More mortgage losses expected
Standard & Poor's Monday boosted its expectations for losses on risky loans backing U.S. mortgage securities to as much as 40 percent, suggesting a darkened outlook for the troubled housing market. According to a S&P report the more dire assessment is likely to significantly impact bonds originally carrying AAA ratings.

Fitch cuts California's government bond rating

California's long-term general obligation bonds had their rating cut by Fitch Ratings on Sunday from A- to BBB due to state's budget and cash flow crisis. California faces a $26.3 billion budget deficit for its fiscal year that began on July 1.

Ex-Goldman programmer bail set at $750,000
Federal police are holding a former Goldman Sachs computer programmer accused of stealing secret trading codes from the investment bank. His bail is set at $750,000.