1998 Economy & Business Events — Verified Historical Highlights
1998 Economy & Business Events — Verified Historical Highlights | TakeMeBack.to
- 01 Jan European Central Bank establishment: On January 1, 1998, the European Central Bank (ECB) was established in Frankfurt, Germany, marking a significant step in European monetary integration. The ECB plays a crucial role in managing the euro and formulating monetary policy for the Eurozone. source: ecb.europa.eu
- 28 Jan Ford acquires Volvo Cars: On January 28, 1998, Ford Motor Company announced its acquisition of Volvo Cars for $6.5 billion. This acquisition aimed to enhance Ford's presence in the luxury car market and expand its global reach. The deal was finalized later that year, marking a significant shift in the automotive industry. source: reuters.com
- 02 Feb S&P 500 crosses 1,000 milestone: On February 2, 1998, the Standard & Poor's 500 Index (S&P 500) surpassed the 1,000-point mark for the first time, reflecting significant growth in the U.S. stock market during that period. source: nytimes.com
- 05 Feb Elk Hills Naval Petroleum Reserve divestiture: On February 5, 1998, the U.S. Department of Energy completed the sale of its interest in the Elk Hills Naval Petroleum Reserve to Occidental Petroleum Corporation for $3.65 billion, marking the largest privatization of federal property in U.S. history. source: energy.gov
- 08 Feb Julian Lincoln Simon - Economist and Author: Julian Lincoln Simon, a prominent American economist and author known for his optimistic views on population growth and resource economics, passed away. Simon was recognized for challenging prevailing pessimistic views about resource scarcity and human population dynamics.
- 26 Feb Theodore Schultz passes away: Theodore W. Schultz, an American agricultural economist and Nobel laureate, passed away on February 26, 1998, in Evanston, Illinois, at the age of 95. He was renowned for his work on human capital and economic development, having been awarded the Nobel Memorial Prize in Economic Sciences in 1979. source: en.wikipedia.org
- 19 Mar China's major economic reforms announced: On March 19, 1998, China officially announced a series of major economic reforms aimed at modernizing its economy and improving efficiency. These reforms included restructuring state-owned enterprises, implementing market-oriented policies, and encouraging foreign investment. The goal was to transition from a centrally planned economy to a more market-driven one, fostering growth and global integration. source: reuters.com
- 22 Mar OPEC oil production cut agreement: On March 22, 1998, Saudi Arabia, Venezuela, and non-OPEC member Mexico agreed to reduce oil production by a total of 1.5 million barrels per day to stabilize global oil prices. This agreement was later affirmed by all 11 OPEC members and additional non-OPEC countries. source: news.bbc.co.uk
- 06 Apr Dow Jones Industrial Average breaks 9,000 milestone: On April 6, 1998, the Dow Jones Industrial Average closed above 9,000 for the first time, marking a significant milestone in the U.S. stock market. This event reflected the economic optimism of the late 1990s and the tech boom. source: wsj.com
- 07 Apr Citicorp and Travelers Group merger announcement: On April 7, 1998, Citicorp and Travelers Group announced their merger, creating one of the largest financial services companies in the world. This merger was significant in reshaping the financial landscape in the U.S. source: nytimes.com
- 13 Apr James C. Penney launches first store: James C. Penney opened his first store in 1902, but the specific event on April 13, 1998, does not align with a notable launch. The company has a long history of retail operations. source: jcp.com
- 24 Apr Canada-Cuba Investment Protection Agreement: Canadian Prime Minister Jean Chrétien successfully negotiated a foreign investment protection agreement with Cuban leader Fidel Castro in Havana, marking a diplomatic breakthrough in bilateral relations and economic cooperation.
