NEW YORK (AP) -- More plans
to build homes, higher stock prices and fewer people filing first-time claims
for jobless aid sent a private-sector forecast of U.S. economic activity higher
than expected in June. It was the third straight
monthly increase for the New York-based Conference Board's index of leading
economic indicators, and another sign pointing toward the recession ending
later this year. The index rose 0.7 percent
last month. Wall Street analysts polled by Thomson Reuters expected a gain of
0.4 percent. May's reading was revised up to a gain of 1.3 percent from 1.2
percent, while April was scaled back to 1 percent growth from 1.1 percent. Sources: CIT Group board OKs
rescue loan WASHINGTON (AP) -- The board
of CIT Group Inc., one of the nation's largest lenders to small and midsize
businesses, approved a deal with major bondholders to keep the company out of
bankruptcy, said two people briefed on the talks. CIT will receive a rescue
loan from key bondholders hoping to keep it alive long enough to restructure
its debt, these people said. They spoke on condition of anonymity because the
company has not yet made an official announcement. The deal will not
necessarily prevent a bankruptcy filing for the ailing firm, but will give it
desperately needed breathing room while it attempts to refinance existing debt.
CIT has a $1 billion payment due in August. Stocks extend rally as
worries over CIT ease NEW YORK (AP) -- Signs of
strength in several corners of the economy are helping extend the stock
market's rally. Stocks jumped again Monday
following news that CIT had struck a financing deal that will keep the troubled
commercial lender out of bankruptcy. More upbeat earnings reports and a better-than-expected
read on future economic activity also drove shares higher. A 100-point gain pushed the
Dow Jones industrials back into the black for the year, while the Standard
& Poor's 500 climbed to its highest finish since November. The Dow rose 104.21,
or 1.2 percent, to 8,848.15, its highest level since Jan. 6. Govt.'s potential Wall
Street, bank support $24T WASHINGTON (AP) -- The
federal government has devoted $4.7 trillion to help the financial sector
through its crisis, a watchdog report said Monday. Under the worst of
circumstances, the report said, the government's maximum exposure could total
nearly $24 trillion, or $80,000 for every American. The figures are part of a
tough new quarterly report to Congress from special inspector general Neil
Barofsky, who accuses the Treasury Department of repeatedly failing to adopt
recommendations aimed at making one component of the government financial
rescue effort more accountable and transparent. Hasbro 2nd-quarter profit
beats expectations NEW YORK (AP) --
Transformers aren't just titans at the box office, they're flying off toy
shelves, too. Toy maker Hasbro Inc. said Monday strong sales of the morphing
robots helped its second-quarter profit rise past analyst expectations. Summer movie tie-in toys have
been one bright spot for toy makers during the consumer-spending slowdown. Profit for the three months
ended June 28 rose to $39.3 million, or 26 cents per share, from $37.5 million,
or 25 cents per share, last year. Excluding costs related to its joint venture
with Discovery Communications to form a TV network, income was 32 cents per
share. That beat analysts expectations of 23 cents per share, according to
Thomson Reuters. Halliburton 2Q earnings
plummet, beat expectations HOUSTON (AP) -- Halliburton
on Monday said its profit tumbled for a second straight quarter, primarily from
a falloff in natural-gas production in North America, and the oilfield services
giant offered little hope for an uptick in drilling before year's end. Weatherford, its smaller
rival, also reported significantly lower second-quarter profits. Halliburton, which has
corporate headquarters in Houston and Dubai, said net income for the April-June
period fell 48 percent to $262 million, or 29 cents per share. That compared
with $504 million, or 55 cents a share, a year ago. Revenue slipped 22 percent
to $3.5 billion. Oil wavers near $64 on
upbeat corporate earnings SIOUX FALLS, S.D. (AP) --
Oil prices wavered near $64 a barrel Monday as encouraging quarterly reports
from several companies were offset by what could be an extended period of weak
demand for energy. Benchmark crude for August
delivery rose 42 cents to settle at $63.98 a barrel on the New York Mercantile
Exchange. While crude in storage has
been drained off in recent weeks, there has been a build up at a crucial
facility in Cushing, Okla., which not only feeds a number of major refineries
but is also where oil traded on Nymex is stored. Still, oil prices continue
to be buoyed by the weak dollar and perhaps the political turmoil in Iran.
Crude has risen for four straight days. Human Genome Sciences lupus
drug met study goal WASHINGTON (AP) -- Biotech
drugmaker Human Genome Sciences reported positive results Monday for its
experimental lupus drug, confounding analyst expectations and potentially
clearing the way for the first new treatment against the inflammatory disease
in a half century. The late-stage results come
after nearly a decade of research and development by the company aimed at
relieving symptoms of lupus, a difficult-to-treat ailment in which the body
attacks its own tissue and organs. Patients who took the
injectable drug Benlysta plus a standard treatment for one year had reduced
symptoms -- including pain, rashes and infections -- compared with patients
taking standard treatment plus placebo. GM: 3 bids received for
Germany's Opel FRANKFURT (AP) -- General
Motors Corp. said Monday that it received three final offers from three
companies for its Opel unit, but a decision was still yet to be taken. GM would not identify from
whom it received bids, but a person familiar with the bidding process said they
were from RHJ International SA; a consortium of Canadian auto parts maker Magna
International Inc. and Russian lender Sberbank; and China's Beijing Automotive
Industry Corp. The person spoke on
condition of anonymity because of a confidentiality agreement surrounding the
process. The person said the company had increased its bid for Opel, from the
original 20 percent it envisioned, to 27.5 percent. Wyeth shareholders vote to
be acquired by Pfizer TRENTON, N.J. (AP) --
Shareholders of drugmaker Wyeth on Monday voted overwhelmingly to be bought by
industry giant Pfizer Inc., pushing aside one of the deal's final hurdles. More than 98 percent of
Wyeth stockholders voted for the $68 billion acquisition, which will solidify
Pfizer's standing as the top-selling drugmaker in the world. The deal transforms New
York-based Pfizer overnight from being primarily a maker of the blockbuster
pills to a one-stop shop for medical treatments. That's because Wyeth, the No.
12 drugmaker, brings multibillion-dollar products and substantial expertise in
creating and manufacturing biologic drugs, vaccines, nonprescription medicines
and animal health products. By The Associated Press The Dow rose 104.21, or 1.2
percent, to 8,848.15, its highest level since Jan. 6. The S&P 500 index rose
10.75, or 1.1 percent, to 951.13, its best finish since Nov. 5. The Nasdaq
composite index rose 22.68, or 1.2 percent, to 1,909.29, its ninth straight
advance. Benchmark crude for August
delivery rose 42 cents to settle at $63.98 a barrel on the New York Mercantile
Exchange. Natural gas eventually
gained 2.2 cents to settle at $3.838 per 1,000 cubic feet. In other Nymex trading,
gasoline for August delivery rose 1.95 cents to settle at $1.7894 a gallon and
heating oil gained 4.84 cents to settle at $1.6894. In London, Brent prices rose
$1.06 to settle at $66.44 a barrel on the ICE Futures exchange. Top
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