US markets closed with a burst of green during the last minute of today's session. The DOW closed up 235 points, SPY closed up +1.4% and WTI closed down in the low 48's continuing a session downtrend. Short-term indicators remain the same as yesterday, mildly bullish, but the SP500 closed below 2100, the all-important level to continue this rally.
NEW YORK (Reuters) - Wall Street rolled to a third straight day of gains on Thursday as Britain's central bank raised the prospect of stimulus and consumer staples shares gained on news of Mondelez International's $23 billion bid for Hershey.
(Reuters) - Hershey Co said on Thursday it had rejected a $23 billion preliminary offer by Mondelez International Inc that would seek to expand the latter's limited U.S. footprint and create the world's largest confectioner.
WASHINGTON (Reuters) - Factory activity in the U.S. Midwest surged to its highest in almost 1-1/2 years in June amid strong gains in new orders and production, offering a ray of hope for the downtrodden manufacturing sector.
SAN FRANCISCO/WASHINGTON (Reuters) - A lawyer for Volkswagen AG said at a court hearing Thursday the German automaker believed it could fix 85,000 polluting 3.0-liter VW, Audi and Porsche diesel cars and SUVs, a move that could help the company avoid a second pricey buyback.
(Reuters) - Standard & Poor's Global Ratings said on Thursday it had cut its long-term credit rating on the European Union to 'AA' from 'AA+' but raised its outlook to "stable" from "negative" after the United Kingdom voted to leave the bloc.
WASHINGTON (Reuters) - U.S. auto safety regulators warned on Thursday that Takata air bag inflators on more than 300,000 unrepaired recalled Honda vehicles show a substantial risk of rupturing, and urged owners to stop driving the "unsafe" cars until they have been fixed.
LONDON (Reuters) - Bank of England Governor Mark Carney said the central bank would probably need to pump more stimulus into Britain's economy over the summer after the shock of last week's decision by voters to leave the European Union.
As we noted today, the rumors of an Italian bank bailout, which started on Monday morning, and were promptly shot down by Merkel the next day, got louder today after a Reuters report that the government is considering more creative ways to inject liquidity into Italy's banks. However that was just an appetizer to a main course, which came later today when as the WSJ reported citing a spokeswoman for the European Union's executive arm that the "European Commission has authorized Italy to use government guarantees to create a precautionary liquidity support program for their banks."
How did this happen so quietly under the table and without Merkel's blessing? WSJ says that the program was approved under the bloc's "extraordinary crisis rules for state aid."
And here we thought that Italy's banks are actually doing so very well. Oh wait, no we didn't.
As the WSJ notes, the proposed "crisis" plan is the "other leg of an intervention plan considered by the government" namely, the direct capital injection into Italian banks that would add up to 40 billion in capital to the banking sector", the one we profiled previously. It is also the plan that Merkel supposedly shut down before it got off the ground. However, Europe had a Plan B up its sleeve.
The lead negotiator for President Obama has intensified efforts to persuade a skeptical Congress to pass a divisive free-trade agreement with Pacific Rim countries, a deal that Donald Trump this week called "a continuing rape of our country."
Treasury prices rose for a second quarter in a row, pushing yields to the lowest levels in years as geopolitical events and concerns over sluggish global economy pushed investors into safe assets such as government bonds
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