2010-Mar-18 - Personal Finance Daily: Good luck bridging gap between lenders, borrowers

Don't miss these top stories:

Loan-modification program deeply flawed

New test screens for deadly cancer

Investors depart money-market funds

In Wednesday's Personal Finance Daily, we featured part one of our two-part story about the Gentrys, a family whose medical and financial woes seem to make it a picture-perfect candidate for approval under the government's mortgage-modification program.

If only it were so.

Read the second installment of our story to find out why the Gentrys, and millions more like them, are highly unlikely to find payment relief under the program. Here's a big hint: Lenders don't really have much incentive to approve these deals.

-- Andrea Coombes, Personal Finance editor

Marianne Gentry learned her home was in foreclosure from a recorded message from her bank. So she and her husband and son packed their belongings, expecting to get kicked out any day. See story on mortgage-modification program has major flaws.

Rates on fixed-rate mortgages moved very little this week, with 30-year fixed-rate mortgages averaging 4.96%, according to the latest Freddie Mac survey of conforming mortgage rates, released Thursday. See Mortgages.

Vermillion's Dr. Eric Fung discusses the first FDA-approved blood test to help determine if women's ovarian masses are cancerous before they have surgery. Watch Video Report.

No one wants to give up their keys, but there are ways doctors can help manage their older patients' health so they can stay on the road -- and independent -- longer. MarketWatch's Kristen Gerencher reports in this week's Health Minute. Watch Health Minute.

President Barack Obama and top House Democrats touted billions of dollars in savings expected from the House health-care bill on Thursday, as the president again postponed a foreign trip to witness a historic vote on his No easy online payday loans. 1 policy issue. See Capitol Report.

Total assets in money-market funds have fallen below $3 trillion for the first time since late 2007, as higher federal fund rates coaxed investors back into the broader market. See FundWatch.

Money-market mutual funds are waiving management fees because yields are so low that charging anything would hit shareholders with a loss. But once yields rise, many funds will want their money back. Jonathan Burton reports. Watch This Week In Mutual Funds.

Maybe it was the Guinness. The low-key, low-volume rally in U.S. stocks over the past week suddenly caught fire on Wednesday in a St. Patrick's Day rally that brought the Dow Jones Industrial Average to its seventh-straight rising day, its best performance in seven months and its highest close since shortly after Lehman Brothers collapsed. See David Callaway.

The number of people applying for unemployment benefits fell by 5,000 in the latest week, marking the third straight drop, but there's little evidence companies are ready to hire at a pace that would sharply reduce the nation's high jobless rate. See story on jobless claims.

U.S. consumer prices were unchanged on a seasonally adjusted basis in February, as falling energy prices offset increases in prices of cars, medical care and food, the Labor Department reported Thursday. See Economic Report.

Members of the Senate Banking Committee appeared close to a bipartisan deal on bank-reform legislation last week, but the panel is now likely to vote out a package next week strictly along party lines -- complicating its chances for passage in the full Senate this spring.

Personal Finance Daily: Good luck bridging gap between lenders, borrowers

2010-Mar-14 - Slow financial regulatory reform irks industry

BOCA RATON, Florida (Reuters) – The pace of financial regulatory reform remains slow even as the global economy struggles to recover from a crisis that many say was caused by inadequacies in the current system, attendees at an annual financial conference said this week.

Now 18 months after the financial crisis that sparked a global recession, frustration and anxiety over the ongoing uncertainty was palpable at the Futures Industry Association's annual conference here.

"An astounding fact to me is that we are sitting here in March 2010 and we've done nothing in the way of financial reform up to now, nothing," Alan Blinder, an economics professor at Princeton University, said in a speech. "That's an amazing event in itself. We hope it's not going to end in nothing, but so far it's nothing."

Most players in the financial industry still expect some type of reforms to be enacted throughout the system but there was no consensus about what the new structure will look like.

"The early indications that regulators were really going to be moving aggressively were obviously very welcome by us, and it's pretty clear that that's still going to happen," Roger Liddell, CEO of LCH.Clearnet, Europe's top independent clearinghouse, said in an interview on the sidelines of the conference. "But the rate at which it's happening is perhaps slower than people might have expected."

The uncertainty is making it difficult for financial firms to make any long-term plans. Some prospective clients have put off signing up with LCH until they get more guidance from regulators and legislators, Liddell said.

But some feel that the lengthy process was not having a negative effect on the industry.

"I don't have the sense that this is taking too long or that they're moving too quickly," International Securities Exchange Chief Executive Gary Katz said in an interview. "And I don't think it has anything to do with whether the stock market is going up or down high quality business cards."

The United States, the European Union and others continue to debate and craft new rules, some of which face stiff industry resistance. U.S. Sen. Christopher Dodd, chairman of the Banking Committee, said on Thursday he would present his own version of a financial reform bill after compromise talks with Republicans collapsed.

The Senate bill is expected to tighten bank and capital market oversight, and include measures for consumer protection, systemic risk, and an OTC derivatives crackdown. The European Commission is expected to publish a draft law on derivatives clearing by July.

"It seems like a lot of the regulatory efforts are losing steam, like in any other crisis," said Gerald Corcoran, chairman and CEO of R.J. O'Brien, the top independent U.S. futures brokerage with about $2 billion in client assets.

"Whatever it is, there's a high intensity level shortly after the crisis, and they tend to lose steam after a while if you don't get things done right away," he added.

It will take months to implement any laws that are passed, delaying their impact on financial dealings until more than three years after the crisis started.

"The reality is, the timing of the European Union and U.S. proposals, when you look at what it is going to take to implement them, we are looking at the same timetables," said Commodity Futures Trading Commission Commissioner Jill Sommers.

"Even if legislation in the United States were to pass this year, there is going to be a long period for rule-making. You are probably looking at 2012 for the both of us to have things in place."

(Additional reporting by Ann Saphir; Editing by Richard Chang)

Slow financial regulatory reform irks industry

2010-Mar-12 - A.I.G.s Sale of Its Taiwan Unit in Regulatory Limbo

HONG KONG — American International Group has managed to agree to jumbo asset sales this month, but a smaller disposal — that of its Taiwan life insurance unit, Nan Shan Life — remains in regulatory limbo.

A.I.G. agreed to sell Nan Shan to a consortium consisting of Primus Financial Holdings, an independent Hong Kong investment company founded by a former senior Citigroup banker, and China Strategic Holdings, an investment firm, for $2.15 billion last October.

But the proposed sale has raised regulatory hackles in Taiwan amid concerns that funding for the deal may ultimately come from China, which still has a tense relationship with the island nation. Despite a thawing in those tensions, companies with large mainland Chinese shareholdings face restrictions from investing in Taiwanese companies.

