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Top Pre-Market Analyst Upgrades (MO, BBY, CFL, CEPH, GILD, LMT, TNDM, NOC, TLAB, MTN)
Jon C. Ogg Source: 24/7 Wall St. | 15 Dec 2008 | 12:52 pm Banks hit worldwide by US fraudSome of the world's biggest banks have revealed that they are victims of a US investment fund which lost $50bn (£35bn).Source: BBC News | Business | World Edition | 15 Dec 2008 | 12:51 pm Stock futures mixed on auto rescue hopes (AP)
Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 12:50 pm Top Pre-Market Analyst Downgrades (ALU, AUO, BEC, BA, GR, KSU, LULU, SEPR)These are some of the top pre-market analyst downgrades or negative calls on Wall Street we have seen this Monday morning:
Jon C. Ogg Source: 24/7 Wall St. | 15 Dec 2008 | 12:49 pm Sterling hits record low against the euroSterling tumbled to a new low against the euro today, with some travellers receiving less than €1 for every pound they exchange at airport terminals and train stations.Source: Latest Business News from Times Online | 15 Dec 2008 | 12:42 pm Electrolux set to cut 3,000 jobsHome appliance maker Electrolux says it is to cut 3,000 jobs worldwide amid falling demand.Source: BBC News | Business | World Edition | 15 Dec 2008 | 12:41 pm European banks reveal exposures to alleged Madoff fraudEuropean and Asian banks reveal billion of dollars of exposure to Bernard Madoff and his alleged ponzi scheme, with customers of Spain’s Santander potentially facing some of the biggest losses.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 12:40 pm Movers & Shakers: Monday's biggest gaining and declining stocksAmong the companies whose shares are expected to see active trade in Monday's session are the auto makers, home builders and firms exposed to investor Bernard Madoff’s dealings, as well as American Bancorp of New Jersey, Electrolux, Huntsman, Northern Trust, Phoenix Cos., Siemens and Time Warner.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 12:37 pm Europe starts in the green on revived U.S. auto bailout hopesEuropean shares start the week in the green, led by miners and energy companies, on revived hopes that the ailing U.S. car industry will be rescued rapidly.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 12:34 pm Currencies: British pound notches another all-time lowThe U.S. dollar was on the defensive Monday, losing ground against the Japanese yen and the euro as rising risk appetite lifted Asian and European equities.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 12:28 pm FTSE 100 up 34.23 at 4,314.58 (AP)AP - Share prices on the London Stock Exchange were higher at midday Monday.Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 12:25 pm Three days that shook the worldWhen the most powerful men in American capitalism convened at the New York Federal Reserve Bank's Italianate palazzo in lower Manhattan on Friday evening, September 12, to try to save Lehman Brothers from certain death, what confronted them was nothing less than the knowledge that whatever actions they took - or did not take - that weekend could push the financial system into the abyss.Source: Business and financial news - CNNMoney.com | 15 Dec 2008 | 12:19 pm Home values seen losing over $2 trillion during 2008 (Reuters)
Source: Yahoo! News: Business | 15 Dec 2008 | 12:19 pm Home values seen losing over $2 trillion during 2008NEW YORK (Reuters) - Homes in the United States have lost trillions of dollars in value during 2008, with nearly 11.7 million American households now owing more on their mortgage than their homes are worth, real estate website Zillow.com said on Monday.Source: Reuters: Business News | 15 Dec 2008 | 12:19 pm Urban driversCar clubs offer alternatives to car ownershipSource: BBC News | Business | World Edition | 15 Dec 2008 | 12:16 pm More banks reveal Madoff exposureLONDON/TOKYO (Reuters) - Royal Bank of Scotland, Man Group and Nomura on Monday joined a growing list of financial groups acknowledging exposure to the alleged $50 billion fraud surrounding Wall Street trader Bernard Madoff.Source: Reuters: Business News | 15 Dec 2008 | 12:16 pm More banks reveal Madoff exposure (Reuters)
Source: Yahoo! News: Business | 15 Dec 2008 | 12:14 pm Wall Street poised for gainU.S. stocks were set for a modest opening advance Monday, with fresh hopes that Detroit's ailing automakers would be rescued soon.Source: Business and financial news - CNNMoney.com | 15 Dec 2008 | 12:00 pm Stock futures modestly higher on auto rescue hopesWall Street headed for a modestly higher open Monday, kept afloat by the hope that the White House will give U.S. automakers short-term assistance to keep them from failing. After last...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:59 am Impoverished NKorea gets new mobile networkAn Egyptian telecoms giant launched an advanced mobile phone network in North Korea on Monday, the latest attempt to introduce a global symbol of personal freedom into one of the world's...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:58 am Royal Mail faces call to changeA government-commissioned review of Royal Mail is expected to warn it faces financial disaster unless it is radically reorganised.Source: BBC News | Business | World Edition | 15 Dec 2008 | 11:57 am Hexion's $6.5B takeover of Huntsman terminatedChemicals maker Huntsman Corp. has ended its $6.5 billion agreement to be taken over by Hexion Specialty Chemicals Inc. and agreed to a $1 billion legal settlement with Hexion's private...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:56 am Bush doesn't set auto-bailout timelinePresident Bush said Monday he might use money from the Treasury program to aid financial services companies in order to avoid the bankruptcy of U.S. automakers, but he would not provide a timeline.Source: Business and financial news - CNNMoney.com | 15 Dec 2008 | 11:55 am Oil up sharply near $49 as OPEC readies output cutBy midday in Europe, light, sweet crude for January delivery was up $2.47 to $48.75 a barrel in electronic trading on the New York Mercantile Exchange. On Friday, the contract fell $1.70...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:48 am World stocks climb on US auto rescue hopes, amid Madoff scandalWorld stock markets advanced on Monday on hopes of a US auto sector rescue deal, but gains were capped as a host of major global banks declared massive exposure to the worsening Madoff...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:44 am World stocks climb on US auto rescue hopes, amid Madoff scandal (AFP)
Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 11:44 am RBS and Man Group report exposure to Madoff fraudRoyal Bank of Scotland Group PLC and hedge fund Man Group PLC said Monday they could lose hundreds of millions of pounds as a result of exposure to hedge funds managed by arrested Wall...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:36 am Mobile ambitionsCan Microsoft survive the mobile onslaught of rivals?Source: BBC News | Business | World Edition | 15 Dec 2008 | 11:34 am In oil's shadowWhy some people fear Canada's oil sands industrySource: BBC News | Business | World Edition | 15 Dec 2008 | 11:33 am IMF sees beginning of global recovery late 2009MADRID (Reuters) - IMF Managing Director Dominique Strauss-Kahn on Monday said he saw the beginning of a global economic recovery in late 2009 or early 2010 after a very difficult year.Source: Reuters: Business News | 15 Dec 2008 | 11:32 am The Siemens Precedent: Jacking Up Penalties To Fund The Government, A Billion Fine For Madoff
Bernard Madoff will probably get off with a fine of $10 million or $20 million. Granted, he will have to spend years in prison, but he probably has a lot more money than that, the fine should be based on his ability to pay. That could move the number up into the hundreds of millions of dollars. The federal government says that Whole Foods (WFTC) violated fair trade practices when it bought a smaller competitor, Wild Oat. The fine for doing that should be $100 million. Whole Foods just raised a bunch of money. The international trade court recently cracked down on Qualcomm (QCOM) for patent and competition violations. Qualcomm has access to more than $1 billion. Anything short of $500 million would be too small a fine. The federal government is in trouble now. It needs what capital it can get. It has always been too light on fines. It would rather put people in jail. Using the Siemens settlement as a guide, Madoff should pay $1 billion and go free. It would be better for the country. Douglas A. McIntyre Source: 24/7 Wall St. | 15 Dec 2008 | 11:31 am Inchcape shares crash 30% after profit warningInchcape this morning sent a fresh shiver through the embattled car industry as the international dealership scrapped its final dividend and warned investors that next year's results would fall well short of expectations.Source: Latest Business News from Times Online | 15 Dec 2008 | 11:25 am Pakistan stocks down after floor removedPakistani stocks fell Monday after the country's main exchange removed of a price floor introduced more than three months ago in a bid to stem financial turmoil. The Karachi Stock...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:25 am Pakistan stocks down after floor removed (AP)AP - Pakistani stocks fell Monday after the country's main exchange removed of a price floor introduced more than three months ago in a bid to stem financial turmoil.Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 11:25 am UK households' debt struggle at 13-year highMore British households are struggling with their debts now than at any time in at least 13 years, according to a Bank of England survey published on Monday. The Financial Position of...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:24 am European markets' gains capped by Madoff concerns (AP)
Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 11:20 am Huntsman takeover deal ends, settlement with Apollo reachedHuntsman Corp.'s agreement to be acquired by Hexion Specialty Chemicals Inc. ends and the litigation between the two sides has been settled, the companies say late on Sunday.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 11:19 am Looking For Oil Back At $100
Americans are dreaming of $40 crude and $1.50 gas. OPEC members of dreaming of the Yankees sitting in their cars in long lines which snake for miles while they wait to buy a gallon of gas for $5. Someone has to be wrong about what is going to happen to oil prices. Every day it looks a bit more like OPEC will have its way. Members of the cartel are taking about a two million barrel a day production cut. No one knows if that is enough to arrest the rapid drop in crude prices. But, if OPEC can take exports down once, it can take them down twice or even a third time. The falling yield from a barrel of oil is also causing US companies to do less oil exploration and drilling. If this helps cut supply further, OPEC gets a hand in its effort to increase prices. According to The Wall Street Journal, the number of active drilling rigs could drop 50% from this last September to late 2009. Consuming nations ought to pray that crude price do go up, at least some. There is a level, and that level might be $60 or $70, where OPEC does not need to make economic war on the US and other consuming nations and drillers have an incentive to drill. Oil is too cheap now, and, by being too cheap, it risks causing the kinds of swings in price that the stock market is seeing by trying to escape the shadow of supply and demand. Douglas A. McIntyre Source: 24/7 Wall St. | 15 Dec 2008 | 11:17 am US auto woes spell trouble for Japanese makers tooEven as General Motors and the entire U.S. auto industry teeters on the edge of collapse, its major rivals are hardly celebrating. Toyota and other Japanese carmakers say the bankruptcy of...