Briefcase

Investors bid up stocks based on Fed comments

NEW YORK — Wall Street finished a volatile session mostly higher Tuesday after investors, jittery about mortgage-related problems at major lenders, interpreted comments from the Federal Reserve as suggestive of another interest rate cut.

The Fed pointed to slowing growth next year, an uptick in unemployment and moderating inflation, which would seem to portend a possible rate decrease.

The Dow Jones industrial average rose 51.70, or 0.40 percent, to 13,010.14.

Broader stock indicators also ended higher. The Standard & Poor's 500 index rose 6.43, or 0.45 percent, to 1,439.70, and the Nasdaq composite index rose 3.43, or 0.13 percent, to 2,596.81.

Rolls-Royce passes over S.C. for jet engine plant

RICHMOND — Rolls-Royce, the world's second largest maker of aircraft engines, will build a $100 million plant in Virginia's Prince George County to assemble and test jet engines, creating about 500 jobs, the company said Tuesday.

The British company, which has its North American headquarters in Chantilly, Va., passed over sites in several other states, including South Carolina. The company said its decision was tied partly to Virginia's people and its strong education system.

D.R. Horton posts loss; sales decline 35 percent

FORT WORTH, Texas — D.R. Horton Inc. said Tuesday it swung to a loss in the fiscal fourth quarter from a year-ago profit, as the nation's largest homebuilder by deliveries took deep charges to write down inventory and the value of land options.

Losses for the quarter ended Sept. 30 totaled $50.1 million, compared with profit of $277.7 million a year ago. Sales declined 35 percent to $3.12 billion. Horton is a large builder in the Charleston market.

Earnings at Target fall short of expectations

MINNEAPOLIS — Target Corp. said Tuesday that third-quarter earnings dipped 4 percent, missing Wall Street forecasts, because of weak sales in high-margin categories such as clothing and home furnishings. Earnings fell to $483 million. Quarterly sales grew 9 percent to $14.84 billion.

H&R Block's chief quits amid mortgage troubles

KANSAS CITY — H&R Block Inc. said Tuesday that Mark Ernst has resigned as chairman, president and chief executive of the tax preparation and accounting services company.

He is being replaced as chairman by former Securities and Exchange Commission boss Richard Breeden, who led a dissident shareholder group that won three seats on the board. Former Aetna Inc. executive Alan Bennett was named interim CEO. H&R Block, which also has a home loan business, has been restructuring in an effort to survive the collapse of the mortgage markets.