Dow Jones 30: Industrials Index

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Stock indexes fall for a 5th straight day
Stocks edge lower for 5th consecutive day after Bernanke does not announce new stimulus plan

Tuesday June 7, 2011, 4:15 pm
NEW YORK (AP) -- Stock indexes gave up early gains and are closing lower for the fifth straight day.

Some investors had been hoping that Federal Reserve Chairman Ben Bernanke would announce in a speech that the central bank would take additional measures to support the economy. Major indexes fell after it became clear that Bernanke was not wavering from his view that the U.S. economy is growing, but at an uneven pace.

The Dow Jones industrial average lost 19 points, or 0.2 percent, to close at 12,071 Tuesday. The Standard and Poor's 500 dipped 1, or 0.1 percent, to 1,285. The Nasdaq composite shed 1, or less than 0.1 percent, to 2,702.

Rising shares narrowly outnumbered falling ones on the New York Stock Exchange. Volume was 3.6 billion shares.

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  Bernanke is an idiot and needs to be out !!!  
He don't know his ass from a hole in the ground...as a matter of fact the damn so called  president  needs to leave with him!

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Wednesday, June 8, 2011...

Overnight U.S. Stock News

•   June S&Ps this morning are trading down -6.30 points at a 2-1/2 month low. The US stock market yesterday traded higher most of the day as European debt concerns eased but stocks erased their gains and finished slightly lower after Fed Chairman Bernanke gave no hint of new stimulus measures: Dow Jones -0.16%, S&P 500 -0.10%, Nasdaq Composite -0.04%. The Dow slipped to a 2-1/2 month low and the Nasdaq fell to a 1-1/2 month low.

                Bearish factors for stocks included (1) a late-day retreat in stocks on disappointment that Fed Chairman Bernanke provided no hints of a new round of economic stimulus along with his comments that "until we see a sustained period of stronger job creation, we cannot consider the recovery to be truly established," (2) weakness in energy producers after crude oil fell to a 2-week low on indications OPEC will increase production, and (3) concern that China's actions to thwart inflation may also slow its economic growth and the g lobal economy as well after China's Economic Information Daily reported the PBOC may raise interest rates by 25 bp this weekend and may increase banks' reserve requirement ratios by 50 bp next week after inflation and other economic indicators are released.

   Bullish factors included (1) carry-over support from a rally in European stocks as European sovereign-debt concerns eased after ECB President Trichet signaled he may back Greek debt rollovers, (2) the decline in the S&P 500 to 12.2 times its companies' estimated operating earnings, its cheapest valuation in 9 months, and (3) strength in paper and packaging product makers on the prospects for increased M&A activity in the sector after International Paper made a $3.31 billion hostile takeover bid for Temple-Inland Inc.


•   LDK Solar (LDK) slipped 1.8% in European trading adter the solar-panel maker said Q2 sales will be no more than $760 million, below analysts' estimates of $797 million.


•   Comtech Telecommunications (CMTL) fell 2.2% in pre-market trading after the company late yesterday reported Q3 revenue of $131.1 million, below analysts' estimates of $145 million.

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Wall St jumps as investors see market as oversold...
On Tuesday June 14, 2011, 1:29 pm EDT

NEW YORK (Reuters) - Stocks rose more than 1 percent on Tuesday, primed by a market that was oversold on a technical basis and better-than-expected retail sales data that helped trigger a relief rally.

The move put the S&P 500 on track for its best daily percentage gain since mid-March, though analysts said the market's recent weakness could be far from finished.

U.S. retail sales declined for the first time in 11 months in May, but the fall was less than forecast, giving some respite from recent weak economic data. China data also helped to ease worries about global growth.

The market gained broadly after six weeks of declines, though the S&P retail index (Chicago Options:^RLX - News) , up 2.2 percent, outperformed other areas. Energy also outperformed, with the S&P energy sector (SNP:^GSPE - News) up 2 percent as oil prices rose.

Strategists said the bounce reflected technical conditions that signaled the market was oversold on a short-term basis.

"It's like pressing down on a spring. You can only press it down so far before you get a bounce back," said Jeffrey Saut, chief investment strategist for Raymond James Financial, in St. Petersburg, Florida.

"Since 1995, the S&P has gone down six straight weeks in a row only six times. After every one of them, there has been a very strong, throwback rally from a very oversold, compressed S&P 500."

The Dow Jones industrial average (DJI:^DJI - News) was up 142.70 points, or 1.19 percent, at 12,095.67. The Standard & Poor's 500 Index (^SPX - News) was up 18.06 points, or 1.42 percent, at 1,289.89. The Nasdaq Composite Index (Nasdaq:^IXIC - News) was up 40.99 points, or 1.55 percent, at 2,680.68.

Expectations for further selling this summer remained high among some investors.

Many investors are eyeing a retreat in the S&P 500 to its March low near the 1,250 level. The index closed flat on Monday after hitting a near three-month low last Friday.

That level could be seen as a near-term bottom and attract additional buyers, analysts have said.

The S&P 500 is down about 7 percent from its high in early May as recent weak data sparked worries about the sustainability of an economic recovery.

On the Nasdaq, Bruce Zaro, chief technical strategist, Delta Global Asset Management in Boston, looked for a break below the March low of 2,620, though he said the index could test the 2,460-2,480 range in the months ahead.

In a sign that individual investors may be losing confidence in the stock market, customer trading slowed substantially last month, with more clients money moving into cash and out of stocks and other areas, according to brokerage Charles Schwab Corp (NYSE:SCHW - News).

