McColl: Bank of America on right path

CHARLOTTE, North Carolina (Reuters) - Bank of America Corp's current chief executive is doing the right things to fix the company, but it will take time, said Hugh McColl Jr., the retired architect of the second biggest U.S. bank. Brian Moynihan, about to enter his third year as CEO in January, has been selling off assets to build capital, cutting expenses and working to settle lawsuits tied to the bank's Countrywide Financial Corp acquisition. But he still faces pressure to meet new international capital standards, boost revenue and improve a slumping stock price. ...

Zynga falters in debut, sheds doubt on IPO market

NEW YORK/SAN FRANCISCO (Reuters) - Online games developer Zynga Inc scored badly as it went public on Friday, dashing hopes for the year's hottest tech IPO, as investors frowned on its over-reliance on Facebook, dimming growth prospects, and outsized control by CEO Mark Pincus. Zynga's stock fell 5 percent below its $10 initial public offering price to close at $9.50 on Nasdaq on Friday, dealing losses to IPO buyers used to racking up gains on a stock's first day of trading. ...

Wall Street up on optimism about economy

NEW YORK (Reuters) - Stocks rose on Friday, with growth-related shares leading the way as investors focused on a brighter U.S. economic outlook. Reversing a recent trend of trading in tandem with European stocks, U.S. equities were on track to post their best day this week. European shares fell 0.4 percent. U.S. financials , which have underperformed the S&P 500 this week, were the strongest of the 10 top sectors in the benchmark index, up 1.2 percent. Credit card company Discover Financial added 4.4 percent to $24.08 a day after posting strong results and raising its dividend. ...

Inflation eases, creates space for Fed stimulus

WASHINGTON (Reuters) - Consumer prices were flat in November as Americans paid less for cars and gasoline, a further sign of a cooldown in inflation that could give the Federal Reserve more room to help a still weak economy. The Labor Department said on Friday the Consumer Price Index was unchanged last month. Economists had expected an increase of 0.1 percent. Prices spiked earlier in the year, but the report showed the trend has shifted. Over the past 12 months, prices have risen 3.4 percent. That marked a second monthly decline from a three-year high in September. ...

NY Times CEO exiting, without explanation

NEW YORK (Reuters) - Janet Robinson will step down as chief executive of the New York Times Co at the end of the month, as the company continues to struggle with advertising declines and a years-long slump in its share price. The problems plaguing newspaper companies are well known. Readers have ditched print for digital, causing circulation and advertising revenue to plummet. Newspaper company Lee Enterprises last week succumbed to industry changes and filed for bankruptcy protection. ...

Prosecutors: Stanford competent to stand trial

Jailed Texas financier R. Allen Stanford is now competent to be tried next month on charges he bilked investors out of $7 billion in a massive Ponzi scheme, federal prosecutors said Thursday.

Analysis: China's $300 billion fund a wake-up call to U.S.

BEIJING (Reuters) - China's plan for a new $300 billion sovereign wealth fund is as much a warning to Washington as it is a body blow to Brussels. It's the clearest sign yet of Beijing's waning faith in bonds issued by Europe and the United States. Europe's festering debt debacle, record low yields on U.S. Treasuries and a depreciating dollar all add weight to the view in China that the time is ripe to change investment tack. ...

Kenya aims to seal $600 mln short-term loan by mid-Jan

NAIROBI (Reuters) - Kenya has approached 14 international banks to finance a $600 million short-term loan and it expects to seal the deal with a maximum of three by mid-January, the finance ministry said on Wednesday. "We may be able to conclude with either one or three. We are expecting the process will be complete by mid January," Joseph Kinyua, permanent secretary in the finance ministry, told reporters. "By that time we would be signing about 40 percent of the financing. The rest of the amount will be given by the end of the fiscal year. ...

