NYSE Dow Jones finished today at:

[bigdog]

Source: http://finance.yahoo.com

Worries about Europe's economic and debt problems sent stocks Tuesday to their first loss in four days.

The major indexes bounced up and down in another volatile day. The Dow Jones industrial average fell more than 120 points in the first half hour of trading after a report showed that Germany's economy stalled last quarter and dragged down growth for Europe.

The Dow recovered and had a slight advance at midday, but resumed its drop after the leaders of France and Germany tried to calm worries about Europe's debt problems by pushing for long-term political solutions. Investors were hoping for immediate financial measures like the introduction of a single bond jointly backed by the eurozone's members. The Dow fell as many as 190 points in the early afternoon before again recovering.

At the close, the Dow was down 76.97, or 0.7 percent, to 11,405.93. It was the first time in seven trading days that the Dow rose or fell by less than 100 points. The Standard & Poor's 500 index fell 11.73, or 1 percent, to 1,192.76. The Nasdaq composite fell 31.75, or 1.2 percent, to 2,523.45.

The NYSE DOW NYSE DOW closed LOWER -76.97 points -0.67% on Tuesday August 16
Sym .......Last .......Change..........
Dow 11,405.93 -76.97 -0.67%
Nasdaq 2,523.45 -31.75 -1.24%
S&P 500 1,192.76 -11.73 -0.97%
30-yr Bond 3.6490% -0.0980

NYSE Volume 4,982,330,000
Nasdaq Volume 2,050,989,000

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,357.63 +7.05 +0.13%
DAX 5,994.90 -27.34 -0.45%
CAC 40 3,230.90 -8.16 -0.25%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,317.30 0.00 0.00%
Shanghai Comp 2,608.17 -18.60 -0.71%
Taiwan We... 7,798.59 -20.80 -0.27%
Nikkei 225 9,107.43 +21.02 +0.23%
Hang Seng 20,212.08 -48.02 -0.24%
Straits Times 2,832.73 -41.67 -1.45%

http://finance.yahoo.com/news/US-stocks-fall-on-European-apf-4281013951.html?x=0

US stocks fall on European economic, debt worries

Strong earnings from US blue chips not enough to offset concerns about slowing global growth

Stan Choe, AP Business Writer, On Tuesday August 16, 2011, 5:43 pm

NEW YORK (AP) -- Worries about Europe's economic and debt problems sent stocks Tuesday to their first loss in four days.

The major indexes bounced up and down in another volatile day. The Dow Jones industrial average fell more than 120 points in the first half hour of trading after a report showed that Germany's economy stalled last quarter and dragged down growth for Europe.

The Dow recovered and had a slight advance at midday, but resumed its drop after the leaders of France and Germany tried to calm worries about Europe's debt problems by pushing for long-term political solutions. Investors were hoping for immediate financial measures like the introduction of a single bond jointly backed by the eurozone's members. The Dow fell as many as 190 points in the early afternoon before again recovering.

At the close, the Dow was down 76.97, or 0.7 percent, to 11,405.93. It was the first time in seven trading days that the Dow rose or fell by less than 100 points. The Standard & Poor's 500 index fell 11.73, or 1 percent, to 1,192.76. The Nasdaq composite fell 31.75, or 1.2 percent, to 2,523.45.

"The real question the market is trying to answer is: Are we going to have another recession or not?" said John Burke, head of Burke Financial Strategies with $200 million in assets under management. "Today, the answer is maybe yes, because it doesn't look like Europe has figured out a solution to its debt."

A proposal for a Europe-wide tax on financial transactions also hurt stocks, said Nick Kalivas, vice president at broker MF Global. "It's another slap in the face to the banking system" and would cut into profits and limit trading, he said. "The path toward economic growth still looks pretty uncertain."

The day's trading showed how critical economic developments about Europe have become to U.S. investors. But Tuesday's losses were moderate and pointed to some stability in the market after the selling that sent the S&P 500 down 17 percent from July 21 to last Wednesday.

In the U.S., economic reports Tuesday were mixed: Housing remains weak, but factory output rose last month at its fastest pace since an earthquake in Japan disrupted global manufacturing in March.

"Investors don't know which way to go here," said Paul Brigandi, senior vice president of Direxion Funds, which has about $7 billion in assets under management.

On one side, he said buying looks attractive because stocks are cheaper after the recent plunge.And more U.S. companies on Tuesday joined the stream of those that have reported earnings above analysts' expectations. But on the other side, selling looks appealing because of worries about the global economy and debt problems in the United States and Europe.

Prices for gold and Treasurys rose as money moved into investments considered safer. Oil fell on worries that a weaker economy will mean less demand for energy.

Fitch Ratings said Tuesday it will keep its credit rating on the United States at the top grade. Two of the three major credit-rating agencies now have stood by their AAA grade of U.S. debt. Standard & Poor's downgraded the U.S. on Aug. 5. That sent stocks on a volatile slide last week.

Europe's economy and debt troubles have been among global investors' main concerns over the last year and a half. On Tuesday, the European Union reported that economic growth in the 17 countries that use the euro slowed to 0.2 percent between April and June from 0.8 percent the previous quarter. Germany's growth fell to 0.1 percent from 1.3 percent.

That will make it even tougher for Spain and other countries to raise revenue. Some European countries have borrowed so much that they may need help repaying debt.

French President Nicolas Sarkozy and German Chancellor Angela Merkel called for a "new economic government" for Europe and said all countries that use the euro should have mandatory balanced budgets and better coordination of economic policy. They also pledged to harmonize their corporate taxes to show they are "marching in lockstep" to protect the euro.

In the U.S., the government reported that homebuilders are still stuck in their years-long slump. They broke ground on new homes at an annual rate of 604,000 last month, according to the Commerce Department. That's down from 613,000 in June. In 2005, before the housing bubble burst, housing starts were typically above 2 million.

Manufacturing may be recovering. The Federal Reserve said industrial production rose 0.9 percent last month on a pickup at auto factories, utilities and mines. Manufacturing was one of the strongest industries after the recession ended in 2009, but its growth has slowed this year.

Wal-Mart Stores Inc. rose 3.9 percent after it said net income rose 5.7 percent last quarter from a year ago on strong overseas sales. Earnings growth was stronger than analysts expected, and the world's largest retailer raised its profit forecast for the year.

Home Depot Inc. rose 5.3 percent after it said second-quarter net income rose 14 percent and raised its profit forecast.

Investors have largely ignored the strong earnings that companies have reported for the second quarter. Those in the S&P 500 index earned a record amount per share last quarter on an operating basis, which ignores one-time costs and other special items, according to S&P senior index analyst Howard Silverblatt.

Investors have been overwhelmed by the market's volatility, said Tim Holland, portfolio manager of the Aston/Tamro Diversified Equity fund. "When you have these big swings, people completely lose focus on companies and their results. They're paying more attention to the market than the companies that make up the market. The earnings season was good and better than expected."

Holland said companies also have healthier balance sheets than during the financial crisis of 2008. He has been buying stocks that are cheaper following the market's plunge. "We like to buy the best when they're depressed," he said.

Energy stocks in the S&P 500 fell 1.7 percent after oil fell $1.23 per barrel to settle at $86.65.

NYSE Euronext Inc. fell 8.4 percent for the biggest loss among stocks in the S&P 500 on worries that a possible European financial-transaction tax could hurt its profits.

Saks Inc. fell 4.6 percent after it said it's going into the fall season "a bit more cautiously." Its higher-income customers have been spending more, because they're more protected from the weak job market than middle-income Americans. But the volatile stock market could hurt wealthy shoppers' confidence.

The yield on the 10-year Treasury note fell to 2.22 percent from 2.31 percent late Monday as investors moved into things considered safer. A bond's yield falls when its price rises. The 10-year yield fell to a record low of 2.03 percent last week.

Gold rose $27 per ounce to settle at $1,785. Last week, it rose above $1,800 for the first time.

Nearly three stocks fell for every one that rose on the New York Stock Exchange. Trading volume at 4.5 billion was close to its average over the last year of 4.3 billion.

The Dow rose 213 points Monday after a series of acquisitions led by Google's $12.5 billion purchase of Motorola Mobility. Its rise of 763 points over three days was the Dow's biggest since November 2008, during the depths of the financial crisis.

 

[bigdog]

Source: http://finance.yahoo.com

Stocks rose modestly Wednesday after companies reported higher earnings but gave mixed forecasts about how the fragile economy and rising costs will affect their growth.

Target Corp., Staples Inc. and Dell Inc. reported earnings for last quarter that were above analysts' forecasts. Companies in the Standard & Poor's 500 are on track to report higher profits for a ninth straight quarter. But economic growth is weak around the world, and some economists worry that a second recession may be coming. That could hurt companies' earnings in the future -- and kept investors from buying with more enthusiasm Wednesday.

Dell's forecast added to investors' concerns: It cut its prediction for revenue growth this year. Target and Staples gave profit forecasts that were above Wall Street's expectations.

The Dow Jones industrial average rose 4.28 points to 11,410.21. The S&P 500 rose 1.13, or 0.1 percent, to 1,193.89. The Nasdaq composite fell 11.97, or 0.5 percent, to 2,511.48.

Seven of the 10 sectors that make up the S&P 500 rose. The biggest drops came from technology stocks, which fell 0.8 percent after Dell cut its forecast.

"There are a whole bunch of contradictory signals in the system now, and it's hard to tell which way to go," said Charlie Smith, chief investment officer of Fort Pitt Capital Group, which has just over $1 billion in assets under management.

Investors are still worried about Europe. Some countries have borrowed so much that they may not be able to repay their bonds, and economic growth there has slowed. Concerns about a possible default by a European country have dominated the market in recent weeks, along with worries about the slow U.S. economy.

Another concern Wednesday: Companies are contending with rising costs. Higher food prices helped push inflation at the wholesale level to 0.2 percent in July, according to a government report Wednesday. That compares with a 0.4 percent drop in June, but is still well below inflation levels earlier this year when violence in the Middle East forced oil prices higher. In February, wholesale prices rose 1.5 percent.

The NYSE DOW NYSE DOW closed HIGHER +4.28 points +0.04%on Wednesday August 17
Sym .......Last .......Change..........
Dow 11,410.21 +4.28 +0.04%
Nasdaq 2,511.48 -11.97 -0.47%
S&P 500 1,193.89 +1.13 +0.09%
30-yr Bond 3.5670% -0.0820

NYSE Volume 4,392,410,500
Nasdaq Volume 1,939,613,875

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,331.60 -26.03 -0.49%
DAX 5,948.94 -45.96 -0.77%
CAC 40 3,254.34 +23.44 +0.73%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,371.80 +54.50 +1.26%
Shanghai Comp 2,601.26 -6.91 -0.26%
Taiwan We... 7,741.76 -56.83 -0.73%
Nikkei 225 9,057.26 -50.17 -0.55%
Hang Seng 20,289.03 +76.95 +0.38%
Straits Times 2,828.53 -4.20 -0.15%

http://finance.yahoo.com/news/Stock...tml?x=0&sec=topStories&pos=main&asset=&ccode=

Stocks rise slightly on earnings reports

Stocks rise slightly after companies report stronger earnings but offer mixed forecasts

Stan Choe, AP Business Writer, On Wednesday August 17, 2011, 6:48 pm

NEW YORK (AP) -- Stocks rose modestly Wednesday after companies reported higher earnings but gave mixed forecasts about how the fragile economy and rising costs will affect their growth.

Target Corp., Staples Inc. and Dell Inc. reported earnings for last quarter that were above analysts' forecasts. Companies in the Standard & Poor's 500 are on track to report higher profits for a ninth straight quarter. But economic growth is weak around the world, and some economists worry that a second recession may be coming. That could hurt companies' earnings in the future -- and kept investors from buying with more enthusiasm Wednesday.

Dell's forecast added to investors' concerns: It cut its prediction for revenue growth this year. Target and Staples gave profit forecasts that were above Wall Street's expectations.

The Dow Jones industrial average rose 4.28 points to 11,410.21. The S&P 500 rose 1.13, or 0.1 percent, to 1,193.89. The Nasdaq composite fell 11.97, or 0.5 percent, to 2,511.48.

Seven of the 10 sectors that make up the S&P 500 rose. The biggest drops came from technology stocks, which fell 0.8 percent after Dell cut its forecast.

"There are a whole bunch of contradictory signals in the system now, and it's hard to tell which way to go," said Charlie Smith, chief investment officer of Fort Pitt Capital Group, which has just over $1 billion in assets under management.

Investors are still worried about Europe. Some countries have borrowed so much that they may not be able to repay their bonds, and economic growth there has slowed. Concerns about a possible default by a European country have dominated the market in recent weeks, along with worries about the slow U.S. economy.

Another concern Wednesday: Companies are contending with rising costs. Higher food prices helped push inflation at the wholesale level to 0.2 percent in July, according to a government report Wednesday. That compares with a 0.4 percent drop in June, but is still well below inflation levels earlier this year when violence in the Middle East forced oil prices higher. In February, wholesale prices rose 1.5 percent.

Economists say rising inflation reduces the chances that the Federal Reserve could announce another round of bond purchases to help the economy, a move called quantitative easing. The Fed just ended its second round of purchases, known as QE2, in June. "QE3 could be a hard sell" given higher inflation, Credit Suisse economists wrote in a report. They expect the government on Thursday to report that consumer prices rose 0.2 percent in July.

Preppy retailer Abercrombie & Fitch Co. fell 8.7 percent after its CEO warned of challenges ahead -- including higher expenses. Cost "pressures will be greater in the second half of the year, and macroeconomic uncertainty has increased," Mike Jeffries said, after the company reported a 64 percent rise in profit last quarter.

Dell said late Tuesday its profit rose 63 percent last quarter on strong demand from businesses and government agencies. But it also cited "a more uncertain demand environment" when it cut its forecast for annual revenue growth to a range of 1 percent to 5 percent. That's down from an earlier growth forecast for 5 percent to 9 percent. Dell stock fell 10.1 percent Wednesday.

Other companies are more optimistic. Retailer Target said it expects to earn between $4.15 and $4.30 per share this year. Analysts expected $4.14. Target also said its earnings last quarter rose 3.7 percent on sales of grocery, beauty products and other items. Target stock rose 2.4 percent.

Office products retailer Staples raised its profit forecast for the year after saying strong international sales pushed earnings up 36 percent last quarter.

Deere also raised its forecast for full-year earnings. It now expects to earn $2.7 billion this fiscal year, up from a May forecast of $2.65 billion. The maker of tractors and other heavy equipment said its profit rose 15 percent last quarter on strong demand for farm equipment.

Stocks have been particularly volatile in August. Worries rose as the U.S. government said it may default on its debt unless it was allowed to borrow more. The government just beat the deadline to avoid a default, but the partisanship in the debate came at a cost -- Standard & Poor's downgraded the U.S. credit rating on Aug. 5 by one notch to AA+ from the top AAA rating. That triggered one of Wall Street's wildest weeks: The Dow rose or fell by at least 400 points in each of the first four days of last week, the first time that has happened.

Markets appear to have calmed somewhat since then. Tuesday marked the first time since the Aug. 5 downgrade that the Dow rose or fell by less than 100 points. It fell 76 points on worries about Europe's ability to contain its debt problems.

Nearly three stocks rose Wednesday for every two that fell on the New York Stock Exchange. Consolidated trading volume was relatively light at 3.9 billion shares, the lowest in three weeks.

 

[bigdog]

Source: http://finance.yahoo.com

I have been overseas on holiday and my laptop crashed unrecoverable!!

The Dow Jones industrial average ended another turbulent week with a strong gain Friday after Federal Reserve Chairman Ben Bernanke said the U.S. was headed for long-term economic growth. It was the first winning week in a month.

Trading volume was light, a sign that many traders were leaving New York ahead of Hurricane Irene. The storm is expected to reach the region late Saturday night. A spokesman for the New York Stock Exchange said trading is expected to open as usual Monday.

Bernanke announced no new economic stimulus measures during his speech at a conference in Jackson Hole, Wyo., as some investors had hoped. He did leave open the possibility of more action if another recession looks likely.

Indexes fell sharply as the speech was released at 10 a.m. and it became clear that Bernanke was not promising additional support of the economy. The Dow Jones industrial average was down about 78 points shortly before the speech started and slumped as many as 220 points shortly after Bernanke started speaking. It recovered within an hour and stayed higher the rest of the day.

The Dow Jones industrial average rose 134.72 points, or 1.2 percent, to close at 11,284.54. It was up 4.3 percent for the week after being down the past four.

