News

US: Stocks finish well despite mixed data

• 06 Jan 2009

  Wall Street finished with steady gains, shrugging off mixed economic data and the Fed's dour outlook.
  
  The Federal Reserve minutes from its last rate setting meeting revealed that rates were cut to near zero because officials felt the economy needed help as it is likely to struggle for sometime. The central bankers also said gross domestic product growth will decline in 2009.
  
  The Institute for Supply Management said its service sector index rose to 40.6 in December, which was better-than-expected, from 37.3 in the previous month. It had been expected to fall to 37.
  
  The Commerce Department said new factory orders fell 4.6% to $384.6bn in November, the fourth straight month of decline. Economists had expected a decline of 2.6%. The government also revised October's decline to 6% from 5.1% reported previously.
  
  Pending US home sales fell to a record low in November, the National Association of Realtors said Tuesday. The index fell 4% to 82.3 from a downwardly revised October reading of 85.7 in October and much was worse than the 88 expected.
  
  Hopes also rose that President-elect Obama's massive economic stimulus package will get businesses investing for the future again.
  
  , and all made steady gains, while outside of the banking sector, moved up on hopes that some of the windfall from Obama's promised tax breaks will be spent on increased leisure activities.
  
  Futures market was down after Goldman Sachs downgraded the stock from "buy" to "neutral" on the back of weaker than anticipated trading volumes for the fourth quarter.
  
  Sat-nav maker also got sandbagged by Goldman Sachs; the stock was added to the US bank's "conviction sell" list.
  
  Job cuts took centre stage after the close yesterday. Health benefits firm said it was shedding 1,100 jobs to save $40m on Monday.
  
  Computer products maker also said yesterday that it was cutting 15% of its salaried work force. It also withdrew its corporate guidance without providing new earnings targets.
  
  S&P 500 - Risers
  American Capital Strategies Ltd. (ACAS) $7.31 +40.58%
  Developers Diversified Reality (DDR) $7.75 +35.96%
  Ciena Corp. (CIEN) $8.40 +18.64%
  General Growth Property Inc. (GGP) $1.60 +18.52%
  L S I Logic Corp. (LSI) $3.86 +18.04%
  Jds Uniphase Corp. (JDSU) $5.25 +15.89%
  Cb Richard Ellis Group (CBG) $5.00 +14.94%
  Prudential Fincl Inc. (PRU) $35.11 +14.85%
  Lincoln Natl Corp. (LNC) $25.01 +14.67%
  Hartford Fin Svc (HIG) $19.68 +14.22%
  
  S&P 500 - Fallers
  IntercontinentalExchange (ICE) $62.59 -14.26%
  Celgene Corp. (CELG) $50.47 -7.16%
  Liz Claiborne Inc. (LIZ) $3.16 -6.78%
  Laboratory Corp. (LH) $61.40 -6.49%
  Coventry Hlth Care (CVH) $14.24 -6.25%
  Quest Diagnostc (DGX) $48.50 -5.88%
  Molson Coors Co Class B (TAP) $45.73 -5.59%
  Reynolds American (RAI) $37.78 -5.50%
  Stryker Corp. (SYK) $38.77 -4.93%
  Kroger Co (KR) $25.36 -4.91%
  
  Dow Jones I.A - Risers
  Hewlett Packard Co (HPQ) $39.31 +8.20%
  General Motors (GM) $3.94 +6.20%
  American Express Inc. (AXP) $21.07 +5.61%
  Citigroup Inc. (C) $7.46 +5.37%
  Du Pont E I De Nem (DD) $27.65 +5.01%
  Walt Disney-Disney C (DIS) $24.31 +3.45%
  Intel Corp. (INTC) $15.37 +3.09%
  International Business Machines (IBM) $89.23 +2.78%
  Home Depot Inc. (HD) $25.26 +2.23%
  Alcoa Inc. (AA) $12.12 +2.19%
  
  Dow Jones I.A - Fallers
  McDonald's Corp. (MCD) $62.14 -2.23%
  Pfizer Inc. (PFE) $17.80 -1.98%
  Merck Co Inc. (MRK) $29.97 -1.83%
  Exxon Mobil Corp. (XOM) $80.30 -1.63%
  Coca Cola Co (KO) $44.71 -1.61%
  Verizon Commun (VZ) $31.96 -1.60%
  Wal Mart Stores (WMT) $56.02 -0.88%
  Caterpillar Inc. (CAT) $45.80 -0.61%
  Johnson and Johnson (JNJ) $59.69 -0.60%
  AT&T Inc. (T) $28.30 -0.46%
  
  Nasdaq 100 - Risers
  Flextronics International Ltd. (FLEX) $3.19 +15.16%
  Sun Microsystems Inc. (JAVA) $4.97 +11.19%
  Electronic Arts Inc. (ERTS) $18.56 +11.14%
  Marvell Technology Group Ltd. (MRVL) $7.64 +8.83%
  Applied Materials Inc. (AMAT) $11.58 +8.53%
  Nii Holdings Inc. (NIHD) $23.62 +8.50%
  Liberty Global Inc. (LBTYA) $18.04 +8.28%
  Research In Motion Ltd. (RIMM) $46.61 +7.65%
  Kla-Tencor Corp. (KLAC) $24.11 +7.63%
  Liberty Media Corp. (LINTA) $3.72 +7.20%
  
  Nasdaq 100 - Fallers
  Celgene Corp. (CELG) $50.47 -7.16%
  Garmin Ltd. (GRMN) $21.09 -4.14%
  Gilead Sciences Inc. (GILD) $49.63 -2.69%
  Intuitive Surgical Inc. (ISRG) $122.19 -2.67%
  Dentsply International Inc. (XRAY) $27.40 -2.66%
  First Solar Inc. (FSLR) $153.71 -2.59%
  Urban Outfitters Inc. (URBN) $14.80 -2.57%
  Stericycle Inc. (SRCL) $51.24 -2.33%
  Genzyme Corp. (GENZ) $66.19 -2.23%
  Amgen Inc. (AMGN) $58.34 -2.20%