Monday morning headlines

Stocks settling down: The Dow fell more than 100 points at the opening, but it's pared back about 60 of that. Still, volatility rules.

Wide swings becoming standard: Uncertainty and opportunity breed big ups and big downs. From the NYT:

It has become more likely for stock prices to make large swings -- on the order of 3 percent or 4 percent -- than it has been in any other time in recent stock market history, according to an analysis by The New York Times of price changes in the Standard & Poor's 500-stock market index since 1962. Some experts see volatility as a problem because it can scare investors away from the markets, make companies reluctant to go public and undermine confidence in the economy, causing further drops in shares. But another viewpoint is that stocks are rightly volatile now because there is so much uncertainty about where the economy is heading -- and canny investors could profit from the big swings, or simply sit them out until the market eventually finds equilibrium.

Economists lower projections: They expect gross domestic product to rise by only 1.5 percent at the end of this year, according to the National Association for Business Economics, down from a forecast of 3.1 percent in the previous May survey. (Real Time Economics)

B of A's massive cuts: The struggling bank wants to slash annual costs by $5 billion. That includes eliminating 30,000 jobs over the next few years, most likely focused in the consumer divisions. (Business Insider)

Big chipmaker deal: Irvine-based Broadcom, looking to expand further into smart phones and tablets, is buying NetLogic Microsystems in a $3.7 billion deal. From the Financial Times:

Development costs of mobile phone chips are driving more consolidation in the industry. Earlier this year, Nvidia, the US chip company, acquired UK rival Icera for $367m in order to bolster its ability to make chips for mobiles and tablets. Meanwhile, AT&T, the telecommunications operator, has proposed a $39bn deal to buy T-Mobile USA, as the companies struggle to meet the costs of developing next-generation mobile networks.

Groundbreaking for Expo Line, Phase II: This would extend the light rail system from Culver City to Santa Monica. Phase I was a mess, running way over schedule and costing hundreds of millions of dollars more than originally budgeted. From the LAT:

Construction on the first phase of the line -- which promises to take commuters 8.6 miles from downtown Los Angeles to Culver City in 30 minutes -- began in 2006 with a price tag of $640 million, but that eventually jumped to $932 million. The second phase has a budget of $1.5 billion and will continue 6.6 miles west to the intersection of Colorado Avenue and 4th Street in downtown Santa Monica. Officials hope to have the full line open in 2015.

Ovitz sells Live Nation HQs: The Bev Hills-based concert company will remain a tenant in the building, which is being bought by Tishman Speyer for $20 million. The property was built in 1925 as an ice and cold storage plant and is still known as the Ice House. (LAT)

Disney revamps consumer products: The company will combine sales of DVDs, toys, apparel and videogames, and it's naming movie-distribution executive Robert Chapek president of the consumer-products division. (Reuters)