Pain in Spain
The bulls will face resistance today from across the Atlantic. Spanish bond yields pushed past the psychologically key 6% level this morning, sparking fears that one of Europe’s biggest economies will need a bailout.
European banks are also under pressure in the wake of credit-rating service Moody’s announcement Friday that it will delay a plan to review more than 100 European banks until May.
Back at home, U.S. stock futures are indicating a higher open this Monday morning, with the Dow set to open 44 points to the upside. The bulls will need the relief: the blue chip average has lost 362 points over the past two weeks.
Best Buy (NYSE:BBY) has outlined its plans for store closures. By May 12, the struggling electronics chain said it will close 42 stores, including six in its Minnesota, where it is based, six in Illinois, six in California and one in New York. The move will save Best Buy $800 million and hopefully avoid the fate of once-rival Circuit City.
As gas prices average $3.90 a gallon nationwide, more and more drivers are looking to soften the financial blow. Shoppers have more options than ever to buy a gas-saver, including hybrids, electric vehicles, and super fuel economy cars.
But more often than not, those options come with high price tags. Studies show that gas would have to approach $8 a gallon before many of the cars could be expected to pay off in the six years an average person owns a car.
Nonetheless, new data from auto information company Ward’s finds that people are buying hybrids in record numbers. About 52,000 hybrids and all-electric vehicles were purchased last month, up from 34,000 the same time last year. Ward’s also says March’s robust sales pushed hybrids to a 3.6% market share of total car sales – the highest ever.