Dollar Falls to Record Against Euro as EU Inflation Quickens

April 16, 2008
Dollar Falls to Record Against Euro as EU Inflation Quickens

April 16 (Bloomberg) -- The dollar fell to a record low against the euro as European inflation accelerated last month, reducing chances the European Central Bank will follow the Federal Reserve in cutting interest rates.

The currency had its biggest decline versus the euro in three weeks, weakening to $1.5979 as U.S. housing starts dropped more than twice as much as forecast to a 17-year low. The Canadian and Australian dollars and the Norwegian krone increased after crude oil touched a record $115.07 a barrel.

Merrill Lynch posts loss of nearly $2 billion

April 17, 2008
Merrill Lynch posts loss of nearly $2 billion

NEW YORK (MarketWatch) - Ongoing write-downs for soured mortgage investments and other bad credit bets continued to plague Wall Street icon Merrill Lynch, leading to an almost $2 billion first-quarter loss and a planned 4,000 job cuts, the company reported Thursday.

But new Chief Executive John Thain said core businesses continued to operate well. "Despite this quarter's loss, Merrill Lynch's underlying businesses produced solid results in a difficult market environment," he said. "The firm's $82 billion excess liquidity pool has increased from year-end levels, and we remain well-capitalized."

Thain's comments are likely to calm some market jitters sparked by stubborn talk the firm may need to raise new capital. In recent weeks, Thain has repeatedly reassured investors that the firm will not need new capital.

War at the Pentagon

April 13, 2008
War at the Pentagon

The most intense arguments over U.S. involvement in Iraq do not flare at this point on Capitol Hill or on the campaign trail. Those rhetorical battles pale in comparison to the high-stakes struggle being waged behind closed doors at the Pentagon.

On one side are the "fight-win guys," as some describe themselves. They are led by Gen. David Petraeus and other commanders who argue that the counterinsurgency struggle in Iraq must be pursued as the military's top priority and ultimately resolved on U.S. terms.

Arrayed against them are the uniformed chiefs of the military services who foresee a "broken army" emerging from an all-out commitment to Iraq that neglects other needs and potential
conflicts. It is time to rebuild Army tank battalions, Marine amphibious forces and other traditional instruments of big-nation warfare -- while muddling through in Iraq.

Fewer Options Open to Pay for Costs of College

April 12, 2008
Fewer Options Open to Pay for Costs of College

Parents will have to navigate unfamiliar and difficult terrain when it comes time to pay for college this year, with student loan companies in turmoil and banks tightening their standards and raising rates on other types of borrowing.

Lawmakers and the administration are trying to head off any crisis by making sure that "lenders of last resort" stand ready to take the place of companies that have left the federal loan program. And a growing number of colleges have applied to participate in the federal direct loan program, in which students borrow from the government.

The First Draft of History Looks Rough for Bush

April 11, 2008
The First Draft of History Looks Rough for Bush

President Bush often argues that history will vindicate him. So he can't be pleased with an informal survey of 109 professional historians conducted by the History News Network. It found that 98 percent of them believe that Bush's presidency has been a failure, while only about 2 percent see it as a success. Not only that, more than 61 percent of the historians say the current presidency is the worst in American history. In 2004, only 11.6 percent of the historians rated Bush's presidency in last place. Among the reasons given for his low ratings: invading Iraq, "tax breaks for the rich," and alienating many nations around the world. Bush supporters counter that professional historians today tend to be liberal and that it's too early to assess how his policies will turn out.

VA Secretary says registering voters in VA facilities is a "partisan" distraction

April 31, 2008
VA Secretary says registering voters in VA facilities is a "partisan" distraction

On the same day the Pentagon's commander in Iraq told the Senate that new troop withdrawals could not considered for months, Secretary of Veterans Affairs James B. Peake told two Democratic senators that his department will not help injured veterans at VA facilities to register to vote before the 2008 election.

"VA remains opposed to becoming a voter registration agency pursuant to the National Voter Registration Act, as this designation would divert substantial resources from our primary mission," Peake said in an April 8th letter to Sens. Diane Feinstein (D-CA) and John Kerry (D-MA). He was referring to a 1993 federal law that allows government agencies to host voter registration efforts.

For the first time on record the middle class failed to grow with the economy

April 12, 2008
For the first time on record the middle class failed to grow with the economy

I wonder what the answers would be if each American asked himself or herself the question: "How is the war in Iraq helping me?"

The economic boom so highly touted by the president and his supporters "was, for most Americans," said Mr. Leonhardt, "nothing of the sort." Despite the sustained expansion of the past few years, the middle class — for the first time on record — failed to grow with the economy.

