Investors

The Obama administration's new plan to stimulate refinancings of FHA mortgages is likely to help large numbers of homeowners — even those who are deeply underwater — cut their monthly costs by switching to a loan with a rate below 4%. Here's a quick overview of the "streamline refi" program and what it will take for you to qualify. First, the baseline criteria: Your current home loan must be FHA-insured and must have been put on the Federal Housing Administration's books no later than May 31, 2009.

Facebook has made a habit of advancing its interests at the expense of its customers, whether by weakening its privacy policy, tracking users' movements around the Web or radically reconfiguring the way information is displayed on the site's pages. So it probably shouldn't surprise anyone that while the company's initial stock offering was a boon to the company and insiders, it's been a costly disappointment for the general public. Now, some investors are accusing the company and its bankers of playing the public for suckers, sharing pessimistic revenue projections with a few insiders but not average investors.

Distancing himself from Republicans on housing issues, President Obama pitched a $5-billion to $10-billion plan to help a key segment of struggling homeowners — those still making monthly payments, but on underwater mortgages. Obama proposed Wednesday to help about 3.5 million people with good credit who are unable to refinance at historically low rates because their homes are worth less than their mortgages. He argued that those homeowners — and the country — couldn't afford to let the housing market bottom out, as many Republicans, including presidential candidate Mitt Romney, have advocated.

New home sales are up. The unemployment rate is falling. Companies are buying one another, signaling confidence in the economy. But investors are turning their back on positive economic signs, looking nervously at Europe's seemingly never-ending debt troubles and Facebook's flat IPO, wondering whether the global economy is beginning yet another deep dive. "Although better economic data did not go unnoticed, investors look forward and not backward," said David Dietze, president and chief investment strategist at Point View Wealth Management in Summit, N.J. "All eyes are looking across the pond and seeing a bit of a meltdown in terms of the European sovereign debt crisis.

The wait for tables is getting longer at Buck's, a popular breakfast spot for the tech elite and a weather vane for the Silicon Valley economy. Here, like everywhere else, Facebook is the talk of the town. "Charles Schwab was in the restaurant the other day, and I asked him to hook me up with some Facebook shares," said Jamis MacNiven, owner of Buck's, in the wealthy suburban enclave of Woodside. "He told me even he can't get Facebook shares. " The new tech boom officially gets underway Friday when Facebook Chief Executive Mark Zuckerberg rings Nasdaq's opening bell remotely from the company's Menlo Park, Calif., headquarters, launching the largest initial public offering of stock in Silicon Valley history.

washington -- Mitt Romney twice emphasized his unique business background when he and eight other Republican presidential candidates faced off in a debate last week in Iowa. "I've spent the last, as I've told you, 25 years in the private sector," former Massachusetts Gov. Romney declared at one point. "I understand why jobs come and why jobs go. I've done business in 20 countries."

The alarm over potential bank runs in Greece and Spain this week has highlighted an often-overlooked fact: Europe's debt crisis is also, in many ways, a major banking crisis. In capitals such as Athens, Madrid and Rome, large portions of the sovereign debt racked up by spendthrift governments are owed to the countries' own banks, locking governments and the banks in an embrace so tight that disaster for one would almost certainly spell doom for the other. International bailouts for Greece, Ireland and Portugal have helped to keep not just their governments but also their banks afloat, as well as financial institutions in other parts of Europe with large exposure to those nations' debts.

There wasn't much to like about Facebook's first day as a public company. The social media giant's stock rose by mere pennies in its initial public offering. The shares closed at $38.23, barely above the $38 IPO price. The performance fell far short of the grandiose expectations of Wall Street and Silicon Valley, and raised questions about whether the company's stock will be the sure bet many had counted on. "There was all this pressure and hype and attention with all eyes on Facebook — and the starlet tripped on the red carpet," said Max Wolff, an analyst at GreenCrest Capital Management in New York.

Gasoline prices are keeping up their record-setting ways. California drivers paid an average of $4.358 for a gallon of regular gasoline, up 6.6 cents from a week earlier, the Energy Department said Monday. That's a fresh record high for this time of year and is 48.4 cents above the year-earlier price. Nationally, the average rose 7.2 cents to $3.793, also a record for this week, according to Energy Department statistics. A year earlier, the average U.S. price was 27.3 cents lower.

If you give millions of seriously underwater homeowners a new equity position in their properties by reducing their principal mortgage debt, will they keep paying on their loans and avoid foreclosure? Call it a pipe dream or a significant model for other lenders and investors, but one company says it has found an important combination: Modify underwater borrowers' loans so that their payments are reduced to a manageable amount and cut their principal debt over time, but make the deal dependent on their scrupulous on-time monthly payments of the new amount plus sharing of a portion of any future profit they make on the house sale.

