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US close: Stocks pare losses but still finish down on euro worries
Tue, 22 May, 2012
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US close: Stocks pare losses but still finish down on euro worries
Mon, 30 Jan 2012, 22:57:00
- Financials under pressure from euro worries. - EU leaders agree fiscal compact, ESM. - Greek talks still ongoing. - Portuguese yields surge. Dow: -7 at 12,654. Nasdaq: -5 at 2,812. S&P 500: -3 at 1,313. US stocks trimmed earlier losses but still ended lower with the euro crisis dampening sentiment. Nevertheless, helping the mood towards the end of the day was the news from the President of the European Council that the permanent rescue fund and 'fiscal compact' had been approved at the Brussels summit. Herman Van Rompuy announced late on that 25 out of the 27 European Union (EU) agreed and endorsed a new "fiscal compact" (with the UK and the Czech Republic failing to agree). which "is all about more responsibility and better surveillance". Meanwhile, all 17 Eurozone nations endorsed the European Stability Mechanism which will come into effect from July, one year earlier than expected. "Today we have taken decisions on a number of fronts in order to further restore confidence in our economies," Van Rompuy said. However, Greece was very much still at the forefront of the markets minds as talks over a debt restructuring continue to rage on in Athens. According to the Financial Times, the nation's finance minister Evangelos Venizelos "angrily rejected" a German idea to put in place an 'EU budget commissioner' to oversee Greek tax and spending decisions in return for the next bailout package worth €130bn. Elsewhere, the yield on 10-year Portuguese bonds rocketed to a euro-era record well above 17% today, with market chatter now pointing to a default in Lisbon.
BANKS SOLD OFF, TECHS SHINE
Back in the US, financials were being pressured lower by the ongoing concerns in the Eurozone, with
Citigroup, Bank of America and Morgan Stanley
finishing lower. Meanwhile, tech stocks were performing relatively well with
Apple, Dell and IBM
finishing in the blue. In M&A news: airline
US Airways
was in demand on speculation that
Delta Airlines
is weighing up a takeover bid; auto-repair group
Pep Boys-Manny Moe & Jack
surged after agreeing to be acquired by a private-equity firm for nearly $800m; while electrical components firm
Thomas & Betts
jumped after Swiss group ABB said it would acquire it for $3.9bn.
MACROECONOMY
Personal incomes grew by 0.5 on the month in December (Consensus: 0.4%) while spending remained flat (Consensus: 0.1%). Core PCE came in at 0.2% on the month (Consensus: 0.1%). BC
S&P 500 - Risers
Nabors Industries Ltd. (NBR) $18.56 +3.51% Interpublic Group of Companies Inc. (IPG) $10.45 +2.45% Monsanto Co. (MON) $82.31 +2.21% VeriSign Inc. (VRSN) $37.11 +2.18% Cablevision Systems Corp. (CVC) $14.70 +2.15% Ingersoll Rand Ltd. (IR) $35.89 +2.08% Lincoln National Corp. (LNC) $21.41 +2.05% Nordstrom Inc. (JWN) $49.53 +2.02% Lorillard Inc. (LO) $109.59 +1.96% CareFusion Corp. (CFN) $24.35 +1.88%
S&P 500 - Fallers
Gannett Co. Inc. (GCI) $14.17 -6.90% Staples Inc. (SPLS) $15.23 -4.87% CBRE Group Inc (CBG) $18.26 -4.25% United States Steel Corp. (X) $28.73 -3.85% Compuware Corp. (CPWR) $7.80 -3.82% First Solar Inc. (FSLR) $43.80 -3.82% International Game Technology (IGT) $15.52 -3.54% Lexmark International Inc. (LXK) $34.81 -3.28% Wynn Resorts Ltd. (WYNN) $115.41 -3.07% Bank of America Corp. (BAC) $7.07 -3.02%
Dow Jones I.A - Risers
Microsoft Corp. (MSFT) $29.61 +1.30% Verizon Communications Inc. (VZ) $37.61 +1.07% International Business Machines Corp. (IBM) $192.50 +1.07% Merck & Co. Inc. (MRK) $38.90 +0.99% Wal-Mart Stores Inc. (WMT) $61.30 +0.97% AT&T Inc. (T) $29.34 +0.62% E.I. du Pont de Nemours and Co. (DD) $50.97 +0.49% Pfizer Inc. (PFE) $21.58 +0.47% Johnson & Johnson (JNJ) $65.71 +0.23% Travelers Company Inc. (TRV) $58.11 +0.10%
Dow Jones I.A - Fallers
Bank of America Corp. (BAC) $7.07 -3.02% Procter & Gamble Co. (PG) $63.21 -1.70% American Express Co. (AXP) $49.12 -1.46% Alcoa Inc. (AA) $10.32 -1.05% Caterpillar Inc. (CAT) $110.41 -0.78% Kraft Foods Inc. (KFT) $38.18 -0.75% General Electric Co. (GE) $18.90 -0.68% Walt Disney Co. (DIS) $38.99 -0.66% JP Morgan Chase & Co. (JPM) $37.01 -0.54% Chevron Corp. (CVX) $103.41 -0.53%
Nasdaq 100 - Risers
Dish Network Corp. (DISH) $28.41 +2.79% VeriSign Inc. (VRSN) $37.11 +2.18% QUALCOMM Inc. (QCOM) $58.63 +1.45% Dell Inc. (DELL) $16.98 +1.43% Starbucks Corp. (SBUX) $48.48 +1.32% Research in Motion Ltd. (RIMM) $17.02 +1.31% Microsoft Corp. (MSFT) $29.61 +1.30% Apple Inc. (AAPL) $453.01 +1.28% DIRECTV (DTV) $44.91 +1.24% News Corp. Class A (NWSA) $19.09 +1.11%
Nasdaq 100 - Fallers
Staples Inc. (SPLS) $15.23 -4.87% First Solar Inc. (FSLR) $43.80 -3.82% Vertex Pharmaceuticals Inc. (VRTX) $34.74 -3.45% Wynn Resorts Ltd. (WYNN) $115.41 -3.07% KLA-Tencor Corp. (KLAC) $51.07 -2.41% Apollo Group Inc. (APOL) $53.19 -2.33% Bed Bath & Beyond Inc. (BBBY) $61.32 -1.95% Paychex Inc. (PAYX) $31.57 -1.93% Autodesk Inc. (ADSK) $35.91 -1.89% Urban Outfitters Inc. (URBN) $26.51 -1.78%
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