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U.S. markets mixed Tuesday

NEW YORK, Nov. 3 (UPI) -- U.S. markets closed mixed Tuesday with policymakers at the Federal Reserve headed into a two-day meeting in Washington.

The start of the Open Market Committee meeting often puts investors into a two-day holding pattern as they wait for critical news on the central bank's lending rate decisions.

Stocks retreated early, but railroad shares surged 11.45 percent after billionaire investor Warren Buffett said he would buy Burlington Northern Santa Fe for $44 billion.

By close, the Dow Jones industrial average lost 0.18 percent, 17.53 points, to 9,771.91. The Standard & Poor's 500 index added 0.24 percent, 2.53, to 1,045.41. The Nasdaq composite index rose 0.4 percent, 8.12, to 2,057.32.

On the New York Stock Exchange, 1,841 stocks advanced and 1,185 declined on a volume of 5.4 billion shares traded.

The benchmark 10-year U.S. Treasury fell 12/32 to yield 3.469 percent.

The euro fell to $1.4718 from Monday's $1.4766. Against the yen, the dollar fell to 90.30 yen from Monday's 90.35 yen.

In Japan, the Nikkei 225 index lost 2.31 percent, 231.79, to 9,802.95.

In Britain, the FTSE 100 index lost 1.32 percent, 67.29, to 5,037.21.

GM, Ford say sales are up; Chrysler drops

DETROIT, Nov. 3 (UPI) -- Two out of three U.S. automakers reported vehicle sales increased in October, with Chrysler Group LLC reporting sales slumped significantly, down 30 percent.

General Motors Co. said it sold 177,603 vehicles in the month, while Ford said it sold 132,483.

For GM, it was the third consecutive month it advanced its market share, claiming 21 percent of the light vehicle market, The Detroit News reported Tuesday.

GM sales rose 4 percent over October 2008, while Ford sales rose 3 percent from a year ago. Ford said its market share increased for the 12th time in 13 months.

Chrysler said it sold 65,803 vehicles, a 6 percent increase from September, but a sharp drop from October 2008.

Other automakers posted mixed results. Kia Motors America said it sold 22,490 units, a 45.3 percent jump from a year ago. American Honda Motor Co. said its sales dropped less than 1 percent from October 2008.

Toyota Motor Corp. sold 152,165 vehicles, almost even with its sales a year ago. Mercedes-Benz USA said it sold 18,193, a 21.3 percent improvement from a year ago.

Florida bank put TARP funds into loans

MIAMI, Nov. 3 (UPI) -- The Biscayne Bank in Florida reported that, with federal bailout funds in hand, it increased lending in the third quarter.

For the short-term the increased lending may be a mixed-blessing, as the bank also reported it lost money in the third quarter by putting $1.1 million aside to cushion itself against possible loan losses, the South Florida Business Journal reported Tuesday.

The Biscayne Bank earned a profit of $222,000 in the second quarter and lost $287,000 in the third, a Federal Financial Institution Examination Council filing showed.

The bank reported it held $7.2 million in impaired loans, 4.3 percent of its total loans, a sharp rise from end of the second quarter, when 3.9 percent of its loans -- representing $1.2 million -- were late.

In the second quarter, the bank received $6.4 million from the Treasury Department's Troubled Asset Relief Program, known as TARP.

Some of the nation's largest banks have been criticized for paying off debts with TARP funds, rather than increase lending to keep the economy going.

Best Buy to team up with Sonic Solutions

RICHFIELD, Minn., Nov. 3 (UPI) -- U.S. retail giant Best Buy said it would work with Sonic Solutions to offer customers video streaming on a variety of devices, including mobile phones.

The firms have agreed to a multiyear deal to include Sonic's Roxio CinemaNow technology in televisions connected to the Internet, portable media players, computers, set-top boxes and phones, PC Magazine reported Tuesday.

Along with the agreement, Best Buy will purchase an undisclosed amount of Sonic common stock, the company said.

"Our relationship with Sonic Solutions allows Best Buy to quickly establish a strong position in the digital delivery of video entertainment," said Brian Dunn, the retail chain's chief executive officer.

In a statement, Dave Habiger, president and CEO of Sonic Solutions, said, "with Best Buy's focus, we expect on-demand entertainment to quickly grow into a mass market activity, with digital sell-through and rental becoming a significant new revenue stream for content owners."