Financial Market Updates

Plummeting Auto Sales Weigh Down Markets

2009-01-05T21:34:19Z

Despite a smaller than expected drop in construction spending, the markets closed lower with the Dow dropping 82 points to 8953 as auto sales continued to plummet in December. Nasdaq slipped 4 points to 1628.

On the upside

Bargain hunters snapped up shares of American Capital (Nasdaq: ACAS), which was listed as one of the top 10 worst performers on the S&P 500 last year. The stock price of the investment firm plummeted 90.2% in 2008.

Northstar Neuroscience (Nasdaq: NSTR) announced that after much consideration, it will liquidate its assets and dissolve the company.

Navistar International (NYSE: NAV) said that truck sales are expected to rise in 2009 as well as 2010.

On the downside

DA Davidson downgraded UCBH Holdings (Nasdaq: UCBH).

Shares of Chico's FAS (NYSE: CHS) fell ahead of the release of December retail sales figures later this week.

Barclays Capital analyst Robert Drbul said that while heavy holiday promotions may have lifted sales for Saks (NYSE: SKS), 2008 earnings will most likely be impacted negatively. Drbul expects Saks to post a loss for the year.

In the broad market, advancing issues outpaced decliners by a margin of nearly 2 to 1 on the NYSE and by nearly 5 to 4 on Nasdaq. The Russell 2000 which tracks small cap stocks eased a point to 505.

Markets Pare Losses On Mild Drop In Construction Spending

2009-01-05T18:01:23Z

The markets pared some of its losses as construction spending dropped by a less than expected 0.6% in November. The Dow fell 57 points to 8978 while Nasdaq slipped 4 points to 1628.

On the upside

Motley Fool listed Teck Cominco (NYSE: TCK) as a great buying opportunity due to its low price and price-to-earnings ratio.

Stifel Nicolaus analyst Greg Mason upgraded Allied Capital (NYSE: ALD) after the investment firm amended the terms of its credit agreement.

KeyBanc Capital Markets analyst Dennis Forst reported that New Year's Eve results in Las Vegas may have been better than expected, lifting shares of Las Vegas Sands (NYSE: LVS).

On the downside

JPMorgan Securities analyst Steven Alexopoulos slashed his price target for Synovus Financial (NYSE: SNV) and forecast a fourth quarter loss after the company warned that its loan loss provision for the fourth quarter will more than quadruple.

Keefe Bruyette downgraded Cullen/Frost Bankers (NYSE: CFR).

Tyson Foods (NYSE: TSN) president and chief executive Dick Bond resigned from the world's largest meat processing company, effective immediately. Former chairman and chief executive Lelan Tollett will replace Bond on an interim basis.

In the broad market, advancing issues outpaced decliners by a margin of 5 to 3 on the NYSE while decliners barely edged out advancers by a slim margin on Nasdaq. The Russell 2000 which tracks small cap stocks eased 2 points to 504.

Stocks Open Lower as Economic Worries Linger

2009-01-05T15:00:28Z

Stocks fell ahead of a likely to be weak construction report and due to uncertainty about the policies of an incoming Obama administration. Meanwhile, fighting between Israel and Gaza as well as stalled energy negotiations between Russia and Ukraine kept investors nervous. The Dow lost nearly 100 points to 8944 while Nasdaq dropped nearly 25 points to 1607.

On the upside

Steve Jobs has hormonal imbalance causing weight loss, but is expected to remain CEO of Apple (Nasdaq: AAPL).

An analyst upgraded Northrop Grumman (NYSE: NOC) citing its diversified mix of businesses and a strong balance sheet.

Asian stocks rose in overnight trading. Shares of iShares FTSE/Xinhua China 25 Index (NYSE: FXI) posted modest gains.

On the downside

Surgical equipment maker Conmed (Nasdaq: CNMD) lowered its 4th quarter outlook blaming a strong dollar and weak hospital demand domestically.

An analyst downgraded Helen of Troy (Nasdaq: HELE) blaming the economy for weak consumer demand for the company's hair care appliances.

Bernstein Research downgraded the telecommunications sector due to slower wireless growth. Shares of AT&T (NYSE: T) and Verizon Communications (NYSE: VZ) fell.

In the broad market, declining issues outpaced advancers by a margin of more than 5 to 4 on the NYSE and by nearly 2 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks dropped 8 points to 497.

Strong Start For 2009

2009-01-02T21:00:04Z

The markets started 2009 strongly with the Dow leaping 258 points to 9035 to close over 9000 for the first time in two months despite a disappointing manufacturing activity report. Nasdaq jumped 55 points to 1632.

On the upside

China Technology Development Group (Nasdaq: CTDC) and Qinghai New Energy Group announced plans to build a 30 megawatt solar power plant.

