Dow +130.43 (+1.0%)
Nasdaq +15.30 (+1.1%)
S&P 500 +42.97 (+1.8%)
News That Moved the Market
Nasdaq Leads Markets Higher. Stocks began the day mixed after Fed Ex (FDX, +0.1%) cut its outlook late Friday and MBIA (MBI, +4.5%) posted a larger loss than expected. Things brightened quickly, however, after MBIA said it has enough liquidity to last through the unstable economic environment and led financials higher. Later in the day, IT company Electronic Data Systems (EDS, +27.9%) jumped after news spread Hewlett-Packard (HPQ, -5.1%) was in serious negotiations to take it over. HP is expected to pay between $12- $13 billion for EDS. The buyout news pushed stocks higher later in the day, scaring off late day sellers who usually come out of hiding in the late parts of days like today. With less resistance, the Nasdaq rallied to a four-month high.
Clear Channel Rises. Clear Channel (CCU, +9.6%) announced it is in settlement talks with the banks that had agreed to fund its $19.4 billion deal with private equity companies Bain and Thomas H. Lee Partners. A trial between CCU and the banks was set to begin Monday, but was postponed so that the two sides could "continue settlement discussions that were recently initiated," Clear Channel reps announced.
Quick Tics: With the U.S. dollar showing some strength, crude fell $1.73 to $124.23/barrel...Research In Motion (RIMM, +6.9%) increased after introducing its new Blackberry Bold model...Ahead of its earnings tomorrow, Wal-Mart's (WMT, +1.5%) price target was raised from $57 to $67 at Citigroup.
Notable Earnings (Full List Here):
Wal-Mart (NYSE:WMT) Before Open
Applied Materials (NASDAQ:AMAT) After Close
Whole Foods (WFMI) After Close
8:20 AM: Federal Reserve Chairman Ben Bernanke Speaks
8:30 AM: Retail Sales
8:30 AM: Import and Export Prices
10:00 AM: Business Inventories