Tuesday May 6 Housing and Economic stories

Top Stories:

India considers ban on trading in food futures - (www.ft.com)
India is considering a blanket ban on trading in food futures, underlying growing concerns in Asia over the role of hedge funds and financial market traders in the surge in commodities prices - 12:10
BofA to Walk Away from Countrywide? - (www.ml-implode.com) - "Bank of America Corp is likely to renegotiate its deal to buy Countrywide Financial Corp down to the $0 to $2 level or completely walk away from it, said Friedman, Billings, Ramsey, [analyst Paul Miller] ..."
Oil moves above $120 mark - (www.ft.com)
Fed action brings cash for student loan market - (www.signonsandiego.com) – Fed now bailing out student loan industry prompted by Christopher “Free Money for Everyone” Dodd. In the move, the Fed is allowing investment firms and banks to use bonds backed by federally guaranteed student loans as collateral for the loans of safe Treasury securities that the central bank is making available.
“The Fed's decision...will help inject much-needed liquidity into the student loan market,” Sen. Christopher Dodd, D-Conn., chairman of the Senate Banking Committee, said in a statement.
Three Wall Street Giants Planning More Layoffs - (www.cnbc.com) -Wall Street is being hit by another wave layoffs, with Morgan Stanley, Lehman Brothers and JPMorgan Chase all set to axe staff in the near future. Morgan Stanley is planning another round of layoffs in the coming days, finalizing a plan to slash another 5 percent from its securities-firm workforce, or 1,500 employees, CNBC has learned. And Lehman will announce another round of cuts in addition to those already begun as early as next week.
'Dated' Vegas mansions flooding market - (www.sltrib.com)
No Buyers, No Bidders - (blog.washingtonpost.com)
Orange County: It's not like what you see on TV - (www.ml-implode.com) - ``"Orange County is in recession," says Adibi. "It began with the mortgage industry, spilled over into construction, and now it'...
Second local high-end builder is bankrupt - (www.ml-implode.com) - "A local builder of multimillion-dollar mansions has filed for bankruptcy, the second casualty in the high-end homebuilder indus...
Countrywide Shares Worthless? - (www.ml-implode.com) - "At least two analysts said Bank of America Corp (BAC) will likely lower its purchase price for Countrywide Financial Corp (CFC)...
Fed Says `Historical Highs' of Banks Tighten Lending Standards - (www.bloomberg.com)
What Uncle Sam Gives in Rebates, OPEC Takes, Stalling Economy - (www.bloomberg.com)
AZ schools making deep cuts - (www.azcentral.com)
Las Vegas used to be a recession-proof oasis. Not anymore - (www.newsweek.com)
It's Newer Houses That Stand Empty - (www.nytimes.com)
Fed "Rogue Operation" Spurs Further Bailout Calls - (www.bloomberg.com)
Asia Getting Fed Up With Bernanke's Rate Cuts - (www.bloomberg.com)


Other Stories:

It will take till 2011 for housing to stop falling - (www.modbee.com)
Builders' pricing at 2002 levels - (lansner.freedomblogging.com)
How Low Will Real Estate Go? - (promo.realestate.yahoo.com)
Pimco star says Fed was too late - (lansner.freedomblogging.com)
Fast and Easy Fannie - (seekingalpha.com)
Ben's bind - (economist.com)
Greenspan Caused the Current Economic Crisis - (www.currencytrading.net)

Cleaning House - (www.tnr.com)
Best Loan Rate? Don't Bank On It - (online.wsj.com)

U.S. Stocks Retreat on Record Oil, M&A Concern; Yahoo Tumbles - (www.bloomberg.com)
Oil Rises to Record After Report Shows Service Industries Grew - (www.bloomberg.com)
Gold Rises in N.Y. as Dollar Falls Against Euro; Silver Gains - (www.bloomberg.com)
Housing crash creates more winners than losers - (www.fool.co.uk)
Hooray! House prices are falling again - (www.independent.co.uk)

U.S. Economy: ISM Services Index Unexpectedly Climbed – (www.bloomberg.com)
Economy May Face Prolonged Pain, History Suggests - (online.wsj.com)
Central bankers doubt they can act on food prices - (www.reuters.com)
Rule Clouds American Capital - (online.wsj.com)
Auto dealers face tough road for second-quarter sales - (www.dallasnews.com)
Much Blood-Letting to Come - (www.moneymorning.com)
Rebuttal To Housing Bottom Call - (Mish at globaleconomicanalysis.blogspot.com)
English house prices sliding 500 pounds a week - (www.guardian.co.uk)
Robert Shiller - (biz.yahoo.com)

Europe Price Surge Persuades Politicians to Back ECB - (www.bloomberg.com)
Trichet Warns of Global Inflation, Says Central Banks Be Vigilant - (www.nytimes.com)
Moody’s Cuts Lehman To ALT-A - (www.ml-implode.com) - "The ALT-A crisis may make the subprime crisis look like a bump in the road when all is said and done. Below is the Moody’s/LEH ...
Tea With Greenspan Plunges 65% - (www.ml-implode.com)
Countrywide Top Mortgage Originator in First Quarter - (www.ml-implode.com) - "Despite all the uncertainty continuing to swirl around the proposed Bank of America/Countrywide merger, the nation’s top lender still turned in the largest origination volume during the first quarter, according to an analysis from MortgageDaily.com."
Bank of America Should Skip Countrywide, Analyst Says - (www.ml-implode.com) - ``Bank of America should completely walk away from the Countrywide deal, as Countrywide's loan portfolio will prove a drag on earnings and could force Bank of America to raise additional capital,'' Miller wrote.
ResCap Says It May Not Be Able to Meet Debt Obligations in June - (www.ml-implode.com) - " ``There is a significant risk that we will not be able to meet our debt service obligations, be unable to meet certain financial covenants in our credit facilities, and be in a negative liquidity position in June 2008,'' ResCap said in a filing to the Securities and Exchange Commission today. "
Buffett Castigates Wall Street, Bankers on Blunders - (www.ml-implode.com) - "Billionaire Warren Buffett castigated investment bankers, home lenders and regulators for letting the financial system spin out of control and causing a run on Bear Stearns Cos. that almost brought down more of the biggest banks."
CountryFried Whodathunk - (www.ml-implode.com) - "In the whodathunk department Standard and Poor downgraded CountryFried Financial’s (CFC) bond debt because, drum roll please, Bankamerica (BAC) is suggesting that they will have nothing to do with it."
Economic Stimulus Not a Silver Bullet - (www.ml-implode.com)
Countrywide Toxic Mortgage investigations by the FBI, IRS and SEC heating up - (www.ml-implode.com)