Stock Market On the Edge of Something Very Big, Crash?
By: Anthony Cherniawski
U.S. stocks lost their gains Wednesday as Federal Reserve Chairman Ben Bernanke voiced cautious optimism about the economy and the central bank’s Beige Book also noted modest improvement.
“Everything is universally moving in the right direction, but we already knew that,” said Jeffrey Kleintop, chief market strategist at LPL Financial of the Fed’s June report, which noted improvement across all 12 districts.
Backlash at BP
The cost to protect BP Plc’s bonds against default soared to a record, more than nine times the level before one of its wells exploded in the Gulf of Mexico, as pressure on the company to suspend its dividend intensified.
Credit-default swaps on BP climbed 126.1 basis points to 386.9 basis points, according to CMA DataVision prices. More than 40 U.S. lawmakers called today for the London-based company to suspend its dividend and Interior Secretary Ken Salazar told a Senate committee that “significant additional” safety requirements will be imposed on oil and gas companies drilling in the Gulf.
Why Did The U.S. Refuse International Help on The Gulf Oil Spill?