GMAC Financial Services Qualifies For $700 Billion Government Loans Rescue Fund

Written By: admin on December 26, 2008 No Comment

Friday, December 26, 2008, Excellent news on Christmas Eve, Federal Reserve allowed GMAC Financial Services — the finance arm of struggling Detroit auto maker General Motors Corp. — to become a bank holding company. It now qualifies for the government loans $700 billion rescue fund.

In stocks market, with the excellent news from GM, Wall Street is up in light post-holiday trading Friday, but still cautious about embarking on a year-end rally after dreary readings on holiday spending.

But less reassuring was a decline in holiday sales. According to SpendingPulse, seasonal retail sales dropped between 5.5 percent and 8 percent compared with last year.

The Dow Jones industrial average is up about 34 points at the 8,503 level in the first minutes of trading.