Who knew Santa was from Singapore?
"Merrill Lynch Sells Stake to Singapore Firm" by ERIC DASH
Merrill Lynch became the latest Wall Street bank to grab a financial lifeline from a foreign government, agreeing on Monday to sell $5 billion of new stock to an investor from Singapore and a smaller stake to a domestic firm, as the fallout from mortgage mess continues to spread.
As the losses mount, cash-rich investors from the Middle East and Asia are cutting a wide swath through Wall Street. Since late October they have spent more than $22 billion for stakes in Bear Stearns, Citigroup, Morgan Stanley and UBS.
Other sovereign wealth funds have also swooped down on weakened Western financial companies. Singapore’s lesser-known government fund, the Government of Singapore Investment Corporation, recently agreed to invest $9.7 billion in UBS. Citigroup is selling a $7.5 billion stake to the Abu Dhabi Investment Authority. And last week, Morgan Stanley agreed to sell a $5 billion stake to the China Investment Corporation."
"Markets Up After a Deal by Merrill" by MICHAEL M. GRYNBAUM
Shares rose on Monday after a billion-dollar investment deal between Merrill Lynch and the Singapore government raised hopes that wealthy foreign investors would come to the rescue of America’s ailing investment firms.
Most major Wall Street firms recorded significant gains, with Goldman Sachs and Citigroup rising more than 2 percent.
Besides the traditional holiday optimism — the so-called Santa Rally — investors were cheered by news that Alcoa, the aluminum producer, was selling its packaging and consumer businesses to a company in New Zealand for $2.7 billion. Reynolds Wrap, the kitchen staple, will no longer be an American product.
Retail shares also rose as analysts hoped the weekend shopping rush would bolster year-end bottom lines. Analysts were concerned about flagging sales at department stores and other consumer outlets."
I didn't help them, as the disappointed faces of the recipients attested today!
