Dow Futures

The Dow Jones Industrial Average (INDEX: ^DJI  ) rose today, briefly breaking the 13,000 level, after the announcement of a bailout of Greece.

Today’s big news is that a 130 billion euro ($172 billion) bailout deal for Greece has finally been reached after weeks of negotiations. A bailout was needed so Greece could avoid defaulting on 14 billion euros in bonds due in March.

Before the deal. Greece had 330 billion euros in aggregate debt. The deal is expected to cut Greece’s debt by 107 billion euros and leave the country with a high 120% debt-to-GDP ratio by 2020. That is far below what it would be without the bailout and lower than the 129% goal previously discussed. The target was lowered as private debt holders agreed to take a 53.5% writedown, above the previously discussed 50%. Investors had been worried that if conditions in Greece and the rest of Europe continued to worsen, the U.S. would also experience a slowdown in growth. This deal should lessen some of those concerns for the time being.

Top stock
Alcoa (NYSE: AA  ) was today’s top stock, rising 2.56% to $10.41. Roughly 20% of Alcoa’s revenue comes from Europe, and the potential of a European slowdown has weighed on the stock the past year. Alcoa was the second worst-performing Dow component last year, behind only Bank of America. There are some things to like about Alcoa, however, and Fool analyst Sean Williams thinks Alcoa will outperform the market over the next few years.

The best approach
Watching the broad market each day is exciting, but investing doesn’t have to be gut-wrenching and stressful. If you’re in the mood to pick up a great company to buy for the long term, The Motley Fool has created a brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free, but it won’t be forever, so check it out today.

While it’s still early enough in 2012 for us all to feel like fortune-tellers, it’s time to read the tea leaves and make bold bets about which components on the Dow Jones Industrials Average (INDEX: ^DJI  ) will outperform for 2012. After a rigorous reading of the stars coupled with a strenuous gut check, I’ve awarded the following three companies the coveted title of Top Dow Stock for 2012.

• Bank of America (NYSE: BAC  ) . The largest bank in the U.S. was the worst-performing Dow stock of 2011, but it’s already erased most of its 2011 loss, and it’s only a few weeks into the year. Considering that the bank trades at a historic low price to book of 0.3, this one has the legs to run up for the next year.

• Already the second-best-performing Dow stock of 2012, Caterpillar (NYSE: CAT  ) has the momentum and macro backdrop to continue digging up profits for investors through this year. A highly cyclical business that swings with emerging-market performance, Caterpillar has indicated great things to come with its recent blowout earnings.

• With big tech as cheap as it is, how could I leave tech titan Intel (Nasdaq: INTC  ) off this list? With its 3% dividend, great track record, and cheap multiples, what’s not to love here?

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One more stock for 2012
As great as these companies are, there is one stock I’m more bullish on for 2012. I’m not the only one, either: Our chief investment officer has dubbed this winner “The Motley Fool’s Top Stock for 2012.” I invite you to get free access to this top pick today by clicking here.

The Dow Jones Industrials (INDEX: ^DJI  ) pushed up 45.79 points today to close up 0.35% for the day. The S&P 500 was hot on its tail, posting a 0.23% gain for the day. The Nasdaq was the only index not invited to the party, closing down 0.27%.

On the whole, the markets have had a great opening to the year. The Nasdaq is up 13%, and the Dow is up 6%. Of course, the biggest news that threatens to shake the market out of its momentum is worries about the Greek debt crisis. Watch for key approvals and progress this Monday.

The biggest losers for the day were Bank of America (NYSE: BAC  ) , Alcoa (NYSE: AA  ) , and Hewlett-Packard (NYSE: HPQ  ) .

Take a look at the video below to see what news investors need to watch for next week. Enjoy the long weekend, and Fool on!

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How to play it
Watching the broad market each day is exciting, but investing doesn’t have to be gut-wrenching and stressful. If you’re in the mood to pick up a great company to buy for the long term, The Motley Fool has created a brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free, but it won’t be forever, so check it out today.

The Dow Jones Industrial Average (INDEX: ^DJI  ) was up for a second day in a row after a second day of positive jobs data. At 10:15 a.m. EST, the Dow was up nine points to 12,725.

