Leaked Climate Plan Favors Rich Nations, Groups Say 
Dec. 9 (Bloomberg) -- The proposal drawing the mostattention and criticism at the United Nations climate-changetalks in Copenhagen never got put on the table.
The formula for slowing global warming, circulated byDenmark before the two-week negotiations started Dec. 7, hasgenerated a stir because Denmark is the host country for morethan 190 nations, striving to be neutral.
The plan, leaked more than a week ago, is flawed because itwas drawn up outside the UN process without input from poorernations, said Kim Carstensen, head of the global climateinitiative at environmental group WWF. UN climate chief Yvo deBoer issued a statement saying the paper is “informal” only.
Chief Executives in US Become More Optimistic About Economy
Dec. 8 (Bloomberg) -- Optimism among chief executiveofficers about the U.S. economy rose to a one-year high as moresaid they expect stronger sales and plan to boost spending whilelimiting hiring.
The Business Roundtable’s economic outlook index increasedthis quarter to 71.5, the highest since July-September 2008,from 44.9 in the previous three months. Readings higher than 50are consistent with economic expansion.
Sixty-eight percent of executives said they expect sales togrow, compared with 51 percent in the third quarter, and 84percent plan to either boost capital spending or hold it steady.Most respondents said they would limit hiring, posing a hurdlefor the recovery next year.
Simon Property to Buy Prime Outlets for $2.33 Billion
Dec. 8 (Bloomberg) -- Simon Property Group Inc., thebiggest U.S. shopping mall owner, agreed to buy Prime OutletsAcquisition Co. for $2.33 billion including debt to expand inthe retail outlet business.
Simon Property will pay $700 million for the owners’interest in closely held Prime Outlets, 80 percent in cash and20 percent in common operating partnership units, Indianapolis-based Simon Property said today in a statement.
Chief Executive Officer David Simon amassed more than $4billion in cash in the past year to fund acquisitions and lastmonth hired Lazard Ltd. to consider purchasing the assets ofmall owner General Growth Properties Inc. In an interview inMarch, Simon said he wanted to “hoard” cash to take advantage“once we see opportunities in the marketplace.”
Most Asian Stocks Drop on Bernanke, Japan Stimulus; Pound Falls
Dec. 8 (Bloomberg) -- Most Asian stocks fell after FederalReserve Chairman Ben S. Bernanke said the U.S. economy faces“formidable headwinds,” and Japan unveiled an $81 billionstimulus program. The U.K. pound weakened.
The Nikkei 225 dropped 0.27 percent at 4:15 p.m. Tokyo timeand the MSCI Asia Pacific Index gained 0.09 percent to 120.69.The pound fell 0.44 percent against the dollar at 7:15 a.m.London time after Moody’s Investors Service said the U.S. andU.K. has “resilient” AAA ratings. Futures on the Dow Jones EuroStoxx 50 fell 0.10 percent.
While Bernanke said yesterday that the U.S. recovery wouldbe restrained by a weak labor market and tight credit, Asianreports showed the region continues to emerge from the firstglobal recession since World War II. Australian businessconfidence climbed to the highest level in more than seven years.Taiwan’s exports leapt 19.4 percent and Japan’s current-accountsurplus soared 43 percent from a year earlier.
Obama looks at highways, small biz in jobs plan
WASHINGTON -- President Barack Obama is promoting help for highways and small businesses, bridges and energy-efficient homes in a broad pitch to get Americans back to work and roll back the double-digit unemployment that's approaching a quarter-century high, an administration official said Tuesday.
In a speech prepared for delivery Tuesday, Obama plans to talk about what he wants to see in the coming weeks and months - chiefly, more Americans in the workplace and fewer on unemployment, which now stands at 10 percent. The White House worked around the clock in recent days to pull together the president's speech.
Obama planned to address three main areas: helping small businesses add staff and grow; updating transportation infrastructure; and making homes energy-efficient, according to an administration official who discussed the speech on the condition of anonymity to preview an unreleased text.
Bailout Refund Is All About Pay, Pay, Pay
Strike up the band!