Kenya shilling off 6-mth highs on importer dollar buys

NAIROBI (Reuters) - The Kenyan shilling fell back from near six-month highs on Wednesday as importers bought dollars, but traders said farm, tourism and remittances inflows could provide support. At 0731 GMT, commercial banks quoted the shilling at 89.00/20 against the dollar, slightly weaker than Tuesday's close of 88.80/89.00. "We expect renewed buying interest from importers under the 89.00 mark, a move that could slow the shilling's rally," said Bank of Africa in a daily report. "The local unit continues to receive firm support from the farm, Tourism and NGO (aid agencies) sectors. ...

Canadian dollar slumps after Fed disappoints

TORONTO (Reuters) - The Canadian dollar hit its weakest level against the U.S. dollar in nearly two weeks on Tuesday after the U.S. Federal Reserve stirred uncertainty by failing to signal policy easing despite warning that market turbulence poses threats to economic growth. The currency dropped as low as C$1.0350 against its U.S. counterpart, or 96.62 U.S. cents, its weakest point since November 30, as the greenback donned its safe-haven sheen at the expense of the Canadian dollar and other riskier currencies. The U.S. central bank characterized the U.S. ...

Nigerian naira closes 4.46 pct down vs. dlr on last year

LAGOS (Reuters) - The Nigerian naira closed for the year at a five week high on Friday, but it was 4.46 percent down on its opening level at the start of 2011, as months of dollar demand pressure took its toll on the local currency, traders said. The naira closed at 159.10 to the dollar on Friday, its strongest since November 25, traders said, up from 163.15 to the dollar at Thursday's close. But that was down 4.46 percent on the 152 to the dollar on which it opened the year. ...

You thought 2011 was tough?

NEW YORK (Reuters) - Shaky Europe. Political gridlock. Volatile markets. Familiar themes for those who lived through 2011, and investors should be ready to revisit them next year. With a spiraling debt crisis in Europe, political upheaval around the world, and crumbling creditworthiness in major industrial nations, 2011 was a tough year to know where to invest. 2012 is unlikely to offer much respite. The S&P 500, a measure of the biggest U.S. companies' market value, spent much of the year getting pushed up and down, flummoxing shorts and longs - and scaring Moms and Pops away from stocks. ...

AC in '12: Reveling in comeback or still slumping?

You know that all-in moment, when you push most of your pile of chips out onto the table, and wait to see where the little white ball lands, or which card flips from the deck, to know whether you're a winner or a big loser? 2012 is looking a lot like that for Atlantic City.

Caterpillar unit rejects CAW contract extension request

(Reuters) - Caterpillar Inc said a Canadian Auto Workers (CAW) labor contract that expires Saturday at midnight will not be extended despite the union's request for two more months of talks and a mediator. Caterpillar's Electro-Motive Canada subsidiary has been negotiating a new labor contract for locomotive production workers at a plant in London, Ontario with the CAW for several months, but the parties have run into a road block over terms. On Friday, union members authorized a strike against Caterpillar's operation if the company imposes unilateral changes. ...

Dawn of a year of trading dangerously

LONDON (Reuters) - Out with the old year, in with the new and for investors uncertainty is likely to be the only certainty once more. The euro zone debt crisis is far from resolved, turmoil in the Arab world has shifted to Syria and Iran has threatened to stop the flow of oil from the Gulf if sanctions are imposed due to its nuclear ambitions. 2011 was a dire year for equities outside the United States with world stocks poised to drop by around eight percent and emerging markets faring far worse. ...

In 2012, Obama to press ahead without Congress

Leaving behind a year of bruising legislative battles, President Barack Obama enters his fourth year in office having calculated that he no longer needs Congress to promote his agenda and may even benefit in his re-election campaign if lawmakers accomplish little in 2012.

U2 has the edge: Band had 2011's highest-grossing tour

LOS ANGELES (TheWrap.com) - U2 is No. 1 when it comes to touring. The band had the highest-grossing tour both in North America and worldwide in 2011. Bono, the Edge and company grossed $156 million in North America on the strength of 1.7 million tickets sold, according to Pollstar, which covers the concert industry. They grossed $231.9 million worldwide off 2.39 million tickets. Rounding out the top five highest-grossing touring acts in North America were Taylor Swift ($97.7 million), Kenny Chesney ($84.6 million), Lady Gaga ($63.7 million) and Bon Jovi ($57.1 million). ...

