Lower Close For Markets Over Inflation Fears
A weak auction of 10-year Treasury notes sparked fears of rising interest rates. The markets closed lower with the Dow falling 24 points to 8739. Nasdaq slipped 7 points to 1853.
In the broad market, declining issues outpaced advancers by a margin of 5 to 4 on the NYSE and by nearly 5 to 3 on Nasdaq. The Russell 2000 which tracks small cap stocks lost 4 points to 523.
On the upside
News that Fiat completed its acquisition of Chrysler's assets lifted shares of auto parts suppliers Lear (NYSE: LEA) and American Axle & Manufacturing (NYSE: AXL).
While LDK Solar (Nasdaq: LDK) warned of low gross margins for the next quarter, the solar wafer maker expects to increase production by the end of the third quarter.
Level 3 Communications (Nasdaq: LVLT) and Sprint (NYSE: S) engaged in early stage discussions to form a joint venture.
On the downside
UTStarcom (Nasdaq: UTSI) will host a conference call tomorrow to discuss company initiatives.
Ameriprise Financial (NYSE: AMP) will issue stock to raise $900 million.
NCI Building Systems (NYSE: NCS) swung to a greater than expected loss for the second quarter as sales plunged.
In the broad market, declining issues outpaced advancers by a margin of 5 to 4 on the NYSE and by nearly 5 to 3 on Nasdaq. The Russell 2000 which tracks small cap stocks lost 4 points to 523.
