Broad base advance for stocks

In the afternoon Dow soared, taking it well above 8000. But profit taking in the final hour reduced the gain to 95 (42 below the high), advancers over decliners almost 4 to 1 & NAZ jumped 43 on very strong computer news (really less bad than expected). Banks had only liimited gains on the heels of JPMorgan earnings.


S&P 500 FINANCIALS INDEX

Value 147.28

Change 0.92

% Change 0.6%

..........Close____Change___%_Change______Volume

BAC		10.34	0.10	0.96%	380,016,325
C		4.01	0.04	1.01%	722,624,941
JPM		33.24	0.68	2.09%	131,328,340
WFC		19.45	0.10	0.51%	128,916,129
GS		121.19	0.00	0.00%	23,433,368

At the same time Dow went over 8K, the Alerian MLP Index rose 0.92 to 202. It also has the challenge of holding above 200 former floor. The Dow Jones REIT Index shot up 5 to 127, new levels not since in over 2 months. Junk bonds rose today while the VIX, volatility index, dropped to the lows of the year. Even oil was up 71¢ on expectation of higher demand for oil.


Dow Jones REIT Index -- 3 months




VIX ---- 3 months




2 distribution increases were a plus for MLPs, although Enterprises Products Partners (EPD) & Duncan Energy Partners (DEP) each slipped pennies in trading.

• Enterprise Announces 19th Consecutive Quarterly Cash Distribution IncreaseBusiness Wire(Wed 3:33pm)
• Duncan Energy board raises cash distributionAP(Wed 4:42pm)

After JPMorgan (JPM) announced what was considered a favorable Q1 report this AM, JPM made more news today. They want to pay off their TARP loan, partially with funds from a $3B bond offering which will not have gov backing. This is the first such bond offering from them since Aug. The yield is expected to be 350 basis point more than a comparable 10 year Treasury bond. JPM wants to show independence & get the gov off its back. Obviously other major banks not able to pay off TARP loans will increasingly be seen as weak.

•JPMorgan Will Sell 10-Year Notes Without U.S. Backing, First Since August
•Dimon Says He's Eager to Repay $25 Billion in `Scarlet Letter' TARP Funds


Stocks, led by Hewlett-Packard (HPQ), Dow stock, advanced 1.77 on news that computer industry sales fell less than expected in Q1. Global shipments dropped 7%, sales, aided by the growing popularity of the new low priced netbooks. Worldwide & in the US, HPQ topped Dell (DELL), becoming the clear #1 computer company.

•PC shipments slide in 1Q, HP tops Dell in US
AP (Wed 7:22pm)


General Motors (GM), still in the Dow, will make an offer to bondholders next week to swap debt for equity. Bondholders will be paid money for accrued interest & will swap their bonds for GM stock. Their ticking time bomb keeps ticking.

•General Motors Is Said to Plan All-Stock Offer for Bondholders by April 27


Rosetta Stone (RST), closing at 25.12, had a successful initial public offering, the first in a year. Buyers are returning to the markets.

• Rosetta Stone soars 42 percent in debut- Reuters

Markets had a very good day. Dow asserted strength, clearly taking it above the 8K barrier. The Alerian MLP Index is flexing its muscles above 200. Citi, a call which shot up from its low of 1 last month, now at 4, reports tomorrow. Chances are their report will be similar to JPM's, earnings beating lowered estimates & a lot of very soggy assets (loans).