Archive for Saturday, April 18, 2009

Wall Street extends rally

April 18, 2009

Advertisement

— Wall Street found enough in the latest earnings reports to keep its six-week rally alive.

Stocks ended another winning week with a slender advance Friday as earnings from Citigroup Inc. and General Electric Co. came in ahead of the market’s meager expectations.

The numbers weren’t great by normal standards but were good enough to extend a rally that began in early March on signs that the economy might be finding some stability. Citigroup was the fourth bank in a week with news that pointed toward a budding recovery in the industry. But the company, echoing comments from JPMorgan Chase & Co. on Thursday, also said loan losses are expected to continue in the months ahead.

Wall Street showed resilience in the first big week of first-quarter earnings reports, weathering disappointments from chip maker Intel Corp. and Google Inc. While investors weren’t happy with Friday’s news, they weren’t caving to uncertainty as they did the first two months of the year, when heavy selling brought the major indexes to 12-year lows.

“I think most people realize there are still causes for concern, but maybe not causes for panic,” said Carl Beck, a partner at Harris Financial Group, a Colonial Heights, Va.-based investment advisory firm.

The Dow Jones industrial average rose 5.90, or 0.1 percent, to 8,131.33 on Friday. The Standard & Poor’s 500 index added 4.30, or 0.5 percent, to 869.60, while the Nasdaq composite index rose 2.63, or 0.2 percent, to 1,673.07.

Comments

Godot 5 years, 11 months ago

"Stocks ended another winning week with a slender advance Friday as earnings from Citigroup Inc. and General Electric Co. came in ahead of the market’s meager expectations."

Shouldn't be hard to do when they received billions in free taxpayer dollars, plus borrowed billions from the Fed at zero percent, and then loaned the money for anywhere from 5% to 30%. Plus, they were allowed to cook their books to show assets at 100% of value that are essentially worthless, thanks to the Obama administration's repeal of mark to market accounting.

This is a great opportunity for people who bought those bank stocks when they were trading at their true value of $1 or $2 to sell and make a killing.

Commenting has been disabled for this item.