Forex 3333 Investment

Best of all forex investment , Only 1 pip , Free Advertise too .
 
HomePortalFAQSearchRegisterMemberlistUsergroupsLog in
Trade Forex ,NASDAQ 100,Gold,Oil ,Other More

Trade Forex , CFD , major Stock Indices ,

NASDAQ 100, Gold ,Oil , Other More .

To Join Click Here

Free Advertise

Free Advertise Forum

Yahoo Groups

Google Groups

MSN Groups

Deposit Money Using Moneybookers

( IT  Free to Sign up )

Join this Forums

 

Free Adv & Investment

Free Advertise & Investment

 Investment

 Free Advertise

Latest topics
» Learn and earn in the easiest way with Penny Stock trading!
Wed Oct 14, 2015 5:59 pm by Grace Stearn

» Forex expositions by ShowFxWorld.
Thu Sep 03, 2015 4:06 pm by ShowFxWorld

» Reasons why this price action forex pin bar failed.
Fri Aug 31, 2012 1:23 pm by asiaforexmentor

» Which trend should I look? The long term or short term?
Sat Aug 25, 2012 3:45 pm by asiaforexmentor

» Psychology Of Forex Trading
Wed Aug 15, 2012 6:45 pm by asiaforexmentor

»  Forex Trading Strategies & System – 2nd Chance
Wed Aug 08, 2012 6:46 pm by asiaforexmentor

» Forex Trading Strategies – Fibonacci
Sat Aug 04, 2012 12:26 am by asiaforexmentor

» Forex Price Action – Why did one Price Action Pin work and not the other.
Mon Jul 16, 2012 5:29 pm by asiaforexmentor

» can u please tell me how to over come a situation like This?
Mon Jul 09, 2012 5:32 pm by asiaforexmentor

» Forex Trading Systems – Ping Pong Trade
Thu Jul 05, 2012 12:26 pm by asiaforexmentor

» Internet Marketing Made Easy
Fri Jun 22, 2012 12:33 pm by Joshua088

» Forex Trading Strategies – Its all about Boxes
Mon Jun 18, 2012 8:45 pm by asiaforexmentor

» The Super Power Forex Trading Secrets.
Mon Jun 11, 2012 3:18 pm by asiaforexmentor

» Should we or should we not take this trade?
Tue May 22, 2012 5:28 pm by asiaforexmentor

» How do you trade the news in forex trading?
Wed May 16, 2012 9:16 pm by asiaforexmentor

» Need a script for MT4
Tue May 15, 2012 6:49 pm by tarhun

» Forex Trading Psychology: Levels of FEAR
Mon May 07, 2012 2:48 pm by asiaforexmentor

» How to take this Price Action Pin Bar(Part 2)
Mon Apr 30, 2012 3:51 pm by asiaforexmentor

» How to take this Price Action Pin Bar(Part 1)
Mon Apr 23, 2012 5:26 pm by asiaforexmentor

» Forex Trading System – Damn i just missed this trade!
Tue Apr 17, 2012 3:40 pm by asiaforexmentor

» SOMETHING THAT I HAVE BEEN FOR YEARS IN FOREX TRADING.
Wed Apr 11, 2012 5:41 pm by asiaforexmentor

» How to be consistently profitable in forex trading.
Wed Apr 04, 2012 9:21 pm by luzfxtrader

» Forex Trading Is Like stacking a Pack of Cards.
Mon Mar 19, 2012 5:58 pm by asiaforexmentor

» How I Turned a Losing Trade to a Winning Trade.
Mon Mar 12, 2012 11:01 pm by asiaforexmentor

» Forex Breakout Strategy: Simple Trade, Simple Profits.
Mon Mar 05, 2012 11:47 pm by asiaforexmentor

» Learn FX Trading -> Your Forex Work Station.
Tue Feb 28, 2012 3:16 pm by asiaforexmentor

» MT4 account Copier
Wed Feb 22, 2012 9:33 pm by vic2

» Price Action Forex -Why Forex Trading is Easy with Price Action?
Mon Feb 20, 2012 9:01 pm by asiaforexmentor

