*from www.bloomberg.com, April 25, 2013 (To view original article click here.)
Take Away #1: U.S. stocks rose, extending a rally in the S&P 500 Index to a fifth day, as earnings from United Parcel Services Inc. to Cliffs Natural Resources Inc. topped estimates and jobless claims fell.
Key Facts and Figures:
- Cliffs Natural soared 19% and UPS climbed 1.9%.
- Akamai Technologies Inc. rose 20% as revenue and profit beat estimates.
- 3M Co. (MMM) slid 2.4% as profit trailed forecasts and the company cut its full-year outlook amid a slowing global economy.
- Qualcomm Inc. lost 6.1% after forecasting profit that may miss some analysts’ projections.
- The S&P 500 advanced 0.7% to 1,589.03 at 12:34 p.m. in New York.
- The gauge has risen 3% since April 18, the biggest five-day gain since March 5.
- The Dow Jones Industrial Average climbed 65.89 points, or 0.5%, to 14,742.19 today.
- Trading in the S&P 500 stocks was 22% higher than the 30-day average during this time of day.
Take Away #2: “The majority of companies are continuing to beat expectations, so that’s a good sign,” said Peter Jankovskis of Oakbrook Investments LLC.
Key Facts and Figures:
- Some 59 S&P 500 companies post earnings today.
- Of the 236 companies that have published results so far in this reporting season, 73% have exceeded analysts’ earnings estimates.
- 55% have missed on revenue, data compiled by Bloomberg shows.
- Profit at S&P 500 companies dropped 1.1% in the first three months of the year, according to analyst forecasts compiled by Bloomberg.
- That would mark the first year-over-year decrease since 2009.
Take Away #3: Applications for jobless benefits fell by 16,000 to 339,000 in the week ended April 20, according to Labor Dept. data released today.
Key Facts and Figures:
- Economists in a Bloomberg survey had a median estimate of 350,000 claims.
- In the U.K., the economy grew 0.3% in the first quarter, more than economists’ forecast, avoiding a triple-dip recession.
- Twenty-four of 40 economists surveyed by Bloomberg expect the European Central bank to cut its benchmark interest rate by a quarter percentage point to 0.5% next week.
- The S&P 500 has surged 135% from a 12-year low in 2009 as corporate earnings beat estimates and the Fed embarked on three rounds of bond purchases to stimulate the economy.
- The benchmark gauge is about five points below an all-time high of 1,593.37 reached on April 11.
Take Away #4: The S&P 500 is about five points below an all-time high of 1,593.37 reached on April 11.
Key Facts and Figures:
- The S&P 500 has surged 135% from a 12-year low in 2009.
- The benchmark gauge has surged as corporate earnings beat estimates and the Fed embarked on three rounds of bond purchases to stimulate the economy.
Take Away #5: Central bank policy makers have been voicing support for extending record stimulus as inflation cools and 11.7 million Americans remain jobless.
Key Facts and Figures:
- That marks a shift from last month’s meeting, when bankers debated the timing of a possible reduction in bond buying.
- The Federal Open Market Committee will meet April 30-May 1.
- The market is really looking at continued easing by the Fed,” Greg Woodard of Manning & Napier said.
- “They’re looking for signals of when the Fed is going to start to reverse that. Our view is that probably it’s going to be some time away,” said Woodard.
Take Away #6: CBOE Holdings Inc. delayed the open for trading on the Chicago Board Options Exchange after experiencing system problems.
Key Facts and Figures:
- The exchange, the biggest U.S. options market by volume, did not say when it expected to start.
- The exchange website also said some users were having problems downloading CBOE products.
Take Away #7: All 10 industries in the S&P 500 advanced as raw-materials and phone companies climbed the most, rising at least 1.3%.
Key Facts and Figures:
- Cliffs Natural jumped the most in four years, adding 19% to $21.59.
- The largest U.S. iron ore producer idled some mines to reduce operating costs in the first quarter and adjusted earnings beat analysts’ forecasts.
- UPS climbed 1.9% to $85.05.
- The world’s largest package-delivery company posted higher first-quarter earnings than analysts estimated as deliveries of online purchases increased.
- Akamai (AKAM), which helps customers deliver online content faster, surged 20% to $43.44.
- Akamai surged after reporting first-quarter revenue and profit that topped estimates as Internet traffic increased more than expected.
- An index of homebuilders climbed 2.8% as all of its members gained.
- PulteGroup Inc. jumped 6.4% to $20.94, and reported earnings that beat analyst estimates as an accelerating housing recovery fueled sales.
- Dow Chemical (DOW) Co. advanced 5.1% to $33.80.
- The largest U.S. chemical maker by sales posted first-quarter profit that beat analysts’ estimates as lower prices for natural gas increased earnings from plastics.
- Biogen Idec Inc. added 3.5% to $213.33 and raised its full-year forecast as first-quarter net income increased on a tax benefit.
Take Away #8: Regeneron climbed while 3M and Qualcomm fell.
Key Facts and Figures:
- Regeneron Pharmaceuticals Inc. (REGN) climbed 2.5% to $215.85.
- The maker of the eye medicine Eylea will replace MetroPCS Communications Inc. in the S&P 500 after the close of trading on April 30, S&P said.
- 3M, the maker of products ranging from Scotch tape to dental braces, fell 2.4% to $105.26.
- 3M cut its annual earnings forecast after quarterly profit trailed estimates for the first time in 1 ½ years amid a slowing global economy.
- 3M, which made 65% of 2012 revenue outside of the U.S., gets fewer dollars when converting sales from countries with weaker currencies into its results.
- Qualcomm (QCOM), the biggest seller of semiconductors for mobile phones, lost 6.1% to $61.97.
- Qualcomm forecast fiscal third-quarter net income of 80 cents to 88 cents a share as average phone prices come under pressure.
- Analysts on average had projected earnings of 87 cents, according to data compiled by Bloomberg.
Take Away #9: Exxon, Intuit, Safeway, and Zynga slip.
Key Facts and Figures:
- Exxon Mobil Corp. slipped 1.3% to $88.30, ending a five0day, 3.9% gain.
- The world’s largest company by market value said sales fell 12% to $108.8 billion in the first quarter.
- Widening chemical margins made up for lower crude production and prices, helping Exxon post an unexpected profit increase.
- Intuit Inc. (INTU), the maker of tax and financial-planning software, slid 13% to $55.99, and cut its full-year earnings forecast.
- JPMorgan Chase & Co. downgraded the shares to neutral from overweight (the equivalent of a buy rating).
- Safeway Inc. tumbled 19%, the most since 2003, to $23.07 after the grocer reported first-quarter same-store sales that were lower than it previously estimated.
- Zynga Inc., the biggest maker of online social games, sank 7.1% to $3.11.
- Zynga forecast second-quarter sales that may fall short of some analysts’ estimates.
- Revenue from mobile titles may fail to make up for a drop in users playing its games on Facebook Inc.’s website.
*To view original article from www.bloomberg.com click here.