This morning the Food and Drug Administration announced a new plan to lower the nicotine levels in cigarettes to non-addictive levels. Because almost 90% of adult smokers started smoking before the age of 18, lowering nicotine levels could decrease the likelihood that future generations become addicted to cigarettes and allow more currently addicted smokers to quit. The news is hurting the tobacco stocks. British American Tobacco down is 8.3% and Altria down 9.2%.
The Commerce Department reports the gross domestic product, grew at an annual rate of 2.6% in the second quarter. That was than double the revised 1.2% growth in the first quarter. The economy got a boost from a rebound in consumer spending, up 2.8%. It got a smaller lift from business. Firms increased fixed investment just 2.2% in the spring after a 8.1% gain in the first quarter,
The final reading of the University of Michigan’s consumer sentiment index for July was 93.4 from a preliminary 93.1. That’s down from June’s 95.1. The difference in the expectations index between Democrats and Republicans was 45 points.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
