Business news with words department+index+prices. 23 news.

CONSUMER confidence is falling, the odds of a recession have risen, analysts predict the worst holiday shopping since 2002 - and retail-industry executives are buying their companies' shares like never before. Limited Brands Inc Chief Executive Officer Leslie Wexner and eight other executives bought a record amount of stock last month after prices fell to a four-year low. Dillard's Inc director Warren Stephens made the biggest insider purchase ever as shares of the Arkansas-based department store chain headed for the steepest decline since at least 1980. Cambiar Investors LLC, Royce & Associates LLC and Becker Capital Management Inc say insider buying foreshadows a rebound. The last four times executives added to their holdings, the Standard & Poor's Supercomposite Retailing Index rose an average 9.9 percent in the next three months, topping a 6.2-percent average rise in the S&P 500 Index. Retail company officials increased their investments by US$346.4 million since the start

STOCKS sold off yesterday after a jump in consumer inflation raised concerns about how much freedom the Federal Reserve has to continue cutting interest rates. The Dow Jones industrial average gave up more than 178 points. The Labor Department said the consumer price index rose 0.8 percent in November amid a spike in gasoline prices. The report also found large increases in the cost of clothing, airline tickets and prescription drugs. The report raises questions about the Fed's options for priming the economy. The Fed this week lowered interest rates and announced a plan to align with other key central banks and offer loans to pressed lenders around the world. But while it wants to stimulate the U.S. economy and make lending easier among banks wary of faltering debt, the Fed also has to keep a watchful eye on inflation. Robert Dye, senior economist at PNC Financial Services Group, said the economic readings this week painted a mixed picture for investors, spurring some of the

NEW YORK (MarketWatch) -- The dollar strengthened against other major currencies early Friday, getting a boost after the Labor Department reported hotter-than-expected consumer price inflation for November. The dollar rose 0.7% against the yen at 113.07 yen. The euro gave up 1% at $1.4491. The dollar index, which tracks the performance of the greenback against a basket of other major currencies, rose 0.8% at 77.145. The consumer price index increased 0.8%, driven by a 5.7% gain in energy prices, the biggest gain in consumer prices in more than two years. Core inflation, which excludes food and energy prices, rose 0.3%, the biggest gain since January. The numbers were worse than expected. Economists were forecasting the CPI to rise 0.7% and the core rate to rise 0.2%, according to a survey conducted by MarketWatch.

WASHINGTON (MarketWatch) - The underlying rate of U.S. inflation accelerated in November, the Labor Department said Friday. The consumer price index increased 0.8%, driven by a 5.7% gain in energy prices, the fastest increase in energy prices since March. This is the biggest gain in consumer prices in more than two years. Food prices rose 0.3%, and apparel, airline and drug prices also spiked. The core CPI, which excludes food and energy costs, was up 0.3% in November, the biggest gain since January. Economists were expecting the CPI to rise 0.7% in November after a 0.3% gain in October. The core rate was expected to rise 0.2% after rising 0.2% in the previous month.

WASHINGTON (MarketWatch) - Growth in U.S. consumer spending ground to a halt in October, while inflation eroded American households' modest gains in income, the Commerce Department reported Friday. Nominal incomes rose just 0.2% in October. But after accounting for the 0.3% rise in prices, real after-tax incomes fell 0.1%. Consumer spending increased 0.2% in nominal terms and was flat after adjusting for inflation. Both incomes and spending were slightly weaker than expected on Wall Street. Inflationary pressures were steady in October. The personal consumption expenditure price index rose 0.3% for a second straight month. Core prices, which exclude food and energy prices, rose 0.2% for the second straight month. Core inflation was steady at 1.9% over the past year, just within the Fed's unofficial comfort zone.

