Homebuilders are feeling less confident in the recovery now that government incentives for buyers have expired. Their pessimism could drag on the economy, which may not benefit so much from the job creation that construction typically generates throughout various sectors. The National Association of Home Builders said Tuesday its housing market index fell to 17 in June, sinking 5 points after two straight months of increases. It was the lowest level since March. Builders had been more optimistic earlier in the year when buyers could take advantage of tax credits of up to $8,000.
Japan consumers wild for new iPhone
Japan is already wild for Apple’s latest iPhone. Pre-orders began Tuesday at 5 p.m., and the early rush for the iPhone 4 led to long lines around Tokyo and overwhelmed computer servers struggling to keep up with demand. Customers were instructed to submit reservations online with Softbank Mobile Corp., the iPhone’s exclusive carrier in Japan, or at any of its retail outlets. Japan’s seven Apple Stores were also taking pre-orders ahead of the June 24 launch. Japan — along with the U.S., U.K., France and Germany — will be among the first countries where the iPhone 4 will go on sale. The latest model will feature a higher-resolution screen, longer battery life and thinner design.
Best Buy earnings worse than expected
Electronics retailer Best Buy reported worse-than-expected first-quarter earnings as the company spent more to promote its services and consumers held back on pricey electronics purchases. Shares fell almost 6 percent in morning trading. The Minneapolis company said Tuesday that consumers bought more cell phones at its mobile unit in the first quarter, but sales of TVs, gaming, music and movies were weaker. Sales of notebook computers, mobile phones and appliances were strong, and the number of TVs sold actually rose, but that was offset by a decline in TV prices. Best Buy Co. said its net income edged up 1 percent to $155 million, or 36 cents per share, during the three months ended May 29 from $153 million, or 36 cents per share, a year ago.
Nintendo shows off 3-D game system
Nintendo is showing off its 3-D handheld gaming system and introducing updates to classic game franchises including “Donkey Kong” and “Kirby.” It’s part of an effort by Nintendo to stay ahead of its rivals by sticking to what it knows best — video games. Meanwhile, Sony and Microsoft are working to expand the reach of their consoles beyond gaming. At the E3 Expo in Los Angeles on Tuesday, an industry conference of 45,000, Nintendo introduced the 3DS, the latest version of its popular handheld device. But unlike other attempts at 3-D screens, the gadget works without special glasses. Wedbush Morgan analyst Michael Pachter says Nintendo “blew people away.”
From Herald news services
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