6 Most Important Things in Business Today
Crude prices rocketed higher after the United States pulled out of the Iran deal. According to Reuters:
Oil prices clocked up more multi-year highs on Thursday as traders adjusted to the prospects of renewed U.S. sanctions against major crude exporter Iran amid an already tightening market.
The United States plans to impose new sanctions against Iran, which produces around 4 percent of global oil supplies, after abandoning an agreement reached in late 2015 which limited Tehran’s nuclear ambitions in exchange for removing U.S.-Europe sanctions.
Wells Fargo & Co. (NYSE: WFC) may get into more trouble with regulators. According to The Wall Street Journal:
Wells Fargo & Co. has acknowledged that it pocketed fee rebates that should have been passed on to a public pension fund in Tennessee while acting as its trustee, according to correspondence between the fund and the bank reviewed by The Wall Street Journal.
The bank owned up to the problem in late April after the Chattanooga Fire & Police Pension Fund had spent months questioning Wells Fargo officials about fee practices in its institutional retirement and trust unit, according to the correspondence. The bank said in the correspondence that the improperly retained fee rebates resulted from “a system set-up error.”
Tesla Inc. (NASDAQ: TSLA) must answer for another death in one of its cars. According to The Wall Street Journal:
A U.S. transportation-safety agency said it would begin examining the fiery crash of a Tesla Inc. Model S car that killed two teenagers here Tuesday evening, marking the fourth active federal probe involving the company’s vehicles.
The National Transportation Safety Board said Wednesday it is initially focusing its latest investigation on the emergency response to the fire created by the electric car’s lithium-ion battery. The agency added that at this time it doesn’t anticipate Tesla’s driver-assistance system Autopilot being part of the investigation.
A Chinese telecom company may close because its business in the United States has been blocked by the government. According to Bloomberg:
ZTE Corp. has suspended all major activities after the U.S. crippled its ability to buy crucial American technology, signaling the potential collapse of one of the world’s largest makers of phones and networking gear.
China’s No. 2 telecom equipment maker said it remains intent on resolving a seven-year blockade Washington imposed as punishment for violating the terms of a 2017 sanctions settlement, then lying about it. That however cut off access to the components it needs to build most of its products, from Qualcomm Inc.’s semiconductors to optical chips from Lumentum Holdings Inc.
The eruption of a volcano in Hawaii could get worse. According to the AP:
Hawaii’s Kilauea volcano could soon send boulders and ash shooting out of its summit crater in the kind of explosive eruption last displayed nearly a century ago.
Scientists said Wednesday the risks of an explosive summit eruption will rise in coming weeks as magma drains down the flank of the volcano toward the area where began erupting lava in a residential neighborhood last week.
A summit explosion could also release ash, steam and sulfur dioxide emissions.
Several cities have been cleared for drone tests. According to CNNMoney:
The US Department of Transportation announced Wednesday that 10 state and local governments have been selected to test advanced drone applications as part of a program to ease them into American skies.
The selected cities are San Diego, California; Reno, Nevada; Bismark [sic], North Dakota; Memphis, Tennessee; Durant, Oklahoma; Herndon, Virginia; Topeka, Kansas; Raleigh, North Carolina; Fort Myers, Florida, and Fairbanks, Alaska.