Midday Commentary: Preferreds boosted by Bernanke comments; INTL FCStone deal hits tape

By Stephanie N. Rotondo

Phoenix, July 11 - Preferred stocks were on the rise Thursday, pushed up by Federal Reserve chairman Ben Bernanke's comments that he stands ready to implement quantitative easing, a trader said.

Even an increase in applications for unemployment benefits - which could indicate that "the market is not as strong" as some think, the trader said - did little to put a damper on things.

"People are just more comfortable that this market will stay here for awhile," the trader said. "If that is the case, then these preferreds look cheap."

Another $25-par senior notes offering was added to the calendar on Thursday, as INTL FCStone Inc. said it intended to sell some seven-year paper.

A trader said he had heard price talk was around 8.5%, though he had not seen any market on the deal.

The New York-based brokerage will use the proceeds for general corporate purposes.

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