5:05 PM, Jul 28, 2011 --
- DJIA down 62 (-0.5%) to 12,240
- S&P 500 down 4 (-0.3%) to 1,300
- Nasdaq up 1.5 (+0.1%) to 2,766
GLOBAL SENTIMENT
- Nikkei down 1.5%.
- Hang Seng up 0.1%.
- Shanghai Composite down 0.5%.
- FTSE-100 down 0.3%.
UPSIDE MOVERS
(+) CSCO upgraded.
(+) BSX beats with results, raises guidance.
(+) BMY reports positive trial data results, mostly upbeat earnings.
(+) DD gains after earnings report.
(+) LSI continues evening gain that followed earnings, guidance beat.
(+) WFM continues evening gain that followed earnings, guidance beat.
(+) CACH reports improved quarter.
(+) SYMC upgraded.
(+) POT beats with earnings.
(+) CL down as sales meet.
(+) CTXS issues mixed guidance.
DOWNSIDE MOVERS
(-) AVB downgraded.
(-) SQNS warns on sales.
(-) AVP results top year-ago period, miss estimate.
(-) RCL cuts outlook.
(-) LOGI swings to loss, CEO leaving.
(-) AKAM continues evening drop that followed Q2 miss.
(-) S reports loss, meets with sales.
(-) XOM slips after earnings.
(-) ALU misses with revenue.
MARKET DIRECTION
Stocks gained and dropped in a volatile session before ending narrowly mixed. It's the fourth straight loss for the Dow. Stocks gained at one point on new data showing a gain in existing homes under sales contracts and better-than-expected employment data. Both managed to offset worries over the national debt debate going on in Washington.
The index of sales agreements for previously occupied homes compiled by the National Association of Realtors rose 2.4% in June to a reading of 90.9. A 100 reading is deemed healthy by economists.
New applications for U.S. unemployment compensation dropped by 24,000 to 398,000, the Labor Department said Thursday. Initial claims from two weeks ago were revised up to 422,000 from an original 418,000. Economists surveyed by MarketWatch had expected new requests for jobless benefits to fall to 413,000 in the latest week. The less-volatile average of new claims over the past four weeks declined by 8,500 to 413,750, also the lowest level since April.
The House is set to vote Thursday on a revised plan to raise the deficit ceiling and cut the deficit. House Speaker John Boehner pleaded with conservative Republican House members to back the plan. The package faces opposition by Democrats in the Senate, where Majority Leader Harry Reid is pushing a rival plan.
In company news:
Shares of Google (GOOG) are higher after the Internet search firm said late Wednesday that the U.S. Department of Justice requested more information about its acquisition of ad company Admeld, according to a Google company blog.
Shares of Exxon Mobil (XOM) are down after the company said it sees second quarter EPS, less items, of $2.18, below the mean Bloomberg estimate for $2.34. In a statement this morning, CEO Rex Tillerson said "Exxon Mobil recorded strong results during the second quarter of 2011, while investing at a record level of over $10 billion to develop new supplies of energy to meet growing world demand."
JPMorgan Chase (JPM) CEO Jamie Dimon, Bank of America (BAC) Chief Executive Brian Moynihan, Citigroup (C) Chief Executive Vikram Pandit and Goldman Sachs (GS) CEO Lloyd C. Blankfein jointly signed a letter to Congress and President Obama urging action to raise the debt ceiling before and Aug. 2 deadline.
In the latest earnings news:
- Boston Scientific (BSX) is up after reporting Q2 EPS of $0.17, which beats analyst estimates by $0.09. The company's reported revenue of $1.98 billion, an increase of 2.4% from the previous year period, beats mean analyst estimates by $40 million.
- Celgene (CELG) reported Q2 sales were $1.18 billion, and non-GAAP EPS were $0.89. The Thomson Reuters mean was for $0.86 per share on sales of $1.12 billion. 2011 sales are seen between $4.60 to $4.70 billion, and non-GAAP EPS between $3.45 to $3.55. Analysts, on average, have EPS of $3.46.
- Logitech (LOGI) said Q1 sales were $480 million, nearly flat from a year ago. Excluding the favorable impact of exchange rate changes, sales declined by 4%year over year. Net loss was $0.17 per share, down from a profit a year ago. Chairman Guerrino De Luca has assumed the additional role of acting president and chief executive officer, succeeding departing CEO Gerald P. Quindlen.
- Legg Mason (LM) was down after it reported fiscal first quarter EPS of $0.40, against analyst expectations of $0.41. The company's revenue of $717.1 million climbed 6.4% from the previous year, but missed by $15 million.
- Time Warner Cable (TWC) reported Q2 EPS of $1.24, beating by $0.09. Revenue of $4.94 billion was in-line with analyst expectations. Time Warner shares are up 3%.
- Kellogg (K) said Q2 sales were $3.4 billion and EPS were $0.94 on a reported basis. Estimates were for $0.91 per share on sales of $3.29 billion. Kellogg shares are up 0.2%.
