Wednesday May 7 Housing and Economic stories

Top Stories:

Vallejo, California City Officials Vote to File for Bankruptcy - (www.bloomberg.com) - Vallejo, California's city council voted to go into bankruptcy, saying the city doesn't have enough money to pay its bills afte...
White House threatens veto of FHA-rescue bill - (www.ml-implode.com)- The House on Wednesday will begin debate on a housing package that would let the government back loans for homeowners at risk ...
Is Pessimism Extreme Enough to Mark Housing Bottom? No. - (Charles Hugh Smith at www.oftwominds.com)
If you bought in 2006 its 50/50 you’re underwater - (www.ml-implode.com) - "Zillow posted some interesting analysis today in which they claim that 50% of all home buyers who purchased a home in 2006 are ...
WaMu's Suspect Mortgage Pool - (www.ml-implode.com)
LOOK OUT!! Home Equity Line Suspensions Go Countrywide…City by City! - (www.ml-implode.com)
The worst is not over - (www.bloomberg.com)
Historic credit crunch still worsening despite Fed's inflation orgy - (www.marketwatch.com)
Why Did the Mortgage Market Go Out of Control? - (www.seekingalpha.com)
FBI Mortgage Fraud Investigation "Overlooks" Fannie Mae and Federal Reserve - (www.nytimes.com)
BofA may lower Countrywide bid to $2/share or below - (www.marketwatch.com)
BofA may renegotiate deal to buy Countrywide - (news.yahoo.com)


Other Stories:

Pending Home Sales Index Declines - (www.ml-implode.com)- "The Pending Home Sales Index, a forward-looking indicator based on contracts signed in March, edged down 1.0 percent to 83.0 fr...
Kevin Phillips on the U.S. shark tank and other ills - (www.ml-implode.com) - Kevin Phillips, author of "Bad Money - Reckless Finance, Failed Politics, and the Global Crisis of American Capitalism" was inte...
Tax Policy and the House Price Bubble - (www.ml-implode.com)
Draining national prosperity - (www.ml-implode.com)
New Price Drop Could Imperil Mortgage Agencies - (www.ml-implode.com)
Countrywide Establishing Bankruptcy Ombudsman's Office - (www.ml-implode.com)

Rents Falling Along With House Prices - (www.cbs4.com)
Rent-free defaulted houseowners keep economy going - (www.californiahousingforecast.com)
East Palo Alto House Price Rolled Back to 1999 - (sanmateore.dreamhosters.com)
Simple Economics - (www.patrick.net)
Emblem of OC's house market now a short sale - (lansner.freedomblogging.com)
Warren Buffett at annual Berkshire meeting: Think small - (money.cnn.com)
Buffett Castigates Wall Street on Mortgage Disaster - (www.bloomberg.com)
In Need of Serious Repair: U.S. Mortgage Finance - (www.seekingalpha.com)
Bank of America should completely walk away from Countrywide - (www.bloomberg.com)
Housebuyers seek less space, more features - (www.tradingmarkets.com)

Oil Rises to a Record $122.73 on Nigeria Attack, Demand Growth - (www.bloomberg.com)
Gold Rises as Dollar Declines, Oil Tops $122; Silver Gains - (www.bloomberg.com)
Ten-Year Treasury Notes Fall Before Government Auction Tomorrow - (www.bloomberg.com)
U.S. Stocks Rise as Energy Producers, Financial Companies Gain - (www.bloomberg.com)

Bernanke pushes government help to curb foreclosures - (www.latimes.com)
Many wireless resellers going under - (www.usatoday.com)

Goldman's Murti Says Oil `Likely' to Reach $150-$200 - (www.bloomberg.com)
Hedge-Fund Portfolios Stockpile Cash - (online.wsj.com)
How low will real estate go? - (www.latimes.com)
Fannie Mae to Raise $6 Billion After Posting Loss - (www.bloomberg.com)
Cisco Profit Falls 5.4%; Forecast Meets Estimates - (www.bloomberg.com)
Doubts Raised on Big Backers of Mortgages - (www.nytimes.com)
Home lender ResCap facing cash crunch - (www.latimes.com)
GE to stop financing boat, motor home purchases - (www.latimes.com)
UBS Set to Cut 5,500 Jobs After First-Quarter Loss - (www.bloomberg.com)
Sprint Mulls Shedding Nextel Unit - (online.wsj.com)
Acquisition of Lender Is Possibly in Jeopardy - (www.nytimes.com)
D.R. Horton swings to $1.3 billion loss - Market Watch from Dow Jones
Wal-Mart expands low-price drug program; Target follows - (www.chicagotribune.com)
Merck to cut 1,200 sales jobs following regulatory setback - (www.chicagotribune.com)
Economic Troubles Affect the Vegas Strip - (www.nytimes.com)
Tropicana casino group files for bankruptcy - (afp.google.com)
Sears, Like Consumers, Cuts Back - (online.wsj.com)
Swiss Re First-Quarter Profit Falls on Writedown - (www.bloomberg.com)
Tight Credit Worries for a Hotel and Mall Operator - (www.nytimes.com)

Rising Food Prices Hurting 1 Billion Asians, ADB's Kuroda Says - (www.bloomberg.com)
Brazil seeing sweet profit from sugar cane-based ethanol - (www.dallasnews.com)
Indonesia Raises Key Rate; Says May `Adjust' Further - (www.bloomberg.com)
U.K. Services Expand at Slowest Pace in Five Years - (www.bloomberg.com)
Brics offer investors a varied harvest - (www.ft.com)
Warning on current account deficit - (www.ft.com)
Subprime disease breeding ground: pools - (www.marketwatch.com)