According to Reuters, the Anheuser-Busch (BUD) board is under pressure to justify what it did not take InBev's buy-out offer. Reuters writes that overseas money is reluctant to invest in US car companies. Reuters reports that consumer spending moved up as people got federal rebate checks. Reuters reports that Lehman (LEH) says Merrill Lynch (MER) may write-down $5.4 million in Q2. Reuters reports that Moody's is likely to cut Morgan Stanley's (MS) credit rating. The Wall Street Journal reports that the Dow has hit bear market territory. The Wall Street Journal writes that Siemens (SI) will cut over 17,000 jobs....
Investors who remember the stock market's steep and prolonged decline earlier this decade may be wondering if the recovery from Wall Street's current morass will also take several years to... Source: Infocious RSS raw feed - channel BNewsBusiness | 28 Jun 2008 | 8:22 am
A new regional development bank for South America announced an initial capital fund of $10 billion, with the possibility of climbing as high as $20 billion, after a meeting of the seven... Source: Infocious RSS raw feed - channel BNewsBusiness | 28 Jun 2008 | 8:13 am
The maker of the cosmetics brand Dr. Hauschka is one of dozens of German companies benefiting from a growing global appetite for environmentally friendly products. Source: Infocious RSS raw feed - channel BNPaperBusiness | 28 Jun 2008 | 6:13 am
Sri Lanka's national carrier, Sri Lankan Airlines, will re-introduce a fuel surcharge to cover rising jet fuel costs, the airline said Saturday. "Sri Lankan Airlines has... Source: Infocious RSS raw feed - channel BNewsBusiness | 28 Jun 2008 | 5:23 am
Stocks next week are expected to enter the third quarter on uncertain footing after the Dow Jones Industrial Average briefly fell into bear-market territory, battered by record oil prices and a slumping financial sector.
_About 367,000 units of HP Fax 1010 and 1010xi machines, made in China and imported by Hewlett-Packard Co., because an internal component failure can cause overheating, posing a risk of... Source: Infocious RSS raw feed - channel BNewsBusiness | 28 Jun 2008 | 2:44 am
The revolving door between politics and business in Russia spun on Friday as Gazprom shareholders elected former prime minister Viktor A. Zubkov as chairman of the board. Source: Infocious RSS raw feed - channel BNPaperBusiness | 28 Jun 2008 | 2:22 am
Jane Jie Sun is chief financial officer of Ctrip.com, a Shanghai-based online travel agency traded on the Nasdaq, which has introduced an English-language Web site this year. Source: Infocious RSS raw feed - channel BNPaperBusiness | 28 Jun 2008 | 2:09 am
NEW YORK (Reuters) - Stocks fell on Friday, pushing the Dow to the brink of a bear market, hounded by concerns that record oil prices and the seemingly endless credit crisis will further damage the economy.
NEW YORK (Reuters) - Stocks fell on Friday, pushing the Dow to the brink of a bear market, hounded by concerns that record oil prices and the seemingly endless credit crisis will further... Source: Infocious RSS raw feed - channel BNewsBusiness | 28 Jun 2008 | 12:40 am
The Chicago Tribune is reporting that it has named an executive as interim publisher to replace the retiring Scott C. Smith. The paper reported Friday on its Web site that publishing... Source: Infocious RSS raw feed - channel BNewsBusiness | 28 Jun 2008 | 12:20 am
CHICAGO (MarketWatch) -- Investors may be seeing the "peak of negativity" in the markets these days, and that's exactly why buy-and-hold types should be on the lookout for opportunities, T. Rowe Price's chief investment officer said on Friday.
Stockbroker and business analyst David Johnson chats with host Bob Moon about what happened on Wall Street this week and what may lie ahead. Source: Marketplace | 28 Jun 2008 | 12:17 am
For what's been a pretty temperate summer so far, the general mood seems to be awfully grouchy. Then again, if you're investing in most equities these days, you don't have much to smile about.
