Wednesday, February 28, 2007

Federal Reserve Chairman Ben Bernanke said to help rebound...

According to market experts, Federal Reserve Chairman Ben Bernanke speaking before Congress stating his belief that the US Economy is still expected to experience moderate growth calmed some of the fears after yesterday's Dow dive. Not everyone appears to be comforted by some of the other news:

In other economic news, the National Association of Purchasing Management-Chicago index of business conditions in the Midwest showed a weaker-than-expected reading. The February figure fell to 47.9 from 48.8 in January. The report is often viewed as a bellwether for the Institute for Supply Management's index of manufacturing activity for February, which is due Thursday.

Also, a Commerce Department report found new-home sales fell by 16.6 percent in January from the previous month, the largest drop in 13 years.

That's being given as a reason for the explanation as to why other sectors are bouncing back today but those related to homebuilding are continuing on a downtrend.

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