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:12 am Car dealer issues profit warningShares in car dealer Inchcape fall by more than a quarter after it warns that 2009's profits will be much less than expected.Source: BBC News | Business | World Edition | 15 Dec 2008 | 11:10 am Hexion abandons $6.5bn bid for HuntsmanHexion, the Apollo-owned chemicals firm owned by buy-out group Apollo Management, dropped its $6.5bn bid for rival Huntsman – the latest private equity backed takeover to end in failureSource: Financial Times - US homepage | 15 Dec 2008 | 11:09 am Indications: Stock futures flat as firms outline exposure to MadoffU.S. stock-market futures were broadly flat Monday as firms detailed their exposure to the alleged $50 billion fraud by Bernard Madoff and after President George Bush signaled he may move quickly to prop up the auto sector.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 11:09 am Turkey's GDP slows, unemployment risesTurkey's economy continued to feel the impact of the global financial crisis as official figures released Monday showed gross domestic product growth slowing and unemployment rising. A...Source: Infocious RSS raw feed - channel BNewsBusiness | 15 Dec 2008 | 11:07 am Belgium weighs options over frozen Fortis dealBRUSSELS (Reuters) - Belgian ministers were to meet later on Monday to decide what action to take after a court ruling derailed a state-led break-up of stricken financial group Fortis and part sale to France's BNP Paribas .Source: Reuters: Business News | 15 Dec 2008 | 11:07 am Dollar drops to two-month low against euroThe dollar dropped to a two-month low against the euro and lost ground elsewhere as concerns over the health of the US economy and the impact of the US government's rescue plans weighed on the currency.Source: Financial Times - US homepage | 15 Dec 2008 | 11:06 am Belgium weighs options over frozen Fortis deal (Reuters)
Source: Yahoo! News: Business | 15 Dec 2008 | 11:00 am Google's (GOOG) Wants To Ruin The Internet
One of the most debated issues about the worldwide web, especially in the US, is whether all companies and all consumers should have equal access to the internet regardless of their size or status as users. The current truce among the FCC, internet providers, and web properties is called "net neutrality", a kind of all for one and one for all fantasy which allows the poor to live in the same homes as the rich. It is actually anarchy,. A shut-in living in Akron can download six hundred huge movie files at one time and suck up all of the bandwidth from his neighbors. He is supposed to be charged the same amount that they are. On the internet company side, every firm wants fast service. The better the website works for the consumer, the happier that consumer is. Google wants to get an edge over its competition. According to The Wall Street Journal, "Google's proposed arrangement with network providers, internally called OpenEdge, would place Google servers directly within the network of the service providers." Moving all of those servers to new locations where they take the best advantage of telecom and cable pipes would be expensive. While the plan would help Google and its users, it is hard to see what is in it for the carriers. Or, is it? While it is not clear yet, it would be a safe gamble that Google wants to pay those companies for the privilege of setting up so close to their gateways. There could be a lot of cash in that for an industry which is slowing and becoming more competitive as the phone companies try to take market share from cable. That is where the principle of "net neutrality" falters. If companies or consumers are willing to pay a large price for substantially upgraded service, why should they be prevented from doing so? The extra money going to carriers should only help them improve their overall infrastructure, unless they want to horde the cash like money center banks do with their bailout money. Google may end up paying for a better internet, but, at least early on, it would make it worse for almost every other web company in America. When one company gets faster service, the rest rarely benefit. Douglas A. McIntyre Source: 24/7 Wall St. | 15 Dec 2008 | 10:59 am HK stocks rise after China moves to boost spending (AP)AP - Hong Kong's key stock index recovered 2 percent Monday after China announced plans to boost consumer spending and the U.S. renewed hopes of rescuing its troubled auto industry.Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 10:55 am Miners and oil producers boost LondonRising commodity prices boosted shares of oil producers and mining companies Monday, as London moved modestly higher amid broad equity gains in Asia and Europe.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 10:55 am Asia Markets: Tokyo sizzles, ignoring bad news; Karachi dropsJapanese stocks soar Monday to lead Asian markets higher as investors brush aside a survey showing business confidence plunged, on hopes for a U.S. interest-rate cut and after the Bush administration says Friday it will step in to prevent a failure of U.S. automakers.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 10:52 am Is Japan's Nikkei Sending Signal Of A Global Market Recovery?
