Ireland Receives Bailout as Week Begins With Losses (WMT, SBUX)

Stocks start week with heavy losses as Ireland financial sector receives a bailout from the European Union and International Monetary Fund, but are able to recover enough to keep losses in double digits. The late surge was in response to reports out of Dallas and Chicago that area manufacturing had increased last month. The controversy that has surrounded the markets in the past week still persists, as Attorney General Holder confirms the criminal investigation being taken on Wall Street. In addition, President Obama announced a two year pay freeze for non military government employees to try to reduce the ballooning budget. In corporate news, Walmart (WMT) moves closer to purchasing controlling stake in South African grocery store chain MassMart.

Word on the Street

• The Ireland banking sector receives $113 billion in bailout funds from the European Union and International Monetary Fund.
• US Attorney General Eric Holder confirmed today that the Department of Justice is undergoing a criminal investigation of Wall Street.
• President Obama imposed a two year freeze on non-military government employee salaries in an attempt to reduce the growing federal budget.
• Walmart (WMT) is close to purchasing a controlling stake in South African grocery chain Massmart.
• The National Retail Federation estimates over 100 million people will shop online during Cyber Monday, a helpful boom to retail companies.
• Kraft Foods (KFT) challenges Starbucks (SBUX) intentions to pull out of grocery store partnerships citing indefinite agreement or as much as a 35% premium buyout.
• Supreme Court will hear Microsoft’s (MSFT) appeal regarding a lawsuit brought by Canadian firm i4i Inc. alleging copyright infringement in Microsoft Word.
• Lost in the hype of General Motors (GM) return to the public market is their rival Ford Motors (F), who weathered the economic background with solid fundamentals and strong management.

Interesting Tidbits

• Use these 10 commandments of wealth and happiness to change your mindset and help control your budget.
• Foursquaure founder Dennis Crowley has a few pieces of advice for young entrepreneurs.
• The “Making Work Pay” tax break is about to expire with the Recovery Act at the end of the year- see how much you stand to lose.

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