Friday April 25 Housing and Economic stories

Top Stories:

Bailout of the Year - (www.ml-implode.com) - The student loan side of the credit crunch has been exacerbated by recent legislation from Congress, and now a crisis is brewing on top of a crisis: To summarize: Congress mandated a return on student loans that is too low to attract private capital in the current market. So Congress will now use your money to create artificial investor demand. Taxpayers will bear more risk so that Congress can fashion a new business model to replace the one it just destroyed. The Bush Administration, unwisely but typically, has endorsed this approach
California Treasurer Fires Shots at Rating Agencies - (www.cnbc.com) – Rips S&P and says they “rip off taxpayers”. Subtly implies California pension funds to unload shares of S&P parent.
Frank pushes for mortgage intervention - (www.ft.com) - High cost of failure to act, says Democrat
A federal cure for the U.S. housing crisis faces obstacles - (www.latimes.com)
Students Lose Billions as Colleges Petition for Loans - (www.bloomberg.com)
London hit with 'Code Red' by Moody's - (www.telegraph.co.uk)
New-Home Sales in the U.S. Plunge More Than Forecast - (www.bloomberg.com)
Debt Collection Done From India Appeals to U.S. Agencies - (www.nytimes.com)
Fannie and Freddie Warned to Play "Fair" - (www.cfo.com)
Ambac May Need More Capital After Reporting Loss, Analysts Say - (www.bloomberg.com)
GE's Immelt: Housing Great Depression - (money.cnn.com)
Walking Away From Foreclosure Becoming Socially Acceptable - (realtytrac.com)
The Worst Is Not Over - (www.washingtonpost.com)
Trader charged with spreading false rumours - (www.ft.com) - SEC accuses Blackstone short-seller
Fed bank bailout totals $360 billion - (money.cnn.com)
FHLB Chicago to stop mortgage-buying program - (www.ml-implode.com) – “The Federal Home Loan Bank of Chicago on Wednesday said it would halt its program of purchasing mortgage loans, citing onerous costs. The FHLB of Chicago will no longer make or renew commitments under the program after July 31, Matthew Feldman, acting president of the bank, said on the company's website.”
Moody’s Begins Downgrading AAA-Rated Alt-A RMBS to Junk - (www.ml-implode.com) - 'Moody’s Investors Service issued more Alt-A downgrades on Thursday morning, this time taking a heavy hand to 32 different Aaa-r...
Tidal wave of inventory yet to hit market - (www.researchrecap.com)
Want to Know When Housing Has Bottomed? Here's How - (Charles Hugh Smith at www.oftwominds.com)



Other Stories:

Sam’s Club, Costco limit bulk rice purchases - (www.ap.com)
Bailout backlash - (money.cnn.com)
BailoutWatch: I Can't Even Keep Up - (www.voiceofsandiego.org)
How housing slump bites newspaper profits - (lansner.freedomblogging.com)
Libor to Rise as Banks Stay Wary, Derivatives Signal - (www.bloomberg.com)
Lower payments double interest paid - (reportonbusiness.com)
Forclosure activity continues to climb - (eastbayhousingbubble.blogspot.com)
Mortgage crisis has not really started yet - (www.seekingalpha.com)
ResCap Cut By Moody’s, Borrows $468 Million from GMAC - (www.ml-implode.com) - ''Moody’s Investors Service said late Wednesday that it had again downgraded Residential Capital LLC amid concerns that the mone...
Forget The Name "Countrywide" ... - (www.ml-implode.com) - Bank of America CEO answers a shareholder's question...
Mortgage Rates Rise on Inflationary Concerns - (www.ml-implode.com)
ML-Bulletin: Citi Residential announces "last days", First Horizon sells to Met Life, and more - (www.ml-implode.com)
Tax Receipts: Unmitigated Disaster - (www.ml-implode.com)

Housing Crash Contrarians Say Buy! But Who Buys That? - (nuwireinvestor.com)
How Many People are Really Walking Away From Mortgages? - (mybudget360.com)


FBI Wants Widespread Monitoring of 'Illegal' Internet Activity - (http://www.news.com/)
Feds Meddle In Brewer's Choice of Beer Name (Weed) - (http://www.azcentral.com/)
Whirlpool Posts Lower Profit; Warns on Year; Stock Down 9% - (http://www.marketwatch.com/)
Apple Profit Jumps 36% - (biz.yahoo.com)
Amazon Gains in Slowing Economy - Revs up 37% - (http://www.nytimes.com/)
US New Home Sales Plunge More than Expected - (http://www.bloomberg.com/)
US Regulator Fears Wave of Bank Failures - (us.ft.com)
Howard Ruff: It is Too Late. Hyperinflationary Depression on the Way - (http://www.kitco.com/)
Inflation, deflation, or both? - (news.goldseek.com)
California Price Declines by County and City - (www.dqnews.com)
The High End: Desirable Yes, Immune No - (www.voiceofsandiego.org)
Banks holding tight on prices at fake foreclosure "auctions" - (www.lvrj.com)
Real estate's new hidden market - (www.csmonitor.com)

Merrill and TPG in talks on closer ties - (www.ft.com) - Possibility of investment (i.e., dilution of shares for existing shareholders) to help raise capital
Crude Oil Falls More Than $2 After Dollar Gains Against Euro - (www.bloomberg.com)
Dollar May Extend Gain Against Euro on Fed Rate Expectations - (www.bloomberg.com)
U.S. Durable-Goods Orders Ex-Transportation Rise 1.5%, More Than Estimated - (www.bloomberg.com)
Fed Weighs Pause After Next Rate Cut - (online.wsj.com)
U.S. Unemployment Claims Unexpectedly Fell Last Week - (www.bloomberg.com)
A federal cure for the U.S. housing crisis faces obstacles - (www.latimes.com)
Sam's Club, Costco limit rice purchases - (money.cnn.com)
Rising fuel, hotel costs the pits for NASCAR fans - (www.usatoday.com)

Restaurants Feel Sting Of Surging Costs, Debt - (online.wsj.com)
Microsoft Earnings Decline 11%; Forecast Is Tempered - (www.bloomberg.com)
Toyota takes world sales lead from General Motors - (www.latimes.com)
Inflation Stalks Emerging Markets - (online.wsj.com)
German Business Confidence Drops to Two-Year Low - (www.bloomberg.com)
Credit Suisse Posts SF2.15 Billion Loss on Writedowns - (www.bloomberg.com)
U.K. Retail Sales Fall on Dearth of Consumer Credit - (www.bloomberg.com)
China's Shanghai Composite Index Surges 9.3% on Trading Tax Cut - (www.bloomberg.com)
A Chinese dream: The first car - (www.iht.com)
Why this crisis is still far from finished - (www.ft.com)