http://www.kitcometals.com/ Look at the rises in the top 5 performers at the bottom of the page.Me thinks a bit of confidence is coming back to the market.Having said that it might all fall over tommorow.Hope not 
theasxgorilla
Problem solved... next bubble.
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wayneL said:Yes, apparently a slowing economy is bullish
Geniunely incredible...SPX up 1.71% at close...where are those wave counts?
bigdog
Retired many years ago
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I am in Thailand on holidays for the next three weeks and would appreciate if someone could update this forum daily!
http://finance.yahoo.com/
WOW looking forward to todays action
The NYSE DOW closed HIGHER by 159 points on Wednesday March 21:
Symbol ----- Last --- Change
Dow 12,447.52 +159.42 (1.30%)
Nasdaq 2,455.92 +47.71 (1.98%)
S&P 500 1,435.04 +24.10 (1.71%)
10-Yr Bond 4.5180% -0.0290
NYSE Volume 3,188,275,000
Nasdaq Volume 2,263,914,000
http://biz.yahoo.com/ap/070321/wall_street.html?.v=56
Stocks Rally on Fed Comments on Economy
Wednesday March 21, 9:06 pm ET
By Tim Paradis, AP Business Writer
Stocks Rally Sharply After the Federal Reserve's Economic Assessment Ignites Investor Hopes
NEW YORK (AP) -- Wall Street rallied sharply Wednesday after an economic assessment by the Federal Reserve ignited investor hopes that the central bank has warmed to the idea of lowering short-term interest rates. Largely thanks to Wednesday's triple-digit gains, the Dow Jones industrials have surged 337 points this week, the best three-day performance for the blue chip average since November 2004.
Investors had nervously awaited the economic statement that accompanied the Fed's decision to leave short-term interest rates unchanged at 5.25 percent, and were encouraged that the central bank didn't refer to the possibility of "additional firming" of rates as it did in January. Policy makers said "future policy adjustments" will depend on inflation and growth -- more neutral language that the market interpreted as opening the way for a possible rate cut. The Fed indicated that it remains vigilant about the threat of inflation, though.
The market was also relieved that the central bank left in place language in its statement that it still expects the economy will "continue to expand at a moderate pace."
While a slowdown in the economy likely would quell the threat of inflation and perhaps open the way for a rate cut it would also dent corporate profits.
"I think it did a bit to assuage the equity market's concerns that the Fed understands there is a possibility that the drag on the consumer could bring GDP down below where they expect," said Quincy Krosby, chief investment strategist at The Hartford, referring to gross domestic product -- the broadest measure of the economy.
"They made it clear that they remain data-dependent. However, given the data they have today they see an economy that is still expanding, albeit more slowly."
The Dow soared 159.42, or 1.30 percent, to 12,447.52, after having been flat until the Fed announcement. It was the index's biggest one-day point gain since July 24.
Broader stock indicators also posted strong gains. The Standard & Poor's 500 index jumped 24.10, or 1.71 percent, to 1,435.04, and the Nasdaq composite index advanced 47.71, or 1.98 percent, to 2,455.92.
The Dow is still down 0.13 on the year, but the S&P 500 and Nasdaq are now up by more than 1 percent.
Bonds rose following the Fed decision. The yield on the benchmark 10-year Treasury note fell to 4.54 percent from 4.55 percent late Tuesday. The yield on the two-year note briefly fell below that of the 10-year for the first time since August 2006 -- a positive sign, given that some say that a market with short-term yields exceeding long-term yields portends a recession.
The dollar was mixed against other major currencies, while gold prices rose.
Light, sweet crude settled up 36 cents at $59.61 per barrel on the New York Mercantile Exchange. A government report showed U.S. crude oil inventories rose again last week, but gasoline stocks fell more than analysts expected.
The Fed's reflections on the economy served as a calming voice on Wall Street after growing unease about economic growth worldwide helped spark a Feb. 27 selloff that saw a 416-point drop in the Dow. The Dow is now 185 points, or 1.5 percent, lower than it was on Feb. 26, before that plunge.
With Wednesday's decision, the Fed has left short-term interest rates, the rate banks charge each other for overnight loans, unchanged for six straight meetings after a string of 17 straight increases that began in 2004.
Though removing the reference to "additional firming" seemed to suggest to some investors that the central bank has softened its stance toward raising rates, analysts pointed out the Fed still noted that "inflation risks remain," and that "recent readings on core inflation have been somewhat elevated."
"By the initial rally it seems like the market is saying the statement is less hawkish and the market is setting up for them to be balanced at the next meeting. Although I believe that they're going toward that direction, I think their statement isn't a clear signal that they're there yet," said Sean Simko, head of fixed income management at SEI Investments.
"They have to remain data-dependent," he said of the Fed. "If they take their inflation bias off, they risk losing their credibility."
The relief over the statement Wednesday could be short-lived if new data arrives in the coming weeks showing inflation ramping up. Market watchers will remember that Fed's decision to leave rates unchanged last month led to an initial elation that helped bring the Dow to its 31st record high since October -- but that elation wore off a week later when worries emerged related to plummeting markets overseas, the faltering subprime mortgage market, dollar weakness versus the yen, and the possibility of a recession.
While most of Wall Street's attention Wednesday was squarely on the Fed, a few key earnings reports also drew interest. Morgan Stanley's fiscal first-quarter earnings and revenue blew past Wall Street's estimates and FedEx Corp.'s fiscal third-quarter earnings came in stronger than expected but the shipping company warned profits in the coming fiscal year could fall below its expectations.
Morgan Stanley rose $4.66, or 6.1 percent, to $80.77, while FedEx fell $1.30 to $110.99.
Software companies showed gains. An acquisitive Oracle Corp. indicated its expansion plans might be reaping dividends as its fiscal third-quarter earnings and new software sales topped Wall Street's expectations. Oracle advanced 62 cents, or 3.5 percent, to $18.17.
Adobe Systems Inc. rose $2.56, or 6.3 percent, to $43.30 after the company reported its first-quarter results topped Wall Street's expectations and the company increased its profit forecast.
Advancing issues outnumbered decliners by about 5 to 1 on the New York Stock Exchange after being nearly even before the Fed's announcement. Consolidated volume came to 3.13 billion shares, up from 2.75 billion on Tuesday.
The Russell 2000 index of smaller companies rose 13.87, or 1.75 percent, to 807.47.
Overseas, markets in Japan were closed for a holiday. Britain's FTSE 100 closed up 0.59 percent, Germany's DAX index added 0.18 percent, and France's CAC-40 slipped 0.02 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
http://finance.yahoo.com/
WOW looking forward to todays action
The NYSE DOW closed HIGHER by 159 points on Wednesday March 21:
Symbol ----- Last --- Change
Dow 12,447.52 +159.42 (1.30%)
Nasdaq 2,455.92 +47.71 (1.98%)
S&P 500 1,435.04 +24.10 (1.71%)
10-Yr Bond 4.5180% -0.0290
NYSE Volume 3,188,275,000
Nasdaq Volume 2,263,914,000
http://biz.yahoo.com/ap/070321/wall_street.html?.v=56
Stocks Rally on Fed Comments on Economy
Wednesday March 21, 9:06 pm ET
By Tim Paradis, AP Business Writer
Stocks Rally Sharply After the Federal Reserve's Economic Assessment Ignites Investor Hopes
NEW YORK (AP) -- Wall Street rallied sharply Wednesday after an economic assessment by the Federal Reserve ignited investor hopes that the central bank has warmed to the idea of lowering short-term interest rates. Largely thanks to Wednesday's triple-digit gains, the Dow Jones industrials have surged 337 points this week, the best three-day performance for the blue chip average since November 2004.
Investors had nervously awaited the economic statement that accompanied the Fed's decision to leave short-term interest rates unchanged at 5.25 percent, and were encouraged that the central bank didn't refer to the possibility of "additional firming" of rates as it did in January. Policy makers said "future policy adjustments" will depend on inflation and growth -- more neutral language that the market interpreted as opening the way for a possible rate cut. The Fed indicated that it remains vigilant about the threat of inflation, though.
The market was also relieved that the central bank left in place language in its statement that it still expects the economy will "continue to expand at a moderate pace."
While a slowdown in the economy likely would quell the threat of inflation and perhaps open the way for a rate cut it would also dent corporate profits.
"I think it did a bit to assuage the equity market's concerns that the Fed understands there is a possibility that the drag on the consumer could bring GDP down below where they expect," said Quincy Krosby, chief investment strategist at The Hartford, referring to gross domestic product -- the broadest measure of the economy.
"They made it clear that they remain data-dependent. However, given the data they have today they see an economy that is still expanding, albeit more slowly."
The Dow soared 159.42, or 1.30 percent, to 12,447.52, after having been flat until the Fed announcement. It was the index's biggest one-day point gain since July 24.
Broader stock indicators also posted strong gains. The Standard & Poor's 500 index jumped 24.10, or 1.71 percent, to 1,435.04, and the Nasdaq composite index advanced 47.71, or 1.98 percent, to 2,455.92.
The Dow is still down 0.13 on the year, but the S&P 500 and Nasdaq are now up by more than 1 percent.
Bonds rose following the Fed decision. The yield on the benchmark 10-year Treasury note fell to 4.54 percent from 4.55 percent late Tuesday. The yield on the two-year note briefly fell below that of the 10-year for the first time since August 2006 -- a positive sign, given that some say that a market with short-term yields exceeding long-term yields portends a recession.
The dollar was mixed against other major currencies, while gold prices rose.
Light, sweet crude settled up 36 cents at $59.61 per barrel on the New York Mercantile Exchange. A government report showed U.S. crude oil inventories rose again last week, but gasoline stocks fell more than analysts expected.
The Fed's reflections on the economy served as a calming voice on Wall Street after growing unease about economic growth worldwide helped spark a Feb. 27 selloff that saw a 416-point drop in the Dow. The Dow is now 185 points, or 1.5 percent, lower than it was on Feb. 26, before that plunge.
With Wednesday's decision, the Fed has left short-term interest rates, the rate banks charge each other for overnight loans, unchanged for six straight meetings after a string of 17 straight increases that began in 2004.
Though removing the reference to "additional firming" seemed to suggest to some investors that the central bank has softened its stance toward raising rates, analysts pointed out the Fed still noted that "inflation risks remain," and that "recent readings on core inflation have been somewhat elevated."
"By the initial rally it seems like the market is saying the statement is less hawkish and the market is setting up for them to be balanced at the next meeting. Although I believe that they're going toward that direction, I think their statement isn't a clear signal that they're there yet," said Sean Simko, head of fixed income management at SEI Investments.
"They have to remain data-dependent," he said of the Fed. "If they take their inflation bias off, they risk losing their credibility."
The relief over the statement Wednesday could be short-lived if new data arrives in the coming weeks showing inflation ramping up. Market watchers will remember that Fed's decision to leave rates unchanged last month led to an initial elation that helped bring the Dow to its 31st record high since October -- but that elation wore off a week later when worries emerged related to plummeting markets overseas, the faltering subprime mortgage market, dollar weakness versus the yen, and the possibility of a recession.
While most of Wall Street's attention Wednesday was squarely on the Fed, a few key earnings reports also drew interest. Morgan Stanley's fiscal first-quarter earnings and revenue blew past Wall Street's estimates and FedEx Corp.'s fiscal third-quarter earnings came in stronger than expected but the shipping company warned profits in the coming fiscal year could fall below its expectations.
Morgan Stanley rose $4.66, or 6.1 percent, to $80.77, while FedEx fell $1.30 to $110.99.
Software companies showed gains. An acquisitive Oracle Corp. indicated its expansion plans might be reaping dividends as its fiscal third-quarter earnings and new software sales topped Wall Street's expectations. Oracle advanced 62 cents, or 3.5 percent, to $18.17.
Adobe Systems Inc. rose $2.56, or 6.3 percent, to $43.30 after the company reported its first-quarter results topped Wall Street's expectations and the company increased its profit forecast.
Advancing issues outnumbered decliners by about 5 to 1 on the New York Stock Exchange after being nearly even before the Fed's announcement. Consolidated volume came to 3.13 billion shares, up from 2.75 billion on Tuesday.
The Russell 2000 index of smaller companies rose 13.87, or 1.75 percent, to 807.47.
Overseas, markets in Japan were closed for a holiday. Britain's FTSE 100 closed up 0.59 percent, Germany's DAX index added 0.18 percent, and France's CAC-40 slipped 0.02 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
bigdog
Retired many years ago
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The NYSE DOW closed HIGHER by 13 points on Thursday March 22:
Symbol ----- Last --- Change
Dow 12,461.14 +13.62 (0.11%)
Nasdaq 2,451.74 -4.18 (0.17%)
S&P 500 1,434.54 -0.50 (0.03%)
10-Yr Bond 4.5890% +0.0710
NYSE Volume 3,184,479,000
Nasdaq Volume 2,009,801,000
http://biz.yahoo.com/ap/070322/wall_street.html?.v=42
Stocks End Mixed As Investors Await Data
Thursday March 22, 7:41 pm ET
By Madlen Read, AP Business Writer
Stocks Mixed After Big Run-Up As Investors Await New Signals on Inflation, Growth
NEW YORK (AP) -- Wall Street finished mixed Thursday, nudging the Dow Jones industrials higher for a fourth straight session but moving cautiously as investors awaited new data to assess whether their hopes for an interest rate cut are justified. A surprise warning that cell phone maker Motorola Inc. will post a loss for the first quarter also made the market uneasy as it looked ahead to earnings reports that begin next month.
Investors seemed uncertain about where to take stocks a day after the Federal Reserve issued an economic assessment interpreted as opening up the possibility of a reduction in short-term rates. The statement unleashed a wave of buying that boosted the Dow by 159 points Wednesday, but Thursday's session was erratic, with the Dow weaving in and out of positive territory throughout the day.
Investors remained optimistic about the statement but reined in their buying as they took note of climbing energy costs, which made it look unlikely that inflation will cool enough to provoke a rate cut, and as market experts debated whether the Fed's slight change in language truly suggested a shift in policy.
"At the end of the day, I don't think it means a heck of a lot," said Stephen Massocca, president of Pacific Growth Equities. "The market received it very, very well, but ultimately the Fed is news-dependent."
Still, falling unemployment claims and strength in markets overseas kept stocks from sinking after this week's surge. The Dow has had its best four-day point gain since May 2005; whether it continues the streak will depend much on Friday's report on existing homes sales, inventories and prices for February.
The blue chip index rose 13.62, or 0.11 percent, to 12,461.14.
Broader indicators slipped. The Standard & Poor's 500 index fell 0.50, or 0.03 percent, to 1,434.54. The technology-dominated Nasdaq composite index declined 4.18, or 0.17 percent, to 2,451.74, pulled lower in large part by Motorola's warning.
"Surprisingly, the market's holding on to yesterday's gains," said Peter Cardillo, chief market economist at New York-based brokerage house Avalon Partners Inc. "The market is doing quite nicely -- we're not really giving anything up here. It shows that technically, the market has gained momentum."
Market watchers aren't discounting the possibility of further volatility, however, given the potential for Friday's housing data to move the markets and as oil prices continue to rise, reminding investors that inflation is still high and that Americans may need to cut back on discretionary spending.
On Thursday, oil prices climbed more than $2 to $61.69 a barrel on the New York Mercantile Exchange. U.S. retail gasoline prices have surged about 20 percent over the past two months as stockpiles decline ahead of the peak driving season.
Giving investors some relief, though, was the Labor Department's report that the number of laid-off workers seeking unemployment benefits fell to 316,000 last week, the third consecutive decline -- usually a good sign that consumers are finding work and likely able to keep spending.
Bonds fell sharply after the jobs data, pushing up the yield on the benchmark 10-year Treasury note to 4.59 percent from 4.54 percent late Thursday. The 10-year yield was slightly higher than that of the 2-year, which many market participants took as a positive development. Prior to Wednesday, short-term yields had exceeded long-term yields since August 2006, in a pattern that some say portends a recession.
The dollar rose against other major currencies, while gold prices climbed.
Investors also monitored a Senate committee hearing on subprime mortgage lenders, which make loans to people with poor credit. The hearing didn't reveal much new information about whether the sector's troubles are widespread, a worry that has been a big factor in stocks' recent volatility, but investors are likely to continue watching to see if regulators express the need for federal intervention.
"People are going to want to verify as the days unfold that this subprime thing is contained to a few situations, and that there's no larger contagion that's going to spread," Massocca said.
In addition to subprime woes, oil prices and the benchmark interest rate -- which the central bank has kept on hold at 5.25 percent for six straight meetings -- investors also focused on a slew of outlooks and earnings reports Thursday. As earnings season nears, experts expect corporate financial results to play a bigger role in market movements.
Technology companies came under pressure after Motorola warned it will swing to a first-quarter loss due to declining sales. The cell phone maker fell $1.24, or 6.6 percent, to $17.50, a level not seen in nearly two years.
