Though a new WSJ/NBC poll shows a record 70% dissatisfied with the economy, 60% of American approve of President Barack Obama and 41% of Americans say the country is headed in the right direction. Before the 2008 election, only 12% believed America was moving in the right direction; in mid-January 26% thought so. This is the most positively Americans have rated the nation's future since January 2004. 44%, however, say the country is on the wrong track. One Democratic pollster says the number reflects how modern America is "apprehensive about the future, but willing to undertake big, bold policy initiatives." Democrats and African-Americans are the post positive, but Independents' and Republicans' views are increasingly negative. Nonetheless, 80% approve of Obama's Iraq plan, and while approval is still high on the president's healthcare plans, it's waning, likely due to apprehension about taxes and spending. Secretary of State Hillary Clinton also achieved an all-time approval rating high in the WSJ/NBC poll.

At least they didn't go much lower? Despite a few attempts to rally purchasing after yesterday's steep decline, the markets stayed down for the count on Tuesday with virtual flatlines. The Dow Jones Industrial Average sank 37 points, or 0.6%, ending at 6726, and the S&P and Nasdaq Composite each each slipped a fraction of one percent. The Wall Street Journal reports that abysmal February sales results from Ford and General Motors dampened financiers best attempts at a rally. Though the Treasury approved further loan facilitation for banks and creditors, financial stocks continued to drop. Life insurers took the hardest hit—investors are waiting for news on life insurers' access to TARP funds—Metlife fell 16% and Hartford Financial Services Group dropped 9%.

This one definitely won't have bipartisan support: Iowa Representative Steve King will introduce a "Victory in Iraq" resolution on Wednesday, "chronicling the success of the troop surge in Iraq and warning the new Commander-in-Chief that if he changes strategy, he takes ownership of whatever happens on his watch," according to the Washington Times. The "largely symbolic" bill stands in direct opposition to Senate Majority Leader Harry Reid's 2007 proclamation that the US "lost" the Iraq War. King has visited Iraq six times and says, "Our military has achieved a definable victory, and I want to tell them that America appreciates them." Think Progress notes that, prior to the Victory in Iraq bill, King's most famous moment was when he once argued that Obama would turn the US into a "totalitarian dictatorship." King's bill as 30 co-sponsors but is unlikely to make much progress in a predominantly Democratic House.

Obama's asking, but it's anybody's guess what they'll tell him: The White House confirmed on Tuesday that President Obama is consulting military advisers on how to remove the ban on gays serving openly in the military. The administration declined to specify whether the ban could be lifted immediately, or whether Obama is calling for a longer term, in-depth study. The announcement makes good on an Obama campaign promise but doesn't lock him into pushing the controversial idea into action any time soon, the Associated Press reports.

In one week in Europe, Jennifer Aniston's hair will rack up $55,000 in expenses, the Daily Mail reports. On tour for her new movie Marley & Me, Jennifer has reportedly insisted her hairdresser, Chris McMillan, come along for the ride and fly in first class the whole way. For London's premiere last night, Chris treated Jen to a sleek, flatironned do with a center part. McMillan is reportedly doing the trip with all expenses paid at the same hotels Jen is staying at. On top of that, he is thought to charge some $2000 per day for his services.

This isn’t exactly what you want to hear from your Treasury Secretary: According to Timothy Geithner, President Obama has inherited "the worst fiscal situation in American history." In testimony before the House Ways and Means Committee, Geither stressed the importance of reducing federal deficits but only after "the recovery is firmly established and financial stability has returned." After ringing up a $1.75 trillion deficit in 2010, the Obama administration plans to bring it down to $533 billion by 2013.

President Obama and British Prime Minister Gordon Brown are taking a big picture view of the current economic crisis. "What I am looking for is not the day-to-day gyrations of the stock market... but the long-term," Obama told reporters during an informal 20-minute joint press conference in the Oval Office this afternoon. He even said stocks are looking like "potentially a good deal... if you have a long-term perspective on it." Obama compared upheaval in the markets to daily political tracking polls. "It bobs up and down every day... if you spend your time worrying about that, you're probably going to get the long-term strategy wrong," he said. While Brown pressed for a "global New Deal," Obama cautioned that the rebound won't "happen overnight" and praised the "special relationship" between the two nations.

Secretary of State Hillary Clinton took on today what will be one of her tenure’s thorniest issues: Visiting Israel, Clinton said the U.S. "will be vigorously engaged in the pursuit of a two-state solution every step of the way." She stressed that she would work with whatever governing coalition emerges in Israel, and, having already met with Foreign Minister Tzipi Livni, she will meet with Prime Minister-designate Benjamin Netanyahu later today. Clinton also said that the U.S. will send two envoys Syria for “preliminary conversations” about restoring ties with Damascus.

