World Business News Headlines for July 29, 2008

Wall Street tumbles as IMF warns America's housing slump is not over

The New York stock market slid more than 2 per cent last night as Wall Street took fright from a warning by the International Monetary Fund that there is no end in sight for the US housing slump.
Source: Latest Business News from Times Online | 29 Jul 2008 | 7:46 pm

Palm's Centro Leads Shares (PALM, S, VZ)

Palm, Inc. (NASDAQ: PALM) has not been without its problems. But there seems to be a saving grace here with strong unit sales. The Palm Centro has now reached its 2-millionth unit sold. It seems that the market place's desire to get smartphones is adding to the love, particularly for the $99.00 price tag for a strapped consumer in a tough economy. The Centro is also now in 25 countries. At first this was exclusive to Sprint Nextel (NYSE: S), but over the last two or three weeks it has become available for sale via Verizon (NYSE: VZ) as well.

Source: 24/7 Wall St. | 29 Jul 2008 | 2:23 pm

Alcatel-Lucent chiefs to step down

The beleaguered telecoms equipment group is ditching both its chairman and chief executive, part of a broader management shake-up following turmoil since it was created from a transatlantic merger two years ago
Source: FT.com - US homepage | 29 Jul 2008 | 2:22 pm

Bond Report: Treasurys decline as stocks shoot higher

Treasurys declined early Tuesday, sending yields up, as U.S. stock markets headed higher.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 2:18 pm

U.S. Steel's profit doubles on higher prices; shares rally

Shares of United States Steel Corp. rally as the company’s second-quarter profit more than doubles on prices pushed higher by surging global demand for its steel products.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 2:14 pm

Loss-making Alcatel-Lucent dumps CEO and chairman

PARIS (Reuters) - Alcatel-Lucent ousted its chairman and chief executive on Tuesday and lowered profit expectations yet again -- further evidence that Asian rivals, Ericsson and Nortel are taking market share.

Source: Reuters: Business News | 29 Jul 2008 | 2:11 pm

Rackspace IPO Closer to Market

It doesn't take a rocket scientist to realize that the IPO market is limited or closed to most markets. But solid companies with solid growth stories can still tap the markets. Enter Rackspace Hosting Inc. The web hosting and storage company has now begun its IPO auction process. Rackspace will offer 12.7 million shares and selling shareholders will sell 2.3 million shares of stock in the IPO. Underwriters were given a 30-day over-allotment option to sell up to 2.25 million shares.

Source: 24/7 Wall St. | 29 Jul 2008 | 2:09 pm

Disregard Bond Insurance, Rating Companies: Commentary

Source: Bloomberg - All Podcasts | 29 Jul 2008 | 2:08 pm

Americans remain gloomy about the economy (AP)

AP - Americans, squeezed by higher gas and food prices and a housing market that keeps slumping, remain the most pessimistic about the economy since the tail end of the last prolonged recession 16 years ago, a private research group said Tuesday.
Source: Yahoo! News: Business | 29 Jul 2008 | 2:07 pm

Investor Pickens drops Yahoo shares: report

NEW YORK (Reuters) - Billionaire oil investor T. Boone Pickens has sold his entire stake of Yahoo Inc shares in frustration over its failure to reach a deal with Microsoft Corp , the San Francisco Chronicle reported on Tuesday.

Source: Reuters: Business News | 29 Jul 2008 | 2:07 pm

July consumer confidence rises from 16-year low

NEW YORK (Reuters) - Consumer confidence crept higher in July from the previous month's 16-year low as worries over inflation receded slightly, the Conference Board said on Tuesday.

Source: Reuters: Business News | 29 Jul 2008 | 2:05 pm

July consumer confidence rises from 16-year low (Reuters)

Reuters - Consumer confidence crept higher in July from the previous month's 16-year low as worries over inflation receded slightly, the Conference Board said on Tuesday.

Source: Yahoo! News: Business | 29 Jul 2008 | 2:01 pm

Merrill to Post Bigger-Than-Estimated Loss, Credit Suisse Says

Source: Bloomberg - All Podcasts | 29 Jul 2008 | 2:01 pm

Earnings Watch: Updates, advisories and surprises

A roundup of the latest corporate earnings reports and what companies are saying about future quarters.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 2:01 pm

Merrill Lynch's shares fall on worries over dilution

In a surprise move to jettison bad assets and clean up its balance sheet, Merrill Lynch agrees to sell $8.5 billion in new stock. Shares touch a 52-week low on worries that existing stockholders' interests would be diluted.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 2:00 pm

Home prices fell at record pace in May: S&P (Reuters)

Reuters - Prices of U.S. single-family homes plunged at a record pace in May from a year earlier, with each of the 20 regions monitored showing annual declines for a second month, according to the Standard & Poor's/Case Shiller home price indexes reported on Tuesday.

Source: Yahoo! News: Business | 29 Jul 2008 | 1:58 pm

Home prices fell at record pace in May: S&P

NEW YORK (Reuters) - Prices of U.S. single-family homes plunged at a record pace in May from a year earlier, with each of the 20 regions monitored showing annual declines for a second month, according to the Standard & Poor's/Case Shiller home price indexes reported on Tuesday.

Source: Reuters: Business News | 29 Jul 2008 | 1:58 pm

SIRIUS Dilution & Low Convertible Debt Price Weigh On Shares (SIRI, XMSR)

SIRIUS Satellite Radio, Inc. (NASDAQ: SIRI) has finally completed its merger with XM Satellite Radio (XMSR). In fact, SIRIUS is the only surviving stock now as XM doesn't trade any longer after last night. SIRIUS has made a securities sale that is comprised of stock and debt, and the equity portion appears to be adding some worries over dilution on top of what may be a low conversion price of debt. last night, Jim Cramer panned the common stock being as safe as a lotto ticket and said he'd look at buying debt if you can.

Source: 24/7 Wall St. | 29 Jul 2008 | 1:55 pm

Energy Stocks: Sector falls into the red as oil dips

Energy stocks fell in early action on Tuesday, with earnings updates from oil major BP and refining giant Valero on tap, along with falling oil prices and problems for Royal Dutch Shell in Nigeria.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 1:55 pm

Abbey overtakes HBOS as new mortgage leader

Abbey, the Spanish-owned high street bank, has overtaken HBOS as the UK's biggest lender of new mortgages, supplying 26 per cent of all home loans taken out in the first half.
Source: Latest Business News from Times Online | 29 Jul 2008 | 1:52 pm

Equities Get a Bounce

Traders returned to stocks the day after a selloff, in spite of more weakness in housing and financials.

