Media Digest 1/19/2007 FT, NYTImes, WSJ, Reuters, Barron’s

According to Reuters, the Fed is still concerned about a rise in inflation.

Reuters writes that IBM’s (IBM) profits rose fueled by services revenue, but its shares were pounded after hours.

Reuters reports that Toyota (TM) will recall 533,000 light trucks and SUVs for potential steering problems.

Reuters also writes that UPS (UPS) is seen as cancelling its order for 10 Airbus A380 further damaging future income from the new aircraft.

Reuters reports that AT&T will offer free calling from its cellphones to its residential customers.

Retuers reports that GE (GE) will buy the diagnotics businesses of Abbott Labs (ABT) for $8.13 billion.

Reuters reports that McDonald’s (MCD) has signed a deal with a large oil company in China to put restaurants at its gas stations.

The Wall Street Journal reports that oil consumption in developed countries fell for the first time in 20 years during 2006, raising hopes that rissing oil prices were a thing of the past.

The Wall Street Journal also reports that several states are considering legislation to stop Wal-Mart (WMT) from putting banks in its stores.

The FT reports that a judge declared mistrials in two Vioxx cases giving Merck’s (MRK) legal strategy a set-back.

The New York Times writes that the House of Representatives has voted to rescind tax breaks for oil companies

The New York Times also reports the commodity funds are loading up on corn as its price continues to climb.

The New York Times also writes that Time, Inc. (TWX) will eliminate 300 jobs in its publishing operations and focus more on web delivery of content.

Barron’s reports that JDS Uniphase (JDSU) said that it fiscal Q2 results would be better than expected, driving its shares higher.

Barron’s also reports that JP Morgan has cut its rating on Apple (AAPL) to "neutral".

Douglas A. McIntyre