For the first installment of our "Hot Jobs" series, we check out the source for summer gear and meet Eduardo Lora, manager of a bikini shop in Miami Beach. Source: Marketplace | 28 Jun 2008 | 12:04 am
The rising cost of gas isn't the only thing to worry about. Commentator Glenn Hubbard says the costs of health care programs for seniors face a big increase and the candidates have different ideas on what to do. Source: Marketplace | 28 Jun 2008 | 12:03 am
Barclays' £4.5bn fundraising falls about £9bn short of what is necessary to absorb credit-related writedowns and bring the bank's capital in line with European peers, Citigroup claims in a note to clients. Source: Telegraph Business | 28 Jun 2008 | 12:01 am
Clive Cowdery has walked away from Bradford & Bingley amid speculation that the Financial Services Authority expressed serious concerns about his rescue plan for the struggling bank. Source: Telegraph Business | 28 Jun 2008 | 12:01 am
Wolseley, the embattled building materials supplier, needs some serious financial plumbing if it is to avoid further woes, according to the latest broker to turn bearish on the stock. Source: Telegraph Business | 28 Jun 2008 | 12:01 am
Berkeley Group, the housebuilder, was interpreted as calling the bottom of residential land market yesterday by deciding to spend up to £360m on buying land rather than return the cash to shareholders. Source: Telegraph Business | 28 Jun 2008 | 12:01 am
Trading in HBOS's £4bn rights issue opened at a significant premium yesterday despite the bank's flagging share price, amid talk that short sellers were protecting their positions. Source: Telegraph Business | 28 Jun 2008 | 12:01 am
Prudential's 4.5m with-profits policyholders were left disappointed yesterday after Britain's second largest insurance group decided not to return any of the £8.7bn of funds built up in its "inherited estate". Source: Telegraph Business | 28 Jun 2008 | 12:01 am
Shareholders in Britain's banking sector are being badly let down by both their management and regulators. Source: Telegraph Business | 28 Jun 2008 | 12:01 am
Budweiser brewer Anheuser-Busch has laid out a blueprint for independence by raising profit forecasts, unveiling $5bn (£2.5bn) of share buybacks and offering more than 1,000 staff early retirement following its rejection of InBev's $46.3bn takeover bid. Source: Telegraph Business | 28 Jun 2008 | 12:01 am
Budweiser brewer Anheuser-Busch has laid out a blueprint for independence by raising profit forecasts, unveiling $5bn (2.5bn) of share buybacks and offering more than 1,000 staff early retirement following... Source: Infocious RSS raw feed - channel BNPaperBusiness | 28 Jun 2008 | 12:01 am
Each year, Harvard University uses a slew of housing market information to create a comprehensive report on the state of the nation’s housing. This year’s set of data reveals just how far housing has fallen from its peak.
LOS ANGELES (MarketWatch) -- The bruising second-quarter and first half of the year has international stock-fund managers increasingly seeking solace in the energy and commodity sectors, which are one of the only games in town right now, despite signs that these parts of the market are frothy.
For Wesley Silcox, the defending World Champion in bull riding, getting bucked around in the ring is almost becoming less painful than filling up the truck to drive to and from rodeos. Host Bob Moon caught up with Silcox on the road. Source: Marketplace | 27 Jun 2008 | 11:32 pm
Products recalled due to unlisted milk products QUINCY, Mass., June 27 /PRNewswire-USNewswire/ -- The Stop & Shop Supermarket Company has announced a voluntary... Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Jun 2008 | 11:16 pm
Make sure you don't get fleeced when you take off for a litle R&R. Host Tess Vigeland asks Frommer's creator Pauline Frommer about what to keep your eyes peeled for when traveling. Source: Marketplace Money | 27 Jun 2008 | 11:06 pm
The roofs will need work, some rewiring is badly needed — and then there is
the asbestos problem. Source: Latest Business News from Times Online | 27 Jun 2008 | 11:00 pm
Vietnam lurched closer to a currency crisis yesterday as the Government cut
the official exchange rate to a record low. UBS analysts said that the
country’s economic profile was more extreme than that of Thailand on the eve
of the 1997 Asian financial crisis. Source: Latest Business News from Times Online | 27 Jun 2008 | 11:00 pm
Peter Mandelson, the European Trade Commissioner, accused Russian shareholders
in TNK-BP of menacing behaviour yesterday in the struggle for control of the
