HEADLINE NEWS

Asian markets gain after Dow's strong showing
Asian-Pacific markets mostly advanced Tuesday, helped by the Dow Jones Industrial Average's 1.5% jump Monday. Japan's Nikkei 225 increased 0.3%, Australia's ASX/S&P 200 improved 1% and Hong Kong's Hang Seng gained 2.1%. China's Shanghai Composite rose 1.2%, while South Korea's Kospi Composite decreased 0.3%. Singapore's Straits Times and India's Sensex were up 0.8% in afternoon trading. The Wall Street Journal (05 Jan.)

M&A activity is forecast to increase in Australia
After a record year of mergers and acquisitions, 2010 is expected to be even better, Australian bankers said. Australia's M&A activity was at $155 billion last year, up one-third from 2008. Financials, resources and consumer-driven industries are expected to see most of the activity, which will be pushed by a strong Australian dollar, bankers said. Reuters (1/5)

*this is unfortunate. We all pay for their health benefits (i.e.PUBLIC OPTION you MORONS!), yet we get bupkiss! Americans sure are stupid as a group aren't they? IJIOTS!
Congress likely to drop public option in health care billThe final version of the health care reform legislation might not include the public option, U.S. lawmakers said. "I don't think the public option survives," said Rep. Frank Pallone, D-N.J., who heads the House Energy and Commerce Committee's health subcommittee. Without the public option, the bill could pass Congress in a few weeks because the usual House-Senate conference could be skipped, Pallone said. Bloomberg (05 Jan.)

*we need a new Glass-Steagall, not the same ole same ole.
Lawmakers, insiders debate reinstating Glass-Steagall
Although experts and financial industry insiders said reinstating the Depression-era Glass-Steagall Act will not help prevent a repeat of the financial crisis, the idea is gaining support in Congress from liberals as well as conservatives. The idea also has the support of former Federal Reserve Chairman Paul Volcker and a few other powerful insiders, and the financial industry is not dismissing the proposal or other populist efforts. The Politico (Washington) (1/4)

*no wonder PIMCO unwilling to take on more risk these days.
Change cuts amount life insurers must hold against mortgage bonds
A preliminary analysis by the Pacific Investment Management Co. found that life insurers will need to hold roughly $8.75 billion to support souring residential mortgage bonds. If regulators still relied on ratings, life insurers would have had to set aside about $14.5 billion. Pimco's advisory unit conducted the analysis. The Wall Street Journal (1/4)