Source: SmartMoney.com | 29 Jul 2008 | 1:52 pm

BP profits soar on record oil price

Europe's second-largest oil company reported a 28% rise in second-quarter profits to $9.46bn but said it was 'not possible' to predict the outcome of a dispute over TNK-BP, its troubled Russian joint venture
Source: FT.com - US homepage | 29 Jul 2008 | 1:52 pm

Home prices drop record 15.8%

May home prices dropped a record 15.8% from a year ago, according to the S&P/Case-Shiller Home Price Index of 20 cities. It was the 22nd consecutive month of decline recorded by the index.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 1:51 pm

British Airways, Spain's Iberia enter into merger talks

British Airways and Spain’s Iberia on Tuesday enter merger talks as the airlines seek to slash costs to combat surging oil costs and placate cash-strapped customers.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 1:51 pm

Venture capital cash keeps flowing

The economy may be slumping, but the venture capitalists are still spending.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 1:50 pm

How a natural gas boom may threaten your water

New technology and higher prices have brought vast domestic oil and natural gas deposits within reach to a country desperate for new energy sources. But danger comes with this bounty: Chemicals used to extract this energy may contaminate the groundwater.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 1:49 pm

US home prices plunge by 15.8%

US home prices fell sharply in May by a record 15.8 per cent, according to data released on Tuesday, offering scant evidence that the ailing US housing industry is on the path to recovery
Source: FT.com - US homepage | 29 Jul 2008 | 1:47 pm

Oil resumes slide on OPEC comments

Oil prices fell below $124 a barrel Tuesday after OPEC's president said crude prices were abnormally high and that high prices did not result from lack of supply.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 1:46 pm

Female workers win in pay ruling

Pay schemes that perpetuate sexual discrimination are deemed illegal in a landmark Court of Appeal ruling.
Source: BBC News | Business | World Edition | 29 Jul 2008 | 1:45 pm

Wall Street opens higher as oil declines (Reuters)

Reuters - Stocks rose at the open on Tuesday as the price of oil fell and a batch of companies, including Amgen , reported stronger-than-expected earnings.

Source: Yahoo! News: Business | 29 Jul 2008 | 1:45 pm

Wall Street opens higher as oil declines

NEW YORK (Reuters) - Stocks rose at the open on Tuesday as the price of oil fell and a batch of companies, including Amgen , reported stronger-than-expected earnings.

Source: Reuters: Business News | 29 Jul 2008 | 1:44 pm

XL to raise $2.5 billion selling new securities

XL Capital fell more than 10% in early Tuesday trading following word of its plans to raise $2.5 billion selling new stock and other securities to extricate itself from agreements with struggling bond insurer Security Capital Assurance.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 1:43 pm

Retired? How to ride the rough market

When the market gets rocky, it can be especially hard on retirees who can't afford to wait out the bumps. Give your portfolio a check up and make sure your investing strategy still works for you.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 1:42 pm

Economic Report: U.S. home prices down 15.8% in year through May, S&P says

Home prices in 20 major U.S. cities have fallen a record 15.8% in the past year, as prices as tracked by the Case-Shiller index drop across the board, Standard & Poor's reports.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 1:42 pm

Teck buys Fording Coal in $14.1 billion deal

TORONTO (Reuters) - Teck Cominco said on Tuesday it would buy Fording Canadian Coal Trust in a cash and stock deal worth $14.1 billion which would double its exposure to the lucrative metallurgical coal market.

Source: Reuters: Business News | 29 Jul 2008 | 1:40 pm

iPhone apps: 1,001 and counting

Apple's iPhone apps store is a hit with consumers -- but on the developer side, tempers are becoming increasingly frayed.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 1:40 pm

BA and Iberia hold merger talks

British Airways and Spain's Iberia are in talks over a merger as the airlines attempt to weather economic turbulence.
Source: BBC News | Business | World Edition | 29 Jul 2008 | 1:40 pm

AirTran swings to a quarterly loss on jet fuel

AirTran Holdings Inc. said Tuesday it swung to a second-quarter loss as higher fuel prices outpaced route growth and improved gains in its fuel hedging program.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 1:40 pm

Homeowners will struggle to get mortgages until 2010

Consumers may struggle to get mortgages for the next three years an official report has warned, sparking calls from banks and house builders that the Government must now urgently intervene to help house-buyers.
Source: Telegraph Business | 29 Jul 2008 | 1:40 pm

Subprime Today: Merrill to raise $8.5 bln selling new stock

In a surprise move to jettison bad assets and clean up its balance sheet, Merrill Lynch late Monday said it is selling $8.5 billion in new stock to help cover losses from billions of dollars of bad investment that it sold a quarter on the dollar. See full story.

Source: MarketWatch.com - Top Stories | 29 Jul 2008 | 1:40 pm

Stocks open with gains

U.S. stocks opened higher Tuesday as investors cheered a move by Merrill Lynch to shore up its financial condition.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 1:39 pm

Poor mobile phone sales hit Sony profits

A downturn at its mobile phone business and a firmer yen have eaten into its profits and cut its annual outlook after a sharp slowdown at its Sony Ericsson mobile phone business
Source: FT.com - US homepage | 29 Jul 2008 | 1:32 pm

Wall Street analysts see bigger 2008 loss for Merrill

BANGALORE (Reuters) - Several analysts, including Oppenheimer's Meredith Whitney, widened their loss view on Merrill Lynch, after the Wall Street investment bank and brokerage said it will take a $5.7 billion third-quarter writedown as it unloads risky debt and raises $8.5 billion in capital.

Source: Reuters: Business News | 29 Jul 2008 | 1:29 pm

Valero Hits the Wall, Yet Bounces (VLO)

Valero Energy Corp. (NYSE:VLO) reported more bad news this morning on the earnings front, even though the bad news isn't as bad as many feared. Second quarter income from continuing operations totaled $734 million, down from $2.1 billion a year ago. EPS fell to $1.37, down from $3.57 on revenue of $36.64 billion. Analysts expected EPS of $1.33 on revenue of $34.93 billion.

