Wall Street Gains for the Week Despite Sequestration Worries (HD, GPS, BBY, JPM)

Weekly Wrap Up

The Dow, NASDAQ, and S&P all finished the week higher as reassuring comments by Ben Bernanke and better-than-expected earnings boosted investor confidence. Although GDP grew less than expected in Q4 of 2012 and Washington failed to reach a budget deal on Friday, investors remained optimistic on reports that manufacturing and consumer confidence had increased in February. Bernanke's comments defending stimulus measures led to a positive mid-week for the markets and positive earnings reports from Home Depot (HD): HD)">Charts, HD)">News), Gap (GPS): GPS)">Charts, GPS)">News) and Best Buy (BBY): BBY)">Charts, BBY)">News) pushed the retail sector higher.
JPMorgan (JPM): JPM)">Charts, JPM)">News) announced on Tuesday that it would be making cuts and laying off 4,000 employees to save nearly $1B. More Market News

Economic News

US Bank Earnings Up 37% in 4Q, Highest in 6 Years
Profits at U.S. banks jumped nearly 37 percent for the October-December period, reaching the highest level for a fourth quarter in six years as banks continued to step up lending. (Source: Yahoo! Finance) Click here to read the full article
What 10 Quirky Indicators Tell Us About Today's Economy
Leave it to the professionals? If the past is any measure, these zany precursors are as good as any chart worshiper’s divinations. What’s more, the ones that tend to be most accurate signal a bull market ahead. (Source: Forbes) Click here to read the full article
Fiscal Talks Fail, U.S. Stumbles Toward Budget Cuts
The government stumbled headlong on Friday toward wide-ranging spending cuts that threaten to hinder the economic recovery, after President Barack Obama and congressional leaders failed to find an alternative budget plan. (Source: Reuters) Click here to read the full article
Berkshire Hathaway Reports 49% Surge in Q4 Profits
Warren Buffett's company reported a 49 % increase in Q4 profit as a result of big paper gains on investments and derivative contracts. Buffett said these results were "subpar", as they did not outperform the S&P 500. (Source: Berkshire Hathaway) Click here to read the full article

Business News

Cracker Barrel Rallies Sharply as it Cracks Expectations
Shares of Cracker Barrel Old Country Store (CBRL): CBRL)">Charts, CBRL)">News) rallied sharply this week, after the retail and restaurant chain reported second quarter earnings that topped analyst estimates. (Source: InvestorGuide) Click here to read the full article
Home Depot Crushes Lowe’s With a Strong Fourth Quarter
Home Depot (HD): HD)">Charts, HD)">News) recently impressed investors after it posted stronger than expected fourth quarter earnings, after an improving U.S. housing market and sales related to Hurricane Sandy boosted its top and bottom line growth. Home Depot earned 68 cents per share, or $1.0 billion - up 36% from the 50 cents per share, or $774 million, it reported in the prior year quarter. (Source: InvestorGuide) Click here to read the full article
Six Flags Tops Off a Record Year
In 2010, Six Flags (SIX): SIX)">Charts, SIX)">News) emerged from bankruptcy after reducing its debt by over a billion dollars. Since those dark days, Six Flags’ outlook has brightened considerably. The Grand Prairie, Texas-based company, the largest regional theme park operator in the world, reported record full year 2012 results this month, as rising attendance and increased cost controls boost its top and bottom lines. (Source: InvestorGuide) Click here to read the full article
Best Buy Q4 Loss Narrows
Best Buy Co. (BBY): BBY)">Charts, BBY)">News) lost less money in the fourth quarter as efforts by new CEO Hubert Joly to make the company more efficient showed glimmers of paying off. The struggling electronics chain also said Friday that it did not receive a buyout bid from its co-founder Richard Schulze by the deadline Thursday, ending one question mark that had been hovering over the Minneapolis company. (Source: Washington Post) Click here to read the full article

Technology Focus

Google Said to Be Developing Subscription Music Service
Google Inc. (GOOG): GOOG)">Charts, GOOG)">News), developer of the Android mobile-phone platform, plans to start a subscription music-streaming service to challenge Spotify Ltd., said two people with knowledge of the situation. (Source: Yahoo! Finance) Click here to read the full article
With CEO Mason Out, What's Next for Groupon?
Analysts and investors had been predicting - and, in some cases, hoping for - Mason's departure for months now. Following a dismal fourth-quarter earnings announcement Wednesday, the company's board showed its co-founder the door. (Source: CNBC) Click here to read the full article

Your Money

The Best and Worst Performing Stocks Since 2007
Which Dow stocks should you have bought at the Oct. 2007 peak? (Source: MarketWatch) Click here to read the full article
Published on Feb 28, 2013
By InvestorGuide Staff

Copyrighted 2020. Content published with author's permission.

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