Tuesday morning headlines

Stocks edge lower: Some encouraging economic news isn't getting much notice, at least so far. Dow is down a few points.

Good report for retail sales: October was the fifth straight month of increases - a big deal because consumer spending accounts for 70 percent of economic activity. (AP)

Mixed results for Wal-Mart: The retailer's third-quarter profit missed Wall Street expectations (largely the result of higher costs), but sales rose more than expected. (Reuters)

Another dollar chain comes to California: Family Dollar Stores will be opening in Fontana, Riverside, Ontario and Rialto -- areas that continue to struggle from the weak economy. (LAT)

Slight drop in gas prices: An average gallon of regular in the L.A. area is $3.898, down a penny or so from last week, according to the government survey. Prices have been hovering around the $3.90 mark for several weeks.

Cops clear NY park: The late-night raid resulted in dozens of arrests, as sanitation crews cleaned up what has been the center of the Occupy Wall Street movement. This morning, a judge ordered that protesters be allowed back in the park with their belongings. From the NYT:

[Mayor Michael Bloomberg] at his news conference, read a statement he had issued around 6 a.m. explaining the reasoning behind the sweep. "The law that created Zuccotti Park required that it be open for the public to enjoy for passive recreation 24 hours a day," the mayor said in the statement. "Every since the occupation began, that law has not been complied with" because the protesters had taken over the park, "making it unavailable to anyone else." "I have become increasingly concerned -- as had the park's owner, Brookfield Properties -- that the occupation was coming to pose a health and fire safety hazard to the protesters and to the surrounding community," Mr. Bloomberg said.

Housing agency running low on cash: New audit says there's close to a 50 percent chance that the Federal Housing Administration could require a taxpayer bailout in the next year. From the WSJ:

The FHA's perilous state underscores one of the hidden costs of the U.S. government's extraordinary efforts to rescue the housing market. In the past four years, as private lenders have pulled back from the mortgage market, the FHA's market share has swollen. It backed one third of mortgages used to finance home purchases last year, up from around 5% in 2006. The FHA doesn't make loans but insures lenders against defaults on mortgages that meet its standards.

Long wait on jobs recovery: California will have to wait at least five years to reach its previous employment levels, according to IHSGlobal Insight. "Job growth is very slow," said Jim Diffley, IHS's chief regional economist. (OC Register)

Pelosi aide goes after "60 Minutes": The House Minority Leader's office says the newsmagazine omitted key information from its report on how members of Congress use inside information to profit from stock trades. Pelosi was singled out in the report. (SF Chronicle)