Current Events in January 2016

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    Are you ready for self-flying aircraft?

    Chinese firm introduces a fully autonomous copter

    Some people think autonomous, or self-driving cars are a little too out there. Well, fasten your seatbelt because here comes an autonomous, or self-flying aircraft.

    Chinese manufacturer Ehang, which produces unmanned aerial vehicles (UAV), otherwise known as drones, has rolled out what it says is the world's first electric, personal Autonomous Aerial Vehicle (AAV).

    To put it another way, it's an aircraft that flies itself. The Jetsons is about to become a reality.

    The company introduced the fully ready-to-fly AAV at the Consumer Electronics show, upping the ante over carmakers at the show displaying their earth-bound autonomous vehicles.

    No pilot's license

    According to Ehang, passengers have no need for a pilot's license – they simply sit back and let the drone take over. They get where they are going by entering a destination into the accompanying smartphone app.

    Yes, you fly the thing with a smartphone app.

    The aircraft is designed for short-to-medium distances and the company believes it holds huge potential, not only for the transportation industry, but also for many other fields such as shipping, medical care, and retail.

    "It's been a lifetime goal of mine to make flight faster, easier and more convenient than ever. The 184 provides a viable solution to the many challenges the transportation industry faces in a safe and energy efficient way," said Ehang CEO Huazhi Hu.

    The Ehang 184 derives its name from one passenger, eight propellers, and four arms. The company demonstrates the concept in the video below.

    Safety

    But how safe will it be to strap yourself into a small cabin and go hurtling through the air, trusting a computer to get you back on the ground safely? Some might answer that commercial aviation has now become highly computerized.

    The company isn't making that comparison but does stress safety and points out that automated flight eliminates the most dangerous part of standard modes of transportation: human error.

    It says the Ehang 184 has built in redundancy for all flight systems. In the unlikely event that a component does fail, it says multiple backups are already in place to seamlessly take over.

    Let's say a wayward goose runs into your aircraft, what happens then? Ehang says its independently developed Fail-Safe System ensures that if any components malfunction or are damaged, the aircraft automatically evaluates the damage and determines whether the AAV will need to land to ensure safety.

    Flight command center

    Ehang is also building a 24-hour flight command center that will be in constant contact with all of its flying vehicles. While the 184 is able to fly during thunderstorms and other extreme weather conditions, the command center can stop the vehicle from taking off as a precaution.

    Ehang did not disclose pricing information for when the Ehang 184 will be taking someone to the sky. But someone might want to let the Federal Aviation Adminisration (FAA) know.

    It will have the job of regulating these new aircraft and keeping them from running into the one million unmanned drones that were sold in the U.S. over the holidays.

    Some people think autonomous, or self-driving cars are a little too out there. Well, fasten your seatbelt because here comes an autonomous, or self-flying ...

    Another decline in services sector growth

    Despite the December slowdown, expansion is continuing

    Growth in the non-manufacturing, or services, sector of the economy continued in December for the 71st month in a row, just not at the pace we saw a month earlier.

    In the latest Institute for Supply Management (ISM) report on business, the nation’s purchasing and supply executives say the Non-manufacturing Index (NMI) registered 55.3% last month, down 0.6% from November.

    A reading above 50 indicates the sector is expanding; below 50 suggests contraction.

    The Non-Manufacturing Business Activity Index was up 0.5% to 58.7%, reflecting growth for the 77th consecutive month at a slightly faster rate.

    The New Orders Index rose 0.7% from November, to 58.2%, the Employment Index came in at 55.7%, up 0.7%, and indicates growth for the 22nd consecutive month.

    The Prices Index, on the other hand, fell 0.6% to 49.7%, the third decline in the last four months.

    Even with the NMI posting the weakest reading since April 2014, Stifel Fixed Income Chief Economist Lindsey Piegza points out that service activity, "remains the silver lining" in the U.S. economy.

    She adds that with back to back months of depleted momentum from a recent peak of 60.3 in July, "any further decline in activity could undermine the notion of sustained growth in the service sector."

    Expansion and contraction

    The 11 non-manufacturing industries reporting growth in December -- listed in order -- were:

    1. Accommodation & Food Services;
    2. Management of Companies & Support Services;
    3. Health Care & Social Assistance;
    4. Information;
    5. Retail Trade;
    6. Real Estate, Rental & Leasing;
    7. Arts, Entertainment & Recreation;
    8. Finance & Insurance;
    9. Construction;
    10. Professional, Scientific & Technical Services; and
    11. Utilities.

    The five industries reporting contraction in December were:

    1. Other Services;
    2. Educational Services;
    3. Wholesale Trade;
    4. Public Administration; and
    5. Transportation & Warehousing.

    Jobless claims

    The number of people applying for state unemployment benefits fell last week, according to the Department of Labor (DOL).

