News Archive
National | Fri, Jan 18, 2013

Jan. 18 (Bloomberg) -- Issuers of securities tied to U.S. rental homes will struggle to obtain ratings above the lowest investment-grade tier from Moody’s Investors Service unless they choose structures with higher expenses, a potential setback to property buyers led by Blackstone Group LP.

A federal judge on Friday barred the IRS from imposing a series of new regulations, including a competency exam, on hundreds of thousands of tax preparers.

U.S. stocks rose for a third week, driving benchmark indexes to five-year highs, as earnings from companies including General Electric Co. and Goldman Sachs Group Inc. beat estimates and debt-limit talks progressed.

Barry Sternlicht, who built his career buying distressed real estate in the early 1990s, is seeking to profit from the U.S. housing market revival by taking public a four-year-old homebuilder that has yet to make money.

Is it time to retire the idea of a 60/40 portfolio? The strategy has been generally regarded as a good starting point for most investors.

Jan. 18 (Bloomberg) -- Mall owners including Simon Property Group Inc. and General Growth Properties Inc., the biggest in the U.S., are signaling they’re moving on from struggling retail centers as the economic rebound drives them to focus on the best-performing markets.

Tri Pointe Homes LLC, controlled by Barry Sternlicht’s Starwood Capital Group LLC, filed to raise as much as $187.2 million in its initial public offering, seeking to cash in on growing demand for new homes.

Jan. 18 (Bloomberg) -- Intel Corp. is girding for a third straight quarter of falling sales, highlighting the chipmaker’s struggle to adapt in a world swiftly embracing mobile devices and leaving behind the personal-computer industry it dominates.

Profits roared back at the investment bank Morgan Stanley in the fourth quarter, reversing a loss in the same period a year ago, when its results were weighed down by a costly legal settlement.

Jan. 18 (Bloomberg) -- Oil capped the longest weekly winning streak in 14 months in New York as House Republicans planned a vote next week on a three-month extension of the U.S. borrowing authority.

The price of oil remained at a four-month high Friday after new data showed China's economy rebounded and a global demand forecast rose.

A mixed batch of earnings reports from some of Corporate America's biggest names kept the stock market treading water Friday. General Electric and Morgan Stanley rose after turning in better report cards, while a 27 percent drop in earnings sank Intel's stock.

Global stock markets struggled to hold onto gains made Friday, when strong Chinese economic figures and signs of a U.S. recovery buoyed investor sentiment, particularly in Asia.

Jan. 18 (Bloomberg) -- Oil headed for the longest weekly rising streak in 14 months in New York after economic growth accelerated in China, the world’s second-biggest crude consumer.

Stock futures are mixed after major indexes surged throughout the week, with the Standard and Poor's 500 repeatedly marking new five-year highs.

Jan. 18 (Bloomberg) -- Airlines that bought Boeing Co.’s 787 Dreamliner for its long range and industry-leading fuel savings are rallying behind the grounded plane whose fate is bound up with their own.

Jan. 18 (Bloomberg) -- More Clearwire Corp. shareholders have joined the chorus of investors asking Sprint Nextel Corp. to raise its bid for the wireless-network operator after a counteroffer from Dish Network Corp.

Greece has salvaged its economic recovery program following months of political uncertainty but still faces “enormous” challenges and will need new financial support from fellow eurozone states, the International Monetary Fund said Friday.

The Republican-controlled House will vote next week to permit the government to borrow more money to meet its obligations, a move aimed at heading off a market-rattling confrontation with President Barack Obama over the so-called debt limit.

Allergic to gluten? What about peanuts? Federal disabilities law may be able to help.

The Obama administration said Friday it was trying to secure the release of Americans still being held hostage on the third day of a standoff with militants at a natural gas complex in the Sahara, as other U.S. citizens were being flown out of the country for recovery in Europe.

Google Inc. announced Friday it would invest another $600 million in its Berkeley County data center, doubling the Internet giant's investment in South Carolina.

Jan. 18 (Bloomberg) -- U.S. stocks rose, sending the Dow Jones Industrial Average to a five year-high, as House Republicans plan to vote next week on a temporary increase in the debt-limit and investors watched corporate earnings.

The Supreme Court agreed Friday to hear an appeal that seeks to shut down class-action lawsuits from investors who lost billions in a massive Ponzi scheme orchestrated by former Texas tycoon R. Allen Stanford.

Jan. 18 (Bloomberg) -- Research In Motion Ltd. climbed to its highest price in almost a year after a Jefferies & Co. analyst upgraded the stock to buy, citing the potential for its new software to offer corporate e-mail on rival devices.

Jan. 18 (Bloomberg) -- Sony Corp.’s deal to sell its U.S. headquarters for $1.1 billion is an aggressive price for a tower in need of renovations, according to Real Capital Analytics Inc.

Jan. 18 (Bloomberg) -- General Electric Co. led the Dow Jones Industrial Average to its highest level since 2007 after fourth-quarter profit topped analysts’ estimates, with across- the-board growth in industrial businesses surpassing gains in finance.

Jan. 18 (Bloomberg) -- State Street Corp., the third- largest custody bank, rose the most in more than a year after saying it will eliminate 630 jobs in its third round of cuts in two years to bolster profit.

Jan. 18 (Bloomberg) -- SunTrust Banks Inc., Georgia’s biggest lender, reported fourth-quarter profit that more than quadrupled as revenue climbed.

Jan. 18 (Bloomberg) -- Johnson & Johnson, which is fighting more than 10,000 lawsuits over its recalled hip implants, is negotiating a potential settlement with patients that may eventually total more than $2 billion, according to five people familiar with the matter.

