Bloomberg:
- The US economy may avoid recession as it slows following the decline in US sub-prime mortgages, said Simon Johnson, chief economist of the IMF.
- Treasury Secretary Henry Paulson told more than a dozen mortgage lenders that the Bush administration wants them to give sub-prime borrowers a chance to keep their homes.
- Old Lane LP, the hedge-fund firm acquired two months ago by Citigroup Inc.(C), lost 5.9% in August, quadruple the industry’s average decline, as bond and emerging markets fell.
- The US Senate adopted a measure that would grant non-profit housing organizations $100 million to curb foreclosures linked to sub-prime lending.
- Fannie Mae(FNM), the largest source of money for US home loans, helped sub-prime borrowers avoid default on $6 billion in mortgages since April by backing refinancings, CEO Daniel Mudd said.
- Crude oil rose to a record $80/bbl. in New York after refiners slashed production more than analysts had estimated and oil inventories fell from decade highs.
- Sun Micro(JAVA) will start selling server computers with Microsoft’s(MSFT) Windows, the world’s most popular operating system, after holding out for more than a decade.
- Rambus Inc.(RMBS) shares surged to a seven-week high and option trading jumped on speculation Sun Micro(JAVA), the world’s third-largest maker of server computers, may purchase the company.
- General Cable(BGC), the biggest US maker of cable for energy and communications companies, agreed to buy Freeport-McMoRan Copper & Gold’s wire unit for $735 million to gain clients in Latin American and Asia.
- Apple Inc.(AAPL) rose to the highest in a week in Nasdaq Stock Market trading after UBS Investment Bank boosted earnings estimates for the maker of the iPhone, saying last week’s price cut will drive sales.
- Amgen Inc.(AMGN) rose to the highest in six weeks on the Nasdaq after two analysts recommended buying shares of the world’s largest biotech company because of a favorable decision on dosing guidelines for its anemia drugs.
- Life expectancy for children born in the US rose to a record in 2005, the latest year for which data are available, while the death rate fell to a new low, according to a report from the National Center for Health Statistics.
- The US dollar is falling versus the euro as investors increase bets the Fed will reduce its target interest rate, narrowing the gap between the US and Europe.
- Mortgage applications in the US rose 5.5% last week, reflecting gains in both purchases and refinancing.
- The IEA, an adviser to 26 industrialized nations, cut its forecast for global oil demand growth next year on concern rising credit costs may crimp economic growth.
Wall Street Journal:
- Enhanced Index Funds Come Up Short. Returns Were Supposed To Exceed Benchmarks With Relatively Little Risk.
- Amazon.com(AMZN) is hoping to gain attention among entrepreneurs for its Web services by offering a contest that includes an investment offers as part of the prize.
- In a novel move to lure bank deposits, Capital One Financial(COF) is introducing a money-market account this week that offers rewards points based on customers’ average monthly balances.
- General Motors(GM) hopes for family of electric vehicles.
- Lenders Push Mortgages With Discounts and Credits For Energy-Efficient Upgrades.
NY Times:
- Katie Couric’s “Evening News” on CBS Corp. reached a new record low in ratings last week, a year after the anchor made her on-air debut, citing Nielsen Media Research figures.
Forbes.com:
- Internet ad spending soared 17.7% during first half of this year, while overall ad spending fell .3%.
NY Post:
- NYC residents own their homes at about half the rate for households in the rest of the US, citing a US Census Bureau report.
Financial Times:
- The SEC set up four “working groups” to tighten its enforcement process and to expedite prosecution of fraud cases, citing Linda Chatman Thomsen, the SEC’s enforcement director, and other officials. One group, created in January, concentrates on pursuing potential wrongdoing associated with the crisis in the subprime mortgage market. The other three groups focus on hedge funds and insider trading, stock options backdating, and municipal bond sales.
Efe:
- Telefonica SA is in talks with Apple Inc.(AAPL) to sell the iPhone in Spain, citing Telefonica Chairman Cesar Alierta.
AFP:
- Iraq expects the number of US troops deployed in the country to fall below 90,000 by 2009, citing an official.
