U.S. stocks rally, break out of three-day slump
NEW YORK - Stocks rallied Tuesday, ending a slump that had ushered in the New Year.
The S&P 500 index climbed the most in three weeks, led by health care stocks. UnitedHealth Group and Johnson & Johnson climbed on recommendations from brokerages.
The S&P 500 rose 11.11 to 1,837.88, the biggest gain since Dec. 18. The Dow Jones industrial average climbed 105.84 to 16,530.94. The Nasdaq composite gained 39.50 to 4,153.18.
SC lawmaker to file bill over flood rate changes
State Rep. Leon Stavrinakis, D-Charleston, said he plans to introduce legislation to prevent banks from foreclosing on homeowners who are current on their mortgage but unable to pay flood insurance premiums.
The move is in response to the Biggert-Waters Flood Insurance Reform and Modernization Act. The law was crafted to overhaul the National Flood Insurance Program. It eliminate subsidies for policies and imposes rate increases that average 10 percent. The law also erases any subsidies when a property is sold.
As of September, there were nearly 104,000 flood policies in Berkeley, Charleston and Dorchester counties.
Some Machinists want to contest Boeing vote
Some Machinists union members plan to push for a recount or even a new vote on the Boeing labor contract narrowly approved Friday that guaranteed 777X production in Washington state but took away workers' pension plans, Reuters reported. The vote was 51 percent in favor of the eight-year labor deal that starts in 2016.
Union leaders said there have been many close votes in the past and they recounted or held a new vote.
JPMorgan will pay over $2.5B in Madoff fraud
NEW YORK - JPMorgan will pay more than $2.5 billion for missing obvious warning signs of Bernard Madoff's massive Ponzi scheme.
Authorities said Tuesday that the nation's largest bank will forfeit $1.7 billion to settle criminal charges. It also will pay a $350 million civil settlement to the government. The trustee recovering assets for Madoff investors also announced that the bank will pay $543 million to settle other claims brought on behalf of fraud victims.
The bank says it doesn't believe employees knowingly assisted Madoff's Ponzi scheme. It also says it has taken steps to do better in the future. The 75-year-old Madoff is serving a 150-year prison sentence after pleading guilty. His fraud was exposed in December 2008.
Airbus' North America chief is stepping down
HERNDON, Va. - The head of the Airbus unit that handles business in North America is stepping down because of injuries he received in the 2010 Alaska plane crash that killed former Sen. Ted Stevens.
Sean O'Keefe has run the unit since 2009. His tenure included Airbus' decision to build a new factory in Alabama, and its competition to build a new Air Force tanker, which Airbus ultimately lost to Boeing. O'Keefe, 57, will be replaced by Allan McArtor, chairman of Airbus Americas.
T-Mobile's CEO crashes AT&T's party, is ejected
LAS VEGAS - T-Mobile's CEO John Legere is taking his "bad boy" image and feud with AT&T to the next level: He crashed a party thrown by AT&T at the International CES gadget show, and was thrown out after being discovered.
The incident late Monday night occurred amid a recent escalation of the intense rivalry between the two companies. It was reported by CNET and confirmed by Legere on his Twitter feed. AT&T's party followed its conference for software developers the same day. Legere claims to be a fan. AT&T had no immediate comment.
Staff and wire reports