NYSE Dow Jones finished today at:

[bigdog]

Source: http://finance.yahoo.com

The Federal Reserve did what investors expected -- it said it would buy Treasury bonds to help the economy. Stocks then plunged because investors saw a grim forecast behind the Fed's plans.

The Fed said Wednesday it would buy long-term Treasurys and sell short-term ones to help the economy regain momentum. It surprised investors when it said it would include more 30-year bonds in its purchases than expected.

Financial analysts said stocks dropped as investors came to the conclusion that the Fed expects the economy to take years to recover.

"It's being viewed as perhaps an admission that this is a longer-term issue that the U.S. economy is facing and not one that's going to be solved over a couple of years," said Oliver Pursche, president of Gary Goldberg Financial Services.

The major indexes fluctuated as they often do after major Fed announcements. The losses accelerated in the last hour of trading.

The Dow Jones industrial average lost 283.82 points, or 2.5 percent, and closed at 11,124.84. The Standard & Poor's 500 index fell 35.33, or 2.9 percent, to 1,166.76 The Nasdaq composite fell 52.05, or 2 percent, to 2,538.19.

The yield on the 10-year Treasury note fell to a record low of 1.86 percent from late Tuesday's 1.93 percent

The NYSE DOW NYSE DOW closed -283.82 points LOWER or -2.49% on Wednesday September 21
Sym .......Last .......Change..........
Dow 11,124.84 -283.82 -2.49%
Nasdaq 2,538.19 -52.05 -2.01%
S&P 500 1,166.76 -35.33 -2.94%
30-yr Bond 3.0390% -0.1720

NYSE Volume 5,520,235,000
Nasdaq Volume 2,199,359,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,288.41 -75.30 -1.40%
DAX 5,433.80 -137.88 -2.47%
CAC 40 2,935.82 -48.23 -1.62%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,153.60 +28.80 +0.70%
Shanghai Comp 2,512.96 +65.21 +2.66%
Taiwan We... 7,535.88 +43.03 +0.57%
Nikkei 225 8,741.16 +19.92 +0.23%
Hang Seng 18,824.17 -190.63 -1.00%
Straits Times 2,791.79 +10.95 +0.39%

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

Stocks plunge after Fed announces stimulus steps

Stocks dive after Fed says it will sell short-term debt, buy long-term bonds to help economy

Francesca Levy and Chip Cutter, AP Business Writers, On Wednesday September 21, 2011, 5:12 pm

NEW YORK (AP) -- The Federal Reserve did what investors expected -- it said it would buy Treasury bonds to help the economy. Stocks then plunged because investors saw a grim forecast behind the Fed's plans.

The Fed said Wednesday it would buy long-term Treasurys and sell short-term ones to help the economy regain momentum. It surprised investors when it said it would include more 30-year bonds in its purchases than expected.

Financial analysts said stocks dropped as investors came to the conclusion that the Fed expects the economy to take years to recover.

"It's being viewed as perhaps an admission that this is a longer-term issue that the U.S. economy is facing and not one that's going to be solved over a couple of years," said Oliver Pursche, president of Gary Goldberg Financial Services.

The major indexes fluctuated as they often do after major Fed announcements. The losses accelerated in the last hour of trading.

The Dow Jones industrial average lost 283.82 points, or 2.5 percent, and closed at 11,124.84. The Standard & Poor's 500 index fell 35.33, or 2.9 percent, to 1,166.76 The Nasdaq composite fell 52.05, or 2 percent, to 2,538.19.

The yield on the 10-year Treasury note fell to a record low of 1.86 percent from late Tuesday's 1.93 percent.

After a two-day meeting, the Fed said it would buy $400 billion in 6-year to 30-year Treasurys by June 2012. Over the same period, it planned to sell $400 billion of Treasurys maturing in 3 years or less. The move is intended to drive down interest rates on long-term government debt, and could lower rates on mortgages and other loans.

Those purchases are intended to send long-term rates down. The inclusion of more 30-year bonds than expected indicated that the Fed sees a need to keep rates lower for an extended period. And that took investors by surprise, Pursche said.

"When the Fed decides to take this type of action, it's because things are serious," Pursche said.

Wednesday's trading recalled the sharp losses the market has suffered this summer as investors feared that the country was heading toward another recession.

The Fed had some bleak remarks about the state of the economy in the statement that accompanied its decision to buy more bonds. The Fed said the economy has "significant downside risks." One of those risks is the volatility in financial markets around the world. It also listed a number of problems that won't be easily solved: high unemployment, a depressed housing market and consumer spending that is growing only at a slow pace.

There are also concerns about problems overseas, including the debt crisis in Europe that investors believe could affect the U.S. The International Monetary Fund said Wednesday the global financial system is in its most vulnerable state since the 2008 financial crisis. In a semi-annual report, the IMF said the risk to banks and financial markets has grown in recent months.

The Fed's new bond buying plan has been dubbed "Operation Twist" because it is designed to "twist" long-term rates relative to shorter ones. The last time a similar program was used was in the early 1960s, when the twist was the rage on dance floors.

This is the third major bond-buying program by the Fed in less than three years.

"That is perhaps a recognition that the Fed is running out of firepower and resorting to some arcane techniques resurrected from the vault of history," said Lawrence Creatura, portfolio manager at Federated Investors.

Investors may also be doubting the Fed's ability to drive down Treasury yields much more from their current levels.

"Let's face it: with a 10-year Treasury offering 1.90 percent, there's not a whole lot of room for there to be a major impact," said Mark Lamkin, the head of Lousiville, KY-based Lamkin Wealth Management.

While initial investor reaction to the decision was negative, it's common for stocks to change direction in the minutes, hours and days following an important Fed announcement, said Phil Orlando, chief equity market strategist for Federated Investors.

"It's not unusual for the market to drop a percent or two after the decision, then it may rally the next day, then it may fall again. People are confused, they don't really know how to settle it in," said Orlando.

 

[bigdog]

Source: http://finance.yahoo.com

Investors began giving in to fears Thursday that a global recession is already under way, and stock markets shuddered around the world. Selling started in Asia, picked up speed in Europe and sent Wall Street near its worst finish of the year.

The Dow Jones industrial average lost 391 points and at one point was down more than 500, a return to the volatility that gripped the market this summer.

The Dow fell 391.01 points, or 3.5 percent, and closed at 10,733.83. The selling was not just steep but broad: Nineteen stocks on the New York Stock Exchange fell for every one that rose. At one point, the Dow was down more than 500 points.

The NYSE DOW NYSE DOW closed -391.01 points LOWER or -3.51% on Thursday September 22
Sym .......Last .......Change..........
Dow 10,733.83 -391.01 -3.51%
Nasdaq 2,455.67 -82.52 -3.25%
S&P 500 1,129.56 -37.20 -3.19%
30-yr Bond 2.7860% -0.2530

NYSE Volume 8,032,773,000
Nasdaq Volume 2,953,304,500

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,041.61 -246.80 -4.67%
DAX 5,164.21 -269.59 -4.96%
CAC 40 2,781.68 -154.14 -5.25%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,044.70 -108.90 -2.62%
Shanghai Comp 2,443.06 -69.91 -2.78%
Taiwan We... 7,305.50 -230.38 -3.06%
Nikkei 225 8,560.26 -180.90 -2.07%
Hang Seng 17,911.95 -912.22 -4.85%
Straits Times 2,720.53 -71.26 -2.55%

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

Dow falls 391 on worldwide fears about economy

Wall Street and world markets fall sharply; Dow loses 391 as investors focus on recession fear

Francesca Levy, AP Business Writer, On Thursday September 22, 2011, 6:10 pm

NEW YORK (AP) -- Investors began giving in to fears Thursday that a global recession is already under way, and stock markets shuddered around the world. Selling started in Asia, picked up speed in Europe and sent Wall Street near its worst finish of the year.

The Dow Jones industrial average lost 391 points and at one point was down more than 500, a return to the volatility that gripped the market this summer.

One financial indicator after another showed that investors are losing hope that the global economy can keep growing. The price of oil and metals such as copper, which depend on economic demand, fell sharply. Traders bought Treasury bonds and the dollar for safety.

FedEx, a company that ships so many goods it is considered a barometer of the U.S. economy, had to lower its earnings forecast for the year because customers are putting off purchases of electronics and other gadgets from China.

The Dow fell 391.01 points, or 3.5 percent, and closed at 10,733.83. The selling was not just steep but broad: Nineteen stocks on the New York Stock Exchange fell for every one that rose. At one point, the Dow was down more than 500 points.

"Markets rely on confidence and certainty. Right now there is neither," said John Canally, an economic strategist at LPL Financial, an investment firm in Boston.

It was the second consecutive rout in the stock market since Wednesday afternoon, when the Federal Reserve announced a change in strategy for fighting the economic slowdown -- a bid to lower long-term interest rates and get people and companies to spend more money.

Economic news was bad around the world. A closely watched survey in Europe indicated a recession could be on the way there, and a manufacturing survey suggested a slowdown in China, which has been one of the hottest economies.

"The probability of going back into recession is higher now than at any point in the recovery," said Tim Quinlan, an economist at Wells Fargo. He put his odds of a recession at 35 percent.

Christine Lagarde, the head of the International Monetary Fund, said the world economy was "entering a dangerous phase." She told an annual meeting of the IMF and World Bank that nations need credible plans to get their debt under control.

In the United States, investors poured money into American government debt, which they see as less risky than stocks even as the nation wrestles with how to tame its long-term budget problems.

The yield on the 10-year Treasury note hit 1.71 percent -- the lowest since the Federal Reserve Bank of St. Louis started keeping daily records half a century ago. It was 3.66 percent as recently as February, when the economic forecast was brighter.

Yields fall as investors buy bonds and send their prices higher. Small yields are a sign that investors are just looking for a safe place to park their cash.

"They want to get their money back," said Guy LeBas, chief fixed income strategist at Janney Capital Markets. "How much they earn is secondary."

Besides U.S. bonds, investors bought American dollars. The dollar rose to an eight-month high against the euro because of fears that Europe, staggered by debt, will bear the worst of a global downturn.

The Dow almost matched its lowest close of the year, 10,719 on Aug. 10. The stock market was seized by volatility last month, and at one point the Dow strung together four consecutive days of 400-point moves up or down.

In a sign of what a rocky year it has been for the stock market, Thursday's decline isn't even close to the biggest in 2011. The Dow fell 634 points on Aug. 8, 519 points on Aug. 10 and 512 points on Aug. 4.

It would have to fall 485 more points to reach the traditional definition of a bear market -- a 20 percent decline. The Dow was at 12,810 on April 29.

The Standard & Poor's 500 index, a broader measure of the stock market, and the Nasdaq composite, which is more heavily weighted with technology stocks, both fell more than 3 percent for the day.

To get the economy going, President Barack Obama has proposed a $447 billion package of tax cuts, public works projects and benefits for the unemployed, but it faces major opposition in the Republican-controlled House.

While the market was falling Thursday, the president stood in front of an aging bridge that connects Ohio and Kentucky. He exhorted Republicans: "Help us put this country back to work. Pass this jobs bill right away."

Top Republicans in Congress accused Obama of trying to score political points. If Congress fails to pass the jobs bill, it would leave the Fed action this week as the only major new initiative designed to help the economy.

The Fed announced Wednesday that it would shuffle $400 billion of its own holdings in hopes of reducing interest rates on long-term loans. The plan is known as Operation Twist, a nod to a similar approach taken by the Fed during the time of Chubby Checker in the early 1960s.

The central bank hopes that if people and businesses are able to borrow money more cheaply, they will spend throughout the economy and give it a lift.

Still, the Fed announcement troubled investors because it came with a bleak assessment of the future. The Fed said it sees "significant downside risks to the economic outlook," including volatility in overseas markets.

"In financial markets, the thinking seems to be: If the Fed is worried, the rest of us ought to be really worried," said Brian Gendreau, senior investment strategist at Cetera Financial Group.

Economists say the Fed action may help, but probably not much.

"Counting on the Fed to get us out of this is a mistake," said Uri Landesman, president of Platinum Partners, a hedge fund.

The price of commodities like oil and metals dropped steeply because investors worried that demand for them would fall if the world economy keeps slowing or falls into recession again.

Oil dropped more than $5 a barrel to $80.51, its lowest settling price since Aug. 9. The selling reflected concerns that world demand for oil will fall if the economy slows.

"This is just sudden and strong confirmation that the economy is not improving," said Michael Lynch, president of Strategic Energy & Economic Research. "Energy demand is going to be very poor."

The price of silver fell 9.6 percent. And gold fell 3.7 percent. Earlier this summer, gold set one record high after another. Investors wanted it both as a safe place for their money and to cash in on what seemed an unstoppable run. Gold, which was as high as $1,907 two weeks ago, finished at $1,741.70.

Stocks fell sharply even though the New York Stock Exchange executed a rule designed to smooth trading. The exchange invoked Rule 48, which limits how much information is released about stock trades.

Stock volatility rose anyway. The VIX, an index that measures investor fear, rose about 11 percent to 41.35, double the normal level.

It's common for stocks to move dramatically after the Fed makes a big announcement. But the number of trades that can be made instantly has also gone up in recent years, causing big swings to happen more quickly. Computer systems are programmed to analyze charts, capitalize on tiny changes in price and execute trades with no human intervention.

"These major moves are much more compressed, time-wise, than in the past," Landesman said. "A 5 percent move can now happen in a couple of minutes as opposed to a week or two."

Some analysts called the heavy selling an overreaction.

"The facts show we are not in a recession, and we are not borderline recession," Chris Rupkey, chief financial economist with Bank of Tokyo-Mitsubishi, wrote in a report Thursday.

Asian stocks were hammered to start the world's trading. The Nikkei index in Japan fell 2.1 percent. The main stock averages fell 2.8 percent in China, 2.9 percent in South Korea, 2.6 percent in Australia and almost 5 percent in Hong Kong.

Europe fared even worse. The stock market fell 5.3 percent in France, 5 percent in Germany and 4.7 percent in Britain.

 

[bigdog]

Source: http://finance.yahoo.com

A brutal week for the stock market ended on a quiet note Friday, but worries about the global economy again pounded copper, gold and other commodities.

Fears about Europe's debt increased early Friday on news that Moody's Investors Service had downgraded its ratings of eight Greek banks by two notches. Investors have been waiting in vain for news that Greece will receive the next installment of a bailout package in time to avoid defaulting on its debt next month. If it defaults, banks throughout Europe are likely to lose the money they invested in Greek bonds -- and investors fear that could ultimately lead to a recession in Europe and the U.S.

