Bank of America stock gains 5% on news of settlement
Bank of America led a rally in big-bank stocks in mostly quiet trading on Monday. Stock indexes ended little changed following a record-setting run last week.
News that Bank of America and MBIA, a bond-insurance company, had reached a settlement over a long-running dispute propelled both companies’ stocks up. BofA will pay $1.7 billion to MBIA and extend the troubled company a credit line.
MBIA soared 45 percent, or $4.46, to $14.29. Bank of America gained 5 percent, or 64 cents, to $12.88, making it the leading company in the Dow Jones industrial average.
The Dow slipped 5.07 points to close at 14,968.89. The Standard & Poor’s 500 index crept up 3.08 points to 1,617.50, a gain of 0.2 percent.
Six of the 10 industry groups in the S&P 500 rose, with financial companies in the lead.
GM recalls 38,197 sedans due to defect affecting batteries
General Motors Co. is recalling 38,197 Chevrolet Malibu Eco, Buick LaCrosse and Buick Regal sedans in the U.S. because a defective battery control module could stall the engine or cause a fire.
Vehicles from the 2012 and 2013 model years equipped with GM’s eAssist hybrid system are affected. Vehicles built after December 2012 are not part of the recall.
GM says some vehicles may have a malfunctioning generator control module that causes a gradual loss of battery power and stalls the engine. If the module overheats, it could cause smoke or fire in the trunk.
GM will notify owners and repair the module for free.
The company knows of two trunk fires related to the issue that happened in the first 1,000 miles of operation. No injuries have been reported.
FDA wants warning labels on indoor tanning beds
Indoor tanning beds would carry new warnings about the risk of cancer and be subject to more stringent federal oversight under a proposal unveiled Monday by the Food and Drug Administration.
The FDA wants all tanning beds to carry language warning people under the age of 18 about the risks of indoor tanning. The agency would also require manufacturers to meet certain safety and performance requirements before marketing their devices.
The government action is aimed at curbing cases of melanoma, the deadliest form of skin cancer, which has been on the rise for about 30 years. This year an estimated 76,690 people will be diagnosed with the disease, according to the American Cancer Society.
Recent studies have shown that the risk of melanoma is 75 percent higher in people who have been exposed to ultraviolet radiation from indoor tanning. While most cases are diagnosed in people in their 40s and 50s, the disease is linked to sun exposure at a young age.
Pfizer to sell Viagra online; prescription still needed
Men who are bashful about needing help in the bedroom no longer have to go to the drugstore to buy that little blue pill.
In a first for the drug industry, Pfizer Inc. told The Associated Press that the drugmaker will begin selling its popular erectile dysfunction pill Viagra to patients on its website.
Men still will need a prescription to buy the blue, diamond-shaped pill on viagra.com, but they no longer have to face a pharmacist to get it filled. And for those who are bothered by Viagra’s steep $25-a-pill price, Pfizer is offering three free pills with the first order and 30 percent off the second one.
–From news service reports