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Wall Street is betting it's possible. Health care stocks are up substantially this month as investors don't see proposals surviving in their current forms.

Posted by Charley Blaine on Tuesday, November 24, 2009 6:37 PM

Many smart investors on Wall Street should send Thanksgiving turkeys to the dissidents fighting health care proposals in Congress.

 

Reason: They're making a ton of money. And they're making a lot of money because they see health care reform collapsing.

That's great for health care stocks. They have been among the most robust groups in November. The health care sector of the Standard & Poor's 500 Index ($INX) is up nearly 10% this month.

 

That's second only to the materials sector, which is up 11.7%, largely because of gains for gold, silver and precious-metals stocks. The sector is also the second-best performer so far this quarter.

The food companies' earnings meet Street estimates, but Hormel shares drop because consumers are cautious in their food purchases.

Posted by Charley Blaine on Tuesday, November 24, 2009 4:19 PM

Food giant H.J. Heinz (HNZ) cheered investors during a lackluster day of trading with a decent fiscal-second-quarter earnings report today.

 

Hormel (HRL) also met estimates, but investors worried that cautious consumer spending might weigh on profits.

 

Heinz said it earned $237.3 million, or 73 cents per share, in its fiscal second quarter, down from $276.7 million, or 87 cents per share, last year.

But early losses are trimmed substantially as the Federal Reserve sees a better economy coming. Consumer confidence improves.

Posted by Charley Blaine on Tuesday, November 24, 2009 4:11 PM

Charley BlaineUpdated: 6:50 p.m. ET

 

Stocks slipped modestly today despite a new report showing an economic recovery is less robust than originally thought.

 

The Dow Jones Industrial Average ($INDU), which had jumped 133 points on Monday, finished down 17 points to 10,434.

But that was a victory for bulls: The blue chips had been down as many as 91 points less than an hour after the open.

 

The Nasdaq Composite Index ($COMPX) was off 7 points to 2,169, and the Standard & Poor's 500 Index ($INX) was down less than 1 point to 1,106.

The social-networking sets up a 2-class stock structure. The move would ensure that CEO Mark Zuckerberg retains control.

Posted by Charley Blaine on Tuesday, November 24, 2009 3:51 PM

Social-networking site Facebook has established a dual-class stock structure, a move that helps lay the groundwork for an eventual initial public offering.

The privately held company is in the process of converting all current shareholders to Class B stock, which carries 10 times the voting power of Class A stock, The Wall Street Journal reported this afternoon.

 

All current shareholders will have their shares converted into Class B shares, including holders of restricted stock units, a source told the Journal.

The Swedish buyers suggest foot-dragging forced them to walk away. GM may shutter Saab.

Posted by Charley Blaine on Tuesday, November 24, 2009 12:53 PM

The European operations of General Motors (MTLQQ) were thrown further into confusion Tuesday when the automaker said the sale of its Saab subsidiary in Sweden had fallen through.

 

The expected buyer, Koenigsegg Automotive, backed out of the deal, GM said.

The American automaker, which is also struggling to restructure its Adam Opel unit in Europe, is "obviously very disappointed with the decision," GM CEO Fritz Henderson said in a statement.

 

"Given the sudden change in direction, we will take the next several days to assess the situation and will advise on the next steps next week," Henderson said.

The FDIC's safeguard fund slips into the red in the 3rd quarter.

Posted by Elizabeth Strott on Tuesday, November 24, 2009 10:48 AM

Bank © Charles Smith/CorbisThe number of troubled banks in the U.S. rose to its highest level in 16 years, according to a report by the Federal Deposit Insurance Corp.

 

The FDIC said the number of problem banks rose to 552 at the end of September, from 416 at the end of June and 305 at the end of March. It's the highest number since the end of 1993, when there were 575 troubled banks.

 

So far this year, 124 banks have failed, the highest annual level since 1992.

 

"The credit adversity we have been discussing for some time remains with us, and we expect that it will be at least a couple more quarters before we see a meaningful improvement in that trend," FDIC Chairman Sheila Bair said in a statement.

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StockScouter data provided by Gradient Analytics, Inc.
Quotes supplied by Interactive Data.
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