by Calculated Risk on 12/23/2010 06:09:00 PM

Note: I'll be posting some tomorrow, and will be on a normal schedule next week.

• A couple of European stories ...
From Reuters: Fitch cuts Portugal rating one notch on debt levels
From Bloomberg: Hungary's Credit Rating Cut by Fitch on Budget; Debt Grade Nears `Abyss'

• From John Carney at CNBC: Bank of America Loses Key Battle In Mortgage Fraud Fight(ht Erik)

A New York court ruled yesterday that a bond insurer claiming Bank of America’s Countrywide unit fraudulently induced it to insure $21 billion of mortgage-backed securities can use statistical sampling to prove its case.

• Earlier, the final Reuters / University of Michigan consumer sentiment index was released. The index increased to 74.5 in December from 71.6 in November (preliminary was 74.2).

Click on graph for larger image in graphics gallery.

This is the highest level since June 2010, but sentiment is still at levels usually associated with a recession - and sentiment is well below the pre-recession levels.

In general consumer sentiment is a coincident indicator.

Earlier:
• Comments on November Personal Income and Outlays Report
• New Home Sales weak in November