oil joint venture. Source: Latest Business News from Times Online | 27 Jun 2008 | 11:00 pm
OK, let's get to the bottom of this. Will the CVs of white men be chucked on
to the reject pile by the Equality Bill or not? I call Harriet Harman's
press office and this is the deal: given two equal candidates, a company may
select on the basis of gender or ethnicity to rectify some existing
imbalance. A male teacher might be good news for boys in an all-woman
primary school, a black police officer an asset in an Afro-Caribbean
neighbourhood. Fair enough. Source: Latest Business News from Times Online | 27 Jun 2008 | 11:00 pm
There is now no doubt about it. Even the cheeriest of optimists would have to
acknowledge that we are in the grip of a pronounced bear market. The FTSE
100 has slumped by more than 500 points in the past month and from the peak
of last October is down by 18 per cent. At one point yesterday it dived to
5,470, close to the nadir of the Bear Stearns panic in March, although it
managed a half-hearted rally at the end of the day. Source: Latest Business News from Times Online | 27 Jun 2008 | 11:00 pm
Families have suffered the steepest drop in their disposable income for nearly
a decade, forcing them to cut back drastically on how much they save. Source: Latest Business News from Times Online | 27 Jun 2008 | 11:00 pm
Sony Ericsson yesterday said it would miss its finanical targets this quarter
as rising food and fuel prices in emerging markets ate into sales of mobile
phones. Source: Latest Business News from Times Online | 27 Jun 2008 | 11:00 pm
A dispute over costs and taxes is hindering a huge offshore gas development
that could bring fresh fuel supplies to Britain. Source: Latest Business News from Times Online | 27 Jun 2008 | 11:00 pm
While other airlines cut flights and tack on fees, Southwest Airlines has avoided passing rising costs on it to customers by locking in fuel prices years in advance. Jeff Tyler reports. Source: Marketplace | 27 Jun 2008 | 10:52 pm
Investor's Business Daily - The Senate confirmed Elizabeth Duke to join the Fed's 7-member Board of Governors, more than a year after President Bush nominated her and Larry Klane to fill empty seats. Klane still hasn't been confirmed. Bush also has appointed Fed Gov. Randall Kroszner to a new term. Dems aren't moving on that either, though he can stay in office until a replacement is named. Fed Gov. Frederic Mishkin will step down at the end of Aug. Source: Yahoo! News: Business | 27 Jun 2008 | 10:48 pm
MBIA Inc. is selling municipal bonds to raise cash for billions of dollars in payments that were triggered by its recent rating downgrade by Moody's Investors Service, according to a media report.
The year is only half over, but tortured mutual-fund investors must already be counting the days until they can shred the 2008 calendar the way the unforgiving market has sliced into their stock portfolios.
The Fed is getting a lot of heat for not doing anything about the weakness in the dollar and experts all have their own suggestion on what the Fed should do next. Nancy Marshall Genzer reports. Source: Marketplace | 27 Jun 2008 | 10:37 pm
Merrill Lynch will decide over the next fortnight whether to sell its $5bn-plus stake in the media group Bloomberg or its $10bn holding in the asset manager BlackRock as pressure grows on the Wall Street bank to raise capital Source: FT.com - US homepage | 27 Jun 2008 | 10:37 pm
Reuters - As the Federal Reserve and
securities regulators neared an agreement on investment banks,
leaders of the U.S. Senate Banking Committee on Friday warned
them not to get ahead of Congress with any Wall Street reforms.
WASHINGTON (Reuters) - As the Federal Reserve and securities regulators neared an agreement on investment banks, leaders of the U.S. Senate Banking Committee on Friday warned them not to get ahead of Congress with any Wall Street reforms.
Global stock markets have suffered a sell-off sparked by worries about the economy and record oil prices Source: BBC News | Business | World Edition | 27 Jun 2008 | 10:28 pm
CALGARY, June 27 /PRNewswire-FirstCall/ - Canadian Pacific (TSX/NYSE: CP) will release its second-quarter financial and operating results at 7:30 a.m. Eastern time (5:30... Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Jun 2008 | 10:23 pm
AP - Wall Street ended a depressing week with another big loss on Friday, with the Dow Jones industrials falling more than 100 points amid ever-escalating worries about high oil prices and fallout from the credit crisis. The major indexes are all down more than 3 percent for the week.
