Category: early

Morgan Stanley’s John Mack Steps Down

Posted by: Mark Scott on September 11

Morgan Stanley Chief Executive John Mack will step down in a move that ends a four-year tenure marked by controversy over his strategic decisions and a near-death experience during…

Obama Urges Congress to Act on Health Care Reform

Posted by: Andy Reinhardt on September 10

Declaring that “the time for bickering is over,” U.S. President Barack Obama delivered a highly-anticipated address to the U.S. Congress on Sept. 9 laying out his proposals to reform…

Russia Overtakes Saudi Arabia in Oil Exports

Posted by: Mark Scott on September 09

Russia has surpassed Saudi Arabia in oil exports for the first time since the end of the Soviet Union as the country takes advantage of OPEC production cuts to…

Cadbury Rejects $16.7 Billion Kraft Takeover Bid

Posted by: Andy Reinhardt on September 08

Kraft Foods will likely have to up the ante if it hopes to acquire British confectionery and chocolate maker Cadbury, producer of the iconic Dairy Milk bar and Trident…

Spooked By Stock Market Slump, China Raises Limits For Foreign Funds

Posted by: Mehul Srivastava on September 04

Trying to stop the Chinese stock markets from deepening a slump, regulators will allow off-shore funds to hold as much as $1 billion in Chinese equities, and allow the…

Obama’s big gamble on healthcare debate

Posted by: Ian Rowley on September 03

President Obama’s announcement that he will take his case for revamping healthcare before a joint session of Congress next week reflects a decision to go “all in” politically, laying…

After the Clunker Party, an Auto Sales Hangover

Posted by: Dexter Roberts on September 02

Car companies said on Sept. 1 that their August sales soared to an annualized selling rate of about 14 million, thanks to the government’s clunkers program, which gave $3,500…

China’s Manufacturing Expands at Fast Pace

Posted by: Moon Ihlwan on September 01

China’s manufacturing expanded at the fastest pace in 16 months in August, driven by record lending in the first half of the year, according to surveys. Gains in output,…

Japan’s Opposition Wins in a Landslide

Posted by: Bruce Einhorn on August 31

Japanese voters tossed out the Liberal Democratic Party government, breaking 54 years of almost unbroken one-party rule. In yesterday’s elections, the opposition Democratic Party of Japan won 308 of…

Regulators Take Aim at Phone Operators

Posted by: Mark Scott on August 28

U.S. regulators have launched an investigation into the country’s mobile phone industry surrounding competition between the big four wireless network operators: AT&T, Verizon Wireless, Sprint Nextel, and Deutsche Telekom’s…

Apple Prepares iPhone for China

Posted by: Mark Scott on August 27

Apple is close to start selling iPhones in China — one of the last major phone markets the company has yet to tap. If Apple can break into the…

Obama Raises Deficit Projections

Posted by: Mark Scott on August 26

U.S. President Barack Obama now expects the country’s projected budget deficit to be $2 trillion higher over the next 10 years than had previously been predicted. The announcement comes…

Bernanke Gets to Finish the Job

Posted by: Bruce Einhorn on August 25

Fed Chairman Ben Bernanke will get the nod for another four-year term from President Barack Obama this morning, ending weeks of speculation but likely surprising few economists or policymakers….

U.S. Economy Stops Shrinking, Heads for Expansion, Index Shows

Posted by: Ian Rowley on August 21

In another sign the worst of the U.S. recession is over, a gauge of current conditions showed the economy steadied last month. The Conference Board’s coincident index was unchanged…

Swiss Government Sells UBS Stake

Posted by: Mehul Srivastava on August 20

After a U.S. brokered deal that will result in UBS turning over as many 4,450 names of American holders of Swiss bank accounts, the Swiss government will sell its…

China Stocks Fall 20% from Year’s High

Posted by: Moon Ihlwan on August 19

China’s stocks fell, driving the benchmark index into a so-called bear market — or more than 20% below this year’s high — on concern the nation’s economic recovery will…

Japan’s Recession is Over

Posted by: Bruce Einhorn on August 17

Japan’s economy is growing again. Between April and June, GDP edged up 0.9% compared to a year earlier. At an annualized rate, that’s equivalent to a 3.7% clip and…

How to Get Consumers Spending Again

Posted by: Andy Reinhardt on August 14

After two months of meager gains in U.S. consumer spending, July retail sales fell back by 0.1%—and would have been down 0.6% if not for the stimulus effect of…

France and Germany Escape Recession

Posted by: Andy Reinhardt on August 13

The French and German economies turned in unexpected growth during the second quarter of this year, signaling that Europe’s two largest economies have put the recession behind them and…

Fed to Give Cautiously-Optimistic View of Economy

Posted by: Mark Scott on August 12

The U.S. Federal Reserve is expected to say the recession is slowing, but that the recovery will long slog in an attempt to dampen expectations of interest rate rises….

No Deal Yet Between BofA and the SEC

Posted by: Andy Reinhardt on August 11

A federal judge refused to approve a proposed settlement between Bank of America and the U.S. Securities and Exchange Commission over the payment of bonuses to Merrill Lynch employees,…

Fed Needs to Make Tough Decisions

Posted by: Mark Scott on August 10

The U.S. Federal Reserve has tough decisions to make when it meets later this week. Central bankers must curb rising expectations that the Fed is ready to starting raising…

U.S. Job Losses Continue, but at Slower Rate

Posted by: Mark Scott on August 07

Today’s U.S. jobs report will offer fresh evidence that the domestic economy is gradually moving towards recovery. The nonfarm payrolls report — one of the best indicators of economic…

Senate to OK Extension of Cash for Clunkers

Posted by: Bruce Einhorn on August 06

Senators will vote today to inject another $2 billion into the “Cash for Clunkers” program after Majority Leader Harry Reid announced a deal last night to save the rebate…

Lloyds Posts $5.2 Billion Loss from Bad Loans

Posted by: Moon Ihlwan on August 05

British lender Lloyds Banking Group posted a first-half loss of $5.2 billion because of mounting bad debts at HBOS, which it took over in January. The group set aside…

Apple, Google: Tech’s Newest Rivalry?

Posted by: Kenji Hall on August 04

Over the past three decades, a few titanic rivalries have defined the technology industry’s megatrends, ultimately determining which products eventually end up in consumers’ and companies’ hands. Now, adding…

Cash For Clunkers Helps Ford To July Gain

Posted by: Ian Rowley on August 03

Ford Motor Co. on Monday will post a single-digit sales gain over the same month a year ago, the first monthly sales gain the automaker has posted since 2007….

“Cash for Clunkers” Scheme Maxed Out

Posted by: Mark Scott on July 31

The U.S. government’s $1 billion “cash for clunkers” car sales incentive program has unexpectedly reached its funding limit after an avalanche of business exhausted the funds, according to the…

Obama: I’m Not Antibusiness

Posted by: Andy Reinhardt on July 30

In a July 27 interview with BusinessWeek in the Oval Office, President Barack Obama reflected on his first six months in office and discussed his evolving relationship with business…

Global Automakers Suffer, but Recovery in Sight

Posted by: Mark Scott on July 29

Results from the world’s leading automakers on July 29 painted a depressing short-term picture for the struggling industry. But signs that a recovery is near are bubbling to the…

U.S. Moots New Transparency Rules for Short-Sellers

Posted by: Andy Reinhardt on July 28

The Securities and Exchange Commission announced a pair of measures on July 27 intended to quell concerns that speculators are driving down share prices through improper short selling. The…

Bernanke: U.S. Unemployment Will Remain High

Posted by: Mark Scott on July 27

The U.S. jobless rate will stay high even when the country’s economy recovers from recession some time in the next few months, according to Federal Reserve Chairman Ben Bernanke….

Microsoft Quarterly Net Income Plunges 29%

Posted by: Frederik Balfour on July 24

After a string of sunny earnings from Apple, Intel, and other tech companies, Microsoft’s dreary fiscal fourth-quarter results reported July 23 threaten the rising sense of optimism that a…

Wiedeking Leaves Porsche to Pave Way for Volkswagen

Posted by: Ian Rowley on July 23

Porsche Chief Executive Officer Wendelin Wiedeking will step down after 16 years, paving the way for a merger between the 911 sports-car maker and Volkswagen. Wiedeking, 56, as well…

Apple Defies Recession

Posted by: Moon Ihlwan on July 22

Apple not only beat analysts’ consensus sales and profit estimates for its fiscal third quarter ended June 27, but it reported its second-best results ever on July 21 for…

Apple: Augur of Recovery?

Posted by: Dexter Roberts on July 21

Apple’s (AAPL) fiscal third-quarter earnings report, due after markets close on July 22, will likely surpass Wall Street analysts’ expectations, advancing the argument made by chipmaker Intel (INTC) this…

CIT Negotiates Lifeline, But Lender Still Remains Unstable

Posted by: Mehul Srivastava on July 20

After a frantic weekend of negotiations, CIT, the lender to over a million small and medium businesses, won itself more breathing time with an emergency $3 billion loan. If…

IBM’s Blowout Quarter Lifts Tech Sentiment

Posted by: Andy Reinhardt on July 17

Adding to the momentum provided July 14 by better than expected revenues and earnings from bellwether chipmaker Intel, computing and services giant IBM reported on July 16 a 12%…

Deals Loom in Tumultuous German Auto Industry

Posted by: Andy Reinhardt on July 16

Even as news reports suggest that Belgian holding company RHJ International is closing in on a deal to acquire GM Europe’s Opel and Vauxhall units, the German government—which earlier…

China’s Foreign Reserves Exceed $2 Trillion

Posted by: Mark Scott on July 15

China’s foreign exchange reserves now stand at over $2 trillion due to a sharp accumulation of funds in the second quarter. The People’s Bank of China, the country’s central…

Changing of the Guards in Obama Auto Advisors

Posted by: Andy Reinhardt on July 14

President Obama’s chief auto industry advisor, Steven Rattner, who won praise for his deft handling of the restructurings of Chrysler and General Motors, is leaving the post as controversy…

U.S. Authorities & UBS Seek Settlement in Major Tax Case

Posted by: Mark Scott on July 13

Swiss financial giant UBS and the U.S. government are seeking to delay a major U.S. tax trial set to start on July 13 so they can find a negotiated…

China’s Car Sales Jump 48%

Posted by: Moon Ihlwan on July 09

China’s passenger-vehicle sales jumped 48% in June, the biggest increase since February 2006, as government stimulus spending helped the country surpass the U.S. as the world’s largest auto market…

Google to Launch NetBook OS, Encroaching Further Into Microsoft Territory

Posted by: Mehul Srivastava on July 08

Stepping up its inroads into Microsoft’s territory, Google announced that it plans to release an operating system for PC’s, a market that Microsoft has dominated for almost two decades….

California Closer to Junk Status

Posted by: Bruce Einhorn on July 07

With talks between Gov. Arnold Schwarzenegger and lawmakers at an impasse, California’s budget crisis took a new turn for the worse yesterday when Fitch’s downgraded the state’s bond rating…

What to Expect from Obama’s Russia Trip

Posted by: Bruce Einhorn on July 06

In Moscow for a highly anticipated summit starting today, President Obama will find a U.S.-Russia business relationship that has barely taken off despite exceedingly hopeful beginnings 17 years ago…

Auto Sales: Less Bad

Posted by: Andy Reinhardt on July 02

June car sales stabilized somewhat in the U.S. But the pain was spread unevenly among carmakers and types of vehicles, as fears of gas price increases continued to slaughter…

U.S. Auto Sales Fell 30% in June

Posted by: Mark Scott on July 01

Major U.S. automakers will report the highest sales rate of 2009 when they post results for June. Deep discounts in recent months are expected to limit industry-wide sales to…

Steve Jobs Goes Back to Work

Posted by: Andy Reinhardt on June 30

The CEO and co-founder of Apple has officially returned from a five-month medical leave and will split his time between the office and working from home, Apple said on…

Bernard Madoff to be Sentenced

Posted by: Mark Scott on June 29

A U.S. judge is expected to sentence 71-year-old Bernard Madoff to an effective life term in prison on June 29 during an emotional court hearing in which many of…

Pop Icon Michael Jackson Dies at 50

Posted by: Andy Reinhardt on June 26

Drawing a sudden and unexpected end to a life that veered between the apex of global stardom and personal tragedy, singer Michael Jackson died June 25 in Los Angeles…

Toyota: Two More Tough Years For Auto Industry

Posted by: Mark Scott on June 25

The global auto industry faces another two tough years, according to Akio Toyoda — the new President of Toyota, the world’s No.1 car company. Toyoda also outlined plans to…

As U.S. Bankruptcies Surge Fewer Emerge

Posted by: Kenji Hall on June 24

As the effects of the recession continue, the high number of business bankruptcies—7,514 in May, up 40% from the prior year—shows few signs of abating. That’s because the factors…

Crude Falls on Economic Concern

Posted by: Moon Ihlwan on June 23

Crude prices in Asia fell below $67 a barrel after the World Bank released a sobering outlook for the global economy, stopping the bulls in their tracks. On the…

Apple: Bruised or Burnished?

Posted by: Dexter Roberts on June 22

If ever there were a moment to leak potentially explosive news about the health of Apple CEO Steve Jobs, the early-morning hours of June 20 were about as optimal…

IMF: Positive Signs in Global Economy

Posted by: Mark Scott on June 19

The global economy is starting to show signs it may recover quicker than first thought, according to the International Monetary Fund. Speaking at a conference in Turkey, IMF First…

Battle over Obama Financial Plan Starts in Congress

Posted by: Bruce Einhorn on June 18

A day after President Obama unveiled his proposals to remake financial regulation, attorneys and lobbyists for nearly every facet of the financial-services industry are poring over it, determining where…

Obama Pushes Health Care Reform

Posted by: Andy Reinhardt on June 16

In a speech to doctors gathered for the annual meeting of the American Medical Association in Chicago, President Barack Obama pressed for changes to the U.S. health care system,…

U.S. Braces for Financial Regulatory Reform

Posted by: Mark Scott on June 15

U.S. President Barack Obama will unveil his long-awaited plan to tighten domestic financial regulation this week, marking a test of his resolve to seize a political opportunity and face…

BlackRock to Pay $13.5 Billion for Barclays Unit

Posted by: Frederik Balfour on June 12

London-based Barclays bank has agreed to sell its asset management arm Barclays Global Investors to private equity firm Blackrock for a cash and equity deal worth $13.5 billion. Blackrock…

Behind Oil’s Surprising Surge

Posted by: Dexter Roberts on June 11

Demand for oil, which almost always rises, is likely to drop by 3% in 2009—the worst decline in almost 30 years. Stockpiles are so high that an ocean of…

Chrysler Sale Blocked Temporarily By Supreme Court.

Posted by: Mehul Srivastava on June 09

The U.S. Supreme Court blocked the Chrysler sale with a last minute temporary stay-order, throwing the entire process into disarray. The bankrupt U.S. carmaker has to be sold to…

BlackRock Negotiating $10 Billion Purchase of Barclays Unit

Posted by: Bruce Einhorn on June 08

British financial group Barclays is in advanced talks to sell its asset-management division, Barclays Global Investors, to money-management firm BlackRock for at least $10 billion. The announcement of a…

British Government in Crisis

Posted by: Andy Reinhardt on June 05

After yet another cabinet member resigned on June 4 and voters drubbed the Labour Party in local elections the same day, British Prime Minister Gordon Brown unveiled an anticipated…

GM’s Bankruptcy: The Aftermath

Posted by: Andy Reinhardt on June 04

After General Motors declared bankruptcy on Monday, the company’s chief financial officer suggested that as a private entity, GM might not disclose the same amount of financial information as…

Chrysler Sale Faces Court Challenge

Posted by: Andy Reinhardt on June 03

A U.S. federal appeals court agreed late June 2 to hear a challenge from a group of Indiana pension funds who are seeking to block the sale of Chrysler’s…

GM: What Next?

Posted by: Andy Reinhardt on June 02

With the long-anticipated bankruptcy of General Motors now a fait accompli, investors, taxpayers, employees, suppliers, and customers are left wondering what will happen next to the humbled icon of…

Zero Hour for General Motors

Posted by: Andy Reinhardt on June 01

After seven decades atop the world’s auto industry, General Motors faces an almost unthinkable destiny on June 1 as it files for Chapter 11 bankruptcy protection. The Detroit giant,…

Crash Diet for GM

Posted by: Moon Ihlwan on May 29

Three days before a government-imposed restructuring deadline, GM’s board of directors mulls ways to win concessions from various parties, a strategy that would help the company quickly exit from…

The Tough Road Ahead for GM and Chrysler

Posted by: Frederik Balfour on May 28

President Barack Obama is betting that Chrysler and, likely, GM can use an accelerated bankruptcy process to remake themselves into smaller and nimbler companies that can compete in the…

Chrysler Ready for Quick Exit from Bankruptcy

Posted by: Bruce Einhorn on May 27

Chrysler could emerge from bankruptcy faster than many people had expected, with the automaker possibly leaving court protection as early as next week, said a person familiar with the…

Crunch time looms for GM, Chrysler restructuring

Posted by: Ian Rowley on May 26

United Auto Workers’ officials will gather on Tuesday to hear how many more U.S factory jobs General Motors will cut as the embattled automaker enters what could be its…

Could the U.S.’ Rating Be Downgraded?

