Portfolio Crafter
10-25-2007, 11:17 PM
End of Day Market Summary - Wednesday, October 24, 2007
by Portfolio Crafter (http://www.wealthpire.com/cmd.php?Clk=1838416)
Stocks rebounded late with Merrill Lynch & Co.'s larger than anticipated losses and negative news on the housing front cementing thoughts of another rate cut at next week's Federal Open Market Committee gathering. Investors came back despite more housing market woes.
The Dow Jones industrial average closed down 0.98 or 0.01% to 13,675.
25, the broader S&P 500 closed down 3.71 or 0.24% to 1,515.88, and the tech-fueled Nasdaq composite closed down 24.50 or 0.88% to 2,774.
76.
Market breadth was negative as decliners topped advancers on the New York Stock Exchange by 5 to 3 on volume of 1.6 billion shares. Losers beat winners by nearly more than 2 to 1 in Nasdaq trading as 2.8 billions shares traded hands.
Report from the National Association of Realtors brought out that existing home sales dropped more than expected. It also stated that the median home price fell 4.2% from a year ago in September. Those two factors, combined with worries about the wildfire impact on the Southern California region and a jump in the price of oil, lead to the decline today. However, traders came back expecting positive action by the feds next week.
Shares of Merrill Lynch closed down $3.90 or 5.81% to $63.22, after reporting a loss of $2.3 billion and stating it was taking a larger-
than-projected write down of $7.9 billion because of losses from bad sub-prime mortgage bets. During the quarter, the bank scaled back its CDO exposure by 53% to $15.2 billion and reduced its sub-prime exposure by 35% to $5.7 billion.
Stock of Amazon closed down $12.09 or 11.99% to $88.73, after showing that sales and earnings surge in the most recent quarter. But the results were not as robust as some investors had hoped.
Shares of Boeing closed down $0.69 or 0.73% to $94.26, despite surprising investors with a 61% jump in quarterly results that topped forecasts, while the company also raised both its earnings and revenue guidance for 2007. However, the company reduced its revenue estimates for 2008 because of delays in the launch of its new 787 "Dreamliner" plane. For the quarter ending Sept. 30, its profit rose to $1.1 billion, up from $694 million a year ago. Revenue rose 12% to $16.5 billion from $14.7 billion a year ago.
Crude prices jumped more than $1 a barrel after U.S. oil inventories took a dip in the latest week. Light, sweet crude for December gained $1.83 to settle at $87.10 a barrel on the New York Mercantile Exchange.
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by Portfolio Crafter (http://www.wealthpire.com/cmd.php?Clk=1838416)
Stocks rebounded late with Merrill Lynch & Co.'s larger than anticipated losses and negative news on the housing front cementing thoughts of another rate cut at next week's Federal Open Market Committee gathering. Investors came back despite more housing market woes.
The Dow Jones industrial average closed down 0.98 or 0.01% to 13,675.
25, the broader S&P 500 closed down 3.71 or 0.24% to 1,515.88, and the tech-fueled Nasdaq composite closed down 24.50 or 0.88% to 2,774.
76.
Market breadth was negative as decliners topped advancers on the New York Stock Exchange by 5 to 3 on volume of 1.6 billion shares. Losers beat winners by nearly more than 2 to 1 in Nasdaq trading as 2.8 billions shares traded hands.
Report from the National Association of Realtors brought out that existing home sales dropped more than expected. It also stated that the median home price fell 4.2% from a year ago in September. Those two factors, combined with worries about the wildfire impact on the Southern California region and a jump in the price of oil, lead to the decline today. However, traders came back expecting positive action by the feds next week.
Shares of Merrill Lynch closed down $3.90 or 5.81% to $63.22, after reporting a loss of $2.3 billion and stating it was taking a larger-
than-projected write down of $7.9 billion because of losses from bad sub-prime mortgage bets. During the quarter, the bank scaled back its CDO exposure by 53% to $15.2 billion and reduced its sub-prime exposure by 35% to $5.7 billion.
Stock of Amazon closed down $12.09 or 11.99% to $88.73, after showing that sales and earnings surge in the most recent quarter. But the results were not as robust as some investors had hoped.
Shares of Boeing closed down $0.69 or 0.73% to $94.26, despite surprising investors with a 61% jump in quarterly results that topped forecasts, while the company also raised both its earnings and revenue guidance for 2007. However, the company reduced its revenue estimates for 2008 because of delays in the launch of its new 787 "Dreamliner" plane. For the quarter ending Sept. 30, its profit rose to $1.1 billion, up from $694 million a year ago. Revenue rose 12% to $16.5 billion from $14.7 billion a year ago.
Crude prices jumped more than $1 a barrel after U.S. oil inventories took a dip in the latest week. Light, sweet crude for December gained $1.83 to settle at $87.10 a barrel on the New York Mercantile Exchange.
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