WORCESTER, MA, June 27 /PRNewswire/ - Repechage Investments Limited, owner of the Elephant & Castle family of pubs, today announced that its subsidiaries comprising... Source: Infocious RSS raw feed - channel BNewsBusiness | 27 Jun 2008 | 10:09 pm
Stocks slipped Friday, with the Dow briefly crossing into bear market territory, as record-high oil prices, a weak dollar and more financial market woes rattled investors for a second session.
John and Lupe Rodriguez lacked a good credit score, but with the help of a new program, they managed to get a loan without going subprime. David Brancaccio reports. Source: Marketplace | 27 Jun 2008 | 9:55 pm
WASHINGTON (Reuters) - The U.S. Federal Reserve worried about exposing its balance sheet to credit risks when it launched a lending facility for top bond dealers in an emergency move in mid-March, minutes of two Fed meetings released on Friday showed.
DETROIT (Reuters) - U.S. auto sales in June are expected to post a double-digit decline, dropping to a 15-year low as record gas prices killed the market for trucks and SUVs and made it impossible for many drivers to swap out for more fuel-efficient, new cars.
WASHINGTON (Reuters) - Lockheed Martin Corp has received a $1.38 billion U.S. Air Force contract modification to extend government and military launch services through September 30, 2009, the Defense Department said Friday.
Global equities were heading for their worst first-half performance in 26 years after a week in which oil surged to a record and there were renewed worries about the health of the financial system and global growth Source: FT.com - US homepage | 27 Jun 2008 | 9:26 pm
Would you pay over $5 for all-natural cleaner made with eucalyptus essence? How about a 20% premium for paper towels made from 100% unbleached recycled paper? Shoppers are often asked to pay more for environmentally friendly goods, but they might want to think twice before shelling out.
WASHINGTON (Reuters) - U.S. consumer spending jumped last month as government stimulus checks boosted household budgets and pushed the saving rate to a 13-year high, but another report released on Friday showed confidence took a hit.
Political tension and astronomical inflation have taken a toll on Zimbabwe's economy, but some investors see opportunity amid the turmoil. Gretchen Wilson reports. Source: Marketplace Money | 27 Jun 2008 | 8:47 pm
In our continuing series on the essential elements of estate planning, Kiplinger's John Ventura returns to talk to Tess Vigeland about establishing a durable power of attorney. Source: Marketplace Money | 27 Jun 2008 | 8:46 pm
As part of our series on estate planning, we're talking to people familiar with dealing with death. This week, we hear from one of our listeners forced to confront her own mortality. Source: Marketplace Money | 27 Jun 2008 | 8:46 pm
On this week's "A Day in the Work Life," we pick up the baton with Boston Pops conductor Keith Lockhart. Source: Marketplace Money | 27 Jun 2008 | 8:46 pm
In this edition of Getting Personal, Chris and Tess talk about Employee Stock Purchase Plans, emergency money for students overseas and financial planning towards the end of life. Source: Marketplace Money | 27 Jun 2008 | 8:46 pm
Between exchange rates and gas prices, the economy is conspiring to keep us cooped up all summer long. Commentator Robert Reich tries to align his travel plans with his bank account. Source: Marketplace Money | 27 Jun 2008 | 8:46 pm
We're taking you back to the basics with our summer refresher course on finance terms. Today, learning some restraint with dollar cost averaging. Source: Marketplace Money | 27 Jun 2008 | 8:46 pm
All eyes are on Washington as the Supreme Court wraps up its term. Economics editor Chris Farrell sets the story straight on some of the court's recent workplace-related rulings. Source: Marketplace Money | 27 Jun 2008 | 8:46 pm
Credit counselors have noted a trend: One spouse who's been unfaithful with their pocketbook asking for help with the debt they've kept secret from their partner. Ashley Milne-Tyte reports. Source: Marketplace Money | 27 Jun 2008 | 8:45 pm
Reuters - Stocks fell on Friday, pushing the Dow
to the brink of a bear market, hounded by concerns that record
oil prices and the seemingly endless credit crisis will further
damage the economy.
US personal spending climbs in May as the government's economic stimulus plan boosts incomes. Source: BBC News | Business | World Edition | 27 Jun 2008 | 8:37 pm
Oil prices settled above $140 a barrel for the first time Friday during a thinly traded session on Friday as a selloff on Wall Street sent the Dow into bear market territory.
