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AP Business NewsBrief at 7:14 p.m. EDT(Associated Press Via Acquire Media NewsEdge) GM all but certain to file for Chapter 11DETROIT (AP) _ General Motors, the company that put tail fins on a Cadillac and was once the nation's largest employer, moved to the edge of bankruptcy Wednesday as debtholders refused a last-ditch deal. Crosstown rival Chrysler hoped to pull off a quick exit from Chapter 11 and prove there is hope yet for a leaner Detroit. Investors who are owed billions of dollars by GM rebelled against a plan to accept a sliver stake in the company in exchange for their bonds, one of the government-imposed conditions for restructuring out of court. Slumping Treasury bond prices send stocks lowerNEW YORK (AP) _ The stock market put its rally back on hold as investors worried about rising borrowing costs. The Dow Jones industrial average fell almost 175 points Wednesday, erasing most of the previous day's rally as a jump in government bond yields fanned concerns that higher interest rates will sap strength from the economy. Report: Pequot Capital hedge fund to liquidateNEW YORK (AP) _ Arthur Samberg's Pequot Capital Management Inc. is liquidating its core hedge fund amid an investigation into potential insider trading, according to a letter to investors obtained by The Wall Street Journal. The Securities and Exchange Commission has been examining whether Pequot traded Microsoft Corp. shares on confidential information provided by a former employee of the computer company who was later hired by Pequot. April existing home sales inch upward, prices fallWASHINGTON (AP) _ Buyers who were brave enough to dive into the market for a bargain-priced house helped provide a modest boost to sales last month. Sales of inexpensive foreclosures and other distressed low-end properties have even sparked bidding wars in places like Las Vegas, Phoenix and Miami. But the market for high-end properties is at a virtual standstill, mainly because it remains difficult to get a mortgage for expensive homes. Banks earned $7.6B in 1Q after record loss in 4QWASHINGTON (AP) _ The nation's banks turned a profit in the first quarter, but the number of problem banks jumped to the highest level in 15 years and tough conditions persist for the industry, the government said Wednesday. The Federal Deposit Insurance Corp. said higher trading revenues and lower borrowing costs at big banks helped the industry earn a $7.6 billion profit in the January-March period, compared with a record loss of $36.9 billion in the fourth quarter. The profit was 61 percent below the $19.3 billion earned in the year-earlier period and followed the first quarterly loss in 18 years. Staples profit falls 33 percent in 1st quarterCHICAGO (AP) _ Recession-weary customers are still putting off big-ticket purchases from office-supply chain Staples Inc., but the retailer said it's beginning to see smaller declines in foot traffic and sales to small businesses. The chain's tepid first-quarter results, released Wednesday, show the limping U.S. economy may finally be digging itself out of its slump by the end of the year, executives said Wednesday. AT&T: Overeager employees helped 'Idol' fans textLOS ANGELES (AP) _ A few overeager AT&T employees brought demo phones to "American Idol" viewing parties in Arkansas and helped fans text their votes, but their actions did not affect the outcome between native son Kris Allen and Adam Lambert, the company said Wednesday. Allen, 23, of Conway, Ark., won by an undisclosed margin over Lambert, 27, of San Diego, a powerful singer who'd been cast by the show's judges as the front-runner. Host Ryan Seacrest said nearly 100 million votes were sent by phone or text message after last Tuesday's final performance, but did not mention how those votes were divided. Saudis say no OPEC oil production cut neededVIENNA (AP) _ Oil powerhouse Saudi Arabia spoke out Wednesday against reducing OPEC's output, reinforcing expectations that the 12-nation cartel will keep production at present levels. But instead of falling on the news, crude prices blipped to six-month highs. Even before Saudi Oil Minister Ali Naimi spoke, the recent jump in oil prices was working against hardline OPEC members who were advocating even costlier crude. Naimi's comments reinforced expectations that OPEC oil ministers meeting Thursday would decide not to change oil production levels. The Saudis account for close to a third of OPEC's total production and what they say is usually informal policy for the rest of bloc. Survey: Most economists see recession end in '09WASHINGTON (AP) _ More than 90 percent of economists predict the recession will end this year, although the recovery is likely to be bumpy. That assessment came from leading forecasters in a survey by the National Association for Business Economics released Wednesday. It is generally in line with the outlook from Federal Reserve Chairman Ben Bernanke and his colleagues. Moody's: US government's 'Aaa' rating is stableNEW YORK (AP) _ Moody's Investors Service said Wednesday the U.S. government's "Aaa" rating is stable despite the country's swelling debt. A credit rating of "Aaa" is the highest possible. It means the agency sees very little risk of the government defaulting on its debt. Germany races to secure future of OpelBERLIN (AP) _ Germany pressed for an independent future for General Motors Corp.'s Europe-based Opel unit on Wednesday, with the country's foreign minister saying "the lights must not go out" as its U.S. parent headed for a likely bankruptcy filing. Chancellor Angela Merkel and several ministers gathered for talks at Merkel's Berlin office with representatives of GM, the U.S. government and Opel's suitors, as well as governors of German states that have Opel plants, aimed at putting Opel on the road to safety. Chrysler fights for deal as way out of Chapter 11NEW YORK (AP) _ Chrysler tried to fend off hundreds of objections Wednesday to its plan to sell most of its assets to an Italian automaker, hoping in a marathon court session to save itself from liquidation. The company was waiting to see whether Judge Arthur Gonzalez of U.S. bankruptcy court would approve the sale. If he does, Chrysler could emerge from bankruptcy within weeks. BofA boosts capital by $5.9B via share exchangeNEW YORK (AP) _ Bank of America Corp. said Wednesday it raised $5.9 billion through the conversion of preferred shares for common stock as part its plan to bolster its capital base. The federal government told the Charlotte, N.C.-based bank that it should raise $33.9 billion in capital to boost its reserves in case the economy worsens further. As part of its "stress tests" of 19 banks, the government said Bank of America needed the most additional cash to withstand a potentially worsening economy. Restaurants cut lunch prices to bring in dinersNEW YORK (AP) _ Whether sit-down or take-out, restaurant chains are finding the key to persuading people to spring for lunch these days is keeping the tab below $10. "There is no reason why anyone should spend more than $10 for lunch," said Zach Brooks, a stay-at-home dad and blogger who writes about lunch spots in Midtown Manhattan. (c) 2009 The Associated Press. All rights reserved. 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