Thursday late-night update: China raised interest rates; Bear Stearns first reported loss

Bear Stearns Cos., the second- biggest underwriter of U.S. mortgage bonds, reported its first loss as a public company after writedowns for subprime-related investments and a drop in fixed-income trading revenue. The fourth-quarter loss of $854 million, or $6.91 a share, in the three months ended Nov. 30 compared with net income of $563 million, or $4, a year earlier. (Source: Bloomberg)

China raised interest rates for the sixth time this year to cool the economy after inflation accelerated at the quickest pace since 1996. The benchmark one-year lending rate will increase by 0.18 percentage point to a nine-year high of 7.47 percent, starting tomorrow. (Source: Bloomberg)

Euro borrowing down. The cost of borrowing in euros, pounds and dollars fell for a third day as central banks inject cash into global money markets to ease a year-end lending squeeze. The three-month euro interbank offered rate, or Euribor, dropped 2 basis points to 4.79 percent, the European Banking Federation said today. (Source: Bloomberg)

Malaysia's economic growth is expected to ease in 2008 as slower demand for electronics offsets sales of palm and crude oil, but the pace of expansion this year is set to beat forecasts. (Source: Reuters)