Wednesday, October 28, 2009

Wednesday Morning

US stocks opened just a minute ago, trading lower by about a third of a percent. Goldman Sachs reduced GDP estimates, and GMAC is returning to beg the government for a third bailout.

Gapping down this morning:

K-Sea Transportation (KSP) - down 18%,missed earnings by 58cents
Apollo Group (APOL) - down 15%, weak earnings and an SEC investigation.

Following a 2.6% drop in August, durable goods orders rose 1% in September.
The report showed investment will probably improve going into 2010. Bookings for non-defense capital goods excluding planes, a proxy for future business spending, increased 2 percent in September and were up 11 percent at an annual pace for the quarter.

Union workers at Ford do themselves no favor, voting down cost cuts.
Ford, the only one of the three Detroit automakers to avoid bankruptcy this year, says it needs the modifications to remain competitive with General Motors and Chrysler, whose workers agreed to similar deals in the spring. Compared to its crosstown rivals, Ford has been surging


In an increasingly bitter confrontation, Icahn has approached smaller bondholders in his competing plan to save CIT.
If he prevails in derailing CIT Group's debt-swap plan and gains control of the struggling lender, Carl Icahn said he'll combine the company's bank with the firm's factoring and vending businesses and then spin it off to shareholders

California, the 8th largest economy in the world, pays 1.5% higher interest rates to borrow money than private companies, largely due to weaker transparency.
Federal securities laws that exempt states, cities and school districts from disclosure rules that apply to corporations created an information vacuum that doesn’t help states get the favorable terms they deserve, and boosts yields on public debt issues. A 2008 study found that as many as 25 percent of municipal borrowers go three years or longer without giving investors any information.

Lavish, irresponsible spending has led Marc Ecko into the arms of Iconix Brands, losing control of his own name brand.
"I've had a crazy, wild ride. I've done a lot of things that have been naive," Ecko told The Post. "I'll take my lumps for a lot of things that, in retrospect, were a little indulgent. Life happens. I don't regret any of it."

No comments:

Post a Comment