WALL STREET P.M. 06.16.09STOCKS FALL FOR 2ND DAY

DJIA: -107.46 CLOSE 8,504.67
S&P 500 -11.75 CLOSE 911.97
NASDAQ -20.20 CLOSE 1,796.18

GOOD REPORT ON HOUSING
CAN'T PREVENT DECLINES
CNN/MONEY: Stocks tumbled for a second session in a row Tuesday on continued worries that the recession is not waning . . . Better-than-expected reports on housing and wholesale inflation gave stocks a boost early in the session. But the advance was tepid and soon lost momentum as concerns about the economy reared up again. . . . READ MORE

OBAMA SEES 'LONG TIME'
ON ECONOMIC RECOVERY
BLOOMBERG: “You’re starting to see the engines of the economy turn,” President Obama said today in an interview at the White House. "It’s going to take a long time -- we had a huge de-leveraging that took place . . . What you’ve seen is that the pace of job loss has slowed . . . The economy is going to turn around, but as you know, jobs are a lagging indicator and we’ve got to produce 150,000 jobs every month just to keep pace, just to flatten this out." . . . READ MORE

FORECAST: UNEMPLOYMENT
WILL REACH DOUBLE DIGITS
ASSOCIATED PRESS: "The economy will return to growth but not to health," Bruce Kasman, chief economist for JPMorgan Chase & Co. and chairman of the American Bankers Association's Economic Advisory Committee, said Tuesday. . . . But jobs will remain scarce and the unemployment rate will keep rising . . . peaking at 10 percent in the first three months of 2010. The rate will remain elevated through 2010 . . . READ MORE

RALLY 'TOO MUCH, TOO FAST'
BLOOMBERG: U.S. stocks fell, sending the Standard & Poor's 500 Index to its biggest two-day tumble since April . . . commodity producers sank on concern the economic recovery is stalling.. . . "The assumption that the economy was turning, that we were going to see growth again, was a little premature," said Clarence Woods Jr., chief equity trader with Baltimore-based MTB Investment Advisors, which manages $12 billion. "The rally was way too much, too fast." . . . READ MORE