Sandy Spurs Jobless Claims and Further Drops in Economic Data (WMT, BP)
After mortgage rates in the US hit new bottom lows on Thursday, Chairman Bernanke spoke up and said the Fed will take action to increase growth in the housing market and get past problems of tight lending. Indices continued to fall as investors predict continuing economic weakness in the wake of Hurricane Sandy. Like yesterday there was another round of negative retail reports, including the release of posting lower-than-expected earnings from Wal-Mart (WMT). On the other hand, there were several gainers in the finance sector - American International Group (AIG) and Charles Schwab Corp. (SCHW) both saw shares rise on Thursday.The most recent jobless claims report was released today, showing a large jump to 439,000 for the past week. The price of oil has fallen for the third consecutive day. Tomorrow President Obama will begin negotiations with Congress on a deficit-reduction deal.
Word on the Street
- Unemployment claims jump to 439,000 after Hurricane Sandy, the most since April 2011.
- BP (BP) pleads guilty and will pay $4 billion in a settlement over their 2010 oil spill in the Gulf of Mexico.
- Mortgage rates set another record low, sliding to 3.34% this week.
- US Postal Service reports yearly net loss of $15.9 billion, more than originally projected.
- Target Corporation (TGT) posts Q3 earnings, retail sales growth and higher gross profit.
- The yen falls to a seven-month low as the Bank of Japan plans to be more foreful.
- Wal-Mart Stores Inc. (WMT) disappoints many with lack of sales, shares fall 3.6%.
- McDonald's (MCD) replaces its president in the US after stumbling profits last quarter.
- Should your small, traditional business make the leap to the middle-market?
- How recruiting could change now that Facebook (FB) has their own job board.
Published on Nov 15, 2012By InvestorGuide Staff