Finance ministers from 20 large countries pledged Friday to take "all necessary actions to preserve the stability of the banking systems and financial markets." But they offered nothing specific.

Europe's problems helped feed the heavy selling in stocks this week. But the chief worry was that the U.S. is headed for another recession and that the Federal Reserve is running out of ways to fight it.

The Dow Jones industrial average rose 37.65 points Friday, or 0.4 percent, to close at 10,771.48. The Dow lost 6.4 percent for the week, its biggest drop since the week that ended Oct. 10, 2008, when it fell 18 percent. That was at the height of the financial crisis.

The S&P 500 index rose 6.87 points Friday, or 0.6 percent, to 1,136.43. For the week, the index dropped 6.5 percent, its worst slide since the first week of August.

The Nasdaq rose 27.56, or 1.1 percent, to 2,483.23.

The NYSE DOW NYSE DOW closed +37.65 points HIGHER or +0.35% on Friday September 23
Sym .......Last .......Change..........
Dow 10,771.48 +37.65 +0.35%
Nasdaq 2,483.23 +27.56 +1.12%
S&P 500 1,136.43 +6.87 +0.61%
30-yr Bond 2.8710% +0.0850

NYSE Volume 5,808,493,500
Nasdaq Volume 2,006,806,625

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,066.81 +25.20 +0.50%
DAX 5,196.56 +32.35 +0.63%
CAC 40 2,810.11 +28.43 +1.02%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 3,978.50 -66.20 -1.64%
Shanghai Comp 2,433.16 -9.90 -0.41%
Taiwan We... 7,046.22 -259.28
Nikkei 225 8,560.26 -180.90 -2.07%
Hang Seng 17,668.83 -243.12 -1.36%
Straits Times 2,698.80 -21.73 -0.80%

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

US stocks mixed after brutal week of selling

US stocks mixed after touching new yearly lows; recession fears fuel volatile trading

Daniel Wagner and Matthew Craft, AP Business Writer, On Friday September 23, 2011, 5:54 pm

A brutal week for the stock market ended on a quiet note Friday, but worries about the global economy again pounded copper, gold and other commodities.

Fears about Europe's debt increased early Friday on news that Moody's Investors Service had downgraded its ratings of eight Greek banks by two notches. Investors have been waiting in vain for news that Greece will receive the next installment of a bailout package in time to avoid defaulting on its debt next month. If it defaults, banks throughout Europe are likely to lose the money they invested in Greek bonds -- and investors fear that could ultimately lead to a recession in Europe and the U.S.

Finance ministers from 20 large countries pledged Friday to take "all necessary actions to preserve the stability of the banking systems and financial markets." But they offered nothing specific.

Europe's problems helped feed the heavy selling in stocks this week. But the chief worry was that the U.S. is headed for another recession and that the Federal Reserve is running out of ways to fight it.

The Dow Jones industrial average rose 37.65 points Friday, or 0.4 percent, to close at 10,771.48. The Dow lost 6.4 percent for the week, its biggest drop since the week that ended Oct. 10, 2008, when it fell 18 percent. That was at the height of the financial crisis.

The S&P 500 index rose 6.87 points Friday, or 0.6 percent, to 1,136.43. For the week, the index dropped 6.5 percent, its worst slide since the first week of August.

The Nasdaq rose 27.56, or 1.1 percent, to 2,483.23.

Nearly two stocks rose for every one that fell on the New York Stock Exchange Friday. Trading volume was slightly above average at 5.1 billion shares.

John Merrill, chief investment officer at Tanglewood Wealth Management in Houston, said Friday's respite might not last.

"Nothing goes in a straight line, even markets that are declining steeply," he said. Merrill said the market was moderating as traders bought shares that looked like bargains after the week's selling. But the problems that have weighed on markets for months now show no sign of letting up.

Bargain-hunters "bring some stability into the market for a day or two, until they've used up their buying power," Merrill said. "Then the macro issues surface again" and volatility returns.

Commodities from soybeans to metals sank Friday. Gold dropped 5.9 percent, copper lost 6 percent and silver 17.7 percent. Stocks in commodities producers also dropped. Range Resources Corp. fell 11 percent to $58.53. Newmont Mining Corp. fell 3.6 percent to $62.86.

Treasury yields rose slightly from record lows reached Thursday as the quieter stock market reduced traders' hunger for lower-risk bets such as U.S. government debt. The yield on the benchmark 10-year Treasury note rose to 1.80 percent from 1.71 percent late Thursday. Demand for Treasurys drives their prices higher and their yields lower.

Traders had sold gold to raise cash during Thursday's sell-off. They dumped other commodities because they tend to lose value when the economy weakens, such as oil and raw materials.

The rout started Wednesday afternoon after the Federal Reserve announced its third plan in less than three years to lower long-term interest rates. But the Fed unnerved investors with a dismal view of the economy's health, spotting "significant downside risks to the economic outlook, including strains in financial markets." Investors interpreted the Fed's plans and its statement as indicating that a full economic recovery is years away.

The bleak tone helped drive the Dow and S&P down more than 2 percent Wednesday. When trading resumed on Thursday, the selling was furious from the start. The Dow fell as much as 527 points before regaining some ground and closing down 391, or 3.5 percent.

A report out Thursday that showed a drop in Chinese manufacturing added to the list of concerns. Demand from China, the world's second-largest economy, has helped give other countries from Indonesia to Canada a lift. But its central bank has been raising interest rates to slow the country's growth and battle inflation.

The plunge in stocks this week followed five straight days of gains. The change in heart came as hopes for a resolution to Europe's debt were crushed -- an expected deal on the next installment of a bailout package for Greece didn't come. That raised the specter of a default. That combined with the Fed's disappointing assessment of the U.S. economy had investors fleeing any investment that looked risky. The dollar and Treasurys were among the few investments that attracted buyers.

Because the stock market tends to move on investors' expectations for the next six months, this week's drop signals that investors believe the U.S. economy will keep weakening. The reports released in the last few months about employment, consumer spending, manufacturing and housing show that the recovery from the recession that ended in June 2009 has stalled. There is little reason for investors to expect the economic data to pick up anytime soon.

The next two weeks will bring the first look at how the economy did during September. Among them: the Conference Board's consumer confidence index for this month, the Institute for Supply Management's reports on the manufacturing and service industries and the Labor Department's employment report.

The employment report, arguably the most important data for investors, will have the power to calm investors' fears or send stocks plunging again. The August report showed that virtually no new jobs were created. At this point, economists are expecting that 75,000 jobs were created during September. That is not a strong enough number to pull the unemployment rate down from its current 9.1 percent, but it might give investors reason to buy cautiously. The report is scheduled for Friday, Oct. 7.

Investors are also looking anxiously toward third-quarter earnings reports that will start in early October. Expectations are low in the market, given the slowing economy. But financial analysts are forecasting that earnings for the S&P 500 companies will be up an average 13 percent for the July-September period.

3761

 

[bigdog]

Source: http://finance.yahoo.com

Stocks had their biggest gains in more than two weeks Monday after European officials pledged to take action to resolve the region's debt problems. The Dow Jones industrial average jumped 272 points, making up about a third of last week's losses.

European ministers told a meeting of global finance leaders in Washington over the weekend that they would take bolder steps to fight the debt crisis, which threatens to slow the global economy. President Barack Obama called on Europe's leadership Monday to move more quickly to address the problems.

Germany wants banks and private institutions that hold Greek bonds to take a bigger loss on those holdings to reduce Greece's debt burden. European officials have talked about increasing the size of Europe's $595 billion rescue fund by allowing it to take loans from the European Central Bank. Pressure is also mounting for the central bank to lower interest rates.

"The news leaking out of Europe is giving investors hope that the politicians and central bankers in Europe might be putting together a plan," said Channing Smith, managing director of Capital Advisors Inc. "The devil's in the details."

The Dow Jones industrial average shot up 272.38 points, or 2.5 percent, to close at 11,043.86. It was the biggest gain since Sept. 7. JPMorgan Chase & Co. jumped 7 percent to $31.65, the most of the 30 stocks in the Dow.

The Standard & Poor's 500 rose 26.52, or 2.3 percent, to 1,162.95. The Nasdaq composite rose 33.46, or 1.4 percent, to 2,516.69.

The NYSE DOW NYSE DOW closed +272.38 points HIGHER or +2.53% on Monday September 26
Sym .......Last .......Change..........
Dow 11,043.86 +272.38 +2.53%
Nasdaq 2,516.69 +33.46 +1.35%
S&P 500 1,162.95 +26.52 +2.33%
30-yr Bond 3.0020% +0.1310

NYSE Volume 5,365,772,000
Nasdaq Volume 2,036,288,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,089.37 +22.56 +0.45%
DAX 5,345.56 +149.00 +2.87%
CAC 40 2,859.34 +49.23 +1.75%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 3,927.60 -50.90 -1.28%
Shanghai Comp 2,393.18 -39.98 -1.64%
Taiwan We... 6,877.12 -169.10 -2.40%
Nikkei 225 8,374.13 -186.13 -2.17%
Hang Seng 17,407.80 -261.03 -1.48%
Straits Times 2,656.92 -41.88 -1.55%

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

Stocks jump on hopes for a Europe fix; Dow up 272

Stocks rally as hopes build for a resolution to Europe's debt crisis; Dow soars 272 points

Chip Cutter and Francesca Levy, AP Business Writers, On Monday September 26, 2011, 6:00 pm EDT

NEW YORK (AP) -- Stocks had their biggest gains in more than two weeks Monday after European officials pledged to take action to resolve the region's debt problems. The Dow Jones industrial average jumped 272 points, making up about a third of last week's losses.

European ministers told a meeting of global finance leaders in Washington over the weekend that they would take bolder steps to fight the debt crisis, which threatens to slow the global economy. President Barack Obama called on Europe's leadership Monday to move more quickly to address the problems.

Germany wants banks and private institutions that hold Greek bonds to take a bigger loss on those holdings to reduce Greece's debt burden. European officials have talked about increasing the size of Europe's $595 billion rescue fund by allowing it to take loans from the European Central Bank. Pressure is also mounting for the central bank to lower interest rates.

"The news leaking out of Europe is giving investors hope that the politicians and central bankers in Europe might be putting together a plan," said Channing Smith, managing director of Capital Advisors Inc. "The devil's in the details."

The Dow Jones industrial average shot up 272.38 points, or 2.5 percent, to close at 11,043.86. It was the biggest gain since Sept. 7. JPMorgan Chase & Co. jumped 7 percent to $31.65, the most of the 30 stocks in the Dow.

The Standard & Poor's 500 rose 26.52, or 2.3 percent, to 1,162.95. The Nasdaq composite rose 33.46, or 1.4 percent, to 2,516.69.

About three stocks rose for every one that fell on the New York Stock Exchange. All 10 industry groups in the S&P 500 rose.

Financial stocks had the biggest gains in the S&P 500, rising 4.4 percent. Banks have the most to lose if Europe's debt crisis gets worse, so investors picked up those stocks as hopes built that a resolution could be on the way. Huntington Bancshares Inc. rose 8.3 percent, SunTrust Banks Inc. rose 8 percent.

Berkshire Hathaway's Class B shares rose 8.6 percent after the company announced a plan to repurchase stock for the first since Warren Buffett took control in 1965.

Investors have been on edge about Europe's debt problems for months. The Dow plunged 6.4 percent last week, its biggest drop since the week ended Oct. 10, 2008 at the height of the financial crisis.

The market's volatility has made many investors nervous. Since the first week of August, the Dow has closed up or down more than 200 points a total of 16 times. There were only four swings of 200 points or more in the other seven months of 2011.

President Barack Obama said in a town hall meeting that Europe's financial crisis "is scaring the world" and that the actions the region's leaders have taken so far "haven't been as quick as they need to be."

Greece is at risk of defaulting on its debt next month if it does not receive the next installment of a bailout package. If that happens, banks that hold Greek bonds would lose money. Analysts also worry that the economies in Europe and the U.S. could slip into another recession.

News that sales of new homes in the U.S. fell to a six-month low briefly sent indexes lower in morning trading, but by midday Eastern the Dow and S&P were higher.

Boeing Co. rose 4.2 percent after the company delivered its first 787 aircraft to Japan's All Nippon Airways. An analyst said the company's earnings should rise for the next few years if the aircraft maker is able to maintain steady production.

Clorox Co. fell 4.3 percent after Carl Icahn withdrew his proposal for a new slate of directors. That suggested the activist investor was unable to find a buyer for the consumer products company.

Eastman Kodak Co. plunged 26.9 percent after the company borrowed $160 million because most of its cash is deposited overseas. Some analysts took that as a sign that the company is running out of cash as it tries to reinvent itself in the era of digital photography.

Trading volume was a bit heavier than average at 4.5 billion shares.

 

[bigdog]

Source: http://finance.yahoo.com

Stocks rose broadly Tuesday on hopes that Europe was moving closer to resolving its debt crisis. The Dow Jones industrial average closed up 146 points as industrial and materials companies led the market higher.

Germany's chancellor Angela Merkel said her country would do whatever it could to help Greece regain investors' confidence. Greece's finance minister also said that country would receive the next round of bailout loans in time to avoid a default. Greece was at risk of running out of money by mid-October if it did not receive the funds.

"Europeans are finally starting to understand that they need to act with some force to get ahead of the European debt crisis," said John Briggs, a fixed-income strategist at RBS.

The Dow rose 146.83 points, or 1.3 percent, to close at 11,190.69. It had been up as many as 325 points earlier. The Dow has added 419 points over the last two days, making up more than half of its 737-point plunge last week.

The Standard & Poor's 500 index rose 12.43, or 1.1 percent, to 1,175.38. Materials stocks led the S&P higher. Specialty metals company Allegheny Technologies Inc. rose 7.4 percent, the most in the index.

The Nasdaq composite rose 30.14, or 1.2 percent, to 2,546.83.

The gains were broad. Five stocks rose for every one that fell on the New York Stock Exchange. All 10 company groups that make up the Standard & Poor's 500 index rose. Volume was slightly higher than average at 4.9 billion shares.

The NYSE DOW NYSE DOW closed +146.83 points HIGHER or +1.33% on Tuesday September 27
Sym .......Last .......Change..........
Dow 11,190.69 +146.83 +1.33%
Nasdaq 2,546.83 +30.14 +1.20%
S&P 500 1,175.38 +12.43 +1.07%
30-yr Bond 3.1160% +0.1140

NYSE Volume 5,554,131,000
Nasdaq Volume 2,121,217,000

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,294.05 +204.68 +4.02%
DAX 5,628.44 +282.88 +5.29%
CAC 40 3,023.38 +164.04 +5.74%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,063.50 +135.90 +3.46%
Shanghai Comp 2,415.05 +21.87 +0.91%
Taiwan We... 7,089.95 +212.83 +3.09%
Nikkei 225 8,609.95 +235.82 +2.82%
Hang Seng 18,130.55 +722.75 +4.15%
Straits Times 2,725.91 +71.60 +2.70%

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

Stocks rise for third day on optimism about Europe

Stocks rise on hopes that European leaders are close to making a plan to resolve debt crisis

Chip Cutter, AP Business Writer, On Tuesday September 27, 2011, 5:45 pm EDT

NEW YORK (AP) -- Stocks rose broadly Tuesday on hopes that Europe was moving closer to resolving its debt crisis. The Dow Jones industrial average closed up 146 points as industrial and materials companies led the market higher.

Germany's chancellor Angela Merkel said her country would do whatever it could to help Greece regain investors' confidence. Greece's finance minister also said that country would receive the next round of bailout loans in time to avoid a default. Greece was at risk of running out of money by mid-October if it did not receive the funds.

"Europeans are finally starting to understand that they need to act with some force to get ahead of the European debt crisis," said John Briggs, a fixed-income strategist at RBS.

The Dow rose 146.83 points, or 1.3 percent, to close at 11,190.69. It had been up as many as 325 points earlier. The Dow has added 419 points over the last two days, making up more than half of its 737-point plunge last week.

The Standard & Poor's 500 index rose 12.43, or 1.1 percent, to 1,175.38. Materials stocks led the S&P higher. Specialty metals company Allegheny Technologies Inc. rose 7.4 percent, the most in the index.

The Nasdaq composite rose 30.14, or 1.2 percent, to 2,546.83.

The gains were broad. Five stocks rose for every one that fell on the New York Stock Exchange. All 10 company groups that make up the Standard & Poor's 500 index rose. Volume was slightly higher than average at 4.9 billion shares.

Small companies rose more than larger ones, a sign that investors were moving money into riskier investments. The Russell 2000 index, a benchmark for small-cap stocks, rose 2.2 percent.

European markets also closed sharply higher. Germany's DAX rose 5.3 percent, France's CAC-40 5.7 percent. Britain's FTSE 100 rose 4 percent.

The encouraging signs from Europe also sent commodities prices higher. Investors fear that a blowup in Europe's debt crisis could drag down economic growth across the globe. That would reduce demand for raw materials such as crude oil and copper.

Oil soared 5.3 percent, copper 4.8 percent. That helped the stocks of energy producers and mining companies. Freeport-McMoRan Copper & Gold Inc. rose 3.1 percent and Exxon Mobil Corp. rose 1.7 percent. Gold rose 3.6 percent, its first gain in a week.

Analysts cautioned that even a small dose of bad news from Europe or the U.S. economy could push stocks right back down again.

"This is a news, rumor-driven rally," said Ryan Detrick, senior technical strategist at Schaeffer's Investment Research in Cincinnati. "This is still a very, very risky market."

That was evident late in the day when the Financial Times reported that a split had emerged among European leaders over the bailout terms for Greece's debt. The Dow had been up nearly 300 points shortly before the FT published the report on its website at 2:48 Eastern. Within an hour, those gains faded and the Dow closed up 147 points.

Worries about Europe have weighed on the stock market for months. The S&P 500, a benchmark for many U.S. mutual funds, has fallen 13 percent since July 22, shortly after spiking yields on Italian and Spanish bonds brought fears that the region's debt crisis could spread beyond peripheral countries like Greece and Ireland.

Analysts say more needs to be done to fight Europe's debt crisis. Finance ministers have been pushing to increase the size of Europe's rescue fund. Economists also want the European Central Bank to lower interest rates to help spur the economy.

In the U.S., the threat of another budget crisis was averted late Monday when the Senate passed legislation to avoid a government shutdown.

Home prices rose for a fourth straight month in most major U.S. cities in July. A report on Tuesday also showed that consumer confidence improved slightly in September after plummeting in August.

Walgreen Co. fell 6.3 percent, the most in the S&P, after the drugstore operator said it is ending its relationship with Express Scripts Inc. That deal is worth $5.3 billion per year, but Walgreen said Express Scripts was not paying it enough money to fill prescriptions.

Blackberry maker Research In Motion Ltd. jumped 4.5 percent after rumors spread that billionaire investor Carl Icahn has bought a stake in the company, suggesting that the company could be in play.

 

[bigdog]

Source: http://finance.yahoo.com

A three-day winning streak in the stock market came to an end Wednesday as investors worried about Europe's ability to contain its debt crisis. The Dow Jones industrial average fell 180 points. Raw materials companies had the biggest declines after prices for commodities like copper and oil fell sharply.

Traders focused on remarks from German Chancellor Angela Merkel suggesting that the second bailout package for Greece might have to be renegotiated. Several European leaders want banks to take bigger losses on Greek bonds. France and the European Central Bank oppose the idea.

Germany's parliament is set to vote Thursday on a measure that would give a European rescue fund more powers to fight the region's debt crisis. Finland's parliament approved the proposal Wednesday, lifting some uncertainty over the debt crisis issue which has been dogging financial markets since late July.

"This is a market that has been fluctuating and is thoroughly susceptible to any news, any rumors, any innuendos," about Europe, said Quincy Krosby, market strategist at Prudential Financial.

The Dow Jones industrial average fell 179.79 points, or 1.6 percent, to close at 11,010.90. It had gained 413 points over the past two days.

The Standard & Poor's 500 index fell 24.32, or 2.1 percent, to 1,151.06.

The Nasdaq composite index fell 55.25, or 2.2 percent, to 2,491.58

The declines were broad. Five stocks fell for one that rose on the New York Stock Exchange. Only 13 of the stocks in the S&P 500 rose. Four were flat.

The NYSE DOW NYSE DOW closed -179.79 points LOWER or -1.61% on Wednesday September 28
Sym .......Last .......Change..........
Dow 11,010.90 -179.79 -1.61%
Nasdaq 2,491.58 -55.25 -2.17%
S&P 500 1,151.06 -24.32 -2.07%
30-yr Bond 3.0920% -0.0240

NYSE Volume 4,849,289,500
Nasdaq Volume 1,954,917,625

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,217.63 -76.42 -1.44%
DAX 5,578.42 -50.02 -0.89%
CAC 40 2,995.62 -27.76 -0.92%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,097.70 +34.20 +0.84%
Shanghai Comp 2,392.06 -22.99 -0.95%
Taiwan We... 7,146.98 +57.03 +0.80%
Nikkei 225 8,615.65 +5.70 +0.07%
Hang Seng 18,011.06 -119.49 -0.66%
Straits Times 2,701.17 -24.74 -0.91%

http://finance.yahoo.com/news/Dow-d...9.html?x=0&sec=topStories&pos=2&asset=&ccode=

Dow drops 180 points, ending 3-day winning streak

Stock market snaps three-day winning streak on worries about Europe; Dow falls 180 points

Chip Cutter, AP Business Writer, On Wednesday September 28, 2011, 6:01 pm

NEW YORK (AP) -- A three-day winning streak in the stock market came to an end Wednesday as investors worried about Europe's ability to contain its debt crisis. The Dow Jones industrial average fell 180 points. Raw materials companies had the biggest declines after prices for commodities like copper and oil fell sharply.

Traders focused on remarks from German Chancellor Angela Merkel suggesting that the second bailout package for Greece might have to be renegotiated. Several European leaders want banks to take bigger losses on Greek bonds. France and the European Central Bank oppose the idea.

Germany's parliament is set to vote Thursday on a measure that would give a European rescue fund more powers to fight the region's debt crisis. Finland's parliament approved the proposal Wednesday, lifting some uncertainty over the debt crisis issue which has been dogging financial markets since late July.

"This is a market that has been fluctuating and is thoroughly susceptible to any news, any rumors, any innuendos," about Europe, said Quincy Krosby, market strategist at Prudential Financial.

The Dow Jones industrial average fell 179.79 points, or 1.6 percent, to close at 11,010.90. It had gained 413 points over the past two days.

The Standard & Poor's 500 index fell 24.32, or 2.1 percent, to 1,151.06.

The Nasdaq composite index fell 55.25, or 2.2 percent, to 2,491.58

The declines were broad. Five stocks fell for one that rose on the New York Stock Exchange. Only 13 of the stocks in the S&P 500 rose. Four were flat.

Raw materials stocks fell the most of any industry group in the S&P 500, 4.5 percent. Investors fear that Europe's problems could cause the global economy to slip into another recession, weakening demand for basic materials such as copper. The price of copper plunged 5.6 percent; crude oil fell 3.8 percent to $81.21 barrel.

Miner Freeport-McMoRan Copper & Gold Inc. fell 7.2 percent, and Cliffs Natural Resources Inc. fell 8.4 percent. Coal producer Alpha Natural Resources fell 11 percent, the most of any company in the S&P.

Trading varied widely throughout the day. The Dow jumped 126 points minutes after the opening bell on a government report that orders for manufactured goods fell just 0.1 percent in August, a smaller decline than economists predicted.

Those gains were gone within an hour, leaving the Dow, S&P 500 and Nasdaq mixed through the rest of the morning. Stocks started to fall in the afternoon, and the selling intensified in the last half-hour of trading.

The decline followed three days of gains. Stocks rose earlier this week on hopes that Europe was moving closer to resolving its debt problems. The Dow soared 272 points on Monday, its fourth-largest increase this year, and another 147 points on Tuesday.

"The market got ahead of itself," said Joseph Saluzzi, co-head of stock trading at Themis Trading. Investors "assumed some kind of deal would be structured, and that was so far away from happening."

Technology companies fared better than the overall market. Amazon.com shot up 2.5 percent after the online retailer unveiled a new tablet device called the Kindle Fire. It will cost $199 and will rival Apple Inc.'s hugely successful iPad.

Jabil Circuit Inc. rose 8.4 percent, the most of any company in the S&P 500. The electronic parts maker reported strong earnings and a fourth-quarter earnings forecast that was better than analysts had anticipated.

 

[bigdog]

Source: http://finance.yahoo.com

Stock market turns higher after late-day rally; Dow rises 143 points, but tech stock lag

It was another day of big swings in the stock market.

The Dow Jones industrial average ended with a gain of 143 points Thursday. On its way there, it surged 260 points shortly after the opening bell, then turned mixed for much of the day. A burst of buying in the last half-hour of trading sent the Dow shooting higher again.

Financial stocks had the biggest gains. Traders were relieved that Germany passed a measure to expand the powers of a regional bailout fund. That eased worries that U.S. banks could be buffeted by another bout of turmoil in Europe's financial system. Travelers Cos. Inc. and Bank of America Corp. led the Dow average higher.

Investors struggled to make sense of conflicting reports on the economy. First-time applications for unemployment benefits fell to a five-month low. The government also raised its estimate of economic growth in the April-June period.

Other economic reports were weak. A trade group reported that chief executives of the nation's largest companies are more pessimistic than they were just three months ago. Also, fewer Americans signed contracts to buy homes in August, the second straight month of declines.

All of that contributed to another day of ups and downs on the stock market. The Dow Jones industrial average rose 143.08 points, or 1.3 percent, to close at 11,153.98. Travelers led the Dow with a gain of 3.2 percent; Bank of America was close behind, rising 3.1 percent.

The Standard & Poor's 500 index rose 9.34 points, or 0.8 percent, to 1,160.40. Financial stocks rose 2.8 percent, the most of the 10 company groups that make up the S&P.

The NYSE DOW NYSE DOW closed +143.08 points HIGHER or +1.30% on Thursday September 29
Sym .......Last .......Change..........
Dow 11,153.98 +143.08 +1.30%
Nasdaq 2,480.76 -10.82 -0.43%
S&P 500 1,160.40 +9.34 +0.81%
30-yr Bond 2.9970% -0.0950

NYSE Volume 5,285,748,500
Nasdaq Volume 2,334,017,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,196.84 -20.79 -0.40%
DAX 5,639.58 +61.16 +1.10%
CAC 40 3,027.65 +32.03 +1.07%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,067.90 -29.80 -0.73%
Shanghai Comp 2,365.34 -26.72 -1.12%
Taiwan We... 7,182.61 +35.63 +0.50%
Nikkei 225 8,701.23 +85.58 +0.99%
Hang Seng 18,011.06 0.00 0.00%
Straits Times 2,708.13 +6.96 +0.26%

http://finance.yahoo.com/news/Lateday-rally-sends-stocks-apf-2346480167.html?x=0

Late-day rally sends stocks higher; Dow rises 143

Stock market turns higher after late-day rally; Dow rises 143 points, but tech stock lag

Chip Cutter, AP Business Writer, On Thursday September 29, 2011, 5:14 pm

NEW YORK (AP) -- It was another day of big swings in the stock market.

The Dow Jones industrial average ended with a gain of 143 points Thursday. On its way there, it surged 260 points shortly after the opening bell, then turned mixed for much of the day. A burst of buying in the last half-hour of trading sent the Dow shooting higher again.

Financial stocks had the biggest gains. Traders were relieved that Germany passed a measure to expand the powers of a regional bailout fund. That eased worries that U.S. banks could be buffeted by another bout of turmoil in Europe's financial system. Travelers Cos. Inc. and Bank of America Corp. led the Dow average higher.

Investors struggled to make sense of conflicting reports on the economy. First-time applications for unemployment benefits fell to a five-month low. The government also raised its estimate of economic growth in the April-June period.

Other economic reports were weak. A trade group reported that chief executives of the nation's largest companies are more pessimistic than they were just three months ago. Also, fewer Americans signed contracts to buy homes in August, the second straight month of declines.

All of that contributed to another day of ups and downs on the stock market. The Dow Jones industrial average rose 143.08 points, or 1.3 percent, to close at 11,153.98. Travelers led the Dow with a gain of 3.2 percent; Bank of America was close behind, rising 3.1 percent.

The Standard & Poor's 500 index rose 9.34 points, or 0.8 percent, to 1,160.40. Financial stocks rose 2.8 percent, the most of the 10 company groups that make up the S&P.

Technology companies lagged the rest of the market. The Nasdaq composite index lost 10.82 points, or 0.4 percent, to 2,480.76.

