GENERAL MOTORS' DEAL
TO SELL ITS SAAB UNIT FELL THROUGH TODAY.
THE SWEDISH CARMAKER THAT AGREED TO BUY
THE BRAND PULLED THE PLUG...LEAVING G-M TO SCRAMBLE FOR A NEW PLAN. AUTO
EXPERTS SAY THIS COULD MEAN THE END OF THE ROAD FOR SAAB.
AND THERE IS NEW EVIDENCE THAT THE
HOUSING MARKET CONTINUES TO STRUGGLE...WITH MILLIONS OF HOMEOWNERS IN FINANCIAL
TROUBLE. ACCORDING TO FIRST AMERICAN CORE LOGIC, ONE IN FOUR OWE MORE ON THEIR
MORTGAGES THAN THEIR HOMES ARE WORTH.
IT WILL TAKE A BIG REBOUND IN REAL
ESTATE VALUES TO REVERSE THAT TREND...
AND WHILE THERE IS SOME IMPROVEMENT,
IT'S COMING SLOWLY. THE NEWEST SNAPSHOT OF HOME PRICES SHOWS THE FOURTH
INCREASE IN A ROW IN SEPTEMBER...BUT ONLY BY 3-TENTHS OF A PERCENT.
EVEN SO, AMERICANS' CONFIDENCE IN THE
ECONOMY IMPROVED SLIGHTLY OVER THIS PAST MONTH. ACCORDING TO A PRIVATE RESEARCH
GROUP, THE CONFIDENCE INDEX EDGED UP TO NEARLY 50. BUT IT TAKES A READING OVER
90 TO SIGNAL THE ECONOMY IS ON SOLID FOOTING.
THAT DISAPPOINTING REPORT HELPED KEEP
THE STOCK MARKET ON THE DOWNSIDE.
THE DOW DROPPED ----..WHILE THE NASDAQ
----.
AND LOWER CONSUMER CONFIDENCE IS EXACTLY
WHAT'S WORRYING THE NATION'S RETAILERS.
BARNES AND NOBLE JUST LOWERED ITS
OUTLOOK THROUGH THE END OF THE YEAR, ON EXPECTATIONS OF WEAK HOLIDAY SALES. THE
BOOKSTORE CHAIN REPORTED A 24-MILLION DOLLAR LOSS IN THE LAST QUARTER.
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