Portfolio Crafter
10-11-2007, 02:05 AM
End of Day Market Summary - Wednesday, October 10, 2007
by Portfolio Crafter (http://www.wealthpire.com/cmd.php?Clk=1838416)
Stocks gave back a chunk of Tuesday's record gains, pressured by news that Boeing will delay deliveries of its Dreamliner jet and a report that Alcoa fell short of its earnings estimates. However, the Nasdaq managed to rise, ending at its highest level in more than six years. The Dow Jones industrial average closed down 85.84 or 0.61% to 14,078.69, the broader S&P 500 closed down 2.68 or 0.17% to 1,562.47, and the tech-fueled Nasdaq composite closed up 7.70 or 0.27% to 2,811.61. Market breadth was negative. On the New York Stock Exchange, losers beat winners by a narrow margin on volume of 1.2 billion shares. On the Nasdaq, decliners beat advancers 8 to 7 on volume of 1.96 billion shares.
The beginning of missed earnings and profit warnings set the tone of the market. A setback for Boeing in delivering its 787 Dreamliner planes added to the weakness, as did news that auto workers went on strike against Chrysler. In economic news, a report showed that August wholesale inventories rose a smaller-than-expected 0.1% after rising 0.2% in the previous month.
Shares of Boeing closed down $2.77 or 2.73% to $98.68, after stating that it was delaying the delivery of its first 787 Dreamliner planes by six months, due to assembly problems. While this will not hit 2007 and 2008 earnings, investors were not pleased. The 787, Boeing's first all-new jet since airlines started flying the 777 in 1995, will be the world's first large commercial airplane made mostly of carbon-fiber composites, which are lighter, more durable and less prone to corrosion than aluminum.
Stock of Alcoa closed down $0.99 or 2.49% to $38.73, despite having an EPS of 2 cents more than last year. This however, fell short of expectations. The company earned $555 million, compared to $537 million in the third quarter a year ago. Revenue reached $7.4 billion for the quarter, meeting expectations but falling short of the $7.6 billion reported in the year-ago quarter.
Shares of Valero Energy closed up $2.06 or 2.85% to $74.25, and that of Chevron closed down $0.72 or 0.78% to $92.08, after warning that quarterly results will be hurt because the companies earned less from the refineries that fuel gas pumps.
U.S. light crude oil for November delivery rose $1.04 to settle at $81.30 a barrel on the New York Mercantile Exchange.
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by Portfolio Crafter (http://www.wealthpire.com/cmd.php?Clk=1838416)
Stocks gave back a chunk of Tuesday's record gains, pressured by news that Boeing will delay deliveries of its Dreamliner jet and a report that Alcoa fell short of its earnings estimates. However, the Nasdaq managed to rise, ending at its highest level in more than six years. The Dow Jones industrial average closed down 85.84 or 0.61% to 14,078.69, the broader S&P 500 closed down 2.68 or 0.17% to 1,562.47, and the tech-fueled Nasdaq composite closed up 7.70 or 0.27% to 2,811.61. Market breadth was negative. On the New York Stock Exchange, losers beat winners by a narrow margin on volume of 1.2 billion shares. On the Nasdaq, decliners beat advancers 8 to 7 on volume of 1.96 billion shares.
The beginning of missed earnings and profit warnings set the tone of the market. A setback for Boeing in delivering its 787 Dreamliner planes added to the weakness, as did news that auto workers went on strike against Chrysler. In economic news, a report showed that August wholesale inventories rose a smaller-than-expected 0.1% after rising 0.2% in the previous month.
Shares of Boeing closed down $2.77 or 2.73% to $98.68, after stating that it was delaying the delivery of its first 787 Dreamliner planes by six months, due to assembly problems. While this will not hit 2007 and 2008 earnings, investors were not pleased. The 787, Boeing's first all-new jet since airlines started flying the 777 in 1995, will be the world's first large commercial airplane made mostly of carbon-fiber composites, which are lighter, more durable and less prone to corrosion than aluminum.
Stock of Alcoa closed down $0.99 or 2.49% to $38.73, despite having an EPS of 2 cents more than last year. This however, fell short of expectations. The company earned $555 million, compared to $537 million in the third quarter a year ago. Revenue reached $7.4 billion for the quarter, meeting expectations but falling short of the $7.6 billion reported in the year-ago quarter.
Shares of Valero Energy closed up $2.06 or 2.85% to $74.25, and that of Chevron closed down $0.72 or 0.78% to $92.08, after warning that quarterly results will be hurt because the companies earned less from the refineries that fuel gas pumps.
U.S. light crude oil for November delivery rose $1.04 to settle at $81.30 a barrel on the New York Mercantile Exchange.
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