Surprise Gain In Manufacturing Activity Lifts Markets To Sharply Higher Open
A surprising gain in manufacturing activity lifted the markets to a sharply higher open with the Dow leaping 228 points to 10,242. Nasdaq soared 54 points to 2168.
On the upside
The Wall Street Journal reported that Burger King (NYSE: BKC) entered discussions with private equity firms for a possible sale of the fast food chain.
H. J. Heinz (NYSE: HNZ) reported higher first quarter earnings that topped analyst estimates as sales in Asia surged.
Sunrise Senior Living (NYSE: SRZ) will receive $50 million from HCP in a settlement and restructuring agreement.
On the downside
J.P. Morgan analyst Charles Grom downgraded Saks (Nasdaq: SKS) saying that luxury spending is poised to weaken.
Charming Shoppes (Nasdaq: CHRS) disappointed by swinging to a second quarter loss as sales dropped.
Accuray (Nasdaq: ARAY) reported higher fourth quarter earnings and revenue but the stock price fell.
In the broad market, advancing issues outpaced decliners by a margin of nearly 8 to 1 on the NYSE and by more than 6 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks climbed 15 points to 617.