The Standard & Poor's 500 index rose 17.53, or 1.5 percent, to 1,176.80. It rose 4.7 percent for the week, its biggest gain since the week ended July 1. The technology-heavy Nasdaq composite index rose 60.22, or 2.5 percent, to 2,479.85.

Boeing Co. rose 2.8 percent, the most of the 30 stocks that make up the Dow. Tiffany & Co. rose 9 percent, the most of any of the 500 stocks in the S&P index, after the luxury retailer raised its profit forecast for the year.

The NYSE DOW NYSE DOW closed HIGHER +134.72 points +1.21% on Friday August 26
Sym .......Last .......Change..........
Dow 11,284.54 +134.72 +1.21%
Nasdaq 2,479.85 +60.22 +2.49%
S&P 500 1,176.80 +17.53 +1.51%
30-yr Bond 3.5340% -0.0580

NYSE Volume 5,040,873,000
Nasdaq Volume 1,873,150,625

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,129.92 -1.18 -0.02%
DAX 5,537.48 -46.66 -0.84%
CAC 40 3,087.64 -31.36 -1.01%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,271.00 -9.50 -0.22%
Shanghai Comp NaN NaN NaN%
Taiwan We... 7,445.10 +34.23 +0.46%
Nikkei 225 8,797.78 +25.42 +0.29%
Hang Seng 19,582.88 -169.60 -0.86%
Straits Times 2,748.18 -17.56 -0.63%

http://finance.yahoo.com/news/Bernankes-speech-sends-stocks-apf-3974365189.html?x=0

Bernanke's speech sends stocks higher; Dow up 134

Stocks turn higher as Bernanke predicts long-term growth; Dow breaks four-week losing streak

Daniel Wagner and David K. Randall, AP Business Writers, On Friday August 26, 2011, 5:44 pm EDT

The Dow Jones industrial average ended another turbulent week with a strong gain Friday after Federal Reserve Chairman Ben Bernanke said the U.S. was headed for long-term economic growth. It was the first winning week in a month.

Trading volume was light, a sign that many traders were leaving New York ahead of Hurricane Irene. The storm is expected to reach the region late Saturday night. A spokesman for the New York Stock Exchange said trading is expected to open as usual Monday.

Bernanke announced no new economic stimulus measures during his speech at a conference in Jackson Hole, Wyo., as some investors had hoped. He did leave open the possibility of more action if another recession looks likely.

Indexes fell sharply as the speech was released at 10 a.m. and it became clear that Bernanke was not promising additional support of the economy. The Dow Jones industrial average was down about 78 points shortly before the speech started and slumped as many as 220 points shortly after Bernanke started speaking. It recovered within an hour and stayed higher the rest of the day.

The Dow Jones industrial average rose 134.72 points, or 1.2 percent, to close at 11,284.54. It was up 4.3 percent for the week after being down the past four.

The Standard & Poor's 500 index rose 17.53, or 1.5 percent, to 1,176.80. It rose 4.7 percent for the week, its biggest gain since the week ended July 1. The technology-heavy Nasdaq composite index rose 60.22, or 2.5 percent, to 2,479.85.

Boeing Co. rose 2.8 percent, the most of the 30 stocks that make up the Dow. Tiffany & Co. rose 9 percent, the most of any of the 500 stocks in the S&P index, after the luxury retailer raised its profit forecast for the year.

In his speech, Bernanke focused on the long-term strengths of the U.S. economy. He said they "do not appear to have been permanently altered by the shocks of the past four years." That shot of optimism helped lift markets.

"In the American economy, the only thing that's really lacking right now is confidence," said David Kelly, chief market strategist at JPMorgan funds. "People who understand the limits of monetary policy also understand that the economy has what it takes to grow."

Other analysts said Bernanke's speech helped lift investor sentiment. Liz Ann Sonders, chief investment strategist at Charles Schwab, said Bernanke's speech was an "acknowledgement that the Fed is not out of tools and that they stand ready" to act if needed.

Underscoring how fragile the U.S. economic recovery is, early Friday the government said the nation's economy grew at an annual rate of just 1 percent in the April-June quarter, weaker than the government's first estimate of 1.3 percent. The report renewed concerns that the U.S. might be headed for another recession.

The Fed has said it plans to keep short-term interest rates low until mid-2013. Low rates on investments like bonds make higher-risk bets such as stocks more attractive. At last year's conference in Jackson Hole, Bernanke signaled the central bank would buy more government bonds to lower long-term interest rates.

The government lowered its estimate for economic growth in the April-June quarter because of fewer exports and weaker growth in business stockpiles. That means the economy expanded at an annual rate of only 0.7 percent in the first six months of the year, the worst pace since the recession ended in June 2009.

The yield on the 10-year Treasury note spiked in the hour after Bernanke's speech. It was 2.13 percent just before the speech and rose to 2.22 percent in the hour after the text was released. The yield was 2.19 percent late Friday.

The last time the New York Stock Exchange was closed because of weather was Jan 8., 1996, when the opening was delayed until 11 a.m. because of a snowstorm. Hurricane Gloria caused a shutdown on Sept. 27, 1985.

Five stocks rose for every one that fell on the New York Stock Exchange. Volume was relatively light at 4.2 billion.

 

[bigdog]

Source: http://finance.yahoo.com

So much for Irene.

Stocks rose broadly Monday, led by insurance companies, after it became clear that the tropical storm caused far less damage than many had feared. The Dow Jones industrial average jumped 254 points.

Trading volume, or the number of shares bought and sold, was the lowest since July 26 as many traders struggled to get to work in Lower Manhattan or were still on vacation.

Insurance stocks rose sharply as analysts lowered their estimates of how much damage the storm would cause. Allstate Corp. rose 8.5 percent, Hartford Financial Services Group Inc. rose 13 percent, and Travelers Cos. Inc. rose 5.1 percent. Insurance and banking stocks in the Standard & Poor's 500 rose 4.2 percent, the most of the 10 company groups that make up the index.

Kinetic Analysis Corp., a consulting firm, sharply lowered its estimate of storm damage from $20 billion late Thursday to $7 billion late Sunday as the storm weakened. Of that amount, insurers would probably have to cover up to $3 billion, Kinetic said. That's less than the $6 billion the industry paid out after Hurricane Isabel struck the region in 2003.

"The U.S. came more or less unscathed through the hurricane," said Kim Caughey Forrest, equity research analyst at Fort Pitt Capital Group. "The cleanup isn't going to cost as much as anticipated."

Utilities companies also rose after it became clear their storm-related expenses would be lower than earlier estimates. Duke Energy Corp., which serves customers in the Carolinas, rose 1.1 percent. New York's biggest utility company, Consolidated Edison Inc., rose 1.3 percent.

The New York Stock Exchange and other major U.S. exchanges opened as usual Monday after making extensive preparations over the weekend. At the NYSE, executives brought in dozens of cots so employees could sleep there to be ready for the opening bell.

The Dow Jones industrial average rose 254.71 points, or 2.3 percent, to close at 11,539.25. It is now down just 0.3 percent for the year. It had been down as much as 7.4 percent for the year on Aug. 10.

The Standard & Poor's 500 index rose 33.28 points, or 2.8 percent, to 1,210.08. The widely used market benchmark has now gained back all of the ground it lost since hitting a 2011 low on Aug. 8, after Standard & Poor's downgraded the U.S. government's credit rating. Since then, it has risen 8.1 percent.

The NYSE DOW NYSE DOW closed HIGHER +254.71 points +2.26% on Monday August 29
Sym .......Last .......Change..........
Dow 11,539.25 +254.71 +2.26%
Nasdaq 2,562.11 +82.26 +3.32%
S&P 500 1,210.08 +33.28 +2.83%
30-yr Bond 3.6230% +0.0890

NYSE Volume 4,228,073,500
Nasdaq Volume 1,648,368,500

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,129.92 -1.18 -0.02%
DAX 5,670.07 +132.59 +2.39%
CAC 40 3,154.20 +66.56 +2.16%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,333.70 +62.70 +1.47%
Shanghai Comp 2,576.41 -35.78 -1.37%
Taiwan We... 7,578.01 +132.91 +1.79%
Nikkei 225 8,851.35 +53.57 +0.61%
Hang Seng 19,865.11 +282.23 +1.44%
Straits Times 2,791.89 +43.71 +1.59%

http://finance.yahoo.com/news/Insur...tml?x=0&sec=topStories&pos=main&asset=&ccode=

Insurers drive stocks higher; Dow gains 254

Stocks jump after damage from Irene is less than feared; insurers lead broader market higher

Chip Cutter, AP Business Writer, On Monday August 29, 2011, 5:20 pm

NEW YORK (AP) -- So much for Irene.

Stocks rose broadly Monday, led by insurance companies, after it became clear that the tropical storm caused far less damage than many had feared. The Dow Jones industrial average jumped 254 points.

Trading volume, or the number of shares bought and sold, was the lowest since July 26 as many traders struggled to get to work in Lower Manhattan or were still on vacation.

Insurance stocks rose sharply as analysts lowered their estimates of how much damage the storm would cause. Allstate Corp. rose 8.5 percent, Hartford Financial Services Group Inc. rose 13 percent, and Travelers Cos. Inc. rose 5.1 percent. Insurance and banking stocks in the Standard & Poor's 500 rose 4.2 percent, the most of the 10 company groups that make up the index.

Kinetic Analysis Corp., a consulting firm, sharply lowered its estimate of storm damage from $20 billion late Thursday to $7 billion late Sunday as the storm weakened. Of that amount, insurers would probably have to cover up to $3 billion, Kinetic said. That's less than the $6 billion the industry paid out after Hurricane Isabel struck the region in 2003.

"The U.S. came more or less unscathed through the hurricane," said Kim Caughey Forrest, equity research analyst at Fort Pitt Capital Group. "The cleanup isn't going to cost as much as anticipated."

Utilities companies also rose after it became clear their storm-related expenses would be lower than earlier estimates. Duke Energy Corp., which serves customers in the Carolinas, rose 1.1 percent. New York's biggest utility company, Consolidated Edison Inc., rose 1.3 percent.

The New York Stock Exchange and other major U.S. exchanges opened as usual Monday after making extensive preparations over the weekend. At the NYSE, executives brought in dozens of cots so employees could sleep there to be ready for the opening bell.

The Dow Jones industrial average rose 254.71 points, or 2.3 percent, to close at 11,539.25. It is now down just 0.3 percent for the year. It had been down as much as 7.4 percent for the year on Aug. 10.

The Standard & Poor's 500 index rose 33.28 points, or 2.8 percent, to 1,210.08. The widely used market benchmark has now gained back all of the ground it lost since hitting a 2011 low on Aug. 8, after Standard & Poor's downgraded the U.S. government's credit rating. Since then, it has risen 8.1 percent.

The technology-focused Nasdaq composite index rose 82.26, or 3.3 percent, to 2,562.11.

The Russell 2000 index, a benchmark for small companies, rose 32.86 points, or 4.7 percent, to 724.65. That suggested investors were more willing to take on risk. Small company stocks are more likely to fall in economic downturns, but they also offer the potential of larger gains if the economy does well. The Russell is still down 7.5 percent this year, nearly twice as much as the S&P 500.

Bank of America Corp. rose 8.1 percent, the most of the 30 stocks that make up the Dow average, after the bank said it would sell half of its stake in China Construction Bank Corp. The bank has been selling assets to raise cash to comply with new banking regulations.

Last week billionaire Warren Buffett's company Berkshire Hathaway Inc. said it would invest $5 billion in the bank, giving the troubled company a badly needed boost of confidence. The nation's largest bank has lost 34 percent of its value over the past year as investors worry that its liabilities from soured mortgages will get worse and that it will have to sell large amounts of stock to raise capital.

An increase in consumer spending also helped push stocks higher. The government reported that spending rose 0.8 percent in July. It was a sharp turnaround from June, when Americans spent less for the first time in nearly two years.

Volume was low as transit disruptions made it difficult for Wall Street employees to get to work. Flooding and downed trees obstructed tracks throughout the commuter rail systems that bring workers in from the Connecticut, New York and New Jersey suburbs.

About 3.6 billion shares traded hands on the New York Stock Exchange, the lowest since July 26. That's also far below the average of 4.4 billion shares this year.

Many traders were on vacation in the last week of summer before the Labor Day holiday.

European stocks jumped after two Greek banks said they would combine to better weather that country's debt crisis. Greek stocks rose 14 percent after the country's second- and third-largest lenders agreed to combine, creating the country's largest bank. Greece's government and central bank have been urging banks to merge, saying it would help them survive the country's debt crisis.

Stocks worldwide plunged in late July and early August, partly because of worries about Europe's escalating debt problems. Greece has narrowly avoided bankruptcy twice thanks to emergency loans from the International Monetary Fund and other European countries.

 

[bigdog]

Source: http://finance.yahoo.com

The mere discussion of more economic stimulus from the Federal Reserve was enough to send stocks higher Tuesday. The Dow Jones industrial average rose 20 points, its third day of gains.

Minutes from the Fed's latest policy meeting on Aug. 9 showed that central bank officials discussed a variety of options to bolster the economy, including buying more Treasury bonds. In the end, they decided to keep interest rates low until at least mid-2013.

The news that more aggressive action was being considered gave investors a reason to buy stocks. "They want to see stimulus and they hope stocks will go higher," said Joseph Saluzzi, co-head of stock trading at Themis Trading.

The Federal Reserve has purchased Treasury bonds twice in the past as a way to keep long-term interest rates low. The Fed's first bond-buying program was in 2008, at the height of the financial crisis. The second, announced last August, helped to push the Dow up 28 percent through April 29. Lower interest rates on bonds give investors an incentive to move money out of bonds and into stocks and other assets.

Stocks were mixed for much of the day Tuesday after an index of consumer confidence plunged in August to the lowest level since April 2009. Trading volume was also lighter than normal because many investors are on vacation.

The Dow Jones industrial average rose 20.70 points, or 0.2 percent, to close at 11,559.95 Tuesday. The Dow was down as many as 109 points five minutes after the consumer confidence report came out at 10 a.m. It traded mixed for most of the day and turned higher in the last hour of trading. The Dow has risen for three days straight, and six out of the last seven.

Boeing Co. rose 2.2 percent, the most of the 30 companies in the Dow, after the aircraft maker said it received approval from its board to build a version of its workhorse 737 jet with a redesigned engine. That should help it compete better with rival Airbus.

The Standard & Poor's 500 rose 2.84 points, or 0.2 percent, to 1,212.92. The Nasdaq composite index rose 14, or 0.6 percent, to 2,576.11.

The NYSE DOW NYSE DOW closed HIGHER +20.70 points +0.18% on Tuesday August 30
Sym .......Last .......Change..........
Dow 11,559.95 +20.70 +0.18%
Nasdaq 2,576.11 +14.00 +0.55%
S&P 500 1,212.92 +2.84 +0.23%
30-yr Bond 3.5120% -0.1110

NYSE Volume 4,574,930,000
Nasdaq Volume 1,891,909,250

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,268.66 +138.74 +2.70%
DAX 5,643.92 -26.15 -0.46%
CAC 40 3,159.74 +5.54 +0.18%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,341.40 +7.70 +0.18%
Shanghai Comp 2,566.59 -9.82 -0.38%
Taiwan We... 7,646.19 +68.18 +0.90%
Nikkei 225 8,953.90 +102.55 +1.16%
Hang Seng 20,204.17 +339.06 +1.71%
Straits Times 2,791.89

http://finance.yahoo.com/news/Stock...1.html?x=0&sec=topStories&pos=5&asset=&ccode=

Stocks rise on hopes for more stimulus from Fed

Stocks turn higher after Fed minutes show some officials pushed for more economic stimulus

Chip Cutter, AP Business Writer, On Tuesday August 30, 2011, 5:14 pm EDT

NEW YORK (AP) -- The mere discussion of more economic stimulus from the Federal Reserve was enough to send stocks higher Tuesday. The Dow Jones industrial average rose 20 points, its third day of gains.

Minutes from the Fed's latest policy meeting on Aug. 9 showed that central bank officials discussed a variety of options to bolster the economy, including buying more Treasury bonds. In the end, they decided to keep interest rates low until at least mid-2013.

The news that more aggressive action was being considered gave investors a reason to buy stocks. "They want to see stimulus and they hope stocks will go higher," said Joseph Saluzzi, co-head of stock trading at Themis Trading.

The Federal Reserve has purchased Treasury bonds twice in the past as a way to keep long-term interest rates low. The Fed's first bond-buying program was in 2008, at the height of the financial crisis. The second, announced last August, helped to push the Dow up 28 percent through April 29. Lower interest rates on bonds give investors an incentive to move money out of bonds and into stocks and other assets.

