In this video from Tuesday's edition of Investor Beat, host Chris Hill and Motley Fool analysts Mike Olsen and Morgan Housel dig into the top business and investing stories from the market today.
Janet Yellen made her first appearance before Congress as Federal Reserve chief, during which she stressed a "great continuity" in strategy as she takes over for Ben Bernanke. Wall Street was obviously pleased with what it heard, with the Dow, Nasdaq, and S&P 500 all up today. In the lead story on today's Investor Beat, the guys discuss the new Fed chief, what the Fed will look like under her administration, and how Fed chairs have historically proved their mettle in times of crisis.
Then, Mike and Morgan look at four stocks making moves on the market today. Fourth-quarter profits for CVS Caremark rose 12%, and the company raised guidance for the current quarter. CVS recently announced that it will discontinue cigarette sales this coming October, a move applauded by several media outlets. In its fourth quarter, Sprint lost both money and subscribers, but not as much money and not as many subscribers as Wall Street was expecting. Shares were, counterintuitively, up on the news. Groupon shares fell after the daily-deal site announced that the senior VP for product management will leave the company. And Rackspace Hosting is closing in on a 52-week low after posting what one media outlet referred to as "exceptionally weak" fourth-quarter results. The CEO of the company is also leaving his position, something that has shaken investor confidence even further.
And finally, Morgan discusses why a favorite stock of his, Markel, looks very cheap today, and Mike looks into Boardwalk Pipeline Partners, which took a huge beating after cutting its distribution to shareholders by 80%. Mike still likes the company and thinks it just may have sold off too far.
Does the Fed really affect the market over the long term?
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