Dow suffers worst month of the year
The Dow finished August down 4.4 percent to end the month at 14,810. Overall the Dow suffered its largest monthly pullback after hitting a record high at the beginning of the month. According to the Wall Street Journal, experts predict the tumult to continue as the Federal Reserve determines when to begin to unwind its easy money policy. Also spooking the markets is the uncertainty over US policy towards Syria.
CBS and Time Warner end content dispute
CBS is back on the air in more than 3 million homes in New York, Los Angeles and Dallas. The Associated Press reports that the two companies have ended their dispute which began on August 3rd, blacking out the availability of CBS in multiple markets. The sticking point had been the retransmission fees paid by the cable operator to the network per subscriber. No details have been disclosed, however, the dispute was being closely watched due to the implications for both networks and cable providers at a time when television viewing habits are changing rapidly. Another sticking point was use of content and related fees for mobile viewing. CBS claims the outage impacted its viewership by only 1 percent in August.
Citigroup sheds alternative investments
Citigroup has shed more than $6 billion in private equity and hedge fund investments in the past month. The Wall Street Journal reports that last week Citi sold a $4.3 billion private equity fund last week Citi Venture Capital International to Nick Rohatyn, son of financier Felix Rohatyn. On August 9, Citi sold a $1.9 billion emerging markets fund to the fund’s managers. The moves reflect Citi’s new policy to shed alternative investment to ensure compliance with new regulations. The Volcker rule, which goes into effect in 2014, limits the amount of venture capital investments to 3 percent of the bank’s highest grade of capital holdings.
Verizon and Vodaphone complete $130 billion deal
In one of the largest acquisition deals ever, UK-based Vodaphone agreed to sell its 45 percent stake in Verizon Wireless to Verizon Communications. USA Today reports that the deal was valued at more than $130 billion in cash and stock. Once the deal is completed, Verizon will wholly own the wireless unit, giving the company more flexibility and options to manage its own growth in the lucrative mobile data market. Thea deal is expected to close in the first quarter of 2014. It will be the third largest merger and acquisition deal ever and will boost world telecom deals to $224.3 billion this year.
Labor Day one of top holidays for car thieves
Labor Day is among the top five holidays of the year for stolen vehicles, according to the National Insurance Crime Bureau. In 2011, 1977 care were reported stolen on Labor Day. That’s one car every 43 seconds. According to CNBC, Progressive Insurance indicates that the largest number of car thefts occur between July and September. One of the highest dates for reported thefts is the day after Labor Day. The stolen car recovery rate, however, has improved to 46 percent. The increase is due to the number of GPS systems now available in newer cars.
6,000 Harley Davidson riders parade in Milwaukee
Milwaukee celebrated the 110th anniversary of Harley Davidson with a parade that included 6,000 Harley riders and a concert by Kid Rock. According to USA Today, Governor Scott Walker also drove his Harley Davidson in the parade.
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.