Big Week on Wall Street Ends on High Note

Word on the Street

• Google Inc. (GOOG) Chief Executive Officer Eric Schmidt said he expects China to renew the company’s newly revised application to deliver Web services in the country. The move comes as a surprise in light of the company’s dispute with the government over censorship.
• Patent holding company NTP announced that it is suing Apple (AAPL), Google (GOOG) and other major tech companies for allegedly infringing patents on wireless e-mail delivery. The patent-holding company has already won a settlement of more than $600 million from the maker of the BlackBerry.
• Boeing Co. (BA) submitted its proposal to the US Air Force for the $35 billion refueling tanker program. Boeing’s bid comes a day after the European Aeronautic Defense and Space Company, the parent of Airbus, filed its paperwork for what could be the largest military contract awarded over the next several years.
• Securities regulators are moving quickly to tighten rules on market maker quotes , often referred to as so-called stub quotes. The rule would force market makers to submit quotes that are within 10 percent of a stock’s current price.
• Wholesale Inventories Beat Expectations – The US Department of Commerce reported that inventories held by wholesalers rose 0.5 percent in May from April while sales fell 0.3 percent. The data is the latest sign that the economic recovery could be losing momentum as it enters the second half of this year.
• Ford Motor Co. (F) and Chrysler Group LLC are voluntarily recalling thousands of vehicles . Chrysler is recalling about 22,000 sport utility vehicles and trucks to fix brake tubes that could lead to the loss of brake fluid. Ford is recalling 33,000 model year 2010 Transit Connect vehicles for failing to meet the minimum federal vehicle safety standard.
• JetBlue Airways Corporation (JBLU) said its June traffic climbed nearly 11% from a year earlier as the sector continues to rebound. The airline reported that it flew 2.47 billion revenue passenger miles in June, up from 2.23 billion in the same month a year earlier.

Other Interesting Tidbits

• The Cyclical Migration from Equities – Treasury yields are a pittance because people fear stocks. Get greedy with growth stocks.
• What is the Threshold For More Fed Action?
• Great Wall Street – The rise of China’s state-backed banks is stunning. But success will force the model to change.
• Wall Street’s Great Enablers – Are pension funds getting off too easy in their responsibility for the crisis?
• Why the Droid X Won’t Trump the iPhone – Motorola’s Droid X does many things well, including Wi-Fi and social networking access, but not well enough to conquer the iPhone.