Marketplace Morning Report
Start your day with an up-to-the-minute report on the world of business and finance with host David Brancaccio.
Proctor & Gamble of Cincinnati finds itself with a big problem today in Latin America: the biggest soap and household products company on the planet has been ordered to suspend its operations in Argentina. Why? The Argentine government accuses Procter & Gamble of an elaborate tax swindle. Also on the show, the boss at the one of the most recognizable brands in America stopped by the other day. Howard Schultz CEO of Starbuck's has a new book that comes out tomorrow, titled "For Love of Country: What Our Veterans Can Teach Us About Citizenship, Heroism, and Sacrifice." His co-author also came in: Rajiv Chandrasekarin, a Washington Post reporter who covered the wars in Iraq and Afghanistan. Starbuck's has pledged to hire 10,000 veterans and their spouses within five years.
A breathtaking surprise—without warning—Japan's central bank dramatically increased its stimulus. The Bank of Japan will now buy another mountain of government bonds to pump cash into an economy that's been drooping for decades. The key stock index in Tokyo, the Nikkei, went up four point 8 percent today. That's a seven year high and is like the Dow going 825 points in a single day. More on that. And in honor of Marketplace's 25th anniversary this year, we're looking at some of the surprising ways prices have changed over the last quarter century. So naturally we looked at the cost of going to college. Tuition and fees at public universities have risen more than 185 percent adjusted for inflation since we first went on the air. But that's just part of the story.
They're probably not sad about it, but the overseas oil cartel says these low crude prices could really hurt America's domestic oil production. More on that. Next, we head to the politics of mixing fizzy drinks at home. Sodastream, based in Isreal, today released its quarterly profits...and something else. Plus, imagine if you had a new boss every few years. That's what's happening in many of our schools. Half of new principals leave in their third year on the job. A new report looks at the cost of that turnover to schools and kids. And in five days, the polls will be open. And with gains for republicans predicted but not assured, we check in with Stan Collender, who contributes to Forbes, and who tracks the future of the federal budget like a gearhead follows cars.
The unmanned rocket that exploded soon after take off from Virginia last evening was built and launched not by NASA but a publicly traded private company called Orbital Sciences Corporation. There were no human casualties after the 14-story Antares rocket somehow failed and collapsed back onto the launchpad in a fireball. It was carrying more than five thousand pounds of cargo destined for the International Space Station. We take a look at the shift of the space program toward the private sector. And Southern California's huge port has been making headlines amid congestion and shipping delays. But ports all over the world are also running into the challenge of megaships. Some container vessels are now three and a half football fields long, and they're overwhelming ports. More on that. Plus, you've heard of so-called Super foods, but the beauty industry has its own stuff advertised as "super." A hot seller now is Moroccan hair oil. $41 for 3.4 ounces. More on why it costs so much.
One class of stocks that has had a bad month: oil companies. Today, London-based BP reported profits down by $3 billion. This in part because of western sanctions against Russia, but also because oil prices have been falling sharply. Though, it may not be time to take up a collection for oil companies like BP. More on that. Plus, the Federal Reserve's Open Market Committee begins two days of meetings today, and if everything goes as expected, tomorrow it will announce an end to the stimulus known as "quantitative easing." We take a look at what's next. And some U.S. colleges have faced declining enrollment since the recession began. But changes to a federal loan program in 2011 have hit especially hard some historically black colleges and universities.
Stock prices in Europe are generally down this morning, especially in Italy where the key index is down 2.1 percent. This after the European Central Bank Sunday released results of its so-called "stress tests": simulations of what would happen to banks in another crisis. 25 banks failed, but some have bulked up on their reserves since the tests, leaving 13 banks that appear weak, including an Italian Bank called Monte dei Paschi. More on that. Plus, Treasury Secretary Jack Lew will be in Africa this week. On the agenda will be policies like President Obama's Power Africa initiative, which seeks to bring an additional 30,000 megawatts of electricity to Africa. What do we hope will come of the trip? And ahead of the midterm elections next week, state and local candidates are using tools the presidential campaigns pioneered two years ago, and they're testing out technology designed to get out the vote in 2016.