Daily Herald | Posted: Saturday, September 20, 2008 11:00 pm
Government steps to head off run on money funds
WASHINGTON -- The federal government on Friday stepped in to bolster the teetering $3 trillion money-market mutual fund industry and stem a wave of withdrawals that resembled a Depression-era run on the banks -- sparked largely by panicked institutional clients rather than individual investors in what are normally considered to be the safest of investments.
The Treasury Department said it will tap into a $50 billion fund created during the Depression and temporarily provide guarantees for the popular investment products, held in some 38 million accounts that enable investors to see modest returns while keeping cash readily available if needed.
Providing additional support, the Federal Reserve took steps to back typically safe commercial short-term lending that underlies fund assets.
Russian stocks resume trading
MOSCOW -- Russia's financial markets closed up by more than 20 percent Friday after a volatile session that saw trading suspended twice as stocks shot higher.
The RTS and MICEX stock exchanges were rebounding off the government's efforts to rush through emergency measures that included more money for banks and purchases of shares to stem plunging prices.
Trading was halted twice after shares gained sharply, breaching technical limits. It resumed shortly before the markets closed.
Electronic Arts to loosen lock on 'Spore' PC game
The consumer is always right. Electronic Arts Inc., stung by a siege of criticism from gamers who took issue with the copyright restrictions the company placed on its "Spore" game, issued an apology Friday and said it would loosen the electronic locks on the game.
"Spore," one of the most hotly anticipated computer games of the decade, was released two weeks ago after more than six years of development.
"We've received complaints from a lot of customers who we recognize and respect," said Frank Gibeau, president of the EA Games Label, the division responsible for "Spore." "We need to adapt our policy to accommodate our legitimate consumers."
Trying to avoid widespread unauthorized copying of "Spore," EA had restricted, to three, the number of computers on which players could install the game. But buyers chafed at the limit imposed by the digital-rights management policy. They complained that the Redwood City, Calif., company didn't adequately disclose the policy and that it treated them like software pirates.