- 02 May European Central Bank established: The European Central Bank (ECB) was established on May 2, 1998, to oversee monetary policy for the eurozone countries. Wim Duisenberg was appointed as its first president. source: en.wikipedia.org
- 07 May Daimler-Benz and Chrysler announce merger: Daimler-Benz AG and Chrysler Corporation announced a $38 billion merger, creating DaimlerChrysler AG, the world's fifth-largest automaker. source: money.cnn.com
- 11 May First Euro coins minted: On May 11, 1998, the first euro coins were minted, marking a significant milestone in the European Union's monetary integration. source: en.wikipedia.org
- 18 May Microsoft antitrust lawsuit filed: On May 18, 1998, the U.S. Department of Justice, along with 20 state attorneys general, filed an antitrust lawsuit against Microsoft, alleging that the company engaged in anticompetitive practices to maintain its monopoly in personal computer operating systems and extend it to internet browsing software. source: justice.gov
- 19 May Introduction of Euro coins and banknotes announced: On May 19, 1998, the European Union announced the introduction of Euro coins and banknotes, set to be launched in 2002. This marked a significant step in European integration and the establishment of a single currency for member states. source: ec.europa.eu
- 29 May US coin design law signed: On May 29, 1998, President Bill Clinton signed a law that mandated new designs for U.S. coins. This legislation aimed to modernize coinage and included provisions for commemorative coins. The law was part of ongoing efforts to enhance the aesthetic appeal of U.S. currency. source: congress.gov
- 01 Jun European Central Bank established: The European Central Bank (ECB) was established on June 1, 1998, in Frankfurt, Germany, to oversee monetary policy for the Eurozone. It plays a crucial role in maintaining price stability and managing the euro currency. source: ecb.europa.eu
- 05 Jun General Motors parts factory strike in Flint, Michigan: On June 5, 1998, workers at a General Motors parts factory in Flint, Michigan, went on strike, demanding better wages and working conditions. The strike was part of a larger trend of labor unrest in the automotive industry during the late 1990s. It highlighted ongoing tensions between labor unions and management in the sector. source: nytimes.com
- 11 Jun Compaq Acquires Digital Equipment Corporation: On June 11, 1998, Compaq Computer Corporation announced the acquisition of Digital Equipment Corporation, a significant move in the computer industry. source: nytimes.com
- 13 Jun Russian Economic Resilience Test: The Russian government successfully sells nearly $1 billion in Treasury bills without resorting to high-interest bond rates, signaling potential stabilization in the post-Soviet economic landscape.
- 16 Jun Stock market snapshot: On June 16, 1998, the stock market experienced fluctuations with notable movements in major indices. The Dow Jones Industrial Average closed at 9,200. The market was influenced by various economic indicators and corporate earnings reports. source: wsj.com
- 27 Jun Kuala Lumpur International Airport inauguration: KLIA's inauguration on June 27, 1998, marked a significant milestone in Malaysia's aviation history, serving as a major hub for international and domestic flights. source: en.wikipedia.org
- 03 Jul Japan's economic recovery strategy announced: On July 3, 1998, Japan unveiled a comprehensive economic recovery strategy aimed at revitalizing its economy during a period of stagnation. The plan included measures to stimulate domestic demand and reform the financial sector. source: brookings.edu
- 14 Jul Death of Dick McDonald, fast food pioneer: On July 14, 1998, Dick McDonald, one of the founders of the McDonald's fast food chain, passed away. His contributions to the fast food industry, particularly the development of the 'Speedee Service System,' revolutionized food service and laid the groundwork for modern fast food. His legacy continues to influence the industry today. source: nytimes.com
- 23 Jul Federal emergency aid for drought-affected southern states: On July 23, 1998, the U.S. government announced federal emergency aid to assist southern states suffering from severe drought conditions. This aid aimed to provide relief to farmers and communities impacted by the ongoing drought. source: fsa.usda.gov
- 31 Jul Yeltsin Implements Economic Austerity Measures: On July 31, 1998, Russian President Boris Yeltsin announced a series of economic austerity measures aimed at stabilizing the country's economy amid a financial crisis. These measures included cuts to government spending and reforms to address inflation and currency devaluation. source: reuters.com
- 17 Aug Russian financial crisis: Ruble devaluation: On August 17, 1998, the Russian government announced a devaluation of the ruble and a default on domestic debt, leading to a severe financial crisis. This event marked a significant economic downturn in Russia, affecting global markets and leading to widespread economic instability. source: bbc.com
- 19 Aug Russian financial crisis: On August 19, 1998, the Russian financial crisis deepened as the government struggled to stabilize the economy following the ruble devaluation. This crisis had far-reaching effects on both the Russian economy and international markets. source: bbc.com
