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Opening Bell: 04.16.09House of Dimon Does Okay For Itself (Bloomberg) "They're taking market share in almost every one of their businesses," Jason Goldberg, an analyst at Barclays Plc in New York, said before earnings were released. "They're still open for business and aggressively marketing and making loans," said Goldberg, who rates the shares "overweight." The Return Of The Mortgage Industry (Reuters) "Aided by low interest rates and government incentives, refinancings have been climbing rapidly. Home purchase mortgage applications are also showing signs of a rebound, although at a slower pace." NYSE Chief Cautious Of March Rally (FT) UBS Sees Losses, Faces More Downsizing (WSJ) "The new boss of UBS AG announced plans that will further downsize Switzerland's largest bank, an admission that dual crises in its trading and private-wealth units have yet to abate. In announcing 8,700 layoffs and a 15% cut to operating costs, Chief Executive Oswald Grübel showed just how far the bank has fallen behind rivals like Goldman Sachs Group Inc. The results also highlighted the task ahead for Mr. Grübel: trying to maintain UBS's scale and influence while under political and legal attack from governments both at home and abroad." Lawyers Set To Make Profit On Lehman (WSJ) That marks the biggest quarterly fee request made by lawyers representing a bankrupt company, according to Lynn LoPucki, a law professor at the University of California, Los Angeles, who runs a bankruptcy-fee database. Mr. LoPucki estimates that Weil stands to bring in more than $200 million in fees by the end of the case. That would exceed the next-highest debtor counsel fee, the $159 million that Weil earned during the Enron bankruptcy." 
Source: Dealbreaker | 16 Apr 2009 | 12:45 pm Presented By:Source: Dealbreaker | 16 Apr 2009 | 12:45 pm UK unveils electric car subsidiesUK Motorists will be offered subsidies of up to £5,000 ($7,500) to encourage them to buy electric and hybrid cars.Source: BBC News | Business | World Edition | 16 Apr 2009 | 11:46 am Baxter reports 20% rise in first-quarter profitBaxter International posts a 20% rise in first-quarter net income, citing strong fundamentals and improved margins.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:38 am JP Morgan quarterly profits fallJP Morgan Chase reports a 12.5% drop in first quarter net income of $2.1bn compared with $2.4bn the same time a year ago.Source: BBC News | Business | World Edition | 16 Apr 2009 | 11:37 am Older Americans Continue to Travel Despite EconomyMore than 12,000 Americans Age 50-Plus Attended Grand Circle Travel Forums in Q1 2009 -- with $20 Million in Bookings Four Out of 10 Americans Booked Trips Same DaySource: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:36 am New Service Launched to Help Nonprofits GrowRecession, Budget Cuts and New Media Demand a New Approach; The ThinkTank Launches Outreach Program for Nonprofits MIAMI, April 16 /PRNewswire/ -- Today, more...Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:35 am JPMorgan profit beats forecastsNEW YORK (Reuters) - JPMorgan Chase & Co <JPM.N said on Thursday first-quarter profit fell, as the deepening recession and rising unemployment forced it to set aside more money against losses in its consumer banking business.Source: Reuters: Business News | 16 Apr 2009 | 11:34 am China Eastern Airlines reports huge loss in 2008China Eastern Airlines said it suffered a net loss of 15.3 billion yuan (2.2 billion dollars) last year due to falling passenger numbers, rising fuel costs and bad bets on fuel hedging...Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:33 am Indications: U.S. stock futures turn steady as J.P. Morgan tops targetU.S. stock futures point toward a steady start on Thursday, as J.P. Morgan Chase beats analysts' earnings estimates and Nokia meets them.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:32 am JP Morgan reports record revenue of $26.9bn$JPMorgan today announced record revenues for the first quarter, driven by its investment banking division, and gave a cautiously optimistic outlook for the year.Source: Latest Business News from Times Online | 16 Apr 2009 | 11:31 am Earnings Watch: Updates, advisories and surprisesA roundup of the latest corporate earnings reports and what companies are saying about future quarters.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:31 am Magnum Delivers 23 Tons of Specialty Shred Rubber Buffings to Northern Canadian Rubber Company and Receives 2 New OTR (Black Gold) Tire DeliveriesFORT LAUDERDALE, Fla., April 16 /PRNewswire-FirstCall/ -- Magnum D'Or Resources, Inc. (OTC Bulletin Board: MDOR) announces a new revenue source from the sale of 46,000 lbs...Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:30 am CreditCardFlyers.com Launches Smart Site for Consumers Making Informed Financial ChoicesNEW YORK, April 16 /PRNewswire/ -- Today's consumers are well aware of the difference good credit makes. But not all consumers have perfect credit or access to up-to-date...Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:30 am Parker Reports Third Quarter Sales, Net Income and Earnings Per Share- Company revises guidance for fiscal 2009 CLEVELAND, April 16 /PRNewswire-FirstCall/ -- Parker Hannifin Corporation (NYSE: PH), the world leader in motion and...Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:30 am Bankrate: Mortgage Rates Inch LowerNEW YORK, April 16 /PRNewswire-FirstCall/ -- Mortgage rates were down slightly this week, with the average 30-year fixed mortgage rate dipping to 5.18 percent. According to...Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:30 am Obama mortgage rescue gets underwayThe Obama administration's loan modification program is finally underway.Source: Business and financial news - CNNMoney.com | 16 Apr 2009 | 11:29 am Nokia says visibility improving after weak quarterHELSINKI (Reuters) - The world's top cell phone maker Nokia calmed jittery investors on Thursday by reaffirming its forecast for the handset market and saying visibility was improving, sending its shares higher.Source: Reuters: Business News | 16 Apr 2009 | 11:29 am Can a new boss save Yahoo?Carol Bartz wasn't interested when Yahoo co-founder Jerry Yang first approached her about rescuing the company he'd created at Stanford University 15 years ago. As she drove to his home in Los Altos Hills one day last December, she was prepared to be polite and maybe offer some advice. Bartz, who had retired in 2006 from design-software maker Autodesk, didn't need a new gig, and she certainly wasn't looking to play savior to a company she figured needed a CEO with media-industry chops - not her specialty.Source: Business and financial news - CNNMoney.com | 16 Apr 2009 | 11:28 am French fishermen 'call off port blockades'French fishermen agreed on Thursday to end a paralysing blockade of Channel ports staged in protest at EU fishing quotas, unions said. The fishermen, who cut ferry links between Britain...Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:27 am JPMorgan earns $2.1bn on record salesThe US bank reported first quarter profits of $2.1bn as its investment banking business returned to profitability, beating analysts' expectationsSource: Financial Times - US homepage | 16 Apr 2009 | 11:26 am JPMorgan profit tumbles, but beats forecast (Reuters)Reuters - JPMorgan Chase & CoSource: Yahoo! News: Business | 16 Apr 2009 | 11:25 am Foreclosure filings jump 24%Foreclosure activity skyrocketed in March and the first quarter of 2008 to their highest levels on record as banks lifted moratoria on filings.Source: Business and financial news - CNNMoney.com | 16 Apr 2009 | 11:22 am Kaufman Bros., L.P. - Positioned for Accelerated GrowthNEW YORK, April 16 /PRNewswire/ -- Kaufman Bros., L.P. is positioned for accelerated growth after strategically partnering with an investment group led by Benny Lorenzo.Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:22 am RLPC-Materis looks to reset loan covenants -bankersLONDON April 16 (Reuters) - Privately owned French construction speciality chemicals company Materis is asking lenders to reset its leveraged loan covenants and relax its repayment schedule, two bankers...Source: RSS feed - channel BNewsBusiness | 16 Apr 2009 | 11:21 am Europe Markets: Bank shares help fuel European gains; Nokia ralliesEuropean shares extend their early Thursday gains, helped by the banking sector, as investors also applaud results from Nokia, Roche and Danone.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:21 am Nokia sees profits plunge by 90%Mobile phone giant Nokia says net profits fell 90% in the first quarter of 2009 with sales down by more than a quarter.Source: BBC News | Business | World Edition | 16 Apr 2009 | 11:19 am Stock futures fall as General Growth stirs worry (Reuters)
Source: Yahoo! News: Business | 16 Apr 2009 | 11:17 am Stock futures fall as General Growth stirs worryNEW YORK (Reuters) - Stock futures pointed to a lower open on Thursday after the bankruptcy of General Growth Properties offset better-than-expected quarterly earnings from JPMorgan Chase & Co .Source: Reuters: Business News | 16 Apr 2009 | 11:17 am Stock futures fall as General Growth stirs worry (Reuters)
Source: Yahoo! News: Stock Markets News | 16 Apr 2009 | 11:17 am General Growth Properties files for bankruptcy protectionMall owner General Growth Properties on Thursday filed for bankruptcy protection, saying it couldn’t reach an out-of-course consensus on restructuring its mounting debt pile.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:17 am Lower opening seen for Wall StreetU.S. stocks were headed for a lower opening Thursday - despite a better-than-expected earnings report from financial services firm JPMorgan Chase - ahead of a raft of economic reports.Source: Business and financial news - CNNMoney.com | 16 Apr 2009 | 11:16 am China growth slowest on recordBEIJING (Reuters) - China struggled out of the gate this year with its weakest quarter on record, but a pick-up in March showed the world's third-largest economy was on track for stronger growth in coming months.Source: Reuters: Business News | 16 Apr 2009 | 11:16 am General Growth files for bankruptcy protectionNEW YORK (Reuters) - General Growth Properties Inc, the second largest U.S. mall owner, filed for bankruptcy protection on Thursday in one of the biggest real estate failures in U.S. history.Source: Reuters: Business News | 16 Apr 2009 | 11:16 am Earlybird Analyst Upgrades & Downgrades (AEP, CME, FNFG, KFT, LSTR, RGLD, SD, SBUX, TRI)We still have well over two-hours until the opening bell this Thursday morning. So far we have seen many select upgrades and downgrades from Wall Street analysts. Here is what we have seen so far: American Electric (NYSE: AEP) Raised to Overweight at JPMorgan. CME Group Inc. (NYSE: CME) Cut to Market Perform at William Blair. First Niagara [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 11:14 am Philippine central bank cuts rate to near 17-year lowThe Philippine central bank lowered its main policy rate by a quarter point Thursday, bringing its main lending rate to a near 17-year low of 4.5%.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:13 am London Markets: Bunzl, Experian shares decline in higher LondonShares of Bunzl and Experian fell in London on Thursday with both reporting revenue under strain from the recession.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:11 am Wall Street set for a mixed opening (AP)
