Bloomberg:
- Europe Waters Down Fiscal Pact With Sanction Rules, Welt Says. European Union leaders are planning to sign an agreement at a summit starting today that “waters down” the sanctions process against countries that breach fiscal rules, Welt said, citing the agreement. The agreement states that only countries have the right to file a suit and not independent institutions such as the European Union Commission, the German newspaper reported. The country that holds the European Council presidency as well as its predecessor and successor are supposed to sue, Welt said. While the rules stipulate which countries are supposed to take debt violators to court, there are various exemptions from the obligation, the newspaper said.
- Euro Bailout Fund Gets Ministers' Approval to Raise Money for Greek Swap. Euro-area finance ministers authorized the region’s bailout fund to raise money for Greece’s bond exchange, the first step in releasing funds from a 130 billion-euro ($173 billion) rescue package. Greece has passed “all required legislation” and the ministers “note with satisfaction” the progress achieved, said Luxembourg Prime Minister Jean-Claude Juncker in a statement after chairing a meeting of the finance chiefs in Brussels today. As a result, they gave the go-ahead to the European Financial Stability Facility to issue bonds to finance their role in the debt swap.
- Europe Factory Report Shows Region Trailing as Joblessness Rises: Economy. Euro-area manufacturing shrank for a seventh month and unemployment rose to the highest in more than 14 years, stoking concern that the regional economy may struggle even as global growth improves. A manufacturing gauge based on a survey of purchasing managers in the 17-nation region increased to 49 in February from 48.8 in January, remaining below the 50 line that divides expansion from contraction, London-based Markit Economics said today. Separate reports showed the jobless rate rose to 10.7 percent in January, the highest since October 1997, and inflation accelerated last month.
- The euro's rally to a more than two-month high against the dollar is poised to reverse as demand fueled by ECB loans wanes and foreign investors shun the region's assets, Morgan Stanley said. The three-month cumulative sum of investment in the euro area's bonds and money markets fell in December for the first time in a year, a sign that global funds were withdrawing money from the region.
- Manufacturing in U.S. Expands at Slower Pace; Jobless Claims Fall: Economy. Manufacturing in the U.S. grew less than forecast in February as orders eased, slowing the industry that has powered the two-year expansion. The Institute for Supply Management’s factory index fell to 52.4 from 54.1 in January, the Tempe, Arizona-based group said today. Readings above 50 signal growth. Jobless claims fell to an almost four-year low last week, and household purchases adjusted for prices were little changed for a third straight month in January, other reports showed.
- US Consumer Spending, Incomes Rise Less Than Estimates. Consumer spending in the U.S. rose less than forecast in January after little change the previous month, showing a lack of improvement in the biggest part of the economy. Purchases climbed 0.2 percent, while incomes increased 0.3 percent, Commerce Department figures showed today in Washington. The median estimate of economists surveyed by Bloomberg News called for a 0.4 percent increase in spending and a 0.5 percent rise in incomes. Warmer weather may have restrained spending on services such as utilities.
- Crude Advances for Second Day on Iran Risk, U.S. Manufacturing Growth. Oil climbed a second day as the U.S. increased pressure on Iran to halt its nuclear program and improving American economic data bolstered optimism that fuel demand will grow. Futures in New York rose as much as 1.2 percent as U.S. officials escalated warnings that the nation may join Israel in attacking Iran. Crude oil for April delivery rose $1.07, or 1 percent, to $108.14 a barrel at 12:25 p.m. on the New York Mercantile Exchange. Prices have advanced 8.5 percent in the past year. Brent oil for April settlement climbed $2.59, or 2.1 percent, to $125.25 a barrel on the London-based ICE Futures Europe exchange.
- Obama Tops in Primary Spending Even Without Opponent. During 2012’s primary campaign, one presidential candidate has bought more advertising, hired more people and spent more on a grassroots organization than any other White House hopeful. If money is ammunition in politics, President Barack Obama so far is outgunning all the Republicans vying to challenge him, building a national network of staff and volunteers even while he’s unopposed for the Democratic nomination. Through Jan. 31, the Obama campaign’s payroll spending was more than twice the total for the four remaining Republican candidates combined. With the general election still more than eight months away, Obama’s re-election committee has spent $66 million overall, almost 20 percent more than the $56 million outlay by the best-financed Republican, former Massachusetts Governor Mitt Romney.
- IMF Says Global Economy Still Facing Major Risk From European Debt Crisis. The global economy faces “major downside risks” as its recovery continues to be threatened by stresses in the euro area, the International Monetary Fund said in a report prepared for the Group of 20 nations. The world economic expansion will slow to 3.3 percent this year from 3.8 percent in 2011, according to the surveillance report prepared for the meeting of G-20 finance ministers and central bank governors in Mexico City Feb 25-26. The euro economy is forecast to contract 0.5 percent this year, compared with growth of 1.6 percent in 2011. “The overarching risk remains an intensified global ‘paradox of thrift’ as households, firms, and governments around the world reduce demand,” the Washington-based IMF said in the report. “This risk is further exacerbated by fragile financial systems, high public deficits and debt and already-low interest rates.”