NEW YORK (Reuters) - Anheuser-Busch Cos Inc's board is in the hot seat after spurning a $46.3 billion takeover bid, facing questions over whether it is fulfilling its obligations to shareholders and not just the wishes of the brewer's founding family.
The job cuts are among the largest in the German industrial conglomerate's history and could revive debate in the country about companies slashing their workforces even as they make record profits Source: FT.com - US homepage | 27 Jun 2008 | 8:11 pm
Oil prices surged to a record above $142 a barrel, driven higher by a cocktail of supply concerns, dollar weakness, inflation fears and fresh turmoil in equity markets Source: FT.com - US homepage | 27 Jun 2008 | 7:57 pm
Smithfield Foods (SFD) S&P downgrades due to credit problems. Falls to $19.75 from 52-week high of $24.69. American Eagle Outfitters (AEO) President of the company is leaving, and retail is poor. Falls to $13.37 from 52-week high of $28.28. International Game Technology (IGT) Morgan Stanley downgrades after earnings. Sells down to $24.38 from 52-week high of $49.41. Huntsman (HUN) Still falling after failed IPO. Down to $9.76 from 52-week high of $28.40. Washington Mutual (WM) Still grave concerns about write-offs. Drops to $4.65 from 52-week high of $44.04. Ambac (ABK) More worries about future credit agency downgrades. Dips ot $1.60...
NEW YORK (Reuters) - Oil prices rose to a record near $143 a barrel on Friday as a drop in global equities markets sent fresh investors into commodities.
A lower US dollar and tumbling stock markets has helped push the price of crude to US$142 a barrel.
Dealers say money is being pulled out of equities and when that happens it is put into commodities such as oil, driving up the... Source: New Zealand Herald - Business | 27 Jun 2008 | 7:22 pm
Crude oil retreats slightly after breaking through $142 a barrel, on concerns that supply will not meet demand. Source: BBC News | Business | World Edition | 27 Jun 2008 | 7:20 pm
Reuters - The U.S. Federal Reserve worried
about exposing its balance sheet to credit risks when it
launched a lending facility for top bond dealers in an
emergency move in mid-March, minutes of two Fed meetings
released on Friday showed.
After sixteen months of often bitter disunity, Hillary Clinton and Barack Obama staged a "Unity Rally" in the town of Unity, New Hampshire – just in case anyone might have missed the point Source: FT.com - US homepage | 27 Jun 2008 | 7:04 pm
"Make no mistake about it," U.S. Rep. Bart Stupak, D-Mich., said Monday while chairing a meeting of the House Energy and Commerce subcommittee on Oversight and Investigations. "Excessive speculation in commodity markets is having a devastating effect at the gas pump that is rippling through our entire economy."
This week could be called "official bear market territory" with some traders, but IPO traders might call this one the "IPO Withdraw Week." As you will see below, we had three IPO filings get formally withdrawn this week. Initiate Systems, Inc.withdrew its planned IPO...."The initial public offering would have been a discretionary financing for the Registrant. The terms currently obtainable in the public marketplace are not sufficiently attractive to the Registrant to warrant proceeding with the initial public offering. " Broncus Technologies, Inc. withdrew its IPO "due to current public market conditions" Sonics also withdrew its IPO on Monday in...
Anheuser-Busch, the US brewer, said it would cut costs and increase share buy-backs as it set out its justification for rejecting a $46bn bid from rival brewer InBev Source: FT.com - US homepage | 27 Jun 2008 | 6:19 pm
Dick Fuld, Lehman Brothers' chief executive, and one of his closest lieutenants will not receive a bonus this year to atone for the investment bank's poor performance - a sign that Wall Street is set for year of meagre pay-outs Source: FT.com - US homepage | 27 Jun 2008 | 6:08 pm
As oil prices continue to break records, the nation's six leading airlines have announced capacity cuts for 2008, trimming flights in major hubs and cutting off service to dozens of discount destinations.
NEW YORK (Reuters) - Consumer confidence fell more than expected in June, hitting another 28-year low as surging prices and mounting job losses contributed to a bleak outlook, according to a survey released on Friday.