All of the news in Japan has been bad. The only company that seems to be doing well there is Nintendo because everyone in the civilized world, and many who are not, want one of the company's Wii video games. Look at the rest of the Japanese corporate world from Sony (SNE) to Toyota (TM) and the mood is glum. At this point, it would be hard to point to any catalyst which would make things better. But, Japan, which has been hit harder and earlier by the recession than many other large economies, has several things working for it. The value of those may not unfold for several more months, but, if they do, they may be a precursor for what happens in the US and EU. Japan relies more on imported oil than any other large economy in the world. Goldman Sacha (GS) recently said crude could hit $30 a barrel in the first quarter of 2009. Japanese businesses and consumers could be paying oil and gas prices lower than they have been in years. That may jump start activity at some businesses and it could also begin to lift flagging car sales. Like every other economy in the world, Japan cannot be well if the US is not. Analysts are beginning to show a tiny amount of hope that the US government will not only bail out the car industry, it will bail out the entire economy. If the new administration is willing to spend to create 2.5 million new jobs and will continue to underwrite a ruined financial system, the American recession may not last as long as many experts believe. If Japan's stock market is trading on what investors there are seeing six months out, and they are right, the global recovery begins at mid-year. Douglas A. McIntyre Source: 24/7 Wall St. | 15 Dec 2008 | 10:39 am The case for and against Sam ZellHow did you go bankrupt?" Bill asked.Source: Business and financial news - CNNMoney.com | 15 Dec 2008 | 10:35 am 7 Business Lessons of Jury Duty
Last week I spent a full day at the county courthouse performing my civic responsibility of jury duty for the first time ever. I had to sacrifice a day of writing, but I couldn’t forget about business! Here are my seven business lessons of jury duty: 1. A little respect goes a long way. 2. Maintain a level of comfort. 3. Assume everybody’s always watching you. 4. Presentation is everything. 5. Everything is an opportunity to learn. 6. Prepare, prepare, prepare - then rest your case. 7. It’s all about the numbers. Those are the lessons I took from the courthouse that day. That, a very thorough grocery list, and the assurance that I won’t be called back for two years. Many reasons to celebrate! Source: Business Pundit | 15 Dec 2008 | 10:30 am U.S. homes lose $2 trillion in value in '08American homeowners will collectively lose more than $2 trillion in home value by the end of 2008, according to a report released Monday.Source: Business and financial news - CNNMoney.com | 15 Dec 2008 | 10:23 am Ireland to inject up to $13.5 billion in banking sectorThe Irish government said late Sunday that it will provide as much as 10 billion euros ($13.5 billion) to recapitalize the country’s banking sector.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 10:20 am Dollar falls on hopes of rate cutSterling stays near record lows against the euro, while the dollar falls on talks about possible US rate cuts.Source: BBC News | Business | World Edition | 15 Dec 2008 | 10:16 am Stock index futures point to drop at open (Reuters)
Source: Yahoo! News: Business | 15 Dec 2008 | 10:15 am Stock index futures point to drop at open (Reuters)
Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 10:15 am Stock index futures point to drop at open(Reuters) Stock index futures pointed to losses in early trade on Wall Street on Monday, trimming the previous session's gains as investors awaited news on a potential bailout of the stricken auto industry and ahead of a Fed two-day policy meeting.Source: Reuters: Business News | 15 Dec 2008 | 10:15 am Electrolux warns on 2008 profit; slashes 3,000 jobsElectrolux AB, Europe’s largest maker of kitchen appliances, on Monday warns it won't meet its 2008 operating-profit target and unveils plans to cut 3,000 jobs as it struggles with plunging demand for its goods.Source: MarketWatch.com - Top Stories | 15 Dec 2008 | 10:13 am Crisis gnaws at Japan sentiment, China outputTOKYO/LONDON (Reuters) - Japan reported its sharpest crash in business sentiment in three decades on Monday and industrial output in China grew at its slowest pace since 1999, the latest signs of the damage done to Asian economies by the global crisis.Source: Reuters: Business News | 15 Dec 2008 | 9:57 am Crisis gnaws at Japan sentiment, China output (Reuters)