Palm Inc. fell $1.71, or 8.8 percent, to $17.74, as investors' speculation diminished that the smart phone and handheld device maker could be bought by Motorola.
Barnes & Noble Inc. reported a rise in fiscal fourth-quarter results, but the figure missed expectations. Rival book, music and movie seller Borders Group Inc. said it swung to a fourth-quarter loss and announced plans to close nearly half its Waldenbooks stores.
Barnes & Noble fell $1.10, or 2.8 percent, to $37.90, and Borders fell 73 cents, or 3.4 percent, to $20.70.
KB Home, one of the nation's largest homebuilders, said its first-quarter profit fell 84 percent, but the results came in ahead of Wall Street's lowered expectations. KB Home fell 54 cents to $47.25.
The Russell 2000 index of smaller companies was up 0.58, or 0.07 percent, at 808.05.
Advancing issues narrowly outnumbered decliners on the New York Stock Exchange, where consolidated volume came to 3.02 billion shares, compared to 3.13 billion shares Wednesday.
Overseas, Japan's Nikkei stock average rose 1.49 percent. Britain's FTSE 100 was up 0.98 percent, Germany's DAX index was up 2.16 percent, and France's CAC-40 was up 1.75 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Symbol ----- Last --- Change
Dow 12,461.14 +13.62 (0.11%)
Nasdaq 2,451.74 -4.18 (0.17%)
S&P 500 1,434.54 -0.50 (0.03%)
10-Yr Bond 4.5890% +0.0710
NYSE Volume 3,184,479,000
Nasdaq Volume 2,009,801,000
http://biz.yahoo.com/ap/070322/wall_street.html?.v=42
Stocks End Mixed As Investors Await Data
Thursday March 22, 7:41 pm ET
By Madlen Read, AP Business Writer
Stocks Mixed After Big Run-Up As Investors Await New Signals on Inflation, Growth
NEW YORK (AP) -- Wall Street finished mixed Thursday, nudging the Dow Jones industrials higher for a fourth straight session but moving cautiously as investors awaited new data to assess whether their hopes for an interest rate cut are justified. A surprise warning that cell phone maker Motorola Inc. will post a loss for the first quarter also made the market uneasy as it looked ahead to earnings reports that begin next month.
Investors seemed uncertain about where to take stocks a day after the Federal Reserve issued an economic assessment interpreted as opening up the possibility of a reduction in short-term rates. The statement unleashed a wave of buying that boosted the Dow by 159 points Wednesday, but Thursday's session was erratic, with the Dow weaving in and out of positive territory throughout the day.
Investors remained optimistic about the statement but reined in their buying as they took note of climbing energy costs, which made it look unlikely that inflation will cool enough to provoke a rate cut, and as market experts debated whether the Fed's slight change in language truly suggested a shift in policy.
"At the end of the day, I don't think it means a heck of a lot," said Stephen Massocca, president of Pacific Growth Equities. "The market received it very, very well, but ultimately the Fed is news-dependent."
Still, falling unemployment claims and strength in markets overseas kept stocks from sinking after this week's surge. The Dow has had its best four-day point gain since May 2005; whether it continues the streak will depend much on Friday's report on existing homes sales, inventories and prices for February.
The blue chip index rose 13.62, or 0.11 percent, to 12,461.14.
Broader indicators slipped. The Standard & Poor's 500 index fell 0.50, or 0.03 percent, to 1,434.54. The technology-dominated Nasdaq composite index declined 4.18, or 0.17 percent, to 2,451.74, pulled lower in large part by Motorola's warning.
"Surprisingly, the market's holding on to yesterday's gains," said Peter Cardillo, chief market economist at New York-based brokerage house Avalon Partners Inc. "The market is doing quite nicely -- we're not really giving anything up here. It shows that technically, the market has gained momentum."
Market watchers aren't discounting the possibility of further volatility, however, given the potential for Friday's housing data to move the markets and as oil prices continue to rise, reminding investors that inflation is still high and that Americans may need to cut back on discretionary spending.
On Thursday, oil prices climbed more than $2 to $61.69 a barrel on the New York Mercantile Exchange. U.S. retail gasoline prices have surged about 20 percent over the past two months as stockpiles decline ahead of the peak driving season.
Giving investors some relief, though, was the Labor Department's report that the number of laid-off workers seeking unemployment benefits fell to 316,000 last week, the third consecutive decline -- usually a good sign that consumers are finding work and likely able to keep spending.
Bonds fell sharply after the jobs data, pushing up the yield on the benchmark 10-year Treasury note to 4.59 percent from 4.54 percent late Thursday. The 10-year yield was slightly higher than that of the 2-year, which many market participants took as a positive development. Prior to Wednesday, short-term yields had exceeded long-term yields since August 2006, in a pattern that some say portends a recession.
The dollar rose against other major currencies, while gold prices climbed.
Investors also monitored a Senate committee hearing on subprime mortgage lenders, which make loans to people with poor credit. The hearing didn't reveal much new information about whether the sector's troubles are widespread, a worry that has been a big factor in stocks' recent volatility, but investors are likely to continue watching to see if regulators express the need for federal intervention.
"People are going to want to verify as the days unfold that this subprime thing is contained to a few situations, and that there's no larger contagion that's going to spread," Massocca said.
In addition to subprime woes, oil prices and the benchmark interest rate -- which the central bank has kept on hold at 5.25 percent for six straight meetings -- investors also focused on a slew of outlooks and earnings reports Thursday. As earnings season nears, experts expect corporate financial results to play a bigger role in market movements.
Technology companies came under pressure after Motorola warned it will swing to a first-quarter loss due to declining sales. The cell phone maker fell $1.24, or 6.6 percent, to $17.50, a level not seen in nearly two years.
Palm Inc. fell $1.71, or 8.8 percent, to $17.74, as investors' speculation diminished that the smart phone and handheld device maker could be bought by Motorola.
Barnes & Noble Inc. reported a rise in fiscal fourth-quarter results, but the figure missed expectations. Rival book, music and movie seller Borders Group Inc. said it swung to a fourth-quarter loss and announced plans to close nearly half its Waldenbooks stores.
Barnes & Noble fell $1.10, or 2.8 percent, to $37.90, and Borders fell 73 cents, or 3.4 percent, to $20.70.
KB Home, one of the nation's largest homebuilders, said its first-quarter profit fell 84 percent, but the results came in ahead of Wall Street's lowered expectations. KB Home fell 54 cents to $47.25.
The Russell 2000 index of smaller companies was up 0.58, or 0.07 percent, at 808.05.
Advancing issues narrowly outnumbered decliners on the New York Stock Exchange, where consolidated volume came to 3.02 billion shares, compared to 3.13 billion shares Wednesday.
Overseas, Japan's Nikkei stock average rose 1.49 percent. Britain's FTSE 100 was up 0.98 percent, Germany's DAX index was up 2.16 percent, and France's CAC-40 was up 1.75 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
bigdog
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The NYSE DOW closed HIGHER by 19 points on Friday March 23:
Symbol ----- Last --- Change
Dow 12,481.01 +19.87 (0.16%)
Nasdaq 2,448.93 -2.81 (0.11%)
S&P 500 1,436.11 +1.57 (0.11%)
10-Yr Bond 4.6130% +0.0240
NYSE Volume 2,624,821,000
Nasdaq Volume 1,699,904,000
http://biz.yahoo.com/ap/070323/wall_street.html?.v=56
Dow Secures Best Week in Four Years
Friday March 23, 9:53 pm ET
By Tim Paradis, AP Business Writer
Stocks Rise Modestly As Investors Digest Existing Home Sales Report; Oil Rises
NEW YORK (AP) -- Stocks closed mostly higher Friday, sending the Dow Jones industrials' to their best week in four years after a surprise jump in home sales eased concern that frailty in the housing market will hurt economic growth. Existing home sales rose by the biggest amount in nearly three years in February amid a sharp increase in sales in the Northeast, the National Association of Realtors said. The 3.9 percent increase was the largest since a similar jump in March 2004; analysts had been expecting a decrease.
Still, the report did have some downbeat aspects -- the median price of a home fell year-over-year for the seventh straight month and inventories rose.
The Federal Reserve this week said an "adjustment" in the housing sector was continuing, offering some relief for investors left unnerved by the woes among so-called subprime mortgage lenders. Wall Street had grown concerned that an implosion among subprime lenders, which make loans to people with poor credit, could spill over into other parts of the economy and derail already slowing economic growth.
"People are realizing the housing market is bottoming and is not going to cause a recession in 2007," said Noman Ali, U.S. equities portfolio manager at MFC Global Investment Management. "The consumer is really the main driving force of the economy and the consumer remains strong."
The Dow rose 19.87, or 0.16 percent, to 12,481.01. The blue chip index rose for five straight sessions, picking up 370.60 for its biggest weekly point gain since March 2003; that translated to a 3.06 percent rise for the week.
Broader stock indicators ended mixed. The Standard & Poor's 500 index advanced 1.57, or 0.11 percent, to 1,436.11, and the Nasdaq composite index fell 2.81, or 0.11 percent, to 2,448.93.
For the week, the S&P 500 rose 3.54 percent and the Nasdaq gained 4.52 percent.
Bonds fell following release of the housing data. The yield on the benchmark 10-year Treasury note rose to 4.61 percent from 4.58 percent late Thursday. The dollar was mixed against other major currencies, while gold prices fell.
Light, sweet crude settled up 59 cents at $62.28 per barrel on the New York Mercantile Exchange. Oil prices rose following word that Iranian naval vessels had detained 15 British sailors and marines in Iraqi waters. Concerns arose that an escalation of tension could hurt exports from the Persian Gulf.
The week's gains seemed to take Wall Street by surprise. Investors had expected the Fed would leave short-term interest rates at 5.25 percent but changes in the wording of the central bank's policy statement seemed to offer something for everyone. Stocks rallied after the central bank didn't refer to the possibility of "additional firming" of rates as it had in January. Instead, policy makers said "future policy adjustments" would depend on inflation and growth. Despite the more neutral language about the possibility of a rate cut, the Fed said it remains vigilant about the threat of inflation.
With Wednesday's decision, the Fed has left short-term interest rates, the rate banks charge each other for overnight loans, unchanged for six straight meetings after a string of 17 straight increases that began in 2004.
Examining the week's trading, Ed Hyland, global investment specialist for JPMorgan Private Bank, said it is a "good sign" that the market hasn't given back its gains.
"I think it's just that the market is continuing to digest the rally that it had," he said, though he noted Wednesday's advance, which included a 159 point jump in the Dow industrials, was perhaps overwrought.
Ali contends that if concerns about the housing sector moderate somewhat, Wall Street will likely turn its attention in the coming weeks to forecasts about quarterly results. "It's going to be confession season going into first-quarter earnings."
In corporate news, Germany's DaimlerChrysler AG jumped to a fresh 52-week high amid speculation that a Canadian auto supplier, along with a private equity company, planned to make a bid for the company's struggling U.S. Chrysler division. DaimlerChrysler jumped $4.76, or 6.1 percent, to $82.36. The stock traded as high as $82.93, eclipsing an earlier 52-week high of $77.99.
General Motors Corp., one of the 30 stocks that make up the Dow industrials, gave a sizable boost to the blue chips amid enthusiasm over the possible Chrysler bid and after the world's largest automaker announced stock option grants to executives that are tied to the company's performance. GM rose $1.67, or 5.5 percent, to $31.99.
Verizon, also a Dow component, rose 11 cents to $38.12 after a federal judge issued a permanent injunction against Internet phone company Vonage Holdings Corp. for use of Verizon's patents. Vonage fell 26 cents, or 6.4 percent, to $3.79.
Amgen Inc. fell $2.45, or 4.1 percent, to $58.02 after the company halted a trial of colon cancer drug Vectibix. In the trial, the product hastened the development of colon cancer when used in combination with Avastin.
Label maker Avery Dennison Corp. agreed to acquire Paxar Corp., a maker of tags, labels and apparel identification products, for about $1.34 billion. Avery Dennison rose 88 cents to $66.43, while Paxar surged $4.52, or 18.8 percent, to $28.55.
Advancing issues outnumbered decliners by about 3 to 2 on the New York Stock Exchange, where consolidated volume came to 2.56 billion shares, down from 3.02 billion Thursday.
The Russell 2000 index of smaller companies rose 1.46, or 0.18 percent, to 809.51.
Overseas, Japan's Nikkei stock average closed up 0.35 percent, Hong Kong's Hang Seng index edged up 0.01 percent and the sometimes volatile Shanghai Composite Index advanced 0.10 percent, which closed at a record high for the third straight day. A nearly 9 percent drop in the Shanghai Composite Index on Feb. 27 helped kick off the global selloff.
Britain's FTSE 100 ended up 0.34 percent, Germany's DAX index gained 0.61 percent, and France's CAC-40 added 0.65 percent.
The Dow Jones industrial average ended the week up 370.60, or 3.06 percent, at 12,481.01. The Standard & Poor's 500 index was up 49.16, or 3.54 percent, at 1,436.11. The Nasdaq composite index rose 76.27, or 3.21 percent, at 2,448.93.
The Russell 2000 index closed the week up 30.74, or 3.95 percent, to end at 809.51.
The Dow Jones Wilshire 5000 Composite Index -- a free-float weighted index that measures 5,000 U.S. based companies-- ended the week at 14,556.46, up 501.68 points from last week. A year ago the index was at 13,166.77.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Symbol ----- Last --- Change
Dow 12,481.01 +19.87 (0.16%)
Nasdaq 2,448.93 -2.81 (0.11%)
S&P 500 1,436.11 +1.57 (0.11%)
10-Yr Bond 4.6130% +0.0240
NYSE Volume 2,624,821,000
Nasdaq Volume 1,699,904,000
http://biz.yahoo.com/ap/070323/wall_street.html?.v=56
Dow Secures Best Week in Four Years
Friday March 23, 9:53 pm ET
By Tim Paradis, AP Business Writer
Stocks Rise Modestly As Investors Digest Existing Home Sales Report; Oil Rises
NEW YORK (AP) -- Stocks closed mostly higher Friday, sending the Dow Jones industrials' to their best week in four years after a surprise jump in home sales eased concern that frailty in the housing market will hurt economic growth. Existing home sales rose by the biggest amount in nearly three years in February amid a sharp increase in sales in the Northeast, the National Association of Realtors said. The 3.9 percent increase was the largest since a similar jump in March 2004; analysts had been expecting a decrease.
Still, the report did have some downbeat aspects -- the median price of a home fell year-over-year for the seventh straight month and inventories rose.
The Federal Reserve this week said an "adjustment" in the housing sector was continuing, offering some relief for investors left unnerved by the woes among so-called subprime mortgage lenders. Wall Street had grown concerned that an implosion among subprime lenders, which make loans to people with poor credit, could spill over into other parts of the economy and derail already slowing economic growth.
"People are realizing the housing market is bottoming and is not going to cause a recession in 2007," said Noman Ali, U.S. equities portfolio manager at MFC Global Investment Management. "The consumer is really the main driving force of the economy and the consumer remains strong."
The Dow rose 19.87, or 0.16 percent, to 12,481.01. The blue chip index rose for five straight sessions, picking up 370.60 for its biggest weekly point gain since March 2003; that translated to a 3.06 percent rise for the week.
Broader stock indicators ended mixed. The Standard & Poor's 500 index advanced 1.57, or 0.11 percent, to 1,436.11, and the Nasdaq composite index fell 2.81, or 0.11 percent, to 2,448.93.
For the week, the S&P 500 rose 3.54 percent and the Nasdaq gained 4.52 percent.
Bonds fell following release of the housing data. The yield on the benchmark 10-year Treasury note rose to 4.61 percent from 4.58 percent late Thursday. The dollar was mixed against other major currencies, while gold prices fell.
Light, sweet crude settled up 59 cents at $62.28 per barrel on the New York Mercantile Exchange. Oil prices rose following word that Iranian naval vessels had detained 15 British sailors and marines in Iraqi waters. Concerns arose that an escalation of tension could hurt exports from the Persian Gulf.
The week's gains seemed to take Wall Street by surprise. Investors had expected the Fed would leave short-term interest rates at 5.25 percent but changes in the wording of the central bank's policy statement seemed to offer something for everyone. Stocks rallied after the central bank didn't refer to the possibility of "additional firming" of rates as it had in January. Instead, policy makers said "future policy adjustments" would depend on inflation and growth. Despite the more neutral language about the possibility of a rate cut, the Fed said it remains vigilant about the threat of inflation.
With Wednesday's decision, the Fed has left short-term interest rates, the rate banks charge each other for overnight loans, unchanged for six straight meetings after a string of 17 straight increases that began in 2004.
Examining the week's trading, Ed Hyland, global investment specialist for JPMorgan Private Bank, said it is a "good sign" that the market hasn't given back its gains.
"I think it's just that the market is continuing to digest the rally that it had," he said, though he noted Wednesday's advance, which included a 159 point jump in the Dow industrials, was perhaps overwrought.
