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Stocks Slump as Economic Worries Overtake Earnings

August 6, 2010 by staff 

Stocks Slump as Economic Worries Overtake EarningsStocks Slump as Economic Worries Overtake Earnings, NEW YORK: U.S. WSJ – stocks fell slightly on a day of volatile trading following a disappointing jobs report cast further doubt on the pace of U.S. recovery economic.

The Dow Jones Industrial Average fell 21.42 points, or 0.2%, to 10653.56. That left the average 1.8% in the week, its third consecutive increase, and 2.2% for the year. JP Morgan Chase was the weakest component, slipped 83 cents, or 2%, to 40.44, a day in more risky stocks took the biggest hit in the economic outlook darkened.

The July employment report weaker than expected and the additional blow of a strong downward revision in June with a loss of jobs, had the reference value of slip to a three-digit decline, but losses are fell as investors took a cautious step back, anticipating weak data could prompt the U.S. Federal Reserve to take further action at its meeting next week to stimulate the economy.

The Nasdaq composite index fell 4.59, or 0.2%, to 2288.47, leaving a week 1.5% and 0.9% for the year. The rate of Standard & Poor’s 500 shed 4.17 share, or 0.4%, to 1121.64, weighted by their energy and financial sectors. It rose 1.8% in the week and is now 0.6% by 2010.

Leading the decline in energy stocks, oil and gas producer EOG Resources slipped 3.18, or 3.1%, to 99.26, after its second-quarter earnings failed to meetanlysts’ expectations and said increase spending this year. The company also said it plans to sell some natural gas assets to accelerate its transformation into an oil producer.

However, investors said much better than expected quarterly corporate reports that have dominated the recent market movements, there was a second place on Friday employment data and the potential impact on central bank decisions.

“In recent weeks the market has focused on earnings, but when earnings stop and tell people, ‘Hey the economy is not doing so well,” which is when the market is imported, “said Brian Peardon , wealth adviser at Harrison Financial Group.

insurance sectors include consumer staples, was better Friday. Leading the Dow rises, Kraft Foods rose 70 cents, or 2.4%, to 30.36 after announcing a 13% increase in second-quarter earnings because of its new business helped boost Cadbury sales in markets developing Asia and Latin America. The earnings beat Wall Street expectations and Kraft 2010 restated its earnings forecast. Other advanced food companies, including poultry processor Tyson Foods, up 36 cents, or 2.2%, to 17.14. Kroger supermarket chain added 21 cents, or 1%, to 22.20.

PerkinElmer jumped 2.24, or 11%, to 22.29 after its quarterly profit nearly tripled to beat expectations, driven by strong revenue growth in its division of environmental health. The seller ofanlytical products and services to healthcare and industrial sectors again raised its earnings forecast for the year.

Although the majority of weak financial statements, insurance giant AIG rose 1.03, or 2.6%, and 40.93, after the insurance business the company generated an operating profit, although the company had a second-quarter loss after taking one and 3.3 billion write down in existing operations for sale to MetLife.

All natural juices and soft drink maker Hansen Natural rose 3.18, or 7.7%, to 44.69 on the Nasdaq stock market after its second-quarter profit rose 11% on strong sales of its beverage Monster energy. Earnings and revenue beat Wall Street expectations.

Washington Post fell 31.05, or 7.6%, to 377.56, despite reporting a big jump in quarterly profit that was driven by minus fees and growth in its education division. The company warned that the media momentum for new rules for admission and other practices in the nonprofit colleges could affect future results in its Kaplan education unit.

Weight loss services company Weight Watchers International rose 1.63, or 5.9%, to 29.23 after its earnings beatanlyst expectations, helped by a strong marketing push. To expand its licensing business, the company wants to boost new categories and focus on product innovation, the CEO David Kirchhoff, said in an interview.

Auto-parts giant Magna International ably exceededanlysts’ expectations, earnings for the second quarter, swinging to a profit as sales rose 63% in the back of increased vehicle production in North America. The company also raised its quarterly dividend, citing continued profitability and improved expectations for vehicle production, sending its shares up 4 or 5.3%, to 79.

Mohawk Industries, which makes carpet and other floor coverings, advanced 3.18, or 6.5%, to 51.89 after its quarterly profit rose 47% price increases and benefits cost reduction. second-quarter earnings of the company exceeded Wall Street expectations.

Warner Chilcott (Nasdaq), which makes women’s healthcare and dermatology products, rose 88 cents, or 3.3%, to 27.30 after its quarterly profit more than doubled. Adjusted results beatanlysts’ estimates as the company’s numbers were skewed by its 3.1 billion and the acquisition of Procter & Gamble prescription drug business.

Bond insurer Assured Guaranty jumped 2.34, or 15%, to 18.44, after swinging to a profit in the second quarter as credit derivatives helped the baseline and the main benefit of the company beat expectationsanlysts.

Activision Blizzard (Nasdaq) fell 76 cents, or 6.5%, to 10.99, despite a 12% increase in earnings for the second quarter, after the video game publisher gave an overview of the third weak earnings quarter. Activision said that sales of online channels higher than retail establishments for the first time.