At a parliamentary hearing on Thursday, Hwang Jung-Chiou, vice minister at the ministry of economic affairs, said there was no indication that funds from China were being used, Bloomberg News reported. But Taiwan will conduct more checks overseas on the origin of the funds, he said, adding that he hoped the approval process could be completed in the first half of the year.

The prospective buyers did not comment on Thursday and a spokesperson at A.I.G. in Taiwan could not be reached from comment.

But a person with direct knowledge of the transaction, who declined to be identified due to its sensitive nature, downplayed the regulatory scrutiny, saying that the length of time it has taken to get approval was not unusual flexcheck cash advance.

The consortium has in the past stressed that the transaction is not being financed by funds from China.

Nan Shan is one of the largest life insurers in the relatively mature Taiwan market, with total assets exceeding $46 billion and about 4 million policy holders. Robert Morse, Primus’ chairman and co-chief executive officer, described it as “the crown jewel of the insurance industry in Taiwan” when the prospective deal with A.I.G. was announced last October.

At that time, the Nan Shan sale was the largest in a series of disposals made by A.I.G. as it sought to raise cash to pay back its massive U.S. taxpayer-financed rescue.

Two much larger disposals announced this month will fetch A.I.G. a combined $51 billion: American Life Insurance Co., or Alico, is being sold to MetLife, while the Asia-focused life insurer American International Assurance will be purchased by Prudential, a major British insurer.

A.I.G.'s Sale of Its Taiwan Unit in Regulatory Limbo

2010-Mar-10 - Turkish PM rules out IMF stand-by deal

ISTANBUL (AFP) – Turkey will not sign a loan stand-by deal with the IMF as it does not need emergency funds, the premier said Wednesday, ending nearly two years of talks dogged by disagreement on key issues.

"At this point, Turkey's outlook as a country that is able to stand on its own feet economically has led the IMF to also believe that there is no need for a stand-by deal," Prime Minister Recep Tayyip Erdogan said in televised remarks.

"We have jointly reached the conclusion that there will be no agreement."

Erdogan cited failure to reach an accord with the International Monetary Fund on many issues as one of the reasons ruling out a loan facility.

"We have principles and it is out of the question for us to make concessions on these. I have already said we would not say 'yes' to such demands," he added.

Erdogan has often accused the IMF of making "political demands" but the Washington-based group has never disclosed details of its differences with the Turkish government.

Earlier Wednesday, Economy Minister Ali Babacan suggested that the talks had been put on hold but left the door open to the possibility of resuming them.

"We thought it would be beneficial for us and them (the IMF) to take a break and look ahead," Babacan said, noting that a stand-by deal was "not an urgent need, an obligation.

"There will be no talks on a deal until May" when an IMF staff mission will visit Turkey to evaluate the country's economic outlook and policy plans, the first such visit in three years, he added.

Turkey and the IMF have been discussing for nearly two years the terms of a fresh stand-by deal since a 10-billion-dollar programme expired in May 2008.

IMF stand-by deals come with conditions attached, setting down guidelines and commitments for recipient governments that can be very unpopular as they usually entail spending cuts to help restore public finances auto loans for people with bad credit.

Business circles and financial markets had been pressing the government for a new IMF deal as the global financial crisis plunged the country into a recession but they have largely given up hope of seeing an accord.

"The government does not have sufficient incentives to agree to a deal with the IMF in view of the ongoing sequential recovery and recent credit rating upgrades," Inan Demir, chief economist at Finansbank, said in a research note.

"Since late January, the IMF issue seems to have slipped from the market agenda and it is fair to say that market participants, at least to some extent, have been resigned to the possibility that stand-by talks with IMF will not lead anywhere," he added.

The Turkish economy was hit hard by the global economic crisis, with gross domestic product contracting 8.4 percent in the first three quarters of 2009.

Inflation fell to 6.53 percent last year, undershooting the official target of 7.5 percent but unemployment rose to record levels, hitting 16.1 percent at one time.

But since late last year, there have been signs of recovery. The rate of economic contraction has decelerated, inflation has begun to creep up and unemployment has shown signs of easing.

According to IMF estimates, the Turkish economy likely shrank 6.5 percent in the whole of 2009 before returning to growth of 3.7 percent this year.

In January, international ratings agency Moody's upgraded Turkey's debt and changed the outlook from stable to positive, with Standard & Poor's taking a similar line last month.

Turkish PM rules out IMF stand-by deal

2010-Mar-6 - Blount International 4Q earns drop 6 percent

PORTLAND, Ore. – Blount International Inc., which makers chains for saws, said Friday that its fourth-quarter earnings fell 6 percent as one-time costs outweighed a gain in sales.

Blount also raised its sales forecasts for 2010.

The company said it earned $6.5 million, or 13 cents per share, down from $6.9 million, or 14 cents per share in the year-ago quarter. The 2009 results include $8.6 million in expenses related to legal settlements, which amounted to a 12-cent-per-share impact.

Sales rose 6 percent, led mostly by international sales, to $141.5 million.

Analysts polled by Thomson Reuters, who typically exclude one-time items, expected Blount to report earning 23 cents per share on sales of $141 million instant payday loans completely online.

The company said it now expects 2010 sales to grow between 6 percent to 10 percent, ranging from $530 million and $550 million. Blount said it expects customers to continue restocking their inventories this year.

For all of 2009, Blount earned $22 million, or 48 cents per share, on revenue of $502 million.

Blount shares rose 21 cents, or 1.8 percent, to $11.50 in late trading.

Blount International 4Q earns drop 6 percent

2010-Mar-4 - Jobless, productivity data lift recovery hopes

WASHINGTON (Reuters) – The number of U.S. workers filing for jobless benefits fell last week, but a surprise drop in pending home sales to a 10-month low in January underscored the uneven nature of the economic recovery.

Initial claims for state unemployment benefits dropped 29,000 to a seasonally adjusted 469,000, the Labor Department said on Thursday, in line with market expectations.

Separately, a trade group said pending sales of previously owned homes dropped 7.6 percent in January to their lowest since March last year. Analysts had expected a 1 percent rise.

"We expect the economic recovery to be gradual and uneven. Considering the severity of the recession we are coming out of, it's not surprising we are hitting a few bumps," said Ryan Sweet, an economist at Moody's Economy.com in West Chester, Pennsylvania.

Stocks ended higher as the weak housing report was offset by the jobless claims data and solid February retail sales. Prices for shorter-dated Treasury debt fell, while the dollar rose broadly.

U.S. retailers posted their strongest monthly sales performance last month since before the start of the recession in December 2007 as leaner inventories allowed for more sales at full price. This should bode well for overall retail sales in February.

The claims data, which came a day before the release of the government's closely watched employment report for February, offered hope that job growth remained in sight.