In China, inflation was still a concern after consumer prices rose at their fastest pace in almost three years, but industrial output grew from a year ago, in line with forecasts. China's central bank increased the reserve requirement ratio for commercial lenders by 50 basis points.

"People that were saying 'hard landing for China'-- so far the numbers don't show that," Saut said.

Options expiration this week also could generate more volume and amplify stock moves as traders adjust their hedges. Such dynamics can lead to pinning where a stock or index closes at or around its corresponding at-the-money option strike.

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Wall Street slides on earnings, economy, politics...

On Wednesday July 27, 2011, 12:52 pm EDT

NEW YORK (Reuters) - Wall Street fell on Wednesday as troubling signs from U.S. corporations and falling demand for long-lasting manufactured goods discouraged investors already nervous about faltering debt talks in Washington.

A profit warning from Juniper Networks (NYSE:JNPR), which sent its shares down 20 percent, and moderating order growth at Emerson Electric Co (NYSE:EMR) compounded investors' concerns about corporate strength after some high profile earnings misses. Emerson's shares fell nearly 7 percent.

The S&P 500 (^SPX) has lost more than 2 percent this week as acrimonious debate about raising the U.S. debt ceiling has left investors fretting over a U.S. debt default or a possible credit downgrade later in the year.

"That is going to remain front and center in terms of driving market activity," said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Philadelphia. "Without a deal and the clock winding down, I think investors' anxiety is only going to increase."

Lawmakers have until August 2 to agree a deal or face a potential default on U.S. government debt.

The Dow Jones industrial average (DJI:^DJI) dropped 109.63 points, or 0.88 percent, to 12,391.67. The Standard & Poor's 500 Index (^SPX) fell 16.43 points, or 1.23 percent, to 1,315.51. The Nasdaq Composite Index (Nasdaq:^IXIC) lost 49.12 points, or 1.73 percent, to 2,790.84.

The S&P 500 and the Nasdaq have fallen for three straight days while the Dow was eyeing its fourth day of losses as the uncertain environment kept investors from making big commitments.

"We haven't been committing new capital. We've been holding off on making any purchases over the last few days," said Eric Kuby, chief investment officer at North Star Investment Management Corp in Chicago. "If you multiply us by the other 10,000 money managers, you get a sense of why the market is getting a little soft."

Further pressuring the market, new orders for long-lasting U.S. manufactured goods fell unexpectedly in June, and a gauge of business spending plans slipped.

Corporate earnings have been coming in relatively weak in recent days, compared to the beginning of the earnings season, with concern centering on some big industrial names.

Industrial conglomerate Emerson Electric Co (NYSE:EMR) said its order growth moderated in the three months to June and warned that U.S. and European economies have slowed in the past two months. The stock fell 6.6 percent to $50.46.

Emerson's news came after troubling signs from Caterpillar (NYSE:CAT), Whirlpool (NYSE:WHR - News), Ingersoll-Rand (NYSE:IR - News), and PepsiCo

(NYSE:PEP), all of which were punished hard in their share price by investors.

"We started off the earnings season with a bang, but the ones that we've been getting in the past few days, mostly industrial ones, have been on the light side, and often pointing to an economic slowdown," said Jack DeGan, chief investment officer at Harbor Advisory Corp in Portsmouth, New Hampshire.

Juniper's results weighed on the technology sector, with semiconductors among the weakest. The PHLX semiconductor index (Nasdaq:^SOX) fell 2.9 percent. Texas Instruments (NYSE:TXN) fell 3.3 percent to $30.56.

In the health sector, WellPoint (NYSE:WLP) warned costs for its Medicare plans for seniors were higher than expected, sending its shares down nearly 5 percent to $70.18.

But on the upside, Amazon.com Inc (NasdaqGS:AMZN) rose 5 percent at $225.59 a day after the online retailer reported a surge in quarterly revenue.

In Washington, a Republican plan to cut the U.S. deficit met stiff opposition, reducing the chances of a late compromise to avoid a default.

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Stocks See Worst Day in 8 Weeks Amid Debt Deal Woes...
Reuters 2:45 pm EDT

NEW YORK (Reuters) - Wall Street suffered its worst day in eight weeks on Wednesday, hit by weak earnings, lackluster economic data and no movement in Washington as the deadline for a default looms.

The Dow Jones industrial average (DJI:^DJI) dropped 197.76 points, or 1.58 percent, to 12,303.54. The Standard & Poor's 500 Index (^SPX) lost 26.95 points, or 2.02 percent, to 1,304.99. The Nasdaq Composite Index (Nasdaq:^IXIC) fell 75.17 points, or 2.65 percent, to 2,764.79.

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Wall Street extends gains ahead of Fed...


NEW YORK (Reuters) - Stocks extended gains on Tuesday, with the Nasdaq up 3 percent and the Dow industrials up 2 percent, recovering from the previous session's selloff.

The Dow Jones industrial average gained 232.50 points, or 2.15 percent, to 11,042.35. The Standard & Poor's 500 Index rose 30.49 points, or 2.72 percent, to 1,149.95. The Nasdaq Composite Index added 77.58 points, or 3.29 percent, to 2,435.27.

Following Wall Street's nosedive on Monday, nervous investors awaited a statement from the Federal Reserve later on Tuesday on its outlook on the economy.