    Officials say there 277,000 initial filings in the week ending January 2, , down 10,000 from the previous week's total, when 20,000 applications were filed.

    The DOL says there were no special factors affecting the total.

    The four-week moving average, which is seen as a better gauge of the labor market because it lacks the volatility found in the weekly tally, dipped by 1,250 to 275,750.

    The complete report is available on the DOL website

    Growth in the non-manufacturing, or services, sector of the economy continued in December for the 71st month in a row, just not at ...

    Home prices up again in November

    High demand and low supply are factors

    Once again, home prices rose on both a year-over-year and month-over-month basis during November.

    CoreLogic reports its Home Price Index (HPI) shows prices nationwide -- including distressed sales -- jumped 6.3% in November 2015 from the same month a year earlier. There was also a month-over-month gain of 0.5% from October.

    Distressed sales include real estate-owned (REO) and short sales.

    “Many factors, including strong demand and tight supply in many markets, are contributing to the long-sustained boom in prices and home equity which is a very good thing for those owning homes,” said Anand Nallathambi, president and CEO of CoreLogic. “On the flip side, prices have outstripped incomes for several years in a number of regions so, as we enter 2016, affordability is becoming more of a constraint on sales in some markets.”

    Looking ahead

    The CoreLogic HPI Forecast indicates home prices will increase by 5.4% from November 2015 to November 2016, and remain flat from November 2015 to December 2015.

    The CoreLogic HPI Forecast is a projection of home prices using the CoreLogic HPI and other economic variables. Values are derived from state-level forecasts by weighting indices according to the number of owner-occupied households for each state.

    “Heading into 2016, home price growth remains in its sweet spot as prices have increased between 5 and 6% on a year-over-year basis for 16 consecutive months,” said Dr. Frank Nothaft, chief economist for CoreLogic. “Regionally we are beginning to see fissures, with slowdowns in some Texas and California markets, but the northwest and southeast remain on solid footing.”

    Once again, home prices rose on both a year-over-year and month-over-month basis during November.CoreLogic reports its Home Price Index (HPI) shows pri...

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      Neto’s Sausage recalls meat and poultry products

      The products did not undergo federal inspection

      Neto’s Sausage Co., of Santa Clara, Calif., is recalling approximately 7,687 pounds of beef, pork, and chicken products.

      The products did not undergo federal inspection.

      There have been no confirmed reports of adverse reactions due to consumption of these products.

      The following sausage items, produced from December 28, 2014, to December 28, 2015, are being recalled:

      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Hot Italian Sausage”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Herb-N-Cheese Coil”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Linguiça Coil”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Smoked Bratwurst”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Bratwurst with Cheddar and Jalapeno”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Holiday Sausage Coil”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Pork Links”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Pork Links with Apples and Cinnamon”
      • Approximately 10 oz. packages containing pieces of vacuumed packed “Neto’s Sausage Brazilian Smoked Calabreza”
      • Approximately 10 oz. packages containing pieces of vacuumed packed “Neto’s Sausage Italian Sausage with Herbs”
      • Approximately 10 oz. packages containing pieces of vacuumed packed “Neto’s Sausage Italian Linguiça”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Linguiça Hot”
      • Approximately 10 oz. packages containing pieces of vacuumed packed “Neto’s Sausage Polish Kielbasa”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Italian Sausage with Herbs”
      • Approximately 1-lb. packages containing pieces of “Neto’s Sausage Calabrese Brand Italian Sausage”
      • Approximately 10 oz. packages containing pieces of vacuumed packed “Neto’s Sausage Andouille Sausage ”
      • Approximately 1-lb. packages containing pieces of vacuumed packed “Neto’s Sausage Spanish Chorizo Sausage”
      • Approximately 10 oz. packages containing pieces of vacuumed packed “Neto’s Sausage Calabrese Italian Sausage ”
      • Approximately 1-lb. packages containing pieces of vacuumed packed “Neto’s Sausage Linguiça Sausage”
      • Approximately 1-lb. packages containing pieces of vacuumed packed “Neto’s Sausage Garlic & Basil Chicken Sausage”
      • Approximately 10 oz. packages containing pieces of vacuumed packed “Neto’s Sausage Jalapeño-Cilantro Chicken Sausage ”
      • Approximately 1-lb. packages containing pieces of vacuumed packed “Neto’s Sausage Spanish Chorzo Sausage”
      • Approximately 12 oz. packages containing pieces of vacuumed packed “Neto’s Sausage Morcella”

      The recalled products, bearing establishment number “EST. 9027” and “EST 6086” inside the USDA mark of inspection, were distributed in house, to a local distributor and online nationwide.

      Customers who purchased these products should not to consume, but throw them away or return them to the place of purchase.

