Stocks End Mixed for the Week Due to Lack of Fiscal Cliff Progress

Weekly Wrap Up

This week many were hopeful for progress with fiscal cliff talks but by Friday no common ground had been reached. It is unlikely that a deal with be agreed on before the holidays and negotiations will most likely continue into 2013. Also, on Wednesday the Federal Reserve announced their new bond-buying policy and new targets for inflation and unemployment rates.

By the end of the week Apple (AAPL: Charts, News) dropped significantly after accepting Google's (GOOG: Charts, News) map application for the iPhone.
It was stated that US output increase 1.1% for the month of November and job openings rose to a four month high. Oil futures finished higher for the week after signs of a strengthening economy in China and ongoing demand concerns. Gold ended with a weekly loss of 0.5% and by Friday was under $1,700 an ounce mostly on fiscal cliff concerns. More Market News

Economic News

Wall Street Falls With Apple as "Cliff" Looms
Stocks fell on Friday, hit by another slide in Apple shares and investors avoided stocks due to the uncertainty surrounding the "fiscal cliff" negotiations. (Source: Reuters) Click here to read the full article
Factories Flex Muscle Post Storm, Inflation Subdued
Factory output posted its sharpest increase in nearly a year in November as auto production staged a rebound, while consumer prices slipped, offering cautious optimism for the struggling economic recovery. (Source: Reuters) Click here to read the full article
Fed Eyes Tougher Capital Rules for Non-US Banks
The Federal Reserve on Friday afternoon was set to consider a draft proposal subjecting foreign banks with large U.S. operations to tougher capital and liquidity rules. These firms, like Deutsche Bank DB -1.22% DE:DBK -1.63% and Barclays UK:BARC +0.59% BCS +1.18% , will be subject to stress tests and the same capital and leverage standards applicable to U.S. banks. (Source: MarketWatch) Click here to read the full article

Business News

Shares of online travel booking service (PCLN: Charts, News) have apparently stalled out over the past week, after the stock rose nearly 20% between October 25 and December 3 on waves of optimism from bullish analysts. On Monday, that ascent quickly reversed course, after formerly bullish analysts at Deutsche Bank downgraded the stock from buy to hold, reducing their price target by 11% to $710. (Source: InvestorGuide.) Click here to read the full article
Extension Means Best Buy Founder Still Short on Cash, Analyst Says
Best Buy (BBY: Charts, News) founder and former chairman Richard Schulze was given an extension in his bid to buyout the nation’s largest consumer electronics chain. Best Buy announced Friday that it is giving the billionaire the month of February to present his financing plan. Best Buy shares, which had rallied Thursday on rumor of a deal coming together, plummeted on the news, falling 15% in midday trading Friday. (Source: Wired) Click here to read the full article
This week, Chinese state-owned oil company CNOOC (China National Offshore Oil Corp) (CEO: Charts, News) moved one step closer to taking over Calgary-based gas producer Nexen (NXY: Charts, News) for $15.1 billion, after the Canadian government stated that it would allow the controversial takeover to proceed. CNOOC’s attempt to acquire Nexen started this July, and was approved by Nexen shareholders in September. The takeover represents the largest foreign investment by a Chinese company to date. (Source: InvestorGuide) Click here to read the full article

Technology Focus

Shares of Sprint Nextel Corporation (S: Charts, News) closed down -0.09 or -1.59 percent to $5.57 per share on Tuesday after news that the company was in private talks with wireless partner Clearwire Corp. (CLWR: Charts, News) that could lead to Sprint buying out Clearwire’s minority shareholders for the 49 percent of Clearwire stock Sprint does not yet own. (Source: InvestorGuide) Click here to read the full article
Apple Stock Hits 10-Month Low
Shares of Apple (AAPL: Charts, News) sank as low as $507.66 during Friday morning’s trading session, hitting their lowest point since early February. A report from UBS suggesting Apple’s dominant iPhone line may have peaked triggered an early morning dive, and Jefferies & Company analyst Peter Misek followed up with a troubling report suggesting Apple recently cut component orders with its Asian suppliers. (Source: BGR) Click here to read the full article
Shares of printer manufacturer Lexmark International (LXK: Charts, News) slid over 6% yesterday, after Deutsche Bank downgraded the stock from hold to sell, setting an $18 price target on the stock. Deutsche Bank analysts cited increased competition from laser printer competitors and a weakening market for inkjet printers as the primary reasons for the downgrade. Citigroup analysts agreed with Deutsche Bank’s bearish view, also setting a sell rating on the stock with an $18 price target. Zacks analysts were slightly more optimistic, rating the stock as "neutral" with a $22 price target. (Source: InvestorGuide) Click here to read the full article

Your Money

3 Unexpected Ways I Get Inspiration as an Entrepreneur
Most of us who start a business read books by entrepreneurs or attend conferences and workshops that inspire us to dream big. But I’ve found that sometimes, simply looking to the faces around us can bring just the inspiration we need. (Source: The Daily Muse) Click here to read the full article
Want to Really Serve Consumers? Offer Them an Experience
Here's a prediction for 2013: Experience marketing will overtake do-good marketing as the Next Big Thing. And it can't come soon enough for me. (Source: AdAge) Click here to read the full article
Published on Dec 14, 2012
By InvestorGuide Staff

Copyrighted 2020. Content published with author's permission.

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