Posted by: Mark Scott on May 22

The U.S. could eventually lose its top AAA credit rating, according to Bill Gross, co-chief investment officer of Pacific Investment Management Co — the world’s biggest bond fund. The…

Global Markets Recoil on Fed Pessimism

Posted by: Mark Scott on May 21

Global stock markets fell on May 21 after the U.S. Federal Reserve predicted an even deeper recession in the domestic economy during 2009. No market was left untouched. Asian…

Bank of America Raises $13.47 Billion

Posted by: Mark Scott on May 20

Bank of America Corp raised $13.47 billion on May 19 through a share sale to meet the U.S. government’s requirements for capital-raising. Including the recent $7.3 billion sale of…

Banks Want to Repay TARP Money

Posted by: Mark Scott on May 19

Major U.S. financial institutions, including Goldman Sachs and Morgan Stanley, have applied to repay the billions of dollars they borrowed under the government’s Troubled Asset Relief Program (TARP), according…

U.S. Banks in Capital Shortfall

Posted by: Mark Scott on May 18

Small and medium-sized U.S. banks may need to raise $24 billion to meet the same government capital standards design to test the financial health of the country’s largest institutions….

German GDP Posts Sharpest-Ever Fall

Posted by: Ian Rowley on May 15

German gross domestic product in the first quarter posted its sharpest fall since records began in 1970, as economic activity was much weaker than expected, data from the Federal…

Obama Considers Regulations on Derivatives

Posted by: Mehul Srivastava on May 14

The Obama administration is pushing the U.S. Congress to move faster on ways to regulate so-called “exotic derivatives”, in an attempt to bring more transparency to the kind of…

Recession Hits Social Security Projections

Posted by: Dexter Roberts on May 13

The recession is draining Social Security and Medicare even earlier than expected, according to new reports. The costs of administering Social Security are now expected to exceed tax revenues…

China’s Exports Continue Slump

Posted by: Bruce Einhorn on May 12

In another sign that China’s economy continues to struggle, the government announced exports in April fell a worse-than-expected 22.6% compared to a year ago. The export drop is the…

Bank Stress Tests: The Verdict

Posted by: Andy Reinhardt on May 08

Though many details already had leaked out, the U.S. government on May 7 finally released the long-awaited official results of its so-called “stress tests” on the financial condition of…

Banks Brace For Stress Test Results

Posted by: Mark Scott on May 07

U.S. regulators will unveil on May 7 the results of the so-called ‘stress tests’ of the country’s 19 largest financial institutions. Treasury Secretary Timothy Geithner already has said the…

Bank of America’s $35 Billion Funding Gap

Posted by: Mark Scott on May 06

Bank of America needs to fill a roughly $35 billion capital shortfall that the U.S. government’s ongoing bank stress tests has found, according to people familiar with the situation….

U.S. Banks Prepare For Stress Test Results

Posted by: Mark Scott on May 05

U.S. officials are expected to order almost half of the 19 banks undergoing government stress tests to boost their capital provisions, according to several people familiar with the matter….

Fiat Eyes Forging New Auto Giant

Posted by: Andy Reinhardt on May 04

With his deal to take control of troubled Chrysler in hand, Fiat CEO Sergio Marchionne is now turning his attention to a bid for two of GM’s European units,…

Souter Retirement Offers Supreme Court Opportunity for Obama

Posted by: Bruce Einhorn on May 01

Supreme Court Justice David Souter will retire at the end of the court’s current term, sources say. Souter, 69, is the only one of the nine justices not to…

Obama Is Hopeful for Chrysler’s Future

Posted by: Moon Ihlwan on April 30

President Obama is hopeful that Chrysler will come up with a solution that will let a merger with Italian automaker Fiat go through and keep the U.S. automaker in…

Chrysler, Fiat: Back from the Brink?

Posted by: Frederik Balfour on April 29

Italian automaker Fiat moved much closer to a deal with Chrysler on Apr. 28 that will blend the two companies’ operations and likely keep Chrysler out of bankruptcy court….

Swine Flu: Lessons from SARS

Posted by: Kenji Hall on April 28

Narayanan Viswanathan knows firsthand not to underestimate the economic impact of a potential pandemic such as the swine flu outbreak that has been spreading from Mexico. Viswanathan was in…

Four Days of Crunch Time for Chrysler

Posted by: Dexter Roberts on April 27

As the days dwindle down to Chrysler’s Apr. 30 deadline to show the federal government it has a new plan for financial viability—or face bankruptcy re-organization—there has been movement…

Auto Industry in Turmoil

Posted by: Andy Reinhardt on April 24

Sources say that the U.S. Treasury Department has ordered Chrysler to devise a bankruptcy plan by as soon as next week, as the troubled automaker faces an Apr. 30…

Regulators Prepare for U.S. Bank ‘Stress Test’

Posted by: Mark Scott on April 23

U.S. federal regulators on Apr. 24 will reveal the preliminary results of so-called bank ‘stress tests’ — reports that will certify which U.S. banks are healthy enough to start…

Yahoo Cuts Workforce, Posts Upbeat Numbers

Posted by: Mark Scott on April 22

Internet giant Yahoo said on Apr. 21 it would cut 5% of its global workforce on top of 1,600 job cuts announced in December, 2008. The news came as…

What Oracle Sees in Sun

Posted by: Andy Reinhardt on April 21

No question: the audacious bid by software giant Oracle to acquire struggling computer-and-software maker Sun Microsystems is a game-changer for the info tech industry. While the deal offers Sun…

PepsiCo Buying Out Bottlers for $6 Billion

Posted by: Andy Reinhardt on April 20

PepsiCo, the world’s second-largest maker of beverages, is offering $6 billion in cash and stock to take over the share of its two largest bottlers that it doesn’t already…

Signs of Stability in Consumer Spending

Posted by: Moon Ihlwan on April 17

It’s natural to assume that as the job market goes, so go consumers. But that’s not always true, especially right now. Even amid massive job losses in the first…

Tech Sector: Poised for a Comeback?

Posted by: Dexter Roberts on April 16

After bearing the brunt of the economic downturn at the beginning of this decade, the technology sector looks as if it may be among the best positioned to benefit…

Goldman Vows to Repay Loans As Earnings Beat Expectations

Posted by: Bruce Einhorn on April 14

Goldman Sachs announced quarterly earnings of $1.66 billion and said it will pay back loans from the Treasury Department by raising $5 billion in a stock offering. Analysts had…

Treasury Tells GM to Prepare for “Surgical” Bankruptcy

Posted by: Frederik Balfour on April 13

The Treasury Department has told General Motors to start preparing for a June 1 filing deadline to prepare for a fast “surgical” bankruptcy, according to people close to the…

The World’s Most Innovative Companies

Posted by: Andy Reinhardt on April 10

Not long ago, innovation was a must-do priority for business. Now research and development might seem like a luxury that has to wait for better times. But in BusinessWeek’s…

Moody’s Downgrades Buffett’s Berkshire

Posted by: Mark Scott on April 09

Warren Buffett’s Berkshire Hathaway has lost its triple-A rating with Moody’s Investors Service — the ratings agency in which the “Sage of Omaha” holds a 20% stake. The downgrade…

U.S. Regulation Could Have Unintended Consequences

Posted by: Mark Scott on April 08

U.S. President Barack Obama’s plan for a wide-ranging regulation for the financial services industry could encourage some firms to take on even greater risks and expanded at too-fast rates….

Poll Finds Increased Optimism in the U.S.

Posted by: Andy Reinhardt on April 07

The latest New York Times/CBS News poll finds that Americans have become more optimistic about the economy and the direction of the U.S. in the 11 sometimes turbulent weeks…

IBM’s Takeover of Sun Microsystems Stalls

Posted by: Mark Scott on April 06

Technology giant IBM withdrew its $7 billion offer for Sun Microsystems on Apr. 5 after Sun’s board balked at IBM’s reduced offer, according to three people close to the…

G-20: $1 Trillion and a Plan

Posted by: Mark Scott on April 03

The Group of 20 Summit of the world’s top leaders, held Apr. 2 at a windowless exhibition hall in London’s eastside docklands, did not achieve everything its organizers originally…

G-20 Protesters to March on Leaders’ Summit in London

Posted by: Ian Rowley on April 02

Protesters are set to march in London today on the heavily guarded conference center where the Group of 20 summit is being held, after demonstrations drew thousands outside the…

Facebook’s CFO Exits: Enter, the Questions

Posted by: Bruce Einhorn on April 01

Facebook is replacing its chief financial officer, Gideon Yu. Facebook spokesman Larry Yu confirmed to BusinessWeek that CFO Yu will be leaving the company. Now the big questions are:…

U.S. Economy Has Yet to Hit Bottom

Posted by: Moon Ihlwan on March 31

Stronger-than-expected reports on orders for big-ticket manufactured goods, housing and retail sales have led some economists to declare that the worst of the 15-month, housing-led recession in the U.S….

CEO Wagoner Ousted to Maintain GM’s Lifeline

Posted by: Kenji Hall on March 30

He’s out. General Motors Chairman and CEO G. Richard Wagoner Jr. has been asked by President Barack Obama’s Administration to step down in advance of GM’s getting any further…

Oil Shock Ahead?

Posted by: Andy Reinhardt on March 27

A study released Mar. 27 by consultancy Cambridge Energy Research Associates carries a sobering warning for the global economy after the recession ends and growth resumes: Thanks to the…

Obama Seeks New Financial Oversight

Posted by: Andy Reinhardt on March 26

In a Congressional hearing on Mar. 26, Treasury Secretary Timothy Geithner is expected to outline a wide-ranging plan to overhaul U.S. financial regulation by subjecting hedge funds and traders…

Obama Outlines ‘Progress’, Congress to Seize Struggling Firms

Posted by: Mark Scott on March 25

U.S. President Barack Obama painted an up-beat picture of the domestic economy on Mar. 24, saying there were ‘signs of progress’ in his administration’s attempts to stabilize the U.S….

Reactions to Obama’s Toxic Assets Plan

Posted by: Mark Scott on March 24

After U.S. President Barack Obama outlined plans on Mar. 23 to lift toxic assets off bank balance sheets, attention now focuses on whether private-sector investors will be enticed to…

Toxic Assets Plan: Will It Fly?

Posted by: Andy Reinhardt on March 23

The Obama Administration will spell out plans today to increase its $700 billion rescue package for the financial system with a program that encourages private investors to buy up…

Ballmer: Microsoft Still Wants Yahoo

Posted by: Ian Rowley on March 20

Microsoft Chief Executive Steve Ballmer says he’s still interested in buying Yahoo!, or at least part of it. Even though Yahoo’s previous management spurned a takeover bid last year…

The Fed Breaks Out the Heavy Artillery

Posted by: Dexter Roberts on March 19

With the furor over American International Group (AIG) bonuses distracting Congress and the Obama Administration, the Federal Reserve thrust itself back to the front lines on Mar. 18 with…

China Rejects Coke’s Bid for Juice Maker

Posted by: Moon Ihlwan on March 18

China’s Ministry of Commerce has rejected a $2.5 billion proposal by Coca-Cola to take over China Huiyuan Juice Group, saying the deal could hurt competition in the local market….

AIG Bonuses: The Pressure Builds

Posted by: Bruce Einhorn on March 17

After President Obama denounced $165 million in retention bonuses to AIG employees, the White House on Monday said it will use $30 billion in pledged bailout funds as leverage…

AIG Execs to Get $160 million in Bonuses

Posted by: Mark Scott on March 16

Insurance giant AIG, which has received over $170 billion in government bailout money, plans to pay out $160 million in executive bonuses despite having reported a fourth quarter loss…

Roche Seals Genentech Deal

Posted by: Andy Reinhardt on March 12

Swiss pharmaceutical giant Roche said Mar. 12 that it has reached an agreement in its long-running effort to acquire the 44% share of U.S. biotech company Genentech it didn’t…

Bernard Madoff Charged

Posted by: Mark Scott on March 11

Bernard Madoff, the U.S. financier accused of a $50 billion fraud, was charged on Mar. 10 with 11 criminal counts that could land him in prison for the rest…

Upturn for Citigroup?

Posted by: Andy Reinhardt on March 10

A leaked memo from Citigroup CEO Vikram Pandit to the company’s 300,000 staff says that the troubled bank booked revenues of $19 billion in the first two months of…

Politicians Urge for Global Stimulus

Posted by: Mark Scott on March 09

U.S. President Barack Obama is expected to urge world leaders to increase emergency government spending to jumpstart the global economy. At an April summit to be held in London,…

US government spending bill stalls in Senate

Posted by: Manjeet Kripalani on March 06

The US government’s $410 billon spending bill stalled in the Senate, just short of one vote for the 60 needed to break the Republican filibuster. The bill, if passed, would…

Cuomo Issues New Subpoenas in Merrill Investigation

Posted by: Bruce Einhorn on March 05

New York Attorney General Andrew Cuomo last night issued subpoenas to seven Merrill Lynch executives who got bonuses worth more than $10 million last year, shortly before Bank of…

Asian Stocks Advance on China Stimulus Hopes

Posted by: Moon Ihlwan on March 04

Asian stock markets rebounded as hopes China would expand measures to revive its economy countered growing signs of economic trouble in the U.S. and other major countries. The advance…

Stocks: After Dow 7,000, What Next?

Posted by: Dexter Roberts on March 03

Investors don’t lack ways to measure the carnage on Wall Street. What they’re missing is a way to calculate when the losses will stop. In falling markets, technical analysts…

The Financial Crisis Fuels U.S. Diplomatic Talks

Posted by: Kenji Hall on March 02

President Barack Obama has long vowed to offer diplomatic talks to U.S. rivals and adversaries. But a month into his Presidency, Obama may be benefitting from the financial crisis…

Blueprint for New U.S. Budget Priorities

Posted by: Andy Reinhardt on February 27

President Barack Obama delivered his first budget to Congress Feb. 26, an ambitious $3.6 trillion spending plan that would fund big new investments in education, health care, and energy…

RBS Notches a Record Loss

Posted by: Andy Reinhardt on February 26

As expected, the Royal Bank of Scotland on Feb. 26 reported an enormous $34 billion annual loss for 2008, including nearly $23 billion in goodwill writedowns from its troubled…

Obama to Use ‘Full Force’ of Government to Jumpstart Economy

Posted by: Mark Scott on February 25

In his first address to the U.S. Congress as Commander-in-Chief, President Barack Obama said he would act with the “full force of the federal government” to support the financial…

Looming Crisis in Central Europe

Posted by: Andy Reinhardt on February 24

The post-Communist economic boom that turned Poland, Hungary, and other former Soviet satellites into some of the world’s hottest markets is showing worrisome signs of collapse. The downturn substantially…

Citigroup and U.S. Talk Investment

Posted by: Andy Reinhardt on February 23

Sources say that Citigroup, the largest bank in the U.S., is in talks with federal officials over a plan for the government to expand its ownership of the troubled…

Latin American Regulators Clamp Down on Stanford

Posted by: Ian Rowley on February 20

From Bogotá to Quito, regulators have taken control of Stanford Financial Group’s Latin American affiliates as investors scramble to recoup their pesos, bolivars, dollars and soles. U.S. regulators placed…

Obama’s Mortgage Rescue Plan Faces Risks

Posted by: Dexter Roberts on February 19

The Obama Administration’s $75 billion homeowner-rescue plan offers a lot of help to people in imminent danger of losing their homes. It does far less for those who are…

GM, Chrysler Want another $21.6 Billion

Posted by: Bruce Einhorn on February 18

General Motors said it needs $16.6 billion in additional bailout funds from the government, and smaller rival Chrysler said it needs $5 billion. The two automakers made the announcements…

Japanese Finance Minister Resigns

Posted by: Chi-Chu Tschang on February 17

Japan’s Finance Minister Shoichi Nakagawa has resigned after appearing intoxicated at a meeting of the G-7 finance ministers in Rome over the weekend. Nakagawa answered reporters questions with slurred…

Hammering Out the Stimulus Details

Posted by: Andy Reinhardt on February 13

Congressional leaders moved quickly on Feb. 12 to schedule votes on a compromise $789 billion economic stimulus package to revive the U.S. economy. But details of the plan are…

Will Bailout 2.0 Pack a Bigger Punch?