Advanced Micro Devices Inc. plunged 13.7 percent, the most of any stock in the S&P 500, after the company cut its revenue and earnings forecast for the third quarter, saying it was having problems getting its chips made.

Retailers and other consumer discretionary stocks also tanked as investors avoided companies that would be most susceptible to an economic downturn. Netflix Inc. fell 11 percent, Tiffany & Co. fell 6.9 percent and Coach Inc. fell 6.1 percent.

Analysts said financial markets were likely to remain volatile until more questions were resolved about Europe's debt crisis and the U.S. economy. "Until we start to see more clarity on policy intervention, we'll continue to see this intraday, manic market reaction," said James Dailey, chief investment officer of TEAM Financial Managers Inc.

The measure approved by German lawmakers to expand the region's bailout fund must be approved by all 17 countries that use the euro. The plan will allow the bailout fund to buy government debt and lend money to troubled European countries. Finland approved the measure Wednesday.

Analysts cautioned that bank stocks remain vulnerable if Europe stumbles in its efforts to contain its debt crisis. "Investors need to be very careful, because there is still a vast labyrinth of potential challenges that remain to be cleared with regard to Europe," said Frank Barbera, a portfolio co-manager of the Sierra Core Retirement Fund.

About three stocks rose for every one that fell on the New York Stock Exchange. Volume was average at 4.5 billion shares.

 

[bigdog]

Source: http://finance.yahoo.com

The worst quarter for the stock market since the financial crisis ended on another down note.

Stocks fell broadly Friday on fresh signs that Europe's debt problems and the U.S. economy continue to languish. Makers of raw materials, industrial companies and banks -- which would have the most to lose if the economy turns sour -- had the biggest losses.

The Dow Jones industrial average dropped 240.60 points, or 2.2 percent, to 10,913.38. Hewlett-Packard Co. fell the most of the 30 stocks in the average, 5.6 percent. Aluminum maker Alcoa Inc. was close behind with a 4.9 percent decline. JPMorgan Chase & Co. fell 4.1 percent.

The broader S&P 500 index shed 28.98, or 2.5 percent, to 1,131.42. All 10 industry groups in the S&P 500 index fell.

The Nasdaq composite index fell 65.36, or 2.6 percent, to 2,415.40.

Markets have been wracked this summer by growing fears about a possible default by Greece and the increasing likelihood of a global recession. Uneven economic data have touched off sudden bouts of buying and selling. The Dow, S&P 500 and Nasdaq each lost more than 12 percent this quarter, the first time that's happened since the financial crisis crested at the end of 2008.

The S&P 500, the benchmark for most U.S. stock mutual funds, has lost 14.3 percent since July 1, the start of the third quarter. That's the biggest quarterly drop since the three months ended Dec. 31, 2008, when global financial markets seized up. Excluding that period, the S&P has not dropped that much in a quarter for nine years. The Dow dropped 1,500.96 points, or 12.1 percent, over the same time frame.

The NYSE DOW NYSE DOW closed -240.60 points LOWER or -2.16% on Friday September 30
Sym .......Last .......Change..........
Dow 10,913.38 -240.60 -2.16%
Nasdaq 2,415.40 -65.36 -2.63%
S&P 500 1,131.42 -28.98 -2.50%
30-yr Bond 2.9210% -0.0760

NYSE Volume 5,401,582,500
Nasdaq Volume 2,112,975,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,128.48 -68.36 -1.32%
DAX 5,502.02 -137.56 -2.44%
CAC 40 2,981.96 -45.69 -1.51%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,070.10 +2.20 +0.05%
Shanghai Comp 2,359.22 -6.12 -0.26%
Taiwan We... 7,225.38 +42.77 +0.60%
Nikkei 225 8,700.29 -0.94 -0.01%
Hang Seng 17,592.41 -418.65 -2.32%
Straits Times 2,675.16 -32.97 -1.22%

http://finance.yahoo.com/news/Stock...9.html?x=0&sec=topStories&pos=1&asset=&ccode=

Stocks end gloomy 3rd quarter on a weak note

Stock market closes out its worst quarter since the peak of the financial crisis in fall 2008

Daniel Wagner and David K. Randall, AP Business Writers, On Friday September 30, 2011, 5:21 pm

NEW YORK (AP) -- The worst quarter for the stock market since the financial crisis ended on another down note.

Stocks fell broadly Friday on fresh signs that Europe's debt problems and the U.S. economy continue to languish. Makers of raw materials, industrial companies and banks -- which would have the most to lose if the economy turns sour -- had the biggest losses.

The Dow Jones industrial average dropped 240.60 points, or 2.2 percent, to 10,913.38. Hewlett-Packard Co. fell the most of the 30 stocks in the average, 5.6 percent. Aluminum maker Alcoa Inc. was close behind with a 4.9 percent decline. JPMorgan Chase & Co. fell 4.1 percent.

The broader S&P 500 index shed 28.98, or 2.5 percent, to 1,131.42. All 10 industry groups in the S&P 500 index fell.

The Nasdaq composite index fell 65.36, or 2.6 percent, to 2,415.40.

Markets have been wracked this summer by growing fears about a possible default by Greece and the increasing likelihood of a global recession. Uneven economic data have touched off sudden bouts of buying and selling. The Dow, S&P 500 and Nasdaq each lost more than 12 percent this quarter, the first time that's happened since the financial crisis crested at the end of 2008.

The S&P 500, the benchmark for most U.S. stock mutual funds, has lost 14.3 percent since July 1, the start of the third quarter. That's the biggest quarterly drop since the three months ended Dec. 31, 2008, when global financial markets seized up. Excluding that period, the S&P has not dropped that much in a quarter for nine years. The Dow dropped 1,500.96 points, or 12.1 percent, over the same time frame.

"The market has really seen some damage this quarter," said Mike Hurley, portfolio manager of Highland Trend Following Fund.

The weakness appears to be the start of a longer decline, Hurley said, because bonds are increasing in value and interest rates are low. Traders also are selling commodities such as oil, which would lose value in an economic downturn.

"Lower interest rates and commodity prices are definitely an indication that the market thinks economic activity is going to be weak," Hurley said.

Stocks in France, England and Germany fell on the latest signs of discord among European leaders. Germany and France proposed managing the region's shared currency through meetings of national leaders, rather than by centralized institutions. The head of the European Commission balked at the proposal.

Persistent squabbling over financial policy has been a major obstacle to achieving a lasting solution to Europe's debt crisis. France and Germany, the currency union's strongest economies, want countries to coordinate their spending and borrowing more closely. Other countries see that as a threat to their sovereignty.

Many European leaders and traders believe Greece will default in the coming weeks or months. Greece's lenders and neighbors are preparing as best they can to prevent that from causing a worldwide financial panic.

As a result, traders have reacted strongly to news and rumors out of Europe about how the crisis is being addressed. Markets gyrated wildly this summer in some of the most volatile trading on record. The Dow Jones industrial average swung more than 100 points in more than half of the trading days this quarter.

Traders also have made big moves in response to U.S. economic data, which has mostly suggested a slowdown. A recession in the U.S. looks increasingly likely, mainly because of Europe's struggles and signs of weakness in developing countries like China that have been driving global economic growth.

The government said Friday U.S. consumers spent slightly more in August, but earned less for the first time in nearly two years. That suggests that people are tapping their savings to pay for costlier gasoline and to offset lost wages. The savings rate fell to its lowest level since late 2009.

Micron Technology Inc. plunged 14 percent, the most of any company in the S&P 500 index, after the chipmaker disappointed investors with a quarterly loss. Analysts had expected a profit. Sales were hurt as the company transitions to selling a newer array of memory chips.

Ingersoll-Rand dove 13 percent after cutting its profit forecast for the third and fourth quarters. The machinery maker said North American sales of climate-control and security products have been weaker than expected.

Bank of America Corp lost 3.6 percent after Warren Buffett told Bloomberg Television that the bank's problems will take longer than a year to clean up.

Four stocks fell for every one that rose on the New York Stock Exchange. Volume was above average at 4.7 billion shares.

4546

 

[Wysiwyg]

100 points disappeared rather rapidly at the end there.
Suspect non farm payroll news this Friday to be better than last time so a rally after bottoming starting sometime this week.

Over to you BigHound.

 

[Aussiejeff]

100 points disappeared rather rapidly at the end there.
Suspect non farm payroll news this Friday to be better than last time so a rally after bottoming starting sometime this week.

Over to you BigHound.

I wouldn't bet the farm on it.

Just because the guessing economists "forecast" NF payrollls to be up 59,000 means nada. They forecast similar last time and what happened? A big fat "0" and the markets tanked. I'll go t'other way to balance the argument and instead tip worse than expected employment data and consequent plunge (again) in the DOW.

Why not. Seems I've got as much chance as those highly paid "learned economists" of being right!

 

[bigdog]

Source: http://finance.yahoo.com

The latest setback in Greece's financial crisis sent the Standard and Poor's 500 index to its lowest level of the year, putting it on the edge of a new bear market.

The index, the benchmark for most U.S. stock funds, has fallen 19.4 percent since its high for the year on April 29. A 20 percent drop would signify the start of a bear market, ending a bull market that began in March 2009. The S&P 500 has gained 76 percent since then, including dividends.

European markets slumped, dragging U.S. stocks down along with them, after Greece said it will miss deficit reduction targets it agreed to as part of its bailout deal. Benchmark indexes in Germany, France and Spain all fell 2 percent.

The Dow Jones industrial average fell 258.08 points, or 2.4 percent, to 10,655.30. The S&P 500 lost 32.19, or 2.9 percent, to 1,099.23. That's below its closing low of 1,119 for the year, reached on Aug. 8.

Indexes measuring smaller stocks fell even more than the Dow and S&P, which are dominated by large companies. The Nasdaq composite slid 79.57, or 3.3 percent, to 2,335.83. The Russell 2000 index of small companies plunged 5.4 percent to 609.49.

All 10 company groups in the S&P index fell. Banks, energy, and consumer discretionary stocks had the steepest declines. The yield on the 10-year Treasury note fell to 1.75 percent from 1.91 percent late Friday as investors piled into lower-risk investments. The yield hit a record low of 1.71 percent on Sept. 22.

"The market is continuing to trade based on what is happening in Europe, and that is going to overshadow everything else," said Quincy Krosby, market strategist at Prudential Financial. "The math (for the Greek bailout) didn't add up a year ago, and the math doesn't add up today. The market knows that and is waiting for the Europeans to acknowledge it."

The NYSE DOW NYSE DOW closed -258.08 points LOWER or -2.36% on Monday October 3
Sym .......Last .......Change..........
Dow 10,655.30 -258.08 -2.36%
Nasdaq 2,335.83 -79.57 -3.29%
S&P 500 1,099.23 -32.19 -2.85%
30-yr Bond 2.7610% -0.1600

NYSE Volume 6,781,518,000
Nasdaq Volume 2,596,056,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,075.50 -52.98 -1.03%
DAX 5,376.70 -125.32 -2.28%
CAC 40 2,926.83 -55.13 -1.85%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 3,960.70 -109.40 -2.69%
Shanghai Comp 2,359.22 -6.12 -0.26%
Taiwan We... 7,013.97 -211.41 -2.93%
Nikkei 225 8,545.48 -154.81 -1.78%
Hang Seng 16,822.15 -770.26 -4.38%
Straits Times 2,621.40 -53.76 -2.01%

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

Stocks sink, pushing S&P to edge of bear market

S&P sinks to 2011 low, on edge of another bear market; Europe slides as Greece misses targets

David K. Randall, AP Business Writer, On Monday October 3, 2011, 4:50 pm EDT

NEW YORK (AP) -- The latest setback in Greece's financial crisis sent the Standard and Poor's 500 index to its lowest level of the year, putting it on the edge of a new bear market.

The index, the benchmark for most U.S. stock funds, has fallen 19.4 percent since its high for the year on April 29. A 20 percent drop would signify the start of a bear market, ending a bull market that began in March 2009. The S&P 500 has gained 76 percent since then, including dividends.

European markets slumped, dragging U.S. stocks down along with them, after Greece said it will miss deficit reduction targets it agreed to as part of its bailout deal. Benchmark indexes in Germany, France and Spain all fell 2 percent.

The Dow Jones industrial average fell 258.08 points, or 2.4 percent, to 10,655.30. The S&P 500 lost 32.19, or 2.9 percent, to 1,099.23. That's below its closing low of 1,119 for the year, reached on Aug. 8.

Indexes measuring smaller stocks fell even more than the Dow and S&P, which are dominated by large companies. The Nasdaq composite slid 79.57, or 3.3 percent, to 2,335.83. The Russell 2000 index of small companies plunged 5.4 percent to 609.49.

All 10 company groups in the S&P index fell. Banks, energy, and consumer discretionary stocks had the steepest declines. The yield on the 10-year Treasury note fell to 1.75 percent from 1.91 percent late Friday as investors piled into lower-risk investments. The yield hit a record low of 1.71 percent on Sept. 22.

"The market is continuing to trade based on what is happening in Europe, and that is going to overshadow everything else," said Quincy Krosby, market strategist at Prudential Financial. "The math (for the Greek bailout) didn't add up a year ago, and the math doesn't add up today. The market knows that and is waiting for the Europeans to acknowledge it."

The renewed concerns about Europe's debt problems pushed the euro down to $1.32 versus the dollar, a 9-month low. The stronger dollar could hurt large U.S. companies that rely on exports by making their products more expensive overseas. Coca-Cola Co. fell 3.2 percent to $65.42. Caterpillar Inc., which sells construction equipment globally, lost 4.5 percent to $70.55. Boeing, another large exporter, dropped 3.7 percent to $58.25.

"Everything that is coming out of Greece suggests that the dollar is only going to strengthen, which doesn't bode well for the international firms," said J.J. Kinahan, chief options strategist at T.D. Ameritrade. "It's tough to be bullish on anything at the moment."

The Dow briefly turned higher after 10 a.m., when the Institute of Supply Management said its gauge of U.S. manufacturing did better than Wall Street had predicted in September. The Dow and S&P turned mixed within 20 minutes, then took a sharp slide shortly after noon.

The slump started the market off on a weak note for the fourth quarter. Concerns that the U.S. economy is headed for another recession helped send the S&P 500 index, the basis for most mutual funds that invest in U.S. stocks, down 14 percent over the three months that ended in September. It was the worst quarter for the stock market since the financial crisis of 2008.

Some investors are also concerned that Friday's jobs report will show that unemployment rose from 9.1 percent in September. "If I had to bet, I would say it's more likely that more jobs have been lost than a surprise to the upside," said T.D. Ameritrade's Kinahan.

