Stocks rallied, with the Dow up more than 300 points in the first few minutes of trading, as Wall Street cheered the bailout of Fannie Mae and Freddie Mac.
On the announcement of the Government takeover of Freddie Mac and Fannie Mae, the markets surged on the open. The S&P 500 initially jumped over 30 points, more than it has ever moved on an open.
Now that the government is in charge of the GSE's (can I call them Government "Sponsored" Entities or should that change to something else??), analysts are looking for the builders to reap the rewards, long term in sales and short term in the stocks.
There are homebuilder strategies for savvy investors, says Randy Frederick. The director of derivatives at Charles Schwab gave his plays for the sector now.
For the week and month ending Friday, August 29, 2008, the major U.S. Indices ended slightly lower for the week but up for the month. The markets had a volatile week, sinking first on housing price drops and an up-tick in oil prices, then rallying on better-than-expected GDP numbers, and finally falling to end the week on worse-than-expected personal income and spending data. The Dow hit a 200+ point rally on Thursday, its largest one day gain since 8/8. The NASDAQ led the indices to the downside this week, down nearly 2%. For the August close, the Dow, Nasdaq and S&P all finished up 1.5% or more, marking the best monthly gain since April for the Dow & S&P, and best month for the Nasdaq since May.
Stocks finished higher in feather-light trading Wednesday, boosted by a rise in financials and energy stocks, as well as a better-than-expected durable-goods report.
Stocks advanced in light trading Wednesday, boosted by a rise in financials and housing stocks, as well as a better-than-expected durable-goods report. Earlier, stocks had swayed, torn between the encouraging durables report and oil's ascent amid the threat of tropical storm Gustav.
The Mad Money host puts an expiration date on this misery and offers 10 reasons why he’s sure the end is near.
New Home Sales rose by 2.4% last month while June numbers were revised downward. While there are many factors to consider, the results continue to be a real life lesson of basic economics and the rules of supply and demand. Looking at the long term trends, don't expect changes overnight.
Michael Gaugler, senior vice president at Brean Murray, Carret & Co., and Neil Berlant, portfolio manager at PFW Water Fund said investing in water manufacturing and pipeline company stocks are the way to go.
Earlier this week, we wrote about the highest yielding stocks on the Dow. The S&P 500 also has some nice yielding stocks. If you are worried about the financials being able to continue to pay thier big dividends (with Freddie Mac's big slide, its yield is now over 20%!), there are nearly 40 stocks on the S&P that are currently yielding 5% or more. Here's a breakdown.
Stocks declined Tuesday as an inflation report agitated a market already rattled by worries about the financial sector. The Dow dipped into bear-market territory during intraday trading but thinly escaped by the closing bell.
Following are the day’s biggest winners and losers. Find out why shares of Colgate-Palmolive and Masco popped while Sony and Fresh Del Monte dropped.
Stocks have rallied just after 1 pm ET as oil broke through the lows of yesterday ($132). Oil is now down 11 percent from its intraday high last Friday. The overall market rallied, but in particular consumer discretionary stocks (retailers, autos, home builders) rallied. Good examples:
"Buy and hold" is bad investing advice. Here's why.
Despite good news from our parent General Electric we are again being pushed around by oil at a record price, and by Fannie and Freddie. Both are down big (about 50 percent) this morning, largely on a New York Times story that the federal government was considering placing one or both of them in a conservatorship.
In the midst of reporting earnings from KB Home and Lennar this week, neither of which were particularly pretty, I saw a press release for an auction in Houston that tweaked my interest. The title reads: Greater Houston Real Estate Auction: Sign of the Times.
Stocks could continue to let off steam at the open Friday.
The Dow closed at its lowest level in nearly two years after a downgrade on brokerage stocks and a slew of weak earnings and economic reports. Several Dow components and several financial stocks hit multiyear lows, with the biggest shock coming from GM, which fell to its lowest in more than 50 years.
There is a change in sentiment as traders are trying to get their hands around the extent of the slowdown in global growth. New issues for the market: --global growth slowing.