Retail sales keep giving

Retail sales rebounded in November, California extends operations of its last nuclear plant, and more [View this email in your browser]( [What makes a subscription to The Week so valuable now? Click the banner]( [The Week]( Daily business briefing 1. [Retail sales bounced back in November]( Retail sales rebounded in November after falling in October, the Commerce Department reported Thursday. Sales rose 0.3% in November compared to the previous month — adjusted for seasonal swings but not inflation, CNN noted. Economists had been expecting an increase of just 0.2%, according to FactSet. Excluding gas station sales, retail sales were up 0.6%. The better-than-expected data provided the latest evidence that consumers remain resilient after months of high inflation, putting the [crucial holiday shopping season]( off to a strong start. The Labor Department reported earlier in the week that consumer prices were up 3.1% in November from a year earlier, just below October's 3.2% inflation rate. [CNN]( 2. [California extends life of its last nuclear plant]( The California Public Utilities Commission voted Thursday to keep the Diablo Canyon Power Plant operating for six more years, five years longer than previously planned. The twin reactors near San Luis Obispo will preserve a large part of California's zero-emission power supply, according to the Los Angeles Times. State energy commissioners said the state's last nuclear power plant would provide a bridge to renewable energy. Extending the use of the aging plant raised concerns about costs and potential safety issues. A consumer group said the move could increase electric bills. Pacific Gas & Electric Co., the plant's operator, said it was "grateful" for the decision, which it said would help ensure a reliable energy supply. [Los Angeles Times]( [San Diego Union-Tribune]( 3. [30-year mortgage rate falls to lowest since August]( The average 30-year fixed-rate mortgage fell to 6.95% from 7.03% last week, mortgage buyer Freddie Mac said Thursday. The decline, announced a day after the Federal Reserve said it might cut interest rates three times next year now that inflation is cooling, marked the first time since August that long-term mortgage rates dropped under 7%. A year ago, the average rate was 6.31%. It peaked in late October at 7.79%. Falling rates are expected to help would-be homebuyers who have been kept out of the market by high borrowing costs coupled with [still-high real estate prices](. [The Associated Press]( 4. [US to impose pricing penalties on 48 drugs]( The Biden administration said Thursday it would impose pricing penalties on 48 drugs in the Medicare program that have grown costlier, outpacing inflation in the fourth quarter of the year. The manufacturers of the drugs might have to pay rebates, Reuters reported. [President Joe Biden's signature Inflation Reduction Act]( lets the administration penalize drugmakers who sell prescription medicines through Medicare, the government program providing health coverage for disabled people and those age 65 and older. Rebates for Medicare recipients could cut their co-insurance costs by between $1 and $2,786 per dose. Biden said big pharmaceutical companies "jacked up" prices at nearly four times the inflation rate in the year before the legislation passed. [Reuters]( Advertisement by Lifebook [Create a Lasting Legacy]( 5. [Stock futures rise after the Dow sets another record]( U.S. stock futures rose early Friday, putting the Dow Jones Industrial Average in position to build on its record-setting rally. Futures tied to the Dow, the S&P 500 and the Nasdaq were up 0.3% at 7 a.m. ET. The Dow gained 0.4% on Thursday to close at 37,248.35, the 30-stock index's second straight record close. The S&P 500 rose 0.3%, nearing a record high. Stocks rallied this week after the Federal Reserve said Wednesday that its rate hikes have helped cool inflation to the point it could cut rates three times in 2024. The Dow is up 2.8% this week. The S&P 500 and the tech-heavy Nasdaq are both up 2.5%. [CNBC]( [Share to Facebook]( [Share to Twitter]( [Share via email](mailto:?Subject= Stock futures rise after the Dow sets another record &body=Read the story here utm_campaign=business_briefing_newsletter_20231215&utm_source=business_briefing_newsletter)   [Read more business stories at theweek.com](     [Play The Week's daily puzzles](   Popular reads [Stumped on gift ideas? Consider these financial gifts.]( [Will the Supreme Court legalize the insurrection?]( [EU approves Ukraine membership talks, fails on aid](   [Read more on theweek.com](     [What makes a subscription to The Week so valuable now? Click the banner](   © Future US, Inc • [theweek.com]( [Unsubscribe from this newsletter]( [Privacy Policy]( The Week is published by Future US, Inc. Full 7th Floor, 130 West 42nd Street, New York, NY, 10036.