G7 Nations Develop Financial Industry Cybersecurity Guidelines
October 11, 2016
Plus U.S. Supreme Court declines to hear tobacco arbitration dispute, NFIB Small Business Optimism Index falls in September.
- G7 Nations Develop Financial Industry Cybersecurity Guidelines. The G7 nations on Tuesday revealed a new framework to promote cybersecurity in the financial services sector. The Group of Seven, which includes the U.S., Canada, France, Germany, Italy, Japan, and the UK, is urging companies to adopt good cybersecurity strategies such as risk management, general cyber hygiene, developing recovery plans and adapting to keep up with changing threats and the risk landscape. [The Hill]
- U.S. Supreme Court declines to hear tobacco arbitration dispute. On Tuesday, the U.S. Supreme Court let stand lower court rulings allowing Pennsylvania and Maryland to keep tens of millions of dollars in a dispute with tobacco companies involving a massive 1998 settlement over deceptive marketing and advertising of cigarettes. The higher court declined to hear appeals, filed by the companies that were part of the settlement, of rulings that had favored Pennsylvania and Maryland regarding the amount of the annual payment that those states should receive under the deal. Under the landmark settlement reached with 46 states, the largest U.S. tobacco companies promised to pay about $200 billion over 25 years to states in order to settle lawsuits over cigarette-related public health costs. Among other provisions, the deal imposed restrictions on the sale and marketing of cigarettes, including preventing ads from targeting children. [Reuters]
Economic Indicators & News
- NFIB Small Business Optimism Index. The NFIB small business optimism index fell 0.3 points in September to 94.1, marking the second consecutive monthly decline and disappointing expectations of an increase that would resume the weak rebound from the 2-year-low at 92.9 in March. Increased inventories fell seven points while hard-to-fill job openings plunged six points landing at 24 percent. Six of the 10 indices dropped, which washed away the rise in expected business conditions. In the labor markets, 58 percent reported hiring or trying to hire, but 48 percent reported few or no qualified applicants for the positions they were trying to fill. In terms of inventories and sales, the net percent of all owners reporting higher nominal sales in the past 3 months compared to the prior 3 months improved by 3 percentage points to a net negative 6 percent. Regarding capital spending, 55 percent reported capital outlays, down 2 points from August following a similar 2 point decline in July. In terms of wages, a seasonally adjusted 22 percent of owners reported raising worker compensation, down 2 points, squeezed by an inability to raise price limits due to low inflation. The divisiveness of the presidential election and volatility of the general economy have made business owners deeply uncertain about the future. [NFIB]