However, they did not provide a signal on the Friday report, which is expected to show a big loss of jobs due to major snowstorms that hammered much of the country last month.

According to a Reuters survey, U.S. nonfarm payrolls are forecast to have fallen 50,000 last month after slipping 20,000 in January. The median forecast from the 20 most accurate forecasters also sees payrolls falling by 50,000 while the 10 most accurate economists predict a 70,000 decline.

The labor market is being anxiously watched to see whether the economy's recovery from the worst downturn since the 1930s will be sustained when support from government stimulus and the rebuilding of inventories fade this year.

POLITICAL HEADACHE

President Barack Obama has made tackling unemployment his number one priority since he and fellow Democrats fear voter backlash in November congressional elections if no progress is made in reducing it.

Congress this week extended jobless benefits for 400,000 people who otherwise would have exhausted them in coming weeks. A recent spike in jobless claims had given rise to fears the labor recovery could be stalling, but that was largely allayed by the latest drop business cards.

Reports on consumer spending and manufacturing this week suggested the economic recovery remained on course, with the jobs picture steadily improving.

"Anecdotal and statistical evidence in February suggest the labor market continues to improve on an underlying basis," said Omair Sharif, an economist at RBS in Stamford, Connecticut. "Though the weather may have depressed the jobs figures in February, we continue to expect healthy payroll growth in the coming months."

A separate report from the Commerce Department showed U.S. factory orders rose 1.7 percent in January on top of a 1.5 percent December rise, indicating the recovery in manufacturing was becoming entrenched.

Even as the economy buckled from the downturn, nonfarm productivity rose at a brisk 6.9 percent annual rate in the fourth quarter, a second Labor Department report showed, rather than the 6.2 percent pace estimated last month.

Some analysts believe companies cannot continue to boost output without starting to hire new workers. Others reckon companies will hold off new hires while gauging the strength of the recovery and instead opt to extend working hours and make temporary workers permanent staff.

"Firing activity has largely tapered off but new hiring has yet to pick up. Firms are still squeezing productivity out of the current workforce and are reluctant to add new hires," said Zach Pandl, an economist at Nomura Securities International in New York.

Unit labor costs, a gauge of inflation and profit pressures closely watched by the Federal Reserve, fell a sharp 5.9 percent in the fourth quarter, more than initially estimated.

Compared to a year earlier, unit labor costs were down a record 4.7 percent. This should help the Fed -- the U.S. central bank -- to honor its pledge to keep benchmark interest rates at ultra-low levels for a while to nurture the recovery.

There were other encouraging signs in the claims report, with the four-week moving average of new claims falling to 470,750. The number of people still receiving benefits after an initial week of aid dropped to 4.5 million in the week ended February 20, the lowest since early January 2009.

(Additional reporting by Doug Palmer and Corbett Daly; Editing by James Dalgleish)

Jobless, productivity data lift recovery hopes

2010-Mar-2 - Mindray 4Q profit rises on greater sales in China

NEW YORK – Medical device maker Mindray Medical International Ltd. said its profit grew 18 percent in the fourth quarter due to greater sales in China.

The Shenzhen-based company said late Monday it earned $37.4 million, or 33 cents per share, up from $31.6 million, or 28 cents per share, a year earlier. Its revenue rose 12 percent to $188.8 million from $167.9 million.

Mindray said revenue in China rose 20 percent to $87.5 million, and international revenue increased 6 percent to $101.3 million.

By segment, patient monitoring and life support revenue rose 5 percent to $82.7 million, in vitro diagnostic product revenue climbed 24 percent to $45 cash advance america.8 million, and medical imaging system revenue picked up 12 percent to $48.5 million, Mindray said. Other revenue rose to $11.8 million from $8.4 million.

The company's annual profit rose 28 percent to $139.2 million, or $1.23 per share, from $108.7 million, or 96 cents per share. Its revenue increased 16 percent to $634.2 million from $547.5 million.

In afternoon trading, Mindray shares added 79 cents, or 2 percent, to $39.24.

Mindray 4Q profit rises on greater sales in China

2010-Mar-1 - Vivendi 4th-quarter net loss narrows 32 pct

PARIS – Vivendi SA said Monday its net loss narrowed by 32 percent in the fourth quarter due to lower financial charges, even though it made a euro550 million ($746 million) provision to cover possible fines from a U.S. class action suit brought by shareholders.

The French media and entertainment giant added in a statement that the amount of damages it might have to pay "could differ significantly" from the euro550 million provision after a jury in the United States said Vivendi lied to the public about its shaky finances.

Vivendi said its net loss in the fourth quarter of last year was euro958 million ($1.3 billion) compared with euro1.4 billion a year earlier, thanks to lower financial charges.

The company was found liable for lying about its finances in a January verdict in U.S. District Court in Manhattan.

Vivendi has said it will appeal.

In Monday's statement, chairman Jean-Bernard Levy said Vivendi will "continue to vigorously defend the company and its current shareholders against the unfounded claims we and they are suffering."

Lawyers on both sides said any potential payouts if the appeal fails are more than a year away.

Thousands of investors from the United States, France, England and the Netherlands said Vivendi covered up its troubles in 2001 and 2002 as the one-time public water company grew into a media and communications empire. The company flirted with bankruptcy before reorganizing successfully.

Vivendi's media and entertainment holdings include the world's largest music company, Universal Music Group, and pay television service Canal Plus payday advance. It also owns SFR, the French mobile telecommunications operator, and Santa Monica, Calif.-based Activision Blizzard, the video game producer behind titles such as "Call of Duty" and "World of Warcraft."

Last year, Vivendi agreed to sell its 20 percent stake in U.S. media giant NBC Universal for $5.8 billion to General Electric Co. Now, GE and Philadelphia-based Comcast Corp. plan to form a joint venture, with Comcast eventually taking a 51 percent stake in the business.

Vivendi also lbought Brazilian telecom operator GVT last year for euro2.8 billion.

Vivendi's fourth quarter loss left its net profit for the full year at euro830 million, down 68 percent from euro2.6 billion in 2008, due to higher financial charges.

The company's underlying profit, which excludes most non-recurring and non-operating items and is the measure watched most closely by financial analysts, fell 5.5 percent last year to euro2.59 billion.

Universal Music Group, behind acts such as Black Eyed Peas, Taylor Swift and Lady Gaga, saw earnings and sales slide last year as free music downloads continued to eat into CD sales.

SFR, France's No. 2 mobile operator saw earnings stagnate despite slightly higher revenue last year due to new taxes and lower inter-operator fees. New regulations in some of the operators' biggest markets lowered the fees operators pay one another to send calls over each others' networks.

