this is "nightly business re with tyler mathisen and sue herera. market cat lifts, investor attention is squarely on tomorrow's employment report and whether it will show what many economists are starting to believe. the job growth is slowing. new normal? why americans just are not eating out like they used to. location, location, location. you take a picture. you post it on social media, but are you also revealing personal information that you'd rather keep private? those stories and more tonight on "nightly business report" for thursday, august 4th. good evening, everyone. i'm sue herera. tyler mathisen is off tonight. the job market has been a bright spot in an economy that has seen lackluster growth. employers have been creating

jobs at a healthy clip for years, but today, just one day before the july employment report is set to be released, there were two setbacks for american workers. firsttime applications for unemployment benefits rose by 3,000 last week to a seasonally adjusted 269,000. we also learned today that there was a rise in layoffs last month and tomorrow we may get answers to some pressing economic questions. hampton pearson has more. >> reporter: sagging energy prices drove layoffs higher in july, a 19% increase over june. out placement first challenger, gray and christmas says the cuts came from large employers. >> the big oil companies, conoco phillips, made a big cut this month as well as the equipment companies like halliburton continue to cut jobs as they react to the real amount of business that they have got to handle. >> reporte despite the setbacks, leading economists still see a labor market healthy

enough to support economic growth for the rest of the year without the volatility of the last two months. there was june's blockbuster growth of 287,000 jobs, following a near wipeout in may when employers added just 11,000 workers to payroll. the consensus forecast called for payrolls to increase by 179,000 jobs with the unemployment rate falling to 4.8%. >> this would be a second strong jobs report following the weak reading in may, and we think it would give the federal reserve comfort about the state of labor markets and its outlook on the u.s. economy. >> reporter: monetary policy-makers will have tomorrow's july report plus another one for august before their next policy meeting in mid-september. that data will help determine if the fed raises rates or changes course. for "nightly business report," i'm half. on pea-- i'm hampton pearson in

washington. >> the fed use counterpart in england made an historic move, cutting its main interest rate to its lowest level ever, and the bank of england didn't stop there. geoff cutmore reports now from london. >> reporter: there were a couple of firsts in this report from the bank of england today, the first time we've seen interest rates cut in seven years but also the first time we've seen such a dramatic reduction in growth expectations. they are now talking about 0.8% gdp growth for full year 2017, and that's a very radical departure from the previous forecasts of 2.4%. that goes some way to explaining why we had more than just an interest rate cut at this meeting. 70 billion pound sterling of stimulus introduced in the form

of a corporate and guild bond-buying program. that will go some way perhaps in calming jitters around what the post-brexit uk economy is going to look like. it was asked several times in the press conference whether they thought helicopter money might be a good idea or whether uk rates may indeed have to go negative and it was said he's no fan of negative rates, but the bank has signalled that rates are likely to go lower again before the end of the year. this is geoff cutmore at the bank of england for "nightly business repor britain's vote to leave the european union is not only prompting the bank of england to make big moves, but if might also deter british tourists from taking that vacation here in the u.s., and as adidi roy reports, american businesses are playing close attention. >> reporter: it's travel season in the u.s., and that means the british are coming.

the uk sends more overseas visitors to the u.s. than any other country. last year the commerce department says brits spent more than $4.5 billion in the u.s. now with brexit looming and the sterling weakening against the dollar, some are worried that the u.s. may be too pricey for uk tourists, but in the travel industry opinions seem to be mixed. in its earnings call today trip adviser is saying brexit is partly responsible for softness in june and into july. but intercontinental hotels says it expects currency fluctuations to have only a small impact on its results and last week american airlines told analysts on itsl that while they haven't seen any short-term impact of brexit on the company's revenue they expect currency changes to have a negative effect on the airlines, adding that down the road it's the business traveler that they will be watching more closely. looking forward the travel transindex which gathers data from airlines, hotels and travel sites says international travel will be slightly lower in the

next six months. the u.s. travel association says that historically the growth in tourism from the uk has been tied to currency changes between the two countries and that could have some in the travel industry watching the exchange rate closely. for "nightly business report," i'm adidi roy. >> reporter: so what will all of this, brexit's impact on tourism in the u.s. to the rate cut by the bank of england and tomorrow's much anticipated jobs report mean for your investment portfolio? kevin corran is a portfolio manager in washington and joins us now. good to see you again, kevin. welcome back. >> good to see you, sue. >> let's start first of all with what the bank of england did. one, were you surprised, and do you think they will have to do more? >> no. i think this was delivered pretty much on script. the bank of england needed to do two things. they needed to assure markets that they were there to support what might be a weak economy, and by the way, we haven't had a lot of data to judge the path of

