- Car Insurance Scofflaws Raise Health Reform Doubt
- Rush Starts as Holiday Shopping Season Revs Up
- US Markets Bracing for Selloff on Dubai Debt Worries
- US Dollar Falls to 14-Year Low Against the Yen
- ING Prices Share Issue at Hefty Discount
- UK's Darling to Downgrade 2009 Growth Forecast
- Tommy Hilfiger's Estate in Conn. Sells for $20 Million
- Cheap Robotic Hamsters Are Holiday's Unlikely Craze
- Fannie Mae to Tighten Lending Standards: Report
- 4 Thanksgiving Week Buys For Your Portfolio: Market Pros
- There's a 'Great Chance' For a Double-Dip Recession: Strategist
- Revenge of the Gangsta Nerds
- Will TCU See The "Flutie Effect?"
- Retail Earnings and Sales to Improve in Q4: Analyst
- Consumers Catching the Holiday Spirit
- It's Beginning To Look A Lot More Riskless
- Crescenzi: Claims Level Suggests End to Job Losses
- Hedge Funds Take Early Lead in Warren Buffett's 'Big Bet'
MOST SHARED
- No Thanksgiving Rest for Retailers in Sales Race
- US Markets Bracing for Selloff On Worries About Dubai's Debt
- Attraction of Switzerland to Businesses
- More Asia Executives Resigned to Economy Flights: Survey
- Banks Play Down Dubai Exposure, Investors Still Wary
- UK's Darling to Downgrade 2009 Growth Forecast
- Dubai Debt Delays Revive Fear of Financial Crisis
- ING Prices Share Issue at Hefty Discount
Text Size 
Stocks rebounded Wednesday as Caterpillar led the Dow, automakers rallied and banks posted solid gains.
The Dow Jones Industrial Average and S&P 500 were up about half a percent, while the tech-heavy Nasdaq gained more than 1 percent amid anticipation of Apple earnings after the bell.
Stocks got off to a rocky start as investors digested the latest batch of earnings. This came after a rally Tuesday as investors cheered comments from Treasury Secretary Tim Geithner that most banks are well capitalized.
Caterpillar [CAT
Loading...
()
] was the Dow's biggest percentage gainer after JPMorgan raised its rating on the stock to "overweight."
And Boeing [BA
Loading...
()
] advanced after the aerospace giant beat earnings expectations.
Automakers rallied after the Obama administration said Tuesday it will make $5 billion available to General Motors and another $500 million for privately held Chrysler to help the companies get back on their feet.
Chrysler may be able to reduce its debts by offloading shares to some of its lenders. The troubled automaker’s first-lien lenders have offered to write off about 35 percent of the $7 billion owed in exchange for a stake in the company.
Shares of GM [GM
Loading...
()
] jumped about 5 percent, while Ford [F
Loading...
()
] gained more than 10 percent.
But credit worries continued to trouble the market after Capital One reported earnings that were worse than expected and said it was feeling the pressure of defaults.
Capital One [COF
Loading...
()
] shares fell more than 3 percent while Dow component American Express [AXP
Loading...
()
] lost more than 1 percent.
Wells Fargo [WFC
Loading...
()
] gained more than 1 percent after the bank reported record earnings of $3.05 billion.
Morgan Stanley [MS
Loading...
()
] skidded more than 5 percent as the investment bank said credit troubles hampered earnings. The company's loss of 57 cents a share badly missed expectations of an 8-cent loss, and it cut its dividend to 5 cents a share.
In other earnings news, Continental [CAL
Loading...
()
] and
Fellow Dow component AT&T [T
Loading...
()
] reported earnings of 53 cents a share, beating Wall Street expectations by a nickel.
Altria [MO
Loading...
()
] reported earnings of 39 cents per share that were about in line with expectations.
“The proof is in the pudding and that’s earnings … It’s pretty easy for these companies to look good because all the analysts are expecting the worst,” Jared Levy, senior derivatives strategist from Peak 6 Investments, told CNBC.
European shares got a boost from bank stocks in early trading, but the Asian market ended mixed as investors remained cautious.
This Week:
WEDNESDAY: Weekly crude inventories; Earnings from AT&T, Boeing, McDonald's, Morgan Stanley, Wells Fargo, Altria, Ingersoll-Rand, Kimberly-Clark, Apple, eBay, Qualcomm and Yum! Brands
THURSDAY: Weekly jobless claims; existing-home sales; Earnings from Conoco-Phillips, GlaxoSmithKline, Pepsi, UPS, Fifth Third, Marriott, PNC Financial, SunTrust, Union Pacific, US Air, Microsoft, Amazon, AmEx and Burlington Northern
FRIDAY: G-7 meeting in Washington; durable-goods orders; new-home sales; Earnings from 3M,Honeywell, Schlumberger and Xerox
Send comments to .
Print
Email
- What you need to know.
- Social enterprises are becoming a new asset class for the ethically-minded.
- Ever wished your cab driver would stop nattering and just get to where you're going? Well that moment is near(er).
- Bill Griffeth is taking a leave of absence from CNBC and Power Lunch for a year. Here's a message from Bill.
- More shoppers than ever plan to comparison-shop this season. Who will benefit?
- It may be the most unusual guide to business you'll read.
Data is a real-time snapshot *Data is delayed at least 15 minutes