Posted by: Andy Reinhardt on February 12

Initial market reaction to Treasury Secretary Timothy Geithner’s new plan to aid the ailing banking sector was downbeat, to say the least. But sentiment could change if the government’s…

Geithner Plan Lands with a Thud

Posted by: Andy Reinhardt on February 11

In the long-awaited delivery of the Obama Administrations proposal to revive U.S. banks and financial markets, Treasury Secretary Timothy Geithner promised forceful action to get credit flowing again. But…

U.S. Stimulus Package Heads for Vote

Posted by: Mark Scott on February 10

The U.S. $800 billion stimulus package moved one step closer to reality after senators voted to halt further debate and move to a final vote on the bill on…

U.S. Delays Bank Bailout to Focus on Stimulus

Posted by: Andy Reinhardt on February 09

The Obama Administration is postponing the announcement of its highly-anticipated proposal to aid the financial services sector until Tuesday, Feb. 10 to keep lawmakers, the press, and the public…

Lenovo Boss Amelio Out After Big Loss

Posted by: Chi-Chu Tschang on February 05

William J. Amelio, CEO of Lenovo, the world’s No. 4 maker of PCs, resigned after the computer company announced a quarterly loss of $96.7 million, triple what most analysts…

Obama to Cap Executive Pay of Bailout Beneficiaries

Posted by: Chi-Chu Tschang on February 04

The Obama administration will today announce plans to cap the salaries of top executives of banks and other companies that receive government bailouts at “>$500,000 annually. Apart from regular…

U.S. Property Owners Lost $3.3 Trillion in Home Value Last Year

Posted by: Chi-Chu Tschang on February 03

The U.S. housing market lost $3.3 trillion in value last year and almost one in six owners with mortgages owed more than their homes were worth as the economy…

Obama Confident of Winning Support for Stimulus Package

Posted by: Chi-Chu Tschang on February 02

President Obama is confident his economic stimulus package will eventually win “substantial support” from Republicans as Democratic senators suggest they will be open to altering the bill to reflect…

Capitalism Takes It on the Chin

Posted by: Andy Reinhardt on January 30

Chinese and Russian leaders used the bully pulpit of Davos to cast the free-wheeling U.S. financial system as the source of the global economic crisis. Now, Europeans attending the…

U.S. Stimulus Package Heads to Senate

Posted by: Mark Scott on January 29

The U.S. House of Representatives approved an $819 billion stimulus package on Jan. 28 — the first step in President Barack Obama’s plan to jumpstart the flagging domestic economy….

U.S. Stimulus Package Heads for Vote

Posted by: Mark Scott on January 28

The U.S. economic stimulus package could top $900 billion after President Barack Obama tried to cajole Republican politicians ahead of an expected vote on Jan. 28. To help persuade…

Obama Faces Opposition to Stimulus Package

Posted by: Mark Scott on January 27

President Barack Obama will meet with Republican lawmakers on Jan. 27 in an attempt to stop the growing tide of conservative hostility towards his $850 billion government stimulus package….

Business Conditions at Almost 30-Year Low

Posted by: Mark Scott on January 26

U.S. companies are now suffering from the worst business conditions in almost 30 years, according to a survey from the National Association of Business Economics. The group’s quarterly industry…

Behind Google’s Glowing Earnings

Posted by: Chi-Chu Tschang on January 23

Even as the economy skids, Google keeps on rolling—just a little more slowly than it used to. Bucking the stalling economy and worsening outlook for online advertising, the search…

Sony Revamps TV Business, Warns of $2.9 Billion Loss

Posted by: Chi-Chu Tschang on January 22

As demand for consumer electronics craters worldwide, Sony is looking to pare back TV production in Japan, possibly stopping work at one of two factories where it assembles flat-panel…

Dow Drops Below 8,000 on Inauguration Day

Posted by: Chi-Chu Tschang on January 21

The Dow Jones industrial average fell below 8,000 points on President Barack Obama’s first day in office as investors sold bank stocks on fears that the financial industry’s problems…

Family Scion Named Toyota President

Posted by: Chi-Chu Tschang on January 20

Akio Toyoda, grandson of Toyota’s founder, has been appointed company president as the car maker faces its first losses since it was created more than 70 years ago. The…

Bank of America Receives $138 billion Federal Lifeline

Posted by: Mark Scott on January 16

Bank of America — the largest U.S. bank by assets — received a $138 billion emergency lifeline from the federal government on Jan. 16 to support its acquisition of…

Steve Jobs Takes Medical Leave

Posted by: Mark Scott on January 15

Apple’s Chief Executive Officer Steve Jobs will take a six-month medical leave of absence from the company, raising concerns for both his health and that of the firm he…

Pandit Dismantles Weill’s Citi Empire

Posted by: Andy Reinhardt on January 14

Citigroup CEO Vikram Pandit is unraveling the financial services empire assembled by the legendary Sanford Weill. After booking $20 billion in net losses last year and being forced to…

Western Banks Curb Chinese Expansion

Posted by: Mark Scott on January 13

After years of trying to break into the Chinese market, Western banks now are cutting back. According to sources familiar with the situation, Citigroup will close its private banking…

Citigroup Near Deal for Brokerage Spin-Out

Posted by: Andy Reinhardt on January 12

Troubled Citigroup could reap a windfall of up to $10 billion from spinning off its Smith Barney brokerage unit to a joint venture controlled by Morgan Stanley. The deal,…

Holiday Sales Were Indeed Dismal

Posted by: Andy Reinhardt on January 09

A host of U.S. retail chains reported their holiday sales on Jan. 8 and the results were as bad as feared: Many reported double-digit revenue declines in same-store sales,…

Political Wrangling Bogs Down Economic Stimulus Package

Posted by: Chi-Chu Tschang on January 08

The drive for quick action on a huge economic stimulus package has become entangled in the push and pull of Washington politics and now may not clear Congress until…

Russia Halts Gas Supply to Europe Via Ukraine

Posted by: Chi-Chu Tschang on January 07

Russia’s gas exporter monopoly Gazprom halted all natural gas shipments to Europe via Ukraine. Europe faced a deepening energy crunch and more sub-zero temperatures, with Moscow and Kiev showing…

Toyota to Shut Japanese Factories for 11 Days

Posted by: Chi-Chu Tschang on January 06

In an unprecedented move, Toyota will Source: Associated Press http://www.businessweek.com/ap/financialnews/D95HDMKG0.htm “>suspend production at a dozen of its Japanese plants for six days in February and another five days in…

Obama Plans Tax Cuts Worth $300 Billion

Posted by: Chi-Chu Tschang on January 05

Advisors to President-elect Barack Obama say he plans to unveil a package of tax cuts for individuals and businesses worth about $300 billion in an attempt to goose the…

Worst Year on Record for World’s Stock Markets

Posted by: Andy Reinhardt on December 31

As a tumultuous 2008 draws to a close, the world’s stock exchanges have notched their worst year in history. Despite a small rally Dec. 30, the Dow Jones Industrial…

GMAC Gets $6 Billion Bailout

Posted by: Chi-Chu Tschang on December 30

The U.S. Treasury will inject $6 billion into General Motor’s former auto financing subsidiary. The deal is the first of new aid for auto-finance companies, which lend money to…

Ten Years On, the Euro Is a Success

Posted by: Andy Reinhardt on December 29

A decade after it came into existence—first as a virtual currency, then three years later in bills and coins—the European euro has largely banished its doubters and is helping…

Japanese Stocks Tank on Toyota Losses

Posted by: Chi-Chu Tschang on December 24

Japan’s stocks fell to their lowest level since June 2005, one day after trading resumed from a one-day holiday Tuesday. The Nikkei 225 Stock Average closed down 2.4% at…

Recession Deepens Housing Crisis

Posted by: Chi-Chu Tschang on December 23

As the recession throws more people out of work, the rate of re-default on modified mortgages is rising and may worsen as the economy deteriorates. Critics say most loan…

The Consumer Electronics Inventory Glut

Posted by: Chi-Chu Tschang on December 22

Automakers aren’t the only ones halting production as inventories pile up. The consumer electronics industry is also coming to grips with rising stockpiles of unsold goods that are likely…

Global Equity & Oil Markets Fall

Posted by: Mark Scott on December 19

Global stock markets fell on Dec. 19 as weak oil prices and concerns about the U.S. economy worried investors in the last full trading week of 2008. The MSCI…

Auto Bailout Close, Carmakers Extend Plant Shutdowns

Posted by: Mark Scott on December 18

U.S. policy-makers are far along in discussions with General Motors and Chrysler over reorganization plans that could provide the battled automakers with more than $14 billion in emergency loans…

OPEC To Announce Major Oil Cuts

Posted by: Mark Scott on December 17

OPEC oil ministers will meet on Dec. 17 for discussions that could remove a record 2 million barrels per day from global oil markets. The 12 members of the…

U.S. Fed Expected To Cut Rates

Posted by: Mark Scott on December 16

The U.S. Federal Reserve is expected to lower interest rates by at least a half-percentage point to 0.5% on Dec. 16, as well as outline emergency tools that policy-makers…

More Banks Hit By Madoff’s Alleged Fraud

Posted by: Mark Scott on December 15

More banks announced further potential exposure to Bernard Madoff’s alleged $50 billion fraud on Dec. 15. Spain’s Banco Santander may lose $3.1 billion through a Geneva-based hedge fund it…

U.S. Auto Bailout Collapses over Wages

Posted by: Chi-Chu Tschang on December 12

Last-ditch efforts to forge an agreement to rescue the U.S. automakers fell apart late Thursday, Dec. 11, when union officials refused fast and deep cuts in worker pay. The…

Auto Bailout Passes in House, Stalls in Senate

Posted by: Chi-Chu Tschang on December 11

The House of Representatives has finally reached agreement on a bailout package consisting of loans for up to $14 billion to save the country’s beleaguered auto industry. However the…

Illinois Governor Charged with Corruption

Posted by: Chi-Chu Tschang on December 10

Federal authorities arrested Illinois Governor Rod R. Blagojevich Tuesday, charging the Democratic politician and his senior aide for corruption. The wide-ranging allegations of malfeasance include a charge that the…

Tough Terms for Detroit Bailout

Posted by: Chi-Chu Tschang on December 09

Congress delivered a bill on Monday, Dec. 8, to the White House that is designed to bail out the ailing U.S. auto industry with $15 billion in loans. Despite…

Tribune Co. Mulling Bankruptcy

Posted by: Chi-Chu Tschang on December 08

The Tribune Co., the media conglomerate bought by real estate mogul Sam Zell in a leveraged deal last December, has hired advisers to assist with a potential bankruptcy filing….

U.S. Automakers Appeal For Help, Again

Posted by: Mark Scott on December 05

The chiefs of America’s Big Three automakers, Ford’s Chief Executive Officer Alan Mulally, General Motors’ CEO Rick Wagoner, and Chrysler CEO Robert Nardelli, pledged to focus on higher fuel…

Autos: The Good, the Bad, and the Ugly

Posted by: Andy Reinhardt on December 04

As U.S. automakers heat up their push for a financial bailout from Washington, news continues to pour out of the troubled industry from around the world. In the U.S.,…

Automakers Hit Washington as Sales Crater

Posted by: Andy Reinhardt on December 03

Detroit’s Big Three automakers presented turnaround plans to Congress on Dec. 2 that indicate both General Motors and Chrysler could collapse by the end of the year if they…

Global Markets Follow the U.S. Down

Posted by: Andy Reinhardt on December 02

The day after a 680-point, or 7.7%, plunge for the Dow Jones average in the U.S., stocks in Asia and Europe picked up the mantle and slid on growing…

An Illusory Bump from ‘Black Friday’

Posted by: Andy Reinhardt on December 01

U.S. consumers swarmed department stores and shopping malls on Friday, Nov. 28—the day after the Thanksgiving holiday and the traditional kickoff of the Christmas shopping season. Strong foot traffic…

Retailers in Race for Discounts

Posted by: Chi-Chu Tschang on November 26

U.S. retailers aren’t waiting until after the turkey to offer Black Friday price cuts. Ahead of the traditional start of the holiday shopping season on the Friday after Thanksgiving,…

More Bank Failures to Come?

Posted by: Chi-Chu Tschang on November 25

The rescue of Citigroup provides more clarity as to the lengths the government will now go to shore up the U.S. financial system. But, investors worry, if Citi was…

U.S. Gov’t Bails Out Citigroup

Posted by: Chi-Chu Tschang on November 24

The federal government agreed Sunday to rescue Citigroup, after its shares fell 87% to $3.77 from a year ago. The government will back $306 billion in troubled loans and…

Financial System Again Under Strain

Posted by: Mark Scott on November 21

After a few weeks when credit started flowing more freely through banks, the financial system is unraveling again. On Nov. 20, investors were so eager to move money into…

Global Stock Markets Tumble

Posted by: Mark Scott on November 20

Increased fears about the health of the global economy on Nov. 20 sent stock markets worldwide tumbling a day after the Dow Jones average fell 5.1% to 7,997 and…

Global Automakers Under Pressure

Posted by: Mark Scott on November 19

The chief executives of America’s Big Three automakers on Nov. 18 appealed for U.S. taxpayers to help their industry, arguing the already-dire state of the U.S. economy couldn’t withstand…

Yahoo’s Yang Steps Down As CEO

Posted by: Mark Scott on November 18

Jerry Yang, the co-founder of Yahoo, will step down as chief executive officer as soon as a replacement can be found, the Internet company said on Nov. 17. The…

Leaders Pledge To Protect Global Economy

Posted by: Mark Scott on November 17

Global leaders pledged to shore up global growth, avoid protectionism, and institute regulatory reform at the conclusion of the Group of 20 summit in Washington, D.C. to address the…

U.S. Video Game Sales Soar in October

Posted by: Chi-Chu Tschang on November 14

Defying the worldwide downturn, sales of video games and hardware in the U.S. soared 18% to $1.31 billion. Hardware sales grew by 5% led by strong sales of Nintendo’s…

Intel Warns of Dismal Fourth Quarter

Posted by: Chi-Chu Tschang on November 13

Intel slashed its fourth-quarter sales forecast, citing “significantly weaker than expected demand in all geographies and market segments.” Intel said it now expects sales of $8.7 billion to $9.3…

Gloom Grips Market on Worsening Economic Outlook

Posted by: Chi-Chu Tschang on November 12

Evidence mounted that the rich-world downturn is spreading through emerging economies, with China’s retail sales data on Wednesday pointing to slowing consumption and the World Bank saying more countries…

Retail: The Great Holiday Blowout Sale

Posted by: Chi-Chu Tschang on November 11

This holiday season is shaping up to be the battle of the better deal—and it’s a bloody battle indeed. For months, retailers have been throwing themselves at consumers with…

China’s $585 Billion Stimulus Package Boost Markets

Posted by: Chi-Chu Tschang on November 10

China unveiled a long-anticipated $585 billion stimulus package to keep its economy growing at a fast clip even as the global economy slows down. The larger-than-expected stimulus plan will…

China’s Hot Growth Is Cooling

Posted by: Andy Reinhardt on November 07

China, the world’s economic supernova, is slowing down more rapidly and severely than previously expected. Exports are falling as recession in other parts of the world crimps demand for…

What Business Wants from Obama

Posted by: Andy Reinhardt on November 06

Though he won the backing of prominent business leaders including Warren Buffett and Google’s Eric Schmidt, some executives are still wary of President-elect Barack Obama. Yet what they want…

Obama Makes History

Posted by: Andy Reinhardt on November 05

Senator Barack Obama swept to victory Nov. 4 in the long-fought U.S. presidential election, becoming the first African-American to ascend to the White House and reshaping the American political…

U.S. Auto Sales Worst Since 1983

Posted by: Andy Reinhardt on November 04

The U.S. Big Three automakers—General Motors, Ford, and Chrysler—reported big double-digit declines in October sales. Ford was down 30%, GM off 45%, and Chrysler down 36%, marking the worst…

Obama Heads to Finish Line with Wide Lead

Posted by: Andy Reinhardt on November 03

As the U.S. presidential election enters its final days, a new nationwide Gallup poll released Sunday showed Democratic candidate Barack Obama taking a 10-point lead over his Republican rival…

Bank of Japan Cuts Key Rate to 0.3%

Posted by: Chi-Chu Tschang on October 31

The Bank of Japan cut its benchmark interest rate for the first time in seven years, joining the U.S. Federal Reserve and other central banks in efforts to ease…

U.S. Banks to Continue Paying Dividends

Posted by: Chi-Chu Tschang on October 30

U.S. banks are receiving more than $163 billion from the Treasury Department for new lending. But they are also expected to dole out more than half of that sum…

Fed Likely to Announce Big Rate Cut

Posted by: Chi-Chu Tschang on October 29

All eyes are on Washington today as the Fed is likely to announce at 2:15 this afternoon a big interest rate cut. The Fed “will be very aggressive,” predicted…

Obama and McCain Vie Over Four Key States

Posted by: Chi-Chu Tschang on October 28

With just one week to go before the presidential election on November 4, Barack Obama and John McCain are pitching their economic plans in four key battleground states. McCain…

Nikkei hits 26-Year Low, Hong Kong down 12.9%

Posted by: Chi-Chu Tschang on October 27

Asian stock markets suffered severe body blows on Monday on rising fears of a deep global recession and continued selling by foreign investors pulling their money out of the…

Automakers Stung By Falling Global Economy

Posted by: Mark Scott on October 24

The outlook for automakers from Europe to Asia looks grim as most now forecast a deeper global downturn in auto sales. U.S. carmakers also are feeling the pinch —…

Global Stock Markets Continue Downward Spiral

Posted by: Mark Scott on October 23

Weak corporate earnings have combined with worries about the global economy to send global stock markets down despite government attempts worldwide to prop up the economy. Asian stocks fell…

Attention Turns Towards Fallout From Financial Crisis

Posted by: Mark Scott on October 22

Fears of global recession now appear to be overshadowing government attempts worldwide to end the current global financial crisis. Countries have promised nearly $4 trillion to guarantee bank deposits…

Governments & IMF Inject More Money Into Financial System

Posted by: Mark Scott on October 21

Governments around the world have stepped up their efforts to strength the financial sector after politicians from France to Pakistan sought to inject billions of dollars into their domestic…

U.S. Economy Faces Recession, Bush Announces Global Economic Summit

Posted by: Mark Scott on October 20

The U.S. economy may plunge into what experts believe could be its worst recession since 1982. Focus has shifted from the dangerously stressed financial markets to the wider economy…

Google Q3 Earnings Beat Expectations

Posted by: Chi-Chu Tschang on October 17

Google defied the global economic downturn and reported a 26% jump in third-quarter profits to $1.35 billion, significantly higher than Wall Street expected. Google’s focus on highly targeted online…

Nikkei drops 11.4%, worst since 1987

Posted by: Chi-Chu Tschang on October 15

Stocks plunged in Asia after huge losses on Wall St. and fears that the impact from the global slowdown on regional economies will intensify. The Nikkei 225 index fell…

Treasury’s $250 Billion Bank Buy-In

Posted by: Chi-Chu Tschang on October 14

U.S. Treasury Secretary Henry Paulson appeared close to completing a deal on the next stage of the massive package to rescue the financial sector and get the frozen credit…

IMF and G7 Say: No More Lehmans

Posted by: Chi-Chu Tschang on October 13

Financial leaders sought to assure panicky bankers and money managers that all measures needed to halt a worldwide meltdown are in motion. The broad brushstrokes of forceful, coordinated action…

Asian Stocks Tank After Wall Street Rout

Posted by: Chi-Chu Tschang on October 09

Asian stock markets plunged in the wake of the bloodbath overnight on Wall Street. Japan’s Nikkei 225 stock averge was the worst hit, falling more than 9.65%. The Philippines…

Lehman Managers Portrayed as Irresponsible

Posted by: Chi-Chu Tschang on October 07

Richard S. Fuld Jr. blamed the news media. He blamed the short-sellers. He blamed the government, as well as what he characterized as an “extraordinary run on the bank.”…

Citi, Wells Fargo Begin Talks to Halt Wachovia Battle

Posted by: Chi-Chu Tschang on October 06

The fight for control of Wachovia Corp. took a new twist on Sunday night as Citigroup and Well Fargo began talks in New York aimed at splitting the Charlotte-based…

A Bleak Economic Picture

Posted by: Andy Reinhardt on October 03

U.S. factory orders fell in August by the largest amount in nearly two years and the number of workers filing unemployment claims last week grew to a seven-year high—ominous…

Senate Approves Bailout Bill

Posted by: Andy Reinhardt on October 02

By a 74-25 margin, the U.S. Senate approved a revised version of the $700 billion financial rescue package rejected earlier in the week by the House of Representatives. The…

Banking’s Crisis of Confidence Continues

Posted by: Andy Reinhardt on October 01

Wall Street bounced back on Sept. 30, with the Dow up 485 points, or 4.7%. But deep unease continued to grip global banking—worsened by Monday’s rejection of the $700…

House Rejects Bailout, Markets Reel

Posted by: Andy Reinhardt on September 30

In a stunning defeat for the Bush Administration and Congressional leaders, the U.S. House of Representatives voted down a proposed $700 billion bailout for troubled mortgage lenders, spurring the…

U.S. Seals $700 Billion Bailout Deal

Posted by: Andy Reinhardt on September 29

After days of intensive negotiations, the White House and Congressional leaders agreed Sept. 28 to an unprecedented $700 billion financial bailout package that will see the government buying up…

Political Wrangling Endangers $700 Billion Bailout

Posted by: Mark Scott on September 26

A White House meeting between U.S. President George Bush, Congressional leaders, and both presidential candidates on Sept. 25 failed to reach full agreement on the proposed $700 billion financial…

Bush Says U.S. Facing ‘Serious Financial Crisis’

Posted by: Mark Scott on September 25

U.S. President George Bush said the country is facing a “serious financial crisis” and risked a “long and painful recession” if Congress didn’t pass the proposed $700 billion bailout…

No Solution On Bailout As Politics Overshadows Financial Deal

Posted by: Mark Scott on September 24

Despite tough talk from U.S. Treasury Secretary Hank Paulson, many in Congress still remain unhappy with the $700 billion bailout package and continue to push for changes that would…

Negotiations Over $700 Billion Bailout Continue

Posted by: Mark Scott on September 23

U.S. Congressional leaders and the Bush administration are moving closer to agreement on a $700 billion plan to rescue the country’s ailing financial services sector after the Treasury made…

U.S. lawmakers close to $700 billion bailout deal

Posted by: Mark Scott on September 22

U.S. Congressional leaders still are negotiating the details of the proposed $700 billion bailout of the country’s financial institutions that would raise the legal ceiling on the national debt…

U.S. Proposes Sweeping Plan to Counter Crisis

Posted by: Chi-Chu Tschang on September 19

Washington is putting together a comprehensive series of programs that likely will add up to the most extensive market intervention since the 1930s. Central is a plan to relieve…

Central Banks Flood Markets with $180 Billion in Funds

Posted by: Chi-Chu Tschang on September 18

The Federal Reserve, the European Central Bank and the Bank of Japan united with their counterparts around the world to pump an additional $180 billion dollars into markets that…

The Fed’s $85 Billion AIG Lifeline

Posted by: Chi-Chu Tschang on September 17

The Fed authorized the Federal Reserve Bank of New York to lend up to $85 billion to AIG. The loan is the first step in a process by which…

Lehman, AIG Turmoil Rattles Global Markets

Posted by: Chi-Chu Tschang on September 16

The rushed sale Sunday of Merrill Lynch and the bankruptcy-court filing of Lehman Brothers continued to batter the global financial markets. Stocks in Europe and Asia fell for a…

Wall Street Wakes Up to Find Lehman, Merrill Gone

Posted by: Chi-Chu Tschang on September 15

Lehman Brothers filed for Chapter 11 bankruptcy after the fourth-largest American investment bank failed to find buyers to rescue the distressed brokerage. Two potential suitors, Barclays and Bank of…

Palin Says, “I’m Ready”

Posted by: Chi-Chu Tschang on September 12

Democrats and even some Republicans have asked: Does Gov. Sarah Palin of Alaska have enough experience to hold the second-highest office in the nation? “I’m ready,”Ms. Palin answered without…

The U.S. Economy: Good and Bad Scenarios

Posted by: Andy Reinhardt on September 11

So pigs really can fly and hell can freeze over. To save the economy, the Republican Bush Administration has nationalized two huge financial institutions, Fannie Mae and Freddie Mac….

Korea’s KDB Ends Talks as Lehman Swoons

Posted by: Andy Reinhardt on September 10

Citing “disagreement,” the Korean Development Bank confirmed Sept. 10 that it had suspended talks on a possible multi-billion dollar investment in troubled investment bank Lehman Bros. The state-run Korean…

Saudi Minister Casts Doubt on OPEC Cut

Posted by: Andy Reinhardt on September 09

Ali Naimi, the powerful oil minister of Saudi Arabia, has described the oil market as “balanced,” casting doubt on whether the cartel will move to reduce output at its…

U.S. Government Takes Over Fannie Mae & Freddie Mac

Posted by: Mark Scott on September 08

U.S. Treasury Secretary Henry Paulson and Federal Housing Finance Agency Director James Lockhart placed Fannie Mae and Freddie Mac in a government-operated conservatorship on Sept. 7, ousting the firms’…

U.S. Economy Faces Problems Despite Slowing Inflation

Posted by: Mark Scott on September 05

The U.S. economy is on the verge of another slowdown despite the most severe inflation threats having passed, according to senior Federal Reserve officials. President of the San Francisco…

Asian Shares Hit Two-year Low, Markets Prepare For Rate Announcements

Posted by: Mark Scott on September 04

Asian shares dropped to a two-year low on Sept. 4 as further signs of a slowing global economy hit export-dependent sectors such as technology. Previous economic concerns primarily focused…

Energy Takes Center Stage at Republican Convention, Bush Praises McCain

Posted by: Mark Scott on September 03

Delegates at the Republican National Convention have given energy issues top billing as the GOP pushes to make energy their hallmark campaign issue for the first time in decades….

Hurricane Gustav Weakens, Oil markets Drop

Posted by: Mark Scott on September 02

Hurricane Gustav caused less damage than was expected when it touched down on Louisiana’s coastline, prompting relief in global oil markets as state and federal officials tried to avoid…

Millions evacuated, Republican convention trimmed due to Hurricane Gustav

Posted by: Mark Scott on September 01

Almost 2 million Louisianans — 95% of the state’s coastal residents — have been evacuated in preparation for Hurricane Gustav, which is expected to hit the U.S. coast by…

Obama Launches Drive to Sell His Economic Plan

Posted by: Chi-Chu Tschang on August 29

Barak Obama formally accepted the Democratic presidential nomination with a drive to convince American voters that he can deliver solutions to the economic woes. “Unlike John McCain, I will…

Democrats Nominate Obama

Posted by: Chi-Chu Tschang on August 28

Barack Hussein Obama, a freshman senator who defeated the first family of Democratic Party politics with a call for a fundamentally new course in politics, was nominated by his…

Hillary’s Convention Speech Backs Obama

Posted by: Chi-Chu Tschang on August 27

Senator Hillary Clinton delivered a strong message of support for Senator Barack Obama’s presidential campaign, in a speech Tuesday night at the Denver Democratic National Convention. “Whether you voted…

Kennedy, Obama’s Wife Open Democratic National Convention

Posted by: Chi-Chu Tschang on August 26

Senator Ted Kennedy, who is battling brain cancer, opened the Democratic National Convention in Denver declaring, “The work begins anew. The hope rises again, and the dream lives on.”…

Boeing’s Union Rejects Offer, Threatens Strike

Posted by: Chi-Chu Tschang on August 25

Rejecting the company’s latest offer as “insulting,” the union representing 27,000 Boeing workers threatened to strike after the current contract expires on Sept. 3. The International Association of Machinists…

Boeing’s High Stakes Game in Tanker Contract Bid

Posted by: Andy Reinhardt on August 22

The aerospace giant leaked word on Aug. 21 that it may drop out of the bidding for a $35 billion airborne refueling tanker contract with the U.S. Air Force…

Lehman Brothers in the Eye of the Storm

Posted by: Andy Reinhardt on August 21

Concerns over the health of the big investment bank continue to mount, as an unconfirmed report emerged that it met secretly in early August with Chinese and South Korean…

World Markets Fall on Fears More Pain to Come

Posted by: Andy Reinhardt on August 20

Share prices dropped sharply on world markets Aug. 19 amid concerns that the year-long credit crunch is entering a dangerous new phase marked by a severe economic slowdown and…

Stocks Tumble on Renewed Mortgage Fears

Posted by: Andy Reinhardt on August 19

U.S. stock indexes fell about 1.5% on Aug. 18 as continued concerns over the financial sector spooked investors. Among the hardest hit issues were mortgage giants Fannie Mae and…

Musharraf Resigns as Pakistani President

Posted by: Andy Reinhardt on August 18

Pervez Musharraf, the embattled president of Pakistan, resigned Aug. 18 in the face of a potential impeachment proceeding. In a televised address to the nation, the former military leader…

Global Economic Picture Darkens

Posted by: Andy Reinhardt on August 15

The world’s economy, which had hung on despite weakness in the U.S., is now slowing sharply, with Europe showing the latest worrisome signs. On Aug. 14, the European Union…

U.S. Foreclosure Plague Widens

Posted by: Andy Reinhardt on August 14

A report issued Aug. 14 showed that foreclosures of U.S. homes rose 8% in July from the month before and jumped a whopping 55% from a year earlier. All…

Russian Steelmaker to Pay $3.5 Billion for U.S. Company

Posted by: Chi-Chu Tschang on August 13

Steelmaker Novolipetsk Steel has become the latest Russian company to make a major acquisition in the U.S. The London-listed Novolipetsk has announced a $3.53 billion deal for John Maneely…

War Threatens Key Pipeline for Crude Oil

Posted by: Chi-Chu Tschang on August 12

The outbreak of hostilities in Georgia is raising concerns that the supply of Caspian crude oil flowing through the country to global markets could be threatened. Around 1.2 million…

NBC Gets Olympics Ratings Boost

Posted by: Chi-Chu Tschang on August 11

Despite worries about broadcasting many events via tape-delay, the first weekend of the Summer Olympics in Beijing was a ratings success for NBC. The opening ceremony on Friday attracted…

UBS May Buy Back $25 billion in debt settlement

Posted by: Chi-Chu Tschang on August 08

In the latest twist of the sub-prime fallout, UBS may buy back as much as $25 billion worth of securities from retail and institutional investors to settle state and…

Citigroup to Buy Back Securities

Posted by: Chi-Chu Tschang on August 07

Citigroup is nearing an agreement to buy back at least $5 billion worth of auction-rate securities (ARS) from investors and pay a $100 million fine to settle with regulators,…

U.S. Prosecutors Uncover Largest Ever Identity Theft

Posted by: Mark Scott on August 06

U.S. prosecutors have charged 11 people in connection with allegedly stealing and selling more than 40 million credit and debit card numbers from nine U.S. retailers in what could…

Fed Expected to Hold Rates

Posted by: Mark Scott on August 05

The U.S. Federal Reserve is expected to hold interest rates steady on August 5 as the dismal housing market and tightening credit conditions take their toll on the economy….

