LONDON, May 25- The dollar hit a one-month high against a basket of major currencies on Monday after stronger-than-expected underlying U.S. inflation bolstered the Federal Reserve's case for an interest rate hike later this year. Amid low volumes, with most of Europe as well as the United States shut for a holiday, the dollar index, which measures the greenback...» Read More
Federal Reserve Chairman Ben Bernanke said Sunday that he had to "hold my nose" over last year's taxpayer-financed bailouts of big financial companies but argued that the action had to be taken to avoid a major meltdown of the U.S. financial system and the broader economy.
"The nosedive is over," says one economist about Friday's second-quarter GDP report. "Nevertheless, you come out of this looking past the second quarter with a very uneven recovery picture."
Corning stock softened in early morning trading despite reporting better-than-expected second-quarter earnings on Monday.
All the ingredients are on hand for the market to mix together a perfect bull run and stocks could rise another 15 percent this year and possibly 25 percent next year, Roger Nightingale, strategist at Pointon York, told CNBC.
States are spending hundreds of thousands of dollars apiece on special legislative sessions whose chief purpose, ironically, is to trim more funding from their eroding budgets.
A federal minimum wage increase that takes effect Friday could prolong the recession, some economists say, by forcing small businesses to lay off the same workers that the pay hike passed in better times was meant to help.
Many moons ago, like back in the George W. Bush administration, home ownership was all the rage. The "ownership society," some say, was the political impetus for the scandalous, irrational, negligent subprime lending that served to bring down the nation's economy. So as the mortgage market unwound, the homeownership rate fell, and all the politicians kept quiet, because that was the right thing; that was the necessary punishment for collective irresponsible behavior.
People assume a dismal economy means good times for repo men. But as the creditors who hire them aim to cut costs, these automotive bounty hunters are struggling along with the rest of American business.
Today's relatively good news from the National Association of Realtors only added to the posse of positives in housing data. Sales are up for the third straight month, prices, while down, are not as far down as last month, and housing starts rose unexpectedly in June after builder confidence posted a gain as well. So what's bothering me? Inventory.
The notion of a jobless recovery is gaining traction among those who think the economy is finally getting back on its feet—but not enough to move the stock market.
We all know commercial property prices are tanking, thanks to reduced occupancy/revenue and a completely cruddy financing landscape. That said, I think it's important to look inside the numbers and see what is the best and worst in show, so we can determine where to invest.
Despite the fact that the auctioneers claimed to have calls from interested investors all over the world, not one of those folks decided to raise a hand at the Watergate Hotel auction. PB Capital, which holds the $40 million loan on the property set the opening bid at $25 million, and that was that. Not a word. Back to PB Capital.
Federal Chairman Ben Bernanke on Tuesday fended off congressional skepticism about expanding the Fed's duties to police big financial companies given the central bank's failure to catch problems that led to the financial crisis.
Nouriel Roubini, the economist whose dire forecasts earned him the nickname "Doctor Doom", told CNBC Monday that the economic recovery is going to be "very ugly."
Tomorrow the bank holding the $40 million loan on Washington DC's Watergate Hotel, New York-based PB Capital, will put the foreclosed property up for auction. The 251-room, formerly grand, 12-story lodging has been empty since 2007. Just the memories of those few burglars who slept there the night before they did their historic deed still haunt the hallways.
Mortgage lending rose 17 percent to an estimated 12.3 billion pounds ($20.2 billion) in June from May but still suffered a decline from the same period last year, new data from the Council of Mortgage Lenders (CML) showed Monday.
Although the depression scare is over, the economy is likely to remain sluggish for some years, said Robert Shiller, Yale University economics professor.
The first days of earnings season seem to have lit a fire under the stock market, but investors are wondering if this week's rally is for real or just a bunch of smoke.
Stocks closed sharply higher as a day-long rally gained steam after the Federal Reserve said the recession would end soon but that unemployment will continue rising.
The Federal Reserve expects the economy will sink at a slower pace this year but unemployment will top 10 percent, according to a forecast contained in the latest minutes.