MARKETS / FINANCE

Factory activity in the Mid-Atlantic region bounced back in July, lifting hopes of a pick-up in economic growth in the third quarter.

New U.S. claims for unemployment benefits rose more than expected last week, a government report showed on Thursday, pointing to a labor market that is struggling to regain momentum after job growth faltered in the last two months.

The U.S. and Canadian governments exited their investments in Chrysler Group LLC on Thursday, making Fiat SpA the majority stakeholder in the U.S. automaker.

A key gauge of future economic activity rose less than expected in June as headwinds from the debt ceiling debate and recent floods and tornado damage in some regions of the country kept growth moderate, the independent Conference Board said on Thursday.

Euro zone leaders were set to give their financial rescue fund sweeping new powers to prevent contagion and help Greece overcome its debt crisis, according to the draft conclusions of an emergency summit on Thursday.

Stocks rose on Thursday as encouraging results from Morgan Stanley lifted optimism over the battered financial sector, while investors were cheered by the initial details over a rescue plan for Greece.

Factory activity in the Mid-Atlantic region bounced back in July, lifting hopes of a pick-up in economic growth in the third quarter.

Standard & Poor's reiterated on Thursday it sees a real risk that future U.S. government deficits may meaningfully miss discussed targets and that there is a 50-50 chance the U.S. AAA credit rating could be cut within three months, perhaps as soon as August.

Stock index futures were flat on Thursday as investors awaited details on a second rescue package for Greece, though weakness in technology shares kept Nasdaq futures slightly negative.

Stock index futures pointed to a higher open on Thursday as encourage results from Morgan Stanley lifted optimism over the battered financial sector.

Europe is willing to let Greece default under a crisis response that would involve a bond buyback, a debt swap but no new tax on banks, EU sources said as euro zone leaders began a crucial emergency summit Thursday.

Google Inc is introducing a credit card for its advertising customers, offering its clients a credit line to try and drum up business as competition in the online ad market heats up.

The number of Americans filing new claims for unemployment benefits rose more than expected last week, pointing to a labor market that is struggling to regain momentum.

Growth ground to a halt in the euro zone's private sector this month while China's factory sector contracted for the first time in a year, surveys showed on Thursday, deepening evidence of a sharp slowdown in the global economy.

World stocks held below a 1-1/2 week high on Thursday after a disappointing services sector survey in the euro zone while the euro ticked up as investors awaited details of a Franco-German deal on a Greek bailout at a European summit later.

Morgan Stanley reported better-than-expected second-quarter results on Thursday as the U.S. investment bank outperformed rivals in tough trading conditions.

House Speaker John Boehner, R-Ohio, has his hands full regarding the 'Gang of Six' debt plan. Most Tea Party members of his caucus are likely to oppose it, but if Boehner can recruit enough moderate Democrats to offset Tea Party opposers, the plan should pass the U.S. House -- its likely final hurdler before the bill heads to President Obama.

Morgan Stanley reported a second-quarter loss of 38 cents per share on Thursday, beating expectations.

Nasdaq and Dow index futures were lower on Thursday as investors awaited details on a second rescue package for Greece, bringing the euro-zone's debt crisis back into the spotlight.

China's factory sector shrank for the first time in a year in July, a survey showed on Thursday, feeding worries among the country's main trading partners that its growth is unsustainable and could lead to a slump.

The European Central Bank is willing to let Greece slip into temporary default as part of a crisis response that would involve a bond buyback but no new tax on banks, EU sources said on Thursday.

Morgan Stanley is set to report a second-quarter loss on Thursday, as costs caused by a leftover item from the financial crisis compound the effects of a weak trading environment and stubbornly high expenses.

The euro zone's private sector grew at its weakest pace in almost two years this month as demand from abroad fell and the region's ongoing debt crisis weighed on minds at home, business surveys showed on Thursday.

Germany and France are willing to allow Greece to slip into a temporary default as part of a bond buyback plan aimed at preventing Europe's debt crisis from spreading, and have ruled out a levy on banks.

Germany and France have ruled out a bank tax after reaching a common position on a second bailout of Greece to prevent the country's debt crisis spreading through Europe, EU sources said on Thursday.

The euro climbed for a third day on Thursday after news about a France-Germany accord on Greece's debt crisis relieved some concerns ahead of a European summit, while Asian stocks slipped after China manufacturing data contracted for the first time in a year.

Apple Inc is within sight of catching up with Exxon Mobil as the most valuable company in the world.

China's big trading partners worry that its rapid economic growth cannot be sustained and it could suffer a hard landing that spreads damage around the world, according to an IMF report released on Thursday.

China's factory sector contracted for the first time in a year in July and at its fastest pace since March 2009, a purchasing managers' survey showed on Thursday, as monetary policy tightening and slack global demand weighed on the economy.