Results tagged “LEH” from MarketMinute.com Market Updates

The markets extended its losses during the midday with the Dow skidding 292 points to 10,767 as investors digested the govenment's $85 billion bailout of AIG.  Nasdaq stumbled 70 points to 2138.

On the upside

Ambac (NYSE: ABK) disclosed that its exposure to Lehman Brothers (NYSE: LEH) was insignificant with no direct exposure to the failed investment bank's financial guarantee or financial services investment portfolio. 

The Food and Drug Administration approved Mylan's (NYSE: MYL) generic version of Johnson & Johnson's (NYSE: JNJ) bipolar disorder and schizophrenia treatment Risperdal.

Citigroup analyst Timothy Arcuri upgraded Evergreen Solar (Nasdaq: ESLR) while lowering his earnings outlook after the solar power products company clarified its exposure to bankrupt Lehman Brothers.

On the downside

Oppenheimer Research analyst Joseph Gomes Jr. downgraded VeraSun Energy (NYSE: VSE) after the ethanol maker warned of a third quarter loss of at least $63 million and announced a publice offering of 20 million shares.

Nortel Networks (NYSE: NT) blamed the global economic slowdown for lowering its fiscal 2008 guidance.

Canadian rating agency DBRS lowered its rating on Morgan Stanley (NYSE: MS) to negative citing earnings pressure due to turmoil in the financial services sector.

In the broad market, declining issues outpaced advancers by a margin of more than 13 to 1 on the NYSE and by more than 5 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks plummeted 31 points to 680.

The markets opened lower despite retreating oil prices and easing consumer prices as investors struggled to deal with turmoil in the financial services industry. The Dow dropped 76 points to 10,841 while Nasdaq plummeted 27 points to 2153.

On the upside

Although Wells Fargo (NYSE: WFC) announced that it will take a third quarter charge due to investments in senior unsecured notes and preferred securities issued by bankrupt Lehman Brothers (NYSE: LEH), analysts said that the company's exposure is less than other financial institutions.

Citi Investment Research analyst Joshua Shanker upgraded Chubb (NYSE: CB) saying that the property and casualty insurer will gain market share in the wake of American International Group's  (NYSE: AIG) troubles.

Amgen (Nasdaq: AMGN) reported upbeat trial results for its experimental osteoporosis treatment denosumab.

On the downside

Dell (Nasdaq: DELL) warned that global demand for information technology products will continue to weaken in the current quarter.

Shares of American International Group (NYSE: AIG) continued to plunge after S&P, Moody's and Fitch all cut their ratings on the world's largest insurer.

Third quarter earnings for Goldman Sachs (NYSE: GS) plummeted 70% as the company reported over $800 million in losses from defaults on real estate assets.

In the broad market, declining issues outpaced advancers by a margin of more than 4 to 1 on the NYSE and by more than 5 to 2 on Nasdaq.  The Russell 2000 which tracks small cap stocks plunged 9 points to 681.

The markets reeled from the bankruptcy filing of Lehman Brothers and the sale of investment firm Merrill Lynch to Bank of America to close sharply lower with the Dow collapsing 504 points to 10,918.  Nasdaq skidded 51 points to 2210.

On the upside

Longs Drug Stores (NYSE: LDG) received a $3 billion buyout offer from Walgreens (NYSE: WAG).  The price was higher than the $2.9 billion bid made by CVS Caremark (NYSE: CVS) last month.

UBS analyst Kevin Crissey upgraded AirTran Holdings (NYSE: AAI) saying that falling oil prices will boost earnings.  The airline also announced that flights to Houston Hobby International Airport will resume.

Putnam Managed Municipal Income Trust (NYSE: PMM) renewed its repurchase program for closed-end funds and announced the approval by its board to merge two closed-end funds into open-end funds.

On the downside

Lehman Brothers (NYSE: LEH) underwrote the senior note offering in July by Evergreen Solar (Nasdaq: ESLR) but the solar products company reassured investors that none of the proceeds from the sale are on deposit with Lehman.