Source: Yahoo! News: Stock Markets News | 16 Apr 2009 | 11:10 am Nokia posts in-line 82% drop in first-quarter profitNokia Corp, the world’s largest maker of mobile phones, on Thursday met expectations at it reported an 82% drop in first-quarter profit after shipping 19% fewer phones.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:09 am Martha Stewart gets a million dollar raiseSource: Business and financial news - CNNMoney.com | 16 Apr 2009 | 11:05 am J.P. Morgan Chase first-quarter profit falls 10%J.P. Morgan Chase & Co. on Thursday said its first quarter earnings fell 10% as loan-losses grew.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 11:04 am JPMorgan Chase earns $2.1 billionJPMorgan Chase reported a better-than-expected profit of $2.1 billion in the first quarter, even as the bank aggressively set aside money to cope with rising loan losses, the company said Thursday.Source: Business and financial news - CNNMoney.com | 16 Apr 2009 | 11:01 am New Bank member says 'worst may have passed'David Miles, the Morgan Stanley economist who will join the Bank of England’s Monetary Policy Committee (MPC) in the summer, said today that the worst of the British recession could be over.Source: Latest Business News from Times Online | 16 Apr 2009 | 10:55 am General Growth files for bankruptcy protection (Reuters)Reuters - General Growth Properties Inc , the second largest U.S. mall owner, filed for bankruptcy protection on Thursday in one of the biggest real estate failures in U.S. history.Source: Yahoo! News: Business | 16 Apr 2009 | 10:54 am JPMorgan Chase Shows How It’s Done (JPM, FAS)JPMorgan Chase & Co. (NYSE: JPM) rose about 7% yesterday ahead of this morning’s earnings announcement along with other major financial stocks, and now we know why. Jamie Dimon and friends at one of the strongest US-banks posted earnings at $0.40 EPS vs. $0.32 estimates from Thomson Reuters; and revenues came in at $26.9 billion [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 10:51 am Eurozone industrial output divesEurozone industrial output fell 18.4% over the past year, the biggest drop since its inception in 1990, official figures show.Source: BBC News | Business | World Edition | 16 Apr 2009 | 10:49 am China Eastern reports $2.2bn lossChina Eastern Airlines reports a 15.3bn yuan ($2.2bn; £1.5bn) loss for 2008, blaming high fuel costs and falling passenger numbers.Source: BBC News | Business | World Edition | 16 Apr 2009 | 10:48 am Nokia sales plunge but maintains outlookThe world's largest handset maker saw its net profit slumped to €122m in the first quarter but it tried to provide some reassurance to investors by maintaining its outlook for the mobile market in 2009Source: Financial Times - US homepage | 16 Apr 2009 | 10:46 am General Growth files for bankruptcy protectionThe second largest US mall owner filed for bankruptcy protection making it one of the biggest real estate bankruptcies in US historySource: Financial Times - US homepage | 16 Apr 2009 | 10:45 am China's economy downshifts to 6.1% growth in first quarterChina’s economy grows at a slightly better-than-expected rate in the first quarter, buoyed by strong fixed-asset investment and firming industrial production, adding to an emerging picture of an economy that’s on the mend.Source: MarketWatch.com - Top Stories | 16 Apr 2009 | 10:43 am Nokia (NOK) Sales Crater, Handset Industries ShuddersIt won’t be a nice day to go to work at Motorola (MOT), Samsung, or Sony Ericsson. Their larger competitor, Nokia (NOK) said it sold 19% fewer phones in the first quarter than it did in the same period a year ago. Total units shipped dropped to 93.2 million. The company said first-quarter net income fell 82% [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 10:36 am World markets steady ahead of JP Morgan earnings (AP)
Source: Yahoo! News: Stock Markets News | 16 Apr 2009 | 10:30 am Rosetta Stone IPO Has Arrived, And Then Some (RST)Rosetta Stone Inc. (NYSE: RST) has priced its initial public offering of 6.25 million shares of common stock at $18.00 per share. Of the offering, Rosetta Stone is selling 3.125 million shares of common stock and its selling stockholders are also selling 3.125 million shares in this offering. What is interesting here is that Rosetta [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 10:21 am Bottom For Real Estate Far Away As Foreclosures RiseThe foreclosure rates on homes in the US is still rising sharply, which is bad news for banks and almost anyone trying to sell a house. It could also totally undermine the Administration’s plan to help homeowners cut mortgage costs and stay in their homes. The assistance will come too late for hundreds of thousands of [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 10:16 am Experian sees no improvement in UK bank lendingExperian the UK's largest credit checker said consumer lending has shown no signs of improvement despite a more stable banking sector after fundraisings and Government intervention.Source: Telegraph Finance | 16 Apr 2009 | 10:12 am General Growth And Another Burden For Bank StocksGeneral Growth (GGP), the big mall owner, filed for bankruptcy, as many experts thought it would. The company has $27 billion in debt and, with real estate prices depressed, it may be impossible to raise even close to that amount of money through asset sales. As would be expected with any large commercial real estate enterprise, General Growth [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 10:06 am UBS to cut 11% of global workforceThe Swiss bank confirmed investors' worst fears with further heavy losses in the first quarter and a cull of more than 11 per cent of the Swiss banking group's global workforceSource: Financial Times - US homepage | 16 Apr 2009 | 9:57 am European stocks follow Wall Street higher (AFP)
Source: Yahoo! News: Stock Markets News | 16 Apr 2009 | 9:48 am London stocks climb (AFP)
Source: Yahoo! News: Stock Markets News | 16 Apr 2009 | 9:47 am Euro car sales still in reverseSales of new cars across Europe fell 9% in March 2009 compared with a year ago, an industry association says.Source: BBC News | Business | World Edition | 16 Apr 2009 | 9:47 am Looking For The “Real” InvestorThe head of The New York Stock Exchange is questioning the viability of the tremendous March market rally. He contends “real” investors were not in the thick of the trading. He has the benefit of access to statistics which almost no on else has, so his opinion should carry significant weight. “In rare comments about market [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 9:40 am Weak exports hit China's growthGrowth of China's GDP slowed to 6.1% in the first quarter of 2009, the weakest since 1992, after exports fell for a fifth month.Source: BBC News | Business | World Edition | 16 Apr 2009 | 9:39 am Parenting secrets from Bill Gates' dadIn the early days of Microsoft's success, when my son's name was starting to become known to the world at large, everybody from reporters at Fortune to the checkout person at the local grocery store would ask me, "How do you raise a kid like that? What's the secret?" At those moments I was generally thinking to myself, "Oh, it's a secret all right ... because I don't get it either!"Source: Business and financial news - CNNMoney.com | 16 Apr 2009 | 9:33 am Halfords buoyed by rising bicycle and car maintenance salesHalfords the carpart and cycling retailer is avoiding the worst of the recession with bike and car maintenance sales rising as consumers avoid buying new cars and look to save money.Source: Telegraph Finance | 16 Apr 2009 | 9:29 am Hainan hopesChinese island feels downturn as leaders arriveSource: BBC News | Business | World Edition | 16 Apr 2009 | 9:21 am China's growth slowest in a decadeChina's economy grew 6.1 percent in the first quarter of 2009, down from 6.8 percent last quarter and from 10.6 percent year-on-year, state media reported on Thursday.Source: Business and financial news - CNNMoney.com | 16 Apr 2009 | 9:17 am Mutual funds seek SEC review of TALF rules: report (Reuters)Reuters - Mutual fund companies including BlackRock Inc are asking the U.S. Securities and Exchange Commission to review rules for participating in the Federal Reserve's TALF program to boost lending, the New York Post said, citing sources.Source: Yahoo! News: Stock Markets News | 16 Apr 2009 | 9:07 am Namibia 'hit by global slowdown'The International Monetary Fund says that Namibia must diversify away from the minerals sector in order to boost its economy.Source: BBC News | Business | World Edition | 16 Apr 2009 | 8:55 am Mixed data gives investors pause (Reuters)
Source: Yahoo! News: Stock Markets News | 16 Apr 2009 | 8:35 am No. 2 mall owner files for bankruptcyRead full story for latest details.Source: Business and financial news - CNNMoney.com | 16 Apr 2009 | 8:16 am Digging deepA South African gold miner's life in sound and imagesSource: BBC News | Business | World Edition | 16 Apr 2009 | 8:10 am Roche beats recession in first quarterZURICH (Reuters) - Swiss drugmaker Roche Holding brushed off the downturn in the first quarter and sounded a confident note on the full year, after posting a 7 percent rise in sales, driven by cancer medicine Avastin.Source: Reuters: Business News | 16 Apr 2009 | 8:05 am LG Display posts Q1 loss, sees prices recoveringSEOUL (Reuters) - South Korea's LG Display Co Ltd posted a second straight quarter of losses due to weak LCD prices, but forecast a pick-up in prices and shipments as the industry recovers from a steep downturn.Source: Reuters: Business News | 16 Apr 2009 | 8:00 am Media Digest 4/16/2009 Reuters, WSJ, NYTimes, FT, BloombergAccording to Reuters, Obama vowed to overhaul the tax code. Reuters reports that GM (GM) is working on a plan to cut dealers at an accelerated pace. Reuters writes that China’s first quarter growth was the slowest on record. Reuters reports that US foreclosure filings jumped as a moratorium ended. Reuters reports that AIG (AIG) may sell its auto [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 7:56 am Aussie stocks: Market closes higherThe Australian share market closed higher today after starting strongly on a positive lead from United States markets but easing on weaker than expected figures for economic growth in China. At the 1615 AEST close, the benchmark...Source: New Zealand Herald - Business | 16 Apr 2009 | 7:53 am FTSE makes fresh move on 4,000London equities were stronger on Thursday, with banks and mining stocks once more engaged in an attempt to help the FTSE 100 back over the 4,000-points mark. London's benchmark index rose 26 points to...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:48 am Halfords axes specialist shops after two yearsHalfords has scrapped its chain of standalone cycle stores just two years after launching the shops.Source: Latest Business News from Times Online | 16 Apr 2009 | 7:47 am Google machine put to test in 1st quarterSAN FRANCISCO (Reuters) - With three rounds of layoffs announced since the year began, Google Inc is showing rare signs of vulnerability.Source: Reuters: Business News | 16 Apr 2009 | 7:42 am NZ stocks: Strong rise for sharemarketThe New Zealand sharemarket enjoyed a leader-led rally today and out performed other markets in Asia. The benchmark NZSX-50 index closed up 62.491 points, or 2.403 per cent at 2663.137. Turnover was worth $115.47 million, of...Source: New Zealand Herald - Business | 16 Apr 2009 | 7:40 am GM pushes faster plan to cut U.S. dealers: sourcesDETROIT (Reuters) - General Motors Corp has told U.S. dealers it is accelerating its timetable for closing about 1,700 dealerships as it rushes to meet a June 1 deadline to restructure under U.S. government oversight, people with knowledge of the discussions said.Source: Reuters: Business News | 16 Apr 2009 | 7:38 am NZ currency: Dollar continues to test lowsThe New Zealand dollar continued to test recent lows today though investors' appetite for risky currencies such as it waxed and waned. The NZ dollar fell to a week-low around US57.35c early, recovered and then tested support around...Source: New Zealand Herald - Business | 16 Apr 2009 | 7:36 am Asia Markets And Europe Open 4/16/2009Markets in Asia were mixed. The Nikkei rose 2.9% to 8,996. The Hang Seng was down .3% to 15,619. The Shanghai Composite was down 1.1% to 2,507. At the open in Europe, the FTSE was up .5%. The Dax rose .6% to 4,575 and the CAC 40 moved up .8% to 3,010. Data from Reuters and MarketWatch. Douglas A. McIntyre [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 7:23 am Asia locks in gains after month-long rallyHONG KONG, April 16 Asian stocks pulled back from a six-month high on Thursday, while the safe-haven yen jumped against major currencies after China posted its slowest quarterly growth ever in a reminder...