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Experts urge Boeing 737 Max engine fix after bird strikes

SUMMARY:

  • urges urgent engine changes to 737 Max jets
  • Bird strikes caused smoke in cabins
  • , Boeing previously issued guidance on the issue
  • and Chinese jets may face similar engine risks

Safety experts recommended Wednesday that the engines on Boeing’s troubled 737 Max airplanes be modified quickly to prevent smoke from filling the cockpit or cabin after a safety feature is activated following a .

The problem detailed by the National Transportation Safety Board emerged after two bird strikes involving Southwest Airlines planes in 2023 — one in Havana, Cuba, and another in New Orleans. The Federal Aviation Administration and Boeing already warned airlines and pilots about the problem and the engine maker has been working on a fix.

The NTSB said that the engines CFM International makes for the Boeing plane can inadvertently release oil into the hot engine when the safety feature, called a load reduction device, is activated after a bird strike or similar engine issue. The resulting smoke feeds directly into either the cockpit or passenger cabin depending on which engine was struck.

Similar engine models with the same safety feature are also used on Airbus A320neo planes and C919 planes made by the Commercial Aircraft Corporation of China. The NTSB urged European and Chinese aviation safety regulators to evaluate those engine models to determine if they could also be susceptible to the smoke problem.

Safety device solved one problem but created another

The new safety device that CFM added to its engines solved one problem by limiting damage when an engine starts to come apart, but created a new problem by releasing the oil that burns and generates smoke.

“This is a case of an unintended consequence of a new and innovative safety idea where if the fan gets unbalanced that this is a way to alleviate the load and thereby doing less damage to the engine, the engine pylon, all of that,” said aviation safety expert John Cox, who is CEO of the Safety Operating Systems consulting firm.

CFM said in a statement that it is “aligned with the NTSB’s recommendations and the work is already underway, in close partnership with our airframers, to enhance the capability of this important system.” The company, which is a joint venture between GE Aerospace and Safran Aircraft Engines, confirmed it is working on a software update for the 737 Max’s engines and said it is evaluating similar engine models.

Boeing said it is working with CFM on the update and the planemaker supports NTSB’s recommendations. Boeing also updated some of the checklists pilots rely on to help them take appropriate actions.

The NTSB investigated a December 2023 incident in which a Southwest Airlines plane struck a bird while taking off from New Orleans and had to land quickly after thick smoke filled the cockpit — even making it hard for the pilot to see the instrument panel or his copilot.

In an incident nine months earlier involving another Southwest 737 Max, smoke filled the cabin after a bird strike after takeoff in Havana.

Air from the left engine on a 737 Max flows directly into the cockpit while air from the right engine flows into the passenger cabin.

FAA says it will require airlines to implement a permanent fix when it’s available

While these incidents were both bird strikes, the NTSB said this could happen in certain other circumstances.

The FAA said in a statement that it agrees with the NTSB recommendations and when “the engine manufacturer develops a permanent mitigation, we will require operators to implement it within an appropriate timeframe.”

Pilots can act to limit smoke in the plane by manually cutting off airflow from the engines, but smoke can quickly start to fill the cabin within a few seconds. The engine manufacturer is working on a software update that should do that automatically, but that’s not expected to be ready until sometime in the first quarter of next year.

The NTSB said in its report that several pilots who fly Boeing 737s told investigators they weren’t aware of these incidents despite the efforts Boeing and the FAA have made. The NTSB said “it is critical to ensure that pilots who fly airplanes equipped with CFM LEAP-1B engines are fully aware of the potential for smoke in the cockpit.”

Airbus didn’t immediately respond to a request for comment.

A Southwest spokesperson said the airline has been in close contact with the FAA, Boeing and the engine maker since the incidents and notified its pilots after they happened. The spokesperson said the airline continues to address the issue through its training and safety management systems.

Persistent troubles for the 737 Max

The planes have been the focus since they were involved in both incidents, and there has been a history of other problems with that plane.

The Max version of Boeing’s bestselling 737 airplane has been the source of persistent troubles for Boeing after two of the jets crashed. The crashes, one in Indonesia in 2018 and another in Ethiopia in 2019, killed 346 people.

