Stocks sink again on Obama's pushback
on banks NEW YORK (AP) -- The stock market
suffered its worst setback in more than 10 months as investors rejected
President Barack Obama's plans to restrict big banks and earnings reports that
just weren't good enough. The Dow Jones industrial average had
its fourth big drop in five trading days Friday, sliding 217 points 10,172.98.
Over the past three days, the Dow lost 552 points, or 5.2 percent, and over the
past five days, it fell 537 points, after gaining 115 points on Tuesday. It was the worst showing for the market
since it began its recovery last March. The Dow lost 4.1 percent this week, its
worst week since it hit a 12-year low in March. GE 4th-qtr income falls but signs
improving General Electric Co.'s fourth-quarter
net income fell 19 percent, but the industrial bellwether is seeing signs of
stability as it moves into a key rebuilding year. GE, one of the world's largest
companies, said that orders improved late in the year in its businesses that
supply equipment like turbines for power plants and sonogram machines for
hospitals. Its profit decline was smaller than previous quarters even though
the company's big lending unit still weighed on earnings. Results beat Wall Street forecasts for
the conglomerate, which is coming off one of the worst years in its 117-year
history. Bernanke faces more Sen. opposition for
2nd term WASHINGTON (AP) -- Federal Reserve
Chairman Ben Bernanke faced mounting Senate opposition for another four-year
term Friday, even as the White House described President Barack Obama as confident
about his confirmation. Four Democrats say they will vote
against Bernanke on the Senate floor. And at least two senators who voted for
Bernanke in the Senate Banking Committee last month are weighing their support. Many others have not made their
inclinations known, suggesting a vacillation in the Senate over Bernanke and
his stewardship of Wall Street both before and after the financial crisis. McDonald's profit is $1.22B in 4th
quarter CHICAGO (AP) -- McDonald's dollar menu
keeps gaining fans in the recession, and its profit rose last fall, but the
world's largest burger chain said Friday that its annual revenue slipped for
the first time in at least a quarter century. Analysts said McDonald's fortunes won't
dramatically increase until the economy -- especially the U.S. unemployment
rate -- does. For the three months that ended Dec.
31, McDonald's rang up revenue of $5.97 billion -- 7 percent more than the same
period last year. Falling commodity costs and currency fluctuations helped
boost the company's fourth quarter profit, which amounted to $1.22 billion, or
$1.11 per share. Unemployment rose in 43 states last
month WASHINGTON (AP) -- Unemployment rates
rose in 43 states last month, the government said Friday, painting a bleak
picture of the job market and illustrating nationwide data released two weeks
ago. The rise in joblessness was a sharp
change from November, when 36 states said their unemployment rates fell. Four
states -- South Carolina, Delaware, Florida and North Carolina -- reported record-high
jobless rates in December. New Jersey's rate, meanwhile, rose to a
33-year high of 10.1 percent while New York's reached a 26-year high of 9
percent. Analysts said the report showed the
economy is recovering at too weak a pace to generate consistent job creation. Gas prices down 7 straight days; crude
falls again NEW YORK (AP) -- Gasoline prices have
declined every day for a week following a similar slide in crude prices this
month. But with the national average at nearly
$2.73 a gallon on Friday, pump prices are still more expensive than any day
last year. They've ridden a 10-month rally in energy commodities that doubled
oil prices to nearly $80 a barrel by the end of last year. Experts say they still expect gas
prices to reach $3 a gallon sometime this spring, though it may take longer
than originally expected. Oil prices tumbled again Friday, as
Wall Street dropped for a third consecutive session. Benchmark crude for March
delivery lost $1.54 to settle at $74.54 a barrel on the New York Mercantile
Exchange. China slams US criticism of Internet
controls BEIJING (AP) -- Beijing issued a
stinging response Friday to Hillary Rodham Clinton's criticism that it is
jamming the free flow of words and ideas on the Internet, accusing the United
States of damaging relations between the two countries by imposing its
"information imperialism" on China. Foreign Ministry spokesman Ma Zhaoxu
defended China's policies regarding the Web, saying the nation's Internet
regulations were in line with Chinese law and did not hamper the cyber
activities of the world's largest online population. His remarks follow those
made by the U.S. secretary of state, who in a speech Thursday criticized
countries engaging in cyberspace censorship, and urged China to investigate
computer attacks against Google. Hershey has no immediate plan for
Cadbury bid HERSHEY, Pa. (AP) -- Candy maker
Hershey says it has no immediate plans to make an offer for British competitor
Cadbury, making it all but certain that Kraft Foods Inc.'s $19.5 billion bid
will proceed without competition. The Hershey Co. did leave room for
reconsideration, however. The company says it is reserving the
right to bid or participate in a Cadbury offer within six months, but a number
of conditions must be met. Higher prices boost Kimberly-Clark 4Q
profit MILWAUKEE (AP) -- Kimberly-Clark Corp.
reported lower fourth-quarter profit than analysts expected and set more somber
predictions for 2010 than Wall Street's as the company faces rising ingredient
costs and promotes its products like Kleenex to keep people spending. The company, based in Dallas, said
Friday that higher prices on Huggies diapers and other products -- plus higher
sales volumes -- lifted its fourth-quarter profit, but promotions it launched
to maintain volumes cut into sales. Kimberly-Clark earned $492 million, or
$1.17 per share, for the three months that ended Dec. 31. That's 17 percent
higher than its profit of $419 million, or $1.01 per share, a year earlier. Harley-Davidson posts 4Q loss, first in
16 years NEW YORK (AP) -- Harley-Davidson Inc.
reported a fourth-quarter loss Friday, its first quarterly deficit in 16 years,
as restructuring costs and the sluggish economy wore on the motorcycle maker. Harley-Davidson has come under pressure
over the last year as the tight credit markets and the weak economy led
consumers to shun purchases of its high-end, heavyweight motorcycles. The
company has been reorganizing its business through layoffs, factory closures
and shuttering or selling unwanted brands. In a sign the Milwaukee-based company
is trying to change direction, the company's earnings report coincided with the
unveiling of a new bike at a major motorcycle show in New York. By The Associated Press The Dow fell 216.90, or 2.1 percent, to
10,172.98. The Standard & Poor's 500 index
fell 24.72, or 2.2 percent, to 1,091.76. The Nasdaq composite index fell 60.41,
or 2.7 percent, to 2,205.29, reflecting a pullback in technology stocks in
response to Google's earnings, and also an analysts' downgrade of chip makers. Benchmark crude for March delivery lost
$1.54 to settle at $74.54 a barrel on the New York Mercantile Exchange. In other Nymex trading in February
contracts, heating oil fell 4.4 cents to settle at $1.9416 a gallon, while
gasoline lost 1.72 cents to settle at $1.9657 a gallon. Natural gas futures
added 20.4 cents to settle at $5.819 per 1,000 cubic feet. In London, Brent crude for March
delivery fell $1.75 to settle at $72.83 a barrel on the ICE Futures exchange.