Tomorrow’s GDP: Trick Or Treat?
Stocks, weak from the open, sold off further
after a consumer confidence report at seven-year lows was released. The report
is the first of several this week, and includes post-Sept. 11 data. Argentinian default concerns, new anthrax cases, and heightened terrorist warnings also
weighed on the market.
The S&P closed below its 50-day moving
average for a second straight day, down 19.67 at 1058.63.
The Dow followed suit, down 150.77 to close at
9118.17 with 26 new highs and 88 new lows.
The tech-laden Nasdaq fell 32.46 to 1667.06.
Weakest sectors were oil service
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semiconductors
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4.19%, and retail
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Most indexes were down, with the exception of
Gold and Silver
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investors chose safety in light of the poor economic numbers.
Shares of CVS Corp.
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lows after the second-largest drug chain announced declining profits. Store
closings and job cuts are scheduled for early next year. CVS fell 7.12 to close
at 24.50.
Goldman Sachs cut its rating on Philip Morris
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citing lower profit growth. MO closed at 47.70, down 1.98.
William Clay Ford Jr. replaced Jacques Nasser
after Ford
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16.09.
Citing slumping demand for phone lines, Verizon
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announced Q3 earnings fell 46%. The company said the Sept. 11 attacks will cost
as much as $1.9 billion. VZ closed at 49.30, down .89.
Goldman Sachs priced Anthem Inc.
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$36, in the sixth-largest IPO this year. Almost 20 million shares were added at
the last minute because of strong demand. The health benefits company stock
ended the day up 4.90 at 40.90.
Reduced money management and brokerage fees are
forcing privately held Fidelity Investments to let go of 760 employees. The
firm’s managed assets dropped 17% the past year.
Shares of Macrovision
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lowest level in almost two years, falling over 25%, after the company said Q3
revenue rose less than expected at its DVD business. Robertson Stephens analyst
Michael Kim expects slowing to continue in the fourth quarter, as movie studios,
in cost-cutting efforts, are putting copyright protection on fewer DVDs. MVSN
tumbled 9.75 to 23.72.
Eastman Kodak
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introduce a private label film. EK closed at 27.80, the lowest level since 1990
Openwave Systems
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announcing that sales ending in the December quarter would miss the mark. The
company makes software that allows internet access using mobile phones. OPWV
fell 1.18 to 7.81.
Coca-Cola
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maker Odwalla
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S&P 500 third-quarter profit has sunk 19.3%, with more than three-quarters of companies having reported. This is according to
Thomson Financial/First Call, who also expect corporate profits to decline for
five straight quarters.
Intel
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6:00 p.m. ET.
Wednesday (Halloween), look for GDP numbers.