Obama tells China to grow up
Reuters is reporting this morning that President Obama had harsh words for China this weekend at the Asia Pacific Economic Cooperation, APEC, meeting he hosted in Honolulu. The APEC meeting included 21 countries and was meant to strengthen ties among the countries bordering the Pacific. In particular, Obama insisted that China needed to let its currency rise in accordance with international rules. China shot back that it was not part of making the rules and therefore has no obligation to follow them. Obama indicated that China was no longer an emerging nation and should start to act like a grown up nation. One of the agreements made by the group was to hold tariffs for green technology to only 5 percent. China disagreed with the proposal.
Dow closed up 259 points on Friday
In another volatile day, the Dow closed up 259 points on Friday ending at 12,153. According to Reuters, the positive result was due to further stabilizing actions in Europe. Asian markets are up on Monday.
Saudis order 50 777’s from Boeing
Emirates Airline made the single largest aircraft order in Boeing’s history ordering 50 777-300’s at a price of $18 billion. It also has an option to purchase an additional 20 aircraft, increasing the price to $26 billion, according to the Wall Street Journal. Delivery is scheduled for 2015.
Italy installs new government
Mario Mondi, a respected economist, was chosen to head the new Italian government over the weekend as the controversial Berlusconi stepped down. As promised, after a vote by the Italian government to approve austerity measures demanded by the European Union, Berlusconi resigned. Last week Italian bonds were paying over 7.5 percent, according to Reuters. On Monday bonds have been selling at about 6.2 percent.
SEC disciplines employees over Madoff scandal
On Friday the SEC announced that it had disciplined 8 employees over the Madoff scandal, as reported by the Wall Street Journal. The Madoff scandal resulted in losses of over $50 billion to investors for the multi-decade ponzi scheme and the SEC received 6 warnings over 16 years about Madoff. Of the 21 employees identified by the SEC as having been involved in monitoring Madoff, 10 had left by the summer of 2011. The largest punishment received by an SEC employee was a 30 day suspension, a reduction in pay and a demotion.
Law suit to be filed against BP for Gulf Oil Spill
USA Today indicates that 720,000 claimants will be filing a lawsuit against British Petroleum and others for damages received from the April 20, 2010 oil spill in the Gulf of Mexico, in which 11 people were killed. The oil spill resulted in 155 million gallons of oil being gushed into the Gulf of Mexico. Plaintiffs attorneys have already compiled about 25 million pages of documents. The 720,000 plaintiffs are about the same number of individuals that have already sought repayment from a $20 billion fund established by BP. The suit is anticipated to begin in earnest in February. The key issue will be whether BP and others were “grossly negligent” or merely “negligent” for purposes of awarding damages.
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.