Stocks were mixed for much of the day Tuesday after an index of consumer confidence plunged in August to the lowest level since April 2009. Trading volume was also lighter than normal because many investors are on vacation.

The Dow Jones industrial average rose 20.70 points, or 0.2 percent, to close at 11,559.95 Tuesday. The Dow was down as many as 109 points five minutes after the consumer confidence report came out at 10 a.m. It traded mixed for most of the day and turned higher in the last hour of trading. The Dow has risen for three days straight, and six out of the last seven.

Boeing Co. rose 2.2 percent, the most of the 30 companies in the Dow, after the aircraft maker said it received approval from its board to build a version of its workhorse 737 jet with a redesigned engine. That should help it compete better with rival Airbus.

The Standard & Poor's 500 rose 2.84 points, or 0.2 percent, to 1,212.92. The Nasdaq composite index rose 14, or 0.6 percent, to 2,576.11.

Companies that rely most heavily on consumer spending had some of the biggest losses. Retailers Kohl's Corp. and Lowe's Cos. each fell 2.2 percent. Best Buy Co. Inc. fell 0.8 percent.

The sharp fall in the measure of how U.S. consumers feel about the economy could mean weaker sales for retailers and makers of consumer goods like clothes and shoes. Retailers are in the midst of the critical back-to-school shopping season, which can account for as much as 25 percent of their annual revenue.

Trading volume, or the number of shares bought and sold, was lower than usual. About 3.97 billion shares exchanged hands on the New York Stock Exchange, almost a third less than Aug. 8, when stocks plunged on massive volume after the U.S. government's credit rating was downgraded.

Low volume is worrisome because it suggests that relatively few investors are driving the stock market's gains or losses. That creates the risk for bigger price swings, said Stephen Carl, principal and head of equity trading at The Williams Capital Group. A lack of volume also indicates that some investors don't believe that stocks are worth buying right now.

Stocks have swung widely in August. The Dow was down as much as 7.4 percent for the year on Aug. 10, but it is now down 0.2 percent. On Monday the Dow soared 254 points, its fourth-largest gain this year. Insurers rose the most after it became clear the damage from Tropical Storm Irene wasn't as bad as analysts had feared.

Bond prices have also been volatile. The yield on the 10-year Treasury note briefly fell to a record low below 2 percent on Aug. 18 on a very weak report on manufacturing in the Northeast from the Philadelphia Federal Reserve. On Tuesday, the yield fell to 2.18 percent, down from 2.27 percent late Monday.

 

[bigdog]

Source: http://finance.yahoo.com

It was a quiet end to a wild month for financial markets.

Stocks edged higher for a fourth straight day Wednesday on a report that factory orders surged in July. The Dow Jones industrial average turned higher for the year. The Dow's winning streak ended a tumultuous August that included four consecutive days of swings of 400 points or more, a first in the history of the index.

A surge in factory orders indicated to investors that the manufacturing industry is still healthy. Orders rose 2.4 percent in July, the largest increase since March, after falling 0.4 percent in June. That decline caused worries that manufacturing, one of the best-performing areas of the U.S. economy since the recession ended two years ago, might be starting to sputter.

The Dow rose 53.58 points, or 0.5 percent, to end at 11,613.53. It fell 4.4 percent for the month, although it is now up 0.3 percent for the year. Aluminum maker Alcoa Inc. rose 3.6 percent, the most of the 30 companies that make up the Dow average.

Joy Global rose 1.3 percent after the mining equipment maker said its earnings rose 46 percent because of strong global demand for commodities like copper and coal.

That helped to push up other stocks in the mining and commodities industry. Equipment giant Caterpillar Inc. rose 1.3 percent.

The Standard & Poor's 500 index rose 5.97, or 0.5 percent, to 1,218.89. It fell 5.7 percent for the month. Financial stocks were the worst performers in August as many worked to raise capital to comply with new regulations.

On Wednesday, nine of the 10 company groups that make up the index rose. The telecommunications industry was the only one to fall.

The NYSE DOW NYSE DOW closed HIGHER +53.58 points +0.46% on Wednesday August 31
Sym .......Last .......Change..........
Dow 11,613.53 +53.58 +0.46%
Nasdaq 2,579.46 +3.35 +0.13%
S&P 500 1,218.89 +5.97 +0.49%
30-yr Bond 3.5920% +0.0800

NYSE Volume 5,274,772,000
Nasdaq Volume 2,051,362,375

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,394.53 +125.87 +2.39%
DAX 5,784.85 +140.93 +2.50%
CAC 40 3,256.76 +97.02 +3.07%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,369.90 +28.50 +0.66%
Shanghai Comp 2,567.34 +0.75 +0.03%
Taiwan We... 7,741.36 +95.17 +1.24%
Nikkei 225 8,955.20 +1.30 +0.01%
Hang Seng 20,534.85 +330.68 +1.64%
Straits Times 2,885.26 +93.37 +3.34%

http://finance.yahoo.com/news/Dow-u...9.html?x=0&sec=topStories&pos=3&asset=&ccode=

Dow up for a fourth day, turns positive for 2011

Stocks climb on surge in factory orders; major indexes still have worst Aug. since 2001

Chip Cutter, AP Business Writer, On Wednesday August 31, 2011, 5:53 pm

NEW YORK (AP) -- It was a quiet end to a wild month for financial markets.

Stocks edged higher for a fourth straight day Wednesday on a report that factory orders surged in July. The Dow Jones industrial average turned higher for the year. The Dow's winning streak ended a tumultuous August that included four consecutive days of swings of 400 points or more, a first in the history of the index.

A surge in factory orders indicated to investors that the manufacturing industry is still healthy. Orders rose 2.4 percent in July, the largest increase since March, after falling 0.4 percent in June. That decline caused worries that manufacturing, one of the best-performing areas of the U.S. economy since the recession ended two years ago, might be starting to sputter.

The Dow rose 53.58 points, or 0.5 percent, to end at 11,613.53. It fell 4.4 percent for the month, although it is now up 0.3 percent for the year. Aluminum maker Alcoa Inc. rose 3.6 percent, the most of the 30 companies that make up the Dow average.

Joy Global rose 1.3 percent after the mining equipment maker said its earnings rose 46 percent because of strong global demand for commodities like copper and coal.

That helped to push up other stocks in the mining and commodities industry. Equipment giant Caterpillar Inc. rose 1.3 percent.

The Standard & Poor's 500 index rose 5.97, or 0.5 percent, to 1,218.89. It fell 5.7 percent for the month. Financial stocks were the worst performers in August as many worked to raise capital to comply with new regulations.

On Wednesday, nine of the 10 company groups that make up the index rose. The telecommunications industry was the only one to fall.

AT&T Inc. plunged 3.9 percent after the Justice Department filed a lawsuit to stop the company's $39 billion merger with rival T-Mobile USA. Sprint Nextel Corp., which opposed the deal, rose 5.9 percent.

The Nasdaq composite index rose 3.35, or 0.1 percent, to 2,579.46. It fell 6.4 percent for the month.

The Dow, S&P and Nasdaq each had their worst August since 2001.

The market is closing out an extraordinarily volatile month. The Dow was as high of 12,132 this month and as low of 10,719 in the span of 23 trading days.

The volatility that began in late July seeped into August amid the debate in Washington over extending the country's borrowing limit to avoid a debt default. The declines gained speed the week ended Aug. 5, when all three major indexes entered a correction, or a decline of 10 percent or more from a recent peak. Investors feared that Italy or Spain -- Europe's third and fourth largest economies -- would be unable to repay their debts. Some economists began to worry that the U.S. would slip into another recession.

Then came even worse news. Standard & Poor's lowered the nation's credit rating, and stocks plunged. The S&P 500 hit a low for 2011 on Aug. 8 and the Dow had four consecutive days of 400-point swings, the first time that's happened in its 115-year history.

Stocks had their first positive week in a month the week ended Aug. 26 after Federal Reserve Chairman Ben Bernanke said the U.S. remains on pace for long-term economic growth. The Dow has risen for seven of the last eight days.

Bond prices have also been volatile. The yield on the 10-year Treasury note briefly fell to 1.98 percent on Aug. 18, a record low, on weak manufacturing data from the Philadelphia Federal Reserve. On Wednesday, the yield rose to 2.21 percent from 2.18 percent late Tuesday.

Some investors chose to avoid the swings in stocks and bonds by parking their money in gold, but even that wasn't entirely a safe bet. Gold hit a record high of $1,891.90 an ounce Aug. 22. Two days later, it fell $104 to $1,757.30 an ounce. It rose $1.90 to $1,831.70 an ounce Wednesday.

Rex Macey, chief investment officer of Wilmington Trust, said he expected more sudden turns in the stock market until investors can determine if the U.S. economy is headed for another recession or a recovery.

"When you're on the edge of growth versus recession, that's a big difference," he said. "Being near the precipice means that markets are going to be more volatile."

 

[bigdog]

Source: http://finance.yahoo.com

A four-day rally on the stock market ended Thursday with a slump led by banks. Many investors also sold stocks ahead of the government's monthly jobs report Friday, fearful that it might revive worries that the U.S. could enter another recession.

Goldman Sachs fell 3.5 percent after regulators announced enforcement actions against a former subsidiary of the bank over mortgage and foreclosure practices. Bank stocks fell more than the rest of the market as investors worried that other banks might face similar reprisals. Financial stocks in the S&P 500 dropped 2.4 percent, the most of the 10 company groups that make up the index.

"There's obviously a lot of fear in the marketplace," said Ann Miletti, managing director and senior portfolio manager at Wells Capital Management. "Right now, the market's just lacking confidence."

The Dow Jones industrial average fell 119.96 points, or 1 percent, to close at 11,493.57. It rose as many as 103 points shortly after 10 a.m., when a key manufacturing report showed evidence of growth in August.

Retailers including Macy's and Costco rose after reporting strong sales last month, despite wild swings in the stock market and worries about the economy.

Goldman Sachs, in a settlement with a New York state banking regulator, agreed to stop controversial mortgage-related practices such as the "robo-signing" of documents. The settlement was a condition to Goldman's sale of its Litton Loan Servicing subsidiary, where the practices occurred.

The NYSE DOW NYSE DOW closed -119.96 points LOWER -1.03% on Thursday September 1
Sym .......Last .......Change..........
Dow 11,493.57 -119.96 -1.03%
Nasdaq 2,546.04 -33.42 -1.30%
S&P 500 1,204.42 -14.47 -1.19%
30-yr Bond 3.5130% -0.0790

NYSE Volume 4,780,403,500
Nasdaq Volume 1,789,351,875

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,418.65 +24.12 +0.45%
DAX 5,730.63 -54.22 -0.94%
CAC 40 3,265.83 +9.07 +0.28%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,382.70 +12.80 +0.29%
Shanghai Comp 2,556.04 -11.30 -0.44%
Taiwan We... 7,757.76 +16.40 +0.21%
Nikkei 225 9,060.80 +105.60 +1.18%
Hang Seng 20,585.33 +50.48 +0.25%
Straits Times 2,867.18 -18.08 -0.63%

http://finance.yahoo.com/news/Banks...tml?x=0&sec=topStories&pos=main&asset=&ccode=

Banks stocks lead market lower, ending 4-day rally

Stock indexes turn lower, led by banks; Goldman Sachs falls on mortgage settlement

Chip Cutter, AP Business Writer, On Thursday September 1, 2011, 5:18 pm

NEW YORK (AP) -- A four-day rally on the stock market ended Thursday with a slump led by banks. Many investors also sold stocks ahead of the government's monthly jobs report Friday, fearful that it might revive worries that the U.S. could enter another recession.

Goldman Sachs fell 3.5 percent after regulators announced enforcement actions against a former subsidiary of the bank over mortgage and foreclosure practices. Bank stocks fell more than the rest of the market as investors worried that other banks might face similar reprisals. Financial stocks in the S&P 500 dropped 2.4 percent, the most of the 10 company groups that make up the index.

"There's obviously a lot of fear in the marketplace," said Ann Miletti, managing director and senior portfolio manager at Wells Capital Management. "Right now, the market's just lacking confidence."

The Dow Jones industrial average fell 119.96 points, or 1 percent, to close at 11,493.57. It rose as many as 103 points shortly after 10 a.m., when a key manufacturing report showed evidence of growth in August.

Retailers including Macy's and Costco rose after reporting strong sales last month, despite wild swings in the stock market and worries about the economy.

Goldman Sachs, in a settlement with a New York state banking regulator, agreed to stop controversial mortgage-related practices such as the "robo-signing" of documents. The settlement was a condition to Goldman's sale of its Litton Loan Servicing subsidiary, where the practices occurred.

Also Thursday, the Federal Reserve said it ordered Goldman to review how foreclosures were handled at Litton. The Fed said there was a "pattern of misconduct and negligence" at Litton.

Stock indexes traded mixed for much of the day but turned lower after the Fed's announcement on Goldman Sachs came out at 1:30 p.m. They drifted lower for the rest of the afternoon.

Other banks also fell. Citigroup Inc. lost 3.4 percent and PNC Financial Services Group Inc. fell 3.2 percent. Bank of America Corp., which is facing many lawsuits over its dealings in mortgage-backed securities, also fell 3.2 percent.

The regulatory actions showed that problems related to the mortgage crisis in 2008 remain far from over, said Quincy Krosby, market strategist at Prudential Financial. She also said investors were nervous ahead of the Labor Department's jobs report.

The Standard & Poor's 500 index fell 14.47 points, or 1.2 percent, to 1,204.42.

SAIC Inc. fell 13.5 percent, the most in the S&P 500, after the technology company issued a full-year earnings forecast that was below analysts' expectations. The company, which provides engineering and technology services to the military and other agencies, cited tightening government budgets.

The Nasdaq composite index fell 33.42, or 1.3 percent, to 2,546.04.

All three indexes had their worst August since 2001 after fears of an economic slowdown in the U.S. and debt issues in Europe put investors on edge.

Trading volume was relatively light at 4.3 billion shares. Many traders were on vacation. Low volume suggests that relatively few investors were driving the market's gains and losses.

Rob Lutts, president and chief investment officer of Cabot Money Management, said he expected volume to remain very low until early next week, when many traders return to work after Labor Day. "That's when we'll see what's really going on," Lutts said.

Retailers rose after several companies reported sales gains that beat analysts' estimates. August is an important month for back-to-school shopping, which can account for up to 25 percent of retailers' annual revenue. Macy's Inc. rose 2.1 percent; Costco Wholesale Corp. rose 1.2 percent.

About three stocks fell for every one that rose on the New York Stock Exchange.

 

[bigdog]

Source: http://finance.yahoo.com

A dismal jobs report caused stocks to plunge Friday.

The Dow Jones industrial average dropped 253 points, or 2.2 percent, wiping out its gain for the week. All 30 stocks in the average fell.

No jobs were added in the U.S. last month, the government said early Friday. It was the worst employment report in 11 months and renewed fears that another recession could be on the way. The yield on the 10-year Treasury note briefly fell below 2 percent and gold jumped $48 an ounce as cash flowed into investments seen as less risky than stocks.

"It's certainly ugly," said Jeff Kleintop, chief market strategist at LPL Financial.

The U.S. jobs news came out midday in Europe, dragging stock markets lower in afternoon trading. Indexes in Germany and France were already sinking on news that talks between Greece and international lenders over that country's debt crisis were breaking down. Germany's DAX closed down 3.4 percent; France's CAC-40 lost 3.6 percent.

The lack of hiring in the U.S. last month surprised investors. Economists were expecting 93,000 jobs to be added. Previously reported hiring figures for June and July were revised lower. The average work week declined and hourly earnings fell. The unemployment rate held steady at 9.1 percent. The rate has been above 9 percent in all but two months since May 2009.

The NYSE DOW NYSE DOW closed -253.31 points LOWER or -2.20% on Friday September 1
Sym .......Last .......Change..........
Dow 11,240.26 -253.31 -2.20%
Nasdaq 2,480.33 -65.71 -2.58%
S&P 500 1,173.97 -30.45 -2.53%
30-yr Bond 3.3110% -0.2020

NYSE Volume 4,404,632,500
Nasdaq Volume 1,606,395,500

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,292.03 -126.62 -2.34%
DAX 5,538.33 -192.30 -3.36%
CAC 40 3,148.53 -117.30 -3.59%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,321.50 -61.20 -1.40%
Shanghai Comp 2,528.28 -27.76 -1.09%
Taiwan We... 7,757.06 -0.70 -0.01%
Nikkei 225 8,950.74 -110.06 -1.21%
Hang Seng 20,212.91 -372.42 -1.81%
Straits Times 2,843.09 -24.09 -0.84%

http://finance.yahoo.com/news/Stock...7.html?x=0&sec=topStories&pos=4&asset=&ccode=

Stocks plunge after US hiring dries up in August

US stocks dive after government says that hiring halted in August, adding to recession fears

Daniel Wagner and Matthew Craft, AP Business Writer, On Friday September 2, 2011, 6:12 pm EDT

NEW YORK (AP) -- A dismal jobs report caused stocks to plunge Friday.

