Lehman Strategist Bennett Says Corporate Bond Risk `Only For The Brave'

(Bloomberg) -- Ben Bennett, a credit strategist at
Lehman Brothers Holdings Inc. in London, comments on today's
increase in corporate bond risk.

Contracts on 10 million euros ($13.8 million) of debt
included in the iTraxx Crossover Series 7 Index of 50 European
companies increased by 28,000 euros to 474,000 euros, according
to JPMorgan Chase & Co. Earlier the index rose as high as
504,000 euros.


Read more at Bloomberg Bonds News

Banks and brokers shares fall on subprime woes

(Reuters) - Declines were led by banks perceived to have high exposure to mortgages and other fixed income businesses, including Lehman Brothers Holdings Inc. , which fell 5 percent, and Bear Stearns Cos. , which fell as much as 4.1 percent.




Lenders specializing in mortgages dropped as well. Countrywide Financial Corp. shares fell 3.7 percent, while the shares of subprime specialist NovaStar Financial Inc. fell 8.7 percent.


Read more at Reuters.com Business News

Stocks in Europe `Decouple' From Rising Credit Market Risk, Lehman Says

(Bloomberg) -- European stocks are less dependent on
increasingly risky credit markets and still have room to gain
because of low share prices and ongoing earnings growth,
according to Lehman Brothers Holdings Inc.

The risk of owning European corporate bonds has climbed in
recent weeks on concern that defaults in the U.S. subprime
mortgage market may increase. Even so, stocks, which tend to
react negatively to a rise in so-called credit spreads, have
advanced in the region, Lehman said.


Read more at Bloomberg Stocks News

Wall Street Gets Boost From SEC Regulation, May Earn Another $4.4 Billion

(Bloomberg) -- Never mind that Wall Street's profit
growth in the second quarter probably was the worst in two
years. A new regulation relieving capital restraints may enable
the biggest U.S. securities firms to make the rest of 2007
exceptional for shareholders.

Goldman Sachs Group Inc., Morgan Stanley, Merrill Lynch &
Co., Lehman Brothers Holdings Inc. and Bear Stearns Cos. have
the potential to earn $4.4 billion more annually as early as
next year by moving money out of safe investments into higher-
returning bets, said Dorothy Leas, a former treasurer at Paine
Webber Group Inc. and Cowen Group Inc. The earnings gain, which
would equal 14 percent of the New York-based firms' record
profits of 2006, follows a rule change that allows them to hold
less money in reserve for potential losses.


Read more at Bloomberg Currencies News

Lehman Completes Its Biggest Sale of Bonds Backed by Japan's Real Estate

(Bloomberg) -- Lehman Brothers Holdings Inc., which
holds more than $2 billion of debt, property and other assets in
Japan, sold 78.7 billion yen ($646 million) of bonds backed by
real estate in the nation, its biggest sale of such securities.

Lehman sold the bonds to Japanese banks and other investors,
said Mark Gabbay, the firm's managing director in Tokyo. The
bonds were split into 10 portions with different credit ratings
and maturities, he said.


Read more at Bloomberg Bonds News

Global Stocks May Rise Another 7 Percent in 2007 on Earnings, Lehman Says

(Bloomberg) -- Global stocks will probably advance 7
percent in 2007 from current levels, buoyed by earnings growth,
according to Lehman Brothers Holdings Inc.

``We remain bullish on the outlook for global equities,''
Ian Scott, a London-based equity strategist at Lehman Brothers,
wrote in a report dated today. ``Cash returned to shareholders
remains exceptionally high, while earnings continue to surprise
on the upside.''


Read more at Bloomberg Stocks News