Stocks Rise As Credit Worries Continue
Wall Street found a foothold Monday as investors, still anxious that a credit crunch could crimp U.S. growth, took advantage of low prices after last week's steep losses. The Dow Jones industrial average briefly surged 100 points.
Some strong earnings reports and merger-and-acquisition activity boosted the stock market, which is coming off the Dow's and the Standard & Poor's 500 index's biggest weekly drops in five years. The Dow is down about 4.5 percent from its July 19 record close of 14,000.41, having caved under worries about a shakier lending climate.
In a sign that dealmaking hasn't yet been stanched by aversion to debt, industrial equipment manufacturer Ingersoll-Rand said it's selling its Bobcat earth-moving division and two other units to Korea's Doosan Infracore for $4.9 billion.
And despite rising defaults and delinquencies in mortgage lending, HSBC Holdings PLC, Europe's largest bank by market value, posted a 25 percent rise in first-half earnings. Also, General Motors Corp.'s GMAC Financial Services said second-quarter profit declined but that it expects its residential lending business to improve in the second half of the year.
The market initially wavered between positive and negative territory Monday, but then drove higher in afternoon trading as investors re-entered the market to scoop up bargains.
posted by Stock Administrator @ 2:56 PM
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Stocks Rise As Credit Worries Continue
Wall Street found a foothold Monday as investors, still anxious that a credit crunch could crimp U.S. growth, took advantage of low prices after last week's steep losses. The Dow Jones industrial average briefly surged 100 points.
Some strong earnings reports and merger-and-acquisition activity boosted the stock market, which is coming off the Dow's and the Standard & Poor's 500 index's biggest weekly drops in five years. The Dow is down about 4.5 percent from its July 19 record close of 14,000.41, having caved under worries about a shakier lending climate.
In a sign that dealmaking hasn't yet been stanched by aversion to debt, industrial equipment manufacturer Ingersoll-Rand said it's selling its Bobcat earth-moving division and two other units to Korea's Doosan Infracore for $4.9 billion.
And despite rising defaults and delinquencies in mortgage lending, HSBC Holdings PLC, Europe's largest bank by market value, posted a 25 percent rise in first-half earnings. Also, General Motors Corp.'s GMAC Financial Services said second-quarter profit declined but that it expects its residential lending business to improve in the second half of the year.
The market initially wavered between positive and negative territory Monday, but then drove higher in afternoon trading as investors re-entered the market to scoop up bargains.
Some strong earnings reports and merger-and-acquisition activity boosted the stock market, which is coming off the Dow's and the Standard & Poor's 500 index's biggest weekly drops in five years. The Dow is down about 4.5 percent from its July 19 record close of 14,000.41, having caved under worries about a shakier lending climate.
In a sign that dealmaking hasn't yet been stanched by aversion to debt, industrial equipment manufacturer Ingersoll-Rand said it's selling its Bobcat earth-moving division and two other units to Korea's Doosan Infracore for $4.9 billion.
And despite rising defaults and delinquencies in mortgage lending, HSBC Holdings PLC, Europe's largest bank by market value, posted a 25 percent rise in first-half earnings. Also, General Motors Corp.'s GMAC Financial Services said second-quarter profit declined but that it expects its residential lending business to improve in the second half of the year.
The market initially wavered between positive and negative territory Monday, but then drove higher in afternoon trading as investors re-entered the market to scoop up bargains.
posted by Stock Administrator @ 2:56 PM
0 Comments
