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Stocks Slide Ahead Of FOMC Minutes; Dell (DELL) Eyed

 August 21, 2012 04:32 PM
 

(By Balachander) U.S. stocks ended on a negative note, paring early gains on hopes that the major policy makers will act to stimulate global growth.

S&P 500 Index shed 0.35 percent to close at 1,413.17. The Dow Jones Industrial Average dropped 0.51 percent to end at 13,203.58. The Nasdaq Composite Index lost 0.29 percent to finish at 3,067.26.   

Investors also look ahead to the latest minutes from the Federal Open Market Committee (FOMC) that will be published on Wednesday. Data on new home sales and existing home sales as well as the weekly jobless claims report are also due this week.

Hot Stocks Of The Day:BBY, DELL, AAPL, FB, NDSN, URBN, TECD, DSW, DAKT, CAS

In corporate news, Dell Inc. (NASDAQ:DELL) retreated 3.73 percent in extended trading after the PC maker reported quarterly revenue that trailed market expectations amid drop in gross margins. Looking ahead for the third quarter, Dell forecasts revenue decline of 2 percent to 5 percent from second-quarter levels. For the full year, Dell modified its non-GAAP earnings per share guidance to at least $1.70, while analysts' expect $1.91 a share.

Best Buy Co. Inc. (NYSE:BBY) shed 1.38 percent after the struggling consumer electronics retailer, which on Monday named a new CEO, suspended its full-year guidance after reporting a 90 percent plunge in quarterly earnings due to restructuring charges and soft sales.

Apple Inc. (NASDAQ:AAPL) lost 1.34 percent a day after the technology behemoth became the most valuable publicly-traded stock ever. Oracle Investment Research downgraded its rating on the stock to "Hold" from "Buy".
 
Facebook Inc. (NASDAQ:FB) dropped 4.25 percent after a regulatory filing showed the social-networking company's director Peter Thiel sold majority of his shares in the company. According to a filing with the U.S. Securities and Exchange Commission, Thiel sold roughly 20 million shares, raising $395.8 million.
 
Nordson Corp. (NASDAQ:NDSN) surged 11.04 percent after the maker precision material dispensing systems issued an upbeat view for the fourth quarter amid double-digit sales growth in the third quarter.
 
Urban Outfitters Inc. (NASDAQ:URBN) jumped 18.22 percent after the specialty retailer reported a 8.1 percent increase in quarterly earnings on strong comparable store sales and higher revenue. Results exceeded Wall Street expectations.
 
Tech Data Corp. (NASDAQ:TECD) lost 5.58 percent after the wholesale distributor of technology products reported a 31.2 percent decline in quarterly earnings as sales fell and margins shrank.
 
DSW Inc. (NYSE:DSW) rose 5.03 percent after the company posted better-than-expected quarterly earnings, helped by comparable sales growth and the footwear retailer reiterated its full-year forecast.

Daktronics Inc. (NASDAQ:DAKT) spiked 17.00 percent after the supplier of electronic display systems posted quarterly earnings that doubled from last year amid strong order bookings.
 
A M Castle and Co. (NYSE:CAS) gained 26.79 percent. A regulatory filing showed billionaire investor Tom Gores' private-investment firm Platinum Equity LLC took a 6 percent stake in the specialty metals and plastics distributor.
 

Global Markets:

European markets closed in green, with Germany's DAX up 0.79 percent to close at 7,089.32. France's CAC40 added 0.94 percent to finish at 3,513.28. U.K.'s FTSE 100 rose 0.57 percent to end at 5,857.52.

Among Asian markets, China's Shanghai Stock Exchange Composite Index rose 0.54 percent to finish at 2,118.27. Japan's Nikkei 225 shed 0.16 percent to end at 9,156.92. Hong Kong's Hang Seng Index slipped 0.02 percent to end at 20,100.09. India's BSE Sensex closed at 17,885.26, up 1.10 percent.

Commodity & Currency Scan:

Crude oil futures rose 0.45 percent to $96.40 per barrel and natural gas futures added 1.26 percent to $2.811 per million metric British thermal units. Gold futures advanced 1.00 percent to $1,639.3 per ounce and silver futures gained 2.19 percent to $29.40 per ounce.
         
In the currency market, the euro advanced 0.96 percent against the U.S. dollar to 1.2464. The British pound rose 0.44 percent against the greenback to 1.5781, while the dollar lost 0.21 percent against the Japanese yen to 79.2600.


Rich
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