Stocks are mixed as overseas stocks drop

Written By kolimtiga on Senin, 27 Januari 2014 | 23.50

U.S. stocks are mixed in morning trading Monday as emerging-market fears push stocks lower nearly everywhere else in the world. Most European and Asian markets are lower. 

KEEPING SCORE: Major U.S. market indexes gave up early gains and turned mixed at mid-morning. After the first hour of trading the Dow Jones industrial average was down 13 points, or 0.09 percent, at 15,865. The Standard & Poor's 500 index was down five points, or 0.3 percent, at 1,784. The Nasdaq was down 37 points, or 0.9 percent, to 4,090. 

OVERSEAS ANGST: Most major European stock markets were lower. Britain's FTSE-100 fell 1.5 percent. Spain's benchmark index was down 0.8 percent and Germany's DAX fell 0.3 percent. In Asia, the Hang Seng and the Nikkei each fell more than 2 percent. 

CURRENCY TUMULT: The Turkish lira hit a record low of 2.39 per dollar before recovering to 2.32 per dollar after the country's central bank said it would hold an emergency policy meeting on Tuesday. The South African rand fell another 0.3 percent to 11.13 per dollar, and Russia's ruble fell 0.5 percent to 34.68 per dollar. A sharp drop in emerging market currencies last week set off a global stock market decline as investors worried about a slowdown in China, which is a major importer of commodities from other developing countries. 

EARNINGS SURPRISES: Caterpillar was the biggest gainer in the Dow, rising $4.65, or 5 percent, to $90.83 after the industrial equipment maker reported fourth-quarter net income that easily beat analyst estimates. Royal Caribbean surged $1.35, or 3 percent, to $48.47 after the Miami-based cruise operator also posted higher profits. 

Several companies will report results after the market closes Monday, including Apple, Zions Bancorp and Seagate Technology. 

HOME BUILDERS SURGE: NVR Inc. surged $71.54, or 7 percent, to $1079.90 after beating analyst projections for earnings. Other home builders rose along with it. Lennar, D.R. Horton and PulteGroup were each up more than 1 percent. 


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