Wall Street has managed its second straight comeback, but the rebound was more a sign of the market’s turmoil than strength.
Stocks closed moderately higher on Friday after an erratic session that had investors tussling with concerns about the ongoing problems in the banking industry in response to more billion-dollar losses at Citigroup Inc and Bank of America Corp. Yet investors were also heartened by plans for both banks to restore themselves to profitability, and they were also willing to place bets on a range of consumer and industrial stocks.
“It’s that tug of war between problems and promise,” said Alan Gayle, senior investment strategist at RidgeWorth Investments. “I think there is a bit of a sigh of relief that there is assistance coming for Citi and Bank of America, but it seems like there is an ongoing need for this assistance.”
The companies’ fourth-quarter losses — Citi said it lost US$8.29 billion, while Bank of America lost US$2.39 billion — were reminders that the sagging economy was aggravating the problems that began with the mortgage crisis in 2007.
Amid the uncertainty about financials, investors were buying consumer stocks like Wal-Mart Stores Inc, McDonald’s Corp and Procter & Gamble Co. Some tech stocks were among the gainers, including Intel Inc and Microsoft Corp. After two weeks of selling, many stocks are looking much more attractive.
The Dow Jones industrial average rose 68.73 points, or 0.84 percent, to 8,281.22. The Standard & Poor’s 500 index rose 6.38, or 0.76 percent, to 850.12, while the NASDAQ composite index rose 17.49, or 1.16 percent, to 1,529.33.
AI REVOLUTION: The event is to take place from Wednesday to Friday at the Taipei Nangang Exhibition Center’s halls 1 and 2 and would feature more than 1,100 exhibitors Semicon Taiwan, an annual international semiconductor exhibition, would bring leaders from the world’s top technology firms to Taipei this year, the event organizer said. The CEO Summit is to feature nine global leaders from Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), ASE Technology Holding Co (ASE, 日月光投控), Applied Materials Inc, Google, Samsung Electronics Co, SK Hynix Inc, Microsoft Corp, Interuniversity Microelectronic Centre and Marvell Technology Group Ltd, SEMI said in a news release last week. The top executives would delve into how semiconductors are positioned as the driving force behind global technological innovation amid the artificial intelligence (AI) revolution, the organizer said. Among them,
When she was in fifth grade, Scarlett Goddard Strahan started to worry about getting wrinkles. By the time she turned 10, she and her friends were spending hours on ByteDance Ltd’s TikTok and Google’s YouTube watching influencers tout products for achieving today’s beauty aesthetic: a dewy, “glowy,” flawless complexion. Goddard Strahan developed an elaborate skin care routine with facial cleansers, mists, hydrating masks and moisturizers. One night, her skin began to burn intensely and erupted in blisters. Heavy use of adult-strength products had wreaked havoc on her skin. Months later, patches of tiny bumps remain on her face, and her cheeks turn
Intel Corp is working with investment bankers to help navigate the most difficult period in its 56-year history, people familiar with the matter said. The company is discussing various scenarios, including a split of its product design and manufacturing businesses, and which factory projects might potentially be scrapped, the people said, who asked not to be identified. Morgan Stanley and Goldman Sachs Group Inc, Intel’s longtime bankers, have been providing advice on the possibilities, which could also include potential mergers and acquisitions, the people said. The discussions have only grown more urgent since Intel delivered a grim earnings report, which sent the
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