Jim Cramer Blog

U.S. stocks tumbled on Monday as a disappointing sales forecast from Wal-Mart Stores Inc. (WMT.N: Quote, Profile, Research) raised doubts about consumers' holiday spending and Google Inc. (GOOG.O: Quote, Profile, Research) dropped after Barron's newspaper said the stock was overvalued. In addition, downward pressure on the dollar for a fourth straight day weakened demand for U.S. investments, while a rise in crude oil prices added to concerns about consumer spending. Ford Motor Co. (F.N: Quote, Profile, Research) fell more than 2 percent after it announced plans to raise $18 billion in debt financing to fund its restructuring. Shares of Wal-Mart, the world's largest retailer, fell 1.9 percent to $46.99 after it estimated November sales fell 0.1 percent at U.S. stores open at least a year. Customer foot traffic in stores over the long holiday weekend slipped from last year, the National Retail Federation reported, adding to worries about retailers' fourth-quarter performance. The S&P Retail Index <.RLX> was off 0.2 percent. Shares of Web search company Google fell 2.3 percent to $493.57 and were the biggest drag on Nasdaq after the report in Barron's. Ford's shares fell 2 percent to $8.33 after the car company announced the financing plan. The dollar's recent decline to a 20-month low against the euro has raised questions about the attractiveness of U.S. stocks to foreigners. Crude for January delivery was up 52 cents at $59.76 after rising as high as $60.20. Saudi Arabia's oil minister said OPEC may cut output further at a December 14 meeting. Shares of Exxon Mobil Corp. (XOM.N: Quote, Profile, Research) were the top positive influence on the S&P 500, rising 0.7 percent to $72.91.
Source: Reuters.com

Labels: Exxon Mobile, F, Ford, GOOG, Google, Wal-Mart, WMT, XOM