Stocks drift down on financial worries

In quiet times, markets are looking for direction. Financial worries are grabbing everybody's interest. It is becoming increasingly apparent that Fannie Mae (FNM)/Freddie MAc (FRE), whopper size institutions which are gov supported, will not survive as is. On Aug 29, after the markets close, would be a logical time for the FED to announce changes which are desperately needed. Chances are great stockholders will get pocket change, if anything, following the changes.

Meanwhile markets have to keep trading. Dow is slipping, down 81, decliners over advancers 2-1 & NAZ is down 27, all on quiet volume. Oil, once again, is acting up. Tensions between US & Russia, with a possible shutdown of the important Russian oil pipeline got bulls excited. Oil is back up to 119s, up 4. Headlines once again are bringing traders into oil, not a good sign. Jobless claims fell again, down 13K to 432K (over 400K brings recessionary thoughts). The 4 week average is 446K. These numbers are increased as the Labor Dept has been informing people they may still be eligible to file new claims.

• Burger King 4Q Profit Rises 42 pct, Tops Estimates- AP
• Heinz 1Q Profit Rises 11 Percent- AP
• Barnes & Noble's 2Q Profit Falls 15 Percent- AP

Burger King (BKC) with a good report fell 1.85, Heinz (HNZ) rose 32¢ on their good report while Barnes & Noble (BKS) fell 1¼ on a not favorable report. A sluggish US economy keeps getting a lot of mentions.