In corporate news, AMR Corp., the parent company of American Airlines, plummeted 33 percent to $1.98 as concerns flared up again that the company could be headed for bankruptcy protection. The stock hadn't closed below $2 since 2003. American is considered the most vulnerable among U.S. carriers to an economic downturn.

Bank of America Corp. plunged 9.6 percent to $5.53, the lowest price for the stock since the financial crisis in 2008. The company has fallen 59 percent since January as investors fret that the nation's largest bank will be hit with more settlements over mortgage securities that lost value after the housing bust.

Yahoo Inc. gained 2.7 percent, to $13.53, after the head of Chinese Internet company Alibaba Group Holdings said he would be interested in buying the company. Yahoo, which recently ousted Carol Bartz as its CEO, has been trying to decide whether to sell parts of the company.

Nine stocks fell for every one that rose on the New York Stock Exchange. Volume was heavy at 5.8 billion shares

 

[bigdog]

Source: http://finance.yahoo.com

A late afternoon surge capped another wild day on Wall Street Tuesday, bringing the S&P 500 back from the brink of entering a bear market. Stocks jumped on reports that European officials were working on a joint effort to prop up the region's struggling banks.

The Dow Jones industrial average closed with a gain of 153, erasing a 200-point deficit in the last 40 minutes of trading. It was down for the whole day before turning positive just 10 minutes before the closing bell.

Indexes opened sharply lower as traders worried that Greece could be edging closer to default. Stocks pared their losses at midday after Federal Reserve Chairman Ben Bernanke told a Congressional panel that the central bank could take more steps to stimulate the economy, then slumped again in the afternoon.

At 3:25 p.m., the market began rising quickly after several news outlets reported that European financial ministers were working on a way to coordinate their efforts to support European banks, as they did during the financial crisis in 2008. Worries that U.S. and European banks could get hammered by a Greek default have been a major concern among investors.

"Right now fear is trumping fundamentals and people are buying on nothing more than rumors," said Mark Lamkin, head of Lamkin Wealth Management. "It's not business risk that the market is concerned with, it's systemic risk. If there truly is a solution to Europe's problems, then we'll set the stage for a nice rally."

The Dow closed with a gain of 153.41, or 1.4 percent, to 10,808.71.

The Standard and Poor's 500 rose 24.72, or 2.2 percent, to 1,123.95. It had been down as many as 24 points in morning trading, 20 percent below its April peak. Had the index closed with a decline that size it would have met the typical definition of a bear market.

The technology-focused Nasdaq composite rose 68.99 points, or 3 percent, to 2,404.82.

The NYSE DOW NYSE DOW closed +153.41 points HIGHER or +1.44% on Tuesday October 4
Sym .......Last .......Change..........
Dow 10,808.71 +153.41 +1.44%
Nasdaq 2,404.82 +68.99 +2.95%
S&P 500 1,123.95 +24.72 +2.25%
30-yr Bond 2.7610% -0.1600

NYSE Volume 8,009,638,000
Nasdaq Volume 3,122,944,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 4,944.44 -131.06 -2.58%
DAX 5,216.71 -159.99 -2.98%
CAC 40 2,850.55 -76.28 -2.61%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 3,935.60 -25.10 -0.63%
Shanghai Comp 2,359.22 -6.12 -0.26%
Taiwan We... 7,047.87 +33.90 +0.48%
Nikkei 225 8,456.12 -89.36 -1.05%
Hang Seng 16,250.27 -571.88 -3.40%
Straits Times 2,531.02 -90.38 -3.45%

http://finance.yahoo.com/news/Late-...7.html?x=0&sec=topStories&pos=5&asset=&ccode=

Late surge erases earlier losses on Wall Street

S&P 500 edges back from bear market line, erasing earlier losses in a late afternoon rally

David K. Randall, AP Business Writer, On Tuesday October 4, 2011, 5:16 pm EDT

NEW YORK (AP) -- A late afternoon surge capped another wild day on Wall Street Tuesday, bringing the S&P 500 back from the brink of entering a bear market. Stocks jumped on reports that European officials were working on a joint effort to prop up the region's struggling banks.

The Dow Jones industrial average closed with a gain of 153, erasing a 200-point deficit in the last 40 minutes of trading. It was down for the whole day before turning positive just 10 minutes before the closing bell.

Indexes opened sharply lower as traders worried that Greece could be edging closer to default. Stocks pared their losses at midday after Federal Reserve Chairman Ben Bernanke told a Congressional panel that the central bank could take more steps to stimulate the economy, then slumped again in the afternoon.

At 3:25 p.m., the market began rising quickly after several news outlets reported that European financial ministers were working on a way to coordinate their efforts to support European banks, as they did during the financial crisis in 2008. Worries that U.S. and European banks could get hammered by a Greek default have been a major concern among investors.

"Right now fear is trumping fundamentals and people are buying on nothing more than rumors," said Mark Lamkin, head of Lamkin Wealth Management. "It's not business risk that the market is concerned with, it's systemic risk. If there truly is a solution to Europe's problems, then we'll set the stage for a nice rally."

The Dow closed with a gain of 153.41, or 1.4 percent, to 10,808.71.

The Standard and Poor's 500 rose 24.72, or 2.2 percent, to 1,123.95. It had been down as many as 24 points in morning trading, 20 percent below its April peak. Had the index closed with a decline that size it would have met the typical definition of a bear market.

The technology-focused Nasdaq composite rose 68.99 points, or 3 percent, to 2,404.82.

Smaller stocks rose much more than the overall market. The Russell 2000 index of small companies gained 39.15, or 6.4 percent, to 648.64.

Analysts said the bounce in small companies was likely due to steep losses in the index the day before as investors picked up stocks that they considered cheap. The Russell index plunged 5.4 percent Monday.

Markets have been reacting nervously to worries about Europe's debt crisis. European finance ministers suggested at a meeting Tuesday that holders of Greek debt may be required to take larger losses than originally thought, which would hurt banks that hold Greek bonds. Greece has said it wouldn't be able to shrink its deficit enough to comply with commitments it made to international creditors. Investors fear that a default by Greece could cause another freeze-up in global markets.

"Europe is the center point of all of this," said Paul Zemsky, head of asset allocation at ING Investment Management. "The big fear in the market is that company earnings are not sustainable and that Europe's problems are going to spread into the U.S. banking system."

In testimony before Congress, Bernanke said the central bank is ready to take more steps to stimulate the economy. That could mean another round of bond purchases aimed at lowering interest rates and encouraging lending. Bernanke said the economy is weaker than the central bank expected and that poor job growth continues to undercut consumer confidence. .

The yield on the 10-year Treasury note rose to 1.82 percent from 1.78 percent late Monday. It briefly went as low as 1.72 percent around 10 a.m., near its record low of 1.71 percent reached Sept. 22. Bond yields fall when their prices rise.

Analysts said Europe's debt problems overshadowed signs that the U.S. economy continues to grow slowly, including a 10 percent jump in auto sales in September and an increase in a measure of U.S. manufacturing.

"Collectively, the data here in the U.S. hasn't been that bad, but investors are looking at Europe and saying `I don't care what the U.S. fundamentals are when we've got much bigger problems overseas that may eventually wash onto our shores,'" said Phil Orlando, chief stock strategist at Federated Investors.

The S&P index has fallen every month since April on mounting concerns about the strength of the U.S. economy and the possibility that the debt crisis in Europe could get worse. The stock market is thought to be forward-looking, reflecting investors' views of the economy in 6 to 9 months.

In corporate news, Bank of America Corp. jumped 4.2 percent to $5.76. It was down 5 percent to $5.24 before the late market surge as investors continued to be troubled by its exposure to soured mortgages securities and a several-day outage of its website. The company's stock lost 9 percent Monday to $5.53, a level not seen since 2009.

Apple Inc. lost 0.5 percent to $372.50. It had been down 5 percent before the late rally after the company unveiled a faster iPhone that fell short of the radical upgrade that some analysts had predicted.

Two stocks rose for every one that fell on the New York Stock Exchange. Volume was heavy at 6.9 billion shares.

 

[bigdog]

Source: http://finance.yahoo.com

Stocks rose sharply for a second straight day Wednesday on signs that the U.S. economy grew in September and that European officials are moving to support the region's struggling banks.

The Dow Jones industrial average rose 131 points. Most of the gain, 80 points, came in the last hour of trading.

Analysts attributed the rise to increasing optimism about Europe's efforts to contain its debt crisis and a pair of reports in the U.S. showing a pickup in hiring and growth in service companies last month.

The Financial Times reported late Tuesday that European officials are exploring a joint effort to support the region's banks. That triggered sharp rises in European markets, especially bank stocks.

Investors are worried that European banks could suffer deep losses if Greece starts missing debt payments, which is also known as a default. That could cause the value of Greek bonds held by the banks to drop sharply. If weakened banks pull back from lending to each other, it could cause another freeze in global credit markets, as occurred in late 2008.

The report, which came out after European markets closed Tuesday, triggered a late rally in U.S. stocks that prevented the S&P 500 from closing down 20 percent from its recent peak, reached in April. A fall that far would have met the test of a bear market.

Analysts cautioned that the two-day gain in stocks may not last, given the strains that are still affecting the U.S. economy.

The NYSE DOW NYSE DOW closed +131.24 points HIGHER or +1.21% on Wednesday October 5
Sym .......Last .......Change..........
Dow 10,939.95 +131.24 +1.21%
Nasdaq 2,460.51 +55.69 +2.32%
S&P 500 1,144.03 +20.08 +1.79%
30-yr Bond 2.8830% +0.1260

NYSE Volume 5,903,600,500
Nasdaq Volume 2,509,392,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,102.17 +157.73 +3.19%
DAX 5,473.03 +256.32 +4.91%
CAC 40 2,973.90 +123.35 +4.33%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 3,992.50 +56.90 +1.45%
Shanghai Comp 2,359.22 -6.12 -0.26%
Taiwan We... 6,989.15 -58.72 -0.83%
Nikkei 225 8,382.98 -73.14 -0.86%
Hang Seng 16,250.27 -571.88 -3.40%
Straits Times 2,528.71 -2.31 -0.09%

http://finance.yahoo.com/news/Stock...7.html?x=0&sec=topStories&pos=8&asset=&ccode=

Stocks rise on hopes for European banks

Stocks edge higher on hopes for additional support to European banks

David K. Randall, AP Business Writer, On Wednesday October 5, 2011, 5:59 pm

NEW YORK (AP) -- Stocks rose sharply for a second straight day Wednesday on signs that the U.S. economy grew in September and that European officials are moving to support the region's struggling banks.

The Dow Jones industrial average rose 131 points. Most of the gain, 80 points, came in the last hour of trading.

Analysts attributed the rise to increasing optimism about Europe's efforts to contain its debt crisis and a pair of reports in the U.S. showing a pickup in hiring and growth in service companies last month.

The Financial Times reported late Tuesday that European officials are exploring a joint effort to support the region's banks. That triggered sharp rises in European markets, especially bank stocks.

Investors are worried that European banks could suffer deep losses if Greece starts missing debt payments, which is also known as a default. That could cause the value of Greek bonds held by the banks to drop sharply. If weakened banks pull back from lending to each other, it could cause another freeze in global credit markets, as occurred in late 2008.

The report, which came out after European markets closed Tuesday, triggered a late rally in U.S. stocks that prevented the S&P 500 from closing down 20 percent from its recent peak, reached in April. A fall that far would have met the test of a bear market.

Analysts cautioned that the two-day gain in stocks may not last, given the strains that are still affecting the U.S. economy.

"The market is trading on sentiment right now, not fundamentals," said Rob Stein, head of Astor Asset Management. "People are hoping that the bounce yesterday means that we've hit a bottom, but the problems that were in the economy Monday haven't changed since then."

Other traders pointed to meetings by the European Central Bank and the Bank of England Thursday in which officials are expected to discuss additional measures to increase investors' confidence in the European banking system.

"There's a reluctance to (bet that stocks are going to fall) when there's a chance that you'll see an announcement out of Europe to help the banks by the weekend," said Nick Kalivas, vice president of research at MF Global.

The Dow rose 131.21 points, or 1.2 percent, to close at 10,939.95. The Dow jumped 153 Tuesday after its late-day surge.

The Standard & Poor's 500 rose 20.09, or 1.8 percent, to 1,144.04. The Nasdaq composite jumped 55.69, or 2.3 percent, to 2,460.51.

European bank stocks soared, reflecting increasing optimism that European leaders will succeed in limiting the fallout from Greece's debt problems. Credit Agricole jumped 10 percent, and BNP Paribas gained 9 percent.

European markets rose broadly. Germany's DAX jumped 5 percent. Benchmark indexes in France and Italy rose 4 percent.

Reports that the U.S. economy continued to grow in September also sent stock indexes higher. The Institute of Supply Management said its gauge of the U.S. service sector, which employs 90 percent of the work force, grew in line with Wall Street's expectations. The index measures the strength of health care providers, banks, real estate, and other businesses outside of manufacturing. The ISM's index was 53 in September, down slightly from 53.3 in August. Any number above 50 indicates expansion for the sector.

Payroll processor ADP said private companies added 91,000 jobs last month. That was a slight gain from August. ADP's figures do not always predict the outcome of the government's broader report on U.S. employment in September, which will be released Friday. However ADP's report can often influence traders' expectations. Wall Street economists expect that the U.S. unemployment rate will remain unchanged at 9.1 percent.

The latest indications that the U.S. economy was growing, although modestly, pushed Treasury prices lower as investors moved money out of lower-risk investments. The yield on the 10-year Treasury rose to 1.90 percent from 1.82 percent late Tuesday. It hit a record low of 1.71 percent Sept. 22.

Energy and materials companies, whose profits depend on an expanding economy more than other industries, led the stock market higher.

Walt Disney Co. led the 30 stocks that make up the Dow with a 5.5 percent gain after a Citi analyst upgraded the stock, citing a recent pullback. McDonald's Corp. lagged, dipping 0.8 percent.

Monsanto Co. rose 5.2 percent after the seed maker reported results that beat Wall Street's forecasts. Wholesale club operator Costco Wholesale Corp. dropped 1.7 percent after its earnings came in slightly below analysts' expectations. The company said it will raise its annual membership fees in November.

Yahoo jumped 10.1 percent after Reuters reported that Microsoft is considering a bid for the company. BlackBerry maker Research in Motion also jumped 10 percent on speculation that the company may be up for sale.

