Friday, May 9, 2008

ALL BUSINESS: Government-backed housing bailout badly needed

A government-backed mortgage bailout is needed, and it must be done right away....(more)

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ArcelorMittal sues Esmark over aborted steel mill sale

ArcelorMittal, the world's largest steelmaker, filed a lawsuit against steelmaker Esmark over the aborted sale of a steel mill near Baltimore....(more)

Citigroup to shed nearly $500B in assets

Citigroup Inc. said Friday it aims to shed about $500 billion in assets and grow revenue by 9 percent over the next few years, as it tries to rebound from massive losses tied to deterioration in the mortgage and credit markets....(more)

Icahn prepared to buy Circuit City if Blockbuster can't

Consumer electronics retailer Circuit City Stores said Friday that it will allow Blockbuster to review its books in connection with the video-rental chain's bid to buy the company....(more)

Stocks decline as AIG reveals need for cash, oil surges

Wall Street retreated Friday as investors contended with wider-than-expected losses at insurer American International Group Inc. and another worrisome spike in oil prices. The Dow Jones industrial average lost more than 130 points....(more)

Citigroup targeting 9 percent revenue growth

Citigroup Inc. said Friday it is aiming for 9 percent revenue growth as it looks to rebound from recent struggles tied to deterioration in the mortgage and credit markets....(more)

March trade deficit drops by bigger-than-expected amount

The U.S. trade deficit narrowed sharply in March as demand for imports fell by the largest amount since the last recession was ending....(more)

Diageo brews $1.25B Irish overhaul

Guinness beer owner Diageo PLC rattled an Irish icon Friday, announcing plans to lay off more than half of its brewery workers, close two breweries and shift most production to a new, high-tech plant in the Dublin suburbs by 2013....(more)

German insurer Allianz 1Q net profit falls 65 percent

German insurer Allianz SE said Friday first-quarter net profit fell 65 percent due to difficult market conditions as it wrote down $1.3 billion tied to the U.S. subprime crisis....(more)

Asset sales boost Clear Channel profit; deal still in limbo

Clear Channel Communications Inc., a major radio and outdoor advertising company, reported higher first-quarter earnings Friday on asset sales but operating results were flat, reflecting weak demand for radio advertising....(more)

Dollar falls against euro on ECB interest rate signals

The dollar fell against the euro Friday after the European Central Bank signaled that it was unlikely it would consider any interest rate cuts in the coming months....(more)

Gas jumps above $3.67, oil passes $126 on Venezuela concerns

Oil rose above $126 a barrel for the first time Friday, bringing its advance this week to nearly $10, as investors questioned whether a possible confrontation between the U.S. and Venezuela could cut exports from the OPEC member. Gas prices, meanwhile, rose above an average $3.67 a gallon at the pump, following oil's recent path higher....(more)

Japanese shares drop on Toyota outlook

Japanese shares dropped Friday as selling spread across the board following Toyota's bleak earnings projection....(more)

Rain comes to western Texas just in time for cotton planting

Craig Heinrich and other South Plains cotton producers no longer have to look to the sky and pray - widespread rain arrived just in time for planting....(more)

China producer price index up 8.1 pct

China's producer price index, a key indicator of inflation, rose 8.1 percent in April over the same month a year earlier, the government reported Friday, as a top economic official sought new controls to cool rising prices....(more)

Japan Airlines reduces losses in latest quarter

Japan Airlines reduced losses in the January-March quarter from a year earlier on cost cuts but forecast lower profit Friday for this fiscal year, blaming soaring fuel costs and intense competition....(more)

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Thursday, May 8, 2008

• Survey says executives see oil prices falling

• Chrysler unleashes Dodge Challenger into an uncertain market

• Western states rebuff plan for Italian nuclear waste in Utah

Commodities Review: Wheat drops on higher output forecast

Wheat futures fell sharply Friday after the government forecast increased U.S production and a record global crop, while corn futures surged to a new high on continuing concerns about the weather....(more)

• AIG posts 1Q loss of $7.8B, plans to raise $12.5B

• GM to pay up to $200M to help end American Axle strike

• Top 3 air carriers boost fuel charge by $20 roundtrip

• More shoppers seeking shelter from economy in discounters

Oil approaches $125 per barrel ahead of US driving season

Oil prices soared to record highs near $125 Friday on the eve of the U.S. driving season as a weakening U.S. dollar drove investors to snap up commodities....(more)

AP Executive Morning Briefing

The top business news from The Associated Press for the morning of Friday, May 9, 2008:...(more)

• GM buys its Detroit headquarters for $626 million

• Wachovia separates chairman, CEO positions

• Business Highlights

• Treasurys extend rally as investors seek safe haven bets

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