Google Scares the Bears Away -- Now What?
By David Brown, Chief Market Strategist, Sabrient Systems
After one of the most volatile weeks in market history, Google (GOOG) single-handedly frightened the bears away this morning with its $12.5 billion purchase of Motorola Mobility (MMI).
Though the Federal government avoided a debt default with an eleventh hour deal for raising the debt ceiling, investors are apparently unimpressed—especially given the uninspiring economic reports. This week, the Commerce Department reported that personal spending in June fell for the first time in two years. This was coupled with the weak ISM manufacturing report and last Friday’s weak GDP report.