Buffett’s Giant Gamble, Lawmakers Cripple Bernanke, Stocks Mixed
The Oracle of Omaha, Warren Buffett, has bet big on the survival of the US financial system by investing $5 billion into Goldman Sachs indicating a high level of optimism. However, lawmakers are plotting against Federal Reserve chief Ben Bernanke’s plan to stabilize the banking system by infusing massive amounts of capital to sweep the banks books of bad debt. The markets experienced another erratic session, ending the day mixed with the DJIA falling -29.00 to 10825.17, the Nasdaq rising +2.35 to 2155.68 and the S&P 500 giving back -2.24 to 1185.98.
American International Group
(
AIG |
Quote |
Chart |
News |
PowerRating) fell hard 33.80% or $1.54 to $3.43/share on news that it will be forced to pay an unusually high interest rate of 8.5% on the entire $85 billion credit line, extended by the government, whether they use it or not.
Broadcom
(
BRCM |
Quote |
Chart |
News |
PowerRating) won a lawsuit against Qualcom for patent infringement. The stock reacted by rising 5.06% or 93 cents to $19.32/share.
Jos. Banks
(
JOSB |
Quote |
Chart |
News |
PowerRating) – The men’s suit maker fell 21.41% or $8.50 to $31.19/share after being downgraded by Matrix USA.
Natus Medical
(
BABY |
Quote |
Chart |
News |
PowerRating) fell 8.30% or $2.10 to $23.21/share as the maker of medical tests for infants was downgraded by Needham and company.
Gold fell $3.30 to $887.90/oz, Oil slipped $1.37 to $105.24 and the near term VIX index added .68% to 37.24.
| Market Snapshot | |||||||||||||
|
| Economic News |
||
|