US Stocks Get Boost From Home Sales Data,Industrials Over 8000

Date: Tue, 03 Feb 2009 12:01:24 -0500

U.S. stocks got a boost from a rise in pending home sales, though
gains remained modest after a mixed finish Monday that left blue chips
within sight of their bear-market lows. The Dow Jones Industrial
Average was up about 60 points to move over 8000 in recent trade. It
was bolstered by gains for drug
maker Merck, which rose 4.1% after posting a profit for the fourth
quarter, and Alcoa, which advanced 3.9% amid a broad gain among
basic-materials stocks.

General Motors fell 5.2% ahead of what are expected to be grim
auto-sales figures to be released later in the day. The S&P 500 Index
was up 0.6%, with. its basic-materials sector up 2.1% and its
financial index down 1.1%.

U.S. CAR SALES COULD SIGNAL THE START OF A BOTTOM FOR
INVESTORS

While January's car sales are projected to be terrible, the fact they
seem to be stabilizing -- albeit at an awful rate -- could be a
positive for an equities market looking for signs of a floor that
might begin to indicate better times ahead.

MERCK SWINGS BACK TO PROFIT DESPITE SALES DECLINE

Merck returns to profitability in the fourth quarter, after losing
money in the year-earlier period due to a legal hit over a pulled pain
killer.

EARNINGS OUTLOOK: MOTOROLA POSTS $3.6 BILLION LOSS, SUSPENDS DIVIDEND

Investors already know Motorola Inc. had a poor fourth quarter. What
they want to know Tuesday when Motorola reports full results is if the
company will
suffer even more in the first few months of 2009 -- and beyond.

DISNEY KICKS OFF BIG EARNINGS WEEK FOR MEDIA

Walt Disney Co. reports its first-quarter fiscal results after the
market closes Tuesday, a report that will be closely watched as a
guide to what to expect from big media conglomerates in 2009.