MAR 18, SELL Hold(-1000) NEW YORK (AP) -- Wall Street ended a temperamental session widely mixed Monday after investors grappled with JPMorgan Chase & Co.'s government-backed buyout of the stricken investment bank Bear Stearns & Co. The Dow Jones industrials recovered from an initially drop of nearly 200 points to finish up about 21 points. The broader Standard & Poor's 500 and Nasdaq composite indexes ended lower, as investors bailed out of investment banks and small-cap stocks and fled instead to large companies apt to be reliable during a weak economy. "You move to the defensive names in times of market uncertainty -- safer, consumer names," said Ryan Detrick, senior technical strategist at Schaeffer's Investment Research. The buyout of Bear Stearns was certainly more appealing than the alternative: letting the investment bank collapse and causing huge losses for anyone linked to it. And some unprecedented moves by the Federal Reserve gave investors a bit of solace on what many predicted would be a day of precipitous losses in the stock market. Besides supporting the buyout, the Fed lowered the rate it charges to loan directly to banks by a quarter-point on Sunday night -- two days before its scheduled meeting Tuesday. The central bank also set up a lending option for firms, including many non-bank financial services firms, to secure short-term loans for a broad range of collateral. The Fed appears to be pledging to do everything in its power to keep the credit crisis from decimating the financial industry and the economy. Policy makers at the central bank are expected to reduce the target fed funds rate -- the rate banks charge each other for overnight loans -- by at least a half-point on Tuesday, and perhaps even a full point. But the market remained extremely volatile. The sale of Bear Stearns -- at a minuscule $2.21 a share as of Monday's close, or a total of $260.5 million -- stirred fear among investors worldwide about other banks' exposure to the troubled credit markets.
MAR 18 SELL Hold(-1000) Last post should be MAR17, negative because only one indicator was negative and overweighted too much,... but I was very positive about the market, because today would be extremely rare case when WallStreet will fight for their own right of survival. This was not taken account into my model, perhaps will never. http://www.elitetrader.com/vb/showthread.php?s=&threadid=121642&perpage=6&pagenumber=2
IzzyfoShizzy 03-17-08 09:00 PM so are you guys saying that its too risky to go against it at this point and its probably a smarter decision to go long on it tomorrow? codedeep007 03-17-08 09:04 PM Tomorrow is the WS "Independence Day" codedeep007 03-17-08 09:06 PM WS has to fight for their right to live. They will run it up. IzzyfoShizzy 03-17-08 09:13 PM Quote from codedeep007: WS has to fight for their right to live. They will run it up. so not only should we buy LEH, we should buy basically everything in sight. codedeep007 03-17-08 09:33 PM
MAR 19 BUY @42.32 New (+1000) Gain +670 P/L since Start of Journal +1000 Stocks Decline After Huge Rally Wednesday March 19, 4:09 pm ET By Tim Paradis, AP Business Writer Wall Street Pulls Back After Big Rally; Morgan Stanley Beats Estimates, Reassures Investors NEW YORK (AP) -- Stocks have pulled back sharply, erasing most of Wall Street's day-old gains, as investors worry about whether commodity prices have risen too quickly. The pullback Wednesday comes after a huge rally Tuesday, and some retrenchment was to be expected. But the decline also reflects investors' continuing uneasiness about the world's financial system and the U.S. economy. The Dow has finished the day down about 293 points at the 12,099 level, according to preliminary calculations.
MAR 20 BUY Hold (+1000) Correct, this should be a weak buy. --------------------------------------------- Stocks Cap Volatile Week With Big Gains Thursday March 20, 4:30 pm ET By Tim Paradis, AP Business Writer Stocks Rebound From Sharp Sell-Off; Philadelphia-Area Manufacturing Reading Boosts Confidence NEW YORK (AP) -- Wall Street capped a volatile week with a big advance Thursday, rebounding from a steep sell-off as investors sought bargains and cheered a milder-than-expected drop in a regional manufacturing report. ADVERTISEMENT The Dow Jones industrial average rose about 260 points Thursday, giving the blue chips a gain of more than 3 percent for the week, while broader indexes finished the week with gains of 2 percent to 3 percent. The markets are closed for Good Friday. Besides the manufacturing reading from the Philadelphia Federal Reserve, a plunge in commodities prices gave investors some hope that lower energy and food prices might boost consumers' discretionary spending and ease inflation concerns. Crude oil fell, while gold prices declined sharply. Stocks had wobbled in the early going Thursday after the Labor Department said the number of newly laid off workers filing for unemployment benefits rose last week by a more-than-anticipated 22,000 to 378,000. That level is the highest in nearly two months. But Wall Street found reason to buy back into stocks when the Philadelphia Fed said manufacturing activity is dropping in March by less than it did in February, and by less than many economists anticipated. Investors appeared relieved about the report, but economic jitters are far from alleviated. On top of the disappointing jobless claims report, the Conference Board said Thursday that its index of leading economic indicators fell, as expected, for the fifth straight month in February. The markets are apt to stay volatile for some time, as investors digest news on the economy and the troubled financial sector. "It's the every-other-day theory -- up one day, and down the next," said Scott Brown, chief economist at Raymond James & Associates. According to preliminary calculations, the Dow rose 261.66, or 2.16 percent, to 12,361.32. Broader stock indicators also advanced. The Standard & Poor's 500 index rose 31.09, or 2.39 percent, to 1,329.51, and the Nasdaq composite index rose 48.15, or 2.18 percent, to 2,258.11. Bond prices rose Thursday. The yield on the benchmark 10-year Treasury note, which moves opposite its price, fell to 3.34 percent from 3.41 percent late Wednesday. Light, sweet crude fell 70 cents to settle at $101.84 on the New York Mercantile Exchange. Gold fell $33, or 3.5 percent, to $912.3 an ounce, while the dollar was mixed against other major currencies. Todd Salamone, director of trading for Schaeffer's Investment Research in Cincinnati, said investors appeared somewhat optimistic. "There's some belief out there that the worst is behind us, but that's not necessarily written in stone," he said. "You're getting a strong bid in financials and housing stocks -- sectors that have been the cause for the jitters." Shares in energy and metals companies were mixed. ConocoPhillips rose $1.22 to $74.83; Barrick Gold Corp. fell $3.25, or 7.2 percent, to $42; and Newmont Mining Corp. fell $2.75, or 5.6 percent, to $45.97. In earnings news, Nike Inc. reported late Wednesday a 30 percent gain in quarterly profit, signaling to Wall Street that some companies are faring well despite the credit crisis. Nike said sales overseas increased largely because of the weak dollar. Nike rose $5.44, or 8.8 percent, to $62.27.