NYSE Dow Jones finished today at:

[bigdog]

Source: http://finance.yahoo.com

The stock market finished pretty much where it started Wednesday as a mixed bag of earnings from big-name American companies left investors uninspired.

The Dow closed down 43.16 points, or 0.3 percent, at 14,676.30. The Standard & Poor's 500 index ”” the market's most widely used barometer ””was flat at 1,578.79.

In other markets, the price of oil soared, posting its biggest gain this year. The price of gold and the yield on the benchmark 10-year Treasury rose.

The Dow was held back by big drops in Procter & Gamble and AT&T. P&G issued a weak quarterly profit forecast and AT&T lost subscribers from its contract-based plans for the first time.

But other companies impressed investors and boosted their stock prices with strong quarterly earnings: Defense contractor General Dynamics and airplane maker Boeing easily beat expectations from financial analysts.

While the majority of corporations have delivered profits that were better than expected in the first quarter, their revenue hasn't been as impressive, suggesting they are struggling to grow.

"Overall, the earnings environment is very lackluster, for want of a better word," said Robbert van Batenburg, director of market strategy at Newedge.

So far, 175 of the companies in the S&P 500, or 35 percent, have reported quarterly earnings and two-thirds of the Dow's 30 members have reported.

Sixty-nine percent of companies in the S&P 500 have beaten profit expectations, better than the 10-year average of 62 percent, according to S&P Capital IQ. However, only 39 percent have beaten revenue forecasts.

Looking ahead, the outlook dims. Of the 35 companies that have given earnings forecasts for the second quarter, 28 have been "negative," according to S&P Capital IQ, with only four "positive" and three "in-line."

The Nasdaq composite edged up 0.32 point at 3,269.55. The Russell 2000 index of small-company stocks fared better. It rose 0.5 percent, or 4.75 points, to 934.11.

Last week, stocks logged their biggest weekly drop in five months after growth in China, the world's second-biggest economy, slowed and commodity prices plunged. Weaker hiring and manufacturing growth in the U.S. have also weighed on the stock market.

The Dow and S&P 500 reached record highs on April 11, but their gains have slowed sharply since then. The Dow is up just 0.7 percent this month while the S&P 500 has gained 0.6 percent.

The NYSE DOW closed LOWER ▼ -43.16 points or ▼ -0.29% Wednesday, 24 April 2013
Symbol …........Last ......Change.....
Dow_Jones 14,676.30 ▼ -43.16 ▼ -0.29%
Nasdaq___ 3,269.65 ▲ 0.32 ▲ 0.01%
S&P_500__ 1,578.79 ▲ 0.01 ▲ 0.00%
30_Yr_Bond 2.890 ▲ 0.00 ▲ 0.03%

NYSE Volume 3,888,740,000
Nasdaq Volume 1,698,478,250

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,431.76 ▲ 25.64 ▲ 0.40%
DAX_____ 7,759.03 ▲ 100.82 ▲ 1.32%
CAC_40__ 3,842.94 ▲ 59.89 ▲ 1.58%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,084.20 ▲ 81.60 ▲ 1.63%
Shanghai_Comp 2,218.32 ▲ 33.78 ▲ 1.55%
Taiwan_Weight 8,023.71 ▲ 80.94 ▲ 1.02%
Nikkei_225____ 13,843.46 ▲ 313.81 ▲ 2.32%
Hang_Seng____ 22,183.05 ▲ 376.44 ▲ 1.73%
Strait_Times___ 3,312.70 ▲ 28.35 ▲ 0.86%
NZX_50_Index__ 4,538.98 ▲ 22.48 ▲ 0.50%

http://finance.yahoo.com/news/stocks-little-changed-mixed-earnings-221232709.html

Stocks little changed after mixed earnings

Mixed earnings reports leave major stock indexes little changed.

By Steve Rothwell

The stock market finished pretty much where it started Wednesday as a mixed bag of earnings from big-name American companies left investors uninspired.

The Dow closed down 43.16 points, or 0.3 percent, at 14,676.30. The Standard & Poor's 500 index ”” the market's most widely used barometer ””was flat at 1,578.79.

In other markets, the price of oil soared, posting its biggest gain this year. The price of gold and the yield on the benchmark 10-year Treasury rose.

The Dow was held back by big drops in Procter & Gamble and AT&T. P&G issued a weak quarterly profit forecast and AT&T lost subscribers from its contract-based plans for the first time.

But other companies impressed investors and boosted their stock prices with strong quarterly earnings: Defense contractor General Dynamics and airplane maker Boeing easily beat expectations from financial analysts.

While the majority of corporations have delivered profits that were better than expected in the first quarter, their revenue hasn't been as impressive, suggesting they are struggling to grow.

"Overall, the earnings environment is very lackluster, for want of a better word," said Robbert van Batenburg, director of market strategy at Newedge.

P&G, the maker of Tide detergent and Gillette razors, dropped $4.82, or 5.1 percent, to $77.12 after its forecast came in below what financial analysts were expecting. P&G was hurt by uneven demand for new products.

AT&T dropped $1.96, or 5.2 percent, to $37.04 after it lost phone subscribers from its contract-based plans in its latest quarter. It's a sign that industry growth is slowing now that most American have smartphones.

General Dynamics, the aerospace and defense company, jumped $4.62, or 6.9 percent, to $71.73. CEO Phebe Novakovic called the quarter's results a "strong start" to achieving the company's goals this year, saying they reflected its focus on cuttings costs and generating cash.

Boeing climbed $2.65, or 3 percent, to $90.83 after the airplane maker said its first-quarter net income rose 20 percent despite problems with the 787 Dreamliner. The company said it would meet its financial and airplane delivery goals this year.

So far, 175 of the companies in the S&P 500, or 35 percent, have reported quarterly earnings and two-thirds of the Dow's 30 members have reported.

Sixty-nine percent of companies in the S&P 500 have beaten profit expectations, better than the 10-year average of 62 percent, according to S&P Capital IQ. However, only 39 percent have beaten revenue forecasts.

Looking ahead, the outlook dims. Of the 35 companies that have given earnings forecasts for the second quarter, 28 have been "negative," according to S&P Capital IQ, with only four "positive" and three "in-line."

"We think that most managements are appropriately cautious in their outlooks, because it's very possible that the second-quarter will continue to slow," said Jim Russell, a regional investment director at U.S. Bank. "We're watching with cautious optimism that this is a second-quarter-only soft patch in the economic data."

A report Wednesday that orders for long-lasting U.S. factory goods fell more than economists expected added to concerns that global growth is slowing.

The Commerce Department said orders for durable goods declined 5.7 percent in March following a 4.3 percent gain the previous month. February's figure was also revised lower.

The Nasdaq composite edged up 0.32 point at 3,269.55. The Russell 2000 index of small-company stocks fared better. It rose 0.5 percent, or 4.75 points, to 934.11.

Last week, stocks logged their biggest weekly drop in five months after growth in China, the world's second-biggest economy, slowed and commodity prices plunged. Weaker hiring and manufacturing growth in the U.S. have also weighed on the stock market.

The Dow and S&P 500 reached record highs on April 11, but their gains have slowed sharply since then. The Dow is up just 0.7 percent this month while the S&P 500 has gained 0.6 percent.

During the first three months of the year, the indexes averaged monthly gains of more than 3 percent, driven by optimism that the housing and job markets were recovering and that company earnings would continue to climb.

Companies made money in the first quarter, however, and are on track to increase their earnings by an average of almost 3 percent, according to S&P Capital IQ.

"Overall, I'm really quite comforted," said David Kelly, chief global strategist at JPMorgan Funds. "It's not an easy environment in which to make money, but companies are finding ways in which to hold costs in line and grow earnings."

Crude oil rose $2.25 to finish at $91.43 a barrel as U.S. supplies rose less than expected last week. Gold for June delivery rose $14.90 to $1,423.70 an ounce.

In government bond trading, the yield on the 10-year Treasury note rose to 1.71 percent from 1.70. The yield fell to 1.69 percent last week, close to its lowest of the year.

 

[bigdog]

Source: http://finance.yahoo.com

The engines driving the stock market were more tepid than turbocharged Thursday, but they were enough to help stocks rise for a fifth straight day.

The three major U.S. stock indexes all closed higher as good news on the job market and healthy earnings from name-brand companies like Royal Caribbean and Harley-Davidson encouraged investors.

The Standard & Poor's 500 has risen every day since Friday, a record not matched since early March.

The forces driving the gains, however, were tenuous, market watchers said. Hiring remains sluggish, even with the drop in unemployment claims last week. The S&P's five-day winning streak is hardly a blockbuster: on Wednesday it rose just .01 point. And while companies are turning in profits that are beating the estimates of financial analysts, many are missing revenue forecasts.

Some investors think the stock market's most recent gains have more to do with the belief that central banks around the world, including the Federal Reserve, will continue to keep interest rates low and buy bonds to encourage borrowing and spending.

"Some of the earnings were OK, but it's more just stimulus, stimulus, stimulus," said Scott Freeze, president of Street One Financial in Huntingdon Valley, Pa. "As long as the world wants to print (money) ... the fears of a global slowdown are going to be muted."

Joe Heider, principal at Rehmann Group outside Cleveland, thought stocks were up mostly because investors can't think of anywhere else to put their money, given record-low interest rates.

"You can leave it in cash and make nothing on it," Heider said.

Heider said he thought the latest report on jobless claims was consistent with a "plodding" recovery: "Not booming, not exciting, but we just keep marching forward."

Weekly applications for unemployment benefits fell 16,000 to 339,000, the second-lowest level in more than five years, according to the Labor Department.

The good news for the job market comes after a series of setbacks. In March, employers added only 88,000 jobs, down from an average of 220,000 for the previous four months. The unemployment rate fell to 7.6 percent from 7.7 percent, but only because more people stopped looking for jobs.

The Dow Jones industrial average rose as much as 91 points before giving up most of that gain Thursday. Investors were underwhelmed by what turned out to be a mixed bag on earnings. The Dow closed up 24.50 points, or 0.2 percent, to 14,700.80.

The S&P 500 rose 6.37 points, or 0.4 percent, to 1,585.16. Nine of the S&P's 10 industry groups rose, led by telecommunications. Verizon Communications, the biggest component in S&P's telecommunications group, rose almost 3 percent to $53.22 following reports that the company could offer $100 billion to buy out Vodafone's interest in their joint venture, Verizon Wireless.

The S&P 500's last streak this long was March 1 to 11, when it rose on seven straight trading days.

The Nasdaq composite index rose 20.33, or 0.6 percent, to 3,289.99.

The NYSE DOW closed HIGHER ▲ 24.50 points or ▲ 0.17% Thursday, 25 April 2013
Symbol …........Last ......Change.....
Dow_Jones 14,700.80 ▲ 24.50 ▲ 0.17%
Nasdaq___ 3,289.99 ▲ 20.34 ▲ 0.62%
S&P_500__ 1,585.16 ▲ 6.37 ▲ 0.40%
30_Yr_Bond 2.908 ▲ 0.02 ▲ 0.66%

NYSE Volume 4,227,859,500
Nasdaq Volume 1,980,634,620

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,442.59 ▲ 10.83 ▲ 0.17%
DAX_____ 7,832.86 ▲ 73.83 ▲ 0.95%
CAC_40__ 3,840.47 ▼ -2.47 ▼ -0.06%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,084.20 ▲ 81.60 ▲ 1.63%
Shanghai_Comp 2,199.31 ▼ -19.01 ▼ -0.86%
Taiwan_Weight 8,021.75 ▼ -1.96 ▼ -0.02%
Nikkei_225____ 13,926.08 ▲ 82.62 ▲ 0.60%
Hang_Seng____ 22,401.24 ▲ 218.19 ▲ 0.98%
Strait_Times___ 3,333.61 ▲ 10.90 ▲ 0.33%
NZX_50_Index__ 4,538.98 ▲ 22.48 ▲ 0.50%

http://finance.yahoo.com/news/stocks-edge-higher-job-market-195216418.html

Stocks edge higher as job market improves

Stocks move higher as unemployment claims ease; corporate earnings paint a mixed picture

By Christina Rexrode, AP Business Writer

The engines driving the stock market were more tepid than turbocharged Thursday, but they were enough to help stocks rise for a fifth straight day.

The three major U.S. stock indexes all closed higher as good news on the job market and healthy earnings from name-brand companies like Royal Caribbean and Harley-Davidson encouraged investors.

The Standard & Poor's 500 has risen every day since Friday, a record not matched since early March.

The forces driving the gains, however, were tenuous, market watchers said. Hiring remains sluggish, even with the drop in unemployment claims last week. The S&P's five-day winning streak is hardly a blockbuster: on Wednesday it rose just .01 point. And while companies are turning in profits that are beating the estimates of financial analysts, many are missing revenue forecasts.

Some investors think the stock market's most recent gains have more to do with the belief that central banks around the world, including the Federal Reserve, will continue to keep interest rates low and buy bonds to encourage borrowing and spending.

"Some of the earnings were OK, but it's more just stimulus, stimulus, stimulus," said Scott Freeze, president of Street One Financial in Huntingdon Valley, Pa. "As long as the world wants to print (money) ... the fears of a global slowdown are going to be muted."

Joe Heider, principal at Rehmann Group outside Cleveland, thought stocks were up mostly because investors can't think of anywhere else to put their money, given record-low interest rates.

"You can leave it in cash and make nothing on it," Heider said.

Heider said he thought the latest report on jobless claims was consistent with a "plodding" recovery: "Not booming, not exciting, but we just keep marching forward."

Weekly applications for unemployment benefits fell 16,000 to 339,000, the second-lowest level in more than five years, according to the Labor Department.

The good news for the job market comes after a series of setbacks. In March, employers added only 88,000 jobs, down from an average of 220,000 for the previous four months. The unemployment rate fell to 7.6 percent from 7.7 percent, but only because more people stopped looking for jobs.

The Dow Jones industrial average rose as much as 91 points before giving up most of that gain Thursday. Investors were underwhelmed by what turned out to be a mixed bag on earnings. The Dow closed up 24.50 points, or 0.2 percent, to 14,700.80.

The S&P 500 rose 6.37 points, or 0.4 percent, to 1,585.16. Nine of the S&P's 10 industry groups rose, led by telecommunications. Verizon Communications, the biggest component in S&P's telecommunications group, rose almost 3 percent to $53.22 following reports that the company could offer $100 billion to buy out Vodafone's interest in their joint venture, Verizon Wireless.

The S&P 500's last streak this long was March 1 to 11, when it rose on seven straight trading days.

The Nasdaq composite index rose 20.33, or 0.6 percent, to 3,289.99.

Thursday's earnings offered a mixed view of the economy, and mixed reactions from investors. Many companies have been reporting better first-quarter results, though the gains have come more from cost-cutting than from a strong economy.

So far, 71 percent of S&P 500 companies have beaten analysts' profit expectations for the first quarter, according to John Butters, senior earnings analyst at FactSet. But only 44 percent have beaten estimates for revenue.

Dow Chemical, which reported results, was one example. The company managed to increase profit even as revenue slipped because it cut costs and paid down debt. The stock rose nearly 6 percent to $33.97.

Safeway, a major grocery store chain, reported higher profit with the help of tax benefits. Revenue fell and missed analysts' expectations. Safeway's stock plunged almost 14 percent to $24.32. Investors were concerned about competition from dollar stores and big-box retailers.

In a report to clients, ConvergEx Group chief market strategist Nicholas Colas noted companies' higher earnings but said they don't match the "real feel" of an economy still crimped by "lackluster jobs growth, a flattening rate of improvement in the housing market, and incremental government austerity measures."

"If U.S. companies have proven anything in the last four years of subpar macroeconomic results," Colas wrote, "it is that they can make gallons of lemonade from just a few shriveled bits of citrus."

Among other companies making big moves:

”” Children's clothing company Carter's and motorcycle maker Harley-Davidson both rose after reporting higher profit and revenue. Carter's rose 6 percent to $64.12. Harley rose more than 2 percent to $54.31.

”” Profit and revenue also jumped at the cruise line Royal Caribbean as more people booked vacations. The stock jumped more than 5 percent, rising to $36.07. This year's comparisons, however, are a bit unusual: Last year's results were hurt because of the sinking of the Costa Concordia, owned by rival cruise line Carnival.

”” Profit and revenue also rose at 3M, maker of Scotch tape and construction equipment, but the stock fell almost 3 percent to $104.88. Investors were unnerved when the company cut its profit predictions for the year, citing a "low-growth economic environment."

”” Cosmetics company Revlon reported a loss after taking a charge for refinancing, and revenue was virtually flat. The stock dropped nearly 7 percent to $19.16.

”” Profit and revenue also fell at Cliffs Natural Resources and Carbo Ceramics, but their stocks went in opposite directions. Cliffs, which sells iron ore, shot 15 percent higher to $20.95. Carbo, which provides services and parts for the petroleum industry, plunged more than 17 percent to $71.55.

At Cliffs, the lower profits were still better than analysts had expected. At Carbo, investors were worried because the company said Chinese ceramic imports were hurting its pricing, and because drilling companies were taking more rigs out of action.

In other markets, trading resumed on the Chicago Board of Options Exchange close to 1 p.m. Eastern after being shut down all morning because of software problems. The CBOE's VIX index, a measure of how volatile investors expect the market to be, was virtually unchanged at 13.62, close to its low point of the year, 11, reached on March 15.

Gold futures rose 2.7 percent to $1,462 an ounce and the price of crude oil rose 2.4 percent to $93.64 a barrel. The yield on the benchmark 10-year Treasury note was unchanged at 1.71 percent.

 

[bigdog]

Source: http://finance.yahoo.com

The stock market stalled Friday after the U.S. economy didn't grow as much as hoped and earnings from a handful of big companies failed to rev up investors.

The economy grew at a 2.5 percent annual rate in the first three months of the year, the government said. That was below the 3.1 percent forecast by economists.

The shortfall reinforced the perception that the economy is grinding, rather than charging, ahead. Investors have also been troubled by reports in the last month of weaker hiring, slower manufacturing and a drop in factory orders. Many economists see growth slowing to an annual rate of around 2 percent a year for the rest of the year.

U.S. government bonds, where investors seek safety, rose after the report.

"There are some concerns as we head into the summer," said JJ Kinahan, chief derivatives strategist for TD Ameritrade. "In the last three weeks, we've seen numbers that weren't exactly what you'd love to see."

Corporate earnings this week have also contained worrisome signs. Many companies missed revenue forecasts from financial analysts, even as they reported higher quarterly profits. For example, Goodyear Tire slipped 3.3 percent to $12.51 Friday after revenue fell short of analysts' estimates, hurt by lower global tire sales.

Of the companies that have reported earnings so far, 70 percent have exceeded Wall Street's expectations, compared with a 10-year average of 62 percent, according to S&P Capital IQ. But 43 percent have missed revenue estimates. Just over half of the companies in the S&P 500 have reported quarterly results.

The S&P 500 index dropped 2.92 points, or 0.2 percent, to close at 1,582.24.

The Dow rose 11.75 points, or 0.1 percent, to 14,712.55. The index got a big lift from Chevron. Profit for the U.S. oil company beat expectations of financial analysts in the first quarter, pushing shares up 1.3 percent to $120.04.

Three stocks fell for every two that rose on the New York Stock Exchange.

