Closing Bell: survey says national home prices tumbled 7.7%

Countrywide Financial Corporation (NYSE: CFC) is on track for acquisition by Bank of America Corporation (NYSE: BAC) in the third quarter. Bank of America reported increased credit costs today as a result of the economic downturn and stated that the acquisition will alleviate the damage. Shares were up 3% at $4.93 at the end of the day.

Dell Inc. (NASDAQ: DELL) is rising today in the wake of the Hewlett-Packard Co. purchase of Electronic Data Systems Corp. for $13.9 billion in cash. Dell also announced a promo to encourage consumers to spend their tax rebates on personal computers. Shares were up 3% at $20.00 in the final minutes of the day.

Hewlett-Packard Company (NYSE: HPQ) announced the purchase of Electronic Data Systems Corporation (NYSE: EDS) for $25 per share for a total value of $13.9 billion in cash today. The combination will make the second-largest tech services provider behind International Business Machines Corporation (NYSE: IBM), whose shares were up almost 1% at $126.32 late in the day. Both Dell and Hewlett-Packard recently posted earnings that beat expectations. Hewlett shares were down more than 5% at $44.34 and EDS Shares were up 1% at $24.32 at the end of the day.

Sovereign Bancorp, Inc. (NYSE: SOV) was upgraded by Friedman Billings today after successfully raising $1.2 billion in a public common stock offering yesterday in its efforts to raise $1.5 billion to fortify itself in the economic uncertainty. Shares rose by more than 5% to $8.59 in the final minutes of the day.

Website Pros, Inc. (NASDAQ: WSPI) fell hard today after reporting earnings Tuesday evening. The company posted a net income of $0.6 million, the same as the first quarter in 2007, despite revenue growth of 88% and a non-GAAP operating income increase of 142%. Shares were down over 12% at $8.79 late in the day.