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Stocks Plunge, Dow Down More Than 400 as Relief Rally Fades; VIX Surges-
Reuters

Wall Street stocks fell sharply on Wednesday on fears over possible trouble in the French banking sector that has large exposure to shaky peripheral European debt. ...

Wall Street off 4 percent on French bank jitters
On Wednesday August 10, 2011, 11:15 am
NEW YORK (Reuters) - Stocks fell sharply on Wednesday, with the Dow industrials and the S&P 500 briefly down 4 percent on fears over the French banking sector's exposure to shaky European debt and its possible spillover into U.S. banks.

The Dow Jones industrial average lost 426.06 points, or 3.79 percent, to 10,813.71. The Standard & Poor's 500 Index dropped 43.80 points, or 3.74 percent, to 1,128.73. The Nasdaq Composite Index fell 84.49 points, or 3.40 percent, to 2,398.03.

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Stocks rise for third day after acquisition flurry
Stocks rise after Google's $12.5 billion purchase highlights another round of corporate deals

On Monday August 15, 2011, 4:50 pm
NEW YORK (AP) -- Stocks are having their longest rally since early July. A $19 billion corporate buying spree and encouraging economic news form Japan sent the Dow Jones industrial average up 213 points and erased its losses from last week.

The return of what's called "Merger Monday" on Wall Street made investors more optimistic about the future. So did a report that Japan's economy shrank less than feared following the March 11 earthquake and tsunami. That helped temporarily ease worries that the U.S. economy may slide into another recession.

The Dow rose 213.88 points, or 1.9 percent to 11,482.90. It has gained 762.96 points since Thursday. That's the best three-day point gain since it rose 927.18 in November 2008, during the depths of the financial crisis. The Dow is also up 7.1 percent over the three days, the biggest percentage gain since it rose 9.5 percent the first three days of the bull market in March 2009.

The Standard & Poor's 500 index rose 25.68, or 2.2 percent, to 1,204.49. The Nasdaq composite index rose 47.22, or 1.9 percent, to 2,555.20.

Markets may have stabilized the last three days, but financial analysts warned investors not to assume that stocks have fully settled down after last week's swings. The Dow rose or fell by at least 400 points in four straight days for the first time ever. The first-ever downgrade of the U.S. credit rating triggered the volatility. It was worsened by concerns that Europe's debt problems are worsening and that the U.S. economy is weakening.

"You might have these moments of quiet, but the debt crisis in Europe did not go away," said John Hailer, chief executive for the U.S. and Asia of Natixis Global Asset Management. "Our issues with the debt, with what our tax policy is going to be going forward, our unemployment did not go away."

"We are probably going to have to look at some very different levels of volatility than what a lot of investors grew up with over the last 25 to 30 years," he said.

A period of relative stability has been common in past volatile markets. In 2008, stocks plunged between mid-September and mid-November. From mid-November until the beginning of January 2009, the Dow was in a lull of sorts. It ratcheted up and down, mostly in the high 8,000 range. But in early January 2009, it began to plunge before finally hitting a bottom of 6,547 on March 9.

More swings could come this week. Leaders of France and Germany meet Tuesday to discuss Europe's debt problems. Spain and other countries have borrowed so much that they may need help to repay their bills. Investors on Tuesday will get an update on how Spain's economy did during the second quarter.

Corporate deals dominated the news, as companies followed a years-long practice of announcing acquisitions on a Monday. The biggest was Google Inc.'s $12.5 billion cash purchase of wireless phone maker Motorola Mobility Holdings Inc. It is also the biggest acquisition in Google's history. No. 2 was its $3.2 billion purchase of DoubleClick in 2008. Motorola Mobility's stock jumped percent 55.8 percent. Google fell 1.2 percent.

Among other deals: Time Warner Cable Inc. said it will pay $3 billion in cash for Insight Communications Co., which has more than 750,000 cable customers in the Midwest. Agribusiness conglomerate Cargill said it will buy animal nutrition company Provimi of the Netherlands for $2.16 billion. And in the energy industry, offshore driller Transocean Ltd. said it will buy Aker Drilling of Norway for $1.43 billion in cash.

Companies across the United States have accumulated a record amount of cash since the recession ended. They have increased their cash reserves every quarter for more than two years, and businesses in the S&P 500 index had a total of $963.3 billion at the end of March, according to the most recent data from Standard & Poor's.

Investors have waited for companies to use some of that cash on acquisitions, dividend increases and stock buybacks. Many financial analysts believe that companies are more confident about the future if they're willing to buy other businesses. So a series of acquisition announcements tends to send stocks higher.

The growing cash hoard has been the result of stronger profits. Companies have kept costs low by being slow to hire. Revenue, meanwhile, is growing, particularly from overseas customers. For the 460 companies in the S&P 500 that have reported second-quarter results, total earnings are up 12 percent from a year ago.

It was the busiest day for acquisitions since July 11, when Express Scripts said it would buy Medco Health Solutions for $29.1 billion in a combination of the country's largest pharmacy benefits managers. The total value of deals targeting U.S. companies has climbed to $771 billion this year, according to Dealogic. That's up 55 percent from $498 billion at the same point of last year.

Some companies are looking to pare back. Bank of America Corp. said it will sell its $8.6 billion Canadian credit-card business to TD Bank Group. The bank will also get out of the credit card business in Britain and Ireland. The deals follow others that Bank of America made to move out of foreign credit cards, and they should help Bank of America improve its balance sheet

Bank of America rose 7.9 percent, part of a rally for the overall industry. Financial stocks in the S&P 500 rose 3.2 percent as a group.

