BUSINESS BRIEFS
Stocks fall as Fed’s move fails to reassure markets
Fear and uncertainty continue to control Wall Street, and stocks fell sharply Tuesday after an emergency interest-rate cut by the Federal Reserve failed to reassure markets wracked by worries that a fast-spreading virus will cause a recession.
While the cut gave some investors exactly what they had been asking for, Federal Reserve Chairman Jerome Powell acknowledged that the ultimate solution to the virus challenge will have to come from health experts and others, not central banks.
Uncertainty led to jagged trading across markets on Tuesday. Stocks rallied briefly in the morning following the Fed’s surprise move, but it took just 15 minutes for the gains to evaporate. The yield on the 10-year Treasury fell below 1% for the first time in history as investors ratcheted back expectations.
The S&P 500 fell 86.86 points, or 2.8%, to 3,003.37. It pared a loss that reached 3.7% in the mid-afternoon, and it marks the eighth drop in the last nine days for the index. The Dow Jones Industrial Average lost 785.91 points, or 2.9%, to 25,917.41. It had surged 5% a day earlier on hopes for a broader set of stimulus measures. The Nasdaq fell 268.07, or 3%, to 8,684.09.
Wells Fargo third major bank to end Arctic oil investment
Wells Fargo & Co. became the third major U.S. bank to announce it will not support financing for oil and gas projects in the Arctic.
The bank identified the Arctic National Wildlife Refuge on Alaska’s North Slope as an area where it will not invest, The Anchorage Daily News reported Monday.
Wells Fargo joined The Goldman Sachs Group Inc. and Jpmorgan Chase & Co. in the decision not to provide future investment funding for Arctic oil projects.
“Our policy applies only to project finance in the region,” the San Francisco-based bank said in a statement. “We have ongoing business relationships with numerous companies involved in the oil and gas industry in the Alaska Arctic region and expect to continue those relationships long into the future.”
First ride featuring Mickey Mouse debuts at Disney World
The Walt Disney Co. was built on the shoulders of Mickey Mouse, so it may come as a surprise that there never has been a theme park attraction based on the lovable rodent.
That’s about to change with the debut of Mickey & Minnie’s Runaway Railway ride on Wednesday at Disney’s Hollywood Studios at Walt Disney World in Orlando, Florida.
The ride gives visitors the impression that they are watching a cartoon featuring Mickey and Minnie come to life as the Disney characters look for the perfect place for a romantic picnic and then end up on a train ride on the “Runnamuck Railroad.”
The ride features trackless vehicles, multiple dimensional sets and projections on multiple planes, as well as animatronic figures and theatrical effects.
“We’ve taken our whole grab bag of theatrical tricks and blended them together so seamlessly you won’t be able to tell what’s what,” said Kevin Rafferty, executive creative director at Walt Disney Imagineering.
UAW seeks $1.3M for former leader’s vacation home
The United Auto Workers is seeking $1.29 million for the Michigan vacation home of its former president.
The Detroit News reported that the home’s design plan included granite counters, stainless-steel appliances, a fireplace, wine cooler and a hidden storage room. It was built for Dennis Williams, who retired as president in 2018.
The UAW said in November that it planned to sell the property, which was searched by federal agents during a corruption investigation. Nine union officials and an official’s spouse have pleaded guilty. Williams hasn’t been charged, although his home in Southern California was searched.