Wall Street's Zero Bonus Club
Quantitative Easing at Least Modestly Successful, Says Fed's Bullard (CNBC) "US economic growth will be stronger than previously expected in 2011 and quantitative easing has been "at least modestly successful so far," James Bullard, President of the Federal Reserve Bank of St. Louis said on Monday. 'I do think GDP will be stronger in 2011 than people thought ...60 days ago,' Bullard told CNBC. Squawk Box is live at FedEx's main hub in Memphis, which falls under the St. Louis district. 'The holiday season is looking good, retail sales are good. That bodes well for the current quarter and the coming quarters,' he said."
Tensions Rising on Korean Peninsula (Wall Street Journal) "South Korea on Monday afternoon test-fired artillery from an island North Korea attacked last month, defying North Korean threats of another attack and asserting its rights in a maritime area it has controlled since the Korean War of the 1950s. North Korea called Monday's drills, which began at 2:30 p.m. local time (12:30 a.m. Eastern time) at a marine outpost on Yeonpyeong Island, a 'reckless military provocation.' But North Korea said after the drills ended that it was holding its fire because Seoul had changed its firing zones. The two Koreas have been drawn to the brink of open fighting by North Korea's apparent effort to redraw the maritime boundary near the island and four others controlled by South Korea in the Yellow Sea off the countries' west coast."
Defining Employment Down: Temps Become Larger Share of Labor Market(CNBC via New York Times) "Despite a surge this year in short-term hiring, many American businesses are still skittish about making those jobs permanent, raising concerns among workers and some labor experts that temporary employees will become a larger, more entrenched part of the work force. This is bad news for the nation’s workers, who are already facing one of the bleakest labor markets in recent history. Temporary employees generally receive fewer benefits or none at all, and have virtually no job security. It is harder for them to save. And it is much more difficult for them to develop a career arc while hopping from boss to boss."
Wall Street's Zero Bonus Club (New York Times) More bad news on the Bonus Bloodbath "Bonus season is fast approaching on Wall Street, but this year the talk does not center just on multimillion-dollar paydays. It’s about a new club that no one wants to join: the Zeros. Drawn from a broad swath of back-office employees and middle-level traders, bankers and brokers, the Zeros, as they have come to be called, are facing a once-unthinkable prospect: an annual bonus of ... nothing."
NY Prosecutors Poised to Sue E&Y Over Lehman Collapse? (ABC News) "Prosecutors in New York are set to file civil fraud charges against accounting firm Ernst & Young LLC over the collapse of Lehman Brothers Holdings Inc, the Wall Street Journal said, citing people familiar with the matter. The suit, led by Andrew Cuomo, could come as early as this week and may seek to impose fines and other penalties, the paper said. No one at Ernst & Young was available for comment outside regular U.S. business hours. Andrew Cuomo's office could not be reached for comment."
"World markets watch Korean military tensions" (Yahoo Finance via AP) "World stock markets were mixed Monday as investors watched with unease as South Korea went ahead with a military drill on a frontline island despite threats of North Korean retaliation. The approval of a U.S. plan to extend tax cuts and unemployment benefits offered some support to markets in Europe and the U.S. After Asian indexes closed mostly lower, Britain's FTSE 100 was up 0.1 percent at 5,878.45 while Germany's DAX was 0.4 percent higher at 7,006.82. France's CAC-40 advanced 0.7 percent to 3,893.76. Wall Street was expected to rise slightly on the open — Dow and S&P futures were both up 0.1 percent, at 11,440 and 1,239.20."
Newark Airport Closed as Authorities Investigate "Possible Bomb" (ABC News) "Authorities evacuated a terminal at Newark, New Jersey's Liberty International Airport this morning to investigate a possible bomb found at American Airlines in Terminal A. The possible device was discovered behind a counter, officials from the Port Authority of New York and New Jersey told ABC News. Employees alerted Transportation Security Administration Bomb Appraisal Officers, who began their investigation. Police halted incoming and outgoing vehicle traffic to the terminal shortly before 8 a.m. as the investigation got underway and the Essex County, New Jersey, bomb squad rushed to the scene. The rest of the airport remains open at this time. "