Markets Open Lower Despite Reassurances From Bernanke
Federal Reserve Chairman Ben Bernanke said that the economy will continue its slow recovery but investors remain concerned about European debt. The markets opened lower with the Dow slipping 6 points to 9809 while Nasdaq lost 15 points to 2158.
On the upside
Ambac (NYSE: ABK) commuted its outstanding $16.4 billion worth of exposure to collateralized debt obligations of asset backed securities.
The Food and Drug Administration will review Depomed's (Nasdaq: DEPO) application for its pain treatment DM-1796.
Stifel Nicolaus upgraded MPG Office Trust (NYSE: MPG).
On the downside
BMO Capital Markets downgraded Diamond Offshore Drilling (NYSE: DO).
New York & Co. (NYSE: NWY) warned of a wider than expected loss for the second quarter.
Pep Boys (NYSE: PBY) reported higher first quarter earnings but revenue fell short of estimates.
In the broad market, declining issues outpaced advancers by a margin of nearly 7 to 5 on both the NYSE and on Nasdaq. The Russell 2000 which tracks small cap stocks lost 3 points to 615.
