Morning Money Memo…
The first presidential veto of an international trade ruling in more than a quarter of a century may lead to more copyright battles over smartphone technology. The veto ended a ban on imports of some Apple iPads and older iPhones. The U.S. International Trade Commission had ruled in June that Chinese-made Apple devices violated a patent held by Samsung and couldn't be imported. Samsung shares dropped 1 percent in Seoul overnight. The veto could lead to retaliation by Samsung, which has been in a global legal battle with Apple over smartphones. "Increasingly, those companies have been using patents to try to hobble rivals in a mobile-device market expected to top $400 billion this year," reports today's Wall Street Journal. Last year the number of U.S. patent cases rose sharply.
Car dashboard CD players are in danger of becoming extinct. JP Power studies show that a declining number of motorists are listening to CDs in cars as use of streaming radio, iPods, smartphones has been growing. Cadillac, Chevrolet, the Jeep Grand Cherokee, and Tesla Model S are among brands that are doing away with CD players on the dashboard. As cars and trucks are redesigned the trend is likely to grow. CD devices are an option in some models to be found in the central armrest or glove compartment, but "in the 2014 Kia Soul and 2013 Chevrolet Spark, you can't buy a CD player in any trim," reports cars.com.
The stock market's 2013 rally continues with stock averages adding to their gains during the first two trading days of August. The S&P 500 ended last week 1 percent higher despite Friday's weak jobs report, which showed a decline in wages and the average work week. This week's most interesting report may be consumer credit for June, to be released on Wednesdays. In recent months credit use has been rising, which could be good news for retailers. Investors will also be watching today's services sector index from The Institute for Supply Management.
The dispute between Time Warner Cable and CBS could drag on for weeks. CBS-owned stations and cable programming have been taken off Time Warner systems in New York, Los Angeles and Dallas. The spat is over fees, and CBS says there are currently no negotiations. Time Warner has called the fee increase demanded by CBS for supplying programming "exorbitant," saying costs would be passed on to customers.
Another giant bank has reported a strong gain in profits. HSBC earned $10.8 billion in the first half of this year, increase of 23 percent compared with 2012. The global bank has been cutting costs and selling off parts of its business.
Richard Davies Business Correspondent ABC News Radio abcnews.com Twitter: daviesabc