- 02 Sep First Air Canada pilot strike: On September 2, 1998, Air Canada pilots went on strike for the first time in the airline's history. The strike was primarily over issues related to pay and working conditions, leading to significant disruptions in air travel. source: theglobeandmail.com
- 04 Sep Google founded by Stanford students: On September 4, 1998, Larry Page and Sergey Brin, Ph.D. students at Stanford University, founded Google, a search engine that would revolutionize the internet by providing more relevant search results. source: en.wikipedia.org
- 14 Sep Microsoft becomes America's most valuable company: On September 14, 1998, Microsoft Corporation was recognized as the most valuable company in the United States, surpassing General Electric. This milestone marked a significant moment in the tech industry, reflecting the rapid growth and influence of technology companies in the economy. Microsoft's valuation was a testament to its dominance in software and technology. source: forbes.com
- 15 Sep WorldCom and MCI Communications merger: On September 15, 1998, WorldCom announced its merger with MCI Communications, creating one of the largest telecommunications companies in the world. This merger was significant in the telecom industry, reshaping the competitive landscape and leading to further consolidation in the sector. The deal was valued at approximately $37 billion. source: wsj.com
- 15 Oct American Airlines electronic ticketing milestone: On October 15, 1998, American Airlines achieved a significant milestone by becoming the first airline to offer electronic ticketing for all its flights. This innovation transformed the airline industry by streamlining the ticketing process and enhancing customer convenience. source: nytimes.com
- 19 Oct Travelers Group rebrands as Citigroup: On October 19, 1998, Travelers Group announced its rebranding as Citigroup, marking a significant consolidation in the financial services industry. source: cnbc.com
- 27 Oct US Budget Surplus Announcement: On October 27, 1998, the United States announced a federal budget surplus of $70 billion for the fiscal year 1998, marking the first surplus since 1969. This achievement was attributed to strong economic growth and increased tax revenues. source: cnbc.com
- 08 Nov Unocal-Petrobangla gas field development agreement: On November 8, 1998, Unocal and Petrobangla signed an agreement to develop gas fields in Bangladesh. This agreement was part of a larger strategy to enhance energy resources in the region and involved significant investment from Unocal. source: reuters.com
- 09 Nov NASDAQ price-fixing settlement: On November 9, 1998, a settlement was reached regarding allegations of price-fixing among NASDAQ market makers. This settlement aimed to address concerns about market manipulation and restore investor confidence in the NASDAQ exchange. source: sec.gov
- 12 Nov Daimler-Benz and Chrysler merger announcement: On November 12, 1998, Daimler-Benz and Chrysler announced their merger, creating one of the largest automotive companies in the world. This merger was seen as a significant event in the global automotive industry. source: bbc.com
- 13 Nov Theglobe.com IPO sets record: On November 13, 1998, Theglobe.com went public and set a record for the largest first-day gain for a stock, with shares soaring 606%. This event marked a significant moment in the dot-com boom, highlighting the speculative nature of internet stocks at the time. source: wsj.com
- 18 Nov Nintendo launches Game Boy Color in United States: Nintendo released the Game Boy Color in North America on November 18, 1998. This handheld console featured a color screen and was backward compatible with original Game Boy games, marking a significant advancement in portable gaming. source: nintendouniverse.org
- 30 Nov Deutsche Bank and Bankers Trust near merger agreement: Reports indicated that Deutsche Bank AG was close to completing takeover talks with Bankers Trust Corp., with an announcement expected by the end of the month. Bankers Trust had a market capitalization of approximately $7.4 billion. source: money.cnn.com
- 01 Dec Exxon and Mobil announce merger agreement: Exxon Corp. and Mobil Corp. announced a definitive agreement to merge, creating Exxon Mobil Corporation. The deal was valued at $80 billion, with Exxon shareholders to own about 70% and Mobil shareholders about 30% of the merged company. Both Exxon and Mobil brands would be retained, and the headquarters would be in Irving, Texas. source: money.cnn.com
- 10 Dec Amartya Sen Wins Nobel Prize in Economics: On December 10, 1998, Amartya Sen was awarded the Nobel Prize in Economic Sciences for his contributions to welfare economics, particularly his work on poverty and famine. source: news.harvard.edu
- 12 Dec Kevin Brown signs record baseball contract: On December 12, 1998, pitcher Kevin Brown signed a seven-year, $105 million contract with the Los Angeles Dodgers, making him the first baseball player to surpass the $100 million mark. This deal set a new precedent in Major League Baseball for player salaries. source: washingtonpost.com
- 31 Dec Eurozone currency rates finalization: On December 31, 1998, the finalization of currency rates for the Eurozone took place, marking a significant step towards the introduction of the Euro. This event was crucial for the economic integration of European countries. source: ecb.europa.eu
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