Big Interest Rate Cut & More!

Wallstreet Universe newsblast at wallstreetuniverse.com
Tue Nov 6 15:17:02 PST 2001


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THE WALLSTREET UNIVERSE REPORT - NOVEMBER 7, 2001

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Hello All  Investors,

Stocks soared Tuesday after the Fed targeted the weakening
economy with an aggressive half-percentage point cut in interest
rates. Techs led the charge, highlighted by a 17-percent surge in
shares of Hewlett-Packard as its merger with Compaq was dealt a
major blow. 

The rate cut was the central bank's tenth this year, and it took
the overnight fed funds rate down to 2 percent from 6.5 percent
at the start of the year. The Fed also lowered the discount rate
by 1/2 percentage point, taking it to 1.50 percent. Moreover, the
Fed suggested that more rate cuts are in the offing. 

The Dow Jones Industrial Average piled on 150 points, or 1.6
percent, to 9,591. Sustaining the Dow were shares of
Hewlett-Packard, Intel, IBM, Microsoft, J.P. Morgan Chase, Alcoa,
Caterpillar, Home Depot and United Technologies. Ending in the
minus column were shares of Walt Disney, General Motors, 3M and
SBC Communications.

The Nasdaq Composite surged 41 points, or 2.3 percent, to 1,835
while the Nasdaq 100 Index soared 42 points, or 2.9 percent, to
1,523.  In the broad market, the Standard & Poor's 500 Index
sprinted 1.5 percent while the Russell 2000 Index of
small-capitalization stocks swelled 1.2 percent.

TALK ABOUT FAMILY SQUABBLES...  Hewlett-Packard powered the Dow,
with its shares surging 17 percent following news that the
Hewlett family would vote against the proposed H-P and Compaq
merger, which was announced in early September.  The family has a
stake of about 5 percent in the Dow stock. H-P has yet to say
when it plans to put the proposal to a shareholder vote. Compaq
fell 5.3 percent. 



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PEACE - Steven Schwartz and Staff
mailto:support at wallstreetuniverse.com





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