United States

B of A beat the Street but failed to ignite the market for a second week as oil bounced. The Dow was down 30 but there were some very poor aftermarket results.

ANZ Bank notes outside the US equities have fallen in July while volatility is rising, suggesting continued caution on behalf of investors.

Oil is out, financials are in. US shares broke a six week losing streak. At least, if you focus on the Dow and forget about technology.

The Dow jumped another 207 last night as oil fell another US$5 and JP Morgan played the star.

What happens if foreign sovereign investors abandon Fannie and Freddie?

The moratorium on short-selling had its effect last night as traders rushed to cover positions in financials. Oil fell another US$4 and the Dow shot up 276.

Standard Chartered suggests the US dollar has been oversold on financial sector concerns and with the US ahead of other regions in terms of policy initiatives the currency may soon strengthen.

The Dow closed down 92 in another volatile session which saw oil fall over US$6.

An early rally spurred by Fannie and Freddie failed last night as traders realised the overall implications. Regional banks were crucified. The Dow fell 45.

As the US government steps in to save its two sponsored mortgage lenders, one may wonder just exactly what Fannie Mae and Freddie Mac are and why they are so important.