Tuesday morning links

TOP STORIES
Merrill to sell troubled assets, raise capital - AP
S&P/Case-Shiller 20-City Home-Price Index Fell 15.8% in May - Bloomberg
Only 13 percent of banks on watch list fail: FDIC's Bair - Reuters
U.S. drivers log 9.6B fewer miles in May - USA Today
Will the homeowner rescue help you? - Bankrate.com

MARKETS
Oil Declines as Stronger U.S. Dollar Dims Commodities' Appeal - Bloomberg
Gold steady as oil, weak equities support - Reuters
When Dr. Doom speaks, we should listen - Globe & Mail

ECONOMY
US chain store sales rise 1.2 pct last week-ICSC - Reuters
Fuel prices squeeze farmers at local produce markets - USA Today
America's big car love affair hits the skids - Globe & Mail

HOUSING
Home prices fall 15.8% in past year: Case-Shiller - MarketWatch
America's house price time bomb - BBC
FDIC May Stall Paulson Mortgage Plan - Forbes
Haitian strongman convicted of mortgage fraud in U.S. - CNN/Money

FED/TREASURY
Candidates blast White House's economic oversight - USA Today
Fed Debate Heats Up Over Rising Inflation Risk - Bloomberg
Treasury, Banks Promote 'Covered Bonds' - Washington Post

INTERNATIONAL
Credit crunch fallout will hamper homebuyers until at least 2010 - Guardian UK
Indian interest rates rise to 9% - BBC
Retailers suffer worst month in 25 years - Guardian UK
Japan Jobless Rate Rises to 4.1%, Highest Since 2006 - Bloomberg
Sales slump, listings jump as Canadian housing market cools - Globe & Mail

INTERESTING
Air tanker drops in wildfires are often just for show - LA Times
Gas Crisis Fuels Dubious Online Offers - PC World