The problem in those crashes stemmed from a sensor providing faulty readings that pushed the nose down, leaving pilots unable to regain control. After the second crash, Max jets were grounded worldwide until the company redesigned the system.

Last month, the Justice Department reached a deal to allow Boeing to avoid criminal prosecution for allegedly misleading U.S. regulators about the Max before the two crashes.

Worries about the plane flared up again after a door plug blew off a Max operated by Alaska Airlines, leading regulators to cap Boeing’s production at 38 jets per month. The NTSB plans to meet next Tuesday to discuss what investigators found about that incident.

Aflac finds suspicious activity on US network that may impact Social Security numbers, other data

SUMMARY:

Aflac says that it has identified suspicious activity on its network in the U.S. that may impact Social Security numbers and other personal information, calling the incident part of a against the insurance industry.

The company said Friday that the intrusion was stopped within hours.

“We continue to serve our customers as we respond to this incident and can underwrite policies, review claims, and otherwise service our customers as usual,” Aflac said in a statement.

The company said that it’s in the early stages of a review of the incident, and so far is unable to determine the total number of affected individuals.

Aflac Inc. said potentially impacted files contain claims information, health information, Social Security numbers, and other personal information, related to customers, beneficiaries, employees, agents, and other individuals in its U.S. business.

The Columbus, Georgia, company said that it will offer free credit monitoring and identity theft protection and Medical Shield for 24 months to anyone that calls its call center.

Cyberattacks against companies have been rampant for years, but a string of attacks on companies have raised awareness of the issue because the breaches can impact customers.

United Natural Foods, a wholesale distributor that supplies Whole Foods and other grocers, said earlier this month that a breach of its systems was disrupting its ability to fulfill orders — leaving many stores without certain items.

In the U.K., consumers could not order from the website of Marks & Spencer for more than six weeks — and found fewer in-store options after hackers targeted the British clothing, home goods and food . A on Co-op, a U.K. grocery chain, also led to empty shelves in some stores.

A security breach detected by Victoria’s Secret last month led the popular lingerie seller to shut down its U.S. shopping site for nearly four days, as well as to halt some in-store services. Victoria’s Secret later disclosed that its corporate systems also were affected, too, causing the company to delay the release of its first quarter earnings.

The North Face said that it discovered a “small-scale credential stuffing attack” on its website in April. The company reported that no credit card data was compromised and said the incident, which impacted 1,500 consumers, was “quickly contained.”

Adidas disclosed last month that an “unauthorized external party” obtained some data, which was mostly contact information, through a third-party customer service provider.

US stocks drift in a quiet return from the Juneteenth holiday

SUMMARY:

  • gained 0.4% after Juneteenth holiday
  • Dow rose 162 points; climbed 0.6%
  • Kroger stock jumped on better-than-expected earnings
  • up amid Middle East tension concerns

U.S. stocks are drifting higher on Friday in their return to trading following the Juneteenth holiday.

The S&P 500 was up 0.4% in early trading and adding to its modest gain for the week. The Industrial Average was up 162 points, or 0.4%, as of 9:35 am. Eastern time, and the Nasdaq composite was 0.6% higher.

Treasury yields were also edging higher in the bond market after President  said he will decide within two weeks whether the U.S. military will get directly involved in Israel’s fighting with Iran. The window offers the possibility of a negotiated settlement over Iran’s nuclear program that could avoid increased fighting.

The conflict has sent  yo-yoing because of rising and ebbing fears that it could disrupt the global flow of crude. Iran is a major producer of oil and also sits on the narrow Strait of Hormuz, through which much of the world’s crude passes.

On Wall Street, Kroger jumped 6.8% to help lead the market after the grocer reported a better profit for the latest quarter than Wall Street had forecast. It also raised its forecast for an underlying measure of revenue for the full year. Chief Financial Officer David Kennerley said it’s seeing positive momentum, but it’s still seeing an uncertain overall economic environment.

CarMax rose 4.6% after the auto dealer reported a stronger profit for the latest quarter than analysts expected. The company said it sold nearly 6% more used autos during the quarter than it did a year earlier.

