Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

US STOCKS-Energy lifts Dow and S&P, but confidence data weighs

Published 10/27/2009, 12:56 PM
Updated 10/27/2009, 01:00 PM
CVX
-
BP
-
BIDU
-
XOM
-

* Strong BP results lift U.S. energy shares

* October consumer confidence weaker-than-expected

* Dow up 0.6 pct, S&P up 0.2 pct, Nasdaq off 0.5 pct

(Updates to early afternoon)

By Ryan Vlastelica

NEW YORK, Oct 27 (Reuters) - The Dow and S&P rose on Tuesday as stronger-than-expected earnings at BP Plc lifted energy shares, but weak U.S. consumer confidence data weighed on stocks.

The Nasdaq fell, pressured by disappointing results at Chinese Internet company Baidu.com.

BP said third-quarter earnings were helped by costs cuts. Its stock rose 5.5 percent to $58.54 on the New York Stock Exchange.

Among other energy companies, Dow components Exxon Mobil Corp was up 2.3 percent to $74.92 and Chevron Corp added 2 percent to $76.95.

"There is definitely a gathering bullishness around energy at large, which is helping support things," said Matt Kaufler, portfolio manager and equity analyst at Clover Capital Management in Rochester, New York.

"If you believe the worst of the contraction is behind us, you're going to see oil prices continuing to rise."

December crude futures were up 0.9 percent to $79.35 per barrel.

The Conference Board's index of consumer confidence fell to 47.7 in October, weaker than economists had forecast. The data showed consumers were increasingly concerned about job market conditions.

"This number is clearly negative," said Kevin Caron, market strategist at Stifel Nicolaus in Florham Park, New Jersey. "It suggests that at best, we're in an uneven recovery."

The Dow Jones industrial average added 56.98 points, or 0.59 percent, to 9,925.85. The Standard & Poor's 500 Index rose 2.04 points, or 0.19 percent, to 1,068.87. The Nasdaq Composite Index lost 10.16 points, or 0.47 percent, to 2,131.68.

The S&P consumer discretionary sector was the biggest percentage loser among S&P sectors, down 1.2 percent.

Baidu's U.S.-listed shares sank 11 percent to $384.74. The Chinese Internet search giant reported quarterly revenue that missed expectations and said fourth-quarter sales would miss expectations by more than 10 percent.

The steel sector retreated after several companies, gave gloomy outlooks for the industry and economy.

United States Steel Corp sank 6.8 percent to $37.82 while AK Steel Holdings shed 7.1 percent. The Dow Jones U.S. Steel index fell 3.6 percent.

Other data showed home prices rose for the fourth-straight month in August, sending the Dow Jones Home Construction index up 1.1 percent.

The Standard & Poor's/Case-Shiller composite index of home prices in 20 metropolitan areas rose more than expected in August. (Editing by Kenneth Barry)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.