The market review for April 21

Bidding on the U.S. stock market on Tuesday, April 20, began on an optimistic note. An important macroeconomic statistics have been issued, and investors focused on the financial results of leading companies. A report on Tuesday was quite a lot and almost all of them were strong. Support was also provided by the grown due to reports of some restoration of activity airlines oil prices. Against this backdrop, the U.S. stock market was able to continue the initiated before the rebound up and practically fully regain the loss last Friday.

As a result of trading on April 20 the Dow Jones index rose by 25.01 points (0.23%) – up to 11,117.06 points, NASDAQ – by 20,2 points (0.81%) – up to 2,500.31 points, S & P – by 9.65 points (0.81%) – up to 1,207.17 points.

Net profit of one of the largest financial corporations in the U.S. Goldman Sachs Group Inc. In I quarter 2009-2010 financial year, which ended March 31 increased by 2 times and amounted to 3.3 billion dollars or 5.59 dollars per share, which was above market expectations (4.14 dollars per share). Not bad reported and the oldest U.S. bank to The Bank of New York Mellon Corp., Net profit is in the I quarter of 2010. increased by 73,6% – to 559 million dollars (49 cents per share) against 322 million dollars during the same period a year earlier. Net interest income of Bank of New York Mellon fell by 1,3% – to 765 million dollars, however, these two branches of the bank were outsiders in the auction on April 20: Goldman Sachs has lost 2,09% of the capitalization, and The Bank of New York added only 0,03%. Other representatives of the banking sector were in demand: Paper JPMorgan Chase & Co. went up by 1,08%, Bank of America Corp. – On 1,2%, Wells Fargo & Co. – On 2,03%, Citigroup Inc. – On 1,84%, US Bancorp – on 2,17%, PNC Financial Services Group Inc. – On 2,24%.
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Case Goldman Sachs may be just the tip of the iceberg

The current investigation of the case against Goldman Sachs Group about fraud when trading collateralized debt obligations (CDO), may be just the tip of the iceberg and the beginning of serious problems for the banks on Wall Street, reports Reuters.

Investigation of an Internet portal ProPublica, concerning the game of the Chicago hedge fund Magnetar against CDO in 2007, has already led to accusations of conflict of interest with respect to Deutsche Bank, Merrill and JPMorgan Chase. Commission on Securities and Exchange (SEC) said it will seriously consider all such cases.

In relation to the Goldman Sachs, then there are several possible scenarios. First, the bank’s management is likely to prefer to pay a fine, even a few hundred million dollars, rather than allow a long-term investigation, which will seriously damage the reputation of the company.

On the other hand, the authorities, given the politically charged case, the desire to show the public that all are equal before the law, can not agree to a quick settlement. Furthermore, in this case, Goldman will have to face numerous lawsuits from affected investors, consideration of which will drag on for years.

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SEC Sues Goldman Sachs, Alleging Fraud in CDO Tied to Subprime

The U.S. Securities and Exchange Commission today sued Goldman Sachs Group Inc., accusing the company and one of its vice presidents of defrauding investors by misstating and omitting key facts about a financial product tied to subprime mortgages.

Goldman Sachs Follow Up: SEC charged Goldman, Sachs & Co. and one of its vice presidents for defrauding investors by misstating and omitting key facts about a financial product tied to subprime mortgages

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The market review for March 18

Technical Perspective: The upside momentum has been very impressive over the last month — S&P 500 higher 12 of last 14 sessions, up 7.7% off late-February low (1086); higher 21 of last 28 sessions, up 12% off February low (1044.50). While this kind of run has created an extended technical posture with some upper tails (NASDAQ 100/QQQQ possible inverted hammer/shooting star), the minor seven point afternoon dip in the S&P inflicted no damage. A failure to take out the high (1169.84), along with a breach and close under the low (1160), would be needed to argue for further short-term corrective trade. Resistance above the high is at 1172/1173, with a secondary zone at 1175/1177. Initial resistance under the low is at 1157, followed by the 1153/1150 area.

CALENDARS
Key economic data:
-Initial Jobless Claims for the week ended March 13 (consensus 455,000; prior 462,000) and Continuing Claims for the week ended March 6 (consensus 4.522 mln; prior 4.558 mln) at 8:30 a.m. ET
-February CPI m/m (consensus 0.1%; prior 0.2%) and y/y (consensus 2.3%; prior 2.6%) at 8:30 a.m. ET
-February core CPI, which excludes food and energy, m/m (consensus 0.1%; prior -0.1%) and y/y (consensus 1.4%; prior 1.6%) at 8:30 a.m. ET
-Q4 2009 Current Account Balance at 8:30 a.m. ET (consensus -$119.0 bln; -$108.0 bln)
-March Philadelphia Fed business outlook survey at 10:00 a.m. ET (consensus 18.0; prior 17.6)
-February Leading Indicators at 10:00 a.m. ET (consensus 0.1%; prior 0.3%)
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The market review for January 13

Stock trades in the United States ended on Tuesday, January 12, the decline in the leading index on the background of disappointing corporate news. In addition, investors without much enthusiasm by the report on China’s central bank increased reserve requirements for banks by 0.5 percentage points – Up to 15%, which limits the possibility of monetary growth.