On the losing end of Wall Street was Smith & Wesson Brands, the maker of guns. It tumbled 15.3% after reporting profit and revenue for the latest quarter that fell just shy of analysts’ expectations.

Chief Financial Officer Deana McPherson said “persistent , high , and uncertainty caused by tariff concerns” have been hurting sales for firearms, and the company expects demand in its upcoming fiscal year to be similar to this past year’s, depending on how inflation and Trump’s play out.

A spate of companies has been adjusting or even withdrawing their financial forecasts for the year because of all the uncertainty that tariffs are creating for their customers and for their suppliers. Everyone is waiting to see how big the tariffs will ultimately be.

It’s not just corporate America. The has been keeping its main interest rate on hold this year, with its latest such decision coming earlier this week, because it’s waiting to see exactly by how much tariffs will grind down on the economy and push up inflation.

In the bond market, Treasury yields edged higher. The yield on the 10-year Treasury rose to 4.41% from 4.38% late Wednesday. The two-year yield, which more closely tracks expectations for what the Fed will do, was holding at 3.94%.

In stock markets abroad, indexes rose across much of Europe after finishing mixed in Asia.

Tokyo’s Nikkei 225 index edged 0.2% lower after Japan reported that its core inflation rate, excluding volatile food prices, rose to 3.7% in May, adding to challenges for Prime Minister Shigeru Ishiba’s government and the central bank.

Schewels Home acquires 100-year-old Petersburg retailer

Furniture Today Top 100 Schewels Home announced that it acquired -based Butterworth’s , which has been in business since 1925.

The -based retailer, which has 52 locations in Virginia and surrounding states, took over operations in early June. Terms of the deal were not disclosed. Officials say the is a major milestone for Schewels Home as it continues its strategic growth plan.

Butterworth’s Furniture has been serving the Petersburg community for 100 years. With a 72,000-square-foot showroom and a 24,000-square-foot racked warehouse, it will become one of the largest stores in the Schewels Home chain. The acquisition also brings more than 25 experienced employees to Schewels Home.

“This is the largest acquisition in the 127-year history of Schewel Furniture,” said Matt Schewel, director of store operations. “It represents an exciting opportunity to expand into a new market while preserving the strong reputation and loyal customer base that Butterworth’s has built over nearly a century.”

The store will continue to operate under the Butterworth’s Furniture name for the time being. This decision honors the brand’s deep roots in the Petersburg community and supports a smooth transition for both employees and customers.

Butterworth’s focus on premium merchandise, custom orders and multiple financing options represent new growth opportunities for Schewels Home. Meanwhile, Schewels Home will bring its buying power, operational scale and proven strategies to enhance the store’s future success.

“This partnership allows us to combine the best of both companies,” said CEO Marc Schewel. “We’re confident that maintaining the Butterworth’s name and approach in the short term is the best way to ensure continuity, retain talent and respect the brand’s legacy, while introducing efficiencies and innovations that will benefit the store and its customers.”

Borrowers looking for lower costs will have to wait as the Fed is unlikely to cut rates

SUMMARY:

  • Fed likely to keep unchanged for fourth meeting.
  • Officials expected to forecast two for 2025.
  • Some economists believe cuts may be delayed until 2026.
  • Cooling may prompt more cuts if ease.

WASHINGTON (AP) — The inflation-fighters at the are expected to keep their key interest rate unchanged Wednesday for the fourth straight time. That’s likely to shift attention to how many interest rate cuts they forecast for this year.

It’s widely expected that the 19 Fed officials that participate in the central bank’s interest-rate decisions will project two rate cuts for this year, as they did in December and March. But some economists expect that one or both of those cuts could be pushed back to 2026.

The Fed will almost certainly keep the short-term rate it controls at about 4.3%, economists say, where it has stood since the central bank last cut rates in December. Since then, it has stayed on the sidelines while it evaluates the impact of President ‘s tariffs and other policy changes on the economy and prices.

Inflation has been cooling since January, and many economists say that without the higher import taxes, the Fed would likely be cutting its rate further. According to the Fed’s preferred measure, inflation dropped to just 2.1% in April, the lowest since last September. Core inflation — which exclude the volatile food and energy categories — was 2.5%.