The Dow Jones industrial average dropped 253 points, or 2.2 percent, wiping out its gain for the week. All 30 stocks in the average fell.

No jobs were added in the U.S. last month, the government said early Friday. It was the worst employment report in 11 months and renewed fears that another recession could be on the way. The yield on the 10-year Treasury note briefly fell below 2 percent and gold jumped $48 an ounce as cash flowed into investments seen as less risky than stocks.

"It's certainly ugly," said Jeff Kleintop, chief market strategist at LPL Financial.

The U.S. jobs news came out midday in Europe, dragging stock markets lower in afternoon trading. Indexes in Germany and France were already sinking on news that talks between Greece and international lenders over that country's debt crisis were breaking down. Germany's DAX closed down 3.4 percent; France's CAC-40 lost 3.6 percent.

The lack of hiring in the U.S. last month surprised investors. Economists were expecting 93,000 jobs to be added. Previously reported hiring figures for June and July were revised lower. The average work week declined and hourly earnings fell. The unemployment rate held steady at 9.1 percent. The rate has been above 9 percent in all but two months since May 2009.

Kleintop said the jobs report didn't change his view that the economy was headed for a stretch of weak economic growth, not a recession. He said the figures were likely skewed by unusual events that may have made employers reluctant to add jobs in August.

The Labor Department's report relies on data collected from surveys of households and businesses in the second week of August. That's right after Standard & Poor's removed the country's AAA credit rating and fears mounted that Europe's banking crisis could spread to the U.S. Television screens were filled with images of riots in London.

"I'm not surprised that businesses weren't doing too much hiring in that environment," Kleintop said.

The Dow Jones industrial average lost 253.31 points to close at 11,240.26. It was the biggest fall in two weeks. The Dow gained 329 points in the first three days of the week, turning the index positive for the year on Wednesday. Its two-day drop of 373 on Thursday and Friday left it down 0.4 percent for the week.

The Standard & Poor's 500 index fell 30.45, or 2.5 percent, to 1,173.97. The S&P is down 0.2 percent for the week. Both the Dow and S&P have fallen five of the past six weeks.

The Nasdaq composite fell 65.71, or 2.6 percent, to 2,480.33. The technology-heavy index eked out a gain of 0.48 point for the week.

Cash poured into Treasurys and gold, assets believed to be safer bets during a weak economy. The yield on the 10-year Treasury note fell to 2 percent, and briefly traded below that level. It was 2.14 percent shortly before the report came out. Yields fall when demand for bonds increases.

The price of gold rose 2.8 percent to $1,880. Fears that a stalling economy could reduce demand for oil and gasoline pushed benchmark crude oil down $2.48, or 2.8 percent, to $86.45.

Trading volume was thin ahead of the Labor Day weekend at 3.8 billion shares, 11 percent below the average volume for the year. Low volume can result in larger-than-usual moves in stock indexes. When fewer traders are active in the market, large buy and sell orders can move stock prices more than they would on a typical day.

The VIX, a measure of stock market volatility, rose 6.6 percent to 34. The index has fallen from a recent high of 48 on Aug. 8, when the Dow lost 634 points following a downgrade of the U.S. government's credit rating. The VIX traded below 20 for most of the year.

Bank of America Corp., the country's largest bank, sank 8 percent, or 66 cents, to $7.25 after The Wall Street Journal reported that regulators had asked it to develop emergency plans in case the bank's condition worsens. Bank of America is down 45 percent this year, largely on concerns about legal costs related to shoddy mortgage investments that it sold.

Other big banks dropped on separate reports that the government is preparing to sue some of them, also over mortgage investments they sold that lost value when the housing market collapsed. The Federal Housing Finance Agency, the regulator of Fannie Mae and Freddie Mac, announced the lawsuit against 17 banks after the market closed.

The FHFA says the banks lied about the quality of loans that they pooled and sold as securities. Morgan Stanley fell 97 cents, or 5.7 percent, to $15.96. Citigroup Inc. lost $1.60, or 5.3 percent, to $28.40 and Goldman Sachs Group Inc. fell $5.10, or 4.6 percent, to $107.06.

Peter Tchir, a former trader who now runs the hedge fund TF Market Advisors, said stocks will likely be dragged down in the coming weeks by high unemployment, weak spending and a possible default by Greece, which he sees as increasingly likely.

"I expect that the S&P will go back below 1,100 sometime in September," he said. "Whether we hit a recession or a contraction or not, it'll remain weak, and Europe is going to hit a wall where the banks are going to have to take losses." That would also hurt U.S. banks, he said.

Netflix Inc. plunged 9 percent, or $20.16, to $213.11 after talks collapsed with a key provider of movies and TV shows. Starz Entertainment said late Thursday that it won't renew a contract that allows Netflix to stream recently released movies and shows.

1582

 

[bigdog]

Source: http://finance.yahoo.com

World stock markets took a beating Monday over fears that the U.S. economy was heading back into a recession just as the European debt crisis was heating up and the eurozone's economic indicators were slumping.

Any troubles in the world's largest economy cast a long shadow over the markets, and a report Friday that the U.S. economy failed to add any new jobs in August caused European and Asian stock markets to sink sharply Monday.

But the news from Europe was also discouraging. Wall Street, which was closed Monday due to the Labor Day holiday, braced for losses Tuesday after the yields in so-called peripheral eurozone countries -- Greece, Italy and Spain -- rose sharply against those of Germany, whose bonds are widely considered a safe haven.

Although retail sales in the 17-nation eurozone rose unexpectedly in July, a survey of the services sector Monday showed a slowdown across the continent for the fifth consecutive month. The purchasing managers' index for the eurozone showed the services sector was still growing -- unlike the manufacturing sector -- but only barely. That will add pressure on the European Central Bank to keep interest rates on hold when it meets this week.

The NYSE DOW WAS CLOSED on MONDAY September 5 FOR LABOUR DAY HOLIDAY
Sym .......Last .......Change..........
Dow 11,240.26
Nasdaq 2,480.33
S&P 500 1,173.97
30-yr Bond 3.3110%

NYSE Volume 4,404,632,500
Nasdaq Volume 1,606,395,500

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,102.58 -189.45 -3.58%
DAX 5,246.18 -292.15 -5.28%
CAC 40 2,999.54 -148.99 -4.73%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,224.20 -97.30 -2.25%
Shanghai Comp 2,478.74 -49.54 -1.96%
Taiwan We... 7,551.57 -205.49 -2.65%
Nikkei 225 8,784.46 -166.28 -1.86%
Hang Seng 19,616.40 -596.51 -2.95%
Straits Times 2,770.47 -72.62 -2.55%

http://finance.yahoo.com/news/US-recession-fears-savage-apf-1366856048.html?x=0

US recession fears savage world financial markets

Wall Street braces for a rocky day as world markets fall sharply on US recession fears

Carlo Piovano, AP Business Writer, On Monday September 5, 2011, 4:58 pm EDT

LONDON (AP) -- World stock markets took a beating Monday over fears that the U.S. economy was heading back into a recession just as the European debt crisis was heating up and the eurozone's economic indicators were slumping.

Any troubles in the world's largest economy cast a long shadow over the markets, and a report Friday that the U.S. economy failed to add any new jobs in August caused European and Asian stock markets to sink sharply Monday.

But the news from Europe was also discouraging. Wall Street, which was closed Monday due to the Labor Day holiday, braced for losses Tuesday after the yields in so-called peripheral eurozone countries -- Greece, Italy and Spain -- rose sharply against those of Germany, whose bonds are widely considered a safe haven.

Although retail sales in the 17-nation eurozone rose unexpectedly in July, a survey of the services sector Monday showed a slowdown across the continent for the fifth consecutive month. The purchasing managers' index for the eurozone showed the services sector was still growing -- unlike the manufacturing sector -- but only barely. That will add pressure on the European Central Bank to keep interest rates on hold when it meets this week.

"There's so much uncertainty, so much fear, that investors don't know what to do," said David Kotok, chairman and chief investment officer at Cumberland Advisors. "I don't remember the last time stocks were so cheap and nobody wanted them."

Investors were also shaken by signs that the Italian government's commitment to its austerity program is wavering. Prime Minister Silvio Berlusconi's government has backtracked on some deficit-cutting measures, prompting EU officials to urge Italy to stick to its promised plan.

The difference in interest rates between the Greek and benchmark German 10-year bonds, known as the spread, spiraled to new records on Monday, topping 17.3 percentage points. Yields on the Greek bonds were above 18 percent.

Mario Draghi, the incoming chief of the European Central Bank, told a conference in Paris that among the common currency's problems was a lack of coordinated fiscal policies and that the solution was more integration.

He dismissed the idea of eurobonds -- debt issued jointly by the eurozone countries. Some have argued this would help weaker countries borrow more easily because they wouldn't have to pay such high interest rates. But stable countries like Germany would likely see their rates rise.

Instead, Draghi suggested the eurozone should adopt rules that would require more budget discipline.

Renewed jitters over the eurozone debt crisis also contributed to the slump in financial stocks amid concerns the banks would need to raise new capital. Deutsche bank closed down 8.9 percent in Frankfurt, while Societe Generale in Paris shed 8.6 percent.

The U.S. unemployment crisis has prompted President Barack Obama to schedule a major speech Thursday night to propose steps to stimulate hiring. Until then, however, traders coming back from the U.S. holiday weekend will have little to hold onto.

The August jobs figure was far below economists' already tepid expectations for 93,000 new U.S. jobs and renewed concerns that the U.S. recovery is not only slowing but actually unwinding. U.S. hiring figures for June and July were also revised lower, only adding to the gloom.

Many traders have already pulled out of any risky investments -- such as stocks, particularly financial ones, the euro and emerging market currencies -- and pile into safe havens: U.S. Treasuries, the dollar, the Japanese yen and gold.

With Wall Street closed, investors focused their selling in Asia and Europe, where the equity losses Monday were some of the heaviest this year.

"We've got some rough riding ahead," said Jack Ablin, chief investment officer at Harris Private Bank in Chicago, adding he was "concerned that we could see a second wave of selling when most traders are back at their desks."

Dow futures were down 1.8 percent at 11,010 points while the broader S&P 500 futures were 2.0 lower at 1,145.70.

After Asian indexes closed lower, with the Japan's Nikkei 225 shedding 1.9 percent, European shares booked sharp losses. Britain's FTSE 100 closed the day down 3.6 percent to 5,102.58. Germany's DAX slumped a massive 5.3 percent to 5,246.18, and France's CAC-40 tumbled 4.7 percent to 2,999.54.

The health of the U.S. economy is crucial for the wider world because consumer spending there accounts for a fifth of global economic activity. The U.S. imports huge amounts from Japan and China and is closely linked at all levels with the European market. The U.S. has seen a slump in consumer and business sentiments.

Traders were hoping for signs that the Federal Reserve might take action at its September meeting to support the economy -- perhaps a third round of bond purchases, dubbed quantitative easing III or QE3, analysts said.

"Right now the possibility has increased," said Linus Yip, a strategist at First Shanghai Securities in Hong Kong. "I think they have to do something. The markets are expecting QE3."

Banking stocks were among the hardest hit Monday, partly because the U.S. government on Friday sued 17 financial firms for selling Fannie Mae and Freddie Mac billions of dollars worth of mortgage-backed securities that turned toxic when the housing market collapsed.

Among those targeted by the lawsuits were Bank of America Corp., Citigroup Inc., JP Morgan Chase & Co., and Goldman Sachs Group Inc. Large European banks including The Royal Bank of Scotland, Barclays Bank and Credit Suisse were also sued.

In Asia, Australia's S&P/ASX 200 followed the broaden trend to close down 2.4 percent and South Korea's Kospi slid 4.4 percent. Hong Kong's Hang Seng slid 3 percent. Benchmarks in Singapore, Taiwan, New Zealand and the Philippines also were down.

Shanghai's benchmark Composite Index down 2 percent to 2,478.74, its lowest close in 13 months. The Shenzhen Composite Index lost 2.4 percent.

In currencies, the euro weakened to $1.4100 from $1.4187 in New York late Friday. The dollar was roughly flat at 76.87 yen. Last month, the dollar fell under 76 yen, which was a new post-World War II high for the Japanese currency.

Benchmark oil for October delivery was down $2.12 to $84.33 a barrel in electronic trading on the New York Mercantile Exchange. Crude fell $2.48 to settle at $86.45 on Friday.

In London, Brent crude for October delivery was down $1.63 at $110.70 on the ICE Futures exchange.

 

[bigdog]

Source: http://finance.yahoo.com

Europe's debt problems rumbled through global financial markets again Tuesday.

U.S. stocks fell sharply in early trading when it appeared that European markets were heading for a second straight day of deep losses. The Dow Jones industrial average lost as many as 307 points by 10:45 a.m. Late-day recoveries in both the U.S. and Europe left indexes with relatively modest losses. The Dow ended down 101 points.

"It's becoming a pattern that the U.S. market breathes a sign of relief once trading in Europe is finished," said Quincy Krosby, market strategist at Prudential Financial.

Europe's debt problems, which have simmered for more than a year, are deepening. Bailouts for Ireland and Greece have not quelled fears that either country will default on its loans, an event that could lead to the collapse of the euro.

The Stoxx 600 Europe index lost 4.1 percent Monday, while U.S. markets were closed for Labor Day, as traders worried that Europe's debt problems could slow economic growth around the world. Italy was hit by a general strike Tuesday ahead of votes this week on a budget-cutting package needed to shore up that country's finances.

Peter Boockvar, equity strategist at Miller Tabak & Co., said investors are becoming more fearful that the Greek government may not pay bond investors back. "Officials are coming to the realization that there's no way Greece can pay its money back and maybe we're better off just letting it default," he said.

September is historically the worst month for the stock market. The Dow has dropped an average of 0.9 percent each September since 1950, according to the Stock Trader's Almanac.

The NYSE DOW closed -100.96 points LOWER or -0.90% on Tuesday September 6
Sym .......Last .......Change..........
Dow 11,139.30 -100.96 -0.90%
Nasdaq 2,473.83 -6.50 -0.26%
S&P 500 1,165.24 -8.73 -0.74%
30-yr Bond 3.2590% -0.0520

NYSE Volume 5,103,987,500
Nasdaq Volume 1,766,562,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,156.84 +54.26 +1.06%
DAX 5,193.97 -52.21 -1.00%
CAC 40 2,965.64 -33.90 -1.13%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,160.70 -63.50 -1.50%
Shanghai Comp 2,470.52 -8.21 -0.33%
Taiwan We... 7,367.19 -184.38 -2.44%
Nikkei 225 8,590.57 -193.89 -2.21%
Hang Seng 19,710.50 +94.10 +0.48%
Straits Times 2,774.33 +1.16 +0.04%

http://finance.yahoo.com/news/Stock...9.html?x=0&sec=topStories&pos=6&asset=&ccode=

Stocks fall again as Europe's debt worries deepen

Stocks fall on worries over Europe's debt; banks drop after being sued by regulators

David K. Randall, AP Business Writer, On Tuesday September 6, 2011, 5:10 pm

NEW YORK (AP) -- Europe's debt problems rumbled through global financial markets again Tuesday.

U.S. stocks fell sharply in early trading when it appeared that European markets were heading for a second straight day of deep losses. The Dow Jones industrial average lost as many as 307 points by 10:45 a.m. Late-day recoveries in both the U.S. and Europe left indexes with relatively modest losses. The Dow ended down 101 points.

"It's becoming a pattern that the U.S. market breathes a sign of relief once trading in Europe is finished," said Quincy Krosby, market strategist at Prudential Financial.

Europe's debt problems, which have simmered for more than a year, are deepening. Bailouts for Ireland and Greece have not quelled fears that either country will default on its loans, an event that could lead to the collapse of the euro.

The Stoxx 600 Europe index lost 4.1 percent Monday, while U.S. markets were closed for Labor Day, as traders worried that Europe's debt problems could slow economic growth around the world. Italy was hit by a general strike Tuesday ahead of votes this week on a budget-cutting package needed to shore up that country's finances.