Source: Yahoo! News: Business | 15 Dec 2008 | 9:56 am Toyota to cut sales goal, outline cost-cutting stepsTOKYO (Reuters) - Toyota Motor Corp , the world's top automaker, is expected to slash its 2009 sales forecast by at least 1 million vehicles and outline plans to cut costs as the financial crisis threatens to cripple the industry.Source: Reuters: Business News | 15 Dec 2008 | 9:39 am RBS and Man detail Madoff exposureRoyal Bank of Scotland and Man Group outlined potential exposures of £400m and $360m, respectively, to Wall Street trader Bernard Madoff's alleged $50bn fraudSource: Financial Times - US homepage | 15 Dec 2008 | 9:38 am Big investors may lose in alleged $50B fraudRead full story for latest details.Source: Business and financial news - CNNMoney.com | 15 Dec 2008 | 9:37 am Stock picks from 5 champion fund managersThe stakes are high whenever you invest, but they're extra high when you're managing your money amid a historic financial mess and record volatility. For advice equal to the task - in a setting chosen to inspire thoughts of security - we invited five champion fund managers to sit down inside a massive underground vault that's now part of a restaurant a block from Wall Street: Bob Rodriguez of First Pacific Advisors, who manages the FPA Capital and New Income funds; Susan Byrne, who heads Westwood Holdings Group; Leslie Christian, president and chief investment officer of Portfolio 21 Investments; Tom Forester, manager of the Forester Value fund; and Jeremy Grantham, chairman of asset manager GMO. Fortune's Geoff Colvin led the discussion. Edited excerpts follow; stock prices are as of Dec. 1.Source: Business and financial news - CNNMoney.com | 15 Dec 2008 | 9:32 am Apple challenges Sony, NintendoSource: Business and financial news - CNNMoney.com | 15 Dec 2008 | 9:26 am Goldman, Morgan likely to bleed red inkThe outlook for the once venerated investment banks Goldman Sachs and Morgan Stanley has turned increasingly bleak.Source: Business and financial news - CNNMoney.com | 15 Dec 2008 | 9:25 am Slump in Japan firms' confidenceJapanese business confidence suffers its biggest drop in 34 years, amid fears of a deep recession.Source: BBC News | Business | World Edition | 15 Dec 2008 | 9:11 am China shares gain on govt moves to boost economy (AP)AP - Chinese stocks rose Monday as government moves to boost the economy outweighed data showing that growth in factory output had fallen to its lowest level in nearly seven years.Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 9:08 am China shares gain on govt moves to boost economy (AP)AP - Chinese stocks rose Monday as government moves to boost the economy outweighed data showing that growth in factory output had fallen to its lowest level in nearly seven years.Source: Yahoo! News: Business | 15 Dec 2008 | 9:08 am Media Digest 12/15/2008 Reuters, WSJ, NYTimes, FT, Bloomberg
Reuters reports that the recession is hurting Japan's economic sentiment and China's industrial output. Reuters writes that Bush said the auto bailout is not ready. Reuters reports that total loss in home value in 2008 is more than $2 trillion. Reuters writes that three European banks lost huge amounts in the failure of the Madoff funds. Reuters reports that the Fed will press rates toward zero. Reuters reports that retail weakness extended into December. Reuters reports that the CEO of Wal-Mart (WMT) is changing consumer spending trends. Reuters writes that Fannie Mae (FNM) will stop evictions in cases of foreclosures. Reuters reports that Northern Trust will cut 450 jobs. The Wall Street Journal writes that "Huntsman is expected to announce that it terminated its $6.5 billion agreement to be bought by Apollo Management and has settled all litigation against the New York buyout firm." The Wall Street Journal reports that the Bush administration was looking at a large auto company bailout but faced funding and logistical problems. The Wall Street Journal reports that falling US rates could drive Japanese investment out of the US. The Wall Street Journal reports that OPEC could cut output buy two million barrels a day to raise prices. The Wall Street Journal reports that Google (GOOG) is trying to get cable and telecom companies to give its traffic a faster path than other internet services get. The Wall Street Journal reports that Coke (KO) is about to market a natural diet drink. The Wall Street Journal reports that the government may set up rules to cut credit card rates. The Wall Street Journal reports that banks are expecting bad quarterly earnings for the current period. The Wall Street Journal reports that ETFs could be driving late day turns in the market. The Wall Street Journal reports that Siemens (SI) will pay the US $800 million in a bribery case. The Wall Street Journal reports that US drilling activity for gas and oil are dropping sharply. The Wall Street Journal reports that GMAC is trying to bring in investors to pick up banking status from the government. The Wall Street Journal reports that investors will be looking at forecasts for GE's (GE) largest unit--infrastructure. The Wall Street Journal reports that Take-Two's (TTWO) earnings will show if it should have taken EA's (ERTS) buyout offer. The Wall Street Journal reports that a White House bailout of The Big Three could upset the normal order of bankruptcy procedures. The Wall Street Journal reports that Walgreen's expansion may be hard to scale back. The Wall Street Journal writes that Liberty Media will spin out its entertainment division. The Wall Street Journal reports that Charter (CHTR) will try to overhaul its debt structure. The Wall Street Journal writes that China will complete its 3G systems upgrade soon. The New York Times reports that state unemployment funds are drying up. The New York Times reports that people moving out of hedge funds are putting a