TOP STORIES 
 
U.S. 2Q GDP EXPANDS AT 4.0% RATE 

The U.S. economy rebounded strongly this spring after a first-quarter contraction. Gross domestic product advanced at a seasonally adjusted annual rate of 4.0% in the second quarter. Economists expected 3.0%.

 
SPRINT SWINGS TO PROFIT 
 

Sprint swung to a fiscal 1Q profit of $23 million, or one cent a share, as its operating expenses declined and it narrowed its loss of the most lucrative contract customers. Revenue was $8.79 billion, slightly beating expectations.

 
PRIVATE SECTOR SLOWS PACE OF HIRING 
 

Private payrolls in the U.S. increased by 218,000 new jobs in July, says the national employment report compiled by payroll processor Automatic Data Processing and forecasting firm Moody's Analytics.

 
U.S. STOCKS RISE ON GDP DATA 
 

U.S. stocks rose, boosted by an upbeat reading on U.S. economic growth and strong earnings reports. Investors are awaiting a Fed policy statement due later in the session. The Dow industrials are up about 50 points.

 
BARCLAYS POSTS 2Q PROFIT, U.S. EXTENDS AGREEMENT 
 

Barclays is under renewed pressure in the U.S. after it disclosed that authorities extended for one more year an agreement that essentially puts the bank on probation while the government looks into possible misconduct. Barclays also reported a 2Q net profit.

 
HESS PLANS SPINOFF OF MIDSTREAM ASSETS 
 

Hess said it plans to pursue a spinoff of some midstream assets, mostly in North Dakota, to create a separately traded company to support growth of its production in the Bakken oil shale play. Hess shares rose 4%.

 
OIL FUTURES RISE AHEAD OF U.S. DATA 
 

Oil futures ticked higher ahead of a weekly government storage report, which is expected to show that crude-oil supplies fell last week for the fifth straight week. Nymex September crude rose 55c to $101.52 a barrel.

 
CARLYLE GROUP SWINGS TO A PROFIT 
 

Carlyle Group swung to a 2Q profit of $20 million, or 27c a share, on a surge of private-equity deal profits, as the firm ramped up its buying and selling of companies.

 
FEDEX PLEADS NOT GUILTY TO ILLEGAL DRUG DELIVERIES 
 

FedEx pleaded not guilty in San Francisco federal court on 15 charges related to transporting painkillers and other prescription drugs that had been sold illegally.

 
VALERO 2Q PROFIT RISES 26% 
 

Valero Energy earned $588 million, or $1.10 a share, as its refining segment enjoyed higher volumes and operating income. Revenue rose 2.6% to $34.91 billion. Earnings were in line with top end of company's expectations; revenue easily beat analysts' view.

 
LORILLARD PROFIT DOWN AS E-CIGARETTE SALES DROP 
 

Lorillard Inc. said its 2Q profit declined slightly to $300 million as a drop in sales for the company's e-cigarettes offset a slight increase in sales for traditional cigarettes. Sales edged down 0.3% to $1.80 billion.

 
 
 
 
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Grand Central 
INVESTORS WHISTLE PAST MIDDLE EAST AND UKRAINE TURMOIL 
 

Will turmoil in the Middle East and the West's worsening confrontation with Russia derail the global economy? Investors don't seem to think so. Sign up here for The Wall Street Journal's daily report on global central banks.

 
Capital Journal Daybreak 
EUROPE, U.S. EXPAND SANCTIONS ON RUSSIA 
 

The U.S. and the European Union have adopted sweeping economic sanctions against Russia to punish Moscow's unbending stance in the Ukraine conflict. Sign up here for The Wall Street Journal's morning rundown of the biggest news driving Washington.