Hope over debt ceiling talks pushes stocks up
NEW YORK — Stocks rose Monday, helped by signs that Washington was moving closer to a deal that would avert a default by the U.S. government.
The stock market started the session broadly lower but picked up in the early afternoon following news that President Barack Obama would meet with Congressional leaders. The market extended those gains after Senate leaders in both parties said progress was being made.
The Dow Jones industrial average added 64.15 to close at 15,301.26. The index was down as much as 100 points earlier in the day.
The S&P 500 index rose 6.94 to 1,710.14. The Nasdaq composite rose 23.40 to 3,815.27.
The United States will reach the limit of its borrowing authority Thursday, according to estimates from the Treasury Department.
Tenn. wins tire factory, beating out SC and Ga.
A South Korean tiremaker has picked Tennessee over South Carolina and Georgia for an $800 million factory that will create 1,800 jobs.
Hankook said Monday it will build its first North American plant in Clarksville, about 30 miles northwest of Nashville. Production will begin in 2016.
Seung Hwa Suh, vice chairman and CEO, called the 1.5 million-square-foot U.S. plant “the next natural phase for our continued growth.” He said the decision to build in Tennessee was the result of a year of discussions with state officials.
He cited the central location and existing auto industry as major factors. Nissan, General Motors and Volkswagen all have assembly plants in the Volunteer State.
Last month, a Hankook executive said South Carolina was one of three Southeast states trying to flag down the big tire-making factory. No specific sites were identified. The S.C. Department of Commerce declined to comment Monday.
Macy’s stores to open on turkey day this year
NEW YORK — Macy’s Inc. says that it will open most of its stores for the first time on Thanksgiving, breaking a long-standing tradition for the venerable retailer.
In a release issued late Monday, the Cincinnati-based chain says it will open its doors at 8 p.m. on that day.
The move comes as the chain faces growing pressure from other stores. Over the past few years, rivals have gotten a jump on the official start of the holiday shopping season by opening their doors increasingly earlier on Thanksgiving.
Macy’s, which operates about 800 stores, says it began planning early to let its employees review available shifts throughout the holiday season and volunteer for their preferred shifts, including on Thanksgiving.
BlackBerry’s campaign seeks to assure users
TORONTO — BlackBerry is publishing an open letter in major publications around the world in a bid to reassure customers that they can count on the distressed smartphone company.
The letter was released Monday on Twitter and will be published Tuesday. It acknowledges “these are no doubt challenging times for us and we don’t underestimate the situation” but says “you can continue to count on BlackBerry.” It notes that BlackBerry has substantial cash and is debt free.
BlackBerry is considering a sale or break-up. Fairfax Financial Holdings, which owns 10 percent of the company, last month signed a letter of intent that “contemplates” buying BlackBerry for $4.7 billion. Fairfax is trying to attract other investors.
UN: Global economy is struggling to expand
UNITED NATIONS — A new U.N. report says the world economy is still in disarray five years after the financial crash. The U.N. Conference on Trade and Development has issued a gloomy assessment of a stagnant global economy.
It says, “The global economy is still struggling to return to a strong and sustained growth path.”
It forecasts the rate of world output will grow in 2013 by 2.2 percent, the same rate as last year.
Developed countries are expected to show the poorest performance, with around 1 percent increase in gross domestic product.
Staff and wire reports