Business and Finance
EMPIRE SAVINGS of Mesquite, Texas, was closed by the Home Loan Bank Board as the agency's head warned Congress of the dangers of brokered deposits. A House panel heard plans to limit federal insurance to the first $100,000 channeled to banks or thrifts by brokers. Brokers placed 85% of Empire's deposits.</br></br>Business inventories rose a moderate 0.4% in January, but sales rose even faster, leaving businesses with the lowest inventories-to-sales ratio since the government began keeping records in 1967. Economists said the level reflects lower inflation and higher interest rates.</br></br>---</br></br>The broker loan rate was increased to 10 3/4% from 10 1/2% by Bankers Trust and U.S. Trust, and most other interest rates continued to climb on fears that the economic expansion will generate new inflationary pressures. Stocks ended mixed in relatively low trading. The dollar strengthened. Gold declined $4.40 an ounce to $394.10.</br></br>---