US markets close flat
November 3, 2009
Wall Street finished mixed on Tuesday after an early fall that saw the Dow down by as much as 86 points. Investors remained cautious ahead of the Federal Reserve’s statement on the economic outlook on Wednesday afternoon.
The Federal Reserve’s two day policy meeting began with the expectation that interest rates will remain at current levels.
In economic news, factory orders rose a slightly better than expected 0.9% in September. Factory orders decreased 0.8% in August.
The Dow Jones lost 17.53 points, or 0.18%, to 9,771.91, the S&P 500 added 2.53 points, or 0.24%, to 1,045.41 and the NASDAQ put on 8.12 points, or 0.40%, to 2,057.32.
Berkshire Hathaway put on 1.7% as Warren Buffet’s company said it would buy the remaining 77.4% of railroad operator Burlington Northern Santa Fe it does not already own for $44 billion. Burlington shares surged 27.5%.
The banks were higher. Bank of America and Citigroup were the best of the majors with gains of 1.2% and 1.3% respectively.
MasterCard shed 1.6% after saying revenue growth over the next couple fiscal years would fall short of its long-term objective. The company also reported quarterly earnings and revenue that beat estimates.
Intel dropped 2.7% following a broker downgrade on the chipmaker.
Tech majors Microsoft and Hewlett-Packard weakened 1.2% and 1.4%.
Stanley Works jumped 10.1% after revealing it would buy Black & Decker. B&D shares soared 31%.
Ford dipped 1.9% as most automakers reported a rise in sales in October in comparison to the previous month.
Energy heavyweight Exxon Mobil slid 0.6%, while ConocoPhillips added 1.5%.
NYMEX light crude oil for December delivery rose US$1.47 to settle at US$79.60 a barrel.
COMEX gold for December delivery rallied US$30.90 to settle at US$1,084.90 an ounce.
European Markets
European stocks lost ground following negative news out of the financial sector. Resource stocks tracked metal prices lower.
The UK benchmark FTSE 100 shed 67.29, or 1.32% to 5,037.21. The French CAC40 lost 55.21 points, or 1.52% to 3,584.25, while the German DAX fell 77.47, or 1.43% to 5,353.35.
Financials struggled after UBS posted a disappointing quarterly result. News that Royal Bank of Scotland would be joining the government's asset protection scheme also had a negative impact on the sector. RBS shares slumped 7%.
Lloyds rose 2.7% as a record rights issue means it would avoid the scheme.
HSBC and Barclays lost 3.3% and 2%, while Deutsche Bank and Commerzbank dropped 4.2% and 4%.
In France BNP Paribas and Societe Generale fell 4.3% each.
Xstrata and Anglo American weakened 2% and 1.3%, while Antofagasta shed 0.4%.
Aussie miners BHP Billiton and Rio Tinto lost 2.3% and 1%.
Energy majors BG Group and BP slid 0.8% each as Royal Dutch Shell and Total dipped 0.6% and 0.5%.
Automaker BMW dropped 6.3% after reporting a 74% fall in third quarter profit. Peugeot and Renault lost 2.6% and 1.5%.
Japanese Markets
The Nikkei 225 was closed for Japanese Culture Day yesterday.
Hong Kong Markets
The Hang Seng lost ground for its second straight session yesterday. Property developers retreated on the prospect of greater government control of property prices, while consumer focused stocks made ground on positive data out of the US.
The Federal Reserve’s two day policy meeting began with the expectation that interest rates will remain at current levels.
In economic news, factory orders rose a slightly better than expected 0.9% in September. Factory orders decreased 0.8% in August.
The Dow Jones lost 17.53 points, or 0.18%, to 9,771.91, the S&P 500 added 2.53 points, or 0.24%, to 1,045.41 and the NASDAQ put on 8.12 points, or 0.40%, to 2,057.32.
Berkshire Hathaway put on 1.7% as Warren Buffet’s company said it would buy the remaining 77.4% of railroad operator Burlington Northern Santa Fe it does not already own for $44 billion. Burlington shares surged 27.5%.
The banks were higher. Bank of America and Citigroup were the best of the majors with gains of 1.2% and 1.3% respectively.
MasterCard shed 1.6% after saying revenue growth over the next couple fiscal years would fall short of its long-term objective. The company also reported quarterly earnings and revenue that beat estimates.
Intel dropped 2.7% following a broker downgrade on the chipmaker.
Tech majors Microsoft and Hewlett-Packard weakened 1.2% and 1.4%.
Stanley Works jumped 10.1% after revealing it would buy Black & Decker. B&D shares soared 31%.
Ford dipped 1.9% as most automakers reported a rise in sales in October in comparison to the previous month.
Energy heavyweight Exxon Mobil slid 0.6%, while ConocoPhillips added 1.5%.
NYMEX light crude oil for December delivery rose US$1.47 to settle at US$79.60 a barrel.
COMEX gold for December delivery rallied US$30.90 to settle at US$1,084.90 an ounce.
European Markets
European stocks lost ground following negative news out of the financial sector. Resource stocks tracked metal prices lower.
The UK benchmark FTSE 100 shed 67.29, or 1.32% to 5,037.21. The French CAC40 lost 55.21 points, or 1.52% to 3,584.25, while the German DAX fell 77.47, or 1.43% to 5,353.35.
Financials struggled after UBS posted a disappointing quarterly result. News that Royal Bank of Scotland would be joining the government's asset protection scheme also had a negative impact on the sector. RBS shares slumped 7%.
Lloyds rose 2.7% as a record rights issue means it would avoid the scheme.
HSBC and Barclays lost 3.3% and 2%, while Deutsche Bank and Commerzbank dropped 4.2% and 4%.
In France BNP Paribas and Societe Generale fell 4.3% each.
Xstrata and Anglo American weakened 2% and 1.3%, while Antofagasta shed 0.4%.
Aussie miners BHP Billiton and Rio Tinto lost 2.3% and 1%.
Energy majors BG Group and BP slid 0.8% each as Royal Dutch Shell and Total dipped 0.6% and 0.5%.
Automaker BMW dropped 6.3% after reporting a 74% fall in third quarter profit. Peugeot and Renault lost 2.6% and 1.5%.
Japanese Markets
The Nikkei 225 was closed for Japanese Culture Day yesterday.
Hong Kong Markets
The Hang Seng lost ground for its second straight session yesterday. Property developers retreated on the prospect of greater government control of property prices, while consumer focused stocks made ground on positive data out of the US.
The Hang Seng shed 380.13, or 1.76% to 21,240.06.
Bank of China lost 2.7%. Bank of Communications dropped 1.8%, while HSBC shed 0.8%.
Heavyweight lender ICBC rose 0.9%.
Li & Fung added 0.8% and third-party mobile maker Foxconn International Holdings rose 0.6%.
Turning to the IPO’s, clothing retailer Trinity Limited showed Myer how it’s done, surging 49% on debut.
Property developers continued to decline. Sino Land fell 4.1% and Sun Hung Kai Property was down 3.6%.
New World Development slid 2.8%.
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