News

Recession Briefing 1.30

What you need to know today to survive and thrive in the recession.

Obama Calls Wall Street Bonuses ‘Shameful’ (NY Times)
“There will be time for them to make profits, and there will be time for them to get bonuses,” he said during an appearance in the Oval Office. “Now’s not that time.”

U.S. Economy Shrank 3.8% in Fourth Quarter, Most Since 1982 (Bloomberg)
At least that’s better than was expected.

Latest Reports Indicate Economy Is Getting Worse (NY Times)
Thursday brought a hat trick of grim economic news: New-home sales fell to their slowest pace on record, businesses cut their orders and jobless claims continued to rise.

The Dirty Dozen: A Guide to the Cheats, Crooks, and Con Artists of the Greatest Depression (NY Mag)
Their crimes range from Bernard Madoff’s massive Ponzi scheme to financial adviser Edward Solomon’s takedown of a Peekskill bank for $5,900 while wearing a Groucho Marx nose and glasses.

Homelessness Surges as Funding Falters (msnbc.com)
Shelters and related services for the homeless are facing funding shortfalls as the downturn takes its toll on state budgets and donations.

Global Worries Over U.S. Stimulus Spending (NY Times)
Report from Davos: The rest of the world is wondering how Washington will pay for the stimulus package.

U.S. Eyes Two-Part Bailout for Banks (WSJ)
Top economic officials are discussing combining two strategies to stabilize the financial system:  buying a portion of banks’ bad assets and offering guarantees against future losses on some of the remainder.

Vermont Foreclosures Held Off by Yankee Ways, Land-Use Laws (Bloomberg)
Why Vermont has the lowest foreclosure rate in the country.

A Glimpse of the Future of Luxury (WSJ)
With European designer goods being discounted dramatically, people are wondering whether they were ripped off by high prices all along.

Fortress Blocks Redemptions as Shareholders Lose 96% Since IPO (Bloomberg)
One of the boom’s highest-flying hedge funds has lost most of its share value over the past four months.

Pick-Me-Up : Seven New Tax Perks (WSJ)
Finally, some good news. Like if you weren’t eligible for the full tax rebate last year, you could get more now if your income dropped in 2008.

Tags: bailout, economy, News, Wall Street