      Consumers with questions about the recall may contact Neto’s Sausage at (408) 296-0818.

      Neto’s Sausage Co., of Santa Clara, Calif., is recalling approximately 7,687 pounds of beef, pork, and chicken products. The products did not under...

      Comeaux's recalls pork products

      The products may be adulterated with Listeria monocytogenes

      Comeaux’s Inc., of Breaux Bridge, La., is recalling approximately 14 pounds of pork product.

      The product may be adulterated with Listeria monocytogenes.

      There have been no confirmed reports of adverse reactions due to consumption of this product.

      The following smoked pork tasso product, packaged on Dec. 22, 2015, is being recalled:

      • 1-lb. vacuum-sealed packages containing diced “CAJUN HICKORY SMOKED PORK TASSO.”

      The recalled product bears establishment number “EST. 20513” inside the USDA mark of inspection and package code number “42358,” and was shipped to retail locations in Louisiana.

      Customers who purchased this product should not consume it, but throw it away or returned it to the place of purchase.

      Consumers with questions regarding the recall may contact Stacey Thibodeaux at (337) 332-0720.

      Comeaux’s Inc., of Breaux Bridge, La., is recalling approximately 14 pounds of pork product. The product may be adulterated with Listeria monocytog...

      Cooper Zeon LTZ tires recalled

      The tires may experience tread cracking or tread lug chunking

      Cooper Tire & Rubber is recalling 153 Cooper Zeon LTZ tires size 275/55R20 XL Extra Load tubeless tires manufactured September 1, 2015, to September 14, 2015.

      The tires may experience tread cracking or tread lug chunking. As such, they fail to comply with the requirements of Federal Motor Vehicle Safety Standard (FMVSS) No. 139, "New Pneumatic Radial Tires for Light Vehicles."

      Tread cracking or tread lug chunking may cause a loss of tire pressure, increasing the risk of a crash.

      Cooper will notify owners, and dealers will replace the tires, free of charge. The recall is expected to begin in January 2016.

      Owners may contact Cooper customer service at 1-800-854-6288. Cooper's number for this recall is 161.

      Cooper Tire & Rubber is recalling 153 Cooper Zeon LTZ tires size 275/55R20 XL Extra Load tubeless tires manufactured September 1, 2015, to September 14, 20...

      Fisher-Price wants to teach preschoolers how to code

      The coders of 2035 can learn the basics of coding with the Code-a-Pillar

      Though they may not yet be potty-trained, you can now teach preschoolers how to code. Fisher-Price’s new caterpillar bot — the “Code-a-Pillar”  teaches kids the basics of coding, such as sequencing and programming.

      Part of the company’s Think & Learn series, which seeks to inspire critical thinking and problem solving skills in three to eight-year-olds, the Code-a-Pillar is branded as a toy for the 2035 coders.

      If the idea behind connected pieces which form instructions proves thrilling to your child, then who knows: you could have a potential future coder under your roof.

      How it works

      The concept is simple enough. The caterpillar’s body features eight segments that snap together linearly, all labeled with different colors and symbols. Each segment has a different function: turn left, turn right, make a funny noise.

      Once the segments are connected and the start button is pressed, the smiling caterpillar will take the route that it was programmed to by the child. The caterpillar “code” can be as long as you want, too, thanks to the availability of add-on segments.

      Fisher-Price claims the toy builds the basic skills needed to understand more complex programming languages later in life. The Code-a-Pillar also connects to a free companion app, which proposes additional programming challenges for kids to solve as they get older.

      Part of a larger movement

      The Code-a-Pillar is part of a larger trend to get kids introduced to computer skills from a very young age. Even though this demographic will grow up surrounded by screens and apps, toys like the Code-a-Pillar are taking digital principles and applying them in a more hands-on, creative way.

      "As children spend more and more time interacting with digital devices, they don't have very many opportunities to create and experiment," MIT Media Lab's Mitchel Resnick recently told NPR, adding that parents should take care not to let devices control kids.

      "Oftentimes it's playing, clicking, consuming, as opposed to designing and expressing. I would tell parents to look for either the apps or the toys where the child is in control,” said Resnick. “If it feels that the toy or tablet is in control, then I'd be much more cautious about it."

      The Code-a-Pillar, which works in tandem with companion iOS and Android apps, will retail for $50, with various expansion packs priced at $15 each. Fisher-Price says it will appear on store shelves next June. The company will release additional details about the product at the Toy Fair in New York City in February.

      Though they may not yet be potty-trained, you can now teach preschoolers how to code. Fisher-Price’s new caterpillar bot — the “Code-a-Pillar” — teaches ki...

      Breast cancer researchers raise warning about too much sugar

      Sugar industry responds that results are being "sensationalized"

      Cancer researchers in Texas have a word of advice for women at risk of breast cancer – go easy on the sugar.