The Treasury Department said Friday that it sent out 9.7 million economic stimulus checks this week, totaling $7.5 billion. Only two weeks remain until the majority of the stimulus payments are distributed, according to the Treasury Department.
At times it might have seemed like we'd never get there, but Finance Minister Michael Cullen's ultimate solution to the problem of how to get Kiwis to provide for their retirement celebrates its first anniversary on Tuesday.
Has... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
School leavers would be more enthused about KiwiSaver if they were told a little more about it, say economics students at Mt Albert Grammar.
"We're told it's good, but why is it good? We don't know," Nick Colling said.
Colling... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
Shares in The Warehouse Group dived yesterday after the company downgraded its profit guidance by 10 per cent because of deteriorating consumer confidence and retail spending.
After-tax earnings for the year ending July 27 were... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
An email arrived this week from an overseas-based New Zealand businessman containing the simple question: "How can a vibrant NZ economy ticking along at 3-4 per cent growth just go into such severe reverse, particularly when the dairy... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
Four international airlines have agreed to pay US$504 million ($667 million) in fines to settle charges they conspired to fleece consumers by driving up cargo shipping prices.
The Justice Department called the case one of the largest... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
It might have brought some small comfort to investors in failed finance companies to see two accountants held to ... .er ... account this week for their failure to adequately audit the books of National Finance 2000 - which went into... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
Sky Television has fired more salvos at TVNZ, MediaWorks and Freeview as it steps up a television war with free-to-air channels.
Sky yesterday released an additional "cross submission" delivered to the Ministry for Culture and... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
Oil fell yesterday on profit taking after a near 4 per cent surge the previous session to a record above US$140 ($184.92), as US lawmakers approved legislation aimed at curbing energy market speculation.
US light crude for August... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
Sony, the world's second largest electronics company, has unveiled an £8.6 billion ($22.4 billion) investment programme aimed at returning it to the top spot.
Sir Howard Stringer, Sony chief executive, said a three-year restructuring... Source: New Zealand Herald - Business | 27 Jun 2008 | 5:00 pm
After failing to approve an omninbus housing rescue package this week, the Senate is scheduled take up the bipartisan-supported bill again the week of July 7.
For the past two months, all the news from Cheniere Energy (AMEX:LNG) has been bad. First, there was the triple whammy. Then there was an awful earnings report for Cheniere and its spin-off, Cheniere Energy Partners (AMEX:CQP). Last, the company's stock hit a 52-week low on May 9th, and has dropped as low as $3.65/share since then. Cheniere shares hit a high of $5.05 today on the company's announcement that it has reached a marketing agreement for its re-gasified LNG at the Sabine Pass terminal. Cheniere Partners reached $9.42 earlier today, before backing off to $9.12 currently. A subsidiary of...
If you have followed the launch of the "cool cellular" service called Helio over the last year or so, you might be among the few who remembered it even launched. This was the joint venture between Earthlink Inc. (NASDAQ: ELNK) and SK Telecom (NYSE: SKM). Richard Branson's Virgin mobile USA Inc. (NYSE: VM) has decided it might be able to to turn this into shinola, and if it doesn't work out it will have ended up being a tiny gamble. Virgin is acquiring Helio for nearly $39 million. But it is acquiring the company with 13 million shares of stock....
Robert Mugabe is expected to rush out the results of Zimbabwe's widely condemned presidential elections so he can be inaugurated before he attends an African Union summit in Egypt next week, western diplomats said Source: FT.com - US homepage | 27 Jun 2008 | 2:56 pm
Reuters - Consumer confidence fell more than
expected in June, hitting another 28-year low as surging prices
and mounting job losses contributed to a bleak outlook,
according to a survey released on Friday.
We have been running through many companies to determine which dividends appear safe. Investors chase high dividend stocks with stable earnings when they are concerned about where to put their money. We looked for stocks with dividend yields north of 4.5% (above 10-YR T-Note) as the cut-off and those who are expected to see earnings remain ample to maintain the numbers. We had to eliminate everything tied to financial stocks in this climate as many dividends there are trimmed. We also had to eliminate anything tied to high volatility and anything tied to auto's. We screened many others, but here...
