money transfers

Iran was largely cut off from global commerce on Thursday, when the company that handles financial transactions said it was severing ties with many Iranian banks %u2014 part of an international effort to discourage Tehran from developing nuclear weapons. The action is meant to enforce European Union sanctions, as global financial transactions are impossible without using SWIFT, and will go a long way toward isolating Iran financially.

Money transfer giant Western Union reported a 6.6% profit decline from a year ago, but its uninspired outlook for 2010 scared investors most, sending its stock price down more than 9.5% in early morning trading.

Expect Western Union to report 4Q 2009 results at or slightly above expectations on Wednesday. With profit margins declining, guidance the company offers for 2010 will be key to how the market reacts.