JA Solar Holdings (Nasdaq: JASO) warned that solar prices are expected to drop between 8% to 10% in 2009.

Meruelo Maddux Properties (Nasdaq: MMPI) will repurchase up to $10 million worth of common stock.

In the broad market, declining issues outpaced advancers by a margin of more than 15 to 1 on the NYSE and by more than 6 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks plummeted 31 points to 690.

The bankruptcy filing of Lehman Brothers rattled investor confidence to send the markets plummeting during the midday with the Dow collapsing 326 points to 11,096.  Nasdaq skidded 51 points to 2210.

On the upside

United Airlines (Nasdaq: UAUA) announced a fee increase from $25 to $50 to check a second bag on a domestic flight.  The fee is expected to raise revenue by $700 million in 2009.

Vishay Intertechnology (NYSE: VSH) paid $35.2 million to acquire the Wet Tantalum assets of KEMET Corp. (NYSE: KEM).

Citi Investment Research analyst Chip Dillon affirmed his Buy rating for AbitibiBowater (NYSE: ABH) and narrowed his full year loss estimate for the newprint maker.

On the downside

Shares of Axcelis Technologies (Nasdaq: ACLS) plunged to all time lows after Sumitomo placed its discussions to acquire the semiconductor equipment maker on hold.

Although GFI Group (Nasdaq: GFIG) reassured investors that it has no material exposure to Lehman Brothers (NYSE: LEH), which filed for Chapter 11 bankruptcy protection, shares of the brokerage services provider plummeted.

The Wall Street Journal reported that sales of Apple's (Nasdaq: AAPL) iPhone has dropped and total sales will fall far short of the expected one million units that Apple expected to sell.

In the broad market, declining issues outpaced advancers by a margin of nearly 9 to 1 on the NYSE and by more than 7 to 2 on Nasdaq.  The Russell 2000 which tracks small cap stocks plunged 15 points to 705.

The meltdown in the financial services and insurance sectors hammered stocks across the board.  Meanwhile, oil prices tumbled below $95 a barrel.  The Dow lost more than 260 points at the opening bell to 11,155 while Nasdaq plummeted 50 points to 2210.

On the upside

Shares of Merrill Lynch (NYSE: MER) climbed higher after the investment bank agreed to a hasty offer by Bank of America (NYSE: BAC) in an all-stock acquisition to stave off a Lehman-like meltdown in its balance sheet.

Consumer electronics retailer Best Buy (NYSE: BBY) offered about $125 million in cash to buy music-sharing site Napster (Nasdaq: NAPS).

Airline stocks rose as oil prices continued to fall.  Shares of Continental Airlines (NYSE: CAL) and AMR Corporation (NYSE: AMR) were among the few gainers in the broad market.

On the downside

Shares of Lehman Brothers (NYSE: LEH) became worthless after the venerable investment bank failed to find a buyer or partners over the weekend in an emergency meeting and filed for bankruptcy.

Investors punished American International Group (NYSE: AIG) on fears that the insurance giant may be unable to secure capital.

Electronic Arts (Nasdaq: ERTS) withdrew its offer to buy Take Two Interactive Software (Nasdaq: TTWO) after the video game maker rejected the bid as too low.

In the broad market, declining issues swamped advancers by a margin of more than 10 to 1 on the NYSE and by more than 6 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks fell 14 points to 706.

Amid ongoing uncertainty in the financial services sector, the markets opened lower as August retail sales fell.  The Dow dropped more than 100 points to 11,325 while Nasdaq lost 20 points to 2237.

On the upside

Engineering and construction company Foster Wheeler (Nasdaq: FWLT) announced a $750 million share buyback program.

Shares of Ford Motor (NYSE: F) rose after its Volvo car unit accelerated the timetable for job cuts.

Spain's Telefonica announced plans to offer nearly $1 billion to buy the remainder of Telefonica Chile (NYSE: CTC).