SINGAPORE'S inflation accelerated in October to the highest since 1991, suggesting the central bank will allow the currency to strengthen further to curb consumer price gains. The consumer price index jumped 3.6 percent from a year earlier, after gaining 2.7 percent in September, the Department of Statistics said yesterday. The figure exceeded all estimates by economists surveyed by Bloomberg News, where the median forecast was a 2.8 percent gain. Prices rose 1.3 percent from September. The Monetary Authority of Singapore last month said it would allow a "slightly" faster appreciation in its currency, aiming to damp decade-high inflation by making imports cheaper. The government this week said it expects consumer prices to rise next year at more than double the 2007 pace. "The risks of inflation are clearly to the upside," said Joseph Tan, Asia strategist at Fortis Bank SA in Singapore. "We can expect the Singapore dollar to get stronger, and we don't

CONSUMER prices in the US rose last month at the same pace as September, led by increases in fuel costs that threaten to boost inflation and slow growth. The cost of living increased 0.3 percent in October, as forecast, the Labor Department said yesterday in Washington. So-called core producer prices, which exclude fuel and food costs, rose 0.2 percent for a fifth month. Gasoline and heating-oil prices started rising in late October and have continued higher this month, suggesting fuel costs will remain a concern. Meanwhile, annual inflation in the euro zone rose to 2.6 percent in October, due to higher fuel and food prices across the 13 countries that use the currency, the EU statistics agency said. The increase puts more pressure on the European Central Bank to consider an interest rate rise to curb the hike in costs. The price index rose from 2.1 percent in September, and marks a two-year high despite the strong euro currency which continues to offer European industry and

WASHINGTON Consumer inflation posted another elevated reading in October as energy prices shot up by the fastest pace in five months. The Labor Department reported Thursday that its Consumer Price Index rose by 0.3 percent last month, the second straight month with inflation at that level. The acceleration was occurring because of another jump in energy prices and continued increases in food costs. Meanwhile, the government said that the number of laid off workers filing claims for unemployment benefits rose by 20,000 last week to 339,000, the highest level in four weeks.

WASHINGTON (MarketWatch) - The consumer price index increased 0.3% in October, driven by a 1.4% gain in energy prices, the Labor Department said Thursday. This was the fastest increase in energy prices since May. Food prices rose 0.3%. The core CPI, which excludes food and energy costs, was up 0.2% in October. Economists were expecting the CPI to rise 0.3% in October after a 0.3% gain in September. The core rate was expected to rise 0.2% in October after rising 0.2% in the previous month.

SAN FRANCISCO (MarketWatch) -- Airline shares inched lower in morning trade Wednesday as oil prices resumed their climb above $91 a barrel. The Amex Airline Index fell 0.2% with 10 of 14 stocks in the benchmark index slipping. Crude oil futures were up $1.01 at $91.39 a barrel, as traders bid up the December contract ahead of the Energy Department's weekly report on petroleum inventories. Outside the index, Hawaiian Holdings shares jumped 19.6% to $5.25 a share. Late Tuesday, its flagship carrier Hawaiian Airlines said it had won a ruling over misuse of confidential information in a lawsuit against Mesa Air Group and was awarded $80 million in damages. Mesa Air shares fell 2.9% to $4.95.

WASHINGTON (MarketWatch) - The U.S. economy shook off the worst housing downturn in a generation to grow at a 3.9% annual pace in third quarter, the best performance in six quarters, the Commerce Department estimated Wednesday. The increase in gross domestic product was better than the 3.4% gain expected by economists surveyed by MarketWatch. Growth was well-balanced in the period from July to September, with strong contributions from consumers, exports, capital spending, military spending, and inventory building. Housing investments continued to be a major drag. Despite rising worries about commodity prices, the GDP price index, the broadest measure of price changes in the economy, rose just 0.8% annualized, matching a nine-year low. Consumer prices rose 1.7%, while core consumer prices, which exclude food and energy prices, rose 1.8%, just within the Federal Reserve's target zone.

U.S. consumer prices rose at the sharpest rate in four months during September, the government reported Wednesday, as energy costs picked up after three months of decline. The Labor Department said the Consumer Price Index, the most broadly used gauge of inflation, rose at a 0.3 percent rate last month after declining 0.1 percent in August.

WASHINGTON Consumer inflation rose at the fastest pace in four months in September, reflecting higher energy and food costs. The Labor Department reported Wednesday that its closely watched Consumer Price Index increased by 0.3 percent last month as energy costs, which had been falling for three months, posted an increase and food prices jumped by the largest amount since June. The 0.3 percent CPI increase was slightly above the 0.2 percent advance that economists had been expecting. Core inflation, which excludes energy and food, was up a more moderate 0.2 percent, in li

Consumer inflation rose at the fastest pace in four months in September, reflecting higher energy and food costs. The Labor Department reported Wednesday that its closely watched Consumer Price Index increased by 0.3 percent last month as energy costs,...

