Portfolio Crafter
10-10-2007, 02:24 AM
End of Day Market Summary - Tuesday, October 9, 2007
by Portfolio Crafter (http://www.wealthpire.com/cmd.php?Clk=1838416)
Stocks rallied with the Dow Jones Industrial Average and the S&P 500 both closing at new highs, after the minutes from the last Fed meeting showed the bankers were unanimous in their decision to cut interest rates - and that they would be willing to cut rates further, if needed. The Dow Jones industrial average closed up 120.80 or 0.86% to 14,164.53, the broader S&P 500 closed up 12.57 or 0.81% to 1,565.15, and the tech-fueled Nasdaq composite closed up 16.54 or 0.59% to 2,803.71. Market breadth was mixed. On the New York Stock Exchange, advancing stocks outpaced declining issues more than 2 to 1 on volume of 1.2 billion shares. On the Nasdaq, decliners beat advancers four to three on volume of 1.9 billion shares.
The minutes of the Central Bankers meeting showed that the decision to cut the fed funds rate by a half-percentage point cut was unanimous, with the central bank worried the housing implosion and credit market crunch could hit consumers and the broader economy. They were a bit more confident about a sustained inflation drop, provided that the dollar doesn't keep falling. The minutes seemed to provide the evidence that the Fed will cut the fed funds rate by at least another quarter-percentage point, perhaps at the next policy meeting, which ends on Oct. 31.
Shares of YUM Brands closed up $1.82 or 5.02% to $38.11, on reporting that third-quarter profit rose 17% on the strength of surging sales in its international and China divisions that offset sluggishness in the United States. Net income rose to $270 million, from $230 million in the same quarter a year ago. Its revenue rose 13% to $2.56 billion from $2.28 billion in 2006.
Shares of Sprint Nextel closed down $0.22 or 1.19% to $18.28, on stating that CEO Gary Forsee will resign, effective immediately, and that the company's fiscal 2007 revenue will miss earlier forecasts. It expects operating revenue for 2007 to come slightly below its prior targeted range of $41 billion to $42 billion.
Stock of Google closed up $5.57 or 0.91% to $615.19, after Lehman Brothers raised its price target on Google to $714 a share. The stock passed the $600 mark Monday for the first time since its IPO in August of 2004.
The makers of Coors and Miller Lite plan to combine their U.S. brewing operations in an effort to compete better against industry leader Anheuser-Busch. Shares of Molson Coors Brewing closed up $5.32 or 10.47% to $56.15, and that of Anheuser-Busch closed down $0.46 or 0.88% to $51.57. The joint venture will be known as MillerCoors. SABMiller will have a 58% economic interest in the venture and MolsonCoors Brewing will own 42% of the new company.
Stock of Sallie Mae closed down $0.71 or 1.44% to $48.50, after filing a lawsuit that seeks to force its private equity buyers to either follow through on the proposed $25 billion deal or pay a $900 million breakup fee. Its potential buyers gave it until Tuesday to consider their reduced buyout offer in light of what they said was "the new economic and legislative environment that faces the company."
U.S. light crude oil for November delivery rose $1.24 to $80.26 a barrel on the New York Mercantile Exchange after slumping $2.20 in the previous session.
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by Portfolio Crafter (http://www.wealthpire.com/cmd.php?Clk=1838416)
Stocks rallied with the Dow Jones Industrial Average and the S&P 500 both closing at new highs, after the minutes from the last Fed meeting showed the bankers were unanimous in their decision to cut interest rates - and that they would be willing to cut rates further, if needed. The Dow Jones industrial average closed up 120.80 or 0.86% to 14,164.53, the broader S&P 500 closed up 12.57 or 0.81% to 1,565.15, and the tech-fueled Nasdaq composite closed up 16.54 or 0.59% to 2,803.71. Market breadth was mixed. On the New York Stock Exchange, advancing stocks outpaced declining issues more than 2 to 1 on volume of 1.2 billion shares. On the Nasdaq, decliners beat advancers four to three on volume of 1.9 billion shares.
The minutes of the Central Bankers meeting showed that the decision to cut the fed funds rate by a half-percentage point cut was unanimous, with the central bank worried the housing implosion and credit market crunch could hit consumers and the broader economy. They were a bit more confident about a sustained inflation drop, provided that the dollar doesn't keep falling. The minutes seemed to provide the evidence that the Fed will cut the fed funds rate by at least another quarter-percentage point, perhaps at the next policy meeting, which ends on Oct. 31.
Shares of YUM Brands closed up $1.82 or 5.02% to $38.11, on reporting that third-quarter profit rose 17% on the strength of surging sales in its international and China divisions that offset sluggishness in the United States. Net income rose to $270 million, from $230 million in the same quarter a year ago. Its revenue rose 13% to $2.56 billion from $2.28 billion in 2006.
Shares of Sprint Nextel closed down $0.22 or 1.19% to $18.28, on stating that CEO Gary Forsee will resign, effective immediately, and that the company's fiscal 2007 revenue will miss earlier forecasts. It expects operating revenue for 2007 to come slightly below its prior targeted range of $41 billion to $42 billion.
Stock of Google closed up $5.57 or 0.91% to $615.19, after Lehman Brothers raised its price target on Google to $714 a share. The stock passed the $600 mark Monday for the first time since its IPO in August of 2004.
The makers of Coors and Miller Lite plan to combine their U.S. brewing operations in an effort to compete better against industry leader Anheuser-Busch. Shares of Molson Coors Brewing closed up $5.32 or 10.47% to $56.15, and that of Anheuser-Busch closed down $0.46 or 0.88% to $51.57. The joint venture will be known as MillerCoors. SABMiller will have a 58% economic interest in the venture and MolsonCoors Brewing will own 42% of the new company.
Stock of Sallie Mae closed down $0.71 or 1.44% to $48.50, after filing a lawsuit that seeks to force its private equity buyers to either follow through on the proposed $25 billion deal or pay a $900 million breakup fee. Its potential buyers gave it until Tuesday to consider their reduced buyout offer in light of what they said was "the new economic and legislative environment that faces the company."
U.S. light crude oil for November delivery rose $1.24 to $80.26 a barrel on the New York Mercantile Exchange after slumping $2.20 in the previous session.
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