Not live up to expectations in the financial report of the largest U.S. aluminum producer Alcoa Inc. Reported net loss for the Alcoa 2009. amounted to 1.15 billion dollars compared with 74 million dollars for 2008. In IV quarter of 2009. net losses reached 277 million dollars (0.28 dollars per share). The experts predicted that the company is up to the last year will make a profit. Publication of statements led to the fall of quotations Alcoa’s 11.1%. In the red zone ended the day and for other steel companies, including copper producer Freeport-McMoRan Copper & Gold Inc. (-3.8%) And gold mining company Barrick Gold (-3,2%). The financial sector also had the session fails. As a result of trading shares of banks Bank of America and Goldman Sachs Group Inc. fell 3,4% and 2,2% respectively.
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The market review for December, 1st

Stock trades in the U.S. ended on 30 November 2009. increase in the leading index, as concerns about the negative impact of credit problems in Dubai on the world economy began to weaken. Statement by the UAE Government’s intention to support its banks contributed to the growth of quotations of the financial sector companies. Restraining influence on the market has had a record of the National Federation of the U.S. retailers, according to which, sales of retail chains over the past holiday weekend proved to be less than last year’s figures for the same period.

Against this background, on the basis of trades declined quotations retail sector companies, including shares of the world’s largest retailer Wal-Mart Stores Inc. (-0.2%) And securities of a smaller rival Target Corp (-2,4%).

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The market review for November, 24st

Stock trades in the U.S. on November 23 leading indexes closed higher on the background of macroeconomic statistics. With optimism investors viewed the data of the National Association of realtors on the number of sales of houses in the secondary market in the U.S. in October 2009. That exceeded expectations. Annual volume (for the last 12 months) sales of houses on the secondary housing market in the United States in October 2009. annualized seasonally adjusted grew by 10,1% and amounted to 6.1 million units. Analysts expect that figure for the past month was 5.7 million units. In addition, the market rumors that the Federal Reserve System (FRS), the U.S. intends in the near term to keep the discount rate at a record low level, which contributes to the positive sentiment among investors.

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The market review for October, 22st

Stock trades in the U.S. on October 21 closed reduction of the leading indexes. Throughout the trading session continued positive trend, but closer to the end of the trading, market participants reacted negatively to the decline analysts Bove of Rochdale Securities recommendations on the shares of the largest U.S. mortgage bank Wells Fargo to “sell.” Against this backdrop, shares of Wells Fargo on the basis of trades fell 5.1%, reducing the quotations of the financial sector. In particular, 3% and 2.9% respectively on the basis of trades cheaper bank shares JPMorgan Chase & Co. and Bank of America Corp., and securities Goldman Sachs Group Inc. fell 3.1%. At the same time against the backdrop of favorable financial report on 4,8% in the auction the bank’s shares have risen in price Morgan Stanley. According to the report, net profit Morgan Stanley in the III quarter of fiscal year 2009 totaled 498 million dollars compared with 1.26 billion dollars net loss obtained for the same period a year earlier. Consolidated net revenues for quarter reached 8.68 billion dollars and 60% surpassed that of 2008. Recorded at around 5.4 billion dollars read more

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The market review for October, 8st

Stock trades in the U.S. on October 7 2009. closed countervailing changes in the leading indices. Noticeably on the basis of bidding companies’ shares have risen in price of the financial sector, helped by increased recommendations on the part of analysts. Thus, securities Bank of America Corp. increased in price by bidding up by 2,1%, after analysts at Wells Fargo raised recommendations on the “at market” to “above market”. In addition, due to the increased rate of 1,9% in the bank’s shares have risen in price trading Goldman Sachs Group Inc., Securities and JPMorgan Chase & Co. added to the price of 1,8%. At 2.1% in the bidding rose quotes bank Wells Fargo & Co. read more

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The market review for October, 7st

Stock trades in the United States were closed on October 6 growth of leading indexes against the backdrop of rising prices for metals and oil. Shares in the country’s largest aluminum producer Alcoa Inc., Which will soon publish its financial report for the III quarter of 2009., Went up by 3,5%. Securities of the country’s largest gold mining company Newmont Mining Corp. up to the bidding went up by 7%. Furthermore, increased by 3,4% in the price of shares of the world’s largest mededobyvayuschey company Freeport-McMoRan Copper & Gold Inc.  read more

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