This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Stocks Finish Mixed After Bernanke Buzzkill, Spain Downgrade

Stocks in this article: ^DJI^IXIC^GSPCLULUMWNAV


NEW YORK ( TheStreet) -- U.S. stocks closed on a mixed note Thursday, held in check by Federal Reserve Chairman Ben Bernanke's non-committal stance on additional stimulus measures and a downgrade of Spain's credit rating by Fitch.

The Dow Jones Industrial Average rose 46 points, or 0.4%, to close at 12,461, settling more than 90 points below a session high of 12,555.

The S&P 500 finished flat at 1315, snapping a three-day winning streak. The Nasdaqshed nearly 14 points, or 0.5%, to finish at 2831.

Breadth was mixed on the Dow with 16 of 30 components finishing in the green. Procter & Gamble (PG), United Technologies (UTX) and Home Depot (HD) were the biggest gainers.

Blue-chip decliners included Bank of America (BAC) and Hewlett Packard (HPQ).

Wall Street got an early lift after the People's Bank of China slashed its benchmark lending and deposit rates by 0.25 percentage points to prevent excessive cooling of economic growth in the country.

The PBOC also said that it will give the green light for the deposit rate to soar by 110% of the benchmark rate and the lending rate to decline to 80% of the benchmark.

That added to already heightened expectations that Fed Chairman Ben Bernanke would hint at the possibility of more quantitative easing to boost the U.S. economy in his testimony before the Joint Economic Committee in Congress on Thursday.

Bernanke, though, retained a neutral tone on the topic of monetary easing in his testimony suggesting the central bank intends to remain in wait-and-see mode, and may not take action at the FOMC meeting in two weeks.

The chairman maintained that the situation in Europe continues to pose significant risks to the U.S. financial system and economy, and that "as always," the Federal Reserve remains "prepared to take action as needed" and that it has the tools available to do this.

He added that if the so-called "fiscal cliff" were allowed to occur with the severe tightening of fiscal policy -- built into the current law -- at the start of the next year, it could "pose a significant threat to the recovery."

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,399.67 +19.26 0.12%
S&P 500 1,904.01 +17.25 0.91%
NASDAQ 4,316.0740 +57.6360 1.35%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs