Stocks had another solid day of gains. If the last 4 days were all in one direction, the Dow would have had either a gain or loss of 1K. However, only 3 days including today were up. Out of the gate this morning, Dow shot up 200 & pretty much remained at that level for the rest of the trading session. Dow was up 187, advancers ahead of decliners 4-1 (down a little from midday) & NAZ was up an impressive 68. Buyers came roaring back encouraged by JP Morgan (JPM) raising the price to $10 per share it will pay for Bear Stearns (BSC). Markets always like to see buyers, better yet is when they raise buying prices. After trading higher, Bear Stearns pulled back closing at 9.38, as buyers were less optimistic about additional price increases in the buyout price. The FED's role in the change of terms remains unclear although it is likely they will not quibble.
The market was also encourage by housing numbers showing Feb sales rose along with a decline in selling prices. The bigger picture for housing says there is still 9+ months of stock which has to be sold eventually. Tiffany (TIF) reported excellent earnings sending the stock up 4.05. However the news was somewhat mixed. US business was soft while overseas business was strong, the same message we have been given by many other companies.
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