By Maxine Shapiro, KERA 90.1 business commentator
Dallas, TX – It's Friday so "It's Only Money," a review of the big and not-so-big stories of the week. I'm Maxine Shapiro with KERA Marketplace Middays.
Well, yippee ... the unemployment rate actually fell for the month of August. Boy, we needed to hear that. Expectations were actually for a rise. It came it at 5.7%. Now let's hope that some North Texans are off the line. The Labor Department also announced a revision in the July payroll numbers. Instead of only 6,000 new jobs in July, there were 65,000 new jobs. I'll take it, but someone's got to do a better job in surveying businesses. The stock market is rallying today on this news as well as no negative news from Intel, thank goodness. And after this gloomy start of the month, it's welcomed.
Disappointing retail sales for August helped keep the market down earlier this week. For the Metroplex, Fort Worth-based Pier One is happy as a lark. Their August sales came in higher-than-expected. Neiman Marcus shoppers must be settling with current closet conditions. Their group same-store sales fell 3%. J.C. Penney Company same store sales rose almost 3%. Last year, the increase was 7.5%. Their Eckerd sales were up but not as hoped. The Dallas Business Journal reports that Penney believes they were hurt by lower pharmacy inflation, primarily from generic drugs.
I say, keep making those generics, keep buying those generics and let Eckerd think of another way to make a profit on us. I'm not a big proponent of huge profit margins on drugs. Too many people go without because they can't afford the proper medications. Irving-based Michael's Stores keep proving that with the right supplies, we are a creative bunch. Their same-store sales were up 6%.
And in keeping up with the oversaturated, over-carbonated beverage industry, Plano-based Dr. Pepper/7-Up will introduce North Texans in November to their new drink. It's called dnL (capital L). Write 7-Up, turn it upside down and that's what you get. I'm speechless. For KERA Marketplace Middays, I'm Maxine Shapiro.
Marketplace Midday Reports air on KERA 90.1 Monday - Friday at 1:04 p.m. To contact Maxine Shapiro, please send emails to mshapiro@kera.org.