Energy stocks in the index rose 3.4 percent after crude oil climbed $2.50 per barrel to settle at $87.88.

Asian and European markets rose earlier after Japan said its economy shrank at just a 1.3 percent annual rate between April and June. That's less than half the drop that economists expected following the earthquake, tsunami and nuclear crisis that struck the country in March.

Still, investors have more reason to worry about the weak U.S. economy.

Manufacturers in New York told the Federal Reserve they're more pessimistic about future growth. Manufacturing has been one of the country's strongest industries since the recession ended in 2009, but growth began to slow in March. Manufacturing nationwide barely grew in July.

Cosmetics company Estee Lauder Cos. fell 6.5 percent after it forecast earnings for the upcoming year that were below Wall Street's expectations. It also said its net income rose 72 percent last quarter on strong sales growth to China, Russia and the Middle East.

Lowe's Cos., the second-largest home improvement retailer, rose 0.9 percent after it said its net income was roughly flat last quarter on a 1 percent rise in revenue.

More than 10 stocks rose for every one that fell on the New York Stock Exchange. Trading volume at 4.5 billion shares was below last week's record levels, when it climbed above 9 billion. Volume was close to its average over the last year of 4.3 billion shares.

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Wall Street Slips Amid Ongoing Euro Zone Concerns...
French-German euro zone plan fails to inspire Wall St

On Tuesday August 16, 2011, 4:43 pm

NEW YORK (Reuters) - U.S. stocks fell on Tuesday after three days of gains when a meeting between the heads of France and Germany failed to quell fears about euro zone leaders' ability to contain the region's sovereign debt woes.

Efforts to stem the spreading European debt crisis have so far been ineffective, a major reason for the equity market's declines in recent weeks. Stocks were unable to rally on Tuesday despite positive U.S. earnings and Fitch Ratings' decision to keep the AAA credit rating for the United States.

German Chancellor Angela Merkel and French President Nicolas Sarkozy detailed plans for closer euro zone integration but they did not include boosting the size of the euro zone's rescue fund or sales of euro bonds.

"The market wanted to see at least some forward movement, something concrete coming out of the meeting that would've been supportive to what's been dragging the market lower," said Marc Pado, U.S. market strategist at Cantor Fitzgerald in San Francisco.

Shares of financials, seen as vulnerable to a European fiscal crisis, added to their decline and were the worst-performing sector in the S&P 500. The S&P financial index was down 1.9 percent.

Merkel and Sarkozy said they would propose a tax on financial transactions, which hurt shares of exchange operators. Shares of NYSE Euronext fell 8.4 percent to $26.54, making it the worst performer in the S&P 500.

Shares of retailers Wal-Mart Stores Inc and Home Depot Inc both rose after the industry bellwethers exceeded analysts' expectations for quarterly numbers.

Dell Inc's shares dropped 4.9 percent in after-hours trading after the company reported revenue slightly below analysts' expectations and said sales in the present quarter would be flat.

Euro zone worries have weighed heavily on markets, most recently with last week's concerns about the solvency of French banks and the continued uncertainty over the European Central Bank's ability to control sovereign bond yields.

The Dow Jones industrial average dropped 76.97 points, or 0.67 percent, at 11,405.93, while the Standard & Poor's 500 Index declined 11.73 points, or 0.97 percent, at 1,192.76, and the Nasdaq Composite Index fell 31.75 points, or 1.24 percent, at 2,523.45.

Worries about the euro-zone troubles and a weakening U.S. economy have pushed U.S. stocks into correction territory after the S&P 500's closing high on April 29.

Data showed Germany's gross domestic product expanded just 0.1 percent from April to June versus the previous quarter, missing forecasts and knocking regional growth figures below expectations.

"We have France out with no growth yesterday and Germany out with no growth today. It broadens a picture that global economies have experienced a simultaneous pause," said Fred Dickson, chief market strategist at D.A. Davidson & Co in Lake Oswego, Oregon.

Fitch confirmed the United States' top-notch credit rating less than two weeks after Standard & Poor's downgraded the United States to AA-plus.

Wal-Mart shares advanced 3.9 percent to $51.92 after the company said U.S. same-store sales turned positive in July. Home Depot shares gained 5.2 percent to $33.12 after the company raised its fiscal-year profit forecast for the second time in three months.

About 8.2 billion shares were traded on the New York Stock Exchange, the American Stock Exchange and Nasdaq, roughly in line with last year's daily average of 8.47 billion. About three stocks fell for every advancer on the New York Stock Exchange and about four shares declined for every advancing stock on the Nasdaq.

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Global Worries Slam Wall Street; Financials, Tech Hit Hard; VIX Soars
Reuters

Like an out-of-control cyclone, speculation that Europe's banks are beginning to suffer the contagion of Europe's sovereign debt crisis ripped across global markets, taking bank shares and equities markets lower. That speculation, collided in a perfect storm, with a string of weak U.S. economic reports, which helped fan worries about waning global growth...

Wall Street ends sharply lower on recession fears

On Thursday August 18, 2011, 4:06 pm
NEW YORK (Reuters) - Rising fears of another recession hammered U.S. stocks on Thursday, sending major averages more than 3 percent lower in a rerun of the extreme fluctuations investors had hoped were over.