» A CRAZY FOREX TRADE I TOOK RECENTLY – 950% GROWTH IN 2 WEEKS
Mon Feb 13, 2012 1:24 pm by asiaforexmentor

» Free Daily Price Action Forex Trading Strategies & System
Mon Feb 06, 2012 4:12 pm by asiaforexmentor

» Importance of stop loss placement in forex trading.
Tue Jan 31, 2012 12:53 pm by asiaforexmentor

» Free Daily Price Action Forex Trading Strategies & System From Asia Forex Mentor
Wed Jan 25, 2012 10:38 am by asiaforexmentor

» church or school fundraiser
Tue Jan 17, 2012 5:26 am by jclassified

»  FREE RECYCLING FOR PARTIES AND EVENTS!
Tue Jan 17, 2012 5:26 am by jclassified

» FREE RECYCLING SERVICE FOR PARTIES/EVENTS
Tue Jan 17, 2012 5:26 am by jclassified

» Let’s Make Year 2012 a Great Year.
Mon Jan 16, 2012 1:21 pm by asiaforexmentor

» WHAT IS CONFLUENCE IN FOREX TRADING?
Tue Jan 10, 2012 11:28 am by asiaforexmentor

» Risk Management in Forex Trading.
Tue Dec 27, 2011 4:50 pm by asiaforexmentor

» What’s your winning probability?
Mon Dec 19, 2011 5:49 pm by asiaforexmentor

» What’s the currency you hold in your forex broker account?
Mon Dec 12, 2011 4:00 pm by asiaforexmentor

» Professional Forex Trading Strategies.
Wed Dec 07, 2011 4:34 pm by asiaforexmentor

» about forex
Tue Nov 29, 2011 3:20 am by shasha2222

» Forex News Trading – Why should you NOT trade this!
Mon Nov 28, 2011 6:28 pm by asiaforexmentor

» What is Price action?
Mon Nov 21, 2011 1:03 pm by asiaforexmentor

» What can we expect for the EUR and the USD?
Tue Nov 15, 2011 7:08 pm by asiaforexmentor

» AGGRESSIVE TRADING PSYCHOLOGY IN FOREX MARKET!
Tue Nov 08, 2011 12:22 pm by asiaforexmentor

» Online Forex Trading: Are You A Lion or a Cub?
Tue Nov 01, 2011 12:33 am by asiaforexmentor

» Whats your Risk percentage per trade?
Mon Oct 24, 2011 3:58 pm by asiaforexmentor

» WHY you should NEVER Trade Live without learning a Proper Forex Course
Mon Oct 17, 2011 2:48 pm by asiaforexmentor

» Forex Breakout: Why are they so profitable?
Thu Oct 06, 2011 3:20 pm by asiaforexmentor

Search
 
 

Display results as :
 
Rechercher Advanced Search

Share | 
 

 U.S. Stocks Advance Most in Five Years on Fed's Liquidity Plans

View previous topic View next topic Go down 
AuthorMessage
christinetank31

avatar

Female Number of posts : 7
Registration date : 2008-03-08

PostSubject: U.S. Stocks Advance Most in Five Years on Fed's Liquidity Plans   Wed Mar 12, 2008 7:34 am