Continued Problems for Citigroup

Posted by: Mark Scott on August 04

Citigroup plans to close a $400 million convertible arbitrage fund as part of the final steps in winding down its $2 billion Tribeca Global Investments Group, according to people…

Olympic Sponsors Giving Up on Games

Posted by: Chi-Chu Tschang on August 01

With the opening ceremonies for the Beijing Games just days away, multinational sponsors of the Olympics are already looking more critically at whether the payback will be worth it…

Bush Signs Housing Bill

Posted by: Chi-Chu Tschang on July 31

President George W. Bush signed into law a sweeping rescue package designed to shore up the housing market from its worst slump since the Great Depression and stabilize mortgage…

Doha Trade Talks Fail

Posted by: Chi-Chu Tschang on July 30

The Doha round of world trade talks collapsed Tuesday in Geneva following almost seven years of contentious, on-and-off negotiations. The nine days of talks in this latest round foundered…

Russo Out at Alcatel-Lucent After Latest Loss

Posted by: Chi-Chu Tschang on July 29

Pat Russo, the CEO of Alcatel-Lucent, announced her resignation on Tuesday after the telecom equipment company reported a worse-than-expected quarterly loss of 1.1 billion euros ($1.73 billion), its sixth…

KKR to go public

Posted by: Chi-Chu Tschang on July 28

Kohlberg Kravis Roberts & Co, the private equity granddaddy of the leveraged buyout, is finally getting a NYSE listing one year after announcing its intention to go public. However…

U.S. Financial Stocks Take a Battering

Posted by: Mark Scott on July 25

U.S. financial stocks suffered their worst one-day fall since 2000 on July 24 after investors renewed their fears over the future of Washington Mutual and weak housing figures. The…

Nokia Settles Legal Issues With Qualcomm

Posted by: Mark Scott on July 24

Telecoms giant Nokia has signed a patent agreement with U.S. firm Qualcomm, ending three years of legal battles. Under the 15-year agreement, the Finnish firm will make an upfront…

Bush Says Wall Street ‘Got Drunk’

Posted by: Mark Scott on July 23

U.S. President George Bush said Wall Street had ‘got drunk’ and was experiencing a hangover during a speech at a recent fundraiser in Houston at which he also made…

Apple Forecasts Bumpy Quarter

Posted by: Mark Scott on July 22

Apple’s shares tumbled 10% on July 21 after the company said its current quarter earnings would be well below Wall Street estimates. Despite dour predictions for the coming quarter,…

Leaders Open World Trade Talks

Posted by: Mark Scott on July 21

Trade officials from the world’s leading economies gathered in Geneva on July 21 for a make-or-break session of world trade talks. After nearly seven years of fruitless haggling, ministers…

Writedowns Keep Haunting Merrill

Posted by: Chi-Chu Tschang on July 18

Merrill Lynch wrote down $9.7 billion in the second quarter, leading it to post one of the worst quarterly results in its history: a loss of $4.65 billion, or…

Capitol Hill Storm Envelops Fannie-Freddie Rescue

Posted by: Chi-Chu Tschang on July 17

The Bush administration’s hastily arranged strategy to stabilize Fannie Mae and Freddie Mac is under siege on Capitol Hill. Republicans are trying to slow it down and Democrats want…

U.S. Sends Envoy to Meet with Iran

Posted by: Chi-Chu Tschang on July 16

President George W. Bush has authorized the highest level diplomatic meeting with Iran since the Iranian Revolution in 1979, dispatching the State Department’s No. 3 official to Geneva this…

IndyMac Reopens Under Federal Control

Posted by: Chi-Chu Tschang on July 15

Thousands of customers waited hours Monday to withdraw their money from IndyMac Bank, after federal regulators took over the Pasadena, Calif.-based bank. The Federal Deposit Insurance Corp. took over…

InBev Anheuser-Busch $52 billion deal clinched

Posted by: Chi-Chu Tschang on July 14

In a deal creating the largest beer company in the world, Anheuser-Busch has agreed to be bought out by AnBev for $52 billion after the Belgian brewer sweetened its…

S&P 500 Falls into Bear Territory

Posted by: Andy Reinhardt on July 10

The S&P 500 stock index officially entered bear territory on July 9, down 20% from its high set last October, as the worst one-day fall for U.S. financial stocks…

Oil Sinks $9 in Two Days as Economy Cools

Posted by: Andy Reinhardt on July 09

The price of crude oil fell for a second day in a row on July 8, by $5.33 per barrel, capping a two-day rout that has taken the cost…

G-8 Leaders Vow Sweeping Greenhouse Gas Cuts

Posted by: Andy Reinhardt on July 08

Meeting in Japan, leaders of eight of the world’s largest economies, including U.S. president George W. Bush, pledged to halve emissions of greenhouse gasses in their own countries by…

Merrill Mulls Bloomberg, BlackRock Stake Sales

Posted by: Andy Reinhardt on July 07

Scrambling to raise cash in anticipation of pending writedowns of nearly $6 billion, troubled brokerage Merrill Lynch is considering the sale of its 20% stake in information provider Bloomberg,…

Oil Reaches New Record High

Posted by: Chi-Chu Tschang on July 03

Oil prices hit a new record high on Thursday as the dollar took a dive on widespread stock selling and larger-than-expected declines in U.S. crude stocks raised supply concerns.The…

Mugabe attends African Union meeting

Posted by: Chi-Chu Tschang on July 01

Despite growing criticism within Africa against him, Robert Mugabe, the 84-year-old President of Zimbabwe, showed up at an African Union meeting in Egypt. This was his first formal act…

The Next Victim of the Real Estate Crisis

Posted by: Chi-Chu Tschang on June 30

State and local governments were flush with tax revenue during the five-year housing boom. They pulled from bulging pools of property, income, and sales tax to expand education, law…

Americans Face Tougher Economic Times

Posted by: Mark Scott on June 26

Most Americans are feeling the pinch from rising gas prices and many are tightening their belts in response, according to a poll by Bloomberg and the Los Angles Times….

Congress to Debate Rising Oil Prices

Posted by: Mark Scott on June 25

Congressional leaders on June 25 will hold their 40th hearing so far this year on the cause of high oil prices. Until recently, lawmakers had focused on the traditional…

Nokia to Buy Symbian, Throw Open Mobile Software

Posted by: Andy Reinhardt on June 24

Helsinki-based Nokia, the world’s largest maker of wireless phones, said June 24 that it will buy London-based mobile software maker Symbian and turn over the company’s software to a…

Banking Fears Linger as Citi, Goldman Cut Jobs

Posted by: Andy Reinhardt on June 23

In a sign that the after-effects of the credit crunch have yet to be fully worked through, Goldman Sachs revealed that it cut staff at its investment banking division…

Supreme Court sides with elderly

Posted by: Chi-Chu Tschang on June 20

In a key age discrimination case, the Supreme Court ruled in favor of older workers, mandating that employers must prove that layoffs were not based on age. The 7-1…

GM Puts Off Truck, SUV Redesigns In New Focus

Posted by: Chi-Chu Tschang on June 19

General Motors is delaying the redesign of SUVs and full-size trucks as part of a wholesale review geared toward building lighter, fuel-efficient vehicles. The shift in focus promises to…

India’s Reliance May Partner with DreamWorks

Posted by: Chi-Chu Tschang on June 18

One of India’s biggest entertainment conglomerates, Reliance ADA Group, is close to a deal to provide director Stephen Spielberg and his partners with $500 million to $600 million in…

Bernanke Warns of Health-Care Inflation

Posted by: Chi-Chu Tschang on June 17

Speaking before the Senate Finance Committee on Monday, Fed Chairman Ben S. Bernanke warned health-care costs would “rise relentlessly” unless lawmakers passed reforms. He said lawmakers should consider establishing…

Willumstad Takes Helm at AIG

Posted by: Chi-Chu Tschang on June 16

The board of American International Group on Sunday appointed former Citigroup executive Robert Willumstad as the new CEO. He replaces Martin Sullivan, ousted after the world’s largest insurer suffered…

G8 Leaders Discuss Dollar Woes

Posted by: Mark Scott on June 13

The U.S. dollar took centre stage as Group of Eight finance ministers gathered in Japan on June 13 to find ways to protect the slowing global economy from growing…

Legal spat engulfs BP’s Russian investment

Posted by: Mark Scott on June 12

Russian billionaire co-owners of the Anglo-Russian oil joint venture TNK-BP plan to sue BP in Moscow and international courts in the latest dispute surrounding the multi-billion project. AAR, which…

U.S. Presidential Candidates Talk Economics

Posted by: Mark Scott on June 11

The Republican and Democratic presidential candidates sparred over the economy on June 10 as John McCain and Barack Obama offered sharply different policies to anxious voters hit by soaring…

Fears for U.S. Economy Shift Towards Inflation

Posted by: Mark Scott on June 10

Federal Reserve Chairman Ben Bernanke believes the danger of a ‘substantial downturn’ in the U.S. economy has abated, but inflation risks are increasing. His comments come as economists trimmed…

Apple to Unveil New iPhone

Posted by: Andy Reinhardt on June 09

Apple CEO Steve Jobs is expected today to unveil the latest model of the popular iPhone at a developers’ conference in San Francisco. The new device could be thinner…

Europe hit harder than U.S. in credit crunch

Posted by: Mark Scott on June 06

European banks have posted larger losses due to the credit crunch than their U.S. counterparts despite the financial crisis first being triggered by problems in the American subprime-mortgage market….

Clinton Promises to “Strongly Support” Obama

Posted by: Chi-Chu Tschang on June 05

Hillary Clinton will declare her strong support for Barack Obama’s White House bid and rally supporters around him, she said in a letter on Thursday. The move would end…

Obama Claims Nomination

Posted by: Chi-Chu Tschang on June 04

Senator Barack Obama claimed the Democratic presidential nomination on Tuesday night, finally beating Senator Hillary Rodham Clinton. A last-minute rush of Democratic superdelegates, as well as split results from…

Lehman May Raise $3-$4 Billion

Posted by: Chi-Chu Tschang on June 03

Lehman Brothers is set to report its first quarterly loss since its initial public offering. The Wall Street investment bank will likely announce that it needs to raise $3…

‘Sex and the City’ Sets Box-Office Records

Posted by: Chi-Chu Tschang on June 02

Pulling in $55.7 million over the weekend, “Sex and the City” had the best-ever debut for an R-rated comedy. The Sarah Jessica Parker film also had the best premiere…

Nearly one quarter of GM union workers accept buyout

Posted by: Chi-Chu Tschang on May 30

In the latest sign of eroding confidence in Detroit, 19,000 workers at General Motors have accepted buyouts. Most of the workers are expected to leave within one month. With…

Big Bond Selloff After Upbeat U.S. Data

Posted by: Andy Reinhardt on May 29

In the wake of surprisingly upbeat U.S. economic data on May 28, as well as continued inflation concerns due to high oil prices, investors around the world dumped safe-haven…

Impasse for United and US Airways After Failed Deal

Posted by: Andy Reinhardt on May 28

Merger talks between United Airlines and rival US Airways have collapsed, with no indication that they may resume. The aborted tie-up marks the second time in a month that…

Vodafone CEO Sarin Stepping Down

Posted by: Andy Reinhardt on May 27

After a five-year tenure often marked by controversy and calls from disgruntled shareholders for his resignation, Arun Sarin, 53, CEO of Vodafone, the world’s largest mobile operator by revenues,…

Mr Page Goes to Washington

Posted by: Chi-Chu Tschang on May 23

Google co-founder Larry Page was in Washington D.C. this week to bolster Google’s efforts to gain public access to “white space.” The spectrum, which is in the 700MHz band…

MICROSOFT DANGLES REBATES FOR WEB SHOPPERS

Posted by: Chi-Chu Tschang on May 22

In an attempt to undercut Google’s standing as the most popular guide to the Web, Microsoft is to offer cash incentives for people who use the company’s search engine….

Obama expected to wrap up the delegate majority

Posted by: Chi-Chu Tschang on May 20

The democratic nomination may be heading for closure. On Tuesday, Senator Barack Obama is expected to capture the majority of pledged candidates. However he says he will not declare…

Microsoft Proposes New Yahoo Deal

Posted by: Chi-Chu Tschang on May 19

Microsoft proposed to Yahoo that the two ally on a transaction that is something short of the full acquisition that Microsoft abandoned on May 3. Sources indicate the proposal…

U.S. Senate outlines housing rescue plan

Posted by: Mark Scott on May 16

U.S. Senators are close to agreeing on a housing plan to rescue hundreds of thousands of homeowners at risk of foreclosure. The plan would create a $300 billion mortgage…

U.S. authorities to subpoena UBS client names

Posted by: Mark Scott on May 15

U.S. authorities are expected to subpoena the names of wealthy American clients of the Swiss financial giant UBS in an effort to ascertain whether they used the bank’s services…

Icahn weighs in on Yahoo takeover

Posted by: Mark Scott on May 14

Billionaire New York financier Carl Icahn is considering using his large stake in Yahoo to unseat some of the company’s board members, according to people familiar with the matter….

Airbus delays A380 production

Posted by: Mark Scott on May 13

Aerospace giant Airbus has cut deliveries of its 525-seat A380 plane citing protracted difficulties relating to shifting to automated production. The project — already two years behind schedule —…

HSBC posts further writedowns

Posted by: Mark Scott on May 12

HSBC Holdings, Europe’s biggest bank, said bad debt charges related to its U.S. consumer finance business totaled $3.2 billion for the first quarter of 2008. The latest U.S.-based cost…

Google Execs Hope for Long-Term Ad Deal with Yahoo

Posted by: Chi-Chu Tschang on May 09

Google’s senior executives expressed hope Thursday that the internet search leader can form a potentially lucrative advertising partnership with Yahoo—a deal that would lower the odds of Microsoft renewing…

Calls Increase for Clinton to Quit

Posted by: Chi-Chu Tschang on May 08

After losing big in North Carolina and squeaking past Barack Obama in Indiana, Hillary Clinton has been besieged by calls to quit the race. She has vowed to keep…

Obama Wins North Carolina; Clinton Ekes Out Victory in Indiana

Posted by: Chi-Chu Tschang on May 07

Senator Barack Obama won a commanding victory in the North Carolina primary on Tuesday and lost narrowly to Senator Hillary Rodham Clinton in Indiana, an outcome that injected a…

Oil hits another high, U.S. regulators mull oversight

Posted by: Mark Scott on May 06

Oil prices rose to a new record high for the second day in a row on May 6 after crude oil futures for June rose above $120 a barrel….

Yahoo, Microsoft Left Searching

Posted by: Chi-Chu Tschang on May 05

After Microsoft’s withdrawal of its $45 billion bid for Yahoo, two questions remain unanswered: Does Microsoft’s “no” really mean no? And if it does, what’s next for the companies?…

U.S. proposes $770 million boost for food aid

Posted by: Mark Scott on May 02

The United States took another step to alleviate the growing global food crisis after President George Bush called for $770 million in new aid donations. The package includes $395…

Airlines in Broad Alliance Discussions

Posted by: Andy Reinhardt on May 01

Only days after Continental Airlines rejected an outright merger with United Airlines as too risky, the Houston-based carrier is in discussions with British Airways and American Airlines about a…

Citi Seeks an Additional $3 Billion

Posted by: Andy Reinhardt on April 30

Citigroup, the largest U.S. bank, has tapped the capital markets for the second time in nine days with a $3 billion equity offering intended to boost its balance sheet….

Shell and BP Profits Soar on High Oil Prices

Posted by: Andy Reinhardt on April 29

Europe’s two biggest oil companies, Britain’s BP and Royal Dutch Shell, both announced better-than-expected results as the price of oil continues to soar. BP’s 63% profit growth was much…

Mars, Buffett to Buy Wrigley

Posted by: Chi-Chu Tschang on April 28

Mars, the privately held company behind Snickers and M&M’s chocolates, and Warren Buffett’s Berkshire Hathaway are planning to buy chewing gum company Wrigley for more than $22 billion. The…

Ericsson’s Profit Plunges, Stock Soars

Posted by: Chi-Chu Tschang on April 25

Telecom giant Ericsson reported earnings for the first quarter fell 55% to $445 million. But the results were better than most analysts expected and the stock for the Swedish…

North Koreans Taped at Syrian Reactor Site

Posted by: Chi-Chu Tschang on April 24

North Koreans Taped at Syrian Reactor Site A video showing North Koreans inside a secret Syrian nuclear facility and providing evidence that Pyongyang has been offering its nuclear know-how…

Clinton wins Pennsylvania primary

Posted by: Chi-Chu Tschang on April 23

Senator Hillary Clinton won the Pennsylvania primary on Tuesday, helping to keep her presidential bid alive. She won 55% of the vote to Senator Barack Obama’s 45%, thanks mostly to…

Clinton, Obama Make Last Pitches To Pennsylvania

Posted by: Chi-Chu Tschang on April 22

Sens. Hillary Rodham Clinton and Barack Obama offered Pennsylvania voters their closing arguments on Monday. Clinton continued to say that she is best prepared to serve as president, while…

RBS to Raise Billions from Rights Issue

Posted by: Andy Reinhardt on April 18

The Royal Bank of Scotland, which is still trying to digest its huge acquisition of Dutch bank ABN Amro, may try to raise as much as $24 billion through…

Wall Street turns on General Electric

Posted by: Mark Scott on April 17

In the wake of a surprise earnings shortfall, Wall Street is running out of patience with General Electric — a company that sells everything from jet engines to Hollywood…

Merrill readies for further write downs

Posted by: Mark Scott on April 16

Merrill Lynch is expected to post an additional write down of between $6 billion and $8 billion when it publishes its first quarter earnings on Apr. 17, according to…

Delta and Northwest Agree to Merge

Posted by: Andy Reinhardt on April 15

After fits and starts, Delta Air Lines and Northwest Airlines finally have inked their long-expected merger. The deal will create the world’s largest airline and quickly test the theory…

The Problem of Rising Food Costs

Posted by: Andy Reinhardt on April 14

Leaders of the Group of Seven industrialized nations meeting over the weekend called for urgent action to confront rising food prices around the world. Though their greatest concern lies…

Microsoft Remains Favorite In Crowded Battle for Yahoo

Posted by: Chi-Chu Tschang on April 11

Yahoo’s directors meet Friday to discuss alternatives to a Microsoft takeover, but many insiders still see a Microsoft deal without the participation of News Corp. as the most likely…

Yahoo’s New Bedfellows: Google and AOL

Posted by: Chi-Chu Tschang on April 10

Yahoo is scrambling to cobble together tie-ups that would provide an alternative to Microsoft’s unwelcome takeover offer. Step one is a freshly announced deal to team up with Google…

Oil to average $101 a barrel in 2008

Posted by: Chi-Chu Tschang on April 09

The U.S. Energy Information Administration, an arm of the Energy Department, is predicting that oil will remain above $100 a barrel for this year. This is a sharp upward…

AMD slashes workforce and sales forecast

Posted by: Chi-Chu Tschang on April 08

Advanced Micro Devices plans to cut its workforce by 10%, by about 1,680 employees, in the face of flagging sales growth across all its business segments, the company said….

