In Case You Missed Tuesday
Stocks plunge again on higher oil prices. Didn't this just happen?
- Stocks continue to be the tail, oil prices continue to be the dog. Crude went north of $100 a barrel again, and what is usually a shoo-in for a rally — the first trading day of the month — turned into a disaster. The S&P 500 is now nearly 3% below its intraday highs set just 11 days ago. That may not sound like much — and it could probably be half that if oil slides to $95 on Wednesday — but a longer-term rally is now in question without another new high in the next week or so. As you’d imagine, airlines and transportation services took a hit, and the flight-to-safety bid was on. Gold hit a new all-time high, while silver made do with just another 31-year high. Bonds gained, with the yield on the 10-year Treasury note falling to 3.41%.
- After the closing bell, shares of MBIA (NYSE:MBI) fell 4.5% after the company’s fourth-quarter earnings report. The company said its net income largely came from a $1.1 billion pretax unrealized net gain on the fair value of insured derivatives. And while its adjusted pretax loss narrowed, the company’s adjusted book value per share fell from a year earlier. Verifone (NYSE:PAY) shares gained nearly 5% after the company’s fiscal first-quarter profit beat Wall Street estimates. It also guided higher for second-quarter and full-year results. Shares of Tivo (NASDAQ:TIVO) slipped 1.7% after the company’s fourth-quarter loss was wider than expected; the company also said first-quarter revenue would miss current Wall Street expectations. According to Reuters, Yahoo (NASDAQ:YHOO) is in talks to exit its joint venture in Japan with Softbank.
- On Wednesday, you have an a.m. earnings report from Costco (NASDAQ:COST). Economic data includes the February Challenger job-cut report, the ADP payroll estimate for February and the Fed’s Beige Book report.
OUT THERE SOMEWHERE:
Article printed from InvestorPlace Media, http://investorplace.com/2011/03/in-case-you-missed-tuesday-3/.
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