Both indexes were up for the week and remain slightly below their all-time highs reached April 11. The Dow index rose 1.1 percent this week while the S&P gained 1.7 percent.

The NYSE DOW closed HIGHER ▲ 11.75 points or ▲ 0.08% Friday, 26 April 2013
Symbol …........Last ......Change.....
Dow_Jones 14,712.55 ▲ 11.75 ▲ 0.08%
Nasdaq___ 3,279.26 ▼ -10.73 ▼ -0.33%
S&P_500__ 1,582.24 ▼ -2.92 ▼ -0.18%
30_Yr_Bond 2.860 ▼ -0.05 ▼ -1.65%

NYSE Volume 3,484,140,250
Nasdaq Volume 1,713,288,250

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,426.42 ▼ -16.17 ▼ -0.25%
DAX_____ 7,814.76 ▼ -18.10 ▼ -0.23%
CAC_40__ 3,810.05 ▼ -30.42 ▼ -0.79%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,082.70 ▼ -1.50 ▼ -0.03%
Shanghai_Comp 2,177.91 ▼ -21.40 ▼ -0.97%
Taiwan_Weight 8,022.06 ▲ 0.31 ▲ 0.00%
Nikkei_225____ 13,884.13 ▼ -41.95 ▼ -0.30%
Hang_Seng____ 22,547.71 ▲ 146.47 ▲ 0.65%
Strait_Times___ 3,348.87 ▲ 11.16 ▲ 0.33%
NZX_50_Index__ 4,548.71 ▲ 9.73 ▲ 0.21%

http://finance.yahoo.com/news/stocks-stall-tepid-us-economic-195933199.html

Stocks stall on tepid US economic growth

Stocks stall after economic growth comes in weaker than economists forecast; Amazon slumps

By Steve Rothwell, AP Markets Writer

The stock market stalled Friday after the U.S. economy didn't grow as much as hoped and earnings from a handful of big companies failed to rev up investors.

The economy grew at a 2.5 percent annual rate in the first three months of the year, the government said. That was below the 3.1 percent forecast by economists.

The shortfall reinforced the perception that the economy is grinding, rather than charging, ahead. Investors have also been troubled by reports in the last month of weaker hiring, slower manufacturing and a drop in factory orders. Many economists see growth slowing to an annual rate of around 2 percent a year for the rest of the year.

U.S. government bonds, where investors seek safety, rose after the report.

"There are some concerns as we head into the summer," said JJ Kinahan, chief derivatives strategist for TD Ameritrade. "In the last three weeks, we've seen numbers that weren't exactly what you'd love to see."

Corporate earnings this week have also contained worrisome signs. Many companies missed revenue forecasts from financial analysts, even as they reported higher quarterly profits. For example, Goodyear Tire slipped 3.3 percent to $12.51 Friday after revenue fell short of analysts' estimates, hurt by lower global tire sales.

Of the companies that have reported earnings so far, 70 percent have exceeded Wall Street's expectations, compared with a 10-year average of 62 percent, according to S&P Capital IQ. But 43 percent have missed revenue estimates. Just over half of the companies in the S&P 500 have reported quarterly results.

The S&P 500 index dropped 2.92 points, or 0.2 percent, to close at 1,582.24.

The Dow rose 11.75 points, or 0.1 percent, to 14,712.55. The index got a big lift from Chevron. Profit for the U.S. oil company beat expectations of financial analysts in the first quarter, pushing shares up 1.3 percent to $120.04.

Three stocks fell for every two that rose on the New York Stock Exchange.

Both indexes were up for the week and remain slightly below their all-time highs reached April 11. The Dow index rose 1.1 percent this week while the S&P gained 1.7 percent.

The market has been bolstered by the Federal Reserve's easy money policy. The disappointing growth figure for the economy will ensure that the Fed sticks with its stimulus policy, providing support for stocks, said Peter Cardillo, chief market economist at Rockwell Global Capital.

"The economic data that we've been getting points to no early exit for the Fed's stimulus," Cardillo said.

The Nasdaq composite fell 10.72 points to 3,279.26, a decline of 0.3 percent. The index is 2.3 percent higher this week.

The tech-heavy index has lagged the Dow and the S&P 500 this year, but it led the way higher this week, boosted by Microsoft. The software giant, which makes up 5.3 percent of the Nasdaq, recorded its biggest weekly gain since January of last year ”” up 6.8 percent. It reported earnings April 19 that beat Wall Street expectations. The company also began an aggressive push into the computer tablet market.

Apple, the largest stock in the Nasdaq, also had a good week. The stock rose 6.8 percent to $417.20, its best weekly gain since November, despite posting a decline in quarterly profit Tuesday. Apple accounts for 7.6 percent of the Nasdaq composite.

Among other big names investors focused on:

Amazon.com fell 7 percent to $254.81 after the company warned of a possible loss in the current quarter. The online retailer also reported lower income for the first quarter as it continued to spend heavily on rights to digital content.

Expedia fell 10 percent to $58.56 after the online travel company reported a quarterly loss.

Homebuilder D.R. Horton surged 8.7 percent to $26.66 after its income nearly tripled thanks to a continuing recovery the housing market. The results handily beat the forecasts of financial analysts who follow the company.

J.C. Penney jumped 12 percent to $17 after the billionaire financier George Soros disclosed that he had taken a 7.9 percent stake in the struggling company.

In government bond trading, the yield on the 10-year Treasury note slipped to its lowest rate of the year, 1.67 percent, from 1.71 percent the day before. The yield has fallen from 2.06 percent six weeks ago as traders move money into lower-risk investments.

The dollar weakened against the euro.

The European currency bought $1.3029 at the end of day, compared with $1.3002 the day before. The ISE dollar index, which measures the U.S. currency against a group of other world currencies including the Japanese yen and the euro, dropped 0.3 percent, to 82.48.

0422

 

[bigdog]

Source: http://finance.yahoo.com

Technology companies led the Standard & Poor's 500 index to an all-time closing high Monday.

The stock market has recovered all the ground it lost over the previous two weeks, when worries over slower economic growth, falling commodity prices and disappointing quarterly earnings battered financial markets.

The S&P 500 index rose 11.37 points to close at 1,593.61. The 0.7 percent increase nudged the index above its previous closing high of 1,593.36, reached on April 11.

"The market has had a terrific run," said Philip Orlando, chief equity strategist at Federated Investors, noting that the S&P 500 is up 12 percent since the start of 2013. "At the beginning of the year, I thought we were going to 1,660 (for the whole year). We're only about 5 percent from that."

A pair of better economic reports gave investors some encouragement. Wages and spending rose in the U.S. last month, and pending home sales hit their highest level in three years.

The Dow Jones industrial average gained 106.20 to 14,818.75, up 0.7 percent. Microsoft and IBM were among the Dow's best performers, rising more than 2 percent each. IBM alone accounted for a third of the Dow's increase. The index is just 46 points below its own record high of 14,865 reached on April 11.

Tech's popularity Monday was a change from earlier this month, when it lagged the rest of the market. Concerns about weak business spending and slower overseas sales have cast a shadow over big tech firms, said Marty Leclerc, the managing partner of Barrack Yard Advisors, an investment firm in Bryn Mawr, Pa.

Revenue misses from IBM and other big tech companies have highlighted the industry's vulnerability to the world economy. But Leclerc thinks tech companies with steady revenue and plenty of cash look appealing over the long term.

Information technology stocks rose the most of the 10 industry groups in the S&P Monday, up 1.6 percent. It's the only group that remains lower over the past year, down 2 percent, versus the S&P 500's gain of 14 percent.

The Nasdaq composite rose 27.76 points to 3,307.02, an increase of 0.9 percent. Apple, the biggest stock in the index, surged 3 percent to $430.12.

The NYSE DOW closed HIGHER ▲ 106.20 points or ▲ 0.72% Monday, 29 April 2013
Symbol …........Last ......Change.....
Dow_Jones 14,818.75 ▲ 106.20 ▲ 0.72%
Nasdaq___ 3,307.02 ▲ 27.76 ▲ 0.85%
S&P_500__ 1,593.61 ▲ 11.37 ▲ 0.72%
30_Yr_Bond 2.870 ▲ 0.01 ▲ 0.42%

NYSE Volume 3,137,347,500
Nasdaq Volume 1,557,687,250

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,458.02 ▲ 31.60 ▲ 0.49%
DAX_____ 7,873.50 ▲ 58.74 ▲ 0.75%
CAC_40__ 3,868.68 ▲ 58.63 ▲ 1.54%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,108.30 ▲ 25.60 ▲ 0.50%
Shanghai_Comp 2,177.91 ▼ -21.40 ▼ -0.97%
Taiwan_Weight 8,029.74 ▲ 7.68 ▲ 0.10%
Nikkei_225____ 13,884.13 ▼ -41.95 ▼ -0.30%
Hang_Seng____ 22,580.77 ▲ 33.06 ▲ 0.15%
Strait_Times___ 3,361.92 ▲ 13.05 ▲ 0.39%
NZX_50_Index__ 4,580.96 ▲ 32.25 ▲ 0.71%

http://finance.yahoo.com/news/p-500-reaches-high-led-173539156.html

S&P 500 reaches new high, led by tech

Standard & Poor's 500 edges above its previous record high; technology stocks lead the way

By Matthew Craft, AP Business Writer

Technology companies led the Standard & Poor's 500 index to an all-time closing high Monday.

The stock market has recovered all the ground it lost over the previous two weeks, when worries over slower economic growth, falling commodity prices and disappointing quarterly earnings battered financial markets.

The S&P 500 index rose 11.37 points to close at 1,593.61. The 0.7 percent increase nudged the index above its previous closing high of 1,593.36, reached on April 11.

"The market has had a terrific run," said Philip Orlando, chief equity strategist at Federated Investors, noting that the S&P 500 is up 12 percent since the start of 2013. "At the beginning of the year, I thought we were going to 1,660 (for the whole year). We're only about 5 percent from that."

A pair of better economic reports gave investors some encouragement. Wages and spending rose in the U.S. last month, and pending home sales hit their highest level in three years.

The Dow Jones industrial average gained 106.20 to 14,818.75, up 0.7 percent. Microsoft and IBM were among the Dow's best performers, rising more than 2 percent each. IBM alone accounted for a third of the Dow's increase. The index is just 46 points below its own record high of 14,865 reached on April 11.

Tech's popularity Monday was a change from earlier this month, when it lagged the rest of the market. Concerns about weak business spending and slower overseas sales have cast a shadow over big tech firms, said Marty Leclerc, the managing partner of Barrack Yard Advisors, an investment firm in Bryn Mawr, Pa.

Revenue misses from IBM and other big tech companies have highlighted the industry's vulnerability to the world economy. But Leclerc thinks tech companies with steady revenue and plenty of cash look appealing over the long term.

Information technology stocks rose the most of the 10 industry groups in the S&P Monday, up 1.6 percent. It's the only group that remains lower over the past year, down 2 percent, versus the S&P 500's gain of 14 percent.

The Nasdaq composite rose 27.76 points to 3,307.02, an increase of 0.9 percent. Apple, the biggest stock in the index, surged 3 percent to $430.12.

The number of Americans who signed contracts to buy homes reached the highest level since April 2010, according to the National Association of Realtors. Back then, a tax credit for buying houses had lifted sales. In a separate report, the government said Americans' spending and income both edged up last month.

A handful of companies reported earnings on Monday. Eaton Corp.'s quarterly net income beat Wall Street's estimates, helped by its acquisition of Cooper Industries, an electrical equipment supplier. But the manufacturer's revenue fell short. Its stock climbed 3 percent to $60.28.

Eaton's results followed a larger pattern this earnings season. Of the 274 companies that have turned in results, seven of 10 have beaten analysts' estimates for earnings, according to S&P Capital IQ. But when it comes to revenue, six of 10 have missed estimates. That suggests companies are squeezing more profits out of cost cutting, instead of higher sales.

Moody's and Standard & Poor's parent company McGraw-Hill surged following news that the ratings agencies settled lawsuits dating back to the financial crisis that accused them of concealing risky investments. McGraw-Hill gained 3 percent to $53.45, while Moody's jumped 8 percent to $59.69, the biggest gain in the S&P 500.

In the market for government bonds, the yield on the 10-year Treasury note slipped to 1.66 percent, close to its low for the year. That's down from 1.67 percent late Friday.

 

[bigdog]

Source: http://finance.yahoo.com

News that IBM will buy back more stock and raise its dividend helped pull major stock indexes out of a morning slump Tuesday.

IBM and other technology stocks led the Standard & Poor's 500 index up. The broad-market measure ended April with a 1.8 percent gain, the sixth month in a row the index has climbed higher.

Worries about slower economic growth have rattled the stock market this month, but it has consistently bounced back. Brad Sorensen, director of market research at the brokerage Charles Schwab, said that's a result of investors having few alternatives.

"Right now it seems like every pullback in the market is seen as a buying opportunity," Sorensen said. "People may say they're getting nervous, but where else are you going to put money at this point? Into Europe with their political issues? Into Treasurys paying less than 1.7 percent?"

The S&P 500 edged up 3.96 points to close at 1,597.57. The slight gain of 0.3 percent pushed the index to an all-time high for the second day straight.

A report of another record high in European unemployment helped drive money into U.S. government debt, briefly sending the yield on the benchmark 10-year Treasury note to its lowest level of the year, 1.65 percent.

IBM said it will increase its quarterly dividend by a dime, to 95 cents, and buy back up to $5 billion more of its own stock. Earlier this month, the company surprised investors when it reported a drop in quarterly earnings and sales. IBM's stock rose $3.39 to $202.54.

The tech giant's 1.7 percent gain tugged the Dow Jones industrial average up. The Dow fell as much as 84 points in morning trading but ended with a gain of 21.05 points at 14,839.80. That's an increase of 0.1 percent.

The S&P has now climbed for six months in a row. That's the longest stretch of gains since a seven-month run that started in March 2009, when the market hit a financial crisis low, and ended in October 2009.

The Dow and the S&P 500 ended the month with gains of 1.8 percent. It wasn't exactly a smooth ride. The two indexes reached record highs in the second week of April, then took a steep fall in the next. News that China, the world's second-largest economy, slowed unexpectedly pummeled the prices of oil, copper and other commodities. The stock market had its worst day of the year on April 15, when the S&P 500 lost 2.3 percent.

The NYSE DOW closed HIGHER ▲ 21.05 points or ▲ 0.14% Tuesday, 30 April 2013
Symbol …........Last ......Change.....
Dow_Jones 14,839.80 ▲ 21.05 ▲ 0.14%
Nasdaq___ 3,328.79 ▲ 21.77 ▲ 0.66%
S&P_500__ 1,597.57 ▲ 3.96 ▲ 0.25%
30_Yr_Bond 2.884 ▲ 0.01 ▲ 0.42%

NYSE Volume 4,011,886,250
Nasdaq Volume 1,947,935,750

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,430.12 ▼ -27.90 ▼ -0.43%
DAX_____ 7,913.71 ▲ 40.21 ▲ 0.51%
CAC_40__ 3,856.75 ▼ -11.93 ▼ -0.31%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,168.60 ▲ 60.30 ▲ 1.18%
Shanghai_Comp 2,177.91 ▼ -21.40 ▼ -0.97%
Taiwan_Weight 8,093.66 ▲ 63.92 ▲ 0.80%
Nikkei_225____ 13,860.86 ▼ -23.27 ▼ -0.17%
Hang_Seng____ 22,737.01 ▲ 156.24 ▲ 0.69%
Strait_Times___ 3,368.18 ▲ 6.26 ▲ 0.19%
NZX_50_Index__ 4,614.37 ▲ 33.41 ▲ 0.73%

http://finance.yahoo.com/news/ibm-pulls-stock-market-morning-211424041.html

IBM pulls the stock market out of a morning slump

IBM pulls stock market out of morning slump; S&P 500 closes higher for sixth month straight

By Matthew Craft, AP Business Writer

News that IBM will buy back more stock and raise its dividend helped pull major stock indexes out of a morning slump Tuesday.

IBM and other technology stocks led the Standard & Poor's 500 index up. The broad-market measure ended April with a 1.8 percent gain, the sixth month in a row the index has climbed higher.

Worries about slower economic growth have rattled the stock market this month, but it has consistently bounced back. Brad Sorensen, director of market research at the brokerage Charles Schwab, said that's a result of investors having few alternatives.

"Right now it seems like every pullback in the market is seen as a buying opportunity," Sorensen said. "People may say they're getting nervous, but where else are you going to put money at this point? Into Europe with their political issues? Into Treasurys paying less than 1.7 percent?"

The S&P 500 edged up 3.96 points to close at 1,597.57. The slight gain of 0.3 percent pushed the index to an all-time high for the second day straight.

A report of another record high in European unemployment helped drive money into U.S. government debt, briefly sending the yield on the benchmark 10-year Treasury note to its lowest level of the year, 1.65 percent.

IBM said it will increase its quarterly dividend by a dime, to 95 cents, and buy back up to $5 billion more of its own stock. Earlier this month, the company surprised investors when it reported a drop in quarterly earnings and sales. IBM's stock rose $3.39 to $202.54.

The tech giant's 1.7 percent gain tugged the Dow Jones industrial average up. The Dow fell as much as 84 points in morning trading but ended with a gain of 21.05 points at 14,839.80. That's an increase of 0.1 percent.

The S&P has now climbed for six months in a row. That's the longest stretch of gains since a seven-month run that started in March 2009, when the market hit a financial crisis low, and ended in October 2009.

This earnings season has delivered investors a mixed bag of news. More than half of the companies in the S&P 500 have turned in results, and seven of 10 have beaten analysts' estimates for earnings, according to S&P Capital IQ. Nearly as many, however, have come up short on revenue: Six of 10 have missed analysts' revenue targets. That suggests companies are getting more of their profits from laying off staff and other cost-cutting efforts instead of from higher sales.

The Dow and the S&P 500 ended the month with gains of 1.8 percent. It wasn't exactly a smooth ride. The two indexes reached record highs in the second week of April, then took a steep fall in the next. News that China, the world's second-largest economy, slowed unexpectedly pummeled the prices of oil, copper and other commodities. The stock market had its worst day of the year on April 15, when the S&P 500 lost 2.3 percent.

In other trading, the Nasdaq composite index rose 21.77 points to 3,328.79, up 0.7 percent. The dollar fell against the yen and the euro, and the price of crude oil fell $1 to $93.46 a barrel. Gold edged up $4.70 to $1,472.10 an ounce.

The yield on the 10-year Treasury note traded at 1.67 percent late Tuesday, the same as the day before. In response to slower economic growth, bond traders from around the world have been buying Treasurys this month, driving yields down. The 10-year yield started April around 1.85 percent.

Among other stocks making big moves:

”” Pfizer dropped 4 percent after the drug maker's results fell short of what analysts had expected. Falling sales of Lipitor, its cholesterol drug, crimped revenue. The world's second-largest drug maker also cut its profit forecast for the rest of the year. Pfizer lost $1.36 to $29.07

”” Pitney Bowes sank 16 percent after the maker of mailing equipment and software cut its dividend in half and posted a 58 percent drop in net income. Pitney Bowes sank $2.53 to $13.67.

