In The News:
A day after announcing that it would help customers to understand health insurance plans better by teaming up with DirectHealth.com, Wal-Mart (WMT) announced the giant super store will end healthcare benefits to approximately 30,000 part-time workers who work less than 30 hours a week and will raise premiums for other employees starting next year. The move is seen to help ease pressure from Wall Street on the discount retailer to improve its financial performance. In Wal-Mart’s defense, the move is in line with ones made by other chains, like Trader Joe’s and Target (TGT). The company said that it will provide assistance from HealthCompare to workers who lost their health coverage. Wal-Mart employees that enroll in the company’s most popular plan will see their premiums increase by $3.50 to $21.90 effective Jan. 1, 2015.
Two weeks ago bond insurer MBIA was told one of the company’s server had been breached and the data of thousands of local U.S. government entities had been compromised, however the company did not address the problem until earlier this week, according to the cyber security expert who discovered the intrusion. On Tuesday, the company finally notified clients of its Cutwater Asset Management unit that some of their information may have been compromised. Cutwater Asset Management provides private funds for local government entities that pool assets their assets together. Affected clients included entities in Texas, New Hampshire, Indiana, Connecticut and Louisiana. The company has shut down the affected server for now and is conducting a thorough investigation.
Yahoo (YHOO) will lay off 400 employees in Bangalore, India this week. The layoffs represent about 3% of Yahoo’s total staff and will mark the largest staff reduction under Chief Executive Marisa Mayer. Ms. Meyer has come under fire lately to cut costs and seek areas of growth at the internet giant. The most recent came from activist investor Starboard Value LP last month who urged Mayer to look into the possibility of buying AOL. Shares of Yahoo, like most stocks in the markets, closed down on Tuesday.
In The Markets:
Asian stocks closed mostly lower on Friday as the Shanghai markets provided the only green spot on the map. A second round of disappointing data from Germany and yesterday’s global rout hit investor sentiment hard.
European shares tumbled Tuesday after lack luster German industrial production data had investors wondering if the Euro zone’s strongest economy is starting to slow down.
U.S. markets shares dropped sharply on Tuesday after the IMF (International Monetary Fund) dramatically dropped their growth forecast for several countries caused jittery investors to wonder what surprises the upcoming earning season will bring. DJIA:-272.52 16,719.39 NASDAQ: -69.60 4385.20 S&P: -29.72
In Word Of The Day:
International Monetary Fund (IMF):
The IMF was established post WWII with 29 member countries. Its initial goal was to assist in reconstructing the post World War II payment system; their plan was for countries to contribute money to a pool via a quota system from which member countries in need could borrow money temporarily. Today the IMF still uses a variation of their quota system and described itself as ‘as organization with 188 member countries, working to foster global monetary cooperation, secure financial stability, facilitate international trade, promote high employment and sustainable economic growth, and reduce poverty around the world.
In Dinner or Drink:
1/2 oz Captain Morgan® Original spiced rum
1/2 oz Blue Curacao liqueur
1/2 oz Captain Morgan® Parrot Bay mango rum
1/2 oz Sprite® soda
1/2 oz lemonade
Combine the Captain Morgan Original spiced rum and Parrot Bay mango rum in a cocktail shaker half-filled with ice cubes. Add the blue curacao, shake well and strain into a cocktail glass. Add Sprite and lemonade, and serve.