Fed Lifts Discount Rate, Markets Open Lower

The Federal Reserve raised the discount rate, the rate the agency charges banks for overnight loans, to weigh the markets down to a lower open with the Dow slipping 21 points to 10,371. Nasdaq lost 7 points to 2234.


On the upside

Second quarter earnings rose to top estimates for Intuit (Nasdaq: INTU) due to strong sales and the tax preparation software company lifted its outlook for the year.

Aruba Networks (Nasdaq: ARUN) narrowed second quarter losses more than expected as revenue climbed.

The Wall Street Journal reported that oil services firm Schlumberger (NYSE: SLB) is engaged in advanced negotiations to purchase rival Smith International (NYSE: SII).

On the downside

Dell (Nasdaq: DELL) disappointed with lower fourth quarter earnings that fell far short of analyst expectations.

EnergySolutions (NYSE: ES) chief executive Steve Creamer resigned and will be replaced by president Val John Christensen.

Canadian Solar (Nasdaq: CSIQ) blamed higher costs, a drop in prices and faulty equipment for lowering margins for the fourth quarter. 

In the broad market, declining issues outpaced advancers by a margin of more than 2 to 1 on the NYSE and by nearly 5 to 3 on Nasdaq. The Russell 2000 which tracks small cap stocks lost 2 points to 626.

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This page contains a single entry by published on February 19, 2010 6:51 AM.

Markets Close Higher As Regional Manufacturing Activity Rises was the previous entry in this blog.

Consumer Prices Rise Less Than Expected, Markets Rise is the next entry in this blog.

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