News That Moved Monday's Market

by: Roy Mehta

U.S. Markets

Dow -20.11 (-0.16%)
Nasdaq +1.47 (+0.06%)
S&P 500 -1.47 (-0.11%)

News That Moved the Market

Flat Day Despite Major Buyout. With a flurry of economic data and an FOMC meeting scheduled for later this week, Monday's trading will probably looked back upon as the quiet before the storm. The biggest news of the day was privately held Mars Inc. will purchase William Wrigley Jr. (WWY, +23.2%) for about $23 billion in cash. The $80/share buyout price will represent a 28% premium over Friday's close. Warren Buffet's Berkshire Hathaway (BRK.A, +1.3%) will finance $6.5 billion of the deal. Major indices traded higher for most of the day, but a late day sell-off brought their levels back to near even.

Kerkorian Increases Bet on Ford. Ford (F, +9.5%) shares continued to trade higher Monday, after Kirk Kerkorian's Tracinda Corp. announced it would pay $8.50/share for 20 million shares of the U.S. auto manufacturer. The move will boost Tracinda's stake in Ford to 5.6% from 4.7%. Ford surprised investors last week by announcing a profit last quarter.

Quick Tics: Verizon (VZ, +2.5%) had a strong day after announcing a 10% increase in profits, citing strength in the its cell phone unit…Crude traded at a record high of $119.93/barrel, but retreated to finish up 0.2% at $118.77….The S&P 500 did trade above 1400 for some time, but closed below the level to finish with a small loss.

Tomorrow


Notable Earnings (Full List Here):
Corning (NYSE:GLW) Before Open
Countrywide Financial Corporation (CFC) Before Open
Deutsche Bank (NYSE:DB) Before Open
Energizer, Inc. (NYSE:ENR) Time Not Supplied
Office Depot Inc. (NASDAQ:ODP) Before Open
Valero Energy Corp. (NYSE:VLO) Time Not Supplied

Economic Events:
FOMC Meeting Begins
10:00 AM: Consumer Confidence