On the downside

Restaurant chain Chipotle Mexican Grill (NYSE: CMG) blamed the weak economy and rising costs for lower same-store sales and lowered its 3rd quarter outlook.

Rumors swirled about possible buyers for Lehman Brothers (NYSE: LEH) whose shares continued to fall as investors anticipated a nominal price for the entire company.

Shares of insurance giant American International Group (NYSE: AIG) dropped sharply to weigh down the Dow.

In the broad market, declining issues outpaced advancers by a margin of nearly 2 to 1 on the NYSE and by more than 2 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks lost 6 points to 712.

The markets opened lower as investors worried about a strong hurricane approaching the Texas coast and the ongoing turmoil in the financial services sector.  The Dow lost more than 100 points to 11,162 while Nasdaq gave up 11 points to 2217.

On the upside

Covidien (NYSE: COV) raised its sales outlook for 2009.  The medical device maker and diversified health care company was spun off from Tyco International (NYSE: TYC) last year.

Canadian sportswear maker Lululemon Athletica (Nasdaq: LULU) reported higher profits and same-store sales while reaffirming its outlook for the year.

Allergan (NYSE: AGN) released a study showing that its popular Botox wrinkle-smoother may relieve chronic migraine.

On the downside

Investors worried about a possible 3rd quarter loss for American International Group (NYSE: AIG), the world's largest insurer and a Dow component.

Shares of Lehman Brothers (NYSE: LEH) tumbled as analysts downgraded the troubled investment bank.  The selloff affected shares of other companies in the financial services sector, including Merrill Lynch (NYSE: MER) and Morgan Stanley (NYSE: MS).

Investors continued to unload shares of Washington Mutual (NYSE: WM) on worries of a likely default on loans, according to a Reuters report.

In the broad market, declining issues outpaced advancers by a margin of more than 4 to 1 on the NYSE and by more than 3 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks lost 13 points to 703.

The markets opened higher after Lehman Brothers offered an early update of its quarterly losses and efforts to sell off assets.   The Dow rose more than 50 points to 12,888  while Nasdaq surged 21 points to 2231.

On the upside

Lehman Brothers (NYSE: LEH) pre-announced a $3.9 billion loss for the quarter and stated that it was close to a deal to sell off a majority stake in its investment management business.  The stock edged higher in early trading after tumbling 40% yesterday.

Biotechnology company ImClone Systems (Nasdaq: IMCL) announced that it has a received a $70 a share offer from a large pharmaceuticals company which topped the $60 a share offer from Bristol-Myers Squibb (NYSE: BMY).

Shares of Massey Energy (NYSE: MEE) rebounded after an analyst's downgrade triggered a sell-off yesterday.

On the downside

S&P downgraded the outlook for Washington Mutual (NYSE: WM) to negative which sent its shares tumbling to new multi-year lows.  A lower rating causes the bank's borrowing costs to increase.

Shares of Brokerage GFI Group (Nasdaq:GFIG) fell after it ended talks to merge with Tullett Prebon, a provider of real-time commodity pricing.

Tyson Foods (NYSE: TSN) planned to offer 20 million shares at $12.75 apiece.  Investors worried that the convertible senior notes would dilute the stock which traded lower.

In the broad market, advancing issues outpaced decliners by a margin of nearly 2 to 1 on the NYSE and by more than 2 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks rose 5 points to 712.

The major indexes opened higher with the Dow rising 28 points to 11,538 and Nasdaq gaining 11 points to 2281.  The broad markets were mixed as investors and analysts debated the merits of the Fannie Mae and Freddie Mac bailouts. 

On the upside

Surgical systems maker Cardica (Nasdaq: CRDC) received FDA approval for its fast, automated system that creates secure connections between the main artery and vein grafts.

McDonald's (NYSE: MCD) reported higher same-store sales with non-U.S. markets driving most of the growth for the world's largest fast food chain.

