Auto Makers Rattle Stock Market
On the upside
Fifth Third Bancorp (Nasdaq: FITB) announced plans to sell a majority stake in its payments processing business for $561 million to global buyout firm Advent International.
With the insurance sector selling off, The Travelers Companies (NYSE: TRV) bucked the trend following an analyst upgrade.
CEO Rick Wagoner of General Motors (NYSE: GM) resigned at the request of the White House. In return, the company received 60 days of operating capital before a final restructuring or risked being placed into what many analysts expect to be a government-sponsored receivership. Privately-held Chrysler received $6 billion and 30 days to complete an alliance with Fiat.
An analyst downgrade Lincoln National (NYSE: LNC), a company that sells insurance and offers wealth management services.
Arena Pharmaceuticals (Nasdaq: ARNA) reported late-stage study results for its obesity drug treatment. However, the weight-loss difference of only 3.6% missed the FDA's draft standard of at least 5%.
Shares of Layne Christensen (Nasdaq: LAYN) fell sharply after the mineral and construction services company lowered its earnings outlook.
In the broad market, declining issues outpaced advancers by a margin of more than 6 to 1 on both the NYSE and on Nasdaq. The Russell 2000 which tracks small cap stocks plunged 15 points to 413.