Novartis will buy Alcon

Posted by: Mark Scott on April 07

In one of the biggest deals in Swiss corporate history, pharma giant Novartis AG announced that it would buy Nestle AG’s majority 77% stake in U.S. eye care company…

Fed official warns of recession, plays down rate cuts

Posted by: Mark Scott on April 04

A senior Federal Reserve official has conceded the U.S. economy could slip into recession, but said the central bank should wait to see if further interest rate cuts would…

Google: What Goes Up…

Posted by: Andy Reinhardt on April 03

Google is finally discovering gravity. First, the company missed Wall Street revenue forecasts in the fourth quarter for the first time. Then a pair of reports from market researcher…

U.S. Congress to ease housing crisis

Posted by: Mark Scott on April 02

Democratic and Republican Congressional leaders are expected to put forward a bipartisan bill to address the U.S. home foreclosure crisis after a previous attempt by Democrats had led to…

Fighting in Iraq Sends Oil Prices Higher

Posted by: Chi-Chu Tschang on March 28

Continuing violence in Basra, the center of Iraq’s oil industry, threatens foreign participation in rebuilding the war torn Middle Eastern country’s petroleum business. On Thursday, a bomb exploded under…

Citigroup pays up for its role in Enron bankruptcy

Posted by: Chi-Chu Tschang on March 27

Citigroup has agreed to pay $1.66 billion to creditors who lost money after giant energy trader Enron collapsed, to settle claims that the bank had helped Enron deceive investors….

Clear Channel Buyout Close to Falling Apart

Posted by: Chi-Chu Tschang on March 26

The proposed $19 billion privatization of Clear Channel Communications, the largest radio broadcaster in the U.S., likely will not go through because private equity firms and banks financing the…

Ford to Announce Jaguar Sale Tomorrow

Posted by: Chi-Chu Tschang on March 25

After months of negotiations, Ford will announce on Wednesday the sale of its Jaguar and Land Rover divisions to Tata Motors. The Indian company, which many people in the…

JPMorgan in Talks to Boost Bear Stearns Bid

Posted by: Chi-Chu Tschang on March 24

JPMorgan Chase was negotiating Sunday night for a deal that would quintuple its offer for Bear Stearns, the troubled investment bank, according to several people involved in the talks….

Report: $100 Billion European Power Deal Shapes Up

Posted by: Andy Reinhardt on March 21

Electricite de France may team up with Spanish construction firm Actividades de Construccion y Servicios to bid more than $100 billion for two of Spain’s largest utility companies, Iberdola…

Visa’s IPO Victory

Posted by: Andy Reinhardt on March 20

The credit card network’s initial public offering was a hit—and a rare sign of strength in a weakened stock market. On Mar. 19, Visa, trading under the stock ticker…

Fed Trims Rates Sharply, Sending Markets Up

Posted by: Andy Reinhardt on March 19

The Federal Reserve cut short-term interest rates by three-quarters of a point, less than some investors had expected, but markets worldwide rallied anyway. The Dow Jones Industrials Average soared…

Is Lehman Brothers Next?

Posted by: Andy Reinhardt on March 18

Is Lehman Brothers Next? The blue chip financial firm’s heavy subprime exposure and minimal writedowns to this point have investors nervous. Lehman shares lost as much as 48.4% of…

JPMorgan Buys Bear on the Cheap

Posted by: Andy Reinhardt on March 17

JPMorgan Buys Bear on the Cheap JPMorgan Chase, the big bank that helped bail out Bear Stearns last Friday, is paying just $2 a share to take over the…

Dollar hits new low

Posted by: Chi-Chu Tschang on March 14

The dollar hit a new record low on Thursday, tumbling to the Euro $1.56 and Y100 mark. It pushed up the price of commodities, especially gold, which touched $1,000…

U.S. To Revamp Credit Rules, Drawing From Crisis Lessons

Posted by: Chi-Chu Tschang on March 13

Top U.S. economic policymakers plan Thursday to release a blueprint designed to prevent a repeat of the credit crunch now imperiling the economy. Their recommendations are wide-ranging, covering mortgage brokers,…

Spitzer to resign Wednesday, aide says

Posted by: Chi-Chu Tschang on March 12

New York Governor Eliot Spitzer will resign Wednesday over a prostitution scandal that has rocked the state, according to a high-ranking aide. The move is a strategy designed to…

UCLA Economists: No Recession

Posted by: Chi-Chu Tschang on March 11

UCLA economists say that the U.S. and California will shrink in the second quarter, but will not plunge into a recession, according to the quarterly UCLA Anderson Forecast released…

Dollar Plunges to Eight-Year Low Against Yen

Posted by: Chi-Chu Tschang on March 10

Currency traders expecting additional interest-rate cuts from the Fed helped send the dollar to its lowest point against the yen since January 2000. The greenback hit a near-record low…

U.S. lenders to look for more capital injections

Posted by: Mark Scott on March 07

In an attempt to strengthen embattled U.S. lenders, federal regulators are pushing companies such as Washington Mutual to seek cash infusions from private-equity firms and sovereign wealth funds, according…

SEC charges Fidelity’s Lynch for improper actions

Posted by: Mark Scott on March 06

The Securities and Exchange Commission has charged Fidelity Investments’ Peter Lynch and 13 other current or former employees with improperly accepting more than $1.6 million in gifts from outside…

Clinton pulls out victories as McCain seals nomination

Posted by: Mark Scott on March 05

Democratic presidential candidate Hillary Clinton breathed new life into her campaign on Mar. 4 after exit polls projected the New York senator winning in the Texas, Ohio, and Rhode…

Lenders agree to protect home buyers from inflationary house appraisals

Posted by: Mark Scott on March 04

Mortgage lenders Fannie Mae and Freddie Mac have agreed to stop using in-house staff for initial home appraisals in an attempt to protect buyers from fraudulently-inflated housing prices. Under the…

In Ohio, It’s Really About the Economy

Posted by: Andy Reinhardt on March 03

In Ohio, It’s Really About the Economy As voters head to the polls Tuesday for a key primary contest, the state’s shaky economy is playing a critical role in…

Dems Set New Fundraising Record

Posted by: Chi-Chu Tschang on February 29

The Democrat candidates are setting new records in raising money for the 2008 Party presidential nomination. Senator Hillary Rodham Clinton announced yesterday that she pulled in $35 million in…

Conservative Icon William F. Buckley Jr. Dies

Posted by: Chi-Chu Tschang on February 28

William F. Buckley Jr., the 82-year-old founder of the conservative journal, the National Review, prolific political essayist and author of more than 50 books, died in his Connecticut home….

Bush, Congress At Odds Over Mortgage Relief Bill

Posted by: Chi-Chu Tschang on February 27

An intensely political battle over how to solve the worst mortgage crisis in the U.S. since the Great Depression is forming along party lines. Senate Democrats gathered support for…

U.S. stocks rally

Posted by: Chi-Chu Tschang on February 26

The market rose Monday after Standard & Poor’s reiterated its top rating for bond insurer Ambac Financial, and took another insurer, MBIA, off its credit-watch list. Fears that Ambac…

Electronic Arts Makes $2 Billion Bid for Take-Two

Posted by: Chi-Chu Tschang on February 25

In an effort to create the world’s largest maker of video games, Electronic Arts has launched a $2 billion bid to take over Take-Two, the publisher of the Grand…

U.S. Government Weighs Rescue for Homeowners in Debt

Posted by: Andy Reinhardt on February 22

U.S. Government Weighs Rescue for Homeowners in Debt With the share of U.S. homeowners whose mortgages are worth more than their properties at its highest level since the Depression,…

Fed lowers 2008 growth forecasts

Posted by: Mark Scott on February 21

The Federal Reserve reduced its forecast for growth in 2008 due to a lagging housing market, continued instability in the financial markets, and uncertainty over consumer spending. The new…

McCain and Obama move one step closer to nominations

Posted by: Chi-Chu Tschang on February 20

Senators John McCain (R-Ariz.) and Barack Obama (D-Ill.) won decisive victories on Feb. 19 to take a further step in becoming their parties’ presidential nominees. For the Democrats, Obama…

U.S. banks borrow $50 billion from Fed

Posted by: Chi-Chu Tschang on February 19

U.S. banks have borrowed nearly $50 billion of one-month funds from the Federal Reserve to help offset the lack of available credit. Through the Fed’s newly-created Term Auction Facility,…

U.S. Will Try to Shoot Down Spy Satellite

Posted by: Chi-Chu Tschang on February 15

A U.S. Navy cruiser in the Pacific Ocean will try to shoot down an out-of-control U.S. spy satellite that is loaded with toxic fuel. President George W. Bush authorized…

Rupert Murdoch a White Knight?

Posted by: Chi-Chu Tschang on February 14

Yahoo and Rupert Murdoch’s News Corp. are in talks about mixing Yahoo’s business with News Corp’s Internet businesses, including social networking site MySpace. News Corp. and a private equity…

Obama, McCain Sweep Virginia, Maryland, D.C.

Posted by: Chi-Chu Tschang on February 13

Senator Barack Obama swept the “Potomac Primary” in Virginia, Maryland, and Washington D.C. Tuesday in a landslide, giving his campaign for the Democratic Party’s nomination for the presidency a…

US mortgage crisis hits prime loans

Posted by: Chi-Chu Tschang on February 12

With home prices falling as a consequence of the sub-prime crisis, Americans with solid credit histories are finding themselves in a jam. With lower home prices, they are unable…

Clinton Drops Campaign Manager

Posted by: Chi-Chu Tschang on February 11

Sen. Hillary Rodham Clinton on Sunday replaced her campaign manager Patti Solis Doyle with Maggie Williams, her previous chief of staff, following a series of state electoral losses to…

Inflation Worries the Fed

Posted by: Chi-Chu Tschang on February 08

Federal Reserve officials are showing a willingness to cut interest rates again at their next meeting, but concerns over inflation are rising. Amid weakening economic data, futures markets are…

Northwest, Delta Merger Talks Near Deal

Posted by: Chi-Chu Tschang on February 07

Delta Air Lines and Northwest Airlines are close to a possible deal in their merger talks, according to people with knowledge of the meetings. A deal, which is likely…

Obama and Clinton fight to a Draw

Posted by: Chi-Chu Tschang on February 06

No knockout blows for the Democrats on Super Tuesday. Sen. Hillary Clinton won the biggest prize, defeating Sen. Barack Obama in the California primary, and also triumphed in New…

Microsoft May Sell Bonds to Buy Yahoo

Posted by: Chi-Chu Tschang on February 05

Microsoft will need to borrow money for the first time in its 32-year history to fund its proposed $44.6 billion acquisition of Yahoo. Microsoft chief financial officer Chris Liddell…

Google Offers to Help Yahoo Resist Microsoft

Posted by: Chi-Chu Tschang on February 04

Google Chief Executive Eric Schmidt called Yahoo Chief Executive Jerry Yang Friday to offer a hand in fighting off Microsoft’s hostile $44.6 billion bid for Yahoo. Google has publicly…

Alcoa, Chalco Buy 12% Stake in Rio Tinto

Posted by: Chi-Chu Tschang on February 01

The world’s two largest aluminum companies, Alcoa and Aluminum Corp of China, also known as Chalco, have secretly acquired a 12% stake in Rio Tinto for $1.2 billion, days…

Amazon Unfazed by Economic Slowdown

Posted by: Chi-Chu Tschang on January 31

Amazon’s profits more than doubled to $207 million in the fourth quarter. The e-commerce giant said it sees little sign of a slowdown in consumer spending in the U.S….

McCain Wins Florida’s GOP Primary

Posted by: Chi-Chu Tschang on January 30

Arizona Senator John McCain won Florida’s Republican presidential primary, catapulting him over former Massachusetts Governor Mitt Romney as the front-runner in the GOP presidential race. Former New York City…

Malone Takes Aim at Diller

Posted by: Chi-Chu Tschang on January 29

John Malone’s Liberty Media, which has been trying for months to buy Home Shopping Network from IAC/Interactive Corp., filed suit to oust IAC chief executive Barry Diller from the…

Bush’s State of the Union to Focus on Economy

Posted by: Chi-Chu Tschang on January 28

President George W. Bush will make the U.S. economy the focus of his final State of the Union Monday night and urge Congress to quickly approve quickly the $150…

So That’s Why Meg is Retiring

Posted by: Chi-Chu Tschang on January 25

EBay chief executive Meg Whitman, who will be retiring Mar. 31, has talked with top Republicans about the possibility of running for governor of California in 2010. Whitman became…

Asian Markets Rally After Fed Cuts Rates

Posted by: Chi-Chu Tschang on January 23

Asian stock markets bounced back after the Federal Reserve surprised the financial markets and cut interest rates by three-quarters of a percentage point. Rumors that the European Central Bank…

Asian Markets Plunge for Second Day

Posted by: Chi-Chu Tschang on January 22

Stock markets in Asia plummeted for a second straight day over concerns about a recession in the U.S. and a slowdown in China. Nervous investors sold their shares after…

Asian Stocks Fall Again

Posted by: Chi-Chu Tschang on January 21

Asian stocks fell again on concerns that the U.S. economy is sliding into a recession. Japan’s benchmark Nikkei 225 Stock Average fell 3.9% to 13,325.94, its lowest level since…

Directors Come to Terms with Hollywood Studios

Posted by: Chi-Chu Tschang on January 18

The Directors Guild of America reached a three-year contract with the major Hollywood studios over compensation for the digital distribution of TV shows and movies over the Internet, cell…

Bernanke to Offer Support for Stimulus Package

Posted by: Chi-Chu Tschang on January 17

Chairman of the Federal Reserve Ben Bernanke will testify before the House Budget Committee Thursday and tell lawmakers that he can support tax cuts or spending measures to stimulate…

Romney Wins Michigan Primary

Posted by: Chi-Chu Tschang on January 16

Former Massachusetts governor Mitt Romney won the Michigan primary after promising to revitalize the auto industry. The victory by Michigan native Romney, whose father was governor of Michigan in…

Citigroup Expected to Announce $20 Billion Loss

Posted by: Chi-Chu Tschang on January 15

Citigroup is expected to announce a write-down of up to $20 billion, the biggest loss by a Wall Street investment bank from the subprime mortgage crisis, when it announces…

Senate Investigates Sovereign Wealth Funds

Posted by: Chi-Chu Tschang on January 11

The U.S. Senate has ordered an inquiry into sovereign wealth funds controlled by foreign governments to find out how much money these funds control, where it has been invested,…

Citi, Merrill Looking Overseas for More Money

Posted by: Chi-Chu Tschang on January 10

Citigroup and Merrill Lynch are in discussions to get additional capital injections from foreign governments before they report earnings next week, which are expected to uncover more losses from…

Clinton, McCain Win New Hampshire Primary

Posted by: Chi-Chu Tschang on January 09

Senator Hillary Clinton won the New Hampshire Democratic presidential primary in a surprising victory. Polls taken in the past week had her trailing rival Senator Barack Obama in New…

James Cayne Steps Down As Bear Stearns CEO

Posted by: Chi-Chu Tschang on January 08

James Cayne has told board members that he is stepping down as the chief executive of Bear Stearns. However, Cayne, 73, will stay on as non-executive chairman. Bear Stearns…

Warner Bros. Chooses Blu-Ray Over HD DVD

Posted by: Chi-Chu Tschang on January 07

Warner Brothers has decided to release its movies exclusively on Sony’s Blu-ray DVD format starting in May, tipping the DVD format wars in favor of the Blu-ray format. Warner’s…

Obama, Huckabee Win Iowa Caucus

Posted by: Chi-Chu Tschang on January 04

Senator Barack Obama of Illinois and former governor of Arkansas Mike Huckabee won the Iowa caucus, the first step in their bid to become the Democratic and Republican parties’…

California Sues EPA

Posted by: Chi-Chu Tschang on January 03

Following through with its threat, California led 15 other states in filing a lawsuit against the Environmental Protection Agency for refusing to let the state limit greenhouse gas emissions…

Letterman Returns with Writers, Leno Faces Picketers

Posted by: Chi-Chu Tschang on January 02

Five network late night talk show, including “The Late Show with David Letterman” and “The Tonight Show With Jay Leno,” will return to air Jan. 2 for the first…

Pakistan to Decide Jan. 1 on Elections

Posted by: Chi-Chu Tschang on December 31

Pakistani electoral officials will decide Tuesday whether to go ahead with the scheduled Jan. 8 elections. Some electoral officials have recommended that the elections be postponed for as long…

ING Sells Reinsurance Unit to Warren Buffett

Posted by: Chi-Chu Tschang on December 28

ING will sell its reinsurance unit, NRG, to Warren Buffett’s Berkshire Hathaway for $440 million. The Dutch financial services company will take a capital loss after tax of about…