”” Avon Products' quarterly loss wasn't as deep as analysts had expected. The direct-seller of cosmetics has been cutting staff and scaling back operations in an effort to turn around its business. Avon's stock rose 92 cents to $23.16, a gain of 4 percent.

 

[bigdog]

Source: http://finance.yahoo.com

Signs of a slowing economy dragged down the stock market Wednesday. Even the prospect of continued stimulus from the Federal Reserve didn't help.

Major market indexes fell by 0.9 percent, their worst decline in two weeks. Small-company stocks fell even more, 2.5 percent, as investors shunned risk. The yield on the benchmark U.S. government bond fell to its lowest of the year as investors sought safety.

Stocks opened lower and kept sagging throughout the day, hurt by reports of a slowdown in hiring and manufacturing last month. Discouraging earnings news from major U.S. companies also dragged the market lower.

"Investors are going to be rattled by these numbers," said Colleen Supran, a principal at San Francisco based-Bingham, Osborn & Scarborough. She expects stock market swings to increase after the early gains of the year.

The Dow Jones industrial average closed down 138.85 points to 14,700 points. Merck, the giant drug company, had one of the biggest falls in the Dow after reporting earnings that disappointed investors. The Dow had risen for four days straight.

The Standard & Poor's 500 index, a broader market measure, dropped 14.87 to 1,582.70.

The stock market was down even after the Federal Reserve stood by its easy-money policies after a two-day policy meeting.

The Fed is maintaining its $85-billion-a-month bond-buying program, begun in 2008, which aims to keep interest rates low to encourage borrowing, spending and investing.

The start of the new month will also remind investors of the investing adage "Sell in May and go away."

The S&P 500 hasn't advanced in May since 2009. In recent years, stock gains at the beginning of the year have been followed by late spring-early summer swoons. In 2012, stocks plunged in May on growing concern that Spain and Italy would be sucked deeper into Europe's debt crisis. The year before, wrangling about the U.S. debt ceiling rattled markets.

Since 1970, the S&P 500 has generated an annualized return of 4.1 percent from May through October, well below the 17.2 percent annualized return from November through April.

The NYSE DOW closed LOWER ▼ -138.85 points or ▼ -0.94% Wednesday, 1 May 2013
Symbol …........Last ......Change.....
Dow_Jones 14,700.95 ▼ -138.85 ▼ -0.94%
Nasdaq___ 3,299.13 ▼ -29.66 ▼ -0.89%
S&P_500__ 1,582.70 ▼ -14.87 ▼ -0.93%
30_Yr_Bond 2.840 ▼ -0.04 ▼ -1.53%

NYSE Volume 3,959,038,750
Nasdaq Volume 1,846,665,620

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,451.29 ▲ 21.17 ▲ 0.33% closed for holiday
DAX_____ 7,913.71 ▲ 40.21 ▲ 0.51% closed for holiday
CAC_40__ 3,856.75 ▼ -11.93 ▼ -0.31% closed for holiday

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,143.90 ▼ -24.70 ▼ -0.48%
Shanghai_Comp 2,177.91 ▼ -21.40 ▼ -0.97%
Taiwan_Weight 8,093.66 ▲ 63.92 ▲ 0.80%
Nikkei_225____ 13,799.35 ▼ -61.51 ▼ -0.44%
Hang_Seng____ 22,737.01 ▲ 156.24 ▲ 0.69%
Strait_Times___ 3,368.18 ▲ 6.26 ▲ 0.19%
NZX_50_Index__ 4,603.02 ▼ -11.35 ▼ -0.25%

http://finance.yahoo.com/news/stocks-sink-economic-worries-dow-213420838.html

Stocks sink on economic worries; Dow off 138

Signs of slowing economy yank stock market lower; Dow off 138

By Steve Rothwell, AP Markets Writer

Signs of a slowing economy dragged down the stock market Wednesday. Even the prospect of continued stimulus from the Federal Reserve didn't help.

Major market indexes fell by 0.9 percent, their worst decline in two weeks. Small-company stocks fell even more, 2.5 percent, as investors shunned risk. The yield on the benchmark U.S. government bond fell to its lowest of the year as investors sought safety.

Stocks opened lower and kept sagging throughout the day, hurt by reports of a slowdown in hiring and manufacturing last month. Discouraging earnings news from major U.S. companies also dragged the market lower.

"Investors are going to be rattled by these numbers," said Colleen Supran, a principal at San Francisco based-Bingham, Osborn & Scarborough. She expects stock market swings to increase after the early gains of the year.

The Dow Jones industrial average closed down 138.85 points to 14,700 points. Merck, the giant drug company, had one of the biggest falls in the Dow after reporting earnings that disappointed investors. The Dow had risen for four days straight.

The Standard & Poor's 500 index, a broader market measure, dropped 14.87 to 1,582.70.

The stock market was down even after the Federal Reserve stood by its easy-money policies after a two-day policy meeting.

The Fed is maintaining its $85-billion-a-month bond-buying program, begun in 2008, which aims to keep interest rates low to encourage borrowing, spending and investing.

The Fed also raised concerns about the economy, noting that tax increases and spending cuts that kicked in this year are slowing growth. The central bank made clear that it could increase or decrease its bond purchases depending on the performance of the job market and inflation.

John Lynch, chief regional investment officer at Wells Fargo said: "If you get a market that is purely built on free money, as opposed to solid fundamentals, investors should take pause."

The Fed's program has been one of the supporting factors behind the stock market's rally this year. The S&P 500 reached record highs in April and has risen every month in 2013, gaining 11 percent so far this year.

The market has stumbled in recent weeks after several reports suggesting the economy might be weakening.

Employers added only 88,000 jobs in March, far fewer than the 220,000 averaged in the previous four months, and the economy grew at an annual rate of 2.5 percent in the January-March quarter ”” a decent rate but one that's expected to weaken in coming months because of higher Social Security taxes and the federal spending cuts.

On Wednesday, a report showed that U.S. factory activity in April dropped to its slowest pace this year as manufacturers pulled back on hiring and cut stockpiles. Companies added just 119,000 jobs in April, the fewest in seven months, said payroll processor ADP.

Company earnings also drew investors' attention.

Drugmaker Merck & Co. fell $1.31, or 2.8 percent, to $45.69 after cutting its 2013 profit forecast. The company said competition from generic versions of its drugs and unfavorable exchange rates hurt its profit.

MasterCard eased $13.11, or 2.4 percent, to $539.80 after the payments processing company reported that revenue missed the expectations of financial analysts who cover the company.

About two-thirds of companies in the S&P 500 index have announced earnings for the first quarter.

The earnings are at record levels, and about seven of 10 companies have topped the forecasts of Wall Street analysts, according to S&P Capital IQ. Revenues have disappointed, though, with about six of 10 companies falling short. That suggests companies are raising profits through cutting costs rather than boosting revenues.

Earnings at S&P 500 companies are expected to increase 4.1 percent in the first quarter versus the same period a year earlier. Financial analysts expect that growth to accelerate throughout the year, reaching 12 percent in the final quarter, according to S&P Capital IQ.

But with much of the profit gain coming from cost-cutting rather than higher sales, some market watchers are warning that the market's four-year surge could be coming to an end.

Savita Subramanian, head of U.S. equity and quantitative strategy at Bank of America Merrill Lynch, said companies need to show revenue growth. "If we don't see that, then the equity market is toast."

Among other stocks making big moves:

Home security provider ADT fell $3, or 6.9 percent, to $40.64 after its profit didn't live up to analysts' hopes.

T-Mobile USA Inc., the combination of T-Mobile USA and MetroPCS, rose 96 cents, or 6.2 percent, to $16.52 on its first day of trading. Goldman Sachs analysts opened their coverage of the stock with a "buy" recommendation and a 12-month price target of $22, predicting that the company will benefit from further consolidation in the industry.

The Nasdaq composite index dropped 28 points, or 0.8 percent, to 3,300. The Russell 2000 index, a gauge of small-company stocks, fell 23.25 points to 924.21. Small stocks are generally seen as riskier investments because the companies are less established, have fewer resources and are more prone to failure.

In government bond trading, demand for the 10-year Treasury note rose, pushing down its yield to 1.63 percent from 1.67 percent. The yield is at its lowest of the year.

Markets in Europe were closed for the May Day holiday.

The start of the new month will also remind investors of the investing adage "Sell in May and go away."

The S&P 500 hasn't advanced in May since 2009. In recent years, stock gains at the beginning of the year have been followed by late spring-early summer swoons. In 2012, stocks plunged in May on growing concern that Spain and Italy would be sucked deeper into Europe's debt crisis. The year before, wrangling about the U.S. debt ceiling rattled markets.

Since 1970, the S&P 500 has generated an annualized return of 4.1 percent from May through October, well below the 17.2 percent annualized return from November through April.

 

[bigdog]

Source: http://finance.yahoo.com

For the year, the Dow is still up 13 higher, the S&P 500 is up 12 percent.

The stock market is all about jobs this week.

Stocks rose Thursday after unemployment claims fell to a five-year low. A day earlier it was just the opposite; the market slumped after companies added just 119,000 jobs in April, the fewest in seven months, according to payroll processor ADP. And stocks could swing again Friday when the government's closely watched monthly employment report is released.

"Everyone is looking to the April jobs numbers," said Tyler Vernon, chief investment officer at Biltmore Capital. "People are more confident that it was an anomaly last month and are looking for some bigger numbers."

Economists forecast that the employers added 160,000 jobs last month. Stocks slumped April 5 when the government said 88,000 jobs were added, less than half the number forecast.

Signs of increased hiring have supported this year's surge in stocks and pushed the market to record highs. The run-up has started to falter in recent weeks on concerns that the global economy is slowing. More jobs should boost consumer spending, a key driver of U.S. growth.

The Dow Jones industrial average rose 130.63 points to 14,831.58 on Thursday, an increase of 0.9 percent. The index lost 138 points a day earlier. The Standard & Poor's 500 index climbed 14.89 points, or 0.9 percent, to 1,597.59, also recovering almost all of its losses from a day earlier.

Applications for unemployment benefits fell last week to 324,000, the fewest since January 2008, the Labor department reported before the market opened.

The outlook for global growth also got a boost after the European Central bank cuts its benchmark interest rate a quarter of a percentage point to 0.5 percent

The NYSE DOW closed HIGHER ▲ 130.63 points or ▲ 0.89% Thursday, 2 May 2013
Symbol …........Last ......Change.....
Dow_Jones 14,831.58 ▲ 130.63 ▲ 0.89%
Nasdaq___ 3,340.62 ▲ 41.49 ▲ 1.26%
S&P_500__ 1,597.59 ▲ 14.89 ▲ 0.94%
30_Yr_Bond 2.830 ▼ -0.01 ▼ -0.42%

NYSE Volume 3,681,886,000
Nasdaq Volume 1,719,119,250

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,460.71 ▲ 9.42 ▲ 0.15%
DAX_____ 7,961.71 ▲ 48.00 ▲ 0.61%
CAC_40__ 3,858.76 ▲ 2.01 ▲ 0.05%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,104.10 ▼ -39.80 ▼ -0.77%
Shanghai_Comp 2,174.12 ▼ -3.79 ▼ -0.17%
Taiwan_Weight 8,128.51 ▲ 34.85 ▲ 0.43%
Nikkei_225____ 13,694.04 ▼ -105.31 ▼ -0.76%
Hang_Seng____ 22,668.30 ▼ -68.71 ▼ -0.30%
Strait_Times___ 3,400.33 ▲ 32.15 ▲ 0.95%
NZX_50_Index__ 4,574.46 ▼ -28.55 ▼ -0.62%

http://finance.yahoo.com/news/stock...M2MTYyYTM4BHBzdGNhdAMEcHQDc2VjdGlvbnM-;_ylv=3

Stocks gain after unemployment claims fall

Drop in unemployment claims boost stock market ahead of government's monthly jobs report

By Steve Rothwell, AP Markets

The stock market is all about jobs this week.

Stocks rose Thursday after unemployment claims fell to a five-year low. A day earlier it was just the opposite; the market slumped after companies added just 119,000 jobs in April, the fewest in seven months, according to payroll processor ADP. And stocks could swing again Friday when the government's closely watched monthly employment report is released.

"Everyone is looking to the April jobs numbers," said Tyler Vernon, chief investment officer at Biltmore Capital. "People are more confident that it was an anomaly last month and are looking for some bigger numbers."

Economists forecast that the employers added 160,000 jobs last month. Stocks slumped April 5 when the government said 88,000 jobs were added, less than half the number forecast.

Signs of increased hiring have supported this year's surge in stocks and pushed the market to record highs. The run-up has started to falter in recent weeks on concerns that the global economy is slowing. More jobs should boost consumer spending, a key driver of U.S. growth.

The Dow Jones industrial average rose 130.63 points to 14,831.58 on Thursday, an increase of 0.9 percent. The index lost 138 points a day earlier. The Standard & Poor's 500 index climbed 14.89 points, or 0.9 percent, to 1,597.59, also recovering almost all of its losses from a day earlier.

Applications for unemployment benefits fell last week to 324,000, the fewest since January 2008, the Labor department reported before the market opened.

The outlook for global growth also got a boost after the European Central bank cuts its benchmark interest rate a quarter of a percentage point to 0.5 percent.

The euro fell a penny against the dollar to $1.3060. The price of gold rose $21.40, or 1.5 percent, to $1,467.60 an ounce. The price of crude oil rose $2.96, or 3.3 percent, to $93.99 a barrel.

Higher profits from CBS, Facebook and other companies also lifted stocks Thursday.

Broadcaster CBS reported a 22 percent jump in first-quarter earnings as big events like the Super Bowl pushed advertising revenue higher. Its stock rose 95 cents, or 2 percent, to $47.35.

GM rose 98 cents, or 3.2 percent, to $31.16 after it lost less money in Europe and beat Wall Street's expectations for first-quarter profit. The automaker's earnings of 67 cents a share beat the 54 cents predicted by Wall Street analysts who follow the company.

Facebook gained $1.54, or 5.6 percent, to $28.98 after its first-quarter revenue rose 38 percent, surpassing Wall Street expectations. Nearly a third of the company's advertising revenue came from mobile devices, a greater share than analysts had expected.

The social networking site bucked the trend for companies reporting in the first quarter. Most are exceeding analysts' expectations on earnings, but falling short on revenue.

"If we continue to see several more quarters like this, investors would start to get nervous," said Andrew Milligan, head of global strategy at Standard Life Investments. He says that growth needs to pick up in the major export markets, like China and Europe, for U.S. companies to maintain earnings growth.

Facebook's earnings also boosted information technology stocks. The industry rose 1.4 percent, the most of the 10 groups in the Standard & Poor's 500 index.

Technology stocks have surged in the past two weeks, after lagging the S&P 500 in the first three months of the year. Their 5.7 percent increase in 2013 still trails the 18.5 percent gain for health care companies, the best performing industry in the index.

Seagate Technology was another technology company that gained Thursday. The company, which makes hard drives, jumped $2.69, or 7.3 percent, to $39.63, even after the company reported a slump in sales and earnings. The decline wasn't as bad as analysts had expected, though, and Seagate handily beat estimates for both sales and revenue.

Earnings at companies in the S&P 500 are at record levels. They are forecast to increase by 4.4 percent in the first quarter and keep rising throughout the year, according to S&P Capital IQ data.

Gains for technology companies helped push the technology-heavy Nasdaq composite higher. The index advanced 41.49 points, or 1.3 percent, to 3,340.62.

Stocks are rebounding after a slump Wednesday, when reports of slower manufacturing growth and hiring dragged down markets. The Dow had its worst drop in two weeks. The market was down even after the Federal Reserve Bank reaffirmed its plan to continue its stimulus program, which is now five years old.

For the year, the Dow is still up 13 higher, the S&P 500 is up 12 percent.

The gains suggest that the market is getting ahead of itself, given a lackluster outlook for the economy, said Uri Landesman of Platinum Partners. He thinks the stock market is set for a pullback.

In government bond trading, the yield on the 10-year note was unchanged at 1.63 percent, matching its low for the year. Bonds have gained as inflation remains tame

 

[bigdog]

Source: http://finance.yahoo.com

Optimism about the economy swept through the stock market Friday, pushing two widely watched indexes past major milestones.

After weeks of mixed signals about manufacturing and earnings, a surprisingly strong U.S. jobs report gave investors confidence that the economy isn't about to falter. The market jumped from the opening bell. Traders donned party hats, and a wave of buying helped the Standard and Poor's 500 index crack the 1,600 mark for the first time. The Dow Jones industrial average broke through 15,000.

"There's euphoria today," said Stephen Carl, the head equity trader at The Williams Capital Group. "That's what you'd have to call it."

On the floor of the New York Stock Exchange, brokers sported baseball caps emblazoned with "Dow 15,000."

Jobs are crucial to keeping the stock market climbing. Big U.S. companies are making record profits, but much of that has come from cutting costs, not boosting sales. More jobs, and more consumer spending, would help.

U.S. employers added 165,000 workers last month and many more in February and March than previously estimated. The unemployment rate fell to the lowest level in four years, 7.5 percent.

The Dow rose 142.38 points to close at a record 14,973.96, up 1 percent. The S&P 500 index climbed 16.83 points, or 1 percent, to 1,614.42, also a record.

The Nasdaq composite index rose 38.01 points to 3,378.63, an increase of 1.1 percent. Still, it remains well below its dot-com peak.

"We're breaking through psychological barriers and that will continue to bring investors off the sidelines," said Darrell Cronk, regional chief investment officer for Wells Fargo Private Bank. He called the jobs news "wonderful."

Cronk, like many others on Wall Street, has been watching individual investors for signs they may finally have shed their fear of stocks. A surge in buying from them would help push stocks higher. But individuals pulled more money out of stock mutual funds than they put in late last month, a reversal from the trend earlier this year, according to the Investment Company Institute.

They've had reasons to pull back lately.

First came news of falling retail sales in March, then a series of weak manufacturing reports and signs of an economic slowdown in China.

Other reports, including two out Friday, have pointed to a slowdown. Factory orders sank in March and a gauge of growth in the service sector fell short of estimates.

First-quarter earnings have been mixed, too. Though they've come in higher than expected, many companies have reported little or no revenue growth, which has spooked investors.

Investors have also been concerned that higher Social Security payroll taxes and sweeping government spending cuts that took effect earlier this year will slow U.S. economic growth, and pinch corporate profits.

Friday's jobs numbers suggested the private sector might be strong enough to overcome those obstacles.

