In brief: New Fed survey finds U.S. economy growing
WASHINGTON – The U.S. economy kept expanding in October and November, helped by solid gains in consumer spending, manufacturing and overall employment, according to the Federal Reserve’s latest survey of business conditions around the country.
The Fed survey found many areas of strength, and for the first time this year, the report did not see a need to qualify its summary of growth by using words like “modest” and “moderate.”
The Fed said business executives remain optimistic about the prospects for growth in 2015. The gains in economic activity were coming as overall inflation remained subdued, although the report did find upward wage pressures for some skilled workers.
The report, known as the Beige Book for the color of its cover, will form the basis for discussion at the Fed’s final policy-making meeting of the year on Dec. 16-17.
Private economists viewed the latest report as generally upbeat about economic prospects. Jennifer Lee, senior economist at BMO Capital Markets, said she found it encouraging that there was enough activity in hiring and business investment that the Fed saw the need to add a section to the report detailing developments in these areas.
Analysts said the views on economic performance suggest the Fed will leave a key short-term interest rate at a record low for the time being.
Shareholders approve Microsoft CEO’s pay
SAN FRANCISCO – Microsoft shareholders gave a lukewarm vote of approval Wednesday for CEO Satya Nadella’s $84 million pay package, after an investor advisory group said the company was paying him too much.
Nadella’s pay package puts him among the highest-paid CEOs in the country for last year, although his pay as a first-year CEO falls short of the $378 million that Apple awarded to Tim Cook when he became CEO in 2011. Oracle CEO Larry Ellison was awarded stock options and other pay valued at $67.3 million last year. Former Microsoft CEO Steve Ballmer was paid $1.3 million in 2013, but he held shares worth nearly $16 billion.
An advisory vote on Microsoft’s executive pay program won approval from more than 72 percent of shareholder votes cast, the company said after its annual shareholder meeting on Wednesday.
Nielsen: Streaming TV audience is growing
NEW YORK – Americans are turning away from live TV on the tube and tuning in to streaming services, a Nielsen report says.
That’s bad news for cable and satellite TV providers. Americans are increasingly watching TV shows and movies on Netflix, Hulu, Amazon streaming and other services. CBS and HBO have announced stand-alone streaming services as well.
About 45 percent of Americans stream television shows at least once a month, according to research firm eMarketer. That number is expected to increase to 53 percent or 175 million people by 2018, it says.
According to the Nielsen report, which came out Wednesday, the average daily time spent watching live TV fell 12 minutes in the third quarter to four hours and 32 minutes. That means it dropped nearly 4 percent to 141 hours per month.
Meanwhile, time spent watching streaming services jumped 60 percent to nearly 11 hours each month.