Katy Perry
Image: Shutterstock
Good morning. Here's what you need to know.
  • Asian markets traded both higher and lower overnight, with Hong Kong's Hang Seng up 1.37%, while the Nikkei fell 0.46%. Europe is slightly down while U.S. futures point to a slightly positive open. 
  • The Spanish government expects the country to fall back into recession, posting negative growth in the fourth quarter of 2011 and first quarter of 2012. New Economy Minister Luis de Guindos says that slight contraction could cause the economy to shrink by 1% in 2012.
  • Italian's cut back sharply this holiday season, making it the worst Christmas in 10 years.  On average, households spent €48 less per person this year. In the U.S., online shopping surged more than 16% on Christmas. 
  • French unemployment hit a 12-year high this November, underscoring problems in the region. Data released from the Labor Ministry showed 2.85 million job seekers without work, or 9.3%.
  • Japan announced a new pact with China and another to come with India, Bloomberg reports. The $10 billion swap agreement with India would help stabilize the Rupee, which has fallen 15% this year. 
  • South Korean consumer confidence fell to a three-month low following Kim Jong Il's death. The Bank of Korea said the reading dropped to 99, from 103 last month. Any reading below 100 indicates that consumers are pessimistic about the future.
  • Samsung will pay Sony 1.08 trillion won, or $935 million, for its stake in its LCD joint venture. Sony will take an $846 million write-down on its investment, as it transfers its shares to Samsung. Sony hopes to reinvest in its more profitable mobile phone and music division.
  • Bank of America is considering greater asset sales to boost reserves, Reuters reports. The bank has already sold more $50 billion worth of assets since 2010, but may need further capital to meet new regulatory requirements.
  • Sears will close 100 to 120 of its Kmart and Sears stores, taking a $1.6 to $2.4 billion charge. Same-store sales have continue to fall at the big-box and department stores, falling 4.4% at Kmart and 6.0% at Sears.
  • Standard & Poors Case Shiller housing price index and Consumer Confidence will be announced today. Economists are looking for home prices to decline 0.34% sequentially, and 3.22% year-on-year. However, consumer confidence is expected to climb to 58.6 from 56.0.