Source: 24/7 Wall St. | 29 Jul 2008 | 1:28 pm

Indian interest rates rise to 9%

India's central bank increases its key interest rate to 9% from 8.5% in a bid to dampen surging inflation.
Source: BBC News | Business | World Edition | 29 Jul 2008 | 1:26 pm

Fears for collapse of trade talks

Talks to rescue a deal that will liberalise world trade appear close to collapse in Geneva amid deep differences.
Source: BBC News | Business | World Edition | 29 Jul 2008 | 1:25 pm

Analyst sees $8 billion Citi writeoff after Merrill move (Reuters)

Reuters - Deutsche Bank analyst Mike Mayo said on Tuesday that Citigroup Inc may post third-quarter write-downs of about $8 billion from its exposure to collateralized debt obligations (CDOs), a day after Merrill Lynch & Co agreed to sell its CDOs for just 22 cents on the dollar.

Source: Yahoo! News: Business | 29 Jul 2008 | 1:22 pm

Analyst sees $8 billion Citi writeoff after Merrill move

July 29 (Reuters) - Deutsche Bank analyst Mike Mayo said on Tuesday that Citigroup Inc may post third-quarter write-downs of about $8 billion from its exposure to collateralized debt obligations (CDOs), a day after Merrill Lynch & Co agreed to sell its CDOs for just 22 cents on the dollar.

Source: Reuters: Business News | 29 Jul 2008 | 1:22 pm

British Airways and Iberia in merger talks

LONDON/MADRID (Reuters) - British Airways and Spain's Iberia are in talks to forge the latest in a series of European airline mergers that could also form the basis of a three-way transatlantic tie-up.

Source: Reuters: Business News | 29 Jul 2008 | 1:21 pm

Northrop earnings boosted by new orders

America's third-largest defence contractor said profit in its second quarter rose 8 per cent on the back of new orders for its military equipment and electronics, as well as one-off tax benefits
Source: FT.com - US homepage | 29 Jul 2008 | 1:19 pm

Wall Street analysts see bigger 2008 loss for Merrill (Reuters)

Reuters - Several analysts, including Oppenheimer's Meredith Whitney, widened their loss view on Merrill Lynch , after the Wall Street investment bank and brokerage said it will take a $5.7 billion third-quarter writedown as it unloads risky debt and raises $8.5 billion in capital.

Source: Yahoo! News: Business | 29 Jul 2008 | 1:17 pm

Starbucks (SBUX) Dumps Kangaroos and Koalas

Australia, formerly the world's largest penal colony, will loss three-quarters of its Starbucks (SBUX) stores this week. That totals 61 locations. Starbucks will only keep its stores in Brisbane, Melbourne and Sydney open. Right where most of the competition is. The UK or Germany may be next. Panic has set in at SBUX headquarters with nothing to arrest it. Douglas A. McIntyre

Source: 24/7 Wall St. | 29 Jul 2008 | 1:17 pm

Merrill to sell assets, seeks $8.5 billion

Read full story for latest details.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 1:15 pm

BA in merger talks with Iberia

British Airways shares jumped after it said it was in talks with its Spanish counterpart Iberia about a possible all-share merger that would see both airlines retain their separate brands
Source: FT.com - US homepage | 29 Jul 2008 | 1:12 pm

FSA arrests eight in insider dealing raids

The Financial Services Authority (FSA), the City regulator, has arrested eight people and searched premises across the South East of England, including London, as part of a major investigation into insider dealing rings.
Source: Latest Business News from Times Online | 29 Jul 2008 | 1:10 pm

Wall St takes solace from solid earnings

US investors took some comfort from solid earnings at Amgen and Colgate-Palmolive and a fall in oil prices, offsetting writedowns at Merrill Lynch and a study showing further big falls in house prices
Source: FT.com - US homepage | 29 Jul 2008 | 1:03 pm

St James's Place denies HBOS sale as shares hit new low

Shares in St James's Place, the wealth manager part-owned by HBOS, fell to a near four year low today as the group announced a 5pc fall in operating profit.
Source: Telegraph Business | 29 Jul 2008 | 1:00 pm

Dentsu Inc. Launches DCI Los Angeles; New Division to Produce & Distribute New Animation Programs, Actively Seeking Co-Production Partners

Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 1:00 pm

Finally, Time to Start Over

Will John Thain have a spring in his step today? The Merrill Lynch C.E.O. must be feeling like he just completed a weeklong cleansing diet—lighter, healthier, happier. It was a painful process, but purging is sometimes the only way to start over.

And what other bloated, overweight bank C.E.O.'s will follow the trend? Deutsche Bank's equity analyst Mike Mayo thinks Citigroup will be next, and he's probably right. Mayo predicts that Citi will take another $8 billion hit on its big, messy pile of stinking collateralized debt obligation rot.

The time has come to completely start over. Sell the crap for whatever you can get and start to move on with business. Penning a would-be letter to banks from the Federal Reserve's Tim Geithner, BreakingViews Hugo Dixon implores other banking chiefs to join Thain in his feast on humble pie: "When Bear Stearns nearly went under, I had to absorb its $30 billion 'bad bank' onto my balance sheet to persuade J.P. Morgan to buy the rest. I don't want to end up with another bad bank myself. Much better that you hive off your bad banks yourself while you can."

Thain rightfully deserves the criticism he's getting this morning for the countless broken promises he's made, the way he misled investors, and the absurd overpricing of these assets less than one month ago.

But he deserves some credit for being the first to throw it all out for practically nothing and start over. (But, as Felix Salmon reminds us, just because this latest write-down was large, doesn't mean it's the last.)

What changed his mind? Even during the quarterly call last month, he seemed averse to the idea when Oppenheimer analyst Meredith Whitney suggested purging C.D.O. assets even when there wasn't a market for them:

Whitney: Could you set a market by hitting whatever cash bid there is out there and just get it over with?

Thain: No. I don't think we want to do dumb things, and so we've been, I think, pretty balanced in terms of what we sold and at what prices we sold them. And so we have not simply liquidated stuff at any price we could get. At some point, some of the return profiles that people want, you probably wouldn't want us to sell the assets. So I think we will continue to sell assets, but in a way that makes sense from generating returns to our shareholders.

What looked dumb in June somehow seemed smart to Thain in July. It's amazing what a diet can do to a person.