Up to 30,000 Volkswagens are damaged by hail stones the size of tennis balls hitting new cars at its Emden plant. Source: BBC News | Business | World Edition | 27 Jun 2008 | 2:21 pm
Tesco investors vote against plans to lift welfare standards for chickens backed by TV chef Hugh Fearnley-Whittingstall. Source: BBC News | Business | World Edition | 27 Jun 2008 | 1:40 pm
House prices in England and Wales were unchanged in May and up 1.8% over the year, the Land Registry says. Source: BBC News | Business | World Edition | 27 Jun 2008 | 1:25 pm
Batten down the hatches: More Wall Street executives are saying they will give up their bonuses.
In the wake of losses sustained in the credit crunch, John Mack of Morgan Stanley gave up his 2007 bonus, as did top executives of Bear Stearns and Merrill Lynch.
Lately, Lehman Brothers has been the Street's problem child, and Yalman Onaran of Bloomberg News reports that its C.E.O., Richard Fuld, and its president, Herbert (Bart) McDade, told the firm's managing directors this week that they will forgo 2008 bonuses.
The bonus is typically the majority of a Wall Street professional's annual compensation. But these are hard times, with credit markets mired and with deals and offerings chilled.
"I'd be surprised if other C.E.O.'s didn't give up their bonuses this year," Jeanne Branthover, the New York-based head of the financial-services practice at Boyden Global Executive Search, told Bloomberg.
Don't shed any tears for Fuld, however. The chief executive received $40 million last year, and nearly all of that was a bonus. Allan Sloan in Fortune recently calculated that Fuld has gained nearly $500 million from stock options and restricted stock awards since Lehman was spun off from American Express in 1994.
Mobile phone maker Sony Ericsson warns investors that its profits would be less than previously expected. Source: BBC News | Business | World Edition | 27 Jun 2008 | 12:14 pm
Angelo Mozilo may be the busy chief executive of the nation's biggest mortgage lender, but it turns out he had time for many, many friends.
Two weeks ago, Daniel Golden reported on Portfolio.com how a little-known program at the lender Countrywide Financial provided mortgages at favorable terms to former cabinet members, a former ambassador, and two senators, including Christopher Dodd, the chairman of the Senate Banking Committee. Countrywide's V.I.P. program waived points, lender fees, and company borrowing rules for its "friends." (For Portfolio.com's complete coverage of the Countrywide loan scandal click here.)
But it was not only elected officials and the powerful and politically connected who received the V.I.P. treatment.
James Hagerty and Glenn Simpson of the Wall Street Journalreport today that the program helped a number of others, including the daughter of a casino manager, former Indiana Pacers center Rik Smits, and former San Francisco 49ers offensive lineman Harris Barton.
While the possible motivation for favorable loans to the politically connected is apparent, it's not why Mozilo might have recommended these customers.
The Journal says: "Mr. Mozilo regularly lined up loans for people he met, according to several current and former Countrywide executives. Said one: 'Angelo would call in and say, literally, My maid needs a loan.'"
The paper notes that while there is nothing illegal in offering loans at favorable terms, it is not necessarily in the interest of shareholders.
That problem will soon be Bank of America's, as its acquisition of Countrywide closes next week.
On Thursday, the bank said it would eliminate about 7,500 jobs, or more than 12 percent of the two companies' mortgage, home equity, and insurance businesses, after the merger.
Aiful is considering legal action against Lehman Brothers, after a report this week by the US broker said the Japanese lender was "arguably insolvent" on the basis of its parent loan balance Source: FT.com - US homepage | 27 Jun 2008 | 11:34 am
Friday afternoon the Dow Jones industrial average was down 1.2 percent, putting it 20 percent below its high of October 9, 2007—the definition of a bear market. This month alone, the Dow is down 10 percent, its worst June since 1930.
The Dow ended the day down 107 points, or 0.93 percent.
The decline comes amid signs that banks and other financial institutions are still struggling to escape the credit quagmire.
Shares of the insurance giant American International Group tumbled after Bloomberg News reported that it plans to absorb as much as $5 billion of losses from insurance units.
Roger Freeman, an analyst with Lehman Brothers, has estimated that Merrill Lynch will need to take write-downs of as much as $5.4 billion in its second quarter, much higher than other analysts' estimates.
