Bitter End to Boffo January — Thursday’s IP Market Recap

by Marc Bastow | January 31, 2013 4:49 pm

InvestorPlace Market Recap[1]A fantastic January for U.S. stocks ended on a slightly sour note Thursday as concerns about the economy — sparked by a jump in jobless claims and nervousness over Friday’s monthly jobs report — hung on the major indices.

The Dow Jones Industrial Average took the worst of it, declining 0.36% to 13,860.58. The S&P 500 fell 0.26% to 1,498.11, and the Nasdaq slid marginally to 3,142.13. For the month, the Dow Jones gained 5.8%, the S&P 500 improved 5% and the Nasdaq — weighed by a poor January for Apple (NASDAQ:AAPL[2]) — finished ahead 4%.

Earnings news ruled the majority of the day. Postal equipment maker Pitney Bowes (NYSE:PBI[3]) reached three-month highs after gaining more than 20% on an unexpected earnings beat[4] and the announcement of cost-cutting measurements. Meanwhile, UPS (NYSE:UPS[5]) headed the other way, falling just more than 2% after announcing fourth-quarter earnings that fell short of forecasts and issuing weak 2013 guidance.

PulteGroup (NYSE:PHM[6]) was unable to keep up its scorching run despite reporting a big increase in fourth-quarter earnings and a 27% improvement in new orders. However, a projected decline in community count hampered PHM shares, which lost more than 1%.

On the corporate front, Constellation Brands (NYSE:STZ[7]) cratered by 17% after the U.S. Department of Justice challenged Anheuser-Busch InBev‘s (NYSE:BUD[8]) bid to buy out Mexico’s Grupo Modelo (PINK:GPMCF[9]). That deal included a provision in which Constellation would buy out the remaining half of its Crown Imports joint venture with Grupo for $1.85 billion, giving it sole distribution rights for all of Grupo’s brands in the U.S. GPMCF and BUD shares fell by roughly 7% and 6%, respectively.

Lastly, Facebook (NASDAQ:FB[10]) shares dipped early but recovered to losses of less than 1% after reporting Street-beating Q4 earnings and sales, but slower-than-expected mobile and mobile revenue growth.

Earnings notables for Friday include energy sector giants Exxon Mobil (NYSE:XOM[11]) and Chevron (NYSE:CVX[12]), along with Mattel (NASDAQ:MAT[13]) and Newell-Rubbermaid (NYSE:NWL[14]).

Three Up

Three Down

Marc Bastow is an Assistant Editor of InvestorPlace. As of this writing, he was long AAPL and XOM.

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  2. AAPL:
  3. PBI:
  4. unexpected earnings beat:
  5. UPS:
  6. PHM:
  7. STZ:
  8. BUD:
  9. GPMCF:
  10. FB:
  11. XOM:
  12. CVX:
  13. MAT:
  14. NWL:
  15. WMS:
  16. FTNT:
  17. JDSU:
  18. RDEN:
  19. FIO:
  20. Read more here:
  21. TWC:

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