The Dow and the S&P 500 have moved higher in afternoon trading, while the Nasdaq remains down. News that President Barack Obama has chosen Janet Yellen to head the Federal Reserve has helped slow the stock market's slump today. Yellen has been an advocate of the Fed's bond-buying program.
- International Monetary Fund officials are repeating warnings about the global impact of Congress not raising the federal borrowing limit. IMF financial counselor Jose Vinals says a U.S. default would produce a "worldwide shock" that would threaten the global economic recovery.
- An International Monetary Fund report says the Federal Reserve's expected tapering of its economic stimulus program could pose a challenge to global financial stability. The Federal Reserve is expected to begin scaling back its $85-billion-a-month in bond purchases early next year. The IMF report says while U.S. economic strength should help shore up global financial stability, a smooth transition "could prove challenging" with the expected rise in interest rates and market volatility.
- Hewlett-Packard's earnings projections for its coming fiscal year are better than analysts had forecast. CEO Meg Whitman is telling analysts that the computer maker's revenue declines will stabilize. HP has been trying to ease the pain of a declining PC market by cutting costs and focusing on more profitable areas. It expects net income of $3.55 to $3.75 per share in fiscal 2014.
- The Obama administration is confirming that Americans will need to have health coverage by mid-February to avoid penalties for being uninsured. The deadline that has often been cited up to now was March 31. But because coverage typically starts on the first day of the month and applications can take up to 15 days to process, there will be no waiting until the last minute.