On 28 January 2009, the trading session was seen with stocks mostly in green as investors went into a buy-on-news mode as speculations are pinned heavily on Obama administration will do something about the bad assets of bank.
Banking and financial stocks were weighed down heavily last week as many think that it may be difficult for banks to roll out their lendings if the problem of bad assets are not salvaged. The lifeline that came from the US Government is nearing to a vote to pass a hefty $825 billion stimulus plan to assist in the current economic situation.
It is believe that this move is necessary as recession will not end if banking and financial woes not assisted substantially. Dow Jones Industrial Average Index, DJI rose more than 1.45 percent during the time of this post which reflected how upbeat investors are on this news.
Asian markets earlier closed mostly significantly higher on the potential passing of this stimulus plan by the US Government. It is likely the markets around the world will continue to remain in an upbeat mode till next week as DJI is way cleared from its 8000 points mark.
Citigroup Inc, DJI listed went up by 0.59 to its current $4.14 during the time of this post which was seen recovering from its lowly $3 region as it was previously badly battered down as it broke the $5 resistance level which triggered Funds to sell off.
Financials and Banks are likely to be benefitting from this stimulus plan if it is realized.
The above are of personal opinion and not at all an inducement to trade.