Global Glance: What to watch from the Federal Reserve; Uber sheds officials, makes more major changes

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Here are today’s top business headlines from across the nation and world:

3 things to watch from the Federal Reserve on Wednesday

WASHINGTON (AP) — There isn’t much suspense about what the Fed will announce when its latest policy meeting ends Wednesday: That it’s raising its key short-term interest rate for the third time in six months. The job market – with unemployment at a 16-year low of 4.3 percent – has improved to such an extent that the Fed is thought to feel it’s time to modestly raise its benchmark rate again. The move, to a still-low range of 1 percent to 1.25 percent, will likely lead to somewhat higher rates on some consumer and business loans. But beyond the announcement of another rate hike, anticipation surrounds the possibility that the Fed could signal policy shifts in a statement it will issue, in updated economic forecasts and in a news conference with Chair Janet Yellen. Read more

Uber sheds officials, faces more major changes

SAN FRANCISCO (AP) — Freewheeling Uber faces major change. Its board is cracking down, its founder and CEO is stepping away indefinitely, and the company itself is coming to grips with measures intended to reform its toxic culture and aggressive business practices. And it all started when Susan Fowler, a former Uber engineer, posted a personal essay in February that detailed the company’s toleration of sexual harassment and discrimination. Had she not come forward in such a public manner, it’s possible none of this would have happened. Read more

IMF urges China to speed up action on mounting debt

BEIJING (AP) — The International Monetary Fund has urged China to speed up reforms meant to slow surging growth of debt that is fueling concern about the stability of its financial system. The IMF’s first deputy managing director, David Lipton, said Tuesday after meeting Chinese officials the reform process must accelerate to avoid a “sharp adjustment” in the slowing economy. China faces mounting warnings that its rapidly rising debt load since the 2008 financial crisis could depress economic growth or threaten the health of banks. The Moody’s ratings agency cut China’s credit rating on May 25, citing rising debt risks. Read more

Verizon takes over Yahoo to complete $4.5 billion deal

SAN FRANCISCO (AP) — Verizon has taken over Yahoo, completing a $4.5 billion deal that will usher in a new management team to attempt to wring more advertising revenue from one of the internet’s best-known brands. Tuesday’s closure of the sale ends Yahoo’s 21-year history as a publicly traded company. It also ends the nearly five-year reign of Yahoo CEO Marissa Mayer, who isn’t joining Verizon. She will walk away from Yahoo with a compensation package currently worth about $125 million. Yahoo’s email and other digital services such as sports, finance and news will be run by Tim Armstrong, who has been running AOL since Verizon bought that company for $4.4 billion two years ago. Read more

US oil production seen thwarting OPEC efforts to boost prices

PARIS (AP) — OPEC’s plan to cut production and support prices is likely to be undone by increased output in the U.S., the International Energy Agency predicted Wednesday. If correct, that could keep a lid on oil and energy prices as a glut of supply grows despite the efforts of countries in the OPEC cartel and allies like Russia to limit production. Read more


UK election throws up wider array of Brexit alternatives

LONDON (AP) — Prime Minister Theresa May had hoped the election would provide more certainty to Britain’s exit from the European Union. Her failure to even retain a majority has delivered anything but, throwing up an even wider array of Brexit scenarios. One analysis of the vote’s outcome points to a “softer” Brexit, one that leaves Britain with some degree of privileged trade access to the EU’s massive, tariff-less single market. A diminished Conservative Party had been threatening to break away completely from the EU’s single market, but could now have to compromise. Read more

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