Smart Money with Keith Springer Saturdays at 1PM and Sundays at 6AM on NewsRadio KFBK 93.1 FM and 1530 AM

Keith Springer quoted on Market Watch- U.S Stocks Pare Losses After Spanish Bank News

U.S. stocks pare losses after Spanish bank news

By Myra P. Saefong and Kate Gibson|Read Original Article Here

 9.28.12- SAN FRANCISCO (MarketWatch) — U.S. stocks pared their losses Friday, finding some support after stress-test results showed that Spain’s banks are mostly solvent, but seeing continued pressure after U.S. data showed a contraction in manufacturing activity in the Chicago area.

Results from Spain’s bank stress test show that banks are mostly solvent and viable and need 59.3 billion euros ($76.3 billion) in capital, in line with expectations.

“Stocks celebrated the uncertainty over the Spanish bank stress test, rebounding strongly off their lows,” said Keith Springer, president of Springer Financial Advisors in Sacramento, Calif. Although the banks’s shortfall in capital “is no picnic, it is far better than the worst estimates and what the market feared.”

The Dow Jones Industrial Average /quotes/zigman/627449 DJIA -0.38% fell 56.56 points, or 0.4%, to 13,430.41, paring some of its losses after a low at 13,367.27, with 25 of its 30 components in the red. McDonald’s Corp. /quotes/zigman/233369/quotes/nls/mcd MCD -2.04% led decliners after Janney Montgomery Scott LLC lowered its view of the fast-food chain.

For the quarter, the index was headed for a 4.3% gain, up 2.6% for the month, but down 1.1% for the week.

Sweeping changes planned for Libor

Plans for large-scale changes to the London interbank offered rate, or Libor, have been announced in the U.K. Photo: Reuters

The S&P 500 index /quotes/zigman/3870025 SPX -0.42% lost 5.78 points, or 0.4%, to 1,441.31, with materials and energy slammed the hardest among its 10 large sectors. The benchmark index traded around 5.9% higher for the quarter, up 2.5% for the month, and down 1.8% for the week.

The Nasdaq Composite /quotes/zigman/123127 COMP -0.47% fell 13.25 points, or 0.4%, to 3,123.34, trading 6.4% higher for the quarter. For the month, it was up 1.8%, but down 1.8% from a week ago.

Shares of Nike Inc. /quotes/zigman/235840/quotes/nls/nke NKE -0.69% fell after the athletic retailer reported future orders missed Wall Street’s estimates of reduced demand in China. See: Nike profit falls on weaker margins, rising costs.
Reuters

Consumer spending continues to rise.

Research In Motion Ltd. /quotes/zigman/18534/quotes/nls/rimm RIMM +8.82% shares climbed after the BlackBerry maker reported less of a loss that analysts had projected. See: BlackBerry sales give RIM surprise boost.

Economic reports already out had consumer spending rising 0.5% and income up 0.1% in August, largely in line with Wall Street’s estimates. See: U.S. consumer spending jumps in August.

A regional measure of business activity from the Chicago Federal Reserve showed contraction in September, illustrating the recent slowdown seen in the manufacturing sector.

“What we’re seeing here, particularly in the Midwest, is a weakness in autos and all the things that go into them, like primary metals,” said Stuart Hoffman, chief economist at PNC Financial Services Group.

“We had a heck of a good quarter and month for stocks beyond what anyone thought,” said Hoffman, who finds the market’s recent declines not a surprise given the overall gains. “So now we’re having a step backward as some of the QE3-inspired gains dissipate.”

A gauge of consumer sentiment rose to 78.3 for a final September reading from 74.3 in August, according to data on the University of Michigan-Thomson Reuters consumer-sentiment gauge released Friday. See: Consumer sentiment highest in four months.

Springer Financial Advisors ("Advisor") is a federally registered investment adviser located in Sacramento, California. Advisor and its representatives are in compliance with the current filing requirements imposed upon registered investment advisers by the Securities and Exchange Commission and the State of California. Advisor's web site and its emails of general distribution are limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of Advisor's web site on the Internet or dissemination of informational emails should not be construed by any consumer and/or prospective client as Advisor's solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet. A copy of Advisor's current written disclosure statement discussing Advisor's business operations, services, and fees is available from Advisor upon written request. You may also obtain publicly available information about Advisor through the SEC website as follows: http://www.adviserinfo.sec.gov/IAPD/Content/Search/iapd_OrgSearch.aspx. Advisor does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to Advisor's web site or incorporated in an email, and takes no responsibility therefore. All such information is believed to be reliable and authoritative but does not constitute sufficient information to be the sole basis for sound investment decisions and all users thereof should be guided accordingly. Past performance may not be indicative of future results. Therefore, no current or prospective client should assume that future performance of any specific investment or investment strategy (including the investments and/or investment strategies recommended or undertaken by Advisor) made reference to directly or indirectly by Advisor in its web site, email, or indirectly via a link to an unaffiliated third party web site, will be profitable or equal the corresponding indicated performance level(s). Different types of investments involve varying degrees of risk, and there can be no assurance that any specific investment will either be suitable or profitable for a client or prospective client's investment portfolio. Certain portions of Advisor's web site (i.e. articles, commentaries, etc.) may contain a discussion of, and/or provide access to, Advisor's (and those of other investment and non-investment professionals) positions and/or recommendations as of a specific prior date. Due to various factors, including changing market conditions, such discussion may no longer be reflective of current position(s) and/or recommendation(s). Moreover, no client or prospective client should assume that any such discussion serves as the receipt of, or a substitute for, personalized advice from Advisor, or from any other investment professional. The information is of a general nature and should not be applied indiscriminately to particular situations wherein it may not be completely applicable. Advisor is neither an attorney nor an accountant, and no portion of the content should be interpreted as legal, accounting or tax advice.