U.S. stock futures are higher, indicating stocks will likely continue their wild ride today, but perhaps end the week on a positive note. All this as Wachovia found another buyer, and ahead of the vote in the House on the bailout plan and payroll data. Economists expect payrolls to have dropped 110,000 in September, while unemployment rate should stay at 6.1%. September non-manufacturing ISM will also be released today.Wachovia Corp. (NYSE: WB) dumped Citigroup (NYSE: C) and the deal arranged by the FDIC, instead announcing it signed a definitive agreement for a merger with Wells Fargo & Company (NYSE: WFC) that includes all of Wachovia's banking operations. WB shares are jumping 66% in pre-market trading, WFC up 2.4%, C down 6.6%.
UBS (NYSE: UBS) - fitting that on a day when payrolls are expected to show such a big drop UBS said it is cutting another 2,000 jobs at its troubled investment bank and closing most of its commodities business.
Yahoo! Inc. (NASDAQ: YHOO), however, said Thursday it isn't considering job cuts. But the comany continues to struggle in the current environment, looking for ways to further cuts costs and restructure operations. So job cuts may be on the agenda after all. YHOO stock set a new 52-week low of $15.54 Thursday, but this morning is up 2.7% in pre-market trade.
American International Group (NYSE: AIG) may attract some attention today as it is due to hold a conference call to discuss which businesses it will put for sale. AIG said it will keep its U.S. property and casualty and foreign general insurance businesses. but sell part of its foreign life-insurance business. Shares are up 8.8% in pre-market trade.
Ford Motor Co. (NYSE: F) said Thursday it will sell up to $500 million worth of stock to buy back debt owed by its credit arm. While analysts generally think of it as positive as Ford shores up its balance sheet, pricing remains an issue, especially after GE's recent sale. I doubt Kerkorian would come and buy stock at around $8 now that it's trading at $4.3.
Merck & Co. (NYSE: MRK) said Thursday it halted development of its experimental antiobesity drug taranabant because of side effects uncovered in clinical trials.
Sirius XM Satellite Radio Inc. (NASDAQ: SIRI) are gaining 3.3% in pre-market trading going from its close of 60 cents to 62 cents per share. After weak car sales released Wednesday certainly didn't help its cause, Sirius is looking to boost its revenue and number of subscriptions with "a range of new programming options that lets subscribers buy programming from both of the recently merged rival services."
Hewlett-Packard Co. (NYSE: HPQ) plans to unveil a new smartphone that will also be marketed to consumers, The Wall Street Journal reported.
Sprint Nextel Corp. (NYSE: S) has received interest from Latin American carrier NII Holdings Inc. and several private-equity firms regarding Nextel. It's no wonder shares are up 4.5% in pre-market trade as investors welcome this potential sale.
Apple Inc. (NASDAQ: AAPL) will not see the royalties it is paying music publishers go up as the Copyright Royalty Board on Thursday kept the rate at 9.1 cents a song. The board also established a 24-cent rate for ringtones. The rates are set for the next five years.
Goldman Sachs upgraded Costco (NASDAQ: COST) from Neutral to Buy and added it to its Conviction Buy List.
Google's plan for netbook PCs moves higher into the clouds
So long peak oil, here comes peak uranium
Black Friday expected to be strong, no promises for Christmas
Reader Comments (Page 1 of 1)
10-03-2008 @ 8:47AM
Elizbeth B. Earnhardt said...
I'm delighted that Wells Fargo bought Wachovia. Citibank was not my choice. Will sleep tonight.
10-24-2008 @ 12:30PM
Scott said...
Rumor has it, Disney is in talks with Siri about a buyout.