Opening Bell Report

The markets opened higher as economic officials and U.S. lawmakers wrestled with the details of the $700 billion financial bailout while oil prices retreated modestly.  The Dow rose 81 points to 11,097 while Nasdaq climbed 19 points to 2198.

On the upside

Facing an ongoing housing slump as one of the nation's largest homebuilders, Lennar Corp. (NYSE: LEN) posted 3rd quarter losses that beat expectations while revenues fell by half.

American International Group (NYSE: AIG) prepared for an emergency sale of assets in order to start paying off the $85 billion Federal Reserve loan.

Rebuffed Bristol-Myers Squibb (NYSE: BMY) raised its offer to $4.7 billion to buy biotech company ImClone Systems (Nasdaq: IMCL).

On the downside

The financial services sector was mixed as investors worried about the timeliness and effectiveness of the $700 billion rescue plan.  Shares of Wachovia (NYSE: WB) and Morgan Stanley (NYSE: MS) fell.

Women's apparel retailer Cache (Nasdaq: CACH) lowered its outlook due to slow sale of dresses and temporary store closings caused by bad weather.   Analysts promptly downgraded the stock.

Analysts downgraded General Electric (NYSE: GE) due to weakness in its financial operations.

In the broad market, advancing issues outpaced decliners by a small margin on both the NYSE and Nasdaq.  The Russell 2000 which tracks small cap stocks added a point to 721.