Bloomberg - "Union Investment Halts Redemptions From Bond Fund" (8-3-07)

"Union Investment Asset Management Holding AG, Germany's third-largest mutual fund manager, halted redemptions from a fund holding subprime mortgages after clients withdrew about 10 percent of the assets in the past month. Investors redeemed 100 million euros ($137 million) from the 950 million-euro ABS-Invest Fund, spokesman Markus Temme said today. The fund, sold to institutional investors across Europe, has about 6 percent of its assets in securities related to subprime mortgage loans, Temme said."

Bloomberg - "Bear Stearns Rating Outlook Cut on Mortgage Concern" (8-3-07)

"Bear Stearns Cos., the manager of two hedge funds that collapsed last month, had its credit-rating outlook cut to negative by Standard & Poor's on concern declining prices for mortgage-backed securities will reduce earnings. Shares of Bear Stearns fell 6 percent, bringing this year's decline to more than 33 percent. The perceived risk of owning the New York-based company's bonds rose to the highest in at least six years. Chief Executive Officer James E. Cayne said in a statement today that the company was 'solidly profitable' in June and July."

Bloomberg - "U.S. Housing Is Among `Biggest Bubbles,' Rogers Says" (8-3-07)

"The U.S. subprime-market rout that wiped out $2.1 trillion from global share values last week has 'got a long way to go,' said Jim Rogers, who predicted the start of the commodities rally in 1999. This week's rebound in equity markets hasn't persuaded Rogers, 64, to pull out of bets that U.S. investment banks and homebuilders are heading for further declines."

Yahoo - "At American Home, it's one last day at the office" (8-3-07)

"In some respects it was a normal summer Friday in this Long Island hamlet roughly 50 miles east of Wall Street. The weather was hot, a bit steamy. The weekend approached, and employees of American Home Mortgage Investment Corp. (NYSE:AHM - News) awaited their paychecks. What was different was that the checks would be their last. One day earlier the mortgage lender said it would fire nearly 7,000 employees, an exclamation mark to one of the biggest and fastest corporate collapses in the U.S. housing downturn. Friday would be the last day."

Yahoo - "Wall St tumbles on credit worries after Bear talks" (8-3-07)

"Stocks slid sharply on Friday after Bear Stearns said credit markets were in their worst shape in two decades, while jobs data aroused further concerns about weakness in the economy. Bear Stearns Cos. (NYSE:BSC - News) stock fell 6 percent after the comments from its chief financial officer, which exacerbated mortgage jitters and drove the three major indexes down more than 2 percent in a broad market sell-off."

Reuters - "S&P changes Bear outlook to negative; shares fall" (8-3-07)

"Standard & Poor's on Friday changed its rating outlook on Bear Stearns Cos. to negative from stable, indicating a greater chance of a downgrade over the next two years, as it warned of problems that could hurt the firm's performance 'for an extended period.' S&P said issues include problems at some of Bear Stearns' managed hedge funds."

Yahoo - "The State of the Slump" (8-3-07)

"Tighter credit is prolonging a deep slump in home sales, but a quarterly Wall Street Journal survey of 28 major metro areas shows that the surge in inventories of unsold homes is slowing. In two of those markets -- Boston and Denver -- the number listed for sale has actually declined from a year ago."

Bloomberg - "U.S. Housing Is Among `Biggest Bubbles,' Rogers Says" (8-3-07)

"The U.S. subprime-market rout that wiped out $2.1 trillion from global share values last week has 'got a long way to go,' said Jim Rogers, a New York-based fund manager who predicted the start of the commodities rally in 1999. This week's rebound in equity markets hasn't persuaded Rogers, 64, to pull out of bets that U.S. investment banks and homebuilders are heading for further declines."

Bull Not Bull - "Global Liquidity Defined" (8-3-07)

"Financial analysts and news reporters often refer to the concept of 'liquidity,' as though it were a magic wand. One touch and all ills are cured. Until recently, it was often heard that 'the world is awash in liquidity,' which was considered a good thing. More recently, the en vogue observation is that 'global liquidity is drying up,' which is spoken in ominous tones."

Los Angeles Times - "Brokers to Westside elite accused of fraud" (8-3-07)

"Two high-profile Beverly Hills real estate agents and two licensed appraisers were indicted Thursday on charges of joining in a sophisticated scheme that lenders said cost them more than $40 million in fraudulent loans for homes in some of Southern California's most expensive neighborhoods. Joseph Babajian and Kyle Grasso, agents with Prudential California Realty, along with appraisers Lila Rizk of Trabuco Canyon and Scott Robinson of Dana Point, were each indicted on multiple counts of conspiracy, bank fraud and loan fraud. They face several years in prison if convicted, said Assistant . U.S. Atty. Jeremy Matz. Babajian and Grasso are also charged with money laundering."

Real Estate Journal - "Foreign Buyers Scoop Up Real Estate in the U.S." (8-3-07)

"According to a new study by the National Association of Realtors, about one in five American real estate agents sold a second home in the year ending April 2007 to a foreign buyer, defined as someone who has legally entered the United States to buy a home. A quarter of the agents surveyed said their business with overseas buyers had increased over the past five years. Interest is up primarily because the weak dollar gives foreigners more buying power, but also because American home prices are low compared to places like Britain and Japan. 'A lot of them perceive the United States as a bargain,' says Ruth Krinke, a Steamboat Springs, Colo., real estate agent."