"We did a deeper review of Merrill's monoline exposures on non-A.B.S. C.D.O.'s [asset-backed security and collateralized-debt obligation assets]," Freeman said, according to Reuters. "This incremental $1.7 billion of write-downs constitutes the majority of our adjustment."
Financial shares have led the recent market slump, assuming the role that internet stocks had in the bursting of the Nasdaq market bubble, notes E.S. Browning of the Wall Street Journal.
"The past months' cascading fall is reminiscent of how technology stocks led the way to the last bear market after the dotcom boom," Browning says.
Today, crude oil prices surged to nearly $143 a barrel for the first time before settling at $140.21.
Asian markets closed sharply lower, while many European markets were lower at midday. The Shanghai index tumbled 4.5 percent, while markets in Japan, Taiwan, and South Korea all fell more than 2 percent.
"We've still got bad news on the credit crunch, we've got bad news about consumers," Garry Evans, an equity strategist at HSBC in Hong Kong, told the BBC.
On Thursday, the Dow Jones industrial average fell 358 points.
In coverage this morning, Goldman Sachs has come out and reiterated the firm's Cautious analyst coverage view for the corn-based ethanol producers. Specifically, the firm has reiterated its "SELL" ratings on: Aventine Renewable Energy (NYSE: AVR), Pacific Ethanol NASDAQ: PEIX), and VeraSun Energy (NYSE: VSE). The firm notes that corn markets are already short of supply already tight and that spot prices are now much higher because of the Midwest flooding. It also noted that the next big ramp-up in ethanol capacity will keep pressure on ethanol equities. As part of this call, Goldman Sachs made wider loss projections for...
These are the earl-bird upgrades and downgrades we are seeing in Telecom, Tech, and I.T. on this Friday morning with about two and a half hours to open: ARM Holdings (NASDAQ: ARMH) raised to Outperform at Credit Suisse. F5 Networks (NASDAQ: FFIV) started as Buy at Deutsche Bank. McAfee (NYSE: MFE) Started as Outperform at R.W.Baird. Motorola (NYSE: MOT) Started as Underperform at Credit Suisse. Nokia (NYSE: NOK) Downgraded to Neutral at Credit Suisse. Novell (NASDAQ: NOVL) Raised to Buy from Hold at Jefferies. Qualcomm (NASDAQ: QCOM) Started as Outperform at Credit Suisse. Tibco Software (NASDAQ: TIBX) Raised to Hold...
The Wall Street Journal has unearthed a memo from Steve Ballmer, CEO of Microsoft (MSFT). In it, he lays out some of his plans for the company. The program falls into four buckets. The first is that he will more carefully monitor the launch of Windows 7, which will eventually replace the doomed Vista OS. Next, he will set up a structure which allows the operating groups within the company to work more closely together. Third, he wants to build out a consumer electronics group. As the paper writes, "He now is pushing to more aggressively attack the consumer market...
Experts said the dramatic event still leaves unresolved questions about the North's commitment to a nuclear disarmament deal Source: FT.com - US homepage | 27 Jun 2008 | 10:11 am
Reuters - Stocks will start the second half of
2008 staring into the jaws of a bear market.
Reuters - As the Federal Reserve and
securities regulators neared an agreement on investment banks,
leaders of the U.S. Senate Banking Committee on Friday warned
them not to get ahead of Congress with any Wall Street reforms.
AP - Wall Street ended a depressing week with another big loss on Friday, with the Dow Jones industrials falling more than 100 points amid ever-escalating worries about high oil prices and fallout from the credit crisis. The major indexes are all down more than 3 percent for the week.
Reuters - Stocks fell on Friday, pushing the Dow
to the brink of a bear market, hounded by concerns that record
oil prices and the seemingly endless credit crisis will further
damage the economy.
Reuters - Oil prices rose to a record near $143
a barrel on Friday as a drop in global equities markets sent
fresh investors into commodities.
Reuters - The U.S. Federal Reserve worried
about exposing its balance sheet to credit risks when it
launched a lending facility for top bond dealers in an
emergency move in mid-March, minutes of two Fed meetings
released on Friday showed.
Reuters - Consumer confidence fell more than
expected in June, hitting another 28-year low as surging prices
and mounting job losses contributed to a bleak outlook,
according to a survey released on Friday.