Stocks end week lower despite Friday’s rally

Stocks rebounded Friday after four days of heavy losses but still ended the week substantially lower in what analysts agree has become a full-fledged market correction.

The question on investors’ minds was whether Friday’s rebound, after a four-day loss of 467.17 in the Dow Jones industrial average, was an isolated blip or marked an end to the sell-off.

“We’ve had the 5 percent correction that everybody’s been waiting for, and the market’s way oversold now,” said Michael Murphy, head trader at Wachovia Securities. “But is what we’re seeing going to be a big bounce or a small bounce? That’ll be the big test.”

Friday’s gains did little to offset the losses of the previous four days. For the week, the Dow lost 355.47, or 3.4 percent, the worst week for the Dow since late March 2003. The Nasdaq fell 62.90, or 3.1 percent, and the S&P 500 lost 36.30, or 3.1 percent. All three indexes finished down for the year for the first time.

Above, broker Daniel Lomeli made a call Friday from the trading floor at the New York Stock Exchange.

Telecommunications

Sprint’s $6M in deposits part of minority pledge

Sprint Corp. has deposited $6 million with two financial firms as part of the company’s newly-launched effort to expand its relationships with minority-owned institutions.

The Overland Park, Kan.-based telecommunications company deposited $1 million with Douglass National Bank in Kansas City and invested $5 million with Williams Capital Liquid Assets Fund, which is managed by New York-based Williams Capital Management Trust.

The moves comes after Sprint chairman and chief executive Gary Forsee laid out a plan last week to build relationships with minority-owned institutions in Kansas City and elsewhere.

Douglass Bank chief executive Lester Johnson said Sprint’s deposit would allow the bank to continue making affordable-housing and small-business loans in distressed areas.