Apple is making its biggest move into finance by offering loans directly to consumers for its new “buy now, pay later” product, taking on a role played in its other lending services by banking partners such as Goldman Sachs. Short-term loans made through the iPhone maker’s new Apple Pay Later service will be made through a wholly owned subsidiary, Apple Financing LLC. Apple Pay Later, which will be managed through the Wallet app that comes pre-installed on every iPhone, will be accepted by millions of US retailers. Big Tech’s move into the core banking business has been long feared on Wall Street after years of an uneasy alliance in areas such as mobile payments.
The energy sector clung to gains yesterday and ended as the only winner in the S&P 500, with WTI crude oil rising to a 13-week high and settling above $122 a barrel. The gains follow U.S. government data that showed gasoline stockpiles declining for the tenth straight week, and crude in the Strategic Petroleum Reserve falling by a record amount. As inflated prices continue to be seen at the pump, shares of Exxon Mobil notched an all-time high for the first time since 2014, while Chevron and Valero posted similar records.
Jobless claims for the week ended June 4 totaled 229,000, well ahead of the 210,000 Dow Jones estimate. The four-week moving average for continuing claims, which helps smooth out volatility in the numbers, remained around its lowest level since 1970.