      In a report, the University of Texas MD Anderson Cancer Center said high amounts of sugar, prevalent in the typical Western diet, may increase the risk of breast cancer and metastasis to the lungs.

      The findings zeroed in on dietary sugar's effect on an enzymatic signaling pathway known as 12-LOX.

      "We found that sucrose intake in mice comparable to levels of Western diets led to increased tumor growth and metastasis, when compared to a non-sugar starch diet," said Peiying Yang, assistant professor of Palliative, Rehabilitation, and Integrative Medicine. "This was due, in part, to increased expression of 12-LOX and a related fatty acid called 12-HETE."

      There have been a few previous studies that looked for links between sugar and breast cancer. Some of these studies have suggested high levels of sugar can affect inflammation, which can be associated with cancer development.

      "The current study investigated the impact of dietary sugar on mammary gland tumor development in multiple mouse models, along with mechanisms that may be involved," said co-author Lorenzo Cohen, professor of Palliative, Rehabilitation, and Integrative Medicine. "We determined that it was specifically fructose, in table sugar and high-fructose corn syrup, ubiquitous within our food system, which was responsible for facilitating lung metastasis and 12-HETE production in breast tumors."

      Industry response

      The sugar industry was quick to respond to the study. The Sugar Association, a trade group, points out the results were based only on animal studies and charged the results are being sensationalized.

      “As with other studies on this subject, this study has serious limitations that should be disclosed, particularly when the headlines are as serious as these have been,” the group said in a statement. “Not only do the authors misstate and exaggerate current U.S. sugar consumption and trends in consumption, they also claim the mice in the study were fed sugar levels comparable to levels in a Western diet. Yet, the data provided shows the mice were fed massive amounts of fructose (as part of sucrose) with the lowest level of fructose fed more than double U.S. consumption.”

      But the authors say identifying risk factors for breast cancer is a public health priority. They say moderate sugar consumption is critical, and disagree with the Sugar Association about the current level of per capita consumption, claiming it is over 100 pounds per year.

      The industry, however, may be correct in its contention that it is an over-estimate. As the New York Times reported in 2012, the Department of Agriculture lowered its estimate of per capita sugar consumption to 76.7 pounds annually.

      Cancer researchers in Texas have a word of advice for women at risk of breast cancer – go easy on the sugar.In a report, the University of Texas MD And...

      Dogs can get the winter blues just like humans: how to fight canine cabin fever

      Indoor activities to keep your pup mentally and physically active when the temperature drops

      With the festivities behind us and temperatures only getting colder, the winter blues can sneak up on even the happiest people. But did you know humans aren’t the only ones in the house to experience the post-holiday slump? About 40% of dog owners also notice a considerable downturn in their pet’s mood.

      Experts say the key to all these changes appears to be the effect that light has on two different hormones: Melatonin and Seratonin. When Melatonin levels are high, feelings of depression and a reduced motivation to play can surface. Sunlight is also needed for Seratonin production; when levels are low, moods can dip  both in humans and canines.

      But with temperatures too cold for extended outdoor playtime, what can pet owners do to keep canine cabin fever at bay? The pet experts at DogVacay have rounded up some simple tips.

      Boost your pet's mood by keeping them mentally and physically active with these fun indoor games:

      • Stage an indoor winter olympics. What better way to work off that excess energy than by staging your own indoor winter games? Have your pup stay put while you hide treats around your house. Then have your pup “go for gold” as he finds each and every yummy morsel.

      • Build a blanket fort. Bring the outdoors in, make a fort out of some blankets and the back of your couch. Gather some of your pup’s favorite toys and toss them around your indoor fortress. Grab a cup of tea and a good book for yourself while you spend the afternoon in this new haven with your canine best friend.

      • Play hide and seek. To play hide and seek, your dog will need to know the “Stay” command. Ask your dog to stay, then very quietly hide yourself away somewhere in the house. Once you’re out of sight, release your dog from his “Stay” with an “OK!” or other verbal command. Try not to blow your cover by bursting out laughing as you hear him sniffing and padding around the house, and wait patiently for that delightful moment when he finds you.

      With the festivities behind us and temperatures only getting colder, the winter blues can sneak up on even the happiest people. But did you know humans are...

      Job creation explodes in December

      It was the best month for private sector payroll expansion in a year

      If December is any indication of what is to come, 2016 should be a good year for new jobs.

      According to the ADP National Employment Report, the U.S. economy cranked out 257,000 private sector jobs from November to December -- the best monthly showing since December 2014.

      The report, produced by ADP in collaboration with Moody's Analytics, is derived from ADP's actual payroll data, and measures the change in total nonfarm private employment each month on a seasonally-adjusted basis.

