Wall Street Rumors - May 28, 2008
Written By MillaDaily rumors covering the global markets. Subscribe to the update feed here.
Fear, Rumors Touched Off; Fatal Run on Bear Stearns
The 40 top Bear Stearns Cos. executives listening to Alan Schwartz over lunch had spent the morning of March 13 watching the firm’s stock plunge. Rumor on Wall Street had it Bear Stearns was strapped for cash.
Oil Falls to Lowest in a Week on Concern Prices Hurting Demand
Crude oil fell to a one-week low on concern record fuel prices will cut consumption at the height of the U.S. driving season. U.S. gasoline pump prices reached an all-time high May 26, curbing demand from motorists at the start of the summer, when fuel use typically peaks.
20-Ounce Sales Lose Fizz, Sinking Coke Enterprises
Coca-Cola Enterprises Inc. (NYSE:CCE) gave a second-quarter earnings outlook that was below Wall Street’s expectations, citing sputtering North American sales of higher-margin 20-ounce drinks and “weakening economic trends.”
Investors Press Lenders on Bad Loans
Already burned by bad mortgages on their books, lenders now are feeling rising heat from loans they sold to investors. Unhappy buyers of subprime mortgages, home-equity loans and other real-estate loans are trying to force banks and mortgage companies to repurchase a growing pile of troubled loans.
Microsoft’s Gates, Ballmer Talk Up New OS
In a wide-ranging discussion at the annual D6 meeting, hosted in Carlsbad, Calif., by The Wall Street Journal, which reported the proceedings on its All Things Digital Web site, Microsoft (NASDAQ:MSFT) Chairman Bill Gates and Chief Executive Steve Ballmer acknowledged public dissatisfaction with Vista before demonstrating the user interface for Windows 7, which is expected in late 2009 at the earliest.
UPS, DHL Plan Air-Freight Deal
United Parcel Service Inc. (NYSE:UPS) plans to provide air-shipping services to the ailing U.S. unit of Deutsche Post AG, a move that comes as Deutsche Post lowered its 2008 earnings outlook, citing an “uncertain economic situation in the U.S.”
Airbus Cuts 2008 Order Estimate for A380 Superjumbo
Airbus SAS, the world’s largest planemaker, said orders for its A380 superjumbo may be one-third lower than previously predicted this year as higher fuel costs and an economic slowdown dent demand for travel.
Thus Group’s Shares Advance on Speculation of a Takeover Bid
Thus Group Plc (LON:THUS), the Scottish phone company whose customers include HSBC Holdings Plc (NYSE:HBC), rose the most in five years in London trading on speculation the company may be a takeover target.
Analysts’ Upgrades, Downgrades: Adobe
Adobe (NASDAQ:ADBE) upgraded at Jefferies to hold rating from underperform. Price target raised to $43 from $31 and fiscal year 2008 EPS estimates lift to $1.87 from $1.85.
European Stocks, U.S. Index Futures Rise on Oil Price Retreat
European stocks and U.S. index futures rose as a two-day drop in oil prices improved the profit outlook for airlines and retailers and orders for durable goods in the U.S. beat economists’ forecasts. Shares in Asia fell.
Immelt Says LG, Others Are Contenders to Buy GE’s Appliance Unit
General Electric Co. (NYSE:GE) Chief Executive Jeffrey Immelt said Wednesday that LG Electronics Inc. (SEO:066570) is one of the leading candidates to purchase its appliance unit and other potential buyers include China’s Haier Group (HKG:1169) and Sweden’s Electrolux AB (OTC:ELUXY).
If you enjoyed this article, Click Here to Subscribe to Our Free Global Investing Newsletter
Post/Read Comments
