• 1) What is the risk in purchasing in a declining market?

“Even recent bargain hunters have been hit: 11% of borrowers who took out mortgages in 2009 already owe more than their home’s value.”

That’s the risk in purchasing in a declining market. When you buy a stock at $40 that declined from $80 that doesn’t mean that it can’t drop further to $20The tax credit has had the same effect as the cash for clunkers program. It lured some fence sitters to buy now for fear of an expiring credit so that the net effect was to bunch sales that started during the summer into an October closing date.

• 2) House raises concern over weak dollar (Kenya)

“The falling price of the US dollar has raised concern among MPs that Kenya’s foreign currency reserves are at risk. Githunguri MP Njoroge Baiya (PNU) and Rangwe MP Martin Ogindo (ODM) Wednesday put the government on the spot over the depreciating value of the dollar, the primary unit in the foreign currency reserves. The MPs argued that the falling value of the dollar was due to deliberate policies of the Obama Administration. Therefore, they said, Kenya had to take steps to protect its foreign currency reserves by avoiding the dollar.”

• 3) Russia sparks Canadian dollar rally

“Russia’s central bank says it will add the Canadian currency to its reserves, sparking a one-cent gain in the loonie”

“Russia has gradually been diversifying its $400-billion-plus reserves – the world’s third largest – to reduce dependence on the U.S. dollar.”

• 4) Russia says Brazil interested in trade in national FX

“MOSCOW, Nov 25 (Reuters) - Brazil is interested in settling bilateral trade with Russia in roubles and real, a Russian central bank official said on Wednesday, echoing Moscow’s drive for more use of national currencies and less of the U.S. dollar.”

“”Brazil has expressed such an interest. India…is ready to discuss this issue,” he added, speaking to the Duma lower house of parliament.”

• 5) Commercial real estate sales poised to hit $49B in 2009

“Real Capital Analytics predicts sales volume for all commercial real estate sectors will hit $49 billion in 2009, less than half the amount sold in 2008 and significantly less than the $80 billion sold in 2001.”

• 6) Banks face $7 trln debt maturities by end-2012 -WSJ

“As much as $7 trillion of debt piled up by banks falls due by the end of 2012, which could force them to refinance their borrowings at higher cost, the Wall Street Journal said, citing a Moody’s Investors Service report.”

“When the credit crisis struck, they were propped up by government guarantees that enabled them to keep selling debt, but with much shorter maturities, the paper said.

Moody’s report showed that U.S. banks have seen their average debt maturities drop to 3.2 years from 7.8 years in the past five years, the paper said.”

• 7) City deficit now $32M more than thought (Tucson)

“Tucson is $32 million deeper in the red than previously believed.

The City Council was notified Tuesday that despite $50 million in cuts and $17 million in new taxes it already has approved to balance this year’s budget, revenues are far worse than the most pessimistic projections and will leave them $32 million short for the year, which ends June 30.

But in her first report to the council, new Finance Director Kelly Gottschalk said the looming deficit is in addition to an estimated $45 million shortfall for next fiscal year, which Gottschalk said is likely to grow as well, given current projections.”

• 8)  Deere Outlook Fenced In by Pension Costs

“Deere said it anticipates its “postretirement benefit costs” to amount to $400 million more in 2010 than they did in 2009.”

• 9) Age Trumps Youth in UC Tuition Dispute

“The biggest reason for UC’s 32 percent tuition increase is staring right at you. Without it, the university can’t possibly keep paying out pensions to smug university retirees, who are guaranteed to receive them year in, year out despite the fact that their retirement fund is sliding into insolvency.

The UC retirement fund lost 30 percent of its value—$16 billion—since 2007. The pension plan, which pays out more than $1.5 billion a year to its 500,000 retirees, had been self-sufficient while the market soared through the boom years, with its investments providing a comfortable return to keep the machine going and the pension funds high. To keep it self-sufficient, UC’s fund managers had to get increasingly cockier, buying into more and more highly profitable, high-risk bets. That approach, of course, came crashing down in 2007. Now, in order to keep making payments on its obligations for the foreseeable future, the university system has to start depositing its own cash into the fund. In other words, the pension fund is collapsing and the university needs to bail it out with money taken out of tuition fees. This hasn’t happened in nearly two decades. It seems an economic crash was a contingency the UC didn’t plan for. And now students are paying for somebody else’s mistakes.”

• 10) More bankruptcy cases filed in federal courts

“Bankruptcy filings in federal courts jumped by more than one-third this year, as businesses and individuals struggled to regain their footing in a weakened economy.

New numbers from the Administrative Office of the U.S. Courts show about 1.4 million bankruptcy cases were filed this fiscal year. That’s up 34.5 percent compared with the more than 1 million cases filed last fiscal year. The bankruptcy figures cover a period from Oct. 1, 2008, to Sept. 30.

Filings under Chapters 7, 11, 12 and 13 all rose — particularly filings for Chapter 11 protection, which increased 68 percent. Overall, business filings were up 52 percent, while nonbusiness filings rose by 34 percent.”

• 11) Dollar makes new lows, while gold makes new highs.

………Dollar keeps going down, yet people holding dollars never seem to see it coming.