April 9: Wells Fargo Sends Market Surging
Associated Press
Transcript
stocks have surged to their highest levels in two months after Wells Fargo surprised the market with an early profit prediction that blew past analyst expectations investors have been grasping at any sign of improvement in the crippled banking industry Wells Fargo delivered with an announcement that it expects first quarter earnings of $3 billion in economic news the total number of late off Americans receiving unemployment benefits Rose to more than 5.8 million the most on record since 1967 the Dow Jones Industrial Average Rose 246 points more than 3% to 8,083 broader stock indicators also Rose sharply the S&P 500 Index gained 31 to 857 and the NASDAQ added 62 to 1654 its highest finish of the year the jump in stocks comes at the end of a relatively quiet holiday week the markets are closed in observance of Good Friday Mark hamri the Associated Press
Obama Offers Way for Homeowners to Save Bucks
Associated Press
Transcript
the main message that we want to send today is there are 7 to9 million people across the country who right now could be taking advantage of lower mortgage rates uh that is money in their pocket uh and we estimate that uh the average family can get anywhere from $1,600 to $2,000 a year in savings by taking advantage of uh these various mortgage programs that have been in place we've already seen a substantial jump uh 88% uh increase in refinancings uh over the last month uh we've seen uh Fanny May refinance $77 billion uh of mortgages in March which is their highest uh volume in one month since 2003 and uh rates on 30-year mortgages have dropped to an all-time low of 4.78% so we are uh at a time where people can really take advantage of this and what we want to do is to uh send a message that if you are having problems with your mortgage and even if you're not and you just want to save some money uh you can go to making home affordable. goov makinghomeaffordable.gov and the way the website is designed you can plug in your information and immediately find out whether or not you are potentially eligible
Wall Street Gets Boost
CBS
Transcript
Wells Fargo's surprising profit sent investors stampeding back into bank stocks which ignited the r City group was up more than 12% JP Morgan Chase 19% and Wells Fargo and Bank of America more than 30% so go the banks so will go uh the economy and I guess to a certain degree so will go the stock markets reports that the major banks will pass the government's stress tests also rallied the markets but say the banks aren't out of the woods that some will need substantially more Capital to shore up their balance sheets we estimate the amount at about $3 trillion which is a massive amount of additional Capital because more losses are still ahead from the housing market which has yet to bottom and on auto loans home equity loans and credit cards a record number of consumers 4.2% are now delinquent at least 30 days while another 4% are in default actually it's across the board at almost every single uh loan category there have been difficulties and now small investors may be given the chance to help bail out the banks Just As Americans were encouraged to buy war bonds to support the troops investment managers are developing new mutual funds to buy up the bank's bad loans it will allow the public to participate I mean up until this point the public has been shut out from most of these programs Bill Gro says if the value of these risky bad loans improves it could be a big win for small investors because it allows Main Street to profit right alongside Wall Street For the First Time The White House reportedly is behind the effort to make sure ordinary investors also have a chance to profit from the taxpayer bailout Katie the Market's on a roll Anthony as you know the fifth straight week of gain so how much should we read into this well the markets are sensing that we're beginning to slow this free fall we've been in for the past 6 months remember to turn a car around you need to slow it down first same thing with the economy and we're seeing the first encouraging signs that our descent is beginning to decelerate all right good news Anthony Mason thank you Anthony