'If History Can Take Me Back, I Will Kiss the Statue of Saddam Which I Helped Pull Down'

April 31, 2008
'If History Can Take Me Back, I Will Kiss the Statue of Saddam Which I Helped Pull Down'

BAGHDAD, 10 April 2008 — Ibrahim Khalil, who five years ago took part in the toppling of a giant statue of Saddam Hussein in central Baghdad, said yesterday he now regrets taking part in the hugely symbolic event.

"If history can take me back, I will kiss the statue of Saddam Hussein which I helped pull down," Khalil said on the fifth anniversary of the statue's toppling. "I will protect the statue more than my own self," Khalil said in Firdos Square alongside a monument erected where Saddam's statue once stood before US Marines and Iraqis strung a chain around its neck and brought it crashing down.

Gonzales Can't Find A Job

April 13, 2008
Gonzales Can't Find A Job

WASHINGTON — Alberto R. Gonzales, like many others recently unemployed, has discovered how difficult it can be to find a new job. Mr. Gonzales, the former attorney general, who was forced to resign last year, has been unable to interest law firms in adding his name to their roster, Washington lawyers and his associates said in recent interviews.

He has, through friends, put out inquiries, they said, and has not found any takers. What makes Mr. Gonzales's case extraordinary is that former attorneys general, the government's chief lawyer, are typically highly sought.

Iraq sacks 1,300 troops over Shiite crackdown

April 31, 2008
Iraq sacks 1,300 troops over Shiite crackdown

BAGHDAD (AFP) - Iraq has dismissed 1,300 policemen and soldiers for failing to perform their duties during a crackdown on Shiite militiamen in the south of the country, an official said on Sunday.

"Those people did not do their duties in Basra and Kut," interior ministry spokesman Major General Abdel Karim Khalaf said referring to the southern and central cities.

Fewer Large Corporations Audited by IRS

April 14, 2008
Fewer Large Corporations Audited by IRS

WASHINGTON (AP) — The tax audit rates of the largest companies are less than half what they were 20 years ago while more small and mid-size businesses are coming under scrutiny, according to an organization that monitors the Internal Revenue Service.

The Syracuse University-based Transactional Records Access Clearinghouse described what it said was a "historic collapse" in audits for corporations holding assets of $250 million or more. About 26 percent of them were audited in the 2007 budget year compared with 34 percent in 2006 and 43 percent in 2005.

Co-Payments for Expensive Drugs Soar

April 14, 2008
Co-Payments for Expensive Drugs Soar

Health insurance companies are rapidly adopting a new pricing system for very expensive drugs, asking patients to pay hundreds and even thousands of dollars for prescriptions for medications that may save their lives or slow the progress of serious diseases.

With the new pricing system, insurers abandoned the traditional arrangement that has patients pay a fixed amount, like $10, $20 or $30 for a prescription, no matter what the drug's actual cost. Instead, they are charging patients a percentage of the cost of certain high-priced drugs, usually 20 to 33 percent, which can amount to thousands of dollars a month.

Consumer Confidence Falls to Record Low

April 31, 2008
Consumer Confidence Falls to Record Low

WASHINGTON -- Americans' confidence in the economy fell to a new low, dragged down by worries about mounting job losses, record-high home foreclosures and zooming energy prices.

According to the RBC Cash Index, confidence dropped to a mark of 29.5 in April, down from 33.1 in March. The new reading was the worst since the index began in 2002. It marked the fourth month in a row where confidence has fallen to an all-time low.

"Consumers are very pessimistic," said Mark Vitner, economist at Wachovia. "There are not a lot of happy campers out there."

Bush Approval Hits All Time Low

April 31, 2008
Bush Approval Hits All Time Low

(CNN)— With the economic outlook looking dim and the continued war in Iraq, President Bush'nidjs job approval rating hit an all time low Friday, according to a just released poll.

The latest Gallup poll shows the president's approval dropped to 28 percent, the lowest of his eight years in office.

Largest Oil Reserve May Lie Under Northern Plains

April 11, 2008
Largest Oil Reserve May Lie Under Northern Plains

An area of shale and other rock in North Dakota and Montana is estimated to hold the largest potential oil resources in the 48 contiguous states, according to an assessment released Thursday by the United States Geological Survey.

The area, known as the Bakken Formation, might contain 3 billion to 4.3 billion barrels of oil that could be extracted using current technology, the survey said.

Poor get Poorer as Recession Looms

April 31, 2008
Poor get Poorer as Recession Looms

WASHINGTON (Reuters) - The gap between rich and poor in many states has broadened at a quickening pace since the last U.S. recession, which could make it difficult for low-income families to weather the current economic downturn, according to a report issued Wednesday.

Since the late 1990's average incomes have declined 2.5 percent for families on the bottom fifth of the country's economic ladder, while incomes have increased 9.1 percent for families on the top fifth, said the report from the liberal-leaning Center on Budget and Policy Priorities and Economic Policy Institute.

