JAL Thoughted

Financial Journal for September 26 2008

Stock Quotes	9/19/08 Close:	% Change from Prior Week	9/26/08 Close:
Dow Jones	11388.44	-2.2, down 245.31 pts	11143.13
NASDAQ	2273.90	-4.15, down 90.56 pts	2183.34
S&P	1255.07	-3.47, down 42.06	1213.01

Market Movers:

• WaMu goes bankrupt
• $700 billion bailout remains unsettled

Important Market Development Summaries:

• Wall Street closes mixed amid bailout concerns. MSNBC.MSN.com. Sept. 26, 2008.
  • “Financial markets remained on edge Friday after the Bush administration's proposal for a $700 billion banking bailout ran into opposition from Republican lawmakers.”
• “WaMu Fails; JPMOrgan Buys Most of Its Assets” Fox Business. Sept. 25, 2008.
  • After a wave of withdrawals, WaMu was forced to shutter its doors late Thursday night. Federal regulators seized it and most of its assets sold to JPMorgan.
    • Ahead of the Bell: WaMu seeks buyer report says. AP. Sept. 24, 2008.
      • Standard & Poor’s cuts WaMu rating to CCC from BB-.
• Bank of America and JP Morgan now first and second largest U.S. banks. Sept. 26, 2008.

Financial Journal for September 19 2008

Stock Quotes	9/12/08 Close:	% Change from Prior Week	9/19/08 Close:
Dow Jones	11421.99	-.29	11388.44
NASDAQ	2261.27	.56	2273.90
S&P	1251.70	.27	1255.07

Market Movers:

• AIG Bailout
• Mother-of-all Bailouts Announced
• Lehman Brothers files for ch.11 bankruptcy, Bank of America buys Merrill Lynch
• Fed funds rate stays unchanged at 2%

Important Market Development Summaries:

• Fed Takes Control of AIG With $85 Billion Bailout, Sept. 16^th 2008. Bloomberg.com:
  • Fed provides two-year loan and take 79.9 percent ownership.
    • This fails to calm investors and markets proceed to spiral downward.
• U.S. stocks surge on rescue report, September 18^th 2008. BBC.com:
  • Stocks rallied the most in six years on prospects the government will formulate a plan to shore up financial markets.
    • The mother-of-all bailouts set around $700 billion to buy troubled assets.
    • Ban on short-selling for 799 financial stocks is put in place. (Bloomberg.com, Sept. 19^th, 2008)
  • Six of the world’s top central banks released $180 billion to increase amount of credit available.

Financial Journal for September 12 2008

Stock Quotes	Friday’s Close: 9/5/08	% Change from Prior Week	Current Quotes: 9/12/08
Dow Jones	11220.96	1.76	11421.99
NASDAQ	2255.88	.238	2261.27
S&P	1242.31	.75	1251.70

Market Movers:

• Fannie Mae and Freddie Mac
• Hurricane Ike
• OPEC

Important Market Development Summaries:

• U.S. seizes Fannie and Freddie – CNNMoney.com, Sept 7, 2008
  • Government now in charge of $5 trillion in home loans.
• Ike & OPEC Go Easy, Oil Falls 3% - IBD, Sept 10, 2008

· Washington Mutual Stock Falls on Investor Fears – NYT. Sept 11, 2008

o Largest Savings and Loan, -30%, $180 billion of mortgage-related loans w/9-14 billion in losses this year.

• Saudis Vow To Maintain Oil Output – NYT, Sept 11, 2008
  • Oil prices hovered from decline as market remained unclear on where supplies stood

Financial Journal for September 5 2008

Index: 8/29 Close; 9/5 Close; Change;

DJIA: 11,543.55; 11,220.96; -2.795%

NASDAQ: 2,367.52; 2,255.88; -4.715%

S&P: 1,282.38; 1,242.31; -3.159%

Market Movers:

1. Concern for health of economy pulls the Dow down 3% in one day
2. Beige book report is released
3. Oil moves down
4. Hurricane Gustav

Important Market Development Summaries:

New York Times (Sept. 2, 2008)

• Dow Jones moves more than 200 points after decline in oil prices
• Oil prices sink as Hurricane Gustav causes less damage than initially thought

Wall Street Journal (Sept. 4, 2008)

• Fed’s Beige Book reports slowing consumer spending worrying the market because it has not declined on “quarterly basis since 1990-91.”

CNNMoney.com (Sept. 5, 2008)

• Jobless rate soars to 6.1% at 605,000 job losses for 2008, highest in five years.