US Stocks Waver at Midday 04/27 12:40
U.S. stock indexes flittered up and down Thursday, as a slump in energy
stocks offset advances made by Under Armour, PayPal and other companies
reporting stronger-than-expected profits.
NEW YORK (AP) -- U.S. stock indexes flittered up and down Thursday, as a
slump in energy stocks offset advances made by Under Armour, PayPal and other
companies reporting stronger-than-expected profits.
It's a second straight day where indexes have made modest, meandering moves
up and down, following two big gains at the start of the week.
KEEPING SCORE: The Standard & Poor's 500 index fell 2 points, or 0.1
percent, to 2,384, as of noon Eastern time. It had climbed to within a whisper
of its March 1 record closing level of 2,395.96 in recent days, but momentum
faded late Wednesday following the White House's highly anticipated unveiling
of its tax plan, which contained only broad outlines.
The Dow Jones industrial average fell 17 points, or 0.1 percent, to 20,957.
The Nasdaq composite rose 13, or 0.2 percent, to 6,039.
ENERGY SLUMP: Benchmark U.S. crude dropped $1.21, or 2.4 percent, to $48.41
per barrel, while Brent crude, which is used to price international oils,
dropped $1.19 to $51.22 per barrel.
That dragged energy stocks in the S&P 500 down by 1.8 percent, double the
loss of any of the other 10 sectors that make up the index. Noble Energy lost
$1.38, or 4.1 percent, to $32.78, and Newfield Exploration lost $1.24, or 3.5
percent, to $34.39.
EARNINGS SURPRISES: Under Armour surged to one of the biggest gains in the
S&P 500 after reporting results for the first quarter that were better than
analysts' expectations. A sharp rise in sales abroad, particularly in Asia,
helped push revenue to $1.12 billion from $1.05 billion in last year's first
quarter. The company's A-class shares rose $1.92, or 9.7 percent, to $21.62.
Companies across industries have been reporting encouraging results for the
start of 2017, and analysts expect this to be the strongest quarter of growth
The growing parade of encouraging profit reports helped vault the S&P 500 to
big gains of more than 0.6 percent on Monday and again on Tuesday, along with
relief that the results of the first round of France's presidential election
over the weekend indicates the European Union may remain intact.
RING IT UP: PayPal Holdings jumped $3.09, or 6.9 percent, to $47.50 after
also reporting stronger revenue and earnings than Wall Street had forecast.
TUNED IN: Comcast's A-class shares rose $1.09, or 2.8 percent, to $39.88
after rising revenue at theme parks it acquired as part of its NBCUniversal
purchase helped it to report stronger first-quarter results than expected.
MARKETS ABROAD: European markets sank after the European Central Bank left
its monetary policy unchanged. The French CAC 40 fell 0.3 percent, the German
DAX slipped 0.2 percent and the FTSE 100 in London dropped 0.7 percent.
In Asia, the Nikkei 225 in Japan slipped 0.2 percent, South Korea's Kospi
added 0.1 percent and the Hang Seng in Hong Kong rose 0.5 percent.
COMMODITIES: The price of gold rose $3.30 to $1,267.50 an ounce, silver
slipped 8 cents to $17.28 per ounce and copper fell 2 cents to $2.58 per pound.
Natural gas slipped 4 cents to $3.23 per 1,000 cubic feet, heating oil fell
4 cents to $1.50 per gallon and wholesale gasoline dropped 5 cents to $1.55 per
CURRENCIES: The euro fell to $1.0871 from $1.0939 late Wednesday while the
dollar slipped to 111.15 Japanese yen from 111.38 yen. The British pound rose
to $1.2887 from $1.2843.
YIELDS: Treasury yields ticked lower as government bond prices rose. The
10-year Treasury yield edged down to 2.29 percent from 2.30 percent late
Wednesday. The two-year Treasury yield two-year fell to 1.26 percent from 1.27
percent, while the 30-year Treasury yield held steady at 2.96 percent.