Barclays may have lost big in Bear fund-WSJ

(Reuters) - Bear Stearns said on Tuesday that assets in the fund are at
this point essentially worthless.




The Journal said Barclays was reviewing its options for
recovering the $400 million, citing arbitration, a negotiated
settlement or litigation as possible strategies.


Read more at Reuters.com Bonds News

European Stocks Fall Amid Hedge-Fund Losses, Earnings Outlook; Total Drops

(Bloomberg) -- European stocks dropped this week
following three weeks of gains as investors speculated hedge-fund
losses at Bear Stearns Cos. may signal wider problems in credit
markets and the strong euro might erode earnings.

``There are fears more hedge funds might get into trouble,''
said Juergen Lukasser, who helps manage $20 billion as head of
equities at Constantia Privatbank AG in Vienna. ``After months of
smooth sailing the question of how much risk you're willing to
take has come back. In the long run this might lead to more risk
aversion, making it more difficult to finance takeovers.''


Read more at Bloomberg Stocks News