Ali contends that if concerns about the housing sector moderate somewhat, Wall Street will likely turn its attention in the coming weeks to forecasts about quarterly results. "It's going to be confession season going into first-quarter earnings."
In corporate news, Germany's DaimlerChrysler AG jumped to a fresh 52-week high amid speculation that a Canadian auto supplier, along with a private equity company, planned to make a bid for the company's struggling U.S. Chrysler division. DaimlerChrysler jumped $4.76, or 6.1 percent, to $82.36. The stock traded as high as $82.93, eclipsing an earlier 52-week high of $77.99.
General Motors Corp., one of the 30 stocks that make up the Dow industrials, gave a sizable boost to the blue chips amid enthusiasm over the possible Chrysler bid and after the world's largest automaker announced stock option grants to executives that are tied to the company's performance. GM rose $1.67, or 5.5 percent, to $31.99.
Verizon, also a Dow component, rose 11 cents to $38.12 after a federal judge issued a permanent injunction against Internet phone company Vonage Holdings Corp. for use of Verizon's patents. Vonage fell 26 cents, or 6.4 percent, to $3.79.
Amgen Inc. fell $2.45, or 4.1 percent, to $58.02 after the company halted a trial of colon cancer drug Vectibix. In the trial, the product hastened the development of colon cancer when used in combination with Avastin.
Label maker Avery Dennison Corp. agreed to acquire Paxar Corp., a maker of tags, labels and apparel identification products, for about $1.34 billion. Avery Dennison rose 88 cents to $66.43, while Paxar surged $4.52, or 18.8 percent, to $28.55.
Advancing issues outnumbered decliners by about 3 to 2 on the New York Stock Exchange, where consolidated volume came to 2.56 billion shares, down from 3.02 billion Thursday.
The Russell 2000 index of smaller companies rose 1.46, or 0.18 percent, to 809.51.
Overseas, Japan's Nikkei stock average closed up 0.35 percent, Hong Kong's Hang Seng index edged up 0.01 percent and the sometimes volatile Shanghai Composite Index advanced 0.10 percent, which closed at a record high for the third straight day. A nearly 9 percent drop in the Shanghai Composite Index on Feb. 27 helped kick off the global selloff.
Britain's FTSE 100 ended up 0.34 percent, Germany's DAX index gained 0.61 percent, and France's CAC-40 added 0.65 percent.
The Dow Jones industrial average ended the week up 370.60, or 3.06 percent, at 12,481.01. The Standard & Poor's 500 index was up 49.16, or 3.54 percent, at 1,436.11. The Nasdaq composite index rose 76.27, or 3.21 percent, at 2,448.93.
The Russell 2000 index closed the week up 30.74, or 3.95 percent, to end at 809.51.
The Dow Jones Wilshire 5000 Composite Index -- a free-float weighted index that measures 5,000 U.S. based companies-- ended the week at 14,556.46, up 501.68 points from last week. A year ago the index was at 13,166.77.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
CanOz
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Wall Street Closes Mixed After Disappointing Home Sales Report Raises Worries About Economy
NEW YORK (AP) -- Wall Street pared steep losses Monday to end narrowly mixed after a surprise drop in new home sales for February triggered further concern that economic growth is slowing more than expected.
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The Commerce Department reported that sales of new single-family homes fell by 3.9 percent last month to a seasonally adjusted annual rate of 848,000. It was the slowest sales pace in nearly seven years and dimmed hopes for a rebound in the troubled housing market.
Economists have been watching the housing industry for a hint about where the economy is heading. The disappointing data came amid continued concern about the subprime mortgage market, which has been slammed by an increase in delinquencies in recent months.
This sent major indexes down throughout most of the session, with the Dow Jones industrials racking up triple-digit losses. Investors used the decline to buy some shares before the second-quarter ends on Friday, analysts said.
"The market is already worried more about economic growth than inflation, so I think you're going to see reactions like this," said Todd Salamone, director of trading at Schaeffer's Investment Research in Cincinnati. "Overall, it's impressive from the comeback we've had. There's been a whirlwind of attention about housing's effects on the economy, it isn't anything new and these pullbacks are buying opportunities."
The Dow fell 11.94, or 0.10 percent, to 12,469.07. Last week, the benchmark index posted a 370 point gain, its best weekly point rise in four years. It dropped as much as 112 points earlier on Monday.
Broader stock indicators were slightly higher. The Standard & Poor's 500 index rose 1.39, or 0.10 percent, to 1,437.50, and the Nasdaq composite index added 6.70, or 0.27 percent, to 2,455.63.
Bonds rose, with the yield on the benchmark 10-year Treasury note falling to 4.60 percent from 4.61 percent late Friday. Bond investors have been hoping that a slowing economy will cause the Federal Reserve to lower interest rates.
The dollar traded mixed against other major currencies, while gold prices advanced.
Investors also are focused on a spate of economic data due this week, including Conference Board's consumer confidence survey on Tuesday and the gross domestic product report due on Wednesday.
"Investors are looking to figure out how things are going to shake out after a big move higher last week," said Mike Malone, a trading analyst at Cowen & Co. "Given the magnitude of the move higher we had last week, I don't find this to be overly surprising."
Oil prices rose Monday, with a barrel of light sweet crude up 63 cents to $62.91 on the New York Mercantile Exchange. Crude prices have risen steadily on continued tensions between Iran and the West following Iran's detention of British naval personnel. Recent declines in U.S. oil inventories also supported the market.
Citigroup Inc. fell 18 cents to $51.54. The Wall Street Journal reported Citigroup might reduce its work force by about 5 percent. The company has been under pressure during the past year to boost earnings to fend off rivals from eating into its global market share.
Dell Inc. rose 79 cents, or 3.5 percent, to $23.62 after a Goldman Sachs analyst said the computer maker should see benefits from its turnaround efforts later this year.
Walgreen Co. reported second-quarter profit surpassed Wall Street projections as the drug store chain posted robust revenue from retail prescriptions. The stock fell 47 cents to $47.30.
Fiscal fourth-quarter profits at Tiffany & Co. remained essentially flat as the luxury jewelry retailer recorded an impairment charge. Revenue, however, rose 15 percent to $986.4 million. Results came in ahead of Wall Street's expectations. The stock rose 13 cents to $45.63 after hitting a 52-week high of $46.09 at the open.
Kimberly-Clark Corp., the maker of consumer brands like Kleenex and Huggies, on Monday said it still expects to meet its full-year profit target. Shares fell 5 cents to $68.94.
Saudi Basic Industries Corp. is planning a bid worth up to $12 billion for General Electric Co.'s plastics unit, the Financial Times reported Monday. GE rose 18 cents to $36.
The Russell 2000 index of smaller companies was fell 3.26, or 0.40 percent, at 806.25.
Advancing issues outnumbered decliners by about 3-to-2 on the New York Stock Exchange, where consolidated volume came to 2.69 billion shares, up from 2.56 billion Friday.
Overseas, Japan's Nikkei stock average closed up 0.24 percent. Britain's FTSE 100 down 0.75 percent, Germany's DAX index was down 1.02 percent, and France's CAC-40 was fell 1.04 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
NEW YORK (AP) -- Wall Street pared steep losses Monday to end narrowly mixed after a surprise drop in new home sales for February triggered further concern that economic growth is slowing more than expected.
ADVERTISEMENT
The Commerce Department reported that sales of new single-family homes fell by 3.9 percent last month to a seasonally adjusted annual rate of 848,000. It was the slowest sales pace in nearly seven years and dimmed hopes for a rebound in the troubled housing market.
Economists have been watching the housing industry for a hint about where the economy is heading. The disappointing data came amid continued concern about the subprime mortgage market, which has been slammed by an increase in delinquencies in recent months.
This sent major indexes down throughout most of the session, with the Dow Jones industrials racking up triple-digit losses. Investors used the decline to buy some shares before the second-quarter ends on Friday, analysts said.
"The market is already worried more about economic growth than inflation, so I think you're going to see reactions like this," said Todd Salamone, director of trading at Schaeffer's Investment Research in Cincinnati. "Overall, it's impressive from the comeback we've had. There's been a whirlwind of attention about housing's effects on the economy, it isn't anything new and these pullbacks are buying opportunities."
The Dow fell 11.94, or 0.10 percent, to 12,469.07. Last week, the benchmark index posted a 370 point gain, its best weekly point rise in four years. It dropped as much as 112 points earlier on Monday.
Broader stock indicators were slightly higher. The Standard & Poor's 500 index rose 1.39, or 0.10 percent, to 1,437.50, and the Nasdaq composite index added 6.70, or 0.27 percent, to 2,455.63.
Bonds rose, with the yield on the benchmark 10-year Treasury note falling to 4.60 percent from 4.61 percent late Friday. Bond investors have been hoping that a slowing economy will cause the Federal Reserve to lower interest rates.
The dollar traded mixed against other major currencies, while gold prices advanced.
Investors also are focused on a spate of economic data due this week, including Conference Board's consumer confidence survey on Tuesday and the gross domestic product report due on Wednesday.
"Investors are looking to figure out how things are going to shake out after a big move higher last week," said Mike Malone, a trading analyst at Cowen & Co. "Given the magnitude of the move higher we had last week, I don't find this to be overly surprising."
Oil prices rose Monday, with a barrel of light sweet crude up 63 cents to $62.91 on the New York Mercantile Exchange. Crude prices have risen steadily on continued tensions between Iran and the West following Iran's detention of British naval personnel. Recent declines in U.S. oil inventories also supported the market.
Citigroup Inc. fell 18 cents to $51.54. The Wall Street Journal reported Citigroup might reduce its work force by about 5 percent. The company has been under pressure during the past year to boost earnings to fend off rivals from eating into its global market share.
Dell Inc. rose 79 cents, or 3.5 percent, to $23.62 after a Goldman Sachs analyst said the computer maker should see benefits from its turnaround efforts later this year.
Walgreen Co. reported second-quarter profit surpassed Wall Street projections as the drug store chain posted robust revenue from retail prescriptions. The stock fell 47 cents to $47.30.
Fiscal fourth-quarter profits at Tiffany & Co. remained essentially flat as the luxury jewelry retailer recorded an impairment charge. Revenue, however, rose 15 percent to $986.4 million. Results came in ahead of Wall Street's expectations. The stock rose 13 cents to $45.63 after hitting a 52-week high of $46.09 at the open.
Kimberly-Clark Corp., the maker of consumer brands like Kleenex and Huggies, on Monday said it still expects to meet its full-year profit target. Shares fell 5 cents to $68.94.
Saudi Basic Industries Corp. is planning a bid worth up to $12 billion for General Electric Co.'s plastics unit, the Financial Times reported Monday. GE rose 18 cents to $36.
The Russell 2000 index of smaller companies was fell 3.26, or 0.40 percent, at 806.25.
Advancing issues outnumbered decliners by about 3-to-2 on the New York Stock Exchange, where consolidated volume came to 2.69 billion shares, up from 2.56 billion Friday.
Overseas, Japan's Nikkei stock average closed up 0.24 percent. Britain's FTSE 100 down 0.75 percent, Germany's DAX index was down 1.02 percent, and France's CAC-40 was fell 1.04 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
CanOz
Home runs feel good, but base hits pay bills!
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AP
Stocks Fall Amid Inflation Concerns
Wednesday March 28, 5:41 pm ET
By Tim Paradis, AP Business Writer
Stocks Slide As Fed Chief Testifies on Inflation; Durable Goods Report Falls Short
NEW YORK (AP) -- Stocks fell Wednesday after Federal Reserve Chairman Ben Bernanke chided investors who may have looked past long-standing concerns about inflation. The Dow Jones industrials fell nearly 100 points, the third straight session of declines.
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A rise in oil prices to a six-month high and a weaker-than-expected rise in orders for large manufactured goods compounded investors' concerns Wednesday.
In Capitol Hill testimony, Bernanke said while core inflation slowed modestly in the second half of 2006, recent readings remain "uncomfortably high." He also said troubles among some mortgage lenders that cater to those with poor credit don't appear to have spread to the broader economy, though he added the situation requires further observation.
Stocks rallied last week after investors interpreted language from the Fed as opening the way to the possibility of a reduction in interest rates. But concerns about stubborn inflation could reverse investors' hopes for a reduction in rates, even as the economy continues to cool.
"I think what the Fed is trying to tell us is that it is between a rock and a hard place. And when you're between and a rock and a hard place you just can't move," said Drew Matus, senior economist at Lehman Brothers Holdings Inc.
The Dow industrials fell 96.93, or 0.78 percent, to 12,300.36. The Dow fell by as much as 140 points after the Fed released Bernanke's prepared remarks for his testimony.
Broader stock indicators also pulled back. The Standard & Poor's 500 index fell 11.38, or 0.80 percent, to 1,417.23, and the Nasdaq composite index fell 20.33, or 0.83 percent, to 2,417.10.
Bonds fell, with the yield on the benchmark 10-year Treasury note rising to 4.62 percent from 4.61 percent late Tuesday.
"It wasn't quite a perfect storm but you had enough winds buffeting the market around so it made it hard," Matus said of the combination of Bernanke's testimony as well as the reading on orders for durable goods and political tensions between Iran and the West.
Matus contends Wall Street might have in the last week overestimated the central bank's ability to lower interest rates.
"In reality, there's a lot of uncertainty. You don't move forward unless you can see the path and I don't think they can see the path," he said of the Fed. The central bank has left short-term interest rates unchanged at its last six meetings, interrupting a string of 17 straight increases that began in 2004.
"You can't cut rates to try and spark growth and hope to contain inflation at the same time. That just doesn't work," Matus said.
The dollar was mixed against other major currencies, while gold prices rose.
Beyond concerns about inflation, economic data also weighed on stocks. Orders for durable goods increased 2.5 percent in February amid an increase in sales of commercial aircraft and autos after a 9.3 percent falloff in January. Wall Street had expected the Commerce Department report would show a 3.5 percent gain. The weak reading for January helped contribute to a Feb. 27 global selloff that cut the Dow industrials by 416 points. Excluding the volatile transportation sector, orders fell 0.1 percent, the fourth drop in five months.
Adding to economic concerns, oil prices continued to climb amid political tensions in the Middle East over Iran's detention of British sailors and marines. Oil prices spiked following rumors, which the U.S. military denied, that Iran had fired a missile at a U.S. ship in the Persian Gulf. Also, weekly government inventory data showed a decline in stores of crude oil, gasoline and distillates.
Light, sweet crude rose $1.15 to settle at $64.08 per barrel Wednesday, its highest level since Sept. 11, 2006.
In corporate news, homebuilder Beazer Homes fell $2.64, or 8.4 percent, to $28.77 after coming under investigation for its mortgage lending practices as well as other financial dealings by a host of government agencies. Beazer said it is complying with a request for documents from a federal prosecutor.
Other homebuilders fell alongside Beazer. Hovananian Enterprises Inc. fell $1.09, or 4.1 percent, to $25.55, while KB Home fell $1.43, or 3.2 percent, to $43.88.
Circuit City Stores Inc., rose 35 cents to $19.23 after the electronics retailer announced plans to lay off about 3,400 workers at its stores and replace them with lower-paid employees. The company also plans to eliminate 130 information-technology jobs from its corporate ranks.
Archer Daniels Midland Co. rose 91 cents, or 2.5 percent, to $36.84 after a Citigroup analyst said the food producer, which also makes a type of ethanol derived from corn, should benefit if corn prices fall amid an expected bump in supply.
Vyyo Inc., which makes communications equipment, jumped 97 cents, or 13 percent, to $8.44 after receiving $35 million in funding from Goldman Sachs & Co.
Declining issues outnumbered advancers by about 2 to 1 on the New York Stock Exchange, where consolidated volume came to 2.88 billion shares compared with 2.58 billion Tuesday.
The Russell 2000 index of smaller companies fell 4.96, or 0.62 percent, to 797.40.
Overseas, Japan's Nikkei stock average closed down 0.64 percent, while Hong Kong's Hang Seng index fell 0.78 percent. The Shanghai Composite index, after a volatile session in which it had been down sharply, rose 1.09 percent to its eighth straight record close.
Britain's FTSE 100 closed down 0.40 percent, Germany's DAX index fell 0.60 percent, and France's CAC-40 declined 0.62 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Stocks Fall Amid Inflation Concerns
Wednesday March 28, 5:41 pm ET
By Tim Paradis, AP Business Writer
Stocks Slide As Fed Chief Testifies on Inflation; Durable Goods Report Falls Short
NEW YORK (AP) -- Stocks fell Wednesday after Federal Reserve Chairman Ben Bernanke chided investors who may have looked past long-standing concerns about inflation. The Dow Jones industrials fell nearly 100 points, the third straight session of declines.
ADVERTISEMENT
A rise in oil prices to a six-month high and a weaker-than-expected rise in orders for large manufactured goods compounded investors' concerns Wednesday.
In Capitol Hill testimony, Bernanke said while core inflation slowed modestly in the second half of 2006, recent readings remain "uncomfortably high." He also said troubles among some mortgage lenders that cater to those with poor credit don't appear to have spread to the broader economy, though he added the situation requires further observation.
