Jan 2, 2009
Bank of America ,U.S. industrial activity continues to deteriorate.Economy,
U.S. industrial activity continues to deteriorate. Manufacturing activity has deteriorated again in December in the United States, according to the index of purchasing managers published by the Institute for Supply Management (ISM) showed that at 32 , 4 in December against 36.2 in November. This is the lowest level since June 1980, when the index reached 30.3. An index below 50 indicates a contraction of activity: it is more down below this bar, over the pace of deterioration is strong. By sub-index, the new orders and production fell by 5.2 and 6 points respectively, that of employment fell by 4.3 points and the price dropped by 7.5 points . Bank of America The number one U.S. banking sector in terms of deposits, Bank of America, completed the acquisition of Merrill Lynch. The U.S. bank stressed that it now has the largest wealth management with about 20 000 financial advice and more than 2000 billion dollars in assets under management. Under the agreement, each shareholder of Merrill Lynch received 0.8595 share Bank of America per share Merrill Lynch. With this transaction, Bank of America expects to achieve savings of $ 7 billion before taxes in 2012. In December, Bank of America announced the abolition of 30 000 to 35 000 posts in three years. These job cuts, which corresponds to about 10% of its workforce, are justified by the "bad economic climate" and the desire to eliminate duplication resulting from the absorption of Merrill Lynch. It was not until the beginning of 2009 to have a clearer idea of the number of posts, had said Bank of America. The institution added that all societies and all branches of activity of the bank will be affected. Economy Wall Street opened slightly higher for the first meeting of 2009, investors primarily in mind the plan for the new U.S. administration must implement soon to try to revive the economy. President-elect Barack Obama, who will take office on January 20, is scheduled to meet Monday the leaders of Congress to discuss his plan which provides for massive investments in infrastructure. The markets also expect the release at 15:00 GMT sole indicator of American days, the ISM manufacturing index could fall to 35.5 and sinking lower and still under the threshold that delineates growth and contraction in activity. Volumes should remain weak, many investors making the bridge in the aftermath of New Year In the early exchanges, the Dow Jones index gaining 23.74 points or 0.27% to 8800.13 points while the S & P 500 took 1.32 point or 0.15% to 904.57 points. The Nasdaq composite yields 1.47 point or 0.09% to 1575.56 points. Later values, banks Bank of America and Wells Fargo cede every two 0.64% Thursday after concluding the acquisition of Merrill Lynch for the first and Wachovia Wednesday for the second
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