the economy. >> yes, exactly. >> and then they also couldn't do more than the market expected because the -- the country's also somewhat concerned about a weak sterling, so the market got today i think exactly what it was looking for. >> you know, how long do you think it will be before we get some concrete data about the brexit vote effect on either consumers or the economy. it could be some time, i would think. >> yeah, i think it's going to take some time, and there are a couple of different parts of this. you will get some data on gdp within the next couple of months, and in the near term we're going to be looking at some various surveys, et cetera, to get a gauge of things, but you have to also understand that nothing really has happened yet economically. there may be a shock to psyche. there's some planning that has to be made in terms of what the future looks like, but in the last few weeks not too much has actually changed as a result of the -- as a result of the vote. >> here at home where does this put the fed, because if indeed

they do decide to raise rates maybe in september, they are going in the opposite direction of most central banks around the world. >> yeah, and that's a bit of a trick because what the fortunate thing that we have here is that we've got an economy that's doing much better than other placed. we've got an unemployment rate that's coming down. we'll be looking at the jobs number tomorrow. you mentioned it earlier in your segment. we're also going to be looking at the inflation rate and the fed will be looking at the inflation rate which appears to be stabilizing. if you look at where we are, annualized the last few months in core inflation you're above 2% so inflation, employment, they look pretty good. not much slack in the economy. that would suggest the feds should be raising interest rates, but that's not where the rest of the world is. you look at europe, just about every major economy there has negative short-term interest rates, and that's creating some potential for volatility in currencies. >> so are you changing your portfolio mix at all, and for those at home where would you put money to work given the backdrop we just set up? >> yeah. well, not much has changed

because we've been advocates of staying with the dollar, staying with the u.s. economy because we think we're the best game in town. we think the growth here is the best, as i mentioned and having a strong dollar to boot isn't so bad so we're staying with that posture in terms of sectors. we do like health care. there's been a little bit of underperformance as a result perhaps of the election coming up. we think there's some good balance sheets and values to be had there. industrials the same thing and i would even say that gold is something that we put back as a small position in portfolios earlier this year, basically as a hedge and we think the valuation has gotten somewhat better. >> thanks for the advice, kevin, appreciate it. as always, thanks. >> stocks wey quiet following the bank of england's rate cut and ahead of july's job report which some hope will provide the market with more clarity. when all was said and down the dow jones industrial three points to 18,52.

the nasdaq added six and the s&p 500 up fractionally and domestic crude rose more than 2.5%. still ahead, why a troubling trend may be brewing in the restaurant industr >> it was a lackluster quarter for viacom. profits tumbled at the media company, but results were better than what analysts had been expecting, and that helped send

shares higher. but its quarterly results are being overshadowed by a vicious and very public fight between viacom ceo and the company's controlling shareholder. julia boorstin reports. >> this is one of the most unusual board room battles we've seen in years. viacom's founder and controlling shareholder sumner redstone is trying to fire his protege and longtime friend viacom ceo felipe domond while arguing redstone is incompetent to fire him. this morning viacom reporting modestly better than expected earnings, defending captain saying they were undervalued by the "teenage mutant ninja turtle." and domond is under fire for his management of viacom. >> there's still enormous heat on domond. they pre-announced a bad quarter a few quarter so they marginally beat the lowered expectations. compare what they did this

quarter compared to a year ago period it's obvious that this company is still in difficult position. >> these mixed results come on the heels of reports that talks to settle redstone and domond's legal issues fell apart. now the question of who controls viacom's future, domond or redstone, will be decided by judges in three states in october. a massachusetts judge will hear the suit over redstone's mental competence. a delaware judge will hear lead independent director fred slarno's suit to direct the dismissal from viacom's board and in california a judge will hear redstone's decision to replace viacom directors. viacom's earnings call acknowledged that the legal battles have been an overhang at the stock and pushed to sell a stake in paramount hand now he says he's optimistic. >> last week courts in massachusetts and delaware rejected motions to dispolice, alled loud discovery to proceed and scheduled trials to take place in october.

we view these favorable court rules as positive steps that move us ahead to a resolution. >> redstone's national amusement issuing a statement saying, quote, domond is the third highest paid ceo in the united the worst as measured by pay for performance, including his pre-negotiated golden parachute, he stands to receive almost half a billion dollars for a tenure that has seen the market decline of one of the nation's greatest media companies. as the barbs continue to sly it's clear the battle for viacom is far from over. for "nightly business report," m julia boorstin in los angeles. >> the owner of pittsburgh king and tim hortons reported an unexpected fall in revenue. restaurant brands international says unfavorable exchange rates along with slowing sales at existing locations weighed on its quarterly results, but those lower sales were offset by cost cuts, and that helped send shares of the parent company restaurant brands higher on the session, but it's been a tough second quarter for other

