Stories Making Headlines Right Now

WORLD MARKETS
Asian markets lower

It appears there's no bottom yet to Asian
markets' downward spiral.
Declines across the region have added to a global sell-off that
started last week as the world economic slump showed no sign of
letting up.
Despite billions in government dollars, financial firms have
continued to reel from losses. Trouble with American International
Group and HSBC dragged Wall Street down Monday. The Dow fell below
7,000 for the first time in more than 11 years.
A director at Macquarie Private Wealth in Sydney predicts more
pain before a turnaround. Lucinda Chan says fear is driving the
markets right now.
Markets clawed back some of their losses, though most bourses
headed lower.

TRANSUNION-MORTGAGE DELINQUENCIES
Mortgage delinquencies up for 8th straight quarter

The number of people who were late making their
mortgage payments shot up 53 percent in the fourth quarter of 2008
from the same period in 2007. That's according to data provided by
TransUnion LLC.
The credit reporting agency says its database shows
delinquencies -- the percentage of mortgage holders at least 60
days behind on payments -- jumped to 4.58 percent nationally, from
2.99 percent for the 2007 fourth quarter.
Florida has the highest delinquency rate, followed by Nevada,
Arizona and California.
The lowest rate is in North Dakota.
The agency, best known for its consumer credit rating data,
projects delinquency rates could reach as high as 8 percent by the
end of the year. The company isn't predicting that the climate will
improve until the middle of 2010.

UNEMPLOYMENT RATE
Rhode Island now has double digit unemployment

Tiny Rhode Island now has one of the
highest unemployment rates in the country -- over 10 percent.
The January mark is about a full point higher than a month
earlier.
State leaders are still searching for a high-tech replacement
for the long-ailing manufacturing sector, which once promised
blue-collar workers lifetime employment and benefits. Last year,
Rhode Island lost 19,000 jobs, including more than 4,000 in
manufacturing.
Rhode Island fell into a deep recession early and has trailed
only Michigan in joblessness.

OBAMA-TAXES
Lawmakers take first whack at Obama budget plan

President Barack Obama is sending his Treasury
secretary to Capitol Hill today to defend his proposed tax
increases.
Lawmakers in both parties question Obama's call to reduce
high-income earners' tax deductions for the interest on their house
payments and for charitable contributions.
And Obama's proposal to start taxing industries on their
greenhouse gas emissions is also getting heat. The move is certain
to raise consumers' electric rates.
Treasury Secretary Tim Geithner appears before the House Ways
and Means Committee, where he'll also be quizzed about Obama's
declaration last week that he may be asking Congress for another
$750 billion bailout for troubled banks.
Budget Director Peter Orszag is to testify before the House
Budget Committee.
This will give lawmakers their first chance to publicly question
top officials about the details of the budget plan Obama unveiled
last week.

MIDEAST-CLINTON
Clinton: US will work with any Israeli government

Secretary of State Hillary Rodham Clinton says
the U.S. will work closely with any new Israeli government.
Clinton is in Jerusalem on her first Mideast visit as the top
U.S. diplomat. She spoke after meeting with Israeli President
Shimon Peres on Tuesday.
Clinton says the U.S. will work with any government that
"represents the democratic will of the people of Israel."
Hard-line Likud leader Benjamin Netanyahu is forming a coalition
government and is expected to be sworn in as the country's next
prime minister within weeks.
Clinton is set to meet Netanyahu later in the day.

US-BRITAIN
Obama hosts British leader

The global economic crisis tops the agenda as
President Barack Obama meets with Britain's prime minister today.
Gordon Brown is the first European leader to visit the new
president.
Both men are struggling with a deepening recession and continued
financial market turmoil. They're vowing new, tighter rules to
prevent any future mortgage crunch from turning into a worldwide
financial meltdown.
Brown will also address Congress during his U.S. visit.
He'll warn lawmakers that the last thing the world economy needs
right now is for the U.S. to turn protectionist.
The stimulus package Obama signed last month included a
buy-America provision, even though it was carefully worded to avoid
breaching world trade rules.

IRAQ
US military says number of Iraq detainees falling

The U.S. military says the number of detainees it
is holding in Iraq has dropped to 13,832 from a peak of 26,000 two
years ago.
The prisoners are being released or transferred to Iraqi custody
to meet the requirements of a security agreement that took effect
on Jan. 1.
American forces in Iraq can no longer hold suspects without
charge as they have done since the U.S.-led 2003 invasion. The
agreement requires the American military to hand over detainees
wanted by the Iraqis and release the rest.
The military says in a statement issued Tuesday that it has been
releasing an average of 50 detainees a day.

CRICKETERS ATTACKED-ICC
NEW: ICC condemns attack on cricket players in Pakistan

The head of the International
Cricket Council is condemning the attack on Sri Lanka's national
cricket team in Pakistan.
Haroon Lorgat, the ICC's chief executive, says Tuesday's attack
was a "source of great sadness" and is "upsetting for the wider
cricket family."
Five police officers were killed and at least two players were
injured when gunmen attacked vehicles carrying the Sri Lankan
players in the eastern Pakistani city of Lahore.
Lorgat said in a statement issued Tuesday by the ICC's
headquarters in Dubai that the remainder of the tour has been
canceled and the Pakistan Cricket Board is working with Sri Lanka
Cricket to fly the players home.
It was unclear who was behind the assault.

BABY IN TOILET
Police investigating Ill. mother find baby's body

Authorities investigating a woman accused
of trying to kill her newborn baby say they have found the remains
of another infant in her home.
Police believe the remains had been at Elyse Mamino's home in
Belleville, Illinois, near St. Louis, for more than a year.
No charges have been filed in the new development.
Authorities say Mamino gave birth at a house party in November
and tried to drown her baby in a toilet.
Emergency responders and a bystander were able to revive the
baby girl after someone called authorities. Police say it's not
clear if she suffered brain damage.
Mamino was arrested last week and charged with attempted murder.
Relatives are caring for the surviving child.

CASTRONEVES-TAX CHARGES
Opening statements set in Castroneves tax trial

Prosecutors and defense lawyers are delivering
opening statements in the Miami tax evasion trial of race car
driver and "Dancing With The Stars" winner Helio Castroneves.
Testimony from the first witness is expected to follow the
attorney comments Tuesday in a trial that could last six weeks.
Two-time Indianapolis 500 winner Castroneves, his business manager
sister and a lawyer are accused of scheming to hide about $5.5
million from the Internal Revenue Service in foreign accounts.
Castroneves insists he is innocent and that he relied on tax
experts to handle that area of his finances. Prosecutors contend
all three defendants were well aware they were violating U.S. tax
law. Castroneves faces more than six years in prison if convicted.