Facebook Blogging

Edward Hugh has a lively and enjoyable Facebook community where he publishes frequent breaking news economics links and short updates. If you would like to receive these updates on a regular basis and join the debate please invite Edward as a friend by clicking the Facebook link at the top of the right sidebar.

Thursday, July 11, 2002


If all the news on the way up the ninetees boom was good, now, on the way down it's mainly bad. The latest downgrading of GM is another example of negative feedback, as lower stock values drain money from pension funds.

General Motors Corp. stock was downgraded for a second straight day Thursday. UBS Warburg's decision to downgrade the stock from "buy" to "hold" came a day after Banc of America switched GM to "market perform" from "buy."

UBS Warburg said its move was based on concern over GM's pension liability. "The pension fund poses two major risks — mandatory funding requirements and a hit to expected earnings," said the report written by UBS Warburg analysts Saul Rubin and Mark Doehla.
Source: Yahoo News

No comments: