Bourse

Bourse

US stock indices mixed

29 July 2009 11:44 (UTC +04:00)

Baku - APA-Economics. Stocks ended little changed Tuesday as a key barometer of consumer confidence and a handful of disappointing earnings reports reminded investors that an economic recovery this year is far from assured. The Dow slipped 12 points, while the Nasdaq composite index posted a small gain.
Trading was more erratic Tuesday than the past two days, however in all three days the major market indexes closed with only modest changes. Investors remain cautious but still aren’t willing to give up on a rally that has propelled stocks up 11 percent in little more than two weeks.
Stocks started to slip after the Conference Board reported that its consumer confidence index fell more than expected, fanning worries that bleak expectations among consumers and rising unemployment would hamper the economy’s ability to rebound from the longest recession since World War II.
Meanwhile, corporate earnings reports, which beat meager expectations earlier this month, suggested that many consumers remain unwilling or unable to spend. Office Depot Inc. and handbag maker Coach Inc. both had trouble drawing in customers during the second quarter.
The Dow finished down 11.79, or 0.1 percent, to 9,096.72 after being down as much as 101 points. It was the blue chips’ first loss after four days of gains and only the fifth down day of the month.
The broader Standard & Poor’s 500 index fell 2.56, or 0.3 percent, to 979.62. The Nasdaq composite index rose 7.62, or 0.4 percent, to 1,975.51 after several technology companies announced acquisitions.
Falling stocks narrowly outpaced those that rose on the New York Stock Exchange, where consolidated volume came to 5.6 billion shares, compared with 4.7 billion Monday.
Bond prices were mixed after a Treasury Department auction of two-year notes generated lackluster demand. The yield on the benchmark 10-year Treasury note, which moves opposite its price, fell to 3.69 percent from 3.73 percent.
Investors welcomed dealmaking in the tech industry. IBM Corp. agreed to acquire software maker SPSS Inc. for $1.2 billion. SPSS jumped $14.36, or 40.9 percent, to $49.45, while IBM fell 35 cents to $117.28.
The dollar was mixed, and gold prices fell.
Light, sweet crude fell $1.15 to settle at $67.23 a barrel on the New York Mercantile Exchange.
The Russell 2000 index of smaller companies rose 1.07, or 0.2 percent, to 551.95.
Overseas, Britain’s FTSE 100 fell 1.3 percent, Germany’s DAX index lost 1.5 percent, and France’s CAC-40 slid 1.2 percent. Japan’s Nikkei stock average slipped less than 0.1 percent. Source: AP