U.S. market rally holds up Wednesday NEW YORK, July 30 (UPI) -- U.S. markets rallied in New York Wednesday in spite of oil prices rebounding on a decline in U.S. gasoline stockpiles.
The U.S. Energy Information Administration said total motor gasoline inventories decreased by 3.5 million barrels in the week ending July 25. Prices on the New York Mercantile Exchange rose more than $5 to $126.91 per barrel.
The Dow Jones industrial average wavered at midday before heading up to close at 11,583.69, a gain of 186.13 points or 1.63 percent. The Nasdaq index rose 10.10 points to 2,329.72, up 0.44 percent. The Standard and Poor's 500 rose 21.06 points to 1,284.26, up 1.67 percent.
The 10-year U.S. Treasury note fell 2/32 to yield 4.054 percent.
The euro traded at $1.5579 Wednesday from Tuesday's close of $1.5587. Against the yen, the dollar was at 108.04 compared with Tuesday's close of 108.13.
Tokyo's Nikkei 225 Index gained 208.34 points to 13,367.79, up 1.58 percent.
The FTSE 100 index in London rose 101.50 to 5,420.70, up 1.91 percent.
Conn. AG sues major bond-rating firms HARTFORD, Conn., July 30 (UPI) -- Connecticut Attorney General Richard Blumenthal Wednesday sued three bond-rating firms for allegedly costing taxpayers millions of dollars.
The Democratic attorney general sued Moody's Investors Service, Standard & Poor's and Fitch Ratings, Legal Newsline reported.
Blumenthal claimed the rating agencies engaged in deceptive and unfair practices that cost taxpayers extra interest and insurance costs for municipal bonds. We are holding the credit-rating agencies accountable for a secret Wall Street tax on Main Street, Blumenthal said.
He added that because the credit-rating firms knowingly and systematically gave the securities lower grades than comparable corporate and structured debt, costs were unfairly increased for state and local governments, including school districts and sewer and water districts.
This rating charade created a Wall Street shell game constructed by the ratings agencies for the benefit of the bond insurers, he said.
The credit- and bond-rating companies said in statements they dispute Blumenthal's claims, Legal Newsline reported.
Moody's Chief Executive Officer Raymond McDaniel called the lawsuit without merit. The suit implies that the measuring system is wrong, McDaniel said. That's like saying it's wrong to measure distance in centimeters and right to measure it in inches.
Former Enron exec to pay $31.5 million NEW YORK, July 30 (UPI) -- Former Enron executive Lou Pai agreed to pay $31.5 million in fines to U.S. regulators to dismiss insider trading allegations, officials said.
The settlement is the largest Securities Exchange Commission fine for an Enron executive and one of the highest individual fines in SEC history, the Houston Chronicle reported Wednesday.