strain on managements to cope with the losses. The New York Times reports that Detroit is not resorting to many small budget cuts. The New York Times reports that Wall St. is wondering if Goldman Sachs (GS) can regain its premiere position after posting a loss this week. The FT reports that Japanese business confidence hit a 34 year low. The FT writes that HSBC (HBC) may have been hit with $1 billion from its investment with Madoff. The FT reports that bank credit card reforms could cost banks billions. The FT reports that US moves to cut mortgage costs could start soon. Douglas A. McIntyre Source: 24/7 Wall St. | 15 Dec 2008 | 9:01 am Japan stocks rebound on US automaker hopes (AP)AP - Japanese stocks jumped Monday, as investors brushed off sagging business confidence and focused instead on renewed hopes for a bailout of ailing U.S. automakers.Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 8:59 am RBS joins $50bn Wall Street 'fraud' victims$How he did it - allegedly | Biggest fraud in history? | Who is exposed? | SEC complaint against Madoff | What is a Ponzi scheme? | The 10 most outrageous swindles everSource: Latest Business News from Times Online | 15 Dec 2008 | 8:25 am Asia Markets And Europe Open 12/15/2008
The Nikkei was up 5.2% to 8,665. The Hang Seng rose 1.9% to 15,038. The Shanghai Composite was up .5% to 1,964. In Europe, the FTSE was up .9% to 4,321. The Dax rose 1.6% to 4,735 and the CAC 40 was up 1.7% to 3,269. Data from Reuters. Douglas A. McIntyre Source: 24/7 Wall St. | 15 Dec 2008 | 8:21 am Bush says US will stand by AfghanistanPresident George W. Bush told Afghan President Hamid Karzai the United States would stand by the war-torn country despite a transition of power at the White HouseSource: Financial Times - US homepage | 15 Dec 2008 | 8:20 am Trichet warns on fiscal indisciplineEuropean policymakers must not tear up the rule books when launching emergency economic rescue packages, Jean-Claude Trichet, the European Central Bank president, has saidSource: Financial Times - US homepage | 15 Dec 2008 | 8:09 am Overtime pay, rest breaks become bargaining chips in state budget crisisGOP lawmakers and business groups say changes in workplace rules are needed to keep employers in California, generating tax revenue. But Democrats and labor groups refuse to go along. ...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am Rules tighten for SBA's Community Express loanCaps mean fewer loans per month are available through the popular program. The Small Business Administration has...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am Bush weighs using financial bailout funds for automakersThe White House tossed out no lifeline for the teetering auto industry Sunday, though President Bush reiterated that he was considering using money from the $700-billion financial bailout fund to provide...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am 'The Day the Earth Stood Still' launches to the topThe sci-fi remake takes in $31 million to lead the weekend box office. 'Four Christmases' takes second place. ...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am Primary care doctors struggling to surviveRelatively low earnings, rising overhead and overwhelming patient loads are sending veteran physicians into early retirement and driving medical students into better-paying specialties. ...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am Room for opportunity in commercial real estate slumpRising vacancies spur lower rents for tenants and discounted prices for investors who can get financing. Like...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am L.A., Long Beach ports push projects despite rocky economyThe expansion would cut pollution, create jobs and prepare the complex for a shipping rebound, officials say. ...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am Using YouTube as a study aidStudents are turning to tutorial math videos when by-the-book learning falls short. When University of Central...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am Starting a firm? Do research firstDear Karen: I was laid off this fall from an aerospace company. I want to launch a business selling purses and accessories at home parties. What advice would you give me?Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am Rules tightened for SBA's Community Express loanCaps mean fewer loans per month are available through the popular program. The Small Business Administration has...Source: Infocious RSS raw feed - channel BNPaperBusiness | 15 Dec 2008 | 8:00 am Electrolux to cut 3,000 jobs due to downturnElectrolux, the world's second biggest home appliance maker, is set to axe 3,000 jobs after warning it will miss full-year profits targets as demand for its goods in Europe and the US tumbled in November and December.Source: Latest Business News from Times Online | 15 Dec 2008 | 7:53 am H&M November same-store sales fall 4 percent (Reuters)Reuters - Fashion retailer Hennes & Mauritz (HMb.ST) on Monday posted a 4 percent year-on-year fall in sales at established stores in November.Source: Yahoo! News: Business | 15 Dec 2008 | 7:17 am Australian stocks: Market closes firmly in the blackPERTH - The Australian share market has closed firmly in