Markets Retreat After Weak Manufacturing Report (TSLA, EBAY)
All of the major markets ended the first trading day of the quarter lower on Monday after the manufacturing sector unexpectedly slowed in March. Following last Thursday's record closing price, the S&P500 declined for the first time to begin a quarter since Q4 of 2011. The CBOE Volatility Index closed up nearly 7.5%, indicating that fear was on the rise among investors. Shares of car maker Tesla (TSLA) closed up 16% after the company announced that sales of its Model S topped expectations in February, which led to a change in guidance to full profitability.eBay Inc (EBAY) also had a strong day after it said that it expects annual earnings growth of between 15 and 19 percent in the next 3 years.
Word on the Street
- Apple (AAPL) stock fell nearly 3% as CEO Tim Cook apologized to customers in China over warranty policies.
- Shares of Hess (HES') reached a one-year high after news that it had sold one of its Russian subsidiaries for $2.1B.
- A study released Monday showed that the Fed's unconventional easing efforts have been weakening the U.S. dollar.
- American Airlines and Orbitz (OWW) agreed to end litigation over alleged anti-competitive conduct.
Published on Apr 1, 2013By InvestorGuide Staff