Stocks End the Week Mostly Higher Despite Fiscal Cliff Worries

Weekly Wrap Up

The Dow and S&P finished the week higher, but another sell-off in Apple (AAPL: Charts, News) depressed tech shares and kept the Nasdaq negative. The jobs report released Friday showed better-than-expected growth, however lower-than-expected data on consumer sentiment from Reuters/ University of Michigan parred those gains. Material shares finished the week strong as Freeport-McMoRan Copper & Gold Co (FCX: Charts, News) and Dow Chemical (DOW: Charts, News) each finished Friday upon over 2%.
Investors continued to closely monitor the progress in fiscal cliff talks, but none was made by the end of the week with the deadline looming. More Market News

Economic News

Ignore November Jobs Data, Hiring Trend Too Slow
It’s always wise to avoid the urge to emphasize any one economic data point, particularly the monthly nonfarm payrolls report.What’s important is not the month-to-month change, but the trends. In any given month, the change in employment across the nation is barely discernible in the data. Over the past year, for instance, employment has risen by an average of 157,000 per month in a country with 134 million jobs. That’s an increase of about 0.1% a month. (Source: MarketWatch) Click here to read the full article

European Stocks Rally for Third Weed on China, US Talks
European stocks rallied for a third week, climbing to an 18-month high, amid increasing optimism that China’s economy will sustain its recovery and U.S. lawmakers will reach a compromise to avoid a fiscal deadlock. (Source: Bloomberg) Click here to read the full article

Business News

Shares of Pandora Media, Inc. (P: Charts, News) declined -1.70 or -18 percent to $7.75 per share in heavy after-hours trading on Tuesday, after the company warned its full year loss would be wider than previously forecast. Pandora cited the reason for the lower forecast was advertiser’s concern over the looming fiscal cliff negotiations preventing them from making commitments in 2013. (Source: InvestorGuide) Click here to read the full article
Over the past year, oil giant Chevron (CVX: Charts, News) has been haunted by a highly publicized case regarding alleged pollution in the Amazon rainforest by its subsidiary Texaco. In a recent development, Chevron may be forced to hand over $12 billion of its Canadian assets to Ecuadorian villagers for its role in soil and water pollution in the Amazon. In February, a Canadian judge will decide if the case, filed by 47 Ecuadorians, will proceed to trial. (Source: InvestorGuide) Click here to read the full article

Technology Focus

Shares of Apple (AAPL: Charts, News) dropped over 6% yesterday, continuing the company’s 20% slide since hitting an all-time high north of $700 per share three months ago. Although the stock staged a modest recovery over the past month, after sliding to $507 on November 16, shares are still extremely volatile and dominated by both bullish and bearish short term traders. Over the past month, short interest in Apple has risen 34% and continues to increase as the share price plunges. (Source: InvestorGuide) Click here to read the full article
As Mobile Surges, Can Smaller Companies Beat the Internet Giants?
Earlier this year, Cisco (CSCO) predicted in its Visual Networking Index that the number of mobile devices in use around the globe would exceed the world's population by the end of 2012. That projection came along with a tally showing a strong 2011, when mobile data traffic surged by 133%. (Source: Breakout) Click here to read the full article

Your Money

Top Ten Market Themes for 2013
Today’s Global Economics Weekly "Moving over the hump" describes the main elements of our economic forecasts for 2013 and beyond. Here, we lay out our Top Ten Market Themes, which represent a broadlist of macro themes from our economic outlook that we think willdominate markets in 2013. (Source: Goldman Sachs) Click here to read the full article
This Year's Worst Stock Could be 2013's Best
OK, all you independent thinkers: How many of you are jumping at the chance to buy Hewlett-Packard Co. (HPQ: Charts, News) shares at close to an 18-year low?You say that you don’t simply follow the herd - that you are willing to buy when the blood is running in the streets. Well, now’s your chance. (Source: MarketWatch) Click here to read the full article

Published on Dec 6, 2012
By InvestorGuide Staff

Copyrighted 2020. Content published with author's permission.

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