Consumers spent less than expected this holiday season as the shopping spirit was diminished by poor weather, economic concerns and national tragedy. According to MasterCard Advisors SpendingPulse, a report that tracks spending on holiday merchandise, spending in the two months prior … [Read more...]
Federal Reserve Economic Forecast Off-target
Low interest rates may be a bane to savers’ retirement plans, but they have been a blessing to home builders. As the Federal Reserve has continued its quantitative easing programs to keep interest rates near zero, single family home starts are expected to increase 25 percent in 2012 … [Read more...]
“Super Saturday” Christmas Sales May Surpass Black Friday
Many believe Black Friday to be the biggest shopping day of the year, but it may actually be the Saturday before Christmas, as procrastinating shoppers hit the stores looking for last minute deals to complete their loved ones’ wish lists. The industry has termed the day “Super … [Read more...]
Low Interest Rates Put Retires Financial Future at Risk
While many—mainly borrowers—have been pleased with the Fed’s downward pressure on interest rates, the program is placing many retired Americans’ long-term security at risk. Interest rates are at their lowest point in 100 years as the Federal Reserve tries to stimulate the economy and … [Read more...]
Fiscal Cliff Uncertainty Pushes Gold Prices Higher
Gold prices have rebounded and are expected to rise in 2013. Concerns over the looming fiscal cliff have only fueled interest in the precious metal. The price of gold was up $9.09 to $1,658.35 per ounce Friday, as were the stock prices of several major gold mining companies. … [Read more...]
Fiscal Cliff Days Away, Plan B Denied and No Resolution in Sight
As House Speaker John A. Boehner put forth a proposal to end fiscal cliff worries, Democrats rejected the plan out of hand, but now even Republicans don't support the plan. Boehner told the press, "The house did not take up the tax measure today because it did not have sufficient … [Read more...]
Intercontinental Exchange (ICE) to Buy New York Stock Exchange (NYX)
Dec. 20 marked the end of a more than 200-year-old era, when Atlanta-based Intercontinental Exchange, Inc. (NYSE: ICE) announced it would purchase the New York Stock Exchange for $8.2 billion. Although 12-year-old startup ICE stated little would change for the iconic Big Board based … [Read more...]
Deutsche Telekom CEO Suprise Exit After 7 Years
Deutsche Telekom AG (DTE:GR) said its CEO of seven years, Rene Obermann, will be leaving the company at the end of next year, allowing time for a smooth transition for its new CEO. Obermann has been with the company since 1998 and will be succeeded by the company's current CFO … [Read more...]
US Treasury is Expected to Lose Billions on General Motors Stock Buyback
The US Treasury is expected to lose billions of dollars when it sells its remaining stake in General motors over the next 12 to 15 months. General Motors plans to pay $27.50 per share—an 8 percent premium over the Dec. 18 closing price—but well below the $33 price set in November … [Read more...]
Homebuilder Sentiment of Housing Market at 6 Year High
Recently released figures show that homebuilders in the United States are more confident of the outlook for new housing than they have been in over six years. The National Association of Home Builders/Wells Fargo builder sentiment index has long been viewed as a great indicator of … [Read more...]
President Obama Rejects John Boehner’s $1 Million Tax Increase (Plan B)
Fiscal Cliff talks appear to have reached a standstill as of Wednesday morning, after President Barack Obama outright rejected Republican House Speaker John Boehner's “Plan B” offer to raise income taxes on Americans making over $1 million a year in exchange for unspecified spending … [Read more...]
UBS AG Forced to Pay $1.5 Billion for Libor Scandal
Earlier this year, the Libor scandal swept the newsfeeds causing the US and UK to do an extensive investigation into which company’s were involved and to what extent. US Assistant Attorney General Lanny Breuer described the scandal was “one of the most significant scandals ever to hit … [Read more...]
Hide Your Kids, Hide Your Wife, Hide Your Instagram Photos
Yesterday, I wrote on the potential lawsuits that could come as a result of Facebook’s (NASDAQ:FB) acquisition of Instagram back in April for $1 billion. Some believe that Twitter could make a case for the alleged “verbal agreement” that Instagram CEO Kevin Systrom made for a $525 … [Read more...]
Will Instagram Founder Kevin Systrom Face Criminal Charges
In April of this year, Facebook (NASDAQ:FB) acquired the photo sharing site, Instagram for $1 billion. What we did not originally know is that Twitter was reportedly bidding on Instagram for $525 million, according to an article in the New York Times. … [Read more...]
Sprint Nextel Secures Clearwire Deal and Stock Prices Don’t React
Sprint Nextel Corp. (NYSE: S) announced Dec. 17 Clearwire Corp. (NASDAQ: CLWR) accepted its bid to buy the remaining 50-percent stake in the company it does not already own for $2.97 per share—an increase over its original Dec. 13 offer of $2.90 a share. The $2.2 billion price is 128 … [Read more...]
Rumors that John Boehner Will Give into Higher Tax Rates are Circulating
President Barak Obama and House Speaker John Boehner will continue fiscal cliff talks at the White House as of Monday morning according to reports issued from the White House. The meetings, however, remain shrouded in a sense of anticipation, however, as no other information was … [Read more...]
Federal Reserve Implements Radical New Policy to Keep Interest Rates Low
Federal Reserve Chairman Ben Bernanke announced a radical new policy the Fed will being using. The new policy is getting unprecedented support, but it is so far afield from past policies it may take many off guard. Federal Reserve Bank of Richmond president Jeffrey Lacker was the only … [Read more...]
Freddie Mac Reports Mortgage Interest Rates Near Record Low
As of Thursday, Freddie Mac has reported that interest rates have reached near record lows, with rates on 30 year mortgages dropping as low as 3.32 percent from last week’s average of 3.34 percent and last year’s average fixed rate of 3.94 percent. This means rates are hovering just … [Read more...]
Federal Reserve Limits Bank Deals to Avoid Another Bailout
A major problem in 2008 was the fact that we had large banking institutions with big balance sheets and the Federal Reserve response was to save these institutions via taxpayer bailout. This is where the term “too big to fail” comes from. Over four years later, Chairman Ben Bernanke … [Read more...]
Should Obama Help Unions Oppose Right-to-Work Laws
President Obama broke his silence on right-to-work laws last week when he spoke out against the labor battle transpiring in Michigan. “We should do everything we can to keep creating middle-class jobs that help folks rebuild security for their families,” Obama said in a Dec. 10 … [Read more...]
