California prides itself on setting trends for the nation. This week, it may be the state that bucks the trend if it decides to abstain from a multi-state and federal settlement with the big banks on mortgage abuses.
States must say by the end of this week whether they are in or out of the deal and California is very much in doubt. Attorney General Kamala Harris, a rising star in the Democratic Party, is concerned the banks may get off too easily. Just last week, her people were calling the settlement “inadequate.”
Leon Panetta, famous here in Washington for being a “budget guy”, has a budget challenge at the Pentagon that few would relish. He probably doesn’t relish it either, but it could be the crowning achievement in a remarkable career if he pulls it off.
Today he fired the opening salvo in what is expected to be a long budget fight in Congress for the American military of the future – a much leaner one at that. He’s trying to wear both hats, that of the budget guy (and historic deficit hawk) and that of a custodian of a strong military.
Some great news for all you borrowers today from the Fed. Interest rates are likely to remain around zero until at least late 2014. That’s later than previously expected, and to put things in perspective, it’s nearly two years into the term of the president who will be elected in November.
What it tells us is that the economy is still very vulnerable. Ben Bernanke said as much today: “I don’t think we’re ready to declare that we’ve entered a new, stronger phase at this point.” He left the door wide open to further Fed stimulus via bond purchases.
The disclosure could shed light on what work Gingrich did in exchange for $ 1.6 million in consulting fees. What it for his historical acumen, as he has claimed, or his influence in Washington, as rivals for the Republican presidential nomination charge?
When it comes to fixing the housing market in this election year, it’s a battle between the “ineffective” and the “do-nothing.”
President Obama’s relief measures for homeowners facing foreclosure have fallen far short of objectives. Republican candidates, meanwhile, prefer to let the marketplace work its magic. Prices will then hit bottom and begin to recover.
President Obama had until the end of February to make a decision on the Keystone oil sands pipeline, but he made his move today. And, predictably, he rejected the $7 billion project. That keeps him in good standing with his environmental base for November 2012 but creates new tensions with his Republican foes.
Republicans had forced Obama to make a decision in 60 days as part of the deal for the two-month payroll tax cut extension. House Speaker John Boehner quickly reacted to the rejection by saying “all options are on the table” to craft a bill to fight for the pipeline.
At last night’s debate, Mitt Romney said he’d be happy to release his tax returns in April. But today he disclosed a crucial piece of information as the clamor grew for him to come out with his returns. The frontrunner to clinch the Republican nomination has a tax rate that “is probably closer to 15 percent than anything.”
That’s a low rate, but it is in line with what is paid by wealthy Americans who earn much of their income from capital gains, which are taxed at 15 percent. So, now the number is out and we will see how American voters (and wage earners) react.
MANCHESTER, New Hampshire (Reuters) – Despite 42 years of marriage, New Hampshire couple Belinda and Eddie Carr were worlds apart on this primary voting Tuesday as they argued over how to get the U.S. economy moving again.
In the shadow of Manchester’s red-brick textile mills that once hummed with activity and now house offices, the Carrs, both in their 70s, disagreed over the distribution of wealth, the Republicans’ pro-business stance and, well, the way forward.
MANCHESTER, New Hampshire (Reuters) – Former Massachusetts governor Mitt Romney won the New Hampshire Republican U.S. presidential primary on Tuesday by a comfortable margin – his second straight victory in the race to become his party’s choice to challenge Democratic President Barack Obama on November 6.
Based on early returns with about 10 percent of the vote counted, U.S. television networks declared Romney the victor. With about 15 percent of the vote counted, the networks said Romney had won 36 percent of the vote with congressman Ron Paul in second with 25 percent.
It’s a cruel world out there, what with these Super PACs. Just ask Newt Gingrich, the candidate who promised to stick to the positive message. Battered by weeks of negative ads from a Super PAC and plummeting poll numbers, Gingrich took a sharp detour off the high road in the final hours of campaigning in Iowa.
Gingrich called putative Republican frontrunner Mitt Romney a liar because he tries to distance himself from the ad-spewing PAC created by Romney staff and funded by his millionaire friends. “It’s baloney,” Gingrich said.