Apple Signs Fox to New Online DVD Rental Model

Posted by: Chi-Chu Tschang on December 27

Apple has signed News Corp.’s 20th Century Fox movie studio to a new business model that allows customers to rent DVDs by downloading a digital copy from iTunes platform…

Warren Buffett Buys Marmon from Pritzker Family

Posted by: Chi-Chu Tschang on December 26

Warren Buffett’s investment company, Berkshire Hathaway, will pay $4.5 billion to acquire 60% of Marmon Holdings from the Pritzker family, who own the Hyatt Hotel chain. Marmon is a…

Procrastinators May Help Retailers Hit Sales Targets

Posted by: Chi-Chu Tschang on December 24

Retailers are hoping and praying that last-minute holiday shoppers will help them meet the National Retail Federation projected 4% increase in sales this holiday season, the smallest gain in…

Merrill Lynch May Get $5 Bln From Singapore Wealth Fund

Posted by: Chi-Chu Tschang on December 21

Merrill Lynch may get as much as $5 billion from the Singaporean sovereign wealth fund, Temasek, becoming the latest Wall Street investment bank suffering from subprime mortgage losses to…

EPA Rejects 17 States’ Efforts to Cut Auto Emissions

Posted by: Chi-Chu Tschang on December 20

The Environmental Protection Agency denied California and 16 other states the right to set their own rules for carbon dioxide emissions from cars. E.P.A. administrator Stephen Johnson said that…

FCC Relaxes Cross-Media Ownership Rules

Posted by: Chi-Chu Tschang on December 19

The Federal Communications Commission lifted a 32-year-old ban preventing newspaper owners from also owning a radio or television station in the same city. The three Republicans on the FCC,…

ECB Steps in to Boost Liquidity (Again)

Posted by: Chi-Chu Tschang on December 18

The European Central Bank will offer unlimited funds at below-market interest rates to increase liquidity in response to the credit squeeze tying up the financial markets. Europe’s central bank…

Greenspan Favors Gov’t Helping Homeowners

Posted by: Chi-Chu Tschang on December 17

Alan Greenspan, former chairman of the Federal Reserve, said that the government should provide direct financial assistance to homeowners threatened by foreclosures because it would be more effective than…

Citigroup Bails Out Seven SIVs

Posted by: Chi-Chu Tschang on December 14

Citigroup is bailing out seven structured-investment vehicles (SIV) affiliates and bringing $49 billion in assets onto its already-shaky balance sheet. Two days into his tenure, Citigroup CEO Vikram Pandit…

U.S., China Agree on Environment, Not Much Else

Posted by: Chi-Chu Tschang on December 13

Unable to see eye-to-eye on major financial services and trade tariffs issues during a two-day summit, the U.S. and China signed a 10-year agreement to cooperate on clean technology….

New CEO of Citi

Posted by: Chi-Chu Tschang on December 12

Citigroup on Dec. 11 announced the new top executives to get the troubled financial-services giant back on track. Vikram Pandit, an insider who was considered the front runner for…

Markets Expecting Fed to Cut Rates Today

Posted by: Chi-Chu Tschang on December 11

Wall Street is expecting the Federal Reserve to cut interest rates for the third time this year today. Federal Reserve Chairman Ben Bernanke’s decision will convey just how worried…

UBS Gets $11.5 Billion Injection to Cover Fresh Losses

Posted by: Chi-Chu Tschang on December 10

UBS received a $11.5 billion capital injection from the Government of Singapore Investment Corp and an unidentified Middle Eastern investor to cover fresh losses. Europe’s largest bank by asset…

Bush’s Mortgage Plan Stirs Resentment

Posted by: Chi-Chu Tschang on December 07

Americans who sat out the housing boom are resentful that the plan to freeze interest rates on mortgages President George W. Bush unveiled Thursday is rewarding their friends who…

Mortgage Lenders to Freeze Interest Rates for 5 Years

Posted by: Chi-Chu Tschang on December 06

President George W. Bush will announce an agreement Thursday afternoon with major mortgage firms to freeze interest rates for five years to help prevent homeowners from defaulting on the…

OPEC To Keep Oil Output Steady

Posted by: Chi-Chu Tschang on December 05

The Organization of Petroleum Exporting Countries will keep oil production unchanged, member countries decided at a closed-door meeting in Abu Dhabi, United Arab Emirates Wednesday. The move had been…

Paulson Unveils Mortgage Relief Plan

Posted by: Chi-Chu Tschang on December 04

U.S. Treasury Secretary Henry Paulson unveiled the details of the Bush administration’s plan to offer homeowners relief from the subprime mortgage crisis. The proposal includes granting temporary new powers…

Vivendi Buys Activision

Posted by: Chi-Chu Tschang on December 03

French entertainment and telecom conglomerate Vivendi SA will merge with American videogame company Activision to form a new company called Activision Blizzard. Vivendi will exchange its Vivendi Games and…

Bernanke Open to Rate Cut

Posted by: Chi-Chu Tschang on November 30

Federal Reserve Board Chairman Ben Bernanke said that the housing downturn and ensuing credit crunch in financial markets is adding “greater than usual” uncertainty in the U.S. economy’s prospects….

Paulson: Help for Homeowners Coming

Posted by: Chi-Chu Tschang on November 29

Treasury Secretary Henry Paulson said that banks, servicers and investors are close to finalizing a template before the end of the year to help eligible homeowners to renegotiate adjustable-rate…

Israelis, Palestinians Pledge to Reach Peace Agreement

Posted by: Chi-Chu Tschang on November 28

Israeli and Palestinian leaders agreed to begin formal talks for the first time in seven years to strike a comprehensive peace deal, including the creation of a Palestinian state,…

Abu Dhabi Fund Becomes Citigroup’s Largest Shareholder

Posted by: Chi-Chu Tschang on November 27

The Abu Dhabi Investment Authority is buying a 4.9% equity stake in Citigroup for $7.5 billion. The stake will make the Middle Eastern sovereign wealth fund the largest shareholder…

Rio Tinto Rebuffs BHP Billiton

Posted by: Chi-Chu Tschang on November 26

Rio Tinto rebuffed BHP Billiton’s takeover bid for the world’s third largest mining company by spending $2.4 billion on acquiring new mines, raising dividends to 30% this year and…

Retailers Expect Weaker Black Friday This Year

Posted by: Chi-Chu Tschang on November 23

Some of America’s largest retailers opened doors earlier on “Black Friday” this year because they are worried that the weaker economy and high gas prices will depress holiday spending….

Freddie Mac’s $2 Billion Loss Sends Shares Tumbling 29%

Posted by: Chi-Chu Tschang on November 21

Freddie Mac posted a $2 billion loss in the third quarter due to the subprime mortgage crisis. The earnings results shocked the financial markets. Freddie Mac is considered a…

Overseas Sales Help HP’s Earnings Beat Consensus

Posted by: Chi-Chu Tschang on November 20

Hewlett-Packard not only reported stronger fourth-quarter net profit and sales than the Wall Street consensus, but also raised its forecasts for the coming quarter. The world’s largest technology company’s…

Venezuela, Iran Blame High Oil Prices on Weak U.S. Dollar

Posted by: Chi-Chu Tschang on November 19

President of Iran Mahmoud Ahmadinejad and President of Venezuela Hugo Chavez blamed the high oil prices on the weak U.S. dollar at the Organization of Petroleum Exporting Countries summit…

Court Rejects Bush Administration’s SUV Fuel Standards

Posted by: Chi-Chu Tschang on November 16

A three-judge panel of the Ninth Circuit Court of Appeals in San Francisco rejected the Bush administration’s fuel-economy standards for light trucks and sport utility vehicles, saying that federal…

Now Barclays’ Turn

Posted by: Chi-Chu Tschang on November 15

Barclays will write down $2.7 billion due to losses from the U.S. subprime mortgage market collapse. The United Kingdom’s third-largest bank originally took a $1.65 billion hit in October….

Bush Vetoes Domestic Spending Bill, Signs Defense Bill

Posted by: Chi-Chu Tschang on November 14

President George W. Bush vetoed a $606 billion Democratic-sponsored bill to fund education, health and labor programs, saying that the bill is too expensive and filled with pork projects….

Asian Stock Markets Tumble

Posted by: Chi-Chu Tschang on November 12

Stock markets across Asia plummeted Monday, led by the Tokyo and Hong Kong, on fresh reports of a weaker dollar and more subprime losses in the U.S. The Nikkei…

Merck to Settle Vioxx Lawsuits for $4.85 Billion

Posted by: Chi-Chu Tschang on November 09

Merck has agreed to pay $4.85 billion to settle 27,000 lawsuits filed against the drug maker over injuries and deaths caused by its Vioxx painkiller. The settlement is one…

Subprime Fallout Continues

Posted by: Chi-Chu Tschang on November 08

Morgan Stanley forecasts a $3.7 billion fourth quarter write-off for bad loans due to subprime mortgages from August to October. The write down, which is broadly in line with…

GM Takes $39 Bln Charge, Will Post Biggest Loss in History

Posted by: Chi-Chu Tschang on November 07

General Motors will take a $39 billion non-cash charge to write down deferred-tax credits, setting the stage for the world’s largest auto maker to post the biggest loss in…

Banks to Retry Selling $10 Bln Chrysler Loans

Posted by: Chi-Chu Tschang on November 06

JP Morgan Chase, Citigroup, Goldman Sachs, Morgan Stanley and Bear Stearns will begin marketing on Wednesday $10 billion in loans for Chrysler’s automotive business, in a sign that the…

Former Treasury Secretary Named Citigroup Interim Chairman

Posted by: Chi-Chu Tschang on November 05

Former Treasury Secretary and Citigroup board member Robert Rubin was named interim chairman of Citigroup after Charles Prince III stepped down at an emergency board meeting Nov. 4. Head…

Hollywood Writers to Strike Over Royalties

Posted by: Chi-Chu Tschang on November 02

Leaders of the union representing Hollywood writers declared that they would go on strike in the first walkout of film and TV writers in nearly two decades. The Writers…

Strike Looms as Hollywood Talks Break Down

Posted by: Chi-Chu Tschang on November 01

The Writers Guild of America and the Alliance of Motion Picture and Television Producers failed to reach an agreement on a new labor contract and broke off talks, six…

Japan Leaves Interest Rates Unchanged. Will U.S. Follow?

Posted by: Chi-Chu Tschang on October 31

As expected, Japan’s central bank left its benchmark interest rates unchanged at 0.5% as Japan’s economy starts to show signs of slowing. The BOJ expects the Japanese economy will…

Wall Street Expecting Fed to Cut Rates Wednesday

Posted by: Chi-Chu Tschang on October 30

Wall Street is betting that the Federal Reserve will cut interest rates again Wednesday. Since the last Fed cut six weeks ago, more troubling economic figures have come out….

O’Neal Expected to Resign as Merrill Lynch CEO

Posted by: Chi-Chu Tschang on October 29

E. Stanley O’Neal is expected to resign as the chairman and CEO of Merrill Lynch as early as today, the investment bank’s board of directors has decided. Merrill Lynch…

Merrill’s O’Neal Floats Idea of Merging with Wachovia

Posted by: Chi-Chu Tschang on October 26

Merrill Lynch CEO E. Stanley O’Neal floated the idea of merging the troubled Wall Street bank with Charlotte, North Carolina-based Wachovia without first getting approval of Merrill’s board of…

Microsoft Buys 1.6% Stake in Facebook for $240 Million

Posted by: Chi-Chu Tschang on October 25

Microsoft finally beat Google and Yahoo! at something when it agreed to buy a 1.6% stake in social networking site Facebook for $240 million. The deal values the three-year-old…

Southern California Fires to Cost $500 Mln in Damages

Posted by: Chi-Chu Tschang on October 24

The wildfires in Southern California will cost at least $500 million in damages, including from 1,155 homes destroyed, lost business activity and expenses for evacuating 881,500 people, according to…

More Homeowners Using Bankruptcy to Stay in Homes

Posted by: Chi-Chu Tschang on October 23

More homeowners are filing for bankruptcy to stay in their homes. Consumer bankruptcy filing increased nearly 23% last month from a year earlier. Homeowners who file for bankruptcy under Chapter…

Bear Stearns, Citic Near Deal to Take Stakes in Each Other

Posted by: Chi-Chu Tschang on October 22

Bear Stearns and Chinese brokerage Citic Securities are close to finalizing a deal where both investment banks will invest about $1 billion in one another. Citic will receive roughly…

Oil Breaks $90 a Barrel Barrier For First Time

Posted by: Chi-Chu Tschang on October 19

Oil prices broke $90 a barrel for the first time ever as tensions in Turkey and the weak dollar drove up demand for oil. The record high oil prices…

Fed’s Latest Figures: Housing Cools, Inflation Rises

Posted by: Chi-Chu Tschang on October 18

The Federal Reserve released its summary of current economic conditions, known as the Beige Book, Oct 17 showing signs that consumer-level inflation is too high for comfort and the…

India’s Stock Market Plunges on New Curbs on Foreign Investment

Posted by: Chi-Chu Tschang on October 17

India’s stock market plunged sharply Wednesday morning after the financial markets regulator proposed rules to curb foreign funds from investing in Indian stocks. The Sensex, the 30-share benchmark index…

Fed Chief Bernanke Says Rates Cuts Ease Pressure

Posted by: Chi-Chu Tschang on October 16

Federal Reserve Chairman Ben Bernanke said that the central bank’s recent rate cuts and other actions have reduced some of the pressure in financial markets and increased the likelihood…

Bush Pledges to Push Free Trade Agenda

Posted by: Chi-Chu Tschang on October 12

President George W Bush vowed to revive his administration’s free-trade agenda, despite flagging support for globalization and free trade within his own Republican Party. Bush is trying to pass…

Bank of Japan Leaves Interest Rates Unchanged at 0.5%

Posted by: Chi-Chu Tschang on October 11

As expected, the Bank of Japan left its benchmark interest rate unchanged at 0.5 percent after concluding that it needed more time to assess whether the subprime mortgage crisis…

Sluggish Imports Portend Slowing Economy

Posted by: Chi-Chu Tschang on October 09

Fewer container ships bearing imported goods are arriving in American ports, in another sign that the U.S. economy is slowing down. According to Global Insight, cargo unloaded at the…

Royal Bank of Scotland to Buy ABN Amro for $101 Bln

Posted by: Chi-Chu Tschang on October 05

A three-way consortium led by Royal Bank of Scotland is expected to buy ABN Amro Holding for $101 billion in the world’s largest banking takeover ever. The new owners…

UBS Writes Off $3.4 Bln, Fires 1,500 Investment Bankers

Posted by: Stuart Jackson on October 01

Swiss banking giant UBS wrote down $3.4 billion in its fixed-income portfolio after suffering from massive losses on investments in the US sub-prime mortgage-related securities. Switzerland’s largest bank expects…

Earnings Slowdown

Posted by: Stuart Jackson on September 28

Even if the US economy manages to avoid slipping into recession, the outlook for corporate profits has deteriorated markedly. Third-quarter profits among companies in the S&P 500 are expected…

Global Stocks Surge

Posted by: Stuart Jackson on September 27

Asian stocks rallied, with Hong Kong’s Hang Seng index hitting a new high, and benchmark indices in Tokyo, Seoul, and Taipei gaining more than 1%. Shares in Europe climbed…

GM and UAW Reach Agreement, End Strike

Posted by: Stuart Jackson on September 26

General Motors and the United Automobile Workers reached an agreement at 3:05 A.M. Wednesday morning ending a two-day strike. On Monday, 73,000 union workers walked out on GM after negotiations…

Desperate Liaison

Posted by: Stuart Jackson on September 25

Microsoft is in talks to acquire a 5% stake in fast-growing social-networking site Facebook for $300 million to $500 million, a deal that would value the three-year-old start-up at…

GM, UAW Near Deal

Posted by: Stuart Jackson on September 24

United Auto Workers and General Motors were headed toward agreement on a new four-year contract that would shift the burden of rdetiree health-care costs to a new union-run trust…

Dream Team Nightmare

Posted by: Stuart Jackson on September 21

Director Steven Spielberg and partner David Geffen, with Jeffrey Katzenberg the founders of the Dreamnworks film studio, are in an increasingly public and acrimonious battle with corporate parent Viacom…

Dubai’s Global Play

Posted by: Stuart Jackson on September 20

Borse Dubai, the government-owned exchange that is supposed to become a centerpiece of a new international financial center, will acquire a 19% stake in Nasdaq, the second-biggest US stock…

The Fed Throws a Global Party

Posted by: Stuart Jackson on September 19

Stocks soared in Asia, with most major market indices posting gains of 3% or more. Japan’s Nikkei 225 jumped 3.7%, its biggest one-day rally in more than five years….

