Mid-Day Report
Investors welcomed Warren Buffett's $5 billion investment in Goldman Sachs as a vote of confidence in the economy. The markets rose in the midday with the Dow adding 16 points to 10,870 and Nasdaq climbing 14 points to 2167.
On the upside
Washington Mutual (NYSE: WM) stock rose even as the cost to insure its debt climbed overnight from 54.3%to 61.5%.
Wells Fargo (NYSE: WFC) will repurchase up to an additional 25 million shares of common stock.
On the downside
According to a report by The Associated Press, the FBI is investigating American International Group (NYSE: AIG) for possible fraud.
JP Morgan analyst John Bridges downgraded Coeur d'Alene Mines (NYSE: CDE) after the company ended its exploration of alternative waste plans for an Alaskan mine.
Medicis Pharmaceutical (NYSE: MRX) warned that it may restate financials from 2002 through 2008 due to errors in the manner in which returned product costs were calculated.
In the broad market, declining issues outpaced advancers by a margin of nearly 5 to 4 on both the NYSE and on Nasdaq. The Russell 2000 which tracks small cap stocks added slipped 2 points to 707.
