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daily briefing

daily briefing

September 26, 2008

HARTFORD, Conn. : General Electric Co., whose shares have been battered by anxiety over the health of its big loan and lease business, lowered its earnings forecast yesterday, saying the unit's profits were falling and that it was taking action to bolster its reserves. The moves were prompted by "unprecedented" weakness and volatility in the markets, GE said. GE Capital, the company's financial business that provides consumer and real estate financing, and corporate lending and leasing, has been caught in the downdraft hurting financial stocks. The unit provides nearly half of GE's profit.

Associated Press

30-year mortgages rise after weeks of decline

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WASHINGTON : Rates on 30-year mortgages, which had been falling for five weeks, jumped sharply this week, reflecting the turbulence in global credit markets. Freddie Mac reported yesterday that its nationwide survey found the average for 30-year, fixed-rate mortgages rose to 6.09 percent this week, up from 5.78 percent last week. Last week's rate had been the lowest level for 30-year rates since February. The increase pushed rates above 6 percent for the first time since early September.

Associated Press

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