EUROPEAN DEBT WEIGHS DOWN WORLD BANK GROWTH PROJECTIONS
Borrowing costs increased today for both Spain and Italy, according to the Wall Street Journal. Spain was forced to pay 6.72 percent on its bonds, its highest amount since joining the Euro zone. The weekend bailout to its banks was supposed to calm market fears. Instead, investors now worry about the need for a bailout of the Spanish government. Italy paid 6.26 percent on its bonds today, the highest amount this year. Even the rates of bonds for countries such as Germany, the Netherlands and Finland have risen. The World Bank has decreased its world growth predictions to 2.5 percent. It predicts that emerging countries will only grown 5.3 percent, down from 7.4 percent from 2010. CNBC is reporting that Chinese experts are predicting China's growth for this quarter will be less than 7 percent, the lowest in more than 3 years. Despite this news, Asian markets were mixed but European markets are down. The Dow closed up 162 points on Tuesday at 12,573.
JAMIE DIMON, JP MORGAN CHAIRMAN, TO TESTIFY BEFORE CONGRESS
Jamie Dimon, Chairman of JPMorgan Chase, is expected to testify before a Congressional panel today, according to the Financial Times. In remarks released before the hearing, Dimon is allegedly set to apologize to Congress and indicate that the Chief Investment Officer had been told to reduce risk exposure but did the opposite. A complex strategy was developed to reduce risk but actually increased the exposure. The $2 billion loss was caused by London traders whose role is to invest excess cash and hedge risk exposure for the bank. It is unclear whether the actions were properly disclosed.
SAAB TO ANNOUNCE BUYER
Bankrupt Swedish car manufacturer Saab is expected to announce that it has a buyer today, according to the Associated Press. Saab has 3,000 workers and was purchased by GM in 1989. At its peak in 2006 it sold 133,000 cars. After the drop in sales began, GM disowned the company. The name of the buyer has been kept secret until this time.
CANADA NAMED BEST COUNTRY FOR WOMEN
Canada has been identified as the best G20 country for women based upon its gender equality, safeguards and access to healthcare, according to a survey conducted by Trustlaw of 370 gender specialists. Reuters reports that India was ranked the worst because of child marriage and slavery. The United States was ranked 6th due to concerns over women's reproductive rights.
AIRLINE SATISFACTION SLIGHTLY LOWER THAN A YEAR AGO
A JD Powers survey reported in USA Today indicates that passengers rank airlines 2 points lower on a 1,000 point scale than a year ago. The survey indicates that airlines ranked 681 on a survey that includes satisfaction levels with cost, in-flight services, boarding, deplaning,baggage, crew, aircraft, check-in and reservations. This is despite the fact that the US Transportation Department said airline performance in regards to timeliness was better in 2011. The low cost airlines rated the highest in all categories with traditional airlines falling at the bottom. The overall winner was JetBlue and Southwest came in second.
Catherine S. McBreen is President of Millionaire Corner. McBreen plans and develops content for Millionaire Corner. Catherine balances editorial content to meet the informational needs of both new and seasoned investors. She designs special monthly surveys on topical issues affecting the economic environment.
McBreen has a B.S. in speech communications from Northwestern University and a J.D. from DePail University College of Law. She is a member of the American Bar Association, the Illinois Bar Association, and the Chicago Bar Association.
Well-known for her expertise in the affluent and retirement arenas, McBreen is a frequent speaker at industry conferences. She has been quoted widely by the financial media, including The Financial Times, The Wall Street Journal, Research, Private Asset Management, On Wall Street, Reuters, Bloomberg News, The Dow Jones Newswires and Worth. Cathy has appeared as a guest on CNBC Closing Bell, First Business Morning News, Neal Cavuto at Fox Business News, ABC and CBS radio.
McBreen is co-author with Spectrem President George H. Walper, Jr. of the book "Get Rich, Stay Rich, Pass It On: The Wealth-Accumulation Secrets of America's Richest Families" (Portfolio, January 2008)
Catherine is the mother of four and is involved in many school and community events.