Those figures suggest inflation is largely coming under control, for now. Yet the Fed’s short-term interest rate remains at an elevated level intended to slow growth and inflation. Some economists argue that with inflation cooling, the Fed could resume its rate reductions.

When the Fed reduces its rate, it often — though not always — leads to lower costs for consumer and business borrowing, including for mortgages, auto loans, and credit cards. Yet financial markets also influence the level of longer-term rates and can keep them elevated even if the Fed reduces the shorter-term rate it controls.

But Fed officials have said they want to see whether Trump’s tariffs boost inflation and for how long. Economists generally believe a tariff hike should at least lead to a one-time increase in prices, as companies seek to offset the cost of higher duties. Many Fed officials, however, are worried that the tariffs could lead to more sustained inflation.

“While theory might suggest that (the Fed) should look through a one-time increase in prices, I would be uncomfortable staking the Fed’s reputation and credibility on theory,” Jeffrey Schmid, president of the Fed’s Kansas City branch and a voting member of the Fed’s interest-rate setting committee, said earlier this month.

The Trump White House has sharply ramped up pressure on Powell to reduce , with Trump himself calling the Fed chair a “numbskull” last week for not cutting. Other officials, including Vice President JD Vance and Commerce Secretary Howard Lutnick, are also calling for a rate reduction.

Pushing the Fed to cut rates simply to save the government on its interest payments typically raises alarms among economists, because it would threaten the Fed’s congressional mandate to focus on stable prices and maximum employment.

One of Trump’s complaints is that the Fed isn’t cutting rates even as other central banks around the world have reduced their borrowing costs, including in Europe, Canada, and the U.K. On Tuesday, the Bank of Japan kept its key short-term rate unchanged at 0.5%, after actually raising it recently.

But the European Central Bank, Bank of Canada, and Bank of England have reduced their rates this year in part because U.S. tariffs are weakening their economies. So far the is mostly solid, with the rate low.

The Bank of England has cut its rate twice this year but is expected to keep it unchanged at 4.25% when it meets Thursday.

Chesapeake City Council rejects massive data center

SUMMARY:

  • unanimously denied a rezoning request that would have allowed a 350,000-square-foot in the Great Bridge area
  • Developer considering alternate sites
  • Residents voiced concerns about traffic, noise, pollution, environmental impact

Following an outcry from hundreds of residents, Chesapeake City Council unanimously voted Tuesday night to deny a rezoning request that would have allowed the construction of ‘ first major data center.

Developer Doug Fuller, president of Emerald Lakes Estates, wanted to build the 350,000-square-foot data center on a 22.6-acre property in the Great Bridge area of Chesapeake, on the west side of Centerville Turnpike, south of Etheridge Manor Boulevard. However, for the project to get off the ground, he needed the land rezoned from agricultural to light industrial use.

Had the project gone forward, the center would have been 35 feet tall, employed 30 to 50 people, and been manned 24 hours a day.

But after about two-and-a-half hours of citizens speaking against the project Tuesday night, the council decided to reject Fuller’s proposal, also declining a request to delay the vote until August. Mayor Rick West was absent, and council member Daniel Whitaker recused himself from the vote, saying he had provided professional services to Fuller.

On Wednesday, Fuller said via text that he is considering alternative sites for the project.

Calling it a “disappointment,” Fuller said that Chesapeake residents “spoke loud and clear that they oppose rezoning agriculture land to industrial. They want it to remain agriculture for now, and I will research and find what is the highest and best economic use for the property with its current A1 zoning.

“It is important for Hampton Roads have a commercial size data center and my goal was to bring one to our city so it could benefit from the millions of dollars in tax revenue. Since the denial, I have had two localities reach out to me and asked to be considered for a like project. I am considering all alternate site options at this point.”

Before voting, City Council member Amanda Newins asked Deputy City Manager Brian Solis if the city had offered to swap one of its properties, which would be more appropriate for a data center, with Fuller. Price said there may be potential to swap property, but that so far Fuller has not expressed interest in exploring that.

“The reason that I am not supporting this project is because I think it’s completely incompatible with the location,” Newins said. “I think there is viable use for that property outside of what’s being proposed that is not on top of residential property in that area. I think that’s been abundantly clear from the community that’s here today, that shared with us, that that is not compatible with the community.”

