STEVE INSKEEP, host:
NPR's business news starts with plunging profits for banks.
Government data showed the income for U.S. banks overall fell by 25 percent last quarter. That's because so many homeowners are defaulting on mortgages and credit card and car loans. Bad economic news like that has had a counterintuitive effect on the stock market this week. If there's bad economic news, it might mean there could be an interest rate cut, and investors desperate for some good news picked up on a hint from the Federal Reserve that it may indeed cut interest rates again. And then Wall Street saw its biggest two-day rally in five years. That sent the Dow Jones Industrials up over 300 points yesterday alone.
NPR transcripts are created on a rush deadline by Verb8tm, Inc., an NPR contractor, and produced using a proprietary transcription process developed with NPR. This text may not be in its final form and may be updated or revised in the future. Accuracy and availability may vary. The authoritative record of NPR’s programming is the audio record.