Vivendi 4th-quarter net loss narrows 32 pct

2010-Feb-26 - TaxWatch: The top tax breaks you can get without itemizing

LOS ANGELES (MarketWatch) -- By 2020, the U.S. Department of Health and Human Services projects a 1 million shortfall of full-time equivalent nurses. To fill the need, Hayley quit her job last year to go back to nursing school at her local hospital.

But when you read IRS's rules for deducting education expenses, it turns out her hospital is not among the "eligible educational institutions" because it is not signed up with the government to receive federal funding. Can't she get any tax benefits?

We all know students are perpetually poor. But there are tax benefits for students -- and others -- and you can claim them even without itemizing.

In Hayley's case, there's more to the definition than just being eligible for funding: It's inconceivable that a nursing school wouldn't have some kind of accreditation. So Hayley went back and learned that the hospital was accredited through the Commission on Accreditation of Allied Health Programs..

As a result, Hayley is entitled to the education credits available through the American Opportunity Credit, worth up to $2,500 per student, for the first four years of college.

There are several other education credits available, too. All of them are available to you -- even if you cannot itemize on your tax return. You can find more information at the IRS Education Credits Web page http://www.irs.gov/newsroom/article/0,,id=107670,00.html.

Incidentally, nurses who need help paying their student loans can apply for the Nursing Education Loan Repayment program. You have until March 11 to apply, where the U.S. government will pay up to 60% of your student loan in exchange for 2 years of your time. Oh yes, you'll also get a salary, benefits and valuable experience along the way. http://www.hrsa.gov/loanscholarships/repayment/nursing/

You've probably heard that term tossed around often, when talking about tax returns. Most people misunderstand it. When it comes to income tax returns, itemizing has a very specific meaning: expenses listed on your Schedule A. Why is this significant? Because when you itemize, you replace the standard deduction that is built into the tax return, with actual expenses. See five reasons why itemizing your deductions may not make sense.

For 2009 the standard deduction is worth $5,700 for single people and married persons filing separately, $11,400 for couples filing jointly and $8,350 if you are head of a household.

Most people without mortgage interest cannot itemize. Or, if your deductions are very close to the standard deduction, there's no point in using them. After all, when you use the standard deduction, there's nothing to audit.

Except! Your state may have a lower standard deduction than IRS. Be sure to check on that before you forgo entering the details on the Schedule A worksheet in your software.

If you use any other schedule, you may well be entitled to other deductions or credits, but you are not "itemizing."

What else can you do, if you don't itemize?

There are three ways to get a wealth of tax benefits, with nary an itemized deduction:

The new Schedule L. It adds dimension to your standard deductions.

Adjustments to income. You'll find those at the bottom section of your Form 1040.

Tax credits. There are two sections of credits on page 2 of your Form 1040.

The magical new Schedule L is kind of free pass for non-itemizers http://www.irs.gov/pub/irs-pdf/f1040sl.pdf.

This year, you and your spouse each get an extra standard deduction of up to $500 for property taxes you have paid. Either enter that information on your software's Schedule A worksheet or see if they have an input page for the new Schedule L.

Deduct the sales tax you paid on the new car you bought in 2009 businessñards. If your state doesn't have any sales taxes, you may be able to deduct some of the vehicle title fees. Read IRS's specific instructions here, http://www.irs.gov/newsroom/article/0,,id=204519,00.html

Folks who faced net disaster losses last year can also use them on that same Schedule L and still keep all your standard deductions.

Have you ever looked at lines 23-37 on your Form 1040? It's a gold mine of tax benefits. Some are puny, like the whopping $250 for educators' teaching supplies. Some are major, like the retirement plan contributions and self-employed health insurance on lines 28 and 29.

Often overlooked are the benefits on line 24 for performing artists, reservists and fee-based government officials. If you meet the criteria for these types of employment, you can deduct all your business and travel expenses here, instead of as losing most of them as itemized deductions, or having to use an entire Schedule C. Read chapter 26 of IRS Publication 17 for all the details http://www.irs.gov/publications/p17/ch26.html

Most people haven't bothered to get familiar with Health Savings Accounts or Health Savings Arrangements. When you or your employer can only afford health insurance with a high deductible you can set aside money in a Health Savings account that acts very much like an IRA. You get to deduct the amount you deposit into it now and if you don't draw the money out to pay medical expenses it grows tax-free until you need it. Read more about this in IRS Publication 969 http://www.irs.gov/publications/p969/ .

Other things that may be deducted as adjustments to income don't even appear on the form. They include things like expenses from the rental of personal property; attorney fees and certain costs for actions involving certain unlawful discrimination claims or awards to whistleblowers; jury duty pay given to your employer. Read all about the tax breaks in Chapter 4 of IRS Publication 17. http://www.irs.gov/publications/p17/pt04.html

Credits are much better than deductions any day: $1 of credits reduces your taxes by $1. $1 of deduction only reduces your taxes by your tax bracket -- typically 25% to 28%. Which would you rather get -- 25 cents or $1?

Fundamentally, you have two types of credits -- refundable and nonrefundable.

Nonrefundable credits may reduce the taxes you owe to zero. But if there is any credit left over after you wiped out your tax you lose the rest of the credit. That's the case with the Child and Dependent Care Credit and the Retirement Savings Contribution Credit. Did you even know that you might be entitled to a credit for making a contribution to your IRA, 401(k) or other retirement account? Yup. If your income is low enough.

The good credits are the refundable credits. Not only do they reduce your tax to zero, when there's anything left over you get to keep that money. Some examples are the Earned Income Credit and the Homebuyers Credit.

The tax code refines credits even further. Aside from purely refundable and nonrefundable credits, we have another subgroup -- credits you can carry over to the future. This includes Adoption Credits, Foreign Tax Credits and there is even a credit for Alternative Minimum Taxes you've paid in the past.

There are at least 18 credits that average personal taxpayers can use to their advantage. There are many more for large businesses and researchers.

Invest some time and read Chapter 6 of IRS Publication 17. http://www.irs.gov/publications/p17/pt06.html

Yes, you've been seeing many references to IRS Publication 17. This is a treasure trove of information about ways to cut your taxes -- as well as general information about how your taxes work. Every person who prepares their own tax return should have a dog-eared copy of this big blue paperback book.

Call the IRS forms hotline at 1-800-TAX FORM (800-829-3676) to get your own copy. It's much easier to use and read if you can carry it around, write notes, use Post-Its and mark it up.

Or,...just download the PDF file into your Kindle or other e-book reader that gives you're the ability to add notes -- http://www.irs.gov/pub/irs-pdf/p17.pdf .

Eva Rosenberg is the founder of TaxMama.com and an enrolled agent licensed to represent taxpayers before the IRS. Visit her new Web site at www.TaxMama.com

TaxWatch: The top tax breaks you can get without itemizing

2010-Feb-25 - World stocks fall as new Greece worries weigh

HONG KONG – World stock markets dropped along with the euro Thursday amid growing concerns about Greece's ability to bring its debt crisis under control.