Low volume rally on Wall Street sets tone for next year

NEW YORK (Reuters) - Stocks rose on Thursday, resuming their upward move into year-end, as positive data on the U.S. economy offset concerns about the euro zone. But the S&P 500 continued to churn around its 200-day moving average, although the index was back in positive territory for 2011 ahead of the last trading day of the year. Scant volume increased the market's volatility. "The low-volume rally is likely to continue to tomorrow, sort of setting the stage of the first quarter of next year," said Uri Landesman, president of Platinum Partners in New York. ...

Stocks slide; S&P 500 turns negative for year

Stocks weakened Wednesday, ending a five-day advance in the S&P 500 index, as new signs of strain emerged in the European banking system. The euro fell to its lowest level against the dollar in nearly a year and Treasurys rallied.

Sears closing more stores as holiday sales slide

(Reuters) - Sears Holdings Corp will close as many as 120 of its Kmart and Sears discount and department stores after its holiday sales slumped, sending its shares sliding more than 27 percent to their lowest level in three years. The retailer, which is controlled by its chairman, the hedge fund manager Edward Lampert, has seen sales decline every year since the $11 billion merger of the two chains in 2005, and likely faces further closings to cut expenses, preserve cash and push back against rivals such as Wal-Mart Stores Inc and Amazon.com Inc, analysts said. ...

Farming practices threaten widely grown corn crop

a genetically engineered corn plant that makes its own insecticide â€" may be losing its effectiveness because a major pest appears to be developing resistance more quickly than scientists expected.

Stock index futures seen inching lower

(Reuters) Stock index futures pointed to a lower open on Wall Street on Wednesday, with futures for the S&P 500, Dow Jones futures and Nasdaq 100 futures down 0.04 to 0.2 percent at 0901 GMT. * On the macro economic front, investors will watch U.S. Redbook weekly U.S. Retail Sales at 1355 GMT. * Iran has threatened to halt the flow of oil through the Strait of Hormuz if foreign sanctions were imposed on its crude exports over its nuclear ambitions, in a move which some analysts say could kindle military conflict with economies dependent on Gulf Oil. ...

S.Africa's rand little changed, bonds also flat

JOHANNESBURG, Dec 28 - South Africa's rand was little changed from its previous close and government bonds were also largely flat in sluggish trade on Wednesday, with most players out of the market until the start of the new year. The rand traded at 8.1530 against the greenback at 0653 GMT, down just 0.04 percent from Tuesday's close. "It's been very stagnant, I still think euro zone developments will be the major driver and the rand will trade accordingly," a Johannesburg rand dealer said. "It's very thin; and just looking at the price action this morning, markets are illiquid. ...

Wall St near flat; S&P on track to end in black

NEW YORK (Reuters) - Stocks were nearly unchanged on Friday, the last trading day of a turbulent year, but the S&P 500 looked set to end with a slight gain. Many market participants stayed on the sidelines, reflecting what is typically ultra-light volume for the year's last session. Volume this week has been about half the daily average, with many traders away for the Christmas and New Year's holidays. The anemic action has amplified moves in both directions. The CBOE VIX volatility index is up about 30 percent for the year, the first increase since 2008. ...

Boeing wins $3.48 billion U.S. missile contract

(Reuters) - Boeing Co beat out Lockheed Martin to retain its position as the prime contractor for the U.S. long-range missile shield, the Pentagon said on Friday. The U.S. Defense Department said it was awarding Boeing a $3.48 billion, seven-year contract to develop, test, engineer and manufacture missile defense systems. A team led by Lockheed Martin Corp and Raytheon Co had vied with Boeing to expand and maintain the Ground-based Midcourse Defense, or GMD, hub of layered antimissile protection. Boeing partnered with Northrop Grumman Corp to retain the work. ...

