Newsweek Web Exclusive - RETAIL |  Nov 20, 2008

Bargain hunters are headed online again this year. But will they really find cheaper prices?

Online shopping for bargain. courtesy of caltechsa.co.za

By Caitlin McDevitt

Judging from the grim holiday retail outlook, the Grinch seems to be getting his way this year. The latest bad news is that Internet-retail-sales growth has hit a seven-year low, climbing only 1 percent in October compared to the year-ago period, according to market-research firm ComScore.

But it’s not all bad. At least Internet retailers are doing better than their bricks-and-mortar counterparts. A new survey by The Conference Board and the research firm TNS shows that planned online holiday spending will be up 9 percent from last year, to $42.5 billion—compared to a meager 1.5 percent growth rate in storefront spending. According to that survey, 36 percent of people polled said they planned to spend $100 to $499 online this holiday season (up from 35 percent last year). The sub-$100 category is also growing, with 32 percent saying they would spend that amount online this year versus 29 percent last year. The Conference Board survey found that books, clothes, movies and toys are at the top of e-shopping lists.

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CNNMoney - Special Report Mortgage Meltdown, Last Updated: November 20, 2008: 6:01 PM ET

By halting evictions, the mortgage giants get time to implement a recent rescue plan.

foreclosures rescue plan. courtesy of foreclosure-support.com

By Les Christie, CNNMoney.com staff writer

NEW YORK (CNNMoney.com) — Mortgage giants Fannie Mae and Freddie Mac have directed their network of servicers to halt all foreclosure and eviction proceedings between Nov. 26 2008 and Jan. 9, 2009, meant to give a recently announced rescue plan time to work.

The Streamlined Modification Program, set to launch Dec. 15, enables delinquent borrowers to get a modified mortgage that lowers payments to no more than 38% of their gross incomes.

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Silicon Alley Insider - Eric Krangel | November 20, 2008 6:51 PM

The first microsoft bond. courtesy of usandv.com

Microsoft (MSFT) filed documents with the SEC to issue bonds for the first time. CFO Chris Liddell paved the way for this after the Yahoo offer, which Microsoft planned to fund partly through debt. The difference between then and now, however, was that Microsoft had something in particular to spend the money on.

So why is it issuing bonds now, when it already has cash coming out of its ears? To make another pass at Yahoo? To buy Salesforce.com? Another company?

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CNNMoney - Special Report Issue #1: America’s Money, Last Updated: November 20, 2008: 6:49 PM ET

The Congress has extended benefits for out of work Americans. Here are 5 things every worker should know about their unemployment check.

Unemployed workers wait to file unemployment claims outside a state office in Los Angeles, Calif. courtesy of Joel Stettenheim/Corbis

By Jessica Dickler, CNNMoney.com staff writer

NEW YORK (CNNMoney.com) — Congress passed legislation late Thursday to extend the period of government assistance to Americans struggling in the shrinking job market.

The bill, which was already approved by the House, is expected to be quickly signed by President Bush.

The measure helps people whose benefits have recently expired, extending benefits by seven weeks in all states and extending them for another 13 weeks on top of that in states with unemployment rates that have averaged 6% or higher over the most recent three months.

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InformationWeek - November 20, 2008 02:48 PM

From the fourth quarter of 2007 to the first quarter of 2008, the industry saw its first quarter-to-quarter revenue drop since the second quarter of 2004, an IAB report shows.

Online business network. courtesy of jasonspalace.com

By Antone Gonsalves

Revenue growth from online advertising is slowing, as the economic downturn takes its toll, industry figures released Thursday showed.Signs of a slowdown are in this year’s quarter-to-quarter comparisons from the Interactive Advertising Bureau. From the fourth quarter of 2007 to the first quarter of 2008, the industry saw its first quarter-to-quarter revenue drop since the second quarter of 2004. Starting in the first quarter of this year, revenue has remained relatively flat. From the first to second quarters, online advertising sales were nearly the same. Revenue rose 2% from the second to third quarters.

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Silicon Alley Insider - Henry Blodget | November 20, 2008 9:50 AM

Depression 2.0 Comes To eCommerce. courtesy of thickets.net

If you weren’t shocked by the 1% growth of US retail eCommerce in October, you should have been. The industry was growing 15% six months ago, and it has now smashed into a wall.

It’s hard to believe November and December will be better, and, in fact, they will probably be worse. Which means eCommerce could actually shrink year-over-year in Q4.

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Businessweek - Investing November 20, 2008, 12:01AM EST

A rapid drop in inflation may help shoppers’ dollars go further, but it’s a disturbing trend for investors

what investors need to know courtesy of pbs.org

By Ben Steverman

Forget inflation for now. Prices are falling on almost everything, including stocks.

Investors need to adjust to a new reality: A few months ago, inflation was a top worry, especially the impact of sky-high fuel prices. Now, although consumers can celebrate falling prices at the gas pump, investors’ worry is exactly the opposite.

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