U.S. stocks climb in wake of Fed auction results

Date: Wed, 19 Dec 2007
17:01:13 (GMT)

U.S. stocks climb in wake of Fed auction results

U.S stocks on Wednesday opened mixed in tentative trading, with
investors awaiting results from the Federal Reserve's auction and
digesting word of more losses from investment bank Morgan Stanley, which
also drew a large investment from China.

Morgan Stanley sets $5.7 bln in added write-downs; China buys in

BOSTON
Morgan Stanley said Wednesday it's writing down an additional $5.7
billion of mortgage-related assets, taking the total fourth-quarter loss
to nearly $10 billion in the latest sign that the credit crunch is
worsening.

California fires caused up to $335 million in losses: Allstate

Insurance company Allstate Corp. said Tuesday that the wildfires that
blanketed southern California in October have resulted in more than
7,000 claims and up to $335 million in "catastrophe losses" to be
recorded in the fourth quarter of 2007.

Week-to-week mortgage applications down 19.5%: MBA

CHICAGO
Applications filed for mortgages decreased a seasonally adjusted 19.5%
last week, reflecting a sharp drop in refinancing activity, the Mortgage
Bankers Association said Wednesday.

Palm shares fall to four-year low as sales keep falling

SAN FRANCISCO
Palm Inc. shares sank to their lowest level in nearly four years
Wednesday morning after the maker of smart phone devices swung to a net
loss for its second fiscal quarter and issued a disappointing forecast
for the current period.