Warren Buffett Expects Stocks to Remain Strong; Multiple Bankruptcy Filings

Weekly Wrap Up

The stocks were mostly down this week, with the Dow Jones falling over 200 points on Thursday. Despite the low week for stocks, investor Warren Buffett doesn't think that it should be alarming. He does however believe that a market plunge similar to what occurred in 2008 will occur again, but not for a while. Buffett also said that he believes that Dow Jones will one day be trading around 100,000. Consumer sentiment in March fell to its lowest level since November, down to 79.9. The harsh winter weather along with Obamacare seem to be playing a roll in the continual decrease of consumer sentiment.

Multiple fast-food restaurants are in the processing of filing bankruptcy. Sbarro's announced early this week that they will be filing bankruptcy for the second time in three years as they continue to lose market share to their competitors.
Quiznos followed suit just days later announcing that they will also be filing for bankruptcy. Quiznos cited that increased competition in a tight market is forcing them to file Chapter 11 bankruptcy. Fast-food chains aren't the only companies that are struggling, many retailers are in the midst of closing down stores. Teen clothing retailers Abercrombie & Fitch (ANF) and Aeropostale (ARO) both plan on closing around 40 stores before the end of the year.

Economic News

Kroszner On Why And How The Fed Will Change Guidance
Ahead of next week’s Federal Reserve meeting, one former official agrees with many of the committee that it’s time to change the central bank’s guidance on how long it will keep short-term interest rates near zero. (Source: MarketWatch) Click here to read the full article

Consumer-Sentiment Gauge Lowest in Four Months 
A gauge of consumer sentiment declined in March to hit the lowest level in four months, cut by weaker expectations for the economy, according to a Friday report.  (Source: MarketWatch) Click here to read the full article

Business News

Shares of Detroit, Michigan, based General Motors Company (GM) fell on Tuesday, losing $1.91 per share, or 5.15%, to $35.18, on volume of just over 41 million shares, on a down day on Wall Street across the board. (Source: InvestorGuide) Click here to read the full article

Shares of Chiquita Brands International Inc. (CQB) closed up +1.16 or +10.7 percent to $12.00 per share in regular trading on Tuesday. Early Wednesday, the company announced its plans to acquire its European counterpart, Fyffes, for $526 million. (Source: InvestorGuide) Click here to read the full article

Quiznos Bankruptcy: Sandwich Chain Files for Protection 
Quiznos filed for bankruptcy protection on Friday, according to a tweet by Bloomberg News. News that the sandwich chain was preparing to file for bankruptcy protectionfirst emerged in late February. (Source: Huff Post Business) Click here to read the full article

Technology Focus

Shares of Amazon.com, Inc. (AMZN) were trading up +3.49 or +0.94 percent to $375.00 per share in pre-market trading on Friday, after the company announced it was raising the cost of its Amazon Prime service by $20 per year from $79 to $99. (Source: InvestorGuide) Click here to read the full article

Shares of Coupons.com (COUP) closed up +14.00 or +87.5 percent to $30.00 per share on Friday after the company had their Initial Public Offering. (Source: InvestorGuide) Click here to read the full article

Your Money

10 Audit Red Flags 
From being too charitable to claiming the home office deduction, beware these tax audit red flags. (Source: Yahoo Finance) Click here to read the full article

10 Reasons You're Still Broke 
You have a job, maybe even a good one, but your paychecks never seem to stretch as far as you think they should and ends never quite seem to meet. (Source: Kiplinger) Click here to read the full article

Published on Mar 14, 2014
By InvestorGuide Staff

Copyrighted 2020. Content published with author's permission.

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