Bernanke: Interest rates to remain low
Federal Reserve chairman, Ben Bernanke, today told congress policy makers that the Fed will likely maintain interest rates at exceptionally low levels for extended periods. Following Bernanke's remarks treasury prices increased reversing a earlier losses. Bernanke said despite positive signs of an improvement in the economy, the job loss rate remains high and the unemployment rate continues its steep rise.
Caterpillar’s Big Surprise
Caterpillar Inc, the construction equipment maker, reported better than expected second quarter results. Excluding some costs, profit was 72 cents per share, exceeding even the highest expectations of 42 cents per share. Its full-year profit outlook also exceeded expectations.
Airlines cut more jobs
Continental Airlines Inc and Southwest Airlines announced separately today that they will cut a total of 1,700 employees. Continental also reported a $213 million loss for the second quarter while Southwest had a $54 million gain in the same period.
CIT on Brink
CIT Group Inc, the U.S. lender to small and mid-sized businesses, said on Monday it may still file for bankruptcy if it fails to tender notes maturing next month. It has made a cash tender offer of $825 for each $1,000 principal amount of notes tendered on or before July 31.
NRG shareholders reject Exelon's directors
NRG Energy Inc.'s shareholders voted to reject a slate of directors that rival Exelon Corp. had proposed for NRG's Board on Tuesday during the annual shareholders meeting in New Jersey. The decision could prompt Exelon to abandon its efforts to acquire NRG and go its own way.
U.S. Senate debates energy bill
The U.S. Senate Committee on Environment & Public Works is holding a hearing on the Waxman-Markey energy bill regarding clean energy jobs, climate-related policies and economic growth.
Calls for more transparency on use of TARP funds
The special inspector overseeing the Troubled Asset Relief Program, Neil Barofsky, testified Tuesday before the House Oversight and Government Reform committee and called for better disclosure and stronger conflict rules. Barofsky on Tuesday delivered a quarterly report to Congress sharply critical of Treasury's reluctance to better track how federal bailout money is being spent. According to Barofsky, the Treasury has accepted some of his recommendations for improved transparency, but have however not taken steps requiring all TARP recipients to report details on how the funds are used.
Yahoo set to unveil new homepage
Yahoo Inc said it plans to introduce a major overhaul of its Internet home page on Tuesday. The new homepage blends Yahoo's collection of online content and products with popular social networking services like Facebook and Twitter, representing what a Yahoo official called the most radical make-over of the site since its inception more than a decade ago. Read Full Article here.
Barnes & Noble Challenges Amazon's Kindle
Barnes & Noble Inc. is now competing with Amazon.com Inc. and Sony Corp. on Monday, saying it would launch its own e-bookstore with bestsellers priced at $9.99, in line with its rivals.
China's solar energy sector surges on subsidies plan
China's solar energy sector surged on Tuesday after the nation launched a plan to offer subsidies to independent solar power projects. Companies such as Suntech Power Holdings Co Ltd, Yingly Green Energy Holding Co Ltd and Trina Solar Ltd were trading up 9 percent, 10 percent and nearly 9 percent respectively.