FINANCIAL NEWS

AT&T has decided to officially kill off a $39 billion deal with T-Mobile that would have created the nation’s largest wireless company by a long shot, the wireless service provider announced on Monday.  The company said continuous resistance from the U.S. government forced its cancellation of a bid to purchase T-Mobile from telecommunications company Deutsche Telekom this week.

AT&T Deal Could Hurt Customers and Employees

Senate members announced over the weekend they were unable to create a one-year extension to the payroll tax cut. However, they did pass a two-month extension that House members are now expected to vote down in favor of attempting the full-year payroll tax cut extension once again.

Senate Creates 2-Month Payroll Tax Cut Alternative

Fitch Ratings announced on Thursday it had made credit downgrades on eight of the world’s largest banks, including Bank of America Corp., The Goldman Sachs Group Inc. and Morgan Stanley. The ratings agency explained that the downgrades were the result of increased challenges facing the banking sector, due to weak economic growth and heightened regulation.

Bank of America and More Face Credit Downgrades

Today is Free Shipping Day, also dubbed Free Shipping Friday. With Dec. 25 literally right around the corner, procrastinators around the country are scrambling to get their gifts shipped in time for the holidays.

Luckily, the momentum of Free Shipping Day has picked up over the past few years giving shoppers yet another reason to celebrate. Thousands of retailers are participating in Free Shipping Friday 2011 and guaranteeing consumers that goodies and packages will be delivered by Christmas eve.

Free Shipping Day Promises Delivery by Dec. 24

Acting upon concerns that lawmakers are never able to agree on important issues, they made an extra effort on Thursday to avoid a federal government shutdown by passing a $1 trillion spending bill. Now that they’ve passed this crucial bill, lawmakers have room to work on at least a short-term payroll tax cut extension set to expire at the end of the year.

Spending Bill Approved with Last-Minute Concessions

The U.S. stock market responded abruptly at Wall Street’s open with news that initial unemployment claims the week ending Dec. 10 reached a 3.5-year low. According to the Labor Department’s weekly report, the fewest number of Americans filed for their first week of unemployment benefits since May 2008.

Unemployment Claims Experience 19,000 Drop

After a huge political showdown took shape on Tuesday, the House of Representatives were able to pass a payroll tax cut extension, but most say the bill will most likely not pass in the Senate due to strong opposition from Democratic leaders. Lawmakers are also responsible for passing a broad spending bill to avoid a government shutdown after Friday.

Senate Opposes Oil Pipeline Project within Payroll Tax Plan

Due to today’s economy, young adults are earning slightly more or slightly less than their moms and dads depending on gender, according to a new poll conducted by the non-profit Young Invincibles and the think tank, Demos. However, according to a separate study, all young adults are more likely to have a difficult time making their way to a middle-class income than their parents.

Young Adults Encounter Gender and Age Income Disparity

A new report from Thomson Reuters and the University of Michigan has found that consumers are feeling a lot better about labor conditions and the economy as a whole. As a result, the consumer confidence index rose to its highest level in six months in early December.

Consumer Confidence Index Climbed 4 Consecutive Months

Congressional lawmakers seem to be having a tough time agreeing upon a payroll tax deal as their deadline to do so draws nearer. To encourage them to get the ball rolling, President Barack Obama has threatened to delay his own Hawaiian trip and stall Congress’ Christmas vacation until a deal is complete.

Two Payroll Tax Plans Rejected by Senate