WASHINGTON (MarketWatch) - U.S. consumer prices increased 0.3% in September on higher food and energy prices, but core inflation rose a more-moderate 0.2% for the fourth month in a row, the Labor Department reported Wednesday. The 0.3% increase in the consumer price index was the biggest since May. The figures came in exactly as expected by economists surveyed by MarketWatch. The CPI figure will be used by the Social Security Administration to set next year's cost-of-living adjustment for benefits, which are expected to rise 2.8% in January to match the gain in the CPI for workers over the past 12 months. The core CPI, which excludes food and energy prices to get a better look at inflationary trends, has risen 2.1% in the past year.

WASHINGTON (MarketWatch) - Wholesale prices surged 1.1% in September, led by rising energy and food prices, the Labor Department reported Friday. This is the largest increase since February. Energy prices jumped 4.1% in September, the biggest increase since last November. Food prices rose 1.5%. Excluding volatile food and energy, however, the core producer price index rose a less-than-expected 0.1% on lower car prices. Economists expected the PPI to rise 0.4% and the core to rise 0.2%.

ASIAN stocks gained, led by Japanese exporters, after the yen reached a two-month low against the US dollar. BHP Billiton Ltd and Inpex Holdings Ltd fell after oil and copper prices extended their biggest drops in seven weeks. Honda Motor Co, which gets more than half of its sales from North America, climbed to an eight-week high. The Nikkei 225 Stock Average rose as Japan's market, which was closed on Monday, caught up with a rally fueled by a pickup in US hiring. "The improving US outlook has prompted a strengthening in the dollar; that's positive for exporters," said Yoji Takeda, who helps manage about US$900 million at RBC Investment (Asia) Ltd in Hong Kong. Benchmarks in Australia, South Korea, Singapore and Pakistan climbed to records while those in Hong Kong, India, Malaysia, Thailand and Pakistan also rose. They fell elsewhere in the region. The Morgan Stanley Capital International Asia-Pacific Index rose 0.2 percent to 166.04 as of 4:30pm in Tokyo, after earlier gaining as much as 0.5 percent. A measure of materials producers was the biggest drag on the index. "We've seen some weakening in commodity prices over the past few days and that's being reflected in the related stocks," Takeda said. The Nikkei 225 added 0.6 percent to 17,159.90. KK DaVinci Advisors led real estate-related shares higher after Goldman Sachs Group Inc offered to buy Simplex Investment Advisors Inc. US stocks slid on Monday, sending the Standard & Poor's 500 Index 0.3 percent lower. The index rose to a record on Friday after the Labor Department said the number of jobs in the country rose by 110,000 last month, more than the 100,000 additions forecast by economists in a Bloomberg News survey. "Concern about a slowdown in the US economy is easing," said Fujio Ando, who helps oversee US$365 million at Chiba-Gin Asset Management in Tokyo. "The strong jobs data also spurred dollar-buying. That's also positive for Japanese exporters." The yen recently traded at 117.35 per US dollar, compared with 116.59 at the market close on Friday in Tokyo. A weaker yen boosts the value of exporters' dollar-denominated sales when converted into the Japanese currency. Honda rose one percent to 4,020 yen (US$34.28), set for the highest close since August 15. Sony Corp, the maker of the Vaio computer and the PlayStation game console, added 0.5 percent to 5,820 yen. BHP, the world's largest mining company, fell 0.7 percent to A$44.40 (US

