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New home sales plunge to new low
WASHINGTON -- Sales of new homes plunged in March to the slowest pace in 16 1/2 years as a two-year housing downturn extended into the start of another spring sales season. The median price of a new home in March compared to a year ago fell at the fastest clip in 38 years. Sales of new homes dropped by 8.5 percent last month to a seasonally adjusted annual rate of 526,000 units, the slowest sales pace since October 1991, the Commerce Department reported Thursday. Housing, which boomed for five years, has been in a prolonged slump for the past two years with sales and home prices falling at especially sharp rates in formerly hot sales areas. Some analysts said they believe the slide in sales may be close to ending, although they said any rebound is likely to be slow and anemic with prices continuing to fall, possibly until this time next year. E-commerce still going strong WASHINGTON -- Internet commerce continues its robust growth, defying a sluggish economy that's teetering on recession, Google's chief economist and several analysts said Friday. Electronic commerce has grown about 22 percent in the last two years, said Hal Varian, the economist, who spoke at a forum on the state of the Internet economy at Google's new Washington office. Ed Garrubbo, chairman of the Electronic Retailing Association, said online sales jumped 17 percent in the first quarter of this year. "The lesson here is that the economic slowdown is not an Internet slowdown," Varian said. "The Internet is looking pretty strong compared to other sectors." Microsoft has rosy outlook for 2009 SEATTLE -- Microsoft Corp. is looking ahead to a strong fiscal 2009, with or without Yahoo. The software maker gave Wall Street a first peek at guidance for next year, indicating that strong worldwide sales would overpower hiccups in the U.S. economy that could depress information technology spending. But investors disappointed with Microsoft's more immediate outlook for the current fourth quarter and with weaker-than-expected sales in the division responsible for Windows sent shares down 5 percent in after-hours trading. Panel seeks clearer warning on Lasik surgery WASHINGTON -- Patients harmed by Lasik eye surgery told federal health advisers Friday of severe eye pain, blurred vision and even a son's suicide. The advisers recommended that the government warn more clearly about the risks of the hugely popular operations. About 700,000 Americans per year undergo the laser surgery. Like famed Lasik recipient Tiger Woods, they're hoping to throw away their glasses, just as the ads say. And while the vast majority benefit -- most see 20-20 or even better -- about one in four people who seeks Lasik is not a good candidate. A small fraction, perhaps 1 percent or fewer, suffer serious, life-changing side effects: worse vision, severe dry eye, glare, inability to drive at night. A decade after Lasik hit the market, there still are questions about just how often patients suffer bad outcomes from the $2,000-per-eye procedure. |
