US FINANCIAL MARKET
- Goldman Sachs says that the ongoing fiscal debate in the United States will have a bigger effect than previously anticipated. “We think the equity market will need time to digest the recent gains,” Goldman said in a research note, although its long-term view is still pro-risk.
- Housing will not be an “exciting market” over the next five years and investors would do better to put money into stocks, Yale Economics Professor Robert Shiller, the co-founder of the Case-Shiller Home Price Index.
- Amazon.com earned the highest reputation in this year’s Harris Poll, edging out not only Apple but also companies like Google, Disney, and Johnson & Johnson. According to Harris, Amazon holds the most emotional appeal, provides the best products and services, and is the most trusted company in the U.S.
- Coca-Cola reported fourth-quarter revenue slightly below analysts’ estimates, hurt by a weaker-than-expected performance in Europe. Profit rose 13 percent and revenue rose 3 percent compared with in the year-ago period.
- Yum Brands plans to open between 60 and 70 restaurants this year in Russia and other former Soviet countries. Yum and its franchisees already have 216 restaurants in the Commonwealth of Independent States (CIS). Yum has nearly 5,300 restaurants in China, mostly KFCs.
- Michael Kors’ profit rose fourfold during its holiday quarter. Results beat Wall Street analysts’ predictions.
- Fossil fourth-quarter net income jumped 28 percent as demand grew for its watches. Revenue rose 14 percent.
- Avon posted a wider fourth-quarter loss as it marked down its jewelry business and paid restructuring costs.
- Volkswagen’s overall January sales were up 17.4 percent to 491,900, despite a 6.8 percent drop in European sales to 116,900. Asian sales rose 43.7 percent to 251,100 cars.
- Goodyear easily topped Wall Street expectations for the fourth quarter. Both revenue and profit were down compared with during the same period last year. Tire maker Michelin says its profits rose 7.5 percent last year despite a struggling car market in Europe.
- Reynolds American fourth-quarter profit fall 54 percent on pension and trademark-related charges and other costs. But earnings, excluding one-time charges, rose about 6 percent.
US ECONOMY & POLITICS
- Confidence among U.S. small businesses rose in January as owners anticipated better business conditions in the next six months, despite higher taxes and looming government spending cuts. The NFIB said its optimism index increased 0.9 percentage point to 88.9 last month, pulling further from a 2-1/2 year low hit in November.
- Job openings in the U.S. dropped in December. The number of positions waiting to be filled fell by 173,000 to 3.62 million, the fewest since September. Hiring and firing also cooled.
EUROPE & WORLD
- Moody’s said downside risks for the global economy had receded in the past three months, though a number of dangers still remained. The ratings agency expects real growth for the G20 of around 2.9 percent in 2013, followed by 3.3 percent in 2014.
- UK’s consumer price inflation stayed at 2.7 percent last month.
TODAY in HISTORY
- 16th President Abraham Lincoln ‘Honest Abe’ was born on a farm in a log cabin in Hodgenville, Kentucky (1809)
- Chile formally proclaimed its independence from Spain (1818)
- The Utah Territory granted women the right to vote (1870) (later revoked it in 1887)
- The Senate voted to acquit President Clinton on charges of perjury and obstruction of justice (1999)
Sources: Reuters, Yahoo Finance, Google Finance, Bloomberg, CNN Money.
This information has been prepared from sources believed to be reliable, but no representation is being made as to its accuracy or completeness. The information provided should be used only as general information and is not intended to provide specific advice or recommendations for any individual. The economic forecasts set forth in the material may not develop as predicted. All indices, such as the S & P 500, are unmanaged and may not be invested into directly.