Global Investing News

Berkshire’s Armor Cracks; JPMorgan Bags $5 Billion Selling Deriviates; Recordati Proposes Increased Divided; China May Double Stimulus This Week; Homes Sales Continue to Break Down;

• After recording its worst financial results ever last year, Warren Buffet’s Berkshire Hathaway Inc. (BRK.A, BRK.B) announced it would cut manufacturing jobs and close facilities to buffer itself against the recession. “Berkshire’s operating companies have taken and will continue to take cost reduction actions in response to the current economic situation, including curtailing production, reducing capital expenditures, closing facilities and reducing employment to partially compensate for the declines in demand,” the firm said in a regulatory…

Global Investing Roundups

Jobless Claims Rise to 516,000; Wal-Mart Earnings Soar; Intel Lowers 4Q Forecast; Urban Outfitters Clocks $59 Million 3Q Earnings; Budget Deficit Hits Record High; Volatile Crude Climbs 3.7%; U.S. Steel Lays Off 677 NA Employees;

• Initial jobless claims jump to their highest level since 9/11, rising 32,000 to 516,000 in the week ended Nov. 8, the Labor Department said yesterday (Thursday). The total number of people collecting unemployment benefits is at the highest level since 1983, CNNMoney.com reported.

• Despite consumer spending dropping 3.1% in the third quarter, Wal-Mart Stores Inc. (WMT) beat estimates by reporting a 9.8% gain in third-quarter profit. The…

Contradictory Economic Reports Whipsaw Investor Expectations

No wonder this economy is so hard to figure out: The economic reports are as volatile as the economy itself.

Just when the dreaded “R” word seemed to be creeping back into the daily office chatter, a few economic reports last week seemed to reaffirm that the enhanced pessimism may be a tad bit early.

In the second quarter, gross domestic product (GDP) grew at a 3.3% pace, a significant upward revision from the 1.9% growth rate reported last month. While analysts were hoping that the summer tax rebates would provide more of a boost than initially posted, most were surprised by…

Global Investing Roundups

Deere Misses Estimates; Genentech Rejects Roche Bid; Crude Rises on Inventory Report; China Fire & Security an Earnings Inferno; Joining Forces to Battle Insider Trading; Best Buy’s Coup; Merrill Slashes Wall St. Ratings; Ford’s European Makeover

-Deere & Co. (DE), the world’s largest maker of farm equipment, dropped the most in 20 years after reporting earnings that missed analyst estimates yesterday (Wednesday). The company reported third-quarter profit rose 7% to $575.2 million, but $140 million increase in raw materials and freight costs pushed profit below estimates. Deere stock fell as low as $61 a share before closing at $67.10.

-Genentech Inc. (DNA) yesterday…

Global Investing Roundups

Wells Fargo Jumps 32% on Dividend Hike; Crude Falls $10 in Two Days; Home Building Collapses; Gazprom Threatens to Take Belarus to Court; Gannett’s 2nd Quarter Tumble; SK Telecom Eyes up Sprint?; Time Warner Travels to Seattle; Delta’s $1 Billion Loss Turns to Gains

Wells Fargo Co. (WFC) stock jumped 32% after the nation’s fifth largest bank raised its dividend by 10%, from 31 cents a share to 34 cents. The company reported second-quarter profit fell 22% as more customers defaulted on loans, but the dividend hike was enough to answer any questions concerning the company’s stability.

Light, sweet crude for August…