August 20, 2007

the S&P 500 fell 0.0% to close at 1,446

2 news clips from this day

▶ Watch on the interactive crisis timeline

Fed discount rate cut holds markets; housing data ahead

CBS News

Transcript

[Music] it's back to work for investors after a much needed rest Following last week's turmoil on Wall Street we'll see if the turnaround that kicked off Friday can hold up or if more bad news about the credit crisis will bring back the Panic selling the Dow surging 233 points back above that key 13,000 level the NASDAQ Rising 53 points in Friday's session it was a surprise move by the FED that helped turn things around at week's end when the Central Bank announced it would cut its discount rate by half a point to 5 and 3/4 per. the discount rate is the interest that the FED charges Banks to borrow money investors are still hoping the FED will trim its more closely watched federal funds rate which affects what consumers pay on various types of loans like credit cards okay also on the radar this week the housing market Wall Street will see if the tight credit Market is keeping buyers away when we get the latest report on new home sales for July in other news soon investors won't be able to buy a piece of The Beatles Emi is going private next month the British music publisher whose roster includes the Beatles and Coldplay is being acquired by a private Equity Group for nearly $5 billion and that's your money watch log on to cbsnews.com for more at the New York Stock Exchange I'm Claire Leica

Dow gains 42 as Countrywide axes jobs; Mattel faces suit

CBS News

Transcript

[Music] a choppy day of trading on Wall Street as credit Jitters continue to haunt investors stocks did stage a late day comeback and managed to add to Friday's big gains the Dow climbed 42 points the NASDAQ Composite moved up three and a half the latest Fallout from the credit crunch Countrywide Financial the troubled mortgage lender has begun laying off some how many jobs are being cut and tell faces a class action lawsuit over its recent toy recall the lawyer who filed the suit says it's aimed at forcing the world's largest toy maker to pay for the testing of children who may have gotten lead poisoning from the toys which were made in China following its latest recall Mattel pledged to step up its testing methods to uncover dangerous toys before they reach store shelves and the slumping housing market is affecting the bottom line at Lowe's the nation's second largest Home Improvement chain said second quarter profits Rose 9% but lows cut its earnings outlook for the entire year because of slowing sales and that's your money watch click on cbsnews.com for more in New York I'm Alexis christopherus