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How State Taxes Put a Bigger Pinch on the Poor
Traders today were again fighting mostly over whether the DJIA should trade above the 8,000 mark. But the good news was that the "Bad Bank" plan may be replaced with Uncle Sam acting as an "insurer of last resort," which would put a floor in values. Treasury Secretary Geithner also noted that the U.S. would be very aggressive in its stimulus and stabilization pact. This all sent shares higher late in the day despite the plan's massive cost. Housing data in pending home sales failed to nudge any opinion, as the gains were due to distressed selling. Today's unofficial closing bell levels:
DJIA: 8,078.36 +141.53 +1.78%
NASDAQ: 1,516.30 +21.87 +1.46%
S&P 500: 838.51 +13.07 +1.58%
52-Week Highs... we actually have some highs!
Top Analyst Upgrades & Downgrades
American International Group Inc. (NYSE: AIG) is reportedly set to sell its international asset management arm as part of its divestiture plan to pay back the government. Unfortunately, the thought prevails that it will have nothing left after it sells off assets. Shares were down 13% at $1.07 before the close.
Automatic Data Processing, Inc. (NYSE: ADP) showed that at least some business services are still holding up. The financial back-offices outsourcing giant beat earnings and managed to reaffirm 2009 earnings and revenue targets. Shares were up almost 6% at $38.79 before the close.
Harley-Davidson, Inc. (NYSE: HOG) rose sharply on word that none other than Warren Buffett bought a large portion of its $600 million unsecured bond offering today. Shares were up 16% at $13.78 right before the close.
Merck & Co., Inc. (NYSE: MRK) rose after the DJIA component and drug giant beat earnings estimates and reaffirmed a $3.15 to $3.30 EPS range in 2009. Despite some drug disappointments, Merck was up over 7% at $30.47 shortly before the close.
SanDisk Corp. (NASDAQ: SNDK) was back in the hot seat after the flash memory leader posted lower earnings and dismal guidance. Shares were down a sharp 25% at $8.46 shortly before the close today.
United Parcel Service, Inc. (NYSE: UPS) posted a come from behind win as shares rallied despite disappointment in earnings and very wide guidance, which was light at the mid-point. Shares were down early but rallied to where they were up 6% at $45.00 late in the day.
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Johnson & Johnson's Income Falls 23%
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Reader Comments (Page 1 of 1)
2-03-2009 @ 5:01PM
David W. Huston said...
So in other words, the taxpayers foot all of the bank and insurance company (hedge funds, too) bills for their toxic assets. What a boondoggle. Glad I don't have kids or grandkids who will be presented the bills for this mischief.