Business Highlights: Household wealth surges; Tesla profit slumps on price cuts

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WASHINGTON — The net worth of the typical U.S. household grew at the fastest pace in more than three decades from 2020 through 2022, while relatively low interest rates at that time made it easier for households to pay their debts. Wealth for the median household — the midpoint between the richest and poorest households — jumped 37% during those three years, the Federal Reserve reported, to nearly $193,000.

LOS ANGELES — Tesla has reported that its net income slumped in the third quarter versus a year earlier. That came as its price cuts helped drive strong sales growth but also ate into the automaker’s profit margins. The Austin, Texas, maker of electric vehicles, solar panels and batteries on Wednesday reported net income of $1.85 billion for the July-September quarter, a 44% decline from a year earlier.

NEW YORK — Wall Street dropped after big U.S. companies delivered a mixed set of profit reports and rising Treasury yields tightened the vise further on the stock market. Worries about war in the Middle East also dragged on the market Wednesday. The S&P 500 fell 1.3%. The Dow Jones Industrial Average lost 332 points, and the Nasdaq composite fell 1.6%. Crude oil prices jumped following a deadly explosion at a hospital in the Gaza Strip.

 

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