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:20 am Government to offer £5,000 to boost green carsUK motorists are to be offered subsidies of up to £5,000 to purchase hybrid and electric cars under Government plans to be unveiled today, as figures suggest that scrappage incentive schemes are reversing the slump in car sales across Europe.Source: Latest Business News from Times Online | 16 Apr 2009 | 7:16 am Dell (DELL) Falls Further And Further BehindDell (DELL) has done a modest amount of what it could do to keep pace with its PC competition. It recently launched a high-end laptop, the Adamo, which mimics the look of a Apple (AAPL) MacBook. It is a handsome machine, but is costly and does not have features that would seems to make it [...][[ This is a content summary only. Visit my website for full links, other content, and more! ]] Source: 24/7 Wall Street | 16 Apr 2009 | 7:16 am Budget 2009: Employers and unions seek Government wage subsidy for shorttime workingEmployers and unions have urged the Government to introduce a temporary shorttime working scheme in the Budget to help people losing pay during the current recession.Source: Telegraph Finance | 16 Apr 2009 | 7:13 am Metric counts its iTunes successThe rock act that has gone without a label's backing sees digital downloads from its new release put 'Fantasies' in the middle of the U.S. pop chart. ...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:00 am DJ video game dispute spins to courtGenius Products and Numark Industries say Activision has tried to keep Scratch: the Ultimate DJ from hitting the market before its DJ Hero. ...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:00 am China's GDP growth is slowingThe 6.1% increase in the first quarter probably still topped the growth rates of other major economies. China...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:00 am Dispute forces L.A. Hotel Venture to file Chapter 11The filing has to do with a dispute over how to spend money remodeling the downtown L.A. Marriott, a spokesman for the hotel owner said. The company bought the hotel in 2007. ...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:00 am Southern California home prices may be stabilizingThe median price for homes in the region remained at $250,000 in March, but tighter credit or an uptick in interest rates could derail a recovery. ...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:00 am Stocks climb on hints of stabilizing economyShares of consumer product makers and financial companies lead a late rally. The Dow Jones industrial average gains 109 points. ...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:00 am BofA shareholder revenge could befall CEO Kenneth D. LewisThe chairman's critics, citing the firm's moves last year to acquire Countrywide and Merrill, are calling on shareholders to vote him off the board at the company's annual meeting April 29. ...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:00 am Empty spaces in the supply chainThe recession leaves warehouses, rail cars and shipping containers sitting idle. But some analysts hope the worst is over.The 800,000-square-foot warehouse in Rialto has all the proper pedigrees: easy access to the 10, 215 and 60 freeways, state-of-the-art fire control, secured truck court, spacious parking. It's got the kind of neighbors -- Unilever, FedEx, Home Depot, Energizer -- that show it's in the sweet spot of the nationwide cargo distribution system. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am Dispute forces L.A. Hotel Venture to file Chapter 11The filing has to do with a dispute over how to spend money remodeling the downtown L.A. Marriott, a spokesman for the hotel owner said. The company bought the hotel in 2007.L.A. Hotel Venture filed for Chapter 11 bankruptcy protection Wednesday in an effort to stave off creditors, access cash and restructure an agreement on a remodel of its Marriott Hotel in downtown Los Angeles. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am United Airlines could require obese passengers to buy a second ticketUnder a new United policy, if flight attendants can't find two open coach seats together, large passengers must buy a second seat, upgrade to business class -- or even get bumped.As the nation copes with increasing numbers of obese Americans, United Airlines has joined the list of air carriers making overweight passengers pay more to fly. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am Bidder for Saturn steps forward, promises to keep the brand aliveAn Oklahoma equity firm is the first known suitor for GM's unit. It would continue to distribute GM-made vehicles through 2011 and would also sell imported vehicles as Saturns. ...Source: RSS feed - channel BNPaperBusiness | 16 Apr 2009 | 7:00 am Southern California home prices may be stabilizingThe median price for homes in the region remained at $250,000 in March, but tighter credit or an uptick in interest rates could derail a recovery.Southern California home prices held steady for the third straight month in March, a sign that the housing slump may be near its bottom. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am Metric counts its iTunes successThe rock act that has gone without a label's backing sees digital downloads from its new release put 'Fantasies' in the middle of the U.S. pop chart.For its first album in four years, electronic-tinged rock act Metric opted to go without the backing of a music label, a move that in the past would have been daring. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am Diamond industry rocked by soft marketThe global economic downturn has severely lowered demand, hurting those in the supply chain including miners in Africa, cutters in India and retailers in Europe and the U.S.A diamond is forever. Too bad the market for it isn't. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am Bidder for Saturn steps forward, promises to keep the brand aliveAn Oklahoma equity firm is the first known suitor for GM's unit. It would continue to distribute GM-made vehicles through 2011 and would also sell imported vehicles as Saturns.An unheralded private equity firm in Oklahoma City emerged Wednesday as the only known suitor for General Motor Corp.'s Saturn brand, promising to keep the marque and its dealership network alive. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am DJ video game dispute spins to courtGenius Products and Numark Industries say Activision has tried to keep Scratch: the Ultimate DJ from hitting the market before its DJ Hero.This battle of disc jockeys is playing out in court. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am China's GDP growth is slowingThe 6.1% increase in the first quarter probably still topped the growth rates of other major economies.China reported today that its economy grew at the slowest pace on record in the first quarter. But signs are emerging that the worst may be over for the world's third-largest economy. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am BofA shareholder revenge could befall CEO Kenneth D. LewisThe chairman's critics, citing the firm's moves last year to acquire Countrywide and Merrill, are calling on shareholders to vote him off the board at the company's annual meeting April 29.Bruised by a year of financial catastrophe, some bank shareholders are out for revenge as the corporate annual meeting season approaches -- with Bank of America Corp. Chairman and Chief Executive Kenneth D. Lewis a prominent target. Source: L.A. Times - Business | 16 Apr 2009 | 7:00 am Sun ready to resume IBM takeover talks: report(Reuters) - Sun Microsystems Inc would be willing to resume takeover talks with International Business Machines Corp if IBM made a stronger commitment to closing a deal, Bloomberg said, citing two people familiar with the matter.Source: Reuters: Business News | 16 Apr 2009 | 6:37 am Sun ready to resume IBM takeover talks: report (Reuters)
Source: Yahoo! News: Business | 16 Apr 2009 | 6:37 am Asian markets trim gains after weaker China growthAsian stock markets rose on Thursday before paring their gains as investors reacted to news that China's economy suffered its slowest quarterly growth in at least a decade as the financial crisis battered global trade.Source: Telegraph Finance | 16 Apr 2009 | 6:22 am eBay takes controlling stake in South Korea's GmarketeBay the online auction company is to take a controlling stake in Gmarket South Korea's biggest online marketplace in a bid to expand its presence in Asia.Source: Telegraph Finance | 16 Apr 2009 | 6:11 am Budget 2009: How taxes have gone up under LabourA Telegraph survey shows that for the typical taxpayer on average income the percentage of income paid in various forms of tax has increased from 32pc to 35pc.Source: Telegraph Finance | 16 Apr 2009 | 6:07 am Budget 2009: Family tax up by 10pc since Labour came to power in 1997 and it could get worseAll forms of tax now absorb about 10pc more of the average family's income than they did when Labour came to power.Source: Telegraph Finance | 16 Apr 2009 | 6:07 am GM pushes faster plan to cut U.S. dealers: sources (Reuters)
Source: Yahoo! News: Business | 16 Apr 2009 | 5:47 am eBay to buy S.Korea's Gmarket for up to $1.2 billion (Reuters)Reuters - eBay Inc offered to buy South Korean online retailer Gmarket Inc for up to $1.2 billion, making it the leader in the world's sixth-largest e-commerce market.Source: Yahoo! News: Business | 16 Apr 2009 | 5:41 am US steps back from trade war with ChinaThe United States has retreated from a potentially explosive confrontation and dropped its accusations that China 'manipulates' its currency.Source: Telegraph Finance | 16 Apr 2009 | 5:37 am NZ's low productivity singled out in OECD reportRaising productivity has been identified in an OECD report on New Zealand as the country's greatest medium term challenge. The report, released today, provides analysis of New Zealand's economic situation, identifies perceived...Source: New Zealand Herald - Business | 16 Apr 2009 | 5:00 am China's quarterly growth slows to 6.1%China's economy grew 6.1 per cent in the first quarter, the lowest year-on-year reading since quarterly GDP data was first published in 1992 as Beijing struggled to prop up growth that has deteriorated in the face of the global crisisSource: Financial Times - US homepage | 16 Apr 2009 | 4:42 am Food and clothing drive retail sales upRetail sales rose by a betterthanexpected 0.6pc in March compared with the same month last year helped by warmer weather and higher food sales according to the latest survey.Source: Telegraph Finance | 16 Apr 2009 | 4:39 am Hundreds more UK jobs to go as UBS cutsSeveral hundred more British banking jobs will be lost after UBS the Swiss financial group revealed plans to cut its global workforce by another 8700.Source: Telegraph Finance | 16 Apr 2009 | 4:38 am JPMorgan Surprise Leaves Traders Flat (Market Update)News at a Glance
The LowdownOptimism over the financial sector met pessimism over the housing sector, holding trader sentiment hostage and leaving the markets barely changed. Stocks looked to open fairly flat Thursday, as traders wrestled with an earnings surprise from JPMorgan Chase (JPM) and persistent concern over the real estate market. JPMorgan earned $2.1 billion, or 40 cents a share, last quarter, down a bit from the year-ago period but well above analysts' estimates of 32 cents a share. The earnings surprise comes about a week after Wells Fargo said it expected to top estimates. In housing, foreclosures jumped 24% last quarter, according to data released today by RealtyTrac. On the Nymex, energy prices edged up. By 6:50 a.m., crude traded up 28 cents at $49.53 a barrel. World markets were mixed. In Asia, Japan's Nikkei finished up 0.1%, while Hong Kong's Hang Seng slipped 0.6%. In Europe, the major indexes of London, Paris and Frankfurt each stood up more than 1.0% in midday trading. Corporate News
The Economy
SMARTMONEY ® Layout and look and feel of SmartMoney.com are trademarks of SmartMoney, a joint venture between Dow Jones & Company, Inc. and Hearst SM Partnership. © 1995 - 2009 SmartMoney. All Rights Reserved. Source: SmartMoney.com | 16 Apr 2009 | 4:00 am 10 Things Cable Companies Won't Tell You (10 Things)1. “Deregulation is a joke— but it’s probably not as funny for you.”