In the weeks leading up to Tuesday’s vote, the proposal had drawn fierce opposition from hundreds of residents, who spoke against it through petitions, emails and public hearings.

Complaints included concerns about increased traffic, noise, light pollution, the site being too close to residential homes and schools, disruptions caused by construction, lack of sufficient public input, loss of agricultural land and green space, environmental concerns and fears that the center might cause blackouts. Many also voiced worries that the city’s first data center would open the doors to more and other .

Resident Kelli Gossmann, who lives near the proposed data center site, said Tuesday night the data center would directly impact her. She added that residents in Northern Virginia, where the data center industry is booming, have repeatedly complained about data centers causing a myriad issues.

“For me, this means my favorite view of the sunrise will be permanently blocked by a massive industrial building,” Gossmann said of the proposal. “Words cannot express my personal shock and dismay.”

Navy veteran Jennifer Anderson, who lives in a neighborhood near the site, said she chose her home for its beauty, the sound of birds chirping and the ability to look at the stars at night. However, she said she believed if the data center were approved, more would come, “and all of these things we love about our new home will either be reduced greatly or removed entirely.”

“Can you promise the light pollution from this one and the imminent building of more won’t drown out the stars,” she asked the council. “Can you promise the constant humming won’t make it unbearable to enjoy the park across the street or even our own front and backyard? Can you promise my children won’t develop health issues?”

The planning commission last month voted 6-1 to recommend denial of the rezoning, with several saying they wanted more time to study the long-term impact of the data center on the city.

Tuesday’s denial from the council drew loud applause and a standing ovation from many members of the audience.

“The people do not want it there,” said Councilor Patricia “Pat” King, when justifying her vote. “It is your community, and we are your voice, and you have requested that we not allow it. So I stand by you and your request.”

US unemployment ticked down, hovering at historically low levels

SUMMARY:

  • Weekly declined to 245,000 from 250,000.
  • Four-week average rose to 245,500, highest since August 2023.
  • fell to 1.95 million for the week of June 7.
  • Uncertainty over Trump’s trade policies clouds economic outlook.

WASHINGTON (AP) — The number of Americans applying for dipped to 245,000 last week, hovering at historically low levels, the Labor Department said Wednesday.

U.S. jobless claims ticked down from 250,000 the week before. Economists had expected last week’s claims to match that at 250,000.

The four-week average of claims, which smooths out week-to-week volatility, rose to 245,500, the highest since August 2023.

The number of Americans collecting benefits the week of June 7 slid to 1.95 million.

Weekly unemployment claim are a proxy for layoffs and mostly have stayed within a healthy band of 200,000 to 250,000 since the economy recovered from a brief but painful COVID-19 recession in 2020, which temporarily wiped out millions of jobs.

In recent weeks, however, claims have stayed at the high end of range, adding to evidence that U.S. job market is decelerating after years of strong hiring. So far this year, employers are adding a decent but far from spectacular 124,000 jobs a month, down from an average 168,000 last year and an average of nearly 400,000 from 2021 through 2023.

The hiring slowdown is partly the drawn-out result of 11 interest rate hikes by the in 2022 and 2023. But Trump’s aggressive and often-erratic trade policies — including 10% taxes on imports from almost every country on earth — are also weighing on the economy, paralyzing businesses and worrying consumers who fear they’ll mean higher prices.

Carl Weinberg of High Frequency Economics is worried that claims remain elevated compared with recent years, when employment has remained very low by historical standards.

“We believe firms have been ‘hoarding’ workers to ensure that they don’t lay off skilled and trained workers by mistake, especially with the still very close to full employment,” Weinberg wrote. “With uncertainty still high … companies have remained hesitant about layoffs. That may be changing.”

The Fed, satisfied that an was coming down, cut rates three times last year. But the central bank has turned cautious in 2025, worried that Trump’s will rekindle inflationary pressures. The Fed is expected to leave rates unchanged as it wraps up a two-day meeting Wednesday.

