US close: Late boost for Dow
02 Sep 2010
US stocks shrugged off their early torpor to register decent gains by the close though tomorrow's non-farm payroll numbers overshadowed much of the trading.
The Dow Jones finished up 50 at 10,320. The S&P 500 gained 9 at 1,090, while the Nasdaq was 23 higher at 2,200.
In economic news, initial jobless claims fell by 6,000 to 472,000 in the week to 28 August in line with expectations.
Tomorrow is the key monthly non-farm payrolls report. Economists expect the report to show that employers cut 120,000 jobs in August from a 131,000 fall in July. The unemployment rate is forecast to rise slightly to 9.6%.
Today, pending sales of existing homes rose by 5.2% in July after a 2.8% fall the previous month. A 1% drop was anticipated. This news pushed housebuilder DR Horton and DIY retailer Home Depot higher.
Burger King rose sharply for the second day in a row after the world's second largest fast food chain accepted a $4bn offer from investment group 3G Capital. Smaller rival Wendy's also rose.
Dell has admitted defeat in its attempt to acquire data storage supplier 3Par. However, Dell is entitled to a termination payment of $72m. Hewlett-Packard's $33 a share offer was too high for Dell to trump.
Strong August sales figures from department stores JC Penney, Kohl's and Nordstrom sent the stocks higher. However, Abercrombie & Fitch fell because analysts' believe that its sales growth has been boosted by promotions.
Footwear retailer Collective Brands' second quarter profits missed expectations due to weak sales and strong discounting.
S&P 500 - Risers
Nordstrom Inc. (JWN) $32.76 +8.05%
Goodyear Tire & Rubber Co. (GT) $10.13 +6.30%
Limited Brands Inc. (LTD) $25.75 +6.10%
Eastman Kodak Co. (EK) $4.00 +5.82%
S&P 500 - Fallers
Abercrombie & Fitch Co. (ANF) $35.16 -3.88%
Tyson Foods Inc. (TSN) $16.04 -3.32%
Total System Services Inc. (TSS) $14.34 -3.30%
H&R Block Inc. (HRB) $12.57 -2.86%
Dow Jones I.A - Risers
Alcoa Inc. (AA) $10.82 +2.85%
Home Depot Inc. (HD) $29.41 +2.58%
Boeing Co. (BA) $63.39 +1.77%
Cisco Systems Inc. (CSCO) $20.55 +1.43%
Dow Jones I.A - Fallers
Merck & Co. Inc. (MRK) $35.35 -0.76%
International Business Machines Corp. (IBM) $125.07 -0.56%
American Express Co. (AXP) $40.85 -0.54%
Verizon Communications Inc. (VZ) $30.11 -0.50%