Source: Portfolio.com: Top 5 | 29 Jul 2008 | 1:00 pm

Search engine Cuil not a Google killer - yet

The startup founded by former Google engineers claims to outsearch the search giant, but the company's success depends on developing a superior ad platform. By Yi-Wyn Yen.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 12:57 pm

BA in merger talks with Spanish airline Iberia

British Airways and Iberia have taken a major step in the long awaited consolidation of the airline industry by revealing today they are in merger talks.
Source: Telegraph Business | 29 Jul 2008 | 12:45 pm

UK mulls mortgage market options

The government may have to guarantee billions of pounds of mortgage bonds in order to revive the market, a report says.
Source: BBC News | Business | World Edition | 29 Jul 2008 | 12:35 pm

XM and Sirius complete merger

Read full story for latest details.

Source: Business and financial news - CNNMoney.com | 29 Jul 2008 | 12:24 pm

Analyst sees $8 billion Citi writeoff after Merrill move

(Reuters) - Deutsche Bank analyst Mike Mayo said on Tuesday that Citigroup Inc may post about $8 billion in write-downs from its exposure to collateralized debt obligations (CDOs), a day...
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:22 pm

ATA Associates, Inc. Forms New Safety Education Company, Codega LLC, and Signs Ten-Year Contract With the American Trucking Associations

HOUSTON, July 29 /PRNewswire/ -- The catastrophic engineering firm ATA Associates recently formed Codega LLC, a company dedicated to providing creatively different and...
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:20 pm

Schroders Survey: U.S. Individual Investors Maintain Long-Term Focus in Building Portfolios

- Optimism for Domestic and International Equities Continues Amid Credit Crunch - NEW YORK, July 29 /PRNewswire-FirstCall/ -- Schroders, the $259 billion* global...
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:17 pm

US Steel 2Q profit more than doubles

United States Steel says its profit more than doubled in the second quarter, surpassing Wall Street's expectations, on increased demand and pricing. The Pittsburgh-based steel company...
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:15 pm

High Gas Prices Push Homebuyers to Go Green

With the cost of fuel reaching record highs, buyers pay closer attention to location BEVERLY HILLS, Calif., July 29 /PRNewswire/ -- In cities like Los Angeles, where...
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:15 pm

Mortgage approvals hit new low

Homeowners should brace themselves for further falls in the value of their properties after the Bank of England revealed a greater than expected drop in approved mortgages, experts warned.
Source: Telegraph Business | 29 Jul 2008 | 12:13 pm

Alcatel-Lucent chairman and CEO to quit

Both the chairman and chief executive of French telecommunications giant Alcatel-Lucent will resign later this year, the company said Tuesday, as stagnant demand from operators and the weak
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:11 pm

Google (GOOG) Operating Division Valuations, Undermining Market Cap

Google (GOOG) has a market cap of $150 billion. The company runs twenty properties each of some significant size from YouTube to Google Earth. Some of these operations probably add to Google’s overall value. However some divisions sharply decrease the value of Google by bringing in very little revenue, increasing the search company’s expenses, and narrowing its margins. 24/7 Wall St. looked at their twenty divisions to determine how much each of these are likely to add or subtract from Google’s market value based on their estimated income and expenses. Google’s corporate administration and sales staff costs are calculated at...

Source: 24/7 Wall St. | 29 Jul 2008 | 12:11 pm

Northrop Grumman profit up 8 percent

NEW YORK (Reuters) - Northrop Grumman Corp said on Tuesday quarterly profit rose 8 percent, helped by higher sales of its military equipment and electronics and some one-time tax benefits.
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:09 pm

GMAC Financial Services Schedules Release of 2008 Second Quarter Financial Results

NEW YORK, July 29 /PRNewswire/ -- GMAC Financial Services has scheduled the release of its 2008 second quarter financial results for Thursday, July 31, 2008. The press...
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:09 pm

Valero 2Q profit falls on lower margins

Valero Energy Corp., North America's largest refiner, says its second-quarter profit fell 67 percent as refining margins for products like gasoline shrank. The San Antonio-based company...
Source: Infocious RSS raw feed - channel BNewsBusiness | 29 Jul 2008 | 12:04 pm

The Animated Eisner

Michael Eisner, the longtime boss at Disney, always said he was a creative guy. It was just hard to tell in the midst of the constant state of battle in which he seemed to be, especially during his final years running the House of Mouse.

But now, Eisner's second act is in full bloom. His Tornante Company today said it has sold its first animated series, Glenn Martin D.D.S., to Viacom's Nickelodeon.

Maybe much like his new lead character—a dentist who leaves his practice behind and takes his family on a cross-country road trip in a van with a toothbrush on top—Eisner was truly looking for something different.

The program is expected to debut next summer, and Nickelodeon has ordered 20 episodes.

Now, other than worrying whether Sumner Redstone will keep his nose out of Glenn Martin's character development, it seems clear that Eisner is content with his new career. He doesn't seem to be itching to run a major media company and relishes the smaller, maybe more interesting, spotlight he's now in.

He's bought baseball-card giant Topps, produced some webcast video series, and now he has a buddy, Glenn Martin, D.D.S., to keep exploring what's next.

Related Links
How Mickey Got His Groove Back
Geraldine Laybourne
The Takeaway: Writers Strike, Day 92

Source: Portfolio.com: Top 5 | 29 Jul 2008 | 12:00 pm

Woolworths shares crash to seven-year low after profit warning

Shares in Woolworths crashed this morning to a seven-year low after the retailer issued a profit warning, saying that sales declined in the first half.
Source: Latest Business News from Times Online | 29 Jul 2008 | 12:00 pm

The Market's Down, Not Doomed (Today From Barron's)

The ingredients for a bottom are in place — but any significant upside will require help.

Source: SmartMoney.com | 29 Jul 2008 | 11:59 am

Santander boosted by growth in UK

Santander, Spain's biggest bank, on Tuesday posted a 6 per cent year on year increase in first-half net profits, as steady revenue growth in most markets helped offset currency factors and difficult conditions...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 11:58 am

Abbey grows mortgage market share

Banking group Abbey is set to overtake the Halifax to become the largest provider of new mortgages in the UK.
Source: BBC News | Business | World Edition | 29 Jul 2008 | 11:55 am

BA in merger talks with Iberia

British Airways on Tuesday said it was in talks with Spanish flag carrier Iberia about a possible all-share merger.Under the proposed deal, a new holding company would acquire both airlines at the same...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 11:55 am

AkzoNobel warns on dip in demand for paint

AkzoNobel, the world's largest paint maker, today gave warning that profits would fall short of earlier expectations because of the slowdown in the US and UK housing markets and rising raw material costs.
Source: Latest Business News from Times Online | 29 Jul 2008 | 11:51 am