Hewlett-Packard (NYSE: HPQ) was upgraded by an analyst which helped to lift the overall tech sector.

On the downside

Shares of Lehman Brothers (NYSE: LEH) fell on reports that state-run Korea Development Bank may no longer be interested by buying part or all of the beleaguered investment bank.

Timber real estate investment trust Potlatch (NYSE: PCH) was downgraded by analysts.

Shares of Terra Industries (NYSE: TRA) and Monsanto (NYSE: MON) fell sharply in a broad sell-off among fertilizer companies.

In the broad market, declining issues outpaced advancers by a margin of nearly 2 to 1 on the NYSE, but were edged out by a slim margin on Nasdaq.  The Russell 2000 which tracks small cap stocks slipped 2 points to 730.

The markets opened sharply higher with the Dow soaring over 250 points to 11,480 while Nasdaq rose 26 points to 2282.  Over the weekend, U.S. regulators took over troubled mortgage giants Fannie Mae and Freddie Mac.

On the upside

Investors hoped that the government's intervention will restore confidence in the financial services and housing sectors.  Shares of homebuilders Lennar Corp. (NYSE: LEN) and KB Home (NYSE: KBH) rose along with shares of Citigroup (NYSE: C) and Wells Fargo (NYSE: WFC).

The CEO of Washington Mutual (NYSE: WM) was replaced as the troubled savings and loans signed a memorandum of understanding with the Office of Thrift Supervision to work with government regulators.

Shares of Gehl (Nasdaq: GEHL) soared after the construction and farm equipment maker received a $450 million offer from France-based Manitou, its largest shareholder.

On the downside

Shares of Fannie Mae (NYSE: FNM) and Freddie Mac (NYSE: FRE) plummeted after the U.S. Treasury Department seized control of the companies over the weekend.  While the two companies are expected to stay in business, common shareholders have been virtually wiped out by the government's 80% stakes.

Investors worieed that Lehman Brothers (NYSE: LEH) may be unable to find partners to buy its assets or to offer capital to shore up its balance sheet.

Shares of Biodel (Nasdaq: BIOD) lost more than half their value after the drug researcher announced disappointing clinical trial results for its diabetes drug treatment.

In the broad market, advancing issues outpaced decliners by a margin of more than 3 to 1 on the NYSE and by nearly 3 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks soared 13 points to 732.

Disappointing retail sales weighed down investor sentiment to send the markets tumbling to a sharply lower close with the Dow plunging 345 points to 11,188.  Nasdaq skidded 75 points to 2259.

On the upside

Shares of Medivation (Nasdaq: MDVN) continued to soar after announcing a partnership with Pfizer (NYSE: PFE) to develop and market the Alzheimer's disease and Huntington's disease treatment Dimebon.

Grubb & Ellis Realty Investors (NYSE: GBE) purchased a 312 unit multifamily community called The Retreat in Peachtree City, Georgia.

Range Resources (NYSE: RRC) announced that Macellus Shale project is ahead of schedule and the oil and natural gas company expects production at the site by the end of the year.

On the downside

Trading was halted on Spectranetics (Nasdaq: SPNC) after the stock collapsed.  Investors are awaiting news from the medical device maker.

Although TiVo (Nasdaq: TIVO) introduced its latest HD XL Digital Video Recorder with more recording capacity, MicroSoft (Nasdaq: MSFT) slashed the price of its gaming and entertainment console Xbox 360, which can stream movies from Netflix.

Bloomberg reported that Lehman Brothers (NYSE: LEH) may spin off $32 billion worth of its commercial real estate and mortgage assets as a new company.

In the broad market, declining issues outpaced advancers by a margin of more than 5 to 1 on the NYSE and by more than 4 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks skidded 23 points to 719.

The major indexes drifted lower at the opening bell as investors mulled over a better than expected report on July factory orders.  The Dow eased 15 points to 11,501 while Nasdaq slipped 3 points to 2346.