Pundits are calling it the "dog whistle politics": When Obama speaks, whites hear one thing and blacks hear another. The difference is sometimes subtle—"Nah, we straight" turning down change at a chili restaurant, quoted as "No, we're straight" by a white reporter—but during some high-profile speeches, Politico argues, the effect can be profound, and Obama employs it with savvy. For instance, against rumors that he is Muslim, Obama said in South Carolina, "They try to bamboozle you, hoodwink you," a reference to Spike Lee's version of Malcolm X. Obama often alludes to the rhetoric of black figures like Martin Luther King Jr. and Langston Hughes, but without overt references, only those alert to this language notice. The reminder that Michelle comes from the "South Side of Chicago" also falls into "dog whistle" territory. "His language, mannerisms and symbols resontae deeply with his black supporters, even as the references largely sail over the heads of white audiences," which is how the presidnet avoids the Jesse Jackson pitfall of being "defined by race," says Politico. The tactic is said to be Obama's version of George W. Bush's use of evangelical rhetoric—"Bush had his cowboy strut, and Obama has his swagger."

After an arrest warrant was issued for an imprisoned Salvadoran immigrant for the killing of DC intern Chandra Levy nearly eight years ago, Chandra's parents are finally "tak[ing] solace in the fact that the search for the person responsible is ended." The warrant accuses Ingmar Guandique of killing Levy on May 1, 2008. Guandique is currently serving time for attacking two other women in the same park where Levy is thought to have been killed. The warrant could signal the closing chapter in the much-watched and sprawling affair of Levy's death, including the controversial end of US Congressman Gary Condit's career. Condit was questioned at the time of Levy's disappearance and the case captivated a nation's imagination and worst fears.

Should President Barack Obama consider his hand slapped? After word leaked earlier today that he had sent Russian President Dmitri Medvedev a letter offering to halt the construction of a missile-defense system in Eastern Europe in exchange for Russia’s cooperation in pressuring Iran to quit its nuclear program, Medvedev appears to have rejected an outright quid pro quo. “If we are talking about some sort of trade or exchange, then I can say that the question cannot be put that way. It’s not productive,” Medvedev said. But he added “what we are receiving from our American partners is evidence of one thing at least, that they are willing to discuss this problem, which is already good, because just a few months ago we were receiving different signals.”

Following Pope Benedict's YouTube warning to his younger followers that "virtual friendship" cannot substitute for real-world connections, and that "obsessive" texting "may isolate individuals from real social interaction while also disrupting the patterns of rest, silence and reflection," a group of Italian Catholics are encouraging their countrymen to give up texting for Lent. The campaign began in the dioceses of Modena, Bari and Pesaro and has spread to other regions of the predominantly Catholic nation. The Trento diocese, sandwiched in the Italian Alps, also urges youngsters to give up computer games and "egocentrism." (No more blogging, either?) Meanwhile other dioceses are pushing for television rejection and avoiding bottled water. A Venice priest explains that "sobriety" is not only part of Lent but recession-appropriate. But of course, where there is holiness, there is also dissent: One theologian says, "You might as well launch a campaign to turn off the electric light and stay in the dark. This wave of bizarre proposals risk making the whole idea of Lent banal."

A small sign of hope: Women in Afghanistan now have at least some refuge from domestic oppression in the form of newly created shelters across the country. Before 2003, shelters did not exist because they were viewed as "a foreign intrusion in Afghan society, where familial and community problems have traditionally been resolved through the mediation of tribal leaders and councils," reports The New York Times. But social organizations and the newly created Ministry of Women's Affairs give a place to stay for abused women like 13-year-old Gulsum, who was kidnapped by her father, forced to marry a man who threatened to kill her, and attempted suicide. Beating, torture, and trafficking are still prevalent around the country; however, government response to domestic violence has improved since the overthrow of the Taliban.

Last week, Federal Reserve Chairman Ben Bernanke was saying the recession could end this year. This week: More bailouts, please. Bernanke suggested in a speech before the Senate Budget Committee that the banking system will need money beyond the $700 billion in TARP funds already allocated. “Without a reasonable degree of financial stability, a sustainable recovery will not occur,” he said. “Although progress has been made on the financial front since last fall, more needs to be done.”

Want to know who’s really in charge of the Republican Party? New RNC chairman Michael Steele has apologized to Rush Limbaugh for calling him an “entertainer,” “incendiary,” and “ugly.” “My intent was not to go after Rush – I have enormous respect for Rush Limbaugh,” Steele said in an interview with Politico. “I was maybe a little bit inarticulate. … There was no attempt on my part to diminish his voice or his leadership.” And, as if Limbaugh’s ring needed extra kissing, Louisiana Governor and presidential aspirant Bobby Jindal said he was “glad” Steele apologized.

Admire the gumption: After bidding $40.4 million for two bronze sculptures at Yves Saint Laurent's estate auction, Chinese collector Cai Mingchao has refused to pay up, saying that the sculptures were looted from China. The refusal to pay for political purpose is, according to art experts, a first, and tarnishes Saint Laurent’s record $476 million estate sale. According to The Wall Street Journal, “Mr. Cai joins a months-long dispute between Christie's and China over the fate of the bronzes, which are believed to have been looted from Beijing's Imperial Summer Palace when French and British forces attacked in the mid-1800s. The Chinese government challenged the auction in French court and demanded the objects' return, but a French judge ruled the auction could proceed.”

