Econmic, profit reports spur U.S. stocks
NEW YORK, May 27 (UPI) -- U.S. Stocks made strides Thursday with new reports of profits and economic improvement.
The blue-chip Dow Jones industrials closed up 95.31 points, or 0.94 percent, at 10,205.20 and Nasdaq rose 8.35, or 0.42 percent, at 1,984.50. Standard & Poors also was up, at 6.32, or 0.57 percent, for 1,121.26.
Bonds moved up. The 10-year Treasury note gained 1/2 point, or $5.00 for each $1,000 invested, to yield 4.606 percent. The 30-year bond moved up nearly 3/4 point to yield 5.319 percent.
The dollar weakened,trading at 110.93 yen, down from 111.91 late Wednesday in New York, while the euro rose against the dollar to $1.2259 from $1.2106 in the previous session.
The Commerce Department said the gross domestic product increased during the January through March period at a 4.4 percent annual rate, outpacing the 4.2 rate originally projected.
In overseas trading, prices ended higher in London, Paris, Frankfurt, Milan, Amsterdam, Stockholm and Zurich. Stocks also rose in Tokyo and in Hong Kong.
Dems say Central American trade deal in trouble
WASHINGTON, May 27 (UPI) -- Hill Democrats predict a new free trade deal between the United States and Central America will not receive congressional approval.
The day before the signing of the Central American Free Trade Agreement, some Democratic opponents predicted it would fail because it does nothing to address the concerns of many members in areas like labor standards.
In addition, Reps. Sander Levin, D-Michigan and Rep. Xavier Becerra, D-Calif, predicted in a news conference that a good number of House Democrats and Republicans from farming states would be forced to oppose the deal because it opens up U.S. markets to increases agricultural imports, including sugar and fruits.
A coalition of opposition groups including the AFL-CIO, Friends of the Earth and National Family Farm Coalition Thursday took issue with the agricultural and pharmaceutical provisions in the deal, noting an extension of patent protections for medicines would inhibit access to prescription drugs in the region.
Such complaints spell trouble for the deal, particularly in an election year, but it remains unclear when President Bush will send the deal to Congress for its approval.
U.S. reaches free trade deal with Bahrain
WASHINGTON, May 27 (UPI) -- The United States and Bahrain have reached a deal on a new free trade agreement.
The United States Trade representative announced Thursday that the two countries -- which trade between totals $887 million each year -- would completely eliminate tariffs on goods sold between the two nations as soon as the deal is enacted.
The deal comes on the heals of free trade deals negotiated between United States and Jordan and Morocco.
It is part of the Bush administration's attempt to develop a broad free trade zone in the Middle East, which remains a relatively limited trading partner with the United States outside of a few specific sectors including natural resources goods like oil.
Short supply, high prices for flat-screens
NEW YORK, May 27 (UPI) -- Technological problems are leaving flat-screen televisions in short supply and keeping prices high, the Wall Street Journal reports.
Costs need to drop if the dominant flat-screen technology, LCDs, are to remain the main technology in flat-screen televisions.
LCDs account for 82 percent of flat-screen TV sales, but there currently aren't enough plants to keep up with flat-screen demand, because the plants are more costly and take more time to build than conventional-TV plants.
The screens are also used in other products such as some laptops.
A technology that may soon challenge LCD screens, OLED, was unveiled this week at the Society of Information Display's annual conference in Seattle. But to stay ahead, LCD makers will spend approximately $10 billion this year building new plants. Seven new factories are to open in Asia this year.
