Debt

More

• Strategist Says Market 'Indigestion' May Delay Bond Deals

  Matthew Meyer, managing director at AIG Investments, told CNBC’s “Power Lunch” that the bond market now suffers from a metaphorical distress: “We think there’s still some indigestion in the market,” Meyer said Friday. “…We think there could be some more spread widening, but we think there could be some attractive opportunities.”

• Quest Shares Spiking on Buyout Talk, but Debt May Deter Deal

  Recent spikes in Quest Diagnostics's stock price suggest the No. 1 medical testing company could be the latest buyout target in health care, but its valuation and debt load may keep private equity bidders at bay.

• S&P Cuts $6.39 Billion in Mortgage-Backed Securities

  Rating agency Standard & Poor's said late Thursday that it downgraded $6.39 billion of subprime residential mortgage-backed securities after warning earlier this week that cuts were coming.

• GE Plans to Sell Subprime Mortgage Unit

  General Electric has decided to sell its WMC Mortgage subprime lending business, the lender told employees in a memo Thursday.

• Who is Rating the Ratings Agencies?

  A fine old storm we cooked up on the show this morning, and as is often the case the viewers were asking some of the toughest questions. Why had it taken the ratings agencies so long to decide some subprime debt needed reviewing? What else could be out there and are the agencies playing catch up?

• U.S. Home Loan Demand Climbs Amid Higher Rates

  U.S. mortgage applications rose last week, fueled by increased demand for home purchase loans even as interest rates hit their highest level in nearly a year, an industry group said Wednesday.

• Fortis to Issue $2.7 Billion in Notes to Fund ABN Bid

  Belgian-Dutch financial services group Fortis said on Wednesday it would launch 2 billion euros ($2.73 billion) worth of conditional capital exchangeable notes.

• S&P May Cut $12 Billion Worth of Subprime Debt

  Standard & Poor's Tuesday said it may start cutting ratings on $12.1 billion of mortgage-related debt this week on expectations of an 85% drop in U.S. home prices and more mortgages defaults, rattling financial markets.

• Commercial Real Estate Investors Tap on the Brakes

  Spooked by higher interest rates and troubles in the subprime residential mortgage market, commercial real estate investors and lenders are rethinking some deals that would have sailed through just six months ago.

• CNBC's Faber: Credit Worries May Delay Some Big Buyouts

  Growing concerns about credit quality are likely to delay some big leveraged buyouts over the next few months, CNBC's David Faber reported. “It doesn’t mean that any of the announced deals are not going to close, but they may ultimately cost more,” Faber said.

• Rising Interest Rates May Take A Bite Out of Equities

  David Reilly, director of portfolio strategy at Rydex Investments, told CNBC’s “Power Lunch” that rising interest rates may take a bite out of equities in the short-term.

• Delhaize America to Buy Back $1.1 Billion of Own Debt

  Belgium-based supermarkets group Delhaize said on Wednesday that its American subsidiary would buy back up to $1.1 billion of its own debt, financed by the issue of new securities.

• Consumer Debt May Jumpstart U.S. Economy

  As the U.S. faces higher prices and adjustable mortgage rates, expect consumer spending to slow, economist Nigel Gault told “Morning Call.” But he also predicted that the slowdown may furnish some surprising benefits to America's economy.

• The Business Of Bonding

  About ten years ago, my editors dubbed me the Bond girl... for all the wrong reasons. It was my coverage of debt capital markets that earned the nickname. Since then, I've had an affection for fixed income markets. Yes, bonds are rather dull and poorly understood but they are frankly one of the most important things you need to know about, in order to make sound financial decisions.

• How to Go About a Retirement Plan

  A question that eventually arises when financial planners talk about getting fiscally fit is: how much money do I need so I can retire comfortably. To be frank, I hate that question.Not because the intention is incorrect but because it approaches life in a technical way. Most people I know - and I'm betting plenty you know as well - do not want to think about ageing, much less think about what they want to do when they retire.

• The Debt Defense: Is it Enough?

  Companies are loading up on debt, a tactic out of the playbook of private equity. But it's not just a leveraged recapitalization, as the Wall Street Journal writes today. A couple of months back, I wrote about Home Depot. An analyst who covers Home Depot said the DIY retailer was vulnerable to a buyout. Slowing sales and low debt levels put a bullseye on the company.

• Five Golden Rules

  If you can believe it, we're just almost done with the first quarter of 2007 and that means two things: the cherry blossoms are coming out and it's time to hunker down for some spring cleaning. As you tackle the clutter in your home, why not clean up your finances as well? This is a great opportunity to start planning for a solid financial future. You've just paid off your taxes (or are about to) and you're well entrenched in your job plans for the year. Don't let that momentum slip. Here are my financial rules for 2007 to help you tackle your finances and start the rest of the year on the right foot.