.
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.
Bloomberg The Associated Press
3. U.K. to fine British Airways for data breach
British authorities said Monday they would fine British Airways nearly $230 million over a 2018 data breach last year. If the government follows through with the fine, it will be the biggest imposed on any company for failing to follow a new European data privacy law. The airline's inadequate security has been blamed for letting hackers access 500,000 customers' names, addresses, login information, credit card data, and other information by diverting them from British Airways' website to a fraudulent one. British Airways said in a statement that it was "surprised and disappointed" with news of the fine and would fight it. The Information Commissioner's Office said the fine was appropriate. "People's personal data is just that — personal," Elizabeth Denham, the information commissioner, said in a statement.
4. Dwindling expectations on Fed rate cuts weigh down stocks
U.S. stock index futures fell early Tuesday as shares continued to face headwinds due to speculation that Friday's unexpectedly strong jobs report would make the Federal Reserve less likely to aggressively cut interest rates to boost the economy. Futures for the Dow Jones Industrial Average, the S&P 500, and the Nasdaq were down by about 0.4 percent. Many investors still expect the Fed to cut its benchmark interest rate by a quarter percent at its late-July meeting, but fewer anticipate a half-point cut. Federal Reserve Chairman Jerome Powell is expected to provide hints about the central bank's plans on Wednesday and Thursday when he gives an annual report to Congress. The three main U.S. stock indexes all fell Monday.
5. Deutsche Bank shares drop on turnaround plan skepticism
Deutsche Bank shares continued to fall on Tuesday, losing 5 percent early in the day as investors expressed skepticism about its turnaround effort. Deutsche Bank shares have fallen by 12 percent since the German bank announced Sunday that it was cutting 18,000 jobs as it shrinks its global investment banking operations to focus on serving corporate clients in Germany. Analysts like CEO Christian Sewing's move to shrink the company's volatile trading operations, but note that there's no guarantee Deutsche Bank will be able to boost its revenue from more stable corporate banking and asset and wealth management operations in Germany at a time of low interest rates and increased competition from U.S. banks, which have taken a larger share of the German market.
Create an account with the same email registered to your subscription to unlock access.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
Harold Maass is a contributing editor at The Week. He has been writing for The Week since the 2001 debut of the U.S. print edition and served as editor of TheWeek.com when it launched in 2008. Harold started his career as a newspaper reporter in South Florida and Haiti. He has previously worked for a variety of news outlets, including The Miami Herald, ABC News and Fox News, and for several years wrote a daily roundup of financial news for The Week and Yahoo Finance.
-
'His death creates an opportunity for rough justice'
Instant Opinion Opinion, comment and editorials of the day
By Justin Klawans, The Week US Published
-
Movies to watch in October, from 'Joker: Folie à Deux' to 'Saturday Night'
The Week Recommends Joaquin Phoenix as Joker, a new Jason Reitman comedy and a buzzy Palme d'Or winner
By Anya Jaremko-Greenwold, The Week US Published
-
What should you consider when choosing a financial adviser?
The Explainer The right person can be a big help with financial planning, investing, taxes and more
By Becca Stanek, The Week US Published
-
Putin's fixation with shamans
Under the Radar Secretive Russian leader, said to be fascinated with occult and pagan rituals, allegedly asked for blessing over nuclear weapons
By Harriet Marsden, The Week UK Published
-
A brief history of third parties in the US
In Depth Though none of America's third parties have won a presidential election, they have nonetheless had a large impact on the country's politics
By Joel Mathis, The Week US Published
-
Chimpanzees are dying of human diseases
Under the radar Great apes are vulnerable to human pathogens thanks to genetic similarity, increased contact and no immunity
By Harriet Marsden, The Week UK Published
-
Deaths of Jesse Baird and Luke Davies hang over Sydney's Mardi Gras
The Explainer Police officer, the former partner of TV presenter victim, charged with two counts of murder after turning himself in
By Austin Chen, The Week UK Published
-
Quiz of The Week: 24 February - 1 March
Puzzles and Quizzes Have you been paying attention to The Week's news?
By Sorcha Bradley, The Week UK Published
-
Will mounting discontent affect Iran election?
Today's Big Question Low turnout is expected in poll seen as crucial test for Tehran's leadership
By Sorcha Bradley, The Week UK Published
-
Sweden clears final NATO hurdle with Hungary vote
Speed Read Hungary's parliament overwhelmingly approved Sweden's accession to NATO
By Peter Weber, The Week US Published
-
Modern royal scandals from around the world
The Explainer From Spain to the UAE, royal families have often been besieged by negative events
By Justin Klawans, The Week US Published