Bank of America is paying back $45 billion in taxpayer-provided bailout money, and the government now says it expects to get back $200 billion in those funds faster than it imagined. The banks are getting back on their feet, the markets have stabilized, even unemployment isn’t as bad as many feared.
Great news, right?
Bernanke cautiously optimistic for economic growth in 2010
The economy is likely to expand moderately in 2010, Federal Reserve Chairman Ben S. Bernanke said Monday, but his guardedly optimistic assessment for growth contained no hints that the central bank is looking to raise interest rates any time soon.
"Economic forecasts are subject to great uncertainty, but my guess is that we will continue to see modest economic growth next year," Bernanke told the Economic Club of Washington in a speech. That, growth he said, would be "sufficient to bring down the unemployment rate, but at a slower pace than we would like."
But Bernanke also laid out the factors that could limit the recovery, suggesting he still sees plenty of risk factors threatening the economy's performance. "The economy confronts some formidable headwinds that seem likely to keep the pace of expansion moderate," he told the group of Washington-area business leaders, ticking off tight credit conditions, the weak job market, and Americans' reluctance to spend money when they fear for their job security.
Treasuries, Dollar Rise While Stocks, Commodities Prices Slump
Dec. 7 (Bloomberg) -- Treasuries advanced, the dollargained versus the euro while stocks, gold and oil declined afterFederal Reserve Chairman Ben S. Bernanke said the U.S. economyfaces “significant headwinds” and inflation “could move lower.”
Two-year Treasury notes rose, driving their yield downseven basis points to 0.76 percent at 4 p.m. in New York. Thedollar rose 0.3 percent to $1.4817 per euro and earlierappreciated to the strongest level since Nov. 4. The Standard &Poor’s 500 Index lost 0.3 percent, reversing a 0.4 percent gain.Gold futures slumped 0.5 percent in New York, giving the metalthe steepest two-day drop since October 2008. Crude slumped to$73.93 a barrel in its fourth straight decline.
Investors sold riskier assets after Bernanke said the U.S.economy’s expansion will be limited by a weak labor market andtight credit. He has led the most aggressive monetary stimulusin U.S. history, expanding the Fed’s balance sheet by $1trillion and cutting the benchmark lending rate a year ago closeto zero. Today, Bernanke said inflation may subside furtherbecause of the unemployment rate, which has increased to 10percent for the first time since 1983.
Bernanke Sees 'Formidable Headwinds' for US Economy
Dec. 7 (Bloomberg) -- Federal Reserve Chairman Ben S.Bernanke said the U.S. economy faces “formidable headwinds,”including a weak labor market and tight credit that are likelyto produce a “moderate” pace of expansion.
“The economy confronts some formidable headwinds that seemlikely to keep the pace of expansion moderate,” Bernanke, 55,said today in a speech to the Economic Club of Washington. Hesaid inflation remains “subdued” and might even move lower.
Stocks rose and the dollar erased its gain against the euroafter Bernanke’s comments as traders pared bets the Fed willraise interest rates from a record low in August. Bernanke, inresponse to a question after his speech, repeated the Fed’sstatement that interest rates are likely to remain low for an“extended period.”
Bernanke Sees 'Formidable Headwinds' for Economy, Tight Credit
Dec. 7 (Bloomberg) -- Federal Reserve Chairman Ben S.Bernanke said the U.S. economy faces “formidable headwinds,”including a weak labor market and tight credit that are likelyto produce a “moderate” pace of expansion.
“The economy confronts some formidable headwinds that seemlikely to keep the pace of expansion moderate,” Bernanke, 55,said today in the text of remarks to the Economic Club ofWashington. “Despite the general improvement in financialconditions, credit remains tight for many borrowers,” and thejob market “remains weak.”
Bernanke has led the most aggressive monetary stimulus inU.S. history, expanding the Fed’s balance sheet by $1 trillionand cutting the benchmark lending rate a year ago close to zero.The economy grew at a 2.8 percent annual rate in the thirdquarter, and a report last week showed unemployment fell to 10percent in November from 10.2 percent the previous month.
