Paul Kangas' Stocks in the News
Thursday, December 18, 2008
|
|
|
|
JEFF YASTINE: So questions about General Electric's financial health kept Wall Street's gloom meter (INAUDIBLE) today. The Dow struggled to maintain break even levels in the first half of the session. Stocks faded sharply around 2:30 after Standard & Poor's raised concerns about the future of GE's AAA credit rating and fellow Dow component ExxonMobil sold off on that tumble in oil prices. The Dow went on to close off 219.35 at 8604.99. The NASDAQ fell 26.94 to 1552.37 and the S&P 500 ending off 19.14 to 885.28. And more safe haven buying in Treasuries, the 10-year note gaining 1 7/32 to 114 29/32 and the yield now down to 2.08 percent.
And Transocean (RIG) leads our list today, down a little over $7. The sharp drop in oil prices not helping, but Transocean is going to move its home base to Switzerland for tax reasons. As a result, Standard & Poor's is dropping them from the S&P 500 Index after the close.
And there's General Electric (GE) losing $1.43. S&P cut GE's outlook to negative due to GE capital's problems and since he warned, warned that GE could lose its AAA credit rating if its corporate fundamentals don't improve.
Bank of America (BAC) losing $0.66.
Citigroup (C) losing $0.40.
ExxonMobil (XOM) down a little over $4 as oil prices plunged to that $36 a barrel.
And a look at some of the other oil majors today, BP PLC (BP), Chevron (CVX), ConocoPhillips (COP), Hess (HES), Marathon Oil (MRO), all posting sizeable losses.
Ford Motor Co (F) fell $0.30. More dithering in Washington. The talk of an orderly bankruptcy something the auto makers still reject.
JPMorgan Chase (JPM) losing $1.65.
Pfizer (PFE) dropping $0.13.
And then we have Wells Fargo (WFC) losing $0.33.
Wal-Mart Stores (WMT) gaining $0.22.
Freeport-McMoran Copper & Gold (FCX) losing nearly $3. Gold futures fell about $8 to about $8.60 an ounce. Mining stocks in general under pressure today amid worries about a renewed fall in commodity prices.
Texas Instruments (TXN) sliding $1.19. Analysts at Jefferies see more weakness heading into the first quarter of the year. They're urging clients to hold off buying this stock and others of the chip category.
Another casualty in that space, MEMC Electronic (WFR) down $2.14. Management cut fourth quarter revenue targets again with orders plunging and profit margins shrinking.
Shares in Nike (NKE) rising over $2. The company said last night it sees a drop off in orders around the globe, but analysts at S&P see margin expansion and lower tax rates in some markets that should drive future gains.
Callaway Golf (ELY) clubbed for a loss of $1.31. The company postponing an investor conference where Callaway normally gives revenue and forecasts, profit forecasts. Now investors will have to wait until the second quarter.
And there's Avalonbay Communities (AVB) sinking almost $6. The builder canceling a number of apartment community projects until next year because of the soaring unemployment rate. It's hurting occupancy rates.
Tennant Co (TNC) losing more than $4. Managers there forecasting a loss as the drop in European sales mirrors the weakness in this country.
And then insurance stocks among the pockets of strength today, an agent survey showing some increase in property and casualty rates. Assurant (AIZ), Lincoln National (LNC), Metlife (MET), Prudential Financial (PRU) all doing pretty well.
Apple (AAPL) on the NASDAQ rising $0.27.
Microsoft (MSFT) losing $0.36.
Google (GOOG) dropping nearly $5.
Intel (INTC) losing $1 even.
Research in Motion (RIMM) down more than $2. After the close, they had third quarter earnings which rose nicely. They also raised their forecast.
Cisco Systems (CSCO) rose a - excuse me, following a fraction.
First Solar (FSLR) down more than $4.
Oracle (ORCL) also with earnings, they missed estimates by a penny, losing $0.13 today.
Amgen (AMGN) dropping $0.40.
Qualcomm (QCOM) losing nearly $1.
And finally, Take Two Interactive (TTWO) sliding $3. The game maker warning that its profits in this quarter, which includes the holiday shopping period would be sharply below earlier forecasts.
And those are our stocks in the news tonight.
