"No, the IT revolution is not over" - says this Fed paper. Those "great vampiric beasts that bestride London's economy..." Expect even more fiscal drag in the years ahead? The correction that cometh like a thief in the night. An asset-allocation missive from Hugh G. Shortphall. Will more disclosure really stop insider trading? Is it even the SEC's top priority? Twitter's influence in the Turkish protests, graphed. US stocks ended up, with the S&P 500 closing up 0.59 per cent, despite the worst manufacturing ISM number since June 2009 in May - or because of it, as it increased expectations that the Fed will remain with its easy policy for a bit longer (Reuters). Senators are nearing a plan to liquidate Fannie Mae and Freddie Mac within five year, and to replace them with a government reinsurer of mortgages. Senators Bob Corker and Mark Warner are leading the drafting of the legislation, which could appear in the Senate this month as a "baseline" for a bipartisan deal. A new "Federal Mortgage Insurance Corp" would go on to develop a new platform for mortgage securitisation under the plan (Bloomberg). Zynga announced it will cut 18 per cent of its workforce. The 520 job cuts will take the digital gaming company's staffing to levels when it made its IPO in December 2011 (Wall Street Journal). Apple told a civil antitrust court that it did not conspire with publishers over e-book prices. Having already settled with five publishers over the case, the US government alleges that Apple took a position as the ringleader of a plan to eliminate competition in the market and shore up margins. "This dramatic price increase was no accident . . . but rather a deliberate scheme by Apple," the government's lawyer said in opening statements at the Manhattan court (Financial Times, Wall Street Journal). The most popular bond mutual funds lost an average 1.8 per cent in May, their worst performance since October 2008. Funds that invest in higher-rated bonds with average maturities of under 10 years have rarely seen such a broad decline (Financial Times). The ECB is unlikely to unveil a "bazooka" for the eurozone's SME credit crunch. The central bank's analysis of the problem has instead pointed it towards a greater clean-up of banks" balance sheets, including a review of asset quality. Little is now expected of an existing study of proposals to revive ABS markets and broaden small businesses" access to financing (Financial Times).