http://news.yahoo.com/s/ap/20090901/ap_on_bi_ge/us_auto_sales;_ylt=AvmltrFElxPjtDuvbKToeoqyBhIF;_ylu=X3oDMTJlOXFocWUyBGFzc2V0A2FwLzIwMDkwOTAxL3VzX2F1dG9fc2FsZXMEY3BvcwMzBHBvcwM3BHNlYwN5bl90b3Bfc3RvcnkEc2xrA2F1dG9zYWxlc3Bvcw–

The brief, electrifying period is over with the end of the “Cash for Clunkers” program. After a month of hectic activity, when car sales brought back memories of the good times, dealers and auto manufacturers are readying themselves for a slow autumn, possibly even slower than what would have been if the “cash for clunkers” program had not been introduced.

There was however some signs of a strengthening economy prior to the launch of this program, and optimists are hoping that those signs will support the industry in the coming months. There is also discussion on what the auto manufacturers will need to do to attract buyers to the showroom, and whether this will entail another round of rebates, this time at the cost of the auto manufacturer.

http://news.yahoo.com/s/ap/20090901/ap_on_bi_ge/us_economy;_ylt=AmDJX7Plp7fzVsdUBAtWus6yBhIF;_ylu=X3oDMTJmY2VhbTBhBGFzc2V0A2FwLzIwMDkwOTAxL3VzX2Vjb25vbXkEY3BvcwM0BHBvcwMxBHNlYwN5bl9oZWFkbGluZV9saXN0BHNsawNob3BlZnVsZWNvbm8-

Stock markets on Tuesday witnessed selling by investors as concerns about the health of the banking sector returned to worry investors. The market was also ripe for a correction, after a six month straight rally. All it needed was some rumors of a large bank being in trouble, which set off the selling frenzy. Major indexes feel by about 2%.

On a wider note, there are also concerns being expressed by a certain section of investors, about whether they have pushed up stock prices too soon and too fast. There are doubts being expressed on whether the continuous increase which the markets have seen since the beginning of April, with the Dow pushing the 10,000 mark, is sustainable and is a true reflection of the current state of the economy.

http://www.usatoday.com/money/industries/food/2009-08-20-starbucks-raises-prices_N.htm

In what is seen as an effort to contribute to the bottom line Starbucks has increased the prices of some of its beverages. To avoid risking any impact on its top line, it has reduced the price of its more basic coffee options. So while complex concoctions like the frothy blended frappaccino will be more expensive, lattes will be cheaper. On the whole Starbucks hopes to make more money selling coffee than it used to.

It’s no surprise that Starbucks recorded an increase given the expected improvement in sales numbers. In fact Starbucks is one of the few companies that have leveraged the product mix and positioning extremely efficiently right from their inception.

http://www.bloomberg.com/apps/news?pid=20601103&sid=aICFaUsM7xW4

Bank of America has reshuffled its top management while settling a suit related to its purchase of Merrill Lynch & Co. As part of its preparation for finding a successor to its current CEO, Kenneth Lewis, the company said it had hired Sallie Krawcheck, a former employee of Citigroup, to run its wealth management operations. In addition, Bank of America placed Brian Moynihan in charge of its consumer banking operations while replacing him in global corporate and investment banking operations with Tom Montag. The company also announced that it had agreed to pay $33 million to settle claims by the Securities & Exchange Commission that it failed to inform investors about its permission to Merrill Lynch to pay hefty bonuses. The company has, however, neither denied nor accepted the claims against it.

http://news.yahoo.com/s/ap/20090724/ap_on_bi_ge/us_earns_ford;_ylt=AiY6Zj4esVJmehwq_srtKaCyBhIF;_ylu=X3oDMTJpNzF2cGlqBGFzc2V0A2FwLzIwMDkwNzI0L3VzX2Vhcm5zX2ZvcmQEY3BvcwM0BHBvcwMxBHNlYwN5bl9oZWFkbGluZV9saXN0BHNsawNkZWJ0cmVkdWN0aW8-

Ford Motor Co. re-established its position as the healthiest US auto manufacturer. So, Ford came out tops. How many runners were there in the race? Technically, we could count three, but the other two were more busy trying to sort out their bankruptcy issues.

