Foreign relations: Fidel Castro didn’t meet with President Barack Obama during his visit to Cuba last week, but the retired leader responded today with a long, testy letter that concluded: “We don’t need the empire to give us anything.” USA Today reports Castro’s missive, titled “Brother Obama,” rejected the idea that his country needs U.S. assistance to stay afloat, arguing that Cuba is perfectly capable of producing the food and economic prosperity needed by its 11 million citizens. Responding to Obama’s suggestion that his visit should allow both countries to “leave the past behind,” Castro bristled, citing the failed Bay of Pigs invasion and the five-decade-old economic embargo as realities that can never be forgotten. Read the full story.
A new low: The price for the Federal Reserve’s decision to lower interest rates and inject cash into the economy may be coming due, the Houston Chronicle reports. The average credit rating for the companies on the S&P 500 has dropped to the lowest level in 15 years, according to Standard & Poor’s Ratings Services. It’s even lower than levels seen during the Great Recession, which prompted the Fed to act in the first place. When the average rating drops below the reliable BBB level, it usually signals that a spike in defaults is on the way. “Until recently, investors were willing to accept the heightened risks associated with speculative-grade (rated ‘BB+’ and lower) debt in return for higher yields,” says Standard & Poor’s credit analyst Jacob Crooks. “However, the residual hangover from years of lenient credit may become painful for lower-quality issuers, especially when lenders become more selective and discerning.” Read the full column.
One at a time: Though congressional Republicans’ bid to defund Planned Parenthood was vetoed by President Barack Obama, anti-abortion activists and politicians are achieving a growing portion of their goal with an aggressive state-by-state strategy. The Associated Press reports that over the past year, more than a dozen states have sought to halt or reduce public funding for Planned Parenthood. The latest to join the offensive is Florida; GOP Gov. Rick Scott signed a bill Friday that bars Planned Parenthood from accessing state funds. Defunding has been blocked by court action in some states such as Louisiana. But cutbacks in other states are forcing Planned Parenthood to drop contraceptive services, health screenings and other programs serving thousands of low-income women. Read the full story.