The Dow Jones industrial average was down 419.17 points, or 3.67 percent, at 10,991.04, according to the latest figures. The Standard & Poor's 500 Index was down 53.15 points, or 4.45 percent, at 1,140.74. The Nasdaq Composite Index was down 131.05 points, or 5.22 percent, at 2,380.43.

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Here we go again: Another big down day for Dow...
Dow falls 419 in a wild day for financial markets -- last week's big swings return


NEW YORK (AP) -- Just when Wall Street seemed to have settled down, a barrage of bad economic reports collided with fresh worries about European banks Thursday and triggered a global sell-off in stocks.

The Dow Jones industrial average fell 419 points -- a return to the wild swings that gripped the stock market last week.

Stocks were only part of a dramatic day across the financial markets. The price of oil fell more than $5, gold set another record, the government's 10-year Treasury note hit its lowest yield, and the average mortgage rate fell to its lowest in at least 40 years.

The selling began in Asia, where Japanese exports fell for a fifth straight month, and continued in Europe, where bank stocks were hammered because of worries about debt problems there, which have proved hard to contain.

On Wall Street, the losses wiped out much of the roughly 700 points that the Dow had gained over five days. Some investors who bought in the middle of last week decided to sell after they were confronted with a raft of bad news about the economy:

-- More people joined the unemployment line last week than at any time in the past month. The number of people filing claims for unemployment benefits rose to 408,000, or 9,000 more than the week before.

-- Inflation at the consumer level in July was the highest since March. More expensive gas, food, clothes and other necessities are squeezing household budgets at a time when most people aren't getting raises.

-- Sales of previously occupied homes fell in July for the third time in four months -- more trouble for a housing market that can't seem to turn itself around. This year is on pace to be the worst since 1997 for home sales.

-- Manufacturing has sharply weakened in the mid-Atlantic states, according to a report from the Federal Reserve. Manufacturing has been one of the strongest parts of the economy since the recession ended in 2009, but its growth has slowed this year.

The manufacturing news was especially bleak on an already bad day, said Dan Greenhaus, chief global strategist at brokerage BTIG. He called the Fed report "an atrocious set of numbers."

"That really set the market on its head," he said.

Wall Street and other financial markets have wrestled for several weeks with fears that a new recession might be in the offing. Morgan Stanley economists said in a report Thursday that the U.S. and Europe are "dangerously close to recession."

"It won't take much in the form of additional shocks to tip the balance," they wrote.

Worries about European debt also hang over the market. A default by any country would hurt the European banks that hold its bonds, plus American banks that have lent to their European counterparts.

Renewing the fears, The Wall Street Journal reported Thursday that U.S. regulators are looking at the U.S. arms of big European banks to make sure they have enough money for day-to-day operations.

"I don't want to pretend that the market knows what it's thinking about too much," said David Kelly, chief market strategist at JPMorgan Funds. "We live in an environment of sell now and ask questions later."

Asian markets started Thursday's drop. Japan's Nikkei 225 index fell 1.3 percent. The main stock indexes in South Korea and India each dropped a little more, then Europe more than that -- 4.5 percent in Britain and 5.8 percent in Germany.

In the United States, the Dow fell 419.63 points, or 3.7 percent, to 10,990.58. The Standard & Poor's 500 index fell 53.24, or 4.5 percent, to 1,140.65. The Nasdaq composite fell 131.05, or 5.2 percent, to 2,380.43.

The Dow is down 13.6 percent since stocks began falling July 21 -- four weeks that have rattled Americans watching their retirement savings and other investment accounts shrivel.

Lee Applegate, a retired sales executive from Cincinnati, watched the latest market plunge uneasily but said he was planning to stay the course with his investments. He and his wife have several retirement accounts.

He remembers the mistake he made in pulling his money out of stocks in early 2009, just before the market started its two-year surge. Since March 9 of that year, the S&P 500 is up 68.6 percent.

"I think things are going to get worse before they get better," Applegate said. "But I'm still going to ride it out."

The selling Thursday was immediate. The Dow plunged from the opening bell and was down 528 points about a half-hour into trading. It essentially moved sideways for the next six hours.

New York Stock Exchange volume was 6.2 billion shares -- busy for a summer day, but not as busy as during the worst of the selling earlier this month, when volume sometimes hit 9 billion.

Last week was one of the wildest in Wall Street history. The Dow moved more than 400 points on four straight days for the first time. But stocks had been relatively stable this week because investors were calmed by strong earnings reports.

The Dow fell 76 points Tuesday and rose four points Wednesday -- the first time in nearly three weeks that the average rose or fell by less than 100 points on two straight days.

That ended Thursday. And with stocks down big, money flooded into U.S. Treasurys and gold, both considered safer investments.

The yield on the 10-year Treasury note briefly fell below 2 percent for the first time. It hit 1.98 percent before rising to 2.07 percent. Investors are willing to accept a lower return on their money in exchange for safety.

The price of gold reached yet another high -- $1,829.70 per ounce. Gold keeps setting records bcause some investors are looking for stability and others are simply looking to cash in.

The price of oil fell $5.20 to $82.38 per barrel after the economic reports raised concern among traders that demand for gasoline would fall. One survey this week found Americans have already cut back on gas 21 weeks in a row.

And the average rate on a 30-year fixed mortgage fell to its lowest on record. The rate on the most popular mortgage hit 4.15 percent -- just below the 4.17 percent reached last November. The last time long-term rates were lower was in the 1950s, when 30-year loans weren't widely available.

Nicole Sherrod, a managing director at broker T.D. Ameritrade, said the market volatility has led more clients to put automatic protections in place to sell a stock or an investment fund once it falls below a certain value.