Analysis: Dawn of a year of trading dangerously

LONDON (Reuters) - Out with the old year, in with the new and for investors uncertainty is likely to be the only certainty once more. The euro zone debt crisis is far from resolved, turmoil in the Arab world has shifted to Syria and Iran has threatened to stop the flow of oil from the Gulf if sanctions are imposed due to its nuclear ambitions. 2011 was a dire year for equities outside the United States with world stocks poised to drop by around eight percent and emerging markets faring far worse. ...

Ford brand 2011 U.S. sales top 2 million

(Reuters) - Ford Motor said its primary Ford brand vehicle sales topped 2 million in the United States this year, the first time since 2007 that any single automotive brand has reached that level. The Ford brand passed the 2-million mark on Wednesday this week, said Erich Merkle, Ford U.S. sales analyst. Ford's small cars sales are on pace to post an increase of more than 20 percent this year, while its utility vehicles are tracking a 30-percent gain, the company said. The Ford brand sold slightly more than 1.9 million cars in 2010 in the United States. ...

Ford 2011 sales top 2 million for first time since 2007

(Reuters) - Ford Motor said its U.S. vehicle sales topped 2 million this year for the first time since 2007, implying a 15 percent share in the second biggest auto market in the world. Ford's small cars sales are on pace to post an increase of more than 20 percent this year, while its utility vehicles are tracking a 30 percent gain, the company said. With gasoline prices higher than last year, customers continue to move toward smaller, more fuel-efficient vehicles, Ford said. The company sold slightly more than 1.9 million cars in 2010 in the United States. U.S. ...

Verizon ditches $2 fee after customer uproar

NEW YORK (Reuters) - Verizon Wireless has reversed its decision to charge a $2 fee for telephone and online bill payments, bowing to a storm of criticism from consumers and the U.S. communications regulator. The biggest U.S. wireless operator retracted its decision on Friday, just a day after it announced the fee for one-time payments, which was to have begun January 15. The consumer victory comes after Bank of America recently decided against a new $5 monthly fee for debit card users after consumers and lawmakers protested the charge. ...

Boeing wins $3.48 billion U.S. missile defense contract

(Reuters) - Boeing Co beat out Lockheed Martin to retain its position as the prime contractor for the U.S. long-range missile shield, the Pentagon said on Friday. The U.S. Defense Department said it was awarding Boeing a $3.48 billion, seven-year contract to develop, test, engineer and manufacture missile defense systems. A team led by Lockheed Martin Corp and Raytheon Co had vied with Boeing to expand and maintain the Ground-based Midcourse Defense, or GMD, hub of layered antimissile protection. Boeing partnered with Northrop Grumman Corp to retain the work. ...

Merkel says Europe must cooperate more for euro to succeed

BERLIN (Reuters) - Europe must cooperate more closely if it wants the euro to succeed as its shared currency, and it still has a long way to go to overcome its sovereign debt crisis, German Chancellor Angela Merkel said in her New Year's Eve address. She said that she would do everything in her power to strengthen the euro, but that this would only work if Europe learned from its mistakes. "A common currency can only really be successful if we in Europe cooperate more than we have done," Merkel said in a pre-recorded televised address to be broadcast on Saturday. ...

South Africa stocks slip into red for 2011

JOHANNESBURG (Reuters) - South African stocks slipped to their first annual loss since the 2008 financial crisis, giving up 0.6 percent as concerns about the euro zone shredded confidence in miners and other firms sensitive to global growth. While Johannesburg's slight decline outperformed many developed and emerging markets in 2011, the pain was far worse for foreign investors, who saw their returns eroded by a nearly 20 percent drop in the rand currency. The sluggish stock performance is likely to continue due to the uncertainty about Europe, traders have said. ...

