Friday may not see another monster stock market rally, but stocks are tilting positive as markets face the quarterly expiration of futures and options.» Read More
The U.S. dollar dropped Wednesday against the euro and against the yen, after news that the Federal Reserve would bail out AIG. But CNBC's Matt Nesto reports that the Fed continuing to hold interest rates steady might make the greenback a good buy.
Bears say the are accurately reflecting conditions, and in fact they have been accurately reflecting conditions all year. This is the main argument for bears: the most bearish positions--as reflected in the credit markets--have been the most correct positions this year.
On Monday, for example, mutual fund investors panicked and pulled $10.9 billion out of the market (TrimTabs), with particularly large outflows ($4 b) from global funds.
Don Wordell, manager of the 5-star RidgeWorth Mid-Cap Value Equity fund, says the consumer is just fine -- and he has a stock pick to back that up.
Collyn Gilbert of Stifel Nicolaus has found a port for stock market investors: the regional banks of the Northeast.
Morgan Stanley is trading down 16 percent, despite several positive analyst comments on their earnings, as traders note that credit spreads are widening. The Reserve's Primary Fund, a money market fund, "broke the buck" (the net asset value of the fund fell below $1) because it owned Lehman paper.
If stocks seem too risky right now, here's where you can consider putting your money.
Need clarification on a term we used on the show? Check here first.
Morgan Stanley trading up 3 percent after the close, as it pre-announced earnings above expectations. CEO John Mack said, "We have continued to actively reduce our legacy postions and carefully manage our risk, capital and liquidity." Several factors worked in favor of today's modest but important rally.
There was booing on the floor as the Fed announced they would leave rates unchanged. But others applauded, noting that lower Fed funds rates will not accomplish notably lower consumer rates, particularly mortgage rates...
The market is not in great shape today: there are TWO stocks declining for each ONE stock advancing. Dow is up because big cap financials staged a modest rally midday.
If no private equity bridge loan: 20 percent chance that a sov. wealth fund or private equity would offer a high interest rate loan with an option to buy the entire company at a price above the present market value.
In general, the markets are having a tough time moving forward (ex-financials) because earnings for the major sectors keep getting hit, for various reasons. Consider: 1) financials: event risk has taken down ests. on all the big names.
There is a certain air of disbelief on the Street today concerning AIG. Bank of America's analyst epitomized this: "AIG is facing a near-term liquidity issues, as opposed to solvency issues," a report this morning said. All insisted they have plenty of assets to sell.
Investment experts from around the globe offer their advice on what investors can do in the wake of the latest financial turmoil.
We almost certainly would have broken through the important 1,200 level on the S&P 500 had there not been a report that the feds have asked Goldman and JP Morgan to lead a $70 to $75 lending facility for AIG; this took AIG and the markets off their lows just after 3:30 ET.
The Street has been making this distinction for months, and it is now accelerating. For example, look at some of the smaller regional banks that have less exposure to construction/real estate than others, and how they have performed in the last year:
Wall Street has fretted that it does not know how to value many derivative assets because they trade so rarely. We are now about to find out, assuming Lehman begins a liquidation of assets.
The bankruptcy of Lehman Brothers and surprise takeover of Merrill Lynch may signal a 'big daddy' of bear markets, in which stocks could fall as much as 50 percent from their peaks, Robin Griffiths, technical strategist at Cazenove Capital, told CNBC Monday.
What you need to know so your timeshare doesn't become a destination to disaster.