Stock Market Watch

U.S. Stocks Remain in Red Territory by Mid-Day Trade

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U.S. stocks trimmed losses but remained in red territory by mid-day trade on Monday following preceding week’s worst weekly performance from benchmark indexes in the current year, as sentiment remained jittery ahead of the start of the new earnings season.

At last check, the Dow Jones Industrial Average Index edged down 0.32%; the NASDAQ Composite Index slipped 0.08% while the S&P 500 Index shed 0.10%.

Among all major S&P 500 sectors energy stock tacked higher while telecom stocks struggled the most.

Dow Component and aluminum giant, Alcoa Inc. (NYSE: AA), considered as industry bellwether due to its exposure to multiple industries, is scheduled to report quarterly results following the closing bell on Monday. Analysts’ consensus estimate is for earnings of 8 cents a share, down from 10 cents a share, in the same quarter of last fiscal, according to a data compiled by FactSet Research.

In some acquisition news, world’s largest electric turbine and jet engine make, General Electric Company (NYSE: GE) announced that it has agreed to purchase Lufkin Industries Inc. (NASDAQ: LUFK) in deal valued at about $3.38 billion. According to the deal, GE offers $88.50 a share, which translates into 38% premium over the closing stock price of Lufkin Industries as of Friday. The Company said that the deal is expected to close by the second half of 2013.

Elsewhere in Europe, equities ended mainly higher on Monday with Pan European Stoxx 600 gaining 0.18%, FTSE 100 climbing 0.43% while DAX inching up 0.05%.

In Japan Nikkei 225 leaped 2.80% on Monday after the Bank of Japan (BOJ) kick-started its unprecedented bond purchase program, sending the yen to four-year low against the U.S. dollar.

 

 

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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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