the black, driven by stronger resource stocks following commodity price rises over the weekend. The benchmark S&P/ASX200 index was up 81 points, or 2.31 per cent at 3,591.4,...Source: New Zealand Herald - Business | 15 Dec 2008 | 7:05 am NZ stocks: Market gives up gains to close flatThe New Zealand sharemarket gave up early gains to finish a quiet Monday flat. The benchmark NZSX-50 index closed down 0.522 points, or 0.019 per cent at 2676.43. Turnover was worth $67 million. There were 28 rises and 48 falls. Around...Source: New Zealand Herald - Business | 15 Dec 2008 | 6:12 am Bank of America dashes China bank sale talk, CCB fallsHONG KONG (Reuters) - Shares in China Construction Bank , the country's most valuable lender, slid more than 4 percent on Monday even after Bank of America poured cold water on a local newspaper report it planned to unload its stake in the Chinese bank at a discount.Source: Reuters: Business News | 15 Dec 2008 | 5:42 am Bush says auto bailout not readyKABUL (Reuters) - President George W. Bush said on Monday an announcement on a auto industry rescue was not imminent, leaving the industry's fate clouded in uncertainty for a little longer.Source: Reuters: Business News | 15 Dec 2008 | 5:35 am Wall Street looks to Fed, auto bailout this week (AP)
Source: Yahoo! News: Stock Markets News | 15 Dec 2008 | 5:34 am Japanese business confidence divesJapanese business sentiment has suffered its sharpest crash in three decades, a Bank of Japan survey showsand the central bank said no early turnaround was expected with the economy set to shrink next yearSource: Financial Times - US homepage | 15 Dec 2008 | 5:33 am Key disappointed, resigned to Genesis power price hikePrime Minister John Key does not expect Genesis will back down on its planned power price increases. But he has made his displeasure clear and called on the company to reconsider. Energy Minister Gerry Brownlee called Genesis...Source: New Zealand Herald - Business | 15 Dec 2008 | 5:31 am Currency: Dollar firms in quiet sessionThe New Zealand dollar rose consistently throughout the day and ended its domestic session above US55c. Dealers said the US dollar was weaker and this was the predominant trend in the market. The NZ dollar was little changed against...Source: New Zealand Herald - Business | 15 Dec 2008 | 5:28 am UK house prices 'to fall by 30%'The head of Barclays bank warns of a big drop in house prices ahead of jobless figures out this week.Source: BBC News | Business | World Edition | 15 Dec 2008 | 5:08 am Fannie Mae to stop evictions in foreclosures: reportPHILADELPHIA (Reuters) - Fannie Mae will allow tenants to remain in their homes and avoid eviction even if the building's landlord goes into foreclosure, The Wall Street Journal reported on Sunday.Source: Reuters: Business News | 15 Dec 2008 | 3:41 am Fannie Mae to stop evictions in foreclosures: report (Reuters)
Source: Yahoo! News: Business | 15 Dec 2008 | 3:41 am Senate Seeks Pequot AnswersTwo U.S. Senators have asked Arthur Samberg, chairman and C.E.O. of Pequot Capital Management, to turn over records relating to $2.1 million that the hedge fund has paid to an ex-employee who figured in a now-closed insider trading investigation of Samberg. It's a Mad, Mad, Mad, Madoff World A Weird Argument for Index Funds Another 500-point Swing? So What. Source: Portfolio.com: Top 5 | 15 Dec 2008 | 3:00 am Bush says auto bailout not ready (Reuters)
Source: Yahoo! News: Business | 15 Dec 2008 | 2:37 am Air NZ: Commission 'grandstanding' in $2.9bn cartel caseAir NZ has come out swinging at charges it was part of a $2.9 billion price fixing cartel that jacked up air cargo charges for New Zealand's exporters and importers, accusing the Commmerce Commission of 'grandstanding'. The commission...Source: New Zealand Herald - Business | 15 Dec 2008 | 1:30 am Policymakers to prop up US housing marketAn intensified effort to exploit government control of Fannie Mae and Freddie Mac to drive down mortgage costs and cushion a decline in house prices could start soonSource: Financial Times - US homepage | 15 Dec 2008 | 1:26 am Bankruptcies rising fast, says VedaThe number of people filing for bankruptcy and the recently introduced alternative, the No Asset Procedure (NAP), has risen 20 per cent in 2008, says the country's largest credit information provider. A total of 4751 individuals...Source: New Zealand Herald - Business | 15 Dec 2008 | 1:00 am NZ housing most affordable since 2005 - reportEconomic times may be tough but the good news is that housing in New Zealand is becoming more affordable. A sharp reduction in mortgage rates drove a record improvement in housing affordability in November to its best level in...Source: New Zealand Herald - Business | 15 Dec 2008 | 1:00 am Victims of record $91bn Wall St fraud speak outNEW YORK - From a Jewish youth charity in Boston to major banks as far afield as Zurich, the list of investors who say they were duped in one of Wall Street's biggest Ponzi schemes are streaming forward. Around the world, investors...Source: New Zealand Herald - Business | 15 Dec 2008 | 12:30 am $230 million roading job races aheadMost of the new bridge piles have been sunk into the Manukau Harbour on the country's second-largest roading