      "2015 had a strong close with December showing the largest job gains of the year," said Ahu Yildirmaz, vice president and head of the ADP Research Institute. "Overall, the average monthly employment growth was just under 200,000 for the year in contrast to almost 240,000 jobs per month in 2014. Weakness in the energy and manufacturing sectors was mostly responsible for the drop off."

      The producers

      Payrolls for businesses with 49 or fewer employees increased by 95,000 jobs in December, up 23,000 from November's 72,000. Employment among companies with 50-499 employees increased by about 10% from the previous month to 65,000 jobs.

      Large companies -- those with 500 or more employees -- came in at 97,000, 17,000 more than in November. Those firms with 500-999 added 39,000 jobs, and the biggies -- companies with over 1,000 employees -- added another 58,000 jobs.

      Employment in the goods-producing sector rose by 23,000 jobs in December, after losing 2,000 positions the previous month. The construction industry added 24,000 jobs, up a touch from the previous month, while manufacturing stayed in positive territory for the second straight month -- adding 2,000 jobs.

      Service-providing employment shot up by 234,000 jobs in December, up 21,000 jobs from November. Professional/business services contributed 66,000 jobs, the largest increase of the year in the sector. Trade/transportation/utilities grew by 38,000, off a bit from the previous month, and there were 13,000 new jobs in financial activities.

      "Strong job growth shows no signs of abating,” said Mark Zandi, chief economist of Moody's Analytics. “The only industry shedding jobs is energy. If this pace of job growth is sustained -- which seems likely -- the economy will be back to full employment by mid-year. This is a significant achievement, given that the last time the economy was at full employment was nearly a decade ago."

      The government's employment tally for the final month of 2015 is scheduled for release on Friday.

      If December is any indication of what is to come, 2016 should be a good year for new jobs.According to the ADP National Employment Report, the U.S. eco...

      Mortgage applications plunge

      Contract interest rates were mostly on the rise

      There was a big drop in mortgage applications during the Christmas and New Year's holiday weeks.

      The Mortgage Bankers Association (MBA) reports applications were down 27% for the week ending January 1 from two weeks earlier. The most recent week’s results include an adjustment to account for the New Year’s Day holiday, while the previous week’s results were adjusted for the Christmas holiday.

      The Refinance Index decreased 37% from two weeks ago, pushing the refinance share of mortgage activity down to 55.4% of total applications from 56.1% the previous week.

      The adjustable-rate mortgage (ARM) share of activity decreased to 4.7% of total applications, the FHA share rose to 14.6% from 13.8% the week prior, the VA share was up 1.3% -- to 12.9%, and the USDA share of total applications was unchanged from 0.6% the previous week prior.

      Contract interest rates

      • The average contract interest rate for 30-year fixed-rate mortgages (FRMs) with conforming loan balances ($417,000 or less) rose one basis point -- from 4.19% to 4.20%, its highest level since July, with points decreasing to 0.42 from 0.49 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate decreased from last week.
      • The average contract interest rate for 30-year FRMs with jumbo loan balances (greater than $417,000) jumped to 4.09% from 4.07%, with points increasing to 0.35 from 0.34 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.
      • The average contract interest rate for 30-year FRMs backed by the FHA dipped two basis points to 3.95%, with points increasing to 0.41 from 0.34 (including the origination fee) for 80% LTV loans. The effective rate was unchanged from last week.
      • The average contract interest rate for 15-year FRMs increased to 3.47% from 3.42%, with points increasing to 0.31 from 0.29 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.
      • The average contract interest rate for 5/1 ARMs was up six basis points to 3.19%, with points falling to 0.32 from 0.52 (including the origination fee) for 80% LTV loans. The effective rate decreased from last week.

      The survey covers over 75% of all U.S. retail residential mortgage applications.

      There was a big drop in mortgage applications during the Christmas and New Year's holiday weeks.The Mortgage Bankers Association (MBA) reports applicat...

      Wegmans recalls chicken products

      The products were produced without the benefit of federal inspection

      Wegmans Food Markets of Rochester, N.Y., is recalling approximately 1,125 pounds of chicken products.

      The products were produced without the benefit of federal inspection.

      There have been no confirmed reports of adverse reactions due to consumption of these products.

      The the following items, produced on Jan. 3, 2016, are being recalled:

      • Approximately 1-lb. vacuum-sealed packages containing “Wegmans Italian Flavored Chicken Breast Cutlet” with a use-by date of 1/24/2016.
      • Approximately 1-lb. vacuum-sealed packages containing “Wegmans Brown Sugar Barbecue Seasoned Chicken Breast Cutlet” with a use-by date of 1/15/2016.
      • 3-lb. vacuum-sealed packages containing “Wegmans Garlic & Fennel Whole Chicken Roaster” with a use-by date of 1/13/2016.
      • 1-lb. vacuum-sealed packages containing “Wokery Sherry Chicken 27482” with use-by date of 1/13/2016.

