Try BlazeTV for Free
News

Morning Market Roundup: Oil Disruption, GM Being Sued, EU's 'Dangerous Tone

Here’s what’s important in the business world this morning:

Oil: An explosion in Turkey has forced authorities to shut down a pipeline carrying oil from Iraq to world markets, an official said Monday, in the second such incident in two weeks. Local media reports said Kurdish rebels had caused the blast.

The explosion occurred late Sunday near the southeastern town of Midyat and damaged the pipeline running from Kirkuk, in northern Iraq, to the Turkish Mediterranean port at Ceyhan, said an official at Turkey's pipeline company, BOTAS. A second line that runs parallel was not harmed, but has also been shut down temporarily as a precaution, the official said.

The two pipelines carry about 25 million tons of crude oil a year.

GM: Spyker Cars NV, the tiny Dutch company that bought Swedish carmaker Saab from General Motors Co., says it is now suing GM for $3 billion in damages.

Saab continued a downward spiral under Spyker's ownership, which had took over the manufacturer for $74 million in February 2010 in hopes of returning it to profitability. The Swedish company eventually went bankrupt a little more than a year later.

Spyker alleges that GM blocked the Dutch company's attempts to sell Saab to a Chinese buyer, driving the carmaker in to bankruptcy.

As part of the deal selling Saab, GM retained say over GM technology used by Saab and $327 million in preferred shares in case Saab might ever turn a profit.

“Dangerous” Tone: Germany's foreign minister warned on Monday that arguments about European policy are taking on a "very dangerous" tone as worries mount about the future of the euro.

Guido Westerwelle didn't specify who his comments were aimed at. But they came after Italian Premier Mario Monti warned over the weekend of tensions that "bear the traits of a psychological dissolution of Europe," and a regional official in a German governing party said Greece must leave the euro this year.

"The tone is very dangerous. We must take care not to talk Europe down," Westerwelle said in a statement.

He added that attempts to grab domestic political attention "cannot be the yardstick for our action in any European country, including Germany - the situation in Europe is too serious for that."

U.S. Futures: U.S. stocks were marching upward, riding a tailwind of optimism from the most recent job numbers released last week. Other Global markets also rose.

The Dow Jones industrial average rose 31 points to 13,126 soon after the opening bell on Monday. The broader S&P 500 index added three points at 1,394. The Nasdaq index is up 10 points to 2,977.

Also on Monday, Knight Capital Group, which is fighting for survival after a disastrous software glitch last sent trading haywire last week, said it has lined up $400 million in financing that will allow the firm to continue operations. Also, the founder of Best Buy has offered to buy the company for between $24 and $26 per share.

Follow Becket Adams (@BecketAdams) on Twitter

The Associated Press contributed to this report.

One last thing…
Watch TheBlaze live and on demand on any device, anywhere, anytime.
try premium
Exclusive video
All Videos
Watch BlazeTV on your favorite device, anytime, anywhere.
Try BlazeTV for Free
Recommended
Daily News Highlights

Get the news that matters most delivered directly to your inbox.