Gina Francolla is the Senior Producer of Quantitative & Market Data Services at CNBC.
As we all know, the Visa (V) IPO priced last night at $44 per share, above its range of $37 - $42 per share, raising $17.9 billion, and beating the previous record held by the AT&T Wireless IPO back in 2000, which raised $1 billion.
Bear Stearns has lost almost 84% in its market cap since Friday's close and Bear Stearns is down over 97% from its closing high of $171.51 hit on 1/12/07.-From its high in January of 2007, Bear Stearns has lost more than $19 billion in market cap.
For the week ending Friday, March 14, 2008 the US Markets ended mixed. Market moving events include the Fed's $200B expansion of its securities lending program and the Bear Stearns bailout, amongst others leading to extreme market volatility. The Dow gained 417 points on Tuesday, only to lose the majority of its gains to close up only 0.48% for the week. The VIX crossed 30 for the first time since January. Next week, the markets will watch for the the FOMC announcement on interest rates Tuesday, the Visa IPO on Wednesday, and a slew of brokerage earnings including Goldman Sachs, Lehman Brothers, Morgan Stanley and possibly Bear Stearns.
The major U.S. indexes were a mixed bag this week, all close to flat, while commodities continue their record setting pace, and the US dollar falls to new lows.
For the week ending Friday, March 07, 2008 the US Markets all ended the week down close to 3% or greater. The Dow closed below 12,000, the NASDAQ breached its 52-week low, and the S&P 500 closed below 1300 for the first time since September 11, 2006. In contrast commodities continue to hit new record highs, and the US dollar fell to record lows on a weak economy. Bernanke hinted at further rate cuts, the ECB held rates steady, and jobs unexpectedly fell, heightening fears that the US economy has hit a recession. Many economists are no longer questioning a recession, but how long it will last.Next week, the markets will watch for Retail Sales on Thursday and earnings from some of the smaller retailers, while inflation watchers await the CPI report on Friday, seen rising again in February. If consumer prices rise beyond comfort levels, the spectre of stagflation, price inflation amidst weak economic growth, will again rear its head.
The European Central Bank holds rates steady on Thursday and Bernanke suggests further rate cuts in the US, all sending the US dollar lower, and the euro and pound higher. According to Reuters, Bernanke indicated in his testimony before congress that he was more concerned about US economic growth than inflation, which erodes confidence in US assets and the demand for dollars to buy them.
The "new" Super Tuesday is here with 370 national convention delegates at stake for the Democrats, a pivoal day for Senators Obama and Clinton. The Intrade markets show Clinton in the lead in Ohio, but with Obama still clearly in the lead for the nomination. (www.intrade.com)
Investors hungry for yield have latched on to "the Dogs of the Dow" strategy, which pays off more often than not.
U.S. stocks are on track for eight quarters of consecutive gains—the longest winning streak in 16 years.
Three sectors have managed gains of more than 20 percent in 2014, while two others are lagging badly.
The Dow Jones industrial average has historically taken an average of about 32 months to jump from one thousand-point mark to the next.