The Joplin Globe, Joplin, MO

Business

May 13, 2013

Stocks open lower despite rise in retail sales

NEW YORK — The stock market opened lower on Monday, pulling back from record highs last week.

The market started the day lower even after the government reported that Americans increased spending at retailers last month. The spending rebounded from March, suggesting that consumers may boost economic growth in the current quarter ending June 30.

The Dow Jones industrial average fell 31.86 points, or 0.2 percent, to 15,085. The Standard and Poor’s 500 index dropped 3 points, or 0.2 percent, to 1,631.

The two key indexes ended last week at all-time highs, boosted by record profits at companies.

The earnings of companies in the S&P 500 index are projected to rise 5 percent for the first quarter, according to data from S&P Capital IQ. While growth has slowed from the previous quarter, it is forecast to end the year at 11.6 percent.

Among stocks making big moves:

— Yum Brands fell $1.64, or 2.4 percent, to $68.67 after the owner of Kentucky Fried Chicken, reported that sales in China fell 29 percent last month, driven by concerns about Avian flu.

— Theravance, a biopharmaceutical company, surged $4.57, or 13.1 percent, to $39.52. Irish drugmaker Elan Corp. plans to pay $1 billion for the right to future royalties from respiratory treatments being developed by Theravance and GlaxoSmithKline.

In commodities trading, oil fell $1.11, or 1.1 percent, to $94.98 a barrel. Gold dropped $6.40, or 0.5 percent, to $1,430 an ounce. The U.S. dollar fell to 101.70 Japanese yen.

In government bond trading, the yield on the 10-year Treasury note rose to 1.92 percent from 1.90 percent. The yield has jumped this month as investors sold Treasurys’ and moved into riskier assets.

The Nasdaq composite was little changed at 3,439.

 

1
Text Only
Business
Poll

New Kansas teaching license regulations would allow some individuals who have ample expertise but do not have education degrees to become secondary school teachers. Do you agree or disagree with that change?

Agree
Disagree
     View Results
Facebook
Twitter Updates
Follow us on twitter
NDN Video
Joy Fills Streets of Cleveland As LeBron Returns Proposed Bill to Regulate NY Costumed Characters WH: LeBron's Move a 'Powerful Statement' Ana Ortiz on 'Devious Maids' Finale CDC Addresses Lab Safety Problems Texas Shooting Suspect Collapses in Court Death Toll Tops 100 As Israel Offense Continues LeBron James Says He's Returning to Cavaliers Man Flees Police in World Cup Scalping Scheme Robot Writes Jewish Torah Scroll Raw: Israel, Gaza Exchange Rocket Fire More Immigrants Detained Along Rio Grande World Cup Final Pits Argentina Against Germany Police: Prostitute Linked to 2nd Death Thousands Attend NYC Firefighter's Funeral Art of Haitian Machete Fighting Revived Raw: Australia Hosts Annual Beer Can Regatta Mass. Mayor: Families Lost Everything in Fire Fans Dying to Be Near Jazz Greats Robots Gearing Up for Their Own 'World Cup'