 

[bigdog]

Source: http://finance.yahoo.com

The Dow Jones industrial average rose by more than 100 points for a third straight day Thursday after U.S. retailers reported stronger September sales and the European Central Bank moved to support that region's lenders.

The Dow jumped 183 points, bringing its three-day gain to 434.

In Europe, investors cheered a promise from the European Central Bank to provide unlimited one-year loans to the region's lenders through 2013. The goal is to shield banks from poorly functioning short-term credit markets, in which banks are becoming too worried about their financial stability to lend money to each other. Germany's DAX jumped 3.2 percent, and France's CAC-40 rose 3.4 percent.

The loans are also meant to help protect the banks in the event Greece's government defaults on its debt. If that happens the value of Greek bonds held by those banks would be likely to drop sharply, weakening the banks' balance sheets and making it harder for them to lend.

Target Corp., Nordstrom Inc., Macy's Inc. and other U.S. retailers reported sales that beat Wall Street's expectations. While some of the sales were driven by deep discounts, analysts said the higher sales suggested the U.S. economy was not in another recession.

"The market has been pricing in an out-and-out recession, but the fact that consumer spending is holding up shows that we're more likely to continue muddling through at a 1 to 2 percent growth rate," said Brian Gendreau, market strategist at Cetera Financial Group.

The Dow Jones industrial average jumped 183.38 points, or 1.7 percent, to 11,123.33. It was the first time the Dow rose by more than 100 points for three straight days since a rally that began Aug. 11 and ended with a 763-point gain.

It was the 9th straight day the Dow has swung by more than 100 points, the longest such streak since November 2008, in the middle of the financial crisis. Markets have been extraordinarily volatile as investors react to the latest headlines out of Europe.

The NYSE DOW NYSE DOW closed +183.38 points HIGHER or +1.68% on Thursday October 6
Sym .......Last .......Change..........
Dow 11,123.33 +183.38 +1.68%
Nasdaq 2,506.82 +46.31 +1.88%
S&P 500 1,164.97 +20.94 +1.83%
30-yr Bond 2.9490% +0.0660

NYSE Volume 5,586,015,500
Nasdaq Volume 2,226,887,000

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,291.26 +189.09 +3.71%
DAX 5,645.25 +172.22 +3.15%
CAC 40 3,075.37 +101.47 +3.41%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,132.10 +139.60 +3.50%
Shanghai Comp 2,359.22 -6.12 -0.26%
Taiwan We... 7,132.00 +142.85 +2.04%
Nikkei 225 8,522.02 +139.04 +1.66%
Hang Seng 17,172.28 +922.01 +5.67%
Straits Times 2,603.12 +74.41 +2.94%

http://finance.yahoo.com/news/Stock...et=&ccode=&sec=topStories&pos=2&asset=&ccode=

Stocks rise on help for European banks; Dow up 183

Stocks jump for a third straight day after ECB offers new support to banks; retail sales gain

David K. Randall, AP Business Writer, On Thursday October 6, 2011, 5:15 pm

NEW YORK (AP) -- The Dow Jones industrial average rose by more than 100 points for a third straight day Thursday after U.S. retailers reported stronger September sales and the European Central Bank moved to support that region's lenders.

The Dow jumped 183 points, bringing its three-day gain to 434.

In Europe, investors cheered a promise from the European Central Bank to provide unlimited one-year loans to the region's lenders through 2013. The goal is to shield banks from poorly functioning short-term credit markets, in which banks are becoming too worried about their financial stability to lend money to each other. Germany's DAX jumped 3.2 percent, and France's CAC-40 rose 3.4 percent.

The loans are also meant to help protect the banks in the event Greece's government defaults on its debt. If that happens the value of Greek bonds held by those banks would be likely to drop sharply, weakening the banks' balance sheets and making it harder for them to lend.

Target Corp., Nordstrom Inc., Macy's Inc. and other U.S. retailers reported sales that beat Wall Street's expectations. While some of the sales were driven by deep discounts, analysts said the higher sales suggested the U.S. economy was not in another recession.

"The market has been pricing in an out-and-out recession, but the fact that consumer spending is holding up shows that we're more likely to continue muddling through at a 1 to 2 percent growth rate," said Brian Gendreau, market strategist at Cetera Financial Group.

The Dow Jones industrial average jumped 183.38 points, or 1.7 percent, to 11,123.33. It was the first time the Dow rose by more than 100 points for three straight days since a rally that began Aug. 11 and ended with a 763-point gain.

It was the 9th straight day the Dow has swung by more than 100 points, the longest such streak since November 2008, in the middle of the financial crisis. Markets have been extraordinarily volatile as investors react to the latest headlines out of Europe.

The S&P 500 rose 20.94, or 1.8 percent, to 1,164.97. The Nasdaq composite rose 46.31, or 1.9 percent, to 2,506.82.

Banks in Europe and the U.S. rallied. U.S. bank stocks rose sharply after Treasury Secretary Timothy Geithner told a Congressional panel that U.S. financial firms had a "very modest" exposure to Europe's debt problems. Bank of America Corp. jumped 8.9 percent to $6.28. Morgan Stanley rose 4.8 percent to $15.18.

The European Central Bank disappointed some investors by announcing that it would keep interest rates unchanged. Analysts were hoping the bank would cut rates to encourage lending and give a boost to Europe's sagging economy.

In the U.S., the Labor Department said the number of new applications for unemployment benefits rose slightly last month to 401,000. While that is a signal that the job market continues to be weak, the increase was slightly less than what Wall Street economists had predicted, a signs that layoffs are easing. Unemployment benefits typically need to fall below 375,000 to signal job growth.

The hopeful signs on the U.S. economy led investors to pull money out of lower-risk assets. That pushed yields higher on U.S. government debt as investors sold Treasurys. The yield on the 10-year Treasury note rose to 1.99 percent from 1.90 percent late Wednesday.

Corning Inc. rose 7.1 percent to $13.50 after it said it would increase its dividend and buy back shares. Apple Inc. lost 0.2 percent to $377.37 in choppy trading after company co-founder and former CEO Steve Jobs died Wednesday. Several analysts and large investors said they believe the company would continue to grow under new CEO Tim Cook.

 

[bigdog]

Source: http://finance.yahoo.com

The Dow is up 1.7 percent for the week. The Nasdaq rose 2.6 percent.

A three-day rally on the stock market faded Friday after a mixed jobs report and credit-rating cuts for Italy and Spain.

The Dow Jones industrial average rose in the morning, turned lower at midday, rallied from 3 to 3:30 but then fell 124 points the last half hour of trading. The latest day of choppy trading left the Dow with a loss of 20 points, following a 468-point surge over the previous three days.

Banks fell more than the broader market as the downgrades of Italy and Spain by the Fitch agency renewed concerns about Europe's debt crisis and the fallout it could have on banks. Bank of America Corp. plunged 6 percent, the most in the Dow. JPMorgan Chase & Co. was close behind, 5.2 percent.

The Dow Jones industrial average dropped 20.21 points, or 0.2 percent, to 11,103.12. Stocks that tend to do well even during economic downturns fared the best. Wal-Mart Stores Inc. led the Dow with a 1.8 percent gain. Drugmaker Pfizer Inc. rose 1.2 percent.

The NYSE DOW NYSE DOW closed -20.21 points LOWER or -0.18% on Friday October 7
Sym .......Last .......Change..........
Dow 11,103.12 -20.21 -0.18%
Nasdaq 2,479.35 -27.47 -1.10%
S&P 500 1,155.46 -9.51 -0.82%
30-yr Bond 3.0160% +0.0670

NYSE Volume 5,583,871,000
Nasdaq Volume 2,112,650,250

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,303.40 +12.14 +0.23%
DAX 5,675.70 +30.45 +0.54%
CAC 40 3,095.56 +20.19 +0.66%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,225.00 +92.90 +2.25%
Taiwan We... 7,211.96 +79.96 +1.12%
Nikkei 225 8,605.62 +83.60 +0.98%
Hang Seng 17,707.01 +534.73 +3.11%
Straits Times 2,640.30 +37.18 +1.43%

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

Stocks turn down on mixed jobs, Europe downgrades

Dow edges lower, ending 3-day rally, after mixed jobs report, downgrades of Spain and Italy

Daniel Wagner and Matthew Craft, AP Business Writers, On Friday October 7, 2011, 6:17 pm

A three-day rally on the stock market faded Friday after a mixed jobs report and credit-rating cuts for Italy and Spain.

The Dow Jones industrial average rose in the morning, turned lower at midday, rallied from 3 to 3:30 but then fell 124 points the last half hour of trading. The latest day of choppy trading left the Dow with a loss of 20 points, following a 468-point surge over the previous three days.

Banks fell more than the broader market as the downgrades of Italy and Spain by the Fitch agency renewed concerns about Europe's debt crisis and the fallout it could have on banks. Bank of America Corp. plunged 6 percent, the most in the Dow. JPMorgan Chase & Co. was close behind, 5.2 percent.

The Dow Jones industrial average dropped 20.21 points, or 0.2 percent, to 11,103.12. Stocks that tend to do well even during economic downturns fared the best. Wal-Mart Stores Inc. led the Dow with a 1.8 percent gain. Drugmaker Pfizer Inc. rose 1.2 percent.

The Labor Department's closely watched report on unemployment contained mixed news for investors.

U.S. employers added 103,000 jobs last month, about double what economists had expected. The government also said more jobs were added in July and August than previously reported. Economists said the report countered short-term fears that the U.S. might be entering another recession.

Yet it offered few signs that strong growth will return soon. The U.S. unemployment rate remained steady at 9.1 percent for the third straight month. The payroll gains weren't enough to bring the unemployment rate down, or even to keep up with growth in the U.S. population.

Broader indexes and small-company stocks didn't do as well as the large companies that make up the Dow. The Standard & Poor's 500 index fell 9.51 points, or 0.8 percent, to close at 1,155.46. The broader index still gained 2.1 percent for the week, the second week it has made gains out of the previous six.

The Nasdaq composite index fell 27.47, or 1.1 percent, to 2,479.35. The Russell 2000, which tracks smaller companies, plunged 2.6 percent to 656.21.

The Dow is up 1.7 percent for the week. The Nasdaq rose 2.6 percent.

Makers of high-tech lap equipment skidded after Illumina Inc. withdrew its annual earnings forecast, saying demand from government and academic customers had decreased in the slowing economy. Illumina lost a third of its market value. PerkinElmer Inc. plunged 8 percent; Thermo Fisher Inc. lost 6 percent.

Sprint Nextel Inc. plunged 20 percent after the company said it needs to raise money to build out a new high-speed data network. The rose earlier in the day after the company said its new deal to sell Apple Inc.'s iPhone will add to revenue in coming quarters.

Clearwire Corp. plummeted 32 percent after Sprint said it would stop selling phones that work on the company's network at the end of next year. Sprint is building its own high-speed wireless network.

Signs that European officials were taking steps to resolve that region's debt crisis helped drive stocks higher earlier in the week. The European Central Bank promised Thursday to provide unlimited one-year loans to banks through 2013.

The goal is to shield European banks from poorly functioning short-term credit markets. The banks have become increasingly reluctant to lend money to each other, so the new loans from Europe's central bank would make it easier to keep the flow of credit going.

Investors have also worried that if the Greek government defaults on its debt, it would cause the value of Greek bonds held by European and U.S. banks to plunge in value, weakening the banks' balance sheets and making it harder for them to loan money.

"I suspect the market is warming up to the fact that we will get some sort of resolution" to Europe's debt crisis, said Peter Cardillo, chief market economist at Rockwell Global Capital in New York. "But it may not be as quick as I or the market would like."

From Tuesday to Thursday, the S&P 500 jumped more than 1.75 percent three days in a row. That's only happened three times since World War II, according to analysts at the brokerage BTIG. Each three-day rally came after a steep fall. In hindsight, it looks like a signal that the worst was over. The S&P 500 was much higher a year later.

So has the market already bottomed out?

"I think so," Cardillo said. "We've seen the bottom. My thinking is we're in for a good quarter." But if the government of Greece defaults on its debts, he said, "all bets are off."

5224

 

[bigdog]

Source: http://finance.yahoo.com

What bear market?

Stocks surged on the latest positive news out of Europe Monday, the fourth sharp increase in the last five days. It's a dramatic turnaround from last Tuesday, when the S&P 500 index nearly fell enough to meet the definition of a bear market. Since then the widely used index has soared 8.7 percent.

Indexes soared in the U.S. and Europe after French and German leaders promised to strengthen European banks. The Dow Jones industrial average shot up 330 points, its largest one-day jump since Aug. 11. The euro rose against the dollar.

German Chancellor Angela Merkel and French President Nicolas Sarkozy said they would finalize a "comprehensive response" to the debt crisis by the end of the month, including a plan to make sure European banks have adequate capital. Investors have been worried that European leaders weren't moving quickly enough to contain the fallout from a default by Greece's government.

"The more we can put our arms around the problem with a little more detail, the better, and time frames usually help," said Michael Sansoterra, a portfolio manager at Silvant Capital Management in Atlanta.

The Dow rose 330.06 points, or 3 percent, to close at 11,433.18. That's the highest the index has been in three weeks. Bank of America Corp. rose 6.4 percent, the most of the 30 companies that make up the index. JPMorgan Chase & Co. rose 5.2 percent. The Dow is up 7.3 percent since Oct. 4.

The Standard & Poor's 500 index rose 39.43 or 3.4 percent, to 1,194.89. On Oct. 4 the S&P 500 traded below 1,090, or 20 percent down from its recent peak in April. Had the index closed at or below that level, it would have met the common definition of a bear market.

The Nasdaq composite index rose 86.70, or 3.4 percent, to 2,566.05.

European stock markets rose and the euro strengthened against the dollar on the latest indication that European leaders were making progress on containing the region's debt crisis. Germany's DAX rose 3 percent and France's CAC-40 rose 2.1 percent.

