GDP, VOD News Lifts Markets: Thursday’s IP Market Recap

by Marc Bastow | August 29, 2013 4:58 pm

IPMarketRecap GDP, VOD News Lifts Markets: Thursday's IP Market Recap Economic and corporate news — not political news — drove the markets on Thursday, as the Bureau of Economic Analysis revised its April-June gross domestic product annual rate to 2.5% vs 1.7%, suggesting the economy is expanding faster than originally forecast.

The unemployment picture brightened at bit too, as jobless claims fell to 331,000 last week, the fewest weekly claims in 5 years.

The combination helped lead the markets higher, as the Nasdaq had raced ahead 0.75% to close at 3620.30, while the S&P 500 gained 0.20% to 1638.17, and the Dow Jones Industrial Average ended up 0.11% at 14840.95

Vodafone (VOD[1]) shares soared more than 8% on news[2] that it would sell its 45% stake in Verizon Wireless back to Verizon (VZ[3]). VZ shares moved ahead more than 2% on the news, making it the leading gainer on the Dow.

Clothing retailer Guess (GES[4]) soared nearly 13% after announcing a beat on second quarter earnings[5] and raising its full-year guidance. Sector mates American Apparel (APP[6], +2.67%) and Urban Outfitters (URBN[7], +1.29%) rose on the news.

The solid economic reports helped to lift homebuilders, with Lennar (LEN[8], +3.16%), KB Homes (KBH[9], +2.18%) and M/I Holdings (MHO[10], +1.79%) all higher on the day.

Tech stocks found the going better, too, with gains in Facebook (FB[11], 1.81%), and Microsoft (MSFT[12], +1.61%) leading the rebound.

On the down side, energy stocks gave up some of Wednesday’s gains, as oil prices fell slightly, with Exxon Mobil (XOM[13]) Chevron (CVX[14]), and Royal Dutch Shell (RDS.A[15], RDS.B[16]) all down more than 1%.

Three Up

Three Down

Marc Bastow is an Assistant Editor at InvestorPlace.com. As of this writing he was long VZ, MSFT, and XOM.

Endnotes:
  1. VOD: http://studio-5.financialcontent.com/investplace/quote?Symbol=VOD
  2. on news: http://slant.investorplace.com/2013/08/verizon-vodafone-buyout-vz-att-sprint/
  3. VZ: http://studio-5.financialcontent.com/investplace/quote?Symbol=VZ
  4. GES: http://studio-5.financialcontent.com/investplace/quote?Symbol=GES
  5. a beat on second quarter earnings: http://investorplace.com/2013/08/could-guess-stock-be-set-to-soar-again/
  6. APP: http://studio-5.financialcontent.com/investplace/quote?Symbol=APP
  7. URBN: http://studio-5.financialcontent.com/investplace/quote?Symbol=URBN
  8. LEN: http://studio-5.financialcontent.com/investplace/quote?Symbol=LEN
  9. KBH: http://studio-5.financialcontent.com/investplace/quote?Symbol=KBH
  10. MHO: http://studio-5.financialcontent.com/investplace/quote?Symbol=MHI
  11. FB: http://studio-5.financialcontent.com/investplace/quote?Symbol=FB
  12. MSFT: http://studio-5.financialcontent.com/investplace/quote?Symbol=MSFT
  13. XOM: http://studio-5.financialcontent.com/investplace/quote?Symbol=XOM
  14. CVX: http://studio-5.financialcontent.com/investplace/quote?Symbol=CVX
  15. RDS.A: http://studio-5.financialcontent.com/investplace/quote?Symbol=RDS.A
  16. RDS.B: http://studio-5.financialcontent.com/investplace/quote?Symbol=RDS.B
  17. ZLC: http://studio-5.financialcontent.com/investplace/quote?Symbol=ZLC
  18. Z: http://studio-5.financialcontent.com/investplace/quote?Symbol=Z
  19. DDD: http://studio-5.financialcontent.com/investplace/quote?Symbol=DDD
  20. JASO: http://studio-5.financialcontent.com/investplace/quote?Symbol=JASO
  21. ARNA: http://studio-5.financialcontent.com/investplace/quote?Symbol=ARNA
  22. CLF: http://studio-5.financialcontent.com/investplace/quote?Symbol=CLF

Source URL: http://investorplace.com/2013/08/thursdays-ip-market-recap-ges-vz-vod-msft-len/
Short URL: http://invstplc.com/1nzrqsn