Stocks rallied last week after investors interpreted language from the Fed as opening the way to the possibility of a reduction in interest rates. But concerns about stubborn inflation could reverse investors' hopes for a reduction in rates, even as the economy continues to cool.
"I think what the Fed is trying to tell us is that it is between a rock and a hard place. And when you're between and a rock and a hard place you just can't move," said Drew Matus, senior economist at Lehman Brothers Holdings Inc.
The Dow industrials fell 96.93, or 0.78 percent, to 12,300.36. The Dow fell by as much as 140 points after the Fed released Bernanke's prepared remarks for his testimony.
Broader stock indicators also pulled back. The Standard & Poor's 500 index fell 11.38, or 0.80 percent, to 1,417.23, and the Nasdaq composite index fell 20.33, or 0.83 percent, to 2,417.10.
Bonds fell, with the yield on the benchmark 10-year Treasury note rising to 4.62 percent from 4.61 percent late Tuesday.
"It wasn't quite a perfect storm but you had enough winds buffeting the market around so it made it hard," Matus said of the combination of Bernanke's testimony as well as the reading on orders for durable goods and political tensions between Iran and the West.
Matus contends Wall Street might have in the last week overestimated the central bank's ability to lower interest rates.
"In reality, there's a lot of uncertainty. You don't move forward unless you can see the path and I don't think they can see the path," he said of the Fed. The central bank has left short-term interest rates unchanged at its last six meetings, interrupting a string of 17 straight increases that began in 2004.
"You can't cut rates to try and spark growth and hope to contain inflation at the same time. That just doesn't work," Matus said.
The dollar was mixed against other major currencies, while gold prices rose.
Beyond concerns about inflation, economic data also weighed on stocks. Orders for durable goods increased 2.5 percent in February amid an increase in sales of commercial aircraft and autos after a 9.3 percent falloff in January. Wall Street had expected the Commerce Department report would show a 3.5 percent gain. The weak reading for January helped contribute to a Feb. 27 global selloff that cut the Dow industrials by 416 points. Excluding the volatile transportation sector, orders fell 0.1 percent, the fourth drop in five months.
Adding to economic concerns, oil prices continued to climb amid political tensions in the Middle East over Iran's detention of British sailors and marines. Oil prices spiked following rumors, which the U.S. military denied, that Iran had fired a missile at a U.S. ship in the Persian Gulf. Also, weekly government inventory data showed a decline in stores of crude oil, gasoline and distillates.
Light, sweet crude rose $1.15 to settle at $64.08 per barrel Wednesday, its highest level since Sept. 11, 2006.
In corporate news, homebuilder Beazer Homes fell $2.64, or 8.4 percent, to $28.77 after coming under investigation for its mortgage lending practices as well as other financial dealings by a host of government agencies. Beazer said it is complying with a request for documents from a federal prosecutor.
Other homebuilders fell alongside Beazer. Hovananian Enterprises Inc. fell $1.09, or 4.1 percent, to $25.55, while KB Home fell $1.43, or 3.2 percent, to $43.88.
Circuit City Stores Inc., rose 35 cents to $19.23 after the electronics retailer announced plans to lay off about 3,400 workers at its stores and replace them with lower-paid employees. The company also plans to eliminate 130 information-technology jobs from its corporate ranks.
Archer Daniels Midland Co. rose 91 cents, or 2.5 percent, to $36.84 after a Citigroup analyst said the food producer, which also makes a type of ethanol derived from corn, should benefit if corn prices fall amid an expected bump in supply.
Vyyo Inc., which makes communications equipment, jumped 97 cents, or 13 percent, to $8.44 after receiving $35 million in funding from Goldman Sachs & Co.
Declining issues outnumbered advancers by about 2 to 1 on the New York Stock Exchange, where consolidated volume came to 2.88 billion shares compared with 2.58 billion Tuesday.
The Russell 2000 index of smaller companies fell 4.96, or 0.62 percent, to 797.40.
Overseas, Japan's Nikkei stock average closed down 0.64 percent, while Hong Kong's Hang Seng index fell 0.78 percent. The Shanghai Composite index, after a volatile session in which it had been down sharply, rose 1.09 percent to its eighth straight record close.
Britain's FTSE 100 closed down 0.40 percent, Germany's DAX index fell 0.60 percent, and France's CAC-40 declined 0.62 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
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The NYSE DOW closed HIGHER by 4.7 points on Tuesday April 10:
Symbol ----- Last --- Change
Dow 12,573.85 +4.71 (0.04%)
Nasdaq 2,477.61 +8.43 (0.34%)
S&P 500 1,448.39 +3.78 (0.26%)
10-Yr Bond 4.7240% -0.0210
NYSE Volume 2,515,148,000
Nasdaq Volume 1,912,899,000
http://biz.yahoo.com/ap/070410/wall_street.html?.v=36
Stocks Move Up Ahead of 1Q Earnings
Tuesday April 10, 5:47 pm ET
By Tim Paradis, AP Business Writer
Stocks Edge Higher As Investors Await Word on Earnings, Fed Officials' Speeches
NEW YORK (AP) -- Stocks edged higher Tuesday as investors refrained from major moves ahead of first-quarter earnings reports that began with Alcoa Inc.'s results after the closing bell. A modest increase in the Dow Jones industrials marked the eighth-straight win for the blue chip index, its longest such streak since 2003.
Aluminum producer Alcoa reported a better-than-expected first-quarter profit, pleasing investors who bid the company's stock up in after-hours trading. Wall Street was looking for results from the Dow component to not only gauge the pace of earnings for the quarter but as a proxy for the health of the overall economy.
Tuesday was the second day in a row that stocks showed little overall movement as investors awaited news of how companies fared during the first quarter, and also their expectations for the coming quarters. In the fourth quarter, Standard & Poor's 500 companies snapped an 18-quarter streak of double-digit profit gains, and Wall Street expects profit growth to remain in the single digits for the first three months of the year.
"A lot of people are going to be watching earnings very closely and not just the numbers, but the guidance that they give going forward," said J. Michael Barron, chief executive of Knott Capital. "I think that will be crucial."
With no major economic data scheduled, investors looked to speeches by Federal Reserve officials to get a better idea of where the central bank stands on inflation and interest rates. A stronger-than-expected jobs report Friday dashed some investors' hopes that the central bank will soon lower interest rates.
The Dow rose 4.71, or 0.04 percent, to 12,573.85.
Broader stock indicators edged higher. The S&P 500 rose 3.78, or 0.26 percent, to 1,448.39, and the Nasdaq composite index advanced 8.43, or 0.34 percent, to 2,477.61.
Bonds continued their recovery, with the yield on the benchmark 10-year Treasury note falling to 4.72 percent from 4.75 percent late Monday. Bonds fell sharply Friday after release of the government's jobs report. Gold prices rose, while the dollar was mixed against other major currencies.
Oil prices rose after selling off Monday following doubts about Iran's comments about its uranium enrichment achievements. A barrel of light, sweet crude for delivery on the New York Mercantile Exchange rose 38 cents to settle at $61.89.
"I think we're all anticipating the earnings season. I think everyone is going to wait on their heels and see how the numbers are going to come through," said Tim Hartzell, chief investment officer at Kanaly Trust Co.
He contends investors are perhaps too dour in their assessment of corporate earnings, though he is waiting to get a sense of how the numbers stack up before making any big moves. He noted companies' cash flows remain strong. He also expects companies will continue to repurchase stock, which could help boost per-share profit figures.
"We're just waiting to see what the numbers are before we do any buying and selling," he said.
As they awaited earnings news, investors examined comments from Fed governors but appeared unmoved.
Fed Gov. Frederic Mishkin said Tuesday that inflation expectations remain "well anchored" and said inflationary pressure have been "falling back again."
Dallas Fed President Richard Fisher said the U.S. economy has been growing but that its expansion is slowing. He also said inflation remains stubbornly high.
Investors were also awaiting minutes due Wednesday from the Fed's most recent meeting at which it left short-term interest rates unchanged for the sixth straight time. The Fed has been standing pat on interest rates following a string of 17 straight increases that began in 2004.
Comments issued after the Fed's March meeting sent stocks soaring; many investors saw the Fed as indicating it was opening the door to a rate cut.
Alcoa, which rose 3 cents to $34.90 in regular trading, picked up another 60 cents in extended dealings after releasing its earnings announcement.
Dow Chemical Co. fell $1.12, or 2.4 percent, to $45.51 after the chemical and plastics maker said it has had no discussions about a leveraged buyout. A British newspaper reported over the weekend that a group of Middle Eastern investors and U.S. buyout firms was preparing a $50 billion bid.
Citigroup Inc. rose 82 cents to $52.40 ahead of a major restructuring announcement in which some 26,000 workers will be reassigned or see their jobs eliminated, according to a report by The New York Times. Chief Executive Charles Prince is scheduled to announce the plan on Wednesday.
D.R. Horton Inc., the nation's largest homebuilder by deliveries, said its second-quarter sales order fell 37 percent, led by even steeper declines in California and the Southwest. Shares fell 34 cents to $21.70.
Adolor Corp. fell $5.12, or 58.7 percent, to $3.60 after the biopharmaceutical company suspended clinical studies and withdrew an application for a constipation-relief drug.
Shares of drug maker Mylan Laboratories Inc. jumped 60 cents, or 2.8 percent, to $21.80 after the company raised its profit forecast, citing continued strength in its generics business and new product sales.
Advancing issues outnumbered advancers by about 5 to 3 on the New York Stock Exchange, where consolidated volume came to 2.49 billion shares, compared with 2.32 billion traded Monday.
The Russell 2000 index of smaller companies rose 2.87, or 0.35 percent, to 814.51.
Overseas, Japan's Nikkei stock average closed down 0.45 percent. Britain's FTSE 100 rose 0.32 percent, Germany's DAX index rose 0.94 percent, and France's CAC-40 advanced 0.43 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Symbol ----- Last --- Change
Dow 12,573.85 +4.71 (0.04%)
Nasdaq 2,477.61 +8.43 (0.34%)
S&P 500 1,448.39 +3.78 (0.26%)
10-Yr Bond 4.7240% -0.0210
NYSE Volume 2,515,148,000
Nasdaq Volume 1,912,899,000
http://biz.yahoo.com/ap/070410/wall_street.html?.v=36
Stocks Move Up Ahead of 1Q Earnings
Tuesday April 10, 5:47 pm ET
By Tim Paradis, AP Business Writer
Stocks Edge Higher As Investors Await Word on Earnings, Fed Officials' Speeches
NEW YORK (AP) -- Stocks edged higher Tuesday as investors refrained from major moves ahead of first-quarter earnings reports that began with Alcoa Inc.'s results after the closing bell. A modest increase in the Dow Jones industrials marked the eighth-straight win for the blue chip index, its longest such streak since 2003.
Aluminum producer Alcoa reported a better-than-expected first-quarter profit, pleasing investors who bid the company's stock up in after-hours trading. Wall Street was looking for results from the Dow component to not only gauge the pace of earnings for the quarter but as a proxy for the health of the overall economy.
Tuesday was the second day in a row that stocks showed little overall movement as investors awaited news of how companies fared during the first quarter, and also their expectations for the coming quarters. In the fourth quarter, Standard & Poor's 500 companies snapped an 18-quarter streak of double-digit profit gains, and Wall Street expects profit growth to remain in the single digits for the first three months of the year.
"A lot of people are going to be watching earnings very closely and not just the numbers, but the guidance that they give going forward," said J. Michael Barron, chief executive of Knott Capital. "I think that will be crucial."
With no major economic data scheduled, investors looked to speeches by Federal Reserve officials to get a better idea of where the central bank stands on inflation and interest rates. A stronger-than-expected jobs report Friday dashed some investors' hopes that the central bank will soon lower interest rates.
The Dow rose 4.71, or 0.04 percent, to 12,573.85.
Broader stock indicators edged higher. The S&P 500 rose 3.78, or 0.26 percent, to 1,448.39, and the Nasdaq composite index advanced 8.43, or 0.34 percent, to 2,477.61.
Bonds continued their recovery, with the yield on the benchmark 10-year Treasury note falling to 4.72 percent from 4.75 percent late Monday. Bonds fell sharply Friday after release of the government's jobs report. Gold prices rose, while the dollar was mixed against other major currencies.
Oil prices rose after selling off Monday following doubts about Iran's comments about its uranium enrichment achievements. A barrel of light, sweet crude for delivery on the New York Mercantile Exchange rose 38 cents to settle at $61.89.
"I think we're all anticipating the earnings season. I think everyone is going to wait on their heels and see how the numbers are going to come through," said Tim Hartzell, chief investment officer at Kanaly Trust Co.
He contends investors are perhaps too dour in their assessment of corporate earnings, though he is waiting to get a sense of how the numbers stack up before making any big moves. He noted companies' cash flows remain strong. He also expects companies will continue to repurchase stock, which could help boost per-share profit figures.
"We're just waiting to see what the numbers are before we do any buying and selling," he said.
As they awaited earnings news, investors examined comments from Fed governors but appeared unmoved.
Fed Gov. Frederic Mishkin said Tuesday that inflation expectations remain "well anchored" and said inflationary pressure have been "falling back again."
Dallas Fed President Richard Fisher said the U.S. economy has been growing but that its expansion is slowing. He also said inflation remains stubbornly high.
Investors were also awaiting minutes due Wednesday from the Fed's most recent meeting at which it left short-term interest rates unchanged for the sixth straight time. The Fed has been standing pat on interest rates following a string of 17 straight increases that began in 2004.
Comments issued after the Fed's March meeting sent stocks soaring; many investors saw the Fed as indicating it was opening the door to a rate cut.
Alcoa, which rose 3 cents to $34.90 in regular trading, picked up another 60 cents in extended dealings after releasing its earnings announcement.
Dow Chemical Co. fell $1.12, or 2.4 percent, to $45.51 after the chemical and plastics maker said it has had no discussions about a leveraged buyout. A British newspaper reported over the weekend that a group of Middle Eastern investors and U.S. buyout firms was preparing a $50 billion bid.
Citigroup Inc. rose 82 cents to $52.40 ahead of a major restructuring announcement in which some 26,000 workers will be reassigned or see their jobs eliminated, according to a report by The New York Times. Chief Executive Charles Prince is scheduled to announce the plan on Wednesday.
D.R. Horton Inc., the nation's largest homebuilder by deliveries, said its second-quarter sales order fell 37 percent, led by even steeper declines in California and the Southwest. Shares fell 34 cents to $21.70.
Adolor Corp. fell $5.12, or 58.7 percent, to $3.60 after the biopharmaceutical company suspended clinical studies and withdrew an application for a constipation-relief drug.
Shares of drug maker Mylan Laboratories Inc. jumped 60 cents, or 2.8 percent, to $21.80 after the company raised its profit forecast, citing continued strength in its generics business and new product sales.
Advancing issues outnumbered advancers by about 5 to 3 on the New York Stock Exchange, where consolidated volume came to 2.49 billion shares, compared with 2.32 billion traded Monday.
The Russell 2000 index of smaller companies rose 2.87, or 0.35 percent, to 814.51.
Overseas, Japan's Nikkei stock average closed down 0.45 percent. Britain's FTSE 100 rose 0.32 percent, Germany's DAX index rose 0.94 percent, and France's CAC-40 advanced 0.43 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
bigdog
Retired many years ago
- Joined
- 19 July 2006
- Posts
- 8,123
- Reactions
- 5,469
The NYSE DOW closed HIGHER by 59 points on Friday April 13:
Symbol ----- Last --- Change
Dow 12,612.13 +59.17 (0.47%)
Nasdaq 2,491.94 +11.62 (0.47%)
S&P 500 1,452.85 +5.05 (0.35%)
10-Yr Bond 4.7610% +0.0240
NYSE Volume 2,690,330,000
Nasdaq Volume 1,999,482,000
http://biz.yahoo.com/ap/070413/wall_street.html?.v=48
Dow Closes Up 59, Nasdaq Finishes Up 12
Friday April 13, 6:16 pm ET
By Joe Bel Bruno, AP Business Writer
Wall Street Ends Bumpy Week With Moderate Gain As Investors Await Rush of Earnings Reports
NEW YORK (AP) -- Wall Street closed out a bumpy week with a moderate gain Friday as investors, heartened by new inflation data, bought optimistically ahead of next week's rush of earnings releases. The Dow Jones industrials had their 11th advance in 12 sessions, and all the major indexes closed out the week higher.
After some wavering early in the day, investors ultimately decided to extend the climb Friday, encouraged by the Labor Department's Producer Price Index coming in flat for March, once volatile prices for energy and food were stripped out. Including energy and food, wholesale prices rose 1 percent, a smaller rise than the 1.3 percent jump in February.
The stock market's advance was dampened only slightly by the University of Michigan's consumer sentiment index, which weakened in early April and raised worries that consumers could rein in spending. The report also suggested that consumers are more uneasy about inflation than they were last month. Inflation is a concern for the stock market if it gets so high that the Federal Reserve raises rates to curb it.
