Nov. 16 - Summary of business headlines: Super Committee deadline to find budget savings approaches; Chrysler to hire 1,100, but Citigroup planning job cuts; Oil surges to $102 a barrel; Wall Street crumbles on bank warnings by Fitch. Conway G. Gittens reports.
Washington's 12-member Super Committee has only one week left to find $1.2 trillion in U.S. budget savings. The six Democrats and six Republicans appear locked in a philosophical battle, but should reach a deal in time, says Maya MacGuineas, president of the Committee for a Responsible Federal Budget. SOUNDBITE: MAYA MACGUINEAS, PRESIDENT, COMMITTEE FOR A RESPONSIBLE FEDERAL BUDGET (ENGLISH) SAYING: "They also know the whole world is watching and failure has really dramatic repercussions, so I'm clinging to this belief that they are going to come to a deal, perhaps not as big a deal as I think they should, where I think they should save more than their mandate, but I think that we will see something in the next couple of days." Chrysler is adding 1,100 jobs at a plant in Ohio as part of $1.7 billion upgrade to its factories around the country. The Ohio plant will produce the next generation Jeep SUVs based on a plaftorm by parent company Fiat. But as one giveth, another taketh away. Citigroup may eliminate "slightly more" than 3,000 jobs, according to a source familiar with the matter. The bank would not confirm the number, but in a statement said, "We are making targeted headcount reductions in certain businesses and functions across Citi." Oil crossed above the $100 mark for the first time since July and never looked back. Traders are betting a pipeline that will bring more oil to the gulf will push prices even higher. Crude surged more than $3 to close above $102. As for the rest of Wall Street, stocks tumbled in the last hour of trading after ratings agency Fitch warned about U.S. bank exposure to Europe. Meantime, European markets finished mixed. Stocks were modestly lower in Germany and the U.K., but up in France. Conway Gittens, Reuters