On the upside

Shares of Medivation (Nasdaq: MDVN) soared after the drug developer announced a partnership with Pfizer (NYSE: PFE) to market a drug candidate that treats Alzheimer's disease and Huntington's disease.

Ambac (NYSE: ABK) receive approval from Wisconsin regulators to re-start its Connie Lee Insurance Company subsidiary as a new municipal bond insurer.

Ospraie Management LLC will close its flagship fund after incurring significant losses.  Lehman Brothers (NYSE:LEH), which is facing its own set of investment losses, owns 20% of the commodities-focused hedge fund.

On the downside

Food maker Kraft Foods (NYSE: KFT) reaffirmed its 2008 outlook, including a one-time charge related to its spin-off of its Post Cereals business.

Corning (NYSE:GLW) lowered its guidance for revenues and earnings due to inventory issues and lower prices affecting its display-glass business.

Shares of Pier 1 Imports (NYSE: PIR) lost ground after the furniture retailer posted lower same-store sales.
 

In the broad market, advancing issues outpaced decliners by a slim margin on both the NYSE and Nasdaq.  The Russell 2000 which tracks small cap stocks added 3 points to 742.

The markets opened sharply higher as oil prices tumbled in the aftermath of Hurricane Gustav which caused less damage than expected.  The Dow soared over 200 points to 11,760 while Nasdaq soared 40 points to 2407.

On the upside

Sciele Pharma (Nasdaq: SCRX) received a $1.1 billion cash offer from Japanese pharmaceutical manufacturer Shionogi & Co, Ltd.

Shares of Lehman Brothers (NYSE: LEH) rose on hopes that the investment bank can get a $6 billion capital infusion or an outright acquisition offer through Korea Development Bank.

The airline sector soared despite travel disruptions due to the hurricane as oil prices dropped.  Shares of UAL Corp. (Nasdaq: UAUA) and AMR (NYSE: AMR) which operates American Airlines opened sharply higher.

On the downside

Oil companies surveyed the damage caused by Hurricane Gustav, but investors were more worried about falling oil prices cutting into profit margins.  Shares of Exxon Mobil (NYSE: XOM) and ConocoPhillips (NYSE: COP) were sold off.

The coal sector caved in as commodities prices fell and the dollar rose overnight.  Shares of Arch Coal (NYSE: ACI) and Patriot Coal (NYSE: PCX) fell sharply.

Technology stocks rallied, but shares of Dell (Nasdaq: DELL) bucked the trend.  Investors remained nervous about the outlook for the computer maker after last week's disappointing results.
 

In the broad market, advancing issues outpaced decliners by a margin of nearly 3 to 1 on the NYSE and by more than 2 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks leaped 15 points to 753.

The markets opened higher as oil prices fell ahead of a speech by Federal Reserve Chairman Ben Bernanke.  The Dow surged 140 points to 11,570 while Nasdaq climbed 20 points to 2400.

On the upside

Drugmaker King Pharmaceuticals (NYSE: KG) offered to buy Alpharma (NYSE: ALO) for $1.4 billion in order to expand its line of pain treatments.

Shares of Lehman Brothers Holdings (NYSE: LEH) rose on hopes that a suitor may emerge to buy the beleaguered investment bank.

Apparel retail chain operator Gap (NYSE: GPS) posted higher profits due to better inventory control. Analysts promptly upgraded the stock.

On the downside

Nordson (Nasdaq: NDSN) posted higher revenues and earnings for the 3rd quarter, but sales growth for the industrial sealant maker degraded more quickly than expected by analysts.

Verigy (Nasdaq: VRGY) lowered its outlook for the current quarter due to a sales shortfall at the maker of test equipment for semiconductors.

Shares of Pacific Sunwear of California (Nasdaq: PSUN) tumbled to a 10-year low after the teen retailer posted a 2nd quarter loss and offered a breakeven outlook for the rest of the year.

In the broad market, advancing issues outpaced decliners by a margin of nearly 3 to 1 on both the NYSE and Nasdaq.  The Russell 2000 which tracks small cap stocks climbed 11 points to 736.

