Items of Interest:
Wall Street Journal:
Citi, GMAC, Wells Need New Capital — J.P. Morgan, AmEx, Goldman Won't Need New Capital; Shortfalls for Citi, Morgan Stanley — Results of the government's stress tests of the nation's largest 19 banks started to trickle out Wednesday, highlighting the burgeoning gaps between the industry's strong and weak players...
discussion:Calculated Risk: More Stress Test Leaks: Morgan Stanley, JPMorgan, AmEx all PassYves Smith / naked capitalism: Wells Fargo, Morgan Stanley, GMAC Plus Others Need to Raise Capital …Joe Weisenthal / Clusterstock: Morgan Stanley Among Latest Stress Test FailuresTyler Durden / Zero Hedge: The Latest From The Utter Lunacy Rumor Mill
Joe Weisenthal / Clusterstock: Bank Of America's Stress Test Now Being Spun As Good NewsHughS / Wizbang: Obama, Chrysler And The BanksNew York Times: Bank of America Needs $33.9 Billion, U.S. Says
Bright Spot in Downturn: New Hiring Is Robust — Everyone knows the grim news — unemployment in the United States has jumped to 8.5 percent, a 25-year high, and is racing toward double digits. Since November, the nation has lost more than three million jobs.
But not everyone knows the brighter side to the equation: deep in the maw of the deepest recession since the Great Depression, millions are still being hired.
So, while 4.8 million workers were laid off or chose to leave their jobs in February, employers across the country hired 4.3 million workers that month, according to the Bureau of Labor Statistics...
David Leonhardt / NY Times
As Joblessness Slows, Recovery Could Stir -- Ben Bernanke sounded more optimistic on Tuesday than he has in a long time, and President Obama has talked about glimmers of hope. The stock market has risen 34 percent from its 2009 nadir.
On Friday morning, we will get the clearest sign yet of whether these glimmers are real...
discussion:Zubin Jelveh / The New Republic: How Job-Findings, Not Job-Loss, Explain UnemploymentNewsweek Blogs: Unturnings: Shuttle program to stay grounded?
New Jersey Can’t Afford Government, Booker Says -- New Jersey’s tax-strapped residents can’t afford their government and the state needs to rein in the mounting costs of public worker benefits, said the mayor of Newark, the state’s largest city.
Cory Booker, 40, said rising expenses for health care, pensions and salaries are impinging on government finances.
Operations need to be streamlined in a state with 566 towns and cities, 617 school districts and 21 counties, Booker said during a meeting with Bloomberg editors and on Bloomberg Radio today...
Rich Default on Luxury Homes Like Subprime Victims -- Chuck Dayton put down a quarter of the $950,000 purchase price when he bought his house in Newport Beach, California, in 2004. He was making $500,000 a year with his drywall company and he expected home values to keep rising.
Then the mortgage market collapsed, new construction stopped and builders no longer needed his services. Dayton, 43, went into default four months ago because he couldn’t afford payments on the three-bedroom home, located within a block of the Pacific Ocean. He hopes his lender will agree to sell the seven-year-old house for less than he owes to avoid a foreclosure.
“It’s just wait and see right now,” Dayton said.
Borrowers such as Dayton, whose 2004 compensation was almost 10 times the median U.S. household income, are becoming trapped by the same issue facing the poorest subprime homeowners: falling home prices erase equity and make it impossible to sell or refinance without losing money...
Phoenix Coyotes Go Bankrupt, Forget To Tell NHL -- The Phoenix Coyotes filed for Chapter 11 bankruptcy yesterday and their reorganization plan includes a sale to noted rich guy Jim Balsillie, who wants to give Canada its seventh hockey team back. There might be one small hitch in the plan, however. No one told the NHL front office....
Coyotes file for Chapter 11; Balsillie bids to move them to Ontario
- 09 Could Wind Up Being The Year of the 'W'- Todd Harrison, MarketWatch
- Sustaining a Real Recovery Is The Next Challenge - Michael Darda, WSJ
- Obama Has It Wrong on Chrysler's Holdouts - Ann Woolner, Bloomberg
- Bank Stress Tests: No Big Deal After All - Lauren Tara LaCapra, TheStreet
- Let's Focus on Other Measures of Banks' Health - Daniel Gross, Slate
- Free Trade Can Be Green Trade - Daniel Price, New York Times
- The Cost of Climate Inaction - K. Sheeran & M. Lubber, Washington Post
- Amazon's Newest Kindle Takes Aim at Newspapers - J. Shambora, Fortune
- How Tax Havens Helped To Create a Crisis - Sol Picciotto, Financial Times
- The Consequences of Going After Tax Havens - Daniel Mitchell, Forbes
- Banks Need Fewer Carrots, More Sticks - Hubbard, Scott & Zingales, WSJ
- Chrysler Meets Obama, the Man of the System - Steven Malanga, RCM
- 'Street' Deserves Chrysler Medicine - Harold Meyerson, Washington Post
- Chrysler, and Uncle Sam's Buying Spree- Richard Rahn, Washington Times
- Why Warren Buffett Is No Longer My Hero - Jon Friedman, MarketWatch
- Why Anti-Trust Should Leave Google Alone - James Stewart, Smart Money
- Workers Left Behind In a Green Transition? - Joe Uehlein, The Nation
- What the Move Toward Green Means - Editorial, Investor's Business Daily
- Poor Children of the Rich and Successful- Luke Johnson, Financial Times
- We Must Kill the 'Death Tax' - Douglas Holtz-Eakin, Los Angeles Times
- Are There Any Rules In the Bailout Game? - Thomas Cooley, Forbes
- Hedge Funds Star In Regulators' Dreams - David Reilly, Bloomberg
- Obama's Corporate Tax Will Sock Stocks - Jim Powell, New York Post
- President Obama, Cut Corporate Taxes Instead - Michael Mandel, BizWeek
- I Look Forward to the Day I'm Worrying About Inflation - Accrued Interest
- Central Banks Must Target More Than Just Inflation - Martin Wolf, FT
- 5 Reasons Bank Shareholders Will Take a Hit - M. Shulman, Seeking Alpha
- Analyzing the Current NASDAQ Composite Streak Upwards - Aleph Blog
- Chrysler: A Glimpse At Post Capitalist America - J. Carney, Clusterstock
- Financial Sector Review - Net Income & Dividends - Applied Finance
- Swine Flu Strategy Update - David Kotok, Cumberland Advisors
- Service Sector Activity Slowed In April - Sam Bullard, Wachovia Economics
- European Cyclical Outlook and Strategy - Andrew Balls, Pimco Asset
- Lawmakers Seeking Consensus On Social Security Overhaul - Wash Post
- Summers and Geithner Are Silent as IMF Loses Grip - Bloomberg
- As Investors Circle Ailing Banks, The Fed Sets Limits - New York Times