Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!usa-post Newsgroups: usa-today.banks From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: banks Thu, Mar 26 1992 Date: Thu, 26 Mar 92 05:44:31 EST Message-ID: 03-26 0000 DECISIONLINE: Banking & Economy USA TODAY Update March 26, 1992 Source: USA TODAY:Gannett National Information Network DURABLE GOODS ORDERS DOWN: Orders for durable goods - items expected to last more than three years - fell slightly last month, dropping 0.1% to a seasonally adjusted $120.5 billion, the Commerce Department said Wednesday. Orders for defense goods brought the overall number down. Orders rose 1.3% excluding defense, down from a 4.4% gain in January. HOME SALES JUMP IN FEBRUARY: The National Association of Realtors reported Wednesday that sales of existing homes rose 9.3% last month from January's pace - the largest gain since 1983 - to a seasonally adjusted annual rate of 3.5 million. Sales were up in all regions of the country. Also, the median home price - where half sold for more, half for less - was $103,800, a 1.4% increase from homes sold in January. SELL PROGRAMS SINK DOW: Computerized sell programs that kicked in at the end of Wednesday's session wiped out a 14-point gain for the Dow, sending it to its third straight loss. The Dow Jones industrial average lost 1.57 points to 3259.39. Broader market indexes were mixed. Losing stocks outnumbered winners 883 to 767 on the New York Stock Exchange, where volume was 193 million shares. MORE OPTIMISM ABOUT ECONOMY: A USA TODAY:CNN:Gallup poll conducted last week shows that more people are optimistic about the economy than were six months ago. A nationwide telephone poll of 1,004 adults shows 37% believe the economy is getting better, up from 22% just six weeks ago. Many people who were optimistic in the poll say the jobs situation is key to their feelings about the economy. D&B INDEXES HIGHER: Dun & Bradstreet said Wednesday that its sales optimism index rose 12 points from the first quarter to 52 in the second quarter, and its profits index rose nine points to 44. The survey of 3,000 executives in manufacturing, retailing, wholesaling and services found virtually all industries in nearly every region of the country expect higher revenue and income the second quarter. FORD SEES RECOVERY NEXT YEAR: Ford Motor's annual report, out Wednesday, showed that the nation's No. 2 automaker expects operating results will improve substantially next year, as long as the economy continues to improve. Ford says its cost-reduction program and the expected gradual economic recovery will contribute to a substantial turnaround. TREASURY YIELDS RISE: Yields on five-year Treasury notes rose in Wednesday's auction to the highest level since September. The average yield was 6.94%, up from 6.75% at the last auction on Feb. 26. It was the highest rate since five-year notes averaged 7.05% on Sept. 25. CD YIELDS UP: Bank certificate of deposit yields rose in the week ending Wednesday, according to `Bank Rate Monitor.' Average yield: Six-month, 3.92% vs. 3.90%; 1-year, 4.16% vs. 4.15%; 2 1:2-year, 4.97% vs. 4.92%; 5-year, 6.10% vs. 6.06%. OIL PRICES DOWN: Light sweet crude oil for delivery in May settled at $19.19 per barrel, down 3 cents at the New York Mercantile Exchange. Home heating oil for delivery in April settled at 52.79 cents a gallon, down .42 cent. Unleaded gasoline for delivery in April settled at 57.68 cents a gallon, down .11 cent. REGULATORS PRESENT PLAN: A hearing was held Wednesday before the Thrift Depositor Oversight Board on a controversial plan to bail out some savings and loan shareholders. Under the "early resolution" plan, regulators would intervene before sick S&Ls fail and try to revive them, instead of going in after they fail and cleaning up. But critics say shareholders should bear the brunt of losses. DOW JONES OPENS ON DOWNSWING: The Dow Jones average of 30 industrials opens Thursday at 3259.39, after closing down 1.57 Wednesday. The New York Stock Exchange composite opens at 225.40, down 0.49. The American Stock Exchange market value opens at 400.29, up 0.72. The NASDAQ OTC composite opens at 619.48, up 0.80. DOLLAR OPENS DOWN: The dollar opens down on foreign markets Thursday. It opens at 0.5780 British pounds, down from 0.5811; 5.6060 French francs, down from 5.6395; 133.37 Japanese yen, down from 133.43; and 1.6528 German marks, down from 1.6625. (As of 3 p.m. Wednesday. Source: First American Bank of New York.) 24-HOUR TELEPHONE INFORMATION: USA TODAY Money Hot Line. 95 cents a minute. 1-900-555-5555. Banking & Economy Editor: Jason P. Smith. (919-855-3491) Making copies of USA TODAY Update (Copyright, 1992) for further distribution violates federal law. This article is copyright 1992 Gannett News Service. Redistribution to other sites is not permitted except by arrangement with American Cybercasting Corporation. For more information, send-email to usa@AmeriCast.COM