Surging wholesale prices dampened investor enthusiasm to send the markets tumbling during the midday with the Dow plummeting 120 points to 11,359.  Nasdaq plunged 28 points to 2389.

On the upside

Hydrogenics' (Nasdaq: HYGS) fuel cells will power an extended back up system for APC data centers.

Federated Investors (NYSE: FII) announced a special cash dividend of $2.76 per share payable on September 15 to shareholders of record September 9 and will repurchase up to 5 million shares of common stock.

Xinhua Finance Media (Nasdaq: XFML) reported second quarter earnings that beat expectations as revenue rose sharply prompting the media company to boost its full year guidance.

On the downside

Shares of First Marblehead (NYSE: FMD) plunged as investors locked in profits.  Yesterday, the student lender announced that Goldman Sachs unit GS Capital Partners completed its investment of $132.7 million in the company.

Rumors that Lehman Brothers (NYSE: LEH) will sell its investment management unit sent shares of the financial services company tumbling.

Luxury retailer Saks (NYSE: SKS) disappointed by widening second quarter losses as sales dropped.

In the broad market, declining issues outpaced advancers by a margin of nearly 3 to 1 on the NYSE and by nearly 5 to 2 on Nasdaq.  The Russell 2000 which tracks small cap stocks plunged 11 points to 731.

The markets opened higher, but immediately lost ground as investors worried about rising oil prices and continued weakness in the financial services sector.  The Dow lost 49 points to 11,610 while Nasdaq fell 8 points to 2444.

On the upside

Shares of Lowe's (NYSE: LOW) edged higher after the nation's 2nd largest home improvement retail chain posted a smaller profit that still beat estimates.

Chinese solar power company Trina Solar (NYSE: TSL) posted 2nd quarter profits that doubled.

Shares of UnionBanCal (NYSE: UB) surged after Japanese bank Mitsubishi UFJ Financial Group (NYSE: MTU) raised its bid to buy the rest of the California bank for $3.5 billion.

On the downside

A Barron's article published over the weekend raised concerns about Fannie Mae (NYSE: FNM) and Freddie Mac (NYSE: FRE) which may need a government bailout since both companies may need to raise capital in amounts that exceed their current market capitalization.

Lehman Brothers (NYSE: LEH) may pre-announce its 3rd quarter results due to a possible larger than expected loss, according to the Wall Street Report.

Chinese online-game developer Perfect World (Nasdaq: PWRD) posted higher revenues and profits that missed expectations due in part to suspension of operations after the Sichuan earthquake.

In the broad market, declining issues outpaced advancers by a margin of nearly 4 to 3 on the NYSE and by 5 to 4 on Nasdaq.  The Russell 2000 which tracks small cap stocks lost 3 points to 749.

The markets opened modestly higher as oil prices retreated and industrial output rose in July.  The Dow climbed 69 points to 11,685 while Nasdaq rose 2 points to 2456.

On the upside

J.C. Penney (NYSE: JCP) posted lower 2nd quarter revenues and earnings, but the results for the department store operator was better than expected due to cost-cutting efforts and fewer new stores.

Shares of Ambac Financial Group (NYSE: ABK) surged after ratings agency Standard & Poor's removed the bond insurer from a negative credit watch.

George Soros' hedge fund took a sizable stake in Lehman Brothers (NYSE: LEH) by purchasing shares in the open market.

On the downside

Shares of Harman International Industries (NYSE: HAR) tumbled after the audio and electronics manufacturer reported a sharp drop in 4th quarter earnings.  Analysts promptly downgraded the stock.

DeVry (NYSE: DV) posted higher profits due to increased enrollment at the for-profit education company, but the results missed expectations.

Real estate developer China Housing & Land Development (Nasdaq: CHLN) announced higher revenues and a drop in 2nd quarter earnings due to higher interest expense from convertible debt.

