Market Minute: U.S. Steel Girds for Changes; Eli Lilly Goes to Court

U.S. Steel girds for big changes, and Eli Lilly faces a big court date. Those stocks and more are what's in business news Monday.

The Dow Jones industrial average (^DJI) suffered its worst weekly loss this year, tumbling more than 2 percent last week. The Standard & Poor's 500 index (^GPSC) also slid percent, and the Nasdaq composite index (^IXIC) fell 1.6 percent.

U.S. Steel (X) is shaking up its top management. The CEO is stepping down, replaced by the company's president. The chief operating officer is also being replaced. Last week U.S. Steel posted a quarterly loss, as the industry deals with declining prices.

A woman walks past a sign at the entrance to the Eli Lilly & Co. corporate headquarters in Indianapolis, Monday, Sept. 14, 2009. Seeking to cut costs and bring new drugs to market more quickly as its best-sellers go off-patent, drugmaker Eli Lilly & Co. said Monday it will eliminate 5,500 jobs over two years and reorganize into five business units. (AP Photo/AJ Mast)
AJ Mast/AP
An important patent dispute goes to court Monday. Eli Lilly & Co. (LLY) is defending a patent on its multibillion dollar lung cancer medicine. The Wall Street Journal reports this case could be pivotal to Lilly's future. It's seeking protection for the drug until at least 2022, but a loss would mean generic competition five years before that.

JPMorgan Chase (JPM) is reportedly the subject of a bribery probe by U.S. regulators. The New York Times reports that the banking giant hired the children of influential Chinese officials in order to win business contracts there. The Times notes that JPMorgan hasn't been accused of any wrongdoing, but a Securities and Exchange Commission filing does indicate that some of those employees may not have been qualified for their positions.

News Corp. (NWS) faces more trouble more than two years after officials in London began investigating the company's newspaper employees for illegally snooping on the voicemail messages of certain newsmakers. Now, reports say the company itself could face criminal charges related to the phone hacking scandal, as well as bribery charges.

And, what will the new iPhone offer? Well for one thing, a new color option. According to TechCrunch, Apple's (AAPL) iPhone 5S will be offered with a gold-tinted aluminum cover.

-Produced by Drew Trachtenberg.

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Jay Thomas

I'm going to take a wild guess and say that mac2jr is from China. The America hate and misinformation from him is strong.

August 24 2013 at 6:10 AM Report abuse -1 rate up rate down Reply
1 reply to Jay Thomas's comment
Jacob Guiness

Yeah he hates the nation overall not JUST the establishment... Hmmm maybe it isn't the whole nation! Let's not get into this crap debate where we all spew nonsense without sources and make others waste time looking petty tripe up.

August 24 2013 at 6:55 AM Report abuse rate up rate down Reply
Tolerant Voice

The new president of USS could do more good for the steel industry and manufacturers in general if he would get Congress to require products SOLD in the US be made with the same laws as MADE in the US. Congress has put tariffs on US manufacturers from which Congress exempts offshore manufacturers. As long as this condition exists US manufacturers will never recover much, if any, of the US market.

August 19 2013 at 12:06 PM Report abuse +2 rate up rate down Reply

Well the management at US Steel jumped too fast. This is just a blip on the graph.
Steel is made from mostly iron. All of the easy to get iron ore has been dug up. What's left is the hard rock stuff that needs to be ground and pulverized by energy gobbling machines and then separated by electro magnets. It costs 5 times more to get iron this way verses melting scrap, but the scrap supply is starting to dwindle. The Chinese already know this and they are buying iron/steel scrap as fast as they can bring the barges into port and it's still not enough.
And a considerable portion of the structural steel is simply rusting away and disolving.
So, every year there is less scrap to smelt. The average US auto junk yard contains almost $1,000,000.00 worth of scrap steel.

August 19 2013 at 11:49 AM Report abuse rate up rate down Reply
mike at home

It cost lots of money to develop drugs and hope Lilly wins this one. All companies are in business to make max profit and if they can not do it here then time to establish business where they can thank you

August 19 2013 at 11:29 AM Report abuse rate up rate down Reply


August 19 2013 at 11:28 AM Report abuse rate up rate down Reply