Peter Boockvar, equity strategist at Miller Tabak & Co., said investors are becoming more fearful that the Greek government may not pay bond investors back. "Officials are coming to the realization that there's no way Greece can pay its money back and maybe we're better off just letting it default," he said.

September is historically the worst month for the stock market. The Dow has dropped an average of 0.9 percent each September since 1950, according to the Stock Trader's Almanac.

Traders expect the trend to hold true this year as uncertainty continues over Europe's debt crisis and the stagnating U.S. economy. The U.S. government reported Friday that there was no job growth last month. It was the worst reading on jobs since September 2010.

The Dow fell 100.96 points, or 0.9 percent, to 11,139.30. It's down 4 percent so far this month, its worst start to September since 2002.

The Standard and Poor's 500 index dropped 8.73, or 0.7 percent, to 1,165.24. The Nasdaq composite fell 6.50, or 0.2 percent, to 2,473.83.

Pfizer Inc., Caterpillar Inc. and Johnson & Johnson were the only stocks among the 30 that make up the Dow to rise.

Signs of growth in the U.S. service sector helped tame concerns about another US recession. The Institute for Supply Management said the service sector grew more than analysts had expected in August. Growth in that part of the economy, which employs nearly 90 percent of America's work force, fell the three previous months.

Bank stocks fell more than the overall market. Federal regulators filed lawsuits late Friday against 17 major banks, saying they sold Fannie Mae and Freddie Mac mortgage-backed securities that lost value when the housing market collapsed. Bank of America Corp. and JPMorgan Chase & CO. each lost nearly 4.

Assets that traders see as more likely to hold their value during a weak economy rose. The yield on the 10-year Treasury note fell to 1.97 percent. On Monday the yield fell to 1.91 percent in Asian trading, the lowest since the Federal Reserve Bank of St. Louis began keeping daily records in 1962. Bond yields fall when their prices rise.

Three stocks fell for every one that rose on the New York Stock Exchange. Volume was above average at 4.4 billion shares.

 

[bigdog]

Source: http://finance.yahoo.com

A broad rally broke a three-day losing streak in the stock market Wednesday as fears about Europe's debt crisis ebbed.

Stocks rose sharply after a German court backed the country's role in bailing out other European nations. The Dow Jones industrial average jumped 200 points in the first hour of trading and continued to climb throughout the day, ending up 275 points. The afternoon gains came after Italy's Senate approved a deficit-cutting package and the Federal Reserve reported that U.S. business conditions are improving.

Traders were also speculating that President Barack Obama would announce a $300 billion jobs package made up of tax cuts, state aid and infrastructure spending in an address to Congress on Thursday night.

The Dow and other U.S. indexes fell over the previous three days on worries over weakness in the U.S. job market and concerns that Europe's debt woes could lead to a global economic recession.

"The market has been pricing in an out-and-out recession, so any hints that policy issues might be solved is a plus," said Brian Gendreau, market strategist at Cetera Financial Group

The Dow surged 275.56 points, or 2.5 percent, to close at 11,414.86. All 30 stocks in the Dow average rose.

The Standard and Poor's 500 index jumped 33.38, or 2.9 percent, to 1,198.62. All 10 company groups that make up the S&P index rose. The Nasdaq composite shot up 75.11, or 3 percent, to 2,548.94.

The German court ruling also pushed the prices of Treasury securities lower as investors were more willing to hold risky assets like stocks. Treasury prices have been rising over the past week, sending their yields lower, as demand for lower-risk investments increased.

The NYSE DOW closed +275.56 points HIGHER or +2.47% on Wednesday September 7
Sym .......Last .......Change..........
Dow 11,414.86 +275.56 +2.47%
Nasdaq 2,548.94 +75.11 +3.04%
S&P 500 1,198.62 +33.38 +2.86%
30-yr Bond 3.3540% +0.0950

NYSE Volume 4,443,355,000
Nasdaq Volume 1,835,401,625

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,318.59 +161.75 +3.14%
DAX 5,405.53 +211.56 +4.07%
CAC 40 3,073.18 +107.54 +3.63%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,262.90 +102.20 +2.46%
Shanghai Comp 2,516.09 +45.57 +1.84%
Taiwan We... 7,529.01 +161.82 +2.20%
Nikkei 225 8,763.41 +172.84 +2.01%
Hang Seng 20,048.00 +337.50 +1.71%
Straits Times 2,832.13 +57.80 +2.08%

http://finance.yahoo.com/news/Stock...7.html?x=0&sec=topStories&pos=4&asset=&ccode=

Stocks surge after Germany upholds bailout plan

Stocks rally in US, Europe on relief over German court ruling upholding European bailout fund

David K. Randall, AP Business Writer, On Wednesday September 7, 2011, 5:55 pm

NEW YORK (AP) -- A broad rally broke a three-day losing streak in the stock market Wednesday as fears about Europe's debt crisis ebbed.

Stocks rose sharply after a German court backed the country's role in bailing out other European nations. The Dow Jones industrial average jumped 200 points in the first hour of trading and continued to climb throughout the day, ending up 275 points. The afternoon gains came after Italy's Senate approved a deficit-cutting package and the Federal Reserve reported that U.S. business conditions are improving.

Traders were also speculating that President Barack Obama would announce a $300 billion jobs package made up of tax cuts, state aid and infrastructure spending in an address to Congress on Thursday night.

The Dow and other U.S. indexes fell over the previous three days on worries over weakness in the U.S. job market and concerns that Europe's debt woes could lead to a global economic recession.

"The market has been pricing in an out-and-out recession, so any hints that policy issues might be solved is a plus," said Brian Gendreau, market strategist at Cetera Financial Group

The Dow surged 275.56 points, or 2.5 percent, to close at 11,414.86. All 30 stocks in the Dow average rose.

The Standard and Poor's 500 index jumped 33.38, or 2.9 percent, to 1,198.62. All 10 company groups that make up the S&P index rose. The Nasdaq composite shot up 75.11, or 3 percent, to 2,548.94.

The German court ruling also pushed the prices of Treasury securities lower as investors were more willing to hold risky assets like stocks. Treasury prices have been rising over the past week, sending their yields lower, as demand for lower-risk investments increased.

The yield on the 10-year Treasury note rose to 2.05 percent. Its price fell 50 cents per $100 invested.

The yield traded at 1.97 percent late Tuesday. On Monday it fell to 1.91 percent, the lowest since the Federal Reserve Bank of St. Louis began keeping daily records in 1962. Gold, another traditional safe haven, fell $56, or 3 percent, to $1,817 an ounce. It closed at $1,891 on Aug. 22.

Historically low Treasury rates are prompting some institutional investors to see stocks as a better value. The yield on the benchmark 10-year Treasury note began plunging from just over 3 percent on July 27 to 2.2 percent by the end of August. Investors were piling into lower-risk assets as the stock market swung wildly. The yield has hovered around 2 percent this week. An investor who buys the S&P 500 index, meanwhile, earns a 2.38 percent yield in the form of dividends.

"Market sentiment has actually been worse than economic data lately, and now you are seeing institutional investors saying, `I can get a better yield from the S&P 500 than I can from a 10-year Treasury'," said Howard Ward, portfolio manager of the GAMCO Growth Fund.

Yahoo and Bank of America rose sharply after announcing the departures of key executives after the market closed Tuesday. Yahoo gained 5 percent, to $13.61, after announcing that CEO Carol Bartz had been fired. Some analysts said the move made the company a takeover target. Bartz spent nearly three years steering the company.

Bank of America jumped 7 percent, to $7.48, after the bank announced a management reorganization that will result in two top officers leaving. The changes were seen as one of chief executive Brian Moynihan's most dramatic moves to reshape the embattled bank. Bank of America shares have fallen 48 percent this year through Tuesday, compared with a 7 percent drop in the S&P 500 index.

Financial companies were the top performing group in the S&P 500 index. JP Morgan Chase & Co., Goldman Sachs and Wells Fargo each rose more than 3 percent.

Urban Outfitters fell 2 percent, to $25.26, after the retailer said its sales were slipping in the current quarter. Computer graphics company Nvidia Corp. jumped 8 percent, to $14.25, after the company said it expects its revenues to be higher than Wall Street analysts forecast.

A Federal Reserve survey found that that the economy grew modestly in its 12 bank regions in July and August as consumers spent more.

Nine stocks rose for every one that fell on the New York Stock Exchange. Volume was below average at 3.9 billion shares.

 

[bigdog]

Source: http://finance.yahoo.com

Stocks closed sharply lower Thursday after Federal Reserve Chairman Ben Bernanke offered no specific plans to prop up the economy.

In a speech closely watched by investors, Bernanke said the Fed will consider a range of steps at its Sept. 20-21 meeting. The Dow Jones industrial average fell 100 points shortly after Bernanke's remarks began at 1:30 p.m. Eastern. It ended down 119.

"The implications are that the Fed is going to act, but the market is disappointed because he was a little short on details," said Scott Brown, chief economist at Raymond James.

Concerns about the U.S. economy have pushed stocks lower each month since April. Many traders now say the stock market is pricing in the assumption that the economy is in a recession, meaning limited job growth and a weaker corporate profits.

The economic worries have pushed the prices of Treasurys and highly-rated corporate bonds higher and their yields lower. The yield on the 10-year Treasury note was 1.99 percent Thursday, down from 3 percent July 25. Mortgage rates, which are affected by Treasury yields, fell to their lowest level in six decades, Freddie Mac reported Thursday.

President Obama will lay out his jobs plan at a joint session of Congress tonight. He is expected to announce a $300 billion package that includes tax cuts, additional state aid and spending on infrastructure.

The Dow Jones industrial average lost 119.05 points, or 1 percent, to 11,295.81. The Standard & Poor's 500 index fell 12.72, or 1.1 percent, to 1,185.90. The Nasdaq composite shed 19.80, or 0.8 percent, to 2,529.14. Each index had posted gains earlier in the day.

The NYSE DOW closed -119.05 points LOWER or -1.04% on Thursday September 8
Sym .......Last .......Change..........
Dow 11,295.81 -119.05 -1.04%
Nasdaq 2,529.14 -19.80 -0.78%
S&P 500 1,185.90 -12.72 -1.06%
30-yr Bond 3.3100% -0.0440

NYSE Volume 4,465,175,000
Nasdaq Volume 2,009,104,125

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,340.38 +21.79 +0.41%
DAX 5,408.46 +2.93 +0.05%
CAC 40 3,085.83 +12.65 +0.41%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,269.80 +6.90 +0.16%
Shanghai Comp 2,498.94 -17.15 -0.68%
Taiwan We... 7,548.37 +19.36 +0.26%
Nikkei 225 8,793.12 +29.71 +0.34%
Hang Seng 19,912.82 -135.18 -0.67%
Straits Times 2,856.90 +24.77 +0.87%

http://finance.yahoo.com/news/Stock...1.html?x=0&sec=topStories&pos=4&asset=&ccode=

Stocks slide after Bernanke offers no new stimulus

Stocks lose ground after Fed Chairman Bernanke offers no new stimulus policies in speech

David K. Randall, AP Business Writer, On Thursday September 8, 2011, 5:48 pm

NEW YORK (AP) -- Stocks closed sharply lower Thursday after Federal Reserve Chairman Ben Bernanke offered no specific plans to prop up the economy.

In a speech closely watched by investors, Bernanke said the Fed will consider a range of steps at its Sept. 20-21 meeting. The Dow Jones industrial average fell 100 points shortly after Bernanke's remarks began at 1:30 p.m. Eastern. It ended down 119.

"The implications are that the Fed is going to act, but the market is disappointed because he was a little short on details," said Scott Brown, chief economist at Raymond James.

Concerns about the U.S. economy have pushed stocks lower each month since April. Many traders now say the stock market is pricing in the assumption that the economy is in a recession, meaning limited job growth and a weaker corporate profits.

The economic worries have pushed the prices of Treasurys and highly-rated corporate bonds higher and their yields lower. The yield on the 10-year Treasury note was 1.99 percent Thursday, down from 3 percent July 25. Mortgage rates, which are affected by Treasury yields, fell to their lowest level in six decades, Freddie Mac reported Thursday.

President Obama will lay out his jobs plan at a joint session of Congress tonight. He is expected to announce a $300 billion package that includes tax cuts, additional state aid and spending on infrastructure.

The Dow Jones industrial average lost 119.05 points, or 1 percent, to 11,295.81. The Standard & Poor's 500 index fell 12.72, or 1.1 percent, to 1,185.90. The Nasdaq composite shed 19.80, or 0.8 percent, to 2,529.14. Each index had posted gains earlier in the day.

Cisco Systems Inc. led the 30 Dow stocks with a 2.6 percent gain after it was upgraded by analysts. JPMorgan Chase & Co., Bank of America Corp and Boeing Co. each fell 3 percent, pulling the average lower.

Investors received mixed economic data before the market opened. First-time applications for unemployment benefits rose last week to 414,000. Economists had expected 405,000. The prior week's estimate of new claims was also revised higher.

The weekly report on unemployment applications is an important economic indicator for investors. Rising claims can add to concerns that the job market is stalled and the U.S. economy is headed for another recession. Applications need to fall below 375,000 to indicate sustainable job growth. Last week the government reported there was zero job growth in the U.S. economy in August.

Not all of the economic news Thursday was negative. American exports of cars, airplanes and other goods reached an all-time high in July, the Commerce Department reported. Economists said the jump in exports suggest future growth in the U.S. economy. A weaker dollar has helped American exports this year. The dollar has fallen 8 percent over the last 12 months against an index of six other currencies.

"The market is sitting around and trying to piece it all together, "said Rob Stein, the founder and global head of asset management at Astor Asset Management. "For all the volatility that we've had recently, the market is going nowhere."

OpenTable Inc., a restaurant booking and review website, dropped 8 percent to $57.50 after Google Inc. announced it was buying OpenTable rival Zagat, a publisher of restaurant reviews in print and online. Pall Corp. slumped 10 percent, to $44.03, after the maker of filtration equipment reported earnings that fell far short of what analysts were expecting. Pall dropped the most of any stock in the S&P 500 index.

Yahoo Inc. jumped 6 percent to $14.44 after Third Point, an activist investment fund, disclosed that it has bought a 5.2 percent stake in the troubled Web portal and called for sweeping changes to the board. Yahoo's board fired CEO Carol Bartz on Tuesday after 2 1/2 years on the job. She harshly criticized the board in an interview published Thursday.

Four stocks fell for every one that rose on the New York Stock Exchange. Volume was lower than average at 3.9 billion shares.

 

[bigdog]

Source: http://finance.yahoo.com

The problems that have weighed on investors all summer -- European debt and fear of a new recession in the United States -- hammered the stock market Friday. The Dow Jones industrial average fell more than 300 points.

The plunge erased the week's gains for stocks and sent the Dow below 11,000. It had not closed below that level since Aug. 22, after several weeks of extraordinary volatility.

The European Central Bank said a top official, Juergen Stark, was resigning almost three years before the end of his term in 2014, revealing deep disagreement over how to solve economic problems in Europe.

Traders fear that one of the continent's heavily indebted economies could default, an event that would ripple through the global banking system and make it difficult for other European countries to borrow money.

Such an outcome could tip the world economy back into recession. In the U.S., economic growth is already slowing, and unemployment is stuck above 9 percent.

Friday was also the first chance for the markets to react after President Barack Obama presented Congress and the nation a $447 billion jobs program. It is not clear to traders that the plan will get through a bitterly divided Congress.

The Dow finished down 304 points, or 2.7 percent, its steepest drop in more than three weeks. It closed at 10,992. The average approached a 400-point drop at some points in the afternoon.

"Markets always vacillate between fear and greed, and today we're coming down pretty much all on the fear side," said Kim Caughey Forrest, equity research analyst at Fort Pitt Capital Group.

The Standard & Poor's 500 closed down 32, or 2.7 percent, at 1,154. The Nasdaq composite is down 61, or 2.4 percent, at 2,468. All three indexes finished down for the week.