The lucky few who live in markets with more than one cable company to choose from pay about 17 percent less than those in single-provider markets, according to the FCC. “The Telecom Act was meant to generate more competition, resulting in lower prices for cable TV customers,” says David Butler, formerly of the Consumers Union, a Washington, D.C., consumer-watchdog group. “We have seen just the opposite—more mergers, less competition, and rising prices for customers.” Meanwhile, the only real alternative to cable—satellite television—has its own issues. While subscribers have been lured with the promise of competitive prices and more programming, about 8 percent of satellite customers still subscribe to cable television, since most satellite services cannot carry local broadcasters’ signals, which cover events like city council meetings and high school football games. And satellite service delivers only one channel to a household at any given time—unless users purchase an extra settop box for each TV, which may cost up to $69 apiece. 2. “We raise prices recklessly . . .”
Will things get better? Not likely. The cable industry has been undertaking a massive upgrade of existing wiring in order to beef up its offerings of services like high-speed Internet access and local phone service—all of which will cost you. “The cable industry is constantly updating its infrastructure to provide consumers with better service,” says Brian Dietz, vice president of communications at the National Cable & Telecommunications Association, and the increase in prices is designed to help cover those costs. 3. “. . . and manipulate the dial.”
Cable companies that also own a lot of programming—like Time Warner, which owns HBO, CNN, and TNT among other channels—especially benefit from these package deals. “Only a portion of subscribers are going to watch, say, ESPN,” says Chris Murray, senior counsel at Consumers Union. “Meanwhile, ESPN gets paid a certain amount for every subscriber, so the customer ends up subsidizing content he doesn’t watch,” Murray says. A spokesperson for Time Warner Cable says, “The tiers of channels are determined ultimately by viewer popularity, and we offer tiers that we feel will satisfy customers.” 4. “Bundling your services can end up costing you more.”
Another thing about these cablephone- Internet bundles, also known as “triple play” packages, is that they can be complicated and sometimes misleading—especially when they’re advertised through special promotions. For starters, it’s important to know when the offered deal expires. Time Warner, for example, offers New York City residents a triple-play package for $89.95 per month. But after the first 12 months, the monthly fee jumps to $114.95—something you wouldn’t notice unless you did some digging. (A spokesperson for Time Warner Cable says, “It’s a promotional deal. We want you to try our service because we believe in it. To get you to try it, we offer a discounted price, and later, the real price.”) Fortunately, there are some good triple-play deals out there, which is why it pays to shop around. Packages vary from provider to provider, so Breyault recommends doing your homework to find the one that best fits your individual needs. In addition, pay careful attention to the fine print, which should spell out early-termination fees and any additional charges. 5. “We want to control the Internet the way we control your TV .”
Industry experts say that Comcast was blocking internal content because the BitTorrent application potentially competes with the company’s video service. And there are fears it could be the start of a push by cable companies to control content on the Internet. “We hope we’ll continue to have an open Internet,” says Murray, of Consumers Union, “but the dinosaur seems to be gnashing its teeth and not wanting new technologies to thrive or survive.” 6. “Our fiber-optic cables are a real eyesore.”
Starosciak says the cables have a negative impact on the neighborhood and could potentially lower property values in the future. A spokesperson for Comcast says its cables, which have 190 different strands of fiber in each one, are the “standard” thickness for fiber-optic networks. AT&T says it’s not aware of any complaints regarding aerial wires in that area and that there are several other providers included on those lines. 7. “We’re so goo d at making excuses that we start to believe them ourselves.”
Then there’s high-speed Internet. After years of investing in infrastructure, cable companies are justifying rate hikes by saying they’re providing a menu of consumer-friendly applications and rolling out higher bandwidth that increases speed. At Cox Communications, for example, they’re offering customers “faster speeds, greater online security and enhanced features to make their lives easier,” says a company spokesperson. “We’re continually looking at new features requested by our customers, including larger mailboxes, more online storage and applications like Cox Rhapsody music.” The cable companies “are telling Wall Street that high-speed Internet is the most profitable part of the bundle,” Murray says. “And they’re telling consumers that costs are going up. They can’t have it both ways.” But some companies say that’s not true. Cablevision, for one, denies price increases on its Internet service: “For all of our customers, high-speed Internet cost has declined, and speed has increased,” says a Cablevision spokesperson. 8. “We can’t handle customer service.”
Just don’t mention that to Ray Lucas. Lucas, who works for a computer-services company in Gaithersburg, Md., called customer service because his Comcast cable Internet access had mysteriously stopped working. During the month-long ordeal of getting his service restored, Lucas says he made at least 10 calls to customer service, often waiting nearly an hour on hold. And despite the fact that he was given a “referral number” designed to ensure that each new representative would have access to documentation of his previous calls, he says he still had to start at square one with each new customer-service rep. A spokesperson for Comcast says the company has “reduced the hold times since then.” Cable companies aspire to become one-stop communications providers, offering everything from cable TV to local phone service. But you might want to think twice about relying on an industry with such a dismal service record for all your telecom needs. “Consumers have much higher standards for phone service and Internet,” says Ken McEldowney, executive director of Consumer Action. “Unless it’s the Super Bowl, they’re willing to tolerate outages for cable, but not for their phone or Internet. This makes them feel cut off from the rest of the world.” 9. “We’re going to pummel you with advertising.”
Take real estate company Re/max International, for example. During a two-month campaign in 2007, the company used technology that tapped into data from cable set-top boxes to find out how many homeowners were watching home-improvement shows and to see what other cable channels those viewers were likely to watch. After finding that home-improvement enthusiasts were also inclined to watch auto-racing programming on Speed channel and the TNT series Without a Trace, the company promptly placed ads on those shows. Re/max International says the pilot program was conducted on a local scale but did not comment on whether it has plans to roll it out on a national level. “The digital revolution has a dark underbelly,” warns Gene Kimmelman, vice president for federal and legal affairs at Consumers Union. “A lot of these bits include personal information about viewing habits and interests that are easily transformed into marketing materials. It’s a whole new realm for blitzing the public with advertising.” It will also help cable companies sell advertising time. “That’s the biggest piece of revenue,” says Josh Bernoff, vice president and principal analyst at Forrester Research. 10. “We promise more high-definition programming than we deliver.”
