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Greenspan Sees Recession Risk
The BBC reports that former Fed chairman Alan Greenspan - who blasted Bush in his book - has warned that US economic growth has stalled and a quick recovery is not likely.As of right now US economic growth is at zero, he said, adding the longer it stayed this way the greater the risk of a deep recession.Wall Street giants Goldman Sachs and Merrill Lynch have both forecast that the US economy will contract in 2008.The US Federal Reserve has said 2008 growth will be between 1.3% and 2%.The forecast, made last week, was half a percent lower than the Feds previous estimation.The gloomy outlook was blamed on falling house prices, reduced bank lending, turmoil in the financial markets and higher oil prices.If the gloomy outlook isnt enough Greenspan also thinks oil will keep rising and that the housing mark will provide more concern before it gets better.Mr Greenspan also predicted that booming oil prices, which reached a record of more than $101 last week would keep rising and that the US housing market would see more misery before the tide turned.Greenspan isnt alone. Just yesterday there were reports that more analysts have jumped on the recession is likely bandwagon. If we do dip into an actual recession how long will we stay there? Thats the next question that needs answering.Permalink | Recent Headlines | WWFeeds.com

Bank of America to Buy Countrywide
Reuters reports that Bank of America is buying Countrywide for $4 billion.The purchase marks another acquisition for Bank of America Chief Executive Kenneth Lewis, who has spent more than $100 billion since 2004 to create the second-largest U.S. bank and the nations largest consumer bank.It also provides a lifeline for Countrywide, which became a poster child for what critics say were lending excesses that fueled the housing and credit meltdown.The largest U.S. mortgage lender has been convulsed by mounting losses and defaults, a loss of access to credit markets, and a slew of lawsuits and regulatory probes into its lending practices and Chief Executive Angelo Mozilos pay. On Tuesday, it denied rumors that it might go bankrupt.Countrywide has been hit very hard by the housing and credit problems. The deal is a big save for them and their shareholders but there are questions about what it means for Bank of America. SeekingAlpha says Bank of America will lose billions in the deal to acquire Countrywide. The Economist calls BofAs purchase a big gamble. Time will tell but it does sound like a risky acquisition.Permalink | Recent Headlines | WWFeeds.com

Why the Paulson Plan is DOA - BusinessWeek
Boston GlobeWhy the Paulson Plan is DOABusinessWeek - 1 hour agoLet?s see. In the middle of perhaps the greatest financial upheaval since the Great Depression, Treasury Secretary Hank Paulson is proposing a change in financial regulations which basically amounts to a big wink to Wall Street.News Analysis In Treasury Plan, a Reluctant Eye Over Wall Street New York TimesKeeping US Financial Markets Competitve ForbesFOXBusiness - Bloomberg - Reuters - Chicago Tribuneall 916 news articles

Dow Up Over 400 Points
News that the Fed is going to provide additional liquidity for the credit markets help boost stocks to huge gains today The Dow scored its best one day percentage increase in 5 years according to Reuters. The Dow climbed 416 on the day and the Nasdaq was up 86 points.At the same time cities are starting to feel the impact of the tough housing markets. There are more homeless people. There is more crime. There are less revenues for U.S. cites.The mortgage foreclosure crisis has caused a drop in cities revenues, a spike in crime, more homelessness and an increase in vacant properties, a survey of elected local officials out today shows.About two-thirds of 211 officials surveyed by the National League of Cities reported an increase in foreclosures in their cities in the past year, according to the online and e-mail questionnaire. A third of them reported a drop in revenues and an increase in abandoned and vacant properties and urban blight.Theres a reduction in revenues at the same time that more services are needed, says Cynthia McCollum, president of the National League of Cities and councilwoman in Madison, Ala., a suburb of Huntsville. Because of foreclosures, people are stealing, crime is on the rise and we dont have more money for cops on the street.The market had a boost today but the foreclosure crisis is worsening.Permalink | Recent Headlines | WWFeeds.com

Global Markets Fall
The BBC is reporting some serious drops in foreign markets -- the biggest drops since stock markets plummeted after 9/11. The FTSE 100 was off 5.5%. Paris and Frankfurt are down 7%.Global stock indexes, including the UK FTSE 100, have fallen their most since the terrorist attacks of September 11 2001 amid fears of a recession.The FTSE 100 index tumbled 5.5% to 5,578.2, wiping ?84bn $163bn off the value of its listed shares.Indexes in Paris and Frankfurt slumped by about 7%, while markets in Asia, India and South America also dropped.Investors questioned whether a recent plan to boost the US economy would be enough to avert a full-blown recession.The U.S. markets are closed today to celebrate Martin Luther King Jr.s birthday. Marketwatch reports that stock future indicate the DOW will open 500 points down on Tuesday morning.Permalink | Recent Headlines | WWFeeds.com