COMMODITIES had the biggest monthly gain in September in 32 years, led by wheat, crude oil and gold, as the US dollar's slump enhanced the appeal of energy, grains and precious metals as a hedge against inflation. The 19-commodity Reuters/Jefferies CRB Index was up 8.1 percent last month, the most since July 1975. Wheat climbed to a record in September amid a global grain shortfall, boosting corn and soybeans. Oil also hit a record, and gold reached a 27-year high. The Federal Reserve cut borrowing costs to bolster the American economy, sending the US dollar tumbling. "The Fed has signaled pretty clearly that (it) will answer the problem of a slowing economy with greater liquidity," said Chip Hanlon, who manages US$1 billion at Delta Global Advisors Inc in Huntington Beach, California. "We're in a bullish phase for commodities." The CRB Index rose to 333.67 from 308.76 on August 31. Wheat reached a record US$9.5125 a bushel on Friday. Crude oil climbed to US$83.90 a barrel, the highest ever, on September 20 and approached the record on Friday. Gold rose as high as US$752.80 an ounce on Friday, the highest since January 1980. The US dollar fell to a record against a weighted basket of six major currencies, including the euro, yen and pound. The Fed on September 18 cut its benchmark rate by 0.5 percentage point, more than economists forecast, to 4.75 percent in an attempt to shore up an economy threatened by a housing recession, according to Bloomberg News. The rate cut sparked inflation concerns. Some investors buy commodities to hedge against rising consumer prices, and the falling dollar makes raw materials priced in the United States currency cheaper for buyers holding other currencies. The cut in US borrowing costs will continue to weaken the dollar and lead to "skyrocketing" prices for commodities, Jim Rogers, chairman of Beeland Interests Inc, said in an interview last week. He co-founded the Quantum Hedge Fund with George Soros in the 1970s. Wheat rose on Friday after the US Department of Agriculture said US production and supplies were smaller than analysts expected. Global inventories are poised to decline to the lowest level in 26 years. Wheat futures for December delivery rose six US cents, or 0.6 percent, to US$9.39 a bushel on the Chicago Board of Trade. The price was up 22 percent this month and has more than doubled in the past 12 months.

STOCKS dipped a bit yesterday, the last trading day of the third quarter, with Wall Street relieved about solid readings on the economy but cautious ahead of October's corporate earnings reports. The market's losses were small, thanks to positive reports on consumer spending, construction spending, inflation and Midwest manufacturing. Though strong economic data might lower the chance that the Federal Reserve will further reduce rates, the tame inflation measure kept hopes of a rate cut alive. Last week the Fed, reacting to August's tightening credit and plunging stocks, helped restore confidence in the financial markets by decreasing the federal funds rate target by a half point to 4.75 percent. The central bank's rate decrease, the first in four years, helped the major stock indexes finish in positive territory for the quarter. "A second Fed cut will go a long way in reassuring the stock market that the worst is over. The focus going forward will be whether the Fed is going to lower rates to shore this up, or decide the risk of inflation is too high," said Janna Sampson, director of portfolio management at Oakbrook Investments. Though energy and food prices are surging, core inflation has been within the Fed's comfort zone of 1 percent to 2 percent. The Commerce Department's consumer spending report showed that a key core inflation gauge logged a year-over-year rise in August of 1.8 percent _ the smallest increase since a similar rise in February 2004. But continuing to weigh on investors is the concern that corporate profits dropped off in the third quarter. Yesterday is the last trading day of one of the most volatile periods in years, one that pulled stocks sharply lower after the Dow Jones industrial average closed at a record 14,000.41 in mid-July. Wall Street now is bracing for signs, ahead of the mid-October onslaught of earnings reports, of how companies fared during the summer's tumult. The Dow slipped 17.31, or 0.12 percent, to 13,895.63. The blue-chip index ended the third quarter 3.6 percent higher, and is up 11.5 percent for the year. The Standard & Poor's 500 index fell 4.63, or 0.30 percent, to 1,526.75, finishing the quarter up 1.6 percent. The S&P is up 7.7 percent for the year. The Nasdaq composite index fell 8.09, or 0.30 percent, to 2,701.50, and closed the quarter with a gain of 3.8 percent. The Nasdaq is up 11.9 percent for the year. But the Russell 2000 index of smaller companies has not recover

CHINA'S futures brokerages are adding capital to prepare for the trading of stock index futures, the securities watchdog said in a conference in Beijing yesterday. "Fifty futures brokerages out of a total number of 163 firms have completed boosting their capital," said Huang Yuncheng, vice director of the China Securities Regulatory Commission's futures department, adding that 35 of them now have registered capital of more than 100 million yuan (US$13.3 million). Index futures would give China investors a mechanism to sell short in the stock market, betting on a drop in prices. That may help deflate the nation's rising stocks, the value of which exceeded the 2006 gross domestic product of US$2.8 trillion for the first time on August 9, said Bloomberg News. Futures brokerages need to meet the regulator's capital requirements to be able to trade and clear stock index futures. Of the futures brokers with the most registered capital, 32 are controlled by securities companies, according to Huang.