Bank of America Corporation (NYSE: BAC) is gapping up over 13% this morning. Keep in mind that there was already a huge recovery from yesterday’s lows that went under $4.00, but this gap-up is on the continued hopes and calls that there will be no nationalization and that the bank will make it. CNBC’s Maria Bartiromo is also interviewing CEO Ken Lewis later this morning.
Ladenburg Thalmann analyst Dick Bove, who has a strong buy rating on B of A, said late yesterday in a note that fears of nationalization make no sense.
Ken Lewis and other insiders bought over 300,000 shares of common stock, according to a filing from yesterday.
All of this follows yesterday’s comments from Senator Christopher Dodd who dismissed speculation of nationalization which hadbeen gathering steam all week.
Shares are up more than 13% at $5.45 this morning and 40+ million shares have already changed hands. This should be the most activestock today.
Now everyone is just hoping that Meridith Whitney’s phone and computer aren’t working so she can’t kill the momentum here.
Jon C. Ogg
February 6, 2009