Liz Claiborne (NYSE: LIZ) will meet with retailers to force them to absorb some of the steep discounts made during the holiday shopping season.

Thomas Weisel Partners analyst Jake Fuller said that after recent declines, shares of Las Vegas Sands (NYSE: LVS) are priced right.

Universal Pictures, which is owned by General Electric (NYSE: GE), reported a 66% jump in overseas box office receipts to $1.7 billion.

Two E-Trade Financial (NYSE: ETFC) units were fined $1 million by the Financial Industry Regulatory Authority for failing to implement anti-money laundering policies. E-Trade admitted no wrong doing and the stock price rose.

Shares of Flextronics International (NYSE: FLEX) continued climbing after the company accepted approximately $259,999,000 in aggregate principal amount of convertible subordinated notes.

In the broad market, advancing issues outpaced decliners by a margin of nearly 5 to 1 on the NYSE and by more than 5 to 2 on Nasdaq. The Russell 2000 which tracks small cap stocks gained 6 points to 506.

Markets Up Despite Lower Than Expected Manufacturing Activity

2009-01-02T18:11:32Z

Investors brushed aside a report indicating lower than expected manufacturing activity to lift the markets higher during the midday with the Dow soaring 152 points to 8928. Nasdaq surged 33 points to 1610.

On the upside

AmTech Research upgraded Seagate Technology (Nasdaq: STX).

Although online sales fell during the holiday shopping season, visitors to Amazon.com (Nasdaq: AMZN) increased 7%.

Bargain hunters lifted shares of flash memory card maker SanDisk (Nasdaq: SNDK).

On the downside

Several class action lawsuits were filed against Emcore (Nasdaq: EMKR) for issuing false statements that artificially lifted the stock price.

The New York Stock Exchange notified KKR Financial Holdings (NYSE: KFN) that the fund fell below NYSE listing standards and has six months to raise it share price to an average closing of $1 per share for thirty consecutive trading days.

After Bank of America (NYSE: BAC) completed its acquisition of Merrill Lynch, its assets increased to $2.7 trillion, more than JPMorgan Chase (NYSE: JPM) and Citigroup (NYSE: C).

In the broad market, advancing issues outpaced decliners by a margin of nearly 4 to 1 on the NYSE and by more than 2 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks rose 5 points to 504.

Markets Open Higher as Investors Mull Obama Stimulus Plan

2009-01-02T15:00:24Z

The markets quietly opened higher as investors continued to worry about the global economy. The Dow rose 42 points to 8819 while Nasdaq added 4 points to 1581.

On the upside

A software bug kept Zune music digital players made by Microsoft (Nasdaq: MSFT) from working on the last day of 2008. The devices automatically started working again without a software patch today.

Shares of Apple (Nasdaq: AAPL) rose ahead of a key trade show where Steve Jobs will not being making an appearance for the first time in years.

The shipping sector was one of the strongest this morning. Shares of YRC Worldwide (Nasdaq: YRCW) and DryShips (Nasdaq: DRYS) rose sharply.

On the downside

Wells Fargo (NYSE: WFC) completed its acquisition of Wachovia to give the banking giant a nationwide footprint while Bank of America (NYSE: BAC) absorbed Merill Lynch and was expected to keep the brand name.

A Piper Jaffray analyst downgraded Canadian Solar (Nasdaq: CSIQ) and ReneSola (NYSE: SOL).

In the broad market, advancing issues outpaced decliners by a margin of 10 to 9 on the NYSE, but were narrowly edged out on Nasdaq. The Russell 2000 which tracks small cap stocks slipped 2 points to 496.

Markets Closed

2009-01-01T15:01:51Z

U. S. markets are closed in observance of the New Year holiday.

Stocks End Higher On Light Trading

2008-12-31T21:34:34Z

On the last day of 2008, a light trading session ended higher with the Dow climbing 108 points to 8776 as jobless claims slipped from last week. Nasdaq surged 26 points to 1577.

On the upside

Ion Geophysical (NYSE: IO) refinanced debt and announced the adoption of a poison pill plan.

Allis-Chalmers Energy (NYSE: ALY) will pay $5 million to acquire the remaining shares of BCH that it does not already own.

Global Ship Lease (NYSE: GSL) received a delivery of a 10,960 TEU newbuilding containership which increases its fleet to 16 vessels.

Conseco's (NYSE: CFD) 40/86 Strategic Income Fund increased its dividend to $0.0924 per share payable on January 9, 2009 to shareholders of record December 31, 2008.

Shares of American Axle & Manufacturing Holdings (NYSE: AXL) rose after automakers received a government bailout.

On the downside

Analysts expect Apple (Nasdaq: AAPL) to introduce lower priced iPhones and MacBooks next year.