Markets React to Bear Sterns, Weekend Fed Action
JP Morgan Chase has snatched up Bear Sterns in a rapid transaction for a huge discount of $2 a share. JPMorgan Chase & Co. agreed to buy Bear Stearns Cos. for $240 million, about 90 percent less than its value last week, after a run on the company ended 85 years of independence for Wall Streets fifth-largest securities firm.Shareholders of Bear Stearns will get stock in JPMorgan equivalent to about $2 a share, compared with $30 at the close on March 14, the New York-based companies said in a statement late yesterday. The Federal Reserve is providing financial backing to JPMorgan, the second-biggest U.S. bank, and also cut the rate on direct loans to banks in its first emergency weekend action in almost three decades to stave off a broader market panic. The Fed also moved in with a rare weekend move and dropped the emergency lending rate a quarter of a point. President Bush also weighed in predicting a turnaround. President Bush rushed to strike a note of calm to the turbulent situation on Monday morning, hailing the Feds action and saying: Weve taken strong decisive action. The president spoke after meeting at the White House with Treasury Secretary Henry Paulson and other members of his economic team. Were in challenging times, Bush said.Despite all the action to help prevent losses stocks are still in negative territory again today. The Financial Times says investors are waiting for the next domino to fall.Permalink | Recent Headlines | WWFeeds.com

Stocks End Week on Sour Note
The stock markets ended on a very sour note as concerns about a recession accelerated. The Dow fell 246 points to 12,606. The S&P 500 lost 19 points to 1,401. The Nasdaq fell 48 points to close at 2,439. Marketwatch reports that the Dow industrials are down 558 points in 8-day run and the Nasdaq is off 8% since year began.Permalink | Recent Headlines | WWFeeds.com

UPDATE: Proxy Battle Begins At Office Depot - CNNMoney.com
UPDATE: Proxy Battle Begins At Office DepotCNNMoney.com - 1 hour agoA proxy battle at Office Depot Inc. ODP was officially launched Friday when a shareholder group filed its materials seeking its two nominees to replace the company's current and former chairman from the board.Office Depot shareholder files proxy Bizjournals.comOffice Depot holder group files proxy statement ReutersFOXBusiness - Trading Markets press release - SunHerald.comall 13 news articles

Markets Climb on Sweetened Bear Sterns Deal
The stock market managed a rally that has become rare of late. The sweetened JP Morgan - Bear Stern deal seemed to rally stocks. he Dow Industrials rose 187.32 to 12,548.64. The S&P 500 gained 20.37 to 1349.88. The Nasdaq surged 68.64 to 2326.75.News that the median home price drop of over 8% compared to a year ago didnt keep stocks from climbing Reuters reports in the video clip below.Permalink | Recent Headlines | WWFeeds.com

Mercantile Bank Corporation Announces First Quarter Provision ... - FOXBusiness
Mercantile Bank Corporation Announces First Quarter Provision ...FOXBusiness - 40 minutes agoGRAND RAPIDS, Mich., Mar 28, 2008 PrimeNewswire via COMTEX -- At a meeting held March 27, 2008, the Board of Directors of Mercantile Bank Corporation Nasdaq:MBWM determined that deteriorating economic conditions and real estate valuations have had ...Mercantile Bank expects 1Q provision BusinessWeekUPDATE 1-Mercantile Bank to post Q1 loss on increased provision ReutersForbes - MLive.com - Trading Markets press release - Business Wire press releaseall 21 news articles

Miserable Opening Bell?
The New York Times reports that the stock market plunge in Asia and Europe continued into Tuesday. Stocks are falling due to concerns that the U.S. economy is headed for a recession. MarketWatch has a roundup of the two day losses.Shanghai two days: -12%Japans Nikkei 225 two days: - 10.2%Hang Seng two days: -13.7%U.K. FTSE 100 two days: -8.6%German DAX 30 two days: -12.4%This sell off could extend to U.S. stocks today.Amid fears that the United States may be in a recession, the decline in stock markets accelerated this morning as exchanges opened across Asia.Markets in Tokyo, Hong Kong, Sydney all fell farther in the opening hours of trading today than they had all day Monday. Until now, overseas markets had largely avoided the sell-off that has caused steep declines recently in the United States, whose markets were closed Monday in observance of Martin Luther Kings Birthday. But investors reacted with what many analysts described as panic to the multiplying signs of weakness in the U.S. economy.And in a sign that the United States could join the sell-off today, trading in U.S. stock futures Monday suggested that the Dow Jones industrial average would fall more than 500 points at the opening bell.Marketwatch also says that the DJIA futures are currently down 650 points which could result in a miserable and nervous day of stock trading today.Permalink | Recent Headlines | WWFeeds.com