"Our clients are saying that this is not a buy and hold market," she said. "This is a buy and protect market."

In addition, computer systems that are programmed to analyze charts, capitalize on tiny changes in price and execute trades with no human intervention are making the market rougher.

High-frequency trading programs make up about half of the trading volume in a normal market day but 70 percent or more on a volatile one.

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Stocks fall as traders worry over weekend
Stocks fall in afternoon trading as traders, seeking safety, sell in advance of the weekend

On Friday August 19, 2011, 6:42 pm
NEW YORK (AP) -- A growing belief that the U.S. economy may be headed toward recession gave the stock market its fourth straight week of losses.

The anxiety in the market was obvious Friday as the major indexes went from moderate gains early in the day to another sharp loss. The Dow Jones industrial average had its 10th move of more than 100 points in 15 trading days this month.

"We just don't know whether we're going to have a recession," said John Burke, head of Burke Financial Strategies.

There was little news to help investors determine their next moves. However, JPMorgan Chase & Co. joined other financial firms and cut its forecast for economic growth during the fourth quarter. It's now predicting growth at annual rate of just 1 percent, down from an earlier forecast of 2.5 percent. That added to the recession fears.

Investors disliked the news late Thursday that Hewlett-Packard Co. is planning to exit most of its consumer businesses, including PCs. HP fell 20 percent to a six-year low. HP plans to transform itself into a company that caters to corporations.

After the market rose early, some investors sold in case bad news comes out of Europe over the weekend. European investors were also cautious -- banking stocks fell near two-and-a-half-year lows, dragged down by rumors about banks' potential losses on bonds issued by heavily indebted governments.

"These things usually break out over the weekend and then you have a mad dash Monday to react to them," said Mike McGervey, the head of McGervey Wealth Management.

The drop late in the day recalled the 2008 financial crisis. Then, many investors stepped up their selling in the afternoon out of fears about news that might break overnight -- or on weekends. Lehman Brothers failed on Sunday, Sept. 15. The government took over mortgage companies Fannie Mae and Freddie Mac the previous weekend.

The Dow lost 172.93, or 1.6 percent, and closed at 10,817.65. It was down 4 percent for the week. Since July 21 -- four weeks and one day -- the Dow is down 15 percent.

Companies that rely on an expanding economy for higher revenue fell. Caterpillar Inc., International Business Machines and Alcoa Inc. each fell more than 2 percent.

The Standard & Poor's 500 stock index fell 17.12, or 1.5 percent, to 1,123.53. It was down 4.7 percent for the week. All 10 industry groups that make up the index fell.

The Nasdaq composite fell 38.59, or 1.6 percent, to 2,341.84. It was down 6.6 percent for the week.

Although stocks fell, investors did not continue pushing the price of Treasurys, as they have the last three weeks. The yield on the benchmark 10-year Treasury note was almost unchanged at 2.07 percent, compared with late Thursday's 2.06 percent. It had been up to 2.11 percent earlier in the day. The yield fell below 2 percent Thursday for the first time as heavy demand sent its price sharply higher.

Investors began the week confident after last week's volatility, the worst the market has had since the 2008 financial crisis. The Dow rose nearly 215 points on Monday when Google, Time Warner Cable and Cargill were among companies announcing multi-billion deals. The market remained relatively calm the next two days. But on Thursday, a stream of bad economic news in the U.S. combined with worries about Europe's debt problems and sent the Dow plunging 419 points.

Since July 21, the market has gone from one crisis to another, and the weakening U.S. economy has been at the heart of the selling. In late July, the concern was the debt debate going on in Washington. In early August, it was the downgrade of the U.S. debt rating by Standard & Poor's. Since then, worries about the impact of the downgrade have faded, and growing evidence that the economy is slowing has driven stocks down.

Signs of a slower economy around the world have only made investors more pessimistic about the U.S. Earlier this week, Germany said its economy grew just 0.1 percent in the second quarter. And Germany is the strongest economy in Europe.

Stocks fell Thursday on news of another drop in home sales, weaker manufacturing in the mid-Atlantic states and an increase in the number of people who applied for unemployment benefits.

The stock market tends to reflect the expectations that investors have for the economy and company earnings six to nine months in the future. So traders are interpreting the numbers they're seeing as part of a slide in the economy that will continue for some time.

A recession is generally thought of as two consecutive quarters in which the economy contracts, as measured by a country's gross domestic product. With expectations of growth in the U.S. already low, investors worry that the economy can't withstand another unexpected event like the earthquake in Japan or the string of bad weather that ravaged the South earlier this year.

JPMorgan analyst Michael Feroli said business confidence, household wealth and global growth all look worse than just a few weeks ago. He expects economic growth to be nearly flat into the first quarter of 2012.

Next week is likely to bring more volatility. On Friday, the government will give its second estimate of how the economy did during the second quarter. It said a month ago that the GDP grew at an annual rate of just 1.3 percent during the quarter. Economists expect the government to announce a lower reading: 1.1 percent. The GDP report July 29 contributed to the market's heavy losses. So did the government's revised estimate for the first quarter: 0.4 percent.

Next Friday also brings the Federal Reserve's annual retreat at Jackson Hole, Wyo. It was a year ago at Jackson Hole that Fed Chairman Ben Bernanke hinted that the central bank would begin buying $600 billion in Treasury securities to stimulate the economy. The buying ended June 30. Now investors want to know if the Fed will act again.