Top Pre-Market Analyst Downgrades (ANF, AEO, ANN, CHS, CWTR, ENTR, IGT, MSA, OVTI, VNDA)

These are some of the analyst downgrades and negative calls we are seeing early this Tuesday morning: Abercrombie & Fitch (ANF) Started as Neutral at Goldman Sachs. American Eagle Outfitters (AEO) Started as Sell at Goldman Sachs. AnnTaylor Stores (ANN) Started as Sell at Goldman Sachs. Chico's FAS (CHS) Started as Sell at Goldman Sachs. Coldwater Creek (CWTR) Started as Sell at Goldman Sachs. Entropic Communications (ENTR) Cut to Neutral at Piper Jaffray. International Game Technology (IGT) Cut to Market Perform at Wachovia. Mine Safety Appliances (MSA) Cut to Neutral at Baird. OmniVision Technologies (OVTI) Cut to Neutral at JPMorgan....

Source: 24/7 Wall St. | 29 Jul 2008 | 11:51 am

BA and Iberia in merger talks

British Airways and Iberia are holding talks with a view to an all-share merger.
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 11:50 am

BA and Iberia in merger talks

British Airways and Iberia are holding talks with a view to an all-share merger.
Source: Telegraph Business | 29 Jul 2008 | 11:50 am

Crude steady amid talk of further falls

Oil prices hovered between $124 and $125 a barrel on Tuesday, holding steady for the second day running after two weeks of precipitous falls.Nigerian militants attacked two Royal Dutch Shell pipelines...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 11:45 am

Colgate-Palmolive profit rises

CHICAGO (Reuters) - Colgate-Palmolive Co on Tuesday reported a 19 percent jump in quarterly profit as price increases and sales in emerging markets and North America helped offset soaring commodity costs and weakness in parts of Western Europe.

Source: Reuters: Business News | 29 Jul 2008 | 11:38 am

Retailers report slowest July since 1983

High street sales slumped to a 25-year low this month as shoppers reined in their spending to offset rocketing energy bills.
Source: Latest Business News from Times Online | 29 Jul 2008 | 11:37 am

Top Pre-Market Analyst Upgrades (ARO, AMGN, DPS, EDS, ENR, PCAR, PBR, RAH, SAP, URBN, V)

These are some of the analyst upgrades and positive calls we are seeing early this Tuesday morning: Aeropostale (ARO) Started as Buy at Goldman Sachs. Amgen (AMGN) Raised to Buy at Citigroup. Dr. Pepper Snapple (DPS) Raised to Buy at UBS. Electronic Data Systems (EDS) Raised to Neutral at Credit Suisse. Energizer Holdings (ENR) Raised To Overweight at Morgan Stanley. Paccar (PCAR) Started as Overweight at JPMorgan. Petro Brasileiro-Petrobras- (PBR) Started as Overweight at HSBC. Ralcorp (RAH) Raised to Buy at Lehman. SAP AG ADR (SAP) Raised to Buy at Deutsche Bank. Urban Outfitters (URBN) Started as Buy at Goldman...

Source: 24/7 Wall St. | 29 Jul 2008 | 11:26 am

Unexpected quarterly loss for Nomura

Nomura Holdings, Japan's largest broker, yesterday reported an unexpected loss in the first quarter, reflecting continuing damage from the US subprime mortgage debacle and global market turmoil.The Japanese...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 11:24 am

Mortgage approvals plunge to new low in June

Homeowners have been warned to brace themselves for further falls in the value of their houses after figures from the Bank of England showed mortgage approvals have plummeted by more than two thirds in a year.
Source: Telegraph Business | 29 Jul 2008 | 11:13 am

Mortgage approvals plunge to new low in June

Homeowners have been warned to brace themselves for further falls in the value of their houses after figures from the Bank of England showed mortgage approvals have plummeted by more than two thirds in...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 11:13 am

Wolfson and CSR weigh on technology stocks

Wolfson Microelectronics and CSR weighed on technology stocks after reporting that the global economic slowdown is hitting orders.
Source: Telegraph Business | 29 Jul 2008 | 11:00 am

Wolfson and CSR weigh on technology stocks

Wolfson Microelectronics and CSR weighed on technology stocks after reporting that the global economic slowdown is hitting orders.
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 11:00 am

Financials lead European losses

European equities resumed their downward trend on Tuesday as the beleaguered financial sector came under renewed pressure after Merrill Lynch in the US took a large third-quarter writedown.By midday, the...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 10:57 am

British Airways and Iberia confirm merger talks

British Airways and Iberia, the Spanish flag carrier, announced today that they are seeking a merger that would create one of Europe's largest airlines.
Source: Latest Business News from Times Online | 29 Jul 2008 | 10:48 am

Sterling hit by consumer fears

Sterling fell on Tuesday as weak economic data stacked up to show that belts were tightening across the UK as housing market conditions worsened and rising prices hit consumers in the pocket.The Confederation...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 10:37 am

FTSE banks join sell-off

London equities fell on Tuesday following sharp losses in the US and Asia overnight after Merrill Lynch showed the credit crisis was far from over with $5.7bn of writedowns linked to the sale of toxic...
Source: Infocious RSS raw feed - channel BNPaperBusiness | 29 Jul 2008 | 10:35 am

Nomura plunges into loss as markets tumble

Toxic stock markets, a moribund flow of new share issuance, a scarcity of M&A deals and the disgrace of a high-profile insider dealing scandal have dealt a savage blow to Nomura’s first quarter of the financial year.
Source: Latest Business News from Times Online | 29 Jul 2008 | 10:20 am

Starbucks goes cold on Australia

Starbucks plans to shut over two-thirds of its 85 Australian outlets, as it struggles to turn around its business.
Source: BBC News | Business | World Edition | 29 Jul 2008 | 10:05 am

Starbucks to give Australia one last shot

Facing a highly competitive market with a well-entrenched coffee culture in the major cities, Starbucks plans to focus its remaining operations on three cities
Source: FT.com - US homepage | 29 Jul 2008 | 10:04 am

UK mortgage slump set to continue until 2011

The seizure in the UK mortgage market is set to continue until 2011, prompting a rise in repossessions, an influential review of the mortgage market said today.
Source: Latest Business News from Times Online | 29 Jul 2008 | 9:58 am

Woolworths issues profit warning as sales fall

Troubled retailer Woolworths warned it would miss profit forecasts for the year following a sales slump, as the group appealed for a new chief executive to rescue the flagging chain.
Source: Telegraph Business | 29 Jul 2008 | 9:45 am

Merrill Lynch (MER) Meets The IMF Head On

In an ironic bit of sloganeering, the current Merrill Lynch (MER) corporate promotion is "Even In Today's Economy, There Are Smart Places For Your Money." It may not be lost on the shareholders of Merrill Lynch that they are an outstanding exception. In what appeared to be a frenzy of front-running bad news, Merrill's shares dropped over 11% during the regular session to reach $24.32, close to a multi-year low.

