Fed Minutes Cause Stocks to Dive; Housing Market Gains Strength (HPQ, TGT)
On Wednesday minutes from the most recent Federal Reserve meeting were released to the public and pushed stocks lower. Ben Bernanke signaled that the bank may be closer to ending its QE program. Despite early gains for the major indices, all three turned lower by the end of the day. After the comments were released crude-oil futures settled under $95 a barrel while the US dollar rallied against the euro and Japanese yen. After the bell Hewlett-Packard (HPQ) saw shares rise due to surpassing investor expectations for earnings. Saks (SKS) surged as much as 15% today as it considers a possible sale.Target (TGT) slid and was the S&P's biggest decliner after announcing a drop in profit of 29%.
Word on the Street
- Home sales rise during the month of April to the highest level in 3-1/2 years.
- GlaxoSmithKline's (GSK) antibiotics development deal gets government approval.
- Target (TGT) falls 26% after cutting its annual profit outlook.
- More comments released from the Fed about QE in Wednesday's minutes.
- Sony (SNE) considers a spinoff for its entertainment business.
- Dimon Retains Chair at JP Morgan Chase (JPM).
Published on May 22, 2013By InvestorGuide Staff