Today the Dow is up as jobless claims decreased last week by 12,000 to 367,000. Yesterday the market was up in reaction to data from ADP that showed private-sector jobs grew by 170,000 in January.

Leading the Dow up is Alcoa  (NYSE: AA  ) . The stock is up 1.76% to $10.37. Alcoa was one of last year’s worst-performing Dow components. There are some things to like about Alcoa, however, and Fool analyst Sean Williams thinks Alcoa will outperform the market over the next few years.

The best approach
Watching the broad market each day is exciting, gut-wrenching, and stressful, but investing doesn’t have to be. If you’re in the mood to pick up a great company to buy for the long term, The Motley Fool has created a brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free, but won’t be forever, so check it out today.

The Dow (INDEX: ^DJI  ) rose an impressive 0.66% today. But some companies surged more than others. These were the top three performers in today’s Dow:

Why, you may ask, did these three stocks take off?

Shares of Bank of America continue to climb as it’s looking increasingly likely we may actually see a settlement over the alleged foreclosure fraud that’s been plaguing banks and mortgage servicers. There’s overwhelming evidence to suggest that banks have been falsifying court documents in order to foreclose on homeowners for years. Since the settlement cost is relatively small and is being negotiated before the allegations have even been investigated, the deal can be presumed to be extremely favorable to the banks. We’re now beginning to find out that the proposed settlement may not only cover past, but, oddly enough, future fraud as well. Amazing.

This week, Hewlett Packard shareholders received their own bit of good legal news when a court dismissed Oracle‘s (Nasdaq: ORCL  ) lawsuit against the tech giant. Oracle had accused HP of concealing the fact that it was going to hire Leo Apotheker and Ray Lane, both of whom hate Oracle, at the time that HP’s CEO Mark Hurd was getting traded to Oracle. The judge ruled that the charges were pretty irrelevant.

United Technologies is just one of a number of cyclical stocks — particularly capital goods and consumer cyclicals — that outperformed the market today. Cyclicals have been making a big comeback so far in 2012, as investors become increasingly optimistic about improving manufacturing, employment, and sales data.

Bank of America, Hewlett Packard, United Technologies all beat the market today. But if you’re interested in one stock that our chief investment officer picked to crush the market in 2012, check out our brand-new report, “The Motley Fool’s Top Stock for 2012.” It highlights a company that is revolutionizing commerce in Latin America. For a limited time, you can get instant access to the name of this company for free.

The Dow Jones Industrial Average (INDEX: ^DJI  ) jumped today as manufacturing data from around the world showed growth and ADP released data showing private-sector jobs growing by 170,000 in January.

Manufacturing data in Europe and China was better than expected and the Institute for Supply Managements U.S. manufacturing index rose to an eight-month high. On the jobs front, ADP reported that nonfarm private employment rose 170,000 in January. Dropping unemployment is a good sign for the economy.

Top stock
Bank of America  (NYSE: BAC  ) was today’s top stock, up 3.23% to $7.36. Two weeks ago, Bank of America reported better-than-expected earnings for the fourth quarter, ending the year with positive earnings. While the stock has been moving up and down with the status of the Greek debt talks, investors should be most interested in the $25 billion settlement that Bank of America and other lenders are trying to enter into with states over their mortgage-servicing practices.

The biggest loser
One of just three down Dow components today, McDonald’s (NYSE: MCD  ) was today’s worst stock, down $0.66% to $98.40. After a banner year in 2011 some investors may be taking profits on the stock, Fool analyst Jim Royal believes McDonald’s is still a must-own stock.

The best approach
Watching the broad market each day is exciting, but investing doesn’t have to be gut-wrenching and stressful. If you’re in the mood to pick up a great company to buy for the long term, The Motley Fool has created a brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free, but it won’t be forever, so check it out today.

The Dow Jones Industrial Average (INDEX: ^DJI  ) was up as manufacturing data from around the world showed growth and the ADP released data showing private-sector jobs grew by 170,000 in January. At 1:45 p.m. EST, the Dow was up 131 points to 12,764.

