Stocks End Mixed on Tuesday After ISM Report and Apple (AAPL) Speculation
Despite speculation over Apple's (AAPL) launch of its newest iPhone, US stocks were down by the end of the day on Tuesday after construction and manufacturing spending fell. This further confirms global economic slowdown and growing worries of the euro zone crisis. Auto companies shared positive reports with GM (GM) August sales up 10%, Toyota (TM) sales jumping 46% and Chrysler's sales advancing 14%. Among merger news, Valeant Pharmaceuticals (VRX) made a $2.6 billion deal to acquire Medicis (MRX). Campbell Soup (CPB) also saw their earnings rise and shortly after the company revised their yearly outlook.Moody's negative report pushed European indices down. Oil also finished lower after the US ISM factory index contracted while gold continues to reach its highest level in more than five months on expectations of global bank action.
Word on the Street
- US manufacturing and construction spending shrink after national factory activity fell from July to August.
- Auto sellers post higher sales than expected for August, Chrysler Group deliveries up 14%.
- Amazon (AMZN) and Epix make deal that will add videos, Netflix (NFLX) shares down.
- Valean Pharmaceuticals International (VRX) to buy Medicis Pharmaceutical (MRX) in a $2.6 billion agreement.
- Campbell Soup (CPB) surprises market with quarterly profit and full-year outlook.
- The number of Americans on food stamps has hit a record high with 46.37 million receiving the benefits.
- Tuesday's credit report from Moody's shows a negative outlook on US banking.
- Splunk (SPLK) shares surge 13% after reporting earnings that exceeded expectations.
Published on Sep 4, 2012By InvestorGuide Staff