Wednesday, February 12, 2014

Thursday February 13 Housing and Economic stories

TOP STORIES:

Argentine Default Chaos Relived as Blackouts Follow Looting - (www.bloomberg.com) For Dominga Kanaza, it wasn’t just the soaring inflation or the weeklong blackouts or even the looting that frayed her nerves. It was all of them combined. At one point last month, the 37-year-old shop owner refused to open the metal shutters protecting her corner grocery in downtown Buenos Aires more than a few inches -- just enough to sell soda to passersby on a sweltering summer day. “It was scary,” said Kanaza as she yelled out prices to customers while sipping on mate, Argentina’s caffeine-rich herbal drink. The looting that began in neighboring Cordoba province when police officers left streets unguarded to strike for higher pay had spread to the outskirts of Buenos Aires, sparking panic in Kanaza’s neighborhood. The chaos, she said, was like nothing she had seen since the rioting that followed the South American nation’s record $95 billion default in 2001.

Detroit aid package to protect pensions gains support - (www.cnbc.com) In a potential breakthrough in the historic Detroit bankruptcy case, court-appointed mediators say they have been advised by Michigan Gov. Rick Snyder's office that he will support a package of state aid to protect the pensions of city retirees as well as the city-owned art collection at the Detroit Institute of Arts. The announcement follows word last week that a group of private foundations has pledged more than $330 million to rescue the city. In a statement, the mediators say the foundations played a "critical and constructive role" in the process. Snyder "has indicated that he will engage with the Michigan Legislature to help secure support for the plan," according to the statement. The city's employee unions have long been pressing for the state to provide aid to its largest city. 

Man Interrogated By The Feds For Wearing Prescription Google Glass At The Movies - (www.businessinsider.com) A man who went to the movies with his wife in Columbus, Ohio, was subjected to a terrifying hour-long interrogation by Homeland Security* because employees at the AMC theater saw him wearing Google Glass. They apparently thought he might be illegally taping the film and didn't believe him when he tried to explain that the glasses were prescription, and weren't even switched on. The incident ought to make Glass wearers think twice about when and where they don their smart spectacles. (It also shows how feeble law enforcement's knowledge of the new device is, too — it took them an hour before they figured out how to download the device's content.) AMC confirmed the incident in a statement to Business Insider.

All-cash crushing first-time homebuyers - (www.cnbc.com) Morgan and Tyler Brasfield are "dying" to buy a home, especially since the birth of their second child six months ago. Unfortunately they just don't have the cash to compete in today's San Francisco housing market, so they continue to rent. "People are coming in with full-cash offers that are significantly higher than asking," said Morgan, as she corralled her two-year-old on the playground. "So if you find a home for a little over a million, which would be a fixer-upper here, you can expect to pay two to three hundred thousand more than asking. But even if they were looking in a less pricey, less competitive area, Morgan admits they would still have trouble coming up with the down payment; Tyler, who is now working in finance, just graduated from business school a year ago. "We need to focus on the student loans right now," said Morgan.

A 'tsunami' of store closings expected to hit retail  - (www.cnbc.com) Get ready for the next era in retail—one that will be characterized by far fewer shops and smaller stores. On Tuesday, Sears said that it will shutter its flagship store in downtown Chicago in April. It's the latest of about 300 store closures in the U.S. that Sears has made since 2010. The news follows announcements earlier this month of multiple store closings from major department stores J.C. Penney and Macy's. Further signs of cuts in the industry came Wednesday, when Target said that it will eliminate 475 jobs worldwide, including some at its Minnesota headquarters, and not fill 700 empty positions.



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