Fed Statement Sends Major Indices Up (JCP,ABT)

Major indices jumped close to 1 percent today after Federal Reserve Chairman Ben Bernanke announced that it was unlikely there would be any federal funds rate target hike until at least late 2014. In Europe, it is reported that the members of the European Central Bank have decided not to take voluntary losses from their Greek bonds, and are split on how to move forward, which could spell trouble for the markets in days to come. After former Apple (AAPL) executive Ron Johnson took over as CEO of J. C. Penney (JCP), he announced several plans for its revitalization; notably, they will be doing away with deep discounts and simplifying their pricing. Abbott Laboratories (ABT) announced that, as part of a restructuring, it would be laying off 700 employees.

Word on the Street

• Federal Reserve Chairman Ben Bernanke announced that the rate target would likely remain the same for two more years at least.
• ECB leaders are split on how to hand their losses from Greek bonds.
• J. C. Penny (JCP) is overhauling its pricing scheme.
• Abbott Labs (ABT) cut jobs in spite of a higher Q4 profit.

Interesting Tidbits

• Apple’s Massive Numbers and Some Context.
• How Private Equity Helped Save the US Economy.

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