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 Wed, Apr 22 1992 Date: Wed, 22 Apr 92 05:41:50 EDT Message-ID: 04-22 0000 DECISIONLINE: Banking & Economy USA TODAY Update April 22, 1992 Source: USA TODAY:Gannett National Information Network DEFICIT CLOSE TO $200 BILLION: The government reported Tuesday that the federal deficit has grown to $196.9 billion at the midpoint of the 1992 fiscal year, up 29% from the same time in 1991. Red ink in March totaled $49.4 billio. If it continues at its current pace, the deficit should meet the Bush administration's projection of $399.7 billion by the end of the fiscal year, Sept. 30. LAST HOUR PRODUCES DOW GAIN: Stocks pushed into positive ground in the last hour of trading Tuesday, due to computer driven trading. The Dow industrials rose 6.94 points to 3343.25. The broader market was mixed though small stocks fell again. Losing issues outpaced advancing stocks 937 to 782 on the New York Stock Exchange on volume of 214.4 million shares. MARKET UP AND DOWN TUESDAY: Stock trading began down Tuesday on news that markets in London and Tokyo were down. Boosting confidence among U.S. investors were reports of good earnings from Citicorp, Wells Fargo and 3M, which forecast higher second-quarter earnings. But Jack Conlon, managing director of Rothschild, says the pockets of strength in the market were undermined by big bigger pockets of weakness. NIKKEI GAINS: In Tokyo, the Nikkei Stock Average gained 24.69 points to 16,812.02 at the midseassion break (10 p.m. EDT) Wednesday. On Tuesday, the average dropped 284.03 points, or 1.66%, bringing total losses in the past three days to 1,172.43 points. OIL PRICES MIXED: Oil prices were mixed Tuesday. Light sweet crude oil for delivery in May settled at $20.25 a barrel, up 1 cent on the Mercantile Exchange. It was the final day for trading the May contract. Oil for delivery in later months also rose 1 or 2 cents a barrel. Home heating oil for delivery in May rose .69 cent to settle at 57.36 cents a gallon - the highest close since Dec. 4. GOLD UP, SILVER MIXED TUESDAY: Gold prices rose, but silver prices were mixed Tuesday. On the Commodity Exchange in New York, gold bullion for current delivery settled at $341.10, up $4.20. Republic National Bank quoted gold rose $3.50 to $340.25. On the Comex, silver bullion for current delivery settled at $3.991, up from $3.963. In London, the metal slipped to $3.98 from $3.99. TIME WARNER'S EARNINGS IMPROVE: All five of Time Warner's divisions - including movies, cable TV and magazines - posted improved first-quarter results Tuesday. The media and entertainment company reported net income of $3 million, vs. a loss of $50 million a year earlier. Operating income was $290 million, vs. $256 million. Revenue was $3 billion, up from $2.8 billion. WELLS FARGO UP ON EARNINGS NEWS: Wall Street sent shares of Wells Fargo & Co. up 9 7:8 to $76 1:8 Tuesday after the company reported better-than expected first-quarter results. Wells Fargo earned $119 million, or $2.09 a share, last quarter. That was down 27% from $2.86 a share a year earlier. But analysts, on average, had expected Wells to earn just $1.22 a share last quarter. CITICORP EARNINGS JUMP: Citicorp said Tuesday that first-quarter earnings soared 97%, including a big gain from asset sales. Net income jumped to $183 million, or 37 cents a share, including $218 million from asset sales. Last year's first quarter, the USA's largest bank earned $93 million or 17 cents a share, not including a $457 million accounting gain. The stock rose 1 1:2 to $18 1:4. FLEET CUTS CARD RATES: Fleet Financial said Tuesday it is cutting interest rates on its 400,000 Mastercard and Visa cards to 14.9% from as high as 17.9%. The cut affects customers in eight East Coast states. Last week, Citibank, the No. 1 card issuer, cut its rates to as low as 13.9% for some customers. DOW JONES OPENS ON UPSWING: The Dow Jones average of 30 industrials opens Wednesday at 3343.25, after closing up 6.94 Tuesday. The New York Stock Exchange composite opens at 225.70, down 0.07. The American Stock Exchange market value opens at 386.73, down 0.35. The NASDAQ OTC composite opens at 575.05, down 2.15. DOLLAR OPENS DOWN: The dollar opens down on foreign markets Wednesday. It opens at 0..5711 British pounds, down from 0.5732; 5.6325 French francs, down from 5.6390; 134.05 Japanese yen, down from 134.42; and 1.6665 German marks, down from 1.6745. (As of 3 p.m. Monday. 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. 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