Average long-term US mortgage rate eases to 6.81%, the third consecutive weekly decline

SUMMARY:

The average rate on a 30-year U.S. mortgage eased for the third week in a row, a welcome trend for prospective at a time when elevated borrowing costs remain a drag on the housing market.

The long-term rate fell to 6.81% from 6.84% last week, mortgage buyer said Wednesday. A year ago, the rate averaged 6.87%.

Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners refinancing their home loans, also fell. The average rate eased to 5.96% from 5.97% last week. A year ago, it was 6.13%, according to Freddie Mac.

Mortgage rates are influenced by several factors, from the ‘s interest rate policy decisions to bond market investors’ expectations for the economy and . The key barometer is the 10-year Treasury yield, which lenders use as a guide to pricing home loans.

The 10-year Treasury yield was at 4.35% at midday Wednesday, down from 4.58% just a few weeks ago.

The average rate on a 30-year mortgage has remained relatively close to its high so far this year of just above 7%, set in mid-January. The 30-year rate’s low point this year was in early April when it briefly dipped to 6.62%.

With the latest decline, the average rate is now back to where it was in mid-May, reflecting a recent pullback in bond yields.

High mortgage rates can add hundreds of dollars a month in costs for borrowers and reduce their purchasing power. That’s helped keep the U.S. housing market in a sales slump that dates back to 2022, when mortgage rates began to climb from the rock-bottom lows they reached during the pandemic.

Last year, sales of previously occupied U.S. homes sank to their lowest level in nearly 30 years. Sales remain weak this year, most recently dampening the spring homebuying season.

Elevated borrowing costs are also squeezing the new-home market. Homebuilders broke ground on fewer homes last month than economists expected, the government reported Wednesday.

A closely watched measure of homebuilder sentiment sank this month to its third-lowest reading since 2012, as builders’ sales expectations in the next six months and declined.

Many homebuilders have been offering incentives such as mortgage rate buydowns to entice prospective home shoppers. Many are also lowering prices, according to a survey released this week by the National Association of Home Builders.

Home shoppers who can afford to buy at current mortgage rates are also benefiting from more homes on the market when compared with recent years.

“While home prices remain elevated, market conditions are gradually tilting in favor of buyers, thanks to rising inventory, longer time-on-market, and climbing price reductions,” said Hannah Jones, senior economic research analyst at Realtor.com.

Economists generally expect mortgage rates to stay relatively stable in the coming months, with forecasts calling for the average rate on a 30-year mortgage to remain in a range between 6% and 7% this year.

Wall Street rises as oil prices ease and the countdown ticks to the Fed’s decision on interest rates

SUMMARY:

  • , Dow, and all posted morning gains.
  • Fed expected to hold steady; projections due later.
  • Oil prices dip after Trump comments on Iran’s nuclear program.
  • Economic data mixed; fell, housing starts declined

NEW YORK (AP) — U.S. stocks are rising on Wednesday as Wall Street waits to hear where the  may be taking interest rates.

The S&P 500 was 0.5% higher in morning trading. The Dow Jones Industrial Average was up 244 points, or 0.6%, as of 10:30 a.m. Eastern time, and the Nasdaq composite was 0.6% higher.

Some of the strongest moves were again in the oil market, where crude prices dropped after President Donald Trump said it’s not “too late” for Iran to give up its nuclear program. Oil prices have been yo-yoing for days because of rising and ebbing fears that Israel’s fighting with Iran could disrupt the global flow of crude.

A barrel of benchmark U.S. oil dropped 1.2% to $72.33. Brent crude, the international standard, fell 2.3% to $74.65.

The headline event for the day will likely arrive at 2 p.m. Eastern, when the Federal Reserve is set to announce its latest move on interest rates. The nearly unanimous expectation is that it will hold rates steady, as it’s been doing for all of this year after cutting through the end of 2024.

More important will be what the Fed says about the future. Officials will release projections for where they see the economy, and interest rates heading in upcoming years. The widespread expectation on Wall Street is that the Fed will cut its main interest rate at least two times by the end of 2025, though that has been weakening a bit recently as oil prices have climbed and put upward pressure on inflation.

A cut in rates could make mortgages, credit-card payments and other loans cheaper for U.S. households and businesses, which in turn could give the overall economy a boost. But lower rates can also fan inflation higher.