restaurants and fast food chains as well. consumers have been going out to eat less in part because of cheaper grocery prices, and as susan lee reports, some say this is the new normal for that sector. >> reporter: whether it's burgers, burritos or friday chicken, americans are not eating out like they used to. lower prices at the pump, aggressive value deals and even new menu items are not enough to get more people into restaurants. this is what's being called the new normal in the meals business. the npd group has been tracking sales receipts for the industry for decades, and they say the foot traffic stalled in march this year, just before u.s. consumer confidence started to wane. the sector is now growing slower than historical trends. npd forecasts industry traffic will only grn anemic half a percent each year for the next never been able to find a strong correlation between movement in gas prices and

same-store sales of traffic. a lot of other factors so i'm not convinced that the gasoline prices really played much of a factor as much as wage inflation and growth in jobs. i think those are the two factors that investors should look at. >> living costs are going up faster than wages which is hurting consumer confidence. also high college debt being paid for by both students and parents and the millenial's lack of disposable income all contributing to a slowdown in restaurant visits and another factor keeping average folks from dining out according to mcdonald's ceo. >> there is a widening gap between food away from home and food at home where the commodity decreases have been passed by the grocer and the food at home is -- is -- there's value to be had for families there whereas with others there is a price inflation environment. >> mcdonald's, burger king and chipotle have all seen a slowdown in sales growth and this year's second quarter, but things may be turning around. >> they have seen the sales

slowdown for sure. it's been, you know, kind of clear from the first quarter into the second quarter so it's there, but, again, you know, it made -- it may reverse itself. there is some evidence that we've had an improvement in the month of july, you know. maybe even -- it might be slight but we've seen an improvement in the month of july so who knows if this is going to continue. >> the npd group paints a more pessimistic picture with sales set to grow even below the years since the global financial crisis. for "nightly business report," i'm susan lee. >> a shore drop in attendance hurts seaworld's results, and that's whe tonight's market focus. the theme park operator said fewer tourists from latin america and an overall downturn in the orlando market, which is home to its biggest park, contributed to a nearly 8% drop in visitors. revenue for the quarter also fell missing estimates while profit rose and was in line with

targets. seaworld also cut its yearly profit guidance. the shares plunged 13% to 12888. kellogg's revenues fell below expectations as the maker of eggo waffles and frosted flakes saw continued weakness in its cereal brands, but the food giant did post a jump in profit thanks to cost-cutting. kellogg also raised its yearly earnings outlook. shares were higher by more than a percent to 82.42. metlife will cut $1 billion in costs by the end of 2019, and job losses will be part of that plan. the news follows a disappointing earnings report from the nation's largest life insurer in which quarterly profit fell 949%. metlife shares fell nearly 9% to 39.54. linkedin reported higher than expected revenue thanks to an increase in premium subscriptions and sponsored content. the professional networking website also beat analyst profit estimates earlier this month. the software giant microsoft announced that it would buy

linkedin for about $26 million in a deal that is expected to close this year. shares were flat, following the earnings and closed the regular se5 cents to 192.01. nike, the world's biggest sportswear-maker is getting out of the golf business. the company says it will stop making clubs, golf balls and golf bags so it can focus on its shoe and apparel business, but is this move by nike another blow to the game of golf where the hits just seem to keep on coming? will gray is associate editor at thegolfchannel.come and joins you now. good to see you, will and welcome. >> thank you. good to be with you. >> what impact do you think this will have on the space with nike exiting? >> yeah, certainly interesting timing given the golf season is right at basically its peak time, but i think that it's going to create an opportunity for the other equipment manufacturers in golf in terms of the long-term health of the game. i don't think that nike getting out of the equipment space is necessarily going to have a huge

impact. remember, they are still going to be very involved into golf, going on to the soft goods side and you'll see plenty of swooshes on golfers, both on the men and women's side. >> we saw calloway golf and its stock move sharply higher today. >> yeah. calloway certainly had a big first day of trading after the nike announcement, but a company that i have my eye on is pxg, run by bob parsons. making golf clubs for the last year or two but they are really in a position to make a big splash. they have had a couple of big names the pga tour they have signed this year. when you're looking at where nike's athletes and golfers could sign in the future, pxg could be a very intriguing destination. >> this follows adidas saying in may that was also going to exit that part of its business because it's been an underperformer and this part of the business was an underperformer for nike, but what does that say about the state of golf and the state of the game? >> yeah. i think the state of the game. people are still playing golf.