Source: 24/7 Wall St. | 29 Jul 2008 | 9:17 am

Inchcape's emerging markets offsets weak UK car demand

Inchcape, the car retailer, has reported a 4pc rise in first-half profits to £130.3m as strong Asian and emerging market performance offset difficult trading in the UK and Belgium.
Source: Telegraph Business | 29 Jul 2008 | 9:05 am

Abbey set to topple Halifax as UK's largest mortgage lender

Abbey looks set topple Halifax as the UK's largest mortgage lender after revealing that it now writes one in three new mortgages across the country.
Source: Telegraph Business | 29 Jul 2008 | 9:00 am

Sony sees sharp fall in profits

Profits at electronics giant Sony plunge by almost 50%, hurt by losses at its mobile phone venture with Sweden's Ericsson.
Source: BBC News | Business | World Edition | 29 Jul 2008 | 8:36 am

Alcatel-Lucent's (ALU) CEO-For-Life Walks Toward The Sunset

Alcatel-Lucent (ALU) CEO Pat Russo survived a string of quarterly losses and catastrophes at her company that would have put a lesser person down. She remained bloodied by unbowed as ALU reported tremendously poor results and made repeated missteps. The firm reported a loss of 1.1 billion euros ($1.73 billion) for the second quarter, or $.77 U.S. a share, wider than the 586 million euros reported last year. Russo could no longer cheat the hangman.

Source: 24/7 Wall St. | 29 Jul 2008 | 8:35 am

UK banks dive on Merrill shock fundraising

UK banking stocks today plummeted on fears of a new round of capital-raising after America's Merrill Lynch last night revealed plans to bolster its balance sheet by raising $8.5 billion ($£4.27 billion) and selling $11.1 billion-worth of high-risk mortgage-backed securities.$
Source: Latest Business News from Times Online | 29 Jul 2008 | 8:32 am

US time bomb

Even the wealthy hand back negative equity homes
Source: BBC News | Business | World Edition | 29 Jul 2008 | 8:29 am

Campaign issue

Obama draws up new economic strategy
Source: BBC News | Business | World Edition | 29 Jul 2008 | 7:55 am

Weekend box-office results

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

'Australia': If you like the movie, you'll love the country

Director Baz Luhrmann agrees to adapt the upcoming film for an ad campaign to boost tourism to the land down under.

A big-budget movie that glamorizes Australia would seem to be a perfect commercial for Australia. Especially if it's made by a famous Australian director who's working for a movie studio controlled by an Australian-born media mogul.

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

Stocks dive in response to housing rescue plan

Wall Street's way of thanking Congress for the new housing rescue bill: another stock market dive, led by the companies the bill is supposed to help the most.

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

Motorists help gasoline prices slide

Drivers are cutting back on miles traveled, reducing the need for fill-ups. But that drop may leave a federal highway fund stranded.

Gasoline prices skidded sharply lower during the last week partly because motorists have been curbing their driving -- cutting back so much that Transportation Secretary Mary E. Peters warned Monday of a looming shortfall in the fund that pays for highway and bridge construction and repairs.

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

Richard Branson unveils his space plane

At an airfield in the Mojave Desert, Branson rolls out the Burt Rutan-designed launch vehicle that is supposed to help take paying passengers into space.

A souped-up aircraft that would help boost well-heeled thrill seekers into the outer atmosphere was unveiled Monday, lifting the prospects for travelers to one day fly in a commercial spaceliner.

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

Nickelodeon picks up Eisner series

The former Disney chief says his animated show about a dentist fits the network's family-oriented approach.

Michael Eisner is taking a road trip back to TV family land with a gung-ho dentist and some new pals at Nickelodeon.

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

Dockworkers, shippers in tentative labor pact

Memory of strike that paralyzed the ports in 2002 weighed on talks.

West Coast dockworkers and some of the world's largest shipping lines said Monday that they tentatively agreed to a new six-year contract.

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

Sempra to buy EnergySouth for $510 million

The acquisition of the Alabama gas storage company would support Sempra's expansion in natural gas.

Increasing its already substantial bet on natural gas projects, Sempra Energy said Monday that it would pay $510 million for EnergySouth Inc., a gas storage and distribution company based in Mobile, Ala.

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

Pasadena's Parsons Corp. blamed in failure of $40-million Iraq prison project

A U.S. government audit says the engineering firm received $142 million for facilities in the country, including Khan Bani Saad, that were never completed.

A half-completed prison in Iraq that cost $40 million marked the biggest reconstruction failure identified to date by a U.S. government watchdog, which on Monday laid responsibility for the project with a Pasadena contractor.

Source: L.A. Times - Business | 29 Jul 2008 | 7:00 am

Guardian Trust latest mortgage fund to strike trouble

New Zealand Guardian Trust has suspended new investments and withdrawals in one its funds, the Guardian Mortgage Fund. Guardian Trust said it was moving to protect investors and expected that income distributions from the fund...
Source: New Zealand Herald - Business | 29 Jul 2008 | 5:56 am

Currency: NZ dollar in narrow band as greenback steadies

The New Zealand dollar traded in a narrow band throughout today, as the greenback steadied in Asian trade and the euro struggled to rise. Around 5pm, the kiwi was buying US75.51c, having moved between about US74.40c and US74.65c...
Source: New Zealand Herald - Business | 29 Jul 2008 | 5:41 am

Renaissance reports profit jump despite Apple loss

Computer seller Renaissance Corp today reported its June year net profit rose 20 per cent to $1.46 million despite losing a good chunk of its business when Apple decided to sell direct to major customers. The company is sticking...
Source: New Zealand Herald - Business | 29 Jul 2008 | 3:25 am

Changes rumoured among banking heads

BNZ chief executive Cameron Clyne is being tipped to take over from John Stewart at the National Australia Bank in Australia. The Australian newspaper today reported that Mr Stewart will step down in a month or two. Last week,...
Source: New Zealand Herald - Business | 29 Jul 2008 | 2:45 am