      The recalled products, which bear establishment number “EST. or P-7567” inside the USDA mark of inspection, were shipped to distribution and retail locations in Maryland, Massachusetts, New Jersey, New York, Pennsylvania and Virginia.

      Customers who purchased these products should not consume them, but return them to the place of purchase for a full refund.

      Consumers with questions about the recall may call the Wegmans consumer affairs department at 1-(800)-934-6267, ext. 4760.

      Wegmans Food Markets of Rochester, N.Y., is recalling approximately 1,125 pounds of chicken products. The products were produced without the benefi...

      FTC files claim against Lumosity for false and deceptive advertising

      Many user testimonials were written for contests with "significant prizes"

      The Federal Trade Commission (FTC) has set its sights on Lumosity, a company famous for its brain games website that was launched back in 2007. In a claim filed in court on Monday, the agency claims that the company used false and deceptive advertising in its nationwide campaigns. The FTC is seeking restitution, refunds, rescission of contracts, disgorgement of ill-gotten gains, and an injunction, according to a report by Courthouse News Service.

      Since its creation, Lumosity seemed to capture the public’s attention with its beneficial claims and simplistic approach. In 2013, it was listed as one of the United States’ most promising companies by Forbes Magazine. According to its website, the company currently has over 70 million users in 182 countries.

      Advertisements for the company boasted that the games hosted on its site could lead to “improved athletic performance, delay in age-related decline in memory or other cognitive function, including protection against mild cognitive impairment, dementia, and Alzheimer’s disease,” amongst other numerous benefits -- neurological and otherwise. Many of these claims are strongly supported by testimonials of users who reinforce that the games can “change lives.”

      However, the FTC has stated that many of these testimonials were made as a result of contests that the company held. The agency found that out of 160 user testimonials that the company uses in ads, 46 of them came from contests that held “significant prizes.” For example, in 2012, Lumosity held a promotional contest that asked users to write a testimonial on how the company’s games helped improve their athletic performance. “Show us how Lumosity has helped take your athletic abilities to the next level for a chance to win a lifetime subscription, the new iPad, and more,” stated the promotion.

      As a result, the FTC has charged that Lumosity top officers violated the FTC Act through deceptive use of testimonials, false proof claims, and by making false, unsubstantiated claims on performance, age-related conditions, and health conditions. Lumosity has declined to comment on the lawsuit at this time. 

      The Federal Trade Commission (FTC) has set its sights on Lumosity, a company famous for its brain games website that was launched back in 2007. In a claim...

      CDC worries e-cigarette ads influencing middle schoolers

      More young people now use e-cigarettes than smoke

      Companies that make and sell e-cigarettes are quick to point out how they are different from tobacco cigarettes.

      For starters, they contain no tobacco. They deliver flavored nicotine in vapor form.

      But the Centers for Disease Control and Prevention (CDC) says these nicotine delivery devices have one big thing in common with cigarettes – the way in which they are marketed.

      In its most recent Vital Signs report, the CDC notes e-cigarette ads use many of the same themes – independence, rebellion, and sex – used to sell cigarettes and other conventional tobacco products.

      That's of concern, the CDC says, because it has found that about seven out of 10 middle and high school students – more than 18 million young people – see e-cigarette advertising in stores, online, in newspapers and magazines, or on television and in movies.

      No marketing restrictions

      Currently e-cigarette marketing faces none of the restrictions imposed on tobacco. Health officials are worried that will translate into a surge of young people being hooked on nicotine.

      “The same advertising tactics the tobacco industry used years ago to get kids addicted to nicotine are now being used to entice a new generation of young people to use e-cigarettes,” said CDC Director Tom Frieden. “I hope all can agree that kids should not use e-cigarettes.”

      The CDC is concerned about the health effects of nicotine on young, developing bodies. In 2014, e-cigarettes became the most commonly used tobacco product among youths, surpassing conventional cigarettes.

      From 2011 to 2014, the CDC said e-cigarette use among high school students soared from 1.5% to 13.4%, and among middle school students from 0.6% to 3.9%.

      Spending on e-cigarette advertising rose from $6.4 million in 2011 to an estimated $115 million in 2014, the CDC said.

      Regulations still in the works

      The Food and Drug Administration (FDA) has the authority to regulate e-cigarettes, but is still in the final stages of that process. The FDA's official position is that many of the potential risks are unknown. It also says it is unknown whether the products have any potential benefit.

      However, the BBC reported Monday that health authorities in the UK have approved a brand of e-cigarette as an aid to help people stop smoking. That means Britons could get a prescription for e-cigarettes through the government-run National Health Service.