It’s IBM vs. Microsoft—Again

Posted by: Stuart Jackson on September 18

IBM will offer free office software on the internet beginning tomorrow that it hopes will lure corporate users away from Microsoft’s dominant Office Suite products—and spur demand for its…

GM, UAW Talks Turn Critical

Posted by: Stuart Jackson on September 17

General Motors and the United Auto Workers have made substantial progress in talks on a new contract, agreeing in principle on the creation of a union-administered trust fund that…

Rescue for British Lender

Posted by: Stuart Jackson on September 14

The credit crunch claimed its first big British victim as the Bank of England agreed to provide emergency financial backing for Northern Rock, one of the country’s largest mortgage…

Down to the Wire

Posted by: Stuart Jackson on September 13

Kolhberg Kravis Roberts and its bankers are still wrestling over just how much debt—and on what terms—the lenders will try to sell to finance the buyout firm’s $26 billion…

Dollar Doldrums

Posted by: Stuart Jackson on September 12

US currency slumps to a record low of almost $1.39 against the euro as traders bet the Federal Reserve’s policy-making Open Market Committee will cut short-term interest rates by…

Boiling Over

Posted by: Stuart Jackson on September 11

China’s inflation accelerated to 6.5% in August, the fastest pace in 10 years, on the back of soaring food prices, and the monthly trade surplus widened to the second-highest…

Stocks Fall on Slowdown Fears

Posted by: Stuart Jackson on September 10

Asian stocks declined, and European shares were down in morning trading after a report that Japan’s economy shrank more than expected in the second quarter. UIS stock index futures…

Still on Edge

Posted by: Stuart Jackson on September 07

Asian shares fell, closing out the first losing week in three, and European shares were down in early trading, led by financial stocks as investors fretted that bank earnings…

Core Conundrum

Posted by: Stuart Jackson on September 06

Since the oil and food price shocks of the 1970s, it’s been accepted wisdom that “highly volatile” food and energy prices should be excluded from the “core” inflation rate…

High Rise Deep Freeze

Posted by: Stuart Jackson on September 05

The roaring market for commercial property has all but ground to a halt as the credit crunch dries up lending and prospective buyers walk away. Until recently strong demand…

A September Swoon?

Posted by: Stuart Jackson on September 04

September, historically a down month for US stocks, is likely to live up to its reputation, at least at the opening gun. After declines in Asia and Europe, US…

ARM Wrestling

Posted by: Stuart Jackson on August 31

The Bush Administration will move today to address a ticking time bomb—the huge number of adjustable rate mortgages that will be reset—almost certainly at higher levels—in the next few…

Mortgage Madness

Posted by: Stuart Jackson on August 30

Is it really just as risky to offer a mortgage to the buyer of an $800,000 home in Southern California as it is to lend money to Argentina, a…

Global Stocks Fall

Posted by: Stuart Jackson on August 29

Stocks fell in Asia and Europe in the wake of Wall Street’s biggest one-day decline in three weeks. US stock index futures rose, however, suggesting the roller-coaster may be…

Central Banks in Retreat

Posted by: Stuart Jackson on August 28

One by one, the world’s central banks are backing away from their earlier resolve to fight what many saw as a growing threat from accelerating inflation in the face…

Global Rally Keeps Rolling

Posted by: Stuart Jackson on August 27

Asian shares posted strong gains, with the benchmark MSCI regional index rising 0.9% to its highest in two weeks. European stocks followed suit, headed for their seventh straight gain….

First Casualty

Posted by: Stuart Jackson on August 24

The sale of Home Depot’s wholesale distribution unit to a group of private equity firms hung in the balance late Thursday even though the struggling do-it-yourself retailer offered to…

Calming Down

Posted by: Stuart Jackson on August 23

Stocks rose in Asia and Europe, and US stock index futures gained, indicating Wall Street will open higher, as investor anxiety over the impact of the global credit squeeze…

Betting on the Fed

Posted by: Stuart Jackson on August 22

Asian stocks posted small gains, while European shares climbed in early trading. Stock index futures rose, indicating US markets will open higher. The increases were fueled by growing investor…

Global Rally Runs Out of Gas

Posted by: Stuart Jackson on August 21

After strong gains in Asia, with a key regional index rising 1.5%, share prices fell in Europe in morning trading and US stock index futures declined, signaling that Wall…

Asian Shares Rebound

Posted by: Stuart Jackson on August 20

Asian stocks staged their biggest rally in more than a year, and European shares rose in morning trading, after the Federal Reserve’s surprise discount-rate cut Friday restored a measure…

Asian Stocks Plunge

Posted by: Stuart Jackson on August 17

Shares fell across the region, with Japan’s benchmark TOPIX index falling 5.55% as investors dumped the shares of the country’s big exporters in the face of the yen’s rapid…

Global Rout Continues

Posted by: Stuart Jackson on August 16

Shares fell across-the-board in Asia and in early European trading, and stock index futures in the US sank, implying Wall Street will open down. Financial institutions and mining companies…

That Sinking Feeling

Posted by: Stuart Jackson on August 15

Share prices fell across Asia, and European stocks were broadly down in morning trading, led by banks. In New York, stock index futures fell, indicating shares will open lower….

Stocks Falter on Credit Woes

Posted by: Stuart Jackson on August 14

European shares were down in morning trading after Asian markets closed mixed. Japan and Hong Kong gained, while Korea, Taiwan and other regional markets slipped. Financial stocks were among…

Markets Bounce Back

Posted by: Stuart Jackson on August 13

Asian shares posted modest gains and European stocks rose in morning trading as a measure of calm returned to global markets. US stock index futures gained, suggesting Wall Street…

Asian Stocks Slump

Posted by: Stuart Jackson on August 10

Share prices plunged across Asia Friday, posting their biggest declines in a year, as the spreading credit crunch spooked investors. Even China’s markets, which because of strict capital controls…

Cross Purposes

Posted by: Stuart Jackson on August 09

In one corner, a company perhaps best known for selling baby oil and bandages. In the other, what’s probably the world’s best-known charity. The prize: a centuries-old symbol, the…

Router Riches

Posted by: Stuart Jackson on August 08

Shares of Cisco Systems, the world’s biggest manufacturer of computer-networking equipment, surged almost 6% in after-hours trading after the company dsaid profits leapt 25 % in the fourth quarter…

Fear Rules

Posted by: Stuart Jackson on August 07

US Treasuries, the world’s safest and most liquid investment, are on track to earn 5.3% this year, their best performance in five years. That performance, which few would have…

New Boss at Chrysler

Posted by: Stuart Jackson on August 06

Cerberus Capital Management named Robert Nardelli, the controversial former boos of Home Depot, as chairman and chief executive as the buyout firm moved to put its stamp on the…

Housing Lenders Grow Tight-fisted

Posted by: Stuart Jackson on August 03

Even would-be buyers with relatively good credit histories are going to have to pay more—if they can get financing at all. The fallout from the subprime lending fiasco, which…

Mattel Recalls China-Made Toys

Posted by: Stuart Jackson on August 02

Company’s Fisher-Price unit recalls almost 1 million toys, ma y of them featuring characters from Sesame Street and Nickelodeon, because they were coated in lead paint. What’s especially worrisome…

Now What?

Posted by: Stuart Jackson on August 01

div id=”topStory”> Rupert Murdoch finally got his wish, gaining control of the Wall Street Journal in a deal worth $5.6 billion. So what’s he going to do with his prize?…

In the Bag?

Posted by: Stuart Jackson on July 31

Rupert Murdoch appeared close to achieving his long-held goal of buying the Wall Street Journal and the rest of Dow Jones for $5 billion. Though some members of the…

Showtime for Bancroft Clan

Posted by: Stuart Jackson on July 30

The long-running melodrama over the fate of Dow Jones should get some clarity on July 30 in New York. The Bancroft family, which controls Dow Jones via a numbingly…

Asian Stocks Plunge

Posted by: Stuart Jackson on July 27

Friday’s plunge in Asia brings the total decline in global market value since the rout began on Wall Street Thursday to $1.3 trillion. Every market in Asia-Pacific fell except…

Why Apple Shines

Posted by: Stuart Jackson on July 26

Revenue’s nice, but the bottom line is what matters—and Apple’s ability to build a family of products that share technology and marketing costs gives it an edge over rivals….

Golden State Blues

Posted by: Stuart Jackson on July 25

Foreclosures hit all-time high in California in second quarter as falling prices and tighter lending standards bite. Analysts expect the deepening housing slump will lead consumers to curtail spending,…

Turning Off the Taps

Posted by: Stuart Jackson on July 24

Collateralized debt obligations, or CDOs, may sound esoteric, but the virtual shutdown of the market in recent weeks is making it harder and harder for everyone from individuals to…

Barclays Turns to Asia

Posted by: Stuart Jackson on July 23

British lender will sell a combined stake of as much as 10% to government-owned infrastructure lender China Development Bank and Singapore state investment group Temasek to fund higher offer…

Redstone Redux

Posted by: Stuart Jackson on July 20

Sumner Redstone, the mercurial chief of Viacom and CBS, has a long history of tossing would-be successors overboard. This time he’s fallen out with his daughter and putative heir-apparent…

China’s Runaway Growth

Posted by: Stuart Jackson on July 19

Economy grew an astonishing 11.9% in the second quarter, the fastest pace in 12 years, and exceeding all analysts’ expectations. Beijing must now decide whether it’s finally time to…

Up in Smoke

Posted by: Stuart Jackson on July 18

Bear Stearns admitted that two hedge funds it manages—valued at $1.6 billion in March—are now virtually worthless. The investment bank, supposedly one of the savviest players in the mortgage…

Murdoch, Dow Jones Reach Deal

Posted by: Stuart Jackson on July 17

Murdoch holds firm to initial $5 billion offer in the absence of any counter bids. The divided Bancroft family, who control almost two-thirds of Dow Jones’ voting rights, could…

Ford Eyes Volvo Sale

Posted by: Stuart Jackson on July 16

Struggling carmaker, already losing billions, now faces plummeting sales in its home market. Selling its European high-end brands, including Aston-Martin, Jaguar and possibly Volvo, will raise cash to shore…

Barclays Bid for ABN Gets Big Boost

Posted by: Stuart Jackson on July 13

Dutch court rules that sale of ABN Amro’s US banking unit LaSalle to Bank of America can proceed, clearing a major hurdle in the British bank’s battle with a…

Rio Tinto Cuts Deal With Alcan

Posted by: Stuart Jackson on July 12

$38.1 billion agreed bid tops Alcoa’s existing offer, which the Canadian producer had rejected as too low, by 33 percent. If it completes what would be the world’s biggest…

A Global Flight to Quality

Posted by: Stuart Jackson on July 11

Investors world-wide bought government bonds in what could signal the beginning of a fundamental repricing of debt of all kinds. As the bad news from the subprime mortgage bond…

China Trade Surplus Soars to Record

Posted by: Harry Maurer on July 10

At $26.9 billion in June, the trade gap is almost double year-ago levels as relatively cheap yuan fuels export boom. With more than half the surplus coming from trade…

China Trade Surplus Soars to Record

Posted by: Stuart Jackson on July 10

At $26.9 billion in June, the trade gap is almost double year-ago levels as relatively cheap yuan fuels export boom. With more than half the surplus coming from trade…

Tokyo Stocks Hit 7-Year High

Posted by: Stuart Jackson on July 09

Shares rally on signs of stronger economic growth. Stocks across Asia were generally higher. “The whole region is seeing a lot of very positive economic news,” one investor said….

Microsoft Blows Its Lead

Posted by: Stuart Jackson on July 06

Persistent problems with the hardware for the Xbox 360 game console will force the company to take a charge of at least $1.05 billion. The failure rate all but…

China Stocks Plunge Again

Posted by: Stuart Jackson on July 05

Government drive to soak up liquidity and rein in runaway stock prices by pressing firms with overseas listings to sell shares on the home market may finally be having…

Pound Surges to 26-Year High

Posted by: Stuart Jackson on July 03

British currency climbs to almost $2.02 as investors bet the Bank of England will raise interest rates again later this week. The Japanese yen, meantime, sank to an all-time…

iPhone Opens Strong on Weekend

Posted by: Stuart Jackson on July 02

As many as 200,000 of Apple’s new smart phone may have been sold over the weekend, at the top end of analysts’ expectations. The iPhone could mean big bucks…

Fed Takes a Summer Break

Posted by: Stuart Jackson on June 28

The policy-making Federal Open Market Committee is expected to leave short-term interest rates unchanged today. In no small measure, that’s because the markets are doing much of the central…

A Deal Too Far?

Posted by: Stuart Jackson on June 27

Investors balk at terms of $1.55 billion bond sale meant to provide long-term financing for buyout of No. 2 food distributor U.S. Foodservice. Their reluctance could be a sign…

Is ‘Made in China’ Now a Red Flag?

Posted by: Stuart Jackson on June 26

Federal regulators ordered the recall of at least 450,000 defective tires made in China, the latest in a string of product safety problems that threaten to damage the country’s…

Murdoch Nears Deal for Dow Jones

Posted by: Stuart Jackson on June 25

In the end, money talks. News Corp.’s strategy for winning control of the Wall Street Journal publisher always came down to offering an over-the-top price that no one would…

Blackstone IPO Raises $4.13 Billion

Posted by: Stuart Jackson on June 22

Some reckon the deal, the biggest initial public offering on Wall Street in five years, could mark a high point in the leveraged buyout craze. Investors put aside any…

Japan Stocks Hit 7-Year High

Posted by: Stuart Jackson on June 21

That’s the good news. For those with a longer memory, though, the Nikkei 225 index is still trading for less than half its all-time closing high of almost 39,000…

Merrill Pulls Plug on Struggling Fund

Posted by: Stuart Jackson on June 20

Collateral sale to cover loans to Bear Stearns hedge fund could force a widespread revaluation of mortgage bonds. If forced into liquidation, the 10-month-old hedge fund would be biggest…

BHP Billington May Bid for Alcan

Posted by: Stuart Jackson on June 19

The world’s biggest mining group, may make a counter-offer to Alcoa’s $28.7 billion hostile bid for the Canadian aluminum maker. Alcan, which has rejected Alcoa’s bid, needs a white…

GE, Pearson Eye Dow Jones Bid

Posted by: Stuart Jackson on June 18

A deal could allow members of the Bancroft family, which controls the Wall Street Journal publisher, to retain a stake in a firm combining Dow Jones, business news channel…

Nymex Looking for Merger Partner

Posted by: Stuart Jackson on June 15

World’s biggest energy market talks to NYSE Euronext, Deutsche Boerse and Chicago Mercantile Exchange about a sale that could value the company at more than $11 billion. With derivatives…

US Carmakers to Demand Givebacks

Posted by: Stuart Jackson on June 14

US automakers plan to seek big concessions in contract talks opening next month with the United Auto Workers in a bid to eliminate their yawning cost gap with foreign…

Bond Yields Jump, Stocks Tumble

Posted by: Stuart Jackson on June 13

The yield on 10-year Treasury notes jumped to a five-year high of almost 5.25 percent amid a world-wide surge in interest rates. Stocks fell. With global growth expected to…

Blackstone Founders Could Get $2.5 billion

Posted by: Stuart Jackson on June 12

Stephen Schwarzman and Peter Peterson turned a $400,000 investment in 1985 into net worth (on paper anyway) of $11 billion. Pending IPO will value the pioneering buyout firm at…

China’s Trade Surplus Soars 73% in May

Posted by: Stuart Jackson on June 11

The jump, which brings the increase over the same time last year to 84 percent, will boost pressure on Beijing to allow the yuan to strengthen further against the…

Asian Stocks Tumble on Rate Worries

Posted by: Stuart Jackson on June 08

Asian stocks fell across-the-board on concern that rising interest rates will crimp global growth and corporate profits and make equities less attractive. The MSCI Asia index fell 1.3 percent,…

Bush Won’t Budge on Climate Control

Posted by: Stuart Jackson on June 07

.Despite a last-minute plea from his pal UK Prime Minister Tony Blair, President George Bush won’t budge on his opposition to setting carbon emission targets to combat global warming….

US Treasury Notes Fall to 9-Month Low

Posted by: Stuart Jackson on June 06

US Treasury two-year notes fell to a nine-month low, driving yields higher, after a report showed service industries growth at a one-year high. The news followed comments by Federal…

Asian Shares Climb to Record

Posted by: Stuart Jackson on June 05

Investors poured money into Asian energy stocks, helping drive a key regional index to a new record. The gains were modest for the most part, and some smaller markets,…

Chinese Stocks Dive Again

Posted by: Stuart Jackson on June 04

Chinese stocks plunged again on investor concern that the spectacular bull run may be drawing to a close. The CSI 300 index has now fallen 16 percent from its…

U.S. Stocks Back to 2000 Levels

Posted by: Stuart Jackson on May 31

U.S. stocks climbed to record levels, with the benchmark S&P 500 index breaching its previous all-time high set in March, 2000. The gains leave shares trading at more than…