Markets Slip As Budget Negotiations Continue

The markets traded lower during the midday with the Dow slipping 10 points to 12,577 as investors monitored federal budget negotiations. Nasdaq fell 12 points to 2814.

On the upside

Textron (NYSE: TXT) reported higher second quarter earnings that topped analyst estimates.

Second quarter earnings climbed for U. S. Bancorp (NYSE: USB) to beat analyst expectations as credit loss provisions tumbled.

Shares of Zillow (Nasdaq: Z) surged in its market debut.

On the downside

Gleacher & Co. said that it would be unlikely for Dell (Nasdaq: DELL) to acquire Brocade Communications Systems (Nasdaq: BRCD).

Fortinet (Nasdaq: FTNT) reported higher second quarter earnings that topped analyst estimates as revenue climbed but the stock price plunged.

Second quarter earnings climbed for Altera (Nasdaq: ALTR) to beat analyst expectations but revenue fell short of estimates.

In the broad market, advancing issues edged out decliners by a slim margin of 10 to 9 on the NYSE while decliners outpaced advancers by nearly 2 to 1 on Nasdaq. The Russell 2000 which tracks small cap stocks dropped 5 points to 829.