      Public Health England says e-cigarettes are far less harmful than tobacco and help smokers quit.

      Companies that make and sell e-cigarettes are quick to point out how they are different from tobacco cigarettes.For starters, they contain no tobacco. ...

      Consumers more loyal to some car brands than other

      Meanwhile, consumers continue to show a preference for more expensive vehicles

      Despite an ever-increasing number of choices, there is a large segment of American consumers who find a brand they like and stick with it. It's always been the case for cars and trucks.

      Consumers who bought Fords one year tended to buy another when it was time for a trade-in. While that isn't true for all brands today, it is definitely true for some.

      Experian Automotive keeps track of consumer loyalties and reports that Subaru has the most loyal following, with 67.7% of Subaru owners going back to the dealership to buy another. Among companies that sell cars under more than one nameplate, Ford is close behind, with 67.5% of consumers who own a Ford remaining loyal to the Ford family when purchasing a new vehicle.

      "It's exciting to see that manufacturers' efforts to improve owner loyalty are working," said Brad Smith, director of automotive statistics and consulting at Experian. "Over the last few years, loyalty rates have increased, and these improvements are key to the industry.”

      Data help carmakers improve

      Smith says studying consumer loyalty among vehicle brands, makes, and models helps the industry make better business decisions, such as a dealer selecting inventory and targeting advertising or a manufacturer making adjustments to a vehicle's design and creating more competitive promotional strategies.

      In the Experian analysis of sales data, Subaru, Ford, Toyota, and GM hold the top four spots for loyalty, with only 0.5 percentage points separating them. Why does loyalty matter? For a consumer considering a new car purchase, it can point to vehicles that tend to make their owners happy.

      Top 10

      Here is Experian Automotive's top 10 in terms of customer loyalty:

      1. Subaru
      2. Ford
      3. Toyota
      4. GM
      5. Fiat Chrysler
      6. Daimler
      7. Kia
      8. Honda
      9. Hyundai
      10. Nissan

      Buyers continue to pay more

      When buying these and other cars, consumers continue to pay more and more for them. The average transaction price hit yet another record high in December, according to Kelley Blue Book (KBB). The average price paid for a new car last month rose to $34,428 – up nearly $300 from a year ago.

      "Prices continue to climb, reaching record levels, with more new product on the market than ever before, and new product iterations tend to bring higher transaction prices, particularly among luxury models," said Akshay Anand, analyst for Kelley Blue Book.

      Among the possible reasons for higher spending levels is, with lower gasoline prices, consumers are buying more SUVs and trucks, which carry higher sticker prices. But Anand also notes consumers are opting for more luxury models, which last month made up 15% of total sales.

      Among luxury nameplates, Lexus and Lincoln both rose 1% month-over-month and from this time last year. KBB says new products have helped each brand achieve average transaction pricing in the $40,000 range.

      Despite an ever-increasing number of choices, there is a large segment of American consumers who find a brand they like and stick with it. It's always been...

      Blood pressure monitors getting smaller, more wearable

      Company introduces device to measure your blood pressure 24/7

      Fitbit was the surprise hit of the holiday season as consumers snapped up the wearable devices to track their health and fitness.

      Omron Healthcare, Inc., maker of more traditional health monitoring devices, hopes that trend keeps going in 2016 as the company introduces new wearable blood pressure monitors.

      At the Consumer Electronics Show in Las Vegas, Omron unveiled two new devices and previewed an initiative to change the blood pressure category to "do more to improve heart health for millions of hypertensive individuals."

      The company says its "Project Zero" Wrist and Upper Arm Blood Pressure Monitors and the new OMRON Connect App will be available this year and are part of a major heart health initiative that Omron is rolling out in 2016.

      Going beyond the numbers

      "Blood pressure monitors must go beyond tracking numbers,” said Ranndy Kellogg, Chief Operating Officer at Omron. “We are designing our new products to provide more insights, encourage behavioral change, and promote healthier lifestyle habits."

      Kellogg says the blood pressure monitors are medical devices, but are designed to work with the new OMRON Connect App. The app helps you track your activity and personal health history, offers insights to improve your numbers, and even connects with your doctor as a tool for more insightful care.

      In addition to blood pressure numbers, the Project Zero devices can provide physical activity and sleep data in real time. Kellogg says Project Zero Wrist Blood Pressure Monitor users can discretely track real time blood pressure readings with a portable device, free of cuffs, wires, or hoses.

      Medication reminder

      "This new device also allows users to receive detailed data that reminds users to take medication and record the time they take it to improve and track compliance," he said.

      Fitbit, meanwhile, is riding a hot streak. For a brief time between Christmas Eve and Christmas day, several sources reported it as the most downloaded app in America, exceeding even YouTube.