Some cable companies offer basic digital packages, for about $15 to $20 per month, which provide only the major broadcast networks in HD. Premium movie channels in high-definition can run the bill up by as much as $100 a month. Still, selection is limited: “Stations were slow to roll out HD content, cable operators have resisted carrying content, and now there’s this complete mishmash of analog and HD,” says Cooper, of the Consumer Federation of America. “Not everything is available in HD, and the consumer can’t count on or find out what is or isn’t. It’s a complete mess.” SMARTMONEY ® Layout and look and feel of SmartMoney.com are trademarks of SmartMoney, a joint venture between Dow Jones & Company, Inc. and Hearst SM Partnership. © 1995 - 2009 SmartMoney. All Rights Reserved. Source: SmartMoney.com | 16 Apr 2009 | 4:00 am A Bright Spot in the Auto Industry
America’s carmakers are in such bad shape that a share of General Motors (GM) now costs about as much as a slice of pizza. Car-parts makers aren’t any better off, with several operating under bankruptcy protection. But plunging car sales, it turns out, aren’t such a drag for another side of the industry: parts retailers. Three to Watch
Advance Auto Parts (AAP)
AutoZone (AZO)
O’Reilly Automotive (ORLY) SMARTMONEY ® Layout and look and feel of SmartMoney.com are trademarks of SmartMoney, a joint venture between Dow Jones & Company, Inc. and Hearst SM Partnership. © 1995 - 2009 SmartMoney. All Rights Reserved. Source: SmartMoney.com | 16 Apr 2009 | 4:00 am Google Effect: Can the Tech Rally Last? (On the Street)True, the market has rallied 25% from its early March low -- but it's still off a good 7% on the year. Meanwhile, technology stocks have quietly posted some remarkable returns in 2009. Google (GOOG), which reports quarterly earnings after today’s market close, has jumped 20% year-to-date. Heavy-hitters such as Apple (AAPL), Research in Motion (RIMM) and Amazon.com (AMZN) have gained roughly 40% to 60%. Indeed, overall, the tech-heavy Nasdaq Composite index is up nearly 3% in 2009. And Morningstar says tech-oriented mutual funds have returned 12.2% in 2009 through Tuesday, the best of the 17 domestic equity fund categories it tracks. Yet when Intel (INTC), the world's largest semiconductor company, called a bottom to the PC market on Wednesday, the market shrugged. Is the great tech sector outperformance of 2009 over already? Probably not, tech analysts and investors say, but this might not best be the time to go chasing returns in the space. Given their cyclicality, seasonality and momentum, most folks would do well to sit tight on tech stocks -- for now. Partly that's because much of the recent outperformance was a result of over-punishment tied to all the financial firms that teetered and failed last fall. After all, banks are responsible for a disproportionate share of tech spending. As financial services firm wobbled or went out of business, the outlook for tech became bleak, says Kim Caughey, senior analyst with Fort Pitt Capital Group and the Fort Pitt Capital Total Return Fund (FPCGX). "But then the dust settled and investors realized that banks were still going to be around and the functions of banking are still around and need to be conducted on technology," Caughey says. Investors also gradually realized that even though companies are cutting back on tech spending, the rate wasn't going to zero. Add to that rebound effect the fact that tech stocks tend to move first in market recoveries. Historically, tech-sector leadership in nascent bull markets has been very rewarding for investors. Fidelity's Market Analysis, Research, and Education group looked at the eight bull markets between 1960 and 2008. On average, the tech sector produced a 12-month return of 45%, beating the broader market by 11 percentage points. As more folks begin to believe in a second-half rebound, it's only natural that tech should be in the vanguard. Having lots of cash and little debt helps, too, says George Kurian, an analyst with Tradition Capital Management, a Summit, N.J.-based investment manager. "We think tech is now outperforming partly because of the cyclical component and partly because of the relatively strong tech balance sheets," Kurian says. "The large-cap tech valuations also became very attractive by last November when tech leaders such as Apple sold for about two-times net balance sheet cash per share." And, at least this time around, tech could be a beneficiary of the Obama administration's stimulus plan, says Keith McCullough, chief executive and chief investment officer of Research Edge, a New Haven, Conn.-based research firm, who is long the SPDR Technology exchange-traded fund (XLK). Mergers and acquisitions activity should pick up given the cash-rich balance sheets, despite recent doubts about IBM (IBM) striking a deal for Sun Microsystems (JAVA), he says. However, caveats remain. For one thing, as Caughey points out, much of the tech sector's recent gains have been predicated on momentum. "I don't know if momentum investing is the best approach in a bear market," she says. As fast as the money comes in, it can blow out just as quickly. When BlackBerry maker Research in Motion posted better-than-expected results in early April, shares shot up 21% in a day. "That is crazy," Caughey says. Furthermore, just because they're early-cycle stocks doesn’t mean they're disconnected from the larger cycle. "It is unlikely that tech's destiny will be divorced from that of the economy," Kurian says. A bet on tech at this point takes faith that the recession will indeed end sooner rather than later. But perhaps the most common mistake new investors in tech make is that they don't understand its seasonality. Revenue is strongest in the fourth quarter. The first and second quarters are OK but successively weaker. The third-quarter, encompassing the summer months, is a dog. That's when tech stocks tend to get much cheaper, as momentum investors -- who are betting on revenue acceleration -- bail out. "We're going into a softer season for tech, so I don't know if I would deploy new money right now," says Caughey. "But I would certainly use this time to line up what I want to buy and set some prices for myself." SMARTMONEY ® Layout and look and feel of SmartMoney.com are trademarks of SmartMoney, a joint venture between Dow Jones & Company, Inc. and Hearst SM Partnership. © 1995 - 2009 SmartMoney. All Rights Reserved. Source: SmartMoney.com | 16 Apr 2009 | 4:00 am 7 Places Where College Grads Can Find Work (Deal of the Day)A new crop of job seekers is joining the ranks of the millions of unemployed: soon-to-be college grads. And, unfortunately many students in the class of 2009 are finding out that the job prospects aren't especially bright. According to a spring 2009 study by the National Association of Colleges and Employers (NACE), employers expect to hire 22% fewer new college graduates than last year. There are still plenty of jobs out there, but this year’s graduates may have do a lot more legwork (networking, for example) and they may have to opt for a job that they hadn't really considered before, says James Tarbox, director of career services at San Diego State University. In fact, the job search may have little or nothing to do with their major. But for many students, getting a paycheck may be more important -- especially once those student loans bills start arriving.
Here are seven industries that are actively hiring soon-to-be graduates. Federal Government Jobs: Become a Spy -- or a Paper Pusher
New government programs and an aging staff (a large number of whom are expected to retire in the next five years) makes the U.S. government the go-to place for jobs, says John Challenger, CEO of outplacement firm Challenger, Gray & Christmas. Federal government agencies are projected to hire 5.7% more college graduates this year filling a total of 1,024 positions, according to the NACE's survey. Among the agencies recruiting is the Central Intelligence Agency, which is looking for students with research and analytical skills for intelligence analyst positions and the National Security Agency, which is looking for students with information technology skills and quantitative skills to help prevent cyber threats, according to Skip Sturman, director of career services at Dartmouth College. For more on available government jobs, click here.
Accounting: Crunch Numbers for the Big Four
Crunching numbers all day may not seem like a college kid’s dream job, but the benefits of pursuing a job in accounting can really add up. After all, plenty of companies are trying to get their finances back on track and adjust to new administration’s tax changes, says Challenger. The Big Four accounting firms -- KPMG, PricewaterhouseCoopers, Ernst & Young and Deloitte -- have been recruiting graduates for entry-level positions, such as audit assistants and business analysts. Ernst & Young says it has already hired 2,600 graduating seniors, enough to meet its current needs. However, the other three firms are still hiring. PricewaterhouseCoopers says it's aiming to fill 3,000 positions.
Engineering: Become Part of the Green Movement -- or Work on Battleships
Guess what engineering students? All of those long nights studying (while your friends were off partying) are about to pay off. President Obama's stimulus package, as well as his push for alternative energy use, is going to require plenty of engineering muscle: from environmental engineers who can help develop solar panels, wind power systems and car batteries to civil engineers who can develop and work on infrastructure projects. Defense contractors are also hiring. BAE Systems, which builds military aircraft (among other things), is hiring electrical and mechanical engineers. And General Dynamics' (GD) NASSCO Shipyard is in the process of hiring seniors nationwide, some of which will help build Navy ships and commercial oil tankers.
Computer Science & Information Technology: Be the Brains Behind Corporate America
Technology is constantly evolving -- and therefore there's almost always demand for IT staffers, says Jack Kleinhenz, CEO of Cleveland-based economic-consulting firm Kleinhenz & Associates. For example, Reynolds and Reynolds, which manufactures software for car dealerships, has several openings throughout the country including software developers and desktop support positions. And Technisource, which provides IT services currently has openings for technical support and help desk agents.
Management Training: Learn the Industry from the Ground Up
That liberal arts degree isn't a total waste. Various companies are looking for business or liberal arts students to fill their management training programs. Rental car agency Enterprise Rent-A-Car says it plans to hire 8,000 college grads by July, many of whom will start out at a rental branch in a customer service position and, within a year, move up to assistant manager, according to spokesperson Lisa Martini. L’Oreal and Macy’s (M) are also seeking graduates to join their training programs, says Trudy Steinfeld, executive director New York University's Wasserman Center for Career Development.
Transportation and Delivery Services: Getting Things from Point A to B
In this field, where companies are looking for people to track inventory (among other tasks), holding a Bachelor's degree will give you a leading edge over the competition. UPS (UPS), for example, is hiring supervisors who oversee package handlers and clerks. And C.H. Robinson Worldwide, a global provider of transportation services, has entry-level positions that include call center dispatchers, managing shipper and carrier relationships, tracking load status and negotiating rates.
Nonprofits: Using Your Degree to Give Back
Cash-strapped consumers may be feeling less charitable these days, but nevertheless nonprofits are still hiring -- and they offer grads an opportunity to learn skills that will serve them well in future jobs. New York-based Citizen’s Advice Bureau, which provides food, healthcare and education to low-income families, has several positions that soon-to-be grads qualify for, including case managers that work within its homeless services division and job retention and community outreach specialists. Also, the Peace Corps is looking for recruiters. Click here for more nonprofit jobs.
