Stock Values

The Federal Reserve will have to raise its benchmark interest rate to 3 percent by the end of the year to combat inflation, said Stephen Stanley, chief economist at RBS Securities Inc. in New York.

Citigroup Inc. and Marshall & Ilsley Corp. were among the worst performing stocks in the Standard & Poor’s 500 Index this year, dragged down by souring commercial and residential property loans that may extend the declines into 2010.

Japan Airlines Corp., Asia’s biggest carrier by sales, plunged to a record in Tokyo trading after reports the carrier may enter bankruptcy proceedings led investors to sell shares on the year’s last trading day.

GMAC, the home and auto lender that counts the U.S. government as the largest stakeholder, is discussing with the Obama administration a third bailout of $3 billion to $4 billion

Barton Biggs and Marc Faber, who recommended buying stocks in March when investors were dumping them, are again united as they predict gains for U.S. equities and the dollar

Treasuries were little changed after the government sold a record-tying $42 billion of five-year debt, the second of three note sales this week totaling $118 billion.

Sanofi-Aventis SA’s $1.9 billion bid for Chattem was leaked in advance to two French investors who reaped $4.2 million by making illegal insider trades, U.S. regulators claim in a lawsuit

Greece’s efforts to win a second bailout from international creditors teetered in the balance as negotiations in Athens failed to clinch an agreement.

American factories added the most jobs in a year as they stayed at the forefront of the expansion, boosting employment opportunities in the rest of the economy.

The U.S. labor market recovery is broadening as industries from construction to retail to manufacturing added workers in January and the jobless rate fell to the lowest level in three years.

European retail sales unexpectedly declined in December, led by Germany and France, as unemployment at a 14-year high and government spending cuts sapped consumer demand.

Nigel Doughty, co-founder of private equity firm Doughty Hanson & Co. and owner of English soccer team Nottingham Forest, died today in his home at age 54.

U.S. stocks rose, giving the Standard & Poor’s 500 Index a fifth straight weekly advance, after reports showed employment in the world’s largest economy topped forecasts and global manufacturing is strengthening.

The U.S. labor market recovery is broadening as industries from construction to retail to manufacturing added workers in January and the jobless rate fell to the lowest level in three years.

President Barack Obama announced a package of proposals designed to jolt the housing market, his latest effort to reignite the economy after four years of foreclosures and falling home prices.

Mitt Romney’s statement that the “very poor” don’t concern him comes as the portion of Americans living in deep poverty is the highest in 35 years

European stocks posted the biggest weekly gain this year, sending the Stoxx Europe 600 Index to its highest level in six months, as manufacturing increased globally and the U.S. jobless rate fell to the lowest in three years.

Deutsche Bank AG shunned the three- year loans the European Central Bank offered to banks in December on concern taking the funds could damage its reputation with customers, said Chief Executive Officer Josef Ackermann.

Chinese Premier Wen Jiabao raised the prospect of contributing to the euro-area’s bailout programs, telling Chancellor Angela Merkel that China may be prepared to assist in resolving its debt crisis.

Spain’s new government gave banks an extra year to recognize losses if they agree to merge, as it tries to overhaul the financial industry crippled by the collapse of the nation’s property boom four years ago.