Major markets in Asia were down around 1 percent or less and European shares opened lower. The euro fell to near its lowest point against the dollar in about nine months before recouping some losses. Oil prices slipped below $80 a barrel.

Despite solid overnight gains in the U.S. and Europe, Asian stocks were unable to hold their early advance as Greece's crisis and the prospect of spillover effects led investors to cut back their bullish bets.

Standard & Poor's, one of the three leading credit ratings agencies, warned Wednesday it could cut its rating on the country within a month. Meanwhile, Greece convulsed with labor protests over austerity measures demanded by the European Union to ease the crisis.

"The market is questioning whether Greece will have the willpower to implement the cuts," said Khiem Do, a Hong Kong-based fund manager who helps oversee more than $10 billion in Asian equities at Baring Asset Management. "They don't trust that Greece will drink the bitter medicine it needs."

Worries about Greece outweighed more assurances from U.S. Federal Reserve Chairman Ben Bernanke borrowing costs will stay at rock-bottom lows. Speaking to lawmakers, Bernanke said low rates were needed "for an extended period" to help keep the economic recovery on track and Americans hard-hit by high unemployment and falling housing prices cash advances pay day loan.

As trading opened in Europe, markets in Britain and Germany shed 0.2 percent, and France's CAC-40 dropped 0.3 percent. Wall Street was set to open down after U.S. futures fell.

Earlier in Asia, the Nikkei 225 stock average fell 96.87 points, or 1 percent, to 10,101.96. Shares of Toyota Motor Corp. edged down 0.2 percent after president Akio Toyoda, appearing before U.S. lawmakers, apologized for safety lapses that have led to deaths and widespread recalls.

South Korea's Kospi lost 1.6 percent to 1,587.51 and Hong Kong's Hang Seng fell 0.3 percent to 20,399.57.

Elsewhere, Australia's market dropped 1.2 percent while India's market gained 0.1 percent. Shanghai's benchmark defied the downward swing, rising 1.3 percent.

The euro fell to $1.3484 from $1.3534, hitting a low of $1.3452 during the session. The dollar slid to 89.40 yen from 90.10 yen.

In oil, benchmark crude of April delivery was changing hands at $79.59 a barrel, down 41 cents from the previous session. The contract gained $1.14 overnight.

Wednesday on Wall Street, the Dow rose 91.75, or 0.9 percent, to 10,374.16. The advance pared the Dow's loss for the week to 28 points.

The broader Standard & Poor's 500 index rose 10.64, or 1 percent, to 1,105.24, and the Nasdaq composite index rose 22.46, or 1 percent, to 2,235.90.

World stocks fall as new Greece worries weigh

2010-Feb-24 - The F.D.I.C. Mission to Face Problem Banks Early

Killing zombies isn’t just a job for horror movie heroines. It’s also the primary task of Sheila C. Bair, the head of the Federal Deposit Insurance Corporation.

Ms. Bair’s challenge has increased as the number of so-called problem banks on the F.D.I.C.’s watch list has spiked. But there is little reason the F.D.I.C. can’t exterminate the banking industry’s living dead.

On Tuesday, the agency reported that 702 problem institutions were on its watch list as of the end of 2009. Those institutions had combined assets of $403 billion, or the equivalent of 3 percent of the nation’s economic output. While those figures may seem scary, the F.D.I.C. also managed to collect $46 billion in new cash from banks, bringing its total cash and liquid securities to $66 billion.

That may not seem to be much of a cushion. After all, the average estimated loss rate for bank failures since 2007 — excluding the collapse of the giant Washington Mutual — is 23 percent of assets.

Assuming no truly gigantic banks founder — that is, the ones considered “too big to fail” — the F.D.I.C.’s kitty is currently around $27 billion shy of being able absorb all its sick banks.

Not all of the banks on the F.D.I.C.’s list will be seized. Many banks work their way through difficulties, raise private capital or are taken over by healthier rivals. And the F.D.I.C. can levy another special assessment on banks before asking the taxpayer to pitch in. Add it all up, and the F.D.I.C. has no financial excuse to avoid cleaning up the mess.

Yet the pace of bank seizures — up by half so far this year — hasn’t kept pace with the growth of the problem bank list. The worry is that zombie banks will suck up deposits and hoard capital that might otherwise be lent out by healthy institutions.

The winter storms that closed down Washington this month complicated travel plans for F.D.I.C. staff members. But the main lesson from the savings-and-loan debacle of the 1980s and 1990s was that delays in closing insolvent banks increase resolution costs for the F.D.I.C. and, ultimately, taxpayers.

With spring around the corner, Ms. Bair needs to set her sights on a big zombie hunting trip.

Japan’s Recovery

The conventional wisdom is that Japan has never really recovered from the bursting of the stock market and real estate bubbles in 1990 sears kerosene heaters. That view is basically wrong.

Sure, prices have not recovered. The stock market is still almost 75 percent below its peak, and land prices are down 60 percent. After two decades of nearly stable consumer prices, the Japanese government is once again badgering the central bank to do something to create a bit of inflation.

This appeal, like so many before it, is likely to end inconclusively. Japan will continue with its longstanding pattern of near-stable prices, slow growth and gargantuan government deficits. But the economy is basically in pretty good shape.

While the economic growth — about 1 percent a year since 1990 — seems unimpressive, the number of people below retirement age has been shrinking by 0.4 percent a year. Annual growth in per capita gross domestic product in the United States over the same period was 1.4 percent — not much different from Japan’s.

Other economic indicators suggest Japan is managing pretty well. Even midrecession, car sales are only 20 percent less than at the 1990 peak.

Housing starts are down 50 percent, but the population was rising then and is declining now. The 5 percent unemployment rate is modest by Western standards. And the 1.4 percent yield on the 10-year government bond hardly seems a vote of no confidence in the government or the country.

The country’s financial burden — gross government debt at 200 percent of G.D.P. — could yet prove too much to bear for a rapidly aging and steadily declining Japanese population. But for now, Japan should be more a sign of hope than gloom for the United States, Britain and euro zone countries that have endured a severe financial collapse.

Japan had advantages in dealing with its financial collapse. It has a high savings rate, a big trade surplus and a powerful tradition of cultural and political unity. Few Western countries have all of these. Most also face almost Japanese-style demographic challenges. They will be fortunate to do as well as Japan.

ROLFE WINKLER and EDWARD HADAS

The F.D.I.C. Mission to Face Problem Banks Early

2010-Feb-23 - TeleTech shares fall, 4Q profit misses Street view

ENGLEWOOD, Colo. – Shares of TeleTech Holdings Inc. fell Tuesday after the call center operator reported fourth-quarter earnings that fell short of Wall Street's expectations.