Both Chrysler and GM have been reborn to live another day. One with a partnership with Fiat and the other by carving out a new company and dumping all old and bad assets in the old company.

Nevertheless, Ford needs to be congratulated. It has travelled the difficult road on its own. The company did not resort to government aid and has worked at drastically cutting costs. It has reduced employee cost as well as interest cost. The main issue plaguing the industry however continues to haunt Ford. At the operating level of making and selling cars and trucks, the company continues to make losses.

http://news.yahoo.com/s/ap/20090709/ap_on_bi_ge/us_gm_bankruptcy;_ylt=Aiqycz8W2Wh2bxjJvCsMz6yyBhIF;_ylu=X3oDMTJocjZnZm9iBGFzc2V0A2FwLzIwMDkwNzA5L3VzX2dtX2JhbmtydXB0Y3kEY3BvcwMxBHBvcwMyBHNlYwN5bl90b3Bfc3RvcnkEc2xrA25ld2dlbmVyYWxtbw–

A chance to be reborn does not come everybody’s way. Amidst stories about some who wanted to clone themselves so that they could live another life, GM is the one who is actually getting itself a reincarnation. The new GM is expected to be reborn by the end of the week.

Not just a reincarnation; the new GM is expected to be leaner, meaner, efficient and more cost conscious than the behemoth it was in its previous life. It will now have a new set of parents, with the US government having the major say in parenting. We will have to wait and see whether this parent does a better job of bringing up its child.

http://www.msnbc.msn.com/id/31571951/ns/business-autos/

News emanating from Beijing seems to suggest that the Chinese company’s takeover of Hummer might not see the light of day. Apparently, the reason behind this is that gas guzzling vehicles are not quite what the Chinese government wants. It is now fashionable as well as realistic to be green, and green means fuel conservation.

The Chinese government is encouraging fuel efficient vehicles and the huge Hummers do not quite fit into that plan. What does it mean for the United States? The first impact will be on the 3,000 employees who are likely to be laid off. And then, if Hummer as a brand is allowed to die, it will become just another relic of the past.

http://www.msnbc.msn.com/id/31143910/

Labor productivity has reportedly shown a significant improvement across segments in the United States in the current year. With the recession increasing the fear of layoffs, workers are working extra hard to retain their jobs.

While many are offering to put in that extra time and effort voluntarily, there are others who are forced to work more as companies trim their workforce. Either ways, labor productivity has shown a significant increase.
Vacation plans are being scrapped as there is a fear that if one is away then there is a good chance that when one gets back, one will be informed that ‘nobody really missed you. Thank you, but we need to let you go.’
One hopes that this improved labor productivity will stay with American industry even when things get better.

http://www.nytimes.com/2009/05/29/business/29markets.html?ref=business

It was a welcome change to see the stocks showing an upward rising trend. Investors have finally overcome their fear that inflation might hit them on the face. They are not so worried about rising interest rates either. The GM bankruptcy has also been taken in stride. This relaxed stance of investors has pushed the stocks and bonds higher. The Dow Jones rose by 103.78 points and the Standard & Poor’s 500-stock index also went up by 13.77 points. There is a rise in demand for consumable goods. The markets are happy, so are we! The question is- are we finally coming out of recession, or this is the lull before another storm?

http://www.nytimes.com/2009/05/16/business/16invest.html?_r=1&ref=business

After the losses posted by Wall Street last year, small investors had decided to pull out their stocks. They had become cautious and wary, losing their adventure spirit of betting on a shaky share market.

Not anymore, small investors have started to buy shares again. Although they are taking it one step at a time, they are definitely showing a readiness to buy stocks and bonds. They are better informed today, watching the stock bargains before them.

The growing sale of stocks and bonds will give a reason to Wall St. to smile! Now for Wall Street, they should give incentives for people to overcome their fear and try to make money again. Is Wall St. listening?