WASHINGTON — Already grappling with regulatory reviews of its troubled initial public offering, Facebook Inc. and the Wall Street banks that shepherded the deal are now under fire from lawmakers and lawyers. Two congressional committees said Wednesday that they would conduct preliminary inquiries into the IPO. And attorneys filed two separate lawsuits alleging that average investors were misled in the days before Facebook shares began trading Friday. "Shareholders suffered billions of dollars in losses," said Darren Robbins, a partner in the San Diego law firm of Robbins Geller Rudman & Dow, which filed one of the suits.

Chinese conglomerate Dalian Wanda Group's landmark deal to buy AMC Entertainment Inc. for $2.6 billion could be a catalyst for similar acquisitions of American theater chains and other U.S. entertainment properties, industry analysts said. The deal announced Sunday — which pairs China's biggest theater operator with the second-largest chain in the U.S. — marks the largest investment to date by a Chinese company in the U.S. entertainment industry. Most of the deal making has been Hollywood companies striking business deals in China.

Maybe what Facebook really needs is a "buy" button. After a lifeless opening last week, Facebook shares tumbled on their second day of trading, losing about $10 billion in market value Monday as investors questioned the company's revenue prospects. Shares of the Menlo Park, Calif., social network fell to as low as $33 before closing down $4.20, or 11%, to $34.03. It was unclear if Facebook shares got help from traders at the company's lead underwriter, Morgan Stanley, who stepped in Friday to prop up shares just a hair above their $38 offering price.

NEW YORK — First it popped, then it flopped. Facebook Inc.'s much-hyped debut on Wall Street was an event watched around the world. The social network's initial public offering valued it at $104 billion — more than market stalwarts such as McDonald's Corp. and Amazon.com Inc. The opening Friday seemed as if Facebook was destined for a big market surge, and the stock vaulted for a split second to $45. Then the surge evaporated and shares fell back to their IPO price of $38. Just 15 minutes after the stock opened for trading, the problems really began.

Facebook shares fell flat on their Nasdaq debut, but another trading venue for the stock will open later this month. The Chicago Board Options Exchange will start listing option contracts on the Menlo Park company May 29, according to specialist firm Susquehanna Investment Group. This is sooner than normal for a company going public. The exchange typically waits a month or more before offering these options, but investor interest in the social media giant accelerated that timetable.

There wasn't much to like about Facebook's first day as a public company. The social media giant's stock rose by mere pennies in its initial public offering. The shares closed at $38.23, barely above the $38 IPO price. The performance fell far short of the grandiose expectations of Wall Street and Silicon Valley, and raised questions about whether the company's stock will be the sure bet many had counted on. "There was all this pressure and hype and attention with all eyes on Facebook — and the starlet tripped on the red carpet," said Max Wolff, an analyst at GreenCrest Capital Management in New York.

BEIJING - "Beijing power struggle heralds end of China Communist Party," screams one headline. More sensational headlines purport to reveal how the wife of recently sacked Politburo member Bo Xilai poisoned an Englishman, who may have been her lover. And if that weren't enough, other stories claim that "Bo planned airline crash" and "slept with more than 100 women. " It's payback time for Chinese exiles, especially those with a printing press, television station or just a computer at their disposal.

Start-up companies generally get their money from two sources: professional venture investors and, a few years down the road, stock market investors. What's the difference? Here's how one of the smartest high-tech entrepreneurs I know puts it: "Venture money is expensive money, but it's smart money. Stock market money is cheap money, but it's dumb money. " Facebook is about to cannonball itself into a vast pool of dumb money. The big social media company is expected to announce its initial public offering as soon as Wednesday.

Facebook Inc. is certain to make a dramatic entrance to the stock market Friday with its hotly awaited initial public offering. What's less certain is whether you should buy the stock. Enthusiasts have salivated for months over the prospect of buying into Facebook's surging growth rate and untapped advertising potential. They hope Facebook can mimic the stratospheric rise of Google Inc. in its early years, when its shares ballooned from $85 at its 2004 IPO to nearly $750 barely three years later.

If you're a small investor seeking a piece of the Facebook initial public offering, here's the bad news: You're too late and you're too poor. That's the good news too, by the way. Investment frenzies - and stock market veterans have been filling the news media lately with the claim that they've never seen anything like this one - almost never end prettily for the participants. What may have stoked the flames this time were hints that Facebook or its Wall Street underwriters might crack open a window for small investors, who almost never have a shot at high-profile IPOs.