Skip to comments.Bernanke Helps Stocks Snap Back (Dow up 205 at time of post)
Posted on 02/24/2009 12:05:50 PM PST by SonOfDarkSkies
Stocks recouped a healthy portion of the market's heavy losses from the previous session Tuesday after the Federal Reserve chairman talked down the idea of nationalizing top lenders.
The Dow Jones Industrial Average, which slid nearly 251 points on Monday, was recently up about 185 points, trading around 7300. The S&P 5000 climbed 3.3% to about 768, boosted by a 10% surge in its financial sector. The Dow and the S&P are coming off their lowest closes in more than 11 years.
The banking sector rally picked up steam after Federal Reserve Chairman Ben Bernanke said that nationalization of major U.S. banks isn't needed to ensure their viability. "I don't see any reason to destroy the franchise value or to create the huge legal uncertainties of trying to formally nationalize a bank when that just isn't necessary," Mr. Bernanke told the Senate Banking Committee.
Citigroup and Bank of America, which saw their shares pummeled last week amid speculation about possible government takeovers, gained more than 10% in recent trade and helped to spark the broad rally in the financial sector. J.P. Morgan Chase, which said Monday it would cut its dividend 87% to preserve capital, saw its shares rise about 5% in recent trading.
(Excerpt) Read more at online.wsj.com ...
For Bernanke’s next trick he is going to pull a rabbit out of his hat.
They will lose all of that and more tomorrow after we have our “Crisis Pep Talk” tonight.
I’m glad to see the market going up. I’d like to see it continue.
Obama should cancel his speech tonight.
Enjoy the brief rally.
"No doubt about it. I need another hat!"
Where’s the 2 trillion Ben?
Style over substance plus a Plunge Protection Team.
Yeah, everything’s just fine now that this guy pulled it out of his arse that the recession ‘might’ end next year.
I guess that US businesses will be so thrilled with caps on CO2 that they’ll be spurred to risk their money on investments. Or maybe the card-check that unionizes the whole damn country in one shot is what they’re hoping for.
Ohhh! I know! It’s the evil Bush tax cuts expiring that are making the outlook look just so rosy...
Bernanke is a joke and the idiots on Wall Street with their sucker’s rally aren’t much better.
So, let’s all celebrate because the market goes up 200 points today only to go down 400 points tomorrow. W00 H00!
He should, although I have to miss it. There's something on the Food Network I have to watch. Something about what to do with moldy cheese.
Up 225.8 at 3:12p EST
So, I guess he'll try to do it informally at first, then when there's nothing left to lose, just state it outright.
LOL. I didn’t say I’d be watching it. In fact, I haven’t watched an Obama speech since he won the Rat nomination. He is too much of a snakeoil salesman. He makes even me, a conservative and patriot, want to believe. ACKKKKK! I can’t believe I admitted that. Fortunately, I don’t have a void in need of filling.
Anyway, that is what makes him so dang creepy...and dangerous! Tonight he will be back on his “YES WE CAN” tour.
They are worse than a joke. They are cowards. Instead of asking themselves to sacrifice by cutting any kind of spending they are making us pay for their foibles.
I absolutely despise this administration. They are true enemies of the Constitution and the United States.
OK, so during tonight’s speech by Mr. Obama, how many times do you think he will use the word “inherited?”
After all, none of this is HIS fault, after all, is it?
Don't feel bad. I tend to start succumbing and then I realize what's happening. It's not our fault. We were raised to believe that there is good in all of us but Obama tests that all the time. Even I WANT him to be righteous but in my heart I know he isn't. It's tough to reconcile that.
La rebota del gato muerto.
Is it Bernanke, or are we going to see some folks covering their shorts tomorrow?
Probably, but I hope not. As much as I delight in Obama's failure, I would prefer to see some improvement in the economy and the market.
Bernanke is a joke!
Bernanke said nothing...
“The banking system is going to flounder like a fish out of water for quite some time.”
Funny thing is Bernake basically said no nationalization (at least in a sense), and the market responded. Then I heard Brian Williams in a report on CNBC...he had just come out of a White House meeting and he was saying the WH refused to rule out nationalization. Could get interesting.
He actually said something positive. That is what the market is looking for not Mr. Doom and Gloom.
Obumbler will take care of that tonight.
Great chart! Thx!
Bernanke lures in Sucker Rally
Check out this silver.
This whole rally is retarded......
Shouldn't he be washing his hair or vacationing in Majorca or something like that?
Typical lately. Buy the rumor, sell the news. They’ll give it all back tomorrow. This is pro traders making money off of volatility.
NOTE TO SELF: read bloomb later.
thanks for the info redhd2
This TWO TRILLION in undocumented “loans” occurred before Sep 14th and did NOT include the $825 Billion TARP???
The supposed one day run on cash for up to $550 BILLION BEGAN ON SEP 15th?
WTH is going on???? It sounds like the USA is being blackmailed- by whom, why, for what
No news story about this???????
I’ve been thinking about this all day. I think Denninger blew the lid off the Fed’s lack of accountability. (Sorry for posting this link again today but I think it applies here as well).
It looks like our foreign creditors have been increasingly worried about our ability to repay. The TARPs and bailouts are the way Fed and Treasury can funnel money to these investors allowing them to keep their investments in US debt and more importantly, invest more - only this time with our money.
Where was Hillary this weekend?
she supposedly left China enroute home on the 22d
Bamsters speech tonight should reflect what she and the Chinese agreed to regarding purchasing more of our debt