PRESS DIGEST - Wall Street Journal - Nov 24

Nov 24 (Reuters) - The following were the top stories in The Wall Street Journal on Tuesday. Reuters has not verified these stories and does not vouch for their accuracy.

* The proportion of U.S. homeowners who owe more on their mortgages than the properties are worth has swelled to about 23 percent, threatening prospects for a sustained housing recovery.

* HSBC has told retail clients to remove their small holdings of gold from its New York vault so the bank can make room for more lucrative institutional customers.

* Some federal officials are pressing U.S. pay czar Kenneth Feinberg to ease up on American International Group Inc (AIG.N) compensation curbs for 2010, arguing that the firm and taxpayers would suffer if they are too severe.

* Francois-Henri Pinault, PPR's (PRTP.PA) chief executive, is stripping the company of its once-core French retail business in order to focus entirely on global consumer and luxury brands.

* Consumers are generally cautious heading into the critical holiday shopping season, with preseason trends suggesting that electronics sales may be solid while sales of apparel, particularly women's styles, could get pummeled.

* Hewlett-Packard Co (HPQ.N) reported a 14 percent jump in quarterly profit, an indication that a big bet on technology services and cost-cutting has put the Silicon Valley giant in a strong position as the economy starts to recover.

* Financier Carl Icahn outbid Penn National Gaming Inc (PENN.O) Monday to place a starting bid of $155 million for the Fontainebleau, a stalled hotel-casino project in Las Vegas whose construction is expected to cost nearly $3.5 billion.

* A major ratings company lowered its rating on Mexico's debt Monday, in another blow for a country pummeled by falling oil production, a recession and drug violence.

* Playboy Enterprises Inc PLA.N has agreed to outsource most of the business operations of its namesake magazine, as it seeks to stem losses and restore the cachet that helped embed the brand in the popular culture.

* New data show developed economies emerged from recession in the third quarter, but International Monetary Fund Managing Director Dominique Strauss-Kahn said further stimulus steps are needed before governments can let down their guard.

* Quarreling European Union governments agreed Monday to hold off striking individual deals with General Motors Co [GM.UL] for aid to its Adam Opel GmbH unit, and instead to coordinate their spending plans. ((Compiled by Neha Singh; Bangalore Equities Newsdesk +91 80 4135 5800; within U.S. +1 646 223 8780))