The NYSE DOW closed HIGHER ▲ 142.38 points or ▲ 0.96% Friday, 3 May 2013
Symbol …........Last ......Change.....
Dow_Jones 14,973.96 ▲ 142.38 ▲ 0.96%
Nasdaq___ 3,378.63 ▲ 38.01 ▲ 1.14%
S&P_500__ 1,614.42 ▲ 16.83 ▲ 1.05%
30_Yr_Bond 2.970 ▲ 0.14 ▲ 4.88%

NYSE Volume 3,940,418,750
Nasdaq Volume 1,704,322,250

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,521.46 ▲ 60.75 ▲ 0.94%
DAX_____ 8,122.29 ▲ 160.58 ▲ 2.02%
CAC_40__ 3,912.95 ▲ 54.19 ▲ 1.40%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,105.40 ▲ 1.30 ▲ 0.03%
Shanghai_Comp 2,205.50 ▲ 31.37 ▲ 1.44%
Taiwan_Weight 8,135.03 ▲ 6.52 ▲ 0.08%
Nikkei_225____ 13,694.04 ▼ -105.31 ▼ -0.76%
Hang_Seng____ 22,689.96 ▲ 21.66 ▲ 0.10%
Strait_Times___ 3,369.90 ▼ -32.49 ▼ -0.95%
NZX_50_Index__ 4,544.32 ▼ -30.14 ▼ -0.66%

http://finance.yahoo.com/news/stocks-surge-highs-hiring-climbs-171141504.html

Stocks surge to new highs after hiring climbs

Stocks surge on Wall Street as hiring picks up; Dow crosses 15,000, S&P breaches 1,600

By Bernard Condon, AP Business Writer

Optimism about the economy swept through the stock market Friday, pushing two widely watched indexes past major milestones.

After weeks of mixed signals about manufacturing and earnings, a surprisingly strong U.S. jobs report gave investors confidence that the economy isn't about to falter. The market jumped from the opening bell. Traders donned party hats, and a wave of buying helped the Standard and Poor's 500 index crack the 1,600 mark for the first time. The Dow Jones industrial average broke through 15,000.

"There's euphoria today," said Stephen Carl, the head equity trader at The Williams Capital Group. "That's what you'd have to call it."

On the floor of the New York Stock Exchange, brokers sported baseball caps emblazoned with "Dow 15,000."

Jobs are crucial to keeping the stock market climbing. Big U.S. companies are making record profits, but much of that has come from cutting costs, not boosting sales. More jobs, and more consumer spending, would help.

U.S. employers added 165,000 workers last month and many more in February and March than previously estimated. The unemployment rate fell to the lowest level in four years, 7.5 percent.

The Dow rose 142.38 points to close at a record 14,973.96, up 1 percent. The S&P 500 index climbed 16.83 points, or 1 percent, to 1,614.42, also a record.

"We're breaking through psychological barriers and that will continue to bring investors off the sidelines," said Darrell Cronk, regional chief investment officer for Wells Fargo Private Bank. He called the jobs news "wonderful."

Cronk, like many others on Wall Street, has been watching individual investors for signs they may finally have shed their fear of stocks. A surge in buying from them would help push stocks higher. But individuals pulled more money out of stock mutual funds than they put in late last month, a reversal from the trend earlier this year, according to the Investment Company Institute.

They've had reasons to pull back lately.

First came news of falling retail sales in March, then a series of weak manufacturing reports and signs of an economic slowdown in China.

Other reports, including two out Friday, have pointed to a slowdown. Factory orders sank in March and a gauge of growth in the service sector fell short of estimates.

First-quarter earnings have been mixed, too. Though they've come in higher than expected, many companies have reported little or no revenue growth, which has spooked investors.

Investors have also been concerned that higher Social Security payroll taxes and sweeping government spending cuts that took effect earlier this year will slow U.S. economic growth, and pinch corporate profits.

Friday's jobs numbers suggested the private sector might be strong enough to overcome those obstacles.

In its report, the government revised its previous estimate of job gains up to 332,000 in February and 138,000 in March. The economy has created an average of 208,000 jobs a month from November through April ”” above the 138,000 added in the previous six months.

"Jobs are key," said Randall Warren, chief investment officer of Warren Financial Service in Exton, Penn. "Everyone is worried about things like fiscal policy, the government spending money it doesn't have. If you want to turn that situation around, you have to get people off their couches."

On Friday, on market's gains were broad. Eight of the 10 industry groups in the S&P 500 index rose. Nearly three stocks rose for every one that fell on the NYSE.

Companies that stand to benefit most from an upturn in the economy led the market. Those that make basic materials and produce oil and gas rose the most in the S&P 500 index.

U.S. Steel rose $1.08, or 6.3 percent, to $18.14. General Electric rose 25 cents, or 1.1 percent, to $22.57. Dow Chemical rose 84 cents, or 2.5 percent, to $33.96.

Utilities, consumer-staple companies and other safe-play stocks trailed the market as investors took on more risk.

The yield on the benchmark 10-year Treasury note jumped from its lowest level of the year, as traders moved money out of the safety of government bonds. The yield rose to 1.74 percent from 1.63 percent late Thursday.

Small-company stocks are more risky than bigger companies but can also offer investors greater returns. On Friday, they outpaced the broader market. The Russell 2000 jumped 14.57 points, or 1.6 percent, to 954.42, a new all-time high.

The Nasdaq composite index rose 38.01 points to 3,378.63, an increase of 1.1 percent. Still, it remains well below its dot-com peak.

Stock markets overseas also rose on the U.S. jobs report. The main indexes in France, Germany, Spain and Brazil climbed 1 percent or better.

The S&P 500 is up 13 percent from the start of the year. The Dow is up 14 percent.

Some investors were skeptical.

Tim Biggam, chief market strategist at the brokerage TradingBlock in Chicago, said he thought the market was being driven higher by people hoping that the Federal Reserve's efforts to help the economy will keep working. Biggam said they're ignoring troublesome trends.

"This may be the time you want to avoid getting in the market in my opinion, rather than jump in," Biggam said.

Among other stocks making big moves on Friday:

”” Gilead Sciences jumped $2.97 to $55.15, a gain of 6 percent, one of the biggest gains in the S&P 500 index. The maker of HIV drugs reported a 63 percent surge in income in the first quarter thanks to lower costs and increased sales.

”” Kraft Foods rose $2.58 to $53.11, an increase of 5 percent. The food maker reported first-quarter income and revenue that beat the forecasts of Wall Street analysts as it increased sales and cut costs following its split from its global snack business.

”” LinkedIn, the professional networking social media site, sank 13 percent, losing $26.08, to $175.59. The company issued a revenue forecast for the rest of the year that was well below what financial analysts were expecting. LinkedIn went public in May 2011 at $45 a share.

0839

 

[bigdog]

Source: http://finance.yahoo.com

Bank of America led a rally in big-bank stocks in mostly quiet trading on Monday. Stock indexes ended little changed following a record-setting run last week.

News that Bank of America and MBIA, a bond-insurance company, had reached a settlement over a long-running dispute propelled both companies' stocks up. BofA will pay $1.7 billion to MBIA and extend the troubled company a credit line.

MBIA soared 45 percent, or $4.46, to $14.29. Bank of America gained 5 percent, or 64 cents, to $12.88, making it the leading company in the Dow Jones industrial average.

The Dow slipped 5.07 points to close at 14,968.89. The Standard & Poor's 500 index crept up 3.08 points to 1,617.50, a gain of 0.2 percent.

Six of the 10 industry groups in the S&P 500 rose, with financial companies in the lead.

No major economic reports came out Monday, but a handful of companies reported their quarterly results. Tyson Foods, the nation's largest meat-processing company, fell 3 percent, the biggest drop in the Standard & Poor's 500 index, after saying its net income sank as costs for chicken feed rose. Tyson's stock lost 83 cents to $24.10.

Companies have reported solid quarterly profits so far this earnings season. Seven of every 10 big companies in the S&P 500 have beat the earnings estimates of financial analysts, according to S&P Capital IQ. But revenue has looked weak: six of 10 have missed revenue forecasts.

"Yet again, corporations continue to do more with less," said Dan Veru, the chief investment officer of Palisade Capital Management.

Veru said the trend is likely to lead to more mergers in the coming months, as cash-rich companies look for ways to raise their revenue. A wave of mergers could shift the stock market's rally into a higher gear, he said.

The stock market cleared new milestones Friday after the government reported that employers added more workers to their payrolls in recent months. The unemployment rate fell to 7.5 percent, the lowest level in four years.

That news sent the Dow through the 15,000 mark for the first time, while the S&P 500 closed above 1,600, another first.

In Monday trading, the Nasdaq composite rose 14.34 points to 3,392.97, an increase of 0.4 percent. The price of crude oil edged up 55 cents to $96.16 and gold rose $3.80 to $1,468.10 an ounce.

The NYSE DOW closed LOWER ▼ -5.07 points or ▼ -0.03% Monday, 6 May 2013
Symbol …........Last ......Change.....
Dow_Jones 14,968.89 ▼ -5.07 ▼ -0.03%
Nasdaq___ 3,392.97 ▲ 14.34 ▲ 0.42%
S&P_500__ 1,617.50 ▲ 3.08 ▲ 0.19%
30_Yr_Bond 2.990 ▲ 0.02 ▲ 0.67%

NYSE Volume 3,290,219,500
Nasdaq Volume 1,479,518,000

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,521.46 ▲ 60.75 ▲ 0.94%
DAX_____ 8,112.08 ▼ -10.21 ▼ -0.13%
CAC_40__ 3,907.04 ▼ -5.91 ▼ -0.15%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,133.80 ▲ 28.40 ▲ 0.56%
Shanghai_Comp 2,231.17 ▲ 25.67 ▲ 1.16%
Taiwan_Weight 8,169.05 ▲ 34.02 ▲ 0.42%
Nikkei_225____ 13,694.04 ▼ -105.31 ▼ -0.76%
Hang_Seng____ 22,915.09 ▲ 225.13 ▲ 0.99%
Strait_Times___ 3,382.29 ▲ 12.39 ▲ 0.37%
NZX_50_Index__ 4,596.23 ▲ 51.91 ▲ 1.14%

http://finance.yahoo.com/news/bofa-leads-banks-p-500-203350705.html

BofA leads banks up; S&P 500 index ekes out gain

Bank of America and MBIA surge; indexes barely budge following a record-setting week

By Matthew Craft, AP Business Writer

Bank of America led a rally in big-bank stocks in mostly quiet trading on Monday. Stock indexes ended little changed following a record-setting run last week.

News that Bank of America and MBIA, a bond-insurance company, had reached a settlement over a long-running dispute propelled both companies' stocks up. BofA will pay $1.7 billion to MBIA and extend the troubled company a credit line.

MBIA soared 45 percent, or $4.46, to $14.29. Bank of America gained 5 percent, or 64 cents, to $12.88, making it the leading company in the Dow Jones industrial average.

The Dow slipped 5.07 points to close at 14,968.89. The Standard & Poor's 500 index crept up 3.08 points to 1,617.50, a gain of 0.2 percent.

Six of the 10 industry groups in the S&P 500 rose, with financial companies in the lead.

No major economic reports came out Monday, but a handful of companies reported their quarterly results. Tyson Foods, the nation's largest meat-processing company, fell 3 percent, the biggest drop in the Standard & Poor's 500 index, after saying its net income sank as costs for chicken feed rose. Tyson's stock lost 83 cents to $24.10.

Companies have reported solid quarterly profits so far this earnings season. Seven of every 10 big companies in the S&P 500 have beat the earnings estimates of financial analysts, according to S&P Capital IQ. But revenue has looked weak: six of 10 have missed revenue forecasts.

"Yet again, corporations continue to do more with less," said Dan Veru, the chief investment officer of Palisade Capital Management.

Veru said the trend is likely to lead to more mergers in the coming months, as cash-rich companies look for ways to raise their revenue. A wave of mergers could shift the stock market's rally into a higher gear, he said.

The stock market cleared new milestones Friday after the government reported that employers added more workers to their payrolls in recent months. The unemployment rate fell to 7.5 percent, the lowest level in four years.

That news sent the Dow through the 15,000 mark for the first time, while the S&P 500 closed above 1,600, another first.

In Monday trading, the Nasdaq composite rose 14.34 points to 3,392.97, an increase of 0.4 percent. The price of crude oil edged up 55 cents to $96.16 and gold rose $3.80 to $1,468.10 an ounce.

In the market for U.S. government bonds, the yield on the 10-year note inched up to 1.76 percent from 1.74 percent late Friday.

Berkshire Hathaway rose 1.3 percent, or $1.36, to $110. Warren Buffett's company turned in earnings late Friday that trumped analysts' estimates for both profit and revenue. Berkshire reported strong gains from its insurance units, Geico and General Reinsurance, its BNSF Railway company and other investments.

In a round of television interviews on Monday, Buffett said that the stock market still appears reasonably priced even though major indexes are at all-time highs. By contrast, bonds are "a terrible investment right now," he said. Buffett explained that with interest rates at historic lows, a buyer of long-term bonds is bound to take a loss when rates eventually rise.

Among other stocks in the news:

”” Sysco dropped 1 percent, or 33 cents, to $34.33, after the food distributor posted net income and revenue that fell short of analysts' estimates. Sysco's CEO said the company's sales were held back by bad weather that made people less willing to spend on meals away from home. Sysco's

”” Monster Beverage sank 2 percent after San Francisco's city attorney sued the company for allegedly marketing its caffeinated drinks to children. Last week, Monster Beverage filed a suit against the same city attorney over demands that the energy drink maker reduce the caffeine in its drinks and change its marketing practices. Monster lost $1.26 to $56.18.

 

[bigdog]

Source: http://finance.yahoo.com

Just two months after recovering the last of its losses from the financial crisis, the Dow Jones industrial average charged higher Tuesday, closing above 15,000 for the first time.

It was another milestone in the market's epic ascent of 2013. Good economic reports, strong corporate earnings and fresh support from central banks have eased investors' concerns about another economic slowdown. Many had been on the lookout for signs that a spring swoon would derail the rally, as happened in each of the past three years.

Instead, Wall Street has climbed almost 15 percent since Jan. 1.

"The thing that's been driving stocks is rising confidence," said James Paulsen, chief investment strategist at Wells Capital Management. "Economic growth, job creation and the housing market have been better than expected."

News of stronger hiring over the past three months briefly propelled the Dow over 15,000 on Friday, but it ended the week below that mark.

Wall Street followed Japanese and European markets higher after they responded to good news about central bank stimulus and the German economy. In the U.S., the market got a lift from higher quarterly profits at satellite TV company DirecTV and watchmaker Fossil.

The Dow closed at 15,056.20, up 87.31 points, or 0.6 percent. The Standard & Poor's 500 index added 8.46 points to 1,625.96, a gain of 0.5 percent. Both indexes reached all-time highs earlier this year, then kept climbing, largely driven by optimism that the U.S. economy will continue gaining strength.

"We don't think people are giving enough credit to the strength of the economy," said Ryan Detrick, a senior technical strategist at Schaeffer's Investment Research. "We still like the market."

The gains piled up with the growing realization among investors that the traditional threats to a rising market ”” higher interest rates, falling profits, a possible recession ”” are unlikely to appear anytime soon. What's more, with interest rates near record lows, they see few other places to put their money.

For the Dow, it was the 17th straight Tuesday of increases. The only day of the week with a longer series of consecutive gains is Wednesday, which logged a streak of 24, Detrick said.

In other trading, the Nasdaq composite rose 3.66 points to 3,396.63, up 0.1 percent.

The NYSE DOW closed HIGHER ▲ 87.31 points or ▲ 0.58% Tuesday, 7 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,056.20 ▲ 87.31 ▲ 0.58%
Nasdaq___ 3,396.63 ▲ 3.66 ▲ 0.11%
S&P_500__ 1,625.96 ▲ 8.46 ▲ 0.52%
30_Yr_Bond 3.000 ▲ 0.02 ▲ 0.54%

NYSE Volume 3,557,621,250
Nasdaq Volume 1,706,994,500

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,557.30 ▲ 35.84 ▲ 0.55%
DAX_____ 8,181.78 ▲ 69.70 ▲ 0.86%
CAC_40__ 3,921.32 ▲ 14.28 ▲ 0.37%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,122.70 ▼ -11.10 ▼ -0.22%
Shanghai_Comp 2,235.57 ▲ 4.41 ▲ 0.20%
Taiwan_Weight 8,163.06 ▼ -5.99 ▼ -0.07%
Nikkei_225____ 14,180.24 ▲ 486.20 ▲ 3.55%
Hang_Seng____ 23,047.09 ▲ 132.00 ▲ 0.58%
Strait_Times___ 3,383.16 ▲ 0.87 ▲ 0.03%
NZX_50_Index__ 4,621.73 ▲ 25.50 ▲ 0.55%

http://finance.yahoo.com/news/stock-market-milestone-dow-15-202737590.html

New stock market milestone: Dow 15,000

New milestone for Dow Jones industrial average: first close above 15,000 points

By Steve Rothwell and Matt Craft,

Just two months after recovering the last of its losses from the financial crisis, the Dow Jones industrial average charged higher Tuesday, closing above 15,000 for the first time.

It was another milestone in the market's epic ascent of 2013. Good economic reports, strong corporate earnings and fresh support from central banks have eased investors' concerns about another economic slowdown. Many had been on the lookout for signs that a spring swoon would derail the rally, as happened in each of the past three years.

Instead, Wall Street has climbed almost 15 percent since Jan. 1.

"The thing that's been driving stocks is rising confidence," said James Paulsen, chief investment strategist at Wells Capital Management. "Economic growth, job creation and the housing market have been better than expected."

News of stronger hiring over the past three months briefly propelled the Dow over 15,000 on Friday, but it ended the week below that mark.

Wall Street followed Japanese and European markets higher after they responded to good news about central bank stimulus and the German economy. In the U.S., the market got a lift from higher quarterly profits at satellite TV company DirecTV and watchmaker Fossil.

The Dow closed at 15,056.20, up 87.31 points, or 0.6 percent. The Standard & Poor's 500 index added 8.46 points to 1,625.96, a gain of 0.5 percent. Both indexes reached all-time highs earlier this year, then kept climbing, largely driven by optimism that the U.S. economy will continue gaining strength.

"We don't think people are giving enough credit to the strength of the economy," said Ryan Detrick, a senior technical strategist at Schaeffer's Investment Research. "We still like the market."

The gains piled up with the growing realization among investors that the traditional threats to a rising market ”” higher interest rates, falling profits, a possible recession ”” are unlikely to appear anytime soon. What's more, with interest rates near record lows, they see few other places to put their money.

In a round of interviews on Monday, investor Warren Buffett said the stock market looked "reasonably priced" even after its surge. But, Buffett added, people pay too much attention to markets reaching new highs. They ought to pay attention when markets hit new lows.

"That's when stocks are getting cheaper," Buffett said. "That's when stocks are going on sale. But people do get more excited when they see new highs."

Record-high profits have also encouraged investors who fretted that slumping sales would lead to shrinking earnings. More than 400 of the S&P 500 companies have turned in first-quarter results, and more than seven out of 10 have beaten Wall Street's earnings expectations, according to S&P Capital IQ. Those analysts estimate that earnings increased 5 percent in the first quarter and will pick up their pace through the rest of the year.

Fossil, a maker of watches and handbags, was among the companies reporting earnings Tuesday. Its stock leapt $8.92, or 9 percent, to $107.88 after the company said higher sales lifted its earnings.

DirecTV, the country's largest provider of satellite TV services, surged $3.99, or 7 percent, to $61.95 after its earnings beat analysts' expectations. The company reported more subscribers in the U.S. and Latin America.

For the Dow, it was the 17th straight Tuesday of increases. The only day of the week with a longer series of consecutive gains is Wednesday, which logged a streak of 24, Detrick said.

In other trading, the Nasdaq composite rose 3.66 points to 3,396.63, up 0.1 percent.

Japanese stocks surged, pushing the Nikkei above 14,000 for the first time in nearly five years. The Nikkei has jumped 36 percent this year after the Bank of Japan announced a new aggressive monetary policy to get the country out of its two-decade stagnation.