Does this mean taxpayers can have the money back? Bank of America CEO Ken Lewis tells the Financial Times today that requesting $20 billion in aid to prop up his bank's takeover of Merrill Lynch was a “tactical mistake” because it made his bank look as weak as Citigroup. He also vowed he would stay on until BofA repays its $45 billion bailout, which could be in two or three years. He said it was an “abundance of caution” that led him to request more than was necessary. Bank of America’s share price has dropped 76 percent since it took over Merrill.

Steel yourself for a year of photos with Angelina Jolie donning an array of wigs. Today the actress began filming Salt, in which she plays a rogue CIA agent with a possibly secretive Russian past. The spy thriller promises to hearken back to the heady days of action films, with Phillip Noyce of Clear and Present Danger and Patriot Games taking the director's chair. Last year Tom Cruise was set to play the title character-Edwin A. Salt-but when he dropped out the role was changed to suit Jolie. "We had to rethink the whole notion of how a man vs. a woman operates in the business world, in personal relationship and in friendships," said producer Lorenzo di Bonaventura.

The LAPD announced today that it had completed its investigation into Chris Brown's alleged abuse of pop star Rihanna and passed it onto the district attorney. The D.A., however, said through a spokeswoman, "It's not true. There's been no meeting, no new information." Brown is scheduled for arraignment tomorrow. The apparent breakdown in communication is only the latest nugget in the ongoing tale of Brown and Rihanna's torrid relationship. They reunited last weekend in Miami and spent time together at a mansion owned by P. Diddy, where Brown was photographed living it up doing figure 8s on a jet ski.

Is this why Bernard Madoff allegedly (some say dubiously) left his wife out of his Ponzi scheme? According to the New York Daily News, Bernard Madoff’s lawyers are claiming that a $17 million Wachovia account, $45 million in municipal bonds, and his $7 million penthouse belong to his wife Ruth and therefore shouldn’t be subject to forfeiture. His lawyers also agreed to lift the freeze on some of his assets so the trustee looking for the lost money can use them to pay back investors.

Earlier today, a convoy carrying the Sri Lankan cricket team through Pakistan was attacked by a dozen gunmen with automatic weapons. All the players appear to have survived, but six policemen and two bystanders were killed. Seven players and two others were wounded but seem to be okay. An umpire, meanwhile, is in critical condition, having been shot in the back. No attackers were killed or captured.

Danny Boyle may not be slummin’ it for long. The Best Director winner is rumored to be in the running to helm the next film in the Bond franchise, writes The Sun. Barbara Broccoli, the head of the Bond franchise at EON Productions, is said to have offered him the director’s chair for the 23rd Bond film and the third for actor Daniel Craig. If the deal goes through—Boyle is weighing several offers around Hollywood—perhaps a little awards action might finally be thrown 007’s way.

A sighting more rare than Bigfoot: Fidel Castro has recently been spotted walking the streets of Havana after being discharged from a hospital, where he has remained since his 2006 emergency intestinal surgery. A jogger and various witnesses spotted the 82-year-old former Cuban president strolling around in shorts and a track jacket while being heavily trailed by security. The government, which has declared Mr. Castro’s illness a state secret, does not allow residents to discuss where and when they saw the Castro, although Venezuelan president and Castro-fanboy Hugo Chavez said in a speech last week that Castro walking was “a miracle” and that “the people cried.”

March has arrived but spring is holding out: the massive blizzard that blanketed the northeast yesterday, dropping eight to 12 inches of snow in most places, left a trail of wreckage behind it: a 15-mile traffic jam in North Carolina; 350 car crashes in New Jersey; 900 cancelled flights in New York; and, tragically, four deaths in Massachusetts, Rhode Island, and Long Island. On the bright side: New York City school children enjoyed their first snow day since 2004.

At least the Dow Jones has company in its current pit: After the Dow dropped below 7000 and hit a 12-year low yesterday, Asian markets also sunk. The Hang Seng Index lost 2.8 percent and Japan’s Nikkei 225 dropped 1 percent, and the HSBC share price fell almost 20 percent after it announced it would raise more capital. The sell-offs were spurred, in part, by AIG’s announcement of a $61.2 billion fourth-quarter loss—the worst corporate quarter of all time.

A big scoop from The New York Times: In a (now not-so) secret letter to Russian President Dmitri Medvedev sent three weeks ago, President Obama offered to halt plans to build the Bush-approved missile-defense system in Eastern Europe, provided that Moscow help stop Iran from developing long-range weapons. One senior administration official said, “It’s almost saying to them, put up or shut up…It says the threat has to go away.” Secretary of State Hillary Clinton will discuss missile defense with Foreign Minister Sergey Lavrov in Geneva on Friday.

Investors are breathing a sigh of relief this morning as the Dow, S&P 500, and Nasdaq edged higher after the opening bell. Following yesterday's tumble back to 1997 levels (the Dow closed at 6,763), the Dow rose nearly 100 points in initial trading and the S&P was up over 1 percent. The Associated Press links the morning boost to optimism over details of a new government program intended to increase available credit: "The Federal Reserve plans to lend up to $200 billion initially to spur consumer and small business borrowing for autos, education, credit cards and other expenses."