Stocks gain early: The Dow is up around 50 points in early trading – not such a terrific bounceback after two days of sharp losses..
Different view of Citi: The WSJ says the banking giant is considering a sale of all or some of its parts, but the NYT reports that the focus is on the stock price and not a sale. Shares are up a bit this morning.
Investors and analysts have long pressured the bank to consider ways to lift its stock price, including splitting the company or selling pieces. While a few also say the company should consider selling itself outright, there is no certainty that any change would happen soon. Senior executives say the company is financially strong and has ample financing options. Moreover, there are few buyers who would be willing to pay a price that Citigroup would want for its most valuable assets.
What about Downey?: Friday is when bank takeovers often occur, so there will be extra attention paid to the Newport Beach bank. In a Nov. 10 filing, Downey said there was "substantial doubt" that it could continue as a going concern. That the government hasn't offered an infusion of cash so far only adds to the speculation. (LAT)
Gas keeps falling: The average price in the Los Angeles-Long Beach area is $2.33 per gallon, according to the Auto Club survey, though it's going for far less in many parts of town (a gas war has broken out in Pasadena that has regular going for $1.77). Oil is still hovering around $50 a barrel.
Kaiser's four stars: The state's largest health maintenance organization gets a perfect rating on an annual HMO score card. Kaiser is considered in a better position to meet standards because the HMO and physicians are part of the same organization. (LAT)
Sagging DVD sales: By one measure they're down about 4 percent for the year (most of the drop came last month), while another shows a 9 percent drop for the third quarter and a 22 percent decline in sales of higher-priced new titles. From the NYT:
Weak consumer spending is not the only culprit. Media companies, desperate for revenue, are dumping more obscure titles on the market, leading to downward pricing pressure, according to Distribution Video and Audio, a home entertainment overstock company in Burbank, Calif. Consumers are being more selective. There are signs that digital downloads are cutting into sales. And Blu-ray discs still cause widespread confusion in the marketplace, with shoppers doubtful Blu-ray is here to stay after a lengthy format war with a rival technology.
SAG resumes talks: The guild and the Alliance of Motion Picture & Television Producers met for about 12 hours on Thursday - and will reconvene today - but there's no sign of any progress. (Variety)