GDP, VOD News Lifts Markets: Thursday’s IP Market Recap
by Marc Bastow | August 29, 2013 4:58 pm
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
- Zale (ZLC[17]): Up 7.48% (87 cents) to $12.50
- Zillow (Z[18]): Up 7.42% ($6.60) to $95.60
- 3D Systems (DDD[19]): up 4.92% ($2.48) to $52.91
Three Down
- JaSolar (JASO[20]): Down 6.91% (55 cents) to $7.41
- Arena Pharmaceutical (ARNA[21]): Down 5.08% (34 cents) to $6.35
- Cliffs Natural (CLF[22]): Down 3.10% (67 cents) to $20.97
Marc Bastow is an Assistant Editor at InvestorPlace.com. As of this writing he was long VZ, MSFT, and XOM.
- VOD: http://studio-5.financialcontent.com/investplace/quote?Symbol=VOD
- on news: http://slant.investorplace.com/2013/08/verizon-vodafone-buyout-vz-att-sprint/
- VZ: http://studio-5.financialcontent.com/investplace/quote?Symbol=VZ
- GES: http://studio-5.financialcontent.com/investplace/quote?Symbol=GES
- a beat on second quarter earnings: https://investorplace.com/2013/08/could-guess-stock-be-set-to-soar-again/
- APP: http://studio-5.financialcontent.com/investplace/quote?Symbol=APP
- URBN: http://studio-5.financialcontent.com/investplace/quote?Symbol=URBN
- LEN: http://studio-5.financialcontent.com/investplace/quote?Symbol=LEN
- KBH: http://studio-5.financialcontent.com/investplace/quote?Symbol=KBH
- MHO: http://studio-5.financialcontent.com/investplace/quote?Symbol=MHI
- FB: http://studio-5.financialcontent.com/investplace/quote?Symbol=FB
- MSFT: http://studio-5.financialcontent.com/investplace/quote?Symbol=MSFT
- XOM: http://studio-5.financialcontent.com/investplace/quote?Symbol=XOM
- CVX: http://studio-5.financialcontent.com/investplace/quote?Symbol=CVX
- RDS.A: http://studio-5.financialcontent.com/investplace/quote?Symbol=RDS.A
- RDS.B: http://studio-5.financialcontent.com/investplace/quote?Symbol=RDS.B
- ZLC: http://studio-5.financialcontent.com/investplace/quote?Symbol=ZLC
- Z: http://studio-5.financialcontent.com/investplace/quote?Symbol=Z
- DDD: http://studio-5.financialcontent.com/investplace/quote?Symbol=DDD
- JASO: http://studio-5.financialcontent.com/investplace/quote?Symbol=JASO
- ARNA: http://studio-5.financialcontent.com/investplace/quote?Symbol=ARNA
- CLF: http://studio-5.financialcontent.com/investplace/quote?Symbol=CLF
Source URL: https://investorplace.com/2013/08/thursdays-ip-market-recap-ges-vz-vod-msft-len/