The NYSE DOW closed -303.68 points LOWER or -2.69% on Friday September 9
Sym .......Last .......Change..........
Dow 10,992.13 -303.68 -2.69%
Nasdaq 2,467.99 -61.15 -2.42%
S&P 500 1,154.23 -31.67 -2.67%
30-yr Bond 3.2460% -0.0640

NYSE Volume 5,626,614,000
Nasdaq Volume 2,076,357,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,214.65 -125.73 -2.35%
DAX 5,189.93 -218.53 -4.04%
CAC 40 2,974.59 -111.24 -3.60%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,277.40 +7.60 +0.18%
Shanghai Comp 2,497.75 -1.19 -0.05%
Taiwan We... 7,610.57 +62.20 +0.82%
Nikkei 225 8,737.66 -55.46 -0.63%
Hang Seng 19,866.63 -46.19 -0.23%
Straits Times 2,825.10 -31.80 -1.11%

http://finance.yahoo.com/news/Fear-about-Europe-US-drags-apf-2532453913.html?x=0

Fear about Europe, US drags Dow down 300

Dow falls more than 300 as fear about Europe, possible US recession hammers market again

Daniel Wagner and Francesca Levy, AP Business Writers, On Friday September 9, 2011, 5:45 pm EDT

NEW YORK (AP) -- The problems that have weighed on investors all summer -- European debt and fear of a new recession in the United States -- hammered the stock market Friday. The Dow Jones industrial average fell more than 300 points.

The plunge erased the week's gains for stocks and sent the Dow below 11,000. It had not closed below that level since Aug. 22, after several weeks of extraordinary volatility.

The European Central Bank said a top official, Juergen Stark, was resigning almost three years before the end of his term in 2014, revealing deep disagreement over how to solve economic problems in Europe.

Traders fear that one of the continent's heavily indebted economies could default, an event that would ripple through the global banking system and make it difficult for other European countries to borrow money.

Such an outcome could tip the world economy back into recession. In the U.S., economic growth is already slowing, and unemployment is stuck above 9 percent.

Friday was also the first chance for the markets to react after President Barack Obama presented Congress and the nation a $447 billion jobs program. It is not clear to traders that the plan will get through a bitterly divided Congress.

The Dow finished down 304 points, or 2.7 percent, its steepest drop in more than three weeks. It closed at 10,992. The average approached a 400-point drop at some points in the afternoon.

"Markets always vacillate between fear and greed, and today we're coming down pretty much all on the fear side," said Kim Caughey Forrest, equity research analyst at Fort Pitt Capital Group.

The Standard & Poor's 500 closed down 32, or 2.7 percent, at 1,154. The Nasdaq composite is down 61, or 2.4 percent, at 2,468. All three indexes finished down for the week.

Investors drove the yield on the 10-year Treasury note to 1.92 percent, its lowest since the Federal Reserve Bank of St. Louis began keeping daily records in 1962. The yield was 1.99 percent a day earlier.

Wall Street traders have poured money into U.S. government debt all summer, driving the price up and the yield, which moves in the opposite direction, down.

Even after Congress narrowly met a deadline for raising the limit on how much the government can borrow, barely avoiding a default for the country, investors think U.S. government can be counted on to pay its bills.

Word of the resignation of Stark, the top economist at the ECB, came shortly after U.S. markets opened. He was an advocate for higher interest rates, and published reports said he left because he opposed the bank's extensive purchases of debt issued by European countries.

Stark's departure rattled traders because the U.S. economy is "teetering on the verge of recession," and the outcome in Europe might determine which way it goes, said Andrew Goldberg, market strategist with J.P. Morgan Funds.

He said traders are latching onto any piece of news that might signal a positive or negative outcome in Europe.

Banks in Europe hold bonds issued by nations deep in debt, including Greece, Ireland and Portugal, but investors don't know exactly how much each bank holds from each country.

The value of the bonds would quickly diminish if one of those nations defaults. Banks might stop lending to each other because of fears that some would fail.

Stark's departure was seen as "a bit of news that contributes to a worse outcome, so if you're thinking of being a seller, today that's what you are," Goldberg said.

The central bank's troubles raise the stakes for a meeting this weekend in of financial leaders from the world's most developed economies.

High volatility returned to the market Friday. One measure known as the VIX, which measures investors' fears, increased 18 percent.

Friday's plunge extends a tough quarter for the stock market. The S&P 500 is down 13 percent since the third quarter started in July. However, it has recovered almost 4 percent since its lowest close this year Aug. 8.

Analysts say stocks are likely to fall further as the crisis in Europe goes on. A shrinking European economy would hurt the U.S. because roughly a quarter of American companies' revenue comes from Europe, said Sam Stovall, chief investment strategist for S&P in New York.

"Maybe the market has already priced in a very, very soft spot, but it has not priced in quicksand -- it has not priced in a recession," he said.

Forrest, of Fort Pitt Capital, said the sell-off had brought some stock prices "within buying range." She said traders have few other places to invest, with Treasury yields near record lows and currency markets gyrating because of fears about the euro.

Markets in Europe also fell sharply. France's CAC 40 and Germany's Dax fell about 4 percent. London's FTSE lost more than 2 percent.

In the U.S., McDonald's Corp. stock fell 4 percent because of disappointing revenue. McDonald's said that revenue at restaurants open at least 13 months rose 3.5 percent in August. Analysts expected 4.9 percent.

Bank of America Corp. fell 3 percent after The Wall Street Journal reported that it might cut up to 14 percent of its work force as part of a massive restructuring. Bank of America already has cut at least 6,000 jobs this year. CEO Brian Moynihan announced a management shake-up this week.

VeriSign Inc., which manages Internet domain names, fell 15 percent after its chief financial officer resigned. Specialty glass maker Corning Inc. fell 6 percent a day after it said it expected to sell less glass for LCD TVs than originally forecast.

 

[bigdog]

Source: http://finance.yahoo.com

A late afternoon rally pushed the stock market higher for only the second day this month. Major indexes spent most of Monday lower as investors worried that Greece could be edging closer to default.

The yield on the 10-year Treasury note reached another record low as investors piled into U.S. government debt on fears that Europe's debt crisis could spread. The euro fell to a seven-month low against the dollar.

The Dow Jones industrial average rose 68.99 points, or 0.6 percent, to close at 11,061.12. All of the gains came in the last 10 minutes of trading. The Dow had been down as many as 167 points shortly after 2 p.m. Traders said a combination of technical factors and reports that China was buying Italian government bonds triggered the late spurt of buying.

"Over the last several days, stocks have been pushed down so hard it was as if somebody was trying to push a balloon underwater," said Sam Stovall, chief investment strategist at Standard & Poor's Equity Research. "It's bound to pop up even if only for a short period of time."

The S&P 500 index rose 8.04, or 0.7 percent, to 1,162.27. It had dropped as many as 18 points. Technology stocks fared better than the overall market following news of a semiconductor deal. The tech-heavy Nasdaq composite index rose 27.10 points, or 1.1 percent, to 2,495.09.

The NYSE DOW closed +68.99 points HIGHER or +0.63% on Monday September 12
Sym .......Last .......Change..........
Dow 11,061.12 +68.99 +0.63%
Nasdaq 2,495.09 +27.10 +1.10%
S&P 500 1,162.27 +8.04 +0.70%
30-yr Bond 3.2400% -0.0060

NYSE Volume 5,168,553,500
Nasdaq Volume 2,019,246,125

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,129.62 -85.03 -1.63%
DAX 5,072.33 -117.60 -2.27%
CAC 40 2,854.81 -119.78 -4.03%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,125.10 -152.30 -3.56%
Shanghai C... 2,497.75 -1.19 -0.05%
Taiwan Wei... 7,610.57 +62.20 +0.82%
Nikkei 225 8,535.67 -201.99 -2.31%
Hang Seng 19,030.54 -836.09 -4.21%
Straits Times 2,743.58 -81.52 -2.89%

http://finance.yahoo.com/news/Late-...7.html?x=0&sec=topStories&pos=1&asset=&ccode=

Late rally pushes stocks higher; 2nd gain in Sept.

Late rally reverses a stock market slide; 10-year Treasury yield hits another record low

Matthew Craft, AP Business Writer, On Monday September 12, 2011, 5:06 pm EDT

NEW YORK (AP) -- A late afternoon rally pushed the stock market higher for only the second day this month. Major indexes spent most of Monday lower as investors worried that Greece could be edging closer to default.

The yield on the 10-year Treasury note reached another record low as investors piled into U.S. government debt on fears that Europe's debt crisis could spread. The euro fell to a seven-month low against the dollar.

The Dow Jones industrial average rose 68.99 points, or 0.6 percent, to close at 11,061.12. All of the gains came in the last 10 minutes of trading. The Dow had been down as many as 167 points shortly after 2 p.m. Traders said a combination of technical factors and reports that China was buying Italian government bonds triggered the late spurt of buying.

"Over the last several days, stocks have been pushed down so hard it was as if somebody was trying to push a balloon underwater," said Sam Stovall, chief investment strategist at Standard & Poor's Equity Research. "It's bound to pop up even if only for a short period of time."

The S&P 500 index rose 8.04, or 0.7 percent, to 1,162.27. It had dropped as many as 18 points. Technology stocks fared better than the overall market following news of a semiconductor deal. The tech-heavy Nasdaq composite index rose 27.10 points, or 1.1 percent, to 2,495.09.

J.J. Kirnahan, chief options strategist at T.D. Ameritrade, said reports that China planned to buy a significant amount of Italian bonds contributed to the sudden reversal. "The last 16 minutes was insane," he said.

Kirnahan said investors should not take the day's gains as a sign of a longer-lasting trend. "If tomorrow we get any indications that China really isn't going to get involved, then we should expect a quick sell-off."

Worries over Europe's debt crisis drove traders into Treasurys, pushing the yield on the 10-year Treasury note to 1.87 percent, the lowest since the Federal Reserve Bank of St. Louis began keeping daily records in 1962. During the financial crisis in late 2008, the 10-year yield hit a low of 2.05 percent.

Investors fear that Greece could default on its debt, leading to more disruptions in global financial markets. They're also concerned that rating agencies may cut the credit ratings of French banks because of their holdings of Greek bonds. That would mark the spread of Europe's debt troubles from peripheral countries like Greece and Ireland to the heart of Europe's financial system.

"All these things together are getting me concerned," said Douglas Cote, chief market strategist for ING Investment Management. "With Europe's banks under so much duress and Greece near an imminent default, you can't tell me the U.S. is insulated from their problems. I don't buy it."

The resignation of a key European Central Bank official combined with worries over a new recession in the United States led to a stock market sell-off Friday. The Dow Jones industrial average and Standard & Poor's 500 index have fallen for six of the past seven weeks. Before Monday, the Dow, S&P 500 and Nasdaq had posted gains only one day this month, last Wednesday.

Tenet Healthcare Corp. sank 10 percent to $4.52, the biggest drop among companies in the S&P 500. The hospital operator said it expects earnings to take a hit from a rise in patients using Medicaid, which pays hospitals less for treatment than private insurance.

McGraw-Hill Cos. rose 4 percent to $40.26. The company said it will split into two public companies, one unit focused on education services and the other centered on markets, including the rating agency Standard & Poor's and J.D. Power and Associates.

NetLogic Microsystems Inc. jumped 51 percent to $48.12 after Broadcom Corp. said it has agreed to acquire the maker of semiconductors for $3.7 billion. Bank of America Corp. rose 1 percent to $7.05 after the bank said it would slash 30,000 jobs as part of a cost-cutting drive.

Wynn Resorts rose 2 percent to $151.72 after a unit of the casino operator said it had a signed a deal to build a resort in Macau. Casinos have been expanding their operations in the former Portuguese colony, considered the world's most lucrative gambling market.

 

[bigdog]

Source: http://finance.yahoo.com

General Electric Co. and other industrial companies pushed stocks higher after another choppy session Tuesday, the second day of gains in a row.

It was the first back-to-back gain since the last week of August and only the third time the market has closed higher this month. On the five days the market closed lower in September, the Dow Jones industrial average lost between 100 and 303 points.

The Dow rose 44.73 points, or 0.4 percent, to close at 11,105.85. The Dow moved between small gains and losses for much of the day, then turned higher in the last half-hour.

The Standard & Poor's 500 index rose 10.60, or 0.9 percent, to 1,172.87.

Trading was quiet compared with the many wild swings the market has had since early August. The Dow traded in a range of just 153 points, the narrowest since July 26. The average daily range during August was twice as big, 337 points. The last time the Dow traded in a larger range was November 2008, at the peak of the financial crisis.

Investors have been struggling with uncertainty over the European debt crisis and questions over which way the U.S. economy is going, said Ryan Detrick, senior technical strategist at Schaeffer's Investment Research. That fear of the unknown has made markets especially volatile. Traders seem to be hanging on every piece of news or rumor out of Europe.

The NYSE DOW closed +44.73 points HIGHER or +0.40% on Tuesday September 13
Sym .......Last .......Change..........
Dow 11,105.85 +44.73 +0.40%
Nasdaq 2,532.15 +37.06 +1.49%
S&P 500 1,172.87 +10.60 +0.91%
30-yr Bond 3.3210% +0.0810

NYSE Volume 4,686,455,500
Nasdaq Volume 1,957,106,000

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,174.25 +44.63 +0.87%
DAX 5,166.36 +94.03 +1.85%
CAC 40 2,894.93 +40.12 +1.41%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,158.40 +33.30 +0.81%
Shanghai Comp 2,471.30 -26.45 -1.06%
Taiwan We... 7,391.37 -219.20 -2.88%
Nikkei 225 8,616.55 +80.88 +0.95%
Hang Seng 19,030.54 -836.09 -4.21%
Straits Times 2,729.37 -14.21 -0.52%

http://finance.yahoo.com/news/Stock...5.html?x=0&sec=topStories&pos=1&asset=&ccode=

Stocks edge higher for a second day in a row

Industrials lead indexes to second day of gains; GE rises 2 percent, leads 30 stocks in Dow

Matthew Craft, AP Business Writer, On Tuesday September 13, 2011, 5:08 pm EDT

NEW YORK (AP) -- General Electric Co. and other industrial companies pushed stocks higher after another choppy session Tuesday, the second day of gains in a row.

It was the first back-to-back gain since the last week of August and only the third time the market has closed higher this month. On the five days the market closed lower in September, the Dow Jones industrial average lost between 100 and 303 points.

The Dow rose 44.73 points, or 0.4 percent, to close at 11,105.85. The Dow moved between small gains and losses for much of the day, then turned higher in the last half-hour.

The Standard & Poor's 500 index rose 10.60, or 0.9 percent, to 1,172.87.

Trading was quiet compared with the many wild swings the market has had since early August. The Dow traded in a range of just 153 points, the narrowest since July 26. The average daily range during August was twice as big, 337 points. The last time the Dow traded in a larger range was November 2008, at the peak of the financial crisis.

Investors have been struggling with uncertainty over the European debt crisis and questions over which way the U.S. economy is going, said Ryan Detrick, senior technical strategist at Schaeffer's Investment Research. That fear of the unknown has made markets especially volatile. Traders seem to be hanging on every piece of news or rumor out of Europe.

"It's a difficult environment for a long-term investor," Detrick said. "Any news can take you significantly higher or lower. There's just so much volatility."

European markets rose broadly Tuesday. Major French banks soared after BNP Paribas denied that it had trouble borrowing dollars from other banks and investors in short-term credit markets.

Italy's finance minister also confirmed that officials had met with China's sovereign wealth fund about buying Italian bonds. A report that China may buy Italian government bonds helped U.S. stock indexes eke out slight gains Monday. All of the gains came in a sudden burst of buying in the last 15 minutes of trading.

Detrick says the uncertainty has started to drive retail investors out of stocks. Americans pulled $36 billion out of U.S. stock funds in August, according to preliminary data from the Investment Company Institute. That's second only to the $47 billion withdrawn from U.S. stock funds at the height of the financial crisis in October 2008.

The Nasdaq composite gained 37.06, or 1.5 percent, to 2,532.15. Apple rose 1 percent Morgan Stanley said the company was more likely than ever to reward investors with a dividend or through buying back its stock.

GE rose the most of the 30 stocks in the Dow Jones industrial average, gaining 2.6 percent to $15.41.

Cummins Inc., an engine maker, topped all 500 companies in the S&P 500 index, leaping 6 percent to $92.20. The company's executives told analysts that rising gas prices and tighter emissions standards have increased demand for its fuel-efficient engines.

Best Buy Co. plunged 7.6 percent to $23.06, the biggest loss of any S&P 500 stock, after the electronic retailer reported a fall in quarterly profit. Sales in stores open a year or longer dropped 2.8 percent.

A weak reading of business sentiment kept the market's gains in check. An index of small business conditions from the National Federation of Independent Business dropped to a 13-month low in August. The NFIB said companies surveyed had weaker expectations for sales and a bleaker view of the overall economy.

The Dow and S&P 500 have lost 4 percent this month amid worries that Europe's debt crisis could knock the U.S. into another recession. The U.S. economy is already slowing, and unemployment remains high at 9.1 percent.

 

[bigdog]

Source: http://finance.yahoo.com

A promise by European leaders to help Greece avoid default sent stocks sharply higher Wednesday for the third straight day.

