BUSINESS BRIEFS
New home sales slide continues
Associated Press
WASHINGTON — In more bad news for the beleaguered housing industry, sales of new homes fell in January for a third straight month, pushing activity down to the slowest pace in nearly 13 years. The median price of a new home dropped to the lowest level in more than three years.
The Commerce Department reported yesterday that new home sales fell by 2.8 percent last month to a seasonally adjusted annual rate of 588,000 units, the slowest pace since February 1995.
The median price of a new home dropped to $216,000 in January, down 4.3 percent from the December median sales price.
BIG OIL TO PAY $18B IN TAXES
WASHINGTON — The House approved $18 billion in new taxes on the largest oil companies yesterday as Democrats cited record oil prices and rising gasoline costs in a time of economic troubles.
The money collected over 10 years would provide tax breaks for wind, solar and other alternative energy sources and for energy conservation. The legislation, approved 236-182, would cost the five largest oil companies an average of $1.8 billion a year over that period, according to an analysis by the House Ways and Means Committee. Those companies earned $123 billion last year.
EURO TOPS $1.50 FOR FIRST TIME
BERLIN — The dollar sank yesterday to its lowest level ever against the euro after markets took comments from the Federal Reserve chairman as a sign that yet more U.S. rate cuts are on the way.
The 15-nation euro topped $1.50 for the first time since its 1999 introduction in Asian trading, then surged after Fed Chairman Ben Bernanke told the House Financial Services Committee that "the economic situation has become distinctly less favorable" since last summer.
That added to sentiment that the Fed is likely to add to recent rate cuts.
