Businesses filing for bankruptcy need loans to work out their troubles, or face liquidation. But General Motors and its smaller rival, Chrysler, have threatened that they will need $125 billion, in what would be the largest bankruptcy financing packages ever, if they do not receive the additional federal aid they are requesting.
Another round of layoffs was announced on Thursday, adding to the gloom over rising unemployment. Delta Air Lines and Performance Food Group were among the latest names on Wednesday to announce job cuts.
GM says that by the end of March it will reach a decision to either sell the brand or phase it out. My gut, based on talking with people in GM and the industry, is HUMMER is sold, but for far, far less than what GM wants.
Stocks limped to the finish line Wednesday as broad strokes on the bank plan from Bernanke failed to comfort the market.
GM CEO Richard Wagoner, Jr., says taking a conservative view of the future sent him back to the government to ask for more money.
Yes, the numbers are staggering. Anytime a company says it may need up to another $16.5 Billion to fix its business, there's no way to sugar coat it.
Housing starts were terrible, well below expectations (multifamily construction down 25 percent). The only good news is that 30-year mortgage rates dropped below 5 percent, according to the Mortgage Bankers Association.
Futures pointed higher Wednesday as investors looked to scoop up some bargains after the previous session's selloff and shrugged off another dismal housing data point.
The brand that was once hailed as an important part of the future of General Motors now will be part of its past.
Tuesday: President Obama signed the $787 billion economic stimulus bill into law, as governments around the world consider their own actions. But global markets plunged on fears of a deepening recession; Chrysler asked the U.S. for $2 billion more in loans and General Motors is widely expected to follow suit. Investors are fleeing to bonds and gold-backed securities. CNBC heard from experts who warned that the March "bear market bull" won't happen — but that we are, indeed, in a "bottoming process."
The Dow slid within striking distance of its bear-market low on Tuesday, despite the fact that President Obama signed the economic stimulus into law. What went wrong?
Stocks tumbled to November levels Tuesday as investors faced a fresh sign of the deepening recession and dilution worries gnawed at bank stocks. Wal-Mart was the lone gainer on the Dow after the retail giant beat earnings expectations.
We have seen these days often in the past month. Stocks start lower on heavy volume (it looked like we might do 2 billion shares at the NYSE at the open), but very quickly the selling pressure eased, and an old-fashioned buyers strike ensued.
As we are getting close to the November 2008 lows, here are some key dates for for each of the major indices, both on a closing and intraday basis.
The threat of a government-backed bankruptcy is necessary to drive a "breakthrough," structural change for the auto industry, said Mike Jackson, AutoNation chairman & CEO.
Another round of layoffs was announced on Tuesday, adding to the gloom over rising unemployment.
Futures are down in the U.S., European banks are weak in Europe, bonds are up, and gold and other precious metals are rallying; gold at $966 this morning is continuing its slow march to $1,000 an ounce. It briefly climbed over $1,000 in March of 2008
Remember in college when you had to turn in that mid-term exam? Today, GM and Chrysler face their own mid-terms of sorts, but with a big difference.
Futures tumbled Tuesday as a sharp drop in New York manufacturing activity exacerbated worries about the deepening recession.
It may seem like the country that used to make everything is on the brink of making nothing.