Markets stumble, then head higher
NEW YORK, Aug. 31 (UPI) -- U.S. markets wavered Tuesday morning, the Dow Jones industrial average falling below 10,000 points, before recent trading rescued the index.
The Standard & Poor's/Case Shiller home price index released Tuesday said U.S. housing prices rose 4.4 percent in the second quarter, compared to the first, of late a rare indication of economic progress.
In late morning trading, the DJIA swing higher, up 25.50 points, 0.25 percent, to 10,035.23. The S&P 500 added 0.19 percent, 2.02, to 1,050.94. The Nasdaq composite index added 0.08 percent, 1.71, to 2,121.68.
The benchmark 10-year Treasury note rose 10/32 to yield 2.497 percent.
The euro rose to $1.2724 from Monday's $1.2665. Against the yen, the dollar fell to 84.48 yen from Monday's 84.55 yen.
In Japan, the Nikkei 225 index lost 3.55 percent, 325.20, to 8,824.06.
Russia invites automakers with tariffs
MOSCOW, Aug. 31 (UPI) -- Prime Minister Vladimir Putin said customs tariffs on automobiles would be raised, calling it encouragement for foreign companies to set up shop in Russia.
"We do not want to undermine your (carmakers) business in Russia. Come to us and set up production here," the Russian news agency RIA Novosti quoted Putin as saying Tuesday.
By raising tariffs, Russia hopes to discourage imports, which would, in theory, encourage companies to build production facilities in Russia.
Putin said tariffs could be raised, because, "after all, members of the World Trade Organization … can afford it," he said.
Currently, while several large automakers have built production facilities in Russia, the country still imports more cars than it produces. January through June, automakers produced 157,561 vehicles in the country. By comparison, Russia imported 251,300 cars in the same six month period.
Kerry, Issa, top list of richest lawmakers
WASHINGTON, Aug. 31 (UPI) -- Financial disclosure forms indicate Sen. John Kerry, D-Mass., is Washington's wealthiest lawmaker worth $188.6 million at the end of 2009.
The forms indicate the second wealthiest, worth $160.1 million, is Rep. Darrel Issa, R-Calif. He is followed on the list by Rep. Jane Harman, D-Calif., who is worth $152.3 million.
Disclosure statements also indicate that the 50 richest lawmakers added $85.1 million to their wealth in 2009, The Hill newspaper said Tuesday.
Among the top 50 on the list, are 27 Democrats and 23 Republicans.
The top 10 includes Kerry, Issa, Harman, Sen. Jay Rockefeller, D-W.Va., Rep. Michael McCaul, R-Texas, Sen. Mark Warner, D-Va., Rep. Jared Polis, D-Colo., Rep. Vern Buchanan, R-Fla., Sen. Frank Lautenberg, D-N.J., and Sen. Dianne Feinstein, D-Calif.
But calculating wealth through disclosure statements has considerable margin for error, the newspaper said.
Disclosure forms allow lawmakers to list assets categorically, along a range. For example, the true value of a home is slightly obscured when it is marked as worth between $1 million and $5 million.
In addition, the range of choices forces the value of assets to be capped at $50 million when they might be worth much more.
In China, a retailer's prison drama
BEIJING, Aug. 31 (UPI) -- An appeals court in China upheld the 14-year prison sentence of retail executive Huang Guangyu, who is struggling to maintain influence on his company.
The Beijing High People's court released Huang's wife from prison, but maintained Huang's insider trading conviction and sentence -- including a forfeiture of $117.5 million -- was correct, China Daily reported Tuesday.
Despite his sentence, Huang is lobbying to have Gome Electrical Appliances Holding Ltd. Chairman Chen Xiao replaced.
Reportedly worth $6.3 billion before his legal troubles began, Huang increased his ownership of the company last week from 33.98 percent to 34.78 percent with his family purchasing 120 million shares, the newspaper said.
He also owns 381 of the retail chain's 1,141 stores and has said if Chen is not replaced, he would sever ties between the outlets and the company.
A company spokesperson said: "It would hurt the interests of Gome's shareholders … But, in the long run, it is not a bad thing because those stores lack proper management and are always inefficient."
The drama is expected to come to a head at a special shareholder meeting scheduled for Sept. 28.
Huang's wife, Du Juan, was given a three-year sentence in May. The appeals court reduced that to a suspended sentence with probation.