Building consents at lowest level since 2001

The building industry seems to be grinding to a halt. The 1362 new dwellings, including apartments, authorised in June was the lowest monthly number since January 2001, Statistics New Zealand says. The figures released today...
Source: New Zealand Herald - Business | 29 Jul 2008 | 2:00 am

Downer makes infrastructure purchase

Downer EDI has bought New Zealand company HRS Ltd to strengthen its position in the infrastructure sector, including rail. It did not put a price on the acquisition, which was one of two it announced to the market. Industry...
Source: New Zealand Herald - Business | 29 Jul 2008 | 1:30 am

Firms target Australia for new recruits

A chronic lack of skilled candidates in this country is forcing employers to look to Australia to fill job vacancies, a survey reveals today. In the latest Global Workplace Survey from recruitment specialist Robert Half, 26 per...
Source: New Zealand Herald - Business | 29 Jul 2008 | 1:00 am

After The Close - Monday

ATHEROS COMMUNICATIONS (ATHR), a chipmaker, said Q2 EPS rose 24% to 31 cents, a penny better than views. Sales grew 20.5% to $121.5 mil, edging...

Source: Investor's Business Daily: BUSINESS | 29 Jul 2008 | 12:54 am

Battery Maker Discovers New Ways To Keep The Lights On Longer

Lead-acid batteries are bulky and heavy. But they're battle-tested and cheap.

Source: Investor's Business Daily: BUSINESS | 29 Jul 2008 | 12:54 am

Business Briefs - Monday

Fertilizer makers' profits surge. CF Industries CF said after hours that Q2 EPS rose 148% to $4.10, crushing views by $1.42. Sales grew 37% to...

Source: Investor's Business Daily: BUSINESS | 29 Jul 2008 | 12:54 am

In Brief - Monday

Aluminum producer Alcoa (AA) rose 2.7% to 32.66 after it said Highfields Capital Management will acquire up to 8% of Alcoa's common shares. The...

Source: Investor's Business Daily: BUSINESS | 29 Jul 2008 | 12:54 am

Trends & Innovations - Monday

Deadliest U.S. roads mapped out

Source: Investor's Business Daily: BUSINESS | 29 Jul 2008 | 12:54 am

Postie Plus gets green light to sell Arbuckles

Postie Plus Group shareholders have given the go ahead for the sale of the Arbuckles manchester and homewares chain. The assets of the Arbuckles business are being sold to interests associated with retailer Jan Cameron for about...
Source: New Zealand Herald - Business | 29 Jul 2008 | 12:00 am

Doha trade talks stall over farm imports

Heated public disagreements broke out in the so-called Doha round of trade talks, as negotiators fought to maintain the unexpected momentum gained over the weekend
Source: FT.com - US homepage | 28 Jul 2008 | 11:58 pm

Merrill in new cash call and write-offs

Merrill Lynch underlined the depth of the credit crisis by taking dramatic action to bolster its depleted balance sheet, revealing a $8.5bn share offering and $5.7bn in writedowns stemming from the sale of toxic mortgage securities
Source: FT.com - US homepage | 28 Jul 2008 | 11:31 pm

Credit crunch nails Merrill

America's third-largest investment bank has taken a hammering. Merrill Lynch waited until after the sharemarket closed today to announce it expects to take a US$5.7 ($7.75) billion pretax write-down in the third quarter, due to...
Source: New Zealand Herald - Business | 28 Jul 2008 | 11:30 pm

Merrill's Peril

Maybe it is time for John Thain to sell Merrill Lynch after all.

On a day when investors sheared another 12 percent from its bloodied shares, his Merrill Lynch moved to shore up its flagging financial situation by issuing new shares and writing down another $5.7 billion in losses.

It's the latest in the desperate days of Thain—who about now must be fondly remembering grappling with N.Y.S.E. specialists over trading fees—as he tries unsuccessfully to stop the firm's balance-sheet hemorrhage.

After the bell, Mother Merrill said it plans to raise $8.5 billion by issuing new shares and will take a write-down of $4.4 billion in addition to losses as high as $1.3 billion on bad trades, according to the Wall Street Journal.

The stock issuance will dilute Merrill shares, potentially by as much as 25 percent of its current market cap.

Merrill already has recorded $40 billion in write-downs, giving it a spot near the top of the list of credit-crisis victims. The write-downs were primarily responsible for last week's $4.65 billion loss at the investment bank, according to the W.S.J.

Of the new stock, $3.4 billion was bought by Temasek Holdings, the Singapore state investment arm which has already invested $6.2 billion in the stumbling bull of Wall Street.

All this comes in the wake of Thain's reassurances about the things he wouldn't do.

At one point he said he wouldn't sell off assets (he's done that, dumping a 20 percent stake in Bloomberg for $4.4 billion) and wouldn't go back into the market to raise more capital (check on that one too).

In a time when investors are looking for reassurance from Wall Street's giants, Thain has about used up his allotment of trust and possible remedies for the company's troubles. It puts Merrill in the same precarious situation at Lehman Brothers has been in for the past two months.

On top of a $4.4 billion write-down, the W.S.J. said Merrill will take a $500 million hit on the termination of hedges with XL Capital and an $800 million "maximum loss" related to the potential settlement of other collateralized debt obligation hedges.

Merrill also expects to record an expense of $2.5 billion related to a reset payment to Temasek and $2.4 billion of dividends as a result of the exchange of convertible preferred stock for common stock.