Besides the threat of higher oil prices because of the fighting between Israel and Iran, the Fed has been concerned about the potential for President Donald Trump’s tariffs to both hurt the economy and to drive inflation higher. That’s been the main reason it’s been on hold with interest rates this year.

So far, inflation has remained relatively tame, and it’s near the Fed’s target of 2%. But economists have been saying it may take months more to feel the full effects of tariffs.

A pair of reports on the came in mixed on Wednesday. One said fewer workers applied for benefits last week, which could be an indication of lightening layoffs. But a second report said that homebuilders broke ground on fewer homes last month than economists expected. That could be a sign that higher mortgage rates are chilling the industry.

On Wall Street, solar stocks rose to recover some of their sharp losses from the day before, when worries flared about Congress possibly phasing out tax credits for solar and other alternative energy sources. rose 1.3%, but it’s still down 16.8% for the week. Enphase Energy climbed 3.2% to trim its loss for the week to 20.9%.

rose 3.2% after the steelmaker based in Charlotte, North Carolina, said it expects to report growth in profit for all three of its operating groups in the second quarter. It said it benefited from higher selling prices at its sheet and plate mills, among other things.

In the bond market, Treasury yields edged a bit lower.

The yield on the 10-year Treasury fell to 4.37% from 4.39% late Tuesday. The two-year Treasury yield, which more closely tracks expectations for what the Fed will do with its overnight interest rate, held steady at 3.94%.

In stock markets abroad, indexes were mixed across Europe and Asia.

Tokyo’s Nikkei 225 rose 0.9%, and Hong Kong’s Hang Seng fell 1.1% for two of the bigger moves.

Traditional Medicinals moves forward with $47M plant in Franklin County


SUMMARY:

While out for lunch Tuesday, Ronnie Thompson, chair of the Franklin County Board of Supervisors, was approached by a citizen.

“He said, ‘When y’all going to do something at that business park?’” Thompson recalled at the board’s Tuesday evening meeting. “And I said, ‘Soon. I hope.’ That was my answer.”

Board members Tuesday unanimously voted to finalize a performance agreement with California-based wellness tea company Traditional Medicinals, which plans to schedule groundbreaking soon on a $47 million manufacturing and processing plant in Franklin County’s . The project is expected to create 57 jobs with an average annual salary of more than $70,657, according to Christopher Whitlow, county administrator.

A company famous for teas with names like Throat Coat and Cup of Calm and founded in Sebastopol, California, a town founded by hippies, Traditional Medicinals has flirted with the moonshine capital of the world before.

In early 2020, Traditional Medicinals announced plans to build an East Coast operation that then was expected to cost $29.7 million. The project got put on pause during the pandemic.

Company co-founder apologized for the wait at the meeting.

“We’ve been taking our time with it,” he said. “And now, we’re ready, and we have committed, as you heard, a significant investment, and we’re going to grow here.”

Some footings will be constructed this year and construction on the Traditional Medicinal facility is expected to be completed in 2026, according to Whitlow.

Representatives from Interactive Design Group, a Roanoke architecture firm, and Parker Design Group, a Roanoke civil engineering firm, will help to build the company’s complex and stood at Tuesday’s meeting. Current Traditional Medicinals CEO Joe Stanziano and Gary Gatton, a previous CEO and current project manager for the Virginia site, also attended.

“I was so pleased that they’re using Franklin County resources, our Franklin County residents as architects, as engineers,” Whitlow said of Traditional Medicinals. “We just look forward to continue the good work and partnership as we break ground just in a matter of weeks.”

When Sadler addressed the meeting, he noted the invocation held at the beginning by Tommy Shepherd from Stuart Church of Living Water.

Traditional Medicinals, he said, also likes to begin their meetings with an invocation, which he described as “an invocation of gratitude.”

“We don’t take this work for granted,” he said. “We believe that we’ve been called to do this work. It’s important work. We feel like we’ve been called here to Franklin County.”

The members of the board were all smiles after the announcement Tuesday.

“This is for you, Buddy,” Thompson said in honor of the citizen who approached him at lunch. “It’s good news.”