Wednesday morning headlines

Stocks rebounding: After five straight down days, including Tuesday's 212-point drop, this could the time to buy. Dow is up about 100 points.

Gas update: Another price drop - an average gallon of regular in the L.A. area is $4.276, according to the Auto Club, down close to a penny from Tuesday and a nickel from a week ago. Oil prices have been slumping of late.

Dodger sale expected to be approved: Major League Baseball will not challenge the $2.15-billion purchase in U.S. Bankruptcy Court, despite ongoing questions about the deal's financing. Also not challenging is Fox Sports. (LAT)

County assessor gets grilled: Supervisors wanted to know how early estimates on property tax revenue could be so wrong ($5.1 billion instead of $18.7 billion). From the LAT:

Supervisors said they had never seen such a steep estimated drop in such a short time. [John] Noguez and another person from his office said the December estimate was based on information covering the first nine months of 2011, when the area's housing market was relatively steady. But the market went into decline the last three months of the year, leading to the new forecast, they said. Supervisors seemed incredulous, saying they were not aware of such a sudden decline in the housing market and questioning the assessor's calculations.

U.S. sues Apple:The government is accusing Apple and five major book publishers of conspiring to limit competition for the pricing of e-books. From the WSJ:

The lawsuit, filed in Manhattan federal court by the U.S. Department of Justice's Antitrust Division, alleges Apple and the publishers reached an agreement where retail price competition would cease, retail e-books prices would increase significantly and Apple would be guarantee a 30% "commission" on each e-book sold. A settlement involving some of the publishers is expected to be filed Wednesday, according to a person familiar with the matter. U.S. Attorney General Eric Holder is expected to discuss "a significant antitrust matter" at a press conference later Wednesday.

Disney deal in China: The company will help develop the country's animation industry. From the LAT:

China's government has identified animation as a key area for development to boost the country's global influence, or "soft power." The interest in animation is due in part to the success of DreamWorks Animation's "Kung Fu Panda" franchise, which sparked wide debate within China about why the country can't leverage its culture as effectively as Hollywood.

Pension gap widens: That's the gap between the assets of the California State Teachers' Retirement System and its obligations to retirees. The pension system can't impose higher contributions on taxpayers or employers without legislative approval - and without more cash, the fund will run out of money in 35 years. (Sacramento Bee)