Visa soon to go public!

Visa has announced its plans top go public and this may well turn out to be the largest IPO offering by a card processor. This may not be the best of times to go public with the economy being as it is, but with Visa, its presence in the markets worldwide should increase the demand for Visa shares , if not by American consumers then by international ones.

Visa has made its plans and its announcement is bound to shake up the market a bit. Maybe, even a bit of the optimism that is reflected in the Visa’s offering could spill over onto the market at large and perhaps, that is a big perhaps, we may well see the Dollar do well in the coming days. Visa is planning to offer upwards of 400 million shares at the $30-$40 range with a neat option for the underwriters for some handy stock of the ‘Visa magic’.

At the moment, consumer confidence has hit some choppy waters and it is going to take something for the consumers to purchase the Visa shares. Even if the Visa IPO were to hit the low ranges, it could still surpass the target area left by its arch rival Mastercard a couple of years back when it went IPO. What is the outlook for investors as far as Visa goes? If the investors cop a loss on the Visa IPO, then in all probability the company would introduce ‘bonus shares’ to offset any loss that may have been incurred by an investor and also this way, the company can maintain customer confidence in the company. This seems to be the most popular route that is taken by IPO’s that end up getting priced lower as a result of economic pressures. All eyes are on the IPO especially to see who are going to be the underwriters on this one.

Wall street rises on Buffett promises!

Well, the bond insurers must be feeling like the manna has started pouring, and one cannot really blame them for feeling that way after all that they have been through in the last few weeks. With the news that Buffett has promised to help ease their money problems, the bond insurers are feeling a little bit easier to breathe these days.

Not that this means that all the problems are over, but just that money has finally started to flow in a little bit to allow everyone to take a little time off. With this news, the Wall Street has started to rally. It seems that any news that is good these days seems to push the market upwards and anything that is even the least bit negative has the opposite result. One can almost imagine that the Markets have become overly sentimental as a result of the recent upheavals. Either way, the momentum for today seems to be good and one can only hope that it carries over for tomorrow as well!

Oil rebounds again inspite of fears of recession!

Oil rebounded today in spite of the fears of the U.S recession. It is the fear that a recession hit United states, may no longer demand that much of the 'Liquid gold' and may also start rationing the fuel out as it did in the past. It was that fear that drove the price tag down and gave a breather for the rest of us.
But now, that breather is all gone and it is back to business as usual. Of course, the recession danger is still not over and with Wall street taking a real hit today, come Monday, the Oil may start to slide all over again. This Tango over the prices and the recession fears looks set to continue for some time as the Dollar goes from weak to weaker still. With Oil going up, the metal markets especially the Gold will respond by going up a few notches itself!