job. John Burden, the Fletcher Construction alliance project manager in charge of the $230 million Manukau Harbour Crossing...Source: New Zealand Herald - Business | 15 Dec 2008 | 12:30 am Severn barrage plan could 'end fuel poverty'A ten-mile dam across the Severn, which could generate enough green electricity to supply 4 per cent of Britain's power needs, could be harnessed as a social project to wipe out fuel poverty, one of the country's leading green entrepreneurs claims today.Source: Latest Business News from Times Online | 15 Dec 2008 | 12:00 am Radical US Federal Reserve action expected with rate cutThe US Federal Reserve is tipped tomorrow to pave the way for it to take more extraordinary measures to kick-start the American economy after it cuts interest rates to an historic low of only 0.5 per cent. The Fed is expected to cut the key US official interest rate, its Fed Funds target rate, by another half-point from the present 1 per cent level that matches past record lows.Source: Latest Business News from Times Online | 15 Dec 2008 | 12:00 am Listen to Prudence, the Swabian housewifeThe world cannot avoid economic crises completely; Gordon Brown's claim that he would abolish boom-and-bust was a blunder for which he has rightly been criticised. The truth was recognised at least 150 years ago, when a Governor of the Bank of England observed that periods of prosperity and glut could not be prevented. “It is”, Sheffield Neave said in 1858, “a law of human nature.” We are a cyclical species.Source: Latest Business News from Times Online | 15 Dec 2008 | 12:00 am Airbus and Boeing plan loans for buyersBoeing and Airbus are preparing to pump the world aviation market with billions of dollars worth of loans to carriers in 2009 to try to offset what is expected to be “a very, very tough” year for aircraft manufacturers.Source: Latest Business News from Times Online | 15 Dec 2008 | 12:00 am City workers push Docklands homes onto marketCity workers are rushing to offload their Canary Wharf apartments amid job losses in the financial sector, according to figures from Rightmove.Source: Latest Business News from Times Online | 15 Dec 2008 | 12:00 am Premier Foods seeks cash injection of £700mPremier Foods, owner of some of the best-known names on the supermarket shelves including Hovis, Mr Kipling, Branston and Sharwoods, is believed to be seeking a £700 million cash injection.Source: Latest Business News from Times Online | 15 Dec 2008 | 12:00 am Tourism operator wins seven-year fight with IRDA tourism operator has won a case against Inland Revenue to have $6.28 million in goods and service tax paid back after a seven-year fight over a cheque that bounced. Contract Pacific, which sold New Zealand-based holiday packages...Source: New Zealand Herald - Business | 14 Dec 2008 | 11:30 pm Credit card reforms 'to cost banks billions'The Federal Reserve will finalise rule changes this week that will impose strict disclosure charges, giving the consumer more protection, and could leave banks facing billions in lossesSource: Financial Times - US homepage | 14 Dec 2008 | 10:40 pm Shipping charter rates soarChinese demand for iron ore lifts a slumping market and helps to push prices up and could encourage shipowners to bring ships back into serviceSource: Financial Times - US homepage | 14 Dec 2008 | 10:04 pm Detroit May Have Missed Airline Industry Lesson
GM may have more cash than it is letting on. It depends on how long ago it stopped paying key suppliers. But, other direct costs like labor can't be strung out so the car companies should have looked at their legal options a long time ago. In a reasonable economy, large companies which are, at their core, healthy, can find debtor-in-possession financing. The lenders can end up owning most or all of a company's assets at the end of the Chapter 11 process. During a deep recession, that may be impossible. Whatever the car companies might have done to save themselves under court protection should probably have been done last summer. No investor wants to risk that GM can be fixed even if labor and debtor costs are sharply reduced. According to Reuters, a Morgan Stanley analysis pointed out "The most telling evidence of the challenging DIP financing environment is that companies with significant cash levels are contemplating preemptive bankruptcy (Nortel is an example) as a means to continue to function in a DIP-less bankruptcy backdrop." For Detroit, that leaves Washington as the only DIP, at least for now. The Big Three should have seen the judge while they still had enough month to operate for several quarters. Douglas A. McIntyre Source: 24/7 Wall St. | 14 Dec 2008 | 9:34 pm Bush feels heat over auto loanPresident George W. Bush is facing growing pressure from his own party to impose wage cuts and debt write-downs on the US's troubled auto industry as conditions of the $14bn-$15bn emergency loan Detroit says it needsSource: Financial Times - US homepage | 14 Dec 2008 | 8:30 pm Puppy cam: 773 'viewer years'We once supposed that Ustream's Shiba Inu Puppy Cam might be the most popular live-streaming video of all time.Source: Business and financial news - CNNMoney.com | 14 Dec 2008 | 7:56 pm
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