Morning Business Report: Markets soar, manufacturing faces labor crunch
LILAMAX With the Dow Jones Industrial Average rising 429 points and the S&P 500 reaching a new all-time high, Wall Street ended a successful week on Friday. Pre-market futures point to another successful day for investors, and early indicators indicate the rise may continue.
However, American manufacturing is confronted with a significant obstacle underlying the stock market boom. The Bureau of Labor Statistics estimates that the United States is lacking about 400,000 blue-collar workers. Companies are finding it difficult to recruit and retain younger workers when older factory workers retire. They attribute this to a drop in vocational training and social pressure to prioritize four-year college degrees over trade skills.
In the meanwhile, the electric car industry is seeing a rapid pace of innovation. Starting in Florida, a group of former SpaceX engineers has partnered with Costco to install lightning-fast EV charging stations at specific sites. Customers can shop during the ideal window for charging, since the chargers can fuel a vehicle up to 80% in just 20 to 60 minutes, according to industry newspaper Electrek.According to USA Today, the collaboration may spread to additional Costco locations across the country.
The parent company of Olive Garden and LongHorn Steakhouse, Darden Restaurants, revealed intentions to launch 45 new restaurants in the upcoming year. At the moment, Darden owns about 2,100 eateries in the United States, including upscale establishments like Yard House, The Capital Grille, and Ruth’s Chris Steak House. The company’s 2024 revenue was $12 billion.
Gen Z is getting ahead of earlier generations, who may have put off thinking about retiring longer. Americans between the ages of 18 and 28 are making earlier and larger contributions to 401(k) and IRA accounts than previous generations, according to a recent Vanguard survey. The trend is being driven by concerns about the future of Social Security as well as the impact of AI technologies and financial podcasts. Notably, Gen Z women are setting the standard, since 54% of them have already surpassed their male counterparts in retirement savings.
