U.S. Added 290,000 Jobs in April
U.S. Added 290,000 Jobs in April
May 7, 2010, Wall Street Journal
The U.S. economy in April added jobs at the fastest pace in four years, but the unemployment rate unexpectedly rose. The Labor Department said nonfarm payrolls rose by a higher than expected 290,000 jobs last month — the largest gain since March 2006. That followed an upwardly revised 230,000 increase in March. However, as a reminder of the labor market's continued weakness, the unemployment rate increased to 9.9 percent last month. Economists were expecting it to remain at March's 9.7 percent level.
Fed Officials Develop Plan to Shrink Central Bank's Mortgage Portfolio
May 7, 2010, Wall Street Journal
Federal Reserve officials have agreed to sell some of the central bank's $1.1 trillion of mortgage-backed securities at some point, but have been unable to reach a firm consensus on how soon or how aggressively to do that, according to several people familiar with the matter. Many Fed officials want to wait until after the central bank has started to raise short-term interest rates and tighten financial conditions, which could be many months away, but a minority is eager to move sooner.
High-End Homeowners Falling Into Foreclosure Trap
May 7, 2010, CNBC News
Heated pools, ocean views and media rooms are not what most people would expect to find in a foreclosed property, but more high-end homes—priced over a million dollars—have been falling into the hands of banks this year. Foreclosures of homes worth over $1 million began increasing at the end of 2009, according to exclusive data provided by foreclosure tracking website RealtyTrac.
Where Americans Are Losing Home Equity Most
May 6, 2010, Forbes
Though the nation's unemployment picture appears to be improving, and some economists are cautiously talking of the recession's end, homeowners in several metro areas continue to feel its sting. Nevada and Florida were some of the hardest-hit states when the real estate market unraveled in 2007, and the pain there persists. Last week the S&P/Case-Shiller 20-city home price index revealed that February prices in Las Vegas, Miami and Tampa dropped an average of 8.3% over the same time a year earlier.
Bailed Out Homebuilders Collect Fat Paychecks
May 7, 2010, Reuters
No one rode the U.S. housing bubble higher than the company that calls itself "America's Builder," D.R. Horton Inc. During the boom years, Horton and its peers sprawled across the map, opening new divisions and buying up smaller fry in an industry-wide frenzy of expansion and acquisition. In 2006, the year home prices peaked, D.R. Horton's sales did as well, with 53,099 home sales closed. Its founder predicted the company would break the 100,000-unit barrier by 2010. That will not happen -- not this year, not anytime soon.