GAO: Millions Wasted on Gov't Cards

April 31, 2008
GAO: Millions Wasted on Gov't Cards

WASHINGTON (AP) — Federal employees charged millions of dollars for Internet dating, tailor-made suits, lingerie, lavish dinners and other questionable expenses to their government credit cards over a 15-month period, congressional auditors say.

A report by the Government Accountability Office, obtained Tuesday by The Associated Press, examined spending controls across the federal government following reports of credit-card abuse at departments including Defense, Homeland Security and Veterans Affairs.

Cops and Former Secret Service Agents Ran Black Ops on Green

April 11, 2008
Cops and Former Secret Service Agents Ran Black Ops on Green Groups

A private security company organized and managed by former Secret Service officers spied on Greenpeace and other environmental organizations from the late 1990s through at least 2000, pilfering documents from trash bins, attempting to plant undercover operatives within groups, casing offices, collecting phone records of activists, and penetrating confidentialmeetings. According to company documents provided to Mother Jones by a former investor in the firm, this security outfit collected confidential internal records—donor lists, detailed financial statements, the Social Security numbers of staff members, strategy memos—from these organizations and produced intelligence reports for public relations firms and major corporations involved in environmental controversies.

Bush Aides Approved Torture

April 9, 2008
Bush Aides Approved Torture

WASHINGTON (Reuters) - U.S. President George W. Bush's most senior advisers approved "enhanced interrogation techniques" of top al Qaeda suspects by the Central Intelligence Agency, ABC News reported on Wednesday, citing sources it did not name.

ABC reported that the so-called "principals" discussed interrogation details in dozens of top-secret talks and meetings in the White House.

Pentagon overspent budget by $295 billion

April 3, 2008
Pentagon overspent budget by $295 billion

The Pentagon has gone hundreds of billions of dollars over budget in recent years on key weapons systems, including aircraft, ships, and satellite, said a government audit. The Government Accountability Office (GAO) said for the sixth year in a row that the Pentagon had significantly gone over budget, but according to a report presented to Congress this week, the problem is getting worse.

The Government Accountability Office found that 95 major systems have exceeded their original budgets by a total of $295 billion, bringing their total cost to $1.6 trillion, and are delivered almost two years late on average. In addition, none of the systems that the GAO looked at had met all of the standards for best management practices during their development stages.

Investigators review VA credit charges

April 6, 2008
Investigators review VA credit charges

WASHINGTON - Veterans Affairs employees last year racked up hundreds of thousands of dollars in government credit-card bills at casino and luxury hotels, movie theaters and high-end retailers such as Sharper Image and Franklin Covey — and government auditors are investigating, citing past spending abuses.

On at least six occasions, employees based at VA headquarters made credit card charges at Las Vegas casino hotels totaling $26,198.

Air Force Can't Account for Ballistic Missile Parts

April 6, 2008
Air Force Can't Account for Ballistic Missile Parts

SALT LAKE CITY - Inspectors warned Hill Air Force Base last year that its poor record-keeping could lead to inventory mistakes with ballistic missile parts without knowing a significant shipping error had already occurred, a newspaper reported Sunday.

The Pentagon announced last month that in 2006 the United States mistakenly shipped to Taiwan four electrical fuses designed for use on intercontinental ballistic missiles, but had since recovered them.

Iraq's humanitarian crisis worsens

April 7, 2008
Iraq's humanitarian crisis worsens

AMMAN (Reuters) - Iraq's humanitarian crisis has worsened, and decades of conflict and deteriorating basic services are reducing people's ability to cope with the hardships they face, a senior U.N. aid official said on Monday.

"There are wider concerns about the longer-term effect of prolonged conflict, and people's coping mechanisms become strained ... this deterioration of basic services is not yet reversed..." Under-Secretary General for Humanitarian Affairs John Holmes told Reuters in an interview.

Political progress in Iraq 'halting and superficial'

April 7, 2008
Political progress in Iraq 'halting and superficial'

WASHINGTON (AFP) — The United States faces the risk of a costly, open-ended quagmire in Iraq because of a lack of political progress in the divided country, a report by US experts said.

"Political progress is so slow, halting and superficial, and social and political fragmentation so pronounced, that the US is no closer to being able to leave Iraq than it was a year ago," said the US Institute of Peace (USIP) study released Sunday.

Chertoff Suspends More than 30 Laws

April 8, 2008
Chertoff Suspends More than 30 Laws

Securing the nation's borders is so important, Congress says, that Michael Chertoff, the homeland security secretary, must have the power to ignore any laws that stand in the way of building a border fence. Any laws at all.

Last week, Mr. Chertoff issued waivers suspending more than 30 laws he said could interfere with "the expeditious construction of barriers" in Arizona, California, New Mexico and Texas. The list included laws protecting the environment, endangered species, migratory birds, the bald eagle, antiquities, farms, deserts, forests, Native American graves and religious freedom.