In the broad market, advancing issues outpaced decliners by a margin of nearly 5 to 1 on the NYSE and by nearly 7 to 2 on Nasdaq. The Russell 2000 which tracks small cap stocks leaped 17 points to 499.

Upbeat Jobless Report Lifts Markets

2008-12-31T18:04:21Z

An upbeat jobless report lifted the markets higher on the final trading day of the year with the Dow gaining 70 points to 8739. Nasdaq soared 20 points to 1570.

On the upside

The Food and Drug Administration approved Labopharm's (Nasdaq: DDSS) once a day extended release pain medication RYZOLT.

China BAK Battery (Nasdaq: CBAK) will hold a conference call on Friday January 23 to discuss first quarter financial results.

The Phoenix Companies (NYSE: PNX) entered a reinsurance agreement with a subsidiary of Swiss Re.

On the downside

Shares of Dow Chemical (NYSE: DOW) continued falling after the Kuwaiti government cancelled its $17.4 billion joint venture with the chemical company.

Investors locked in profits for Northfield Laboratories (Nasdaq: NFLD), whose stock price surged yesterday after receiving priority review for its red blood cell drug.

Anthracite Capital (NYSE: AHR) extended its credit lines and announced that it will pay only the minimum required dividends on its common shares.

In the broad market, advancing issues outpaced decliners by a margin of more than 3 to 1 on the NYSE and by nearly 2 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks climbed 8 points to 491.

Markets Advance as Investors Mull Year-End Economic Data

2008-12-31T15:14:14Z

First time jobless claims fell last week, but the economy is expected to cope with more layoffs in the coming months. Investors pruned their portfolios for tax losses while buying stocks that may recover in 2009. The Dow rose 57 points to 8725 while Nasdaq climbed 15 points to 1566.

On the upside

Akorn (Nasdaq: AKRX) received FDA approval for generic versions of an antibiotic.

Washington state regulators approved the pending sale of Puget Sound Energy (NYSE: PSD) for $7.4 billion to a New York-based investment group held by Canadian and Australian investors.

Shares of Genco Shipping & Trading (NYSE: GNK) rallied for a second day after taking delivery of the Genco Hadrian, a new Capesize ship, which was expected to contribute to revenues.

On the downside

Needing at least $30 billion to become a bank holding company and expected to receive $6 billion from the Treasury, GMAC picked up an additional $21.2 billion commitment in a debt-for-equity swap. Shares of General Motors (NYSE: GM) edged lower.

American International Group (NYSE: AIG) asked the Federal Reserve to ease its payment terms on $60 billion in loans while what was once the world's largest insurance company continued to liquidate assets.

Shares of VeriFone Holdings (NYSE: PAY) fell after the maker of checkout-line payment terminals and software delayed its annual report filing to make goodwill accounting adjustments due to a decline in business.

In the broad market, advancing issues outpaced decliners by a margin of 7 to 3 on the NYSE and by more than 2 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks rose 6 points to 489.

Goverment Invests $5 Billion In GMAC, Markets Soar

2008-12-30T21:26:35Z

Investors brushed aside record low consumer confidence to focus instead on news that the federal government will invest $5 billion in General Motors' financial unit. The Dow leaped 184 points to close at 8668 while Nasdaq jumped 40 points to 1551.

On the upside

Billionaire Mark Cuban purchased a 9.4% stake in Carmike Cinemas (Nasdaq: CKEC).

Wells Fargo (NYSE: WFC) announced the elimination of 53 positions due to the company's upcoming merger with Wachovia (NYSE: WB).

AirMedia Group (Nasdaq: AMCN) will repurchase up to $50 million worth of American Depositary shares.

Bargain hunters snapped up shares of JA Solar Holdings (Nasdaq: JASO), whose stock price has tumbled over the last few months.

On the downside

Motley Fool listed Raser Technologies (NYSE: RZ) as a losing stock citing an analyst's comments that the company has only a website presence with no product.

Lindsay (NYSE: LNN) announced last week that demand for irrigation systems is slowing due to falling crop prices and the sluggish economy.

In the broad market, advancing issues outpaced decliners by a margin of more than 4 to 1 on the NYSE and by more than 2 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks surged 16 points to 483.

Markets Surge Despite Record Low Consumer Confidence

2008-12-30T18:22:45Z

Despite a record low reading of consumer confidence, the markets surged in midday trading with the Dow soaring 114 points to 8598. Nasdaq leaped 27 points to 1537.

On the upside

Advanced Micro Devices (NYSE: AMD) will take a $70 million charge in the fourth quarter for costs associated with job cuts.

