Financial Market News

The Bombay Stock Exchange benchmark Sensex on Tuesday regained the 17K level by rising over 170 points in early trade on buying by funds in heavy-weight stocks, tracking firm global markets. via Hindustan Times

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“What you'd like to see as an equity investor is a broadbased rally, in other words all companies are increasing in price, or at least a majority of them.”

- Two of Canada's most valuable companies have helped lift the Toronto stock market above its previous record high, set 10 months ago just before the credit crunch took the life out of many investments.

But some economists suggest the gains could wash away in the foreseeable future. Both Research In Motion (TSX:RIM), the maker of the famed BlackBerry portable device, and oil and gas giant EnCana Corp. (TSX:ECA) drove the market skyward Monday.

The two stocks were heavily traded, with RIM shares up eight per cent and EnCana ahead six per cent. Both stock jumps were motivated by corporate announcements, with EnCana saying it will divide itself into two companies, one focused on the oilsands and another concentrating on natural gas. Read more

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“This looks like a bit of a correction on a vastly overbought market”

Oil slipped from a record high over $126 a barrel on Monday as a dip in crude oil imports into No. via Boston Globe

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“We're going to get CPI, retail sales, and that really should give us some direction.”

Treasury prices slipped modestly Monday as the stock market rallied and fixed-income looked ahead to a number of key economic reports to be released in the coming days. via The Morning Call

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MBIA Inc. swung to a $2.41 billion loss during the first quarter as the bond insurer faced ongoing deterioration in the credit markets and recorded billions in write-downs.

The loss equated to $13.03 per share during the quarter ending March 31, compared with year-ago profits of $198.6 million, or $1.46 per share.

Shares tumbled 7 percent, or 67 cents, to $8.76 in premarket trading.

MBIA was forced to reduce the value of its insured derivatives holdings by $3.58 billion, leading to $2.96 billion in total lost revenue, compared with revenue of $729.9 million a year ago. Net premiums written tumbled to $97.3 million from $171.3 million last year. Read more

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U.S. stocks headed for a moderately higher open Monday as oil prices ticked lower and the dollar advanced.

Stocks looked for a modest rebound Monday after Wall Street's first negative week in a month. Investors will be looking to a flurry of economic figures due this week on consumers to determine where the economy might be headed.

Light, sweet crude fell 78 cents to $125.18 per barrel in premarket electronic trading on the New York Mercantile Exchange. Oil prices surged nearly $10 last week, touching off concerns about rising prices and their affect on businesses and consumers. Read more

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Asian shares were mixed on Monday in holiday thin-trading, with banks in focus. The dollar was steady against major currencies after a two-day slide as investors awaited more clues on the policy outlooks for ... via Reuters

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“Not having widespread insurance might be better for investors, because they'd get a higher yield on bonds that are secure anyway”

By Jane Bryant Quinn Sunday, May 11, 2008; Page F01 Now you know. You've been wasting your money by buying insured municipal bonds. via The Washington Post

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“With the Nikkei average's price-earnings ratio over 16, it's hard to expect it to go up further”

By Louise Heavens Reuters Sunday, May 11, 2008; 11:00 PM SINGAPORE - Stocks fell on Monday, weighed down by uncertainty over the health of the U.S. economy and surging oil and commodity prices, while Japanese ... via Washington Post

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Stocks faded under the weight of rising oil prices and more fallout from the credit crunch. via Today's 6

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