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Wall Street Breakfast: Must-Know Newsby SA Editor Rachael Granby- Bank trio becomes duo. Wells Fargo (WFC) will become the largest U.S. bank by branches with its bid for Wachovia (WB), after Citigroup (C) withdrew from compromise negotiations late yesterday on concerns about the quality of some of Wachovia's assets. Wells Fargo, with a bid valued at $11.4B, expects the purchase to be completed by the end of the year, and denies it will have to absorb assets shakier than originally thought.
- Government considers next steps. As the financial crisis continues to worsen, the U.S. government is considering two dramatic steps to turn around, or at least slow, the damage: guaranteeing billions of dollars in bank debt and temporarily insuring all U.S. bank deposits. The moves, which would mark the government's most extensive intervention to date, are in discussion stages only.
- Credit stays frozen. As frozen credit markets refuse to thaw, the cost of default protection on corporate bonds reaches new global records amid investor concerns the credit crisis will trigger corporate failures as companies struggle to finance their businesses. Interbank lending remains limited, and borrowing from the Fed's expanded discount window continued its trend of setting new highs every week, as the total daily average rose to $420.2B vs. $367.8B last week.
- Oil demand withers. The International Energy Agency warned Friday worldwide oil demand...
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- Jim Cramer's Picks -SampleBetter Choices - Cramer's Lightning Round (10/15/08)by SA Editor Rachael GranbyStocks discussed in the lightning round session of Jim Cramers Mad Money TV program,
Wednesday, October 15.Bullish Calls:Continental Resources (CLR) -- "This is a remarkable decline. All of the high quality ones are down so much, I can't go against it. This is where you pull the trigger.
3M (MMM) -- The moment this stock starts yielding 5%, I'm a buyer. Until then, keep your powder dry.Bearish Calls:Computer Sciences (CSC) -- This is a company that was going to be bought, but they passed up the chance. Now I don't want to buy it."Email continues...
Annaly Mortgage (NLY) -- I think this is a business model that needs to borrow money. Definitively do not buy."
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Painful Surprises and Big Lessons with Precious Metals & Energy
"that suggest interest rate hikes are probably in the cards. "If these inflation numbers continue, the Fed is going to have no choice but to raise rates," said Matt Zeman"
Please don't quote "Clueless Matt" anymore! If anyone thinks the Fed is going to increase rates into the teeth of credit "lacking" recession, he'd better ask the dealer to crack a new deck!!!
Is he with a trading desk, or the last LaSalle division employee of GM??.
Wind's Our Future, but Natural Gas Is Now
I just want to live to see the day I can sit back and watch the windmills on the right of way go by at 200mph, while I take a trip to N.Y.. I'll even allow a few cars for Oranges and seafood to tag along so they and I, arrive fresh and cheap at our destination. I'll even take my shoes off to honor a bygone but not missed era of air travel, thinking I'd like to see Haji Baba run this sucker into a building.
Windmills along the "rite of way" is the right way--it's called "point of use"
Implementing Pickens' Plan for Public Energy Policy
He doesn't get sidetracked off on some social issue like Social Security Taxes for lower incomes and try to cure that with funds created out of energy use. Next you'll hang health care as a % of pump costs--talk the thing to death and qualify as a True Blue Socialist Politician!!
The Pick has a good idea!. Get behind it and support it as it is!.
The last thing it needs is a third "Legion" of Do Gooders trying to figure out how to siphon off some of it's efficiencies.