By Eric Martin



March 11 (Bloomberg) -- U.S. stocks rallied the most in five years after the Federal Reserve said it will pump $200 billion into the financial system to shore up banks battered by mortgage- related losses.
Citigroup Inc., Bank of America Corp. and Fannie Mae led the Standard & Poor's 500 Financials Index to its biggest gain in eight years on expectations the Fed's move will spur lending. Washington Mutual Inc. climbed the most since 2000 on speculation the largest savings and loan will get a cash infusion from an outside investor. All 10 industry groups in the S&P 500 rose except for health-care companies, which fell after WellPoint Inc. cut its earnings forecast.
The S&P 500 added 47.28 points, or 3.7 percent, to 1,320.65, climbing the most since October 2002 and trimming its decline for the year to 10 percent. The Dow Jones Industrial Average surged 416.66, or 3.6 percent, to 12,156.81. The Nasdaq Composite Index increased 86.42, or 4 percent, to 2,255.76. Almost 11 stocks gained for every one that fell on the New York Stock Exchange.
``It's like they're putting jumper cables onto a battery to kick-start the credit market,'' said Nick Raich, who helps manage $34 billion at National City Private Client Group in Cleveland. ``They're doing their best to try to restore confidence.''
The S&P 500 rebounded from the lowest level since August 2006 as 479 of its members advanced. Yields on two-year Treasury notes gained the most since March 1996, as the Fed's move to relieve the credit crisis prompted investors to dump holdings of government debt. The dollar rose the most in six months against the yen and rebounded from a record low versus the euro.
Citigroup Rises
Citigroup, the largest U.S. bank, rallied $1.80 to $21.49. Bank of America, the second-biggest, climbed $2.41 to $37.72.
Financial shares in the S&P 500 gained 7.4 percent as a group and rebounded from the lowest level since May 2003.
Fannie Mae, the biggest provider of financing for U.S. mortgages, added $2.19 to $22. Freddie Mac, the second-largest, rose $2.77 to $20.16. Countrywide Financial Corp., the biggest U.S. mortgage lender, climbed 75 cents to $5.11.
Washington Mutual added $1.84, or 18 percent, to $11.88.
``A potential capital infusion by Warren Buffett and Goldman Sachs is the rumor,'' said Mike Capitani, head of equity trading at Caris & Co. in New York. ``Buffett's always looking for a bottom on things, and he's flush with cash.''
Michael DuVally, a Goldman Sachs Group Inc. spokesman in New York, declined to comment. Jackie Wilson, a spokeswoman for Buffett's Berkshire Hathaway Inc., also wouldn't comment. A call and e-mail to Washington Mutual spokesman Derek Aney weren't returned.
Fed's Plan
The Fed said it plans to lend Treasuries in exchange for mortgage-backed securities and other debt that has plunged in value as homeowners defaulted on their payments. Banks around the world have posted $188 billion in writedowns and credit losses stemming from the collapse of the subprime-mortgage market. The S&P 500 Financials Index had lost 20 percent this year through yesterday.
By lending Treasuries in exchange for mortgage-backed securities, the Fed will allow banks to switch debt that is less liquid for bonds that are easily tradable. Fed officials anticipate the so-called primary dealers that trade directly with the central bank, including Goldman, Bear Stearns Cos. and Merrill Lynch & Co., will lend the Treasuries on to other firms in return for cash, helping the dealers shore up their balance sheets.
Fed officials told reporters on condition of anonymity that the program may be increased as needed. The move may also allow the central bank to cut interest rates less drastically than previously expected, leading to lower inflation.
Rate Bets
Traders reduced bets on a 0.75 percentage point cut in the Fed's benchmark rate by March 18, according to Fed funds futures. They priced in 62 percent odds of a reduction of that size, down from 86 percent odds yesterday. The rest of the bets are for a half-point cut in the rate, which is currently 3 percent.
Previous easing by the Fed failed to boost stocks. Since the Fed first addressed credit losses by cutting its discount rate by half a percentage point on Aug. 17, the S&P 500 has fallen 6.4 percent.
The central bank subsequently lowered the federal funds rate at which banks led to each other from a five-year high of 5.25 percent to 3 percent in five steps, including its first rate cut between scheduled meetings since 2001 on Jan. 22. The discount rate at which banks can borrow from the Fed declined to 3.5 percent from 6.25 percent.
