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Americans got slightly more optimistic about the economy in October, but still have an overwhelmingly gloomy outlook, according to the latest reading on consumer morale.

The Consumer Confidence Index rose to 50.2 in October, up from 48.6 in September, the Conference Board, a New York-based research group that compiles the index, said Tuesday.

High unemployment and unfavorable business conditions have dragged the index down to a painfully low level, far below 90 — the level which indicates a stable economy. Overall, the index has been volatile, not trending in any one direction for more than three months in a row this year.

"Consumer confidence, while slightly improved from September levels, is still hovering at historically low levels," Lynn Franco, director of The Conference Board Consumer Research Center said in a release.

Economists surveyed by Briefing.com had expected the index to barely tick up to 49, so the news was a bit better than expected.

In October, the number of consumers calling business conditions "bad" outweighed those saying conditions are "good" by nearly five to one, slightly better than the month before, when that ratio was six to one.

Those saying jobs are "hard to get" rose, still far outnumbering those who say jobs are "plentiful."

Consumers continued to have a predominantly gloomy attitude about both future employment prospects and business conditions, but were slightly more optimistic on those fronts than last month.

The consumer confidence index is based on a survey of 5,000 U.S. households and is closely monitored because consumer spending drives two-thirds of the nation’s economic activity.

A reading of 100 or greater would indicate strong growth, and the index has not reached that level since mid 2007.  

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With buyout rumors and CEO criticism swirling, Yahoo needs a stellar earnings report on Tuesday to silence its doubters.

The aging Internet icon’s growth has slowed to a crawl, and its stock is down 6% so far this year. The company has lost market share in display advertising — once its biggest stronghold — to rivals Google and Facebook.

Chief executive Carol Bartz says she can turn Yahoo around and boost its revenue if she’s given a few years, but she may not have that kind of time. As Yahoo languishes, critics are twittering about how long Bartz’s tenure will be and when takeover vultures will strike.

On Wednesday, the Wall Street Journal reported that fellow struggling Internet behemoth AOL was in very early-stage talks with leveraged buyout firms about making a joint bid for Yahoo. AOL, Yahoo, Silver Lake Partners and Blackstone Group declined to comment, but Yahoo shares soared 15% in after-hours trading on Wednesday.

But on Thursday, the stock lost most of those gains after a New York Times report poured cold water on the AOL-Yahoo rumor, saying a potential deal was "pie-in-the-sky" and "not happening anytime soon." Fortune cast doubt on the math, pointing out that few private-equity firms have funds big enough to devour AOL.

Analysts were largely downbeat about the implications of such a deal. AOL has struggled with its own legacy as an outdated Internet portal, and it’s trying to reinvent itself after a 2009 spinoff from CNNMoney.com parent Time Warner (TWX, Fortune 500).

"Yahoo and AOL have a common problem: Their position as a generic portal is less relevant to advertisers [looking for] targeted opportunities," Wedge Partners analyst Martin Pyykkonen said in a research note.

Others pointed out that a Yahoo-AOL merger would create a large pool of Web content, but it would be difficult to charge for that content.

Chris Bulkey, analyst at Technology Research Group, doesn’t think a merger can save Yahoo: "Their financials are just a wreck. The whole company is a complete mess, and no one should buy the stock."

Bartz needs big numbers: Yahoo CEO Bartz has been aggressive in cutting costs, and she was praised for engineering a search deal with Microsoft’s (MSFT, Fortune 500) Bing. Another plus for Yahoo is its 39% stake in Alibaba, one of China’s biggest Internet companies. Last month, Alibaba offered to buy back the stake for about $11 billion — about half of Yahoo’s current market valuation. Yahoo declined.

But Bartz’s tenure has been fraught with problems, and several senior managers have fled the company in the past few months.

Bartz knows she must deliver results — after all, her predecessor was forced out. Yahoo co-founder Jerry Yang was the company’s CEO until 2008, when Microsoft offered a $47.5 billion buyout deal. Shareholders were incensed when Yahoo snubbed the offer, and Yang stepped down.

Pyykkonen, the Wedge Partners analyst, thinks Yahoo missed the boat on a golden deal.

"In contrast to the Microsoft offer a few years ago, Yahoo no longer has significant growth prospects for the future," he said.  

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Gas prices across Arizona rose 4 cents a gallon this week, according to AAA.

The statewide average for a gallon of regular unleaded is now $2.72. One week ago on Oct. 8 it was $2.68.

Gas prices across the state have been on a steady decline since early April, when prices reached nearly $2.90 a gallon.

One year ago, according to AAA, the average for gallon of regular unleaded in Arizona was $2.43.

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Former Lt. Gov. Stan Lundine has donated more of his personal papers to SUNY Fredonia.

The Dunkirk-Fredonia Observer reports that Lundine has turned over his papers from the New York State Commission on Local Government Efficiency and Competitiveness, a group that he headed.

The panel, commonly known as the Lundine Commission, issued recommendations in 2008 that it said would save more than $1 billion in government funds annually.

Lundine had previously donated his papers from his terms as a congressman from the Southern Tier and lieutenant governor under former Gov. Mario Cuomo.

Additional information is available at the Observer's Web site.

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Bank of America announced Friday that it extended its review of foreclosure documents to all 50 states and will stop foreclosure sales until it completes the assessment, according to a company statement.

In Hawaii, Bank of America Home Loans issued 4,168 mortgages in 2008, according to PBN research. The data for 2009 was not immediately available.

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BP has put up seven of its Gulf of Mexico oil fields as collateral for the $20 billion escrow fund that it’s building to pay oil spill claimants, the company said Friday.

"The pledging of these assets underscores our commitments to the trust which we set up to pay all legitimate claims arising from the tragedy," said Lamar McKay, chairman of BP America Inc. and the company’s Gulf Coast Restoration Organization.

The oil and gas-producing fields being up for collateral are called Thunder Horse, Atlantis, Mad Dog, Great White, Mars, Ursa and Na Kika, according to BP.

BP spokesman David Nicholas said the revenue flow from these assets will be used as a guarantee to make sure the company is putting enough money into its escrow fund. So far, the company has put $3 billion into the fund and plans to deposit another $2 billion in fourth quarter of 2010, adding another $1.25 billion for every additional quarter through the end of 2013.

Thus far, the company has paid about $1 no fax payday loans.2 billion to claimants, said Nicholas. Claimants are mainly business owners in the Gulf region — such as fisherman and real estate brokers - who have lost money from BP’s massive oil spill, resulting from the April 20 explosion of the Deepwater Horizon rig off Louisiana that killed 11 workers.

"We continue to believe that the $20 billion escrow fund is likely to be adequate for the claims," said Nicholas, speaking from the London office of the British company.

Bob Dudley, who officially became chief executive Friday, told analysts in September that the company might not have to pay all of the $20 billion in claims.

So far, the company has spent $11.2 billion on total costs related to the spill, including clean-up and claims.

BP confirmed on Sept. 19 that the leaking well had finally been sealed.

BP’s (BP) stock rose about 2% in pre-market trading. 

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It’s official: Abrazo Health Care has acquired the 59-bed Arizona Heart Hospital for around $32 million.

With this deal, Abrazo has a total of 1,027 licensed beds in the Phoenix area.

The Arizona Heart Hospital has built a reputation for extraordinary cardiovascular care that has been recognized with numerous awards and prestigious distinctions. The hospital has been listed five times among the Top 100 Hospitals for cardiovascular care by Thomson Reuters, and maintains multiple accolades from HealthGrades, including a top 5 percent ranking in the nation for overall cardiac services in 2009.

The heart hospital will be considered an extension of Phoenix Baptist Hospital under the direction of its CEO, Ken Howell.

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