Portfolio Crafter
10-12-2007, 02:58 AM
End of Day Market Summary - Thursday, October 11, 2007
by Portfolio Crafter (http://www.wealthpire.com/cmd.php?Clk=1838416)
Stocks saw a dramatic reversal to finish lower on with the Dow first sitting at record highs on a gain of over 100 points before plunging to a loss of over 100 points, with traders citing profit-taking in technology shares as the main culprit.
The Dow Jones industrial average closed down 63.57 or 0.45% to 14,015.12, the broader S&P 500 closed down 8.06 or 0.52% to 1,554.41, and the tech-fueled Nasdaq composite closed down 39.41 or 1.40% to 2,772.20. Market breadth turned negative. On the New York Stock Exchange, losers beat winners 5 to 3 on volume of 1.5 billion shares. On the Nasdaq, decliners topped advancers 5 to 2 on volume of 2.6 billion shares.
While Wal-Mart's improved earnings forecast tempered some worries about consumer spending, investors suddenly decided that they had gotten too extended on the upside and starting hitting some tech stocks pretty hard. Earnings in the third quarter are expected to have grown 1.4%, the worst quarterly growth figure in more than five years. The trade deficit fell to to a 7-month low, thanks to strong sales overseas and the impact of the weak dollar. Additionally, the number of mortgage delinquencies declined in September after hitting a 32-month high in August.
Stock of Boeing slipped $2.42 or 2.45% to $96.26, on news that it is delaying the delivery of its first 787 Dreamliner planes by six months, due to assembly problems. Boeing said the delay won't hit 2007 and 2008 earnings. The airplane maker has promised it will fly faster and farther than any other medium-sized jet, using 20% less fuel and offering increased cabin comfort.
Shares of Google closed down $3.39 or 0.54% to $622.00, after topping the $640 mark briefly to set a new record high after crossing the $600 mark earlier this week.
Stock of Wal-Mart closed up $1.31 or 2.87% to $46.90, after stating that it expects to earn 66 to 69 cents per share, up from a previous range of 62 to 65 cents. Investors sent the stock higher on bets that it means consumer spending will hold up OK, despite the housing market collapse.
Shares of GM closed up $1.86 or 4.88% to $39.99, after the United Auto Workers union said it has ratified a four-year contract that sets lower pay for some workers and puts GM's massive retiree health care debt into a UAW-run trust in exchange for promises of future work at U.S. plants.
Shares of PepsiCo closed down $1.83 or 2.49% to $71.77, despite reporting higher quarterly sales and earnings that topped estimates. Investors took a "sell the news" approach, sending shares lower.
U.S. light crude oil for November delivery climbed $1.78 to settle at $83.08 a barrel on the New York Mercantile Exchange. Prices rose after the weekly government report showed a drop in crude inventories.
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by Portfolio Crafter (http://www.wealthpire.com/cmd.php?Clk=1838416)
Stocks saw a dramatic reversal to finish lower on with the Dow first sitting at record highs on a gain of over 100 points before plunging to a loss of over 100 points, with traders citing profit-taking in technology shares as the main culprit.
The Dow Jones industrial average closed down 63.57 or 0.45% to 14,015.12, the broader S&P 500 closed down 8.06 or 0.52% to 1,554.41, and the tech-fueled Nasdaq composite closed down 39.41 or 1.40% to 2,772.20. Market breadth turned negative. On the New York Stock Exchange, losers beat winners 5 to 3 on volume of 1.5 billion shares. On the Nasdaq, decliners topped advancers 5 to 2 on volume of 2.6 billion shares.
While Wal-Mart's improved earnings forecast tempered some worries about consumer spending, investors suddenly decided that they had gotten too extended on the upside and starting hitting some tech stocks pretty hard. Earnings in the third quarter are expected to have grown 1.4%, the worst quarterly growth figure in more than five years. The trade deficit fell to to a 7-month low, thanks to strong sales overseas and the impact of the weak dollar. Additionally, the number of mortgage delinquencies declined in September after hitting a 32-month high in August.
Stock of Boeing slipped $2.42 or 2.45% to $96.26, on news that it is delaying the delivery of its first 787 Dreamliner planes by six months, due to assembly problems. Boeing said the delay won't hit 2007 and 2008 earnings. The airplane maker has promised it will fly faster and farther than any other medium-sized jet, using 20% less fuel and offering increased cabin comfort.
Shares of Google closed down $3.39 or 0.54% to $622.00, after topping the $640 mark briefly to set a new record high after crossing the $600 mark earlier this week.
Stock of Wal-Mart closed up $1.31 or 2.87% to $46.90, after stating that it expects to earn 66 to 69 cents per share, up from a previous range of 62 to 65 cents. Investors sent the stock higher on bets that it means consumer spending will hold up OK, despite the housing market collapse.
Shares of GM closed up $1.86 or 4.88% to $39.99, after the United Auto Workers union said it has ratified a four-year contract that sets lower pay for some workers and puts GM's massive retiree health care debt into a UAW-run trust in exchange for promises of future work at U.S. plants.
Shares of PepsiCo closed down $1.83 or 2.49% to $71.77, despite reporting higher quarterly sales and earnings that topped estimates. Investors took a "sell the news" approach, sending shares lower.
U.S. light crude oil for November delivery climbed $1.78 to settle at $83.08 a barrel on the New York Mercantile Exchange. Prices rose after the weekly government report showed a drop in crude inventories.
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