NEW YORK/DETROIT, (Reuters) - The U.S. government islikely to take a loss on General Motors Co in the firstoffering of the automaker's stock, six people familiar withpreparations for the landmark IPO said. Subsequent offerings of the government's holdings may beprofitable depending on how investors trade the newly listedstock, the sources said. (more)

QUETTA, Pakistan – A suicide bombing claimed by the Pakistani Taliban killed at least 43 Shiite Muslims at a procession in southwest Pakistan on Friday. The assault sharply drove up the toll of sectarian assaults in a country battered by massive flooding. To the northwest in Pakistan's restive tribal regions, two suspected U.S. missile strikes killed at least seven people in an area controlled by one of the main groups battling Americans in neighboring Afghanistan, Pakistani intelligence officials said. (more)

Hey, Arizona immigration law haters who are looking for some schadenfreude: it's popcorn time. Because here's a clip of Arizona Gov. Jan Brewer last night giving one of the worst debate opening statements... ever? Sure, let's go with "ever." (more)

Former Obama administration car czar Steven Rattner is coming out with a new book that depicts him swashbuckling through the financial crisis and also shows Obama as "out to get" the car companies and the administration making political decisions about how to deal with bankrupt automakers GM and Chrysler. Rattner, a former New York Times reporter in Washington, made a mint as a hedge funder, became a massive Democratic donor and returned to D.C. as Obama's point man during the bailout and takeover of ... (more)

Reuters - China on Friday offered a rare glimpse into its foreign exchange reserves, confirming that they are overwhelmingly allocated in dollars, while a central banker said the mountain of cash could face depreciation risks (more)

WASHINGTON – Congress seems increasingly reluctant to let taxes go up, even on wealthier Americans. Worried about the fragile economy and their own upcoming elections, a growing number of Democrats are joining the rock-solid Republican opposition to President Barack Obama's plans to let some of the Bush administration's tax cuts expire. Democratic leaders in Congress still back Obama, but the willingness to raise taxes is waning among the rank and file as the stagnant economy threatens the party's ... (more)

With the recovery faltering less than two months before the November congressional elections, President Obama's economic team is considering another big dose of stimulus in the form of tax breaks for businesses - potentially worth hundreds of billions of dollars, according to two people familiar with the talks. (more)

WASHINGTON – Secretary of State Hillary Rodham Clinton is formally opening the first direct peace talks between Israel and the Palestinians in nearly two years, imploring the two sides to make compromises to forge an agreement. In a ceremony at the State Department, Clinton said the Obama administration is committed to reaching a settlement in a year's time. But she stressed that after decades of failed attempts the main work belongs to Israeli Prime Minister Benjamin Netanyahu and Palestinian Preside... (more)

McGREGOR, Texas – Rep. Chet Edwards, an imperiled Democrat deep in the heart of Republican territory, finds exiting American Legion Post No. 273 slow going. Supporters and well-wishers keep stopping him. The wife of a World War II veteran hugs him. Several men line up to shake his hand. Another woman talks to him for about 10 minutes, thanking him for his work on military issues, bringing jobs to this farm and ranching town of about 4,700 and, in her words, thinking for himself. (more)

WASHINGTON, DC – Like it or not, the will-she-or-won't-she whispers about whether Sarah Palin will throw her hat in the ring for a 2012 presidential bid won't end until she states verbatim, "I'm not running." Until then, even the slightest suspicions of her political ambitions will set off speculation. One of the larger such hints is her recent decision to be the keynote speaker at the Iowa Republican Party's Ronald Reagan Dinner. Not only because Iowa plays a unique role in kick-starting the presidentia... (more)