But some analysts think that the U.S. economy will continue to grow on its own, although slowly.

"The market is thinking that we're going into a recession, but the data is telling you that we're not," said Jonathan Golub, chief U.S. market strategist for UBS. He pointed to an increase Thursday in an index of economic leading indicators that suggested the economy is expanding slowly.

[setravis]

Dow up for a fourth day, turns positive for 2011
Stocks climb on surge in factory orders; major indexes still have worst Aug. since 2001

NEW YORK (AP) -- It's a quiet end to a wild month for financial markets.

Stocks edged higher Wednesday on a report that factory orders surged in July. The Dow Jones industrial average turned higher for the year. The Dow's four-day winning streak ended a tumultuous August that had the most 400-point swings in the history of the index.

A surge in factory orders indicated to investors that the manufacturing industry is still healthy. Orders rose 2.4 percent in July, the largest increase since March, after falling 0.4 percent in June. That decline caused worries that manufacturing, one of the best-performing areas of the U.S. economy since the recession ended two years ago, might be starting to sputter.

The Dow rose 53.58 points, or 0.5 percent, to end at 11,613.53. It fell 4.4 percent for the month, although it is now up 0.3 percent for the year. Aluminum maker Alcoa Inc. rose 3.6 percent, the most of the 30 companies that make up the Dow average.

Joy Global rose 1.3 percent after the mining equipment maker said its earnings rose 46 percent because of strong global demand for commodities like copper and coal.

That helped to push up other stocks in the mining and commodities industry. Equipment giant Caterpillar Inc. rose 1.3 percent.

The Standard & Poor's 500 index rose 5.97, or 0.5 percent, to 1,218.89. It fell 5.7 percent for the month. Financial stocks were the worst performers in August as many worked to raise capital to comply with new regulations.

On Wednesday, nine of the 10 company groups that make up the index rose. The telecommunications industry was the only one to fall.

AT&T Inc. plunged 3.9 percent after the Justice Department filed a lawsuit to stop the company's $39 billion merger with rival T-Mobile USA. Sprint Nextel Corp., which opposed the deal, rose 5.9 percent.

The Nasdaq composite index rose 3.35, or 0.1 percent, to 2,579.46. It fell 6.4 percent for the month.

The Dow, S&P and Nasdaq each had their worst August since 2001.

The market is closing out an extraordinarily volatile month. The Dow was as high of 12,132 this month and as low of 10,719 in the span of 23 trading days.

The volatility that began in late July seeped into August amid the debate in Washington over extending the country's borrowing limit to avoid a debt default. The declines gained speed the week ended Aug. 5, when all three major indexes entered a correction, or a decline of 10 percent or more from a recent peak. Investors feared that Italy or Spain -- Europe's third and fourth largest economies -- would be unable to repay their debts. Some economists began to worry that the U.S. would slip into another recession.

Then came even worse news. Standard & Poor's lowered the nation's credit rating, and stocks plunged. The S&P 500 hit a low for 2011 on Aug. 8 and the Dow had four consecutive days of 400-point swings, the first time that's happened in its 115-year history.

Stocks had their first positive week in a month the week ended Aug. 26 after Federal Reserve Chairman Ben Bernanke said the U.S. remains on pace for long-term economic growth. The Dow has risen for seven of the last eight days.

Bond prices have also been volatile. The yield on the 10-year Treasury note briefly fell to 1.98 percent on Aug. 18, a record low, on weak manufacturing data from the Philadelphia Federal Reserve. On Wednesday, the yield rose to 2.21 percent from 2.18 percent late Tuesday.

Some investors chose to avoid the swings in stocks and bonds by parking their money in gold, but even that wasn't entirely a safe bet. Gold hit a record high of $1,891.90 an ounce Aug. 22. Two days later, it fell $104 to $1,757.30 an ounce. It rose $1.90 to $1,831.70 an ounce Wednesday.

Rex Macey, chief investment officer of Wilmington Trust, said he expected more sudden turns in the stock market until investors can determine if the U.S. economy is headed for another recession or a recovery.

"When you're on the edge of growth versus recession, that's a big difference," he said. "Being near the precipice means that markets are going to be more volatile."

[setravis]

Stocks finish their second-best week in a year
Stocks gain for a 5th day, finish their second-best week in a year; Research in Motion tanks

Friday September 16, 2011
NEW YORK (AP) -- The stock market finished its second-best week in a year Friday as Europe's debt problems appeared to get closer to a resolution.

Stocks ended higher for a fifth straight day, the longest winning streak in 2 1/2 months. The Dow Jones industrial average rose 75 points after Treasury Secretary Timothy Geithner called on European finance ministers at a meeting in Poland to reach a solution on Greece's debt problems.

The Standard & Poor's 500 finished the week with a 5.4 percent gain. It was the biggest increase for the broad market index since the week that ended July 1.

The Dow Jones industrial average rose 75.91 points, or 0.7 percent, to close at 11,509.09. The Dow jumped 186 points Thursday, its biggest gain of the week, after five central banks said they would act together to support European lenders with unlimited dollar loans.

The S&P index gained 6.90, or 0.6 percent, to 1,216.01. The Nasdaq added 15.24, or 0.6 percent to 2,622.31.

Nine of the 10 company types in the S&P index rose. Energy companies fell 0.1 percent.

