General News:
– U.S. stocks rose for a third day, led by banks and homebuilders, after mortgage applications gained the most since January.
– Federal Reserve Chairman Ben S. Bernanke isn’t blinking in his battle against rising prices even as tumult in financial markets threatens to slow growth.
– Treasuries fell for a third day as a rally in global stocks drew demand away from government debt after the Federal Reserve said yesterday the U.S. economy is likely to weather a housing slowdown.
– A trade group for real estate agents lowered its outlook for existing home sales this year by 1 percent, or 70,000 homes, as the housing market continues to slump.
Asia/Europe:
Asia:
– Asian stocks rebounded from an eight- week low after the Federal Reserve said the U.S. economy will probably weather subprime mortgage defaults that sparked a $2.65 trillion sell-off in equities worldwide.
– Cathay Pacific Airways Ltd., Asia’s second-most profitable carrier, said first-half profit rose 55 percent, beating analysts’ estimates, after it bought a rival to expand in China, the world’s fastest-growing major economy.
– Singapore raised its growth forecast for the third time this year after the economy expanded 7.6 percent in the first half, Prime Minister Lee Hsien Loong said.
– Softbank Corp., Japan’s third-largest mobile-phone company, posted an 18-fold increase in first-quarter profit after adding twice as many users as market leader NTT DoCoMo Inc.
– Standard & Poor’s raised its outlook on Sri Lanka’s credit rating to “stable,” noting improved state finances and limited fallout from the worst violence on the island after a 2002 cease-fire.
Europe:
– European stocks rose, posting the biggest two-day gain in four years, after corporate earnings topped analysts’ estimates and the Federal Reserve said losses in the U.S. mortgage market probably won’t hold back economic growth.
– ING Groep NV, the largest Dutch financial-services company, reported second-quarter profit that exceeded analysts’ estimates, boosted by gains from insurance and the sale of a stake in ABN Amro Holding NV.
– The Bank of England indicated it will have to raise the benchmark interest rate once more as record oil costs and rising food prices keep inflation above its target for the next two years.
– Virgin Media Inc., the U.K.’s second- biggest pay-television company, reported an eighth straight loss after subscribers switched to British Sky Broadcasting Group Plc.
– Freenet AG, the German mobile-phone and Internet company created through a merger five months ago, put itself up for sale and contacted at least three possible buyers, according to three people with knowledge of the plan.
Corporate News:
– Diversified media holding company Liberty Media Corp. (LINTA) posted mixed first-quarter operating results at its Liberty Interactive Group and Liberty Capital Group, which file earnings reports separately.
– Bausch & Lomb Inc. (BOL), which has agreed to a $3.67 billion buyout by a private equity firm, reported a $15 million profit in the second quarter on higher sales of contact lenses, eye-care medicines and lens cleaners.
– Cisco Systems Inc. (CSCO) shares jumped nearly 6% after the network equipment maker reported fiscal fourth-quarter results that beat Wall Street’s expectations and boosted its financial forecast.
– Cablevision Systems Corp. (CVC), a New York-area cable TV provider, reported higher profits following an asset sale, but lowered its full-year revenue and profit estimates.
– Delphi Corp. (DPHIQ.PK) posted a narrower second quarter net loss, reflecting a charge for liability in accounting lawsuits.
– Revlon Inc. (REV) reported narrowed second-quarter losses as the New York-based cosmetics company reaped benefits from a restructuring program initiated last year, a solid rise in sales and better cost controls.
– Luxury homebuilder Toll Brothers Inc. (TOL) said it expects to report a 21% decline in third-quarter homebuilding revenue, and cautioned that mortgage market troubles may cause further softening in the already weak housing market.
– Wireless provider Sprint Nextel Corp. (S) said second-quarter profits dropped sharply on takeover costs and expenses tied to its planned rollout of a WiMax network.