On this disappointing economic news, Dow sank 258, decliners ahead of advancers 4-1 & NAZ down another 61. S&P 500 FINANCIALS INDEX fell 4 to 272, Dow Jones REIT index was dropped 7 to 238 while the Alerian MLP index was down 7 to 221 (multi year low). In this world of uncertainty, Oil dropped from lower expected demand & gold plunged (huh?):
| CLX08.NYM | ..Crude Oil Nov 08 | ...96.42 ... |  2.11 (2.14%) |
| GCV08.CMX | ..Gold Oct 08 | ...847.00 | ... 33.70 (3.83%) |
General Electric (GE), a Dow stock & an S&P Dividend Aristocrat, was down 2.35 to 22.15 (a 10 year low price) on selling $12B in stock after raising $3B from Warren Buffett yesterday. They are clearly struggling to maintain their elite AAA credit rating after it was reaffirmed just last week.
GE prices $12 billion stock offering
General Electric -- 10 years
The bailout plan is still hanging around in limbo. Last night, while the Senate passed an enhanced package (the original was a 3 page proposal versus a 450 page bill they passed), Asian stock markets were soft & Dow futures traded down 100. The Senate tried to include something for everybody to get the bill passed. Now the House will deal with it, but the future, once again, is not clear. Assuming they pass a bill with differences, those will have to be worked out. Uncertainty is the key emotion influencing stocks, that may not go away soon.
•Senate Passes $700 Billion Bailout Package With Inducements for House Vote
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