Wall Street rebounds sharply after big drop
Buyers returned to Wall Street today, sending stocks higher in a session that was marked by indecision even as the Dow Jones industrials closed up 270 points.
Encouraging news from Ford Motor and General Electric calmed the market a day after a massive decline.
Investors wary about the economy drew solace from Ford chief executive Alan Mulally, who said the automaker has enough cash to make it through 2009 and might not need government help.
Rival General Motors Corp. said late in the day that it needs US$12bn (€9.44bn) in government loans to continue operating; the news briefly shook the market, but stocks rebounded before the close.
Meanwhile, the market was encouraged after General Electric Co. said it expects to pay a dividend despite projections that fourth-quarter results will near the low end of its previous guidance.
The Dow fluctuated sharply before closing up 270 points at the 8,419 level.
The blue chips fell nearly 680 yesterday.
The major indexes all closed with gains of more than 3%.
