Business Highlights

NEW YORK -- Wal-Mart officials sounded an upbeat tone for the holidays as the retailer posted a 10 percent increase in third-quarter profits on Thursday, saying that shoppers are responding to its early Christmas promotions.

But the world's largest retailer trimmed its profit outlook for the fiscal year as it faces a troubled global economy and the renewed strength of the dollar.

Nevertheless, Wal-Mart -- with its renewed focus on low prices -- has been one of the few bright spots in retail, as Americans have focused on necessities at discounters. The trend has intensified since the financial meltdown in September.

OECD says developed

world already in recession

LONDON -- The world's developed countries, hard hit by the financial crisis, have probably tipped into a recession that will last at least through the first half of 2009, according to new projections issued Thursday.

The Paris-based Organization for Economic Cooperation and Development forecast that economic output would shrink 1.4 percent this quarter for the 30 market democracies that make up its membership -- and keep contracting until the middle of next year.

Foreclosure rates up 25

percent year-over-year

MIAMI -- The number of homeowners caught in the wave of foreclosures in October grew 25 percent nationally over the same month in 2007, data released Thursday showed.

More than 279,500 U.S. homes received at least one foreclosure-related notice in October, an increase of 5 percent over September, according to RealtyTrac Inc. One in every 452 housing units received a foreclosure filing, such as a default notice, auction sale notice or bank repossession.

More than 84,000 properties were repossessed in October, RealtyTrac said.

October budget deficit

hits record of $237.2B

WASHINGTON -- The federal government began the new budget year with a record deficit of $237.2 billion, reflecting the billions of dollars the government has started to pay out to rescue the financial system.

The Treasury Department said Thursday that the deficit for the first month in the new budget year was the highest monthly imbalance on record. It was far bigger than analysts expected, over four times larger than the October 2007 deficit of $56.8 billion, and more than half the total for all of last year.