Legal observers say recent settlements by Toyota Motor Corp. may signal the Japanese automaker would rather fight its battles behind closed doors instead of in a courtroom.

SunCoke Energy Partners LP's shares fell nearly 4 percent in their first day of trading on the New York Stock Exchange.

It's likely that fires on two Boeing 787 Dreamliners were caused by overcharging lithium ion batteries, aviation safety and battery experts said Friday, pointing to developments in the investigation of the Boeing incidents as well as a battery fire in a business jet more than a year ago.

To workers being pushed out of jobs by today's technology, history has a message: You're not the first.

Regulators have closed a small lender in Minnesota, making it the second U.S. bank failure of 2013 following 51 closures last year.

Federal Reserve officials in 2007 badly underestimated the scope of the approaching financial crisis and how it would tip the U.S. economy into the deepest recession since the Great Depression, transcripts of the Fed's policy meetings that year show.

Jan. 18 (Bloomberg) -- An opposition group said Syrian troops loyal to President Bashar al-Assad stormed a suburb of Homs, killing residents with knives and other blunt objects or torching them along with their homes.

Jan. 18 (Bloomberg) -- Italy’s recession will be worse than previously expected, the country’s central bank said today as it cut its 2013 estimate for gross domestic product on weakness in the global economy and disappointing internal demand.

Jan. 18 (Bloomberg) -- Gold, little changed in New York, traded near a one-month high as stocks and some commodities gained after economic growth in China accelerated for the first time in two years.

General Electric Co.'s net income rose 8 percent in the fourth quarter as earnings at all of the conglomerate's industrial segments improved due to growth in developing economies.

Jan. 18 (Bloomberg) -- The euro fell from near an 11-month high against the dollar after reports showed Italian industrial orders dropped and Spanish bad loans increased, adding to sign the region’s economy will struggle to expand this year.

China's government reported the scale of the yawning gulf between its rich and poor for the first time in 12 years on Friday and said it urgently needs to narrow the politically explosive gap.

CyrusOne Inc., which operates telecom Cincinnati Bell Inc.'s data center business, has raised $313.5 million in an initial public offering of stock.

The aftermath of the housing bust forced many homebuilders to dramatically scale back construction on new homes to avoid the risk of ending up saddled with a trove of newly built, yet unsold properties.

Drugmaker Pfizer Inc., which is spinning off its animal health business through an initial public offering, intends to sell 86.1 million shares of common stock.

Vice President Joe Biden will visit three European countries next month, his first foreign trip in the Obama administration's new term.

The Transportation Security Administration confirms that it is getting rid of airport body scanners that produce a naked image of travelers.

A University of Notre Dame graduate who launched a campaign to raise money for a cancer research group in memory of linebacker Manti Te'o's girlfriend says he is “shell-shocked” to learn the woman didn't exist.

Jan. 18 (Bloomberg) -- December’s increase in U.S. payrolls was led by New York and New Jersey as the states rebounded from the damage caused by superstorm Sandy.

A federal judge on Thursday dismissed a lawsuit filed by union members challenging Indiana's right-to-work law that was enacted last year.

Shares of Norwegian Cruise Line skyrocketed more than 30 percent in its first day as a publicly traded company.

Jan. 18 (Bloomberg) -- The euro fell versus the dollar after a European Central Bank official said the ECB doesn’t have a view whether banks should repay funds when the possibility comes up, damping bets short-term interest rates will rise.

Jan. 18 (Bloomberg) -- Tom Albanese will leave Rio Tinto Group without a cash windfall, forgoing his bonus for a third straight year after failed deals in aluminum and coal saw him relinquish control of the world’s second-biggest mining company.

State Street plans to cut 630 jobs, or about 2 percent of its worldwide workforce, as the custody bank continues to work on lowering expenses. The company also reported fourth-quarter results that beat Wall Street's expectations.

Thousands of Sunnis are rallying in western and central Iraq against the Shiite-led government's policies they see as sidelining their minority group.

Police have fired tear gas to disperse hundreds of Muslim protesters outside a church in southern Egypt. They were demanding an investigation into allegations a Christian man sexually assaulted a 6-year-old girl.

Defense Secretary Leon Panetta says the U.S. is working with the British and Algerian governments to assess what's happening on the ground at a natural gas complex in the Sahara where Islamic militants are holding hostages from at least 10 countries.

Jan. 18 (Bloomberg) -- President Barack Obama is converting the machinery of his re-election campaign into a tax-exempt nonprofit group to push his second-term legislative agenda, a Democratic official confirmed.

This year, the memory of the Rev. Martin Luther King Jr. and the life of President Barack Obama will overlap significantly for a day.

Mikaela Merrill was in the middle of her fall semester at Brigham Young University when she abruptly altered her college plans and signed up for a Mormon mission.

The man known as “Alligator Ron” has a lifetime of experience in the Florida Everglades, a fleet of airboats at his disposal and knows the habitats of furry prey for large reptiles. He still couldn't lead a pack of hunters to a single Burmese python.

The burned insides of a battery in the Boeing 787 at the center of a worldwide grounding of the aircraft indicate it operated at a voltage above its design limit, a Japanese investigator said Friday, as U.S. officials joined Japan's probe into the incident.

Kelly Clarkson is a multiple nominee at next month's Grammy Awards, but what she's really excited about is another event where she'll be joined by Beyonce, Katy Perry, Stevie Wonder, Alicia Keys, Usher and Brad Paisley.

There will be no change to the charges against five Guantanamo Bay prisoners accused in the Sept. 11 attacks after all. At least not yet.

Fri, Jan 18, 2013