Leading the Dow on a day when 28 of the 30 Dow components are up is Bank of America  (NYSE: BAC  ) . The stock is up 3.84% to $7.40. Two weeks ago, Bank of America reported better-than-expected earnings for the fourth quarter, ending the year with positive earnings. While the stock has been moving up and down with the status of the Greek debt talks, investors should be most interested in the $25 billion settlement that Bank of America and other lenders are trying to enter into with states over their mortgage servicing practices.

The best approach
Watching the broad market each day is exciting, gut-wrenching, and stressful, but investing doesn’t have to be. If you’re in the mood to pick up a great company to buy for the long term, The Motley Fool has created a brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free, but won’t be forever, so check it out today.

 Today’s risers

1. Today’s leader is American Express (NYSE: AXP  ) , up 0.22% ($0.11) to $50.09. The company reported earnings above analyst expectations this week. Fool contributor Dan Caplinger thinks American Express is the value play in the card industry.
2. Verizon (NYSE: VZ  ) is second behind American Express today. The company is up 0.19% ($0.07) to $37.41. Verizon didn’t report great earnings this week, but Fool Dan Radovsky thinks the company’s future is bright.
3. Johnson & Johnson (NYSE: JNJ  ) is third, up 0.15% ($0.10) to $65.80. The company also reported earnings this week above analyst expectations. Fool contributor Brian Orelli took a close look at Johnson & Johnson’s earnings.

As of 12:30 p.m., these are the only Dow components up for the day.

The best approach
Watching the broad market each day is exciting, gut-wrenching, and stressful, but investing doesn’t have to be. If you’re in the mood to pick up a great company to buy for the long term, The Motley Fool has created a brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free, but won’t be forever, so check it out today.

The Dow Jones Industrial Average (INDEX: ^DJI  ) was up in early trading, as high as 12,841, but it fell in the afternoon as unexpectedly weak new-home sales figures were reported for December.

The markets began falling after the Commerce Department announced at 10 a.m. that sales of new homes fell 0.2% in December. For 2011, new-home sales fell 6.2% to 302,000, the lowest level since data began being collected in 1963.

Earnings also played a role in the Dow’s decline. AT&T (NYSE: T  ) was the biggest mover of the day, down 2.52% to $29.45, after it reported a $6.7 billion loss, or $1.12 per share. Analysts expected earnings of $0.42. Earnings were hit by the breakup fee with T-Mobile, iPhone subsidy expenses, asset impairments, and an actuarial loss on benefit plans. Revenue was $32.5 billion, slightly above analyst expectations of $32 billion.

The best approach
Watching the broad market each day is exciting, gut-wrenching, and stressful, but investing doesn’t have to be. If you’re in the mood to pick up a great company to buy for the long term, The Motley Fool has created a brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free, but it won’t be around forever, so check it out today.

The Dow Jones Industrial Average (INDEX: ^DJI  ) is rising for the second day in a row as the U.S. Commerce Department reported orders for durable goods rose 3% in December. Also, three Dow components reported earnings. At 10 a.m. EST, the Dow was up 75 points to 12,831.

Caterpillar (NYSE: CAT  ) reported strong earnings this morning. Earnings per share were up 60% to $2.32, above analyst expectations of $1.73 per share. Revenue was $17.24 billion, above analyst expectations of $16.05 billion. In early trading, Caterpillar is up 3.5%.

3M (NYSE: MMM  ) also reported earnings before the market opened, with earnings up 5% to $1.35 per share, just above expectations of $1.31 per share. This was above analysts’ expectations of $0.33 per share; revenue was $7.1, which met expectations. In early trading, 3M is up 0.9%.

AT&T (NYSE: T  ) reported a $6.7 billion loss, or $1.12 per share. Analysts expected earnings per share of $0.42. Earnings were hit by the breakup fee with T-Mobile, iPhone subsidy expenses, asset impairments, and an actuarial loss on benefit plans. Revenue was $32.5 billion, slightly above analyst expectations of $32 billion. The stock is down 2.1% in early trading.

The best approach
Watching the broad market each day is exciting, gut-wrenching, and stressful, but investing doesn’t have to be. If you’re in the mood to pick up a great company to buy for the long term, check out The Motley Fool’s brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free but won’t be available forever, so check it out today.

