Economy grows at 5.7 pct pace, fastest
since 2003 WASHINGTON (AP) -- The economy's
faster-than-expected growth at the end of last year, fueled by companies
boosting output to keep stockpiles up, is likely to weaken as consumers keep a
lid on spending. The 5.7 percent annual growth rate in
the fourth quarter was the fastest pace since 2003. It marked two straight
quarters of growth after four quarters of decline. Still, economists expect growth to slow
this year as companies finish restocking inventories and as government stimulus
efforts fade. Many estimate the nation's gross domestic product will grow 2.5
percent to 3 percent in the current quarter and about 2.5 percent or less for
the full year. DETROIT (AP) -- He said the company has not sent parts
to its dealers because it has yet to determine whether it will repair -- or
replace altogether -- the gas pedals on the 4.2 million Toyotas that have been
recalled worldwide. Stocks fall as GDP rises 5.7 pct,
raises questions NEW YORK (AP) -- Stocks ended a
disappointing January with a loss as investors questioned whether the economy
will be able to sustain its big fourth-quarter growth rate. Downbeat earnings
at technology companies also pulled stocks down. The Dow Jones industrials fell 53
points Friday to close the month with a loss of 3.4 percent although just 10
days earlier, the average reached a 15-month high. Investors who are
increasingly uneasy about the economy, earnings and politics have been pulling
money out of the market over the past week. Many market watchers believe January
sets the tone for stocks for the rest of the year. And historical data backs
that up. Since 1950, the Standard & Poor's 500's full-year direction has
matched its January performance more than 90 percent of the time, according to
the Stock Trader's Almanac. Greece, others, move to quash rumors
about bailout DAVOS, Switzerland (AP) -- Greek and
European officials moved Friday to quash market buzz that Athens could find
itself in too deep a financial hole to save itself, potentially saddling
European governments with a costly bailout. Prime Minister George Papandreou and
the EU denied reports that European governments had engaged in bailout
discussions, stressing that Greece itself must carry through on its plans to
cut an alarming deficit. The Greek crisis represents a crucial
test for the European Union since a default, or a bailout that prevents one,
would be a serious blow to the credibility of the euro. Membership in the
shared currency demands that governments keep their budgets under control. NEW YORK (AP) -- Oil refineries, which turn crude into
gasoline, diesel and other fuels, struggled last year as oil prices doubled
from February to December. As a result, 'Underemployment' tops 20 pct in 3
states WASHINGTON (AP) -- President The figures are a stark illustration of
how tough it is to find a full-time job, even as the economy has grown for two
straight quarters. The official unemployment rate of 10 percent doesn't include
people who are working part-time but would prefer full-time work, or the
unemployed who have given up looking for work. When those groups are included, the
devastation in many parts of the country is clear: Michigan's so-called
"underemployment" rate was 21.5 percent in 2009. California's was
21.1 percent, while Oregon's was 20.7 percent. Energy prices fall so far in 2010 NEW YORK (AP) -- For the past several
months, oil prices have soared on the expectation that China would soon lead a
new race for natural resources. But government data released so far
this year has told a different story, and oil has tumbled nearly $10 a barrel
in the first month of 2010. Americans are burning less gasoline
than they did a year ago, according to a report this week from the Barbie resurgence boosts Mattel 4Q
profit NEW YORK (AP) -- Barbie proves there is
life after 50, especially if you're willing to keep reinventing yourself. Sales of Mattel Inc.'s fashion icon,
which celebrated five decades last year, increased for the first time in almost
two years, helping put some holiday cheer into Mattel's 4th-quarter earnings
report Friday. That and cost cutting helped the No. 1
U.S. toy maker's fourth-quarter profit jump 86 percent on a 1 percent sales
increase. Mattel seems to be back as well. The
better-than-expected earnings are a big improvement from last year, the weakest
holiday season in decades, when Mattel's profit slid by nearly half and revenue
dropped 11 percent. DES MOINES, Iowa (AP) -- The CEO of Kenneth Chenault's base salary rises to
$2 million this year from $1.25 million, according to documents filed Friday
with the Securities and Exchange Commission. Chenault, 58, also received options for
650,918 shares, at an exercise price of $38.10 per share, the company said in a
separate filing dated Thursday. At that price, the shares are worth about $2.48
million. The options can be exercised in four equal annual installments
beginning Jan. 26, 2011. Honeywell 4Q profit slips, reaffirms
guidance MORRIS TOWNSHIP, N.J. (AP) -- The
manufacturing conglomerate Honeywell International Inc. said Friday its
fourth-quarter profit slipped 1 percent on lower sales from its aerospace and
automation units. The company reaffirmed its 2010
financial guidance. Analysts expected earnings at the high end of that range. Honeywell said its profit fell to $698
million, or 91 cents per share, in the last three months of 2009, down from
$707 million, or 97 cents per share, a year earlier. Analysts surveyed by Thomson Reuters
expected, on average, earnings of 90 cents a share. By The Associated Press The Dow fell 53.13, or 0.5 percent,
Friday to 10,067.33. The Dow is now down 658.10, or 6.1 percent, since reaching
its 15-month high of 10,725.43 on Jan. 19. Benchmark crude for March delivery gave
up 75 cents Friday to settle at $72.89 a barrel on the New York Mercantile
Exchange. In other Nymex trading in February
contracts, heating oil fell 1.62 cents to settle at $1.9029 a gallon and
gasoline lost 1.43 cents to settle at $1.9031 a gallon. The March contract for
natural gas fell less than a penny to settle at $5.131 per 1,000 cubic feet. In London, Brent crude for March
delivery dropped 67 cents to settle at $71.46 a barrel on the ICE Futures
exchange.