SMARTMONEY ® Layout and look and feel of SmartMoney.com are trademarks of SmartMoney, a joint venture between Dow Jones & Company, Inc. and Hearst SM Partnership. © 1995 - 2009 SmartMoney. All Rights Reserved. Source: SmartMoney.com | 16 Apr 2009 | 4:00 am China economy grows at slowest pace in 15 yearsMauled in a storm of tumbling exports, soaring unemployment and the closure of tens of thousands of factories in the “workshop of the world”, China’s economy expanded at just 6.1 per cent in the first quarter of 2009 – the most anaemic phase of growth since quarterly records began over 15 years ago.Source: Latest Business News from Times Online | 16 Apr 2009 | 3:50 am DHS sec.: Request for Guard on border under study (AP)AP - On her first visit to Arizona as Homeland Security secretary, Janet Napolitano said Wednesday that requests to return the National Guard to duty along the U.S.-Mexico border are under review.Source: Yahoo! News: Stock Markets News | 16 Apr 2009 | 3:08 am DHS sec.: Request for Guard on border under study (AP)AP - On her first visit to Arizona as Homeland Security secretary, Janet Napolitano said Wednesday that requests to return the National Guard to duty along the U.S.-Mexico border are under review.Source: Yahoo! News: Business | 16 Apr 2009 | 3:08 am Closer food ties with China worth the risk, says KeyBEIJING- China's desire for New Zealand to help sort out its food safety crisis is a commercial risk well worth taking, Prime Minister John Key said today. Key met Premier Wen Jiabao overnight with both men toasting the health...Source: New Zealand Herald - Business | 16 Apr 2009 | 2:51 am New CEO for Warehouse StationeryGary Rohloff has resigned as chief executive of Warehouse Stationery and will be replaced by Mark Powell, the Warehouse Group said today. Rohloff joined the so-called Blue Sheds business in May 2006 and was previously managing...Source: New Zealand Herald - Business | 16 Apr 2009 | 2:15 am Hard times continue for manufacturersIt's still very tight in the manufacturing sector, according to figures out today from Business NZ. Manufacturing activity contracted again during March, according to the association's latest Performance of Manufacturing Index...Source: New Zealand Herald - Business | 16 Apr 2009 | 1:30 am NZ investors most pessimistic, conservative in Asia-PacificThere's been a slight improvement in the sentiments of New Zealand's investors, but they remain the most pessimistic in the Asia Pacific region, says investment firm ING. Private investors here are also the most conservative, with...Source: New Zealand Herald - Business | 16 Apr 2009 | 1:00 am Chinese economy grew by 6.1pc this year - govtBEIJING - China's economic growth slowed to 6.1 per cent in the first quarter from a year earlier, hit by the global slump, but the government said conditions were better than expected. "The overall national economy showed positive...Source: New Zealand Herald - Business | 16 Apr 2009 | 12:47 am US retreats from yuan manipulation claimsThe Obama administration rowed back from claims that China is manipulating its currency, declining to cite Beijing in a closely watched report to CongressSource: Financial Times - US homepage | 16 Apr 2009 | 12:30 am Top UK hedge fund boss picks return of bull marketThe modest recovery staged by world stock markets in recent weeks may mark the beginning of a new bull market for equities, one of the UK's best-known hedge fund managers said yesterday. Crispin Odey, the founder of Odey Asset...Source: New Zealand Herald - Business | 16 Apr 2009 | 12:30 am AIG near to key $2bn disposalAIG is in advanced talks to sell its US personal lines insurance business to Zurich Financial Services for about $2bn, a move that would mark the largest disposal by the US insurer since being rescued last year.Source: Financial Times - US homepage | 16 Apr 2009 | 12:13 am Yahoo ready to sell Hot JobsThree months into her stint at the head of Yahoo, Carol Bartz is hastening her drive to streamline operations by disposing of ancillary businesses.Source: Financial Times - US homepage | 15 Apr 2009 | 11:51 pm NYSE CEO says "real money" investors sat out March rally: report (Reuters)Reuters - "Real money" investors sat out the March stock market rally and are probably waiting for a second one around June or July, the head of the world's biggest stock exchange, NYSE Euronext , said in a newspaper interview.Source: Yahoo! News: Stock Markets News | 15 Apr 2009 | 11:32 pm Network Rail defend controversial bonus schemeNetwork Rail has mounted a campaign to defend its controversial bonus scheme, under which the directors are due to collect more than £1 million funded largely by the taxpayer.Source: Latest Business News from Times Online | 15 Apr 2009 | 11:29 pm Obama vows to reform "monstrous" tax code (Reuters)
Source: Yahoo! News: Business | 15 Apr 2009 | 11:23 pm United Airlines to charge obese people doubleRead full story for latest details.Source: Business and financial news - CNNMoney.com | 15 Apr 2009 | 11:02 pm Greg Dyke and Stuart Hampson to help diagnose what ails NHSThe NHS has recruited two captains of industry, a former director-general of the BBC, a vice-admiral and an author and psychologist in an effort to improve leadership in the health service, The Times has learnt.Source: Latest Business News from Times Online | 15 Apr 2009 | 11:00 pm China feared to be delaying £1bn Japanese bid for Lucite InternationalFears are growing in Tokyo that the £1 billion takeover of a leading British textiles company by Mitsubishi Rayon, the Japanese chemicals group, may be delayed indefinitely by the Chinese competition regulator.Source: Latest Business News from Times Online | 15 Apr 2009 | 11:00 pm Deflation sparks new fears for American economyFears that recession will tip the US economy into a destructive bout of Japanese-style deflation grew sharply today after America's headline inflation sank into negative territory for the first time in half a century.Source: Latest Business News from Times Online | 15 Apr 2009 | 11:00 pm Rio Tinto 'sale of family silver' ignores other optionsPaul Skinner, the chairman of Rio Tinto, spent a large part of the mining giant's annual meeting yesterday defending its decision to raise $19.5 billion from China.$Source: Latest Business News from Times Online | 15 Apr 2009 | 11:00 pm Write-Offs: 04.15.09$$$ Allen Stanford's face for sale [Reuters] $$$ Layoffs At Wells Fargo [ATL] $$$ Charlie Gasparino: The Era Of High Profits Is Over [TDB]
Source: Dealbreaker | 15 Apr 2009 | 10:57 pm Official seeks return of Stanford paid commissionsA court-appointed official is calling for 66 advisers to return commissions and other compensation that was paid by Sir Allen Stanford's company, which is now at the centre of an alleged fraudSource: Financial Times - US homepage | 15 Apr 2009 | 10:41 pm NYSE chief cautious over March rallyThe March stock market rally that fuelled hopes of a broader economic recovery was deceptive because 'real money' investors remained on the sidelines, according to the chief executive of NYSE EuronextSource: Financial Times - US homepage | 15 Apr 2009 | 10:30 pm How the Dow Jones industrials fared Wednesday (AP)
Source: Yahoo! News: Stock Markets News | 15 Apr 2009 | 10:26 pm Treasury tallies $10 billion for mortgage mods (Reuters)Reuters - Six large U.S. banks could pocket nearly $10 billion in federal subsidies if they modify troubled home loans and are able to save homeowners from foreclosure, the Treasury Department said on Wednesday.Source: Yahoo! News: Business | 15 Apr 2009 | 10:02 pm My Super Sweet Stress Test
"The Secretary and the Department of the Treasury have long recognized that transparency was important for taxpayers, important for the banks and important for the overall stability of the financial system," said White House spokesman Robert Gibbs. "And I think that's what you'll see." Then the make and model is discussed. Bickering ensues. It's not clear the desired car (stress test results) will be forthcoming. Gibbs declined to comment on what the results would be, however he said the tests would be completed - in a "systematic and coordinated" way -- around the beginning of May. Obfuscation heightens the drama (better not disclose the results early, before the party, you know). Government officials are pressing banks not to disclose information about the stress tests in the next few weeks before they are complete. There is a worry that details will spill out during bank earnings season, which started this week. Treasury officials expect earnings season to be completed before the stress tests are finished. Bratty behavior suggests the stress tests might not turn out as desired. However, it's unclear whether banks will have the option of ignoring the results. Regulatory observers argue that there are a wide variety of ways bank regulators could pressure banks to take government capital or do other things, even if they are opposed to the idea. Now, apparently, some hint about the car might be released early. Or not. Or maybe. Roll out the car, start the credits and put an end to the damn show already. We're already sick of listening to this brat and White House: U.S. to release some stress test details [MarketWatch]
