STOCKS RALLY LATE: A late rebound helped blue-chip shares erase steep losses, but technology and smaller-company shares slid Monday as long-term interest rates crept toward 7 percent in the bond market.
TREASURY YIELDS RISE: Interest rates on short-term Treasury securities rose in Monday's auction. The Treasury Department sold $11.6-billion in three-month bills at an average discount rate of 5.13 percent, up from 5.06 percent last week. Another $11.6-billion was sold in six-month bills at an average rate of 5.26 percent, up from 5.18 percent. The new discount rates understate the actual return to investors _ 5.27 percent for three-month bills and 5.48 percent for a six-month bill. In a separate report, the Federal Reserve said Monday that the average yield for one-year Treasury bills rose to 5.72 percent last week from 5.70 percent the previous week.
Ford pulling T-birds,
three other models
Ford Motor Co. is pulling the plug on the Ford Thunderbird and three other slow-selling vehicles this year, eliminating about 2,500 jobs. Ford said that the big Thunderbird will return later as a smaller "specialty sports coupe" that will draw from its early heritage as a 1950s roadster. Ford also said Monday it plans to discontinue the T-Bird's structural twin since 1977, the Mercury Cougar, as well as the Ford Probe sports coupe and the Aerostar minivan.
AHMANSON BOOSTS B