NEW YORK: U.S. stocks fell slightly on a day of volatile trading following a disappointing jobs report cast further doubt on the pace of U.S. recovery economic.

The Dow Jones Industrial Average fell 21.42 points, or 0.2%, to 10653.56. That left the average 1.8% in the week, its third consecutive increase, and 2.2% for the year. JP Morgan Chase was the weakest component, slipped 83 cents, or 2%, to 40.44, a day in more risky stocks took the biggest hit in the economic outlook darkened.

The July employment report weaker than expected and the additional blow of a strong downward revision in June with a loss of jobs, had the reference value of slip to a three-digit decline, but losses are fell as investors took a cautious step back, anticipating weak data could prompt the U.S. Federal Reserve to take further action at its meeting next week to stimulate the economy.

The Nasdaq composite index fell 4.59, or 0.2%, to 2288.47, leaving a week 1.5% and 0.9% for the year. The rate of Standard & Poor’s 500 shed 4.17 share, or 0.4%, to 1121.64, weighted by their energy and financial sectors. It rose 1.8% in the week and is now 0.6% by 2010.

Leading the decline in energy stocks, oil and gas producer EOG Resources slipped 3.18, or 3.1%, to 99.26, after its second-quarter earnings failed to meetanlysts’ expectations and said increase spending this year. The company also said it plans to sell some natural gas assets to accelerate its transformation into an oil producer.

However, investors said much better than expected quarterly corporate reports that have dominated the recent market movements, there was a second place on Friday employment data and the potential impact on central bank decisions.

“In recent weeks the market has focused on earnings, but when earnings stop and tell people, ‘Hey the economy is not doing so well,” which is when the market is imported, “said Brian Peardon , wealth adviser at Harrison Financial Group.

insurance sectors include consumer staples, was better Friday. Leading the Dow rises, Kraft Foods rose 70 cents, or 2.4%, to 30.36 after announcing a 13% increase in second-quarter earnings because of its new business helped boost Cadbury sales in markets developing Asia and Latin America. The earnings beat Wall Street expectations and Kraft 2010 restated its earnings forecast. Other advanced food companies, including poultry processor Tyson Foods, up 36 cents, or 2.2%, to 17.14. Kroger supermarket chain added 21 cents, or 1%, to 22.20.

PerkinElmer jumped 2.24, or 11%, to 22.29 after its quarterly profit nearly tripled to beat expectations, driven by strong revenue growth in its division of environmental health. The seller ofanlytical products and services to healthcare and industrial sectors again raised its earnings forecast for the year.

Although the majority of weak financial statements, insurance giant AIG rose 1.03, or 2.6%, and 40.93, after the insurance business the company generated an operating profit, although the company had a second-quarter loss after taking one and 3.3 billion write down in existing operations for sale to MetLife.

All natural juices and soft drink maker Hansen Natural rose 3.18, or 7.7%, to 44.69 on the Nasdaq stock market after its second-quarter profit rose 11% on strong sales of its beverage Monster energy. Earnings and revenue beat Wall Street expectations.

Washington Post fell 31.05, or 7.6%, to 377.56, despite reporting a big jump in quarterly profit that was driven by minus fees and growth in its education division. The company warned that the media momentum for new rules for admission and other practices in the nonprofit colleges could affect future results in its Kaplan education unit.

Weight loss services company Weight Watchers International rose 1.63, or 5.9%, to 29.23 after its earnings beatanlyst expectations, helped by a strong marketing push. To expand its licensing business, the company wants to boost new categories and focus on product innovation, the CEO David Kirchhoff, said in an interview.

Auto-parts giant Magna International ably exceededanlysts’ expectations, earnings for the second quarter, swinging to a profit as sales rose 63% in the back of increased vehicle production in North America. The company also raised its quarterly dividend, citing continued profitability and improved expectations for vehicle production, sending its shares up 4 or 5.3%, to 79.

Mohawk Industries, which makes carpet and other floor coverings, advanced 3.18, or 6.5%, to 51.89 after its quarterly profit rose 47% price increases and benefits cost reduction. second-quarter earnings of the company exceeded Wall Street expectations.

Warner Chilcott (Nasdaq), which makes women’s healthcare and dermatology products, rose 88 cents, or 3.3%, to 27.30 after its quarterly profit more than doubled. Adjusted results beatanlysts’ estimates as the company’s numbers were skewed by its 3.1 billion and the acquisition of Procter & Gamble prescription drug business.

Bond insurer Assured Guaranty jumped 2.34, or 15%, to 18.44, after swinging to a profit in the second quarter as credit derivatives helped the baseline and the main benefit of the company beat expectationsanlysts.

Activision Blizzard (Nasdaq) fell 76 cents, or 6.5%, to 10.99, despite a 12% increase in earnings for the second quarter, after the video game publisher gave an overview of the third weak earnings quarter. Activision said that sales of online channels higher than retail establishments for the first time.

Source : “http://online.wsj.com/article/SB10001424052748703988304575413731220196008.html

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