In Europe, Germany's main DAX index touched a record of 8,195, bouyed by surprisingly strong industrial orders.

Detrick said he was particularly encouraged by the resurgence in smaller stocks, which suggested a broad recovery beyond larger companies. The Russell 2000 index of small companies has gained 14 percent this year.

In the market for U.S government bonds, the yield on the 10-year U.S. Treasury note edged up to 1.78 percent from 1.76 percent in late Monday trading. Optimism over the U.S. economy has yanked the yield up over the past week, as traders shift money out of the safety of the Treasury market. The yield sank to its low for the year, 1.63 percent, last Thursday.

 

[bigdog]

Source: http://finance.yahoo.com

The Dow Jones industrial average rose, closing above 15,000 for a second day after breaching the landmark level for the first time Tuesday.

On Wednesday, a day without any major economic releases, investors focused on company earnings as reporting for the first quarter draws to a close. Although earnings growth has slowed from last quarter, profits are at record levels and projected to rise throughout the year.

Internet company AOL plunged as its subscription revenue fell, and hamburger chain Wendy's slumped after it reported revenue that fell short of Wall Street's expectations. On the positive side, high-end grocer Whole Foods and the video game publisher Electronic Arts rose sharply after predicting full-year profits that were higher than analysts were expecting.

Scott Wren, a senior equity strategist at Wells Fargo Advisors, predicted more gains in the short term, but he also said a pullback was likely at some point because the rise in the market is beginning to overstate the improvement in the economy.

"We're still going to keep grinding higher," Wren said. But, he added: "I do think the market is ahead of itself."

Stocks have defied predictions that a sell-off would follow the spring surge as signs emerged that growth could be set for a slowdown. Both the Dow and the Standard & Poor's 500 index have gained every month of the year and are trading at record highs.

The Dow closed up 48.92 points, or 0.3 percent, at 15,105.12. The index is 15.3 percent higher for the year. The S&P 500 index was 6.73 points higher, or 0.4 percent, at 1,632.69, extending its advance for 2013 to 14.5 percent.

About 90 percent of companies in the S&P 500 index have reported their earnings for the first quarter.

The NYSE DOW closed HIGHER ▲ 48.92 points or ▲ 0.32% Wednesday, 8 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,105.12 ▲ 48.92 ▲ 0.32%
Nasdaq___ 3,413.27 ▲ 16.64 ▲ 0.49%
S&P_500__ 1,632.69 ▲ 6.73 ▲ 0.41%
30_Yr_Bond 2.978 ▼ -0.02 ▼ -0.80%

NYSE Volume 3,797,207,000
Nasdaq Volume 1,715,862,500

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,583.48 ▲ 26.18 ▲ 0.40%
DAX_____ 8,249.71 ▲ 67.93 ▲ 0.83%
CAC_40__ 3,956.28 ▲ 34.96 ▲ 0.89%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,177.90 ▲ 55.20 ▲ 1.08%
Shanghai_Comp 2,246.30 ▲ 10.73 ▲ 0.48%
Taiwan_Weight 8,267.09 ▲ 104.03 ▲ 1.27%
Nikkei_225____ 14,285.69 ▲ 105.45 ▲ 0.74%
Hang_Seng____ 23,244.35 ▲ 197.26 ▲ 0.86%
Strait_Times___ 3,413.44 ▲ 30.28 ▲ 0.90%
NZX_50_Index__ 4,640.28 ▲ 18.55 ▲ 0.40%

http://finance.yahoo.com/news/dow-average-gains-holds-15-203839519.html

Dow average gains, holds on to 15,000 level

Dow Jones industrial average holds above 15,000; Whole Foods, Electronic Arts gain

By Steve Rothwell, AP Markets Writer

The Dow Jones industrial average rose, closing above 15,000 for a second day after breaching the landmark level for the first time Tuesday.

On Wednesday, a day without any major economic releases, investors focused on company earnings as reporting for the first quarter draws to a close. Although earnings growth has slowed from last quarter, profits are at record levels and projected to rise throughout the year.

Internet company AOL plunged as its subscription revenue fell, and hamburger chain Wendy's slumped after it reported revenue that fell short of Wall Street's expectations. On the positive side, high-end grocer Whole Foods and the video game publisher Electronic Arts rose sharply after predicting full-year profits that were higher than analysts were expecting.

Scott Wren, a senior equity strategist at Wells Fargo Advisors, predicted more gains in the short term, but he also said a pullback was likely at some point because the rise in the market is beginning to overstate the improvement in the economy.

"We're still going to keep grinding higher," Wren said. But, he added: "I do think the market is ahead of itself."

Stocks have defied predictions that a sell-off would follow the spring surge as signs emerged that growth could be set for a slowdown. Both the Dow and the Standard & Poor's 500 index have gained every month of the year and are trading at record highs.

On Wednesday, AOL plunged $3.68, or 8.9 percent, to $37.74 after the company reported earnings that fell short of the forecasts of Wall Street analysts who follow the stock. Subscription revenue fell 9 percent.

Wendy's fell 34 cents, or 5.6 percent, to $5.78 after it reported a 2 percent rise in revenue to $603.7 million, short of the $615 million forecast of analysts.

Materials and information technology companies gained the most of the 10 industry groups in the S&P 500 index, rising 0.9 percent and 0.8 percent respectively. The two industry groups have surged in the last month and are finding favor with investors after lagging the index for the first three months of the year.

That suggests that investors are moving from the so-called defensive stocks ”” those which offer good dividends and can grow regardless of the state of the economy ”” into industries that will benefit more if the economy accelerates. Gains for the year so far have been led by health care stocks, which have advanced 19 percent, compared with 8 percent for technology companies.

"We're seeing some sector rotation," said Chris Bertelsen, the Chief Investment Officer of Global Financial Private Capital. Defensive stocks "have had a huge run this year ... I think you are seeing some change of attitude in the market."

The Dow closed up 48.92 points, or 0.3 percent, at 15,105.12. The index is 15.3 percent higher for the year. The S&P 500 index was 6.73 points higher, or 0.4 percent, at 1,632.69, extending its advance for 2013 to 14.5 percent.

About 90 percent of companies in the S&P 500 index have reported their earnings for the first quarter.

Financial analysts predict that earnings will end up rising 5.1 percent versus the same period a year ago, according to S&P Capital IQ. Although that's slower growth than the 7.7 percent growth of the previous quarter, they are expected to grow 12 percent by the fourth quarter of 2013.

Whole Foods climbed $9.39, or 10.1 percent, to $102.19 after the natural foods store chain said its fiscal second-quarter net income rose 20 percent. The company also raised its profit forecast for the full year.

Electronic Arts, which makes the Madden Football games and SimCity, jumped $3.15, or 17.1 percent, to $21.56 after it projected profits for the current fiscal year that were higher than analysts were expecting.

In other trading, the Nasdaq composite gained 16.64 points, or 0.5 percent, to 3,413.27. The Russell 2000, an index of smaller stocks, rose 2.59 points, or 0.3 percent, to 970.41.

Freight transporter C.H. Robinson Worldwide was the biggest decliner in the S&P 500 index, falling $4.30, or 7 percent, to $57.26 after the company said that its profit margins were being squeezed.

In government bond trading, the yield on the 10-year Treasury note was little changed at 1.77 percent. The yield has climbed from 1.63, its lowest of the year, last week after a surprisingly strong employment report Friday.

In commodities trading, the price of crude oil rose $1, or 1 percent, to $96.62 a barrel and gold climbed $24.90, or 1.7 percent, to $1,473.70 an ounce.

The dollar fell against the euro and ended the day higher against the yen.

 

[bigdog]

Source: http://finance.yahoo.com

The stock market pulled back from record levels Thursday as investors became harder to please.

Even a decline in the number of Americans applying for unemployment benefits failed to give stock prices a boost. Markets drifted lower in early trading, moved between gains and losses in the afternoon, then ended slightly lower. The Standard & Poor's 500 index had its first loss since May 1.

Unemployment claims dropped to a five-year low last week, the Labor department reported early Thursday. That signals fewer layoffs and possibly more hiring.

While the report failed to boost stocks, it did give the dollar a lift. The U.S. currency climbed against most major currencies and traded above 100 yen for the first time in more than four years. The Japanese currency has weakened dramatically this year due to the Bank of Japan's massive monetary stimulus.

An improvement in hiring at U.S. employers has been one of the key factors that pushed stocks up to record levels. The Dow Jones industrial average climbed above 15,000 for the first time Tuesday and is on track to notch six straight months of gains. The S&P 500 index also closed at a record high Wednesday.

The bar for economic news and corporate earnings has risen as stock prices have marched higher, said JJ Kinahan, chief derivative strategist at TD Ameritrade. "You have to beat by a lot to really move the market higher," Kinahan said.

Rising corporate earnings, another key support for the stock market, were also in focus on Thursday.

The Dow fell 22.5 points, or 0.2 percent, to 15,082.62. The S&P 500 index dropped 6.02 points, or 0.4 percent, to 1,626.67.

So far, markets have defied expectations for a slowdown heading into the summer.

The S&P 500 index has started the second quarter well, gaining 1.8 percent so far in the period. The index has declined in the second quarter in each of the past three years. Stocks slumped last year in the May-through-June period as Europe's debt crisis intensified, and in 2011 they dipped as wrangling in Washington pushed the U.S. to the brink of default.

The Nasdaq composite index, which is heavily weighted with technology stocks, fell 4.10 points, or 0.1 percent, to 3,409.17.

The NYSE DOW closed LOWER ▼ -22.50 points or ▼ -0.15% Thursday, 9 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,082.62 ▼ -22.50 ▼ -0.15%
Nasdaq___ 3,409.17 ▼ -4.10 ▼ -0.12%
S&P_500__ 1,626.67 ▼ -6.02 ▼ -0.37%
30_Yr_Bond 2.997 ▲ 0.02 ▲ 0.64%

NYSE Volume 3,772,995,000
Nasdaq Volume 1,790,748,250

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,592.74 ▲ 9.26 ▲ 0.14%
DAX_____ 8,262.55 ▲ 12.84 ▲ 0.16%
CAC_40__ 3,928.58 ▼ -27.70 ▼ -0.70%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,180.60 ▲ 2.70 ▲ 0.05%
Shanghai_Comp 2,232.97 ▼ -13.33 ▼ -0.59%
Taiwan_Weight 8,285.89 ▲ 18.80 ▲ 0.23%
Nikkei_225____ 14,191.48 ▼ -94.21 ▼ -0.66%
Hang_Seng____ 23,211.48 ▼ -32.87 ▼ -0.14%
Strait_Times___ 3,431.58 ▲ 18.56 ▲ 0.54%
NZX_50_Index__ 4,639.33 ▼ -0.94 ▼ -0.02%

http://finance.yahoo.com/news/stocks-pull-back-record-levels-204153539.html

Stocks pull back from record levels on Wall Street

Stocks pull back from record levels on Wall Street as a market advance slows

By Steve Rothwell, AP Markets Writer

The stock market pulled back from record levels Thursday as investors became harder to please.

Even a decline in the number of Americans applying for unemployment benefits failed to give stock prices a boost. Markets drifted lower in early trading, moved between gains and losses in the afternoon, then ended slightly lower. The Standard & Poor's 500 index had its first loss since May 1.

Unemployment claims dropped to a five-year low last week, the Labor department reported early Thursday. That signals fewer layoffs and possibly more hiring.

While the report failed to boost stocks, it did give the dollar a lift. The U.S. currency climbed against most major currencies and traded above 100 yen for the first time in more than four years. The Japanese currency has weakened dramatically this year due to the Bank of Japan's massive monetary stimulus.

An improvement in hiring at U.S. employers has been one of the key factors that pushed stocks up to record levels. The Dow Jones industrial average climbed above 15,000 for the first time Tuesday and is on track to notch six straight months of gains. The S&P 500 index also closed at a record high Wednesday.

The bar for economic news and corporate earnings has risen as stock prices have marched higher, said JJ Kinahan, chief derivative strategist at TD Ameritrade. "You have to beat by a lot to really move the market higher," Kinahan said.

Rising corporate earnings, another key support for the stock market, were also in focus on Thursday.

”” Tesla Motors soared $13.61, or 24 percent, to $69.40, after the electric car maker posted its first quarterly net profit since it was founded a decade ago.

”” Green Mountain Coffee Roasters surged $16.56, or 27.8 percent, to $76.04 after the company reported late Wednesday that its net income rose 42 percent. It also raised its earnings forecast for the full year.

”” Monster Beverage, the maker of energy drinks, fell $2.96, or 5 percent, to $54.01, after it reported net income that fell short of analysts' estimates. The company's profits fell 17 percent, despite stronger sales, because of unfavorable currency rates, legal expenses and costs tied to distribution agreements.

Almost 90 percent of the companies in the S&P 500 index have reported earnings for the first quarter. Earnings are projected to rise 5 percent for the period and continue climbing throughout the year, according to S&P Capital IQ.

The Dow fell 22.5 points, or 0.2 percent, to 15,082.62. The S&P 500 index dropped 6.02 points, or 0.4 percent, to 1,626.67.

So far, markets have defied expectations for a slowdown heading into the summer.

The S&P 500 index has started the second quarter well, gaining 1.8 percent so far in the period. The index has declined in the second quarter in each of the past three years. Stocks slumped last year in the May-through-June period as Europe's debt crisis intensified, and in 2011 they dipped as wrangling in Washington pushed the U.S. to the brink of default.

"The market has had a phenomenal run," said Ron Florance, managing director of investment strategy at Wells Fargo Private Bank. "We'll have to see how the second quarter plays out."

In government bond trading, the yield on the 10-year note continued to rise, climbing to 1.82 percent from 1.77 percent on Wednesday. The yield, which moves inversely to the bond's price, has risen sharply since early Friday, when it traded as low as 1.63 percent, its lowest level of the year.

On Friday morning the government reported a sharp pickup in hiring over the past three months, which encouraged investors to sell low-risk assets like U.S. government debt, pushing the yield on the bonds higher.

The price of crude oil fell 23 cents, or 0.2 percent, $96.39 and gold fell $5.10, or 0.3 percent, to $1,468.60.

The dollar traded above 100 yen for the first time in more than four years. The Japanese currency has weakened dramatically this year, falling almost 15 percent against the dollar.

The dollar also rose against the euro and the British pound. The dollar index, which measures the strength of the dollar against a group of currencies, rose 0.8 points, or 1 percent, to 82.71.

The U.S. currency is strengthening in part because the Federal Reserve is becoming optimistic about the outlook for the economy, while other central banks around the world are increasing their efforts to stimulate their economies. The Fed is currently buying $85 billion a month to hold down long-term interest rates and encourage borrowing and spending.

"Between the U.S. economy improving and the Federal Reserve thinking about tapering asset purchases, which is a different direction to which other central banks are moving, that's going to keep the dollar in demand," said Kathy Lien, managing director of FX strategy at BK Asset Management.

The Nasdaq composite index, which is heavily weighted with technology stocks, fell 4.10 points, or 0.1 percent, to 3,409.17.

Among other stocks making big moves, Barnes & Noble surged $4.31, or 24.3 percent, to $22.08 after the technology news blog TechCrunch reported that Microsoft was considering acquiring the book retailer's digital book venture Nook Media for $1 billion.

 

[bigdog]

Source: http://finance.yahoo.com

Small was beautiful this week.

The Dow Jones industrial average closed above 15,000 for the first time on Tuesday, then held above that milestone for the next three days. But an index of small-company stocks put the blue-chip gauge to shame week. On Friday, the Russell 2000 closed the week up 2.2 percent, more than double the Dow's gain.

Investors are in love with small stocks because they stand a greater chance of surging ahead than large, global companies do if the U.S. economy continues to fare better than Europe and Asia.

"GDP growth was 2.5 percent in the first quarter ”” not spectacular, but better than Europe," said Joseph Tanious, global market strategist of J.P. Morgan Funds. "Europe is sucking wind."

On Friday, the Dow, an index of 30 large-company stocks including global giants like IBM and Caterpillar, rose 35.87 points to close at 15,118.49 after flitting between gains and losses most of the day.

The Dow's meager gain of 0.2 percent was trumped by the 0.9 percent advance in the Russell 2000. The small-company index rose 8.90 points to 975.16. Both indexes, as well as the Standard & Poor's 500, closed at record highs. All three rose for a third straight week.

The sharp increase in small-company stocks is also a sign that investors are more willing to take on risk. Small stocks can offer investors greater returns, but they are also more volatile than large stocks.

Dow stocks were held back by falling commodity prices. Exxon Mobil, Chevron and Alcoa ”” all Dow members whose fortunes are tied to the prices of crude oil and other basic materials ”” closed down 1 percent or more.

The price of commodities including crude oil and gold fell sharply as the dollar strengthened against other currencies, especially the Japanese yen. When the dollar rises against other currencies, it tends to weaken demand for commodities. Since commodities are priced in dollars, buyers using other currencies get less for their money when the dollar appreciates, and they respond by buying less.

Stocks have benefited from record-high corporate profits. Nearly all companies in the S&P 500 have reported first quarter earnings. The average net income for companies in the index is expected to rise 5 percent, according to S&P Capital IQ, a research firm.

"The talk at the end of April was company earnings are slowing," said Gary Flam, who manages stock portfolios at Bel Air Investment Advisors. "But clearly that's not been the case in the first ten days."

The S&P rose every day since the beginning of the month until Thursday, when it fell six points.

Flam speculates that stocks are rising partly because investors have shifted from fear to greed.

"The last few years, risk was defined as losing money," he said. "The last few months, it's been defined as not making money."

In another sign that investors were embracing risk, prices for ultra-safe U.S. government bonds fell, sending their yields higher. The yield on the benchmark 10-year Treasury note rose sharply, to 1.90 percent from 1.81 percent late Thursday.

The gains in the stock market were broad. Nine of the ten industry groups in the S&P 500 index were higher. Health care stocks rose the most, 1.1 percent.

The Nasdaq composite index was up 27.41 points, or 0.8 percent, to close at 3,436.58.

The NYSE DOW closed HIGHER ▲ 35.87 points or ▲ 0.24% Friday, 10 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,118.49 ▲ 35.87 ▲ 0.24%
Nasdaq___ 3,436.58 ▲ 27.41 ▲ 0.80%
S&P_500__ 1,633.70 ▲ 7.03 ▲ 0.43%
30_Yr_Bond 3.104 ▲ 0.11 ▲ 3.57%

NYSE Volume 3,310,894,750
Nasdaq Volume 1,664,478,380

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,624.98 ▲ 32.24 ▲ 0.49%
DAX_____ 8,278.59 ▲ 16.04 ▲ 0.19%
CAC_40__ 3,953.83 ▲ 25.25 ▲ 0.64%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,191.10 ▲ 10.50 ▲ 0.20%
Shanghai_Comp 2,246.83 ▲ 13.86 ▲ 0.62%
Taiwan_Weight 8,280.26 ▼ -5.63 ▼ -0.07%
Nikkei_225____ 14,607.54 ▲ 416.06 ▲ 2.93%
Hang_Seng____ 23,321.22 ▲ 109.74 ▲ 0.47%
Strait_Times___ 3,443.77 ▲ 10.99 ▲ 0.32%
NZX_50_Index__ 4,652.78 ▲ 13.44 ▲ 0.29%

http://finance.yahoo.com/news/u-stocks-rise-third-week-211042975.html

U.S stocks rise for third week in a row

Stock market rises for a third week in a row, led by small-company stocks

By Bernard Condon, AP Business Writer

Small was beautiful this week.