In the broad market, advancing issues outpaced decliners by a margin of 10 to 9 on the NYSE and by a slim margin on Nasdaq.  The Russell 2000 which tracks small cap stocks lost a fraction to 754.

The markets opened higher as investors embraced a better than expected service sector report as well as lower oil prices.  The Dow surged 104 points to 11,388 while Nasdaq leaped 20 points to 2306.

On the upside

Procter & Gamble (NYSE: PG) posted higher revenues and profits as the consumer products company raised prices in order to offset rising costs.

Lehman Brothers (NYSE: LEH) may be considering the sale of its entire investment banking unit, according a CNBC report.

Shares of II-VI (Nasdaq:IIVI) surged after the infrared optical components reported record revenues and earnings that surpassed expectations.

On the downside

American Superconductor (Nasdaq: AMSC) posted a wider loss on revenues that doubled, but the results missed analysts' estimates.

Rackable Systems (Nasdaq: RACK) reaffirmed its full year after reporting a smaller loss on declining revenues.  Analysts downgraded the server maker.

Midway Games (NYSE: MWY) reported a loss that exceeded its revenues as the video game maker continued to languish prior to the holiday season.

In the broad market, advancing issues outpaced decliners by a margin of 3 to 1 on the NYSE and by more than 2 to 1 on Nasdaq.  The Russell 2000 which tracks small cap stocks leaped 11 points to 715.

Sharply lower crude oil prices along with upbeat earnings boosted the markets to a higher close with the Dow skyrocketing 277 points to 11,239.  Nasdaq leaped 69 points to 2285.

On the upside

Retreating oil prices and better than expected earnings from American Airlines (NYSE: AMR) and Delta Air Lines (NYSE: DAL) lifted shares of United Air Lines (Nasdaq: UAUA), Continental Airlines (NYSE: CAL) and Northwest Airlines (NYSE: NWA).

News Corp. (NYSE: NWS) retained the services of Lehman Brothers (NYSE: LEH) to explore strategic options for three European television stations.

Upbeat earnings from Wells Fargo (NYSE: WFC) lifted shares of Washington Mutual (NYSE: WM).

On the downside

Sun Trust Robinson Humphrey downgraded St. Mary Land & Exploration (NYSE: SM).

EXCO Resources (NYSE: XCO) hired Goldman Sachs to assist the oil and natural gas company research and explore possible joint venture initiatives.

Leerink Swann analyst Bret Jones downgraded eResearch Technology (Nasdaq: ERES) over valuation concerns.

In the broad market, advancing issues outpaced decliners by a margin of more than 3 to 1 on both the NYSE and on Nasdaq.  The Russell 2000 which tracks small cap stocks jumped 24 points to 687.

The markets traded mixed during the midday as falling oil prices tempered news of soaring wholesale inflation.  The Dow dropped 41 points to 11,014 while Nasdaq added 5 points to 2218.

On the upside

Coldwater Creek (Nasdaq: CWTR) raised its second quarter and full year outlook to surpass estimates as cost cutting measures begin to take effect.

In an article in the New York Post, Lehman Brothers (NYSE: LEH) CEO Richard Fuld said that the nation's fourth largest investment bank is exploring the possibility of taking the company private.

Genentech (NYSE: DNA) reported higher second quarter earnings as sales rose prompting the biotechnology company to lift its full year outlook.

On the downside

Sonic Automotive (NYSE: SAH) blamed disappointing sales for lowering its earnings outlook for the full year.

Wachovia Capital Markets analyst John Hall downgraded American International Group (NYSE: AIG) and slashed his earnings estimate for the insurer due to exposure to the ongoing credit crisis.

Lehman Brothers lowered its price target and fiscal 2008 earnings expectation for credit card company Capital One Financial (NYSE: COF) as payment delinquencies increase.

In the broad market, declining issues outpaced advancers by a margin of more than 3 to 1 on the NYSE and by more than 7 to 5 on Nasdaq.  The Russell 2000 which tracks small cap stocks lost a point to 664.