The Dow Jones Industrial Average (INDEX: ^DJI  ) was down this morning but jumped after the Fed announced that there will be no interest rate hikes until late 2014 at the earliest. At 1:30 p.m. EST, the Dow was up 46 points to 12,721.

After the Fed announced the decision, long-term treasury bonds went up in price, dropping their yield; the 10-year Treasuries yield is now 1.94%. Also up were mortgage REITs, led by Annaly Capital Management (NYSE: NLY  ) , which are dependent on low interest rates to finance their mortgage buying.

Leading the Dow up is American Express (NYSE: AXP  ) . The stock is up 1.9% to $50.19, bucking the financial sector’s trend today. Last week, investors were concerned that falling credit quality could hamper its results, but investors today seemed to have changed their mind.

Runner-up is General Electric (NYSE: GE  ) , which is up 1.3% to $19.09. The company reported earnings on Friday. Analysts expected earnings per share of $0.38 and revenue of $40 billion. The company beat expectations on the earnings side, with earnings per share of $0.39, but fell short on revenue, reporting just $38 billion.

The best approach
Watching the broad market each day is exciting, gut-wrenching, and stressful, but investing doesn’t have to be. If you’re in the mood to pick up a great company to buy for the long term, The Motley Fool has created a brand-new free report: “The Motley Fool’s Top Stock for 2012.” It features a company hand-selected by the Fool’s chief investment officer that has a strong future ahead of it. Get access to the report and find out the name of this legendary company. The report is free, but won’t be forever, so check it out today.

Today was a mixed day overall for the markets, with the Dow Jones Industrial Average (INDEX: ^DJI  ) falling slightly.

The losers
Travelers (NYSE: TRV  ) was the biggest Dow loser, ending down 3.8%. America’s largest insurance company reported earnings that fell below analyst expectations. Travelers’ net income fell by 31% to $618 million, and earnings per share of $1.48 lagged analyst expectations of $1.54.

McDonald’s (NYSE: MCD  ) was the Dow’s second-biggest loser today, ending the day down 2.18%. McDonald’s was down despite reporting higher revenue and net income in its fourth quarter today. The company’s earnings of $1.33 per share beat analyst expectations of $1.30. So why did McDonald’s stock post its biggest decrease in four months after the company had such an impressive quarter? Investors are worried about the struggling global economy (and Europe in particular), as well as forecasts that foreign currency fluctuations would cut into profits this year.

Rounding out the three Dow losers today was Verizon (NYSE: VZ  ) , which ended the day down 1.59%. The second-largest U.S. phone company posted a fourth-quarter loss on previously announced pension charges. Taking out those charges, Verizon reported earnings per share of $0.52, still lower than analyst expectations of $0.60. Strong iPhone sales and smartphone demand from its wireless business drove revenues up 7.7% to $28.44 billion in its fourth quarter.   

While Travelers, McDonald’s, and Verizon all lost to the market today, our chief investment officer has picked out one stock that he believes will crush the market in 2012. To see this company, check out our brand-new free report, “The Motley Fool’s Top Stock for 2012.” It highlights a company that is revolutionizing commerce in Latin America. You can get instant access to the name of this company for free.

The Dow Jones Industrial Average (INDEX: ^DJI  ) finished down 0.26% today; however, some stocks did much better than the Dow as a whole.

Today’s Top 3

1. Today’s leader was United Technologies (NYSE: UTX  ) , which finished up 1.2% [$0.92] to end the day at $77.78. United Technologies reports earnings tomorrow morning along with Boeing; analysts expect earnings per share of $1.46 and revenue of $15.1 billion.
2. IBM (NYSE: IBM  ) was second behind United Technologies today, finishing up 1.03% [$1.95] to end the day at $191.93. The tech giant was up with the rest of the tech sector following the positive earnings from itself and other industry stalwarts last week.
3. Wal-Mart (Nasdaq: WMT  ) took third for the day, up 0.79% [$0.48] to end the day at $61.39. While there was no real news for Wal-Mart, the stock hit a 52-week high today of $62.00, a level not seen since 2008. In the interim three years, Wal-Mart has raised its dividend from $0.24 to $0.365 per quarter.