Stocks Barely Change Ahead of ECB Meeting, US Productivity Beats Expectations
Stocks were mixed again on Wednesday as investors remain cautious until Thurday's ECB meeting. The euro zone has contracted for the seventh month in a row as the economic downturn continues and the Chinese manufacturing output annual rate is expected to hit a 3-year low. FedEx (FDX) lowered its earnings outlook and Verifone (PAY) slid in after hours news. Social media stocks including Facebook (FB) and Yelp (YELP) got a bump today while tech stocks dropped.General Cable (BGC) completed its acquisition of Alcan Cable for $151 million and Lenovo (LNVGY) agreed to buy Brazilian company CCE. The dollar fell to the euro but increased against the Japanese yen. While it has been a slow summer the next few days should bring market shifts and important news from the ECB.
Word on the Street
- US productivity rose 2.2% in the last quarter, a faster annual rate than previously believed.
- Nokia (NOK) announces its first smartphones will run the next version of Windows on Lumia 920 and 820.
- Stocks see little change ahead of European Central Bank meeting on Thursday.
- China's Lenovo (LNVGY) agreed to buy Brazilian electronics maker CCE for about $148 million.
- Russian gas exporter Gazprom to contest the recent EU decision to investigate their pricing practices.
- The US slips from fifth to seventh on the World Economic Forum's competitiveness rankings.
- Social media stocks get a lift on Wednesday including Facebook (FB), whose shares rose 5%.
- FedEx (FDX) way off on revised forecast during after hours trading.
Published on Sep 5, 2012By InvestorGuide Staff