- Bank of America(BAC) Weighs Fee Revamp. Bank of America Corp. is working on sweeping changes that would require many users of basic checking accounts to pay a monthly fee unless they agree to bank online, buy more products or maintain certain balances. The plan by the nation's second-largest bank by assets is the latest sign of stresses in the banking industry at a time of low interest rates, slow economic growth and new rules limiting many types of service charges. Many other big banks, including J.P. Morgan Chase & Co.—the nation's largest—and Wells Fargo & Co., have rolled out plans that aim to raise fee revenue or push customers to do more business with the bank.
- ISDA's Greek Ruling Not Last Word. There’s a swirl of excitement over the International Swaps and Derivatives Association’s ruling today not to declare Greece in default on its government bonds. Relax.
Dow Jones:
TheStreet.com:
- Egan Jones senior analyst William Hassiepen says QE3 may trigger a downgrade of U.S. credit. "It would definitely trigger another review," he said.
- In Memoriam: Andrew Breitbart (1969-2012). (videos) With a terrible feeling of pain and loss we announce the passing of Andrew Breitbart. Andrew passed away unexpectedly from natural causes shortly after midnight this morning in Los Angeles.
- Apple(AAPL) Stock to Hit $1,000? Steve Wozniak Believes So. Apple's stock price has the potential to hit $1,000 as the company has a tremendous amount of growth ahead of it due to the integrated nature of its products and services, Steve Wozniak, Apple co-founder, told CNBC in an exclusive interview on Thursday.
- Apple's(AAPL) TV Will Be 'The Biggest Thing In Consumer Electronics Since The Smartphone' - Munster.
- Check Out These Shocking Photos Of Austerity Riots In Barcelona.
- Chart of the Day: 'Total Collapse' In Greece.
- Mario Draghi Is Becoming Germany's Most Hated Man.
- EUR Bent Takes Out All Time Highs. (graph)
- Pictures From a French Mob - Watch as Sarkozy Bravely Retreats From Furious Frenchmen.
- Backlash in Egypt Follows Lifting of Travel Ban on U.s. Activists. Egypt’s military-backed government faced criticism Thursday for appearing to bow to U.S. pressure by allowing seven Americans accused of fomenting political unrest to leave the country despite months of Cairo casting them as spies and enemies of “foreign hands.”
Forbes:
- The 40 Highest-Earning Hedge Fund Managers.
- Dalio and Simons: A Peek Inside Their Winning Hedge Fund Portfolios.
- Source: AOL(AOL) Planning to Lay Off Hundreds Next Week. We are hearing that AOL is planning on laying off hundreds of employees next week. Some of the cuts will undoubtably come from the bloated Patch division, but not all, from what we hear. The conjecture by our source is that AOL may disappoint Wall Street this quarter, and the company wants to have a story around cost cutting already in place.
TheStreet.com:
- Gold Prices Recover After Wednesday's Bloodbath. Gold for April delivery was rising $6.40 to $1,717.70 an ounce at the Comex division of the New York Mercantile Exchange.
- Spain Student Protests Turn Violent In Barcelona. Tens of thousands of students protested education spending cuts in big cities across Spain on Wednesday, and the demonstrations turned violent in Barcelona as angry young adults clashed with police. Riot police charged a crowd outside the stock market in Barcelona, Spain's second largest city, after protesters who broke away from a peaceful rally numbering thousands threw rocks and other objects. Video in Spanish media showed protesters setting plastic garbage containers alight with flares, causing a blaze that destroyed at least one car. They also hurled rocks at the glass front door of a bank branch.
Gigaom:
- U.S. Smartphone Ownership Eclipses Feature Phones. The U.S. is now officially a smartphone nation, with 53 percent of all adult cell phone owners claiming ownership of a smartphone, according to a new report by the Pew Internet & American Life Project.
- Greek Debt Ruling Dangerous Precedent: PIMCO's Gross. Bill Gross, the co-cio and co-founder of bond giant PIMCO, said on Thursday the decision by a major derivatives agency to not declare a credit event on the writedown of Greek sovereign debt sets a dangerous precedent. PIMCO was one of 15 banks, hedge funds, and asset managers in the International Swaps and Derivatives Association that voted on Thursday against declaring the debt restructuring a credit event that would trigger a payout on credit default swaps. The vote by the ISDA group was unanimous.
Politico:
- K Street Democrats Warn Businesses on Donations to GOP. Democrats on K Street are warning their corporate clients: Give to Republican challengers in the 2012 election, and you’ll regret it come tax reform time. Lobbyists are getting that message from allies of powerful Democrats such as Senate Finance Chairman Max Baucus (D-Mont.), who is closely watching support for Rep. Denny Rehberg, a Republican challenging Sen. Jon Tester (D-Mont.). Baucus supporters fear that if Rehberg ousts Tester, Baucus could be next to face a serious Republican challenge in the state.
- ICBC, China Construction Bank, Bank of China and Agricultural Bank of China promised to abide by govt controls on the real-estate market.