The Dow Jones industrial average closed above 15,000 for the first time on Tuesday, then held above that milestone for the next three days. But an index of small-company stocks put the blue-chip gauge to shame week. On Friday, the Russell 2000 closed the week up 2.2 percent, more than double the Dow's gain.

Investors are in love with small stocks because they stand a greater chance of surging ahead than large, global companies do if the U.S. economy continues to fare better than Europe and Asia.

"GDP growth was 2.5 percent in the first quarter ”” not spectacular, but better than Europe," said Joseph Tanious, global market strategist of J.P. Morgan Funds. "Europe is sucking wind."

On Friday, the Dow, an index of 30 large-company stocks including global giants like IBM and Caterpillar, rose 35.87 points to close at 15,118.49 after flitting between gains and losses most of the day.

The Dow's meager gain of 0.2 percent was trumped by the 0.9 percent advance in the Russell 2000. The small-company index rose 8.90 points to 975.16. Both indexes, as well as the Standard & Poor's 500, closed at record highs. All three rose for a third straight week.

The sharp increase in small-company stocks is also a sign that investors are more willing to take on risk. Small stocks can offer investors greater returns, but they are also more volatile than large stocks.

Dow stocks were held back by falling commodity prices. Exxon Mobil, Chevron and Alcoa ”” all Dow members whose fortunes are tied to the prices of crude oil and other basic materials ”” closed down 1 percent or more.

The price of commodities including crude oil and gold fell sharply as the dollar strengthened against other currencies, especially the Japanese yen. When the dollar rises against other currencies, it tends to weaken demand for commodities. Since commodities are priced in dollars, buyers using other currencies get less for their money when the dollar appreciates, and they respond by buying less.

Stocks have benefited from record-high corporate profits. Nearly all companies in the S&P 500 have reported first quarter earnings. The average net income for companies in the index is expected to rise 5 percent, according to S&P Capital IQ, a research firm.

"The talk at the end of April was company earnings are slowing," said Gary Flam, who manages stock portfolios at Bel Air Investment Advisors. "But clearly that's not been the case in the first ten days."

The S&P rose every day since the beginning of the month until Thursday, when it fell six points.

Flam speculates that stocks are rising partly because investors have shifted from fear to greed.

"The last few years, risk was defined as losing money," he said. "The last few months, it's been defined as not making money."

In another sign that investors were embracing risk, prices for ultra-safe U.S. government bonds fell, sending their yields higher. The yield on the benchmark 10-year Treasury note rose sharply, to 1.90 percent from 1.81 percent late Thursday.

The gains in the stock market were broad. Nine of the ten industry groups in the S&P 500 index were higher. Health care stocks rose the most, 1.1 percent.

The Nasdaq composite index was up 27.41 points, or 0.8 percent, to close at 3,436.58.

One dollar was worth 101.58 yen, more than the 100.54 yen it bought late Thursday. The yen has been weakening since last fall as the Bank of Japan floods the Japanese economy with cash in an effort to shake the country out of a two-decade slump.

Japanese stocks surged. A weaker yen is a boon to Japanese exporters of cars, electronics and other goods because they can charge cheaper prices in overseas markets. Tokyo's benchmark Nikkei 225 index jumped 2.9 percent to close at 14,607, its highest level since January 2008.

Prices for crude oil and gold fell. Crude fell 35 cents to $96.04 a barrel in New York, a loss of 0.4 percent. Gold fell $32 to $1,436 an ounce, or 2.2 percent.

Among stocks in the news:

”” Priceline.com and chip maker Nvidia both rose about 4 percent after reporting higher earnings. Priceline jumped $27.91 to $765 and Nvidia was up 63 cents to $14.54.

”” Clothing store chain Gap rose after reporting higher sales in April and predicting first-quarter earnings that were higher than financial analysts expected. Gap rose $2.18 to $40.99, or 5.6 percent.

”” True Religion Apparel, known for high-priced jeans, rose $2.38, or 8 percent, to $31.82 after announcing it had agreed to a buyout offer of about $826 million from the investment management firm TowerBrook Capital Partners LP.

”” Dell climbed after activist investor Carl Icahn and another big investor fighting founder Michael Dell's offer to take the company private launched another broadside against the plan. In a letter to Dell's board, they proposed a deal that would keep the company public and pay shareholders cash or stock worth $12 a share. Dell rose 13 cents, or 1 percent, to $13.45 per share.

1290

 

[bigdog]

Source: http://finance.yahoo.com

A record-breaking rally in stocks paused Monday as investors assessed whether stock valuations were overstating the recent improvement in the economy.

The latest positive data, out Monday, showed that Americans increased spending at retailers last month. That suggests that consumers may boost economic growth in the current quarter ending June 30. Still, that wasn't enough to lift shares.

"What we have seen is a huge rally, and there aren't any stones unturned at this point," said Alec Young, global equity strategist at S&P Capital IQ. "You reach a point where investors aren't willing to bid things up any more."

Stocks have surged this year, boosted by an improving economy, Federal Reserve stimulus and record corporate earnings. Signs that the housing market is reviving are also supporting stocks. The Dow Jones industrial average and the Standard and Poor's 500 index both closed at record highs Friday.

Oil fell 87 cents, or 0.9 percent, to $95.17 a barrel. Gold dropped $2.30, or 0.2 percent, to $1,434.30 an ounce. The U.S. dollar was little changed against the Japanese yen at 101.83 and gained against the euro.

Retail sales increased 0.1 percent in April from March, the Commerce Department said Monday. That's an improvement from the 0.5 percent decline in March, which was the largest drop in nine months. Economists had forecast that sales declined by 0.3 percent.

Consumer sentiment is improving as the housing market recovers, which is giving people the confidence to spend more, said Doug Cote, chief market strategist at ING Investment Management.

"If housing continues its upward trajectory, the animal spirits of the consumer will continue to be bolstered," said Cote.

On Monday, stocks started lower before paring some of those losses throughout the day.

The Dow fell 26.81 points, or 0.2 percent, to 15,091.68. The S&P 500 index was little changed at 1,633.77. The Dow is up 15.1 percent this year, and the S&P 500 is 14.6 percent higher.

The Nasdaq composite rose 2.21 points, 0.1 percent, to 3,438.79.

The NYSE DOW closed LOWER ▼ -26.81 points or ▼ -0.18% Monday, 13 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,091.68 ▼ -26.81 ▼ -0.18%
Nasdaq___ 3,438.79 ▲ 2.21 ▲ 0.06%
S&P_500__ 1,633.77 ▲ 0.07 ▲ 0.00%
30_Yr_Bond 3.129 ▲ 0.03 ▲ 0.81%

NYSE Volume 3,124,651,000
Nasdaq Volume 1,613,259,250

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,631.76 ▲ 6.78 ▲ 0.10%
DAX_____ 8,279.29 ▲ 0.70 ▲ 0.01%
CAC_40__ 3,945.20 ▼ -8.63 ▼ -0.22%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,194.80 ▲ 3.70 ▲ 0.07%
Shanghai_Comp 2,241.92 ▼ -4.91 ▼ -0.22%
Taiwan_Weight 8,248.32 ▼ -31.94 ▼ -0.39%
Nikkei_225____ 14,782.21 ▲ 174.67 ▲ 1.20%
Hang_Seng____ 22,989.81 ▼ -331.41 ▼ -1.42%
Strait_Times___ 3,428.96 ▼ -14.81 ▼ -0.43%
NZX_50_Index__ 4,671.64 ▲ 18.86 ▲ 0.41%

http://finance.yahoo.com/news/stock-market-rally-pauses-monday-203251314.html

Stock market rally pauses on Monday

Stock markets mixed; record-breaking rally takes pause even as retail sales unexpectedly rise

By Steve Rothwell, Markets Writer

A record-breaking rally in stocks paused Monday as investors assessed whether stock valuations were overstating the recent improvement in the economy.

The latest positive data, out Monday, showed that Americans increased spending at retailers last month. That suggests that consumers may boost economic growth in the current quarter ending June 30. Still, that wasn't enough to lift shares.

"What we have seen is a huge rally, and there aren't any stones unturned at this point," said Alec Young, global equity strategist at S&P Capital IQ. "You reach a point where investors aren't willing to bid things up any more."

Stocks have surged this year, boosted by an improving economy, Federal Reserve stimulus and record corporate earnings. Signs that the housing market is reviving are also supporting stocks. The Dow Jones industrial average and the Standard and Poor's 500 index both closed at record highs Friday.

Oil fell 87 cents, or 0.9 percent, to $95.17 a barrel. Gold dropped $2.30, or 0.2 percent, to $1,434.30 an ounce. The U.S. dollar was little changed against the Japanese yen at 101.83 and gained against the euro.

Retail sales increased 0.1 percent in April from March, the Commerce Department said Monday. That's an improvement from the 0.5 percent decline in March, which was the largest drop in nine months. Economists had forecast that sales declined by 0.3 percent.

Consumer sentiment is improving as the housing market recovers, which is giving people the confidence to spend more, said Doug Cote, chief market strategist at ING Investment Management.

"If housing continues its upward trajectory, the animal spirits of the consumer will continue to be bolstered," said Cote.

On Monday, stocks started lower before paring some of those losses throughout the day.

The Dow fell 26.81 points, or 0.2 percent, to 15,091.68. The S&P 500 index was little changed at 1,633.77. The Dow is up 15.1 percent this year, and the S&P 500 is 14.6 percent higher.

Telecommunications companies dropped the most of any industry group in the S&P 500 index, falling 0.83 percent. Health care companies advanced the most, rising 0.7 percent.

Health care companies have risen 21.4 percent this year, the most of any of the 10 industry groups in the S&P 500. Investors have been buying the stocks because they offer some growth prospects and also pay large dividends.

More than 90 percent of companies in the S&P 500 have reported earnings for the first quarter, and corporate earnings are projected to grow by an average of 5 percent for the period, according to data from S&P Capital IQ. While earnings growth has slowed from the previous quarter, it is forecast to end the year at 11.6 percent.

Among stocks making big moves:

”” Yum Brands fell $1.44, or 2 percent, to $68.92 after the owner of Kentucky Fried Chicken reported that sales in China fell 29 percent last month, driven by concerns about Avian flu.

”” Theravance, a biopharmaceutical company, surged $6.26, or 18 percent, to $41.20. Irish drugmaker Elan Corp. plans to pay $1 billion for the right to future royalties from respiratory treatments being developed by Theravance and GlaxoSmithKline.

”” Autozone, a retailer of spare parts for cars, fell $5.19, or 1.2 percent, to $415.76 after Deutsche Bank cut its recommendation on the stock from "buy" to "hold."

In government bond trading, the yield on the 10-year Treasury note rose to 1.92 percent from 1.90 percent. The yield, which moves opposite to the price, has jumped this month as investors sold Treasurys and moved into riskier assets.

The Nasdaq composite rose 2.21 points, 0.1 percent, to 3,438.79.

 

[bigdog]

Source: http://finance.yahoo.com

The stock market marched back into record territory as investors seized on the latest encouraging news about the economy. On Tuesday, it was a report on the health of small businesses.

Small business owners were slightly more optimistic in April, according to a survey by the National Federation of Independent Business. That helped push the Russell 2000, an index of small-company stocks, up 1.3 percent, ahead of other major indexes.

"Small businesses are in many ways the backbone of the economy ... to see that index move up was a positive surprise," said Quincy Krosby, market strategist for Prudential Financial. "Overall, the market wants to move higher and it's hard to fight that."

The Russell index is 16.1 percent higher since the start of the year, and is up more than the Standard & Poor's 500 index, which includes larger, global companies. Small stocks are doing well partly because they are more focused on the U.S., which is recovering, and don't get as much revenue from recession-plagued Europe as larger companies do.

The advance in small-company stocks is another sign of how optimistic investors have become. Smaller stocks are more risky than large ones, but also offer investors the prospect of greater returns.

Another closely watched stock market indicator has also been on a tear: transportation stocks. The Dow Transport average rose 1.9 percent Tuesday and is up 21.8 percent this year, far more than other major indexes. Investors often see these stocks as an indication of where the economy is going. When companies make and ship more goods, the thinking goes, truckers, airlines and railways have more business.

The market rose from the opening of trading and climbed steadily throughout the day. The Dow rose 123.57 points, or 0.8 percent, to 15,215.25. The S&P 500 index rose 16.57 points, or 1 percent, to 1,650.34. Both are at all-time highs.

The Dow has gained for 18 straight Tuesdays. The only day with a longer streak of consecutive gains is Wednesday, with 24 back in 1968, according to Schaeffer's Investment Research.

May has been a strong month for the market. The S&P has risen eight out of the past nine days, the Russell and Dow Transportation average have risen seven.

The prospect of continued stimulus from the Federal Reserve has also supported the market's run-up. For stock investors, the U.S. economy is "not too hot, not too cold," says Michael Sheldon, chief market strategist at RDM Financial. It's weak enough that the Fed will continue its $85 billion-a-month economic stimulus program, but strong enough for companies to generate healthy earnings.

"There is a lot of momentum in the market right now," says Sheldon. "It's largely being fueled by the Federal Reserve and modest growth in the U.S."

The NYSE DOW closed HIGHER ▲ 123.57 points or ▲ 0.82% Tuesday, 14 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,215.25 ▲ 123.57 ▲ 0.82%
Nasdaq___ 3,462.61 ▲ 23.82 ▲ 0.69%
S&P_500__ 1,650.34 ▲ 16.57 ▲ 1.01%
30_Yr_Bond 3.160 ▲ 0.03 ▲ 1.09%

NYSE Volume 3,744,725,750
Nasdaq Volume 1,817,839,250

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,686.06 ▲ 54.30 ▲ 0.82%
DAX_____ 8,339.11 ▲ 59.82 ▲ 0.72%
CAC_40__ 3,966.06 ▲ 20.86 ▲ 0.53%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,202.50 ▲ 7.70 ▲ 0.15%
Shanghai_Comp 2,217.01 ▼ -24.91 ▼ -1.11%
Taiwan_Weight 8,251.82 ▲ 3.50 ▲ 0.04%
Nikkei_225____ 14,758.42 ▼ -23.79 ▼ -0.16%
Hang_Seng____ 22,930.28 ▼ -59.53 ▼ -0.26%
Strait_Times___ 3,432.76 ▲ 3.80 ▲ 0.11%
NZX_50_Index__ 4,645.85 ▼ -25.78 ▼ -0.55%

http://finance.yahoo.com/news/stock-market-rises-back-record-210348739.html

Stock market rises back into record territory

Stock market rises back into record territory; small-company and transportation stocks surge

By Steve Rothwell, AP Markets Writer

The stock market marched back into record territory as investors seized on the latest encouraging news about the economy. On Tuesday, it was a report on the health of small businesses.

Small business owners were slightly more optimistic in April, according to a survey by the National Federation of Independent Business. That helped push the Russell 2000, an index of small-company stocks, up 1.3 percent, ahead of other major indexes.

"Small businesses are in many ways the backbone of the economy ... to see that index move up was a positive surprise," said Quincy Krosby, market strategist for Prudential Financial. "Overall, the market wants to move higher and it's hard to fight that."

The Russell index is 16.1 percent higher since the start of the year, and is up more than the Standard & Poor's 500 index, which includes larger, global companies. Small stocks are doing well partly because they are more focused on the U.S., which is recovering, and don't get as much revenue from recession-plagued Europe as larger companies do.

The advance in small-company stocks is another sign of how optimistic investors have become. Smaller stocks are more risky than large ones, but also offer investors the prospect of greater returns.

Another closely watched stock market indicator has also been on a tear: transportation stocks. The Dow Transport average rose 1.9 percent Tuesday and is up 21.8 percent this year, far more than other major indexes. Investors often see these stocks as an indication of where the economy is going. When companies make and ship more goods, the thinking goes, truckers, airlines and railways have more business.

The market rose from the opening of trading and climbed steadily throughout the day. The Dow rose 123.57 points, or 0.8 percent, to 15,215.25. The S&P 500 index rose 16.57 points, or 1 percent, to 1,650.34. Both are at all-time highs.

The Dow has gained for 18 straight Tuesdays. The only day with a longer streak of consecutive gains is Wednesday, with 24 back in 1968, according to Schaeffer's Investment Research.

May has been a strong month for the market. The S&P has risen eight out of the past nine days, the Russell and Dow Transportation average have risen seven.

The prospect of continued stimulus from the Federal Reserve has also supported the market's run-up. For stock investors, the U.S. economy is "not too hot, not too cold," says Michael Sheldon, chief market strategist at RDM Financial. It's weak enough that the Fed will continue its $85 billion-a-month economic stimulus program, but strong enough for companies to generate healthy earnings.

"There is a lot of momentum in the market right now," says Sheldon. "It's largely being fueled by the Federal Reserve and modest growth in the U.S."

The U.S. economy grew 2.5 percent in the first quarter. While hiring has picked up, the unemployment rate is still at 7.5 percent, above the 6.5 percent rate that the Federal Reserve is targeting. As a result the central bank is expected to keep buying bonds to hold down long-term interest rates and encourage more borrowing and spending.

Earnings of companies in the S&P 500 index, meanwhile, are expected to rise 5 percent in the first quarter, and grow even faster in the second half of the year, according to S&P Capital IQ.

All 10 industry groups in the S&P 500 index rose, led by a 1.7 percent increase in banks and insurers. Financial stocks are up the most in the past month, 6.1 percent.

Bank of America climbed to its highest in more than two years. The stock rose 36 cents, or 2.8 percent, to $13.34. JPMorgan rose 56 cents, or 1.1 percent, to $50.23.

The Dow has risen 16.1 percent this year, the S&P 500 index 15.7 percent.

The Nasdaq composite index rose 23.82 points, or 0.7 percent, to 3,462.61. The Dow Transport index, which many investors consider a gauge of future economic activity, rose 121.78 points, or 1.9 percent, to 6,445.78.

BIG MOVERS IN STOCKS:

”” Sony's U.S.-listed shares jumped 10 percent after hedge fund manager Daniel Loeb called for the company to sell part of its entertainment business and use the money to shore up its struggling electronics operation. The stock rose $1.87 to $20.76.

TREASURYS:

In government bond trading, the yield on the 10-year Treasury note rose to 1.97 percent from 1.92 percent late Monday, as investors shifted money out of bonds and into riskier assets like stocks. It's the highest level for the yield since mid-March.

The yield on the note hit a low for the year of 1.63 percent on May 1. It surged higher two days later after the government reported a strong increase in hiring over the past three months.

CURRENCIES:

The yen weakened against the dollar. One dollar bought 102.24 Japanese yen as of late Tuesday, up from 101.93 yen late Monday. The dollar surged above 100 yen last week for the first time in four years. Japan's currency has been falling as the country's central bank floods the Japanese economy with cash in an effort to revive it from a two-decade slump. The euro edged down to $1.294 from $1.297.

