Bus Ex

The US unemployment rate rose to 7.6 percent in January, according to official figures, putting it at its highest level since 1992, and signaling that the recession in the worldÔÇÖs largest economy is deepening as companies are reluctant to hire. ┬á┬á Americans cut back drastically on spending at the end of last year, launching the economy into its worst relapse in a quarter-century. ┬á┬á Vanishing jobs and evaporating wealth from tanking home values, 401(k)s and other investments have forced consumers to retrench, which has required companies to pull back.

US auto-maker Chrysler prepares to go back to the US Treasury for another $3 billion in government loans this month, while Ford is in talks to sell its Volvo car unit to ChinaÔÇÖs Geely Automobile Holdings Ltd., ChinaÔÇÖs largest privately owned car maker, in order to raise cash to avoid a federal bailout.

Kraft Foods Inc., the worldÔÇÖs second-largest food maker, reported a 72 percent decrease in fourth-quarter profit due to restructuring costs, and said that 2009 earnings will be less than previously forecasted because of the stronger dollar. Edgar Roesch, an analyst with Soleil Securities, said he had anticipated gains from price increases would help outweigh the negative effects of the dollarÔÇÖs strengthening against other currencies. ┬á ÔÇ£ItÔÇÖs a bit of a disappointment,ÔÇØ said Roesch, who recommends holding Kraft shares.