The leaders of Greece, France and Germany agreed in a teleconference that Greece was an "integral" part of the 17-country bloc that uses the euro. Greece also said it would stick to agreements to trim its debts, a condition for getting more financial help. The statements were intended to calm fears that Greece was headed for default or might be forced to drop the euro.

The Dow Jones industrial average rose 140.88 points, or 1.3 percent, to close at 11,246.73. The Dow sank as many as 112 points within the first hour of trading, then rose steadily through the rest of the day.

"The news out of Europe is beginning to sound a bit more friendly," said Peter Cardillo, chief market economist at Rockwell Global Capital, a brokerage in New York. Investors remain far from convinced that Europe's debt crisis will be solved. "Once they are, some of this fear will dissipate."

The Standard & Poor's 500 index rose 15.81 points, or 1.3 percent, to 1,188.68. The Nasdaq composite rose 40.40, or 1.6 percent, to 2,572.55.

European stock indexes rose sharply in the hours leading up to the meeting as investors hoped the talks would be productive. Germany's DAX gained 3.4 percent and France's CAC-40 1.9 percent.

The threat of a Greek default and the damage it could wreak on financial markets has had investors on edge in the past two weeks, lifting Treasurys and weighing on stocks. The yield on the 10-year Treasury note hit a record low on Monday of 1.87 percent and the S&P 500 has only risen three days this month.

The NYSE DOW closed +140.88 points HIGHER or +1.27% on Wednesday September 14
Sym .......Last .......Change..........
Dow 11,246.73 +140.88 +1.27%
Nasdaq 2,572.55 +40.40 +1.60%
S&P 500 1,188.68 +15.81 +1.35%
30-yr Bond 3.3050% -0.0160

NYSE Volume 4,990,884,000
Nasdaq Volume 2,354,427,000

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,227.02 +52.77 +1.02%
DAX 5,340.19 +173.83 +3.36%
CAC 40 2,949.14 +54.21 +1.87%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,090.40 -68.00 -1.64%
Shanghai Comp 2,484.83 +13.52 +0.55%
Taiwan We... 7,228.47 -162.90 -2.20%
Nikkei 225 8,518.57 -97.98 -1.14%
Hang Seng 19,045.44 +14.90 +0.08%
Straits Times 2,739.35 +9.98 +0.37%

http://finance.yahoo.com/news/Stock...tml?x=0&sec=topStories&pos=main&asset=&ccode=

Stocks jump on hopes for progress on Greece's debt

US stock indexes rise sharply on optimism that Greece will be able to avoid a default


Matthew Craft, AP Business Writer, On Wednesday September 14, 2011, 5:47 pm EDT

NEW YORK (AP) -- A promise by European leaders to help Greece avoid default sent stocks sharply higher Wednesday for the third straight day.

The leaders of Greece, France and Germany agreed in a teleconference that Greece was an "integral" part of the 17-country bloc that uses the euro. Greece also said it would stick to agreements to trim its debts, a condition for getting more financial help. The statements were intended to calm fears that Greece was headed for default or might be forced to drop the euro.

The Dow Jones industrial average rose 140.88 points, or 1.3 percent, to close at 11,246.73. The Dow sank as many as 112 points within the first hour of trading, then rose steadily through the rest of the day.

"The news out of Europe is beginning to sound a bit more friendly," said Peter Cardillo, chief market economist at Rockwell Global Capital, a brokerage in New York. Investors remain far from convinced that Europe's debt crisis will be solved. "Once they are, some of this fear will dissipate."

The Standard & Poor's 500 index rose 15.81 points, or 1.3 percent, to 1,188.68. The Nasdaq composite rose 40.40, or 1.6 percent, to 2,572.55.

European stock indexes rose sharply in the hours leading up to the meeting as investors hoped the talks would be productive. Germany's DAX gained 3.4 percent and France's CAC-40 1.9 percent.

The threat of a Greek default and the damage it could wreak on financial markets has had investors on edge in the past two weeks, lifting Treasurys and weighing on stocks. The yield on the 10-year Treasury note hit a record low on Monday of 1.87 percent and the S&P 500 has only risen three days this month.

Uri Landesman, president of the New York hedge fund Platinum Partners, said investors have overreacted. "They're just not going to let them go under," he said. "That's just not happening. I think people have learned the lesson from letting Lehman Brothers fail."

Among U.S. stocks in focus, ConAgra Foods Inc. said it would withdraw its $5.17 billion bid for Ralcorp Holdings Inc. if the company doesn't consider its bid by Monday evening. Ralcorp has already rejected several bids from ConAgra since March. Ralcorp's stock dropped 7 percent to $79.11. ConAgra fell 2 percent to $23.45.

Computer maker Dell Inc. rose 3 percent to $14.86. Dell said Tuesday it will add $5 billion to its existing $2.1 billion stock-buyback plan. Dell bought $1.1 billion of its stock in the second quarter.

Staples Inc. rose 3 percent to $14.60 after the company said it will buy up to $1.5 billion of its own stock. The office-supply company's stock has dropped 36 percent this year.

The gains came despite a report that retail sales were flat in August. People spent less on autos, clothing and furniture as fears mounted that the country was slipping into a recession and as the stock market took a steep fall. Economists had expected a slight gain.

That report helped push oil prices down $1.30 to $88.91 a barrel. Weak retail spending suggests Americans will consume less fuel.

All three stock indexes are still down for the month. The Dow has lost 3.2 percent and the S&P 500 index 2.5 percent. The Nasdaq has fared better, losing just 0.3 percent.

 

[bigdog]

Source: http://finance.yahoo.com

A joint effort by five major central banks to support Europe's financial system set off a rally in U.S. stocks Thursday. Gold plunged and Treasury yields rose as traders sold the safest investments. Markets in Europe soared.

The European Central Bank, the U.S. Federal Reserve and three other central banks said Thursday they would provide European banks with unlimited dollar loans. The aim is to fend off worries that the banks could be weakened by their holdings of government bonds from Greece and other struggling European countries.

"It's a pretty powerful action," said Brian Gendreau, senior investment strategist at Cetera Financial Group. "And it's another piece of news that leads you to think the crisis in Europe could be on the road to resolution."

The Dow Jones industrial average rose 186.45 points, or 1.7 percent, to close at 11,433.18.

The Standard & Poor's 500 index rose 20.43 points, 1.7 percent, to 1,209.11. The index has jumped 4.8 percent this week but is still 10 points short of where it started the month.

Worries that European banks would have difficulty borrowing have hung over markets in recent weeks. It's a key element in the European debt crisis, rooted in the fear that cash-strapped governments in Greece and Italy won't pay back their debts. European banks hold large amounts of debt issued by Greece and Italy, which they use as collateral to borrow dollars. The danger is that banks could lose their ability to raise money when other lenders won't take the collateral.

Europe's main stock markets jumped on the news. Germany's DAX and France's CAC-40 gained 3 percent. The euro rose against the dollar as confidence in Europe's shared currency increased.

Gold plunged $45, or 2.5 percent, to settle at $1,781 an ounce. Treasury prices fell, pushing their yields up. The yield on the 10-year Treasury note, which is used to set interest rates on a wide variety of loans, rose to 2.08 percent.

The NYSE DOW NYSE DOW closed +186.45 points HIGHER or +1.66% on Thursday September 15
Sym .......Last .......Change..........
Dow 11,433.18 +186.45 +1.66%
Nasdaq 2,607.07 +34.52 +1.34%
S&P 500 1,209.11 +20.43 +1.72%
30-yr Bond 3.3510% +0.0460

NYSE Volume 4,479,724,000
Nasdaq Volume 2,002,066,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,337.54 +110.52 +2.11%
DAX 5,508.24 +168.05 +3.15%
CAC 40 3,045.62 +96.48 +3.27%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,153.20 +62.80 +1.54%
SSE Composite 2479.06 -5.77 -0.23%
Taiwan We... 7,385.68 +157.21 +2.17%
Nikkei 225 8,668.86 +150.29 +1.76%
Hang Seng 19,181.50 +136.06 +0.71%
Straits Times 2,765.95 +26.60 +0.97%

http://finance.yahoo.com/news/Stock...7.html?x=0&sec=topStories&pos=3&asset=&ccode=

Stocks rally on support plan for European banks

Stocks rally after central banks back up European lenders; 4th day of gains; Dow jumps 186

Matthew Craft, AP Business Writer, On Thursday September 15, 2011, 5:41 pm

NEW YORK (AP) -- A joint effort by five major central banks to support Europe's financial system set off a rally in U.S. stocks Thursday. Gold plunged and Treasury yields rose as traders sold the safest investments. Markets in Europe soared.

The European Central Bank, the U.S. Federal Reserve and three other central banks said Thursday they would provide European banks with unlimited dollar loans. The aim is to fend off worries that the banks could be weakened by their holdings of government bonds from Greece and other struggling European countries.

"It's a pretty powerful action," said Brian Gendreau, senior investment strategist at Cetera Financial Group. "And it's another piece of news that leads you to think the crisis in Europe could be on the road to resolution."

The Dow Jones industrial average rose 186.45 points, or 1.7 percent, to close at 11,433.18.

The Standard & Poor's 500 index rose 20.43 points, 1.7 percent, to 1,209.11. The index has jumped 4.8 percent this week but is still 10 points short of where it started the month.

Worries that European banks would have difficulty borrowing have hung over markets in recent weeks. It's a key element in the European debt crisis, rooted in the fear that cash-strapped governments in Greece and Italy won't pay back their debts. European banks hold large amounts of debt issued by Greece and Italy, which they use as collateral to borrow dollars. The danger is that banks could lose their ability to raise money when other lenders won't take the collateral.

Europe's main stock markets jumped on the news. Germany's DAX and France's CAC-40 gained 3 percent. The euro rose against the dollar as confidence in Europe's shared currency increased.

Gold plunged $45, or 2.5 percent, to settle at $1,781 an ounce. Treasury prices fell, pushing their yields up. The yield on the 10-year Treasury note, which is used to set interest rates on a wide variety of loans, rose to 2.08 percent.

The Nasdaq rose 34.52 points, 1.3 percent, to 2,607.07. The index has jumped 5.6 percent so far this week and is up 1.1 percent in September. The Dow is down 1.6 percent this month, the S&P 0.8 percent.

Daniel Alpert, managing partner at Westwood Capital in New York, said the stock market has been overreacting to Europe's debt crisis, swinging in response to each new development. "

Every time there's news out of Europe that's not bad, the market reacts positively, and that's occurring on almost a nightly basis," he said. "You'd think the U.S. economy might be part of what the market trades on, but the fact of the matter is, today and recently, it's all been about Europe."

A move by just the Fed or the European central bank alone wouldn't have been nearly as effective in restoring confidence in European lenders. Traders that had laid bets against European banks may now think twice about doing so again, Gendreau said. "It's the rare speculator that wants to go up against a slew of central banks and all their resources," he said.

Bank stocks led the market higher. Goldman Sachs Group Inc. rose 3 percent to $107.97. Bank of America Corp. rose 4 percent to $7.33, the largest gain of the 30 stocks in the Dow. Morgan Stanley jumped 7 percent to $16.59 after reporting that its chairman, John Mack, would step down at the end of the year.

The stock market's gains were tempered by a mixed batch of economic reports. First-time claims for unemployment benefits rose by 11,000 to 428,000 last week. Economists had forecast a decrease. The New York and Philadelphia branches of the Federal Reserve also reported weak manufacturing in their respective regions.

On the positive side, factory output rose 0.5 percent in August, after increasing 0.6 percent in July. Autos and related products increased 2.6 percent, evidence that supply chain disruptions stemming from the Japan earthquake continued to ease.

None of the reports was compelling enough to change anyone's view about the economy, Gendreau said. The market still appears evenly split between those who believe the US is headed for a long stretch of slow growth and those who think it's about to slide into a recession.

Among stocks making big moves, HCA Holdings soared 12 percent to $20.84 after the largest U.S. hospital chain said it would buy back more than $1 billion of its stock from Bank of America.

Research in Motion Ltd. plummeted 16 percent in after-hours trading. The maker of BlackBerry mobile devices reported earnings and sales that came in far below Wall Street's estimates. The company faces tough competition from Apple Inc.'s iPhone and phones that use Google Inc.'s Android software.1

The Swiss bank UBS plunged 10 percent to $11.41 on news that a trader could cost the bank as much as $2.2 billion. Switzerland's largest bank warned that it could post a loss for the quarter as a result of the unauthorized trade.

Netflix fell 18 percent to $169.25, the biggest drop among stocks in the S&P 500 index, after the company said it expects fewer people to subscribe to its DVD-by-mail service as well as its streaming movie service.

 

[bigdog]

Source: http://finance.yahoo.com

The stock market finished its second-best week in a year Friday as Europe's debt problems appeared to get closer to a resolution.

Stocks ended higher for a fifth straight day, the longest winning streak in 2 1/2 months. The Dow Jones industrial average rose 75 points after Treasury Secretary Timothy Geithner called on European finance ministers at a meeting in Poland to reach a solution on Greece's debt problems.

The Standard & Poor's 500 finished the week with a 5.4 percent gain. It was the biggest increase for the broad market index since the first week of July.

The Dow Jones industrial average rose 75.91 points, or 0.7 percent, to close at 11,509.09. The Dow jumped 186 points Thursday, its biggest gain of the week, after five central banks said they would act together to support European lenders with unlimited dollar loans.

The S&P index gained 6.90, or 0.6 percent, to 1,216.01. The Nasdaq added 15.24, or 0.6 percent to 2,622.31.

Nine of the 10 company types in the S&P index rose. Energy companies fell 0.1 percent.

The NYSE DOW NYSE DOW closed +75.91 points HIGHER or +0.66% on Friday September 16
Sym .......Last .......Change..........
Dow 11,509.09 +75.91 +0.66%
Nasdaq 2,622.31 +15.24 +0.58%
S&P 500 1,216.01 +6.90 +0.57%
30-yr Bond 3.3410% -0.0100

NYSE Volume 5,248,895,000
Nasdaq Volume 2,831,026,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,368.41 +30.87 +0.58%
DAX 5,573.51 +65.27 +1.18%
CAC 40 3,031.08 -14.54 -0.48%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,229.90 +76.70 +1.85%
Shanghai Comp 2,482.34 +3.29 +0.13%
Taiwan We... 7,577.40 +191.72 +2.60%
Nikkei 225 8,864.16 +195.30 +2.25%
Hang Seng 19,455.31 +273.81 +1.43%
Straits Times 2,789.04 +23.09 +0.83%

http://finance.yahoo.com/news/Stock...3.html?x=0&sec=topStories&pos=1&asset=&ccode=

Stocks finish their second-best week in a year

Stocks gain for a 5th day, finish their second-best week in a year; Research in Motion tanks

Daniel Wagner and David K. Randall, AP Business Writers, On Friday September 16, 2011, 5:17 pm

NEW YORK (AP) -- The stock market finished its second-best week in a year Friday as Europe's debt problems appeared to get closer to a resolution.

Stocks ended higher for a fifth straight day, the longest winning streak in 2 1/2 months. The Dow Jones industrial average rose 75 points after Treasury Secretary Timothy Geithner called on European finance ministers at a meeting in Poland to reach a solution on Greece's debt problems.

The Standard & Poor's 500 finished the week with a 5.4 percent gain. It was the biggest increase for the broad market index since the first week of July.

The Dow Jones industrial average rose 75.91 points, or 0.7 percent, to close at 11,509.09. The Dow jumped 186 points Thursday, its biggest gain of the week, after five central banks said they would act together to support European lenders with unlimited dollar loans.

The S&P index gained 6.90, or 0.6 percent, to 1,216.01. The Nasdaq added 15.24, or 0.6 percent to 2,622.31.

Nine of the 10 company types in the S&P index rose. Energy companies fell 0.1 percent.

Officials from countries that use the euro met in Poland to discuss solutions to the long-simmering debt problems affecting the region. The group said it would not decide until next month whether Greece has qualified for its next round of bailout money. Investors had been hoping the question would be decided sooner.

Antony Conroy, head trader for BNY ConvergEx Group, said traders' sentiment was mixed. Some were picking up stocks they thought were undervalued, while others were selling because of long-term concerns about Europe.

"Even though we've had a good couple of days, people still believe there's a good chance that the credit crisis in Europe is going to cause something like a 2008 event," he said.

Stocks rose every day this week, their first five-day winning streak since July. The rose 4.7 percent this week but is still down 0.9 percent for the month. The S&P is down 0.2 percent in September.

