In today's news: The Dow is on a losing streak, gas prices may drop soon, a wildfire goes on a power trip, a double-dip recession isn't as remote as it once was, and Groupon makes money and loses money.
Six straight losing weeks has pushed the Dow Jones Industrial Average below 12,000 for the first time since March. “Traders worry that weaker hiring, sluggish industrial output, and a moribund housing market are reversing a bull market that has lifted the Dow 20 percent over the past year,” USA Today reports.
Everyone’s worried about higher summer gas prices. But could they actually drop? “First, demand has fallen,” MSNBC reports, adding, “In the U.S., oil stocks are well above their five-year average for this time of year.”
Arizona’s wildfires are spreading so fast, even people far away are threatened – with power outages. “The eastern edge of the fire is about 8 miles away from transmission lines connecting Tucson, Arizona, to two power plants,” Bloomberg reports.
ECONOMY: Recession risk: Small, but growing
Most economists still think a double-dip recession is remote, but more of them are worried about it these days. “The odds are a lot less long than they were just a little while ago,” CNN reports. “Most of the economists surveyed, even those who are not worried about a recession, have cut their forecasts for growth in the second quarter.”
It sure looks impressive: “Groupon’s first-quarter revenue jumped 1,475 percent from a year earlier, dwarfing the first-to-second-year results of such legendary Internet growth names as Google, Amazon, and eBay.” But even so, the company still lost a whopping $450 million in the same quarter.