Though investors decided to buy ahead of next week's first-quarter results, which the market anticipates will show slowing corporate growth, inflation concerns are likely to keep factoring into stocks' performance -- especially with the Consumer Price Index slated for next week.
"Inflation is a little higher than investors would want, and the economy is a little weaker," said Michael Strauss, chief economist at CommonFund. "The equity market is put in a difficult position. The Fed might lower interest rates, but until we get closer to the easing process, stocks will see more gyrations up and down."
The Dow closed up 59.17, or 0.47 percent, at 12,612.13.
The blue chip index was helped Friday by news from Merck & Co., which rose $3.85, or 8.3 percent, to $50.21. The drugmaker soared after a federal judge in New Jersey dismissed a lawsuit related to its discontinued arthritis pain reliever Vioxx, and after the company raised its profit outlook for 2007.
The broader Standard & Poor's 500 index gained 5.05, or 0.35 percent, to 1,452.85, and the Nasdaq composite index rose 11.62, or 0.47 percent, to 2,491.94.
Bonds fell after the consumer sentiment data, with the yield on the benchmark 10-year Treasury note rising to 4.77 percent from 4.74 percent late Thursday.
A report from the Commerce Department that the U.S. trade deficit improved for a second straight month gave some support to stocks. Also easing some inflation jitters, crude prices retreated slightly on the New York Mercantile Exchange, falling 22 cents to $63.63 a barrel after surging earlier in the day.
Analysts predict that the next few weeks will show that U.S. companies are still posting profit overall, but that growth in the first quarter will be slower than in past years.
"The U.S. economy is weak, and margins have compressed a bit," said Brian Gendreau, investment strategist for ING Investment Management. "Earnings cannot continue at a double-digit rate forever."
But he added that so far, earnings have been coming in better than expected. A big reason, he said, is that nearly half the revenue from the 30 Dow components comes from foreign countries -- growth was in many of those countries was faster than it was in the United States.
One of the few Dow components to release its earnings before next week's rush, General Electric Co. rose 20 cents to $35.38 after it posted first-quarter results that matched Wall Street projections. However, the conglomerate said profit in one of its businesses was "tempered" by its U.S. mortgage business because of subprime loans -- a weak spot in the economy that has led to some big dips on Wall Street in recent months.
Technology stocks initially weakened Friday when Samsung Electronics Co., the world's largest memory chip maker, said its profit declined for a second straight quarter amid falling computer chip prices. Also weighing on the tech sector, Apple Inc. said it would delay the release of Leopard, the next upgrade of its Mac operating system, until October. Apple fell $1.95, or 2.1 percent, to $90.24.
But keeping alive enthusiasm about takeover activity, Morgan Stanley bought 13 hotels from Japanese carrier All Nippon Airways Co. for about $2.4 billion. The deal roughly doubles the investment bank's portfolio of hotels in Japan. Morgan Stanley slipped 8 cents to $79.99.
Also, SLM Corp., the biggest U.S. provider of student loans that is better known as Sallie Mae, is in talks with buyout firms and may be bought for more than $20 billion, according to a report in The New York Times. Its stock soared $6.01, or 14.8 percent, to $46.76.
Advancing issues outnumbered decliners by nearly 5 to 3 on the New York Stock Exchange, where consolidated volume came to 2.57 billion shares, down from 2.75 billion Thursday.
The Russell 2000 index of smaller companies rose 4.33, or 0.53 percent, to 819.38.
Overseas, Japan's Nikkei stock average fell 1.01 percent. Britain's FTSE 100 climbed 0.72 percent, Germany's DAX index added 0.97 percent, and France's CAC-40 was rose 0.70 percent.
The Dow Jones industrial average ended the week up 51.93, or 0.41 percent, at 12,612.13. The Standard & Poor's 500 index rose 9.09, or 0.83 percent, at 1,452.85. The Nasdaq composite index rose 20.60, or 0.83 percent, to 2,491.94.
The Russell 2000 index closed the week up 6.03, or 0.74 percent, at 819.38.
The Dow Jones Wilshire 5000 Composite Index -- a free-float weighted index that measures 5,000 U.S. based companies-- ended the week at 14,736.44, up 96.06 points from last week. A year ago, the index was at 13,065.26.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Symbol ----- Last --- Change
Dow 12,612.13 +59.17 (0.47%)
Nasdaq 2,491.94 +11.62 (0.47%)
S&P 500 1,452.85 +5.05 (0.35%)
10-Yr Bond 4.7610% +0.0240
NYSE Volume 2,690,330,000
Nasdaq Volume 1,999,482,000
http://biz.yahoo.com/ap/070413/wall_street.html?.v=48
Dow Closes Up 59, Nasdaq Finishes Up 12
Friday April 13, 6:16 pm ET
By Joe Bel Bruno, AP Business Writer
Wall Street Ends Bumpy Week With Moderate Gain As Investors Await Rush of Earnings Reports
NEW YORK (AP) -- Wall Street closed out a bumpy week with a moderate gain Friday as investors, heartened by new inflation data, bought optimistically ahead of next week's rush of earnings releases. The Dow Jones industrials had their 11th advance in 12 sessions, and all the major indexes closed out the week higher.
After some wavering early in the day, investors ultimately decided to extend the climb Friday, encouraged by the Labor Department's Producer Price Index coming in flat for March, once volatile prices for energy and food were stripped out. Including energy and food, wholesale prices rose 1 percent, a smaller rise than the 1.3 percent jump in February.
The stock market's advance was dampened only slightly by the University of Michigan's consumer sentiment index, which weakened in early April and raised worries that consumers could rein in spending. The report also suggested that consumers are more uneasy about inflation than they were last month. Inflation is a concern for the stock market if it gets so high that the Federal Reserve raises rates to curb it.
Though investors decided to buy ahead of next week's first-quarter results, which the market anticipates will show slowing corporate growth, inflation concerns are likely to keep factoring into stocks' performance -- especially with the Consumer Price Index slated for next week.
"Inflation is a little higher than investors would want, and the economy is a little weaker," said Michael Strauss, chief economist at CommonFund. "The equity market is put in a difficult position. The Fed might lower interest rates, but until we get closer to the easing process, stocks will see more gyrations up and down."
The Dow closed up 59.17, or 0.47 percent, at 12,612.13.
The blue chip index was helped Friday by news from Merck & Co., which rose $3.85, or 8.3 percent, to $50.21. The drugmaker soared after a federal judge in New Jersey dismissed a lawsuit related to its discontinued arthritis pain reliever Vioxx, and after the company raised its profit outlook for 2007.
The broader Standard & Poor's 500 index gained 5.05, or 0.35 percent, to 1,452.85, and the Nasdaq composite index rose 11.62, or 0.47 percent, to 2,491.94.
Bonds fell after the consumer sentiment data, with the yield on the benchmark 10-year Treasury note rising to 4.77 percent from 4.74 percent late Thursday.
A report from the Commerce Department that the U.S. trade deficit improved for a second straight month gave some support to stocks. Also easing some inflation jitters, crude prices retreated slightly on the New York Mercantile Exchange, falling 22 cents to $63.63 a barrel after surging earlier in the day.
Analysts predict that the next few weeks will show that U.S. companies are still posting profit overall, but that growth in the first quarter will be slower than in past years.
"The U.S. economy is weak, and margins have compressed a bit," said Brian Gendreau, investment strategist for ING Investment Management. "Earnings cannot continue at a double-digit rate forever."
But he added that so far, earnings have been coming in better than expected. A big reason, he said, is that nearly half the revenue from the 30 Dow components comes from foreign countries -- growth was in many of those countries was faster than it was in the United States.
One of the few Dow components to release its earnings before next week's rush, General Electric Co. rose 20 cents to $35.38 after it posted first-quarter results that matched Wall Street projections. However, the conglomerate said profit in one of its businesses was "tempered" by its U.S. mortgage business because of subprime loans -- a weak spot in the economy that has led to some big dips on Wall Street in recent months.
Technology stocks initially weakened Friday when Samsung Electronics Co., the world's largest memory chip maker, said its profit declined for a second straight quarter amid falling computer chip prices. Also weighing on the tech sector, Apple Inc. said it would delay the release of Leopard, the next upgrade of its Mac operating system, until October. Apple fell $1.95, or 2.1 percent, to $90.24.
But keeping alive enthusiasm about takeover activity, Morgan Stanley bought 13 hotels from Japanese carrier All Nippon Airways Co. for about $2.4 billion. The deal roughly doubles the investment bank's portfolio of hotels in Japan. Morgan Stanley slipped 8 cents to $79.99.
Also, SLM Corp., the biggest U.S. provider of student loans that is better known as Sallie Mae, is in talks with buyout firms and may be bought for more than $20 billion, according to a report in The New York Times. Its stock soared $6.01, or 14.8 percent, to $46.76.
Advancing issues outnumbered decliners by nearly 5 to 3 on the New York Stock Exchange, where consolidated volume came to 2.57 billion shares, down from 2.75 billion Thursday.
The Russell 2000 index of smaller companies rose 4.33, or 0.53 percent, to 819.38.
Overseas, Japan's Nikkei stock average fell 1.01 percent. Britain's FTSE 100 climbed 0.72 percent, Germany's DAX index added 0.97 percent, and France's CAC-40 was rose 0.70 percent.
The Dow Jones industrial average ended the week up 51.93, or 0.41 percent, at 12,612.13. The Standard & Poor's 500 index rose 9.09, or 0.83 percent, at 1,452.85. The Nasdaq composite index rose 20.60, or 0.83 percent, to 2,491.94.
The Russell 2000 index closed the week up 6.03, or 0.74 percent, at 819.38.
The Dow Jones Wilshire 5000 Composite Index -- a free-float weighted index that measures 5,000 U.S. based companies-- ended the week at 14,736.44, up 96.06 points from last week. A year ago, the index was at 13,065.26.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Wysiwyg
Everyone wants money
- Joined
- 8 August 2006
- Posts
- 8,428
- Reactions
- 284
I thought the DOW would have a downer but it`s off to a flyer.The swingers `l be lookin` for entry .
Yep the DOW up by 85pts and into blue skies (beyond feb27 highs).
April 14, 2007
Technical Market Report
by Mike Burk
The good news is:
• The S&P mid cap index (MID) hit an all time high Friday.
• Next week is seasonally one of the strongest weeks of the year.
On average, next week has been remarkably strong. Since 1963 the OTC has been up 82% of the time while the SPX has only been down once, in 1987, giving it a 92% winning record. Both indices have had an average return in excess of 1% for the week.
Technical Market Report
by Mike Burk
The good news is:
• The S&P mid cap index (MID) hit an all time high Friday.
• Next week is seasonally one of the strongest weeks of the year.
On average, next week has been remarkably strong. Since 1963 the OTC has been up 82% of the time while the SPX has only been down once, in 1987, giving it a 92% winning record. Both indices have had an average return in excess of 1% for the week.
bigdog
Retired many years ago
- Joined
- 19 July 2006
- Posts
- 8,123
- Reactions
- 5,469
The NYSE DOW closed HIGHER by 108 points on Monday 16:
Symbol ----- Last --- Change
Dow 12,720.46 +108.33 (0.86%)
Nasdaq 2,518.33 +26.39 (1.06%)
S&P 500 1,468.47 +15.62 (1.08%)
10-Yr Bond 4.735% +0.026
NYSE Volume 2,872,288,000
Nasdaq Volume 1,849,138,000
http://biz.yahoo.com/ap/070416/wall_street.html?.v=43
Stocks Rise Amid Profit, Economic News
Monday April 16, 6:21 pm ET
By Tim Paradis, AP Business Writer
Wall Street Up Following Citigroup Profit Report, Retail Sales Data
NEW YORK (AP) -- Wall Street began the week with a strong start Monday as better-than-expected profits at Citigroup Inc. and a healthy increase in consumer spending renewed investors' optimism about the economy. The Dow Jones industrials soared more than 100 points.
Earnings reports begin arriving at a steady clip this week, giving investors fresh indications about companies and the overall economy. This week nearly half the 30 companies that make up the Dow industrials report results.
While investors have been girding for a slowdown in growth of corporate profits, they are hoping consumer spending will remain robust. The Commerce Department on Monday reported that consumers spent strongly last month, sending retail sales up by about 0.7 percent. The figure was close to what analysts predicted, and up from a revised 0.5 percent increase in February.
Investors were also pleased by news of a buyout of SLM Corp., the student lender better known as Sallie Mae. SLM agreed to be sold to two private investment funds and J.P. Morgan Chase & Co. and Bank of America Corp. for $25 billion, or $60 per share. Sallie Mae rose $8.29, or 17.7 percent, to $55.05.
But analysts warned that Wall Street's good humor was unlikely to last. Robert N. Schaeffer, portfolio manager at Becker Value Equity Fund, contends that a pop in stocks is typical when earnings reports begin to flow in and are better than expected.
"The positive reaction to the earnings tends to be short-lived traditionally," he said. "There is also a tendency for companies with better earnings reports to report early. The companies that are going to disappoint tend to drag their feet a bit."
The Dow Jones industrial average rose 108.33, or 0.86 percent, to 12,720.46. The Dow's increase Monday put the blue chip average back above where it stood before the major U.S. indexes fell more than 3 percent on Feb. 27 as part of a worldwide selloff. The Dow is within about 66 points of its all-time closing high of 12,786.64, reached Feb. 20.
Broader stock indicators also rose. The Standard & Poor's 500 index rose 15.62, or 1.08 percent, to 1,468.47, a six-and-a-half-year high. The Nasdaq composite index rose 26.39, or 1.06 percent, to 2,518.33.
Bonds advanced, with the yield on the benchmark 10-year Treasury note falling to 4.74 percent from 4.77 percent late Friday. The dollar traded near all-time lows versus the euro, and was mostly lower against other major currencies.
Oil prices fell Monday, with a barrel of light sweet crude settling down 2 cents at $63.61 on the New York Mercantile Exchange. Gold prices rose.
Economic reports competed with earnings news for investors' attention Monday. The Commerce Department reported businesses increased their inventories by 0.3 percent in February, the largest increase in five months. The New York Federal Reserve also reported that its regional manufacturing activity expanded slightly in April, with the overall index rising to a reading of 3.80 from an unrevised reading of 1.85 in March. Also, the National Association of Home Builders' index -- a measure of confidence of U.S. homebuilders -- fell to 33 from 36 in March for sales of new, single-family homes.
Investors greeted earnings news enthusiastically as they were eager to see how well corporate earnings would hold up. Wall Street anticipates the reports will indicate that corporate growth slowed in the first three months of 2007 compared with previous quarters. Standard & Poor's recent estimate of first-quarter earnings growth for S&P 500 companies is 3.8 percent.
Investor sentiment about earnings can be easily swayed, however, as one bad report has in the past soured Wall Street's mood about the overall corporate profit picture.
Citigroup, the largest U.S. financial institution, said its first-quarter profit fell by 11 percent, but the results included a charge to cover a massive restructuring. Excluding that charge, increased revenue helped push profits above expectations. Citigroup, the best performer in the Dow, rose $1.33, or 2.6 percent, to $52.93. The report buoyed financials stocks, which make up the largest slice of the S&P 500 components. Lehman Brothers Inc. rose $3.67, or 5.1 percent, to $75.89, while Goldman Sachs Group Inc. advanced $8.02, or 3.9 percent, to $214.52.
Wachovia Corp., the nation's fourth-largest bank, reported a rise in profits that surpassed Wall Street's expectations -- which along with Citigroup's results appeared to reassure some investors that the large U.S. banks are faring better than anticipated, despite trouble in the subprime lending sector. Wachovia rose $1.06 to $55.06.
Eli Lilly & Co.'s first-quarter profit fell 39 percent. After adjusting for certain items, the company's profit came in above expectations. The drug maker also reported a rise in revenue, and raised its full-year sales and earnings guidance. The stock rose $1.52, or 2.7 percent, to $58.40.
Mattel Inc., the world's largest toy company, said its first-quarter profit fell 60 percent, because the year-earlier period benefited from a large settlement; the results beat the average forecast, however. Mattel fell 24 cents to $28.10.
In other corporate news, Fremont General Corp. said it is planning to sell its residential real estate business and about $2.9 billion in subprime residential mortgages at a loss. The moves will effectively shut the company, which rose $1.83, or 25.7 percent, to $8.88.
Advancing issues outnumbered decliners by more than 2 to 1 on the New York Stock Exchange, where volume came to 1.55 billion shares compared with 1.41 billion shares traded Friday.
The Russell 2000 index of smaller companies rose 12.06, or 1.47 percent, to 831.44.
Overseas, Japan's Nikkei stock average closed up 1.52 percent. Britain's FTSE 100 closed up 0.83 percent, Germany's DAX index rose 1.75 percent, and France's CAC-40 advanced 1.25 percent.