Late Monday, the company said it earned $20 million, or 31 cents per share, compared with $14.1 million, or 22 cents per share, in the prior year's quarter.

Revenue fell to 14 percent to $280.8 million from $326 million.

Analysts were expecting a profit of 32 cents per share and revenue of $280.7 million, according to Thomson Reuters.

For the year, TeleTech earned $71.8 million, or $1.12 per share. That compares with $73.7 million, or $1.06 per share, in 2008 best humidifiers. Revenue fell to $1.17 billion from $1.4 billion.

Looking ahead, TeleTech said it's comfortable with analysts' forecast of its 2010 revenue, which came in at $1.16 billion.

TeleTech also said its board expanded its stock buyback plan by $25 million. That's in addition to $26 million still available under the prior authorization for share buybacks set in September.

Shares of TeleTech, based in Englewood, Colo., fell 92 cents, or 4.8 percent, to $18.42 in afternoon trading.

TeleTech shares fall, 4Q profit misses Street view

2010-Feb-20 - Bloomberg Shifts $5 Billion Out of Friend’s Firm

Mayor Michael R. Bloomberg of New York has decided to remove his fortune from a private equity firm founded by his longtime friend, 10 months after that firm became embroiled in a scandal involving the state pension fund.

The mayor is shifting about $5 billion from Quadrangle into a new investment firm devoted solely to his interest and that of his charitable foundation. About a dozen employees of Quadrangle will join the new enterprise, suggesting the move is not being driven by a desire to change investment strategy. According to a letter that Quadrangle sent to its investors on Friday, the mayor was seeking privacy and flexibility for his investments.

In assets, Quadrangle will shrink by more than half, leaving the firm only private equity investments in the media and telecommunications industries. The setback caps a year of struggle for Quadrangle, after Steven Rattner — the founder who is Mr. Bloomberg’s friend — departed last year to run the Obama administration’s automobile task force. Mr. Rattner was linked to the New York pension fund investigation within months of that appointment and stepped down from his government role last summer.

No charges have been brought against the firm or Mr. Rattner by the attorney general of New York or the Securities and Exchange Commission, which are both investigating Quadrangle’s past dealings with the New York state pension fund.

Mayor Bloomberg’s private fortune — built around his media business, Bloomberg L.P. — fueled his improbable victory in the 2001 mayoral campaign and helped secure a close re-election last fall.

His decision to relocate his money may fuel speculation about his political ambitions: he is considered a potential candidate in the presidential campaign of 2012. If he were to run, he would undoubtedly finance the campaign himself, at a staggering cost. His aides previously put the price tag at $1 billion.

The mayor’s decision to disentangle himself from Quadrangle ends a chapter in a partnership that elevated Mr. Rattner into greater prominence in government and business, and that allowed Mr. Bloomberg to take bigger risks with his overall fortune, which is estimated at $15 billion, including his large stake in the media company.

Since leaving government, Mr. Rattner has been writing a book on the automobile industry, scheduled for a fall release, and has not said if he is looking to return to finance.

It is unclear whether Mr. Rattner might work with the mayor again. As the pension investigation unfolded, Mr. Bloomberg has steadfastly defended Mr. Rattner. At the time, the mayor praised his work and called him “a great public servant.” Initially, the mayor said he had no plans to take his investments elsewhere.

Mr. Bloomberg and Mr. Rattner remain close, frequently dining together and speaking by telephone, according to mutual friends.

Questions about Mr. Rattner’s involvement with the state pension fund emerged when the S.E.C. filed a case against middlemen who helped investment firms like Quadrangle garner business from the state. One of the middlemen was producing a movie called “Chooch,” and a company owned by Quadrangle made a deal to distribute that low-budget film, according to the S Payday advance.E.C., which was investigating kickbacks.

Spokesmen for Quadrangle and Mr. Rattner declined to comment.

A spokesman for the mayor, Jason Post, said: “The fact that the mayor will be hiring the same team Quadrangle put together to manage these funds shows how pleased he is with their performance, which has been excellent. He has nothing but good things to say about the job Quadrangle has done.”

Mr. Post said that the mayor’s decision to move his money out of Quadrangle was unrelated to the state pension fund investigation.

Quadrangle has spent the last year trying to refashion itself without Mr. Rattner and focus on private equity. Investors in one of the firm’s funds voted last spring to allow the firm to continue making new investments, even though they had an option to withdraw their capital when Mr. Rattner left.

Mr. Rattner cut his ties with Quadrangle when he became a special adviser to the Treasury Department, though he still had substantial money invested with the firm. Mr. Rattner is a prominent Democratic fund-raiser, and seemed to relish the return to Washington, where he began his career as a reporter for The New York Times.

Mayor Bloomberg accounted for a substantial part of Quadrangle’s business, but because he paid lower fees than other clients, his business was less profitable for the firm.

The mayor’s selection of Quadrangle in 2008 to manage his investments was unexpected: at the time, the firm was known for brokering and investing in media deals, not as a money manager. When the firm created a new division to handle Mr. Bloomberg’s money, called Quadrangle Asset Management, it had just one client: Mr. Bloomberg.

Quadrangle recruited Alice Ruth, who had managed the personal fortune of Gordon Moore, Intel’s co-founder, to run the unit. Ms. Ruth will join the mayor’s new money management office.

Under guidelines approved by New York City’s conflicts of interest board, the mayor’s investment portfolio is managed like a blind trust, though he retains control and access to certain investment decisions, and receives regular updates on its performance.

Quadrangle’s private equity business has remained separate from the asset management unit. The firm’s first private equity fund, raised in 2000, has already returned the full amount to its investors and retains stakes in several companies. The firm’s second fund, raised in 2005, has about $500 million left to invest and was up 19 percent last year, according to the investor letter.

Despite his reputation as a financial wizard, Mr. Bloomberg did not fare particularly well in the stock market in 2008. His tax returns, abridged for presentation to the news media, showed that he lost millions on his investments as the entire market plunged, including those managed by Quadrangle.

Bloomberg Shifts $5 Billion Out of Friend’s Firm

2010-Feb-19 - APNewsBreak: Top UN climate official resigning

AMSTERDAM – Yvo de Boer, the top U.N. climate change official, told The Associated Press Thursday that he was resigning after nearly four years, a period when governments struggled without success to agree on a new global warming deal.

His departure takes effect July 1, five months before 193 nations are due to reconvene in Mexico for another attempt to reach a binding worldwide accord on controlling greenhouse gases.

De Boer said from Bonn, Germany that he was announcing his departure now to allow U.N. Secretary General Ban Ki-moon to find a successor well before the Mexico conference.

