Marketplace PM for May 19, 2005
Posted In: Wall Street
Today, three hedge funds agreed to pay a total of $2.4 million worth of fines. The SEC said the hedge funds were manipulating share prices through short-selling. Earlier this month, cable company Adelphia agreed to pay over $700 million to settle fraud charges. And in the past several years, a number of investment banks and mutual funds have reached big-time settlements with regulators over questionable business practices. Jim Cox teaches securities law at Duke University, he explains why the SEC seems to settle cases so often.
At midnight theatres around the country began screening the final installment of the Star Wars movies. The reviews are pretty good. The box office is too. Although the numbers are still soft, insiders expect 'Revenge of the Sith' to beat $40 million on day one. It's a foregone conclusion the film will top $100 million by the end of the weekend. Less clear is whether the merchandising will match past blockbusters. Ashley Milne-Tyte reports.
Posted In: Canada
The U.S. Treasury Department today named a special envoy to China. Washington's trying to press Beijing to adopt economic reforms and a more flexible currency. Meanwhile, back in Beijing, about 500 chief executives and other businessmen hob-nobbed at the Global Forum, staged by Fortune magazine. It's a big enough deal that China's president took time to drop by. He told the CEO's that China's growing economic power is a benign force for global prosperity. Commentator and trade expert Clyde Prestowitz says it's time for CEOs to form a force of their own.
Posted In: Canada
All week long, we're examining the financial world with a wide-angle lens. Today, our 'think global' series takes us to the world's biggest center of international finance. And no, it's not Wall Street. It's much closer to Fleet Street, at least geographically. Back when Britain ruled the waves, many of the strings were pulled by bankers in the City of London. The spiritual descendants of those bowler-hatted bankers still run the city today. But as Marketplace's Stephen Beard tells us, their accents aren't what they used to be.