The sometimes-volatile Shanghai Composite Index, whose nearly 9 percent decline Feb. 27 helped touch off the global pullback, rose 2.22 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Symbol ----- Last --- Change
Dow 12,720.46 +108.33 (0.86%)
Nasdaq 2,518.33 +26.39 (1.06%)
S&P 500 1,468.47 +15.62 (1.08%)
10-Yr Bond 4.735% +0.026
NYSE Volume 2,872,288,000
Nasdaq Volume 1,849,138,000
http://biz.yahoo.com/ap/070416/wall_street.html?.v=43
Stocks Rise Amid Profit, Economic News
Monday April 16, 6:21 pm ET
By Tim Paradis, AP Business Writer
Wall Street Up Following Citigroup Profit Report, Retail Sales Data
NEW YORK (AP) -- Wall Street began the week with a strong start Monday as better-than-expected profits at Citigroup Inc. and a healthy increase in consumer spending renewed investors' optimism about the economy. The Dow Jones industrials soared more than 100 points.
Earnings reports begin arriving at a steady clip this week, giving investors fresh indications about companies and the overall economy. This week nearly half the 30 companies that make up the Dow industrials report results.
While investors have been girding for a slowdown in growth of corporate profits, they are hoping consumer spending will remain robust. The Commerce Department on Monday reported that consumers spent strongly last month, sending retail sales up by about 0.7 percent. The figure was close to what analysts predicted, and up from a revised 0.5 percent increase in February.
Investors were also pleased by news of a buyout of SLM Corp., the student lender better known as Sallie Mae. SLM agreed to be sold to two private investment funds and J.P. Morgan Chase & Co. and Bank of America Corp. for $25 billion, or $60 per share. Sallie Mae rose $8.29, or 17.7 percent, to $55.05.
But analysts warned that Wall Street's good humor was unlikely to last. Robert N. Schaeffer, portfolio manager at Becker Value Equity Fund, contends that a pop in stocks is typical when earnings reports begin to flow in and are better than expected.
"The positive reaction to the earnings tends to be short-lived traditionally," he said. "There is also a tendency for companies with better earnings reports to report early. The companies that are going to disappoint tend to drag their feet a bit."
The Dow Jones industrial average rose 108.33, or 0.86 percent, to 12,720.46. The Dow's increase Monday put the blue chip average back above where it stood before the major U.S. indexes fell more than 3 percent on Feb. 27 as part of a worldwide selloff. The Dow is within about 66 points of its all-time closing high of 12,786.64, reached Feb. 20.
Broader stock indicators also rose. The Standard & Poor's 500 index rose 15.62, or 1.08 percent, to 1,468.47, a six-and-a-half-year high. The Nasdaq composite index rose 26.39, or 1.06 percent, to 2,518.33.
Bonds advanced, with the yield on the benchmark 10-year Treasury note falling to 4.74 percent from 4.77 percent late Friday. The dollar traded near all-time lows versus the euro, and was mostly lower against other major currencies.
Oil prices fell Monday, with a barrel of light sweet crude settling down 2 cents at $63.61 on the New York Mercantile Exchange. Gold prices rose.
Economic reports competed with earnings news for investors' attention Monday. The Commerce Department reported businesses increased their inventories by 0.3 percent in February, the largest increase in five months. The New York Federal Reserve also reported that its regional manufacturing activity expanded slightly in April, with the overall index rising to a reading of 3.80 from an unrevised reading of 1.85 in March. Also, the National Association of Home Builders' index -- a measure of confidence of U.S. homebuilders -- fell to 33 from 36 in March for sales of new, single-family homes.
Investors greeted earnings news enthusiastically as they were eager to see how well corporate earnings would hold up. Wall Street anticipates the reports will indicate that corporate growth slowed in the first three months of 2007 compared with previous quarters. Standard & Poor's recent estimate of first-quarter earnings growth for S&P 500 companies is 3.8 percent.
Investor sentiment about earnings can be easily swayed, however, as one bad report has in the past soured Wall Street's mood about the overall corporate profit picture.
Citigroup, the largest U.S. financial institution, said its first-quarter profit fell by 11 percent, but the results included a charge to cover a massive restructuring. Excluding that charge, increased revenue helped push profits above expectations. Citigroup, the best performer in the Dow, rose $1.33, or 2.6 percent, to $52.93. The report buoyed financials stocks, which make up the largest slice of the S&P 500 components. Lehman Brothers Inc. rose $3.67, or 5.1 percent, to $75.89, while Goldman Sachs Group Inc. advanced $8.02, or 3.9 percent, to $214.52.
Wachovia Corp., the nation's fourth-largest bank, reported a rise in profits that surpassed Wall Street's expectations -- which along with Citigroup's results appeared to reassure some investors that the large U.S. banks are faring better than anticipated, despite trouble in the subprime lending sector. Wachovia rose $1.06 to $55.06.
Eli Lilly & Co.'s first-quarter profit fell 39 percent. After adjusting for certain items, the company's profit came in above expectations. The drug maker also reported a rise in revenue, and raised its full-year sales and earnings guidance. The stock rose $1.52, or 2.7 percent, to $58.40.
Mattel Inc., the world's largest toy company, said its first-quarter profit fell 60 percent, because the year-earlier period benefited from a large settlement; the results beat the average forecast, however. Mattel fell 24 cents to $28.10.
In other corporate news, Fremont General Corp. said it is planning to sell its residential real estate business and about $2.9 billion in subprime residential mortgages at a loss. The moves will effectively shut the company, which rose $1.83, or 25.7 percent, to $8.88.
Advancing issues outnumbered decliners by more than 2 to 1 on the New York Stock Exchange, where volume came to 1.55 billion shares compared with 1.41 billion shares traded Friday.
The Russell 2000 index of smaller companies rose 12.06, or 1.47 percent, to 831.44.
Overseas, Japan's Nikkei stock average closed up 1.52 percent. Britain's FTSE 100 closed up 0.83 percent, Germany's DAX index rose 1.75 percent, and France's CAC-40 advanced 1.25 percent.
The sometimes-volatile Shanghai Composite Index, whose nearly 9 percent decline Feb. 27 helped touch off the global pullback, rose 2.22 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
bigdog
Retired many years ago
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Lets hope the All Ords increases today.
The local market yesterday was disappointing with Mondays Dow increasing 108 points and Tuesdays all ords dropping 17 points
The NYSE DOW closed HIGHER by 52 points on Tuesday 17:
Symbol ----- Last --- Change
Symbol Last Change
Dow 12,773.04 +52.58 (0.41%)
Nasdaq 2,516.95 -1.38 (0.05%)
S&P 500 1,471.48 +3.01 (0.20%)
10-Yr Bond 4.6880% -0.0470
NYSE Volume 2,920,592,000
Nasdaq Volume 2,016,685,000
http://biz.yahoo.com/ap/070417/wall_street.html?.v=42
Stocks Up on Inflation, Housing Data
Tuesday April 17, 6:14 pm ET
By Madlen Read, AP Business Writer
U.S. Stocks Higher After Inflation Data, Rise in Housing Starts
NEW YORK (AP) -- Wall Street traded mostly higher Tuesday, briefly pushing the Dow Jones industrials into record territory after a rise in home construction and a mild reading on consumer inflation encouraged investors to buy.
The technology-dominated Nasdaq composite index and the Russell 2000 index of smaller companies slipped, showing that most of the stock market's gains were isolated in larger companies that are more impervious to economic stumbles.
Many investors were heartened by the Commerce Department's report that March housing starts rose 0.8 percent -- a feeble rise compared with February's 7.6 percent advance, but much better than the drop investors expected. Building permits also rose. Stocks have had many tumultuous weeks this year due to worries about the financial troubles of the subprime lending sector spilling into the already sluggish housing market.
Giving investors some additional relief, the Labor Department's core consumer price index rose 0.1 percent in March, less than expected, and alleviating some anxiety about the Federal Reserve's need to raise interest rates to curb costs. The overall consumer price index, which takes into account energy and food, rose 0.6 percent in March -- the largest increase in 11 months -- and was in line with expectations.
Some investors doubt that Wall Street's optimism will last.
"I think this is sort of a weak relief rally," said Ed Peters, chief investment officer at PanAgora Asset Management Inc. in Boston. "It's nice that the core level of inflation came in lower than expected, but the headline rate is what people live on. ... There are still problems out there."
The Dow traded as high as 12,790.02, passing its closing high of 12,786.64 set Feb. 20, and approached its trading high of 12,795.93, reached the same day.
The Dow rose 52.58, or 0.41 percent, to 12,773.04. Gains in Coca-Cola Co. and Johnson & Johnson, which reported earnings earlier in the day that exceeded expectations, gave the blue chip index its 13th rise out of the last 14 sessions.
Broader stock indicators were mixed. The Standard & Poor's 500 index rose 3.01, or 0.20 percent, to 1,471.48, while the Nasdaq composite index fell 1.38, or 0.05 percent, to 2,516.95.
Advancing issues outnumbered decliners by about 3 to 2 on the New York Stock Exchange, where volume came to 1.57 billion shares.
Bonds rose following the inflation data, which could give the Fed more room to lower rates. Also heightening that possibility, the Federal Reserve reported Tuesday that March utility production dropped by 7 percent, offsetting a rise in factory production. The yield on the benchmark 10-year Treasury note fell to 4.69 percent from 4.74 percent.
Gold prices slipped. The dollar neared all-time lows versus the euro, and dropped to a 15-year low against the British pound. The dollar's weakness has been brought on by the U.S. economy and interest rates rising less than in other countries.
The stock market has been showing strength heading into the first-quarter earnings season. Nearly half the component companies of the Dow Jones industrial average release earnings this week. Analysts expect the reports to show corporate growth is slowing, but so far this week, many companies' financial results have surpassed forecasts.
Coca-Cola, the world's largest drink maker and one of the 30 Dow components, said Tuesday its first-quarter profit jumped 14 percent. The rise beat analyst expectations, thanks to a double-digit increase in worldwide sales despite its troubled North America segment. Coca Cola rose $1.30, or 2.6 percent, to $51.57.
U.S. companies can benefit from markets abroad, despite slowing U.S. growth, market participants say.
"The foreign economies are now large enough and strong enough that they'll be able to help us," said Joe Balestrino, a portfolio manager at Federated Investors Inc.
Another Dow component, health care products maker Johnson & Johnson, reported a profit drop of 22 percent due to a charge for an acquisition that more than offset record sales. But the results beat forecasts and the company rose $1.53, or 2.4 percent, to $64.55.
The financial sector posted mixed earnings, but shares fell throughout the sector. Mellon Financial Corp.'s profits rose and exceeded expectations, as did those of Wells Fargo & Co. But TD Ameritrade Holding Corp.'s profits dropped and missed predictions, and so did U.S. Bancorp's. Mellon fell 2 cents to $44.12; Wells Fargo fell 26 cents to $35.25; TD Ameritrade fell $1.56, or 9.3 percent, to $15.31; and U.S. Bancorp slipped 34 cents to $34.56.
Crude oil prices fell 51 cents to settle at $63.10 a barrel on the New York Mercantile Exchange.
The Russell 2000 index of smaller companies slipped 2.48, or 0.30 percent, to 828.96. The index reached an intraday high of 831.71 during the session.
Overseas, Japan's Nikkei stock average fell 0.57 percent. Britain's FTSE 100 fell 0.28 percent, Germany's DAX index rose 0.15 percent, and France's CAC-40 fell 0.07 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
The local market yesterday was disappointing with Mondays Dow increasing 108 points and Tuesdays all ords dropping 17 points
The NYSE DOW closed HIGHER by 52 points on Tuesday 17:
Symbol ----- Last --- Change
Symbol Last Change
Dow 12,773.04 +52.58 (0.41%)
Nasdaq 2,516.95 -1.38 (0.05%)
S&P 500 1,471.48 +3.01 (0.20%)
10-Yr Bond 4.6880% -0.0470
NYSE Volume 2,920,592,000
Nasdaq Volume 2,016,685,000
http://biz.yahoo.com/ap/070417/wall_street.html?.v=42
Stocks Up on Inflation, Housing Data
Tuesday April 17, 6:14 pm ET
By Madlen Read, AP Business Writer
U.S. Stocks Higher After Inflation Data, Rise in Housing Starts
NEW YORK (AP) -- Wall Street traded mostly higher Tuesday, briefly pushing the Dow Jones industrials into record territory after a rise in home construction and a mild reading on consumer inflation encouraged investors to buy.
The technology-dominated Nasdaq composite index and the Russell 2000 index of smaller companies slipped, showing that most of the stock market's gains were isolated in larger companies that are more impervious to economic stumbles.
Many investors were heartened by the Commerce Department's report that March housing starts rose 0.8 percent -- a feeble rise compared with February's 7.6 percent advance, but much better than the drop investors expected. Building permits also rose. Stocks have had many tumultuous weeks this year due to worries about the financial troubles of the subprime lending sector spilling into the already sluggish housing market.
Giving investors some additional relief, the Labor Department's core consumer price index rose 0.1 percent in March, less than expected, and alleviating some anxiety about the Federal Reserve's need to raise interest rates to curb costs. The overall consumer price index, which takes into account energy and food, rose 0.6 percent in March -- the largest increase in 11 months -- and was in line with expectations.
Some investors doubt that Wall Street's optimism will last.
"I think this is sort of a weak relief rally," said Ed Peters, chief investment officer at PanAgora Asset Management Inc. in Boston. "It's nice that the core level of inflation came in lower than expected, but the headline rate is what people live on. ... There are still problems out there."
The Dow traded as high as 12,790.02, passing its closing high of 12,786.64 set Feb. 20, and approached its trading high of 12,795.93, reached the same day.
The Dow rose 52.58, or 0.41 percent, to 12,773.04. Gains in Coca-Cola Co. and Johnson & Johnson, which reported earnings earlier in the day that exceeded expectations, gave the blue chip index its 13th rise out of the last 14 sessions.
Broader stock indicators were mixed. The Standard & Poor's 500 index rose 3.01, or 0.20 percent, to 1,471.48, while the Nasdaq composite index fell 1.38, or 0.05 percent, to 2,516.95.
Advancing issues outnumbered decliners by about 3 to 2 on the New York Stock Exchange, where volume came to 1.57 billion shares.
Bonds rose following the inflation data, which could give the Fed more room to lower rates. Also heightening that possibility, the Federal Reserve reported Tuesday that March utility production dropped by 7 percent, offsetting a rise in factory production. The yield on the benchmark 10-year Treasury note fell to 4.69 percent from 4.74 percent.
Gold prices slipped. The dollar neared all-time lows versus the euro, and dropped to a 15-year low against the British pound. The dollar's weakness has been brought on by the U.S. economy and interest rates rising less than in other countries.
The stock market has been showing strength heading into the first-quarter earnings season. Nearly half the component companies of the Dow Jones industrial average release earnings this week. Analysts expect the reports to show corporate growth is slowing, but so far this week, many companies' financial results have surpassed forecasts.
Coca-Cola, the world's largest drink maker and one of the 30 Dow components, said Tuesday its first-quarter profit jumped 14 percent. The rise beat analyst expectations, thanks to a double-digit increase in worldwide sales despite its troubled North America segment. Coca Cola rose $1.30, or 2.6 percent, to $51.57.
U.S. companies can benefit from markets abroad, despite slowing U.S. growth, market participants say.
"The foreign economies are now large enough and strong enough that they'll be able to help us," said Joe Balestrino, a portfolio manager at Federated Investors Inc.
Another Dow component, health care products maker Johnson & Johnson, reported a profit drop of 22 percent due to a charge for an acquisition that more than offset record sales. But the results beat forecasts and the company rose $1.53, or 2.4 percent, to $64.55.
The financial sector posted mixed earnings, but shares fell throughout the sector. Mellon Financial Corp.'s profits rose and exceeded expectations, as did those of Wells Fargo & Co. But TD Ameritrade Holding Corp.'s profits dropped and missed predictions, and so did U.S. Bancorp's. Mellon fell 2 cents to $44.12; Wells Fargo fell 26 cents to $35.25; TD Ameritrade fell $1.56, or 9.3 percent, to $15.31; and U.S. Bancorp slipped 34 cents to $34.56.
Crude oil prices fell 51 cents to settle at $63.10 a barrel on the New York Mercantile Exchange.
The Russell 2000 index of smaller companies slipped 2.48, or 0.30 percent, to 828.96. The index reached an intraday high of 831.71 during the session.
Overseas, Japan's Nikkei stock average fell 0.57 percent. Britain's FTSE 100 fell 0.28 percent, Germany's DAX index rose 0.15 percent, and France's CAC-40 fell 0.07 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
bigdog
Retired many years ago
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- 19 July 2006
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The Dow Jones industrial average closed above 12,800 for the first time Wednesday, signaling Wall Street's recovery from its steep decline in February as investors rewarded companies with strong earnings.
