The Deal
Monday, November 23, 
3:17 pm

Market explodes on expectations of rate reduction

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Merrill_Lynch_Bull.jpgFor one day, the market looked like the 90-pound weakling that took a shot of steroids. The Dow ballooned to its second-largest one-day increase ever by gaining 889.35, or 10.88%, to 9,065.12, and the Nasdaq jumped 143.57, or 9.53%, to 1,649.47 following expectations that policymakers will cut short-term interest rates. Meanwhile, dealmakers were also giddy on prospects of a rate decrease as a few transactions came to fruition.

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Also on Dealscape

CenturyTel Inc. jumped 8.55% as it agreed to acquire Embarq Corp. on Monday in a $11.6 billion deal. Fitch Ratings gave its seal of approval Tuesday on the deal, affirming CenturyTel's and Embarq's issuer credit ratings at BBB-.

Meanwhile, battered REIT General Growth Properties jumped more than 72% following Monday's news that it would make plans to unload some of its Las Vegas properties.

Lastly, insurers jumped, with MetLife Inc. gaining 15.5%, Prudential Financial Inc. 13% and CNA Financial Corp. 14%, because they are in discussions with the U.S. government for receiving a capital infusion. - Gerald Magpily





Comments

From: rstim,

Pay attention to the blogger below folks. He was the reason I got in, and I banked my profits. It feels good to be up 15% on my retirement account in two days.


"
Spring on right side of wall street
fall on the other. Be on the right side (spring side).

http://www.marketwarnings.com/2008/10/spring-on-right-side-of-wall-street.html


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