Read: Ambac vs. EMC, St. Joe Squeeze?, John Paulson Makes Money, Cotton, Domino's, Post Office Closures, Market Pullback

Headlines for 1/25/2011

JP Morgan Sold Investors MBS Covered By "SACK OF SHIT" Loans... Then Shorted All Those With Exposure: A Goldman-AIG Redux (Zero Hedge) *Lawsuit: Ambac vs. EMC Mortgage (formerly part of Bear Stearns who's now part of JP Morgan)

E-mails Suggest Bear Stearns Cheated Clients Out of Billions (The Atlantic)

Bank of America Sued for Countrywide's Mortgage Sins, Again (Daily Finance) *New York Insurance Company, TIAA-CREF vs. Countrywide (now part of Bank of America)

No Audit At All: Deloitte and Bear Stearn (Francine McKenna at

Cotton Is Pulled to Another High $1.6789 (WSJ)

Paulson Posts More Than $1 Billion in Citi Gains (Financial Times)

Interesting posts regarding a potential St. Joe short squeeze. In the end, does JOE need to take impairment charges or not? Einhorn thinks the company is worth $7-10 per share!.

Fairholme, Brookfield, GGP and St. Joe’s (

St. Joe ($JOE) May Be Ripe for a Short Squeeze in 2011 (Morningstar)
SAC acquired a 5.3 percent stake in Domino’s Pizza ($DPZ) (New York Times/DealBook)

Market Pullback Coming in February: Citi's Levkovich (CNBC)

Faber Sees 10% Drop in S&P 500, Says Stocks Expensive (BusinessWeek)

Distressed Housing Sales Surge……Good (

SEC Charges Merrill Lynch for Misusing Customer Order Information and Charging Undisclosed Trading Fees (

Egypt anti-govt protests escalate (w/ video) - Al Jazeera

Lowe's to Cut 1,700 Management Jobs, Hire More Weekend Staff (Bloomberg)

Up to 2,000 Post offices face closure (WSJ). *Due to laws, it takes up to two years to close a post office. That might change.