more than $2 a barrel

Crude futures dropped by more $2 a barrel on Monday as traders anticipated warmer weather later in the week and responded to weekend snowstorms in the Midwest that kept motorists off the road and planes grounded.

Traders brushed off any impact from the earthquake off the coast of Indonesia, as the government oil company and Exxon Mobil, which produces and processes natural gas there, said operations and exports were continuing after brief power outages.

''That massive storm in the Midwest shut down gasoline demand and didn't do much for heating demand,'' said Ed Silliere, vice president of technical research at Energy Merchant. in New York.

''This is just a reaction to where the [London] market went on Friday,'' said Esa Ramasamy, oil editorial manager for energy reporting agency Platts in Singapore.

The world's largest earthquake in 40 years, which hit parts of Asia on Sunday, was so far not a factor, traders said, though it could depend on how badly ports and shipping lanes are affected.

Manhattan Toys R Us

to become Babies R Us

TRENTON, N.J. - Toys R Us, the nation's second biggest toy retailer, plans to convert one of its two Manhattan stores into a Babies R Us, giving the company a prime location for its fast-growing division that sells baby furniture, apparel and accessories.

The Union Square store will be closed in February or March for renovations. Its 50 employees have been offered positions at other Toys R Us stores, company spokeswoman Susan McLaughlin said Monday. Severance packages are expected to be worked out for employees who cannot or choose not to relocate, she said.

The store is liquidating merchandise in anticipation of the conversion, McLaughlin said. Toys R Us' flagship store in Times Square will not be affected.

Goldcorp's merger

with Wheaton up in air

TORONTO - With a hostile takeover by U.S. gold miner Glamis Gold looming, Goldcorp has given its shareholders something else to think about: a proposed merger with Vancouver's Wheaton River Minerals.

When Goldcorp proposed its $2.2 billion, stock-swap offer for Wheaton earlier this month, the Toronto-based company said its shareholders wouldn't be voting on the deal because it was structured as an acquisition.

But that business combination was thrown into question when Glamis Gold Ltd., based in Reno, Nev., made a $3.4 billion stock swap bid for Goldcorp earlier this month.

Dollar's slide continues

as euro hits new high

NEW YORK - The dollar fell to a record low Monday against the euro, which spiked to 1.3600 as the dollar's slide continued in thin, post-Christmas trading.

The euro's new high in early New York trading surpassed the previous mark of $1.3548 set on Friday in light pre-holiday trading.

The sharp rise in the euro was helped by Monday's low liquidity, which was about half of that on a normal day, said Chris Callander, a senior foreign exchange analyst at CMC Group in New York.

Also, traders were encouraged by talk among analysts that the euro could hit $1.50 or $1.60 by the end of 2005, Callander said.

Gartner to buy Meta

in deal worth $162 M

NEW YORK - Market-research firm Gartner has agreed to acquire fellow Meta Group for about $162 million in cash.

Gartner Monday said it will pay $10 for each share of Meta, a 54 percent premium to Meta Group's closing price Thursday of $6.48 on the Nasdaq Stock Market.

Shares of Meta soared Monday and closed at $9.82, up $3.34, or 52 percent, on heavy volume on the Nasdaq Stock Market. The stock is up from a 52-week low of $3.01 on June 25.

Class A shares of Gartner closed at $12.60, up 16 cents, or 1.3 percent, on the New York Stock Exchange.

Both companies are based in Stamford, Conn., and provide information-technology research and consulting.

Meta, which revamped its executive ranks last month, had revenue of $104 million and a $48,000 loss in the first nine months of 2004. Gartner had revenue of $638 million and net income of $12 million in the same period.

The boards of both companies have approved the agreement, which is subject to approval by Meta's shareholders. It is expected to close in the second quarter of 2005.