After Apple released their impressive quarterly results, the company briefly surpassed Exxon Mobile as the most valuable U.S. company based on market capitalization. Apple’s stock rose 6.25% to $446.66 on Wednesday following the 116% profits growth.
Most of Apple’s cash is locked up Read the rest of this entry »
Research in Motion (RIMM), designer and maker of Blackberry phones, received harsh criticism for their hiring of new CEO Thorsten Heins. Heins, former Chief Operating Officer, has been on board for five years and was not the hire investors wanted. This unpopular hire further pushed RIMM shares down 8% to $15.56, after shares have plummeted 40% in the month of December.
Many experts feel a turnaround for RIMM is nearly impossible because of the strong hold Apple and Google have on the market. The market was disappointed that RIMM did not hire outside of the company to bring fresh ideas and creativity.
This past Monday morning, Duke Energy and Progress Energy publicly announced their upcoming merger deal valued at $26 billion. The combined company will be called Duke Energy, and will be based in Charlotte, NC. Progress Energy was the only Fortune 500 Company based in Raleigh. If regulators approve, Duke Energy will be largest utility in the U.S. with about 7 million customers.
For more information,
A major movie and music file-sharing site was shut down by the FBI on Thursday. Despite the current debate in Washington regarding the Stop Online Piracy Act (SOPA) and the Protect Intellectual Property Act (PIPA), federal authorities claim MegaUpload generated more than $175 million in criminal proceeds Read the rest of this entry »
U.S. stocks advanced Wednesday in response to the International Monetary Fund’s decision to raise their bailout to contain the European debt crisis. Homebuilders’ confidence reaching a four year high also helped the S&P 500 hit its highest mark since July. The S&P 500 rose Read the rest of this entry »
The U.S. Department of Commerce released the latest statistics for US imports and exports which came in fairly close to what the markets had anticipated. For December, overall import prices were down .1%. For the full year 2011, overall import prices increased by 8.5%. Exports are down for a second straight month as imports rose to an all time high, causing a widening U.S. trade deficit*. The Commerce Department reported
The S&P 500 maintained its five-month high on Wednesday as stocks edged up a fraction of a percent to 1,292.48. The gains from banking and technology industries countered the growing concerns that Europe may fall into a recession. For every two stocks that fell, three stocks rose on U.S. exchanges
Hostess Brands, makers of snack foods such as Twinkies and CupCakes, has filed for Chapter 11 bankruptcy Wednesday. The company does not plan to layoff any of its 19,000 employees and will continue its business operations, while all debt is restructured.
According to the bankruptcy filing, Hostess Brands owes more than $1 billion to over 50,000 creditors. Growing pension plans, lack of funding, and increased competition led the company to bankruptcy.
IRS EXTENDS TAX DEADLINE TO APRIL 17
The Internal Revenue Service has announced that taxpayers have until April 17 to file their tax returns. The IRS is encouraging taxpayers to use e-file for the most accurate tax returns and fastest refunds. The IRS will begin accepting e-file and Free File returns on Jan. 17, 2012. The IRS also announced a number of improvements to help make this tax season easy for taxpayers. The best way for taxpayers to get answers to their questions is by visiting the IRS website.
For more information, visit: IRS NEWSROOM ARTICLE
Sarah M. Place, President and CEO of Place Trade Financial, Inc. (Member FINRA, SIPC), www.placetrade.com, a global full service brokerage firm and MSRB registered municipal bond dealer, announced that her advice is currently being featured in the January 2012 issue of SmartMoney, The Wall Street Journal Magazine. Her advice regarding the recent, dramatic volatility in the U.S. Treasury bond market was featured in the cover story entitled “How to Tame the Wild Bond Market – The New Normal: Wild Rides.”
“I am honored to be included among the prominent national bond experts whose advice was featured in the SmartMoney Magazine article,” said Place. “Since August of 2011, the U.S Treasury bond market has seen significant volatility due to a number of factors including the current state of the U.S. and global economies, political uncertainties, and the European debt crisis.”
Sarah M. Place, President and CEO of Place Trade Financial, Inc. (Member FINRA, SIPC), www.placetrade.com, a global full service brokerage firm and MSRB registered municipal bond dealer, announced that the firm, which was originally founded in Lillington, NC, is celebrating 10 Years in the Triangle.
During this time, the firm has grown from a small full service broker dealer offering financial advice to a global firm offering everything from college and retirement planning to an independent registered representative network, a successful college internship program and extensive online trading through more than 90 market centers in 19 countries with multiple trading platforms, languages and currencies available for trading.
“We are very proud to have the opportunity to be a part of the Triangle community and experience the growth that we have achieved,” said Place. “We are grateful to all of our clients for their trust as well as to our employees, interns and independent RRs for their service and significant contributions to our continued growth.”
Zynga, the world’s largest social game developer for websites such as Facebook and Myspace, sold 100 million shares priced at $10 through their IPO. Shares initially rose around 10% and then fell below their initial pricing minutes after. Zynga’s struggle suggests investors are Read the rest of this entry »
Commodities fell sharply on Wednesday, as the dollar continued to strengthen. Gold futures dropped below $1,600 an ounce, breaking below its 200-day moving average for the first time in years. Silver was the hardest hit commodity, as iShares Silver Trust plunged 6.1%.
Also part of the plummeting commodity sector was oil, which fell below $96 a barrel due to concerns in Europe and investor’s disappointment in the Fed’s lack of action yesterday.
On Tuesday, the Federal Reserve announced it will keep the federal funds rate exceptionally low through mid-2013 and make no significant changes to its policy. The Federal Open Market Committee voted 9-1 in favor of the decision.
Included in the Fed’s report was that the housing market remains depressed and that household spending continues to advance. The economy continues to expand slowly, while global strains signify significant downside risk.
The Fed seeks to extend the average maturities of its holdings and will continue to access overall economic conditions.
Newt Gingrich’s aggressive tax reduction plan would reduce government revenue by a staggering $1.3 trillion in 2015. The plan consists of an option 15% flat income tax, a $12,000 per-person tax deduction, and the elimination of the capital gains and estate tax.
Former CEO of MF Global, Jon Corzine, will testify in front of Congress about how over one billion dollars in client money vanished. MF Global recently filed for bankruptcy because of risky investments on European debt that did not pan out.
With the criminal investigation of MF Global still pending, Corzine is expected to plead the Fifth Amendment in response to many questions. Time will tell how much of Corzine’s side of the story he plans to divulge tomorrow.
MidAmerican, a holding company of Berkshire Hathaway, has agreed to buy a $2 billion Topaz Solar Farm project from First Solar. The solar farm has half the energy capacity of a nuclear reactor and is one of the two largest Read the rest of this entry »
The U.S. Postal Service is implementing a new business plan that will cut costs by nearly $3 billion to escape bankruptcy. First class mail will change from being overnight to 2-5 day delivery. Almost 4,000 post offices will be closed around the nation and 100,000 employees will be terminated.
Over $14.1 billion in losses is expected by the U.S. Postal Service this year. Billions is owed to the Treasury Department to pay off retiree health benefits. To raise more revenue, first class stamps have increased in price by 33% since 2000. A one cent increase is upcoming on January 22nd.
Central banks around the world, including the Federal Reserve, added liquidity to global markets by lowering interest rates on dollar loans. The move allows struggling European banks to raise funds cheaply and alleviate the pains of the European debt crisis. China helped trigger the movement by Read the rest of this entry »
American Airlines, the third largest airline in the United States, and its parent company AMR both filed for chapter 11 bankruptcy after a labor deal with pilots fell through. AMR was the only major U.S. carrier to not file for bankruptcy in the last decade.