Economic News - September 26, 2008

Money Supply (M1 and M2) - September 25, 2008

• M1 Annual Change (Unadjusted): Up $20.8 billion


• M2 Annual Change (Unadjusted): Up $401.6 billion

Jobless Claims - September 24, 2008

• Initial Claims: 493,000


• Change from Last Week: Up 32,000

Durable Goods Orders - August 2008

• New Orders: $208.5 billio


• New Orders Change: Down 4.5%


• Nondefense Capital Goods Change: down 7.5%

New Home Sales - August 2008

• Annual Sales Rate (Seasonally Adjusted): 460,000


• Monthly Change: Down 11.5%


• Annual Change: Down 34.5%

No good news in housing this week

Today’s housing market news reinforced the down news for housing and mortgage markets released yesterday.
The Freddie Mac Primary Market Mortgage Survey for this week showed
rates rising substantially, mirroring the results of the Mortgage
Banker’s Association survey.

Industrial production drove Mexican economy down in June

Mexico’s economic activity dropped 0.5% in July, due to a drop in
industrial production, according to the index of Coincident Indicators
released Thursday by the Conference Board...

Few Good Economic Scenarios in View

The Wall Street turmoil is shaking an already-weakened U.S.
economy and could hit households and businesses in the form of fewer
loans and higher interest rates in the months ahead -- in turn sending
unemployment higher and corporate profits lower.

Triple Dose of Bad News on Economy

Demand for durable goods and new homes plunged in August, while weekly jobless
claims surged, the government said in a triple dose of bad economic
data.

Nobel Laureates, Economists Urge Congress Not to Rush on U.S. Rescue Plan More than 150 prominent U.S.
economists, including three Nobel Prize winners, urged Congress
to hold off on passing a $700 billion financial market rescue
plan until it can be studied more closely.

House Republicans Undercut Bush on Financial-Rescue Plan, Stalling Talks Negotiations for a $700 billion
rescue of the U.S. financial system stalled as House Republicans
undercut the Bush administration and left it to congressional
leaders to hammer out a compromise that would calm markets.

Japan's Consumer-Price Inflation Exceeds 2% for Second Month on Oil Costs Japan's consumer-price inflation
exceeded 2 percent for a second month as companies passed on
costs of food and other daily necessities.

Drop in U.S. Stocks Probably Checked Gain in September Consumer Sentiment The turmoil that roiled U.S.
financial markets in the past few weeks probably restrained
consumer sentiment in September even as gasoline prices dropped,
economists said before a report today.

Australia May Cut Benchmark Rate by Most Since 2001, Traders' Bets Show Traders almost doubled bets that
the Reserve Bank of Australia will cut the benchmark interest
rate by 50 basis points for the first time in seven years, to
encourage banks to boost lending amid a global credit freeze.

SNB statement on one-week dollar funding plans

ZURICH, Sept 26 (Reuters) - The Swiss National Bank joined
other major central banks in offering one-week dollar funds to
ease quarter-end strains in money market.

Foreign central banks boost US agency holdings-Fed