Money in a Minute: Headlines From Around the Web

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In today's news: The economy isn't looking so hot, homes are selling for cash, Apple will update the iPhone, GM recalls crossovers, troop withdrawals won't save all that much, and two office supply stores might merge.

ECONOMY: Fed acknowledges economy is growing more slowly

After delivering an upbeat report on the economy at its last meeting, AP reports that Fed Chairman Ben Bernanke was less optimistic at the press conference following its most recent gathering, which ended yesterday. “Maybe some of the headwinds that are concerning us, like weakness in the financial sector, problems in the housing sector … some of these headwinds may be stronger and more persistent that we thought,” Bernanke said.

HOUSING: Cash buyers are kings in weak home sales market

Cash is king when it comes to home sales. “Last month, all-cash buyers accounted for 30 percent of existing home sales, up from 25 percent in May 2010, and 12 percent two years ago” USA Today reports.

TECH: Apple preparing faster iPhone for September

The next generation of iPhone will be faster and take better pictures. “Apple is also testing a new version of the iPad that has a higher resolution screen, similar to the one now used in the iPhone 4,” Bloomberg reports.

CARS: GM recalling 47,000 Cadillac SRXs in U.S.

General Motors is recalling more than 47,000 Cadillac SRX crossovers because of possible problems with the passenger-side air bags. “A right-side passenger in the back seat may not be protected and could get hurt in a front or side crash,” MSNBC reports. “GM said no injuries have been reported.”

MILITARY: Troop drawdown won’t stop spending machine

When President Obama pulls troops out of Afghanistan, the savings will be “probably less than $10 billion,” CNN reports. “The U.S. has already run up a $443 billion tab in Afghanistan.”

RETAIL: Office Depot and OfficeMax may need to merge

If you can’t really tell the difference between Office Depot and OfficeMax, you might not have to for long. “Office Depot, the second-largest U.S. office-supply chain, has plunged 90 percent to $1.16 billion in the last five years, more than any American retailer that still has a market value greater than $500 million,” Bloomberg reports. “OfficeMax was valued at $664 million yesterday after plummeting 78 percent, the third-steepest drop.”

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