Path: bloom-picayune.mit.edu!snorkelwacker.mit.edu!news.media.mit.edu!americast.com!americast.com!usa-post Newsgroups: usa-today.banks From: usa-post@AmeriCast.Com Organization: American Cybercasting Approved: usa-post@AmeriCast.com Subject: banks Fri, Jun 12 1992 Date: Fri, 12 Jun 92 05:19:42 EDT Message-ID: 06-12 0000 DECISIONLINE: Banking & Economy USA TODAY Update June 12-14, 1992 Source: USA TODAY:Gannett National Information Network WHOLESALE PRICES UP IN MAY: Wholesale prices rose 0.4% last month, the Labor Department reported Thursday. The jump was attributed mostly to increases in energy and tobacco prices. The wholesale-price index rose to 123.1 last month from 122.2 in April. Most of the gain was blamed on energy prices, which surged 0.9% in May. Food prices fell 0.4%. RETAIL REVENUE HAS SLIGHT GAIN: Retail revenue rose just 0.2% last month from April, its second straight monthly gain, the Commerce Department said Thursday. Revenue rose 0.4% in April from March. Most economists predicted gains of 0.5% or more in retail revenue, which is a key indicator of consumer spending. They blamed the weak 0.2% gain last month on slow job growth. UNEMPLOYMENT CLAIMS STEADY: First-time claims for jobless benefits the week ended May 30 totaled 407,000, unchanged from the previous week, the Labor Department said Thursday. The four-week average, a less-volatile measure of unemployment, fell to 406,000 from 410,750 the previous week. Though the numbers are not great, analysts say at least jobless claims aren't rising and more people are job hunting. DOW BREAKS SLUMP: The Dow gained slightly Thursday after a two-day drop of 61 points, but overall stocks were down. A late rally erased earlier losses as the Dow Jones industrial average added 8.29 points to 3351.51. Broader market indexes were relatively flat. Losing stocks edged winners 868 to 781 on the New York Stock Exchange, where volume was 205 million shares. BARGAIN HUNTING LIFTS DOW: Mixed economic reports Thursday caused confusion on Wall Street. But after spending most of the day down, bargain hunting helped lift the average by the end of the day. Still, Michael Dawson, trader at Seaport Securities, said investors are showing a lack of conviction. "Uncertainty about inflation and the recovery is coming back to haunt us," he said. OIL DOWN THURSDAY: A sell-off in the gasoline pit sent energy futures lower Thursday in trading at the New York Mercantile Exchange. Light sweet crude oil for July delivery settled at $22.35 a barrel, down 16 cents after a rise of 19 cents a barrel the day before. Wholesale unleaded gasoline for July delivery fell 1.06 cents a gallon to settle at 66.10 cents. GOLD UP, SILVER MIXED: Gold prices rose, and silver was mixed Thursday. On the New York Commodity Exchange, gold for current delivery ended at $340.50, up $2.60. At Republic National Bank in New York, gold ended at $340.00, up $2.25. Silver was unchanged in London at $4.06. On the York Commodity Exchange, silver for current delivery fetched $4.098, up 4.6 cents. MONEY SUPPLY RISES: The Federal Reserve says a closely watched measure of money supply, M2, rose $7 billion the week of June 1 to $3.5 trillion. M2 is cash, checking and savings accounts and money market mutual funds. Weak money-supply growth is a drag on the economy. SEC, FIRST INVESTORS SETTLE: The Securities and Exchange Commission reached a $24.7 million settlement Thursday with First Investors Corp., the largest settlement ever with a mutual fund company. The SEC charged that First Investors misled investors about the risks of its two corporate junk bond funds, First Investors Fund for Income and First Investors High Yield. BANK CUTS OFF APPLICATIONS: Due to an overwhelming number of applications, Simmons First National Bank of Pine Bluff, Ark., has stopped taking out-of-state applications for its credit cards, which charge only 8.5% interest, lowest in the USA. Arkansas Federal Credit Card Service, which also charges 8.5%, is still accepting applications. DOW JONES OPENS ON UPSWING: The Dow Jones average of 30 industrials opens Friday at 3351.51 after closing up 8.29 Thursday. The New York Stock Exchange composite opens at 225.10, up 0.74. The American Stock Exchange market value opens at 389.90, down 0.23. The NASDAQ OTC composite opens at 567.68, down 2.03. DOLLAR OPENS DOWN OVERSEAS: The dollar opens down on Friday. It opens at 0.5411 British pounds, down from 0.5459; 5.3175 French francs, down from 5.3625; 1.5775 German marks, down from 1.5938; and 126.40 Japanese yen, down from 127.63. (As of 3 p.m. Thursday. 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