Moody’s warns it might lower U.S. credit rating

Moody’s Investors Service is threatening to lower the United States’ credit rating, saying there is a small but rising risk that the government will default on its debt.

The credit rating agency says it will review the federal government’s triple-A bond rating because the White House and Congress are running out of time to raise the nation’s $14.3 trillion borrowing limit and avoid a default.

The government reached its borrowing limit in May. The Treasury Department says the government will default on its debt if the limit is not raised by Aug. 2.

A downgrade would raise interest rates on U.S. Treasury bonds, increasing the interest paid by U.S. taxpayers. It would also push up rates for mortgages, car loans and other debts, which are linked to Treasury rates. 

Portland’s CashStar hosts ‘e-gifting’ seminar today

CashStar, a Portland-based electronic gift-card company, is hosting an “e-gifting” conference that is expected to draw representatives from leading retail companies nationwide.

The CashStar Retailer Roundtable is bringing retailers together with academics and experts in electronic gifting to discuss the future of the digital gifting industry. The event runs all day today at the Gulf of Maine Research Institute on Commercial Street.

Speakers including a Harvard Business School professor will discuss how mobile technologies and websites like Groupon.com affect the industry. They will also talk about new consumer research and ways companies can market electronic gift cards.

The event is expected to draw representatives from retailers including Best Buy, The Cheesecake Factory, The Home Depot, Lands’ End, Staples and Williams-Sonoma. 

Fitch downgrades Greece to one step above default

Greece suffered another sovereign downgrade on Wednesday when the Fitch agency slashed the country’s creditworthiness, moving it three notches further into junk status and only one grade above default.

The agency cut Greece’s rating from B+ to CCC, bringing it broadly in line with the other two major agencies, Moody’s and Standard and Poor’s. Both of those agencies downgraded the country’s bonds to a similar level last month. 

Chrysler recalling 242,000 Ram trucks for tie-rod flaw

Chrysler is recalling more than 240,000 Ram pickups because a faulty part in the steering system can cause drivers to lose control of the truck.

The Ram is Chrysler’s top-selling vehicle. The recall covers 242,780 Ram 1500, 2500 and 3500 pickups from the 2008 to 2011 model years.

The National Highway Traffic Safety Administration said on its website that a part near the left front wheel can fracture and potentially cause crashes. Chrysler says drivers have reported a few minor crashes and one minor injury.

Chrysler dealers will inspect the trucks and replace the left outer tie rod and align the wheels for free if necessary. 

Personal computer sales short of quarterly forecasts

The personal computer market grew slower than expected in the second quarter, hurt by the rise of tablet computers and anemic consumer demand in the United States and Europe.

The tepid diagnosis of the industry’s health in two reports released Wednesday threatens to weaken investor sentiment about the sector heading into earnings season.

Market research firms Gartner Inc. and IDC found that PC shipments improved in the second quarter but were lighter than expected.

Gartner found that 85.2 million PCs shipped, a gain of 2.3 percent but below its 6.7 percent projection. IDC found that 84.4 million PCs shipped, a 2.6 percent gain but short of its 2.9 percent projection. 

— From staff and news reports