WSJ Business News 09012011

Business & Finance

• The mortgage industry will take a step toward cleaning up some of its most controversial practices under a deal between a New York regulator and three financial firms, including Goldman.  The pact could provide a blueprint for other regulators.  
• The Justice Department sued to block AT&T's proposed $39 billion takeover of T-Mobile USA, saying the deal would hurt competition and likely raise prises.  
• BNY Mellon CEO Kelly stepped down after being asked by the board to leave, in a sudden shake-up atop the world's largest custody bank.  
• Major stock indexes had their worst August in a decade, with the Dow industrials dropping 4.4%, their fourth straight month of declines.  
• A Goldman strategist has provided hedge-funded clients with a gloomy economic outlook and suggestions for how to take advantage of it.  
• Germany's economy displayed signs of resilience, countering fears the country faces a downturn that could deepen Europe's debt crisis.  
• Euro-zone inflation and unemployment date reinforced the view that the ECB won't need to raise interest rates for some time.  
• China's Wen said stabilizing prices is still Beijing's top priority, signaling that concerns over a global slowdown don't outweigh inflation risks.  
• Exxon Mobil's deal to drill in the waters north of Russia is the latest sign of the energy industry's eagerness to explore above the Arctic Circle.  
• Russian authorities raided BP's Moscow office, seeking documents in a court case related to the oil giant's failed Arctic deal with Rosneft.  
• Solar-panel maker Solyndra said it plans to file for bankruptcy protection, a black eye for a federal guaranteed-loan program.  
• The Swiss government surprised markets by cutting the size of its stimulus package for the nation's economy by more than half.  
• Greek lender Piraeus said it would write down the value of its bond holdings and confirmed it had borrowed from a special central-bank fund.  
• The CEO of Gibson Guitar lashed out at federal authorities who last week raided his factory amid a dispute over ebony imports.  
• UnitedHealth will acquire the operations of a major southern California physician group that includes approximately 2,300 doctors.  
• Facebook is preparing changes designed to make the site a hub for listening to music, watching movies and playing videogames.  

Also, Hiring slowed last month.  According to Automatic Data Processing, the private sector added 91,000 jobs in August, fewer than the 109,000 added in July.  The payroll firm's figures don't reflect the effects of the Verizon strike, although Friday's report from the Labor Department likely will.  Many economist estimate Friday's report will show a net gain of 80,000 jobs.  Small and medium sized firms accounted for almost all the increase.  Larger firms - those with 500 or more workers - added only 3,000 jobs.