Tuesday, April 15, 2014

Economic Journal - Tuesday, 4/15/2014

(As of 7:25 am PST)
 
US stocks opened mixed but have since turned higher as investors cheered upbeat earnings reports from Dow components, Coca-Cola and Johnson & Johnson.  Coca-Cola reported Q1 revenue that beat forecasts and earnings that were in line as investors bid up shares by 3%.  Johnson & Johnson also beat on earnings while providing an upbeat forward profit guidance which helped lift shares nearly 1.5%.  Corporate earnings helped to overshadow a disappointing report on manufacturing out of the New York area.  The Empire State manufacturing index declined unexpectedly in April as the pace of manufacturing slowed.  Concerns out of China regarding China’s debt weighed on international markets while the Russia-Ukraine unrest has investors cautious around the globe.  Gold is taking a beating today, down 2.5% while oil and other commodities are lower.  Interest rates remain low.  Despite troubling news overseas and uninspiring data at home, US equities seem poised to continue their bull run with bouts of profit taking along the way.  

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