DQNews - "California June 2008 Home Sales" (7-18-08)

"A total of 35,202 new and resale houses and condos were sold statewide last month. That was up 6.6 percent from 33,024 in May and down 8.1 percent from 38,291 for June last year. Last month's total made for the slowest June in DataQuick's statistics, which go back to 1988."

The Wall Street Journal - "Mortgage Giant Freddie Mac Considers Major Stock Sale" (7-18-08)

"Mortgage giant Freddie Mac -- emboldened by emergency regulatory actions that have triggered a two-day rebound in its battered stock -- is considering raising capital by selling as much as $10 billion in new shares to investors, according to people familiar with the matter."

Mercury News - "Silicon Valley home prices slide to 2005 level" (7-18-08)

"It's a real estate milepost that would have sounded unbelievable just a year ago: One-fifth of the houses for sale in Santa Clara County today are now priced at less than $450,000.
And the median price of houses that changed hands last month fell from $791,000 last year to $670,000. The last time that figure was so low was in March 2005."

Yahoo - "Citigroup posts $2.5B loss, but beats expectations" (7-18-08)

"Citigroup has become the latest big bank to assuage Wall Street's worries about the financial sector, posting a $2.5 billion second-quarter loss that was smaller than the market expected."

Bloomberg - "KeyCorp Swoons on Loan Losses Outside Its Market" (7-18-08)

"Three months ago, analysts were speculating KeyCorp would help rescue National City Corp. after its bigger Cleveland-based neighbor set aside $1.4 billion to cover bad loans and reported a $171 million first-quarter loss. Since then, KeyCorp has fallen more than 60 percent in New York trading and analysts now estimate Ohio's third-biggest bank by assets will post a record second-quarter loss of about $800 million because of unprofitable real estate projects in Florida and California."

Bloomberg - "Blackstone Risks Hedge Fund Returns as LBO Loans Fade" (7-18-08)

"Blackstone can't wait for banks, stuck with almost $100 billion of debt from earlier LBOs, to start lending again. Instead, it's pushing deeper into deal financing with GSO. The strategy may hurt the hedge-fund unit's returns -- some approaching 40 percent -- if slowing economies lead companies taken private by Blackstone to default on their debt."

Bloomberg - "Fannie, Freddie Cut Lobbying Budget, Rely on Allies in Congress" (7-18-08)

"Fannie Mae and Freddie Mac, for years among the most formidable lobbying forces in corporate America, have seen their political influence decline along with their financial fortunes.
Four years ago, Freddie Mac and Fannie Mae spent a combined $26 million on lobbying. This year they likely will spend about half that. Fannie Mae also has eliminated its foundation, which made politically motivated donations. The two government- chartered mortgage companies rely more on allies, including home builders and realtors, to make their case in Washington."

Bloomberg - "Bank of America Faces High Bar After Citigroup Report" (7-18-08)

"Bank of America Corp., the biggest U.S. home lender after buying Countrywide Financial Corp., reports earnings next week amid concern the purchase will add to losses on credit-card and home-equity loans. Bank of America is likely to say on July 21 that second- quarter per-share profit fell 59 percent, according to estimates of 21 analysts compiled by Bloomberg. A year earlier, the Charlotte, North Carolina-based bank earned $5.76 billion, the best quarter in the company's history."