Auto Winners & Losers: GM

Updated from 10:40 a.m. EST

DETROIT -- Shares of General Motors (GM Quote) and Ford (F Quote) spiked Friday after the government agreed to offer aid to GM's financing arm.

GM shares rose 12.6% to $3.66 in the first trading session since the Federal Reserve granted bank holding status to GMAC Financial Services late Wednesday.

The move, which makes GMAC eligible for funds earmarked for the government's $700 billion bank rescue plan, saves GMAC from possible bankruptcy. It also is expected to stimulate activity in the auto sector, since the funds would allow GMAC to offer loans to car buyers and dealerships looking to increase showroom inventories. ...