Markets were generally about even, except for technology which dragged down Nazdaq. Dow was up 50, advancers slightly ahead of decliners but NAZ pulled back almost 30 (1.4%) on disappointing earnings reports by Google (GOOG) & Microsoft (MSFT), a Dow stock. Volume on NYSE was 1.6B, good but nothing to get excited about. Banks stock continued in their rally mode after Citigroup (C) reported a loss less bad than feared (i.e. a lot less than last year's $6B profit). Bank of America (BAC) closed at 27½, up 9 in the last 3 days. Freddie Mac (FRE) got its registration statement accepted by the SEC, making it easier to sell stock. They are looking to sell $5½B in stock shortly. The rest of the market muddled along, digesting recent gains. Oil had an ugly week (for the longs), tumbling 16. It closed Fri down pennies to 129.
But the big news was technology. The 2 giants, Google & Microsoft, reported disappointing earnings late yesterday, sold off. GOOG was down 52 or 10% will MSFT pulled back 1.66. Google is mortal. Instead of being immune to economic slowdowns, it seems to be feeling the effects of a sluggish economy. This relationship will bleed thru to other companies.
There will be a lot of economic issues for us to think about over the weekend.
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