12:30PM New York – U.S. stocks rallied after an offer from Buffett and rising oil prices.

U.S. stocks rallied after three hours of trading led by a rise in financial and energy stocks.

The Warren Buffett offer to invest up to $5 billion and reinsure municipal bonds portfolio from the three troubled bond insurance companies, lifted stocks in morning trading.

The U.S. along with six major home mortgage lenders released a plan to help struggling homeowners under the name “Project Lifeline”. The plan was dubbed by the U.S. Treasury and Housing Development Secretary as a mechanism to keep people in homes with loan modifications who are likely to lose their properties otherwise. Henry Paulson the Secretary and Alphonso Jackson from HUD dubbed the plan will help people who are on the brink of insolvency by extending loan terms and relaxing certain measures of financing.

Bank of America, Countrywide Financial, Washington Mutual, Wells Fargo, Citigroup, and JP Morgan are part of the new alliance forged by the administration.

General Motors reported a loss in the fourth quarter and for the year 2007 on the continued challenges in the U.S. market. International markets delivered rising sales and earnings. The losses related to subprime market also affected the performance of GMAC.


Earnings News

Marsh & McLennan (MMC: chart), insurance company, reported for the fourth quarter ended on December 2007 net revenue increased 8.1% to $2.93 billion from $2.71 billion in the prior-year quarter.Net earnings were $85 million or 16 cents per share compared to net earnings $226 million or 40 cents per share, for last year.

Credit Suisse (CS: chart), Swiss bank and financial services company, reported that net revenue in the quarter was 9.4 billion francs ($8.5 billion), a decline of 13% from the 10.8 billion francs in the same period of 2006.

Net revenue for the year increased 6% to 40.9 billion francs ($37.2 billion) from 38.6 billion francs a previous year. Net income in the fourth quarter decreased 1.32 billion Swiss francs ($1.2 billion), or 1.21 francs a share.

For the full year, net income was 8.5 billion francs ($7.7 billion), decreased 25 % from 11.3 billion francs in 2006.

Teradata Corporation (TDC) said revenue surged 10% in the fourth quarter of 2007 of $1.702 billion, from $1.547 billion in 2006. Net income in the quarter was $79 million, or $0.43 per diluted share, compared to $62 million, or $0.34 per diluted share, in the fourth quarter of 2006.

Banco Itau Holding Financeira S.A. (ITU), Brazilian private bank reported earnings in the fourth quarter net income increased to $1.13 billion and posted net profit of 2.03 billion, from 1.28 billion in the same period in 2006.

Asian Markets Indexes

In Tokyo Nikkei 225 Index closed higher 4.72 or 0.04% to 13,021.96, in Hong Kong Hang Seng index increased 305.56 or 1.35% closed to 22,921.67. Australia ASX 200 index increased 70.50 or 1.27% to close 5,608.10.

In South Korea Kospi Index increased 2.62 or 0.16% to close at 1,643.29, in Thailand SET index closed higher 13.34 or 1.66% to 817.49 and Indonesia JSE Index edged increased 2.69 or 0.10% to 2,592.07. Sensex index in India decreased 22.90 or 0.14% to 16,608.01.



11:30AM New York – General Motors reported rising sales and earnings in foreign markets but the domestic market continue to plague the company in the face of stiff competition and shrinking market.