we saw last year 2.2 million people tried golf for the first time. that's the most and the highest number s basically tiger woods came on to the scene. the decision by tailor made and add das to kind of part ways or for tailor made to be sold really shows that golfers will move into an a la carte model where you're not going to see necessarily players going head to toe with all apparel and all clubs. you'll see a deal like with jordan spieth, under armour for apparel and titleist clubs. >> yeah. the game itself, one of the things that i hear is that it takes a long time to play the full -- you know, the full 18 holes. is golf itself looking at its business model for lack of a better word and -- and perhaps making some changes to help the game? >> yeah. for sure. creativity is the key. we're seeing companies now propose six-hole game, nine-hole matches and things like that. seen foot golf on the rise where you're playing a game of soccer on a golf course, but overall

golf is still moderately on the rise. the national golf foundation did a study last year rounds were up almost 2%. this year in june they are already up about 3%. junior golf participation is on the rise from 2.4 million in 2011 to 3 million in 2015, so while this kind of could seem like a negative for the golf industry as a whole, participation does seem to be at least slightly on the rise. >> on that note, will, thanks so much. will gray with the golfchannel.com. > coming up, why a simple photo posted online could reveal simple personal information that you migh

startup activity is reboupgd, and there's a new demographic taking the lead when it comes to opening new businesses. kate rogers has more. >> reporter: a new report from the kaufman foundation finds levels of entrepreneurship among both women and millenials are on the rise. the startup activity report for 2016 finds that the gender gap is closing in entrepreneurship with women now making up 40.6% of new entrepreneurs compared at men at 59.4%. millenials ages 20 to 34 accounted for 25% of new entrepreneurs, up from 24.7% last year, but this number is still well below what it was in 1996 when the index started at 34.3%. researchers point to student debt as a big factor in this slow growth trend. another good sign. more startup founders are consider opportuni entrepreneurs meaning they are launching businesses because they see opportunities in the marketplace to do so, not

because they are employed and doing so out of necessity. women are also more likely to be opportunity entrepreneurs than men. now overall the startup index climbed in 2016 for the second year in a row. that translates to about 550,000 new entrepreneurs each month during the year. this data though shows a different trend than a recent report we highlighted on this show tracking slower growth in u.s. startups. however, the kaufman foundation measures entrepreneurship different than other researchers and doesn't actually count you as a business owner until you quit your full-time job. for "nightly business report," m kate rogers. >> posting and sharing photos online is something many of us do without hesitation. yesterday we told you how businesses are tracking your public updates as a way of increasing awareness of their brands, but there's more to it. your posts may seem innocuous, but they could actually be leaking sensitive information about you or your business. and according to the experts you don't need to be an experienced hacker to find it. andrea day has the story.

>> i think people don't know is just how dangerous it is. >> reporter: a simple photo posted online, but this one right here has a secret they may not want revealed. >> if the photo you upload has gps data embedded in it, so if i just take those coordinates and you pop them into something like google maps. >> reporter: according to security your confidential meeting location could be compromised and that's not all. >> what organization you're visiting, what business you're in, what kind of contracts you're working on which is a really serious matter. >> reporter: it's called geo tagging where your location data is automatically embedded in photos, and if you leave your smartphone satellite location on, could you handing out your exact location with every post on social media. >> you can easily follow someone like that completely around the globe wherever they are. >> reporter: info leak potentially exposing your business secrets and personal life, too. ed nagy takes the coordinates from this photo and puts them into google maps. seconds later finding the city,

neighborhood, even the exact house where the shot was taken. >> they can geo locate your house. they now know because of facebook you're overseas and your house is unattended. >> reporter: across the country criminals are using social media and geotagging to target unsuspecting victims. this man in california accused of finding his 33 burglary victims through photos posted on instagram. most of his alleged victims were students. investigators say he used the gps coordinates in pictures to track where victims lived and then came by to grab electronics, wallets and more. galvin pleaded not guilty and is awaiting child. >> that some stranger can find a picture on the intert and be able to geolocate our home. social media is a great tool but can a huge, huge dang sneer geolocations are being used in new apps every day like the wildly popular pokemon go. >> it's just a game but it uses your geo location data as part

of the game. >> reporter: and he says the amount of information that hackers can find is anything but a game. >> they can find out where you are and what you're doing at any point in time. you can take a risk on your contracts, your business negotiations. >> so how can you reduce the risk? well, it's actually pretty simple. just turn off the location access in your camera app. go into settings to make the change and remember that most devices come with this automatically turned on. i'm andrea day for "nightly business rep" >> and that is "nightly business repo" for tonight. i'm sue herera. thanks for joining us. have a great evening.

narrator: as we celebrate the success of "downton abbey," the tradition of great drama carries on sunday nights on pbs. now watch a special preview of the new drama programs that are coming soon to your pbs station, including a whole summer of intrigue on "masterpiece mystery," with your favorite detectives tackling their toughest cases. stay tuned for "pbs previews: the best of drama." "pbs previews: the best of drama" was made possible in part by contributions to your pbs stations from viewers like you. thank you. [cheering]ard rock musi] yup? [distorted voice] danny hillier? who's this? if you want a real story, you should ask the police what is happening in the eurotunnel.