COMMODITIES:

The strengthening dollar weighed on commodities. When the dollar rises, it makes dollar-denominated commodities like crude oil more expensive to investors using other currencies, like yen and euro. That tends to decrease demand for those goods, driving their prices lower.

The price of crude oil fell 96 cents, or 1 percent, to $94.21 a barrel. Oil has lost $2.41 a barrel over the past four days. On Tuesday a leading global energy agency raised its forecast for U.S. oil production and cut its forecast for worldwide demand.

Gold fell $9.80, or 0.7 percent, to $1,424.50.

Copper dropped the most among major commodities. The July contract fell 7.2 cents, or 2.1 percent, to $3.288 a pound.

 

[bigdog]

Source: http://finance.yahoo.com

Investors nudged the stock market to all-time highs Wednesday despite a handful of disappointing economic reports.

Google's stock topped $900 for the first time after the company announced several upgrades to its Android software for smartphones, and Macy's rose after beatings Wall Street's profit estimates. Apple fell, holding back the Nasdaq composite index.

The market got off to a weak start, then turned higher in late morning trading. Investors shrugged off a slowdown in manufacturing last month. More signs of slack in the U.S. economy, the thinking goes, means the Federal Reserve will keep pumping money into financial markets.

Terry Sandven, chief equity strategist at U.S. Bank's wealth management group, said most investors have come to expect choppy economic growth, so they take mildly disappointing reports in stride. With companies reporting rising earnings and few appealing alternatives, he sees no reason to sell stocks.

"It's a good backdrop for the market to trend higher," Sandven said.

The Dow Jones industrial average rose 60.44 points to close at 15,275.69, an increase of 0.4 percent.

The Standard & Poor's 500 index gained 8.44 points to 1,658.78, up 0.4 percent. Both closed at all-time highs.

Google gained 3 percent as the online search company unveiled a music streaming service and upgraded features for Google Maps. Google rose $28.79 to $915.89, a gain of 3 percent. It's up 50 percent over the past year.

News of slowing manufacturing in the U.S. and a widespread slowdown in Europe weighed on financial markets in early trading. The Federal Reserve said that U.S. factories cut back sharply on production in April, as automakers produced fewer cars and most other industries scaled back. But the stock market recovered by midday.

"Yes, we're at all-time highs, but valuations are still attractive," Sandven said. The S&P 500 is trading at 15 times earnings for 2013, in line with the historical average of the closely watched price-to-earnings ratio.

Tepid economic growth also keeps interest rates low, which encourages investors to buy dividend-paying stocks instead. More than four out of every 10 companies in the S&P 500 pay a higher yield in dividends than U.S. government bonds pay in interest, according to Sandven.

In other trading, the Nasdaq composite rose 9.01 points to 3,471.62, a gain of 0.2 percent.

The NYSE DOW closed HIGHER ▲ 60.44 points or ▲ 0.40% Wednesday, 15 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,275.69 ▲ 60.44 ▲ 0.40%
Nasdaq___ 3,471.62 ▲ 9.01 ▲ 0.26%
S&P_500__ 1,658.78 ▲ 8.44 ▲ 0.51%
30_Yr_Bond 3.159 ▼ 0.00 ▼ -0.13%

NYSE Volume 3,946,467,250
Nasdaq Volume 1,840,666,000

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,693.55 ▲ 7.49 ▲ 0.11%
DAX_____ 8,362.42 ▲ 23.31 ▲ 0.28%
CAC_40__ 3,982.23 ▲ 16.17 ▲ 0.41%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,173.30 ▼ -29.20 ▼ -0.56%
Shanghai_Comp 2,224.80 ▲ 7.79 ▲ 0.35%
Taiwan_Weight 8,318.59 ▲ 66.77 ▲ 0.81%
Nikkei_225____ 15,096.03 ▲ 337.61 ▲ 2.29%
Hang_Seng____ 23,044.24 ▲ 113.96 ▲ 0.50%
Strait_Times___ 3,441.53 ▲ 8.77 ▲ 0.26%
NZX_50_Index__ 4,646.33 ▲ 0.47 ▲ 0.01%

http://finance.yahoo.com/news/stocks-keep-climbing-even-manufacturing-165442291.html

Stocks keep climbing even as manufacturing softens

Indexes head higher in afternoon trading even as manufacturing weakens and Europe slumps

By Matthew Craft, AP Business Writer

Investors nudged the stock market to all-time highs Wednesday despite a handful of disappointing economic reports.

Google's stock topped $900 for the first time after the company announced several upgrades to its Android software for smartphones, and Macy's rose after beatings Wall Street's profit estimates. Apple fell, holding back the Nasdaq composite index.

The market got off to a weak start, then turned higher in late morning trading. Investors shrugged off a slowdown in manufacturing last month. More signs of slack in the U.S. economy, the thinking goes, means the Federal Reserve will keep pumping money into financial markets.

Terry Sandven, chief equity strategist at U.S. Bank's wealth management group, said most investors have come to expect choppy economic growth, so they take mildly disappointing reports in stride. With companies reporting rising earnings and few appealing alternatives, he sees no reason to sell stocks.

"It's a good backdrop for the market to trend higher," Sandven said.

The Dow Jones industrial average rose 60.44 points to close at 15,275.69, an increase of 0.4 percent.

The Standard & Poor's 500 index gained 8.44 points to 1,658.78, up 0.4 percent. Both closed at all-time highs.

Google gained 3 percent as the online search company unveiled a music streaming service and upgraded features for Google Maps. Google rose $28.79 to $915.89, a gain of 3 percent. It's up 50 percent over the past year.

News of slowing manufacturing in the U.S. and a widespread slowdown in Europe weighed on financial markets in early trading. The Federal Reserve said that U.S. factories cut back sharply on production in April, as automakers produced fewer cars and most other industries scaled back. But the stock market recovered by midday.

"Yes, we're at all-time highs, but valuations are still attractive," Sandven said. The S&P 500 is trading at 15 times earnings for 2013, in line with the historical average of the closely watched price-to-earnings ratio.

Tepid economic growth also keeps interest rates low, which encourages investors to buy dividend-paying stocks instead. More than four out of every 10 companies in the S&P 500 pay a higher yield in dividends than U.S. government bonds pay in interest, according to Sandven.

In other trading, the Nasdaq composite rose 9.01 points to 3,471.62, a gain of 0.2 percent.

Apple's stock took a sudden turn lower after reports said that a hedge fund run by the billionaire David Tepper slashed its holdings in the tech company. Apple lost $15.01 to $425.85, a 3 percent drop.

Strong corporate profits have supported the market's rally this year. Quarterly earnings reached a record in the first quarter, according to S&P Capital IQ, rising 5 percent from the year before. Telecommunication companies have led the way. The S&P is up 16 percent so far in 2013.

Among companies reporting earnings Wednesday, Macy said its profit increased 20 percent. The department-store chain also raised its quarterly dividend by a nickel to 25 cents and announced plans to buy an additional $1.5 billion of its own stock. Macy's gained 2 percent, or $1.18, to $48.57

In the market for U.S. government bonds, the yield on the 10-year Treasury note slipped to 1.94 percent from 1.98 percent late Tuesday. Traders bought Treasurys, pushing yields down, partially in response to news that France became the latest European country to enter a recession. Of the 17 countries that use the euro, nine of them now have shrinking economies.

The Fed's bond-buying program has kept interest rates near historically low levels and encouraged investors to shift money into riskier assets, like stocks. The Fed buys $85 billion worth of bonds every month.

Among other companies in the news:

”” Deere & Co. fell 4 percent. The company, which makes farm and construction equipment, reported earnings that beat analysts' expectations but also warned that cool spring temperatures and tepid demand for its products will slow down its sales this year. Deere's stock lost $4.13 to $89.64.

”” Computer Sciences dropped 10 percent, the biggest loss in the S&P 500. The information technology company turned in much weaker revenue than analysts had expected. Sales of the company's services to businesses and local governments slumped. Computer Sciences lost $4.78 to $44.71.

 

[bigdog]

Source: http://finance.yahoo.com

Signs of a slowing economy combined with comments from a Federal Reserve official helped pull the stock market down Thursday.

The news on the U.S. economy gave investors little to get excited about. Applications for unemployment benefits rose last week and manufacturing slowed in the mid-Atlantic region. Wal-Mart Stores sank after warning of weaker earnings ahead.

The Dow Jones industrial average fell 42.47 points to 15,233.22, a loss of 0.3 percent. The Standard & Poor's 500 index dropped 8.31 points to 1,650.47, or 0.5 percent. Both indexes closed at record highs the day before. It was only the third drop for the S&P this month.

"We've had such a tremendous run," said J. J. Kinahan, chief strategist at TD Ameritrade. "On a day with a bunch of disappointing data, you're looking for some good news to hold on to."

The manufacturing report from the Philadelphia branch of the Federal Reserve sent bond prices up and turned stocks lower in morning trading. The stock market recovered before noon, then spent most of the day with slight gains until shortly after 3 p.m.

That's when news crossed that John Williams, head of the Federal Reserve's San Francisco branch, told an audience that the Fed could end its bond-buying program this year. But Williams' comments made clear that the Fed would only curtail its stimulus effort when the economy looked strong enough.

Cisco jumped 13 percent, or $2.68, to $23.89. The network-equipment maker turned in quarterly results late Wednesday that beat analysts' expectations, with the help of better revenue from the U.S. and emerging markets. Cisco's performance is often considered a gauge of the technology industry's strength, and tech stocks fared better than the rest of the market Thursday. Technology was the only one of the 10 industry groups in the S&P 500 index to close higher.

The Nasdaq composite index lost 6.37 points to 3,465.24, a drop of 0.2 percent.

The yield on the 10-year Treasury note dropped to 1.88 percent from 1.94 percent late Wednesday. It's a sign that traders are shifting money into lower-risk investments like U.S. government debt.

The NYSE DOW closed LOWER ▼ -42.47 points or ▼ -0.28% Thursday, 16 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,233.22 ▼ -42.47 ▼ -0.28%
Nasdaq___ 3,465.24 ▼ -6.37 ▼ -0.18%
S&P_500__ 1,650.47 ▼ -8.31 ▼ -0.50%
30_Yr_Bond 3.086 ▼ -0.07 ▼ -2.31%

NYSE Volume 3,773,931,000
Nasdaq Volume 1,954,011,500

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,687.80 ▼ -5.75 ▼ -0.09%
DAX_____ 8,369.87 ▲ 7.45 ▲ 0.09%
CAC_40__ 3,979.07 ▼ -3.16 ▼ -0.08%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,144.20 ▼ -29.10 ▼ -0.56%
Shanghai_Comp 2,251.81 ▲ 27.01 ▲ 1.21%
Taiwan_Weight 8,390.05 ▲ 71.46 ▲ 0.86%
Nikkei_225____ 15,037.24 ▼ -58.79 ▼ -0.39%
Hang_Seng____ 23,082.68 ▲ 38.44 ▲ 0.17%
Strait_Times___ 3,452.28 ▲ 10.75 ▲ 0.31%
NZX_50_Index__ 4,636.03 ▼ -10.30 ▼ -0.22%

http://finance.yahoo.com/news/fade-wall-street-wal-mart-201734288.html

A late fade on Wall Street; Wal-Mart, Disney slump

Wall Street closes lower after a muddled day of trading; Wal-Mart slides on weak sales

By Matthew Craft, AP Business Writer

Signs of a slowing economy combined with comments from a Federal Reserve official helped pull the stock market down Thursday.

The news on the U.S. economy gave investors little to get excited about. Applications for unemployment benefits rose last week and manufacturing slowed in the mid-Atlantic region. Wal-Mart Stores sank after warning of weaker earnings ahead.

The Dow Jones industrial average fell 42.47 points to 15,233.22, a loss of 0.3 percent. The Standard & Poor's 500 index dropped 8.31 points to 1,650.47, or 0.5 percent. Both indexes closed at record highs the day before. It was only the third drop for the S&P this month.

"We've had such a tremendous run," said J. J. Kinahan, chief strategist at TD Ameritrade. "On a day with a bunch of disappointing data, you're looking for some good news to hold on to."

The manufacturing report from the Philadelphia branch of the Federal Reserve sent bond prices up and turned stocks lower in morning trading. The stock market recovered before noon, then spent most of the day with slight gains until shortly after 3 p.m.

That's when news crossed that John Williams, head of the Federal Reserve's San Francisco branch, told an audience that the Fed could end its bond-buying program this year. But Williams' comments made clear that the Fed would only curtail its stimulus effort when the economy looked strong enough.

Cisco jumped 13 percent, or $2.68, to $23.89. The network-equipment maker turned in quarterly results late Wednesday that beat analysts' expectations, with the help of better revenue from the U.S. and emerging markets. Cisco's performance is often considered a gauge of the technology industry's strength, and tech stocks fared better than the rest of the market Thursday. Technology was the only one of the 10 industry groups in the S&P 500 index to close higher.

The Nasdaq composite index lost 6.37 points to 3,465.24, a drop of 0.2 percent.

Wal-Mart fell 2 percent. The world's largest retailer turned in weaker sales and a dim forecast for profits. The company blamed bad weather and delayed tax refunds for earnings and sales that fell short of what analysts had expected. Wal-Mart's stock lost $1.36 to $78.50.

Companies have reported record quarterly profits this earnings season. Seven of every 10 in the S&P 500 have trumped analysts' earnings estimates, according to S&P Capital IQ. Earnings have climbed 5 percent over the year before.

But revenue has looked weak: six out of every 10 companies in the S&P 500 have missed forecasts, and revenue has edged up just 1 percent. Without higher sales, companies are getting more of their profits from laying off staff and other cost-cutting moves.

Scott King, an investment adviser at Unified Trust Co. in Lexington, Ky., said that if the market is going to keep climbing this year, sales will have to start rising. Analysts are looking for that to happen as economic growth gains strength later this year.

"It's hard to see how companies can squeeze more earnings growth out of cost savings," King said. "At some point, the economic numbers and revenue have to pick up."

The Philadelphia branch of the Federal Reserve reported that manufacturers in the region said business conditions slumped this month. Orders for manufactured goods and shipments have been weak.

In Washington, the Labor Department reported that the number of Americans seeking unemployment benefits rose last week to 360,000. That suggests companies are laying more people off, just one week after applications for benefits hit a five-year low.

The yield on the 10-year Treasury note dropped to 1.88 percent from 1.94 percent late Wednesday. It's a sign that traders are shifting money into lower-risk investments like U.S. government debt.

Gold prices fell slightly and the price of crude oil edged higher. Gold fell $9.30 to $1,386.90 an ounce. Crude oil rose 86 cents to $95.16 a barrel in New York.

 

[bigdog]

Source: http://finance.yahoo.com

Encouraging news about the U.S. economy extended the stock market's rally Friday.

Small-company stocks rose the most, a sign that investors are taking on more risk. Two companies soared in their stock-market debuts in the latest indication that the market for initial public offerings is reviving.

A gauge of future economic activity rose more than analysts had expected, as did a measure of consumer confidence, adding to evidence that the economy is steadily recovering.

Stocks closed higher for a fourth straight week. Indexes are at record levels after surging this year on optimism about the economy and record corporate earnings. The market is also being supported by ongoing stimulus from the Federal Reserve, which is keeping long-term borrowing costs at historically low levels.

"This slow but relatively steady growth, that keeps inflation in check and keeps interest rates low, is actually a pretty healthy environment for the stock market," said Liz Ann Sonders, chief investment strategist at Charles Schwab & Co. "Right now we are very optimistic."

General Motors rose $1.03, or 3.2 percent, to $33.42. The automaker's stock is trading above the $33 price of its November, 2010 initial public offering for the first time in two years.

Northrop Grumman gained $3.17, or 3.2 percent, to $82.19 after the defense contractor said its board approved the repurchase of another $4 billion in stock, and that it plans to buy back a quarter of its outstanding shares by the end of 2015.

The Dow Jones industrial average rose 121.18 points, or 0.8 percent, to 15,354.40. The index gained 1.6 percent for the week and is up 17.2 percent for the year.

The index started higher, then drifted through the rest of the morning. The index added to its gains in the afternoon, climbing about 70 points in the last two hours of the day.

The Standard & Poor' 500 index rose 15.65 points, or 1 percent, to 1,666.12. The gauge is up 2 percent this week and has gained 16.8 percent this year.

After some lackluster reports on the economy Thursday, including slowing manufacturing and an increase in applications for unemployment benefits, Friday's reports were a tonic for investors.

The Conference Board said its index of leading economic indicators rose 0.6 percent last month after a revised decline of 0.2 percent in March. The index is intended to predict how the economy will be doing in three to six months.

The University of Michigan's preliminary survey of consumer confidence climbed to 83.7. Economists had predicted that the gauge would climb to 76.8.

The strength of the rally in stocks has taken many by surprise, leaving investors waiting for a drop in prices to get into the market, said Jim Anderson, an investment specialist at JPMorgan. The S&P 500 index hasn't fallen for two consecutive days in a month.

The NYSE DOW closed HIGHER ▲ 121.18 points or ▲ 0.80% Friday, 17 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,354.40 ▲ 121.18 ▲ 0.80%
Nasdaq___ 3,498.97 ▲ 33.72 ▲ 0.97%
S&P_500__ 1,667.47 ▲ 17.00 ▲ 1.03%
30_Yr_Bond 3.160 ▲ 0.08 ▲ 2.56%

NYSE Volume 3,759,206,750
Nasdaq Volume 1,827,356,500

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,723.06 ▲ 35.26 ▲ 0.53%
DAX_____ 8,398.00 ▲ 28.13 ▲ 0.34%
CAC_40__ 4,001.27 ▲ 22.20 ▲ 0.56%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,159.80 ▲ 15.60 ▲ 0.30%
Shanghai_Comp 2,282.87 ▲ 31.06 ▲ 1.38%
Taiwan_Weight 8,368.19 ▼ -21.86 ▼ -0.26%
Nikkei_225____ 15,138.12 ▲ 100.88 ▲ 0.67%
Hang_Seng____ 23,082.68 ▲ 38.44 ▲ 0.17%
Strait_Times___ 3,449.30 ▼ -2.98 ▼ -0.09%
NZX_50_Index__ 4,597.84 ▼ -38.19 ▼ -0.82%

http://finance.yahoo.com/news/stock...;_ylg=X3oDMTBhYWM1a2sxBGxhbmcDZW4tVVM-;_ylv=3

Stocks rise on hopeful signs for the US economy

US stocks rise on hopeful signs for the US economy, including a jump in consumer confidence

By Steve Rothwell, AP Market Writer

Encouraging news about the U.S. economy extended the stock market's rally Friday.

Small-company stocks rose the most, a sign that investors are taking on more risk. Two companies soared in their stock-market debuts in the latest indication that the market for initial public offerings is reviving.

A gauge of future economic activity rose more than analysts had expected, as did a measure of consumer confidence, adding to evidence that the economy is steadily recovering.

Stocks closed higher for a fourth straight week. Indexes are at record levels after surging this year on optimism about the economy and record corporate earnings. The market is also being supported by ongoing stimulus from the Federal Reserve, which is keeping long-term borrowing costs at historically low levels.

"This slow but relatively steady growth, that keeps inflation in check and keeps interest rates low, is actually a pretty healthy environment for the stock market," said Liz Ann Sonders, chief investment strategist at Charles Schwab & Co. "Right now we are very optimistic."

