Equities Close
TSY Secretary Paulson’s proposed plan to overhaul the US financial regulatory system sent major indices nearly 1% higher in the morning and boosted equities into the close
Financials were the biggest beneficiary, thanks to Paulson’s announcement and Citigroup’s decision to reshuffle its credit card and consumer banking branches. A stronger-than-expected reading on Chicago PMI, due to higher exports, also allayed fears that business investment was drying up.
Among the day’s worst performers were energy stocks — following the sell-off in Crude — and health care stocks, led lower by Merck and Schering-Plough after studies showed their cholesterol drugs were no more effective than generics.
Dow Futures finished up 23 to 12259. S&Ps closed at 1231.75, up 2.75. Nasdaq Futures added 4.75 to settle at 1784.75.