On the upside
Property and casualty insurer Philadelphia Consolidated Holding (Nasdaq: PHLY) received a $4.39 billion all cash buy out offer from Japanese insurer Tokio Marine Holdings.
Shares of Fannie Mae (NYSE: FNM) and Freddie Mac (NYSE: FRE) surged as the House prepared to vote on a housing bill designed to help homeowners and the two mortgage buyers.
AirTran (NYSE: AAI) announced expanded service in Milwaukee including the addition of nonstop service to Fort Lauderdale.
On the downside
Lehman Brothers downgraded power company Mirant (NYSE: MIR).
Costco Wholesale (Nasdaq: COST) warned that fourth quarter earnings will fall short of estimates due to higher energy expenses.
Although Anadigics (Nasdaq: ANAD) reported higher second quarter earnings that surpassed estimates, analysts downgraded the chipmaker for its disappointing third quarter outlook.
In the broad market, advancing issues outpaced decliners by a margin of nearly 2 to 1 on the NYSE and by nearly 5 to 3 on Nasdaq. The Russell 2000 which tracks small cap stocks gained 5 points to 722.