The media-savvy former Dutch civil servant and climate negotiator was widely credited with raising the profile of climate issues through his frequent press encounters and his backstage lobbying of world leaders.

But his constant travel and frenetic diplomacy failed to bridge the suspicions and distrust between developing and industrial countries that barred the way to a final agreement at the climate change summit in Copenhagen in December.

De Boer told the AP he believes talks "are on track," although it was uncertain that a full treaty could be finalized at the next high-level conference in November payday loans for bad credit.

The partial agreement reached in Copenhagen, brokered by President Barack Obama, "was very significant," he said But he acknowledged frustration that the deal fell short of consensus and was merely "noted" rather than formally adopted by all countries.

"We were about an inch away from a formal agreement. It was basically in our grasp, but it didn't happen," he said. "So that was a pity."

He said the disappointing Copenhagen outcome was unrelated to his decision to quit, and that he had begun looking for a new job last year before the summit.

But de Boer appeared to be more disheartened by the snail-paced negotiations than he was ready to admit.

"I saw him at the airport after Copenhagen," said Jake Schmidt, a climate expert for the U.S.-based Natural Resources Defense Council. "He was tired, worn out." The summit "clearly took a toll on him."

De Boer said he will be a consultant on climate and sustainability issues for KPMG, a global accounting firm, and will be associated with several universities.

APNewsBreak: Top UN climate official resigning

2010-Feb-17 - Judge rejects Canadian terror plotters entrapment defense

OTTAWA (AFP) – A judge rejected a terror plotter's entrapment defense Tuesday and upheld his conviction last month for attempting to bomb Canada's main bourse and other targets.

Shareef Abdelhaleem, 34, was found guilty as a member of the so-called Toronto 18 of participating in a "terrorist" group and attempting to "cause an explosion."

His lawyer, however, argued that Abdelhaleem had been "dragged in" by a former friend to the conspiracy aimed at provoking a Canadian withdrawal from Afghanistan.

"The court ruled that he was not induced or persuaded by the government agent to commit the crimes for which he was found guilty on January 21," the Public Prosecution Service of Canada said in a statement.

In handing down his decision the judge ruled that Abdelhaleem "took up the cause with full knowledge of what he was involved in," according to public broadcaster CBC.

"The evidence contains many instances where he advanced the bomb plot," the judge reportedly said on line pay day loans.

A sentencing date is to be set on Friday. Abdelhaleem faces up to a maximum sentence of life in prison.

The Toronto 18 were arrested during a police sting operation in 2006 and charged with plotting to bomb the Toronto Stock Exchange, Canada's spy agency offices and a military base using fertilizer explosives packed in rented trucks.

Members of the group allegedly sought to purchase three tonnes of the bomb-making ingredient ammonium nitrate from undercover police officers, who had switched it with an inert substance.

An agent was also recruited by police to infiltrate the group and collect evidence.

Abdelhaleem is the seventh person to be convicted in the terror plot. Charges were dropped against seven others, while four defendants still face trial.

Judge rejects Canadian terror plotter's entrapment defense

2010-Feb-13 - Toy makers crystal ball: High-tech on the cheap

NEW YORK – If the Zhu Zhu Pets taught a lesson, it's that a bit of technology and a low price tag can go a long way. Toy makers are taking that experience to heart.

From a digital Scrabble game that checks the words to a hovering UFO to miniature radio-control cars, toy makers are amping up the tech quotient but not prices.

Zhu Zhu Pets, the furry mechanical hamsters that zoom around, were the runaway hit of the holiday season. One key to their success: a price tag under $10.

The American International Toy Fair begins Sunday. This is the annual event where toy makers show off new offerings that will make their way into next year's stockings. Previews from toymakers and interviews with analysts make clear that the focus is on innovation and price. Few toys will retail for more than $100, and most will be priced below $30.

"There's still going to be some hesitancy to raise prices too much," said Needham & Co. analyst Sean McGowan. "Last year the feeling was under $30 is where you needed to be. This year there may be more willingness to be $30 to $50. But I don't think we'll see a wave of $300 stuffed horses again."

The toy industry performed a bit better during the holidays than it did in 2008, but the season was far from a bonanza. The NPD Group, which does market research, said toy revenue was flat because of discounts during the fourth quarter, but the industry sold 4 percent more toys. For the year, sales edged down 1 percent to $21.47 billion.

Tough times can spawn creativity.

"I've seen some really innovative products," said Jim Silver, an analyst at Timetoplaymag.com. He pointed to radio-control vehicles as combining innovation and low prices. One reason they're cheap: The cars themselves have shrunk, Silver said.

"What the industry has learned is that kids don't necessarily want 'bigger payday loans in one hour.' It's about the features, not the size of the vehicles," he said.

For $24.99, Mattel is offering tiny Hot Wheels radio-control Stealth Rides cars that fit in a case that doubles as the remote control. Spin Master has several radio-controlled offerings, including the Air Hogs Vectron Wave UFO flying saucer that can sense objects below it and hover above them. That also costs $24.99.

"Consumers like radio control, they just didn't want to spend $70," Silver said.

Prices have fallen as technology has advanced, much like the price drops in flat-screen TVs or laptops.

Some other technology-infused toys planned for 2010:

• Mattel is offering Sing-a-majigs, plush characters whose mouths move as they sing and who harmonize when activated together; available for $12.99 each; and a World Wrestling Entertainment Belt that contains a screen with animated light shows for $39.99.

• Hasbro developed Scrabble Flash Cubes. The word game uses cubes that each display one letter digitally. When players fit cubes together, the game can recognize whether they form valid words. And it can keep score.

• Hasbro also expands its Furreal Friends line with smaller Snuggimals that wag their tails and move when you pet them, retailing for about $7.99.

• Jakks Pacific is offering some high-tech spying gear for kids in its Spy Net line, including a video spy watch for $54.99 and a Pen Audio Bug for $24.99. Yes, they're just what they sound like — miniature video and audio recorders.

• Wowwee has developed a line of guitars and drum sets that are only about 1 inch thick called Paper Jamz. They're also $24.99.

Toy makers' crystal ball: High-tech on the cheap

2010-Feb-12 - Hedge Funds: Och-Ziff scraps annual high-water marks

SAN FRANCISCO (MarketWatch) -- Och-Ziff Capital Management Group, one of the world's largest hedge-fund firms, has given up a potentially lucrative edge over rivals after feedback from institutional investors.

Och-Ziff said Thursday that it scrapped annual high-water marks for its hedge funds, replacing them with perpetual high-water marks.

Hedge funds usually charge annual management fees of about 2% and take 20% or so of any profit each year as a performance or incentive fee. However, when funds lose money, they usually miss out on incentive fees until losses are recouped and returns climb back over the previous high, known as the high-water mark.

