UPDATE 1-Moody's may cut $5.0 bln of CDO RMBS tranches

(Reuters) - Moody's said the CDO tranches affected were rated "Baa" or
lower and the move follows cuts it made on Tuesday to 399 RMBS
secured by subprime mortgage loans. Moody's also placed 32
additional issues under review for downgrade on Tuesday.




"The rating actions taken today were based on the CDOs'
current respective portfolios and the CDOs' structures,"
Moody's said. The rating agency said it was reviewing whether
current ratings assigned were still consistent with revised
loss expectations.


Read more at Reuters.com Bonds News

US Rep. Frank says he expects hedge fund data bill

(Reuters) - He also said the committee would hold a hearing this autumn
to examine the role credit rating agencies may have played in
valuing subprime packages.




Bear Stearns Cos. Inc. recently said it would
provide about $1.6 billion to bail out one of its two
struggling hedge funds that had big losses by making bad bets
tied to subprime mortgage loans, which are held by consumers
with weak credit.


Read more at Reuters.com Bonds News

Treasuries Decline First Time in Three Days on Stock Advance, Fed Comment

(Bloomberg) -- Treasuries declined for the first
time in three days as stocks advanced and Federal Reserve Bank
of Philadelphia President Charles Plosser said the housing slump
is unlikely to derail economic growth.

The drop in government bonds suggested investors' demand
for the safest debt prompted by the rout in subprime mortgages
may ease. Ten-year note yields earlier fell to the lowest in
more than a month after Moody's Investors Service and Standard &
Poor's warned about the credit quality of billions of dollars in
bonds backed by subprime loans.


Read more at Bloomberg Bonds News

UPDATE 1-US SEC adopts rule to protect hedge fund investors

(Reuters) - WASHINGTON, July 11 - The U.S. Securities and
Exchange Commission on Wednesday took a step to regulate the
hedge fund industry by adopting a rule to protect investors
from hedge fund advisers who make false or misleading
statements.




The rule was approved amid growing Congressional scrutiny
of the roughly $1.5 trillion hedge fund industry, which often
employs high-risk techniques to pull in tremendous returns.


Read more at Reuters.com Government Filings News

Circuit City names chief financial officer

(Reuters) - Circuit City announced in February that then-finance chief Michael Foss was leaving to become chief financial officer at Petco Animal Supplies Inc. Foss had worked at Circuit City for 3-1/2 years.




This year, Circuit City has announced store closures, job cuts and a plan to replace 3,400 workers with lower-paid staff in a bid to turn around its business and win market share amid heavy competition from Best Buy and discounters such as Wal-Mart Stores Inc.


Read more at Reuters.com Business News

UPDATE 1-Quebecor Media pulls $750 mln junk bond sale - KDP

(Reuters) - Quebecor had said proceeds of the bond sale were to be used
to finance its acquisition of Osprey Media Income Fund
, to buy all of the common shares of Nurun Inc. it
did not already own and to make a payment to the Carlyle
Group.




A spokesman for Quebecor Media could not immediately be
reached for comment.


Read more at Reuters.com Mergers News

Yen Drops Versus Euro as Advance in Stocks Signals Return to Risky Assets

(Bloomberg) -- The yen fell versus the euro, dollar
and a dozen other major currencies as strength in U.S. stocks
signaled investors are returning to risky assets.

Investors sold the yen as they resumed so-called carry
trade bets, where they borrow in Japan to purchase securities in
countries where interest rates are higher. The yen gave up gains
posted earlier today and yesterday when investors fled risky
trades following Moody's Investors Service's move to cut ratings
on $5.2 billion of bonds backed by U.S. subprime mortgages.


Read more at Bloomberg Currencies News