Dow jumps 153 on Cisco earnings, Fed holds rates

CBS News

Transcript

[Music] stocks took off ignited by strong earnings news from Cisco Systems and some sweet talk from the Federal Reserve on Tuesday the FED left interest rates unchanged and said the credit crunch should not hurt economic growth the Dow raced ahead 153 points while the NASDAQ rocketed 51 finally some good news to report on the housing front mortgage applications Rose for the first time in 3 weeks as interest rates fell and the National Association of Realtors says while it does expect home sales to continue to slow this year home prices will drop far less than originally expected General Motors is shaving its sales forecast for this year because of the weaker housing market and higher gas prices Toyota and Ford have also recently trimmed their sales forecasts and a new Airline joined the crowded Skies today Virgin America took off from New York to San Francisco and Los Angeles it is the brainchild of billionaire Richard Branson who already owns Virgin Atlantic amenities include massage seats in first class and the ability to text message other passengers that's your money watch for the latest business headlines log on to cbsnews.com in New York I'm Alexis christofer

Fed holds rates, Dow rises 35; Apple unveils new iMac

CBS News

Transcript

not even the Federal Reserve could give Wall Street direction today the Dow song from a triple digit loss to a triple digit gain before settling closer to the flat line after the fed announced it was leaving interest rates unchanged the Dow finished 35 points higher while the nasdaq composite added 14 the fed left short-term rates at five and a quarter percent saying inflation is still the biggest danger to this economy despite the credit crunch and slumping housing market Apple unveiled its long-awaited updated imac just in time for the back-to-school shopping season the new computers sport thinner aluminum casings and offer bigger 20 or 24 inch screens the imax will run between 12 and 18 hundred dollars and good news for gamers the Xbox is getting cheaper after weeks of rumors microsoft announced its cutting the price of its popular video game console by 50 bucks starting tomorrow the xbox 360 will run $350 analysts say the move should help boost Xbox sales which are outpacing Sony's PlayStation 3 but lagged behind Nintendo's Wii that's your money watch log on to cbsnews.com for more in New York I'm Alexis christopher's