Early Release of Google's (GOOG) Missed Earnings Sinks Nasdaq and other Techs
PUBLISHED ON: Oct 18, 2012
Shares of Google (GOOG) plummeted on Thursday and shocked markets after its third-quarter earnings were released early, blaming the financial printer RR Donnelly & Sons Co (RRD) for the leak. Stock was down 9% before the end of the day. Google's disappointment affected other tech stocks and let down many investors. Also today the jobless claims report showed a jump of 46,000 to a total of 388,000 claims. Chipotle (CMG) forecasted slowed growth and saw shares fall 10%, and Microsoft (MSFT) stock was also down due to a 22% drop in earnings. In Europe, today was the EU summit in Brussels and Spain was able to raise €4.61 billion in a bond auction. China released their latest GDP report, which signaled stabilization and continued economic growth.Despite the negative US data and mixed corporate earnings, the dollar rose against the euro ahead of the EU talks even though there are low expectations for major developments and Spain's delay of a bailout.
Word on the Street
- Google's (GOOG) earnings leaked early and shares plunge almost 10%.
- Microsoft (MSFT) announces decreased sales and earnings fall 22%.
- Recent Chinese GDP reports suggest economic growth is stabilizing.
- Southwest Airlines Co. (LUV) posts quarterly profit and makes plans to aggressively cut costs.
- Wesco International (WCC) jumps 10% after announcing acquisition of Canadian electrical supply company.
- The US leading economic indicator reportedly rose 0.6% in September.
- Blackstone Group LP (BX) beats expectations for profit due to gains in fund value.
- SanDisk Corp's (SNDK) quarterly profit falls 67% on weak sales.
Posted in ...Daily Market Commentary