Stocks Take Elevator Up as Eurozone Tackles Crisis
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Down)Dividend Yield: 1.7%
Revenue Growth %: +4.1%
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Stocks around the world are rising sharply Thursday amid news overnight a deal has been reached in the Eurozone which promises to soothe the debt crisis in the region.
European leaders reached a deal with private banks that will result in a voluntary 50 percent haircut on Greek debt. In addition, the regions bailout vehicle, or European Financial Stability Facility, has been increased "four-or five-fold" which suggests it could provide guarantees of up to EUR1 trillion.
Stocks in Europe saw immediate benefit. The German DAX closed up 5.35 percent and the FTSE rose 2.9 percent.
In the U.S. the Dow is closed up 340 points, or 2.9 percent, and has regained the key 12,000 psychological level. The Nasdaq is rose 88 points and the S&P 500 is up 43.
U.S bank stocks, which have been under pressure on worries about European exposure and a global cascading bank liquidity fears, are amongst the biggest movers. Shares of Morgan Stanley (NYSE: MS) are up 12 percent, Bank of America (NYSE: BAC) is up 6 percent, Citigroup, Inc. (NYSE: C) is up 7 percent and JPMorgan Chase & Co. (NYSE: JPM) is up 6 percent.
In other news, U.S. GDP came in better than some dire expectations. Data from the Commerce Department showed the US economy grew at a 2.5 percent rate over the third quarter of 2011, up markedly from a growth rate of 1.3 percent in the second quarter.
European leaders reached a deal with private banks that will result in a voluntary 50 percent haircut on Greek debt. In addition, the regions bailout vehicle, or European Financial Stability Facility, has been increased "four-or five-fold" which suggests it could provide guarantees of up to EUR1 trillion.
Stocks in Europe saw immediate benefit. The German DAX closed up 5.35 percent and the FTSE rose 2.9 percent.
In the U.S. the Dow is closed up 340 points, or 2.9 percent, and has regained the key 12,000 psychological level. The Nasdaq is rose 88 points and the S&P 500 is up 43.
U.S bank stocks, which have been under pressure on worries about European exposure and a global cascading bank liquidity fears, are amongst the biggest movers. Shares of Morgan Stanley (NYSE: MS) are up 12 percent, Bank of America (NYSE: BAC) is up 6 percent, Citigroup, Inc. (NYSE: C) is up 7 percent and JPMorgan Chase & Co. (NYSE: JPM) is up 6 percent.
In other news, U.S. GDP came in better than some dire expectations. Data from the Commerce Department showed the US economy grew at a 2.5 percent rate over the third quarter of 2011, up markedly from a growth rate of 1.3 percent in the second quarter.
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