Related Links
Wall Street Requiem
Mark-to-Model on Wall Street: The Numbers
The Man Who Saved (or Got Suckered by) Wall Street

Source: Portfolio.com: Top 5 | 28 Jul 2008 | 11:00 pm

Bridgecorp directors granted bail

Bridgecorp executive directors Rod Petricevic and Robert Roest have been granted bail after appearing in court on three criminal charges. Petricevic and Roest were remanded without plea when they appeared in Auckland District Court,...
Source: New Zealand Herald - Business | 28 Jul 2008 | 11:00 pm

VIX Index of U.S. Stock Option Prices Advances 5.76 % to 24.23

Source: Bloomberg - All Podcasts | 28 Jul 2008 | 9:54 pm

Federal deficit expands to record level

The Bush administration estimates that, even if you don't count the cost of two wars, the federal deficit will exceed $480 billion in 2009. How will all that red ink affect the next president's plans? Nancy Marshall Genzer reports.
Source: Marketplace | 28 Jul 2008 | 9:51 pm

Reduced driving threatens highway fund

Americans drove 9 billion fewer miles in May this year over last year. As drivers cut back, the income from gas taxes which fund highway repairs and maintenance is dropping, too. Amy Scott reports.
Source: Marketplace | 28 Jul 2008 | 9:51 pm

Kraft keeps cooking in hard times

As the economy drives consumers to eat more meals at home, food giant Kraft is in a position to profit. Even with higher costs, it's second-quarter results showed its bottom line got fatter. Steve Henn reports.
Source: Marketplace | 28 Jul 2008 | 9:51 pm

Bank sales bring out bargain hunters

Buyers are coming back to the housing market to take advantage of banks desperate to get rid of foreclosed homes. Dan Grech reports.
Source: Marketplace | 28 Jul 2008 | 9:51 pm

Best Beach Reads: 'Babbitt'

Commentator and economist Susan Lee kicks off our series on summer beach reads with Sinclair Lewis' "Babbitt."
Source: Marketplace | 28 Jul 2008 | 9:51 pm

Local growers help companies cut costs

Buying locally grown food is good PR for companies. But it turns out that, with rising diesel prices, there's a lot more to gain than a good reputation. Alisa Roth reports.
Source: Marketplace | 28 Jul 2008 | 9:51 pm

Team building, summer-camp style

Looking to laugh off those Monday office blues? Host Kai Ryssdal talks with author John Austin about his office-prank guidebook, "Cubicle Warfare." And the Marketplace staff tries out a few of the gags.
Source: Marketplace | 28 Jul 2008 | 9:51 pm

Bloomberg's Kempe, Zacharia Discuss Obama's European Reception

Source: Bloomberg - All Podcasts | 28 Jul 2008 | 9:48 pm

Author James Rollins Says Writers Have to `Persevere'

Source: Bloomberg - All Podcasts | 28 Jul 2008 | 9:15 pm

Don't Be Early to Bottom-Fish Housing, Stocks (The Invisible Hand)

Our credit-fueled economy remains in deep do-do, just like stocks.

Source: SmartMoney.com | 28 Jul 2008 | 9:05 pm

Provost Regarded as First Child Actor to Be TV Superstar

Source: Bloomberg - All Podcasts | 28 Jul 2008 | 8:54 pm

XM-Sirius Merger a Bust for Shareholders (Stock Watch)

The XM-Sirius satellite radio merger is star-studded, but hardly a match made in heaven.

Source: SmartMoney.com | 28 Jul 2008 | 8:41 pm

Posen Says U.S. Security Assurance Helps Bolster Dollar

Source: Bloomberg - All Podcasts | 28 Jul 2008 | 8:35 pm

Housing ETFs Continue to Decline (Daily ETF Wrap-Up)

Even help from Congress can't get housing ETFs back on track.

Source: SmartMoney.com | 28 Jul 2008 | 8:34 pm

Bone Drug's Trial Success Heals Amgen Shares (One-Day Wonder)

Positive clinical results for an experimental osteoporosis drug lift Amgen.

Source: SmartMoney.com | 28 Jul 2008 | 8:25 pm

Banks Tank

The financial sector weighed on the major indexes, each of which finished down more than 1.8%.

Source: SmartMoney.com | 28 Jul 2008 | 8:20 pm

Gruen Says Rock Music Photography Career Began as Hobby

Source: Bloomberg - All Podcasts | 28 Jul 2008 | 8:16 pm

Forex Trading Isn't Right for Average Joes (The Irritable Investor)

Forex trading isn't right for Average Joes -- no matter what the ads on TV promise.

Source: SmartMoney.com | 28 Jul 2008 | 7:57 pm

5 Mortgage Fees to Watch Out For (Deal of the Day)

Lenders are raising mortgage fees to offset losses. Here are five to look out for.

Source: SmartMoney.com | 28 Jul 2008 | 7:23 pm

Wall Street falls back in love with Amgen

Source: L.A. Times - Business | 28 Jul 2008 | 7:16 pm

Sebelius Says Issues Not Important In Being Bipartisan

Source: Bloomberg - All Podcasts | 28 Jul 2008 | 7:02 pm

KKR says market slump good time for going public (Reuters)

Reuters - Kohlberg Kravis Roberts & Co's plan to merge with a struggling affiliate and then list on the New York Stock Exchange will help the giant buyout firm expand at an ideal time for making acquisitions, KKR executives said on Monday.

Source: Yahoo! News: Business | 28 Jul 2008 | 6:44 pm

A Suckers' Rally?

Hedge funds can't seem to catch a break these days.

They are being targeted by a broad S.E.C. sweep for information tracing back to the origin of rumors that swirled around trading in Bear Stearns and Lehman Brothers stocks. They now can't short some financial stocks in the way they used to, and the short-selling restrictions could become even tighter.

And now, rising financial stocks and falling oil are helping to make July one of the worst months in years for some hedge fund returns. Hedge Fund Research's global hedge fund index is down 3.16 percent so far this month. July could end up being the worst month since the index was created five years ago, according to Bloomberg.

Plenty of hedge funds with short positions in financial stocks took a hit when the government stepped in to bail out Fannie Mae and Freddie Mac, and the S.E.C. made it harder to short stocks in that sector.

The restrictions appeared to have helped traditional shareholders—shares in Fannie and Freddie have surged in the past two weeks. Even shares of Lehman Brothers, which continues to be plagued by speculation about its future, remain well above their lows reached before the restrictions went into place.

The price of oil also fell dramatically in the last two weeks, down more than $20 per barrel from peaking earlier this month at $145.

But there's no evidence this rally will last.

"Everything that went up was the most shorted," Christopher Watling, head of the research firm Longview Economics, told Bloomberg. "It was a classic short squeeze, a race to cover shorts, not buying because fundamentals had changed. It was a true suckers' rally."

Indeed, it's hard to muster the sympathy for some suffering funds, since stocks on the rise and oil on the decline are heading in precisely the right direction for the larger investing population.

It's also perhaps too early to conclude that this ugly July will be a sign of things to come for the rest of the year. After all, the Dow is down nearly 200 points today, led by a decline in financials. And oil? It's up 33 cents.

Source: Portfolio.com: Top 5 | 28 Jul 2008 | 5:30 pm

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