Stock Market News for March 9, 2010 - Market News
U.S. stocks started the week on a mixed note before ending the day little changed as investors appeared less enthusiastic about the strength of the economic recovery. Traders appeared concerned about President Obama’s push for the health care overhaul and reacted with caution to a fresh round of corporate deal-making.
Investors looked for reasons to extend the rally but found little to cheer ahead of today’s anniversary of gains from twelve-year lows. Stocks had rallied Friday after a government report showed U.S. employers cut fewer-than-expected jobs in February. Although that report gave some initial boost Monday, stocks drifted later as investors turned their focus toward a fresh round of economic news due out this week.
The Dow Jones industrial average slipped 14 points, or about 0.1%, to 10,553 and the S&P500 declined 0.02% to 1,139. Nevertheless, strength in technology shares sent the tech-laden NASDAQ up 0.3% to 2,332, its 18-month high.
Seventeen of the thirty DJIA components failed to register gains, led by a 1.4% drop in 3M (NYSE:MMM) shares, a 1.2% decline in American Express (NYSE:AXP) and a 1.0% fall in Boeing (NYSE:BA). Cisco (NASDAQ:CSCO) jumped 3.7% after CEO Chambers noted the firm will make a "significant announcement" this morning, "that will forever change the internet and its impact on consumers, businesses and governments." Verizon (NYSE:VZ) followed Cisco to record gains of 1.4%. McDonalds (NYSE:MCD) rose 2.3% on its better-than-expected February same-store sales report.
Analysts anticipate Cisco to unveil a new networking technology for wireless carriers. JP Morgan (NYSE:JPM) also initiated coverage of the shares with an "overweight" rating and a $28 price target. Blackberry maker, Research in Motion (NASDAQ:RIMM) shares advanced on reports that BMO Capital Markets had upgraded its rating on the company. Applied Materials (NASDAQ:AMAT) gained on news of its dividend hike and plans for a $2 billion share buyback. After the close, Texas Instruments (NYSE:TXN), down 1.1%, raised the low end of its earnings and revenue guidance for the first quarter.
S&P500 sector action was also mixed, with declines in health care (-0.4%), industrials (-0.3%), consumer goods (-0.3%), basic materials (-0.2%), and oil and gas (-0.1%). Those leading the gainers were telecommunications (+1.2%), financials (+0.3%), technology (+0.2%), consumer services (+0.2%), while utilities ended unchanged.
Today's slow calendar includes earnings reports from Kroger (NYSE:KR), J.Crew (NYSE:JCG) and Collective Brands (NYSE:PSS).
The preceding article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.
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