Mid-Morning Market Update: Markets Open Higher; Abercrombie & Fitch Profit Misses Estimates
Following the market opening Thursday, the Dow traded up 0.22 percent to 14,930.60 while the NASDAQ surged 0.74 percent to 3,626.57. The S&P also rose, gaining 0.50 percent to 1,651.08.
Abercrombie & Fitch Co (NYSE: ANF) reported a 33% drop in its fiscal second-quarter profit and issued a downbeat forecast for the third quarter.
For the current quarter, it projects earnings of $0.40 to $0.45 per share, versus analysts' estimates of $1.06 per share.
Abercrombie's quarterly profit fell to $11.4 million, or $0.14 per share, from $17.1 million, or $0.20 per share, in the year-ago period. Excluding one-time items, it earned $0.16 per share, missing analysts' estimates of $0.28 per share. Its sales declined 0.6% to $945.7 million, versus estimates of $996.2 million.
Equities Trading UP
GameStop (NYSE: GME) shot up 15.06 percent to $54.79 after the company reported upbeat Q2 results and lifted its FY14 forecast.
Shares of SunEdison (NYSE: SUNE) got a boost, shooting up 14.83 percent to $7.82 after the company announced its plans to spin off its semiconductor business.
The Hain Celestial Group (NASDAQ: HAIN) was also up, gaining 14.88 percent to $83.75 on upbeat Q4 profit.
Equities Trading DOWN
Shares of Abercrombie & Fitch Co (NYSE: ANF) were down 19.59 percent to $37.63 after the company reported weak fiscal second-quarter profit and issued a downbeat forecast for the third quarter.
In commodity news, oil traded up 0.32 percent to $104.17, while gold traded up 0.36 percent to $1,375.00.
Silver traded up 1.09 percent Thursday to $23.26, while copper rose 1.55 percent to $3.36.
European shares were higher today. The Spanish Ibex Index surged 2.11 percent, while Italy's FTSE MIB Index gained 2.41%. Meanwhile, the German DAX jumped 1.36 percent and the French CAC 40 climbed 1.13 percent while U.K. shares rose 0.94 percent.
US jobless claims rose by 13,000 to 336,000 in the week ended August 17. However, economists were projecting claims to increase to 330,000 in the week.
US flash manufacturing PMI rose to 53.9 in August, versus a reading of 53.7 in July, according to Markit.
US home prices rose 0.7% in June versus May, and climbed 7.7% y/y, according to the Federal Housing Finance Agency.
The Bloomberg Consumer Confidence Index declined to -28.80 for the week ended August 18, versus a prior reading of -26.60.
The leading economic index increased 0.6% in July to 96.0, according to the Conference Board. However, economists were expecting a 0.5% rise.
The Kansas City Fed manufacturing index for August will be released at 11:00 a.m. ET.
Data on money supply will be released at 4:30 p.m. ET.
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