Verizon backtracks on $2 fee after customer outrage

NEW YORK (Reuters) - Verizon Wireless has reversed its decision to charge a $2 fee for one-time telephone and online bill payments after a storm of criticism from consumers and the U.S. communications regulator. The biggest U.S. wireless operator retracted its decision on Friday, just a day after it announced the fee, which was to have begun January 15. Verizon said it was making the decision based on customer input. This was after consumers spoke out about the fee, with some threatening to leave the service as a result. The U.S. ...

Wall St off on last trading day

NEW YORK (Reuters) - U.S. stocks fell on Friday, the last trading day of a turbulent year, with the broad S&P 500 index on track to end 2011 barely changed from 2010's closing level. Efforts by market participants over the past few days to push the broader index into positive territory for the year were not enough as ongoing uncertainty about the euro zone's debt crisis and fears of a global recession curbed market sentiment. The S&P was up 0.2 percent for the year. Not since 1970 has the index shown such little annual movement in either direction. But the Dow has gained 5. ...

S.Africa's rand steady after dismal 2011

JOHANNESBURG (Reuters) - South Africa's rand held steady against the dollar in early trade on Friday but was set to end 2011 as one of the worst-performing currencies of the year, suffering a whiplash reaction from investors spooked by Europe's debt crisis. The rand was at 8.17 to the dollar at 0640 GMT, not far off its 8.1816 close in New York on Thursday. The currency opened 2011 at 6.57 against the dollar, but has since lost nearly 19 percent in value and stands neck and neck with Turkey's lira as the poorest emerging market performer. ...

China's factories falter, pro-growth policies eyed

BEIJING (Reuters) - China's factory activity shrank again December as demand at home and abroad slackened, a purchasing managers' survey showed on Friday, reinforcing the case for pro-growth policies to underpin the world's second-largest economy. The People's Bank of China is widely expected to lower its requirement for the amount of cash banks must hold as reserves to let lenders inject more credit into the economy to fight headwinds from Europe's debt crisis and sluggish U.S. demand. ...

S.Africa rand sees daily gain but down steeply for year

JOHANNESBURG (Reuters) - South Africa's rand rallied as much as 1.3 percent against the dollar on the last trading day of the year on Thursday, but was set to finish among the biggest annual losers in a year of global risk aversion linked to the euro zone debt crisis. The appeal of higher yields has however partly shielded local debt from the sell-off, with benchmark bonds ending the year sharply off September's multi-month highs when the flight to safe havens accelerated. By 1502 GMT the local currency was 1.24 percent stronger against the dollar at 8.0804 compared with Wednesday's close at ...

Spain says deficit bigger than expected, hikes taxes

MADRID (Reuters) - Spain's new government said on Friday that this year's budget deficit would be much larger than expected and announced a slew of surprise tax hikes and wage freezes that could drag the country back to the centre of the euro zone debt crisis. In its first decrees since sweeping to victory in November, the centre-right government said the public deficit for 2011 would come in at 8 percent of gross domestic product, well above an official target of 6 percent. It announced initial public spending cuts of 8.9 billion euros ($11. ...

Wall Street dips at end of volatile year

NEW YORK (Reuters) - Stocks edged lower on Friday, the last trading day of 2011, as investors waited for next year to begin making large bets. With the S&P 500 on track for a slight gain for the year after returning to positive territory on Thursday, many market participants were expected to stay on the sidelines on what is typically one of the lowest-volume sessions of the year. Volume this week has been about half the daily average, with many traders away for the Christmas and New Year's holidays. The anemic action has amplified moves in both directions. ...

Futures flat as volatile year nears end

NEW YORK (Reuters) - Stock index futures were little changed on Friday, the last trading day of 2011, as investors waited until the next year to begin making large bets. With the S&P 500 on track for a slight gain for the year, many market participants will likely stay on the sidelines on what is typically one of the lowest-volume sessions for the year. Equities may continue a trend followed for much of 2011, taking a cue from European markets. Mixed results from a recent auction for Italian bonds reignited worries about the region's debt crisis. European shares rose 0. ...