In corporate news, Blackberry maker Research in Motion Ltd. plunged 19 percent to $23.93 after reporting sharply lower revenue and income. The company faces stiff competition from Apple Inc.'s iPhone and phones that use Google Inc.'s Android software. RIM has lost 59 percent of its value this year. The company said in July it would lay off 10 percent of its work force.

Netflix Inc. lost 26 percent over the past two days, $155.19, after the movie-rental company lowered its forecast of U.S. subscribers. Online retailer Ebay jumped 5 percent to $33.69 after an analyst upgraded the company because of expected growth in its PayPal division. Diamond Foods, maker of Pop Secret popcorn, soared 12 percent to $87.30 after its profits beat expectations.

Rising and falling shares were about even on the New York Stock Exchange. Volume was above average at 4.6 billion shares.

2979

 

[bigdog]

Source: http://finance.yahoo.com

Pessimism about Greece's financial problems returned to the financial markets Monday. Stocks fell sharply as investors once again doubted that the country will be able to avoid a default on its debt.

Even after a late-day rally cut its losses by nearly half, the Dow Jones industrial average closed down 108.08, or 0.9 percent, at 11,401.01. The drop ended five days of gains for stocks and marked the return of the back-and-forth trading that has accompanied the uncertainty about Europe's debt crisis.

The Nasdaq composite fell 9.48, or 0.4 percent, to 2,612.83. The Standard & Poor's 500 index fell 11.92, or 1 percent, to 1,204.09. The S&P 500 gained 5.4 percent last week as it appeared Greece would get its bailout. But European finance ministers said Friday they would delay authorizing an $11 billion installment of emergency funds for Greece until October.

On Monday, the country's finance minister held an emergency teleconference with its international creditors. They are pressuring the government on austerity measures to reduce Greece's debt. Investors fear Greece won't be able to convince lenders that it can pay its debts -- and that it won't get the money it needs to avoid a default on debts that must be paid next month.

Late Monday, Greece's finance minister said that the 2 1/2-hour conference call was "productive and substantive." Hope that Greece might be closer to qualifying for rescue funds started a late comeback. The Dow gained about 100 points in the last hour of trading.

But investors also appeared pessimistic about a Federal Reserve policy decision expected Wednesday. Some economists believe that since the Fed decided to hold a two-day meeting instead of the originally planned one-day session, that it was preparing to take steps to stimulate the economy. However, other analysts doubt that the Fed will announce a new plan for the economy.

There is too much disagreement among Fed officials about monetary policy for a decision right now, said Ralph Fogel, head of investment strategy at Fogel Neale Partners in New York. "They'll have to let it play out at least a little while longer, and I think they'll wait until November," Fogel said.

The NYSE DOW NYSE DOW closed -108.08 points LOWER or -0.94% on Monday September 19
Sym .......Last .......Change..........
Dow 11,401.01 -108.08 -0.94%
Nasdaq 2,612.83 -9.48 -0.36%
S&P 500 1,204.09 -11.92 -0.98%
30-yr Bond 3.1920% -0.1490

NYSE Volume 4,258,633,500
Nasdaq Volume 1,908,633,875

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,259.56 -108.85 -2.03%
DAX 5,415.91 -157.60 -2.83%
CAC 40 2,940.00 -91.08 -3.00%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,164.10 -65.80 -1.56%
Shanghai Comp 2,437.79 -44.55 -1.79%
Taiwan We... 7,480.88 -96.52 -1.27%
Nikkei 225 8,864.16 +195.30 +2.25%
Hang Seng 18,917.95 -537.36 -2.76%
Straits Times 2,757.23 -31.81 -1.14%

http://finance.yahoo.com/news/Stock...9.html?x=0&sec=topStories&pos=6&asset=&ccode=

Stocks slide as worries about Greek debt persist

Stocks slide as Greece fights for emergency funds; investors hope for timely solution

Francesca Levy, AP Business Writer, On Monday September 19, 2011, 5:37 pm EDT

NEW YORK (AP) -- Pessimism about Greece's financial problems returned to the financial markets Monday. Stocks fell sharply as investors once again doubted that the country will be able to avoid a default on its debt.

Even after a late-day rally cut its losses by nearly half, the Dow Jones industrial average closed down 108.08, or 0.9 percent, at 11,401.01. The drop ended five days of gains for stocks and marked the return of the back-and-forth trading that has accompanied the uncertainty about Europe's debt crisis.

The Nasdaq composite fell 9.48, or 0.4 percent, to 2,612.83. The Standard & Poor's 500 index fell 11.92, or 1 percent, to 1,204.09. The S&P 500 gained 5.4 percent last week as it appeared Greece would get its bailout. But European finance ministers said Friday they would delay authorizing an $11 billion installment of emergency funds for Greece until October.

On Monday, the country's finance minister held an emergency teleconference with its international creditors. They are pressuring the government on austerity measures to reduce Greece's debt. Investors fear Greece won't be able to convince lenders that it can pay its debts -- and that it won't get the money it needs to avoid a default on debts that must be paid next month.

Late Monday, Greece's finance minister said that the 2 1/2-hour conference call was "productive and substantive." Hope that Greece might be closer to qualifying for rescue funds started a late comeback. The Dow gained about 100 points in the last hour of trading.

But investors also appeared pessimistic about a Federal Reserve policy decision expected Wednesday. Some economists believe that since the Fed decided to hold a two-day meeting instead of the originally planned one-day session, that it was preparing to take steps to stimulate the economy. However, other analysts doubt that the Fed will announce a new plan for the economy.

There is too much disagreement among Fed officials about monetary policy for a decision right now, said Ralph Fogel, head of investment strategy at Fogel Neale Partners in New York. "They'll have to let it play out at least a little while longer, and I think they'll wait until November," Fogel said.

Separately, President Barack Obama on Monday called for $1.5 trillion in new taxes to help reduce the U.S. deficit. He said, "we can't just cut our way out of this hole."

The proposal is being opposed by House Speaker John Boehner, who has said the Republican Party won't accept any tax increases to lower deficits. Obama's speech marked the start of a new round of deficit-reduction negotiations that are likely to be contentious.

For investors, the day's news added up to more uncertainty. "The market just can't stand not knowing what's going on," Fogel said.

Investors have been sensitive to each development that emerges from Europe, and that has helped feed the volatility in stocks the past few months.

"After every meeting in Europe there's a spin put on it -- either `this was good and a solution's really soon,' or someone looks the wrong way and the media says there's no solution," said Rob Lutts, president and chief investment officer of Boston-based Cabot Money Management.

If Greece were to default on its debt, other European countries with heavy debt would likely be judged less credit-worthy and have difficulty borrowing money. But the problems go beyond Europe. U.S. bank stocks have fallen on concerns that a default would make it hard for European banks to pay their bills -- including the billions of dollars that U.S. banks have lent them. There are concerns about a lending crisis similar to what the world saw in 2008.

There is also concern about a recession in Europe, which already has a weak economy. The companies in the S&P 500 get 20 percent of their net income from European countries. If their business suffers, that could also hurt the struggling U.S. economy.

The uncertainty wasn't limited to U.S. investors. In Europe, Germany's DAX closed 2.8 percent lower. France's CAC-40 fell 3 percent, and the FTSE 100 index of leading British shares fell 2 percent. Those markets closed before the news about the teleconference between Greece and its creditors.

Lutts, the Cabot analyst, said some investors are also uneasy about earnings reports that will start arriving in early October.

"In the last year or so we had a nice ramp-up in earnings -- that's history now," Lutts said. He said companies are contending with the steady rise this year in commodities and raw materials prices, and many are unable to raise their own prices because that hurt their ability to compete.

"The market is worried that (earnings reports) won't be rosy and that we'll see a downshift, not an upshift, in earnings."

Investors were again buying U.S. government debt, which is seen as a safe place when the economy is weak and stocks are falling. The yield on the 10-year Treasury note, which falls as investors buy bonds and push its price higher, fell to 1.95 percent, near its low for the year. It was at 2.07 percent late Friday.

The U.S. dollar, another asset seen as safe, also rose against a basket of foreign currencies. Concerns about the stability of the European economy pushed the Euro lower against the dollar, to $1.36 from $1.38 late Friday.

In corporate news, Goodrich Corp. rose 16 percent on speculation that United Technologies Corp. is interested in buying the aerospace manufacturer. United Technologies fell 1.2 percent.

Tyco International Ltd. rose 2 percent after the manufacturer announced a plan to split into three companies.

Lennar Corp. rose 5 percent after the homebuilder's earnings met Wall Street's expectations and revenue came in stronger than expected. The company said that while it delivered fewer homes in its fiscal third quarter, demand is picking up somewhat, driven by low home prices and all-time low interest rates. The company was cautious about the future, however, because of high unemployment.

Netflix fell 7 percent after the company said it was formally separating its online streaming service from its mail-in DVD rental service, which is being renamed Qwikster.

Chinese solar equipment factory Jinko Solar plunged 28 percent after it was forced to shut down one of its factories because of protests by local residents who claimed it was polluting the air and water.

About six stocks fell for every one that rose. Trading was light, at 3.7 billion shares.

 

[bigdog]

Source: http://finance.yahoo.com

Investor optimism faded in a hurry Tuesday after two days of conferences ended with no resolution to Greece's debt crisis.

Stocks erased nearly all of their gains in the last hour of trading after rallying for much of the day on hopes the Fed would stimulate the economy.

At the closing bell, the Dow Jones industrial average was left with a gain of 7.65 points, or 0.1 percent, at 11,408.66. It had been up as much as 149.21 points earlier in the day.

The Standard & Poor's 500 index fell 2, or 0.2 percent, to 1,202.09. The Nasdaq composite fell 22.59, or 0.9 percent, to 2,590.24.

Many analysts believe the Fed will announce a new stimulus plan at the end of a two-day policy meeting Wednesday. But another two-day meeting, a teleconference between Greek officials and international lenders, spurred sellers late in the day.

After the teleconference, the European Commission said debt inspectors would continue to review Greece's progress on its budget goals early next week. That suggested to investors that a resolution to Greece's debt crisis wouldn't come in the next few days.

Greek Finance Minister Evangelos Venizelos attempted to convince the European Commission, International Monetary Fund and European Central Bank, known collectively as the Troika, that Greece can make deep budget cuts. Greece must meet the Troika's strict budget targets in order to qualify for a second installment of the rescue package it received in 2010 to keep it from defaulting on its debt.

Greece is only one of several European countries that investors fear may be at risk of failing to pay their debts. On Monday night, the ratings agency Standard & Poor's cut Italy's credit rating by one notch, citing the country's growing debt and weak growth outlook. Italy has the second-biggest debt burden among countries that use the euro, after Greece.

If Greece or Italy were to default, European banks that have lent money to the countries could lose billions of dollars. That could hurt the European banking system and have repercussions for U.S. banks, which have lent billions to their European counterparts. Investors are concerned that a default in Europe could cause a lending crisis similar to what happened after the collapse of Lehman Brothers in 2008.

The NYSE DOW NYSE DOW closed +7.65 points HIGHER or 0.07% on Tuesday September 20
Sym .......Last .......Change..........
Dow 11,408.66 +7.65 +0.07%
Nasdaq 2,590.24 -22.59 -0.86%
S&P 500 1,202.09 -2.00 -0.17%
30-yr Bond 3.2110% +0.0190

NYSE Volume 4,334,092,500
Nasdaq Volume 1,949,517,000

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,363.71 +104.15 +1.98%
DAX 5,571.68 +155.77 +2.88%
CAC 40 2,984.05 +44.05 +1.50%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,124.80 -39.30 -0.94%
Shanghai Comp 2,447.76 +9.96 +0.41%
Taiwan We... 7,492.85 +11.97 +0.16%
Nikkei 225 8,721.24 -142.92 -1.61%
Hang Seng 19,014.80 +96.85 +0.51%
Straits Times 2,780.84 +23.61 +0.86%

http://finance.yahoo.com/news/Stock...5.html?x=0&sec=topStories&pos=2&asset=&ccode=

Stocks end mixed as promise of Greek debt fix dims

Stocks erase their gains after conference call on Greece ends with little hope for quick fix

Francesca Levy, AP Business Writer, On Tuesday September 20, 2011, 5:04 pm EDT

NEW YORK (AP) -- Investor optimism faded in a hurry Tuesday after two days of conferences ended with no resolution to Greece's debt crisis.

Stocks erased nearly all of their gains in the last hour of trading after rallying for much of the day on hopes the Fed would stimulate the economy.

At the closing bell, the Dow Jones industrial average was left with a gain of 7.65 points, or 0.1 percent, at 11,408.66. It had been up as much as 149.21 points earlier in the day.

The Standard & Poor's 500 index fell 2, or 0.2 percent, to 1,202.09. The Nasdaq composite fell 22.59, or 0.9 percent, to 2,590.24.

Many analysts believe the Fed will announce a new stimulus plan at the end of a two-day policy meeting Wednesday. But another two-day meeting, a teleconference between Greek officials and international lenders, spurred sellers late in the day.

After the teleconference, the European Commission said debt inspectors would continue to review Greece's progress on its budget goals early next week. That suggested to investors that a resolution to Greece's debt crisis wouldn't come in the next few days.

Greek Finance Minister Evangelos Venizelos attempted to convince the European Commission, International Monetary Fund and European Central Bank, known collectively as the Troika, that Greece can make deep budget cuts. Greece must meet the Troika's strict budget targets in order to qualify for a second installment of the rescue package it received in 2010 to keep it from defaulting on its debt.

Greece is only one of several European countries that investors fear may be at risk of failing to pay their debts. On Monday night, the ratings agency Standard & Poor's cut Italy's credit rating by one notch, citing the country's growing debt and weak growth outlook. Italy has the second-biggest debt burden among countries that use the euro, after Greece.

If Greece or Italy were to default, European banks that have lent money to the countries could lose billions of dollars. That could hurt the European banking system and have repercussions for U.S. banks, which have lent billions to their European counterparts. Investors are concerned that a default in Europe could cause a lending crisis similar to what happened after the collapse of Lehman Brothers in 2008.

Investors have shifted between optimism and pessimism that the region's debt problems will be resolved. Stock prices have swung sharply for months in response to investors' changing mood. Moves of more than 100 points in the Dow have become commonplace.

Right now, hopes are not high that Greece will avoid a default, said David Smith, chief investment officer at Rockland Trust Investment Management Group, a firm based in Rockland, Mass., that manages about $1.7 billion in assets. "I'm sitting here, like a lot of investors, thinking we don't have anything like a concrete solution," he said.

A bleak forecast for U.S. economic growth added to fears the U.S. could be headed for a second recession, but sparked hopes that the Fed would be persuaded to enact stimulus measures.

The International Monetary Fund lowered its forecast for the country's growth this year. Some saw it as another reason for the Fed to act. The IMF said it expects the U.S. economy to grow only 1.5 percent this year and 1.8 percent in 2012. In June, it had forecast 2.5 percent growth in 2011 and 2.7 percent in 2012.

The IMF also lowered its outlook for the 17 countries that use the euro because it fears Greece will default on its debt.

In a sign that the market's afternoon rally was a cautious one, stocks were led higher by industries that tend to do well regardless of the economy, like utilities and health care. Investors are reluctant to take much risk, said Quincy Krosby, market strategist for Prudential Financial.

"The market already thinks the Fed has telegraphed that it wants to push down rates," said Krosby. "What you're witnessing now is traders taking profits."

After the close of trading, software company Oracle Corp. said its server business had weakened in its most recent quarter, sending the company's stock down 2.3 percent in after-hours trading.

In other corporate news, Carnival Corp. rose 5.1 percent after it said its 3 percent rise in quarterly earnings was due in part to higher ticket prices. There were concerns that consumers would cut back on travel because they're worried about the economy, but the cruise line's profit beat forecasts.

Ralph Lauren Corp. rose to an all-time high of $154.62 after an analyst upgraded the stock because of its strong international business and sales of higher-priced merchandise.

Apple Corp. also hit an all-time high of $422.86 a share. The company is seen as able to withstand a weak economy because of the huge popularity of its iPhones and iPads.

Netflix fell 9.5 percent a day after customers balked at the streaming video and DVD rental company's decision to separate its two businesses.

ConAgra Foods Inc. fell 1.7 percent after the food maker said higher costs for consumer foods sent its quarterly profit down 42 percent, below the expectations of Wall Street analysts.

Molycorp Inc. plunged 12 percent after a JPMorgan analyst downgraded the miner's stock because of a sharp drop in the price of rare-earth minerals.

Nearly two stocks fell for every one that rose. Trading was light, at 3.8 billion shares.