A solid U.S. jobs report – aided by some strong corporate earnings announcements – propelled stocks higher for the second-straight day
Federal Reserve System
Stocks End Their Record Run
After five straight gains, and four consecutive days of record closing highs, stocks took a beating and fell yesterday because of housing worries and fears the subprime crisis could spread.
Fed Chief Calls For Modest Growth, Slowing Inflation;No Rate Hikes, For Now
"The U.S. economy appears likely to expand at a moderate pace over the second half of 2007, with growth then strengthening a bit in 2008 to a rate close to the economy's underlying trend," Bernanke said
Never Trust an Investor With a Microscope
Anytime stocks are on a record run, and you sense that investors are searching a little too hard for the good news needed to keep the advance alive, it's probably a good time to start being a little cautious.
A Rise In Mortgage Applications Defies Higher Interest Rates; Subprime Woes Deepen
Though prognostications about the overall health of the U.S. housing market remain bleak, and interest rates have hit their highest level in nearly a year, the number of new mortgage applications unexpectedly grew last week
Inflation Still The Fed's Main Concern
Despite an abysmal housing market and a timid stock market, inflation remains the chief concern of Federal Reserve Chairman Ben S. Bernanke.
Bond Guru Calls For Interest Rate Cuts, But is it Déjà vu All Over Again?"
Bond guru William H. Gross believes the fallout from the subprime mortgage crisis will spread beyond the housing sector, inducing the Fed to cut interest rates.
Could China Trade Initiative Lead to Higher U.S. Interest Rates and Higher Stock Prices?
China is moving to tame its out-of-control trade surplus – China could end up with U.S. investors facing higher interest rates, those Fed-engineered rate increases won't necessarily send stocks into a nosedive.
Ethanol, Mileage Agreements Reached Despite Disagreements
The Senate last week approved a bill calling for a bigger use of ethanol, as well as the first boost in gas mileage requirements in several decades.