The NYSE DOW closed HIGHER by 30 points on Wednesday 18:
Symbol ----- Last --- Change
Symbol Last Change
Dow 12,803.84 +30.80 (0.24%)
Nasdaq 2,510.50 -6.45 (0.26%)
S&P 500 1,472.50 +1.02 (0.07%)
10-Yr Bond 4.6540% -0.0340
NYSE Volume 2,972,168,000
Nasdaq Volume 2,122,164,000
http://biz.yahoo.com/ap/070418/wall_street.html?.v=53
Dow Closes Above 12,800 for First Time
Wednesday April 18, 6:12 pm ET
By Madlen Read, AP Business Writer
The Dow Jones Industrials Closed Above 12,800 for First Time in Mixed Session on Wall Street
NEW YORK (AP) -- The Dow Jones industrial average closed above 12,800 for the first time Wednesday, signaling Wall Street's recovery from its steep decline in February as investors rewarded companies with strong earnings.
The day was not a standout for the overall market, however. Technology stocks lagged following disappointing earnings from leaders including Yahoo Inc.
The Dow moved as high as 12,838.46 before slipping back slightly to close at 12,803.84, up 30.80, or 0.24 percent. The Dow broke records set on Feb. 20, one week before the average tumbled 416 points in a worldwide selloff.
As only 11 of the 30 stocks in the blue chip index advanced, the Dow's gain Wednesday came from strength in stocks like JP Morgan Chase & Co., Boeing Co. and Caterpillar Inc.
JPMorgan lifted the Dow after the bank reported a 55 percent jump in profits that far surpassed Wall Street's expectations. The companies that make up the Dow -- nearly half of which report earnings this week -- have been mostly beating the Street's predictions.
Broader stock indicators finished mixed. The Standard & Poor's 500 index rose 1.02, or 0.07 percent, to 1,472.50, but the Nasdaq composite index fell 6.45, or 0.26 percent, to 2,510.50.
Bond prices rose for the third straight session as investors grew optimistic that the Federal Reserve won't raise interest rates. The yield on the benchmark 10-year Treasury note fell to 4.66 percent from 4.69 percent late Tuesday. Gold prices also advanced.
Investors pulled back from tech stocks after Yahoo posted a surprising 11 percent drop in its first-quarter profit. Disappointing results from International Business Machines Corp. and Motorola Inc. added to the selling.
Mike Malone, a trading analyst at Cowen & Co., said results from Yahoo stunted some of the market's appetite for technology issues. However, he dismissed the notion that Yahoo's earnings marked the start of a trend for first-quarter reports.
"There have been some company-specific issues out there, but they really aren't indicative of the underlying earnings environment," he said.
Wall Street was uneasy about a sharp drop in the dollar, which is now at 26-year lows against the British pound and a two-year low against the euro. The U.S. currency has weakened because interest rates have remained steady since the summer and amid signs of a slowing U.S. economy.
Light, sweet crude settled up 3 cents at $63.13 per barrel on the New York Mercantile Exchange as a government report showed a bigger-than-expected decline in gasoline inventories. The U.S. Energy Information Administration said stockpiles dropped 2.7 million barrels to 197 million barrels.
Charlie White, chief investment officer of the ThomasLloyd Funds, said that while overall earnings have been good, investors appear to still be waiting further signs about where the economy is headed.
"It's one of these periods of time that you don't have any compelling evidence either way and what you need to do is stay focused and be patient," he said. "I ask myself the question, 'Is this the beginning of a leg up in a bull market, or is this a last gasp?'"
Investors are focused on earnings reports as they look for a direction in stocks. S&P has predicted earnings for companies in the S&P 500 grew less than 4 percent in the first quarter, much less than in previous quarters.
Yahoo plunged $3.78, or 11.8 percent, to $28.31 after the Internet portal reported disappointing results late Tuesday. The results left Wall Street wondering how much longer it will take the company to regain its financial footing after it stumbled through most of 2006.
Pressure was felt elsewhere in the tech sector. IBM posted disappointing results late Tuesday, and its shares dropped $2.32, or 2.4 percent, to $94.80. Hard driver maker Seagate Technology LLC fell 85 cents, or 3.8 percent, to $21.30 after it reported profit fell 22 percent in the first quarter, and lowered its forecast.
Motorola reported a first-quarter loss due to sluggish sales, and charges to cover a legal settlement and restructuring efforts. However, sales surpassed expectations and the stock rose 27 cents to $18.22.
Medical device maker Abbott Laboratories Inc. fell 97 cents to $58.03 after it said its first-quarter profit fell 19 percent. The results excluding certain items, however, beat analyst estimates.
JPMorgan rose $1.89, or 3.8 percent, to $52.07 after the nation's third-largest bank reported a 55 percent increase in profits. The New York-based bank said first-quarter results were boosted by strength across its primary business lines, though it did increase reserves to offset subprime mortgage losses.
Declining issues led advancers 9 to 7 on the New York Stock Exchange, where consolidated volume came to 2.93 billion shares compared with volume of 2.89 billion shares traded Tuesday.
The Russell 2000 index of smaller companies fell 4.58, or 0.55 percent, to 824.38.
Overseas, Japan's Nikkei stock average closed up 0.80 percent. Britain's FTSE 100 finished down 0.74 percent, Germany's DAX index fell 0.90 percent, and France's CAC-40 dropped 0.38 percent.
South Korean and Australian stocks hit new records Wednesday, while the sometimes-volatile Shanghai Composite index edged up 0.01 percent. It was a nearly 9 percent drop in the Shanghai Composite index on Feb. 27 that helped trigger the day's global selloff. Indexes like the Shanghai Composite, however, took less time to resume hitting highs than did major U.S. indexes.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
The NYSE DOW closed HIGHER by 30 points on Wednesday 18:
Symbol ----- Last --- Change
Symbol Last Change
Dow 12,803.84 +30.80 (0.24%)
Nasdaq 2,510.50 -6.45 (0.26%)
S&P 500 1,472.50 +1.02 (0.07%)
10-Yr Bond 4.6540% -0.0340
NYSE Volume 2,972,168,000
Nasdaq Volume 2,122,164,000
http://biz.yahoo.com/ap/070418/wall_street.html?.v=53
Dow Closes Above 12,800 for First Time
Wednesday April 18, 6:12 pm ET
By Madlen Read, AP Business Writer
The Dow Jones Industrials Closed Above 12,800 for First Time in Mixed Session on Wall Street
NEW YORK (AP) -- The Dow Jones industrial average closed above 12,800 for the first time Wednesday, signaling Wall Street's recovery from its steep decline in February as investors rewarded companies with strong earnings.
The day was not a standout for the overall market, however. Technology stocks lagged following disappointing earnings from leaders including Yahoo Inc.
The Dow moved as high as 12,838.46 before slipping back slightly to close at 12,803.84, up 30.80, or 0.24 percent. The Dow broke records set on Feb. 20, one week before the average tumbled 416 points in a worldwide selloff.
As only 11 of the 30 stocks in the blue chip index advanced, the Dow's gain Wednesday came from strength in stocks like JP Morgan Chase & Co., Boeing Co. and Caterpillar Inc.
JPMorgan lifted the Dow after the bank reported a 55 percent jump in profits that far surpassed Wall Street's expectations. The companies that make up the Dow -- nearly half of which report earnings this week -- have been mostly beating the Street's predictions.
Broader stock indicators finished mixed. The Standard & Poor's 500 index rose 1.02, or 0.07 percent, to 1,472.50, but the Nasdaq composite index fell 6.45, or 0.26 percent, to 2,510.50.
Bond prices rose for the third straight session as investors grew optimistic that the Federal Reserve won't raise interest rates. The yield on the benchmark 10-year Treasury note fell to 4.66 percent from 4.69 percent late Tuesday. Gold prices also advanced.
Investors pulled back from tech stocks after Yahoo posted a surprising 11 percent drop in its first-quarter profit. Disappointing results from International Business Machines Corp. and Motorola Inc. added to the selling.
Mike Malone, a trading analyst at Cowen & Co., said results from Yahoo stunted some of the market's appetite for technology issues. However, he dismissed the notion that Yahoo's earnings marked the start of a trend for first-quarter reports.
"There have been some company-specific issues out there, but they really aren't indicative of the underlying earnings environment," he said.
Wall Street was uneasy about a sharp drop in the dollar, which is now at 26-year lows against the British pound and a two-year low against the euro. The U.S. currency has weakened because interest rates have remained steady since the summer and amid signs of a slowing U.S. economy.
Light, sweet crude settled up 3 cents at $63.13 per barrel on the New York Mercantile Exchange as a government report showed a bigger-than-expected decline in gasoline inventories. The U.S. Energy Information Administration said stockpiles dropped 2.7 million barrels to 197 million barrels.
Charlie White, chief investment officer of the ThomasLloyd Funds, said that while overall earnings have been good, investors appear to still be waiting further signs about where the economy is headed.
"It's one of these periods of time that you don't have any compelling evidence either way and what you need to do is stay focused and be patient," he said. "I ask myself the question, 'Is this the beginning of a leg up in a bull market, or is this a last gasp?'"
Investors are focused on earnings reports as they look for a direction in stocks. S&P has predicted earnings for companies in the S&P 500 grew less than 4 percent in the first quarter, much less than in previous quarters.
Yahoo plunged $3.78, or 11.8 percent, to $28.31 after the Internet portal reported disappointing results late Tuesday. The results left Wall Street wondering how much longer it will take the company to regain its financial footing after it stumbled through most of 2006.
Pressure was felt elsewhere in the tech sector. IBM posted disappointing results late Tuesday, and its shares dropped $2.32, or 2.4 percent, to $94.80. Hard driver maker Seagate Technology LLC fell 85 cents, or 3.8 percent, to $21.30 after it reported profit fell 22 percent in the first quarter, and lowered its forecast.
Motorola reported a first-quarter loss due to sluggish sales, and charges to cover a legal settlement and restructuring efforts. However, sales surpassed expectations and the stock rose 27 cents to $18.22.
Medical device maker Abbott Laboratories Inc. fell 97 cents to $58.03 after it said its first-quarter profit fell 19 percent. The results excluding certain items, however, beat analyst estimates.
JPMorgan rose $1.89, or 3.8 percent, to $52.07 after the nation's third-largest bank reported a 55 percent increase in profits. The New York-based bank said first-quarter results were boosted by strength across its primary business lines, though it did increase reserves to offset subprime mortgage losses.
Declining issues led advancers 9 to 7 on the New York Stock Exchange, where consolidated volume came to 2.93 billion shares compared with volume of 2.89 billion shares traded Tuesday.
The Russell 2000 index of smaller companies fell 4.58, or 0.55 percent, to 824.38.
Overseas, Japan's Nikkei stock average closed up 0.80 percent. Britain's FTSE 100 finished down 0.74 percent, Germany's DAX index fell 0.90 percent, and France's CAC-40 dropped 0.38 percent.
South Korean and Australian stocks hit new records Wednesday, while the sometimes-volatile Shanghai Composite index edged up 0.01 percent. It was a nearly 9 percent drop in the Shanghai Composite index on Feb. 27 that helped trigger the day's global selloff. Indexes like the Shanghai Composite, however, took less time to resume hitting highs than did major U.S. indexes.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
SAN FRANCISCO (MarketWatch) -- EBay Inc. said Wednesday its first-quarter profit surged 52%, helped by higher average selling price of goods sold on its auction site and sharp growth in its online payment business.
Shares of eBay rose as much as 5% in late trading after the results were released.
Shares of eBay rose as much as 5% in late trading after the results were released.
bigdog
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The NYSE DOW closed HIGHER by 4 points on Thurdsay 19:
Symbol ----- Last --- Change
Dow 12,808.63 +4.79 (0.04%)
Nasdaq 2,505.35 -5.15 (0.21%)
S&P 500 1,470.73 -1.77 (0.12%)
10-Yr Bond 4.6700% +0.0160
NYSE Volume 2,981,996,000
Nasdaq Volume 2,157,968,000
http://biz.yahoo.com/ap/070419/wall_street.html?.v=64
Stocks Flat on Economic, Earnings News
Thursday April 19, 6:44 pm ET
By Tim Paradis, AP Business Writer
Wall Street Finishes Flat Amid Mixed Economic, Earnings Data, Drop in Chinese Stocks
NEW YORK (AP) -- Wall Street closed essentially flat Thursday after struggling to resume a modest upward trend while investors juggled upbeat economic data, divergent earnings reports and a pullback in Chinese stocks. The Dow Jones industrials edged higher to a record close for the second straight day.
While a mix of profit reports pushed and tugged at stocks Thursday, investors also watched markets abroad, where stocks fell following word that economic growth in China's first quarter jumped a higher-than-expected 11.1 percent and inflation increased at the fastest pace in more than two years. Chinese officials said they would take steps such as raising interest rates to curb growth.
Wall Street fell at the opening, then began to pare its losses after a research group said its barometer of future economic activity rose slightly in March, signaling modest growth in coming months. The Conference Board said its index of leading economic indicators rose 0.1 percent, as expected, to 137.4 in March. The reading follows two straight months of declines.
The Dow rose 4.79, or 0.04 percent, to 12,808.63 -- its sixth straight gain. On Wednesday, the Dow reached fresh trading and closing highs, perhaps signaling a recovery from a late February pullback that was in part triggered by a selloff on the Chinese market. Wednesday's trading high of 12,838.46 and that session's close broke records set Feb. 20.
Broader market indicators dipped Thursday. The Standard & Poor's 500 index fell 1.77, or 0.12 percent, to 1,470.73, a day after the S&P hit a 6 1/2-year high. The Nasdaq composite index fell for the third straight session, slipping 5.15, or 0.21 percent, to 2,505.35.
Bond prices fell after three straight sessions of gains following the release of decent economic data and some robust earnings reports. The yield on the benchmark 10-year Treasury note rose to 4.67 percent from 4.66 percent late Wednesday.
China's sometimes volatile Shanghai Composite Index tumbled 4.5 percent Thursday. However, its decline wasn't as steep as the nearly 9 percent drop Feb. 27 that touched off the worldwide sell-off and shaved more than 3 percent from the major U.S. indexes that day. Stocks in Europe fell Thursday, though at more modest levels than in Asia.
Japan's Nikkei stock average fell 1.67 percent. Britain's FTSE 100 closed down 0.14 percent, Germany's DAX index declined 0.54 percent, and France's CAC-40 slipped 0.12 percent.
Most major U.S. companies -- even those reporting drops in first-quarter profits -- have been exceeding the forecasts of analysts, who lowered their expectations after the stock market plunged in late February amid worries about tumbling markets overseas, the weakening dollar, a slowing economy and financial troubles among subprime lenders, which make loans to those with poor credit.
EBay Inc. fell $1.26, or 3.7 percent, to $33.19 Thursday, after the online auctioneer posted a 52 percent surge in its first-quarter earnings in part due to lower taxes and a decrease in outstanding shares.
Nokia Corp., the world's largest mobile phone maker, said its first-quarter net profit declined by 6.6 percent amid slipping handset prices. However, it said its share of the global mobile phone market increased. Nokia advanced 78 cents, or 3.3 percent, to $24.65.
Merrill Lynch & Co. said first-quarter profits soared from a year earlier, when the nation's largest retail brokerage booked a charge related to compensation expenses. Merrill rose 55 cents to $90.11.
Dow component Merck & Co. said its first-quarter profit jumped 12 percent as the drug company saw higher sales and sold off some products. Merck rose 46 cents to $50.15.
Another drug maker, Schering-Plough Corp. said its first-quarter profit soared 55 percent, boosted by strong demand for its Remicade drug and other products; its results beat Wall Street's forecast. Schering-Plough rose $2.45, or 8.6 percent, to $31.
Another one of the 30 stocks that make up the Dow industrials, Altria Group Inc., said its first-quarter profit fell 21 percent as it saw weakness in domestic cigarette sales. The parent of Philip Morris raised its full-year earnings forecast, however, which could offset some concern about the quarter's results. Altria fell 68 cents to $69.40.
Intel Corp. was the biggest gainer in the Dow, rising 46 cents, or 2.2 percent, to $21.81, after an analyst upgrade.
UnitedHealth Group Inc., the nation's second-largest health insurer, fell $2.16, or 4 percent, to $52.05, after the company recorded payments related to its stock options problems and lackluster enrollment in Medicare-related programs.
In other economic data Thursday, the Labor Department said weekly applications for unemployment benefits slipped by 4,000 to 339,000 after hitting a two-month high a week earlier. Weekly figures can be volatile and the overall unemployment rate remains low. In March, it fell to 4.4 percent, flat with a five-year low.
Investors appeared unconcerned by a report from the Philadelphia Federal Reserve that showed a weaker-than-expected increase in regional manufacturing.
Light, sweet crude settled down $1.30 at $61.83 per barrel on the New York Mercantile Exchange.
Gold prices edged lower, while the dollar slipped against the euro and the British pound. The euro is near an all-time high against the dollar and the British pound is trading at 26-year highs versus the U.S. currency.
Declining issues outnumbered advancers by about 2 to 1 on the New York Stock Exchange, where consolidated volume came to 2.94 billion shares compared with 2.93 billion shares traded Wednesday.