`Something Else'
``The Fed needed to do something else, because the rate declines and expectations of future rate declines really weren't having any positive impact at all,'' James Paulsen, the Minneapolis-based chief investment strategist at Wells Capital Management, which oversees about $220 billion, said in an interview with Bloomberg Television. ``You have to applaud them for coming up creatively with a way that gets more at the center of this crisis.''
Bear Stearns rose 67 cents to $62.97 after a person close to investor Joseph Lewis, the company's second-largest shareholder, said he may add to his holdings. Bear Stearns, the second-biggest underwriter of U.S. mortgage-backed securities, erased an earlier decline of as much as 11 percent that was spurred by speculation the company lacks sufficient access to capital.
Bear Stearns said there is ``absolutely no truth to the rumors of liquidity problems,'' and Chief Executive Officer Alan Schwartz said company finances ``remain strong.'' The firm will probably have $1.9 billion more writedowns in the first half, Deutsche Bank AG estimated in a report.
Most Since 2002
Exxon Mobil Corp. rallied $4.22, or 5.1 percent, to $86.68 for its biggest gain since October 2002. Energy shares in the S&P 500 rose 4.6 percent as a group. Gasoline pump prices in the U.S. climbed to an all-time high of $3.227 a gallon and may reach $4 before summer because of record crude-oil prices, AAA said.
Nucor Corp. surged $4.12, or 6.5 percent, to $67.42. That sent raw-materials producers in the S&P 500 to a 6 percent advance, the most since July 2002. Nucor said it may ``significantly'' boost exports this year as overseas demand rises and a weaker dollar increases the attractiveness of U.S. supplies.
Weyerhaeuser Co., the largest U.S. lumber producer, climbed $2.81 to $61.80 after UBS AG raised its recommendation on the stock to ``buy'' from ``neutral,'' saying risk from the housing slump is ``starting to be priced in as market expectations have become more realistic.''
Trade Deficit
Stocks also rose after the Commerce Department reported the January U.S. trade deficit was smaller than forecast. The gap grew 0.6 percent to $58.2 billion, the Commerce Department said. Exports increased 1.6 percent to the highest level ever.
Texas Instruments Inc. lost 89 cents to $28.76. The second- biggest maker of chips that run mobile phones cut its sales and profit forecasts because of slowing handset demand.
Health-care companies in the S&P 500 lost 0.2 percent as a group. WellPoint fell the most ever, dropping $18.66, or 28 percent, to $47.26 after cutting its 2008 profit forecast and saying weakness in the U.S. economy has limited enrollment gains.
Six analysts downgraded WellPoint. Bear Stearns and Goldman Sachs cut share-price estimates for rivals and lowered the industry's rating.
Aetna Inc., the third-largest U.S. health insurer, declined $3.86 to $42.65. Humana Inc., the fourth-biggest, lost $15.32 to $47.38.
The S&P 500 Managed Health Care Index of six companies dropped the most since Aug. 6, 1998, when a $900 million charge by UnitedHealth Group Inc. derailed its plans to buy Humana.
Economic Survey
The economic slowdown in the U.S. will be deeper and the recovery weaker than previously forecast, according to a Bloomberg News monthly survey. The world's largest economy will grow at an annual rate of 0.3 percent from January through June, a half point less than projected in February, according to the median estimate of 62 economists polled from March 3 to March 10.
The Russell 2000 Index, a benchmark for companies with a median market value 96 percent less than the S&P 500's, climbed 4.6 percent for the biggest rally since July 2002. The Dow Jones Wilshire 5000 Index, the broadest measure of U.S. shares, rose 3.6 percent to 13,286.61. Based on its advance, the value of stocks increased by $580.1 billion.
To contact the reporter on this story: Eric Martin in New York at emartin21@bloomberg.net.
Back to top Go down
View user profile
 
U.S. Stocks Advance Most in Five Years on Fed's Liquidity Plans
View previous topic View next topic Back to top 
Page 1 of 1
 Similar topics
-
» Make big gains through short term investments.
» What are the best stocks to buy for V.Long time?(10-20 years or more)
» Greek Stocks Plummet To 20-Year Lows
» Which are the best stocks to invest in at curent market situ????
» What are the BLUE CHIP Stocks?

Permissions in this forum:You cannot reply to topics in this forum
Forex 3333 Investment :: Free Advertise :: Free Advertise Forum-
Jump to: