US Business News
Fed relieved to see US downturn ending
It has been forecast by the US Federal Reserve that recession will come to an end soon. However, it displayed concerns regarding the issue of unemployment, which might remain at high levels for a few years.
U.S. foreclosures soars 15% in first half of 2009
In the first half of 2009, around 15 percent of the U. S. households reached the brink of losing their homes.
Soaring joblessness rate made people unable to reimburse their monthly mortgage bills.
According to an estimate by RealtyTrac Inc, foreclosure listing service, as many as 1.5 million homes were directly affected by the foreclosure crisis.
Wealthy to bear more taxes under health care plan
US is likely to witness another debate in the name of a health care plan that is eyeing on the creation of government-run health system by levying a new tax on the top 1.2 percent of earners, which signifies families that earn more than $350,000 a year.
Struggling CIT Group working on survival plan
Beleaguered CIT Group Inc., which so far could neither succeed in winning FDIC's Temporary Liquidity Guarantee Program nor in obtaining supplementary aid from government, is now trying to carve out a plan to convince its customers and investors.
The CIT Group is vexed that customers may drag down its credit lines in case they lose confidence in the Group.
Citigroup Top Management Shuffled Third Time In A Year; New CFO Appointed
In a move that indicates Citigroup Inc.’s shift of focus to conventional banking, the bank Thursday shuffled its top management yet again, for the third time in less than a year!
RBC Capital Markets selected as a primary dealer of Treasury securities
The Royal Bank of Canada’s (RBC) investment banking division, RBC Capital Markets, has been selected as a primary dealer of Treasury securities by the Federal Reserve Bank of New York.
Bankrate.com reviews terms and conditions of credit card issuers
The consumer Web site Bankrate. com has laid down some guidelines for people who wish to go in for a credit card, before industry reforms take a practical shape in February.
Freddie Mac-Mortgage rates, applications fall back this Week
According to a weekly survey of mortgage rates by Freddie Mac., mortgage rates in the United States plunged this week.
Surveyor Freddie Mac found that the average thirty year rate plunged to 5.32 % from 5.42 %. The fifteen year rate was recorded at 4.77 %, down from 4.87% last week.
National Australia Bank Buys Local Aviva Assets for A$825 Million
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National Australia Bank Ltd. has announced that it has hit a deal with U. K. insurer Aviva to buy a large chunk of Aviva Plc's Australian business for $825 million in order to enhance its own wealth management business.
Citigroup’s Banga to join MasterCard as CEO
Citigroup Inc.'s experienced finance executive, Ajay Banga, who shoulders company's Asia-Pacific business, has been hired by MasterCard Inc., the 2nd biggest card network after Visa Inc.
Mr. Banga, 49, is going to join MasterCard Inc. in August this year, as the president and chief operating officer of the company.
E-Trade Financial prices public stock offering at $1.10 a share
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As the besieged online brokerage and bank likely to raise capital to drag itself out from under mortgage-related loan losses, E-Trade Financial said 435 million of its shares were priced at $1.10 a share, out of which, Citadel Investment Group bought 90.9 million shares.
FBI Arrests Billionaire Stanford; due to appear in federal court
58-year-old Allen Stanford, under investigation in an alleged $8 billion fraud is due to appear in Richmond federal court on Friday in Virginia.
Dick DeGuerin, Sir Allen's lawyer, said that Allen Stanford surrendered to the US authorities after a warrant was issued for his arrest on criminal charges.
Mortgage rates drop for the week ended June 18
For the first time in four weeks, mortgage rates dropped for the week recently ended June 18. According to the Freddie Mac weekly statistics, the average 30-year fixed- rate loan dropped from the earlier week's figures of 5.59 percent to 5.38 percent for this week.
Assured Guaranty offers $400 million in common shares, $150 million in equity units
In a projected move to augment its finances for the acquisition of US insurer Financial Security Assurance Holdings Ltd (FSAH), Assured Guaranty Ltd. has announced a public offering of $400 million of its common shares and nearly $150 million of its equity units.
BlackRock working out $13.5 billion deal for BGI, Barclays’ investment division
The world's biggest asset manager appears to be in the making - with New York-based BlackRock Inc. announcing on Thursday that it is working out a $13.5 billion blockbuster deal for Europe's biggest hedge fund manager BGI, which is the investment division of the British bank Barclays Plc!
Barclays’s $12-billion sale of BGI unit to BlackRock looks imminent
According to unnamed sources, the banking group Barclays is negotiating with the US money manager BlackRock about a prospective sales deal of its Barclays Global Investors (BGI) unit. Earlier reports mentioned Barclays being close to agreeing on a $12-billion sale of BGI to the Larry Fink-led BlackRock.
KKR-Fidelity sign exclusive partnership; expect IPO market strengthening
Partnering to take advantage of a foreseeable increase in initial public offerings (IPOs), the New York-based private equity firm Kohlberg Kravis Roberts (KKR) has decided to sell shares of its private-equity companies through the Boston-based mutual fund bigwig Fidelity Investments.
Investment banking firm Lane Berry acquired by Raymond James Financial
The investment banking and advisory company Lane Berry has been acquired by the St. Petersburg-based Raymond James Financial Inc - a diversified financial services company that provides services to individuals, corporations and municipalities.