By the Hair on My Chinny-chin-chin!

We almost ended the month on a good note. About an hour before close, the Dow was up more than 20 points, but trading in that last hour proved that investors are still a little concerned about inflation. The market ended down by the skin of its teeth! The good news is, despite yesterday's rate increase, all the market averages are up for this month. The blue-chip average is up about 0.8%, the S&P 500's index is up more than two points, and the Nasdaq's index is up more than four points. What a relief to end this roller-coaster month on a few good notes! DJIA: -40.58 Nasdaq: -2.29 S&P 500: -2.66

Doves are Pretty

I like doves much more than hawks. And in "market talk," a "dovish" statement means just as it sounds - less agressive, less scary - less hawkish. Traders have been anticipating today's Fed statement for weeks, and the outcome was just that. Although the rates were raised a quarter of a point to 5.25%, the statement made was "dovish." The overtones in the Fed's speech sent stocks soaring, with the Nasdaq gaining almost 3%, and the Dow up almost 2%. And this just in: EMC has agreed to buy RSA Security in a deal worth more than $2.1 billion. Those mergers keep rolling in! DJIA: +217.24 Nasdaq: +62.54 S&P 500: +26.87

New Honda Plant

Stocks showed almost no movement this morning, but popped up late in the afternoon, bringing the Dow up almost half a point to 10973.56. This was caused by sudden activity in the energy department. The Japanese auto-maker Honda, announced today the new location for its plant - in Greensburg, Indiana. A senior executive of Honda said the plant will begin producing vehicles in 2008 and will hire 2,000 employees. How are the residents of Greensburg reacting? After years of animosity towards Honda (GM was a major employer in Indiana), the people of Greensburg have changed their minds. Residents have even gone as far as inviting a Japanese businessman to educate them on Japanese culture! DJIA: +48.82 Nasdaq: +11.59 S&P 500: +6.80

Confidence Cometh Before a Fall

Consumer confidence reports were released today and were much higher than expected. This sent the market whirling as investors grew more certain of a rates increase at tomorrow's Fed meeting. A stronger-than-expected housing report added to the flurry of activity today. Speaking of activity, a wave of multi-million dollar deals is quickly making 2006 the Year of Mergers. Companies such as Johnson & Johnson, Pfizer, Phelps Dodge Corp, and Inco Ltd. will add to the 2006 acquisitions parade, growing stronger every hour. According to Thomson Financial, 2006 is on its way to a year-end tally of over $3.5 trillion! DJIA: -120.54 Nasdaq: -33.42 S&P 500: -11.36

Buffett is the Man

Warren Buffett announced today that the bulk of his Berkshire Hathaway stock will be given to the Bill Gates Foundation. An annual contribution of $1.5 billion from Mr. Buffett's stock will be put to use seeking cures for some of the world's worst diseases and to improve education in the U.S. I've met Mr. Buffett (see Bus Ride), and the media can never do justice to both his intelligence and compassion. And investors seemed to overlook the upcoming Fed meeting today, as good news about the housing market and high merger activity bumped the Dow up more than half a point. DJIA: +56.19 Nasdaq: +12.20 S&P 500: +6.06