General Motors rose $1.03, or 3.2 percent, to $33.42. The automaker's stock is trading above the $33 price of its November, 2010 initial public offering for the first time in two years.

Northrop Grumman gained $3.17, or 3.2 percent, to $82.19 after the defense contractor said its board approved the repurchase of another $4 billion in stock, and that it plans to buy back a quarter of its outstanding shares by the end of 2015.

The Dow Jones industrial average rose 121.18 points, or 0.8 percent, to 15,354.40. The index gained 1.6 percent for the week and is up 17.2 percent for the year.

The index started higher, then drifted through the rest of the morning. The index added to its gains in the afternoon, climbing about 70 points in the last two hours of the day.

The Standard & Poor' 500 index rose 15.65 points, or 1 percent, to 1,666.12. The gauge is up 2 percent this week and has gained 16.8 percent this year.

After some lackluster reports on the economy Thursday, including slowing manufacturing and an increase in applications for unemployment benefits, Friday's reports were a tonic for investors.

The Conference Board said its index of leading economic indicators rose 0.6 percent last month after a revised decline of 0.2 percent in March. The index is intended to predict how the economy will be doing in three to six months.

The University of Michigan's preliminary survey of consumer confidence climbed to 83.7. Economists had predicted that the gauge would climb to 76.8.

The strength of the rally in stocks has taken many by surprise, leaving investors waiting for a drop in prices to get into the market, said Jim Anderson, an investment specialist at JPMorgan. The S&P 500 index hasn't fallen for two consecutive days in a month.

"Everyone is waiting for a pullback," Anderson said. "Every client asks me, 'When are we getting a pullback?' With so many people waiting for it, and pouncing on it when it arrives, it's over so quickly."

As well as giving stocks a lift, the positive economic reports also pushed government bond yields higher. The yield on the 10-year Treasury rose to 1.96 percent from 1.88 percent Thursday as investors favored riskier assets.

The yield, which moves inversely to its prices, has jumped since May 3 after the government reported that hiring picked up sharply in April. The note started trading that day at 1.63 percent, its low for the year.

The move to riskier assets also gave small stocks a lift. The Russell 2000, an index of smaller companies, rose 10.94 points, or 1.1 percent, to 996.28. The index has surged this month and is performing better than both the Dow and the S&P 500 for the year. It's up 17.3 percent so far in 2013.

Small stocks are doing well partly because they are more focused on the U.S., which is recovering, and don't rely as much on sales from recession-plagued Europe, as larger companies do.

Gold fell for a seventh straight day, dropping $22.20, or 1.6 percent, to $1,364 an ounce. The precious metal is down almost 20 percent this year and has fallen out of favor as an alternative investment as the stock market has surged this year.

The demand for gold as an alternative asset is also being undermined by a recent surge in the U.S. dollar. The U.S. currency advanced against both the euro and the yen Friday. The ICE dollar index, which measures the strength of the U.S. currency against a group of six currencies, is at its highest in two years.

The price of oil rose 86 cents, or 0.9 percent, to $96.02 a barrel.

The Nasdaq composite climbed 33.72 points, or 1 percent, to 3,498. The technology-heavy stock index got a small boost from Facebook, which climbed 12 cents, or 0.5 percent, to $26.25 on the one-year anniversary of its initial public offering.

Facebook slumped in the first four months after its market debut on concern that it wasn't doing enough to develop mobile advertising. Despite recovering since then, it's still trading below its IPO price of $38.

Two software companies had more success in their stock market debuts on Friday. Marketo surged $10.10, or 77.7 percent, to $23.10 on its stock market debut. Tableau software rose $19.75, or 63.7 percent, to $50.75 on its first day of trading.

The standout performance made the two companies the two best performing IPOs of the year. So far, 22 companies have prices stock sales in May, making this the biggest month for stock market debuts since November 2007, according to Renaissance Capital.

Among other stocks making big moves;

”” J.C. Penney fell 78 cents, or 4.2 percent, to $18.01 after the retailer reported a loss that was worse than analysts' already dismal estimates. The retailer is reeling from the fallout from a failed turnaround plan orchestrated by its former CEO Ron Johnson, who was ousted last month after less than a year and a half on the job.

”” Autodesk fell $2.67, or 6.7 percent, to $37.11, after the design software company posted disappointing first-quarter results and lowered its forecasts for the year.

1776

 

[bigdog]

Source: http://finance.yahoo.com

Small-company stocks were a bright spot in a subdued start to the week for Wall Street.

The Russell 2000, an index of small-company stocks, climbed above 1,000 points for the first time and ended higher Monday, even as the Dow Jones industrial average, the Standard & Poor's 500 index and the Nasdaq composite index all edged lower.

The gains for the smaller companies are encouraging for the broader stock market because they show that investors are becoming more comfortable about the economy and investing in riskier assets, said Rob Lutts, Chief Investment Officer at Cabot Money Management.

Small-company stocks are considered riskier than the stocks of well-established, large companies like IBM or Coca-Cola. That's because small companies are often relatively young and tend to have less diversified businesses than larger ones, making them more susceptible to swings in demand from their customers. There are also fewer buyers and sellers for them, which can make the stocks harder to off-load if prices start to fall.

"Having smaller stocks hit new highs means that the rally is broad," Lutts said. "It gives us a little more confidence that it's a good, sustainable rally that can hold together for a while."

The better-known market barometers, the Dow and the S&P 500 indexes, fluctuated between small gains and losses for most of Monday. They ended slightly below the record levels they reached Friday.

The Russell 2000 rose 1.70 points, or 0.2 percent, higher at 997.98. The index climbed as high as 1001.50 at midday.

The index currently consists of 2,008 of the smallest stocks of the U.S. equity market and the average company having a stock market value of about $1.5 billion.

Sunpower Corp., a manufacturer of solar panels, has led gains for the index this year, climbing $17.08, or 304 percent, to $22.70. Keryx Biopharmaceuticals is the second-biggest climber in the index, rising $5.32, or 203 percent, $7.94.

The Dow closed down 19.12 points, or 0.1 percent, at 15,335.28, paring its gain for the year to 17 percent. The S&P 500 index fell 1.18 points, or 0.1 percent, to 1,666.29. Its advance for the year now stands at 16.8 percent.

Investors are focusing on the Federal Reserve this week and looking for clues about what it plans to do next with its economic stimulus program. On Wednesday Fed Chairman Ben Bernanke will appear before Congress and the central bank will release minutes of its most recent policy meeting.

The NYSE DOW closed LOWER ▼ -19.12 points or ▼ -0.12% Monday, 20 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,335.28 ▼ -19.12 ▼ -0.12%
Nasdaq___ 3,496.43 ▼ -2.53 ▼ -0.07%
S&P_500__ 1,666.29 ▼ -1.18 ▼ -0.07%
30_Yr_Bond 3.174 ▲ 0.01 ▲ 0.28%

NYSE Volume 3,571,335,250
Nasdaq Volume 1,716,683,380

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,755.63 ▲ 67.83 ▲ 1.01%
DAX_____ 8,455.83 ▲ 57.83 ▲ 0.69%
CAC_40__ 4,022.85 ▲ 21.58 ▲ 0.54%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,185.40 ▲ 25.60 ▲ 0.50%
Shanghai_Comp 2,299.99 ▲ 17.12 ▲ 0.75%
Taiwan_Weight 8,377.05 ▲ 8.86 ▲ 0.11%
Nikkei_225____ 15,360.81 ▲ 222.69 ▲ 1.47%
Hang_Seng____ 23,493.03 ▲ 410.35 ▲ 1.78%
Strait_Times___ 3,454.08 ▲ 4.78 ▲ 0.14%
NZX_50_Index__ 4,598.65 ▲ 0.81 ▲ 0.02%

http://finance.yahoo.com/news/small-company-stock-bright-spot-215314674.html

Small company stock are a bright spot

Small company stocks are a bright spot as Russell 2000 index climbs above 1,000 for first time

By Steve Rothwell, AP Markets Write

Small-company stocks were a bright spot in a subdued start to the week for Wall Street.

The Russell 2000, an index of small-company stocks, climbed above 1,000 points for the first time and ended higher Monday, even as the Dow Jones industrial average, the Standard & Poor's 500 index and the Nasdaq composite index all edged lower.

The gains for the smaller companies are encouraging for the broader stock market because they show that investors are becoming more comfortable about the economy and investing in riskier assets, said Rob Lutts, Chief Investment Officer at Cabot Money Management.

Small-company stocks are considered riskier than the stocks of well-established, large companies like IBM or Coca-Cola. That's because small companies are often relatively young and tend to have less diversified businesses than larger ones, making them more susceptible to swings in demand from their customers. There are also fewer buyers and sellers for them, which can make the stocks harder to off-load if prices start to fall.

"Having smaller stocks hit new highs means that the rally is broad," Lutts said. "It gives us a little more confidence that it's a good, sustainable rally that can hold together for a while."

The better-known market barometers, the Dow and the S&P 500 indexes, fluctuated between small gains and losses for most of Monday. They ended slightly below the record levels they reached Friday.

The Russell 2000 rose 1.70 points, or 0.2 percent, higher at 997.98. The index climbed as high as 1001.50 at midday.

The index currently consists of 2,008 of the smallest stocks of the U.S. equity market and the average company having a stock market value of about $1.5 billion.

Sunpower Corp., a manufacturer of solar panels, has led gains for the index this year, climbing $17.08, or 304 percent, to $22.70. Keryx Biopharmaceuticals is the second-biggest climber in the index, rising $5.32, or 203 percent, $7.94.

The Dow closed down 19.12 points, or 0.1 percent, at 15,335.28, paring its gain for the year to 17 percent. The S&P 500 index fell 1.18 points, or 0.1 percent, to 1,666.29. Its advance for the year now stands at 16.8 percent.

Investors are focusing on the Federal Reserve this week and looking for clues about what it plans to do next with its economic stimulus program. On Wednesday Fed Chairman Ben Bernanke will appear before Congress and the central bank will release minutes of its most recent policy meeting.

The Fed is buying $85 billion of bonds every month to keep long-term interest rates low. That has encouraged investors to put money into stocks instead of bonds. The yield on the 10-year Treasury note has been below 2 percent almost continually since April 12. That's less than many large companies pay in dividends.

Policy makers are unlikely to cut back on stimulus just yet since U.S. economic growth is likely to slow in the second quarter, said Scott Wren, a senior equity strategist at Wells Fargo Advisors. As a consequence, Wren said, stocks are likely to continue to rise.

"At some point, we will see some sort of a pullback, but it doesn't seem like it's going to be right now," said Wren. "In the near term we're probably going to trade a little bit higher."

The stock market rally is also is being underpinned by investors moving back into stocks, reversing years of outflows of funds from equity markets, said Jerry Braakman, chief investment officer at First American Trust.

Investors have invested about net $17 billion into domestic stock mutual funds since the start of the year, according to data from the Investment Company Institute. Investors have pulled money out of mutual funds every year since the beginning of the financial crisis in 2007.

"This market rally still has legs, partly because we've seen huge retail inflows back into equities," Braakman said. "It's hard to beat the money flow."

In commodities trading, the price of crude oil rose 69 cents, or 0.7 percent, to $96.71 a barrel.

The price of gold rose for the first day in eight as the dollar fell. The precious metal climbed $19.40, or 1.4 percent, to $1,384. Gold has slumped this month as its attraction as an alternative investment fades as the dollar appreciates.

The U.S. currency is strengthening because investors believe the U.S. economy is in better shape than the Japanese or European economies.

The dollar's rally paused on Monday, though, and the U.S. currency fell against the euro and the yen. The dollar index also dropped, after climbing to its highest level in close to three years Friday.

In U.S. government bond trading, the yield on the 10-year Treasury note rose to 1.97 percent from 1.93 percent.

The Nasdaq composite index fell 2.53 points, or 0.1 percent, to 3,496.43 points.

Among stocks in focus on Monday:

”” Actavis rose $1.65, or 1.3 percent, to $127.15 after the pharmaceutical company said it's buying Warner Chilcott. The all-stock deal, valued at $8.5 billion, would create the third-biggest specialty pharmaceutical company in the U.S.

”” Chesapeake Energy rose 53 cents, or 2.6 percent, to $20.80 after the natural gas producer named Anadarko Petroleum executive Robert Douglas Lawler as its new CEO. He takes over as Chesapeake continues selling assets to pare down an enormous debt burden.

””Websense, an internet security firm, surged $5.53, or 29 percent, to $24.76 after the company agreed to be taken private for $906 million by private equity firm Vista Equity Partners.

 

[bigdog]

Source: http://finance.yahoo.com

Reassuring comments from a Federal Reserve official and better earnings from two big retailers helped push the stock market higher Tuesday.

Stock indexes wobbled between gains and losses in early trading, then took a turn higher just before noon. That's when news crossed that James Bullard, head of the Fed's St. Louis branch, told an audience in Germany that the Fed ought to stick with its bond-buying effort to bolster the economic recovery.

"Those words were a salve for investors' nerves," said Lawrence Creatura, a fund manager at Federated Investors. Other Fed officials have recently talked about scaling back the program. "There's a lot of uncertainty surrounding this issue. And uncertainty and investors aren't always a happy match."

The Dow Jones industrial average rose 52.30 points to 15,387.58, a gain of 0.3 percent.

The Standard & Poor's 500 index edged up 2.87 points to 1,669.16, a slight increase of 0.2 percent. Both the Dow and the S&P are at record highs.

Many investors were already looking ahead to Wednesday, when the Federal Reserve will release minutes from its most recent policy meeting and Chairman Ben Bernanke will go before Congress to discuss his outlook for the U.S. economy.

"I think a lot of people are sitting on their hands waiting to see what the Fed says tomorrow," said Michael Binger, senior portfolio manager at Gradient Investments in Minneapolis, Minn.

Binger said some investors believe the Fed's support is the main reason the stock market has soared to all-time highs. If the Fed pulls back, they reason, the market's epic rally would come to an end.

In other trading, the Nasdaq composite rose 5.69 points to 3,502.12, a 0.2 percent gain.

The NYSE DOW closed HIGHER ▲ 52.30 points or ▲ 0.34% Tuesday, 21 May 2013
Symbol …........Last ......Change.....
Dow_Jones 15,387.58 ▲ 52.30 ▲ 0.34%
Nasdaq___ 3,502.12 ▲ 5.69 ▲ 0.16%
S&P_500__ 1,669.16 ▲ 2.87 ▲ 0.17%
30_Yr_Bond 3.149 ▼ -0.03 ▼ -0.79%

NYSE Volume 3,823,181,500
Nasdaq Volume 1,747,761,000

Europe
Symbol... .....Last ….....Change.......
FTSE_100 6,803.87 ▲ 48.24 ▲ 0.71%
DAX_____ 8,472.20 ▲ 16.37 ▲ 0.19%
CAC_40__ 4,036.18 ▲ 13.33 ▲ 0.33%

Asia Pacific
Symbol...... ….....Last .....Change…......
ASX_All_Ord__ 5,156.20 ▼ -29.20 ▼ -0.56%
Shanghai_Comp 2,305.11 ▲ 5.13 ▲ 0.22%
Taiwan_Weight 8,383.05 ▲ 6.00 ▲ 0.07%
Nikkei_225____ 15,381.02 ▲ 20.21 ▲ 0.13%
Hang_Seng____ 23,366.37 ▼ -126.66 ▼ -0.54%
Strait_Times___ 3,443.90 ▼ -10.33 ▼ -0.30%
NZX_50_Index__ 4,590.84 ▼ -7.82 ▼ -0.17%

http://finance.yahoo.com/news/stocks-gain-reassurance-top-fed-205339678.html

Stocks gain on reassurance from a top Fed official

Stocks turn higher after reassuring words from Fed official; Home Depot gains after earnings

By Matthew Craft, AP Business Writer

Reassuring comments from a Federal Reserve official and better earnings from two big retailers helped push the stock market higher Tuesday.

Stock indexes wobbled between gains and losses in early trading, then took a turn higher just before noon. That's when news crossed that James Bullard, head of the Fed's St. Louis branch, told an audience in Germany that the Fed ought to stick with its bond-buying effort to bolster the economic recovery.

"Those words were a salve for investors' nerves," said Lawrence Creatura, a fund manager at Federated Investors. Other Fed officials have recently talked about scaling back the program. "There's a lot of uncertainty surrounding this issue. And uncertainty and investors aren't always a happy match."

The Dow Jones industrial average rose 52.30 points to 15,387.58, a gain of 0.3 percent.

The Standard & Poor's 500 index edged up 2.87 points to 1,669.16, a slight increase of 0.2 percent. Both the Dow and the S&P are at record highs.

Many investors were already looking ahead to Wednesday, when the Federal Reserve will release minutes from its most recent policy meeting and Chairman Ben Bernanke will go before Congress to discuss his outlook for the U.S. economy.

"I think a lot of people are sitting on their hands waiting to see what the Fed says tomorrow," said Michael Binger, senior portfolio manager at Gradient Investments in Minneapolis, Minn.

Binger said some investors believe the Fed's support is the main reason the stock market has soared to all-time highs. If the Fed pulls back, they reason, the market's epic rally would come to an end.

In other trading, the Nasdaq composite rose 5.69 points to 3,502.12, a 0.2 percent gain.

J.P. Morgan Chase & Co. gained 1.4 percent. Shareholders of the country's biggest bank voted to allow Jamie Dimon to keep his two titles, CEO and chairman of the board. Groups had pushed to split the two jobs, a drive that gained momentum from a multi-billion trading loss last year. The bank's stock rose 73 cents to $53.02.

Home Depot surged 2.5 percent. The retailer reported an 18 percent increase in quarterly income as the housing market continued to recover. Home Depot rose $1.95 to $78.71.

Among other companies posting quarterly results, AutoZone jumped 5 percent. Better sales and shrinking costs helped the auto-parts company beat analysts' earnings forecasts. AutoZone leapt $18.79 to $427.84.

It has been another solid earnings season for big companies, with corporate profits hitting all-time highs even as revenue barely rises.

Seven of every 10 companies in the S&P 500 have trumped Wall Street's earnings forecasts, according to S&P Capital IQ. First-quarter earnings are on track to climb 5 percent over the year before. Revenue is expected to rise just 1 percent.

In the market for U.S. government bonds, the yield on the 10-year Treasury note slipped to 1.93 percent from 1.96 percent late Monday.

In commodities trading, crude oil sank 55 cents to settle at $96.16 a barrel.

The price of gold fell $6.50 to $1,377.60 an ounce, extending a slump that has knocked gold down 18 percent this year. Tame inflation, a stronger dollar and a surging stock market have undermined gold's appeal.

Among other companies in the news:

”” Carnival Corp slumped 4 percent. The cruise-ship operator cut its earnings forecast for the year late Monday as it wrestles with the fallout from high-profile incidents, which left passengers stranded at sea. Carnival's stock lost $1.51 to $33.81.

”” Best Buy dropped 4 percent after reporting a quarterly loss and sales that fell short of the forecasts of financial analysts who follow the company. Its stock lost $1.17 to $25.64.

”” TiVo gained 2 percent, or 26 cents, to $12.92. The digital video recording company narrowed its quarterly loss with the help of higher sales from more subscribers.