Egypt expects tourism rebound in 2012, security key

CAIRO (Reuters) - Egypt expects tourism revenues to rebound by more than a third next year if the country's security situation improves in the wake of the uprising that toppled Hosni Mubarak in February and the subsequent political turmoil that sent tourists packing. Tourism used to account for more than a tenth of Egypt's gross domestic product (GDP) before this year's upheaval, and also employs an estimated one in eight in a country where high joblessness fuelled the anger that led to the uprisings. "We can get back to the 2010 figures of $12.5 billion in terms of income and 14. ...

Markets in Europe, Asia end 2011 down but US up

Stock markets around the world were closing out 2011 on a subdued note Friday, with many of the world's major indexes posting big declines for the year in the wake of Europe's debt crisis, a faltering U.S. economy and signs that China's economy is no longer sizzling.

World stocks waver on last trading day of 2011

Global stock markets were mixed Friday on 2011's last trading day and turned in heavy losses for the year after Europe's debt crisis and natural disasters battered a struggling global economy. Japan's benchmark hit its lowest close in 29 years.

Asia stocks end 2011 sharply lower

SINGAPORE (Reuters) - Asian stocks were poised to end their first losing year in three on Friday, having shed nearly a fifth of their value as Europe's debt crisis and financial turmoil took a toll on investors' risk appetite, driving them to safer assets such as the U.S. dollar and gold. European stocks were set to edge higher on the last session of a dismal year that saw them tumble about 12 percent, while U.S. futures pointed to a weaker opening on Wall Street later in the day, with the S&P 500 looking set to end the year pretty close to where it began. ...

On 10th anniversary, euro takes blame for economy

Just three years ago, the euro was being praised as the can-do currency that had delivered unprecedented prosperity in Europe.

Harsh winters, habitat loss hurts Plains hunting

Hunters in the northern Plains who've grown accustomed to bringing home three pheasants or a deer are finding the years of abundance may be over.

Asia stocks end 2011 sharply lower, Europe in focus

SINGAPORE (Reuters) - Asian stocks were poised to end their first losing year in three on Friday, having shed nearly a fifth of their value as Europe's debt crisis and financial turmoil took a toll on investors' risk appetite, driving them to safer assets such as the U.S. dollar and gold. European stocks were set to edge higher on the last session of a dismal year that saw them tumble about 12 percent, while U.S. futures pointed to a weaker opening on Wall Street later in the day, with the S&P 500 looking set to end the year pretty close to where it began. ...

Asian stocks edge up but poised for 2011 loss

SINGAPORE (Reuters) - Asian stocks nudged higher and the euro clung to overnight gains on Friday, the last trading day of 2011, as positive data from the United States helped allay concerns on the global economy, while year-end short covering lifted crude prices. Still, the region's stocks have collectively lost about a fifth of their value this year, as natural calamities and financial turmoil took a toll on the risk appetite of investors, driving them to safer assets such as the U.S. dollar and gold. ...

Netflix, Gap lag in customer satisfaction online

(Reuters) - Netflix Inc and Gap Inc were among the worst performers in customer satisfaction among the largest online retailers this holiday season, according to a survey released on Wednesday. Overstock.com Inc came last out of the 40 largest online retailers, with a rating of 72 out of 100, down 4 points from last year, the survey by ForSee found. Gap.com, Gap's main website, was second last with 73 points, down 5 from a year ago. Other laggards included buy.com and websites run by Sony and Toys R Us, ForSee said. ...

Consumer confidence perks up, house prices sag

WASHINGTON (Reuters) - Improving labor market conditions lifted U.S. consumer confidence to an eight month high in December, but persistently weak house prices remain an obstacle to faster economic growth. The sharp rise in sentiment reported by the Conference Board on Tuesday offered hope for a pick-up in consumer spending after an anemic performance in November. "It suggests there is some real improvement in the economy. Consumer confidence really boils down to how people feel about the labor market," said Mark Vitner, a senior economist at Wells Fargo Securities in Charlotte, North ...