new yorkDennis Seid 3/10/09
Citi news leads market
to best day of ’09
n NEW YORK – Wall Street snapped out of its stupor and posted its best performance of the year Tuesday, finding a badly needed glimmer of optimism in the most unlikely of places: Citigroup is actually managing to turn a profit.
The Dow finished at 6,926.49, its highest close since late February. All 30 of the Dow industrial stocks gained ground.
The Samp&P closed at 719.60, still less than half of its value at the market peak in October 2007.
Madoff’s lawyer says
client will plead guilty
n NEW YORK – In a courtroom surprise, it was revealed Tuesday that Bernard Madoff will plead guilty Thursday to securities fraud, perjury and other crimes, knowing that he could face up to 150 years in prison for one of the largest frauds in history.
The revelation came as prosecutors unveiled an 11-count charging document against the 70-year-old former Nasdaq chairman, and as his lawyer, Ira Sorkin, told a judge that Madoff planned to plead guilty this week without a plea deal.
Madoff has been under house arrest in his $7 million Manhattan penthouse since he was arrested in early December after authorities said he confessed to his family that he had carried out a $50 billion fraud. In court documents filed Tuesday, prosecutors raised the size of the fraud to $64.8 billion, an amount recounted in apparently false statements from November 2008.
fall again in January
n Businesses slashed inventories at the wholesale level for a fifth straight month in January, the longest stretch since the last recession in 2001.
The Commerce Department said Tuesday that wholesale inventories fell 0.7 percent in January, which was slightly smaller than the 1 percent fall economists had expected. It followed a 1.5 percent drop in December that was initially reported as a 1.4 percent decline.
Sales at the wholesale level dropped 2.9 percent in January, the seventh consecutive decline.
Delta, United plan fewer
MINNEAPOLIS – Travelers who used to fly in the expensive seats up front are moving toward the back of the plane, if they fly at all, forcing airlines to cut back on overseas flights that used to be their crown jewels.
Delta Air Lines Inc. said on Tuesday it will cut international flying another 10 percent beginning in September. United Airlines is cutting international flying 15 percent in the first quarter alone. Those two airlines are by far the largest U.S. carriers to Asia.