U.S. stocks wavered between gains and losses, erasing earlier gains, as lower-than-usual volume and comments from Federal Reserve speakers made trading volatile.
The S&P 500 (INDEXSP:.INX) edged down 0.1 percent at 1:48 p.m. in New York. The 30-member Dow Jones Industrial Average (INDEXDJX:.DJI) inched up less than 0.1 percent, whereas the tech-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) surrendered 0.3 percent.
Philadelphia Fed President Charles Plosser, a voting member of the Fed's monetary policy committee this year, said the Fed faces "immense" challenges now that it has reduced bond-buying, and needs to be cognizant of a rapid rise in future inflation. He said the central bank's balance sheet is still growing at "a fairly rapid clip" despite the $10-billion reduction in monthly asset purchases, which started this month.
Investors are still awaiting Fed Chairman Ben Bernanke's remarks at 2:30 p.m. in Philadelphia.
On their first day of trading in 2014, U.S. stocks suffered their worst decline since Dec. 11 as investors booked profits in the wake of the S&P 500's best yearly advance since 1997.
*EQUITY MOVERS*
General Motors Co. (NYSE:GM), the largest U.S. automaker, slumped 3.1 percent to $39.67, after saying December U.S. sales dropped 6.3 percent, while analysts projected a 1.5 percent gain.
Ford Motor Co. (NYSE:F), North America's second-largest automaker, climbed 0.5 percent to $15.52, after wavering between gains and losses . The Dearborn, Michigan-based company said December U.S. sales rose less than analysts estimated. Ford's light-vehicle sales rose 1.7 percent, compared with a 4.3 percent increase that was the average of nine estimates, according to Bloomberg.
FireEye Inc. (NASDAQ:FEYE), a maker of software used to protect computer systems, leaped 33 percent to $54.92. The cybersecurity company has acquired Mandiant Corp. in a $1.05 billion deal that consolidates providers of services that protect computer networks against hackers and spies.
Micron Technology Inc. (NASDAQ:MU), the largest U.S. maker of memory chips, fell 2.9 percent to $21.02 before the opening bell after RBC downgraded its rating on the stock to a "sector perform" from "outperform."
Sprint Corp. (NYSE:S), the third-largest U.S. wireless carrier, fell 5.4 percent to $9.84 after Stifel lowered the stock. The brokerage said Sprint would struggle to obtain regulatory approval for a merger with T-Mobile US Inc. (NYSE:TMUS).
*EUROPE*
European stocks advanced the most in a week, paring a weekly drop for the benchmark Stoxx Europe 600 Index, as Next Plc led retailers higher and investors awaited a speech by Federal Reserve Chairman Ben Bernanke.
The Stoxx 600 rose 0.6 percent to 327.64 at the close and was little changed for the week. The gauge rallied 17 percent last year.
*COMMODITIES*
Gold futures advanced to a two-week high amid signs of increasing demand for bars and coins. Platinum jumped to the highest since November.
Gold futures for February delivery added 0.8 percent to $1,235.20 at 11:33 a.m. on Comex in New York. Platinum futures for April delivery rose 0.9 percent to $1,417 an ounce.
West Texas Intermediate crude dropped to a one-month low after a U.S. government report showed that inventories of distillate fuel, a category that includes heating oil and diesel, and gasoline climbed.
Futures declined as much as 1.2 percent. The Energy Information Administration said supplies of distillate fuel rose 5.04 million barrels to 119.1 million last week.
Reported by Proactive Investors 3 hours ago.
The S&P 500 (INDEXSP:.INX) edged down 0.1 percent at 1:48 p.m. in New York. The 30-member Dow Jones Industrial Average (INDEXDJX:.DJI) inched up less than 0.1 percent, whereas the tech-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) surrendered 0.3 percent.
Philadelphia Fed President Charles Plosser, a voting member of the Fed's monetary policy committee this year, said the Fed faces "immense" challenges now that it has reduced bond-buying, and needs to be cognizant of a rapid rise in future inflation. He said the central bank's balance sheet is still growing at "a fairly rapid clip" despite the $10-billion reduction in monthly asset purchases, which started this month.
Investors are still awaiting Fed Chairman Ben Bernanke's remarks at 2:30 p.m. in Philadelphia.
On their first day of trading in 2014, U.S. stocks suffered their worst decline since Dec. 11 as investors booked profits in the wake of the S&P 500's best yearly advance since 1997.
*EQUITY MOVERS*
General Motors Co. (NYSE:GM), the largest U.S. automaker, slumped 3.1 percent to $39.67, after saying December U.S. sales dropped 6.3 percent, while analysts projected a 1.5 percent gain.
Ford Motor Co. (NYSE:F), North America's second-largest automaker, climbed 0.5 percent to $15.52, after wavering between gains and losses . The Dearborn, Michigan-based company said December U.S. sales rose less than analysts estimated. Ford's light-vehicle sales rose 1.7 percent, compared with a 4.3 percent increase that was the average of nine estimates, according to Bloomberg.
FireEye Inc. (NASDAQ:FEYE), a maker of software used to protect computer systems, leaped 33 percent to $54.92. The cybersecurity company has acquired Mandiant Corp. in a $1.05 billion deal that consolidates providers of services that protect computer networks against hackers and spies.
Micron Technology Inc. (NASDAQ:MU), the largest U.S. maker of memory chips, fell 2.9 percent to $21.02 before the opening bell after RBC downgraded its rating on the stock to a "sector perform" from "outperform."
Sprint Corp. (NYSE:S), the third-largest U.S. wireless carrier, fell 5.4 percent to $9.84 after Stifel lowered the stock. The brokerage said Sprint would struggle to obtain regulatory approval for a merger with T-Mobile US Inc. (NYSE:TMUS).
*EUROPE*
European stocks advanced the most in a week, paring a weekly drop for the benchmark Stoxx Europe 600 Index, as Next Plc led retailers higher and investors awaited a speech by Federal Reserve Chairman Ben Bernanke.
The Stoxx 600 rose 0.6 percent to 327.64 at the close and was little changed for the week. The gauge rallied 17 percent last year.
*COMMODITIES*
Gold futures advanced to a two-week high amid signs of increasing demand for bars and coins. Platinum jumped to the highest since November.
Gold futures for February delivery added 0.8 percent to $1,235.20 at 11:33 a.m. on Comex in New York. Platinum futures for April delivery rose 0.9 percent to $1,417 an ounce.
West Texas Intermediate crude dropped to a one-month low after a U.S. government report showed that inventories of distillate fuel, a category that includes heating oil and diesel, and gasoline climbed.
Futures declined as much as 1.2 percent. The Energy Information Administration said supplies of distillate fuel rose 5.04 million barrels to 119.1 million last week.
Reported by Proactive Investors 3 hours ago.