Hedge funds suffered record losses in 2008, so much of the industry operated without incentive fees in 2009 and some firms may be under water for several more years. That's difficult because top traders sometimes leave if they worry that they may miss out on big bonuses by sticking around. Without such investment talent, hedge fund firms can lose investors, compounding their troubles.

In contrast, Och-Ziff's high-water marks lasted only one year. That meant incentive fees could have kicked back in even if the firm's hedge funds failed to recoup all their losses. That gave Och-Ziff a big operational advantage over other firms, but it may have upset some investors. See story on Och-Ziff's edge.

Och-Ziff's hedge funds suffered record losses in 2008, but they rebounded strongly in 2009. By the end of last year, all the firm's funds had exceeded their high-water marks, so the annual high-water mark policy wasn't triggered. Read about Och-Ziff's quarterly results.

In 16 years, Och-Ziff has only had two years when it had to battle with high-water marks -- 2002 and 2008 -- and the firm recouped the losses in less than a year both times, Och-Ziff Founder Dan Och told analysts on a conference call Thursday free credit score.

If the annual high-water mark was never used by Och-Ziff, the firm may have given it up to compete better for new investor money that's beginning to flow back into the hedge fund industry, according to one analyst.

"Do we take that as a sign of, I guess, intense competition to get sort of limited inflows right now?" Roger Freeman, an analyst at Barclays Capital, asked during the conference call. "Because that wouldn't have been an issue for you this past year."

"That's not the conclusion at all," Och replied, according to a transcript of the call.

Och-Ziff is always asking investors what it can do better and the firm was told that it could make improvements in two areas. One issue was that institutional investors generally feel more comfortable with a perpetual rather than a one-year high-water mark, Och explained.

The firm also added a third-party administrator to independently verify the assets of its hedge funds and report the results monthly to investors.

"Given some things that occurred in the industry that did not relate to us, there's been a general focus in the industry towards some type of third-party administration or other verification," Och said.

The hedge fund industry was rocked at the end of 2008 by the Bernard Madoff Ponzi scheme. Many investors in the business were left with huge losses when it emerged that billions of dollars Madoff claimed to be managing didn't exist.

Hedge Funds: Och-Ziff scraps annual high-water marks

2010-Feb-11 - Oil near $74 as weak dollar offsets high supplies

Oil prices rose to near $74 a barrel Wednesday, boosted by a weaker dollar but held back by a report showing unexpected growth in U.S. crude inventories, casting more doubt on the recovery in the world's biggest economy.

By early afternoon in Europe, benchmark crude for March delivery was up 20 cents at $73.95 a barrel in electronic trading on the New York Mercantile Exchange, moving between $73.18 and $74.30.

On Tuesday, the contract jumped $1.86 to settle at $73.75 a barrel.

The euro gained on the U.S. dollar Wednesday as the European Union seemed on the verge of offering financial support to Greece to keep it from buckling under its debt burden.

The euro traded at $1.3791 in European trading, up from $1.3775 late Tuesday in New York. It gained about one U.S. cent on Tuesday and traded as high as $1.3806 on Wednesday.

A weaker dollar makes crude cheaper for investors holding other currencies.

Despite the euro's gains, the fundamentals of supply and demand continued to be bearish for the oil markets.

U.S. crude stocks jumped 7.2 million barrels last week, the American Petroleum Institute said late Tuesday, suggesting weak consumer demand for fuels like gasoline and heating oil. Analysts had expected an increase of 2 million barrels, according to a survey by Platts, the energy information arm of McGraw-Hill Cos payday loans in 1 hour.

The Energy Department's Energy Information Administration has delayed announcement of its inventory report — the market benchmark — until Friday from Wednesday because of snow storms.

Sluggish crude demand is weighing on oil prices as investors continue to mull over concerns about the health of the global economy.

"While China's lending restrictions and potential changes in US banking regulations were the first seeds of concern sown in the minds of investors, the latest has come about due to the short-term financing needs in Southern European countries," Barclays Capital said in a report.

"In the short-term, oil prices may be caught in between the shrapnel of negative macro sentiment yet improving fundamentals, resulting in some heightened volatility," Barclays said.

In other Nymex trading in March contracts, heating oil rose 0.6 cent to $1.9379 a gallon, and gasoline was up 0.4 cent at $1.9330 a gallon. Natural gas rose 6.1 cents to $5.351 per 1,000 cubic feet.

In London, Brent crude was down 10 cents at $72.03 on the ICE futures exchange.

___

Associated Press writer Chun Han Wong in Singapore contributed to this report.

Oil near $74 as weak dollar offsets high supplies

2010-Feb-9 - Summary Box: IAC indicates online ad improvement

ONLINE ADS: The latest earnings report from Barry Diller's Internet company, IAC/InterActiveCorp, indicates that the online advertising market is picking up.

KEY NUMBER: Revenue from IAC's core search business, which includes Ask.com and Citysearch, rose 3 percent to $185.4 million in the fourth quarter. Revenue had dropped in the first nine months of the year. And IAC said the upward trend is holding up so far in the first quarter.

IN CONTEXT: Other Internet companies have said the online ad market has been improving with the overall economy bad credit unsecured personal loans. Google Inc. reported fourth-quarter ad revenue grew 17 percent. Yahoo Inc. reported a 4 percent drop and AOL Inc. an 8 percent drop, but they had seen bigger declines earlier in the year.

Summary Box: IAC indicates online ad improvement

2010-Feb-8 - Bond Report: Treasury yields edge up from recent lows

NEW YORK (Marketwatch) -- Treasury prices declined on Monday, pushing yields up from the lowest point in more than six weeks, as European stock markets rose and bond traders prepared for the slew of government bond auctions coming this week.

Treasurys pared an earlier decline as attention turned to U.S. stock futures, which were little changed.

European stocks managed to look somewhere other than Greece, Spain and Portugal early Monday, but don't bet on that lasting.

Yields on 2-year notes rose 1 basis point to 0.78%, after closing at the lowest level since Dec. 9 last week. A basis point is 0.01% and yields move inversely to prices.

Yields on 10-year notes rose 1 basis point to 3.58%.

On Friday, yields fell as the U free credit report without a credit card.S. economy continued to lose jobs and concern over fiscal imbalances in some European Union members fueled a fresh move of assets from stocks to U.S. debt. See Friday's Bond Report.

"Treasurys are weaker this morning as global stock markets find their footing, the E.U. peripherals improve and attention turns to this week's Treasury supply," said strategists at RBS Securities.

The government will sell $40 billion in 3-year notes on Tuesday, and $25 billion in 10-year notes on Wednesday. Also, $16 billion in 30-year bonds will be sold the following day.

Bond Report: Treasury yields edge up from recent lows