AP Executive Morning Briefing

Report: JPMorgan Could Up Bear Offer

NEW YORK (AP) - JPMorgan Chase & Co. was discussing a deal that would increase fivefold its offer for Bear Stearns Cos. to $10 a share, The New York Times reported Monday. The talks Sunday were an attempt to satisfy Bear Stearns stockholders upset over JPMorgan's offer of $2 a share for the struggling investment bank, the newspaper said on its Web site, citing people involved in the negotiations.

US Ponders: How Deep Is Economic Abyss?

NEW YORK (AP) - For months, Americans have been subjected to a sort of economic water torture - a maddening drip of bad news about jobs, gas prices, sagging home values, creeping inflation, the slouching dollar and a stock market in bumpy descent. Then came Bear Stearns. One of the five largest U.S. investment banks nearly collapsed in a single day before the government propped it up by backing emergency loans and a rival stepped in to buy it for a paltry $2 per share.

China Facing Renewed Fuel Shortages

SHANGHAI, China (AP) - China's leaders are facing renewed pressure over shortfalls in diesel and gasoline, with lines growing at filling stations in major cities Monday as the gap widens between international crude oil values and centrally controlled fuel prices. The shortages, first reported in southern and inland China, appeared to be spreading to the wealthier areas in the north and east as filling stations struggled to get shipments from refiners. Four stations contacted Monday in Shanghai said their daily diesel shipments had not yet arrived.

Oil Drops on Worries About Weaker Demand

SINGAPORE (AP) - Oil prices slipped nearly $1 a barrel Monday as traders worried that the flagging U.S. economy would cause oil demand to soften. Oil's sharp decline started last week. Crude futures started plunging after the U.S. Federal Reserve-backed sale of Bear Stearns Cos. to JPMorgan Chase & Co. created fears of deeper economic problems. Prices dropped around 10 percent during the shortened trading week from a trading record of $111.80 hit last Monday.

Source: www.abcnews.go.com