Stocks get slammed as Best Buy warns

The stock market took another blow on Wednesday as Best Buy warned that they have seen a sharp decline in sales in their retail stores. The stock market dropped another 2% on the negative news as investors are concerned that holiday sales could be way off target.

The market is also digesting news out of the TARP progam as Secretary Paulson reviewed progress and future plans for the program. The program will now provide some relief for student loan lenders, credit card companies, auto loan companies and other key financial players who provide capital for the general public. There are hundreds of companies lining up trying to gain access to the TARP’s funds as companies view this as a necessary lifeline to stay in business. American Express has received authorization to become a bank holding company and is rumored to be looking for as much as 3.5 billion dollars worth of loans. There does not appear to be funding earmarked for auto companies, yet there is likely to be seperate legislation to address this in the near future.

The ten year bond is hovering around 3.67%, fixed mortgage rates have moved slightly lower with all of the economic news. Auto loan financing is large challenge in todays market and could get a boost if funds are earmarked for the auto industry.