Officials from countries that use the euro met in Poland to discuss solutions to the long-simmering debt problems affecting the region. The group said it would not decide until next month whether Greece has qualified for its next round of bailout money. Investors had been hoping the question would be decided sooner.

Antony Conroy, head trader for BNY ConvergEx Group, said traders' sentiment was mixed. Some were picking up stocks they thought were undervalued, while others were selling because of long-term concerns about Europe.

"Even though we've had a good couple of days, people still believe there's a good chance that the credit crisis in Europe is going to cause something like a 2008 event," he said.

Stocks rose every day this week, their first five-day winning streak since July. The rose 4.7 percent this week but is still down 0.9 percent for the month. The S&P is down 0.2 percent in September.

In corporate news, Blackberry maker Research in Motion Ltd. plunged 19 percent to $23.93 after reporting sharply lower revenue and income. The company faces stiff competition from Apple Inc.'s iPhone and phones that use Google Inc.'s Android software. RIM has lost 59 percent of its value this year. The company said in July it would lay off 10 percent of its work force.

Netflix Inc. lost 26 percent over the past two days, $155.19, after the movie-rental company lowered its forecast of U.S. subscribers. Online retailer Ebay jumped 5 percent to $33.69 after an analyst upgraded the company because of expected growth in its PayPal division. Diamond Foods, maker of Pop Secret popcorn, soared 12 percent to $87.30 after its profits beat expectations.

Rising and falling shares were about even on the New York Stock Exchange. Volume was above average at 4.6 billion shares.

[setravis]

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4:15 pm : The major averages ended in mixed fashion as the Dow Jones added 0.1% and the S&P 500 shed 0.2%.

The Dow outperformed the broader market as the relative strength of United Technologies (UTX 105.16, +3.05) provided the price-weighted index with enough support to keep it in positive territory throughout the session. In addition, DuPont (DD 57.12, -0.05) displayed early strength, but ended in the red. Both companies reported bottom-line beats on below-consensus revenue and DuPont announced it will seek strategic alternatives for its Performance Chemical segment.

Although DuPont settled on its lows, the materials sector finished in the lead. The space received support from miners after Freeport-McMoRan (FCX 29.99, +0.84) reported an earnings beat. On a related note, copper futures added 0.9% to $3.213 per pound while gold futures climbed 0.5% to $1342.20 per troy ounce.

The materials sector was closely followed by yesterday's biggest laggard, energy. The growth-oriented space added 0.2% as crude oil rose 0.2% to $107.14 per barrel.

Elsewhere, utilities and telecom services settled with respective gains of 0.3% and 0.4% while the remaining sectors ended in the red.

Financials and technology spent most of the day in negative territory. In the financial sector, major banks displayed little change and insurer Travelers (TRV 82.21, -3.22) fell 3.8% despite beating on earnings.

Tech shares displayed broad weakness, with the largest sector component, Apple (AAPL 418.99, -7.32), sliding 1.7% ahead of its after-hours earnings report. Meanwhile, chipmakers underperformed even after Texas Instruments (TXN 38.93, +1.51) reported a slight earnings beat on an 8.6%


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5:45PM IberiaBank beats by $0.08 (IBKC) 58.73 +0.29 : Reports Q2 (Jun) earnings of $0.80 per share, excluding non-recurring items, $0.08 better than the Capital IQ Consensus Estimate of $0.72.

"We experienced the strongest quarterly organic loan growth in our Company's history. Noninterest bearing deposit volumes continued to climb. Our net interest margin in the second quarter showed significant improvement as expected. Our asset quality and capital position remained stellar. Targeted cost savings are being achieved, though results this quarter were masked by $4 million in one-time branch closure costs that were beyond our expectations. While we originated the third highest quarterly mortgage loan production in our Company's history, mortgage income was negatively affected by the rapid rise in interest rates and reduced pipeline valuations. Overall, we believe we remain on track to achieve the guidance we projected for the investment community last quarter."


5:39PM Entergy issues statement on arrest of former Indian Point Energy Center employee (ETR) 72.33 -0.02 : A former employee of Entergy at its Indian Point Energy Center was arrested today on federal charges brought by the U.S. Attorney's Office for falsifying documents at Indian Point in 2012. Indian Point employees uncovered the falsification and reported it to plant management who in turn immediately notified the Nuclear Regulatory Commission. Entergy conducted a prompt investigation that concluded deliberate falsification of records likely occurred. The individual ended his employment with the company during our investigation. Entergy cooperated fully with the NRC throughout its investigation after notifying the agency of the issue.

The apparent falsification related to the quality of fuel in back-up tanks for use in the plant's emergency generators. At no time was the plant in an unsafe condition. We completed an evaluation of the fuel oil and determined that all the generators would have performed as designed. Falsification of records is totally unacceptable, and there are swift and real consequences for workers who do not exhibit the highest standards of integrity. Entergy will cooperate with the U.S. Attorney's Office as appropriate.

5:16PM Krispy Kreme plans continued expansion in Asia Pacific; to open 60 new franchise locations in South Korea over the next five years (KKD) 19.66 +0.07 : Co continues to expand in the Asia Pacific region with the announcement today that it has reached an agreement in principle on the material terms of a development plan with existing franchisee Lotteria Co., LTD for 60 new Krispy Kreme franchise locations in South Korea over the next five years.  The franchisee also plans significant remodels at more than half of its existing 73 Krispy Kreme locations throughout the country.  The parties expect to execute a definitive agreement upon receipt of approval from South Korean franchise regulatory authorities, which is expected in the coming months.