As expected financial stocks soared today based upon a government plan to buy toxic assets from financial companies. Bank of America (BAC) is up to $7.80 a share. Just two weeks ago the stock was at $2.53 amid fears of nationalization. I still believe that Ken Lewis is in trouble but Bank of America will be okay as long as the stock can stay above $5. B of A has some very profitable businesses and should post solid numbers in an economic recovery. JPMorgan Chase rose $5 today to $28.86 per share. Wells Fargo (WFC) jumped 24% to rise above $17 for the first time in awhile. Even though these stocks have rallied over the past two weeks, many of them are still down over 80% over the past year. While I wouldn’t jump in and buy a ton of shares at their current prices; I would be a buyer on any pullback of 10% or more. I have been buying shares of Wells Fargo monthly.
Make Money Investing The Warren Buffett Way
