U.S. markets slide on Cisco report
NEW YORK, Nov. 11 (UPI) -- U.S. markets turned lower Thursday as Cisco Systems Inc. said its revenue growth was expected to slow.
Cisco reported profits up 8 percent in its fiscal first quarter compared with the same period a year ago. However, it said its television set-box business looked weak and Chief Executive Officer John Chambers described the business environment as "challenging," CNNMoney.com reported.
Investors were also uncertain what to expect on currency rate stabilization after a Group of 20 nations summit in Seoul. Analysts expect whatever pact is signed will contain mostly a pledge of goodwill, rather than a significant breakthrough.
By close, the Dow Jones industrial average dropped 73.94 points, 0.65 percent, to 11,283.10. The Standard & Poor's 500 index lost 0.42 percent, 5.17 points, to 1,213.54. The Nasdaq composite index lost 0.9 percent, 23.26, to 2,555.52.
On the New York Stock Exchange, 1,041 stocks advanced and 1,903 declined on a volume of 4.9 billion shares traded.
The benchmark 10-year treasury note rose 4/32 to yield 2.648.
The euro fell to $1.3664 from Wednesday's $1.3779. Against the yen, the dollar rose to 82.50 yen from Wednesday's 82.32 yen
In Japan, the Nikkei 225 index added 0.31 percent, 30.94, to 9,861.46.
In Britain, the FTSE 100 index lost 0.03 percent, 1.71, to 5,815.23.
Ban asks G20 not to ignore the poor
SEOUL, Nov. 11 (UPI) -- United Nations Secretary-General Ban Ki-moon Thursday said Group of 20 leaders meeting in Seoul should not forget promises to cut poverty.
At the Seoul Foreign Correspondents Club, Ban said, "I believe that promises made must be promises kept."
Ban was referring to eight Millennium Development Goals on hunger, poverty, health, shelter and environmental issues agreed to by world leaders in 2000.
In September, 140 world leaders reaffirmed their commitments to reaching target objectives by 2015.
As the Group of 20 leaders negotiated in South Korea, Ban said, "The MDGs (millennium development goals) are about building sustainability, building global growth, building a better world."
He called the goals "Weapons of mass construction."
With 64 million people falling into extreme poverty in 2010, Ban said, "The economic crisis should not be an excuse to do less. It is a reason to do more. We must be accountable to the most vulnerable," he said.
Geithner denies currency manipulation
WASHINGTON, Nov. 11 (UPI) -- U.S. Treasury Secretary Timothy Geithner said Thursday the United States has not tried to undermine the dollar for a trade advantage -- and never would.
In a CNBC interview, Geithner said, "The United States would never do that. We will never seek to weaken our currency as a tool to gain competitive advantage or grow the economy. It's not an effective strategy for any country and it's not for the United States."
The Obama administration has been the brunt of international criticism for the past week following the Federal Reserve's announced plan to buy $600 billion in long-term Treasury bonds, which is defined as quantitative easing or "printing money," because the Fed uses new money to make purchases. Putting new dollars into circulation adds liquidity to the financial system, but also dilutes the value of the currency.
Geithner said the "dominant trend" of the past 2 1/2 years has been the dollar gaining strength. In addition, he said he was "very confident" global leaders would come around and "embrace" the concept of rebalancing international trade by constructing policies that would tie trade surpluses or deficits to market forces.
The concept has been under debate at the Group of 20 summit in Seoul this week. Predictably, it has been rejected by trade-positive nations and been given a better reception by trade-negative nations.
"It's worth stepping back to see what are the basic objectives of this proposal," Geithner said.
"We don't set in motion the types of forces that could lead to a re-emergence of excessive imbalances around the world, deficits and surpluses, because those would threaten future growth. ... That's why it matters we have more balance as countries grow, provided a proposal that allows for a cooperative framework to manage through those kinds of things," he said.
Walmart offers holiday shipping for free
BENTONVILLE, Ark., Nov. 11 (UPI) -- U.S. retail giant Walmart said Thursday shipping for about 60,000 store items would be free through Dec. 20.
The store estimated the shipping deal would save customers about $25 million this shopping season. The offer includes free shipping for electronics, home appliances, furniture, toys, jewelry and other items. It does not include tires or Walmart Martketplace items.
Shoppers from Alaska, Hawaii and Puerto Rico could still expect a surcharge on shipping, the store said.
Senior vice president and general manager of Walmart.com said the offer was an early Christmas gift.
"Customers are doing all they can to save money this holiday, so we're excited to offer free shipping to home with no minimum purchase requirement as an early Christmas present to them."
