Tuesday, March 10, 2009
Market Reflections 3/9/2009
Warren Buffett made the headlines Monday, saying in a lengthy CNBC interview that the economy has "fallen off a cliff" and that consumer behavior has changed to a degree the 78-year-old billionaire has never seen before. But Buffett is optimistic saying the banking sector will recover and that, on a long term basis, stocks are a good investment. Stocks rallied at the opening but faded through the session to end down 1% on the S&P 500 to 676.53. News of a giant $41 billion merger between drug rivals Merck and Schering-Plough failed to lift spirits. Other markets showed a gain for oil, at $47.09 for April WTI, and a dip for gold, ending at $920.60. The first Japanese trade deficit in 13 years, reflecting the export bust, sent the dollar up one full yen to end at Y98.85. Against the euro, the dollar firmed to $1.2607.