Stocks Up Modestly on Buffett-Goldman Deal

11:00am Market Summary

Dow Jones Averages
30 industrials 10883.32 up 29.15 or 0.27 percent
20 transportation 4783.96 down 8.04 or -0.17 percent
15 utilities 432.11 down 3.43 or -0.79 percent
65 stocks 3885.55 down 3.03 or -0.08 percent

Major Market Indexes
New York Stock Exchange 7823.66 up 38.39
American Stock Exchange 1911.30 up 11.34
Nasdaq composite 2173.28 up 19.95
Standard and Poors 500 1193.89 up 5.67

White House: Bush mulling speech to nation

WASHINGTON (AP) - President Bush is considering whether to address Americans directly about the financial crisis, and his spokesperson says the nation risks "calamity" without bold action to address the problem.

White House press secretary Dana Perino told reporters Wednesday the president was weighing whether, as well as when and where, he might deliver a speech to share his thoughts about the market meltdown. Perino said the nation "could be facing financial calamity" without what she called bold and decisive action.

She said the president has been trying to answer the many questions and concerns Americans have, and that it was possible a formal address was a way to continue to do that. Perino spoke as Bush flew back to Washington from New York Wednesday.

Bernanke: Fed will 'act as needed' to help

WASHINGTON (AP) - Federal Reserve Chairman Ben Bernanke says the worsening financial crisis could prove a major weight on U.S. business growth and pledges to "act as needed" to brace the wobbly economy.

Bernanke and his Fed associates are fighting the biggest financial debacle since the Great Depression. On Wednesday, the Fed chief faces a second straight day of tough questioning on Capitol Hill about the Bush administration's proposed $700 billion bailout plan.

Lawmakers have voiced skepticism about the plan, which is aimed at shoring up troubled financial institutions and markets.

Goldman raising $5 billion in public stock offer

NEW YORK (AP) - Goldman Sachs will sell $5 billion worth of common stock to the public as part of a capital-raising plan that also includes Warren Buffett's investment of at least $5 billion.

Goldman Sachs Group Inc. says it has priced the offering of 40.65 million common shares at $123 apiece.

The offer is double the amount Goldman said Tuesday night it would raise as part of a plan to boost its capital cushion in the wake of the bankruptcy of fellow Wall Street firm Lehman Brothers.

Warren Buffett's Berkshire Hathaway is buying $5 billion in preferred stock and will receive warrants to purchase an additional $5 billion worth of common shares over five years.

(Copyright 2008 by The Associated Press. All Rights Reserved.)