The NYSE DOW NYSE DOW closed +330.06 points HIGHER or +2.97% on Monday October 10
Sym .......Last .......Change..........
Dow 11,433.18 +330.06 +2.97%
Nasdaq 2,566.05 +86.70 +3.50%
S&P 500 1,194.89 +39.43 +3.41%
30-yr Bond 3.0240% +0.0080

NYSE Volume 4,385,957,500
Nasdaq Volume 1,607,432,625

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,399.00 +95.60 +1.80%
DAX 5,847.29 +171.59 +3.02%
CAC 40 3,161.47 +64.06 +2.07%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,262.30 +37.30 +0.88%
Shanghai Comp 2,344.79 -14.43 -0.61%
Taiwan We... 7,211.96
Nikei 225 8,605.62 +83.60 +0.98%
Hang Seng 17,711.06 +4.05 +0.02%
Straits Times 2,668.30 +28.00 +1.06%

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

Stocks soar on European pledge to help banks

Stocks soar after Merkel, Sarkozy vow response to Europe debt crisis; Dow up 330 points

Chip Cutter and Francesca Levy, AP Business Writers, On Monday October 10, 2011, 5:02 pm

NEW YORK (AP) -- What bear market?

Stocks surged on the latest positive news out of Europe Monday, the fourth sharp increase in the last five days. It's a dramatic turnaround from last Tuesday, when the S&P 500 index nearly fell enough to meet the definition of a bear market. Since then the widely used index has soared 8.7 percent.

Indexes soared in the U.S. and Europe after French and German leaders promised to strengthen European banks. The Dow Jones industrial average shot up 330 points, its largest one-day jump since Aug. 11. The euro rose against the dollar.

German Chancellor Angela Merkel and French President Nicolas Sarkozy said they would finalize a "comprehensive response" to the debt crisis by the end of the month, including a plan to make sure European banks have adequate capital. Investors have been worried that European leaders weren't moving quickly enough to contain the fallout from a default by Greece's government.

"The more we can put our arms around the problem with a little more detail, the better, and time frames usually help," said Michael Sansoterra, a portfolio manager at Silvant Capital Management in Atlanta.

The Dow rose 330.06 points, or 3 percent, to close at 11,433.18. That's the highest the index has been in three weeks. Bank of America Corp. rose 6.4 percent, the most of the 30 companies that make up the index. JPMorgan Chase & Co. rose 5.2 percent. The Dow is up 7.3 percent since Oct. 4.

The Standard & Poor's 500 index rose 39.43 or 3.4 percent, to 1,194.89. On Oct. 4 the S&P 500 traded below 1,090, or 20 percent down from its recent peak in April. Had the index closed at or below that level, it would have met the common definition of a bear market.

The Nasdaq composite index rose 86.70, or 3.4 percent, to 2,566.05.

European stock markets rose and the euro strengthened against the dollar on the latest indication that European leaders were making progress on containing the region's debt crisis. Germany's DAX rose 3 percent and France's CAC-40 rose 2.1 percent.

Investors were also relieved that troubled Franco-Belgian bank Dexia would be partially nationalized. Dexia needed rescue because owns large amounts of government bonds of indebted countries like Greece and Italy.

European banks have become more reluctant to lend to each other, putting overextended banks like Dexia in danger. That prompted the European Central Bank last week to offer unlimited one-year loans to the banks through 2013 to help give them access to credit.

Investors have been worried that a default by Greece could cause the value of Greek bonds held by those banks to plunge, hurting their balance sheets. U.S. banks could also be affected if Greece goes through a messy default, since they own Greek bonds and also have close ties to European banks.

Apple Inc. rose 5.1 percent to $388.81 after reporting that first-day orders for its new iPhone topped 1 million. The phone goes on sale Friday.

Yahoo Inc. jumped 2.4 percent to $15.84 following reports that founder Jerry Yang may organize a buyout of the company with private equity investors.

Oil and gas driller Nabors Industries Ltd. jumped 6.6 percent after oil rose above $85 a barrel. It hit a 12-month low of $75 a barrel last week.

Alcoa Inc. will become the first major U.S. company to report third-quarter results after the closing bell Tuesday. The aluminum maker's stock rose 3.9 percent to $10.09. Panera Bread rose 4.3 percent to $108.47 after an analyst said the company may start to buy its own stock.

Bond trading was closed for the Columbus Day holiday.

Ten stocks rose for every one that fell on the New York Stock Exchange. Trading volume was light at 3.8 billion.

 

[bigdog]

Source: http://finance.yahoo.com

One of Wall Street's quietest days in months ended mixed after investors spent the day waiting to see if Slovakia would block an expansion of Europe's financial rescue program.

Shortly after U.S. stock markets closed, the Slovakian parliament rejected a bill to strengthen the powers of a regional rescue fund. The sixteen other countries that use the euro have already signed off on the bill, but the measure requires unanimous support.

There are ways around Slovakia's opposition, but the move complicates efforts to address Europe's debt jam, which has been the most important issue for financial markets for months. Investors worry that if Europe doesn't contain its debt crisis, a default by the Greek government could deliver a devastating blow to European banks and cause them to freeze up lending.

The Dow Jones industrial average ended down 18 points after moving between small gains and losses throughout the day. The index traded within a range of only 82 points, the narrowest since July 20. The relatively tepid trading came a day after the Dow surged 330 points, its largest increase since Aug. 11.

"I think markets want to say `who cares about Slovakia,' but the reality is every little country has to agree," said Randy Warren, investment strategist at Exton, Pa.-based firm Warren Financial Service.

Greece has been on the brink of defaulting on its debt for months. If that happens, it would hurt European and U.S. banks by decimating the value of Greek government bonds they own. Those banks would then be less likely to lend to each other and to businesses. That could plug up an already weak global economy, with implications for everything from bank stocks to international trade.

The Dow lost 16.88 points, or 0.1 percent, to close at 11,416.3. The Standard & Poor's 500 index rose 0.65 point, or 0.1 percent, to 1,195.54 The Nasdaq composite rose 16.98, or 0.7 percent, to 2,583.03.

The NYSE DOW NYSE DOW closed -16.88 points LOWER or -0.15% on Tuesday October 11
Sym .......Last .......Change..........
Dow 11,416.30 -16.88 -0.15%
Nasdaq 2,583.03 +16.98 +0.66%
S&P 500 1,195.54 +0.65 +0.05%
30-yr Bond 3.1110% +0.0870

NYSE Volume 4,317,837,500
Nasdaq Volume 1,678,601,875

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,395.70 -3.30 -0.06%
DAX 5,865.01 +17.72 +0.30%
CAC 40 3,153.52 -7.95 -0.25%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,288.80 +26.50 +0.62%
Shanghai Comp 2,348.52 +3.73 +0.16%
Taiwan We... 7,398.71 +186.75 +2.59%
Nikkei 225 8,773.68 +168.06 +1.95%
Hang Seng 18,141.59 +430.53 +2.43%
Straits Times 2,693.50 +25.20 +0.94%

http://finance.yahoo.com/news/Stocks-mixed-ahead-of-apf-3194674823.html?x=0

Stocks mixed ahead of Slovakia vote on rescue fund

Indexes end mixed ahead of Slovakia vote on expanding European bailout fund; Alcoa misses

Francesca Levy and Chip Cutter, AP Business Writers, On Tuesday October 11, 2011, 4:52 pm

NEW YORK (AP) -- One of Wall Street's quietest days in months ended mixed after investors spent the day waiting to see if Slovakia would block an expansion of Europe's financial rescue program.

Shortly after U.S. stock markets closed, the Slovakian parliament rejected a bill to strengthen the powers of a regional rescue fund. The sixteen other countries that use the euro have already signed off on the bill, but the measure requires unanimous support.

There are ways around Slovakia's opposition, but the move complicates efforts to address Europe's debt jam, which has been the most important issue for financial markets for months. Investors worry that if Europe doesn't contain its debt crisis, a default by the Greek government could deliver a devastating blow to European banks and cause them to freeze up lending.

The Dow Jones industrial average ended down 18 points after moving between small gains and losses throughout the day. The index traded within a range of only 82 points, the narrowest since July 20. The relatively tepid trading came a day after the Dow surged 330 points, its largest increase since Aug. 11.

"I think markets want to say `who cares about Slovakia,' but the reality is every little country has to agree," said Randy Warren, investment strategist at Exton, Pa.-based firm Warren Financial Service.

Greece has been on the brink of defaulting on its debt for months. If that happens, it would hurt European and U.S. banks by decimating the value of Greek government bonds they own. Those banks would then be less likely to lend to each other and to businesses. That could plug up an already weak global economy, with implications for everything from bank stocks to international trade.

The Dow lost 16.88 points, or 0.1 percent, to close at 11,416.3. The Standard & Poor's 500 index rose 0.65 point, or 0.1 percent, to 1,195.54 The Nasdaq composite rose 16.98, or 0.7 percent, to 2,583.03.

Aluminum maker Alcoa Inc. plunged 5.6 percent in after-hours trading after reported that its earnings slumped from the previous quarter, suggesting demand from Europe has slowed.

Markets have been swinging wildly since early August, when Europe's economy suddenly seemed closer to the brink of collapse.

Moves of more than 100 points for the Dow have become commonplace as traders react swiftly to every whiff of news coming out of Europe. The S&P 500 is up 8.8 percent since last Tuesday, when it traded 20 percent below its April peak. Had the S&P closed at that level, it would have put the index into what analysts call a bear market. The index is still down 5.1 percent for the year.

Many market watchers think the volatility will continue until heavily indebted countries like Greece, Spain and Italy have established a clear path out of their current debt mess. Some hope that the summer's heavy selling may have reflected the worst of the market's fears.

"It appears that barring an uncontrolled meltdown, the bottom is in," said Warren.

In corporate news, Dollar Thrifty Automotive Group Inc. fell 2 percent after the car-rental company said it was taking itself off the market after failing to get acceptable takeover proposals from Hertz or other companies.

Discount retailer 99 Cents Only Stores Inc. rose 4.4 percent. Ares Management LLC and the Canada Pension Plan Investment Board have offered to buy the company for $22 per share in cash, a 7 percent premium from Monday's closing price.

Alcoa is the first company in the Dow Jones industrial average to report third-quarter results. Many analysts hope that the upcoming wave of corporate earnings reports will pull investor focus away from Europe and back to the health of U.S. corporations.

Analysts expect earnings from S&P 500 companies to rise about 12 percent from the same period last year, according to data provider FactSet. Revenue is expected to rise 11 percent. Investors are concerned not only with companies' performance over the last quarter but what they expect to earn over the next year. A series of gloomy forecasts could compound fears that the country could enter another recession.

 

[bigdog]

Source: http://finance.yahoo.com

European leaders moved more decisively Wednesday to control the region's debt crisis, and sent stocks sharply higher. The Dow Jones industrial average gained 102 points and closed at its highest level since late August.

The Dow had been up as many as 209 points, but gave up half that gain in the last hour of trading. Late-day reversals have become increasingly common in the market. So have point changes of more than 100 points.

"Unfortunately I think we're stuck with the wild volatility that we've had for some period of time. I don't think we've moved past it," said Dennis Wassung, a portfolio manager at Salem, Mass.-based Cabot Money Management.

The Dow has rallied 8.1 percent since last Tuesday, when it hit its lowest point of the year, 10,362.26. The Standard & Poor's 500 index has risen even more in that time, 9.8 percent. That's the biggest 7-day jump for the S&P since March 2009, when the market hit 12-year lows.

The surge is even more remarkable considering that it came right after the S&P 500 nearly entered a bear market. On Oct. 4, it traded below 1,090, a 20 percent drop from its recent peak in April. Had it closed at or below that level, it would have entered what stock watchers call a bear market.

Much of the surge in stocks since last week was due to new efforts by European leaders to contain the continent's debt problems. On Wednesday, European Commission President Jose-Manuel Barroso presented a plan to strengthen European banks and lower Greece's debt. Greece is still waiting to receive the next installment of its emergency loans. However, there is a growing belief that even those loans won't prevent the government from defaulting on its debt.

The NYSE DOW NYSE DOW closed +102.55 points HIGHER or +0.90% on Wednesday October 12
Sym .......Last .......Change..........
Dow 11,518.85 +102.55 +0.90%
Nasdaq 2,604.73 +21.70 +0.84%
S&P 500 1,207.25 +11.71 +0.98%
30-yr Bond 3.2140% +0.1030

NYSE Volume 5,406,087,500
Nasdaq Volume 1,999,906,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,441.80 +46.10 +0.85%
DAX 5,994.47 +129.46 +2.21%
CAC 40 3,229.76 +76.24 +2.42%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,266.40 -22.40 -0.52%
Shanghai Comp 2,420.00 +71.48 +3.04%
Taiwan We... 7,382.35 -16.36 -0.22%
Nikkei 225 8,738.90 -34.78 -0.40%
Hang Seng 18,329.46 +187.87 +1.04%
Straits Times 2,737.75 +44.70 +1.66%

http://finance.yahoo.com/news/Stocks-rise-on-hopes-for-apf-3960408847.html?x=0

Stocks rise on hopes for resolution to Europe mess

Stocks close higher as hope builds for a plan to shore up European banks

Chip Cutter and Francesca Levy, AP Business Writers, On Wednesday October 12, 2011, 5:23 pm

NEW YORK (AP) -- European leaders moved more decisively Wednesday to control the region's debt crisis, and sent stocks sharply higher. The Dow Jones industrial average gained 102 points and closed at its highest level since late August.

The Dow had been up as many as 209 points, but gave up half that gain in the last hour of trading. Late-day reversals have become increasingly common in the market. So have point changes of more than 100 points.

"Unfortunately I think we're stuck with the wild volatility that we've had for some period of time. I don't think we've moved past it," said Dennis Wassung, a portfolio manager at Salem, Mass.-based Cabot Money Management.

The Dow has rallied 8.1 percent since last Tuesday, when it hit its lowest point of the year, 10,362.26. The Standard & Poor's 500 index has risen even more in that time, 9.8 percent. That's the biggest 7-day jump for the S&P since March 2009, when the market hit 12-year lows.

The surge is even more remarkable considering that it came right after the S&P 500 nearly entered a bear market. On Oct. 4, it traded below 1,090, a 20 percent drop from its recent peak in April. Had it closed at or below that level, it would have entered what stock watchers call a bear market.

Much of the surge in stocks since last week was due to new efforts by European leaders to contain the continent's debt problems. On Wednesday, European Commission President Jose-Manuel Barroso presented a plan to strengthen European banks and lower Greece's debt. Greece is still waiting to receive the next installment of its emergency loans. However, there is a growing belief that even those loans won't prevent the government from defaulting on its debt.

Separately, a Slovakian opposition party leader said that country's political parties have agreed to approve a deal to strengthen Europe's financial rescue program. Slovakia's parliament blocked the deal Tuesday. That set back efforts to free up more funds for indebted European countries and banks.

The Dow rose 102.55 points, or 0.9 percent, to close at 11,518.85. The average is now down just 0.5 percent for the year. The Dow has closed up or down at least 100 points in 11 of the past 13 trading days.