The Russell 2000 index of smaller companies fell 5.06, or 0.61 percent, to 819.32.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Symbol ----- Last --- Change
Dow 12,808.63 +4.79 (0.04%)
Nasdaq 2,505.35 -5.15 (0.21%)
S&P 500 1,470.73 -1.77 (0.12%)
10-Yr Bond 4.6700% +0.0160
NYSE Volume 2,981,996,000
Nasdaq Volume 2,157,968,000
http://biz.yahoo.com/ap/070419/wall_street.html?.v=64
Stocks Flat on Economic, Earnings News
Thursday April 19, 6:44 pm ET
By Tim Paradis, AP Business Writer
Wall Street Finishes Flat Amid Mixed Economic, Earnings Data, Drop in Chinese Stocks
NEW YORK (AP) -- Wall Street closed essentially flat Thursday after struggling to resume a modest upward trend while investors juggled upbeat economic data, divergent earnings reports and a pullback in Chinese stocks. The Dow Jones industrials edged higher to a record close for the second straight day.
While a mix of profit reports pushed and tugged at stocks Thursday, investors also watched markets abroad, where stocks fell following word that economic growth in China's first quarter jumped a higher-than-expected 11.1 percent and inflation increased at the fastest pace in more than two years. Chinese officials said they would take steps such as raising interest rates to curb growth.
Wall Street fell at the opening, then began to pare its losses after a research group said its barometer of future economic activity rose slightly in March, signaling modest growth in coming months. The Conference Board said its index of leading economic indicators rose 0.1 percent, as expected, to 137.4 in March. The reading follows two straight months of declines.
The Dow rose 4.79, or 0.04 percent, to 12,808.63 -- its sixth straight gain. On Wednesday, the Dow reached fresh trading and closing highs, perhaps signaling a recovery from a late February pullback that was in part triggered by a selloff on the Chinese market. Wednesday's trading high of 12,838.46 and that session's close broke records set Feb. 20.
Broader market indicators dipped Thursday. The Standard & Poor's 500 index fell 1.77, or 0.12 percent, to 1,470.73, a day after the S&P hit a 6 1/2-year high. The Nasdaq composite index fell for the third straight session, slipping 5.15, or 0.21 percent, to 2,505.35.
Bond prices fell after three straight sessions of gains following the release of decent economic data and some robust earnings reports. The yield on the benchmark 10-year Treasury note rose to 4.67 percent from 4.66 percent late Wednesday.
China's sometimes volatile Shanghai Composite Index tumbled 4.5 percent Thursday. However, its decline wasn't as steep as the nearly 9 percent drop Feb. 27 that touched off the worldwide sell-off and shaved more than 3 percent from the major U.S. indexes that day. Stocks in Europe fell Thursday, though at more modest levels than in Asia.
Japan's Nikkei stock average fell 1.67 percent. Britain's FTSE 100 closed down 0.14 percent, Germany's DAX index declined 0.54 percent, and France's CAC-40 slipped 0.12 percent.
Most major U.S. companies -- even those reporting drops in first-quarter profits -- have been exceeding the forecasts of analysts, who lowered their expectations after the stock market plunged in late February amid worries about tumbling markets overseas, the weakening dollar, a slowing economy and financial troubles among subprime lenders, which make loans to those with poor credit.
EBay Inc. fell $1.26, or 3.7 percent, to $33.19 Thursday, after the online auctioneer posted a 52 percent surge in its first-quarter earnings in part due to lower taxes and a decrease in outstanding shares.
Nokia Corp., the world's largest mobile phone maker, said its first-quarter net profit declined by 6.6 percent amid slipping handset prices. However, it said its share of the global mobile phone market increased. Nokia advanced 78 cents, or 3.3 percent, to $24.65.
Merrill Lynch & Co. said first-quarter profits soared from a year earlier, when the nation's largest retail brokerage booked a charge related to compensation expenses. Merrill rose 55 cents to $90.11.
Dow component Merck & Co. said its first-quarter profit jumped 12 percent as the drug company saw higher sales and sold off some products. Merck rose 46 cents to $50.15.
Another drug maker, Schering-Plough Corp. said its first-quarter profit soared 55 percent, boosted by strong demand for its Remicade drug and other products; its results beat Wall Street's forecast. Schering-Plough rose $2.45, or 8.6 percent, to $31.
Another one of the 30 stocks that make up the Dow industrials, Altria Group Inc., said its first-quarter profit fell 21 percent as it saw weakness in domestic cigarette sales. The parent of Philip Morris raised its full-year earnings forecast, however, which could offset some concern about the quarter's results. Altria fell 68 cents to $69.40.
Intel Corp. was the biggest gainer in the Dow, rising 46 cents, or 2.2 percent, to $21.81, after an analyst upgrade.
UnitedHealth Group Inc., the nation's second-largest health insurer, fell $2.16, or 4 percent, to $52.05, after the company recorded payments related to its stock options problems and lackluster enrollment in Medicare-related programs.
In other economic data Thursday, the Labor Department said weekly applications for unemployment benefits slipped by 4,000 to 339,000 after hitting a two-month high a week earlier. Weekly figures can be volatile and the overall unemployment rate remains low. In March, it fell to 4.4 percent, flat with a five-year low.
Investors appeared unconcerned by a report from the Philadelphia Federal Reserve that showed a weaker-than-expected increase in regional manufacturing.
Light, sweet crude settled down $1.30 at $61.83 per barrel on the New York Mercantile Exchange.
Gold prices edged lower, while the dollar slipped against the euro and the British pound. The euro is near an all-time high against the dollar and the British pound is trading at 26-year highs versus the U.S. currency.
Declining issues outnumbered advancers by about 2 to 1 on the New York Stock Exchange, where consolidated volume came to 2.94 billion shares compared with 2.93 billion shares traded Wednesday.
The Russell 2000 index of smaller companies fell 5.06, or 0.61 percent, to 819.32.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
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The NYSE DOW closed HIGHER by 153 points on Friday 20:
Symbol ----- Last --- Change
Dow 12,961.98 +153.35 (1.20%)
Nasdaq 2,526.39 +21.04 (0.84%)
S&P 500 1,484.35 +13.62 (0.93%)
10-Yr Bond 4.67% 0.00
NYSE Volume 3,366,091,000
Nasdaq Volume 2,160,998,000
http://biz.yahoo.com/ap/070420/wall_street.html?.v=58
Stocks Surge, Dow Closes Near 13,000
Friday April 20, 6:00 pm ET
By Joe Bel Bruno, AP Business Writer
Stocks Advance Sharply After Google Profit Beats Expectations, Dow Pushes Toward 13,000
NEW YORK (AP) -- Wall Street bounded higher Friday, hurtling the Dow Jones industrial average to a record close approaching 13,000 as investors celebrated a week of surprisingly strong earnings reports. The major indexes all had their third straight winning week, their longest such streak since October.
Investors who had tempered their expectations for first-quarter earnings on Monday were energized by the initial wave of upbeat results. So far into the earnings season, 16 of the 30 Dow components have posted financial results for the first three months of the year -- with 10 surpassing analyst forecasts. Dow components Honeywell International Inc., Caterpillar Inc., Pfizer Inc., and McDonald's Corp. all reported earnings Friday.
Better-than-expected results allowed stocks to extend their best April rally in four years, and one that pushed the Nasdaq composite index and the Standard & Poor's 500 index to six-year highs.
"It's not a matter of 13,000 for the Dow, we could be looking at 14,000 by the end of the year," said Robert Froehlich, chief investment strategist for investment firm DWS Scudder. "There's too much money out there chasing too few companies. This story isn't ending anytime soon."
The Dow closed up 153.35, or 1.20 percent, at 12,961.98, after setting a new intraday high of 12,966.29. The blue chip index -- now about 38 points shy of 13,000 -- has hit 34 record closes since the beginning of October last year.
The S&P 500 index soared 13.62, or 0.93 percent, to 1,484.35, and the Nasdaq rose 21.04, or 0.84 percent, to 2,526.39.
For the week, the Dow surged 2.8 percent, the S&P 500 added 2.2 percent, and the Nasdaq rose 1.4 percent. Advancing issues outnumbered decliners by more than 3 to 1 on the New York Stock Exchange, where volume came to 1.95 billion shares.
Bonds held steady as many investors focused on stocks. The yield on the benchmark 10-year Treasury note was unchanged at 4.67 percent. The dollar was mostly lower against other major currencies, while gold prices spiked.
Oil prices rose ahead of the presidential election in Nigeria, which is Africa's top producer of crude. A barrel of light sweet crude rose $1.55 to settle at $63.38 on the New York Mercantile Exchange.
Wall Street's advance this week signaled its recovery from the Feb. 27 worldwide plunge in stocks that sliced 416 points from the Dow. On Wednesday, the blue chips set their first new closing and intraday highs since Feb. 20.
The February skid was caused in part by concerns that China's economic growth might be curbed; the Shanghai stock market led the rest of the world lower. This week, Chinese stocks seesawed amid continuing concerns, but Wall Street suffered little damage.
The abundance of relatively benign U.S. economic data released this week contributed to investors' buying mood. New data indicated that builders picked up the pace of construction of new homes last month, and that there was a modest increase in core inflation.
Federal Reserve Governor Frederic Mishkin said in a speech Friday it might take a couple of years for inflation to ease toward levels that the Fed is comfortable with, which could mean that the central bank won't be cutting rates anytime soon.
Either way, Wall Street theorized this week that central bankers did not see enough evidence in recent reports to force a policy change. And that set up earnings to be a key catalyst for stocks.
"The main impetus has been, most of the bears and the gloom-and-doomers thought that first-quarter earnings would stink. Once again, the gloomy Guses have been proven wrong," said Alfred E. Goldman, chief market strategist at A.G. Edwards & Sons Inc. in St. Louis.
Google gave a boost to technology stocks after it reported late Thursday a 69 percent jump in first-quarter profit to exceed analyst expectations. The results helped reassure some investors who had grown cautious about tech growth, and sent Google up $10.83, or 2.3 percent, to $482.48.
Caterpillar was the Dow's biggest mover after the manufacturer of heavy equipment posted better-than-expected quarterly profit and issued robust profit guidance. Shares rose $3.20, or 4.7 percent, to $71.82.
Honeywell International rose $2.34, or 4.8 percent, to $51.40 after the industrial conglomerate topped Wall Street projections.
McDonald's reported quarterly profit rose 22 percent, but its shares dipped 42 cents to $48.36. Pfizer reported one-time charges that pushed profit lower by 18 percent, but the results beat expectations. The stock fell 10 cents to $26.97.
American Express Co. rose $2.05, or 3.5 percent, to $61.00 after first-quarter profit toppled Wall Street expectations. The nation's third-largest credit card brand said the period was driven by higher spending and more cards issued.
In acquisition news, H&R Block Inc. said it will sell its troubled Option One Mortgage Corp. to an affiliate of Cerberus Capital Management LP. Shares of the tax preparer rose 73 cents, or 3.3 percent, to $22.56.
Clear Channel Communications Inc. fell 21 cents to $35.75 after it announced the sale of its television group to a private equity firm for about $1.2 billion.
The Russell 2000 index of smaller companies was up 9.54, or 1.16 percent, at 828.85.
Overseas, Japan's Nikkei stock average closed up 0.42 percent. Britain's FTSE 100 was up 0.72 percent, Germany's DAX index rose 1.38 percent, and France's CAC-40 advanced 1.88 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
Symbol ----- Last --- Change
Dow 12,961.98 +153.35 (1.20%)
Nasdaq 2,526.39 +21.04 (0.84%)
S&P 500 1,484.35 +13.62 (0.93%)
10-Yr Bond 4.67% 0.00
NYSE Volume 3,366,091,000
Nasdaq Volume 2,160,998,000
http://biz.yahoo.com/ap/070420/wall_street.html?.v=58
Stocks Surge, Dow Closes Near 13,000
Friday April 20, 6:00 pm ET
By Joe Bel Bruno, AP Business Writer
Stocks Advance Sharply After Google Profit Beats Expectations, Dow Pushes Toward 13,000
NEW YORK (AP) -- Wall Street bounded higher Friday, hurtling the Dow Jones industrial average to a record close approaching 13,000 as investors celebrated a week of surprisingly strong earnings reports. The major indexes all had their third straight winning week, their longest such streak since October.
Investors who had tempered their expectations for first-quarter earnings on Monday were energized by the initial wave of upbeat results. So far into the earnings season, 16 of the 30 Dow components have posted financial results for the first three months of the year -- with 10 surpassing analyst forecasts. Dow components Honeywell International Inc., Caterpillar Inc., Pfizer Inc., and McDonald's Corp. all reported earnings Friday.
Better-than-expected results allowed stocks to extend their best April rally in four years, and one that pushed the Nasdaq composite index and the Standard & Poor's 500 index to six-year highs.
"It's not a matter of 13,000 for the Dow, we could be looking at 14,000 by the end of the year," said Robert Froehlich, chief investment strategist for investment firm DWS Scudder. "There's too much money out there chasing too few companies. This story isn't ending anytime soon."
The Dow closed up 153.35, or 1.20 percent, at 12,961.98, after setting a new intraday high of 12,966.29. The blue chip index -- now about 38 points shy of 13,000 -- has hit 34 record closes since the beginning of October last year.
The S&P 500 index soared 13.62, or 0.93 percent, to 1,484.35, and the Nasdaq rose 21.04, or 0.84 percent, to 2,526.39.
For the week, the Dow surged 2.8 percent, the S&P 500 added 2.2 percent, and the Nasdaq rose 1.4 percent. Advancing issues outnumbered decliners by more than 3 to 1 on the New York Stock Exchange, where volume came to 1.95 billion shares.
Bonds held steady as many investors focused on stocks. The yield on the benchmark 10-year Treasury note was unchanged at 4.67 percent. The dollar was mostly lower against other major currencies, while gold prices spiked.
Oil prices rose ahead of the presidential election in Nigeria, which is Africa's top producer of crude. A barrel of light sweet crude rose $1.55 to settle at $63.38 on the New York Mercantile Exchange.
Wall Street's advance this week signaled its recovery from the Feb. 27 worldwide plunge in stocks that sliced 416 points from the Dow. On Wednesday, the blue chips set their first new closing and intraday highs since Feb. 20.
The February skid was caused in part by concerns that China's economic growth might be curbed; the Shanghai stock market led the rest of the world lower. This week, Chinese stocks seesawed amid continuing concerns, but Wall Street suffered little damage.
The abundance of relatively benign U.S. economic data released this week contributed to investors' buying mood. New data indicated that builders picked up the pace of construction of new homes last month, and that there was a modest increase in core inflation.
Federal Reserve Governor Frederic Mishkin said in a speech Friday it might take a couple of years for inflation to ease toward levels that the Fed is comfortable with, which could mean that the central bank won't be cutting rates anytime soon.
Either way, Wall Street theorized this week that central bankers did not see enough evidence in recent reports to force a policy change. And that set up earnings to be a key catalyst for stocks.
"The main impetus has been, most of the bears and the gloom-and-doomers thought that first-quarter earnings would stink. Once again, the gloomy Guses have been proven wrong," said Alfred E. Goldman, chief market strategist at A.G. Edwards & Sons Inc. in St. Louis.
Google gave a boost to technology stocks after it reported late Thursday a 69 percent jump in first-quarter profit to exceed analyst expectations. The results helped reassure some investors who had grown cautious about tech growth, and sent Google up $10.83, or 2.3 percent, to $482.48.
Caterpillar was the Dow's biggest mover after the manufacturer of heavy equipment posted better-than-expected quarterly profit and issued robust profit guidance. Shares rose $3.20, or 4.7 percent, to $71.82.
Honeywell International rose $2.34, or 4.8 percent, to $51.40 after the industrial conglomerate topped Wall Street projections.
McDonald's reported quarterly profit rose 22 percent, but its shares dipped 42 cents to $48.36. Pfizer reported one-time charges that pushed profit lower by 18 percent, but the results beat expectations. The stock fell 10 cents to $26.97.
American Express Co. rose $2.05, or 3.5 percent, to $61.00 after first-quarter profit toppled Wall Street expectations. The nation's third-largest credit card brand said the period was driven by higher spending and more cards issued.
In acquisition news, H&R Block Inc. said it will sell its troubled Option One Mortgage Corp. to an affiliate of Cerberus Capital Management LP. Shares of the tax preparer rose 73 cents, or 3.3 percent, to $22.56.
Clear Channel Communications Inc. fell 21 cents to $35.75 after it announced the sale of its television group to a private equity firm for about $1.2 billion.
The Russell 2000 index of smaller companies was up 9.54, or 1.16 percent, at 828.85.
Overseas, Japan's Nikkei stock average closed up 0.42 percent. Britain's FTSE 100 was up 0.72 percent, Germany's DAX index rose 1.38 percent, and France's CAC-40 advanced 1.88 percent.
New York Stock Exchange: http://www.nyse.com
Nasdaq Stock Market: http://www.nasdaq.com