Source: Dealbreaker | 15 Apr 2009 | 9:57 pm Hear: Godzillions On ParadeOn today's Planet Money: -- China's foreign reserves dropped by $32.6 billion in January. The New York Times suggests that because America's biggest creditor was selling off its bonds. Economist Brad Setser sees another explanation (and adds more). -- Millions, billions, trillions, godzillions. There's a reason you can't keep it all straight. With help from Wisconsin school teacher Bob Peterson, the Planet Money Players calculate their way, in dollars per second, to the AIG bonuses. Bonus: Find your NPR name, plus a listener calculates $1.7 trillion. Download the podcast; or subscribe. Intro music: Kool G Rap and DJ Polo's "Road to the Riches." Find us: Twitter/ Facebook/ Flickr Lianablog posts the secret formula behind NPR names. And listener Will Cramerotti writes: By most of the estimates I've seen, the projected US deficit for 2009 will be somewhere close to 1.7 trillion dollars, which probably does not yet include the off-book accounting for Iraq and Afghanistan (perhaps one of you has the answer?). I have been trying to wrap my head around exactly how much money that is. It seems that after about a hundred million or so, the zeros just sort of blend together and I stop being able to perceive the physical reality of the sum. So I did a little 3:00am math... A single US treasury note measures 6.6294cm x 15.5956cm x 124 micrometers. I'm doing this in metric, you'll understand why in a bit. A stack of $10,000 in $100 notes is 1.24cm in height. A case of $1M is 5x2x10 stacks, measuring 33.15cm x 31.19cm x 12.4cm. It weights approximately 10kg (22.04 lbs). A room of one billion dollars is filled with 10x5x20 cases, and measures 3.31m (10'11") by 1.56m (5'1") by 2.48m (8'2") $1.7 trillion requires a different scale... An American football field is 160ft wide (48.77m) by 360ft (109.29m). If you were to cover the entire field with stacks of $100 bills, it would fit 700 stacks wide by 735 stacks long with a little bit of white line around the edges. If you were to fill that field with $1.7 trillion in freshly minted stacks of $100 bills, they would rise not less than 409.72cm (13'5") from the ground. The displacement of $1.7 trillion is 21,794.5 meters cubed, enough to fill 8.72 olympic swimming pools and would weigh approximately 17 million kilograms, or 37.48 million lbs. » E-Mail This » Add to Del.icio.us Source: NPR Blogs: Planet Money | 15 Apr 2009 | 9:47 pm Economist Wants to Call YouWe're looking to revive the Economist House Calls segment on our podcast. We haven't done one for a while, but we loved hearing from you. The House Calls are where we call you up and you tell us (and an economist) where you are in life today. Maybe you lost a job, took a job, are moving, are retiring, can't retire, vacationing, can't vacation, whatever is true for you right now. Then the economist places your personal story in a global economic context. This isn't financial advice we're talking about, but more like a way to connect the personal with the macroeconomic. We'd love to hear your rough outline of your economic situation -- your job, your concerns. Something brief. Hit us up by e-mail, in the comments or on Twitter. » E-Mail This » Add to Del.icio.us Source: NPR Blogs: Planet Money | 15 Apr 2009 | 9:15 pm The Obama PortfolioThe Obama Portfolio (Since Inception): +20.72% Earlier: The Obama Portfolio
Source: Dealbreaker | 15 Apr 2009 | 9:08 pm China's Smack Addiction Continues UnabatedNo wonder they want to invent a reserve currency that has some merits over the United States Dollar. It would be a form of methadone treatment: China, the U.S. government's biggest creditor, increased its purchases of American securities in February just weeks before the country's officials questioned whether such investments were safe. We have long considered hollow the cries that the Chinese might abruptly cut off their large-scale purchasing of Treasuries. To do so would be cutting their own throat as their own prosperity is tied quite directly to their ability to find and fund customers for their chief exports (cheap labor and manufacturing). It is worth pointing out that Chinese leaders are not afraid of being deposed. They are afraid of being shot if they break the grand bargain they struck with their subjects: keep us in power, we'll give you a taste of capitalism and the trappings of upward mobility, but we will manage that social stuff and political voice for you. China Bought More U.S. Securities Even as Its Concerns Grew [Bloomberg]
Source: Dealbreaker | 15 Apr 2009 | 8:58 pm The Price Of BreadInflation is falling at the fastest pace in more than half a century, the Labor Department reported today. The Consumer Price Index has fallen .4 percent over the past 12 months. If you're worried about deflation, consider that core inflation -- which excludes food and energy -- chimes in at 1.8 percent over that same period, .2 in the last month. Which is better than zero. Led by a steep decline in dairy, food prices fell .1 percent last month. This has been a lousy time to be selling much of what's grown on farms. Alan Cordova has tracked the drop in agricultural prices, with a particular eye to the effects on our daily bread. After the jump, his own "bread/wheat multiple" and what the heck it means. Cordova writes: I looked at the relationship between bread and wheat prices by creating a ratio of the two, dividing the per-pound price of whole wheat bread and white bread by the per-pound price of wheat. The result is the number of times more expensive a pound of bread is than a pound of wheat. At the same time that the price of wheat spiked, the multiple dropped. This means the cost of wheat became a much larger component of the price of bread: in the case of whole wheat, it went from 1/22 (4.5 percent) to 1/11 (9 percent). In a commodity sector, such spikes can have huge consequences: sometimes the jump can wipe out a company's entire profit margin. » E-Mail This » Add to Del.icio.us
Source: NPR Blogs: Planet Money | 15 Apr 2009 | 8:49 pm Client Number Nine Ruins Everything
*What's it like up in there?
Source: Dealbreaker | 15 Apr 2009 | 8:25 pm Tea And AntipathyAs the last of the paper filers crunches numbers and races to the Post Office, Tea Party protests are taking place around the nation. President Obama promised today to rewrite the "monstrous" tax code (may I suggest starting with the child-tax credit part?), but it's more the various bailouts that have the Tea Partiers in the streets. For more on those, try Pro Publica's new bailout page. It's so clickable. » E-Mail This » Add to Del.icio.us Source: NPR Blogs: Planet Money | 15 Apr 2009 | 8:05 pm Thoma Says Politics Limiting U.S. Efforts to Aid BanksSource: Bloomberg - All Podcasts | 15 Apr 2009 | 8:03 pm Steuerle Says Tax Policy Is Heated Debate in WashingtonSource: Bloomberg - All Podcasts | 15 Apr 2009 | 8:00 pm Using TARP To Pay FDIC FeesListener Dan Ross has an interesting point to add to our story last week about the FDIC raising fees on banks: I am on the board of a very small bank. Our FDIC charges will go up so high that we may have to eliminate one employee in order to pay the assessment, while the banks that caused the bulk of the problem will pay their additional assessment with TARP funds. Perhaps this additional information would have added to your report. It is true that the Treasury money doesn't come with any restrictions that prevent banks from spending TARP money on FDIC fees. It's not a matter of the size of the bank -- if the biggies that got TARP funds can use them for the fees, then so can the small ones that got help, too. » E-Mail This » Add to Del.icio.us Source: NPR Blogs: Planet Money | 15 Apr 2009 | 7:51 pm Oh No You Di'int: Church Leaders Sully Good Name Of Hedge Fund IndustrySeven "leading members" of a Queens, NY church have been charged by the SEC for defrauding more than 80 investors, most of whom were elderly parishioners, out of 12 or so million dollars. Isaac Ovid, Aaron Riddle, J. Jonathan Coleman, Stephen Cina, Cory Martin, Timothy Smith and Robert Riddle are all accused of "promising returns as high as 75 percent" in two hedge funds (the Logos Fund and the Donum Fund, which have separately charged for their role in the scam). Apparently little if any money was actually invested, but instead used by the group to purchase items like "expensive watches" and Bentleys, and to fund a bunch of vacays. SEC Charge N.Y. Holy Men With Hedge Fund Fraud [FINalternatives]
Source: Dealbreaker | 15 Apr 2009 | 7:44 pm Tal Says U.S. Jobless Rate Underestimates Real DamageSource: Bloomberg - All Podcasts | 15 Apr 2009 | 7:26 pm Underlings Strike Back Over "Unless You Are An Orthodox Something" EmailSo, we don't have the same rabid (scary, bizarre, let's mention it 873 times per show) adoration for Twitter as Power Lunch, but its utility as a tool for good is evident. Remember that somewhat prickish (but full of heart!/not really *that* bad) email from a Thomas Weisel managing director we posted on Monday? Wherein the guy bitched out "everyone below the MD level" for observing the bank holiday, demanded they get their asses to the office, and got in a dig at Wells Fargo while he was at it? Apparently it ruffled the feathers of some recipients. So what'd they do about it? Fake Twitter account, of course!
Source: Dealbreaker | 15 Apr 2009 | 7:00 pm FDIC Basically Yahoo! Finance Message Board At This PointAs online media "professionals" we're well aware of the highs and lows associated with asking relative strangers to offer their opinion on something without evaluating them in any sort of way first (and even then, you're still not safe). As a preemptive measure, in anticipation of the pot/kettle/black cries, we'll be the first to admit that most of the time, 'round these parts, it's a relative free for all of batshit insanity and inanity. But we're a Wall Street tabloid, not the FDIC. Anyway! Here's the latest in our ongoing series of the best (worst) public comments on PPIP.
