News That Moved Wednesday's Market

by: Roy Mehta

U.S. Markets

Dow +42.99 (+0.34%)
Nasdaq +28.27 (+1.19%)
S&P 500 +3.99 (+0.29%)

News That Moved the Market

Major Indices Higher Off Boeing and Broadcom Earnings Reports. Stocks were able to record a gain Wednesday, lifted by Boeing's (BA, +4.5%) better than expected quarterly report. The airplane manufacturer beat analysts' expectations by nearly $0.30/share and reaffirmed its 2008 outlook despite on going delays in the production of its new 787 Dreamliner. The Nasdaq outperformed the other major indices after Broadcom (BRCM, +16.3%) reported a 22% increase in profits. The company issued an upbeat outlook for next quarter, and controlled costs better than anticipated. Markets started higher in the morning, but trading became more choppy in the afternoon as traders looked ahead to Amazon and Apple earnings after the bell (see below).

After Hours Reports. Amazon (AMZN, +1.8% day; -3.3% A.H.) beat EPS estimates, citing strong electronics sales, but shares traded lower after the report because full-year operating income predictions fell short of analysts' expectations. Apple (AAPL, +1.7% day; -0.7% A.H.) reported profits jumped 36% on strong laptops sales. However, like passed Apple earnings reports, the company's profits forecasts failed to hit analysts' expectations and the stock traded lower after an initial pop. After the reports, futures pointed lower for Thursday's open.

Quick Tics: Starbucks (SBUX, +0.9% day; -10.4% A.H.) warned late Wednesday that profits will be hurt by a "sharp weakening in the U.S. consumer environment"...Liberty Mutual agreed to pay $6.2 billion in cash for auto insurer Safeco (SAF, +45.8%).


Notable Earnings (Full List Here):
3M Company (NYSE:MMM) Before Open
Aetna Inc. (NYSE:AET) Before Open
Altria Group, Inc. (NYSE:MO) After Close
American Express Company (NYSE:AXP) After Close
Baidu (NASDAQ:BIDU) After Close
Credit Suisse Group (NYSE:CS) Before Open
Ford Motor Company (NYSE:F) Before Open
Juniper Networks (NYSE:JNPR) After Close

Microsoft (NASDAQ:MSFT) After Close
Motorola Inc. (MOT) Before Open
PepsiCo (NYSE:PEP) Before Open

Economic Events:
8:30 AM: Jobless Claims
8:30 AM: Durable Orders
10:00 AM: New Home Sales