The S&P 500 rose 11.71, or 1 percent, to 1,207.25. The S&P is down 4 percent for 2011.

The Nasdaq composite index rose 21.70, or 0.8 percent, to 2,604.73.

Banks and financial stocks had the biggest gains in the S&P 500. Those companies would have the most to lose if European banks suffer big losses because of a default by the Greek government. A default would cause the value of Greek bonds held by banks in Europe to plunge, weakening their balance sheets and making it harder for them to lend. Their financial problems would likely hurt other banks, including those in the U.S., and could hobble global credit markets.

European leaders are working to shore up those banks so they can withstand the impact.

The euro rose to $1.38 against the U.S. dollar from $1.37 late Tuesday. The euro has fallen in recent months as Europe struggled to control its debt crisis. Treasury prices fell and their yields rose as investors bought riskier assets like stocks instead of U.S. government debt. The yield on the benchmark 10-year note rose to 2.21 percent from 2.16 percent late Tuesday. Demand was slightly weaker than average at an auction of 10-year Treasury notes.

Liz Claiborne Inc. rose 34 percent after the company said it is selling its namesake brand and several others in an attempt to reverse years of losses. Liz Claiborne hasn't had an annual profit since 2006.

U.S. companies have begun to release their third-quarter earnings reports, and so far the results have been mixed. PepsiCo Inc. rose 2.9 percent after the company said its income rose because of stronger sales of snacks and beverages, especially overseas.

Alcoa Inc. dropped 2.4 percent after the aluminum maker reported earnings that were weaker than analysts expected. A 12 percent drop in aluminum prices in the July-September period dragged down its results.

 

[bigdog]

Source: http://finance.yahoo.com

Stocks sank Thursday, ending the fastest rally in the S&P 500 since March 2009.

Bank stocks dragged the market lower after JPMorgan Chase & Co. reported that a slowdown in investment banking hurt its results in the third quarter. An afternoon surge in technology stocks limited some of the losses.

The Dow Jones industrial average fell 40.72 points, or 0.4 percent, to close at 11,478.13. JPMorgan fell 4.8 percent. Other banks also fell. Citigroup Inc. dropped 5.3 percent, Morgan Stanley 4.4 percent and Bank of America Corp. 5.5 percent.

JPMorgan is the first big U.S. bank to report earnings. Next week Wells Fargo & Co., Citigroup Inc. and Morgan Stanley will report. JPMorgan is widely considered the strongest U.S. bank, so the results don't bode well for other financial companies, said Jason Lilly, a portfolio manager at Rockland Trust Investment Management Group. JPMorgan's income fell 4 percent, hurt by a 31 percent plunge in investment banking fees.

An afternoon rally in technology stocks trimmed some of the market's losses. Yahoo Inc. rose 1 percent as investors speculated the company might be bought. Technology stocks in the Standard & Poor's 500 index rose 1 percent, the most of any industry group in the index. The technology-focused Nasdaq composite rose 15.51, or 0.6 percent, to 2,620.24.

The NYSE DOW NYSE DOW closed -40.72 points LOWER or -0.35% on Thursday October 13
Sym .......Last .......Change..........
Dow 11,478.13 -40.72 -0.35%
Nasdaq 2,620.24 +15.51 +0.60%
S&P 500 1,203.66 -3.59 -0.30%
30-yr Bond 3.1370% -0.0770

NYSE Volume 4,436,271,500
Nasdaq Volume 1,692,392,750

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,403.38 -38.42 -0.71%
DAX 5,914.84 -79.63 -1.33%
CAC 40 3,186.94 -42.82 -1.33%

Asia Pacific
Symbol...... .....Last ....Change.......
ASX All Ord 4,306.00 +39.60 +0.93%
Shanghai Comp 2,438.79 +18.79 +0.78%
Taiwan We... 7,428.33 +45.98 +0.62%
Nikkei 225 8,823.25 +84.35 +0.97%
Hang Seng 18,757.81 +428.35 +2.34%
Straits Times 2,733.97 -3.78 -0.14%

http://finance.yahoo.com/news/Stock...1.html?x=0&sec=topStories&pos=2&asset=&ccode=

Stocks slide on JPMorgan; tech rally trims losses

Markets lower after JPMorgan results hit financials; stocks trim losses in afternoon trading

Francesca Levy and Chip Cutter, AP Business Writers, On Thursday October 13, 2011, 5:35 pm

NEW YORK (AP) -- Stocks sank Thursday, ending the fastest rally in the S&P 500 since March 2009.

Bank stocks dragged the market lower after JPMorgan Chase & Co. reported that a slowdown in investment banking hurt its results in the third quarter. An afternoon surge in technology stocks limited some of the losses.

The Dow Jones industrial average fell 40.72 points, or 0.4 percent, to close at 11,478.13. JPMorgan fell 4.8 percent. Other banks also fell. Citigroup Inc. dropped 5.3 percent, Morgan Stanley 4.4 percent and Bank of America Corp. 5.5 percent.

JPMorgan is the first big U.S. bank to report earnings. Next week Wells Fargo & Co., Citigroup Inc. and Morgan Stanley will report. JPMorgan is widely considered the strongest U.S. bank, so the results don't bode well for other financial companies, said Jason Lilly, a portfolio manager at Rockland Trust Investment Management Group. JPMorgan's income fell 4 percent, hurt by a 31 percent plunge in investment banking fees.

An afternoon rally in technology stocks trimmed some of the market's losses. Yahoo Inc. rose 1 percent as investors speculated the company might be bought. Technology stocks in the Standard & Poor's 500 index rose 1 percent, the most of any industry group in the index. The technology-focused Nasdaq composite rose 15.51, or 0.6 percent, to 2,620.24.

"There's a mounting interest in Yahoo and that has filtered out into tech stocks," said Quincy Krosby, a market strategist for Prudential Financial.

There was other encouraging news from the technology industry. Apple Inc. rose 1.6 percent a day ahead of the release of its latest iPhone. Google's third-quarter earnings, released after the close of trading, soared past analyst expectations. The stock jumped 5.4 percent in after-hours trading.

The Standard & Poor's 500 index fell 3.59, or 0.3 percent, to 1,203.66. Financial stocks fell 2.4 percent, the most of the 10 company groups that make up the index.

Investors were also disappointed by a report that China's trade surplus narrowed for a second straight month in September. That suggests the Chinese economy is slowing more than previously thought, which could hurt demand for exports from the U.S.

Stocks soared over the past week on signs that Europe was starting to get a handle on its financial crisis. The Standard & Poor's 500 index rose 9.8 from Oct. 3, when it closed at its lowest level of the year, through Wednesday. That was the biggest 7-day jump in the S&P 500 since March 2009.

The sharp highs and lows are typical of the volatility that has plagued markets since August, when investors began reacting to fears that indebted economies in Europe would collapse and the U.S. would slide back into recession. Most analysts think that the market is in for more swings until a resolution to Europe's debt is reached.

"Europe will definitely contribute to more volatility. That story isn't done," said Lilly.

In Europe, there was more progress toward strengthening a financial rescue fund aimed at shoring up the region's banks. Slovakia's parliament approved a measure that would release large amounts of money to European banks and governments before a full-blown crisis sets in. Slovakia had blocked the bill Tuesday, becoming the only one of the 17 countries that use the euro to do so.

Wall Street has been fearful for months that one of Europe's shakier economies could collapse. If countries like Greece, Spain and Italy can't repay their debts, global banks that own those countries' debt would be at risk. That could make banks even more leery of lending to each other and to businesses. If that escalates enough, it could cause another international financial crisis similar to what happened in late 2008.

Officials in Europe seemed like they were making progress toward shoring up European banks. In addition to the stronger bailout package, European Commission leaders had said they would require banks to hold more capital to protect them against losses. But without specifics on how those reforms will be accomplished, traders are getting concerned that the plans will deteriorate.

In corporate news, BlackBerry-maker Research in Motion Ltd. Fell 1.7 percent after a three-day outage that cut off service to users across the world. The company said it had fixed the problem, which resulted from a breakdown in its European infrastructure.

The Blackstone Group LP lost 5.4 percent after a Citi Investment Research analyst dropped the private-equity firm from a list of favorite stocks, saying the firm won't be able to make strong real estate investments for some time because of the weak economy.

Chip-maker Broadcom Corp. rose 2.3 percent after an analyst upgraded the company, saying it was selling more chips for smartphones.

 

[bigdog]

Source: http://finance.yahoo.com

Stronger retail sales and surging profits from Google sent stocks higher Friday. The Dow Jones industrial average turned positive for the year and the S&P 500 index had its best week in more than two years.

Retail sales increased 1.1 percent in September, the biggest gain in seven months and double what economists projected. Retail sales are a key barometer of consumer spending, which helps drive economic growth. It was the latest positive report on the U.S. economy and added to a growing body of evidence that another U.S. recession isn't as likely as many had feared.

"The market's decline was predicated on the collapse of the euro zone and a U.S. recession," said Dan Greenhaus, chief global strategist at the broker BTIG in New York. "Neither seems likely now."

The Dow rose 166.36 points, or 1.4 percent, to close at 11,644.49. The average of 30 large companies has shot up 9.3 percent after hitting 10,655 on Oct. 3, its lowest level of the year.

The Standard & Poor's 500 rose 20.92, or 1.7 percent, to 1,224.58. The index gained 6 percent this week, the best week since July 2009. It was the highest close for the S&P since Aug. 3, when Washington was in paralysis over raising the country's borrowing limit.

The dollar and U.S. Treasury prices fell as investors moved money into assets that perform better when the economy picks up. The yield on the 10-year Treasury note rose to 2.25 percent, the highest level since August.

Oil and other commodities rose sharply. Energy industry stocks jumped. Exxon Mobil Corp. jumped 2.3 percent to $78.11; Chevron Corp. rose 2.7 percent to $100.47.

Stock indexes have reversed a long slide in recent weeks, helped by better news on the U.S. economy and progress in Europe toward resolving that region's debt crisis. Hiring has picked up, although modestly, and manufacturing continued to grow. The Dow soared 330 points Monday after the leaders of France and Germany pledged to come up with a far-reaching solution to the region's debt crisis by the end of October.

The NYSE DOW NYSE DOW closed +166.36 points HIGHER or +1.45% on Friday October 14
Sym .......Last .......Change..........
Dow 11,644.49 +166.36 +1.45%
Nasdaq 2,667.85 +47.61 +1.82%
S&P 500 1,224.58 +20.92 +1.74%
30-yr Bond 3.2090% +0.0720

NYSE Volume 4,116,685,000
Nasdaq Volume 1,695,276,500

Europe
Symbol... ......Last .....Change.......
FTSE 100 5,466.36 +62.98 +1.17%
DAX 5,967.20 +52.36 +0.89%
CAC 40 3,217.89 +30.95 +0.97%

Asia Pacific
Symbol...... .....Last ....Change.......
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http://finance.yahoo.com/news/Dow-average-turns-positive-apf-489584959.html?x=0

Dow average turns positive for 2011; Google soars

Stocks jump after strong retail sales, Google earnings; S&P 500 has its best week since 2009

Daniel Wagner and Matthew Craft, AP Business Writers, On Friday October 14, 2011, 5:17 pm

NEW YORK (AP) -- Stronger retail sales and surging profits from Google sent stocks higher Friday. The Dow Jones industrial average turned positive for the year and the S&P 500 index had its best week in more than two years.

Retail sales increased 1.1 percent in September, the biggest gain in seven months and double what economists projected. Retail sales are a key barometer of consumer spending, which helps drive economic growth. It was the latest positive report on the U.S. economy and added to a growing body of evidence that another U.S. recession isn't as likely as many had feared.

"The market's decline was predicated on the collapse of the euro zone and a U.S. recession," said Dan Greenhaus, chief global strategist at the broker BTIG in New York. "Neither seems likely now."

The Dow rose 166.36 points, or 1.4 percent, to close at 11,644.49. The average of 30 large companies has shot up 9.3 percent after hitting 10,655 on Oct. 3, its lowest level of the year.

The Standard & Poor's 500 rose 20.92, or 1.7 percent, to 1,224.58. The index gained 6 percent this week, the best week since July 2009. It was the highest close for the S&P since Aug. 3, when Washington was in paralysis over raising the country's borrowing limit.

The dollar and U.S. Treasury prices fell as investors moved money into assets that perform better when the economy picks up. The yield on the 10-year Treasury note rose to 2.25 percent, the highest level since August.

Oil and other commodities rose sharply. Energy industry stocks jumped. Exxon Mobil Corp. jumped 2.3 percent to $78.11; Chevron Corp. rose 2.7 percent to $100.47.

Stock indexes have reversed a long slide in recent weeks, helped by better news on the U.S. economy and progress in Europe toward resolving that region's debt crisis. Hiring has picked up, although modestly, and manufacturing continued to grow. The Dow soared 330 points Monday after the leaders of France and Germany pledged to come up with a far-reaching solution to the region's debt crisis by the end of October.

Google Inc. shot up 5.8 percent to $591.68 after its quarterly income jumped 26 percent. Apple Inc. rose 3.3 percent to $422 as its new iPhone went on sale. Record-setting iPhone sales have helped Apple thrive this year even as the economy slowed.

The two tech leaders helped the Nasdaq gain 7.6 percent this week. That's the best week since July 2009. The Nasdaq rose 47.61 points Friday, or 1.8 percent, to 2,667.85.

Navistar International Corp. jumped 7.3 percent to $41.51 on news that the billionaire investor Carl Icahn bought a stake in the maker of military trucks and recreational vehicles.

Retail sales are the government's first look at consumer spending each month. Household spending on everything from clothes to health care accounts for 70 percent of the U.S. economy. If that spending falls sharply, a recession is more likely.

European markets extended an eight-day rally despite an overnight downgrade of Spain by Standard & Poor's and warnings from Fitch about big banks. Food and soap company Unilever PLC announced a major acquisition, and Swiss agrochemicals firm Syngenta reported strong third-quarter sales.

Google reported late Thursday that its third-quarter revenue was one-third higher than last year. It was Google's fourth consecutive quarter of year-over-year revenue growth. Google is doing well because of the reach of its search engine and the effectiveness of its ads.

The government also said Thursday that businesses added to their stockpiles for the 20th consecutive month while sales rose for a third straight month. The increase suggests businesses remained confident enough to keep stocking their shelves.

Five stocks rose for every one that fell on the New York Stock Exchange. Trading volume was below average, 3.7 billion shares.

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