Genco Shipping (NYSE: GNK) took delivery of a new Capesize vessel from Metrostar Management. The new ship has been chartered for $65,000 per day by Cargill International SA.

Flextronics International (Nasdaq: FLEX) announced that it accepted approximately $259,999,000 in aggregate principal amount for its cash tender offer.

Motley Fool listed Oracle (Nasdaq: ORCL) as one of several tech stocks that will weather the recession and be a wise purchase for 2009.

On the downside

A-Power Energy Generation Systems (Nasdaq: APWR) blamed contract delays and the sluggish economy for slashing its fourth quarter forecast.

Ashford Hospitality (NYSE: AHT) suspended its dividend and announced layoffs and salary freezes last week.

In the broad market, advancing issues outpaced decliners by a margin of 5 to 2 on the NYSE and by 7 to 5 on Nasdaq. The Russell 2000 which tracks small cap stocks added 7 points to 473.

Stocks Open Higher on Expanded Auto Industry Bailout

2008-12-30T14:52:45Z

The Treasury said it would buy $5 billion in senior preferred equity from GMAC and increase its loan to General Motors by $1 billion. The Dow rose 43 points to 8527 while Nasdaq climbed 11 points to 1522.

On the upside

Total assistance going to the auto industry rose to $23.4 billion after GMAC's application to become a bank holding company was approved by the Federal Reserve making the company eligible for financial rescue funds. Shares of General Motors (NYSE: GM) rose.

Shares of Rohm Haas (NYSE: ROH) partially recovered from yesterday's offer as Dow Chemical (NYSE: DOW) considered a bridge loan to salvage its acquisition bid for the chemical company.

Standard & Poor's said it would replace UST Inc. (NYSE: UST) which is being acquired by Altria Group (NYSE: MO) with Iron Mountain (NYSE: IRM) in its S&P 500 index.

Savient Pharmaceuticals (Nasdaq: SVNT) received fast-track approval from the FDA for its drug treatment of gout.

On the downside

Apex Silver Mines (NYSE: SIL) received a noncompliance notice that may delist the stock due to substantial losses.

Investment banker Greenhill and Company (NYSE: GHL) was downgraded by an analyst.

In the broad market, advancing issues outpaced decliners by a margin of more than 2 to 1 on the NYSE and by more than 5 to 3 on Nasdaq. The Russell 2000 which tracks small cap stocks added 4 points to 470.

Mideast Tensions Rattle Investors

2008-12-29T21:35:38Z

Oil prices rose above the $40 a barrel mark as Israeli air strikes continued to pound the Gaza strip. The Dow lost 31 points to close at 8483 while Nasdaq lost nearly 20 points to finish the session at 1510.

On the upside

AT&T (NYSE: T) is offering refurbished 8-gigabyte iPhones made by Apple (AAPL) for $99.

Higher oil prices lifted shares of Chevron (NYSE: CVX) and Exxon Mobil (NYSE: XOM).

On the downside

Cogdell Spencer (NYSE: CSA) lowered its dividend in order to preserve capital. The company owns specialty office properties for the medical profession in the southeastern United States.

Riverbed Technology (Nasdaq: RVBD) was downgraded by a Wedbush Morgan analyst. The company provides distributed computing solutions.

Billionaire investor Kirk Kerkorian had reportedly sold off all of his remaining shares of Ford Motor (NYSE: F).

Amazon.com (Nasdaq: AMZN) reported strong holiday sales, but investors worried about the online retailer's performance through 2009 amid the ongoing recession.

In the broad market, declining issues outpaced advancers by a margin of nearly 2 to 1 on the NYSE and by more than 2 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks dropped 10 points to close at 466.

Dow Chemical Joint Venture Cancelled, Markets Fall

2008-12-29T17:37:52Z

The Kuwaiti government cancelled a joint venture with Dow Chemical sending the markets tumbling with the Dow plummeting 93 points to 8422 while Nasdaq plunged 28 points to 1502.

On the upside

UBS upgraded homebuilder Standard Pacific (NYSE: SPF).

Last week, Yamana Gold (NYSE: AUY) completed a $200 million revolving credit financing deal.

Northwest Pipe Company (Nasdaq: NWPX) will supply Cableados Industriales SA de CV with approximately 15,000 feet of steel pipe for a Baja California project.

On the downside

SL Green Realty (NYSE: SLG) slashed its dividend by more than half.

Jones Apparel Group (NYSE: JNY) lowered its revolving credit facilities.

Disappointing holiday retail sales weighed down shares of Liz Clairborne (NYSE: LIZ).

In the broad market, declining issues outpaced decliners by a margin of nearly 2 to 1 on the NYSE and by more than 5 to 2 on Nasdaq. The Russell 2000 which tracks small cap stocks plunged 12 points to 465.