Offer to tap reserves doesn’t slow oil prices

Oil prices inched closer to $50 a barrel Thursday even as the Bush administration offered to tap the nation’s emergency stockpile of crude on behalf of refiners whose supply was disrupted by Hurricane Ivan.

It would be the first time the government loaned oil from the Strategic Petroleum Reserve in almost two years. While analysts said the impact on red-hot energy markets would ultimately depend on the amount of oil made available, they expected the size of any loans — and the effect on prices — to be small.

Light crude for November delivery rose 11 cents to $48.46 per barrel on the New York Mercantile Exchange, retreating from an intraday high of $49.

Indicators

Economic report signals slackening in recovery

A closely-watched measure of future economic activity fell in August for a third-consecutive month, reflecting an uncertain climate for both businesses and consumers.

The Conference Board said Thursday its Composite Index of Leading Economic Indicators fell 0.3 percent in August to 115.7, after a decline of 0.3 percent in July.

The August reading was the third month of decline in the index, after more than a year in which it gained steady ground. The drop last month was larger than the 0.2 percent decrease forecast by analysts.

Economists said the August drop in the index confirmed a slackening in the recovery in recent months.

Entertainment

Trump bailout plan fails

A proposed bailout of Donald Trump’s casino company has been shelved, and Trump now says he may take the company private. The company’s shares fell 10 percent Thursday.

Trump Hotels & Casino Resorts Inc. and investment banker DLJ Merchant Banking Partners LP — which announced the bailout plan last month as part of a prepackaged Trump Hotels bankruptcy — said late Wednesday they had terminated discussions “by mutual agreement.”

The company, which operates three casinos in Atlantic City, N.J., including the Trump Taj Mahal picture above, has $1.8 billion in debt and is so overburdened with interest payments it has been unable to finance improvements or expansions.

Wall Street

Sauer boosts dividend

Sauer-Danfoss Inc. announced Thursday that its board of directors had increased the company’s quarterly dividend from 7 cents per share to 10 cents per share.

The manufacturer of hydraulic equipment said the increased dividend reflected the company’s strong cash flow and confidence in the company’s outlook. The company operates a manufacturing plant in Lawrence’s East Hills Business Park.