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Investor's Business Daily

| November 01, 2002 | COPYRIGHT 2002 Investor's Business Daily, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

Q3 GDP Expanded At 3.1% Pace

1That was less than the 3.6% annual rate expected. Consumer spending stayed strong, rising at a 4.2% pace, thanks to surging auto sales. Business investment, seen as crucial to a sustained recovery, rose for the first time in two years. But consumer and manufacturing weakness suggest much slower growth in Q4. More on this page, A2

Midwest Factories Slowed In Oct.

2The Chicago purchasers' index fell 2.2 points to 45.9, an eight-month low and the second straight month below pivotal 50. A small rise was expected. It's the latest sign manufacturing and the broader economy are stalling. The data raise the odds for a Fed rate cut next week. The national manufacturing index is due Friday. More on this page

New Jobless Claims Top 400,000

3First-time claims rose 16,000 to 410,000 in the week ended Oct. 26. Continuing claims climbed 76,000 to 3.6 mil in the Oct. 19 week. The data come a day before the key Oct. employment report. Economists expect a token rise in nonfarm jobless as unemployment ticks up to 5.8%. Weak data would help cinch an expected Fed rate cut Wed.

Microsoft Judge Will Rule Friday

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