Monday March 14 2016 Housing and Economic stories

TOP STORIES:

Who's Running Brazil? Chaos Builds as Rousseff Ducks Her Allies - (www.bloomberg.com) When President Dilma Rousseff of Brazil extended her visit to Chile last weekend, she was not engaging in an act of international relations but of domestic avoidance. Her Workers’ Party was holding anniversary celebrations in Rio de Janeiro and if she had shown up as planned, there would likely have been more than a few boos. All across South America, plunging oil and commodity prices have caused political instability, but Rousseff ranks among theleast popular heads of government. Since she began her second term 14 months ago, a wide corruption probe and deep recession have gnawed away at her support, nearly paralyzing the government and causing many now to wonder how she can continue and who is in charge.

SunEdison’s Troubles Darken Prospects of Vivint Deal - (online.wsj.com)  The mounting financial woes of SunEdison Inc., once a Wall Street darling, have jeopardized the solar-energy company’s plans to purchase Vivint Solar Inc. Goldman Sachs Group Inc., Barclays PLC, Citigroup Inc. and UBS Group AG have balked at providing loans they had committed to fund the takeover, according to people familiar with the matter. The banks have told SunEdison its failure to provide them with up-to-date financial statements means it hasn’t fulfilled a condition of the loan agreement, the people said. SunEdison said in a regulatory filing Monday that it would delay its 2015 earnings report while its board investigates claims from both a former and a current employee challenging the accuracy of the company’s financial disclosures.

Average U.S. new-vehicle loan hits record high in fourth quarter: Experian - (www.reuters.com)  The average amount of a new-vehicle loan in the United States rose by $1,170 in the fourth quarter from a year earlier to a record high $29,551, and the average monthly payment was nearly $500, Experian Automotive said on Thursday. Leases accounted for a record high 33.6 percent of new vehicles sold, said Experian automotive credit director Melinda Zabritski, primarily because monthly payments are lower. The monthly payment on a new-vehicle lease was $412 compared with a monthly obligation of $493 for new-vehicle loans. The rise in the amount financed for new vehicles was 4 percent from a year earlier.

BlackRock Temporarily Suspends Issuance of Gold Trust Shares - (www.bloomberg.com)  BlackRock Inc. on Friday temporarily stopped issuing new shares in its $7.7 billion iShares Gold Trust, as surging interest in the precious metal caught the world’s largest money manager off guard. Investors had piled into the fund so fast that BlackRock didn’t register in time with the U.S. Securities and Exchange Commission to issue more shares. The suspension means that the share price of the fund may deviate from the price of its underlying assets -- the physical gold -- until issuance resumes, probably within two or three business days, according to a person familiar with the matter. The misstep by New York-based BlackRock comes as providers of exchange-trade funds face mounting concern that the products may pose risks that investors aren’t always aware of. Cracks in the system were revealed on Aug. 24, when many equities didn’t open for trading, yet the ETFs that hold them did, causing confusion among investors about their value.

Bank of America revs up auto loans business despite warning signs - (www.reuters.com)  Bank of America (BAC.N) is making a big push into auto lending just as regulators are sending warning signals, losses from auto loans are rising, and rivals are growing more cautious after years of strong returns. The bank tapped mortgage executives Matt Vernon and John Schleck to lead the auto lending business last May, saying they would be able to sell auto loans alongside other products such as checking accounts and home equity loans. In interviews, the executives and their boss, D. Steve Boland, who oversees a broad swath of consumer lending, said they still see room for growth from borrowers who have good credit. They have hired extensively in recent months, adding dozens of loan officers and salespeople.

OTHER STORIES:

North Korea leader at drill orders nuclear weapons use at any time: KCNA - (www.bloomberg.com)
German anti-immigrant party gains ahead of important state votes: poll - (www.reuters.com)
Inside China’s Plan for a Military That Can Counter U.S. Muscle - (www.bloomberg.com)

U.S. Stocks Retreat With Oil as Investors Await Economic Data - (www.bloomberg.com)
Slower Growth Prompts First U.S. Services Job Cuts Since 2014 - (www.bloomberg.com)
Fed's Kaplan calls for patience on raising U.S. interest rates  - (www.reuters.com)

House 'Flipping' Skyrockets, Sparks Concern Over a Housing Bubble - (www.nbcnews.com)
I see bubbles bursting everywhere: Top academic - (www.cnbc.com)