Dave Caruso's Before the Bell

Before the Bell 7/29/2008

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Play from 0:21[0:21] ..." reaction to the financial company issues that continue. The catalyst was probably Merrill Lynch prepared mission that they go to another big write down. They have -- depress the mortgages maybe a little differently in the"...

Play from 1:26[1:26] ..." right now I think it features -- four point two definitely tried Netflix supplies for oil prices are down that dollar 18123. Area. And gold century collapsed."...

Play from 2:06[2:06] ..." his clothes are all look so that's going to help. Steal second quarter profits doubled very good things as personal stuff overseas pretty well which is -- waste management revenues up about three point 9%. The"...

Play from 0:00[0:00]" WBZ financial editor -- says here hi David good morning -- order. Hopefully you don't see another big drop today."

Play from 0:06[0:06]" Now -- hope not we're doing -- okay this morning but it's it's totally disinterested matters split you know yesterday it was just a tough day and but they love I think we're still waiting for that watch the one disputed 500 point drop and then start all over with dismissed yesterday it was really more -- reaction to the financial company issues that continue. The catalyst was probably Merrill Lynch prepared mission that they go to another big write down. They have -- depress the mortgages maybe a little differently in the global structured may have the past and also there raising more money because. -- changed a little bit so I think that brought the markets that thing yeah. They were -- the more the consumer confidence coming up a little bit probably is going to be grateful we'll see what happened but we also got the latest that houses the case Shiller index just saw that out quarters of it. Sort of just lucky over the head with -- it is all twenty -- prices decrease for the month they raise the prices -- 2004 -- four -- potential appreciation. -- to the twenty if -- new lows ten out of the twenty did double digit losses. The test test and were down about 70% for the year at the top fifteen Radenovic 50%. So the worst world players from Miami Tampa San Diego Las Vegas company actually some good -- the rest of the worst because Charlotte. Dell. And guess soup pot students were actually up 1% to -- appreciate a little bit there right now I think it features -- four point two definitely tried Netflix supplies for oil prices are down that dollar 18123. Area. And gold century collapsed."

Play from 1:34[1:34]" Clark saw a lot of activity on the earnings front what you have."

Play from 1:38[1:38]" Yes we operate it starts coming out a lot going to be oil companies into the first put up this morning -- BP British petroleum mother reported 20% profit rise in almost ten billion dollars in profits so things look pretty good gears shall seek. But the the rest of them later in the week. Colgate-Palmolive. Pall mall of cut their estimates 90% profit rise and no complaints there about the raw material costs interest had a great day yesterday as a result of the housekeeper osteoporosis drug it did well today -- sales and earnings. Positive his clothes are all look so that's going to help. Steal second quarter profits doubled very good things as personal stuff overseas pretty well which is -- waste management revenues up about three point 9%. The company mask or not so good that you kind of expected so just got a pretty heart problems at 47%. Sales were kind of lets not get there finally loans and Alcatel. Other such a mediocre results in the to a key employees -- CEO of Russo chairman surged. Archer occurred on now as the telecom giants still looked at a continues to circle so results."

Play from 2:35[2:35]" Sorry Dave we'll keep an eye on those earnings reports today and certainly the Markus thank you very much."

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State accuses Merrill Lynch of selling auction rate securities

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[1:54]..." dot com bubble where there was the same type of behavior. A Wall Street pledged they were going to do it again and that they also declined and we have another example. This whole area of auction rate securities which may seem arcane too many business. Has affected many individuals here in Massachusetts -- 160 are bars in the Merrill case we believe 95 million dollars of these instruments. Was sold between the first of January the twelfth of February of this year. Many of these people stock. And it's hurting our economy it's -- these individuals it's very small businesses. Where is seeking Merrill Lynch is to make these people hold to make good. On these instruments to dip in the -- value of their money. And we feel of the unethical conduct on the bottom Merrill Lynch and in particular the effort to. Co -- research analysis is despicable and on trust it in this untrustworthy behaviors something that we we have to secretly people. Now that this occurred here in Massachusetts only. You know it's a nationwide problem I mean there is a problem nationwide not just with this firm but with a number of firms this is the second complaint that we have brought here in Massachusetts. Massachusetts. Has been aggressive in pursuing misspoke we're not alone other states also brought actions as well. The SEC has been remarkably quiet. But our concern has to make our investors here in Massachusetts -- To make sure that we do our best to get news these people treated fairly which in our view which rescission "...

[0:00]..." We're talking to secretary of the commonwealth of bill Galvin. A -- charges leveled against Merrill Lynch. With the fraud and these auction rate securities sales first of -- tell me what is your office alleging here in this "...

[0:13]..." alleging. Merrill Lynch engaged in fraudulent and unethical conduct specifically deliberately selling these auction rate securities to. Unsuspecting investors and Massachusetts 165. Buyers. Who were told that they would have liquidity that is that the month they would they would get their money "...

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My WBZ Afternoon Headlines 07/29/2008

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