      It's also popular at 1600 Pennsylvania Avenue. In his unusual appearance on Jerry Seinfeld's web series, “Comedians in Cars Getting Coffee,” President Obama was seen wearing a Fitbit Surge.

      Fitbit was the surprise hit of the holiday season as consumers snapped up the wearable devices to track their health and fitness.Omron Healthcare, Inc....

      “Clean” eating may be 2016's biggest food trend

      Dietitians also see a bigger role for seeds in the American diet

      Popular foods don't change overnight just because the calendar flips. But people who follow food have locked onto some emerging trends they think will be big in 2016.

      Experts from Today's Dietitian and Pollock Communications believe “clean” eating, or shopping, will be among 2016's biggest food trends. Clean eating refers to a diet that's mostly made up of fresh fruit and vegetables and avoids processed food.

      Think fresh asparagus and nothing out of a can.

      Today's Dietitian and Pollack Communications conducted a survey of registered dietitians and found broad agreement that more consumers will base their purchasing decisions on clean eating, shopping for foods that fit a plant-based diet, such as a Mediterranean-style diet.

      Seeds replacing kale

      At the same time, seeds should be a bigger part of consumers' diets in 2016. Fifty-five percent of registered dietitians said seeds have superfood star-power, displacing kale as a trendy food source. Avocados are expected to be nearly as popular, along with ancient grains.

      Consumers will continue to express a strong preference for “free.” No, they're perfectly willing to pay for food – they just want it to be “free” of certain things, like genetically modified organisms (GMO), gluten, and antibiotics.

      We've already seen that 2015 was the year of “cage-free” eggs, with nearly every fast food chain and several food manufacturers pledging to use only cage-free eggs by some future date.

      Jenna Bell, PhD, RDN, senior vice president, director of food & wellness for Pollock Communications, says the “free” tag can sometimes be misleading.

      "While consumers may look for GMO-free or other 'free-from' claims on the label, it doesn't mean that it has always led to healthier, more nutritious options," she said.

      Unintended consequence

      She warns that an unintended consequence of choosing "free" foods could be that consumers might not assess the overall healthfulness, consider food safety issues, understand truly sustainable practices, or might pay unnecessary costs.

      In other words, just because a popular restaurant chain or a food company claims its food is more virtuous than its competitors, it doesn't mean the food is better or healthier.

      "Make decisions based on the quality of the whole food and the variety and quality of your overall diet," Bell said.

      To that end, consumers should perhaps be on guard against slick food marketing. One of the trends the survey uncovered is an outsized influence by celebrities.

      Most dietitians polled for the survey believe that nutrition trends start with celebrities, citing them as the initiator of food and eating fads. But just because someone is famous, doesn't necessarily mean they're experts on nutrition.

      Popular foods don't change overnight just because the calendar flips. But people who follow food have locked onto some emerging trends they think will be b...

      GM recalls Chevrolet Traverse, GMC Acadia and Buick Enclave vehicles

      The third row left lower seat frame may have welds that are not in the correction location

      General Motors is recalling certain 2,633 year 2016 Chevrolet Traverse, GMC Acadia, and Buick Enclave vehicles manufactured November 6, 2015, to November 12, 2015.

      The recalled vehicles have a third row left lower seat frame that may have welds that are not in the correction location.

      If the seat frame is not welded in the correct places, the seat may not perform as intended, and in the event of a crash, the seat occupant could be at an increased risk of injury.

      GM will notify owners, and dealers will inspect the third row left side lower seat frame, replacing it as necessary, free of charge. The manufacturer has not yet provided a notification schedule.

      Owners may contact Chevrolet customer service at 1-800-222-1020, GMC customer service at 1-800-462-8782 or Buick customer service at 1-800-521-7300. GM's number for this recall is 21930.

      General Motors is recalling certain 2,633 year 2016 Chevrolet Traverse, GMC Acadia, and Buick Enclave vehicles manufactured November 6, 2015, to November 1...

      Big Dog Natural recalls chicken and fish supreme dog food

      The products may be contaminated with Salmonella and Listeria monocytogenes

      Big Dog Natural of Brick, N.J., is recalling a select production lot of Big Dog Natural raw dehydrated dog food Chicken Supreme potentially contaminated with Salmonella and Fish Supreme potentially contaminated with Listeria monocytogenes.

      The products were shipped from October 31, 2015 to November 13,2015, to online customers and in the U.S.

      Customers who purchased the product may obtain a full refund or exchange by returning the product in its original packaging.

      Consumers with questions may contact Big Dog Natural at https://www.bigdognatural.com or by calling 1-732-785-2600 from 9am till 4pm (EST).

      Big Dog Natural of Brick, N.J., is recalling a select production lot of Big Dog Natural raw dehydrated dog food Chicken Supreme potentially contaminated wi...