Wednesday, May 20, 2009
Stocks are higher in early trading on news that Bank of America Corp. was able to raise billions of dollars in capital.
The bank said late Tuesday that in less than two weeks it had raised $13.47 billion through the sale of 1.25 billion shares of stock. Bank of America's ability to raise cash is a welcome sign for traders still worried about how the bank will fare if consumers fall behind on more debt from mortgages to credit cards.
Investors are also awaiting testimony from Treasury Secretary Geithner before a Senate committee over the White House's plan to steady the banking system.