The crisis in the US financial markets resulted in a sharp plunge among the stocks of reputed Wall Street firms on Wednesday as investor scrambled to move their money to safe bets like Treasury bills.

Stocks dropped by five percent at the New York Exchange as investors lost confidence and pulled back. Major investment firms like Goldman Sachs and Morgan Stanley who were considered strong bets only a week ago too came under severe pressure as the result of waves of selling by stockholders. On the other had Treasury bills grew in popularity as investors were keen to park their money on safe deposits even if they yielded low returns. The situation also led to rise in gold prices which witnessed the largest single-day jump in prices in the last ten years.

The financial market meltdown will make borrowing more expensive as well as difficult to come by. The exodus of investors from stocks and other forms of debt to only the safest instruments will also make it hard for businesses to get finance and this may lead to further job cuts and again lower consumer spending which had already been hit by price rises and stagnant wages. All these situations bode ill for an economy yet to emerge from the housing market collapse and struggling with slow growth.

In yet another sign of disorienting changes in the financial markets, Washington Mutual was reported to be looking for buyers in case it was unable to find other means of raising additional capital.

Washington Mutual is the largest thrift of United States and in an attempt to recover from its losses sought a huge investment earlier this year from TPDG, formerly known as Texas Pacific Group. This led Washington Mutual to announce as late as last week that it could survive the chaotic conditions in the financial market on its own.

However the recent market meltdown has brought about a wave of panic selling among the stockholders of weakened financial institutions. This has not only led to undercutting of Washington Mutual’s position but also resulted in severe losses to the thrift’s backer, TPG. Stocks of Washington Mutual took a further beating after the rating agency Standard and Poor’s downgraded its credit to junk rating on Monday.

Sources close to Washington Mutual say that it is engaged in talks with Goldman Sachs in order to assess its options. Some of the banks which have shown interest in taking over the thrift are JP Morgan Chase, Wells Fargo as well as HSBC.

Financial experts believe insurance companies are unlikely to impose a big hike in premiums on their consumers need not fear despite the virtual federal take-over of AIG as well as losses resulting from natural disaster like Hurricane Ike and Gustav.

The recent meltdown in financial markets saw big names in the Wall Street either collapsing or passing into other hands. The largest insurance company in the US, America International Group required a federal bail-out of $85 billion in order to avoid bankruptcy. However industry experts reassure consumers that they have no reason to fear about the safety of their policies as they are generally fully covered by state guarantee agencies.

Moreover any increase in premiums that insurance companies may decide upon will be in the future and the rise too is likely to be very moderate. Some insurance companies may seek an increase in premiums on renewal of policies in order to spread out their costs.

However the extensive damage caused during this year’s hurricane season may lead some insurers to raise their premiums by a marginal level. Hurricanes Ike and Gustav wreaked major havoc in many parts of America’s Gulf Coast but since the property and casualty insurance industries have experienced record years of profit, they are unlikely to impose a dramatic rise in premiums on consumers.

The new Google-powered cell phone is set to make its debut in the coming fall and will hit the stores with a retail price of $199, reported an article in The Wall Street Journal.

Analysts believe that Google’s new smartphone is being priced at $199 in a direct bid to compete with Apple’s iPhone which also retails at $199. The Google phone has been manufactured by Taiwanese company HTC and will be launched in the US by one of the country’s leading mobile carriers, T-Mobile.

T-Mobile will be the first mobile carrier in American to run the Android mobile software from Google. The mobile company is expected to launch the phone this coming fall and will exhibit the new phone and its features to reporters as well as analysts on Tuesday at Manhattan.

The new smart phone powered by Google will feature a touchscreen and run the Android software which was unveiled at a developers’ conference on Wednesday. The pricing and features of Google’s new smart phone seem to have been designed to take on the iPhone which has already created a stir with its advanced touch-screen technology, latest mobile applications as well as faster web downloading. With the introduction of its smart phone, Google eventually aims to be the leading driver of mobile Internet use and its advertisements.

The best hotels for business travelers across the world have certain features in common which mainly have to do with offering effective and comfortable working conditions. Here are a few must-haves for hotels seeking to have a faithful clientele among business travelers.

Traveling on business means being logged on practically 24X7. Thus a business hotel room should come equipped with free Wi-fi network having solid bandwidth which does not drop every ten minutes. Moreover it should have adequate outlets for a guest to plug in laptops, phone rechargers and other electronics.

Basic working supports like a desk, chair – preferably with wheels – as well as a task light would go a long way in making the right impression on a business traveler. If a hotel offers a coffee pot in the room with free bags of coffee or even a lobby where fresh free coffee can be had throughout the day, it will be sure to gain major brownie points with the business guests.

Adequate communication facilities are crucial if a business hotel is to make its mark. Ideally it should offer free local calls or free access to 800-numbers but even if that is not possible, at least the hotel should refrain from charging inflated amounts for business calls made by guests.

Finally, a business hotel should offer basic lobby services such as allowing its guests to use the copier, fax machine or the printer for free or for minimal charges.