llp372 [PDF] Earlier: The (Joy/Horror) Of FDIC Public Comment Periods
Source: Dealbreaker | 15 Apr 2009 | 6:29 pm Goolsbee Says Bank Stress Tests Are About `Clarity'Source: Bloomberg - All Podcasts | 15 Apr 2009 | 6:15 pm Rough Sailing In Florida
Laura C. writes: My father lives in Florida and has worked in boat construction since the early 80's. In January, all new construction on personal watercrafts stopped. The only work to be had was finishing up pre-existing orders, and once that was done, the furlough started. He's been on furlough for two months and word has started to spread one of the big manufacturers is going to close their doors. This is also bad news because Florida has been hit hard by the housing crisis. My dad has been putting in job applications everywhere he can, but no one has any type of construction jobs available. I'll be interested to see how this plays out over the next few months. With the RV industry being hit so hard, it is not surprising to me to see the boating industry being next. I wrote to Sarah to ask if her father would be willing to share his story on Planet Money, but unfortunately he declined. She did share this interesting tidbit though -- one of the larger boat manufacturers, Chris Craft, has started a blog. Up until today, the blog had one entry and it was about the economy and the boat industry. Yes, the economy has its challenges. Many manufacturers and dealers will not make it through this downturn, but Chris-Craft made adjustments more than a year ago to reflect market demand. We slowed production, minimized costs, reduced headcount, and limited our production to retail sold units only. We've also positioned ourselves to grow when the economy rebounds. We continue to work hard on several exciting new products that will be in the market later this year and early next. » E-Mail This » Add to Del.icio.us Source: NPR Blogs: Planet Money | 15 Apr 2009 | 5:48 pm India's Dalits seek economic equalitySome Indians are hoping a politician named Mayawati will be elected their prime minister. As a Dalit -- the lowest of Indian castes -- her rise may give others hope. But most people of that social level are still struggling. Rico Gagliano reports.Source: Marketplace | 15 Apr 2009 | 5:15 pm Bank policy of necessity or calculation?With Goldman Sachs joining the ranks of banks that want to return their TARP funds, some are wondering if the Obama administration's banking policy is working. Commentator David Frum says it depends on which policy you're talking about.Source: Marketplace | 15 Apr 2009 | 5:15 pm The unfulfilled promise of YoungstownSix months ago people in Youngstown, Ohio, were abuzz about the Chevy Cruze being built in a nearby plant. Marketplace's Amy Scott checks in to see how residents are coping now that GM is near bankruptcy and the unemployment rate is nearing 14%.Source: Marketplace | 15 Apr 2009 | 5:14 pm Treasury's spent $124 billion on . . .The Federal Reserve has been buying mortgage-backed securities, driving mortgage rates to historic lows. But the U.S. Treasury has been doing the same thing, and nobody's seemed to notice. Steve Henn reports.Source: Marketplace | 15 Apr 2009 | 5:14 pm United to charge more for wide bodiesObese passengers who can't fit into their assigned seats on United Airlines flights will now be required to buy a second ticket -- even if there's an open seat. Jeremy Hobson reports.Source: Marketplace | 15 Apr 2009 | 5:14 pm Higher hotel taxes may come with alohaFacing a $2 billion shortfall in revenue, Hawaii is mulling an increased tax on hotel bills. But that might not be a good thing for the state's tourism business. Jennifer Collins reports.Source: Marketplace | 15 Apr 2009 | 5:14 pm Benefits seen in stress test findingsFederal regulators have been reticent to release results from stress tests given to big banks, but now they plan to release certain details. What's the benefit of making those details public? Ashley Milne-Tyte reports.Source: Marketplace | 15 Apr 2009 | 5:14 pm Big Numbers That Rhyme
Doing math for the podcast on my tray-table Chana Joffe-Walt The Toxic Asset Relief Program was $700 billion. The AIG execs are grabbing $165 million in bonuses. The Fed plans to inject $1.2 trillion into the financial system. Come on, be honest now, do you really know what these numbers mean? Nothing in our regular lives is measured in millions or billions, and certainly not in trillions. These numbers are so huge and they all rhyme. Today on the podcast we're going to follow the advice of a neuroscientist friend who says we need to measure impossibly large numbers against something we know. The Internet has already figured that one out. Perhaps you'd like to think about a trillion in terms of tomatoes? Or grocery bags and palettes, or doormats, and pennies. » E-Mail This » Add to Del.icio.us Source: NPR Blogs: Planet Money | 15 Apr 2009 | 4:20 pm Levitt Sees `Different Kind' of Investment Banks EmergingSource: Bloomberg - All Podcasts | 15 Apr 2009 | 3:51 pm Goldman's Tilton Sees U.S. Economy Growing in 2010Source: Bloomberg - All Podcasts | 15 Apr 2009 | 3:42 pm Chart War: China's U.S. Holdings
Source: Brown Brothers Harriman The U.S. Treasury today posted its latest figures on China's holdings of American government debt. Those holdings went up again in February, by not quite $5 billion. And as you can see from the chart after the jump, China's overall foreign reserves -- meaning the assets it holds from other countries, whether in the form of cash or bonds -- have stopped growing nearly as fast as it once did. The New York Times' Keith Bradsher reported this week that in the first quarter of 2009, the reserves rose by $7.7 billion, compared with a "record increase of $153.9 billion in the same quarter last year." Here's the rub: The Times also reported that the Chinese government "sold bonds heavily in January and February before resuming purchases in March." The idea that China would suddenly sell off its U.S. bonds has been a nightmare scenario, one with catastrophic implications for both nations. The currency folks at Brown Brothers Harriman have fired off a couple of notes this week refuting that Times article. The second note, from Win Thin, included the chart above, which shows that China's holdings of U.S. debt have increased. Thin says that China's holdings of agency bonds -- debt from Fannie Mae and Freddie Mac -- have been falling for eight straight months. On this point, he and Bradsher agree. But Thin and company go further, arguing that what looked like sales in January and February could be explained by mere fluctuations in the value of currency -- when the exchange rate shifted, so did the number of dollars China reported having. Thin writes: "We aren't surprised by the ongoing drop in US agency holdings by foreigners . . . and that trend is likely to continue in the coming months. However, we are not seeing any wholesale dumping of dollar assets by China, and are unlikely to see that in the coming months. But that won't stop the media from periodically using it as a scare headline, even though data simply does not support the thesis." Bradsher, for his part, says he doubts the fluctuation in currency could alone account for the steeply falling growth in China's reserves. He says he's not so sure about that word "heavily" -- as in, China "sold bonds heavily" -- and that for him the central question is whether China remains as large a financer of U.S. debt as it once was. Whew. I'm aiming for another take on this for the podcast today. » E-Mail This » Add to Del.icio.us Source: NPR Blogs: Planet Money | 15 Apr 2009 | 3:37 pm Saut Sees `Buying Stampede' in U.S. Stock MarketSource: Bloomberg - All Podcasts | 15 Apr 2009 | 3:27 pm Fitzpatrick Sees Oil at $60 a Barrel by End of YearSource: Bloomberg - All Podcasts | 15 Apr 2009 | 3:25 pm Remember The Stress Tests?With the stress tests of the nation's banks nearly complete, the Obama administration is struggling with just how much information it should disclose. All banks are expected to pass the test, but revealing too much or too little about specific institutions' balance sheets could scare off investors. The Wall Street Journal reports: It isn't clear precisely what information the government might disclose. It remains possible the data won't be specific to individual banks. But some within the administration believe a certain amount of information needs to be released in order to provide assurance about the validity and rigor of the assessments. In addition, these people also are concerned that the tests won't be able to fulfill their basic function of shoring up confidence unless investors are able to see data for themselves. Several small banks have already moved to restore investor confidence by paying back their bailout funds and on Tuesday, Goldman Sachs said it hopes to do the same. The Times reports that the announcement from Goldman Sachs may have forced the government to reveal more than it had intended to: Goldman's action has put pressure on other financial institutions to do the same or risk being judged in far worse shape by investors. The administration feared that details on healthier banks would inevitably leak out, leaving weaker banks exposed to speculation and damaging market rumors, possibly making any further bailouts more costly. The stress tests were designed to determine how much additional capital banks would need to survive a more severe and prolonged downturn. Banks that require more capital will have six months to raise the funds themselves or else receive government funding. » E-Mail This » Add to Del.icio.us
Source: NPR Blogs: Planet Money | 15 Apr 2009 | 3:21 pm Maisonneuve Is More `Cautious' on European EquitiesSource: Bloomberg - All Podcasts | 15 Apr 2009 | 1:25 pm
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For years the cable business had acted like a typical monopoly, providing lessthan- ideal customer service, skyrocketing prices, and little choice of service. Then along came the Telecommunications Act of 1996, which opened the door for competition and promised weary cable customers relief at last. Too bad that relief never came. Nearly four years after the bill was passed, a mere 286 of the 30,000 U.S. cable markets were being served by more than one provider, according to the Federal Communications Commission. And in the FCC’s most recent report, in 2005, not much had changed; only 294 out of about 33,000 U.S. cable markets were served by more than one provider—meaning that for all the effort to create change, few customers today are being served by the smaller providers that generally offer better deals.
Perhaps you’ve accepted the fact that cable prices move in only one direction—up. But what’s really shocking is how quickly they rise. The average price increase for cable service in 2005, the most recent year for which data is available, was more than 5 percent, and from 1995 to 2005, cable rates nearly doubled, according to the FCC.
Even as prices increase, it seems that the programming choices cable companies offer are somehow more limited. With the most popular channels intentionally divided into different tiers, consumers often must buy several packages of programming to get all the channels they want, says Mark Cooper, director of research for the Consumer Federation of America. “They’re not giving consumers the full à la carte choice,” Cooper says.
Increasingly, consumers are getting bundled telephone, cable television, and high-speed Internet service from one provider for an average price of $100 per month. Sounds like a great deal, especially when it can shave hundreds off the amount of money spent on telecom and TV per year. But it doesn’t make sense for everyone, says John Breyault, research director for the nonprofit Telecommunications Research and Action Center in Washington, D.C. “Most bundled packages are based on an all-you-can-eat model,” he says, adding that the majority include unlimited local and long-distance calling, for example, which some customers won’t use. “Many consumers will find that they’re able to save money by buying services individually that more closely meet their needs.”
In October 2007, an Associated Press test revealed that Comcast had deliberately blocked Internet users from sharing files online. In the AP test, computers that were connected to the Internet via Comcast cable modems would not let users send the King James Bible from one location in the U.S. to another using the file-sharing program BitTorrent; however, computers with other connections, including Time Warner Cable and Cablevision, had no problem sharing and uploading the text. (A Comcast spokesperson says that the company doesn’t “block access to any websites or online applications, including peer-topeer services like BitTorrent.”)
Cable companies have invested over $110 billion in infrastructure, according to a spokesperson for the National Cable and Telecommunications Association. But in a move to install fiber-optic cable throughout cities, they’re littering neighborhoods with ugly new power lines. Take San Leandro, Calif. Since the winter of 2007, Comcast and AT&T have been competitively racing to install fiberoptic lines there. The results: Black cables roughly 2 inches thick are hanging below utility and phone lines, which are much thinner and less obtrusive by design. In addition, the companies have tacked big black canisters onto telephone poles. “You know, when you walk through your home and find a spiderweb,” says San Leandro councilwoman Joyce Starosciak, “that’s what the cabling looks like—thick black spiderwebs around your neighborhood.”
Every year when cable prices go up, cable providers rush to justify their rate hikes. Programming costs have increased, they tell us. They’re investing heavily in infrastructure to upgrade cable lines. And when all else fails, there’s always inflation to blame. But these excuses are often false or vastly exaggerated, according to Murray. “If increased programming costs was the whole story, then cable companies should let TV viewers who want new programming buy it and pay for it, rather than having the programming fall on the backs of all consumers,” he says.
After the FCC insisted in the mid-1990s that the cable industry do something about its dismal customer service, companies began promising such things as on-time installation and service calls. The move was so revolutionary that the National Cable Television Association, the industry’s trade group, trumpeted it as “one of the most comprehensive customer-service programs offered by any industry.”
For years cable companies have been boasting about all their cool hightech features: More high-definition programming, extensive On-Demand offerings, cable DVR that provides easy recording and even classified ads available on-screen. But beware. As you give your cable company more and more information about your viewing and shopping habits, it’s going to become more and more likely to make you the target of advertisers.
The availability of high-definition television has been steadily growing: Today about 90 percent of U.S. homes can access HDTV via cable. Unfortunately, HDTV programming isn’t keeping up. According to a recent Consumer Reports survey, 70 percent of cable and satellite subscribers said the availability of high-definition content was average or poor. Bottom line: Viewers aren’t getting enough channels in high definition.
