Friday morning headlines

Stock market closed: The bond and futures markets are open on Good Friday, but trading this morning has been light, even with the jobs report (see previous post).

Factory revival: Manufacturing employment continued to trend up in March, with the addition of 17,000 payroll jobs. For the first three months of the year, the sector has added 45,000 jobs. From the WSJ:

Manufacturing often is one of the first parts of the economy to revive after a recession. But this recession was deeper and longer than any downturn since the Depression. Big parts of the U.S. and global economies--including real estate and consumer spending--show continued strain. Many U.S. employers remain reluctant to hire. The ISM survey showed that manufacturing employment continued to improve in March, though at slower pace than the month before.

Jump in junk bonds: Companies set a new quarterly record by issuing $75.5 billion in high-yield debt for the first three months of 2010. No big surprise - investors are hungry for the bigger returns, even if the debt is considered riskier. (DealBook)

Riordan on Karatz: The former L.A. mayor testified on behalf of the former CEO of KB Home, who is on trial for illegally backdating stock options. From the LAT:

"I think he's an outstanding character who respects the law. He has a very high level of integrity," said Riordan, whose voice was so powerful that defense attorney John Keker instructed him to back away from the microphone. During a brief cross-examination by Assistant U.S. Atty. Alexander A. Bustamante, the former mayor acknowledged that he was not familiar with the evidence in the case. His testimony lasted 10 minutes.

How not to manage a city: If the DWP withholds $73 million from the general fund, L.A. with have a $290 million budget shortfall and little cash by June 30. From the LAT:

"There's no cushion," [said City Controller Wendy Greuel]. "So when the reserve fund gets below zero, there's no money left. Cooler heads should prevail about the fiscal situation in the city. This is too serious of an issue to not try to resolve this." Even if officials were to suddenly shift their positions, no DWP increase could be granted over the next three months because of state laws that regulate the timing of utility rate hikes.

Biz consultants for City Hall: The new program, being paid by private sponsors, would be aimed at creating jobs and helping companies. It was suggested by Villaraigosa's deputy mayor of economic and business policy, Austin Beutner, who says he's looking for people who would infuse the city with a "different level of energy." (LAT)

Rock and Republic files for bankruptcy: The Culver City-based maker of premium denim jeans said the filing would ease pressure on its balance sheet. Day-to-day operations are expected to continue. (LAT)

Newscast ratings fall: Both ABC's "World News" and CBS' "Evening News" have hit new lows, while NBC's "Nightly News" scored its best first-quarter numbers since 2005. Over all, it's 9.92 million viewers for NBC; 8.27 million for ABC and 6.45 million for CBS. (NYT)