Stock Market Watch

Stocks Trim Gains After New Home Sales Data

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Stocks shed early gains but remained in positive territory by mid-day trade on Friday despite a very tepid new-home sales data.

At last check, the Dow Jones inched up 0.04%; the NASDAQ Composite Index edged up 0.23% while the S&P 500 Index added 0.13%.

The single-family home sales fell unexpectedly 13.4% to an annualized rate of 394,000 in July, a lowest level recorded in last nine months. Economists polled by Reuters had forecasted a fall of 1.4% to an annualized rate of 490,000. In June new home sales jumped 8.3%. Following the data release, homebuilders’ stock came under pressure.

Ann Inc. (NYSE: ANN) reported 16% rise in net profit for the fiscal second quarter. Earnings comfortably beat Wall Street’s estimate but revenue missed expectation. Same-store-sales rose 3.1% at Ann Taylor chain while to increased 2.5% at Loft. However, the Company provided downbeat guidance for the full-year fiscal.

Shares of Dendreon Corporation (NASDAQ: DNDN) plunged nearly 7.50% by mid-day trading. Deutsche Bank downgraded the stock to “sell” from “hold”, citing concerns over its financial commitments.

Shares of Guess Inc. (NYSE: GES) edged down about 2.30% by mid-day trading. The apparel retailer’s stock was downgraded to “neutral” by Piper Jaffray, citing a spate of weaker-than-expected results from several specialty retailers.

Shares of Pandora Media Inc. (NYSE: P) were hammered on Friday after the online radio company handed wider-than-expected loss for the fiscal second quarter, late on Thursday. The Company’s guidance for the current quarter was also disappointing.

Elsewhere in Europe, all leading averages were gaining with pan European Stoxx 600 up 0.30%, at last check.








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edliston
Post Written By: Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.

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Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

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